What is considered a “New Auto” versus a “Used Auto”?
At Direct Federal, the most recent two model years are considered “new.” Model years earlier than the most recent two are considered “used.” We add a new model year each year on June 1st. For example, beginning June 1, 2010, the most recent two model years are 2011 and 2010, both of which would be “new.” Model years 2009 and earlier are “used.” You can finance “used” vehicles as old as eight model years. As of June 1, 2010 this would mean model years back to 2004.
