Equipment Finance Confidence Eases in October | Kin

Confidence in the equipment finance industry eased in October as executives became less optimistic about capital expenditure demand, while concerns about future credit performance emerged alongside continued business growth.

The Equipment Leasing & Finance Association’s (ELFA) Monthly Confidence Index fell to 60.4 in October from 62.4 in September. Only 18.2% of respondents expect demand for leases and loans to finance capital expenditures to increase over the next four months, down from 31.8% the previous month. While some executives report improving credit quality, others warn that rising interest rates could lead to higher delinquencies and charge-offs.

Why Credit Risk Remains in Focus

As market conditions shift, lenders need to understand how changing borrower conditions could affect new originations and existing portfolios. Identifying emerging risk early can help credit teams make informed decisions before potential problems appear in delinquency and loss figures.

Kin Insight

Strong origination does not guarantee strong portfolio performance.

Risk-first credit decisioning helps lenders evaluate each deal in context, while continued portfolio monitoring helps them identify changes in borrower risk over time. Together, these capabilities support consistent, defensible decisions aligned with each lender’s business and risk appetite. Learn more about credit underwriting in equipment finance.

Explore Equipment Finance Underwriting Intelligence

Discover how Kin helps equipment finance lenders make smarter credit decisions with underwriting intelligence built around their business.

Source: ELFA Monthly Confidence Index, October 2026

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