Collection rates for Moody’s Investors Service-rated auto-loan asset-backed securities (ABS) were steady in the March 2021 quarter.

They were comparable to the levels that existed prior to the coronavirus-related payment moratoriums. Delinquency rates in the March 2021 quarter were likewise comparable to the prior quarter.

The rated auto-loan ABS did not use cash collateral to repay investors during the March 2021 quarter, including transactions with timely interest and principal payment arrangements, it was noted.

Nonetheless, Moody’s predicts that auto-loan delinquencies would grow and collection rates will decline during the next three to six months.