Template:Nutshell 2016 CSA 5(c)(ii)(B)

5(c)(ii)(B) if “Interest Adjustment” applies the Credit Support Balance (VM) will be adjusted by the Transferee, as required under Paragraph 11(g)(ii) and on any Early Termination Date, as follows:

(I) if the Interest Amount (VM) for an Interest Period is positive, the Interest Amount (VM) will be added in the Base Currency to the Credit Support Balance (VM); and

(II) if the Interest Amount (VM) for an Interest Period is negative, the absolute value of the Interest Amount (VM) will be deducted in Base Currency from the Credit Support Balance (VM). If the Base Currency cash portion of the Credit Support Balance (VM) is less than that absolute value, the reduction will be limited to that Base Currency cash and the Transferor must transfer the remainder to the Transferee on the due date.