10-D 1 bnc06002_10d-200611.txt UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington D.C. 20549 FORM 10-D ASSET-BACKED ISSUER DISTRIBUTION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the monthly distribution period from: October 01, 2006 to November 01, 2006 Commission File Number of issuing entity: 333-133985-23 BNC Mortgage Loan Trust 2006-2 (Exact name of issuing entity as specified in its charter) Commission File Number of depositor: 333-133985 Structured Asset Securities Corporation (Exact name of depositor as specified in its charter) Lehman Brothers Holdings, Inc. (Exact name of sponsor as specified in its charter) New York (State or other jurisdiction of incorporation or organization of the issuing entity) Not Applicable (I.R.S. Employer Identification No.) 745 Seventh Avenue, 7th Floor New York, NY 10019 (Address of principal executive offices of the issuing entity) (Zip Code) (212) 526-7000 (Telephone number, including area code) Not Applicable (Former name, former address, if changed since last report) Registered/reporting pursuant to (check one) Title of Section Section Section Name of Exchange Class 12(b) 12(g) 15(d) (If Section 12(b)) A1 _____ _____ __X___ ____________ A2 _____ _____ __X___ ____________ A3 _____ _____ __X___ ____________ A4 _____ _____ __X___ ____________ A5 _____ _____ __X___ ____________ M1 _____ _____ __X___ ____________ M2 _____ _____ __X___ ____________ M3 _____ _____ __X___ ____________ M4 _____ _____ __X___ ____________ M5 _____ _____ __X___ ____________ M6 _____ _____ __X___ ____________ M7 _____ _____ __X___ ____________ M8 _____ _____ __X___ ____________ M9 _____ _____ __X___ ____________

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes __X__ No ____ Part I - DISTRIBUTION INFORMATION Item 1. Distribution and Pool Performance Information On November 27, 2006 a distribution was made to holders of BNC Mortgage Loan Trust 2006-2. The distribution report is attached as an Exhibit to this Form 10-D. Please see Item 9(b), Exhibit 99.1 for the related information. Part II - OTHER INFORMATION Item 3. Sales of Securities & Use of Proceeds. On October 30, 2006, the following classes of securities in the following amounts were sold by the registrant in private placements in reliance on Section 4(2) of the Securities Act of 1933 (the "Securities Act") to certain qualified institutional buyers (as defined in Rule 144A of the Securities Act) or to certain accredited investors (as defined in the Securities Act: Class Initial Principal Balance Class B1 $9,615,000 Class B2 $6,810,000 Class X N/A - Economic Residual Excess Cash Flow Class P $100 - Prepayment Penalty Amounts Class R N/A - Non-Economic Tax Residual Class LT-R N/A - Non-Economic Tax Residual The net proceeds from the sale of these certificates were applied by the registrant to the purchase of the mortgages loans constituting the pool assets. Item 9. Exhibits. (a) The following is a list of documents filed as part of this Report on Form 10-D: (99.1) Monthly report distributed to holders of BNC Mortgage Loan Trust 2006-2, relating to the November 27, 2006 distribution. (b) The exhibits required to be filed by Registrant pursuant to this Form are listed above and in the Exhibit Index that immediately follows the signature page hereof. 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. BNC Mortgage Loan Trust 2006-2 (Issuing Entity) Aurora Loan Services LLC (Master Servicer) /s/ Michele Olds Michele Olds, Vice President Servicer Oversight Date: December 06, 2006 EXHIBIT INDEX Exhibit Number Description EX-99.1 Monthly report distributed to holders of BNC Mortgage Loan Trust 2006-2, relating to the November 27, 2006 distribution. EX-99.1 BNC Mortgage Loan Trust Mortgage Pass-Through Certificates Distribution Date: 11/27/2006 BNC Mortgage Loan Trust Mortgage Pass-Through Certificates Series 2006-2 Contact: Customer Service - CTSLink Wells Fargo Bank, N.A. Securities Administration Services 7485 New Horizon Way Frederick, MD 21703 www.ctslink.com Telephone: (301) 815-6600 Fax: (301) 815-6660

REO Detail - All Mortgage Loans in REO during Current Period

Foreclosure Detail - All Mortgage Loans in Foreclosure during Current Period

Bankruptcy Detail - All Mortgage Loans in Bankruptcy during Current Period

Prepayment - Voluntary Prepayments

EX 99.2 (logo) CLAYTON BNC 2006-2 Credit Risk Management Report November 2006 c 2006 Clayton Fixed Income Services Inc. All rights reserved The information contained in this Report is based upon a specific point in time and reflects performance solely through that point in time. It does not forecast the performance of the portfolio in the future. The information in this Report is not investment advice concerning a particular portfolio or security, and no mention of a particular security in this Report constitutes a recommendation to buy, sell, or hold that or any other security. The Report is based upon information provided to Clayton Fixed Income Services Inc. by third parties and therefore Clayton Fixed Income Services Inc. cannot, and does not, warrant that the information contained in this Report is accurate or complete. c 2006 Clayton Fixed Income Services Inc. All rights reserved. Table of Contents Section One Executive Summary Section Two Loan-Level Report Section Three Prepayment Penalty Analysis Section Four Loss Analysis Section Five Analytics c 2006 Clayton Fixed Income Services Inc. All rights reserved Section One Executive Summary BNC 2006-2 Executive Summary November 2006 Transaction Summary Closing Date: 10/30/2006 Depositor: Structured Asset Securities Corporation Trustee(s): US Bank NA Securities Administrator: Wells Fargo Bank, N.A. Servicer(s): Option One Mortgage Mortgage Insurer(s): Mortgage Guaranty Insurance Corporation, PMI Mortgage Insurance Co. Delinquency Reporting Method: OTS^0

0 OTS Method: A current loan becomes 30 days delinquent if the scheduled payment is not made by the close of business on the corresponding day of the following month. Similarly for 60 days delinquent and the second immediately succeeding month and 90 days delinquent and the third immediately succeeding month. Value Added Total Value Added for BNC 2006-2 as of 11/25/2006 Issues Amount Recovered 0 $0

Prepayment Penalty Analysis For each remittance, Clayton reconciles the prepayment penalties that are collected by the servicers and remitted to the trust to ensure all appropriate funds are passed to the certificateholders. Please refer to the Prepayment Penalty Analysis section of this report for details regarding paid-off loans with prepayment penalty flags. The table below provides a summary of Clayton's reconciliation for this remittance.

Loss Analysis Loss Issues for Current Month For each remittance, Clayton analyzes each loan-level loss to ensure that the accurate amount of sale, MI, and hazard insurance proceeds are remitted to the trust. We also review these losses to ensure servicing advances, such as escrow advances and foreclosure fees, are reasonable. If any discrepancies are identified, Clayton actively pursues the servicer to mitigate the loss. Please refer to the Loss Analysis section of this report for details regarding losses to the security. Below is a summary of the losses passed through in this remittance.

c 2006 Clayton Fixed Income Services Inc. All rights reserved. Section Two Loan-Level Report Loan-Level Report Definitions FICOr: Represents the borrower's credit score at the time of securitization/origination. Last Paid Date: Either the interest paid-through date or the last contractually due payment made by the borrower. Clayton Fixed Income Services Inc. uses this date to calculate delinquencies. Valuation: Represents what is believed to be the most accurate known value of a property based on Clayton Fixed Income Services Inc.'s internal formulas. Several value appraisals may exist for a property, yet only what is believed to be the most accurate value according to these formulas is shown on the report. When no value is available, a valuation known as an "internal estimate" is calculated according to an internal formula that adjusts the original value of the property by the Housing Price Index (HPI) and a discount based on credit class. Liquidation Date: Clayton Fixed Income Services Inc.'s internal estimate of the date on which the loan will liquidate if it proceeds through foreclosure and REO. This date takes into consideration servicing and state foreclosure timelines, as well as an estimated REO marketing period. Estimated Loss/(Gain): Clayton Fixed Income Services Inc.'s internal estimate of the loss (or gain) that the loan will experience if it liquidates on the Liquidation Date. Delinquency Status: Indicates the monthly payment and delinquency history for an individual loan. The right-most character specifies the last known delinquency status, according to the following: C The contractually due payment arrived on time. 3 The contractually due payment has not arrived within thirty days. 6 The contractually due payment has not arrived within sixty days. 9 The contractually due payment has not arrived within ninety days. F The property is in the process of foreclosure. R The property is real estate owned (REO). 0 The mortgage has either liquidated or been paid off. OTS Delinquency Method: A current loan becomes 30 days delinquent if the scheduled payment is not made by the close of business on the corresponding day of the following month. MBA Delinquency Method: A current loan becomes 30 days delinquent if the scheduled payment is not made by the close of business on the last day of the month in which the payment was due. BNC 2006-2 Loan-Level Report Mortgage Data Through: October 31, 2006

BNC 2006-2 Paid-Off Mortgages With Prepayment Flags Trustee Remittance Date: November 25, 2006

c 2006 Clayton Fixed Income Services Inc. All rights reserved. Section Four Loss Analysis BNC 2006-2 Historical Monthly Losses Losses Through: October 31, 2006 Date Loan Loss Amount Loss Percentage 11/25/2006 $0.00 0.00% Totals: $0.00 0.00% * The loss percentage is a calculation of the total monthly loss as a percentage of the original balance of the security. BNC 2006-2 Loss Reconciliation Report Trustee Remittance Date: November 25, 2006 Remittance Statement Summary 11/25/2006 $0 Loan-Level Losses: $0 Subsequent Losses: $0 Subsequent Gains: $0 Monthly Security Loss: $0 Losses Remitted: $0 Difference: $0 Loan Number Loss Loan Number Loss Loan Number Loss Category Total: $0 c 2006 Clayton Fixed Income Services Inc. All rights reserved. Section Five Analytics BNC 2006-2 FICO Distribution by Status Mortgage Data Through: October 31,2006 FICO Delinquency Percentage 500 Current 0.008 510 Current 0.016 520 Current 0.02 530 Current 0.025 540 Current 0.026 540 Paid Off 0.053 550 Current 0.035 550 Paid Off 0.105 560 Current 0.046 570 Current 0.034 580 Current 0.041 590 Current 0.048 600 Current 0.072 600 Paid Off 0.105 610 Current 0.088 610 Paid Off 0.053 620 Current 0.08 620 Delinquent 0.5 630 Current 0.092 640 Current 0.077 640 Delinquent 0.5 640 Paid Off 0.105 650 Current 0.069 650 Paid Off 0.105 660 Current 0.045 670 Current 0.039 670 Paid Off 0.158 680 Current 0.031 680 Paid Off 0.053 690 Current 0.025 690 Paid Off 0.053 700 Current 0.02 700 Paid Off 0.053 710 Current 0.015 720 Current 0.011 730 Current 0.008 740 Current 0.006 740 Paid Off 0.053 750 Current 0.008 760 Current 0.006 760 Paid Off 0.053 770 Current 0.003 770 Paid Off 0.053 780 Current 0.004 790 Current 0.002 800 Current 0.003 Status # of Loans Average Std. Deviation Current 3,713 619 55.025 Delinquent 2 627 17.678 Paid Off 19 649 65.169 Total: 3,734 BNC 2006-2 Loan-to-Value Distribution by Status Mortgage Data Through: October 31,2006 LTV Delinquency Percentage 0.1 Current 0.001 0.2 Current 0.148 0.2 Paid Off 0.053 0.3 Current 0.007 0.4 Current 0.012 0.5 Paid Off 0.053 0.5 Current 0.026 0.6 Current 0.047 0.7 Current 0.086 0.7 Paid Off 0.105 0.8 Current 0.334 0.8 Delinquent 0.5 0.8 Paid Off 0.316 0.9 Delinquent 0.5 0.9 Current 0.253 0.9 Paid Off 0.263 1 Current 0.085 1 Paid Off 0.211 Status # of Loans Average Std. Deviation Current 3,713 0.827 0.141 Delinquent 2 0.843 0.01 Paid Off 19 0.843 0.122 Total: 3,734 BNC 2006-2 Balance Distribution by Status Mortgage Data Through: October 31, 2006 Balance Delinquency Percentage 20000 Current 0.005 30000 Current 0.025 40000 Current 0.032 50000 Current 0.037 50000 Delinquent 0.5 60000 Current 0.032 70000 Current 0.03 80000 Current 0.039 90000 Current 0.027 100000 Current 0.037 110000 Current 0.029 120000 Current 0.035 130000 Current 0.029 140000 Current 0.03 150000 Current 0.03 160000 Current 0.027 170000 Current 0.03 180000 Current 0.034 190000 Current 0.032 200000 Current 0.029 210000 Current 0.021 220000 Current 0.029 230000 Current 0.015 240000 Current 0.018 240000 Delinquent 0.5 250000 Current 0.024 260000 Current 0.024 270000 Current 0.02 280000 Current 0.021 290000 Current 0.018 300000 Current 0.016 310000 Current 0.012 320000 Current 0.015 330000 Current 0.009 340000 Current 0.015 350000 Current 0.009 360000 Current 0.013 370000 Current 0.011 380000 Current 0.012 390000 Current 0.008 400000 Current 0.011 410000 Current 0.008 420000 Current 0.011 430000 Current 0.006 440000 Current 0.006 450000 Current 0.007 460000 Current 0.006 470000 Current 0.006 480000 Current 0.006 490000 Current 0.005 500000 Current 0.005 510000 Current 0.004 520000 Current 0.004 530000 Current 0.003 540000 Current 0.004 550000 Current 0.002 560000 Current 0.001 570000 Current 0.001 580000 Current 0.003 590000 Current 0.004 600000 Current 0.003 610000 Current 0.001 620000 Current 0.003 630000 Current 0.002 640000 Current 0.001 650000 Current 0.002 660000 Current 0.001 680000 Current 0 700000 Current 0.001 720000 Current 0.001 740000 Current 0.001 750000 Current 0.001 770000 Current 0 800000 Current 0 810000 Current 0 830000 Current 0 840000 Current 0 940000 Current 0 1000000 Current 0 1080000 Current 0 1290000 Current 0 1790000 Current 0 Status # of Loans Average Std. Deviation Current 3,713 214,060.96 146,742.57 Delinquent 2 145,627.97 133,912.77 Total: 3,715 BNC 2006-2 Mortgage Type Distribution by Status Mortgage Data Through: October 31, 2006 Mortgage Type Delinquency Percentage Investment Home Current 0.065 Investment Home Paid Off 0.105 Primary Home Current 0.9 Primary Home Delinquent 1 Primary Home Paid Off 0.789 Second Home Current 0.034 Second Home Paid Off 0.105

BNC 2006-2 Mortgage Term Distribution by Status Mortgage Data Through: October 31, 2006 Mortgage Term Delinquency Percentage 180 Current 0.151 180 Paid Off 0.053 240 Current 0.006 360 Current 0.843 360 Delinquent 1 360 Paid Off 0.947 # of Loans Other 120 180 240 360 3,734 0 0 563 22 3149 BNC 2006-2 Mortgage Purpose Distribution Mortgage Data Through: October 31, 2006 Origination Statistics Current Loans Purpose Number Percentage Purpose Number Percentage Cash-out 2,195 58.8% Cash-out 2,184 58.8% refinance refinance Purchase 1,379 36.9% Purchase 1,371 36.9% Rate/term 160 4.3% Rate/term 158 4.3% refinance refinance Home 0 0.0% Home 0 0.0% Improvement Improvement Other 0 0.0% Other 0 0.0% Total 3,734 100% Total 3,713 100% Delinquent Loans Paid Off Loans Purpose Number Percentage Purpose Number Percentage Cash-out 1 50.0% Cash-out 10 52.6% refinance refinance Purchase 1 50.0% Purchase 7 36.8% Rate/term 0 0.0% Rate/term 2 10.5% refinance refinance Home 0 0.0% Home 0 0.0% Improvement Improvement Other 0 0.0% Other 0 0.0% Total 2 100% Total 19 100% BNC 2006-2 Ownership Distribution by Status Mortgage Data Through: October 31, 2006 Ownership Type Delinquency Percentage Investment Home Current 0.065 Investment Home Paid Off 0.105 Primary Home Current 0.9 Primary Home Delinquent 1 Primary Home Paid Off 0.789 Second Home Current 0.034 Second Home Paid Off 0.105 Title # of Loans Investment Home 245 Primary Home 3,359 Second Home 130 Total: 3,734 BNC 2006-2 Delinquent Balance Over Time Mortgage Data Through: October 31, 2006 AsOfDate 30 Days 60 Days 90 Days Foreclosure REO 10/31/2006 291255.94 0 0 0 0 BNC 2006-2 Delinquent Count Over Time Mortgage Data Through: October 31, 2006 AsOfDate 30 Days 60 Days 90 Days Foreclosure REO 10/31/2006 2 0 0 0 0 BNC 2006-2 Conditional Prepayment Rates Mortgage Data Through: October 31, 2006

BNC 2006-2 Historical SDA Performance Mortgage Data Through: October 31, 2006

BNC Mortgage Loan Trust 2006-2 10-D