SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K Current Report Pursuant To Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event reported): ~~November~~December 2526, 2003 MORGAN STANLEY CAPITAL I INC. (as Depositor, Chase Manhattan Mortgage Corporation as Servicer, Wells Fargo Home Mortgage Inc as Servicer and Responsible Party, Accredited Home Lenders, Inc as Responsible Party and Deutsche Bank National Trust Company, as Trustee). MORGAN STANLEY ABS CAPITAL I INC TRUST 2003-HE 2 (Exact name of Registrant as specified in its Charter) DELAWARE (State or Other Jurisdiction of Incorporation) 333-104046-10 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 ~~November~~December 2526, 2003. 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 June 1,2003. Date: ~~Nov~~Jan 2602, ~~2003~~2004 By: /s/ Katherine M. Wannenmacher Katherine M. Wannenmacher Vice President EXHIBIT INDEX DOCUMENT Monthly Remittance Statement to the Certificateholders dated as of ~~November~~December 2526, 2003.

	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	November 25, 2003 Distribution
	December 26, 2003 Distribution
	Contents
			TABLE OF CONTENTS
								Page
			1.	Contents				1
			2.	Certificate Payment Report				2
			3.	Collection Account Report				4
			4.	Credit Enhancement Report				7
			5.	Collateral Report				8
			6.	Delinquency Report				11
			7.	REO Report				14
			8.	Foreclosure Report				15
			9.	Prepayment Report				16
			10.	Prepayment Detail Report				19
			11.	Realized Loss Report				21
			12.	Realized Loss Detail Report				24
			13.	Triggers, Adj. Rate Cert. and Miscellaneous Report				25
				Total Number of Pages				25
			CONTACTS
				Administrator: Jeremy Conyers
				Direct Phone Number: (714)247-6274
				Address: Deutsche Bank
				1761 E. St. Andrew Place, Santa Ana, CA 92705
				Web Site: https://www.corporatetrust.db.com/invr
				Factor Information: (800) 735-7777
				Main Phone Number: (714) 247-6000
ISSUANCE INFORMATION
	Seller:		Morgan Stanley					Cut-Off Date: August 1, 2003
	Certificate Insurer(s):							Closing Date: August 26, 2003
								First Payment Date: September 25, 2003
	Servicer(s):		Chase Manhattan Mortgage Master Servicer
			Wells Fargo Master Servicer
								Distribution Date: November 25, 2003
								Distribution Date: December 26, 2003
	Underwriter(s):		Morgan Stanley Dean Witter					Record Date: ~~November~~December 24, 2003
								October 31, 2003
								November 28, 2003
						Page 1 of 25					© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	REMIC II Series 2003-HE2
	Certificate Payment Report for November 25, 2003 Distribution
	Certificate Payment Report for December 26, 2003 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-1	FLT	299,599,000.00			~~291~~283,~~058~~649,~~900~~947.2383	~~361~~375,~~074~~846.7403	7,~~408~~932,~~952~~083.4034	78,~~770~~307,~~027~~929.1437	-	-	~~283~~275,~~649~~717,~~947~~864.8349
A-2	FLT	205,944,000.00			~~201~~198,~~444~~826,~~167~~868.3284	~~236~~249,~~920~~755.7254	23,~~617~~657,~~298~~021.4819	23,~~854~~906,~~219~~776.2073	-	-	~~198~~195,~~826~~169,~~868~~847.8465
M-1	MEZ, FLT	37,447,000.00			37,447,000.00	5357,~~393~~035.1816	-	5357,~~393~~035.1816	-	-	37,447,000.00
M-2	MEZ, FLT	34,327,000.00			34,327,000.00	7681,~~596~~842.8948	-	7681,~~596~~842.8948	-	-	34,327,000.00
M-3	MEZ, FLT	9,362,000.00			9,362,000.00	2325,~~529~~142.8350	-	2325,~~529~~142.8350	-	-	9,362,000.00
B-1	SUB, FLT	9,362,000.00			9,362,000.00	3336,~~711~~025.0082	-	3336,~~711~~025.0082	-	-	9,362,000.00
B-2	SUB, FLT	9,362,000.00			9,362,000.00	3740,~~858~~459.8977	-	3740,~~858~~459.8977	-	-	9,362,000.00
B-3	SUB, FLT	9,362,000.00			9,362,000.00	3841,~~613~~265.0594	-	3841,~~613~~265.0594	-	-	9,362,000.00
X	SUB	9,362,306.40			9,361,909.60	2,~~940~~826,~~297~~038.5883	-	2,~~940~~826,~~297~~038.5883	-	-	9,361,909.60
UT-R	R	-			-	-	-	-	-	-	-
P	EXE	-			-	~~256~~262,~~396~~348.4858	-	~~256~~262,~~396~~348.4858	-	-	-
Total		624,127,306.40			~~611~~601,~~086~~060,~~977~~726.1527	43,~~058~~995,~~392~~760.3665	1011,~~026~~589,~~250~~104.8853	1415,~~084~~584,~~643~~865.2418	-	-	~~601~~589,~~060~~471,~~726~~621.2774
	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-1	1011/2725/03	1112/2425/03		A-Act/360	61746RCY5	299,599,000.00	~~971~~946.~~494899~~765336	1.~~205193~~254497	2426.~~729563~~475667	2527.~~934757~~730164	~~946~~920.~~765336~~289669
A-2	1011/2725/03	1112/2425/03		A-Act/360	61746RCZ2	205,944,000.00	~~978~~965.~~150212~~441425	1.~~150413~~212735	1217.~~708787~~757357	1318.~~859201~~970093	~~965~~947.~~441425~~684068
M-1	1011/2725/03	1112/2425/03		A-Act/360	61746RDA6	37,447,000.00	1,000.000000	1.~~425833~~523090	-	1.~~425833~~523090	1,000.000000
M-2	1011/2725/03	1112/2425/03		A-Act/360	61746RDB4	34,327,000.00	1,000.000000	2.~~231389~~384201	-	2.~~231389~~384201	1,000.000000
M-3	1011/2725/03	1112/2425/03		A-Act/360	61746RDC2	9,362,000.00	1,000.000000	2.~~513334~~685591	-	2.~~513334~~685591	1,000.000000
B-1	1011/2725/03	1112/2425/03		A-Act/360	61746RDD0	9,362,000.00	1,000.000000	3.~~600833~~848090	-	3.~~600833~~848090	1,000.000000
B-2	1011/2725/03	1112/2425/03		A-Act/360	61746RDE8	9,362,000.00	1,000.000000	4.~~043889~~321702	-	4.~~043889~~321702	1,000.000000
B-3	1011/2725/03	1112/2425/03		A-Act/360	61746RDF5	9,362,000.00	1,000.000000	4.~~124445~~407812	-	4.~~124445~~407812	1,000.000000
X	1011/2725/03	1112/2425/03		A-Act/360		9,362,306.40	999.957617	~~314~~301.~~056970~~852846	-	~~314~~301.~~056970~~852846	999.957617
UT-R	1011/2725/03	1112/2425/03		-		-	-	-	-	-	-
P	1011/2725/03	1112/2425/03		-		-	-	-	-	-	-
							Page 2 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	REMIC II Series 2003-HE2
	Certificate Payment Report for November 25, 2003 Distribution
	Certificate Payment Report for December 26, 2003 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-1	299,599,000.00		1,~~147~~523,~~609~~455.6770		1422,~~941~~541,~~014~~185.1935	1,~~008~~339,~~037~~950.9816	1523,~~949~~881,~~052~~135.1751	1725,~~096~~404,~~661~~591.8421	-	-	~~283~~275,~~649~~717,~~947~~864.8349
A-2	205,944,000.00		~~750~~1,~~596~~000,352.6721		610,~~652~~156,~~244~~239.1699	~~464~~617,~~887~~912.0036	710,~~117~~774,~~131~~152.1635	711,~~867~~774,~~727~~504.8356	-	-	~~198~~195,~~826~~169,~~868~~847.8465
M-1	37,447,000.00		~~167~~224,~~232~~267.0622		0.00	-	-	~~167~~224,~~232~~267.0622	-	-	37,447,000.00
M-2	34,327,000.00		~~240~~321,~~069~~912.6917		-	-	-	~~240~~321,~~069~~912.6917	-	-	34,327,000.00
M-3	9,362,000.00		7398,~~756~~899.9646		-	-	-	7398,~~756~~899.9646	-	-	9,362,000.00
B-1	9,362,000.00		~~105~~141,~~704~~730.7860		-	-	-	~~105~~141,~~704~~730.7860	-	-	9,362,000.00
B-2	9,362,000.00		~~118~~159,~~720~~180.5633		-	-	-	~~118~~159,~~720~~180.5633	-	-	9,362,000.00
B-3	9,362,000.00		~~121~~162,~~087~~353.0701		-	-	-	~~121~~162,~~087~~353.0701	-	-	9,362,000.00
X	9,362,306.40		811,~~820~~646,~~598~~637.9578		363.99	32.81	396.80	811,~~820~~647,~~995~~034.7558	-	-	9,361,909.60
UT-R	-		-		-	-	-	-	-	-	-
P	-		~~525~~787,~~101~~450.6826		-	-	-	~~525~~787,~~101~~450.6826	-	-	-
Total	624,127,306.40		1216,~~070~~066,~~478~~238.0974		2132,~~593~~697,~~622~~789.3534	1,~~472,~~957,895.7832	2334,~~066~~655,~~580~~684.1366	3550,~~137~~721,~~058~~923.2240	-	-	~~601~~589,~~060~~471,~~726~~621.2774
	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	1.~~54000~~53875%	~~291~~283,~~058~~649,~~900~~947.2383			~~361~~375,~~074~~846.7403	-	-	-	~~361~~375,~~074~~846.7403	~~361~~375,~~074~~846.7403	-
A-2	1.~~46000~~45875%	~~201~~198,~~444~~826,~~167~~868.3284			~~236~~249,~~920~~755.7254	-	-	-	~~236~~249,~~920~~755.7254	~~236~~249,~~920~~755.7254	-
M-1	1.~~77000~~76875%	37,447,000.00			5357,~~393~~035.1816	-	-	-	5357,~~393~~035.1816	5357,~~393~~035.1816	-
M-2	2.~~77000~~76875%	34,327,000.00			7681,~~596~~842.8948	-	-	-	7681,~~596~~842.8948	7681,~~596~~842.8948	-
M-3	3.~~12000~~11875%	9,362,000.00			2325,~~529~~142.8350	-	-	-	2325,~~529~~142.8350	2325,~~529~~142.8350	-
B-1	4.~~47000~~46875%	9,362,000.00			3336,~~711~~025.0082	-	-	-	3336,~~711~~025.0082	3336,~~711~~025.0082	-
B-2	5.~~02000~~01875%	9,362,000.00			3740,~~858~~459.8977	-	-	-	3740,~~858~~459.8977	3740,~~858~~459.8977	-
B-3	5.~~12000~~11875%	9,362,000.00			3841,~~613~~265.0594	-	-	-	3841,~~613~~265.0594	3841,~~613~~265.0594	-
X	5.~~77390~~64210%	9,361,909.60			2,~~940~~826,~~297~~038.5883	-	-	-	2,~~940~~826,~~297~~038.5883	2,~~940~~826,~~297~~038.5883	-
UT-R		-			-	-	-	-	-	-	-
P		-			~~256~~262,~~396~~348.4858	-	-	-	~~256~~262,~~396~~348.4858	~~256~~262,~~396~~348.4858	-
Total		~~611~~601,~~086~~060,~~977~~726.1527			43,~~058~~995,~~392~~760.3665	-	-	-	43,~~058~~995,~~392~~760.3665	43,~~058~~995,~~392~~760.3665	-
							Page 3 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Collection Account Report for November 25, 2003 Distribution
	Collection Account Report for December 26, 2003 Distribution
	Collection Account Report
SUMMARY						GROUP 2	GROUP 1	TOTAL
	Principal Collections					23,~~617~~657,~~298~~021.4819	7,~~408~~932,~~952~~083.4034	1011,~~026~~589,~~250~~104.8853
	Principal Other Accounts					0.00	0.00	0.00
	TOTAL NET PRINCIPAL					23,~~617~~657,~~298~~021.4819	7,~~408~~932,~~952~~083.4034	1011,~~026~~589,~~250~~104.8853
	Interest Collections					1,~~550~~531,~~268~~239.6321	2,~~251~~202,~~727~~172.2586	3,~~801~~733,~~995~~412.8807
	Interest Withdrawals					0.00	0.00	0.00
	Interest Other Accounts					0.00	0.00	0.00
	Interest Fees					(1612,~~982~~922.1988)	(2621,~~239~~121.7229)	(4334,~~221~~044.9117)
	TOTAL NET INTEREST					1,~~533~~518,~~286~~316.4433	2,~~225~~181,~~487~~051.5357	3,~~758~~699,~~773~~367.9790
	TOTAL PRINCIPAL & INTEREST DISTRIBUTABLE					45,~~150~~175,~~584~~337.9252	910,~~634~~113,~~439~~134.9391	1315,~~785~~288,~~024~~472.8543
	Prepayment Penalties Collected							~~256~~262,~~396~~348.4858
	TOTAL AVAILABLE FUNDS FOR DISTRIBUTION							1415,~~084~~584,~~643~~865.2418
PRINCIPAL - COLLECTIONS						GROUP 2	GROUP 1	TOTAL
	Scheduled Principal Received					~~214~~213,~~558~~845.8221	~~274~~271,~~573~~092.3633	~~489~~484,~~132~~937.1854
	Prepayments In Full					23,~~396~~428,~~094~~717.9371	7,~~115~~643,472.9471	911,~~511~~072,~~567~~190.8742
	Curtailments					614,~~644~~458.7327	1817,~~906~~518.1030	2531,~~550~~976.8357
	Liquidations					0.00	0.00	0.00
	Insurance Principal					0.00	0.00	0.00
	Repurchased Principal Amounts					0.00	0.00	0.00
	Other Principal					0.00	0.00	0.00
	Total Realized Loss Of Principal					0.00	0.00	0.00
	Delinquent Principal					(~~183~~191,~~516~~218.1244)	(~~232~~238,~~955~~195.8324)	(~~416~~429,~~471~~413.9568)
	Advanced Principal					~~183~~191,~~516~~218.1244	~~232~~238,~~955~~195.8324	~~416~~429,~~471~~413.9568
	TOTAL PRINCIPAL COLLECTED					23,~~617~~657,~~298~~021.4819	7,~~408~~932,~~952~~083.4034	1011,~~026~~589,~~250~~104.8853
				Page 4 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Collection Account Report for November 25, 2003 Distribution
	Collection Account Report for December 26, 2003 Distribution
	Collection Account Report
PRINCIPAL - WITHDRAWALS						GROUP 2	GROUP 1	TOTAL
SPACE INTENTIONALLY LEFT BLANK
PRINCIPAL - OTHER ACCOUNTS						GROUP 2	GROUP 1	TOTAL
SPACE INTENTIONALLY LEFT BLANK
INTEREST - COLLECTIONS						GROUP 2	GROUP 1	TOTAL
	Scheduled Interest					1,~~655~~635,~~830~~694.4982	2,~~404~~351,~~451~~765.4858	43,~~060~~987,~~281~~460.9740
	Liquidation Interest					0.00	0.00	0.00
	Repurchased Interest					0.00	0.00	0.00
	Insurance Interest					0.00	0.00	0.00
	Other Interest					0.00	0.00	0.00
	Relief Act Interest Shortfalls					0.00	0.00	0.00
	Net Prepayment Interest Shortfalls					0.00	0.00	0.00
	Delinquent Interest					(1,~~413~~458,~~508~~225.2437)	(2,~~027~~057,~~757~~407.7519)	(3,~~441~~515,~~265~~632.9956)
	Interest Advanced					1,~~324~~366,~~928~~692.5764	1,~~901~~928,~~273~~935.2476	3,~~226~~295,~~201~~628.8140
	TOTAL INTEREST COLLECTED					1,~~550~~531,~~268~~239.6321	2,~~251~~202,~~727~~172.2586	3,~~801~~733,~~995~~412.8807
				Page 5 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Collection Account Report for November 25, 2003 Distribution
	Collection Account Report for December 26, 2003 Distribution
	Collection Account Report
INTEREST - WITHDRAWALS						GROUP 2	GROUP 1	TOTAL
	Trust Fund Expenses							0.00
	Nonrecoverable Advances							0.00
	Reimbursements to Master Servicer							0.00
	TOTAL INTEREST WITHDRAWALS							0.00
INTEREST - OTHER ACCOUNTS						GROUP 2	GROUP 1	TOTAL
	TOTAL INTEREST OTHER ACCOUNTS					0.00	0.00	0.00
INTEREST - FEES						GROUP 2	GROUP 1	TOTAL
	Current Servicing Fees					1511,~~483~~440.6807	2418,~~071~~997.7174	3930,~~555~~437.3981
	Trustee Fees					1,~~498~~482.5181	2,~~168~~123.0155	3,~~666~~606.5236
	TOTAL INTEREST OTHER FEES					1612,~~982~~922.1988	2621,~~239~~121.7229	4334,~~221~~044.9117
				Page 6 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Credit Enhancement Report for November 25, 2003 Distribution
	Credit Enhancement Report for December 26, 2003 Distribution
	Credit Enhancement Report
ACCOUNTS						GROUP 2	GROUP 1	TOTAL
	Excess Reserve Fund Balance (Ending)							0.00
INSURANCE						GROUP 2	GROUP 1	TOTAL
SPACE INTENTIONALLY LEFT BLANK
STRUCTURAL FEATURES						GROUP 2	GROUP 1	TOTAL
	Beginning Subordinated Amount							9,361,909.60
	Ending Subordinated Amount							9,361,909.60
	Specified Subordinated Amount							9,361,909.60
	Senior Enhancement Percentage							1920.7312%
				Page 7 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Collateral Report for November 25, 2003 Distribution
	Collateral Report for December 26, 2003 Distribution
	Collateral Report
COLLATERAL						GROUP 2	GROUP 1	TOTAL
	Loan Count:
	Original					1903	2647	4550
	Prior					1,~~868~~848	2,~~598~~555	4,~~466~~403
	Prefunding					-	-	-
	Scheduled Paid Offs					-	-	-
	Full Voluntary Prepayments					(2028)	(4350)	(6378)
	Repurchases					-	-	-
	Liquidations					-	-	-
	Current					1,~~848~~820	2,~~555~~505	4,~~403~~325
	Principal Balance:
	Original					254,251,979.56	369,875,326.84	624,127,306.40
	Prior					~~249~~247,~~752~~134,~~021~~722.4193	~~361~~353,~~334~~926,~~955~~003.7434	~~611~~601,~~086~~060,~~977~~726.1527
	Prefunding					-	-	-
	Scheduled Principal					(~~214~~213,~~558~~845.8221)	(~~274~~271,~~573~~092.3633)	(~~489~~484,~~132~~937.1854)
	Partial and Full Voluntary Prepayments					(23,~~402~~443,~~739~~175.6698)	(7,~~134~~660,~~379~~991.0401)	(911,~~537~~104,~~118~~166.7099)
	Repurchases					-	-	-
	Liquidations					-	-	-
	Current					~~247~~243,~~134~~477,~~722~~701.9374	~~353~~345,~~926~~993,~~003~~920.3400	~~601~~589,~~060~~471,~~726~~621.2774
PREFUNDING						GROUP 2	GROUP 1	TOTAL
SPACE INTENTIONALLY LEFT BLANK
	Group 1
	Group 2
Current Prin Balance by Groups (in millions of dollars)					Total Current Principal Balance (in millions of dollars)
				Page 8 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Collateral Report for November 25, 2003 Distribution
	Collateral Report for December 26, 2003 Distribution
	Collateral Report
CHARACTERISTICS						GROUP 2	GROUP 1	TOTAL
	Weighted Average Coupon Original					7.974910%	8.002537%	7.991282%
	Weighted Average Coupon Prior					7.~~968265~~955878%	7.~~993803~~985227%	7.~~983377~~973232%
	Weighted Average Coupon Current					7.~~955878~~942363%	7.~~985227~~973753%	7.~~973232~~960847%
	Weighted Average Months to Maturity Original					336	349	344
	Weighted Average Months to Maturity Prior					~~335~~333	~~348~~347	~~343~~341
	Weighted Average Months to Maturity Current					~~333~~332	~~347~~346	~~341~~340
	Weighted Avg Remaining Amortization Term Original					345	352	349
	Weighted Avg Remaining Amortization Term Prior					~~344~~343	~~351~~350	~~348~~347
	Weighted Avg Remaining Amortization Term Current					~~343~~342	~~350~~349	~~347~~346
	Weighted Average Seasoning Original					4.12	4.20	4.17
	Weighted Average Seasoning Prior					56.1110	56.1918	56.1615
	Weighted Average Seasoning Current					67.1008	67.18	67.1514
Note: Original information refers to deal issue.
	Group 1
	Group 2
WAC by Groups					Total WAC
WARAT by Groups					Total WARAT
Note: Dates correspond to distribution dates.
				Page 9 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Collateral Report for November 25, 2003 Distribution
	Collateral Report for December 26, 2003 Distribution
	Collateral Report
ARM CHARACTERISTICS						GROUP 2	GROUP 1	TOTAL
	Weighted Average Margin Original					3.525%	5.394%
	Weighted Average Margin Prior					3.~~516~~483%	5.~~383~~372%
	Weighted Average Margin Current					3.~~483~~468%	5.~~372~~362%
	Weighted Average Max Rate Original					7.911%	12.119%
	Weighted Average Max Rate Prior					7.~~891~~827%	12.~~100~~085%
	Weighted Average Max Rate Current					7.~~827~~797%	12.~~085~~073%
	Weighted Average Min Rate Original					3.914%	5.947%
	Weighted Average Min Rate Prior					3.~~906~~870%	5.~~939~~931%
	Weighted Average Min Rate Current					3.~~870~~858%	5.~~931~~924%
	Weighted Average Cap Up Original					0.604%	0.903%
	Weighted Average Cap Up Prior					0.~~604~~599%	0.903%
	Weighted Average Cap Up Current					0.~~599~~598%	0.903%
	Weighted Average Cap Down Original					0.604%	0.903%
	Weighted Average Cap Down Prior					0.~~604~~599%	0.903%
	Weighted Average Cap Down Current					0.~~599~~598%	0.903%
Note: Original information refers to deal issue.
SERVICING FEES / ADVANCES						GROUP 2	GROUP 1	TOTAL
	Current Servicing Fees					1511,~~483~~440.6807	2418,~~071~~997.7174	3930,~~555~~437.3981
	Delinquent Servicing Fees					8891,~~579~~532.6772	~~126~~128,~~484~~471.5342	~~215~~220,~~064~~004.2014
	TOTAL SERVICING FEES					~~104~~102,~~063~~972.3579	~~150~~147,~~556~~469.2416	~~254~~250,~~619~~441.5995
	Prepayment Interest Shortfall					08,918.0043	017,473.0066	026,392.0009
	Compensating Interest					0(8,918.0043)	0(17,473.0066)	0(26,392.0009)
	Delinquent Servicing Fees					(8891,~~579~~532.6772)	(~~126~~128,~~484~~471.5342)	(~~215~~220,~~064~~004.2014)
	COLLECTED SERVICING FEES					1511,~~483~~440.6807	2418,~~071~~997.7174	3930,~~555~~437.3981
	Aggregate Advances with respect to this Distribution					1,~~508~~557,~~444~~911.6908	2,~~134~~167,~~229~~131.0700	3,~~642~~725,~~673~~042.7608
	Current Nonrecoverable Advances					0.00	0.00	0.00
	Cumulative Nonrecoverable Advances					0.00	0.00	0.00
ADDITIONAL COLLATERAL INFORMATION						GROUP 2	GROUP 1	TOTAL
	Net Prepayment Interest Shortfall							0.00
	Net Monthly Excess Cash Flow							2,~~940~~826,~~297~~038.5883
	Ending Pool Stated Principal Balance					~~247~~243,~~134~~477,~~722~~701.9374	~~353~~345,~~926~~993,~~003~~920.3400	~~601~~589,~~060~~471,~~726~~621.2774
				Page 10 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Delinquency Report for November 25, 2003 Distribution
	Delinquency Report for December 26, 2003 Distribution
	Delinquency Report - Total
				<1 PAYMENT	1 PAYMENT	2 PAYMENTS	3+ PAYMENTS	TOTAL
DELINQUENT		Balance			67,~~386~~106,~~947~~945.7090	12,~~717~~085,~~585~~660.9686	-	89,~~104~~192,~~533~~606.6676
		% Balance			1.0621%	0.2935%	0.00%	1.3556%
		# Loans			5455	1312	-	67
		% # Loans			1.2327%	0.3028%	0.00%	1.5255%
FORECLOSURE		Balance		-	-	~~379~~863,~~507~~830.1657	~~720~~1,~~451~~336,752.1787	12,~~099~~200,~~958~~583.3344
		% Balance		0.00%	0.00%	0.0615%	0.1223%	0.1837%
		# Loans		-	-	310	813	1123
		% # Loans		0.00%	0.00%	0.0723%	0.1830%	0.2553%
BANKRUPTCY		Balance		1,~~101~~731,~~955~~195.6148	-119,468.28	-	-451,568.71	12,~~101~~302,~~955~~232.6147
		% Balance		0.1829%	0.0002%	0.00%	0.0008%	0.1839%
		# Loans		916	-1	-	-4	921
		% # Loans		0.2037%	0.0002%	0.00%	0.0009%	0.2049%
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		1,~~101~~731,~~955~~195.6148	67,~~386~~226,~~947~~414.7018	2,~~097~~949,~~093~~491.1243	~~720~~1,~~451~~788,321.1758	1013,~~306~~695,~~447~~422.6067
		% Balance		0.1829%	1.0623%	0.3550%	0.1230%	12.7132%
		# Loans		916	5456	1622	817	87111
		% # Loans		0.2037%	1.2329%	0.3651%	0.1839%	12.9857%
Note: <1 Payment = 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 11 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Delinquency Report for November 25, 2003 Distribution
	Delinquency Report for December 26, 2003 Distribution
	Delinquency Report - Group 1 Group
				<1 PAYMENT	1 PAYMENT	2 PAYMENTS	3+ PAYMENTS	TOTAL
DELINQUENT		Balance			34,~~901~~331,~~824~~419.6855	1731,~~216,054~~610.9151	-	5,~~117~~063,~~879~~030.5906
		% Balance			1.1025%	0.3421%	0.00%	1.4546%
		# Loans			3230	86	-	4036
		% # Loans			1.2520%	0.3124%	0.00%	1.5744%
FORECLOSURE		Balance		-	-	~~267~~687,~~937~~926.3286	~~359~~837,~~377~~712.0975	~~627~~1,~~314~~525,639.4161
		% Balance		0.00%	0.00%	0.0820%	0.1024%	0.1844%
		# Loans		-	-	28	37	515
		% # Loans		0.00%	0.00%	0.0832%	0.1228%	0.2060%
BANKRUPTCY		Balance		~~612~~945,~~863~~121.2030	-119,468.28	-	-272,619.24	~~612~~1,~~863~~337,208.2082
		% Balance		0.1727%	0.0003%	0.00%	0.0008%	0.1739%
		# Loans		58	-1	-	-2	511
		% # Loans		0.2032%	0.0004%	0.00%	0.0008%	0.2044%
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		~~612~~945,~~863~~121.2030	34,~~901~~450,~~824~~887.6883	1,~~483~~419,~~992~~537.2337	~~359~~1,~~377~~110,331.0999	67,~~358~~925,~~057~~878.2049
		% Balance		0.1727%	1.1029%	0.4241%	0.1032%	12.8029%
		# Loans		58	3231	1014	39	5062
		% # Loans		0.2032%	1.2524%	0.3956%	0.1236%	12.9648%
Note: <1 Payment = 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 12 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Delinquency Report for November 25, 2003 Distribution
	Delinquency Report for December 26, 2003 Distribution
	Delinquency Report - Group 2 Group
				<1 PAYMENT	1 PAYMENT	2 PAYMENTS	3+ PAYMENTS	TOTAL
DELINQUENT		Balance			2,~~485~~775,~~123~~526.0235	~~501~~1,~~531~~354,050.0535	-	24,~~986~~129,~~654~~576.0770
		% Balance			1.0114%	0.2056%	0.00%	1.2170%
		# Loans			2225	56	-	2731
		% # Loans			1.1937%	0.2733%	0.00%	1.4670%
FORECLOSURE		Balance		-	-	~~111~~175,~~569~~903.8471	~~361~~499,~~074~~040.0812	~~472~~674,~~643~~943.9283
		% Balance		0.00%	0.00%	0.0507%	0.1520%	0.1928%
		# Loans		-	-	12	56	68
		% # Loans		0.00%	0.00%	0.0511%	0.2733%	0.3244%
BANKRUPTCY		Balance		~~489~~786,~~092~~074.4118	-	-	-178,949.47	~~489~~965,~~092~~023.4165
		% Balance		0.2032%	0.00%	0.00%	0.0007%	0.2040%
		# Loans		48	-	-	-2	410
		% # Loans		0.2244%	0.00%	0.00%	0.0011%	0.2255%
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		~~489~~786,~~092~~074.4118	2,~~485~~775,~~123~~526.0235	~~613~~1,~~100~~529,954.8906	~~361~~677,~~074~~989.0859	35,~~948~~769,~~390~~544.4018
		% Balance		0.2032%	1.0114%	0.2563%	0.1528%	12.6037%
		# Loans		48	2225	68	58	3749
		% # Loans		0.2244%	1.1937%	0.3244%	0.2744%	2.0069%
Note: <1 Payment = 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 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	REO Report for November 25, 2003 Distribution
	REO Report for December 26, 2003 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				Loan Group 2 = Group 2 Group; REO Book Value = 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 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Foreclosure Report for November 25, 2003 Distribution
	Foreclosure Report for December 26, 2003 Distribution
	Foreclosure Report - Mortgage Loans that Become Foreclosure During Current Distribution
SUMMARY				LOAN GROUP
Total Loan Count = 5				Loan Group 1 = Group 1 Group
Total Loan Count = 16				Loan Group 1 = Group 1 Group
Total Original Principal Balance = 643,800.00				Loan Group 2 = Group 2 Group
Total Original Principal Balance = 1,644,378.00				Loan Group 2 = Group 2 Group
Total Current Balance = 640,445.37
Total Current Balance = 1,634,381.22
Loan Number		Original	Stated		Current	State &
&		Principal	Principal	Paid to	Note	LTV at	Original	Origination
Loan Group		Balance	Balance	Date	Rate	Origination	Term	Date
126968494 1		235,200.00	234,031.41	Jun-01-03	8.500%	NJ - 60.00%	360	Feb-28-03
122544794 1		55,000.00	54,641.93	Aug-01-03	10.375%	MI - 76.39%	360	Aug-30-02
127331387 1		224,000.00	223,067.21	Jul-01-03	9.375%	NJ - 80.00%	360	Feb-24-03
126956002 1		161,000.00	160,073.77	Aug-01-03	8.375%	CO - 70.00%	360	Feb-04-03
127932788 1		45,600.00	44,870.11	Jul-01-03	10.875%	TX - 80.00%	180	Mar-21-03
127102804 1		60,750.00	60,484.37	Aug-01-03	11.875%	NE - 75.00%	360	Feb-21-03
126725357 2		112,000.00	111,569.84	Jul-01-03	9.750%	MO - 73.68%	360	Feb-21-03
127286896 1		76,800.00	76,483.36	Aug-01-03	10.375%	IL - 80.00%	360	Feb-24-03
128137247 2		27,000.00	26,906.80	Jun-01-03	9.625%	OH - 30.00%	360	Mar-28-03
127528164 1		45,500.00	45,300.99	Aug-01-03	9.125%	MI - 70.00%	360	Mar-06-03
127783249 1		156,000.00	155,005.56	Aug-01-03	7.250%	NE - 75.36%	360	Mar-26-03
127922664 1		44,838.00	44,629.33	Aug-01-03	9.500%	TX - 90.00%	360	Mar-28-03
127965853 1		91,600.00	91,307.55	Aug-01-03	10.625%	NM - 80.00%	360	Mar-17-03
126820091 2		63,750.00	63,507.49	Aug-01-03	10.375%	NC - 85.00%	360	Feb-06-03
128298908 2		114,750.00	112,396.22	Aug-01-03	9.875%	TX - 90.00%	180	Apr-02-03
5481643 3		110,400.00	110,037.63	Jul-01-03	9.150%	FL - 80.00%	360	Jun-04-03
5543738 3		80,100.00	79,815.50	Jul-01-03	8.700%	IN - 89.00%	360	May-28-03
5625130 3		256,000.00	254,864.79	Jul-01-03	7.600%	IL - 80.00%	360	May-13-03
5573378 4		208,000.00	207,001.29	Jul-01-03	7.990%	CA - 80.00%	360	May-06-03
304179897 4		50,000.00	49,815.00	Jul-01-03	8.500%	CO - 26.88%	360	May-07-03
304244479 4		69,890.00	69,016.44	Jul-01-03	7.750%	FL - 84.20%	240	May-05-03
				Page 15 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Prepayment Report for November 25, 2003 Distribution
	Prepayment Report for December 26, 2003 Distribution
	Prepayment Report - Voluntary Prepayments
VOLUNTARY PREPAYMENTS						GROUP 2	GROUP 1	TOTAL
	Current
	Number of Paid in Full Loans					2028	4350	6378
	Number of Repurchased Loans					-	-	-
	Total Number of Loans Prepaid in Full					2028	4350	6378
	Paid in Full Balance					23,~~396~~428,~~094~~717.9371	7,~~115~~643,472.9471	911,~~511~~072,~~567~~190.8742
	Repurchased Loans Balance					-	-	-
	Curtailments Amount					614,~~644~~458.7327	1817,~~906~~518.1030	2531,~~550~~976.8357
	Total Prepayment Amount					23,~~402~~443,~~739~~175.6698	7,~~134~~660,~~379~~991.0401	911,~~537~~104,~~118~~166.7099
	Cumulative
	Number of Paid in Full Loans					5583	92142	~~147~~225
	Number of Repurchased Loans					-	-	-
	Total Number of Loans Prepaid in Full					5583	92142	~~147~~225
	Paid in Full Balance					69,~~436~~865,~~666~~384.8859	1522,~~043~~687,~~815~~288.9162	2132,~~480~~552,~~482~~673.7921
	Repurchased Loans Balance					-	-	-
	Curtailments Amount					3751,~~288~~746.1845	7593,~~851~~369.3868	~~113~~145,~~139~~116.5613
	Total Prepayment Amount					69,~~473~~917,~~955~~131.0604	1522,~~119~~780,~~667~~658.2930	2132,~~593~~697,~~622~~789.3534
SPACE INTENTIONALLY LEFT BLANK
Total Prepayments by Groups (in thousands of dollars)					Total Prepayments (in thousands of dollars)
				Page 16 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Prepayment Report for November 25, 2003 Distribution
	Prepayment Report for December 26, 2003 Distribution
	Prepayment Report - Voluntary Prepayments
VOLUNTARY PREPAYMENT RATES						GROUP 2	GROUP 1	TOTAL
	SMM					01.9639%	12.9817%	1.5685%
	3 Months Avg SMM					01.8610%	1.3876%	1.1749%
	12 Months Avg SMM
	Avg SMM Since Cut-off					0.8699%	1.3858%	1.1734%
	CPR					1015.9651%	2123.3011%	1720.2106%
	3 Months Avg CPR					912.8247%	1519.4023%	~~13.~~16.52%
	12 Months Avg CPR
	Avg CPR Since Cut-off					911.8228%	1517.40%	1314.1694%
	PSA					~~898~~1094.3391%	~~1723~~1610.0051%	~~1400~~1405.0275%
	3 Months Avg PSA Approximation					~~960~~1022.9233%	~~1482~~1555.8617%	~~1275~~1343.4649%
	12 Months Avg PSA Approximation
	Avg PSA Since Cut-off Approximation					~~960~~1006.9238%	~~1482~~1529.8624%	~~1275~~1321.4636%
	Group 1
	Group 2
CPR by Groups					Total CPR
PSA by Groups					Total PSA
				Page 17 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Prepayment Report for November 25, 2003 Distribution
	Prepayment Report for December 26, 2003 Distribution
	Prepayment Report - Voluntary Prepayments
	Group 1
	Group 2
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 18 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Prepayment Detail Report for November 25, 2003 Distribution
	Prepayment Detail Report for December 26, 2003 Distribution
	Prepayment Detail Report - Loans Prepaid in Full During Current Distribution
SUMMARY						LOAN GROUP
Total Loan Count = 63						Loan Group 1 = Group 1 Group
Total Loan Count = 78						Loan Group 1 = Group 1 Group
Total Original Principal Balance = 9,548,389.00						Loan Group 2 = Group 2 Group
Total Original Principal Balance = 11,121,037.00						Loan Group 2 = Group 2 Group
Total Prepayment Amount = 9,511,567.87
Total Prepayment Amount = 11,072,190.42
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
124140112 1			240,000.00	238,300.94	Nov-01-03	9.750%	MA - 54.55%	Paid Off - 360	Oct-25-02
124955659 1			182,400.00	181,412.15	Nov-03-03	10.125%	MA - 80.00%	Paid Off - 360	Oct-24-02
125763383 1			186,000.00	185,033.50	Nov-01-03	8.500%	MA - 79.83%	Paid Off - 360	Jan-09-03
126248145 1			137,675.00	137,189.71	Nov-03-03	10.250%	DC - 37.21%	Paid Off - 360	Feb-21-03
125831826 1			104,000.00	103,528.60	Nov-01-03	8.950%	MD - 80.00%	Paid Off - 360	Jan-27-03
126442953 1			270,000.00	268,596.61	Nov-18-03	8.875%	IL - 67.50%	Paid Off - 360	Jan-31-03
125963629 1			87,100.00	86,844.50	Nov-01-03	9.625%	SC - 65.00%	Paid Off - 360	Mar-04-03
126645951 1			46,420.00	46,290.25	Nov-07-03	11.250%	NC - 55.00%	Paid Off - 360	Feb-24-03
126486612 1			149,444.00	148,979.47	Nov-01-03	10.750%	WI - 80.00%	Paid Off - 360	Feb-03-03
126706167 1			208,000.00	206,992.45	Nov-26-03	8.625%	CA - 51.36%	Paid Off - 360	Feb-07-03
126556265 1			217,600.00	216,791.77	Nov-01-03	9.250%	NJ - 85.00%	Paid Off - 360	Feb-13-03
126758127 1			127,500.00	127,070.71	Nov-28-03	10.375%	MN - 74.13%	Paid Off - 360	Feb-21-03
126768076 1			79,900.00	79,553.83	Nov-01-03	8.500%	WI - 85.00%	Paid Off - 360	Feb-14-03
126992171 1			106,000.00	105,710.15	Nov-10-03	11.750%	OR - 83.46%	Paid Off - 360	Feb-14-03
126838143 1			158,500.00	158,047.29	Nov-01-03	10.500%	NV - 80.46%	Paid Off - 360	Feb-11-03
127063212 1			137,140.00	136,190.20	Nov-17-03	10.500%	AZ - 63.79%	Paid Off - 360	Feb-18-03
127020493 1			237,000.00	235,745.43	Nov-01-03	7.500%	CA - 75.00%	Paid Off - 360	Feb-14-03
127067445 1			272,000.00	270,821.72	Nov-20-03	8.500%	CT - 85.00%	Paid Off - 360	Mar-14-03
127057628 1			165,000.00	164,575.87	Nov-01-03	10.250%	PA - 34.74%	Paid Off - 360	Mar-31-03
127103794 1			93,600.00	93,284.83	Nov-14-03	10.375%	VA - 80.00%	Paid Off - 360	Feb-25-03
127085546 1			79,900.00	79,710.93	Nov-01-03	11.375%	NH - 85.00%	Paid Off - 360	Feb-28-03
127200632 1			150,000.00	149,471.04	Nov-19-03	9.500%	MN - 75.00%	Paid Off - 360	Mar-12-03
127236362 1			144,500.00	144,108.73	Nov-01-03	10.750%	MN - 85.00%	Paid Off - 360	Feb-17-03
127430874 1			65,000.00	64,750.32	Nov-14-03	9.750%	MN - 57.02%	Paid Off - 360	Feb-21-03
127360592 1			271,908.00	270,973.93	Nov-01-03	9.625%	CA - 85.00%	Paid Off - 360	Feb-25-03
127456408 1			166,400.00	165,497.15	Nov-28-03	7.375%	MA - 80.00%	Paid Off - 360	Mar-25-03
127553154 1			104,000.00	103,739.66	Nov-01-03	10.375%	FL - 80.00%	Paid Off - 360	Mar-19-03
127632065 1			93,675.00	92,969.21	Nov-03-03	10.950%	MO - 75.00%	Paid Off - 360	Mar-10-03
127559409 1			239,000.00	237,788.79	Nov-01-03	7.375%	MA - 60.51%	Paid Off - 360	Mar-26-03
127681138 1			165,750.00	165,289.06	Nov-19-03	10.625%	MA - 75.00%	Paid Off - 360	Mar-25-03
127561538 1			161,500.00	160,959.51	Nov-01-03	8.990%	NC - 85.00%	Paid Off - 360	Mar-11-03
127684934 1			157,500.00	157,091.49	Nov-04-03	10.950%	FL - 75.00%	Paid Off - 360	Mar-17-03
127616407 1			72,100.00	71,846.47	Nov-01-03	8.750%	CA - 70.00%	Paid Off - 360	Mar-11-03
127703817 1			188,300.00	187,420.03	Nov-18-03	8.375%	CA - 70.00%	Paid Off - 360	Mar-17-03
127617975 1			116,000.00	115,500.77	Nov-01-03	7.750%	SD - 42.18%	Paid Off - 360	Mar-21-03
127728889 1			132,600.00	132,118.95	Nov-10-03	8.750%	TN - 79.88%	Paid Off - 360	Mar-28-03
127622264 1			241,200.00	239,984.49	Nov-01-03	6.950%	NY - 90.00%	Paid Off - 360	Mar-28-03
127747012 1			249,000.00	248,180.63	Nov-10-03	10.125%	CO - 75.00%	Paid Off - 360	Mar-21-03
127699411 1			85,000.00	84,648.53	Nov-01-03	7.950%	MO - 85.00%	Paid Off - 360	Mar-21-03
127759025 1			90,525.00	90,132.87	Nov-11-03	8.500%	MO - 85.00%	Paid Off - 360	Mar-14-03
127827186 1			124,100.00	123,616.91	Nov-01-03	8.250%	IL - 85.00%	Paid Off - 360	Mar-25-03
127800076 1			60,000.00	59,837.56	Nov-21-03	10.750%	OH - 70.59%	Paid Off - 360	Mar-15-03
128028651 1			114,000.00	113,696.83	Nov-01-03	10.250%	ME - 51.82%	Paid Off - 360	Mar-26-03
127846145 1			172,265.00	171,480.02	Nov-10-03	8.250%	OH - 90.00%	Paid Off - 360	Mar-24-03
128124575 1			63,700.00	63,148.32	Nov-01-03	8.625%	WI - 70.00%	Paid Off - 360	Mar-21-03
127848398 1			52,000.00	51,870.11	Nov-03-03	11.125%	MO - 78.79%	Paid Off - 360	Mar-24-03
128170974 1			269,500.00	268,424.19	Nov-01-03	8.125%	MT - 70.00%	Paid Off - 360	Mar-27-03
127884286 1			112,000.00	111,605.07	Nov-06-03	9.500%	IL - 89.60%	Paid Off - 360	Mar-26-03
128187507 1			256,700.00	255,996.89	Nov-01-03	9.950%	CA - 85.00%	Paid Off - 360	Mar-26-03
127900256 1			100,800.00	100,372.87	Nov-06-03	8.625%	OH - 90.00%	Paid Off - 360	Mar-24-03
128310943 1			84,000.00	83,638.46	Nov-01-03	7.750%	FL - 49.33%	Paid Off - 360	Mar-31-03
127991222 1			118,000.00	117,304.89	Nov-05-03	6.990%	MN - 50.00%	Paid Off - 360	Mar-21-03
128327855 1			190,000.00	188,496.07	Nov-01-03	6.750%	NJ - 60.32%	Paid Off - 360	Mar-26-03
128044682 1			31,570.00	31,484.45	Nov-28-03	10.750%	WI - 70.00%	Paid Off - 360	Mar-31-03
128337292 1			276,000.00	275,231.95	Nov-01-03	9.875%	VA - 80.00%	Paid Off - 360	Mar-27-03
128356326 1			103,500.00	103,062.87	Nov-04-03	8.625%	VA - 94.95%	Paid Off - 360	Mar-28-03
866761 2			153,600.00	152,282.49	Nov-01-03	7.125%	VA - 80.00%	Paid Off - 360	Mar-27-03
128385911 1			90,000.00	89,519.60	Nov-25-03	7.625%	MN - 52.94%	Paid Off - 360	Mar-31-03
124029232 2			62,000.00	61,729.02	Nov-01-03	9.250%	IA - 53.91%	Paid Off - 360	Jan-29-03
128390812 1			124,950.00	124,320.58	Nov-28-03	7.750%	IL - 85.00%	Paid Off - 360	Apr-02-03
125565622 2			213,750.00	212,610.27	Nov-01-03	8.750%	MD - 75.00%	Paid Off - 360	Dec-13-02
305546 2			264,000.00	262,411.77	Nov-28-03	10.750%	ID - 80.00%	Paid Off - 360	Jul-03-02
126499375 2			90,000.00	89,387.27	Nov-01-03	9.750%	MO - 66.67%	Paid Off - 360	Feb-17-03
123973653 2			70,800.00	70,636.68	Nov-06-03	12.125%	OH - 73.75%	Paid Off - 360	Feb-13-03
126510171 2			144,000.00	143,536.67	Nov-01-03	9.950%	ND - 70.24%	Paid Off - 360	Feb-24-03
124599523 2			140,000.00	139,307.88	Nov-26-03	10.125%	NJ - 65.12%	Paid Off - 360	Nov-14-02
126738061 2			89,250.00	89,007.48	Nov-01-03	11.375%	NC - 75.00%	Paid Off - 360	Jan-31-03
126670025 2			134,400.00	133,796.99	Nov-11-03	9.000%	SC - 80.00%	Paid Off - 360	Feb-18-03
126762046 2			104,492.00	104,149.46	Nov-01-03	10.500%	FL - 70.00%	Paid Off - 360	Jan-31-03
126793918 2			34,000.00	33,869.37	Nov-21-03	9.750%	TX - 85.00%	Paid Off - 360	Feb-10-03
127104859 2			92,500.00	92,060.41	Nov-01-03	7.250%	WI - 74.00%	Paid Off - 360	Mar-25-03
126948264 2			123,000.00	122,107.52	Nov-28-03	8.250%	PA - 73.65%	Paid Off - 360	Mar-27-03
127763076 2			93,415.00	93,153.15	Nov-01-03	10.750%	OH - 85.00%	Paid Off - 360	Mar-07-03
126984491 2			90,100.00	89,520.25	Nov-04-03	9.950%	FL - 85.00%	Paid Off - 360	Feb-14-03
127876761 2			144,000.00	143,644.33	Nov-01-03	10.875%	NC - 80.00%	Paid Off - 360	Mar-21-03
127270544 2			400,000.00	398,625.90	Nov-05-03	9.625%	OH - 94.99%	Paid Off - 360	Mar-28-03
127948966 2			78,625.00	78,461.92	Nov-01-03	11.250%	IN - 85.00%	Paid Off - 360	Mar-31-03
127442234 2		FCL	120,700.00	120,316.75	Nov-28-03	10.000%	CT - 85.00%	Paid Off - 360	Mar-24-03
128167228 2			399,000.00	397,653.70	Nov-01-03	8.950%	CA - 52.16%	Paid Off - 360	Mar-21-03
127568624 2			67,500.00	67,312.29	Nov-04-03	10.625%	MO - 75.00%	Paid Off - 360	Mar-11-03
128265337 2			118,000.00	117,761.80	Nov-01-03	11.375%	LA - 80.00%	Paid Off - 360	Mar-26-03
127591931 2			150,000.00	149,510.97	Nov-24-03	9.875%	SC - 69.12%	Paid Off - 360	Mar-26-03
128309911 2			85,500.00	85,322.41	Nov-01-03	10.375%	OR - 57.38%	Paid Off - 360	Apr-02-03
127614691 2			40,000.00	39,866.09	Nov-21-03	9.750%	ID - 32.00%	Paid Off - 360	Mar-18-03
128345501 2			63,000.00	62,739.49	Nov-01-03	7.950%	TX - 75.00%	Paid Off - 360	Mar-27-03
127628899 2			128,800.00	128,441.84	Nov-20-03	10.625%	MN - 80.00%	Paid Off - 360	Mar-27-03
5215404 3			100,500.00	100,129.79	Nov-01-03	7.600%	NC - 62.81%	Paid Off - 360	May-06-03
127730059 2			140,000.00	139,506.33	Nov-14-03	9.500%	NJ - 84.85%	Paid Off - 360	Mar-25-03
					Page 19 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Prepayment Detail Report for November 25, 2003 Distribution
	Prepayment Detail Report for December 26, 2003 Distribution
	Prepayment Detail Report - Loans Prepaid in Full During Current Distribution
Loan Number			Original			Current	State &
&		Loan	Principal	Prepayment	Prepayment	Note	LTV at	Original	Origination
Loan Group		Status	Balance	Amount	Date	Rate	Origination	Term	Date
5348781 3			228,300.00	227,864.13	Nov-01-03	9.700%	MA - 68.35%	Paid Off - 360	May-29-03
127981447 2			102,000.00	101,262.67	Nov-04-03	7.375%	IL - 67.55%	Paid Off - 360	Mar-26-03
5452333 3			136,000.00	135,335.48	Nov-01-03	6.150%	CA - 77.71%	Paid Off - 360	May-07-03
128074549 2			76,500.00	76,197.71	Nov-28-03	8.950%	KS - 85.00%	Paid Off - 180	Mar-26-03
5460069 3			284,000.00	282,942.50	Nov-01-03	6.400%	CA - 78.89%	Paid Off - 360	May-23-03
128131844 2			113,750.00	113,147.85	Nov-13-03	7.500%	OH - 65.00%	Paid Off - 360	Mar-27-03
5496896 3			270,000.00	268,403.32	Nov-01-03	8.000%	TN - 90.00%	Paid Off - 360	May-30-03
128275518 2			48,500.00	48,236.84	Nov-11-03	7.375%	MI - 64.67%	Paid Off - 360	Mar-28-03
5499372 3			185,000.00	184,311.51	Nov-01-03	7.550%	NY - 74.00%	Paid Off - 360	May-06-03
128280146 2			41,500.00	40,572.62	Nov-06-03	8.950%	TX - 60.14%	Paid Off - 180	Mar-26-03
5614899 3			106,250.00	105,880.96	Nov-01-03	6.750%	CA - 85.00%	Paid Off - 360	May-19-03
128455672 2			67,500.00	67,159.97	Nov-28-03	7.750%	AZ - 75.00%	Paid Off - 360	Mar-27-03
5641985 3			154,755.00	154,322.61	Nov-01-03	7.850%	WA - 90.00%	Paid Off - 360	May-23-03
5223261 3			57,793.00	57,617.48	Dec-01-03	8.600%	PA - 84.99%	Paid Off - 360	May-22-03
5644070 3			154,400.00	153,973.59	Nov-01-03	8.663%	FL - 80.00%	Paid Off - 360	May-30-03
5224861 3			189,600.00	188,688.23	Dec-01-03	7.200%	CA - 79.00%	Paid Off - 360	May-07-03
5652898 3			150,600.00	150,252.72	Nov-01-03	10.050%	CA - 55.78%	Paid Off - 360	May-27-03
5229324 3			225,000.00	223,919.62	Dec-01-03	7.990%	MN - 77.05%	Paid Off - 360	Apr-01-03
5704693 3			119,000.00	118,706.95	Nov-01-03	9.600%	CA - 64.67%	Paid Off - 360	Jun-02-03
5465893 3			96,000.00	95,781.76	Dec-01-03	9.950%	FL - 68.57%	Paid Off - 360	Jun-02-03
5706467 3			66,800.00	66,587.58	Nov-01-03	7.200%	CA - 80.00%	Paid Off - 360	Jun-02-03
5472261 3			229,000.00	228,205.57	Dec-01-03	7.900%	CA - 84.81%	Paid Off - 360	May-21-03
302289523 3			189,000.00	188,206.61	Nov-01-03	7.875%	CA - 90.00%	Paid Off - 360	Mar-12-03
5555000 3			212,400.00	211,663.16	Dec-01-03	7.900%	CO - 90.00%	Paid Off - 360	Jun-02-03
303041005 3			256,000.00	255,084.60	Nov-01-03	6.600%	CA - 80.00%	Paid Off - 360	May-16-03
5568935 3			72,000.00	71,746.46	Dec-01-03	7.880%	AZ - 80.00%	Paid Off - 360	Jun-05-03
303253853 3			225,250.00	224,557.96	Nov-01-03	8.500%	CA - 85.00%	Paid Off - 360	Apr-29-03
5577586 3			153,000.00	152,302.90	Dec-01-03	6.750%	CA - 85.00%	Paid Off - 360	May-16-03
5486211 4			40,000.00	39,924.34	Nov-01-03	9.790%	AZ - 40.00%	Paid Off - 360	May-08-03
5597625 3			320,000.00	319,046.54	Dec-01-03	8.650%	NH - 70.80%	Paid Off - 360	May-19-03
5524164 4			112,000.00	111,676.40	Nov-01-03	8.800%	CA - 80.00%	Paid Off - 360	May-07-03
5642043 3			103,500.00	103,165.44	Dec-01-03	8.250%	CA - 90.00%	Paid Off - 360	Jun-03-03
5670012 4			45,000.00	44,901.60	Nov-01-03	9.050%	LA - 49.45%	Paid Off - 360	May-23-03
5646391 3			102,500.00	100,840.65	Dec-01-03	6.850%	FL - 63.27%	Paid Off - 180	May-30-03
5670187 4			121,000.00	120,732.06	Nov-01-03	8.990%	CA - 71.18%	Paid Off - 360	May-29-03
5648297 3			222,500.00	221,359.99	Dec-01-03	5.900%	CA - 68.57%	Paid Off - 360	Jun-03-03
5672627 4			155,750.00	155,360.66	Nov-01-03	8.400%	TX - 89.00%	Paid Off - 360	May-29-03
5660688 3			138,750.00	138,202.71	Dec-01-03	7.400%	FL - 75.00%	Paid Off - 360	May-27-03
5660858 3			219,300.00	218,388.86	Dec-01-03	6.990%	CA - 85.00%	Paid Off - 360	Jun-03-03
5683440 3			175,000.00	174,293.54	Dec-01-03	7.600%	MD - 87.50%	Paid Off - 360	May-20-03
5711983 3			268,000.00	266,775.38	Dec-01-03	6.500%	CA - 80.00%	Paid Off - 360	May-20-03
5748968 3			193,500.00	193,072.42	Dec-01-03	9.000%	IL - 90.00%	Paid Off - 360	Jun-04-03
5793572 3			210,930.00	209,867.46	Dec-01-03	6.400%	CA - 79.00%	Paid Off - 360	May-30-03
5825334 3			283,500.00	282,324.41	Dec-01-03	7.000%	CA - 90.00%	Paid Off - 360	Jun-02-03
304082723 3			199,920.00	198,872.58	Dec-01-03	6.750%	PA - 80.00%	Paid Off - 360	Apr-30-03
5126851 4			150,000.00	149,413.61	Dec-01-03	7.300%	MA - 50.85%	Paid Off - 360	May-15-03
5215110 4			126,700.00	126,268.05	Dec-01-03	8.900%	IL - 70.00%	Paid Off - 360	Apr-21-03
5251559 4			121,125.00	120,660.96	Dec-01-03	9.100%	FL - 100.00%	Paid Off - 360	Apr-04-03
5279704 4			93,000.00	92,676.36	Dec-01-03	8.800%	NY - 27.35%	Paid Off - 360	May-08-03
5284546 4			71,250.00	70,947.50	Dec-01-03	7.850%	MO - 75.00%	Paid Off - 360	Apr-29-03
5311225 4			73,500.00	73,316.35	Dec-01-03	9.500%	FL - 75.00%	Paid Off - 360	May-22-03
5587468 4			132,549.00	132,303.07	Dec-01-03	10.900%	NY - 56.40%	Paid Off - 360	May-13-03
304179393 4			323,100.00	321,323.52	Dec-01-03	6.500%	CA - 90.00%	Paid Off - 360	Apr-24-03
					Page 20 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Realized Loss Report for November 25, 2003 Distribution
	Realized Loss Report for December 26, 2003 Distribution
	Realized Loss Report - Collateral
COLLATERAL REALIZED LOSSES						GROUP 2	GROUP 1	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 Loss Amount may include adjustments to loans liquidated in prior periods.
	Applied Realized Loss Amount Current							0.00
	Applied Realized Loss Amount Aggregate							0.00
	Cumulative Loss Percentage							0.00%
	Group 1						3 Months Moving Average
	Group 2
Collateral Loss Severity Approximation by Groups					Collateral Loss Severity Approximation
				Page 21 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Realized Loss Report for November 25, 2003 Distribution
	Realized Loss Report for December 26, 2003 Distribution
	Realized Loss Report - Collateral
DEFAULT SPEEDS						GROUP 2	GROUP 1	TOTAL
	MDR					0.00%	0.00%	0.00%
	3 Months Avg MDR					0.00%	0.00%	0.00%
	12 Months Avg MDR
	Avg MDR Since Cut-off					0.00%	0.00%	0.00%
	CDR					0.00%	0.00%	0.00%
	3 Months Avg CDR					0.00%	0.00%	0.00%
	12 Months Avg CDR
	Avg CDR Since Cut-off					0.00%	0.00%	0.00%
	SDA					0.00%	0.00%	0.00%
	3 Months Avg SDA Approximation					0.00%	0.00%	0.00%
	12 Months Avg SDA Approximation
	Avg SDA Since Cut-off Approximation					0.00%	0.00%	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
	Group 1
	Group 2
CDR by Groups					Total CDR
SDA by Groups					Total SDA
				Page 22 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Realized Loss Report for November 25, 2003 Distribution
	Realized Loss Report for December 26, 2003 Distribution
	Realized Loss Report - Collateral
	Group 1
	Group 2
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 23 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Realized Loss Detail Report for November 25, 2003 Distribution
	Realized Loss Detail Report for December 26, 2003 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						Loan Group 2 = Group 2 Group
Total Prior Principal Balance = 0.00
Total Realized Loss Amount = 0.00
Total Net Liquidation Proceeds = 0.00
Note: Total Realized Loss Amount may include adjustments to loans liquidated in prior periods.
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 24 of 25				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Triggers, Adj. Rate Cert. and Miscellaneous Report for November 25, 2003 Distribution
	Triggers, Adj. Rate Cert. and Miscellaneous Report for December 26, 2003 Distribution
	Triggers, Adj. Rate Cert. and Miscellaneous Report
TRIGGER EVENTS						GROUP 2	GROUP 1	TOTAL
	Has a Stepdown Date occurred?							No
	Does Trigger Event exist?							No
	(i) Does (a) equal or exceed (b)?							No
	(a) the quotient of (x) over (y)							0.2146%
	(x) 60+ DQ 3Mo Avg Bal							12,~~260~~731,~~675~~335.3140
	(y) ending Stated Prin Bal							~~601~~589,~~060~~471,~~726~~621.2774
	(b) 40% of Prior Period Senior Enhancement Perc							7.7689%
	(ii) Does (x) divided by (y) exceed Loss Trigger Threshold Percentage?							No
	(x) Aggregate Realized Losses to date							0.00
	(y) Cut-off Balance							624,127,306.40
	Loss Trigger Threshold Percentage							100.00%
	Senior Enhancement Percentage (Prior)							19.4173%
ADJUSTABLE RATE CERTIFICATE INFORMATION						GROUP 2	GROUP 1	TOTAL
SPACE INTENTIONALLY LEFT BLANK
ADDITIONAL INFORMATION						GROUP 2	GROUP 1	TOTAL
	Basis Risk Carry Forward Amount							0.00
				Page 25 of 25				© COPYRIGHT 2003 Deutsche Bank

Filing Compare · MORGAN STANLEY ABS CAPITAL I INC TRUST 2003-HE2