NEW YORK–(BUSINESS WIRE)–#creditratingagency–KBRA releases a research report analyzing auto loan ABS recovery rates. Over the past year, auto loan ABS recovery rates have been trending down, hitting their lowest January reading since 2010 in KBRA’s Prime and Non-Prime Auto Loan Indices. The decline mainly reflects falling used vehicle values which increased to record highs during the pandemic, as well as higher repossession costs. We expect recovery rates to remain at depressed levels throughout 2024, as defaults over the next year are likely to include a large portion of defaulting loans originated during the time of heightened automobile valuations. This will inevitably place upward pressure on securitized net losses.
Click here to view the report.
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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.
Doc ID: 1003290
Contacts
Brian Ford, Head of Structured Finance Research
+1 646-731-2329
brian.ford@kbra.com
Kaci Emrich, Analyst
+1 646-731-1216
kaci.emrich@kbra.com
Brajean Ramos, Senior Analyst
+1 646-731-2417
brajean.ramos@kbra.com
Business Development
Rosemary Kelley, Senior Managing Director, Head of Structured Finance and Project Finance
+1 646-731-2337
rosemary.kelley@kbra.com
