Asset-Backed Securities (ABS) Trust Services
Specialized, agile ABS trust solutions
No matter how complex your ABS transactions, UMB’s highly experienced, tenured team is here to support you. We understand the intricacies of various structures and offer solutions tailored to fit your needs.
Niche experience
Our dedicated specialty trust and agency solutions team is experienced in every aspect of complex and unique ABS transactions, industries, and agent services.
Dedicated relationship manager
You have direct access to your UMB relationship manager when you need it. Because we get to know your organization, we can partner with you every step of the way.
Time-tested, reliable and independent
UMB has been a dependable provider of corporate trust services for more than 75 years. UMB is a nationally recognized and ranked provider of bond trustee and agency services to the corporate and municipal marketplaces.
Schedule a consultation with a UMB Corporate Trust team member
Sophisticated ABS Services
The breadth and depth of our ABS services allows us to support your organization at every level.
Our ABS solutions include:
- Auto loans/leases
- Unsecured consumer loans
- Student loans
- Credit cards
- PACE/Solar
- Cell tower leases
- Equipment leases
- Structured settlements
- Merchant cash advance
- Esoteric assets
The UMB team can serve as your:
- Indenture trustee
- Owner trustee
- Delaware statutory trustee
- Depository Trust Company (DTC) settlement agent
- International/cross-border agent
- Escrow agent
- Verification agent
- Document custody
- Paying agent and registrar
- Account bank
- Cash management
- Calculation and tax agent
- Back-up servicer
FEATURED INSIGHTS
Bond trustees and paying agents: What they are and what they do
Bond trustee services are critical to corporate and municipal marketplaces. We explain the role of a trustee through the stages of a bond issuance.
FEATURED INSIGHTS
Auto dealers: Is your reinsurance “B” account working for you?
Auto dealers participate in reinsurance programs to generate additional profit streams beyond their sales and service operations.
Questions about asset-backed securities (ABS)? UMB has answers.
An asset-backed security (ABS) is a type of debt investment tool in which a pool of combined assets serves as collateral. Typically, the pooled assets used for an ABS include those that generate cash flow from debt, including home or auto loans, student loans, or credit card balances. The process of pooling those assets is called securitization.
An ABS is a type of bond and pays income over a set amount of time, until that bond reaches maturity. It can be an interest income-generating alternative to other debt investment tools, such as corporate bonds or bond funds. UMB offers ABS trust services. For more information, contact the UMB asset-backed securities team.
Historically, Delaware has been a desirable jurisdiction in which to establish statutory trusts. The state has flexible trust and tax laws, so trusts established in Delaware benefit from tax savings, asset protection, investment flexibility, greater control over terms, and quick, confidential judicial settlements.
UMB offers Delaware Statutory Trust services through its subsidiary UMB Delaware Inc. in Wilmington, Delaware. For more information, contact UMB’s Delaware Trust Services.
To learn more about the ABS industry, read this helpful UMB blog on the role of an indenture trustee in an ABS deal.
An escrow agent is a person or entity that holds property in trust for a third party while a transaction is finalized or a disagreement is resolved. Typically, a financial institution provides the escrow agent services and can hold assets, invest funds, handle tax reporting and manage distributions on behalf of the organization it represent
An ideal escrow agent has a comprehensive team of advisors working on behalf of its client. This includes in-house attorneys and a specialized relationship managers experienced in a broad range of corporate transactions, including mergers and acquisitions, capital raise or litigation settlements.
UMB is a nationally recognized and ranked provider of corporate trust and escrow services. For more information, please contact a UMB Corporate Trust representative.
A paying agent collects and distributes the principal and interest payments on the bonds. Unlike a trustee, a paying agent doesn’t have the ability to enforce the bond payment obligations. If there’s a paying agent but no bond trustee, there’s no independent party available to protect the rights of the bondholders if there is a default on the bonds.
To continue learning about the role of paying agents, read “Defining the role of a bond trustee or paying agent.“
