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Home » Under the Hood: Securitizations point to unaffordability of used cars

Under the Hood: Securitizations point to unaffordability of used cars

Used-vehicle share and average loan terms are on the rise

Marcie BellesbyMarcie Belles
January 29, 2024
in Risk Management, Under The Hood
Reading Time: 4 mins read
0
cars on a dealership lot

(Courtesy/Can Stock Photo / happyalex)

Though vehicle values have been inching lower much of the year, recent securitizations indicate that consumers are increasingly relying on extended loan terms to afford their used-car purchases. Chase Auto’s Aug. 11 securitization is a case in point. In the transaction, 84.6% of the underlying loans have original terms exceeding 60 months, according to Fitch […]

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