Auto Credit Harder to Get

Access to automotive credit waned in April, according to Cox Automotive tracking of all auto loan types.

Credit access decreased among all channels, Cox’s Dealertrack Credit Availability Index indicates. Its All-Loans Index fell 1.5% to 96.8 in April, the lowest level since February 2021.

Availability was 8.5% tighter year-over-year and 2.4% tighter than two years earlier, Cox said.

Average credit terms lengthened in April, and down payments decreased, though approval rate, subprime and negative equity shares decreases hurt consumer credit access, the report said.

The share of loans whose terms eclipsed 72 months went up 0.8 percentage points, though it fell 0.4 percentage points year-over-year.

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Originally posted on Auto Dealer Today