Common use of Targeted Overcollateralization Amount Clause in Contracts

Targeted Overcollateralization Amount. As of any Distribution Date, (a) prior to the Stepdown Date, the sum of (i) 4.35% of the Initial Aggregate Trust Fund Principal Balance and (ii) the Aggregate Class B Early Distribution Amount, and (b) on and after the Stepdown Date, the lesser of (i) the sum of (A) 4.35% of the Initial Aggregate Trust Fund Principal Balance and (B) the Aggregate Class B Early Distribution Amount and (ii) the greater of (A) the excess of (I) 13.70% of the Pool Principal Balance as of the last day of the related Due Period over (II) the excess of (x) the sum of the Class Certificate Balances of the Class B-1 and Class B-2 Certificates as of the Closing Date over (y) the aggregate of distributions made in respect of principal to the Class B-1 and Class B-2 Certificates on all prior Distribution Dates and (B) 0.50% of the Initial Aggregate Trust Fund Principal Balance. With respect to any Distribution Date on which a Trigger Event is in effect, the Targeted Overcollateralization Amount will be equal to the Targeted Overcollateralization Amount for the immediately preceding Distribution Date Tax Matters Person ------------------ The person designated as "tax matters person" in the manner provided under Treasury regulation ss.1.860F-4(d) and temporary Treasury regulation ss.301.6231(a)(7)-1T. Initially, the Tax Matters Person shall be the Trustee. Tax Matters Person Certificate ------------------------------ The Class R Certificate with a Denomination of .00001%. Termination Price ----------------- As defined in Section 9.01. Transfer -------- Any direct or indirect transfer or sale of any Ownership Interest in a Class R Certificate. Transfer Affidavit ------------------ As defined in Section 5.02(c). Transferor Certificate ---------------------- As defined in Section 5.02(b). Trigger Event ------------- With respect to any Distribution Date, if (a) the six-month rolling average of 60+ Day Delinquent Loans equals or exceeds 37.60% of the Senior Enhancement Percentage or (b) the aggregate amount of Realized Losses incurred since the Initial Cut-off Date through the last day of the related Due Period divided by the Initial Aggregate Trust Fund Principal Balance exceeds the applicable percentages set forth below with respect to that Distribution Date: --------------------------------------------------------- ------------------------------------------------------------ Distribution Date Occurring In Percentage --------------------------------------------------------- ------------------------------------------------------------ February 2007 - January 2008 3.00% (or 3.40% if the Class Certificate Balance of the Class B-2 Certificates has been reduced to zero and no part of that reduction was due to the application of Realized Loss Amounts) for the first month plus an additional 1/12th of 1.80% (or 1/12th of 1.40% if the Class Certificate Balance of the Class B-2 Certificates has been reduced to zero and no part of that reduction was due to the application of Realized Loss Amounts) for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February 2008 - January 2009 4.80% for the first month plus an additional 1/12th of 1.25% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February 2009 - January 2010 6.05% for the first month plus an additional 1/12th of 0.60% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February 2010 - January 2011 6.65% for the first month plus an additional 1/12th of 0.35% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February 2011 - January 2012 7.00% for the first month plus an additional 1/12th of 0.25% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February 2012 and thereafter 7.25% --------------------------------------------------------- ------------------------------------------------------------ Trustee ------- JPMorgan Chase Bank and its successors and, if a successor trustee is appointed hereunder, such successor. Trustee Fee ----------- As to any Distribution Date, an amount equal to one-twelfth of the Trustee Fee Rate multiplied by the Aggregate Trust Fund Principal Balance as of such Distribution Date. Trustee Fee Rate ---------------- With respect to each Loan, 0.02% per annum. Trust Fund ---------- The corpus of the trust created hereunder consisting of (a) the Loans and all interest and principal received, or receivable, on or with respect thereto after the Cut-off Date to the extent not applied in computing the Cut-off Date Principal Balance thereof and all interest and principal payments on such Loans received prior to the Cut-off Date in respect of installments of interest and principal due thereafter; (b) the Pre-Funding Account, the Certificate Account, the Distribution Account, the Net WAC Cap Account, the Reserve Fund and all amounts deposited therein pursuant to the applicable provisions of this Agreement; (c) property that secured a Loan and has been acquired by foreclosure, deed-in-lieu of foreclosure or otherwise; (d) the Yield Maintenance Agreement and (e) all proceeds of the conversion, voluntary or involuntary, of any of the foregoing. Trustee Permitted Withdrawal Amount ----------------------------------- Means an aggregate amount not to exceed (a) with respect to costs associated with the transitioning of servicing, $75,000 per servicing transition event and (b) with respect to amounts (other than the Trustee Fee) which are payable to the Trustee pursuant to Section 8.05 hereof, $150,000 per annum. Unpaid Realized Loss Amount --------------------------- For any Class of Subordinate Certificates and as to any Distribution Date, the excess of (a) the cumulative amount of Applied Realized Loss Amounts with respect to that Class for all prior Distribution Dates over (b) the cumulative amount of Realized Loss Amortization Amounts with respect to that Class for all prior Distribution Dates. Underwriter Exemption --------------------- Prohibited Transaction Exemption 2002-41, 67 Fed Reg. 54487 (August 22, 2002), or any successor thereto. Underwriters ------------ Greenwich Capital Markets, Inc., Wachovia Capital Markets, LLC and Friedman, Billings, Ramsey & Co., Inc. Unutilized Funding Amount ------------------------- The Pre-Funded Amount, if any, immediately after the end of the Funding Period. Voting Rights ------------- The portion of the voting rights of all of the Certificates, which is allocated to any Certificate. With respect to any date of determination, the Offered Certificates shall be allocated 100% of all Voting Rights. The Voting Rights allocated to each Class of the Offered Certificates shall be the fraction, expressed as a percentage, the numerator of which is the Class Certificate Balance of such Class then outstanding and the denominator of which is the aggregate Stated Principal Balance of the Loans then outstanding. The Voting Rights allocated to each Class of Certificates shall be allocated among the Certificates of each such Class in accordance with their respective Percentage Interests. The Class X and the Class R Certificates will not have any Voting Rights. Yield Maintenance Agreement --------------------------- The Master Agreement (including the Schedule thereto and the Transactions thereunder each evidenced by a Confirmation (each as defined in the Yield Maintenance Agreement) dated as of January 30, 2004, by and between the Counterparty and the Trustee not in its individual capacity, but solely as trustee for the benefit of the Certificateholders of the Equity One ABS, Inc. Mortgage Pass-Through Certificates, Series 2004-1. Yield Maintenance Stated Termination ------------------------------------ November 27, 2006, subject to the Following Business Day Convention (as such term is defined in the Yield Maintenance Agreement).

Targeted Overcollateralization Amount. As of any Distribution Date, (a) prior to the Stepdown Date, the sum of (i) 4.353.15% of the Initial Aggregate Trust Fund Cut-off Date Pool Principal Balance and (ii) the Aggregate Class B Early Distribution Amount, and (b) on and after the Stepdown Date, the lesser of (i) the sum of (A) 4.353.15% of the Initial Aggregate Trust Fund Cut-off Date Pool Principal Balance and (B) the Aggregate Class B Early Distribution Amount and (ii) the greater of (A) the excess of (I) 13.7014.20% of the Pool Principal Balance as of the last day of the related Due Period over (II) the excess of (x) the sum of the Class Certificate Balances of the Class B-1 B-1, Class B-2, Class B-3 and Class B-2 B-4 Certificates as of the Closing Date over (y) the aggregate of distributions made in respect of principal to the Class B-1 B-1, Class B-2, Class B-3 and Class B-2 B-4 Certificates on all prior Distribution Dates and (B) 0.50% of the Initial Aggregate Trust Fund Cut-off Date Pool Principal Balance. With respect to any Distribution Date on which a Trigger Event is in effect, the Targeted Overcollateralization Amount will be equal to the Targeted Overcollateralization Amount for the immediately preceding Distribution Date Tax Matters Person ------------------ The person designated as "tax matters person" in the manner provided under Treasury regulation ss.1.860F-4(d) and temporary Treasury regulation ss.301.6231(a)(7)-1T. Initially, the Tax Matters Person shall be the Trustee. Tax Matters Person Certificate ------------------------------ The Class R Certificate with a Denomination of .00001%. Termination Price ----------------- As defined in Section 9.01. Transfer -------- Any direct or indirect transfer or sale of any Ownership Interest in a Class R Certificate. Transfer Affidavit ------------------ As defined in Section 5.02(c). Transferor Certificate ---------------------- As defined in Section 5.02(b). Trigger Event ------------- With respect to any Distribution Date, if (a) the six-month rolling average of 60+ Day Delinquent Loans equals or exceeds 37.60% of the Senior Enhancement Percentage or (b) the aggregate amount of Realized Losses incurred since the Initial Cut-off Date through the last day of the related Due Period divided by the Initial Aggregate Trust Fund Principal Balance exceeds the applicable percentages set forth below with respect to that Distribution Date: --------------------------------------------------------- ------------------------------------------------------------ Distribution Date Occurring In Percentage --------------------------------------------------------- ------------------------------------------------------------ February 2007 - January 2008 3.00% (or 3.40% if the Class Certificate Balance of the Class B-2 Certificates has been reduced to zero and no part of that reduction was due to the application of Realized Loss Amounts) for the first month plus an additional 1/12th of 1.80% (or 1/12th of 1.40% if the Class Certificate Balance of the Class B-2 Certificates has been reduced to zero and no part of that reduction was due to the application of Realized Loss Amounts) for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February 2008 - January 2009 4.80% for the first month plus an additional 1/12th of 1.25% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February 2009 - January 2010 6.05% for the first month plus an additional 1/12th of 0.60% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February 2010 - January 2011 6.65% for the first month plus an additional 1/12th of 0.35% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February 2011 - January 2012 7.00% for the first month plus an additional 1/12th of 0.25% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February 2012 and thereafter 7.25% --------------------------------------------------------- ------------------------------------------------------------ Trustee ------- JPMorgan Chase Bank and its successors and, if a successor trustee is appointed hereunder, such successor. Trustee Fee ----------- As to any Distribution Date, an amount equal to one-twelfth of the Trustee Fee Rate multiplied by the Aggregate Trust Fund Principal Balance as of such Distribution Date. Trustee Fee Rate ---------------- With respect to each Loan, 0.02% per annum. Trust Fund ---------- The corpus of the trust created hereunder consisting of (a) the Loans and all interest and principal received, or receivable, on or with respect thereto after the Cut-off Date to the extent not applied in computing the Cut-off Date Principal Balance thereof and all interest and principal payments on such Loans received prior to the Cut-off Date in respect of installments of interest and principal due thereafter; (b) the Pre-Funding Account, the Certificate Account, the Distribution Account, the Net WAC Cap Account, the Reserve Fund and all amounts deposited therein pursuant to the applicable provisions of this Agreement; (c) property that secured a Loan and has been acquired by foreclosure, deed-in-lieu of foreclosure or otherwise; (d) the Yield Maintenance Agreement and (e) all proceeds of the conversion, voluntary or involuntary, of any of the foregoing. Trustee Permitted Withdrawal Amount ----------------------------------- Means an aggregate amount not to exceed (a) with respect to costs associated with the transitioning of servicing, $75,000 per servicing transition event and (b) with respect to amounts (other than the Trustee Fee) which are payable to the Trustee pursuant to Section 8.05 hereof, $150,000 per annum. Unpaid Realized Loss Amount --------------------------- For any Class of Subordinate Certificates and as to any Distribution Date, the excess of (a) the cumulative amount of Applied Realized Loss Amounts with respect to that Class for all prior Distribution Dates over (b) the cumulative amount of Realized Loss Amortization Amounts with respect to that Class for all prior Distribution Dates. Underwriter Exemption --------------------- Prohibited Transaction Exemption 2002-41, 67 Fed Reg. 54487 (August 22, 2002), or any successor thereto. Underwriters ------------ Greenwich Capital Markets, Inc., Wachovia Capital Markets, LLC and Friedman, Billings, Ramsey & Co., Inc. Unutilized Funding Amount ------------------------- The Pre-Funded Amount, if any, immediately after the end of the Funding Period. Voting Rights ------------- The portion of the voting rights of all of the Certificates, which is allocated to any Certificate. With respect to any date of determination, the Offered Certificates shall be allocated 100% of all Voting Rights. The Voting Rights allocated to each Class of the Offered Certificates shall be the fraction, expressed as a percentage, the numerator of which is the Class Certificate Balance of such Class then outstanding and the denominator of which is the aggregate Stated Principal Balance of the Loans then outstanding. The Voting Rights allocated to each Class of Certificates shall be allocated among the Certificates of each such Class in accordance with their respective Percentage Interests. The Class X and the Class R Certificates will not have any Voting Rights. Yield Maintenance Agreement --------------------------- The Master Agreement (including the Schedule thereto and the Transactions thereunder each evidenced by a Confirmation (each as defined in the Yield Maintenance Agreement) dated as of January 30, 2004, by and between the Counterparty and the Trustee not in its individual capacity, but solely as trustee for the benefit of the Certificateholders of the Equity One ABS, Inc. Mortgage Pass-Through Certificates, Series 2004-1. Yield Maintenance Stated Termination ------------------------------------ November 27, 2006, subject to the Following Business Day Convention (as such term is defined in the Yield Maintenance Agreement).

Targeted Overcollateralization Amount. As of any Distribution Date, (a) prior to the Stepdown Date, the sum of (i) 4.354.00% of the Initial Aggregate Trust Fund Cut-off Date Pool Principal Balance and (ii) the Aggregate Class B Early Distribution Amount, and (b) on and after the Stepdown Date, the lesser of (i) the sum of (A) 4.354.00% of the Initial Aggregate Trust Fund Cut-off Date Pool Principal Balance and (B) the Aggregate Class B Early Distribution Amount and (ii) the greater of (A) the excess of (I) 13.7012.00% of the Pool Principal Balance as of the last day of the related Due Period over (II) the excess of (x) the sum Class Certificate Balance of the Class Certificate Balances of the Class B-1 and Class B-2 B Certificates as of the Closing Date over (y) the aggregate of distributions made in respect of principal to the Class B-1 and Class B-2 B Certificates on all prior Distribution Dates and (B) 0.50% of the Initial Aggregate Trust Fund Cut-off Date Pool Principal Balance. With respect to any Distribution Date on which a Trigger Event is in effect, the Targeted Overcollateralization Amount will be equal to the Targeted Overcollateralization Amount for the immediately preceding Distribution Date Tax Matters Person ------------------ The person designated as "tax matters person" in the manner provided under Treasury regulation ss.1.860F-4(d) and temporary Treasury regulation ss.301.6231(a)(7)-1T. Initially, the Tax Matters Person shall be the Trustee. Tax Matters Person Certificate ------------------------------ The Class R Certificate with a Denomination of .00001%. Termination Price ----------------- As defined in Section 9.01. Transfer -------- Any direct or indirect transfer or sale of any Ownership Interest in a Class R Certificate. Transfer Affidavit ------------------ As defined in Section 5.02(c). Transferor Certificate ---------------------- As defined in Section 5.02(b). Trigger Event ------------- With respect to any Distribution Date, if (a) the six-month rolling average of 60+ Day Delinquent Loans equals or exceeds 37.6041.00% of the Senior Enhancement Percentage Percentage; provided, that if the Class Certificate Balance of the Senior Certificates has been reduced to zero, a Trigger Event will have occurred if the six-month rolling average of 60+ Day Delinquent Loans equals or exceeds 16.40% or (b) the aggregate amount of Realized Losses incurred since the Initial Cut-off Date through the last day of the related Due Period divided by the Initial Aggregate Trust Fund Cut-off Date Pool Principal Balance exceeds the applicable percentages set forth below with respect to that Distribution Date: --------------------------------------------------------- ------------------------------------------------------------ ----------------------------------------- -------------------------------------- Distribution Date Occurring In Percentage --------------------------------------------------------- ------------------------------------------------------------ February ----------------------------------------- -------------------------------------- May 2006 - April 2007 3.50% ----------------------------------------- -------------------------------------- May 2007 - January April 2008 3.004.25% (or 3.40% if the Class Certificate Balance of the Class B-2 Certificates has been reduced to zero and no part of that reduction was due to the application of Realized Loss Amounts) for the first month plus an additional 1/12th of 1.80% (or 1/12th of 1.40% if the Class Certificate Balance of the Class B-2 Certificates has been reduced to zero and no part of that reduction was due to the application of Realized Loss Amounts) for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February ----------------------------------------- -------------------------------------- May 2008 - January April 2009 4.804.75% for the first month plus an additional 1/12th of 1.25% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February ----------------------------------------- -------------------------------------- May 2009 - January 2010 6.05% for the first month plus an additional 1/12th of 0.60% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February 2010 - January 2011 6.65% for the first month plus an additional 1/12th of 0.35% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February 2011 - January 2012 7.00% for the first month plus an additional 1/12th of 0.25% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February 2012 and thereafter 7.255.25% --------------------------------------------------------- ------------------------------------------------------------ ----------------------------------------- -------------------------------------- Trustee ------- JPMorgan Chase Bank and its successors and, if a successor trustee is appointed hereunder, such successor. Trustee Fee ----------- As to any Distribution Date, an amount equal to one-twelfth of the Trustee Fee Rate multiplied by the Aggregate Trust Fund Pool Principal Balance as of such Distribution Date. Trustee Fee Rate ---------------- With respect to each Loan, 0.02% per annum. Trust Fund ---------- The corpus of the trust created hereunder consisting of (a) the Loans and all interest and principal received, or receivable, on or with respect thereto after the Cut-off Date to the extent not applied in computing the Cut-off Date Principal Balance thereof and all interest and principal payments on such Loans received prior to the Cut-off Date in respect of installments of interest and principal due thereafter; (b) the Pre-Funding Account, the Certificate Account, the Distribution Account, the Net WAC Cap Account, the Reserve Fund and all amounts deposited therein pursuant to the applicable provisions of this Agreement; (c) property that secured a Loan and has been acquired by foreclosure, deed-in-lieu of foreclosure or otherwise; (d) the Yield Maintenance Agreement Agreement; and (e) all proceeds of the conversion, voluntary or involuntary, of any of the foregoing. Trustee Permitted Withdrawal Amount ----------------------------------- Means an aggregate amount not to exceed (a) with respect to costs associated with the transitioning of servicing, $75,000 per servicing transition event and (b) with respect to amounts (other than the Trustee Fee) which are payable to the Trustee pursuant to Section 8.05 hereof, $150,000 per annum. Unpaid Realized Loss Amount --------------------------- For any Class of Subordinate Certificates and as to any Distribution Date, the excess of (a) the cumulative amount of Applied Realized Loss Amounts with respect to that Class for all prior Distribution Dates over (b) the cumulative amount of Realized Loss Amortization Amounts with respect to that Class for all prior Distribution Dates. Underwriter Exemption --------------------- Prohibited Transaction Exemption 2002-41, 67 Fed Reg. 54487 (August 22, 2002), or any successor thereto. Underwriters ------------ Greenwich Capital Markets, Inc., Wachovia Capital Markets, LLC and Friedman, Billings, Ramsey & Co., Inc. Unutilized Funding Amount ------------------------- The Pre-Funded Amount, if any, immediately after the end of the Funding Period. Voting Rights ------------- The portion of the voting rights of all of the Certificates, which is allocated to any Certificate. With respect to any date of determination, the Offered Certificates shall be allocated 100% of all Voting Rights. The Voting Rights allocated to each Class of the Offered Certificates shall be the fraction, expressed as a percentage, the numerator of which is the Class Certificate Balance of such Class then outstanding and the denominator of which is the aggregate Stated Principal Balance of the Loans then outstanding. The Voting Rights allocated to each Class of Certificates shall be allocated among the Certificates of each such Class in accordance with their respective Percentage Interests. The Class X and the Class R Certificates will not have any Voting Rights. Yield Maintenance Agreement --------------------------- The Master Agreement (including the Schedule thereto and the Transactions transactions thereunder each evidenced by a Confirmation (each as defined in the Yield Maintenance Agreementconfirmation) dated as of January April 30, 20042003, by and between the Counterparty and the Trustee not in its individual capacityTrustee, but solely a copy of which is attached hereto as trustee for the benefit of the Certificateholders of the Equity One ABS, Inc. Mortgage Pass-Through Certificates, Series 2004-1. Exhibit L. Yield Maintenance Stated Termination ------------------------------------ November 27January 25, 2006, subject to the Following Business Day Convention (as such term is defined in the Yield Maintenance Agreement).

Targeted Overcollateralization Amount. As of any Distribution Date, (a) prior to the Stepdown Date, the sum of (i) 4.352.55% of the Initial Aggregate Trust Fund Cut-off Date Pool Principal Balance and (ii) the Aggregate Class B Early Distribution Amount, and (b) on and after the Stepdown Date, the lesser of (i) the sum of (A) 4.352.55% of the Initial Aggregate Trust Fund Cut-off Date Pool Principal Balance and (B) the Aggregate Class B Early Distribution Amount and (ii) the greater of (A) the excess of (I) 13.7010.10% of the Pool Principal Balance as of the last day of the related Due Period over (II) the excess of (x) the sum of the Class Certificate Balances of the Class B-1 B-1, Class B-2 and Class B-2 B-3 Certificates as of the Closing Date over (y) the aggregate of distributions made in respect of principal to the Class B-1 B-1, Class B-2 and Class B-2 B-3 Certificates on all prior Distribution Dates and (B) 0.50% of the Initial Aggregate Trust Fund Cut-off Date Pool Principal Balance. With respect to any Distribution Date on which a Trigger Event is in effect, the Targeted Overcollateralization Amount will be equal to the Targeted Overcollateralization Amount for the immediately preceding Distribution Date Date. Tax Matters Person ------------------ The person designated as "tax matters person" in the manner provided under Treasury regulation ss.1.860F-4(d) and temporary Treasury regulation ss.301.6231(a)(7)-1T. Initially, the Tax Matters Person shall be the Trustee. Tax Matters Person Certificate ------------------------------ The Class R Certificate with a Denomination of .00001%. Termination Price ----------------- As defined in Section 9.01. Transfer -------- Any direct or indirect transfer or sale of any Ownership Interest in a Class R Certificate. Transfer Affidavit ------------------ As defined in Section 5.02(c). Transferor Certificate ---------------------- As defined in Section 5.02(b). Trigger Event ------------- With respect to any Distribution Date, if (a) the six-month rolling average of 60+ Day Delinquent Loans equals or exceeds 37.6042.00% of the Senior Enhancement Percentage or (b) the aggregate amount of Realized Losses incurred since the Initial Cut-off Date through the last day of the related Due Period divided by the Initial Aggregate Trust Fund Cut-off Date Pool Principal Balance exceeds the applicable percentages set forth below with respect to that Distribution Date: --------------------------------------------------------- ------------------------------------------------------------ ------------------------------------------------------------------------------------------------------------------------- Distribution Date Occurring In Percentage --------------------------------------------------------- ------------------------------------------------------------ February ------------------------------------------------------------------------------------------------------------------------- December 2007 - January November 2008 3.00% (or 3.403.25% if the Class Certificate Balance Balances of the Class B-1, Class B-2 and Class B-3 Certificates has have been reduced to zero and no part of that reduction was due to the application of Realized Loss Amounts) for the first month plus an additional 1/12th of 1.801.50% (or 1/12th of 1.402.00% if the Class Certificate Balance Balances of the Class B-1, Class B-2 and Class B-3 Certificates has have been reduced to zero and no part of that reduction was due to the application of Realized Loss Amounts) for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February ------------------------------------------------------------------------------------------------------------------------- December 2008 - January November 2009 4.804.50% (or 5.25% if the Class Certificate Balances of the Class B-1, Class B-2 and Class B-3 Certificates have been reduced to zero and no part of that reduction was due to the application of Realized Loss Amounts) for the first month plus an additional 1/12th of 1.250.75% (or 1/12th of 1.50% if the Class Certificate Balances of the Class B-1, ------------------------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------------------------------------- Distribution Date Occurring In Percentage ------------------------------------------------------------------------------------------------------------------------- Class B-2 and Class B-3 Certificates have been reduced to zero and no part of that reduction was due to the application of Realized Loss Amounts) for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February ------------------------------------------------------------------------------------------------------------------------- December 2009 - January November 2010 6.055.25% (or 6.75% if the Class Certificate Balances of the Class B-1, Class B-2 and Class B-3 Certificates have been reduced to zero and no part of that reduction was due to the application of Realized Loss Amounts) for the first month plus an additional 1/12th of 0.600.75% (or 1/12th of 1.00% if the Class Certificate Balances of the Class B-1, Class B-2 and Class B-3 Certificates have been reduced to zero and no part of that reduction was due to the application of Realized Loss Amounts) for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February ------------------------------------------------------------------------------------------------------------------------- December 2010 - January 2011 6.65% for the first month plus an additional 1/12th of 0.35% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February 2011 - January 2012 7.00% for the first month plus an additional 1/12th of 0.25% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February 2012 and thereafter 7.256.00% --------------------------------------------------------- ------------------------------------------------------------ (or 7.75% if the Class Certificate Balances of the Class B-1, Class B-2 and Class B-3 Certificates have been reduced to zero and no part of that reduction was due to the application of Realized Loss Amounts) ------------------------------------------------------------------------------------------------------------------------- Trustee ------- JPMorgan Chase Bank Bank, N.A. and its successors and, if a successor trustee is appointed hereunder, such successor. Trustee Fee ----------- As to any Distribution Date, an amount equal to one-twelfth of the Trustee Fee Rate multiplied by the Aggregate Trust Fund Pool Principal Balance as of such Distribution Date. Trustee Fee Rate ---------------- With respect to each Loan, 0.02% per annum. Trust Fund ---------- The corpus of the trust created hereunder consisting of (a) the Loans and all interest and principal received, or receivable, on or with respect thereto after the Cut-off Date to the extent not applied in computing the Cut-off Date Principal Balance thereof and all interest and principal payments on such Loans received prior to the Cut-off Date in respect of installments of interest and principal due thereafter; (b) the Pre-Funding Account, the Certificate Account, the Distribution Account, the Net WAC Cap Account, the Reserve Fund and all amounts deposited therein pursuant to the applicable provisions of this Agreement; (c) property that secured a Loan and has been acquired by foreclosure, deed-in-lieu of foreclosure or otherwise; (d) the Yield Maintenance Agreement and (e) all proceeds of the conversion, voluntary or involuntary, of any of the foregoing. Trustee Permitted Withdrawal Amount ----------------------------------- Means an aggregate amount not to exceed (a) with respect to costs associated with the transitioning of servicing, $75,000 per servicing transition event and (b) with respect to amounts (other than the Trustee Fee) which are payable to the Trustee pursuant to Section 8.05 hereof, $150,000 per annum. Unpaid Realized Loss Amount --------------------------- For any Class of Subordinate Certificates or the Class AV-1B Certificates and as to any Distribution Date, the excess of (a) the cumulative amount of Applied Realized Loss Amounts with respect to that Class for all prior Distribution Dates over (b) the cumulative amount of Realized Loss Amortization Amounts with respect to that Class for all prior Distribution Dates. Underwriter Exemption --------------------- Prohibited Transaction Exemption 2002-41, 67 Fed Reg. 54487 (August 22, 2002), or any successor thereto. Underwriters ------------ Greenwich Capital Markets, Inc., Wachovia Capital Markets, LLC Inc. and Friedman, Billings, Ramsey ▇▇▇▇▇▇ & Co., Inc. Unutilized Funding Amount ------------------------- The Pre-Funded Amount, if any, immediately after the end of the Funding Period. Voting Rights ------------- The portion of the voting rights of all of the Certificates, which is allocated to any Certificate. With respect to any date of determination, the Offered Certificates shall be allocated 100% of all Voting Rights. The Voting Rights allocated to each Class of the Offered Certificates shall be the fraction, expressed as a percentage, the numerator of which is the Class Certificate Balance of such Class then outstanding and the denominator of which is the aggregate Stated Principal Balance of the Loans then outstanding. The Voting Rights allocated to each Class of Certificates shall be allocated among the Certificates of each such Class in accordance with their respective Percentage Interests. The Class X and the Class R Certificates will not have any Voting Rights. Yield Maintenance Agreement --------------------------- The Master Agreement (including the Schedule thereto and the Transactions thereunder each evidenced by a Confirmation (each as defined in the Yield Maintenance Agreement) dated as of January 30November 24, 2004, by and between the Counterparty and the Trustee not in its individual capacity, but solely as trustee for the benefit of the Certificateholders of the Equity One Popular ABS, Inc. Mortgage Pass-Through Certificates, Series 2004-15. Yield Maintenance Stated Termination ------------------------------------ November 27September 25, 2006, 2007 subject to the Following Business Day Convention (as such term is defined in the Yield Maintenance Agreement).

Targeted Overcollateralization Amount. As of any Distribution Date, (a) prior to the Stepdown Date, the sum of (i) 4.353.15% of the Initial Aggregate Trust Fund Cut-off Date Pool Principal Balance and (ii) the Aggregate Class B Early Distribution Amount, and (b) on and after the Stepdown Date, the lesser of (i) the sum of (A) 4.353.15% of the Initial Aggregate Trust Fund Cut-off Date Pool Principal Balance and (B) the Aggregate Class B Early Distribution Amount and (ii) the greater of (A) the excess of (I) 13.7013.10% of the Pool Principal Balance as of the last day of the related Due Period over (II) the excess of (x) the sum of the Class Certificate Balances of the Class B-1 B-1, Class B-2 and Class B-2 B-3 Certificates as of the Closing Date over (y) the aggregate of distributions made in respect of principal to the Class B-1 B-1, Class B-2 and Class B-2 B-3 Certificates on all prior Distribution Dates and (B) 0.50% of the Initial Aggregate Trust Fund Cut-off Date Pool Principal Balance. With respect to any Distribution Date on which a Trigger Event is in effect, the Targeted Overcollateralization Amount will be equal to the Targeted Overcollateralization Amount for the immediately preceding Distribution Date Tax Matters Person ------------------ The person designated as "tax matters person" in the manner provided under Treasury regulation ss.1.860F-4(d) and temporary Treasury regulation ss.301.6231(a)(7)-1T. Initially, the Tax Matters Person shall be the Trustee. Tax Matters Person Certificate ------------------------------ The Class R Certificate with a Denomination of .00001%. Termination Price ----------------- As defined in Section 9.01. Transfer -------- Any direct or indirect transfer or sale of any Ownership Interest in a Class R Certificate. Transfer Affidavit ------------------ As defined in Section 5.02(c). Transferor Certificate ---------------------- As defined in Section 5.02(b). Trigger Event ------------- With respect to any Distribution Date, if (a) the six-month rolling average of 60+ Day Delinquent Loans equals or exceeds 37.6038.35% of the Senior Enhancement Percentage or (b) the aggregate amount of Realized Losses incurred since the Initial Cut-off Date through the last day of the related Due Period divided by the Initial Aggregate Trust Fund Cut-off Date Pool Principal Balance exceeds the applicable percentages set forth below with respect to that Distribution Date: --------------------------------------------------------- ------------------------------------------------------------ Distribution Date Occurring In Percentage --------------------------------------------------------- ------------------------------------------------------------ February -------------------------------------------------------------------------------- August 2007 - January July 2008 3.002.75% (or 3.403.25% if the Class Certificate Balance Balances of both the Class B-2 Certificates has and Class B-3 Certificates have been reduced to zero and no part of that reduction was due to the application of Realized Loss Amounts) for the first month plus an additional 1/12th of 1.801.75% (or 1/12th of 1.401.25% if the Class Certificate Balance Balances of both the Class B-2 Certificates has and Class B-3 Certificates have been reduced to zero and no part of that reduction was due to the application of Realized Loss Amounts) for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February -------------------------------------------------------------------------------- August 2008 - January July 2009 4.804.50% for the first month plus an additional 1/12th of 1.251.50% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February -------------------------------------------------------------------------------- August 2009 - January July 2010 6.056.00% for the first month plus an additional 1/12th of 0.601.00% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February -------------------------------------------------------------------------------- August 2010 - January 2011 6.65% for the first month plus an additional 1/12th of 0.35% for each month and thereafter --------------------------------------------------------- ------------------------------------------------------------ February 2011 - January 2012 7.00% for the first month plus an additional 1/12th of 0.25% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February 2012 and thereafter 7.25% --------------------------------------------------------- ------------------------------------------------------------ Trustee ------- -------------------------------------------------------------------------------- JPMorgan Chase Bank and its successors and, if a successor trustee is appointed hereunder, such successor. Trustee Fee ----------- As to any Distribution Date, an amount equal to one-twelfth of the Trustee Fee Rate multiplied by the Aggregate Trust Fund Pool Principal Balance as of such Distribution Date. Trustee Fee Rate ---------------- With respect to each Loan, 0.02% per annum. Trust Fund ---------- The corpus of the trust created hereunder consisting of (a) the Loans and all interest and principal received, or receivable, on or with respect thereto after the Cut-off Date to the extent not applied in computing the Cut-off Date Principal Balance thereof and all interest and principal payments on such Loans received prior to the Cut-off Date in respect of installments of interest and principal due thereafter; (b) the Pre-Funding Account, the Certificate Account, the Distribution Account, the Net WAC Cap Account, the Reserve Fund and all amounts deposited therein pursuant to the applicable provisions of this Agreement; (c) property that secured a Loan and has been acquired by foreclosure, deed-in-lieu of foreclosure or otherwise; (d) the Yield Maintenance Agreement and (e) all proceeds of the conversion, voluntary or involuntary, of any of the foregoing. Trustee Permitted Withdrawal Amount ----------------------------------- Means an aggregate amount not to exceed (a) with respect to costs associated with the transitioning of servicing, $75,000 per servicing transition event and (b) with respect to amounts (other than the Trustee Fee) which are payable to the Trustee pursuant to Section 8.05 hereof, $150,000 per annum. Unpaid Realized Loss Amount --------------------------- For any Class of Subordinate Certificates and as to any Distribution Date, the excess of (a) the cumulative amount of Applied Realized Loss Amounts with respect to that Class for all prior Distribution Dates over (b) the cumulative amount of Realized Loss Amortization Amounts with respect to that Class for all prior Distribution Dates. Underwriter Exemption --------------------- Prohibited Transaction Exemption 2002-41, 67 Fed Reg. 54487 (August 22, 2002), or any successor thereto. Underwriters ------------ Greenwich Capital Markets, Inc., Wachovia Capital Markets, LLC and Friedman, Billings, Ramsey & Co., Inc. Unutilized Funding Amount ------------------------- The Pre-Funded Amountand Wachovia Capital Markets, if any, immediately after the end of the Funding PeriodLLC. Voting Rights Vot▇▇▇ ▇▇ghts ------------- The portion of the voting rights of all of the Certificates, which is allocated to any Certificate. With respect to any date of determination, the Offered Certificates shall be allocated 100% of all Voting Rights. The Voting Rights allocated to each Class of the Offered Certificates shall be the fraction, expressed as a percentage, the numerator of which is the Class Certificate Balance of such Class then outstanding and the denominator of which is the aggregate Stated Principal Balance of the Loans then outstanding. The Voting Rights allocated to each Class of Certificates shall be allocated among the Certificates of each such Class in accordance with their respective Percentage Interests. The Class X and the Class R Certificates will not have any Voting Rights. Yield Maintenance Agreement --------------------------- The Master Agreement (including the Schedule thereto and the Transactions thereunder each evidenced by a Confirmation (each as defined in the Yield Maintenance Agreement) dated as of January 30, 2004, by and between the Counterparty and the Trustee not in its individual capacity, but solely as trustee for the benefit of the Certificateholders of the Equity One ABS, Inc. Mortgage Pass-Through Certificates, Series 2004-1. Yield Maintenance Stated Termination ------------------------------------ November 27, 2006, subject to the Following Business Day Convention (as such term is defined in the Yield Maintenance Agreement).

Targeted Overcollateralization Amount. As of any Distribution Date, (a) prior to the Stepdown Date, the sum of (i) 4.35% of the Initial Aggregate Trust Fund Principal Balance and (ii) the Aggregate Class B Early Distribution Amount, and (b) on and after the Stepdown Date, the lesser of (i) the sum of (A) 4.35% of the Initial Aggregate Trust Fund Principal Balance and (B) the Aggregate Class B Early Distribution Amount and (ii) the greater of (A) the excess of (I) 13.7012.90% of the Pool Principal Balance as of the last day of the related Due Period over (II) the excess of (x) the sum of the Class Certificate Balances of the Class B-1 and Class B-2 Certificates as of the Closing Date over (y) the aggregate of distributions made in respect of principal to the Class B-1 and Class B-2 Certificates on all prior Distribution Dates and (B) 0.50% of the Initial Aggregate Trust Fund Principal Balance. With respect to any Distribution Date on which a Trigger Event is in effect, the Targeted Overcollateralization Amount will be equal to the Targeted Overcollateralization Amount for the immediately preceding Distribution Date Tax Matters Person ------------------ The person designated as "tax matters person" in the manner provided under Treasury regulation ss.1.860F-4(d) and temporary Treasury regulation ss.301.6231(a)(7)-1T. Initially, the Tax Matters Person shall be the Trustee. Tax Matters Person Certificate ------------------------------ The Class R Certificate with a Denomination of .00001%. Termination Price ----------------- As defined in Section 9.01. Transfer -------- Any direct or indirect transfer or sale of any Ownership Interest in a Class R Certificate. Transfer Affidavit ------------------ As defined in Section 5.02(c). Transferor Certificate ---------------------- As defined in Section 5.02(b). Trigger Event ------------- With respect to any Distribution Date, if (a) the six-month rolling average of 60+ Day Delinquent Loans equals or exceeds 37.6037.25% of the Senior Enhancement Percentage or (b) the aggregate amount of Realized Losses incurred since the Initial Cut-off Date through the last day of the related Due Period divided by the Initial Aggregate Trust Fund Principal Balance exceeds the applicable percentages set forth below with respect to that Distribution Date: --------------------------------------------------------- ------------------------------------------------------------ Distribution Date Occurring In Percentage --------------------------------------------------------- ------------------------------------------------------------ February --------------------------------------- ---------------------------------------- May 2007 - January April 2008 3.003.25% (or 3.403.50% if the Class Certificate Balance of the Class B-2 Certificates has been reduced to zero and no part of that reduction was due to the application of Realized Loss AmountsLosses) for the first month plus an additional 1/12th of 1.802.00% (or 1/12th of 1.401.75% if the Class Certificate Balance of the Class B-2 Certificates has been reduced to zero and no part of that reduction was due to the application of Realized Loss AmountsLosses) for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February --------------------------------------- ---------------------------------------- May 2008 - January April 2009 4.805.25% for the first month plus an additional 1/12th of 1.25% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February --------------------------------------- ---------------------------------------- May 2009 - January April 2010 6.056.50% for the first month plus an additional 1/12th of 0.600.75% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February --------------------------------------- ---------------------------------------- May 2010 - January April 2011 6.657.25% for the first month plus an additional 1/12th of 0.350.50% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February --------------------------------------- ---------------------------------------- May 2011 - January 2012 7.00% for the first month plus an additional 1/12th of 0.25% for each month thereafter --------------------------------------------------------- ------------------------------------------------------------ February 2012 and thereafter 7.257.75% --------------------------------------------------------- ------------------------------------------------------------ --------------------------------------- ---------------------------------------- Trustee ------- JPMorgan Chase Bank and its successors and, if a successor trustee is appointed hereunder, such successor. Trustee Fee ----------- As to any Distribution Date, an amount equal to one-twelfth of the Trustee Fee Rate multiplied by the Aggregate Trust Fund Principal Balance as of such Distribution Date. Trustee Fee Rate ---------------- With respect to each Loan, 0.02% per annum. Trust Fund ---------- The corpus of the trust created hereunder consisting of (a) the Loans and all interest and principal received, or receivable, on or with respect thereto after the Cut-off Date to the extent not applied in computing the Cut-off Date Principal Balance thereof and all interest and principal payments on such Loans received prior to the Cut-off Date in respect of installments of interest and principal due thereafter; (b) the Pre-Funding Account, the Certificate Account, the Distribution Account, the Net WAC Cap Account, the Reserve Fund and all amounts deposited therein pursuant to the applicable provisions of this Agreement; (c) property that secured a Loan and has been acquired by foreclosure, deed-in-lieu of foreclosure or otherwise; (d) the Yield Maintenance Agreement and (e) all proceeds of the conversion, voluntary or involuntary, of any of the foregoing. Trustee Permitted Withdrawal Amount ----------------------------------- Means an aggregate amount not to exceed (a) with respect to costs associated with the transitioning of servicing, $75,000 per servicing transition event and (b) with respect to amounts (other than the Trustee Fee) which are payable to the Trustee pursuant to Section 8.05 hereof, $150,000 per annum. Unpaid Realized Loss Amount --------------------------- For any Class of Subordinate Certificates and as to any Distribution Date, the excess of (a) the cumulative amount of Applied Realized Loss Amounts with respect to that Class for all prior Distribution Dates over (b) the cumulative amount of Realized Loss Amortization Amounts with respect to that Class for all prior Distribution Dates. Underwriter Exemption --------------------- Prohibited Transaction Exemption 2002-41, 67 Fed Reg. 54487 (August 22, 2002), or any successor thereto. Underwriters ------------ Wachovia Capital Markets, LLC, Greenwich Capital Markets, Inc., Wachovia Capital Markets, LLC Inc. and Friedman, Billings, Ramsey & Co., Inc. Unutilized Funding Amount ------------------------- The Pre-Funded Amount, if any, immediately after the end of the Funding Period. Voting Rights ------------- The portion of the voting rights of all of the Certificates, which is allocated to any Certificate. With respect to any date of determination, the Offered Certificates shall be allocated 100% of all Voting Rights. The Voting Rights allocated to each Class of the Offered Certificates shall be the fraction, expressed as a percentage, the numerator of which is the Class Certificate Balance of such Class then outstanding and the denominator of which is the aggregate Stated Principal Balance of the Loans then outstanding. The Voting Rights allocated to each Class of Certificates shall be allocated among the Certificates of each such Class in accordance with their respective Percentage Interests. The Class X and the Class R Certificates will not have any Voting Rights. Yield Maintenance Agreement --------------------------- The Master Agreement (including the Schedule thereto and the Transactions thereunder each evidenced by a Confirmation (each as defined in the Yield Maintenance Agreement) dated as of January 30May 6, 2004, by and between the Counterparty and the Trustee not in its individual capacity, but solely as trustee for the benefit of the Certificateholders of the Equity One ABS, Inc. Mortgage Pass-Through Certificates, Series 2004-12. Yield Maintenance Stated Termination ------------------------------------ November 27February 25, 20062007, subject to the Following Business Day Convention (as such term is defined in the Yield Maintenance Agreement).