Full text of G.20 Sales Finance Companies : May 31, 1944

The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.

1

,

.,, '· " ..,, • ·.:-:'s nr n~

t ... :, ;

For
Release
Way :u, 1944

, : . :r ~, '"". : ,v~.. T£:1

JUN -7 1944
It UBRARY

Current
Statistical
Serrl.ce

DEPARTMENT OF COMMERCE
BUREAU OF THE CENSUS

SALE'S FINANCE COliPANIES

APRIL 1944
<~IJ "')"!

'l ..

Sal6a finance companies reported almost DO change in the numb.er of new passenger cars finance4
in April 1944 compare4 with those of the preceding month, while the dollar voluma of paper acquired in
thil type of financing decreased slightly (~),according to an announcement released today- by J. c. Capt,
Director of the Cet~Sus. A a-.11 (3%) decrease. in the nwuber of used passenger care financed was reported,
along with a dollar voluae almost equal to that of :llarch thie year.
Forty-six percent more new coamerical vehicles were financed in April than in:llarch this year, but the value of this paper •s 10 percent
less than that recorded in :llareh.
The nwnber of used colllllerical vehicles was down 5 percent and the
dollar vol\11118 of such paper wa11 off 15 percent. Data contained in this report are based on a ll&lllple survey conducted by the Bureau of the Oen11ua.
The volume of retail automotive outstandings held by sales finance companies on April 30, 1944
increased slightly (2%), but the index r8JIIained at ].3.
OUTSTANDDIG BALANCES
RETAIL, AU'l'OJI)TIVE P'mANCING
IIECDIBER 31, 1939 • 100
INDEX

•

2oo.---------------.----------------.----------~----.---------------

•

50

19 41

19 42

1943

194 4

Of the wholesale automotive paper acquired by sales finance companies during
volume for new passenger and commerical cars was 84 percent higher than that reported for
the volume for used passenger and commerical cars increased slightly (3%).
The volume
balances for this type of paper showed a small (2%) increase over that held at the end of

•
I

April 1944. the
March 1944, and
of outstanding
March 1944.

For April 1944 compared with March 1944, in retail diversified financing, refrigerators and
household appliances registered a gain of 44 percent in paper acquired; residential building repairs and
modernization gained 4 percent; while furniture, radios, and musical instl'UIII8ntB dropped back 5 percent •
The financing of industrial, commerical, and farm equipment increased 26 percent, but paper acquired for
the wholesale lines (other than automotive) was 8 percent 11hort of the volume reported in March 1944.
Compared with March 31, 1944, outstanding balances held by sales finance companies at the end
of April 1944 were increased 4 percent in volume for industrial, commerical, and farm equipment, but were
down 4 percent for retail--other consumers' goods and 5 percent for wholesale--other than .-automotive.
Based on the index which is carried each month in this report as table 1, total outstanding balances for
all sales financing in April 1944 was 45 percent less than outstandings at the end of April a year ago
and 86 percent less than the tota-l for April 1942.
Paper acquired during April 1944 was 31 percent of the outstanding balances as of April 30,1944
for wholesale automotive, 19 percent for wholesale--other than automotive, 18 percent for retail automotive, 11 percent for industrial,cornmerical, and farm equipment,and 9 percent for retail--other consumers•
goods.

These data on the current trends of saleB financing during April 1944 were based on reports
from 197 sales finance companies, and the dollar volume11 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 adjustments for seasonal or price fluctuations. The figures presented in tables 4, 5,
and 6 of this release are not comparable to those published for previous months, since monthly reports
have not been received each month from identical sales finance companieB. All indexes for April were
obtained by calculating the percent changes from March 1944 to April 1944 as shown by data on reports for
both months from the same sales finance companies, and by linking these percentages to the indexes previously derived for March 1944.



Page 2
SALES FINANCE CCI4PANIES

Table 1.--Automotive and Diversified Financing
!ndex of Trends in Outstanding Balances by Class of iaper
December 31, 1939 = 100

!/

'Total
all
sales
financing

Retail
automotive

·Wholesale
automotive

-Wholesale
other
than
automotive

Retail
other
consumers 1
goods

Industrial,
commercial,
and farm
equipment

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 - Dec. 31 ••.•...

53

37"

112

40

76

61

1943 - Apr. 30 .......
- May 31 •••.•••
-June 30 .•.•••.
- July 31 .......
-Aug. 31 •••.•••
- Sept.30 •.•••••
- Oct. 31 .......
- Nov. 30 •.•••••
- Dec, 31 .......

33
30
27
25
23
22
21
20
20

20
18
16
15
15
14
14
14
13

81
70
63
59
52
47
45
42
40

24
12
11
10
8
8
7
7
8

52
47
44
40
38

49

34
32
30

41
39
36
33
35
27

31 •••••••
29 ••.••••
31 •••..••
30 •••••••

19
18
18
18

13
13
13
13

38
37
37
37

10
10
12
11

29
27
26
25

26
31
30
31

Date

1944 - Jan.
- Feb,
-Mar.
- Apr.
~

36

46
44

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 calculating the percent changes of
the outstanding balances reported by sales finance companies for each month frou those reported
by the same companies for the preceding month, and by linking these percentages to the indexes
for the preceding month.

Table 2.--Relative Importance of Loans Made by Sales Finance Companies, April 1944
Volume of Paper Acquired During the Month and Outstanding Balances at the End of the Month
Paper acquired
during month
Class of paper
Amount

Outstanding balances,
end of month

Percent
of
total

Amount

Percent
of
total

!f.........

$68 826 241

100

$225.338143

100

Total loans ••••••••••••••.••.••....••
Small (personal) loans ••.••.•••••.••
Business loans •••••••••••.•••••••.•

.:n~226188l

.22.
7
48

7212141087
27,003,340
45,210,747

E

5,001,777
32,955,104

Total sales financing ~····•·•••••••

30,869,360

45

153,124,056

68

Total, all classes of paper

Bureau of the Census

!/

•

12
20

Current StatJ.st.Lcal Service

Included in this classification are only those firms which, in addition to their sales financing
operations, reported loan activities.




•

'

,

rae•

SALES FINANCE C<JIPANIES

·'!'able 3 .-AutomotiTe and Diversifi'ed Financing
Indq:: of '!'rends, 1943-1944 !I
Januar7 1942 • 100

1943
Item

:;:l

J4

~

:i'

•

1>.

~ ~

i

1944

..;

e-

fl)

.

~

8

!

.
~
• .,5 ~ ~ ~
()

c::l

""

RE'l'AIL AUTOllO'l'IVE

•

3

Total number of cars tinanced •••••••••••••••••••••••••
'l'otal volume ot paper acquir.ed ••••••••••••••••••••••••
New JB.&Hnger cars •••••.••••••.•••• • NUmber •••••••••••
_paper acquired •••

.36 35 34 33 34 33 29 28 28 23 26 32 31
40 39 38 36 39 37 33 32 32 28 31 .38 38
33 30 23 19 18 ll 11 8
39 36 28 23 22 14 1.3 10

Hew eaaa8rcial cars •••••••••••••••• Rumber ••••••••••• 14 11 13
Paper acquired ••• 15 12 15

.9

9 25 20 17
'9 ll 18 13 12

6 8
8 10
5
8

6
8

6
9

6
8

8 12 7 10
9 12 13 11

Used passenger cara •••••••••••••••• Number •••••••••••
Paper acquired •••
'

37 36 37 35 38 36 31 31 32 26 29 .36 35
41 40 42 41 44 44 38 38 38 33 38 47 47

Used collllliBrcial cars ••••••••••••••• Number •••••••••••
Paper acquired •••

22 21 10 13 13 6 14 9 10 8 8 10 9
35 33 18 20 22 12 27 19 27 16 18 19 17

WHOLESAlE AUTOMOTIVE
(Paper acquired)

"

Total volume ot paper acquired ••••••••••••••••••••••••

9

7

9 10

9

9 10

9

9 11 12 15 17

New cars {paas~nger and commercial) •••••••••••••••••

6

4

4

4

3

3

2

2

Used cars {passenger and-commercial) ••••••••••••••••

3

4

3

3

6

32 22 33 47 37 39 50 50 46 50 64 77 79

DIVERSIFIED FINANCING
(Paper acquired)

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

29 31 28 30 33 30 41 32 30 34 27 29

Total retail, other consumers• soods ••••••••••••••••

30 38 42 39 42 47 41 49 42 37 36 34 35

FUrniture, radios, IIRlsical instruments ••••••••••••

27 31 33 28 28 23 27 24 26 30 21 21 20

Refrigerators and other household appliances ••••••

18 22 26 15 14 12 12 15

Residential building repair and modernisation •••••

48 54 77 81 89 94 92 ll5 100 69 73 74

Mlacellaneoua retail ••••••••••••••••••••••••••••••

67 101 87 78 86 125 75 94 75 80 88 64 65

•
,

Total wholesale, except

automotive.~··••••••••••••••

Industrial, commercial,and farm equipment •••••••••••
Bureau of the Canaua

!/

I

24

5

5

3

2

2

2

2

2

9 16

2

7

9 ll 16

4

4

.,
3

1+1 38 37 22 28 27 38 157 54 54 194 70 89
Current Statistical Service

Indexes are derived b7 calculating the percent. changes in the !lumber of cars financed or the vol'MII ot.
paper acquired by sales finance com}:lanies duriD& each month from the number of care. financed or tbi'VOlt118
ot paper acquired by the same companies during the preceding month, and by linking the. . percentacee to
the indexes tor the precedin& month.
The indexes tor 11'rotal retail automotive," "Total wholeeale auto •
motive," and "Total retail, other conal.Ders• goods" are baaed on all figures reported tor these items regardless ot whether or not breakdowns could be supplied.




'

.

!?age 4
SALES FINANCE COMPANIES

Table 4.--Automotive and Diversified Financing
VolU1118 of Paper Acquired During April 1944 and Balances Out'&t.anding April 30 1 1944
Volume of paper acquired
during A_pJ'ill944
B,r companies
reporting
B,r all
cCIIIpanies
outs~anding
balances a7

Class of paper

Total retail automotive •••••••••••••••••••••
Total wholesale automotive,,,,,,,,,,,,,,,,,,,
Total wholesale - other·than automotive ......
Total retail - other consumers' goods., ......
Industrial, commercial, and farm equipment •••
Total sales financing ••••••••••••••

$20,089,252
18,796,089
153,883
3,991,023
61~,008

t43,645,255

Outstanding
balances
April 30 1
1944 !I

Ratio paper
acquired to
outstanding
balances HI

$19,694,237
18,707,926
ll6,483
3,929,967
6ll,260

$108,088,072
60,458,470
605,860
45,088,427
~ ,668,026

18
31
19
9

:u

$43,059,873

$219,908,855

20

!I Data are based on figures !rom sales finance companies able to report both their paper acquired and their
outstanding balances.
obtained b,r dividing paper acq~ed (column 2) b,r outstanding balances (column 3).

HI Ratios

Table 5.-Automotive Financing
'Number of Cars Financed and Volwne of Paper Acquired During April 1944
Paper acquired
Percent.
of
total

Number or cars
Percent
Number
of
total

'Class of paper

Dollar
volume

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

~

!QQ

fl2,Z88,2~tt

New passenger care ••.••.....•....•.....•..

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

783
227
35,620
586

2
1
95
2

766,795
576,916
18,084,892
360,351

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

21,260

!QQ

116,261,34~

New cars (passenger and cOJIIllll!rciaJ..) •••••••
Used cars (passenger and commercial) ••••••

7,269
13,991

34
66

5,434,556
10,826,789

!f

!I

100
4
3
91
2

!I

!QQ
33
67

Data are based on reports from sales finance companies providing a breakdown of their retail and wholesale
automotive financing, These amounts are less than those reported in table 4 due to the exclusion of some
data for which breakdowns were not available.

Table 6 .-Diversified Financing
Volume of Paper Acquired During April 1944
Class of paper
Retail - other consumers' goods:
.
Furniture, radios, pianos,and other ·mudcal instruments.
Refrigerators and other household appliance•••••••••••••
Residential building repair and modernization,,,,,,,,,,,,
Miacellaneoua retail •. .............•..•..•••.••........•

Dollar volWIIII

Percent
of
total

$637,592
220,694
2,ll4,124
223.358

13
5
45
21

Total retail- other consumers' goods ••••••••••••••••••••••••
Total wholesale- other than automotive,, ••••••••••••••••••••
IndustriAl:-, commercial, and farm equipment •• ; ••••••••••••••••

$3,965,768
153,883
61~ 1 008

84
3

ll

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

$4,734,659

100

I

Bureau of the Cansus

Current Statistical Service

....
Data are based on reports from &ales ~inance cOmpanies providing a breakdown of their retail !inancina of

other consumers 1 goods. This amount is leas than that reported in table 4 due to the exclusion of some
data tor which breakdowns were not available.
http://fraser.stlouisfed.org/

!I

Federal Reserve Bank of St. Louis

•
J

'