Waterfall. ▇▇▇▇▇ Fargo will apply the following waterfall, in the order listed below, until an Eligible Borrower’s Monthly Payment reaches a DTI of 31%. The DTI may be slightly higher than 31% if the next step or action within the waterfall will result in a DTI below 31%. Once a DTI as close as possible to 31% is reached, ▇▇▇▇▇ Fargo will not apply any additional steps in the waterfall, nor actions within a step. If any step in the waterfall is already achieved, ▇▇▇▇▇ Fargo will proceed to the subsequent step. If all steps of the waterfall have been exhausted and a DTI of 31% can not be achieved, ▇▇▇▇▇ Fargo is not required to offer a MAP2R modification. Following application of the waterfall all loans must pass the NPV test (as outlined in Section V.B.3) before a MAP2R modification must be offered. a. Waive all Accrued Interest, outstanding late charges, and outstanding fees. b. Escrow-related Advances, and Corporate and Default-Related Advances will first be capitalized, then immediately and permanently forgiven. If this forgiveness combined with the waiver of all Accrued Interest, outstanding late charges, and outstanding fees in Section “V.B.1.a.” does not equal a number that represents ten
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