B
Busted Planned Amortization Class (PAC) ...
B
Busted Planned Amortization Class (PAC) Bond
A planned amortization class
tranche
of a
collateralized mortgage obligation (CMO)
with a
prepayment
range
above current
market
rates. The PAC prepayment schedule may no longer be feasible because of the rate movement, and the value of the PAC may be impaired. See
Planned Amortization Class (PAC) Bond
.
Glossary
*
B