WASHINGTON — The average amount financed on U.S. new-vehicle purchases continued to decline in November 2008, according to the latest Federal Reserve Statistical Release.
The figure dropped for the fifth-consecutive month down to its lowest point of the year at $25,041 per vehicle, down from $25,391 in October 2008. The loan-to-value ratio (LTV) on new-vehicle deals rose 2 points from October 2008 to reach 88 percent, but was still one of the lowest figures of this year.
Average loan maturity for November was 63.2 months, a slight decline from October’s 63.9, and below the 65.4 average for the third quarter 2008.
Interest rates on new-car purchases climbed in November to 6.43 percent. The rate is slightly up from the 6.41 recorded in October, but below the third quarter average of 6.54. Nonrevolving consumer credit, which includes auto loans, rose to an annual rate of 3.9 percent (or $1.5 trillion) in November.