Consumers Returning to Extended Car Loans, Again

 

With the economy improving and many folks still reeling from what some economist almost deemed as the Great Recession, consumers are back to stretching out the terms of their car loans, again. According to the Detroit News, so far this year, 30 percent of new-car loans are being expanded from 6 to 10 years. While doing this offers consumers the ability to drive away with more car than they would necessarily afford or allow payment sensitive customers to have lower monthly notes. There are warning signs buyers should heed, before getting worked into one of these 'car mortgages,' as we termed it a few years ago for an article we wrote for Black Enterprise magazine.