Cram Down Loss definition

Cram Down Loss means, with respect to any Receivable (other than a Defaulted Receivable) as to which any court in any bankruptcy, insolvency or other similar proceeding issues an order reducing the principal amount to be paid on such Receivable or otherwise modifies any payment terms with respect thereto, an amount equal to the greater of (i) the amount of the principal reduction ordered by such court and (ii) the difference between the Principal Balance of such Receivable at the time of such court order and the net present value (using a discount rate which is the higher of the Contract Rate of such Receivable or the rate of interest specified by such court order) of the remaining scheduled payments to be paid on such Receivable as modified or restructured. A “Cram Down Loss” will be deemed to have occurred on the date of issuance of such court’s order.
Cram Down Loss means, with respect to a Receivable that has not become a Liquidated Receivable, if the Servicer expects the Principal Balance or effective rate of interest on the automobile loan contract to be reduced by a court of appropriate jurisdiction in a proceeding related to an Insolvency Event, the Servicer’s estimate of the reduction in the Principal Balance that will be so ordered by the court.
Cram Down Loss means, with respect to a Contract, if a court of appropriate jurisdiction in an insolvency proceeding shall have issued an order reducing the Principal Balance of such Contract, the amount of such reduction (with a “Cram Down Loss” being deemed to have occurred on the date of issuance of such order).

Examples of Cram Down Loss in a sentence

  • In no event shall the principal balance of a Receivable be reduced, except in connection with a settlement in the event the Receivable becomes a Defaulted Receivable or a Cram Down Loss occurs.

  • The "PRINCIPAL BALANCE" means, with respect to a Contract, as of any date, the amount financed under the terms of such Contract minus (i) that portion of monthly principal and interest payments in respect of such Contract received on or prior to the end of the most recently ended Collection Period and allocable to principal as determined by the Servicer and (ii) any Cram Down Loss incurred in respect of such Contract on or prior to the end of the most recently ended Collection Period.

  • A Cram Down Loss will be deemed to have occurred on the date of issuance of such order.

  • A "Cram Down Loss" shall be deemed to have occurred on the date such order is entered.

  • Cram Down Losses: If, during an insolvency proceeding, a court issued an order which reduces the amount owed on a Loan, a Cram Down Loss is the amount equal to such reduction in principal balance.


More Definitions of Cram Down Loss

Cram Down Loss means, with respect to a Receivable (other than a Liquidated Receivable), if a court of appropriate jurisdiction in an insolvency proceeding issues a ruling that reduces the amount owed on a Receivable or otherwise modifies or restructures the Scheduled Receivable Payments to be made thereon, an amount equal to the sum of (a) the Principal Balance of the Receivable immediately prior to such order minus the Principal Balance of such Receivable as so reduced, modified or restructured, plus (b) if such court shall have issued an order reducing the effective rate of interest on such Receivable, an amount equal to the excess of (i) the net present value (using as a discount rate a rate equal to the adjusted APR on such Receivable) of the Scheduled Receivable Payments as so modified or restructured over (ii) the net present value (using as a discount rate a rate equal to the original APR on such Receivable) of the Scheduled Receivable Payments as so modified or restructured. A Cram Down Loss will be deemed to have occurred on the date of issuance of such order.
Cram Down Loss. With respect to a Home Equity Loan, if a court of appropriate jurisdiction in an insolvency proceeding shall have issued an order reducing the Loan Balance of such Home Equity Loan, the amount of such reduction. A “Cram Down Loss” shall be deemed to have occurred on the date of issuance of such order.
Cram Down Loss means, with respect to a Receivable that has not become a Liquidated Receivable, if a court of appropriate jurisdiction in a proceeding related to an Insolvency Event shall have issued an order reducing the amount owed on a Receivable, an amount equal to the excess of the Principal Balance of such Receivable immediately prior to such order over the Principal Balance of such Receivable as so reduced. A “Cram Down Loss” shall be deemed to have occurred on the date of issuance of such order.
Cram Down Loss means, with respect to a Receivable, any loss resulting from an order issued by a court of appropriate jurisdiction in an insolvency proceeding that reduces the amount owed on a Receivable or otherwise modifies or restructures the scheduled payments to be made thereon. The amount of any such Cram Down Loss will equal the excess of (i) the Principal Balance of the Receivable immediately prior to such order over (ii) the Principal Balance of such Receivable as so reduced, modified or restructured. A Cram Down Loss will be deemed to have occurred at the end of the Collection Period in which the Servicer enters the Cram Down Loss into its computer system (and Servicer shall make such entry within two Business Days after receipt of notice of such order).
Cram Down Loss shall be deemed to have occurred on the date of issuance of such order.
Cram Down Loss means, for any Receivable (other than a Purchased Receivable or a Liquidated Receivable), if a court of appropriate jurisdiction in an insolvency proceeding issued an order reducing the amount owed on the Receivable or otherwise modifying or restructuring the scheduled payments to be made on the Receivable, an amount equal to the excess of the Receivable's Principal Balance immediately prior to the order over the Receivable's Principal Balance as reduced.
Cram Down Loss means, for any Contract, if a court of appropriate jurisdiction in an insolvency proceeding issued an order reducing the amount owed on the Contract or otherwise modifying or restructuring the scheduled payments to be made on the Contract, an amount equal to (i) the excess of the Contract’s Principal Balance immediately prior to the order over the Contract’s Principal Balance as reduced and/or (ii) if the court issued an order reducing the effective interest rate on the Contract, the excess of the Contract Principal Balance immediately prior to the order over the Contract’s net present value, using as the discount rate the higher of the APR on the Contract or the rate of interest, if any, specified by the court in the order of the scheduled payments as so modified or restructured. A “Cram Down Loss” shall be deemed to have occurred on the order’s issuance date.