SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K /A

Current Report Pursuant To Section 13 or 15(d) of

the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): December 26, 2002

Morgan Stanley ABS Capital I Inc.,

(as Depositor, Fairbanks Capital Corp., as Servicer CDC Mortgage

Capital Inc., as Unaffiliated Seller and Deutsche Bank National

Trust Company, as Trustee).

MORGAN STANLEY ABS CAP I INC MRT PSS THR CERT SE 2002-HE3

(Exact name of Registrant as specified in its Charter)

DELAWARE

(State or Other Jurisdiction of Incorporation)

333-65702-05 13-3939229

(Commission File Number) (I.R.S. Employer Identification No.)

1585 BROADWAY, 2ND FLOOr

NEW YORK, NEW YORK 10036

(Address of principal executive offices) (Zip Code)

Registrant's Telephone Number, Including Area Code: (212) 761-4000

Item 5. Other Events

Attached hereto is a copy of the Monthly Remittance Statements to the

Certificateholders which was derived from the monthly information

submitted by the Master Servicer of the Trust to the Trustee.

Item 7. Financial Statement and Exhibits

Exhibits: (as noted in Item 5 above)

Monthly Remittance Statement to the Certificateholders dated as of

December 26, 2002.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of

1934, the Registrant has duly caused this report to be signed on its

behalf by the undersigned, hereunto duly authorized.

Deutsche Bank National Trust Company,

not in its individual capacity, but solely

as a duly authorized agent of the Registrant

pursuant to the Pooling and Servicing

Agreement, dated as of November 1, 2002.

Date: Jan 23, 2003 By: /s/ Katie Wannenmacher

Katie Wannenmacher

Vice President

EXHIBIT INDEX

DOCUMENT

Monthly Remittance Statement to the Certificateholders

dated as of December 26, 2002.


	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates


	December 26, 2002 Distribution


	Contents



			TABLE OF CONTENTS

								Page

			1.	Contents				1
			2.	Certificate Payment Report				2
			3.	Collection Account Report				6
			4.	Credit Enhancement Report				9
			5.	Collateral Report				10
			6.	Delinquency Report				13
			7.	REO Report				14
			8.	Prepayment Report				15
			9.	Prepayment Detail Report				18
			10.	Realized Loss Report				19
			11.	Realized Loss Detail Report				22
			12.	Triggers, Adj. Rate Cert. and Miscellaneous Report				23
			13.	Additional Certificate Report				24




				Total Number of Pages				24



			CONTACTS

				Administrator: Jeremy B Conyers
				Direct Phone Number: (714)247-6274
				Address: Deutsche Bank
				1761 E. St. Andrew Place, Santa Ana, CA 92705

				Web Site: http://www.corporatetrust.db.com/invr
				Factor Information: (800) 735-7777
				Main Phone Number: (714) 247-6000



ISSUANCE INFORMATION

	Seller:		Morgan Stanley					Cut-Off Date: November 1, 2002
	Certificate Insurer(s):		Financial Security Assurance Inc.					Closing Date: November 27, 2002
								First Payment Date: December 26, 2002
	Servicer(s):		Fairbanks Capital Corp. Master Servicer


								Distribution Date: December 26, 2002
	Underwriter(s):		Morgan Stanley & Co. Inc					Record Date: December 24, 2002
								November 29, 2002






						Page 1 of 24					© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Lower Tier Series 2002-HE3
	Certificate Payment Report for December 26, 2002 Distribution


	Distribution in Dollars - Current Period
					Prior						Current
	Class	Original			Principal			Total	Realized	Deferred	Principal
Class	Type	Face Value			Balance	Interest	Principal	Distribution	Losses	Interest	Balance
					(1)	(2)	(3)	(4)=(2)+(3)	(5)	(6)	(7)=(1)-(3)-(5)+(6)

LT-A		268,908,500.00			268,908,500.00	-	648,172.13	648,172.13	-	-	268,260,327.87
LT-M-1		19,797,000.00			19,797,000.00	-	-	-	-	-	19,797,000.00
LT-M-2		18,147,000.00			18,147,000.00	-	-	-	-	-	18,147,000.00
LT-B-1		13,033,000.00			13,033,000.00	-	-	-	-	-	13,033,000.00
LT-B-2		5,114,500.00			5,114,500.00	-	-	-	-	-	5,114,500.00
LT-ACCRUAL		334,898,477.00			334,898,477.00	0.30	648,171.85	648,172.15	-	-	334,250,305.15
LT-IO		-			-	3,514,147.06	-	3,514,147.06	-	-	-
LT-R		-			-	-	-	-	-	-	-


Total		659,898,477.00			659,898,477.00	3,514,147.36	1,296,343.98	4,810,491.34	-	-	658,602,133.02


	Interest Accrual Detail				Current Period Factor Information per $1,000 of Original Face
						Orig. Principal	Prior				Current
	Period	Period				(with Notional)	Principal			Total	Principal
Class	Starting	Ending		Method	Cusip	Balance	Balance	Interest	Principal	Distribution	Balance
							(1)	(2)	(3)	(4)=(2)+(3)	(5)

LT-A	11/27/02	12/25/02		A-Act/360		268,908,500.00	1,000.000000	-	2.410382	2.410382	997.589618
LT-M-1	11/27/02	12/25/02		A-Act/360		19,797,000.00	1,000.000000	-	-	-	1,000.000000
LT-M-2	11/27/02	12/25/02		A-Act/360		18,147,000.00	1,000.000000	-	-	-	1,000.000000
LT-B-1	11/27/02	12/25/02		A-Act/360		13,033,000.00	1,000.000000	-	-	-	1,000.000000
LT-B-2	11/27/02	12/25/02		A-Act/360		5,114,500.00	1,000.000000	-	-	-	1,000.000000
LT-ACCRUAL	11/27/02	12/25/02		A-Act/360		334,898,477.00	1,000.000000	0.000001	1.935428	1.935429	998.064572
LT-IO	11/27/02	12/25/02		A-Act/360		549,805,620.42	1,000.000000	6.391617	-	6.391617	997.642177
LT-R	11/27/02	12/25/02		A-Act/360		-	-	-	-	-	-


							Page 2 of 24				© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Lower Tier Series 2002-HE3
	Certificate Payment Report for December 26, 2002 Distribution


	Distribution in Dollars - to Date
											Current
	Original				Unscheduled	Scheduled	Total	Total	Realized	Deferred	Principal
Class	Face Value		Interest		Principal	Principal	Principal	Distribution	Losses	Interest	Balance
	(1)		(2)		(3)	(4)	(5)=(3)+(4)	(6)=(2)+(5)	(7)	(8)	(9)=(1)-(5)-(7)+(8)

LT-A	268,908,500.00		-		464,862.98	183,309.15	648,172.13	648,172.13	-	-	268,260,327.87
LT-M-1	19,797,000.00		-		-	-	-	-	-	-	19,797,000.00
LT-M-2	18,147,000.00		-		-	-	-	-	-	-	18,147,000.00
LT-B-1	13,033,000.00		-		-	-	-	-	-	-	13,033,000.00
LT-B-2	5,114,500.00		-		-	-	-	-	-	-	5,114,500.00
LT-ACCRUAL	334,898,477.00		0.30		464,862.98	183,308.87	648,171.85	648,172.15	-	-	334,250,305.15
LT-IO	-		3,514,147.06		-	-	-	3,514,147.06	-	-	-
LT-R	-		-		-	-	-	-	-	-	-


Total	659,898,477.00		3,514,147.36		929,725.96	366,618.02	1,296,343.98	4,810,491.34	-	-	658,602,133.02


	Interest Detail
	Pass-	Prior Principal				Non-	Prior	Unscheduled		Paid or	Current
	Through	(with Notional)			Accrued	Supported	Unpaid	Interest	Optimal	Deferred	Unpaid
Class	Rate	Balance			Interest	Interest SF	Interest	Adjustments	Interest	Interest	Interest
					(1)	(2)	(3)	(4)	(5)=(1)-(2)+(3)+(4)	(6)	(7)=(5)-(6)

LT-A		268,908,500.00			-	-	-	-	-	-	-
LT-M-1		19,797,000.00			-	-	-	-	-	-	-
LT-M-2		18,147,000.00			-	-	-	-	-	-	-
LT-B-1		13,033,000.00			-	-	-	-	-	-	-
LT-B-2		5,114,500.00			-	-	-	-	-	-	-
LT-ACCRUAL		334,898,477.00			0.30	-	-	-	0.30	0.30	-
LT-IO	6.39034%	549,805,620.42			3,514,147.06	-	-	-	3,514,147.06	3,514,147.06	-
LT-R		-			-	-	-	-	-	-	-


Total		1,209,704,097.42			3,514,147.36	-	-	-	3,514,147.36	3,514,147.36	-


							Page 3 of 24				© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Upper Tier Series 2002-HE3
	Certificate Payment Report for December 26, 2002 Distribution


	Distribution in Dollars - Current Period
					Prior						Current
	Class	Original			Principal			Total	Realized	Deferred	Principal
Class	Type	Face Value			Balance	Interest	Principal	Distribution	Losses	Interest	Balance
					(1)	(2)	(3)	(4)=(2)+(3)	(5)	(6)	(7)=(1)-(3)-(5)+(6)

A		537,817,000.00			537,817,000.00	810,161.55	1,296,344.26	2,106,505.81	-	-	536,520,655.74
M-1		39,594,000.00			39,594,000.00	79,100.01	-	79,100.01	-	-	39,594,000.00
M-2		36,294,000.00			36,294,000.00	106,129.71	-	106,129.71	-	-	36,294,000.00
B-1		26,066,000.00			26,066,000.00	100,368.58	-	100,368.58	-	-	26,066,000.00
B-2		10,229,000.00			10,229,000.00	44,331.35	-	44,331.35	-	-	10,229,000.00
X		9,898,377.00			9,898,377.00	2,374,056.15	-	2,374,056.15	-	0.28	9,898,377.28
P		100.00			100.00	14,153.88	-	14,153.88	-	-	100.00
UT-R		-			-	-	-	-	-	-	-


Total		659,898,477.00			659,898,477.00	3,528,301.23	1,296,344.26	4,824,645.49	-	0.28	658,602,133.02


	Interest Accrual Detail				Current Period Factor Information per $1,000 of Original Face
						Orig. Principal	Prior				Current
	Period	Period				(with Notional)	Principal			Total	Principal
Class	Starting	Ending		Method	Cusip	Balance	Balance	Interest	Principal	Distribution	Balance
							(1)	(2)	(3)	(4)=(2)+(3)	(5)

A	11/27/02	12/25/02		A-Act/360	12506YAR0	537,817,000.00	1,000.000000	1.506389	2.410382	3.916771	997.589618
M-1	11/27/02	12/25/02		A-Act/360	12506YAS8	39,594,000.00	1,000.000000	1.997778	-	1.997778	1,000.000000
M-2	11/27/02	12/25/02		A-Act/360	12506YAT6	36,294,000.00	1,000.000000	2.924167	-	2.924167	1,000.000000
B-1	11/27/02	12/25/02		A-Act/360	12506YAU3	26,066,000.00	1,000.000000	3.850556	-	3.850556	1,000.000000
B-2	11/27/02	12/25/02		A-Act/360	12506YAV1	10,229,000.00	1,000.000000	4.333889	-	4.333889	1,000.000000
X	11/27/02	12/25/02		A-Act/360	DC02M3101	559,703,997.42	1,000.000000	4.241628	-	4.241628	997.683875
P	11/27/02	12/25/02		A-	DC02M3102	100.00	1,000.000000	141,538.800000	-	141,538.800000	1,000.000000
UT-R	11/27/02	12/25/02		A-	DC02M3103	-	-	-	-	-	-


							Page 4 of 24				© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Upper Tier Series 2002-HE3
	Certificate Payment Report for December 26, 2002 Distribution


	Distribution in Dollars - to Date
											Current
	Original				Unscheduled	Scheduled	Total	Total	Realized	Deferred	Principal
Class	Face Value		Interest		Principal	Principal	Principal	Distribution	Losses	Interest	Balance
	(1)		(2)		(3)	(4)	(5)=(3)+(4)	(6)=(2)+(5)	(7)	(8)	(9)=(1)-(5)-(7)+(8)

A	537,817,000.00		810,161.55		929,725.97	366,618.29	1,296,344.26	2,106,505.81	-	-	536,520,655.74
M-1	39,594,000.00		79,100.01		-	-	-	79,100.01	-	-	39,594,000.00
M-2	36,294,000.00		106,129.71		-	-	-	106,129.71	-	-	36,294,000.00
B-1	26,066,000.00		100,368.58		-	-	-	100,368.58	-	-	26,066,000.00
B-2	10,229,000.00		44,331.35		-	-	-	44,331.35	-	-	10,229,000.00
X	9,898,377.00		2,374,056.15		-	-	-	2,374,056.15	-	0.28	9,898,377.28
P	100.00		14,153.88		-	-	-	14,153.88	-	-	100.00
UT-R	-		-		-	-	-	-	-	-	-


Total	659,898,477.00		3,528,301.23		929,725.97	366,618.29	1,296,344.26	4,824,645.49	-	0.28	658,602,133.02


	Interest Detail
	Pass-	Prior Principal				Non-	Prior	Unscheduled		Paid or	Current
	Through	(with Notional)			Accrued	Supported	Unpaid	Interest	Optimal	Deferred	Unpaid
Class	Rate	Balance			Interest	Interest SF	Interest	Adjustments	Interest	Interest	Interest
					(1)	(2)	(3)	(4)	(5)=(1)-(2)+(3)+(4)	(6)	(7)=(5)-(6)

A	1.87000%	537,817,000.00			810,161.55	-	-	-	810,161.55	810,161.55	-
M-1	2.48000%	39,594,000.00			79,100.01	-	-	-	79,100.01	79,100.01	-
M-2	3.63000%	36,294,000.00			106,129.71	-	-	-	106,129.71	106,129.71	-
B-1	4.78000%	26,066,000.00			100,368.58	-	-	-	100,368.58	100,368.58	-
B-2	5.38000%	10,229,000.00			44,331.35	-	-	-	44,331.35	44,331.35	-
X	4.31713%	559,703,997.42			2,374,056.15	-	-	-	2,374,056.15	2,374,056.43	-
P		100.00			14,153.88	-	-	-	14,153.88	14,153.88	-
UT-R		-			-	-	-	-	-	-	-


Total		1,209,704,097.42			3,528,301.23	-	-	-	3,528,301.23	3,528,301.51	-


							Page 5 of 24				© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Series 2002-HE3
	Collection Account Report for December 26, 2002 Distribution


	Collection Account Report


SUMMARY								TOTAL

	Principal Collections							1,296,344.56
	Principal Other Accounts							0.00
	TOTAL NET PRINCIPAL							1,296,344.56

	Interest Collections							3,548,677.01
	Interest Withdrawals							0.00
	Interest Fees							(34,529.96)
	Interest Other Accounts							14,153.88
	TOTAL NET INTEREST							3,528,300.93

	TOTAL AVAILABLE FUNDS FOR DISTRIBUTION							4,824,645.49


PRINCIPAL - COLLECTIONS								TOTAL

	Scheduled Principal Received							366,618.29
	Curtailments							78,448.76
	Prepayments in Full							851,277.51
	Repurchases/Substitutions							0.00
	Liquidations							0.00
	Insurance							0.00
	Other Principal							0.00
	Delinquent Principal							(358,785.62)
	Total Realized Losses of Principal							0.00
	Substitution Shortfall Principal							0.00
	Advanced Principal							358,785.62

	TOTAL PRINCIPAL COLLECTED							1,296,344.56


				Page 6 of 24				© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Series 2002-HE3
	Collection Account Report for December 26, 2002 Distribution


	Collection Account Report


PRINCIPAL - WITHDRAWALS								TOTAL
SPACE INTENTIONALLY LEFT BLANK


PRINCIPAL - OTHER ACCOUNTS								TOTAL

	Pre-Funding Principal Release to Distribution Account							0.00

	TOTAL OTHER PRINCIPAL COLLECTED							0.00


INTEREST - COLLECTIONS								TOTAL

	Scheduled Interest							3,772,598.20
	Repurchases/Substitutoins Interest							0.00
	Liquidation Interest							0.00
	Insurance Interest							0.00
	Other Interest							0.00
	Prepayment Interest Shortfalls							(234.35)
	Delinquent Interest							(3,681,696.20)
	Realized Losses Interest							0.00
	Compensating Interest							234.35
	Substitution Shortfall Interest							0.00
	Interest Advanced							3,457,775.01

	TOTAL INTEREST COLLECTED							3,548,677.01


				Page 7 of 24				© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Series 2002-HE3
	Collection Account Report for December 26, 2002 Distribution


	Collection Account Report


INTEREST - WITHDRAWALS								TOTAL

	Relief Act Interest Shortfalls							0.00
	Trust Fund Expenses							0.00
	Nonrecoverable Advances							0.00
	Reimbursements to Master Servicer							0.00

	TOTAL INTEREST WITHDRAWALS							0.00


INTEREST - OTHER ACCOUNTS								TOTAL

	Prepayment Charges							14,153.88
	Capitalized Interest Requirement							0.00
	Pre-Funding Account Interest Earnings							0.00
	Loan Adjustments							0.00

	TOTAL INTEREST OTHER ACCOUNTS							14,153.88


INTEREST - FEES								TOTAL

	Current Servicing Fees							5,164.49
	Lender Paid PMI							0.00
	Trustee Fee							2,474.62
	Certificate Insurance Fee							26,890.85

	TOTAL INTEREST OTHER FEES							34,529.96


				Page 8 of 24				© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Series 2002-HE3
	Credit Enhancement Report for December 26, 2002 Distribution


	Credit Enhancement Report


ACCOUNTS								TOTAL

	Excess Reserve Fund Account							0.00


INSURANCE								TOTAL
SPACE INTENTIONALLY LEFT BLANK


STRUCTURAL FEATURES								TOTAL

	Subordinated Amount							9,898,477.28

	Specified Subordinated Amount							9,898,477.28

	Senior Enhancement Percentage							18.54%


				Page 9 of 24				© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Series 2002-HE3
	Collateral Report for December 26, 2002 Distribution


	Collateral Report


COLLATERAL								TOTAL
	Loan Count:
	*Original*							3635
	Prior							-
	Prefunding							-
	Scheduled Paid Offs							-
	Full Voluntary Prepayments							(7)
	Repurchases							-
	Liquidations							-
	Current							3,628

	*Principal Balance:*
	Original							549,805,620.42
	Prior							-
	Prefunding							-
	Scheduled Principal							(366,618.29)
	Partial and Full Voluntary Prepayments							(929,726.27)
	Repurchases							-
	Liquidations							-
	Current							548,509,275.86

PREFUNDING								TOTAL

	Original Pre-Funding Amount							110,092,857.16

	Pre-Funding Amount Beginning Balance							110,092,857.16
	Withdrawal for Subsequent Transfers							0.00
	Pre-Funding Amount Released as Principal							0.00
	Pre-Funding Amount Ending Balance							110,092,857.16

	Capitalized Interest Account							604,785.00




Current Prin Balance by Groups (in millions of dollars)					Total Current Principal Balance (in millions of dollars)


				Page 10 of 24				© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Series 2002-HE3
	Collateral Report for December 26, 2002 Distribution


	Collateral Report


CHARACTERISTICS								TOTAL

	Weighted Average Coupon Original							8.234033%
	Weighted Average Coupon Prior
	Weighted Average Coupon Current							8.234033%
	Weighted Average Months to Maturity Original							342
	Weighted Average Months to Maturity Prior							-
	Weighted Average Months to Maturity Current							342
	Weighted Avg Remaining Amortization Term Original							352
	Weighted Avg Remaining Amortization Term Prior							-
	Weighted Avg Remaining Amortization Term Current							352
	Weighted Average Seasoning Original							4.01
	Weighted Average Seasoning Prior							-
	Weighted Average Seasoning Current							4.01

Note: Original information refers to deal issue.




WAC by Groups					Total WAC


WARAT by Groups					Total WARAT


Note: Dates correspond to distribution dates.
				Page 11 of 24				© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Series 2002-HE3
	Collateral Report for December 26, 2002 Distribution


	Collateral Report


ARM CHARACTERISTICS								TOTAL

	Weighted Average Margin Original							4.767%
	Weighted Average Margin Prior							0.000%
	Weighted Average Margin Current							4.767%
	Weighted Average Max Rate Original							10.962%
	Weighted Average Max Rate Prior							0.000%
	Weighted Average Max Rate Current							10.962%
	Weighted Average Min Rate Original							6.113%
	Weighted Average Min Rate Prior							0.000%
	Weighted Average Min Rate Current							6.113%
	Weighted Average Cap Up Original							0.747%
	Weighted Average Cap Up Prior							0.000%
	Weighted Average Cap Up Current							0.747%
	Weighted Average Cap Down Original							0.747%
	Weighted Average Cap Down Prior							0.000%
	Weighted Average Cap Down Current							0.747%

Note: Original information refers to deal issue.

SERVICING FEES / ADVANCES								TOTAL

	Current Servicing Fees							5,164.49
	Delinquent Servicing Fees							223,921.19
	TOTAL SERVICING FEES							229,085.68


	Prepayment Interest Shortfall							234.35
	Compensating Interest							(234.35)
	Delinquent Servicing Fees							(223,921.19)
	COLLECTED SERVICING FEES							5,164.49


	Aggregate Advances with respect to this Distribution							3,816,560.63

	Current Nonrecoverable Advances							0.00
	Cumulative Nonrecoverable Advances							0.00


ADDITIONAL COLLATERAL INFORMATION								TOTAL

	Net Prepayment Interest Shortfall							0.00

	Total Monthly Excess Spread							2,374,055.85

	Ending Pool Stated Principal Balance + Pre-Funding							658,602,133.02


				Page 12 of 24				© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Series 2002-HE3
	Delinquency Report for December 26, 2002 Distribution


	Delinquency Report - Total


				CURRENT	1 PAYMENT	2 PAYMTS	3+ PAYMTS	TOTAL
DELINQUENT		Balance			-	-	-	-
		% Balance			0.00%	0.00%	0.00%	0.00%
		# Loans			-	-	-	-
		% # Loans			0.00%	0.00%	0.00%	0.00%
FORECLOSURE		Balance		-	-	-	-	-
		% Balance		0.00%	0.00%	0.00%	0.00%	0.00%
		# Loans		-	-	-	-	-
		% # Loans		0.00%	0.00%	0.00%	0.00%	0.00%
BANKRUPTCY		Balance		-	-	-	-	-
		% Balance		0.00%	0.00%	0.00%	0.00%	0.00%
		# Loans		-	-	-	-	-
		% # Loans		0.00%	0.00%	0.00%	0.00%	0.00%
REO		Balance		-	-	-	-	-
		% Balance		0.00%	0.00%	0.00%	0.00%	0.00%
		# Loans		-	-	-	-	-
		% # Loans		0.00%	0.00%	0.00%	0.00%	0.00%

TOTAL		Balance		-	-	-	-	-
		% Balance		0.00%	0.00%	0.00%	0.00%	0.00%
		# Loans		-	-	-	-	-
		% # Loans		0.00%	0.00%	0.00%	0.00%	0.00%
Note: Current = 0-30days, 1 Payment =31-60days, 2 Payments = 61-90days, 3+ Payments = 91+
								6 Months Moving Average
1 or 2 Payments Delinquent					3 or More Payments Delinquent


Total Foreclosure					Total Bankruptcy and REO


Note: Dates correspond to distribution dates.
				Page 13 of 24				© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Series 2002-HE3
	REO Report for December 26, 2002 Distribution


	REO Report - Mortgage Loans that Become REO During Current Distribution


SUMMARY				LOAN GROUP

Total Loan Count = 0				Loan Group 1 = Group 1 Group; REO Book Value = 000.00
Total Original Principal Balance = 000.00
Total Current Balance = 000.00
REO Book Value = 000.00

REO Book Value reported corresponds to total REO loans, including loans that become REO during current distribution.

Loan Number		Original	Stated		Current	State &
&		Principal	Principal	Paid to	Note	LTV at	Original	Origination
Loan Group		Balance	Balance	Date	Rate	Origination	Term	Date
SPACE INTENTIONALLY LEFT BLANK


				Page 14 of 24				© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Series 2002-HE3
	Prepayment Report for December 26, 2002 Distribution


	Prepayment Report - Voluntary Prepayments


VOLUNTARY PREPAYMENTS								TOTAL

	*Current*
	Number of Paid in Full Loans							7
	Number of Repurchased Loans							-
	Total Number of Loans Prepaid in Full							7

	Paid in Full Balance							851,277.51
	Repurchased Loans Balance							-
	Curtailments Amount							78,448.76
	Total Prepayment Amount							929,726.27

	*Cumulative*
	Number of Paid in Full Loans							7
	Number of Repurchased Loans							-
	Total Number of Loans Prepaid in Full							7

	Paid in Full Balance							851,277.51
	Repurchased Loans Balance							-
	Curtailments Amount							78,448.76
	Total Prepayment Amount							929,726.27

SPACE INTENTIONALLY LEFT BLANK


Total Prepayments by Groups (in thousands of dollars)					Total Prepayments (in thousands of dollars)


				Page 15 of 24				© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Series 2002-HE3
	Prepayment Report for December 26, 2002 Distribution


	Prepayment Report - Voluntary Prepayments


VOLUNTARY PREPAYMENT RATES								TOTAL

	SMM							0.17%
	3 Months Avg SMM
	12 Months Avg SMM
	Avg SMM Since Cut-off							0.17%

	CPR							2.01%
	3 Months Avg CPR
	12 Months Avg CPR
	Avg CPR Since Cut-off							2.01%

	PSA							251.05%
	3 Months Avg PSA Approximation
	12 Months Avg PSA Approximation
	Avg PSA Since Cut-off Approximation							251.05%







CPR by Groups					Total CPR


PSA by Groups					Total PSA


				Page 16 of 24				© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Series 2002-HE3
	Prepayment Report for December 26, 2002 Distribution


	Prepayment Report - Voluntary Prepayments




CPR Avg since Cut-Off by Groups					Total CPR Avg since Cut-Off


PSA Avg since Cut-Off by Groups					Total PSA Avg since Cut-Off


PREPAYMENT CALCULATION METHODOLOGY
Single Monthly Mortality (SMM): (Voluntary partial and full prepayments + Repurchases)/(Beg Principal Balance - Sched Principal)
Conditional Prepayment Rate (CPR): 1-((1-SMM)^12)
PSA Standard Prepayment Model: CPR/(0.02*min(30,WAS))
Average SMM over period between nth month and mth month (AvgSMMn,m): [(1-SMMn) * (1-SMMn+1) .......(1-SMMm)]^(1/months in period n,m)
Average CPR over period between the nth month and mth month (AvgCPRn,m): 1-((1-AvgSMMn,m)^12)
Average PSA Approximation over period between the nth month and mth month: AvgCPRn,m/(0.02*Avg WASn,m))
Average WASn,m: (min(30,WASn)+min(30,WASn+1)+.......+min(30,WASm)/(number of months in the period n,m)
Weighted Average Seasoning (WAS)

Note: Prepayment rates are calculated since deal issue date and include partial and full voluntary prepayments and repurchases.
Dates correspond to distribution dates.

				Page 17 of 24				© COPYRIGHT 2002 Deutsche Bank


	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Series 2002-HE3
	Prepayment Detail Report for December 26, 2002 Distribution


	Prepayment Detail Report - Loans Prepaid in Full During Current Distribution


SUMMARY						LOAN GROUP

Total Loan Count = 7						Loan Group 1 = Group 1 Group
Total Original Principal Balance = 852,330.00
Total Prepayment Amount = 851,277.51


Loan Number			Original			Current	State &	Type Prepayment
&		Loan	Principal	Prepayment	Prepayment	Note	LTV at	&	Origination
Loan Group		Status	Balance	Amount	Date	Rate	Origination	Original Term	Date

3641859 1			147,250.00	147,085.14	Dec-09-02	8.900%	Il - 95.00%	Paid Off - 360	Aug-13-02
3642154 1			255,080.00	254,874.17	Dec-09-02	10.450%	Ne - 80.00%	Paid Off - 360	Aug-13-02
3648771 1			51,000.00	50,845.88	Dec-10-02	10.300%	Il - 60.00%	Paid Off - 360	May-14-02
3657319 1			59,500.00	59,398.87	Dec-10-02	10.250%	Oh - 85.00%	Paid Off - 360	Jun-05-02
3668399 1			86,500.00	86,450.23	Dec-03-02	8.750%	Mi - 55.81%	Paid Off - 360	Sep-03-02
3685369 1			65,000.00	64,934.26	Dec-04-02	12.625%	Rh - 40.63%	Paid Off - 360	Jun-12-02
100277318 1			188,000.00	187,688.96	Nov-26-02	8.990%	Ma - 80.00%	Paid Off - 360	Jul-31-02


					Page 18 of 24				© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Series 2002-HE3
	Realized Loss Report for December 26, 2002 Distribution


	Realized Loss Report - Collateral


COLLATERAL REALIZED LOSSES								TOTAL

	*Current*
	Number of Loans Liquidated							-
	Collateral Realized Loss/(Gain) Amount							-
	Net Liquidation Proceeds							-

	*Cumulative*
	Number of Loans Liquidated							-
	Collateral Realized Loss/(Gain) Amount							-
	Net Liquidation Proceeds							-

	Note: Collateral realized losses may include adjustments to loans liquidated in prior periods.


	Cumulative Loss Percentage							0.00%


							3 Months Moving Average


Collateral Loss Severity Approximation by Groups					Collateral Loss Severity Approximation


				Page 19 of 24				© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Series 2002-HE3
	Realized Loss Report for December 26, 2002 Distribution


	Realized Loss Report - Collateral


DEFAULT SPEEDS								TOTAL

	MDR							0.00%
	3 Months Avg MDR
	12 Months Avg MDR
	Avg MDR Since Cut-off							0.00%

	CDR							0.00%
	3 Months Avg CDR
	12 Months Avg CDR
	Avg CDR Since Cut-off							0.00%

	SDA							0.00%
	3 Months Avg SDA Approximation
	12 Months Avg SDA Approximation
	Avg SDA Since Cut-off Approximation							0.00%

	Loss Severity Approximation for Current Period
	3 Months Avg Loss Severity Approximation
	12 Months Avg Loss Severity Approximation
	Avg Loss Severity Approximation Since Cut-off



CDR by Groups					Total CDR


SDA by Groups					Total SDA


				Page 20 of 24				© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Series 2002-HE3
	Realized Loss Report for December 26, 2002 Distribution


	Realized Loss Report - Collateral




CDR Avg since Cut-Off by Groups					Total CDR Avg since Cut-Off


SDA Avg since Cut-Off by Groups					Total SDA Avg since Cut-Off


COLLATERAL REALIZED LOSS CALCULATION METHODOLOGY
Monthly Default Rate (MDR): (Beg Principal Balance of Liquidated Loans)/(Total Beg Principal Balance)
Conditional Default Rate (CDR): 1-((1-MDR)^12)
SDA Standard Default Assumption: CDR/IF(WAS<61,MIN(30,WAS)0.02,MAX(0.03,MIN(30,WAS)0.02-0.0095*(WAS-60)))
Average MDR over period between nth month and mth month (AvgMDRn,m): [(1-MDRn) * (1-MDRn+1) .......(1-MDRm)]^(1/months in period n,m)
Average CDR over period between the nth month and mth month (AvgCDRn,m): 1-((1-AvgMDRn,m)^12)
Average SDA Approximation over period between the nth month and mth month:
AvgCDRn,m/IF(Avg WASn,m<61,MIN(30,Avg WASn,m)0.02,MAX(0.03,MIN(30,Avg WASn,m)0.02-0.0095*(Avg WASn,m-60)))
Average WASn,m: (WASn + WASn+1 +.......+ WASm )/(number of months in the period n,m)
Loss Severity Approximation for current period: sum(Realized Loss Amount)/sum(Beg Principal Balance of Liquidated Loans)
Average Loss Severity Approximation over period between nth month and mth month: Avg(Loss Severityn,m)
Note: Default rates are calculated since deal issue date and include realized gains and additional realized losses and gains from prior periods.
Dates correspond to distribution dates.

				Page 21 of 24				© COPYRIGHT 2002 Deutsche Bank


	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Series 2002-HE3
	Realized Loss Detail Report for December 26, 2002 Distribution


	Realized Loss Detail Report - Loans Liquidated During Current Distribution


SUMMARY						LOAN GROUP

Total Loan Count = 0						Loan Group 1 = Group 1 Group
Total Original Principal Balance = 0.00
Total Prior Principal Balance = 0.00
Total Realized Loss Amount = 0.00
Total Net Liquidation Proceeds = 0.00


Loan Number			Original	Prior		Current	State &
&		Loan	Principal	Principal	Realized	Note	LTV at	Original	Origination
Loan Group		Status	Balance	Balance	Loss/(Gain)	Rate	Origination	Term	Date
SPACE INTENTIONALLY LEFT BLANK


					Page 22 of 24				© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Series 2002-HE3
	Triggers, Adj. Rate Cert. and Miscellaneous Report for December 26, 2002 Distribution


	Triggers, Adj. Rate Cert. and Miscellaneous Report


TRIGGER EVENTS								TOTAL

	Has a Stepdown Date occurred?							No

	Has the Optional Termination Date been reached?							No

	Does Trigger Event exist?							No
	A Trig event exists if a Delinq or Loss Trig Event exists

	Does a Delinquency Trigger Event exists?							No
	A Delinq Trigger Event exists if (a) >= (b)
	*(a) 3 mo avg of 60+ delnq loans / ending Stated Prin Bal*							0.00%
	(b) 37% of the Prior Period Sr. Enhancement Percentage							6.86%

	3 month average of 60+ delinquent loans							0.00
	Ending Stated Principal Balance							548,509,275.86
	Prior Period Sr. Enhancement Percentage							18.54%

	Does a Loss Triger Event Exist?							No


ADJUSTABLE RATE CERTIFICATE INFORMATION								TOTAL
SPACE INTENTIONALLY LEFT BLANK


ADDITIONAL INFORMATION								TOTAL

	Basis Risk Carry Forward Amount							0.00

	Class A Deficiency Amount							0.00

	Certificate Insurance Premium Due							26,890.85
	Certificate Insurance Premium Paid							(26,890.85)
	Unpaid Certificate Insurance Amount							0.00

	Interest Rate Cap Payment							0.00


				Page 23 of 24				© COPYRIGHT 2002 Deutsche Bank
	CDC Mortgage Capital Trust 2002-HE3
	Mortgage Pass-Through Certificates
	Series 2002-HE3
	Additional Certificate Report for December 26, 2002 Distribution


	Additional Certificate Report

SPACE INTENTIONALLY LEFT BLANK
	CLASS


				Page 24 of 24				© COPYRIGHT 2002 Deutsche Bank

MORGAN STANLEY ABS CAP I INC MRT PSS THR CERT SE 2002-HE3 8-K/A