Document:

<PAGE>

                                                                    Exhibit 10.7

================================================================================

                             AUCTION AGENT AGREEMENT

                                  by and among

                        EDUCATION FUNDING CAPITAL TRUST-I
                                   as Issuer,

                                FIFTH THIRD BANK
                              as Indenture Trustee,

                                       and

                      DEUTSCHE BANK TRUST COMPANY AMERICAS,
                                as Auction Agent

                                   ----------

                          Dated as of           , 2003
                                      ----------

                                   ----------

                                   Relating to

                        Education Funding Capital Trust-I

                   $1,023,000,000 Education Loan Backed Notes
                                  consisting of

                    Auction Rate Education Loan Backed Notes,
               Series 2002A1-1, Series 2002A1-2, Series 2002A1-3,
               Series 2002A1-4, Series 2002A1-5, Series 2002A1-6,
               Series 2002A1-7, Series 2002A1-8, Series 2002A1-9,
              Series 2002A1-10, Series 2002A1-11, Series 2002A1-12,
               Series 2002A1-13, Series 2002B1-1, Series 2002B1-2

================================================================================

<PAGE>

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                                          Page
                                                                                          ----
<S>                                                                                        <C>
SECTION 1. DEFINITIONS AND RULES OF CONSTRUCTION............................................2
  1.1   Terms Defined by Reference to Fourth Supplement.....................................2
  1.2   Terms Defined Herein................................................................2
  1.3   Rules of Construction...............................................................3

SECTION 2. THE AUCTION......................................................................4
  2.1   Interest Rate on Notes; Incorporation by Reference of Auction Procedures and
        Settlement Procedures ..............................................................4
  2.2   Preparation of Each Auction; Maintenance of Existing Owner Registry.................4
  2.3   All Hold Rate, Maximum Rate, Net Loan Rate, Applicable LIBOR Rate...................6
  2.4   Auction Schedule....................................................................7
  2.5   Changes in Auction Periods or Auction Date..........................................8
  2.6   Notice of Fee Rate Change...........................................................9
  2.7   Notices to Existing Owners..........................................................9
  2.8   Payment Default.....................................................................9
  2.9   Broker-Dealers......................................................................9
  2.10  Access to and Maintenance of Auction Records.......................................10

SECTION 3. TERM OF AGREEMENT...............................................................11

SECTION 4. INDENTURE TRUSTEE...............................................................11

SECTION 5. REPRESENTATIONS AND WARRANTIES OF THE INDENTURE
           TRUSTEE ........................................................................11

SECTION 6. THE AUCTION AGENT...............................................................12
  6.1   Duties and Responsibilities........................................................12
  6.2   Rights of the Auction Agent........................................................13
  6.3   Auction Agent's Disclaimer.........................................................13
  6.4   Compensation, Remedies and Indemnification.........................................13
  6.5   Compensation of the Broker-Dealers.................................................14

SECTION 7. MISCELLANEOUS...................................................................15
  7.1   Governing Law......................................................................15
  7.2   Communications.....................................................................15
  7.3   Entire Agreement...................................................................16
  7.4   Benefits...........................................................................16
  7.5   Amendment; Waiver..................................................................16
  7.6   Successors and Assigns.............................................................17
  7.7   Severability.......................................................................17
  7.8   Execution in Counterparts..........................................................17
</TABLE>

                                       i

<PAGE>

Exhibits
--------

Exhibit A -- List of Initial Broker-Dealers
Exhibit B -- Notice of Ratings
Exhibit C -- Notice of Notes Outstanding
Exhibit D -- Notice of Fee Rate Change
Exhibit E -- Notice of a Payment Default
Exhibit F -- Settlement Procedures
Exhibit G -- Notice of Continuation of Auction Period
Exhibit H -- Notice of Interest Rate

                                       ii

<PAGE>

     THIS AUCTION AGENT AGREEMENT, dated as of           , 2003 (this "Auction
                                               ----------
Agent Agreement"), is being entered into by and among EDUCATION FUNDING CAPITAL
TRUST-I, a Delaware business trust (together with any successors or assigns, the
"Issuer"), FIFTH THIRD BANK, an Ohio banking corporation, as Indenture Trustee
(together with any successors or assigns, the "Indenture Trustee") under a
certain Indenture of Trust, as hereinafter defined and described, and DEUTSCHE
BANK TRUST COMPANY AMERICAS, a New York banking corporation (together with its
successors and assigns, the "Auction Agent"), acting not in its individual
capacity but solely as agent for the Issuer.

                              W I T N E S S E T H :

     WHEREAS, the Issuer proposes to cause the Indenture Trustee to authenticate
and deliver $1,023,000,000 aggregate principal amount of its Education Loan
Backed Notes, in thirteen series designated Auction Rate Education Loan Backed
Notes, Series 2002 A1, including, Auction Rate Education Loan Backed Notes,
Series 2002A1-1 (the "Series 2002A1-1 Notes"), Auction Rate Education Loan
Backed Notes, Series 2002A1-2 (the "Series 2002A1-2 Notes"), Auction Rate
Education Loan Backed Notes, Series 2002A1-3 (the "Series 2002A1-3 Notes"),
Auction Rate Education Loan Backed Notes, Series 2002A1-4 (the "Series 2002A1-4
Notes"), Auction Rate Education Loan Backed Notes, Series 2002A1-5 (the "Series
2002A1-5 Notes"), Auction Rate Education Loan Backed Notes, Series 2002A1-6 (the
"Series 2002A1-6 Notes"), Auction Rate Education Loan Backed Notes, Series
2002A1-7 (the "Series 2002A1-7 Notes"), Auction Rate Education Loan Backed
Notes, Series 2002A1-8 (the "Series 2002A1-8 Notes"), Auction Rate Education
Loan Backed Notes, Series 2002A1-9 (the "Series 2002A1-9 Notes"), Auction Rate
Education Loan Backed Notes, Series 2002A1-10 (the "Series 2002A1-10 Notes"),
Auction Rate Education Loan Backed Notes, Series 2002A1-11 (the "Series
2002A1-11 Notes"), Auction Rate Education Loan Backed Notes, Series 2002A1-12
(the "Series 2002A1-12 Notes"), Auction Rate Education Loan Backed Notes, Series
2002A1-13 (the "Series 2002A1-13 Notes"), and in two series designated Auction
Rate Education Loan Backed Notes, Series 2002 B1, including, Auction Rate
Education Loan Backed Notes, Series 2002B1-1 (the "Series 2002B1-1 Notes"), and
Auction Rate Education Loan Backed Notes, Series 2002B1-1 (the "Series 2002B1-2
Notes" and, together with the Series 2002A1-1 Notes, Series 2002A1-2 Notes,
Series 2002A1-3 Notes, Series 2002A1-4 Notes, Series 2002A1-5 Notes, Series
2002A1-6 Notes, Series 2002A1-7 Notes, Series 2002A1-8 Notes, Series 2002A1-9
Notes, Series 2002A1-10 Notes, Series 2002A1-11 Notes, Series 2002A1-12 Notes,
Series 2002A1-13 Notes, and the Series 2002B1-1 Notes, the "Notes"). The Notes
are being issued under an Indenture of Trust dated as of May 1, 2002 (the "Base
Indenture"), as supplemented by the 2002 Series A1&B1 Supplemental Indenture of
Trust dated as of           , 2003 (the "Fourth Supplement" and, together with
                  ----------
the Base Indenture, the "Indenture"); and

     WHEREAS, pursuant to Appendix A to the Fourth Supplement, the Auction Agent
has been appointed to act in the capacities set forth in this Auction Agent
Agreement; and

     WHEREAS, the Indenture Trustee is entering into this Auction Agent
Agreement at the direction of the Issuer pursuant to the terms of the Fourth
Supplement;

                                       1

<PAGE>

     NOW, THEREFORE, in consideration of the premises and the mutual covenants
contained herein, the Issuer, the Indenture Trustee and the Auction Agent agree
as follows:

     Section 1. Definitions and Rules of Construction.

          1.1. Terms Defined by Reference to Fourth Supplement. Capitalized
terms used herein and not otherwise defined herein shall have the meanings given
such terms in the Fourth Supplement.

          1.2. Terms Defined Herein. As used herein and in the Settlement
Procedures (as defined below), the following terms shall have the following
meanings, unless the context otherwise requires:

          "Auction" shall have the meaning specified in Section 2.1 hereof.

          "Auction Agent Fee" shall have meaning specified in Section 6.4(a)
hereof.

          "Auction Procedures" shall mean the provisions that are set forth in
Section 2.02 of Appendix A to the Fourth Supplement.

          "Authorized Auction Agent Officer" shall mean, with respect to the
Auction Agent, each Managing Director, Vice President, Assistant Vice President
and Associate of the Auction Agent and every other officer of the Auction Agent
assigned to its Corporate Trust and Agency Group and every other officer or
employee of the Auction Agent designated as an "Authorized Auction Agent
Officer" for purposes hereof in a communication to the Indenture Trustee and the
Issuer.

          "Authorized Issuer Officer" shall mean, with respect to the Issuer,
means any vice president, trust officer or other officer of the Owner Trustee
authorized to sign the document or take the action in question and every other
officer or employee of the Issuer designated as an "Authorized Issuer Officer"
for purposes hereof in a communication to the Indenture Trustee and the Auction
Agent.

          "Authorized Trustee Representative" shall mean each vice president,
assistant vice president or trust officer in the corporate trust department of
the Indenture Trustee and every other officer or employee of the Indenture
Trustee designated as an "Authorized Trustee Representative" for purposes hereof
in a written communication to the Auction Agent and the Issuer.

          "Broker-Dealer" shall mean, with respect to each Series of Notes, a
Person listed as a Broker-Dealer for such Series on Exhibit A hereto, as such
Exhibit A may be amended from time to time.

          "Broker-Dealer Agreements" shall mean each agreement between the
Auction Agent and a Broker-Dealer substantially in the form of the Broker-Dealer
Agreements dated as of           , 2003 between the Auction Agent and each of
                       ----------
William R. Hough & Co. and Salomon Smith Barney Inc.

                                       2

<PAGE>

          "Broker-Dealer Fee" shall have the meaning specified in Section 6.5(a)
hereof.

          "Broker-Dealer Fee Rate" shall have the meaning specified in Section
6.5(b) hereof.

          "Existing Owner Registry" shall mean the register maintained by the
Auction Agent pursuant to Section 2.2 hereof.

          "Notice of Failure to Deliver or Make Payment" shall mean a notice
substantially in the form of Exhibit D to the Broker-Dealer Agreement.

          "Notice of Fee Rate Change" shall mean a notice substantially in the
form of Exhibit D hereof.

          "Notice of Payment Default" shall mean a notice substantially in the
form of Exhibit E hereto.

          "Notice of Ratings" shall mean a notice substantially in the form of
Exhibit B hereto.

          "Notice of Notes Outstanding" shall mean a notice substantially in the
form of Exhibit C hereto.

          "Notice of Transfer" shall mean a notice substantially in the form of
Exhibit C to the Broker-Dealer Agreement.

          "Participant" shall mean a member of, or participant in, the
Securities Depository.

          "Settlement Procedures" shall mean the Settlement Procedures attached
as Exhibit F hereto.

          1.3. Rules of Construction. Unless the context or use indicates
another or different meaning or intent, the following rules shall apply to the
construction of this Auction Agent Agreement:

          (a) Words importing the singular number shall include the plural
     number and vice versa.

          (b) The captions and headings herein are solely for convenience of
     reference and shall not constitute a part of this Auction Agent Agreement
     nor shall they affect its meaning, construction or effect.

          (c) The words "hereof," "herein," "hereto" and other words of similar
     import refer to this Auction Agent Agreement as a whole.

          (d) All references herein to a particular time of day shall be to New
     York City time.

                                       3

<PAGE>

          (e) The rights and duties of the Indenture Trustee, the Auction Agent
     and the Issuer under this Auction Agent Agreement shall apply to each
     Series of the Notes, but separately in each case. References to "Notes"
     shall, unless the context clearly contemplates a reference to all the
     Notes, be deemed to refer only to a particular Series of Notes.

     Section 2. The Auction.

          2.1. Interest Rate on Notes; Incorporation by Reference of Auction
Procedures and Settlement Procedures.

          (a) During the Initial Period, each of the Series A1-1 Notes, the
     Series A1-2 Notes, the Series A1-3 Notes and the Series A1-4 Notes shall
     bear interest at the Initial Rate for such Series. Each of the Series A1-5
     Notes, Series A1-6 Notes, Series A1-7 Notes, Series A1-8 Notes, Series A1-9
     Notes, Series A1-10 Notes, Series A1-11 Notes, Series A1-12 Notes, Series
     A1-13 Notes, Series B1-1 Notes and Series B1-2 Notes shall bear interest at
     the Auction Note Interest Rate in effect for the Auction Period
     corresponding to each of the Series A-5 Notes, Series A-6 Notes, Series A-7
     Notes, Series A-8 Notes, Series A-9 Notes, Series A-10 Notes, Series A-11
     Notes, Series A-12 Notes, Series A-13 Notes, Series B-1 Notes and Series
     B-2 Notes, respectively, as of the Exchange Date. Otherwise, the Notes
     shall bear interest at the Auction Note Interest Rate based on an Interest
     Period that shall be an Auction Period. The Auction Note Interest Rate on
     each Series of the Notes for each Auction Period shall be the least of (i)
     the Net Loan Rate, (ii) the Auction Rate determined in accordance with the
     Auction Procedures, and (iii) the Maximum Rate. Pursuant to Section 2.02(e)
     of Appendix A to the Fourth Supplement, the Issuer has duly appointed
     Deutsche Bank Trust Company Americas as Auction Agent for purposes of the
     Auction Procedures and to perform such other obligations and duties as are
     herein set forth. Deutsche Bank Trust Company Americas hereby accepts such
     appointment and agrees that, on each Auction Date, it shall follow the
     procedures set forth in this Section 2 and the Auction Procedures for the
     purpose of, among other things, determining the Auction Rate, and
     ultimately the Auction Note Interest Rate for each Series of the Notes for
     each Auction Period other than the Initial Period, if any, applicable to
     such Series. Each periodic operation of such procedures is hereinafter
     referred to as an "Auction."

          (b) All of the provisions contained in the Auction Procedures and the
     Settlement Procedures are incorporated herein by reference in their
     entirety and shall be deemed to be a part hereof to the same extent as if
     such provisions were fully set forth herein.

          2.2. Preparation of Each Auction; Maintenance of Existing Owner
Registry.

          (a) A list of Broker-Dealers (showing William R. Hough & Co. as the
     initial Broker-Dealer for Series 2002A1-1 Notes, Series 2002A1-2 Notes,
     Series 2002A1-3 Notes, Series 2002A1-4 Notes, Series 2002A1-5 Notes, Series
     2002A1-6 Notes, Series 2002A1-7 Notes, Series 2002A1-8 Notes, Series
     2002A1-9 Notes, Series 2002A1-10 Notes, Series 2002A1-11 Notes, Series
     2002B1-1 Notes, and

                                       4

<PAGE>

     Series 2002B1-2 Notes, and showing Salomon Smith Barney Inc. as the initial
     Broker-Dealer for Series 2002A1-12 Notes and Series 2002A1-13 Notes) is
     attached as Exhibit A to this Auction Agent Agreement. Not later than seven
     days prior to any Auction Date for which any change in such list of
     Broker-Dealers is to be effective, the Indenture Trustee, at the direction
     of an Authorized Issuer Officer, will notify the Auction Agent in writing
     of such change and, if any such change is the addition of a Broker-Dealer
     to such list, shall cause to be delivered to the Auction Agent for
     execution by the Auction Agent a Broker-Dealer Agreement manually signed by
     such Broker-Dealer. The Auction Agent shall have entered into a
     Broker-Dealer Agreement with each Broker-Dealer prior to the participation
     of any such Broker-Dealer in any Auction.

          (b) In the event that any day that is scheduled to be an Auction Date
     shall be changed after the Auction Agent shall have given the notice of
     such Auction Date pursuant to clause (vii) of paragraph (a) of the
     Settlement Procedures, the Auction Agent, by such means as the Auction
     Agent deems practicable, shall give notice of such change to the
     Broker-Dealers not later than the earlier of 9:15 a.m. on the new Auction
     Date and 9:15 a.m. on the old Auction Date.

          (c) (i) The Auction Agent shall maintain a current registry of Persons
          that are Broker-Dealers, compiled initially on the Closing Date as
          described below, and that hold Notes, for purposes of dealing with the
          Auction Agent in connection with an Auction (such registry being
          herein called the "Existing Owner Registry"). Such Persons shall
          constitute the "Existing Owners" for purposes of dealing with the
          Auction Agent in connection with an Auction. The Auction Agent shall
          indicate in the Existing Owner Registry for each Existing Owner the
          identity of the Broker-Dealer that submitted the most recent Order in
          any Auction that resulted in such Existing Owner continuing to hold or
          purchasing the Notes. Pursuant to the Broker-Dealer Agreements,
          William R. Hough & Co. and Salomon Smith Barney Inc., as the initial
          Broker-Dealers, have agreed to provide to the Auction Agent on the
          Closing Date the names and addresses of the Persons who are to be
          initially listed on the Existing Owner Registry as constituting the
          initial Existing Owners of Notes of the applicable Series for purposes
          of dealing with the Auction Agent in connection with an Auction. The
          Auction Agent may rely upon, as evidence of the identities of the
          Existing Owners, such lists, the results of each Auction and notices
          from any Existing Owner, Participant of any Existing Owner or
          Broker-Dealer of any Existing Owner as described in Section
          2.2(c)(iii) hereof.

               (ii) The Indenture Trustee shall notify the Auction Agent in
          writing when any notice of redemption of Notes is sent to the
          Securities Depository as the Holder of Notes not later than 11:00 a.m.
          on the date such notice is sent. Such notice with respect to a
          redemption shall be substantially in the form of Exhibit C hereto. In
          the event the Auction Agent receives from the Indenture Trustee
          written notice of any partial redemption of any Notes, the Auction
          Agent shall request the Securities Depository to notify the Auction
          Agent of the Participants whose Notes have been called for redemption
          and the person or department at such Participant to contact regarding
          such redemption and, within two Business

                                       5

<PAGE>

          Days after the receipt by the Auction Agent of such information, the
          Auction Agent shall request each Participant to disclose to the
          Auction Agent (upon selection by such Participant of the Existing
          Owners whose Notes are to be redeemed) the aggregate principal amount
          of such Notes of each such Existing Owner, if any, that are to be
          redeemed. In the absence of receiving any such information with
          respect to any Existing Owner from such Existing Owner's Participant
          or otherwise, the Auction Agent may continue to treat such Existing
          Owner as the beneficial owner of the principal amount of Notes shown
          in the Existing Owner Registry.

               (iii) The Auction Agent shall be required to register in the
          Existing Owner Registry a transfer of Notes from an Existing Owner to
          another Person only if such transfer is made to a Person through a
          Broker-Dealer and if (A) such transfer is pursuant to an Auction or
          (B) the Auction Agent has been notified in writing (1) in a notice
          substantially in the form of a Notice of Transfer by such Existing
          Owner, by the Participant of such Existing Owner or by the
          Broker-Dealer of such Existing Owner of such transfer, or (2) in a
          notice substantially in the form of a Notice of Failure to Deliver or
          Make Payment by the Broker-Dealer of any Person that purchased or sold
          Notes in an Auction of the failure of such Notes to be transferred as
          a result of the Auction. The Auction Agent is not required to accept
          any Notice of Transfer or Notice of Failure to Deliver or Make Payment
          delivered prior to an Auction unless it is received by the Auction
          Agent by 3:00 p.m. on the Business Day next preceding the applicable
          Auction Date.

          (d) The Auction Agent may request that the Broker-Dealers, as set
     forth in the Broker-Dealer Agreements, provide the Auction Agent with the
     aggregate principal amount of Notes held by such Broker-Dealers for
     purposes of the Existing Owner Registry. Except as permitted by Section
     2.10 hereof, the Auction Agent shall keep confidential any such information
     and shall not disclose any such information so provided to any Person other
     than the relevant Broker-Dealer, the Issuer and the Indenture Trustee,
     provided that the Auction Agent reserves the right to disclose any such
     information if it is advised by its counsel that its failure to do so would
     be unlawful or if failure to do so would expose the Auction Agent to loss,
     liability, claim or damages for which the Auction Agent shall not
     previously have been adequately indemnified.

          (e) The Auction Agent shall send by telecopy or other means a copy of
     any Notice of Notes Outstanding received from the Indenture Trustee to each
     Broker-Dealer in accordance with Section 4.3 of the applicable
     Broker-Dealer Agreement.

          2.3. All Hold Rate, Maximum Rate, Net Loan Rate, Applicable LIBOR
Rate.

          (a) On each Auction Date, the Auction Agent shall determine the All
     Hold Rate, the Maximum Rate and the Applicable LIBOR Rate. The components
     of the Net Loan Rate with respect to each Auction Date shall be determined
     by the Administrator and communicated in writing to the Auction Agent in
     accordance with the Fourth Supplement. Not later than 9:30 a.m. on each
     Auction Date, the Auction Agent shall notify the Indenture Trustee and the
     Broker-Dealers of the All Hold Rate, the Maximum

                                       6

<PAGE>

     Rate, the Net Loan Rate and the Applicable LIBOR Rate so determined. On the
     Closing Date, the Issuer shall give written notice to the Auction Agent of
     the initial ratings on the Notes by each Rating Agency substantially in the
     form of the Notice of Ratings. Thereafter, if there is a change in any of
     such ratings, the Issuer shall give written notice to the Auction Agent
     substantially in the form of the Notice of Ratings within three Business
     Days of its receipt of notice of such change, but not later than the close
     of business on the Business Day immediately preceding an Auction Date if
     the Issuer has received written notice of such change in a rating or
     ratings prior to 12:00 noon on such Business Day, and the Auction Agent
     shall take into account such change in rating or ratings for purposes
     hereof and any Auction so long as such Notice of Ratings is received by the
     Auction Agent no later than the close of business on such Business Day. In
     determining the Maximum Rate and All-Hold Rate on any Auction Date, the
     Auction Agent shall be entitled to rely on the Applicable LIBOR Rate of
     which it has most recently received notice.

          (b) (i) If, on any Auction Date for an Auction Period, an Auction is
          not held for any reason, then the Auction Note Interest Rate for the
          next succeeding Auction Period shall be the lesser of the Net Loan
          Rate and the Maximum Rate.

               (ii) If the ownership of the Notes is no longer maintained in
          Book-entry Form by the Securities Depository, no further Auctions
          shall be held and the Auction Note Interest Rate for each Interest
          Period commencing after the delivery of certificated Notes pursuant to
          Section 2.01(c) of the Fourth Supplement shall equal the lesser of (A)
          the applicable Maximum Rate and (B) the Net Loan Rate in effect for
          such Interest Period as determined by the Indenture Trustee on the
          Business Day immediately preceding the first day of such subsequent
          Interest Period.

               (iii) If a Payment Default shall have occurred with respect to a
          Series of Notes, the Auction Note Interest Rate with respect to such
          Series for each Interest Period commencing on or immediately after the
          occurrence of such Payment Default, and for each Interest Period
          thereafter, to and including the Interest Period, if any, during
          which, or commencing less than two Business Days after, such Payment
          Default is cured, shall equal the Non-Payment Rate, as determined by
          the Indenture Trustee on the first day of such Interest Period as
          provided in Appendix A to the Fourth Supplement. The Interest Rate for
          each Interest Period commencing at least two Business Days after any
          cure or waiver of a Payment Default shall be determined through
          implementation of the Auction Procedures.

          2.4. Auction Schedule. The Auction Agent shall conduct Auctions for
the Notes on the Auction Date in accordance with the schedule set forth below.
Such schedule may be changed by the Auction Agent with the consent of the
Indenture Trustee and the Market Agent, which consents are not to be
unreasonably withheld or delayed. Notice of such a change must be given prior to
the close of business on the Business Day preceding the first Auction Date on
which such change shall be effective.

                                       7

<PAGE>

     Time                                       Event

By 9:30 a.m.                 Auction Agent advises the Indenture Trustee and
                             the Broker-Dealers of the Maximum Rate, the Net
                             Loan Rate, the All Hold Rate, and the Applicable
                             LIBOR Rate to be used in determining the Auction
                             Rate under the Auction Procedures and the Auction
                             Agent Agreement.

9:30 a.m.-1:00 p.m.          Auction Agent assembles information communicated
                             to it by Broker-Dealers as provided in the Auction
                             Procedures. Submission Deadline is 1:00 p.m.

Not earlier than 1:00 p.m.   Auction Agent makes determinations pursuant to
                             Section 2.02(a)(iii) of Appendix A to the Fourth
                             Supplement.

Not later than 3:00 p.m.     Auction Agent advises the Indenture Trustee and
                             the Broker-Dealers of the results of the Auction
                             as provided in Section 2.02(a)(iii)(B) and (C) of
                             Appendix A to the Fourth Supplement. Submitted
                             Bids and Submitted Sell Orders are accepted and
                             rejected in whole or in part and principal amounts
                             of Notes are allocated as provided in the Auction
                             Procedures. Auction Agent gives notice of Auction
                             results as set forth in Section 2.4(a) of the
                             Broker-Dealer Agreement.

     The Auction Agent shall follow the notification procedures set forth in
paragraph (a) of the Settlement Procedures.

          2.5. Changes in Auction Periods or Auction Date.

          (a) Changes in Auction Period or Periods.

               (i) The Auction Agent shall deliver any notice delivered to it
          pursuant to Section 2.02(g)(i) of Appendix A to the Fourth Supplement
          to the Existing Owners within two Business Days of its receipt
          thereof.

               (ii) The Auction Agent shall deliver any Issuer Certificate
          delivered to it pursuant to Section 2.02(g)(iii) of Appendix A to the
          Fourth Supplement to the Broker-Dealers not later than 3:00 p.m. on
          the last Business Day preceding the next Auction Date by telecopy or
          similar means.

               (iii) If, after delivery to the Auction Agent of the notice
          referred to in Section 2.02(g)(i) of Appendix A to the Fourth
          Supplement, the Auction Agent

                                       8

<PAGE>

          fails to receive the Issuer Certificate and the Market Agent consent
          referred to in Section 2.02(g)(iii) of Appendix A to the Fourth
          Supplement by 11:00 a.m. on the last Business Day preceding the next
          Auction Date, the Auction Agent shall deliver a notice of such failure
          in substantially the form of Exhibit G hereto to the Broker-Dealers
          not later than 3:00 p.m. on such Business Day by telecopy or other
          similar means.

               (iv) If, after delivery to the Auction Agent of the notice
          referred to in the Section 2.02(g)(i) of Appendix A to the Fourth
          Supplement and the certificate referred to in Section 2.02(g)(iii) of
          Appendix A to the Fourth Supplement, Sufficient Bids are not received
          by the Auction Agent by the Submission Deadline, the Auction Agent
          shall notify the Broker-Dealers not later than 3:00 p.m. on such
          Auction Date by telephone confirmed in writing in substantially the
          form of Exhibit H hereto the next Business Day.

          (b) Changes in Auction Date. The Auction Agent shall deliver any
     notice delivered to it pursuant to Section 2.02(h) of Appendix A to the
     Fourth Supplement to the Broker-Dealers within three Business Days of its
     receipt thereof.

          2.6. Notice of Fee Rate Change. If the Broker-Dealer Fee Rate is
changed pursuant to the provisions of Section 6.5(b) hereof, the Auction Agent
shall deliver a Notice of Fee Rate Change (i) to the Indenture Trustee with
respect to a change in the Broker-Dealer Fee Rate and (ii) to the Broker-Dealers
with respect to a change in the Broker-Dealer Fee Rate, in each case within two
Business Days of such change.

          2.7. Notices to Existing Owners. The Auction Agent shall be entitled
to rely upon the address of each Broker-Dealer as provided in Section 4.3 of the
applicable Broker-Dealer Agreement in connection with any notice to each
Broker-Dealer, as an Existing Owner, required to be given by the Auction Agent.

          2.8. Payment Default.

          (a) After delivery by the Indenture Trustee to the Auction Agent of a
     notice that a Payment Default shall have occurred, the Auction Agent shall,
     on the Business Day following its receipt of the same, deliver a Notice of
     Payment Default to the Broker-Dealers by telecopy or other similar means.

          (b) The Auction Agent shall deliver a copy of any notice received by
     it from the Indenture Trustee to the effect that a Payment Default has been
     cured to the Broker-Dealers on the Business Day following its receipt of
     the same by telecopy or other similar means.

          2.9. Broker-Dealers.

          (a) If the Auction Agent is provided with a copy of a Broker-Dealer
     Agreement, which has been manually signed, with any Person listed on
     Exhibit A hereto to which the Indenture Trustee, at the direction of an
     Authorized Issuer Officer, shall have consented, it shall enter into such
     Broker-Dealer Agreement with such Person. The

                                       9

<PAGE>

     Issuer hereby directs the Indenture Trustee to consent to William R. Hough
     & Co. and Salomon Smith Barney Inc. as the initial Broker-Dealers.

          (b) The Auction Agent may, at the written direction of an Authorized
     Issuer Officer and with the approval of William R. Hough & Co. and Salomon
     Smith Barney Inc., so long as William R. Hough & Co. and Salomon Smith
     Barney Inc. are acting as Broker-Dealers, enter into a Broker-Dealer
     Agreement with any other Person who requests to be selected to act as a
     Broker-Dealer. The Auction Agent shall have entered into a Broker-Dealer
     Agreement with each Broker-Dealer prior to the participation of any such
     Broker-Dealer in any Auction.

          (c) The Auction Agent shall terminate any Broker-Dealer Agreement as
     set forth therein at the direction of an Authorized Issuer Officer.

          2.10. Access to and Maintenance of Auction Records. The Auction Agent
shall afford to the Indenture Trustee, the Issuer and their respective agents,
independent public accountants and counsel access, at reasonable times during
normal business hours, to review and make extracts or copies (at no cost to the
Auction Agent) of all books, records, documents and other information concerning
the conduct and results of Auctions, provided that any such agent, accountant or
counsel shall furnish the Auction Agent with a letter from the Indenture Trustee
or the Issuer requesting that the Auction Agent afford such Person access. For
purposes of this Section 2.10, the Broker-Dealers shall not be considered to be
agents of the Indenture Trustee or the Issuer. The Auction Agent shall maintain
records relating to any Auction for a period of two years after such Auction (or
for such longer period requested in writing by the Indenture Trustee or the
Issuer, not to exceed four years after each Auction), and such records shall, in
reasonable detail, accurately and fairly reflect the actions taken by the
Auction Agent hereunder. At the end of such period, the Auction Agent shall
deliver such records to the Indenture Trustee, if so requested in writing. The
Indenture Trustee and the Issuer agree to keep any information regarding the
conduct and results of the Auctions, including, without limitation, information
regarding customers of any Broker-Dealer, received from the Auction Agent in
connection with this Auction Agent Agreement confidential and shall not disclose
such information or permit the disclosure of such information without the prior
written consent of the applicable Broker-Dealer to anyone except such agent,
accountant or counsel engaged to audit or review the results of Auctions as
permitted by this Section 2.10. Any such agent, accountant or counsel, before
having access to such information, shall agree to keep such information
confidential and not to disclose such information or permit disclosure of such
information without the prior written consent of the applicable Broker-Dealer,
except as may otherwise be required by law.

                                       10

<PAGE>

     Section 3.Term of Agreement.

          (a) This Auction Agent Agreement shall terminate on the earlier to
     occur of (i) the satisfaction and discharge of the Fourth Supplement with
     respect to the Notes or this Auction Agent Agreement and (ii) the date on
     which this Auction Agent Agreement is terminated in accordance with this
     Section 3. The Indenture Trustee may terminate this Auction Agent Agreement
     in accordance with Section 2.02(e)(i) of Appendix A to the Fourth
     Supplement. The Auction Agent may terminate this Auction Agent Agreement
     upon written notice to the Indenture Trustee, the Issuer and each
     Broker-Dealer on the date specified in such notice, which date shall be no
     earlier than 90 days after the date of delivery of such notice.
     Notwithstanding the foregoing, the provisions of Section 2 hereof shall
     terminate upon the delivery of certificates representing Notes pursuant to
     the Fourth Supplement. Notwithstanding the foregoing, the Auction Agent may
     terminate this Agreement without further notice if, within 25 days after
     notifying in writing the Indenture Trustee, the Issuer and each
     Broker-Dealer that it has not received payment of any Auction Agent Fee due
     it in accordance with the terms hereof, the Auction Agent does not receive
     such payment. Any resignation of the Auction Agent or termination of this
     Auction Agent Agreement, other than as described in the preceding sentence
     of this paragraph, shall not become effective until a successor Auction
     Agent has been appointed and acceptance of such appointment by such
     successor Auction Agent. The Issuer and the Indenture Trustee agree to
     diligently proceed to appoint a successor Auction Agent. However, if a
     successor Auction Agent shall not have been appointed within 60 days from
     the date of such notice of resignation, the resigning Auction Agent may
     petition any court of competent jurisdiction for the appointment of a
     successor Auction Agent.

          (b) Except as otherwise provided in this Section 3(b), the respective
     rights and duties of the Indenture Trustee, the Issuer and the Auction
     Agent under this Auction Agent Agreement shall cease upon termination of
     this Auction Agent Agreement. The Indenture Trustee's representations and
     warranties to the Auction Agent under Section 5 hereof, the Issuer's
     obligations to the Auction Agent under Section 6.4 hereof and to the
     Broker-Dealers under Section 6.5 hereof, and the Auction Agent's
     obligations under Section 2.10 hereof shall survive the termination of this
     Auction Agent Agreement subject to Section 4 hereof. Upon termination of
     this Auction Agent Agreement, the Auction Agent shall, upon written
     request, promptly deliver to the Indenture Trustee copies of all books and
     records maintained by it with respect to Notes in connection with its
     duties hereunder.

     Section 4. Indenture Trustee. All privileges, rights and immunities given
to the Indenture Trustee in the Fourth Supplement are hereby extended to and
applicable to the Indenture Trustee's obligations hereunder.

     Section 5. Representations and Warranties of the Indenture Trustee. The
Indenture Trustee hereby represents and warrants to the Auction Agent and the
Issuer as follows:

          5.1. The Indenture Trustee (i) has been duly incorporated and is
validly existing and in good standing as a banking corporation under the laws of
Ohio, and (ii) has all

                                       11

<PAGE>

necessary authority, approvals, consents (whether from the Issuer or otherwise)
to enter into and perform its obligations under this Auction Agent Agreement.
This Auction Agent Agreement has been duly and validly authorized, executed and
delivered by the Indenture Trustee and constitutes the legal, valid, binding and
enforceable obligation of the Indenture Trustee.

          5.2 Neither the execution, delivery and performance of this Auction
Agent Agreement, the consummation of the transactions contemplated hereby nor
the fulfillment of or compliance with the terms and conditions of this Auction
Agent Agreement will conflict with, violate or result in a breach of, the terms,
conditions or provisions of, or constitute a default under, any law or
regulation, any order or decree of any court or public authority having
jurisdiction over the Indenture Trustee, or any mortgage, indenture, contract,
agreement or undertaking to which the Indenture Trustee is a party or by which
it is bound, or the organizational documents pursuant to which the Indenture
Trustee has been created and under which it is operating.

          5.3  All approvals, consents and orders of any governmental authority,
legislative body, board, agency or commission having jurisdiction over the
Indenture Trustee that would constitute a condition precedent to or the absence
of which would materially adversely affect the due performance by the Indenture
Trustee of its obligations under this Auction Agent Agreement have been
obtained.

     Section 6. The Auction Agent.

          6.1 Duties and Responsibilities.

          (a) The Auction Agent is acting solely as agent of the Issuer and owes
     no fiduciary duties to any Person by reason of this Auction Agent
     Agreement. The Auction Agent undertakes to perform such duties and only
     such duties as are specifically set forth in this Auction Agent Agreement,
     and no implied covenants or obligations shall be read into this Auction
     Agent Agreement by means of the provisions of the Fourth Supplement or
     otherwise against the Auction Agent.

          (b) In the absence of bad faith or negligence on its part, the Auction
     Agent shall not be liable for any action taken, suffered or omitted or for
     any error of judgment made by it in the performance of its duties under
     this Auction Agent Agreement. The Auction Agent shall not be liable for any
     error of judgment made in good faith unless the Auction Agent shall have
     been negligent in ascertaining the pertinent facts.

          (c) The Auction Agent shall not agree to any amendment to a
     Broker-Dealer Agreement without the prior written consent of the Issuer,
     which consent shall not be unreasonably withheld.

                                       12

<PAGE>

          6.2 Rights of the Auction Agent.

          (a) The Auction Agent may rely and shall be protected in acting or
     refraining from acting upon any communication authorized hereby and upon
     any written instruction, notice, request, direction, consent, report,
     certificate, form of note certificate or other instrument, paper or
     document believed by it to be genuine. The Auction Agent shall not be
     liable for acting upon any telephone communication authorized hereby that
     the Auction Agent believes in good faith to have been given by the Issuer,
     the Indenture Trustee or by a Broker-Dealer. The Auction Agent may record
     telephone communications with the Issuer, the Indenture Trustee or with
     Broker-Dealers or with any of the foregoing.

          (b) The Auction Agent may consult with counsel of its choice, and the
     advice or opinion of such counsel shall be full and complete authorization
     and protection in respect of any action taken, suffered or omitted by it
     hereunder in good faith and in reliance thereon.

          (c) The Auction Agent shall not be required to advance, expend or risk
     its own funds or otherwise incur or become exposed to financial liability
     in the performance of its duties hereunder.

          (d) The Auction Agent may perform its duties and exercise its rights
     hereunder either directly or by or through agents, attorneys, nominees or
     custodians and shall not be responsible for any misconduct or negligence on
     the part of any agent or attorney appointed by it with due care hereunder.

          6.3 Auction Agent's Disclaimer. The Auction Agent makes no
representation as to the correctness of the recitals in this Auction Agent
Agreement or the Broker-Dealer Agreement with respect to other parties thereto
or the validity or adequacy of the Notes.

          6.4 Compensation, Remedies and Indemnification.

          (a) With respect to each Series of the Notes, not later than 12:00
     noon on each Payment Date following the Interest Period relating to such
     Series of Notes, when such Interest Period is shorter than six months, or
     on the last Business Day of each calendar quarter, when the Interest Period
     relating to such Series of Notes is six months or longer, the Issuer shall
     pay to the Auction Agent, solely from moneys available therefor in the
     Revenue Fund, a fee (the "Auction Agent Fee") in cash equal to the product
     of (i) 0.01% times (ii) a fraction, the numerator of which is the number of
     days since the later of the Closing Date or the date the Auction Agent Fee
     was last paid and the denominator of which is 360, times (iii) the
     aggregate principal amount of Notes of such Series outstanding since the
     later of the Closing Date or the date the Auction Agent Fee was last paid.
     The Auction Agent shall advise the Issuer of the amount referred to in the
     preceding sentence not later than 4:00 p.m. at least two Business Days
     preceding such Payment Date.

          (b) The Indenture Trustee shall reimburse the Auction Agent upon its
     request for all reasonable expenses, disbursements and advances incurred or
     made by the Auction

                                       13

<PAGE>

     Agent in accordance with any provision of this Auction Agent Agreement or
     the Broker-Dealer Agreements (including the reasonable compensation and
     expenses and disbursements of its agents and counsel) from amounts
     available therefor in the Revenue Fund. To the extent permitted by law and
     limited to amounts in the Trust Estate created by the Indenture, the Issuer
     shall indemnify and hold harmless the Auction Agent for and against any
     loss, liability or expense incurred without negligence or willful
     misconduct on the Auction Agent's part, arising out of or in connection
     with the acceptance or administration of its agency under this Auction
     Agent Agreement and the Broker-Dealer Agreements, including the reasonable
     costs and expenses (including the reasonable fees and expenses of its
     counsel) of defending itself against any such claim or liability in
     connection with its exercise or performance of any of its duties hereunder
     and thereunder and of enforcing this indemnification provision; provided
     that the Issuer shall not indemnify the Auction Agent pursuant to this
     Section 6.4(b) for any fees and expenses incurred by the Auction Agent in
     the normal course of performing its duties hereunder and under the
     Broker-Dealer Agreements, such fees and expenses being payable as provided
     in Section 6.4(a) above.

          (c) The provisions of Sections 6.4(a) shall be subject to fee
     arrangements between the parties in effect from time to time.

          6.5 Compensation of the Broker-Dealers.

          (a) With respect to each Series of the Notes, not later than 12:00
     noon on each Payment Date following the Interest Period relating to such
     Series of Notes, when such Interest Period is shorter than six months, or
     on the last Business Day of each calendar quarter, when the Interest Period
     relating to such Series of Notes is six months or longer, the Issuer,
     pursuant to the Fourth Supplement, shall pay to the Auction Agent, solely
     from moneys available therefor in the Revenue Fund, a fee (the
     "Broker-Dealer Fee") in cash equal to the product of (i) the Broker-Dealer
     Fee Rate times (ii) a fraction, the numerator of which is the number of
     days since the later of the Closing Date or the date the Broker-Dealer Fee
     was last paid and the denominator of which is 360, times (iii) the
     aggregate principal amount of Notes of such Series outstanding since the
     later of the Closing Date or the date the Broker-Dealer Fee was last paid.
     The Auction Agent shall advise the Issuer of the amount referred to in the
     preceding sentence not later than 4:00 p.m. at least two Business Days
     preceding such Payment Date. The Auction Agent shall apply such monies as
     set forth in Section 2.5 of the Broker-Dealer Agreements.

          (b) After retaining an amount equal to the Auction Agent Fee as
     provided in Section 6.4 above, the Auction Agent shall pay the
     Broker-Dealer Fee as provided in Section 6.5(a) above solely out of amounts
     received by the Auction Agent pursuant to Appendix A to the Fourth
     Supplement. The Auction Agent shall advise the Issuer at least annually, at
     the request of an Authorized Issuer Officer, of the prevailing rate. The
     Broker-Dealer Fee Rate may be adjusted from time to time with the approval
     of an Authorized Issuer Officer upon a written request of the Auction Agent
     or a Broker-Dealer, delivered to the Indenture Trustee and the Issuer. The
     initial Broker-Dealer Fee Rate shall be 0.25% per annum. If the
     Broker-Dealer Fee Rate is changed pursuant to the terms hereof, the Auction
     Agent shall notify the Indenture Trustee thereof as provided in

                                       14

<PAGE>

     Section 2.6 hereof. Any changes in the Broker-Dealer Fee Rate shall be
     effective on the Auction Date next succeeding such change.

     Section 7. Miscellaneous.

          7.1 Governing Law. This Auction Agent Agreement shall be governed
by and construed in accordance with the laws of the State of New York applicable
to agreements made and to be performed in such state.

          7.2 Communications. Except for (i) communications authorized to be
made by telephone pursuant to this Auction Agent Agreement or the Auction
Procedures and (ii) communications in connection with Auctions (other than those
expressly required to be in writing), all notices, requests and other
communications to any party hereunder shall be in writing (including facsimile
or similar writing) and shall be given to such party addressed to it at its
address, or facsimile number set below:

If to the Market Agent:             WILLIAM R. HOUGH & CO.
                                    100 Second Avenue South, Suite 800
                                    St. Petersburg, Florida 33701
                                    Attention: Syndicate Desk
                                    Telephone Number: (727) 825-7734
                                    Facsimile Number: (727) 502-3625

If to the Auction Agent:            DEUTSCHE BANK TRUST COMPANY AMERICAS
                                    100 Plaza One, 6th Floor
                                    Jersey City, New Jersey 07311
                                    Telephone: (201) 593-6878
                                    Facsimile: (201) 593-6447

If to the initial Broker-Dealers:   WILLIAM R. HOUGH & CO.
                                    100 Second Avenue South, Suite 800
                                    St. Petersburg, Florida 33701
                                    Attention: Syndicate Desk
                                    Telephone Number: (727) 825-7734
                                    Facsimile Number: (727) 502-3625

                                    SALOMON SMITH BARNEY INC.
                                    388 Greenwich Street, 35th Floor
                                    New York, New York 10013
                                    Attention: Student Loan Group
                                    Telephone Number: (212) 816-9964
                                    Facsimile Number: (212) 816-0598

If to the Indenture Trustee:        FIFTH THIRD BANK
                                    Corporate Trust Administration
                                    MD 10AT60
                                    38 Fountain Square Plaza

                                       15

<PAGE>

                                    Cincinnati, OH  45263
                                    Telephone: (513) 534-3367
                                    Facsimile: (513) 534-6785

If to the Issuer:                   EDUCATION FUNDING CAPITAL TRUST-I
                                    c/o Fifth Third Bank
                                    Corporate Trust Administration
                                    MD 10AT60
                                    38 Fountain Square Plaza
                                    Cincinnati, OH  45263
                                    Telephone: (513) 534-3367
                                    Facsimile: (513) 534-6785

with a copy to:                     Wilmington Trust Company
                                    Rodney Square North
                                    1100 North Market Street
                                    Wilmington, Delaware 19890-0001
                                    Attention: Corporate Trust Administration
                                    Telephone: (203) 975-6112
                                    Facsimile: (203) 975-6299

or such other address, telephone or facsimile number as such party may hereafter
specify for such purpose by notice in writing to the other parties. Each such
notice, request or communication shall be effective when delivered at the
address specified herein. Communications shall be given on behalf of the
Indenture Trustee by an Authorized Trustee Representative, on behalf of the
Auction Agent by an Authorized Auction Agent Officer and on behalf of the Issuer
by an Authorized Issuer Officer.

          7.3 Entire Agreement. This Auction Agent Agreement contains the entire
agreement between the parties relating to the subject matter hereof, and there
are no other representations, endorsements, promises, agreements or
understandings, oral, written or inferred, between the parties relating to the
subject matter hereof.

          7.4 Benefits. Nothing herein, express or implied, shall give to any
Person, other than the Indenture Trustee, acting on behalf of the beneficial
owners of the Notes, the Auction Agent, the Issuer and their respective
successors and assigns, any benefit of any legal or equitable right, remedy or
claim hereunder.

          7.5 Amendment; Waiver.

          (a) This Auction Agent Agreement shall not be deemed or construed to
     be modified, amended, rescinded, canceled or waived, in whole or in part,
     except by a written instrument signed by duly authorized representatives of
     the parties hereto.

          (b) The Indenture Trustee and the Issuer shall not enter into or
     approve any amendment of or supplement to the Fourth Supplement that
     materially affects the Auction Agent's duties or obligations under the
     Fourth Supplement without obtaining the

                                       16

<PAGE>

     prior written consent of the Auction Agent. The Indenture Trustee shall
     promptly notify the Auction Agent of any amendment of or supplement to the
     Fourth Supplement, and shall provide a copy thereof to the Auction Agent
     upon request.

          (c) Failure of a party hereto to exercise any right or remedy
     hereunder in the event of a breach hereof by any other party shall not
     constitute a waiver of any such right or remedy with respect to any
     subsequent breach.

          7.6 Successors and Assigns. This Auction Agent Agreement shall be
binding upon, inure to the benefit of and be enforceable by the respective
successors and assigns of each of the Indenture Trustee, the Issuer and the
Auction Agent. This Auction Agent Agreement may not be assigned by any party
hereto absent the prior written consent of the other parties hereto, which
consents shall not be unreasonably withheld.

          7.7 Severability. If any clause, provision or section hereof shall be
ruled invalid or unenforceable by any court of competent jurisdiction, the
invalidity or unenforceability of such clause, provision or section shall not
affect any of the remaining clauses, provisions or sections hereof.

          7.8 Execution in Counterparts. This Auction Agent Agreement may be
executed in several counterparts, each of which shall be an original and all of
which shall constitute but one and the same instrument.

                [remainder of this page intentionally left blank]

                                       17

<PAGE>

     IN WITNESS WHEREOF, the parties hereto have caused this Auction Agent
Agreement to be duly executed and delivered by their proper and duly authorized
officers as of the date first above written.

                                            EDUCATION FUNDING CAPITAL TRUST-I,
                                            as Issuer, by Fifth Third Bank, not
                                            in its individual capacity, but
                                            solely as Co-Owner Trustee on behalf
                                            of the Issuer

                                            By:
                                               ---------------------------------

                                            Title:
                                                  ------------------------------

                                            FIFTH THIRD BANK,
                                            as Indenture Trustee

                                            By:
                                               ---------------------------------

                                            Title:
                                                  ------------------------------

                                            DEUTSCHE BANK TRUST COMPANY
                                            AMERICAS, as Auction Agent

                                            By:
                                               ---------------------------------

                                            Title:
                                                  ------------------------------

                                       18

<PAGE>

                                    EXHIBIT A
                           TO AUCTION AGENT AGREEMENT

                         LIST OF INITIAL BROKER-DEALERS

          Notes:                                Broker-Dealers:
          ------                                ---------------

         Series 2002A1-1                    William R. Hough & Co.

         Series 2002A1-2                    William R. Hough & Co.

         Series 2002A1-3                    William R. Hough & Co.

         Series 2002A1-4                    William R. Hough & Co.

         Series 2002A1-5                    William R. Hough & Co.

         Series 2002A1-6                    William R. Hough & Co.

         Series 2002A1-7                    William R. Hough & Co.

         Series 2002A1-8                    William R. Hough & Co.

         Series 2002A1-9                    William R. Hough & Co.

         Series 2002A1-10                   William R. Hough & Co.

         Series 2002A1-11                   William R. Hough & Co.

         Series 2002A1-12                   Salomon Smith Barney Inc.

         Series 2002A1-13                   Salomon Smith Barney Inc.

         Series 2002B1-1                    William R. Hough & Co.

         Series 2002B1-2                    William R. Hough & Co.

                                      A-1

<PAGE>

                                    EXHIBIT B
                           TO AUCTION AGENT AGREEMENT

                                NOTICE OF RATINGS

                        Education Funding Capital Trust-I

     $_______ Education Loan Backed Notes consisting of Auction Rate
     Education Loan Backed Notes, Series 2002A1-1 Notes, Series 2002A1-2
     Notes, Series 2002A1-3 Notes, Series 2002A1-4 Notes, Series 2002A1-5
     Notes, Series 2002A1-6 Notes, Series 2002A1-7 Notes, Series 2002A1-8
     Notes, Series 2002A1-9 Notes, Series 2002A1-10 Notes, Series 2002A1-11
     Notes, Series 2002A1-12 Notes, Series 2002A1-13 Notes (collectively,
     the "Series 2002A1 Notes"), and Auction Rate Education Loan Backed
     Notes, Series 2002B1-1 and Series 2002B1-2 (collectively, the "Series
     2002B1 Notes")

          NOTICE IS HEREBY GIVEN by Education Funding Capital Trust-I (the
"Issuer") to            , as the auction agent (the "Auction Agent") pursuant to
            ------------
Section 2.3(a) of the Auction Agent Agreement, that as of the date of this
Notice:

          1.   The rating by Fitch Ratings on the captioned Series 2002A1 Notes
               is        [and such rating is ["AAA" or higher/lower than AAA]]*;
                  ------

          2.   The rating by Moody's Investors Services, Inc. on the captioned
               Series 2002A1 Notes is        [and such rating is ["Aaa" or
                                      ------
               higher/lower than Aaa]]*;

          3.   The rating by Standard & Poor's on the captioned Series 2002A1
               Notes is        [and such rating is ["AAA" or higher/lower than
                        ------
               AAA]]*;

          4.   The rating by Fitch Ratings on the captioned Series 2002B1
               Subordinate Notes is        ["A" or higher/lower than A]]*.
                                    ------

          5.   The rating by Moody's Investors Service, Inc. on the captioned
               Series 2002B1 Notes is        ["A3" or higher/lower than A3]]*;
                                      ------
               and

          6.   The rating by Standard & Poor's on the captioned Series 2002B1
               Subordinate Notes is        ["A" or higher/lower than A]]*.
                                    ------

----------
* The information in the outer brackets will be used as applicable whenever (i)
the Fitch rating is not equal to AAA on the Series 2002A1 Notes and/or A on the
Series 2002B1 Notes,(ii) the Moody's rating is not equal to Aaa on the Series
2002A1 Notes and/or A3 on the Series 2002B1 Notes, and/or (iii) the S&P rating
is not equal to AAA on the Series 2002A1 Notes and/or A on the Series2002B1
Notes.

                                      B-1

<PAGE>

The Auction Agent may rely on such ratings for all purposes of the Fourth
Supplement (as defined in the Auction Agent Agreement), including determination
of the Maximum Rate thereunder, from the date hereof until further notice from
the undersigned.

                                            EDUCATION FUNDING CAPITAL TRUST-I

                                            By:
                                               ---------------------------------
                                            Title:
                                                  ------------------------------
                                            Date:
                                                 -------------------------------

                                      B-2

<PAGE>

                                    EXHIBIT C
                           TO AUCTION AGENT AGREEMENT

                           NOTICE OF NOTES OUTSTANDING

                        EDUCATION FUNDING CAPITAL TRUST-I
                    AUCTION RATE EDUCATION LOAN BACKED NOTES
                            SERIES 2002[A1][B1]-[__]

          NOTICE IS HEREBY GIVEN that $___________ aggregate principal amount of
Series 2002[A1][B1]-[__] Notes were outstanding at the close of business on the
immediately preceding Regular Record Date. Such aggregate principal amount of
Series 2002[A1][B1]-[__] Notes, less $___________ aggregate principal amount of
Series 2002[A1][B1]-[__] Notes to be redeemed by the Issuer pursuant to the
Fourth Supplement, for a net aggregate principal amount of Series
2002[A1][B1]-[__] Notes of $___________, will be available on the next Auction
scheduled to be held on                 .
                        ----------------

          Terms used herein have the meanings set forth in the Fourth Supplement
relating to the above-referenced issue.

                                      FIFTH THIRD BANK, as Indenture Trustee

                                      By:
                                         ---------------------------------------
                                      Title:
                                            ------------------------------------
                                      Date:
                                           -------------------------------------

                                      C-1

<PAGE>

                                    EXHIBIT D
                           TO AUCTION AGENT AGREEMENT

                            NOTICE OF FEE RATE CHANGE

                        EDUCATION FUNDING CAPITAL TRUST-I
                    AUCTION RATE EDUCATION LOAN BACKED NOTES
           SERIES 2002A1-1, A1-2, A1-3, A1-4, A1-5, A1-6, A1-7, A1-8,
                A1-9, A1-10, A1-11, A1-12, A1-13, B1-1, and B1-2

          NOTICE IS HEREBY GIVEN that the Broker-Dealer Fee Rate has been
changed in accordance with Section 6.5(b) of the Auction Agent Agreement. The
new Broker-Dealer Fee Rate shall be       % per annum.
                                    ------

          Terms used herein have the meanings set forth in the Fourth Supplement
relating to the above-referenced issue.

                                     DEUTSCHE BANK TRUST COMPANY
                                     AMERICAS, as Auction Agent

                                     By:
                                        ----------------------------------------
                                     Title:
                                           -------------------------------------
                                     Date:
                                          --------------------------------------

APPROVED:

EDUCATION FUNDING CAPITAL TRUST-I

By:
   ----------------------------
Title:
      -------------------------
Date:
     --------------------------

                                      D-1

<PAGE>

                                    EXHIBIT E
                           TO AUCTION AGENT AGREEMENT

                           NOTICE OF A PAYMENT DEFAULT

                        EDUCATION FUNDING CAPITAL TRUST-I
                    AUCTION RATE EDUCATION LOAN BACKED NOTES
           SERIES 2002A1-1, A1-2, A1-3, A1-4, A1-5, A1-6, A1-7, A1-8,
                A1-9, A1-10, A1-11, A1-12, A1-13, B1-1, and B1-2

          NOTICE IS HEREBY GIVEN that a Payment Default has occurred and not
been cured with respect to the Series 2002[A1][B1]-    Notes. Determination of
                                                   ---
the Auction Note Interest Rate on the Notes pursuant to the Auction Procedures
will be suspended. The Auction Note Interest Rate on such Series of the Notes
for the Interest Period commencing on or immediately after such Payment Default,
and for each Interest Period thereafter, to and including the Interest Period,
if any, during which, or commencing less than two Business Days after, such
Payment Default is cured, will equal the Non-Payment Rate, as it is determined
by the Indenture Trustee on the first day of such Interest Period.

          Terms used herein have the meanings set forth in the Fourth Supplement
relating to the above-referenced issue.

                                     DEUTSCHE BANK TRUST COMPANY
                                     AMERICAS, as Auction Agent

                                     By:
                                        ----------------------------------------
                                     Title:
                                           -------------------------------------
                                     Date:
                                          --------------------------------------

                                      E-1

<PAGE>

                                    EXHIBIT F
                           TO AUCTION AGENT AGREEMENT

                              SETTLEMENT PROCEDURES

     If not otherwise defined below, capitalized terms used herein shall have
the meanings given such terms in Appendix A to the Fourth Supplement. These
Settlement Procedures apply separately to each Series of Auction Rate Notes.

     (a) On each Auction Date, not later than 3:00 p.m., the Auction Agent shall
notify by telephone each Broker-Dealer that participated in the Auction held on
such Auction Date and submitted an Order on behalf of an Existing Owner or
Potential Owner of:

               (i) the Auction Note Interest Rate fixed for the next Interest
Period;

               (ii) whether there were Sufficient Bids in such Auction;

               (iii) if such Broker-Dealer (a "Seller's Broker-Dealer")
submitted Bids or Sell Orders on behalf of an Existing Owner, whether such Bid
or Sell Order was accepted or rejected, in whole or in part, and the principal
amount of Auction Rate Notes, if any, to be purchased or sold by such Existing
Owner;

               (iv) if such Broker-Dealer (a "Buyer's Broker-Dealer") submitted
a Bid on behalf of a Potential Owner, whether such Bid was accepted or rejected,
in whole or in part, and the principal amount of Auction Rate Notes, if any, to
be purchased by such Potential Owner;

               (v) if the aggregate amount of Auction Rate Notes to be sold by
all Existing Owners on whose behalf such Seller's Broker-Dealer submitted Bids
or Sell Orders exceeds the aggregate principal amount of Auction Rate Notes to
be purchased by all Potential Owners on whose behalf such Buyer's Broker-Dealer
submitted a Bid, the name or names of one or more Buyer's Broker-Dealers (and
the name of the Participant, if any, of each such Buyer's Broker-Dealer) acting
for one or more purchasers of such excess principal amount of Auction Rate Notes
and the principal amount of Auction Rate Notes to be purchased from one or more
Existing Owners on whose behalf such Seller's Broker-Dealer acted by one or more
Potential Owners on whose behalf each of such Buyer's Broker-Dealers acted;

               (vi) if the principal amount of Auction Rate Notes to be
purchased by all Potential Owners on whose behalf such Buyer's Broker-Dealer
submitted a Bid exceeds the amount of Auction Rate Notes to be sold by all
Existing Owners on whose behalf such Seller's Broker-Dealer submitted a Bid or a
Sell Order, the name or names of one or more Seller's Broker-Dealers (and the
name of the Participant, if any, of each such Seller's Broker-Dealer) acting for
one or more sellers of such excess principal amount of Auction Rate Notes and
the principal amount of Auction Rate Notes to be sold to one or more Potential
Owners on whose

                                      F-1

<PAGE>

behalf such Buyer's Broker-Dealer acted by one or more Existing Owners on whose
behalf each of such Seller's Broker-Dealers acted;

               (vii) the Auction Date for the next succeeding Auction.

     (b) On each Auction Date, each Broker-Dealer that submitted an Order on
behalf of any Existing Owner or Potential Owner shall:

               (i) advise each Existing Owner and Potential Owner on whose
behalf such Broker-Dealer submitted a Bid or Sell Order in the Auction on such
Auction Date whether such Bid or Sell Order was accepted or rejected, in whole
or in part;

               (ii) in the case of a Broker-Dealer that is a Buyer's
Broker-Dealer, advise each Potential Owner on whose behalf such Buyer's
Broker-Dealer submitted a Bid that was accepted, in whole or in part, to
instruct such Potential Owner's Participant to pay to such Buyer's Broker-Dealer
(or its Participant) through the Securities Depository the amount necessary to
purchase the principal amount of Auction Rate Notes to be purchased pursuant to
such Bid against receipt of such Auction Rate Notes;

               (iii) in the case of a Broker-Dealer that is a Seller's
Broker-Dealer, instruct each Existing Owner on whose behalf such Seller's
Broker-Dealer submitted a Sell Order that was accepted, in whole or in part, or
a Bid that was accepted, in whole or in part, to instruct such Existing Owner's
Participant to deliver to such Seller's Broker-Dealer (or its Participant)
through the Securities Depository the principal amount of Auction Rate Notes to
be sold pursuant to such Order against payment therefor;

               (iv) advise each Existing Owner on whose behalf such
Broker-Dealer submitted an Order and each Potential Owner on whose behalf such
Broker-Dealer submitted a Bid of the Auction Note Interest Rate for the next
Interest Period;

               (v) advise each Existing Owner on whose behalf such Broker-Dealer
submitted an Order of the next Auction Date; and

               (vi) advise each Potential Owner on whose behalf such
Broker-Dealer submitted a Bid that was accepted, in whole or in part, of the
next Auction Date.

     (c) On the basis of the information provided to it pursuant to paragraph
(a) above, each Broker-Dealer that submitted a Bid or Sell Order in an Auction
is required to allocate any funds received by it in connection with such Auction
pursuant to paragraph (b)(ii) above, and any Auction Rate Notes received by it
in connection with such Auction pursuant to paragraph (b)(iii) above among the
Potential Owners, if any, on whose behalf such Broker-Dealer submitted Bids, the
Existing Owners, if any, on whose behalf such Broker-Dealer submitted Bids or
Sell Orders in such Auction, and any Broker-Dealers identified to it by the
Auction Agent following such Auction pursuant to paragraph (a)(v) or (a)(vi)
above.

                                      F-2

<PAGE>

     (d) On each Auction Date:

               (i) each Potential Owner and Existing Owner with an Order in the
Auction on such Auction Date shall instruct its Participant as provided in
(b)(ii) or (b)(iii) above, as the case may be;

               (ii) each Seller's Broker-Dealer that is not a Participant of the
Securities Depository shall instruct its Participant (A) pay through the
Securities Depository to the Participant of the Existing Holder delivering
Auction Rate Notes to such Broker-Dealer following such Auction pursuant to
paragraph (b)(ii) above the amount necessary to purchase such Auction Rate Notes
against receipt of such Auction Rate Notes and (B) deliver such Auction Rate
Notes through the Securities Depository to a Buyer's Broker-Dealer (or its
Participant) identified to such Seller's Broker-Dealer pursuant to (a)(v) above
against payment therefor; and

               (iii) each Buyer's Broker-Dealer that is not a Participant of the
Securities Depository shall instruct its Participant to pay through the
Securities Depository to a Seller's Broker-Dealer (or its Participant)
identified following such Auction pursuant to (a)(vi) above the amount necessary
to purchase Auction Rate Notes to be purchased pursuant to (b)(ii) above against
receipt of such Auction Rate Notes.

     (e) On the Business Day following each Auction Date:

               (i) each Participant for a Bidder in the Auction on such Auction
Date referred to in (d)(i) above shall instruct the Securities Depository to
execute the transactions described under (b)(ii) or (b)(iii) above for such
Auction, and the Securities Depository shall execute such transactions;

               (ii) each Seller's Broker-Dealer or its Participant shall
instruct the Securities Depository to execute the transactions described in
(d)(ii) above for such Auction, and the Securities Depository shall execute such
transactions; and

               (iii) each Buyer's Broker-Dealer or its Participant shall
instruct the Securities Depository to execute the transactions described in
(d)(iii) above for such Auction, and the Securities Depository shall execute
such transactions.

     (f) If an Existing Owner selling Auction Rate Notes in an Auction fails to
deliver such Auction Rate Notes (by authorized book-entry), a Broker-Dealer may
deliver to the Potential Owner on behalf of which it submitted a Bid that was
accepted a principal amount of Auction Rate Notes that is less than the
principal amount of Auction Rate Notes that otherwise was to be purchased by
such Potential Owner. In such event, the principal amount of Auction Rate Notes
to be so delivered shall be determined solely by such Broker-Dealer. Delivery of
such lesser principal amount of Auction Rate Notes shall constitute good
delivery. Notwithstanding the foregoing terms of this paragraph (f), any
delivery or nondelivery of Auction Rate Notes that shall represent any departure
from the results of an Auction, as determined by the Auction Agent, shall be of
no effect unless and until the Auction Agent shall

                                      F-3

<PAGE>

have been notified of such delivery or nondelivery in accordance with the
provisions of the Auction Agent Agreement and the Broker-Dealer Agreements.
Neither the Indenture Trustee nor the Auction Agent shall have any
responsibility or liability with respect to the failure of a Potential Owner,
Existing Owner or their respective Broker-Dealer or Participant to take delivery
of or deliver, as the case may be, the principal amount of Auction Rate Notes or
to pay for the Auction Rate Notes purchased or sold pursuant to an Auction or
otherwise.

                                      F-4

<PAGE>

                                    EXHIBIT G
                           TO AUCTION AGENT AGREEMENT

                    NOTICE OF CONTINUATION OF AUCTION PERIOD

                        EDUCATION FUNDING CAPITAL TRUST-I
                    AUCTION RATE EDUCATION LOAN BACKED NOTES
           SERIES 2002A1-1, A1-2, A1-3, A1-4, A1-5, A1-6, A1-7, A1-8,
                A1-9, A1-10, A1-11, A1-12, A1-13, B1-1, and B1-2

          NOTICE IS HEREBY GIVEN that a condition for the establishment of a
change in the length of one or more Auction Periods for the captioned Notes has
not been met. An Auction will therefor be held on the next Auction Date
(__________________) and the length of such Auction Period shall remain an
Auction Period of         days.
                  -------

                                     DEUTSCHE BANK TRUST COMPANY
                                     AMERICAS, as Auction Agent

                                     By:
                                        ----------------------------------------
                                     Title:
                                           -------------------------------------
                                     Date:
                                          --------------------------------------

                                       G-1

<PAGE>

                                    EXHIBIT H
                           TO AUCTION AGENT AGREEMENT

                             NOTICE OF INTEREST RATE

                        EDUCATION FUNDING CAPITAL TRUST-I
                    AUCTION RATE EDUCATION LOAN BACKED NOTES
           SERIES 2002A1-1, A1-2, A1-3, A1-4, A1-5, A1-6, A1-7, A1-8,
                A1-9, A1-10, A1-11, A1-12, A1-13, B1-1, and B1-2

          NOTICE IS HEREBY GIVEN that Sufficient Bids necessary for the
establishment of a change in the length of one or more Auction Periods for the
captioned Notes have not been received. The Auction Note Interest Rate for the
Auction Period commencing on                 shall be the least of the Auction
                             ---------------
Rate, the Net Loan Rate and the Maximum Rate, and such Auction Period shall
remain an Auction Period of       days.
                            -----

                                     DEUTSCHE BANK TRUST COMPANY
                                     AMERICAS, as Auction Agent

                                     By:
                                        ----------------------------------------
                                     Title:
                                           -------------------------------------
                                     Date:
                                          --------------------------------------

                                      H-1<PAGE>

                                                                    Exhibit 10.8

================================================================================

                             BROKER-DEALER AGREEMENT

                                     Between

                      DEUTSCHE BANK TRUST COMPANY AMERICAS

                                as Auction Agent

                                       and

                             WILLIAM R. HOUGH & CO.

                                as Broker-Dealer

                          Dated as of           , 2003
                                      ----------

                                   relating to

                        EDUCATION FUNDING CAPITAL TRUST-I

                           Education Loan Backed Notes
                                  consisting of

                    Auction Rate Education Loan Backed Notes,
               Series 2002A1-1, Series 2002A1-2, Series 2002A1-3,
               Series 2002A1-4, Series 2002A1-5, Series 2002A1-6,
               Series 2002A1-7, Series 2002A1-8, Series 2002A1-9,
              Series 2002A1-10, Series 2002A1-11, Series 2002B1-1,
                                 Series 2002B1-2

================================================================================

<PAGE>

                                TABLE OF CONTENTS

                                                                            Page
                                                                            ----
RECITALS

1.       DEFINITIONS AND RULES OF CONSTRUCTION.................................2
     1.1.   Terms Defined by Reference to the Indenture........................2
     1.2.   Terms Defined Herein...............................................2
     1.3.   Rules of Construction..............................................2

2.       THE AUCTION...........................................................3
     2.1.   Purpose: Incorporation by Reference of Auction Procedures
               and Settlement Procedures.......................................3
     2.2.   Preparation for Each Auction.......................................3
     2.3.   Auction Schedule: Method of Submission of Orders...................4
     2.4.   Notices............................................................5
     2.5.   Service Charge to Be Paid to the Broker-Dealer.....................6
     2.6.   Settlement.........................................................6
     3.1.   Duties and Responsibilities.........................................
     3.2.   Rights of the Auction Agent........................................7
     3.3.   The Auction Agent's Disclaimer.....................................7

4.       MISCELLANEOUS.........................................................7
     4.1.   Termination........................................................7
     4.2.   Participant........................................................8
     4.3.   Communications.....................................................8
     4.4.   Entire Agreement..................................................10
     4.5.   Benefits..........................................................10
     4.6.   Amendment; Waiver.................................................10
     4.7.   Successors and Assigns............................................10
     4.8.   Severability......................................................10
     4.9.   Execution in Counterparts.........................................10

5.       GOVERNING LAW........................................................10

Exhibit A - Settlement Procedures
Exhibit B - Order Form
Exhibit C - Notice of Transfer
Exhibit D - Notice of a Failure to Deliver or Make Payment

                                        i

<PAGE>

                             BROKER-DEALER AGREEMENT

     THIS BROKER-DEALER AGREEMENT (this "Agreement") dated as of           ,
                                                                 ----------
2003 is between DEUTSCHE BANK TRUST COMPANY AMERICAS, a New York banking
corporation (together with its successors and assigns, the "Auction Agent"),
pursuant to authority granted to it in the Auction Agent Agreement (defined
below), acting not in its individual capacity, but solely as agent for EDUCATION
FUNDING CAPITAL TRUST-I, a Delaware business trust, (the "Issuer"), and WILLIAM
R. HOUGH & CO. (together with its successor and assigns, the "Broker-Dealer").

                                    RECITALS

     The Issuer proposes to cause the Indenture Trustee (defined below) to
authenticate and deliver its Auction Rate Education Loan Backed Notes, Series
2002A1-1, Series 2002A1-2, Series 2002A1-3, Series 2002A1-4, Series 2002A1-5,
Series 2002A1-6, Series 2002A1-7, Series 2002A1-8, Series 2002A1-9, Series
2002A1-10, Series 2002A1-11, Series 2002B1-1 and Series 2002B1-2 (the "Notes").
The Notes are being issued under an Indenture of Trust dated as of May 1, 2002
(the "Base Indenture") by and among the Issuer, Fifth Third Bank, an Ohio
banking corporation, as Indenture Trustee (the "Indenture Trustee"), and Fifth
Third Bank, as Trust Eligible Lender Trustee (the "Trust Eligible Lender
Trustee"), as supplemented and amended by a 2002 Series A1&B1 Supplemental
Indenture of Trust dated as of           , 2003 (the "Fourth Supplement" and,
                               ----------
together with the Base Indenture, the "Indenture") by and among the Issuer, the
Indenture Trustee, and the Trust Eligible Lender Trustee.

     The Fourth Supplement provides that the interest rate for each Series of
Notes for each Auction Period (excluding the Initial Period, if any, applicable
to such Series) shall, except as otherwise provided in the Indenture, equal the
Auction Note Interest Rate that the Auction Agent advises has resulted on the
Auction Date from the implementation of the Auction Procedures set forth in
Appendix A to the Fourth Supplement.

     Pursuant to Section 2.9 of the Auction Agent Agreement dated as of
          , 2003 (the "Auction Agent Agreement") among the Indenture Trustee,
----------
the Auction Agent and the Issuer, the Indenture Trustee has consented to the
execution and delivery of this Agreement.

     The Auction Procedures require the participation of one or more
Broker-Dealers.

     NOW, THEREFORE, in consideration of the mutual covenants contained herein
and other good and valuable consideration, the receipt and sufficiency of which
is hereby acknowledged, the Auction Agent, as agent of the Issuer, and the
Broker-Dealer agree as follows:

                                       1

<PAGE>

     Section 1. Definitions and Rules of Construction.

     1.1. Terms Defined by Reference to the Indenture. Capitalized terms used
herein and not otherwise defined herein shall have the meanings given such terms
in the Indenture.

     1.2. Terms Defined Herein. As used herein and in the Settlement Procedures,
defined below, the following terms shall have the following meanings, unless the
context otherwise requires:

     "Auction" shall have the meaning specified in Section 2.1 hereof.

     "Auction Procedures" shall mean the Auction Procedures that are set forth
in Appendix A to the Fourth Supplement.

     "Auction Rate" shall mean the Auction Rate as defined in Appendix A to the
Fourth Supplement.

     "Authorized Auction Agent Officer" shall mean, with respect to the Auction
Agent, each Managing Director, Vice President, Assistant Vice President and
Associate of the Auction Agent and every other officer of the Auction Agent
assigned to its Corporate Trust and Agency Group and every other officer or
employee of the Auction Agent designated as an "Authorized Auction Agent
Officer" for purposes of this Agreement in a written communication to the
Broker-Dealer.

     "Broker-Dealer Fee Rate" shall be 0.25% per annum, as may be adjusted from
time to time pursuant to Section 6.5 of the Auction Agent Agreement.

     "Broker-Dealer Officer" shall mean each officer or employee of the
Broker-Dealer designated as a "Broker-Dealer Officer" for purposes of this
Agreement in a written communication to the Auction Agent.

     "Notice of Failure to Deliver or Make Payment" shall mean a notice
substantially in the form of Exhibit D hereto.

     "Notice of Transfer" shall mean a notice substantially in the form of
Exhibit C hereto.

     "Order Form" shall mean the form to be submitted by any Broker-Dealer on or
prior to any Auction Date substantially in the form of Exhibit B hereto.

     "Settlement Procedures" shall mean the Settlement Procedures attached
hereto as Exhibit A.

     1.3. Rules of Construction. Unless the context or use indicate another or
different meaning or intent, the following rules shall apply to the construction
of this Agreement;

     (a) Words importing the singular number shall include the plural number and
vice versa.

                                       2

<PAGE>

     (b) The captions and headings herein are solely for convenience of
reference and shall not constitute a part of this Agreement nor shall they
affect its meaning, construction or effect.

     (c) The words "hereof," "herein," "hereto," and other words of similar
import refer to this Agreement as a whole.

     (d) All references herein to a particular time of day shall be to New York
City time.

     (e) The rights and duties of the Broker-Dealer and the Auction Agent under
this Agreement shall apply to each Series of the Notes, but separately.
References to "Notes," unless the context clearly contemplates a reference to
all "Notes," shall refer only to a particular Series of Notes as to rights and
duties regarding such Series.

     Section 2. The Auction.

     2.1. Purpose: Incorporation by Reference of Auction Procedures and
Settlement Procedures.

     (a) On each Auction Date, the provisions of the Auction Procedures shall be
followed by the Auction Agent for the purpose of determining the Auction Rate
for each Auction Period after the Initial Period, if any. Each periodic
operation of such procedures is hereinafter referred to as an "Auction".

     (b) All of the provisions contained in the Auction Procedures and the
Settlement Procedures are incorporated herein by reference in their entirety and
shall be deemed to be a part of this Agreement to the same extent as if such
provisions were fully set forth herein.

     (c) The Broker-Dealer and other broker-dealers, as listed on Exhibit A to
the Auction Agent Agreement as it may be amended from time to time, may
participate in Auctions for their own accounts.

     2.2. Preparation for Each Auction.

     (a) Not later than 9:30 a.m. on each Auction Date, the Auction Agent shall
notify the Broker-Dealer by telephone of the All Hold Rate, the Maximum Rate,
the Net Loan Rate and the Applicable LIBOR Rate used in determining such rates,
provided, with respect to notification of the Net Loan Rate, the Administrator
shall have communicated to the Auction Agent the components of the Net Loan Rate
as required by the Fourth Supplement.

     (b) In the event that any day that is scheduled to be an Auction Date shall
be changed after the Auction Agent shall have given notice of such Auction Date
pursuant to clause (vii) of paragraph (a) of the Settlement Procedures, the
Auction Agent, by such means as the Auction Agent deems practicable, shall give
notice of such change to the Broker-Dealer not later than the earlier of 9:15
a.m. on the new Auction Date and 9:15 a.m. on the old Auction Date. Thereafter,
the Broker-Dealer shall use its best efforts to promptly notify its customers
who are Existing Owners of such change in the Auction Date.

                                       3

<PAGE>

     (c) From time to time upon request of the Auction Agent, the Broker-Dealer
shall provide the Auction Agent with a statement of the aggregate amount of each
Series of Notes held by the Broker-Dealer as an Existing Owner for its own
account or otherwise, as well as with a list of the Broker-Dealer's customers
that the Broker-Dealer believes are Existing Owners of any Series of the Notes
(listed by Series) and the aggregate principal amount of each Series of Notes
beneficially owned by each such customer. Except as permitted by Section 2.10 of
the Auction Agent Agreement, the Auction Agent shall keep confidential any such
information and shall not disclose any such information so provided to any
Person other than the Broker-Dealer, the Issuer and the Indenture Trustee,
provided that the Auction Agent reserves the right to disclose any such
information if it is advised by its counsel that its failure to do so would be
unlawful or would expose the Auction Agent to liability, loss, claim or damage
for which the Auction Agent has not previously received indemnity reasonably
satisfactory to it. The Auction Agent shall notify the Broker-Dealer, the Issuer
and the Indenture Trustee promptly upon receipt of any request or demand to
disclose such information and shall cooperate with any party seeking a
protective order or similar relief.

     (d) The Auction Agent shall send by telecopy or other means a copy of any
Notice of Notes Outstanding, in substantially the form of Exhibit C to the
Auction Agent Agreement, received from the Indenture Trustee to the
Broker-Dealer in accordance with Section 4.3 hereof.

     2.3. Auction Schedule: Method of Submission of Orders.

     (a) The Auction Agent shall conduct Auctions for the Notes on the Auction
Date in accordance with the schedule set forth below. Pursuant to the Auction
Agent Agreement, such schedule may be changed by the Auction Agent with the
consent of the Indenture Trustee and the Market Agent, which consents are not to
be unreasonably withheld or delayed. Notice of such a change must be given prior
to the close of business on the Business Day preceding the first Auction Date on
which such change shall be effective.

         Time                               Event

By 9:30 a.m.                 Auction Agent advises the Indenture Trustee and the
                             Broker-Dealers of the Maximum Rate, the Net Loan
                             Rate, the All Hold Rate, and the Applicable LIBOR
                             Rate to be used in determining the Auction Rate
                             under the Auction Procedures and the Auction Agent
                             Agreement.

9:30 a.m.-1:00 p.m.          Auction Agent assembles information communicated to
                             it by Broker-Dealers as provided in the Auction
                             Procedures. Submission Deadline is 1:00 p.m.

Not earlier than 1:00 p.m.   Auction Agent makes determinations pursuant to
                             Section 2.02(a)(iii) of Appendix A to the Fourth
                             Supplement.

Not later than 3:00 p.m.     Auction Agent advises the Indenture Trustee and the
                             Broker-Dealers of the results of the Auction as

                                       4

<PAGE>

                             provided in Section 2.02(a)(iii)(B) and (C) of
                             Appendix A to the Fourth Supplement. Submitted
                             Bids and Submitted Sell Orders are accepted and
                             rejected in whole or in part and principal amounts
                             of the Notes are allocated as provided in the
                             Auction Procedures. Auction Agent gives notice of
                             Auction results as set forth in Section 2.4(a)
                             hereof.

     (b) The Broker-Dealer agrees to maintain a list of Potential Owners and to
contact the Potential Owners on such list on or prior to each Auction Date for
the purposes of participating in the Auction on such Auction Date.

     (c) The Broker-Dealer shall submit Orders to the Auction Agent in writing
by delivering an Order Form. The Broker-Dealer shall submit separate Orders to
the Auction Agent for each Potential Owner or Existing Owner on whose behalf the
Broker-Dealer is submitting an Order and shall not net or aggregate the Orders
of different Potential Owners or Existing Owners on whose behalf the
Broker-Dealer is submitting Orders.

     (d) The Broker-Dealer shall deliver to the Auction Agent (i) a Notice of
Transfer with respect to any transfer of Notes made through the Broker-Dealer by
an Existing Owner to another Person other than pursuant to an Auction, and (ii)
a Notice of Failure to Deliver or Make Payment with respect to the failure of
any Notes to be transferred to or payment to be made by any Person that
purchased or sold Notes through the Broker-Dealer pursuant to an Auction. The
Auction Agent is not required to accept any notice delivered pursuant to the
terms of the foregoing sentence with respect to an Auction unless it is received
by the Auction Agent by 3:00 p.m. on the Business Day next preceding the related
Auction Date.

     (e) Any Broker-Dealer that is an affiliate of the Issuer must submit at the
next Auction therefor a Sell Order covering all Notes held for its own account.
The Auction Agent shall have no duty or liability with respect to monitoring or
enforcing the requirements of this Section 2.3(e).

     (f) The Broker-Dealer agrees to handle its customers' Orders in accordance
with its duties under applicable securities laws and rules.

     2.4. Notices.

     (a) On each Auction Date, the Auction Agent shall notify the Broker-Dealer
by telephone of the results of the Auction as set forth in paragraph (a) of the
Settlement Procedures. If previously requested by the Broker-Dealer, the Auction
Agent shall notify, by 10:30 a.m. on the Business Day immediately following such
Auction Date, the Broker-Dealer in writing of the disposition of all Orders
submitted by the Broker-Dealer in the Auction held on such Auction Date.

     (b) The Broker-Dealer shall notify each Existing Owner or Potential Owner
on whose behalf the Broker-Dealer has submitted an Order as set forth in
paragraph (b) of the Settlement

                                       5

<PAGE>

Procedures and take such other action as is required to be taken by the
Broker-Dealer pursuant to the Settlement Procedures.

     (c) Upon receipt, the Auction Agent shall deliver to the Broker-Dealer all
notices and certificates that the Auction Agent is required to deliver to the
Broker-Dealer pursuant to Section 2 of the Auction Agent Agreement at the times
and in the manner set forth in the Auction Agent Agreement.

     2.5. Service Charge to Be Paid to the Broker-Dealer. With respect to each
Auction for which there were Sufficient Bids or all Notes were subject to Hold
Orders, the Auction Agent shall pay to the Broker-Dealer from moneys received
from the Indenture Trustee, not later than 12:00 noon on each Payment Date
following the Interest Period relating to each Series of Notes placed by the
Broker-Dealer in such Auction, when such Interest Period is shorter than six
months, or on the last Business Day of each calendar quarter, when the Interest
Period relating to such Series of Notes is six months or longer, a fee (the
"Broker-Dealer Fee") in cash equal to the product of (i) the Broker-Dealer Fee
Rate times (ii) a fraction, the numerator of which is the number of days since
the later of the Closing Date or the date the Broker-Dealer Fee was last paid
and the denominator of which is 360, times (iii) the aggregate principal amount
of Notes of such Series outstanding since the later of the Closing Date or the
date the Broker-Dealer Fee was last paid.

     2.6. Settlement.

     (a) If any Existing Owner on whose behalf the Broker-Dealer has submitted a
Bid or Sell Order for Notes that was accepted in whole or in part, fails to
instruct its Participant to deliver the Notes subject to such Bid or Sell Order
against payment therefor, the Broker-Dealer shall instruct such Participant to
deliver such Notes against payment therefor and the Broker-Dealer may deliver to
the Potential Owner on whose behalf the Broker-Dealer submitted a Bid that was
accepted in whole or in part, a principal amount of the Notes that is less than
the principal amount of the Notes specified in such Bid to be purchased by such
Potential Owner. Notwithstanding the foregoing terms of this Section, any
delivery or nondelivery of Notes that represents any departure from the results
of an Auction, as determined by the Auction Agent, shall be of no effect unless
and until the Auction Agent shall have been notified of such delivery or
non-delivery in accordance with the terms of Section 2.3(d) hereof. The Auction
Agent shall have no duty or liability with respect to enforcement of this
Section 2.6(a).

     (b) Neither the Auction Agent, the Indenture Trustee, nor the Issuer shall
have any responsibility or liability with respect to the failure of an Existing
Owner, a Potential Owner or its respective Participant to deliver Notes or to
pay for Notes sold or purchased pursuant to the Auction Procedures or otherwise.
The Auction Agent shall have no responsibility for any adjustment to the fees
paid pursuant to Section 2.5 hereof as a result of any failure described in this
Section 2.6(b).

     Section 3. The Auction Agent.

     3.1. Duties and Responsibilities.

     (a) The Auction Agent is acting hereunder solely as agent for the Issuer
and owes no fiduciary duties to any Person by reason of this Agreement.

                                       6

<PAGE>

     (b) The Auction Agent undertakes to perform such duties and only such
duties as are specifically set forth in this Agreement, and no implied covenants
or obligations shall be read into this Agreement against the Auction Agent.

     (c) In the absence of bad faith or negligence on its part, the Auction
Agent shall not be liable for any action taken, suffered, or omitted or for any
error of judgment made by it in the performance of its duties under this
Agreement. The Auction Agent shall not be liable for any error of judgment made
in good faith unless the Auction Agent shall have been negligent in ascertaining
(or failing to ascertain) the pertinent facts.

     3.2. Rights of the Auction Agent.

     (a) The Auction Agent may rely and shall be protected in acting or
refraining from acting upon any communication authorized by this Agreement and
upon any written instruction, notice, request, direction, consent, report,
certificate, share certificate or other instrument, paper or document believed
by it to be genuine. The Auction Agent shall not be liable for acting upon any
telephone communication authorized by this Agreement that the Auction Agent
believes in good faith to have been given by the Indenture Trustee, a
Broker-Dealer or the Issuer. The Auction Agent may record telephone
communications with the Broker-Dealers.

     (b) The Auction Agent may consult with counsel of its own choice, and the
advice of such counsel shall be full and complete authorization and protection
in respect of any action taken, suffered or omitted by it hereunder in good
faith and in reliance thereon.

     (c) The Auction Agent shall not be required to advance, expend or risk its
own funds or otherwise incur or become exposed to financial liability in the
performance of its duties hereunder.

     (d) The Auction Agent may perform its duties and exercise its rights
hereunder either directly or by or through agents or attorneys and shall not be
responsible for any willful misconduct or negligence on the part of any agent or
attorney appointed by it with due care hereunder.

     3.3. The Auction Agent's Disclaimer. The Auction Agent makes no
representation as to the correctness of the recitals in this Agreement or the
Auction Agent Agreement with respect to other parties thereto or the validity or
adequacy of the Notes.

     Section 4. Miscellaneous.

     4.1. Termination. Any party may terminate this Agreement at any time upon
30 days' prior notice to the other party; provided, however, that if the
Broker-Dealer is William R. Hough & Co., neither the Broker-Dealer nor the
Auction Agent may terminate this Agreement without first obtaining prior written
consent of the Indenture Trustee and the Issuer to such termination, which
consent shall not be unreasonably withheld or delayed. This Agreement shall
automatically terminate upon the delivery of certificates representing the Notes
pursuant to Section 2.01(c) of the Fourth Supplement, upon the Stated Maturity
of the Notes, or upon termination of the Auction Agent Agreement.

                                       7

<PAGE>

     4.2. Participant. The Broker-Dealer is, and shall remain for the term of
this Agreement, a member of, or Participant in, the Securities Depository (or an
affiliate of such a member or Participant).

     4.3. Communications. Except for (i) communications authorized to be made by
telephone pursuant to this Agreement or the Auction Procedures and (ii)
communications in connection with the Auctions (other than those expressly
required to be in writing), all notices, requests and other communications to
any party hereunder shall be in writing (including facsimile or similar writing)
and shall be given to such party, addressed to it, at its address or facsimile
number set forth below:

If to the Broker-Dealer:           WILLIAM R. HOUGH & CO.
                                   100 Second Avenue South, Suite 800
                                   St. Petersburg, Florida 33701
                                   Attention: Syndicate Desk
                                   Telephone Number: (727) 825-7734
                                   Facsimile Number: (727) 502-3625

If to the Market Agent:            WILLIAM R. HOUGH & CO.
                                   100 Second Avenue South, Suite 800
                                   St. Petersburg, Florida 33701
                                   Attention: Syndicate Desk
                                   Telephone Number: (727) 825-7734
                                   Facsimile Number: (727) 502-3625

If to the Auction Agent:           DEUTSCHE BANK TRUST COMPANY AMERICAS
                                   100 Plaza One, 6th Floor
                                   Jersey City, New Jersey 07311
                                   Telephone: (201) 593-6878
                                   Facsimile: (201) 593-6447

If to the Indenture Trustee:       FIFTH THIRD BANK
                                   Corporate Trust Administration
                                   MD 10AT60
                                   38 Fountain Square Plaza
                                   Cincinnati, OH 45263
                                   Telephone: (513) 534-3367
                                   Facsimile: (513) 534-6785

If to the Issuer:                  EDUCATION FUNDING CAPITAL TRUST-I
                                   c/o Fifth Third Bank
                                   Corporate Trust Administration
                                   MD 10AT60
                                   38 Fountain Square Plaza
                                   Cincinnati, OH 45263
                                   Telephone: (513) 534-3367
                                   Facsimile: (513) 534-6785

                                       8

<PAGE>

with a copy to:
                                   Wilmington Trust Company
                                   Rodney Square North
                                   1100 North Market Street
                                   Wilmington, Delaware 19890-0001
                                   Attention: Corporate Trust Administration
                                   Telephone: (203) 975-6112
                                   Facsimile: (203) 975-6299

or such other address or facsimile number as such party may hereafter specify
for such purpose by notice to the other party. Each such notice, request or
communication shall be effective when delivered at the address specified herein.
Communications shall be given on behalf of the Broker-Dealer by a Broker-Dealer
Officer and on behalf of the Auction Agent by an Authorized Auction Agent
Officer. The Broker-Dealer may record telephone communications with the Auction
Agent.

     4.4. Entire Agreement. This Agreement contains the entire agreement between
the parties relating to the subject matter hereof, and there are not other
representations, endorsements, promises, agreements or understandings, oral,
written or inferred, between the parties relating to the subject matter hereof.

     4.5. Benefits. Nothing in this Agreement, express or implied, shall give to
any Person, other than the Auction Agent, the Broker-Dealer and the Issuer and
their respective successors and assigns, any benefit of any legal or equitable
right, remedy or claim under this Agreement.

     4.6. Amendment; Waiver.

     (a) This Agreement shall not be deemed or construed to be modified,
amended, rescinded, canceled or waived, in whole or in part, except by a written
instrument signed by a duly authorized representative of the parties hereto.
This Agreement may not be amended without first obtaining the prior written
consent of the Issuer.

     (b) Failure of either party to this Agreement to exercise any right or
remedy hereunder in the event of a breach of this Agreement by the other party
shall not constitute a waiver of any such right or remedy with respect to any
subsequent breach.

     4.7. Successors and Assigns. This Agreement shall be binding upon, inure to
the benefit of, and be enforceable by, the respective successors and assigns of
each of the Broker-Dealer and the Auction Agent.

     4.8. Severability. If any clause, provision or section of this Agreement
shall be ruled invalid or unenforceable by any court of competent jurisdiction,
the invalidity or unenforceability of such clause, provision or section shall
not affect any remaining clause, provision or section hereof.

     4.9. Execution in Counterparts. This Agreement may be executed in several
counterparts, each of which shall be an original and all of which shall
constitute but one and the same instrument.

                                       9

<PAGE>

     Section 5. Governing Law.

     This Agreement shall be governed by and construed in accordance with the
laws of the State of New York applicable to agreements made and to be performed
in such State.

                [remainder of this page intentionally left blank]

                                       10

<PAGE>

     IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
duly executed and delivered by their proper and duly authorized officers and
effective as of the date first written above.

                                       DEUTSCHE BANK TRUST COMPANY
                                       AMERICAS, as Auction Agent

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

                                       WILLIAM R. HOUGH & CO.,
                                       as Broker-Dealer

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

Acknowledged and Agreed to:

EDUCATION FUNDING CAPITAL TRUST-I,
as Issuer, by Fifth Third Bank, not in its
individual capacity, but solely as Co-Owner
Trustee on behalf of the Issuer

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

Consented to:

FIFTH THIRD BANK, as Indenture Trustee

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

                                       10

<PAGE>

                      EXHIBIT A TO BROKER-DEALER AGREEMENT

                              SETTLEMENT PROCEDURES

     If not otherwise defined below, capitalized terms used herein shall have
the meanings given such terms in Appendix A to the Fourth Supplement. These
Settlement Procedures apply separately to each Series of Auction Rate Notes.

     (a) On each Auction Date, not later than 3:00 p.m., the Auction Agent shall
notify by telephone each Broker-Dealer that participated in the Auction held on
such Auction Date and submitted an Order on behalf of an Existing Owner or
Potential Owner of:

               (i) the Auction Note Interest Rate fixed for the next Interest
Period;

               (ii) whether there were Sufficient Bids in such Auction;

               (iii) if such Broker-Dealer (a "Seller's Broker-Dealer")
submitted Bids or Sell Orders on behalf of an Existing Owner, whether such Bid
or Sell Order was accepted or rejected, in whole or in part, and the principal
amount of Auction Rate Notes, if any, to be purchased or sold by such Existing
Owner;

               (iv) if such Broker-Dealer (a "Buyer's Broker-Dealer") submitted
a Bid on behalf of a Potential Owner, whether such Bid was accepted or rejected,
in whole or in part, and the principal amount of Auction Rate Notes, if any, to
be purchased by such Potential Owner;

               (v) if the aggregate amount of Auction Rate Notes to be sold by
all Existing Owners on whose behalf such Seller's Broker-Dealer submitted Bids
or Sell Orders exceeds the aggregate principal amount of Auction Rate Notes to
be purchased by all Potential Owners on whose behalf such Buyer's Broker-Dealer
submitted a Bid, the name or names of one or more Buyer's Broker-Dealers (and
the name of the Participant, if any, of each such Buyer's Broker-Dealer) acting
for one or more purchasers of such excess principal amount of Auction Rate Notes
and the principal amount of Auction Rate Notes to be purchased from one or more
Existing Owners on whose behalf such Seller's Broker-Dealer acted by one or more
Potential Owners on whose behalf each of such Buyer's Broker-Dealers acted;

               (vi) if the principal amount of Auction Rate Notes to be
purchased by all Potential Owners on whose behalf such Buyer's Broker-Dealer
submitted a Bid exceeds the amount of Auction Rate Notes to be sold by all
Existing Owners on whose behalf such Seller's Broker-Dealer submitted a Bid or a
Sell Order, the name or names of one or more Seller's Broker-Dealers (and the
name of the Participant, if any, of each such Seller's Broker-Dealer) acting for
one or more sellers of such excess principal amount of Auction Rate Notes and
the principal amount of Auction Rate Notes to be sold to one or more Potential
Owners on whose behalf such Buyer's Broker-Dealer acted by one or more Existing
Owners on whose behalf each of such Seller's Broker-Dealers acted;

                                      A-1

<PAGE>

               (vii) the Auction Date for the next succeeding Auction.

     (b) On each Auction Date, each Broker-Dealer that submitted an Order on
behalf of any Existing Owner or Potential Owner shall:

               (i) advise each Existing Owner and Potential Owner on whose
behalf such Broker-Dealer submitted a Bid or Sell Order in the Auction on such
Auction Date whether such Bid or Sell Order was accepted or rejected, in whole
or in part;

               (ii) in the case of a Broker-Dealer that is a Buyer's
Broker-Dealer, advise each Potential Owner on whose behalf such Buyer's
Broker-Dealer submitted a Bid that was accepted, in whole or in part, to
instruct such Potential Owner's Participant to pay to such Buyer's Broker-Dealer
(or its Participant) through the Securities Depository the amount necessary to
purchase the principal amount of Auction Rate Notes to be purchased pursuant to
such Bid against receipt of such Auction Rate Notes;

               (iii) in the case of a Broker-Dealer that is a Seller's
Broker-Dealer, instruct each Existing Owner on whose behalf such Seller's
Broker-Dealer submitted a Sell Order that was accepted, in whole or in part, or
a Bid that was accepted, in whole or in part, to instruct such Existing Owner's
Participant to deliver to such Seller's Broker-Dealer (or its Participant)
through the Securities Depository the principal amount of Auction Rate Notes to
be sold pursuant to such Order against payment therefor;

               (iv) advise each Existing Owner on whose behalf such
Broker-Dealer submitted an Order and each Potential Owner on whose behalf such
Broker-Dealer submitted a Bid of the Auction Note Interest Rate for the next
Interest Period;

               (v) advise each Existing Owner on whose behalf such Broker-Dealer
submitted an Order of the next Auction Date; and

               (vi) advise each Potential Owner on whose behalf such
Broker-Dealer submitted a Bid that was accepted, in whole or in part, of the
next Auction Date.

     (c) On the basis of the information provided to it pursuant to paragraph
(a) above, each Broker-Dealer that submitted a Bid or Sell Order in an Auction
is required to allocate any funds received by it in connection with such Auction
pursuant to paragraph (b)(ii) above, and any Auction Rate Notes received by it
in connection with such Auction pursuant to paragraph (b)(iii) above among the
Potential Owners, if any, on whose behalf such Broker-Dealer submitted Bids, the
Existing Owners, if any, on whose behalf such Broker-Dealer submitted Bids or
Sell Orders in such Auction, and any Broker-Dealers identified to it by the
Auction Agent following such Auction pursuant to paragraph (a)(v) or (a)(vi)
above.

     (d) On each Auction Date:

                                      A-2

<PAGE>

               (i) each Potential Owner and Existing Owner with an Order in the
Auction on such Auction Date shall instruct its Participant as provided in
(b)(ii) or (b)(iii) above, as the case may be;

               (ii) each Seller's Broker-Dealer that is not a Participant of the
Securities Depository shall instruct its Participant (A) pay through the
Securities Depository to the Participant of the Existing Holder delivering
Auction Rate Notes to such Broker-Dealer following such Auction pursuant to
paragraph (b)(ii) above the amount necessary to purchase such Auction Rate Notes
against receipt of such Auction Rate Notes and (B) deliver such Auction Rate
Notes through the Securities Depository to a Buyer's Broker-Dealer (or its
Participant) identified to such Seller's Broker-Dealer pursuant to (a)(v) above
against payment therefor; and

               (iii) each Buyer's Broker-Dealer that is not a Participant of the
Securities Depository shall instruct its Participant to pay through the
Securities Depository to a Seller's Broker-Dealer (or its Participant)
identified following such Auction pursuant to (a)(vi) above the amount necessary
to purchase Auction Rate Notes to be purchased pursuant to (b)(ii) above against
receipt of such Auction Rate Notes.

     (e) On the Business Day following each Auction Date:

               (i) each Participant for a Bidder in the Auction on such Auction
Date referred to in (d)(i) above shall instruct the Securities Depository to
execute the transactions described under (b)(ii) or (b)(iii) above for such
Auction, and the Securities Depository shall execute such transactions;

               (ii) each Seller's Broker-Dealer or its Participant shall
instruct the Securities Depository to execute the transactions described in
(d)(ii) above for such Auction, and the Securities Depository shall execute such
transactions; and

               (iii) each Buyer's Broker-Dealer or its Participant shall
instruct the Securities Depository to execute the transactions described in
(d)(iii) above for such Auction, and the Securities Depository shall execute
such transactions.

     (f) If an Existing Owner selling Auction Rate Notes in an Auction fails to
deliver such Auction Rate Notes (by authorized book-entry), a Broker-Dealer may
deliver to the Potential Owner on behalf of which it submitted a Bid that was
accepted a principal amount of Auction Rate Notes that is less than the
principal amount of Auction Rate Notes that otherwise was to be purchased by
such Potential Owner. In such event, the principal amount of Auction Rate Notes
to be so delivered shall be determined solely by such Broker-Dealer. Delivery of
such lesser principal amount of Auction Rate Notes shall constitute good
delivery. Notwithstanding the foregoing terms of this paragraph (f), any
delivery or nondelivery of Auction Rate Notes that shall represent any departure
from the results of an Auction, as determined by the Auction Agent, shall be of
no effect unless and until the Auction Agent shall have been notified of such
delivery or nondelivery in accordance with the provisions of the Auction Agent
Agreement and the Broker-Dealer Agreements. Neither the Indenture Trustee

                                      A-3

<PAGE>

nor the Auction Agent shall have any responsibility or liability with respect to
the failure of a Potential Owner, Existing Owner or their respective
Broker-Dealer or Participant to take delivery of or deliver, as the case may be,
the principal amount of Auction Rate Notes or to pay for the Auction Rate Notes
purchased or sold pursuant to an Auction or otherwise.

                                      A-4

<PAGE>

                      EXHIBIT B TO BROKER-DEALER AGREEMENT

                        EDUCATION FUNDING CAPITAL TRUST-I

                    Auction Rate Education Loan Backed Notes,
               Series 2002A1-1, Series 2002A1-2, Series 2002A1-3,
               Series 2002A1-4, Series 2002A1-5, Series 2002A1-6,
               Series 2002A1-7, Series 2002A1-8, Series 2002A1-9,
              Series 2002A1-10, Series 2002A1-11, Series 2002B1-1,
                                 Series 2002B1-2

                                   ORDER FORM

                                                                  [Auction Date]
                                                                  Series
                                                                         -------

               The undersigned Broker-Dealer submits the following orders on
behalf of the Bidder(s) indicated below:

                             BIDS BY EXISTING OWNERS

                      PRINCIPAL AMOUNT OF
                       NOTES ($50,000 OR
                      INTEGRAL MULTIPLES
    EXISTING OWNER*        THEREOF)             BID RATE
    ---------------        --------             --------
1.
    ---------------   -------------------   -----------------
2.
    ---------------   -------------------   -----------------
3.
    ---------------   -------------------   -----------------
4.
    ---------------   -------------------   -----------------
5.
    ---------------   -------------------   -----------------
6.
    ---------------   -------------------   -----------------
7.
    ---------------   -------------------   -----------------
8.
    ---------------   -------------------   -----------------
9.
    ---------------   -------------------   -----------------
10.
    ---------------   -------------------   -----------------

*Existing Owners may be described by name or other reference as determined in
the sole discretion of the Broker-Dealer.

                                      B-1

<PAGE>

                        EDUCATION FUNDING CAPITAL TRUST-I

                    Auction Rate Education Loan Backed Notes,
               Series 2002A1-1, Series 2002A1-2, Series 2002A1-3,
               Series 2002A1-4, Series 2002A1-5, Series 2002A1-6,
               Series 2002A1-7, Series 2002A1-8, Series 2002A1-9,
              Series 2002A1-10, Series 2002A1-11, Series 2002B1-1,
                                 Series 2002B1-2

                            BIDS BY POTENTIAL OWNERS

                            PRINCIPAL
                           AMOUNT OF
                       NOTES ($50,000 OR
                            INTEGRAL
                            MULTIPLES
    POTENTIAL OWNER*        THEREOF)           BID RATE           SERIES
    ----------------        --------           --------           ------
1.
    ----------------   -----------------   ----------------   ---------------
2.
    ----------------   -----------------   ----------------   ---------------
3.
    ----------------   -----------------   ----------------   ---------------
4.
    ----------------   -----------------   ----------------   ---------------
5.
    ----------------   -----------------   ----------------   ---------------
6.
    ----------------   -----------------   ----------------   ---------------
7.
    ----------------   -----------------   ----------------   ---------------
8.
    ----------------   -----------------   ----------------   ---------------
9.
    ----------------   -----------------   ----------------   ---------------
10.
    ----------------   -----------------   ----------------   ---------------
11.
    ----------------   -----------------   ----------------   ---------------
12.
    ----------------   -----------------   ----------------   ---------------
13.
    ----------------   -----------------   ----------------   ---------------
14.
    ----------------   -----------------   ----------------   ---------------
15.
    ----------------   -----------------   ----------------   ---------------

NOTES:

1.   If one or more Orders covering in the aggregate more than the outstanding
     principal amount of Notes held by any Existing Owner are submitted, such
     Orders shall be considered valid in the order of priority set forth in the
     Auction Procedures.

2.   A Hold or Sell Order may be placed only by an Existing Owner covering a
     principal account of Notes not greater than the principal amount currently
     held by such Existing Owner.

3.   Potential Owners may only make Bids, each of which must specify a rate. If
     more than one Bid is submitted on behalf of any Potential Owner, each Bid
     submitted shall be a separate Bid with the rate specified.

                                      B-2

<PAGE>

4.   Bids may contain no more than three figures to the right of the decimal
     point (.001 of 1%).

5.   An order must be submitted in principal amounts of $50,000 or integral
     multiples thereof.

*Potential Owners may be described by name or other reference as determined in
the sole discretion of the Broker-Dealer.

NAME OF BROKER-DEALER:
                      ---------------------------------------------------------

AUTHORIZED SIGNATURE:
                      ---------------------------------------------------------

TOTAL NUMBER OF ORDERS ON THIS ORDER FORM:
                                          -------------------------------------

Submit to: Deutsche Bank Trust Company Americas
           100 Plaza One, 6th Floor
           Jersey City, New Jersey 07311
           Telephone: (201) 593-6878
           Facsimile: (201) 593-6447

                                      B-3

<PAGE>

                      EXHIBIT C TO BROKER-DEALER AGREEMENT

                        EDUCATION FUNDING CAPITAL TRUST-I

                    Auction Rate Education Loan Backed Notes,
               Series 2002A1-1, Series 2002A1-2, Series 2002A1-3,
               Series 2002A1-4, Series 2002A1-5, Series 2002A1-6,
               Series 2002A1-7, Series 2002A1-8, Series 2002A1-9,
              Series 2002A1-10, Series 2002A1-11, Series 2002B1-1,
                                 Series 2002B1-2

                               NOTICE OF TRANSFER

                       (To be used only for transfers made
                       other than pursuant to an Auction)

We are (check one)

     the Existing Owner indicated below*; or

     the Broker-Dealer for such Existing Owner; or

     the Participant for such Existing Owner.

We hereby notify you that such Existing Owner has transferred $___________ (must
be in units of $50,000 or integral multiples thereof) of Series        Notes to
                                                                ------

------------------------

                                           (Existing Owner)

                                           (Name of Broker-Dealer)

                                           (Name of Participant)

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

*Existing Owners may be described by name or other reference as determined in
the sole discretion of the Broker-Dealer.

                                      C-1

<PAGE>

                      EXHIBIT D TO BROKER-DEALER AGREEMENT

                        EDUCATION FUNDING CAPITAL TRUST-I

                    Auction Rate Education Loan Backed Notes,
               Series 2002A1-1, Series 2002A1-2, Series 2002A1-3,
               Series 2002A1-4, Series 2002A1-5, Series 2002A1-6,
               Series 2002A1-7, Series 2002A1-8, Series 2002A1-9,
              Series 2002A1-10, Series 2002A1-11, Series 2002B1-1,
                                 Series 2002B1-2

                  NOTICE OF FAILURE TO DELIVER OR MAKE PAYMENT

COMPLETE EITHER I OR II.

     I.   We are a Broker-Dealer for         * (the "Purchaser"), which
                                     --------
          purchased $________________ (must be in units of $50,000 or integral
          multiples thereof) of the Series       Notes in the Auction held on
                                           -----
                            from the seller of such Series        Notes.
          -----------------                                ------

     II.  We are a Broker-Dealer for             * (the "Seller"), which sold
                                     ------------
          $__________________ (must be in units of $50,000 or integral multiples
          thereof) of the Series       Notes in the Auction held on
                                 -----
                                to the purchaser of such Series          Notes.
          ---------------------                                 --------

We hereby notify you that (check one) -

          the Seller failed to deliver such Series          Notes to the
                                                   --------
          Purchaser.

          the Purchaser failed to make payment to the Seller upon delivery of
          such Series           Notes.
                      ---------

                                           (Name of Broker-Dealer)

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

----------
* May be described by name or reference and as determined in the sole discretion
of the Broker-Dealer.

                                      D-1

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00046-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00046-of-00352.parquet"}]]