FI showroom red and grey logo
MenuMENU
SearchSEARCH

Experian Automotive: Leasing Boom Continues

More consumers turned to leasing in the fourth quarter, with the transaction type rising to 28.4% of all new vehicles financed in the fourth quarter 2013.

by Staff
March 5, 2014
2 min to read


SCHAUMBURG, Ill. — Experian Automotive reported this week that more consumers are choosing to lease vehicles, bringing the share of new vehicles financed with a lease to its highest level since the company began publically reporting the data in 2006.

According to its latest State of the Automotive Finance Market report, Experian Automotive found that 28.4% of all new vehicles financed were leases in the fourth quarter, up from 24.8% in the year-ago period.

Ad Loading...

“Leasing continues to grow in popularity among car shoppers, especially those hoping to stay within a strict monthly budget,” said Melinda Zabritski, senior director of automotive credit for Experian Automotive. “Our analysis this quarter showed that the average monthly lease payment was $51 lower than the average loan payment, which can make a big difference to consumers trying to stretch their dollar.”

Other findings from the report showed the average amount financed for a new vehicle was $27,430 in the fourth quarter 2013, up from $26,691 one year ago. This marked the highest average loan amount for a new vehicle since 2008 and the first time the amount has exceeded $27,000. Additionally, the average loan amount for a used vehicle during the quarter was $17,974, up $345 from the previous year and a record high since 2008.

Financing also became easier to obtain during the quarter, with average credit scores for both new leases and loans decreasing from the previous year. The average credit score for a new-vehicle lease dropped 16 points from a year ago to 719, while the average credit score for new-vehicle loans realized a smaller year-over-year decrease — dropping from 724 in the year-ago period to 715.

Market share for nonprime, subprime and deep subprime new-vehicle loans also rose slightly in fourth quarter, increased from 32.8& in the year-ago quarter to 34.1%. For used vehicles, below-prime loans accounted for 62.8% of all loans, down 1.6 percent from the year-ago period.

“We are still seeing remarkable stability in the automotive finance industry, even as lenders continue to ease slightly on credit standards to provide loans and leases,” Zabritski noted. “What makes this good news for consumers is that the more credit-challenged car shoppers who need a vehicle may find that they have more financing options to choose from and can more easily shop around for the best rates and terms.”

Ad Loading...

Experian Automotive also reported an increase in monthly payments for used cars, which rose from $348 in the year-ago period to $352 in the fourth quarter 2013. New- and used-vehicle interest rates were also up, rising from 4.36% and 8.48% in the year-ago period to 4.37% and 8.71%, respectively.

More Auto Finance

Photo of document next to calculator and inkpen
Auto FinanceJuly 20, 2026

Dealerships Are Paying the Price for Extended Car Loans

Growing negative-equity scenarios mean such lengthy terms should be addressed in a forward-looking way to make them work for the dealer and the consumer down the road.

Read More →
silver car in background with hand in front holding out a set of keys, Trade-In Trouble, F&I and Showroom
Auto Financeby Lauren LawrenceJuly 20, 2026

Trade-Ins in Negative Equity Reach New Heights

As such trade-ins rise in frequency, so do monthly loan payment amounts and interest rates, according to second-quarter data compiled by Edmunds.

Read More →
Two men in suit jackets shaking hands in front of a new-looking white vehicle
Auto Financeby Hannah MitchellJuly 15, 2026

Auto Credit Plentiful

June numbers show lenders are readily granting access, including to risky borrowers, as consumers leverage themselves to take on high prices.

Read More →
Ad Loading...
Woman's hands holding an wallet empty of cash
Auto Financeby Hannah MitchellJuly 1, 2026

Automotive Consumers Sink Further in Debt

Most financing metrics hit records in the second quarter as more buyers locked themselves into long terms and high monthly payments.

Read More →
Three men smiling for headshots
Auto Financeby Lauren LawrenceJuly 1, 2026

Porsche Financial Services Shifts Structure

After 36 years with Porsche, the Financial Services Chief Financial Officer Konrad Riedl is retiring, and the department is realigning its management structure.

Read More →
$100 bill and magnifying glass on top of paper that says insurance policy terms and conditions.
F&Iby Lauren LawrenceJune 29, 2026

Tariffs Could Raise Insurance Premiums

As U.S. import tariffs affect repair costs, consumers might find it more affordable to replace a damaged vehicle, according to recent Insurify tariff analysis.

Read More →
Ad Loading...
Red toy car sitting on top of coins.
Auto Financeby Lauren LawrenceJune 24, 2026

Smaller Loans, Longer Terms

The youngest generation of car buyers is more likely to finance less expensive vehicles, more than half of generation Z consumers borrowing less than $25,000.

Read More →
Photo of man holding a car key
Auto Financeby Hannah MitchellJune 17, 2026

New Cars a Tad More Affordable

May averages show that combined circumstances gave auto consumers slightly better buying power for the month, though average prices were up year-over-year.

Read More →
Photo of a white toy car next to piles of coins
Auto Financeby Hannah MitchellJune 8, 2026

First-Quarter Sees Long Auto Loan Growth

Experian data show more consumers are tapping the method, along with refinancings, to afford buying. Meanwhile, subprime borrowers are getting more access.

Read More →
Ad Loading...
Assurant, Mastering Credit Friction, Sales Series, Expert Trainer Josh Krach
Auto FinanceMay 29, 2026

Mastering Credit Friction

In this video, Josh Krach explains how to turn credit friction into an advantage.

Read More →