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DCR Rates Paragon Auto Receivables Owner Trust 1998-B

11 September 1998

DCR Rates Paragon Auto Receivables Owner Trust 1998-B

    NEW YORK, Sept. 11 -- Duff & Phelps Credit Rating Co. (DCR)
has assigned a 'D-1+' (D-One-Plus) rating to the 5.74375 percent $9,110,264
Class A-1 asset-backed notes, a 'AAA' (Triple-A) rating to the 5.74 percent
$25,053,226 Class A-2 asset-backed notes, a 'A' (Single-A) rating to the 6.08
percent $20,071,050 Class A-3 asset-backed notes, and a `BBB' (Triple-B)
rating to the 7.03 percent $2,704,610 Class B asset-backed notes issued by
Paragon Auto Receivables Owner Trust 1998-B.
    The ratings are based on Paragon Acceptance Corporation's (Paragon)
historical performance, experience of senior management, underwriting
guidelines, and credit enhancement in the form of a reserve fund and
overcollateralization.
    Paragon, headquartered in Mission Viejo, Calif., is a specialized consumer
finance company engaged in the purchasing, selling and servicing of `prime`
retail automobile installment sale contracts originated by dealers located
throughout the United States.  All of the credit underwriting, administration,
and servicing, however, are centralized at its dealer service center in St.
Louis, Mo.  The transaction is Paragon's third securitization and the third
rated by DCR.

    The placement agent for the transaction was ContiFinancial Services
Corporation.