UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM 10-D

 

 

ASSET-BACKED ISSUER DISTRIBUTION REPORT

PURSUANT TO SECTION 13 OR 15(d) OF

THE SECURITIES EXCHANGE ACT OF 1934

For the monthly distribution period from

July 31, 2021 to August 31, 2021

Commission File Number of issuing entity: 333-205992-02

Commission Index Key Number of issuing entity: 0001756401

 

 

Volkswagen Auto Loan Enhanced Trust 2018-2

(Exact name of issuing entity as specified in its charter)

Commission File Number of the depositor: 333-205992

Commission Index Key Number of the depositor: 0001182534

Volkswagen Auto Lease/Loan Underwritten Funding, LLC

(Exact name of depositor as specified in its charter)

Central Index Key Number of sponsor (if applicable): 0000833733

VW Credit, Inc.

(Exact name of sponsor as specified in its charter)

 

 

 

Delaware   83-6429606

(State or other jurisdiction of incorporation

or organization of the issuing entity)

  

(I.R.S. Employer

Identification No.)

2200 Woodland Pointe Avenue, Herndon, Virginia   20171
(Address of principal executive offices of the issuing entity)   (Zip Code)

(703) 364-7000

(Telephone number, including area code)

N/A

(Former name, former address, if changed since last report)

 

 

 

     Registered/reporting pursuant to
(check one)		    Name of
exchange		  

Title of class

    Section 12(b)      Section 12(g)      Section 15(d)    (If Section 12(b))  

Class A-1 Notes

          ☒   

Class A-2-A Notes

          ☒   

Class A-2-B Notes

          ☒   

Class A-3 Notes

          ☒   

Class A-4 Notes

          ☒   

 

 

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.     Yes   ☒     No  ☐

 

 

 

PART I—DISTRIBUTION INFORMATION

Item 1. Distribution and Pool Performance Information.

Distribution and pool performance information with respect to the receivables that comprise the assets of Volkswagen Auto Loan Enhanced Trust 2018-2 is set forth in the monthly servicer’s certificate attached as Exhibit 99.1.

 

Item 1A.

Asset-Level Information

The Asset Data File and Asset Related Document filed as Exhibit 102 and Exhibit 103, respectively, to the Form ABS-EE filed by the issuing entity, Volkswagen Auto Loan Enhanced Trust 2018-2, on September 20, 2021 are hereby incorporated by reference into this Form 10-D.

PART II—OTHER INFORMATION

Item 2. Legal Proceedings.

Not applicable

Item 3. Sales of Securities and Use of Proceeds.

Not applicable

Item 4. Defaults Upon Senior Securities.

Not applicable

Item 5. Submission of Matters to a Vote of Security Holders.

Not applicable

Item 6. Significant Obligors of Pool Assets.

Not applicable

Item 7. Change in Sponsor Interest in Securities.

Not applicable

Item 8. Significant Enhancement Provider Information.

Not applicable

Item 9. Other Information.

No assets securitized by VW Credit, Inc. (the “Securitizer”) and held by Volkswagen Auto Loan Enhanced Trust 2018-2 were the subject of a demand to repurchase or replace for breach of the representations and warranties during the distribution period from July 31, 2021 to August 31, 2021. Please refer to the Form ABS-15G dated February 10, 2021 filed by the Securitizer for additional information. The CIK number of the Securitizer is 0000833733.

Item 10. Exhibits.

 

Exhibit 99.1    Monthly Distribution report for the collection period commencing on July 31, 2021 and ending on August 31, 2021.
Exhibit 102    Asset Data File for the reporting period July 31, 2021 to August 31, 2021 (Exhibit 102 to Form ABS-EE filed by Volkswagen Auto Loan Enhanced Trust 2018-2 with the SEC on September 20, 2021 is incorporated by reference herein).
Exhibit 103    Asset Data File for the reporting period July 31, 2021 to August 31, 2021 (Exhibit 103 to Form ABS-EE filed by Volkswagen Auto Loan Enhanced Trust 2018-2 with the SEC on September 20, 2021 is incorporated by reference herein).

Signature

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

September 20, 2021      

VOLKSWAGEN AUTO LOAN ENHANCED

TRUST 2018-2

      By VW Credit, Inc., as Servicer
      By:  

/s/ Ina Reetz

      Name: Ina Reetz
      Title:    Sr. Director Financial Reporting
EX-99.1
Volkswagen Auto Loan Enhanced Trust 2018-2    Exhibit 99.1
MONTHLY SERVICER CERTIFICATE   
For the collection period ended 8-31-2021    PAGE 1

 

A.    DATES    Begin      End      # days  
1    Determination Date         9/16/2021     
2    Payment Date         9/20/2021     
3    Collection Period      7/31/2021        8/31/2021        32  
4    Monthly Interest Period - Actual/360      8/20/2021        9/19/2021        31  
5    Monthly Interest - 30/360            30  
B.    SUMMARY                        

 

              Initial Balance     Beginning Balance     Principal Payment     Ending Balance     Note Factor  
6   Class A-1 Notes       238,000,000.00       —         —         —         —    
7   Class A-2-A Notes       275,000,000.00       —         —         —         —    
8   Class A-2-B Notes       50,000,000.00       —         —         —         —    
9   Class A-3 Notes       337,000,000.00       78,002,108.09       14,537,294.84       63,464,813.25       0.1883229  
10   Class A-4 Notes       100,000,000.00       100,000,000.00       —         100,000,000.00       1.0000000  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
11   Total Securities     $ 1,000,000,000.00     $ 178,002,108.09     $ 14,537,294.84     $ 163,464,813.25    
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
12   Overcollateralization       30,934,557.54       30,934,557.54         30,934,557.54    
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
13   Adjusted Pool Balance     $ 1,030,934,557.54     $ 208,936,665.63     $ 14,537,294.84     $ 194,399,370.79    
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
14   YSOC       65,149,170.03       10,992,303.08         10,126,382.72    
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
15   Net Pool Balance     $ 1,096,083,727.57     $ 219,928,968.71     $ 14,537,294.84     $ 204,525,753.51    
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
        Coupon Rate     Libor Rate     Interest Pmt Due     Per $1000
Face Amount		     Principal & Interest
Payment Due		     Per $1000
Face Amount		  
16   Class A-1 Notes     2.75762 %      N/A       —         —         —         —    
17   Class A-2-A Notes     3.05000 %      N/A       —         —         —         —    
18   Class A-2-B Notes     0.24838 %      0.08838 %      —         —         —         —    
19   Class A-3 Notes     3.25000 %      N/A       211,255.71       0.6268715       14,748,550.55       43.7642450  
20   Class A-4 Notes     3.33000 %      N/A       277,500.00       2.7750000       277,500.00       2.7750000  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
21   Total Securities         488,755.71         15,026,050.55    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

C.    COLLECTIONS AND AVAILABLE FUNDS        
22    Scheduled Principal Payments Received      9,594,836.29  
23    Scheduled Interest Payments Received      718,447.67  
24    Prepayments of Principal Received      5,632,894.15  
25    Liquidation Proceeds      8,269.19  
26    Recoveries Received      249,971.78  
27    Other Payments Received to Reduce Principal   
     

 

 

  
28   

Subtotal: Total Collections

      16,204,419.08  
     

 

 

  
29   

Repurchased Receivables

      —    
30   

Reserve Account Excess Amount (Item 88)

      55.82  
     

 

 

  
31   

Total Available Funds, prior to Servicer Advances

      16,204,474.90  
     

 

 

  
32   

Servicer Advance (Item 76)

      —    
     

 

 

  
33   

Total Available Funds + Servicer Advance

      16,204,474.90  
     

 

 

  
34   

Reserve Account Draw Amount (Item 79)

      —    
     

 

 

  
35   

Total Available Funds + Servicer Advance and Reserve Account Draw Amount

      16,204,474.90  
     

 

 

  
D.    DISTRIBUTIONS        
   Distribution Summary:   
36    Prior Advance Reimbursement (Item 82)      —    
37    Servicing Fees (Item 44)      183,274.14  
38    Class A Noteholder Interest (Item 55)      488,755.71  
39    Principal Distribution Amount (Item 68)      14,537,294.84  
40    Amount Paid to Reserve Account to Reach Specified Balance      —    
41    Other Amounts Paid to Trustees      —    
42    Certificateholders Principal Distribution Amount      —    
     

 

 

  
43   

Remaining Funds to Seller

      995,150.21  
     

 

 

  

PAGE 2

 

     Distribution Detail:    Due      Shortfall     Paid  
44    Servicing Fees      183,274.14        —         183,274.14  
     

 

 

     

 

 

    

 

 

  
   Pro rata:        
45    Class A-1 Interest      —          —         —    
46    Class A-2-A Interest      —          —         —    
47    Class A-2-B Interest      —          —         —    
48    Class A-3 Interest      211,255.71        —         211,255.71  
49    Class A-4 Interest      277,500.00        —         277,500.00  
50    Class A-1 Interest Carryover Shortfall      —          —         —    
51    Class A-2-A Interest Carryover Shortfall      —          —         —    
52    Class A-2-B Interest Carryover Shortfall      —          —         —    
53   

Class A-3 Interest Carryover Shortfall

      —          —         —    
54   

Class A-4 Interest Carryover Shortfall

      —          —         —    
     

 

 

     

 

 

    

 

 

  
55    Class A Noteholder Interest      488,755.71        —         488,755.71  
     

 

 

     

 

 

    

 

 

  
E.    CALCULATIONS                          
   Calculation of Principal Distribution Amount:        
56    Beginning Adjusted Pool Balance           208,936,665.63  
57    Beginning Net Pool Balance         219,928,968.71    
58    Receipts of Scheduled Principal         (9,594,836.29 )   
59    Receipts of Prepaid Principal         (5,632,894.15 )   
60    Liquidation Proceeds         (8,269.19 )   
61    Other Collections of Principal         —      
62    Principal Amount of Repurchases         —      
63    Principal Amount of Defaulted Receivables         (167,215.57 )   
        

 

 

    
64    Ending Net Pool Balance         204,525,753.51    
65    Yield Supplement Overcollateralization Amount         10,126,382.72    
        

 

 

    
66    Adjusted Pool Balance         194,399,370.79    
67    Less: Adjusted Pool Balance - End of Collection Period           194,399,370.79  
          

 

 

  
68    Calculated Principal Distribution Amount

 

     14,537,294.84  
          

 

 

  
   Calculation of Servicer Advance:        
69    Available Funds, prior to Servicer Advances (Item 31)           16,204,474.90  
70    Less: Prior Advance Reimbursement (Item 36)           —    
71    Less: Servicing Fees Paid (Item 44)           183,274.14  
72    Less: Interest Paid to Noteholders (Item 55)           488,755.71  
73    Less: Calculated Principal Distribution (Item 68)           14,537,294.84  
          

 

 

  
74    Equals: Remaining Available Funds before Servicer Advance           995,150.21  
75    Monthly Loan Payments Due on Included Units but not received (N/A if Item 74 > 0)

 

     N/A  
          

 

 

  
76    Servicer Advance (If Item 74 < 0, lesser of Item 74 and Item 75, else 0)

 

     —    
          

 

 

  
   Calculation of Reserve Account Draw Amount:        
77    Remaining Available Funds, before Reserve Account Draw (Item 74 plus Item 76)           995,150.21  
78    Available Funds Shortfall Amount (If Item 77 < 0, Item 77, else 0)           —    
          

 

 

  
79    Reserve Account Draw Amount (If Item 78 is > 0, Lesser of Reserve Acct Balance and Item 78)

 

     —    
          

 

 

  
80    Principal Distribution Amount (Item 68 - Available Funds Shortfall + Reserve Account Draw Amt)

 

     14,537,294.84  
          

 

 

  
   Reconciliation of Servicer Advance:        
81    Beginning Balance of Servicer Advance           —    
82    Less: Prior Advance Reimbursement           —    
83    Plus: Additional Servicer Advances for Current Period           —    
          

 

 

  
84    Ending Balance of Servicer Advance           —    
          

 

 

  
F.    RESERVE ACCOUNT                          
   Reserve Account Balances:        
85    Specified Reserve Account Balance (Lesser of (a) $2,577,336.39, and (b) the aggregate note balance)           2,577,336.39  
86    Initial Reserve Account Balance           2,577,336.39  
87    Beginning Reserve Account Balance           2,577,336.39  
88    Plus: Net Investment Income for the Collection Period           55.82  
          

 

 

  
89    Subtotal: Reserve Fund Available for Distribution           2,577,392.21  
90    Plus: Deposit of Excess Available Funds (Item 40)           —    
91    Less: Reserve Account Draw Amount (Item 79)           —    
          

 

 

  
92    Subtotal Reserve Account Balance           2,577,392.21  
93    Less: Reserve Account Excess Amount to Available Funds (If Item 92 > Item 85)           55.82  
          

 

 

  
94    Equals: Ending Reserve Account Balance

 

     2,577,336.39  
          

 

 

  
95    Change in Reserve Account Balance from Immediately Preceding Payment Date

 

     —    
          

 

 

  

PAGE 3

 

G.    POOL STATISTICS                      
     Collateral Pool Balance Data:    Initial     Prior Period     Current  
96    Net Pool Balance      1,096,083,728       219,928,969       204,525,753.51  
97    Number of Current Contracts      50,798       22,223       21,333  
98    Weighted Average Loan Rate      3.77 %      3.85 %      3.85 % 
99    Average Remaining Term      54.5       25.3       24.5  
100    Average Original Term      64.5       66.6       66.7  
101    Monthly Prepayment Rate        1.30 %      1.26 % 
     Net Credit Loss and Repossession Activity:          Units     Outstanding
Principal Balance		  
102    Aggregate Outstanding Principal Balance of Charged Off Receivables        11       175,484.76  
103    Liquidation Proceeds on Related Vehicles          8,269.19  
104    Recoveries Received on Receivables Previously Charged Off          249,971.78  
       

 

 

    

 

 

  
105    Net Principal Losses for Current Collection Period        11       (82,756.21 ) 
       

 

 

    

 

 

  
106    Beginning Net Principal Losses        1,082       6,628,818.07  
107    Net Principal Losses for Current Collection Period        11       (82,756.21 ) 
       

 

 

    

 

 

  
108    Cumulative Net Principal Losses        1,093       6,546,061.86  
       

 

 

    

 

 

  
109    Cumulative Net Loss Ratio (Cumulative Net Principal Losses divided by $1,096,083,727.57)          0.60 % 
       

 

 

    

 

 

  
     Delinquencies Aging Profile - End of Period:    Percentage     Units     Outstanding
Principal Balance		  
110    Current      99.03 %      21,183       202,539,733.39  
111    31 - 60 Days Delinquent      0.83 %      126       1,698,566.96  
112    61 - 90 Days Delinquent      0.14 %      24       287,453.16  
113    91-120 Days Delinquent1      0.00 %      —         —    
     

 

 

    

 

 

    

 

 

  
114    Total      100.00 %      21,333       204,525,753.51  
     

 

 

    

 

 

    

 

 

  
H.    DELINQUENCY AND NET LOSS RATIOS                      
115    Ratio of Net Principal Losses to the Pool balance as of Each Collection Period     Percentage  
116    Current Period          -0.04 % 
117    Prior Period          -0.04 % 
118    Two Periods Prior          -0.03 % 
119    Three Periods Prior          -0.05 % 
         

 

 

  
120    Four Period Average (Current and Three Prior Collection Periods)          -0.04 % 
         

 

 

  
     Total Delinquencies - Ratio of Principal Balance of 61-Day Delinquent Receivables to the Pool balance as of Each Collection
Period		     Percentage  
121    Current Period          0.14 % 
122    Prior Period          0.21 % 
123    Two Periods Prior          0.13 % 
124    Three Periods Prior          0.15 % 
         

 

 

  
125    Four Period Average (Current and Three Prior Collection Periods)          0.16 % 
         

 

 

  
126    Delinquncy Trigger          4.48 % 
127    Delinquency Percentage (61-Day Delinquent Receivables)          0.14 % 
128    Delinquency Trigger occurred in this collection Period?          No  
I.    Outstanding Extended/Deferred Accounts Related to Covid-19 Relief                      
                # Contracts     Securitization value  
129    Beginning of Period:        2,003       28,148,060.65  
130    Add: New Accounts Extended/Deferred        —         (0.00 ) 
131    Deduct: Contracts Paid off/Charged-off        (68 )      (765,754.20 ) 
132    Change in Sec. Value        —         (893,844.76 ) 
       

 

 

    

 

 

  
133    Ending of Period        1,935       26,488,461.69  
       

 

 

    

 

 

  
   Summary of Material Modifications, Extensions or Waivers

 

   None in the current month       
   Summary of Material Breaches of Representations or Warranties Related to Eligibility Criteria

 

   None in the current month       
   Summary of Material Breaches by the Issuer of Transaction Covenants

 

   None in the current month       
   Summary of Material Changes in Practices With respect to Charge-Offs, Collections and Management of Delinquent Receivables and the Effect of any Grace Period, Re-Aging, Re-Structuring, Partial Payments or Other Practices on Delinquency and Loss Experience

 

   None in the current month       

 

1

Any receivable as to which any payment is past due 90 or more days is a Defaulted Receivable and the outstanding principal balance is deemed to be zero.

Therefore this item will equal zero in all reporting periods.

VW CREDIT, INC., as Servicer