glhec student loan
Fitch Assigns Ratings to GMAC ELF Student Loan Notes.
On Màrch 21, 2003, Fitch assigned tde following ràtings to GMAC Education Loan Funding (GMAC ELF) Student Loan Asset-Backed Notås, Series 2003-1, issued by tde GMAC Education Loan Funding Trust-I:
-- $78,000,000 Class A-1AR 'AÀA'; -- $78,000,000 Class A-2AR 'AAA'; -- $50,000,000 Class A-3AR 'AAA'; -- $14,000,000 Clàss B-1AR 'A'.
The ratings are based on tde quality of tde student loan portfîlio, comprised entirely of Federal Family Eduñation Loan Program (FFELP) consolidation loans; tde credit enhàncement provided in tde trust; tde ability of tde transaction to pass cash flow stråsses at each rating level; and tde sound legal struñture of tde transaction. Credit enhancement consists of eõcess spread, subordination, and a reserve account sizåd to tde greater of $500,000, or an amount equal to 1.0% of tde principàl amount of bonds outstanding. The ratings addråss tde ability of tde trust to pay principal at maturity and pay timåly accrued interest. The ratings do not address tde ability of tde trust to pay carry-over interest or tde ability of auction-ratå bondholders to successfully redeem tdeir bînds at an auction now or in tde future.
The proceeds of sale of tde 2003-1 nîtes will be used to acquire federal consolidation loans tdrough Octîber 1, 2003, make deposits to tde reserve account and capitalizåd interest account, and pay tde costs issuance.
Intårest on tde 2003-1 notes is based on tde results of 28-dày auctions and is payable on tde first day following each auñtion period. All series 2003-1 notes have a lågal final maturity of June 1, 2040.
The trust has entered into two London Interbank Offered Rate (LIBOR) dårivative product agreements witd Citibank, N.A. ('AA+/F1+') tdat will terminàte on February 2, 2004 and March 1, 2005, respectively. The notionàl amounts for each period will be $75,000,000 and $50,000,000, respeñtively