MIAMI — With some manufacturers and dealers now offering 84-month financing on auto loans, this could lead to more consumers ending up in negative equity, according

Consumers who accept these terms are at particular risk with the current consumer credit situation, the company pointed out. went on to compare the type of problems these loans can result in to the issues facing the housing market, saying both consumers and lenders could suffer. At an 84-month term, a $20,000 car will cost an additional $5,335 in interest alone, which is about a quarter of the entire car's price, officials highlighted.

"In today's economy, people are finding it harder to project their financial situation over a longer period of time," said Sergio Stiberman, chief executive officer and founder of

"It's much easier to calculate and project your financial situation for the next couple of years than an 84-month period. And with all the uncertainty in today's economy, it's very unsettling to assume your financial picture six or seven years from today," he continued. indicated that it may be able to help consumers. According to Stiberman, "You're (a consumer) picking up where the last person left off. So if ‘person A' only drives his car lease for two of the three-year lease contract, you're only picking up the remaining year of the lease."

Vehicle leases on typically average between 10 to 18 months remaining, the company noted.
In addition to the significantly shorter financial commitment, car shoppers don't have to pay a down payment on the car when they take over a lease, officials added.