In the Prepayment Time Series workspace you can manage prepayment time series information from searching for and approving existing time series information to creating new time series data.
You can add prepayment information for amortizing securities that are backed by loans and have a schedule of principal repayments and time series information, such as the following:
- Certificates of amortizing revolving debt (CARDs), which are asset backed securities backed by credit card loans. These types of securities do not have a scheduled principal repayment on a specific timely basis. However, they have an effective maturity date that can change over time.
- Certificates for automotive receivables (CARs), which are asset backed securities backed by car loans. The monthly prepayment is expressed as a percentage of the original collateral amount, known as the absolute prepayment speed (ABS).