<PAGE>
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES AND EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): August 20, 1998
---------------
First Alliance Mortgage Company
on behalf of
First Alliance Mortgage Loan Trust 1998-2
---------------------------------------------------------
(Exact name of registrant as specified in its charter)
California 333-44585-03 95-2944875
- ---------------------------- -------------------- -------------------
(State or other jurisdiction (Commission (I.R.S. Employer
of incorporation) File Number) Identification
No.)
c/o First Alliance Mortgage Company
Attention: Francisco Nebot
Executive Vice President & CFO
17305 Von Karman Avenue
Irvine, CA 92614
-----------------------------------------
(Address of principal executive offices)
Registrant's telephone number, including area code: (949)224-8500
Not Applicable
-----------------------------------------------------------------
(Former name or former address, if changed since last report.)
<PAGE>
Item 5. Other Events.
Information relating to the distributions to Certificateholders for
the August 1998 Monthly Period of the Trust in respect of the First Alliance
Mortgage Loan Asset Backed Certificates, Series 1998-2, Class A (the
"Certificates") issued by the Registrant and the performance of the Trust
(including distributions of principal and interest, delinquent balances of
Mortgage Loans, and the subordinated amount remaining), together with certain
other information relating to the certificates, is contained in the Monthly
Report for the Monthly Period provided to certificateholders pursuant to the
Pooling and Servicing Agreement (the "Agreement") dated as of June 1, 1998
between First Alliance Mortgage Company as Servicer, and Chase Manhattan Bank,
as trustee.
Item 7. Exhibit.
Monthly Report for the August 1998 Monthly Period relating to the
First Alliance Mortgage Loan Asset Backed Certificates Series 1998-2, Class A
issued by the First Alliance Mortgage Loan Trust 1998-2.
<PAGE>
- --------------------------------------------------------------------------------
FIRST ALLIANCE MORTGAGE COMPANY
MORTGAGE LOAN ASSET BACKED NOTES
SERIES 1998-2
================================================================================
<TABLE>
DISTRIBUTION: 20-Aug-98
<CAPTION>
- -------------------------------------------------------------------------------------------------------------------------------
ORIGINAL BEGINNING ENDING ENDING
NOTE NOTE PRINCIPAL INTEREST TOTAL NOTE SUBORDINATION PRINCIPAL
CLASS BALANCE BALANCE DISTRIBUTION DISTRIBUTION DISTRIBUTION BALANCE AMOUNT BALANCE
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
FIXED
NOTE 70,000,000.00 69,249,724.70 1,553,660.03 376,256.84 1,929,916.87 67,696,064.67 296,069.13 67,992,133.80
ARMS
NOTE 30,000,000.00 29,371,580.66 251,810.45 147,105.73 398,916.18 29,119,770.21 141,164.32 29,260,934.53
CERT N/A N/A 0.00 0.00 0.00 N/A N/A N/A
====================================================================================================================================
TOTALS 100,000,000.00 98,621,305.36 1,805,470.48 523,362.57 2,328,833.05 96,815,834.88 437,233.45 97,253,068.33
====================================================================================================================================
</TABLE>
<TABLE>
FACTOR INFORMATION PER $1,000
<CAPTION>
- ------------------------------------------------- ---------------------------------
PRINCIPAL INTEREST ENDING NOTE INIT NOTE CURR NOTE
CLASS DISTRIBUTION DISTRIBUTION BALANCE CLASS RATE RATE
- ------------------------------------------------- ---------------------------------
<S> <C> <C> <C> <C> <C> <C>
FIXED FIXED
NOTE 22.19514329 5.37509771 967.08663810 NOTE 6.52000% 6.52000%
ARMS ARMS
NOTE 8.39368167 4.90352433 970.65900700 NOTE 5.81625% 5.81625%
CERT N/A N/A N/A CERT N/A N/A
==========================================================================================
</TABLE>
<PAGE>
- --------------------------------------------------------------------------------
FIRST ALLIANCE MORTGAGE COMPANY
MORTGAGE LOAN ASSET BACKED NOTES
SERIES 1998-2
================================================================================
DISTRIBUTION: 20-Aug-98
SECTION 3.8(a)(ii) PRINCIPAL DISTRIBUTION
<TABLE>
<CAPTION>
-----------------------------------------------------------------------------------
PREPAYMENTS &
PREPAID PREFUNDING
SCH. PRIN. INSTALLMENTS ACCT. REMAINDER LIQUIDATIONS SUB. INCREASE SUB RED.
-----------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
FIXED RATE NOTE 46,268.69 0.00 1,360,301.79 0.00 147,089.55 0.00
ADJUSTABLE RATE NOTE 20,527.77 0.00 178,085.60 0.00 53,197.08 0.00
-----------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C> <C>
SECTION 3.8 (a)(v) INSURED PAYMENT FIXED RATE NOTE 0.00
ADJUSTABLE RATE NOTE 0.00
SECTION 3.8 (a)(vii) LOAN PURCHASE PRICES FIXED RATE NOTE 0.00
ADJUSTABLE RATE NOTE 0.00
SUBSTITUTION AMOUNTS FIXED RATE NOTE 0.00
ADJUSTABLE RATE NOTE 0.00
SECTION 3.8 (a)(viii) SUBORDINATION REDUCTION AMOUNT FIXED RATE NOTE 0.00
ADJUSTABLE RATE NOTE 0.00
SECTION 3.8 (a)(ix) CURRENT REALIZED LOSSES FIXED RATE NOTE 0.00
ADJUSTABLE RATE NOTE 0.00
CUMULATIVE REALIZED LOSSES FIXED RATE NOTE 0.00
ADJUSTABLE RATE NOTE 0.00
</TABLE>
<TABLE>
<CAPTION>
SECTION 3.8 (a)(x) NUMBER LOAN BALANCE
------ ------------
<S> <C> <C> <C>
FIXED RATE NOTE LOANS BOUGHT BACK PURSUANT TO SECTION 2.4
CURRENT 0 0.00
CUMULATIVE 0 0.00
LOANS BOUGHT BACK PURSUANT TO SECTION 2.6
CURRENT 0 0.00
CUMULATIVE 0 0.00
LOANS BOUGHT BACK PURSUANT TO SECTION 4.10
CURRENT 0 0.00
CUMULATIVE 0 0.00
ADJUSTABLE RATE NOTE LOANS BOUGHT BACK PURSUANT TO SECTION 2.4
CURRENT 0 0.00
CUMULATIVE 0 0.00
LOANS BOUGHT BACK PURSUANT TO SECTION 2.6
CURRENT 0 0.00
CUMULATIVE 0 0.00
LOANS BOUGHT BACK PURSUANT TO SECTION 4.10
CURRENT 0 0.00
CUMULATIVE 0 0.00
SECTION 3.8 (a)(xi) AVAILABLE FUNDS CAP CARRY-FORWARD AMOUNT
FIXED RATE NOTE -
</TABLE>
<PAGE>
- --------------------------------------------------------------------------------
FIRST ALLIANCE MORTGAGE COMPANY
MORTGAGE LOAN ASSET BACKED NOTES
SERIES 1998-2
================================================================================
DISTRIBUTION: 20-Aug-98
SECTION 3.8(b)(i) DELINQUENT MORTGAGE LOANS (includes loans in foreclosure
and bankruptcy):
-----------------------------------------------------
AGGREGATE
FIXED RATE NOTE CATEGORY NUMBER LOAN BALANCE PERCENTAGE
-----------------------------------------------------
30-59 DAYS 3 152,955.12 0.22%
60-89 DAYS 1 33,935.42 0.05%
90 + DAYS 2 244,373.90 0.36%
-----------------------------------------------------
-----------------------------------------------------
AGGREGATE
ADJUSTABLE RATE NOTE CATEGORY NUMBER LOAN BALANCE PERCENTAGE
-----------------------------------------------------
30-59 DAYS 2 154,751.00 0.53%
60-89 DAYS 0 0.00 0.00%
90 + DAYS 1 99,000.00 0.34%
-----------------------------------------------------
SECTION 3.8(b)(ii) LOANS IN FORECLOSURE (included in delinquencies above):
--------------------------------------------
AGGREGATE
NUMBER LOAN BALANCE PERCENTAGE
--------------------------------------------
FIXED RATE NOTE 4 318,299.32 0.47%
ADJUSTABLE RATE NOTE 2 154,751.00 0.53%
--------------------------------------------
SECTION 3.8(b)(iii) LOANS IN BANKRUPTCY (included in delinquencies above):
--------------------------------------------
AGGREGATE
NUMBER LOAN BALANCE PERCENTAGE
--------------------------------------------
FIXED RATE NOTE 5 431,540.78 0.63%
ADJUSTABLE RATE NOTE 0 0.00 0.00%
--------------------------------------------
SECTION 3.8(b)(iv) REO PROPERTIES (not included in delinquencies above):
--------------------------------------------
AGGREGATE
NUMBER LOAN BALANCE PERCENTAGE
--------------------------------------------
FIXED RATE NOTE 0 0.00 0.00%
ADJUSTABLE RATE NOTE 0 0.00 0.00%
--------------------------------------------
SECTION 3.8(b)(vi) BOOK VALUE OF REO PROPERTY FIXED RATE NOTE -
ADJUSTABLE RATE NOTE -
<PAGE>
SIGNATURE
---------
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 hereunto duly authorized.
First Alliance Mortgage Loan Trust 1998-2
------------------------------------------
(Registrant)
By: First Alliance Mortgage Company
---------------------------------------
(Servicer)
Date: September 17, 1998 By: /S/ Francisco Nebot
------------------ ---------------------------------------
Name: Francisco Nebot
-------------------------------------
Executive Vice President and
Title: Chief Financial Officer
------------------------------------
