could you please help me to understand how Student Loans are an Asset-Backed Security? and how they relate to the following information? thanks

rn. APTER 7 INTRODUCTION TO ASSET-BACKED SECURITIES enefits of securitization for economies and financial markets Securitization process An example Exhibit 1 Page 328 . The majority of the sales are from loans granted by the company to its customers The loans are fully amortizing with monthly payments. Mediquip's credit department makes the decision and services the loans . The medical equipment serves as collateral In this example is that Mediquip will be the servicer. Mediquip will set up a legal entity, Medical Equipment Trust (MET special purpose vehicle (SPV) but sometimes also called a special purpose entity (SPE) se con MET obtains the US$200 million from investors by selling securities that are MET (the SPV) would be called either the "issuer" or the "trust. .Th the US$200 million of loans. These are the asset-backed securities. " Mediquip, the seller of the collateral to MET, would be called the "seller" or "depositor. he payments that are received from the collateral are distributed() to pay fees, other administrative fees and (2) to make cash pa the security and principal) to that is, the investors who bought the ABS ABS usually include different bond classes or t securitization transaction is commonly re allocated to the investors in the various tranches of the ABS ferred to as the waterfall (cash flow is then rules set out in the prospectus). Parties and Their Role to a Securitization Transaction Originator (seller of the collateral): Originally owns the assets and sells them to the issuer Special purpose vehicle (SPV): Creates a security backed by the assets and sells them to The main two parties in securitization The third parties in securitization . Servicer (different from the seller): Independent accountants, lawyers/attorneys, truste underwriters, rating agencies, and guarantors Tranches