Car Buying on Hold for Some
Georgia members are opting to keep their current vehicles longer rather than pay for a new or used automobile.
According to a new poll from the Georgia Credit Union Affiliates, 77.1% of respondents are staying put for now. Still, 13.2% said they plan to purchase a vehicle in 2011 and 16.4% indicated they were considering a new vehicle. New vehicle loans grew by 0.52% during the first quarter, but decreased by 4.08% over the past year in Georgia.
The GCUA’s "Georgia Credit Unions’ Paying Attention" report compiled recent poll responses from more than 4,000 members and aggregated data from credit unions statewide.
Meanwhile, 20.9% said they plan to spend more on travel in 2011 than in 2010, while 37.8% plan to spend less, according to the GCUA poll. The numbers also revealed that 50.8% of respondents put off travel or vacation plans in 2010, while 51.5% said they spent less on travel in 2010 than they did a year earlier.
Overall, Georgia’s members are reluctant to spend money on big ticket items, opting instead to increase their savings. Total savings deposits rose at a rate of 4.6% during the first quarter of 2011 and 8.3% over the past 12 months. The number of bankruptcy filings among members decreased by 3.18% during March 2011 compared to a year earlier.
"It's no surprise that Georgia consumers are still reluctant to get out there and spend given the continued economic uncertainty," said Mike Mercer, president/CEO of GCUA.