Executive Summary:
It’s getting much harder for many people to afford a car or truck. Some of the financial squeeze may be attributed to shorter-term issues, such as higher post pandemic interest rates and inflation wreaking havoc on household budgets. Other factors, such as high prices for gas-powered cars and even pricier EVs, seem to be permanently undercutting affordability and contributing to a
structural change.
Since 5 out of 6 new vehicles require financing for purchase, auto lenders need to take a more strategic approach to consumer billing and payments. The key is leveraging technology-driven solutions to make the most of key touchpoints to build loyalty and keep monthly payments arriving on time.
