Many reports have come out recently declaring there is a shift in the car industry today with Millennials toward smartphones, as opposed to driving. According to the latest numbers from TransUnion, one of three credit reporting agencies, that just isn't the case. So, not everyone is hiking a ride with Uber and Lyft or using a car-sharing program like ZipCar.
Here are the facts:
- More than 71-million consumers had an auto loan in the first quarter of 2015, an increase of 1.2 million from the previous time period in 2014 and the largest growth since the Great Recession. Consumers under age 30 experienced the largest increase, with 8.5% year-over-year growth. (TransUnion)
- The youngest consumer group – those under age 30 – continued to experience average balance growth in the first quarter of 2015. The average auto loan balance for this group was $14,995, up 3.1% from $14,550 in the first quarter of 2014. The number of younger consumers with an auto loan balance also grew in the first quarter. Nearly 900,000 more of these consumers had an auto loan than in the first quarter 2014, an 8.5% year-over-year increase. (TransUnion)