Achieve, the leader in digital personal finance, announces the March 18 close of an offering of $200.63 million in rated notes backed by Achieve Personal Loans.

The securitization, ACHV ABS Trust 2024-1PL, includes four classes of rated notes and is backed by 10,757 unsecured consumer personal loans. It is the 22nd securitization from Freedom Consumer Credit Fund, LLC (FCCF), an investment fund managed by Freedom Financial Asset Management, LLC (FFAM), an Achieve company. It is the ninth personal loan securitization from FCCF and FFAM to receive a AAA rating from DBRS Morningstar and the 11th to receive a AAA rating from Kroll Bond Rating Agency (KBRA).

"We're pleased the credit rating agencies noted that the underlying Achieve Personal Loans in this transaction have some of the strongest credit characteristics ever featured in an FCCF-sponsored securitization," said Achieve Co-Founder and Co-CEO Andrew Housser. "This reflects the ongoing efforts that Achieve and its bank partners have taken to be responsive to both the evolving landscape in consumer lending and strong investor demand for differentiated loan assets."

Achieve Personal Loans help individuals responsibly manage high-interest debt by consolidating revolving accounts into easy-to-manage, more consumer-friendly installment loans. The fully amortizing, unsecured consumer loans can have original balances ranging from $5,000-$50,000, two-to-five-year terms and a fixed interest rate ranging from 7.99% to 26.99%. Underwriting for Achieve Personal Loans is based on proprietary algorithms that evaluate behavioral, transactional, employment and income data, as well as a manual review of borrowers' creditworthiness and willingness to repay. The loans are originated by bank partners on the Achieve Personal Loans platform.

The Class A, Class B, Class C and Class D fixed-rate notes were rated AAA (sf), AA- (sf), A (sf), and BBB- (sf), respectively, by KBRA. The Class A, Class B and Class C fixed-rate notes were rated AAA (sf), AA (low) (sf) and A (low) (sf), respectively, by DBRS Morningstar. The Class D notes were not rated by DBRS. The transaction structure features over-collateralization, subordination, a reserve fund and excess spread.

"This securitization was more than four times' oversubscribed and was ultimately able to price tighter than recent consumer loan ABS issuances," said Achieve Chief Financial Officer Ralph L. Leung. "We believe this is a testament to our strong track record and a promising sign for robust capital markets activity in 2024."

ATLAS SP Partners served as Structuring Agent, Initial Purchaser and Joint Bookrunner. Morgan Stanley served as Initial Purchaser and Joint Bookrunner. Barclays served as Rated Notes Initial Purchaser and Joint Bookrunner and CRB Securities served as Rated Notes Initial Purchaser. Since 2018, FCCF has sponsored 19 personal loan securitizations and three home equity line of credit securitizations. Cumulative issuances across all FCCF-sponsored securitizations total over $5.5 billion and total loan originations through the Achieve Personal Loans platform and Achieve Home Loans is approximately $11 billion.