Pan American Bank FSB, a unit of San Mateo, Calif.-based United Pan Am Financial Corp., sold $225 million of securities backed by home-equity loans, according to a person familiar with the sale.
The two-part sale was handled by Greenwich Capital Markets and has a financial guarantee from Financial Security Assurance. The securities were sold through United Pan Am Mortgage Loan Trust.
The largest segment of the sale, a $188 million 2.61-year floating-rate portion, sold at a yield of 32 basis points above the one-month London interbank offered rate, now at 4.97%, the person said. A $37 million, 2.98- year fixed-rate segment was priced to yield 135 basis points above comparable Treasuries.
Pan American Bank is California's largest Hispanic-controlled savings association, according to United Pan Am.