Parts shortages have made it an expensive nightmare toThe Federal Reserve raised interest rates again on Wednesday by .75% to TK
With more cars to choose from on dealership lots, things are getting a bit easier for U.S. consumers after years of chaos in the auto market. According to Edmunds, the average annual percentage rate on new-vehicle loans rose from 4.2% last October to 6.3% today, hiking the typical monthly payment from $655 to $703 along with it. On the secondhand market, rates jumped from 7.4% to 9.6% and monthly payments from $520 to $564. surpassed 9.6% was in early 2010, according to Edmunds.
"New vehicle inventory might finally be improving, but the automotive industry is still on a long road to recovery because rising interest rates are creating a major barrier to entry for car shoppers," Jessica Caldwell, executive director of insights at Edmunds, said in an email.