OREANDA-NEWS. As part of its ongoing surveillance, Fitch Ratings has taken the following rating actions to the Capital Auto Receivables Asset Trust (CARAT) 2014-3 and 2015-3 transactions:

2014-3

--Class A-2 affirmed at 'AAAsf'; Outlook Stable;

--Class A-3 affirmed at 'AAAsf'; Outlook Stable;

--Class A-4 affirmed at 'AAAsf'; Outlook Stable.

--Class B upgraded to 'AAAsf' from 'AAsf'; Outlook Stable;

--Class C upgraded to 'AAsf' from 'Asf'; Outlook revised to Positive from Stable;

--Class D upgraded to 'Asf' from 'BBBsf'; Outlook revised to Positive from Stable.

The class E notes are not rated by Fitch.

2015-3

--Class A-1a affirmed at 'AAAsf'; Outlook Stable;

--Class A-1b affirmed at 'AAAsf'; Outlook Stable;

--Class A-2 affirmed at 'AAAsf'; Outlook Stable;

--Class A-3 affirmed at 'AAAsf'; Outlook Stable;

--Class A-4 affirmed at 'AAAsf'; Outlook Stable;

--Class B affirmed at 'AAsf'; Outlook Stable;

--Class C affirmed at 'Asf'; Outlook Stable;

--Class D affirmed at 'BBBsf'; Outlook Stable;

--Class E affirmed at 'BB-sf'; Outlook Stable.

KEY RATING DRIVERS

The affirmations on the outstanding notes in the two transactions reflect loss coverage levels consistent with current ratings. The transactions have performed within Fitch's cumulative net loss expectations to date.

The upgrades to the B, C and D notes in the 2014-3 transaction are the result of increased loss coverage available to the notes. Loss coverage multiples are well in excess of the recommended multiples for each class under the recommended ratings.

Fitch's recommended proxy for 2014-3 has been adjusted to 3.00% from 4.75% assumed in the previous review due to better-than-expected performance. The 2015-3 transaction has one more month left in the revolving period before the notes will begin to amortize. Top-up collateral added to the pool since close has been consistent with the initial pool with only minimal shifts. Therefore, Fitch is recommending adjusting its proxy to 4.50% from 5.50% assumed in the initial review.

The ratings reflect the quality of Ally Financial Inc.'s (Ally) retail auto loan originations, the sound financial and legal structure of the transaction, and the strength of the servicing provided by Ally.

RATING SENSITIVITIES

Unanticipated increases in the frequency of defaults and loss severity could produce loss levels higher than the current projected base case loss proxy and impact available loss coverage and multiples levels for the transaction. Lower loss coverage could impact ratings and Rating Outlooks, depending on the extent of the decline in coverage.

In Fitch's initial review of the transactions, the notes were found to have limited sensitivity to a 1.5x and 2.5x increase of Fitch's base case loss expectations. To date, the transactions have exhibited strong performance with losses well within Fitch's initial expectations, with rising loss coverage and multiple levels. As such, a material deterioration in performance would have to occur within the asset pools to have potential negative impact on the outstanding ratings.

DUE DILIGENCE USAGE

No third-party due diligence was provided or reviewed in relation to this rating action.

Fitch's analysis of the Representation and Warranties (R&W) of the transactions in this review initially rated on or after Sept. 26, 2011 can be found in the respective appendices listed below. These R&W are compared to those of typical R&W for the asset class as detailed in the special report 'Representations, Warranties, and Enforcement Mechanisms in the Global Structured Finance Transactions' dated March 2, 2016.