November 2026

Auto Finance Trends

🚘  Affordability issues to continue in 2027 as consumers stretch auto loans, put less money down

Affordability pressures are expected to persist well into 2027. As borrowers stretch loan terms and put less money down, loan-to-value ratios climb and negative equity risk grows — a real concern for your lending team and the members you’re working hard to serve.

The AFG programs are designed for exactly this environment. It gives members a lower monthly payment option while protecting them from negative equity at term end. A better outcome for your members, and a manageable risk profile for your institution.

🚘   Used SUV prices hit $25,000 for first time

Used vehicle prices continue to climb. According to the CARFAX Used Car Index, the average used SUV topped $25,000 for the first time in October, up 4.4% year over year. For your lending team, that translates to higher amounts financed, longer terms, and greater negative equity exposure when members are ready to trade in.

The AFG programs give your members a way to manage those higher prices without the tradeoffs. Lower monthly payments on used vehicles without stretching the term, and a guaranteed future value that helps them avoid the negative equity cycle at trade-in time.

Events

AFG will be in attendance at the following events. If you’d like to learn more about our programs, you can make an appointment with an AFG representative.
Click here to schedule it.

Governmental Affairs Conference
February 28 – March 4, 2027
Washington, D.C.

🎥 You can also watch the recording of our recent webinar: “Residual-Based Financing: Every Question Answered, Real Client Examples Shared”. Watch Now.

AFG Partner Experience

Hudson River Community finds that when their members are feeling the squeeze and payment is the reason they can’t move forward with a vehicle purchase, they already have the solution with the AFG program— one that fits members’ budgets without stretching terms or compromising their lending standards.

Spotlight on Affordability

Affordability is a critical concern for many borrowers in a highly fluctuating vehicle market. AFG will highlight a vehicle each month that showcases how the AFG walk-away balloon and vehicle leasing programs offer a more affordable payment compared to conventional financing.