Four classes from two Ocwen Home Equity Loan Trust transactions have been downgraded by Fitch Ratings.The downgrades were as follows: Ocwen mortgage loan asset-backed certificates series 1998-OFS3, class M-2, from A to A-minus, and class B, from BBB to BB; and Ocwen Residential MBS Corp. mortgage pass-through certificates series 1998-R3, class B-2, from AA to A, and class B-3, from CCC to C. The rating agency also affirmed the ratings on 22 classes from six Ocwen deals. The downgrades were attributed to consistent or rising monthly losses that have reduced credit enhancement. The 1998-OFS3 certificates are backed by fixed- and adjustable-rate mortgage loans, and the Ocwen Residential deal is collateralized by seasoned, re-performing mortgage loans acquired from the Department of Housing and Urban Development, Fitch said. The rating agency said it defines a re-performing loan as one that has experienced a default and is 30 days or more delinquent on regular payments, but has made at least three payments in the past four months. Fitch can be found online at http://www.fitchratings.com.

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