Defaulted Receivable

Definition

A Defaulted Receivable in a securitisation context is a Transferred Receivable that has experienced any of pre-defined Credit Event types.

Details

The classification of a receivable as defaulted has implications as to

• how further cashflows associated with the receivable will be processed
• how any economic loss associated with the credit event is to be apportioned to the securitisation"'"s liabilities

Indicative Criteria for Defaulted Receivables

• a payment Instalment Due Date becoming Past Due
• the servicing of the loan has been transferred to specialized recovery (workout) servicer
• there has been Repossession of collateral
• the loan has been written off or terminated

Variations

None

Issues and Challenges

None

See Also

None

Disclaimer

• This information is provided as is without any representation of correctness, completeness or suitability for any purpose whatsoever. Refer to actual securitisation prospectuses for the definitive terms applicable in each case
• Definitions, detailed descriptions and other content may change at any time as further examples or relevant aspects are introduced