Credit card issuers retreated from the asset-backed securitization market in the first three months of the year, partially because of changes to the regulatory landscape. Securitization's appeal as a funding tool has been reduced because changes to accounting rules require lenders to put securitizations on their balance sheets. "Securitization will lose its capital advantage in many cases now that ABS programs have to be consolidated on bank balance sheets," said John McElravey, an analyst at Wells Fargo Securities.

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