Swapalease: Approvals Dip to 65% in June
Swapalease.com analysts say credit approvals declined after reaching 72.4% in May but report growing demand from consumers seeking lease contracts negotiated when incentives were stronger.

CINCINNATI — Swapalease.com reports car lease credit applicants registered a 65% approval rate entering July, a drop from the 72.4% mark registered in May.
Analysts noted that, although lease origination activity at dealerships was down in Q1, lease takeover activity has remained strong, with many shoppers taking advantage of customizable terms offered through secondary marketplaces. They said shoppers are looking to take advantage of lease takeover benefits, such as shorter contract commitment time and budget-savvy savings. In most cases, the takeover requires zero down payment.
With a robust and stable economy, Swapalease.com continues to experience a growing number of applicants looking to take over another person’s lease. Since January, lease credit approval rates have remained above the 65% mark, showing a healthy approval range, according to the company’s executive vice president, Scot Hall.
“We continue to see a growing number of applicants with credit requirements to take over leases in the marketplace, most likely as a result of lower incentives offered by dealers,” Scot said. “There are a number of economic factors affecting dealership prices, and shoppers are searching for alternatives that will allow them to obtain the vehicle they desire at price points that were negotiated when dealer incentives were more prevalent.”
More Auto Finance

Interest Rates Further Squeeze Auto Consumers
Last month’s hike and a potential second increase this month add to a growing list of inflation woes that could continue to dent overall car sales.
Read More →
Mind Your Process
Consistent steps taken in various aspects of the F&I office can make valuable differences over time, similar to an outline for a best-selling book.
Read More →
Top Five Credit Application Fraud Flags
Compliance audits regularly reveal bad habits that can lead to fraud charges and should have been stamped out decades ago.
Read More →
More Auto Loans for the Taking in August
Riskier categories were on the uptick for the month as lenders loosened access in several areas while balancing out the exposure in another, Cox Automotive reported.
Read More →
July Was Hot for Auto Borrowers
Credit proved readily available for many, but most loans left buyers in negative territory, Cox Automotive said.
Read More →
Dealer Lender Preferences Revealed
When lenders provide consistent, fast service, their overall satisfaction scores with dealers greatly improve, according to JD Power research.
Read More →
Auto Refi Savings Surge
Consumers with 84-month auto loan terms who refinanced saved the most on monthly payments, according to a new report by auto refinancing provider Caribou.
Read More →
Subaru Enters Lending Business
The automaker follows other brands in adding captive financing in the U.S., and says the move will strengthen its position here.
Read More →
Positive Equity Reaches Record High
Mainstream vehicle owners who bought a car seven years ago are likely to have positive equity when trading in for a new vehicle, according to second-quarter Edmunds data.
Read More →
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 →