DBRS Finalizes Provisional Ratings on CommonBond Student Loan Trust 2016-A

DBRS, Inc. (DBRS) has today finalized its provisional ratings on the following classes issued by CommonBond Student Loan Trust 2016-A:

-- Series 2016-A, Class A-1 rated A (high) (sf)
-- Series 2016-A, Class A-2 rated A (high) (sf)
-- Series 2016-A, Class B rated BBB (sf)

The DBRS ratings are based on a review of DBRS of the following analytical considerations:
-- The transaction’s form and sufficiency of available credit enhancement.
-- The quality and credit characteristics of the student loan borrowers.
-- Structural features of the transaction that require the Class A Notes to enter into full turbo principal amortization if certain performance triggers are breached or if credit enhancement deteriorates.
-- The experience, underwriting and origination capabilities of CommonBond Lending, LLC and The Bank of Lake Mills.
-- The ability of the Servicer to perform collections on the collateral pool and other required activities.
-- The legal structure and legal opinions that address the true sale of the student loans, the non-consolidation of the trust, that the trust has a valid first-priority security interest in the assets and consistency with the DBRS “Legal Criteria for U.S. Structured Finance” methodology.

Notes:
Please see the attached appendix for additional information regarding sensitivity of assumptions used in the rating process.

The applicable methodology is Rating U.S. Private Student Loan Securitizations, which can be found on our website under Methodologies.

The full report providing additional analytical detail is available by clicking on the link or by contacting us at info@dbrs.com.