Over Collateralization definition

Over Collateralization means, as of the last Business Day of any Accounting Month, an amount, as calculated by the Lender, equal to the positive amount, if any, by which the NPV of Scheduled Payments other than Excluded Scheduled Payments of all Leases in a Lease Pool exceeds one hundred ten percent (110%) of the outstanding Loans to the applicable Borrower as of such date. For purposes of calculating Over Collateralization, the NPV of such Scheduled Payments shall be discounted back to the first (1st) day of such month using the monthly equivalent of the Discount Rate (as determined by reference to LIBOR Loans) and further assuming that all such Scheduled Payments are payable on the fifteenth (15th) day of the calendar month in which such Scheduled Payment is due, regardless of the actual due date. Such calculation shall be made to reflect the amendments to Leases that a Borrower has documented in such prior Accounting Month as allowed under the Servicing Agreement and reported to Lender by the fourth (4th) day of the month such payment is due.
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Examples of Over Collateralization in a sentence

  • During the term hereof, the Investment Agreement Provider shall deposit all Cash Assets (other than Required Third Party Collateral) and the Holding Company shall deposit the Required Over Collateralization Deposits and any other contributions to the Investment Agreement Provider with the Collateral Agent in each case to be held by the Collateral Agent hereunder in the Collateral Account in accordance with the terms hereof and the Securities Account Control Agreement.

  • The Holding Company shall contribute to the Investment Agreement Provider the initial Required Over Collateralization Deposit and all subsequent Required Over Collateralization Deposits, which shall become Cash Assets and be deposited, held, invested and released as provided in the Collateral Management Agreement as part of the Collateral.

  • The Required Collateral Amount shall be calculated by multiplying (1) the value of all Qualified Investment Contracts by (2) one plus the Over Collateralization Percentage.

  • The Investment Agreement Provider shall apply its Cash Assets equal to or less than the Over Collateralization Percentage only as expressly permitted under the Related Agreements and for no other purpose.