Fitch Ratings has affirmed the 'AAAsf' ratings on KB Kookmin Card Seventh International Ltd.'s (KB Kookmin Card Seventh) asset-backed notes.

The transactions consist of notes backed by credit card receivables originated by South Korea-based KB Kookmin Card Co., Ltd. (Kookmin Card).

RATING ACTIONS

Entity / Debt

Rating

Prior

KB Kookmin Card Seventh International Ltd.

A1

LT

AAAsf

Affirmed

AAAsf

A2

LT

AAAsf

Affirmed

AAAsf

Page

of 1

VIEW ADDITIONAL RATING DETAILS

KEY RATING DRIVERS

Asset Performance Stable amid Pandemic: The affirmation and Stable Outlook reflect the steady performance of the transaction's underlying assets, with low delinquencies and defaults, and strong payment rates since closing and even during the Covid-19 pandemic's evolution.

Initial Risk Analysis Remains Adequate: The transaction's credit card receivable performance is resilient, which is in line with our expectation. The transaction's mitigation for interest rate and counterparty risks is in line with Fitch's expectations, and the originator and servicer quality are sustainable.

Improving Macroeconomy: The rating also considers the impact of the coronavirus pandemic on Korea's macroeconomic conditions, with Fitch estimating GDP expanded by 4.0% in 2021, rebounding from an economic contraction of 0.9% in 2020. We expect the GDP to grow at 3.0% in 2022.

The Outlook is Stable because we expect the steady performance of KB Kookmin Card's originated securitisation transaction to continue, based on the improving economy. The reported three-month average delinquency rate was 0.01% as of the February 2022 payout.

These key rating drivers are consistent with those used in our last rating review and are available in the rating action commentary Fitch Affirms KB Kookmin Card Fourth and Seventh at 'AAAsf'; Outlooks Stable, published 25 March 2021.

RATING SENSITIVITIES

Factors that could, individually or collectively, lead to negative rating action/downgrade:

Fitch evaluated the sensitivity of the ratings assigned to KB Kookmin Card Seventh to increased WA base-case charge-offs and decreased WA base-case monthly payment rate (MPR) over the life of the transaction and on a combined-pool basis over the life of the transaction, as shown below at our initial ratings. These sensitivities remained unchanged for the subsequent ratings.

Increase in charge-offs: 25% / 50% / 75%

Class A1 notes: AAAsf / AAAsf / AAAsf

Class A2 notes: AAAsf / AAAsf / AAAsf

Decrease in MPR: 15% / 25% / 35%

Class A1 notes: AAAsf / AAAsf / AAAsf

Class A2 notes: AAAsf / AAAsf / AAAsf

Sensitivity to combination of increased charge-offs and decreased MPRs

(25% and 15% / 50% and 25% / 75% and 35%)

Class A1 notes: AAAsf / AAAsf / AA+sf

Class A2 notes: AAAsf / AAAsf / AA+sf

Factors that could, individually or collectively, lead to positive rating action/upgrade:

The notes' ratings are already at the highest rating level and therefore cannot be upgraded.

Best/Worst Case Rating Scenario

International scale credit ratings of Structured Finance transactions have a best-case rating upgrade scenario (defined as the 99th percentile of rating transitions, measured in a positive direction) of seven notches over a three-year rating horizon; and a worst-case rating downgrade scenario (defined as the 99th percentile of rating transitions, measured in a negative direction) of seven notches over three years. The complete span of best- and worst-case scenario credit ratings for all rating categories ranges from 'AAAsf' to 'Dsf'. Best- and worst-case scenario credit ratings are based on historical performance. For more information about the methodology used to determine sector-specific best- and worst-case scenario credit ratings, visit https://www.fitchratings.com/site/re/10111579.

USE OF THIRD PARTY DUE DILIGENCE PURSUANT TO SEC RULE 17G -10

Form ABS Due Diligence-15E was not provided to, or reviewed by, Fitch in relation to this rating action.

DATA ADEQUACY

Fitch has checked the consistency and plausibility of the information it has received about the performance of the asset pool and the transaction. Fitch has not reviewed the results of any third-party assessment of the asset portfolio information or reviewed the origination files as part of its ongoing monitoring.

Prior to the transaction closing, Fitch reviewed the results of a third-party assessment conducted on the asset portfolio information and concluded that there were no findings that affected the rating analysis.

Prior to the transaction closing, Fitch reviewed a small targeted sample of the originator's origination files and found the information contained in the reviewed files to be adequately consistent with the originator's policies and practices and the other information provided to the agency about the asset portfolio.

Overall, and together with any assumptions referred to above, Fitch's assessment of the information relied upon for the agency's rating analysis according to its applicable rating methodologies indicates that it is adequately reliable.

REFERENCES FOR SUBSTANTIALLY MATERIAL SOURCE CITED AS KEY DRIVER OF RATING

The principal sources of information used in the analysis are described in the Applicable Criteria.

The issuer has informed Fitch that not all relevant underlying information used in the analysis of the rated notes is public.

ESG Considerations

Unless otherwise disclosed in this section, the highest level of ESG credit relevance is a score of '3'. This means ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. For more information on Fitch's ESG Relevance Scores, visit www.fitchratings.com/esg

Additional information is available on www.fitchratings.com

PARTICIPATION STATUS

The rated entity (and/or its agents) or, in the case of structured finance, one or more of the transaction parties participated in the rating process except that the following issuer(s), if any, did not participate in the rating process, or provide additional information, beyond the issuer's available public disclosure.

APPLICABLE CRITERIA

Credit Card ABS Rating Criteria (pub. 01 Apr 2021) (including rating assumption sensitivity)

Structured Finance and Covered Bonds Interest Rate Stresses Rating Criteria (pub. 20 Sep 2021)

Global Structured Finance Rating Criteria (pub. 26 Oct 2021) (including rating assumption sensitivity)

Structured Finance and Covered Bonds Country Risk Rating Criteria (pub. 28 Oct 2021)

Structured Finance and Covered Bonds Counterparty Rating Criteria: Derivative Addendum (pub. 04 Nov 2021)

Structured Finance and Covered Bonds Counterparty Rating Criteria (pub. 04 Nov 2021)

ADDITIONAL DISCLOSURES

Dodd-Frank Rating Information Disclosure Form

Solicitation Status

Endorsement Policy

ENDORSEMENT STATUS

KB Kookmin Card Seventh International Ltd. 	EU Endorsed, UK Endorsed

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