New-car shoppers face higher costs from auto prices, loan rates

The first hit: Pricier autos.

The average price paid for a new car reached $34,623 in March, according to Edmunds. Five years ago, that number was $31,078.

Then there are the loans, which can be a triple whammy.

Rising interest rates make borrowing more expensive. Last month, interest rates on new-car loans stood at 5.7 percent, up from 4.4 percent in March 2013.

And as prices have risen, consumers have been financing larger balances: An average $31,020, compared with $26,533 five years ago.

Plus, they’re taking on loans over a longer period of time. The average auto loan length is now 69.5 months compared with 65.7 months in March 2013. Generally, the longer the loan term, the more you’ll pay in interest.