- --------------------------------------------------------------------------------
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) December 28, 1998
SUPERIOR BANK FSB (as depositor under the Pooling and Servicing Agreement, dated
as of November 1, 1998, providing for the issuance of AFC Mortgage Loan Asset
Backed Certificates, Series 1998-4)
Superior Bank FSB
- --------------------------------------------------------------------------------
(Exact name of registrant as specified in its charter)
United States 333-61691 36-1414142
- ---------------------------- ----------- ----------------------
(State or Other Jurisdiction (Commission (I.R.S. Employer
of Incorporation) File Number) Identification Number)
One Lincoln Centre
Oakbrook Terrace, Illinois 60181
- -------------------------- ----------
(Address of Principal (Zip Code)
Executive Offices)
Registrant's telephone number, including area code (630) 916-4000
- --------------------------------------------------------------------------------
<PAGE>
Item 5. Other Events
On December 28, 1998 (a "Remittance Date") a scheduled remittance was made
to the Certificateholders with respect to AFC Mortgage Loan Asset Backed
Certificates, Series 1998-4, issued pursuant to a Pooling and Servicing
Agreement, dated as of November 1, 1998, among Superior Bank FSB., as Depositor
and 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 December, 1998.
<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.S.B.
By: /s/ William C. Bracken
------------------------
Name: William C. Bracken
Title: Senior Vice President
Dated: December 28, 1998
<PAGE>
EXHIBITS INDEX
Exhibit No. Description
- ----------- -----------
21.1 Monthly Remittance Report for the month of December, 1998.
ALLIANCE FUNDING
BY SUPERIOR BANK FSB - SERVICING DIVISION PAGE 1 OF 4
DESIGNATED SERVICER
SERVICER'S CERTIFICATE
1998-4 GROUP 1 (SUB-POOLS 1 & 2)
IN ACCORDANCE WITH SECTION 6.08 OF THE POOLING AND SERVICING
AGREEMENT DATED AS OF SEPTEMBER 1, 1998
SUPERIOR BANK FSB - SERVICING DIVISION REPORTS THE FOLLOWING
INFORMATION PERTAINING TO SERIES 1998-4 GROUP 1 FOR DECEMBER 28, 1998, THE
REMITTANCE DATE.
DUE PERIOD ENDED: DECEMBER 1, 1998
<TABLE>
<CAPTION>
-------------------------------------------------------------------------------------------------------
GROUP 1 SUB-POOL 1 SUB-POOL 2
---------------- ---------------- ----------------
COLLECTIONS
<S> <C> <C> <C>
1 Total Actual Principal Collections 227,810.22 152,798.94 75,011.28
2 Total Actual Interest Collections 256,404.07 111,881.44 144,522.63
3 Service Fees Previously Remitted 35,196.57 15,377.17 19,819.40
4 Additional Proceeds 0.00 0.00 0.00
---------------- ---------------- ----------------
5 TOTAL COLLECTIONS: 449,017.72 249,303.21 199,714.51
6 Pre-Funding Account Transfers 0.00 0.00 0.00
7 Interest Coverage Account Transfer 485,380.72 201,666.15 283,714.57
8 Deferred Interest Coverage Account Transfer 52,578.50 34,212.71 18,365.79
---------------- ---------------- ----------------
9 Aggregate Amount Received: 986,976.94 485,182.07 501,794.87
MONTHLY ADVANCES
10 Monthly Interest Advance 467,844.31 186,753.24 281,091.07
11 Compensating Interest 690.48 690.48 0.00
12 Amounts Held for Future Distributions 0.00 0.00 0.00
13 Cross Collateral Deposit 0.00 0.00 0.00
14 Reserve Withdrawal per Sec. 6.14 0.00 0.00 0.00
---------------- ---------------- ----------------
15 AVAILABLE REMITTANCE AMOUNT: 1,455,511.73 672,625.79 782,885.94
FEES
16 Service Fees 15,238.74 6,956.06 8,282.68
17 Expense Account Deposit: 1,248.10 540.39 707.71
---------------- ---------------- ----------------
18 ADJUSTED REMITTANCE AMOUNT: 1,439,024.89 665,129.34 773,895.55
REMAINING AMOUNT AVAILABLE:
19 Adjusted Remittance Amount 1,439,024.89
20 Insured Payments due 0.00
21 Monthly Insurance Premium @ 12 bp
the Ending Principal Balance 14,977.22
22 Cross Collateral Withdrawal 0.00
23 Class Remittance Amounts 1,424,047.67
24 Non-Recoverable Advances not
Previously Reimbursed 0.00
----------------
25 Total Remaining Amount Available: 0.00
================
REIMBURSEMENTS DUE PURSUANT TO SEC. 5.04
26 Servicing Fee 0.00 0.00 0.00
27 Monthly Advances and Servicer Advances 0.00 0.00 0.00
28 Preference Amount per Sec. 6.06(b) 0.00 0.00 0.00
29 Servicing compensation per Sec. 7.03 0.00 0.00 0.00
30 REO Mgmt. & Dispositions per Sec 5.10 0.00 0.00 0.00
31 Trustee Advances per Sec 11.01 0.00 0.00 0.00
-------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
ALLIANCE FUNDING
BY SUPERIOR BANK FSB - SERVICING DIVISION PAGE 2 OF 4
DESIGNATED SERVICER
SERVICER'S CERTIFICATE
1998-4 GROUP 1 (SUB-POOLS 1 & 2)
IN ACCORDANCE WITH SECTION 6.08 OF THE POOLING AND SERVICING
AGREEMENT DATED AS OF SEPTEMBER 1, 1998
SUPERIOR BANK FSB - SERVICING DIVISION REPORTS THE FOLLOWING
INFORMATION PERTAINING TO SERIES 1998-4 GROUP 1 FOR DECEMBER 28, 1998, THE
REMITTANCE DATE.
DUE PERIOD ENDED: DECEMBER 1, 1998
<TABLE>
<CAPTION>
--------------------------------------------------------------------------------------------------------------------------
Group 1 Class 1A-1 Class 1A-2 Class R
---------------- ---------------- ---------------- ----------------
<S> <C> <C> <C> <C>
32 Loans Outstanding - BOM 1,480 607 873
33 Original Loan Balance 95,421,584.84 41,242,529.56 54,179,055.28
34 Pre-Funding Account Balance 56,868,020.58 23,909,603.18 32,958,417.40
35 Initial Overcollateralization 2,289,605.42 152,132.74 2,137,472.68
36 Realized Losses, LTD 0.00 0.00 0.00
37 Carryforward Amount 0.00 0.00 0.00
------------------------------------------------------
38 Total Class Principal Balance 150,000,000.00 65,000,000.00 85,000,000.00
39 Pool Factor per Loan Balance 63.6143899% 27.4950197% 36.1193702%
40 Pool Factor per Class Balance 100.0000000% 43.3333333% 56.6666667%
41 Excess Spread 0.00 0.00
42 Principal Collection Factor 100.0000000% 67.0729083% 32.9270917%
43 Additional Principal due 391,239.28 262,415.56 128,823.72
44 Cross Collateral Withdrawal 0.00 0.00
45 Cross Collateral Deposit 0.00 0.00 0.00
46 Interest Remittance @ Pass-Through Rate 804,998.17 348,832.54 456,165.63
PRINCIPAL ADDITIONS:
47 Number 0 0 0
48 Loan transfers from Pre-Funding 0.00 0.00 0.00
PRINCIPAL REDUCTIONS:
49 Prepayments - Number 2 2 0
50 Prepayments - Dollar 109,006.24 109,006.24 0.00
51 Delinquent Loans Repurchased - Number 0 0 0
52 Delinquent Loans Repurchased - Dollar 0.00 0.00 0.00
53 Net Liquidation Proceeds 0.00 0.00 0.00
54 Curtailments 5,000.00 0.00 5,000.00
55 Normal and Excess Payments 113,803.98 43,792.70 70,011.28
-------------------------------------------------------------------------
56 Principal Remittance 227,810.22 152,798.94 75,011.28
-------------------------------------------------------------------------
57 Total Principal Remittance 227,810.22 152,798.94 75,011.28
58 Additional Principal Reduction 391,239.28 262,415.56 128,823.72
-------------------------------------------------------------------------
59 TOTAL REMITTANCE 1,424,047.67 764,047.04 660,000.63 0.00
=========================================================================
60 Current Month Realized Loss - Number 0 0 0
61 Current Month Realized Loss - Dollar 0.00 0.00 0.00 0.00
CLASS PRINCIPAL BALANCE - EOM
62 Loans Outstanding - EOM 1478 605 873
63 Closing Loan Balance 95,193,774.62 41,089,730.62 54,104,044.00
64 Pre-Funding Account Balance 56,868,020.58 23,909,603.18 32,958,417.40
65 Additional Principal Reduction, LTD 2,680,844.70 414,548.30 2,266,296.40
66 Realized Losses, LTD 0.00 0.00 0.00
-------------------------------------------------------------------------
67 Total Class Principal Balance 149,380,950.50 64,584,785.50 84,796,165.00
68 Pool Factor per Loan Balance 63.4625164% 27.3931537% 36.0693627%
69 Pool Factor per Class Balance 173.5121621% 43.0565237% 130.4556385%
--------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
ALLIANCE FUNDING
BY SUPERIOR BANK FSB - SERVICING DIVISION PAGE 3 OF 4
DESIGNATED SERVICER
SERVICER'S CERTIFICATE
1998-4 GROUP 1 (SUB-POOLS 1 & 2)
IN ACCORDANCE WITH SECTION 6.08 OF THE POOLING AND SERVICING
AGREEMENT DATED AS OF SEPTEMBER 1, 1998
SUPERIOR BANK FSB - SERVICING DIVISION REPORTS THE FOLLOWING
INFORMATION PERTAINING TO SERIES 1998-4 GROUP 1 FOR DECEMBER 28, 1998, THE
REMITTANCE DATE.
DUE PERIOD ENDED: DECEMBER 1, 1998
<TABLE>
<CAPTION>
----------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
70 Weighted Note Rate - THIS Remittance 10.23961% 10.12143% 10.32991%
71 Weighted Note Rate - NEXT Remittance 10.23961% 10.12143% 10.32991%
72 Weighted Average Remaining Term 252.15 263.77 243.33
73 Accrual Period for Libor Rate 24-Nov-98 thru 27-Dec-98
74 Days in Related Period 34
75 Pass-Through Rate 5.68234% 5.68234%
<CAPTION>
GROUP 1 SUBPOOL 1 SUBPOOL 2
---------------- ---------------- ----------------
<S> <C> <C> <C>
76 Original Pool - Principal Balance 95,421,584.84 41,242,529.56 54,179,055.28
77 Original Pool - Pre-Funding Account 56,868,020.58 23,909,603.18 32,958,417.40
78 Original Pool - Initial Overcollateralization 2,289,605.42 152,132.74 2,137,472.68
--------------------------------------------------------------
79 Original Pool Total 150,000,000.00 65,000,000.00 85,000,000.00
80 Original Pool - Number of Loans 0 0 0
----------------------------------------------------------------------------------------------------------------
<CAPTION>
CLASS 1A-1 OVERCOLLATERALIZATION RECONCILIATION
Beg.of Month Current Month End of Month
---------------- ----------------- ----------------
<S> <C> <C> <C>
81 Initial Overcollateralization 152,132.74 262,415.56 414,548.30
82 Less: Realized Losses, LTD 0.00 0.00 0.00
83 Cross Coallateralzation Deposit, LTD 0.00 0.00 0.00
--------------------------------------------------------------
84 Overcollateralization of Principal 152,132.74 262,415.56 414,548.30
==============================================================
85 Base Overcollateralization Required* 1,661,379.38
86 Required Overcollateralization Amount 1,661,379.38
----------------------------------------------------------------------------------------------------------------
<CAPTION>
CLASS 1A-2 OVERCOLLATERALIZATION RECONCILIATION
Beg.of Month Current Month End of Month
---------------- ----------------- ----------------
<S> <C> <C> <C>
87 Initial Overcollateralization 2,137,472.68 128,823.72 2,266,296.40
88 Less: Realized Losses, LTD 0.00 0.00 0.00
89 Cross Coallateralzation Deposit, LTD 0.00 0.00 0.00
--------------------------------------------------------------
90 Overcollateralization of Principal 2,137,472.68 128,823.72 2,266,296.40
==============================================================
90 Base Overcollateralization Required* 6,244,897.96
91 Required Overcollateralization Amount 6,244,897.96
----------------------------------------------------------------------------------------------------------------
<CAPTION>
--------------------------------------------------------------
CURRENT MONTH SUBORDINATED AMOUNT Beg.of Month Current Month End of Month
--------------------------------------------------------------
<S> <C> <C> <C>
92 Original Group 1 Subordinated Amount 16,737,508.18 N/A 16,737,508.18
93 Less: Group 1 Cumulative Realized Losses 0.00 0.00 0.00
94 Plus: Group 1 Cumulative Additional Proceeds 0.00 0.00 0.00
--------------------------------------------------------------
95 Current Group 1 Subordinated Amount 16,737,508.18 0.00 16,737,508.18
==============================================================
----------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
ALLIANCE FUNDING
BY SUPERIOR BANK FSB - SERVICING DIVISION PAGE 4 OF 4
DESIGNATED SERVICER
SERVICER'S CERTIFICATE
1998-4 GROUP 1 (SUB-POOLS 1 & 2)
IN ACCORDANCE WITH SECTION 6.08 OF THE POOLING AND SERVICING
AGREEMENT DATED AS OF SEPTEMBER 1, 1998
SUPERIOR BANK FSB - SERVICING DIVISION REPORTS THE FOLLOWING
INFORMATION PERTAINING TO SERIES 1998-4 GROUP 1 FOR DECEMBER 28, 1998, THE
REMITTANCE DATE.
DUE PERIOD ENDED: DECEMBER 1, 1998
<TABLE>
<CAPTION>
-------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
NONRECOVERABLE ADVANCE RECONCILIATION GROUP 1
----------------
96 Beginning of Month 0.00
97 Current Month Unpaid Nonrecoverable Advance 0.00
98 Less: Current Month Reimbursement 0.00
----------------
99 End of Month 0.00
-------------------------------------------------------------------------------------------------------
CLASS FACTORS GROUP 1 CLASS 1A-1 CLASS 1A-2
---------------- ---------------- ----------------
100 Total Class Principal - Original Pool 150,000,000.00 65,000,000.00 85,000,000.00
101 Interest Remittance Amount 804,998.17 348,832.54 456,165.63
102 Interest Rate Factor / 1000 5.366654 5.366654 5.366654
103 Total Principal Collections 227,810.22 152,798.94 75,011.28
104 Prefunding Account Excess 0.00 0.00 0.00
105 Additional Principal Reduction 391,239.28 262,415.56 128,823.72
---------------- ---------------- ----------------
106 Principal Remittance Amount 619,049.50 415,214.50 203,835.00
107 Principal Payment Factor/1000 4.126997 6.387915 2.398059
108 Current Month Ending Principal Factor 995.873003 993.612085 997.601941
-------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
ALLIANCE FUNDING
BY SUPERIOR BANK FSB - SERVICING DIVISION PAGE 1 OF 4
DESIGNATED SERVICER
SERVICER'S CERTIFICATE
1998-4 GROUP 2 (SUB-POOLS 3 & 4)
IN ACCORDANCE WITH SECTION 6.08 OF THE POOLING AND SERVICING AGREEMENT
DATED AS OF SEPTEMBER 1, 1998
SUPERIOR BANK FSB - SERVICING DIVISION REPORTS THE FOLLOWING
INFORMATION PERTAINING TO SERIES 1998-4 GROUP 2 FOR DECEMBER 28, 1998, THE
REMITTANCE DATE.
DUE PERIOD ENDED: DECEMBER 1, 1998
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------------------------
GROUP 2 SUB-POOL 3 SUB-POOL 4
---------------- ---------------- ----------------
COLLECTIONS
<S> <C> <C> <C>
1 Total Actual Principal Collections 240,527.47 221,203.93 19,323.54
2 Total Actual Interest Collections 176,530.83 74,481.07 102,049.76
3 Service Fees Previously Remitted 33,548.08 11,599.60 21,948.48
4 Additional Proceeds 0.00 0.00 0.00
---------------- ---------------- ----------------
5 TOTAL COLLECTIONS: 383,510.22 284,085.40 99,424.82
6 Pre-Funding Account Transfers 0.00 0.00 0.00
7 Interest Coverage Account Transfer 476,161.50 101,766.33 374,395.17
8 Deferred Interest Coverage Account Transfer 37,733.58 16,797.18 20,936.40
---------------- ---------------- ----------------
9 AGGREGATE AMOUNT RECEIVED: 897,405.30 402,648.91 494,756.39
MONTHLY ADVANCES
10 Monthly Advance 549,476.06 172,317.10 377,158.96
11 Compensating Interest 427.54 427.54 0.00
12 Amounts Held for Future Distributions 0.00 0.00 0.00
13 Cross Collateral Deposit 0.00 0.00 0.00
14 Reserve Withdrawal per Sec. 6.14 0.00 0.00 0.00
---------------- ---------------- ----------------
15 AVAILABLE REMITTANCE AMOUNT: 1,447,308.90 575,393.55 871,915.35
FEES
16 Service Fees 10,949.29 854.06 10,095.23
17 Expense Account Deposit: 1,248.00 373.16 874.84
---------------- ---------------- ----------------
18 ADJUSTED REMITTANCE AMOUNT: 1,435,111.61 574,166.33 860,945.28
REMAINING AMOUNT AVAILABLE:
19 Adjusted Remittance Amount 1,435,111.61
20 Insured Payments due 0.00
21 Monthly Insurance Premium @ 12 bp
the Ending Principal Balance 14,975.95
22 Cross Collateral Withdrawal 0.00
23 Class Remittance Amounts 1,420,135.66
24 Non-Recoverable Advances not
Previously Reimbursed 0.00
----------------
25 Total Remaining Amount Available: 0.00
================
REIMBURSEMENTS DUE PURSUANT TO SEC. 5.04
26 Servicing Fee 0.00 0.00 0.00
27 Monthly Advances and Servicer Advances 0.00 0.00 0.00
28 Preference Amount per Sec. 6.06(b) 0.00 0.00 0.00
29 Servicing compensation per Sec. 7.03 0.00 0.00 0.00
30 REO Mgmt. & Dispositions per Sec 5.10 0.00 0.00 0.00
31 Trustee Advances per Sec 11.01 0.00 0.00 0.00
- -----------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
ALLIANCE FUNDING
BY SUPERIOR BANK FSB - SERVICING DIVISION PAGE 2 OF 4
DESIGNATED SERVICER
SERVICER'S CERTIFICATE
1998-4 GROUP 2 (SUB-POOLS 3 & 4)
IN ACCORDANCE WITH SECTION 6.08 OF THE POOLING AND SERVICING AGREEMENT
DATED AS OF SEPTEMBER 1, 1998
SUPERIOR BANK FSB - SERVICING DIVISION REPORTS THE FOLLOWING
INFORMATION PERTAINING TO SERIES 1998-4 GROUP 2 FOR DECEMBER 28, 1998, THE
REMITTANCE DATE.
<TABLE>
<CAPTION>
DUE PERIOD ENDED: DECEMBER 1, 1998
- ------------------------------------------------------------------------------------------------------------------------------
GROUP 2 CLASS 2A-1 CLASS 2A-2 CLASS R
---------------- ---------------- ---------------- ----------------
<S> <C> <C> <C> <C>
32 Loans Outstanding - BOM 855 355 500
33 Original Loan Balance 95,492,267.62 32,879,754.38 62,612,513.24
34 Pre-Funding Account Balance 56,650,589.52 12,120,245.62 44,530,343.90
35 Initial Overcollateralization 2,142,857.14 0.00 2,142,857.14
36 Realized Losses, LTD 0.00 0.00 0.00
37 Carryforward Amount 0.00 0.00 0.00
------------------------------------------------------
38 Total Class Principal Balance 150,000,000.00 45,000,000.00 105,000,000.00
39 Pool Factor per Loan Balance 63.6615117% 21.9198363% 41.7416755%
40 Pool Factor per Class Balance 100.0000000% 30.0000000% 70.0000000%
41 Excess Spread 0.00 0.00
42 Principal Collection Factor 100.0000000% 91.9661817% 8.0338183%
43 Additional Principal due 390,193.36 358,845.93 31,347.43
44 Cross Collateral Withdrawal 0.00 0.00
45 Cross Collateral Deposit 0.00 0.00 0.00
46 Interest Remittance @ Pass-Through Rate 789,414.83 236,824.45 552,590.38
PRINCIPAL ADDITIONS:
47 Number 0 0 0
48 Loan transfers from Pre-Funding 0.00 0.00 0.00
PRINCIPAL REDUCTIONS:
49 Prepayments - Number 3 3 0
50 Prepayments - Dollar 211,447.60 211,447.60 0.00
51 Delinquent Loans Repurchased - Number 0 0 0
52 Delinquent Loans Repurchased - Dollar 0.00 0.00 0.00
53 Net Liquidation Proceeds 0.00 0.00 0.00
54 Curtailments 0.00 0.00 0.00
55 Normal and Excess Payments 29,079.87 9,756.33 19,323.54
-------------------------------------------------------------------------
56 Principal Remittance 240,527.47 221,203.93 19,323.54
-------------------------------------------------------------------------
57 Total Principal Remittance 240,527.47 221,203.93 19,323.54
58 Additional Principal Reduction 390,193.36 358,845.93 31,347.43
-------------------------------------------------------------------------
59 TOTAL REMITTANCE 1,420,135.66 816,874.31 603,261.35 0.00
=========================================================================
60 Current Month Realized Loss - Number 0 0 0 0
61 Current Month Realized Loss - Dollar 0.00 0.00 0.00 0.00
CLASS PRINCIPAL BALANCE - EOM
62 Loans Outstanding - EOM 852 352 500
63 Closing Loan Balance 95,251,740.15 32,658,550.45 62,593,189.70
64 Pre-Funding Account Balance 56,650,589.52 12,120,245.62 44,530,343.90
65 Additional Principal Reduction, LTD 2,533,050.50 358,845.93 2,174,204.57
66 Realized Losses, LTD 0.00 0.00 0.00
-------------------------------------------------------------------------
67 Total Class Principal Balance 149,369,279.17 44,419,950.14 104,949,329.03
68 Pool Factor per Loan Balance 63.5011601% 21.7723670% 41.7287931%
69 Pool Factor per Class Balance 262.8340313% 29.6133001% 233.2207312%
</TABLE>
<PAGE>
ALLIANCE FUNDING
BY SUPERIOR BANK FSB - SERVICING DIVISION PAGE 3 OF 4
DESIGNATED SERVICER
SERVICER'S CERTIFICATE
1998-4 GROUP 2 (SUB-POOLS 3 & 4)
IN ACCORDANCE WITH SECTION 6.08 OF THE POOLING AND SERVICING AGREEMENT
DATED AS OF SEPTEMBER 1, 1998
SUPERIOR BANK FSB - SERVICING DIVISION REPORTS THE FOLLOWING
INFORMATION PERTAINING TO SERIES 1998-4 GROUP 2 FOR DECEMBER 28, 1998, THE
REMITTANCE DATE.
<TABLE>
<CAPTION>
DUE PERIOD ENDED: DECEMBER 1, 1998
----------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
70 Weighted Note Rate - THIS Remittance 10.08452% 10.07567% 10.08917%
71 Weighted Note Rate - NEXT Remittance 10.08452% 10.07567% 10.08917%
72 Weighted Average Remaining Term 356.74 358.24 355.96
73 Accrual Period for Libor Rate 24-Nov-98 thru 27-Dec-98
74 Days in Related Period 34
75 Pass-Through Rate 5.57234% 5.57234%
<CAPTION>
GROUP 2 SUBPOOL 3 SUBPOOL 4
---------------- ---------------- ----------------
<S> <C> <C> <C>
76 Original Pool - Principal Balance 95,492,267.62 32,879,754.38 62,612,513.24
77 Original Pool - Pre-Funding Account 56,650,589.52 12,120,245.62 44,530,343.90
78 Original Pool - Initial Overcollateralization 2,142,857.14 0.00 2,142,857.14
--------------------------------------------------------------
79 Original Pool Total 150,000,000.00 45,000,000.00 105,000,000.00
80 Original Pool - Number of Loans 855 355 500
----------------------------------------------------------------------------------------------------------------
<CAPTION>
CLASS 2A-1 OVERCOLLATERALIZATION RECONCILIATION
Beg.of Month Current Month End of Month
--------------------------------------------------------------
<S> <C> <C> <C>
81 Initial Overcollateralization 0.00 358,845.93 358,845.93
82 Less: Realized Losses, LTD 0.00 0.00 0.00
83 Cross Coallateralzation Deposit, LTD 0.00 0.00 0.00
--------------------------------------------------------------
84 Overcollateralization of Principal 0.00 358,845.93 358,845.93
==============================================================
85 Base Overcollateralization Required 1,890,000.00
86 Required Overcollateralization Amount 1,890,000.00
----------------------------------------------------------------------------------------------------------------
CLASS 2A-2 OVERCOLLATERALIZATION RECONCILIATION
<CAPTION>
Beg.of Month Current Month End of Month
--------------------------------------------------------------
<S> <C> <C> <C>
87 Initial Overcollateralization 2,142,857.14 31,347.43 2,174,204.57
88 Less: Realized Losses, LTD 0.00 0.00 0.00
89 Cross Coallateralzation Deposit, LTD 0.00 0.00 0.00
--------------------------------------------------------------
90 Overcollateralization of Principal 2,142,857.14 31,347.43 2,174,204.57
==============================================================
90 Base Overcollateralization Required 5,785,714.29
91 Required Overcollateralization Amount 5,785,714.29
----------------------------------------------------------------------------------------------------------------
<CAPTION>
--------------------------------------------------------------
CURRENT MONTH SUBORDINATED AMOUNT Beg.of Month Current Month End of Month
--------------------------------------------------------------
<S> <C> <C> <C>
92 Original Group 2 Subordinated Amount 18,113,295.77 N/A 18,113,295.77
93 Less: Group 2 Cumulative Realized Losses 0.00 0.00 0.00
94 Plus: Group 2 Cumulative Additional Proceeds 0.00 0.00 0.00
--------------------------------------------------------------
95 Current Group 2 Subordinated Amount 18,113,295.77 0.00 18,113,295.77
==============================================================
----------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
ALLIANCE FUNDING
BY SUPERIOR BANK FSB - SERVICING DIVISION PAGE 4 OF 4
DESIGNATED SERVICER
SERVICER'S CERTIFICATE
1998-4 GROUP 2 (SUB-POOLS 3 & 4)
IN ACCORDANCE WITH SECTION 6.08 OF THE POOLING AND SERVICING AGREEMENT
DATED AS OF SEPTEMBER 1, 1998
SUPERIOR BANK FSB - SERVICING DIVISION REPORTS THE FOLLOWING
INFORMATION PERTAINING TO SERIES 1998-4 GROUP 2 FOR DECEMBER 28, 1998, THE
REMITTANCE DATE.
DUE PERIOD ENDED: DECEMBER 1, 1998
<TABLE>
<CAPTION>
-------------------------------------------------------------------------------------------------------
NONRECOVERABLE ADVANCE RECONCILIATION GROUP 2
----------------
<S> <C>
96 Beginning of Month 0.00
97 Current Month Unpaid Nonrecoverable Advance 0.00
98 Less: Current Month Reimbursement 0.00
----------------
99 End of Month 0.00
<CAPTION>
-------------------------------------------------------------------------------------------------------
CLASS FACTORS GROUP 2 CLASS 2A-1 CLASS 2A-2
---------------- ---------------- ----------------
<S> <C> <C> <C>
10 Total Class Principal - Original Pool 150,000,000.00 45,000,000.00 105,000,000.00
101 Interest Remittance Amount 789,414.83 236,824.45 552,590.38
102 Interest Rate Factor / 1000 5.262766 5.262766 5.262766
103 Total Principal Collections 240,527.47 221,203.93 19,323.54
104 Prefunding Account Excess 0.00 0.00 0.00
105 Additional Principal Reduction 390,193.36 358,845.93 31,347.43
---------------- ---------------- ----------------
106 Principal Remittance Amount 630,720.83 580,049.86 50,670.97
107 Principal Payment Factor/1000 4.204806 12.889997 0.482581
108 Current Month Ending Principal Factor 995.795194 987.110003 999.517419
-------------------------------------------------------------------------------------------------------
</TABLE>
