The latest car lease credit approvals data from Swapalease.com shows 2013 has started out with the strongest credit health since the recession.
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The latest car lease credit approvals data show 2013 has started out with the strongest credit health since the recession. According to credit approvals data from Swapalease.com, the nation’s largest automotive lease marketplace, 77.3% of customers were approved during April, up from 70% during the previous month.
Credit remains the lifeblood of car leasing, and lenders must approve each individual looking to take over a lease on the Swapalease.com marketplace. Once approved, the incoming driver completes the remaining portion of the car lease contract, while the outgoing person is no longer obligated to make the monthly payments.
In looking at the credit approvals data further, 73.6% of Swapalease.com customers have been approved so far in 2013, compared with just 57.5% approvals during the first four months of 2012. This also compares to 68.3% of approvals during the first four months of 2011.
“The automotive industry has continued to grow in 2013, with new sales expected to be marginally higher than 2012 levels,” said Scot Hall, Executive Vice President of Swapalease.com. “Above this, key economic factors such as continued job growth, low gas prices and a healing housing market have all helped personal credit levels, allowing more consumers with credit approvals.”
The lease transfer process does not impact a person’s credit score negatively. In fact, the opposite occurs as lease companies list the outgoing driver as having completed their payment requirements once the transfer is finalized.