ACCOUNT IS NO LONGER TO BE MAINTAINED AT
THE INDENTURE TRUSTEE, THE SERVICER SHALL, WITH THE INDENTURE TRUSTEE'S
ASSISTANCE AS NECESSARY, CAUSE THE PREFUNDING ACCOUNT TO BE MOVED TO AN ELIGIBLE
INSTITUTION WITHIN TEN (10) BUSINESS DAYS (OR SUCH LONGER PERIOD NOT TO EXCEED
THIRTY (30) CALENDAR DAYS AS TO WHICH EACH RATING AGENCY AND THE INSURER
(PROVIDED THAT NO INSURER DEFAULT SHALL HAVE OCCURRED AND IS CONTINUING) MAY
CONSENT).
THE SERVICER SHALL PROMPTLY NOTIFY THE INDENTURE TRUSTEE, THE INSURER
(PROVIDED THAT NO INSURER DEFAULT SHALL HAVE OCCURRED AND IS CONTINUING) AND THE
OWNER TRUSTEE OF ANY CHANGE IN THE ACCOUNT NUMBER OR LOCATION OF THE PREFUNDING
ACCOUNT.
(C)
ON THE CLOSING DATE, THE TRUST WILL DEPOSIT
AN AMOUNT EQUAL TO THE INITIAL PREFUNDING ACCOUNT AMOUNT FROM THE AGGREGATE
PROCEEDS OF THE SALE OF THE NOTES INTO THE PREFUNDING ACCOUNT.
THE TRUST SHALL
CAUSE THE SERVICER TO NOTIFY THE INSURER AND THE INDENTURE
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TRUSTEE FIVE BUSINESS DAYS PRIOR TO ANY PROPOSED PURCHASE OF ADDITIONAL
CONTRACTS, SUCH NOTICE TO CONTAIN (I) A CONTRACT SCHEDULE LISTING THE RELEVANT
INFORMATION FOR SUCH ADDITIONAL CONTRACTS, (II) THE ADDITIONAL PURCHASE PRICE
AND (III) THE PROPOSED ADDITIONAL CONTRACT PURCHASE DATE.
DURING THE PREFUNDING
PERIOD, UNLESS THE INDENTURE TRUSTEE, ON SUCH PROPOSED ADDITIONAL CONTRACT
PURCHASE DATE, HAS ACTUAL KNOWLEDGE OF THE OCCURRENCE OF A DEFAULT OR EVENT OF
DEFAULT, THE INDENTURE TRUSTEE SHALL TRANSFER THE ADDITIONAL PURCHASE PRICE FOR
SUCH ADDITIONAL CONTRACTS FROM THE PREFUNDING ACCOUNT TO SUCH ACCOUNT AS THE
TRUST, THROUGH THE SERVICER, MAY SPECIFY.
(D)
ON THE PREFUNDING ACCOUNT ENDING DATE, UPON
DIRECTION FROM THE SERVICER, THE INDENTURE TRUSTEE SHALL TRANSFER 96.5% OF THE
EXCESS PREFUNDING AMOUNT TO THE CLASS A NOTE PAYMENT ACCOUNT AND THE REMAINING
3.5% OF THE EXCESS PREFUNDING AMOUNT TO THE CLASS B NOTE PAYMENT ACCOUNT.
SECTION 3.8.
STATEMENTS TO NOTEHOLDERS.
(A)
ON OR PRIOR TO EACH DETERMINATION DATE, THE
SERVICER SHALL PROVIDE TO THE INDENTURE TRUSTEE (WITH COPIES TO THE RATING
AGENCIES AND EACH PAYING AGENT) FOR THE INDENTURE TRUSTEE TO FORWARD TO EACH
NOTEHOLDER OF RECORD AS OF THE MOST RECENT RECORD DATE UPON A WRITTEN REQUEST
FROM ANY SUCH NOTEHOLDER, A STATEMENT WHICH SHALL SET FORTH AT LEAST THE
FOLLOWING INFORMATION AS TO THE NOTES (TO THE EXTENT APPLICABLE) WITH RESPECT TO
THE DISTRIBUTION TO BE MADE ON SUCH PAYMENT DATE:
(I)
THE AMOUNT OF SUCH DISTRIBUTION
ALLOCABLE TO TOTAL NOTE INTEREST;
(II)
THE AMOUNT OF SUCH DISTRIBUTION ALLOCABLE
TO INTEREST, OVERDUE INTEREST AND INTEREST ON OVERDUE INTEREST FOR THE CLASS A
NOTES;
(III)
THE AMOUNT OF SUCH DISTRIBUTION ALLOCABLE TO
PRINCIPAL ON THE CLASS A NOTES AND THE CLASS B NOTES;
(IV)
THE TOTAL SERVICING FEE FOR THE PRECEDING
COLLECTION PERIOD;
(V)
THE CLASS A NOTE BALANCE AND THE NOTE POOL
FACTOR, IN EACH CASE AS OF THE CLOSE OF BUSINESS ON THE LAST DAY OF THE
PRECEDING COLLECTION PERIOD (AFTER GIVING EFFECT TO PAYMENTS ALLOCATED TO
PRINCIPAL REPORTED UNDER CLAUSE (C) ABOVE);
(VI)
THE POOL BALANCE AS OF THE CLOSE OF BUSINESS
ON