Near prime and nonprime consumers are seeing some relief from affordability challenges in the automotive industry following rate cuts by the Federal Reserve but remain cautious about elevated monthly payments.

New-vehicle registrations among near prime and nonprime consumers increased 1% year over year and 7% month over month to 161,435 in the second quarter, highlighting an increase in supply and incentives for consumers, according to a report from automation fintech Open Lending published Nov. 15.

The increase in new-vehicle purchases reflects a slight boost in consumer confidence following the rate cuts but also highlights ongoing supply and pricing issues in the used-vehicle market, Kevin Filan, senior vice president of marketing with Open Lending, tells Auto Finance News.

In this episode of the “Weekly Wrap,” Auto Finance News Associate Editor Ashley Savage discusses nonprime and near prime registrations, interest rates and refinance opportunities with Filan.

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