News & Resources

Lending up for emergency automobile expenses, alternative credit sources still needed

Dec 06, 2012 Philip Burgess

In its most recent quarterly report, the Federal Reserve Bank of New York stated that while the overall indebtedness of United States consumers has deflated from $74 billion to $11.31 trillion in the third quarter of 2012, this decrease is largely due to a drop in home equity and mortgage-related debt. However, outstanding automotive loan debt, which contributes significantly to total consumer debt, is the highest it has been in nearly four years at $768 billion. Additionally, the third quarter of 2012 saw automotive loan balances increase for the sixth consecutive quarter. Consumers with a less-than-perfect consumer credit report have options when seeking out alternative credit with which to finance their automotive expenses. Investigating alternative short term financing options for automotive repairs or overdue car payments may be a wise decision for those worried about their consumer credit score. Some effective methods for financing emergency automotive expenses might involve short term lending. Short term loans, short term loans and ID verification are alternatives to traditional credit. These systems are consumer-friendly money lending alternatives that are safer options for both loan seekers and lenders, and can help to ensure that loans are being approved for fit applicants.