Common use of Swap Account Clause in Contracts

Swap Account. (a) On the Closing Date, the Indenture Trustee shall establish and maintain a separate, segregated trust account titled, “Swap Account, JPMorgan Chase Bank, N.A., as Indenture Trustee, in trust for the registered Noteholders of Newcastle Mortgage Securities Trust 2006-1, Asset-Backed Notes, Series 2006-1.” Such account shall be an Eligible Account and funds on deposit therein shall be held separate and apart from, and shall not be commingled with, any other moneys, including, without limitation, other moneys of the Indenture Trustee held pursuant to this Agreement. Amounts therein shall be held uninvested. (b) On each Payment Date, prior to any payment to any Note, the Indenture Trustee shall deposit into the Swap Account the amount of any Net Swap Payment or Swap Termination Payment (other than any Swap Termination Payment resulting from a Swap Provider Trigger Event) owed to the Swap Provider (after taking into account any upfront payment received from the counterparty to a replacement interest rate swap agreement) from funds collected and received with respect to the Mortgage Loans prior to the determination of Available Funds. (c) The Indenture Trustee shall use any payment received from the Owner Trustee pursuant to Section 2.03 of the Trust Agreement to make any upfront payment required under a replacement swap agreement and any upfront payment received from the counterparty to a replacement swap agreement shall be used to pay any Swap Termination Payment owed to the Swap Provider.

Swap Account. (a) On the Closing Date, there is hereby established a separate trust (the Indenture “Supplemental Interest Trust”), into which the Depositor shall deposit: (i) the Interest Rate Swap Agreement and (ii) the Swap Administration Agreement. The Supplemental Interest Trust shall be maintained by the Supplemental Interest Trust Trustee. No later than the Closing Date, the Supplemental Interest Trust Trustee shall establish and maintain with itself a separate, segregated trust account titled, “Swap Account, JPMorgan Chase Xxxxx Fargo Bank, N.A., N.A. as Indenture Supplemental Interest Trust Trustee, in trust for the registered Noteholders holders of Newcastle Mortgage MASTR Asset Backed Securities Trust 2006-1WMC1, AssetMortgage Pass-Backed NotesThrough Certificates, Series 2006-1WMC1—Swap Account.” Such account shall be an Eligible Account and funds on deposit therein shall be held separate and apart from, and shall not be commingled with, any other moneys, including, without limitation, other moneys of the Indenture Supplemental Interest Trust Trustee held pursuant to this Agreement. Amounts therein shall be held uninvested. (b) On each Payment Distribution Date, prior to any payment distribution to any NoteCertificate, the Indenture Supplemental Interest Trust Trustee shall deposit into the Swap Account Account: (i) the amount of any Net Swap Payment or Swap Termination Payment (other than any Swap Termination Payment resulting from a Swap Provider Trigger Event) owed to the Swap Provider (after taking into account any upfront payment received from the counterparty to a replacement interest rate swap agreement) from funds collected and received with respect to the Mortgage Loans prior to the determination of Available FundsFunds and (ii) amounts received by the Supplemental Interest Trust Trustee from the Swap Provider, for distribution pursuant to the Swap Administration Agreement, dated as of the Closing Date (the “Swap Administration Agreement”), among Xxxxx Fargo Bank, N.A. in its capacity as Supplemental Interest Trust Trustee, Xxxxx Fargo Bank, N.A. in its capacity as Swap Administrator, Xxxxx Fargo Bank, N.A. in its capacity as Trust Administrator and the Seller. (c) It is the intention of the parties hereto that, for federal and state income and state and local franchise tax purposes, the Supplemental Interest Trust be disregarded as an entity separate from the Holder of the Class CE Certificates unless and until the date when either (a) there is more than one Class CE Certificateholder or (b) any Class of Certificates in addition to the Class CE Certificates is recharacterized as an equity interest in the Supplemental Interest Trust for federal income tax purposes, in which case it is the intention of the parties hereto that, for federal and state income and state and local franchise tax purposes, the Supplemental Interest Trust be treated as a grantor trust. (d) To the extent that the Supplemental Interest Trust is determined to be a separate legal entity from the Supplemental Interest Trust Trustee, any obligation of the Supplemental Interest Trust Trustee under the Interest Rate Swap Agreement shall be deemed to be an obligation of the Supplemental Interest Trust. (e) The Indenture Trustee Trust Administrator shall use treat the Holders of Certificates (other than the Class P, Class CE and Class R Certificates) as having entered into a notional principal contract with respect to the Holders of the Class CE Certificates. Pursuant to each such notional principal contract, all Holders of Certificates (other than the Class P, Class CE and Class R Certificates) shall be treated as having agreed to pay, on each Distribution Date, to the Holder of the Class CE Certificates an aggregate amount equal to the excess, if any, of (i) the amount payable on such Distribution Date on the REMIC III Regular Interest corresponding to such Class of Certificates over (ii) the amount payable on such Class of Certificates on such Distribution Date (such excess, a “Class IO Distribution Amount”). A Class IO Distribution Amount payable from interest collections shall be allocated pro rata among such Certificates based on the excess of (a) the amount of interest otherwise payable to such Certificates over (ii) the amount of interest payable to such Certificates at a per annum rate equal to the Net WAC Pass-Through Rate, and a Class IO Distribution Amount payable from principal collections shall be allocated to the most subordinate Class of Certificates with an outstanding principal balance to the extent of such balance. In addition, pursuant to such notional principal contract, the Holder of the Class CE Certificates shall be treated as having agreed to pay Net WAC Rate Carryover Amounts to the Holders of the Certificates (other than the Class CE, Class P and Class R Certificates) in accordance with the terms of this Agreement. Any payments to the Certificates from amounts deemed received in respect of this notional principal contract shall not be payments with respect to a Regular Interest in a REMIC within the meaning of Code Section 860G(a)(1). However, any payment received from the Owner Trustee Certificates (other than the Class CE, Class P and Class R Certificates) of a Class IO Distribution Amount shall be treated for tax purposes as having been received by the Holders of such Certificates in respect of their interests in REMIC III and as having been paid by such Holders to the Trust Administrator pursuant to Section 2.03 of the Trust Agreement to make any upfront payment required under a replacement swap agreement notional principal contract. Thus, each Certificate (other than the Class P and any upfront payment received from the counterparty to a replacement swap agreement Class R Certificates) shall be used to pay any Swap Termination Payment owed to the Swap Providertreated as representing not only ownership of Regular Interests in REMIC III or REMIC IV, but also ownership of an interest in, and obligations with respect to, a notional principal contract.

Swap Account. (a) On the Closing Date, the Indenture Trustee Securities Administrator shall establish and maintain a separate, segregated trust account titled, “Swap Account, JPMorgan Chase Bank, N.A.The Bank of New York, as Indenture Trustee, in trust for the registered Noteholders of Newcastle Mortgage Securities Trust 20062007-1, Asset-Backed Notes, Series 20062007-1.” Such account shall be an Eligible Account and funds on deposit therein shall be held separate and apart from, and shall not be commingled with, any other moneys, including, without limitation, other moneys of the Indenture Trustee Securities Administrator held pursuant to this Agreement. Amounts therein shall be held uninvested. (b) On each the Business Day prior to Payment Date, prior to any payment to any Note, the Indenture Trustee Securities Administrator shall deposit into the Swap Account the amount of any Net Swap Payment or Swap Termination Payment (other than any Swap Termination Payment resulting from a Swap Provider Trigger Event) owed to the Swap Provider (after taking into account any upfront payment received from the counterparty to a replacement interest rate swap agreement) from funds collected and received with respect to the Mortgage Loans prior to the determination of Available FundsFunds and all amounts received by it from the Swap Provider. (c) The Indenture Trustee Securities Administrator shall use any payment received from the Owner Trustee pursuant to Section 2.03 of the Trust Agreement to make any upfront payment required under a replacement swap agreement and any upfront payment received from the counterparty to a replacement swap agreement shall be used to pay any Swap Termination Payment owed to the Swap Provider.

Swap Account. (a) On No later than the Closing Date, the Indenture Trustee shall establish and maintain a separate, segregated trust account titled, “Swap Account, JPMorgan Chase Bank, N.A.The Bank of New York, as Indenture Trustee, in trust for the Swap Counterparty and the registered Noteholders holders of Newcastle CWABS, Inc., GSC Capital Corp. Mortgage Securities Trust 2006-1, AssetMortgage-Backed Notes, Series 2006-1.” Such account shall be an Eligible Account and funds on deposit therein shall be held separate and apart from, and shall not be commingled with, any other moneys, including, without limitation, other moneys of the Indenture Trustee held pursuant to this Agreement or the Sale and Servicing Agreement. Amounts therein shall be held uninvested. (b) . Funds on deposit in the Swap Account shall be distributed in the amounts and in the order of priority described under Section 4.02(d). On each Payment Date, prior to any payment to any Note, the Indenture Trustee shall make a deposit into to the Swap Account pursuant to Section 4.02(a)(i), and to the extent that the amount of such deposit is insufficient to pay any Net Swap Payment or and/or Swap Termination Payment (other than any a Swap Termination Payment resulting from due to a Swap Provider Counterparty Trigger Event) owed due to the Swap Provider (after taking into account any upfront payment received from the counterparty to a replacement interest rate swap agreement) from funds collected and received Counterparty with respect to such Payment Date, the Mortgage Loans prior to the determination of Available Funds. (c) The Indenture Trustee shall use any payment received from withdraw, out of amounts on deposit in the Owner Trustee pursuant to Section 2.03 Payment Account in respect of the Trust Agreement Principal Remittance Amount, such additional amount as is necessary to make cover the remaining portion of any upfront payment required under a replacement swap agreement and any upfront payment received from the counterparty to a replacement swap agreement shall be used to pay any such Net Swap Payment and/or Swap Termination Payment owed (other than a Swap Termination Payment due to a Swap Counterparty Trigger Event) due to the Swap ProviderCounterparty with respect to such Payment Date. The Swap Account shall terminate on the earlier of (i) the Swap Contract Termination Date, (ii) the reduction of the aggregate Note Principal Balance of the Adjustable Rate Notes to zero and (iii) the termination of this Agreement.

Swap Account. (a) On the Closing Date, the Indenture Trustee Securities Administrator shall establish and maintain a separate, segregated trust account titled, “"Swap Account, JPMorgan Chase Bank, N.A.The Bank of New York, as Indenture Trustee, in trust for the registered Noteholders of Newcastle Mortgage Securities Trust 20062007-1, Asset-Backed Notes, Series 20062007-1.” " Such account shall be an Eligible Account and funds on deposit therein shall be held separate and apart from, and shall not be commingled with, any other moneys, including, without limitation, other moneys of the Indenture Trustee Securities Administrator held pursuant to this Agreement. Amounts therein shall be held uninvested. (b) On each the Business Day prior to Payment Date, prior to any payment to any Note, the Indenture Trustee Securities Administrator shall deposit into the Swap Account the amount of any Net Swap Payment or Swap Termination Payment (other than any Swap Termination Payment resulting from a Swap Provider Trigger Event) owed to the Swap Provider (after taking into account any upfront payment received from the counterparty to a replacement interest rate swap agreement) from funds collected and received with respect to the Mortgage Loans prior to the determination of Available FundsFunds and all amounts received by it from the Swap Provider. (c) The Indenture Trustee Securities Administrator shall use any payment received from the Owner Trustee pursuant to Section 2.03 of the Trust Agreement to make any upfront payment required under a replacement swap agreement and any upfront payment received from the counterparty to a replacement swap agreement shall be used to pay any Swap Termination Payment owed to the Swap Provider.