Scope updates its Non-Performing Loan ABS Rating Methodology
The updates have no effect on Scope’s existing ratings of non-performing loan transactions.
The latest update of Scope’s Non-Performing Loan ABS Rating Methodology includes clarifications and minor editorial changes.
Specifically, Scope clarifies that i) irregular cash flows are a key feature of securitisations that fall within the scope of this methodology; and ii) the legal analysis focuses on the representation and warranties given by the relevant provider.
The Non-Performing Loan ABS Rating Methodology can be downloaded here and should be read with the Counterparty Risk Methodology and the various structured finance methodologies on specific asset classes.
All of Scope’s methodologies can be found on www.scoperatings.com.