Consumer credit: stability in the first quarter of 2019

13 Mar

A little bit of slack: the production of consumer credit was lower in March than in the same period in 2018 (-1.8%). Nevertheless, the first quarter of 2019 ended in slight increase (+ 0.4%), after – it is true – a year 2018 which had been particularly sustained.

A chilly March for credit

A chilly March for credit

The volume of consumer loans fell below 3.7 billion USD (3.64 billion $) in March 2019 according to figures from the French Association of Financial Companies, and even below 3 billion USD for conventional consumer credit operations ($ 2.93 billion, -2.7%). The fault of the cumulative decline in personal loans (-9.2%) and revolving credits (-2.6%) , which are not enough to compensate for the affected credits (+ 6.8%), carried by works loans and financing home equipment (+ 18.8%).

Personal loan in sharp decline

Personal loan in sharp decline

If we take a step back over the whole of the first quarter of 2019, the slight increase is to be sought more on the side of LOA operations or leasing with option to purchase (+ 5%) than that of conventional consumer loans , again weighed down by the loss of speed of personal loans (-5.4%) and revolving credit (-2.5%). The latter two nonetheless represent more than half of credit financing over the period ($ 5.6 billion). The appropriations allocated, which retain a margin over the LOA ($ 2.6 billion against 1.9), resist the image of those allocated to the financing of a vehicle excluding cars (+ 7.4%).

Opportunity Car Financing

Opportunity Car Financing

In terms of car financing, the contrast is striking between car credit in new and used . In March, funding for new models fell 2.2%, with a marked drop in conventional auto credit, which fell below 200 million USD (-5.5%). On the other hand, on the other hand, we are bordering on double-digit growth (+ 9.9%), with a crazy increase in LOA (+ 50.6%) and solid growth in classic car loans (+ 5.8% ) which approaches 400 M $. In the first quarter, the finding is less severe for new cars (+ 1.2%) and even more positive for the occasion (+ 13.7%). In volume terms, new cars ($ 2.17 billion) continue to weigh more than second-hand models ($ 1.2 billion), however.

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