Term Asset-Backed Securities Loan Facility: non-CMBS

The Federal Reserve created the Term Asset-Backed Securities Loan Facility (TALF), to help market participants meet the credit needs of households and small businesses by supporting the issuance of asset-backed securities (ABS) collateralized by auto loans, student loans, credit card loans, equipment loans, floorplan loans, insurance premium finance loans, loans guaranteed by the Small Business Administration, residential mortgage servicing advances, or commercial mortgage loans. Eligible borrowers must use a TALF Agent, which will act as agent for the borrower, to access the TALF and must deliver eligible collateral to the New York Fed’s custodian bank.

The following operations announcement pertains to non-mortgage-backed ABS:

Operation Announcement
Subscription Date: September 3, 2009
Closing Date: September 11, 2009
3-Year Maturity Date: September 11, 2012
5-Year Maturity Date: September 11, 2014
Facility Open: September 3, 2009 8:00 a.m. ET
Facility Close: September 3, 2009 3:00 p.m. ET
Administrative Fee: 10.00 basis points
Eligible Collateral: ABS1
Loan Term: 3 or 5 years
Rates for September 3, 2009 Facility:

Sector

Subsector

Fixed 3yr loan
(Avg Life, in years)

Fixed 5 year loan

Floating

<1

1-<2

>=2

Auto

1.602

2.253

2.854

N/A

1.25438

Credit Card

1.602

2.253

2.854

N/A

1.25438

Equipment

1.602

2.253

2.854

N/A

1.25438

Floorplan

1.602

2.253

2.854

N/A

1.25438

Premium Finance

Property and casualty

1.602

2.253

2.854

N/A

1.25438

Servicing Advances

Residential mortgages

1.602

2.253

2.854

N/A

1.25438

Small Business

SBA loans 7(a)

N/A
N/A
N/A

N/A

1.000

Small Business

SBA loans 504

2.354

3.158

N/A

Student Loan

Private with coupon tied to Prime

N/A
N/A
N/A
N/A

Higher of (Prime rate-175 bps) and 1%

Student Loan

Other Private

N/A
N/A
N/A
N/A

1.25438

Student Loan

Gov't guaranteed

N/A
N/A
N/A
N/A

0.75438

Amount of TALF loans requested at September 3, 2009 Facility:

Sector

Amount

Auto

$1,159,949,121

Credit Card

$4,399,124,970

Equipment

$110,560,307

Floorplan

-

Premium Finance

$530,100,000

Servicing Advances

-

Small Business

$162,112,149

Student Loan

$179,583,615

Total

$6,541,430,162

Amount of TALF loans settled for September 3, 2009 Facility:

Sector

Amount

Auto

$1,159,783,182.79

Credit Card

$4,399,091,111.41

Equipment

$110,560,306.52

Floorplan

-

Premium Finance

$530,100,000.00

Servicing Advances

-

Small Business

$161,941,409.61

Student Loan

$177,065,191.82

Total

$6,538,541,202.15

1As defined in the terms & conditions
Recent Operations ››
H 4.1 Factors Affecting Reserve Balances
offsite