Precise Mortgage Funding No 1

A stand-alone non-conforming RMBS transaction from originator Charter Court Financial Services which trades as Precise Mortgages in the UK market. CCFS is both an originator and servicer of residential mortgage loans in the United Kingdom and is 100% owned by Charter Court Financial Services Group Limited, a private limited company established on 1 Oct 2008. The group and its affiliated group companies specialise in mortgage origination, mortgage servicing and asset management services.

The portfolio consists of 1,003 first-ranking loans originated by the originator between March and October 2013 and secured over properties located in England, Wales and/or Scotland. None are currently in arrears. The average account balance is £130,664, and there are only 4 loans of £600,000 or greater in the pool. Pool characteristics (by current balances): : BTL 34.9%, Self-employed borrowers 35.7%, First time buyer 7.4%. Loan purpose: home purchase 53.4%, refinancing 46.6%. Product type (by current balance): Fixed Rate Loan reverting to BBA LIBOR 57.6%, Floating Rate Loan linked to BBA LIBOR 25.0%, Fixed Rate Loan reverting to BBR 14.9%, Floating Rate Loan linked to BBR 2.5%. Redemption type: Re-payment Loans 67.4%, interest-only 32.6%.

The WA current LTV is 71.30% (original LTV was 71.40%), and the WA seasoning is 2.59mnths. Regional concentration (by current balance): South East inc London 36.0%, East Anglia 13.6%, North West 9.6%, and West Midlands 8.2%.


122a: Pursuant to the Subscription Agreement, the originator will undertake to retain a material net economic interest of not less than 5.0% in the securitisation pursuant to paragraphs (a) to (d) (as applicable) of Article 122a(l) of the Capital Requirements Directive. As at the closing date, such retention requirement will be satisfied by the originator holding the first loss tranche and other tranches having the same or a more severe risk profile than those transferred or sold to investors as required by Article 122a (comprising the Class Z Notes and the Subordinated Notes).


**The issuer has expressed an intention to gain Bank of England eligibility on the most senior tranche of this deal**

**The issuer has informed EuroABS that the Bank of England has accepted the senior tranche as eligible in the Bank of England Discount Window Facility**



Compare/contrast: Paragon Mortgages (No 18) plc, Residential Mortgage Securities No 27 plc, Rochester Financing No. 1