COSTA MESA, Calif.–With the cost of the average new vehicle loan hitting a record-high of $40,290 during Q2, the average monthly payment for a new vehicle loan rose to $667 in the second quarter, up nearly 15% from a year earlier, according to new data from Experian.
The average amount borrowed rose 13.2%, Experian added, while the length of the average new vehicle loan stayed flat in the second quarter compared to a year ago at just over 69 months.
Used car buyers also are borrowing more. The average used vehicle loan jumped 18.7% to $28,534, with an average monthly payment of $515, up 17%, Experian said.
Experian further noted that loan data show that more consumers are opting for a used car or truck as new vehicle prices rise. Used vehicles accounted for 61.8% of all vehicle loans during the second quarter, up from 58.5% a year earlier.
Of vehicles financed in the second quarter, 60% were sport utility vehicles, Experian reported.