Treatment by the FDIC as Conservator or Receiver of Financial Assets Transferred by an Insured Depository Institution in Connection With a Securitization or Participation After September 30, 2010.

The Securitization Safe Harbor Rule addresses circumstances that may arise if the FDIC is appointed receiver or conservator for an insured depository institution (IDI) that has transferred financial assets in connection one or more securitization or participation transactions (“covered IDI”). If a securitization satisfies one of the sets of conditions established by the Securitization Safe Harbor Rule, the Rule provides that, depending on which set of conditions is satisfied, either (i) in the exercise of FDIC’s authority to repudiate or disclaim contracts, the FDIC shall not reclaim, recover or re-characterize as property of the institution or receivership the financial assets transferred as part of the securitization transaction, or (ii) if the FDIC repudiates the securitization agreement pursuant to which financial assets were transferred and does not pay damages within a specified period, or if the FDIC is in monetary default under a securitization for a specified period due to its failure to pay or apply collections received by it under the securitization documents, certain remedies will be available to investors on an expedited basis. By providing for these disclosures and recordkeeping requirements as conditions for eligibility for the Securitization Safe Harbor benefits, the FDIC seeks to improve the transparency of securitizations thereby reduce risks to the FDIC’s Deposit Insurance Fund. These recordkeeping and disclosure requirements meet the definition of information collections (ICs) under the Paperwork Reduction Act .

The latest form for Treatment by the FDIC as Conservator or Receiver of Financial Assets Transferred by an Insured Depository Institution in Connection With a Securitization or Participation After September 30, 2010. expires 2026-06-30 and can be found here.

IC 1 - Periodic disclosures of credit performance or changes to initial compensation arrangements under 12 CFR 360.6(b)(2)(i)(C) and (D)

Federal Enterprise Architecture: Economic Development - Financial Sector Oversight