I’ve heard different things about auto loans. Some people say that they are considered amortising loans and some people say that are non-amortising. What is the correct answer?
Im under the impression that they are non-amortising as schweser says to use a Z-spread for spread analysis purposes (such as credit cards securities). If they were considered to be amortising however wouldn’t they have to be path dependent to use a OAS monte carlo analysis?
Also do we Use monte carlo OAS for High quality home equity or just OAS from binomial
Thanks in advance!