Consumer ABS

Avant, the online lending platform based in Chicago, appears to be back in the good graces of capital markets investors.

Standard & Poor’s on Thursday assigned an expected ‘AAA’ rating on the Class A (2016-5) series of C seven-year notes, the only tranche in the issuance. The notes will carry an interest rate of 1.27% and supported by 14% credit enhancement – a level in line with Chase’s recent receivables-backed issues in 2016.

American Honda Finance Corp. has filed for its third super prime loan securitization of the year, in a $1.25 billion transaction that could be upsized to $1.5 billion. The deal comes as the company has experienced growing levels of delinquencies and repossessions that have not shaken ratings agencies' faith in Honda's performance as a long-term asset-backed issuer.

Bank purchases of Lending Club loans was down 47% in the second quarter from the first, despite higher incentive payments offered by the marketplace lender. Lending Club said that while its loan-purchases program is stabilizing with asset managers and hedge funds, banks have yet to be lured back into the fold.

Online lender Earnest completed its third student-loan securitization in six months, in another oversubscribed offering that raised the finance company’s total issuance to $527 million for 2016. The offering's senior notes were rated 'AA' by DBRS, a bump from the previous single-A ratings of its two prior transactions this year.

Ally Financial, the nation's largest auto lender is dismissing comparisons between the subprime mortgage bubble and the more recent boom in car loans.

Hyundai is marketing its third auto lease securitization of the year, according to Fitch Ratings.

Online lender Avant is returning to the securitization market for the first time since shedding staff and shelving expansion plans in the spring with a $200 million notes offering featuring loans with higher-quality credit features.

New Jersey lawmakers have called a hearing next week to grill the state’s student loan authority about its collection practices and lending terms.