Share of 7-year car loans grows as buyers 'work harder to make the numbers fit,' expert says

Car buyers are increasingly stretching auto loans to at least seven years as the amount financed hits an all-time high, signaling affordability pressure in the vehicle market. The trend suggests consumers are relying on longer-duration credit to manage monthly payments, which may support near-term sales but raises credit risk and financing strain.

Analysis

Car buyers are increasingly stretching auto loans to at least seven years as the amount financed hits an all-time high, signaling affordability pressure in the vehicle market. The trend suggests consumers are relying on longer-duration credit to manage monthly payments, which may support near-term sales but raises credit risk and financing strain.