Pagaya Technologies Ltd. announced the closing of its eighth fully‑prefunded personal‑loan asset‑backed securitization, PAID 2025‑8, which raised $500 million from a diversified group of investors. The transaction, rated AAA by Moody’s, is backed by consumer loans originated on Pagaya’s AI‑driven platform.
The deal brings Pagaya’s total ABS‑funded personal‑loan volume to roughly $5.4 billion year‑to‑date, up from $4.9 billion at the end of 2024. By adding a sizable, low‑cost capital source, the company strengthens its funding moat and reduces reliance on forward‑flow agreements and corporate bonds.
The additional capital will enable Pagaya to scale loan origination volumes across its multi‑product ecosystem, including auto and point‑of‑sale lending. The transaction also signals strong investor confidence in the quality of Pagaya’s loan portfolio and its ability to generate consistent fee revenue for lenders.
Sahil Chandiramani, Pagaya’s Head of Capital Markets, said the momentum in the PAID program reflects the trust investors place in the platform and the company’s focus on conservative credit selection to drive performance. He added that the AAA rating underscores the robustness of the underlying asset pool.
Pagaya has issued 19 ABS deals across all asset classes in 2025, with the PAID 2025‑8 transaction following a $600 million deal in September and a $500 million deal in October. The company’s ABS strategy, which raises capital before loans are originated, minimizes liquidity risk and supports its capital‑light business model.
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