UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM ABS-15G

 

 

ASSET-BACKED SECURITIZER

REPORT PURSUANT TO SECTION 15G OF

THE SECURITIES EXCHANGE ACT OF 1934

Check the appropriate box to indicate the filing obligation to which this form is intended to satisfy:

Rule 15Ga-1 under the Exchange Act (17 CFR 240.15Ga-1) for the reporting period ________ to _________

Date of Report (Date of earliest event reported):      

Commission File Number of securitizer:        

Central Index Key Number of securitizer:        

 

Name and telephone number, including area code, of the person to

contact in connection with this filing.

 

 

Indicate by check mark whether the securitizer has no activity to report for the initial period pursuant to Rule 15Ga-1(c)(1) ☐

Indicate by check mark whether the securitizer has no activity to report for the quarterly period pursuant to Rule 15Ga-1(c)(2)(i) ☐

Indicate by check mark whether the securitizer has no activity to report for the annual period pursuant to Rule 15Ga-1(c)(2)(ii) ☐

 

Rule 15Ga-2 under the Exchange Act (17 CFR 240.15Ga-2)

Central Index Key Number of depositor:        

Central Index Key Number of sponsor: 0001258602

 

 

Nelnet Student Loan Trust 2023-PL1*

(Exact name of issuing entity as specified in its charter)

 

 

Central Index Key Number of issuing entity (if applicable):        

Central Index Key Number of underwriter (if applicable):        

James D. Kruger, (402) 458-2370

Name and telephone number, including area code, of the person to

contact in connection with this filing.

 

 

*

Nelnet, Inc., as sponsor/securitizer, is filing this Form ABS-15G in respect of issuances of asset-backed securities by the above referenced issuing entity.

 

 

 


INFORMATION TO BE INCLUDED IN THE REPORT

PART II: FINDINGS AND CONCLUSIONS OF THIRD-PARTY DUE DILIGENCE REPORTS

Item 2.01 Findings and Conclusions of a Third Party Due Diligence Report Obtained by the Issuer

Attached as Exhibit 99.1 hereto is an agreed-upon procedures report, dated October 19, 2023, of KPMG LLP, obtained by the securitizer, which report sets forth the findings and conclusions, as applicable, of KPMG LLP with respect to certain agreed-upon procedures performed by KPMG LLP.


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the reporting entity has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

    NELNET, INC.
    (Securitizer)
Date: November 2, 2023     By:   /s/ James D. Kruger
    Name:   James D. Kruger
    Title:   Chief Financial Officer


EXHIBIT INDEX

 

Exhibit No.   

Description

99.1    KPMG LLP Agreed-Upon Procedures Report dated October 19, 2023

 

LOGO

Independent Accountants’ Agreed-Upon Procedures Report

Nelnet, Inc. (the “Company”)

BMO Capital Markets Corp.

(together, the “Specified Parties”)

Re: Nelnet Student Loan Trust 2023-PL1 – Data File Procedures

We have performed the procedures described below on the specified attributes in an electronic data file entitled “NSLT_2023_2_202308_v2.xlsx” provided by the Company on October 5, 2023, containing information on 24,590 student loans (the “Student Loans”) as of August 31, 2023 (the “Data File”), which we were informed are intended to be included as collateral in the offering by Nelnet Student Loan Trust 2023-PL1. The Company is responsible for the specified attributes identified by the Company in the Data File.

The Specified Parties have agreed to and acknowledged that the procedures performed are appropriate to meet their intended purpose of assisting specified parties in evaluating the accuracy of the specified attributes in the Data File. This report may not be suitable for any other purpose. No other parties have agreed to or acknowledged the appropriateness of these procedures for the intended purpose or any other purpose.

The procedures performed may not address all the items of interest to a specified party of this report and may not meet the needs of all specified parties of this report and, as such, specified parties are responsible for determining whether the procedures performed are appropriate for their purposes. We make no representation regarding the appropriateness of the procedures either for the intended purpose or for any other purpose.

Unless otherwise stated, the following definitions have been adopted in presenting our procedures and findings:

 

   

The term “compared” means compared to the information shown and found it to be in agreement, unless otherwise stated. Such compared information was deemed to be in agreement if differences were within the reporting threshold.

 

   

The term “recomputed” means recalculated and compared the result to the information shown and found it to be in agreement, unless otherwise stated. Such recomputed information was deemed to be in agreement if differences were within the reporting threshold.

 

   

The term “reporting threshold” means that dollar amounts were within $1.00, percentages were within 0.1%, and Graduation Date was within 1 day.

 

   

The term “Nelnet Servicing System” means the Company’s servicing system.

 

   

The term “Cutoff Date” means August 31, 2023.

 

   

The term “Sources” means the following information provided by the Company:

 

   

Loan status and loan type descriptions and mapping provided by the Company, attached hereto as Exhibit B (the “Lookup Code Mapping”)

 

LOGO


LOGO

 

   

Note Disbursements Screen, Note Detail 1 Screen, Note Detail 2 Screen, Payment History for Current Principal Balance Screen, Payment History for Loan Status and Interest Rate Screen, Repayment Schedule Screen, Servicing History Screen, Term Adjustment Screen, Transaction History Screen, BLS Main Screen, and Origination Screen within the Nelnet Servicing System

 

   

Two electronic data files entitled “Parti ID—FICO.xlsx” and “FICO—All.xlsx” provided by the Company on October 3, 2023, containing information on Borrower FICO and Cosigner FICO (the “FICO Lookup Files”)

 

   

A screenshot of the Company’s SQL system, provided by the Company on October 11, 2023, containing information on Schools Codes for certain Selected Student Loans (defined below) with a “loan_type” field in the Data File of “USBALT,” “USBUSB,” or “BRZNM,” for which the Company informed us that the School Code is not required to be updated in the Nelnet Servicing System if the borrower changed schools (the “School Code System Screenshot”)

We make no representation regarding the validity, enforceability, or authenticity of such Sources.

 

   

The term “Instructions” means the instructions provided by the Company pertaining to a procedure, attribute, or methodology, as described in Exhibit C.

 

   

The term “Provided Information” means the Sources and Instructions.

Prior to being provided the Data File, we received one or more earlier versions of the data file on which to perform our procedures. In performing those procedures, we identified differences which were communicated to the Specified Parties. The Data File represents the revised information reflecting resolution of differences communicated as determined appropriate by the Specified Parties. We performed the procedures on the Data File, and the results of those procedures are reflected herein.

The procedures we were instructed by the Company to perform and the associated findings are as follows:

 

A.

We randomly selected a sample of Student Loans from the Data File, utilizing a confidence level of 95.0%, an expected error rate of 3.0%, and a maximum estimated error occurrence rate (the upper error limit) for each of the attributes not to exceed 5.0%, as instructed by the Company. The selection criteria resulted in a sample of 360 Student Loans (the “Selected Student Loans,” as listed in Exhibit A attached hereto).

 

B.

For each Selected Student Loan, we compared or recomputed the specified attributes in the Data File listed below to or using the corresponding information included in the Sources, utilizing the Instructions, as applicable. The Specified Parties indicated that the absence of any of the information in the Sources or the inability to agree the indicated information from the Data File to the Sources for each of the attributes identified, utilizing the Instructions, as applicable constituted an exception. The Sources are listed in the order of priority.

 

Attribute

  

Sources / Instructions

State of Residence    “Address” field on BLS Main Screen
Loan Status    “Status” and “Next Pmt Dt” fields on Note Detail 1 Screen, Servicing History Screen, “Status” and “NPD” fields on Payment History for Loan Status and Interest Rate Screen, Lookup Code Mapping, and Instructions
Remaining Term    “Remaining Term” field on Note Detail 1 Screen, “Adj Term” field on Term Adjustment Screen, “Term” and “Proc Dt” fields on Repayment Schedule Screen, and Instructions

 

2


LOGO

 

Attribute

  

Sources / Instructions

Interest Rate    “Interest Rate” field on Note Detail 2 Screen, “Int Rate” and “Eff Dt” fields on Payment History for Loan Status and Interest Rate Screen, and Instructions
Current Principal Balance    “CPB” field on Note Detail 2 Screen, “End CPB” field on Transaction History Screen, and principal payment amounts on Payment History for Current Principal Balance Screen, and Instructions
Loan Type    “Loan Program” field on Note Detail 1 Screen, Lookup Code Mapping, and Instructions
Origination Date    Note Disbursements Screen
Original FICO    FICO Lookup Files, Instructions
Cosigner FICO    FICO Lookup Files, Instructions
Maturity Date    “Maturity date” field on Repayment Schedule Screen, Instructions
Account Identification No.    “Note ID” field on Note Detail 1 Screen
Original Principal Balance    “Orig Note Amt” field on Note Detail 2 Screen
Repayment Begin Date    “Repay Cnvt Dt” on Note Detail 1 Screen, Instructions
School Code    “School/Name” field on Note Detail 2 Screen, School Code System Screenshot, Instructions
Graduation Date    “Grad Date” field on Note Detail 1 Screen

Based on the results of the procedures performed, there is a 95.0% confidence level that the maximum estimated error occurrence rate for each of the attributes across the entire population of 24,590 Student Loans does not exceed 5.0%. Because we are not engaged to express a conclusion, we do not offer a conclusion based on the application of a sampling technique.

We were engaged by the Company to perform this agreed-upon procedures engagement and conducted our engagement in accordance with attestation standards established by the American Institute of Certified Public Accountants, which involves us performing the specific procedures agreed to and acknowledged above and reporting on findings based on performing those procedures. We were not engaged to, and did not, conduct an examination or review, the objective of which would be the expression of an opinion or conclusion, respectively, on the specified attributes in the Data File. Accordingly, we do not express such an opinion or conclusion. Had we performed additional procedures, other matters might have come to our attention that would have been reported.

We are required to be independent of the Company and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements related to our agreed-upon procedures engagement.

The procedures performed were applied based on the information included in the Data File and Provided Information, without verification or evaluation of such information by us; therefore, we express no opinion or any other form of assurance regarding (i) the reasonableness of the information provided to us by the Company, (ii) the physical existence of the Student Loans, (iii) the reliability or accuracy of the Provided Information which was used in our procedures, or (iv) matters of legal interpretation.

 

3


LOGO

 

The procedures performed were not intended to address, nor did they address: (i) the conformity of the origination of the Student Loans to stated underwriting or credit extension guidelines, standards, criteria or other requirements, (ii) the value of collateral securing any such Student Loans being securitized, (iii) the compliance of the originator of the Student Loans with federal, state, and local laws and regulations, or (iv) any other factor or characteristic of the Student Loans that would be material to the likelihood that the issuer of the asset-backed securities will pay interest and principal in accordance with applicable terms and conditions. The procedures performed were not intended to satisfy any criteria for due diligence published by the nationally recognized statistical rating organizations (“NRSROs”).

The terms of our engagement are such that we have no responsibility to update this report because of events and circumstances that may subsequently occur.

This report is intended solely for the information and use of the Specified Parties. It is not intended to be and should not be used by any other person or entity, including investors or the NRSROs, who are not identified in the report as the Specified Parties but may have access to this report as required by law or regulation.

/s/ KPMG LLP

Los Angeles, California

October 19, 2023

 

4


Exhibit A

The Selected Student Loans

 

Selected
Student Loan
Number

  

Student Loan
Number

   Selected
Student Loan
Number
  

Student Loan
Number

   Selected
Student Loan
Number
  

Student Loan
Number

   Selected
Student Loan
Number
  

Student Loan

Number

1    2023P001    51    2023P051    101    2023P101    151    2023P151
2    2023P002    52    2023P052    102    2023P102    152    2023P152
3    2023P003    53    2023P053    103    2023P103    153    2023P153
4    2023P004    54    2023P054    104    2023P104    154    2023P154
5    2023P005    55    2023P055    105    2023P105    155    2023P155
6    2023P006    56    2023P056    106    2023P106    156    2023P156
7    2023P007    57    2023P057    107    2023P107    157    2023P157
8    2023P008    58    2023P058    108    2023P108    158    2023P158
9    2023P009    59    2023P059    109    2023P109    159    2023P159
10    2023P010    60    2023P060    110    2023P110    160    2023P160
11    2023P011    61    2023P061    111    2023P111    161    2023P161
12    2023P012    62    2023P062    112    2023P112    162    2023P162
13    2023P013    63    2023P063    113    2023P113    163    2023P163
14    2023P014    64    2023P064    114    2023P114    164    2023P164
15    2023P015    65    2023P065    115    2023P115    165    2023P165
16    2023P016    66    2023P066    116    2023P116    166    2023P166
17    2023P017    67    2023P067    117    2023P117    167    2023P167
18    2023P018    68    2023P068    118    2023P118    168    2023P168
19    2023P019    69    2023P069    119    2023P119    169    2023P169
20    2023P020    70    2023P070    120    2023P120    170    2023P170
21    2023P021    71    2023P071    121    2023P121    171    2023P171
22    2023P022    72    2023P072    122    2023P122    172    2023P172
23    2023P023    73    2023P073    123    2023P123    173    2023P173
24    2023P024    74    2023P074    124    2023P124    174    2023P174
25    2023P025    75    2023P075    125    2023P125    175    2023P175
26    2023P026    76    2023P076    126    2023P126    176    2023P176
27    2023P027    77    2023P077    127    2023P127    177    2023P177
28    2023P028    78    2023P078    128    2023P128    178    2023P178
29    2023P029    79    2023P079    129    2023P129    179    2023P179
30    2023P030    80    2023P080    130    2023P130    180    2023P180
31    2023P031    81    2023P081    131    2023P131    181    2023P181
32    2023P032    82    2023P082    132    2023P132    182    2023P182
33    2023P033    83    2023P083    133    2023P133    183    2023P183
34    2023P034    84    2023P084    134    2023P134    184    2023P184
35    2023P035    85    2023P085    135    2023P135    185    2023P185
36    2023P036    86    2023P086    136    2023P136    186    2023P186
37    2023P037    87    2023P087    137    2023P137    187    2023P187
38    2023P038    88    2023P088    138    2023P138    188    2023P188
39    2023P039    89    2023P089    139    2023P139    189    2023P189
40    2023P040    90    2023P090    140    2023P140    190    2023P190
41    2023P041    91    2023P091    141    2023P141    191    2023P191
42    2023P042    92    2023P092    142    2023P142    192    2023P192
43    2023P043    93    2023P093    143    2023P143    193    2023P193
44    2023P044    94    2023P094    144    2023P144    194    2023P194
45    2023P045    95    2023P095    145    2023P145    195    2023P195
46    2023P046    96    2023P096    146    2023P146    196    2023P196
47    2023P047    97    2023P097    147    2023P147    197    2023P197
48    2023P048    98    2023P098    148    2023P148    198    2023P198
49    2023P049    99    2023P099    149    2023P149    199    2023P199
50    2023P050    100    2023P100    150    2023P150    200    2023P200


Exhibit A

The Selected Student Loans (Cont.)

 

Selected
Student Loan
Number

  

Student Loan
Number

   Selected
Student Loan
Number
  

Student Loan
Number

   Selected
Student Loan
Number
  

Student Loan
Number

   Selected
Student Loan
Number
  

Student Loan

Number

201    2023P201    242    2023P242    283    2023P283    324    2023P324
202    2023P202    243    2023P243    284    2023P284    325    2023P325
203    2023P203    244    2023P244    285    2023P285    326    2023P326
204    2023P204    245    2023P245    286    2023P286    327    2023P327
205    2023P205    246    2023P246    287    2023P287    328    2023P328
206    2023P206    247    2023P247    288    2023P288    329    2023P329
207    2023P207    248    2023P248    289    2023P289    330    2023P330
208    2023P208    249    2023P249    290    2023P290    331    2023P331
209    2023P209    250    2023P250    291    2023P291    332    2023P332
210    2023P210    251    2023P251    292    2023P292    333    2023P333
211    2023P211    252    2023P252    293    2023P293    334    2023P334
212    2023P212    253    2023P253    294    2023P294    335    2023P335
213    2023P213    254    2023P254    295    2023P295    336    2023P336
214    2023P214    255    2023P255    296    2023P296    337    2023P337
215    2023P215    256    2023P256    297    2023P297    338    2023P338
216    2023P216    257    2023P257    298    2023P298    339    2023P339
217    2023P217    258    2023P258    299    2023P299    340    2023P340
218    2023P218    259    2023P259    300    2023P300    341    2023P341
219    2023P219    260    2023P260    301    2023P301    342    2023P342
220    2023P220    261    2023P261    302    2023P302    343    2023P343
221    2023P221    262    2023P262    303    2023P303    344    2023P344
222    2023P222    263    2023P263    304    2023P304    345    2023P345
223    2023P223    264    2023P264    305    2023P305    346    2023P346
224    2023P224    265    2023P265    306    2023P306    347    2023P347
225    2023P225    266    2023P266    307    2023P307    348    2023P348
226    2023P226    267    2023P267    308    2023P308    349    2023P349
227    2023P227    268    2023P268    309    2023P309    350    2023P350
228    2023P228    269    2023P269    310    2023P310    351    2023P351
229    2023P229    270    2023P270    311    2023P311    352    2023P352
230    2023P230    271    2023P271    312    2023P312    353    2023P353
231    2023P231    272    2023P272    313    2023P313    354    2023P354
232    2023P232    273    2023P273    314    2023P314    355    2023P355
233    2023P233    274    2023P274    315    2023P315    356    2023P356
234    2023P234    275    2023P275    316    2023P316    357    2023P357
235    2023P235    276    2023P276    317    2023P317    358    2023P358
236    2023P236    277    2023P277    318    2023P318    359    2023P359
237    2023P237    278    2023P278    319    2023P319    360    2023P360
238    2023P238    279    2023P279    320    2023P320      
239    2023P239    280    2023P280    321    2023P321      
240    2023P240    281    2023P281    322    2023P322      
241    2023P241    282    2023P282    323    2023P323      

 

Note:

The Company has assigned a unique Loan ID number to each Student Loan in the Data File. The Student Loan Numbers referred to in this Exhibit are not the Loan ID numbers.


Exhibit B

Lookup Code Mapping

Loan Status

 

Loan Status per Sources

  

Loan Status per Data File

School, School Monthly, Deferment Schl    School
Repayment    Repayment
Grace    Grace
Forbearance    Forbearance

Loan Type

 

Loan Type per Sources

  

Loan Type per Data File

ACAP2, ACAP1, BRZNM    BRAZOS
UFIGRD    U-Fi Graduate
UFIRL    U-Fi Refinance
UFIUGR    U-Fi Undergraduate
USBALT, USBUS6, USBU34, USBFGH, USBUSB, USBUS5, USBUS9, USB5   

US Bank Private Loans


Exhibit C

Instructions

 

Attribute

  

Instructions

Loan Status    Compare to the “status” field in the Data File to the “Status” field on the Note Detail 1 Screen based on the Lookup Code Mapping. In the event the “Status” field on the Note Detail 1 Screen did not agree with the “status” field in the Data File, compare to the Loan Status as of the Cutoff Date listed on the Servicing History Screen.
Remaining Term    Compare to the “payremain” field in the Data File to (i) the “Remaining Term” field on the Note Detail 1 Screen, or (ii) the “Term” field on the Repayment Schedule Screen.
Interest Rate    Compare to the “interest_rate” field in the Data File to the “Interest Rate” field on the Note Detail 2 Screen. In the event the “Interest Rate” field on Note Detail 2 Screen did not agree with the “interest_rate” field in the Data File, compare to the “Int Rate” field and corresponding “Eff Dt” field as of the Cutoff Date on the Payment History for Loan Status and Interest Rate Screen.
Current Principal Balance    Compare to the “pbo” field in the Data File to the “CPB” field on Note Detail 2 Screen. In the event the “CPB” field on the Note Detail 2 Screen did not agree with the “pbo” field in the Data File, compare to the ”End CPB” field as of the Cutoff Date listed on the Transaction History Screen. In the event the ”End CPB” field as of the Cutoff Date listed on the Transaction History Screen did not agree with the “pbo” field in the Data File, compare to the sum of the “CPB” field and all principal payment amounts on Payment History for Current Principal Balance Screen for which the “Prcs Dt” is after the Cutoff Date to the “pbo” field in the Data File.
Loan Type    Compare to the “loan_type” field in the Data File to the “Loan Program” field on the Note Detail 1 Screen based on the Lookup Code Mapping.
Original FICO    Compare to the “borrower_Fico” field in the Data File to Borrower FICO score in the FICO Lookup Files.
Cosigner FICO    Compare to the “cosigner_Fico” field in the Data File to Cosigner FICO score in the FICO Lookup Files.
Maturity Date    Compare to the “maturitydate” field in the Data File to the “Maturity Date” field on the Repayment Schedule Screen. In the event the “Maturity Date” field on the Repayment Schedule Screen did not agree with the “maturitydate” field in the Data File, compare to the sum of the “First Pmt Dt” field and “Term” field on the Repayment Schedule Screen.


Attribute

  

Instructions

Repayment Begin Date    If the Loan Status of the Selected Student Loan is in Grace or School, compare to the “repay_start_dt” field in the Data File to six months after the “Grad Date” field on the Note Detail 2 Screen.
School Code   

Compare to the “schoolid” field in the Data File to the first six digits of the “School/Name” field on the Note Detail 2 Screen. In the event the first six digits of the “School/Name” field on the Note Detail 2 Screen did not agree with the “schoolid” field in the Data File and the “loan_type” field in the Data File is “USBALT,” “USBUSB,” and “BRZNM,” compare to the School Code System Screenshot.

 

We found that the School Codes for Selected Student Loans #155 and #166 listed in the Data File did not agree with the “School/Name” field on the Note Detail 2 Screen. The borrowers changed schools, effective August 21, 2023, but the updated information was not available to the Company until September 11, 2023, and September 18, 2023, respectively. As the updated information was not available until after the Cutoff Date, these variances are not considered exceptions.


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