CHICAGO— New data from TransUnion show auto loan demand remained under pressure heading into 2026, with originations slipping even as monthly payments and financed amounts continued climbing and delinquency growth, while still rising, began to cool.
In its Q1 2026 Credit Industry Insights Report, TransUnion said auto loan originations fell 0.92% year-over-year in Q4 2025 and remained roughly 10% below pre-pandemic Q4 2019 levels. Super-prime originations dropped 5.4%, while prime-plus lending declined 2.9%, reflecting what the company said were ongoing affordability pressures and some pull-forward demand ahead of the September 2025 expiration of the EV tax credit.
At the same time, consumer-level 60-day-plus delinquencies edged up to 1.57% in Q1 2026 from 1.56% a year earlier. But the pace of deterioration continued to slow, with the one-basis-point annual increase following a six-basis-point rise in Q1 2025 and a 16-basis-point jump in Q1 2024—suggesting credit stress remains elevated but may be stabilizing.
Payment pressure, however, remains intense. TransUnion said average monthly payments on new vehicles rose 4.3% year-over-year to $786, while used-vehicle payments increased 2.9% to $536. Amounts financed also moved higher, climbing 6.6% on new auto loans to $45,028 and 5% on used auto loans to $27,232, underscoring the affordability squeeze lenders and borrowers continue to face.
Q1 2026 Auto Loan Trends
|
Auto Lending Metric |
Q1 2026 | Q1 2025 | Q1 2024 | Q1 2023 |
| Total Auto Loan Accounts | 79.1 million | 80.0 million | 80.1 million | 80.1 million |
| Prior Quarter Originations1 | 6.2 million | 6.2 million | 5.8 million | 5.8 million |
| Average Monthly Payment NEW2 | $786 | $754 | $745 | $741 |
| Average Monthly Payment USED2 | $536 | $521 | $520 | $520 |
| Average Balance per Consumer | $24,925 | $24,413 | $24,035 | $23,214 |
| Average Amount Financed on New Auto Loans2 | $45,028 | $42,257 | $41,209 | $41,524 |
| Average Amount Financed on Used Auto Loans2 | $27,232 | $25,925 | $25,675 | $26,292 |
| Consumer-Level Delinquency Rate (60+ DPD) | 1.57% | 1.56% | 1.50% | 1.34% |
Source: TransUnion U.S. Consumer Credit Database