OREANDA-NEWS. S&P Global Ratings today assigned its ratings to OneMain Direct Auto Receivables Trust 2016-1's $700 million automobile receivables-backed notes series 2016-1 (see list). The note issuance is an asset-backed securities (ABS) transaction backed by subprime auto loan receivables. The ratings reflect:The availability of approximately 27.02%, 21.76%, and 15.90% credit support for the class A, B, and C notes, respectively, based on stressed cash flow scenarios (including excess spread), which provides coverage of more than 3.0x, 2.25x, and 1.75x our 8.25%-8.75% expected cumulative net loss. The timely interest and principal payments made to the rated notes by the assumed legal final maturity dates under stressed cash flow modeling scenarios that we believe are appropriate for the assigned ratings. Our expectation that under a moderate ('BBB') stress scenario, all else being equal, our ratings on the class A, B, and C notes would remain within two rating categories of our 'A (sf)', 'BBB (sf)', and 'BB (sf)' ratings, respectively, during the first year. These potential rating movements are consistent with our credit stability criteria, which outline the outer bound of credit deterioration as a two-category downgrade within the first year for 'A (sf)', 'BBB (sf)', and 'BB (sf)' rated securities under moderate stress conditions (see "Methodology: Credit Stability Criteria," May 3, 2010).Our views regarding the collateral characteristics of the overall subprime automobile loan pool securitized in this transaction. The unique nature of the auto loans (where the vehicle is refinanced after its initial purchase) caused us to apply our consumer receivables ABS criteria rather than our auto loan ABS criteria. The transaction's payment and legal structures.