SCHAUMBURG, Ill.–()–The automotive finance market saw strong performance during the first quarter, according to Experian’s Q1 2021 State of the Automotive Finance Market report. Total open automotive loan balances increased from $1.168 trillion in Q1 2020 to $1.288 trillion in Q1 2021. Much of the growth was driven by captive lenders, who saw significant growth year-over-year, from 23.82% of the automotive finance market share to 28.02% from Q1 2020 to Q1 2021.

Prime and super prime consumers continued to make up the largest portion of financing in Q1 2021, comprising 64.88% of total financing, compared to 60.56% a year ago. In addition, the findings show that prime consumers are opting to finance new vehicles in larger quantities. In Q1 2020, 66.61% of prime and 50.15% of super prime consumers opted for used vehicles, which decreased to 62.76% and 45.41% in Q1 2021, respectively.

The industry…

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