Editor's note: This article has been updated to correct the spelling of Sam D'Arc, COO of Zeigler Auto Group.
Eighty-four-month auto loans have soared in popularity among new vehicles and more than doubled on used vehicles over the past five years, credit bureau data show.
As of the third quarter of 2022, one-fifth of all new-vehicle borrowers and one-tenth of all used-vehicle borrowers were committing to seven years of debt on their vehicle, Experian said.
In the third quarter of 2018, only 11 percent of new-vehicle borrowers and 4.1 percent of used-vehicle borrowers were on the hook for 84 months, according to Experian. By the third quarter of 2022, 19 percent of new-vehicle debt and 11 percent of used-vehicle loans ran seven years. Another 1 percent of new-vehicle and 0.3 percent of used-vehicle loans during the third quarter of 2018 had even longer terms. Five years later, those proportions had grown to 1.8 percent for new vehicles and 0.9 percent for used models.