While bankruptcies plunged last year to their lowest levels since the implementation of the Bankruptcy Abuse Prevention and Consumer Protection Act of 2015, filings are beginning to climb, according to the American Bankruptcy Institute.
Losses Near Historic Averages
U.S. auto lenders are likely to see loan asset quality weaken in 2015, with annualized net losses moving closer to their historical averages, according to Fitch Ratings.
While prime auto loans continue to perform well, subprime auto loan ABS ANLs are deteriorating at a quicker pace, recently crossing 8 percent before dropping to 7.26 percent as of the end of February. The level is above the 10-year average of 6.24 percent, but below the past recession peak of 9 percent to 13 percent.