New York Pooling and Servicing Agreement contemplating the sale of mortgage loans to Trustee for inclusion in the Trust Fund by the company

• Category: Real Estate - Mortgages and Deeds of Trust
• State: Multi-State
• Control #: US-EG-9219
• Format: Word; Rich Text

Description

Pooling and Servicing Agreement between MLCC Mortgage Investors, Inc., Merrill Lynch Credit Corporation and Bankers Trust Company of California, NA contemplating the sale of mortgage loans to Trustee for inclusion in the Trust Fund by the company dated The New York Pooling and Servicing Agreement (PSA) is a legal document that outlines the terms and conditions for the sale and transfer of mortgage loans from a company to a trustee, who will include them in a trust fund. This agreement is commonly used in the mortgage-backed securities industry in the United States. Here is a detailed description of what this agreement entails when contemplating the sale of mortgage loans to a trustee for inclusion in the trust fund: 1. Definitions and Parties: The PSA begins by defining key terms used throughout the agreement, such as "mortgage loans," "trustee," "service," "certificate holders," and "trust fund." It identifies the parties involved, including the company originating or owning the mortgage loans, the trustee acquiring the loans, and the service responsible for managing the loans. 2. Transfer and Sale of Mortgage Loans: The PSA specifies the terms and conditions for the transfer of mortgage loans from the company to the trustee. It covers aspects like loan schedules, loan file delivery, representations and warranties, and compliance with laws and regulations. It outlines the required documentation and procedures to ensure a valid and accurate transfer of ownership. 3. Creation and Management of the Trust Fund: The PSA details the establishment and management of the trust fund. This includes the creation of individual mortgage loan pools and the allocation of these loans into different classes or tranches based on risk profiles or payment priorities. It further explains the rights and responsibilities of certificate holders, such as distributions, voting rights, and reporting requirements. 4. Servicing and Administration: The PSA addresses the appointment of a service, an entity responsible for day-to-day loan administration, collection of payments, and communication with borrowers. It specifies the service's duties, including accounting, collections, foreclosure procedures, insurance claims, and property inspections. The agreement may outline the compensation structure and performance standards for the service's services. 5. Representations and Warranties: The PSA defines the representations and warranties made by the selling company regarding the mortgage loans. These include assertions about loan documentation, default status, compliance, and accuracy of loan information. It establishes the remedies available to the trustee or certificate holders in case of breaches of these representations and warranties. 6. Indemnification and Liability: The PSA addresses the indemnification provisions, outlining the responsibilities of each party for losses, damages, and liabilities incurred due to breaches or failures related to the mortgage loans or the PSA itself. It also outlines the procedures for asserting and resolving indemnification claims. It is important to note that there may be various types or versions of the New York Pooling and Servicing Agreement contemplating the sale of mortgage loans to a trustee for inclusion in the trust fund. These variations can emerge due to specific loan characteristics, investor requirements, or market conditions. However, the fundamental elements described above typically remain consistent, albeit with modifications to suit the particular transaction structure or objectives.

The New York Pooling and Servicing Agreement (PSA) is a legal document that outlines the terms and conditions for the sale and transfer of mortgage loans from a company to a trustee, who will include them in a trust fund. This agreement is commonly used in the mortgage-backed securities industry in the United States. Here is a detailed description of what this agreement entails when contemplating the sale of mortgage loans to a trustee for inclusion in the trust fund: 1. Definitions and Parties: The PSA begins by defining key terms used throughout the agreement, such as "mortgage loans," "trustee," "service," "certificate holders," and "trust fund." It identifies the parties involved, including the company originating or owning the mortgage loans, the trustee acquiring the loans, and the service responsible for managing the loans. 2. Transfer and Sale of Mortgage Loans: The PSA specifies the terms and conditions for the transfer of mortgage loans from the company to the trustee. It covers aspects like loan schedules, loan file delivery, representations and warranties, and compliance with laws and regulations. It outlines the required documentation and procedures to ensure a valid and accurate transfer of ownership. 3. Creation and Management of the Trust Fund: The PSA details the establishment and management of the trust fund. This includes the creation of individual mortgage loan pools and the allocation of these loans into different classes or tranches based on risk profiles or payment priorities. It further explains the rights and responsibilities of certificate holders, such as distributions, voting rights, and reporting requirements. 4. Servicing and Administration: The PSA addresses the appointment of a service, an entity responsible for day-to-day loan administration, collection of payments, and communication with borrowers. It specifies the service's duties, including accounting, collections, foreclosure procedures, insurance claims, and property inspections. The agreement may outline the compensation structure and performance standards for the service's services. 5. Representations and Warranties: The PSA defines the representations and warranties made by the selling company regarding the mortgage loans. These include assertions about loan documentation, default status, compliance, and accuracy of loan information. It establishes the remedies available to the trustee or certificate holders in case of breaches of these representations and warranties. 6. Indemnification and Liability: The PSA addresses the indemnification provisions, outlining the responsibilities of each party for losses, damages, and liabilities incurred due to breaches or failures related to the mortgage loans or the PSA itself. It also outlines the procedures for asserting and resolving indemnification claims. It is important to note that there may be various types or versions of the New York Pooling and Servicing Agreement contemplating the sale of mortgage loans to a trustee for inclusion in the trust fund. These variations can emerge due to specific loan characteristics, investor requirements, or market conditions. However, the fundamental elements described above typically remain consistent, albeit with modifications to suit the particular transaction structure or objectives.