According to Edmunds, Americans are making record high payments on new vehicles, at an average of $717 in Q4 2022, 50% higher than 2010.
Edmunds also reported that the number of consumers who financed a new car in the fourth quarter with a monthly payment of $1,000 or more rose to 16%, compared to 10.5% in 2021. Rate increases have caused consumers to rethink their new vehicle purchase plans as the average annual rate for new vehicles rose to 6.5% in Q4 2022.