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): October 27, 1997
FINANCIAL ASSET SECURITIES CORP.,
(as depositor under the Pooling and Servicing
Agreement, dated as of November 1, 1996, providing
for the issuance of Financial Asset Securities Corp.,
Mego Mortgage FHA Title I Loan Trust 1996-3,
FHA Title I Loan Asset-Backed Certificates,
Series 1996-3).
(Exact name of registrant as specified in its charter)
Delaware 33-99018 41-1857856
(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 1996-3, FHA Title I Loan Asset-Backed
Certificates, Series 1996-3, a Trust created
pursuant to the Pooling and Servicing
Agreement, dated November 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 October 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 November 25, 2022.
A. Monthly Report Information:
Aggregate distribution information for the current
distribution date October 27, 1997.
Principal Interest Ending Balance
Cede & Co $1,364,643.34 $358,894.67 $57,118,255.73
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 October 27, 1997.
MEGO MORTGAGE CORPORATION
FHA TITLE I LOAN ASSET-BACKED CERTIFICATES
SERIES 1996-3
CERTIFICATE HOLDERS' REPORT
Distribution Date: 27-Oct-97
Beginning Ending
Certificate Principal Interest Total Certificate
Class Balance DistributionDistribution Distribution Balance
A-1 13510093.76 960684.14 73179.67 1033863.81 12549409.62
A-2 10790000.00 0.00 61503.00 61503.00 10790000.00
A-3 9101458.00 0.00 54836.28 54836.28 9101458.00
S 34792458.79 NA 13047.17 13047.17 33673376.99
R NA NA 0.00 0.00 NA
Total 33401551.76 960684.14 202566.12 1163250.26 32440867.62
AMOUNTS PER $1,000 UNIT
Ending Current
Principal Interest Total Certificate Pass-Through
ClassDistribution DistributionDistribution Balance Interest Rate
A-1 48.93958940 3.72795059 52.66753999 639.29748446 6.5000%
A-2 0.00000000 5.70000000 5.70000000 1000.00000000 6.8400%
A-3 0.00000000 6.02499951 6.02499951 1000.00000000 7.2300%
S (a) 0.00000000 0.32567202 0.32567202 840.52532652 0.4500%
Trustee's Certificate
Pooling and Servicing Agreement Dated November 1, 1996
GROUP I
i) Interest from Mortgagors / Master Servicer 401533.37
Interest from Purchased Loans 0.00
Interest from Defaulted Mortgage Loans 107.71
Total Interest 401641.08
Principal Collections (Regular Installments) 63163.46
Principal Collections (Curtailments and Paid in Fulls) 763038.68
Principal from Purchased Loans 0.00
Principal from Defaulted Mortgage Loans 17.11
Total Principal 826219.25
Amount on Deposit in the Distribution Account 1227860.33
Deposits Pursuant to Sec 4.03 (d)-FHA Reserve Account 0.00
Distribution Account Income 292.35
Substitution Adjustment Amount 0.00
Collected Amount 1228152.68
Insured Payments 0.00
Withdrawals from the Reserve Fund 0.00
Amount Available 1228152.68
ii) Pool Balance Information:
Beginning Aggregate Principal Balance 34792458.79
less: Principal Collections (non-Defaulted Loans) 826202.14
less: Balance of Defaulted Loans 292879.66
Ending Aggregate Principal Balance 33673376.99
Before After
iii) Class IA Factors: Distributions Distributions
Class IA-1 0.68823707 0.63929748
Class IA-2 1.00000000 1.00000000
Class IA-3 1.00000000 1.00000000
Computed Distributed
Amount Amount
iv) Class IA Monthly Interest Amount 189518.95 189518.95
Class IA Principal Distribution Amount 1119081.80 960684.14
(limited to the Overcolleralization Amount)
Class IA Distribution of Distributable Excess Spread 0.00 0.00
Class IA Guaranteed Principal Distribution 0.00 0.00
Beginning Ending
Shortfall Shortfall
Class IA Monthly Interest Amount 0.00 0.00
Class IA Principal Distribution Amount 0.00 158397.66
(limited to the Overcolleralization Amount)
v) Excess Spread 0.00
Distributable Excess Spread 0.00
vi) FHA Premium Account Deposit 6384.43
Servicer Fee 28993.72
Master Servicer Fee 2319.50
Master Servicer Reimbursement 15612.05
Trustee Fee and any Additional Trustee Fee 1304.72
Premium 10288.00
Reimbursement Amount distributed to the Certificate Insurer 0.00
Successor Master Servicer Fees 0.00
Other Fees 0.00
Excess Claim Amount 0.00
vii) Group Performance Percentages:
30+ Delinquency Percentage (Rolling Three Month) 6.577%
60+ Delinquency Percentage (Rolling Three Month) 3.939%
Cumulative Default Percentage 2.161%
Annual Default Percentage (Three Month Average) 6.274%
viii) Overcollateralization Information:
OC Multiple 1.50
Required OC Amount 2253504.32
Overcollateralization Amount (before distributions) 1390907.03
Overcollateralization Amount (after distributions) 1525389.03
ix) Default Information:
Current Period Cumulative
Principal Balance of Defaulted Loans 292879.66 865721.57
Balance of Credit Support Multiple Defaulted Loans 292879.66 865721.57
Accrued and Unpaid Interest on Credit 15612.05 50344.90
Support Multiple Defaulted Loans
x) FHA Insurance Information:
Trust Designated Insurance Amount (at the Cut-off Date) 3674309.00
Number Number Balance Balance
Current Period Cumulative Current Period Cumulative
Claims Filed 12 21 251578.52 422764.17
Claims Pending 39 NA 715016.23 NA
Claims Paid 0 1 0.00 14313.55
xi) Reserve Fund:
Beginning Balance 175974.92
Investment Income on the Reserve Fund 718.82
Deposits to the Reserve Fund 0.00
Withdrawals from the Reserve Fund for Deficiency Amounts 0.00
Release of Amounts in Excess of the Reserve Requirement 0.00
Ending Balance 176693.74
xii) Collateral Performance Percentages:
Pool Annual Default Percentage (Rolling Three Month) 5.142%
Pool 60+ Delinquency Percentage (Rolling Three Month) 2.958%
MEGO MORTGAGE CORPORATION
FHA TITLE I LOAN ASSET-BACKED CERTIFICATES
SERIES 1996-3
GROUP II
CERTIFICATE HOLDERS' REPORT
Distribution Date: 27-Oct-97
Beginning Ending
Certificate Principal Interest Total Certificate
Class Balance DistributionDistribution Distribution Balance
IIA 25081347.31 403959.20 145889.84 549849.04 24677388.11
IIS 25052900.16 NA 10438.71 10438.71 24670718.73
R NA 0.00 0.00 0.00 0.00
Total 25081347.31 403959.20 156328.55 560287.75 24677388.11
AMOUNTS PER $1,000 UNIT
Ending Current
Principal Interest Total Certificate Pass-Through
ClassDistribution DistributionDistribution Balance Interest Rate
IIA 14.85148213 5.36361185 20.21509398 907.25941744 6.9800%
IIS 0.00000000 0.38377715 0.38377715 907.01420297 0.5000%
Trustee's Certificate
Pooling and Servicing Agreement Dated November 1, 1996
GROUP II
i) Interest from Mortgagors / Master Servicer 298120.61
Interest from Purchased Loans 0.00
Interest from Defaulted Mortgage Loans 0.00
Total 298120.61
Principal Collections (Regular Installments) 55049.70
Principal Collections (Curtailments and Paid in Fulls) 320462.35
Principal from Purchased Loans 0.00
Principal from Defaulted Mortgage Loans 0.35
Total 375512.40
Amount on Deposit in the Distribution Account 673633.01
Deposits Pursuant to Section 4.03 (d)-FHA Reserve Account Deposits 0.00
Distribution Account Income 173.25
Collected Amount 673806.26
Insured Payments 0.00
Reserve Fund Withdrawals 0.00
Amount Available 673806.26
ii) Pool Balance Information:
Beginning Aggregate Principal Balance 25052900.16
less: Principal Collections (non-Defaulted Loans) 375512.05
less: Balance of Defaulted Loans 6669.38
Ending Aggregate Principal Balance 24670718.73
Before After
Distributions Distributions
iii) Class IIA Factor: 0.92211090 0.90725942
Computed Distributed
Amount Amount
iv) Class IIA Monthly Interest Amount 145889.84 145889.84
Class IIA Principal Distribution Amount 382181.43 382181.43
Class IIA Guaranteed Principal Distribution 21777.77 21777.77
Beginning Ending
Shortfall Shortfall
Class IIA Monthly Interest Amount 0.00 0.00
v) Insurance Default Amount 0.00
Loss Carryforward Amount (Computed) 0.00
Loss Carryforward Amount (Distributed) 0.00
vi) FHA Premium Account Deposit 1446.86
Servicer Fee 20877.42
Master Servicer Fee 1670.19
Master Servicer Reimbursement 360.70
Trustee Fee and any Additional Trustee Fee 939.48
Premium 7725.00
Reimbursement Amount distributed to the Certificate Insurer 0.00
Successor Master Servicer Fees 0.00
Other Fees 0.00
Excess Claim Amount 0.00
vii) Default Information:
Current Period Cumulative
Principal Balance of Defaulted Loans 6669.38 331111.88
Principal Balance of Credit 6669.38 331111.88
Support Multiple Defaulted Loans
viii) FHA Insurance Information:
Trust Designated Insurance Amount (at the Cut-off Date) 3674309.00
Number Number Balance Balance
Current Period Cumulative Current Period Cumulative
Claims Filed 0 2 0.00 10476.55
Claims Pending 7 NA 38785.87 NA
Claims Paid 0 0 0.00 0.00
ix) Reserve Fund:
Beginning Balance 2795990.31
Investment Income on the Reserve Fund 11420.88
Deposits to the Reserve Fund 35086.80
Withdrawals from the Reserve Fund for Deficiency Amounts 0.00
Release of Amounts in Excess of the Reserve Requirement 0.00
Ending Balance 2842497.99
x) Collateral Performance Percentages:
Pool Annual Default Percentage (Three Month Average) 5.142%
Pool 60+ Delinquency Percentage (Rolling Three Month) 2.958%
xi) Reserve Requirement Information
30+ Delinquency Rate (Rolling Three Month) 2.997%
60+ Delinquency Rate (Rolling Three Month) 1.599%
Cumulative Default Percentage 1.217%
Annual Default Rate (Three Month Average) 3.586%
Credit Support Multiple 1
Reserve Requirement 3019191.73
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
/s/ Mark LeMay
Mark LeMay
Vice President
Dated: October 31, 1997
