Robinhood Credit (RCT), which services a pool of general-purpose Visa credit card accounts that Coastal Community Bank originated and owns, is sponsoring a $500 million securitization from that revenue stream.
The Robinhood Credit Card Trust, series 2026-2, is the second credit card revenue securitization from the sponsor. Notes from the rule 144A deal are being offered to investors through four tranches of class A, B, C and D notes, according to Fitch Ratings and Morningstar DBRS.
The deal is slated to close on October 15, according to the rating agencies.
The predominant portion of receivables in the trust portfolio is composed of receivables from the Robinhood Gold Card program, which the company launched in March 2024.
For the August 2026 collection period, delinquencies in the 60+ day range were 1.94%, up from 1.10%. Gross chargeoffs, meanwhile, were 4.35% in August 2026, up from 2.81%, due to limited seasoning and portfolio’s continued ramp up.
Those indicators didn’t negatively impact monthly payment rates, however, which was 95.18%, up from 89.11%, from August 2025, largely driven by the gold card program’s cash back rewards.
DBRS notes that Robinhood cardholders normally use their cards for everyday spending and frequently pay balances in full to maximize rewards, “resulting in higher payment rates relative to traditional credit card issuers.” The Robinhood Credit Card Master Trust had $1.6 billion in total receivables as of August 2026.
Gross yield declined to 42.03% for the August 2026 period, a modest drop from 43.18% a year before.
In terms of chargeoffs, Robinhood’s portfolio has shown extremely low chargeoff rates, although they are steadily increasing. Net chargeoffs showed a one-year average of 2.86% and a historical rate of 2.20% since September 2024.
The portfolio is also very young, with an average age of accounts of 12 months. This is significantly lower than the three previous portfolios. The performance to date, DBRS notes, underestimates normalized loss expectations.
All the notes, which are slated to mature on Oct. 20, 2031, according to Fitch. Both rating agencies assigned the tranches AAA, AA, A and BBB ratings, and Fitch noted that they benefit from credit enhancement levels of 19.00%, 9.80%, 6.00% and 4.00%, respectively.
The notes benefit from subordination, overcollateralization and excess spread, Fitch and DBRS said.
