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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) November 25, 1996
SUPERIOR BANK FSB (as depositor under the Pooling and Servicing Agreement, dated
as of March 1, 1996, providing for the issuance of AFC Mortgage Loan Asset
Backed Certificates, Series 1996-1)
SUPERIOR BANK FSB
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(Exact name of registrant as specified in its charter)
United States 33-92770 36-1414142
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(State or Other Jurisdiction (Commission (I.R.S. Employer
of Incorporation) File Number) Identification Number)
One Lincoln Centre
Oakbrook Terrace, Illinois 60181
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(Address of Principal (Zip Code)
Executive Offices)
Registrant's telephone number, including area code (708) 916-4000
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<PAGE>
ITEM 5. OTHER EVENTS
On November 25, 1996 (a "Remittance Date") a scheduled remittance was made
to the Certificateholders with respect to AFC Mortgage Loan Asset Backed
Certificates, Series 1996-1, issued pursuant to a Pooling and Servicing
Agreement, dated as of March 1, 1996, among Superior Band FSB., as Depositor,
Lee Servicing Company, a division of Superior Bank FSB., as Servicer and LaSalle
National Bank, as Trustee. The information contained in the Servicer's Monthly
Remittance Report to the Trustee, which shall be forwarded by the Trustee to the
Certificateholders, is attached hereto as Exhibit 21.1 and is incorporated
herein by reference.
Capitalized terms used herein and not defined shall have the same meanings
ascribed to them in the pooling and Servicing Agreement.
Items 2 through 4 and Items 6 and 8 are not included because they are not
applicable.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits
(a) Not applicable
(b) Not applicable
(c) Exhibits
21.1 Monthly Remittance Report for the month of November, 1996.
<PAGE>
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.
SUPERIOR BANK F.B.
By: /s/ William C. Bracken
------------------------------
Name: William C. Bracken
Title: Executive Vice President
Dated: November , 1996
<PAGE>
EXHIBITS TABLE
21.1 Monthly Remittance Report for the month of November, 1996.
ALLIANCE FUNDING COMPANY
by LEE SERVICING COMPANY, a division of SUPERIOR BANK, FSB
Designated Servicer
SERVICER'S CERTIFICATE
1996-1 Sub-Pool 1
In accordance with section 6.08 of the Pooling and Servicing Agreement
dated as of March 1, 1996 Lee Servicing Company reports the following
information pertaining to Series 1996-1 Sub-Pool 1 for November 25, 1996, the
Remittance date.
Due period ended: November 1, 1996
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1 Total Actual Principal Collections 1,634,565.64
2 Total Actual Interest Collections 700,630.74
3 Additional Proceeds 0.00
------------
4 Aggregate Amount Received: 2,335,196.38
Monthly Advance
5 Delinquent Interest 11,878.96
6 Compensating Interest 7,849.71
7 Amounts Held for Future Distributions 0.00
------------
8 Available Remittance Amount: 2,354,925.05
9 Less: Service Fees 40,227.65
10 Less: Expense Account Deposit: 1,825.71
11 Plus: Cross Collateral Deposit 0.00
------------
12 Adjusted Remittance Amount: 2,312,871.69
Remaining Amount Available:
13 Adjusted Remittance Amount 2,312,871.69
14 Insured Payments 0.00
15 Cross Collateral Withdrawal 0.00
16 Insurance Account Deposit @ 13 bp 8,096.32
the Ending Principal balance
17 Class Remittance Amounts 2,304,775.37
18 Non-Recoverable Advances Not
Previously Reimbursed 0.00
------------
19 Total Remaining Amount Available: 0.00
============
Amount of Reimbursements Pursuant to Sec. 5.04
20 Servicing Fee 0.00
21 Monthly Advances and Servicer Advances 0.00
22 Other Mortgage Payments 0.00
23 Interest Earned on P&I Deposits 0.00
24 Additional Servicing Compensation 0.00
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<PAGE>
ALLIANCE FUNDING COMPANY
by LEE SERVICING COMPANY, a division of SUPERIOR BANK, FSB
Designated Servicer
SERVICER'S CERTIFICATE
1996-1 Sub-Pool 1
In accordance with section 6.08 of the Pooling and Servicing Agreement
dated as of March 1, 1996 Lee Servicing Company reports the following
information pertaining to Series 1996-1 Sub-Pool 1 for November 25, 1996, the
Remittance date.
Due period ended: November 1, 1996
<TABLE>
<CAPTION>
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Total Class A1 Class A2 Class A3 Class A4 Class A5 Class R
----- -------- -------- -------- -------- -------- -------
<S> <C> <C> <C> <C> <C> <C> <C>
25 Number of Loans 1264
26 Opening Loan balance 76,369,807.34 15,371,665.03 34,998,934.11 7,499,771.60 9,999,695.46 8,499,741.14
27 Additional Principal Reduction 1,706,786.50 1,706,786.50 0.00 0.00 0.00 0.00
28 Realized Losses, LTD 0.00 0.00 0.00 0.00 0.00 0.00
29 Carryforward amount 0.00 0.00 0.00 0.00 0.00 0.00
------------- ------------- ------------- ------------ ------------ ------------
30 Opening Class Principal Balance 74,663,020.84 13,664,878.53 34,998,934.11 7,499,771.60 9,999,695.46 8,499,741.14
31 Pool Factor per Loan Balance 92.0118161% 18.5200783% 42.1673905% 9.0358694% 12.0478259% 10.2406520%
32 Factor per Class Balance 89.9554469% 16.4637091% 42.1673905% 9.0358694% 12.0478259% 10.2406520%
33 Excess Spread 0.00 0.00
34 Additional Principal due Class A 233,891.59 233,891.59
35 Cross Collateral Deposit 0.00 0.00
36 Cross Collateral Withdrawal 0.00 0.00
37 Interest Remittance @ Class Yield 436,318.14 74,245.84 199,493.92 44,498.64 62,831.42 55,248.32
Principal Reductions:
38 Prepayments--Number 21 21
39 Prepayments--Dollar 1,574,342.97 1,574,342.97 0.00 0.00 0.00 0.00
40 Net Liquidation Proceeds 0.00 0.00 0.00 0.00 0.00 0.00
41 Curtailments 0.00 0.00 0.00 0.00 0.00 0.00
42 Normal and Excess Payments 60,222.67 60,222.67 0.00 0.00 0.00 0.00
------------- ------------- ------------- ------------ ------------ ------------
43 Total Principal Remittance 1,634,565.64 1,634,565.64 0.00 0.00 0.00 0.00
44 Additional Principal Reduction 233,891.59 233,891.59 0.00 0.00 0.00 0.00
------------- ------------- ------------- ------------ ------------ ------------
45 Total Remittance 2,304,775.37 1,942,703.07 199,493.92 44,498.64 62,831.42 55,248.32 0.00
============= ============= ============ =========== ============ ============ ====
46 Current Month Realized
Loss--Number 0 0
47 Current Month Realized
Loss--Dollar 0.00 0.00
Class Principal Balance
Reconciliation
48 Number of Loans 1243
49 Loan balance 74,735,241.70 13,737,099.39 34,998,934.11 7,499,771.60 9,999,695.46 8,499,741.14
50 Additional Principal
Reduction, LTD 1,940,678.09 1,940,678.09 0.00 0.00 0.00 0.00
51 Realized Losses, LTD 0.00 0.00 0.00 0.00 0.00 0.00
------------- ------------- ------------- ------------ ------------ ------------
52 Ending Class Principal Balance 72,794,563.61 11,796,421.30 34,998,934.11 7,499,771.60 9,999,695.46 8,499,741.14
53 Class Factor per Loan Balance 90.0424600% 16.5507222% 42.1673905% 9.0358694% 12.0478259% 10.2406520%
54 Class Factor per Class Balance 87.7042935% 14.2125558% 42.1673905% 9.0358694% 12.0478259% 10.2406520%
============= ============= ============ =========== ============ ============
</TABLE>
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<PAGE>
ALLIANCE FUNDING COMPANY
by LEE SERVICING COMPANY, a division of SUPERIOR BANK, FSB
Designated Servicer
SERVICER'S CERTIFICATE
1996-1 Sub-Pool 1
In accordance with section 6.08 of the Pooling and Servicing Agreement
dated as of March 1, 1996 Lee Servicing Company reports the following
information pertaining to Series 1996-1 Sub-Pool 1 for November 25, 1996, the
Remittance date.
Due period ended: November 1, 1996
<TABLE>
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<CAPTION>
Total Class A1 Class A2 Class A3 Class A4 Class A5
------ -------- -------- -------- -------- --------
<S> <C> <C> <C> <C> <C> <C>
55 Weighted Note Rate--THIS remittance 11.33784%
56 Weighted Note Rate--NEXT remittance 11.32614%
57 Pass-Through Rate--THIS remittance 6.520% 6.840% 7.120% 7.540% 7.800%
58 Weighted Average Remaining Term 217.53
59 Original Pool--Principal Balance 52,491,569.72 13,913,428.12 22,134,999.28 4,743,214.13 6,324,285.51 5,375,642.68
60 Original Pool--Pre-Funding Account 30,508,430.28 8,086,571.88 12,865,000.72 2,756,785.87 3,675,714.49 3,124,357.32
61 Original Pool--Additional Principal
Reduction 0.00 0.00 0.00 0.00 0.00 0.00
------------- ------------- ------------- ------------ ------------- ------------
62 Original Pool Total 83,000,000.00 22,000,000.00 35,000,000.00 7,500,000.00 10,000,000.00 8,500,000.00
63 Original Pool--Number of Loans 864
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<CAPTION>
Class A Overcollateralization
Reconciliation
Beginning of
Month Current Month End of Month
------------ ------------- ------------
<S> <C> <C> <C>
64 Additional Principal Reduction, LTD 1,706,786.50 233,891.59 1,940,678.09
65 Cross Collateral Deposit, LTD 0.00 0.00 0.00
66 Less: Realized Losses, LTD 0.00 0.00 0.00
------------ ----------- ------------
67 Overcollateralization of Principal 1,706,786.50 233,891.59 1,940,678.09
============ ========== ============
68 Base Overcollateralization Requirement 4,150,000.00
69 Required Overcollateralization Amount 4,150,000.00
Current Month Subordinated Amount Beginning of
Month Current Month End of Month
------------ ------------- ------------
70 Original Subordinated Amount 8,798,000.00 N/A 8,798,000.00
71 Less: Cumulative Realized Losses 0.00 0.00 0.00
72 Plus: Cumulative Additional Proceeds 0.00 0.00 0.00
------------ ----------- -------------
73 Current Subordinated Amount 8,798,000.00 8,798,000.00
============ =========== ============
Nonrecoverable Advance Reconciliation
74 Beginning of Month 0.00
75 Current Month Unpaid Nonrecoverable
Advance 0.00
76 Less: Current Month Reimbursement 0.00
-----------
77 End of Month 0.07
===========
</TABLE>
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<PAGE>
ALLIANCE FUNDING COMPANY
by LEE SERVICING COMPANY, a division of SUPERIOR BANK, FSB
Designated Servicer
SERVICER'S CERTIFICATE
1996-1 Sub-Pool 1
In accordance with section 6.08 of the Pooling and Servicing Agreement
dated as of March 1, 1996 Lee Servicing Company reports the following
information pertaining to Series 1996-1 Sub-Pool 1 for November 25, 1996, the
Remittance date.
Due period ended: November 1, 1996
<TABLE>
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<CAPTION>
Class Class Class Class Class
A1 A2 A3 A4 A5
------ ----- ----- ----- -----
<S> <C> <C> <C> <C> <C> <C>
78 Total Class Principal--Original
Pool $83,000,000.00 $22,000,000.00 $35,000,000.00 $7,500,000.00 $10,000,000.00 $8,500,000.00
79 Interest Remittance Amount 436,318.14 74,245.84 199,493.92 44,498.64 62,831.42 55,248.32
80 Interest Rate Factor/1000 5.256845 3.374811 5.699826 5.933152 6.283142 6.499802
81 Total Principal Collections 1,634,565.64 1,634,565.64 0.00 0.00 0.00 0.00
82 Additional Principal Reduction 233,891.59 233,891.59 0.00 0.00 0.00 0.00
-------------- -------------- -------------- ------------- -------------- --------------
83 Principal Remittance Amount 1,868,457.23 1,868,457.23 0.00 0.00 0.00 0.00
84 Principal Payment Factor/1000 22.511533 84.929874 0.000000 0.000000 0.000000 0.000000
85 Principal Factor 877.042935 536.200968 999.969546 999.969546 999.969546 999.969546
86 Prior Month Principal Factor 899.554468 621.130842 999.969546 999.969546 999.969546 999.969546
</TABLE>
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<PAGE>
ALLIANCE FUNDING COMPANY
by LEE SERVICING COMPANY, A division of SUPERIOR BANK FSB,
Designated Servicer
SERVICERS CERTIFICATE
1996-1 SUB POOL 2
In accordance with section 6.08 of the Pooling and Servicing Agreement
dated as of March 01, 1996 and the Insurance Agreement dated as of March 22,
1996, Lee Servicing Company reports the following
information pertaining to series 1996-1 Sub Pool 2 for November 25, 1996, the
Remittance date.
Period Ended: November 1, 1996
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1 Total Actual Principal Collections 2,778,657.64
2 Total Actual Interest Collections 600,874.97
3 Additional Proceeds 0.00
------------
4 Total Collections 3,379,532.61
Monthly Advance
5 Delinquent Interest 55,680.58
6 Compensating Interest 13,491.85
7 Amounts Held for Future Distributions 0.00
8 Supplemental Interest 0.00
------------
9 Available Remittance Amount: 3,448,705.04
10 Less: Service Fees 35,838.58
11 Less: Expense Account Deposit 1,681.08
12 Cross Collateral Deposit 0.0
------------
13 Adjusted Remittance Amount: 3,411,185.38
Remaining Amount Available:
14 Adjusted Remittance Amount 3,411,185.38
15 Insured Payments 0.00
16 Cross Collateral Withdrawal 185,963.18
17 Insurance Account Deposit @ 13bp 7,714.23
the ending Class A P-balance
18 Class Remittance Amounts 3,217,507.97
19 Non-Recoverable Advances Not
Previously Reimbursed 0.00
------------
20 Total Remaining Amount Available: 0.00
============
Amount of Reimbursements Pursuant to Sec. 5.04
21 Servicing Fee 0.00
22 Monthly Advances and Servicer Advances 0.00
23 Other Mortgage Payments 0.00
24 Interest Earned on P&I Deposits 0.00
25 Additional Servicing Compensation 0.00
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<PAGE>
ALLIANCE FUNDING COMPANY
by LEE SERVICING COMPANY, A division of SUPERIOR BANK FSB,
Designated Servicer
SERVICERS CERTIFICATE
1996-1 SUB POOL 2
In accordance with section 6.08 of the Pooling and Servicing Agreement
dated as of March 01, 1996 and the Insurance Agreement dated as of March 22,
1996, Lee Servicing Company reports the following
information pertaining to series 1996-1 Sub Pool 2 for November 25, 1996, the
Remittance date.
Period Ended: November 1, 1996
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------
Total Class 2-A Class R
----- --------- -------
<S> <C> <C> <C>
26 Number of Loans 647
27 Opening Loan Balance 73,986,946.48 73,986,946.48
28 Additional Principal Reduction, LTD 3,965,107.58 3,965,107.58
29 Realized Losses, LTD 0.00 0.00
30 Carryforward Amount 0.00 0.00
------------- -------------
31 Opening Class Principal Balance 70,021,838.90 70,021,838.90
32 Pool Factor per Loan Balance 89.1408994% 89.1408994%
33 Factor per Class Balance 84.3636613% 84.3636613%
34 Excess Spread 185,963.18 185,963.18
35 Additional Principal due Class A 93,049.42 93,049.42
36 Cross Collateral Deposit 0.00 0.00
37 Cross Collateral Withdrawal 185,963.18 185,963.18
38 Interest Remittance 345,800.91 345,800.91
Principal Reductions:
39 Prepayments--Number 25 25
40 Prepayments--Dollar 2,750,497.91 2,750,497.91
41 Net Liquidation Proceeds 0.00 0.00
42 Curtailments 0.00 0.00
43 Normal and Excess Payments 28,159.73 28,159.73
------------- ------------- ----------
44 Total Principal Remittance 2,778,657.64 2,778,657.64
45 Additional Principal Reduction 93,049.42 93,049.42
------------- ------------- ----------
46 Total Remittance 3,217,507.97 3,217,507.97 0.00
============= ============= ==========
47 Carryforward Amount 0.00
48 Current Month Realized Loss--Number 0 0
49 Current Month Realized Loss--Dollar 0.00 0.00
Class Principal Balance--End of Month
50 Number of Loans # 622
51 Closing Loan Balance 71,208,288.84 71,208,288.84
52 Additional Principal Reduction, LTD 4,058,157.00 4,058,157.00
53 Realized Losses, LTD 0.00 0.00
54 Carryforward Amount 0.00 0.00
------------- -------------
55 Closing Class A Principal Balance 67,150,131.84 67,150,131.84
56 Class Factor per Loan Balance 85.7931191% 85.7931191%
57 Class Factor per Class Balance 80.9037733% 80.9037733%
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</TABLE>
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<PAGE>
ALLIANCE FUNDING COMPANY
by LEE SERVICING COMPANY, A division of SUPERIOR BANK FSB,
Designated Servicer
SERVICERS CERTIFICATE
1996-1 SUB POOL 2
In accordance with section 6.08 of the Pooling and Servicing Agreement
dated as of March 01, 1996 and the Insurance Agreement dated as of March 22,
1996, Lee Servicing Company reports the following
information pertaining to series 1996-1 Sub Pool 2 for November 25, 1996, the
Remittance date.
Period Ended: November 1, 1996
<TABLE>
<CAPTION>
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Total Class A1
----- --------
<S> <C> <C> <C>
58 Weighted Note Rate--THIS Remittance: 10.93955%
59 Weighted Note Rate--NEXT Remittance: 10.95260%
60 Pass-Through Rate: 5.73500% 5.73500%
61 Related Remittance Period 25-Oct-96 thru 24-Nov-96
62 Days in Related Period: 31
63 Weighted Average Remaining Term 351.29
64 Original Pool--Principal Balance 57,027,110.90 57,027,110.90
65 Original Pool--Pre-Funding Account 28,407,783.59 28,407,783.59
66 Original Pool--Additional Principal Reduction 2,434,894.49 2,434,894.49
------------- -------------
67 Original Pool Total 83,000,000.00 83,000,000.00
68 Original Pool--Number of Loans 31
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Class A Overcollateralization Reconciliation
Beginning of Month Current Month End of Month
------------------ ------------- ------------
69 Additional Principal Reduction, LTD 3,965,107.58 93,049.42 4,058,157.00
70 Cross Collateral Deposit, LTD 0.00 0.00 0.00
71 Less: Realized Losses, LTD 0.00 0.00 0.00
------------ ----------- ------------
72 Overcollateralization of Principal 3,965,107.58 93,049.42 4,058,157.00
============ ========= ============
73 Base Overcollateralization Requirement 4,058,157.00
Current Month Subordinated Amount Beginning of Month Current Month End of Month
------------------ ------------- ------------
74 Original Subordinated Amount 9,269,686.00 N/A 9,269,686.00
75 Less: Cumulative Realized Losses 0.00 0.00 0.00
76 Plus: Cumulative Additional Proceeds 0.00 0.00 0.00
------------ ----------- ------------
77 Current Subordinated Amount 9,269,686.00 9,269,686.00
============ =========== ============
Nonrecoverable Advance Reconciliation
78 Beginning of Month 0.00
79 Current Month Unpaid Nonrecoverable Advance 0.00
80 Less: Current Month Reimbursement 0.00
------------
81 End of Month 0.00
============
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</TABLE>
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<PAGE>
ALLIANCE FUNDING COMPANY
by LEE SERVICING COMPANY, A division of SUPERIOR BANK FSB,
Designated Servicer
SERVICERS CERTIFICATE
1996-1 SUB POOL 2
In accordance with section 6.08 of the Pooling and Servicing Agreement
dated as of March 01, 1996 and the Insurance Agreement dated as of March 22,
1996, Lee Servicing Company reports the following
information pertaining to series 1996-1 Sub Pool 2 for November 25, 1996, the
Remittance date.
Period Ended: November 1, 1996
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Class
Total A1
----- -----
82 Total Class Principal--Original Pool $83,000,000.00 $83,000,000.00
83 Interest Remittance Amount 345,800.91 345,800.91
84 Interest Rate Factor/1000 4.166276 4.166276
85 Total Principal Collections 2,778,657.64 2,778,657.64
86 Additional Principal Reduction 93,049.42 93,049.42
-------------- --------------
87 Principal Remittance Amount 2,871,707.06 2,871,707.06
88 Principal Payment Factor/1000 34.598880 34.598880
89 Principal Factor 809.037733 809.037733
90 Prior Month Principal Factors 843.636613 843.636613
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