The average term length on a loan for a new car in the US hit a record of 65 months during the fourth quarter of 2012, according to the American arm of Experian.
The equivalent figure for Q4 2011 was 63 months on a new car and 60 months on a used car, the credit data reference agency added.
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At the same time, the average interest rate on a loan for a new car fell from 4.52% in Q4 2011 to 4.36% in Q4 2012, with average monthly payment falling 1.71% to $460 (£304).
Despite this, the average major finance provider in the US was seeing 25% year-on-year growth at the start of the fourth quarter of 2012.
Much of the rise was attributed to subprime lending, which accounted for 43.2% of all car loans in Q4 2012, the most in any fourth quarter since 2007.
Meanwhile, Experian in the US has pointed out the arrears rate on loans has begun to rise, although TransUnion, another credit reference agency, recorded a slight fall in the rate.
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By GlobalDatarichard.brown@timetric.com
