After securitizing both dealer floorplan and business loan collateral this year, GE Capital is prepping an entrance into the credit card sector of the ABS market. While still in the preliminary stages, GE Capital unit Monogram Credit Card Bank of Georgia filed a preliminary prospectus with the Securities and Exchange Commission to securitize its private label and retail credit card originations.
According to the filing, GECC plans to issue the standard three-tranche senior/sub structure, down to the triple-B level. But sources close to the situation confirmed GECC is planning to utilize the de-linked master note trust structure that allows for issuers to opportunistically tap the market with large, index-eligible deals. The master note trust structure is currently a favorite of Citibank N.A., Bank One N.A., Capital One Financial and MBNA America Bank.