Alloya Corporate FCU Settles Multi-Issuer Auto Loan Securitization

​Today marks the settlement of Alloya’s first multi-issuer auto loan asset-backed securitization (ABS), fully funded after being well oversubscribed by investors. The securitization, backed by a diversified pool of auto loans originated by three of Alloya’s member credit unions, was structured to optimize investor appeal while maintaining strong credit quality. “We were very pleased with the strong support this issuance received from a wide variety of investors” said Andrew Kohl, Alloya’s Chief Investment Officer.

Alloya would like to express its gratitude to Blaze Credit Union (Minnesota), Consumers Credit Union (Illinois) and Interra Credit Union (Indiana) for their hard work and commitment to pioneering this groundbreaking accomplishment. Special thanks go to Justin Burleson, Senior Vice President and Chief Operating & Financial Officer, Craig Backstrom, Vice President, Consumer Lending Operations, and Joel Tauscher, Vice President, Accounting and Finance (Blaze Credit Union); Sean Bowers, Chief Financial Officer, and Vinay Duggirala, Vice President, Finance (Consumers Credit Union); and  Jim Henning, Chief Financial Officer, and Heather Cripe, Assistant Vice President and Manager of Finance (Interra Credit Union). These individuals’ and their teams’ hard work and many extra hours of dedication were integral to the completion of the endeavor.

“Credit unions are cooperatives, and no transaction can reflect that better than this transaction” continued Kohl. “It took multiple months, strong coordination and countless interactions to be sure that we accomplished our goal of completing the first ever credit union multi-issuer auto loan securitization. It has proved the concept can work, and we look forward to many future issuances from multiple credit unions throughout the United States.”

Alloya continues to explore new avenues to support credit union success through securitization, loan participations and other capital markets strategies. Those interested in learning more can visit www.alloyacorp.org/capital-markets-simplified.

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