Used car loans have been getting longer, according to Experian Automotive loans of 61 to 84 months made up nearly half of used vehicle loans in the first quarter of this year. Loans in the 61 to 72 month rose 6% during that time, and loans in the 73 to 84 month range spiked up 23%. There was decline in loans with 60 months or less.
The loans are appealing to consumers but are something to watch. Tom Webb, chief economist at Manheim Consulting, thinks its a significant trend. Webb thinks its a bubble in the early stages of formation.The Article Are Lengthy Used Car Loans a Bubble Ready to Pop? appeared first on Automotive Digest.