From May 2011 through June 2020, the Company completed fourteen securitizations of $3.1 billion of loans, issuing $2.9 billion of securities to third parties through fourteen respective Trusts. The Company is the sole beneficial interest holder of the Trusts, which are variable interest entities included in the consolidated financial statements. The transactions are accounted for as secured borrowings under U.S. GAAP. The securities are subject to redemption by the Company when the stated principal balance is less than a certain percentage, ranging from 5%–30% of the original stated principal balance of loans at issuance. As a result, the actual maturity dates of the securities issued could be earlier than their respective stated maturity dates, ranging from September 2044 through June 2050.

The following table summarizes the outstanding balance, net of discounts and deals costs, of the securities and the effective interest rate for the six months ended June 30, 2020 and 2019 (dollars in thousands):

	Six Months Ended June 30,
	2020			2019
Securitizations:
Securitizations, net	$	1,599,719		$	1,261,456
Interest expense		37,104			33,553
Average outstanding balance		1,565,754			1,277,009
Effective interest rate (1)		4.74	%		5.25	%

(1)	Represents annualized interest expense divided by average gross outstanding balance and includes average rate (4.19%) and debt issue cost amortization (0.55%) and average rate (4.65%) and debt issue cost amortization (0.60%) for the six months ended June 30, 2020 and 2019, respectively.