Student Loans and SBA Loans

Have a junior here taking Level 2 in a month. She is bringing up an interesting point on valuing student loan backed abs and sba backed abs. First of all, what is the appropriate spread measure for both types of abs? Secondly, would a binomial model or monte carlo simulation be used?

considering they are probably not interest-rate path-dependent I would say z-spread and binomial. Probably not very sensitive to prepayments.