Residual Interest definition

Residual Interest. The sole class of "residual interests" in a REMIC within the meaning of Section 860G(a)(2) of the Code.

Residual Interest means a beneficial ownership interest in the Issuer, as recorded on the Trust Register.

Residual Interest. An interest in the Upper Tier REMIC that is entitled to all distributions of principal and interest on the Class R Certificate other than distributions in respect of the Class SWR Interest and Class LTR Interest and distributions on the Class R Certificate in respect of Excess Interest.

Examples of Residual Interest in a sentence

• For the purposes of the REMIC election in respect of REMIC I, the REMIC I Regular Interests shall be designated as the Regular Interests in REMIC I and the Class R-I Interest shall be designated as the Residual Interest in REMIC I.

• The Class R-1 Residual Interest is hereby designated as the sole class of “residual interest” in REMIC I for purposes of Section 860G(a)(2) of the Code.

• The Class R-2 Residual Interest is hereby designated as the sole class of “residual interest” in REMIC II for purposes of Section 860G(a)(2) of the Code.

• On the Closing Date, the Company will acquire the REMIC I Regular Interests and the Class R-1 Residual Interest from the Trust as consideration for its transfer to the Trust of the Mortgage Loans and certain other assets and will be the owner of the REMIC I Regular Interests and the Class R-1 Residual Interest.

• Notwithstanding anything to the contrary contained herein, the Company is hereby authorized to retain from amounts otherwise distributable to the Holders of the Class R-2 Residual Interest on any Distribution Date sufficient funds to reimburse the Company for the payment of such tax (to the extent that the Company has not been previously reimbursed therefor).

More Definitions of Residual Interest

Residual Interest. An interest in a REMIC that is designated as a “residual interest” under the REMIC Provisions.

Residual Interest. The sole class of Residual Interests in a REMIC within the meaning of Section 860G(a)(2) of the Code.

Residual Interest means the residual interest in the Trust, which represents the right to the amount remaining, if any, after all prior distributions have been made under this Agreement, the Indenture and the Trust Agreement on each Distribution Date and certain other rights to receive amounts hereunder and under the Trust Agreement.

Residual Interest means the beneficial interest in the Issuer, as evidenced by the Certificate.

Residual Interest. The interest in the Trust Fund represented by amounts, if any, remaining in the Collection Account following termination of the Trust Fund after payments to the Class A Certificateholders (other than the Class A-R Certificateholder), the Class M Certificateholders and the Class B Certificateholders.

Residual Interest. As specified in the Preliminary Statement.

Residual Interest means any on-balance sheet asset that represents an interest (in- cluding a beneficial interest) created by a transfer that qualifies as a sale (in accord- ance with generally accepted accounting principles (GAAP)) of financial assets, whether through a securitization or other- wise, and that exposes a bank to credit risk directly or indirectly associated with the transferred assets that exceeds a pro rata share of the bank’s claim on the assets, whether through subordination provisions or other credit enhancement techniques. Resid- ual interests generally include credit-en- hancing I/Os, spread accounts, cash collat- eral accounts, retained subordinated inter- ests, other forms of over-collateralization, and similar assets that function as a credit enhancement. Residual interests further in- clude those exposures that, in substance, cause the bank to retain the credit risk of an asset or exposure that had qualified as a re- sidual interest before it was sold. Residual interests generally do not include interests purchased from a third party, except that purchased credit-enhancing I/Os are residual interests for purposes of the risk-based cap- ital treatment in this appendix.