Findings from Experian’s latest State of the Automotive Finance Market analysis showed market share for nonprime, subprime and deep subprime automotive loans for new vehicles grew by 13.6 percent and new vehicle leasing increased by 7.53 percent year over year in Q3 2012. Thirty-day delinquencies fell slightly from 2.78 percent in Q3 2011 to 2.67 percent in Q3 2012 and 60 day delinquencies fell from 0.71 percent in Q3 2011 to 0.69 percent in Q3 2012.

View our latest quarterly State of the Automotive Finance Markets, through a recorded Webinar or download the report now.

Source: Experian Automotive: Toyota, Ford and Chevrolet top makes financed in Q3 2012.

Six states are the top producers of turkeys: Minnesota at 46 million, North Carolina at 36 million, Arkansas at 29 million, Missouri at 17.5 million, Virginia at 17 million and Indiana at 16.5 million. This accounts for nearly two-thirds of turkeys produced in the United States as of September 2012.

The average wholesale price for frozen whole turkey during fourth-quarter 2012 is projected to range from $1.10 to $1.14 per pound — similar to the 2011 fourth-quarter average price of $1.11 per pound. The average retail price for whole frozen turkeys in September 2012 was $1.62, about 6 cents lower than the average retail price for whole frozen turkeys in September 2011. Find out more on current coverage of the poultry production and value report from the USDA.

Source: National Agricultural Statistics Service (NASS), Agricultural Statistics Board and United States Department of Agriculture (USDA).

Loans to customers in the nonprime, subprime and deep-subprime credit risk tiers accounted for more than one in four new vehicle loans in Q2 2012. With 25.41 percent of all new vehicle loans opened by customers in the nonprime, subprime and deep-subprime credit risk tiers, loans for this group were up 14 percent when compared with Q2 2011.

Listen to our recent Webinar on Q2 2012 automotive credit trends

Source: Experian Automotive’s quarterly credit trend analysis

Total balances of automotive loan portfolios rose for all types of lending organizations in Q2 2012, reaching $682 billion, compared with $646 billion in Q2 2011. Despite this strong growth, overall loan balances still lag behind prerecession levels. In Q2 2007, outstanding loan balances reached $701 billion. The average 30 and 60 day delinquency rate fell slightly year over year across all types of lending organizations, including banks, captive finance, finance companies and credit unions.

Sign up for our Sept. 6th Webinar for more information on Q2 2012 automotive credit trends.

Source: Experian press release dated — Aug 8, 2012: Loan delinquencies and automotive repossessions drop in Q2, according to Experian Automotive.

Outstanding automotive loan balances were at $708 billion in Q1 2012 – a figure last seen two years ago. Banks and captive auto lenders hold two-thirds of the outstanding balances (34 percent and 33 percent respectively), while credit unions hold 21 percent.

Listen to the latest automotive credit trends by attending our upcoming webinar.

Source: Experian-Oliver Wyman Market Intelligence Reports.

With interest rates at their lowest level since 2008 and an increasingly competitive market, automotive lenders are increasing their willingness to make loans between six and seven years long:

• Auto loans of 73 to 84 months accounted for 14.1 percent of all new vehicle loans, up 47 percent from Q4 2010
• Auto loans of 73 to 84 months accounted for 9.04 percent of all used vehicle loans, up 41 percent from Q4 2010

View our recent Webinar on the Q4 2011 state of the automotive market.

Source: Experian Automotive’s quarterly credit trend analysis. Download the quarterly studies and white paper.

The automotive loan market continued to improve, with lenders showing more willingness to lend outside of prime. In Q4 2011, average credit scores for new and used auto loans dropped when compared with Q4 2010. Additionally, the percentage of loans to customers with nonprime, subprime or deep-subprime credit scores increased.

• Average credit scores for new vehicle loans dropped six points, from 767 in Q4 2010 to 761 in Q4 2011
• Average credit scores for used vehicle loans dropped nine points, from 679 in Q4 2010 to 670 in Q4 2011
• New vehicle loans to nonprime, subprime and deep-subprime customers increased by 13.8 percent from Q4 2010 to Q4 2011

View our recent Webinar on the Q4 2011 state of the automotive market.

Source: Experian Automotive’s quarterly credit trend analysis. Download the quarterly studies and white papers.

Lenders continued to increase their appetite for risk in Q2 2011, with new vehicle loans for customers with credit outside of prime increasing by 22.4 percent compared with the previous year. In Q2 2011, 22.29 percent of all new vehicle loans went to customers in the nonprime, subprime and deep-subprime categories, increasing from 18.21 percent in Q2 2010.

The largest percentage increase in new car loans was in the category with the highest risk: deep subprime, which jumped 44.1 percent, moving from 1.48 percent of all new vehicle loans in Q2 2010 to 2.13 percent in Q2 2011.

For more information on Experian Automotive’s AutoCount® Risk Report, visit www.autocount.com

Source: Automotive quarterly credit trends

Lenders are increasing loans to credit-challenged customers. According to Experian’s quarterly automotive credit analysis, 21.87 percent of all new vehicle loans went to customers in the nonprime, subprime and deep-subprime categories. The largest percentage increases were in the two highest-risk segments: deep subprime, which jumped 17.3 percent, and subprime, which jumped 17.8 percent. Nonprime loan share increased 12.5 percent.
View our recent Webinar on the state of the automotive market.

Source: Experian Automotive’s quarterly credit trend analysis. Download the quarterly studies and white papers.

In 2010, lenders began to change their focus from maintaining to growing portfolios. Most strategies focused on marketing to the least risky tiers of consumers as lenders tested marketing strategies in an unfamiliar economic environment.

In 2011, the focus is on expanding that marketable universe and determining how to profitably grow, while managing risk across a spectrum of consumer creditworthiness. Segments of the near-prime consumer population are both ready and able to take on additional debt obligations.

View a  webinar to learn how to redefine your credit marketing strategy

Source: Universe Expansion