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Ford Credit ABS increases excess spread to pad losses

Nicole CaspersonbyNicole Casperson
May 7, 2020
in Capital & Funding, Risk Management
Reading Time: 2 mins read
0

Ford Motor Credit increased its excess spread by 42 basis points in its latest asset-backed securitization issued this week, according to Moody’s Investors Service. Increasing the excess spread — the difference between the interest received by the issuer and interest paid to the investor — provides a source of funds to offset potential collateral losses […]

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Tags: asset backed securitiesauto ABSauto financeCoronavirusFitch RatingsFord CreditMoody'sNissan Motor Corp.nmacPremium
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