Affirm, an issuer of online and in-store point-of-sale unsecured consumer loans, closed on a $500 million securitization on Monday.
According to market data, Affirm priced five tranches of notes including a $407.2 million senior Class A tranche at a coupon of 0.88%,
The asset-backed transaction, which will have an 18-month revolving period, is the fourth by the San Francisco-based lender and its largest deal to date.
Affirm, which was launched in 2012, finances loans for more than 6,500 online merchants through originations made by third-party true lenders Cross River Bank and Celtic Bank and sold to Affirm. All of the loans are serviced by Affirm.
Affirm issues non-revolving, fully amortizing fixed-rate loans to borrowers on terms between 30 days and 60 months.
The loans pooled into the Affirm Asset Securitization Trust 2021-A transaction do not exceed two years, however.
