SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (date of earliest event reported): May 27, 1997
FINANCIAL ASSET SECURITIES CORP.,
(as depositor under the Pooling and Servicing
Agreement, dated as of August 1, 1996, providing
for the issuance of Financial Asset Securities Corp.,
Mego Mortgage FHA Title I Loan Trust 1996-2,
FHA Title I Loan Asset-Backed Certificates,
Series 1996-2).
(Exact name of registrant as specified in its charter)
Delaware 33-99018 41-1849055
(State or Other Jurisdiction (Commission (I.R.S.
Employer
of Incorporation) File Number) Identification No.)
600 Steamboat Road
Greenwich, Connecticut 06830
(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code: (203) 625-2700
Item 5. Other Events
On behalf of Mego Mortgage FHA Title I Loan
Trust 1996-2, FHA Title I Loan Asset-Backed
Certificates, Series 1996-2, a Trust created
pursuant to the Pooling and Servicing
Agreement, dated August 1, 1996, by First Trust
of New York, National Association, as trustee for
the Trust, the Trustee has caused to be filed with
the Commission, the Monthly Report dated May
27, 1997. The Monthly Report is filed pursuant
to and in accordance with (1) numerous no-
action letters (2) current Commission policy in
the area. The filing of the Monthly Report will
occur subsequent to each monthly distribution to
the holders of the Certificates, Due August 25,
2017.
A. Monthly Report Information:
Aggregate distribution information for the current
distribution date May 27, 1997.
Principal Interest Ending Balance
Cede & Co $1,144,170.47 $301,195.57 $42,465,588.19
B. No delinquency in payment under the Certificate
Guaranty Insurance Policy has occurred.
C. Have any deficiencies occurred? NO.
Date:
Amount:
D. Were any amounts paid or are any amounts payable
under the Certificate Guaranty Insurance Policy? NO
Amount:
E. Are there any developments with respect to the
Certificate Insurance Guaranty Policy? NONE.
F. Item 1: Legal Proceedings: NONE
G. Item 2: Changes in Securities: NONE
H Item 4: Submission of Matters to a Vote of
Certificatholders: NONE
I. Item 5: Other Information - Form 10-Q, Part II - Items
1,2,4,5 if applicable: NOT APPLICABLE
Item 7. Monthly Statements and Exhibits
Exhibit No.
1. Monthly Distribution Report dated May 27, 1997.
MEGO MORTGAGE CORPORATION
FHA TITLE I LOAN ASSET-BACKED CERTIFICATES
SERIES 1996-2
CERTIFICATE HOLDERS' REPORT
Distribution Date: 27-May-97
Beginning Ending
Certificate Principal Interest Total Certificate
Class Balance DistributionDistribution Distribution Balance
A 43609758.66 1144170.47 264384.16 1408554.63 42465588.19
S 44173688.39 NA 36811.41 36811.41 42884851.12
R NA NA 0.00 0.00 NA
Total 43609758.66 1144170.47 301195.57 1445366.04 42465588.19
AMOUNTS PER $1,000 UNIT
Ending Current
Principal Interest Total Certificate Pass-Through
ClassDistribution DistributionDistribution Balance Interest Rate
A 23.57316009 5.44706430 29.02022439 874.91167951 7.2750%
S (a) 0.00000000 0.75461971 0.75461971 879.12291032 1.0000%
Trustee's Certificate
Pooling and Servicing Agreement Dated March 21, 1996
i) Interest from Mortgagors / Master Servicer 507788.16
Interest from Purchased Loans 0.00
Interest from Defaulted Mortgage Loans 2562.08
510350.24
Principal Collections (Regular Installments) 60559.50
Principal Collections (Curtailments and Paid in Fulls) 798665.61
Principal from Purchased Loans 0.00
Principal from Defaulted Mortgage Loans 161889.45
1021114.56
Collected Amount 1531464.80
Deposits Pursuant to Sec. 4.03 (e) - Reserve Account Deposits 0.00
Amount Deposited Pursuant to Section 2.04 (d) Substitutions 870.19
Distribution Amount 1532334.99
Insured Payments 0.00
Amount Available 1532334.99
ii) Pool Balance Information:
Beginning Pool Balance 44173688.39
less: Principal Collections 859225.11
less: Principal Losses 43314463.28
Ending Pool Balance 429612.16
Before After
iii) Class A Factors: Distributions Distributions
Class A Distributions Distributions
Computed Distributed
Computed Distributed
Amount Amount Shortfall
iv) Class A Monthly Interest Amount Amount Amount Shortfall
Class A Principal Distribution Amount 264384.16 264384.16 0.00
(limited to the Overcolleralization Amount)
Class A Distribution of 0.00 0.00 0.00
Distributable Excess Spread
Class A Guaranteed Distribution 0.00 0.00 0.00
v) Excess Spread 0.00
Distributable Excess Spread 0.00
vi) FHA Premium Account Deposit 9138.80
Servicer Fee 8777.94
Master Servicer Fee 36811.41
Master Servicer Reimbursement 2944.91
Trustee Fee 0.00
Premium 1840.57
Reimbursement Amount distributed to the Certificate Insurer 13432.00
Successor Master Servicer Fees 0.00
Priority Expenses 0.00
Excess Claim Amount 0.00
vii) Collateral Performance Percentages
30+ Delinquency Percentage (Rolling Three Month) 6.6652%
60+ Delinquency Percentage (Rolling Three Month) 3.3813%
Annual Default Percentage (Three Month Average) 8.7239%
Cumulative Default Percentage 2.9358%
viii) Overcollateralization Information:
OC Multiple 2.50
Required OC Amount 4268372.98
Overcollateralization Amount (before distributions) 563929.73
Overcollateralization Amount (after distributions) 848875.09
ix) Default Information:
Current Period Cumulative
Principal Balance of Defaulted Loans 429612.16 1365228.75
Principal Balance of Credit Support Multiple 429612.16 1365228.75
x) FHA Insurance Information:
Trust Designated Insurance Amount (at the Cut-off Date) 4878140.00
Number Number Balance Balance
Current Period Cumulative Current Period Cumulative
Claims Filed 8 31 158666.89 621463.30
Claims Pending 9 NA 158077.80 NA
Claims Paid 8 8 144834.65 144834
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
FINANCIAL ASSET SECURITIES CORPORATION
By
Name: Lynn Steiner
Title: Assistant Vice President, First Trust
of New York, National Association
Dated: May 27, 1997
