Fitch Affirms Chase Education Loan Trust 2007-A Notes

NEW YORK--()--Fitch Ratings affirms the ratings on the class A and B notes issued from Chase Education Loan Trust 2007-A. The Rating Outlook is maintained at Stable.

KEY RATING DRIVERS

High Collateral Quality: The trust collateral is comprised of 100% of Federal Family Education Loan Program (FFELP) loans with guaranties provided by eligible guarantors and reinsurance provided by the U.S. Department of Education (ED) for at least 97% of principal and accrued interest. Fitch maintains rating of 'AAA', Outlook Stable on the United States.

Sufficient Credit Enhancement: Credit enhancement is provided by overcollateralization, excess spread and for the class A notes, subordination provided by the class B notes. As of the June 2014 distribution date, total parity is 100.00% and senior parity is 105.31%. Cash is being released from the trust given the trust has reached its release level threshold of 100.00% parity.

Adequate Liquidity Support: Liquidity support is provided by a reserve account where the balance is determined as the greater 0.25% of the outstanding pool balance, or (b) $1,770,567.

Acceptable Servicing Capabilities: ACS, as the servicer, is responsible for the day-to-day servicing of this trust. In Fitch's opinion, ACS is an acceptable servicer of FFELP student loans.

RATING SENSITIVITIES

Since FFELP student loan ABS rely on the U.S. government to reimburse defaults, 'AAAsf' FFELP ABS ratings will likely move in tandem with the 'AAA' U.S. sovereign rating. Aside from the U.S. sovereign rating, defaults and basis risk account for the majority of the risk embedded in FFELP student loan transactions. Additional defaults and basis shock beyond Fitch's published stresses could result in future downgrades. Likewise, a buildup of credit enhancement driven by positive excess spread given favorable basis factor conditions could lead to future upgrades.

Fitch has taken the following rating actions:

Chase Education Loan Trust 2007-A:

-- Class A-2 affirmed at 'AAAsf'; Outlook Stable;

-- Class A-3 affirmed at 'AAAsf'; Outlook Stable;

-- Class A-4 affirmed at 'AAAsf'; Outlook Stable;

-- Class B affirmed at 'Asf'; Outlook Stable.

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

Applicable Criteria and Related Research:

--'Global Structured Finance Rating Criteria' dated May 2014;

--'Rating U.S. Federal Family Education Loan Program Student Loan ABS Criteria' dated June 2014.

Applicable Criteria and Related Research:

Global Structured Finance Rating Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=754389

Rating U.S. Federal Family Education Loan Program Student Loan ABS Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=750530

Additional Disclosure

Solicitation Status

http://www.fitchratings.com/gws/en/disclosure/solicitation?pr_id=847155

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Contacts

Fitch Ratings
Primary Analyst
Autumn Mascio
Director
+1-212-908-0896
Fitch Ratings, Inc.
33 Whitehall Street
New York, NY 10004
or
Committee Chairperson
Tracy Wan
Senior Director
+1-212-908-9171
or
Media Relations:
Sandro Scenga, +1-212-908-0278 (New York)
sandro.scenga@fitchratings.com

Contacts

Fitch Ratings
Primary Analyst
Autumn Mascio
Director
+1-212-908-0896
Fitch Ratings, Inc.
33 Whitehall Street
New York, NY 10004
or
Committee Chairperson
Tracy Wan
Senior Director
+1-212-908-9171
or
Media Relations:
Sandro Scenga, +1-212-908-0278 (New York)
sandro.scenga@fitchratings.com