Definitions

from Wiktionary, Creative Commons Attribution/Share-Alike License

  • abbr. Alternative-A — Describing mortgages loans that do not conform to the traditional standards of Fannie Mae, but are presented as having an "A" credit rating, based on the borrower's FICO credit score.

Etymologies

Sorry, no etymologies found.

Examples

  • But per the latest 10Q, 99% of CIM's non-agency mortgages are classified as Alt-A, which have some of the best risk-reward profile among all mortgages.

  • During the housing boom, IndyMac specialized in so-called Alt-A loans, for which borrowers often had to produce little evidence of income or assets.

    FDIC Draws IndyMac Rebuke

  • The cases brought Friday could be complicated by the fact that there weren't widely accepted definitions about what constituted a subprime or so-called Alt-A mortgage, a category between prime and subprime that allowed for borrowers to provide little or no documentation of their incomes.

    SEC Brings Crisis-Era Suits

  • Those dealers have until 1 p.m. on Wednesday to submit bids on the securities, which are backed by subprime and so-called "Alt-A" home loans issued between 2005 and 2007.

    Fed Will Auction Securities From AIG Bailout This Week

  • The note said most of the so-called Alt-A bonds were well-bid, but the weakest subprime bonds did not sell.

    'Fatigue' Over Fed's Maiden Lane Auctions

  • Regulators are focusing on the way both companies reported their subprime mortgage portfolios and concentrations of loans extended to borrowers who offered little documentation, also known as Alt-A loans.

    NYT > Home Page

  • At the time, Fannie's executives were trying to expand the company's market share by buying up more subprime and so-called Alt-A loans, the SEC said.

    Washington Post: Breaking News, World, US, DC News & Analysis

  • In addition, the Company owned a total of seven collateralized mortgage obligations and asset-backed securities approximating $2.1 million classified as Alt-A which is a credit category between prime and subprime.

  • It took a couple of hours before I became aware of what had precipitated the slide: Moody’s had downgraded to junk-bond status portions of fifteen different mortgage-backed debt issues that we had packaged and underwritten, including some so-called Alt-A bonds, a designation that was supposed to indicate solid quality and safety.

    The Rise and Fall of Bear Stearns

  • The charts below display the typical tranche shares for subprime and Alt-A mortgage-backed securities MBSs in 2006, and show that 85.9 percent of subprime MBS tranches, and 95.3 percent of Alt-A tranches, were rated either AAA or AA.

    Mark J. Perry and Robert Dell: How Government Failure Caused the Great Recession

Wordnik is becoming a not-for-profit! Read our announcement here.

Comments

Log in or sign up to get involved in the conversation. It's quick and easy.