Document:

EXHIBIT 10.80

                           SECOND AMENDED AND RESTATED
                                CREDIT AGREEMENT

                          DATED AS OF NOVEMBER 15, 2000

                                      AMONG

                                 F.I.R.C., INC.

                                   AS BORROWER

                                       AND

           THE FINANCIAL INSTITUTIONS NOW OR HEREAFTER PARTIES HERETO

                                    AS BANKS

                                       AND

                              BANK OF AMERICA, N.A.

                                    AS AGENT
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                                TABLE OF CONTENTS
                                                                            PAGE

                    ARTICLE IDEFINITIONS AND ACCOUNTING TERMS

      Section 1.01.   CERTAIN DEFINED TERMS..................................  1
      Section 1.02.   COMPUTATION OF TIME PERIODS............................ 16
      Section 1.03.   ACCOUNTING TERMS....................................... 16

                  ARTICLE II AMOUNTS AND TERMS OF THE ADVANCES

      Section 2.01.   THE ADVANCES........................................... 16
      Section 2.02.   MAKING THE ADVANCES.................................... 17
      Section 2.03.   FEES................................................... 18
      Section 2.04.   REDUCTION OF THE COMMITMENTS........................... 18
      Section 2.05.   [RESERVED]............................................. 18
      Section 2.06.   INTEREST............................................... 18
      Section 2.07.   ADDITIONAL INTEREST ON ADVANCES BASED ON THE LIBOR RATE 19
      Section 2.08.   INTEREST RATE DETERMINATION AND PROTECTION............. 20
      Section 2.09.   VOLUNTARY INTEREST CONVERSION OF ADVANCES.............. 21
      Section 2.10.   FUNDING LOSSES RELATING TO FIXED RATE ADVANCES......... 21

          ARTICLE III INCREASED COSTS, TAXES, PAYMENTS AND PREPAYMENTS

      Section 3.01.   INCREASED COSTS; CAPITAL ADEQUACY...................... 22
      Section 3.02.   PAYMENTS AND COMPUTATIONS.............................. 23
      Section 3.03.   TAXES.................................................. 23
      Section 3.04.   SHARING OF PAYMENTS, ETC............................... 24
      Section 3.05.   VOLUNTARY PREPAYMENTS.................................. 24
      Section 3.06.   MANDATORY PREPAYMENTS.................................. 24
      Section 3.07.   BANK COLLATERAL AGENT AS BORROWER'S PAYING AGENT....... 25
      Section 3.08.   SUBSTITUTION OF BANK................................... 25

                        ARTICLE IV CONDITIONS OF LENDING

      Section 4.01.   CONDITIONS PRECEDENT TO INITIAL ADVANCES............... 25
      Section 4.02.   CONDITIONS PRECEDENT TO EACH BORROWING (INCLUDING THE
                      INITIAL BORROWING)..................................... 27

                    ARTICLE V REPRESENTATIONS AND WARRANTIES

      Section 5.01.   EXISTENCE.............................................. 28

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      Section 5.02.   POWER AND AUTHORIZATION................................ 28
      Section 5.03.   NO CONFLICT OR RESULTANT LIEN.......................... 28
      Section 5.04.   RECEIVABLES............................................ 28
      Section 5.05.   NO CONSENT............................................. 28
      Section 5.06.   BINDING OBLIGATIONS.................................... 28
      Section 5.07.   FINANCIAL CONDITION.................................... 29
      Section 5.08.   LITIGATION............................................. 29
      Section 5.09.   USE OF PROCEEDS; MARGIN STOCK.......................... 29
      Section 5.10.   TAXES; GOVERNMENTAL CHARGES............................ 29
      Section 5.11.   FULL DISCLOSURE........................................ 29
      Section 5.12.   INVESTMENT COMPANY ACT................................. 30
      Section 5.13.   ENVIRONMENTAL MATTERS.................................. 30
      Section 5.14.   CAPITAL STRUCTURE...................................... 30
      Section 5.15.   COMPLIANCE WITH LAW.................................... 30
      Section 5.16.   ERISA.................................................. 30
      Section 5.17.   NO DEFAULT OR EVENT OF DEFAULT......................... 30
      Section 5.18.   PERMITS AND LICENSES................................... 30
      Section 5.19.   SURVIVAL OF REPRESENTATIONS AND WARRANTIES............. 30

                ARTICLE VI AFFIRMATIVE COVENANTS OF THE BORROWER

      Section 6.01.   COMPLIANCE WITH LAWS, ETC.............................. 31
      Section 6.02.   REPORTING AND NOTICE REQUIREMENTS...................... 31
      Section 6.03.   TAXES AND LIENS........................................ 34
      Section 6.04.   MAINTENANCE OF PROPERTY................................ 34
      Section 6.05.   RIGHT OF INSPECTION.................................... 34
      Section 6.06.   PERFORMANCE AND COMPLIANCE WITH RECEIVABLES AND
                      CREDIT INSURANCE....................................... 34
      Section 6.07.   FURTHER ASSURANCES..................................... 35

                         ARTICLE VII NEGATIVE COVENANTS

      Section 7.01.   LIENS, ETC............................................. 35
      Section 7.02.   DEBT................................................... 35
      Section 7.03.   RESTRICTED PAYMENTS.................................... 36
      Section 7.04.   MERGERS; CONSOLIDATIONS................................ 36
      Section 7.05.   INVESTMENTS, LOANS, AND ADVANCES....................... 36
      Section 7.06.   SALE OR OTHER DISPOSITION OF ASSETS.................... 36
      Section 7.07.   USE OF PROCEEDS........................................ 36
      Section 7.08.   TRANSACTIONS WITH AFFILIATES........................... 36
      Section 7.09.   OTHER BUSINESS......................................... 37
      Section 7.10.   ISSUANCE OF SHARES..................................... 37
      Section 7.11.   ERISA.................................................. 37
      Section 7.12.   ACQUISITIONS........................................... 38
      Section 7.13.   CERTAIN FINANCIAL TESTS................................ 38
      Section 7.14.   EXTENSION OR AMENDMENT OF RECEIVABLES AND OTHER
                      DOCUMENTS.............................................. 38
      Section 7.15.   LETTER OF GUARANTY..................................... 38

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                         ARTICLE VIII EVENTS OF DEFAULT

      Section 8.01.   EVENTS OF DEFAULT...................................... 38

                              ARTICLE IX THE AGENT

      Section 9.01.   AUTHORIZATION AND ACTION............................... 41
      Section 9.02.   AGENT'S RELIANCE, ETC.................................. 42
      Section 9.03.   BANK OF AMERICA AND AFFILIATES......................... 42
      Section 9.04.   BANK CREDIT DECISION................................... 42
      Section 9.05.   INDEMNIFICATION........................................ 43
      Section 9.06.   SUCCESSOR AGENT........................................ 43
      Section 9.07.   AGENT'S RELIANCE....................................... 43
      Section 9.08.   DEFAULTS............................................... 44

                             ARTICLE X MISCELLANEOUS

      Section 10.01.  AMENDMENTS, ETC........................................ 44
      Section 10.02.  NOTICES, ETC........................................... 44
      Section 10.03.  NO WAIVER; REMEDIES.................................... 45
      Section 10.04.  COSTS, EXPENSES AND TAXES.............................. 45
      Section 10.05.  RIGHT OF SET-OFF....................................... 45
      Section 10.06.  BINDING EFFECT......................................... 45
      Section 10.07.  ASSIGNMENTS AND PARTICIPATIONS......................... 45
      Section 10.08.  LIMITATION ON AGREEMENTS............................... 47
      Section 10.09.  SEVERABILITY........................................... 48
      Section 10.10.  GOVERNING LAW.......................................... 48
      Section 10.11.  SUBMISSION TO JURISDICTION; WAIVERS.................... 48
      Section 10.12.  WAIVER OF JURY TRIAL................................... 49
      Section 10.13.  EXECUTION IN COUNTERPARTS.............................. 49
      Section 10.14.  NO INSOLVENCY PETITION AGAINST BORROWER................ 49
      Section 10.15.  INDEMNIFICATION........................................ 49
      Section 10.16.  SERVICING.............................................. 50
      Section 10.17.  FINAL AGREEMENT........................................ 50

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EXHIBITS:                                                                   PAGE

Exhibit A - Form of ALPI Insurance Policy

Exhibit B - Form of Compliance Certificate

Exhibit C - [RESERVED]

Exhibit D - Form of GAP and VSI Insurance Policy

Exhibit E - Form of Notice of Borrowing

Exhibit F - Form of Facility Note

Exhibit G - Form of Opinion of Counsel for the Borrower

Exhibit H - Form of Bank Collateral Agent's Disbursement Statement

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<PAGE>
                          SECOND AMENDED AND RESTATED
                                CREDIT AGREEMENT

      THIS AMENDED AND RESTATED CREDIT AGREEMENT, dated as of November 15, 2000
(as the same may be amended, modified, renewed or extended from time to time,
this "AGREEMENT") is made by and among F.I.R.C., Inc., a Delaware corporation
(the "BORROWER"), the financial institutions listed on the signature pages
hereof and any other financial institution that may hereafter become a party
hereto pursuant to the provisions hereof (each individually a "BANK" and
collectively, the "BANKS"), and Bank of America, N.A. (in its individual
capacity, "BANK OF AMERICA"), as agent for the Banks (in such capacity, the
"AGENT").

                                   WITNESSETH:
                                   ----------

      WHEREAS, the Borrower, the Banks, and the Agent desire hereby to amend and
restate that certain Amended and Restated Credit Agreement, dated as of October
30, 1996, as amended prior to the date hereof (the "Original Credit Agreement");

      NOW, THEREFORE, for and in consideration of the premises and the mutual
covenants herein set forth and other good and valuable consideration, the
receipt and adequacy of which are hereby acknowledged, the Borrower, the Banks,
and the Agent hereby agree as follows:

                                    ARTICLE I

                        DEFINITIONS AND ACCOUNTING TERMS

      Section 1.01. CERTAIN DEFINED TERMS. As used in this Agreement, the
following terms shall have the following meanings (such meanings to be equally
applicable to both the singular and plural forms of the terms defined):

            "ACTUAL CREDIT LOSSES" means, for any Collection Period, losses of
      principal under the Receivables after taking into account any Liquidation
      Proceeds received.

            "ADVANCE" means any advance provided for under Section 2.01 hereof.

            "AFFILIATE" means any Person which, directly or indirectly, controls
      or is controlled by or is under common control with another Person. For
      purposes of this definition, "control" (including, with correlative
      meanings, the terms "controlled by" and "under common control with"), as
      used with respect to any Person, means the power to direct or cause the
      direction of the management and policies of such Person, directly or
      indirectly, whether through the ownership of voting securities or by
      contract or otherwise.

            "AGREED RATE" means, for any Interest Period for each Agreed Rate
      Advance, a fixed interest rate per annum mutually agreed upon among the
      Borrower and the Banks.

            "AGREED RATE ADVANCE" means an Advance which bears interest at the
      interest rate as provided in Section 2.06(c).

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            "ALPI INSURANCE" means the policy or policies of insurance covering
      each of the underlying installment sales contracts, installment notes or
      other written evidence of any Obligor's obligation arising out of the
      purchase of a Financed Vehicle held by the Borrower issued by National
      Union Fire Insurance Company of Pittsburgh, PA in the form attached hereto
      as EXHIBIT A and the policy of insurance issued by Agricultural Excess and
      Surplus Insurance Co. issued October 6, 1992 or such other insurance as is
      satisfactory in form and substance to the Banks.

            "APPLICABLE LENDING OFFICE" means, with respect to each Bank, such
      Bank's Domestic Lending Office in the case of a Base Rate Advance or an
      Agreed Rate Advance or such Bank's LIBOR Lending Office in the case of a
      LIBOR Rate Advance.

            "ANNUAL PERCENTAGE RATE" or "APR" has the meaning set forth in the
      Purchase Agreement.

            "ASSIGNEE" has the meaning specified in subsection 10.07(a) hereof.

            "ASSIGNMENT AND ACCEPTANCE" has the meaning specified in Section
      10.07(a) hereof.

            "AVAILABLE AMOUNT" means, at any time, an amount equal to the excess
      of (a) the lesser of (i) the Commitments at such time or (ii) the
      Borrowing Base OVER (b) the aggregate principal amount of all Advances
      then outstanding.

            "BANK COLLATERAL AGENT" means Wells Fargo Bank Minnesota, National
      Association (f/k/a to Norwest Bank Minnesota, National Association) and
      any successor thereto appointed pursuant to Section 19 of the Security
      Agreement.

            "BANK OF AMERICA" means Bank of America, N.A.

            "BASE RATE" means, for any period, a fluctuating interest rate per
      annum (rounded upwards to the nearest 1/16 of 1%) as shall be in effect
      from time to time which rate per annum shall at all times be equal to the
      higher of:

                  (a) the Prime Rate, or

                  (b) the Federal Funds Rate plus 1/2 of 1% per annum.

            "BASE RATE ADVANCE" means an Advance which bears interest at the
      interest rate as provided in Section 2.06(a).

            "BORROWING" means a borrowing consisting of Advances of the same
      Type made on the same day by the Banks.

            "BORROWING BASE" means, at any time, an amount equal to the lesser
      of (i) 100% of Eligible Receivables and (ii) the policy life aggregate
      limit of liability of the ALPI Insurance as it may adjust from time to
      time.

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            "BUSINESS DAY" means a day of the year on which banks are not
      required or authorized to close in Dallas, Texas and, if the applicable
      Business Day relates to any LIBOR Rate Advances, on which dealings are
      carried on in the London interbank market.

            "CAPITAL LEASE" means a lease which should, in accordance with GAAP,
      be recorded as a capital lease on the balance sheet of the lessee.

            "CLOSING DATE" means the date the Agreement becomes effective in
      accordance with Article IV.

            "CODE" means the Internal Revenue Code of 1986, as amended from time
      to time and any successor statute.

            "COLLATERAL" has the meaning set forth in the Security Agreement.

            "COLLATERAL ACCOUNT" means that certain trust account established
      pursuant to Section 2 of the Security Agreement.

            "COLLECTION PERIOD" means, with respect to any Distribution Date,
      the calendar month immediately preceding such Distribution Date.

            "COMMITMENT" means, as to any Bank, each Bank's Loan Percentage of
      $65,000,000, as such amount may be reduced and increased from time to time
      pursuant to the terms and provisions hereof, and "COMMITMENTS" means,
      collectively, all Banks' Commitments ; PROVIDED, HOWEVER, that the
      Commitment of Wells Fargo Bank Texas, National Association shall
      terminate, and all obligations due to such Bank (including all principal,
      interest, commitment fees and other amounts) shall be due and payable on
      December 31, 2000, at which time (upon payment of such obligations) Wells
      Fargo Bank, National Association shall cease to be a Bank hereunder and
      the aggregate Commitments hereunder shall be reduced to $50,000,000,
      subject to reduction as aforesaid; PROVIDED, FURTHER, however that in the
      event that, after Wells Fargo Bank Texas, National Association is paid in
      full as aforesaid, the Borrower is able to identify one or more new
      lenders willing to commit to act as a Bank or Banks hereunder with a
      Commitment or aggregate Commitments up to $15,000,000 and such new Bank or
      Banks are acceptable to the Agent in its absolute discretion, such new
      lenders may join into this Agreement as Banks (without the consent of any
      other Banks other than the Agent) pursuant to documentation acceptable to
      the Agent (and the other Banks as provided in SECTION 10.01 if such
      documentation purports to amend, modify or waive any provision of this
      Agreement) and the aggregate Commitment shall be increased (but not in
      excess of $65,000,000) accordingly.

            "COMPLIANCE CERTIFICATE" means a certificate, duly executed by a
      Responsible Officer, appropriately completed and in substantially the form
      of EXHIBIT B hereto.

            "CREDIT GUIDELINES" has the meaning set forth in the Purchase
Agreement.

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            "CREDIT INSURANCE" means the ALPI Insurance, GAP Insurance and VSI
      Insurance covering the Receivables issued in the name of the Borrower with
      the Agent named as an additional insured for the ratable benefit of the
      Banks.

            "CREDIT LOSS PERCENTAGE" means, as of any Determination Date, a
      fraction (expressed as a percentage) the numerator of which shall be a
      number equal to Actual Credit Losses for the four (4) immediately
      preceding Collection Periods TIMES three and the denominator of which
      shall be the average of the Receivables Portfolio Balance for the four (4)
      immediately preceding Collection Periods.

            "DEBT" means (without duplication), for any Person, (a) indebtedness
      of such Person for borrowed money or arising out of any extension of
      credit to or for the account of such Person (including, without
      limitation, extensions of credit in the form of reimbursement or payment
      obligations of such Person relating to letters of credit issued for the
      account of such Person) or for the deferred purchase price of property or
      services; (b) indebtedness of the kind described in clause (a) of this
      definition which is secured by (or for which the holder of such Debt has
      any existing right, contingent or otherwise, to be secured by) any Lien
      upon or in Property (including, without limitation, accounts and contract
      rights) owned by such Person, whether or not such Person has assumed or
      become liable for the payment of such indebtedness or obligations; (c) all
      obligations as lessee under any Capital Lease, (d) all contingent
      liabilities and obligations under direct or indirect guarantees in respect
      of, and obligations (contingent or otherwise) to purchase or otherwise
      acquire, or otherwise to assure a creditor against loss in respect of,
      indebtedness or obligations of others of the kinds referred to in clauses
      (a) through (c) above, including, without limitation, (i) any endorsement
      not for collection in the ordinary course of business or discount with
      recourse or undertaking substantially equivalent to or having economic
      effect similar to a guaranty in respect of any such Debt; (ii) any
      agreement (A) to purchase, or to advance or supply funds for the payment
      or purchase of, any such Debt, (B) to purchase, sell, or lease property,
      products, materials, supplies, transportation, or services, in order to
      enable such Person to pay any such Debt or to assure the owner thereof
      against loss regardless of the delivery or nondelivery of the property,
      products, materials, supplies, transportation, or services, or (C) to make
      any loan, advance, or capital contribution to, or other investment in, or
      to otherwise provide funds to or for, such other Person in order to enable
      such Person to satisfy any obligation (including any liability for a
      dividend, stock liquidation payment or similar expense) or to assure a
      minimum equity, working capital, or other balance sheet condition in
      respect of any such obligation; and (iii) obligations under surety,
      appeal, or custom bonds; (e) any obligation of a Person under or in
      connection with a sale-leaseback or similar arrangement, including,
      without limitation, any arrangement with any other party providing for the
      leasing by such Person (as lessee) from such other party of any Property
      which has been, or is to be, sold or transferred by such Person to such
      other party or to any other Person to whom funds have been, or are to be,
      advanced on the security of such Property or rental obligations of such
      Person and (f) any and all obligations of such Person under any interest
      rate swap, interest rate cap or other exchange or rate protection
      agreement now existing or hereafter entered into by such Person and Bank
      of America or any Affiliate of Bank of America.

            "DEFAULT" means any event which, with the lapse of time or giving of
      notice, or both, would constitute an Event of Default.

                                      -4-
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            "DELINQUENT RECEIVABLES" means, at any time, those Receivables on
      which the stated monthly payment has not been made in full (or within
      $10.00 thereof) for at least thirty (30) days as reflected on the
      Servicer's reports delivered pursuant to Section 6.02(g) hereof.

            "DETERMINATION DATE" means the last day of each Collection Period.

            "DISTRIBUTION DATE" means the date on which Distributions are to be
      made, and which shall be the 20th day of each month, or if such day is not
      a Business Day, the next following Business Day, commencing with November
      20, 2000.

            "DISTRIBUTIONS" means those amounts distributed by the Bank
      Collateral Agent with respect to the Receivables pursuant to Section 5 of
      the Security Agreement.

            "DOMESTIC LENDING OFFICE" means, with respect to any Bank, the
      office of such Bank specified as its "Domestic Lending Office" opposite
      its name on the signature pages hereto, or such other office of such Bank
      as such Bank may from time to time specify to the Borrower and the Agent.

            "EARNINGS BEFORE INTEREST, FEES AND DISTRIBUTIONS" means, for any
      period, Net Income PLUS (to the extent deducted in arriving at Net Income)
      any distributions or payments made to the Borrower's shareholders PLUS
      Loan Interest Expense PLUS Fee Expense.

            "ELIGIBLE RECEIVABLES" means, as at any date of determination
      thereof, the Principal Balance portion of each Receivable which, as of
      such determination date, complies with the following requirements:

                  (a) it and the sale of the Financed Vehicle complies with all
            requirements of applicable federal, state, and local laws, and
            regulations thereunder, including, without limitation, usury laws,
            the Federal Truth-in-Lending Act, the Equal Credit Opportunity Act,
            the Fair Credit Reporting Act, the Fair Debt Collection Practices
            Act, the Federal Trade Commission Act, the Magnuson-Moss Warranty
            Act, the Federal Reserve Board's Regulations B and Z, the Texas
            Consumer Credit Code and other state adaptations of the National
            Consumer Act and of the Uniform Consumer Credit Code, and other
            consumer credit laws and equal credit opportunity and disclosure
            laws;

                  (b) it represents the genuine, legal, valid, and binding
            payment obligation in writing of the Obligor, enforceable by the
            holder thereof in accordance with its terms;

                  (c) it is not due from the United States of America or any
            state or from any agency, department or instrumentality of the
            United States of America or any state;

                  (d) it is secured by a validly perfected first priority
            security interest in the Financed Vehicle in favor of First
            Investors as secured party;

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                  (e) it has not been amended, nor have any of its provisions
            been waived, other than as allowed under Section 4.02 of the
            Servicing Agreement;

                  (f) no liens or claims shall have been filed for work, labor,
            or materials relating to a Financed Vehicle that shall be liens
            prior to, or equal or coordinate with, the security interest in the
            Financed Vehicle granted by it;

                  (g) it is not currently the subject of any sale, transfer,
            assignment, or pledge by First Investors or the Borrower to any
            Person (including Enterprise) other than the Bank Collateral Agent;

                  (h) it has not been originated in, nor is it subject to the
            laws of, any jurisdiction under which the sale, transfer, and
            assignment of such Receivable under the Purchase Agreement or the
            Security Agreement would be unlawful, void or voidable;

                  (i) there is only one executed original of it, which
            throughout the term of this Agreement is in the possession of the
            Bank Collateral Agent or the Servicer as agent for the Borrower and
            custodian for the Bank Collateral Agent, the Agent and the Banks;

                  (j) it has been originated in the United States of America,
            has been fully and properly executed by the parties thereto, is
            payable in United States dollars, contains customary and enforceable
            provisions such that the rights and remedies of the holder thereof
            shall be adequate for realization against the collateral of the
            benefits of the security and constitutes an "Eligible Loan" as
            defined in the ALPI Insurance;

                  (k) it has not been satisfied, subordinated, or rescinded, and
            the Financed Vehicle relating thereto has not been released in whole
            or in part;

                  (l) no right of rescission, cancellation, setoff, claim,
            counterclaim or defense has been asserted or threatened with respect
            to it;

                  (m) prior to its sale under the Purchase Agreement, First
            Investors, in accordance with its customary procedures, shall have
            determined that the Obligor obtained or agreed to obtain physical
            damage insurance covering the Financed Vehicle;

                  (n) it has an original maturity of not greater than sixty-six
            (66) months;

                  (o) the Confirmation of Insurance with respect to such
            Receivable has not been voided pursuant to Paragraph 18 of the ALPI
            Insurance;

                  (p) it is not subject to (i) any loss which is not covered by
            Credit Insurance or (ii) any loss which would be covered by Credit
            Insurance but for which an insurance claim has been outstanding for
            more than 30 days past the maximum contractual payment date as
            specified in the applicable Credit Insurance, PROVIDED that, if such
            claim is subsequently paid, the Receivable shall again constitute an
            Eligible Receivable;

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<PAGE>
                  (q) it has been assigned to the Borrower, is subject to the
            Security Agreement and the first priority security interest of the
            Bank Collateral Agent in the Receivable has been properly perfected;

                  (r) (i) it would constitute an "Eligible Receivable" under the
            Enterprise Agreement (excluding, however, clauses (c), (e), (g),
            (h), (x) and (aa) of the definition of Eligible Receivable as set
            forth in such agreement) and (ii) conforms to the representations
            made by FIARC in Section 3.1 of Article III of the Enterprise
            Agreement.

                  (s) the Principal Balance of such Receivable shall not exceed
            the lesser of (x) 120% of the Manufacturer's Suggested Retail Price
            with respect to the subject unused Financed Vehicles or (y) 120% of
            the retail value of such Financed Vehicles as published in the
            National Automobile Dealers Association Used Car Guide or the Kelly
            Blue Book with respect to the subject used or pre-owned Financed
            Vehicles;

                  (t) it shall not have been the subject of more than two
            extensions of monthly payments with respect thereto during any
            12-month period nor shall the total extensions of monthly payments
            granted over the term of such Receivable exceed a number which is
            equivalent to one such extension for every 12 months in the stated
            term of such Receivable;

                  (u) it shall not have been the subject of any extension of a
            monthly payment unless the Obligor thereon has made the first six
            consecutive scheduled payments with respect to such Receivable;

                  (v) at the time of origination, the Obligor on which has
            provided, as its most recent billing address, an address located in
            the United States;

                  (w) which has been created substantially in accordance with,
            or under standards no less stringent than, the Credit Guidelines;

                  (x) as to which at the time such Receivable first became part
            of the Collateral, to the best of the Borrower's knowledge, a bona
            fide down payment has been made;

                  (y) which provides for level monthly payments (PROVIDED that
            the payment in the first and last month of the Receivable may be
            minimally different from the level payment) that fully amortize the
            amount financed by maturity and yield interest at the stated Annual
            Percentage Rate;

                  (z) which provides for, in the event that such Receivable is
            prepaid by the Obligor, a prepayment that fully pays the principal
            balance of such Receivable and any interest accrued through the date
            of prepayment;

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<PAGE>
                  (aa) the Obligor of which has not previously defaulted on an
            automobile installment sales contract or an installment note
            purchased by First Investors at the time such Receivable becomes a
            part of the Collateral;

                  (ab) which was originated by an Originator approved by First
            Investors and which Originator is subject to an Originator Agreement
            providing for bona fide sale of such Receivable in the ordinary
            course of such Originator's business and which if acquired by First
            Investors pursuant to a "bulk purchase" from another Originator has
            been approved by the Bank Collateral Agent, acting upon written
            instruction of the Agent;

                  (ac) which has a clear right of repossession on the Financed
            Vehicle securing such Receivable;

                  (ad) which has an APR of at least 13.0%;

                  (ae) the Obligor of which is required to make payments to a
            lockbox under the control of the Processor;

                  (af) as to which neither First Investors, FIARC nor the
            Borrower has done anything at the time such Receivable first became
            part of the Collateral, to impair the rights of the Bank Collateral
            Agent therein; and

                  (ag) the Obligor of which does not have any other automotive
            receivable owing to First Investors which is more than 60 days
            contractually delinquent from the due date or defaulted at the time
            such Receivable becomes a part of the Collateral.

            "ENTERPRISE" means Enterprise Funding Corporation, a Delaware
      corporation.

            "ENTERPRISE AGREEMENT" means that certain Security Agreement dated
      as of October 22, 1996, by and among FIARC, Enterprise, Wells Fargo Bank
      Minnesota, National Association (successor to Texas Commerce Bank National
      Association, as Collateral Agent thereunder), MBIA Insurance Corporation,
      Bank of America, N.A. (formerly NationsBank, N.A.) and First Investors,
      and any amendments, modifications, renewals or extensions thereof approved
      in accordance with Section 7.14 hereof.

            "ENVIRONMENTAL PROTECTION STATUTE" means (a) the Comprehensive
      Environmental Response, Compensation and Liability Act of 1980 (as amended
      by the Superfund Amendments and Reauthorization Act of 1986, 42 U.S.C.A.
      ss. 9601 ET SEQ.), as amended from time to time, and any and all rules and
      regulations issued or promulgated thereunder ("CERCLA"); (b) the Resource
      Conservation and Recovery Act (as amended by the Hazardous and Solid Waste
      Amendment of 1984, 42 U.S.C.A. ss. 6901 ET SEQ.), as amended from time to
      time, and any and all rules and regulations promulgated thereunder
      ("RCRA"); (c) the Clean Air Act, 42 U.S.C.A. ss. 7401 ET SEQ., as amended
      from time to time, and any and all rules and regulations promulgated
      thereunder; (d) the Clean Water Act of 1977, 33 U.S.C.A. ss. 1251 ET SEQ.,
      as amended from time to time, and any and all rules and regulations
      promulgated thereunder; (e) the Toxic Substances

                                      -8-
<PAGE>
      Control Act, 15 U.S.C.A. ss. 2601 ET SEQ., as amended from time to time,
      and any and all rules and regulations promulgated thereunder; or (f) any
      other federal or state law, statute, rule, or regulation enacted in
      connection with or relating to the protection or regulation of the
      environment (including, without limitation, those laws, statutes, rules,
      and regulations regulating the disposal, removal, production, storing,
      refining, handling, transferring, processing, or transporting of Hazardous
      Materials) and any rules and regulations issued or promulgated in
      connection with any of the foregoing by any Governmental Authority, and
      "ENVIRONMENTAL PROTECTION STATUTES" means, collectively, each of the
      foregoing.

            "ERISA" means the Employee Retirement Income Security Act of 1974,
      as amended from time to time, and the regulations promulgated and rulings
      issued thereunder.

            "ERISA AFFILIATE" means any subsidiary or trade or business (whether
      or not incorporated) which is a member of a group of which the Borrower is
      a member and which is under common control within the meaning of Section
      414 of the Code and the rules and regulations thereunder.

            "ERISA EVENT" means any of the following events: (a) a "Reportable
      Event" described in Section 4043 of ERISA and the regulations issued
      thereunder (other than a "Reportable Event" not subject to the provision
      for the 30-day notice to the Pension Benefit Guaranty Corporation, under
      such regulations) or an event described in Section 4068(f) of ERISA which
      may result in a material liability of the Borrower or any ERISA Affiliate,
      (b) the withdrawal of the Borrower or any ERISA Affiliate from a Plan
      during a plan year in which it was a "substantial employer" as defined in
      Section 4001(a)(2) of ERISA or the incurrence of liability by the Borrower
      or any ERISA Affiliate under Section 4064 of ERISA, (c) the distribution
      of a notice of intent to terminate a Plan pursuant to Section 4041(a)(2)
      of ERISA or the treatment of a Plan amendment as a termination under
      Section 4041 of ERISA, (d) the institution of proceedings to terminate a
      Plan by the Pension Benefit Guaranty Corporation, or (e) any other event
      or condition which might constitute grounds under ERISA or the Code for
      the termination of, or the appointment of a trustee to administer, any
      Plan or for the imposition of a lien on the assets of the Borrower or any
      ERISA Affiliate in respect of any Plan or Multiemployer Plan which is not
      corrected within 30 days.

            "EUROCURRENCY LIABILITIES" has the meaning assigned to that term in
      Regulation D of the Board of Governors of the Federal Reserve System, as
      in effect from time to time.

            "EVENTS OF DEFAULT" has the meaning specified in Section 8.01.

            "FACILITY" means the revolving credit facility created hereunder,
      and the terms and conditions thereof.

            "FACILITY NOTE" has the meaning specified in Section 2.02(d) hereof
      and includes any amendments, modifications, renewals or extensions
      thereof.

            "FEDERAL FUNDS RATE" means, for any period, a fluctuating interest
      rate per annum equal for each day during such period to the weighted
      average of the rates on overnight federal funds

                                      -9-
<PAGE>
      transactions with members of the Federal Reserve System arranged by
      federal funds brokers, as published for such day (or, if such day is not a
      Business Day, for the next preceding Business Day) by the Federal Reserve
      Bank of New York, or, if such rate is not so published for any day which
      is a Business Day, the average of the quotations for such day on such
      transactions received by the Agent from three federal funds brokers of
      recognized standing selected by it.

            "FEE EXPENSE" means, for any period, the aggregate amount paid or
      accrued by the Borrower in respect of the fee due under Section 2.03(a)
      hereof.

            "FIARC" means First Investors Auto Receivables Corporation, a
      Delaware corporation.

            "FINANCED VEHICLE" means an automobile or light-duty truck, together
      with all accessions thereto, securing an Obligor's indebtedness under the
      respective Receivable.

            "FIRST INVESTORS" means First Investors Financial Services, Inc., a
      Texas corporation.

            "FIS GROUP" means First Investors Financial Services Group, Inc., a
      Texas corporation.

            "FIXED RATE" means the LIBOR Rate or the Agreed Rate.

            "FIXED RATE ADVANCE" means a LIBOR Rate Advance or an Agreed Rate
      Advance.

            "FUTURE PLAN" has the meaning specified in Section 6.02(h) hereof.

            "GAAP" means generally accepted accounting principles set forth in
      the opinions and pronouncements of the Accounting Principles Board and the
      American Institute of Certified Public Accountants, and statements and
      pronouncements of the Financial Accounting Standards Board.

            "GAP INSURANCE" means the policy or policies of insurance issued by
      Agricultural Excess and Surplus Insurance Company in the form attached
      hereto as EXHIBIT D or such other insurance as satisfactory in form and
      substance to the Banks.

            "GOVERNMENTAL AUTHORITY" means any (domestic or foreign) federal,
      state, county, municipal, parish, provincial, or other government, or any
      department, commission, board, court, agency (including, without
      limitation, the Environmental Protection Agency), or any other
      instrumentality of any of them or any other political subdivision thereof,
      and any entity exercising executive, legislative, judicial, regulatory, or
      administrative functions of, or pertaining to, government, including,
      without limitation, any arbitration panel, any court, or any commission.

            "GOVERNMENTAL REQUIREMENT" means any order, permit, law, statute
      (including, without limitation, any Environmental Protection Statute),
      code, ordinance, rule, regulation, certificate, or other direction or
      requirement of any Governmental Authority.

            "HAZARDOUS MATERIALS" means (a) any "hazardous waste" as defined by
      RCRA; (b) any "hazardous substance" as defined by CERCLA; (c) asbestos;
      (d) polychlorinated biphenyls; (e)

                                      -10-
<PAGE>
      any substance the presence of which on any of the Borrower's Properties is
      prohibited by any Governmental Authority; (f) petroleum, including crude
      oil and any fraction thereof, natural gas liquids, liquified natural gas,
      and synthetic gas useable for fuel (or mixtures of natural gas and such
      synthetic gas); (g) drilling fluids, produced waters and other wastes
      associated with the exploration, development, or production of crude oil,
      natural gas, or geothermal energy; and (h) any other substance which,
      pursuant to any Governmental Requirement, requires special handling in its
      collection, storage, treatment, or disposal.

            "HIGHEST LAWFUL RATE" means, with respect to each Bank, the maximum
      nonusurious interest rate, if any, that at any time or from time to time
      may be contracted for, taken, reserved, charged, or received with respect
      to any Note or on other amounts, if any, due to such Bank pursuant to this
      Agreement or any other Loan Document under laws applicable to such Bank
      which are presently in effect or, to the extent allowed by law, under such
      applicable laws which may hereafter be in effect and which allow a higher
      maximum nonusurious interest rate than applicable laws now allow.

            "INTEREST PERIOD" means, for each LIBOR Rate Advance or Agreed Rate
      Advance comprising part of the same Borrowing, the period commencing on
      the date of such Advance or the date of the conversion of any Advance into
      such an Advance and ending on the last day of the period selected by the
      Borrower pursuant to the provisions below and, thereafter, each subsequent
      period commencing on the last day of the immediately preceding Interest
      Period and ending on the last day of the period selected by the Borrower
      pursuant to the provisions below. The duration of each such Interest
      Period shall be (a) in the case of a LIBOR Rate Advance, one, two, or
      three months, and (b) in the case of an Agreed Rate Advance, 1 to (and
      including) 30 days, as the Borrower may, upon notice received by the
      Agent, select in accordance with Section 2.02 or 2.09; PROVIDED, HOWEVER,
      that:

                  (i) the duration of any Interest Period which commences before
            the Termination Date and otherwise ends after such date shall end on
            the Termination Date; and

                  (ii) whenever the last day of any Interest Period would
            otherwise occur on a day other than a Business Day, the last day of
            such Interest Period shall be extended to occur on the next
            succeeding Business Day, PROVIDED that, in the case of a LIBOR Rate
            Advance or an Agreed Rate Advance based on the LIBOR Rate, if such
            extension would cause the last day of such Interest Period to occur
            in the next following calendar month, the last day of such Interest
            Period shall occur on the next preceding Business Day.

            "INVESTMENT" of any Person means any investment so classified under
      GAAP, and, whether or not so classified, includes (a) any direct or
      indirect loan or advance made by it to any other Person, whether by means
      of stock purchase, loan, advance or otherwise; (b) any capital
      contribution to any other Person; and (c) any ownership or similar
      interest in any other Person.

            "LIBOR LENDING OFFICE" means, with respect to any Bank, the office
      of such Bank specified as its "LIBOR Lending Office" opposite its name on
      the signature pages hereto (or, if

                                      -11-
<PAGE>
      no such office is specified, its Domestic Lending Office), or such other
      office of such Bank as such Bank may from time to time specify to the
      Borrower and the Agent.

            "LIBOR RATE" means, for any Interest Period for each LIBOR Rate
      Advance, an interest rate per annum equal to the average (rounded upward
      to the nearest whole multiple of 1/16 of 1% per annum) of the rate per
      annum at which deposits in U.S. dollars are offered to the Agent, or at
      the Agent's option, an Affiliate of the Agent by prime banks in the London
      interbank market at 11:00 A M. (London time) three Business Days before
      the first day of such Interest Period in an amount substantially equal to
      such LIBOR Rate Advance and for a period equal to such Interest Period.

            "LIBOR RATE ADVANCE" means an Advance which bears interest at the
      interest rate as provided in Section 2.06(b).

            "LIBOR RATE MARGIN" means l/2 of 1% per annum.

            "LIBOR RATE RESERVE PERCENTAGE" of any Bank for any Interest Period
      for any LIBOR Rate Advance means the reserve percentage, if any, actually
      incurred during such Interest Period (or if more than one such percentage
      shall be incurred, the daily average of such percentages for those days in
      such Interest Period during which any such percentage shall be incurred)
      under regulations issued from time to time by the Board of Governors of
      the Federal Reserve System (or any successor) for determining the maximum
      reserve requirement (including, without limitation, any emergency,
      supplemental or other marginal reserve requirement) for such Bank with
      respect to liabilities or assets consisting of or including eurocurrency
      liabilities having a term equal to such Interest Period.

            "LIEN" means any claim, mortgage, deed of trust, pledge, security
      interest, encumbrance, lien, or charge of any kind (including, without
      limitation, any agreement to give any of the foregoing, any conditional
      sale or other title retention agreement, or any lease in the nature
      thereof), or the interest of the lessor under any Capital Lease.

            "LIQUIDATED RECEIVABLE" means any Receivable liquidated by the
      Servicer through sale of the Financed Vehicle or otherwise.

            "LIQUIDATION PROCEEDS" means the monies collected from whatever
      source, during the respective Collection Period, on a Liquidated
      Receivable (including, without limitation, all proceeds from any insurance
      held by the Obligor with respect thereto but excluding any proceeds from
      the ALPI Insurance, the VSI Insurance and the GAP Insurance).

            "LOAN DOCUMENTS" means this Agreement, the Notes, the Security
      Agreement, the Pledge Agreement, the Purchase Agreement, the Servicing
      Agreement, and any document or instrument executed in connection with the
      foregoing.

            "LOAN INTEREST EXPENSE" means, for any period, the aggregate amount
      of interest paid or accrued during such period on the Advances (net of any
      costs or amounts received by the

                                      -12-
<PAGE>
      Borrower under any interest rate protection agreements with respect
      thereto in accordance with GAAP).

            "LOAN PERCENTAGE" means as to any Bank that continues to be a party
      hereto, a fraction (expressed as a percentage) the numerator of which
      shall be the aggregate original principal amount of such Bank's Commitment
      and the denominator of which shall be the aggregate amount of all the
      Commitments then in effect.

            "MAJORITY BANKS" means (a) at any time during the term of this
      Agreement when Bank of America is the only Bank or when there is only one
      Bank in addition to Bank of America, all of such Banks and (b) at any time
      during the term of this Agreement when there are two or more Banks in
      addition to Bank of America, Banks holding at least 66-2/3% of the
      aggregate unpaid principal amount of the Notes held by Banks, or, if no
      such principal amount is then outstanding, Banks having at least 66-2/3%
      of the Commitments.

            "MARGIN STOCK" shall have the meaning assigned to such term in
      Regulation G, T, U and X.

            "MATERIAL ADVERSE EFFECT" means any material adverse effect on (a)
      the financial condition, business, properties or operations of the
      Borrower or (b) the ability of the Borrower to perform its respective
      obligations under this Agreement, any Note or any other Loan Document to
      which it is a party, or under the Purchase Agreement or the Servicing
      Agreement, on a timely basis.

            "MULTIEMPLOYER PLAN" means a "multiemployer plan" as defined in
      Section 4001(a)(3) of ERISA to which the Borrower or any ERISA Affiliate
      is making or accruing or has made or accrued an obligation to make
      contributions.

            "MULTIPLE EMPLOYER PLAN" means a single employer plan, as defined in
      Section 4001(a)(15) of ERISA, which (i) is maintained for employees of the
      Borrower or an ERISA Affiliate and at least one entity other than the
      Borrower or an ERISA Affiliate or (ii) was so maintained and in respect of
      which the Borrower or an ERISA Affiliate could have liability under
      Section 4064 or 4069 of ERISA in the event such plan has been or were to
      be terminated.

            "NET INCOME" means, for any period, the net earnings (or loss) after
      taxes determined on a cash basis.

            "NOTE" or "NOTES" means the Facility Notes.

            "NOTICE OF BORROWING" has the meaning specified in Section 2.02(a).

            "NOTICE OF INTEREST CONVERSION" has the meaning specified in Section
      2.09.

            "OBLIGOR" means the purchaser or co-purchasers of a Financed Vehicle
      or any other Person who owes payments under the Receivables.

                                      -13-
<PAGE>
            "ORIGINATOR" shall mean a bank, finance company, car rental company
      or factory authorized dealer or its affiliates which has entered into an
      Originator Agreement, including, but not limited to, Farragut Financial
      Corporation, a wholly-owned subsidiary of First Investors.

            "ORIGINATOR AGREEMENT" shall mean the agreement between First
      Investors and an Originator relating to the purchase of a Receivable
      resulting from a financed or refinanced loan.

            "OTHER TAXES" has the meaning specified in subsection 3.03(b) hereof

            "PBGC PLAN" means any plan subject to Title IV of ERISA or Section
      412 of the Code.

            "PERMITTED DEBT" has the meaning specified in Section 7.02.

            "PERMITTED LIENS" means non-consensual Liens imposed by operation of
      law including, without limitation, landlord Liens for rent not yet due and
      payable, and Liens for materialmen, mechanics, warehousemen, carriers,
      employees, workmen, repairmen, current wages, or accounts payable not yet
      delinquent and arising in the ordinary course of business; PROVIDED,
      HOWEVER, that any right to seizure, levy, attachment, sequestration,
      foreclosure, or garnishment with respect to Property of the Borrower by
      reason of such Lien has not matured, or has been, and continues to be,
      effectively enjoined or stayed.

            "PERSON" means an individual, partnership, estate, corporation
      (including a business trust), association, joint stock company, trust,
      unincorporated association, joint venture or other entity, or a government
      or any political subdivision or agency thereof.

            "PLAN" means any employee benefit plan within the meaning of Section
      3(3) of ERISA, other than a Multiemployer Plan, maintained by the Borrower
      or any ERISA Affiliate.

            "PLEDGE AGREEMENT" means the Pledge Agreement dated as of November
      15, 2000, between First Investors and the Agent, and any amendments,
      modifications, renewals or extensions thereof.

            "PRIME RATE" means the rate of interest most recently announced
      publicly by Bank of America, N.A. in Dallas, Texas, from time to time, as
      its prime rate, which rate shall fluctuate, with each such change to be
      effective as of the date of such change in such rate; PROVIDED that the
      prime rate is a reference rate and does not necessarily represent the
      lowest rate charged to any customer.

            "PRINCIPAL BALANCE" means, at any time and with respect to a
      Receivable, the outstanding principal balance of the Receivable as shown
      on the Servicer's reports delivered pursuant to Section 6.02(g) hereof and
      based on the recalculation of interest by the Servicer under the simple
      interest method pursuant to Section 2.02(c) of the Servicing Agreement.

            "PROCESSOR" means First Union National Bank or any substitute
      financial institution maintaining a lockbox into which the proceeds of
      Receivables are deposited and from which the proceeds thereof are
      distributed on a daily basis to the Bank Collateral Agent.

                                      -14-
<PAGE>
            "PROPERTY" means any interest or right in any kind of property or
      asset, whether real, personal, or mixed, owned or leased, tangible or
      intangible, and whether now held or hereafter acquired.

            "PURCHASE AGREEMENT" means the Purchase Agreement dated as of
      October 30, 1996, between the Borrower and First Investors, as the same
      has been and may be amended, restated, modified, renewed or extended from
      time to time, including, without limitation, through the Fourth Amendment
      thereto dated as of November 15, 2000 (subject to Section 7.14 hereof).

            "PURCHASE AMOUNT" means, at any time, the Principal Balance at which
      the Receivable is carried in the Borrowing Base plus any earned interest
      thereon. In the event a Receivable is repurchased, the Purchase Amount
      shall include any out-of-pocket expenses which are reimbursable under the
      Servicing Agreement.

            "PURCHASED RECEIVABLE" has the meaning set forth in the Security
      Agreement.

            "RECEIVABLE PORTFOLIO BALANCE" means, for any Collection Period, the
      aggregate Principal Balance of the Receivables on the Determination Date
      at the end of such Collection Period.

            "RECEIVABLES" has the meaning set forth in the Purchase Agreement.

            "RECEIVABLES DOCUMENTS" means the Purchase Agreement and the
      Servicing Agreement.

            "REGISTER" has the meaning specified in subsection 10.07(c) hereof.

            "REGULATION T", "REGULATION U", "REGULATION X" or "REGULATION G, T,
      U OR X" means Regulation T, U or X, as the case may be, of the Board of
      Governors of the Federal Reserve System, or any successor or other
      regulation hereafter promulgated by said Board to replace the prior
      Regulation T, U or X and having substantially the same function.

            "RESPONSIBLE OFFICER" means and includes the individual who is the
      president of both the Borrower and First Investors and the individual who
      is the chief financial officer of the Borrower.

            "REVOLVING LOAN TERMINATION DATE" means November 14, 2001 or the
      earlier date of termination in whole of the Commitments pursuant to
      Section 2.04 or 8.01.

            "SECURITY AGREEMENT" means the Amended and Restated Collateral
      Security Agreement dated as of November 15, 2000, among the Borrower, the
      Agent, the Banks, and the Bank Collateral Agent, as the same may be
      amended, restated, modified, renewed or extended from time to time.

            "SERVICER" means First Investors Servicing Corporation, a Delaware
      corporation, each Back-up Servicer and each successor to any thereof as
      provided in the Servicing Agreement (and shall include, as appropriate,
      any "Subservicer" acting on behalf of the Servicer or Back-up Servicer in
      accordance with Section 2.01(g) of the Servicing Agreement).

                                      -15-
<PAGE>
            "SERVICING AGREEMENT" MEANS THE SERVICING AGREEMENT, DATED AS OF
      JUNE 25, 1999, AMONG THE BORROWER, THE SERVICER, AND THE BANK COLLATERAL
      AGENT, IN SUCH CAPACITY AND AS BACK-UP SERVICER, AS THE SAME HAS BEEN AND
      MAY BE AMENDED, RESTATED, MODIFIED, RENEWED OR EXTENDED FROM TIME TO TIME,
      INCLUDING, WITHOUT LIMITATION, BY THE FIRST AMENDMENT THERETO DATED AS OF
      NOVEMBER 15, 2000 (SUBJECT TO SECTION 7.14 HEREOF).

            "SPECIFIED COLLATERAL ACCOUNT BALANCE" shall have the meaning set
      forth in Section 1 of the Security Agreement.

            "SUBSIDIARY" means any corporation of which any Person, either
      directly or indirectly, owns at the time more than 50% of the outstanding
      capital stock having ordinary voting power to elect a majority of the
      Board of Directors of such corporation (whether or not at the time stock
      of any other class or classes of such corporation shall have, or might
      have, voting power by reason of the happening of any contingency), and
      shall include any such corporation which shall become a Subsidiary after
      the date hereof.

            "TAXES" has the meaning specified in subsection 3.03(a) hereof.

            "TERMINATION DATE" means May 13, 2002 or the earlier date that the
      Notes Mature pursuant to Section 8.01.

            "TYPE" refers to the determination whether an Advance is a Base Rate
      Advance, an Agreed Rate Advance, or a LIBOR Rate Advance (or a Borrowing
      comprised of such Advances).

            "UCC" has the meaning set forth in the Security Agreement.

            "UNINSURED CREDIT LOSSES" means (a) losses on the Receivables which
      are not covered by Credit Insurance and (b) losses on the Receivables
      which are covered by Credit Insurance and for which insurance claims have
      been filed by the Servicer and have been outstanding for more than 30 days
      past the maximum contractual payment date as specified in the applicable
      Credit Insurance, PROVIDED that, if such claim is subsequently paid, it
      shall no longer constitute an Uninsured Credit Loss.

            "VSI INSURANCE" means the policy or policies of insurance
      underwritten by Agricultural Excess and Surplus Insurance Company in the
      form attached hereto as EXHIBIT D or such other insurance as is
      satisfactory in form and substance to the Bank.

      Section 1.02. COMPUTATION OF TIME PERIODS. In this Agreement in the
computation of periods of time from a specified date to a later specified date,
unless otherwise specified herein the word "from" means "from and including" and
the words "to" and "until" each means "to but excluding."

      Section 1.03. ACCOUNTING TERMS. All accounting terms not specifically
defined herein shall be construed in accordance with GAAP consistent with those
applied in the preparation of the financial statements referred to in Section
5.07.

                                      -16-
<PAGE>
                                   ARTICLE II

                        AMOUNTS AND TERMS OF THE ADVANCES

      Section 2.01. THE ADVANCES. Each Bank severally agrees, on the terms and
conditions hereinafter set forth, to make Advances to the Borrower from time to
time on any Business Day during the period from the date hereof until the
Revolving Loan Termination Date, in an aggregate amount not to exceed an amount
equal to such Bank's Loan Percentage of the Available Amount. Each Borrowing
shall consist of Advances of the same Type made on the same day by the Banks
ratably according to their respective Loan Percentage of the Available Amount.
All Borrowings shall be in an aggregate amount not less than $250,000 or an
integral multiple of $10,000 in excess thereof. Within the limits of each Bank's
Loan Percentage of the Available Amount, the Borrower may borrow, prepay
pursuant to Sections 3.05 and 3.06 and reborrow under this Section 2.01. The
principal amount outstanding on the Advances as of the Termination Date shall
mature and, together with accrued and unpaid interest thereon, shall be due and
payable on the Termination Date.

      Section 2.02. MAKING THE ADVANCES. (a) Each Borrowing shall be made on the
Borrower's oral notice, or on written notice in the form attached hereto as
EXHIBIT E ("NOTICE OF BORROWING") given by the Borrower to the Agent not later
than 11:00 A.M. (Dallas time) (i) on the second Business Day prior to the date
of the proposed Borrowing in the case of a LIBOR Rate Advance, (ii) on the
Business Day prior to the date of the proposed Borrowing in the case of an
Agreed Rate Advance and (iii) on the same Business Day of the proposed Borrowing
in the case of a Base Rate Advance. With respect to any oral notice, the
Borrower shall promptly thereafter confirm such notice by delivering a Notice of
Borrowing. Each Notice of Borrowing shall specify therein the requested (i) date
of such Borrowing, (ii) Type of Advances comprising such Borrowing, (iii)
aggregate amount of such Borrowing, and (iv) in the case of a Borrowing
comprised of LIBOR Rate Advances or Agreed Rate Advances, the initial Interest
Period for each such Advance. The Agent shall promptly deliver a copy of each
Notice of Borrowing to each Bank and, in the case of any Agreed Rate Borrowing,
shall, after conferring with the Borrower and the Banks, and with the consent of
all Banks notify the Borrower not later than 2:00 p.m. (Dallas time) on the
Business Day prior to the Borrowing, of the Agreed Rate with respect to such
Borrowing. Each Bank shall, before 12:00 noon (Dallas time) on the date of such
Borrowing, make available for the account of its Applicable Lending Office to
the Agent at its address referred to in Section 10.02, in immediately available
funds, such Bank's ratable portion of such Borrowing. After the Agent's receipt
of such funds and upon fulfillment of the applicable conditions set forth in
Article IV, the Agent will transfer such funds to or at the direction of the
Borrower. Each Notice of Borrowing with respect to LIBOR Rate or Base Rate
Advances shall be irrevocable and binding on the Borrower. In no event shall
more than five Borrowings be outstanding at any time.

      (b) Unless the Agent shall have received notice from a Bank prior to the
date of any Borrowing that such Bank will not make available to the Agent such
Bank's Loan Percentage of such Borrowing, the Agent may assume that such Bank
has made such portion available to the Agent on the date of such Borrowing in
accordance with subsection (a) of this Section 2.02 and the Agent may, in
reliance upon such assumption, make available to the Borrower on such date a
corresponding amount. If and to the extent that such Bank shall not have so made
such Loan Percentage available to the Agent, such Bank and the Borrower
severally agree to repay to the Agent forthwith on demand such corresponding
amount together with interest thereon, for each day from the date such amount is
made available to the Borrower until the date such amount is repaid to the
Agent, at (i) in the case of the Borrower, the interest rate applicable at the
time to Advances comprising such Borrowing and (ii) in the

                                      -17-
<PAGE>
case of such Bank, the lesser of (A) the Federal Funds Rate or (B) the Highest
Lawful Rate. If such Bank shall repay to the Agent such corresponding amount,
such amount so repaid shall constitute such Bank's Advance as part of such
Borrowing for purposes of this Agreement.

      (c) The failure of any Bank to make the Advance to be made by it as part
of any Borrowing shall not relieve any other Bank of its obligation, if any,
hereunder to make its Advance on the date of such Borrowing, but no Bank shall
be responsible for the failure of any other Bank to make the Advance to be made
by such other Bank on the date of any Borrowing.

      (d) The Borrower shall execute and deliver to the Agent for each Bank to
evidence the Advances made by such Bank pursuant to Section 2.01 hereof, a
revolving credit note (each such note a "FACILITY NOTE" and more than one
Facility Note, the "FACILITY NOTES") in the amount of such Bank's Commitment.
Each Note shall be substantially in the form of EXHIBIT F with the blanks
appropriately filled, and shall mature on the Termination Date.

      Section 2.03. FEES. (a) The Borrower agrees to pay to the Agent for the
account of each Bank a commitment fee on the daily average unused amount of each
such Bank's Commitment from the date hereof until the Revolving Loan Termination
Date, at the rate of 1/4 of 1% per annum, payable on November 20, 2000 for the
period from the Closing Date until such Distribution Date, and thereafter, for
each Collection Period on each Distribution Date and continuing until the
Revolving Loan Termination Date. The fees payable under this Section 2.03(a)
shall be calculated by the Agent on the basis of a 360-day year, for the actual
days (including the first day but excluding the last day) occurring in the
period for which such fee is payable. Each such determination by the Agent shall
be conclusive and binding for all purposes, absent manifest error.

      (b) From time to time, the Borrower shall pay or cause First Investors to
pay the Agent an administrative agency fee in accordance with the terms of a
letter agreement, dated as of July 31, 1995, between the Agent and First
Investors.

      Section 2.04. REDUCTION OF THE COMMITMENTS. The Borrower shall have the
right, upon at least three Business Days' notice to the Agent, to terminate in
whole or reduce ratably in part the unused portions of the respective
Commitments of the Banks, PROVIDED that each partial reduction shall be in the
aggregate amount of $1,000,000 or an integral multiple thereafter of $500,000.

      Section 2.05.     [RESERVED]

      Section 2.06. INTEREST. The Borrower shall pay interest on the unpaid
principal amount of each Advance made by each Bank from the date of such Advance
until such principal amount shall be paid in full, at the times and at the rates
per annum set forth below:

      (a) BASE RATE ADVANCES. During such periods as such Advance is a Base Rate
Advance, a rate per annum equal at all times to the lesser of (i) the Base Rate
in effect from time to time or (ii) the Highest Lawful Rate, payable on each
Distribution Date and on the Termination Date, PROVIDED that any amount of
principal which is not paid when due (whether at stated maturity, by
acceleration or otherwise) shall bear interest, from the date on which such
amount is due until such amount is paid in full, payable

                                      -18-
<PAGE>
on demand, at a rate per annum equal at all times to the lesser of (i) two
percent (2%) per annum above the Base Rate in effect from time to time or (ii)
the Highest Lawful Rate.

      (b) LIBOR RATE ADVANCES. During such periods as such Advance is a LIBOR
Rate Advance, a rate per annum equal at all times during each Interest Period
for such Advance to the lesser of (i) the sum of the LIBOR Rate for such
Interest Period for such Advance plus the LIBOR Rate Margin or (ii) the Highest
Lawful Rate, payable, together with additional interest due under Section 2.07
hereof, on the last day of such Interest Period and on the Termination Date;
PROVIDED that any amount of principal which is not paid when due (whether at
stated maturity, by acceleration or otherwise) shall bear interest, from the
date on which such amount is due until such amount is paid in full, payable on
demand, at a rate per annum equal at all times to the lesser of (i) two percent
(2%) per annum above the Base Rate in effect from time to time or (ii) the
Highest Lawful Rate.

      (c) AGREED RATE ADVANCE. During such periods as such Advance is an Agreed
Rate Advance, a rate per annum equal at all times during such Interest Period
for such Advance to the lesser of (i) the Agreed Rate for such Interest Period
for such Advance or (ii) the Highest Lawful Rate, payable on the last day of
such Interest Period and on the Termination Date; PROVIDED that any amount of
principal which is not paid when due (whether at stated maturity, by
acceleration or otherwise) shall bear interest, from the date on which such
amount is due until such amount is paid in full, payable on demand, at a rate
per annum equal at all times to the lesser of (i) two percent (2%) above the
Base Rate in effect from time to time or (ii) the Highest Lawful Rate.

      (d) INTEREST COMPUTATION. Computations of interest pursuant to this
Article II shall be made by the Agent with respect to Base Rate Advances or
Agreed Rate Advances based on the Prime Rate, on the basis of a year of 365 or
366 days, as the case may be, and with respect to Advances of any other type
(including Base Rate Advances based on the Federal Funds Rate), on the basis of
a year of 360 days, in each case for the actual number of days (including the
first day but excluding the last day) occurring in the period for which such
interest is payable. Each determination by the Agent of an interest rate
hereunder shall be conclusive and binding for all purposes, absent manifest
error.

      Section 2.07. ADDITIONAL INTEREST ON ADVANCES BASED ON THE LIBOR RATE.
Subject to Section 10.08 hereof, the Borrower shall pay to each Bank, so long as
such Bank shall be required under regulations of the Board of Governors of the
Federal Reserve System to maintain reserves with respect to liabilities or
assets consisting of or including Eurocurrency Liabilities, additional interest
on the unpaid principal amount of each Advance of such Bank during such periods
as such Advance is a LIBOR Rate Advance or an Agreed Rate Advance based on the
LIBOR Rate, from the date of such Advance until such principal amount is paid in
full, at an interest rate per annum equal at all times to the remainder obtained
by subtracting (i) the LIBOR Rate for such Interest Period for such Advance from
(ii) the rate obtained by dividing such LIBOR Rate by a percentage equal to 100%
minus the LIBOR Rate Reserve Percentage of such Bank actually incurred for such
Interest Period, payable on each date on which interest is payable on such
Advance pursuant to Section 2.06 hereof. A certificate as to amounts required to
be paid under this Section 2.07 submitted to the Borrower and the Agent by such
Bank and setting forth in reasonable detail the amount or amounts to be paid to
it hereunder shall be conclusive absent manifest error.

      Section 2.08. INTEREST RATE DETERMINATION AND PROTECTION. (a) The rate of
interest for (i) each LIBOR Rate Advance specified in a Notice of Borrowing or a
Notice of Interest Conversion, shall be

                                      -19-
<PAGE>
determined by the Agent two (2) Business Days before the first day of the
Interest Period applicable for such Advance and (ii) for each Agreed Rate
Advance specified in a Notice of Borrowing or a Notice of Interest Conversion
shall be determined by the Agent, the Banks and the Borrower as set forth in
Section 2.02(a) hereof. The Agent shall give prompt notice to the Borrower and
the Banks of the applicable interest rate determined by the Agent for purposes
of Section 2.06(a), (b) or (c) hereof, and each such determination by the Agent
shall be conclusive, absent manifest error.

      (b) If, with respect to any LIBOR Rate Advances, the Majority Banks notify
the Agent that the LIBOR Rate for any Interest Period for such Advances will not
adequately reflect the cost to such Majority Banks of making, funding or
maintaining their respective LIBOR Rate Advances for such Interest Period, the
Agent shall forthwith so notify the Borrower and the Banks, whereupon

                  (i) each LIBOR Rate Advance which has been effected will
            automatically, on the last day of the then existing Interest Period
            therefor, convert into a Base Rate Advance, and

                  (ii) the obligation of the Banks to make, or to convert
            Advances into, LIBOR Rate Advances shall be suspended until the
            Agent shall notify the Borrower and the Banks that the circumstances
            causing such suspension no longer exist.

      (c) If the Borrower shall fail to deliver to the Agent a Notice of
Interest Conversion in accordance with Section 2.09 hereof, to select the
duration of any Interest Period for the principal amount outstanding under any
LIBOR Rate Advance or Agreed Rate Advance prior to the last day of the Interest
Period applicable to such Advance, the Agent will forthwith so notify the
Borrower and the Banks and such Advances will automatically, on the last day of
the then existing Interest Period therefor, convert into Base Rate Advances.

      (d) Notwithstanding any other provision of this Agreement, if any Bank
shall notify the Agent that the introduction of or any change in or in the
interpretation of any law or regulation makes it unlawful, or any central bank
or other governmental authority asserts that it is unlawful, for any Bank or its
LIBOR Lending Office to perform its obligations hereunder to make LIBOR Rate
Advances or Agreed Rate Advances based on the LIBOR Rate or to fund or maintain
LIBOR Rate Advances or Agreed Rate Advances based on the LIBOR Rate hereunder,
(i) the obligation of the Banks to make, or to convert Advances into, LIBOR Rate
Advances or Agreed Rate Advances based on the LIBOR Rate shall be suspended
until the Agent shall notify the Borrower and the Banks that the circumstances
causing such suspension no longer exist and (ii) the Borrower shall forthwith
prepay in full all LIBOR Rate Advances or Agreed Rate Advances based on the
LIBOR Rate of all Banks then outstanding, together with interest accrued
thereon, unless the Borrower, within three Business Days of notice from the
Agent, converts all LIBOR Rate Advances or Agreed Rate Advances based on the
LIBOR Rate of all Banks then outstanding into Base Rate Advances in accordance
with Section 2.09.

      Section 2.09. VOLUNTARY INTEREST CONVERSION OF ADVANCES. The Borrower may
on any Business Day, upon the Borrower's oral or written notice ("NOTICE OF
INTEREST CONVERSION") given by the Borrower to the Agent not later than 11:00 A
M. (Dallas time) on the second Business Day prior to the date of the proposed
interest conversion in the case of LIBOR Rate or Agreed Rate Advances, (i)
convert all Advances of one Type into Advances of another Type, (ii) convert all
LIBOR Rate Advances for a

                                      -20-
<PAGE>
specified Interest Period into LIBOR Rate Advances for a different Interest
Period or (iii) convert all Agreed Rate Advances for a specified Interest Period
into Agreed Rate Advances for a different Interest Period; PROVIDED, HOWEVER,
with respect to any oral Notice of Interest Conversion, the Borrower shall
promptly confirm such notice in writing; PROVIDED FURTHER that, any conversion
of any LIBOR Rate Advances into LIBOR Rate Advances for a different Interest
Period, or into Base Rate Advances, or of Agreed Rate Advances into Agreed Rate
Advances for a different Interest Period, or into Base Rate Advances shall be
made on, and only on, the last day of an Interest Period for such LIBOR Rate
Advances or Agreed Rate Advances, as the case may be; PROVIDED FURTHER that no
conversion into a LIBOR Rate Advance or an Agreed Rate Advance will be permitted
if at the time of receipt by the Agent of the Notice of Interest Conversion, a
Default or Event of Default shall have occurred and be continuing. Each such
Notice of Interest Conversion shall specify therein the requested (i) date of
such interest conversion, (ii) the Advances to be converted, and (iii) if such
interest conversion is into Advances constituting LIBOR Rate Advances or Agreed
Rate Advances, as the case may be, the duration of the Interest Period for each
such Advance. The Agent shall promptly deliver a copy of each Notice of Interest
Conversion to each Bank. Each Notice of Interest Conversion shall be irrevocable
and binding on the Borrower. In no event shall more than five (5) Interest
Periods be in effect at any time with respect to LIBOR Rate Advances.

      Section 2.10. FUNDING LOSSES RELATING TO FIXED RATE ADVANCES. (a) If any
payment of principal of, or interest conversion of, any Fixed Rate Advance is
made other than on the last day of an Interest Period relating to such Advance,
as a result of a payment or conversion pursuant to Section 2.08 or Section 2.09,
or acceleration of the maturity of any Note in accordance with the terms hereof,
or for any other reason, the Borrower shall, upon demand by the Agent or any
Bank (with a copy of such demand to the Agent), pay to the Agent for the account
of such Bank any amounts required to compensate such Bank for any additional
losses, costs, or expenses which it may reasonably incur as a result of such
payment or interest conversion, including, without limitation, any loss, cost,
or expense incurred by reason of the liquidation or reemployment of the amounts
so prepaid or of deposits or other funds acquired by such Bank to fund or
maintain such Advance, as determined in accordance with Section 2.10(c).

      (b) In the case of any Borrowing, the Borrower shall indemnify each Bank
against any loss, cost, or expense incurred by such Bank as a result of any
failure to fulfill on or before the date specified in a Notice of Borrowing the
applicable conditions set forth in Article IV, including, without limitation,
any loss, cost, or expense incurred by reason of the liquidation or reemployment
of the amounts so prepaid or of deposits or other funds acquired by such Bank to
fund the Advance to be made by such Bank as part of such Borrowing when such
Advance, as a result of such failure, is not made on such date, as determined in
accordance with Section 2.10(c).

      (c) The losses, costs and expenses reasonably incurred by any Bank and
covered under Sections 2.10(a) and (b) hereof shall include, without limitation,
an amount equal to the excess, if any, as reasonably determined by each Bank of
(i) its cost of obtaining the funds for the Advance being paid, prepaid or
converted or not borrowed (based on the Fixed Rate applicable thereto) for the
period from the date of such payment, prepayment or conversion or failure to
borrow to the last day of the Interest Period for such Advance (or, in the case
of a failure to borrow, the Interest Period for the Advance which would have
commenced on the date of such failure to borrow) over (ii) the amount of
interest (as determined by the Bank in its sole judgment) that would be realized
by such Bank in reemploying the funds so paid, prepaid or converted or not
borrowed for such period or Interest Period, as the case may

                                      -21-
<PAGE>
be, PROVIDED that each Bank will use its best efforts to reemploy such funds in
investments of similar quality.

      (d) Any Bank demanding payment under this Section 2.10 shall deliver to
the Borrower and the Agent a statement reasonably setting forth the amount and
manner of determining such loss, cost, or expense, which statement shall be
conclusive and binding for all purposes, absent manifest error. Any demand for
compensation pursuant to this Section 2.10 must be made on or before 90 days
after a Bank incurs the expense, cost or economic loss referred to or such Bank
shall be deemed to have waived the right to such compensation.

                                   ARTICLE III

                INCREASED COSTS, TAXES, PAYMENTS AND PREPAYMENTS

      Section 3.01. INCREASED COSTS; CAPITAL ADEQUACY. (a) If, due to either (i)
the introduction of or any change (other than any change by way of imposition or
increase of reserve requirements, in the case of LIBOR Rate Advances or Agreed
Rate Advances based on the LIBOR Rate, included in the LIBOR Rate Reserve
Percentage) in or in the interpretation of any law or regulation or (ii) the
compliance with any guideline or request from any central bank or other
governmental authority (whether or not having the force of law), there shall be
any increase in the cost to any Bank of agreeing to make or making, funding or
maintaining Fixed Rate Advances, then the Borrower shall from time to time, upon
demand by such Bank (with a copy of such demand to the Agent), pay to the Agent
for the account of such Bank additional amounts sufficient to compensate such
Bank for such increased cost.

      (b) If any Bank determines that compliance with any law or regulation or
any guideline or request from any central bank or other governmental authority
(whether or not having the force of law) affects or would affect the amount of
capital required or expected to be maintained by such Bank or any corporation
controlling such Bank and that the amount of such capital is increased by or
based upon the existence of such Bank's Commitments to lend hereunder and other
commitments of this type, then, upon demand by such Bank (with a copy of such
demand to the Agent), the Borrower shall immediately pay to the Agent for the
account of such Bank, from time to time as specified by such Bank, additional
amounts sufficient to compensate such Bank or such corporation in the light of
such circumstances, to the extent that such Bank reasonably determines such
increase in capital to be allocable to the existence of such Bank's Commitment
to lend hereunder.

      (c) A certificate as to amounts required to be paid under this Section
3.01 submitted to the Borrower and the Agent by such Bank and setting forth in
reasonable detail the amount or amounts to be paid to it hereunder shall be
conclusive and binding for all purposes, absent manifest error.

      Section 3.02. PAYMENTS AND COMPUTATIONS. (a) The Borrower shall make each
payment hereunder and under the Notes not later than 11:00 a.m. (Dallas time) on
the day when due in U.S. dollars to the Agent at its address referred to in
Section 10.02 in immediately available funds (each such payment received after
such time on such due date to be deemed to have been made on the next succeeding
Business Day). The Agent will promptly thereafter cause to be distributed like
funds relating to the payment of principal or interest or fees (to the extent
received by the Agent) ratably to the Banks for the

                                      -22-
<PAGE>
account of their respective Applicable Lending Offices, and like funds relating
to the payment of any other amount payable to any Bank (to the extent received
by the Agent) to such Bank for the account of its Applicable Lending Office, in
each case to be applied in accordance with the terms of this Agreement;
PROVIDED, HOWEVER, that, if the Banks have not been notified in writing prior to
December 31, 2000 by the Borrower or the Agent of a Default or Event of Default,
then the payments of amounts due on December 31, 2000 to Wells Fargo Bank Texas,
National Association as provided in the first proviso to the definition of
"Commitment" hereunder shall be for such Bank's own account and shall not be
paid ratably to any other Bank.

      (b) Whenever any payment hereunder or under the Notes shall be stated to
be due on a day other than a Business Day, such payment shall be made on the
next succeeding Business Day, and such extension of time shall in such case be
included in the computation of payment of interest or fees, as the case may be;
PROVIDED HOWEVER, if such extension would cause payment of interest on or
principal of LIBOR Rate Advances or Agreed Rate Advances based on the LIBOR Rate
to be made in the next following calendar month, such payment shall be made on
the next preceding Business Day.

      (c) Unless the Agent shall have received notice from the Borrower prior to
the date on which any payment is due to the Banks hereunder that the Borrower
will not make such payment in full, the Agent may assume that the Borrower has
made such payment in full to the Agent on such date and the Agent may, in
reliance upon such assumption, cause to be distributed to each Bank on such due
date an amount equal to the amount then due such Bank. If and to the extent the
Borrower shall not have so made such payment in full to the Agent, each Bank
shall repay to the Agent forthwith on demand such amount distributed to such
Bank together with interest thereon, for each day from the date such amount is
distributed to such Bank until the date such Bank repays such amount to the
Agent, at the lesser of (i) the Federal Funds Rate or (ii) the Highest Lawful
Rate.

      Section 3.03. TAXES. (a) Any and all payments by the Borrower hereunder or
under the Notes shall be made, in accordance with Section 3.02, free and clear
of and without deduction for any and all present or future taxes, levies,
imposts, deductions, charges or withholdings, and all liabilities with respect
thereto, excluding, in the case of each Bank and the Agent, taxes imposed on its
income, and franchise taxes imposed on it, by the jurisdiction under the laws of
which such Bank or the Agent (as the case may be) is organized or any political
subdivision thereof and, in the case of each Bank, taxes imposed on its income,
and franchise taxes imposed on it, by the jurisdiction of such Bank's Applicable
Lending Office or any political subdivision thereof (all such non-excluded
taxes, levies, imposts, deductions, charges, withholdings and liabilities being
hereinafter referred to as "TAXES"). If the Borrower shall be required by law to
deduct any Taxes from or in respect of any sum payable hereunder or under any
Note to any Bank or the Agent, (i) the sum payable shall be increased as may be
necessary so that after making all required deductions (including deductions
applicable to additional sums payable under this Section 3.03) such Bank or the
Agent (as the case may be) receives an amount equal to the sum it would have
received had no such deductions been made, (ii) the Borrower shall make such
deductions and (iii) the Borrower shall pay the full amount deducted to the
relevant taxation authority or other authority in accordance with applicable
law.

      (b) In addition, the Borrower agrees to pay any present or future stamp or
documentary taxes or any other excise or property taxes, charges or similar
levies which arise from any payment made

                                      -23-
<PAGE>
hereunder or under the Notes or from the execution, delivery or registration of,
or otherwise with respect to, this Agreement or the Notes (hereinafter referred
to as "OTHER TAXES").

      (c) The Borrower will indemnify each Bank and the Agent for the full
amount of Taxes or Other Taxes (including, without limitation, any Taxes or
Other Taxes imposed by any jurisdiction on amounts payable under this Section
3.03) paid by such Bank or the Agent (as the case may be) and any liability
(including penalties, interest and expenses) arising therefrom or with respect
thereto, whether or not such Taxes or Other Taxes were correctly or legally
asserted. Amounts payable pursuant to this indemnification shall be paid within
thirty (30) days from the date such Bank or the Agent (as the case may be) makes
written demand therefor.

      (d) Without prejudice to the survival of any other agreement of the
Borrower hereunder, the agreements and obligations of the Borrower contained in
this Section 3.03 shall survive the payment in full of principal and interest
hereunder and under the Notes.

      Section 3.04. SHARING OF PAYMENTS, ETC.. If any Bank shall obtain any
payment (whether voluntary, involuntary, through the exercise of any right of
set-off, or otherwise) on account of any Advance made by it (other than pursuant
to Sections 2.07, 2.10, 3.01 or 3.03) in excess of its ratable share of payments
on account of the Advances, such Bank shall forthwith purchase from the other
Banks such participations in the Advances made by them as shall be necessary to
cause such purchasing Bank to share the excess payment ratably with each of
them, PROVIDED, HOWEVER, that if all or any portion of such excess payment is
thereafter recovered from such purchasing Bank, such purchase from each Bank
shall be rescinded and such Bank shall repay to the purchasing Bank the purchase
price to the extent of such recovery together with an amount equal to such
Bank's ratable share (according to the proportion of (i) the amount of such
Bank's required repayment to (ii) the total amount so recovered from the
purchasing Bank) of any interest or other amount paid or payable by the
purchasing Bank in respect of the total amount so recovered. The Borrower agrees
that any Bank so purchasing a participation from another Bank pursuant to this
Section 3.04 may, to the fullest extent permitted by law, exercise all its
rights of payment (including the right of set-off) with respect to such
participation as fully as if such Bank were the direct creditor of the Borrower
in the amount of such participation; and PROVIDED, FURTHER, that, if the Banks
have not been notified in writing prior to December 31, 2000 by the Borrower or
the Agent of a Default or Event of Default, then the payments of amounts due on
December 31, 2000 to Wells Fargo Bank Texas, National Association as provided in
the first proviso to the definition of "Commitment" hereunder shall be for such
Bank's own account and shall not be paid ratably to any other Bank.

      Section 3.05. VOLUNTARY PREPAYMENTS. The Borrower may at any time and from
time to time, prepay an Advance, in whole or in part, (a) in the case of a LIBOR
Rate Advance or an Agreed Rate Advance, upon at least two Business Days' written
notice, provided that in the event Borrower prepays Fixed Rate Advances in whole
or in part on a day which is not the last day of the Interest Period applicable
thereto, the provisions of Section 2.10 shall apply and (b) in the case of a
Base Rate Advance, upon same Business Day written notice; PROVIDED, HOWEVER,
that all such prepayments shall be made together with accrued interest to the
date of such prepayment on the principal amount prepaid without premium or
penalty thereon. Each notice of prepayment shall specify the prepayment date and
the principal amount of each Advance(s) (or portion thereof) to be prepaid, and
shall be irrevocable and the payment amount specified in such notice shall be
due and payable on the prepayment date described in such notice, together with
accrued and unpaid interest on the amount prepaid. Partial prepayments with

                                      -24-
<PAGE>
respect to any Advance shall be in an aggregate principal amount of $500,000 or
greater integral multiples of $10,000.

      Section 3.06. MANDATORY PREPAYMENTS. (a) If at any time the aggregate
outstanding principal balance of the Advances exceeds an amount equal to the
lesser of the Borrowing Base or the Commitments at such time, then the Borrower
shall immediately pay to the Agent for the ratable account of the Banks the
amount of such excess, together with accrued and unpaid interest thereon.

      (b) Promptly after the receipt thereof, the Borrower will pay to the Agent
100% of the proceeds received by the Borrower from any transfer or assignment of
Receivables to First Investors under the Purchase Agreement, and upon receipt
thereof the Agent shall cause the Bank Collateral Agent to release the lien
covering such collateral created in its favor pursuant to the Security
Agreement.

      (c) Promptly after the receipt thereof, the Borrower will pay to the
Agent, for the ratable benefit of the Banks, 100% of the net proceeds received
by the Borrower from any transfer or assignment of any Property other than
Receivables to the extent that such net proceeds exceeds $1,000,000 during any
calendar year.

      Section 3.07. BANK COLLATERAL AGENT AS BORROWER'S PAYING AGENT. The Agent
and the Banks acknowledge that the Borrower has appointed the Bank Collateral
Agent as its paying agent under the Security Agreement and that all payments
required to be made by the Borrower under Sections 2.03, 2.06 or 2.07 or Article
III or any other section hereof shall be deemed to have been made by the
Borrower if such payments are made by the Bank Collateral Agent.

      Section 3.08. SUBSTITUTION OF BANK. In the event the Borrower is required
to pay any material amounts to any Bank pursuant to Section 2.10, Section
3.01(a) or (b), or Section 3.03 hereof, the Borrower may give at least
forty-five (45) days prior notice to such Bank (with copies to the Agent) that
it wishes to seek one or more Assignees (which may be one or more of the Banks)
to assume the Commitments of such Bank and to purchase its outstanding Advances
and Notes and the Agent will use its best efforts to assist Borrower in
obtaining an Assignee, PROVIDED, HOWEVER, that if more than one Bank requests
that Borrower pay substantially and proportionately equal additional amounts
under any such sections and Borrower elects to seek an Assignee(s) to assume the
Commitments of any one of such affected Banks, Borrower must seek Assignee(s) to
assume the Commitments of all of such affected Banks. Each Bank requesting
compensation pursuant to Section 2.10, Section 3.01, or Section 3.03 hereof
agrees to sell its Commitments, Advances, Notes and interest in this Agreement
in accordance with Section 10.07 to any such Assignee for an amount equal to the
sum of the outstanding unpaid principal of and accrued interest on such Advances
and Notes PLUS all other fees and amounts (including, without limitation, any
compensation claimed by such Bank under any such sections) due such Bank
hereunder calculated, in each case, to the date such Commitments, Advances,
Notes and interest are purchased. Upon such sale or prepayment, said Bank shall
have no further Commitment or other obligation to Borrower hereunder or under
any Note.

                                      -25-
<PAGE>
                                   ARTICLE IV

                              CONDITIONS OF LENDING

      Section 4.01. CONDITIONS PRECEDENT TO INITIAL ADVANCES. The obligation of
each Bank to make its initial Advance is subject to the condition precedent that
the Agent shall have received on or before the day of the initial Borrowing the
following, each dated such day, in form and substance satisfactory to the Agent
and (except for the Notes) in sufficient copies for each Bank:

      (a) The Notes, duly executed by the Borrower and payable to the order of
each Bank.

      (b) This Agreement, duly executed by the Borrower.

      (c) The Security Agreement, duly executed by the Borrower, the Agent, the
Banks and the Bank Collateral Agent.

      (d) The Pledge Agreement, duly executed by First Investors and the Agent.

      (e) A copy of the Servicing Agreement, in form and substance acceptable to
the Agent and duly executed by the Borrower and the Servicer.

      (f) A copy of the Purchase Agreement, duly executed by the parties
thereto.

      (g) A certificate of the Secretary of each of the Borrower and First
Investors, certifying (1) the names and true signatures of its officers
authorized to sign each Loan Document and Receivables Document to which it is a
party and the notices and other documents to be delivered by it pursuant to any
such Loan Document or Receivables Document; (2) its By-laws and Articles or
Certificate of Incorporation as in effect on the date of such certification; and
(3) the resolutions of its Board of Directors approving and authorizing the
execution, delivery, and performance by it of each Loan Document and Receivables
Document to which it is a party, the notices and other documents to be delivered
by it pursuant to any such Loan Document or Receivables Document, and the
transactions contemplated thereunder.

      (h) Certificates of appropriate officials as to the existence and good
standing of (i) the Borrower in its jurisdiction of incorporation and any and
all other jurisdictions where the Property owned or the business transacted by
the Borrower requires the Borrower to be qualified therein and where the failure
to be so qualified would have a Material Adverse Effect and (ii) each of FIARC
and First Investors in its jurisdiction of incorporation.

      (i) A favorable opinion of Buck, Keenan & Owens, L.L.P., counsel for the
Borrower, FIARC and First Investors, substantially in the form of EXHIBIT G
hereto and as to such other matters as any Bank through the Agent may reasonably
request.

      (j) Acknowledgment copies of proper Financing Statements (Form UCC-1),
duly filed on or before the Closing Date, naming the Borrower as the debtor and
the Bank Collateral Agent as the secured party, or other, similar instruments or
documents, as may be necessary or, in the opinion of the Agent, desirable under
the UCC of all appropriate jurisdictions or any comparable law to perfect the
Agent's and the Banks' security interests in all Receivables and related
security and the Collateral Account in which an interest may be assigned under
the Security Agreement.

                                      -26-
<PAGE>
      (k) Certified copies of Requests for Information or Copies (Form UCC-11)
(or a similar search report certified by a party acceptable to the Agent), dated
on or before the Closing Date, listing all effective financing statements which
name the Borrower, FIARC or First Investors (under its present name and any
previous name) as debtor and which are filed in the jurisdictions in which
filings were made pursuant to subsection (o) of this Section 4.01, together with
copies of such financing statements.

      (l) The ALPI Insurance, the GAP Insurance, and the VSI Insurance are in
form and substance satisfactory to the Agent and the Agent shall have been named
as an additional insured with respect thereto.

      (m) A copy of each of the Enterprise Agreement and the other documents
contemplated thereby, duly executed and delivered by the parties thereto, in
form and substance satisfactory to the Banks.

      (n) There shall not have occurred a material adverse change since April
30, 2000 in the business, assets, liabilities (actual or contingent),
operations, condition (financial or otherwise) or prospects of the Borrower and
its Subsidiaries taken as a whole or in the facts and information regarding such
entities as represented to date.

      (o) The absence of any action, suit, investigation or proceeding pending
in any court or before any arbitrator or governmental authority that purports to
affect any transaction contemplated hereby, or that could have a material
adverse effect on the Borrower or its Subsidiaries or any transaction
contemplated hereby or on the ability of the Borrower and its Subsidiaries to
perform their obligations under the documents to be executed in connection with
the Facility.

      (p) The absence of any material disruption of or a material adverse change
in conditions in the financial, banking or capital markets which the Agent and
Banc of America Securities LLC, in their sole discretion, deem material in
connection with the syndication of the Facility.

      (q) Except as otherwise disclosed and consented to by the Banks, the
Borrower and its Subsidiaries shall be in compliance with all existing material
financial obligations.

      (r) Payment of compensation due to the Banks, the Agent, and Banc of
America Securities LLC.

      (s) Such other documents and instruments with respect to the transactions
contemplated hereby as the Agent may reasonably request.

      Section 4.02. CONDITIONS PRECEDENT TO EACH BORROWING (INCLUDING THE
INITIAL BORROWING). The obligation of each Bank to make an Advance on the
occasion of each Borrowing (including the initial Borrowing) shall be subject to
the further conditions precedent that on the date of such Borrowing:

      (a) the Agent shall have received a Notice of Borrowing in accordance with
the terms of this Agreement;

                                      -27-
<PAGE>
      (b) Credit Insurance is in full force and effect for all Receivables and
for the Receivables to be purchased with the proceeds of the Advance, and the
Agent shall not have received a notice of cancellation of the Credit Insurance
from any of the providers thereof;

      (c) both before and after giving effect to the Borrowing, the aggregate
amount of outstanding Advances shall not exceed an amount equal to the lesser of
the Borrowing Base or the Commitments at such time;

      (d) no Default or Event of Default shall exist hereunder; and

      (e) the Agent shall have received such other approvals, information,
opinions or documents as any Bank through the Agent may reasonably request.

                                    ARTICLE V

                         REPRESENTATIONS AND WARRANTIES

      In order to induce the Banks to enter into this Agreement, the Borrower
represents and warrants to the Banks (which representations and warranties will
survive the delivery of any Note and the making of any Advance) that:

      Section 5.01. EXISTENCE. The Borrower is a corporation duly organized,
validly existing, and in good standing under the laws of Delaware and is duly
qualified or licensed to do business in all jurisdictions where the Property
owned or the business transacted by it makes such qualification necessary and
where the failure to be so qualified would have a Material Adverse Effect.

      Section 5.02. POWER AND AUTHORIZATION. The Borrower is duly authorized and
empowered to execute, deliver, and perform its obligations under each Loan
Document and the Receivables Documents, and all corporate or other action on the
Borrower's part requisite for the due execution, delivery, and performance of
each Loan Document and the Receivables Documents, has been duly and effectively
taken. The Borrower is duly authorized and empowered to borrow under this
Agreement and all corporate action on the Borrower's part requisite for
borrowing by the Borrower hereunder has been duly and effectively taken.

      Section 5.03. NO CONFLICT OR RESULTANT LIEN. The execution, delivery, and
performance by the Borrower of each Loan Document and the Receivables Documents,
the Borrowings hereunder by the Borrower as contemplated herein, and the
effectuation of the transactions contemplated by any Loan Document and the
Receivables Documents, do not and will not violate any provision of, or result
in a default under, the Borrower's Certificate of Incorporation or other charter
documents or By-laws or any material agreement to which the Borrower is a party,
or Governmental Requirement to which the Borrower is subject, or result in the
creation or imposition of any Lien upon any Property of the Borrower, and no
transaction contemplated by the Receivables Documents requires compliance with
any bulk sales act or similar law. No Default or Event of Default has occurred
and is continuing.

                                      -28-
<PAGE>
      Section 5.04. RECEIVABLES. The transfer and assignment contemplated under
the Purchase Agreement constitutes a sale of the Receivables from First
Investors to the Borrower and the beneficial interest in and title to the
Receivables shall not be part of the debtor's estate in the event of the filing
of a bankruptcy petition by or against First Investors under any bankruptcy law.
Immediately prior to the transfer and assignment contemplated under the Purchase
Agreement, First Investors had good and marketable title to each Receivable free
and clear of all Liens, encumbrances, security interests, and rights of others
and, immediately upon the transfer thereof, the Borrower shall have good and
marketable title to each Receivable, free and clear of all Liens, encumbrances,
security interests, and rights of others; and the transfer has been perfected
under the UCC.

      Section 5.05. NO CONSENT. No authorization or approval or other action by,
and no notice to or filing with, any Person or any Governmental Authority is
required for the due execution, delivery, and performance by the Borrower of
this Agreement or any other Loan Document or the Receivables Documents, the
Borrowings hereunder as contemplated herein, or the effectuation of the
transactions contemplated under any Loan Document or Receivables Document.

      Section 5.06. BINDING OBLIGATIONS. Each Loan Document and Receivable
Document constitutes the legal, valid and binding obligation of the Borrower
enforceable against it in accordance with its respective terms, except as such
enforceability may be (a) limited by the effect of any applicable bankruptcy,
insolvency, reorganization, moratorium or other similar laws relating to or
affecting the enforcement of creditor's rights generally, and (b) subject to the
effect of general principles of equity (regardless of whether such
enforceability is considered in a proceeding at equity or at law).

      Section 5.07. FINANCIAL CONDITION. The certified consolidated audited
balance sheet of FIS Group and its Subsidiaries as at April 30, 2000, and the
related certified consolidated statements of income and stockholder's equity and
cash flow statements of FIS Group and its Subsidiaries for the Borrower's annual
fiscal period ending April 30, 2000 and the unaudited consolidated balance sheet
of FIS Group and its Subsidiaries as at July 31, 2000 and the related unaudited
consolidated statements of income and changes in stockholders' equity and cash
flow statements for the fiscal quarter then ended, certified by an officer of
FIS Group, copies of which have been furnished to each Bank, have been prepared
in accordance with GAAP and in accordance with FIS Group's and each Subsidiary's
accounting practices consistently applied, and certified by a Responsible
Officer as presenting fairly the consolidated financial condition of FIS Group
and its Subsidiaries as at such date and the results of the operations of FIS
Group and its Subsidiaries for the period ended on such date, all in accordance
with GAAP, and that, in the case of FIS Group and its Subsidiaries on a
consolidated basis, since April 30, 2000, and in the case of the Borrower, since
April 30, 2000, there has been no material adverse change in its financial
condition, business, Properties or operations. The Borrower has no obligations,
liabilities, or Debts (including, without limitation, contingent and indirect
liabilities and obligations) except for Permitted Debt.

      Section 5.08. LITIGATION. There are no actions, suits, or proceedings
pending or, to the knowledge of the Borrower, threatened against or affecting
the Borrower, FIARC or First Investors, or the Properties of the Borrower, FIARC
or First Investors, which could, individually or in the aggregate, reasonably be
determined to have a Material Adverse Effect.

                                      -29-
<PAGE>
      Section 5.09. USE OF PROCEEDS; MARGIN STOCK. The proceeds of each Advance
will be used by the Borrower to purchase Receivables from First Investors. The
Borrower is not engaged in the business of extending credit for the purpose of
purchasing or carrying Margin Stock, and no proceeds of any Advance will be used
(A) to purchase or carry any Margin Stock or to extend credit to others for the
purpose of purchasing or carrying any Margin Stock; (B) to reduce or retire any
Debt which was originally incurred to purchase or carry any such Margin Stock;
(C) for any other purpose which might constitute this transaction a "purpose
credit" within the meaning of Regulation T, U or X; or (D) to acquire any
security of any Person who is subject to Sections 13 and 14 of the Securities
Exchange Act. Neither the Borrower, nor any Person acting on behalf of the
Borrower, has taken or will take any action which might cause any Loan Document
or Receivables Document to violate Regulation T, U or X or any other regulation
of the Board of Governors of the Federal Reserve System.

      Section 5.10. TAXES; GOVERNMENTAL CHARGES. The Borrower has filed or
caused to be filed all federal, state, and foreign income tax returns which are
required to be filed, and has paid or caused to be paid all taxes as shown on
such returns or on any assessment received by it to the extent that such taxes
have become due.

      Section 5.11. FULL DISCLOSURE. All information heretofore or
contemporaneously furnished by or on behalf of the Borrower or First Investors
in writing to the Agent or any Bank for purposes of or in connection with this
Agreement or any transaction contemplated hereby is, and all other such
information hereafter furnished by or on behalf of the Borrower or First
Investors in writing to the Agent or any Bank will be, (i) true and accurate in
all material respects on the date as of which such information is dated or
certified and (ii) not incomplete by omitting to state any material fact
necessary to make such information not misleading in light of the circumstances
under which such information was provided. There is no fact known to the
Borrower or First Investors which is reasonably likely to have a Material
Adverse Effect, which has not been disclosed herein or in such other written
documents, information or certificates furnished to the Agent and the Banks for
use in connection with the transactions contemplated hereby.

      Section 5.12. INVESTMENT COMPANY ACT. Neither First Investors nor the
Borrower is an "investment company" or a company "controlled" by an "investment
company," within the meaning of the Investment Company Act of 1940, as amended.

      Section 5.13. ENVIRONMENTAL MATTERS. Each of the Borrower and First
Investors is in compliance with all Environmental Protection Statutes.

      Section 5.14. CAPITAL STRUCTURE. The Borrower has no Subsidiaries. All of
the issued and outstanding shares of capital stock of the Borrower are fully
paid and nonassessable and are owned beneficially and of record by First
Investors. The Borrower has not granted or issued, or agreed to grant or issue,
any options, warrants or similar rights to any Person to acquire any shares of,
or other securities convertible into, the Borrower's capital stock.

      Section 5.15. COMPLIANCE WITH LAW. The business and operations of the
Borrower as conducted at all times have been and are in compliance in all
material respects with all applicable Governmental Requirements.

      Section 5.16. ERISA. Neither the Borrower nor any ERISA Affiliate has ever
established, maintained, contributed to or been obligated to contribute to, and
neither the Borrower nor any ERISA

                                      -30-
<PAGE>
Affiliate has any liability or obligation with respect to any PBGC Plan,
Multiemployer Plan or Multiple Employer Plan. Neither the Borrower nor any ERISA
Affiliate has any present intention to establish a PBGC Plan, a Multiemployer
Plan or a Multiple Employer Plan. Neither the Borrower nor any ERISA Affiliate
has ever established, maintained, contributed to or been obligated to contribute
to any employee welfare benefit plan (as defined in Section 3(1) of ERISA) which
provides benefits to retired employees (other than as required by Section 601 of
ERISA). The Borrower and any ERISA Affiliate are in compliance in all material
respects with all applicable provisions of ERISA and the Code with respect to
each Plan, including the fiduciary provisions thereof, and each Plan is, and has
been, maintained in compliance with ERISA and, where applicable, the Code. Full
payment when due has been made of all amounts which the Borrower or any ERISA
Affiliate is required under the terms of each Plan or applicable law to have
paid as contributions to such Plan as of the date hereof.

      Section 5.17. NO DEFAULT OR EVENT OF DEFAULT. No event has occurred or is
continuing which constitutes a Default or Event of Default hereunder.

      Section 5.18. PERMITS AND LICENSES. All material permits, licenses and
other governmental authorizations necessary for the Borrower to carry on its
business have been obtained and are in full force and effect and the Borrower is
not in material breach of the foregoing. The Borrower owns or possesses adequate
licenses or other valid rights to use United States trademarks, trade names,
service marks, copyrights, patents and applications therefore which are material
to the conduct of the business, operations or financial condition of the
Borrower.

      Section 5.19. SURVIVAL OF REPRESENTATIONS AND WARRANTIES. All
representations and warranties of the Borrower in each Loan Document and the
Receivables Documents shall survive the delivery of the Notes and the making of
any Advance, and shall continue after the repayment of the Notes and the
termination of the Commitments, and any investigation at any time made by or on
behalf of the Agent or any Bank shall not diminish any Bank's right to rely
thereon.

                                   ARTICLE VI

                      AFFIRMATIVE COVENANTS OF THE BORROWER

      So long as any Note shall remain unpaid or any Bank shall have any
Commitment hereunder, the Borrower agrees, unless the Majority Banks shall
otherwise consent in writing, as follows:

      Section 6.01. COMPLIANCE WITH LAWS, ETC. The Borrower will comply in all
material respects with all applicable laws (including, without limitation, all
Environmental Protection Statutes), rules, regulations and orders of any
Governmental Authority.

      Section 6.02. REPORTING AND NOTICE REQUIREMENTS. The Borrower will furnish
or cause to be furnished to the Agent for delivery to the Banks:

            (a) QUARTERLY FINANCIAL STATEMENTS. As soon as available and in any
      event within forty-five (45) days after the end of each fiscal quarter of
      FIS Group (including the last quarter), consolidating balance sheets of
      FIS Group and its Subsidiaries as of the end of such quarter and

                                      -31-
<PAGE>
      consolidating statements of income and stockholder's equity and cash flow
      statements of FIS Group and its Subsidiaries for the period commencing at
      the end of the previous fiscal year of FIS Group and ending with the end
      of such fiscal quarter, setting forth in each case in comparative form
      corresponding consolidating figures for the corresponding period in the
      immediately preceding fiscal year of FIS Group, all in reasonable detail
      and certified by a Responsible Officer as presenting fairly the
      consolidating and consolidated financial position of FIS Group and its
      Subsidiaries as of the date indicated and the results of their operations
      for the period indicated in conformity with GAAP, consistently applied,
      subject to changes resulting from year-end adjustments.

            (b) ANNUAL FINANCIAL STATEMENTS. As soon as available and in any
      event within one hundred twenty (120) days after the end of each fiscal
      year of FIS Group, audited consolidated statements of income and
      stockholder's equity and cash flow statements of FIS Group and its
      Subsidiaries for such fiscal year, and audited consolidated balance sheets
      of FIS Group and its Subsidiaries as of the end of such fiscal year,
      setting forth in each case in comparative form corresponding consolidated
      figures from the immediately preceding audit, together with unaudited
      consolidating schedules to such financial statements, all in reasonable
      detail and satisfactory in form, substance, and scope to the Agent,
      together with the unqualified opinion of Arthur Andersen & Co. or such
      other independent certified public accountants of recognized national
      standing as are selected by FIS Group and satisfactory to the Agent,
      stating that such financial statements fairly present the consolidated
      financial position of FIS Group and its Subsidiaries as of the date
      indicated and the consolidated results of their operations and changes in
      financial position for the period indicated in conformity with GAAP,
      consistently applied (except for such inconsistencies which may be
      disclosed in such report), and that the audit by such accountants in
      connection with such consolidated financial statements has been made in
      accordance with GAAP.

            (c) NOTICE OF DEFAULT. Immediately after any officer of the Borrower
      knows or has reason to know that any Default or Event of Default has
      occurred, a written statement of such officer of the Borrower setting
      forth the details of such Default or Event of Default and the action which
      the Borrower has taken or proposes to take with respect thereto.

            (d) NOTICE OF LITIGATION. Promptly after any officer of the Borrower
      obtaining knowledge of the commencement thereof, notice of any litigation,
      legal, administrative, or arbitral proceeding, investigation, or other
      action of any nature against FIS Group or the Borrower which could
      reasonably be expected to have a Material Adverse Effect, and upon request
      by the Agent or any Bank, details regarding such litigation which are
      satisfactory to the Agent or such Bank.

            (e) SECURITIES FILINGS. Promptly after the sending or filing thereof
      and in any event within fifteen (15) days thereof, copies of all reports
      which FIS Group sends to any of its security holders, and copies of all
      reports (including each regular and periodic report) and each registration
      statement or prospectus which FIS Group or the Borrower files with the
      Securities and Exchange Commission or any national securities exchange.

            (f) ERISA NOTICES. Promptly after the filing or receiving thereof,
      copies of all reports and notices which the Borrower files under ERISA
      with the Internal Revenue Service or

                                      -32-
<PAGE>
      the Pension Benefit Guaranty Corporation or the U.S. Department of Labor
      or which the Borrower receives from such Governmental Authorities or
      Pension Benefit Guaranty Corporation.

            (g) COMPLIANCE CERTIFICATE. On or before the fifteenth day of each
      calendar month during the term of this Agreement, a Compliance Certificate
      of the Servicer and the Borrower substantially in the form of the Debtor's
      Report and Servicer Certificate contemplated by Section 2.02(c) of the
      Servicing Agreement (a copy of which shall also be delivered to the Bank
      Collateral Agent) which shall demonstrate compliance with the financial
      covenants set forth in Section 7.13 as of the end of the preceding
      Collection Period and for the three immediately preceding Collection
      Periods, shall set forth the Borrowing Base and Uninsured Credit Losses,
      each determined as of the end of the preceding Collection Period, together
      with a certification of such amounts by a Responsible Officer of the
      Borrower, and shall state that no Default or Event of Default has occurred
      or is continuing, or if any such condition or event exists, specifying the
      nature and period of existence thereof and what action the Borrower has
      taken or is taking with respect thereto.

            (h)   ERISA NOTICES, INFORMATION AND COMPLIANCE.

                  (i) As soon as possible and in any event within ten days after
            the Borrower or any of its ERISA Affiliates knows of the occurrence
            of any of the following, a certificate of the chief financial
            officer of the Borrower (or, if applicable, of the ERISA Affiliate)
            setting forth the details as to such occurrence and the action, if
            any, which the Borrower or ERISA Affiliate is required or proposes
            to take, together with any notices required or proposed to be given
            or filed with or by the Borrower, an ERISA Affiliate, the Pension
            Benefit Guaranty Corporation, or plan administrator with respect
            thereto:

                        (A) the establishment or adoption of any PBGC Plan,
                  Multiemployer Plan or Multiple Employer Plan by the Borrower
                  or any ERISA Affiliate on or after the date hereof (a "FUTURE
                  PLAN");

                        (B) the occurrence of an ERISA Event with respect to any
                  Future Plan;

                        (C) the existence of an accumulated funding deficiency
                  with respect to any Future Plan;

                        (D) the making of an application to the Secretary of the
                  Treasury for a waiver or modification of the minimum funding
                  standard (including any required installment payments) or
                  extension of any amortization period under Section 412 of the
                  Code with respect to any Future Plan;

                        (E) the institution of a proceeding pursuant to Section
                  515 of ERISA to collect delinquent contributions from the
                  Borrower or an ERISA Affiliate with respect to a Future Plan;

                                      -33-
<PAGE>
                        (F) the occurrence of any "prohibited transaction" as
                  described in Section 406 of ERISA or in Section 4975 of the
                  Code, in connection with any Plan or any trust created
                  thereunder; or

                        (G) the failure to pay when due all amounts that the
                  Borrower or any ERISA Affiliate is required under the terms of
                  each Plan or applicable law to have paid as a contribution to
                  such Plan; and

                  (ii) As soon as possible and in any event within ten days from
            receipt or, if applicable, filing, a complete copy of the annual
            report (Form 5500) of each Plan required to be filed with the
            Internal Revenue Service, copies of any other reports or notices
            which the Borrower or an ERISA Affiliate files with the Internal
            Revenue Service, Pension Benefit Guaranty Corporation or the United
            States Department of Labor or which the Borrower or an ERISA
            Affiliate receives from such Governmental Authority, and copies of
            any notice, complaint or other documentation of any pending or
            threatened lawsuit or claim relating in any respect to any Plan
            established or maintained by the Borrower or an ERISA Affiliate or
            to which the Borrower or an ERISA Affiliate contributes which may
            have a Material Adverse Effect on the Borrower or an ERISA
            Affiliate.

            (i) DELIVERY OF NOTICES FROM SERVICER. Promptly after the receipt
      thereof, a copy of any notice received by the Borrower from the Servicer
      under the Servicing Agreement with respect to a termination or proposed
      termination thereof or a default thereunder.

            (j) DELIVERY OF ENTERPRISE NOTICES. A copy of (i) any notice
      received by FIARC from Enterprise or any other Person under the Enterprise
      Agreement promptly upon receipt thereof and (ii) any notice FIARC delivers
      pursuant to Section 3.2(l) of the Enterprise Agreement promptly upon the
      delivery or sending thereof.

            (k) HEDGE POSITION REPORTING. Within thirty (30) days after the end
      of each fiscal quarter of the Borrower (including the last quarter), a
      report of the Borrower's hedge position identifying all hedge agreements
      to which the Borrower is a party.

            (l) NOTICE WITH RESPECT TO CERTAIN ENTERPRISE EVENTS. Promptly upon
      occurrence, notice of any modification or amendment to the Enterprise
      Agreement, any Potential Termination Event under the Enterprise Agreement
      and notice of First Investor's being required to accept re-assignment of
      Enterprise's interest in any uncollected Receivables previously sold,
      transferred and assigned to Enterprise in an aggregate amount of $500,000
      or more within any 60 day period.

            (m) OTHER INFORMATION. Such other information respecting the
      condition or operations, financial or otherwise, of the Borrower as any
      Bank through the Agent may from time to time reasonably request.

            (n) NOTICE OF NONINSURANCE. The Borrower shall at all times maintain
      Credit Insurance with respect to all Obligors and shall notify Agent
      promptly in the event that the Borrower does not receive a certificate
      verifying insurance with respect to any Receivable from each of the

                                      -34-
<PAGE>
      providers of the Credit Insurance on or before forty-five (45) days after
      the date that the Servicer enters the Receivable into its tracking system.

      Section 6.03. TAXES AND LIENS. The Borrower will pay and discharge, or
will cause to be paid and discharged, promptly all taxes, assessments, and
governmental charges or levies imposed upon the Borrower or upon the income of
any Property of the Borrower as well as all claims of any kind (including,
without limitation, claims for labor, materials, supplies, and rent) when due.

      Section 6.04. MAINTENANCE OF PROPERTY. The Borrower will at all times
maintain, preserve, protect, and keep, or cause to be maintained, preserved,
protected, and kept, its Property in good repair, working order, and condition
(ordinary wear and tear excepted) and, from time to time, will make, or cause to
be made, all repairs, renewals, replacements, extensions, additions,
betterments, and improvements to its Property as are appropriate, so that (a)
the Borrower maintains its current line of business, and (b) the business
carried on in connection therewith may be conducted properly and efficiently at
all times.

      Section 6.05. RIGHT OF INSPECTION. The Borrower will permit any officer,
or employee of, or agent designated by, the Agent or any Bank to visit and
inspect any of the Properties of the Borrower, examine the Borrower's corporate
books or the Borrower's or First Investor's financial records, take copies and
extracts therefrom, and discuss the affairs, finances, and accounts of the
Borrower and First Investors with the Borrower's officers or certified public
accountants, all at such reasonable times and as often as the Agent or any Bank
may reasonably desire.

      Section 6.06. PERFORMANCE AND COMPLIANCE WITH RECEIVABLES AND CREDIT
INSURANCE. The Borrower will, at its expense, timely and fully perform and
comply with, or cause to be timely and fully performed and complied with, all
material provisions, covenants and other promises required to be observed by it
under the Receivables, the Receivables Documents and the Credit Insurance.

      Section 6.07. FURTHER ASSURANCES. The Borrower shall deliver to the Agent
within 90 days after the beginning of each calendar year, beginning with the
calendar year 2000, an opinion of independent counsel of the Borrower dated as
of a date during such 90-day period, either (a) stating that, in the opinion of
such counsel, (1) such action has been taken with respect to the recording,
registering, filing, re-recording, re-registering and re-filing of financing
statements, continuation statements or other instruments or documents as is
necessary to preserve and protect the interest of the Agent and the Banks in and
to the Receivables and reciting the details of such action or referring to prior
opinions of counsel in which such details are given, and (2) all financing
statements, continuation statements and any other necessary documents have been
executed and filed that are necessary fully to preserve and protect the
perfected interest of the Agent and the Banks in and to the Receivables, and
reciting the details of such filings or referring to prior opinions of counsel
in which such details are given, or (b) stating that, in the opinion of such
counsel, no such action is necessary to preserve and protect such interest.

                                      -35-
<PAGE>
                                   ARTICLE VII

                               NEGATIVE COVENANTS

      So long as any Note shall remain unpaid or any Bank shall have any
Commitment hereunder, the Borrower agrees, without the written consent of the
Majority Banks, as follows:

      Section 7.01. LIENS, ETC. The Borrower will not grant, permit, create or
suffer to exist any Lien, upon or with respect to any of its Properties,
including, without limitation, the Receivables, whether now owned or hereafter
acquired, other than Permitted Liens and Liens created under the Security
Agreement; PROVIDED that, anything in the foregoing or elsewhere in any Loan
Document to the contrary notwithstanding, the Borrower will not enter into any
agreement that (i) prohibits the creation or assumption of any Lien upon any
Property of the Borrower in favor of any Person, including without limitation
the Banks or (ii) requires any obligation of the Borrower to be secured if any
obligation of the Borrower to the Banks is secured in favor of another Person,
including without limitation the Banks.

      Section 7.02. DEBT. The Borrower will not create or suffer to exist any
Debt except as set forth below, all of which shall be "PERMITTED DEBT":

      (a) Debt of the Borrower to the Agent and the Banks and to the Bank
Collateral Agent evidenced by any Loan Document (including any increase thereof
contemplated by the second proviso to the definition of the term "Commitment"
contained in this Agreement);

      (b) Debt of the Borrower for fees payable to the Servicer under the
Receivables Documents;

      (c) Debt represented by the Distributions on the terms and conditions set
forth in the Security Agreement; and

      (d) Debt of the Borrower under any interest rate swap or other exchange
agreement entered into with Bank of America in a notional amount up to
$100,000,000 and which hedges interest payable under this Facility; PROVIDED,
that any portion of such notional amount in excess of the notional amount of
this Facility shall be assigned to and assumed by First Investors.

      (e) Intercompany obligations to First Investors for Borrower's reasonable
net rent allocation, reasonable management fees and dividends declared.

      Section 7.03. RESTRICTED PAYMENTS. If a Default or Event of Default has
occurred and is continuing, or would exist after the making of any payments
pursuant to this Section 7.03, the Borrower will not declare or make any
dividend payment or other distribution of Properties, cash, rights, obligations,
or securities on account of any shares of any class of capital stock of the
Borrower, or purchase, redeem, retire, or otherwise acquire for value any shares
of any class of capital stock of the Borrower or any warrants, rights, or
options to acquire any such shares, now or hereafter outstanding.

      Section 7.04. MERGERS; CONSOLIDATIONS. The Borrower will not merge or
consolidate with or into, or convey, transfer, lease, or otherwise dispose of
(whether in one transaction or in a series of transactions) any of its assets
(whether now owned or hereafter acquired) other than (i) to pay expenses
incurred in the ordinary course of business, (ii) in respect of the
Distributions, or (iii) the transfer and assignment of Receivables to First
Investors upon payment on the principal balance outstanding on the Notes of an
amount equal to the Purchase Amount.

                                      -36-
<PAGE>
      Section 7.05. INVESTMENTS, LOANS, AND ADVANCES. Except as provided under
the other Loan Documents and the Receivables Documents, the Borrower will not
make or permit to remain outstanding any Investment, endorse, or otherwise be or
become contingently liable directly or indirectly, in connection with the
obligations, stock, or dividends of, or own, purchase or acquire any stock,
obligations, or securities of, or any other interest in, or make any capital
contribution to, any Person, or otherwise make, incur, create, assume, or suffer
to exist any contingent liability or any Investment of the Borrower to purchase
or acquire any assets.

      Section 7.06. SALE OR OTHER DISPOSITION OF ASSETS. The Borrower will not
sell, assign, lease, transfer or otherwise dispose of (whether in one
transaction or in a series of transactions) any part of its Property (whether
now owned or hereafter acquired) to any Person other than (i) to pay expenses
incurred in the ordinary course of business, (ii) in respect of the
Distributions, or (iii) the transfer and assignment of Receivables to First
Investors upon payment on the principal balance outstanding on the Notes of an
amount equal to the Purchase Amount.

      Section 7.07. USE OF PROCEEDS. The Borrower will not use, nor permit the
use of, all or any portion of any Advance for any purpose except as described in
Section 5.09 hereof.

      Section 7.08. TRANSACTIONS WITH AFFILIATES. Except as provided under the
Loan Documents and the Receivables Documents and except in respect of any
management fee to be paid by the Borrower to First Investors, the Borrower will
not directly or indirectly enter into any transaction with any Affiliate
(including, without limitation, any transaction involving the payment of
management fees or directors' fees to any Affiliate), except for transactions
(including any loans or advances by or to any Affiliate otherwise in compliance
under the Agreement) in good faith, the terms of which are fair and reasonable
to the Borrower, and are at least as favorable as the terms which could be
obtained by the Borrower in a comparable transaction made on an arm's-length
basis between unaffiliated parties.

      Section 7.09. OTHER BUSINESS. The Borrower will not engage in any business
or enterprise or enter into any material transaction other than as contemplated
by the Loan Documents and the Receivables Documents.

      Section 7.10. ISSUANCE OF SHARES. The Borrower will not issue, sell, or
otherwise dispose of any shares of its capital stock or other equity securities,
or rights, warrants, or options to purchase or acquire any shares or equity
securities, other than as otherwise expressly permitted by other Sections of
this Agreement.

      Section 7.11. ERISA. The Borrower shall not and shall not permit any ERISA
Affiliate to:

            (a) do any of the following, which in the aggregate would reasonably
      be expected to have a Material Adverse Effect:

                  (i) engage in any transaction which it knows or has reason to
            know could result in a civil penalty assessed pursuant to Section
            502(i) of ERISA or a tax imposed by Section 4975 of the Code;

                                      -37-
<PAGE>
                  (ii) fail to make any payments when due to any Multiemployer
            Plan that the Borrower or an ERISA Affiliate may be required to make
            under any agreement relating to such Multiemployer Plan, or any law
            pertaining thereto;

                  (iii) incur withdrawal liability under ERISA to a
            Multiemployer Plan;

                  (iv) voluntarily terminate or, in the case of a "substantial
            employer" as defined in Section 4001(a)(2) of ERISA, withdraw from
            any Plan if such termination or withdrawal could result in the
            imposition of a Lien on the Borrower or an ERISA Affiliate under
            Section 4068 of ERISA;

                  (v) fail to make any required contribution when due to any
            Plan subject to Section 412(n) of the Code that with the passage of
            time would likely result in a Lien upon the properties or assets of
            the Borrower or an ERISA Affiliate;

                  (vi) adopt any amendment to a Plan the effect of which is to
            increase the "current liability" under the Plan as defined in
            Section 302(d)(7) of ERISA;

                  (vii) act or fail to act, and, as a result thereof, an event
            similar to any of those referred to in clauses (i) to (vi) would
            likely occur under the applicable laws of a foreign country; or

            (b) permit the present value of all benefits (irrespective of
      whether vested) under all Plans that have assets less than benefits
      (irrespective of whether vested), to exceed the "current value" as defined
      in Section 3(26) of ERISA of the assets of such Plans by an aggregate
      amount of ten thousand dollars ($10,000.00); or

            (c) permit the adoption, implementation or amendment of any unfunded
      deferred compensation agreement or other arrangement of a similar nature
      irrespective of whether subject to the funding requirements of ERISA which
      could reasonably be expected to have a Material Adverse Effect.

      Section 7.12. ACQUISITIONS. Except as provided under the Receivables
Documents, the Borrower will not acquire by purchase, lease (including, without
limitation, assumption of any lease) or merger any of the assets, Property,
capital stock or other equity interests of any other Person.

      Section 7.13.     CERTAIN FINANCIAL TESTS.

      (a) The Borrower will not permit the ratio of Earnings Before Interest,
Fees and Distributions to the sum of Loan Interest Expense PLUS Fee Expense, as
determined as of each Determination Date for the immediately preceding three
Collection Periods, to be less than 1.40 to 1.00.

      (b) The Borrower will not permit the Credit Loss Percentage, as determined
as of each Determination Date, to exceed 5.0%.

                                      -38-
<PAGE>
      (c) The Borrower will not permit the number of Delinquent Receivables to
exceed 8.5% of the average number of Receivables as determined as of each
Determination Date for the immediately preceding three Collection Periods.

      Section 7.14. EXTENSION OR AMENDMENT OF RECEIVABLES AND OTHER DOCUMENTS.
The Borrower will not, and will not permit the Servicer to, (a) extend, amend or
otherwise modify the terms of (i) any Receivable (PROVIDED that an extension,
amendment or modification permitted under Section 4.02 of the Servicing
Agreement shall not be prohibited by this Section 7.14), (ii) the Credit
Insurance, (iii) the Receivables Documents, or (iv) the Borrower's Certificate
of Incorporation or Bylaws.

      Section 7.15. LETTER OF GUARANTY. The Borrower will not permit the
aggregate Principal Balance of the Receivables with respect to which the
Borrower has accepted a guaranty of delivery of the certificate of title from an
Originator to exceed $250,000 at any one time.

                                  ARTICLE VIII

                                EVENTS OF DEFAULT

      Section 8.01. EVENTS OF DEFAULT. If any of the following events (each an
"EVENT OF DEFAULT") shall occur:

            (a) The Borrower shall fail to pay any principal of any Note when
      the same becomes due and payable; or

            (b) The Borrower shall fail to pay interest on any Note or fees or
      other amounts due under the Note or this Agreement or any other Loan
      Document, or First Investors shall fail to pay any amounts due under the
      Pledge Agreement, when the same becomes due and payable and such failure
      shall remain unremedied for three days; or

            (c) Any representation or warranty made by the Borrower (or any of
      its officers) under or in connection with any Loan Document or the
      Receivables Documents, or by First Investors (or any of its officers)
      under or in connection with the Pledge Agreement, shall prove to have been
      incorrect in any material respect when made; or

            (d) The Borrower shall fail to perform or observe any term, covenant
      or agreement contained in Section 6.02 or in Article VII; or

            (e) The Borrower shall fail to perform or observe any term, covenant
      or agreement contained in any Loan Document (other than those set forth in
      (a), (b), (c) and (d) above) or the Receivables Documents on its part to
      be performed or observed, or First Investors shall fail to perform or
      observe any term, covenant, or agreement contained in the Pledge Agreement
      on its part to be performed or observed, if such failure shall remain
      unremedied for thirty (30) days after the occurrence of such event; or

            (f) The Borrower shall fail to pay any principal of or premium or
      interest on any Debt which is outstanding in a principal amount of at
      least $10,000 in the aggregate when the

                                      -39-
<PAGE>
      same becomes due and payable (whether by scheduled maturity, required
      prepayment, acceleration, demand or otherwise), and such failure shall
      continue after the applicable grace period, if any, specified in the
      agreement or instrument relating to such Debt; or any other event
      constituting a default (however defined) shall occur or condition shall
      exist under any agreement or instrument relating to any such Debt and
      shall continue after the applicable grace period, if any, specified in
      such agreement or instrument; or

            (g) The Borrower shall generally not pay its debts as such debts
      become due, or shall admit in writing its inability to pay its debts
      generally, or shall make a general assignment for the benefit of
      creditors; or any proceeding shall be instituted by or against the
      Borrower seeking to adjudicate it a bankrupt or insolvent, or seeking
      liquidation, winding up, reorganization, arrangement, adjustment,
      protection, relief, or composition of it or its debts under any law
      relating to bankruptcy, insolvency or reorganization or relief of debtors,
      or seeking the entry of an order for relief or the appointment of a
      receiver, trustee, custodian or other similar official for it or for any
      substantial part of its property and, in the case of any such proceeding
      instituted against it (but not instituted by it), either such proceeding
      shall remain undismissed or unstayed for a period of 30 days, or any of
      the actions sought in such proceeding (including, without limitation, the
      entry of an order for relief against, or the appointment of a receiver,
      trustee, custodian or other similar official for, it or for any
      substantial part of its property) shall occur; or the Borrower shall take
      any corporate action to authorize any of the actions set forth above in
      this subsection (g); or

            (h) Any final judgment or order for the payment of money which,
      individually or in the aggregate, shall be in excess of $10,000 at any
      time, shall be rendered against the Borrower and either (i) enforcement
      proceedings shall have been commenced by any creditor upon such judgment
      or order or (ii) there shall be any period of thirty (30) consecutive days
      during which a stay of enforcement of such judgment or order, by reason of
      a pending appeal or otherwise, shall not be in effect; or

            (i) The balance in the Collateral Account for any two consecutive
      Distribution Dates (after making any Distributions therefrom) shall be
      less than the Specified Collateral Account Balance; or

            (j) The credit quality of any of the providers of the ALPI
      Insurance, the GAP Insurance, or the VSI Insurance shall at any time be
      rated as less than "A-" by A. M. Best Company; or

            (k) Uninsured Credit Losses determined as of the last day of each
      month during this Agreement for the twelve-month period ending on such
      date shall exceed $200,000; PROVIDED that if First Investors shall have
      repurchased any Receivable for the amount equal to the outstanding
      Purchase Amount, such Receivable shall not be included as an Uninsured
      Credit Loss for purposes of this calculation; or

            (l) A material breach (i) by the Servicer of its obligations under
      the Servicing Agreement, (ii) by First Investors of its obligations under
      (A) the Purchase Agreement, (B) any interest rate swap or other exchange
      agreement which hedges interest payable under the

                                      -40-
<PAGE>
      Enterprise Agreement, or (C) any interest rate cap on the interest rate
      payable by FIARC under the Enterprise Agreement which offsets a counter
      position of FIARC under such interest rate position, (iii) by the Bank
      Collateral Agent of its obligations under the Loan Documents, or (iv) by
      the provider of the ALPI Insurance, the GAP Insurance or the VSI Insurance
      under such Credit Insurance shall occur and be continuing; or

            (m) First Investors shall cease to own a majority of the issued and
      outstanding stock of the Borrower; or

            (n) With respect to any Future Plan (as such term is defined in
      Section 6.02(h) hereof), other than a Multiemployer Plan within the
      meaning of Section 4001(a)(3) of ERISA, (1) such Future Plan shall fail to
      satisfy the minimum funding standard or a waiver of such standard or
      extension of any amortization period is sought under Section 412 of the
      Code; (2) such Future Plan is or is proposed to be terminated and as a
      result thereof liability in excess of $1,000,000 can be asserted under
      Title IV of ERISA as against the Borrower or ERISA Affiliate; (3) such
      Future Plan shall have an unfunded current liability in excess of
      $1,000,000; or (4) there has been a withdrawal from any such Future Plan
      and as a result liability in excess of $1,000,000 can be asserted under
      Section 4062(e) or 4063 of ERISA against the Borrower or any ERISA
      Affiliate; or, with respect to any Future Plan that is a Multiemployer
      Plan under Section 4001(a)(3) of ERISA, such Future Plan is insolvent or
      in reorganization or the Borrower or an ERISA Affiliate has withdrawn, or
      proposes to withdraw, either totally or partially, from such Future Plan
      and, in any case, in the opinion of the Agent, the Borrower or its ERISA
      Affiliate might reasonably be anticipated to incur a liability which would
      have a Material Adverse Effect on the business, operations, conditions
      (financial or otherwise) or prospects of the Borrower or ERISA Affiliates;
      or with respect to any Plan other than a Future Plan, the Borrower or its
      ERISA Affiliate could reasonably be anticipated to incur a liability which
      would have a Material Adverse Effect on the business, operations or
      conditions (financial or otherwise) or prospects of the Borrower or its
      ERISA Affiliates; or

            (o) The Agent shall have received notice of cancellation of any of
      the Credit Insurance and such Credit Insurance has not been reinstated or
      replaced in form and substance satisfactory to the Agent within a period
      of 30 days after receipt of such notice; or

            (p) (i) The Servicer's obligations shall have been terminated
      pursuant to Section 5.02 of the Servicing Agreement and a successor
      servicer shall not have been appointed and accepted such appointment
      within 45 days of the Servicer's receipt of notice of termination, (ii)
      the Servicer shall have terminated its obligations pursuant to Section
      5.08 of the Servicing Agreement, or (iii) the Servicer's obligation to
      accept new Receivables shall have terminated pursuant to Article VI of the
      Servicing Agreement and Receivables shall have terminated pursuant to
      Article VI of the Servicing Agreement and a successor servicer
      satisfactory to the Agent shall not have been appointed and accepted such
      appointment prior to the effective date of such termination; or

            (q) Aggregate claims submitted under the VSI Insurance and GAP
      Insurance determined as of the last day of each month during this
      Agreement for the twelve-month period ending on such date shall exceed
      $750,000; or

                                      -41-
<PAGE>
            (r) the occurrence of a "Termination Event", other than with respect
      to the events specified in Section 6.1(f), (j), (t), or (u) of the
      Enterprise Agreement;

then, and in any such event, the Agent (i) shall send notice of the occurrence
of such Default or Event of Default to the Borrower and the Bank Collateral
Agent, (ii) shall at the request, or may with the consent, of the Majority
Banks, by notice to the Borrower, declare the obligation of each Bank to make
Advances to be terminated, whereupon the same shall forthwith terminate, and
(iii) shall at the request, or may with the consent, of the Majority Banks, by
notice to the Borrower, declare the Notes, all interest thereon and all other
amounts payable under this Agreement to be forthwith due and payable, whereupon
the Notes, all such interest and all such amounts shall become and be forthwith
due and payable, without presentment, demand, protest or further notice of any
kind, all of which are hereby expressly waived by the Borrower; PROVIDED,
HOWEVER, that in the event of an actual or deemed entry of an order for relief
with respect to the Borrower under the United States Bankruptcy Code, (A) the
obligation of each Bank to make Advances shall automatically be terminated and
(B) the Notes, all such interest and all such amounts shall automatically become
and be due and payable, without presentment, demand, protest or any notice of
any kind, all of which are hereby expressly waived by the Borrower.

                                   ARTICLE IX

                                    THE AGENT

      Section 9.01. AUTHORIZATION AND ACTION. Each Bank hereby appoints and
authorizes the Agent to take such action as agent on its behalf and to exercise
such powers under this Agreement as are delegated to the Agent by the terms
hereof, together with such powers as are reasonably incidental thereto. As to
any matters not expressly provided for by this Agreement (including, without
limitation, enforcement or collection of the Notes), the Agent shall not be
required to exercise any discretion or take any action, but shall be required to
act or to refrain from acting (and shall be fully protected in so acting or
refraining from acting) upon the instructions of the Majority Banks, and such
instructions shall be binding upon all Banks and all holders of Notes; PROVIDED,
HOWEVER, that the Agent shall not be required to take any action which exposes
the Agent to personal liability or which is contrary to this Agreement or
applicable law. The Agent agrees to give to each Bank prompt notice of each
notice given to it by the Borrower pursuant to the terms of this Agreement.

      Section 9.02. AGENT'S RELIANCE, ETC.. Neither the Agent nor any of its
directors, officers, agents or employees shall be liable for any action taken or
omitted to be taken by it or them under or in connection with this Agreement,
except for its or their own gross negligence or willful misconduct. Without
limitation of the generality of the foregoing, the Agent: (i) may treat the
payee of any Note as the holder thereof until the Agent receives written notice
of the assignment or transfer thereof signed by such payee and including the
agreement of the assignee or transferee to be bound hereby as it would have been
if it had been an original Bank party hereto, in form satisfactory to the Agent;
(ii) may consult with legal counsel (including counsel for the Borrower),
independent public accountants and other experts selected by it and shall not be
liable for any action taken or omitted to be taken in good faith by it in
accordance with the advice of such counsel, accountants or experts; (iii) makes
no warranty or representation to any Bank and shall not be responsible to any
Bank for any statements, warranties or

                                      -42-
<PAGE>
representations (whether written or oral) made in or in connection with this
Agreement; (iv) shall not have any duty to ascertain or to inquire as to the
performance or observance of any of the terms, covenants or conditions of this
Agreement on the part of the Borrower or to inspect the property (including the
books and records) of the Borrower; (v) shall not be responsible to any Bank for
the due execution, legality, validity, enforceability, genuineness, sufficiency
or value of this Agreement or any other instrument or document furnished
pursuant hereto; and (vi) shall incur no liability under or in respect of this
Agreement by acting upon any notice, consent, certificate or other instrument or
writing (which may be by telecopier, telegram, cable or telex) believed by it to
be genuine and signed or sent by the proper party or parties.

      Section 9.03. BANK OF AMERICA AND AFFILIATES. With respect to its
Commitment, the Advances made by it and the Note issued to it, Bank of America
shall have the same rights and powers under this Agreement as any other Bank and
may exercise the same as though it were not the Agent; and the term "Bank" or
"Banks" shall, unless otherwise expressly indicated, include Bank of America in
its individual capacity. Bank of America and its Affiliates may accept deposits
from, lend money to, act as trustee under indentures of, and generally engage in
any kind of business with, the Borrower and any Person who may do business with
or own securities of the Borrower, all as if Bank of America were not the Agent
and without any duty to account therefor to the Banks.

      Section 9.04. BANK CREDIT DECISION. Each Bank acknowledges that it has,
independently and without reliance upon the Agent or any other Bank and based on
the financial statements referred to in Sections 5.07 and 6.02 and such other
documents and information as it has deemed appropriate, made its own credit
analysis and decision to enter into this Agreement. Each Bank also acknowledges
that it will, independently and without reliance upon the Agent or any other
Bank and based on such documents and information as it shall deem appropriate at
the time, continue to make its own credit decisions in taking or not taking
action under each Loan Document. The Agent shall not be required to keep itself
informed as to the performance or observance by the Borrower of any Loan
Document or to inspect the Properties or books of the Borrower. Except for
notices, reports, and other documents and information expressly required to be
furnished to the Banks by the Agent hereunder, the Agent shall not have any duty
or responsibility to provide any Bank with any credit or other information
concerning the affairs, financial condition, or business of the Borrower.

      Section 9.05. INDEMNIFICATION. Notwithstanding anything to the contrary
herein contained, the Agent shall be fully justified in failing or refusing to
take any action hereunder unless it shall first be indemnified to its
satisfaction by the Banks against any and all liabilities, obligations, losses,
damages, penalties, actions, judgments, suits, costs, expenses, and
disbursements of any kind or nature whatsoever which may be imposed on, incurred
by or asserted against the Agent in any way relating to or arising out of its
taking or continuing to take any action. Each Bank agrees to indemnify the Agent
(to the extent not reimbursed by the Borrower), according to such Bank's
Commitments, from and against any and all liabilities, obligations, losses,
damages, penalties, actions, judgments, suits, costs, expenses, and
disbursements of any kind or nature whatsoever which may be imposed on, incurred
by, or asserted against the Agent in any way relating to or arising out of any
Loan Document or any action taken or omitted by the Agent under any Loan
Document; PROVIDED that no Bank shall be liable for any portion of such
liabilities, obligations, losses, damages, penalties, actions, judgments, suits,
costs, expenses, or disbursements resulting from the gross negligence or willful
misconduct of the Person being indemnified; and PROVIDED FURTHER that it is the
intention of each Bank to indemnify the Agent against the consequences of the
Agent's own negligence, whether such negligence be sole, joint, or concurrent,
active or passive.

                                      -43-
<PAGE>
Without limitation of the foregoing, each Bank agrees to reimburse the Agent
promptly upon demand for its ratable share of any out-of-pocket expenses
(including attorneys' fees) incurred by the Agent in connection with the
preparation, administration, or enforcement of, or legal advice in respect of
rights or responsibilities under, any Loan Document, to the extent that the
Agent is not reimbursed for such expenses by the Borrower.

      Section 9.06. SUCCESSOR AGENT. The Agent may resign at any time by giving
written notice thereof to the Banks and the Borrower and may be removed at any
time with cause by the Majority Banks. Upon any such resignation or removal, the
Majority Banks shall have the right to appoint a successor Agent. If no
successor Agent shall have been so appointed by the Majority Banks, and shall
have accepted such appointment, within thirty (30) days after the retiring
Agent's giving of notice of resignation or the Majority Banks' removal of the
retiring Agent, then the retiring Agent may, on behalf of the Banks, appoint a
successor Agent, which shall be a commercial bank organized under the laws of
the United States of America or of any state thereof and having a combined
capital and surplus of at least $500,000,000. Upon the acceptance of any
appointment as Agent hereunder by a successor Agent, such successor Agent shall
thereupon succeed to and become vested with all the rights, powers, privileges
and duties of the retiring Agent, and the retiring Agent shall be discharged
from its duties and obligations under this Agreement. After any retiring Agent's
resignation or removal hereunder as Agent, the provisions of this Article IX
shall inure to its benefit as to any actions taken or omitted to be taken by it
while it was Agent under this Agreement.

      Section 9.07. AGENT'S RELIANCE. The Borrower shall notify the Agent in
writing of the names of its officers and employees authorized to request an
Advance on behalf of the Borrower and shall provide the Agent with a specimen
signature of each such officer or employee. The Agent shall be entitled to rely
conclusively on such officer's or employee's authority to request an Advance on
behalf of the Borrower until the Agent receives written notice from the Borrower
to the contrary. The Agent shall have no duty to verify the authenticity of the
signature appearing on any Notice of Borrowing, and, with respect to any oral
request for an Advance, the Agent shall have no duty to verify the identity of
any Person representing himself as one of the officers or employees authorized
to make such request on behalf of the Borrower. Neither the Agent nor any Bank
shall incur any liability to the Borrower in acting upon any telephonic notice
referred to above which the Agent or such Bank believes in good faith to have
been given by a duly authorized officer or other Person authorized to borrow on
behalf of the Borrower or for otherwise acting in good faith.

      Section 9.08. DEFAULTS. The Agent shall not be deemed to have knowledge of
the occurrence of a Default (other than the nonpayment of principal of or
interest hereunder or of any fees payable hereunder) unless the Agent has
received notice from a Bank or the Borrower specifying such Default. In the
event that the Agent receives such a notice of the occurrence of a Default, the
Agent shall give prompt notice thereof to the Banks (and shall give each Bank
prompt notice of each such nonpayment). The Agent shall (subject to Section
8.01) take such action with respect to such Default, PROVIDED that, unless and
until the Agent shall have received the directions referred to in Section 8.01,
the Agent may (but shall not be obligated to) take such action, or refrain from
taking such action, with respect to such Default as it shall deem advisable and
in the best interest of the Banks.

                                      -44-
<PAGE>
                                   ARTICLE X

                                 MISCELLANEOUS

      Section 10.01. AMENDMENTS, ETC. No amendment or waiver of any provision of
this Agreement or the Notes, nor consent to any departure by the Borrower
therefrom, shall in any event be effective unless the same shall be in writing
and signed by the Majority Banks, and then such waiver or consent shall be
effective only in the specific instances and for the specific purpose for which
given; PROVIDED, HOWEVER, that no amendment, waiver or consent shall, unless in
writing and signed by all the Banks, do any of the following: (a) waive or amend
any of the conditions specified in Sections 4.01 and 4.02, (b) change the
definition of "Commitment", increase the Commitments of the Banks or subject the
Banks to any additional obligations, (c) reduce the principal of, or interest
on, the Notes or any fees or other amounts payable hereunder, (d) postpone or
extend the Revolving Credit Termination Date or the Termination Date or any date
fixed for any payment of principal of, or interest on, the Notes or any fees or
other amounts payable hereunder, (e) change the percentage of the Commitments or
of the aggregate unpaid principal amount of the Notes, or the number of Banks,
which shall be required for the Banks or any of them to take any action
hereunder, (f) change the requirements hereunder to exercise any waiver of a
payment default or payment amount, (g) release any Collateral, except with
respect to sales as permitted by the Security Agreement and for repurchases by
First Investors pursuant to the terms of the Purchase Agreement or (h) amend
this Section 10.01; and PROVIDED FURTHER that no amendment, waiver or consent
shall, unless in writing and signed by the Agent in addition to the Banks
required above to take such action, affect the rights or duties of the Agent
under this Agreement or any Note; PROVIDED, FURTHER, however that one or more
new Banks may be added to this Facility as contemplated by the second proviso to
the definition of "Commitment" contained herein without the consent of any other
Bank (except as contemplated in such proviso) other than the Agent.

      Section 10.02. NOTICES, ETC. All notices and other communications provided
for hereunder shall be in writing (including by telex or facsimile transmission)
and shall be effective when actually delivered, or in the case of telex notice,
when sent, answerback received, or in the case of facsimile transmission, when
received and telephonically confirmed, addressed as follows: if to the Borrower,
at its address at 675 Bering, Suite 110, Houston, Texas 77057, Attention:
President, Telephone: (713) 977-2600, Facsimile: (713) 972-2630; if to any Bank,
at its Domestic Lending Office as specified opposite its name on the signature
page hereof; and if to the Agent, at its address at 901 Main Street, Dallas,
Texas 75201, Attention: Ms. Elizabeth Kurilecz, Telephone: (214) 209-0975,
Facsimile: (214) 209-1027; PROVIDED, HOWEVER, that any Notices of Borrowing or
Notices of Interest Conversion shall be sent to the Agent at its address at 901
Main Street, Dallas, Texas 75201, Attention: Ms. Renita Cummings; with copies to
the Agent at 901 Main Street, Dallas, Texas 75201, Attention: Ms. Elizabeth
Kurilecz; or, as to the Borrower, any Bank or the Agent, at such other address
as shall be designated by such party in a written notice to the other parties.

      Section 10.03. NO WAIVER; REMEDIES. No failure on the part of any Bank or
the Agent to exercise, and no delay in exercising, any right under any Loan
Document shall operate as a waiver thereof; nor shall any single or partial
exercise of any such right preclude any other or further exercise thereof or the
exercise of any other right. The remedies herein provided are cumulative and not
exclusive of any remedies provided by law.

                                      -45-
<PAGE>
      Section 10.04. COSTS, EXPENSES AND TAXES. The Borrower agrees to pay on
demand all costs and expenses in connection with the preparation, execution,
delivery, administration, modification and amendment of the Loan Documents and
the other documents to be delivered under the Loan Documents, including, without
limitation, the reasonable fees and out-of-pocket expenses of counsel for the
Agent with respect thereto and with respect to advising the Agent as to its
rights and responsibilities under the Loan Documents. The Borrower further
agrees to pay on demand all costs and expenses, if any (including, without
limitation, reasonable counsel fees and expenses), in connection with the
enforcement (whether through negotiations, legal proceedings or otherwise) of
the Loan Documents and the other documents to be delivered under the Loan
Documents, including, without limitation, reasonable counsel fees and expenses
in connection with the enforcement of rights under this Section 10.04.

      Section 10.05. RIGHT OF SET-OFF. Upon (i) the occurrence and during the
continuance of any Event of Default and (ii) the making of the request or the
granting of the consent specified by Section 8.01 to authorize the Agent to
declare the Notes due and payable pursuant to the provisions of Section 8.01,
each Bank is hereby authorized at any time and from time to time, to the fullest
extent permitted by law, to set off and apply any and all deposits (general or
special, time or demand, provisional or final) at any time held and other
indebtedness at any time owing by such Bank to or for the credit or the account
of the Borrower against any and all of the obligations of the Borrower now or
hereafter existing under any Loan Document, whether or not such Bank shall have
made any demand under this Agreement or such Note and although such obligations
may be unmatured. Each Bank agrees promptly to notify the Borrower after any
such set-off and application made by such Bank, PROVIDED that the failure to
give such notice shall not affect the validity of such set-off and application.
The rights of each Bank under this Section are in addition to other rights and
remedies (including, without limitation, other rights of set-off) which such
Bank may have.

      Section 10.06. BINDING EFFECT. This Agreement shall become effective when
it shall have been executed by the Borrower and the Agent and when the Agent
shall have been notified by each Bank that such Bank has executed it and
thereafter shall be binding upon and inure to the benefit of the Borrower, the
Agent and each Bank and their respective successors and assigns, except that the
Borrower shall not have the right to assign its rights hereunder or any interest
herein without the prior written consent of the Banks.

      Section 10.07. ASSIGNMENTS AND PARTICIPATIONS. (a) Subject to the prior
written consent of the Agent and the Borrower, such consent not to be
unreasonably withheld, each Bank may assign to any financial institution (the
"ASSIGNEE") all or a portion of its rights and obligations under this Agreement
(including, without limitation, all or a portion of its Commitments and the Note
held by it); PROVIDED, HOWEVER, that the parties to each such assignment shall
execute and deliver to the Agent, for its acceptance and recording in the
Register, an Assignment and Acceptance Agreement in form and substance
satisfactory to the Agent (the "ASSIGNMENT AND ACCEPTANCE"), together with any
Note subject to such assignment and a processing fee of $2,500; and FURTHER
PROVIDED HOWEVER, that (i) each such assignment shall be of a constant, and not
a varying, percentage of all of the assigning Bank's rights and obligations
under this Agreement, and (ii) the amount of the Commitments so assigned shall
equal or exceed the lesser of (x) $10,000,000, or (y) the remaining Commitments
held by the assigning Bank. Upon such execution, delivery, acceptance, and
recordation by the Agent of such Assignment and Acceptance, from and after the
effective date specified in each Assignment and Acceptance, which effective date
shall be the date on which such Assignment and Acceptance is accepted by the
Agent, (A)

                                      -46-
<PAGE>
the Assignee thereunder shall be a party hereto and, to the extent that rights
and obligations hereunder have been assigned to it pursuant to such Assignment
and Acceptance, have the rights and obligations of a Bank under the Loan
Documents, and (B) the Bank assignor thereunder shall, to the extent that rights
and obligations hereunder have been assigned by it pursuant to such Assignment
and Acceptance, relinquish its rights and be released from its obligations under
the Loan Documents (and, in the case of an Assignment and Acceptance covering
all or the remaining portion of an assigning Bank's rights and obligations under
the Loan Documents, such Bank shall cease to be a party thereto).

      (b) By executing and delivering an Assignment and Acceptance, the Bank
assignor thereunder and the Assignee (by execution and delivery of the
Assignment and Acceptance pursuant to this Section 10.07) confirm to and agree
with each other and the other parties hereto as follows: (i) other than as
provided in such Assignment and Acceptance, such assigning Bank makes no
representation or warranty and assumes no responsibility with respect to any
statements, warranties, or representations made in or in connection with any
Loan Document or the execution, legality, validity, enforceability, genuineness,
sufficiency, or value of any Loan Document or any other instrument or document
furnished pursuant thereto; (ii) such assigning Bank makes no representation or
warranty and assumes no responsibility with respect to the financial condition
of the Borrower or the performance or observance by the Borrower of any of its
respective obligations under any Loan Document or any other instrument or
document furnished pursuant thereto; (iii) such Assignee confirms that it has
received a copy of the Loan Documents, together with copies of the financial
statements referred to in Section 5.07 and such other documents and information
as it has deemed appropriate to make its own credit analysis and decision to
enter into such Assignment and Acceptance; (iv) such Assignee, independently and
without reliance upon the Agent, such assigning Bank, or any Bank and based on
such documents and information as it shall deem appropriate at the time, will
continue to make its own credit decisions in taking or not taking action under
this Agreement; (v) such Assignee appoints and authorizes the Agent to take such
action as agent on its behalf and to exercise such powers under any Loan
Document as are delegated to the Agent by the terms thereof, together with such
powers as are reasonably incidental thereto; and (vi) such Assignee agrees that
it will perform in accordance with their terms all of the obligations which by
the terms of any Loan Document are required to be performed by it as a Bank.

      (c) The Agent shall maintain at its address referred to in Section 10.02 a
copy of each Assignment and Acceptance delivered to and accepted by it and a
register for the recordation of the names and addresses of the Banks and the
Commitment of, and principal amount of the Borrowings owing to, each Bank from
time to time (the "REGISTER"). The entries in the Register shall be conclusive
and binding for all purposes, absent manifest error, and the Borrower, the
Agent, and the Banks may treat each Person whose name is recorded in the
Register as a Bank hereunder for all purposes of the Loan Documents. The
Register shall be available for inspection by the Borrower or any Bank at any
reasonable time and from time to time upon reasonable prior notice.

      (d) Upon its receipt of an Assignment and Acceptance executed by an
assigning Bank, together with any Note subject to such assignment and a
processing fee of $2,500, the Agent, if such Assignment and Acceptance has been
completed shall (i) accept such Assignment and Acceptance; (ii) record the
information contained therein in the Register; and (iii) give prompt notice
thereof to the Borrower. Simultaneously upon its receipt of such notice, the
Borrower at its own expense, shall execute and deliver to the Agent in exchange
for each surrendered Note a new Note payable to the order of such Assignee in an
amount equal to the Commitment assumed by it pursuant to such Assignment and

                                      -47-
<PAGE>
Acceptance and, if the assigning Bank has retained Commitments hereunder, new
Notes payable to the order of the assigning Bank in an amount equal to the
Commitments retained by it hereunder. The new Notes shall be in an aggregate
principal amount equal to the aggregate principal amount of the surrendered
Notes, shall be dated the effective date of such Assignment and Acceptance and
shall otherwise be in substantially the form of EXHIBIT F. Upon receipt by the
Agent of each such new Note conforming to the requirements set forth in the
preceding sentences, the Agent shall return to the Borrower each such
surrendered Note marked to show that each such surrendered Note has been
replaced, renewed, and extended by such new Note.

      (e) Each Bank may sell participations to one or more financial
institutions in or to all or a portion of its rights and obligations under this
Agreement (including, without limitation, all or a portion of its Commitments
and the Notes held by it), PROVIDED, HOWEVER, that an agreement in respect of a
participation hereunder may not restrict such Bank's voting rights hereunder,
other than in respect of a change in the principal of and interest on a Note,
the Collateral securing the Note and the maturity date of each such Note. A
participant holding an interest in a Note shall be entitled to the benefits of
Sections 2.07, 2.10, 3.01 and 3.03 of this Agreement; PROVIDED, FURTHER, that no
participant shall be entitled to recover under the aforedescribed provisions an
amount in excess of the proportionate share which such participant holds of the
original aggregate principal amount hereunder to which the selling Bank would
otherwise have been entitled.

      Section 10.08. LIMITATION ON AGREEMENTS. (a) All agreements between the
Borrower, the Agent, or any Bank, whether now existing or hereafter arising and
whether written or oral, are hereby expressly limited so that in no contingency
or event whatsoever, whether by reason of demand being made in respect of an
amount due under any Loan Document or otherwise, shall the amount paid, or
agreed to be paid, to the Agent or any Bank for the use, forbearance, or
detention of the money to be loaned under this Agreement, the Notes or any other
Loan Document or otherwise or for the payment or performance of any covenant or
obligation contained herein or in any other Loan Document exceed the Highest
Lawful Rate. If, as a result of any circumstances whatsoever, fulfillment of any
provision hereof or of any of such documents, at the time performance of such
provision shall be due, shall involve transcending the limit of validity
prescribed by applicable usury law, then, IPSO FACTO, the obligation to be
fulfilled shall be reduced to the limit of such validity, and if, from any such
circumstance, the Agent or any Bank shall ever receive interest or anything
which might be deemed interest under applicable law which would exceed the
Highest Lawful Rate, such amount which would be excessive interest shall be
applied to the reduction of the principal amount owing on account of such Bank's
Note or the amounts owing on other obligations of the Borrower to the Agent or
any Bank under any Loan Document and not to the payment of interest, or if such
excessive interest exceeds the unpaid principal balance of any Note and the
amounts owing on other obligations of the Borrower to the Agent or any Bank
under any Loan Document, as the case may be, such excess shall be refunded to
the Borrower. All sums paid or agreed to be paid to the Agent or any Bank for
the use, forbearance, or detention of the indebtedness of the Borrower to the
Agent or any Bank shall, to the extent permitted by applicable law, be
amortized, prorated, allocated, and spread throughout the full term of such
indebtedness until payment in full of the principal (including the period of any
renewal or extension thereof) so that the interest on account of such
indebtedness shall not exceed the Highest Lawful Rate. Notwithstanding anything
to the contrary contained in any Loan Document, it is understood and agreed that
if at any time the rate of interest which accrues on the outstanding principal
balance of any Note shall exceed the Highest Lawful Rate, the rate of interest
which accrues on the outstanding principal balance of any Note shall be limited
to the Highest Lawful Rate, but any

                                      -48-
<PAGE>
subsequent reductions in the rate of interest which accrues on the outstanding
principal balance of any Note shall not reduce the rate of interest which
accrues on the outstanding principal balance of any Note below the Highest
Lawful Rate until the total amount of interest accrued on the outstanding
principal balance of any Note equals the amount of interest which would have
accrued if such interest rate had at all times been in effect. The terms and
provisions of this Section 10.08 shall control and supersede every other
provision of all Loan Documents.

      (b) The Agent, the Banks and the Borrower agree that (i) if Article
5069-1.04 of the Texas Revised Civil Statutes Annotated, as amended, is
applicable to the determination of the Highest Lawful Rate, the indicated rate
ceiling computed from time to time pursuant to Section (a) of such Article shall
apply, PROVIDED that, to the extent permitted by such Article, the Agent may
from time to time by notice to the Borrower revise the election of such interest
rate ceiling as such ceiling affects the then current or future balances of the
Advances; and (ii) the provisions of Chapter 15 of Title 79 of the Texas Revised
Civil Statutes Annotated, as amended, shall not apply to this Agreement or any
Note.

      Section 10.09. SEVERABILITY. In case any one or more of the provisions
contained in any Loan Document or in any instrument contemplated thereby, or any
application thereof, shall be invalid, illegal, or unenforceable in any respect,
the validity, legality, and enforceability of the remaining provisions contained
therein, and any other application thereof, shall not in any way be affected or
impaired thereby. Each covenant contained in any Loan Document shall be
construed (absent an express contrary provision herein) as being independent of
each other covenant contained therein, and compliance with any one covenant
shall not (absent such an express contrary provision) be deemed to excuse
compliance with one or more other covenants.

      Section 10.10. GOVERNING LAW. This Agreement and the Notes shall be
governed by, and construed in accordance with, the laws of the State of Texas.

      Section 10.11. SUBMISSION TO JURISDICTION; WAIVERS. THE BORROWER
IRREVOCABLY AND UNCONDITIONALLY:

      (a) SUBMITS FOR ITSELF AND ITS PROPERTY IN ANY LEGAL ACTION OR PROCEEDING
RELATING TO THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT OR FOR RECOGNITION AND
ENFORCEMENT OF ANY JUDGMENT IN RESPECT THEREOF, TO THE NON-EXCLUSIVE GENERAL
JURISDICTION OF THE COURTS OF THE STATE OF TEXAS, THE COURTS OF THE UNITED
STATES OF AMERICA FOR THE SOUTHERN DISTRICT OF TEXAS, AND APPELLATE COURTS FROM
ANY THEREOF;

      (b) WAIVES ANY OBJECTION THAT IT MAY NOW OR HEREAFTER HAVE TO THE VENUE OF
ANY SUCH ACTION OR PROCEEDING IN ANY SUCH COURT OR THAT SUCH PROCEEDING WAS
BROUGHT IN AN INCONVENIENT COURT AND AGREES NOT TO PLEAD OR CLAIM THE SAME;

      (c) AGREES THAT SERVICE OF PROCESS IN ANY SUCH LEGAL ACTION OR PROCEEDING
MAY BE EFFECTED BY MAILING OF A COPY THEREOF (BY REGISTERED OR CERTIFIED MAIL OR
ANY SUBSTANTIALLY SIMILAR FORM OF MAIL POSTAGE PREPAID) TO THE BORROWER AT THE
ADDRESS SPECIFIED IN SECTION 10.02 OR AT SUCH OTHER

                                      -49-
<PAGE>
ADDRESS OF WHICH THE AGENT OR ANY BANK SHALL HAVE BEEN NOTIFIED IN WRITING
PURSUANT TO SECTION 10.02.

      (d) NOTWITHSTANDING THE FOREGOING, NOTHING HEREIN SHALL IN ANY WAY AFFECT
THE RIGHT OF THE AGENT OR ANY BANK OR THE BORROWER TO BRING ANY ACTION ARISING
OUT OF OR RELATING TO THE NOTES OR THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT IN
ANY COMPETENT COURT ELSEWHERE HAVING JURISDICTION OVER THE BORROWER, THE AGENT
OR ANY BANK, AS THE CASE MAY BE, OR ITS PROPERTY.

      Section 10.12. WAIVER OF JURY TRIAL. EACH OF THE BORROWER, THE AGENT AND
THE BANKS HEREBY IRREVOCABLY WAIVES ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY
LEGAL PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE
TRANSACTIONS CONTEMPLATED HEREBY.

      Section 10.13. EXECUTION IN COUNTERPARTS. This Agreement may be executed
in any number of counterparts and by different parties hereto in separate
counterparts, each of which when so executed shall be deemed to be an original
and all of which taken together shall constitute one and the same agreement.

      Section 10.14. NO INSOLVENCY PETITION AGAINST BORROWER. Each of the Agent
and the Banks hereby covenants and agrees that, prior to the date which is one
year and one day after the payment in full of the Notes and termination of the
Commitments, it will not institute against, or join any other Person in
instituting against, the Borrower any bankruptcy, reorganization, arrangement,
insolvency or liquidation proceedings, or other proceedings under any federal or
state bankruptcy or similar law. This Section 10.14 shall survive the
termination of this Agreement.

      Section 10.15. INDEMNIFICATION. The Borrower shall indemnify the Agent,
the Banks and each affiliate thereof and their respective directors,
stockholders, officers, partners, employees, agents, attorneys, consultants,
representatives, successors, transferees and assignees from, and hold each of
them harmless against, any and all losses, liabilities, claims or damages to
which any of them may become subject, as a result of the existence, performance
or enforcement of this Agreement, the other Loan Documents and the transactions
contemplated thereby, the Receivables Documents, the Commitments or the
Advances, including without limitation such losses, liabilities, claims or
damages arising out of or resulting from any actual or proposed use by the
Borrower of the proceeds of any extension of credit by any Bank hereunder or
breach by the Borrower of this Agreement or any other Loan Document or breach by
First Investors of the Pledge Agreement or breach by the Servicer of the
Servicing Agreement or from any investigation, litigation or other proceeding
(including any threatened investigation or proceeding) relating to the
foregoing, and the Borrower shall reimburse the Agent, and each Bank, and each
Affiliate thereof and their respective directors, stockholders, officers,
partners, employees, agents, attorneys, consultants, representatives,
successors, transferees and assignees, upon demand for any reasonable expenses
(including reasonable legal fees) incurred in connection with any such
investigation or proceeding, regardless of whether resulting from the sole,
concurrent or comparative negligence of the indemnified Person, but excluding
any such losses, liabilities, claims damages or expenses incurred by such Person
by reason of the gross negligence or willful misconduct of such Person, PROVIDED
that it is

                                      -50-
<PAGE>
the intention of the Borrower to indemnify the indemnified Person against the
consequences of its own negligence.

      Section 10.16. SERVICING. In the event of a Servicer Termination Event (as
defined in the Servicing Agreement) pursuant to Section 5.01 of the Servicing
Agreement, the Borrower shall upon the written direction of the Agent, or may
with the consent of the Agent, exercise the Borrower's rights of termination
thereunder. The Agent shall also have the right to remove the Servicer for
cause, which shall include the material breach of any obligation or covenant
under the Servicing Agreement. Upon termination of the Servicer pursuant to
Section 5.02 of the Servicing Agreement, the Borrower, acting upon the written
direction of the Agent, shall appoint a successor Servicer and enter into a
servicing agreement in form and substance acceptable to the Agent, with such
successor Servicer acceptable to the Agent at such time.

      Section 10.17. FINAL AGREEMENT. THIS WRITTEN AGREEMENT AND THE NOTES AND
THE OTHER LOAN DOCUMENTS REPRESENT THE FINAL AGREEMENT BETWEEN THE PARTIES AND
MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS, OR SUBSEQUENT
ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN
THE PARTIES.

      Section 10.18 AMENDMENT AND RESTATEMENT. This Agreement shall constitute
an amendment and restatement in its entirety of the Original Credit Agreement.
From and after the Closing Date, all indebtedness, liabilities, obligations,
security interests and liens arising under the Original Credit Agreement or any
Loan Documents referred to therein are hereby deemed to be renewed and
continued, and not novated, extinguished, discharged or satisfied, and are
hereafter evidenced by and governed in accordance with this Agreement and the
other Loan Documents. All references in the Loan Documents referred to in the
Original Credit Agreement to the Original Credit Agreement shall be deemed to
mean this Agreement, as an amendment and restatement of the Original Credit
Agreement.

                                      -51-
<PAGE>
      IN WITNESS WHEREOF, the parties hereto, by their officers duly authorized,
have executed this Agreement as of the date first above written.

                                    F.I.R.C., INC., a Delaware corporation

                                    By:___________________________________
                                    Tommy A. Moore, Jr.
                                    President

Note Face Principal                 BANK OF AMERICA, N.A., in its
Amount:  $30,000,000                individual capacity as a Bank and as Agent

Domestic Lending Office:
901 Main Street
Dallas, Texas 75201                 By:___________________________________

LIBOR Lending Office:
901 Main Street
Dallas, Texas 75201

Note Face Principal                 FIRST UNION NATIONAL BANK
Amount: $20,000,000

Domestic Lending Office:
____________________

____________________                By:___________________________________

LIBOR Lending Office:
____________________

____________________

Note Face Principal                 WELLS FARGO BANK TEXAS,
Amount: $15,000,000                 NATIONAL ASSOCIATION

Domestic Lending Office:
P.O. Box 4195
Portland, Oregon 97208-4195         By:___________________________________

LIBOR Lending Office:
P.O. Box 4195
Portland, Oregon 97208-4195

     [Signature Page - Amended and Restated Credit Agreement - Page 1 of 1]
<PAGE>
                                    EXHIBIT A

                                 ALPI INSURANCE

                                    Attached.

                                      B-1
<PAGE>
                                    EXHIBIT B

                                     FORM OF
                             COMPLIANCE CERTIFICATE

      Pursuant to the Second Amended and Restated Credit Agreement dated as of
November 15, 2000 (as amended, supplemented or otherwise modified from time to
time, the "Agreement", the terms defined therein being used herein as therein
defined) by and among F.I.R.C., Inc. (the "Borrower"), Bank of America, N.A., as
Agent (the "Agent"), and certain financial institutions now or hereafter a party
thereto (the "Banks"), I, Tommy A. Moore, Jr. do hereby certify to the Agent and
each of the Banks that I am the duly elected, qualified and acting President of
the Borrower, and do hereby further certify to the Agent and each of the Banks
as follows:

1.    The Borrower has fulfilled its obligations under the Agreement and all
      representations and warranties made in the Loan Documents continue to be
      true and correct, except to the extent that such representations and
      warranties relate solely to an earlier date.

2.    No Default or Event of Default has occurred or is continuing with respect
      to the terms and conditions of the Agreement or any other Loan Document.

3.    The aggregate outstanding principal balance of the Advances (both before
      and after giving effect to the Distributions to be made on the next
      Distribution Date) does not and will not exceed the Available Amount.

4.    The following calculations of the following covenants are true and correct
      as of ____________, 199__, [INSERT PRECEDING DETERMINATION DATE] and are
      based upon the terms and conditions contained in the Agreement.

5.    SECTION 7.13(A)  EARNINGS COVERAGE RATIO

                         MONTH ENDED

                                                                     TOTAL
                         [____, 200_]  [____,200_]  [____, 200_]     3 MOS.

(A)  Interest collected   __________    __________   __________    __________
(B)  Late Fees            __________    __________   __________    __________
(C)  Other Cash Income    __________    __________   __________    __________

(D) Subtotal
    ((A)+(B)+(C))                                                  __________

(E)  Servicer fees
(F)  Bank Collateral
     Agent Fees           __________    __________   __________    __________
(G)  Costs of
     repossession         __________    __________   __________    __________
(H)  Other expenses       __________    __________   __________    __________

                                      B-2
<PAGE>
                         MONTH ENDED

                                                                     TOTAL
                         [____, 200_]  [____,200_]  [____, 200_]     3 MOS.

(I)  Subtotal
    ((E)+(F)+(G)+(H))                                              __________

(J)  Earnings before
     Interest and
     Distributions (D)-(I)                                         __________

(K)  Loan Interest
     Expense              __________    __________   __________    __________

Ratio of Earnings before
Interest and
Distributions to
Loan Interest Expense
(J)/(K)                                                            __________

Minimum Required Ratio:                                            1.40

Compliance:                                                        Yes/No

6.    SECTION 7.13(B)  CREDIT LOSS PERCENTAGE AND INCREMENTAL RESERVE

                          MONTH ENDED

                                                                     TOTAL
                        [__, 200_] [__, 200_][__, 200_] [__, 200_] 4 MOS. X 3

(A) Actual Credit Losses: ________  ________  ________  ________   __________

                                                                       4 MOS.
                                                                      AVERAGE

(B)  Receivable Portfolio
     Balance:             ________  ________  ________  ________   __________

(C)  Credit Loss
     Percentage
     (A)/(B):                                                      __________

Maximum Credit Loss
Percentage:                                                        5.0%

Compliance:                                                        Yes/No

Incremental Reserve
Percentage ((C)-3.0%):                                             ________

                                      B-3
<PAGE>
7.    SECTION 7.13(C)  DELINQUENT RECEIVABLES

                                       MONTH ENDED                   3 MOS.
                         [____, 200__] [____, 200__] [____, 200__]  AVERAGE

(A) Number of Delinquent
    Receivables            __________   __________    __________    __________

(B)  Number of Receivables __________   __________    __________    __________

Ratio of Average
Delinquent
Receivables to Average
Number of Receivables
((A)/(B)):                                                          __________

Maximum ratio of
Delinquent Receivables:                                           8.5%

Compliance:                                                       Yes/No

8.    SECTIONS 7.01-7.12, 7.14, 7.15:  [REPORT ANY NON-COMPLIANCE]

9.    SECTION 8.01(K):  UNINSURED CREDIT LOSSES

Aggregate Uninsured Credit
Losses for prior 12 months: _______________

Maximum Uninsured Credit
Losses for prior 12 months:   $50,000

Compliance:                   Yes/No

10.   BORROWING BASE COMPUTATION AS OF __________, 200__:

Receivable Portfolio Balance: _______________
Less:  Ineligible Receivables:_______________

(A)   Eligible Receivables:   _______________

(B)   Loans in Transit:       _______________

Total Borrowing Base
 ((A) + (B)):                 ===============

                                      B-4
<PAGE>
Available Amount (lesser of
Commitment or Total
Borrowing Base):

Aggregate outstanding principal
balance of the Advances:      _______________
 Less: Distributions to be
 applied to Principal:        _______________
 Aggregate outstanding principal
 balance of the Advances after
 Distributions:
                              ===============

Available Amount Compliance
after Distributions:          Yes/No

IN WITNESS WHEREOF, I have executed this Compliance Certificate in the name and
on behalf of Borrower this _____ day of ____________, 200__.

                                    F.I.R.C., INC.

                                    By:
                                    Name:
                                    Title:

                                      B-5
<PAGE>
                                    EXHIBIT C

                                   [RESERVED]

                                       C-1
<PAGE>
                                    EXHIBIT E

                                     FORM OF
                               NOTICE OF BORROWING

                                                        _______________, 20___

Bank of America, N.A.,
  as Agent for the Banks
  party to the Credit Agreement defined below

Attention:______________________

Ladies and Gentlemen:

      The undersigned, F.I.R.C., Inc., a Delaware corporation (the "Borrower"),
refers to that certain Second Amended and Restated Credit Agreement dated as of
November 15, 2000 (as amended, supplemented or otherwise modified from time to
time, the "Credit Agreement", the terms defined therein being used herein as
therein defined), among the Borrower, certain financial institutions now or
hereafter party thereto (the "Banks"), and Bank of America, N.A., as Agent (the
"Agent") and hereby gives you notice, irrevocably, pursuant to Section 2.02 of
the Credit Agreement that the Borrower hereby requests a Borrowing under the
Credit Agreement, and in that connection sets forth below the information
relating to such Borrowing (the "Proposed Borrowing") as required by Section
2.02(a) of the Credit Agreement:

      (i)   The  Business Day of the Proposed Borrowing is ____________, 20__.

      (ii) The Type of Loan(s) comprising the Proposed Borrowing is: [BASE
RATE][LIBOR RATE][AGREED RATE].

      (iii) The aggregate amount of the Proposed Borrowing is $______________.

      [(IV) THE INITIAL INTEREST PERIOD FOR EACH [LIBOR RATE][AGREED RATE]
ADVANCE COMPRISING THIS PROPOSED BORROWING IS: __________________________.]

      The Borrower hereby certifies that the following statements are true on
the date hereof, and will be true on the date of the Proposed Borrowing:

      (A) The representations and warranties contained in Article V of the
Credit Agreement are true and correct before, and will be true and correct after
giving effect to, the Proposed Borrowing and to the application of the proceeds
therefrom, as though made on and as of such date, except to the extent that such
representations and warranties relate solely to an earlier date;

      (B) No Default or Event of Default has occurred and is continuing, or
would result from such Proposed Borrowing or from the application of the
proceeds therefrom;

                                       E-1
<PAGE>
      (C) Credit Insurance is in full force and effect for all Receivables and
for the Receivables to be purchased with the proceeds of the Proposed Borrowing;

      (D) The aggregate outstanding principal amount of the Advances after
giving effect to the Proposed Borrowing does not exceed the Available Amount;
and

      (E) All Receivables to be purchased with the proceeds of the Proposed
Borrowing constitute Eligible Receivables.

                                    F.I.R.C., INC., a Delaware corporation

                                    By:
                                    Name:
                                    Title:

                                      E-2
<PAGE>
                                    EXHIBIT F

                                     FORM OF
                              AMENDED AND RESTATED
                                  FACILITY NOTE

$                               Houston, Texas    _____________________, 20___

            FOR VALUE RECEIVED, F.I.R.C., INC., a Delaware corporation (together
with its successors, the "Borrower"), hereby promises to pay to the order of
__________________ (the "Bank"), at the office of _____________________________,
the principal sum of ____________ DOLLARS ($_____________) (or such lesser
amount as shall equal the aggregate unpaid principal amount of Advances made by
the Bank to the Borrower under the Credit Agreement referred to below), in
lawful money of the United States of America and in immediately available funds,
on the date(s) and in the principal amount(s) provided in the Credit Agreement
(as defined below) and to pay interest on the unpaid principal amount of each
such Advance, at such office, in like money and funds, for the period commencing
on the date of such Advance until such Advance shall be paid in full, at the
rates per annum and on the dates provided in the Credit Agreement. This Note is
one of the Notes referred to in the Credit Agreement, and, to the extent and
subject to the conditions set forth in the Credit Agreement, the Advances
evidenced by this Note may be borrowed, repaid and reborrowed.

            The Bank is hereby authorized by the Borrower to endorse on the
schedule (or a continuation thereof) attached to this Note, the amount and date
of each Advance made by the Bank to the Borrower under the Credit Agreement, and
the amount and date of each payment or prepayment of principal of such Advance
received by the Bank, PROVIDED that any failure by the Bank to make any such
endorsement shall not affect the obligations of the Borrower under the Credit
Agreement or under this Note in respect of such Advances.

            This Note is one of the Notes referred to in the Second Amended and
Restated Credit Agreement dated as of November 15, 2000 (as may be further
amended, restated, modified and supplemented and in effect from time to time,
the "CREDIT AGREEMENT"; capitalized terms used in this Note and not otherwise
defined have the respective meanings assigned to them in the Credit Agreement)
among the Borrower, the financial institutions named therein (including the
Bank) and Bank of America, N.A. as Agent, and evidences the Advances made by the
Bank thereunder and is issued in replacement of that certain Facility Note dated
October 30, 1996, executed by Maker and made payable to the Bank (the "PRIOR
Note"). Nothing herein contained shall be construed (a) to be a novation of the
Prior Note or (b) to release, cancel, terminate or otherwise impair the status
or priority of the liens or security for the Prior Note. Further, the Borrower
acknowledges and agrees that this Note shall not be considered a new contract,
and that all rights, titles, powers, liens, security interests and estates
created by or under any security document or other agreement executed in
connection with the Credit Agreement or securing the Prior Note shall continue
without interruption in full force and effect.] This Note is secured by the
Security Agreement and the Pledge Agreement.

                                       F-1
<PAGE>
            The Credit Agreement, among other things, provides for the
acceleration of the maturity of this Note upon the occurrence of certain events
and for prepayments of Advances upon the terms and conditions specified therein.

            This Note shall be governed by and construed in accordance with the
laws of the State of Texas (without regard to conflicts of law principles).

                                    F.I.R.C., INC., a Delaware corporation

                                    By:    ___________________________________
                                    Name:  ___________________________________
                                    Title: ___________________________________

                                      F-2
<PAGE>
                                    SCHEDULE

This Note evidences Advances made under the within described Credit Agreement to
the Borrower in the principal amounts set forth below, which Advances were made
on the dates set forth below, subject to the payments and prepayments of
principal set forth below:

              PRINCIPAL AMOUNT  DATE OF PAYMENT   AMOUNT PAID     BALANCE
  DATE MADE      OF ADVANCE      OR PREPAYMENT     OR PREPAID   OUTSTANDING
-----------------------------------------------------------------------------

                                      F-3
<PAGE>
                                    EXHIBIT H

                                     FORM OF

                                 F.I.R.C., INC.
 WELLS FARGO BANK MINNESOTA, NATIONAL ASSOCIATION, AS BANK COLLATERAL AGENT FOR
                         THE LOAN AGENT AND THE BANKS
                            DISBURSEMENT STATEMENT

Collection Period:
Distribution Date:

DEPOSITS TO COLLATERAL ACCOUNT
1.  Payments on contracts (net chargebacks)                             ______
2.  Liquidation proceeds                                                ______
3.  Amount of Purchased Receivables                                     ______
4.  Servicing Fee                                                      (______)
5.  Amounts reimbursed to Servicer                                     (______)
        Total Deposits to Collateral Account                            ______

DISBURSEMENTS FROM COLLATERAL ACCOUNT
1.  Servicing Fee and reimbursements (to extent not retained in
    Item 4. above)                                                      ______
2.  Bank Collateral Agent Fee                                           ______
3.  Interest on Advances due to Loan Agent                              ______
4.  Principal proceeds due to Loan Agent                                ______
5.  Payment of interest rate swap due to Bank of America                ______
6.  Other amounts due to Loan Agent                                     ______
      Total Disbursements from Collateral Account                       ______

      REMAINDER (RESERVE FUND DRAW)                                     ______
+     Excess Over (Amount to Restore) Specified Collateral
      Account Balance (SEE CALCULATION BELOW)                           ______
-     Transfer excess amount deposited in Collateral Account to Grantor ______
+     Amounts deposited in Collateral Account per Section 5.1(a)(xi) of
      Enterprise Agreement                                              ______

      TOTAL DUE TO GRANTOR
                                                                        ======

SPECIFIED COLLATERAL ACCOUNT BALANCE CALCULATION
Base Level Collateral Account Balance                                   ______
Incremental Reserve Amount                                              ______
      Specified Collateral Account Balance                              ______
      Current Collateral Account Balance (PRIOR TO DISTRIBUTION)        ______
      (Excess Over) Amount to Restore Specified Collateral
      Account Balance                                                   ======

                                      H-1
<PAGE>
DOCUMENTS ATTACHED:
1.    Servicer Certificate
2.    Grantor Compliance Certificate
3.    Loan Agent Loan Calculation

                                      H-2
<PAGE>
                                     FORM OF
                                  ATTACHMENT 1
                                       TO
                 BANK COLLATERAL AGENT'S DISBURSEMENT STATEMENT

                   Servicer's Certificate - Bank of America
                   Reporting Month - _______________, 20___
                  Determination Date - _______________, 20___

                            *****SCHEDULED BASIS*****

Principal Portion of Amount Collected                    $
                                                          --------------------

Interest Portion of Amount Collected
                                                          --------------------

Other Portion of Amount Collected
                                                          --------------------

Late Charges Collected
                                                          --------------------

Liquidation Proceeds
                                                          --------------------

      Total Amount Received and Processed
                                                          --------------------

      Less: Service Fees
                                                          --------------------

      Less: Reimbursable Expenses
                                                          --------------------

      AMOUNT OF REMITTANCE TO BANK COLLATERAL AGENT      $
                                                          --------------------

Aggregate Principal Balance of Receivables as of Determination Date$

                                    Signed:
                                            Accounting Specialist

                                       H-3EXHIBIT 10.81

                           THIRD AMENDED AND RESTATED
                          COLLATERAL SECURITY AGREEMENT

      THIS THIRD AMENDED AND RESTATED COLLATERAL SECURITY AGREEMENT (as the same
may be amended, modified, renewed or extended from time to time, this
"Agreement") dated as of November 15, 2000, is made by F.I.R.C., Inc., a
Delaware corporation (the "GRANTOR"), with Wells Fargo Bank Minnesota, National
Association, a national banking association, as collateral and paying agent
(f/k/a Norwest Bank Minnesota, National Association, the "BANK COLLATERAL
AGENT"), for the ratable benefit of Bank of America, N.A. (successor in interest
to NationsBank, N.A., "BANK OF AMERICA"), as the agent for the Banks (as defined
below) under the Credit Agreement referred to below (hereinafter referred to as
the "LOAN AGENT") and the financial institutions listed on the signature pages
of and any other financial institution that may thereafter become a party to the
Credit Agreement referred to below (hereinafter collectively referred to as the
"BANKS").

                                   WITNESSETH:

      WHEREAS, the Grantor, the Loan Agent, and the Banks entered into that
certain Second Amended and Restated Credit Agreement dated as of November 15,
2000 (as may be amended, modified, renewed or extended from time to time, the
"CREDIT AGREEMENT"), pursuant to which the Banks will make revolving loans (the
"LOANS") to the Grantor from time to time; and

      WHEREAS, the Grantor will acquire certain Receivables (as defined in the
Credit Agreement) with the Loans advanced under the Credit Agreement; and

      WHEREAS, the Grantor previously entered into that certain Second Amended
and Restated Collateral Security Agreement, dated as of June 25, 1999 (the
"PRIOR SECURITY AGREEMENT"), granting to Wells Fargo Bank Minnesota, National
Association (f/k/a Norwest Bank Minnesota, National Association), for the
ratable benefit of the Loan Agent and the Banks, a security interest in, among
other things, the Receivables; and

      WHEREAS, it is a condition precedent to the effectiveness of the Second
Amended and Restated Credit Agreement that the Grantor enter into this Agreement
to amend and restate the Prior Security Agreement.

      NOW, THEREFORE, for and in consideration of the premises and the mutual
covenants herein set forth and other good and valuable consideration, the
receipt and adequacy of which are hereby acknowledged, and in order to induce
the Banks to enter into the Second Amended and Restated Credit Agreement and to
make the Loans, the Grantor, the Bank Collateral Agent, the Loan Agent and the
Banks hereby agree as follows:

      SECTION 1. DEFINITIONS. Unless the context clearly requires otherwise, all
initially capitalized terms defined in the Credit Agreement and not otherwise
defined herein shall have the meanings provided therein. In addition, unless the
context clearly requires otherwise, the following terms shall have the following
meanings:

      "ACTUAL CREDIT LOSSES" has the meaning set forth in the Credit Agreement.
<PAGE>
      "BASE LEVEL COLLATERAL ACCOUNT BALANCE" means, with respect to any
Distribution Date, an amount equal to the greater of (a) the Initial Deposit or
(b) one percent (1%) of the most recently determined Receivable Portfolio
Balance.

      "COLLATERAL" shall have the meaning specified in Section 6.

      "COLLATERAL ACCOUNT" shall have the meaning specified in Section 2.

      "COLLATERAL ACCOUNT PROPERTY" shall have the meaning specified in
 Section 2.

      "CORPORATE TRUST OFFICE" means the office of the Bank Collateral Agent at
which its corporate trust business shall be administered, which office at the
date of this Agreement shall be as set forth in Section 34 hereof.

      "CREDIT LOSS PERCENTAGE" has the meaning set forth in the Credit
Agreement.

      "CUSTODIAN FILES" shall have the meaning specified in Section 17.

      "DELIVERY" when used with respect to Collateral Account Property means:

            (a) with respect to bankers' acceptances, commercial paper,
      negotiable certificates of deposit and other obligations that constitute
      "instruments" within the meaning of Section 9.105(a)(9) of the UCC and are
      susceptible of physical delivery, transfer thereof to the Bank Collateral
      Agent by physical delivery to the Bank Collateral Agent endorsed to, or
      registered in the name of, the Bank Collateral Agent or its nominee or
      endorsed in blank;

            (b) with respect to a "certificated security" (as defined in Section
      8.102(a)(4) of the UCC), transfer thereof (i) by physical delivery of such
      certificated security to the Bank Collateral Agent endorsed to, or
      registered in the name of, the Bank Collateral Agent or its nominee, (ii)
      by physical delivery of such certificated security to another Person,
      other than a "securities intermediary" (as defined in Section 8.102(a)(14)
      of the UCC), acting on behalf of the Bank Collateral Agent, or if such
      Person has previously acquired possession of the certificated security, by
      such Person's acknowledgment that it holds such security on behalf of the
      Bank Collateral Agent, or (iii) by physical delivery of such certificated
      security to a securities intermediary acting on behalf of the Bank
      Collateral Agent, but only if the certificate is in registered form and
      has been specially indorsed to the Bank Collateral Agent by an effective
      indorsement (all of the foregoing Collateral Account property described in
      clauses (a) and (b) of the definition of "Delivery" being referred to as
      "Physical Property") and, in any event, any such Physical Property in
      registered form shall be in the name of the Bank Collateral Agent;

            (c) with respect to any financial asset issued by the U.S. Treasury,
      the Federal Home Loan Mortgage Corporation or by the Federal National
      Mortgage Association that is a book entry financial asset held through the
      Federal Reserve System pursuant to federal book entry regulations, the
      following procedures, all in accordance with applicable law, including
      applicable federal regulations and Articles 8 and 9 of the UCC: book entry

                                       -2-
<PAGE>
      registration of such Property to an appropriate book entry account
      maintained with a Federal Reserve Bank by a securities intermediary and
      issuance by such Federal Reserve Bank of a deposit advice or other written
      confirmation of such book entry registration to the securities
      intermediary of such book entry financial asset; the sending of a
      confirmation by the securities intermediary of the purchase by the Bank
      Collateral Agent of such book entry financial asset and the making by such
      securities intermediary of entries in its books and records identifying
      such book entry financial asset held through the Federal Reserve System
      pursuant to federal book entry regulations as belonging to the Bank
      Collateral Agent acting in its capacity hereunder and indicating that such
      securities intermediary holds such Collateral Account Property solely as
      agent for the Bank Collateral Agent;

            (d) with respect to any "uncertificated security" (as defined in
      Section 8.102(a)(18) of the UCC) that is not governed by clause (c) above,
      registration thereof on the books and records of the issuer thereof (i) of
      the Bank Collateral Agent as registered owner or (ii) of another Person,
      other than an intermediary, as registered owner on behalf of the Bank
      Collateral Agent (or if such Person has previously become the registered
      owner of such security, such Person's acknowledgment that it holds such
      security on behalf of the Bank Collateral Agent); and

            (e) such additional or alternative procedures, in form and substance
      satisfactory to the Bank Collateral Agent, as may be or hereafter become
      appropriate to transfer "control" (as provided in Section 8.106 of the
      UCC) of any such Collateral Account Property to the Bank Collateral Agent,
      or otherwise to protect, assure or enforce the interests, rights and
      remedies of the Bank Collateral Agent, consistent with changes in
      applicable law or regulations or the interpretation thereof.

      "EFFECTIVE DATE" means the Initial Servicing Transfer Date as defined in
the Servicing Agreement

      "INCREMENTAL RESERVE AMOUNT" means an amount equal to (a) on any
Distribution Date when the Incremental Reserve Percentage determined as of the
preceding Determination Date is equal to or less than zero percent, zero and (b)
on any Distribution Date when the Incremental Reserve Percentage determined as
of the preceding Determination Date is greater than zero percent, the
Incremental Reserve Percentage times the Receivable Portfolio Balance.

      "INCREMENTAL RESERVE PERCENTAGE" means, on any Determination Date, a
percentage equal to the Credit Loss Percentage MINUS 3.00%.

      "INITIAL DEPOSIT" means the amount transferred into or currently in the
Collateral Account on the Effective Date.

      "LIQUIDATED RECEIVABLE" has the meaning set forth in the Credit Agreement.

      "LOAN CALCULATION" has the meaning specified in Section 5.

      "LOAN PERCENTAGE" has the meaning set forth in the Credit Agreement.

                                       -3-
<PAGE>
      "OBLIGATIONS" has the meaning specified in Section 7.

      "PERMITTED INVESTMENTS" shall have the meaning provided in Section 4.

      "PHYSICAL PROPERTY" has the meaning assigned to such term in the
definition of "Delivery" above.

      "PRINCIPAL BALANCE" has the meaning set forth in the Credit Agreement.

      "PURCHASED RECEIVABLE" means a Receivable repurchased as of the respective
Determination Date by First Investors pursuant to the Purchase Agreement.

      "RECEIVABLE PORTFOLIO BALANCE" has the meaning set forth in the Credit
Agreement.

      "SERVICING FEE" has the meaning specified in Section 2.08 of the Servicing
Agreement.

      "SIMPLE INTEREST METHOD" means the method of allocating a fixed level
payment to principal and interest, pursuant to which the portion of such payment
that is allocated to interest is equal to the product of the fixed rate of
interest multiplied by the unpaid principal balance multiplied by the period of
time elapsed since the preceding payment of interest was made.

      "SPECIFIED COLLATERAL ACCOUNT BALANCE" means, with respect to any
Distribution Date, an amount equal to the sum of (a) the Base Level Collateral
Account Balance plus (b) the Incremental Reserve Amount (if any).

      "UCC" means the Uniform Commercial Code as in effect in any applicable
jurisdiction.

      "WELLS FARGO" shall have the meaning specified in Section 19.

      SECTION 2. ESTABLISHMENT AND MAINTENANCE OF COLLATERAL ACCOUNT.

            (a) On or prior to the Effective Date, the Bank Collateral Agent
      shall establish a separate trust account (the "COLLATERAL ACCOUNT") with
      Wells Fargo's "trust department" (as that term is defined in 12 C.F.R. ss.
      9. 1(j)) and, except as may be permitted by applicable law including 12
      C.F.R. ss. 9.18, at all times segregated, separate and distinct from (i)
      any and all other property or assets Wells Fargo holds, administers,
      maintains, or manages for others in a fiduciary or other capacity or
      otherwise owned by others and the accounts established therefor, and (ii)
      all properties or assets owned by, on deposit with, held by, or in
      possession of, or controlled by, Wells Fargo, whether as part of its
      commercial banking or savings activities or otherwise and the accounts
      established therefor. The Bank Collateral Agent shall maintain all records
      concerning the Collateral Account as "fiduciary records" as defined in 12
      C.F.R. ss. 9.1(d), separate and distinct from all other records of Wells
      Fargo. The Collateral Account shall be styled upon the fiduciary records
      of Wells Fargo as "Wells Fargo Bank Minnesota, National Association, as
      Bank Collateral Agent for Bank of America, N.A., as agent for the Banks,
      under Second Amended and Restated Credit Agreement dated as of November
      15, 2000, as the same may be amended."

                                       -4-
<PAGE>
            (b) On the Effective Date, the Grantor shall deposit or continue the
      Initial Deposit into the Collateral Account. The Grantor hereby sells,
      conveys and transfers to the Bank Collateral Agent and its successors and
      assigns, in its capacity as agent, the Initial Deposit and all proceeds
      thereof, and all other amounts deposited into the Collateral Account
      pursuant hereto (all of the foregoing, subject to the limitations set
      forth below, the "COLLATERAL ACCOUNT PROPERTY"), to have and to hold all
      the aforesaid property, rights and privileges unto the Bank Collateral
      Agent, its successors and assigns, in trust for the uses and purposes and
      subject to the terms and provisions, set forth herein. The Bank Collateral
      Agent by execution of this Agreement acknowledges such transfer and
      accepts the trust thereunder and shall hold and distribute the Collateral
      Account Property in accordance with the terms and provisions of this
      Agreement.

            (c) The Collateral Account shall constitute a trust account held by
      the Bank Collateral Agent solely for the benefit of the Loan Agent and the
      Banks, subject to the terms and conditions of this Agreement. Except as
      set forth in Section 12 hereof, the Grantor shall have no legal, equitable
      or beneficial interest in the Collateral Account, which shall be within
      the sole dominion and control of the Bank Collateral Agent for the benefit
      of the Loan Agent and the Banks. The Collateral Account shall be
      segregated on the books and records of the Bank Collateral Agent pursuant
      to subsection (a) hereof, and, to the extent permitted under applicable
      laws, the funds deposited therein shall not be subject to, and shall be
      protected from, all claims, liens, and encumbrances of any creditors or
      depositors of the Bank Collateral Agent (whether made directly or
      indirectly through a liquidator or receiver of the Bank Collateral Agent).
      With respect to the Collateral Account and the funds deposited therein,
      the Loan Agent and the Banks shall be entitled to the priorities afforded
      to the beneficiaries of such a trust account (in addition to the claim
      against the estate of the Bank Collateral Agent) as provided by Section
      92a(e) of Title 12 of the United States Code.

      SECTION 3. DEPOSITS INTO THE COLLATERAL ACCOUNT. Such deposits shall be
made by wire transfer of immediately available funds in accordance with
instructions provided by the Bank Collateral Agent. The Bank Collateral Agent
shall accept the amounts deposited into the Collateral Account pursuant to
Section 5 hereof and hold, invest, release and distribute same in the manner
specified in Sections 4 and 5 hereof.

            (a) Any Collateral Account Property that is held in deposit or trust
      accounts shall be held solely in the name of the Bank Collateral Agent in
      the Corporate Trust Office. Each such account and Collateral Account
      Property shall be subject to the exclusive custody and control of the Bank
      Collateral Agent, and the Bank Collateral Agent shall have sole signature
      authority with respect thereto.

            (b) Any Collateral Account Property that constitutes Physical
      Property shall be delivered to the Bank Collateral Agent in accordance
      with clauses (a) and (b) of the definition of "Delivery" and shall be
      held, pending maturity or disposition, solely by the Bank Collateral Agent
      or another Person referred to and holding in the manner described in
      subclause (ii) or (iii) of such clause (b).

                                       -5-
<PAGE>
            (c) Any Collateral Account Property that is a book entry financial
      asset held through the Federal Reserve System pursuant to federal book
      entry regulations shall be delivered in accordance with clause (c) of the
      definition of "Delivery" and shall be maintained by the Bank Collateral
      Agent, pending maturity or disposition, through continued book entry
      registration of such Collateral Account Property as described in such
      paragraph.

            (d) Any Collateral Account Property that is an "uncertificated
      security" under Chapter 8 of the UCC and that is not governed by
      subsection (c) above shall be delivered to the Bank Collateral Agent in
      accordance with clause (d) of the definition of "Delivery" and shall be
      maintained by the Bank Collateral Agent, pending maturity or disposition,
      through continued registration of the Bank Collateral Agent's (or its
      nominee's) ownership of such security.

      SECTION 4. INVESTMENT OF AMOUNTS ON DEPOSIT IN THE COLLATERAL ACCOUNT. The
amounts from time to time on deposit in the Collateral Account shall be invested
in "PERMITTED INVESTMENTS" consisting of investments made on the basis of daily
cash sweeps in short-term investment funds utilized by the Bank Collateral Agent
for such cash sweeps which invest solely in marketable direct obligations
issued, or unconditionally guaranteed with respect to principal and interest by
the United States of America or issued by any agency or instrumentality thereof
and backed by the full faith and credit of the United States of America or in
other investments as may be permitted by the Majority Banks, in each case
maturing (or payable on demand) no later than the Distribution Date next
succeeding the date of investment. All investment earnings on amounts held in
the Collateral Account shall be credited to the Collateral Account and the
Grantor shall have no direction or control over such investment earnings. No
Permitted Investment may be disposed of prior to its maturity or required
redemption. All Permitted Investments made with amounts held in the Collateral
Account shall be made in the name of the Bank Collateral Agent and held in the
Collateral Account.

      Notwithstanding the foregoing, the Collateral Account may contain at any
time uninvested cash in an amount not to exceed the maximum amount insured by
the FDIC without giving rise to any obligation to withdraw such cash from the
Collateral Account. Realized losses, if any, on investment of the Collateral
Account Property shall be charged first against undistributed investment
earnings attributable to the Collateral Account Property and then against the
Collateral Account Property.

      SECTION 5. DEPOSITS, DISTRIBUTIONS AND WITHDRAWALS FROM THE COLLATERAL
ACCOUNT.

            (a) Pursuant to Section 3.02 of the Servicing Agreement, the
      Servicer shall remit within one Business Day after receipt thereof to the
      Collateral Account all payments made by or on behalf of Obligors (other
      than in respect of Purchased Receivables) and all Liquidation Proceeds.

            (b) Pursuant to Section 6.02 of the Purchase Agreement, the
      Servicer, the Grantor or First Investors, as the case may be, shall remit
      or cause to be remitted to the Collateral Account the aggregate Purchase
      Amount with respect to any Purchased Receivables on the Business Day
      immediately following the purchase of the Purchased Receivable.

                                       -6-
<PAGE>
            (c) The Servicer may, at any time, withhold from the amounts to be
      deposited under subsection (a) hereof, or direct the Bank Collateral Agent
      to transfer to it, (i) amounts deposited to the Collateral Account in
      error and (ii) chargebacks attributable to errors in posting, returned
      checks or rights of offset for amounts that should not have been paid or
      that must be refunded as a result of a successful claim or defense under
      bankruptcy or similar laws.

            (d) (i)(A)On or before the eighth day of each calendar month, the
      SLoan Agent shall deliver to the Bank Collateral Agent a calculation,
      which shall be conclusive absent manifest error, of the interest due and
      owing on the outstanding Advances to each Bank, and (B) at least three
      Business Days prior to each Distribution Date, the Loan Agent shall
      deliver to the Bank Collateral Agent a calculation, which shall be
      conclusive absent manifest error, of any mandatory prepayments required
      pursuant to Section 3.06 of the Credit Agreement or other amounts due and
      owing to the Loan Agent or the Banks under the Credit Agreement or the
      other Loan Documents, as of the applicable Distribution Date (such
      calculations being herein collectively referred to as the "LOAN
      CALCULATION") and (ii) on or before the fifteenth day of each calendar
      month the Grantor shall deliver to the Bank Collateral Agent a copy of the
      Compliance Certificate required to be delivered pursuant to Section
      6.02(g) of the Credit Agreement.

            (e) On each Distribution Date, the Bank Collateral Agent (based on
      the Loan Calculation and to the extent relevant, on the information
      contained in the reports delivered with respect to the related
      Distribution Date pursuant to Section 2.02(c) of the Servicing Agreement)
      shall, subject to subsection (g) hereof, make the following distributions
      from the Collateral Account in the following order or priority:

            i.    to the Bank Collateral Agent, any amounts due and owing to it
                  as set forth in Section 19(c) hereof and the Back-Up Servicing
                  Fee and conversion costs payable to the Bank Collateral Agent,
                  as the Back-Up Servicer, for periods that it serves in such
                  capacity, pursuant to Section 2.08(b) of the Servicing
                  Agreement;

            ii.   to the Servicer, (A) the Servicing Fee and all unpaid
                  Servicing Fees from prior Collection Periods and (B) any
                  amounts reimbursable to the Servicer under the Servicing
                  Agreement;

            iii.  to the Loan Agent, any amounts due and owing to it as set
                  forth on the Loan Calculation;

            iv.   PARI PASSU to (A) the Loan Agent for the account of each Bank,
                  the amounts due and owing to such Banks as set forth on the
                  Loan Calculation and (B) Bank of America, any amounts due and
                  owing by the Borrower pursuant to any interest rate swap,
                  interest rate cap or other exchange or rate protection
                  agreement now existing or hereafter entered into between the
                  Borrower and Bank of America or any Affiliate of Bank of
                  America; and

                                       -7-
<PAGE>
            v.    subject to Section 5(g) hereof, to the Grantor, the remainder,
                  if any; provided, however, that amounts otherwise
                  distributable to the Grantor under this clause (v) shall
                  instead be retained in the Collateral Account if a Default or
                  Event of Default has occurred and is continuing.

            (f) If the amount available to be distributed is less than the sum
      of the Servicing Fee due on such Distribution Date, any accrued and unpaid
      Servicing Fees from prior Collection Periods, any amounts reimbursable to
      the Servicer under the Servicing Agreement, the amounts required to be
      paid to the Bank Collateral Agent as provided in subsection (e)(i) above
      and the amounts required to be paid to the Loan Agent and the Banks as
      provided in subsections (e)(iii) and (iv) above, the Servicer, the Bank
      Collateral Agent, the Loan Agent and the Banks shall be entitled to
      receive distributions in respect of the applicable deficiency from amounts
      retained on deposit in the Collateral Account in respect of the Specified
      Collateral Account Balance. Distributions pursuant to this subsection (f)
      shall be made in the same order of priority as distributions pursuant to
      Section 5(e).

            (g) On each Distribution Date, if the amount of the Collateral
      Account (after giving effect to all payments to be made from such Account
      pursuant to Section 5(e) on such Date) is less than the Specified
      Collateral Account Balance for such Distribution Date, the Bank Collateral
      Agent, after payment of any amounts required to be distributed to the Bank
      Collateral Agent, the Loan Agent, the Banks and the Servicer pursuant to
      Section 5(f), shall withhold from amounts otherwise distributable to the
      Grantor and not otherwise distributed to the Bank Collateral Agent, the
      Loan Agent, the Banks or the Servicer all such amounts, or such lesser
      amounts as are sufficient to restore the amount in the Collateral Account
      to the Specified Collateral Account Balance. If the amount of the
      Collateral Account (after taking into account any withdrawals therefrom
      pursuant to Section 5(f)) is greater than the Specified Collateral Account
      Balance for such Distribution Date, the Bank Collateral Agent shall
      release and shall distribute the amount of the excess to the Grantor;
      provided that amounts otherwise distributable to the Grantor shall instead
      be retained in the Collateral Account if a Default or Event of Default has
      occurred and is continuing.

            (h) On the last day of any Interest Period with respect to a LIBOR
      Rate Advance or an Agreed Rate Advance and at the direction of the Loan
      Agent, the Bank Collateral Agent shall distribute amounts due and owing to
      the Banks in respect of interest on the Advances to the Loan Agent for
      distribution to the Banks.

      SECTION 6. PLEDGE AND GRANT OF SECURITY INTEREST. The Grantor hereby
pledges, transfers and assigns to the Bank Collateral Agent for the benefit of
the Loan Agent and the Banks, and grants to the Bank Collateral Agent for the
benefit of the Loan Agent and the Banks, a security interest in and to, and a
first priority lien upon, its property described in clauses (a)-(h) of this
Section 6 (the "COLLATERAL"), whether now owned or hereafter acquired,

            (a) all accounts, chattel paper and instruments, including, without
      limitation, the Receivables and all monies due thereon;

                                       -8-
<PAGE>
            (b) the Liens and security interests in the Financed Vehicles and
      any accessions thereto granted by Obligors pursuant to the Receivables;

            (c) any proceeds from claims on, and rights under, any physical
      damage, credit life, credit disability or other insurance policies
      covering Financed Vehicles or Obligors;

            (d) the Purchase Agreement, including the right of the Grantor to
      cause First Investors to repurchase Receivables from the Grantor under
      certain circumstances, and the Servicing Agreement;

            (e) all proceeds from claims on, and rights under, the ALPI
      Insurance, VSI Insurance and GAP Insurance related to the Receivables;

            (f) certain rebates of premiums and other amounts relating to
      insurance policies and other items financed under the Receivables;

            (g) all right, title and interest of the Grantor, if any, in and to
      the Collateral Account and the Escrow Account and in all funds deposited
      in such accounts from time to time, and all investments and securities
      held in such accounts in accordance with the provisions hereof and all
      rights, entitlements and benefits thereto; and

            (h) the proceeds, in cash or otherwise, of any or all of the
      foregoing (including, without limitation, the proceeds of any sale or
      other disposition of such Collateral and all insurance proceeds of any
      kind paid at any time in connection with such Collateral), all Liens
      (whether possessory, contractual, statutory or otherwise) with respect to
      such Collateral, and all rights, remedies and claims (whether in the
      nature of indemnities, warranties, guaranties or otherwise) of Grantor
      with respect to such Collateral including without limitation, the right of
      Grantor to bring suit to enforce its rights with respect to such
      Collateral, in any case whether now existing or hereafter at any time or
      from time to time arising.

The pledge of proceeds in this Agreement does not authorize the Grantor to sell,
dispose of or otherwise use the Collateral in any manner not specifically
authorized by this Agreement.

      SECTION 7. SECURITY FOR OBLIGATION. This Agreement secures the prompt and
complete (a) payment of all obligations of Grantor to the Loan Agent and to any
or each Bank now or hereafter existing under this Agreement, the Notes, the
Credit Agreement and the other Loan Documents to which Grantor is a party, as
each may be modified, amended, extended or renewed from time to time; and (b)
performance and observance by Grantor of all covenants and conditions contained
in the Loan Documents to which it is a party, as each may be modified, amended,
extended or renewed from time to time (including, without limitation, the
covenants and conditions contained herein) (all such obligations, covenants and
conditions described in the foregoing clauses (a) and (b), whether for
principal, interest, fees, expenses or otherwise, being hereinafter collectively
referred to as the "OBLIGATIONS").

      SECTION 8. GRANTOR REMAINS LIABLE. Anything herein to the contrary
notwithstanding, (a) Grantor shall remain liable under the contracts and
agreements included in the Collateral to the

                                       -9-
<PAGE>
extent set forth therein to perform all of its duties and obligations thereunder
to the same extent as if this Agreement had not been executed; (b) the exercise
by the Bank Collateral Agent, the Loan Agent or any Bank of any of the rights
hereunder shall not release Grantor from any of its duties or obligations under
the contracts and agreements included in the Collateral; and (c) the Bank
Collateral Agent, the Loan Agent or any Bank shall not have any obligation or
liability under the contracts and agreements included in the Collateral by
reason of this Agreement, nor shall the Bank Collateral Agent, the Loan Agent or
any Bank be obligated to perform any of the obligations or duties of Grantor
thereunder or to take any action to collect or enforce any claim for payment
assigned hereunder.

      SECTION 9. REPRESENTATIONS AND WARRANTIES OF GRANTOR. Grantor hereby
represents and warrants as follows:

            (a) Not later than the Effective Date, Grantor shall deliver to the
      Bank Collateral Agent a completed Perfection Certificate in the form
      attached hereto as Schedule I. The information set forth therein shall be
      true and complete. If the Bank Collateral Agent is requested to do so by
      the Loan Agent, Grantor shall reimburse the Bank Collateral Agent for the
      cost and expense of obtaining file search reports from each filing office
      in which financing statements should be filed to perfect the security
      interest created hereby, evidencing such filing.

            (b) The principal place of business and chief executive office of
      the Grantor is located at its address shown on Schedule I or at such other
      location in any jurisdiction where all actions required by Section 13
      shall have been taken.

            (c) All records concerning Grantor's Receivables and all originals
      of all chattel paper which evidence Receivables are in the possession of
      the Servicer as set forth on Schedule 1, or are at such other location in
      any jurisdiction where all actions required by Section 13 shall have been
      taken.

            (d) Grantor owns the Collateral free and clear of any Lien, except
      for Permitted Liens. Except with respect to Permitted Liens, no effective
      financing statement or other instrument similar in effect covering all or
      any part of the Collateral is or will be on file in any recording office,
      except as may be filed in favor of the Bank Collateral Agent for the
      benefit of the Loan Agent and the Banks relating to this Agreement and
      except as may be on file naming the Prior Bank Collateral Agent as secured
      party (such filed financing statements to be assigned to the Bank
      Collateral Agent on the Effective Date).

            (e) Other than the filings and other actions described herein to
      perfect the security interests created by this Agreement, no
      authorization, approval or other action by, and no notice to or filing
      with, any Governmental Authority is required(i) for the due execution,
      delivery and performance of this Agreement by Grantor, and the other
      documents and instruments executed in connection herewith; (ii) for the
      grant by Grantor of the security interests granted hereby; (iii) for the
      perfection of the security interests granted hereby; or (iv) for the
      exercise by the Bank Collateral Agent and the Loan Agent and the Banks of
      their rights and remedies hereunder.

                                      -10-
<PAGE>
            (f) This Agreement is, and all other documents and instruments
      executed in connection therewith, when delivered will be legal, valid and
      binding obligations of Grantor enforceable against Grantor in accordance
      with their respective terms, except as enforceability may be (i) limited
      by applicable bankruptcy, reorganization, insolvency, moratorium or other
      similar laws of general application relating to the enforcement of
      creditors' rights generally and (ii) subject to the general effect of
      general principles of equity.

            (g) None of the Obligors on any of Grantor's Receivables is a
      Governmental Authority.

            (h) Upon the making of all filings and the taking of all other
      actions necessary to perfect the security interests created hereby,
      including without limitation, those actions specified in Section 13 below,
      this Agreement will create a valid first priority security interest in the
      Collateral (subject only to Permitted Liens), securing the payment of the
      Obligations.

            (i) Neither Grantor nor its predecessors has performed any acts
      which might prevent the Bank Collateral Agent, the Loan Agent or the Banks
      from enforcing any of the terms of this Agreement or which would limit the
      Loan Agent and the Banks in any such enforcement.

      SECTION 10. COVENANTS: Grantor hereby covenants as follows:

            (a) Grantor shall keep its principal place of business and chief
      executive office and the offices where it keeps records concerning the
      Receivables, and all originals of all chattel paper which evidence
      Receivables, at the location or locations therefor specified in Section
      9(b) or at such other locations in jurisdictions where all actions
      required by Section 13 shall have been taken with respect to the
      Receivables.

            (b) Grantor, either directly or through an agent, including, without
      limitation, the Servicer, shall, except as otherwise provided in this
      subsection, continue to collect, at the Grantor's expense, all amounts due
      or to become due to it under the Receivables. In connection with such
      collections, Grantor may take or cause to be taken (and, at the Bank
      Collateral Agent's direction, shall take or cause to be taken) such action
      as Grantor or the Bank Collateral Agent or the Banks may deem necessary or
      advisable to enforce collection of the Receivables. Upon the occurrence
      and during the continuance of an Event of Default, the Bank Collateral
      Agent shall have the right to notify the Servicer and to direct the
      Servicer to deliver all amounts due or to become due to Grantor under the
      Receivables directly to the Bank Collateral Agent and, at the expense of
      Grantor, to direct the Servicer to enforce collection of any such
      Receivables, and to adjust, settle or compromise the amount or payment
      thereof in the same manner and to the same extent as Grantor might have
      done. After the occurrence and during the continuation of an Event of
      Default, all amounts and proceeds (including instruments) received by or
      for the account of Grantor in respect of the Receivables shall be received
      in trust for the benefit of the Bank Collateral Agent hereunder, shall be
      segregated from other funds of or for the account of Grantor and shall be
      forthwith

                                      -11-
<PAGE>
      paid over to the Bank Collateral Agent in the same form as so received
      (with any necessary endorsement) to be held as cash collateral and applied
      as provided by Section 18.

            (c) Grantor shall not sell, discount or otherwise transfer, whether
      with or without recourse, any notes or Receivables, other than (i) in the
      ordinary course of business for the collection of delinquent notes or
      Receivables or (ii) to First Investors pursuant to and in compliance with
      the provisions of Section 7.04 of the Credit Agreement.

            (d) Grantor shall not change its name, identity or corporate
      structure in any manner which might make any financing or continuation
      statement filed hereunder seriously misleading within the meaning of
      Section 9.402 of the UCC (or any other then applicable provision of the
      UCC or any other provision of law in effect in any applicable
      jurisdiction) unless Grantor shall have given the Bank Collateral Agent at
      least thirty (30) days prior written notice thereof and shall have taken
      all action (or made arrangements to take such action substantially
      simultaneously with such change if it is impossible to take such action in
      advance) necessary or reasonably requested by the Bank Collateral Agent to
      amend such financing statement or continuation statement so that it is not
      seriously misleading.

            (e) Except as may be permitted by the Credit Agreement, Grantor
      shall not sell, assign or otherwise dispose of any of the Collateral, or
      create or suffer to exist any Lien upon or with respect to any of the
      Collateral.

            (f) Subject to the provisions of the Servicing Agreement, the
      Grantor agrees to clearly and unambiguously mark its general ledger and
      all accounting records and documents and all computer tapes and records to
      show that the Receivables have been pledged to the Bank Collateral Agent
      hereunder. In connection with the grant of the security interest pursuant
      to Section 6, the Grantor agrees to direct the Servicer to indicate, on or
      prior to the Effective Date, clearly and unambiguously in the Servicer's
      computer files, and in any of the Grantor's files in possession of the
      Servicer, that the Receivables have been pledged to the Bank Collateral
      Agent pursuant to this Agreement. The Grantor agrees to direct the
      Servicer, by the end of each Collection Period, to indicate clearly and
      unambiguously in its computer files that such Receivables have been
      pledged to the Bank Collateral Agent pursuant to this Agreement.

      SECTION 11. LIMITATIONS ON REMEDIES. The Bank Collateral Agent shall have
no rights hereunder to, and shall not, make any cash payments or other transfer
to or on behalf of the Grantor, the Loan Agent, the Banks or any other Person
except as specifically set forth herein.

      SECTION 12. THE GRANTOR TO BE OWNER OF COLLATERAL FOR TAX PURPOSES. The
Grantor shall be the owner of the Collateral Account for federal income tax
purposes and all state and local income tax purposes, and, for such purposes,
all income resulting from such ownership shall be for the account of the
Grantor. The Grantor shall be solely responsible for preparing and filing all
federal, state and local income tax returns relating to the ownership of the
Collateral.

      SECTION 13. CONTINUATION STATEMENTS; FURTHER ASSURANCES. The Grantor
authorizes the Loan Agent to file financing statements (including without
limitation, Form UCC-1 or Form UCC-3,

                                      -12-
<PAGE>
as the case may be) and such other security documents to be executed by Grantor
in such offices and locations as are necessary in the opinion of the Loan Agent
to perfect the security interests granted herein. The Loan Agent is authorized
to and shall file or cause to be filed all necessary continuation statements for
any financing statements relating to the Collateral that were filed on or prior
to the Effective Date. The Grantor shall execute any such continuation
statements. The Loan Agent shall cause the Grantor to take, and the Grantor
shall take, at the expense of the Grantor, at any time and from time to time,
any additional action required by the Loan Agent or by the Majority Banks in
order to perfect, preserve and protect the first priority security interest
granted or purported to be granted hereby. Any such requirement shall be
evidenced by written direction of the Loan Agent or the Majority Banks (as the
case may be) delivered to the Grantor. Without limiting the generality of the
foregoing, the Grantor shall execute and file such financing statements, or
amendments thereto, continuation statements, and such other instruments,
documents or notices, as may be necessary in order to perfect, preserve and
protect the first priority security interest granted or purported to be granted
hereby.

      SECTION 14. APPOINTMENT OF BANK COLLATERAL AGENT. Each of the Loan Agent
and the Banks hereby appoints the Bank Collateral Agent to act as its paying
agent and collateral agent hereunder, and the Grantor hereby appoints the Bank
Collateral Agent to act as its paying agent hereunder. The Bank Collateral Agent
hereby accepts its duties as paying agent and collateral agent hereunder for the
Loan Agent, the Banks and the Grantor.

      SECTION 15. BANK COLLATERAL AGENT APPOINTED ATTORNEY-IN-FACT. Grantor
hereby irrevocably appoints the Bank Collateral Agent Grantor's
attorney-in-fact, effective upon and during the continuance of an Event of
Default, with full authority in the place and stead of Grantor and in the name
of Grantor, the Bank Collateral Agent or otherwise, from time to time in the
Bank Collateral Agent's discretion, to take any action and to execute any
instrument, or to cause the Servicer to take any action or execute any
instrument, which the Bank Collateral Agent, the Loan Agent or the Majority
Banks may deem necessary or advisable to accomplish the purposes of this
Agreement, including without limitation:

            (a) to ask, demand, collect, sue for, recover, compound, receive and
      give acquittance and receipts for amounts due and to become due under or
      in respect of any of the Collateral,

            (b) to receive, endorse and collect any drafts or other instruments,
      documents and chattel paper in connection with clause (a) above, and

            (c) to file any claims or take any action or institute any
      proceedings which the Bank Collateral Agent, the Loan Agent or the
      Majority Banks may deem necessary or desirable for the collection of any
      of the Collateral or otherwise to enforce the rights of the Loan Agent,
      the Banks and the Bank Collateral Agent with respect to any of the
      Collateral.

      SECTION 16. BANK COLLATERAL AGENT MAY PERFORM. If Grantor fails to perform
any agreement contained herein, the Bank Collateral Agent may itself perform, or
cause performance of, such agreement, and the reasonable expenses of the Bank
Collateral Agent incurred in connection therewith shall be payable by Grantor as
set forth in Section 19.

                                      -13-
<PAGE>
      SECTION 17. THE BANK COLLATERAL AGENT'S DUTIES. The powers conferred on
the Loan Agent and the Banks hereunder are solely to protect their interest in
the Collateral and shall not impose any duty upon the Loan Agent or any Bank to
exercise any such powers. Except for the safe custody of any Collateral in its
possession and the accounting for amounts actually received by it hereunder,
neither the Bank Collateral Agent, the Loan Agent nor any Bank shall have any
duty as to any Collateral or as to the taking of any necessary steps to preserve
rights against prior parties or any other rights pertaining to any Collateral.
The Bank Collateral Agent shall promptly deliver to the Loan Agent a copy of any
notice received by it from the Servicer or the Grantor under the Servicing
Agreement and shall provide to the Loan Agent on a weekly basis a revised
cumulative exception report with respect to all of the Custodian Files
substantially in the form of Exhibit 1 hereto. For purposes of this provision,
the term "Custodian Files" shall have the meaning ascribed to it in the
Servicing Agreement.

      SECTION 18. REMEDIES.

            (a) Upon the occurrence of a Default or an Event of Default, the
      Loan Agent shall send notice of such Default or Event of Default to the
      Bank Collateral Agent and to the Grantor. The Bank Collateral Agent may
      exercise in respect of the Collateral and at the direction of the Loan
      Agent on behalf of the Banks, in addition to other rights and remedies
      provided for herein or otherwise available to it, all the rights and
      remedies of a secured party on default under the UCC (whether or not the
      UCC applies to the affected Collateral) and in addition thereto and
      cumulative thereof, the following rights: the right to sell, lease or
      otherwise dispose of the Collateral and the right to take possession of
      the Collateral, and for that purpose, the Bank Collateral Agent may enter
      upon any premises on which the Collateral may be situated and remove the
      same therefrom and/or may render the Collateral inoperable; the Bank
      Collateral Agent may require Grantor to, and Grantor hereby agrees that it
      will, at its expense and upon the request of the Bank Collateral Agent,
      forthwith assemble all or part of the Collateral and all documents
      relating to the Collateral as directed by the Bank Collateral Agent and
      make the Collateral available to the Bank Collateral Agent at a place to
      be designated by the Bank Collateral Agent; without notice except as
      specified below, sell the Collateral in one or more parcels at public or
      private sale, at any of the Bank Collateral Agent's offices or elsewhere,
      for cash, on credit or for future delivery, and upon such other terms as
      the Bank Collateral Agent may deem commercially reasonable. Grantor agrees
      that, to the extent notice of sale shall be required by law, at least ten
      (10) days' notice to Grantor of the time and place of any public sale or
      the time after which any private sale is to be made shall constitute
      reasonable notification. The Bank Collateral Agent shall not be obligated
      to make any sale of Collateral regardless of notice of sale having been
      given. The Bank Collateral Agent may adjourn any public or private sale
      from time to time by announcement at the time and place fixed therefor,
      and such sale may, without further notice, be made at the time and place
      to which it was so adjourned.

            (b) All cash proceeds received by the Bank Collateral Agent in
      respect of any sale of, collection from, or other realization upon all or
      any part of the Collateral may (and shall at the direction of the Grantor)
      be held by the Bank Collateral Agent as collateral for, and/or then or at
      any time thereafter delivered to the Loan Agent to be applied in whole or
      in part

                                      -14-
<PAGE>
      by the Loan Agent against, the Obligations and any amounts owing to the
      Bank Collateral Agent in such order as the Loan Agent shall elect. Any
      surplus of such cash or cash proceeds and interest accrued thereon, if
      any, held by the Bank Collateral Agent or the Loan Agent and remaining
      after payment in full of all of the Obligations shall be paid over to the
      Grantor or to whomsoever may be lawfully entitled to receive such surplus;
      provided that the Bank Collateral Agent and the Loan Agent shall have no
      obligation to invest or otherwise pay interest on any amounts held by it
      in connection with or pursuant to this Agreement.

            (c) All rights and remedies of the Bank Collateral Agent, the Loan
      Agent and the Banks expressed herein are in addition to all other rights
      and remedies possessed by the Bank Collateral Agent, the Loan Agent and
      the Banks in the Credit Agreement, the Notes, the other Loan Documents and
      any other agreement or instrument relating to the Obligations.

      SECTION 19. CERTAIN MATTERS REGARDING THE BANK COLLATERAL AGENT.

            (a) The Bank Collateral Agent shall examine any directions, notices
      or other communications received from the Grantor, any Bank or the Loan
      Agent to determine if such directions, notices or other communications
      appear on their face to have been made in accordance with, and to
      substantially conform otherwise to, the requirements of this Agreement. As
      long as the Bank Collateral Agent has acted in good faith and has not been
      negligent in making the determinations required by this subsection, the
      Bank Collateral Agent may conclusively rely on any such directions,
      notices or other communications and shall incur no liability hereunder for
      complying with, or assuming the truth of the statements contained in, any
      such direction, notice or other communication. The Bank Collateral Agent
      shall be obligated only for the performance of such duties as are
      specifically set forth in the Agreement and shall not be liable for any
      action taken or omitted by it in good faith, believed by it to be
      authorized hereby or for any action taken or omitted by it in accordance
      with the advice of counsel.

            (b) The Bank Collateral Agent in its individual or any other
      capacity may become the owner or pledgee of the Notes with the same rights
      it would have if it were not the Bank Collateral Agent.

            (c) The Grantor covenants and agrees to pay, from its own funds, to
      the Bank Collateral Agent, and the Bank Collateral Agent shall be entitled
      to, compensation for all services rendered by it in the exercise and
      performance of any of its duties hereunder in the form of a fee in an
      amount determined in accordance with Schedule II hereto, payable monthly
      on each Distribution Date during the terms of this Agreement, and the
      Grantor will pay (out of its own funds) or reimburse the Bank Collateral
      Agent, to the extent requested by the Bank Collateral Agent, as the case
      may be, for all reasonable expenses, disbursements and advances incurred
      or made by the Bank Collateral Agent in accordance with any of the
      provisions of this Agreement, the reasonable compensation and the expenses
      and disbursements of its counsel and of all persons not regularly in its
      employ, except any such expense, disbursement or advance as may arise from
      its gross negligence, willful misconduct or bad faith; provided that the
      Grantor's obligations under this Section 19(c) may be satisfied by the
      making of distributions to the Bank Collateral Agent under Section 5(e)
      hereof. The

                                      -15-
<PAGE>
      Grantor also covenants and agrees to indemnify (out of its own funds) the
      Bank Collateral Agent for, and to hold the Bank Collateral Agent harmless
      against, any loss, liability or expense incurred without gross negligence,
      willful misconduct or bad faith on the part of the Bank Collateral Agent,
      arising out of or in connection with the acceptance or administration of
      this Agreement, including the costs and expenses of defending itself
      against any claim or liability in connection with the exercise or
      performance of any of its duties hereunder. The covenants in this
      subsection (c) shall survive the termination of this Agreement. To the
      extent the foregoing indemnity contemplates indemnification of the Bank
      Collateral Agent for its own negligent acts or omissions under certain
      circumstances, that is the express intent of the parties;

            (d) There shall at all times be a Bank Collateral Agent hereunder
      which shall be either (i) Wells Fargo Bank Minnesota, National Association
      ("WELLS FARGO") or any other Person into which Wells Fargo is merged or
      consolidated or to which substantially all of the properties and assets of
      Wells Fargo are transferred as an entirety, provided that such other
      Person has accepted appointment as Bank Collateral Agent under this
      Agreement in accordance with subsection (f), and provided further, that
      such entity is not an Affiliate of the Grantor, is authorized to exercise
      corporate trust powers under the laws of the United States of America, any
      State thereof or the District of Columbia and has all necessary trust
      powers to perform its obligations hereunder, or (ii) a corporation or
      banking association organized and doing business under the laws of the
      United States of America, any State thereof or the District of Columbia,
      authorized under such laws to exercise corporate trust powers, having a
      combined capital and surplus of at least $100,000,000 and subject to
      supervision or examination by Federal or State authority, provided,
      however, that such institution is not an Affiliate of the Grantor and is
      acceptable to the Loan Agent and the Banks, further provided that such
      institution may be Bank of America, N.A. If the corporation or banking
      association referred to in clause (ii) of the previous sentence publishes
      reports of condition at least annually, pursuant to law or to the
      requirements of said supervising or examining authority, then for the
      purposes of this subsection, the combined capital and surplus of such
      corporation or banking association shall be deemed to be its combined
      capital and surplus as set forth in its most recent report of condition so
      published. If at any time the Bank Collateral Agent shall cease to be
      eligible in accordance with the provisions of this subsection, it shall
      resign immediately in the manner and with the effect hereinafter specified
      in this Section.

            (e) The Bank Collateral Agent at any time may resign and be
      discharged from the agency and trusts hereby created by giving written
      notice thereof to the Grantor and the Loan Agent. Upon receiving such
      notice of resignation, the Loan Agent on behalf of itself and the Banks
      promptly shall appoint a successor Bank Collateral Agent reasonably
      acceptable to the Majority Banks and, unless a Default or Event of Default
      has occurred and is continuing to the Grantor by written instrument, in
      duplicate, one copy of which instrument shall be delivered to the
      resigning Bank Collateral Agent and one copy to the successor Bank
      Collateral Agent. Photocopies of such instrument shall also be delivered
      to the Grantor. If no successor Bank Collateral Agent shall have been so
      appointed and have accepted appointment within 30 days after the giving of
      such notice of resignation, the resigning Bank Collateral Agent may
      petition any court of competent jurisdiction for the appointment of a

                                      -16-
<PAGE>
      successor Bank Collateral Agent reasonably acceptable to the Loan Agent,
      the Majority Banks and, unless a Default or Event of Default shall have
      occurred and is continuing, the Grantor.

            If at any time the Bank Collateral Agent shall cease to be eligible
      in accordance with the provisions of subsection (d) and shall fail to
      resign after written request therefor by the Loan Agent, or if at any time
      the Bank Collateral Agent shall become incapable of acting, or shall be
      adjudged bankrupt or insolvent, or a receiver of the Bank Collateral Agent
      or of its property shall be appointed, or any public officer shall take
      charge or control of the Bank Collateral Agent or of its property or
      affairs for the purpose of rehabilitation, conservation or liquidation, or
      if a Default or an Event of Default shall have occurred and is continuing,
      or if the Borrower shall determine to remove the Bank Collateral Agent for
      any purpose, subject to the consent of the Loan Agent, and the Bank
      Collateral Agent shall fail to resign within 30 days after written request
      therefor by the Borrower, then the Loan Agent may remove the Bank
      Collateral Agent and appoint a successor Bank Collateral Agent reasonably
      acceptable to the Loan Agent, the Majority Banks and, unless a Default or
      Event of Default shall have occurred and is continuing, the Grantor by
      written instrument, in duplicate, one copy of which instrument shall be
      delivered to the Bank Collateral Agent so removed and one copy to the
      successor Bank Collateral Agent. Photocopies of such instrument shall also
      be delivered to the Grantor.

            Both any resignation or removal of the Bank Collateral Agent and the
      appointment of a successor pursuant to any of the provisions of this
      Section shall become effective only upon acceptance of appointment by the
      successor as provided in subsection (f).

            (f) Any successor Bank Collateral Agent appointed as provided in
      subsection (e) shall execute, acknowledge and deliver to the Grantor, to
      the Loan Agent and to its predecessor Bank Collateral Agent an instrument
      accepting such appointment hereunder, and thereupon the resignation or
      removal of the predecessor Bank Collateral Agent shall become effective
      and such successor Bank Collateral Agent, without any further action, deed
      or conveyance, shall become fully vested with all the rights, powers,
      duties and obligations of its predecessor hereunder, with the like effect
      as if originally named as Bank Collateral Agent herein. The predecessor
      Bank Collateral Agent shall transfer all amounts and Permitted Investments
      in the Collateral Account to the successor Bank Collateral Agent for
      deposit in the new Collateral Account and execute and deliver such
      instruments, and take such other actions, as reasonably may be required
      for more fully and certainly vesting and confirming in the successor Bank
      Collateral Agent all such rights, powers, duties and obligations.

            No successor Bank Collateral Agent shall accept appointment as
      provided in this Section unless at the time of such acceptance such
      successor Bank Collateral Agent shall be eligible under the provisions of
      subsection (d).

            Upon acceptance of appointment by a successor Bank Collateral Agent
      as provided in this Section, the Loan Agent shall mail notice of the
      succession of such Bank Collateral Agent hereunder to the Banks at their
      addresses as shown in the Register and to the Grantor. If the Loan Agent
      fails to mail such notice within 10 days after acceptance of appointment

                                      -17-
<PAGE>
      by the successor Bank Collateral Agent, the successor Bank Collateral
      Agent shall cause such notice to be mailed at the expense of the Loan
      Agent.

            (g) Any corporation into which the Bank Collateral Agent may be
      merged or converted or with which it may be consolidated or any
      corporation resulting from any merger, conversion or consolidation to
      which the Bank Collateral Agent shall be a party, or any corporation
      succeeding to the business of the Bank Collateral Agent, shall be the
      successor of the Bank Collateral Agent hereunder, provided such
      corporation shall be eligible under the provisions of subsection (d),
      without the execution or filing of any paper or any further act on the
      part of any of the parties hereto, anything herein to the contrary
      notwithstanding.

      SECTION 20. REPRESENTATIONS AND WARRANTIES OF BANK COLLATERAL AGENT. The
Bank Collateral Agent shall make the following representations and warranties on
which the Loan Agent, the Banks and the Grantor may rely:

            (a) The Bank Collateral Agent is a national banking association duly
      organized, validly existing, and in good standing under the laws of the
      United States of America;

            (b) The Bank Collateral Agent has full corporate power, authority
      and legal right to execute, deliver, and perform the Agreement, and shall
      have taken all necessary action to authorize the execution, delivery, and
      performance by it of the Agreement;

            (c) The Agreement shall have been duly executed and delivered by the
      Bank Collateral Agent; and

            (d) The Agreement shall constitute a legal, valid and binding
      obligation of the Bank Collateral Agent enforceable in accordance with its
      terms subject as to the enforcement of remedies (i) to applicable
      bankruptcy, insolvency, reorganization, moratorium and other similar laws
      affecting creditors' rights generally and (ii) to general principles of
      equity (regardless of whether the enforcement of such remedies is
      considered in a proceeding in equity or at law).

      SECTION 21. LIMITATION ON RIGHTS OF LOAN AGENT AND BANKS. The Loan Agent
and the Banks shall not have any rights by virtue of any provision of this
Agreement to institute any suit, action or proceeding in equity or at law upon
or under or with respect to this Agreement, unless such Loan Agent or Bank
previously shall have given to the Bank Collateral Agent a written notice of
default and of the continuance thereof, and unless also the Majority Banks shall
have made written request upon the Bank Collateral Agent to institute such
action, suit or proceeding in its own name as Bank Collateral Agent hereunder
and shall have offered to the Bank Collateral Agent such reasonable indemnity as
it may require against the costs, expenses and liabilities to be incurred
therein or thereby, and the Bank Collateral Agent, for thirty (30) days after
its receipt of such notice, request and offer of indemnity, shall have neglected
or refused to institute any such action, suit or proceeding, it being understood
and intended, and being covenanted expressly by each of the Loan Agent and the
Banks with each other and the Bank Collateral Agent, that no one or more of the
Loan Agent and the Banks shall have any right in any manner whatever by virtue
of any provision of this

                                      -18-
<PAGE>
Agreement to affect, disturb or prejudice the rights of any other of the Loan
Agent and the Banks, or to obtain or seek to obtain priority over or preference
to any such other, or to enforce any right under this Agreement. For the
protection and enforcement of the provisions of this Section, each of the Loan
Agent, the Banks and the Bank Collateral Agent shall be entitled to such relief
as can be given either at law or in equity.

      SECTION 22. AMENDMENT. No amendment or waiver of any provision of this
Agreement, nor consent to any departure herefrom, shall in any event be
effective unless the same shall be in writing and signed by the Majority Banks;
provided, however, that no such amendment shall (i) effectively reduce in any
manner the amount of, or delay the timing of, the amounts to be distributed to
the Loan Agent and the Banks; (ii) reduce the aforesaid percentage of Banks
which are required to consent to any such amendment; or (iii) reduce the
Specified Collateral Account Balance, without in each such case the consent of
all Banks.

      SECTION 23. SECURITY INTEREST ABSOLUTE. All rights of the Bank Collateral
Agent and the Loan Agent and the Banks, all obligations of Grantor hereunder and
the security interests hereunder, shall, to the extent permitted by applicable
law, be absolute and unconditional, irrespective of:

            (a) any lack of validity or enforceability of the Credit Agreement,
      the Notes or any of the other Loan Documents or any other agreement or
      security document relating thereto or executed in connection with or
      pursuant to any Loan Document;

            (b) any change in the time, manner or place of payment of, or in any
      other term of, all or any of the Obligations or any other amendment or
      waiver of or any consent to any departure from the Credit Agreement, the
      Notes or any of the other Loan Documents or any other agreement or
      security document relating thereto or executed in connection with or
      pursuant to any Loan Document;

            (c) any exchange, release or non-perfection of any other collateral,
      or any release or amendment or waiver of or consent to departure from any
      guaranty, for all or any of the Obligations; or

            (d) any other circumstance which might otherwise constitute a
      defense available to, or a discharge of, Grantor, or any other Person that
      is a party to any Loan Document in respect of the Obligations.

      SECTION 24. CONTINUING SECURITY INTEREST. This Agreement creates a
continuing security interest in the Collateral and shall (a) remain in full
force and effect until the termination of the obligations of the Banks to make
Loans under the Credit Agreement and the payment in full of the Obligations; (b)
be binding upon Grantor, its successors and assigns, provided that Grantor may
not assign any of its rights or obligations under this Agreement without the
prior written consent of the Banks; and (c) inure to the benefit of and be
enforceable by the Bank Collateral Agent, the Loan Agent and the Banks and their
respective successors, transferees and assigns. Without limiting the generality
of the foregoing clause (c), the Loan Agent and the Banks may assign or
otherwise transfer any of their respective rights under this Agreement to any
other Person in accordance with the terms and provisions of Section 10.07 of the
Credit Agreement, and to the extent of such assignment or

                                      -19-
<PAGE>
transfer such Person shall thereupon become vested with all the benefits in
respect thereof granted herein or otherwise to the Loan Agent or the Banks, as
the case may be. Upon the termination of the obligations of the Banks to make
Loans under the Credit Agreement and payment in full of the Obligations and all
amounts owing to the Bank Collateral Agent, Grantor shall be entitled to the
return, upon its request and at its expense, of such of the Collateral as shall
not have been sold or otherwise applied pursuant to the terms hereof. At any
time and from time to time prior to such termination of the security interests,
the Bank Collateral Agent may release any of the Collateral with the prior
written consent of the Loan Agent and the Banks or as may be required hereby or
by the Credit Agreement. Upon any such termination of the security interests or
release of Collateral, the Bank Collateral Agent will, at the expense of
Grantor, execute and deliver to Grantor such documents as Grantor shall
reasonably request to evidence the termination of the security interests or the
release of such Collateral, as the case may be. To the extent that the Bank
Collateral Agent, the Loan Agent or any Bank receives any payment on account of
the Obligations, or any proceeds of Collateral are applied on account of the
Obligations, and any such payment or proceeds or any part thereof are
subsequently invalidated, declared to be fraudulent or preferential, set aside,
subordinated, required to be repaid to a trustee, receiver or any other person
or entity under any bankruptcy act, state or federal law, common law or
equitable cause, or recovered from the Bank Collateral Agent, the Loan Agent or
any Bank for any other reason, then, to the extent of such payment or proceeds
received, the Obligations or part thereof intended to be satisfied shall be
revived and continue in full force and effect, as if such payment or proceeds
had not been received by the Bank Collateral Agent, the Loan Agent or any Bank
and applied on account of the Obligations, and the security interests shall
continue to secure such Obligations, and all rights of Grantor in the Collateral
shall be subject to such security interests.

      SECTION 25. WAIVER OF MARSHALLING. All rights of marshalling of assets
of Grantor, including any such right with respect to the Collateral, are
hereby waived by Grantor.

      SECTION 26. LIMITATION BY LAW. All rights, remedies and powers provided in
this Agreement may be exercised only to the extent that the exercise thereof
does not violate any applicable provision of law, and all the provisions of this
Agreement are intended to be subject to all applicable mandatory provisions of
law which may be controlling and to be limited to the extent necessary so that
they will not render this Agreement invalid, unenforceable, in whole or in part,
or not entitled to be recorded, registered or filed under the provisions of any
applicable law.

      SECTION 27. SURVIVAL OF REPRESENTATIONS AND WARRANTIES. All
representations and warranties contained in this Agreement or made in writing by
or on behalf of Grantor in connection herewith, shall survive the execution and
delivery of this Agreement until 365 or 366 days, as the case may be, after the
date on which the Commitment of the Banks to make Loans under the Credit
Agreement has been terminated and the Obligations have been paid in full. Any
investigation by any of the Loan Agent or the Banks shall not diminish in any
respect whatsoever their rights to rely on such representations and warranties.

      SECTION 28. SEVERABILITY. The invalidity of any one or more covenants,
phrases, clauses, sentences or paragraphs of this Agreement shall not affect the
remaining portions of this Agreement, or any part thereof, and in case of any
such invalidity, this Agreement shall be construed as if such invalid covenants,
phrases, clauses, sentences or paragraphs had not been inserted.

                                      -20-
<PAGE>
      SECTION 29. CAPTIONS. The captions this Agreement have been inserted for
convenience only and shall be given no substantive meaning or significance
whatever in construing the terms and provisions of this Agreement.

      SECTION 30. NO WAIVER; CUMULATIVE REMEDIES. No failure on the part of the
Bank Collateral Agent, the Loan Agent or any Bank to exercise, and no delay in
exercising, any right hereunder shall operate as a waiver thereof; nor shall any
single or partial exercise of any such right preclude any other or further
exercise thereof or the exercise of any other right. The remedies herein
provided are cumulative and not exclusive of any remedies provided by law.

      SECTION 31. EXECUTION IN COUNTERPARTS. This Agreement may be executed in
any number of counterparts and by different parties hereto in separate
counterparts, each of which when so executed shall be deemed to be an original
and all of which taken together shall constitute one and the same agreement.

      SECTION 32. GOVERNING LAW; SUBMISSION TO JURISDICTION.

            (A) THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE
      WITH THE LAWS OF THE STATE OF TEXAS.

            (B) THE GRANTOR IRREVOCABLY AND UNCONDITIONALLY:

            I.    SUBMITS FOR ITSELF AND ITS PROPERTY IN ANY LEGAL ACTION OR
                  PROCEEDING RELATING TO THIS AGREEMENT OR ANY OTHER LOAN
                  DOCUMENT OR FOR RECOGNITION AND ENFORCEMENT OF ANY JUDGMENT IN
                  RESPECT THEREOF, TO THE NON-EXCLUSIVE GENERAL JURISDICTION OF
                  THE COURTS OF THE STATE OF TEXAS, THE COURTS OF THE UNITED
                  STATES OF AMERICA FOR THE NORTHERN DISTRICT OF TEXAS, AND
                  APPELLATE COURTS FROM ANY THEREOF;

            II.   WAIVES ANY OBJECTION THAT IT MAY NOW OR HEREAFTER HAVE TO THE
                  VENUE OF ANY SUCH ACTION OR PROCEEDING IN ANY SUCH COURT OR
                  THAT SUCH PROCEEDING WAS BROUGHT IN AN INCONVENIENT COURT AND
                  AGREES NOT TO PLEAD OR CLAIM THE SAME;

            III.  AGREES THAT SERVICE OF PROCESS IN ANY SUCH LEGAL ACTION OR
                  PROCEEDING MAY BE EFFECTED BY MAILING OF A COPY THEREOF (BY
                  REGISTERED OR CERTIFIED MAIL OR ANY SUBSTANTIALLY SIMILAR FORM
                  OF MAIL POSTAGE PREPAID) TO THE GRANTOR AT 675 BERING, SUITE
                  710, HOUSTON, TEXAS 77057, OR AT SUCH OTHER ADDRESS OF

                                      -21-
<PAGE>
                  WHICH THE BANK COLLATERAL AGENT SHALL HAVE BEEN NOTIFIED IN
                  WRITING PURSUANT TO SECTION 34.

            IV.   NOTWITHSTANDING THE FOREGOING, NOTHING HEREIN SHALL IN ANYWAY
                  AFFECT THE RIGHT OF THE BANK COLLATERAL AGENT, THE LOAN AGENT
                  OR ANY BANK OR THE GRANTOR TO BRING ANY ACTION ARISING OUT OF
                  OR RELATING TO THE NOTES OR THIS AGREEMENT OR ANY OTHER LOAN
                  DOCUMENT IN ANY COMPETENT COURT ELSEWHERE HAVING JURISDICTION
                  OVER THE GRANTOR, THE BANK COLLATERAL AGENT, THE LOAN AGENT OR
                  ANY BANK, AS THE CASE MAY BE, OR ITS PROPERTY.

      SECTION 33. WAIVER OF JURY TRIAL. EACH OF THE BANK COLLATERAL AGENT, THE
GRANTOR, THE LOAN AGENT AND THE BANKS HEREBY IRREVOCABLY WAIVES ANY AND ALL
RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR RELATING TO
THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY.

      SECTION 34. NOTICES. All directions, notices and communications hereunder
shall be in writing and shall be deemed to have been duly given if personally
delivered at, or, if a telecopy number is provided, telecopied (with
transmission confirmed by telephone) to, or mailed by first class or registered
mail, postage prepaid, to (i) in the case of the Grantor, 675 Bering, Suite 7
10, Houston, Texas 77057, Attention: President, Telephone: (713) 977-2600,
Telecopy: (713) 977-2630, (ii) in the case of the Bank Collateral Agent, Sixth
Street and Marquette Avenue, Minneapolis, Minnesota 55479-0070, Attention:
Corporate Trust Services, Telephone: (612) 667-3539, Telecopy: (612) 667-1117
[confirm]; (iii) in the case of the Loan Agent, 901 Main Street, 66th Floor,
Dallas, Texas 75201, Attention: Elizabeth Kurilecz, Telephone: (214) 209-0975,
Telecopy: (214) 508-0604 [CONFIRM]; and (iv) to any Bank, at the address set
forth under the heading "Domestic Lending Office" on the signature pages of the
Credit Agreement. Any such address or telephone or telecopy number may be
changed by the applicable Person by written notice to each other Person referred
to in clauses (i) through (iv).

      SECTION 35. MERGER AND INTEGRATION OF DOCUMENTS. Except as specifically
stated otherwise herein, this Agreement and the other Loan Documents set forth
the entire understanding of the parties relating to the subject matter hereof,
and all prior understandings, written or oral, are superseded by this Agreement
and such Loan Documents. This Agreement may not be modified, amended, waived or
supplemented except as provided herein.

      SECTION 36. NO INSOLVENCY PETITION AGAINST GRANTOR. The Bank Collateral
Agent hereby covenants and agrees that, prior to the date which is one year and
one day after the payment in full of the Obligations, it will not institute
against, or join any other Person in instituting against, the Grantor any
bankruptcy, reorganization, arrangement, insolvency or liquidation proceedings,
or other proceedings under any federal or state bankruptcy or similar law. This
Section 36 shall survive the termination of this Agreement.

                                      -22-
<PAGE>
      SECTION 37. BANK COLLATERAL AGENT AS PLEDGEE IN POSSESSION. Throughout the
term of this Agreement, the Bank Collateral Agent shall be a pledgee in
possession of the funds in the Collateral Account and shall have sole dominion
and control over the Collateral Account and the sole and exclusive right to
withdraw or transfer such funds in accordance with the express terms of this
Agreement, and the Grantor hereby appoints the Bank Collateral Agent to be the
true and lawful attorney of the Grantor for the purpose of making any such
withdrawal or transfer of such funds from the Collateral Account.

                                      -23-
<PAGE>
      IN WITNESS WHEREOF, the parties hereto, by their officers duly authorized,
have executed this Agreement as of the date first above written.

                                       F.I.R.C., INC., a Delaware corporation

                                       By: _____________________________________
                                               Tommy A. Moore, Jr.
                                               President

                                      -24-
<PAGE>
                                             WELLS FARGO BANK MINNESOTA,NATIONAL
                                             ASSOCIATION, (f/k/a Norwest Bank
                                             Minnesota, National Association) as
                                             Bank Collateral Agent for the Loan
                                             Agent and the Banks

                                             By: _______________________________
                                             Name: _____________________________
                                             Title: ____________________________

                                      -25-
<PAGE>
                                             BANK OF AMERICA, N.A. (SUCCESSOR
                                             IN INTEREST TO NATIONSBANK, N.A.),
                                             as Loan Agent and a Bank

                                             By: _______________________________
                                             Name: _____________________________
                                             Title: ____________________________

                                      -26-
<PAGE>
                                   SCHEDULE I
                                       TO
                           THIRD AMENDED AND RESTATED
                          COLLATERAL SECURITY AGREEMENT

                             PERFECTION CERTIFICATE

      The undersigned, the President of F.I.R.C., Inc., a Delaware corporation
(the "Grantor"), hereby certifies with reference to the Third Amended and
Restated Collateral Security Agreement (terms defined therein being used herein
as therein defined) dated as of November 15, 2000, between the Grantor and Wells
Fargo Bank Minnesota, National Association, as Bank Collateral Agent for the
benefit of Bank of America, N.A, as agent (in such capacity, the "Loan Agent")
and the financial institutions (the "Banks") now or hereafter a party to the
Credit Agreement, to the Bank Collateral Agent, the Loan Agent and the Banks as
follows:

      1. NAMES. (a) The exact corporate name of the Grantor as it appears in its
certificate of incorporation is as follows:

                                 F.I.R.C., INC.

      (b) The following is a list of all other names (including trade names or
similar appellations) used by the Grantor or any of its predecessors, divisions
or other business units at any time during the past five years:

                                      NONE

      (c) Assumed names which are or may be used prospectively are:

                                      NONE

      2. CURRENT LOCATIONS. (a) The chief executive office of the Grantor is and
will be as of the Effective Date located at the following address:

      MAILING ADDRESS                                    STATE
      ---------------                                    -----
      675 Bering Drive, Suite 710                        Houston, Texas

      (b) The following are all the locations where the Grantor or any of its
divisions or other business units maintains, or as of the Effective Date will
maintain, any books or records relating to any Receivables:

      MAILING ADDRESS                 COUNTY/PARISH        STATE
      ---------------                 -------------        -----
      675 Bering Drive, Suite 710     Harris County        Houston, Texas

      Locations of Servicer are listed under Servicing Agreement (as defined in
Credit Agreement).

                                      SI-1
<PAGE>
      (c) The following are all the places of business of the Grantor not
identified above:

      MAILING ADDRESS                 COUNTY/PARISH        STATE
      ---------------                 -------------        -----
      NONE

      3. PRIOR LOCATIONS. Set forth below is the information required by
subparagraphs (a), (b) and (c) of paragraph 2 with respect to each location or
place of business maintained by the Grantor or any of its predecessors,
divisions or other business units at any time during the past five years:

      NAME OF ENTITY      MAILING ADDRESS      COUNTY/PARISH      STATE
      --------------      ---------------      -------------      -----
      NONE

      4. UNUSUAL TRANSACTIONS. All Receivables have been acquired by First
Investors Financial Services, Inc. and sold to the Grantor pursuant to an
Amended and Restated Purchase Agreement dated as of October 30, 1996, as
amended.

      IN WITNESS WHEREOF, we have hereunto set our hands this _____ day of
__________, 20____.

                                             F.I.R.C., INC.

                                             By: _______________________________
                                             Name: _____________________________
                                             Title: ____________________________

                                      SI-2
<PAGE>
                                   SCHEDULE II
                                       TO
                           THIRD AMENDED AND RESTATED
                         COLLATERAL SECURITY AGREEMENT

                              COLLATERAL AGENT FEE

                                      SII-1

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