What Is the Average Lifespan of a New Car in the United States?

If you answered C) 12 years, you are correct! According to data from S&P Global, the average vehicle on the road in the U.S. today is around 12 years old: “As of 2024, the average age of vehicles on U.S. roads is approximately 12.6 years.” This is a major shift from previous decades, when a car approaching the 10-year mark was often seen as nearing the end of its useful life.

How Long Do Cars Last These Days? Historically, the average lifespan for a new car was around 11–11.5 years, rising steadily over the decades. Some projections suggest further growth to around 14.5 years by 2029, reflecting continued reliance on older vehicles amid affordability pressures (Bankrate, 2025). The good news is that today’s vehicles are built to last longer, with better safety features, fuel efficiency, and durability. This can make your financing decision all the more important, however, as you consider paying off a potentially higher-quality car.

 

Start Your Summer Journey Right. Summertime in Colorado invites adventure, whether that means winding down scenic Grand Mesa roads, road trips, or family vacations. And if you’re starting to think your current car might not make it through another hot August or long road trip, you’re not alone. This time of year often prompts drivers to think about upgrading their vehicles. But with rising prices and changing market conditions, the way you finance your vehicle matters just as much as the car you choose. At Coloramo Federal Credit Union, we believe financial education should be part of every big purchase, and auto loans are no exception.

Why Finance Through a Credit Union? You may have seen financing offers directly from the dealership, but it’s worth comparing your options, especially if you're a member of a credit union like Coloramo. Here’s why our members trust us for vehicle financing:

Lower Rates: As a not-for-profit financial cooperative, Coloramo is able to return profits to our members in the form of competitive rates. This can result in thousands of dollars saved over the life of your loan, especially compared to dealer or third-party financing.

Flexible Terms: Our Relationship Officers work with you to find a repayment schedule that fits your budget and your life. Whether you’re looking for a shorter term to pay off your car faster or need longer terms to keep your payments lower, we are here to help.

Fast, Local Service: Unlike large national lenders, our Relationship Officers live and work right here in Western Colorado. Decisions are made locally, and if you need help, you can always reach a real person who is invested in your success.

Used or New? What to Consider: With car prices remaining higher than in past years, many members are considering used vehicles. And that’s a smart move, especially if you choose a certified pre-owned (CPO) model with a warranty. Used cars often have lower upfront costs and less depreciation, and many still offer much of the same safety and tech features. Coloramo offers financing for both new and used vehicles, and our competitive rates apply to either option. Thinking about refinancing your current auto loan? We can help with that, too. If your rate is higher than it should be, or you simply want to explore better terms, refinancing through Coloramo could save you money.

 

Before You Head to the Dealership: One of the smartest steps you can take is getting pre-approved before you start auto shopping. Pre-approval gives you a clear understanding of your budget and positions you as a more informed buyer. You’ll know exactly how much you can afford when you start shopping, so you can just focus on finding the right vehicle. Prefer to shop online beforehand? Try our handy Auto Smart tool to search vehicles, compare prices, calculate loan payments, and more. This is a great place to start shopping to see what fits your lifestyle the best.

Drive Into Your Next Chapter: At Coloramo Federal Credit Union, we are here to empower you on your financial journey, whether that means helping you save, borrow, or plan for tomorrow. We know that a car can be so much more than just a way to get from point A to point B. Your vehicle is an expression of you! With competitive rates, service you can trust, and a community-first mindset, we are proud to offer auto loans that support where you are and where you’re going. Are you ready to get started? Explore our auto loan options today and enjoy the rest of the summer in your new, used, or refinanced ride! You can also schedule an appointment to get started with a Relationship Officer, view rates, or apply online now.