Loan Sweep. This Sweep Service provides you with an automated process to obtain an advance on your loan when your Master Account drops below the Target Balance and, alternatively, to pay down your loan using your Target Balance Excess.
Loan Sweep. The Bank and the Borrower each acknowledge that they have entered into the Loan Sweep Agreement, and while such Agreement is in effect the Bank shall have the right to make advances under the Revolving Credit Facility, and to sweep the Deposit Account (as defined in the Loan Sweep Agreement), all as provided in the Loan Sweep Agreement. Except as expressly provided in Section 4.5 below, to the extent there are any inconsistencies between the provisions of this Agreement and the provisions of the Loan Sweep Agreement, then the provisions of the Loan Sweep Agreement shall control.
Loan Sweep. At the end of each Business Day, Provident will determine the Collected Balance in the Main Operating Account. If the Collected Balance in the Main Operating Account exceeds the Target Balance, the excess funds will be applied as a principal payment to the Loan. If the Collected Balance in the Main Operating Account is less than the Target Balance, a principal advance against the Loan will be applied to the Main Operating Account. Provident will make advances in accordance with the terms and conditions of the Loan Documents, including but not limited to restrictions on the amount available for advances. Unless in conjunction with the exercise by Provident of its offset rights following a default under the Loan Documents, Collected Balances in excess of the Target Balance shall not be used to pay interest on the Loan.
Loan Sweep. As used below, Our “records” refers to the records that We maintain with respect to Your sweep arrangement. Your “loan” refers to Your selected line of credit and/or other loan products associated with Your sweep arrangement (as contained in Our records). Until We receive and have a reasonable opportunity to act on any written instructions to the contrary, You authorize Us to take the following actions on Your behalf. After the close of each banking day, We will determine whether the collected balance in Your designated account is above or below Your “target balance” (as contained in Our records). Any excess over the target balance will be applied to payment of Your loan (up to Your current loan balance). If Your account does not contain at least the target balance, We will initiate an advance from Your loan in an amount (up to Your available credit) sufficient to restore Your account balance to the target balance. After Your loan matures, We may continue to initiate these advances, although We are not required to do so. If Your loan has matured. All advances shall be repayable on demand or on such other terms as We specify (such as the loan terms in place prior to maturity or the terms of Your loan as subsequently renewed, if applicable). The terms in this Exhibit are in addition to and not in lieu of the terms and conditions in effect for Your loan (which may affect or restrict, among other things, payments to and advances from Your loan notwithstanding these terms). In the event of conflict between this Agreement and Your loan terms, Your loan terms shall control. You remain fully responsible for compliance with Your loan terms and repayment of Your loan, even if these sweep arrangements do not function as described herein or elsewhere.
Loan Sweep. If “Loan Only Sweep” is selected, the Bank is authorized and directed to handle sweep transactions as follows:
i. Collected Balances in the Operating Account in excess of the Target Balance are used to reduce the outstanding principal balance, if any, on the Client’s LOC designated during enrollment. When the outstanding principal balance on the LOC is paid in full, Collected Balances in the Operating Account in excess of the Target Balance will remain in the Operating Account.
ii. In the event that the Collected Balance in the Operating Account is less than the Target Balance, the Bank is authorized and directed to advance funds, up to the line availability, from the Client’s LOC in an amount sufficient to restore the Operating Account to the Target Balance.
Loan Sweep
