Greater access to credit should improve auto sales

The auto industry suffered a significant loss of revenue during the depths of the recession as the idea of a new car went from a luxury into an impossibility. However, that trend may finally be turning as consumers gain more access to auto lending, the Detroit Free Press reports. According to Jeff Schuster, executive director of forecasting at J.D. Power and Associates, individuals looking for a car loan to purchase a new car are more likely to get the capital they desire. The improvements could especially help younger car buyers who were denied credit during the recession due to a lack of borrowing history. "Consumer credit has loosened since the height of the recession," Kurt Rankin, economist for PNC Financial Services Group, told the Free Press. In 2011, forecasts call for more auto loan dollars in the market. Total car lending fell to $696.8 billion in Q2 2010. However, Mark Zandi, chief economist for Moody's Analytics, predicts that number will climb each quarter of 2011 before reaching $716.4 billion in Q4 2011.