Good news is emerging on the auto-financing end of things, Automotive News recently reported, as households have quit spending less and saving more. Instead, they are spending more and borrowing more.
This spending and borrowing includes $105 billion in auto loan and lease originations, the highest amount in almost 10 years, according to the Federal Reserve Bank of New York, which was quoted in the Automotive News report. That marks 14 quarterly increases in a row.
Auto finance isn’t the only beneficiary of freer spending. Balances were also up for credit cards and student loans. Home equity lines of credit, which before the Great Recession were often used as a way to finance a new sedan or luxury crossover, are still an exception to the rule. The Fed said those volumes are still down.
You can read the Automotive News story here.