Consumer Portfolio Services (CPS) priced its second rated term securitization in 2011. The transaction is CPS's third senior subordinate securitization since 1993.
The $109.9 million auto deal called CPS Auto Receivables Trust 2011-B (CPSART 2011-B) was privately placed.
The Class A, single-A rated notes were sold with an interest rate coupon of 3.68%; the Class B, triple-B rated notes were sold with a coupn of 5.68%; the Class C notes were sold with a coupon of 7.50% and the Class D notes were sold with a coupon of 10%. All notes were issued with a weighted average life of no greater than 2.71-years.
The 2011-B transaction has initial credit enhancement consisting of a cash deposit equal to 2.00% of the original receivable pool balance and overcollateralization of 1.00%.
The final enhancement level requires accelerated payment of principal on the notes to reach overcollateralization of 13.00% of the then-outstanding receivable pool balance.