Huntington Auto Finance issued its first — and likely last — securitization for the year on Friday. The 2016-1 trust is backed by $1.5 billion prime auto loans with a weighted average Fico of 765, according to a presale report from S&P Global.
The bank also issued just one auto loan securitization in 2015 — its first since 2012 — which was backed by $750 million of prime auto loans.
The loans in the 2016-1 trust have a weighted average LTV of 91.29%, an average original term of 69 months, and an average seasoning of 13 months, all relatively unchanged from the previous year’s offering.
“Huntington currently has one outstanding public retail securitization — series 2015-1–which was rated by S&P Global Ratings. Series 2012-1 and 2012-2 paid off in 2016,” S&P wrote in the report. “Since the [2015] transaction closed, the credit support has increased as a percentage of the amortizing pool balance. The transaction is performing in line with our initial ECNL [expected cumulative net loss] projection.”
The agency expects the 2016-1 transaction to experience cumulative net losses in the 0.70%-0.80% range, S&P added.
As of Sept. 30, Huntington’s serviced portfolio was at approximately $10.9 billion — a 10% increase over the same time a year prior. Net losses increased to 0.17%, also as of Sept. 30, up from 0.13% at the same time a year prior, while 31+-days delinquencies were 0.79%, down from 0.92% at the same time a year prior, according to S&P.
