Cheap car finance loan providers posted better-than-expected quarterly reports, bolstered by higher net interest margins. The stock market reaction has been muted, suggesting room for gradual accumulation by long-horizon investors. Fundamental signals point toward sustainable growth. In this case, however, getting rid of their car debt — either through a trade-in or private sale — is still going to leave them with plenty of debt to settle. It's being done as Tesco chief executive Ken Murphy said he expected people to spread Christmas spending over a wider period to be more manageable and affordable. Cheap car finance securities are drawing interest from income-focused investors as average dividend yields approach 3.5%. This is supported by robust loan repayment rates, a critical metric in assessing credit quality.
