Company: CPSS
Filing Date: 2025-05-12
Form Type: 10-Q
Source: 0001683168-25-003436
Chunk: 115

Company: CONSUMER PORTFOLIO SERVICES, INC.
Filing Date: 2025-05-12
Form: 10-Q
Item: Part I, Item 8
Chunk 115
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 pledged to the trusts. Expected payments, which will depend on the performance
                                         of such receivables, as to which there can be no assurance, are $810.2 million in 2025, $810.4
                                         million in 2026, $548.7 million in 2027, $329.7 million in 2028, $171.8 million in 2029, $70.7
                                         million in 2030, and $1.7 million in 2031.

(2)Includes repossessed assets that are included in Other
                   assets on our Unaudited Condensed Consolidated Balance Sheet.

     16 

CONSUMER PORTFOLIO SERVICES, INC. AND SUBSIDIARIES

NOTES TO UNAUDITED CONDENSED CONSOLIDATED
FINANCIAL STATEMENTS

Debt issuance costs of $16.0
million and $15.5 million as of March 31, 2025, and December 31, 2024, 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 sold in private placement transactions to qualified institutional buyers. The debt was issued through our wholly-owned bankruptcy
remote subsidiaries and is secured by the assets of such subsidiaries, but not by 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 March 31, 2025.

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 March 31, 2025,
restricted cash under the various agreements totaled approximately $153.6 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, amort