Using a risk model based on older data can result in reduced predictive power.

Findings from the most recent Experian State of the Automotive Finance Market report show outstanding automotive loan balances increased 11 percent from Q4 2012, reaching $798.5 billion in Q4 2013 — the highest level since 2007.

The housing market continues to recover, with mortgage originations increasing 12 percent year over year, moving from $508 billion to $570 billion.