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):  September 25, 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
     September 25, 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:  Oct 01, 2003               By:  /s/  Katherine M. Wannenmacher
                                            Katherine M. Wannenmacher
                                            Vice President

                                   EXHIBIT INDEX

          DOCUMENT

          Monthly Remittance Statement to the Certificateholders
          dated as of September 25, 2003.






			

	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	September 25, 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				20
			12.	Realized Loss Detail Report				23
			13.	Triggers, Adj. Rate Cert. and Miscellaneous Report				24
				Total Number of Pages				24
			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: September 25, 2003
	Underwriter(s):		Morgan Stanley Dean Witter					Record Date: September 24, 2003
								August 29, 2003
						Page 1 of 24					© 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 September 25, 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			299,599,000.00	381,988.73	4,070,118.59	4,452,107.32	-	-	295,528,881.41
A-2	FLT	205,944,000.00			205,944,000.00	248,849.00	1,882,136.24	2,130,985.24	-	-	204,061,863.76
M-1	MEZ, FLT	37,447,000.00			37,447,000.00	54,922.27	-	54,922.27	-	-	37,447,000.00
M-2	MEZ, FLT	34,327,000.00			34,327,000.00	78,952.10	-	78,952.10	-	-	34,327,000.00
M-3	MEZ, FLT	9,362,000.00			9,362,000.00	24,263.18	-	24,263.18	-	-	9,362,000.00
B-1	SUB, FLT	9,362,000.00			9,362,000.00	34,795.43	-	34,795.43	-	-	9,362,000.00
B-2	SUB, FLT	9,362,000.00			9,362,000.00	39,086.35	-	39,086.35	-	-	9,362,000.00
B-3	SUB, FLT	9,362,000.00			9,362,000.00	39,866.52	-	39,866.52	-	-	9,362,000.00
X	SUB	9,362,306.40			9,362,306.40	2,989,793.25	396.80	2,990,190.05	-	-	9,361,909.60
UT-R	R	-			-	-	-	-	-	-	-
P	EXE	-			-	99,093.77	-	99,093.77	-	-	-
Total		624,127,306.40			624,127,306.40	3,991,610.60	5,952,651.63	9,944,262.23	-	-	618,174,654.77
	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	08/26/03	09/24/03		A-Act/360	61746RCY5	299,599,000.00	1,000.000000	1.275000	13.585221	14.860221	986.414779
A-2	08/26/03	09/24/03		A-Act/360	61746RCZ2	205,944,000.00	1,000.000000	1.208333	9.139068	10.347401	990.860932
M-1	08/26/03	09/24/03		A-Act/360	61746RDA6	37,447,000.00	1,000.000000	1.466667	-	1.466667	1,000.000000
M-2	08/26/03	09/24/03		A-Act/360	61746RDB4	34,327,000.00	1,000.000000	2.300000	-	2.300000	1,000.000000
M-3	08/26/03	09/24/03		A-Act/360	61746RDC2	9,362,000.00	1,000.000000	2.591666	-	2.591666	1,000.000000
B-1	08/26/03	09/24/03		A-Act/360	61746RDD0	9,362,000.00	1,000.000000	3.716666	-	3.716666	1,000.000000
B-2	08/26/03	09/24/03		A-Act/360	61746RDE8	9,362,000.00	1,000.000000	4.175000	-	4.175000	1,000.000000
B-3	08/26/03	09/24/03		A-Act/360	61746RDF5	9,362,000.00	1,000.000000	4.258334	-	4.258334	1,000.000000
X	08/26/03	09/24/03		A-Act/360		9,362,306.40	1,000.000000	319.343666	0.042383	319.386049	999.957617
UT-R	08/26/03	09/24/03		-		-	-	-	-	-	-
P	08/26/03	09/24/03		-		-	-	-	-	-	-
							Page 2 of 24				© 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 September 25, 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		381,988.73		3,733,619.66	336,498.93	4,070,118.59	4,452,107.32	-	-	295,528,881.41
A-2	205,944,000.00		248,849.00		1,726,529.76	155,606.48	1,882,136.24	2,130,985.24	-	-	204,061,863.76
M-1	37,447,000.00		54,922.27		0.00	-	-	54,922.27	-	-	37,447,000.00
M-2	34,327,000.00		78,952.10		-	-	-	78,952.10	-	-	34,327,000.00
M-3	9,362,000.00		24,263.18		-	-	-	24,263.18	-	-	9,362,000.00
B-1	9,362,000.00		34,795.43		-	-	-	34,795.43	-	-	9,362,000.00
B-2	9,362,000.00		39,086.35		-	-	-	39,086.35	-	-	9,362,000.00
B-3	9,362,000.00		39,866.52		-	-	-	39,866.52	-	-	9,362,000.00
X	9,362,306.40		2,989,793.25		363.99	32.81	396.80	2,990,190.05	-	-	9,361,909.60
UT-R	-		-		-	-	-	-	-	-	-
P	-		99,093.77		-	-	-	99,093.77	-	-	-
Total	624,127,306.40		3,991,610.60		5,460,513.42	492,138.21	5,952,651.63	9,944,262.23	-	-	618,174,654.77
	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	1.53000%	299,599,000.00			381,988.73	-	-	-	381,988.73	381,988.73	-
A-2	1.45000%	205,944,000.00			248,849.00	-	-	-	248,849.00	248,849.00	-
M-1	1.76000%	37,447,000.00			54,922.27	-	-	-	54,922.27	54,922.27	-
M-2	2.76000%	34,327,000.00			78,952.10	-	-	-	78,952.10	78,952.10	-
M-3	3.11000%	9,362,000.00			24,263.18	-	-	-	24,263.18	24,263.18	-
B-1	4.46000%	9,362,000.00			34,795.43	-	-	-	34,795.43	34,795.43	-
B-2	5.01000%	9,362,000.00			39,086.35	-	-	-	39,086.35	39,086.35	-
B-3	5.11000%	9,362,000.00			39,866.52	-	-	-	39,866.52	39,866.52	-
X	5.74843%	9,362,306.40			2,989,793.25	-	-	-	2,989,793.25	2,989,793.25	-
UT-R		-			-	-	-	-	-	-	-
P		-			99,093.77	-	-	-	99,093.77	99,093.77	-
Total		624,127,306.40			3,991,610.60	-	-	-	3,991,610.60	3,991,610.60	-
							Page 3 of 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Collection Account Report for September 25, 2003 Distribution
	Collection Account Report
SUMMARY						GROUP 2	GROUP 1	TOTAL
	Principal Collections					1,882,261.71	4,070,389.92	5,952,651.63
	Principal Other Accounts					0.00	0.00	0.00
	TOTAL NET PRINCIPAL					1,882,261.71	4,070,389.92	5,952,651.63
	Interest Collections					1,582,233.35	2,310,283.48	3,892,516.83
	Interest Withdrawals					0.00	0.00	0.00
	Interest Other Accounts					0.00	0.00	0.00
	Interest Fees					(17,492.80)	(26,960.66)	(44,453.46)
	TOTAL NET INTEREST					1,564,740.55	2,283,322.82	3,848,063.37
	TOTAL PRINCIPAL & INTEREST DISTRIBUTABLE					3,447,002.26	6,353,712.74	9,800,715.00
	Prepayment Penalties Collected							99,093.77
	TOTAL AVAILABLE FUNDS FOR DISTRIBUTION							9,944,262.23
PRINCIPAL - COLLECTIONS						GROUP 2	GROUP 1	TOTAL
	Scheduled Principal Received					214,318.36	277,819.85	492,138.21
	Prepayments In Full					1,652,186.68	3,756,417.90	5,408,604.58
	Curtailments					15,756.67	36,152.17	51,908.84
	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					(181,365.11)	(231,947.02)	(413,312.13)
	Advanced Principal					181,365.11	231,947.02	413,312.13
	TOTAL PRINCIPAL COLLECTED					1,882,261.71	4,070,389.92	5,952,651.63
				Page 4 of 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Collection Account Report for September 25, 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					1,689,697.19	2,466,617.44	4,156,314.63
	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					(1,440,283.91)	(2,081,191.20)	(3,521,475.11)
	Interest Advanced					1,350,312.87	1,951,817.90	3,302,130.77
	TOTAL INTEREST COLLECTED					1,582,233.35	2,310,283.48	3,892,516.83
				Page 5 of 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Collection Account Report for September 25, 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					15,967.29	24,741.41	40,708.70
	Trustee Fees					1,525.51	2,219.25	3,744.76
	TOTAL INTEREST OTHER FEES					17,492.80	26,960.66	44,453.46
				Page 6 of 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Credit Enhancement Report for September 25, 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							9,362,306.40
	Ending Subordinated Amount							9,361,909.60
	Specified Subordinated Amount							9,361,909.60
	Senior Enhancement Percentage							19.18%
				Page 7 of 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Collateral Report for September 25, 2003 Distribution
	Collateral Report
COLLATERAL						GROUP 2	GROUP 1	TOTAL
	Loan Count:
	Original					1903	2647	4550
	Prior					-	-	-
	Prefunding					-	-	-
	Scheduled Paid Offs					-	-	-
	Full Voluntary Prepayments					(15)	(23)	(38)
	Repurchases					-	-	-
	Liquidations					-	-	-
	Current					1,888	2,624	4,512
	Principal Balance:
	Original					254,251,979.56	369,875,326.84	624,127,306.40
	Prior					-	-	-
	Prefunding					-	-	-
	Scheduled Principal					(214,318.36)	(277,819.85)	(492,138.21)
	Partial and Full Voluntary Prepayments					(1,667,943.35)	(3,792,570.07)	(5,460,513.42)
	Repurchases					-	-	-
	Liquidations					-	-	-
	Current					252,369,717.85	365,804,936.92	618,174,654.77
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 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Collateral Report for September 25, 2003 Distribution
	Collateral Report
CHARACTERISTICS						GROUP 2	GROUP 1	TOTAL
	Weighted Average Coupon Original					7.974910%	8.002537%	7.991282%
	Weighted Average Coupon Prior
	Weighted Average Coupon Current					7.974910%	8.002537%	7.991282%
	Weighted Average Months to Maturity Original					336	349	344
	Weighted Average Months to Maturity Prior					-	-	-
	Weighted Average Months to Maturity Current					336	349	344
	Weighted Avg Remaining Amortization Term Original					345	352	349
	Weighted Avg Remaining Amortization Term Prior					-	-	-
	Weighted Avg Remaining Amortization Term Current					345	352	349
	Weighted Average Seasoning Original					4.12	4.20	4.17
	Weighted Average Seasoning Prior					-	-	-
	Weighted Average Seasoning Current					4.12	4.20	4.17
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 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Collateral Report for September 25, 2003 Distribution
	Collateral Report
ARM CHARACTERISTICS						GROUP 2	GROUP 1	TOTAL
	Weighted Average Margin Original					3.525%	5.394%
	Weighted Average Margin Prior
	Weighted Average Margin Current					3.525%	5.394%
	Weighted Average Max Rate Original					7.911%	12.119%
	Weighted Average Max Rate Prior
	Weighted Average Max Rate Current					7.911%	12.119%
	Weighted Average Min Rate Original					3.914%	5.947%
	Weighted Average Min Rate Prior
	Weighted Average Min Rate Current					3.914%	5.947%
	Weighted Average Cap Up Original					0.604%	0.903%
	Weighted Average Cap Up Prior
	Weighted Average Cap Up Current					0.604%	0.903%
	Weighted Average Cap Down Original					0.604%	0.903%
	Weighted Average Cap Down Prior
	Weighted Average Cap Down Current					0.604%	0.903%
Note: Original information refers to deal issue.
SERVICING FEES / ADVANCES						GROUP 2	GROUP 1	TOTAL
	Current Servicing Fees					15,967.29	24,741.41	40,708.70
	Delinquent Servicing Fees					89,971.04	129,373.31	219,344.35
	TOTAL SERVICING FEES					105,938.33	154,114.72	260,053.05
	Prepayment Interest Shortfall					4,023.50	14,907.79	18,931.29
	Compensating Interest					(4,023.50)	(14,907.79)	(18,931.29)
	Delinquent Servicing Fees					(89,971.04)	(129,373.31)	(219,344.35)
	COLLECTED SERVICING FEES					15,967.29	24,741.41	40,708.70
	Aggregate Advances with respect to this Distribution					1,531,677.98	2,183,764.92	3,715,442.90
	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							2,989,793.25
	Ending Pool Stated Principal Balance					252,369,717.85	365,804,936.92	618,174,654.77
				Page 10 of 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Delinquency Report for September 25, 2003 Distribution
	Delinquency Report - Total
				<1 PAYMENT	1 PAYMENT	2 PAYMENTS	3+ PAYMENTS	TOTAL
DELINQUENT		Balance			3,168,688.72	-	-	3,168,688.72
		% Balance			0.51%	0.00%	0.00%	0.51%
		# Loans			28	-	-	28
		% # Loans			0.62%	0.00%	0.00%	0.62%
FORECLOSURE		Balance		-	-	-	-	-
		% Balance		0.00%	0.00%	0.00%	0.00%	0.00%
		# Loans		-	-	-	-	-
		% # Loans		0.00%	0.00%	0.00%	0.00%	0.00%
BANKRUPTCY		Balance		828,957.00	-	-	-	828,957.00
		% Balance		0.13%	0.00%	0.00%	0.00%	0.13%
		# Loans		5	-	-	-	5
		% # Loans		0.11%	0.00%	0.00%	0.00%	0.11%
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		828,957.00	3,168,688.72	-	-	3,997,645.72
		% Balance		0.13%	0.51%	0.00%	0.00%	0.65%
		# Loans		5	28	-	-	33
		% # Loans		0.11%	0.62%	0.00%	0.00%	0.73%
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 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Delinquency Report for September 25, 2003 Distribution
	Delinquency Report - Group 1 Group
				<1 PAYMENT	1 PAYMENT	2 PAYMENTS	3+ PAYMENTS	TOTAL
DELINQUENT		Balance			1,416,079.84	-	-	1,416,079.84
		% Balance			0.39%	0.00%	0.00%	0.39%
		# Loans			11	-	-	11
		% # Loans			0.42%	0.00%	0.00%	0.42%
FORECLOSURE		Balance		-	-	-	-	-
		% Balance		0.00%	0.00%	0.00%	0.00%	0.00%
		# Loans		-	-	-	-	-
		% # Loans		0.00%	0.00%	0.00%	0.00%	0.00%
BANKRUPTCY		Balance		529,562.49	-	-	-	529,562.49
		% Balance		0.14%	0.00%	0.00%	0.00%	0.14%
		# Loans		4	-	-	-	4
		% # Loans		0.15%	0.00%	0.00%	0.00%	0.15%
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		529,562.49	1,416,079.84	-	-	1,945,642.33
		% Balance		0.14%	0.39%	0.00%	0.00%	0.53%
		# Loans		4	11	-	-	15
		% # Loans		0.15%	0.42%	0.00%	0.00%	0.57%
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 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Delinquency Report for September 25, 2003 Distribution
	Delinquency Report - Group 2 Group
				<1 PAYMENT	1 PAYMENT	2 PAYMENTS	3+ PAYMENTS	TOTAL
DELINQUENT		Balance			1,752,608.88	-	-	1,752,608.88
		% Balance			0.69%	0.00%	0.00%	0.69%
		# Loans			17	-	-	17
		% # Loans			0.90%	0.00%	0.00%	0.90%
FORECLOSURE		Balance		-	-	-	-	-
		% Balance		0.00%	0.00%	0.00%	0.00%	0.00%
		# Loans		-	-	-	-	-
		% # Loans		0.00%	0.00%	0.00%	0.00%	0.00%
BANKRUPTCY		Balance		299,394.51	-	-	-	299,394.51
		% Balance		0.12%	0.00%	0.00%	0.00%	0.12%
		# Loans		1	-	-	-	1
		% # Loans		0.05%	0.00%	0.00%	0.00%	0.05%
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		299,394.51	1,752,608.88	-	-	2,052,003.39
		% Balance		0.12%	0.69%	0.00%	0.00%	0.81%
		# Loans		1	17	-	-	18
		% # Loans		0.05%	0.90%	0.00%	0.00%	0.95%
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 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	REO Report for September 25, 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 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Foreclosure Report for September 25, 2003 Distribution
	Foreclosure Report - Mortgage Loans that Become Foreclosure During Current Distribution
SUMMARY				LOAN GROUP
Total Loan Count = 0				Loan Group 1 = Group 1 Group
Total Original Principal Balance = 000.00				Loan Group 2 = Group 2 Group
Total Current Balance = 000.00
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 15 of 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Prepayment Report for September 25, 2003 Distribution
	Prepayment Report - Voluntary Prepayments
VOLUNTARY PREPAYMENTS						GROUP 2	GROUP 1	TOTAL
	Current
	Number of Paid in Full Loans					15	23	38
	Number of Repurchased Loans					-	-	-
	Total Number of Loans Prepaid in Full					15	23	38
	Paid in Full Balance					1,652,186.68	3,756,417.90	5,408,604.58
	Repurchased Loans Balance					-	-	-
	Curtailments Amount					15,756.67	36,152.17	51,908.84
	Total Prepayment Amount					1,667,943.35	3,792,570.07	5,460,513.42
	Cumulative
	Number of Paid in Full Loans					15	23	38
	Number of Repurchased Loans					-	-	-
	Total Number of Loans Prepaid in Full					15	23	38
	Paid in Full Balance					1,652,186.68	3,756,417.90	5,408,604.58
	Repurchased Loans Balance					-	-	-
	Curtailments Amount					15,756.67	36,152.17	51,908.84
	Total Prepayment Amount					1,667,943.35	3,792,570.07	5,460,513.42
SPACE INTENTIONALLY LEFT BLANK
Total Prepayments by Groups (in thousands of dollars)					Total Prepayments (in thousands of dollars)
				Page 16 of 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Prepayment Report for September 25, 2003 Distribution
	Prepayment Report - Voluntary Prepayments
VOLUNTARY PREPAYMENT RATES						GROUP 2	GROUP 1	TOTAL
	SMM					0.66%	1.03%	0.88%
	3 Months Avg SMM
	12 Months Avg SMM
	Avg SMM Since Cut-off					0.66%	1.03%	0.88%
	CPR					7.60%	11.64%	10.02%
	3 Months Avg CPR
	12 Months Avg CPR
	Avg CPR Since Cut-off					7.60%	11.64%	10.02%
	PSA					923.51%	1384.64%	1201.59%
	3 Months Avg PSA Approximation
	12 Months Avg PSA Approximation
	Avg PSA Since Cut-off Approximation					923.51%	1384.64%	1201.59%
	Group 1
	Group 2
CPR by Groups					Total CPR
PSA by Groups					Total PSA
				Page 17 of 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Prepayment Report for September 25, 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 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Prepayment Detail Report for September 25, 2003 Distribution
	Prepayment Detail Report - Loans Prepaid in Full During Current Distribution
SUMMARY						LOAN GROUP
Total Loan Count = 38						Loan Group 1 = Group 1 Group
Total Original Principal Balance = 5,429,845.00						Loan Group 2 = Group 2 Group
Total Prepayment Amount = 5,408,604.58
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
122725443 1			92,000.00	91,601.40	Aug-20-03	10.750%	AZ - 80.00%	Paid Off - 360	Aug-01-02
123720583 1			47,000.00	45,885.88	Aug-27-03	10.625%	NC - 63.51%	Paid Off - 180	Sep-27-02
126020346 1			208,000.00	205,533.47	Aug-05-03	9.875%	CA - 80.00%	Paid Off - 360	Jan-29-03
126361104 1			200,000.00	199,616.67	Aug-25-03	10.750%	DE - 13.33%	Paid Off - 360	Feb-28-03
126758846 1			87,750.00	87,473.39	Aug-04-03	9.750%	MO - 65.00%	Paid Off - 360	Jan-31-03
126828433 1			258,300.00	257,714.27	Aug-11-03	8.875%	NV - 90.00%	Paid Off - 360	Mar-26-03
126906643 1			155,000.00	154,568.63	Aug-20-03	9.875%	MI - 57.41%	Paid Off - 360	Jan-31-03
126981943 1			25,000.00	24,129.47	Aug-08-03	10.625%	NY - 44.64%	Paid Off - 360	Feb-11-03
127034007 1			135,150.00	133,435.35	Aug-05-03	9.625%	VA - 85.00%	Paid Off - 180	Feb-17-03
127099943 1			183,200.00	182,776.91	Aug-04-03	9.875%	CA - 80.00%	Paid Off - 360	Feb-18-03
127316289 1			289,750.00	289,058.30	Aug-28-03	8.625%	CT - 95.00%	Paid Off - 360	Mar-31-03
127346443 1			60,500.00	60,102.24	Aug-08-03	10.750%	NJ - 69.54%	Paid Off - 360	Mar-28-03
127381614 1			195,000.00	194,522.39	Aug-06-03	8.500%	MD - 60.19%	Paid Off - 360	Mar-11-03
127615128 1			215,600.00	214,969.82	Aug-06-03	7.625%	NC - 80.75%	Paid Off - 360	Mar-22-03
127676542 1			70,000.00	69,843.71	Aug-21-03	8.950%	VA - 42.94%	Paid Off - 360	Mar-21-03
127939643 1			256,000.00	254,963.14	Aug-01-03	5.950%	DC - 80.00%	Paid Off - 360	Mar-27-03
128032687 1			250,000.00	249,287.30	Aug-08-03	7.750%	MA - 58.14%	Paid Off - 360	Mar-26-03
128125002 1			270,000.00	269,287.42	Aug-04-03	8.950%	OK - 90.00%	Paid Off - 360	Mar-25-03
128419983 1			246,000.00	245,178.29	Aug-20-03	6.950%	LA - 60.00%	Paid Off - 360	Mar-28-03
122716483 2			99,900.00	99,264.72	Aug-13-03	9.250%	NV - 67.96%	Paid Off - 360	Aug-28-02
123295453 2			52,200.00	52,055.97	Aug-19-03	12.375%	MN - 75.00%	Paid Off - 360	Sep-16-02
126392729 2			30,000.00	29,914.98	Aug-04-03	9.950%	VA - 61.22%	Paid Off - 360	Feb-07-03
126944974 2			88,900.00	88,689.22	Aug-18-03	9.750%	VA - 70.00%	Paid Off - 360	Feb-13-03
126997014 2			66,300.00	66,209.18	Aug-12-03	11.250%	OH - 85.00%	Paid Off - 360	Mar-31-03
127455079 2			219,800.00	216,910.74	Aug-25-03	6.625%	CA - 70.00%	Paid Off - 180	Mar-25-03
127653954 2			84,000.00	83,708.22	Aug-21-03	6.750%	OH - 80.00%	Paid Off - 360	Mar-28-03
127831055 2			228,000.00	227,661.27	Aug-08-03	10.875%	CA - 80.00%	Paid Off - 360	Mar-19-03
127843878 2			390,000.00	389,020.14	Aug-28-03	8.375%	MI - 65.00%	Paid Off - 360	Mar-26-03
128306313 2			56,000.00	55,813.85	Aug-18-03	8.500%	OH - 69.14%	Paid Off - 360	Mar-26-03
5070066 3			101,000.00	100,918.49	Sep-01-03	10.450%	NJ - 69.66%	Paid Off - 360	May-30-03
5489466 3			154,000.00	153,903.25	Sep-01-03	11.600%	FL - 78.97%	Paid Off - 360	May-30-03
5626684 3			112,000.00	111,867.95	Sep-01-03	8.650%	CA - 67.88%	Paid Off - 360	Jun-03-03
5702151 3			160,000.00	159,780.16	Sep-01-03	7.900%	TX - 89.89%	Paid Off - 360	May-30-03
5089026 4			57,000.00	56,889.09	Sep-01-03	8.200%	MO - 75.00%	Paid Off - 360	Apr-30-03
5178010 4			54,600.00	54,465.24	Sep-01-03	9.300%	TX - 58.71%	Paid Off - 360	Apr-28-03
5186846 4			34,645.00	34,614.94	Sep-01-03	12.000%	WV - 65.00%	Paid Off - 360	Apr-30-03
5266599 4			123,250.00	123,018.79	Sep-01-03	8.380%	RI - 85.00%	Paid Off - 360	May-06-03
5568293 4			74,000.00	73,950.33	Sep-01-03	11.300%	CA - 44.85%	Paid Off - 360	Jun-03-03
					Page 19 of 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Realized Loss Report for September 25, 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 20 of 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Realized Loss Report for September 25, 2003 Distribution
	Realized Loss Report - Collateral
DEFAULT SPEEDS						GROUP 2	GROUP 1	TOTAL
	MDR					0.00%	0.00%	0.00%
	3 Months Avg MDR
	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
	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
	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 21 of 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Realized Loss Report for September 25, 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 22 of 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Realized Loss Detail Report for September 25, 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 23 of 24				© COPYRIGHT 2003 Deutsche Bank
	Morgan Stanley ABS Capital I Inc. 2003-HE2
	Mortgage Pass-Through Certificates
	Triggers, Adj. Rate Cert. and Miscellaneous Report for September 25, 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)							0.00%
	(x) 60+ DQ 3Mo Avg Bal							0.00
	(y) ending Stated Prin Bal							618,174,654.77
	(b) 40% of Prior Period Senior Enhancement Perc							8.00%
	(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)							20.00%
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 24 of 24				© COPYRIGHT 2003 Deutsche Bank