American Honda Finance Corp. is marketing another $893.59 million of securities backed by prime auto loans, according to Fitch Ratings

Honda Auto Receivables 2015-3 Owner Trust (HAROT 2015-3) is backed by new and used Honda and Acura automobile, light-truck and utility vehicle loans originated and serviced by AHFC, a wholly owned captive finance subsidiary of American Honda Motor, which, in turn, is a wholly owned subsidiary of Honda Motor.

The trust will issue $221 million of money market notes not rated by Fitch and three tranches of notes with preliminary ‘AAA’ ratings: $250 million of notes with a final maturity of November 2017; $275 million of notes with a final maturity of April 2019; and $125 million of notes with a final maturity of October 2010. All four tranches benefit from credit enhancement of 2.75%.

The credit quality of 2015-3, as measured by the weighted average FICO score of 761 and internal credit score tiering, is consistent with recent pools. New vehicles total 93%, and the WA seasoning is 13 months.

Concentrations within various FICO bands have also remained consistent for the last few transactions rated by Fitch.

Seasoning in 2015-3 is 13.0 months, relatively consistent with 2015-2 (13.4) and 2015-1 (13.7). “Pools with higher seasoning will likely experience lower [cumulative net losses] than an unseasoned pool, as a portion of losses has occurred prior to securitization,” the report states.

In its presale report, Fitch noted that Honda’s 2013 and 2014 vintage securitizations are performing better than prior HAROT transactions. “Assuming similar macroeconomic conditions over the life of the transaction, pool-factor extrapolations of recent HAROT transactions suggest  losses could be between 0.35% and 0.45%,” the report states.

Barclays is the lead underwriter.

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