Going Down - Interest!
Going Down. Interest Rates on New Car Loans
To try a get a handle on where we’re headed, it’s good to glance back at where we’ve been. The 72 month loan was the most popular loan term at dealerships in 2007. While interest rates on new car loans obtained at delerships are down a bit. Here’s the average APR on a 72 month loans for new-vehicle transactions in November and December, compared with the same period in ‘04, ‘05, and ‘06. The numbers apply only to loans taken out at the dealership. Check it out.
Nov-Dec 2007 8.67%
Nov-Dec 2006 9.72%
Nov-Dec 2005 9.24%
Nov-Dec 2004 7.98%
So as they say, everything old is new again, or maybe we’ll reach 2004 levels this year.