The average auto loan term has also been creeping higher and higher – at the end of last year, 70% of all new auto loan terms were longer than 60 months, compared to around 50% at the end of 2010, Sidman reported.

“With payment being a key driver, and when vehicles are getting more expensive, the only option for many people is to expand the term,” he said.

Millennials have led the charge in stretching out loan terms, mainly because they're willing to take on a longer term in order to get the vehicle of their dreams, he noted.

“Millennials have a good understanding of what they want, and will take any available mechanism to get what they want, even if it's something they can't really afford,” he said.

In addition, with approximately 1.8 million vehicles expected to come off of leases this year, the used vehicle inventory will rise, leaving credit unions and other lenders with the viable option of offering used car leasing, he noted.

Other key findings from Sidman's presentation included the following:

• Thirty-three percent of vehicles currently on the road are models from 2010 or later.
• The Ford F-150 has the highest market share of all models on the road at 2.76%. In a rare occurrence, another full-sized pickup truck – the Chevy Silverado – came in second place on the model market share list for 2015.
• In Q4 2015, credit unions held a total auto loan market share of 17.6%, down 1.2% from the previous quarter. Credit unions lost 8.7% in new auto loan market share in Q4 2015.
• Total outstanding loan balances were up by 50% in Q4 2015 compared to Q4 2010, reaching $987 billion.
• People who had graduate degrees and earned more than $200,000 annually were more likely to lease vehicles. However, they had the lowest rate of loyalty to specific vehicle makes.