Lower Auto Loan Rates Benefited Black Friday Shoppers

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Automotive Editor

Based out of the Washington, D.C. area, Joel Patel is an automotive journalist that hails from Northern Virginia. His work has been featured on various automotive outlets, including Autoweek, Digital Trends, and Autoblog. When not writing about cars, Joel enjoys trying new foods, wrenching on his car, and watching horror movies. 

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, Automotive Editor - December 6, 2019

Black Friday is usually a great time for shoppers to buy TVs, computers, and household items, but it also turned out to be a great time for shoppers to purchase a new vehicle. According to a report by Edmunds, the average interest rate for new vehicle loans was 5.5%, the lowest number it’s been this year. Despite the low average interest rate, the outlet found that the average transaction price for a new car climbed even higher.

As the outlet states, the average annual percentage rate (APR) was 5.5% in November, down from 5.7% in October and 6% last November. More startlingly, 21.8% of car shoppers managed to snag an interest below 3% this month. Last year, only 18.6% of shoppers managed to get a financing rate that low.

“Shoppers who made it out to the dealership this November got to take advantage of some of the biggest bargains all year thanks to a combination of Black Friday and model-year selldown promotions,” said Jessica Caldwell, executive director of insights at Edmunds.

Nissan Altima

We found some great Black Friday deals on cars, including some with APR rates below 3%. Honda was offering 1.99% APR on certified used cars, Subaru had a 0.9% APR offer on the Subaru Ascent, and the 2020 Nissan Altima, 2020 Nissan Rogue, 2019 Nissan Maxima, and 2019 Nissan Murano were all eligible for 0% financing for 60 months.

Despite the lowest interest rates since February 2018, Edmunds claims that new car prices continued to increase in November. The average transaction price of a new vehicle increased to $37,981 – an all-time high. Last year, the figure hovered around $37,188. Five years ago, the average transaction price was $33,282.

View this month's top financing offers »

, Automotive Editor

Based out of the Washington, D.C. area, Joel Patel is an automotive journalist that hails from Northern Virginia. His work has been featured on various automotive outlets, including Autoweek, Digital Trends, and Autoblog. When not writing about cars, Joel enjoys trying new foods, wrenching on his car, and watching horror movies. 

Follow On: Twitter

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