Common use of Procedures for Obtaining Advances Clause in Contracts

Procedures for Obtaining Advances. (a) A Borrower may obtain an Advance hereunder against an Eligible Mortgage Loan or an Eligible Non-Conforming Mortgage Loan, subject to the satisfaction of the conditions set forth in Sections 4.1 and 4.2 hereof, upon compliance with the procedures set forth in this Section 2.2 and in EXHIBIT "C" attached hereto and made a part hereof. Requests for Advances shall be initiated by a Borrower (i) by delivering to the Lender and its designee, by telecopy (with original to be sent immediately thereafter by overnight mail) a completed and signed Advance Request in the form of EXHIBIT "A-1" attached hereto and made a part hereof, or (ii) by using the electronic data transmission service provided by the Lender and its licensor, MBMS Incorporated, to transmit to the Lender a request for Advance ("Electronic Request"), which shall include all information required by EXHIBIT "A-1" through the Warehouse Management System software provided by the Lender and its licensor, MBMS Incorporated. The Lender shall have the right, on not less than three (3) Business Days' prior notice to the Borrowers, to modify the Advance Request, Electronic Request, or any exhibits hereto to conform to current legal requirements or Lender practices, and, as so modified, said Advance Request, Electronic Request or exhibits shall be deemed a part hereof. In consideration of the Lender permitting the Borrowers to make Electronic Requests for Advances utilizing the Warehouse Management (b) A Borrower may obtain an Advance hereunder against Investment Grade Securities subject to the satisfaction of the conditions set forth on EXHIBIT "O" hereto and all other terms and conditions set forth in this Agreement. Requests for Advances against Investment Grade Securities shall be initiated by a Borrower delivering to the Lender a completed and signed Advance Request in the form of EXHIBIT "A-2" attached hereto and made a part hereof for all purposes. (c) Before funding, the Lender and its designee shall have a reasonable time to examine such Advance Request and the Collateral Documents to be delivered prior to such requested Advance, as set forth in the applicable Exhibit hereto, and may reject such of them as do not meet the requirements of this Agreement or of the related Purchase Commitment. The Advance Request and the Collateral Documents must be received by Lender no later than 2:00 p.m. Houston, Texas time in order for funding to occur the next Business Day. If the Advance Request and Collateral Documents are received by Lender later than 2:00 p.m. Houston, Texas time on any day, the funding shall occur on the second Business Day occurring thereafter. (d) To make an Advance, the Lender shall credit the Funding Account with the Lender upon compliance by such Borrower with the terms of this Agreement.

Procedures for Obtaining Advances. (a) A Borrower The Company may obtain an Advance hereunder against subject to the following: (1) The Company may obtain an Eligible Mortgage Loan or an Eligible Non-Conforming Mortgage LoanAdvance hereunder, subject to the satisfaction of the conditions set forth in Sections 4.1 and 4.2 hereof, upon compliance with the procedures set forth in this Section 2.2 and in EXHIBIT Exhibit "C" attached hereto and made a part hereof. hereof Requests for Advances shall be initiated by a Borrower the Company (i) by delivering to the Lender and its designee, by telecopy (with original to be sent immediately thereafter by overnight mail) a completed and signed request for an Advance Request (an "Advance Request") in the form of EXHIBIT Exhibit "A-1A" attached hereto and made a part hereof, or (ii) by using the electronic data transmission service provided by the Lender and its licensor, MBMS Incorporated, to transmit to the Lender a request for Advance ("Electronic Request"), which shall include all information required by EXHIBIT Exhibit "A-1A" through the Warehouse Management System software provided by the Lender and its licensor, MBMS Incorporated. The Lender shall have the right, on not less than three (3) Business Days' prior notice to the BorrowersCompany, to modify the Advance Request, Electronic Request, or any exhibits hereto to conform to current legal requirements or Lender practices, and, as so modified, said Advance Request, Electronic Request or exhibits shall be deemed a part hereof. In consideration of the Lender permitting the Borrowers Company to make Electronic Requests for Advances utilizing the Warehouse ManagementManagement System software or Advance Requests by telecopy, the Company covenants and agrees to assume liability for and to protect, indemnify and save the Lender harmless from, any and all liabilities, obligations, damages, penalties, claims, causes of action, costs, charges and expenses, including attorneys' fees and expenses of employees, which may be imposed, incurred by or asserted against the Lender by reason of any loss, damage or claim howsoever arising or incurred because of, out of or in connection with (i) any action of the Lender pursuant to Electronic Requests or Advance Requests by telecopy, (ii) the breach of any provisions of this Agreement by the Company, (iii) the transfer of funds pursuant to such Electronic Requests or Advance Requests by telecopy, or (iv) the Lender's honoring or failing to honor any Electronic Request or Advance Request by telecopy for any reason or no reason whatsoever. The Lender is entitled to rely upon and act upon Electronic Requests or Advance Requests by telecopy, and the Company shall be unconditionally and absolutely estopped from denying (x) the authenticity and validity of any such transaction so acted upon by the Lender once the Lender has advanced funds and has deposited or transferred such funds as requested in any such Electronic Request or Advance Request by telecopy, and (y) the Company's liability and responsibility therefor. (b2) A Borrower may obtain an Advance hereunder against Investment Grade Securities subject In the case of any Wet Settlement Advances, the Company shall follow the procedures and, at or prior to the satisfaction Lender's making of such Wet Settlement Advance, shall deliver to the conditions set forth on EXHIBIT "O" hereto and all other terms and conditions Lender or its designee the documents set forth in this AgreementSection 11 of Exhibit "C" hereto. Requests for Advances against Investment Grade Securities shall be initiated by In case of Collateral financed through a Borrower delivering to the Lender a completed and signed Advance Request in the form of EXHIBIT "A-2" attached hereto and made a part hereof for all purposes. (c) Before fundingWet Settlement Advance, the Lender and its designee Company shall have a reasonable time to examine such Advance Request and the cause all Collateral Documents to be delivered prior to such requested Advance, as set forth in the applicable Exhibit hereto, and may reject such of them as do not meet Lender or its designee within three (3) calendar days after the requirements of this Agreement or date of the related Purchase Commitment. The Wet Settlement Advance Request and the Collateral Documents must be received by Lender no later than 2:00 p.m. Houston, Texas time in order for funding to occur the next Business Day. If the Advance Request and Collateral Documents are received by Lender later than 2:00 p.m. Houston, Texas time on any day, the funding shall occur on the second Business Day occurring thereafterrelating thereto. (d) To make an Advance, the Lender shall credit the Funding Account with the Lender upon compliance by such Borrower with the terms of this Agreement.

Procedures for Obtaining Advances. (a) A Borrower may obtain an Advance hereunder against an Eligible Mortgage Loan or an Eligible Non-Conforming Mortgage Loan, subject to the satisfaction of by satisfying the conditions precedent set forth in Sections 4.1 Section 1.03 below and 4.2 hereof, upon compliance with the procedures set forth in this Section 2.2 and in EXHIBIT "C" attached hereto and made a part hereof. Requests for Advances shall be initiated by a 1.02. (b) Borrower (i) by delivering to the may request an Advance from Lender and its designee, by telecopy (with original to be sent immediately thereafter by overnight mail) a completed and signed Advance Request in the form of EXHIBIT "A-1" attached hereto and made a part hereof, or (ii) by using the electronic data transmission service software provided by the Lender and its licensor, MBMS IncorporatedStreet Resource Group (“SRG”), to transmit to the Lender a request for Advance ("Electronic Request"), which shall include all information required by EXHIBIT "A-1" through the Warehouse Management System software provided by the Lender and its licensor, MBMS Incorporated. The Lender shall have the right, on not less than three (3) Business Days' prior notice Loan Detail relating to the BorrowersEligible Loans to be pledged as Collateral for such Advance no later than 3:00 p.m. Dallas, Texas time. With respect to modify any Advance made on a Wet Loan, Borrower shall also deliver at or before such time any additional items requested by Lender to be included in the Advance Request, Electronic Request, or any exhibits hereto to conform to current legal requirements or Lender practices, and, Wet Loan Package therefor. Borrower covenants and agrees it shall only pledge Eligible Loans as so modified, said Advance Request, Electronic Request or exhibits shall be deemed a part hereof. In consideration of the Lender permitting the Borrowers to make Electronic Requests Collateral for Advances utilizing the Warehouse Management (b) A Borrower may obtain an Advance hereunder against Investment Grade Securities subject to the satisfaction of the conditions set forth on EXHIBIT "O" hereto and all other terms and conditions set forth in this Agreement. Requests for Advances against Investment Grade Securities shall be initiated by a Borrower delivering to the Lender a completed and signed Advance Request in the form of EXHIBIT "A-2" attached hereto and made a part hereof for all purposesnone other. (c) Before funding, the Lender and its designee shall have a reasonable time to examine such Advance Request and the Collateral Documents to be delivered prior to such requested Advance, as set forth in the applicable Exhibit hereto, and may reject such of them as do not meet the requirements of this Agreement or of the related Purchase Commitment. The Advance Request and the Collateral Documents must be received by Lender no later than 2:00 p.m. Houston, Texas time in order for funding to occur the next Business Day. If the Advance Request and Collateral Documents are received by Lender later than 2:00 p.m. Houston, Texas time on any day, the funding shall occur on the second Business Day occurring thereafter. (d) To make an Advance, the Lender shall credit the Funding Settlement Account with the Lender upon compliance by such Borrower with the terms of this AgreementAgreement and Lender shall wire transfer the amount of the Advance from the Settlement Account to the designated Closing Agent, Correspondent or other party designated by Borrower, as applicable, in accordance with Borrower’s closing instructions to be held in escrow pending the funding of the related Mortgage Loan on the Origination Date. For purposes of Advances made in respect of Mortgaged Properties situate in the State of New York, it is hereby acknowledged that New York is a wet funding state. (d) In consideration of Lender permitting Borrower to request Advances by electronic transmission, Borrower covenants and agrees to assume liability for and to protect, indemnify and save Lender harmless from any and all liabilities, obligations, damages, penalties, claims, causes of action, costs, charges and expenses, including reasonable attorneys’ fees and expenses of employees, which may be imposed, incurred by or asserted against Lender by reason of any loss, damage or claim howsoever arising or incurred because of, out of or in connection with (i) any action of Lender pursuant to any Loan Detail received by Lender from Borrower by electronic transmission or (ii) the transfer of funds pursuant to any such Loan Detail received by Lender from Borrower by electronic transmission. Lender is entitled to rely upon and act upon any Loan Detail received by Lender from Borrower by electronic transmission, and Borrower shall be unconditionally and absolutely estopped from denying (x) the authenticity, enforceability, and validity of any security interest acquired by Lender pursuant to such Loan Detail once Lender has made the related Advance in accordance with this Section in reliance upon data submitted by Borrower in such Loan Detail and the Pledged Mortgage Loans are identified in the SRG software under Status History as “Submitted,” “Approved” and “Active”, and (y) Borrower’s liability and obligations under this Agreement in connection with or related to such Advances. Lender’s determination of the Advance Amount, Interest, and Transaction Fees applicable to any Advance in reliance upon the data submitted by Borrower in the related Loan Detail and in accordance with the terms of this Agreement shall be conclusive and binding on Borrower, absent manifest error.

Procedures for Obtaining Advances. Upon the Company’s request prior to the Closing Date, Lender will make the Advance. It is a condition precedent to Lender’s obligation to make the Advance that Lender or Lender’s Custodian have received the documents (a) A Borrower may obtain an Advance hereunder against an Eligible Mortgage Loan or an Eligible Non-Conforming “Collateral Documents”), with respect to each Pledged Mortgage Loan, listed below: a. The original signed Mortgage Note, endorsed by ECCU in blank with corresponding interim endorsements, assignments, or any rider thereto that show a complete and unbroken chain of title from the originator of such Pledged Mortgage Loan to Borrower and one (1) copy of same. (Lender may negotiate and transfer the Mortgage Note only upon a Default or Event of Default); b. The related original recorded Mortgage with evidence of recording indicated thereon; c. Copies of all interim assignments of the Pledged Mortgage Loans, including confirmation that the interim assignment of a Mortgage Note from ECCU to MPF has been submitted for recordation or in each case with evidence of recording indicated thereon (subject to the satisfaction provisions of Section 2.8 below relating to items in the process of being recorded); d. An assignment of the conditions set forth Mortgage Note, endorsed by the Borrower in Sections 4.1 and 4.2 hereof, upon compliance with the procedures set forth in this Section 2.2 blank and in EXHIBIT "C" attached hereto recordable form (Lender may negotiate and made transfer the Mortgage Note only upon a part hereofDefault or Event of Default); e. the original or duplicate original lender’s ALTA Policy of Title Insurance or an equivalent thereto; f. a copy of the mortgage appraisal relating to the Pledged Mortgage Loan; g. the Pledged Mortgage Loans certificate of casualty or hazard insurance; and h. all existing credit information on the maker of the Mortgage Note that has entered into the related Pledged Mortgage Loan. Requests for Advances shall All documents must be initiated by a Borrower (i) by delivering satisfactory to the Lender in its reasonable discretion. All Mortgage File and its designee, by telecopy (with original to be sent immediately thereafter by overnight mail) a completed and signed Advance Request in the form of EXHIBIT "A-1" attached hereto and made a part hereof, or (ii) by using the electronic data transmission service provided by the Lender and its licensor, MBMS Incorporated, to transmit to the Lender a request for Advance ("Electronic Request"), which shall include all information required by EXHIBIT "A-1" through the Warehouse Management System software provided by the Lender and its licensor, MBMS Incorporated. The Lender shall have the right, on not less than three (3) Business Days' prior notice to the Borrowers, to modify the Advance Request, Electronic Request, or any exhibits hereto to conform to current legal requirements or Lender practices, and, as so modified, said Advance Request, Electronic Request or exhibits shall be deemed a part hereof. In consideration of the Lender permitting the Borrowers to make Electronic Requests for Advances utilizing the Warehouse Management (b) A Borrower may obtain an Advance hereunder against Investment Grade Securities subject to the satisfaction of the conditions set forth on EXHIBIT "O" hereto and all other terms and conditions set forth in this Agreement. Requests for Advances against Investment Grade Securities shall be initiated by a Borrower delivering to the Lender a completed and signed Advance Request in the form of EXHIBIT "A-2" attached hereto and made a part hereof for all purposes. (c) Before funding, the Lender and its designee shall have a reasonable time to examine such Advance Request and the Collateral Documents to be delivered prior to such requested Advance, as set forth in the applicable Exhibit hereto, and may reject such of them as do not meet the requirements of this Agreement or of the related Purchase Commitment. The Advance Request and the Collateral Documents must be received by submitted to the Lender, or Lender’s Custodian, in a top tabbed, legal size manila file folder, hole-punched and acco-fastened. Each folder must be labeled with the mortgagor name(s). The Company shall hold in trust for the Lender, and the Company shall deliver to the Lender no later than 2:00 p.m. Houstonor Lender's Custodian, Texas time in order for funding as Lender designates, promptly upon request, any other document relating to occur a Pledged Mortgage Loan not required to be delivered upon the next Business DayAdvance. If To make the Advance Request and Collateral Documents are received by Lender later than 2:00 p.m. Houston, Texas time on any day, pursuant to the funding shall occur on the second Business Day occurring thereafter. (d) To make an AdvanceCompany’s request, the Lender shall credit shall, provided the Funding Account Company is in compliance with the Lender upon compliance by such Borrower this Agreement, wire funds in accordance with the terms of the Payment Instruction Letter and, to the extent that the amount of the Advance exceeds the amount of the Unpaid Balance set forth in such Payment Instruction Letter, credit the Company’s Share Account maintained by the Company for this Agreementpurpose. The Company may then wire funds from that account as necessary, in conformity with Lender’s policies and procedures for wire transfers of members’ funds.

Procedures for Obtaining Advances. (a) A Borrower The Company may obtain an Advance hereunder against an Eligible Mortgage Loan or an Eligible Non-Conforming Mortgage Loanhereunder, subject to the satisfaction of the conditions set forth in Sections 4.1 and 4.2 hereof, upon compliance with the procedures set forth in this Section 2.2 and in EXHIBIT "C" attached hereto and made a part hereof2.2. Requests for Advances shall be initiated by a Borrower (i) the Company by delivering to the Lender and its designee, by telecopy (with original to be sent immediately thereafter by overnight mail) Bank a completed and signed request for an Advance (an “Advance Request”) on the then current form therefor approved by the Bank and provided to the Company. The current form in use by the Bank is set forth in Exhibit B hereto. The Bank shall have the right to revise or supplement approved forms of Advance Request by giving prior written-notice thereof to the Company. Bank, in all events, reserves the right to reject any Loan Request to finance the acquisition of a Covered Loan. (b) The procedures to be followed by the Company in making an Advance Request for the purchase of Mortgage Loans, and the documents relating to the Collateral described in the form Advance Request required to be delivered to the Bank, shall consist of EXHIBIT "A-1" those set forth in the following described Exhibit C attached hereto and hereby made a part hereof, or (ii) by using the electronic data transmission service provided by the Lender hereof entitled: Procedures and its licensor, MBMS Incorporated, to transmit to the Lender a request Documentation for Advance ("Electronic Request"), which shall include all information required by EXHIBIT "A-1" through the Warehouse Management System software provided by the Lender and its licensor, MBMS IncorporatedWarehousing Residential Mortgage Loans. The Lender Bank shall have the right, on not less than three thirty (330) Business Days' days’ prior written notice to the BorrowersCompany, to modify the Advance Request, Electronic Request, or any exhibits hereto said Exhibit(s) to conform to current legal requirements or Lender practicesrequirements set forth by the regulators and independent certified auditors of the Bank, and, as so modified, said Advance Request, Electronic Request or exhibits Exhibit shall be deemed a part hereof. In consideration of the Lender permitting the Borrowers to make Electronic Requests for Advances utilizing the Warehouse Management (b) A Borrower may obtain an Advance hereunder against Investment Grade Securities subject to the satisfaction of the conditions set forth on EXHIBIT "O" hereto and all other terms and conditions set forth in this Agreement. Requests for Advances against Investment Grade Securities shall be initiated by a Borrower delivering to the Lender a completed and signed Advance Request in the form of EXHIBIT "A-2" attached hereto and made a part hereof for all purposesany Advance Requests thereafter delivered. (c) Before fundingfunding any Advance, the Lender and its designee Bank shall have a reasonable time three (3) Business Days to examine such each Advance Request and the Collateral Documents to be delivered prior to such requested the Advance, as set forth in the applicable Exhibit C hereto, and may reject such of them as do not meet the requirements of this Agreement or of Agreement. Bank, in all events, reserves the related Purchase Commitment. The right to reject any Advance Request and to finance the Collateral Documents must be received by Lender no later than 2:00 p.m. Houstonpurchase of (i) any Mortgage Loan which in the Bank’s judgment does not comply or did not comply at the time of origination with any federal or state statute or regulation applicable to such Mortgage Loan, Texas time in order for funding to occur the next Business Day. If the Advance Request and Collateral Documents are received by Lender later than 2:00 p.m. Houston, Texas time on and/or (ii) any day, the funding shall occur on the second Business Day occurring thereafterCovered Loan. (d) To make an Advance, the Lender Bank shall debit this warehousing credit line account for the Funding Account amount of the Advance and, unless otherwise agreed to by the Bank, the Bank shall wire the proceeds of such Advance to the Company’s operating account no. _____________ with the Lender upon compliance by such Borrower with Bank. (e) All Advances under this Agreement shall constitute a single indebtedness and all of the terms Collateral shall be security for the Note and for the performance of all obligations of the Company to the Bank. (f) This Agreement shall be separate from and shall not be subject to the Senior Credit Facility except as specifically otherwise provided in this Agreement.