Full text of G.20 Sales Finance Companies : March 5, 1943

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•

Immediate
Release
March 5, 1943
SALES FINANCE COMPANIES
January 1943
In January 1943,the number of new passenger cars financed by sales finance companies was off
slightly (3%) from the number in December of this year, according to an announcement released today by
J. c. Capt, Director of the Census. The dollar volume of paper acquired in this type of financing remained at approximately the same level as in December. There were 11 percent less of used passenger
cars financed, and a 12 percent decrease in the dollar volume of paper acquired. Compared with the
preceding month, the number of new, commerciaL cars financed was :U. percent more than in December and
the doLLar volume of paper acquired, 30 percent. The number of used commercial cars financed increased
7 percent, while the dollar volume of paper acquired rose 14 percent.
_
Retail aUtomotive outstanding• held by sales finance companies, continuing the decline long
in evidence, showed a 15 percent decrease in volume as of January 31, 1943 compare!i with December 31,
1942.
OUTSTAliDING BALAllCES
RETAIL AUTOMOTIVE FINANCING
INDEX
DECEir!BER 31, 1939 = 100

200r--------------.--------------.---------------,

•

1941

1942

1943

Wholeaale paper acquired in January 1943 for new passenger and new commercial cars was off
9 percent in volume from the preceding month; but for used passenger and used commercial cars, there
was a gain of 11 percent. The volume of outstanding balances for this type of paper lost 5 percent
from December 31, 1942 to January 31, 1943.
For January 1943 against December 1942,retail diversified financing showed the usual.seasonal declines in the financing of furniture (:U.%), industrial, commercial, and farm equipment (28%),
refrigerators (30%), other household appliances (32%), radios and other musical instruments (59%),and
residential building repair and modernization (70%). In wholesale diversified financing, the volume of
paper acquired was down 26 percent from December to January.
The volume of outstanding balances as of January 31, 1943 for the retail financing of other
conSUIIIISrs 1 goods decreased 8 percent; for the financing of industrial, commercial, and farm equipment,
~percent; and for wholesale diversified financing (other than automotive), 17 percent.
The ratios of the paper acquired during January 1943 to the outstanding balances as of January 31, 1943 were 3 percent for retail automotive, 3 percent for wholesale automotive, 6 percent for
wholesale--other than automotive, 3 percent for retail--other consumers• goods, and 6 percent for industrial, ccmmercial, and farm equipment.

These data Qn the current trends of sales financing during January 1943 were based on reports
tram 234 sales finance companies, and the dollar volumes should not be assumed to represent the total
amount of financing by all sales finance companies in the United States. The data are published. as
reported without adjustment for seasonal or price fluctuations.
The figures presented in tables
5, 6, and 7 of this release are not comparable to those published for previous months,since monthly
reports heve not been received each month from identical sales finance companies. All indexes tor
January were obtained by calculating the percent changes from December to January, as shown by data on
reports tor both months from the same sales finance companies, and by linking these percentages to the
indexes previously derived for December 1942.
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Page 2
.9ALES FINANCE COMPANIES

Table 1.--Automotive and Diversified Financing
Index of Trends in Outstanding Balances by Class of Paper
December 31, 1939 100

=

•

y

Total
all
sales
financing

Retail
automotive

1939 - Dec, 31 ..•••••

100

100

100

100

100

100

1940 - Dec, 31 .•.•••.

136

132

169

140

129

131

1941 - Dec. 31 •••••••

152

149

175

250

148

147

1942 - Jan,
- Feb.
-Mar.
- Apr.
-May

147
143
1.35
125
115
105
95
84
75
67
60
53

139
128
116
105
95
86
77
67
59
51
44
37

196
234
2.3.3
222
208
193
175
151
137
124

262
293
252
191
153
130

143
139
1.35
131
126
118
110
103
96
89
83
76

144
15.2
155
156
153
148
140
134
124
110
64
61

Date

Wholesale
automotive

Wholesale
other
than
automotive

Retail

other
co~•'

gooiU

Industrial,
commercial,
and !arm
equipment

I

31 •••••••
28 •••••••

31 •••••••
30 .••••••
31 •••••••

- June )0 •••••••

-July 31 •••••••
-Aug. 31 •••••••
- Sept.JO •••••••
- Oct. 31 •••••••
-Nov. 30 •••••••
- Dec. )l •......
1943 - Jan, 31 ••••.•.

97
8S
74
52
40

us

112

31

48

uo

107

70

34

e

'

60

!I Indexes as of December 31 for the years of 1939, 1940, and 1941 are based on figures reported by
aales finance companies on a supplementary ~eport form which accompanied the regular monthly report form for January 1942. Succeeding indexes are derived by calculating the percent changes of
the outstanding balances reported by sales finance companiea for each month from those reported
by the aame companies !or the preceding month, and by linking these percentages to the indexes
for the preceding month.

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I

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I
Table 2.--Automotive Financing
Index of Trends in Number of Cars Financed, 1942-1943
January 1942 = 100

!/

----------.,~====;===~===~====;===::1;29[1;4~2;:;-r-_-_-_--.--===:::===~===:===~:;1~9:.,4-;-::~3;:--_
Class of paper
Feb. Mar. Apr.

May

June July Aug.

Sept. Oct.

Nov.

Dec.

Jan.

----------------~---+---+---+---+---r---r---r---r---r---r--~---

Total retail automotive..

70

78

64

59

61

61

54

42

32

27

20

18

New passenger cars,,,,;

22

4.3

40

58

52

53

50

40

14

10

27

45

25

22

19

9

New commercial cars. • • •

31 23

23

10

8

6

3

4

Used passenger cars....

77

83

68

60

64

63

55

34

28

21

19

Used

74

69

55

45

46

42

34

43
28

21

16

12

13

co.~~~~~ercial

cars...

Bur.eau of the Census

!/ Indexes

Current Statistical Serv1ce

are derived by calculating the percent changes in the number of cars financed by sales
finance companies during each month from those financed by the same companies during the preceding month, and by l.inld.ng these percentages to the indexes for the preceding month. The indsxes for 11 Total retail automotive" are based on all figures reported !or this item regardless
of whether or not a breakdown could be supplied.

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Page 3

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SALES F1NANCE COMPANIES

Table 3.-Autornotive Financing
Index of Trends in Volume of Paper Acquired, 1942-1943
January 1942 = 100
Class of paper

1942
July Aug.

!/
.l<li..1

Feb.

Mar.

Apr.

May

June

Nov.

Dec,

Jan.

Total retail automotive •• , ••••

62

73

57

55

57

58

52

41

32

25

19

17

New passenger cars ••••••••••

22

46

42

60

55

57

54

45

26

16

11

11

New commercial cars •••••••••

28

48

34

25

29

25

23

11

9

8

Used passenger cars •........

73

81

62

4

5

55

60

60

54

42

34

28

22

19

Used commercial cars ••••••••

76

69

58

47

51

47

39

34

28

22

17

20

Total wholesale automotive ••••

93

39

19

16

12

12

10

10

9

6

5

5

New cars (pass, & comm,) ••••

100

37

17

14

10

8

7

7

6

5

4

3

Used cars (pass. & comm,) •••

67

66

40

37

29

29

28

27

29

14

13

14

Sept. Oct.

!( Indexes are derived by calculating the percent changes in the volume of automotive paper acquired
by sales finance companies during each month from the volume 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" and for "Total wholesale sutorootive 11 are based on all figures
reported for these items regardless of whether or not breakdowns could be supplied.

•

~dex

Table 4.--Diversified Financing
of Trends in Volume of Paper Acquired, 1942-1943
January 1942 100

Class of paper

=

!/

1942
1943
July Aug. Sept. Oct. Nov. Dec. Jan.

Feb.

Mar. Apr. May

June

Total retail,other consumers' goods.

103

137 123 108

80

59

54

52

60

52

60

30

FUrniture •••••••••••••••••••••••••

88

122 110

97

73

66

59

59

64

55

71

62

Radios, pianos, and other
musical instruments •••••••••••• ,

108

141

72

37

33

30

31

28

33

29

40

16

Refrigerators

(gas and electric),

147

250 132 105

63

34

22

19

23

15

11

7

other household appliances, •••••••

115

169 116

80

46

31

37

36

28

23

21

14

Residential building repair and
modernization •••••••••••••••••••

92

119 127 128

98

84

77

76

82

64 142

43

Miscellaneous retail ••••••••••••••

144

155 131 131 142

124

117 135

97

87

88

63

Total wholesale, except automotive •• 128

106

52

24

18

12

11

9

10

6

3

2

Industrial, commercial, and farm
eq\).ipment • ••••••••••••••••••••••••

124

158 162

85

49

46

31

27

40

30

59

42

Total diversified financing ••••

111

130 107

86

62

47

42

40

46

39

45

23

Bureau of the Census

!/ Indexes

Current Statistical Service

are derived by calculating the percent changes in the volume of diversified paper acquired
by sales finance companies during each month from the volume 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 other consumers' goods" are based on all figures reported for this item
regardless of whether or not a breakdown could be supplied.

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Page 4

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SALES FINANCE COMPANIES

Table 5.--Automotive and Diversified Financing
Volume of Paper Acquired during January 1943 and Balances Outstanding January 31, 1943
Outstanding
balances
January 31,
1943 ~

Class of paper

Ratio paper
acquired to
outstanding
balances B/

Total retail automotive......................
$257,513,552
3
Total wholesale automotive...................
171,819,781
3
Total wholesale- other than automotive......
1,466,976
6
139,904,448
3
Total retail- other consumers• goods........
Industrial, commercial, and farm equipment...
5,675,131
6
Total sales financings •••••••••••••r-,r,~~~~~~~~~~~--~~5~7~,~3"79~,~8~8~8.-t-----~3------a Data are based on figures from sales finance companies able to report both their paper acquired and their
outstanding balances.
£I Ratios obtained by dividing paper acquired (column 2) by outstanding balances (column 3).

Table 6.--Automotive Financing
Number of Cars Financed and Volume of Paper Acquired during January 1943
Number of cars
Perc:ent
Number
of
total

Class of paper

Paper acquired
Percent
Dollar
of
volume
total

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

21,258

100

i8,222 1 800

New passenger cars • ••• , •....•.••...•••.•••.
New commercial cars ••••••••••••••••••••••••

1,165
79
19,159
855

5
1
90
4

1,022,885
95,524
7,338,607
472,784

Used passenger cars ••••••••••••••••••••••••
Used commercial cars •••••••••••••••••••••••

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

-

-

$4z840z662

New cars (passenger and commercial) ••••••••
Used cars (passenger and commercial), ••••••

-

-

3,024,232
1,816,430

-

Y

.!QQ

12

1
82
5

Y

.!QQ

62
38

!I Data are based on reports from sales finance companies providing a breakdown of their retail and wholesale
auto1110tive financing.
These &IIIOunts are less than those reported in table 5 due to the exclusion of some
data for which breakdowns were not available.

Table 7 .--Diversified Financing
Volume of Paper Acquired during January 1943
Class of paper
Retail - other consumers' goods:
F\lmiture ••• , ••.•• ,, ••••••..•• , •• • ..••...••
Radios ,pianof, & other musical instruments.
Refrigerators (gas and electric) ••••••••••

Dollar volume

Miscellaneous retail •••••••••••••••••••••••

$355,825
60,207
60,065
57,038
1,022,941
483,646

Total retail- other consumers• goods ••••••••
Total wholesale- other than automotive ••••••
Industrial, cOJIIIIISrcial, and farm equipment •••
Total diversified financing ••••••••

$2,039,722
106,031
368,153
$2,513,906

Other· household appliances •••••••••••••••••

Residential bldg. repair &. lll)demization •••

Bureau of the· Censu•
~

Percent
of
total
14
3
2
2

41
19

y

81
4
15

roo

Current Statistical Service

Data are based on reports from sales finance companies providing a breakdown of their retail financing of
other consumers• goods. This amount is less than that reported in table 5 due to the exclusion of some
data for which breakdowns were not available.

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