CONTRACT ACCOUNT Sample Clauses
CONTRACT ACCOUNT. For each direct written Contract, (i) an amount equal to the account value thereof invested on a variable basis shall be held by FAFLIC in the applicable Registered Separate Account and (ii) an amount equal to the account value thereof invested on a non-variable basis shall be held by FAFLIC in an Unregistered Separate Account or transferred to FAFLIC's general account, in each case as required by the relevant Contract and Applicable Law. For the avoidance of doubt, in the event that any Contract or any Applicable Law is deemed to require the transfer of additional assets to an Unregistered Separate Account at any time, such transfers shall be made from FAFLIC's general account and shall be reimbursed in full by the Reinsurer as a liability reinsured hereunder.
CONTRACT ACCOUNT. (a) Seller shall establish and maintain the Contract Account with First Bank National Association. The Contract Account shall be entitled "First Bank National Association, as Custodian for CS First Boston Mortgage Capital Corp." Seller shall pay into the Contract Account not more often than once each day, as promptly as practicable following the receipt thereof by Seller (but in any event not later than the second Business Day following receipt) all amounts received in respect of the Contracts, including all loan payments from Obligors, liquidation proceeds (net of liquidation expenses) or other recoveries in respect of the Contracts. All amounts paid into the Contract Account under this Agreement shall be held in trust for the Buyer until payment of any such amounts is authorized hereunder.
(b) Custodian shall on a monthly basis as directed in writing by Buyer make withdrawals from the Contract Account amounts deposited in such account pursuant to this Section 4.2 for the following purposes and in the following priority:
(i) to make payments to Buyer's Account pursuant to Section 4.1 hereof;
(ii) to pay the Monthly Servicing Fee to the Servicer;
(iii) to release to Seller on each Repurchase Date (and such other date or dates as CSFB shall have consented to in writing) Available Funds remaining after payments to the Buyer pursuant to Section 4.1 hereof;
(iv) to withdraw and return to Seller any amount deposited in the Contract Account that was not required to be deposited by Seller therein.
(c) If Seller so directs, the Custodian shall, in the name of Custodian, as custodian, invest the amounts in the Contract Account in such investments as are then generally acceptable to S&P for reinvestment of funds in transactions rated "AAA" by S&P. Such investment shall mature not later than one (1) Business Day prior to the next succeeding Repurchase Date. All net income and gain from such investments shall be deposited in the Contract Account and all such net gains and any losses on reinvestment of funds deposited in the Contract Account shall be reimbursed by the Seller and deposited into the Contract Account.