Strong Consumer Borrowing at Summers End Fuels Rise in Lease Applicants

Categories


CAR LEASE CREDIT APPROVALS REACH NEW 2014 HIGH FOR SECOND STRAIGHT MONTH

Strong Consumer Borrowing at Summer’s End Fuels Rise in Lease Applicants

Cincinnati, OH (September 18, 2014)

Swapalease.com, the nation’s largest car lease marketplace, reports lease credit approvals during the month of August 85.7%, the highest monthly level of 2014 and besting July’s rate of 81.0%.

August now marks the second-straight month of lease credit approvals, and well above the 70% mark considered healthy on the Swapalease.com marketplace. After dipping into a year-to-date average low of 64.5% in June, the annual tally is now up to 68.5%. The company believes a rise in SubPrime car shoppers have weighed down the credit approvals rate in 2014, as more shoppers in this credit profile have applied for a lease.

The last three months has proven to be a turnaround for the year, as 73.8% of applicants have been approved over that time.

A new appetite for consumer borrowing appears to be driving additional interest in car lease shopping. The Wall Street Journal reports that consumer borrowing rose in July. Outstanding nonrevolving credit, which includes car and student loans, rose at a 10.6% rate to $2.4 trillion according to the report.

2014Lease Credit Approvals & Data Comparison
2014Monthly AppsYear To DateYear Ago MonthYear Ago YTDLast 3 MoLast 12 Mo
Jan70.6%70.6%80.0%80.0%70.6%0.6%
Feb66.7%66.7%60.0%73.3%66.7%66.7%
Mar69.6%68.8%70.0%72.0%68.8%71.7%
Apr65.7%67.7%77.3%73.6%67.1%70.4%
May60.6%65.9%88.9%75.3%64.8%68.5%
Jun56.5%64.5%63.6%73.9%61.5%67.6%
Jul81.0%66.5%80.6%75.6%64.9%67.1%
Aug85.7%68.5%68.2%74.5%73.8%68.7%
Sep
Oct
Nov
Dec