Full text of G.20 Sales Finance Companies : March 24, 1942

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IWtli

BURG~

Current
Statistical
Service

..
.
·SAI.Jr8 ·liHANCE CQUPARIBS
January 1942

liBRARY
·
·A decrease of 78 .percent, from December 1941 to· January 1942, in the amount of new automotive
tinancins tor both the nUJDber of cars aiid tor the dollar volume of J)aper acquired was announced toda,v
The number of uaed cars financed wae down 31 percent tor the
by J. C, Capt, Director of the Census.
same. period, while the dollar volume of used car paper acquired was dOwn onl.r 24 percent, Ou.tstandin&
balances tor·retail automotive paper was down 7 percent, but the outstandins balances tor wholesale
automotive paper wae up 12 percent. These data clearl.r refiect the trends in automotive tinanctns res'liltins fr!XA the restrictions on the sale of new cars and on the gnnttns of credit tor install..llent
sales financtns. It should benoted, however, that the volume of
acquired during Jamtar.r includes
the financiq of a number of new cars sold durin&· earlier periods,

paper

As indicated in the chart, outstandins balances tor retail automotive financins rose from an
index of 100 on January 31, 1940 to 134 on January 31, 1941 and to 139 6n January 31, 1942.
The index
for Januar7 ~~ 1942 was 10 points lower, however, then for December 31, 1941.
~TANDING BALANCES
RETAIL AU'l'OJIO'fiVE FINANCING
~N

i·

DEC~ER 31, 1939. • 100

DEX

...

20,0

150

100

•

50
0

1940

1941

1942

This monthlT report redlaces the one for •Automobile F.t.nanciif which has been p11blished .b7
the Bureau of the census. theta from :340 s&!es ?LUiiice comp&iiles
'"Wblished as reported without
seasonal or other adjustments, Forty-five states and the District of Columbia are represented, and all
types of sales finance caapanies eqaged in automotive and diversified financins of wholesale and retail
saies ha'n been included.

s

The purpose of this survey of the sales finance caapanies is to. show the current trends month .
The dollar volwnes reby month of their outstandiq balances and of their volume ot paper acquired,
ported mq not be used to indicate the total amount of financing by all of the sales finance companie&
While the purpose is to show current trends, the data are related, as far as possible, to comparable
data for previous ,years by 1118ans of index numbers.
An:r use of these indexes to calculate current volUMS tor all sales finance caapanies 111118t ,be qualified by assumptions ae to the representativeness ·of
the sample.
To show· trend from one month t:o another,; schedule.s ·from an.r one co.lllp8D1' IIII1Bt be available tor
both months. Thu schedules sent in for January were matched with the automobile finance schedules for
December to obtain the current trends of auto~bile tinanctns. · Furthermore,. since the base period for
the index ot outstaadin& balances is December 31, 1939, and since schedules could not be matched for
December 1939 and January 1942, the index of·the outstandins balances as of January 31, 1942 1 was obtained by calculatins the percentage decrease of the outstanding balances, as shown by the matched
schedules, and by linking this· percentage to t_he index previousl.r derived tor December 1941. The indexes for outstandins .balances .as of December 31 for 1939, 1940, and 1941 were calculated from the data
sent in on a supplementary report to the monthlt report tor January 1942, while those for retail automotive as of the end of the month t.o.r January to November, 1941, were calculated traa the data in the
"Automobile Financing" report previoual.r published by the Bureau of the Census, These indexes are reported in table•l.
The current trend tor the volume of automotive paper acquired is reported in table 3. Inde:~G­
es tor the mcinths of January 1940, and of January and December of 1941, were derived trom data published in the "Automobile Financins 11 repart,with the 1939 .monthly average as the base. The index tor January
1942 was obtained by linking the percentage decrease in the volume of paper acquired as shown by matched schedules to the index for Decemb8r 1941.
·

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Page 2

SALES FINANCE C<JO>ANIB8

Table 1.- Index of Trends in Outstanding Balances by Class of Paper
December 31, 1939 • 100
.. ·
Total
all

Date

sales
financiM_

.

Wholesale
other
coniiUIIIers'
goods

Retail
other
consumers'
goods

100

100

100

100

169

119

129

97

-

---

Wholesale
automotive

Retail
automotive

!/
In<1ustr1a.l,
conunercial
and farm
equipment

1939 - Dec. 31 ••...

100

100

1940 - Dec. 31 •••••

136

132

1941 - Jan. 31 •••••
- Feb, 28 .....
-Mar. 31 •••••

-

175

217

148

-

196

232

143

91

,31 •••••

--.

30 •••••
31 .....

152

134
138
142
152
163
171
176
178
170
164
157
149

1942 - Jan. 31 .•..•

147

139

0

!/

- Apr.
-May
-June
- July
- Aug.
- Sep.
- Oct.
- Nov.
-·Dec.

-

)0 •••••

31 .....
30 •••••
31 ••••.•
31 •••••

-

3() ......

-

.

-

--

-

-

-

-

-

-

--

-

,;

--

-

--

----

--

---

·-

-

93

Data based on an inquiry conducted in February 1942, except those for January 31 through November 30,
1941 on retail automotive paper, which are derived from the report 11 Automobil.e Financing" previously
published by the Bureau of the Census, Not all sales finance companies hold all five classes of paper.
Consequently, the number of companies whose data are included in any one item varies.

Table 2.- Outstanding Balances by Class of Paper
Based on Reports from a Sample of Sales Finance Companies
December 31, 1939, 1940 and 1941 and January 31, 1942

Dec. 31,·1939
Class of paper

Dollar
volume
(add 000)

!/

% of

total

Dec. 31, 1940

Dec, 31, 1941

Dollar % of
volume total
(add 000)

uo.uar
volume % of
(add 000) total

volume
(add 000)

% of
total

15

295,732

18

9,150

1

9,752

1

17

301,332

17

291,959

17

1

11,810

1

11,604

1

67

1,000,064

65

1,126,798

Wholesale automotive ••••••••••

151,045

14

254,938

17

264,628

goods, ...•...•.•........••••

4,211

El

5,008

El

Retail--other consumers' goods

204,026

18

263,981

Industrial, commercial and
farm equipment ••••••••••••••

12,704

1

12,351

Total ••••••••••••••••••

1,127,723

100

!f

UO.l..l.&r

63

755,737

Bureau of the Census

Jan. 31, 1942

66 1,052,112

Retail automotive •••••••••••••

Wholesale--other consumers'

!/

1,536,343 100

1,713,718 100 i,66i,i59'!!! 100
Current

Stat~st~cal Serv~ce

The data in this table represent 302 sales finance companies, not all of whom hold all five classes
of paper. The relation between retail automotive and retail other consumers' goods for 1939 thus
'varies slightly from that reported in Census of Business: 1939 Sales Finance Companies.
B/ Less than 0,5 percent.
£1 This amount is less than that reported in table 6 .due to the inclusion in the latter table of data
from companies that could not report their outstanding balances for the previous years.


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Page 3

SALES FINANCE COMPANIES

Table 3·- Index of Trends in Volume of Automotive Paper Acquired
1939 Monthly Average
100

=

!I

Retail financing
Period

New cars
1naex or
dollar
volume

Index of
number

Used cars
Index of Index or
dollar
number
volume

Total

E/

Index of
number

Index of
dollar
volume

Wholesale
financing
indeX
of
dollar
volume

1939- Monthly average ••

100'

100

100

100

100

100

100

1940 -.January •••.•••••••

93

95

a6·

89

88

93

151

1941- January ••••••••••

117

130

115

129

ll6

130

189

- December •.•••••••..

64

77

88

llO

80

92

158

1942- Januar,y ••••••••••

14

'
17

61

84

45

47

82

§/ Data for January 1942 based on reports for that month from 222 companies who had also reported for December 1941. Data for 1939, 1940 and 1941 derived from the report "Automobile Financing" previously
published by the Bureau of the Cena1s.
E/ Data in tl:ds column based on reports from canp&niss providing the breakdown in the two preceding columns and also reports from eanpanies who could not supply a breakdown between new and used cars.
(

Table 4.- Automotive Financing
. Volume of Paper Acquired During January 1942

!I
Volume

Number of cars
Class of paper

.

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

New

~assenger

cars ••••••••••••••••••••

New trucks, buses, tractor-trailers •••

Used

Percent
of
total

Number

Percent
of
total

Dollars

125;304

100

$54 .766 .452

12,641

10

9,666,816

18

2

3,013,143

5

2,261.

!Y

100

cars ••••.••••••••••••••

104,813

83

39,843,646

73

Used trucks, buses, tractor-trailers ..

5,589

5

2,242,847

4

passe~gar

Total wholesale
automotive
••••••••••••••
'
.
New cars (passenger and commercial) ...
Used cars (passenger and colllll8r ci al) ••
Bureau of the Census

!f

Bf

-

-

-

$84.888.863

!Y

100

75,072,638

88

9,816,225

. 12

Current Statistical Service

Data based on ·reports from sales finance companies providing a breakdown of their retail and wholesaie
automo\ive financing. Not all sales finance companies hold each class of pape.r, consequently the number of companies ·whose data are included in any one item varies.
These amounts are less than those reported in table 6 due to the inclusion in the latter table of the
data from sales finance companies that could not provide a breakdown. .

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Page 4

SALES FINANCE· COl.IPANIES
Table 5.- Diversified Financing
Volume of Paper Acquired During January 1942

!/

Volume of paper acquired
Class of Paper

Percent of
total

Dollars
Retail- other consumers' goods:
F'tlrni ture • ..•••.•.......••-..................,• • . • . .

$

Radio, television sets, pianos and other musical
instrwnent s . •••..•.•••••••.••••••.••••..•••.•••
Refrigera,.tors, (gas and electric) •••••••••••••••
Other household appliances .......................
Residential building repair and moderniz~tion; ••
Miscellaneous ..retail .••.. .· ••••••••••••••••••••••

314,694

3

421,128
1,282,686
759,954
2,)54,44f1•,
l,Olt,lt,,202

4
13
8
23
10

cons~ers' good.s. • • • • • • • • • • • •

6,177,111

Total wholesale - other ctinsumers' good.s. • • • • • • • • •

3,210,600

31

.Industrial, commercial, and farm equipment ••••••••

822 613

8

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

$i0,210,324

100

Total retail - other

El

61

!I Data based on reports from sales finance companies providing a breakdown of their retail financ-~ng of other ccmsumers' goods.
Not all sl!les finance companies hold each class of paper. Con·sequently,the numi:Ser of companies whose data are included in any one item varies.
E/ This amount is less than that reported in table 6 due to the inclusion in the latter table of
the data from companies that could not provide a breakdown.

Table _6.- Automotive and Diversified Financing !/
Volume of Paper Acquired During January 1942 and Balances Outstanding January 31, 1942
Volume of paper acquired
durin£ January 1942

'

Class of paper

Outstanding balances
January 31 1942

Dollars

Percent
of total

Dollars

Total ret.ail automotive ••••••••••••••••••••

$ 55,109,971

31

$1,203,582,833

Total wholesale ·automotive •••••••••••••••••

103,005,974

59

295,978,585

Total wholesale - other consumers' goods ••.•

3,183,893

2

9,814,841

Total retail - other consumers' goods ..••••

12,611,589

7

292 ,206.{108

-

Industrial, commercial and, farm equipment ••

802 647

1

11 626:"292

·"""":'..

'

,

~- ··,,..,~·

-~~

Total sales financings •••••• ,.,,.

$174,714,074

100

$1,813,202,659

.q-

c·,
...

:::~

--~~:

.

Bureau of the _Census
Current Statistical Service·
!/.Data based on reports from companies reporting comparable figures for outstanding balances and
tor paper acquired. Not all companies hold each ·qlass of. paper. Consequently, the number of
companies Whose data are included in any one item varies.

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