-

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 RCKT Mortgage Trust 2026-CES3 (RCKT 2026-CES3)

NEW YORK--(BUSINESS WIRE)--KBRA assigns preliminary ratings to 21 classes of mortgage-backed notes from RCKT Mortgage Trust 2026-CES3 (RCKT 2026-CES3). RCKT Mortgage Trust 2026-CES3 (RCKT 2026-CES3) is a $547.3 million RMBS transaction, as of the cut-off date, sponsored by Woodward Capital Management LLC, a wholly owned affiliate of Rocket Mortgage, LLC, and Loan Funding Structure V LLC, and consists entirely of newly originated closed-end second lien mortgages (CES; 100.0%). The underlying poo...

KBRA Assigns A- Issuer and Senior Unsecured Debt Ratings to Sumisho Air Lease Corporation; Expects to Rate Senior Unsecured Notes Issuance A-

NEW YORK--(BUSINESS WIRE)--KBRA assigns issuer and senior unsecured debt ratings of A- to Takeoff Merger Sub Inc. (“Merger Sub”), an entity which will merge with Air Lease Corporation (NYSE: AL or “Air Lease”, a global aircraft leasing company based in Los Angeles, California) and be renamed Sumisho Air Lease Corporation (“SALC” or the company). The rating Outlook is Stable. KBRA expects to assign an A- rating to the senior unsecured notes expected to be issued by Merger Sub. Upon close of the...

KBRA Releases Research – Middle East Conflict: Potential Aircraft ABS Implications

NEW YORK--(BUSINESS WIRE)--KBRA releases research examining exposure to the Middle East in its rated universe of aviation ABS transactions. On February 28, 2026, the U.S. and Israel launched coordinated military strikes against Iranian leadership and strategic targets. In the days that followed, Iran and affiliated groups retaliated with missile and drone attacks in the region. The escalation has disrupted regional air travel, resulting in more than 20,000 flight cancellations and forcing the t...
Back to Newsroom