Common use of Collateral substitution Clause in Contracts

Collateral substitution. (i) Zero per- cent of the fair value of collateral pledged to the national bank or Fed- eral savings association by a counterparty where the collateral qualifies as level 1 liquid assets and xxx- gible HQLA and where, under the con- tract governing the transaction, the counterparty may replace the pledged collateral with other assets that qual- ify as level 1 liquid assets, without the consent of the national bank or Fed- eral savings association;

Collateral substitution. (i) Zero per- cent of the fair value of collateral pledged to the national bank or Fed- eral savings association by a counterparty where the collateral qualifies as level 1 liquid assets and xxx- gible HQLA and where, under the con- tract governing the transaction, the counterparty may replace the pledged Comptroller of the Currency, Treasury § 50.32 collateral with other assets that qual- ify as level 1 liquid assets, without the consent of the national bank or Fed- eral savings association;