$2.25 billion of asset-backed securities rated

New York, August 16, 2022 — Moody’s Buyers Service (“Moody’s”) has assigned a definitive Aaa (sf) ranking to the Class A 3.75% Asset Backed Certificates of Collection 2022-Three issued by the American Specific Credit score Account Grasp Belief, sponsored by American Specific Nationwide Financial institution.

Moody’s additionally introduced right this moment that the issuance of the Collection 2022-Three Certificates on August 16, 2022 wouldn’t, in and of itself and as of this time, consequence within the downgrade or withdrawal of the scores assigned to any class of excellent certificates issued by American Specific Credit score Account Grasp Belief.

Moody’s ranking motion is as follows:

Issuer: American Specific Credit score Account Grasp Belief, Collection 2022-3

$2,250,000,000 Class A 3.75% Asset Backed Certificates, Definitive Score Assigned Aaa (sf)

RATINGS RATIONALE

The ranking for the Class A Certificates is predicated on the standard of the underlying bank card receivables, the experience of American Specific Journey Associated Companies Firm, Inc. as servicer, the transaction’s authorized and structural protections together with early amortization set off occasions, the credit score enhancement offered by subordinate securities, and the probability of the sponsor turning into bancrupt and shutting down its bank card portfolio. Moody’s assesses this probability from the sponsor’s counterparty threat evaluation (CR Evaluation).

The Class A Certificates signify 87.50% of the Collection 2022-Three whole issuance, the Class B Certificates signify 3.75% of the overall issuance, and the collateral curiosity represents 8.75%.  The Class A Certificates have a hard and fast price coupon of three.75% per yr. The anticipated maturity date of the Class A Certificates is August 15, 2025 and the authorized maturity date is August 16, 2027.

The belongings of the belief include bank card receivables, together with each proprietary and co-branded bank cards, in addition to receivables generated from the revolving credit score traces prolonged to cost card members, from designated card accounts originated by American Specific Nationwide Financial institution, and serviced by American Specific Journey Associated Companies Firm, Inc. American Specific Nationwide Financial institution’s long-term deposit scores are Aa3 secure/long-term senior unsecured (P)A3, long-term CR Evaluation A1(cr), short-term deposits P-1, and BCA a2. American Specific Journey Associated Companies Firm, Inc.’s long-term issuer ranking is A2 secure and its short-term issuer ranking is P-1.

Abstract of Analytical Outputs

Moody’s Aaa LGSD and the Aaa CE are 34.7% and 13.2%, respectively, for this transaction. The Aaa LGSD displays Moody’s expectation of the belief’s efficiency following a sponsor default and portfolio shutdown. The Aaa CE displays the extent of credit score enhancement in step with a Aaa (sf) ranking by haircutting the Aaa LGSD primarily based on the CR Evaluation of the sponsor.

Methodology Underlying the Score Motion:

The principal methodology used on this ranking was “Moody’s Method to Score Credit score Card Receivables-Backed Securities” revealed in July 2022 and accessible at https://scores.moodys.com/api/rmc-documents/390486. Alternatively, please see the Score Methodologies web page on https://scores.moodys.com for a duplicate of this technique.

Elements that may result in a downgrade of the ranking:

Moody’s may downgrade the ranking of the Class A Certificates if our expectation of the belief’s efficiency following a sponsor default and portfolio shutdown (i.e., Aaa LGSD) deteriorates materially, particularly, if the charge-off price rises or the fee price or yield falls. A rise in Moody’s evaluation of the probability of the sponsor shutting down its bank card portfolio, typically mirrored from a downgrade within the sponsor’s CR Evaluation, may additionally result in a downgrade to the ranking of the Class A Certificates.                

RATINGS OF EXISTING CERTIFICATES UNAFFECTED

Moody’s additionally introduced right this moment that the issuance of Collection 2022-Three Certificates on August 16, 2022 wouldn’t, in and of itself and as of this time, consequence within the downgrade or withdrawal of the scores assigned to any class of excellent certificates issued by American Specific Credit score Account Grasp Belief.

The issuance of the Collection 2022-Three Certificates will enhance the investor’s share of the collateral pool of bank card receivables by the proportional quantity of the brand new issuance and can correspondingly lower the vendor’s share of the pool by the identical proportion. Each the Collection 2022-Three Certificates and the excellent certificates share a professional rata undivided curiosity in the identical collateral pool of bank card receivables and have related phrases. Moody’s has due to this fact decided that the issuance, in and of itself and presently, won’t consequence within the downgrade or withdrawal of the scores at present assigned to any class of excellent certificates issued by American Specific Credit score Account Grasp Belief.

Nevertheless, Moody’s opinion addresses solely the credit score impression related to the issuance of the Collection 2022-Three Certificates, and Moody’s will not be expressing any opinion as as to whether the issuance has, or may have, different non-credit associated results which will have a detrimental impression on the pursuits of certificates holders and/or counterparties.

REGULATORY DISCLOSURES

For additional specification of Moody’s key ranking assumptions and sensitivity evaluation, see the sections Methodology Assumptions and Sensitivity to Assumptions within the disclosure type. Moody’s Score Symbols and Definitions will be discovered on https://scores.moodys.com/rating-definitions.

Additional info on the representations and warranties and enforcement mechanisms accessible to buyers can be found on https://scores.moodys.com/paperwork/PBS_1339137.

In ranking this transaction, Moody’s makes use of a money move mannequin to find out the collateral loss in a most stress state of affairs. As a second step, Moody’s haircuts this collateral loss primarily based on the sponsor’s credit score high quality. Lastly, Moody’s compares the accessible credit score enhancement with the haircut collateral loss, taking into consideration loss allocation and different structural options, to find out the model-indicated ranking for every instrument.

Moody’s quantitative evaluation entails an analysis of eventualities that stress elements contributing to sensitivity of scores and take into consideration the probability of extreme collateral losses or impaired money flows.

For scores issued on a program, sequence, class/class of debt or safety this announcement supplies sure regulatory disclosures in relation to every ranking of a subsequently issued bond or notice of the identical sequence, class/class of debt, safety or pursuant to a program for which the scores are derived solely from present scores in accordance with Moody’s ranking practices. For scores issued on a assist supplier, this announcement supplies sure regulatory disclosures in relation to the credit standing motion on the assist supplier and in relation to every specific credit standing motion for securities that derive their credit score scores from the assist supplier’s credit standing. For provisional scores, this announcement supplies sure regulatory disclosures in relation to the provisional ranking assigned, and in relation to a definitive ranking that could be assigned subsequent to the ultimate issuance of the debt, in every case the place the transaction construction and phrases haven’t modified previous to the task of the definitive ranking in a fashion that may have affected the ranking.  For additional info please see the issuer/deal web page for the respective issuer on https://scores.moodys.com.

For any affected securities or rated entities receiving direct credit score assist from the first entity(ies) of this credit standing motion, and whose scores might change because of this credit standing motion, the related regulatory disclosures can be these of  the guarantor entity.  Exceptions to this strategy exist for the next disclosures, if relevant to jurisdiction: Ancillary Companies, Disclosure to rated entity, Disclosure from rated entity.

The ranking has been disclosed to the rated entity or its designated agent(s) and issued with no modification ensuing from that disclosure.

This ranking is solicited. Please seek advice from Moody’s Coverage for Designating and Assigning Unsolicited Credit score Rankings accessible on its web site https://scores.moodys.com.

Regulatory disclosures contained on this press launch apply to the credit standing and, if relevant, the associated ranking outlook or ranking evaluation.

Moody’s basic ideas for assessing environmental, social and governance (ESG) dangers in our credit score evaluation will be discovered at https://scores.moodys.com/paperwork/PBC_1288235.

The International Scale Credit score Score on this Credit score Score Announcement was issued by one among Moody’s associates exterior the EU and is endorsed by Moody’s Deutschland GmbH, An der Welle 5, Frankfurt am Important 60322, Germany, in accordance with Artwork.four paragraph Three of the Regulation (EC) No 1060/2009 on Credit score Score Companies. Additional info on the EU endorsement standing and on the Moody’s workplace that issued the credit standing is accessible on https://scores.moodys.com.

The International Scale Credit score Score on this Credit score Score Announcement was issued by one among Moody’s associates exterior the UK and is endorsed by Moody’s Buyers Service Restricted, One Canada Sq., Canary Wharf, London E14 5FA beneath the regulation relevant to credit standing companies within the UK. Additional info on the UK endorsement standing and on the Moody’s workplace that issued the credit standing is accessible on https://scores.moodys.com.

Please see https://scores.moodys.com for any updates on adjustments to the lead ranking analyst and to the Moody’s authorized entity that has issued the ranking.

Please see the issuer/deal web page on https://scores.moodys.com for added regulatory disclosures for every credit standing.

Alan Birnbaum

Vice President – Senior Analyst

Structured Finance Group

Moody’s Buyers Service, Inc.

250 Greenwich Road

New York, NY 10007

U.S.A.

JOURNALISTS: 1 212 553 0376

Consumer Service: 1 212 553 1653

JingJing Dang, CFA

Affiliate Managing Director

Structured Finance Group

JOURNALISTS: 1 212 553 0376

Consumer Service: 1 212 553 1653

Releasing Workplace:

Moody’s Buyers Service, Inc.

250 Greenwich Road
New York, NY 10007

U.S.A.

JOURNALISTS: 1 212 553 0376

Consumer Service: 1 212 553 1653