The Equipment Leasing and Finance Association’s (ELFA) Monthly Leasing and Finance Index (MLFI-25) showed overall new business volume in the equipment finance industry for August was $7.2 billion, up 13% from new business volume in August 2013. Month over month, new business volume was down 9% from July. Year to date, cumulative new business volume increased 6% compared to 2013.

Receivables over 30 days increased from the previous month to 1.3%, and were up from 1% in the same period in 2013. Charge-offs were unchanged for the fifth consecutive month at an all-time low of 0.2%.

Credit approvals totaled 79.5% in August, a slight decrease from 80.3% the previous month. Total headcount for equipment finance companies was up 1% year over year.

ELFA president and CEO William G. Sutton, CAE, said, “Continued strength in new business volume reflects the uptick in overall economic activity most economists forecast for the second half of 2014. Solid fundamentals—modest GDP growth; an improving labor market; increased consumer spending, as evidenced by strong auto sales; and low interest rates—all bode well for continued business investment in general, and the equipment finance sector, in particular. Credit quality appears manageable as well, although the index shows a slight uptick in delinquencies. Tempering this relatively good news is concern over recent geopolitical events relating to the fight against terrorism.”

To view the full ELFA report, click here.