New-vehicle interest rates reach 10-year high

The shortage of low or no interest rate deals in the new-vehicle market drove the average loan interest to a 10-year high last month, according to Edmunds.

And as many car buyers cope with sticker shock, Edmunds also found that most customers weren’t willing to buy a new compact or midsize vehicle, rather than a truck or SUV, to lower their payments. A lease is often considered a tool to lower new-vehicle payments, but even payments on the most commonly leased vehicles have surged since 2016, the last time customers with 2019 lease returns were likely in the market.