ABS

Highlights

• 23 May 2012
  • Credit Card Statement: Trust yields decline; excess spread remains healthy
    Yields will continue to decline as the amount of higher-yielding receivables in US credit card trusts decline. However, with charge-offs at low levels, excess spread is sufficient to absorb the reduction in yield. Also discussed: US credit card charge-offs rise in April, Ascena’s acquisition of Charming Shoppes is credit neutral for ABS, Moody’s Analytics expects consumer confidence to resume an upward trajectory... Full Report
• 22 May 2012
  • Auto Navigator: FICO scores as broad—but flawed—indicators of Auto ABS losses
    High average FICO scores may be associated with low net pool losses, but any given pool’s average borrower FICO score is a weak predictor of its ultimate net loss. Also discussed: US auto loan ABS net losses and delinquencies continue to improve in March, ResCap’s bankruptcy is positive for parent Ally Financial, global vehicle sales set for growth despite euro zone weakness... Full Report
• 21 May 2012
  • US credit card charge-offs rise in April, but not delinquencies
    US securitized credit card charge-offs rose 27 basis points in April to 5.21%, according to our Credit Card Indices, but the increase was due to a significant but temporary spike in the rate for the Citibank trust. Delinquencies continued to improve, and we still expect charge-offs to fall to about 4% by the end of 2012... Press Release l Full Report