Toyota Auto Loan Extended Note Trust 2021-1 — Moody’s assigns a definitive rating to Toyota Auto Loan Extended Note Trust 2021-1 notes

Rating Action: Moody’s assigns a definitive rating to Toyota Auto Loan Extended Note Trust 2021-1 notesGlobal Credit Research – 08 Mar 2021$2.25 billion of asset-backed securities ratedNew York, March 08, 2021 — Moody’s Investors Service, (“Moody’s”) has assigned a definitive rating to the notes issued by Toyota Auto Loan Extended Note Trust 2021-1 (TALNT 2021-1). This is the second auto loan transaction of the year for Toyota Motor Credit Corporation (TMCC; A1, negative). The notes are backed by a revolving pool of retail automobile loan contracts originated by TMCC, who is also the servicer and administrator for the transaction.The complete rating actions are as follows:Issuer: Toyota Auto Loan Extended Note Trust 2021-1$2,250,000,000, 1.07%, Class A Notes, Definitive Rating Assigned Aaa (sf)RATINGS RATIONALEThe ratings are based on the quality of the underlying collateral and its expected performance, the strength of the capital structure, and the experience and expertise of TMCC as the servicer.Moody’s median cumulative net loss expectation for the 2021-1 pool is 1.10% and the loss at a Aaa stress is 5.50% in cases where the transaction satisfied the floor credit enhancement tests. Moody’s median cumulative net loss expectation for the 2021-1 pool is 1.30% and the loss at a Aaa stress is 6.00% in cases where the transaction only satisfies the pool composition tests. The cumulative net loss expectation is unchanged from TALNT 2020-1, the last transaction that we…