Equipment Financing Demand Surges to Record High in January 2026
Event summary
- January 2026 new business volumes (NBV) hit an all-time high of $11.6 billion, up 30.1% year-over-year.
- Small ticket deals grew by $5.3 billion, a 5.5% increase from December 2025.
- Credit approval rate dropped to 76.8%, down 1.3 percentage points from December 2025.
- Delinquency rate edged up to 2.1%, while the loss rate dropped to 0.46%.
- Monthly Confidence Index rose to 67.6 in February 2026, the highest since January 2025.
The big picture
The equipment financing sector is experiencing robust growth, driven by strong demand for new equipment and improved financial conditions. The record high in new business volumes indicates a healthy start to 2026, despite a slight decline in credit approval rates. The industry's confidence is high, but the sustainability of this growth will depend on broader economic factors and the Fed's monetary policy.
What we're watching
- Sustainable Growth
- Whether the record demand can be sustained amid potential Fed rate pauses and credit tightening.
- Credit Conditions
- How the declining credit approval rate will impact small ticket deals and broader equipment financing.
- Industry Confidence
- The pace at which the Monthly Confidence Index will reflect broader economic and market conditions.