Administration of Funds

The ServicerServicerPrimary Person servicing the Mortgage Loan, including the originator, seller, or a third party. must:

• administer and manage funds or collateral under all Collateral AgreementsCollateral AgreementsAgreement under which collateral (other than the Property) may be pledged, transferred, or otherwise provided to secure the Borrower’s obligations under a Mortgage Loan. ; and
• ensure that any disbursements of funds, or other collateral releases or reductions, are:
  • approved only for valid reasons;
  • appropriately documented; and
  • consistent with the provisions of the Collateral AgreementCollateral AgreementAgreement under which collateral (other than the Property) may be pledged, transferred, or otherwise provided to secure the Borrower’s obligations under a Mortgage Loan. and this Section.