Application Priority. A payment from a Borrower will normally consist of interest, principal, deposits for insurance and taxes and late charges, if applicable. Payments received from Borrowers must be applied in the order provided for in the related Security Instrument. To the extent not inconsistent with the related Security Instrument, such payments shall be applied in the following order: (a) required monthly interest; (b) required monthly principal; (c) deposits for taxes and insurance; (d) prepayment charges; and (e) any fees which may be retained by the Servicer, including late charges, returned check fees, and assumption fees.
Appears in 77 contracts
Sources: Servicing Agreement (Wells Fargo Asset Securities Corp), Servicing Agreement (Wells Fargo Mortgage Backed Securities 2006-Ar5 Trust), Servicing Agreement (Wells Fargo Mortgage Backed Securities 2007-3 Trust)