Prepayment Interest Shortfall Sample Clauses
The Prepayment Interest Shortfall clause addresses situations where a borrower repays a loan or a portion of it before the scheduled payment date, resulting in less interest being collected than originally anticipated for that period. Typically, this clause outlines how the lender will handle the shortfall in interest income, such as by specifying whether the lender or another party absorbs the loss, or if the shortfall is passed on to investors in securitized loans. Its core function is to allocate the risk of lost interest income due to early repayments, ensuring clarity and fairness in how such financial gaps are managed.
Prepayment Interest Shortfall. As to any Loan and Principal Prepayment, the amount by which one month's interest at the related Loan Rate (or such lower rate as may be in effect from a Loan because of the application of the Civil Relief Act) minus the rate at which the Servicing Fee is calculated on such Principal Prepayment exceeds the amount of interest paid by the Mortgagor in connection with such Principal Prepayment.
Prepayment Interest Shortfall. 33 Primary Mortgage Insurance Policy...........................................33 Primary Servicing Fee.......................................................33
Prepayment Interest Shortfall. Not later than two Business Days prior to each Payment Date, the Master Servicer shall remit to the Trustee, without any right of reimbursement, an amount equal to, with respect to each Home Equity Loan as to which a principal prepayment in full was received during the related Remittance Period, the lesser of (a) the excess, if any, of the sum of 30 days' interest on the principal balance of each such Home Equity Loan (or at such lower rate as may be in effect because of application of the Civil Relief Act) minus the Servicing Fees for such Home Equity Loan, over the amount of interest actually paid by the related Obligor in connection with each such principal prepayment for such Remittance Period (with respect to all -44- such Home Equity Loans, the "Prepayment Interest Shortfall") and (b) the sum of the Servicing Fees with respect to the most recently ended Remittance Period.
Prepayment Interest Shortfall. 42 Primary Mortgage Insurance Policy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43
Prepayment Interest Shortfall. As to any Collection Period and the Group 2 Mortgage Loans, any shortfall in Interest Collections expected to be received on the Group 2 Mortgage Loans as a result of unscheduled payments on the Group 2 Mortgage Loans during such Collection Period.
Prepayment Interest Shortfall. As to any Distribution Date and any Principal Prepayment on a Loan received by the Servicer on or before its Due Date in the related Prepayment Period, the amount, if any, by which one month’s interest at the related Adjusted Mortgage Rate on such Principal Prepayment, exceeds the amount of interest paid in connection with such Principal Prepayment. With respect to any Distribution Date, the calendar month preceding the month of that Distribution Date.
Prepayment Interest Shortfall. 29 NY1-172102.4 iii Page