Subprime definition

Subprime means having an investment grade of "B" or below.

Split View

AI-Powered Contracts

Draft, Review & Redline at the Speed of AI

Get StartedBook a Demo

Subprime lending shall mean, consistent with OCC guidance, lending to borrowers who exhibit credit characteristics indicating a higher risk of default than traditional bank lending customers.

Subprime lending shall mean lending to borrowers who exhibit characteristics indicating a significantly higher risk of default than traditional bank lending customers;

Examples of Subprime in a sentence

• Each Mortgage Loan that is an adjustable rate Mortgage Loan and that has a residential loan application date on or after September 13, 2007, complies in all material respects with the Interagency Statement on Subprime Mortgage Lending, 72 FR 37569 (July 10, 2007), regardless of whether the Mortgage Loan’s originator or Seller is subject to such statement as a matter of law.

• The Mortgage Loan is a Conventional Conforming Mortgage Loan, Government Mortgage Loan, Jumbo Mortgage Loan, Super Jumbo Mortgage Loan, Expanded Criteria Mortgage Loan, Subprime Mortgage Loan, Closed-End Second Lien Mortgage Loan, HELOC Mortgage Loan or Nonperforming/Subperforming Mortgage Loan, as applicable.

• A Buydown is a reduction in the aggregate amount of the Warehousing Advances outstanding against Subprime Mortgage Loans, but does not represent the prepayment of any particular Warehousing Advance, and does not entitle Borrower to the release of any Collateral.

• Notices shall be either personally served or shall be sent certified mail, return receipt requested and by regular first class mail to Buyer at Subprime Advantage, Inc., 5▇▇ ▇▇▇▇ ▇▇▇▇▇▇▇▇, ▇▇▇▇▇ ▇-▇▇▇, ▇▇▇ ▇▇▇▇▇, ▇▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇, and to Sellers at 5▇▇▇ ▇▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇, ▇▇▇▇ ▇▇▇, ▇▇▇ ▇▇▇▇▇, ▇▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇-▇▇▇▇, or such other addresses as either party may specify in writing to the other party.

• This Contract is entered into on April 1, 2010, between L▇▇▇▇▇▇▇ ▇▇▇ ▇▇▇▇ and J▇▇▇▇ ▇▇▇ ▇▇▇▇, husband and wife, as "Sellers" and, Subprime Advantage, Inc., a Nevada corporation as "Buyer".

• No Purchased Loan which is a Massachusetts Subprime Loan violates the Massachusetts Borrower’s Best Interest Statute (M.G.L. 183 § 28c) or is presumptively unfair under M.G.L. c 93A, as such term is defined in Massachusetts law and court decisions, no Purchased Loan is a Nevada Subprime Loan and no Purchased Loan violates any consent order or decree or any judicial, regulatory, administrative or other similar judgments, orders, stipulations, awards, writs or injunctions applicable to the Buyer.

• MC shall transmit the survey to all borrowers at the time of closing of Subprime Loans.

• The obligation to purchase any Subprime Loans identified in a Confirmation does not extend to any Loans that would violate any representation and warranty by Seller contained in the LPA.

• The parties shall work with each other and GHR to improve the quality and nature of the back office services so as to reduce the time, cost and difficulty to the customer of obtaining a Subprime Loan.

• Subprime Loans closed and funded in MC's name shall be sold by MC to the appropriate Participating Lender or other lender.

More Definitions of Subprime

Subprime is a preface to the term "Mortgage Loan" meaning that such Mortgage Loan is not eligible for purchase by GNMA, FNMA or FHLMC.

Subprime mortgage loans were mortgages that did not meet the GSE criteria for creditworthiness of the borrower but purportedly satisfied loan underwriting criteria developed by their originators.

Subprime is defined as a credit card account having a FICO score of 660 or less.

Subprime is defined using the same borrower characteristics listed in the interagency Expanded Guidance for Subprime Lending Programs, released in January 2001. For purposes of this Agreement, "Subprime" is defined as a credit card account having a FICO score of 660 or less.

Subprime is a preface that means a Single-family Mortgage Loan is not eligible for purchase by GNMA, FNMA or FHLMC or for inclusion in a pool of Mortgage Loans that form the base or backing for MBS(s) eligible for issuance or guarantee by GNMA, FNMA or FHLMC; provided that nothing in this Agreement shall be construed as prohibiting the Company from pledging and borrowing hereunder against any Single-family Mortgage Loans that is eligible for GNMA, FNMA or FHLMC purchase or for inclusion in a GNMA, FNMA or FHLMC pool.