Back-Up Servicing/Data Aggregation Services
SST offers various levels of back-up servicing
for multiple asset classes and credit qualities. In this capacity, SST may assume
successor servicing duties, if necessary. Today, SST is the back-up servicer on
several billion in Asset Backed Securities (ABS) term and warehouse lines covering
auto loans and leases, recreational vehicles, boats, commercial and agricultural
equipment, credit cards, consumer receivables including personal loans, and other
If activated, SST can map to the originator's system for data and
comments to ensure a seamless transition. Upon direction from the controlling party,
SST's objective is to transition servicing in a timely manner seeking to maximize
portfolio performance. Every deal requires a different level of servicing supervision.
Hot back-up servicing - responsibilities include
running partial or full parallel systems with the primary servicer or mapping data
to a contingent servicer with ongoing established file upload tests.
Warm back-up servicing - responsibilities
include: system to system data mapping, receiving, reviewing and storing portfolio data files, reviewing monthly
servicer reports and performing surface level verification.
Cold back-up servicing - SST named as possible
successor servicer with minimal preliminary transition preparation.
In addition, SST may add value to any portfolio by:
Creating a transition plan - for review and
approval by the rating agency or bond insurer to ensure a smooth transition from
back-up servicer to successor servicer.
Performing third-party due diligence - focusing
on cash control, collections and information technology, both prior to closing and
Performing a monthly review of collateral
regardless of back-up servicing level (hot, warm, cold), when data is provided.
Data Aggregation Services - SST pioneered
this function in the auto securitization market. In effect, this service combines
the benefits of backup servicing with the unique advantage of data aggregation.
A Data Aggregation Services agreement allows
companies to submit data on their assets across various sources. Owners, investors
and issuers receive monthly reporting on all the assets owned.
SST has experience in various aspects of back-up servicing
and data aggregation services. By reviewing account level servicer data, we report
on portfolio performance indicators. These include delinquencies, defaults and net
losses or structural characteristics such as concentration levels and eligibility
requirements. We also monitor servicer report information against account level
data to ensure reporting accuracy.
SST, the leading third-party servicer in the market