The average annual finance rate on new-vehicle loans in 1997 was 7.1 percent, the lowest in more than 25 years.
The Board of Governors of the Federal Reserve said average annual percentage rates on new-vehicle loans have been between 9 and 11 percent during the past eight years.
Average annual new-vehicle interest rates peaked in 1981 at 16.2 percent and did not drop below 10 percent until 1986.
The average amount financed on new vehicles has risen steadily. In 1997, it was $18,077, up 6.4 percent from 1996 and up 55.0 percent from 1988. The average amount financed on a used vehicle in 1997 was $12,281, up 0.9 percent from 1996 and 57.0 percent from 1988.
Those and other annual financial data related to new- and used-vehicle loans will appear in the 1998 Automotive News Market Data Book. Data on production, sales, dealers and suppliers will also be included.
The 1998 Market Data Book will be published May 27 and is included in annual subscriptions to Automotive News. It may be purchased separately for $19.95. For subscriptions or single-copy sales, call (800) 678-9595.