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BOARD OF GOVERNORS
OF THE
FEDERAL RESERVE SYSTEM

April 30, 1945
R4IS ate - 2

SALiS FINANCE OOKP.AHUS
lfARCH 1945
used passenger cars financed b,y aalea finance companies increased

!he number ot
30 per .
oent during Karch and the dollar ~lume ot paper purchased showed about. the same percentage gain.
Hew passenger car financing increased 8 per cent iJ1 number during the month, and about 9 per cent
in the dollar amount ot paper acquired. !here was a rise ot approximately 38 per cent in the
number or new commercial ~ehiclea tinanoed in March and a somewhat .-aller increase in the amount
ot such paper purchased. !he number or used ocaaercial cars financed in March was up 26 per cent
over that tor the preceding month and the dollar amount ot paper purchased increased 34 per cent.

I·~

Retail Automoti n Financing b,y Sales Finance Companies
Outstanding Balances at End ot Month, December 31, 1939 • 100
INDEX
200

INDEX
200

150

150

100

100

50

,,.

50

0

0
11141

.
...

:,

I

:.

:

The volume ot retail automotin outatandinga held by aalea tinance"oompaniea on March 31
waa only slightly leas than a JIOnth earlier. The index tor these outatandiQg balances, as shown
on the chart below, remained unchanged at J.4.

...

1942

11143

11144

1945

Wholesale automotin outatandinga held b,y aalea finance companies increased about l per
cent during March. Paper arising trom wholesale aalea ot new passenger and COJIIIIl8rcial cars acquired during the month was about 27 per cent higJler than in the preceding month, while the volume
from wholesale transactions in used oars, both passenger and commercial, waa nearly 10 per cent
above last month.
The llarch volume or retail diversified financing waa about 16 per cent larger than in the
preceding month .nd balances outstanding were up slightly. Paper arising from retail aalea ot
furniture, radios and musical instruments was 38 per cent above last month, and the volwae baaed on
aalea or refrigerators and other household appliances was one third above the February volume. The
amount or residential repair and modernization paper acquired during March waa one firth larger
than the preceding month' a acquirements.
Wholesale automotive paper purchased during March was equivalent to 47 per cent or the
balance outstanding at the end ot the month. :Retail automoti n paper purchased was 17 per cent and
other retail consumer paper acquired was 11 per cent ot the reapecti ve balances outstanding at the
end of March. The volume ot induatrial, commercial, and tara equipment paper acquired during the
1a0nth waa 20 per cent or the balances outstanding on March 31.
Hote.--Collection ot atatiatica from a&lea finance companies was tranaterred to the Board
Reae~ Syatam, effective with the February 1945 report. 'l'beae data
were formerly compiled b,y the Bureau ot the Census, United States Department of Commerce. The
purpose ot this transfer was to centralize in a aingle agency the collection ot atatiatica in the
instalment aalea financing and consumer loan fields, thus facilitating more orderly coverage and
avoiding unnecessary overlapping ot reporting groupe.
·

ot Gonrnora ot the Federal

Karch data, baaed on returns from 180 sales finance companies, are compiled in the aame
manner aa those shown in earlier reports. Aggregates represent only the totals tor the reporting
 and, since the reporting sample ia not identical trom 11011th to mopth, they are not
co111paniea
http://fraser.stlouisfed.org/with totala ot preceding months.
comparable
Federal Reserve Bank of St. Louis

Page 2
SAlES FINANCE COIIPANIES

. .,.,

Table !,--Automotive and Diversified Financing by Sales Finance Companies
Indexes of Outstanding Balancesa December 31, 1939 • 100 !( ,
Total
all
Retail
sales
automotive
financing

End of month
and year

'

Wholesale
automotive

Wholesale
other
than
automotive

Retail
other
consumers•·
goods

.....

Industrial,
commercial,
and farm
equipment

1939 •• ...•..••••.•••••

100

100

100

100

100

100

1940 •••••••.••.•••••••

136.

132

169

140

129

131

1941 ••••••••••••••••••

152

149

175

)250

l4B

147

53

37

112

40

76

61

1943 ••• .•••.•••.••••••

20

13

40

8

30

27

1944 ••••••••• •••••••••

18

15

24

11

26

26

1944-

18
18
19
19
19
19
19
19
18
18

13'
13
14
15
16
16
16
16
16
15

37
37

12

26
25

30
31
32
32

18
18
18

15
14
14

194-2 • •••••••••••••••••
'

March••••••••••
April ••••••••••
lla.Ye:•••••••••••

June •••••••••••
July •••••••••••
.August •••••••••
September••••••
October ••••••••
lfovember •••••••
.December •••••••

1945- January ••••••••
February•••••••
llaroh••••••••••

11
11
11

36

34
29
26
25

10
10
12
10
10

24
23
24

11

25
26
26

14
15
18

24
24
24
24
25
25
26
26

26

26
26

'

1"·

"

27
27
27
25
23

27
26
30

Indexes as of December 31 for the years of 1939, 1940, and 1941 are based on figures reported.by
sales finance companies on a supplementary report form which accompanied the regular monthly report form for January 1942, Succeeding indexes are derived by calc\llating the percentage
changes of the outstanding balances reported by sales finance companies for each month from
those reported by the same compenies for the preceding month, and by linking these percentages
to t~e indexes for the preceding month.

Table 2.--Relative Importance of Loans Made by Sales Finance Companies
During
llarch 1945
and Outstanding Balances at End of' Month
Paper acquired
· during month
Class of paper
Amount

..

Outstanding balances,
end oi' month

Percentage
of total

Amount

Percentage
of total

Total, all classes of paper !/••••••••

t83.194.538

100

Total loans ••••.•••••.•••••••••••.••

~8.140.!11~

}.,6

86.18~.642

30

Small (personal) loans ••••••••••••
Business lO.:ns ••• .• •......••••....•

9,073,151
29,067,268

11

35

43.578,881
42,604,761

15
15

Total sales financing !/••••••••••••

45.054,119

54

203,213,220

70

$269.396.862

100

!( Included in this classification are only those firms which, in addition to their seles financing
operations, reported loan activities.
tor eaall (personal) loans and bueineae loans u percentage of total
month should have read 9 per cent and 42 per cent, respectively.

Digitized forOorrection.--ll'ebruaey figures
FRASER
http://fraser.stlouisfed.org/
paper acquired during the
Federal Reserve Bank of St. Louis

..

.,..

P~e

3 ·

SALES FINANCE COMPAIIIS

...
Table 3.--Autamotive and Diver.sified Fin.ancing
January 1942 • 100

ITBI4

i

•

•

.

J.t

.ij'

~~ S~lea

Finance Companies

~

19lt4

:i"

!

::-.

.-1

~

.
. 2- .
.p

bb

~

fll

.p

8

1945

~
r.lil

. . . .

0

~

~·

.0
G)

""'

~

RETAIL AlJTO¥>TlVE

32· ~1 39 39 39 31 30 32 29 25 24 24
38 38 49 51 51 48 40 ~ 31 33 31 31
6 6 9 9 6 6 4 -4 4 3 3 2
New passenger cars •••••••••••.• ·.NUJilber ......... ••••
Paper acquired ••••
9 8 12 13 8 8 6 6 5 5 4 3
New commercial c8.r.s ••••• ••·•••• • Num.ber ••••••••••••
7 10 14 9 15 18 30 27 22 30 22 18
Paper acquired •••• 13 il 15 13 16 20 24 22' 19 25 21 17

Total number of cars financed••••••••••••••••••••••
Total volume of. paper acquired ••••••••.• • •••••••••.••

32

41

3
4
25

24

Used passenger oars •••••••••••• Number •.••••••••••
Paper acquired ••••

36 35 ~ 45 45 ~ 34 36
47 47 6o 62 64 59 48 51

27 26 27
31 36 31

35
48

Used commercial oars ••••••••••• Number •••••••••• ! .
Paper acquired ••••

10 9. 12 12 11 12 16 16 14 22 17 15
19 17 24 26 24 23 31 34 28 46 36 30

40

~

19

WHOLESALE AUTO~OTIVE
(Paper acquired)
'

Total volume of paper acquired•••••••••••••••••••••

4

6

n

80

38

49

47 45 56 56 59 58 59 53 48
23 21 21 22 23 29 23 24 27 19

55
22

4 5 4 5 4 4 4 5 6
Used cars (passenger and commercial) ••••••••••••• 77 79 88 74 40 51 52 57 55 65 71
~ew

oars (passenger and commercial) ••••••••••••••

18

15 17 18 16 10 12 12 12 12 14 16 15
~

6

FINANCING
(Paper acqUired)

DI~RSIFIED

'•

Total diversified financin&••••••••••••••••••••••••
Total retail, other consumers' goods •••••••••••••

27 29 35 31 35 43
'

34 35

~

45

~

45

~

~

F'urni ture, radios, JIIUSi cal instruments •••••• ~ ••

I~

11

16 15 17 17 18 13 17 14 14 17 16

Residential building repairs and modernization.

74 77 111 129 118

Mi. scellaneous rete.il ••.•.. •. • .....• .•........ ~ ..•

•

20

Refrigerators and other household appliances •••

....

21

64 65 66 58 61

Total wholesale, except automotive •••••••••••••••
Industrial, commercial, and far.m equipment •••••••

!/

4

3

3

4

3

~

.

1}1 136 133 114 99 94 114

99 115 113 139 207 172 154 143

4

3

4

5

5 13

7

10

70 89 74 6a 63 52 48 68 35 39 54 55 206

Indexes are derived by calculating the percentage changes in the number of cars financed or the
volume of paper acquired by sales finance companies during each. month from the number of oars
financed or the volume of paper acquired by the same companies during the preceding month, and by
linking these percentages. to the indexes for the preceding month. The indexes for "Total retail
automotive," "Total wholesale automotive," and "Total retail, other consumers' goods" are baaed on
all figures reported for these items regardless o£ whether or not breakdowns could be supplied.




26

Pap.
SALIS FIIIAJICI CCIIPAIIIIS

table 4.--Automoti~ and D1~rsified Financing b7 Sales Finance Companies
Paper Acquired During llaroh 1911.5 and Balances Outstanding at End ot Jlonth

·'

Class of paper

Volume ·or paper acquired
clurlq llal'oh 1911.5
By companies
By all
reporting
oampanies
outstandl:J
reportlng
balances

Outstanding
balances
llai'Ch
1945

;7

Ratio paper
acquired to
outstandi;,
bllanoea b

'

Total retail autCIIloti w •••••••••••••••••••
Total wholesale automoti~••••••••••••••••
Total wholesals - other than automoti~ •••
Total retail- other consumers' goods •••••
Industrial, commercial, and farm equipment

120,58;5,8~

5,826,610
1.o62.825

Total aales financing •••••••••••

t47,3Wlt587

y
'!!/

120,o6;5,981
,136
5.587.384;
1.053.!210

.t115,87;,790
41,569,625
1,146.370
,0,623,367
!2.259.Wl4

17
,47
35
11

llP.472,298

1214,472,636

22

19,~,287

19,4;56,081

~9,198

20

Data are based on figures from sales finance campanlea able to report both their paper acquired and
their outstanding balance a.
Ratios. obtained by dividing paper acquired (column 2) by outstanding balances (column 3).
Table

+

ot cars Financed and Volume ot Papar Acquired
by Salea Fi11anl?8 Campanies During llal'oh 1945·

5.--~ber

llumber of oars
Clails of paper
Number

Paper acquired

Percentage
ot total

Total retail automotive ••••••••••••••••

~~.o~

lew paSsenger oar••••••••••••••••••••
lew COIIID8i"o1al oar a • ••••• , ••• , '• ••••• ,
Uaed paaae~r oar•••••••••••••••••••

Used commercial oars •••••••••••••••••

157
612
31,055
1,210

Total·wholeaale automoti'V8,, •••••••••••

21.00~

100

New oara (passenger and oommeroial) ••
Used oars (pasaenger and oommeroial).

6,665
14.338

68

100

¥
94
4

32

Dollar
"Volume
I1I.8L2.LU2

Pereentage
of total

!/..

174.846
789,536
16,047,833
830,234
116.308.829 ~
5,239,111
ll,o69.718

100
1
4
90
5
100

'

32

68

I

!{ Data are based on reports from sales finance companiea providing a breakdown of their retail and
wholeaale automotive financing. Theso amounts are less than those reported in table 4 due to the
exclusion of some data for which breakdowns were not available.
'!!/ Leae than one half of one per cent•.

.

Table 6,--Volume of Diversified Sales FinancinE During llarch 1945

Class of paper
Retail - other consumers• goodsa
Purni ture, radios, pianos, and other muai cal instruments ••
Refrigerators and other ho~sehol~ applianoas ••••••••••••••
Residential build1ng·r•pairs and 111odernir.ation ••••••••••••
M1ace 11 ane oue retai 1 • •••••••••••••••••••• , •••••• •:• •••.••••

Dollar volU!IIII
of paper &!)quired

Percentage
ot total
11
2

47
19
79

Total retail- other oansumers' good••••••••••••••••••••••••••
Total wholea•le - other than autamot1l8•••••••••••••••••••••••
Industrial, c~rcial, and farm equi);lllltnt ... ·................ .

6
.15

Total diversified financing •••••••••••••••••••

100

!f

Data are based on reporta fr0111 sales finance companiea prodding a breakdown of their retail
financing of other consumers• goods. This amount is less than that reported in table 4 due to the
exclusion of ac.e data tor which breakdowns •re not a'VIilable.

http://fraser.stlouisfed.org/
\
Federal Reserve Bank of St. Louis