Shopping for a new car? Interest rates dropped ever so slightly this week in our national index for the shorter-term new-car loans. The 60-month new-car loan rate came in at 7.05 percent, unchanged from last week; the 48-month new-car loan rate dropped 1 basis point to 7.02 percent; and the 36-month new car loan slipped 1 basis point to 6.96 percent.

Used-car interest rates are up this week. The 48-month used-car loan rate rose by 2 basis points to 7.81 percent, and the 36-month used-car loan rate also climbed by 2 basis points to 7.77 percent.

In light of all the troubles afflicting banks and captive auto finance companies, credit unions are ready and willing to lend to auto buyers. According to a story published Dec. 17 in The Wall Street Journal, a group of credit unions from different states will be making $22 billion in loans available to members for the purchase of any vehicle.

That may spark a trend, as credit unions have been less affected than banks by the mortgage catastrophe and can benefit from the trouble that captive financing companies are experiencing.

-- Sheyna Steiner

 See auto loan rates in your area.