KBRA Assigns Ratings to Upstart Securitization Trust 2024-1
4 Nov 2024 | New York
KBRA assigns ratings to three classes of notes issued by Upstart Securitization Trust 2024-1 (“UPST 2024-1”), a $208.001 million consumer loan ABS collateralized by unsecured consumer loans.
The ratings reflect initial credit enhancement levels of 45.50% for the Class A notes, 35.50% for the Class B notes, and 20.50% for the Class C notes. Credit enhancement consists of overcollateralization, excess spread, a non-declining cash reserve account and subordination (except for the Class C notes).
UPST 2024-1 represents the 44th ABS securitization collateralized by unsecured consumer loans originated through the online platform operated by Upstart Network, Inc. (“Upstart” or the “Company”), a 100% owned subsidiary of the publicly traded entity Upstart Holdings, Inc. (NASDAQ: UPST).
KBRA applied its Consumer Loan ABS Global Rating Methodology, as well as its Global Structured Finance Counterparty Methodology and ESG Global Rating Methodology as part of its analysis of the portfolio pool data, underlying collateral pool and capital structure. KBRA considered its operational reviews of Upstart, as well as periodic update calls with the Company. Operative agreements and legal opinions were reviewed prior to closing.
To access ratings and relevant documents, click here.
Click here to view the report.