Consumer ABS

Barclays Bank Delaware's (BBD) trust will issue the first credit card securitization that will fall under the Federal Deposit Insurance Corp.'s (FDIC) new Safe Harbor rule, Moody's Investors Service analysts said in yesterday's Credit Card Statement report. The agency adopted the rule on September 27, 2010.

Consumers have become more cautious in using their credit cards as issuers tighten their lending standards. Delinquency rates have also been decreasing.

VantageScore Solutions has released a white paper that answers frequently asked questions related to improving credit scores titled “Assume the Role of Managing Your Credit Prudently and Watch Your Credit Score Improve.” I

In its July legal update, Dechert described the re-launching of China's ABS program as a “milestone” in the development of ABS in the country.

Wells Fargo analysts called the consumer ABS market a “safe haven” for fixed-income buyers with spreads in 2012 reflecting this trend.

Micro subprime retail auto ABS deals offer investors a large pickup in spread when compared to the broader subprime auto ABS transactions, according to a Barclays Capital securitized products research report.

Franklin Templeton Investments launched a new global bond fund that will focus on global debt, including emerging markets, a firm spokesman confirmed.

In its latest Securitized Products Weekly, Nomura Securities cited Sallie Mae’s announcement from last week that stated $4.5 billion of FFELP loans, which comprise about 3% of its portfolio, was expected to consolidate under the Special Direct Consolidation Loan Initiative.

The Consumer Financial Protection Bureau (CFPB) published its report on the state of private student lending today. The report showed that loans in the sector are increasingly being underwritten to stricter criteria that benefits both lenders and borrowers.

Citigroup analysts in their Consumer ABS Weekly published today examined the near-term impact of the interchange settlement on credit card master trusts and determined it was marginal.