Common use of Obligations of the Servicer in Respect of Prepayment Interest Shortfalls Clause in Contracts

Obligations of the Servicer in Respect of Prepayment Interest Shortfalls. The Servicer shall deliver to the Master Servicer for deposit into the Distribution Account not later than 3:00 p.m. New York time on the Servicer Remittance Date from its own funds an amount (such amount, “Compensating Interest”) equal to the lesser of (i) the aggregate of the Prepayment Interest Shortfalls for the related Determination Date resulting solely from Principal Prepayments in full for any Mortgage Loan during the portion of the related Prepayment Period occurring between the first day of such Prepayment Period and the last day of the calendar month prior to such Distribution Date and (ii) the aggregate Servicing Fee for such Distribution Date. The Servicer shall not have the right to reimbursement for any amounts remitted to the Master Servicer in respect of Compensating Interest. Such amounts remitted shall be included in the Available Distribution Amount and distributed therewith on the related Distribution Date. The Servicer shall not be obligated to pay Compensating Interest with respect to Relief Act Interest Shortfalls. The Master Servicer shall deposit all or any portion of a payment of Compensating Interest that the Servicer fails to remit to the Master Servicer pursuant to the preceding paragraph.

Appears in 4 contracts

Samples: Pooling and Servicing Agreement (Asset Backed Securities Corp), Pooling and Servicing Agreement (Asset Backed Securities Corp), Pooling and Servicing Agreement (Asset Backed Securities Corp)

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Obligations of the Servicer in Respect of Prepayment Interest Shortfalls. The Servicer shall deliver to the Master Servicer for deposit into the Distribution Account not later than 3:00 p.m. the close of business New York time on the Servicer Remittance Date from its own funds an amount (such amount, “Compensating Interest”) equal to the lesser of (i) the aggregate of the Prepayment Interest Shortfalls for the related Determination Date resulting solely from Principal Prepayments in full for any Mortgage Loan during the portion of the related Prepayment Period occurring between the first day of such Prepayment Period and the last day of the calendar month prior to such Distribution Date and (ii) the aggregate Servicing Fee for such Distribution Date. The Servicer shall not have the right to reimbursement for any amounts remitted to the Master Servicer in respect of Compensating Interest. Such amounts remitted shall be included in the Available Distribution Amount and distributed therewith on the related Distribution Date. The Servicer shall not be obligated to pay Compensating Interest with respect to Relief Act Interest Shortfalls. The Master Servicer shall deposit all or any portion of a payment of Compensating Interest that the Servicer fails to remit to the Master Servicer pursuant to the preceding paragraph.

Appears in 2 contracts

Samples: Pooling and Servicing Agreement (Asset Backed Pass-Through Certificates, Series 2004-He6), Pooling and Servicing Agreement (Asset Backed Pass-Through Certificates, Series 2004-He8)

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Obligations of the Servicer in Respect of Prepayment Interest Shortfalls. The Servicer shall deliver deliver, or shall cause to be delivered, to the Master Servicer for deposit into the Distribution Master Servicer Collection Account not later than 3:00 p.m. New York 4:00pm Eastern time on the Servicer Remittance Date from its own funds an amount (such amount, “Compensating Interest”) equal to the lesser of (i) the aggregate of the Prepayment Interest Shortfalls for the related Determination Date resulting solely from Principal Prepayments in full for any Mortgage Loan during the portion of the related Prepayment Period occurring between the first day of such Prepayment Period and the last day of the calendar month prior to such Distribution Date and (ii) the aggregate Servicing Fee for such Distribution Date, which shall not exceed 0.25% per annum. The Servicer shall not have the right to reimbursement for any amounts remitted to the Master Servicer in respect of Compensating Interest. Such amounts remitted shall be included in the Available Distribution Amount and distributed therewith on the related Distribution Date. The Servicer shall not be obligated to pay Compensating Interest with respect to Relief Act Interest Shortfalls. The Master Servicer shall deliver to the Securities Administrator for deposit all or any portion of a payment of Compensating Interest that into the Servicer fails to remit to Distribution Account not later than 4:00 p.m. Eastern time on the Master Servicer pursuant to Remittance Date such Compensating Interest amounts received from the preceding paragraphServicer.

Appears in 1 contract

Samples: Pooling and Servicing Agreement (Encore Credit Receivables Trust 2005-4)

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