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Episode #1118: Auto loan approvals are climbing as vehicle demand heats up, Jaguar doubles down on its high-dollar EV future, and a new survey shows U.S. shoppers are still splurging on impulse buys.

Show Notes with links:

• New data shows consumers may finally be catching a break in the auto loan market. Approvals are up, interest in buying is growing, and middle-income shoppers are more willing to make sacrifices to keep their vehicles.
  • The New York Fed says auto loan rejection rates dropped sharply in Q2 2025 to 6.7%, down from a painful 19% last year.
  • 14% sought a loan in the past year, and more expect to apply in the coming months.
  • Santander’s latest survey shows 55% of middle-income consumers plan to buy a vehicle in the next 12 months, the highest reading in two years.
  • Tariff fears are real: 18% of respondents sped up a big purchase in Q2 because of price uncertainty, with 41% of those buying a vehicle.
  • Santander says this is the first time in eight quarters that buyers outnumber those delaying a purchase — a sign pent-up demand could finally be turning into sales.

• Jaguar is set on an electric, ultra-luxury future. Despite some loud critics, the brand is preparing a bespoke EV platform and three six-figure models designed to take on the industry’s elite.
  • Incoming JLR CEO PB Balaji says the brand’s EV strategy is locked in, with positive early feedback from customers.
  • Production of all current Jaguars except the F-Pace ended last year as the company stockpiled inventory.
  • First new model — the GT — is a sleek, 600-hp electric sedan with about 425 miles of range and a $150K price tag, expected late next year as a 2027 model.
  • A large, three-row electric crossover will follow in late 2027 or early 2028.
  • The third entry is rumored to be a large, ultra-luxury electric sedan aimed at Rolls-Royce and Bentley buyers, due around 2030.

• While many Americans say they’re trying to rein in discretionary spending, a new survey shows the vast majority still made at least one unplanned purchase last month.
  • Optimum Retailing survey finds 72% of Americans made an unplanned in-store discretionary purchase in the past month.
  • While 34% plan to cut back in the next six months, sales events (55%), eye-catching displays (45%), and immediate availability (26%) make spending hard to resist.
  • Only 5% said in-store shopping no longer feels “worth it.”
  • Many shoppers are sticking to a budget by cutting dining/takeout (48%), clothing/accessories (44%), and electronics/gadgets (37%).
  • “Consumers today are cautious, but not unengaged… The moment and experience must both feel correct,” said Sam Vise, CEO of Optimum Retailing.

Join Paul J Daly and Kyle Mountsier every morning for the Automotive State of the Union podcast as they connect the dots across car dealerships, retail trends, emerging tech like AI, and cultural shifts—bringing clarity, speed, and people-first insight to automotive leaders navigating a rapidly changing industry.

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