ASSIGNMENT AND ASSUMPTION AGREEMENT
ASSIGNMENT AND ASSUMPTION AGREEMENT, dated as of March 28, 2006, between
Residential Funding Corporation, a Delaware corporation ("RFC") and Residential
Asset Mortgage Products, Inc., a Delaware corporation (the "Company").
Recitals
A. RFC has entered into seller contracts ("Seller Contracts") with the
seller/servicers.
B. The Company wishes to purchase from RFC certain Mortgage Loans (as
hereinafter defined) originated pursuant to the Seller Contracts with respect
thereto.
C. The Company, RFC, as master servicer, and U.S. Bank National
Association, as trustee (the "Trustee"), are entering into a Pooling and
Servicing Agreement dated as of March 1, 2006 (the "Pooling and Servicing
Agreement"), pursuant to which the Trust proposes to issue Mortgage Asset-Backed
Pass-Through Certificates, Series 2006-NC3 (the "Certificates") consisting of
sixteen classes designated as Class A-1, Class X-0, Xxxxx X-0, Class M-1, Class
M-2, Class M-3, Class M-4, Class M-5, Class M-6, Class M-7, Class M-8, Class
M-9, Class M-10, Class SB, Class R-I and Class R-II Certificates representing
beneficial ownership interests in a trust fund consisting primarily of a pool of
mortgage loans identified in Exhibit G to the Pooling and Servicing Agreement
(the "Mortgage Loans").
D. In connection with the purchase of the Mortgage Loans, the Company
will assign to or at the direction of RFC the Class R-I and Class R-II
Certificates (collectively, the "Retained Certificates").
E. In connection with the purchase of the Mortgage Loans and the
issuance of the Certificates, RFC wishes to make certain representations and
warranties to the Company and to assign certain of its rights under the Seller
Contracts to the Company, and the Company wishes to assume certain of RFC's
obligations under the Seller Contracts.
F. The Company and RFC intend that the conveyance by RFC to the Company
of all its right, title and interest in and to the Mortgage Loans pursuant to
this Agreement shall constitute a purchase and sale and not a loan.
NOW THEREFORE, in consideration of the recitals and the mutual promises
herein and other good and valuable consideration, the parties agree as follows:
1. All capitalized terms used but not defined herein shall have the meanings
assigned thereto in the Pooling and Servicing Agreement.
2. Concurrently with the execution and delivery hereof, RFC hereby assigns to
the Company without recourse all of its right, title and interest in and to the
Mortgage Loans, including all interest and principal received on or with respect
to the Mortgage Loans after the Cut-off Date (other than payments of principal
and interest due on the Mortgage Loans in March 2006). In consideration of such
assignment, RFC will receive from the Company, in immediately available funds,
an amount equal to $526,252,976.25 and the Retained Certificates. In connection
with such assignment and at the Company's direction, RFC has in respect of each
Mortgage Loan endorsed the related Mortgage Note (other than any Destroyed
Mortgage Note) to the order of the Trustee and delivered an assignment of
mortgage in recordable form to the Trustee or its agent. A Destroyed Mortgage
Note means a Mortgage Note the original of which was permanently lost or
destroyed.
The Company and RFC intend that the conveyance by RFC to the Company of
all its right, title and interest in and to the Mortgage Loans pursuant to this
Section 2 shall be, and shall be construed as, a sale of the Mortgage Loans by
RFC to the Company. It is, further, not intended that such conveyance be deemed
to be a pledge of the Mortgage Loans by RFC to the Company to secure a debt or
other obligation of RFC. However, in the event that the Mortgage Loans are held
to be property of RFC, or if for any reason this Agreement is held or deemed to
create a security interest in the Mortgage Loans, then it is intended that (a)
this Agreement shall also be deemed to be a security agreement within the
meaning of Articles 8 and 9 of the Minnesota Uniform Commercial Code and the
Uniform Commercial Code of any other applicable jurisdiction; (b) the conveyance
provided for in this Section shall be deemed to be a grant by RFC to the Company
of a security interest in all of RFC's right (including the power to convey
title thereto), title and interest, whether now owned or hereafter acquired, in
and to (A) the Mortgage Loans, including the Mortgage Notes, the Mortgages, any
related insurance policies and all other documents in the related Mortgage
Files, (B) all amounts payable pursuant to the Mortgage Loans in accordance with
the terms thereof and (C) any and all general intangibles, payment intangibles,
accounts, chattel paper, instruments, documents, money, deposit accounts,
certificates of deposit, goods, letters of credit, advices of credit and
investment property and other property of whatever kind or description now
existing or hereafter acquired consisting of, arising from or relating to any of
the foregoing, and all proceeds of the conversion, voluntary or involuntary, of
the foregoing into cash, instruments, securities or other property, including,
without limitation, all amounts from time to time held or invested in the
Certificate Account or the Custodial Account, whether in the form of cash,
instruments, securities or other property; (c) the possession by the Trustee,
the Custodian or any other agent of the Trustee of Mortgage Notes or such other
items of property as constitute instruments, money, negotiable documents or
chattel paper shall be deemed to be "possession by the secured party", or
possession by a purchaser or a person designated by him, for purposes of
perfecting the security interest pursuant to the Minnesota Uniform Commercial
Code and the Uniform Commercial Code of any other applicable jurisdiction
(including, without limitation, Section 9-305, 8-313 or 8-321 thereof); and (d)
notifications to persons holding such property, and acknowledgments, receipts or
confirmations from persons holding such property, shall be deemed notifications
to, or acknowledgments, receipts or confirmations from, financial
intermediaries, bailees or agents (as applicable) of the Trustee for the purpose
of perfecting such security interest under applicable law. RFC shall, to the
extent consistent with this Agreement, take such reasonable actions as may be
necessary to ensure that, if this Agreement were deemed to create a security
interest in the Mortgage Loans and the other property described above, such
security interest would be deemed to be a perfected security interest of first
priority under applicable law and will be maintained as such throughout the term
of this Agreement. Without limiting the generality of the foregoing, RFC shall
prepare and deliver to the Company no less than 15 days prior to any filing
date, and the Company shall file, or shall cause to be filed, at the expense of
RFC, all filings necessary to maintain the effectiveness of any original filings
necessary under the Uniform Commercial Code as in effect in any jurisdiction to
perfect the Company's security interest in or lien on the Mortgage Loans
including without limitation (x) continuation statements and (y) such other
statements as may be occasioned by (1) any change of name of RFC or the Company,
(2) any change of location of the state of formation, place of business or the
chief executive office of RFC, or (3) any transfer of any interest of RFC in any
Mortgage Loan.
3. Concurrently with the execution and delivery hereof, the Company hereby
assigns to or at the direction of RFC without recourse all of its right,
title and interest in and to the Retained Certificates as part of the
consideration payable to RFC by the Company pursuant to this Agreement.
4. RFC represents and warrants to the Company, with respect to each
Mortgage Loan that on the date of execution hereof (or, if otherwise
specified below, as of the date so specified),
(a) The information set forth in the Mortgage Loan Schedule for such
Mortgage Loans is true and correct in all material respects as of the
date or dates respecting which such information is furnished;
(b) Each Mortgage Loan constitutes a qualified mortgage under Section
860G(a)(3)(A) of the Code and Treasury Regulations Section
1.860G-2(a)(1);
(c) Immediately prior to the conveyance of the Mortgage Loans to the
Trustee, RFC had good title to, and was the sole owner of, each Mortgage
Loan free and clear of any pledge, lien, encumbrance or security
interest (other than rights to servicing and related compensation) and
such conveyance validly transfers ownership of the Mortgage Loans to the
Trustee free and clear of any pledge, lien, encumbrance or security
interest;
(d) Each Mortgage Note constitutes a legal, valid and binding obligation of
the Mortgagor enforceable in accordance with its terms except as limited
by bankruptcy, insolvency or other similar laws affecting generally the
enforcement of creditors' rights;
(e) To the best of RFC's knowledge as of the Cut-off Date, and except as
noted in (h) below, there is no default, breach, violation or event of
acceleration existing under the terms of any Mortgage Note or Mortgage
and no event which, with notice and expiration of any grace or cure
period, would constitute a default, breach, violation or event of
acceleration under the terms of any Mortgage Note or Mortgage, and no
such default, breach, violation or event of acceleration has been waived
by RFC or by any other entity involved in servicing a Mortgage Loan;
(f) To the best of RFC's knowledge as of the Cut-off Date, none of the
Mortgage Loans with Loan-to-Value Ratios at origination in excess of 80%
will be insured by a Primary Insurance Policy covering the amount of
such Mortgage Loan in excess of 75%;
(g) The related Mortgagor is not currently in bankruptcy proceedings with
respect to any of the Mortgage Loans;
(h) As of the Cut-Off Date none of the Mortgage Loans are 30 or more days
Delinquent in payment of principal and interest;
(i) None of the Mortgage Loans are Buy-Down Mortgage Loans;
(j) To the best of RFC's knowledge, there is no delinquent tax or assessment
lien against any related Mortgaged Property;
(k) No Mortgagor has any valid right of offset, defense or counterclaim as
to the related Mortgage Note or Mortgage, except as may be provided
under the Servicemembers Civil Relief Act;
(l) No Mortgage Loan provides for payments that are subject to reduction by
withholding taxes levied by any foreign (non-United States) sovereign
government;
(m) (1) The proceeds of each Mortgage Loan have been fully disbursed and (2)
to the best of RFC's knowledge, there is no requirement for future
advances thereunder and any and all requirements as to completion of any
on-site or off-site improvements and as to disbursements of any escrow
funds therefor (including any escrow funds held to make Monthly Payments
pending completion of such improvements) have been complied with. All
costs, fees and expenses incurred in making, closing or recording the
Mortgage Loans were paid;
(n) To the best of RFC's knowledge, with respect to each Mortgage Loan,
there are no mechanics' liens or claims for work, labor or material
affecting any Mortgaged Property which are or may be a lien prior to, or
equal with, the lien of the related Mortgage, except such liens that are
insured or indemnified against by a title insurance policy;
(o) With respect to each Mortgage Loan, a policy of title insurance was
effective as of the closing of each Mortgage Loan, is valid and binding,
and remains in full force and effect, unless the Mortgaged Properties
are located in the State of Iowa and an attorney's certificate has been
provided;
(p) Each Mortgaged Property is free of damage and in good repair, no notice
of condemnation has been given with respect thereto and RFC knows of
nothing involving any Mortgaged Property that could reasonably be
expected to materially adversely affect the value or marketability of
any Mortgaged Property;
(q) Each Mortgage contains customary and enforceable provisions which render
the rights and remedies of the holder adequate to realize the benefits
of the security against the Mortgaged Property, including (i) in the
case of a Mortgage that is a deed of trust, by trustee's sale, or (ii)
by judicial foreclosure or, if applicable, non judicial foreclosure, and
to the best of RFC's knowledge, there is no homestead or other exemption
available to the Mortgagor that would interfere with such right to sell
at a trustee's sale or right to foreclosure, subject in each case to
applicable federal and state laws and judicial precedents with respect
to bankruptcy and right of redemption;
(r) To the best of RFC's knowledge, with respect to each Mortgage that is a
deed of trust, a trustee duly qualified under applicable law to serve as
such is properly named, designated and serving, and except in connection
with a trustee's sale after default by a Mortgagor, no fees or expenses
are payable by the seller or RFC to the trustee under any Mortgage that
is a deed of trust;
(s) If the improvements securing a Mortgage Loan are located in a federal
designated special flood hazard area, flood insurance in the amount
required under the Program Guide covers such Mortgaged Property (either
by coverage under the federal flood insurance program or by coverage
from private insurers);
(t) To the extent an appraisal was made on a Mortgage Loan, the appraisal
was made by an appraiser who meets the minimum qualifications for
appraisers as specified in the Program Guide;
(u) Each Mortgage Loan is covered by a standard hazard insurance policy;
(v) If any of the Mortgage Loans are secured by a leasehold interest, with
respect to each leasehold interest: the use of leasehold estates for
residential properties is an accepted practice in the area where the
related Mortgaged Property is located; residential property in such area
consisting of leasehold estates is readily marketable; the lease is
recorded and no party is in any way in breach of any provision of such
lease; the leasehold is in full force and effect and is not subject to
any prior lien or encumbrance by which the leasehold could be terminated
or subject to any charge or penalty (other than with respect to any
junior lien Mortgage Loans); and the remaining term of the lease does
not terminate less than ten years after the maturity date of such
Mortgage Loan;
(w) To the best of RFC's knowledge, any escrow arrangements established with
respect to any Mortgage Loan are in compliance with all applicable
local, state and federal laws and are in compliance with the terms of
the related Mortgage Note;
(x) None of the Mortgage Loans in the mortgage pool are loans that, under
applicable state or local law in effect at the time of origination of
the loan, are referred to as (1) "high-cost" or "covered" loans or (2)
any other similar designation if the law imposes greater restrictions or
additional legal liability for residential mortgage loans with high
interest rates, points and/or fees;
(y) None of the proceeds for the Mortgage Loans were used to finance the
purchase of single premium credit insurance policies;
(z) None of the Mortgage Loans contain prepayment penalties that extend
beyond five years after the date of origination;
(aa) None of the Mortgage Loans are subject to the Homeownership Act;
(bb) Each Mortgage Loan at the time it was made complied in all material
respects with applicable local, state, and federal laws, including, but
not limited to, all applicable anti-predatory lending laws;
(cc) No Mortgage Loan was originated on or after October 1, 2002 and before
March 7, 2003, which is secured by property located in the State of
Georgia;
(dd) No Mortgage Loan is a High Cost Loan or Covered Loan, as applicable (as
such terms are defined in Appendix E of the Standard & Poor's Glossary
For File Format For LEVELS(R) Version 5.6c Revised (attached hereto as
Exhibit 1);
(ee) Each Mortgage Loan listed on the attached Schedule B has an original
term to maturity of 360 months and an original amortization term of 480
months;
(ff) The information set forth in the Mortgage Loan Schedule with respect to
prepayment penalties is complete, true and correct in all material
respects at the date or dates on which such information is furnished
respecting with such information is furnished, and each prepayment
penalty is permissible and enforceable in accordance with its terms upon
the mortgagor's full and voluntary principal prepayment under applicable
law, except to the extent that: (1) the enforceability thereof may be
limited by bankruptcy, insolvency, moratorium, receivership and other
similar laws relating to creditors' rights; (2) the collectability
thereof may be limited due to acceleration in connection with a
foreclosure or other involuntary prepayment; or (3) subsequent changes
in applicable law may limit or prohibit enforceability thereof under
applicable law;
(gg) Each Mortgage Loan and prepayment penalty associated with the Mortgage
Loan at origination complied in all material respects with applicable
local, state and federal laws, including, without limitation, usury,
equal credit opportunity, real estate settlement procedures,
truth-in-lending and disclosure laws, and the consummation of the
transactions contemplated hereby will not involve the violation of any
such laws; and
(hh) To the best of RFC's knowledge, the Subservicer for each Mortgage Loan
has accurately and fully reported its borrower credit files to each of
the Credit Repositories in a timely manner.
Upon discovery by RFC or upon notice from the Company or the Trustee of
a breach of the foregoing representations and warranties in respect of any
Mortgage Loan, or upon the occurrence of a Repurchase Event as described in
Section 5 below, which materially and adversely affects the interests of any
holders of the Certificates or the Company in such Mortgage Loan (notice of
which shall be given to the Company by RFC, if it discovers the same), RFC
shall, within 90 days after the earlier of its discovery or receipt of notice
thereof, either cure such breach or Repurchase Event in all material respects
or, except as otherwise provided in Section 2.04 of the Pooling and Servicing
Agreement, either (i) purchase such Mortgage Loan from the Trustee or the
Company, as the case may be, at a price equal to the Purchase Price for such
Mortgage Loan or (ii) substitute a Qualified Substitute Mortgage Loan or Loans
for such Mortgage Loan in the manner and subject to the limitations set forth in
Section 2.04 of the Pooling and Servicing Agreement. If the breach of
representation and warranty that gave rise to the obligation to repurchase or
substitute a Mortgage Loan pursuant to this Section 4 was the representation and
warranty set forth in clause (bb) of this Section 4, then RFC shall pay to the
Trust Fund, concurrently with and in addition to the remedies provided in the
preceding sentence, an amount equal to any liability, penalty or expense that
was actually incurred and paid out of or on behalf of the Trust Fund, and that
directly resulted from such breach, or if incurred and paid by the Trust Fund
thereafter, concurrently with such payment. Notwithstanding the foregoing, RFC
shall not be required to cure breaches, Repurchase Events or purchase or
substitute for Mortgage Loans as provided above if the substance of such breach
or Repurchase Event also constitutes fraud in the origination of the Mortgage
Loan.
5. With respect to each Mortgage Loan, a repurchase event ("Repurchase Event")
shall have occurred if one or both of the following occur: (A) it is discovered
that, as of the date hereof, the related Mortgage was not a valid first lien (or
second lien, with respect to junior lien Mortgage Loans) on the related
Mortgaged Property subject only to (i) the lien of real property taxes and
assessments not yet due and payable, (ii) covenants, conditions, and
restrictions, rights of way, easements and other matters of public record as of
the date of recording of such Mortgage and such other permissible title
exceptions as are listed in the Program Guide, (iii) other matters to which like
properties are commonly subject which do not materially adversely affect the
value, use, enjoyment or marketability of the Mortgaged Property and (iv) with
respect to junior lien Mortgage Loans, the senior mortgage loan thereon or (B)
it is discovered that, as of the time of its origination and as of the date of
execution hereof, the Mortgage Loan did not comply in all material respects with
all applicable local, state and federal laws. In addition, with respect to any
Mortgage Loan listed on the attached Schedule A with respect to which any
document or documents constituting a part of the Mortgage File are missing or
defective in any material respect, if such Mortgage Loan subsequently is in
default and the enforcement thereof or of the related Mortgage is materially and
adversely affected by the absence or defectiveness of any such document or
documents, a Repurchase Event shall be deemed to have occurred and RFC will be
obligated to repurchase or substitute for such Mortgage Loan in the manner set
forth in Section 4 above.
6. Concurrently with the execution and delivery hereof, RFC hereby assigns to
the Company, and the Company hereby assumes, all of RFC's rights and obligations
under the Seller Contracts with respect to the Mortgage Loans to be serviced
under the Pooling and Servicing Agreement, insofar as such rights and
obligations relate to (a) any representations and warranties regarding a
Mortgage Loan made by a Seller under any Seller Contract and any remedies
available under the Seller Contract for a breach of any such representations and
warranties if (i) the substance of such breach also constitutes fraud in the
origination of the Mortgage Loan or (ii) the representation and warranty relates
to the absence of toxic materials or other environmental hazards that could
affect the Mortgaged Property, or (b) the Seller's obligation to deliver to RFC
the documents required to be contained in the Mortgage File and any rights and
remedies available to RFC under the Seller Contract in respect of such
obligation or in the event of a breach of such obligation; provided that,
notwithstanding the assignment and assumption hereunder, RFC shall have the
concurrent right to exercise remedies and pursue indemnification upon a breach
by a Seller under any Seller Contract of any of its representations and
warranties and RFC shall exercise reasonable efforts to enforce a Seller's
obligation to purchase a Mortgage Loan from the Company in accordance with the
time frame described in the Program Guide. If the Company or RFC asserts that it
is not required to cure breaches or to purchase or substitute for Mortgage Loans
under the Pooling and Servicing Agreement because the substance of the breach
also constitutes fraud in the origination of any Mortgage Loan, then the
substance of the related breach shall automatically be deemed to constitute
fraud in the origination of a Mortgage Loan for purposes of clause (i) of this
Section 6; provided, however, that if the related Seller provides RFC with
reasonable evidence that the substance of such breach does not constitute fraud,
then it shall no longer be deemed to constitute fraud in the origination of a
Mortgage Loan for purposes of clause (i) of this Section 6.
7. This Agreement shall inure to the benefit of and be binding upon the parties
hereto and their respective successors and assigns, and no other person shall
have any right or obligation hereunder.
8. RFC, as master servicer under the Pooling and Servicing Agreement (the
"Master Servicer"), shall not waive (or permit a sub-servicer to waive) any
Prepayment Charge unless: (i) the enforceability thereof shall have been limited
by bankruptcy, insolvency, moratorium, receivership and other similar laws
relating to creditors' rights generally, (ii) the enforcement thereof is
illegal, or any local, state or federal agency has threatened legal action if
the prepayment penalty is enforced, (iii) the collectability thereof shall have
been limited due to acceleration in connection with a foreclosure or other
involuntary payment or (iv) such waiver is standard and customary in servicing
similar Mortgage Loans and relates to a default or a reasonably foreseeable
default and would, in the reasonable judgment of the Master Servicer, maximize
recovery of total proceeds taking into account the value of such Prepayment
Charge and the related Mortgage Loan. In no event will the Master Servicer waive
a Prepayment Charge in connection with a refinancing of a Mortgage Loan that is
not related to a default or a reasonably foreseeable default. If a Prepayment
Charge is waived, but does not meet the standards described above, then the
Master Servicer is required to pay the amount of such waived Prepayment Charge
to the holder of the Class SB Certificates at the time that the amount prepaid
on the related Mortgage Loan is required to be deposited into the Custodial
Account. Notwithstanding any other provisions of this Agreement, any payments
made by the Master Servicer in respect of any waived Prepayment Charges pursuant
to this Section shall be deemed to be paid outside of the Trust Fund and not
part of any REMIC.
9. This Agreement will be governed by and construed in accordance with the laws
of the State of New York, without regard to the conflict of law principles
thereof, other than Sections 5-1401 and 5-1402 of the New York General
Obligations Law.
[SIGNATURES BEGIN ON FOLLOWING PAGE]
IN WITNESS WHEREOF, the parties have entered into this Assignment and
Assumption Agreement as of the date first above written.
RESIDENTIAL FUNDING CORPORATION
By: /s/ Xxxxxxxxxxx Xxxxxxxx
----------------------------------------
Name: Xxxxxxxxxxx Xxxxxxxx
Title: Associate
RESIDENTIAL ASSET MORTGAGE PRODUCTS, INC.
By: /s/ Xxxxxx Xxxxxx
---------------------------------------
Name: Xxxxxx Xxxxxx
Title: Vice President
SCHEDULE A
Schedule of Mortgage Loans with Defective Mortgage Files
(see attached)
SCHEDULE B
Schedule of Mortgage Loans described in Section 4(ee)
EXHIBIT 1
REVISED JULY 11, 0000
XXXXXXXX X - STANDARD & POOR'S PREDATORY LENDING CATEGORIES
Standard & Poor's has categorized loans governed by anti-predatory lending laws
in the Jurisdictions listed below into three categories based upon a combination
of factors that include (a) the risk exposure associated with the assignee
liability and (b) the tests and thresholds set forth in those laws. Note that
certain loans classified by the relevant statute as Covered are included in
Standard & Poor's High Cost Loan Category because they included thresholds and
tests that are typical of what is generally considered High Cost by the
industry.
STANDARD & POOR'S HIGH COST LOAN CATEGORIZATION
------------------------------------------------------------------------------------------------
State/Jurisdiction Name of Anti-Predatory Lending Category under
Applicable
Anti-Predatory Lending
Law/Effective Date Law
---------------------------- ---------------------------------------- --------------------------
Arkansas Arkansas Home Loan Protection Act, High Cost Home Loan
Ark. Code Xxx. xx.xx. 00-00-000 et seq.
Effective July 16, 2003
---------------------------- ---------------------------------------- --------------------------
Cleveland Heights, OH Ordinance No. 72-2003 (PSH), Mun. Code Covered Loan
xx.xx. 757.01 et seq.
Effective June 2, 2003
---------------------------- ---------------------------------------- --------------------------
Colorado Consumer Equity Protection, Colo. Covered Loan
Stat. Xxx. xx.xx. 5-3.5-101 et seq.
Effective for covered loans offered or
entered into on or after January 1,
2003. Other provisions of the Act took effect on
June 7, 2002
---------------------------- ---------------------------------------- --------------------------
Connecticut Connecticut Abusive Home Loan Lending High Cost Home Loan
Practices Act, Conn. Gen. Stat. xx.xx.
36a-746 et seq.
Effective October 1, 2001
---------------------------- ---------------------------------------- --------------------------
District of Columbia Home Loan Protection Act, D.C. Code xx.xx. Covered Loan
26-1151.01 et seq.
Effective for loans closed on or after
January 28, 2003
---------------------------- ---------------------------------------- --------------------------
Florida Fair Lending Act, Fla. Stat. Xxx. xx.xx. High Cost Home Loan
494.0078 et seq.
Effective October 2, 2002
---------------------------- ---------------------------------------- --------------------------
Georgia (Oct. 1, 0000 - Xxxxxxx Xxxx Xxxxxxx Xxx, Xx. Code High Cost Home Loan
Mar. 6, 2003) Xxx. xx.xx. 7-6A-1 et seq.
Effective October 1, 2002 - March 6,
2003
---------------------------- ---------------------------------------- --------------------------
Georgia as amended (Mar. Georgia Fair Lending Act, Ga. Code High Cost Home Loan
7, 2003 - current) Xxx. xx.xx. 7-6A-1 et seq.
Effective for loans closed on or after
March 7, 2003
---------------------------- ---------------------------------------- --------------------------
HOEPA Section 32 Home Ownership and Equity Protection High Cost Loan
Act of 1994, 15 U.S.C. ss. 1639, 12
C.F.R. xx.xx. 226.32 and 226.34
Effective October 1, 1995, amendments
October 1, 2002
---------------------------- ---------------------------------------- --------------------------
Illinois High Risk Home Loan Act, Ill. Comp. High Risk Home Loan
Stat. tit. 815, xx.xx. 137/5 et seq.
Effective January 1, 2004 (prior to this date,
regulations under Residential Mortgage License Act
effective from May 14, 2001)
---------------------------- ---------------------------------------- --------------------------
Kansas Consumer Credit Code, Kan. Stat. Xxx. High Loan to Value
xx.xx. 16a-1-101 et seq. Consumer Loan (id. ss.
16a-3-207)
and;
Sections 16a-1-301 and 16a-3-207
became effective April 14, 1999;
Section 16a-3-308a became effective
July 1, 1999
---------------------------- ---------------------------------------- --------------------------
High APR Consumer Loan
(id. ss. 16a-3-308a)
---------------------------- ---------------------------------------- --------------------------
Kentucky 2003 KY H.B. 287 - High Cost Home Loan High Cost Home Loan
Act, Ky. Rev. Stat. xx.xx. 360.100 et seq.
Effective June 24, 2003
---------------------------- ---------------------------------------- --------------------------
Maine Truth in Lending, Me. Rev. Stat. tit. High Rate High Fee
9-A, xx.xx. 8-101 et seq. Mortgage
Effective November 29, 1995 and as
amended from time to time
---------------------------- ---------------------------------------- --------------------------
Massachusetts Part 40 and Part 32, 209 C.M.R. xx.xx. High Cost Home Loan
32.00 et seq. and 209 C.M.R. xx.xx. 40.01
et seq.
Effective March 22, 2001 and amended
from time to time
---------------------------- ---------------------------------------- --------------------------
Nevada Assembly Xxxx No. 284, Nev. Rev. Stat. Home Loan
xx.xx. 598D.010 et seq.
Effective October 1, 2003
---------------------------- ---------------------------------------- --------------------------
New Jersey New Jersey Home Ownership Security Act High Cost Home Loan
of 2002, N.J. Rev. Stat. xx.xx. 46:10B-22
et seq.
Effective for loans closed on or after
November 27, 2003
---------------------------- ---------------------------------------- --------------------------
New Mexico Home Loan Protection Act, N.M. Rev. High Cost Home Loan
Stat. xx.xx. 58-21A-1 et seq.
Effective as of January 1, 2004;
Revised as of February 26, 2004
---------------------------- ---------------------------------------- --------------------------
New York N.Y. Banking Law Article 6-l High Cost Home Loan
Effective for applications made on or
after April 1, 2003
---------------------------- ---------------------------------------- --------------------------
North Carolina Restrictions and Limitations on High High Cost Home Loan
Cost Home Loans, N.C. Gen. Stat. xx.xx.
24-1.1E et seq.
Effective July 1, 2000; amended
October 1, 2003 (adding open-end lines
of credit)
---------------------------- ---------------------------------------- --------------------------
Ohio H.B. 386 (codified in various sections Covered Loan
of the Ohio Code), Ohio Rev. Code Xxx.
xx.xx. 1349.25 et seq.
Effective May 24, 2002
---------------------------- ---------------------------------------- --------------------------
Oklahoma Consumer Credit Code (codified in Subsection 10 Mortgage
various sections of Title 14A)
Effective July 1, 2000; amended
effective January 1, 2004
---------------------------- ---------------------------------------- --------------------------
South Carolina South Carolina High Cost and Consumer High Cost Home Loan
Home Loans Act, S.C. Code Xxx. xx.xx.
37-23-10 et seq.
Effective for loans taken on or after
January 1, 2004
---------------------------- ---------------------------------------- --------------------------
West Virginia West Virginia Residential Mortgage West Virginia Mortgage
Lender, Broker and Servicer Act, W. Loan Act Loan
Va. Code Xxx. xx.xx. 31-17-1 et seq.
Effective June 5, 2002
---------------------------- ---------------------------------------- --------------------------
STANDARD & POOR'S COVERED LOAN CATEGORIZATION
---------------------------- ---------------------------------------- --------------------------
State/Jurisdiction Name of Anti-Predatory Lending Category under
Applicable
Anti-Predatory Lending
Law/Effective Date Law
---------------------------- ---------------------------------------- --------------------------
Georgia (Oct. 1, 2002 - Georgia Fair Lending Act, Ga. Code Covered Loan
Mar. 6, 2003) Xxx. xx.xx. 7-6A-1 et seq.
Effective October 1, 2002 - March 6,
2003
---------------------------- ---------------------------------------- --------------------------
New Jersey New Jersey Home Ownership Security Act Covered Home Loan
of 2002, N.J. Rev. Stat. xx.xx. 46:10B-22
et seq.
Effective November 27, 2003 - July 5,
2004
---------------------------- ---------------------------------------- --------------------------
STANDARD & POOR'S HOME LOAN CATEGORIZATION
------------------------------------------------------------------------------------------------
State/Jurisdiction Name of Anti-Predatory Lending Category under
Applicable
Anti-Predatory Lending
Law/Effective Date Law
---------------------------- ---------------------------------------- --------------------------
Georgia (Oct. 1, 2002 - Georgia Fair Lending Act, Ga. Code Home Loan
Mar. 6, 2003) Xxx. xx.xx. 7-6A-1 et seq.
Effective October 1, 2002 - March 6,
2003
---------------------------- ---------------------------------------- --------------------------
New Jersey New Jersey Home Ownership Security Act Home Loan
of 2002, N.J. Rev. Stat. xx.xx. 46:10B-22
et seq.
Effective for loans closed on or after
November 27, 2003
---------------------------- ---------------------------------------- --------------------------
New Mexico Home Loan Protection Act, N.M. Rev. Home Loan
Stat. xx.xx. 58-21A-1 et seq.
Effective as of January 1, 2004;
Revised as of February 26, 2004
---------------------------- ---------------------------------------- --------------------------
North Carolina Restrictions and Limitations on High Consumer Home Loan
Cost Home Loans, N.C. Gen. Stat. xx.xx.
24-1.1E et seq.
Effective July 1, 2000; amended
October 1, 2003 (adding open-end lines
of credit)
---------------------------- ---------------------------------------- --------------------------
South Carolina South Carolina High Cost and Consumer Consumer Home Loan
Home Loans Act, S.C. Code Xxx. xx.xx.
37-23-10 et seq.
Effective for loans taken on or after
January 1, 2004
---------------------------- ---------------------------------------- --------------------------
