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): August 25, 1997 FINANCIAL ASSET SECURITIES CORP., (as depositor under the Pooling and Servicing Agreement, dated as of November 1, 1996, providing for the issuance of Financial Asset Securities Corp., Mego Mortgage FHA Title I Loan Trust 1996-3, FHA Title I Loan Asset-Backed Certificates, Series 1996-3). (Exact name of registrant as specified in its charter) Delaware 33-99018 41-1857856 (State or Other Jurisdiction (Commission (I.R.S. Employer of Incorporation) File Number) 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 Item 5. Other Events On behalf of Mego Mortgage FHA Title I Loan Trust 1996-3, FHA Title I Loan Asset-Backed Certificates, Series 1996-3, a Trust created pursuant to the Pooling and Servicing Agreement, dated November 1, 1996, by First Trust of New York, National Association, as trustee for the Trust, the Trustee has caused to be filed with the Commission, the Monthly Report dated August 25, 1997. The Monthly Report is filed pursuant to and in accordance with (1) numerous no-action letters (2) current Commission policy in the area. The filing of the Monthly Report will occur subsequent to each monthly distribution to the holders of the Certificates, Due November 25, 2022. A. Monthly Report Information: Aggregate distribution information for the current distribution date August 25, 1997. Principal Interest Ending Balance Cede & Co $1,228,684.47 $373,460.57 $59,704,251.01 B. No delinquency in payment under the Certificate Guaranty Insurance Policy has occurred. C. Have any deficiencies occurred? NO. Date: Amount: D. Were any amounts paid or are any amounts payable under the Certificate Guaranty Insurance Policy? NO Amount: E. Are there any developments with respect to the Certificate Insurance Guaranty Policy? NONE. F. Item 1: Legal Proceedings: NONE G. Item 2: Changes in Securities: NONE H Item 4: Submission of Matters to a Vote of Certificatholders: NONE I. Item 5: Other Information - Form 10-Q, Part II - Items 1,2,4,5 if applicable: NOT APPLICABLE Item 7. Monthly Statements and Exhibits Exhibit No. 1. Monthly Distribution Report dated August 25, 1997. MEGO MORTGAGE CORPORATION FHA TITLE I LOAN ASSET-BACKED CERTIFICATES SERIES 1996-3 CERTIFICATE HOLDERS' REPORT Distribution Date: 25-Aug-97 Beginning Ending Certificate Principal Interest Total Certificate Class Balance DistributionDistribution Distribution Balance A-1 15091205.13 787280.70 81744.03 869024.73 14303924.43 A-2 10790000.00 0.00 61503.00 61503.00 10790000.00 A-3 9101458.00 0.00 54836.28 54836.28 9101458.00 S 36321521.96 NA 13620.57 13620.57 35585734.12 R NA NA 0.00 0.00 NA Total 34982663.13 787280.70 211703.88 998984.58 34195382.43 AMOUNTS PER $1,000 UNIT Ending Current Principal Interest Total Certificate Pass-Through ClassDistribution DistributionDistribution Balance Interest Rate A-1 40.10599592 4.16423994 44.27023586 728.67674121 6.5000% A-2 0.00000000 5.70000000 5.70000000 1000.00000000 6.8400% A-3 0.00000000 6.02499951 6.02499951 1000.00000000 7.2300% S (a) 0.00000000 0.33998473 0.33998473 888.25990929 0.4500% Trustee's Certificate Pooling and Servicing Agreement Dated November 1, 1996 GROUP I i) Interest from Mortgagors / Master Servicer 421885.25 Interest from Purchased Loans 0.00 Interest from Defaulted Mortgage Loans 0.00 Total Interest 421885.25 Principal Collections (Regular Installments) 66964.74 Principal Collections (Curtailments and Paid in Fulls) 566601.66 Principal from Purchased Loans 0.00 Principal from Defaulted Mortgage Loans 0.00 Total Principal 633566.40 Amount on Deposit in the Distribution Account 1055451.65 Deposits Pursuant to Sec 4.03 (d)-FHA Reserve Account 0.00 Distribution Account Income 626.93 Substitution Adjustment Amount 0.00 Collected Amount 1056078.58 Insured Payments 0.00 Withdrawals from the Reserve Fund 0.00 Amount Available 1056078.58 ii) Pool Balance Information: Beginning Aggregate Principal Balance 36321521.96 less: Principal Collections (non-Defaulted Loans) 633566.40 less: Balance of Defaulted Loans 102221.44 Ending Aggregate Principal Balance 35585734.12 Before After iii) Class IA Factors: Distributions Distributions Class IA-1 0.76878274 0.72867674 Class IA-2 1.00000000 1.00000000 Class IA-3 1.00000000 1.00000000 Computed Distributed Amount Amount iv) Class IA Monthly Interest Amount 198083.31 198083.31 Class IA Principal Distribution Amount 735787.84 735787.84 (limited to the Overcolleralization Amount) Class IA Distribution of Distributable Excess Spread 51492.86 51492.86 Class IA Guaranteed Principal Distribution 0.00 0.00 Beginning Ending Shortfall Shortfall Class IA Monthly Interest Amount 0.00 0.00 Class IA Principal Distribution Amount 0.00 0.00 (limited to the Overcolleralization Amount) v) Excess Spread 51492.86 Distributable Excess Spread 51492.86 vi) FHA Premium Account Deposit 6729.61 Servicer Fee 30267.93 Master Servicer Fee 2421.43 Master Servicer Reimbursement 5537.97 Trustee Fee and any Additional Trustee Fee 1362.06 Premium 10775.00 Reimbursement Amount distributed to the Certificate Insurer 0.00 Successor Master Servicer Fees 0.00 Other Fees 0.00 Excess Claim Amount 0.00 vii) Group Performance Percentages: 30+ Delinquency Percentage (Rolling Three Month) 5.486% 60+ Delinquency Percentage (Rolling Three Month) 3.268% Cumulative Default Percentage 1.064% Annual Default Percentage (Three Month Average) 3.937% viii) Overcollateralization Information: OC Multiple 1 Required OC Amount 1502336.21 Overcollateralization Amount (before distributions) 1338858.83 Overcollateralization Amount (after distributions) 1492573.13 ix) Default Information: Current Period Cumulative Principal Balance of Defaulted Loans 102221.44 426138.40 Balance of Credit Support Multiple Defaulted Loans 102221.44 426138.40 Accrued and Unpaid Interest on Credit 5537.97 26230.78 Support Multiple Defaulted Loans x) FHA Insurance Information: Trust Designated Insurance Amount (at the Cut-off Date) 3674309.00 Number Number Balance Balance Current Period Cumulative Current Period Cumulative Claims Filed 1 2 24966.35 39943.89 Claims Pending 15 NA 294034.28 NA Claims Paid 0 1 0.00 14313.55 xi) Reserve Fund: Beginning Balance 174706.92 Investment Income on the Reserve Fund 521.46 Deposits to the Reserve Fund 0.00 Withdrawals from the Reserve Fund for Deficiency Amounts 0.00 Release of Amounts in Excess of the Reserve Requirement 0.00 Ending Balance 175228.38 xii) Collateral Performance Percentages: Pool Annual Default Percentage (Rolling Three Month) 3.339% Pool 60+ Delinquency Percentage (Rolling Three Month) 2.503% MEGO MORTGAGE CORPORATION FHA TITLE I LOAN ASSET-BACKED CERTIFICATES SERIES 1996-3 GROUP II CERTIFICATE HOLDERS' REPORT Distribution Date: 25-Aug-97 Beginning Ending Certificate Principal Interest Total Certificate Class Balance DistributionDistribution Distribution Balance IIA 25950272.35 441403.77 150944.08 592347.85 25508868.58 IIS 25950272.83 NA 10812.61 10812.61 25508869.06 R NA 0.00 0.00 0.00 0.00 Total 25950272.35 441403.77 161756.69 603160.46 25508868.58 AMOUNTS PER $1,000 UNIT Ending Current Principal Interest Total Certificate Pass-Through ClassDistribution DistributionDistribution Balance Interest Rate IIA 16.22812453 5.54943001 21.77755453 937.82863666 6.9800% IIS 0.00000000 0.39752352 0.39752352 937.82863776 0.5000% Trustee's Certificate Pooling and Servicing Agreement Dated November 1, 1996 GROUP II i) Interest from Mortgagors / Master Servicer 308119.26 Interest from Purchased Loans 0.00 Interest from Defaulted Mortgage Loans 0.00 Total 308119.26 Principal Collections (Regular Installments) 60047.35 Principal Collections (Curtailments and Paid in Fulls) 291840.74 Principal from Purchased Loans 0.00 Principal from Defaulted Mortgage Loans 0.00 Total 351888.09 Amount on Deposit in the Distribution Account 660007.35 Deposits Pursuant to Section 4.03 (d)-FHA Reserve Account Deposits 0.00 Distribution Account Income 266.36 Collected Amount 660273.71 Insured Payments 0.00 Reserve Fund Withdrawals 0.00 Amount Available 660273.71 ii) Pool Balance Information: Beginning Aggregate Principal Balance 25950272.83 less: Principal Collections (non-Defaulted Loans) 351888.09 less: Balance of Defaulted Loans 89515.68 Ending Aggregate Principal Balance 25508869.06 Before After Distributions Distributions iii) Class IIA Factor: 0.95405676 0.93782864 Computed Distributed Amount Amount iv) Class IIA Monthly Interest Amount 150944.08 150944.08 Class IIA Principal Distribution Amount 441403.77 441403.77 Class IIA Guaranteed Principal Distribution 0.00 0.00 Beginning Ending Shortfall Shortfall Class IIA Monthly Interest Amount 0.00 0.00 v) Insurance Default Amount 0.00 Loss Carryforward Amount (Computed) 0.00 Loss Carryforward Amount (Distributed) 0.00 vi) FHA Premium Account Deposit 1549.87 Servicer Fee 21625.23 Master Servicer Fee 1730.02 Master Servicer Reimbursement 4922.69 Trustee Fee and any Additional Trustee Fee 973.14 Premium 7993.00 Reimbursement Amount distributed to the Certificate Insurer 0.00 Successor Master Servicer Fees 0.00 Other Fees 0.00 Excess Claim Amount 0.00 vii) Default Information: Current Period Cumulative Principal Balance of Defaulted Loans 89515.68 193516.81 Principal Balance of Credit 89515.68 193516.81 Support Multiple Defaulted Loans viii) FHA Insurance Information: Trust Designated Insurance Amount (at the Cut-off Date) 3674309.00 Number Number Balance Balance Current Period Cumulative Current Period Cumulative Claims Filed 0 0 0.00 0.00 Claims Pending 2 NA 10476.55 NA Claims Paid 0 0 0.00 0.00 ix) Reserve Fund: Beginning Balance 2754513.84 Investment Income on the Reserve Fund 11359.47 Deposits to the Reserve Fund 18319.30 Withdrawals from the Reserve Fund for Deficiency Amounts 0.00 Release of Amounts in Excess of the Reserve Requirement 0.00 Ending Balance 2784192.61 x) Collateral Performance Percentages: Pool Annual Default Percentage (Three Month Average) 3.339% Pool 60+ Delinquency Percentage (Rolling Three Month) 2.503% xi) Reserve Requirement Information 30+ Delinquency Rate (Rolling Three Month) 2.333% 60+ Delinquency Rate (Rolling Three Month) 1.428% Cumulative Default Percentage 0.711% Annual Default Rate (Three Month Average) 2.495% Credit Support Multiple 1 Reserve Requirement 3019191.73 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. FINANCIAL ASSET SECURITIES CORPORATION By: /s/ Lynn Steiner Name: Lynn Steiner Title: Assistant Vice President, First Trust of New York, National Association Dated: August 31, 1997