Delinquency Trigger Clause Samples
A Delinquency Trigger clause defines the specific conditions under which an account, payment, or obligation is considered delinquent. Typically, this clause outlines the time period after a missed payment or failure to meet a financial obligation that will result in the account being classified as delinquent, such as 30 days past due. By clearly establishing when delinquency occurs, the clause helps both parties understand when additional actions, such as penalties, interest charges, or collection efforts, may be initiated, thereby ensuring clarity and reducing disputes over late payments.
Delinquency Trigger. (a) The Servicer or the Seller shall, on behalf of the Trust, provide written notice to the Trustee and disclose the occurrence of any Delinquency Trigger in the distribution report on Form 10-D for the distribution period in which such Delinquency Trigger occurs.
(b) The Seller shall review and may adjust the Delinquency Trigger Rate upon the occurrence of any of the following events: (i) the filing of a new registration statement with the Commission relating to any Notes (as defined in the Series 2000 Supplement hereto) or Investor Certificates to be offered and sold from time to time by the Seller; and (ii) a change in law or regulation (including any new or revised interpretation of an existing law or regulation) that, in the Seller’s judgment, could reasonably be expected to have a material effect on the delinquency rate for Obligor payments on the Accounts or the manner by which delinquencies are defined or determined; provided, however, that for so long as a Delinquency Trigger has occurred and is continuing, a review of the Delinquency Trigger Rate that would otherwise be required as specified above will be delayed until the date on which the Servicer or the Seller shall, on behalf of the Trust, report in the applicable distribution report on Form 10-D that the Delinquency Trigger is no longer continuing.
(c) In the case of a review of the Delinquency Trigger Rate undertaken upon the occurrence of an event described in clause (i) of Section 14.01(b), the Seller may increase or decrease the Delinquency Trigger Rate by any amount it reasonably determines to be appropriate based on the composition of the Receivables at the time of the review. In the case of a review undertaken upon the occurrence of any event described in clause (ii) of Section 14.01(b), the Seller may increase or decrease the Delinquency Trigger Rate by any amount it reasonably determines to be appropriate as a result of the related change in law or regulation. The Servicer or the Seller shall, on behalf of the Trust, disclose the Delinquency Trigger Rate, as adjusted, in the distribution report on Form 10-D for the distribution period in which the adjustment occurs, which report shall also include a description of how the adjusted Delinquency Trigger Rate was determined to be appropriate.
Delinquency Trigger. Transferor, on behalf of Issuer, shall provide written notice to Indenture Trustee and disclose the occurrence of a Delinquency Trigger in the distribution report on Form 10-D relating to the Monthly Period in which the Delinquency Trigger occurred.
Delinquency Trigger. (a) The Servicer shall provide prompt written notice to the Issuer, the Transferor, and the Indenture Trustee of the occurrence of any Delinquency Trigger (which notice shall include the related Three Month Average 60+-Day Delinquency Rate)and, on a monthly basis thereafter, whether any such Delinquency Trigger is or is no longer continuing (and, if continuing, the related Three Month Average 60+-Day Delinquency Rate) and, for so long as the Servicer, on behalf of the Issuer, files distribution reports on Form 10-D with the Commission pursuant to Section 2.05, shall disclose the occurrence of any such Delinquency Trigger and its continuing status, in each case in the distribution report on Form 10-D for the distribution period in which such Delinquency Trigger occurs and is or is no longer continuing, as applicable.
(b) In the event the Delinquency Trigger is adjusted by the Transferor pursuant to subsections 6.01(b) and (c) of the Transfer Agreement, for so long as the Servicer, on behalf of the Issuer, files distribution reports on Form 10-D with the Commission pursuant to Section 2.05, the Servicer shall disclose, to the extent it has notice thereof, the adjusted Delinquency Trigger and how it was determined to be appropriate, in the distribution report on Form 10-D for the distribution period in which the adjustment occurs.