Today, doxoINSIGHTS released two new reports, revealing that Americans as a whole spend $743 billion annually on Auto Loans and Auto Insurance combined. The Auto Loans report breaks down the $493 billion market for auto loans in the U.S. It also ranks all 50 states, the US’s 50 largest cities, and hundreds of towns and cities in terms of average monthly expenses.
These reports come an opportune time. Interest rates on auto loans are at a near-peak high over the last eight years, with supply chain issues and limited inventory pushing both new and used car prices up. Simultaneously, inflation is impacting not only auto purchasers, but insurers who are passing the more expensive cost of vehicle repair and replacement on to consumers. doxoINSIGHTS’ price rankings show consumers how much they can expect to pay for cars compared to their neighbors.
Auto Loans Market Size and Household Spending Snapshot
- Total Market Size: $493 billion spent per year
- Average Monthly/Annual Cost: $433 spent per month; $5,196 spent per year
- Percent of Households: 73% of U.S. households pay Auto Loans
- Average Annual Cost per U.S. Household: $3,793 per year*
- Percent of Annual Income: Auto Loan bills amount to 8% of consumers’ income per year
Read the full report below. You can also refer to our Auto Insurance report for a supplementary look at how much U.S. residents pay in monthly car insurance bills as well.
*Average Monthly Bill x % of Households with Bill x 12 months per year = Average Annual Cost per U.S. Household.