Moody’s Investors Service analysts said that they expect rehabilitated FFELP SLABs pools to experience a higher net loss rate versus pools of non-rehabilitated FFELP loans.

Moody's analysts said that even though rehabilitated FFELP loans have the same degree of federal guaranty and are probably going to have similar or lower net reject rates, this collateral type will probably default at a considerably higher rate compared with those that are non-rehabilitated.

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