Document:

<PAGE>

                                                                  EXHIBIT 10.108

================================================================================

                             BROKER-DEALER AGREEMENT

                                      among

                      DEUTSCHE BANK TRUST COMPANY AMERICAS,
                                as Auction Agent,

                       NELNET STUDENT LOAN CORPORATION-1,
                                    as Issuer

                                       and

                         BANC OF AMERICA SECURITIES LLC,
                                as Broker-Dealer

                                   Relating to

                        NELNET Student Loan Corporation-1
                     Taxable Student Loan Asset-Backed Notes
   $48,300,000 Senior Auction Rate Class 1996A-1 Auction Rate Securities(sm)
                                   (ARS(sm))
   $73,700,000 Senior Auction Rate Class 1996A-3 Auction Rate Securities(sm)
                                   (ARS(sm))
   $54,300,000 Senior Auction Rate Class 1996A-4 Auction Rate Securities(sm)
                                   (ARS(sm))

                          Dated as of October 15, 2002

================================================================================

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                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                                                               Page
<S>                                                                                                            <C>
                                                          ARTICLE I

                                            DEFINITIONS AND RULES OF CONSTRUCTION

Section 1.01.    Terms Defined by Reference to the Indenture................................................    1
Section 1.02.    Terms Defined Herein.......................................................................    1
Section 1.03.    Rules of Construction......................................................................    2

                                                         ARTICLE II

                                                         THE AUCTION

Section 2.01.    Purpose: Incorporation by Reference of Auction Procedures and Settlement Procedures........    2
Section 2.02.    Preparation for Each Auction...............................................................    3
Section 2.03.    Auction Schedule: Method of Submission of Orders...........................................    4
Section 2.04.    Notices....................................................................................    5
Section 2.05.    Service Charge to Be Paid to BD............................................................    5
Section 2.06.    Settlement.................................................................................    6

                                                         ARTICLE III

                                                      THE AUCTION AGENT

Section 3.01.    Duties and Responsibilities................................................................    6
Section 3.02.    Rights of the Auction Agent................................................................    7

                                                         ARTICLE IV

                                                        MISCELLANEOUS

Section 4.01.    Termination................................................................................    7
Section 4.02.    Participant in Depository..................................................................    7
Section 4.03.    Communications.............................................................................    8
Section 4.04.    Entire Agreement...........................................................................    8
Section 4.05.    Benefits...................................................................................    8
Section 4.06.    Amendment: Waiver..........................................................................    8
Section 4.07.    Successors and Assigns.....................................................................    9
Section 4.08.    Severability...............................................................................    9
Section 4.09.    Execution in Counterparts..................................................................    9
Section 4.10.    Governing Law..............................................................................    9
</TABLE>

EXHIBIT A      SETTLEMENT PROCEDURES
EXHIBIT B-1    ORDER FORM

<PAGE>

EXHIBIT B-2   TRANSFER FORM
EXHIBIT C     NOTICE OF A FAILURE TO DELIVER

                                       ii

<PAGE>

         THIS BROKER-DEALER AGREEMENT dated as of October 15, 2002 among NELNET
STUDENT LOAN CORPORATION-1 (formerly known as Union Financial Services-1, Inc.)
("NELNET-1"), DEUTSCHE BANK TRUST COMPANY AMERICAS (formerly known as Bankers
Trust Company) (together with its successors and assigns, the "Auction Agent"),
not in its individual capacity but solely as agent of Zions First National Bank,
as successor trustee (the "Trustee") under the Second Amended and Restated
Indenture of Trust dated as of November 1, 1996 (the "Indenture"), by and
between NELNET-1 and the Trustee pursuant to authority granted to it in the
Amended and Restated Auction Agency Agreement dated as of November 1, 1996,
among NELNET-1, the Trustee and the Auction Agent (the "Auction Agency
Agreement"), and BANC OF AMERICA SECURITIES LLC (together with its successors
and assigns hereinafter referred to as "BD").

         NELNET-1 has issued $48,300,000 of its Taxable Student Loan
Asset-Backed Notes, Senior Class 1996A-1, as Auction Rate Securities(sm),
$73,700,000 of its Taxable Student Loan Asset-Backed Notes, Senior Class
1996A-3, as Auction Rate Securities(sm) and $54,300,000 of its Taxable Student
Loan Asset-Backed Notes, Senior Class 1996A-4, as Auction Rate Securities(sm)
(collectively, the "ARS(sm)").

         The Indenture provides that the interest rate on the ARS for each
Interest Period after the Initial Period shall, except under certain conditions,
equal the Auction Rate which the Auction Agent advises as the result of
implementation of the Auction Procedures. Pursuant to Section 2.9 of the Auction
Agency Agreement, the Auction Agent has entered into this Agreement.

         The Auction Procedures require the participation of one or more
Broker-Dealers.

         NOW, THEREFORE, in consideration of the mutual covenants contained
herein and other good and valuable consideration, the receipt and sufficiency of
which is hereby acknowledged, NELNET-1, the Auction Agent, as agent of the
Trustee, and BD agree as follows:

                                    ARTICLE I

                      DEFINITIONS AND RULES OF CONSTRUCTION

         SECTION 1.01. TERMS DEFINED BY REFERENCE TO THE INDENTURE. Capitalized
terms not defined herein shall have the respective meanings specified in or
pursuant to the Indenture and the Auction Agency Agreement.

         SECTION 1.02. TERMS DEFINED HEREIN. As used herein and in the
Settlement Procedures (as defined below), the following terms shall have the
following meanings, unless the context otherwise requires:

         "Auction" shall have the meaning specified in Section 2.01 hereof.

         "Auction Agency Agreement" shall mean the Amended and Restated Auction
Agency Agreement dated as of June 15, 1996, among NELNET-1, the Trustee and the
Auction Agent relating to the ARS.

<PAGE>

         "Auction Procedures" shall mean the Auction Procedures that are set
forth in Appendix A to the Indenture.

         "Authorized Officer" shall mean each Managing Director, Vice President,
Assistant Vice President, Secretary, Assistant Secretary and Assistant Treasurer
of the Auction Agent assigned to its Corporate Trust and Agency Group and every
other officer or employee of the Auction Agent designated as an Authorized
Officer for purposes of this Agreement.

         "BD Officer" shall mean each officer or employee of BD designated as a
"BD Officer" for purposes of this Agreement.

         "Broker-Dealer Agreement" shall mean this Broker-Dealer Agreement and
any substantially similar agreement between the Auction Agent and a
Broker-Dealer.

         "Holder" shall mean the beneficial owner of any ARS.

         "Settlement Procedures" shall mean the Settlement Procedures attached
hereto as Exhibit A.

         SECTION 1.03. RULES OF CONSTRUCTION. Unless the context or use
indicates another or different meaning or intent, the following rules shall
apply to the construction of this Agreement:

                  (a)      Words importing the singular number shall include the
         plural number and vice versa.

                  (b)      The captions and headings herein are solely for
         convenience of reference and shall not constitute a part of this
         Agreement nor shall they affect its meaning, construction or effect.

                  (c)      The words "hereof," "herein," "hereto," and other
         words of similar import refer to this Agreement as a whole.

                  (d)      All references herein to a particular time of day
         shall be to New York City time.

                                   ARTICLE II

                                   THE AUCTION

         SECTION 2.01. PURPOSE: INCORPORATION BY REFERENCE OF AUCTION PROCEDURES
AND SETTLEMENT PROCEDURES.

                  (a)      On each Auction Date, the provisions of the Auction
         Procedures will be followed by the Auction Agent for the purpose of
         determining the Applicable ARS Rate for the next Interest Period. Each
         periodic operation of such procedures is hereinafter referred to as an
         "Auction."

                                        2

<PAGE>

                  (b)      Without prejudice to Section 3.01(a) hereof, all of
         the provisions contained in the Auction Procedures and the Settlement
         Procedures are incorporated herein by reference in their entirety and
         shall be deemed to be a part of this Agreement to the same extent as if
         such provisions were fully set forth herein.

                  (c)      BD agrees to act as, and assumes the obligations of
         and limitations and restrictions placed upon, a Broker-Dealer under
         this Agreement. BD understands that other persons meeting the
         requirements specified in the definition of "Broker-Dealer" contained
         in the Indenture may, with the prior written consent of the Market
         Agent, execute Broker-Dealer Agreements and participate as
         Broker-Dealers in Auctions.

                  (d)      BD and other Broker-Dealers may participate in
         Auctions for their own accounts. However, the Auction Agent may by
         notice to BD and all other Broker-Dealers prohibit all Broker-Dealers
         from submitting Bids in Auctions for their own accounts, provided that
         Broker-Dealers may continue to submit Hold Orders and Sell Orders. The
         Auction Agent shall have no duty or liability with respect to
         monitoring or enforcing the requirements of this Section 2.01(d).

                  (e)      BD agrees to act as, and assumes the obligations of,
         and limitations and restrictions placed upon, a Broker-Dealer under
         this Broker-Dealer Agreement. BD agrees to act as, and assume the
         obligations of and limitations and restrictions placed upon, a
         Broker-Dealer under Appendix A to the Indenture.

         SECTION 2.02. PREPARATION FOR EACH AUCTION.

                  (a)      Not later than 10:30 a.m. on each Auction Date for
         the ARS, the Auction Agent shall advise BD by telephone of the All-Hold
         Rate and the Maximum Rate.

                  (b)      In the event that the Auction Date for any Auction
         shall be changed after the Auction Agent has given the notice referred
         to in clause (vi) of paragraph (a) of the Settlement Procedures, the
         Auction Agent, by such means as the Auction Agent deems practicable,
         shall give notice of such change to BD not later than the earliest of
         (i) 9:15 a.m. on the new Auction Date, (ii) 9:15 a.m. on the old
         Auction Date and (iii) 9:15 a.m. the next Interest Payment Date.
         Thereafter, BD shall promptly notify customers of BD that BD believes
         are Existing Holders of such change in the Auction Date.

                  (c)      The Auction Agent from time to time may request BD to
         provide it with the aggregate principal amounts of ARS specifically
         held by each such BD as an Existing Holder and with a list of BD's
         respective customers that BD believes are beneficial owners of ARS and
         the aggregate principal amount of ARS beneficially owned by each such
         customer. BD shall comply with any such request, and the Auction Agent
         shall keep confidential any such information, including information
         received as to the identity of Existing Holders and Potential Holders
         in any Auction, and shall not disclose any such information so provided
         to any person other than the Trustee, NELNET-1 and BD, unless the
         failure to disclose such information would be unlawful or if the
         failure to do so would

                                        3

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         expose the Auction Agent to any loss, liability, claim or damage for
         which the Auction Agent shall not have previously received adequate
         indemnification satisfactory to it.

         SECTION 2.03. AUCTION SCHEDULE: METHOD OF SUBMISSION OF ORDERS.

                  (a)      The Auction Agent shall conduct Auctions for the ARS
         in accordance with the schedule set forth below. Such schedule may be
         changed at any time by the Auction Agent with the consent of the
         Trustee, which consent shall not be unreasonably withheld or delayed.
         The Auction Agent shall give notice of any such change to BD. Such
         notice shall be received prior to the close of business on the Business
         Day next preceding the first Auction Date on which any such change
         shall be effective.

<TABLE>
<CAPTION>
            TIME                                         EVENT
<S>                                    <C>
By 9:00 a.m.                           Auction Agent obtains One-Month LIBOR

By 10:30 a.m.                          Auction Agent advises the
                                       Broker-Dealers of the applicable All-Hold
                                       Rate and the applicable Maximum Rate, as
                                       set forth in Section 2.3(b)(i) of the
                                       Auction Agency Agreement.

9:30 a.m. - 12:30 p.m.                 Auction Agent assembles information
                                       communicated to it by Broker-Dealers as
                                       provided in Section 2.02 of Appendix A to
                                       the Indenture. Submission Deadline is
                                       12:30 p.m.

Not earlier than 12:30 p.m.            Auction Agent makes determinations
                                       pursuant to Section 2.02 of Appendix A to
                                       the Indenture. Submitted Bids and
                                       Submitted Sell Orders are accepted and
                                       rejected in whole or in part and ARS are
                                       allocated as provided in Section 2.02 of
                                       Appendix A to the Indenture.

By approximately 3:00 p.m.             Auction Agent advises the Trustee of
but no later than the                  results of Auction and of the Auction
close of business                      Rate for the next Interest Period as
                                       provided in Appendix A to the Indenture.
                                       Auction Agent gives notice of Auction
                                       results as set forth in Section 2.04(a)
                                       hereof.
</TABLE>

                  (b)      BD shall submit Orders to the Auction Agent in
         writing in substantially the form attached hereto as Exhibit B. BD
         shall submit separate Orders to the Auction Agent for each Potential
         Holder or Existing Holder on whose behalf BD is submitting an Order and
         shall not net or aggregate the Orders of Potential Holders or Existing
         Holders on whose behalf BD is submitting Orders.

                  (c)      BD shall deliver to the Auction Agent (i) a written
         notice, substantially in the form attached hereto as Exhibit C, of
         transfers of ARS, made through BD by an Existing Holder to another
         person other than pursuant to an Auction and (ii) a written notice,
         substantially in the form attached hereto as Exhibit D, of the failure
         of any ARS to be transferred to or by any person that purchased or sold
         ARS through BD pursuant to an Auction. The Auction Agent is not
         required to accept any notice delivered pursuant to

                                        4

<PAGE>

         the terms of the foregoing sentence with respect to an Auction unless
         it is received by the Auction Agent by 3:00 p.m. on the Business Day
         next preceding the applicable Auction Date.

                  (d)      BD agrees to handle its customers' Orders in
         accordance with its duties under applicable securities laws and rules.

         SECTION 2.04. NOTICES.

                  (a)      On each Auction Date, the Auction Agent shall notify
         BD by telephone of the results of the Auction as set forth in paragraph
         (a) of the Settlement Procedures. If requested by BD, the Auction Agent
         shall as soon as practicable on the Business Day next succeeding such
         Auction Date, notify BD in writing, if previously so requested, of the
         disposition of all Orders submitted by BD in the Auction held on such
         Auction Date.

                  (b)      BD shall notify each Existing Holder or Potential
         Holder on whose behalf BD has submitted an Order as set forth in
         paragraph (b) of the Settlement Procedures and take such other action
         as is required of BD pursuant to the Settlement Procedures.

                  (c)      The Auction Agent shall deliver to BD after receipt
         all notices and certificates which the Auction Agent is required to
         deliver to BD pursuant to Section 2 of the Auction Agency Agreement at
         the times and in the manner set forth in the Auction Agency Agreement.

         SECTION 2.05. SERVICE CHARGE TO BE PAID TO BD. On each Interest Payment
Date, for the term of this Agreement, the Auction Agent shall pay to BD,
pursuant to Section 3.05(b) of the Auction Agency Agreement, a service charge
for the succeeding Interest Period in an amount equal to the sum of the product
of (a) a fraction, the numerator of which is the number of days in each Auction
Period occurring during such Interest Period (or, in the case of the initial
Interest Period, the actual number of days elapsed since the date of delivery of
the ARS) and the denominator of which is 360, times (b) the Broker-Dealer Fee
Rate times (c) the sum of (i) the sum of the aggregate principal amount of the
ARS that were (A) the subject of Submitted Bids of Existing Holders submitted by
BD and continued to be held as a result of such submission and (B) the subject
of Submitted Bids of Potential Holders submitted by BD and purchased as a result
of such submission and (ii) the aggregate principal amount of the ARS subject to
valid Hold Orders (determined in accordance with Appendix A to the Indenture)
submitted to the Auction Agent by BD and (iii) the principal amount of the ARS
deemed to be subject to Hold Orders by Existing Holders pursuant to Appendix A
to the Indenture that were acquired by such Existing Holders through BD in the
Auction for such Auction Period. For purposes of subclause (c)(iii) of the
foregoing sentence, if any Existing Holder who acquired ARS through BD transfers
those ARS to another Person other than pursuant to an Auction, then the
Broker-Dealer for the ARS so transferred shall continue to be BD; provided,
however, that if the transfer was effected by, or if the transferee is, a
Broker-Dealer other than BD, then such Broker-Dealer shall be the Broker-Dealer
for such ARS. If for any reason an Auction is not held on an Auction Date, there
shall be no Broker-Dealer Fee applicable with respect to such Auction Date. The
Broker-Dealer Fee Rate shall be .25 of 1% per annum. The Broker-Dealer Fee shall
be payable solely out of amounts received by the Auction Agent pursuant to the
Indenture.

                                        5

<PAGE>

         The Broker-Dealer Fee Rate shall be the prevailing rate received by
broker-dealers for rendering comparable services to others. The Auction Agent
shall advise NELNET-1, at NELNET-1's request, at least annually of its view of
such then current prevailing rate. If the then current Broker-Dealer Fee Rate is
not, in the opinion of NELNET-1 and the Auction Agent, the prevailing rate,
NELNET-1 shall change the Broker-Dealer Fee Rate pursuant to the terms hereof
and shall notify the Auction Agent and the Broker-Dealer in writing thereof. Any
change in the Broker-Dealer Fee Rate shall be effective on the Auction Date next
succeeding such change.

         SECTION 2.06. SETTLEMENT.

                  (a)      If any Existing Holder on whose behalf BD has
         submitted a Bid or Sell Order for ARS that was accepted in whole or in
         part fails to instruct its Participant to deliver the ARS subject to
         such Bid or Sell Order against payment therefor, BD shall instruct such
         Participant to deliver such ARS against payment therefor and BD may
         deliver to the Potential Holder on whose behalf BD submitted a Bid that
         was accepted in whole or in part a principal amount of the ARS that is
         less than the principal amount of the ARS specified in such Bid to be
         purchased by such Potential Holder. Notwithstanding the foregoing terms
         of this Section 2.06(a), any delivery or non-delivery of ARS which
         represents any departure from the results of an Auction, as determined
         by the Auction Agent, shall be of no effect unless and until the
         Auction Agent shall have been notified of such delivery or non-delivery
         in accordance with the terms of Section 2.03(c) hereof. The Auction
         Agent shall have no duty or liability with respect to monitoring or
         enforcing requirements of this Section 2.06(a).

                  (b)      Neither the Auction Agent, the Trustee nor NELNET-1
         shall have any responsibility or liability with respect to the failure
         of an Existing Holder, a Potential Holder or a Participant or any of
         them to deliver ARS or to pay for ARS sold or purchased pursuant to the
         Auction Procedures or otherwise.

                                   ARTICLE III

                                THE AUCTION AGENT

         SECTION 3.01. DUTIES AND RESPONSIBILITIES.

                  (a)      The Auction Agent is acting solely as agent for the
         Trustee hereunder and owes no fiduciary duties to any Person by reason
         of this Agreement.

                  (b)      Notwithstanding Section 3.01(a) above, the Auction
         Agent undertakes to perform such duties and only such duties as are
         specifically set forth in this Agreement, the Auction Agency Agreement
         and Appendix A to the Indenture, and no implied duties, covenants or
         obligations shall be read into this Agreement against the Auction Agent
         by reason of anything set forth in the Prospectus Supplement or any
         other offering material employed in connection with the offer and sale
         of the ARS, or otherwise.

                  (c)      In the absence of bad faith or negligence on its
         part, the Auction Agent shall not be liable for any action taken,
         suffered, or omitted or for any error of judgment

                                        6

<PAGE>

         made by it in the performance of its duties under this Agreement. The
         Auction Agent shall not be liable for any error of judgment made in
         good faith unless the Auction Agent shall have been negligent in
         ascertaining (or failing to ascertain) the pertinent facts necessary to
         make such judgment.

         SECTION 3.02. RIGHTS OF THE AUCTION AGENT.

                  (a)      The Auction Agent may conclusively rely and shall be
         fully protected in acting or refraining from acting upon any
         communication authorized by this Agreement and upon any written
         instruction, notice, request, direction, consent, report, certificate,
         share certificate or other instrument, paper or document believed by it
         to be genuine. The Auction Agent shall not be liable for acting upon
         any telephone communication authorized by this Agreement which the
         Auction Agent believes in good faith to have been given by the Trustee
         or by a Broker-Dealer or by their designated agents or representatives.
         The Auction Agent may record telephone communications with such
         Persons.

                  (b)      The Auction Agent may consult with counsel of its own
         choice, and the advice of such counsel shall be full and complete
         authorization and protection in respect of any action taken, suffered
         or omitted by it hereunder in good faith and in reliance thereon.

                  (c)      The Auction Agent shall not be required to advance,
         expend or risk its own funds or otherwise incur or become exposed to
         financial liability in the performance of its duties hereunder.

                  (d)      The Auction Agent may perform its duties and exercise
         its rights hereunder either directly or by or through agents or
         attorneys, and shall not be responsible for any misconduct or
         negligence on the part of, or for the supervision of, any agent or
         attorney appointed by it with due care hereunder.

                  (e)      The Auction Agent makes no representation as to the
         adequacy or accuracy of this Broker-Dealer Agreement, the Auction
         Agency Agreement (except as provided in Section 3.1(d) thereof), the
         ARS, or any Private Placement Memorandum or other offering material
         used in connection with the offer and sale of the ARS.

                                   ARTICLE IV

                                  MISCELLANEOUS

         SECTION 4.01. TERMINATION. Any party may terminate this Agreement at
any time upon five days prior notice to the other party. This Agreement shall
automatically terminate upon the delivery of certificates representing the ARS
pursuant to Section 2.02(c) of Appendix A to the Indenture, the occurrence of a
Payment Default or upon termination of the Auction Agency Agreement.

         SECTION 4.02. PARTICIPANT IN DEPOSITORY. Either (a) BD is, and shall
remain for the term of this Agreement, a member of, or Participant in, the
Depository, or (b) BD may designate a

                                        7

<PAGE>

Participant to act on BD's behalf for purposes of this Agreement. If BD wishes
to designate a different Participant to act on its behalf, BD shall give the
Auction Agent at least two Business Days prior notice thereof.

         SECTION 4.03. COMMUNICATIONS. Except for (a) communications authorized
to be made by telephone pursuant to this Agreement or the Auction Procedures and
(b) communications in connection with the Auctions (other than those expressly
required to be in writing), all notices, requests and other communications to
any party hereunder shall be in writing (including facsimile or similar writing)
and shall be given to such party, addressed to it, at its address or facsimile
number set forth below:

         If to BD, addressed:                 Banc of America Securities LLC
                                              NC1-005-12-03
                                              121 West Trade Street, 12th Floor
                                              Charlotte, North Carolina 28255
                                              Attention: Short Term Underwriting
                                              and Trading
                                              Telephone: 704-386-4520
                                              Telecopy: 704-386-1193

         If to the Auction Agent, addressed:  Deutsche Bank Trust Company
                                              Americas
                                              100 Plaza One, 6th Floor
                                              Jersey City, New Jersey 07311
                                              Attention: Corporate Trust &
                                              Agency Services
                                              Telephone: 201-593-6878
                                              Telecopy: 201-593-6447

or such other address or facsimile number as such party may hereafter specify
for such purpose by notice to the other party. Each such notice, request or
communication shall be effective when delivered at the address specified herein.
Communications shall be given on behalf of BD by a BD Officer and on behalf of
the Auction Agent by an Authorized Officer. BD may record telephone
communications with the Auction Agent.

         SECTION 4.04. ENTIRE AGREEMENT. This Agreement contains the entire
agreement between the parties relating to the subject matter hereof, and there
are no other representations, endorsements, promises, agreements or
understandings, oral, written or inferred, between the parties relating to the
subject matter hereof.

         SECTION 4.05. BENEFITS. Nothing in this Agreement, express or implied,
shall give to any person, other than the Trustee, the Auction Agent and BD and
their respective successors and assigns, any benefit of any legal or equitable
right, remedy or claim under this Agreement.

         SECTION 4.06. AMENDMENT: WAIVER.

                  (a)      This Agreement shall not be deemed or construed to be
         modified, amended, rescinded, cancelled or waived, in whole or in part,
         except by a written instrument signed by a duly authorized
         representative of the party to be charged.

                                        8

<PAGE>

                  (b)      Failure of either party to this Agreement to exercise
         any right or remedy hereunder in the event of a breach of this
         Agreement by the other party shall not constitute a waiver of any such
         right or remedy with respect to any subsequent breach.

                  (c)      The Auction Agent may, but shall have no obligation
         to, execute and deliver any amendment or modification hereto which
         affects the Auction Agent's rights, powers or immunities hereunder.

         SECTION 4.07. SUCCESSORS AND ASSIGNS. This Agreement shall be binding
upon, inure to the benefit of, and be enforceable by, the respective successors
and permitted assigns of each of BD and the Auction Agent. This Agreement may
not be assigned by either party hereto absent the prior written consent of the
other party; provided, however, that this Agreement may be assigned by the
Auction Agent to a successor Auction Agent selected by the Trustee without the
consent of BD.

         SECTION 4.08. SEVERABILITY. If any clause, provision or section of this
Agreement shall be ruled invalid or unenforceable by any court of competent
jurisdiction, the invalidity or unenforceability of such clause, provision or
section shall not affect any remaining clause, provision or section hereof.

         SECTION 4.09. EXECUTION IN COUNTERPARTS. This Agreement may be executed
in several counterparts, each of which shall be an original and all of which
shall constitute but one and the same instrument.

         SECTION 4.10. GOVERNING LAW. This Agreement shall be governed by and
construed in accordance with the laws of the State of New York.

                                        9

<PAGE>

         IN WITNESS WHEREOF, the parties hereto have caused this Broker-Dealer
Agreement to be duly executed and delivered by their proper and duly authorized
officers as of the date first above written.

                                          DEUTSCHE BANK TRUST COMPANY AMERICAS,
                                          as Auction Agent

                                          By     /s/ Linda Reale
                                             ___________________________________
                                          Name   Linda Reale
                                               _________________________________
                                          Title  VP
                                               ________________________________

                                          BANC OF AMERICA SECURITIES LLC
                                          Broker-Dealer

                                          By  /s/ Christopher G. Cronk
                                             ___________________________________
                                              Christopher G. Cronk, Principal

                                          NELNET STUDENT LOAN CORPORATION-1,
                                          as Issuer

                                          By  /s/ Terry J. Heimes
                                             ___________________________________
                                              Terry J. Heimes, Vice President

                                       10

<PAGE>

                                    EXHIBIT A

                              SETTLEMENT PROCEDURES

         Capitalized terms used herein shall have the respective meanings
specified in the Indenture and the Broker-Dealer Agreement.

                  (a)      Not later than 3:00 p.m. on each Auction Date, the
         Auction Agent is required to notify by telephone the Broker-Dealers
         that participated in the Auction held on such Auction Date and
         submitted an Order on behalf of any Existing Holder or Potential Holder
         of:

                           (i)      the Auction Rate fixed for the next Interest
                  Period;

                           (ii)     whether there were Sufficient Clearing Bids
                  in such Auction;

                           (iii)    if such Broker-Dealer (a "Seller's
                  Broker-Dealer") submitted a Bid or a Sell Order on behalf of
                  an Existing Holder, whether such Bid or Sell Order was
                  accepted or rejected, in whole or in part, and the principal
                  amount of ARS, if any, to be sold by such Existing Holder;

                           (iv)     if such Broker-Dealer (a "Buyer's
                  Broker-Dealer") submitted a Bid on behalf of a Potential
                  Holder, whether such Bid was accepted or rejected, in whole or
                  in part, and the principal amount of ARS, if any, to be
                  purchased by such Potential Holder;

                           (v)      if the aggregate principal amount of ARS to
                  be sold by all Existing Holders on whose behalf such
                  Broker-Dealer submitted Bids or Sell Orders is different than
                  the aggregate principal amount of ARS to be purchased by all
                  Potential Holders on whose behalf such Broker-Dealer submitted
                  a Bid, the name or names of one or more other Buyer's
                  Broker-Dealers (and the Participant, if any, of each such
                  other Buyer's Broker-Dealer) acting for one or more purchasers
                  of such excess principal amount of ARS and the principal
                  amount of ARS to be purchased from one or more Existing
                  Holders on whose behalf such Broker-Dealer acted by one or
                  more Potential Holders on whose behalf each of such other
                  Buyer's Broker-Dealers acted; and

                           (vi)     if the principal amount of ARS to be
                  purchased by all Potential Holders on whose behalf such
                  Broker-Dealer submitted a Bid exceeds the amount of ARS to be
                  sold by all Existing Holders on whose behalf such
                  Broker-Dealer submitted a Bid or a Sell Order, the name or
                  names of one or more Seller's Broker-Dealers (and the name of
                  the agent member, if any, of each such Seller's Broker-Dealer)
                  acting for one or more sellers of such excess principal amount
                  of ARS and the principal amount of ARS to be sold to one or
                  more Potential Holders on whose behalf such Broker-Dealer
                  acted by one or more Existing Holders on whose behalf each of
                  such Seller's Broker-Dealers acted;

<PAGE>

                           (vii)    unless previously provided, a list of all
                  Applicable ARS Rates and related Interest Periods (or portions
                  thereof) since the last Interest Payment Date; and

                           (viii)   the Auction Date for the next succeeding
                  Auction.

                  (b)      On each Auction Date, each Broker-Dealer that
         submitted an Order on behalf of any Existing Holder or Potential Holder
         shall:

                           (i)      advise each Existing Holder and Potential
                  Holder on whose behalf such Broker-Dealer submitted a Bid or
                  Sell Order in the Auction on such Auction Date whether such
                  Bid or Sell Order was accepted or rejected, in whole or in
                  part;

                           (ii)     instruct each Potential Holder on whose
                  behalf such Broker-Dealer submitted a Bid that was accepted,
                  in whole or in part, to instruct such Bidder's Participant to
                  pay to such Broker-Dealer (or its Participant) through DTC the
                  amount necessary to purchase the principal amount of ARS to be
                  purchased pursuant to such Bid against receipt of such
                  principal amount of ARS;

                           (iii)    in the case of a Broker-Dealer that is a
                  Seller's Broker-Dealer, instruct each Existing Holder on whose
                  behalf such Broker-Dealer submitted a Sell Order that was
                  accepted, in whole or in part, or a Bid that was accepted, in
                  whole or in part, to instruct such Existing Holder's
                  Participant to deliver to such Broker-Dealer (or its
                  Participant) through DTC the principal amount of ARS to be
                  sold pursuant to such Bid or Sell Order against payment
                  therefor;

                           (iv)     advise each Existing Holder on whose behalf
                  such Broker-Dealer submitted an Order and each Potential
                  Holder on whose behalf such Broker-Dealer submitted a Bid of
                  the Auction Rate for the next Interest Period;

                           (v)      advise each Existing Holder on whose behalf
                  such Broker-Dealer submitted an Order of the next Auction
                  Date; and

                           (vi)     advise each Potential Holder on whose behalf
                  such Broker-Dealer submitted a Bid that was accepted, in whole
                  or in part, of the next Auction Date.

                  (c)      On the basis of the information provided to it
         pursuant to paragraph (a) above, each Broker-Dealer that submitted a
         Bid or Sell Order in an Auction is required to allocate any funds
         received by it pursuant to paragraph (b)(ii) above, and any ARS
         received by it pursuant to paragraph (b)(iii) above, among the
         Potential Holders, if any, on whose behalf such Broker-Dealer submitted
         Bids, the Existing Holders, if any, on whose behalf such Broker-Dealer
         Submitted Bids or Sell Orders in such Auction, and any Broker-Dealers
         identified to it by the Auction Agent following such Auction pursuant
         to paragraph (a)(v) or (a)(vi) above.

                                       A-2

<PAGE>

                  (d)      On each Auction Date:

                           (i)      each Potential Holder and Existing Holder
                  with an Order in the Auction on such Auction Date shall
                  instruct its Participant as provided in (b)(ii) or (b)(iii)
                  above, as the case may be;

                           (ii)     each Seller's Broker-Dealer that is not a
                  Participant in DTC shall instruct its Participant to (A) pay
                  through DTC to the Participant of the Existing Holder
                  delivering ARS to such Broker-Dealer following such Auction
                  pursuant to (b)(iii) above the amount necessary, including
                  accrued interest, if any, to purchase such ARS against receipt
                  of such ARS, and (B) deliver such ARS through DTC to a Buyer's
                  Broker-Dealer (or its Participant) identified to such Seller's
                  Broker-Dealer pursuant to (a)(v) above against payment
                  therefor; and

                           (iii)    each Buyer's Broker-Dealer that is not a
                  Participant in DTC shall instruct its Participant to (A) pay
                  through DTC to a Seller's Broker-Dealer (or its Participant)
                  identified following such Auction pursuant to (a)(vi) above
                  the amount necessary, including accrued interest, if any, to
                  purchase the ARS to be purchased pursuant to (b)(ii) above
                  against receipt of such ARS, and (B) deliver such ARS through
                  DTC to the Participant of the purchaser thereof against
                  payment therefor.

                  (e)      On the first Business Day of the Interest Period next
         succeeding each Auction Date:

                           (i)      each Participant for a Bidder in the Auction
                  on such Auction Date referred to in (d)(i) above shall
                  instruct DTC to execute the transactions described under
                  (b)(ii) or (b)(iii) above for such Auction, and DTC shall
                  execute such transactions;

                           (ii)     each Seller's Broker-Dealer or its
                  Participant shall instruct DTC to execute the transactions
                  described in (d)(ii) above for such Auction, and DTC shall
                  execute such transactions; and

                           (iii)    each Buyer's Broker-Dealer or its
                  Participant shall instruct DTC to execute the transactions
                  described in (d)(iii) above for such Auction, and DTC shall
                  execute such transactions.

                  (f)      If an Existing Holder selling ARS in an Auction fails
         to deliver such ARS (by authorized book-entry), a Broker-Dealer may
         deliver to the Potential Holder on behalf of which it submitted a Bid
         that was accepted a principal amount of ARS that is less than the
         principal amount of ARS that otherwise was to be purchased by such
         Potential Holder. In such event, the principal amount of ARS to be so
         delivered shall be determined solely by such Broker-Dealer. Delivery of
         such lesser principal amount of ARS shall constitute good delivery.
         Notwithstanding the foregoing terms of this paragraph (f), any delivery
         or nondelivery of ARS which shall represent any departure from the
         results of an Auction, as determined by the Auction Agent, shall be of
         no effect unless and until the Auction Agent shall have been notified
         of such delivery or

                                       A-3

<PAGE>

         nondelivery in accordance with the provisions of the Auction Agent and
         the Broker-Dealer Agreement.

                                       A-4

<PAGE>

                                   EXHIBIT B-1

                                   ORDER FORM

                   (Submit only one Order on this Order Form)

                        NELNET Student Loan Corporation-1
                     Taxable Student Loan Asset-Backed Notes
           [$48,300,000 Senior Class 1996A-1 Auction Rate Securities]
           [$73,700,000 Senior Class 1996A-3 Auction Rate Securities]
           [$54,300,000 Senior Class 1996A-4 Auction Rate Securities]

                             Auction Rate Securities
                              Maturing July 1, 2014
                                     ("ARS")

<PAGE>

                                   EXHIBIT B-2

                                  TRANSFER FORM

                 (To be used only for transfers made other than
                             pursuant to an Auction)

                        NELNET Student Loan Corporation-1
                     Taxable Student Loan Asset-Backed Notes
           [$48,300,000 Senior Class 1996A-1 Auction Rate Securities]
           [$73,700,000 Senior Class 1996A-3 Auction Rate Securities]
           [$54,300,000 Senior Class 1996A-4 Auction Rate Securities]

                             Auction Rate Securities
                              Maturing July 1, 2014
                                     ("ARS")

We are (check one):

_____ the Existing Holder named below; or

_____ the Broker-Dealer for such Existing Holder; or

_____ the Participant for such Existing Holder.

         We hereby notify you that such Existing Holder has transferred
$_________* ARS to __________________.

                                          [NAME OF EXISTING HOLDER]

                                          [NAME OF BROKER-DEALER]

                                          [NAME OF PARTICIPANT]

                                          By ___________________________________
                                          Name _________________________________
                                          Title_________________________________

-------------------
*ARS may only be transferred in units of $100,000.

<PAGE>

                                    EXHIBIT C

                         NOTICE OF A FAILURE TO DELIVER

                    (To be used only for failures to deliver
                        ARS sold pursuant to an Auction)

                        NELNET Student Loan Corporation-1
                     Taxable Student Loan Asset-Backed Notes
           [$48,300,000 Senior Class 1996A-1 Auction Rate Securities]
           [$73,700,000 Senior Class 1996A-3 Auction Rate Securities]
           [$54,300,000 Senior Class 1996A-4 Auction Rate Securities]

                             Auction Rate Securities
                              Maturing July 1, 2014
                                     ("ARS")

                             COMPLETE EITHER 1 OR 2

         1.       We are a Broker-Dealer for ______________ (the "Purchaser"),
which purchased $____________________* of the ARS in the Auction held on
____________ from the seller of such ARS.

         2.       We are a Broker-Dealer for _______________ (the "Seller"),
which sold $_____________* of the ARS in the Auction held on _______________ to
the purchaser of such ARS.

         We hereby notify you that (check one) --

_____ the Seller failed to deliver such ARS to the Purchaser

_____ the Purchaser failed to make payment to the Seller upon delivery of such
ARS

                                          [NAME OF BROKER-DEALER]

                                          By ___________________________________
                                          Name _________________________________
                                          Title_________________________________

-------------------
*ARS may only be transferred in units of $100,000.<PAGE>

                                                                  EXHIBIT 10.109

================================================================================

                             BROKER-DEALER AGREEMENT

                                      among

                      DEUTSCHE BANK TRUST COMPANY AMERICAS,
                                as Auction Agent,

                       NELNET STUDENT LOAN CORPORATION-1,
                                    as Issuer

                                       and

                         BANC OF AMERICA SECURITIES LLC,
                                as Broker-Dealer

                                   Relating to

                        NELNET Student Loan Corporation-1
                     Taxable Student Loan Asset-Backed Notes
     $75,500,000 Senior Class 1996A-6 Auction Rate Securities(sm) (ARS(sm))

                          Dated as of October 15, 2002

================================================================================

<PAGE>

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                                                      Page
<S>                                                                                                   <C>
                                               ARTICLE I

                                 DEFINITIONS AND RULES OF CONSTRUCTION

Section 1.01.   Terms Defined by Reference to the Indenture .........................................  1
Section 1.02.   Terms Defined Herein ................................................................  1
Section 1.03.   Rules of Construction ...............................................................  2

                                               ARTICLE II

                                              THE AUCTION

Section 2.01.   Purpose: Incorporation by Reference of Auction Procedures and Settlement Procedures..  2
Section 2.02.   Preparation for Each Auction ........................................................  3
Section 2.03.   Auction Schedule: Method of Submission of Orders ....................................  3
Section 2.04.   Notices .............................................................................  5
Section 2.05.   Service Charge to Be Paid to BD .....................................................  5
Section 2.06.   Settlement ..........................................................................  6

                                              ARTICLE III

                                           THE AUCTION AGENT

Section 3.01.   Duties and Responsibilities .........................................................  6
Section 3.02.   Rights of the Auction Agent .........................................................  7

                                               ARTICLE IV

                                             MISCELLANEOUS

Section 4.01.   Termination .........................................................................  7
Section 4.02.   Participant in Depository ...........................................................  7
Section 4.03.   Communications ......................................................................  8
Section 4.04.   Entire Agreement ....................................................................  8
Section 4.05.   Benefits ............................................................................  8
Section 4.06.   Amendment: Waiver ...................................................................  8
Section 4.07.   Successors and Assigns ..............................................................  9
Section 4.08.   Severability ........................................................................  9
Section 4.09.   Execution in Counterparts ...........................................................  9
Section 4.10.   Governing Law .......................................................................  9
</TABLE>

EXHIBIT A       SETTLEMENT PROCEDURES
EXHIBIT B-1     ORDER FORM

<PAGE>

EXHIBIT B-2       TRANSFER FORM
EXHIBIT C         NOTICE OF A FAILURE TO DELIVER

                                       ii

<PAGE>

         THIS BROKER-DEALER AGREEMENT dated as of October 15, 2002 among NELNET
STUDENT LOAN CORPORATION-1 (formerly known as Union Financial Services-1, Inc.)
("NELNET-1"), DEUTSCHE BANK TRUST COMPANY AMERICAS (formerly known as Bankers
Trust Company) (together with its successors and assigns, the "Auction Agent")
not in its individual capacity but solely as agent of Zions First National Bank,
as successor trustee (the "Trustee") under the Second Amended and Restated
Indenture of Trust dated as of November 1, 1996 (the "Indenture") and the Series
1996C Supplemental Indenture of Trust, dated as of November 1, 1996 (the
"Supplemental Indenture"), each by and between NELNET-1 and the Trustee pursuant
to authority granted to it in the Auction Agency Agreement dated as of November
1, 1996, among NELNET-1, the Trustee and the Auction Agent (the "Auction Agency
Agreement"), and BANC OF AMERICA SECURITIES LLC (together with its successors
and assigns hereinafter referred to as "BD").

         NELNET-1 has issued $75,500,000 of its Taxable Student Loan
Asset-Backed Notes, Senior Class 1996A-6, maturing on July 1, 2014, as Auction
Rate Securities(sm) (the "ARS(sm)").

         The Supplemental Indenture provides that the interest rate on the ARS
for each Interest Period after the Initial Period shall, except under certain
conditions, equal the Auction Rate which the Auction Agent advises as the result
of implementation of the Auction Procedures. Pursuant to Section 2.9 of the
Auction Agency Agreement, the Auction Agent has entered into this Agreement.

         The Auction Procedures require the participation of one or more
Broker-Dealers.

         NOW, THEREFORE, in consideration of the mutual covenants contained
herein and other good and valuable consideration, the receipt and sufficiency of
which is hereby acknowledged, NELNET-1, the Auction Agent, as agent of the
Trustee, and BD agree as follows:

                                    ARTICLE I

                      DEFINITIONS AND RULES OF CONSTRUCTION

         SECTION 1.01. TERMS DEFINED BY REFERENCE TO THE INDENTURE. Capitalized
terms not defined herein shall have the respective meanings specified in or
pursuant to the Indenture and the Auction Agency Agreement.

         SECTION 1.02. TERMS DEFINED HEREIN. As used herein and in the
Settlement Procedures (as defined below), the following terms shall have the
following meanings, unless the context otherwise requires:

         "Auction" shall have the meaning specified in Section 2.01 hereof.

         "Auction Agency Agreement" shall mean the Auction Agency Agreement
dated as of November 1, 1996, among NELNET-1, the Trustee and the Auction Agent
relating to the ARS.

         "Auction Procedures" shall mean the Auction Procedures that are set
forth in Appendix B to the Supplemental Indenture.

<PAGE>

         "Authorized Officer" shall mean each Managing Director, Vice President,
Assistant Vice President, Secretary, Assistant Secretary and Assistant Treasurer
of the Auction Agent assigned to its Corporate Trust and Agency Group and every
other officer or employee of the Auction Agent designated as an Authorized
Officer for purposes of this Agreement.

         "BD Officer" shall mean each officer or employee of BD designated as a
"BD Officer" for purposes of this Agreement.

         "Broker-Dealer Agreement" shall mean this Broker-Dealer Agreement and
any substantially similar agreement between the Auction Agent and a
Broker-Dealer.

         "Holder" shall mean the beneficial owner of any ARS.

         "Settlement Procedures" shall mean the Settlement Procedures attached
hereto as Exhibit A.

         SECTION 1.03. RULES OF CONSTRUCTION. Unless the context or use
indicates another or different meaning or intent, the following rules shall
apply to the construction of this Agreement:

                  (a) Words importing the singular number shall include the
         plural number and vice versa.

                  (b) The captions and headings herein are solely for
         convenience of reference and shall not constitute a part of this
         Agreement nor shall they affect its meaning, construction or effect.

                  (c) The words "hereof," "herein," "hereto," and other words of
         similar import refer to this Agreement as a whole.

                  (d) All references herein to a particular time of day shall be
         to New York City time.

                                   ARTICLE II

                                   THE AUCTION

         SECTION 2.01. PURPOSE: INCORPORATION BY REFERENCE OF AUCTION PROCEDURES
AND SETTLEMENT PROCEDURES.

                  (a) On each Auction Date, the provisions of the Auction
         Procedures will be followed by the Auction Agent for the purpose of
         determining the Applicable ARS Rate for the next Interest Period. Each
         periodic operation of such procedures is hereinafter referred to as an
         "Auction."

                  (b) Without prejudice to Section 3.01(a) hereof, all of the
         provisions contained in the Auction Procedures and the Settlement
         Procedures are incorporated herein by reference in their entirety and
         shall be deemed to be a part of this Agreement to the same extent as if
         such provisions were fully set forth herein.

                                        2

<PAGE>

                  (c) BD agrees to act as, and assumes the obligations of and
         limitations and restrictions placed upon, a Broker-Dealer under this
         Agreement. BD understands that other persons meeting the requirements
         specified in the definition of "Broker-Dealer" contained in the
         Indenture may, with the prior written consent of the Market Agent,
         execute Broker-Dealer Agreements and participate as Broker-Dealers in
         Auctions.

                  (d) BD and other Broker-Dealers may participate in Auctions
         for their own accounts. However, the Auction Agent may by notice to BD
         and all other Broker-Dealers prohibit all Broker-Dealers from
         submitting Bids in Auctions for their own accounts, provided that
         Broker-Dealers may continue to submit Hold Orders and Sell Orders. The
         Auction Agent shall have no duty or liability with respect to
         monitoring or enforcing the requirements of this Section 2.01(d).

                  (e) BD agrees to act as, and assumes the obligations of, and
         limitations and restrictions placed upon, a Broker-Dealer under this
         Broker-Dealer Agreement. BD agrees to act as, and assume the
         obligations of and limitations and restrictions placed upon, a
         Broker-Dealer under Appendix B to the Supplemental Indenture.

         SECTION 2.02. PREPARATION FOR EACH AUCTION.

                  (a) Not later than 10:30 a.m. on each Auction Date for the
         ARS, the Auction Agent shall advise BD by telephone of the All-Hold
         Rate and the Maximum Rate.

                  (b) In the event that the Auction Date for any Auction shall
         be changed after the Auction Agent has given the notice referred to in
         clause (vi) of paragraph (a) of the Settlement Procedures, the Auction
         Agent, by such means as the Auction Agent deems practicable, shall give
         notice of such change to BD not later than the earliest of (i) 9:15
         a.m. on the new Auction Date, (ii) 9:15 a.m. on the old Auction Date
         and (iii) 9:15 a.m. on the next Interest Payment Date. Thereafter, BD
         shall promptly notify customers of BD that BD believes are Existing
         Holders of such change in the Auction Date.

                  (c) The Auction Agent from time to time may request BD to
         provide it with the aggregate principal amounts of ARS specifically
         held by each such BD as an Existing Holder and with a list of BD's
         respective customers that BD believes are beneficial owners of ARS and
         the aggregate principal amount of ARS beneficially owned by each such
         customer. BD shall comply with any such request, and the Auction Agent
         shall keep confidential any such information, including information
         received as to the identity of Existing Holders and Potential Holders
         in any Auction, and shall not disclose any such information so provided
         to any person other than the Trustee, NELNET-1 and BD, unless the
         failure to disclose such information would be unlawful or if the
         failure to do so would expose the Auction Agent to any loss, liability,
         claim or damage for which the Auction Agent shall not have previously
         received adequate indemnification satisfactory to it.

         SECTION 2.03. AUCTION SCHEDULE: METHOD OF SUBMISSION OF ORDERS.

                  (a) The Auction Agent shall conduct Auctions for the ARS in
         accordance with the schedule set forth below. Such schedule may be
         changed at any time by the

                                        3

<PAGE>

         Auction Agent with the consent of the Trustee, which consent shall not
         be unreasonably withheld or delayed. The Auction Agent shall give
         notice of any such change to BD. Such notice shall be received prior to
         the close of business on the Business Day next preceding the first
         Auction Date on which any such change shall be effective.

<TABLE>
<CAPTION>
             TIME                                      EVENT
<S>                                 <C>
By 9:00 a.m.                        Auction Agent obtains One-Month LIBOR

By 10:30 a.m.                       Auction Agent advises the Broker-Dealers of
                                    the applicable All-Hold Rate and the
                                    applicable Maximum Rate, as set forth in
                                    Section 2.3(b)(i) of the Auction Agency
                                    Agreement.

9:30 a.m. - 12:30 p.m.              Auction Agent assembles information
                                    communicated to it by Broker-Dealers as
                                    provided in Section 2.02 of Appendix B to
                                    the Supplemental Indenture. Submission
                                    Deadline is 12:30 p.m.

Not earlier than 12:30 p.m.         Auction Agent makes determinations pursuant
                                    to Section 2.02 of Appendix B to the
                                    Supplemental Indenture. Submitted Bids and
                                    Submitted Sell Orders are accepted and
                                    rejected in whole or in part and ARS are
                                    allocated as provided in Section 2.02 of
                                    Appendix B to the Supplemental Indenture.

By approximately 3:00 p.m.          Auction Agent advises the Trustee of results
but no later than the               of Auction and of the Auction Rate for the
close of business                   next Interest Period as provided in Appendix
                                    B to the Supplemental Indenture. Auction
                                    Agent gives notice of Auction results as set
                                    forth in Section 2.04(a) hereof.
</TABLE>

                  (b) BD shall submit Orders to the Auction Agent in writing in
         substantially the form attached hereto as Exhibit B. BD shall submit
         separate Orders to the Auction Agent for each Potential Holder or
         Existing Holder on whose behalf BD is submitting an Order and shall not
         net or aggregate the Orders of Potential Holders or Existing Holders on
         whose behalf BD is submitting Orders.

                  (c) BD shall deliver to the Auction Agent (i) a written
         notice, substantially in the form attached hereto as Exhibit C, of
         transfers of ARS, made through BD by an Existing Holder to another
         person other than pursuant to an Auction and (ii) a written notice,
         substantially in the form attached hereto as Exhibit D, of the failure
         of any ARS to be transferred to or by any person that purchased or sold
         ARS through BD pursuant to an Auction. The Auction Agent is not
         required to accept any notice delivered pursuant to the terms of the
         foregoing sentence with respect to an Auction unless it is received by
         the Auction Agent by 3:00 p.m. on the Business Day next preceding the
         applicable Auction Date.

                  (d) BD agrees to handle its customers' Orders in accordance
         with its duties under applicable securities laws and rules.

                                        4

<PAGE>

         SECTION 2.04. NOTICES.

                  (a) On each Auction Date, the Auction Agent shall notify BD by
         telephone of the results of the Auction as set forth in paragraph (a)
         of the Settlement Procedures. If requested by BD, the Auction Agent
         shall as soon as practicable on the Business Day next succeeding such
         Auction Date, notify BD in writing, if previously so requested, of the
         disposition of all Orders submitted by BD in the Auction held on such
         Auction Date.

                  (b) BD shall notify each Existing Holder or Potential Holder
         on whose behalf BD has submitted an Order as set forth in paragraph (b)
         of the Settlement Procedures and take such other action as is required
         of BD pursuant to the Settlement Procedures.

                  (c) The Auction Agent shall deliver to BD after receipt all
         notices and certificates which the Auction Agent is required to deliver
         to BD pursuant to Section 2 of the Auction Agency Agreement at the
         times and in the manner set forth in the Auction Agency Agreement.

         SECTION 2.05. SERVICE CHARGE TO BE PAID TO BD. On each Interest Payment
Date, for the term of this Agreement, the Auction Agent shall pay to BD,
pursuant to Section 3.5(b) of the Auction Agency Agreement, a service charge for
the succeeding Interest Period in an amount equal to the sum of the product of
(a) a fraction, the numerator of which is the number of days in each Auction
Period occurring during such Interest Period (or, in the case of the initial
Interest Period, the actual number of days elapsed since the date of delivery of
the ARS) and the denominator of which is 360, times (b) the Broker-Dealer Fee
Rate times (c) the sum of (i) the sum of the aggregate principal amount of the
ARS that were (A) the subject of Submitted Bids of Existing Holders submitted by
BD and continued to be held as a result of such submission and (B) the subject
of Submitted Bids of Potential Holders submitted by BD and purchased as a result
of such submission and (ii) the aggregate principal amount of the ARS subject to
valid Hold Orders (determined in accordance with Appendix B to the Supplemental
Indenture) submitted to the Auction Agent by BD and (iii) the principal amount
of the ARS deemed to be subject to Hold Orders by Existing Holders pursuant to
Appendix B to the Supplemental Indenture that were acquired by such Existing
Holders through BD in the Auction for such Auction Period. For purposes of
subclause (c)(iii) of the foregoing sentence, if any Existing Holder who
acquired ARS through BD transfers those ARS to another Person other than
pursuant to an Auction, then the Broker-Dealer for the ARS so transferred shall
continue to be BD; provided, however, that if the transfer was effected by, or
if the transferee is, a Broker-Dealer other than BD, then such Broker-Dealer
shall be the Broker-Dealer for such ARS. If for any reason an Auction is not
held on an Auction Date, there shall be no Broker-Dealer Fee applicable with
respect to such Auction Date. The Broker-Dealer Fee Rate shall be .25 of 1% per
annum. The Broker-Dealer Fee shall be payable solely out of amounts received by
the Auction Agent pursuant to the Indenture.

         The Broker-Dealer Fee Rate shall be the prevailing rate received by
broker-dealers for rendering comparable services to others. The Auction Agent
shall advise NELNET-1, at NELNET-1's request, at least annually of its view of
such then current prevailing rate. If the then current Broker-Dealer Fee Rate is
not, in the opinion of NELNET-1 and the Auction Agent, the prevailing rate,
NELNET-1 shall change the Broker-Dealer Fee Rate pursuant to the terms

                                        5

<PAGE>

hereof and shall notify the Auction Agent and the Broker-Dealer in writing
thereof. Any change in the Broker-Dealer Fee Rate shall be effective on the
Auction Date next succeeding such change.

         SECTION 2.06. SETTLEMENT.

                  (a) If any Existing Holder on whose behalf BD has submitted a
         Bid or Sell Order for ARS that was accepted in whole or in part fails
         to instruct its Participant to deliver the ARS subject to such Bid or
         Sell Order against payment therefor, BD shall instruct such Participant
         to deliver such ARS against payment therefor and BD may deliver to the
         Potential Holder on whose behalf BD submitted a Bid that was accepted
         in whole or in part a principal amount of the ARS that is less than the
         principal amount of the ARS specified in such Bid to be purchased by
         such Potential Holder. Notwithstanding the foregoing terms of this
         Section 2.06(a), any delivery or non-delivery of ARS which represents
         any departure from the results of an Auction, as determined by the
         Auction Agent, shall be of no effect unless and until the Auction Agent
         shall have been notified of such delivery or non-delivery in accordance
         with the terms of Section 2.03(c) hereof. The Auction Agent shall have
         no duty or liability with respect to monitoring or enforcing
         requirements of this Section 2.06(a).

                  (b) Neither the Auction Agent, the Trustee nor NELNET-1 shall
         have any responsibility or liability with respect to the failure of an
         Existing Holder, a Potential Holder or a Participant or any of them to
         deliver ARS or to pay for ARS sold or purchased pursuant to the Auction
         Procedures or otherwise.

                                   ARTICLE III

                                THE AUCTION AGENT

         SECTION 3.01. DUTIES AND RESPONSIBILITIES.

                  (a) The Auction Agent is acting solely as agent for the
         Trustee hereunder and owes no fiduciary duties to any Person by reason
         of this Agreement.

                  (b) Notwithstanding Section 3.01(a) above, the Auction Agent
         undertakes to perform such duties and only such duties as are
         specifically set forth in this Agreement, the Auction Agency Agreement
         and Appendix B to the Supplemental Indenture, and no implied duties,
         covenants or obligations shall be read into this Agreement against the
         Auction Agent by reason of anything set forth in the Prospectus
         Supplement or any other offering material employed in connection with
         the offer and sale of the ARS, or otherwise.

                  (c) In the absence of bad faith or negligence on its part, the
         Auction Agent shall not be liable for any action taken, suffered, or
         omitted or for any error of judgment made by it in the performance of
         its duties under this Agreement. The Auction Agent shall not be liable
         for any error of judgment made in good faith unless the Auction Agent
         shall have been negligent in ascertaining (or failing to ascertain) the
         pertinent facts necessary to make such judgment.

                                        6

<PAGE>

         SECTION 3.02. RIGHTS OF THE AUCTION AGENT.

                  (a) The Auction Agent may conclusively rely and shall be fully
         protected in acting or refraining from acting upon any communication
         authorized by this Agreement and upon any written instruction, notice,
         request, direction, consent, report, certificate, share certificate or
         other instrument, paper or document believed by it to be genuine. The
         Auction Agent shall not be liable for acting upon any telephone
         communication authorized by this Agreement which the Auction Agent
         believes in good faith to have been given by the Trustee or by a
         Broker-Dealer or by their designated agents or representatives. The
         Auction Agent may record telephone communications with such Persons.

                  (b) The Auction Agent may consult with counsel of its own
         choice, and the advice of such counsel shall be full and complete
         authorization and protection in respect of any action taken, suffered
         or omitted by it hereunder in good faith and in reliance thereon.

                  (c) The Auction Agent shall not be required to advance, expend
         or risk its own funds or otherwise incur or become exposed to financial
         liability in the performance of its duties hereunder.

                  (d) The Auction Agent may perform its duties and exercise its
         rights hereunder either directly or by or through agents or attorneys,
         and shall not be responsible for any misconduct or negligence on the
         part of, or for the supervision of, any agent or attorney appointed by
         it with due care hereunder.

                  (e) The Auction Agent makes no representation as to the
         adequacy or accuracy of this Broker-Dealer Agreement, the Auction
         Agency Agreement (except as provided in Section 3.1(d) thereof), the
         ARS, or any Private Placement Memorandum or other offering material
         used in connection with the offer and sale of the ARS.

                                   ARTICLE IV

                                  MISCELLANEOUS

         SECTION 4.01. TERMINATION. Any party may terminate this Agreement at
any time upon five days prior notice to the other party. This Agreement shall
automatically terminate upon the delivery of certificates representing the ARS
pursuant to Section 2.02(c) of Appendix B to the Supplemental Indenture, the
occurrence of a Payment Default or upon termination of the Auction Agency
Agreement.

         SECTION 4.02. PARTICIPANT IN DEPOSITORY. Either (a) BD is, and shall
remain for the term of this Agreement, a member of, or Participant in, the
Depository, or (b) BD may designate a Participant to act on BD's behalf for
purposes of this Agreement. If BD wishes to designate a different Participant to
act on its behalf, BD shall give the Auction Agent at least two Business Days
prior notice thereof.

                                        7

<PAGE>

         SECTION 4.03. COMMUNICATIONS. Except for (a) communications authorized
to be made by telephone pursuant to this Agreement or the Auction Procedures and
(b) communications in connection with the Auctions (other than those expressly
required to be in writing), all notices, requests and other communications to
any party hereunder shall be in writing (including facsimile or similar writing)
and shall be given to such party, addressed to it, at its address or facsimile
number set forth below:

    If to BD, addressed:                  Banc of America Securities LLC
                                          NC1-005-12-03
                                          121 West Trade Street, 12th Floor
                                          Charlotte, North Carolina  28255
                                          Attention: Short Term Underwriting and
                                          Trading
                                          Telephone: 704-386-4520
                                          Telecopy: 704-386-1193

    If to the Auction Agent, addressed:   Deutsche Bank Trust Company Americas
                                          100 Plaza One, 6th Floor
                                          Jersey City, New Jersey  07311
                                          Attention:  Corporate Trust & Agency
                                          Services
                                          Telephone: 201-593-6878
                                          Telecopy: 201-593-6447

or such other address or facsimile number as such party may hereafter specify
for such purpose by notice to the other party. Each such notice, request or
communication shall be effective when delivered at the address specified herein.
Communications shall be given on behalf of BD by a BD Officer and on behalf of
the Auction Agent by an Authorized Officer. BD may record telephone
communications with the Auction Agent.

         SECTION 4.04. ENTIRE AGREEMENT. This Agreement contains the entire
agreement between the parties relating to the subject matter hereof, and there
are no other representations, endorsements, promises, agreements or
understandings, oral, written or inferred, between the parties relating to the
subject matter hereof.

         SECTION 4.05. BENEFITS. Nothing in this Agreement, express or implied,
shall give to any person, other than the Trustee, the Auction Agent and BD and
their respective successors and assigns, any benefit of any legal or equitable
right, remedy or claim under this Agreement.

         SECTION 4.06. AMENDMENT: WAIVER.

                  (a) This Agreement shall not be deemed or construed to be
         modified, amended, rescinded, cancelled or waived, in whole or in part,
         except by a written instrument signed by a duly authorized
         representative of the party to be charged.

                  (b) Failure of either party to this Agreement to exercise any
         right or remedy hereunder in the event of a breach of this Agreement by
         the other party shall not constitute a waiver of any such right or
         remedy with respect to any subsequent breach.

                                        8

<PAGE>

                  (c) The Auction Agent may, but shall have no obligation to,
         execute and deliver any amendment or modification hereto which affects
         the Auction Agent's rights, powers or immunities hereunder.

         SECTION 4.07. SUCCESSORS AND ASSIGNS. This Agreement shall be binding
upon, inure to the benefit of, and be enforceable by, the respective successors
and permitted assigns of each of BD and the Auction Agent. This Agreement may
not be assigned by either party hereto absent the prior written consent of the
other party; provided, however, that this Agreement may be assigned by the
Auction Agent to a successor Auction Agent selected by the Trustee without the
consent of BD.

         SECTION 4.08. SEVERABILITY. If any clause, provision or section of this
Agreement shall be ruled invalid or unenforceable by any court of competent
jurisdiction, the invalidity or unenforceability of such clause, provision or
section shall not affect any remaining clause, provision or section hereof.

         SECTION 4.09. EXECUTION IN COUNTERPARTS. This Agreement may be executed
in several counterparts, each of which shall be an original and all of which
shall constitute but one and the same instrument.

         SECTION 4.10. GOVERNING LAW. This Agreement shall be governed by and
construed in accordance with the laws of the State of New York.

                                        9

<PAGE>

         IN WITNESS WHEREOF, the parties hereto have caused this Broker-Dealer
Agreement to be duly executed and delivered by their proper and duly authorized
officers as of the date first above written.

                                    DEUTSCHE BANK TRUST COMPANY
                                    AMERICAS, as Auction Agent

                                    By /s/ Linda Reale
                                      _________________________________________
                                    Name Linda Reale
                                        _______________________________________
                                    Title Vice President
                                         ______________________________________

                                    BANC OF AMERICA SECURITIES LLC, as
                                    Broker-Dealer

                                    By /s/ Christopher G. Cronk
                                      _________________________________________
                                      Christopher G. Cronk, Principal

                                    NELNET STUDENT LOAN CORPORATION-1,
                                    as Issuer

                                    By /s/ Terry J. Heimes
                                      _________________________________________
                                      Terry J. Heimes, Vice President

                                       10

<PAGE>

                                    EXHIBIT A

                              SETTLEMENT PROCEDURES

         Capitalized terms used herein shall have the respective meanings
specified in the Indenture and the Broker-Dealer Agreement.

                  (a) Not later than 3:00 p.m. on each Auction Date, the Auction
         Agent is required to notify by telephone the Broker-Dealers that
         participated in the Auction held on such Auction Date and submitted an
         Order on behalf of any Existing Holder or Potential Holder of:

                           (i) the Auction Rate fixed for the next Interest
                  Period;

                           (ii) whether there were Sufficient Clearing Bids in
                  such Auction;

                           (iii) if such Broker-Dealer (a "Seller's
                  Broker-Dealer") submitted a Bid or a Sell Order on behalf of
                  an Existing Holder, whether such Bid or Sell Order was
                  accepted or rejected, in whole or in part, and the principal
                  amount of ARS, if any, to be sold by such Existing Holder;

                           (iv) if such Broker-Dealer (a "Buyer's
                  Broker-Dealer") submitted a Bid on behalf of a Potential
                  Holder, whether such Bid was accepted or rejected, in whole or
                  in part, and the principal amount of ARS, if any, to be
                  purchased by such Potential Holder;

                           (v) if the aggregate principal amount of ARS to be
                  sold by all Existing Holders on whose behalf such
                  Broker-Dealer submitted Bids or Sell Orders is different than
                  the aggregate principal amount of ARS to be purchased by all
                  Potential Holders on whose behalf such Broker-Dealer submitted
                  a Bid, the name or names of one or more other Buyer's
                  Broker-Dealers (and the Participant, if any, of each such
                  other Buyer's Broker-Dealer) acting for one or more purchasers
                  of such excess principal amount of ARS and the principal
                  amount of ARS to be purchased from one or more Existing
                  Holders on whose behalf such Broker-Dealer acted by one or
                  more Potential Holders on whose behalf each of such other
                  Buyer's Broker-Dealers acted; and

                           (vi) if the principal amount of ARS to be purchased
                  by all Potential Holders on whose behalf such Broker-Dealer
                  submitted a Bid exceeds the amount of ARS to be sold by all
                  Existing Holders on whose behalf such Broker-Dealer submitted
                  a Bid or a Sell Order, the name or names of one or more
                  Seller's Broker-Dealers (and the name of the agent member, if
                  any, of each such Seller's Broker-Dealer) acting for one or
                  more sellers of such excess principal amount of ARS and the
                  principal amount of ARS to be sold to one or more Potential
                  Holders on whose behalf such Broker-Dealer acted by one or
                  more Existing Holders on whose behalf each of such Seller's
                  Broker-Dealers acted;

<PAGE>

                           (vii) unless previously provided, a list of all
                  Applicable ARS Rates and related Interest Periods (or portions
                  thereof) since the last Interest Payment Date; and

                           (viii) the Auction Date for the next succeeding
                  Auction.

                  (b) On each Auction Date, each Broker-Dealer that submitted an
         Order on behalf of any Existing Holder or Potential Holder shall:

                           (i) advise each Existing Holder and Potential Holder
                  on whose behalf such Broker-Dealer submitted a Bid or Sell
                  Order in the Auction on such Auction Date whether such Bid or
                  Sell Order was accepted or rejected, in whole or in part;

                           (ii) instruct each Potential Holder on whose behalf
                  such Broker-Dealer submitted a Bid that was accepted, in whole
                  or in part, to instruct such Bidder's Participant to pay to
                  such Broker-Dealer (or its Participant) through DTC the amount
                  necessary to purchase the principal amount of ARS to be
                  purchased pursuant to such Bid against receipt of such
                  principal amount of ARS;

                           (iii) in the case of a Broker-Dealer that is a
                  Seller's Broker-Dealer, instruct each Existing Holder on whose
                  behalf such Broker-Dealer submitted a Sell Order that was
                  accepted, in whole or in part, or a Bid that was accepted, in
                  whole or in part, to instruct such Existing Holder's
                  Participant to deliver to such Broker-Dealer (or its
                  Participant) through DTC the principal amount of ARS to be
                  sold pursuant to such Bid or Sell Order against payment
                  therefor;

                           (iv) advise each Existing Holder on whose behalf such
                  Broker-Dealer submitted an Order and each Potential Holder on
                  whose behalf such Broker-Dealer submitted a Bid of the Auction
                  Rate for the next Interest Period;

                           (v) advise each Existing Holder on whose behalf such
                  Broker-Dealer submitted an Order of the next Auction Date; and

                           (vi) advise each Potential Holder on whose behalf
                  such Broker-Dealer submitted a Bid that was accepted, in whole
                  or in part, of the next Auction Date.

                  (c) On the basis of the information provided to it pursuant to
         paragraph (a) above, each Broker-Dealer that submitted a Bid or Sell
         Order in an Auction is required to allocate any funds received by it
         pursuant to paragraph (b)(ii) above, and any ARS received by it
         pursuant to paragraph (b)(iii) above, among the Potential Holders, if
         any, on whose behalf such Broker-Dealer submitted Bids, the Existing
         Holders, if any, on whose behalf such Broker-Dealer Submitted Bids or
         Sell Orders in such Auction, and any Broker-Dealers identified to it by
         the Auction Agent following such Auction pursuant to paragraph (a)(v)
         or (a)(vi) above.

                                       A-2

<PAGE>

                  (d) On each Auction Date:

                           (i) each Potential Holder and Existing Holder with an
                  Order in the Auction on such Auction Date shall instruct its
                  Participant as provided in (b)(ii) or (b)(iii) above, as the
                  case may be;

                           (ii) each Seller's Broker-Dealer that is not a
                  Participant in DTC shall instruct its Participant to (A) pay
                  through DTC to the Participant of the Existing Holder
                  delivering ARS to such Broker-Dealer following such Auction
                  pursuant to (b)(iii) above the amount necessary, including
                  accrued interest, if any, to purchase such ARS against receipt
                  of such ARS, and (B) deliver such ARS through DTC to a Buyer's
                  Broker-Dealer (or its Participant) identified to such Seller's
                  Broker-Dealer pursuant to (a)(v) above against payment
                  therefor; and

                           (iii) each Buyer's Broker-Dealer that is not a
                  Participant in DTC shall instruct its Participant to (A) pay
                  through DTC to a Seller's Broker-Dealer (or its Participant)
                  identified following such Auction pursuant to (a)(vi) above
                  the amount necessary, including accrued interest, if any, to
                  purchase the ARS to be purchased pursuant to (b)(ii) above
                  against receipt of such ARS, and (B) deliver such ARS through
                  DTC to the Participant of the purchaser thereof against
                  payment therefor.

                  (e) On the first Business Day of the Interest Period next
         succeeding each Auction Date:

                           (i) each Participant for a Bidder in the Auction on
                  such Auction Date referred to in (d)(i) above shall instruct
                  DTC to execute the transactions described under (b)(ii) or
                  (b)(iii) above for such Auction, and DTC shall execute such
                  transactions;

                           (ii) each Seller's Broker-Dealer or its Participant
                  shall instruct DTC to execute the transactions described in
                  (d)(ii) above for such Auction, and DTC shall execute such
                  transactions; and

                           (iii) each Buyer's Broker-Dealer or its Participant
                  shall instruct DTC to execute the transactions described in
                  (d)(iii) above for such Auction, and DTC shall execute such
                  transactions.

                  (f) If an Existing Holder selling ARS in an Auction fails to
         deliver such ARS (by authorized book-entry), a Broker-Dealer may
         deliver to the Potential Holder on behalf of which it submitted a Bid
         that was accepted a principal amount of ARS that is less than the
         principal amount of ARS that otherwise was to be purchased by such
         Potential Holder. In such event, the principal amount of ARS to be so
         delivered shall be determined solely by such Broker-Dealer. Delivery of
         such lesser principal amount of ARS shall constitute good delivery.
         Notwithstanding the foregoing terms of this paragraph (f), any delivery
         or nondelivery of ARS which shall represent any departure from the
         results of an Auction, as determined by the Auction Agent, shall be of
         no effect unless and until the Auction Agent shall have been notified
         of such delivery or

                                       A-3

<PAGE>

         nondelivery in accordance with the provisions of the Auction Agent and
         the Broker-Dealer Agreement.

                                       A-4

<PAGE>

                                   EXHIBIT B-1

                                   ORDER FORM

                   (Submit only one Order on this Order Form)

                        NELNET Student Loan Corporation-1
                     Taxable Student Loan Asset-Backed Notes
            $75,500,000 Senior Class 1996A-6 Auction Rate Securities

                             Auction Rate Securities
                              Maturing July 1, 2014
                                     ("ARS")

<PAGE>

                                   EXHIBIT B-2

                                  TRANSFER FORM

                 (To be used only for transfers made other than
                             pursuant to an Auction)

                        NELNET Student Loan Corporation-1
                     Taxable Student Loan Asset-Backed Notes
            $75,500,000 Senior Class 1996A-6 Auction Rate Securities

                             Auction Rate Securities
                              Maturing July 1, 2014
                                     ("ARS")

We are (check one):

_____ the Existing Holder named below; or

_____ the Broker-Dealer for such Existing Holder; or

_____ the Participant for such Existing Holder.

         We hereby notify you that such Existing Holder has transferred
$_________* ARS to __________________.

                                                    [NAME OF EXISTING HOLDER]

                                                    [NAME OF BROKER-DEALER]

                                                    [NAME OF PARTICIPANT]

                                                    By__________________________
                                                    Name________________________
                                                    Title_______________________

-------------------
*ARS may only be transferred in units of $100,000.

<PAGE>

                                    EXHIBIT C

                         NOTICE OF A FAILURE TO DELIVER

                    (To be used only for failures to deliver
                        ARS sold pursuant to an Auction)

                        NELNET Student Loan Corporation-1
                     Taxable Student Loan Asset-Backed Notes
            $75,500,000 Senior Class 1996A-6 Auction Rate Securities

                             Auction Rate Securities
                              Maturing July 1, 2014
                                     ("ARS")

                             COMPLETE EITHER 1 OR 2

         1.       We are a Broker-Dealer for ______________ (the "Purchaser"),
which purchased $____________________* of the ARS in the Auction held on
____________ from the seller of such ARS.

         2.       We are a Broker-Dealer for _______________ (the "Seller"),
which sold $_____________* of the ARS in the Auction held on _______________ to
the purchaser of such ARS.

         We hereby notify you that (check one) --

_____    the Seller failed to deliver such ARS to the Purchaser

_____    the Purchaser failed to make payment to the Seller upon delivery of
         such ARS

                                                       [NAME OF BROKER-DEALER]

                                                       By_______________________
                                                       Name_____________________
                                                       Title____________________

------------------
*ARS may only be transferred in units of $100,000.

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