Car loan: what is the profile of the typical borrower?

Often, future car buyers invest most of their efforts in research and comparison to find the perfect vehicle. Most don’t think about financing their purchase until they’ve found the right deal. You should know that buying a car also involves taking out a car loan. For this reason, it is important to take note of the options available and study the offers on the market. You must also get an idea of ​​the profile of the typical borrower.

What you need to know about auto credit

Whether it is to buy a new or used car, auto credit is one of the best ways to finance such a purchase. Once the loan application is accepted by the lending institution, the borrower receives the amount needed to pay for his new vehicle. He will thus undertake to repay the sum borrowed in addition to interest in the form of monthly payments. To this end, the use of the auto credit comparator makes it possible to find the offer adapted to each profile.

The car loan is an assigned consumer loan, this means that it is only intended for the purchase of a vehicle. In this sense, the borrowed money cannot be used to finance other purchases, unlike other types of unrestricted consumer credit. The borrower can use part of the amount borrowed to pay for equipment as well as other expenses related to the vehicle acquired (accessories, child seat, GPS, registration fees, etc.).

Like any other credit, various elements impact the amount of monthly payments, namely: the duration of the loan, the personal contribution and the interest rate. Auto credit has several advantages, as it is easier to obtain compared to other types of credit. It is more accessible for different borrower profiles who wish to finance the purchase of a car. Also, the borrower only begins to repay his loan after receiving his vehicle. If the sale is not concluded, the credit is automatically cancelled.

See also  The average price of young driver car insurance

Read also: All about auto credit

Profile of the typical car loan borrower

In order to put the odds on your side and obtain your loan, you must present a complete file and justify your financial situation. In other words, the borrower must prove that he reflects the perfect profile of the borrower and that he is able to repay the monthly payments over the period stipulated in his auto loan agreement.

In France, loans intended to finance the purchase of a vehicle represent 47% of consumer loan applications. In this context, it is necessary to define the typical profile of applicants for this type of credit:

The family and professional situation

As with work credit, auto credit applicants are mostly married or in a couple. However, car credit is attracting more and more singles. Holder of a CDI, the typical borrower benefits from a good professional situation with a stable income.


The average age of the typical borrower is 37 years old. Indeed, the majority of people who apply for a car loan are men whose age
varies between 36 and 38 years.


A typical borrower earns an average salary of €1,707 per month. This value is close to the median net salary in France, which was €1,797 in 2019.

The amount of the loan

The typical borrower subscribes to a car loan in the amount of €17,545. This represents the average amount of this type of loan for all applications recorded in France in 2019.

The duration of the repayment

Car loans have a duration of more than 4 years. This is the average auto loan term. This is usually due to the amounts borrowed which tend to be quite high. The duration may possibly be longer (5 to 7 years) so as not to weigh on the financial situation of the borrower. This is a factor that affects monthly payments, which tend to be higher as a result.

See also  Tips for lowering the price of your health insurance

Read also : How to cancel car insurance?

Laisser un commentaire

Retour en haut
Retour haut de page