Common use of Collection of Certain Loan Payments Clause in Contracts

Collection of Certain Loan Payments. (a) The Servicer shall make reasonable efforts to collect all payments called for under the terms and provisions of the Loans, and shall, to the extent such procedures shall be consistent with this Servicing Agreement and generally consistent with any related insurance policy, follow such collection procedures as it would employ in its good faith business judgment and which are normal and usual in its general mortgage servicing activities. Consistent with the foregoing, and without limiting the generality of the foregoing, the Servicer may in its discretion waive any late payment charge, prepayment charge or penalty interest or other fees which may be collected in the ordinary course of servicing such Loan. The Servicer may also extend the Due Date for payment due on a Loan, provided, however, that the Servicer shall first determine that any such waiver or extension will not impair the coverage of any related insurance policy or materially adversely affect the lien of the related Mortgage (except as described below) or the interests of the Securityholders. Consistent with the terms of this Servicing Agreement, the Servicer may also: (i) waive, modify or vary any term of any Loan; (ii) consent to the postponement of strict compliance with any such term or in any manner grant indulgence to any Mortgagor; (iii) arrange with a Mortgagor a schedule for the payment of principal and interest due and unpaid; (iv) forgive any portion of the amounts contractually owed under the Loan; (v) capitalize past due amounts owed under the Loan by adding any amounts in arrearage to the existing principal balance of the Loan (a "Capitalization Workout") of which will result in an increased Monthly Payment amount, provided that: (A) the amount added to the existing principal balance of the Loan (the "Capitalized Amount") shall be no greater than five times the Mortgagor's current Monthly Payment amount; and (B) the Servicer shall not enter into a Capitalization Workout unless the Combined Loan-to-Value Ratio of the Loan prior to the Capitalization Workout equals or exceeds 80% and the Mortgagor has qualified for the Capitalization Workout under the Servicer's servicing guidelines; (vi) reset the Due Date for the Loan, or any combination of the foregoing; if in the Servicer's determination such waiver, modification, postponement or indulgence, arrangement or other action referred to above is not materially adverse to the interests of the Securityholders and is generally consistent with the Servicer's policies with respect to mortgage loans similar to the Loans; provided, however, that the Servicer may not modify or permit any Subservicer to modify any Loan (including without limitation any modification that would change the Loan Rate, forgive the payment of any principal or interest (unless in connection with the liquidation of the related Loan) or extend the final maturity date of such Loan) unless such Loan is in default or, in the judgment of the Servicer, such default is reasonably foreseeable. The general terms of any waiver, modification, postponement or indulgence with respect to any of the Loans will be included in the Servicing Certificate, and such Loans will not be considered "delinquent" for the purposes of the Basic Documents so long as the Mortgagor complies with the terms of such waiver, modification, postponement or indulgence. (b) The Servicer shall establish a Custodial Account, which shall be an Eligible Account in which the Servicer shall deposit or cause to be deposited any amounts representing payments and collections in respect of the Loans received by it subsequent to the Cut-off Date (other than in respect of the payments referred to in the following paragraph) within one Business Day following receipt thereof (or otherwise on or prior to the Closing Date), including the following payments and collections received or made by it (without duplication): (i) all payments of principal or interest on the Loans received by the Servicer from the respective Subservicer, net of any portion of the interest thereof retained by the Subservicer as Subservicing Fees; (ii) the aggregate Repurchase Price of the Loans purchased by the Servicer pursuant to Section 3.15; (iii) Net Liquidation Proceeds net of any related Foreclosure Profit; (iv) all proceeds of any Loans repurchased by the Seller pursuant to the Loan Purchase Agreement, and all Substitution Amounts required to be deposited in connection with the substitution of an Eligible Substitute Loan pursuant to the Loan Purchase Agreement; (v) insurance proceeds, other than Net Liquidation Proceeds, resulting from any insurance policy maintained on a Mortgaged Property; and (vi) amounts required to be paid by the Servicer pursuant to Sections 3.04 and 8.08. provided, however, that with respect to each Collection Period, the Servicer shall be permitted to retain from payments in respect of interest on the Loans, the Servicing Fee for such Collection Period. The foregoing requirements respecting deposits to the Custodial Account are exclusive, it being understood that, without limiting the generality of the foregoing, the Servicer need not deposit in the Custodial Account amounts representing Foreclosure Profits, prepayment penalties, fees (including annual fees) or late charge penalties payable by Mortgagors (such amounts to be retained as additional servicing compensation in accordance with Section 3.09 hereof), or amounts received by the Servicer for the accounts of Mortgagors for application towards the payment of taxes, insurance premiums, assessments and similar items. In the event any amount not required to be deposited in the Custodial Account is so deposited, the Servicer may at any time withdraw such amount from the Custodial Account, any provision herein to the contrary notwithstanding. The Servicer may cause the institution maintaining the Custodial Account to invest any funds in the Custodial Account in Permitted Investments, which shall mature not later than the Business Day preceding the next Payment Date and which shall not be sold or disposed of prior to its maturity. Except as provided above, all income and gain realized from any such investment shall inure to the benefit of the Servicer and shall be subject to its withdrawal or order from time to time. The amount of any losses incurred in respect of the principal amount of any such investments shall be deposited in the Custodial Account by the Servicer out of its own funds immediately as realized. (c) The Servicer will require each Subservicer to hold all funds constituting collections on the Loans, pending remittance thereof to the Servicer, in one or more accounts meeting the requirements of an Eligible Account, and invested in Permitted Investments.

Collection of Certain Loan Payments. (a) The Servicer shall make reasonable efforts to collect all payments called for under the terms and provisions of the Loans, and shall, to the extent such procedures shall be consistent with this Servicing Agreement and generally consistent with any related insurance policy, follow such collection procedures as it would employ in its good faith business judgment and which are normal and usual in its general mortgage servicing activities. Consistent with the foregoing, and without limiting the generality of the foregoing, the Servicer may in its discretion waive any late payment charge, prepayment charge or penalty interest or other fees which may be collected in the ordinary course of servicing such Loan. The Servicer may also extend the Due Date for payment due on a Loan, provided, however, that the Servicer shall first determine that any such waiver or extension will not impair the coverage of any related insurance policy or materially adversely affect the lien of the related Mortgage (except as described below) or the interests of the Securityholders. Consistent with the terms of this Servicing Agreement, the Servicer may also: (i) waive, modify or vary any term of any Loan; (ii) consent to the postponement of strict compliance with any such term or in any manner grant indulgence to any Mortgagor; (iii) arrange with a Mortgagor a schedule for the payment of principal and interest due and unpaid; (iv) forgive any portion of the amounts contractually owed under the Loan; (v) capitalize past due amounts owed under the Loan by adding any amounts in arrearage to the existing principal balance of the Loan (a "Capitalization Workout") of which will result in an increased Monthly Payment amount, provided that: (A) the amount added to the existing principal balance of the Loan (the "Capitalized Amount") shall be no greater than five times the Mortgagor's current Monthly Payment amount; and (B) the Servicer shall not enter into a Capitalization Workout unless the Combined Loan-to-Value Ratio of the Loan prior to the Capitalization Workout equals or exceeds 80% and the Mortgagor has qualified for the Capitalization Workout under the Servicer's servicing guidelines; (vi) reset the Due Date for the Loan, or any combination of the foregoing; if in the Servicer's determination such waiver, modification, postponement or indulgence, arrangement or other action referred to above is not materially adverse to the interests of the Securityholders and is generally consistent with the Servicer's policies with respect to mortgage loans similar to the Loans; provided, however, that the Servicer may not modify or permit any Subservicer to modify any Loan (including without limitation any modification that would change the Loan Rate, forgive the payment of any principal or interest (unless in connection with the liquidation of the related Loan) or extend the final maturity date of such Loan) unless such Loan is in default or, in the judgment of the Servicer, such default is reasonably foreseeable. The general terms of any waiver, modification, postponement or indulgence with respect to any of the Loans will be included in the Servicing Certificate, and such Loans will not be considered "delinquent" for the purposes of the Basic Documents so long as the Mortgagor complies with the terms of such waiver, modification, postponement or indulgence. (b) The Servicer shall establish a Custodial Account, which shall be an Eligible Account in which the Servicer shall deposit or cause to be deposited any amounts representing payments and collections in respect of the Loans received by it subsequent to the Cut-off Date (other than in respect of the payments referred to in the following paragraph) within one Business Day following receipt thereof (or otherwise on or prior to the Closing Date), including the following payments and collections received or made by it (without duplication): (i) all payments of principal or interest on the Loans received by the Servicer from the respective Subservicer, net of any portion of the interest thereof retained by the Subservicer as Subservicing Fees; (ii) the aggregate Repurchase Price of the Loans purchased by the Servicer pursuant to Section 3.15; (iii) Net Liquidation Proceeds net of any related Foreclosure Profit; (iv) all proceeds of any Loans repurchased by the Seller Sponsor pursuant to the Loan Purchase Agreement, and all Substitution Amounts required to be deposited in connection with the substitution of an Eligible Substitute Loan pursuant to the Loan Purchase Agreement; (v) insurance proceeds, other than Net Liquidation Proceeds, resulting from any insurance policy maintained on a Mortgaged Property; and (vi) amounts required to be paid by the Servicer pursuant to Sections 3.04 and 8.08. provided, however, that with respect to each Collection Period, the Servicer shall be permitted to retain from payments in respect of interest on the Loans, the Servicing Fee for such Collection Period. The foregoing requirements respecting deposits to the Custodial Account are exclusive, it being understood that, without limiting the generality of the foregoing, the Servicer need not deposit in the Custodial Account amounts representing Foreclosure Profits, prepayment penalties, fees (including annual fees) or late charge penalties payable by Mortgagors (such amounts to be retained as additional servicing compensation in accordance with Section 3.09 hereof), or amounts received by the Servicer for the accounts of Mortgagors for application towards the payment of taxes, insurance premiums, assessments and similar items. In the event any amount not required to be deposited in the Custodial Account is so deposited, the Servicer may at any time withdraw such amount from the Custodial Account, any provision herein to the contrary notwithstanding. The Servicer may cause the institution maintaining the Custodial Account to invest any funds in the Custodial Account in Permitted Investments, which shall mature not later than the Business Day preceding the next Payment Date and which shall not be sold or disposed of prior to its maturity. Except as provided above, all income and gain realized from any such investment shall inure to the benefit of the Servicer and shall be subject to its withdrawal or order from time to time. The amount of any losses incurred in respect of the principal amount of any such investments shall be deposited in the Custodial Account by the Servicer out of its own funds immediately as realized. (c) The Servicer will require each Subservicer to hold all funds constituting collections on the Loans, pending remittance thereof to the Servicer, in one or more accounts meeting the requirements of an Eligible Account, and invested in Permitted Investments.

Collection of Certain Loan Payments. (a) The Servicer shall make reasonable efforts to collect all payments called for under the terms and provisions of the Loans, and shall, to the extent such procedures shall be are consistent with this Servicing Agreement Agreement, Accepted Servicing Practices and generally consistent with any related insurance policy, follow such collection procedures as it would employ in its good faith business judgment and which are normal and usual in its general mortgage servicing activitiesactivities and consistent with the procedures that the Servicer employs in servicing all other Loans in its servicing portfolio with characteristics similar to these of the Loans. Consistent with the foregoing, and without limiting the generality of the foregoing, the Servicer may in its discretion waive any late payment charge, prepayment charge or penalty interest or other fees which may be collected in the ordinary course of servicing such Loan. The Servicer may also extend the Due Date for payment due on a Loan, provided, however, that the Servicer shall first determine that any such waiver or extension will not impair the coverage of any related insurance policy or materially adversely affect the lien of the related Mortgage (except as described below) or the interests of the Securityholders. Consistent with the terms of this Servicing AgreementAgreement and without limiting the generality of the foregoing, the Servicer may also: (i) waive, modify or vary any term of any Loan; (ii) consent to the postponement of strict compliance with any such term or in any manner grant indulgence to any Mortgagor; (iii) arrange with a Mortgagor a schedule for the payment of principal and interest due and unpaid; (iv) forgive any portion of the amounts contractually owed under the Loan; (v) capitalize past due amounts owed under the Loan by adding any amounts in arrearage to the existing principal balance of the Loan (a "Capitalization Workout") of which will result in an increased Monthly Payment amount, provided that: (A) the amount added to the existing principal balance of the Loan (the "Capitalized Amount") shall be no greater than five times the Mortgagor's current Monthly Payment amount; and (B) the Servicer shall not enter into a Capitalization Workout unless the Combined Loan-to-Value Ratio of the Loan prior to the Capitalization Workout equals or exceeds 80% and the Mortgagor has qualified for the Capitalization Workout under the Servicer's servicing guidelines; (vi) reset the Due Date for the Loan, or ; or (vi) any combination of the foregoing; if in the Servicer's ’s determination such waiver, modification, postponement or indulgence, arrangement or other action referred to above is not materially adverse to the interests of the Securityholders and is generally consistent with the Servicer's ’s policies with respect to mortgage loans similar to the Loans; provided, however, that the Servicer may not modify or permit any Subservicer to modify any Loan (including without limitation any modification that would change the Loan Rate, forgive the payment of any principal or interest (unless in connection with the liquidation of the related Loan) or extend the final maturity date of such Loan) unless such Loan is in default or, in the judgment of the Servicer, such default is reasonably foreseeable. The general terms of any waiver, modification, postponement or indulgence with respect to any of the Loans will be included in the Servicing Certificate, and such Such Loans will not be considered "“delinquent" ” for the purposes of the Basic Documents so long as the Mortgagor complies with the terms of such waiver, modification, postponement or indulgence. (b) The Servicer shall establish a Custodial Account, which shall be an Eligible Account in which the Servicer shall deposit or cause to be deposited any amounts representing payments and collections in respect of the Loans received by it subsequent to the Cut-off Date (other than in respect of the payments referred to in the following paragraph) within one two Business Day Days following receipt thereof (or otherwise on or prior to the Closing Date), including the following payments and collections received or made by it (without duplication): (i) all payments of principal or interest on the Loans received by the Servicer from the respective or by any Subservicer, net of any portion of the interest thereof late fees, Prepayment Penalties or other amounts to be retained by the Subservicer as Subservicing FeesServicer under this Servicing Agreement; (ii) the aggregate Repurchase Price Net Liquidation Proceeds including any related Foreclosure Profit, net of the Loans purchased any late fees, Prepayment Penalties or other amounts to be retained by the Servicer pursuant to Section 3.15under this Servicing Agreement; (iii) Net Liquidation Proceeds net of any related Foreclosure Profit; (iv) all proceeds of any Loans repurchased amounts deposited by the Seller pursuant to the Loan Purchase Agreement, and all Substitution Amounts required to be deposited Servicer in connection with the substitution of an Eligible Substitute Loan any REO pursuant to the Loan Purchase Agreement; (viv) insurance proceeds, other than Net Liquidation Proceeds, resulting from any insurance policy maintained on a Mortgaged Property, except for insurance proceeds for the repair or restoration of the related Mortgaged Property or released to the related Mortgagor in accordance with Accepted Servicing Practices, the related Loan File or applicable law; (v) all Condemnation Proceeds affecting any Mortgaged Property which are not released to the Mortgagor in accordance with the Seller’s normal servicing procedures, the documents in the Mortgage File or applicable law. (vi) all proceeds (including the Repurchase Price) of any Loans repurchased by the Seller pursuant to the Loan Purchase Agreement, and all Substitution Adjustment Amounts required to be deposited by the Seller in connection with the substitution of an Eligible Substitute Loan pursuant to the Loan Purchase Agreement; (vii) any amounts required to be deposited in the Custodial Account pursuant to Section 3.08; and (viviii) amounts required to be paid by the Servicer pursuant to Sections 3.04 and 8.08. Section 3.04; provided, however, that with respect to each Collection Period, the Servicer shall be permitted to retain from payments in respect of interest on the LoansLoans in a related Loan Group, the Servicing Fee for such Loan Group for such Collection Period. The foregoing requirements respecting deposits to the Custodial Account are exclusive, it being understood that, without limiting the generality of the foregoing, the Servicer need not deposit in the Custodial Account Prepayment Penalties, amounts representing Foreclosure Profits, prepayment penalties, fees (including annual fees) or late charge penalties payable by Mortgagors (such amounts to be retained as additional servicing compensation in accordance with Section 3.09 hereof), or amounts received by the Servicer for the accounts of Mortgagors for application towards the payment of taxes, insurance premiums, assessments and similar items. In the event any amount not required to be deposited in the Custodial Account is so deposited, the Servicer may at any time withdraw such amount from the Custodial Account, any provision herein to the contrary notwithstanding. The Servicer may cause the institution maintaining the Custodial Account to invest any funds in the Custodial Account in Permitted Investments, which shall mature not later than the Business Day preceding the next Payment Determination Date and which shall not be sold or disposed of prior to its maturity. Except as provided above, all income and gain realized from any such investment shall inure to the benefit of the Servicer and shall be subject to its withdrawal or order from time to time. The amount of any losses incurred in respect of the principal amount of any such investments shall be deposited in the Custodial Account by the Servicer out of its own funds immediately as realized. (c) The Servicer will require each Subservicer to hold all funds constituting collections on the Loans, pending remittance thereof to the Servicer, in one or more accounts meeting the requirements of an Eligible Account, and and, if applicable, invested in Permitted Investments. (d) The Servicer may, with the prior written consent of the Indenture Trustee, transfer a Custodial Account to a different Eligible Account from time to time.

Collection of Certain Loan Payments. (a) The Servicer shall make reasonable efforts to collect all payments called for under the terms and provisions of the Loans, and shall, to the extent such procedures shall be consistent with this Servicing Agreement and generally consistent with any related insurance policy, follow such collection procedures as it would employ in its good faith business judgment and which are normal and usual in its general mortgage servicing activities. Consistent with the foregoing, and without limiting the generality of the foregoing, the Servicer may in its discretion waive any late payment charge, prepayment charge or penalty interest or other fees which may be collected in the ordinary course of servicing such Loan. The Servicer may also extend the Due Date for payment due on a Loan, provided, however, that the Servicer shall first determine that any such waiver or extension will not impair the coverage of any related insurance policy or materially adversely affect the lien of the related Mortgage (except as described below) or the interests of the Securityholders. Consistent with the terms of this Servicing Agreement, the Servicer may also: (i) waive, modify or vary any term of any Loan; (ii) consent to the postponement of strict compliance with any such term or in any manner grant indulgence to any Mortgagor; (iii) arrange with a Mortgagor a schedule for the payment of principal and interest due and unpaid; (iv) forgive any portion of the amounts contractually owed under the Loan; (v) capitalize past due amounts owed under the Loan by adding any amounts in arrearage to the existing principal balance of the Loan (a "Capitalization Workout") of which will result in an increased Monthly Payment amount, provided that: (A) the amount added to the existing principal balance of the Loan (the "Capitalized Amount") shall be no greater than five times the Mortgagor's current Monthly Payment amount; and (B) the Servicer shall not enter into a Capitalization Workout unless the Combined Loan-to-Value Ratio of the Loan prior to the Capitalization Workout equals or exceeds 80% and the Mortgagor has qualified for the Capitalization Workout under the Servicer's servicing guidelines; (vi) reset the Due Date for the Loan, or any combination of the foregoing; if in the Servicer's determination such waiver, modification, postponement or indulgence, arrangement or other action referred to above is not materially adverse to the interests of the Securityholders and is generally consistent with the Servicer's policies with respect to mortgage loans similar to the Loans; provided, however, that the Servicer may not modify or permit any Subservicer to modify any Loan (including without limitation any modification that would change the Loan Rate, forgive the payment of any principal or interest (unless in connection with the liquidation of the related Loan) or extend the final maturity date of such Loan) unless such Loan is in default or, in the judgment of the Servicer, such default is reasonably foreseeable. The general terms of any waiver, modification, postponement or indulgence with respect to any of the Loans will be included in the Servicing Certificate, and such Loans will not be considered "delinquent" for the purposes of the Basic Documents so long as the Mortgagor complies with the terms of such waiver, modification, postponement or indulgence. (b) The Servicer shall establish a Custodial Account, which shall be an Eligible Account in which the Servicer shall deposit or cause to be deposited any amounts representing payments and collections in respect of the Loans received by it subsequent to the Cut-off Date (other than in respect of the payments referred to in the following paragraph) within one Business Day following receipt thereof (or otherwise on or prior to the Closing Date), including the following payments and collections received or made by it (without duplication): (i) all payments of principal or interest on the Loans received by the Servicer from the respective Subservicer, net of any portion of the interest thereof retained by the Subservicer as Subservicing Fees; (ii) the aggregate Repurchase Price of the Loans purchased by the Servicer pursuant to Section 3.15; (iii) Net Liquidation Proceeds net of any related Foreclosure Profit; (iv) all proceeds of any Loans repurchased by the Seller pursuant to the Loan Purchase Agreement, and all Substitution Amounts required to be deposited in connection with the substitution of an Eligible Substitute Loan pursuant to the Loan Purchase Agreement; (v) insurance proceeds, other than Net Liquidation Proceeds, resulting from any insurance policy maintained on a Mortgaged Property; and (vi) amounts required to be paid by the Servicer pursuant to Sections 3.04 and 8.08. provided, however, that with respect to each Collection Period, the Servicer shall be permitted to retain from payments in respect of interest on the Loans, the Servicing Fee for such Collection Period. The foregoing requirements respecting deposits to the Custodial Account are exclusive, it being understood that, without limiting the generality of the foregoing, the Servicer need not deposit in the Custodial Account amounts representing Foreclosure Profits, prepayment penalties, fees (including annual fees) or late charge penalties payable by Mortgagors (such amounts to be retained as additional servicing compensation in accordance with Section 3.09 hereof), or amounts received by the Servicer for the accounts of Mortgagors for application towards the payment of taxes, insurance premiums, assessments and similar items. In the event any amount not required to be deposited in the Custodial Account is so deposited, the Servicer may at any time withdraw such amount from the Custodial Account, any provision herein to the contrary notwithstanding. The Servicer may cause the institution maintaining the Custodial Account to invest any funds in the Custodial Account in Permitted Investments, which shall mature not later than the Business Day preceding the next Payment Date and which shall not be sold or disposed of prior to its maturity. Except as provided above, all income and gain realized from any such investment shall inure to the benefit of the Servicer and shall be subject to its withdrawal or order from time to time. The amount of any losses incurred in respect of the principal amount of any such investments shall be deposited in the Custodial Account by the Servicer out of its own funds immediately as realized. (c) The Servicer will require each Subservicer to hold all funds constituting collections on the Loans, pending remittance thereof to the Servicer, in one or more accounts meeting the requirements of an Eligible Account, and invested in Permitted Investments.

Collection of Certain Loan Payments. (a) The Master Servicer shall make reasonable efforts to collect all payments called for under the terms and provisions of the LoansHome Equity Loans as and when the same shall become due, and shall, to the extent such procedures shall be consistent with this Agreement, at all times follow the Servicing Agreement and generally consistent with any related insurance policy, follow such collection procedures as it would employ in its good faith business judgment and which are normal and usual in its general mortgage servicing activitiesStandards. Consistent with the foregoing, and without limiting the generality first sentence of the foregoingthis subsection (a), the Master Servicer may in its discretion (i) change the date of the month in which payment is due for any Home Equity Loan, provided that such Home Equity Loan is not in default or in imminent default at the time of such change, (ii) reduce the amount of the monthly payment due on any Home Equity Loan in accordance with the Servicing Standards, provided that such Home Equity Loan is not in default or in imminent default at the time of such reduction and provided further that as long as the Obligor is paying such reduced amount, the related Home Equity Loan will be recorded as delinquent by the Master Servicer and the Master Servicer shall, to the extent provided in Section 3.15, make all necessary Advances thereon in accordance with the original amortization schedule, (iii) execute a subordination agreement with a senior mortgagee on any Mortgaged Property in connection with a refinancing of the senior mortgage loan, provided that the principal balance of the new senior mortgage loan shall not be greater than the principal balance of the senior mortgage loan which was refinanced plus closing costs incurred in such refinancing, or (iv) waive any late payment chargecharges, charges for checks returned for insufficient funds, prepayment charge fees or penalty interest any assumption fees or other fees which may be collected in the ordinary course of servicing such Home Equity Loan. The Notwithstanding the foregoing, the Master Servicer may also extend the Due Date for payment due on a Loan, provided, however, that the Servicer shall first determine that any such waiver or extension will not impair the coverage of any related insurance policy or materially adversely affect the lien of the related Mortgage (except as described below) or the interests of the Securityholders. Consistent with the terms of this Servicing Agreement, the Servicer may also: (i) waive, modify or vary any term of any Loan; (ii) consent to the postponement of strict compliance with any such term or in any manner grant indulgence to any Mortgagor; (iii) arrange with a Mortgagor a schedule for the payment of principal and interest due and unpaid; (iv) forgive any portion of the amounts contractually owed under the Loan; (v) capitalize past due amounts owed under the Loan by adding any amounts in arrearage to the existing principal balance of the Loan (a "Capitalization Workout") of which will result in an increased Monthly Payment amount, provided that: (A) the amount added to the existing principal balance of the Loan (the "Capitalized Amount") shall be no greater than five times the Mortgagor's current Monthly Payment amount; and (B) the Servicer shall not enter into a Capitalization Workout unless the Combined Loan-to-Value Ratio of the Loan prior to the Capitalization Workout equals or exceeds 80% and the Mortgagor has qualified for the Capitalization Workout under the Servicer's servicing guidelines; (vi) reset the Due Date for the Loan, or any combination of the foregoing; if in the Servicer's determination such waiver, modification, postponement or indulgence, arrangement or other action referred to above is not materially adverse to the interests of the Securityholders and is generally consistent with the Servicer's policies with respect to mortgage loans similar to the Loans; provided, however, that the Servicer may not modify or permit any Subservicer to modify any Loan (including without limitation any modification that would change the Loan Rate, forgive the payment of any principal or interest (unless in connection with the liquidation of the related Loan) or extend the final maturity date of such Loan, (ii) unless such Loan is reduce the interest rate or interest payable, or (iii) reduce the principal balance in default or, in the judgment of the Servicer, such default is reasonably foreseeable. The general terms respect of any waiver, modification, postponement or indulgence with respect to any of the Loans will be included in the Servicing Certificate, and such Loans will not be considered "delinquent" for the purposes of the Basic Documents so long as the Mortgagor complies with the terms of such waiver, modification, postponement or indulgenceHome Equity Loan. (b) The On or before the Closing Date, the Master Servicer shall establish a Custodial and shall thereafter maintain or cause to be maintained the Collection Account, which shall be an Eligible Account, in the name of the Trustee for the benefit of the Insurer and the Certificateholders. In the event the Collection Account in which is not maintained with the Trustee, the Master Servicer shall deposit or cause deliver to be deposited any amounts representing payments and collections in respect the Trustee at the time of the Loans establishment of the Collection Account, an Officer's Certificate setting forth the location, title and account number of the Collection Account. The Master Servicer will deposit all payments received by it subsequent with respect to the Cut-off Date (other than in respect Home Equity Loans into the Collection Account within two Business Days of the payments referred to in the following paragraph) within one Business Day following receipt thereof (or otherwise on or prior to the Closing Date), including the following payments and collections received or made by it (without duplication):including: (i) all payments of principal or interest on the Loans amounts received by the Master Servicer or any Subservicer with respect to the Home Equity Loans representing payments from or for the respective Subservicer, net account of any portion of the interest thereof retained by the Subservicer as Subservicing FeesObligors; (ii) the aggregate Repurchase Price of the Loans purchased by the Servicer pursuant to Section 3.15any Insurance Proceeds; (iii) Net Liquidation Proceeds net of any related Foreclosure ProfitPurchase Price; (iv) all proceeds of any Loans repurchased by the Seller pursuant to the Loan Purchase Agreement, and all Substitution Amounts required to be deposited in connection with the substitution of an Eligible Substitute Loan pursuant to the Loan Purchase AgreementNet Liquidation Proceeds; (v) any amounts required to be deposited by the Master Servicer in connection with any REO Property pursuant to Section 3.6; (vi) any amounts required to be deposited by the Master Servicer pursuant to Section 3.4 in connection with the deductible clause in any blanket hazard insurance proceedspolicy, other than Net Liquidation Proceedssuch deposit to be made from the Master Servicer's own funds, resulting from any insurance policy maintained on a Mortgaged Propertywithout reimbursement therefore; and (vivii) amounts required to be funds paid by the Master Servicer pursuant to Sections 3.04 and 8.08. provided, however, that with respect to each Collection Period, the Servicer shall be permitted to retain from payments in respect of interest on the Loans, the Servicing Fee for such Collection PeriodSection 10.1. The foregoing requirements respecting deposits to the Custodial Collection Account are exclusive, it being understood that, without limiting and the generality of the foregoing, the Master Servicer need not deposit in the Custodial Collection Account amounts representing Foreclosure Profits, prepayment penaltiesany Monthly Servicing Fees, fees (including annual fees) or late charge penalties payable by Mortgagors (such Obligors or other similar items, amounts reimbursable to be retained the Master Servicer as additional servicing compensation in accordance with Liquidation Expenses pursuant to Section 3.09 hereof)3.8, or Servicing Advances reimbursable to the Master Servicer, amounts received by the Master Servicer from or for the accounts of Mortgagors Obligors for application towards the payment of taxes, insurance premiums, assessments and similar items. In the event any amount not required to be deposited in the Custodial Account is so deposited, the Servicer may at any time withdraw such amount from the Custodial Account, any provision herein Advances reimbursable to the contrary notwithstanding. The Servicer may cause the institution maintaining the Custodial Account to invest any funds in the Custodial Account in Permitted InvestmentsMaster Servicer, which shall mature not later than the Business Day preceding the next Payment Date and which shall not be sold or disposed of prior to its maturity. Except as provided above, all income and gain realized from any such investment shall inure Nonrecoverable Advances reimbursable to the benefit of the Servicer and shall be subject to its withdrawal or order from time to time. The amount of any losses incurred in respect of the principal amount of any such investments shall be deposited in the Custodial Account by the Servicer out of its own funds immediately as realizedMaster Servicer. (c) The Servicer will require each Subservicer to hold all funds constituting collections on the Loans, pending remittance thereof to the Servicer, in one or more accounts meeting the requirements of an Eligible Account, and invested in Permitted Investments.

Collection of Certain Loan Payments. (a) The Each Servicer shall make reasonable efforts to collect all payments called for under the terms and provisions of the related Loans, and shall, to the extent such procedures shall be are consistent with this Servicing Agreement Agreement, Accepted Servicing Practices and generally consistent with any related insurance policy, follow such collection procedures as it would employ in its good faith business judgment and which are normal and usual in its general mortgage servicing activitiesactivities and consistent with the procedures that such Servicer employs in servicing all other Loans in its servicing portfolio with characteristics similar to these of the related Loans. Consistent with the foregoing, and without limiting the generality of the foregoing, the each Servicer may in its discretion waive any late payment charge, prepayment charge or penalty interest or other fees which may be collected in the ordinary course of servicing such Loan. The Subject to the final sentence of Section 3.01(a), each Servicer may also extend the Due Date for payment due on a Loan, provided, however, that the a Servicer shall first determine that any such waiver or extension will not impair the coverage of any related insurance policy or materially adversely affect the lien of the related Mortgage (except as described below) or the interests of the SecurityholdersSecurityholders or the Insurer. Consistent with the terms of this Servicing AgreementAgreement (including the final sentence of Section 3.01(a)) and without limiting the generality of the foregoing, the each Servicer may also: (i) waive, modify or vary any term of any Loan; (ii) consent to the postponement of strict compliance with any such term or in any manner grant indulgence to any Mortgagor; (iii) arrange with a Mortgagor a schedule for the payment of principal and interest due and unpaid; (iv) forgive any portion of the amounts contractually owed under the Loan; (v) capitalize past due amounts owed under the Loan by adding any amounts in arrearage to the existing principal balance of the Loan (a "Capitalization Workout") of which will result in an increased Monthly Payment amount, provided that: (A) the amount added to the existing principal balance of the Loan (the "Capitalized Amount") shall be no greater than five times the Mortgagor's current Monthly Payment amount; and (B) the Servicer shall not enter into a Capitalization Workout unless the Combined Loan-to-Value Ratio of the Loan prior to the Capitalization Workout equals or exceeds 80% and the Mortgagor has qualified for the Capitalization Workout under the Servicer's servicing guidelines; (vi) reset the Due Date for the Loan, or ; or (vi) any combination of the foregoing; if in the related Servicer's ’s determination such waiver, modification, postponement or indulgence, arrangement or other action referred to above is not materially adverse to the interests of the Securityholders or the Insurer and is generally consistent with the such Servicer's ’s policies with respect to mortgage loans similar to the related Loans; provided, however, that the Servicer may not modify or permit any Subservicer to modify any Loan (including without limitation any modification that would change the Loan Rate, forgive the payment of any principal or interest (unless in connection with the liquidation of the related Loan) or extend the final maturity date of such Loan) unless such Loan is in default or, in the judgment of the Servicer, such default is reasonably foreseeable. The general terms of any waiver, modification, postponement or indulgence with respect to any of the Loans will be included in the Servicing Certificate, and such Such Loans will not be considered "“delinquent" ” for the purposes of the Basic Documents so long as the Mortgagor complies with the terms of such waiver, modification, postponement or indulgence. (b) The Each Servicer shall establish a Custodial Account, which shall be an Eligible Account Account, titled “[Servicer’s name], in trust for the Holders of Asset Backed Securities Corporation, Home Equity Asset-Backed Securities, Series 2006-2” or, if established and maintained by a Subservicer on behalf of the related Servicer, “[Subservicer’s name], in trust for [Servicer’s name]” or “[Subservicer’s name], as agent, trustee and/or bailee of principal and interest custodial account for [Servicer’s name], its successors and assigns, for various owners of interest in [Servicer’s name] mortgage-backed pools,” in which the related Servicer shall deposit or cause to be deposited any amounts representing payments and collections in respect of the Loans received by it subsequent to the Cut-off Date (other than in respect of the payments referred to in the following paragraph) within one two Business Day Days following receipt thereof (or otherwise on or prior to the Closing DateDate or, in the case of payments that are not in the form of checks accompanied by the Servicer-provided billhead, within five Business Days following receipt thereof), including the following payments and collections received or made by it (without duplication): (i) all payments of principal or interest on the related Loans received by the such Servicer from the respective or by any Subservicer, net of any portion of the interest thereof late fees or other amounts to be retained by the Subservicer as Subservicing FeesServicer under this Servicing Agreement; (ii) the aggregate Repurchase Price Net Liquidation Proceeds including any related Foreclosure Profit, net of the Loans purchased any late fees or other amounts to be retained by the such Servicer pursuant to Section 3.15under this Servicing Agreement; (iii) Net Liquidation Proceeds net of any related Foreclosure Profit; (iv) all proceeds of any Loans repurchased amounts deposited by the Seller pursuant to the Loan Purchase Agreement, and all Substitution Amounts required to be deposited such Servicer in connection with the substitution of an Eligible Substitute Loan any REO pursuant to the Loan Purchase Agreement; (viv) insurance proceeds, other than Net Liquidation Proceeds, resulting from any insurance policy maintained on a Mortgaged Property; and, except for insurance proceeds for the repair or restoration of the related Mortgaged Property or released to the related Mortgagor in accordance with Accepted Servicing Practices, the related Loan File or applicable law; (v) all Condemnation Proceeds affecting any Mortgaged Property which are not released to the Mortgagor in accordance with the Seller’s normal servicing procedures, the documents in the Mortgage File or applicable law. (vi) all proceeds (including the Repurchase Price) of any Loans repurchased by the Seller pursuant to the Loan Purchase Agreement, and all Substitution Adjustment Amounts required to be deposited by the Seller in connection with the substitution of an Eligible Substitute Loan pursuant to the Loan Purchase Agreement; (vii) any amounts required to be deposited in the Custodial Account pursuant to Section 3.08; (viii) amounts required to be paid by the related Servicer pursuant to Sections 3.04 and 8.08Section 3.04; (ix) all Advances made by such Servicer pursuant to Section 3.19; (x) with respect to each Principal Prepayment on the Loans (other than the HELOCs), the Compensating Interest Payment, if any, for the related Prepayment Period; and (xi) all Prepayment Charges. provided, however, that with respect to each Collection Period, the each Servicer shall be permitted to retain from payments in respect of interest on the related Loans, the related Servicing Fee for such Collection Period. The foregoing requirements respecting deposits to the related Custodial Account are exclusive, it being understood that, without limiting the generality of the foregoing, the a Servicer need not deposit in the Custodial Account amounts representing Foreclosure Profits, prepayment penalties, fees (including annual fees) or late charge penalties payable by Mortgagors (such amounts to be retained as additional servicing compensation in accordance with Section 3.09 hereof), or amounts received by the related Servicer for the accounts of Mortgagors for application towards the payment of taxes, insurance premiums, assessments and similar items. In the event any amount not required to be deposited in the Custodial Account is so deposited, the related Servicer may at any time withdraw such amount from the Custodial Account, any provision herein to the contrary notwithstanding. The Each Servicer may cause the institution maintaining the related Custodial Account to invest any funds in the such Custodial Account in Permitted Investments, which shall mature not later than the Business Day preceding the next Payment Servicer Remittance Date and which shall not be sold or disposed of prior to its maturity. Except as provided above, all income and gain realized from any such investment shall inure to the benefit of the related Servicer and shall be subject to its withdrawal or order from time to time. The amount of any losses incurred in respect of the principal amount of any such investments shall be deposited in the Custodial Account by the related Servicer out of its own funds immediately as realized. (c) The Each Servicer will require each related Subservicer to hold all funds constituting collections on the related Loans, pending remittance thereof to the such Servicer, in one or more accounts meeting the requirements of an Eligible Account, and and, if applicable, invested in Permitted Investments. (d) Each Servicer may, with the prior written consent of the Indenture Trustee, transfer a Custodial Account to a different Eligible Account from time to time.

Collection of Certain Loan Payments. (a) The Servicer shall make reasonable efforts to collect all payments called for under the terms and provisions of the Loans, and shall, to the extent such procedures shall be consistent with this Servicing Agreement and generally consistent with any related insurance policy, follow such collection procedures as it would employ in its good faith business judgment and which are normal and usual in its general mortgage servicing activities. Consistent with the foregoing, and without limiting the generality of the foregoing, the Servicer may in its discretion waive any late payment charge, prepayment charge or penalty interest or other fees which may be collected in the ordinary course of servicing such Loan. The Servicer may also extend the Due Date for payment due on a Loan, provided, however, that the Servicer shall first determine that any such waiver or extension will not impair the coverage of any related insurance policy or materially adversely affect the lien of the related Mortgage (except as described below) or the interests of the Securityholders. Consistent with the terms of this Servicing Agreement, the Servicer may also: (i) waive, modify or vary any term of any Loan; (ii) consent to the postponement of strict compliance with any such term or in any manner grant indulgence to any Mortgagor; (iii) arrange with a Mortgagor a schedule for the payment of principal and interest due and unpaid; (iv) forgive any portion of the amounts contractually owed under the Loan; (v) capitalize past due amounts owed under the Loan by adding any amounts in arrearage to the existing principal balance of the Loan (a "“Capitalization Workout"”) of which will result in an increased Monthly Payment amount, provided that: (A) the amount added to the existing principal balance of the Loan (the "“Capitalized Amount"”) shall be no greater than five times the Mortgagor's ’s current Monthly Payment amount; and (B) the Servicer shall not enter into a Capitalization Workout unless the Combined Loan-to-Value Ratio of the Loan prior to the Capitalization Workout equals or exceeds 80% and the Mortgagor has qualified for the Capitalization Workout under the Servicer's ’s servicing guidelines; (vi) reset the Due Date for the Loan, or any combination of the foregoing; if in the Servicer's ’s determination such waiver, modification, postponement or indulgence, arrangement or other action referred to above is not materially adverse to the interests of the Securityholders and is generally consistent with the Servicer's ’s policies with respect to mortgage loans similar to the Loans; provided, however, that the Servicer may not modify or permit any Subservicer to modify any Loan (including without limitation any modification that would change the Loan Rate, forgive the payment of any principal or interest (unless in connection with the liquidation of the related Loan) or extend the final maturity date of such Loan) unless such Loan is in default or, in the judgment of the Servicer, such default is reasonably foreseeable. The general terms of any waiver, modification, postponement or indulgence with respect to any of the Loans will be included in the Servicing Certificate, and such Loans will not be considered "“delinquent" ” for the purposes of the Basic Documents so long as the Mortgagor complies with the terms of such waiver, modification, postponement or indulgence. (b) The Servicer shall establish a Custodial Account, which shall be an Eligible Account in which the Servicer shall deposit or cause to be deposited any amounts representing payments and collections in respect of the Loans received by it subsequent to the Cut-off Date (other than in respect of the payments referred to in the following paragraph) within one Business Day following receipt thereof (or otherwise on or prior to the Closing Date), including the following payments and collections received or made by it (without duplication): (i) all payments of principal or interest on the Loans received by the Servicer from the respective Subservicer, net of any portion of the interest thereof retained by the Subservicer as Subservicing Fees; (ii) the aggregate Repurchase Price of the Loans purchased by the Servicer pursuant to Section 3.15; (iii) Net Liquidation Proceeds net of any related Foreclosure Profit; (iv) all proceeds of any Loans repurchased by the Seller Sponsor pursuant to the Loan Purchase Agreement, and all Substitution Amounts required to be deposited in connection with the substitution of an Eligible Substitute Loan pursuant to the Loan Purchase Agreement; (v) insurance proceeds, other than Net Liquidation Proceeds, resulting from any insurance policy maintained on a Mortgaged Property; and (vi) amounts required to be paid by the Servicer pursuant to Sections 3.04 and 8.08. provided, however, that with respect to each Collection Period, the Servicer shall be permitted to retain from payments in respect of interest on the Loans, the Servicing Fee for such Collection Period. The foregoing requirements respecting deposits to the Custodial Account are exclusive, it being understood that, without limiting the generality of the foregoing, the Servicer need not deposit in the Custodial Account amounts representing Foreclosure Profits, prepayment penalties, fees (including annual fees) or late charge penalties payable by Mortgagors (such amounts to be retained as additional servicing compensation in accordance with Section 3.09 hereof), or amounts received by the Servicer for the accounts of Mortgagors for application towards the payment of taxes, insurance premiums, assessments and similar items. In the event any amount not required to be deposited in the Custodial Account is so deposited, the Servicer may at any time withdraw such amount from the Custodial Account, any provision herein to the contrary notwithstanding. The Servicer may cause the institution maintaining the Custodial Account to invest any funds in the Custodial Account in Permitted Investments, which shall mature not later than the Business Day preceding the next Payment Date and which shall not be sold or disposed of prior to its maturity. Except as provided above, all income and gain realized from any such investment shall inure to the benefit of the Servicer and shall be subject to its withdrawal or order from time to time. The amount of any losses incurred in respect of the principal amount of any such investments shall be deposited in the Custodial Account by the Servicer out of its own funds immediately as realized. (c) The Servicer will require each Subservicer to hold all funds constituting collections on the Loans, pending remittance thereof to the Servicer, in one or more accounts meeting the requirements of an Eligible Account, and invested in Permitted Investments.

Collection of Certain Loan Payments. (a) The Servicer shall make reasonable efforts to collect all payments called for under the terms and provisions of the Loans, and shall, to the extent such procedures shall be consistent with this Servicing Agreement and generally consistent with the terms and provisions of any related applicable insurance policypolicies, follow such collection procedures as it would employ in follow with respect to Loans comparable to the Loans and held for its good faith business judgment and which are normal and usual in its general mortgage servicing activitiesown account. Consistent with the foregoing, and without limiting the generality of the foregoing, the Servicer may in its discretion discretion, with respect to any Loan that is Delinquent or in default, (i) waive any late payment chargecharge or, prepayment charge if applicable, penalty interest, (ii) waive any provisions of such Loan requiring the related Mortgagor to submit to mandatory arbitration with respect to disputes arising thereunder or penalty interest or other fees which may be collected in the ordinary course of servicing such Loan. The Servicer may also (iii) extend the Due Date due dates for payment the Monthly Payments due on a Loan, provided, however, that the Servicer shall first determine that any such waiver or extension will not impair the coverage of any related insurance policy or materially adversely affect the lien of the related Mortgage Note for a period of not greater than 180 days; provided that any extension pursuant to clause (except as described belowiii) or above shall not affect the interests amortization schedule of such Loan for purposes of any computation hereunder. In connection with any such modification, the Securityholders. Consistent Servicer may reimburse itself for any unpaid P&I Advances with respect to such modified Loan at the terms time of such modification, in accordance with Section 3.05(a) of this Servicing Agreement. In the event of any such arrangement pursuant to clause (iii) above, the Servicer shall make timely advances on such Loan during such extension pursuant to Section 5.01 and in accordance with the original amortization schedule of such Loan without modification thereof by reason of such arrangements. Notwithstanding the foregoing, in the event that any Loan is Delinquent or in default, the Servicer, consistent with the Servicing Standard, may also: (i) also waive, modify or vary any term of any such Loan (including modifications that would change the Loan Rate, forgive the payment of principal or interest or extend the final maturity date of such Loan; (ii) ), accept payment from the related Mortgagor of an amount less than the Principal Balance in final satisfaction of such Loan, or consent to the postponement of strict compliance with any such term or in any manner otherwise grant indulgence to any Mortgagor; Mortgagor (iii) arrange with a Mortgagor a schedule for the payment any and all such waivers, modifications, variances, forgiveness of principal or interest, postponements, or indulgences collectively referred to herein as "forbearance"). The Servicer's analysis supporting any forbearance and interest due and unpaid; (iv) forgive the conclusion that any portion forbearance meets the standards of the amounts contractually owed under the Loan; (v) capitalize past due amounts owed under the Loan by adding any amounts in arrearage to the existing principal balance of the Loan (a "Capitalization Workout") of which will result in an increased Monthly Payment amount, provided that: (A) the amount added to the existing principal balance of the Loan (the "Capitalized Amount") Section 3.01 shall be no greater than five times the Mortgagor's current Monthly Payment amount; and (B) the Servicer shall not enter into a Capitalization Workout unless the Combined Loan-to-Value Ratio of the Loan prior to the Capitalization Workout equals or exceeds 80% and the Mortgagor has qualified for the Capitalization Workout under the Servicer's servicing guidelines; (vi) reset the Due Date for the Loan, or any combination of the foregoing; if reflected in writing in the Servicer's determination such waiver, modification, postponement Mortgage File. In the event that a shortfall in any collection on or indulgence, arrangement or other action referred to above is not materially adverse to the interests of the Securityholders and is generally consistent with the Servicer's policies with respect to mortgage loans similar to the Loans; provided, however, that the Servicer may not modify or permit any Subservicer to modify any Loan (including without limitation any modification that would change the Loan Rate, forgive the payment of any principal or interest (unless in connection with the liquidation of the related Loan) or extend the final maturity date of such Loan) unless such Loan is in default or, in the judgment of the Servicer, such default is reasonably foreseeable. The general terms of any waiver, modification, postponement or indulgence liability with respect to any of Loan results from or is attributable to adjustments to Loan Rates, Monthly Payments or Principal Balances that were made by the Loans will be included Servicer in the Servicing Certificate, and such Loans will a manner not be considered "delinquent" for the purposes of the Basic Documents so long as the Mortgagor complies consistent with the terms of such waiverthe related Mortgage Note and this Servicing Agreement, modificationthe Servicer, postponement upon discovery or indulgence. (b) The Servicer receipt of notice thereof, immediately shall establish a Custodial Account, which shall be an Eligible Account in which the Servicer shall deposit or cause to be deposited any amounts representing payments and collections in respect of the Loans received by it subsequent deliver to the Cut-off Date (other than in respect of the payments referred to in the following paragraph) within one Business Day following receipt thereof (or otherwise on or prior to the Closing Date), including the following payments and collections received or made by it (without duplication): (i) all payments of principal or interest on the Loans received by the Servicer from the respective Subservicer, net of any portion of the interest thereof retained by the Subservicer as Subservicing Fees; (ii) the aggregate Repurchase Price of the Loans purchased by the Servicer pursuant to Section 3.15; (iii) Net Liquidation Proceeds net of any related Foreclosure Profit; (iv) all proceeds of any Loans repurchased by the Seller pursuant to the Loan Purchase Agreement, and all Substitution Amounts required to be deposited in connection with the substitution of an Eligible Substitute Loan pursuant to the Loan Purchase Agreement; (v) insurance proceeds, other than Net Liquidation Proceeds, resulting from any insurance policy maintained on a Mortgaged Property; and (vi) amounts required to be paid by the Servicer pursuant to Sections 3.04 and 8.08. provided, however, that with respect to each Collection Period, the Servicer shall be permitted to retain from payments in respect of interest on the Loans, the Servicing Fee Indenture Trustee for such Collection Period. The foregoing requirements respecting deposits to the Custodial Account are exclusive, it being understood that, without limiting the generality of the foregoing, the Servicer need not deposit in the Custodial Note Account amounts representing Foreclosure Profits, prepayment penalties, fees (including annual fees) or late charge penalties payable by Mortgagors (such amounts to be retained as additional servicing compensation in accordance with Section 3.09 hereof), or amounts received by from its own funds the Servicer for the accounts of Mortgagors for application towards the payment of taxes, insurance premiums, assessments and similar items. In the event any amount not required to be deposited in the Custodial Account is so deposited, the Servicer may at any time withdraw such amount from the Custodial Account, any provision herein to the contrary notwithstanding. The Servicer may cause the institution maintaining the Custodial Account to invest any funds in the Custodial Account in Permitted Investments, which shall mature not later than the Business Day preceding the next Payment Date and which shall not be sold or disposed of prior to its maturity. Except as provided above, all income and gain realized from any such investment shall inure to the benefit of the Servicer and shall be subject to its withdrawal or order from time to time. The amount of any losses incurred in respect of the principal amount of any such investments shortfall and shall be deposited indemnify and hold harmless the Issuer, the Indenture Trustee, the Seller, the Originator, the Depositor and any successor Servicer in respect of any such liability. Such indemnities shall survive the Custodial Account by the Servicer out termination or discharge of its own funds immediately as realizedthis Servicing Agreement. (c) The Servicer will require each Subservicer to hold all funds constituting collections on the Loans, pending remittance thereof to the Servicer, in one or more accounts meeting the requirements of an Eligible Account, and invested in Permitted Investments.

Collection of Certain Loan Payments. (a) The Master Servicer shall make reasonable efforts to collect all payments called for under the terms and provisions of the Loans, and shall, to the extent such procedures shall be consistent with this Servicing Agreement and generally consistent with the terms and provisions of any related applicable insurance policypolicies, follow such collection procedures as it would employ in follow with respect to mortgage loans and manufactured home loans comparable to the Loans and held for its good faith business judgment and which are normal and usual in its general mortgage servicing activitiesown account. Consistent with the foregoing, and without limiting the generality of the foregoing, the Master Servicer may in its discretion (i) waive any late payment chargecharge or, prepayment charge if applicable, any penalty interest, or penalty interest or other fees which may be collected in the ordinary course of servicing such Loan. The Servicer may also (ii) extend the Due Date due dates for payment the Monthly Payments due on a Loan, Loan for a period of not greater than 180 days; provided, however, that any extension pursuant to clause (ii) above shall not affect the amortization schedule of any Loan for purposes of any computation hereunder, except as provided below. In the event of any such arrangement pursuant to clause (ii) above, the Master Servicer shall first determine make timely Advances of interest on such Loan during such extension pursuant to Section 4.04 and in accordance with the amortization schedule of such Loan without modification thereof by reason of such arrangement. Notwithstanding the foregoing, in the event that any such waiver or extension will not impair Loan is in default or, in the coverage of any related insurance policy or materially adversely affect the lien judgment of the related Mortgage (except as described below) or Master Servicer, such default is reasonably foreseeable, the interests of the Securityholders. Consistent Master Servicer, consistent with the terms of this Servicing Agreementstandards set forth in Section 3.01, the Servicer may also: (i) also waive, modify or vary any term of any such Loan (including modifications that would change the Loan Rate, forgive the payment of principal or interest or extend the final maturity date of such Loan; (ii) ), accept payment from the related Borrower of an amount less than the Principal Balance in final satisfaction of such Loan, or consent to the postponement of strict compliance with any such term or in any manner otherwise grant indulgence to any Mortgagor; Borrower (iii) arrange with a Mortgagor a schedule for the payment any and all such waivers, modifications, variances, forgiveness of principal and interest due and unpaid; (iv) forgive any portion of the amounts contractually owed under the Loan; (v) capitalize past due amounts owed under the Loan by adding any amounts in arrearage to the existing principal balance of the Loan (a "Capitalization Workout") of which will result in an increased Monthly Payment amountor interest, provided that: (A) the amount added to the existing principal balance of the Loan (the "Capitalized Amount") shall be no greater than five times the Mortgagor's current Monthly Payment amount; and (B) the Servicer shall not enter into a Capitalization Workout unless the Combined Loan-to-Value Ratio of the Loan prior to the Capitalization Workout equals or exceeds 80% and the Mortgagor has qualified for the Capitalization Workout under the Servicer's servicing guidelines; (vi) reset the Due Date for the Loanpostponements, or any combination of the foregoing; if in the Servicer's determination such waiver, modification, postponement or indulgence, arrangement or other action indulgences collectively referred to above is not materially adverse to the interests of the Securityholders and is generally consistent with the Servicer's policies with respect to mortgage loans similar to the Loans; herein as "forbearanc"), provided, however, that in no event shall the Master Servicer may not modify or permit grant any Subservicer to modify any Loan such forbearance (including without limitation any modification that would change other than as permitted by the Loan Rate, forgive the payment second sentence of any principal or interest (unless in connection with the liquidation of the related Loanthis Section) or extend the final maturity date of such Loan) unless such Loan is in default or, in the judgment of the Servicer, such default is reasonably foreseeable. The general terms of any waiver, modification, postponement or indulgence with respect to any of one Loan more than once in any 12 month period or more than three times over the Loans will be included in the Servicing Certificate, and such Loans will not be considered "delinquent" for the purposes of the Basic Documents so long as the Mortgagor complies with the terms life of such waiver, modification, postponement or indulgence. Loan. The Master Ss analysis supporting any forbearance and the conclusion that any forbearance meets the standards of Section 3.01 (b) The Servicer shall establish a Custodial Account, which shall be an Eligible Account in which the Servicer shall deposit or cause to be deposited any amounts representing payments and collections in respect of the Loans received by it subsequent to the Cut-off Date (other than in respect of the payments referred to in the following paragraph) within one Business Day following receipt thereof (or otherwise on or prior to the Closing Date), including the following payments standard that such forbearance will maximize the timely and collections received or made by it (without duplication): (i) all payments complete recovery of principal or and interest on the Loans received by the Servicer from the respective Subservicer, net of any portion of the interest thereof retained by the Subservicer as Subservicing Fees; (iirelated Debt Instrument) the aggregate Repurchase Price of the Loans purchased by the Servicer pursuant to Section 3.15; (iii) Net Liquidation Proceeds net of any related Foreclosure Profit; (iv) all proceeds of any Loans repurchased by the Seller pursuant to shall be reflected in writing in the Loan Purchase Agreement, and all Substitution Amounts required to be deposited in connection with the substitution of an Eligible Substitute Loan pursuant to the Loan Purchase Agreement; (v) insurance proceeds, other than Net Liquidation Proceeds, resulting from any insurance policy maintained on a Mortgaged Property; and (vi) amounts required to be paid by the Servicer pursuant to Sections 3.04 and 8.08. provided, however, that with respect to each Collection Period, the Servicer shall be permitted to retain from payments in respect of interest on the Loans, the Servicing Fee for such Collection Period. The foregoing requirements respecting deposits to the Custodial Account are exclusive, it being understood that, without limiting the generality of the foregoing, the Servicer need not deposit in the Custodial Account amounts representing Foreclosure Profits, prepayment penalties, fees (including annual fees) or late charge penalties payable by Mortgagors (such amounts to be retained as additional servicing compensation in accordance with Section 3.09 hereof), or amounts received by the Servicer for the accounts of Mortgagors for application towards the payment of taxes, insurance premiums, assessments and similar items. In the event any amount not required to be deposited in the Custodial Account is so deposited, the Servicer may at any time withdraw such amount from the Custodial Account, any provision herein to the contrary notwithstanding. The Servicer may cause the institution maintaining the Custodial Account to invest any funds in the Custodial Account in Permitted Investments, which shall mature not later than the Business Day preceding the next Payment Date and which shall not be sold or disposed of prior to its maturity. Except as provided above, all income and gain realized from any such investment shall inure to the benefit of the Servicer and shall be subject to its withdrawal or order from time to time. The amount of any losses incurred in respect of the principal amount of any such investments shall be deposited in the Custodial Account by the Servicer out of its own funds immediately as realizedFile. (c) The Servicer will require each Subservicer to hold all funds constituting collections on the Loans, pending remittance thereof to the Servicer, in one or more accounts meeting the requirements of an Eligible Account, and invested in Permitted Investments.

Collection of Certain Loan Payments. (a) The Each Servicer shall make reasonable efforts to collect all payments called for under the terms and provisions of the related Loans, and shall, to the extent such procedures shall be are consistent with this Servicing Agreement Agreement, Accepted Servicing Practices and generally consistent with any related insurance policy, follow such collection procedures as it would employ in its good faith business judgment and which are normal and usual in its general mortgage servicing activitiesactivities and consistent with the procedures that such Servicer employs in servicing all other Loans in its servicing portfolio with characteristics similar to these of the related Loans. Consistent with the foregoing, and without limiting the generality of the foregoing, the each Servicer may in its discretion waive any late payment charge, prepayment charge or penalty interest or other fees which may be collected in the ordinary course of servicing such Loan. The Subject to the final sentence of Section 3.01(a), each Servicer may also extend the Due Date for payment due on a Loan, provided, however, that the a Servicer shall first determine that any such waiver or extension will not impair the coverage of any related insurance policy or materially adversely affect the lien of the related Mortgage (except as described below) or the interests of the Securityholders. Consistent with the terms of this Servicing AgreementAgreement (including the final sentence of Section 3.01(a)) and without limiting the generality of the foregoing, the each Servicer may also: (i) waive, modify or vary any term of any Loan; (ii) consent to the postponement of strict compliance with any such term or in any manner grant indulgence to any Mortgagor; (iii) arrange with a Mortgagor a schedule for the payment of principal and interest due and unpaid; (iv) forgive any portion of the amounts contractually owed under the Loan; (v) capitalize past due amounts owed under the Loan by adding any amounts in arrearage to the existing principal balance of the Loan (a "Capitalization Workout") of which will result in an increased Monthly Payment amount, provided that: (A) the amount added to the existing principal balance of the Loan (the "Capitalized Amount") shall be no greater than five times the Mortgagor's current Monthly Payment amount; and (B) the Servicer shall not enter into a Capitalization Workout unless the Combined Loan-to-Value Ratio of the Loan prior to the Capitalization Workout equals or exceeds 80% and the Mortgagor has qualified for the Capitalization Workout under the Servicer's servicing guidelines; (vi) reset the Due Date for the Loan, or ; or (vi) any combination of the foregoing; if in the related Servicer's ’s determination such waiver, modification, postponement or indulgence, arrangement or other action referred to above is not materially adverse to the interests of the Securityholders and is generally consistent with the such Servicer's ’s policies with respect to mortgage loans similar to the related Loans; provided, however, that the Servicer may not modify or permit any Subservicer to modify any Loan (including without limitation any modification that would change the Loan Rate, forgive the payment of any principal or interest (unless in connection with the liquidation of the related Loan) or extend the final maturity date of such Loan) unless such Loan is in default or, in the judgment of the Servicer, such default is reasonably foreseeable. The general terms of any waiver, modification, postponement or indulgence with respect to any of the Loans will be included in the Servicing Certificate, and such Such Loans will not be considered "“delinquent" ” for the purposes of the Basic Documents so long as the Mortgagor complies with the terms of such waiver, modification, postponement or indulgence. (b) The Each Servicer shall establish a Custodial Account, which shall be an Eligible Account Account, titled “[Servicer’s name], in trust for the Holders of Credit Suisse First Boston Mortgage Acceptance Corp., Home Equity Loan-Backed Notes, Series 2005-HF1” or, if established and maintained by a Subservicer on behalf of the related Servicer, “[Subservicer’s name], in trust for [Servicer’s name]” or “[Subservicer’s name], as agent, trustee and/or bailee of principal and interest custodial account for [Servicer’s name], its successors and assigns, for various owners of interest in [Servicer’s name] mortgage-backed pools,” in which the related Servicer shall deposit or cause to be deposited any amounts representing payments and collections in respect of the Loans received by it subsequent to the Cut-off Date (other than in respect of the payments referred to in the following paragraph) within one two Business Day Days following receipt thereof (or otherwise on or prior to the Closing Date), including the following payments and collections received or made by it (without duplication): (i) all payments of principal or interest on the related Loans received by the such Servicer from the respective or by any Subservicer, net of any portion of the interest thereof late fees or other amounts to be retained by the Subservicer as Subservicing FeesServicer under this Servicing Agreement; (ii) the aggregate Repurchase Price Net Liquidation Proceeds including any related Foreclosure Profit, net of the Loans purchased any late fees or other amounts to be retained by the such Servicer pursuant to Section 3.15under this Servicing Agreement; (iii) Net Liquidation Proceeds net of any related Foreclosure Profit; (iv) all proceeds of any Loans repurchased amounts deposited by the Seller pursuant to the Loan Purchase Agreement, and all Substitution Amounts required to be deposited such Servicer in connection with the substitution of an Eligible Substitute Loan any REO pursuant to the Loan Purchase Agreement; (viv) insurance proceeds, other than Net Liquidation Proceeds, resulting from any insurance policy maintained on a Mortgaged Property; and, except for insurance proceeds for the repair or restoration of the related Mortgaged Property or released to the related Mortgagor in accordance with Accepted Servicing Practices, the related Loan File or applicable law; (v) all Condemnation Proceeds affecting any Mortgaged Property which are not released to the Mortgagor in accordance with the Seller’s normal servicing procedures, the documents in the Mortgage File or applicable law. (vi) all proceeds (including the Repurchase Price) of any Loans repurchased by the Seller pursuant to the Loan Purchase Agreement, and all Substitution Adjustment Amounts required to be deposited by the Seller in connection with the substitution of an Eligible Substitute Loan pursuant to the Loan Purchase Agreement; (vii) any amounts required to be deposited in the Custodial Account pursuant to Section 3.08; (viii) amounts required to be paid by the related Servicer pursuant to Sections 3.04 and 8.08Section 3.04; (ix) all Advances made by such Servicer pursuant to Section 3.19; (x) with respect to each Principal Prepayment on the Loans (other than the HELOCs), the Compensating Interest Payment, if any, for the related Prepayment Period; and (xi) all Prepayment Charges. provided, however, that with respect to each Collection Period, the each Servicer shall be permitted to retain from payments in respect of interest on the related Loans, the related Servicing Fee for such Collection Period. The foregoing requirements respecting deposits to the related Custodial Account are exclusive, it being understood that, without limiting the generality of the foregoing, the a Servicer need not deposit in the Custodial Account amounts representing Foreclosure Profits, prepayment penalties, fees (including annual fees) or late charge penalties payable by Mortgagors (such amounts to be retained as additional servicing compensation in accordance with Section 3.09 hereof), or amounts received by the related Servicer for the accounts of Mortgagors for application towards the payment of taxes, insurance premiums, assessments and similar items. In the event any amount not required to be deposited in the Custodial Account is so deposited, the related Servicer may at any time withdraw such amount from the Custodial Account, any provision herein to the contrary notwithstanding. The Each Servicer may cause the institution maintaining the related Custodial Account to invest any funds in the such Custodial Account in Permitted Investments, which shall mature not later than the Business Day preceding the next Payment Servicer Remittance Date and which shall not be sold or disposed of prior to its maturity. Except as provided above, all income and gain realized from any such investment shall inure to the benefit of the related Servicer and shall be subject to its withdrawal or order from time to time. The amount of any losses incurred in respect of the principal amount of any such investments shall be deposited in the Custodial Account by the related Servicer out of its own funds immediately as realized. (c) The Each Servicer will require each related Subservicer to hold all funds constituting collections on the related Loans, pending remittance thereof to the such Servicer, in one or more accounts meeting the requirements of an Eligible Account, and and, if applicable, invested in Permitted Investments. (d) Each Servicer may, with the prior written consent of the Trust Administrator, transfer a Custodial Account to a different Eligible Account from time to time.

Collection of Certain Loan Payments. (a) The Servicer shall make reasonable efforts to collect all payments called for under the terms and provisions of the Loans, and shall, to the extent such procedures shall be consistent with this Servicing Agreement and generally consistent with the terms and provisions of any related applicable insurance policypolicies, follow such collection procedures as it would employ in follow with respect to Loans comparable to the Loans and held for its good faith business judgment and which are normal and usual in its general mortgage servicing activitiesown account. Consistent with the foregoing, and without limiting the generality of the foregoing, the Servicer may in its discretion discretion, with respect to any Loan that is Delinquent or in default, (i) waive any late payment chargecharge or, prepayment charge if applicable, penalty interest, (ii) waive any provisions of such Loan requiring the related Mortgagor to submit to mandatory arbitration with respect to disputes arising thereunder or penalty interest or other fees which may be collected in the ordinary course of servicing such Loan. The Servicer may also (iii) extend the Due Date due dates for payment the Monthly Payments due on a Loan, provided, however, that the Servicer shall first determine that any such waiver or extension will not impair the coverage of any related insurance policy or materially adversely affect the lien of the related Mortgage Note for a period of not greater than 180 days; provided that any extension pursuant to clause (except as described belowiii) or above shall not affect the interests amortization schedule of such Loan for purposes of any computation hereunder. In connection with any such modification, the Securityholders. Consistent Servicer may reimburse itself for any unpaid P&I Advances with respect to such modified Loan at the terms time of such modification, in accordance with Section 3.05(a) of this Servicing Agreement. In the event of any such arrangement pursuant to clause (iii) above, the Servicer shall make timely advances on such Loan during such extension pursuant to Section 5.01 and in accordance with the original amortization schedule of such Loan without modification thereof by reason of such arrangements. Notwithstanding the foregoing, in the event that any Loan is Delinquent or in default, the Servicer, consistent with the Servicing Standard, may also: (i) also waive, modify or vary any term of any such Loan (including modifications that would change the Loan Rate, forgive the payment of principal or interest or extend the final maturity date of such Loan; (ii) ), accept payment from the related Mortgagor of an amount less than the Principal Balance in final satisfaction of such Loan, or consent to the postponement of strict compliance with any such term or in any manner otherwise grant indulgence to any Mortgagor; Mortgagor (iii) arrange with a Mortgagor a schedule for the payment any and all such waivers, modifications, variances, forgiveness of principal or interest, postponements, or indulgences collectively referred to herein as “forbearance”). The Servicer’s analysis supporting any forbearance and interest due and unpaid; (iv) forgive the conclusion that any portion forbearance meets the standards of the amounts contractually owed under the Loan; (v) capitalize past due amounts owed under the Loan by adding any amounts in arrearage to the existing principal balance of the Loan (a "Capitalization Workout") of which will result in an increased Monthly Payment amount, provided that: (A) the amount added to the existing principal balance of the Loan (the "Capitalized Amount") Section 3.01 shall be no greater than five times the Mortgagor's current Monthly Payment amount; and (B) the Servicer shall not enter into a Capitalization Workout unless the Combined Loan-to-Value Ratio of the Loan prior to the Capitalization Workout equals or exceeds 80% and the Mortgagor has qualified for the Capitalization Workout under the Servicer's servicing guidelines; (vi) reset the Due Date for the Loan, or any combination of the foregoing; if reflected in writing in the Servicer's determination such waiver, modification, postponement Mortgage File. In the event that a shortfall in any collection on or indulgence, arrangement or other action referred to above is not materially adverse to the interests of the Securityholders and is generally consistent with the Servicer's policies with respect to mortgage loans similar to the Loans; provided, however, that the Servicer may not modify or permit any Subservicer to modify any Loan (including without limitation any modification that would change the Loan Rate, forgive the payment of any principal or interest (unless in connection with the liquidation of the related Loan) or extend the final maturity date of such Loan) unless such Loan is in default or, in the judgment of the Servicer, such default is reasonably foreseeable. The general terms of any waiver, modification, postponement or indulgence liability with respect to any of Loan results from or is attributable to adjustments to Loan Rates, Monthly Payments or Principal Balances that were made by the Loans will be included Servicer in the Servicing Certificate, and such Loans will a manner not be considered "delinquent" for the purposes of the Basic Documents so long as the Mortgagor complies consistent with the terms of such waiverthe related Mortgage Note and this Servicing Agreement, modificationthe Servicer, postponement upon discovery or indulgence. (b) The Servicer receipt of notice thereof, immediately shall establish a Custodial Account, which shall be an Eligible Account in which the Servicer shall deposit or cause to be deposited any amounts representing payments and collections in respect of the Loans received by it subsequent deliver to the Cut-off Date (other than in respect of the payments referred to in the following paragraph) within one Business Day following receipt thereof (or otherwise on or prior to the Closing Date), including the following payments and collections received or made by it (without duplication): (i) all payments of principal or interest on the Loans received by the Servicer from the respective Subservicer, net of any portion of the interest thereof retained by the Subservicer as Subservicing Fees; (ii) the aggregate Repurchase Price of the Loans purchased by the Servicer pursuant to Section 3.15; (iii) Net Liquidation Proceeds net of any related Foreclosure Profit; (iv) all proceeds of any Loans repurchased by the Seller pursuant to the Loan Purchase Agreement, and all Substitution Amounts required to be deposited in connection with the substitution of an Eligible Substitute Loan pursuant to the Loan Purchase Agreement; (v) insurance proceeds, other than Net Liquidation Proceeds, resulting from any insurance policy maintained on a Mortgaged Property; and (vi) amounts required to be paid by the Servicer pursuant to Sections 3.04 and 8.08. provided, however, that with respect to each Collection Period, the Servicer shall be permitted to retain from payments in respect of interest on the Loans, the Servicing Fee Indenture Trustee for such Collection Period. The foregoing requirements respecting deposits to the Custodial Account are exclusive, it being understood that, without limiting the generality of the foregoing, the Servicer need not deposit in the Custodial Note Account amounts representing Foreclosure Profits, prepayment penalties, fees (including annual fees) or late charge penalties payable by Mortgagors (such amounts to be retained as additional servicing compensation in accordance with Section 3.09 hereof), or amounts received by from its own funds the Servicer for the accounts of Mortgagors for application towards the payment of taxes, insurance premiums, assessments and similar items. In the event any amount not required to be deposited in the Custodial Account is so deposited, the Servicer may at any time withdraw such amount from the Custodial Account, any provision herein to the contrary notwithstanding. The Servicer may cause the institution maintaining the Custodial Account to invest any funds in the Custodial Account in Permitted Investments, which shall mature not later than the Business Day preceding the next Payment Date and which shall not be sold or disposed of prior to its maturity. Except as provided above, all income and gain realized from any such investment shall inure to the benefit of the Servicer and shall be subject to its withdrawal or order from time to time. The amount of any losses incurred in respect of the principal amount of any such investments shortfall and shall be deposited indemnify and hold harmless the Issuer, the Indenture Trustee, the Seller, the Originator, the Depositor and any successor Servicer in respect of any such liability. Such indemnities shall survive the Custodial Account by the Servicer out termination or discharge of its own funds immediately as realizedthis Servicing Agreement. (c) The Servicer will require each Subservicer to hold all funds constituting collections on the Loans, pending remittance thereof to the Servicer, in one or more accounts meeting the requirements of an Eligible Account, and invested in Permitted Investments.

Collection of Certain Loan Payments. (a) The Servicer shall make reasonable efforts to collect all payments called for under the terms and provisions of the Loans, and shall, to the extent such procedures shall be consistent with this Servicing Agreement and generally consistent with any related insurance policy, follow such collection procedures as it would employ in its good faith business judgment and which are normal and usual in its general mortgage servicing activities. Consistent with the foregoing, and without limiting the generality of the foregoing, the Servicer may in its discretion waive any late payment charge, prepayment charge or penalty interest or other fees which may be collected in the ordinary course of servicing such Loan. The Servicer may also extend the Due Date for payment due on a Loan, providedPROVIDED, howeverHOWEVER, that the Servicer shall first determine that any such waiver or extension will not impair the coverage of any related insurance policy or materially adversely affect the lien of the related Mortgage (except as described below) or the interests of the Securityholders. Consistent with the terms of this Servicing Agreement, the Servicer may also: (i) waive, modify or vary any term of any Loan; (ii) consent to the postponement of strict compliance with any such term or in any manner grant indulgence to any Mortgagor; (iii) arrange with a Mortgagor a schedule for the payment of principal and interest due and unpaid; (iv) forgive any portion of the amounts contractually owed under the Loan; (v) capitalize past due amounts owed under the Loan by adding any amounts in arrearage to the existing principal balance of the Loan (a "Capitalization Workout") of which will result in an increased Monthly Payment amount, provided that: (A) the amount added to the existing principal balance of the Loan (the "Capitalized Amount") shall be no greater than five times the Mortgagor's current Monthly Payment amount; and (B) the Servicer shall not enter into a Capitalization Workout unless the Combined Loan-to-Value Ratio of the Loan prior to the Capitalization Workout equals or exceeds 80% and the Mortgagor has qualified for the Capitalization Workout under the Servicer's servicing guidelines; (vi) reset the Due Date for the Loan, or any combination of the foregoing; if in the Servicer's determination such waiver, modification, postponement or indulgence, arrangement or other action referred to above is not materially adverse to the interests of the Securityholders and is generally consistent with the Servicer's policies with respect to mortgage loans similar to the Loans; providedPROVIDED, howeverHOWEVER, that the Servicer may not modify or permit any Subservicer to modify any Loan (including without limitation any modification that would change the Loan Rate, forgive the payment of any principal or interest (unless in connection with the liquidation of the related Loan) or extend the final maturity date of such Loan) unless such Loan is in default or, in the judgment of the Servicer, such default is reasonably foreseeable. The general terms of any waiver, modification, postponement or indulgence with respect to any of the Loans will be included in the Servicing Certificate, and such Loans will not be considered "delinquent" for the purposes of the Basic Documents so long as the Mortgagor complies with the terms of such waiver, modification, postponement or indulgence. (b) The Servicer shall establish a Custodial Account, which shall be an Eligible Account in which the Servicer shall deposit or cause to be deposited any amounts representing payments and collections in respect of the Loans received by it subsequent to the Cut-off Date (other than in respect of the payments referred to in the following paragraph) within one Business Day following receipt thereof (or otherwise on or prior to the Closing Date), including the following payments and collections received or made by it (without duplication): (i) all payments of principal or interest on the Loans received by the Servicer from the respective Subservicer, net of any portion of the interest thereof retained by the Subservicer as Subservicing Fees; (ii) the aggregate Repurchase Price of the Loans purchased by the Servicer pursuant to Section 3.15; (iii) Net Liquidation Proceeds net of any related Foreclosure Profit; (iv) all proceeds of any Loans repurchased by the Seller pursuant to the Loan Purchase Agreement, and all Substitution Amounts required to be deposited in connection with the substitution of an Eligible Substitute Loan pursuant to the Loan Purchase Agreement; (v) insurance proceeds, other than Net Liquidation Proceeds, resulting from any insurance policy maintained on a Mortgaged Property; and (vi) amounts required to be paid by the Servicer pursuant to Sections 3.04 and 8.08. providedPROVIDED, howeverHOWEVER, that with respect to each Collection Period, the Servicer shall be permitted to retain from payments in respect of interest on the Loans, the Servicing Fee for such Collection Period. The foregoing requirements respecting deposits to the Custodial Account are exclusive, it being understood that, without limiting the generality of the foregoing, the Servicer need not deposit in the Custodial Account amounts representing Foreclosure Profits, prepayment penalties, fees (including annual fees) or late charge penalties payable by Mortgagors (such amounts to be retained as additional servicing compensation in accordance with Section 3.09 hereof), or amounts received by the Servicer for the accounts of Mortgagors for application towards the payment of taxes, insurance premiums, assessments and similar items. In the event any amount not required to be deposited in the Custodial Account is so deposited, the Servicer may at any time withdraw such amount from the Custodial Account, any provision herein to the contrary notwithstanding. The Servicer may cause the institution maintaining the Custodial Account to invest any funds in the Custodial Account in Permitted Investments, which shall mature not later than the Business Day preceding the next Payment Date and which shall not be sold or disposed of prior to its maturity. Except as provided above, all income and gain realized from any such investment shall inure to the benefit of the Servicer and shall be subject to its withdrawal or order from time to time. The amount of any losses incurred in respect of the principal amount of any such investments shall be deposited in the Custodial Account by the Servicer out of its own funds immediately as realized. (c) The Servicer will require each Subservicer to hold all funds constituting collections on the Loans, pending remittance thereof to the Servicer, in one or more accounts meeting the requirements of an Eligible Account, and invested in Permitted Investments.

Collection of Certain Loan Payments. (a) The Servicer shall make reasonable efforts to collect all payments called for under the terms and provisions of the Loans, and shall, to the extent such procedures shall be are consistent with this Servicing Agreement Agreement, Accepted Servicing Practices and generally consistent with any related insurance policy, follow such collection procedures as it would employ in its good faith business judgment and which are normal and usual in its general mortgage servicing activitiesactivities and consistent with the procedures that the Servicer employs in servicing all other Loans in its servicing portfolio with characteristics similar to those of the Loans. Consistent with the foregoing, and without limiting the generality of the foregoing, the Servicer may in its discretion waive any late payment charge, prepayment charge or penalty interest or other fees which may be collected in the ordinary course of servicing such Loan. The Subject to the final sentence of Section 3.01(a), the Servicer may also extend the Due Date for payment due on a Loan, provided, however, that the Servicer shall first determine that any such waiver or extension will not impair the coverage of any related insurance policy or materially adversely affect the lien of the related Mortgage (except as described below) or the interests of the SecurityholdersSecurityholders or the Insurer. Consistent with the terms of this Servicing AgreementAgreement (including the final sentence of Section 3.01(a)) and without limiting the generality of the foregoing, the Servicer may also: (i) waive, modify or vary any term of any Loan; (ii) consent to the postponement of strict compliance with any such term or in any manner grant indulgence to any Mortgagor; (iii) arrange with a Mortgagor a schedule for the payment of principal and interest due and unpaid; (iv) forgive any portion of the amounts contractually owed under the Loan; (v) capitalize past due amounts owed under the Loan by adding any amounts in arrearage to the existing principal balance of the Loan (a "Capitalization Workout") of which will result in an increased Monthly Payment amount, provided that: (A) the amount added to the existing principal balance of the Loan (the "Capitalized Amount") shall be no greater than five times the Mortgagor's current Monthly Payment amount; and (B) the Servicer shall not enter into a Capitalization Workout unless the Combined Loan-to-Value Ratio of the Loan prior to the Capitalization Workout equals or exceeds 80% and the Mortgagor has qualified for the Capitalization Workout under the Servicer's servicing guidelines; (vi) reset the Due Date for the Loan, or ; or (vi) any combination of the foregoing; if in the Servicer's ’s determination such waiver, modification, postponement or indulgence, arrangement or other action referred to above is not materially adverse to the interests of the Securityholders or the Insurer and is generally consistent with the Servicer's ’s policies with respect to mortgage loans similar to the related Loans; provided, however, that the Servicer may not modify or permit any Subservicer to modify any Loan (including without limitation any modification that would change the Loan Rate, forgive the payment of any principal or interest (unless in connection with the liquidation of the related Loan) or extend the final maturity date of such Loan) unless such Loan is in default or, in the judgment of the Servicer, such default is reasonably foreseeable. The general terms of any waiver, modification, postponement or indulgence with respect to any of the Loans will be included in the Servicing Certificate, and such Such Loans will not be considered "“delinquent" ” for the purposes of the Basic Documents so long as the Mortgagor complies with the terms of such waiver, modification, postponement or indulgence. (b) The Servicer shall establish a Custodial Account, which shall be an Eligible Account Account, titled “[Servicer’s name], in trust for the Holders of Credit Suisse First Boston Mortgage Acceptance Corp., Home Equity Asset-Backed Securities, Series 2007-1” or, if established and maintained by a Subservicer on behalf of the Servicer, “[Subservicer’s name], in trust for [Servicer’s name]” or “[Subservicer’s name], as agent, trustee and/or bailee of principal and interest custodial account for [Servicer’s name], its successors and assigns, for various owners of interest in [Servicer’s name] mortgage-backed pools,” in which the Servicer shall deposit or cause to be deposited any amounts representing payments and collections in respect of the Loans received by it subsequent to the Cut-off Date (other than in respect of the payments referred to in the following paragraph) within one two Business Day Days following receipt thereof (or otherwise on or prior to the Closing DateDate or, in the case of payments that are not in the form of checks accompanied by the Servicer-provided billhead, within five Business Days following receipt thereof), including the following payments and collections received or made by it (without duplication): (i) all payments of principal or interest on the Loans received by the Servicer from the respective or by any Subservicer, net of any portion of the interest thereof late fees or other amounts to be retained by the Subservicer as Subservicing FeesServicer under this Servicing Agreement; (ii) the aggregate Repurchase Price Net Liquidation Proceeds including any related Foreclosure Profit, net of the Loans purchased any late fees or other amounts to be retained by the Servicer pursuant to Section 3.15under this Servicing Agreement; (iii) Net Liquidation Proceeds net of any related Foreclosure Profit; (iv) all proceeds of any Loans repurchased amounts deposited by the Seller pursuant to the Loan Purchase Agreement, and all Substitution Amounts required to be deposited Servicer in connection with the substitution of an Eligible Substitute Loan any REO pursuant to the Loan Purchase Agreement; (viv) insurance proceeds, other than Net Liquidation Proceeds, resulting from any insurance policy maintained on a Mortgaged Property; and, except for insurance proceeds for the repair or restoration of the related Mortgaged Property or released to the related Mortgagor in accordance with Accepted Servicing Practices, the related Loan File or applicable law; (v) all Condemnation Proceeds affecting any Mortgaged Property which are not released to the Mortgagor in accordance with the Seller’s normal servicing procedures, the documents in the Mortgage File or applicable law. (vi) all proceeds (including the Repurchase Price) of any Loans repurchased by the Seller pursuant to the Loan Purchase Agreement, and all Substitution Adjustment Amounts required to be deposited by the Seller in connection with the substitution of an Eligible Substitute Loan pursuant to the Loan Purchase Agreement; (vii) any amounts required to be deposited in the Custodial Account pursuant to Section 3.08; (viii) amounts required to be paid by the Servicer pursuant to Sections 3.04 and 8.08Section 3.04; (ix) [reserved]; (x) [reserved]; and (xi) all Prepayment Charges. provided, however, that with respect to each Collection Period, the Servicer shall be permitted to retain from payments in respect of interest on the Loans, the Servicing Fee for such Collection Period. The foregoing requirements respecting deposits to the Custodial Account are exclusive, it being understood that, without limiting the generality of the foregoing, the Servicer need not deposit in the Custodial Account amounts representing Foreclosure Profits, prepayment penalties, fees (including annual fees) or late charge penalties payable by Mortgagors (such amounts to be retained as additional servicing compensation in accordance with Section 3.09 hereof), or amounts received by the Servicer for the accounts of Mortgagors for application towards the payment of taxes, insurance premiums, assessments and similar items. In the event any amount not required to be deposited in the Custodial Account is so deposited, the Servicer may at any time withdraw such amount from the Custodial Account, any provision herein to the contrary notwithstanding. The Servicer may cause the institution maintaining the Custodial Account to invest any funds in the such Custodial Account in Permitted Investments, which shall mature not later than the Business Day preceding the next Payment Servicer Remittance Date and which shall not be sold or disposed of prior to its maturity. Except as provided above, all income and gain realized from any such investment shall inure to the benefit of the Servicer and shall be subject to its withdrawal or order from time to time. The amount of any losses incurred in respect of the principal amount of any such investments shall be deposited in the Custodial Account by the Servicer out of its own funds immediately as realized. (c) The Servicer will require each related Subservicer to hold all funds constituting collections on the Loans, pending remittance thereof to the Servicer, in one or more accounts meeting the requirements of an Eligible Account, and and, if applicable, invested in Permitted Investments. (d) The Servicer may, with the prior written consent of the Indenture Trustee, transfer the Custodial Account to a different Eligible Account from time to time.

Collection of Certain Loan Payments. (a) The Servicer shall make reasonable efforts to collect all payments called for under the terms and provisions of the Loans, and shall, to the extent such procedures shall be consistent with this Servicing Agreement and generally consistent with any related insurance policy, follow such collection procedures as it would employ in its good faith business judgment and which are normal and usual in its general mortgage servicing activitiesactivities and consistent with the procedures that the Servicer employs in servicing all other Loans in its servicing portfolio with characteristics similar to these of the Loans. Consistent with the foregoing, and without limiting the generality of the foregoing, the Servicer may in its discretion waive any late payment charge, prepayment charge or penalty interest or other fees which may be collected in the ordinary course of servicing such Loan. The Servicer may also extend the Due Date for payment due on a Loan, provided, however, that the Servicer shall first determine that any such waiver or extension will not impair the coverage of any related insurance policy or materially adversely affect the lien of the related Mortgage (except as described below) or the interests of the Securityholders. Consistent with the terms of this Servicing Agreement, the Servicer may also: (i) waive, modify or vary any term of any Loan; ; (ii) consent to the postponement of strict compliance with any such term or in any manner grant indulgence to any Mortgagor; ; (iii) arrange with a Mortgagor a schedule for the payment of principal and interest due and unpaid; ; (iv) forgive any portion of the amounts contractually owed under the Loan; (v) capitalize past due amounts owed under the Loan by adding any amounts in arrearage to the existing principal balance of the Loan (a "Capitalization Workout") of which will result in an increased Monthly Payment amount, provided that: (A) the amount added to the existing principal balance of the Loan (the "Capitalized Amount") shall be no greater than five times the Mortgagor's current Monthly Payment amount; and (B) the Servicer shall not enter into a Capitalization Workout unless the Combined Loan-to-Value Ratio of the Loan prior to the Capitalization Workout equals or exceeds 80% and the Mortgagor has qualified for the Capitalization Workout under the Servicer's servicing guidelines; (vi) reset the Due Date for the Loan, or any combination of the foregoing; if in the Servicer's determination such waiver, modification, postponement or indulgence, arrangement or other action referred to above is not materially adverse to the interests of the Securityholders and is generally consistent with the Servicer's policies with respect to mortgage loans similar to the Loans; provided, however, that the Servicer may not modify or permit any Subservicer to modify any Loan (including without limitation any modification that would change the Loan Rate, forgive the payment of any principal or interest (unless in connection with the liquidation of the related Loan) or extend the final maturity date of such Loan) unless such Loan is in default or, in the judgment of the Servicer, such default is reasonably foreseeable. The general terms of any waiver, modification, postponement or indulgence with respect to any of the Loans will be included in the Servicing Certificate, and such Loans will not be considered "delinquent" for the purposes of the Basic Documents so long as the Mortgagor complies with the terms of such waiver, modification, postponement or indulgence. (b) The Servicer shall establish a Custodial Account, which shall be an Eligible Account in which the Servicer shall deposit or cause to be deposited any amounts representing payments and collections in respect of the Loans received by it subsequent to the Cut-off Date (other than in respect of the payments referred to in the following paragraph) within one Business Day following receipt thereof (or otherwise on or prior to the Closing Date), including the following payments and collections received or made by it (without duplication): (i) all payments of principal or interest on the Loans received by the Servicer from the respective Subservicer, net of any portion of the interest thereof retained by the Subservicer as Subservicing Fees; (ii) the aggregate Repurchase Price of the Loans purchased by the Servicer pursuant to Section 3.15; (iii) Net Liquidation Proceeds net of any related Foreclosure Profit; (iv) all proceeds of any Loans repurchased by the Seller pursuant to the Loan Purchase Agreement, and all Substitution Amounts required to be deposited in connection with the substitution of an Eligible Substitute Loan pursuant to the Loan Purchase Agreement; (v) insurance proceeds, other than Net Liquidation Proceeds, resulting from any insurance policy maintained on a Mortgaged Property; and (vi) amounts required to be paid by the Servicer pursuant to Sections 3.04 and 8.08. provided, however, that with respect to each Collection Period, the Servicer shall be permitted to retain from payments in respect of interest on the Loans, the Servicing Fee for such Collection Period. The foregoing requirements respecting deposits to the Custodial Account are exclusive, it being understood that, without limiting the generality of the foregoing, the Servicer need not deposit in the Custodial Account amounts representing Foreclosure Profits, prepayment penalties, fees (including annual fees) or late charge penalties payable by Mortgagors (such amounts to be retained as additional servicing compensation in accordance with Section 3.09 hereof), or amounts received by the Servicer for the accounts of Mortgagors for application towards the payment of taxes, insurance premiums, assessments and similar items. In the event any amount not required to be deposited in the Custodial Account is so deposited, the Servicer may at any time withdraw such amount from the Custodial Account, any provision herein to the contrary notwithstanding. The Servicer may cause the institution maintaining the Custodial Account to invest any funds in the Custodial Account in Permitted Investments, which shall mature not later than the Business Day preceding the next Payment Date and which shall not be sold or disposed of prior to its maturity. Except as provided above, all income and gain realized from any such investment shall inure to the benefit of the Servicer and shall be subject to its withdrawal or order from time to time. The amount of any losses incurred in respect of the principal amount of any such investments shall be deposited in the Custodial Account by the Servicer out of its own funds immediately as realized. (c) The Servicer will require each Subservicer to hold all funds constituting collections on the Loans, pending remittance thereof to the Servicer, in one or more accounts meeting the requirements of an Eligible Account, and invested in Permitted Investments.