Finance Rate on Consumer Installment Loans at Commercial Banks, New Autos 48 Month Loan

TERMCBAUTO48NS • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

7.63

Year-over-Year Change

48.16%

Date Range

2/1/1972 - 5/1/2025

Summary

The Finance Rate on Consumer Installment Loans for New Autos (48-month term) tracks the average interest rate banks charge for new auto loans. This metric provides crucial insight into consumer borrowing costs and overall lending conditions in the automotive financing market.

Analysis & Context

This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.

Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.

About This Dataset

This economic indicator represents the standard interest rate for new auto loans with a 48-month term at commercial banks. It reflects the cost of borrowing for consumers purchasing new vehicles and serves as a key barometer of credit market conditions.

Methodology

The data is collected through surveys of commercial banks, tracking the average interest rates applied to new auto loans with a standard 48-month repayment period.

Historical Context

Policymakers and economists use this rate to assess consumer spending potential, credit market health, and overall economic conditions in the automotive sector.

Key Facts

  • Reflects standard 48-month new auto loan rates
  • Directly impacts consumer purchasing power
  • Influenced by Federal Reserve monetary policy
  • Important indicator of economic lending conditions

FAQs

Q: How does this rate affect car buyers?

A: The rate directly determines the monthly payment and total cost of financing a new vehicle, impacting affordability for consumers.

Q: What factors influence this interest rate?

A: The rate is affected by Federal Reserve policies, overall economic conditions, inflation, and individual borrower credit profiles.

Q: How often does this rate change?

A: The rate can fluctuate monthly based on economic conditions and Federal Reserve monetary policy adjustments.

Q: Why is this rate important for economists?

A: It serves as a key indicator of consumer lending conditions and potential automotive sector economic activity.

Q: How can consumers use this information?

A: Consumers can use this rate to understand current borrowing costs and time their vehicle purchases strategically.

Related Trends

Citation

U.S. Federal Reserve, Finance Rate on Consumer Installment Loans at Commercial Banks, New Autos 48 Month Loan [TERMCBAUTO48NS], retrieved from FRED.

Last Checked: 8/1/2025