Key Rating Drivers:
Fitch's ratings are based on the underlying receivables pool, available credit enhancement,
Fitch models three different scenarios when evaluating the rating sensitivity compared to expected performance for credit card asset-backed securities transactions: 1) increased defaults; 2) a reduction in purchase rate, and 3) a combination stress of higher defaults and lower monthly payment rate (MPR).
The harshest stress scenario of a combined 75% increase to defaults and a 35% reduction of MPR could lead to the most drastic downgrades to all classes. Under a moderate stress of a 50% increase in defaults and 25% reduction in MPR, rating migration could be less affected. However, in comparison, increasing defaults by 75% and reducing purchase rate by 100% alone will have the least impact on rating migration.
For a discussion of the representations, warranties, and enforcement mechanisms available to investors in this transaction, please see the related appendix.
For more information about Fitch's comprehensive subscription service FitchResearch, which includes all presale reports, surveillance, and credit reports on more than 20 asset classes, contact product sales at +1-212-908-0800 or at 'email@example.com'.
Additional information is available at 'www.fitchratings.com'.
--'Global Credit Card ABS Rating Criteria' (
--'Global Structured Finance Rating Criteria' (
--'Representations, Warranties, and Enforcement Mechanisms in Global Structured Finance Transactions' (
Representations, Warranties, and Enforcement Mechanisms in Global Structured Finance Transactions
Global Structured Finance Rating Criteria
Global Credit Card ABS Rating Criteria
Source: Fitch Ratings
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