DBRS Takes Rating Actions on Credit Acceptance Auto Loan Trust

DBRS, Inc. (DBRS) has today reviewed six ratings from two U.S. structured finance asset-backed securities transactions. Of the six outstanding publicly rated classes reviewed, DBRS confirmed four classes and upgraded two. For the ratings that were confirmed, performance trends are such that credit enhancement levels are sufficient to cover DBRS’s expected losses at their current respective rating levels. For the ratings that were upgraded, performance trends are such that credit enhancement levels are sufficient to cover DBRS’s expected losses at their new respective rating levels.

The issuer’s ratings are based on DBRS’s review of the following analytical considerations:
-- Transaction capital structure, proposed ratings and form and sufficiency of available credit enhancement.
-- The transaction parties’ capabilities with regard to origination, underwriting and servicing.
-- Credit quality of the collateral pool and historical performance.

The confirmation of the ratings of Credit Acceptance Auto Loan Trust 2016-2 reflects a reserve account of 1.08% and overcollateralization of 45.78% as of the April 2017 payment date.

The confirmation and upgrades of the ratings of Credit Acceptance Auto Loan Trust 2015-1 reflects a reserve account of 1.00% and overcollateralization of 62.17% as of the April 2017 payment date.

Notes:
The principal methodology is DBRS Master U.S. ABS Surveillance Methodology, which can be found on dbrs.com under Methodologies.

The rated entity or its related entities did participate in the rating process. DBRS had access to the accounts and other relevant internal documents of the rated entity or its related entities.

Please see the attached appendix for additional information regarding the sensitivity of assumptions used in the rating process.

For more information on this credit or on this industry, visit www.dbrs.com or contact us at info@dbrs.com.