Company: CPSS
Filing Date: 2025-03-12
Form Type: 10-K
Source: 0001683168-25-001548
Chunk: 1747

Company: CONSUMER PORTFOLIO SERVICES, INC.
Filing Date: 2025-03-12
Form: 10-K
Item: Item 9C
Chunk 1747
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2026, $470.5 million in 2027, $275.1 million in 2028, $126.6 million in 2029, and $38.0
million in 2030.

(2)Includes repossessed assets that are included in Other Assets on our Consolidated Balance Sheets.

     F-20 

CONSUMER PORTFOLIO SERVICES, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Debt issuance costs of $15.5
million and $14.6 million as of December 31, 2024 and December 31, 2023, respectively, have been excluded from the table above. These
debt issuance costs are presented as a direct deduction to the carrying amount of the Securitization trust debt on our Consolidated Balance
Sheets.

All of the securitization
trust debt was issued in private placement transactions to qualified institutional investors. The debt was issued by our wholly-owned,
bankruptcy remote subsidiaries and is secured by the assets of such subsidiaries, but not by any of our other assets.

The terms of the various securitization
agreements related to the issuance of the securitization trust debt require that certain delinquency and credit loss criteria be met with
respect to the collateral pool, and require that we maintain minimum levels of liquidity and net worth and not exceed maximum leverage
levels. We were in compliance with all such covenants as of December 31, 2024.

We are responsible for the
administration and collection of the contracts. The securitization agreements also require certain funds be held in restricted cash accounts
to provide additional credit enhancement for the Notes or to be applied to make payments on the securitization trust debt. As of December
31, 2024, restricted cash under the various agreements totaled approximately $125.7 million. Interest expense on the securitization trust
debt is composed of the stated rate of interest plus amortization of additional costs of borrowing. Additional costs of borrowing include
facility fees, insurance premiums, amortization of deferred financing costs, and amortization of discounts required on the notes at the
time of issuance. Deferred financing costs related to the securitization trust debt are amortized using the interest method. Accordingly,
the effective cost of borrowing of the securitization trust debt is greater than the stated rate of interest.

Our wholly-owned, bankruptcy
remote subsidiaries were