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Simple English definitions for legal terms

stripped mortgage-backed security

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A quick definition of stripped mortgage-backed security:

A stripped mortgage-backed security is a type of investment that is backed by a pool of mortgages. It is called "stripped" because it separates the interest payments from the principal payments, creating two separate securities. These securities can then be sold separately to investors. Essentially, it is a way for investors to invest in a pool of mortgages without having to buy the entire pool.

A more thorough explanation:

A stripped mortgage-backed security is a type of security that is created by separating the interest and principal payments of a mortgage-backed security into two separate securities. The interest payments are sold as one security, while the principal payments are sold as another security.

For example, let's say there is a mortgage-backed security that has a total value of $100,000. The interest payments on the mortgage are $5,000 per year, while the principal payments are $95,000. The issuer of the security can create two separate securities: one that pays the $5,000 in interest each year, and another that pays the $95,000 in principal when the mortgage is paid off.

The stripped mortgage-backed security allows investors to choose which type of payment they want to receive. Some investors may prefer the steady income from the interest payments, while others may prefer the lump sum payment of the principal when the mortgage is paid off.

Overall, the stripped mortgage-backed security is a way for investors to customize their investments based on their individual preferences.

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19:43
@Dkk: yeah register 1 website and every swinging tom dick and harry calls/emails/texts to 'help with seo'. like bruh, if YOU found it, what i am doing is working
Dkk
19:43
Indeed!
19:48
wasp, i think people are hopeful for a gov who at least attempts to care about the common man
MIAMI A
[] AromaticTroubledDormouse
20:55
How does one know if they are UR1 or UR2?
[] AromaticTroubledDormouse
20:56
CONGRATS MACAQUE!
TY
got a random stanford email and almost had a heart attack
ALSO CONGRATS!
Congrats1!
21:15
Miami A, yall I'm so excited I could cry.
21:15
Feel like I can finally stop holding my breath!! Whew!!!
[] baddestbunny
22:16
every time I get accosted by a strange man who follows me around because my male coworkers were too busy talking to walk me back to my car I get closer to saying we need to bring back traditional gender roles
Dkk
22:32
Nice! @Macaque
Dkk
22:32
@Aromatic, Have to guess.
Dkk
22:33
That sucks @Bunny do you have to go to the hospital?
[] baddestbunny
22:40
I said accosted not assaulted
23:35
guys. my notre dame address just went long is this good or bad
1a2b3c4d26z
23:37
Oooooo me too
23:37
omg is this good or bad
Dkk
23:47
Idk if gender roles are gunna fix that then.
23:49
it looks like most people who applied in october last cycle didn't get a decision until january... does it even mean anything that our addresses went long??
hows ED 2 compared to ED 1?
Dkk
0:10
No idea
windyMagician
0:34
reporting live to say my ndls address also went long
does it mean anything ^
Dkk
2:21
NDLS and Fordham took a very long time last year. It's good info for people to know.
[] baddestbunny
4:29
let’s get after it boys and girls
Dkk
5:21
I gtg to bed soon.
Dkk
5:22
Big day today. Gunna be a crazy one. I will sleep through the first half.
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