CRT-Eligible Profile Summary
Insurance Policy Key Terms - Sample
(CIRT 2023-9)
Insurance Structure:
Covered Loans:
Initial Principal Balance:
Limit of Liability:
Retention/First Loss Risk:
Monthly Premium Rate:
Step-Down of Limit Liability:
Aggregate excess of loss credit insurance
Portfolio of 21 to 30-year fixed-rate residential mortgage loans acquired
between October 1, 2022, and December 31, 2022
$11.52 Billion
2.35% of the total Initial Principal Balance ($271M)
1.65% of the total Initial Principal Balance ($190M)
0.0068% of remaining UPB
At 12 month following effective date, and each month thereafter, limit of liability shall be reduced to the
lesser of:
a) the Remaining Limit of Liability at such date, or
b) the greater of:
i. The following target Limit percentages:
a)
At 12-23 months after the effective date: total current UPB x 115% of limit of liability %;
b)
ii.
At 24 and greater months after the effective date: total current UPB x limit of liability%, or
The following non-performing triggers:
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© 2024 Fannie Mae
Cancellation:
a) At 12-23 months after the effective date: 650% of (SDQ+REO) UPB,
b)
At 24-35 months after the effective date: 425% of (SDQ+REO) UPB,
At 36-59 months after the effective date: 300% of (SDQ+REO) UPB,
d)
At 60 and greater months after the effective date: 200% of (SDQ+REO) UPB
12.5-year term. Fannie Mae may terminate coverage on/after the 5-year anniversary, and early termination
fee paid if early termination option exercised between 5-year and 10-year anniversary. Also subject to a
10% clean-up call, and if exercised no termination fee will be paid.View entire presentation