With car sales improving due to the economy seeing better times, it also translates to people being better about paying their bills on time. According to Transunion, the fourth quarter of 2011 was only the third time in the past 10 years that the national auto delinquency rate did not rise. According to the report, the rate of delinquency rate of borrowers 60 days or more days actually decreased for the ninth consecutive quarter.
Petere Turek, the automotive vice president of Transunion’s finance services said about the decrease, “Except in 2009 where there was no change and in 2003 where there was about a 4% drop, auto delinquency rates have shown upward movements between third and fourth quarters averaging in excess of 5%, ending the year flat is particularly interesting, because the number of new auto loans coming onto the books has consistently increased since the end of the recession, a primary driver of which has been an expansion in lending to consumers in the subprime market.”
Transunion predicts that the delinquency rate will remain the same between the end of 2011 and 2012. They also predict that the auto industry will see an increase in demand for new and used vehicles. They definitely see that as people start to go back to work, they will be paying their bills.
This is where Special Finance Group comes in. They work with dealerships to help generate more traffic. People are ready to get into new and used cars and signing up with SFG’s program is the way to make sure they are going to your dealership. Call today at 212-239-7270 or go online for more information. Like them on Facebook as well to see all the latest news.