

                                    UNITED STATES
                          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): July 25, 2005
                             (Date of earliest event reported)


                                MORGAN STANLEY ABS CAPITAL I INC.
              (as Depositor under the Pooling and Servicing Agreement, dated as
              March 1, 2005, providing for the issuance of Mortgage Pass-Through
                              Certificates, Series 2005-HE2)
                      (Exact name of registrant as specified in charter)



                                         DELAWARE
                     (State or Other Jurisdiction of Incorporation)

               333-113543-28                        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


             (Former name or former address, if changed since last report.)


     Check the appropriate box below if the Form 8-K filing is intended to
     simultaneously satisfy the filing obligation of the registrant under any
     of the following provisions (see General Instruction A.2. below):

     [  ] Written communications pursuant to Rule 425 under the Securities Act
     (17 CFR 230.425)

     [  ] Soliciting material pursuant to Rule 14a-12(b) under the Exchange Act
     (17 CFR 240.14a-12(b))

     [  ] Pre-commencement communications pursuant to Rule 14d-2(b) under the
     Exchange Act (17 CFR 240.14d-2(b))

     [  ] Pre-commencement communications pursuant to Rule 13e-4(c) under the
     Exchange Act (17 CFR 240.13e-4(c))


     Item 8.01 Other Events.

     This current report on Form 8-K relates to the monthly distribution reported to the holders of
     Morgan Stanley ABS Capital I Inc. Mortgage Pass-Through Certificates, Series 2005-HE2, which
     was made on March 1, 2005


     Item 9.01 Financial Statements and Exhibits.

     (c) Exhibits

     Exhibit No. Description

     99.1 Monthly Remittance Statement to the Certificateholders dated as of
     July 25, 2005.


                                  SIGNATURES


    Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly
    caused this report to be signed on behalf of the Registrant by the undersigned thereunto duly
    authorized.



     DEUTSCHE BANK NATIONAL TRUST COMPANY, IN ITS CAPACITY AS TRUSTEE UNDER THE
     POOLING AND SERVICING AGREEMENT ON BEHALF OF MORGAN STANLEY ABS CAPITAL I INC.,
     REGISTRANT



          Date:  Jul 28, 2005               By:  /s/  Katherine M. Wannenmacher
                                            Katherine M. Wannenmacher
                                            Vice President



                                   EXHIBIT INDEX

         DOCUMENT

         99.1 Monthly Remittance Statement to the Certificateholders dated as of
              July 25, 2005.



Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution

				External Parties						Table of Contents

													Page
				Seller
										1. Certificate Payment Report					2
				Morgan Stanley
										2. Collection Account Report					6

										3. Credit Enhancement Report					8
										4. Collateral Report					9
				Certificate Insurer(s)						5. Delinquency Report					12

										6. REO Report					16

										7. Foreclosure Report					17
										8. Prepayment Report					19
										9. Prepayment Detail Report					22

										10. Realized Loss Report					30
										11. Realized Loss Detail Report					33
				Servicer(s)
										12. Triggers and Adj. Cert. Report					34
				Option One
										13. Other Related Information					35



				Underwriter(s)
				Morgan Stanley


										Total Number of Pages					35


				Dates						Contacts

				Cut-Off Date:			March 01, 2005			Marion Hogan
				Close Date:			March 30, 2005			Administrator
				First Distribution Date:			April 25, 2005			(714) 247-6282
										marion.c.hogan@db.com

										Address:
										1761 East St. Andrew Place, Santa Ana, CA 92705
				Distribution Date:			July 25, 2005
										Factor Information:			(800) 735-7777
				Record Date:			June 30, 2005
										Main Phone Number:			(714) 247-6000

							July 22, 2005


										https://www.tss.db.com/invr






Page 1 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution
Certificate Payment Report
Current Period Distribution - REMIC II
					Prior												Current
	Class		Original		Principal						Total		Realized		Deferred		Principal

Class	Type	Cur	Face Value		Balance		Interest		Principal		Distribution		Loss		Interest		Balance


					(1)		(2)		(3)		(4)=(2)+(3)		(5)		(6)		(7)=(1)-(3)-(5)+(6)

A-1ss	SR	$	326,085,000.00		298,783,723.59		819,021.30		10,625,062.80		11,444,084.10		0.00		0.00		288,158,660.79

A-1mz	SR	$	81,522,000.00		74,696,618.11		207,662.08		2,656,290.13		2,863,952.21		0.00		0.00		72,040,327.98
A-2ss	SR	$	366,742,000.00		334,404,640.86		919,265.72		17,124,468.35		18,043,734.07		0.00		0.00		317,280,172.51
A-2mz	SR	$	40,750,000.00		37,156,881.72		103,009.86		1,902,760.21		2,005,770.07		0.00		0.00		35,254,121.51
A-3a	SR	$	240,000,000.00		201,887,234.24		534,567.34		20,586,709.65		21,121,276.99		0.00		0.00		181,300,524.59
A-3b	SR	$	191,902,000.00		191,902,000.00		527,531.35		0.00		527,531.35		0.00		0.00		191,902,000.00
A-3mz	SR	$	47,990,000.00		43,755,169.81		121,302.26		2,287,454.55		2,408,756.81		0.00		0.00		41,467,715.26
M-1	SUB	$	49,257,000.00		49,256,999.99		142,301.61		0.00		142,301.61		0.00		0.00		49,256,999.99
M-2	SUB	$	44,490,000.00		44,490,000.00		129,914.06		0.00		129,914.06		0.00		0.00		44,490,000.00
M-3	SUB	$	28,601,000.00		28,601,000.00		84,406.83		0.00		84,406.83		0.00		0.00		28,601,000.00
M-4	SUB	$	26,218,000.00		26,218,000.00		80,432.92		0.00		80,432.92		0.00		0.00		26,218,000.00
M-5	SUB	$	25,423,000.00		25,423,000.00		78,982.65		0.00		78,982.65		0.00		0.00		25,423,000.00
M-6	SUB	$	22,245,000.00		22,245,000.00		69,974.51		0.00		69,974.51		0.00		0.00		22,245,000.00
B-1	SUB	$	19,067,000.00		19,067,000.00		66,947.75		0.00		66,947.75		0.00		0.00		19,067,000.00
B-2	SUB	$	15,890,000.00		15,890,000.00		57,028.61		0.00		57,028.61		0.00		0.00		15,890,000.00
B-3	SUB	$	15,890,000.00		15,890,000.00		64,443.94		0.00		64,443.94		0.00		0.00		15,890,000.00
X	NOF	$	46,874,277.00		46,873,915.16		4,292,388.40		0.00		4,292,388.40		0.00		0.00		46,873,915.16
P	NOF	$	0.00		0.00		1,072,927.38		0.00		1,072,927.38		0.00		0.00		0.00
R	NOF/RES	$	0.00		0.00		0.00		0.00		0.00		0.00		0.00		0.00


Total			1,588,946,277.00		1,476,541,183.48		9,372,108.57		55,182,745.69		64,554,854.26		0.00		0.00		1,421,358,437.79






Page 2 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution

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)		(1)		(2)		(3)		(4)=(2)+(3)	(5)
A-1ss	06/27/05		07/24/05		A-Act/360		61744CMU7		326,085,000.00		916.275583		2.511680		32.583721		35.095402	883.691862
A-1mz	06/27/05		07/24/05		A-Act/360		61744CMV5		81,522,000.00		916.275583		2.547313		32.583721		35.131035	883.691862
A-2ss	06/27/05		07/24/05		A-Act/360		61744CMW3		366,742,000.00		911.825318		2.506573		46.693502		49.200075	865.131816
A-2mz	06/27/05		07/24/05		A-Act/360		61744CMX1		40,750,000.00		911.825318		2.527849		46.693502		49.221351	865.131816
A-3a	06/27/05		07/24/05		A-Act/360		61744CMY9		240,000,000.00		841.196809		2.227364		85.777957		88.005321	755.418852
A-3b	06/27/05		07/24/05		A-Act/360		61744CMZ6		191,902,000.00		1,000.000000		2.748962		0.000000		2.748962	1,000.000000
A-3mz	06/27/05		07/24/05		A-Act/360		61744CNA0		47,990,000.00		911.755987		2.527657		47.665233		50.192890	864.090753
M-1	06/27/05		07/24/05		A-Act/360		61744CNB8		49,257,000.00		1,000.000000		2.888962		0.000000		2.888962	1,000.000000
M-2	06/27/05		07/24/05		A-Act/360		61744CNC6		44,490,000.00		1,000.000000		2.920073		0.000000		2.920073	1,000.000000
M-3	06/27/05		07/24/05		A-Act/360		61744CND4		28,601,000.00		1,000.000000		2.951185		0.000000		2.951185	1,000.000000
M-4	06/27/05		07/24/05		A-Act/360		61744CNE2		26,218,000.00		1,000.000000		3.067851		0.000000		3.067851	1,000.000000
M-5	06/27/05		07/24/05		A-Act/360		61744CNF9		25,423,000.00		1,000.000000		3.106740		0.000000		3.106740	1,000.000000
M-6	06/27/05		07/24/05		A-Act/360		61744CNG7		22,245,000.00		1,000.000000		3.145629		0.000000		3.145629	1,000.000000
B-1	06/27/05		07/24/05		A-Act/360		61744CNH5		19,067,000.00		1,000.000000		3.511184		0.000000		3.511184	1,000.000000
B-2	06/27/05		07/24/05		A-Act/360		61744CNJ1		15,890,000.00		1,000.000000		3.588962		0.000000		3.588962	1,000.000000
B-3	06/27/05		07/24/05		A-Act/360		61744CNK8		15,890,000.00		1,000.000000		4.055629		0.000000		4.055629	1,000.000000
X	06/27/05		07/24/05		A-Act/360				46,874,277.00		999.992281		91.572365		0.000000		91.572365	999.992281
P	06/27/05		07/24/05		A-Act/360				0.00		0.000000		0.000000		0.000000		0.000000	0.000000
R	06/27/05		07/24/05		A-Act/360				0.00		0.000000		0.000000		0.000000		0.000000	0.000000




Page 3 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution

Distribution to Date - REMIC II
																	Current


	Original				Unscheduled		Scheduled		Total		Total		Realized		Deferred		Principal

Class	Face Value		Interest		Principal		Principal		Principal		Distribution		Loss		Interest		Balance
	(1)		(2)		(3)		(4)		(5)=(3)+(4)		(6)=(2)+(5)		(7)		(8)		(9)=(1)-(5)-(7)+(8)
A-1ss	326,085,000.00		3,324,347.60		36,838,016.10		1,088,323.11		37,926,339.21		41,250,686.81		0.00		0.00		288,158,660.79
A-1mz	81,522,000.00		843,773.51		9,209,588.74		272,083.28		9,481,672.02		10,325,445.53		0.00		0.00		72,040,327.98
A-2ss	366,742,000.00		3,744,422.74		48,083,171.17		1,378,656.32		49,461,827.49		53,206,250.23		0.00		0.00		317,280,172.51
A-2mz	40,750,000.00		419,853.13		5,342,691.11		153,187.38		5,495,878.49		5,915,731.62		0.00		0.00		35,254,121.51
A-3a	240,000,000.00		2,269,555.67		57,075,235.04		1,624,240.37		58,699,475.41		60,969,031.08		0.00		0.00		181,300,524.59
A-3b	191,902,000.00		2,053,418.78		0.00		0.00		0.00		2,053,418.78		0.00		0.00		191,902,000.00
A-3mz	47,990,000.00		495,216.66		6,341,810.24		180,474.50		6,522,284.74		7,017,501.40		0.00		0.00		41,467,715.26
M-1	49,257,000.00		555,882.54		0.01		0.00		0.01		555,882.55		0.00		0.00		49,256,999.99
M-2	44,490,000.00		507,868.97		0.00		0.00		0.00		507,868.97		0.00		0.00		44,490,000.00
M-3	28,601,000.00		330,208.59		0.00		0.00		0.00		330,208.59		0.00		0.00		28,601,000.00
M-4	26,218,000.00		315,477.29		0.00		0.00		0.00		315,477.29		0.00		0.00		26,218,000.00
M-5	25,423,000.00		310,042.41		0.00		0.00		0.00		310,042.41		0.00		0.00		25,423,000.00
M-6	22,245,000.00		274,900.40		0.00		0.00		0.00		274,900.40		0.00		0.00		22,245,000.00
B-1	19,067,000.00		264,751.99		0.00		0.00		0.00		264,751.99		0.00		0.00		19,067,000.00
B-2	15,890,000.00		225,802.48		0.00		0.00		0.00		225,802.48		0.00		0.00		15,890,000.00
B-3	15,890,000.00		256,787.98		0.00		0.00		0.00		256,787.98		0.00		0.00		15,890,000.00
X	46,874,277.00		18,480,735.74		349.64		12.20		361.84		18,481,097.58		0.00		0.00		46,873,915.16
P	0.00		3,092,983.96		0.00		0.00		0.00		3,092,983.96		0.00		0.00		0.00
R	0.00		0.00		0.00		0.00		0.00		0.00		0.00		0.00		0.00


Total	1,588,946,277.00		37,766,030.44		162,890,862.05		4,696,977.16		167,587,839.21		205,353,869.65		0.00		0.00		1,421,358,437.79



Page 4 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution

Interest Detail - REMIC II
	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		Adjustment		Interest		Interest		Interest
					(1)		(2)		(3)		(4)		(5)=(1)-(2)+(3)+(4)		(6)		(7)=(5)-(6)
A-1ss	3.52438%		298,783,723.59		819,021.30		0.00		0.00		0.00		819,021.30		819,021.30		0.00
A-1mz	3.57438%		74,696,618.11		207,662.08		0.00		0.00		0.00		207,662.08		207,662.08		0.00
A-2ss	3.53438%		334,404,640.86		919,265.72		0.00		0.00		0.00		919,265.72		919,265.72		0.00
A-2mz	3.56438%		37,156,881.72		103,009.86		0.00		0.00		0.00		103,009.86		103,009.86		0.00
A-3a	3.40438%		201,887,234.24		534,567.34		0.00		0.00		0.00		534,567.34		534,567.34		0.00
A-3b	3.53438%		191,902,000.00		527,531.35		0.00		0.00		0.00		527,531.35		527,531.35		0.00
A-3mz	3.56438%		43,755,169.81		121,302.26		0.00		0.00		0.00		121,302.26		121,302.26		0.00
M-1	3.71438%		49,256,999.99		142,301.61		0.00		0.00		0.00		142,301.61		142,301.61		0.00
M-2	3.75438%		44,490,000.00		129,914.06		0.00		0.00		0.00		129,914.06		129,914.06		0.00
M-3	3.79438%		28,601,000.00		84,406.83		0.00		0.00		0.00		84,406.83		84,406.83		0.00
M-4	3.94438%		26,218,000.00		80,432.92		0.00		0.00		0.00		80,432.92		80,432.92		0.00
M-5	3.99438%		25,423,000.00		78,982.65		0.00		0.00		0.00		78,982.65		78,982.65		0.00
M-6	4.04438%		22,245,000.00		69,974.51		0.00		0.00		0.00		69,974.51		69,974.51		0.00
B-1	4.51438%		19,067,000.00		66,947.75		0.00		0.00		0.00		66,947.75		66,947.75		0.00
B-2	4.61438%		15,890,000.00		57,028.61		0.00		0.00		0.00		57,028.61		57,028.61		0.00
B-3	5.21438%		15,890,000.00		64,443.94		0.00		0.00		0.00		64,443.94		64,443.94		0.00
X	117.73681%		46,873,915.16		0.00		0.00		0.00		0.00		0.00		4,292,388.40		0.00
P	0.00000%		0.00		0.00		0.00		0.00		0.00		0.00		1,072,927.38		0.00
R	0.00000%		0.00		0.00		0.00		0.00		0.00		0.00		0.00		0.00


Total			1,476,541,183.48		4,006,792.79		0.00		0.00		0.00		4,006,792.79		9,372,108.57		0.00



Page 5 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution
Collection Account Report
SUMMARY

								Group 3		Group 2		Group 1		Total
Principal Collections								22,855,935.38		19,012,065.43		13,270,768.79		55,138,769.60
Principal Withrawals								0.00		0.00		0.00		0.00
Principal Other Accounts								0.00		0.00		0.00		0.00
TOTAL NET PRINCIPAL								22,855,935.38		19,012,065.43		13,270,768.79		55,138,769.60
Interest Collections								3,140,852.53		2,643,893.47		2,645,450.45		8,430,196.45
Interest Withdrawals								-0.00		-0.00		-0.00		-0.00
Interest Other Accounts								0.00		0.00		1,072,927.38		1,072,927.38
Interest Fees								-30,736.50		-30,030.49		-26,272.17		-87,039.17
TOTAL NET INTEREST								3,110,116.03		2,613,862.99		3,692,105.66		9,416,084.66
TOTAL AVAILABLE FUNDS FOR DISTRIBUTION								25,966,051.41		21,625,928.42		16,962,874.45		64,554,854.26



PRINCIPAL - COLLECTIONS

									Group 3		Group 2		Group 1		Total
Scheduled Principal Received									411,240.16		361,552.55		365,095.62		1,137,888.33
Prepayments In Full									22,369,912.58		18,624,491.44		12,740,032.57		53,734,436.59
Curtailments									74,782.64		26,021.44		23,739.43		124,543.51
Liquidations									0.00		0.00		185,877.26		185,877.26
Insurance Principal									0.00		0.00		0.00		0.00
Repurchased Principal Amounts									0.00		0.00		0.00		0.00
Other Principal									0.00		0.00		0.00		0.00
Total Realized Loss Of Principal									-0.00		-0.00		-43,976.09		-43,976.09
Delinquent Principal									-370,653.99		-317,795.11		-324,554.02		-1,013,003.12
Advanced Principal									370,653.99		317,795.11		324,554.02		1,013,003.12
TOTAL PRINCIPAL COLLECTED									22,855,935.38		19,012,065.43		13,270,768.79		55,138,769.60


PRINCIPAL - WITHDRAWALS

SPACE INTENTIONALLY LEFT BLANK



PRINCIPAL - OTHER ACCOUNTS

								Group 3		Group 2		Group 1		Total
Closing Deposit
TOTAL OTHER ACCOUNTS PRINCIPAL								0.00		0.00		0.00		0.00





Page 6 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution

INTEREST - COLLECTIONS

								Group 3		Group 2		Group 1		Total
Scheduled Interest								3,338,634.37		2,807,917.38		2,812,782.55		8,959,334.30
Liquidation Interest								0.00		0.00		1,263.29		1,263.29
Repurchased Interest								0.00		0.00		0.00		0.00
Insurance Interest								0.00		0.00		0.00		0.00
Other Interest								0.00		0.00		0.00		0.00
Relief Act Interest Shortfalls								-0.00		-0.00		-0.00		-0.00
Prepayment Interest Shortfalls								-55,542.51		-46,588.90		-30,827.47		-132,958.88
Compensating Interest								55,542.51		46,588.91		30,827.47		132,958.88
Delinquent Interest								-2,897,670.98		-2,380,973.30		-2,446,279.89		-7,724,924.17
Interest Advanced								2,699,889.15		2,216,949.40		2,277,684.48		7,194,523.03
TOTAL INTEREST COLLECTED								3,140,852.53		2,643,893.47		2,645,450.45		8,430,196.45


INTEREST - WITHDRAWALS

								Group 3		Group 2		Group 1		Total
Nonrecoverable Advances
TOTAL INTEREST WITHDRAWALS								0.00		0.00		0.00		0.00



INTEREST - OTHER ACCOUNTS

								Group 3		Group 2		Group 1		Total
Prepayment Charges								0.00		0.00		1,072,927.38		1,072,927.38
TOTAL INTEREST OTHER ACCOUNTS								0.00		0.00		1,072,927.38		1,072,927.38



INTEREST - FEES

								Group 3		Group 2		Group 1		Total
Current Servicing Fees								29,916.79		29,334.40		25,573.16		84,824.35
Current Trustee Fees								819.72		696.09		699.01		2,214.81
TOTAL INTEREST OTHER FEES								30,736.50		30,030.49		26,272.17		87,039.17




Page 7 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution
Credit Enhancement Report
ACCOUNTS

SPACE INTENTIONALLY LEFT BLANK



INSURANCE

SPACE INTENTIONALLY LEFT BLANK



STRUCTURAL FEATURES

								Group 3		Group 2		Group 1		Total
Overcollateralization Amount														46,873,915.16
Overcollateralization Target Amount														46,873,915.16
Overcollateralization Deficiency Amount														43,976.09
Overcollateralization Release Amount														0.00




Page 8 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution
Collateral Report


COLLATERAL



									Group 3		Group 2		Group 1		Total



Loan Count:


Original								3,369		2,867		3,482		9,718
Prior								3,183		2,686		3,279		9,148
Prefunding								0		0		0		0
Scheduled Paid Offs								-0		-0		-0		-0
Full Voluntary Prepayments								-101		-100		-78		-279
Repurchases								-0		-0		-0		-0
Liquidations								-0		-0		-2		-2
Current								3,082		2,586		3,199		8,867
Principal Balance:


Original								588,824,042.09		499,990,160.81		500,130,978.76		1,588,945,181.66
Prior								546,476,708.61		464,059,920.16		466,004,554.71		1,476,541,183.48
Prefunding								0.00		0.00		0.00		0.00
Scheduled Principal								-411,240.16		-361,552.55		-365,095.62		-1,137,888.33
Partial Prepayments								-74,782.64		-26,021.44		-23,739.43		-124,543.51
Full Voluntary Prepayments								-22,369,912.58		-18,624,491.44		-12,740,032.57		-53,734,436.59
Repurchases								-0.00		-0.00		-0.00		-0.00
Liquidations								-0.00		-0.00		-185,877.26		-185,877.26
Current								523,620,773.23		445,047,854.73		452,689,809.83		1,421,358,437.79





PREFUNDING

SPACE INTENTIONALLY LEFT BLANK






Page 9 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution

CHARACTERISTICS

								Group 3		Group 2		Group 1		Total
Weighted Average Coupon Original								7.35029%		7.28066%		7.25938%		7.29976%
Weighted Average Coupon Prior								7.34132%		7.26807%		7.24587%		7.28828%
Weighted Average Coupon Current								7.33126%		7.26092%		7.24147%		7.28081%
Weighted Average Months to Maturity Original								351		350		350		350
Weighted Average Months to Maturity Prior								348		348		348		348
Weighted Average Months to Maturity Current								347		347		347		347
Weighted Avg Remaining Amortization Term Original								351		350		350		350
Weighted Avg Remaining Amortization Term Prior								348		348		348		348
Weighted Avg Remaining Amortization Term Current								347		347		347		347
Weighted Average Seasoning Original								5.37		5.24		5.32		5.31
Weighted Average Seasoning Prior								7.37		7.24		7.32		7.31
Weighted Average Seasoning Current								8.37		8.24		8.32		8.31









Page 10 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution

ARM CHARACTERISTICS

								Group 3		Group 2		Group 1		Total
Weighted Average Margin Original								6.14265%		5.69932%		6.10156%		5.99015%
Weighted Average Margin Prior								6.14071%		5.70278%		6.09670%		5.98927%
Weighted Average Margin Current								6.14197%		5.69999%		6.09952%		5.99011%
Weighted Average Max Rate Original								13.52419%		13.80343%		13.45496%		13.58859%
Weighted Average Max Rate Prior								13.50586%		13.78698%		13.43815%		13.57110%
Weighted Average Max Rate Current								13.49780%		13.78164%		13.43391%		13.56485%
Weighted Average Min Rate Original								7.28857%		7.30824%		7.23762%		7.27777%
Weighted Average Min Rate Prior								7.27750%		7.29408%		7.22456%		7.26504%
Weighted Average Min Rate Current								7.27199%		7.29046%		7.22158%		7.26089%
Weighted Average Cap Up Original								1.13507%		1.26202%		1.11232%		1.16725%
Weighted Average Cap Up Prior								1.13203%		1.25908%		1.11071%		1.16461%
Weighted Average Cap Up Current								1.12779%		1.25553%		1.11019%		1.16169%
Weighted Average Cap Down Original								1.13507%		1.26202%		1.11232%		1.16725%
Weighted Average Cap Down Prior								1.13203%		1.25908%		1.11071%		1.16461%
Weighted Average Cap Down Current								1.12779%		1.25553%		1.11019%		1.16169%




SERVICING FEES & ADVANCES

									Group 3		Group 2		Group 1		Total




Current Servicing Fees								29,916.79		29,334.40		25,573.16		84,824.35
Delinquent Servicing Fees								197,781.84		164,023.90		168,595.40		530,401.14
TOTAL SERVICING FEES								227,698.63		193,358.30		194,168.57		615,225.50


Compensating Interest								-55,542.51		-46,588.91		-30,827.47		-132,958.88
Delinquent Servicing Fees								-197,781.84		-164,023.90		-168,595.40		-530,401.14
COLLECTED SERVICING FEES								-25,625.71		-17,254.51		-5,254.31		-48,134.53


Aggregate Advances with respect to this Distribution								3,070,543.13		2,534,744.51		2,602,238.51		8,207,526.16





ADDITIONAL COLLATERAL INFORMATION
								Group 3		Group 2		Group 1		Total
Net Prepayment Interest Shortfall								0.00		0.00		0.00		0.00
Libor For Current Period														3.3144%




Page 11 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution
Delinquency Report

	TOTAL
					< 1 PAYMENT		1 PAYMENT		2 PAYMENTS		3+ PAYMENTS		TOTAL
	DELINQUENT		Balance				22,746,224.43		4,199,258.69		2,807,407.90		29,752,891.02
			% Balance				1.60%		0.30%		0.20%		2.09%
			# Loans				149		23		18		190
			% # Loans				1.68%		0.26%		0.20%		2.14%
	FORECLOSURE		Balance		92,970.62		394,445.61		4,740,244.86		4,958,957.04		10,186,618.13
			% Balance		0.01%		0.03%		0.33%		0.35%		0.72%
			# Loans		1		4		32		31		68
			% # Loans		0.01%		0.05%		0.36%		0.35%		0.77%
	BANKRUPTCY		Balance		2,689,144.97		88,137.91		663,340.68		912,399.94		4,353,023.50
			% Balance		0.19%		0.01%		0.05%		0.06%		0.31%
			# Loans		23		1		4		7		35
			% # Loans		0.26%		0.01%		0.05%		0.08%		0.39%
	REO		Balance		0.00		0.00		0.00		375,456.10		375,456.10
			% Balance		0.00%		0.00%		0.00%		0.03%		0.03%
			# Loans		0		0		0		2		2
			% # Loans		0.00%		0.00%		0.00%		0.02%		0.02%
	TOTAL		Balance		2,782,115.59		23,228,807.95		9,602,844.23		9,054,220.98		44,667,988.75
			% Balance		0.20%		1.63%		0.68%		0.64%		3.14%
			# Loans		24		154		59		58		295
			% # Loans		0.27%		1.74%		0.67%		0.65%		3.33%









Page 12 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution


	GROUP 1
					< 1 PAYMENT		1 PAYMENT		2 PAYMENTS		3+ PAYMENTS		TOTAL
	DELINQUENT		Balance				7,746,289.31		1,468,127.78		973,331.22		10,187,748.31
			% Balance				1.71%		0.32%		0.22%		2.25%
			# Loans				57		10		7		74
			% # Loans				1.78%		0.31%		0.22%		2.31%
	FORECLOSURE		Balance		92,970.62		297,038.96		1,399,569.32		1,951,357.84		3,740,936.74
			% Balance		0.02%		0.07%		0.31%		0.43%		0.83%
			# Loans		1		3		11		13		28
			% # Loans		0.03%		0.09%		0.34%		0.41%		0.88%
	BANKRUPTCY		Balance		1,368,579.65		88,137.91		353,290.38		159,923.45		1,969,931.39
			% Balance		0.30%		0.02%		0.08%		0.04%		0.44%
			# Loans		12		1		2		2		17
			% # Loans		0.38%		0.03%		0.06%		0.06%		0.53%
	REO		Balance		0.00		0.00		0.00		0.00		0.00
			% Balance		0.00%		0.00%		0.00%		0.00%		0.00%
			# Loans		0		0		0		0		0
			% # Loans		0.00%		0.00%		0.00%		0.00%		0.00%
	TOTAL		Balance		1,461,550.27		8,131,466.18		3,220,987.48		3,084,612.51		15,898,616.44
			% Balance		0.32%		1.80%		0.71%		0.68%		3.51%
			# Loans		13		61		23		22		119
			% # Loans		0.41%		1.91%		0.72%		0.69%		3.72%










Page 13 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution

	GROUP 2
					< 1 PAYMENT		1 PAYMENT		2 PAYMENTS		3+ PAYMENTS		TOTAL
	DELINQUENT		Balance				7,542,685.68		1,343,293.48		1,519,655.98		10,405,635.14
			% Balance				1.69%		0.30%		0.34%		2.34%
			# Loans				48		7		8		63
			% # Loans				1.86%		0.27%		0.31%		2.44%
	FORECLOSURE		Balance		0.00		0.00		668,659.56		1,127,956.29		1,796,615.85
			% Balance		0.00%		0.00%		0.15%		0.25%		0.40%
			# Loans		0		0		5		6		11
			% # Loans		0.00%		0.00%		0.19%		0.23%		0.43%
	BANKRUPTCY		Balance		747,286.24		0.00		310,050.30		220,297.63		1,277,634.17
			% Balance		0.17%		0.00%		0.07%		0.05%		0.29%
			# Loans		4		0		2		2		8
			% # Loans		0.15%		0.00%		0.08%		0.08%		0.31%
	REO		Balance		0.00		0.00		0.00		375,456.10		375,456.10
			% Balance		0.00%		0.00%		0.00%		0.08%		0.08%
			# Loans		0		0		0		2		2
			% # Loans		0.00%		0.00%		0.00%		0.08%		0.08%
	TOTAL		Balance		747,286.24		7,542,685.68		2,322,003.34		3,243,366.00		13,855,341.26
			% Balance		0.17%		1.69%		0.52%		0.73%		3.11%
			# Loans		4		48		14		18		84
			% # Loans		0.15%		1.86%		0.54%		0.70%		3.25%










Page 14 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution

	GROUP 3
					< 1 PAYMENT		1 PAYMENT		2 PAYMENTS		3+ PAYMENTS		TOTAL
	DELINQUENT		Balance				7,457,249.44		1,387,837.43		314,420.70		9,159,507.57
			% Balance				1.42%		0.27%		0.06%		1.75%
			# Loans				44		6		3		53
			% # Loans				1.43%		0.19%		0.10%		1.72%
	FORECLOSURE		Balance		0.00		97,406.65		2,672,015.98		1,879,642.91		4,649,065.54
			% Balance		0.00%		0.02%		0.51%		0.36%		0.89%
			# Loans		0		1		16		12		29
			% # Loans		0.00%		0.03%		0.52%		0.39%		0.94%
	BANKRUPTCY		Balance		573,279.08		0.00		0.00		532,178.86		1,105,457.94
			% Balance		0.11%		0.00%		0.00%		0.10%		0.21%
			# Loans		7		0		0		3		10
			% # Loans		0.23%		0.00%		0.00%		0.10%		0.32%
	REO		Balance		0.00		0.00		0.00		0.00		0.00
			% Balance		0.00%		0.00%		0.00%		0.00%		0.00%
			# Loans		0		0		0		0		0
			% # Loans		0.00%		0.00%		0.00%		0.00%		0.00%
	TOTAL		Balance		573,279.08		7,554,656.09		4,059,853.41		2,726,242.47		14,914,031.05
			% Balance		0.11%		1.44%		0.78%		0.52%		2.85%
			# Loans		7		45		22		18		92
			% # Loans		0.23%		1.46%		0.71%		0.58%		2.99%









Page 15 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution
REO Report
Loan Number			Original		Stated				Current		State &

														First
&			Principal		Principal		Paid to		Note		LTV at		Original		Payment

Loan Group			Balance		Balance		Date		Rate		Origination		Term		Date
407169343 2
			262,400.00		262,400.00		01-Dec-2004		7.500%		GA - 80.00%		360		01-Nov-2004

408095243 2			113,600.00		113,056.10		01-Dec-2004		9.275%		MI - 80.00%		360		01-Nov-2004


TOTAL			376,000.00		375,456.10


Page 16 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution
Foreclosure Report
Loan Number			Original		Stated				Current		State &

														First
&			Principal		Principal		Paid to		Note		LTV at		Original		Payment

Loan Group			Balance		Balance		Date		Rate		Origination		Term		Date
1784467 1
			81,950.00		81,559.05		01-Apr-2005		8.700%		MI - 55.00%		360		01-Dec-2004

1824614 1			164,000.00		164,000.00		01-Feb-2005		7.400%		OR - 80.00%		360		01-Nov-2004
1863099 1			93,500.00		92,970.62		01-May-2005		7.850%		AR - 85.00%		360		01-Dec-2004
1869230 1			186,300.02		186,300.02		01-Feb-2005		7.900%		MN - 90.00%		360		01-Dec-2004
1922971 1			304,000.00		304,000.00		01-Jan-2005		6.950%		TX - 80.00%		360		01-Dec-2004
11071846 1			63,200.00		62,785.18		01-Mar-2005		7.100%		FL - 80.00%		360		01-Dec-2004
21060025 1			153,600.00		152,739.00		01-Dec-2004		7.900%		CA - 80.00%		360		01-Dec-2004
41062517 1			124,100.00		123,542.14		01-Dec-2004		8.990%		IL - 85.00%		360		01-Dec-2004
81051881 1			120,250.00		119,762.50		01-Mar-2005		9.490%		VA - 65.00%		360		01-Dec-2004
121035728 1			54,000.00		53,757.23		01-Feb-2005		8.990%		MN - 51.43%		360		01-Dec-2004
121035837 1			160,000.00		159,083.79		01-Jan-2005		7.100%		WI - 80.00%		360		01-Jan-2005
321021030 1			171,000.00		169,840.32		01-Mar-2005		7.550%		CO - 95.00%		360		01-Nov-2004
409024311 1			165,000.00		164,397.42		01-Jan-2005		9.990%		OK - 75.00%		360		01-Dec-2004
409306542 1			135,120.00		134,513.80		01-Jan-2005		9.000%		IL - 80.00%		360		01-Dec-2004
651006267 1			52,000.00		51,756.99		01-Feb-2005		8.800%		SC - 80.00%		360		01-Dec-2004
671001535 1			170,000.00		168,841.62		01-Mar-2005		7.350%		CA - 73.91%		360		01-Dec-2004
731007520 1			306,000.00		304,315.21		01-Mar-2005		7.990%		GA - 85.00%		360		01-Dec-2004
841001310 1			63,000.00		62,711.48		01-Mar-2005		8.900%		MI - 70.00%		360		01-Dec-2004
841001404 1			127,500.00		126,717.37		01-Mar-2005		7.500%		MI - 82.79%		360		01-Dec-2004
2010040924910 1			89,352.00		88,668.11		01-Apr-2005		7.015%		NC - 79.78%		360		01-Nov-2004
2010040925830 1			103,959.20		103,115.99		01-Mar-2005		7.190%		NC - 79.97%		360		01-Oct-2004
2010040926520 1			79,900.00		79,477.45		01-Feb-2005		8.790%		NC - 85.00%		360		01-Nov-2004
2010041036530 1			55,250.00		54,980.78		01-Mar-2005		9.190%		TN - 85.00%		360		01-Nov-2004
2100041055320 1			276,250.00		274,313.08		01-Jan-2005		6.760%		CO - 84.48%		360		01-Dec-2004
2260041077300 1			104,000.00		103,476.92		01-Feb-2005		8.440%		OR - 80.00%		360		01-Dec-2004
2280041087850 1			103,000.00		102,460.75		01-Mar-2005		8.840%		IA - 79.84%		360		01-Nov-2004
2330040979390 1			127,500.00		126,811.80		01-Apr-2005		8.690%		TN - 85.00%		360		01-Nov-2004
2360041038780 1			124,800.00		124,038.12		01-Mar-2005		7.470%		FL - 80.00%		360		01-Dec-2004
1853431 2			30,800.00		30,513.55		01-Mar-2005		11.200%		CO - 20.00%		240		01-Dec-2004
1854247 2			210,000.00		209,167.86		01-Feb-2005		9.600%		CA - 70.00%		360		01-Dec-2004
1866578 2			165,600.00		165,600.00		01-Jan-2005		5.850%		CA - 80.00%		360		01-Nov-2004
1888789 2			299,625.00		297,520.15		01-Mar-2005		6.750%		IL - 85.00%		360		01-Dec-2004
321021417 2			264,000.00		262,378.83		01-Feb-2005		7.440%		CO - 80.00%		360		01-Dec-2004
408198628 2			82,875.00		82,391.12		01-Mar-2005		7.750%		CA - 85.00%		360		01-Dec-2004
408199019 2			100,000.00		99,198.32		01-Mar-2005		7.250%		WA - 80.00%		360		01-Oct-2004
409157478 2			160,080.00		159,036.42		01-Mar-2005		7.750%		DE - 80.00%		360		01-Nov-2004
409282501 2			240,000.00		238,004.05		01-Feb-2005		6.500%		MI - 80.00%		360		01-Nov-2004
410142788 2			99,200.00		98,552.50		01-Feb-2005		7.129%		IN - 80.00%		360		01-Dec-2004
651005867 2			155,000.00		154,253.05		01-Jan-2005		8.650%		RI - 67.39%		360		01-Dec-2004
1809138 3			361,250.00		359,710.67		01-Dec-2004		9.250%		NY - 85.00%		360		01-Dec-2004
1896814 3			420,000.00		417,322.70		01-Mar-2005		7.250%		CA - 84.00%		360		01-Dec-2004
405040770 3			105,000.00		102,864.74		01-Feb-2005		6.500%		FL - 76.09%		360		01-Sep-2004
409090820 3			80,100.00		79,642.30		01-Feb-2005		8.699%		GA - 90.00%		360		01-Nov-2004
409091142 3			86,700.00		86,188.51		01-Mar-2005		8.250%		TN - 85.00%		360		01-Nov-2004
409170646 3			280,000.00		277,848.08		01-Mar-2005		6.990%		VA - 80.00%		360		01-Nov-2004
409202428 3			82,400.00		81,913.83		01-Mar-2005		8.250%		TX - 80.00%		360		01-Nov-2004
409238109 3			175,000.00		173,941.30		01-Jan-2005		8.125%		GA - 100.00%		360		01-Nov-2004
661002666 3			78,600.00		78,020.63		01-Mar-2005		6.500%		CA - 71.45%		360		01-Dec-2004
741008097 3			72,000.00		71,513.42		01-Jan-2005		6.950%		OH - 75.00%		360		01-Dec-2004


Page 17 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution

Loan Number			Original		Stated				Current		State &

														First
&			Principal		Principal		Paid to		Note		LTV at		Original		Payment

Loan Group			Balance		Balance		Date		Rate		Origination		Term		Date
831027453 3
			50,000.00		48,535.66		01-Mar-2005		9.350%		CA - 6.67%		180		01-Sep-2004

1000061756 3			400,000.00		397,643.44		01-Mar-2005		7.650%		CA - 76.92%		360		01-Dec-2004
2010041040700 3			104,000.00		102,591.44		01-Mar-2005		6.990%		NC - 84.90%		360		01-Nov-2004
2020041071640 3			92,200.00		91,785.49		01-Mar-2005		8.990%		OH - 74.35%		360		01-Dec-2004
2030040924510 3			78,000.00		77,465.77		01-Jan-2005		7.500%		DE - 55.71%		360		01-Nov-2004
2030040927170 3			71,400.00		70,919.58		01-Mar-2005		7.590%		DE - 85.00%		360		01-Nov-2004
2050040996290 3			98,100.00		97,406.65		01-Apr-2005		7.340%		IN - 90.00%		360		01-Nov-2004
2050041003300 3			72,165.00		71,783.11		01-Mar-2005		8.790%		IN - 84.90%		360		01-Nov-2004
2050041004600 3			90,000.00		89,504.40		01-Mar-2005		7.990%		OH - 100.00%		360		01-Dec-2004
2050041005090 3			109,020.00		108,460.83		01-Mar-2005		8.940%		OH - 79.00%		360		01-Nov-2004
2050041012150 3			60,550.00		60,130.37		01-Jan-2005		7.440%		IN - 70.00%		360		01-Nov-2004
2060041086130 3			299,000.00		297,066.25		01-Mar-2005		7.790%		FL - 74.75%		360		01-Nov-2004
2070040946040 3			170,000.00		168,716.81		01-Dec-2004		7.440%		WI - 85.00%		360		01-Nov-2004
2070041054210 3			468,000.00		465,422.12		01-Jan-2005		7.990%		IL - 80.00%		360		01-Dec-2004
2090040904690 3			320,000.00		318,064.17		01-Mar-2005		8.125%		MA - 80.00%		360		01-Nov-2004
2250040905520 3			84,600.00		84,250.43		01-Jan-2005		9.990%		FL - 90.00%		360		01-Nov-2004
2260041078220 3			123,200.00		122,374.39		01-Feb-2005		6.990%		AZ - 80.00%		360		01-Dec-2004
2280040980520 3			117,000.00		113,610.59		01-Feb-2005		7.040%		SD - 87.97%		180		01-Nov-2004
2280040980980 3			135,200.00		134,367.86		01-Mar-2005		8.040%		SD - 80.00%		360		01-Nov-2004


TOTAL			10,249,196.22		10,186,618.13


Page 18 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution
Prepayment Report

VOLUNTARY PREPAYMENTS


									Group 3		Group 2		Group 1		Total




Current


Number of Paid in Full Loans								101		100		78		279
Number of Repurchased Loans								0		0		0		0
Total Number of Loans Prepaid in Full								101		100		78		279
Curtailments Amount								74,782.64		26,021.44		23,739.43		124,543.51
Paid in Full Balance								22,369,912.58		18,624,491.44		12,740,032.57		53,734,436.59
Repurchased Loans Balance								0.00		0.00		0.00		0.00
Total Prepayment Amount								22,444,695.22		18,650,512.88		12,763,772.00		53,858,980.10

Cumulative


Number of Paid in Full Loans								285		280		281		846
Number of Repurchased Loans								2		1		0		3
Total Number of Loans Prepaid in Full								287		281		281		849
Paid in Full Balance								62,655,611.42		53,277,975.90		45,573,505.43		161,507,092.75
Repurchased Loans Balance								502,879.82		65,328.97		0.00		568,208.79
Curtailments Amount								339,393.32		102,502.37		186,692.22		628,587.91
Total Prepayment Amount								63,497,884.56		53,445,807.24		45,760,197.65		162,703,889.45










Page 19 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution

VOLUNTARY PREPAYMENTS RATES


									Group 3		Group 2		Group 1		Total



SMM								4.11%		4.02%		2.78%		3.66%
3 Months Avg SMM								3.06%		2.98%		2.45%		2.84%
12 Months Avg SMM								2.82%		2.79%		2.39%		2.67%
Avg SMM Since Cut-off								2.82%		2.79%		2.39%		2.67%


CPR								39.57%		38.90%		28.71%		36.10%
3 Months Avg CPR								31.12%		30.45%		25.71%		29.23%
12 Months Avg CPR								29.04%		28.82%		25.15%		27.76%
Avg CPR Since Cut-off								29.04%		28.82%		25.15%		27.76%


PSA								2,364.74%		2,360.80%		1,724.96%		2,171.35%
3 Months Avg PSA Approximation								2,111.32%		2,103.20%		1,755.44%		1,998.71%
12 Months Avg PSA Approximation								2,114.09%		2,138.15%		1,843.23%		2,037.24%
Avg PSA Since Cut-off Approximation								2,114.10%		2,138.14%		1,843.23%		2,037.24%










Page 20 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution






PREPAYMENT CALCULATION METHODOLOGY

Single Monthly Mortality (SMM): (Voluntary partial and full prepayments + Repurchases + Liquidations )/(Beg Principal Balance - Sched Principal) Conditional Prepayment Rate (CPR): 1-((1-SMM)^12) PSA Standard Prepayment Model: CPR/(0.002min(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) Conditional Prepayment Rate (CPR): 1-((1-SMM)^12) Average PSA Approximation over period between the nth month and mth month: AvgCPRn,m/(0.002*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) Dates correspond to distribution dates. Note: Prepayment rates are calculated since deal issue date and include partial and full voluntary prepayments, liquidations, and repurchases.













Page 21 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution
Prepayment Detail Report
Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution
Loan Number			Original							Current		State &		Type Prepayment		First


&		Loan	Principal		Prepayment			Prepayment		Note		LTV at		&		Payment

Loan Group		Status	Balance		Amount			Date		Rate		Origination		Original Term		Date

1625920 3			451,250.00		448,054.28			03-Jun-2005		7.880%		CA - 95.00%		Paid Off - 360		01-Sep-2004


1663285 3			510,000.00		510,000.00			21-Jun-2005		7.250%		CA - 85.00%		Paid Off - 360		01-Sep-2004

1698057 1			35,281.00		34,910.27			30-Jun-2005		12.050%		NC - 20.00%		Paid Off - 240		01-Sep-2004

1764610 2			191,000.00		188,689.47			05-Jul-2005		7.200%		CA - 72.08%		Paid Off - 360		01-Dec-2004

1767578 1			57,400.00		57,280.19			05-Jul-2005		11.950%		CA - 20.00%		Paid Off - 360		01-Dec-2004

1790945 2			79,000.00		77,203.25			07-Jul-2005		7.100%		TX - 77.45%		Paid Off - 180		01-Dec-2004

1792842 3			83,000.00		82,770.80			07-Jul-2005		11.300%		MI - 20.00%		Paid Off - 360		01-Nov-2004

1799687 3			368,900.00		368,899.92			13-Jul-2005		7.925%		CA - 89.98%		Paid Off - 360		01-Nov-2004

1815513 3		FCL	364,000.00		361,613.46			14-Jul-2005		6.400%		NY - 80.00%		Paid Off - 360		01-Dec-2004

1815517 3			91,000.00		90,725.88			11-Jul-2005		10.250%		NY - 20.00%		Paid Off - 360		01-Dec-2004

1823681 2			67,000.00		66,839.35			07-Jul-2005		11.950%		NJ - 20.00%		Paid Off - 360		01-Nov-2004

1825986 2			332,500.00		332,500.00			08-Jul-2005		6.375%		CT - 75.57%		Paid Off - 300		01-Dec-2004

1826641 2			32,000.00		31,661.28			16-Jun-2005		10.850%		MD - 20.00%		Paid Off - 240		01-Nov-2004

1832077 3			120,000.00		118,593.25			05-Jul-2005		10.350%		CA - 20.00%		Paid Off - 240		01-Oct-2004

1832543 2			30,000.00		29,688.71			05-Jul-2005		10.350%		DE - 20.00%		Paid Off - 240		01-Nov-2004

1833426 2			168,000.00		167,014.72			30-Jun-2005		7.300%		CA - 80.00%		Paid Off - 360		01-Dec-2004

1841309 1			216,000.00		216,000.00			28-Jun-2005		7.025%		CA - 80.00%		Paid Off - 360		01-Dec-2004

1842442 3			85,000.00		84,712.26			20-Jun-2005		10.350%		CA - 20.00%		Paid Off - 360		01-Nov-2004

1843168 2			32,000.00		31,674.23			16-Jun-2005		10.500%		CA - 20.00%		Paid Off - 240		01-Nov-2004

1846669 3			433,000.00		429,683.88			11-Jul-2005		6.300%		NV - 74.66%		Paid Off - 360		01-Nov-2004

1853755 3			122,000.00		121,531.48			13-Jul-2005		9.750%		CA - 20.00%		Paid Off - 360		01-Nov-2004

1855711 1			196,000.00		195,916.62			06-Jul-2005		6.750%		AZ - 80.00%		Paid Off - 360		01-Dec-2004

1855721 1			49,000.00		48,547.50			06-Jul-2005		11.300%		AZ - 20.00%		Paid Off - 240		01-Dec-2004

1857876 1			304,500.00		302,940.51			11-Jul-2005		8.350%		CA - 70.00%		Paid Off - 360		01-Nov-2004

1867370 2			88,300.00		88,015.18			#######		10.600%		CA - 20.00%		Paid Off - 360		01-Nov-2004

1869093 3			396,000.00		392,507.13			01-Jul-2005		5.550%		VA - 82.85%		Paid Off - 360		01-Nov-2004

1869250 2			260,000.00		258,547.06			24-Jun-2005		7.225%		NV - 78.79%		Paid Off - 360		01-Dec-2004

1877604 2			146,400.00		146,400.00			28-Jun-2005		6.950%		FL - 80.00%		Paid Off - 360		01-Dec-2004

1878526 3			476,000.00		476,000.00			21-Jun-2005		7.650%		CA - 85.00%		Paid Off - 360		01-Dec-2004

1881093 1			45,000.00		44,567.71			12-Jul-2005		10.950%		AZ - 20.00%		Paid Off - 240		01-Nov-2004

1881778 1			273,000.00		271,259.73			27-Jun-2005		7.250%		CA - 70.00%		Paid Off - 360		01-Nov-2004

1881841 3			586,400.00		586,198.17			16-Jun-2005		6.500%		CA - 80.00%		Paid Off - 300		01-Dec-2004

1887284 3			487,500.00		484,708.36			30-Jun-2005		7.100%		WI - 65.00%		Paid Off - 360		01-Dec-2004

1888371 3			126,000.00		125,582.48			11-Jul-2005		10.450%		CA - 20.00%		Paid Off - 360		01-Nov-2004

1890534 1			235,000.00		233,088.18			29-Jun-2005		5.250%		NJ - 72.31%		Paid Off - 360		01-Dec-2004

1891460 3			106,000.00		105,819.90			21-Jun-2005		10.250%		CA - 20.00%		Paid Off - 360		01-Dec-2004

1892841 3			428,000.00		425,665.92			05-Jul-2005		7.350%		CA - 80.00%		Paid Off - 360		01-Dec-2004



Page 22 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution

Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution
Loan Number			Original							Current		State &		Type Prepayment		First


&		Loan	Principal		Prepayment			Prepayment		Note		LTV at		&		Payment

Loan Group		Status	Balance		Amount			Date		Rate		Origination		Original Term		Date

1892886 2			87,550.00		87,126.20			30-Jun-2005		7.950%		AZ - 85.00%		Paid Off - 360		01-Dec-2004


1893206 1			104,500.00		103,911.69			12-Jul-2005		7.225%		IL - 95.00%		Paid Off - 360		01-Dec-2004

1893911 1			121,464.00		121,464.00			05-Jul-2005		5.700%		AZ - 80.00%		Paid Off - 360		01-Dec-2004

1894350 2			109,396.00		109,396.00			22-Jun-2005		7.850%		AZ - 80.00%		Paid Off - 360		01-Dec-2004

1894379 2			27,349.00		27,138.75			22-Jun-2005		11.600%		AZ - 20.00%		Paid Off - 240		01-Dec-2004

1895854 2			122,000.00		120,974.90			01-Jul-2005		5.350%		CT - 84.14%		Paid Off - 360		01-Dec-2004

1897316 2			300,000.00		300,000.00			07-Jul-2005		7.350%		CA - 80.00%		Paid Off - 360		01-Dec-2004

1897326 3			75,000.00		74,811.65			07-Jul-2005		11.100%		CA - 20.00%		Paid Off - 360		01-Dec-2004

1897389 1			255,000.00		253,790.24			06-Jul-2005		8.050%		VA - 85.00%		Paid Off - 360		01-Dec-2004

1897523 2			105,000.00		104,535.81			23-Jun-2005		8.400%		FL - 75.00%		Paid Off - 360		01-Dec-2004

1898167 3			394,250.00		391,050.08			22-Jun-2005		5.550%		CT - 95.00%		Paid Off - 360		01-Dec-2004

1899417 1			276,250.00		276,250.00			24-Jun-2005		6.200%		CA - 85.00%		Paid Off - 360		01-Dec-2004

1903523 1			72,000.00		72,000.00			30-Jun-2005		7.300%		AZ - 78.26%		Paid Off - 360		01-Dec-2004

1903791 2			275,000.00		272,195.09			01-Jul-2005		7.400%		CA - 79.02%		Paid Off - 360		01-Dec-2004

1906941 2			220,000.00		218,226.55			17-Jun-2005		5.300%		HI - 80.00%		Paid Off - 360		01-Dec-2004

1907351 3			250,000.00		248,010.73			14-Jul-2005		5.575%		NJ - 80.00%		Paid Off - 360		01-Dec-2004

1907654 2			270,000.00		268,703.56			16-Jun-2005		7.990%		MD - 100.00%		Paid Off - 360		01-Dec-2004

1914733 1			135,500.00		134,930.68			28-Jun-2005		8.650%		AZ - 100.00%		Paid Off - 360		01-Dec-2004

1915521 3			239,200.00		237,235.46			30-Jun-2005		5.200%		CA - 80.00%		Paid Off - 360		01-Dec-2004

1923750 3			460,000.00		460,000.00			29-Jun-2005		6.990%		CA - 83.18%		Paid Off - 360		01-Dec-2004

1936674 1			213,500.00		212,018.00			01-Jul-2005		6.100%		CA - 83.73%		Paid Off - 360		01-Dec-2004

1941022 1			154,000.00		153,999.99			28-Jun-2005		6.375%		CA - 75.12%		Paid Off - 300		01-Dec-2004

1950778 3			364,000.00		362,111.36			14-Jul-2005		6.800%		CA - 89.88%		Paid Off - 360		01-Jan-2005

11071431 1			187,000.00		186,416.88			24-Jun-2005		6.550%		CA - 85.00%		Paid Off - 360		01-Dec-2004

11071699 2			172,200.00		171,152.62			17-Jun-2005		6.790%		CA - 70.00%		Paid Off - 360		01-Dec-2004

11071726 1			116,000.00		115,350.89			10-Jun-2005		7.250%		CA - 80.00%		Paid Off - 360		01-Dec-2004

11071737 3			137,000.00		136,260.34			01-Jun-2005		7.400%		CA - 58.30%		Paid Off - 360		01-Dec-2004

11071844 2			192,000.00		191,168.33			13-Jun-2005		8.500%		CA - 80.00%		Paid Off - 360		01-Dec-2004

11071875 3			330,000.00		328,337.70			17-Jun-2005		7.750%		CA - 75.00%		Paid Off - 360		01-Dec-2004

21060026 3			204,000.00		203,002.71			08-Jun-2005		7.900%		CA - 80.00%		Paid Off - 360		01-Dec-2004

21060202 3			743,750.00		743,735.75			01-Jun-2005		6.450%		CA - 83.57%		Paid Off - 360		01-Dec-2004

21060228 3			50,000.00		49,900.70			01-Jun-2005		12.175%		CA - 19.23%		Paid Off - 360		01-Dec-2004

21060445 3			328,500.00		326,651.68			28-Jun-2005		7.190%		CA - 90.00%		Paid Off - 360		01-Dec-2004

31029444 2			142,400.00		141,716.27			10-Jun-2005		7.990%		CA - 66.23%		Paid Off - 360		01-Dec-2004

31029635 2			163,700.00		162,883.57			13-Jun-2005		7.800%		CA - 68.21%		Paid Off - 360		01-Dec-2004

31029685 2			221,000.00		220,059.85			29-Jun-2005		7.840%		CA - 65.00%		Paid Off - 360		01-Jan-2005

31029886 3			427,500.00		425,793.44			02-Jun-2005		8.900%		CA - 90.00%		Paid Off - 360		01-Dec-2004

31030167 3			191,175.00		189,945.37			17-Jun-2005		6.500%		CA - 74.97%		Paid Off - 360		01-Dec-2004



Page 23 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution

Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution
Loan Number			Original							Current		State &		Type Prepayment		First


&		Loan	Principal		Prepayment			Prepayment		Note		LTV at		&		Payment

Loan Group		Status	Balance		Amount			Date		Rate		Origination		Original Term		Date

41062686 2			220,000.00		219,272.88			08-Jun-2005		9.050%		IL - 80.00%		Paid Off - 360		01-Jan-2005


41062741 2			165,000.00		164,091.47			13-Jun-2005		7.300%		IL - 78.57%		Paid Off - 360		01-Dec-2004

51054332 2			214,640.00		213,965.59			03-Jun-2005		10.050%		GA - 80.00%		Paid Off - 360		01-Dec-2004

61055255 1			51,200.00		51,040.94			02-Jun-2005		9.350%		OH - 80.00%		Paid Off - 360		01-Jan-2005

71062668 3			87,400.00		86,927.23			02-Jun-2005		7.390%		FL - 95.00%		Paid Off - 360		01-Dec-2004

71062791 2			211,500.00		210,276.23			30-Jun-2005		7.075%		FL - 90.00%		Paid Off - 360		01-Dec-2004

71063008 3			222,290.00		221,212.77			01-Jun-2005		7.150%		FL - 89.92%		Paid Off - 360		01-Jan-2005

81051401 2			105,000.00		104,655.91			28-Jun-2005		9.850%		MD - 70.00%		Paid Off - 360		01-Dec-2004

81051575 3			390,000.00		387,655.33			07-Jun-2005		6.850%		VA - 67.24%		Paid Off - 360		01-Dec-2004

81051599 2			146,250.00		145,576.81			14-Jun-2005		8.200%		MD - 65.00%		Paid Off - 360		01-Dec-2004

81051676 1			292,000.00		291,657.38			03-Jun-2005		7.000%		VA - 80.00%		Paid Off - 360		01-Dec-2004

81051810 3			67,472.00		67,258.77			23-Jun-2005		10.800%		VA - 14.51%		Paid Off - 360		01-Dec-2004

81051840 1			351,000.00		349,284.03			03-Jun-2005		7.900%		MD - 90.00%		Paid Off - 360		01-Dec-2004

121035375 3			96,000.00		95,626.40			30-Jun-2005		9.050%		WI - 80.00%		Paid Off - 360		01-Dec-2004

121035989 3			50,000.00		49,740.07			28-Jun-2005		7.700%		WI - 66.67%		Paid Off - 360		01-Dec-2004

141041168 2			169,200.00		168,131.95			23-Jun-2005		7.300%		CT - 90.00%		Paid Off - 360		01-Nov-2004

141042723 3			215,000.00		213,988.35			30-Jun-2005		7.300%		NJ - 47.25%		Paid Off - 360		01-Jan-2005

141042853 3			80,000.00		79,508.66			07-Jun-2005		6.740%		CT - 66.67%		Paid Off - 360		01-Dec-2004

161036586 2			169,000.00		167,994.42			10-Jun-2005		7.600%		MA - 65.00%		Paid Off - 360		01-Nov-2004

161036877 2			216,000.00		214,701.41			17-Jun-2005		6.850%		MA - 60.85%		Paid Off - 360		01-Dec-2004

161036935 3			212,720.00		212,720.00			20-Jun-2005		6.600%		MA - 80.00%		Paid Off - 360		01-Dec-2004

161037488 3			752,000.00		748,607.72			01-Jun-2005		8.300%		MA - 53.71%		Paid Off - 360		01-Dec-2004

161037702 2			206,250.00		205,353.47			15-Jun-2005		7.700%		RI - 75.00%		Paid Off - 360		01-Jan-2005

171022532 1			279,000.00		277,323.47			28-Jun-2005		7.550%		AZ - 90.00%		Paid Off - 360		01-Nov-2004

171022685 2			232,000.00		230,671.50			07-Jun-2005		7.100%		AZ - 80.00%		Paid Off - 360		01-Dec-2004

171022903 1			123,500.00		123,079.15			27-Jun-2005		8.950%		AZ - 95.00%		Paid Off - 360		01-Jan-2005

211023996 1			283,500.00		282,028.75			01-Jun-2005		7.600%		VA - 90.00%		Paid Off - 360		01-Dec-2004

211024154 1			312,800.00		311,642.71			02-Jun-2005		8.500%		MD - 85.00%		Paid Off - 360		01-Jan-2005

211024225 2			241,200.00		240,230.32			02-Jun-2005		8.090%		MD - 90.00%		Paid Off - 360		01-Jan-2005

211024305 1			74,100.00		73,921.35			01-Jun-2005		10.550%		VA - 65.00%		Paid Off - 360		01-Jan-2005

231056888 3			426,400.00		423,905.27			08-Jun-2005		6.990%		PA - 80.00%		Paid Off - 360		01-Dec-2004

231057387 1			172,550.00		171,659.30			15-Jun-2005		7.450%		RI - 85.00%		Paid Off - 360		01-Jan-2005

231057837 3			252,000.00		249,933.44			16-Jun-2005		7.500%		NJ - 70.00%		Paid Off - 360		01-Dec-2004

231058075 1			126,320.00		125,669.65			16-Jun-2005		6.840%		NJ - 80.00%		Paid Off - 360		01-Jan-2005

251033473 1			161,500.00		160,419.10			30-Jun-2005		7.000%		MO - 95.00%		Paid Off - 360		01-Nov-2004

251033885 2			225,940.00		224,618.09			22-Jun-2005		6.990%		CA - 65.49%		Paid Off - 360		01-Dec-2004

251034089 2			183,600.00		182,372.43			01-Jun-2005		6.300%		CA - 89.56%		Paid Off - 360		01-Dec-2004

251034105 3			200,000.00		199,115.83			06-Jun-2005		8.400%		CA - 80.00%		Paid Off - 360		01-Dec-2004



Page 24 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution

Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution
Loan Number			Original							Current		State &		Type Prepayment		First


&		Loan	Principal		Prepayment			Prepayment		Note		LTV at		&		Payment

Loan Group		Status	Balance		Amount			Date		Rate		Origination		Original Term		Date

261048529 1			50,000.00		49,802.58			02-Jun-2005		9.900%		FL - 64.94%		Paid Off - 360		01-Nov-2004


261049332 3			72,000.00		71,578.79			02-Jun-2005		6.990%		FL - 63.72%		Paid Off - 360		01-Dec-2004

261049356 2			153,000.00		152,034.41			22-Jun-2005		6.600%		FL - 90.00%		Paid Off - 360		01-Dec-2004

271016186 2			204,750.00		203,311.67			22-Jun-2005		6.750%		FL - 90.00%		Paid Off - 360		01-Nov-2004

271016243 2			306,000.00		303,744.56			02-Jun-2005		6.500%		CA - 90.00%		Paid Off - 360		01-Nov-2004

271016307 3			138,750.00		138,085.07			30-Jun-2005		8.000%		WA - 75.00%		Paid Off - 360		01-Dec-2004

271016635 2			180,000.00		178,960.40			15-Jun-2005		7.750%		FL - 80.00%		Paid Off - 360		01-Nov-2004

271016640 3			258,000.00		256,493.49			22-Jun-2005		7.000%		NJ - 67.89%		Paid Off - 360		01-Dec-2004

271016830 3			171,000.00		169,961.95			24-Jun-2005		6.800%		CA - 56.25%		Paid Off - 360		01-Dec-2004

271016950 1			77,600.00		77,225.33			01-Jun-2005		7.990%		AZ - 72.52%		Paid Off - 360		01-Dec-2004

271016972 2			177,300.00		176,605.21			28-Jun-2005		8.990%		NJ - 90.00%		Paid Off - 360		01-Dec-2004

271017159 2			236,000.00		234,539.37			13-Jun-2005		6.700%		VA - 80.00%		Paid Off - 360		01-Dec-2004

271017415 2			255,000.00		253,537.26			07-Jun-2005		7.100%		NY - 48.85%		Paid Off - 360		01-Dec-2004

271017474 1			162,500.00		161,612.26			07-Jun-2005		7.340%		CA - 65.00%		Paid Off - 360		01-Dec-2004

281012959 3			136,300.00		135,410.85			06-Jun-2005		6.690%		NJ - 63.40%		Paid Off - 360		#######

311024485 3			304,000.00		302,748.57			02-Jun-2005		8.750%		NJ - 80.00%		Paid Off - 360		01-Dec-2004

311024871 1			300,000.00		297,759.77			30-Jun-2005		8.300%		NJ - 73.89%		Paid Off - 360		01-Dec-2004

321021496 2			225,150.00		223,860.71			09-Jun-2005		7.100%		CO - 95.00%		Paid Off - 360		01-Dec-2004

331030564 1			340,500.00		338,507.84			06-Jun-2005		6.990%		NY - 50.00%		Paid Off - 360		01-Dec-2004

331031136 3			244,000.00		242,666.99			09-Jun-2005		7.340%		CT - 80.00%		Paid Off - 360		01-Dec-2004

331031235 2			207,500.00		206,390.71			02-Jun-2005		7.450%		NY - 69.87%		Paid Off - 360		01-Dec-2004

331031258 3			98,000.00		97,761.20			07-Jun-2005		10.500%		NY - 17.50%		Paid Off - 360		01-Jan-2005

331031616 2			243,750.00		242,934.35			16-Jun-2005		8.990%		NY - 65.00%		Paid Off - 360		01-Jan-2005

341020393 2			308,000.00		306,369.62			08-Jun-2005		7.500%		SC - 80.00%		Paid Off - 360		01-Dec-2004

371021858 2			196,000.00		194,869.19			21-Jun-2005		7.200%		FL - 80.00%		Paid Off - 360		01-Dec-2004

371022090 1			108,000.00		107,506.87			30-Jun-2005		8.240%		FL - 90.00%		Paid Off - 360		01-Dec-2004

371022094 1			108,000.00		107,506.86			30-Jun-2005		8.240%		FL - 90.00%		Paid Off - 360		01-Dec-2004

371022196 3			54,000.00		53,797.34			29-Jun-2005		9.200%		FL - 90.00%		Paid Off - 360		01-Dec-2004

371022258 3			71,500.00		71,245.77			22-Jun-2005		9.490%		FL - 65.00%		Paid Off - 360		01-Dec-2004

381015744 2			180,600.00		179,268.89			30-Jun-2005		6.500%		ME - 57.33%		Paid Off - 360		01-Nov-2004

381016886 3			118,000.00		117,162.85			16-Jun-2005		6.700%		RI - 51.30%		Paid Off - 360		01-Dec-2004

381016999 3			145,000.00		143,975.23			23-Jun-2005		6.125%		MA - 56.86%		Paid Off - 360		01-Dec-2004

381017125 3			233,600.00		232,478.36			16-Jun-2005		7.990%		MA - 80.00%		Paid Off - 360		01-Dec-2004

381017162 1			100,000.00		99,432.48			08-Jun-2005		7.150%		MA - 37.74%		Paid Off - 360		01-Dec-2004

381017354 3			120,000.00		119,292.42			23-Jun-2005		6.950%		RI - 60.00%		Paid Off - 360		01-Dec-2004

403118971 2			117,160.00		116,295.95			09-Jun-2005		7.125%		AZ - 80.00%		Paid Off - 360		01-Oct-2004

403264693 2			169,768.00		168,289.22			06-Jun-2005		6.500%		AZ - 80.00%		Paid Off - 360		01-Oct-2004

407122690 2			142,400.00		141,608.16			10-Jun-2005		7.250%		NY - 80.00%		Paid Off - 360		01-Dec-2004



Page 25 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution

Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution
Loan Number			Original							Current		State &		Type Prepayment		First


&		Loan	Principal		Prepayment			Prepayment		Note		LTV at		&		Payment

Loan Group		Status	Balance		Amount			Date		Rate		Origination		Original Term		Date

407226451 2			280,528.00		280,527.96			27-Jun-2005		6.700%		CA - 80.00%		Paid Off - 360		01-Nov-2004


408026880 2			135,850.00		134,935.93			01-Jun-2005		7.590%		FL - 95.00%		Paid Off - 360		01-Oct-2004

408118418 3			202,500.00		201,483.68			27-Jun-2005		8.450%		CA - 90.00%		Paid Off - 360		01-Nov-2004

408118600 3			103,500.00		102,376.96			15-Jun-2005		7.600%		CA - 90.00%		Paid Off - 360		01-Nov-2004

408129772 2			116,000.00		115,246.51			21-Jun-2005		7.500%		CA - 80.00%		Paid Off - 360		01-Nov-2004

408129869 3			400,000.00		397,756.24			28-Jun-2005		8.500%		CA - 79.21%		Paid Off - 360		01-Oct-2004

408175272 2			166,500.00		165,583.28			23-Jun-2005		7.990%		OR - 90.00%		Paid Off - 360		01-Nov-2004

408186415 2			192,000.00		190,891.00			21-Jun-2005		7.750%		FL - 80.00%		Paid Off - 360		01-Nov-2004

408186791 2			251,000.00		249,660.70			23-Jun-2005		8.400%		MD - 62.75%		Paid Off - 360		01-Nov-2004

408243551 3			107,920.00		107,093.81			28-Jun-2005		7.250%		AZ - 80.00%		Paid Off - 360		01-Oct-2004

408308959 2			136,000.00		135,095.72			06-Jun-2005		7.650%		IA - 80.00%		Paid Off - 360		01-Oct-2004

409012069 3			48,000.00		47,759.07			17-Jun-2005		8.450%		TN - 64.00%		Paid Off - 360		01-Nov-2004

409013179 3			103,000.00		101,126.70			10-Jun-2005		6.999%		FL - 73.57%		Paid Off - 240		01-Nov-2004

409088828 3			159,250.00		158,047.79			23-Jun-2005		6.375%		CA - 65.00%		Paid Off - 360		01-Nov-2004

409157655 3			100,000.00		99,278.75			24-Jun-2005		6.999%		NV - 74.07%		Paid Off - 360		01-Nov-2004

409169249 3			355,000.00		352,255.62			21-Jun-2005		6.250%		CA - 74.74%		Paid Off - 360		01-Nov-2004

409170687 1			182,952.00		182,198.83			13-Jun-2005		8.750%		FL - 80.00%		Paid Off - 360		01-Dec-2004

409202800 2			130,000.00		129,362.20			30-Jun-2005		8.599%		MN - 65.00%		Paid Off - 360		01-Nov-2004

409226142 2			114,000.00		113,304.37			23-Jun-2005		7.250%		WI - 70.15%		Paid Off - 360		01-Dec-2004

409226190 2			90,400.00		89,793.74			17-Jun-2005		6.990%		KS - 80.00%		Paid Off - 360		01-Nov-2004

409226612 2			132,600.00		131,954.39			23-Jun-2005		8.600%		IA - 85.00%		Paid Off - 360		01-Nov-2004

409227394 2			163,200.00		162,025.53			27-Jun-2005		6.625%		WA - 80.00%		Paid Off - 360		01-Nov-2004

409238987 2			218,400.00		216,865.70			14-Jun-2005		6.750%		VA - 80.00%		Paid Off - 360		01-Nov-2004

409271140 1			93,500.00		93,051.04			24-Jun-2005		7.990%		NJ - 85.00%		Paid Off - 360		01-Dec-2004

409271705 2			120,000.00		119,423.76			30-Jun-2005		7.990%		WI - 80.00%		Paid Off - 360		01-Nov-2004

409282493 3			76,000.00		75,755.37			21-Jun-2005		9.999%		MI - 80.00%		Paid Off - 360		01-Dec-2004

409295235 1			134,000.00		133,389.37			03-Jun-2005		8.250%		MD - 80.00%		Paid Off - 360		01-Dec-2004

410049981 1			161,500.00		160,756.53			22-Jun-2005		8.375%		WA - 85.00%		Paid Off - 360		01-Dec-2004

410050869 3			80,000.00		79,615.85			15-Jun-2005		7.990%		OH - 80.00%		Paid Off - 360		01-Dec-2004

410051305 3			180,000.00		178,970.63			08-Jun-2005		7.990%		OK - 80.00%		Paid Off - 360		01-Dec-2004

410062382 3			120,000.00		119,430.95			21-Jun-2005		8.125%		FL - 60.00%		Paid Off - 360		01-Dec-2004

410063099 2			136,000.00		135,224.97			24-Jun-2005		7.125%		AZ - 80.00%		Paid Off - 360		01-Dec-2004

410063811 3			86,600.00		86,037.60			21-Jun-2005		6.450%		ND - 84.90%		Paid Off - 360		01-Dec-2004

410117709 3			67,500.00		67,274.10			30-Jun-2005		9.750%		WV - 90.00%		Paid Off - 360		01-Dec-2004

410129173 1			240,000.00		240,000.00			24-Jun-2005		8.100%		MD - 80.00%		Paid Off - 360		01-Dec-2004

410142947 2			270,000.00		268,941.92			20-Jun-2005		8.990%		IL - 75.00%		Paid Off - 360		01-Dec-2004

410186977 1			122,000.00		121,608.45			20-Jun-2005		9.950%		CA - 59.80%		Paid Off - 360		01-Dec-2004

410212366 2			277,950.00		276,615.38			29-Jun-2005		7.990%		PA - 85.00%		Paid Off - 360		01-Dec-2004



Page 26 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution

Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution
Loan Number			Original							Current		State &		Type Prepayment		First


&		Loan	Principal		Prepayment			Prepayment		Note		LTV at		&		Payment

Loan Group		Status	Balance		Amount			Date		Rate		Origination		Original Term		Date

511031787 2			229,500.00		228,389.19			24-Jun-2005		7.950%		CA - 90.00%		Paid Off - 360		01-Dec-2004


521019462 2			252,000.00		250,387.55			23-Jun-2005		7.590%		MI - 90.00%		Paid Off - 360		01-Nov-2004

521020328 1			110,700.00		110,180.08			02-Jun-2005		8.100%		WI - 82.00%		Paid Off - 360		01-Dec-2004

521020627 3			96,000.00		95,452.93			27-Jun-2005		7.125%		WI - 80.00%		Paid Off - 360		01-Dec-2004

521021095 2			185,250.00		184,718.03			24-Jun-2005		9.725%		WI - 95.00%		Paid Off - 360		01-Jan-2005

561000724 2			155,000.00		154,014.48			29-Jun-2005		6.900%		FL - 82.45%		Paid Off - 360		01-Dec-2004

611011137 3			297,500.00		296,504.46			09-Jun-2005		9.750%		NY - 70.83%		Paid Off - 360		01-Dec-2004

611012228 1			302,400.00		300,697.64			27-Jun-2005		7.450%		NY - 90.00%		Paid Off - 360		01-Dec-2004

611013085 1			286,000.00		284,558.83			02-Jun-2005		7.750%		NY - 79.44%		Paid Off - 360		01-Dec-2004

611013164 2			266,000.00		264,794.45			08-Jun-2005		7.500%		NY - 78.24%		Paid Off - 360		01-Jan-2005

631004609 3			425,700.00		423,165.43			07-Jun-2005		6.900%		CA - 90.00%		Paid Off - 360		01-Dec-2004

631004791 2			190,000.00		189,151.51			01-Jun-2005		8.350%		CA - 38.00%		Paid Off - 360		01-Dec-2004

651005843 1			136,800.00		135,903.71			15-Jun-2005		6.500%		DE - 80.00%		Paid Off - 360		01-Dec-2004

661002038 2			198,250.00		197,200.60			23-Jun-2005		7.500%		CA - 65.00%		Paid Off - 360		01-Dec-2004

661002135 2			210,000.00		208,952.65			27-Jun-2005		7.800%		CA - 75.00%		Paid Off - 360		01-Dec-2004

661002136 1			138,000.00		137,004.78			08-Jun-2005		6.850%		CA - 76.24%		Paid Off - 360		01-Dec-2004

661002635 1			95,000.00		94,762.75			03-Jun-2005		11.300%		WA - 47.38%		Paid Off - 360		01-Dec-2004

661002660 1			123,200.00		122,530.31			29-Jun-2005		7.580%		CA - 80.00%		Paid Off - 360		01-Dec-2004

661002703 2			285,000.00		283,219.03			02-Jun-2005		6.650%		CA - 83.95%		Paid Off - 360		01-Dec-2004

661002745 2			217,800.00		216,438.98			02-Jun-2005		6.650%		NV - 90.00%		Paid Off - 360		01-Dec-2004

661002900 2			269,500.00		268,730.13			30-Jun-2005		9.750%		CA - 70.00%		Paid Off - 360		01-Jan-2005

671001439 2			306,000.00		305,902.54			01-Jun-2005		6.370%		CA - 90.00%		Paid Off - 360		01-Dec-2004

681001941 3			148,800.00		147,774.65			20-Jun-2005		6.850%		NH - 71.54%		Paid Off - 360		01-Nov-2004

681002375 3			100,000.00		90,012.63			22-Jun-2005		6.750%		MA - 33.90%		Paid Off - 360		01-Dec-2004

681002527 2			148,750.00		147,862.65			23-Jun-2005		6.890%		NH - 85.00%		Paid Off - 360		01-Dec-2004

681002611 2			142,200.00		141,555.10			21-Jun-2005		8.300%		MA - 90.00%		Paid Off - 360		01-Dec-2004

691000962 1			61,850.00		61,696.39			02-Jun-2005		11.150%		MD - 34.36%		Paid Off - 360		01-Dec-2004

691001355 2			142,200.00		141,657.63			21-Jun-2005		8.350%		MD - 90.00%		Paid Off - 360		01-Jan-2005

691001435 2			108,000.00		108,000.00			21-Jun-2005		6.550%		MD - 80.00%		Paid Off - 360		01-Dec-2004

711004645 2			198,400.00		196,926.22			22-Jun-2005		5.740%		MA - 80.00%		Paid Off - 360		01-Dec-2004

711004819 2			285,600.00		284,136.02			01-Jun-2005		7.750%		MA - 80.00%		Paid Off - 360		01-Dec-2004

721005042 1			281,700.00		281,700.00			21-Jun-2005		8.600%		AZ - 90.00%		Paid Off - 360		01-Dec-2004

731007793 1			102,600.00		102,077.44			15-Jun-2005		7.700%		GA - 90.00%		Paid Off - 360		01-Dec-2004

761005006 2			159,600.00		159,600.00			29-Jun-2005		7.000%		IL - 95.00%		Paid Off - 360		01-Dec-2004

761005235 2			157,500.00		156,828.87			20-Jun-2005		7.800%		IL - 66.46%		Paid Off - 360		01-Jan-2005

781000963 2			240,000.00		238,365.33			14-Jun-2005		6.200%		NJ - 57.83%		Paid Off - 360		01-Dec-2004

831029463 2			244,000.00		242,409.39			13-Jun-2005		7.750%		MA - 60.70%		Paid Off - 360		01-Oct-2004

831030016 1			156,000.00		154,976.02			30-Jun-2005		7.100%		CA - 65.00%		Paid Off - 360		01-Nov-2004



Page 27 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution

Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution
Loan Number			Original							Current		State &		Type Prepayment		First


&		Loan	Principal		Prepayment			Prepayment		Note		LTV at		&		Payment

Loan Group		Status	Balance		Amount			Date		Rate		Origination		Original Term		Date

831030048 2			301,500.00		299,298.91			13-Jun-2005		6.550%		CA - 84.22%		Paid Off - 360		01-Nov-2004


831030049 2			288,000.00		286,285.25			27-Jun-2005		6.900%		CA - 88.07%		Paid Off - 360		01-Dec-2004

841000085 2			207,600.00		206,595.16			24-Jun-2005		7.950%		MI - 80.00%		Paid Off - 360		01-Dec-2004

841001384 3			82,256.00		81,746.90			15-Jun-2005		6.700%		MI - 80.00%		Paid Off - 360		01-Dec-2004

841001400 3			113,250.00		#######			01-Jun-2005		6.750%		MI - 75.00%		Paid Off - 360		01-Dec-2004

841001506 1			125,000.00		124,487.30			21-Jun-2005		7.990%		MI - 89.29%		Paid Off - 360		01-Jan-2005

841001594 1			54,000.00		53,856.72			23-Jun-2005		10.100%		MI - 58.70%		Paid Off - 360		01-Jan-2005

841001663 1			88,400.00		88,062.85			30-Jun-2005		8.350%		MI - 85.00%		Paid Off - 360		01-Jan-2005

1000037882 2			43,000.00		42,544.83			01-Jul-2005		10.350%		CA - 20.00%		Paid Off - 240		01-Dec-2004

1000049726 2			316,200.00		314,692.73			28-Jun-2005		8.450%		CA - 85.00%		Paid Off - 360		01-Dec-2004

1000060588 2			203,000.00		202,338.24			15-Jun-2005		9.875%		FL - 70.00%		Paid Off - 360		01-Dec-2004

1000073495 1			91,000.00		90,436.80			12-Jul-2005		6.700%		FL - 56.88%		Paid Off - 360		01-Dec-2004

1000091028 1			215,000.00		213,548.07			15-Jul-2005		6.500%		CA - 53.09%		Paid Off - 360		01-Dec-2004

2010040920050 1			128,500.00		127,873.06			15-Jun-2005		8.590%		NC - 84.54%		Paid Off - 360		01-Nov-2004

2010040920170 3			499,000.00		495,609.27			30-Jun-2005		7.540%		NY - 61.23%		Paid Off - 360		01-Oct-2004

2010040921260 1			121,600.00		121,045.94			17-Jun-2005		9.770%		VA - 80.00%		Paid Off - 360		01-Oct-2004

2010040924810 1			276,000.00		273,933.55			01-Jun-2005		7.250%		VA - 80.00%		Paid Off - 360		01-Nov-2004

2010041031660 1			126,000.00		125,304.52			02-Jun-2005		7.990%		NC - 87.50%		Paid Off - 360		01-Nov-2004

2010041032390 3			134,725.00		134,047.43			21-Jun-2005		8.440%		VA - 85.00%		Paid Off - 360		01-Nov-2004

2010041034630 3			90,000.00		89,563.51			09-Jun-2005		7.940%		VA - 90.00%		Paid Off - 360		01-Dec-2004

2010041042080 1			207,000.00		205,774.40			14-Jun-2005		7.990%		VA - 86.97%		Paid Off - 360		01-Nov-2004

2030040928410 3			182,750.00		181,694.46			28-Jun-2005		7.750%		MD - 85.00%		Paid Off - 360		01-Nov-2004

2050041003290 3			71,900.00		71,592.94			22-Jun-2005		9.240%		OH - 99.86%		Paid Off - 360		01-Nov-2004

2050041005150 3			88,800.00		88,334.94			29-Jun-2005		8.240%		OH - 71.61%		Paid Off - 360		01-Nov-2004

2050041008450 1			129,600.00		128,607.58			30-Jun-2005		6.300%		OH - 90.00%		Paid Off - 360		01-Nov-2004

2060040563680 3			152,000.00		150,585.02			23-Jun-2005		7.450%		FL - 86.86%		Paid Off - 360		01-Jul-2004

2060040984410 3			232,000.00		230,546.99			29-Jun-2005		7.340%		FL - 77.33%		Paid Off - 360		01-Nov-2004

2060040985210 1			147,000.00		145,961.33			27-Jun-2005		6.720%		FL - 75.00%		Paid Off - 360		01-Nov-2004

2060041089670 1			95,250.00		94,522.38			16-Jun-2005		5.590%		FL - 75.00%		Paid Off - 360		01-Dec-2004

2080040810530 3			116,250.00		115,072.70			17-Jun-2005		6.900%		MI - 75.00%		Paid Off - 360		01-Oct-2004

2080040918430 1			136,000.00		135,024.09			24-Jun-2005		6.640%		OH - 80.00%		Paid Off - 360		01-Nov-2004

2090041007540 1			248,000.00		246,401.83			30-Jun-2005		6.490%		RI - 80.00%		Paid Off - 360		01-Dec-2004

2200040715670 3			142,800.00		142,090.52			24-Jun-2005		8.500%		WI - 85.00%		Paid Off - 360		01-Nov-2004

2200040928350 3			450,000.00		446,982.28			02-Jun-2005		6.990%		CA - 84.91%		Paid Off - 360		01-Nov-2004

2200041037980 3			178,500.00		177,507.39			08-Jun-2005		7.250%		CA - 75.00%		Paid Off - 360		01-Dec-2004

2210041073590 1			168,800.00		167,680.07			23-Jun-2005		6.340%		MO - 80.00%		Paid Off - 360		01-Dec-2004

2220040556450 1			164,500.00		162,517.24			21-Jun-2005		6.100%		FL - 80.24%		Paid Off - 360		01-Jul-2004

2220040979970 1			132,000.00		131,006.34			29-Jun-2005		6.390%		MD - 80.00%		Paid Off - 360		01-Nov-2004



Page 28 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution

Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution
Loan Number			Original							Current		State &		Type Prepayment		First


&		Loan	Principal		Prepayment			Prepayment		Note		LTV at		&		Payment

Loan Group		Status	Balance		Amount			Date		Rate		Origination		Original Term		Date

2220040981130 3			197,500.00		196,171.31			27-Jun-2005		6.990%		MD - 79.32%		Paid Off - 360		01-Nov-2004


2220041082240 3			256,000.00		254,283.22			22-Jun-2005		6.990%		MD - 80.00%		Paid Off - 360		01-Nov-2004

2220041082380 1			256,000.00		253,960.04			08-Jun-2005		6.090%		VA - 78.77%		Paid Off - 360		01-Nov-2004

2250040906140 3			52,000.00		51,775.59			28-Jun-2005		9.190%		FL - 38.52%		Paid Off - 360		01-Nov-2004

2280041090400 3			153,000.00		152,198.78			01-Jun-2005		8.240%		MN - 85.00%		Paid Off - 360		01-Nov-2004

2280041090920 1			198,000.00		196,748.32			21-Jun-2005		7.590%		MN - 90.00%		Paid Off - 360		01-Nov-2004

2290040939480 3			500,000.00		496,597.81			30-Jun-2005		6.915%		CA - 91.74%		Paid Off - 360		01-Nov-2004

2290040943150 1			180,000.00		178,840.03			16-Jun-2005		6.490%		CA - 62.07%		Paid Off - 360		01-Dec-2004

2290041046950 1			100,000.00		99,552.48			30-Jun-2005		8.340%		CA - 50.00%		Paid Off - 360		01-Dec-2004

2300040943740 3			200,000.00		198,949.59			01-Jun-2005		7.540%		CA - 55.56%		Paid Off - 360		01-Dec-2004

2320040963940 3			82,400.00		81,908.75			15-Jun-2005		7.590%		WV - 78.48%		Paid Off - 360		01-Nov-2004

2350041062130 3			450,000.00		447,069.12			15-Jun-2005		7.140%		NJ - 86.54%		Paid Off - 360		01-Nov-2004

2360040936850 3			168,000.00		167,082.17			28-Jun-2005		7.340%		CA - 68.57%		Paid Off - 360		01-Dec-2004

2360041039320 1			167,450.00		166,072.56			02-Jun-2005		5.190%		CA - 85.00%		Paid Off - 360		01-Dec-2004



TOTAL			54,020,056.00		53,734,436.59



Page 29 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution
Realized Loss Report

COLLATERAL REALIZED LOSSES



									Group 3		Group 2		Group 1		Total


Current




Number of Loans Liquidated								0		0		2		2
Collateral Principal Realized Loss/(Gain) Amount								0.00		0.00		43,976.09		43,976.09
Collateral Interest Realized Loss/(Gain) Amount								0.00		0.00		0.00		0.00
Net Liquidation Proceeds								0.00		0.00		141,901.17		141,901.17

Cumulative




Number of Loans Liquidated								0		0		2		2
Collateral Realized Loss/(Gain) Amount								0.00		0.00		43,976.09		43,976.09
Net Liquidation Proceeds								0.00		0.00		141,901.17		141,901.17










Page 30 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution


DEFAULT SPEEDS



									Group 3		Group 2		Group 1		Total



MDR								0.00%		0.00%		0.04%		0.01%
3 Months Avg MDR								0.00%		0.00%		0.01%		0.00%
12 Months Avg MDR								0.00%		0.00%		0.01%		0.00%
Avg MDR Since Cut-off								0.00%		0.00%		0.01%		0.00%


CDR								0.00%		0.00%		0.48%		0.15%
3 Months Avg CDR								0.00%		0.00%		0.16%		0.05%
12 Months Avg CDR								0.00%		0.00%		0.12%		0.04%
Avg CDR Since Cut-off								0.00%		0.00%		0.12%		0.04%


SDA								0.00%		0.00%		2.87%		0.91%
3 Months Avg SDA Approximation								0.00%		0.00%		1.09%		0.34%
12 Months Avg SDA Approximation								0.00%		0.00%		0.88%		0.28%
Avg SDA Since Cut-off Approximation								0.00%		0.00%		0.88%		0.28%


Loss Severity Approximation for Current Period								0.00%		0.00%		23.66%		23.66%
3 Months Avg Loss Severity Approximation								0.00%		0.00%		7.89%		7.89%
12 Months Avg Loss Severity Approximation								0.00%		0.00%		5.91%		5.91%
Avg Loss Severity Approximation Since Cut-off								0.00%		0.00%		5.91%		5.91%












Page 31 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution





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 32 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution
Realized Loss Detail Report
Loan Number			Current		State &				Prior		Realized				Cumulative

&		Loan	Note		LTV at		Original		Principal		Loss/(Gain)		Realized		Realized

Loan Group		Status	Rate		Origination		Term		Balance		Revision		Loss/(Gain)		Loss/(Gain)

321021453 1
			7.250%		CO - 80.00%		360		147,177.04				23,063.85		0.00

1000052597 1			11.600%		CO - 20.00%		240		38,700.22				20,912.24		0.00


TOTAL									185,877.26			43,976.09		0.00



Page 33 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution
Triggers and Adj. Cert. Report
TRIGGER EVENTS

								Group 3		Group 2		Group 1		Total
						Trigger Event in effect (0=No , 1=Yes)								0
						Stepdown Date has occurred (0 = No, 1=Yes)								0
						3 months rolling 60+ days includes 60+ bkcs and all flcs								0.00
						Ending Balance								1,421,358,437.79
						Prior period Senior Enhancement Percentage								19.9100%



ADJUSTABLE RATE CERTIFICATE INFORMATION

SPACE INTENTIONALLY LEFT BLANK



ADDITIONAL INFORMATION

								Group 3		Group 2		Group 1		Total
Basis Risk CarryForward Amount paid
Basis Risk CarryForward Amount unpaid
Excess Reserve Fund Account Balance




Page 34 of 35
Morgan Stanley ABS Capital I Inc. 2005-HE2

Mortgage Pass-Through Certificates

2005-HE2

July 25, 2005 Distribution
Other Related Information
ADDITIONAL INFORMATION

								Group 3		Group 2		Group 1		Total
Current Scheduled Payments														10,097,222.63
Current Scheduled Payments 1 Month Prior														10,382,745.56
Current Scheduled Payments 2 Month Prior														10,627,011.35
Current Scheduled Payments 3 Month Prior														10,868,495.06
Current Scheduled Payments 4 Month Prior														0.00
Current Scheduled Payments 5 Month Prior														0.00
Current Scheduled Payments 6 Month Prior														0.00
Current Scheduled Payments 7 Month Prior														0.00
Current Scheduled Payments 8 Month Prior														0.00
Current Scheduled Payments 9 Month Prior														0.00
Current Scheduled Payments 10 Month Prior														0.00
Current Scheduled Payments 11 Month Prior														0.00





Sched. Payments for 60+Day Delinquent Loans								0.00		0.00		0.00		0.00
Sched. Pmts - 60+Day Delinquent Loans, 1 Month Prior								0.00		0.00		0.00		0.00
Sched. Pmts - 60+Day Delinquent Loans, 2 Month Prior								0.00		0.00		0.00		0.00
Sched. Pmts - 60+Day Delinquent Loans, 3 Month Prior								0.00		0.00		0.00		0.00
Sched. Pmts - 60+Day Delinquent Loans, 4 Month Prior								0.00		0.00		0.00		0.00
Sched. Pmts - 60+Day Delinquent Loans, 5 Month Prior								0.00		0.00		0.00		0.00
Sched. Pmts - 60+Day Delinquent Loans, 6 Month Prior								0.00		0.00		0.00		0.00
Sched. Pmts - 60+Day Delinquent Loans, 7 Month Prior								0.00		0.00		0.00		0.00
Sched. Pmts - 60+Day Delinquent Loans, 8 Month Prior								0.00		0.00		0.00		0.00
Sched. Pmts - 60+Day Delinquent Loans, 9 Month Prior								0.00		0.00		0.00		0.00
Sched. Pmts - 60+Day Delinquent Loans, 10 Month Prior								0.00		0.00		0.00		0.00
Sched. Pmts - 60+Day Delinquent Loans, 11 Month Prior								0.00		0.00		0.00		0.00




Page 35 of 35

Morgan Stanley ABS Capital I Inc. Trust 2005-HE2 8-K