The Equipment Leasing and Finance Association’s (ELFA) Monthly Leasing and Finance Index (MLFI-25), which reports economic activity from 25 companies representing a cross section of the $1 trillion equipment finance sector, shows their overall new business volume for October was $8.4 billion, up 2% year-over-year from new business volume in October 2016. Volume was down 3% month-to-month from $8.7 billion in September. Year to date, cumulative new business volume was up 4% compared to 2016, according to ELFA.
Receivables over 30 days were 1.40%, unchanged from the previous month and unchanged from the same period in 2016. Charge-offs were 0.41%, up from 0.40% the previous month, and up from 0.37% in the year-earlier period.
Credit approvals totaled 74.6% in October, up from 74.0% in September. Total headcount for equipment finance companies was up 17.1% year over year, largely attributable to continued acquisition activity at an MLFI reporting company.
Separately, the Equipment Leasing & Finance Foundation’s Monthly Confidence Index (MCI-EFI) in November is 67.0, up from 63.7 in October.
ELFA President and CEO Ralph Petta says, "Equipment finance originations continue to grow, albeit slowly, as some sluggish market verticals show signs of rebounding. This trend, coupled with buoyed confidence in overall economic conditions, pave the way for a very healthy end-of-year bump."
For more information, visit: www.elfaonline.org