In re Nat’l Collegiate Student Loan Trusts

In In re Nat’l Collegiate Student Loan Trusts, the 3rd Circuit dealt with statutory trusts that are set up to acquire student loans, securitize them, and issued notes based on the loans’ income. The 3rd Circuit ruled that the owners of the trusts violated the indenture agreement by hiring an affiliate to assist in debt collection from defaulting students.

National-Collegiate