Kroll Bond Rating Agency (KBRA) released its inaugural Equipment Loan & Lease indices for April 2021. In reviewing credit trends for the sector, this new index aims to complement KBRA’s series of monthly auto, consumer loan and residential index publications.

Based on April remittance reports, credit performance remained on solid footing as of the March collection period. KBRA’s headline Equipment Loan & Lease Index posted an annualized net loss rate of 0.14 percent in April, down 7 basis points (bps) month-over-month (MoM) and 43 bps year-over-year (YoY), while the percentage of lease payments 60+ days past due came in at 0.55 percent, down 18 bps MoM and 28 bps YoY. Although delinquency rates and annualized net losses rose during the first few months of the pandemic, both metrics have recovered and are now trending at historically low levels.

Click here to view the report.