Payment Collections. All sums received by the Servicer with respect to any Loans, whether attributable to principal, interest, or late fees shall be received in trust for the benefit of the Lender. All funds received by or on behalf of Borrowers shall be deposited in a Servicer-owned and maintained clearing account. Within an average of [**] Business Days, all cleared, identified, and available funds from Loans shall be electronically transmitted to an account designated by Lender. Lender authorizes Servicer to withdraw monies from Servicer-owned clearing accounts to refund overpayments made by a Borrower or to correct monies deposited therein in error. Servicer shall obtain Lender’s authorization prior to making any withdrawals made necessary by circumstances that are not enumerated in this Section 4.12.
Appears in 2 contracts
Sources: Loan Program Agreement (First Marblehead Corp), Loan Program Agreement (First Marblehead Corp)