hard · Asset-Backed Securities
How does the 'True Sale' analysis for healthcare receivables differ from consumer auto loans?
- Healthcare deals face higher risk due to ongoing operational entanglement and payer-specific rules.
- Auto loans require physical delivery of car titles to achieve a true sale.
- True sale is not required for healthcare because the payers are government entities.
- Healthcare receivables are automatically exempt from true sale requirements due to federal law.
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