More Auto Consumers Opting for Longer Loan Terms

Rate grows as borrowers try to lower monthly payments.
Rate grows as borrowers try to lower monthly payments.
Although the average interest rate on a new-vehicle loan is expected to drop year over year, analysts say rates will hit 3-month high as automakers curtail promotional deals, 0% finance offers.
In a dealer bulletin obtained by F&I and Showroom, Ford Motor Credit announced the availability of 84-month financing on new retail and subvented rate contracts. The bulletin urges dealers to consider the negative impacts of longer term loans.
The 84-month payment option is now available to eligible customers in Maryland, New Hampshire, Pennsylvania and Washington, D.C.
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