When issuing $500 million in notes backed by point-of-sale unsecured consumer loans in February, Affirm Asset Securitization Trust, 2024-A included expandable notes in the deal, allowing it to raise another $500 million, within the original deal's revolving period.
The follow-up transaction, also called Affirm Asset Securitization Trust, 2024-A, will sell the notes on the same terms as the initial note class, with a June 18, 2024 closing date, according to ratings analysts at DBRS Morningstar, which assessed the notes. The additional notes will begin repayment on July 15 and make repayments to investors every month on the 15th until February 15, 2029, what appears to be the maturity date.
The 2024-A series will issue A, B, C, D and E class notes through five tranches, DBRS said. DBRS assigns ratings of AAA, AA, A, BBB and BB to classes A, B, C, D and E, respectively, according to the rating agency. Also, the A, B, C. D and E notes will pay coupons of 5.61%, 5.93%, 6.16%, 6.89% and 9.17%, respectively, the rating agency said.
San Francisco, Calif.-based specialty lender Affirm sponsored the deal, offers non-revolving, unsecured, fully amortizing and fixed-rate loans with terms ranging from 30 days to 60 months, DBRS said. The company issues loans through its subsidiary Affirm Loan Services, and through partnerships with several lenders, including Cross River Bank, Celtic Bank and Lead Bank, the rating agency said.
