DBRS Publishes Update to its Representations and Warranties Criteria for U.S. RMBS Transactions

DBRS has published an update to its rating criteria for residential mortgage-backed securitization (RMBS) transactions. The update provides expected standardized representations and warranties (and related covenant) for newly originated mortgage collateral, as well as a standardized set of representation and warranties for seasoned pools of mortgage collateral.

Given the importance of the provider of representations and warranties in creating the intended credit benefit, the criteria update also clarifies the expected credit ratings of representation and warranty providers and related credit support.

DBRS continues to support and promote the transparency efforts undertaken by the capital markets to clarify the protections afforded to investors in RMBS and other structured finance transactions. DBRS has worked with the American Securitization Forum in the development of standardized representations and warranties and maintains consistency with those goals in the criteria update.

DBRS criteria and methodologies are publicly available on its website www.dbrs.com under Methodologies.

For more information on this credit or on this industry, visit www.dbrs.com or contact us at info@dbrs.com.

Note:
The updated methodology is Rating U.S. Residential Mortgage-Backed Securities Transactions, dated April 2009.