DBRS Rates Ally Master Owner Trust Series 2010-1

DBRS has today assigned final ratings to the Ally Master Owner Trust 2010-1 (AMOT 2010-1). The AMOT 2010-1 transaction represents the first publicly issued securitization of Ally Bank’s wholesale receivables. The AMOT 2010-1 trust assets include: a revolving pool of receivables originated in connection with the purchase and financing by motor vehicle dealers of new and used cars and trucks.

The AMOT 2010-1 transaction represents the first Series issued from the new master trust. Shortly after April 2009, GMAC began to provide automotive finance products and services to Chrysler dealers and customers. Subsequent to this date, Ally Bank also entered into floorplan financing arrangements with approximately 1,200 Chrysler franchised dealers. The credit and underwriting process was substantially completed in December 2009.

Ally Bank was granted, in May 2009, an expanded exemption from Section 23A of the Federal Reserve Act and Regulation W of the Federal Reserve Board. The exemption facilitated Ally Bank’s ability to make floorplan loans to General Motors franchised dealers. In September 2009, Ally Bank began an effort to significantly increase its financing to GM franchised dealers that had previously financed their wholesale inventory through GMAC.

Approximately 1,500 new GM franchised dealers were added to the Ally Bank floorplan portfolio, during the period from September 2009 to January 2010. This process remains in progress and Ally Bank expects to add a material number of additional GM franchised dealers.

Credit enhancement for the series 2010-1 class A notes is 36.25%. This amount is derived from 35.25% subordination of the class B, C, D and E notes and a 1.0% reserve account. The credit enhancement will increase if the payment rate drops below 25%. An early amortization event will occur if the payment rate drops to less than 17.50%.

Additionally, Wells Fargo Bank, National Association (rated ‘AA(high)/R-1(high)’—Neg. trend), is the back-up servicer for the master trust.

Notes:
All figures are in U.S. dollars unless otherwise noted.

This rating is based on public information.

The applicable methodology is Rating U.S. Wholesale Auto Securitizations, which can be found on our website under Methodologies

This is a Structured Finance rating.