8-K 1 d279864.txt FINANCIAL ASSET SECURITIES CORP ================================================================================ 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 8, 2004 FINANCIAL ASSET SECURITIES CORP. (AS DEPOSITOR UNDER THE POOLING AND SERVICING AGREEMENT, DATED AS OF AUGUST 1, 2004, PROVIDING FOR THE ISSUANCE OF ASSET-BACKED CERTIFICATES, SERIES 2004-2) Financial Asset Securities Corp. (Exact name of registrant as specified in its charter) -------------------------------------------------------------------------------- Delaware 333-111379 06-1442101 -------------------------------- ----------- ---------------------- (State or Other Jurisdiction of (Commission (I.R.S. Employer Incorporation) File Number) Identification Number) 600 Steamboat Road 06830 Greenwich, Connecticut -------------- ---------------------------------------- (Zip Code) (Address of Principal Executive Offices) Registrant's telephone number, including area code: (203) 625-2700 ================================================================================ Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below): [ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) [ ] Soliciting material pursuant to Rule 14a-12(b) under the Exchange Act (17 CFR 240.14a-12(b)) [ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) [ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) SECTION 2 - FINANCIAL INFORMATION ITEM 2.01 COMPLETION OF ACQUISITION OR DISPOSITION OF ASSETS. On August 12, 2004, a single series of certificates, entitled Meritage Mortgage Loan Trust 2004-2, Asset-Backed Certificates, Series 2004-2 (the "Certificates"), were issued pursuant to a pooling and servicing agreement, dated as of August 1, 2004 (the "Agreement"), among Financial Asset Securities Corp. (the "Depositor"), Saxon Mortgage Services, Inc., as servicer ("Saxon") and Deutsche Bank National Trust Company (the "Trustee"). On October 29, 2004, following the closing of the initial issuance of the Certificates, the Trustee purchased from the Depositor certain Subsequent Mortgage Loans, as defined in the Agreement, with an aggregate Stated Principal Balance equal to $403,818,860.75 with funds on deposit in the pre-funding accounts (the "Group I Pre-Funding Account" and the "Group II Pre-Funding Account"; together the "Pre-Funding Accounts") established pursuant to the Agreement at a purchase price equal to the Stated Principal Balance thereof, which Subsequent Mortgage Loans were conveyed to the Trustee pursuant to a Subsequent Transfer Instrument, dated October 29, 2004 (the "Instrument"), between the Depositor and the Trustee. Attached to the Instrument is the Mortgage Loan Schedule listing the Subsequent Mortgage Loans that are the subject of such Instrument. SECTION 8 - OTHER EVENTS ITEM 8.01 OTHER EVENTS. Description of the Mortgage Pool The Certificates, issued pursuant to the Agreement, evidence in the aggregate the entire beneficial ownership interest in a trust fund (the "Trust Fund"), consisting primarily of a segregated pool (the "Mortgage Pool") of conventional, one- to four- family, first lien and second lien, adjustable-rate and fixed-rate mortgage loans having original terms to maturity of not greater than 30 years (the "Mortgage Loans"). After the Subsequent Transfer Date, the Trust Fund primarily consisted of the Mortgage Pool, which consisted of Group I Mortgage Loans having an aggregate Stated Principal Balance of approximately $838,726,932.97, and Group II Mortgage Loans having an aggregate Stated Principal Balance of approximately $172,062,994.72. The tables attached as an exhibit hereto describe certain characteristics of the Mortgage Pool as of the respective applicable Subsequent Cut-off Date. 1 SECTION 9 - FINANCIAL STATEMENTS AND EXHIBITS ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS (a) Not applicable (b) Not applicable (c) Exhibits 2

~~UNITED~~Exhibit ~~STATES SECURITIES AND EXCHANGE COMMISSION Washington, D~~No.C. ~~20549~~Description ~~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): September 27, 2004 (Date of earliest event reported) Financial Asset Securities Corporation (as Depositor under the Pooling and Servicing Agreement, dated as August 1, 2004, providing for the issuance of Meritage Mortgage Loan Trust 2004-~~2 Asset~~-~~Backed Pass~~-~~Through Certificates, Series 2004~~-~~2) (Exact name of registrant as specified in charter) DELAWARE (State or Other Jurisdiction of Incorporation) 333~~-~~111379~~-~~22 06~~-1442101 (Commission File Number) (I.R.S. Employer Identification No.) 600 Steamboat Road Greenwich, Connecticut 06830 (Address of principal executive offices) (Zip Code) Registrant's Telephone Number, Including Area Code: (203) 625-~~2700 (Former name or former address, if changed since last report.) Check the appropriate box below if the Form 8~~-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below): [ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) [ ] Soliciting material pursuant to Rule 14a-~~12(b)~~ ~~under the Exchange Act (17 CFR 240.14a~~-~~12(b)) [ ] Pre~~-~~commencement communications pursuant to Rule 14d~~-~~2(b) under the Exchange Act (17 CFR 240.14d~~-~~2(b)) [ ] Pre~~-~~commencement communications pursuant to Rule 13e~~-~~4(c) under the Exchange Act (17 CFR 240.13e~~-~~4(c))~~---- ~~Item 8~~4.012 ~~Other~~Subsequent ~~Events~~Transfer ~~Attached~~Instrument, hereto is a copy of the Monthly Remittance Statements to the Certificateholders which was derived from the monthly information submitted by the Master Servicer of the Trust to the Trustee. Item 9.01 Financial Statements and Exhibits (c) Exhibits: Exhibit No. Description 99.1 Monthly Remittance Statement to the Certificateholders dated as ofOctober ~~September 27~~29, 2004. ~~Signatures~~between ~~Pursuant~~Financial toAsset ~~the requirements of the~~ Securities ~~Exchange~~Corp. ~~Act~~as ofseller ~~1934,~~and ~~the Registrant has duly caused this report to be signed on its behalf by the undersigned, hereunto duly authorized.~~ Deutsche Bank National Trust Company, inas ~~its~~trustee. ~~capacity~~99.1 asCharacteristics ~~Trustee~~of ~~under~~ the ~~Pooling~~Mortgage ~~and~~Pool ~~Servicing~~as ~~Agreement on behalf~~ of ~~Financial~~the ~~Asset~~Subsequent ~~Securities~~Cut-off ~~Corporation, Registrant~~ Date: ~~Sep~~relating ~~27, 2004 By: /s/ Katherine M. Wannenmacher Katherine M. Wannenmacher Vice President EXHIBIT INDEX DOCUMENT 99.1 Monthly Remittance Statement~~ to ~~the~~Meritage ~~Certificateholders~~Mortgage ~~dated~~Loan asTrust of2004-2, ~~September~~Asset-Backed 27Certificates, Series 2004-2.

3 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 the undersigned thereunto duly authorized. Dated: November 8, 2004 FINANCIAL ASSET SECURITIES CORP. By: /s/ Frank Skibo ----------------------------- Name: Frank Skibo Title: Senior Vice President Index to Exhibits ----------------- Sequentially Exhibit No. Description Numbered Page ----------- ----------- ------------- 4.2 Subsequent Transfer Instrument, dated as October 29, 2004, between Financial Asset Securities Corp. as seller and Deutsche Bank National Trust Company as trustee. 99.1 Characteristics of the Mortgage Pool as of the Subsequent Cut-off Date, relating to Meritage Mortgage Loan Trust 2004-2, Asset-Backed Certificates, Series 2004-2.

	Meritage Mortgage Loan Trust 2004-2
	Asset Backed Certificates
	September 27, 2004 Distribution
	Contents
			TABLE OF CONTENTS
								Page
			1.	Contents				1
			2.	Certificate Payment Report				2
			3.	Collection Account Report				4
			4.	Credit Enhancement Report				7
			5.	Collateral Report				8
			6.	Delinquency Report				11
			7.	REO Report				14
			8.	Foreclosure Report				15
			9.	Prepayment Report				16
			10.	Prepayment Detail Report				19
			11.	Realized Loss Report				20
			12.	Realized Loss Detail Report				23
			13.	Triggers, Adj. Rate Cert. and Miscellaneous Report				24
			14.	Additional Certificate Report				25
				Total Number of Pages				25
			CONTACTS
				Administrator: Eiko Akiyama
				Direct Phone Number: (714)247-6328
				Address: Deutsche Bank
				1761 E. St. Andrew Place, Santa Ana, CA 92705
				Web Site: https://www.corporatetrust.db.com/invr
				Factor Information: (800) 735-7777
				Main Phone Number: (714) 247-6000
ISSUANCE INFORMATION
	Seller:		Greenwich Capital Financial Products, In					Cut-Off Date: August 1, 2004
	Certificate Insurer(s):							Closing Date: August 12, 2004
								First Payment Date: September 27, 2004
	Servicer(s):		Saxon Mortgage Services, Inc. Master Servicer
								Distribution Date: September 27, 2004
	Underwriter(s):		Greenwich Capital Markets					Record Date: September 24, 2004
								August 31, 2004
						Page 1 of 25					© COPYRIGHT 2004 Deutsche Bank
	Meritage Mortgage Loan Trust 2004-2
	Asset Backed Certificates
	Series 2004-2
	Certificate Payment Report for September 27, 2004 Distribution
	Distribution in Dollars - Current Period
					Prior						Current
	Class	Original			Principal			Total	Realized	Deferred	Principal
Class	Type	Face Value			Balance	Interest	Principal	Distribution	Losses	Interest	Balance
					(1)	(2)	(3)	(4)=(2)+(3)	(5)	(6)	(7)=(1)-(3)-(5)+(6)
I-A1	STEP	656,312,000.00			656,312,000.00	1,600,717.62	2,724,062.19	4,324,779.81	-	-	653,587,937.81
II-A1	STEP	28,000,000.00			28,000,000.00	61,493.06	1,473,781.74	1,535,274.80	-	-	26,526,218.26
II-A2	STEP	93,600,000.00			93,600,000.00	224,698.50	-	224,698.50	-	-	93,600,000.00
II-A3	STEP	13,039,000.00			13,039,000.00	34,800.55	-	34,800.55	-	-	13,039,000.00
M-1	MEZ	32,851,000.00			32,851,000.00	89,357.00	-	89,357.00	-	-	32,851,000.00
M-2	MEZ	30,324,000.00			30,324,000.00	84,420.75	-	84,420.75	-	-	30,324,000.00
M-3	MEZ	20,216,000.00			20,216,000.00	57,572.08	-	57,572.08	-	-	20,216,000.00
M-4	MEZ	17,689,000.00			17,689,000.00	61,676.88	-	61,676.88	-	-	17,689,000.00
M-5	MEZ	17,689,000.00			17,689,000.00	62,807.01	-	62,807.01	-	-	17,689,000.00
M-6	MEZ	15,162,000.00			15,162,000.00	57,709.31	-	57,709.31	-	-	15,162,000.00
M-7	MEZ	15,162,000.00			15,162,000.00	65,458.78	-	65,458.78	-	-	15,162,000.00
M-8	MEZ	15,162,000.00			15,162,000.00	68,364.83	-	68,364.83	-	-	15,162,000.00
M-9	MEZ	15,162,000.00			15,162,000.00	98,394.01	-	98,394.01	-	-	15,162,000.00
M-10	MEZ	12,635,000.00			12,635,000.00	81,995.01	-	81,995.01	-	-	12,635,000.00
B-1	SUB	10,108,000.00			10,108,000.00	62,367.06	-	62,367.06	-	-	10,108,000.00
B-2	SUB	7,581,000.00			7,581,000.00	46,775.30	-	46,775.30	-	-	7,581,000.00
C	SUB	10,107,900.00			10,107,900.00	624,175.95	-	624,175.95	-	100.00	10,108,000.00
P	SUB	100.00			100.00	67,143.11	-	67,143.11	-	-	100.00
R	R	-			-	-	-	-	-	-	-
Total		1,010,800,000.00			1,010,800,000.00	3,449,926.81	4,197,843.93	7,647,770.74	-	100.00	1,006,602,256.07
	Interest Accrual Detail				Current Period Factor Information per $1,000 of Original Face
						Orig. Principal	Prior				Current
	Period	Period				(with Notional)	Principal			Total	Principal
Class	Starting	Ending		Method	Cusip	Balance	Balance	Interest	Principal	Distribution	Balance
							(1)	(2)	(3)	(4)=(2)+(3)	(5)
I-A1	08/12/04	09/26/04		A-Act/360	59001FBA8	656,312,000.00	1,000.000000	2.438958	4.150560	6.589518	995.849440
II-A1	08/12/04	09/26/04		A-Act/360	59001FBB6	28,000,000.00	1,000.000000	2.196181	52.635062	54.831243	947.364938
II-A2	08/12/04	09/26/04		A-Act/360	59001FBC4	93,600,000.00	1,000.000000	2.400625	-	2.400625	1,000.000000
II-A3	08/12/04	09/26/04		A-Act/360	59001FBD2	13,039,000.00	1,000.000000	2.668959	-	2.668959	1,000.000000
M-1	08/12/04	09/26/04		A-Act/360	59001FBE0	32,851,000.00	1,000.000000	2.720069	-	2.720069	1,000.000000
M-2	08/12/04	09/26/04		A-Act/360	59001FBF7	30,324,000.00	1,000.000000	2.783958	-	2.783958	1,000.000000
M-3	08/12/04	09/26/04		A-Act/360	59001FBG5	20,216,000.00	1,000.000000	2.847847	-	2.847847	1,000.000000
M-4	08/12/04	09/26/04		A-Act/360	59001FBH3	17,689,000.00	1,000.000000	3.486736	-	3.486736	1,000.000000
M-5	08/12/04	09/26/04		A-Act/360	59001FBJ9	17,689,000.00	1,000.000000	3.550625	-	3.550625	1,000.000000
M-6	08/12/04	09/26/04		A-Act/360	59001FBK6	15,162,000.00	1,000.000000	3.806181	-	3.806181	1,000.000000
M-7	08/12/04	09/26/04		A-Act/360	59001FBL4	15,162,000.00	1,000.000000	4.317292	-	4.317292	1,000.000000
M-8	08/12/04	09/26/04		A-Act/360	59001FBM2	15,162,000.00	1,000.000000	4.508959	-	4.508959	1,000.000000
M-9	08/12/04	09/26/04		A-Act/360	59001FBN0	15,162,000.00	1,000.000000	6.489514	-	6.489514	1,000.000000
M-10	08/12/04	09/26/04		A-Act/360	59001FBP5	12,635,000.00	1,000.000000	6.489514	-	6.489514	1,000.000000
B-1	08/12/04	09/26/04		A-Act/360	59001FBQ3	10,108,000.00	1,000.000000	6.170069	-	6.170069	1,000.000000
B-2	08/12/04	09/26/04		A-Act/360	59001FBR1	7,581,000.00	1,000.000000	6.170070	-	6.170070	1,000.000000
C				A-30/360		1,020,907,900.00	1,000.000000	0.611393	-	0.611393	995.888323
P				-		100.00	1,000.000000	671,431.100000	-	671,431.100000	1,000.000000
R				-		-	-	-	-	-	-
							Page 2 of 25				© COPYRIGHT 2004 Deutsche Bank
	Meritage Mortgage Loan Trust 2004-2
	Asset Backed Certificates
	Series 2004-2
	Certificate Payment Report for September 27, 2004 Distribution
	Distribution in Dollars - to Date
											Current
	Original				Unscheduled	Scheduled	Total	Total	Realized	Deferred	Principal
Class	Face Value		Interest		Principal	Principal	Principal	Distribution	Losses	Interest	Balance
	(1)		(2)		(3)	(4)	(5)=(3)+(4)	(6)=(2)+(5)	(7)	(8)	(9)=(1)-(5)-(7)+(8)
I-A1	656,312,000.00		1,600,717.62		2,493,737.22	230,324.97	2,724,062.19	4,324,779.81	-	-	653,587,937.81
II-A1	28,000,000.00		61,493.06		1,437,664.95	36,116.79	1,473,781.74	1,535,274.80	-	-	26,526,218.26
II-A2	93,600,000.00		224,698.50		-	-	-	224,698.50	-	-	93,600,000.00
II-A3	13,039,000.00		34,800.55		-	-	-	34,800.55	-	-	13,039,000.00
M-1	32,851,000.00		89,357.00		-	-	-	89,357.00	-	-	32,851,000.00
M-2	30,324,000.00		84,420.75		-	-	-	84,420.75	-	-	30,324,000.00
M-3	20,216,000.00		57,572.08		-	-	-	57,572.08	-	-	20,216,000.00
M-4	17,689,000.00		61,676.88		-	-	-	61,676.88	-	-	17,689,000.00
M-5	17,689,000.00		62,807.01		-	-	-	62,807.01	-	-	17,689,000.00
M-6	15,162,000.00		57,709.31		-	-	-	57,709.31	-	-	15,162,000.00
M-7	15,162,000.00		65,458.78		-	-	-	65,458.78	-	-	15,162,000.00
M-8	15,162,000.00		68,364.83		-	-	-	68,364.83	-	-	15,162,000.00
M-9	15,162,000.00		98,394.01		-	-	-	98,394.01	-	-	15,162,000.00
M-10	12,635,000.00		81,995.01		-	-	-	81,995.01	-	-	12,635,000.00
B-1	10,108,000.00		62,367.06		-	-	-	62,367.06	-	-	10,108,000.00
B-2	7,581,000.00		46,775.30		-	-	-	46,775.30	-	-	7,581,000.00
C	10,107,900.00		624,175.95		-	-	-	624,175.95	-	100.00	10,108,000.00
P	100.00		67,143.11		-	-	-	67,143.11	-	-	100.00
R	-		-		-	-	-	-	-	-	-
Total	1,010,800,000.00		3,449,926.81		3,931,402.17	266,441.76	4,197,843.93	7,647,770.74	-	100.00	1,006,602,256.07
	Interest Detail
	Pass-	Prior Principal				Non-	Prior	Unscheduled		Paid or	Current
	Through	(with Notional)			Accrued	Supported	Unpaid	Interest	Optimal	Deferred	Unpaid
Class	Rate	Balance			Interest	Interest SF	Interest	Adjustments	Interest	Interest	Interest
					(1)	(2)	(3)	(4)	(5)=(1)-(2)+(3)+(4)	(6)	(7)=(5)-(6)
I-A1	1.90875%	656,312,000.00			1,600,717.62	-	-	-	1,600,717.62	1,600,717.62	-
II-A1	1.71875%	28,000,000.00			61,493.06	-	-	-	61,493.06	61,493.06	-
II-A2	1.87875%	93,600,000.00			224,698.50	-	-	-	224,698.50	224,698.50	-
II-A3	2.08875%	13,039,000.00			34,800.55	-	-	-	34,800.55	34,800.55	-
M-1	2.12875%	32,851,000.00			89,357.00	-	-	-	89,357.00	89,357.00	-
M-2	2.17875%	30,324,000.00			84,420.75	-	-	-	84,420.75	84,420.75	-
M-3	2.22875%	20,216,000.00			57,572.08	-	-	-	57,572.08	57,572.08	-
M-4	2.72875%	17,689,000.00			61,676.88	-	-	-	61,676.88	61,676.88	-
M-5	2.77875%	17,689,000.00			62,807.01	-	-	-	62,807.01	62,807.01	-
M-6	2.97875%	15,162,000.00			57,709.31	-	-	-	57,709.31	57,709.31	-
M-7	3.37875%	15,162,000.00			65,458.78	-	-	-	65,458.78	65,458.78	-
M-8	3.52875%	15,162,000.00			68,364.83	-	-	-	68,364.83	68,364.83	-
M-9	5.05877%	15,162,000.00			98,394.01	-	-	-	98,394.01	98,394.01	-
M-10	5.05877%	12,635,000.00			81,995.01	-	-	-	81,995.01	81,995.01	-
B-1	4.82875%	10,108,000.00			62,367.06	-	-	-	62,367.06	62,367.06	-
B-2	4.82875%	7,581,000.00			46,775.30	-	-	-	46,775.30	46,775.30	-
C	1.23401%	1,020,907,900.00			624,175.95	-	-	-	67,143.11	624,275.95	-
P		100.00			67,143.11	-	-	-	-	67,143.11	-
R		-			-	-	-	-	624,175.95	-	-
Total		2,021,600,000.00			3,449,926.81	-	-	-	3,449,926.81	3,450,026.81	-
							Page 3 of 25				© COPYRIGHT 2004 Deutsche Bank
	Meritage Mortgage Loan Trust 2004-2
	Asset Backed Certificates
	Collection Account Report for September 27, 2004 Distribution
	Collection Account Report
SUMMARY						GROUP II	GROUP I	TOTAL
	Principal Collections					1,473,746.63	2,723,997.30	4,197,743.93
	Principal Withdrawals					0.00	0.00	0.00
	Principal Other Accounts					0.00	0.00	0.00
	TOTAL NET PRINCIPAL					1,473,746.63	2,723,997.30	4,197,743.93
	Interest Collections					719,454.84	2,792,265.94	3,511,720.78
	Interest Withdrawals					0.00	0.00	0.00
	Interest Other Accounts					0.00	0.00	0.00
	Interest Fees					(10,620.43)	(51,073.54)	(61,693.97)
	TOTAL NET INTEREST					708,834.41	2,741,192.40	3,450,026.81
	TOTAL AVAILABLE FUNDS TO BONDHOLDERS					2,182,581.04	5,465,189.70	7,647,770.74
PRINCIPAL - COLLECTIONS						GROUP II	GROUP I	TOTAL
	Scheduled Principal					36,116.79	230,324.97	266,441.76
	Curtailments					9,700.32	37,776.28	47,476.60
	Prepayments in Full					1,427,929.52	2,455,896.05	3,883,825.57
	Repurchases/Substitutions Shortfalls					0.00	0.00	0.00
	Liquidations					0.00	0.00	0.00
	Insurance Principal					0.00	0.00	0.00
	Other Additional Principal					0.00	0.00	0.00
	Delinquent Principal					(28,311.86)	(176,079.39)	(204,391.25)
	Advanced Principal					28,311.86	176,079.39	204,391.25
	Realized Losses					0.00	0.00	0.00
	TOTAL PRINCIPAL COLLECTED					1,473,746.63	2,723,997.30	4,197,743.93
				Page 4 of 25				© COPYRIGHT 2004 Deutsche Bank
	Meritage Mortgage Loan Trust 2004-2
	Asset Backed Certificates
	Collection Account Report for September 27, 2004 Distribution
	Collection Account Report
PRINCIPAL - WITHDRAWALS						GROUP II	GROUP I	TOTAL
SPACE INTENTIONALLY LEFT BLANK
PRINCIPAL - OTHER ACCOUNTS						GROUP II	GROUP I	TOTAL
	TOTAL OTHER ACCOUNTS PRINCIPAL					0.00	0.00	0.00
INTEREST - COLLECTIONS						GROUP II	GROUP I	TOTAL
	Scheduled Interest					711,134.17	2,926,759.98	3,637,894.15
	Repurchases/Substitutions					0.00	0.00	0.00
	Liquidations					0.00	0.00	0.00
	Insurance Interest					0.00	0.00	0.00
	Other Additional Interest					0.00	0.00	0.00
	Month End Interest (PPIS)					0.00	0.00	0.00
	Delinquent Interest					(545,385.78)	(2,238,852.19)	(2,784,237.97)
	Realized Losses					0.00	0.00	0.00
	Compensating Month End Interest					0.00	0.00	0.00
	Other Interest Shortfall (Relief Act)					0.00	0.00	0.00
	Interest Advanced					512,597.15	2,078,324.34	2,590,921.49
	Prepayment Penalties					41,109.30	26,033.81	67,143.11
	TOTAL INTEREST COLLECTED					719,454.84	2,792,265.94	3,511,720.78
				Page 5 of 25				© COPYRIGHT 2004 Deutsche Bank
	Meritage Mortgage Loan Trust 2004-2
	Asset Backed Certificates
	Collection Account Report for September 27, 2004 Distribution
	Collection Account Report
INTEREST - WITHDRAWALS						GROUP II	GROUP I	TOTAL
SPACE INTENTIONALLY LEFT BLANK
INTEREST - OTHER ACCOUNTS						GROUP II	GROUP I	TOTAL
	TOTAL OTHER ACCOUNT INTEREST					0.00	0.00	0.00
INTEREST - FEES						GROUP II	GROUP I	TOTAL
	Current Servicing Fees					10,261.97	49,326.17	59,588.14
	Trustee Fee					358.46	1,747.37	2,105.83
	PMI Insurance Premium Fees					0.00	0.00	0.00
	TOTAL INTEREST OTHER FEES					10,620.43	51,073.54	61,693.97
				Page 6 of 25				© COPYRIGHT 2004 Deutsche Bank
	Meritage Mortgage Loan Trust 2004-2
	Asset Backed Certificates
	Credit Enhancement Report for September 27, 2004 Distribution
	Credit Enhancement Report
ACCOUNTS						GROUP II	GROUP I	TOTAL
	Net WAC Rate Carryover Reserve Fund Beginning Balance							0.00
	Amount paid to maintain $1,000 balance							0.00
	Net WAC Rate Carryover Amount Paid							709.57
	Net WAC Rate Carryover Reserve Fund Ending Balance							0.00
	Int Earnings paid to Class C							0.00
INSURANCE						GROUP II	GROUP I	TOTAL
SPACE INTENTIONALLY LEFT BLANK
STRUCTURAL FEATURES						GROUP II	GROUP I	TOTAL
	Overcollateralization Target Amount							10,108,000.00
	Overcollateralized Amount							10,108,000.00
	Excess Overcollateralized Amount							0.00
	Overcollateralization Release Amount					0.00	0.00	0.00
	Overcollateralization Deficiency Amount							100.00
	Extra Principal Distribution Amt					35.11	64.89	100.00
				Page 7 of 25				© COPYRIGHT 2004 Deutsche Bank
	Meritage Mortgage Loan Trust 2004-2
	Asset Backed Certificates
	Collateral Report for September 27, 2004 Distribution
	Collateral Report
COLLATERAL						GROUP II	GROUP I	TOTAL
	Loan Count:
	Original					1005	3163	4168
	Prior					-	-	-
	Prefunding					-	-	-
	Scheduled Paid Offs					-	-	-
	Full Voluntary Prepayments					(7)	(14)	(21)
	Repurchases					-	-	-
	Liquidations					-	-	-
	Current					998	3,149	4,147
	Principal Balance:
	Original					103,321,420.28	503,649,646.66	606,971,066.94
	Prior					-	-	-
	Prefunding					-	-	-
	Scheduled Principal					(36,116.79)	(230,324.97)	(266,441.76)
	Partial and Full Voluntary Prepayments					(1,437,629.84)	(2,493,672.33)	(3,931,302.17)
	Repurchases					-	-	-
	Liquidations					-	-	-
	Current					101,847,673.65	500,925,649.36	602,773,323.01
PREFUNDING						GROUP II	GROUP I	TOTAL
	Prefunding Beginning Balance					68,741,627.37	335,087,305.69	403,828,933.06
	Balance of Subsequent Loans Transfered						0.00	0.00
	Prefunded Amount Dispursed To Offered Certificates						0.00	0.00
	Prefunding Ending Balance					68,741,627.37	335,087,305.69	403,828,933.06
	Group I
	Group II
Current Prin Balance by Groups (in millions of dollars)					Total Current Principal Balance (in millions of dollars)
				Page 8 of 25				© COPYRIGHT 2004 Deutsche Bank
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	Collateral Report for September 27, 2004 Distribution
	Collateral Report
CHARACTERISTICS						GROUP II	GROUP I	TOTAL
	Weighted Average Coupon Original					8.259285%	6.973324%	7.192226%
	Weighted Average Coupon Prior
	Weighted Average Coupon Current					8.259285%	6.973324%	7.192226%
	Weighted Average Months to Maturity Original					312	357	349
	Weighted Average Months to Maturity Prior					-	-	-
	Weighted Average Months to Maturity Current					312	357	349
	Weighted Avg Remaining Amortization Term Original					355	357	356
	Weighted Avg Remaining Amortization Term Prior					-	-	-
	Weighted Avg Remaining Amortization Term Current					355	357	356
	Weighted Average Seasoning Original					3.66	3.05	3.15
	Weighted Average Seasoning Prior					-	-	-
	Weighted Average Seasoning Current					3.66	3.05	3.15
Note: Original information refers to deal issue.
	Group I
	Group II
WAC by Groups					Total WAC
WARAT by Groups					Total WARAT
Note: Dates correspond to distribution dates.
				Page 9 of 25				© COPYRIGHT 2004 Deutsche Bank
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	Asset Backed Certificates
	Collateral Report for September 27, 2004 Distribution
	Collateral Report
ARM CHARACTERISTICS						GROUP II	GROUP I	TOTAL
	Weighted Average Margin Original					4.810%	5.647%
	Weighted Average Margin Prior
	Weighted Average Margin Current					4.810%	5.647%
	Weighted Average Max Rate Original					13.465%	13.812%
	Weighted Average Max Rate Prior
	Weighted Average Max Rate Current					13.465%	13.812%
	Weighted Average Min Rate Original					8.259%	6.973%
	Weighted Average Min Rate Prior
	Weighted Average Min Rate Current					8.259%	6.973%
	Weighted Average Cap Up Original					1.116%	1.467%
	Weighted Average Cap Up Prior
	Weighted Average Cap Up Current					1.116%	1.467%
	Weighted Average Cap Down Original					1.116%	1.467%
	Weighted Average Cap Down Prior
	Weighted Average Cap Down Current					1.116%	1.467%
Note: Original information refers to deal issue.
SERVICING FEES / ADVANCES						GROUP II	GROUP I	TOTAL
	Current Servicing Fees					10,261.97	49,326.17	59,588.14
	Delinquent Servicing Fees					32,788.63	160,527.85	193,316.48
	TOTAL SERVICING FEES					43,050.60	209,854.02	252,904.62
	Total Servicing Fees					43,050.60	209,854.02	252,904.62
	Compensating Month End Interest					0.00	0.00	0.00
	Delinquent Servicing Fees					(32,788.63)	(160,527.85)	(193,316.48)
	COLLECTED SERVICING FEES					10,261.97	49,326.17	59,588.14
	Prepayment Interest Shortfall					0.00	0.00	0.00
	Total Advanced Interest					512,597.15	2,078,324.34	2,590,921.49
ADDITIONAL COLLATERAL INFORMATION						GROUP II	GROUP I	TOTAL
	Next One-Month LIBOR							1.840000%
	Current One-Month LIBOR							1.578750%
				Page 10 of 25				© COPYRIGHT 2004 Deutsche Bank
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	Asset Backed Certificates
	Delinquency Report for September 27, 2004 Distribution
	Delinquency Report - Total
				<1 PAYMENT	1 PAYMENT	2 PAYMENTS	3+ PAYMENTS	TOTAL
DELINQUENT		Balance			2,918,429.61	-	-	2,918,429.61
		% Balance			0.48%	0.00%	0.00%	0.48%
		# Loans			27	-	-	27
		% # Loans			0.65%	0.00%	0.00%	0.65%
FORECLOSURE		Balance		-	-	-	-	-
		% Balance		0.00%	0.00%	0.00%	0.00%	0.00%
		# Loans		-	-	-	-	-
		% # Loans		0.00%	0.00%	0.00%	0.00%	0.00%
BANKRUPTCY		Balance		-	-	-	-	-
		% Balance		0.00%	0.00%	0.00%	0.00%	0.00%
		# Loans		-	-	-	-	-
		% # Loans		0.00%	0.00%	0.00%	0.00%	0.00%
REO		Balance		-	-	-	-	-
		% Balance		0.00%	0.00%	0.00%	0.00%	0.00%
		# Loans		-	-	-	-	-
		% # Loans		0.00%	0.00%	0.00%	0.00%	0.00%
TOTAL		Balance		-	2,918,429.61	-	-	2,918,429.61
		% Balance		0.00%	0.48%	0.00%	0.00%	0.48%
		# Loans		-	27	-	-	27
		% # Loans		0.00%	0.65%	0.00%	0.00%	0.65%
Note: <1 Payment = 0-29days, 1 Payment = 30-59days, 2 Payments = 60-89days, 3+ Payments = 90+
								6 Months Moving Average
1 or 2 Payments Delinquent					3 or More Payments Delinquent
Total Foreclosure					Total Bankruptcy and REO
Note: Dates correspond to distribution dates.
				Page 11 of 25				© COPYRIGHT 2004 Deutsche Bank
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	Asset Backed Certificates
	Delinquency Report for September 27, 2004 Distribution
	Delinquency Report - Group I Group
				<1 PAYMENT	1 PAYMENT	2 PAYMENTS	3+ PAYMENTS	TOTAL
DELINQUENT		Balance			2,900,451.69	-	-	2,900,451.69
		% Balance			0.58%	0.00%	0.00%	0.58%
		# Loans			26	-	-	26
		% # Loans			0.83%	0.00%	0.00%	0.83%
FORECLOSURE		Balance		-	-	-	-	-
		% Balance		0.00%	0.00%	0.00%	0.00%	0.00%
		# Loans		-	-	-	-	-
		% # Loans		0.00%	0.00%	0.00%	0.00%	0.00%
BANKRUPTCY		Balance		-	-	-	-	-
		% Balance		0.00%	0.00%	0.00%	0.00%	0.00%
		# Loans		-	-	-	-	-
		% # Loans		0.00%	0.00%	0.00%	0.00%	0.00%
REO		Balance		-	-	-	-	-
		% Balance		0.00%	0.00%	0.00%	0.00%	0.00%
		# Loans		-	-	-	-	-
		% # Loans		0.00%	0.00%	0.00%	0.00%	0.00%
TOTAL		Balance		-	2,900,451.69	-	-	2,900,451.69
		% Balance		0.00%	0.58%	0.00%	0.00%	0.58%
		# Loans		-	26	-	-	26
		% # Loans		0.00%	0.83%	0.00%	0.00%	0.83%
Note: <1 Payment = 0-29days, 1 Payment = 30-59days, 2 Payments = 60-89days, 3+ Payments = 90+
								6 Months Moving Average
1 or 2 Payments Delinquent					3 or More Payments Delinquent
Total Foreclosure					Total Bankruptcy and REO
Note: Dates correspond to distribution dates.
				Page 12 of 25				© COPYRIGHT 2004 Deutsche Bank
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	Asset Backed Certificates
	Delinquency Report for September 27, 2004 Distribution
	Delinquency Report - Group II Group
				<1 PAYMENT	1 PAYMENT	2 PAYMENTS	3+ PAYMENTS	TOTAL
DELINQUENT		Balance			17,977.92	-	-	17,977.92
		% Balance			0.02%	0.00%	0.00%	0.02%
		# Loans			1	-	-	1
		% # Loans			0.10%	0.00%	0.00%	0.10%
FORECLOSURE		Balance		-	-	-	-	-
		% Balance		0.00%	0.00%	0.00%	0.00%	0.00%
		# Loans		-	-	-	-	-
		% # Loans		0.00%	0.00%	0.00%	0.00%	0.00%
BANKRUPTCY		Balance		-	-	-	-	-
		% Balance		0.00%	0.00%	0.00%	0.00%	0.00%
		# Loans		-	-	-	-	-
		% # Loans		0.00%	0.00%	0.00%	0.00%	0.00%
REO		Balance		-	-	-	-	-
		% Balance		0.00%	0.00%	0.00%	0.00%	0.00%
		# Loans		-	-	-	-	-
		% # Loans		0.00%	0.00%	0.00%	0.00%	0.00%
TOTAL		Balance		-	17,977.92	-	-	17,977.92
		% Balance		0.00%	0.02%	0.00%	0.00%	0.02%
		# Loans		-	1	-	-	1
		% # Loans		0.00%	0.10%	0.00%	0.00%	0.10%
Note: <1 Payment = 0-29days, 1 Payment = 30-59days, 2 Payments = 60-89days, 3+ Payments = 90+
								6 Months Moving Average
1 or 2 Payments Delinquent					3 or More Payments Delinquent
Total Foreclosure					Total Bankruptcy and REO
Note: Dates correspond to distribution dates.
				Page 13 of 25				© COPYRIGHT 2004 Deutsche Bank
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	Asset Backed Certificates
	REO Report for September 27, 2004 Distribution
	REO Report - Mortgage Loans that Become REO During Current Distribution
SUMMARY				LOAN GROUP
Total Loan Count = 0				Loan Group 1 = Group I; REO Book Value = 000.00
Total Original Principal Balance = 000.00				Loan Group 2 = Group II; REO Book Value = 000.00
Total Current Balance = 000.00
REO Book Value = 000.00
REO Book Value reported corresponds to total REO loans, including loans that become REO during current distribution.
Loan Number		Original	Stated		Current	State &
&		Principal	Principal	Paid to	Note	LTV at	Original	Origination
Loan Group		Balance	Balance	Date	Rate	Origination	Term	Date
SPACE INTENTIONALLY LEFT BLANK
				Page 14 of 25				© COPYRIGHT 2004 Deutsche Bank
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	Foreclosure Report for September 27, 2004 Distribution
	Foreclosure Report - Mortgage Loans that Become Foreclosure During Current Distribution
SUMMARY				LOAN GROUP
Total Loan Count = 0				Loan Group 1 = Group I
Total Original Principal Balance = 000.00				Loan Group 2 = Group II
Total Current Balance = 000.00
Loan Number		Original	Stated		Current	State &
&		Principal	Principal	Paid to	Note	LTV at	Original	Origination
Loan Group		Balance	Balance	Date	Rate	Origination	Term	Date
SPACE INTENTIONALLY LEFT BLANK
				Page 15 of 25				© COPYRIGHT 2004 Deutsche Bank
	Meritage Mortgage Loan Trust 2004-2
	Asset Backed Certificates
	Prepayment Report for September 27, 2004 Distribution
	Prepayment Report - Voluntary Prepayments
VOLUNTARY PREPAYMENTS						GROUP II	GROUP I	TOTAL
	Current
	Number of Paid in Full Loans					7	14	21
	Number of Repurchased Loans					-	-	-
	Total Number of Loans Prepaid in Full					7	14	21
	Paid in Full Balance					1,427,929.52	2,455,896.05	3,883,825.57
	Repurchased Loans Balance					-	-	-
	Curtailments Amount					9,700.32	37,776.28	47,476.60
	Total Prepayment Amount					1,437,629.84	2,493,672.33	3,931,302.17
	Cumulative
	Number of Paid in Full Loans					7	14	21
	Number of Repurchased Loans					-	-	-
	Total Number of Loans Prepaid in Full					7	14	21
	Paid in Full Balance					1,427,929.52	2,455,896.05	3,883,825.57
	Repurchased Loans Balance					-	-	-
	Curtailments Amount					9,700.32	37,776.28	47,476.60
	Total Prepayment Amount					1,437,629.84	2,493,672.33	3,931,302.17
SPACE INTENTIONALLY LEFT BLANK
Total Prepayments by Groups (in thousands of dollars)					Total Prepayments (in thousands of dollars)
				Page 16 of 25				© COPYRIGHT 2004 Deutsche Bank
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	Asset Backed Certificates
	Prepayment Report for September 27, 2004 Distribution
	Prepayment Report - Voluntary Prepayments
VOLUNTARY PREPAYMENT RATES						GROUP II	GROUP I	TOTAL
	SMM					1.39%	0.50%	0.65%
	3 Months Avg SMM
	12 Months Avg SMM
	Avg SMM Since Cut-off					1.39%	0.50%	0.65%
	CPR					15.48%	5.78%	7.50%
	3 Months Avg CPR
	12 Months Avg CPR
	Avg CPR Since Cut-off					15.48%	5.78%	7.50%
	PSA					2114.37%	948.79%	1190.41%
	3 Months Avg PSA Approximation
	12 Months Avg PSA Approximation
	Avg PSA Since Cut-off Approximation					2114.37%	948.79%	1190.41%
	Group I
	Group II
CPR by Groups					Total CPR
PSA by Groups					Total PSA
				Page 17 of 25				© COPYRIGHT 2004 Deutsche Bank
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	Asset Backed Certificates
	Prepayment Report for September 27, 2004 Distribution
	Prepayment Report - Voluntary Prepayments
	Group I
	Group II
CPR Avg since Cut-Off by Groups					Total CPR Avg since Cut-Off
PSA Avg since Cut-Off by Groups					Total PSA Avg since Cut-Off
PREPAYMENT CALCULATION METHODOLOGY
Single Monthly Mortality (SMM): (Voluntary partial and full prepayments + Repurchases)/(Beg Principal Balance - Sched Principal)
Conditional Prepayment Rate (CPR): 1-((1-SMM)^12)
PSA Standard Prepayment Model: CPR/(0.02*min(30,WAS))
Average SMM over period between nth month and mth month (AvgSMMn,m): [(1-SMMn) * (1-SMMn+1) .......(1-SMMm)]^(1/months in period n,m)
Average CPR over period between the nth month and mth month (AvgCPRn,m): 1-((1-AvgSMMn,m)^12)
Average PSA Approximation over period between the nth month and mth month: AvgCPRn,m/(0.002*Avg WASn,m))
Average WASn,m: (min(30,WASn)+min(30,WASn+1)+.......+min(30,WASm)/(number of months in the period n,m)
Weighted Average Seasoning (WAS)
Note: Prepayment rates are calculated since deal issue date and include partial and full voluntary prepayments and repurchases.
Dates correspond to distribution dates.
				Page 18 of 25				© COPYRIGHT 2004 Deutsche Bank
	Meritage Mortgage Loan Trust 2004-2
	Asset Backed Certificates
	Prepayment Detail Report for September 27, 2004 Distribution
	Prepayment Detail Report - Loans Prepaid in Full During Current Distribution
SUMMARY						LOAN GROUP
Total Loan Count = 21						Loan Group 1 = Group I
Total Original Principal Balance = 3,887,600.00						Loan Group 2 = Group II
Total Prepayment Amount = 3,883,825.57
Loan Number			Original			Current	State &	Type Prepayment
&		Loan	Principal	Prepayment	Prepayment	Note	LTV at	&	Origination
Loan Group		Status	Balance	Amount	Date	Rate	Origination	Original Term	Date
1000156887 1			228,000.00	228,000.00	Sep-01-04	5.500%	CA - 100.00%	Paid Off - 360	Mar-17-04
1000157506 1			102,200.00	101,922.36	Sep-01-04	7.990%	MI - 100.00%	Paid Off - 360	Mar-17-04
1000159203 1			218,500.00	217,932.43	Sep-01-04	6.750%	MD - 95.00%	Paid Off - 360	Apr-02-04
1000160254 1			253,000.00	253,000.00	Sep-01-04	8.750%	MD - 78.09%	Paid Off - 360	Mar-17-04
1000160872 1			246,750.00	246,190.38	Sep-01-04	8.874%	CA - 85.00%	Paid Off - 360	Mar-25-04
1000162900 1			110,500.00	110,167.72	Sep-01-04	5.990%	CA - 85.00%	Paid Off - 360	Apr-05-04
1000164667 1			98,500.00	98,360.51	Sep-01-04	7.750%	IA - 100.00%	Paid Off - 360	May-11-04
1000165175 1			235,000.00	234,343.57	Sep-01-04	6.375%	WA - 100.00%	Paid Off - 360	Apr-20-04
1000165335 1			72,000.00	71,898.41	Sep-01-04	9.750%	MO - 100.00%	Paid Off - 360	Apr-23-04
1000168354 1			328,000.00	327,996.38	Sep-01-04	4.999%	CA - 100.00%	Paid Off - 360	May-25-04
1000171196 1			122,400.00	122,311.41	Sep-01-04	7.625%	FL - 99.57%	Paid Off - 360	Jun-21-04
1000172982 1			180,000.00	180,000.00	Sep-01-04	5.250%	MD - 73.77%	Paid Off - 360	Jun-14-04
1500007146 1			114,400.00	114,172.88	Sep-01-04	9.249%	NV - 100.00%	Paid Off - 360	Apr-26-04
1500007396 1			149,600.00	149,600.00	Sep-01-04	6.875%	NV - 100.00%	Paid Off - 360	Apr-06-04
1000156319 2			102,000.00	101,864.07	Sep-01-04	11.375%	OH - 85.00%	Paid Off - 360	Mar-17-04
1000157248 2			417,350.00	417,349.78	Sep-01-04	8.999%	AZ - 85.00%	Paid Off - 360	Feb-16-04
1000158158 2			467,000.00	467,000.00	Sep-01-04	5.375%	CA - 94.34%	Paid Off - 360	Mar-17-04
1000167568 2			29,000.00	28,978.06	Sep-01-04	10.750%	WA - 100.00%	Paid Off - 180	May-07-04
1000168265 2			50,400.00	50,368.43	Sep-01-04	11.625%	MO - 95.00%	Paid Off - 360	May-28-04
1500006825 2			334,400.00	333,800.72	Sep-01-04	9.999%	CA - 88.00%	Paid Off - 360	Mar-17-04
1500007148 2			28,600.00	28,568.46	Sep-01-04	14.750%	NV - 100.00%	Paid Off - 180	Apr-26-04
					Page 19 of 25				© COPYRIGHT 2004 Deutsche Bank
	Meritage Mortgage Loan Trust 2004-2
	Asset Backed Certificates
	Realized Loss Report for September 27, 2004 Distribution
	Realized Loss Report - Collateral
COLLATERAL REALIZED LOSSES						GROUP II	GROUP I	TOTAL
	Current
	Number of Loans Liquidated					-	-	-
	Collateral Realized Loss/(Gain) Amount					-	-	-
	Net Liquidation Proceeds					-	-	-
	Cumulative
	Number of Loans Liquidated					-	-	-
	Collateral Realized Loss/(Gain) Amount					-	-	-
	Net Liquidation Proceeds					-	-	-
	Note: Collateral Realized Loss Amount may include adjustments to loans liquidated in prior periods.
SPACE INTENTIONALLY LEFT BLANK
	Group I						3 Months Moving Average
	Group II
Collateral Loss Severity Approximation by Groups					Collateral Loss Severity Approximation
				Page 20 of 25				© COPYRIGHT 2004 Deutsche Bank
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	Realized Loss Report for September 27, 2004 Distribution
	Realized Loss Report - Collateral
DEFAULT SPEEDS						GROUP II	GROUP I	TOTAL
	MDR					0.00%	0.00%	0.00%
	3 Months Avg MDR
	12 Months Avg MDR
	Avg MDR Since Cut-off					0.00%	0.00%	0.00%
	CDR					0.00%	0.00%	0.00%
	3 Months Avg CDR
	12 Months Avg CDR
	Avg CDR Since Cut-off					0.00%	0.00%	0.00%
	SDA					0.00%	0.00%	0.00%
	3 Months Avg SDA Approximation
	12 Months Avg SDA Approximation
	Avg SDA Since Cut-off Approximation					0.00%	0.00%	0.00%
	Loss Severity Approximation for Current Period
	3 Months Avg Loss Severity Approximation
	12 Months Avg Loss Severity Approximation
	Avg Loss Severity Approximation Since Cut-off
	Group I
	Group II
CDR by Groups					Total CDR
SDA by Groups					Total SDA
				Page 21 of 25				© COPYRIGHT 2004 Deutsche Bank
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	Asset Backed Certificates
	Realized Loss Report for September 27, 2004 Distribution
	Realized Loss Report - Collateral
	Group I
	Group II
CDR Avg since Cut-Off by Groups					Total CDR Avg since Cut-Off
SDA Avg since Cut-Off by Groups					Total SDA Avg since Cut-Off
COLLATERAL REALIZED LOSS CALCULATION METHODOLOGY
Monthly Default Rate (MDR): (Beg Principal Balance of Liquidated Loans)/(Total Beg Principal Balance)
Conditional Default Rate (CDR): 1-((1-MDR)^12)
SDA Standard Default Assumption: CDR/IF(WAS<61,MIN(30,WAS)0.02,MAX(0.03,MIN(30,WAS)0.02-0.0095*(WAS-60)))
Average MDR over period between nth month and mth month (AvgMDRn,m): [(1-MDRn) * (1-MDRn+1) .......(1-MDRm)]^(1/months in period n,m)
Average CDR over period between the nth month and mth month (AvgCDRn,m): 1-((1-AvgMDRn,m)^12)
Average SDA Approximation over period between the nth month and mth month:
AvgCDRn,m/IF(Avg WASn,m<61,MIN(30,Avg WASn,m)0.02,MAX(0.03,MIN(30,Avg WASn,m)0.02-0.0095*(Avg WASn,m-60)))
Average WASn,m: (WASn + WASn+1 +.......+ WASm )/(number of months in the period n,m)
Loss Severity Approximation for current period: sum(Realized Loss Amount)/sum(Beg Principal Balance of Liquidated Loans)
Average Loss Severity Approximation over period between nth month and mth month: Avg(Loss Severityn,m)
Note: Default rates are calculated since deal issue date and include realized gains and additional realized losses and gains from prior periods.
Dates correspond to distribution dates.
				Page 22 of 25				© COPYRIGHT 2004 Deutsche Bank
	Meritage Mortgage Loan Trust 2004-2
	Asset Backed Certificates
	Realized Loss Detail Report for September 27, 2004 Distribution
	Realized Loss Detail Report - Loans Liquidated During Current Distribution
SUMMARY							LOAN GROUP
Total Loan Count Current Losses = 0
Total Loan Count Revisions = 0						Loan Group 1 = Group I
Total Prior Principal Balance = 0.00						Loan Group 2 = Group II
Total Current Realized Loss Amount = 0.00
Total Revisions Amount = 0.00
Total Realized Loss Amount = 0.00
Total Net Liquidation Proceeds = 0.00
Note: Total Realized Loss Amount may include adjustments to loans liquidated in prior periods.
Loan Number			Current	State &		Prior	Realized		Cumulative
&		Loan	Note	LTV at	Original	Principal	Loss/(Gain)	Realized	Realized
Loan Group		Status	Rate	Origination	Term	Balance	Revisions	Loss/(Gain)	Loss/(Gain)
SPACE INTENTIONALLY LEFT BLANK
					Page 23 of 25				© COPYRIGHT 2004 Deutsche Bank
	Meritage Mortgage Loan Trust 2004-2
	Asset Backed Certificates
	Triggers, Adj. Rate Cert. and Miscellaneous Report for September 27, 2004 Distribution
	Triggers, Adj. Rate Cert. and Miscellaneous Report
TRIGGER EVENTS						GROUP II	GROUP I	TOTAL
	Step Down Date?							No
	Trigger Event Occuring?							No
	Delinquency Percentage							0.000000%
	Beginning Credit Enhancement Percentage							21.749990%
	Ending Credit Enhancement Percentage							36.472898%
ADJUSTABLE RATE CERTIFICATE INFORMATION						GROUP II	GROUP I	TOTAL
SPACE INTENTIONALLY LEFT BLANK
ADDITIONAL INFORMATION						GROUP II	GROUP I	TOTAL
SPACE INTENTIONALLY LEFT BLANK
				Page 24 of 25				© COPYRIGHT 2004 Deutsche Bank
	Meritage Mortgage Loan Trust 2004-2
	Asset Backed Certificates
	Additional Certificate Report for September 27, 2004 Distribution
	Additional Certificate Report
	CLASS					Net WAC Rate Carryover Amt	Unpaid Realized Loss Amt	Interest Carry Forward Amt
	I-A1					0.00	0.00	0.00
	II-A1					0.00	0.00	0.00
	II-A2					0.00	0.00	0.00
	II-A3					0.00	0.00	0.00
	M-1					0.00	0.00	0.00
	M-2					0.00	0.00	0.00
	M-3					0.00	0.00	0.00
	M-4					0.00	0.00	0.00
	M-5					0.00	0.00	0.00
	M-6					0.00	0.00	0.00
	M-7					0.00	0.00	0.00
	M-8					0.00	0.00	0.00
	M-9					0.00	0.00	0.00
	M-10					0.00	0.00	0.00
	B-1					0.00	0.00	0.00
	B-2					0.00	0.00	0.00
				Page 25 of 25				© COPYRIGHT 2004 Deutsche Bank

Filing Compare · MERITAGE MORTGAGE LOAN TRUST 2004-2