Application of Collections. All collections for the Collection Period shall be applied by the Servicer as follows:
(a) With respect to each Receivable (other than a Purchased Receivable or a Sold Receivable), payments by or on behalf of the Obligor, (other than Supplemental Servicing Fees with respect to such Receivable, to the extent collected) shall be applied to interest and principal in accordance with the Simple Interest Method.
(b) All amounts collected that are payable to the Servicer as Supplemental Servicing Fees hereunder shall be deposited in the Collection Account and paid to the Servicer in accordance with Section 5.7(a).
Application of Collections. On each Payment Date, all collections for the related Collection Period shall be applied by the Servicer as follows:
(a) With respect to each Receivable (other than an Administrative Receivable or a Warranty Receivable), payments made by or on behalf of the Obligor which are not Supplemental Servicing Fees shall be applied first to reimburse the Servicer for Outstanding Advances made with respect to such Receivable (each such payment, an “Overdue Payment”). Next, the amount of any payment in excess of Supplemental Servicing Fees and Outstanding Advances with respect to such Receivable shall be applied to the Scheduled Payment with respect to such Receivable. The amount of such payment remaining after the applications described in the two preceding sentences shall be applied to prepay the principal balance of such Receivable.
(b) With respect to each Administrative Receivable and Warranty Receivable, payments made by or on behalf of the Obligor shall be applied in the same manner. A Warranty Purchase Payment shall be applied to reduce Outstanding Advances and such Warranty Purchase Payment or an Administrative Purchase Payment, as applicable, shall then be applied to the Scheduled Payment, in each case to the extent that the payments by the Obligor shall be insufficient, and then to prepay the unpaid principal balance of such Receivable in full.
Application of Collections. (a) With respect to each Receivable, all collections for the Collection Period shall be applied in accordance with the Servicer’s Servicing Procedures.
(b) All Liquidation Proceeds shall be applied to the related Receivable.
Application of Collections. With respect to each Receivable (other than a Purchased Receivable), payments by or on behalf of the Obligor shall be applied to interest and principal in accordance with the Simple Interest Method.
Application of Collections. For purposes of this Agreement, all amounts (excluding, for the avoidance of doubt, any Supplemental Servicing Fees) received on or in respect of a Receivable during any Collection Period (including Liquidation Proceeds and all amounts received by the Servicer in connection with the repossession and sale of a Financed Vehicle (whether or not the related Receivable has been classified as a Defaulted Receivable) but excluding payments with respect to Purchased Receivables) shall be applied by the Servicer, as of the last day of such Collection Period, to interest and principal on such Receivable in accordance with the Simple Interest Method.
Application of Collections. If there shall be insufficient funds on deposit for the Servicer to distribute funds in payment in full of the aforementioned amounts pursuant to Section 2.2 or 2.3 (as applicable), the Servicer shall distribute funds:
(i) first, to the payment of the Servicer’s reasonable out of pocket costs and expenses in connection with servicing, administering and collecting the Receivables, including the Servicing Fee, if Seller or one of its Affiliates is then acting as Servicer and no Servicer Default has occurred and is continuing, or if Seller or one of its Affiliates is not then acting as the Servicer;
(ii) second, to the reimbursement of the Collateral Agent’s and each Managing Agent’s costs of collection and enforcement of this Agreement;
(iii) third, ratably to the payment of all accrued and unpaid fees under the Fee Letter and all accrued and unpaid Yield;
(iv) fourth, (to the extent applicable) to the ratable reduction of the Aggregate Capital (without regard to any Termination Percentage);
(v) fifth, for the ratable payment of all other unpaid Obligations and Servicer costs and expenses, including the Servicing Fee; provided that when the Seller or one of its Affiliates is acting as the Servicer, such Servicer costs and expenses, including the Servicing Fee, will not be paid until after the payment in full of all other Obligations; and
(vi) sixth, after the Aggregate Unpaids have been indefeasibly reduced to zero, to the Seller. Collections applied to the payment of Aggregate Unpaids shall be distributed in accordance with the aforementioned provisions, and, giving effect to each of the priorities set forth in Section 2.4 above, shall be shared ratably (within each priority) among the Collateral Agent, the Managing Agents and the Purchasers in accordance with the amount of such Aggregate Unpaids owing to each of them in respect of each such priority.
Application of Collections. (a) For the purposes of this Agreement, as of the close of business on the last day of each Collection Period, all collections received pursuant to Section 4.2 for such Collection Period for each Receivable (excluding the amounts actually collected with respect to the Supplemental Servicing Fee and amounts collected with respect to a Purchased Receivable) shall be applied by the Servicer, in the case of (i) a Simple Interest Receivable that is a Standard Receivable, to interest and principal on the Receivable in accordance with the Simple Interest Method, (ii) a Simple Interest Receivable that is a Final Payment Receivable, to interest and principal in accordance with the Simple Interest Method first, to accrued but unpaid interest, second, to the Level Pay Balance of such Receivable, third, to the principal portion of the Last Scheduled Payment to the extent a Last Scheduled Payment Advance has not been made by the Servicer with respect to such Last Scheduled Payment and fourth, to the extent of any unreimbursed Last Scheduled Payment Advance with respect to such Simple Interest Receivable, to reimburse the Servicer for such Last Scheduled Payment Advance and (iii) an Actuarial Receivable, first, to the Scheduled Payment of such Actuarial Receivable, second to the extent of any unreimbursed Actuarial Advances with respect to such Actuarial Receivable, to reimburse the Servicer for any such Actuarial Advances, third, to the extent of any unreimbursed Last Scheduled Payment Advance with respect to such Actuarial Receivable, to reimburse the Servicer for such Last Scheduled Payment Advance and fourth, to the extent that any amounts are remaining then due to a prepayment of such Actuarial Receivable, if the sum of such remaining amount and the previous Payahead Balance shall be sufficient to prepay the Actuarial Receivable in full, and otherwise to the Payahead Account (or, if all Monthly Remittance Conditions are satisfied, to the Servicer) as a Payahead.
(b) All Liquidation Proceeds and any Recoveries, and any proceeds realized upon the liquidation, sale or dissolution of the Owner Trust Estate (or any part thereof) upon the occurrence of an Event of Default under the Indenture shall, with respect to any Final Payment Receivable be applied first to accrued but unpaid interest thereon, second, to the Level Pay Balance of such Receivable and third, to the principal portion of the related Last Scheduled Payment.
Application of Collections. (a) With respect to each Trust Student Loan, all collections (including all Guarantee Payments) with respect thereto for each Collection Period shall be applied to fees, interest and principal on such Trust Student Loan by the Servicer in accordance with its customary practice.
(b) All Liquidation Proceeds shall be applied to the related Trust Student Loan.
Application of Collections. For the purposes of this Agreement, no later than each Distribution Date all collections for the related Monthly Period shall be applied by the Servicer as follows:
(a) With respect to all Simple Interest Receivables (other than Administrative Receivables and Warranty Receivables), payments by or on behalf of the Obligors that are not Supplemental Servicing Fees shall be applied to principal and interest on all such Simple Interest Receivables.
(b) With respect to a Simple Interest Receivable that is also an Administrative Receivable or Warranty Receivable, payments by or on behalf of the Obligor shall be applied in the same manner as set forth in Section 2.10(a). A Warranty Payment or an Administrative Purchase Payment, as applicable, shall be applied to principal and interest on such Receivable.
Application of Collections. Any payment by an Obligor in respect of any indebtedness owed by it to any Originator shall, except as otherwise specified by such Obligor or required by Applicable Law and unless otherwise instructed by the Servicer (with the prior written consent of the Administrative Agent) or the Administrative Agent, be applied as a Collection of any Receivable or Receivables of such Obligor to the extent of any amounts then due and payable thereunder (such application to be made starting with the oldest outstanding Receivable or Receivables) before being applied to any other indebtedness of such Obligor.
