AmeriCredit Financial Services, the subprime lending subsidiary of General Motors Financial, priced an upsized offering of $1.2 billion of auto loan-backed securities.

AmeriCredit Automobile Receivables Trust 2015-3, originally sized at $1.0 billion, issued a $230 million money market tranche that pays 0.50% and three tranches with preliminary triple-A rating from Standard & Poor’s and Fitch Ratings:  two $199.7 million tranches with a weighted average life of 0.95 year pay 1.075% and Libor plus 51 basis points, while a $225.1 million tranche with a weighted average life of 2.11 years pays 1.55%.

All four tranches that benefit from credit enhancement of 34.7%.

Barclays Capital is the lead underwriter.

The transaction is backed by new and used automobile, light truck, and utility vehicle loans originated and serviced by AmeriCredit. 

According to Fitch, the credit quality of these loans is consistent with AmeriCredit’s recent deals, based on both FICO scores (a weighted average 572) and AmeriCredit’s own credit scoring. Extended term contracts (over 60-month loan terms) continue to account for the majority of the pool at 92%. New vehicles total 47% of the pool, consistent with prior transactions.

This is the first auto loan securitization that AmeriCredit has hired Fitch to rate this year.

Fitch’s “base case” expectation for the deal’s cumulative net losses is 11.00%; that’s 1.0 percentage point lower than the last deal in this series that it rated, the 2014-4. Fitch used the same vintages of auto loans, 2006−2011, as a base period to derive the loss proxy for both deals.

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