-

KBRA Releases Research — Auto Loan ABS: Rough Road Ahead?

NEW YORK--(BUSINESS WIRE)--KBRA releases research that explores the current divergence between auto loan delinquencies and loss rates, as well as our expectation for increasing headwinds for auto loan credit fundamentals over the coming months.

Government stimulus, a strong labor market, and a sharp rise in used vehicle prices helped to push auto loan delinquency and loss rates to historic lows in 2020 and 2021. However, given the recent and expected rate hikes as central banks desperately battle inflation, improving vehicle manufacturing logistics, and strong recessionary signals, the benign credit environment of the past two years may be in the rearview mirror.

Click here to view the report.

Related Publication

About KBRA
KBRA is a full-service credit rating agency registered in the U.S., the EU, and the UK, and is designated to provide structured finance ratings in Canada. KBRA’s ratings can be used by investors for regulatory capital purposes in multiple jurisdictions.

Contacts

Analytical Contact
Brian Ford, CFA, Managing Director
Structured Finance Research
+1 (646) 731-2329
brian.ford@kbra.com

Business Development Contact
Ted Burbage, Managing Director
+1 (646) 731-3325
ted.burbage@kbra.com

Industry:

KBRA

Details
Headquarters: New York City, New York
CEO: Jim Nadler
Employees: 400+
Organization: PRI
Release Versions
English
Hashtags
#KBRA
#creditratingagency

Contacts

Analytical Contact
Brian Ford, CFA, Managing Director
Structured Finance Research
+1 (646) 731-2329
brian.ford@kbra.com

Business Development Contact
Ted Burbage, Managing Director
+1 (646) 731-3325
ted.burbage@kbra.com

More News From KBRA

KBRA Assigns Preliminary Ratings to ByzFunder Asset Securitization I, LLC, Series 2026-1

NEW YORK--(BUSINESS WIRE)--KBRA assigns preliminary ratings to three classes of notes (the “Notes”) issued by ByzFunder Asset Securitization I, LLC, Series 2026-1. ByzFunder NY LLC (“ByzFunder,” or the “Company”) is the Sponsor, Seller, and Servicer for ByzFunder Asset Securitization I, LLC, Series 2026-1. ByzFunder was founded in 2019 and is headquartered in New York, NY, with an additional office in Tampa, FL. The Company is a specialty finance company that provides working capital financing...

KBRA Assigns Rating to Frontline Insurance Reciprocal Exchange

NEW YORK--(BUSINESS WIRE)--KBRA assigns a BBB+ Insurance Financial Strength Rating (IFSR) to Frontline Insurance Reciprocal Exchange (“FIRE” or the “Exchange”). The Outlook for the rating is Stable. Key Credit Considerations FIRE is a newly formed Florida-domiciled reciprocal insurer established to write admitted Florida residential property business, primarily homeowners and fire/dwelling coverage. The rating reflects adequate initial capitalization and manageable projected underwriting levera...

KBRA Releases Research – European Data Centre Event—KBRA Event Recap

LONDON--(BUSINESS WIRE)--KBRA releases a recap of its European Data Centre Event in London on 20 May, bringing together sector experts, investors, issuers, operators, bankers, and other market participants for an afternoon of discussions on the key themes shaping the European data centre landscape. The programme focused on how artificial intelligence (AI)-driven demand, power availability, development constraints, evolving financing approaches, and investor underwriting considerations are influ...
Back to Newsroom