EUGENE, Ore.–Oregon Community Credit Union (OCCU) has issued $350 million of asset-backed securities (ABS), in the process becoming only the only the second U.S. credit union to complete three auto loan securitizations in the eight years since NCUA OK’d credit unions to enter the securities market.
OCCU will retain the servicing.
“This securitization benefits members by building the financial strength of OCCU,” Jeff Mullins, OCCU senior vice president of capital markets, said in a statement. “This strength allows us to serve more members and supports our ability to provide member benefits such as lower or eliminated fees, additional branches and service centers, and enhanced technology such as digital banking and video teller machines.”
Numerous Types of Loans
The $3.6-billion OCCU said the loans included direct and indirect prime-quality vehicle retail installment sales contracts secured by new and used automobiles, light-duty trucks, sport utility vehicles and vans.
OCCU added it provides high-touch dealer relationship management, with indirect lending comprising more than 90% of origination volume.
It has a managed auto portfolio of $2.75 billion.
