Fitch sees to rate GreenSky Home Improvement Issuer Trust 2025

Fitch sees to rate GreenSky Home Improvement Issuer Trust 2025

NEW YORK—KBRA, a leading credit rating agency, has assigned preliminary ratings to five classes of notes issued by GreenSky Home Improvement Issuer Trust 2025-2 ("GSKY 2025-2"). The notes, totaling $681.009 million, are collateralized by a pool of approximately $750 million consumer loans used to finance home improvement products and services [1].

GSKY 2025-2 represents the eighth 144A securitization of home improvement loans originated through the GreenSky Program, administered by GreenSky, LLC, on behalf of federally-insured, federal or state-chartered lenders. The program facilitates point-of-sale financing for consumers in the home improvement markets. GreenSky, founded in 2006 and headquartered in Atlanta, GA, was acquired by The Goldman Sachs Group, Inc. in March 2022 and became an indirect, wholly-owned subsidiary of Goldman Sachs Bank USA, the loan originator [1].

The securitization will issue five classes (and up to eight tranches) of notes, with 95% of economic participation interests in the pool of loans collateralizing the notes. Approximately 13.2% of the loans were originated by Goldman Sachs Bank USA, while 86.8% were originated by Synovus Bank, the origination partner. The loans were originated between mid-August 2022 and mid-March 2024 [1].

KBRA applied its Consumer Loan ABS Global Rating Methodology, Global Structured Finance Counterparty Methodology, and ESG Global Rating Methodology to assess the static pool data, the underlying collateral pool, and the stressed capital structure based on its stress case cash flow assumptions. The agency considered its operational review of GreenSky and several business updates with the company [1].

For more information on the ratings and relevant documents, visit [1].

References:
[1] https://www.businesswire.com/news/home/20250709822246/en/KBRA-Assigns-Preliminary-Ratings-to-GreenSky-Home-Improvement-Issuer-Trust-2025-2