I guess we're looking at different rankings. I see only one current top-25 team on ND's schedule.
The only current top-25 ranked team ND played was Army. And, they lost to a team (NIU) ranked outside the top 100. Are you implying that ND playing Army at home is comparable to the Vols playing Bama and @UGA, 2 playoff teams? That's ridiculous.
Penn State's biggest win was at home against an over-ranked #24 Illinois. Their next biggest win was a 1-pt victory at 6-5 Minnesota or an overtime win at 5-7 Wisconsin. Indiana hasn't beaten any ranked team and lost by 23 to the only ranked team they played. So, yes, I can make a strong case that the Vols deserve to be ranked ahead of ND and PSU.