The past twelve months saw the percentage of new car sales financed by Finance & Leasing Association (FLA) members reach 75.3%, a record high, according to figures released by the association in April.
The figures also showed a 26% growth in consumer new car finance volumes in February 2014.
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The second month of 2014 saw the overall value of advances on new cars total £629m, a 32% increase on the previous year, with 42,985 vehicles sold.
On the used side, the total value of advances registered rose 23% to £826m, on a total of 83,696 second-hand vehicles.
Paul Harrison, head of motor finance for the FLA, said: "February is usually a quieter sales month ahead of the new number plate release in March, but the figures imply that some very good deals tempted consumers into the showrooms."
Figures for vehicles purchased by businesses showed a more mixed outlook.
While the number of new vehicles bought on finance by businesses in February grew to 24,926, a 21% increase on previous year figures, the same period saw the number of used vehicles bought on finance by businesses drop 79% to 2,639.
Harrison added that the record financing levels witnessed by the FLA should prompt policymakers to exercise caution in the market:"Against that background, the new regulatory requirement for dealers and brokers to hold an interim permission, and then apply for FCA authorisation, will need to be carefully managed by the regulator if competition and the availability of responsibly-provided credit are to be maintained in this market."
