Performance Report: Consumer Unsecured & Subprime Auto Loans, February 2023

dv01’s latest performance report is now available. 

Quick Insights

• Consumer Unsecured: Total and 30+ Impairments rose slightly MoM, mainly due to restatements issued by originators. Even excluding the revisions, the trends were still worse than average on a historical seasonality-adjusted basis (page 3).

• Consumer Unsecured: 2022-Q4 performance (limited though it may be) is thus far running at a slower pace than all other 2022 vintages. This is the best indicator that tighter credit is finally beginning to impact performance (page 15).

• Subprime Auto: Overall and First-Time New Impairments were lower than historical trends for the third consecutive month. Furthermore, the monthly rate of decline was more in line with seasonal trends (page 19).

• Subprime Auto: Prepayments rose 0.5 CPR in February, which is extremely impressive considering the shortened day count (page 25).