Market Overview

Fitch Publishes Fourth Quarter 2012 Edition of the Student Loan Report Card

NEW YORK--(BUSINESS WIRE)--

Link to Fitch Ratings' Report: The Student Loan Report Card
http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=699791

In Fitch Ratings' fourth quarter issue of the Student Loan Report Card, Fitch reflects on the past year's performance of securitizations backed by student loan collateral issued through the Federal Family Education Loan Program (FFELP Loans) and private student loans. The concern on FFELP servicers due to the termination of FFELP program has been addressed by the growing trend of back-up servicing, and more not-for-profit state authorities and agencies to provide student loan servicing under the growing Direct Lending Program.

Fitch reports on the growing outstanding student loan debt and the uncertainty of student loan funding given the sluggish economy and the inability of the federal government to agree on a plan to implement deficit reduction. In this latest issue, Fitch highlights some new student legislation that aims at assisting students who are struggling to meet their financial and student loan obligations in a slow growing economy with a steady employment rate. If defaults rise substantially this year, Fitch expects there to be incremental losses, especially in the private student loan sector.

In this edition of the Student Loan Report Card, Fitch also discusses trust performance and highlights structural features of new transactions rated and transactions under periodic review.

The full report is available at 'www.fitchratings.com'.

Additional information is available at 'www.fitchratings.com'.

ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND DISCLAIMERS. PLEASE READ THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS LINK: HTTP://FITCHRATINGS.COM/UNDERSTANDINGCREDITRATINGS. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE AVAILABLE ON THE AGENCY'S PUBLIC WEBSITE 'WWW.FITCHRATINGS.COM'. PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE AVAILABLE FROM THIS SITE AT ALL TIMES. FITCH'S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO AVAILABLE FROM THE 'CODE OF CONDUCT' SECTION OF THIS SITE.

Fitch Ratings
Jeff Prackup, +1-212-908-0839
Director
Fitch, Inc.
One State Street Plaza
New York, NY 10004
or
Tracy Wan, +1-212-908-9171
Senior Director
or
Media Relations
Brian Bertsch, New York, +1-212-908-0549
brian.bertsch@fitchratings.com
or
Media Relations
Elizabeth Fogerty, New York, +1-212-908-0526
elizabeth.fogerty@fitchratings.com

 

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