About one of every seven new-vehicle buyers obtained financing last month with interest rates commonly associated with the used-vehicle market as automakers continued to scale back incentives, Edmunds said Tuesday.
Fourteen percent of borrowers who bought a new vehicle last month will pay interest rates higher than 10 percent, according to Edmunds, the highest levels since February 2008.
"It's pretty alarming to see that a sizable segment of new-car shoppers are financing cars at rates that we'd normally associate with used-vehicle purchases," Jessica Caldwell, Edmunds' executive director of industry analysis, said in a statement.
The average interest rate on new-vehicle loans in March rose 70 basis points year over year to 6.36 percent, its highest level in a decade, Edmunds said. The average new-vehicle transaction price last month increased 5.5 percent, or $1,911, to $36,534.