Exhibit 10.14


                      Confirmation of Rate Cap Transaction



                                                           August __, 2003

PHH Corporation
307 International Circle
Hunt Valley, Maryland  21030
Attn:  Brad Howatt
Facsimile No.:  (410) 771-3362

         cc:    Eric Fishman
                Cendant Corporation
                6 Sylvan Way
                Parsippany, NJ 07054

Ladies and Gentlemen:

          The purpose of this letter agreement is to set forth the terms and
conditions of the rate cap transaction entered into between JPMorgan Chase Bank
("JPMorgan Chase") and PHH Corporation (the "Counterparty") on August __, 2003
(the "Rate Cap Transaction"). It is understood by the parties that the
Counterparty will contribute its rights, but not its obligation to pay the
Premiums, under this Rate Cap Transaction to PHH Vehicle Management Services,
LLC ("VMS"). VMS will in turn contribute its rights under this Rate Cap
Transaction to Raven Funding LLC ("SPV"), and SPV will in turn contribute its
rights under this Rate Cap Transaction to Chesapeake Funding LLC (the "Issuer").
The Issuer will pledge its rights under this Rate Cap Transaction to JPMorgan
Chase, as indenture trustee (the "Indenture Trustee") under the Base Indenture
dated as of June 30, 1999, between the Issuer and the Indenture Trustee, as
amended by that Series 2003-1 Indenture Supplement thereto (the "Indenture
Supplement"), dated as of August __, 2003, between the Issuer and the Indenture
Trustee (the "Indenture").

          In consideration of the promise by the Counterparty to make the
payment of the Premiums and in consideration of the promise by JPMorgan Chase to
make payments to the Counterparty in accordance with Section 3 hereof, the
parties hereto agree as follows:

          1. Definitions. The following terms shall have the following meanings:

          "Business Day" means any day that is a New York Business Day and a
     London Business Day and on which banks are not required or authorized by
     law to close in Maryland or Delaware.

          "Calculation Period" means each period from and including one Payment
     Date (or, in the case of the initial Calculation Period, the Effective
     Date) to but excluding the


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     next succeeding Payment Date (or, in the case of the final Calculation
     Period, the Termination Date).

          "Cap Payment" has the meaning defined in Section 3 hereof.

          "Cap Rate" means, with respect to each Calculation Period, the
     weighted average fixed rate of interest on the New Fixed Rate Leases as of
     the last day of the Monthly Period immediately preceding the first day of
     such Calculation Period minus 0.65% per annum.

          "Closed-End Lease" has the meaning defined in the Indenture.

          "Counterparty's Account" means, as long as the Counterparty's rights
     under this letter agreement shall remain assigned to the Indenture Trustee,
     the Collection Account as defined in the Indenture, and thereafter such
     account as is designated by the Counterparty from time to time.

          "Designated Maturity" means one month.

          "Effective Date" means August __, 2003.

          "Excess Cap Payment" has the meaning defined in Section 3 hereof.

          "Floating Rate" means, with respect to a Calculation Period, the rate
     determined by JPMorgan Chase to be (i) the per annum rate for deposits in
     U.S. dollars for a period of the Designated Maturity which appears on the
     Telerate Page 3750 Screen as of 11:00 a.m., London time, on the day that is
     two London Business Days prior to the Reset Date in respect of such
     Calculation Period (rounded upwards, if necessary, to the nearest 1/100,000
     of 1%); (ii) if such rate does not appear on the Telerate Page 3750 Screen,
     the Floating Rate with respect to such Calculation Period shall be the
     arithmetic mean (rounded as aforesaid) of the offered quotations obtained
     by JPMorgan Chase from the Reference Banks for deposits in U.S. dollars to
     leading banks in the London interbank market as of approximately 11:00
     a.m., London time, on the day that is two London Business Days prior to
     such Reset Date; or (iii) if fewer than two Reference Banks provide
     JPMorgan Chase with such quotations, the Floating Rate shall be the rate
     per annum which JPMorgan Chase determines to be the arithmetic mean
     (rounded as aforesaid) of the offered quotations which leading banks in New
     York City selected by JPMorgan Chase are quoting in the New York interbank
     market on such Reset Date for deposits in U.S. dollars to the Reference
     Banks or, if fewer than two such quotations are available, to leading
     European and Canadian Banks.

          "JPMorgan Chase's Account" means the account of JPMorgan Chase at JP
     Morgan Chase Bank (ABA: 021-000-021), Account No. 0999-97-341.

          "Lease Balance" has the meaning defined in the Indenture.

          "Leased Vehicle" has the meaning defined in the Indenture.

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                                                                            3

          "London Business Day" means any day on which banks are open for
     business in London, England and on which dealings in deposits in U.S.
     dollars are transacted in the London interbank market.

          "Monthly Period" has the meaning defined in the Indenture.

          "Moody's" has the meaning defined in the Indenture.

          "New Fixed Rate Lease" means on any day each Unit Lease then bearing
     interest or finance charges at a fixed rate per annum (a) that did not bear
     interest or finance charges at a fixed rate per annum when it initially
     became a unit Lease or on the Effective Date and (b) with respect to which
     the Issuer shall not have obtained on or prior to such day an interest rate
     cap satisfying the requirements therefor set forth in Section 5A.11(c) of
     the Indenture Supplement.

          "New York Business Day" means any day on which banks are not required
     or authorized by law to close in New York City.

          "Notional Lease Rate Cap" means, with respect to each New Fixed Rate
     Lease, as of the last day of the Monthly Period immediately preceding the
     first Calculation Period during which such New Fixed Rate Lease is to be
     included in the calculation of the Notional Principal Amount, a lease rate
     cap having a notional amount on the first day of such Calculation Period
     equal to the Lease Balance of such New Fixed Rate Lease as of the last day
     of such Monthly Period, plus, in the case of a Closed-End Lease, the Stated
     Residual Value of the related Leased Vehicle and on the first day of each
     Calculation Period thereafter at least equal to the scheduled Lease Balance
     of such New Fixed Rate Lease as of the last day of the Monthly Period
     immediately preceding such first day of such Calculation Period, plus, in
     the case of a Closed-End Lease, the Stated Residual Value of the related
     Leased Vehicle and an effective strike rate based on the eurodollar rate
     set forth therein in effect on the dates set forth therein at the most
     equal to the fixed rate of interest on such New Fixed Rate Lease minus
     0.705% per annum.

          "Notional Principal Amount" means, with respect to a Calculation
     Period, an amount equal to the lesser of (a) the aggregate Unit Balance of
     all New Fixed Rate Leases as of the last day of the Monthly Period
     immediately preceding the first day of such Calculation Period and (b) the
     sum of the Series 2003-1 Invested Amount and the aggregate stated
     liquidation preference of the Series 2003-1 Preferred Membership Interests
     on the first day of such Calculation Period.

          "Payment Date" means the 7th day of each month, or, if such date is
     not a Business Day, the next succeeding Business Day, commencing September
     8, 2003 and ending on the Termination Date.

          "Premiums" means the amounts payable by the Counterparty to JPMorgan
     Chase pursuant to Section 2 hereof.

          "Rating Agency Condition" has the meaning defined in the Indenture
     Supplement.

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                                                                            4

          "Reference Banks" means four major banks in the London interbank
     market selected by JPMorgan Chase.

          "Reset Date" means the first day of each Calculation Period.

          "Series 2003-1 Invested Amount" has the meaning defined in the
     Indenture Supplement.

          "Series 2003-1 Percentage" means, on any Payment Date, the average
     Series 2003-1 Invested Percentage during the Monthly Period immediately
     preceding such Payment Date.

          "Series 2003-1 Preferred Membership Interests" has the meaning defined
     in the Indenture Supplement.

          "Series 2003-1 Required Lease Rate Cap" has the meaning defined in the
     Indenture Supplement.

          "Standard & Poor's" has the meaning defined in the Indenture.

          "Stated Residual Value" has the meaning defined in the Indenture.

          "Telerate Page 3750 Screen" means the display designated as "Page
     3750" on the Telerate Service (or such other page as may replace Page 3750
     on that service or such other service as may be nominated by the British
     Bankers' Association as the information vendor for the purpose of
     displaying British Bankers' Association Interest Settlement Rates for U.S.
     Dollar deposits).

          "Termination Date" means the earlier of August ___, 2015 and the date
     on which the Series 2003-1 Invested Amount has been reduced to zero and the
     Series 2003-1 Preferred Membership Interests shall have been redeemed.

          "Unit Balance" means, with respect to any New Fixed Rate Lease, as of
     any date of determination, the Lease Balance of such New Fixed Rate Lease
     as of such date, plus, in the case of a Closed-End Lease, the Stated
     Residual Value of the related Leased Vehicle.

          "Unit Lease" has the meaning defined in the Indenture.

          2. Premiums. On the first day of the first Calculation Period on which
there are any New Fixed Rate Leases, the Counterparty agrees to pay to JPMorgan
Chase an amount, to be determined by JPMorgan Chase on a reasonably commercial
basis, equal to the premium that would have been payable by the Counterparty to
obtain a Notional Lease Rate Cap with respect to each such New Fixed Rate Lease
on the date that is two Business Days prior to such first day. On the first day
of any Calculation Period during which, after giving effect to the addition of
any additional New Fixed Rate Leases, either (x) the aggregate scheduled
notional amounts during such Calculation Period or any Calculation Period
thereafter of the Notional Lease Rate Caps with respect to all New Fixed Rate
Leases will be less than the Notional


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Principal Amount with respect to such Calculation Period or any Calculation
Period thereafter (the sum of any such deficiencies, the "Notional Amount
Deficiencies") or (y) the weighted average cap rate during such Calculation
Period or any Calculation Period thereafter under the Notional Lease Rate Caps
with respect to all New Fixed Rate Leases will be higher than the Cap Rate with
respect to such Calculation Period or any Calculation Period thereafter (the
"Cap Rate Deficiencies"), the Counterparty agrees to pay to JPMorgan Chase an
amount, to be determined by JPMorgan Chase on a reasonably commercial basis,
equal to the premium that would have been payable by the Counterparty to obtain
a lease rate cap covering the Notional Amount Deficiencies and/or the Cap Rate
Deficiencies. All payments of Premiums to JPMorgan Chase shall be made by
deposit to JPMorgan Chase's Account. JPMorgan Chase shall determine the amount
of any Premium payable by the Counterparty hereunder, based on the information
contained in the Monthly Settlement Statement delivered to JPMorgan Chase
pursuant to Article 7 of the Indenture Supplement, and notify the Counterparty
thereof on the Business Day prior to the due date thereof.

          3. Payments. JPMorgan Chase agrees to pay to or at the direction of
the Counterparty on each Payment Date, an amount equal to the product of (i) the
amount by which the Floating Rate exceeds the Cap Rate with respect to the
Calculation Period ending on such Payment Date, in each case as determined by
JPMorgan Chase, (ii) the Notional Principal Amount with respect to such
Calculation Period and (iii) the actual number of days in such Calculation
Period divided by 360 (the "Cap Payment"). JPMorgan Chase shall determine the
amount of any Cap Payment for any Payment Date based on the information
contained in the Monthly Settlement Statement delivered to JPMorgan Chase
pursuant to Article 7 of the Indenture Supplement in respect of the immediately
preceding Payment Date. On any Payment Date following a Calculation Period
during which the Notional Principal Amount was calculated based on the amount
set forth in clause (a) of the definition thereof, JPMorgan Chase shall pay a
portion of the Cap Payment, in an amount equal to the Series 2003-1 Percentage
thereof on such Payment Date, to the Counterparty's Account and, subject to
Section 7 hereof, the remaining portion thereof (the "Excess Cap Payment") to or
at the direction of the Issuer. On any Payment Date following a Calculation
Period during which the Notional Principal Amount was calculated based on the
amount set forth in clause (b) of the definition thereof, JPMorgan Chase shall
pay the full amount of the Cap Payment to the Counterparty's Account.

          4. Notices. Any notices hereunder (i) shall be in writing and
hand-delivered or sent by first-class mail, postage prepaid, return receipt
requested, or facsimile transmission and shall be addressed to the intended
recipient at its address set forth on the signature page hereof or at such other
address as such party shall have last specified by notice to the other party and
(ii) shall be effective (a) if delivered by hand or sent by overnight courier,
on the day it is delivered, unless delivery is made after the close of business
or on a day that is not a Business Day, in which case such notice will be
effective on the next Business Day, (b) if sent by certified or registered mail
or the equivalent (return receipt requested), three Business Days after
dispatch, or (c) if sent by facsimile transmission, on the date that
transmission is received by a responsible employee of the recipient in legible
form (it being agreed that the burden of proving receipt will be on the sender
and will not be met by a transmission report generated by the sender's facsimile
machine).

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                                                                            6

          5. Governing Law. This letter agreement shall be governed by and
construed in accordance with the laws of the State of New York.

          6. Assignments. Neither party shall have the right to assign its
rights or delegate its obligations under this letter agreement without the prior
written consent of the other party; provided, however, that, the Counterparty's
rights hereunder may be assigned as described herein and pledged by the Issuer
to the Indenture Trustee.

          7. Set-off; Counterclaim. Notwithstanding any other provision of any
other agreement to the contrary, all payments under this letter agreement will
be made without set-off or counterclaim, except that, if the Counterparty fails
to pay any Premium pursuant to Section 2 hereof in respect of any New Fixed Rate
Lease when due, JPMorgan Chase will not be obligated to pay to or at the
direction of the Issuer pursuant to Section 3 hereof on any Payment Date
following a Calculation Period during which the Notional Principal Amount was
calculated based on the amount set forth in clause (a) of the definition
thereof, an amount equal to the lesser of the Excess Cap Payment and the portion
of the Cap Payment on such Payment Date attributable to the Unit Balance of such
New Fixed Rate Lease.

          8. Each Party's Reliance on its own Judgment. Each party has entered
into this Rate Cap Transaction solely in reliance on its own judgment. Neither
party has any fiduciary obligation to the other party relating to this Rate Cap
Transaction. In addition, neither party has held itself out as advising, or has
held out any of its employees or agents as having the authority to advise, the
other party as to whether or not the other party should enter into this Rate Cap
Transaction, any subsequent actions relating to this Rate Cap Transaction or any
other matters relating to this Rate Cap Transaction. Neither party shall have
any responsibility or liability whatsoever in respect of any advice of this
nature given, or views expressed, by it or any of such persons to the other
party relating to this Rate Cap Transaction, whether or not such advice is given
or such views are expressed at the request of the other party.

          9. Early Termination. If the short-term credit rating of JPMorgan
Chase falls below "A-1" by Standard & Poor's or "P-1" by Moody's or the
long-term unsecured credit rating of JPMorgan Chase falls below "A+" by Standard
& Poor's or "Aa3" by Moody's and within 30 days of such decline in credit
rating, JPMorgan Chase shall not have provided some form of collateral for its
obligations hereunder and satisfied the Rating Agency Condition with respect to
such arrangement, the Counterparty shall have the right, upon five (5) Business
Days written notice to JPMorgan Chase, to terminate this Rate Cap Transaction.
The Counterparty's right to terminate this Rate Cap Transaction pursuant to the
preceding sentence is conditioned upon the Counterparty having obtained, and
there being maintained as of the time of such termination, the Series 2003-1
Required Lease Rate Cap (determined without giving effect to this Rate Cap
Transaction).

          10. WAIVER OF JURY TRIAL. THE PARTIES HERETO HEREBY KNOWINGLY AND
INTENTIONALLY, IRREVOCABLY AND UNCONDITIONALLY WAIVE TRIAL BY JURY IN ANY LEGAL
ACTION OR PROCEEDING RELATING TO THIS LETTER AGREEMENT OR FOR ANY COUNTERCLAIM
THEREIN.

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          Please confirm that the foregoing correctly sets forth the terms and
conditions of our agreement by responding within three (3) Business Days by
returning via facsimile an executed copy of this letter agreement to the
attention of Michaela Ludbrook, facsimile no. (212) 834-6187.

          Duplicate hard copies of this letter agreement will be sent to you
shortly. Upon receipt, please execute both copies and return one to JPMorgan
Chase to the address indicated below.


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          JPMorgan Chase is pleased to have concluded this transaction with you.

                               Very truly yours,

                               JPMORGAN CHASE BANK


                               By:
                                  -------------------------------------------
                                  Name:
                                  Title:

                               Address for Notices:
                               270 Park Avenue, 8th Floor
                               New York, NY 10017
                               Attention: Michaela Ludbrook
                               Facsimile No.: (212) 834-6187



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                                                                            9



                               ACCEPTED AND AGREED:

                               PHH CORPORATION



                               By:
                                  -------------------------------------------
                                  Name:
                                  Title:

                               Address for Notices:
                               307 International Circle
                               Hunt Valley, Maryland  21030
                               Attn:  Brad Howatt
                               Facsimile No.:  (410) 771-3362