Advanta subsidiary prices $122 million mortgage loan securitization.HORSHAM, Pa.--(BUSINESS WIRE)--June 9, 1995--Advanta (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :ADVNB;ADVNA ADVNA Advanta Corporation (stock symbol) ) announced Friday that its wholly-owned subsidiary, Advanta Mortgage Conduit Services Inc., has priced a $122 million mortgage loan securitization. Closing is anticipated to be June 15, 1995. Advanta Mortgage Loan Trust 1995-2, which will hold fixed-and adjustable-rate mortgage Adjustable-rate mortgage (ARM) A mortgage that features predetermined adjustments of the loan interest rate at regular intervals based on an established index. The interest rate is adjusted at each interval to a rate equivalent to the index value plus a predetermined spread, or loans, will issue Certificates representing ownership interests in the Trust. The effective pass-through yield on the fixed-rate loans will be approximately 6.97%, which equates to 101 basis points over the Interpolated interpolated /in·ter·po·lat·ed/ (in-ter´po-la?ted) inserted between other elements or parts. 3.8 year Treasury yield. The effective pass-through yield on the ARM loans will be 32 basis points over one-month LIBOR LIBOR See: London Interbank Offered Rate LIBOR See London interbank offered rate (LIBOR). . The Certificates will be sold in the public market by Lehman Brothers as sole underwriter. The Certificates are expected to be rated "AAA AAA: see American Automobile Association. (Triple A) A common single-cell battery used in a myriad of electronic devices of all variety. Like its double A (AA) cousin, it provides 1.5 volts of DC power. When used in series, the voltage is multiplied. " by Standard & Poor's and "Aaa" by Moody's and are expected to be insured by Municipal Bond Investors Assurance Corp. Advanta Mortgage will retain the servicing and customer relationships of the loan accounts. With over four million customers, $9.8 billion in managed assets and more than 1,800 dedicated employees, Advanta is a rapidly growing consumer financial services enterprise. The company proudly serves consumers and small businesses through high quality, innovative offerings of credit cards, mortgages, leases, insurance and deposit products. CONTACT: Advanta, Horsham Janet Point, Vice President, Investor Relations, 215/784-5335 or Mark Casale, Vice President and Treasurer, Advanta Mortgage, 215/283-4639 |
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