KBRA Assigns Preliminary Ratings to Chase Auto Owner Trust 2025-2

NEW YORK--(BUSINESS WIRE)--KBRA assigns preliminary ratings to eight classes of notes issued by Chase Auto Owner Trust 2025-2 (“CHAOT 2025-2”), an auto loan ABS transaction. The transaction has initial hard credit enhancement levels ranging from 5.40% for the Class A notes to 0.75% for the Class D notes. Credit enhancement consists of overcollateralization, excess spread, subordination (except for the Class D notes) and a cash reserve account.

CHAOT 2025-2 represents the second term ABS securitization for JPMorgan Chase Bank, National Association (“JPMCB” or the “Bank”) in 2025, and the ninth under the CHAOT shelf. CHAOT 2025-2 will issue seven classes of notes totaling approximately $942.93 million. The transaction will also include an interest-only Class A-IO note which receives interest based on an excess above the servicing fee rate.

The transaction includes an “Aggregate Balance” of $1,000.065 million of automobile loans to primarily prime obligors. The Rated Notes are collateralized by the “Collateral Balance” which represents 95.0% of the Aggregate Balance. The Collateral Balance forms the basis for noteholder payments and all transaction-level calculations, including credit enhancement.

Chase Auto is a national auto finance platform within JPMCB. The business originates and services prime and near-prime retail installment contracts, largely through franchised dealers, and maintains selective private-label relationships with automotive manufacturers. As of August 31, 2025, there were more than 13,000 dealers in JPMCB’s active dealer network.

KBRA applied its Auto Loan ABS Global Rating Methodology, as well as its Global Structured Finance Counterparty Methodology and ESG Global Rating Methodology. In applying the methodology, KBRA analyzed Chase Auto’s static pool data, the underlying collateral pool and the proposed capital structure using stressed cash flow assumptions. KBRA also considered its operational review of JPMCB. Operative agreements and legal opinions will be reviewed prior to closing.

To access ratings and relevant documents, click here.

Click here to view the report.

Methodologies

• ABS: Auto Loan ABS Global Rating Methodology
• Structured Finance: Global Structured Finance Counterparty Methodology
• ESG Global Rating Methodology

Disclosures

Further information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.

A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.

Information on the meaning of each rating category can be located here.

Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com.

About KBRA

Kroll Bond Rating Agency, LLC (KBRA), one of the major credit rating agencies (CRA), is a full-service CRA registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a Designated Rating Organization (DRO) by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized as a Qualified Rating Agency by Taiwan’s Financial Supervisory Commission and is recognized by the National Association of Insurance Commissioners as a Credit Rating Provider (CRP) in the U.S.

Doc ID: 1011728