Second Amendment Agreement



 EXHIBIT 10.1 
 SECOND AMENDMENT AGREEMENT 
 among 
 QC HOLDINGS, INC., as Borrower 
 and 
 THE BANKS THAT ARE PARTIES HERETO 
 and 
 U.S. BANK NATIONAL ASSOCIATION, as Agent and Arranger 
 SEPTEMBER 28, 2007 







 SECOND AMENDMENT AGREEMENT 
 This Second Amendment Agreement (this “Agreement”), is made and entered into as of September 28, 2007, by and between QC HOLDINGS, INC., a
Kansas corporation (the “Borrower”), the Banks that are parties hereto (being hereinafter referred to individually as a “Bank” or collectively as the “Banks”), and U. S. BANK NATIONAL ASSOCIATION, in its capacity as
Agent (the “Agent”). 
 RECITALS 
 A. On January 19, 2006, the Borrower, the Banks and the Agent entered into a Credit Agreement (as such agreement was amended on October 30, 2006, the “Credit Agreement”) pursuant to which the Banks agreed to make a
revolving credit facility available to the Borrower, and in conjunction therewith, the Borrower executed certain Promissory Notes payable to the Banks, each dated January 19, 2006 (the “Notes”). 
 B. The repayment of the Notes is secured by certain assets of the Borrower and its Subsidiaries referred to as the “Collateral” in the Credit Agreement, which
is more particularly described in the Security Agreement, the Pledge Agreements and the Subsidiary Security Agreements (as each term is defined in the Credit Agreement) (collectively, the “Security Instruments”). 
 C. The Borrower acknowledges (i) the Banks are presently the holders of the Notes, (ii) the Borrower’s liability to pay the Notes according to their
terms, and (iii) the Borrower’s obligation to maintain, perform and comply with the terms and conditions of the Loan Documents (as such term is defined in the Credit Agreement). 
 D. The Borrower, the Agent and the Banks acknowledge that the Borrower is currently in default under the Credit Agreement because the Borrower has, as of the date hereof
made $32,186,133 in stock repurchases, which exceeds the amount of restricted payments permitted under Section 7.02(k) to the Credit Agreement (the “Existing Default”). 
 E. The parties enter into this Agreement to amend certain terms and conditions of the Credit Agreement and to provide for the waiver by the Agent and the Banks of the Existing Default. 
 NOW THEREFORE, the Agent, the Banks and the Borrower for good, sufficient and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, agree
as follows: 
 1. Amendments to the Credit Agreement. The Credit Agreement is amended as follows: 
 (a) The provision contained in Subsection 7.02(k) is deleted and the following provision is inserted in lieu thereof: 
 (k) Restricted Payments. Make or commit to make (i) any Distribution if a Default or Event of Default has occurred and is
continuing or would result from the proposed Distribution, or (ii) the redemption, repurchase, retirement or other 

  

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acquisition of (or the setting apart of any sum in respect of any of the foregoing actions) shares of capital stock of the Borrower or warrants, rights or
options to purchase or acquire shares of any capital stock of the Borrower (other than an exchange of capital stock of the Borrower for other shares of capital stock of the Borrower) if, a Default or Event of Default has occurred and is continuing
or would result from any of the foregoing, or would result in the redemption, repurchase, retirement, acquisition of shares of capital stock or a warrant, right or option to purchase shares of capital stock in an aggregate amount in excess of
$40,000,000.00 from and after July 14, 2004. 
 3. Conditions Precedent. It shall be a condition precedent to the effectiveness
of this Agreement that (i) all amounts due and payable under the Notes as of the execution date shall have been paid, (ii) no Event of Default (other than the Existing Default) shall exist under the Notes, the Credit Agreement, or any
other Loan Document, and (iii) the Agent shall have received such other items as they may reasonably request. 
 4. Representations
and Warranties. The Borrower hereby represents and warrants that (i) it has the authority to enter into this Agreement and, upon execution by the Borrower, this Agreement shall be an enforceable obligation of the Borrower, (ii) all
representations and warranties made by the Borrower in the Credit Agreement and the other Loan Documents are true and correct as of the date of this Agreement, (iii) there have been no amendments or modifications to the Borrower’s
organizational documents since such documents were certified and/or delivered to the Lender in connection with the closing of the Loan and (iv) no Default or Event of Default (other than the Existing Default) currently exists under the Loan
Documents. 
 5. No Other Amendments. Except as expressly set forth herein, or necessary to incorporate the modifications and
amendments herein, all the terms and conditions of the Notes, the Credit Agreement, the Security Instruments, and the other Loan Documents shall remain unmodified and in full force and effect, and the Borrower confirms, reaffirms and ratifies all
such documents and agrees to perform and comply with the terms and the conditions of the Loan Documents, as amended herein. 
 6. No
Impairment. Nothing in this Agreement shall be deemed to or shall in any manner prejudice or impair the Loan Documents, or any security granted or held by the Banks for the indebtedness evidenced by the Notes. 
 7. Waiver of Existing Default. The Agent and the Banks hereby waive any rights or remedies to which they may be entitled on account of the
occurrence of the Existing Default. This waiver is a one-time waiver and shall not result in a waiver with respect to any other Default or Event of Default which may now or hereafter exist or obligate the Agent or the Banks to issue a waiver of a
Default or Event of Default arising in the future. 
  

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 8. Binding Agreement. This Agreement shall be binding upon and inure to the benefit of the parties
hereto and their respective successors and assigns. 
 9. Applicable Law. This Agreement shall be governed by and construed in
accordance with the internal laws of the State of Kansas. 
 10. Waiver of Claims and Defenses. The Borrower hereby waives and
releases any and all claims, defenses or rights of set-off, known or unknown, existing as of the execution date, which in any manner arise out of or relate to any Loan Document. 
 11. Fees and Expenses. The Borrower agrees to pay and reimburse the Agent for all of its out-of-pocket costs and expenses incurred in connection
with the preparation, negotiation, execution, filing, enforcement and administration of this Agreement including, without limitation, the fees and expenses of counsel to the Agent. 
 12. Counterparts. This Agreement may be executed in counterparts and when combined all such counterparts shall constitute one agreement.

 13. Waiver of Jury Trial. Any controversy or claim between or among the parties hereto arising out of or relating to this Agreement
shall be controlled by the provisions with respect to waiver of trial by jury contained in the Loan Documents previously delivered by such parties. 
 14. NO ORAL AGREEMENTS. THIS IS THE FINAL EXPRESSION OF THE CREDIT AGREEMENT BETWEEN THE BORROWER, THE AGENT AND THE BANKS AND SUCH WRITTEN CREDIT AGREEMENT MAY NOT BE CONTRADICTED BY EVIDENCE OF ANY PRIOR ORAL AGREEMENT OR OF A
CONTEMPORANEOUS ORAL CREDIT AGREEMENT BETWEEN THE BORROWER, THE AGENT AND BANKS. 
  

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 ANY ADDITIONAL NON-STANDARD TERMS OF THE CREDIT AGREEMENT AND THE REDUCTION TO WRITING OF ANY PREVIOUS
ORAL CREDIT AGREEMENT BETWEEN THE BORROWER, THE AGENT AND BANKS IS SET FORTH IN THE SPACE BELOW: 
 NONE 
 BORROWER, THE AGENT AND BANKS AFFIRM THAT NO UNWRITTEN ORAL CREDIT AGREEMENT BETWEEN THEM EXISTS. 
  

							
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 IN WITNESS WHEREOF, the Agent, the Borrower and the Banks have executed this Agreement as of the day and
year first above written. 
  

			
	AGENT:
	
	U.S. BANK NATIONAL ASSOCIATION
		
	By:	 	 /s/ Timothy Petty

		 	Timothy Petty
		 	Senior Vice President


  

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 IN WITNESS WHEREOF, the Agent, the Borrower and the Banks have executed this Agreement as of the day and
year first above written. 
  

			
	BORROWER:
	
	 QC HOLDINGS, INC.,
 a Kansas
corporation

		
	By:	 	 /s/ Douglas E. Nickerson

		 	Douglas E. Nickerson
		 	Chief Financial Officer


  

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 IN WITNESS WHEREOF, the Agent, the Borrower and the Banks have executed this Agreement as of the day and
year first above written. 
  

			
	BANKS:
	
	U. S. BANK NATIONAL ASSOCIATION
		
	By:	 	 /s/ Timothy Petty

		 	Timothy Petty
		 	Senior Vice President


  

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 IN WITNESS WHEREOF, the Agent, the Borrower and the Banks have executed this Agreement as of the day and
year first above written. 
  

			
	BANKS:
	
	BANK MIDWEST, N.A.
		
	By:	 	 /s/ Damon K. Stelting

	Name:	 	Damon K. Stelting
	Title:	 	Vice President


  

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 IN WITNESS WHEREOF, the Agent, the Borrower and the Banks have executed this Agreement as of the day and
year first above written. 
  

			
	 BANKS:

	
	 ENTERPRISE BANK & TRUST

		
	 By:
	 	 /s/ Earl Geddes

	 Name:
	 	Earl Geddes
	 Title:
	 	Vice President


  

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 IN WITNESS WHEREOF, the Agent, the Borrower and the Banks have executed this Agreement as of the day and
year first above written. 
  

			
	 BANKS:

	
	 BANK OF OKLAHOMA, N.A.

		
	 By:
	 	 /s/ Matthew J. Mason

	 Name:
	 	Matthew J. Mason
	 Title:
	 	Vice President


  

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 IN WITNESS WHEREOF, the Agent, the Borrower and the Banks have executed this Agreement as of the day and
year first above written. 
  

			
	 BANKS:

	
	 NATIONAL CITY BANK

		
	 By:
	 	 /s/ Michael J. Durbin

	 Name:
	 	Michael J. Durbin
	 Title:
	 	Senior Vice President


  

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 ACKNOWLEDGMENT AND AGREEMENT OF GUARANTORS/PLEDGORS 
 Each of the undersigned guarantors and/or pledgors of collateral with respect to the obligations of the Borrower to the Agent and the Banks hereby
(i) acknowledge and consent to the terms of the foregoing Second Amendment Agreement, (ii) represents and warrants to the Agent and the Banks that there exists no default or event of default under any document delivered by it to the Agent
or the Banks with respect to the Loan and (iii) reaffirms and ratifies the full force and effect of any guaranty agreement or security instrument delivered by it in connection with the Loan. 
  

			
	 QC Financial Services, Inc.,

	 a Missouri corporation

		
	 By:
	 	 /s/ Douglas E. Nickerson

		 	Douglas E. Nickerson
		 	Chief Financial Officer
	
	 QC Properties, LLC,
 a Kansas limited liability company

		
	 By:
	 	 /s/ Darrin Anderson

		 	Darrin Andersen
		 	Manager
	
	 QC Financial Services of California, Inc.,
 a California corporation

		
	 By:
	 	 /s/ Douglas E. Nickerson

		 	Douglas E. Nickerson
		 	Chief Financial Officer


  

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	 QC Financial Services of Texas, Inc.,

	 a Kansas corporation

		
	By:	 	 /s/ Douglas E. Nickerson

		 	Douglas E. Nickerson
		 	Chief Financial Officer
	
	 QC Advance, Inc.,
 a Missouri corporation


		
	By:	 	 /s/ Douglas E. Nickerson

		 	Douglas E. Nickerson
		 	Chief Financial Officer
	
	 Cash Title Loans, Inc.,
 a Missouri
corporation

		
	By:	 	 /s/ Douglas E. Nickerson

		 	Douglas E. Nickerson
		 	Chief Financial Officer
	
	 Express Check Advance of South Carolina, LLC,
 a Tennessee limited liability company

		
	By:	 	 /s/ Douglas E. Nickerson

	Name:	 	Douglas E. Nickerson
	Title:	 	Chief Financial Officer


  

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