Registration No. 33-76940
Rule 424(b)(3)
ML Home Equity Loan Asset Backed Certificates,
Series 1994-1, Class A-1 and Class A-2
MERRILL LYNCH CREDIT CORPORATION
Servicer
MERRILL LYNCH HOME EQUITY ACCEPTANCE, INC.
Seller
On May 5, 1994, the ML Home Equity Loan Trust 1994-1 (the "Trust") issued
the ML Home Equity Loan Asset Backed Certificates, Series 1994-1 in an
original aggregate principal amount of $355,138,000. Each Certificate
represented an undivided interest in the Trust created pursuant to a Pooling
and Servicing Agreement dated as of April 1, 1994 among Merrill Lynch Home
Equity Acceptance, Inc., as seller, Merrill Lynch Credit Corporation, as
servicer, and Bankers Trust Company of California, N.A., as trustee. This
Prospectus Supplement to the above-referenced Prospectus (the "Prospectus")
supplements and updates certain of the information set forth in the
Prospectus. Capitalized terms not defined herein have the meanings ascribed to
them in the Prospectus.
The first paragraph and the first two tables set forth after the first
paragraph under the heading "MLCC and its Equity Access Program--Delinquency
and Loan Loss Experience" and the first two tables set forth after the second
paragraph under the heading "MLCC and its Equity Access Program -- Delinquency
and Loan Loss Experience" on pages 23 through 26 of the Prospectus are hereby
updated, in their entirety, as follows:
The following tables set forth information relating to (i) the
delinquency and loan loss experience on the home equity revolving credit
line mortgage loans originated by MLCC and included in MLCC's servicing
portfolio as of and for each of the six years in the period ended
December 31, 1998 and (ii) the delinquency and loan loss experience on
the home equity revolving credit line mortgage loans included in the
portfolio of mortgage loans acquired in June 1992 by the Seller from the
Dime Savings Bank of New York, FSB (the "Dime Portfolio"), which includes
the Dime Mortgage Loans, as of and for the year ended December 31, 1993,
the year ended December 31, 1994, the year ended December 31, 1995, the
year ended December 31, 1996, the year ended December 31, 1997 and the
year ended December 31, 1998. Information prior to December 31, 1993 for
the Dime Portfolio is available only from the records of the Dime and is
not sufficiently verifiable by the Seller. The information shown for the
Dime Portfolio, because of the short period that it covers, may not be
representative of the delinquency and loan loss experience on such loans
over a longer historical period. The delinquency and loan loss experience
set forth in the following tables represents the historical experience of
MLCC for the dates and period given, and there can be no assurance that
the future experience on the Mortgage Loans in the Trust will be the same
as, or more favorable than, (i) that of the total mortgage loans in
MLCC's servicing portfolio, which mortgage loans are not fully seasoned
and the terms of which do not require the payment of principal until
final maturity or (ii) that of the total mortgage loans in the Dime
Portfolio, which mortgage loans are now serviced by MLCC.
<PAGE>
<TABLE>
<CAPTION>
Mortgage Loan Delinquency Experience
(Dollars in Thousands)
As of December 31,
----------------------------------------------------------------------------------
1993 1994 1995 1996 1997 1998
------------ ----------- ------------ ----------- -------------- -------------
<S> <C> <C> <C> <C> <C> <C>
Number of revolving credit
line loans serviced........ 13,839 15,598 25,056 28,368 31,395 30,571
Aggregate loan balance of
revolving credit line
loans serviced............. $1,037,427 $1,079,693 $1,293,483 $1,353,800 $1,387,217 $1,191,938
Loan balance of revolving
credit line loans 2 months
delinquent................. $ 5,161 $ 5,358 $ 8,447 $ 8,292 $ 5,450 $ 6,634
Loan balance of revolving
credit line loans 3 months
or more delinquent......... $ 17,508 $ 22,989 $ 33,763 $ 39,508 $ 44,104 $ 31,348
Total of 2 months or more
delinquent as a percentage
of aggregate loan balance
of revolving credit
line loans ................ 2.19% 2.63% 3.26% 3.53% 3.57% 3.19%
</TABLE>
<TABLE>
<CAPTION>
Mortgage Loan Loss Experience
(Dollars in Thousands)
As of December 31,
----------------------------------------------------------------------------------
1993 1994 1995 1996 1997 1998
------------ ----------- ------------ ----------- ------------- -------------
<S> <C> <C> <C> <C> <C> <C>
Number of revolving credit 13,839 15,598 25,056 28,368 31,395 30,571
line loans serviced........
Aggregate loan balance of $1,037,427 $1,079,693 $1,293,483 $1,353,800 $1,387,217 1,191,938
revolving credit line
loans serviced.............
For the Period: $ 3,153 $ 1,118 $ 3,700 $ 1,860 $ 4,269 $ 2,756
Gross Charge-offs
dollars..................
Percentage(1).............. 0.30% 0.10% 0.29% 0.14% 0.31% 0.23%
- -------------
(1) As a percentage of aggregate balance of revolving credit line loans serviced.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Dime Portfolio Delinquency Experience
(Dollars in Thousands)
As of December 31,
------------------------------------------------------------
1995 1996 1997 1998
----------- ----------- -------------- ---------------
<S> <C> <C> <C> <C>
Number of revolving credit line loans
serviced................................. 3,919 3,356 2,758 2,043
Aggregate loan balance of revolving credit
line loans serviced........................ $200,367 $163,241 $128,391 $ 86,179
Loan balance of revolving credit line loans
2 months delinquent........................ $ 1,000 $ 1,039 $ 809 $ 2,307
Loan balance of revolving credit line loans
3 months or more delinquent................ $ 2,885 $ 3,145 $ 3,589 $ 2,918
Total of 2 months or more delinquent as a
percentage of aggregate loan balance of
revolving credit line loans................ 1.94% 2.56% 3.42% 6.06%
</TABLE>
<TABLE>
<CAPTION>
Dime Portfolio Loss Experience
(Dollars in Thousands)
As of December 31,
------------------------------------------------------------
1995 1996 1997 1998
----------- ----------- -------------- ---------------
<S> <C> <C> <C> <C>
As of end of Period:
Number of revolving credit line loans
serviced................................ 3,919 3,356 2,758 2,043
Aggregate loan balance of revolving
credit
line loans serviced..................... $200,367 $163,241 $128,391 $86,179
For the Period:
Gross charge-offs dollars................ $ 95 $ 327 $ 130 $ 174
Percentage(1)............................ 0.05% 0.20% 0.10% 0.20%
- --------------
(1) As a percentage of aggregate balance of Mortgage Loans serviced.
</TABLE>
Additionally, the information contained in the tables entitled "Cut-Off
Date Trust Balances of MLCC Mortgage Loans" and "Cut-Off Date Trust Balances
of Dime Mortgage Loans" under the heading "The Mortgage Loan Pool" on pages 28
and 35, respectively, of the Prospectus are hereby updated to indicate, as of
December 31, 1998, the Loan Balances of the Mortgage Loans:
<PAGE>
<TABLE>
<CAPTION>
Trust Balances of MLCC Mortgage Loans as of December 31, 1998
Range of Trust Balances Number of Trust % of MLCC
Mortgage Loans Balance Mortgage Loans
by Trust
Balance
- ---------------------------------------------------------- -------------------- ------------------ ----------------
<S> <C> <C> <C>
$ 4,999.99 or Lower.................................... 254 $ 586,611.27 1.24%
$ 5,000.00- 9,999.99............................. 114 828,389.57 1.76%
$ 10,000.00- 14,999.99............................. 73 893,301.10 1.90%
$ 15,000.00- 19,999.99............................. 49 853,639.19 1.81%
$ 20,000.00- 24,999.99............................. 57 1,274,689.52 2.70%
$ 25,000.00- 29,999.99............................. 33 903,256.06 1.92%
$ 30,000.00- 34,999.99............................. 25 816,334.72 1.73%
$ 35,000.00- 39,999.99............................. 20 751,761.08 1.59%
$ 40,000.00- 44,999.99............................. 26 1,102,639.80 2.34%
$ 45,000.00- 49,999.99............................. 20 951,210.21 2.02%
$ 50,000.00- 54,999.99............................. 14 724,969.47 1.54%
$ 55,000.00- 59,999.99............................. 19 1,088,772.18 2.31%
$ 60,000.00- 64,999.99............................. 13 814,214.07 1.73%
$ 65,000.00- 69,999.99............................. 13 880,330.83 1.87%
$ 70,000.00- 74,999.99............................. 11 794,905.75 1.69%
$ 75,000.00- 99,999.99............................. 54 4,754,798.89 10.09%
$ 100,000.00- 149,999.99............................. 39 4,757,103.62 10.09%
$ 150,000.00- 199,999.99............................. 23 3,950,525.22 8.38%
$ 200,000.00- 249,999.99............................. 16 3,582,491.22 7.60%
$ 250,000.00- 299,999.99............................. 9 2,388,556.17 5.07%
$ 300,000.00- 349,999.99............................. 4 1,331,135.83 2.82%
$ 350,000.00- 399,999.99............................. 3 1,177,143.09 2.50%
$ 400,000.00- 449,999.99............................. 5 2,077,403.68 4.41%
$ 450,000.00- 599,999.99............................. 1 482,101.60 1.02%
$ 600,000.00- 749,999.99............................. 2 1,237,180.76 2.62%
$ 750,000.00- 799,999.99............................. 1 758,024.00 1.61%
$1,000,000.00- 1,099,999.99............................. 1 1,013,837.74 2.15%
$1,100,000.00- 1,199,999.99............................. 1 1,157,945.81 2.46%
$1,200,000.00- 1,299,999.99............................. 1 1,201,271.77 2.55%
$1,400,000.00- 2,399,999.99............................. 1 1,499,383.23 3.18%
$2,400,000.00- 2,499,999.99............................. 1 2,499,168.90 5.30%
-------------------- ------------------ ----------------
TOTALS................................ 903 $ 47,133,096.35 100.00%
==================== ================== ================
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Trust Balances of Dime Mortgage Loans as of December 31, 1998
Range of Trust Balances Number of Trust % of Dime
Mortgage Loans Balance Mortgage Loans
by Trust Balance
------------------- ------------------- -------------------
<S> <C> <C> <C>
$ 4,999.00 or Lower........................................ 298 $ 680,893.55 9.04%
$ 5,000.00- 9,999.99................................... 165 1,190.768.53 15.81%
$ 10,000.00- 14,999.99................................... 64 796,863.73 10.58%
$ 15,000.00- 19,999.99................................... 30 508,068.44 6.74%
$ 20,000.00- 24,999.99................................... 31 689,950.07 9.16%
$ 25,000.00- 29,999.99................................... 26 713,417.76 9.47%
$ 30,000.00- 34,999.99................................... 11 358,652.23 4.76%
$ 35,000.00- 39,999.99................................... 10 375,369.43 4.98%
$ 40,000.00- 44,999.99................................... 6 251,902.47 3.34%
$ 45,000.00- 49,999.99................................... 5 234,825.42 3.12%
$ 50,000.00- 54,999.99................................... 4 213,140.06 2.83%
$ 55,000.00- 74,499.99................................... 2 112,220.99 1.49%
$ 75,000.00- 99,999.99................................... 2 158,733.72 2.11%
$ 100,000.00- 149,999.99................................... 3 338,279.54 4.49%
$ 150,000.00- 199,999.99................................... 1 175,873.75 2.33%
$ 200,000.00- 249,999.99................................... 2 443,739.19 5.89%
$ 250,000.00- 299,999.99................................... 1 290,914.58 3.86%
------------------- ------------------- -------------------
TOTALS.................................... 661 $ 7,533,613.46 100.00%
------------------- ------------------- -------------------
</TABLE>
--------------------
The date of this Supplement is April 1, 1999.
