Auto loan rates pulled back still further, reestablishing record lows. The average 4-year new car loan rate fell to 4.32 percent. The 5-year new car rate also dropped to 4.48 percent.
Used car rates were down more modestly, with the average 3-year used car rates dipping to 5.12 percent.
Despite a run of weak economic data, auto sales remain strong with pent up demand meaning drivers are replacing aging vehicles that otherwise would've been traded in a few years ago. Strong auto sales and record low auto loan rates make for a reinforcing cycle.
According to TrueCar.com, May auto sales totaled 1.3 million cars and trucks ... up 26 percent from the same month a year earlier.
If you're in the market for a new or used vehicle - you should start shopping for the best interest rate by visiting Bankrate.com.