Fitch Affirms Access Group 2005-B Senior Notes
KEY RATING DRIVERS
Adequate Collateral Quality: The trust is collateralized by approximately $104.7 million of private student loans as of the end of the September collection period. The loans were originated by Access Group, Inc. Based upon the trust's performance the projected remaining gross defaults are expected to be in the 8%-10% range of the current collateral balance. A recovery rate of 23.5% was applied and determined to be appropriate based on the latest data provided by the issuer.
Sufficient Credit Enhancement (CE): CE is provided by overcollateralization and excess spread. For the senior notes, subordination is provided by the subordinate notes. As of the October 2015 distribution, the senior and total parity ratios are currently 130.13% and 103.00%, respectively. The trust is currently releasing excess spread as the release threshold of 103.0% has been met.
Adequate Liquidity Support: Liquidity support is provided by a $1,000,000 capitalized interest account.
Satisfactory Servicing Capabilities: Day-to-day servicing is provided by Xerox Education Services. Fitch believes the servicing operations are acceptable at this time.
RATING SENSITIVITIES
As Fitch's base case default proxy is derived primarily from historical collateral performance, actual performance may differ from the expected performance, resulting in higher loss levels than the base case. This will result in a decline in CE and remaining loss coverage levels available to the bonds and may make certain bond ratings susceptible to potential negative rating actions, depending on the extent of the decline in coverage. Fitch will continue to monitor the performance of the trust
DUE DILIGENCE USAGE
No third party due diligence was provided or reviewed in relation to this rating action.
Fitch has affirmed the following ratings:
Access Group, Inc. Series 2005-B:
--Class A-2 at 'AAAsf'; Outlook Stable;
--Class A-3 at 'AAAsf'; Outlook Stable.
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