10-D 1 bnc07002_10d-200706.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: May 02, 2007 to June 01, 2007 Commission File Number of issuing entity: 333-133985-64 BNC Mortgage Loan Trust 2007-2 (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 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 June 25, 2007 a distribution was made to holders of BNC Mortgage Loan Trust 2007-2. 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 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 2007-2, relating to the June 25, 2007 distribution. (99.2) Clayton Credit Risk Management Report (b) The exhibits required to be filed by the 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 2007-2 (Issuing Entity) Aurora Loan Services LLC (Master Servicer) /s/ Michele Olds Michele Olds, Vice President Servicer Oversight Date: June 28, 2007 EXHIBIT INDEX Exhibit Number Description EX-99.1 Monthly report distributed to holders of BNC Mortgage Loan Trust 2007-2, relating to the June 25, 2007 distribution. EX-99.2 Clayton Credit Risk Management Report EX-99.1 BNC Mortgage Loan Trust Mortgage Pass-Through Certificates Distribution Date: 6/25/2007 BNC Mortgage Loan Trust Mortgage Pass-Through Certificates Series 2007-2 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

Bankruptcy Detail - All Mortgage Loans in Bankruptcy during Current Period

Prepayment Rates

EX 99.2 (logo) Clayton BNC 2007-2 Credit Risk Management Report May 2007 (C) 2007 Clayton Fixed Income Services Inc. All rights reserved (page) 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 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. (page) Table of Contents Section One Executive Summary Section Two Loan-Level Report Section Three Prepayment Penalty Analysis Section Four Loss Analysis Section Five Analytics (page) Section One Executive Summary (page) BNC 2007-2 Executive Summary May 2007 Transaction Summary

Collateral Summary

(page) Value Added

Collateral Statistics

Prepayments

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.

(page) Section Two Loan-Level Report (page) Loan-Level Report Definitions * FICO(R) : 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. (page) BNC 2007-2 Loan-Level Report Mortgage Data Through: April 30, 2007 Watchlist

Default Reason: (Unknown) 6/1/2007 The servicer's system confirmed that borrower made a payment on 5/30/2007. We will continue to monitor this loan to verify that the payment is reflected in the 6/25/2007 distribution period, if the payment goes through. 5/22/2007 This loan is being added to the Watchlist because it is 30 or more days delinquent as of the 4/1/2007 cut-off date. The LIPD for this loan is 2/1/2007 and the Mortgage Loan Sales and Assignment Agreement states that the seller must repurchase any loan that was 29 days or more delinquent as of the cut-off date unless the borrower makes delinquent payments on or before 4/30/2007. Clayton is reviewing the Schedule B to verify whether this loan violates the Representations and Warranties of the deal.

Default Reason: (Unknown) 6/1/2007 Clayton confirmed that the servicer is in contact with the borrower and the borrower stated that he mailed a payment on 5/30/2007. We will continue to monitor this loan to verify that the servicer receives the payment. 5/22/2007 This loan is being added to the Watchlist because it is 30 or more days delinquent as of the 4/1/2007 cut-off date. The LIPD for this loan is 2/1/2007 and the Mortgage Loan Sales and Assignment Agreement states that the seller must repurchase any loan that was 29 days or more delinquent as of the cut-off date unless the borrower makes delinquent payments on or before 4/30/2007. Clayton is reviewing the Schedule B to verify whether this loan violates the Representations and Warranties of the deal.

Default Reason: (Unknown) 6/1/2007 This loan is being added to the Watchlist because it has characteristics of a high risk loan. The loan was originated as a cash-out refinance with no documentation and the loan has a UPB of $594,477. Clayton will closely monitor this loan.

Default Reason: (Unknown) 6/1/2007 According to the servicer's system, the borrower made a payment on 5/30/2007. We will continue to monitor this loan to verify whether the payment goes through. 5/22/2007 This loan is being added to the Watchlist because it is 30 or more days delinquent as of the 4/1/2007 cut-off date. The LIPD for this loan is 2/1/2007 and the Mortgage Loan Sales and Assignment Agreement states that the seller must repurchase any loan that was 29 days or more delinquent as of the cut-off date unless the borrower makes delinquent payments on or before 4/30/2007. Clayton is reviewing the Schedule B to verify whether this loan violates the Representations and Warranties of the deal.

Default Reason: (Unknown) 6/1/2007 The servicer's system confirmed that the borrower made multiple payments in May 2007. We will continue to monitor this loan to verify that payments are reflected in the 5/30/2007 servicer data. 5/22/2007 This loan is being added to the Watchlist because it is 30 or more days delinquent as of the 4/1/2007 cut-off date. The LIPD for this loan is 2/1/2007 and the Mortgage Loan Sales and Assignment Agreement states that the seller must repurchase any loan that was 29 days or more delinquent as of the cut-off date unless the borrower makes delinquent payments on or before 4/30/2007. Clayton is reviewing the Schedule B to verify whether this loan violates the Representations and Warranties of the deal.

Default Reason: (Unknown) 6/1/2007 The servicer's system confirmed that the borrower made a payment on 4/2/2007 but the payment was returned. This loan is now in active loss mitigation strategy and the servicer to attempting a short sale for the property. We will continue to monitor the results of the short sale. 5/22/2007 This loan is being added to the Watchlist because it is 30 or more days delinquent as of the 4/1/2007 cut-off date. The LIPD for this loan is 2/1/2007 and the Mortgage Loan Sales and Assignment Agreement states that the seller must repurchase any loan that was 29 days or more delinquent as of the cut-off date unless the borrower makes delinquent payments on or before 4/30/2007. Clayton is reviewing the Schedule B to verify whether this loan violates the Representations and Warranties of the deal.

(page) Section Three Prepayment Penalty Analysis (page) BNC 2007-2 Prepayment Penalty Analysis Trustee Remittance Date: May 25, 2007

(page) BNC 2007-2 Paid-Off Mortgages With Prepayment Flags Trustee Remittance Date: May 25, 2007

(page) Section Four Loss Analysis (page) BNC 2007-2 Historical Monthly Losses Losses Through: April 30, 2007

(page) Section Five Analytics (page) BNC 2007-2 FICO Distribution by Status Mortgage Data Through: April 30, 2007

(page) BNC 2007-2 Loan-to-Value Distribution by Status Mortgage Data Through: April 30, 2007

(page) BNC 2007-2 Balance Distribution by Status Mortgage Data Through: April 30, 2007

(page) BNC 2007-2 Mortgage Type Distribution by Status Mortgage Data Through: April 30, 2007

(page) BNC 2007-2 Mortgage Term Distribution by Status Mortgage Data Through: April 30, 2007

(page) BNC 2007-2 Mortgage Purpose Distribution Mortgage Data Through: April 30, 2007

(page) BNC 2007-2 Ownership Distribution by Status Mortgage Data Through: April 30, 2007

(page) BNC 2007-2 Delinquent Count Over Time Mortgage Data Through: April 30, 2007

[Graph Omitted] (page) BNC 2007-2 Delinquent Balance Over Time Mortgage Data Through: April 30, 2007

(page) BNC 2007-2 Conditional Prepayment Rates Mortgage Data Through: April 30, 2007

(page) BNC 2007-2 Historical SDA Performance Mortgage Data Through: April30, 2007

BNC Mortgage Loan Trust 2007-2 10-D