Pricing spreads for securitizations that pool Federal Family Education Loans continue to widen on the back of the ratings actions taken by Fitch and Moody’s in July.

Spreads for short-dated tranches (with terms between 1.3-years and 1.5-years) widened to 94 basis points in August from 41 basis points in July; intermediate dated tranches (with terms that range between 4-years to 5 years) widened to 153 basis points from 73 basis points; and spreads for tranches with terms of 5.8-years to 7-years widened by 72 basis points to 163 basis points, according to TRACE transaction data cited in Friday's Bank of America Merrill Lynch Securitization weekly.

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