Fitch Affirms Access to Loans for Learning Student Loan Corporation, Ser 2013-I; Outlook Stable
OREANDA-NEWS. Fitch Ratings has affirmed the following Access to Loans for Learning Student Loan Corporation Series 2013-I notes (Access 2013-I):
Access to Loans for Learning Student Loan Corporation Student Loan Program Revenue Bonds Series 2013-I:
--Class A at 'AAAsf'; Outlook Stable;
--Class B at 'Asf'; Outlook Stable.
KEY RATING DRIVERS
Adequate Collateral Quality: Access 2013-I is collateralized by approximately $370.57 million of FFELP loans, with guaranties provided by eligible guarantors and reinsurance provided by the U.S. Department of Education (ED) for at least 97% of principal and accrued interest for the FFELP loans. The U.S. is currently rated 'AAA'; Outlook Stable.
Sufficient Credit Enhancement (CE): CE is provided by overcollateralization (OC; the excess of trust's asset balance over bond balance), excess spread, and for the class A notes, subordination provided by the class B notes. As of September 2015, senior and total parities are 105.62% and 102.52% respectively. No cash can be released until all notes have been paid in full.
Adequate Liquidity Support: Liquidity support is provided by a reserve fund sized at the greater of 0.25% of the pool balance and $675,165. The reserve fund is sized at $940,452 as of September 2015.
Acceptable Servicing Capabilities: Day-to-day servicing is provided by Navient Solutions, Inc. (formerly known as Sallie Mae, Inc.), Great Lakes Education Loan Services Inc., and Xerox Education Services Inc. (Xerox-ES). Fitch considers all servicers are acceptable servicers of FFELP student loans.
As Fitch's base case default proxy is derived primarily from historical collateral performance, actual performance may differ from the expected performance, resulting in higher loss levels than the base case. This will result in a decline in CE and remaining loss coverage levels available to the notes and may make certain note ratings susceptible to potential negative rating actions, depending on the extent of the decline in coverage. Fitch will continue to monitor the performance of the trust.
Initial Key Rating Drivers and Rating Sensitivities further described in the presale report titled ' Access to Loans for Learning Student Loan Corporation, Series 2013-I (US ABS)', dated Dec. 6, 2013.
DUE DILIGENCE USAGE
No third party due diligence was provided or reviewed in relation to this rating action.