Credit Unions Relished Used Cars
Vehicle loan originations continued to be a bright spot for credit unions this year.
Through September, vehicle loan growth was estimated to be close to 9% with new vehicle loans up 8.3% and used vehicle loans up 9.4%, according to Brian Turner, director and chief strategist at Catalyst Strategic Solutions, an investment subsidiary of Catalyst Corporate Federal Credit Union in Plano, Texas.
From a drop in gasoline prices to a bevy of lures rolled out by manufacturers to woo shoppers, the auto industry is on track to post its highest volume since the year before the economy took a turn for the worse in 2008.
Sales growth are in the double digits, with domestic car and truck sales increasing 25% since 2011, according to Auto Nation Inc., which tracked activity through June 2012. The sale of imports skyrocketed 56%, with more than 11,500 cars and trucks sold in June alone.
And in Texas, it’s no secret that going big is the likely way to go in the Lone Star state.
Auto loans have helped the $6.7 billion Security Service Federal Credit Union to become the top credit union indirect lender in the country.