Document:

NOTE PURCHASE AGREEMENT

                            Dated as of June 29, 2001

                                      among

                        BXG RECEIVABLES NOTE TRUST 2001-A
                                   as Issuer,

                              BLUEGREEN CORPORATION
                             as Seller and Servicer,

                   BLUEGREEN RECEIVABLES FINANCE CORPORATION V
                                  as Depositor,

                         THE PURCHASERS PARTIES HERETO,
                                       and

                  CREDIT SUISSE FIRST BOSTON, NEW YORK BRANCH,
                                    as Agent

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

                                   Relating to
                        BXG RECEIVABLES NOTE TRUST 2001-A
                        Asset Backed Notes, Series 2001-A

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

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                                TABLE OF CONTENTS

                                                                            Page
                                                                            ----

SECTION 1. DEFINITIONS.........................................................1
     1.1.  Definitions.........................................................1
     1.2.  Other Definitional Provisions.......................................9
SECTION 2. AMOUNT AND TERMS OF COMMITMENTS.....................................9
     2.1.  Purchases...........................................................9
     2.2.  Reductions and Extensions of Commitments...........................11
     2.3.  Fees, Expenses, Payments, Etc......................................12
     2.4.  Indemnification....................................................13
     2.5.  Events of Default..................................................15
     2.6.  Notification of Note Interest Rate.................................15
SECTION 3. CONDITIONS PRECEDENT...............................................15
     3.1.  Condition to Initial Purchase......................................15
     3.2.  Condition to Borrowings............................................18
SECTION 4. REPRESENTATIONS AND WARRANTIES.....................................18
     4.1.  Representations and Warranties of Bluegreen........................18
     4.2.  Representations and Warranties of the Issuer.......................21
     4.3.  Representations and Warranties of the Depositor....................23
SECTION 5. COVENANTS..........................................................25
     5.1.  Covenants..........................................................25
SECTION 6. INCREASED COSTS, INCREASED CAPITAL, ETC............................30
     6.1.  Increased Costs....................................................30
     6.2.  Increased Capital..................................................30
     6.3.  Taxes..............................................................31
     6.4.  Nonrecourse Obligations; Limited Recourse..........................33
SECTION 7. THE AGENT..........................................................34
     7.1.  Appointment........................................................34
     7.2.  Delegation of Duties...............................................34
     7.3.  Exculpatory Provisions.............................................34
     7.4.  Reliance by Agent..................................................34
     7.5.  Notices............................................................35
     7.6.  Non-Reliance on Agent and Other Purchasers.........................35
     7.7.  Indemnification....................................................36
     7.8.  Agent in Its Individual Capacities.................................36
     7.9.  Successor Agent....................................................36
SECTION 8. SECURITIES LAWS; TRANSFERS.........................................37
     8.1.  Transfers of Notes.................................................37
SECTION 9. MISCELLANEOUS......................................................40
     9.1.  Amendments and Waivers.............................................40
     9.2.  Notices............................................................41
     9.3.  No Waiver; Cumulative Remedies.....................................42
     9.4.  Successors and Assigns.............................................42
     9.5.  Successors to Servicer.............................................43
     9.6.  Counterparts.......................................................43

                                      -i-
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                                Table of Contents
                                   (continued)

                                                                            Page
                                                                            ----

     9.7.  Severability.......................................................43
     9.8.  Integration........................................................43
     9.9.  Governing Law......................................................43
     9.10. Termination........................................................43
     9.11. Limited Recourse; No Proceedings...................................43
     9.12. Survival of Representations and Warranties.........................44
     9.13. Submission to Jurisdiction; Waivers................................44
     9.14. WAIVERS OF JURY TRIAL..............................................45

                                LIST OF EXHIBITS

EXHIBIT A.      Form of Investment Letter
EXHIBIT B.      Form of Joinder Supplement
EXHIBIT C.      Form of Transfer Supplement

                                      -ii-
<PAGE>

     NOTE  PURCHASE  AGREEMENT,  dated as of June 29,  2001,  by and  among  BXG
RECEIVABLES  NOTE TRUST  2001-A,  a  Delaware  business  trust  (the  "Issuer"),
BLUEGREEN  CORPORATION,  a Massachusetts  corporation  ("Bluegreen"),  BLUEGREEN
RECEIVABLES FINANCE CORPORATION V, a Delaware corporation (the "Depositor"), the
PURCHASERS from time to time parties hereto (collectively, the "Purchasers") and
CREDIT SUISSE FIRST BOSTON, a Swiss banking  corporation  acting through its New
York Branch,  as agent for the Purchasers  (together with its successors in such
capacity, the "Agent").

                              W I T N E S S E T H:

     WHEREAS, the Issuer, and U.S. Bank Trust National  Association,  a national
banking association,  as Indenture Trustee (together with its successors in such
capacity, the "Indenture Trustee"), are parties to a certain Indenture, dated as
of June 29,  2001 (as the same may from  time to time be  amended  or  otherwise
modified,  the "Indenture"),  pursuant to which the Issuer has issued its Notes;
and

     WHEREAS,  the Purchasers are willing to have the Agent acquire the Notes on
their  behalf  on the  Closing  Date and from  time to time  thereafter  to make
Borrowings (as defined in the Indenture)  available  thereunder on the terms and
conditions provided for herein;

     NOW THEREFORE,  in consideration of the mutual covenants herein  contained,
and other good and valuable consideration, the receipt and adequacy of which are
hereby expressly acknowledged, the parties hereto agree as follows:

                             SECTION I. DEFINITIONS

     Section  1.1.  Definitions.  All  capitalized  terms used herein as defined
terms  and not  defined  herein  shall  have the  meanings  given to them in the
Indenture or the Sale and Servicing  Agreement,  as  applicable.  If a term used
herein is defined in both the Indenture and the Sale and Servicing Agreement, it
shall  have the  meaning  set forth in the  Indenture.  Additionally,  the terms
defined in the  preamble to this  Agreement  shall have the  meanings  set forth
therein and the following terms shall have the following meanings (such meanings
to be equally  applicable  to both the  singular  and plural  forms of the terms
defined):

     "'34 Act" shall mean the Securities Exchange Act of 1934, as amended,

     "Affected Party" shall mean, with respect to any Structured Purchaser,  any
Support Party of such Structured Purchaser.

     "Agent" has the meaning specified in the preamble to this Agreement.

     "Agreement"   shall  mean  this  Note  Purchase   Agreement,   as  amended,
supplemented or otherwise modified from time to time.

     "Alternate  Rate" shall mean, for any Interest Period and any Purchaser,  a
rate per  annum  equal to the LIBO Rate  plus  2.0% for such  period;  provided,
however, that

          (a) if the Alternate Rate becomes  applicable with respect to any part
     of a Purchaser's interest in the Notes without at least three LIBO Business
     Days' prior notice by the

<PAGE>

     Issuer  to the  Agent,  then  the  Alternate  Rate  for  such  part of such
     interests for each day prior to the  expiration of such notice period shall
     be the Base Rate;

          (b) if  such  Purchaser  shall  notify  the  Agent  that  a LIBO  Rate
     Disruption  Event has occurred and is  continuing,  then the Alternate Rate
     for such  Interest  Period shall be a rate per annum equal to the Base Rate
     in effect from time to time during such Interest Period; and

          (c) without  limiting the foregoing,  if with respect to such Interest
     Period such Purchaser  shall have notified the Agent that the rate at which
     deposits of United States  dollars are being  offered to such  Purchaser in
     the London  interbank  market does not accurately  reflect the cost to such
     Purchaser  of funding its interest in the Notes for such  Interest  Period,
     then the Alternate Rate for such Interest  Period shall be a rate per annum
     equal to the Base Rate in effect  from time to time  during  such  Interest
     Period.

     "Assignee"  and  "Assignment"  have the  respective  meanings  specified in
subsection 8.1(e) of this Agreement.

     "Available  Commitment"  shall mean, on any day for a Committed  Purchaser,
such  Purchaser's  Commitment  in  effect  on such day minus the sum of (i) such
Purchaser's  Percentage  Interest of the Outstanding Amount of the Notes on such
day plus (ii) if such  Purchaser  is a  Liquidity  Provider  for a  Noncommitted
Purchaser, such Purchaser's Liquidity Percentage multiplied by such Noncommitted
Purchaser's  Percentage  Interest of the Outstanding Amount of the Notes on such
day.

     "Base Rate"  means,  for any day, a rate per annum (in no event higher than
the maximum  rate  permitted by  applicable  law) equal to the higher of (a) the
rate of  interest  publicly  announced  or, if not  publicly  announced,  quoted
internally  from time to time by the Agent at its principal  office in New York,
New York as its prime commercial  lending rate in effect in the United States of
America,  such prime rate not intended to be the lowest rate of interest charged
by the Agent to any  class of  debtors  and (b) the rate  quoted to the Agent at
approximately 11:00 A.M., New York City time, by dealers in the New York Federal
Funds  Market for the  overnight  offering of dollars to the Agent for  deposit,
from time to time in effect,  plus  0.50%,  calculated  based on the actual days
elapsed in a year of 365 or 366 days, as applicable.

     "Bluegreen" has the meaning specified in the preamble to this Agreement.

     "Breakage  Costs" means, for each Purchaser for each period for which it is
funding an interest in the Notes,  to the extent that a Purchaser is funding the
maintenance of its investment in the Note during such funding period through the
issuance of commercial  paper or at the LIBO Rate,  during which such investment
is reduced (in whole or in part) prior to the end of the period for which it was
originally scheduled to remain outstanding (the amount of such reduction in such
investment being referred to as the "Allocated  Amount"),  the excess of (a) the
discount or interest that would have accrued on the Allocated  Amount during the
remainder of such funding period if such reduction had not occurred over (b) the
income,  if any,  scheduled to be received by such  Purchaser from investing the
Allocated  Amount for the  remainder  of such funding  period in a  commercially
reasonable manner.

                                      -2-
<PAGE>

     "Closing Date" shall mean June 29, 2001.

     "Commitment" shall mean, for any Committed Purchaser, the maximum amount of
such  Committed  Purchaser's  commitment to make advances to the Issuer,  as set
forth in the  Joinder  Supplement  or the  Transfer  Supplement  by  which  such
Committed  Purchaser  became a party to this Agreement or assumed the Commitment
(or a portion  thereof) of another  Committed  Purchaser,  as such amount may be
adjusted from time to time pursuant to Transfer  Supplement(s)  executed by such
Committed Purchaser and its Assignee(s) and delivered pursuant to Section 8.1 of
this Agreement or pursuant to Section 2.2 of this Agreement. In the event that a
Committed  Purchaser  maintains  a portion of its  Commitment  hereunder  in its
capacity as a Liquidity  Provider for one or more Noncommitted  Purchaser,  such
Committed Purchaser shall be deemed to hold separate  Commitments  hereunder (i)
in each such capacity and (ii) if applicable,  to the extent its Commitment does
not relate to any Noncommitted Purchaser.

     "Commitment Expiration Date" shall mean 364 days from the earliest to occur
of date of (i) the Initial  Borrowing  Date and (ii) the 45th day  following the
Closing Date (as such date may be extended from time to time in accordance  with
subsection 2.2(d) hereof).

     "Commitment  Percentage"  shall  mean,  for  a  Committed  Purchaser,  such
Purchaser's  Commitment  as a percentage  of the  aggregate  Commitments  of all
Committed Purchasers.

     "Committed  Purchaser" shall mean any Purchaser which has a Commitment,  as
set  forth  in its  respective  Joinder  Supplement,  and any  Assignee  of such
Purchaser  to the  extent of the  portion  of such  Commitment  assumed  by such
Assignee pursuant to its respective Transfer Supplement.

     "Committed  Purchaser  Percentage"  shall mean, with respect to a Committed
Purchaser,  its Commitment  (exclusive of any portion  thereof held by it in its
capacity as a Liquidity Provider),  as a percentage of the aggregate Commitments
of all Committed Purchasers.

     "CP Rate" means,  with respect to any Interest Period and any Purchaser,  a
rate per annum  (expressed as a percentage and an interest yield  equivalent and
calculated on the basis of a year of 360 days and actual days elapsed)  equal to
the rate of interest  (or, if more than one rate,  the  weighted  average of the
rates), inclusive of the fees and commissions of dealers and placement agents in
respect of such Purchaser's  issuance of commercial paper (up to an amount equal
to 0.05% of the Outstanding Amount of Notes), at which funds are borrowed, drawn
down or otherwise  obtained during such Interest Period,  in connection with the
issuance of such commercial  paper;  provided that (a) if any rate in connection
with the issuance of commercial  paper is a discount rate,  then such rate shall
be the rate resulting from converting such discount rate to an  interest-bearing
equivalent  rate per annum and (b) such rate or weighted  average  rate,  as the
case may be,  shall be  adjusted  to  yield,  when  applied  to the  outstanding
principal  balance of the Notes,  an amount  sufficient  to pay  interest on the
incremental  effective  principal  balance  of any  funding  resulting  from the
capitalization of interest,  if any, during the applicable  Interest Period. The
CP Rate shall be adjusted to take account of all Breakage Costs incurred by such
Purchaser during such Interest Period.

                                      -3-
<PAGE>

     "Default" shall mean any of the events specified in the definition of Event
of Default,  whether or not any requirement for the giving of notice,  the lapse
of time, or both has been satisfied.

     "ERISA"  means the Employee  Retirement  Income  Security  Act of 1974,  as
amended from time to time.

     "Event of Default" shall mean any of the following events:

          (a) An "Event of Default"  shall occur  under,  and as defined in, the
     Indenture; or

          (b) Any  representation or warranty made or deemed made by the Issuer,
     the  Depositor,  the Seller or the Servicer  herein or in any other Related
     Document or which is contained in any certificate, document or financial or
     other  statement  furnished by it at any time under or in  connection  with
     this Agreement or any such other Related  Document shall prove to have been
     incorrect in any material  respect on or as of the date made or deemed made
     (except where such representation or warranty  specifically  relates to any
     earlier date,  in which case such  representation  and warranty  shall have
     been true and correct in all material  respects as of such  earlier  date);
     provided that a breach of the Seller's  representation  and warranty  under
     Section 2.2 of the Sale and  Servicing  Agreement  shall be deemed to occur
     only if the Seller does not  repurchase or provide  substitute  Receivables
     for the Receivables  causing such violation in accordance with the terms of
     the  Sale and  Servicing  Agreement  within  the time  frame  provided  for
     therein);

          (c) The  Issuer,  the  Depositor,  the  Seller or the  Servicer  shall
     default in the observance or  performance of any material  provision of any
     other agreement  contained in this Agreement or any other Related  Document
     (other than as provided in paragraphs (a) and (b) of this definition),  and
     such default  shall  continue  unremedied  for a period of 5 Business  Days
     after the Issuer,  the Depositor,  the Seller or the Servicer becomes aware
     of or is notified of such default; or

          (d) (i) The Indenture shall cease, for any reason, to be in full force
     and effect,  or the Issuer  shall so assert or (ii) the Lien created by the
     Indenture shall cease to be enforceable and of the same effect and priority
     purported to be created thereby.

     "Excluded Taxes" has the meaning assigned to such term in subsection 6.3(a)
of this Agreement.

     "Extension  Notice Deadline" has the meaning specified in subsection 2.2(d)
of this Agreement.

                                      -4-
<PAGE>

     "Facility  Termination  Date"  shall  mean,  the  first to occur of (i) the
Commitment Expiration Date (ii) the date of any termination by the Issuer of the
Commitments  pursuant to Section  2.2,  and (iii) the date the  Commitments  are
terminated pursuant to Section 2.5 hereof.

     "Fees"  shall mean the fees payable to the Agent or the  Purchasers  in the
amounts and on the dates set forth in the Fee Letter.

     "Fee Letter" shall mean that certain letter agreement,  designated  therein
as the Fee Letter and dated as of the date hereof,  among the Agent,  the Issuer
and  Bluegreen,  as such letter  agreement may be amended or otherwise  modified
from time to time.

     "Funding  Rate"  means,  with  respect  to  any  Interest  Period  and  any
Purchaser's  interest in the Notes,  the weighted  average  during such Interest
Period of (a) except when and to the extent that an Event of Default  shall have
occurred  and be  continuing,  (i) if such  Purchaser  funded all or part of its
interest in the Notes through the issuance of commercial paper, the CP Rate, and
(ii) if such  Purchaser  funded all or part of its  interest  in the Notes other
than  through  its  issuance  of  commercial  paper,  then with  respect to such
interest  in the Notes or part  thereof a rate per annum equal to the greater of
(A) the  Alternate  Rate and (B) the Base Rate and (b) during any period when an
Event of Default shall have occurred and be continuing, the Base Rate plus 4.0%.

     "Governmental Authority" shall mean any nation or government,  any state or
other  political  subdivision  thereof  and  any  entity  exercising  executive,
legislative,  judicial,  regulatory or administrative functions of or pertaining
to government.

     "Indemnitee"  has  the  meaning  specified  in  subsection  2.4(a)  of this
Agreement.

     "Indemnitor"  has  the  meaning  specified  in  subsection  2.4(a)  of this
Agreement.

     "Indenture" has the meaning specified in the recitals to this Agreement.

     "Indenture  Trustee"  has the  meaning  specified  in the  recitals to this
Agreement.

     "Interest  Period"  means,  with respect to a Payment Date, the period from
and including  the  preceding  Payment Date (or the Closing Date, in the case of
the first Payment Date) to but excluding such Payment Date.

     "Interpretation" as used in Sections 6.1 and 6.2 hereof with respect to any
law or  regulation  means  the  interpretation  or  application  of such  law or
regulation by any Governmental  Authority  (including,  without limitation,  any
entity exercising executive, legislative, judicial, regulatory or administrative
functions of or pertaining to government),  central bank,  accounting  standards
board or any comparable entity.

     "Investing  Office" shall mean  initially,  the office of any Purchaser (if
any)  designated as such, in the case of any initial  Purchaser,  in its Joinder
Supplement and, in the case of any Assignee, in the related Transfer Supplement,
and  thereafter,  such other office of such Purchaser or such Assignee as may be
designated in writing to the Agent,  the Issuer,  the Servicer and the Indenture
Trustee by such Purchaser or Assignee.

                                      -5-
<PAGE>

     "Investment  Letter" has the meaning specified in subsection 8.1(a) of this
Agreement.

     "Joinder Supplement" has the meaning specified in subsection 2.2(d) of this
Agreement.

     "LIBO Business Day" means any day (a) other than (i) a Saturday,  Sunday or
(ii) other day on which banks are required or  authorized  to close in London or
New York City and (b) on which  dealings in foreign  currency  and  exchange are
carried on in the London interbank market

     "LIBO Rate" means,  for any Interest  Period, a rate per annum equal to the
London interbank offered rate for United States dollar deposits (rounded upward,
if  necessary,  to the nearest whole  multiple of 1/16 of one percent),  for the
time funded as determined by the Agent,  that appears on the display page of the
Bridge  Telerate  Capital Markets Report  currently  designated as Telerate Page
3750 (or such  other  page as may  replace  that  page on that  service  for the
purpose of  displaying  comparable  rates or prices),  as of 11:00 a.m.,  London
time,  on the second  LIBO  Business  Day  preceding  the  commencement  of such
Interest  Period  (or  portion  thereof).  The  establishment  of the LIBO  Rate
hereunder shall (in the absence of manifest error) be conclusive.  The LIBO Rate
shall  be  adjusted  to take  account  of all  Breakage  Costs  incurred  by the
applicable Purchaser during such Interest Period.

     "LIBO  Rate  Disruption  Event"  means,  for any  Interest  Period  and any
Purchaser,  any of the following:  (a) a determination by such Purchaser that it
would be contrary to law applicable to such Purchaser or to the directive of any
central  bank or other  Governmental  Authority  having  jurisdiction  over such
Purchaser to obtain United States dollars in the London interbank market to fund
its investment in its interest in the Notes for such Interest  Period or (b) the
inability of such  Purchaser  by reason of  circumstances  affecting  the London
interbank  market  generally,  to obtain United States dollars in such market to
fund its investment in its interest in the Notes for such Interest Period.

     "Lien"  means any  mortgage,  pledge,  hypothecation,  assignment,  deposit
arrangement,  encumbrance,  lien (statutory or other),  charge or other security
interest or any preference,  priority or other security agreement of any kind or
nature whatsoever (including,  without limitation, any conditional sale or other
title retention  agreement and any capital lease having  substantially  the same
economic effect as any of the foregoing).

     "Liquidity  Percentage"  shall mean, for a Committed  Purchaser  which is a
Liquidity  Provider for a Noncommitted  Purchaser,  such Purchaser's  Commitment
held in such  capacity  as a  percentage  of the  aggregate  Commitments  of all
Liquidity  Providers  (held in their  capacities as such) for such  Noncommitted
Purchaser.

     "Liquidity Provider" shall mean, with respect to a Noncommitted  Purchaser,
each  Committed   Purchaser   identified  as  a  Liquidity   Provider  for  such
Noncommitted Purchaser in the Joinder Supplement or Transfer Supplement pursuant
to which such Noncommitted  Purchaser became a party hereto, and any Assignee of
such Committed Purchaser to the extent such Assignee has assumed,  pursuant to a
Transfer Supplement, the Commitment of such Committed

                                      -6-
<PAGE>

Purchaser  held in its  capacity  as a Liquidity  Provider.  In the event that a
Liquidity  Provider  acquires a portion of the Outstanding  Amount of Notes from
its  Noncommitted  Purchaser  by  Assignment,  a  corresponding  portion  of its
Commitment shall thereupon cease to be held by it in its capacity as a Liquidity
Provider for such Noncommitted  Purchaser (but shall otherwise remain in effect,
subject  to the terms and  conditions  of this  Agreement,  as a portion  of the
Commitment of such Committed Purchaser).

     "Non-Extending  Purchaser"  shall  have the  meaning  set forth in  Section
2.2(d) of this Agreement.

     "Noncommitted  Purchaser"  shall mean a Purchaser  which is not a Committed
Purchaser.

     "Noncommitted  Purchaser  Percentage"  shall  mean  for  each  Noncommitted
Purchaser,  the aggregate  Commitments  of its Liquidity  Providers from time to
time as a percentage of the aggregate Commitments of all Committed Purchasers.

     "Notes" has the meaning specified in the recitals to this Agreement.

     "Note Interest Rate" means, with respect to an Interest Period, a per annum
rate equal to the Funding  Rate;  provided  that (i) on the first  through sixth
Interest Periods after the Facility  Termination Date shall have occurred and be
continuing, the Note Interest Rate shall equal the Funding Rate plus 0.50%, (ii)
on the 7th through 12th  Interest  Periods after the Facility  Termination  Date
shall have  occurred and be  continuing,  the Note Interest Rate shall equal the
Funding Rate plus 1.0%,  (iii) on the 13th through 18th  Interest  Periods after
the Facility  Termination  Date shall have occurred and be continuing,  the Note
Interest  Rate shall equal the Funding Rate plus 1.5% and (iv) for each Interest
Period  thereafter,  the Note  Interest  Rate shall equal the Funding  Rate plus
2.0%.

     "Note Monthly  Interest" means,  with respect to a Payment Date, the amount
of interest payable with respect to the Notes on such Payment Date calculated at
the Note Interest Rate.

     "Other Parties" has the meaning assigned to such term in subsection 6.4(b).

     "Owners" shall mean the  Purchasers  that are owners of record of the Notes
or, with respect to any Note held by the Agent hereunder as nominee on behalf of
Purchasers, the Purchasers that are owners of the Outstanding Amount represented
by such Note as  reflected  on the books of the  Agent in  accordance  with this
Agreement.

     "Owner Trustee" means Wilmington Trust Company, a Delaware banking company,
not in its  individual  capacity  but  solely as owner  trustee  under the Trust
Agreement, and any successor thereto.

     "Participant"  has the  meaning  specified  in  subsection  8.1(d)  of this
Agreement.

     "Participation"  has the  meaning  specified  in  subsection  8.1(d) of the
Agreement.

                                      -7-
<PAGE>

     "Percentage  Interest"  shall  mean,  for  a  Purchaser  on  any  day,  the
percentage  equivalent  of (a) the sum of (i) the  aggregate  of the portions of
each  Borrowing  (if any) made by such  Purchaser  prior to such day pursuant to
Section 10.1 of the Indenture,  plus (ii) any portion of the Outstanding  Amount
of the Notes  acquired by such  Purchaser as an Assignee from another  Purchaser
pursuant to a Transfer Supplement executed and delivered pursuant to Section 8.1
of this Agreement,  minus (iii) the aggregate amount of principal  payments made
to such Purchaser  prior to such day, minus (iv) any portion of the  Outstanding
Amount of the Notes  assigned by such  Purchaser  to an  Assignee  pursuant to a
Transfer  Supplement  executed  and  delivered  pursuant  to Section 8.1 of this
Agreement, divided by (b) the Outstanding Amount of the Notes on such day.

     "Purchase  Limit" shall mean for any date the aggregate  Commitments of the
Purchasers on such date.

     "Purchaser" has the meaning specified in the preamble to this Agreement.

     "Related Documents" shall mean, collectively, this Agreement (including the
Fee Letter and all Joinder Supplements and Transfer Supplements), the Indenture,
the Custodial Agreement,  the Notes, the Trust Agreement, the Lock-Box Agreement
and the Sale and Servicing Agreement.

     "Required  Owners"  shall  mean,  at any  time,  Owners  having  Percentage
Interests aggregating greater than 50%.

     "Required  Purchasers" shall mean, at any time, Committed Purchasers having
Commitments  aggregating  greater than 50% of the aggregate  Commitments  of all
Committed Purchasers.

     "Requirement of Law" shall mean, as to any Person, any law, treaty, rule or
regulation, or determination of an arbitrator or Governmental Authority, in each
case  applicable  to or  binding  upon such  Person or to which  such  Person is
subject,  whether  federal,  state or local  (including  usury laws, the Federal
Truth in Lending Act and Regulation Z and Regulation B of the Board of Governors
of the Federal Reserve System).

     "Sale and  Servicing  Agreement"  means the sale and  servicing  agreement,
dated as of June 29,  2001,  among the Issuer,  Bluegreen,  the  Depositor,  the
Backup Servicer, the Custodian, the Club Trustee and the Indenture Trustee.

     "Securities Act" shall mean the Securities Act of 1933, as amended.

     "Structured  Purchaser" shall mean any Purchaser which is a special purpose
corporation,  the  principal  business of which  consists of issuing  commercial
paper,  medium  term  notes or other  securities  to fund  its  acquisition  and
maintenance  of  receivables,  accounts,  instruments,  chattel  paper,  general
intangibles  and  other  similar  assets  or  interests  therein,  and  which is
identified  as a  Structured  Purchaser  in the  Joinder  Agreement  or Transfer
Supplement by which such Committed Purchaser became a party to this Agreement.

                                      -8-
<PAGE>

     "Support  Facility"  shall mean any liquidity or credit  support  agreement
with a Structured  Purchaser  which  relates to this  Agreement  (including  any
agreement to purchase an assignment of or participation in Notes).

     "Support  Party"  shall  mean  any  bank  or  other  financial  institution
extending  or having a  commitment  to extend  funds to or for the  account of a
Structured  Purchaser  (including  by agreement to purchase an  assignment of or
participation in Notes) under a Support Facility.  Each Liquidity Provider for a
Noncommitted  Purchaser which is a Structured  Purchaser shall be deemed to be a
Support Party for such Structured Purchaser.

     "Taxes" has the meaning assigned to such term in subsection 6.3(a).

     "Transfer"  has  the  meaning   specified  in  subsection  8.1(c)  of  this
Agreement.

     "Transferee"  has  the  meaning  specified  in  subsection  8.1(c)  of this
Agreement.

     "Transfer  Supplement"  has the meaning  specified in subsection  8.1(e) of
this Agreement.

     "Trust  Agreement"  means the trust  agreement,  dated as of June 29, 2001,
between the Depositor, GSS Holdings, Inc. and the Owner Trustee.

     "written" or "in writing"  (and other  variations  thereof)  shall mean any
form of written  communication or a communication by means of telex,  telecopier
device, telegraph or cable.

     Section 1.2. Other Definitional Provisions.  (a) Unless otherwise specified
therein,  all terms defined in this  Agreement  shall have the defined  meanings
when  used in any  certificate  or other  document  made or  delivered  pursuant
hereto.

          (b) The words "hereof", "herein", and "hereunder" and words of similar
     import when used in this Agreement shall refer to this Agreement as a whole
     and  not to any  particular  provision  of  this  Agreement;  and  Section,
     subsection and Exhibit  references are to this Agreement,  unless otherwise
     specified.  The  words  "including"  and  "include"  shall be  deemed to be
     followed by the words "without limitation".

                  SECTION II. AMOUNT AND TERMS OF COMMITMENTS

     Section 2.1. Purchases.  (a) The Purchasers hereby direct that the Notes be
registered in the name of the Agent, as nominee on behalf of the Purchasers from
time to time hereunder.

          (b) On and subject to the terms and  conditions of this  Agreement and
     prior to the Facility Termination Date, (i) each Noncommitted Purchaser may
     advance  its  Noncommitted  Purchaser  Percentage  of  any  Borrowing  made
     pursuant to Section 10.1 of the Indenture,  (ii) each  Liquidity  Provider,
     severally,  agrees to advance its respective  Liquidity  Percentage of each
     Borrowing not so advanced by its related Noncommitted Purchaser,  and (iii)
     each  Committed  Purchaser,  severally,  agrees to  advance  its  Committed
     Purchaser Percentage of

                                      -9-
<PAGE>

     each  Borrowing  so  made;  provided  that in no  event  shall a  Committed
     Purchaser  be  required  on any  date  to  make an  advance  exceeding  its
     aggregate Available  Commitment,  determined prior to giving effect to such
     advance;  provided,  further that in no event shall  Borrowings  occur more
     frequently  than once every week.  Such advance shall be made  available to
     the Issuer,  subject to the  satisfaction  of the  conditions  specified in
     Section  3.2  hereof,  at or prior to 2:00  p.m.  New York City time on the
     applicable  Borrowing Date by deposit of immediately  available funds to an
     account designated by the Issuer to the Agent.

          (c) Each Borrowing on the  applicable  Borrowing Date shall be made on
     prior  notice  from the Issuer  received  by the Agent not later than 10:00
     a.m. New York City time on the fifth  Business Day preceding such Borrowing
     Date.  Each such  notice  shall be  irrevocable  and shall  specify (i) the
     aggregate amount of the Borrowing,  and (ii) the applicable  Borrowing Date
     (which shall be a Business Day). The Agent shall promptly forward a copy of
     such notice to each Purchaser. Each Noncommitted Purchaser shall notify the
     Agent by 9:30 a.m.,  New York City time, on the  applicable  Borrowing Date
     whether it has  determined to make the advance  requested  pursuant to this
     subsection  2.1. In the event that a Noncommitted  Purchaser shall not have
     timely provided such notice such Noncommitted  Purchaser shall be deemed to
     have  determined  not to make such  purchase.  The Agent  shall  notify the
     Issuer,  the Servicer  and each  Liquidity  Provider for such  Noncommitted
     Purchaser on or prior to 10:00 a.m.,  New York City time, on the applicable
     Borrowing Date of whether such Noncommitted  Purchaser has so determined to
     advance its share of the  Borrowing,  and,  in the event that  Noncommitted
     Purchasers  have not determined to advance the  Borrowing,  the Agent shall
     specify in such notice (i) the portion of the  Borrowing  to be advanced by
     each  Liquidity  Provider,  and (ii) the  applicable  Borrowing Date (which
     shall be a Business Day). The Agent shall notify the Issuer, the Depositor,
     the Seller,  the  Servicer,  the Indenture  Trustee and each  Purchaser not
     later than the Business Day following the applicable  Borrowing Date of the
     identity of each  Purchaser  which advanced any portion of the Borrowing on
     such  day,  whether  such  Purchaser  was  a  Noncommitted  Purchaser  or a
     Committed  Purchaser  and the  portion of the  Borrowing  advanced  by such
     Purchaser.

          (d) In no event may any  Borrowing be made  hereunder or under Section
     10.1 of the  Indenture,  nor shall any Committed  Purchaser be obligated to
     advance any  portion of any  Borrowing,  to the extent that such  Borrowing
     would exceed the aggregate Available Commitments.

          (e) The Notes  shall be paid as  provided  in the  Indenture,  and the
     Agent shall  allocate  to the Owners  each  payment in respect of the Notes
     received by the Agent in its capacity as  Noteholder  as provided  therein.
     Except as otherwise provided in the Indenture, payments in reduction of the
     Outstanding  Amount of the Notes  shall be  applied  (i) prior to  Facility
     Termination  Date,  first to Owners which are Committed  Purchasers  (which
     does  not  include  Non-Extending  Purchasers),  pro  rata  based  on their
     respective  Percentage  Interests of the Outstanding  Amount of Notes; and,
     second,  to Owners  which are  Noncommitted  Purchasers,  pro rata based on
     their respective  Percentage  Interests of the Outstanding Amount of Notes;
     and (ii) from and after Facility Termination Date, to Owners pro rata based
     on their  respective  Percentage  Interests  of the  Outstanding  Amount of
     Notes,  or in any such  case in such  other  proportions  as each  affected
     Purchaser  may agree upon in  writing  from time to time with the Agent and
     Bluegreen.

                                      -10-
<PAGE>

          (f) The Agent  shall keep  records of each  Borrowing,  each  Interest
     Period applicable thereto, the interest rate(s) applicable to the Notes and
     each  payment of  principal  and interest  thereon.  Such records  shall be
     rebuttably  presumptive  evidence  of the  subject  matter  thereof  absent
     manifest error.

     Section 2.2. Reductions and Extensions of Commitments.  (a) At any time the
Issuer may,  acting at the  direction of the Residual  Interest  Owner,  upon at
least three  Business  Days' prior  written  notice to the Agent,  terminate the
Commitments  or reduce the aggregate  Commitments.  Each such partial  reduction
shall  be  in an  aggregate  amount  of  $5,000,000  or  integral  multiples  of
$1,000,000  in excess  thereof (or such other amount  requested by the Issuer to
which the Agent consents).  Reductions of the aggregate  Commitments pursuant to
this  subsection  2.2(a)  shall  be  allocated  (i) to the  Commitment  of  each
Committed Purchaser,  other than a Commitment held as a Liquidity Provider,  pro
rata based on the Commitment Percentage represented by such Commitment, and (ii)
to the  aggregate  Commitments  of  Liquidity  Providers  for each  Noncommitted
Purchaser  pro  rata  based on the  Noncommitted  Purchaser  Percentage  of such
Noncommitted Purchaser,  and the portion of such reduction which is so allocated
to the aggregate Commitments of Liquidity Providers for a Noncommitted Purchaser
shall be allocated to the  Commitment of each such  Liquidity  Provider pro rata
based on its respective Liquidity Percentage.

          (b) On the Facility Termination Date, the Commitment of each Committed
     Purchaser shall be automatically reduced to zero.

          (c) Subject to the  provisions of subsections  8.1(a) and 8.1(b),  any
     Person  may from time to time with the  consent of the Agent and the Issuer
     become a party to this Agreement as an initial  Noncommitted  Purchasers or
     an  initial  Committed  Purchasers  by  (i)  delivering  to the  Issuer  an
     Investment Letter and (ii) entering into an agreement  substantially in the
     form attached hereto as Exhibit B hereto (a "Joinder Supplement"), with the
     Agent and the Issuer, acknowledged by the Servicer, which shall specify (A)
     the name and address of such Person for purposes of Section 9.2 hereof, (B)
     whether such Person will be a Noncommitted Purchaser or Committed Purchaser
     and,  if such  Person will be a Committed  Purchaser,  its  Commitment  and
     Commitment Expiration Date, (C) if such Person is a Noncommitted Purchaser,
     the identity of its  Liquidity  Providers  and their  respective  Liquidity
     Percentages,  (D) if such Person is a Liquidity Provider,  the Noncommitted
     Purchaser  for which it is acting as such and the portion of such  Person's
     Commitment which is held by it in its capacity as Liquidity  Provider,  and
     (E) the other information  provided for in such form of Joinder Supplement.
     Upon its receipt of a duly executed Joinder Supplement,  the Agent shall on
     the  effective  date  determined  pursuant  thereto  give  notice  of  such
     effectiveness to the Issuer, the Servicer and the Indenture Trustee.

          (d) So long as no Event of  Default  has  occurred  and is  continuing
     (unless otherwise agreed by the Agent), no more than 60 and no less than 30
     days prior to the  applicable  Commitment  Expiration  Date, the Issuer may
     request,  through  the  Agent,  that each  Committed  Purchaser  extend the
     Commitment  Expiration  Date  to the  date  which  is 364  days  after  the
     Commitment  Expiration Date then in effect,  which decision will be made by
     each Committed  Purchaser in its sole discretion.  Upon receipt of any such
     request,  the Agent shall promptly notify each Committed Purchaser thereof.
     At least 35 but not more than 50 days prior

                                      -11-
<PAGE>

     to the applicable  Commitment  Expiration  Date,  each Committed  Purchaser
     shall  notify  the Agent of its  willingness  or  refusal  to so extend the
     Commitment  Expiration  Date, and the Agent shall notify the Issuer of such
     willingness  or refusal by the Committed  Purchasers on such 30th day (such
     day, the "Extension Notice Deadline").  If any Committed Purchaser notifies
     the Agent of its refusal to extend or does not  expressly  notify the Agent
     that  it is  willing  to  extend  the  Commitment  Expiration  Date  by the
     applicable  Extension Notice Deadline (each a  "Non-Extending  Purchaser"),
     the Commitment Expiration Date shall not be so extended.

     Section 2.3. Fees, Expenses,  Payments, Etc. (a) Bluegreen agrees to pay to
the Agent for the  account of the  Purchasers,  the Fees and other  amounts  set
forth in the Fee Letter at the times specified therein.

          (b) Bluegreen  further agrees to pay within 30 days following  receipt
     of an  invoice  therefor  to the  Agent  and  the  initial  Purchasers  all
     reasonable   costs  and  expenses  in  connection  with  the   preparation,
     execution,  delivery,  administration  (including any requested amendments,
     waivers or consents of any of the Related  Documents) of this Agreement and
     each  related  Support  Facility,  and the other  documents to be delivered
     hereunder or in connection  herewith,  including the reasonable  fees up to
     $125,000  (unless the Agent shall have provided  Bluegreen  prior notice of
     extraordinary  circumstance  why such  fees may be in excess  thereof)  and
     out-of-pocket  expenses  of counsel  for the Agent and each of the  initial
     Purchasers with respect thereto

          (c) Bluegreen agrees to pay to the Agent and, following the occurrence
     and during the  continuance  of an Event of Default  other than an Event of
     Default  arising from the failure of the  Obligors to make  payments on the
     Receivables,  each Purchaser, promptly following presentation of an invoice
     therefor,  all reasonable costs and expenses (including reasonable fees and
     expenses of counsel),  if any, in connection with the enforcement of any of
     the Related Documents,  and the other documents delivered  thereunder or in
     connection therewith.

          (d)  Bluegreen  further  agrees  to pay on demand  any and all  stamp,
     transfer and other taxes and  governmental  fees payable in connection with
     the  execution,  delivery,  filing  and  recording  of any  of the  Related
     Documents  and each related  Support  Facility or the other  documents  and
     agreements  to be  delivered  hereunder  and  thereunder  or  otherwise  in
     connection  with  the  issuance  of the  Notes,  and  agrees  to save  each
     Purchaser  and the Agent  harmless  from and against any  liabilities  with
     respect to or  resulting  from any delay in paying or any  omission  to pay
     such taxes and fees.

          (e) Periodic fees or other periodic amounts payable hereunder shall be
     calculated, unless otherwise specified in the Fee Letter, on the basis of a
     360-day year and for the actual days elapsed.

          (f) All payments to be made hereunder or under the Indenture,  whether
     on account of principal, interest, fees or otherwise, shall be made without
     setoff or counterclaim  and shall be made prior to 2:30 p.m., New York City
     time,  on  the  due  date  thereof  to the  Agent's  account  specified  in
     subsection  9.2(b)  hereof,  in United  States  dollars and in  immediately
     available  funds.  Payments  received by the Agent after 2:30 p.m. New York
     City

                                      -12-
<PAGE>

     time  shall  be  deemed  to  have  been  made  on the  next  Business  Day.
     Notwithstanding  anything  herein  to  the  contrary,  if any  payment  due
     hereunder  becomes due and payable on a day other than a Business  Day, the
     payment date thereof shall be extended to the next succeeding  Business Day
     and  in the  case  of  principal,  interest  shall  accrue  thereon  at the
     applicable rate during such extension. To the extent that (i) the Indenture
     Trustee,  the  Depositor,  the Seller,  the Issuer or the Servicer  makes a
     payment  to the  Agent  or a  Purchaser  or (ii) the  Agent or a  Purchaser
     receives  or is  deemed  to have  received  any  payment  or  proceeds  for
     application to an obligation, which payment or proceeds or any part thereof
     are  subsequently  invalidated,  declared to be fraudulent or preferential,
     set aside or required to be repaid to a Indenture Trustee,  receiver or any
     other party under any  bankruptcy or insolvency  law, state or Federal law,
     common law, or for  equitable  cause,  then,  to the extent such payment or
     proceeds  are set aside,  the  obligation  or part  thereof  intended to be
     satisfied  shall be revived and  continue  in full force and effect,  as if
     such  payment or proceeds had not been  received or deemed  received by the
     Agent or the Purchasers, as the case may be.

     Section 2.4.  Indemnification.  (a) Bluegreen (the "Indemnitor")  agrees to
indemnify  and hold  harmless the Agent and each  Purchaser  and any  directors,
officers,  employees  or agents,  of the Agent or  Purchasers  (each such Person
being  referred  to as an  "Indemnitee")  from and  against  any and all claims,
damages, losses, liabilities, costs or expenses whatsoever (including reasonable
fees and expenses of legal  counsel)  which such  Indemnitee may incur (or which
may be  claimed  against  such  Indemnitee)  arising  out of, by reason of or in
connection  with the execution and delivery of, or payment or other  performance
under, or the failure to make payments or perform under, any Related Document or
the issuance of the Notes  (including in  connection  with the  preparation  for
defense of any  investigation,  litigation or proceeding arising out of, related
to or in connection  with such  execution,  delivery,  payment,  performance  or
issuance),  except  (i) to  the  extent  that  any  such  claim,  damage,  loss,
liability, cost or expense shall be caused by the willful misconduct, bad faith,
recklessness or gross negligence of, or breach of any representation or warranty
in any Related  Document  by, any  Indemnitee,  (ii) to the extent that any such
claim,  damage,  loss,  liability,  cost or expense is covered or  addressed  by
subsection  2.3(c)  or (d)  hereof,  (iii) to the  extent  that any such  claim,
damage, loss, liability, cost or expense relates to disclosure made by the Agent
or a Purchaser in connection  with an Assignment  or  Participation  pursuant to
Section 8.1 of this Agreement which disclosure is not based on information given
to the Agent or such  Purchaser by or on behalf of  Bluegreen,  or any affiliate
thereof or by or on behalf of the  Indenture  Trustee or (iv) to the extent that
such claim,  damage,  loss,  liability,  cost or expense  shall be caused by any
default in payment of any Receivable.  The foregoing indemnity shall include any
claims,  damages,  losses,  liabilities,  costs or  expenses  to which  any such
Indemnitee may become subject under Securities Act, the Securities  Exchange Act
of 1934, as amended,  the Investment  Company Act of 1940, as amended,  or other
federal  or state law or  regulation  arising  out of or based  upon any  untrue
statement  or alleged  untrue  statement  of a material  fact in any  disclosure
document relating to the Notes or any amendments thereof or supplements thereto,
in any case,  provided or approved by the Issuer (other than statements provided
by the Indemnitee  expressly for inclusion  therein) or arising out of, or based
upon, the omission or the alleged omission to state a material fact necessary to
make the statements therein or any amendment thereof or supplement  thereto,  in
light of the  circumstances in which they were made, not misleading  (other than
with respect to statements  provided by the  Indemnitee  expressly for inclusion
therein).

                                      -13-
<PAGE>

          (b)  Promptly  after the receipt by an  Indemnitee  of a notice of the
     commencement  of any action against an  Indemnitee,  such  Indemnitee  will
     notify the Agent and the Agent will, if a claim in respect thereof is to be
     made  against an  Indemnitor  pursuant to  subsection  2.4(a),  notify such
     Indemnitor in writing of the commencement  thereof;  but the omission so to
     notify such party will not relieve such party from any  liability  which it
     may have to such Indemnitee  pursuant to the preceding  paragraph except to
     the extent the Indemnitor is prejudiced by such failure. If any such action
     is brought  against an  Indemnitee  and it  notifies an  Indemnitor  of its
     commencement,  such  Indemnitor  will be entitled to participate in and, to
     the extent that it so elects by delivering written notice to the Indemnitee
     promptly after receiving  notice of the commencement of the action from the
     Indemnitee to assume the defense of any such action,  with a single counsel
     mutually  satisfactory  to such  Indemnitor  and each affected  Indemnitee.
     After  receipt of such notice by an  Indemnitor  from an  Indemnitee,  such
     Indemnitor  will not be  liable to such  Indemnitee  for any legal or other
     expenses  except as provided below and except for the  reasonable  costs of
     investigation  incurred by the Indemnitee in connection with the defense of
     such action.  Each Indemnitee will have the right to employ its own counsel
     in any such  action,  but the  fees,  expenses  and other  charges  of such
     counsel  will be at the  expense  of the  such  Indemnitee  unless  (i) the
     employment  of such  counsel  by such  Indemnitee  has been  authorized  in
     writing by such  Indemnitor,  (ii) such  Indemnitor  shall  have  failed to
     assume the defense and employ counsel,  (iii) the named parties to any such
     action or proceeding  (including any impleaded  parties)  include both such
     Indemnitee and either an Indemnitor or another person or entity that may be
     entitled to  indemnification  from an Indemnitor (by virtue of this Section
     2.4 or otherwise)  and such  Indemnitee  shall have been advised by counsel
     that there may be one or more legal defenses  available to such  Indemnitee
     which are different from or additional to those  available to an Indemnitor
     or such other party or shall otherwise have reasonably  determined that the
     co-representation  would  present  such counsel with a conflict of interest
     (in which case the Indemnitor will not have the right to direct the defense
     of such action on behalf of the Indemnitee).  In any such case described in
     clauses (i) through (iii) of the preceding  sentence,  the reasonable fees,
     disbursements  and other  charges of counsel  will be at the expense of the
     Indemnitor;  it being  understood that in no event shall the Indemnitors be
     liable  for the  fees,  disbursements  and other  charges  of more than one
     counsel  (in  addition  to  any  local  counsel)  for  all  Indemnitees  in
     connection  with any one action or separate but similar or related  actions
     arising out of the same general allegations or circumstances. An Indemnitor
     shall  not be  liable  for  any  settlement  of any  such  action,  suit or
     proceeding  effected  without  its  written  consent,  which  shall  not be
     unreasonably  withheld,  but if  settled  with the  written  consent  of an
     Indemnitor  or if there shall be a final  judgment for the plaintiff in any
     such action,  suit or proceeding,  such Indemnitor  agrees to indemnify and
     hold  harmless any  Indemnitee  to the extent set forth in this letter from
     and against any loss,  claim,  damage,  liability or reasonable  expense by
     reason of such  settlement or judgment.  No Indemnitor  shall,  without the
     prior written consent of an Indemnitee  (not to be unreasonably  withheld),
     settle or compromise or consent to the entry of any judgment in any pending
     or  threatened  claim,  action,  suit or  proceeding  in  respect  of which
     indemnification may be sought hereunder, if such settlement,  compromise or
     consent  includes an admission of culpability or wrong-doing on the part of
     such Indemnitee or the entry or an order,  injunction or other equitable or
     nonmonetary  relief  (including any  administrative  or other  sanctions or
     disqualifications)   against  such   Indemnitee  or  if  such   settlement,
     compromise  or consent  does not include an  unconditional  release of such
     Indemnitee from all liability  arising out of such claim,  action,  suit or
     proceeding.

                                      -14-
<PAGE>

          (c) The  obligations  of  Bluegreen  under  this  Agreement  shall  be
     absolute,  unconditional and irrevocable and shall be performed strictly in
     accordance  with  the  terms  of  this  Agreement.   Without  limiting  the
     foregoing,  neither  the lack of  validity  or  enforceability  of,  or any
     modification  to, any  Related  Document  nor the  existence  of any claim,
     setoff,  defense  (other  than a defense of  payment)  or other right which
     Bluegreen  may have at any time  against  the  Agent,  any  Purchaser,  any
     Support Party or any other Person,  whether in connection  with any Related
     Document or any unrelated transactions,  shall constitute a defense to such
     obligations.

     Section 2.5. Events of Default.  If any Event of Default shall occur and be
continuing,  (A) if such event is an Event of Default specified in clause (i) or
(ii) of  paragraph  (f) of the  definition  thereof  with respect to the Issuer,
automatically the Commitments shall immediately terminate, and (B) if such event
is any other Event of Default,  with the consent of the Required  Purchasers and
the  Required  Owners,  the  Agent  may,  or upon the  request  of the  Required
Purchasers and the Required  Owners,  the Agent shall,  by notice to the Issuer,
declare the  Commitments to be terminated  forthwith,  whereupon the Commitments
shall immediately terminate.

     Section 2.6.  Notification of Note Interest Rate. (a) On the third Business
Day immediately preceding each Determination Date, the Agent shall calculate the
Note Interest Rate and the Note Monthly Interest applicable to all Notes for the
applicable  Interest  Period and shall  notify  the  Indenture  Trustee  and the
Servicer of such rate and amount by written  notice.  Such rate and amount shall
be calculated using an estimate of the Note Interest Rate, if necessary, for the
remaining days in such Interest Period.

          (b) On or before the third  Business Day  immediately  preceding  each
     Determination  Date,  if the Agent  shall have used an estimate of the Note
     Interest  Rate and Note  Monthly  Interest  with  respect to the  preceding
     Interest Period,  the Agent shall compute the actual Note Interest Rate and
     Note Monthly Interest applicable to the Notes for such Interest Period, and
     if the actual Note  Monthly  Interest so computed  (i) is greater  than the
     estimated Note Monthly  Interest for such preceding  Interest  Period,  the
     Note Monthly  Interest so calculated for the current  Interest Period shall
     be  increased  by the amount of such  difference  and (ii) is less than the
     estimated Note Monthly  Interest for such preceding  Interest  Period,  the
     Note Monthly  Interest so calculated for the current  Interest Period shall
     be decreased by the amount of such difference.

                       SECTION III. CONDITIONS PRECEDENT

     Section  3.1.  Condition  to  Initial  Purchase.  The  following  shall  be
conditions precedent to the initial purchase by any Purchaser of the Notes:

          (a)  This  Agreement  and the  Related  Documents  shall  have  become
     effective in accordance with their respective terms.

          (b) All of the terms,  covenants,  agreements  and  conditions of this
     Agreement, the Fee Letter and the Related Documents to be complied with and
     performed  by  Bluegreen,   the  Seller,  the  Servicer,  the  Issuer,  the
     Depositor, the Owner Trustee or the

                                      -15-
<PAGE>

     Indenture Trustee,  as the case may be, by the Closing Date shall have been
     complied with in all material respects or otherwise waived by the Agent.

          (c) Each of the  representations  and warranties of each of Bluegreen,
     the Seller, the Servicer,  the Issuer, the Depositor,  the Owner Trustee or
     the Indenture  Trustee,  as the case may be, made in this  Agreement and in
     the Related Documents shall be true and correct in all material respects as
     of the time of the Closing  Date as though made as of such time  (except to
     the extent that they expressly relate to an earlier or later time).

          (d) No event  of  default  or  termination  event  under  any  Related
     Documents  or event that with the giving of notice or lapse of time or both
     would  constitute such an event of default or termination  event shall have
     occurred and be continuing.

          (e) The Agent shall have received:

               (i) Certified copies of the resolutions of the Board of Directors
          of each of Bluegreen and the Depositor  approving  this  Agreement and
          the Related  Documents to which it is a party and any other  documents
          contemplated  thereby and certified copies of all documents evidencing
          other necessary corporate action and governmental  approvals,  if any,
          with respect to this  Agreement and the Related  Documents to which it
          is a party and any other documents contemplated thereby;

               (ii) An officer's certificate of each of Bluegreen, the Depositor
          and the Owner Trustee, certifying the names and true signatures of the
          officers  authorized to sign this Agreement and the Related  Documents
          and any other documents to be delivered by it hereunder or thereunder;

               (iii)  A copy  of  the  bylaws  of  each  of  Bluegreen  and  the
          Depositor, certified by an officer thereof;

               (iv) A certified copy of the charter of each of Bluegreen and the
          Depositor, a certificate as to the good standing of Bluegreen from the
          Secretary of State of the State of Massachusetts  and a certificate as
          to the good standing of the  Depositor  from the Secretary of State of
          the State of Delaware, in each case dated as of a recent date;

               (v)   Proper   financing   statements   under   the  UCC  of  all
          jurisdictions  that the Agent may deem necessary or desirable in order
          to perfect the ownership and security  interests  contemplated  by the
          Sale and Servicing Agreement, the Indenture and this Agreement;

               (vi)  Acknowledgment  copies of proper financing  statements,  if
          any,  necessary to release all security  interests and other rights of
          any Person in the Trust Estate previously  granted by the Seller,  the
          Depositor or the Issuer;

               (vii) Completed requests for information,  dated on or before the
          Closing Date,  in all  jurisdictions  referred to in  subsection  (vi)
          above that name the Issuer,  the  Depositor  or  Bluegreen  as debtor,
          together with copies of such other financing statements;

                                      -16-
<PAGE>

               (viii) A  favorable  opinion of counsel to  Bluegreen,  dated the
          Closing Date, in form and substance satisfactory to the Agent;

               (ix) A  favorable  opinion of counsel to  Vacation  Trust,  Inc.,
          dated the Closing  Date,  in form and  substance  satisfactory  to the
          Agent re: corporate, regulatory and insolvency matters;

               (x) A favorable  written  opinion of counsel to the Owner Trustee
          and special Delaware counsel to the Issuer, dated the Closing Date, in
          form and substance satisfactory to the Agent;

               (xi) A favorable written opinion of counsel to the Issuer,  dated
          the Closing  Date, in form and  substance  satisfactory  to the Agent;
          (xii)  A  favorable  written  opinion  of  internal  counsel  for  the
          Indenture  Trustee,  the Custodian and the Backup  Servicer each dated
          the  Closing  Date,  as to general  corporate  matters  and such other
          matters  with  respect  to the  Indenture  Trustee  as the  Agent  may
          reasonably request,

               (xiii) A favorable  written  opinion of internal  counsel for the
          Backup Servicer dated the Closing Date as to general corporate matters
          and such other  matters  with  respect to the Backup  Servicer  as the
          Agent may reasonably request,

               (xiv) A  favorable  written  opinion  of local  counsels  for the
          Seller, dated as of the Closing Date regarding certain state timeshare
          law matters, in form and substance satisfactory to the Agent regarding
          local law matters;

               (xv) A copy of the  documentation  evidencing  the release of all
          liens attaching to the Receivables pursuant to previous financings;

               (xvi) Executed copies of each of the Related Documents; and

               (xvii)  Such  other  documents,  instruments,   certificates  and
          opinions as the Agent may reasonably request including those set forth
          as the closing list  delivered to the Seller in  connection  with this
          transaction.

          (f) No action,  suit,  proceeding  or  investigation  by or before any
     Governmental  Authority  shall have been instituted to restrain or prohibit
     the  consummation by the Agent or the Purchasers of, or to invalidate,  the
     transactions contemplated by this Agreement or the Related Documents in any
     material respect.

          (g) Each Noncommitted  Purchaser shall have received the proceeds from
     the issuance of its  commercial  paper  sufficient to permit it to fund the
     purchase of its interest in the Notes.

          (h) Each  Noncommitted  Purchaser shall have entered into total return
     swaps with Credit  Suisse  First Boston  International  Limited in form and
     substance satisfactory to such Structured Purchaser.

                                      -17-
<PAGE>

          (i) The Agent shall have received a report,  satisfactory to the Agent
     in its sole discretion,  from an independent review company selected by the
     Agent,  confirming  the  accuracy  of  the  information  in  the  Operative
     Documents with respect to the  Receivables  and the ability of the Servicer
     to perform its obligations thereunder.

     Section 3.2.  Condition to  Borrowings.  The following  shall be conditions
precedent to each Borrowing hereunder:

          (a) The  Issuer  shall have  timely  delivered  a notice of  Borrowing
     pursuant to subsection 2.1(c) of this Agreement;

          (b) The  representations  and warranties of Bluegreen,  the Issuer and
     the  Depositor set forth or referred to in Section 4.1 and 4.2 hereof shall
     be true and correct in all material  respects on the date of such Borrowing
     as though made on and as of such date (except where such  representation or
     warranty  specifically  relates  to any  earlier  date,  in which case such
     representation  and  warranty  shall  have  been  true and  correct  in all
     material  respects as of such earlier date); no Default or Event of Default
     shall have occurred and be continuing on such date;

          (c)  Both  immediately  prior  to and  after  giving  effect  to  such
     Borrowing and the  application of the proceeds  thereof as provided  herein
     and in the Indenture,  the Outstanding Amount of the Notes shall not exceed
     the Borrowing Base;

          (d) The  conditions  set forth in Section 10.1 of the  Indenture  with
     respect to such Borrowing shall have been satisfied.

          (e) If the Agent waives any of the conditions set forth in Section 3.1
     on the Closing Date,  each such  condition  shall be satisfied on or before
     the first Borrowing.

                   SECTION IV. REPRESENTATIONS AND WARRANTIES

     Section 4.1. Representations and Warranties of Bluegreen.  Bluegreen hereby
represents  and  warrants  to the Agent and the  Purchasers  that as of the date
hereof and the Closing Date and each Borrowing Date:

          (a) It is a corporation  validly  existing and in good standing  under
     the laws of the State of Massachusetts, with full power and authority under
     such laws to own its properties and conduct its business as such properties
     are  currently  owned  and such  business  is  currently  conducted  and to
     execute,  deliver and perform its obligations  under this Agreement and the
     Related Documents to which it is a party.

          (b) It has the power,  authority and right to make,  execute,  deliver
     and perform this Agreement and the Related Documents to which it is a party
     and all the transactions  contemplated hereby and thereby and has taken all
     necessary  action to authorize the execution,  delivery and  performance of
     this  Agreement  and the  Related  Documents  to which it is a party.  When
     executed and delivered, each of this Agreement and the Related Documents to
     which  it  is  a  party  will  constitute  its  legal,  valid  and  binding
     obligations,   enforceable  in  accordance  with  their  respective  terms,
     subject,   as   to   such   enforceability,   to   applicable   bankruptcy,
     reorganization,  insolvency,  moratorium  and  other  laws  relating  to or
     affecting creditors' rights

                                      -18-
<PAGE>

     generally  from  time  to  time  in  effect.   The  enforceability  of  its
     obligations under such agreements may also be limited by general principles
     of equity,  regardless  of whether such  enforceability  is considered in a
     proceeding in equity or at law, and no  representation  or warranty is made
     with  respect  to  the   enforceability   of  its  obligations   under  any
     indemnification   provisions   in  such   agreements  to  the  extent  that
     indemnification is sought in connection with securities laws violations.

          (c) No consent, license, approval or authorization of, or registration
     with, any  Governmental  Authority is required to be obtained in connection
     with the  execution,  delivery or performance of each of this Agreement and
     the  Related  Documents  to  which it is a party  that  has not  been  duly
     obtained  and that is not and will not be in full  force and  effect on the
     Closing  Date,  except such that may be required by  applicable  securities
     laws or UCC-1 Financing Statements as have been prepared for filing.

          (d) The execution,  delivery and performance of each of this Agreement
     and the  Related  Documents  to  which  it is a party  do not  violate  any
     provision of any existing law or regulation  applicable to it, any order or
     decree of any court to which it is subject,  its charter or By-laws, or any
     mortgage,  indenture, contract or other agreement to which it is a party or
     by which it or any  significant  portion of its  properties is bound (other
     than  violations of such laws,  regulations,  orders,  decrees,  mortgages,
     indentures,  contracts and other  agreements  that,  individually or in the
     aggregate,  would not have a  material  adverse  effect on its  ability  to
     perform its  obligations  under this Agreement or the Related  Documents to
     which it is a party).

          (e) There is no litigation  or  administrative  proceeding  before any
     court,  tribunal  or  governmental  body  pending  or,  to  its  knowledge,
     threatened  against  it,  with  respect  to  this  Agreement,  the  Related
     Documents to which it is a party, the transactions  contemplated  hereby or
     thereby or the issuance of the Notes,  and there is no such  litigation  or
     proceeding  against it or any  significant  portion of its properties  that
     would have a material adverse effect on the  transactions  contemplated by,
     or its ability to perform its  obligations  under,  this  Agreement  or the
     Related Documents to which it is a party.

          (f) It has delivered to the Agent  complete and correct  copies of its
     audited  financial  statements  for the years  ended on or about  March 31,
     2001, March 31, 2000 and March 31, 1999.

          (g)  No  report,  statement,  exhibit  or  other  written  information
     required to be furnished by Bluegreen or any of its  Affiliates,  agents or
     representatives to the Agent or any Purchaser pursuant to this Agreement or
     the Related Documents is or shall be inaccurate in any material respect, or
     contains or shall  contain any material  misstatement  of fact, or omits or
     shall  omit to  state a  material  fact or any fact  necessary  to make the
     statements  contained therein not misleading,  in each case, as of the date
     it is or shall be dated or (except as  otherwise  disclosed to the Agent or
     any  Purchaser,  as the  case  may be,  at  such  time)  as of the  date so
     furnished.

          (h) Each of the  Related  Documents  to which it is a party is in full
     force and effect and no default or other event or circumstance has occurred
     thereunder or in connection  therewith that could reasonably be expected to
     result in the termination of any such agreement or

                                      -19-
<PAGE>

     any other  interruption  of the ongoing  performance by the parties to each
     such agreement of their respective obligations thereunder.

          (i)  Bluegreen  repeats and reaffirms to the Agent and the Owners each
     of the representations and warranties of Bluegreen in the Related Documents
     to which it is a party and each  other  document  delivered  in  connection
     therewith  or  herewith,  and  represents  that  such  representations  and
     warranties are true and correct in all material respects (except where such
     representation  or warranty  specifically  relates to any earlier  date, in
     which case such  representation and warranty is repeated and affirmed as of
     such earlier date).

          (j)  Based  upon  the  Investment  Letters  of  the  Purchasers,   the
     representation letter from GSS Holdings, Inc. and compliance with the terms
     of this Agreement and the Related Documents, the sale of the Notes pursuant
     to the terms of this  Agreement  and the  Indenture  will not  require  the
     registration of such Notes under the Securities Act.

          (k) All tax returns  (federal,  state and local)  required to be filed
     with respect to Bluegreen  have been filed (which filings may be made by an
     Affiliate of Bluegreen on a consolidated basis covering Bluegreen and other
     Persons) and there has been paid or adequate provision made for the payment
     of all  taxes,  assessments  and other  governmental  charges in respect of
     Bluegreen  (or in the event  consolidated  returns  have been  filed,  with
     respect to the  Persons  subject to such  returns)  and any taxes for which
     adequate  provision  has not been made would not have a material  effect on
     Bluegreen's ability to perform its obligations hereunder.

          (l)  Based  upon  the  Investment  Letters  of  the  Purchasers,   the
     representation letter from GSS Holdings, Inc. and compliance with the terms
     of this Agreement and the Related Documents,  the Indenture is not required
     to be qualified  under the Trust Indenture Act of 1939, as amended and none
     of  Bluegreen,  the  Depositor  or the Issuer is required to be  registered
     under the Investment Company Act of 1940, as amended.

          (m) There has not been any material  adverse  change in the  business,
     operations,  financial  condition,  properties or assets of Bluegreen since
     the fiscal year ended March 31, 2001.

          (n)  The  chief  executive  office  of  Bluegreen  is at  the  address
     indicated on the signature page hereof.

          (o) Since March 31, 2001 (except as approved by the Agent in writing),
     there have been no material changes in the Credit and Collection Policy.

          (p) As of the date hereof: (i) Bluegreen has only the subsidiaries and
     divisions  listed on Schedule IV to the Sale and Servicing  Agreement;  and
     (ii) Bluegreen has, within the last five (5) years, operated only under the
     tradenames  identified in Schedule IV to the Sale and Servicing  Agreement,
     and, within the last five (5) years, has not changed its name,  merged with
     or into or consolidated  with any other  corporation or been the subject of
     any proceeding under Title 11, United States Code  (Bankruptcy),  except as
     disclosed in such Schedule IV.

                                      -20-
<PAGE>

          (q)  Bluegreen  and each  Affiliate  thereof is in  compliance  in all
     material  respects  with ERISA and no lien in favor of the Pension  Benefit
     Guaranty Corporation on any of the Receivables shall exist.

          (r) The names and addresses of all the Lock-Box  Banks,  together with
     the account numbers of the Lock-Box  Accounts at such Lock-Box  Banks,  are
     specified in Schedule III to the Sale and  Servicing  Agreement (or at such
     other Lock-Box Banks and/or with such other Lock-Box  Accounts as have been
     notified to the  Administrative  Agent). All Obligors will be instructed to
     make  payment  to a  Lock-Box  Account  in  accordance  with  the  Sale and
     Servicing Agreement.

          (s) For  clarity,  it is  understood  that  the  Receivables,  related
     Receivables  Documents  and other  Assets will be conveyed by the Seller to
     the Depositor  and by the Depositor to the Issuer  pursuant to the Sale and
     Servicing Agreement without recourse,  representation on warranty except as
     expressly  provided  therein.  Without limiting the foregoing,  none of the
     Seller,  the  Depositor or any of their  respective  subsidiaries  shall be
     responsible  for  payments on the  Receivables,  and any other credit risks
     associated  therewith  shall be borne by the Issuer and the  holders of any
     obligations of the Issuer.

     Section  4.2.  Representations  and  Warranties  of the Issuer.  The Issuer
hereby  represents and warrants to the Agent and the  Purchasers  that as of the
date hereof and the Closing Date and each Borrowing Date:

          (a) It is a business trust validly existing and in good standing under
     the laws of the State of Delaware, with full power and authority under such
     laws to own its properties and conduct its business as such  properties are
     currently  owned and such  business is currently  conducted and to execute,
     deliver and perform its  obligations  under this  Agreement and the Related
     Documents to which it is a party.

          (b) It has the power,  authority and right to make,  execute,  deliver
     and perform this Agreement and the Related Documents to which it is a party
     and all the transactions  contemplated hereby and thereby and has taken all
     necessary  action to authorize the execution,  delivery and  performance of
     this  Agreement  and the  Related  Documents  to which it is a party.  When
     executed and delivered, each of this Agreement and the Related Documents to
     which  it  is  a  party  will  constitute  its  legal,  valid  and  binding
     obligations,   enforceable  in  accordance  with  their  respective  terms,
     subject,   as   to   such   enforceability,   to   applicable   bankruptcy,
     reorganization,  insolvency,  moratorium  and  other  laws  relating  to or
     affecting  creditors'  rights  generally  from time to time in effect.  The
     enforceability of its obligations under such agreements may also be limited
     by general principles of equity,  regardless of whether such enforceability
     is considered in a proceeding in equity or at law, and no representation or
     warranty  is made with  respect to the  enforceability  of its  obligations
     under any indemnification  provisions in such agreements to the extent that
     indemnification is sought in connection with securities laws violations.

          (c) No consent, license, approval or authorization of, or registration
     with, any  Governmental  Authority is required to be obtained in connection
     with the  execution,  delivery or performance of each of this Agreement and
     the Related Documents to which it is a

                                      -21-
<PAGE>

     party  that has not been duly  obtained  and that is not and will not be in
     full force and effect on the Closing Date, except such that may be required
     by applicable  securities laws or UCC-1  Financing  Statements as have been
     prepared for filing.

          (d) The execution,  delivery and performance of each of this Agreement
     and the  Related  Documents  to  which  it is a party  do not  violate  any
     provision of any existing law or regulation  applicable to it, any order or
     decree of any court to which it is  subject,  the Trust  Agreement,  or any
     mortgage,  indenture, contract or other agreement to which it is a party or
     by which it or any  significant  portion of its  properties is bound (other
     than  violations of such laws,  regulations,  orders,  decrees,  mortgages,
     indentures,  contracts and other  agreements  that,  individually or in the
     aggregate,  would not have a  material  adverse  effect on its  ability  to
     perform its  obligations  under this Agreement or the Related  Documents to
     which it is a party).

          (e) There is no litigation  or  administrative  proceeding  before any
     court,  tribunal  or  governmental  body  pending  or,  to  its  knowledge,
     threatened against it, with respect to this Agreement the Related Documents
     to which it is a party, the transactions  contemplated hereby or thereby or
     the issuance of the Notes,  and there is no such  litigation  or proceeding
     against it or any  significant  portion of its properties that would have a
     material adverse effect on the transactions contemplated by, or its ability
     to perform its obligations  under,  this Agreement or the Related Documents
     to which it is a party.

          (f)  No  report,  statement,  exhibit  or  other  written  information
     required  to be  furnished  by it or  any  of  its  Affiliates,  agents  or
     representatives to the Agent or any Purchaser pursuant to this Agreement or
     the Related Documents is or shall be inaccurate in any material respect, or
     contains or shall  contain any material  misstatement  of fact, or omits or
     shall  omit to  state a  material  fact or any fact  necessary  to make the
     statements  contained therein not misleading,  in each case, as of the date
     it is or shall be dated or (except as  otherwise  disclosed to the Agent or
     any  Purchaser,  as the  case  may be,  at  such  time)  as of the  date so
     furnished.

          (g) The  Notes  have  been  duly and  validly  authorized,  and,  when
     executed and  authenticated  in accordance  with the terms of the Indenture
     and delivered to and paid for in accordance  with this  Agreement,  will be
     duly and  validly  issued  and  outstanding,  and will be  entitled  to the
     benefits of the Indenture, this Agreement and the other Related Documents.

          (h) Each of the  Related  Documents  to which it is a party is in full
     force and effect and no default or other event or circumstance has occurred
     thereunder or in connection  therewith that could reasonably be expected to
     result in the  termination of any such agreement or any other  interruption
     of the ongoing  performance  by the parties to each such agreement of their
     respective obligations thereunder.

          (i) The Issuer  repeats and reaffirms to the Agent and the Owners each
     of the  representations  and  warranties  of  the  Issuer  in  the  Related
     Documents  to which it is a party  and each  other  document  delivered  in
     connection therewith or herewith,  and represents that such representations
     and warranties are true and correct in all material  respects (except where
     such representation or warranty  specifically  relates to any earlier date,
     in which case such  representation and warranty is repeated and affirmed as
     of such earlier date).

                                      -22-
<PAGE>

          (j) Any  taxes,  fees and other  charges of  Governmental  Authorities
     applicable to it, except for franchise or income taxes,  in connection with
     the  execution,  delivery and  performance  by it of this Agreement and the
     Related  Documents to which it is a party or otherwise  applicable to it in
     connection with the transactions  contemplated  hereby or thereby have been
     paid or will be paid at or prior to the  Closing  Date to the  extent  then
     due.

          (k) Any  taxes,  fees and other  charges of  Governmental  Authorities
     applicable to it, except for franchise or income taxes,  in connection with
     the  execution,  delivery and  performance  by it of this Agreement and the
     other Related  Documents to which it is a party or otherwise  applicable to
     it in connection with the transactions  contemplated hereby or thereby have
     been  paid or will be paid at or prior to the  Closing  Date to the  extent
     then due.

     Section 4.3. Representations and Warranties of the Depositor. The Depositor
hereby represents and warrants, that as of the date hereof and the Closing Date:

          (a) It is a corporation  validly  existing and in good standing  under
     the laws of the State of Delaware, with full power and authority under such
     laws to own its properties and conduct its business as such  properties are
     currently  owned and such  business is currently  conducted and to execute,
     deliver and perform its  obligations  under this  Agreement and the Related
     Agreements to which it is a party.

          (b) It has the power,  authority and right to make,  execute,  deliver
     and perform  this  Agreement  and the Related  Agreements  to which it is a
     party and all the  transactions  contemplated  hereby and  thereby  and has
     taken all  necessary  action  to  authorize  the  execution,  delivery  and
     performance of this  Agreement and the Related  Agreements to which it is a
     party. When executed and delivered,  each of this Agreement and the Related
     Agreements  to which it is a party will  constitute  its  legal,  valid and
     binding obligations, enforceable in accordance with their respective terms,
     subject,   as   to   such   enforceability,   to   applicable   bankruptcy,
     reorganization,  insolvency,  moratorium  and  other  laws  relating  to or
     affecting  creditors'  rights  generally  from time to time in effect.  The
     enforceability of its obligations under such agreements may also be limited
     by general principles of equity,  regardless of whether such enforceability
     is considered in a proceeding in equity or at law, and no representation or
     warranty  is made with  respect to the  enforceability  of its  obligations
     under any indemnification  provisions in such agreements to the extent that
     indemnification is sought in connection with securities laws violations.

          (c) No consent, license, approval or authorization of, or registration
     with, any  Governmental  Authority is required to be obtained in connection
     with the  execution,  delivery or performance of each of this Agreement and
     the  Related  Documents  to  which it is a party  that  has not  been  duly
     obtained  and that is not and will not be in full  force and  effect on the
     Closing  Date,  except such that may be required by  applicable  securities
     laws or UCC-1 Financing Statements as have been prepared for filing.

          (d) The execution,  delivery and performance of each of this Agreement
     and the  Related  Agreements  to  which it is a party  do not  violate  any
     provision of any existing law or regulation  applicable to it, any order or
     decree of any court to which it is subject,  its charter or By-laws, or any
     mortgage, indenture, contract or other agreement to which it is a

                                      -23-
<PAGE>

     party or by which it or any significant  portion of its properties is bound
     (other  than  violations  of  such  laws,  regulations,   orders,  decrees,
     mortgages, indentures, contracts and other agreements that, individually or
     in the aggregate,  would not have a material  adverse effect on its ability
     to perform its obligations  under this Agreement or the Related  Agreements
     to which it is a party).

          (e) There is no litigation  or  administrative  proceeding  before any
     court,  tribunal  or  governmental  body  pending  or,  to  its  knowledge,
     threatened  against  it,  with  respect  to  this  Agreement,  the  Related
     Agreements to which it is a party, the transactions  contemplated hereby or
     thereby or the issuance of the Notes,  and there is no such  litigation  or
     proceeding  against it or any  significant  portion of its properties  that
     would have a material adverse effect on the  transactions  contemplated by,
     or its ability to perform its  obligations  under,  this  Agreement  or the
     Related Agreements to which it is a party.

          (f)  No  report,  statement,  exhibit  or  other  written  information
     required  to be  furnished  by it or  any  of  its  Affiliates,  agents  or
     representatives  to the gent or any Purchaser pursuant to this Agreement or
     the Related  Agreements is or shall be inaccurate in any material  respect,
     or contains or shall contain any material misstatement of fact, or omits or
     shall  omit to  state a  material  fact or any fact  necessary  to make the
     statements  contained therein not misleading,  in each case, as of the date
     it is or shall be dated or (except as  otherwise  disclosed  to the gent or
     any  Purchaser,  as the  case  may be,  at  such  time)  as of the  date so
     furnished.

          (g) The  Notes  have  been  duly and  validly  authorized,  and,  when
     executed and  authenticated  in accordance  with the terms of the Indenture
     and delivered to and paid for in accordance  with this  Agreement,  will be
     duly and  validly  issued  and  outstanding,  and will be  entitled  to the
     benefits of the Indenture, this Agreement and the other Related Agreements.

          (h) Each of the Related  Agreements  to which it is a party is in full
     force and effect and no default or other event or circumstance has occurred
     thereunder or in connection  therewith that could reasonably be expected to
     result in the  termination of any such agreement or any other  interruption
     of the ongoing  performance  by the parties to each such agreement of their
     respective obligations thereunder.

          (i) The  Depositor  repeats and  reaffirms to the Agent and the Owners
     each of the  representations and warranties of the Depositor in the Related
     Documents  to which it is a party  and each  other  document  delivered  in
     connection therewith or herewith,  and represents that such representations
     and warranties are true and correct in all material  respects (except where
     such representation or warranty  specifically  relates to any earlier date,
     in which case such representation and warranty are repeated and affirmed as
     of such earlier date).

          (j) Any  taxes,  fees and other  charges of  Governmental  Authorities
     applicable to it, except for franchise or income taxes,  in connection with
     the  execution,  delivery and  performance  by it of this Agreement and the
     Related Agreements to which it is a party or otherwise  applicable to it in
     connection with the transactions  contemplated  hereby or thereby have been
     paid or will be paid at or prior to the  Closing  Date to the  extent  then
     due.

                                      -24-
<PAGE>

          (k) The chief  executive  office of the  Depositor  is at the  address
     indicated in Section 9 hereof.

                              SECTION V. COVENANTS

     Section 5.1. Covenants. Each of the Seller, the Servicer, the Depositor and
the  Issuer,  each as to itself,  covenants  and  agrees  with the Agent and the
Purchasers,  through the Facility Termination Date and thereafter so long as any
amount of the Notes shall remain outstanding or any monetary  obligation arising
hereunder  shall  remain  unpaid,  unless the  Required  Owners and the Required
Purchasers shall otherwise consent in writing, that:

          (a) it shall perform in all material  respects each of the  respective
     agreements  and  indemnities  applicable  to it and comply in all  material
     respects with each of the respective terms and provisions  applicable to it
     under the other Related  Documents to which it is party,  which  agreements
     and indemnities are hereby incorporated by reference into this Agreement as
     if set forth herein in full; it shall take all reasonable action to enforce
     the  obligations  of each of the other  parties to such  Related  Documents
     which are contained therein;

          (b) the Issuer and the Servicer  shall  furnish to the Agent a copy of
     each opinion, certificate, report, statement, notice or other communication
     (other  than  investment  instructions)  relating  to the  Notes  which  is
     furnished  by or on behalf of it to the other or to the  Indenture  Trustee
     and  furnish to the Agent after  receipt  thereof,  a copy of each  notice,
     demand or other communication  relating to the Notes, this Agreement or the
     Indenture  received  by the  Issuer  or the  Servicer  from  the  Indenture
     Trustee,  the  Depositor  or the Seller;  and (ii) such other  information,
     documents  records or reports  respecting the Collateral,  the Seller,  the
     Depositor,  the Issuer or the  Servicer  as the Agent may from time to time
     reasonably request;

          (c) the Issuer  shall  furnish to the Agent on or before the date such
     reports  are due under the  Indenture  copies  of each of the  reports  and
     certificates required by Sections 3.9 and 3.14 of the Indenture;

          (d) the Issuer shall promptly  furnish to the Agent a copy,  addressed
     to the Agent, of each opinion of counsel delivered to the Indenture Trustee
     pursuant to Section 3.6 of the Indenture;

          (e)  Bluegreen  shall  not  incur an Event of  Default  under  Section
     6.1(a)(x) of the Sale and Servicing Agreement;

          (f) Bluegreen shall continue to engage in business of the same general
     type as now conducted  with respect to the  Receivables by it and preserve,
     renew  and  keep in full  force  and  effect  its  existence  and  take all
     reasonable  action  to  maintain  all  rights,  privileges  and  franchises
     necessary or desirable in the normal  conduct of its  business;  and comply
     with all  Requirements  of Law except  where the failure to be so qualified
     could  reasonably  be  expected  to  have  a  material  adverse  affect  on
     Bluegreen;

          (g) the Issuer,  the  Depositor,  the Seller and the Servicer shall at
     the expense of the Seller and at any time from time to time during  regular
     business hours, on

                                      -25-
<PAGE>

     reasonable notice to the Issuer, the Depositor, the Seller or the Servicer,
     as the case may be, permit the Agent, or its agents or representatives to:

               (i) examine all books,  records and documents (including computer
          tapes and disks) in its possession or under its control; and

               (ii) visit its offices and  property for the purpose of examining
          such materials described in clause (i) above.

          (h) the Issuer and the Servicer  shall furnish to the Agent,  promptly
     after the  occurrence of any Default or Event of Default,  a certificate of
     an appropriate  officer of the Issuer or the Servicer,  as the case may be,
     setting forth the circumstances of such Default or Event of Default and any
     action  taken or  proposed to be taken by the Issuer or the  Servicer  with
     respect thereto;

          (i) it shall timely make all payments,  deposits or transfers and give
     all instructions to transfer required by this Agreement and the Indenture;

          (j) the Seller,  the Depositor,  Issuer and the Servicer shall execute
     and deliver to the Agent or the  Indenture  Trustee all such  documents and
     instruments  and do all such other acts and things as may be  necessary  or
     reasonably  required by the Agent or the Indenture Trustee to enable any of
     them to exercise  and enforce  their  respective  rights  under the Related
     Documents  and to realize  thereon,  and record and file and  rerecord  and
     refile all such documents and  instruments,  at such time or times, in such
     manner and at such place or places,  all as may be necessary or required by
     the  Indenture  Trustee or the Agent to  validate,  preserve,  perfect  and
     protect the position of the Indenture Trustee under the Indenture  provided
     no such action  shall be  inconsistent  with the  Indenture  or contrary to
     Instructions of the Indenture Trustee;

          (k) neither the  Depositor  nor the Issuer  will  consolidate  with or
     merge into any other Person or convey or transfer its properties and assets
     substantially  as an entirety to any Person,  except (i) in accordance with
     Section 7.9 of the Indenture and (ii) with the prior written consent of the
     Required Owners and the Required Purchasers;

          (l) Bluegreen will not resign as Servicer,  unless (A) the performance
     of  its  duties  under  the  Sale  and  Servicing  Agreement  is no  longer
     permissible  pursuant  to  Requirements  of Law and there is no  reasonable
     action  which  it  could  take  to make  the  performance  of  such  duties
     permissible  under such Requirements of Law, or (B) the Required Owners and
     the Required Purchasers shall have consented thereto;

          (m) Bluegreen shall furnish to each Purchaser and the Agent:

               (i) (A) for so long as Bluegreen is a reporting company under the
          `34 Act,  each report on Form 8-K,  Form 10-K or Form 10-Q required to
          be filed with the Securities and Exchange  Commission by Bluegreen and
          (B) if Bluegreen is no longer a reporting  company  under the `34 Act,
          (1) as soon as available and in any event within 45 days after the end
          of each fiscal quarter of, its balance sheets and its  subsidiaries as
          of the end of such  quarter  and  statements  of income  and  retained
          earnings of Bluegreen and its subsidiaries  for the period  commencing
          at the end of the previous fiscal year and ending with the end of such
          quarter,

                                      -26-
<PAGE>

          certified by the chief financial  officer of Bluegreen and (2) as soon
          as  available  and in any event  within 90 days  after the end of each
          fiscal year of  Bluegreen,  a copy of the annual  report for such year
          for Bluegreen and its subsidiaries,  containing  financial  statements
          for  such  year  accompanied  by  an  audit  report  of  a  nationally
          recognized firm of independent  certified public  accountants (or such
          other firm of independent  certified public accountants  acceptable to
          the Agent) which report shall be  unqualified  as to going concern and
          scope of audit  and  shall  state  that  such  consolidated  financial
          statements  present  fairly the financial  position of and each of its
          Subsidiaries   at  the  dates  indicated  and  the  results  of  their
          operations  and  their  cash  flow  for the  periods  indicated  is in
          conformity with generally accepted accounting  principles and that the
          examination  had  been  made in  accordance  with  generally  accepted
          auditing standards;

               (ii) A copy of each certificate, opinion, report, notice or other
          communication (other than investment  instructions) furnished by or on
          behalf of Bluegreen or the Issuer to the  Indenture  Trustee under the
          Related Documents,  concurrently therewith, and promptly after receipt
          thereof, a copy of each notice, demand or other communication received
          by or on behalf of  Bluegreen,  the  Depositor or the Issuer under the
          Related Documents; and

               (iii) Such other information  (including financial  information),
          documents,  records or reports respecting the Notes, the Trust Estate,
          Bluegreen,  the  Depositor or the Issuer as the Agent may from time to
          time reasonably request.

          (n) Bluegreen  shall not make, or permit any Person within its control
     to make, any material amendment,  modification or change to, or provide any
     material waiver under, the Indenture or the other Related Documents without
     the prior written consent of the Agent.

          (o) Bluegreen will comply in all material respects with the Credit and
     Collection Policy in regard to each Receivable.  Bluegreen shall (i) notify
     the Agent ten (10) days prior to any  amendment  of or change in the Credit
     and Collection  Policy and (ii) obtain the Agent's written consent prior to
     any such  amendment  or  change  (which  consent  will not be  unreasonably
     withheld or delayed); provided that Bluegreen may immediately implement any
     changes  (and  provide  notice to the Agent  subsequent  thereto) as may be
     required  under  applicable  law  from  time to time  upon  the  reasonable
     determination of Bluegreen.  The  underwriting,  credit scoring,  approval,
     servicing and  collection  policies and  procedures  applied to Receivables
     originated by  independent  third  parties shall be in accordance  with the
     Credit and  Collection  Policy and in no event  shall such  Receivables  be
     underwritten,   credit  scored,  approved,   serviced  and  collected  more
     leniently or less stringently than those procedures  applied to Receivables
     originated by Bluegreen or an Affiliate.

          (p) The Seller shall cause to be delivered to the Agent, within thirty
     (30) days  following  the end of each  fiscal  quarter of the  Seller,  the
     written report of a review conducted pursuant to Section 7 of the Custodial
     Agreement  as of the  last day of such  fiscal  quarter  by an  independent
     auditor  acceptable to the Agent of a random  sampling of Receivables  that
     are held by the Custodian,  together with all related Receivables Documents
     held by the  Custodian;  provided,  however,  that the  Agent,  in its sole
     discretion,  can request that such written  report be conducted  other than
     quarterly  and that the  Seller  shall  cause  such  written  report  to be

                                      -27-
<PAGE>

     delivered  to the Agent no later  than the later of (i)  thirty  days after
     such  request  by the  Agent or (ii)  the  fifth  Business  Day  after  the
     completion of the related audit procedures.

          (q) Bluegreen  shall instruct all Obligors to cause all Collections to
     be deposited directly to a Lock-Box Account. Bluegreen shall hold in trust,
     and deposit,  immediately, but in any event not later than two (2) Business
     Days of its receipt thereof, to a Lock-Box Account all Collections received
     from time to time by it.

          (r)  Bluegreen  shall  deliver  all the  Receivables  and the  Related
     Security to the Custodian pursuant to the terms of the Custodial Agreement.

          (s) Bluegreen  shall notify the Agent within five (5) Business Days of
     obtaining  knowledge  thereof,  of any fraudulent  activity or theft in the
     origination  or  servicing of  Receivables  that results or may result in a
     loss of at least $250,000.

          (t)  Except as  otherwise  provided  herein,  neither  Bluegreen,  the
     Depositor  nor  the  Issuer  will  sell,  assign  (by  operation  of law or
     otherwise)  or  otherwise  dispose  of,  or  create  or suffer to exist any
     Adverse  Claim  upon (or the  filing of any  financing  statement)  or with
     respect to, any  Receivable,  or upon or with respect to any account  which
     concentrates  in a Lock-Box Bank to which any Collections of any Receivable
     are sent, or assign any right to receive income in respect thereof.

          (u) Except as otherwise  permitted in the Sale and Servicing Agreement
     or with the prior written consent of the Agent,  Bluegreen will not extend,
     amend or otherwise modify the terms of any Receivable,  or amend, modify or
     waive any term or condition of any contract related thereto.

          (v) Neither  Bluegreen nor the Servicer will add or terminate any bank
     as a Lock-Box  Bank or any  account as a Lock-Box  Account to or from those
     listed in  Schedule  III to the Sale and  Servicing  Agreement  or make any
     change in its instructions to Obligors regarding payments to be made to any
     Lock-Box Account, unless (i) such instructions are to deposit such payments
     to another existing  Lock-Box Account or (ii) the Agent shall have received
     written  notice of such  addition,  termination  or change at least 30 days
     prior thereto.

          (w) None of the Seller,  the  Depositor  or the Issuer will change its
     name, identity or structure or its chief executive office,  unless at least
     30 days prior to the effective date of any such change such person delivers
     to the Indenture Trustee and the Agent UCC financing  statements,  executed
     by such  Person  necessary  to  reflect  such  change and to  continue  the
     perfection of the Indenture Trustee's interest in the Receivables.

          (x)  The  Depositor  covenants  and  agrees  with  the  Agent  and the
     Purchasers that, unless the Agent shall otherwise consent in writing:

               (i) It shall conduct its business  solely in its own name through
          its duly authorized  officers or agents so as not to mislead others as
          to the identity of the entity with which such  persons are  concerned,
          and shall  avoid the  appearance  that it is  conducting  business  on
          behalf of any  Affiliate  thereof or that its assets are  available to
          pay the creditors of Bluegreen or any Affiliate thereof (other than as
          expressly provided herein).

                                      -28-
<PAGE>

               (ii) It shall  maintain  corporate  records  and books of account
          separate from those of Bluegreen and any Affiliate (other than, in the
          case of the Depositor, itself) thereof.

               (iii)  It  shall  obtain  proper  authorization  for  all  action
          requiring such authorization.

               (iv) It shall pay its own operating expenses and liabilities from
          its own funds.

               (v) In the case of the Depositor, the annual financial statements
          of  Bluegreen   shall   disclose  the  effects  of  the   transactions
          contemplated  hereby in accordance with generally accepted  accounting
          principles.

               (vi) Its resolutions, agreements and other instruments underlying
          the  transactions  described in this Agreement  shall be  continuously
          maintained by it as part of its official records.

               (vii)  It  shall  maintain  an  arm's-length   relationship  with
          Bluegreen  and  its  Affiliates  (other  than,  in  the  case  of  the
          Depositor,  itself), and shall not hold itself out as being liable for
          the debts of Bluegreen or any of its  Affiliates  (other than,  in the
          case of the Depositor, itself).

               (viii) It shall  keep its assets and  liabilities  separate  from
          those of all other entities other than as permitted herein.

               (ix) It shall not  maintain  bank  accounts  or other  depository
          accounts to which any  Affiliate is an account party or from which any
          Affiliate has the power to make withdrawals.

               (x) It shall  not  amend,  supplement  or  otherwise  modify  its
          organizational documents,  except in accordance therewith and with the
          prior written consent of the Agent.

               (xi) It shall not  create,  incur,  assume or suffer to exist any
          indebtedness on which it is obligated,  except as contemplated by this
          Agreement  and the  other  Related  Documents.  It shall  not  assume,
          guarantee,  endorse or otherwise be or become directly or contingently
          liable  for the  obligations  of any Person by,  among  other  things,
          agreeing to purchase any  obligation of another Person (other than the
          Receivables),  agreeing to advance  funds to such Person or causing or
          assisting such Person to maintain any amount of capital.  It shall not
          be party to any indenture, agreement, mortgage, deed of trust or other
          instrument other than this Agreement and the other Related Documents.

               (xii) It shall not enter into,  or be a party to any  transaction
          with any of its  Affiliates,  except as contemplated by this Agreement
          and the other Related Documents.

                                      -29-
<PAGE>

               (xiii)  It  shall   observe  all   procedures   required  by  its
          organizational  documents  and preserve  and  maintain its  existence,
          rights, franchises and privileges in the jurisdiction of its formation
          and qualify and remain qualified in good standing in each jurisdiction
          where the failure to preserve and  maintain  such  existence,  rights,
          franchises,  privileges and qualifications  would materially adversely
          affect the interests  hereunder of the  Purchasers or the Agent or its
          ability to perform its obligations hereunder.

               (xiv) It shall not form, or cause to be formed, any subsidiaries;
          or make or suffer to exist any  loans or  advances  to, or extend  any
          credit to, or make any  investments  (by way of transfer of  property,
          contributions to capital, purchase of stock or securities or evidences
          of  indebtedness  (other  than the  Receivables),  acquisition  of the
          business  or assets,  or  otherwise)  in, any  Affiliate  or any other
          Person except as otherwise permitted herein.

              SECTION VI. INCREASED COSTS, INCREASED CAPITAL, ETC.

     Section 6.1. Increased Costs. Subject to the provisions of Section 6.4, if,
due to the  introduction  of or  any  change  (including  any  change  by way of
imposition or increase of reserve  requirements) in or in the  Interpretation of
any law or  regulation  or the  imposition  of any guideline or request from any
central bank or other Governmental  Authority after the date hereof, there shall
be an  increase  in  the  cost  to an  Affected  Party  of  making,  funding  or
maintaining  any investment in the Notes or any interest  therein or of agreeing
to purchase or invest in the Notes or any interest  therein,  as the case may be
(other than by reason of any  Interpretation of or change in laws or regulations
relating to Taxes or Excluded Taxes),  the Issuer shall,  upon written demand by
such  Affected  Party (or, if such  Affected  Party is not a  Purchaser,  by the
Purchaser  from whom such Affected Party derives its rights) (with a copy to the
Agent),  direct  the  Indenture  Trustee  in writing to pay to the Agent for the
benefit of such Affected Party (as a third party beneficiary,  in the case of an
Affected  Party that is not also a  Purchaser  hereunder)  that  portion of such
increased  costs  incurred which such Affected  Party  reasonably  determines is
attributable  to making,  funding or maintaining  any investment in the Notes or
any  interest  therein or  agreeing  to  purchase  or invest in the Notes or any
interest therein,  as the case may be. In determining such amount, such Affected
Party may use any reasonable averaging and attribution methods,  consistent with
the averaging and attribution  methods  generally used by such Affected Party in
determining  amounts of this type.  A  certificate  as to such  increased  costs
incurred  submitted to the Issuer and the Agent,  setting forth the  calculation
thereof in reasonable detail,  shall be prima facie evidence as to the amount of
such increased  costs.  Any Affected  Party that incurs such increased  costs as
described  in this Section 6.1 (or, if such  Affected  Party is not a Purchaser,
the Purchaser  from whom such  Affected  Party derives its rights) shall use its
best  efforts  (consistent  with its  internal  policy and legal and  regulatory
restrictions) to take such steps as would eliminate or reduce the amount of such
increased  costs;  provided that no such steps shall be required to be taken if,
in the  reasonable  judgment  of  such  Affected  Party,  such  steps  would  be
materially disadvantageous to such Affected Party.

     Section 6.2. Increased  Capital.  Subject to the provisions of Section 6.4,
if the introduction of or any change in or in the  Interpretation  of any law or
regulation  or the  imposition of any guideline or request from any central bank
or other Governmental  Authority after the date hereof,  affects or would affect
the amount of capital required or expected to be

                                      -30-
<PAGE>

maintained by any Affected Party after the date hereof,  and such Affected Party
determines  that the amount of such  capital is increased as a result of (i) the
existence of such Affected  Party's  agreement to make or maintain an investment
in the Notes or any interest  therein or (ii) the  existence of any agreement by
such  Affected  Party to make or  maintain  an  investment  in the  Notes or any
interest  therein or to fund any such  investment  after the date hereof,  then,
upon written  demand by such Affected Party (or, if such Affected Party is not a
Purchaser,  by the Purchaser  from whom such Affected  Party derives its rights)
(with a copy to the Agent),  the Issuer  shall direct the  Indenture  Trustee in
writing to pay to the Agent for the benefit of such  Affected  Party (as a third
party beneficiary, in the case of an Affected Party that is not also a Purchaser
hereunder),  additional amounts, as specified by such Affected Party, sufficient
to compensate such Affected Party in light of such circumstances,  to the extent
that such Affected Party  reasonably  determines  such increase in capital to be
allocated  to the  existence of such  Affected  Party's  agreement  described in
clause (i) above or the  commitments of such Affected Party  described in clause
(ii)  above.  In  determining  such  amounts,  such  Affected  Party may use any
reasonable averaging and attribution methods,  consistent with the averaging and
distribution  methods  generally  used by such  Affected  Party  in  determining
amounts of this type. A certificate  as to such amounts  submitted to the Issuer
and the  Agent by such  Affected  Party  (or,  if such  Affected  Party is not a
Purchaser,  by the Purchaser  from whom such Affected Party derives its rights),
setting forth the calculation thereof in reasonable detail, shall be prima facie
evidence  of the  amounts  so owed.  Any  Affected  Party  that is  entitled  to
compensation for increases in capital as described in this Section 6.2 shall use
its best efforts  (consistent  with its internal policy and legal and regulatory
restrictions) to take such steps as would eliminate or reduce the amount of such
compensation;  provided  that no such steps shall be required to be taken if, in
the reasonable  judgment of such Affected Party,  such steps would be materially
disadvantageous to such Affected Party.

     Section 6.3.  Taxes.  (a) Any and all payments and deposits  required to be
made hereunder or under the Indenture or the Sale and Servicing  Agreement to or
for the benefit of a Purchaser shall be made, to the extent allowed by law, free
and clear of and  without  deduction  for any and all  present or future  taxes,
levies, imposts, deductions,  charges or withholdings,  and all liabilities with
respect  thereto,  excluding  taxes,  levies,  imposts,  deductions,  charges or
withholdings  imposed on, or measured  by  reference  to, the net income of such
Purchaser,  franchise  taxes  imposed on such  Purchaser,  and taxes (other than
withholding taxes), levies, imposts, deductions, charges or withholdings imposed
on the  receipt or gross  receipts  of such  Purchaser  by any of (i) the United
States or any State thereof,  (ii) the state or foreign  jurisdiction  under the
laws of which such Purchaser is organized, with which it has a present or former
connection  (other than solely by reason of this  Agreement),  or in which it is
otherwise  doing business or (iii) any political  subdivision  thereof (all such
excluded items being referred to as "Excluded Taxes" and all such taxes, levies,
imposts, deductions,  charges,  withholdings and liabilities other than Excluded
Taxes being referred to as "Taxes").  If the Indenture  Trustee,  as directed by
the Agent,  shall be  required  by law to deduct any Taxes from or in respect of
any sum  required  to be paid or  deposited  hereunder  or under any  instrument
delivered  hereunder to or for the benefit of a Purchaser (A) subject to Section
6.4 below,  such sum shall be increased as may be necessary so that after making
all required  deductions  (including  deductions  applicable to additional  sums
required to be paid or deposited  under this Section 6.3) the amount received by
such Purchaser, or otherwise deposited hereunder or under such instrument, shall
be equal to the sum which would have been so received or  deposited  had no such
deductions been made,

                                      -31-
<PAGE>

(B) the Indenture Trustee,  as directed by the Agent, shall make such deductions
and (C) the  Indenture  Trustee,  as directed  by the Agent,  shall pay the full
amount of such deductions to the relevant taxation  authority or other authority
in accordance with applicable laws.

          (b)  Subject to the  limitations  set forth in  subsection  6.3(d) and
     Section  6.4  below,  the Issuer  shall  direct  the  Indenture  Trustee to
     indemnify  each  Owner for the full  amount of Taxes  (including  any Taxes
     imposed by any jurisdiction on amounts payable under this Section 6.3) paid
     by  such  Owner  due to the  modification  of or  any  change  in or in the
     interpretation  or  administration by any governmental or regulatory agency
     or body charged with the  interpretation  or  administration  of any law or
     regulation  relating to Taxes after the date hereof  (including  penalties,
     interest  and  expenses)  arising  therefrom  or  required  to be paid with
     respect  thereto.  Each Owner (or,  if such Owner is not a  Purchaser,  the
     Purchaser  from whom such Owner  derives  its  rights)  agrees to  promptly
     notify  the Agent and the  Issuer of any  payment  of such Taxes made by it
     and, if  practicable,  any  request,  demand or notice  received in respect
     thereof prior to such  payment.  Each Owner shall be entitled to payment of
     this  indemnification  within 30 days from the date such Owner (or, if such
     Owner is not a Purchaser,  the  Purchaser  from whom such Owner derives its
     rights)  makes  written  demand  therefor  to the Agent and the  Issuer.  A
     certificate  as to the  amount  of such  indemnification  submitted  to the
     Issuer and the Agent by such Owner setting  forth in reasonable  detail the
     basis for and the calculation thereof, shall be prima facie evidence of the
     amounts so owed.

          (c) Within 30 days after the date of any payment of Taxes,  the Issuer
     will  furnish to the Agent the  original or a  certified  copy of a receipt
     evidencing payment thereof.

          (d) Each  Owner  that is  organized  under the laws of a  jurisdiction
     other than the United States or a state thereof  hereby agrees to complete,
     execute and deliver to the Indenture Trustee from time to time prior to the
     date on which such Owner will be entitled to receive distributions pursuant
     to the  Indenture,  the Sale and  Servicing  Agreement  or this  Agreement,
     Internal  Revenue  Service  W-8ECI or W-8BEN (or any  successor  form),  as
     applicable,  or such other forms or  certificates  as may be required under
     the laws of any  applicable  jurisdiction  in order to permit the Indenture
     Trustee to make  payments  to, and deposit  funds to or for the account of,
     such  Owner  hereunder  and under  the  Indenture,  the Sale and  Servicing
     Agreement and this Agreement without any deduction or withholding for or on
     account of any tax. Each Owner agrees to provide,  to the extent  permitted
     by law, like  additional  subsequent  duly executed  forms on or before the
     date that any such form expires or becomes obsolete, or upon the occurrence
     of any event  requiring an  amendment,  resubmission  or change in the most
     recent form  previously  delivered by it and to provide such  extensions or
     renewals as may be reasonably  requested by the Issuer.  Each Owner further
     agrees that compliance with this subsection  6.3(d) (including by reason of
     Section 8.1 in the case of any  assignment,  sale or other  transfer of any
     interest  in the  Notes)  is a  condition  to  the  payment  of any  amount
     otherwise due pursuant to subsections 6.3(a) and (b) hereof.

          (e) Each Purchaser, as of the date hereof, and each other Owner, as of
     the date such Person  becomes an Owner  entitled  to receive  distributions
     pursuant  to this  Agreement,  the  Sale  and  Servicing  Agreement  or the
     Indenture,  hereby  represents  and  warrants  to the Issuer that it is not
     subject to gross-up or  indemnity of Taxes under  subsection  6.3(a) or (b)
     from or in any respect of any sum  required to be paid or  deposited  under
     this Agreement, the

                                      -32-
<PAGE>

     Indenture,  the Sale  and  Servicing  Agreement  or  under  any  instrument
     delivered pursuant to any of them to or for the benefit of any Owner.

          (f)  Any  Owner  entitled  to the  payment  of any  additional  amount
     pursuant to this  Section 6.3 (or,  if such Owner is not a  Purchaser,  the
     Purchaser  from whom such  Owner  derives  its  rights)  shall use its best
     efforts  (consistent  with its  internal  policy  and legal and  regulatory
     restrictions) to take such steps as would eliminate or reduce the amount of
     such payment; provided that no such steps shall be required to be taken if,
     in the  reasonable  judgment of such Owner,  such steps would be materially
     disadvantageous to such Owner.

     Section 6.4. Nonrecourse Obligations; Limited Recourse. (a) Notwithstanding
any provision in any other Section of this Agreement or the Related Documents to
the contrary,  the  obligation  of the Issuer to pay any amounts  payable to the
Purchasers or any Owner pursuant to this Agreement shall be without  recourse to
the  Issuer (or its  assignee,  if  applicable),  the  Indenture  Trustee or any
Affiliate,  officer or  director  of any of them and the  obligation  to pay any
amounts  hereunder  shall be  limited  solely  to the  application  of the Trust
Estate, to the extent that such amounts are available for distribution.

          (b) Other  than in  respect  of the  payment  of the  Purchase  Price,
     notwithstanding any provision in any other Section of this Agreement to the
     contrary,  all  payments to be made by a  Structured  Purchaser  under this
     Agreement shall be made by such Structured  Purchaser solely from available
     cash,  which shall be limited to collections  and other amounts  payable to
     such Structured  Purchaser pursuant to this Agreement and the Indenture and
     other  cash  of such  Structured  Purchaser  that,  in  each  case,  is not
     designated to pay any other  amount.  The parties to this  Agreement  other
     than each Structured  Purchaser (the "Other  Parties")  hereby  acknowledge
     that, pursuant to the terms of this Agreement, each Structured Purchaser is
     or may be  required  from time to time to make  certain  payments to one or
     more of the Other Parties,  either as compensation  for services  rendered,
     reimbursement for out-of-pocket expenses, indemnification or otherwise. The
     Other Parties hereby agree that, notwithstanding any provision in any other
     Section of this  Agreement to the  contrary,  (i) no  Structured  Purchaser
     shall  make  any  such  payment  to any  Other  Party,  (ii) no  Structured
     Purchaser  shall have any duty,  liability or  obligation  to make any such
     payment to any Other  Party,  (iii) no such  payment  shall be due from any
     Structured  Purchaser  and  (iv) no Other  Party  shall  have any  right to
     enforce any claim against any  Structured  Purchaser in respect of any such
     payment, in each case at any time that any commercial paper notes issued by
     such  Structured  Purchaser are  outstanding  and no  Bankruptcy  Event (as
     defined below) has occurred and is continuing,  in each case, unless and to
     the extent that (x) the making of such payment by such Structured Purchaser
     would  not  render  such  Structured   Purchaser  insolvent  and  (y)  such
     Structured  Purchaser has received  funds with respect to such  obligations
     which may be used to make such  payment and such funds are not  required to
     pay  commercial  paper  notes of such  Purchaser  when due. As used in this
     subsection 6.4(b),  "Bankruptcy Event" means the entry against a Structured
     Purchaser  of a  decree  or  order  by a court  or  agency  or  supervisory
     authority  having  jurisdiction  in the premises for the  appointment  of a
     trustee,   conservator,   receiver  or   liquidator   in  any   insolvency,
     readjustment  of debt,  marshaling  of assets  and  liabilities  or similar
     proceedings,  or for the winding up or liquidation  of its affairs,  or the
     institution of any proceeding against such Structured Purchaser seeking any
     of the foregoing,  and the  continuance of any such decree or order, or any
     such  proceeding,  in each case  unstayed  and in effect for a period of 60
     consecutive

                                      -33-
<PAGE>

     days, or the consent by such  Structured  Purchaser to the appointment of a
     trustee,   conservator,   receiver  or   liquidator   in  any   insolvency,
     readjustment  of debt,  marshaling  of assets  and  liabilities  or similar
     proceedings  of or relating to such  Structured  Purchaser or the filing by
     such Structured Purchaser of a petition seeking to adjudicate it a bankrupt
     or insolvent or seeking liquidation,  winding up,  reorganization or relief
     of debtors or seeking the entry of any order for relief or the  appointment
     of a  trustee,  conservator,  receiver  or  liquidator  in any  insolvency,
     readjustment  of debt,  marshaling  of assets  and  liabilities  or similar
     proceedings, or for the winding up or liquidation of its affairs.

                             SECTION VII. THE AGENT

     Section 7.1. Appointment.  Each Purchaser hereby irrevocably designates and
appoints the Agent as the agent of such Purchaser under this Agreement, and each
such  Purchaser  irrevocably  authorizes  the  Agent,  as  the  agent  for  such
Purchaser, to take such action on its behalf under the provisions of the Related
Documents and to exercise such powers and perform such duties  thereunder as are
expressly delegated to the Agent by the terms of the Related Documents, together
with such other powers as are reasonably incidental thereto. Notwithstanding any
provision to the contrary elsewhere in this Agreement,  the Agent shall not have
any duties or responsibilities,  except those expressly set forth herein, or any
fiduciary relationship with any Purchaser, and no implied covenants,  functions,
responsibilities,  duties,  obligations or  liabilities  shall be read into this
Agreement or otherwise exist against the Agent.

     Section 7.2.  Delegation of Duties. The Agent may execute any of its duties
under any of the Related Documents by or through agents or attorneys-in-fact and
shall be entitled to advice of counsel concerning all matters pertaining to such
duties.  The Agent shall not be responsible  for the negligence or misconduct of
any agents or attorneys-in-fact selected by it with reasonable care.

     Section 7.3.  Exculpatory  Provisions.  Neither the Agent nor its officers,
directors,  employees,  agents,  attorneys-in-fact  or  Affiliates  shall be (a)
liable to any of the Purchasers  for any action  lawfully taken or omitted to be
taken by it or such Person under or in connection  with any of the other Related
Documents  (except  for its or such  Person's  own gross  negligence  or willful
misconduct)  or (b)  responsible  in any manner to any of the Purchasers for any
recitals,  statements,  representations  or warranties  made by the Seller,  the
Depositor,  the Issuer,  the  Servicer or the  Indenture  Trustee or any officer
thereof  contained in any of the other Related  Documents or in any certificate,
report,  statement or other document referred to or provided for in, or received
by the Agent under or in connection with, any of the other Related  Documents or
for  the  value,  validity,   effectiveness,   genuineness,   enforceability  or
sufficiency of this  Agreement or any of the other Related  Documents or for any
failure of the Seller, the Depositor,  the Issuer, the Servicer or the Indenture
Trustee to perform its obligations thereunder.  The Agent shall not be under any
obligation to any  Purchaser to ascertain or to inquire as to the  observance or
performance of any of the agreements  contained in, or conditions of, any of the
other Related Documents,  or to inspect the properties,  books or records of the
Seller, the Depositor, the Issuer, the Servicer, or the Indenture Trustee.

     Section 7.4.  Reliance by Agent.  The Agent shall be entitled to rely,  and
shall be fully  protected  in relying,  upon any  writing,  resolution,  notice,
consent, certificate, affidavit,

                                      -34-
<PAGE>

letter,  cablegram,  telegram,  telecopy,  telex or  teletype  message,  written
statement,  order or other document or conversation believed by it to be genuine
and  correct  and to have  been  signed,  sent or made by the  proper  Person or
Persons and upon advice and  statements of legal counsel  (including  counsel to
the Agent), independent accountants and other experts selected by the Agent. The
Agent shall be fully  justified  in failing or refusing to take any action under
any of the  Related  Documents  unless it shall  first  receive  such  advice or
concurrence  of the  Required  Owners and the  Required  Purchasers  as it deems
appropriate  or it  shall  first  be  indemnified  to  its  satisfaction  by the
Purchasers  or by the  Committed  Purchasers  against any and all  liability and
expense  which may be incurred by it by reason of taking or  continuing  to take
any such action.  The Agent shall in all cases be fully protected in acting,  or
in refraining from acting, under any of the Related Documents in accordance with
a request of the Required  Owners and the Required  Purchasers  and such request
and any action  taken or failure to act pursuant  thereto  shall be binding upon
all present and future Purchasers.

     Section 7.5.  Notices.  The Agent shall not be deemed to have  knowledge or
notice of the  occurrence of any breach of this  Agreement or the  occurrence of
any Default or any Event of Default unless the Agent has received written notice
from the Issuer, the Depositor,  the Seller, the Servicer, the Indenture Trustee
or any Purchaser  referring to this  Agreement,  describing  such event.  In the
event  that the Agent  receives  such a notice,  the Agent  promptly  shall give
notice thereof to the Purchasers.  The Agent shall take such action with respect
to such event as shall be  reasonably  directed by the  Required  Owners and the
Required  Purchasers;  provided  that  unless  and until the  Agent  shall  have
received  such  directions,  the Agent may (but shall not be obligated  to) take
such action,  or refrain from taking such action,  with respect to such event as
it shall deem advisable in the best interests of the Purchasers.

     Section 7.6.  Non-Reliance  on Agent and Other  Purchasers.  Each Purchaser
expressly  acknowledges  that  neither  the  Agent  nor  any  of  its  officers,
directors,  employees,  agents,  attorneys-in-fact  or  Affiliates  has made any
representations  or  warranties  to it and  that no act by the  Agent  hereafter
taken,  including any review of the affairs of the Seller,  the  Depositor,  the
Issuer,  the Servicer or the Indenture Trustee shall be deemed to constitute any
representation  or  warranty  by the  Agent  to any  Purchaser.  Each  Purchaser
represents to the Agent that it has, independently and without reliance upon the
Agent or any other Purchaser,  and based on such documents and information as it
has deemed  appropriate,  made its own appraisal of and  investigation  into the
business,   operations,    property,   financial   and   other   condition   and
creditworthiness of the Indenture Trustee, the Seller, the Depositor, the Issuer
and the Servicer and made its own decision to purchase its interest in the Notes
hereunder and enter into this Agreement.  Each Purchaser also represents that it
will,  independently and without reliance upon the Agent or any other Purchaser,
and based on such documents and information as it shall deem  appropriate at the
time,  continue to make its own analysis,  appraisals and decisions in taking or
not  taking  action  under  any of the  Related  Documents,  and  to  make  such
investigation  as it  deems  necessary  to  inform  itself  as to the  business,
operations,  property, financial and other condition and creditworthiness of the
Indenture  Trustee,  the Seller,  the  Depositor,  the Issuer and the  Servicer.
Except,  in the case of the Agent,  for  notices,  reports  and other  documents
received by the Agent under Section 5 hereof,  the Agent shall not have any duty
or  responsibility to provide any Purchaser with any credit or other information
concerning  the  business,   operations,   property,   condition  (financial  or
otherwise), prospects or creditworthiness of the Indenture

                                      -35-
<PAGE>

Trustee,  the Seller,  the Depositor,  the Issuer or the Servicer which may come
into the possession of the Agent or any of its officers,  directors,  employees,
agents, attorneys-in-fact or Affiliates.

     Section 7.7.  Indemnification.  The Committed Purchasers agree to indemnify
the Agent in its capacity as such (without  limiting the  obligation (if any) of
the Seller, the Depositor, the Issuer or the Servicer to reimburse the Agent for
any such amounts),  ratably according to their respective Commitment Percentages
(or, if the Commitments have terminated, Percentage Interests), from and against
any and all  liabilities,  obligations,  losses,  damages,  penalties,  actions,
judgments,  suits, costs, expenses or disbursements of any kind whatsoever which
may at any time  (including at any time following the payment of the obligations
under this Agreement,  including the Outstanding Amount of the Notes) be imposed
on, incurred by or asserted  against the Agent in any way relating to or arising
out of this Agreement, or any documents contemplated by or referred to herein or
the transactions contemplated hereby or any action taken or omitted by the Agent
under or in  connection  with any of the  foregoing;  provided that no Purchaser
shall be liable for the payment of any portion of such liabilities, obligations,
losses,  damages,  penalties,  actions,  judgments,  suits,  costs,  expenses or
disbursements  of the Agent  resulting from its own gross  negligence or willful
misconduct.  The agreements in this subsection  shall survive the payment of the
obligations under this Agreement, including the principal of the Notes.

     Section  7.8.  Agent  in Its  Individual  Capacities.  The  Agent  and  its
Affiliates may make loans to, accept  deposits from and generally  engage in any
kind of business with the Indenture Trustee, the Seller, the Servicer, the Owner
Trustee,  the  Depositor  and the  Issuer as though  the Agent was not the agent
hereunder.  Each Purchaser  acknowledges that Credit Suisse First Boston may act
(i) as administrator and agent for one or more Structured Purchasers and in such
capacity  acts  and  may  continue  to act on  behalf  of each  such  Structured
Purchaser  in  connection  with its  business  and (ii) as the agent for certain
financial  institutions  under the liquidity and credit  enhancement  agreements
relating to this Agreement to which any such  Structured  Purchaser is party and
in various  other  capacities  relating to the  business of any such  Structured
Purchaser under various  agreements.  Credit Suisse First Boston in its capacity
as the Agent shall not, by virtue of its acting in any such other capacities, be
deemed to have duties or responsibilities  hereunder or be held to a standard of
care in connection with the performance of its duties as the Agent other than as
expressly provided in this Agreement.  Credit Suisse First Boston may act as the
Agent without regard to and without  additional  duties or  liabilities  arising
from its role as such  administrator  or agent or arising from its acting in any
such other capacity.

     Section 7.9.  Successor Agent. The Agent may resign as Agent upon ten days'
notice to the Purchasers,  the Indenture Trustee, the Issuer, the Depositor, the
Seller  and  the  Servicer  with  such  resignation  becoming  effective  upon a
successor  agent  succeeding  to the  rights,  powers  and  duties  of the Agent
pursuant to this  subsection  7.9(a).  If the Agent shall  resign as Agent under
this  Agreement,  then the Required  Purchasers  and the  Required  Owners shall
appoint  from  among  the  Committed   Purchasers  a  successor  agent  for  the
Purchasers.  The successor agent shall succeed to the rights,  powers and duties
of the Agent,  and the term "Agent" shall mean such  successor  agent  effective
upon its appointment,  and the former Agent's rights, powers and duties as Agent
shall be  terminated,  without  any other or further  act or deed on the part of
such former  Agent or any of the parties to this  Agreement.  After the retiring
Agent's

                                      -36-
<PAGE>

resignation  as Agent,  the  provisions  of this  Section  7 shall  inure to its
benefit as to any actions  taken or omitted to be taken by it while it was Agent
under this Agreement.

                    SECTION VIII. SECURITIES LAWS; TRANSFERS

     Section  8.1.  Transfers  of Notes.  (a) Each of the  Agent and the  Owners
agrees that any interest in the Notes purchased or otherwise acquired by it will
be acquired for investment only and not with a view to any distribution thereof,
and that it will not offer to sell or otherwise  dispose of any Note acquired by
it  (or  any  interest   therein)  in  violation  of  any  of  the  registration
requirements  of  the  Securities  Act  or  the  registration  or  qualification
requirements of any applicable state or other securities laws. Each of the Agent
and the  Owners  acknowledges  that it has no right to  require  the  Issuer  to
register,  under the Securities Act or any other  securities  law, the Notes (or
any interest  therein)  acquired by it pursuant to this  Agreement,  any Joinder
Supplement or any Transfer  Supplement.  Each of the Agent and the Owners hereby
confirms and agrees that in connection with any transfer or syndication by it of
an  interest  in the Notes,  it has not engaged and will not engage in a general
solicitation or general advertising including advertisements,  articles, notices
or other communications published in any newspaper, magazine or similar media or
broadcast  over radio or television,  or any seminar or meeting whose  attendees
have been  invited by any  general  solicitation  or general  advertising.  Each
Purchaser  which  executes a Joinder  Agreement  agrees that it will execute and
deliver to the Issuer,  the Seller, the Servicer,  the Depositor,  the Indenture
Trustee and the Agent on or before the effective date of its Joinder Agreement a
letter in the form attached  hereto as Exhibit A (an  "Investment  Letter") with
respect to the purchase by such Purchaser of an interest in the Notes.

          (b) Each initial  purchaser of a Note or any interest  therein and any
     Assignee  thereof or Participant  therein shall certify to the Issuer,  the
     Seller,  the Servicer,  the Depositor,  the Indenture Trustee and the Agent
     that it is either (A)(i) a citizen or resident of the United States, (ii) a
     corporation or partnership (or any other entity treated as a corporation or
     a partnership  for federal  income tax purposes)  organized in or under the
     laws of the United States or any political  subdivision  thereof which,  if
     such entity is a tax-exempt  entity,  recognizes that payments with respect
     to the Notes may constitute  unrelated  business  taxable income or (iii) a
     person not described in (i) or (ii) whose income from the Notes is and will
     be effectively connected with the conduct of a trade or business within the
     United States  (within the meaning of the Code) and whose  ownership of any
     interest  in a Note will not  result  in any  withholding  obligation  with
     respect  to any  payments  with  respect to the Notes by any Person and who
     will  furnish to the Agent,  the Seller,  the  Servicer  and the  Indenture
     Trustee,  and to the Owner  making the  Transfer a properly  executed  U.S.
     Internal Revenue Service Form W-8ECI or W-8BEN (or any successor form) (and
     to agree (to the  extent  legally  able) to  provide  a new Form  W-8ECI or
     W-8BEN (or any successor  form) upon the expiration or  obsolescence of any
     previously  delivered  form and  comparable  statements in accordance  with
     applicable  United  States  laws),  (B) an  estate  the  income of which is
     includible in gross income for United States federal income tax purposes or
     (C) a trust if a court within the United States is able to exercise primary
     supervision  over the  administration  of such trust and one or more United
     States fiduciaries have the authority to control all substantial  decisions
     of the trust.

          (c)   Any   sale,   transfer,   assignment,   participation,   pledge,
     hypothecation or other disposition (a "Transfer") of a Note or any interest
     therein may be made only in

                                      -37-
<PAGE>

     accordance  with this Section 8.1. Any Transfer of a Note, an interest in a
     Note, a Commitment or any  Noncommitted  Purchaser  Percentage  shall be in
     respect of (i) in the case of a Committed  Purchaser,  at least $10,000,000
     in the aggregate,  which may be composed of (A) outstanding principal under
     the  Notes or (B) to the  extent in  excess  of the  outstanding  principal
     subject to such Transfer, its Commitment hereunder,  or (ii) in the case of
     a Noncommitted Purchaser, at least $10,000,000 in the aggregate,  which may
     be  composed  of (A)  outstanding  principal  under the Notes or (B) to the
     extent in excess of the outstanding principal subject to such Transfer, the
     product of the Noncommitted  Purchaser  Percentage subject to such Transfer
     times the aggregate Commitments hereunder. Any Transfer of an interest in a
     Note  otherwise  permitted by this Section 8.1 will be permitted only if it
     consists  of a pro rata  percentage  interest  in all  payments  made  with
     respect to the Purchaser's beneficial interest in such Note. No Note or any
     interest  therein may be Transferred by Assignment or  Participation to any
     Person (each, a  "Transferee")  unless prior to the transfer the Transferee
     shall have executed and delivered to the Agent and the Issuer an Investment
     Letter.

     Each of the Issuer, the Depositor,  the Seller and the Servicer  authorizes
each  Purchaser  to  disclose  to any  Transferee  and  Support  Party  and  any
prospective Transferee or Support Party any and all financial information in the
Purchaser's  possession  concerning the Seller, the Servicer,  the Depositor and
the Issuer which has been delivered to the Agent or such  Purchaser  pursuant to
the Related  Documents  (including  information  obtained  pursuant to rights of
inspection  granted  hereunder) or which has been delivered to such Purchaser by
or on behalf of the  Seller,  the  Issuer,  the  Depositor  or the  Servicer  in
connection with such Purchaser's  credit  evaluation of the Seller,  the Issuer,
the  Depositor or the Servicer  prior to becoming a party to, or  purchasing  an
interest in this  Agreement or the Notes,  provided  that each such  Transferee,
prospective  Transferee  and Support  Party  agrees in writing to  maintain  the
confidentiality of such information pursuant to the following paragraph.

     The Agent and each  Purchaser,  severally  and with respect to itself only,
covenants  and  agrees  that  any  information  obtained  by the  Agent  or such
Purchaser  pursuant to, or otherwise in connection  with,  this Agreement or the
other Related  Documents  shall be held in confidence (it being  understood that
documents provided to the Agent hereunder may in all cases be distributed by the
Agent to the  Purchasers)  except that the Agent or such  Purchaser may disclose
such information (i) to its officers,  directors,  employees,  agents,  counsel,
accountants,  auditors,  advisors or  representatives  who have an obligation to
maintain  the  confidentiality  of such  information,  (ii) to the  extent  such
information  has  become  available  to the  public  other than as a result of a
disclosure by or through the Agent or such  Purchaser,  (iii) to the extent such
information  was available to the Agent or such  Purchaser on a  nonconfidential
basis prior to its disclosure to the Agent or such Purchaser in connection  with
this  transaction,  (iv) with the  consent  of the  Servicer,  (v) to the extent
permitted  by the  preceding  paragraph,  (vi) to the  extent  the Agent or such
Purchaser  should be (A)  required in  connection  with any legal or  regulatory
proceeding  or (B)  requested by any  Governmental  Authority  to disclose  such
information  or  (vii)  in  the  case  of any  Purchaser  that  is a  Structured
Purchaser,  to rating agencies,  placement agents and providers of liquidity and
credit support who agree to hold such information in confidence; provided, that,
in the case of clause  (vi),  the Agent or such  Purchaser,  as the case may be,
will  (unless  otherwise  prohibited  by  law  or  in  connection  with  regular
regulatory  reviews)  notify  the  Servicer  of its  intention  to make any such

                                      -38-
<PAGE>

disclosure as early as practicable prior to making such disclosure and cooperate
with the Servicer in  connection  with any action to obtain a  protective  order
with respect to such disclosure.

          (d) Each  Purchaser  may, in  accordance  with  applicable  law (which
     includes applicable  securities laws), at any time grant  participations in
     all or part of its  Commitment or its interest in the Notes,  including the
     payments  due to it  under  this  Agreement  and  the  Indenture  (each,  a
     "Participation"), to any Person (each, a "Participant"); provided, however,
     that no  Participation  shall be granted to any Person unless and until the
     Agent shall have consented thereto and the conditions to Transfer specified
     in this Agreement,  including in subsection 8.1(c) hereof,  shall have been
     satisfied  and that such  Participation  consists of a pro rata  percentage
     interest in all payments made with respect to such  Purchaser's  beneficial
     interest (if any) in the Notes. In connection with any such  Participation,
     the Agent shall maintain a register of each  Participant  and the amount of
     each Participation.  Each Purchaser hereby acknowledges and agrees that (A)
     any such  Participation  will not alter or affect such  Purchaser's  direct
     obligations  hereunder,  and (B) none of the Indenture Trustee, the Issuer,
     the  Depositor,  the Seller nor the Servicer  shall have any  obligation to
     have any communication or relationship with any Participant. No Participant
     shall be  entitled to  Transfer  all or any  portion of its  Participation,
     without the prior written consent of the Agent.  Each Participant  shall be
     entitled to receive  indemnification  pursuant  to Sections  2.4 as if such
     Participant   were  a   Purchaser   and  such   Sections   applied  to  its
     Participation.   Each  Purchaser   shall  give  the  Agent  notice  of  the
     consummation  of any  sale by it of a  Participation  and the  Agent  (upon
     receipt of notice from the related  Purchaser)  shall  promptly  notify the
     Issuer, the Servicer and the Indenture  Trustee.  No Participant shall have
     the right to approve any amendment or waiver of the terms of this Agreement
     except with  respect to those  matters set forth in clauses (i) and (ii) of
     the proviso to Section 9.1.

          (e) Each Purchaser may, with the consent of the Agent and the Servicer
     (which  shall  not   unreasonably  be  withheld)  and  in  accordance  with
     applicable law (which includes applicable  securities laws), sell or assign
     (each,  an  "Assignment"),  to any Person (each,  an "Assignee") all or any
     part of its  Commitment  or its  interest  in the Notes and its  rights and
     obligations under this Agreement and the Indenture pursuant to an agreement
     substantially  in the form attached hereto as Exhibit C hereto (a "Transfer
     Supplement"),  executed by such Assignee and the Purchaser and delivered to
     the Agent and the Servicer  for their  acceptance  and  consent;  provided,
     however,  that no such  assignment  or sale shall be  effective  unless and
     until the conditions to Transfer specified in this Agreement,  including in
     subsection 8.1(c) hereof, shall have been satisfied;  and provided further,
     however,  that the consent of the Servicer shall not be required (i) in the
     case of an  assignment by a  Noncommitted  Purchaser of its interest in the
     Notes and its rights and obligations under this Agreement and the Indenture
     to  any  one or  more  of its  Support  Parties,  (ii)  in the  case  of an
     assignment by a Liquidity  Provider to another Liquidity  Provider pursuant
     to the  terms of the  related  Support  Agreement,  (iii) in the case of an
     assignment by any Purchaser to another  Purchaser,  (iv) in the case of any
     assignment  to Credit Suisse First Boston  International  Limited or any of
     its  Affiliates  or  (v) in  the  case  of an  assignment  by  the  initial
     Noncommitted  Purchaser  of its  interest  in the Notes and its  rights and
     obligations  under  this  Agreement  and the  Indenture  to any  Structured
     Purchaser (A) which is administered by the same Person as such Noncommitted
     Purchaser, (B) which becomes a party to the Agreement and (C) which expects
     to have a cost of  funds  reasonably  similar  to the cost of funds of such
     Noncommitted  Purchaser.  From and  after  the  effective  date  determined
     pursuant

                                      -39-
<PAGE>

     to such Transfer  Supplement,  (x) the Assignee thereunder shall be a party
     hereto and, to the extent  provided in such Transfer  Supplement,  have the
     rights and  obligations  of a Purchaser  hereunder as set forth therein and
     (y) the transferor Purchaser shall, to the extent provided in such Transfer
     Supplement,  be released from its  Commitment and other  obligations  under
     this Agreement;  provided,  however,  that after giving effect to each such
     Assignment,  the obligations released by any such Purchaser shall have been
     assumed by an Assignee or  Assignees.  Such  Transfer  Supplement  shall be
     deemed to amend  this  Agreement  to the  extent,  and only to the  extent,
     necessary  to reflect  the  addition  of such  Assignee  and the  resulting
     adjustment  of  Percentage  Interests,   Committed  Purchaser  Percentages,
     Noncommitted  Purchaser  Percentages,  Liquidity  Percentages or Commitment
     Percentages arising from the Assignment. Upon its receipt and acceptance of
     a duly executed Transfer Supplement,  the Agent shall on the effective date
     determined  pursuant  thereto give notice of such acceptance to the Issuer,
     the Servicer and the Indenture Trustee and the Servicer will provide notice
     thereof to each Rating Agency (if required).

     Upon  instruction  to  register  a  transfer  of a  Purchaser's  beneficial
interest in the Notes (or portion  thereof) and  surrender for  registration  of
transfer such Purchaser's Note(s) (if applicable) and delivery to the Issuer and
the Indenture Trustee of an Investment Letter,  executed by the registered owner
(and the beneficial  owner if it is a Person other than the  registered  owner),
and  receipt by the  Indenture  Trustee of a copy of the duly  executed  related
Transfer  Supplement  and such other  documents  as may be  required  under this
Agreement,  such beneficial  interest in the Notes (or portion thereof) shall be
transferred  in the  records of the  Indenture  Trustee  and the Agent  and,  if
requested by the  Assignee,  new Notes shall be issued to the  Assignee  and, if
applicable,  the  transferor  Purchaser in amounts  reflecting  such Transfer as
provided in the Indenture. Such Transfers of Notes (and interests therein) shall
be  subject  to  this  Section  8.1 in  lieu  of any  regulations  which  may be
prescribed  under  Section 6.3 of the  Indenture.  Successive  registrations  of
Transfers as aforesaid  may be made from time to time as desired,  and each such
registration of a transfer to a new registered  owner shall be noted on the Note
Register.

          (f) Each Purchaser may pledge its interest in the Notes to any Federal
     Reserve Bank as collateral in accordance with applicable law.

          (g) Any  Purchaser  shall  have the  option  to change  its  Investing
     Office.

          (h) Each Affected  Party shall be entitled to receive  indemnification
     pursuant  to  Section  2.4  hereof as though it were a  Purchaser  and such
     Section  applied to its interest in or commitment to acquire an interest in
     the Notes.

                           SECTION IX. MISCELLANEOUS

     Section 9.1.  Amendments  and Waivers.  This  Agreement may not be amended,
supplemented  or  modified  nor may any  provision  hereof be  waived  except in
accordance  with the provisions of this Section 9.1. With the written consent of
the Required  Owners and the Required  Purchasers,  the Agent,  the Seller,  the
Servicer,  the  Depositor  and the  Issuer  may,  from time to time,  enter into
written amendments, supplements, waivers or modifications hereto for the purpose
of adding any  provisions to this Agreement or changing in any manner the rights
of

                                      -40-
<PAGE>

any party hereto or waiving, on such terms and conditions as may be specified in
such instrument, any of the requirements of this Agreement;  provided,  however,
that no such amendment,  supplement, waiver or modification shall (i) reduce the
amount of or extend  the  maturity  of any Note or reduce the rate or extend the
time of payment of interest thereon,  or reduce or alter the timing of any other
amount payable to any Purchaser  hereunder or under the Indenture,  in each case
without the consent of the Purchasers  affected thereby,  (ii) amend,  modify or
waive any provision of this Section 9.1, or reduce the  percentage  specified in
the definition of Required Owners or Required  Purchasers,  in each case without
the  written  consent  of all  Purchasers  or (iii)  amend,  modify or waive any
provision  of Section 7 of this  Agreement  without the  written  consent of the
Agent.  Any waiver of any  provision of this  Agreement  shall be limited to the
provisions  specifically  set  forth  therein  for the  period of time set forth
therein and shall not be construed to be a waiver of any other provision of this
Agreement.

     The Agent may cast any vote or give any  direction  under the  Indenture on
behalf of the  Noteholders  if it has been directed to do so by (i) the Required
Owners and (ii) the Required Purchasers.

     Section 9.2. Notices. (a) All notices,  requests and demands to or upon the
respective  parties  hereto to be effective  shall be in writing  (including  by
telecopy),  and, unless otherwise expressly provided herein,  shall be deemed to
have been duly given or made when  delivered by hand, or, in the case of mail or
telecopy  notice,  when  received,  addressed  as follows or, with  respect to a
Purchaser,  as set  forth  in its  respective  Joinder  Supplement  or  Transfer
Supplement,  or to  such  other  address  as may be  hereafter  notified  by the
respective parties hereto:

     The Issuer:          BXG RECEIVABLES NOTE TRUST 2001-A
                          c/o Wilmington Trust Company

                          Rodney Square North
                          1100 N. Market Street
                          Wilmington, DE 19890

                          Attention: Corporate Trust Administration/
                          BXG RECEIVABLES NOTE TRUST 2001-A
                          Telecopier No.: (302) 651-8882

     Bluegreen        BLUEGREEN CORPORATION
                      4960 Conference Way North, Suite 100
                      Boca Raton, Florida 33431
                      Attention: John F. Chiste
                      Telecopy:  (561) 912-8123

     The Depositor    BLUEGREEN RECEIVABLES FINANCE CORPORATION V
                      4960 Conference Way North, Suite 100
                      Boca Raton, Florida 33431
                      Attention: John F. Chiste
                      Telecopy:  (561) 912-8123

                                      -41-
<PAGE>

     The Indenture Trustee:    U.S. BANK TRUST NATIONAL ASSOCIATION
                               180 East Fifth Street
                               St. Paul, MN  55101
                               Phone: (651) 244-0011
                               Fax: (651) 244-0089
                               tammara.schultz-fugh@usbank.com

                               Attention: BXG RECEIVABLES NOTE TRUST 2001-A

     The Agent                 The Credit Suisse First Boston, New York Branch
                               Agent:  Eleven Madison Avenue
                               New York, New York  10010
                               Attention:  Asset Finance Conduit Group
                               Telephone:  (212) 325-3296 or 9083
                               Telefax:  (212) 325-4519

          (b) All  payments to be made to the Agent or any  Purchaser  hereunder
     shall be made in United States dollars and in immediately  available  funds
     not later  than 2:30 p.m.  New York City time on the date  payment  is due,
     and, unless otherwise  specifically  provided herein,  shall be made to the
     Agent,  for the  account  of one or more of the  Purchasers  or for its own
     account,  as the case may be. Unless  otherwise  directed by the Agent, all
     payments to it shall be made by federal wire (ABA #021-000-018), to account
     number 890-038-6630, account name: Gramercy Capital Corporation, reference:
     Bluegreen,  with telephone  notice  (including  federal wire number) to the
     Asset Finance Department of Credit Suisse First Boston (212-325-9076).

     Section 9.3. No Waiver;  Cumulative Remedies. No failure to exercise and no
delay in  exercising,  on the part of the  Agent or any  Purchaser,  any  right,
remedy, power or privilege under any of the Related Documents shall operate as a
waiver thereof;  nor shall any single or partial exercise of any right,  remedy,
power or  privilege  under any of the Related  Documents  preclude  any other or
further  exercise thereof or the exercise of any other right,  remedy,  power or
privilege. The rights,  remedies,  powers and privileges provided in the Related
Documents are cumulative and not exclusive of any rights,  remedies,  powers and
privileges provided by law.

     Section 9.4.  Successors and Assigns.  This Agreement shall be binding upon
and inure to the benefit of the Seller, the Servicer, the Depositor, the Issuer,
the Agent,  the Purchasers,  any Assignee,  any Participant and their respective
successors and assigns,  except that the Seller, the Servicer, the Depositor and
the  Issuer  may not  assign  or  transfer  any of their  respective  rights  or
obligations under this Agreement except as provided herein and in the Indenture,
without  the prior  written  consent of the  Required  Owners  and the  Required
Purchasers and the Purchasers,  Agent,  Assignee and Participants may not assign
or transfer any of their  respective  rights or  obligations  except as provided
herein..

                                      -42-
<PAGE>

     Section 9.5. Counterparts. This Agreement may be executed by one or more of
the parties to this Agreement on any number of separate counterparts, and all of
said counterparts  taken together shall be deemed to constitute one and the same
instrument.

     Section 9.6.  Severability.  Any  provisions  of this  Agreement  which are
prohibited or unenforceable in any jurisdiction  shall, as to such jurisdiction,
be ineffective to the extent of such  prohibition  or  unenforceability  without
invalidating  the  remaining  provisions  hereof,  and any such  prohibition  or
unenforceability   in  any   jurisdiction   shall  not   invalidate   or  render
unenforceable such provisions in any other jurisdiction.

     Section 9.7.  Integration.  This Agreement and the Fee Letter represent the
agreement of the Agent, the Seller, the Depositor,  the Issuer, the Servicer and
the  Purchasers  with  respect to the subject  matter  hereof,  and there are no
promises,  undertakings,  representations or warranties by the Purchasers or the
Agent  relative to subject  matter hereof not expressly set forth or referred to
herein or therein.

     Section 9.8.  Governing Law. THIS AGREEMENT AND THE RIGHTS AND  OBLIGATIONS
OF THE PARTIES  UNDER THIS  AGREEMENT  SHALL BE GOVERNED BY, AND  CONSTRUED  AND
INTERPRETED IN ACCORDANCE  WITH, THE LAW OF THE STATE OF NEW YORK WITHOUT REGARD
TO CONFLICT OF LAWS PRINCIPLES.

     Section 9.9.  Termination.  This  Agreement  shall remain in full force and
effect until the earlier to occur of (a) payment in full of the principal of and
interest on the Notes and all other  amounts  payable to the  Purchasers  or the
Agent  hereunder and the  termination  of all  Commitments  and (b) the Facility
Termination Date; provided,  however,  that the provisions of Sections 2.4, 6.1,
6.2, 7.7,  9.11,  9.13 and 9.14 shall survive  termination of this Agreement and
any amounts  payable to the Agent,  Purchasers or any Affected Party  thereunder
shall remain payable thereto.

     Section 9.10. Limited Recourse; No Proceedings.  (a) The obligations of the
Issuer and the Depositor  under this Agreement are solely the obligations of the
Issuer  and the  Depositor,  as  applicable.  No  recourse  shall be had for the
payment of any fee or other  obligation  or claim  arising out of or relating to
this  Agreement  or any other  agreement,  instrument,  document or  certificate
executed and delivered or issued by the Issuer and the Depositor, or any officer
of  any  of  them  in  connection  therewith,   against  any  partner,   member,
stockholder,  employee,  officer, director or incorporator of the Issuer and the
Depositor.  With respect to obligations of the Issuer, neither the Agent nor any
Purchaser shall look to any property or assets of the Issuer,  other than to the
Trust Estate. Each Purchaser and the Agent hereby agrees that to the extent such
funds are  insufficient  or  unavailable  to pay any amounts  owing to it by the
Issuer pursuant to this Agreement,  prior to the commencement of a bankruptcy or
insolvency  proceeding by or against the Issuer, it shall not constitute a claim
against the Issuer. Each of the Issuer, the Depositor, the Seller, the Servicer,
the Agent and each Purchaser  agrees that it shall not institute or join against
the  Depositor  or  the  Issuer  any  bankruptcy,  reorganization,  arrangement,
insolvency or liquidation proceeding, or similar proceeding under any federal or
state  bankruptcy  law,  for one year and a day  after  the  termination  of the
Indenture.  Nothing  in this  paragraph  shall  limit or  otherwise  affect  the
liability of the Servicer and the Seller with

                                      -43-
<PAGE>

respect  to any  amounts  owing by the  Servicer  or the  Seller,  respectively,
hereunder or the right of the Agent or any  Purchaser to enforce such  liability
against  the  Servicer  or the Seller,  respectively,  or any of its  respective
assets.

          (b) Each of the Issuer, the Depositor,  the Seller, the Servicer,  the
     Agent and each Purchaser  hereby agrees that it shall not institute or join
     against  any   Structured   Purchaser   any   bankruptcy,   reorganization,
     arrangement,  insolvency or  liquidation  proceeding,  or other  proceeding
     under any federal or state  bankruptcy  or similar  law, for one year and a
     day after the latest maturing  commercial  paper note,  medium term note or
     other debt security issued by such Structured Purchaser is paid.

     Section   9.11.   Survival   of   Representations   and   Warranties.   All
representations  and warranties made hereunder and in any document,  certificate
or statement  delivered pursuant hereto or in connection  herewith shall survive
the  execution  and  delivery  of this  Agreement,  the  purchase  of the  Notes
hereunder and the termination of this Agreement.

     Section 9.12. Submission to Jurisdiction;  Waivers. EACH OF THE SELLER, THE
ISSUER,  THE  DEPOSITOR,  THE  SERVICER,  THE  AGENT AND EACH  PURCHASER  HEREBY
IRREVOCABLY AND UNCONDITIONALLY:

                              (1)  SUBMITS  FOR ITSELF AND ITS  PROPERTY  IN ANY
                              LEGAL  ACTION  OR  PROCEEDING   RELATING  TO  THIS
                              AGREEMENT   TO  WHICH  IT  IS  A  PARTY,   OR  FOR
                              RECOGNITION  AND  ENFORCEMENT  OF ANY  JUDGMENT IN
                              RESPECT  THEREOF,  TO  THE  NON-EXCLUSIVE  GENERAL
                              JURISDICTION  OF THE  COURTS  OF THE  STATE OF NEW
                              YORK SITTING IN MANHATTAN AND THE UNITED STATES OF
                              AMERICA FOR THE SOUTHERN DISTRICT OF NEW YORK, AND
                              APPELLATE  COURTS FROM ANY  THEREOF;  (2) CONSENTS
                              THAT ANY SUCH ACTION OR PROCEEDING  MAY BE BROUGHT
                              IN SUCH  COURTS AND WAIVES ANY  OBJECTION  THAT IT
                              MAY NOW OR HEREAFTER HAVE TO THE VENUE OF ANY SUCH
                              ACTION  OR  PROCEEDING  IN ANY SUCH  COURT OR THAT
                              SUCH  ACTION  OR  PROCEEDING  WAS  BROUGHT  IN  AN
                              INCONVENIENT  COURT  AND  AGREES  NOT TO  PLEAD OR
                              CLAIM THE SAME; (3) AGREES THAT SERVICE OF PROCESS
                              IN ANY SUCH ACTION OR  PROCEEDING  MAY BE EFFECTED
                              BY  MAILING  A  COPY  THEREOF  BY   REGISTERED  OR
                              CERTIFIED MAIL (OR ANY SUBSTANTIALLY  SIMILAR FORM
                              OF MAIL),  POSTAGE  PREPAID,  TO SUCH PARTY AT ITS
                              ADDRESS  SET FORTH IN SECTION 9.2 OR AT SUCH OTHER
                              ADDRESS  OF  WHICH  THE  AGENT   SHALL  HAVE  BEEN
                              NOTIFIED  PURSUANT  THERETO;  AND

                                      -44-
<PAGE>

                              (4) AGREES THAT  NOTHING  HEREIN  SHALL AFFECT THE
                              RIGHT TO EFFECT  SERVICE  OF  PROCESS IN ANY OTHER
                              MANNER  PERMITTED  BY LAW OR SHALL LIMIT THE RIGHT
                              TO SUE IN ANY OTHER JURISDICTION.

     Section 9.13. WAIVERS OF JURY TRIAL. EACH OF THE SELLER, THE SERVICER,  THE
ISSUER,  THE DEPOSITOR,  THE AGENT AND THE  PURCHASERS  HEREBY  IRREVOCABLY  AND
UNCONDITIONALLY  WAIVES, TO THE EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT
MAY HAVE TO TRIAL BY JURY IN ANY LEGAL ACTION OR PROCEEDING RELATING DIRECTLY OR
INDIRECTLY TO THIS AGREEMENT OR ANY OTHER DOCUMENT OR INSTRUMENT  RELATED HERETO
AND FOR ANY COUNTERCLAIM THEREIN.

     Section  9.14.  Limitation of Liability of Owner  Trustee.  Notwithstanding
anything  contained herein or in any other Related Document to the contrary,  it
is expressly understood and agreed by the parties hereto that (a) this Agreement
is executed and delivered by  Wilmington  Trust  Company,  not  individually  or
personally  but  solely as Owner  Trustee,  in the  exercise  of the  powers and
authority conferred and vested in it under the Trust Agreement,  (b) each of the
representations,  undertakings  and  agreements  herein  made on the part of the
Issuer is made and intended  not as a personal  representation,  undertaking  or
agreement by  Wilmington  Trust Company but is made and intended for the purpose
for binding only the Issuer and the Trust Estate, and (c) under no circumstances
shall  Wilmington  Trust  Company be  personally  liable for the  payment of any
indebtedness or expenses of the Issuer or be liable for the breach or failure of
any obligation,  representation,  warranty or covenant made or undertaken by the
Issuer under this Agreement or any other related documents.

                                      -45-
<PAGE>

     IN WITNESS  WHEREOF,  the parties  hereto  have  caused this Note  Purchase
Agreement  to be duly  executed by their  respective  officers as of the day and
year first above written.

                        BXG RECEIVABLES NOTE TRUST 2001-A
                        By: Wilmington Trust Company,
                            not in its individual capacity, but solely as
                            Owner Trustee

                        By: /S/ PATRICIA A. EVANS
                            ----------------------------------------
                            Name:  Patricia A. Evans
                            Title: Senior Financial Services Officer

                        BLUEGREEN CORPORATION,
                        as Seller and Servicer

                        By: /S/ JOHN F. CHISTE
                            ----------------------------------------
                            Name:  John F. Chiste
                            Title: Senior Vice President, Treasurer
                                   and Chief Financial Officer

                        BLUEGREEN RECEIVABLES FINANCE CORPORATION V,
                        as Depositor

                        By: /S/ JOHN F. CHISTE
                            ----------------------------------------
                            Name:  John F. Chiste
                            Title: Senior Vice President, Treasurer
                                   and Chief Financial Officer

                        CREDIT SUISSE FIRST BOSTON, NEW YORK BRANCH,
                        as Agent

                        By: /S/ ALBERTO ZONCA
                            ----------------------------------------
                            Name:  Alberto Zonca
                            Title: Vice President

                        By: /S/ JOSEPH SOAVE
                            ----------------------------------------
                            Name:  Joseph Soave
                            Title: Vice President

                                      -46-INDENTURE

                                     between

                       BXG RECEIVABLES NOTE TRUST 2001-A,

                                    as Issuer

                                       and

                      U.S. BANK TRUST NATIONAL ASSOCIATION,

                              as Indenture Trustee

                            Dated as of June 29, 2001

                        BXG RECEIVABLES NOTE TRUST 2001-A
                        Asset Backed Notes, Series 2001-A

<PAGE>

                                TABLE OF CONTENTS

                                                                            Page
                                                                            ----

ARTICLE I.     DEFINITIONS AND INCORPORATION BY REFERENCE....................2
      SECTION 1.1.   Definitions.............................................2
      SECTION 1.2.   Rules of Construction...................................7

ARTICLE II.    THE NOTES.....................................................8
      SECTION 2.1.   Form; Authorized Amount.................................8
      SECTION 2.2.   Execution, Authentication, Delivery and Dating..........8
      SECTION 2.3.   Registration; Registration of Transfer and Exchange.....9
      SECTION 2.4.   Mutilated, Destroyed, Lost or Stolen Notes.............10
      SECTION 2.5.   Persons Deemed Registered Owners.......................11
      SECTION 2.6.   Payment of Principal and Interest; Defaulted
                     Interest...............................................11
      SECTION 2.7.   Cancellation...........................................12
      SECTION 2.8.   Release of Collateral..................................12
      SECTION 2.9.   Restriction on Transfers of Notes......................12
      SECTION 2.10.  Tax Treatment..........................................12

ARTICLE III.   COVENANTS....................................................13
      SECTION 3.1.   Payment of Principal and Interest......................13
      SECTION 3.2.   Money for Payments To Be Held in Trust.................13
      SECTION 3.3.   Existence..............................................14
      SECTION 3.4.   Protection of Collateral...............................15
      SECTION 3.5.   Opinions as to Collateral..............................15
      SECTION 3.6.   Performance of Obligations; Servicing of
                     Receivables............................................15
      SECTION 3.7.   Negative Covenants.....................................16
      SECTION 3.8.   Annual Statement as to Compliance......................17
      SECTION 3.9.   Covenants of the Issuer................................18
      SECTION 3.10.  Investment Company Act.................................18
      SECTION 3.11.  Restricted Payments....................................18
      SECTION 3.12.  Treatment of Notes as Debt for Tax Purposes............18
      SECTION 3.13.  Notice of Events of Default............................18
      SECTION 3.14.  Further Instruments and Acts...........................18
      SECTION 3.15.  Capital Expenditures...................................19

ARTICLE IV.    SATISFACTION AND DISCHARGE...................................19
      SECTION 4.1.   Satisfaction and Discharge of Indenture................19
      SECTION 4.2.   Application of Trust Money.............................20
      SECTION 4.3.   Repayment of Moneys Held by Paying Agent...............20

ARTICLE V.     REMEDIES.....................................................20
      SECTION 5.1.   Events of Default......................................20
      SECTION 5.2.   Acceleration of Maturity; Rescission and Annulment.....22
      SECTION 5.3.   Collection of Indebtedness and Suits for
                     Enforcement by Indenture Trustee.......................22

                                      -i-
<PAGE>

      SECTION 5.4.   Remedies; Priorities...................................25
      SECTION 5.5.   Optional Preservation of the Collateral................25
      SECTION 5.6.   Limitation of Suits....................................26
      SECTION 5.7.   Unconditional Rights of Registered Owners To
                     Receive Principal and Interest.........................26
      SECTION 5.8.   Restoration of Rights and Remedies.....................27
      SECTION 5.9.   Rights and Remedies Cumulative.........................27
      SECTION 5.10.  Delay or Omission Not a Waiver.........................27
      SECTION 5.11.  Control by Registered Owners...........................27
      SECTION 5.12.  Waiver of Past Defaults................................28
      SECTION 5.13.  Undertaking for Costs..................................28
      SECTION 5.14.  Waiver of Stay or Extension Laws.......................28
      SECTION 5.15.  Action on Notes........................................29
      SECTION 5.16.  Performance and Enforcement of Certain Obligations.....29

ARTICLE VI.    THE INDENTURE TRUSTEE........................................29
      SECTION 6.1.   Duties of Indenture Trustee............................29
      SECTION 6.2.   Rights of Indenture Trustee............................31
      SECTION 6.3.   Individual Rights of Indenture Trustee.................31
      SECTION 6.4.   Indenture Trustee's Disclaimer.........................32
      SECTION 6.5.   Notice of Defaults.....................................32
      SECTION 6.6.   Reports by Indenture Trustee to Registered Owners......32
      SECTION 6.7.   Compensation and Indemnity.............................32
      SECTION 6.8.   Replacement of Indenture Trustee.......................32
      SECTION 6.9.   Successor Indenture Trustee by Merger..................33
      SECTION 6.10.  Appointment of Co-Indenture Trustee or
                     Separate-Indenture Trustee.............................34
      SECTION 6.11.  Eligibility; Disqualification..........................35
      SECTION 6.12.  Maintenance of Office or Agency........................35

ARTICLE VII.   OWNERS' LISTS AND REPORTS....................................35
      SECTION 7.1.   Preservation of Information; Communications to
                     Registered Owners......................................35

ARTICLE VIII.  ACCOUNTS, DISBURSEMENTS AND RELEASES.........................35
      SECTION 8.1.   Collection of Money....................................35
      SECTION 8.2.   Accounts; Distributions................................36
      SECTION 8.3.   General Provisions Regarding Accounts..................36
      SECTION 8.4.   Release of Collateral..................................36

ARTICLE IX.    SUPPLEMENTAL INDENTURE.......................................37
      SECTION 9.1.   Reserved...............................................37
      SECTION 9.2.   Supplemental Indentures................................37
      SECTION 9.3.   Execution of Supplemental Indenture....................38
      SECTION 9.4.   Effect of Supplemental Indenture.......................38
      SECTION 9.5.   Reference in Notes to Supplemental Indenture...........38

                                      -ii-
<PAGE>

ARTICLE X.     BORROWINGS...................................................39
      SECTION 10.1.  Optional Borrowing.....................................39

ARTICLE XI.    MISCELLANEOUS................................................40
      SECTION 11.1.  Compliance Certificates and Opinions, etc..............40
      SECTION 11.2.  Form of Documents Delivered to Indenture Trustee.......40
      SECTION 11.3.  Acts of Registered Owners..............................41
      SECTION 11.4.  Notices, etc., to Indenture Trustee and Issuer.........41
      SECTION 11.5.  Notices to Registered Owners; Waiver...................42
      SECTION 11.6.  Effect of Headings and Table of Contents...............42
      SECTION 11.7.  Successors and Assigns.................................42
      SECTION 11.8.  Separability...........................................42
      SECTION 11.9.  Benefits of Indenture..................................42
      SECTION 11.10. Legal Holidays.........................................43
      SECTION 11.11. Governing Law..........................................43
      SECTION 11.12. Counterparts...........................................43
      SECTION 11.13. Recording of Indenture.................................43
      SECTION 11.14. Trust Obligation.......................................43
      SECTION 11.15. No Petition............................................43
      SECTION 11.16. Inspection.............................................44
      SECTION 11.17. Limitation of Liability of Owner Trustee...............44

EXHIBITS

EXHIBIT A      -  Form of Note
EXHIBIT B-1    -  Form of Certificate Regarding Transfer (Accredited Investor)
EXHIBIT B-2    -  Form of Certificate Regarding Transfer (Rule 144A)
EXHIBIT B-2    -  Form of Borrowing Certification

                                     -iii-
<PAGE>

     INDENTURE (this "Indenture" or this "Agreement") dated as of June 29, 2001,
between  BXG  RECEIVABLES  NOTE TRUST  2001-A,  a Delaware  business  trust (the
"Issuer"),  and  U.S.  BANK  TRUST  NATIONAL  ASSOCIATION,  a  national  banking
association,  as  indenture  trustee  and not in its  individual  capacity  (the
"Indenture Trustee").

     Each party agrees as follows for the benefit of the other party and for the
equal and ratable benefit of the Registered  Owners of the BXG Receivables  Note
Trust 2001-A Asset-Backed Notes, Series 2001-A.

                                 GRANTING CLAUSE

     Subject to the terms of this  Indenture,  the Issuer  hereby  Grants to the
Indenture  Trustee on the Closing Date, as Indenture  Trustee for the benefit of
the Registered  Owners of the Notes,  (i) all of the Issuer's  right,  title and
interest in and to each  Receivable  identified on the Schedule of  Receivables,
including the related Receivables  Documents,  from time to time existing (x) at
the  close  of  business  on the  Cut-Off  Date,  in  the  case  of the  Initial
Receivables and (y) at the close of business on each Additional Cut-Off Date, in
the case of Additional  Receivables,  (ii) any other property which secured such
Receivable  and  which  has  been  acquired  by  foreclosure  or deed in lieu of
foreclosure  or  otherwise,  (iii) the portion of the  Issuer's  interest in any
Insurance  Policies relating to such Receivables,  (iv) the Issuer's interest in
the Operative Documents,  (v) all funds on deposit from time to time in the Note
Account,  (vi) all  payments on and proceeds of any of the  foregoing  after the
Cut-Off Date or the Additional Cut-Off Date, as applicable, and (vii) all rights
and remedies under each of the Lock-Box Agreement,  the Custodial Agreement, the
Backup  Servicing  Agreement,  the Sale and Servicing  Agreement,  each Addition
Agreement,  each Substitution Agreement and each Hedge Agreement  (collectively,
the "Trust Estate" or the  "Collateral"),  excluding,  in each case,  monies and
other property which have been properly paid or released in accordance  with the
terms of this Indenture and the other Operative Documents.

     The foregoing Grant is made in trust to secure (i) the payment of principal
of and  interest  on,  and any other  amounts  owing in  respect  of, the Notes,
equally and ratably without prejudice, priority or distinction, (ii) the payment
of all other amounts payable under this Indenture and (iii)  compliance with the
provisions of this Indenture, all as provided in this Indenture.

     The Indenture  Trustee,  as indenture  trustee on behalf of the  Registered
Owners of the Notes,  acknowledges such Grant,  accepts the trusts hereunder and
agrees to perform its duties  required in this Indenture in accordance  with its
terms.

     The  Indenture  Trustee  (or the  Custodian,  on  behalf  of the  Indenture
Trustee) shall hold the Receivables  Documents in trust, for the use and benefit
of the Issuer and all present  and future  Registered  Owners of the Notes,  and
shall retain  possession  thereof.  The  Indenture  Trustee  further  agrees and
acknowledges that each other item of Collateral that is physically  delivered to
the  Indenture  Trustee  or the  Custodian  on its  behalf  will  be held by the
Indenture Trustee, or by a Custodian, on behalf of the Indenture Trustee, in the
State of Minnesota or in any other location  acceptable to the Indenture Trustee
and the Servicer.

<PAGE>

     The Indenture Trustee further acknowledges that in the event the conveyance
of the  Receivables  by the  Depositor  to the Issuer  pursuant  to the Sale and
Servicing  Agreement is  determined  to  constitute a financing,  the  Indenture
Trustee (or the Servicer as its agent) holds the  Receivables as the assignee of
the Issuer.

                                   ARTICLE I.

                   DEFINITIONS AND INCORPORATION BY REFERENCE

     SECTION 1.1.  Definitions.  Except as otherwise  specified herein or as the
context may otherwise require,  the following terms have the respective meanings
set forth below for all purposes of this Indenture.  Capitalized  terms used but
not otherwise defined herein have the respective  meanings set forth in the Sale
and Servicing Agreement.

     "Act": The meaning specified in Section 11.3(a) hereof.

     "Additional  Borrowing  Test":  with  respect  to  any  Borrowing,  a  test
satisfied if, after giving effect to such Borrowing,  the Borrowing Base exceeds
the sum of the Note  Principal  Balance  plus the amount of interest  which will
accrue on the Notes through the next Payment Date.

     "Affiliate":  With  respect  to any  specified  Person,  any  other  Person
controlling or controlled by or under common control with such specified Person.
For the  purposes of this  definition,  "control"  when used with respect to any
specified  Person means the power to direct the  management and policies of such
Person,  directly  or  indirectly,  whether  through  the  ownership  of  voting
securities,   by  contract  or  otherwise  and  the  terms   "controlling"   and
"controlled" have meanings correlative to the foregoing.

     "Agent":  Credit Suisse First Boston,  New York Branch,  in its capacity as
agent  for  the  purchasers  parties  to the  Note  Purchase  Agreement  and its
successors and assigns in such capacity.

     "Aggregate  Undrawn  Amount":  At any time, the excess,  if any, of (i) the
aggregate  amount of the Commitments  over (ii) the  Outstanding  Amount at such
time.

     "Authorized Officer":  With respect to the Issuer, any officer of the Owner
Trustee who is authorized  to act for the Owner  Trustee in matters  relating to
the Issuer and who is identified on the list of Authorized Officers delivered by
the Owner Trustee to the Indenture Trustee on the Closing Date (as such list may
be modified or supplemented from time to time thereafter).

     "Borrowing": The meaning specified in Section 10.1 hereof.

     "Borrowing Base": On each Determination Date, the sum of (i) the product of
(x) the Borrowing Base Percentage and (y) the Aggregate  Outstanding  Receivable
Balance of Eligible  Receivables  as of the close of business on the last day of
the related Collection Period minus the Excluded  Receivables  Balance as of the
close of business on the last day of the related Collection Period plus (ii) the
amount,  if any,  on deposit in the Note  Account as of the close of business on
the last day of the related Collection Period.

                                      -2-
<PAGE>

     "Borrowing Base Percentage":  On any day, the lower of (i) 85% and (ii) (x)
100% minus (y) the percentage credit  enhancement  required by Moody's and Fitch
to achieve a rating of Baa2 and BBB,  respectively,  from such  Rating  Agencies
with respect to a  securitization  by the Seller or its  Affiliates  of Eligible
Receivables  similar to those  included  in the Trust  Estate.  Such  percentage
credit  enhancement shall be evidenced by the credit  enhancement  required with
respect to the most recent such securitization or pursuant to special request of
the Agent or the Servicer to such Rating Agencies.

     "Borrowing Base Deficiency": On any date, the excess, if any, of the sum of
the Note Principal  Balance as of such date plus the amount of interest  accrued
on the Notes as of such date over the Borrowing Base as of such date.

     "Borrowing  Certification":  The Borrowing  Certification  attached hereto,
substantially in the form of Exhibit C.

     "Borrowing Date": The meaning specified in Section 10.1 hereof.

     "Business Day": Any day other than (i) a Saturday or a Sunday or (ii) a day
on  which   commercial   banking   institutions  in  the  states  of  New  York,
Massachusetts,  Minnesota  or the state in which the  Corporate  Trust Office is
located are authorized or obligated by law or executive to be closed.

     "Certificate   of  Trust":   The   certificate   of  trust  of  the  Issuer
substantially in the form of Exhibit A to the Trust Agreement.

     "Closing Date": June 29, 2001.

     "Commitment": "Commitment" as defined in the Note Purchase Agreement.

     "Code": The Internal Revenue Code of 1986, as amended.

     "Collateral":  The  meaning  specified  in  the  Granting  Clause  of  this
Indenture.

     "Corporate Trust Office":  The principal office of the Indenture Trustee at
180 East Fifth Street, St. Paul, MN 55101, Attn: Ms. Tammy Schultz-Fugh,  or the
principal office of any successor Indenture Trustee hereunder.

     "Custodian's Receipt": The meaning set forth in the Custodial Agreement.

     "Default":  Any occurrence  that is, or with notice or the lapse of time or
both would become, an Event of Default.

     "Default Ratio (Pledged)": For any Determination Date, the ratio (expressed
as a  percentage)  the  numerator of which is the product of (i) 12 and (ii) the
Aggregate  Outstanding  Receivables  Balance  of  all  Receivables  that  became
Defaulted  Receivables during the related Collection Period (less any reinstated
Receivables)  and  the  denominator  of  which  is  the  Aggregate   Outstanding
Receivables  Balance of all Receivables in the Trust Estate,  in each case as of
the last day of the related Collection Period (expressed as a percentage).

                                      -3-
<PAGE>

     "Delinquency  Ratio (Pledged)":  With respect to any date of determination,
the  ratio  (expressed  as  a  percentage)  of  (i)  the  Aggregate  Outstanding
Receivables Balance of all Delinquent Receivables in the Trust Estate divided by
the Aggregate  Outstanding  Receivables  Balance of all Receivables in the Trust
Estate,  in each  case  as of the  last  day of the  related  Collection  Period
(expressed as a percentage).

     "Depositor":  Bluegreen  Receivables  Finance  Corporation  V,  a  Delaware
corporation, or any successor thereto.

     "Designated   Depository   Institution":   A  federal  or  state  chartered
depository  institution  acceptable  to the  Indenture  Trustee,  acting  in its
fiduciary capacity, having combined capital and surplus of at least $50,000,000.

     "Event of Default": The meaning specified in Section 5.1 hereof.

     "Exchange Act": The Securities Exchange Act of 1934, as amended.

     "Final Payment Date": the Payment Date in August 2005.

     "Grant": To mortgage,  pledge,  bargain, sell, warrant,  alienate,  remise,
release, convey, assign, transfer,  create, and grant a lien upon and a security
interest in and right of set-off against, deposit, set over and confirm pursuant
to this  Indenture.  A Grant of the  Collateral  or of any  other  agreement  or
instrument  shall  include  all  rights,  powers  and  options  (but none of the
obligations)  of the granting  party  thereunder,  including  the  immediate and
continuing right to claim for,  collect,  receive and give receipt for principal
and interest  payments in respect of the Collateral and all other moneys payable
thereunder,  to give and  receive  notices  and  other  communications,  to make
waivers or other  agreements,  to  exercise  all rights  and  options,  to bring
Proceedings in the name of the granting party or otherwise,  and generally to do
and  receive  anything  that the  granting  party is or may be entitled to do or
receive thereunder or with respect thereto.

     "Indenture  Trustee":  U.S.  Bank Trust  National  Association,  a national
banking association, as Indenture Trustee under this Indenture, or any successor
Indenture Trustee under this Indenture.

     "Independent":  When used with respect to any  specified  Person,  that the
Person (a) is in fact independent of the Issuer, any other obligor on the Notes,
the  Depositor,  the  Servicer,  the  Seller  and  any  Affiliate  of any of the
foregoing  Persons,  (b)  does not have any  direct  financial  interest  or any
material indirect financial interest in the Issuer, any such other obligor,  the
Depositor,  the  Servicer,  the Seller or any  Affiliate of any of the foregoing
Persons and (c) is not connected with the Issuer,  any such other  obligor,  the
Depositor,  the  Servicer,  the Seller or any  Affiliate of any of the foregoing
Persons  as an  officer,  employee,  promoter,  underwriter,  trustee,  partner,
director or person  performing  similar  functions;  provided,  however,  that a
Person shall not be excluded from the definition of "Independent" solely because
such Person is a director of Bluegreen  Receivables  Finance  Corporation  IV, a
Delaware Corporation.

     "Independent Certificate":  A certificate or opinion to be delivered to the
Indenture Trustee under the circumstances  described in, and otherwise complying
with, the applicable

                                      -4-
<PAGE>

requirements of Section 11.1,  made by an Independent  appraiser or other expert
appointed  by an Issuer  Order and  approved  by the  Agent in the  exercise  of
reasonable care, and such opinion or certificate shall state that the signer has
read the  definition of  "Independent"  in this Indenture and that the signer is
Independent within the meaning thereof.

     "Initial  Borrowing  Date":  The date on which the initial  Borrowing takes
place.

     "Issuer":  BXG Receivables Note Trust 2001-A, until a successor replaces it
and, thereafter, the successor.

     "Issuer Order" and "Issuer  Request":  A written order or request signed in
the name of the Issuer by any one of its  Authorized  Officers and  delivered to
the Indenture Trustee.

     "Note":  A BXG  Receivables  Note Trust 2001-A,  Asset Backed Note,  Series
2001-A, substantially in the Form of Exhibit A hereto.

     "Note Principal  Balance":  As of any time of  determination,  the Original
Note  Principal  Balance plus the aggregate  principal  amount of all additional
Borrowings  pursuant to Section  10.1 hereof less the  aggregate  of all amounts
actually  distributed  to the  holders  of the  Notes on  account  of  principal
pursuant to Section 3.2 or 3.8 of the Sale and Servicing Agreement prior to such
date.

     "Note Purchase Agreement": The Note Purchase Agreement dated as of June 29,
2001, among the Trust, the Depositor,  the Seller, the Servicer,  the Purchasers
parties thereto and the Agent.

     "Note Register" and "Note Registrar":  The respective meanings specified in
Section 2.3.

     "Officer's Certificate":  A certificate signed by any Authorized Officer of
the Issuer, under the circumstances  described in, and otherwise complying with,
the  applicable  requirements  of Section  11.1,  and delivered to the Indenture
Trustee.

     "Opinion  of  Counsel":  One or more  written  opinions of counsel who may,
except as  otherwise  expressly  provided in this  Indenture,  be counsel to the
Issuer  or an  Affiliate  of the  Issuer  and who shall be  satisfactory  to the
Indenture  Trustee,  and which  opinion or opinions  shall be  addressed  to the
Indenture Trustee,  as Indenture  Trustee,  and shall comply with any applicable
requirements  of  Section  11.1 and  shall be in form and  substance  reasonably
satisfactory to the Indenture Trustee.

     "Outstanding":   With   respect   to  any  Note  and  as  of  the  date  of
determination,  any Note  theretofore  authenticated  and  delivered  under this
Indenture except:

          (i) Notes  theretofore  canceled by the Note Registrar or delivered to
     the Note Registrar for cancellation;

          (ii) Notes the  payment for which  money in the  necessary  amount has
     been theretofore  deposited with the Indenture  Trustee or any Paying Agent
     in trust for the Registered Owners of such Notes;

                                      -5-
<PAGE>

          (iii) Notes in exchange  for or in lieu of which other Notes have been
     authenticated  and  delivered  pursuant  to  this  Indenture  unless  proof
     satisfactory to the Indenture  Trustee is presented that any such Notes are
     held by a bona fide purchaser; and

          (iv) Notes as to which the Indenture  Trustee has made final  payment,
     whether or not such Notes are ever surrendered or otherwise returned to the
     Indenture Trustee;

     provided,  that  in  determining  whether  the  Registered  Owners  of  the
requisite  Outstanding  Amount of the Notes  have  given  any  request,  demand,
authorization,  direction,  notice,  consent,  or waiver  hereunder or under any
Operative Document, Notes owned by the Issuer, any other obligor upon the Notes,
the  Depositor,  the  Seller,  the  Servicer,  or  any  Affiliate  of any of the
foregoing Persons shall be disregarded and deemed not to be Outstanding  (unless
such person owns 100% of the Notes),  except that,  in  determining  whether the
Indenture  Trustee shall be protected in relying upon any such request,  demand,
authorization,  direction,  notice,  consent,  or  waiver,  only  Notes that the
Indenture  Trustee knows to be so owned shall be so disregarded.  Notes so owned
that have been  pledged  in good faith may be  regarded  as  Outstanding  if the
pledgee  establishes to the satisfaction of the Indenture  Trustee the pledgee's
right so to act with  respect  to such  Notes  and that the  pledgee  is not the
Issuer,  any other  obligor  upon the Notes,  the  Depositor,  the  Seller,  the
Servicer or any Affiliate of any of the foregoing Persons.

     "Outstanding  Amount": The aggregate principal amount of all Notes that are
Outstanding  at the date of  determination.  The  Outstanding  Amount  shall not
include the Aggregate Undrawn Amount.

     "Owner Trustee":  Wilmington Trust Company,  not in its individual capacity
but solely as Owner Trustee under the Trust  Agreement,  or any successor  Owner
Trustee under the Trust Agreement.

     "Paying  Agent":  The Indenture  Trustee or any other Person that meets the
eligibility standards for the Indenture Trustee specified in Section 6.11 and is
authorized  by the Issuer to make  payments to and  distributions  from the Note
Account, including payment of principal of or interest on the Notes on behalf of
the Issuer.

     "Payment Date": The first Business Day of each month, commencing in August,
2001.

     "Principal  Distribution Amount" With respect to each Payment Date before a
Facility  Termination  Date, the principal amount of Notes which are required to
be repaid to prevent the existence of a Borrowing Base  Deficiency  after giving
effect to all  distributions  of  principal  on such  Payment  Date and for each
Payment  Date on or after a Facility  Termination  Date,  an amount equal to the
Note Principal Balance.

     "Proceeding":  Any  suit in  equity,  action  at law or other  judicial  or
administrative proceeding.

     "Record  Date":  With respect to any Payment Date, the close of business on
the Business Day immediately preceding a Payment Date.

                                      -6-
<PAGE>

     "Registered  Owner":  The Person in whose name a Note is  registered on the
Note Register on the applicable Record Date.

     "Responsible  Officer":  With respect to the Indenture Trustee, any officer
within the Corporate Trust Office of the Indenture  Trustee,  including any Vice
President, Assistant Vice President, Assistant Treasurer, Assistant Secretary or
any other  officer of the Indenture  Trustee  customarily  performing  functions
similar to those  performed  by any of the above  designated  officers and also,
with respect to a particular  matter,  any other  officer to whom such matter is
referred  because  of such  officer's  knowledge  of and  familiarity  with  the
particular subject.

     "Sale and Servicing  Agreement":  The Sale and Servicing Agreement dated as
of June 29, 2001,  among the Issuer,  the Depositor,  the Seller,  the Servicer,
Concord Servicing Corporation, as Backup Servicer, Vacation Trust, Inc., as Club
Trustee, U.S. Bank Trust National Association,  as Custodian,  and the Indenture
Trustee.

     "Securities Act": The Securities Act of 1933, as amended.

     "Seller":   Bluegreen  Corporation,  a  Massachusetts  corporation  in  its
capacity as Seller under the Sale and  Servicing  Agreement,  and its  permitted
successors and assigns.

     "Servicer":  Bluegreen  Corporation,  a  Massachusetts  corporation  in its
capacity as Servicer under the Sale and Servicing  Agreement,  and its permitted
successors and assigns.

     "State":  Any one of the 50 States of the  United  States of America or the
District of Columbia.

     "Successor Servicer": The meaning specified in Section 3.5(e).

     "Trust Estate": The meaning specified in the granting clause.

     "UCC": Unless the context otherwise requires,  the Uniform Commercial Code,
as in effect in the relevant jurisdiction, as amended from time to time.

     SECTION 1.2. Rules of Construction. Unless the context otherwise requires:

          (i) a term has the meaning assigned to it;

          (ii) an accounting term not otherwise defined has the meaning assigned
     to it in accordance  with generally  accepted  accounting  principles as in
     effect from time to time;

          (iii) "or" is not exclusive;

          (iv) "including" means including without limitation;

          (v) words in the  singular  include the plural and words in the plural
     include the singular; and

          (vi) any  agreement,  instrument  or statute  defined or  referred  to
     herein or in any instrument or

                                      -7-
<PAGE>

     certificate   delivered  in  connection   herewith  means  such  agreement,
     instrument  or  statute  as  from  time  to  time   amended,   modified  or
     supplemented  (as provided in such agreements) and includes (in the case of
     agreements  or  instruments)  references  to all  attachments  thereto  and
     instruments  incorporated  therein;  references to a Person are also to its
     permitted successors and assigns.

                                  ARTICLE II.

                                    THE NOTES

     SECTION 2.1. Form;  Authorized Amount. The Notes shall be designated as the
"BXG  Receivables  Note Trust 2001-A,  Asset Backed Notes,  Series 2001-A".  The
aggregate  maximum  principal  amount of Notes  which may be issued  under  this
Indenture shall not exceed $75,000,000.  The Notes,  together with the Indenture
Trustee's certificate of authentication,  shall be in substantially the form set
forth  in  Exhibit  A  hereto,  with  such  appropriate  insertions,  omissions,
substitutions  and  other  variations  as are  required  or  permitted  by  this
Indenture,  and may have such letters,  numbers or other marks of identification
and such legends or endorsements placed thereon as may,  consistently  herewith,
be determined by the officer or officers  executing such Notes,  as evidenced by
their execution thereof. Any portion of the text of any Note may be set forth on
the reverse thereof,  with an appropriate  reference  thereto on the face of the
Note.

     The Notes will be issued and  registered in  certificated  form and will be
typewritten, printed, lithographed or engraved or produced by any combination of
these  methods,  all as  determined  by the officer or officers  executing  such
Notes, as evidenced by the execution of such Notes.

     The terms of the Notes set forth in Exhibit A are part of the terms of this
Indenture.  The Notes are revolving  notes -- additional  borrowings may be made
under the Notes  pursuant to Section 10.1 and the  principal of the Notes may be
repaid and reborrowed without penalty pursuant to the terms hereof.

     The Notes may be marked as  temporary,  and any Note being so marked may be
cancelled and destroyed for substitution by a replacement  Note,  subject to the
provisions of Section 2.2.

     SECTION 2.2.  Execution,  Authentication,  Delivery  and Dating.  The Notes
shall be executed on behalf of the Issuer by an Authorized  Officer of the Owner
Trustee. The signature of any such Authorized Officer on the Notes may be manual
or facsimile.

     Notes bearing the manual or facsimile  signature of individuals who were at
any time  Authorized  Officers  of the  Owner  Trustee  shall  bind the  Issuer,
notwithstanding  that such  individuals  or any of them have ceased to hold such
offices prior to the  authentication  and delivery of such Notes or did not hold
such offices at the date of such Notes.

     Upon Issuer Request, the Indenture Trustee shall authenticate the Notes for
original  issue in the form of a single,  fully  registered  Note in the name of
Credit  Suisse  First  Boston,  New York Branch,  as Agent and in the  principal
amount of $75,000,000  and deliver such Note to the Agent against payment of the
principal  amount of the initial  Borrowing  pursuant to Section  10.1 hereof by
wire transfer of immediately available funds to the Issuer.

                                      -8-
<PAGE>

     The Notes that are  authenticated and delivered by the Indenture Trustee to
or upon the order of the Issuer on the Initial Borrowing Date shall be dated the
Initial Borrowing Date. All other Notes that are authenticated after the Closing
Date for any other purpose under this Indenture shall be dated the date of their
authentication.  The Notes shall be issuable as registered  Notes in the minimum
denomination of $10,000,000 and integral  multiples of $1,000 in excess thereof,
but will  evidence  only the pro  rata  portion  of the  Outstanding  Amount  of
advances made in respect thereof pursuant hereto.

     No Note shall be entitled to any benefit  under this  Indenture or be valid
or obligatory  for any purpose,  unless there appears on such Note a certificate
of authentication  substantially in the form provided for herein executed by the
Indenture Trustee by the manual signature of one of its authorized  signatories,
and such  certificate upon any Note shall be conclusive  evidence,  and the only
evidence, that such Note has been duly authenticated and delivered hereunder.

     SECTION  2.3.  Registration;  Registration  of Transfer and  Exchange.  The
Indenture  Trustee  shall cause to be kept a register  (the "Note  Register") in
which, subject to such reasonable regulations as it may prescribe, the Indenture
Trustee  shall provide for the  registration  of Notes and the  registration  of
transfers  of  Notes.  The  Indenture  Trustee  initially  shall  be  the  "Note
Registrar" for the purpose of registering Notes and transfers of Notes as herein
provided.  Upon any  resignation of any Note  Registrar,  the Indenture  Trustee
shall  promptly  appoint  a  successor  or,  if it  elects  not to make  such an
appointment, assume the duties of Note Registrar.

     If a Person other than the Indenture  Trustee is appointed by the Indenture
Trustee as Note  Registrar,  the Indenture  Trustee will give the Issuer and the
Agent prompt written notice of the appointment of such Note Registrar and of the
location,  and any change in the location, of the Note Register. The Issuer, the
Servicer and their respective designees shall have the right to inspect the Note
Register at all reasonable  times and to obtain copies  thereof,  and the Issuer
and the  Servicer  shall have the right to obtain  from time to time and to rely
upon a  certificate  executed on behalf of the Note  Registrar by an  Authorized
Officer  thereof as to the names and addresses of the  Registered  Owners of the
Notes and the principal amounts and number of such Notes.

     Subject to the terms and conditions of this  Indenture,  upon surrender for
registration of transfer of any Note in compliance with the requirements of this
Section 2.3 and Section 2.9 at the office or agency of the Indenture  Trustee to
be  maintained as provided in Section 6.12,  the Issuer shall  execute,  and the
Indenture Trustee shall  authenticate and the Registered Owner shall obtain from
the Indenture Trustee, in the name of the designated  transferee or transferees,
one or more  new  Notes in any  authorized  denominations,  of a like  aggregate
principal amount.

     At the option of any Registered Owner, Notes owned by such Registered Owner
may be  exchanged  for other Notes in any  authorized  denominations,  of a like
aggregate  principal amount, upon surrender of the Notes to be exchanged at such
office  or  agency.  Subject  to the  terms and  conditions  of this  Indenture,
whenever any Notes are so  surrendered  for exchange,  the Issuer shall execute,
and the Indenture  Trustee shall  authenticate  and the  Registered  Owner shall
obtain from the Indenture  Trustee,  the Notes which the Registered Owner making
the exchange is entitled to receive.

                                      -9-
<PAGE>

     All Notes  issued  upon any  registration  of transfer or exchange of Notes
shall be the valid  obligations  of the Issuer,  evidencing  the same debt,  and
entitled to the same benefits  under this  Indenture,  as the Notes  surrendered
upon such registration of transfer or exchange.

     Every Note  presented  or  surrendered  for  registration  of  transfer  or
exchange shall be duly endorsed by, and be  accompanied by a written  instrument
of transfer in form  satisfactory to the Indenture Trustee duly executed by, the
Registered Owner thereof or such Registered  Owner's attorney duly authorized in
writing.

     The Notes  represent  the sole  obligation  of the Issuer  payable from the
Collateral and do not represent the obligations of the Seller, the Servicer, the
Depositor,  the Backup Servicer, the Owner Trustee, the Indenture Trustee or the
Custodian.

     No service charge shall be made to a Registered  Owner for any registration
of transfer or  exchange of Notes,  but the Issuer may require  payment of a sum
sufficient to cover any tax or other governmental  charge that may be imposed in
connection with any  registration  of transfer or exchange of Notes,  other than
exchanges pursuant to Section 2.4 not involving any transfer.

     SECTION  2.4.  Mutilated,  Destroyed,  Lost  or  Stolen  Notes.  If (i) any
mutilated Note is surrendered  to the Indenture  Trustee,  or (ii) the Indenture
Trustee receives evidence to its satisfaction of the destruction,  loss or theft
of any Note,  and there is delivered to the  Indenture  Trustee such security or
indemnity as may be required by it to hold the Issuer, the Seller, the Servicer,
the Depositor and the Indenture Trustee harmless (the unsecured indemnity of the
Agent, in its individual  capacity and not as Agent,  being  sufficient for such
purpose),  then, in the absence of notice to the Issuer,  the Note  Registrar or
the Indenture Trustee that the destroyed,  lost or stolen Note has been acquired
by a bona fide purchaser, and provided that the requirements of Section 8-405 of
the UCC are met as to such  destroyed,  lost or stolen  Note,  the Issuer  shall
execute,  and upon its request the  Indenture  Trustee  shall  authenticate  and
deliver,  in exchange for or in lieu of any such mutilated,  destroyed,  lost or
stolen Note, a replacement Note; provided,  however, that if any such destroyed,
lost or stolen Note, but not a mutilated Note, shall have become or within seven
days shall be due and payable, instead of issuing a replacement Note, the Issuer
may pay such  destroyed,  lost or  stolen  Note when so due or  payable  without
surrender thereof. If, after the delivery of such replacement Note or payment of
a  destroyed,  lost or stolen  Note  pursuant  to the  proviso to the  preceding
sentence,  a bona fide  purchaser  of the  original  Note in lieu of which  such
replacement  Note was issued presents for payment such original Note, the Issuer
and the Indenture Trustee shall be entitled to recover such replacement Note (or
such payment) from the Person to whom it was delivered or any Person taking such
replacement Note from such Person to whom such replacement Note was delivered or
any  assignee  of such  Person,  except a bona fide  purchaser,  and each of the
Issuer,  Indenture Trustee,  Seller, Servicer and Depositor shall be entitled to
recover upon the security or  indemnity  provided  therefor to the extent of any
loss, damage, cost or expense incurred by it in connection therewith.

     Upon the issuance of any replacement Note under this Section, the Indenture
Trustee may require the payment by the  Registered  Owner of such Note, of a sum
sufficient to cover any tax or other governmental  charge that may be imposed in
relation  thereto and any other  reasonable  fees and expenses of the Issuer and
the Indenture Trustee connected therewith.

                                      -10-
<PAGE>

     SECTION 2.5. Persons Deemed Registered Owners. Prior to due presentment for
registration of transfer of any Note, the Issuer,  the Indenture Trustee and any
agent of the Issuer or the Indenture  Trustee may treat the Person in whose name
any Note is  registered  (as of the day of  determination)  as the owner of such
Note for the purpose of receiving payments of principal of and interest, if any,
on such Note and for all other purposes whatsoever,  whether or not such Note be
overdue,  and none of the  Issuer,  the  Indenture  Trustee  or any agent of the
Issuer or the Indenture Trustee shall be affected by notice to the contrary.

     SECTION 2.6.  Payment of Principal and Interest;  Defaulted  Interest.  The
Note  Principal  Balance  shall  accrue  interest  on  each  day the  Notes  are
outstanding as follows:  (i) the Note Principal Balance outstanding after giving
effect to all  payments  on a Payment  Date shall  accrue  interest at the "Note
Interest Rate",  determined as provided in the Note Purchase Agreement,  for the
Interest Period beginning on such Payment Date, and (ii) the principal amount of
each Borrowing  during an Interest  Period shall accrue  interest for the period
from the related  Borrowing Date to the end of such Interest Period at the "Note
Interest  Rate",  determined  as provided in the Note Purchase  Agreement,  with
respect to such period and such  Borrowing,  determined  as provided in the Note
Purchase  Agreement.  The amount of interest  payable in respect of the Notes on
each Payment Date shall be equal to the aggregate amount of interest  determined
pursuant  to the  preceding  sentence,  provided  that if any  principal  amount
described in clause (i) or (ii) of the preceding sentence together with interest
accrued thereon to the date of payment is paid prior to the end of such Interest
Period  pursuant to Section 3.8 of the Sale and  Servicing  Agreement,  then (x)
Note Monthly Interest with respect to such Interest Period shall not include the
amount of interest so prepaid and (y) such principal amount shall cease accruing
interest as of the date of such prepayment.

     (a) The principal of each Note shall be payable as provided in the Sale and
Servicing  Agreement  and  the  form  of the  Notes  set  forth  in  Exhibit  A.
Notwithstanding  the foregoing,  the entire unpaid principal amount of the Notes
shall be due and  payable,  if not  previously  paid,  on the earlier of (i) the
Final  Payment  Date and (ii) the date on which an Event of  Default  shall have
occurred and be continuing, if the Indenture Trustee or the Registered Owners of
Notes  representing  not less than a majority of the  Outstanding  Amount of the
Notes have  declared the Notes to be  immediately  due and payable in the manner
provided in Section 5.2 (unless such declaration has been rescinded  pursuant to
the terms hereof).

     (b) Any  installment  of interest or principal  payable on any Note that is
punctually  paid or duly  provided for by the Issuer on the  applicable  Payment
Date shall be paid to the Person in whose  name such Note is  registered  on the
related  Record Date by wire  transfer  in  immediately  available  funds to the
account  designated by such Person prior to such Record Date, or, in the absence
of any such  designation,  by check mailed to such Person at the address of such
Person  appearing in the Note  Register;  except that the final  installment  of
principal and interest payable with respect to such Note on a Payment Date or on
the applicable  Final Payment Date shall be payable as provided in paragraph (c)
below. The funds  represented by any such checks returned  undelivered  shall be
held in accordance with Section 3.2.

     (c) All principal and interest payments on the Notes shall be made pro rata
to the Registered Owners. The Indenture Trustee shall notify the Person in whose
name a Note is registered at the close of business on the Record Date  preceding
the Payment Date on which it

                                      -11-
<PAGE>

expects  that the final  installment  of  principal of and interest on such Note
will be paid.  Such notice shall be mailed or transmitted by facsimile  prior to
such final  Payment Date and shall specify that such final  installment  will be
payable only upon  presentation and surrender of such Note and shall specify the
place  where such Note may be  presented  and  surrendered  for  payment of such
installment.  Such final  installment  shall be paid only upon  presentation and
surrender of such Note to the Indenture Trustee.

     SECTION 2.7. Cancellation.  All Notes surrendered for payment, registration
of transfer,  exchange or redemption shall be delivered to the Indenture Trustee
and shall be promptly canceled by the Indenture  Trustee.  The Issuer may at any
time deliver to the  Indenture  Trustee for  cancellation  any Notes  previously
authenticated and delivered  hereunder which the Issuer may have acquired in any
manner whatsoever,  and all Notes so delivered shall be promptly canceled by the
Indenture Trustee. No Notes shall be authenticated in lieu of or in exchange for
any Notes canceled as provided in this Section, except as expressly permitted by
this  Indenture.  All canceled Notes may be held or disposed of by the Indenture
Trustee in  accordance  with its  standard  retention  or disposal  policy as in
effect at the time,  unless the Issuer shall direct by an Issuer Order that they
be destroyed or returned to it;  provided,  that such Issuer Order is timely and
the Notes have not been previously disposed of by the Indenture Trustee.

     SECTION 2.8. Release of Collateral. The Indenture Trustee shall not release
property from the lien of this Indenture  except in accordance with the terms of
this Indenture, the Sale and Servicing Agreement and the Custodial Agreement.

     SECTION 2.9.  Restriction on Transfers of Notes.  No sale,  pledge or other
transfer of record or  beneficial  ownership of a Note or any  interest  therein
shall be made unless such transfer is exempt from the registration  requirements
of the Securities  Act, and any applicable  state  securities laws or is made in
accordance  with said  Securities  Act and  laws,  this  Indenture  and the Note
Purchase  Agreement.  The Issuer and the  Indenture  Trustee  shall  require the
transferee  to execute an  investment  letter in the form of Exhibit  B-1 or B-2
hereto  certifying to the Issuer,  the  Indenture  Trustee,  the  Servicer,  the
Depositor and the Seller the facts  surrounding such transfer,  which investment
letter shall not be an expense of any such  Person.  The  Registered  Owner of a
Note desiring to effect such transfer shall, and does hereby agree to, indemnify
the Issuer,  the Indenture Trustee,  the Servicer,  the Depositor and the Seller
against any liability that may result if the transfer is not so exempt or is not
made in accordance with such federal and state laws.

     SECTION 2.10.  Tax Treatment.  The Issuer has entered into this  Indenture,
and the Notes will be issued,  with the intention  that, for federal,  state and
local income, single business and franchise tax purposes, the Notes will qualify
as indebtedness of the Issuer secured by the Collateral. The Issuer, by entering
into this  Indenture,  and each  Registered  Owner, by its acceptance of a Note,
agrees to treat the Notes for federal,  state and local income,  single business
and franchise tax purposes as indebtedness of the Issuer.

                                      -12-
<PAGE>

                                  ARTICLE III.

                                    COVENANTS

     SECTION 3.1.  Payment of Principal and  Interest.  The Issuer will duly and
punctually pay (or will cause to be duly and  punctually  paid) the principal of
and interest,  if any, on the Notes in  accordance  with the terms of the Notes,
this  Indenture  and  the  other  Operative  Documents.   Without  limiting  the
foregoing,  subject to and in accordance  with Section  8.2(b),  on each Payment
Date the Issuer  will cause to be  distributed  to the  Registered  Owners  from
Available  Funds on deposit in the Note  Account all  amounts  required to be so
distributed  pursuant  to the Sale and  Servicing  Agreement.  Amounts  properly
withheld under the Code or any applicable state law by any Person from a payment
to any  Registered  Owner of interest  and/or  principal  shall be considered as
having been paid by the Issuer to such Registered Owner for all purposes of this
Indenture.

     SECTION  3.2.  Money for  Payments  To Be Held in Trust.  All  payments  of
amounts due and payable with respect to any Notes  pursuant to Section 8.2 shall
be made on behalf of the Issuer by the Indenture Trustee or by the Paying Agent,
and no such amounts  shall be paid over to the Issuer except as provided in this
Section 3.2.

     The Issuer  hereby  appoints the Indenture  Trustee as a Paying Agent.  The
Issuer may appoint other Paying Agents from time to time.  Any such other Paying
Agent shall be  appointed by Issuer  Order with  written  notice  thereof to the
Indenture  Trustee.  Any Paying Agent  appointed by the Issuer shall be a Person
who would be eligible to be Indenture  Trustee  hereunder as provided in Section
6.11.  The Issuer shall not appoint any Paying  Agent (other than the  Indenture
Trustee) which is not, at the time of such appointment,  a Designated Depository
Institution.

     The Issuer  will  cause each  Paying  Agent to execute  and  deliver to the
Indenture  Trustee an instrument in which such Paying Agent shall agree with the
Indenture  Trustee (and if the Indenture Trustee acts as Paying Agent, it hereby
so agrees),  subject to the  provisions  of this Section  3.2,  that such Paying
Agent will:

          (i) hold all  sums  held by it for the  payment  of  amounts  due with
     respect  to the Notes in trust for the  benefit  of the  Registered  Owners
     entitled thereto until such sums shall be paid to such Registered Owners or
     otherwise  disposed  of as  herein  provided  and  pay  such  sums  to such
     Registered Owners as herein provided;

          (ii) give the Indenture Trustee notice of any Default by the Issuer of
     which it has actual  knowledge in the making of any payment  required to be
     made with respect to the Notes;

          (iii) at any time during the continuance of any such Default, upon the
     written  request of the Indenture  Trustee,  forthwith pay to the Indenture
     Trustee all sums so held in trust by such Paying Agent;

                                      -13-
<PAGE>

          (iv)  immediately  resign as a Paying Agent and  forthwith  pay to the
     Indenture  Trustee all sums held by it in trust for the payment of Notes if
     at any time it ceases to meet the standards  required to be met by a Paying
     Agent at the time of its appointment;

          (v) comply with all  requirements of the Code or any applicable  state
     law with respect to the  withholding  from any  payments  made by it on any
     Notes of any applicable  withholding taxes imposed thereon and with respect
     to any applicable reporting requirements in connection therewith; and

          (vi) not  commence  a  bankruptcy  proceeding  against  the  Issuer in
     connection with this Indenture.

     The Issuer may at any time,  for the purpose of obtaining the  satisfaction
and discharge of this Indenture or for any other purpose, by Issuer Order direct
any Paying Agent to pay to the Indenture  Trustee all sums held in trust by such
Paying Agent, such sums to be held by the Indenture Trustee upon the same trusts
as those  upon  which  the sums were held by such  Paying  Agent;  and upon such
payment by any Paying Agent to the Indenture Trustee, such Paying Agent shall be
released from all further liability with respect to such money.

     Subject to  applicable  laws with  respect to escheat of funds or abandoned
property,  any money held by the Indenture  Trustee or any Paying Agent in trust
for the  payment  of any  amount  due with  respect  to any  Note and  remaining
unclaimed  for two years after such  amount has become due and payable  shall be
discharged from such trust and be paid to the Issuer on Issuer Request;  and the
Registered  Owner  of  such  Note  shall  thereafter,  as an  unsecured  general
creditor, look only to the Issuer for payment thereof (but only to the extent of
the amounts so paid to the Issuer),  and all liability of the Indenture  Trustee
or such Paying  Agent with  respect to such trust money shall  thereupon  cease;
provided, however, that the Indenture Trustee or such Paying Agent, before being
required to make any such  repayment,  shall at the expense and direction of the
Issuer  cause to be  published  once,  in a newspaper  published  in the English
language,  customarily published on each Business Day and of general circulation
in The City of New York,  notice  that such money  remains  unclaimed  and that,
after a date  specified  therein,  which shall not be less than 30 days from the
date of such  publication,  any unclaimed  balance of such money then  remaining
will be repaid to the Issuer. The Indenture Trustee shall also adopt and employ,
at the  expense  and  direction  of the Issuer,  any other  reasonable  means of
notification of such repayment (including, but not limited to, mailing notice of
such  repayment to  Registered  Owners whose Notes have been called but have not
been  surrendered for redemption or whose right to or interest in moneys due and
payable  but not  claimed is  determinable  from the  records  of the  Indenture
Trustee  or of any  Paying  Agent,  at the last  address of record for each such
Registered Owner).

     SECTION 3.3. Existence.  The Issuer will keep in full effect its existence,
rights  and  franchises  as a  business  trust  under  the laws of the  State of
Delaware  (unless it becomes,  or any successor  Issuer hereunder is or becomes,
organized  under the laws of any other State or of the United States of America,
in which case the Issuer  will keep in full  effect  its  existence,  rights and
franchises  under  the laws of such  other  jurisdiction)  and will  obtain  and
preserve its  qualification  to do business in each  jurisdiction  in which such
qualification   is  or  shall  be   necessary   to  protect  the   validity  and
enforceability of this Indenture, the Notes and the Collateral.

                                      -14-
<PAGE>

     SECTION 3.4. Protection of Collateral.  The Issuer will, from time to time,
execute and  deliver all such  supplements  and  amendments  hereto and all such
financing statements,  continuation statements, instruments of further assurance
and other  instruments,  and will take such other action  necessary or advisable
to:

          (i) provide further  assurance with respect to the Grant of all or any
     portion of the Collateral;

          (ii)  maintain or preserve  the lien and  security  interest  (and the
     priority  thereof)  of this  Indenture  or carry out more  effectively  the
     purposes hereof;

          (iii) perfect,  publish notice of or protect the validity of any Grant
     made or to be made by this Indenture;

          (iv) enforce any rights with respect to the Collateral; and

          (v) preserve and defend title to the  Collateral and the rights of the
     Indenture Trustee in such Collateral  against the claims of all persons and
     parties.

     SECTION  3.5.  Opinions  as to  Collateral.  Once each year  commencing  on
October 1, 2002, the Issuer shall furnish,  to the Indenture  Trustee an Opinion
of Counsel either stating that, in the opinion of such counsel,  such action has
been taken with respect to the recording,  filing,  re-recording and refiling of
this  Indenture,  any  indentures  supplemental  hereto and any other  requisite
documents  and  with  respect  to the  execution  and  filing  of any  financing
statements and continuation  statements as is necessary to maintain the lien and
security  interest  created by this  Indenture  and reciting the details of such
action  or  stating  that in the  opinion  of such  counsel  no such  action  is
necessary to maintain such lien and security  interest.  Such Opinion of Counsel
shall also describe the  recording,  filing,  re-recording  and refiling of this
Indenture,  any indentures supplemental hereto and any other requisite documents
and the  execution  and  filing of any  financing  statements  and  continuation
statements  that will, in the opinion of such  counsel,  be required to maintain
the lien and security  interest of this Indenture during the following  12-month
period.

     SECTION 3.6. Performance of Obligations; Servicing of Receivables.

     (a) The  Issuer  will  not take any  action  and will use its  commercially
reasonable  efforts  not to permit any  action to be taken by others  that would
release any Person from any of such Person's  material  covenants or obligations
under any  instrument  or  agreement  included in the  Collateral  or that would
result in the amendment, hypothecation,  subordination, termination or discharge
of,  or  impair  the  validity  or  effectiveness  of,  any such  instrument  or
agreement,  except  as  expressly  provided  in this  Indenture,  the  Sale  and
Servicing  Agreement,  the  Custodial  Agreement  or such  other  instrument  or
agreement.

     (b) The Issuer may contract  with or  otherwise  obtain the  assistance  of
other Persons to assist it in performing  its duties under this  Indenture,  and
any performance of such duties by a Person  identified to the Indenture  Trustee
in an Officer's  Certificate of the Issuer shall be deemed to be action taken by
the Issuer. Initially, the Issuer has contracted with the Servicer

                                      -15-
<PAGE>

pursuant to the Sale and Servicing  Agreement to assist the Issuer in performing
its duties under this Indenture and the other Operative Documents.

     (c) The Issuer will  punctually  perform and observe all of its obligations
and agreements  contained in this Indenture,  the Operative Documents and in the
instruments and agreements included in the Collateral, including but not limited
to filing or causing to be filed all UCC financing  statements and  continuation
statements  required to be filed by the terms of this Indenture and the Sale and
Servicing Agreement, in accordance with and within the time periods provided for
in this Indenture and/or the Sale and Servicing Agreement, as applicable.

     (d) If the Issuer  shall have  knowledge  of the  occurrence  of a Servicer
Termination  Event  under the Sale and  Servicing  Agreement,  the Issuer  shall
promptly notify the Indenture  Trustee in writing thereof,  and shall specify in
such  notice  the  action,  if any,  the Issuer is taking  with  respect of such
default.

     (e) Without  derogating from the absolute nature of the assignment  granted
to the  Indenture  Trustee  under this  Indenture or the rights of the Indenture
Trustee  hereunder,  the Issuer  agrees (i) that it will not,  without the prior
written consent of the Indenture Trustee and the Registered Owners of at least a
majority  of  the  Outstanding  Amount  of  the  Notes,  amend,  modify,  waive,
supplement,  terminate or surrender,  or agree to any  amendment,  modification,
supplement,  termination,  waiver or surrender  of, the terms of any  Collateral
(except to the extent otherwise provided in the Sale and Servicing  Agreement or
in the  Receivables  Documents)  or the  Operative  Documents,  or waive  timely
performance  or  observance  by the  Servicer  or the Seller  under the Sale and
Servicing  Agreement;  and (ii) that any such amendment  shall not (A) reduce in
any manner the amount of, or  accelerate  or delay the timing of,  distributions
that are  required  to be made for the benefit of the  Registered  Owners or (B)
reduce the aforesaid  percentage of the Notes that is required to consent to any
such  amendment,  without  the  consent  of the  Registered  Owners  of all  the
outstanding  Notes.  If any such amendment,  modification,  supplement or waiver
shall be so consented to by the Indenture Trustee and the Registered Owners, the
Issuer agrees,  promptly  following a request by the Indenture Trustee to do so,
to execute and deliver, in its own name and at its own expense, such agreements,
instruments,  consents  and other  documents as the  Indenture  Trustee may deem
necessary or appropriate in the circumstances.

     SECTION 3.7. Negative Covenants. So long as any Notes are Outstanding,  the
Issuer shall not:

          (i) except as expressly  permitted by this  Indenture,  the  Custodial
     Agreement or the Sale and Servicing Agreement, sell, transfer,  exchange or
     otherwise  dispose  of any of  the  properties  or  assets  of the  Issuer,
     including those included in the Collateral;

          (ii) claim any credit on, or make any deduction  from the principal or
     interest  payable in respect  of, the Notes  (other than  amounts  properly
     withheld from such payments under the Code) or any applicable  state law or
     assert any claim against any present or former  Registered  Owner by reason
     of the  payment  of the  taxes  levied  or  assessed  upon  any part of the
     Collateral;

                                      -16-
<PAGE>

          (iii)  engage in any  business or activity  other than as permitted by
     this Indenture,  Trust Agreement and the other Operative  Documents and any
     activities incidental thereto, or amend the Trust Agreement as in effect on
     the Closing Date other than in accordance with Article XI thereof;

          (iv)  issue  debt  obligations  under any  indenture  other  than this
     Indenture;

          (v) incur or assume, directly or indirectly, any indebtedness,  except
     for such  indebtedness  as may be incurred  by the Issuer  pursuant to this
     Indenture,  or guaranty any indebtedness or other obligations of any Person
     (other than the Receivables),  or own, purchase,  repurchase or acquire (or
     agree contingently to do so) any stock,  obligations,  assets or securities
     of, or any other  interest  in, or make any  capital  contribution  to, any
     other Person (other than the Receivables);

          (vi) dissolve or liquidate in whole or in part or merge or consolidate
     with any other Person;

          (vii) (A) permit the validity or effectiveness of this Indenture to be
     impaired,  or  permit  the  lien  of  this  Indenture  to be  subordinated,
     terminated  or  discharged,  (B) permit any lien,  charge,  excise,  claim,
     security  interest,  mortgage or other encumbrance  (other than the lien of
     this  Indenture)  to be created on or extend to or otherwise  arise upon or
     burden the  Collateral or any part thereof or any interest  therein  (other
     than tax liens, mechanics' liens and other liens that arise by operation of
     law, in each case on any of the Intervals or Units and arising  solely as a
     result of an action or omission  of the related  Obligor) or (C) permit the
     lien of this Indenture not to constitute a valid first priority (other than
     with respect to any Permitted  Lien or such tax,  mechanics' or other lien)
     security interest in the Collateral;

          (viii)  take any  other  action or fail to take any  action  which may
     cause the Issuer to be taxable as (a) an  association  pursuant  to Section
     7701 of the Code and the corresponding  regulations,  (b) a publicly traded
     partnership  taxable as a corporation  pursuant to Section 7704 of the Code
     and the corresponding regulations,  or (c) a taxable mortgage pool pursuant
     to Section 7701(i) of the Code and the corresponding regulations; and

          (ix) change the location of its  principal  place of business  without
     prior  notice to the  Indenture  Trustee and the  Registered  Owners of the
     Notes.

     SECTION 3.8. Annual Statement as to Compliance.  The Issuer will deliver to
the Indenture Trustee,  within 120 days after the end of each fiscal year of the
Issuer  (commencing  with the fiscal year ended on or about March 31, 2002),  an
Officer's  Certificate  stating,  as to  the  Authorized  Officer  signing  such
Officer's Certificate, that:

          (i) a review of the  activities  of the Issuer during such year and of
     its  performance  under this Indenture has been made under such  Authorized
     Officer's supervision; and

          (ii) to the best of such Authorized Officer's knowledge, based on such
     review, the Issuer has complied with all conditions and covenants under the
     Indenture throughout

                                      -17-
<PAGE>

     such year, or, if there has been a default in its compliance  with any such
     condition  or  covenant,   specifying  each  such  default  known  to  such
     Authorized Officer and the nature and status thereof.

     SECTION 3.9.  Covenants of the Issuer.  All covenants of the Issuer in this
Indenture  are  covenants  of the  Issuer  and are not  covenants  of the  Owner
Trustee.  The Owner Trustee is, and any successor  Owner Trustee under the Trust
Agreement will be,  entering into this  Indenture  solely as Owner Trustee under
the Trust  Agreement and not in its respective  individual  capacity,  and in no
case  whatsoever  shall the Owner Trustee or any such successor Owner Trustee be
personally  liable  on, or for any loss in respect  of,  any of the  statements,
representations, warranties or obligations of the Issuer hereunder, as to all of
which the parties hereto agree to look solely to the property of the Issuer.

     SECTION  3.10.  Investment  Company  Act.  The  Issuer  shall not become an
"investment  company" or under the "control" of an "investment  company" as such
terms are  defined in the  Investment  Company  Act of 1940,  as amended (or any
successor  or  amendatory  statute),  and the rules and  regulations  thereunder
(taking into  account not only the general  definition  of the term  "investment
company"  but  also  any  available  exceptions  to  such  general  definition);
provided, however, that the Issuer shall be in compliance with this Section 3.10
if  it  shall  have  obtained  an  order  exempting  it  from  regulation  as an
"investment  company" so long as it is in compliance with the conditions imposed
in such order.

     SECTION  3.11.  Restricted  Payments.  The Issuer  shall not,  directly  or
indirectly,  (i) pay any  dividend or make any  distribution  (by  reduction  of
capital or otherwise),  whether in cash,  property,  securities or a combination
thereof,  to the Owner  Trustee  or any owner of a  beneficial  interest  in the
Issuer or otherwise with respect to any ownership or equity interest or security
in or of the Issuer, the Seller, the Depositor or to the Servicer,  (ii) redeem,
purchase,  retire or  otherwise  acquire for value any such  ownership or equity
interest or security or (iii) set aside or otherwise  segregate  any amounts for
any such purpose;  provided,  however,  that the Issuer may make, or cause to be
made,  payments and  distributions to or on behalf of the Servicer,  the Seller,
the Depositor,  the Indenture Trustee,  the Owner Trustee, the Registered Owners
and the  Certificateholders  as  contemplated  by, and to the  extent  funds are
available  for such  purpose  under,  this  Indenture,  the  Sale and  Servicing
Agreement, the Trust Agreement or the other Operative Documents. The Issuer will
not,  directly  or  indirectly,  make  or  cause  to  be  made  payments  to  or
distributions from the Note Account except in accordance with this Indenture and
the other Operative Documents.

     SECTION 3.12. Treatment of Notes as Debt for Tax Purposes. The Issuer shall
treat the Notes as  indebtedness  for all  federal,  state and local  income and
franchise tax purposes.

     SECTION  3.13.  Notice of Events of  Default.  The  Issuer  shall  give the
Indenture  Trustee  written notice within five Business Days of each Default and
Event of Default of which it obtains  actual  knowledge  and of what  action the
Issuer is taking or proposes to take with respect thereto.

     SECTION 3.14.  Further  Instruments and Acts. Upon request of the Indenture
Trustee,  the Issuer will execute and deliver such  further  instruments  and do
such further acts as

                                      -18-
<PAGE>

may be reasonably  necessary or proper to carry out more effectively the purpose
of this Indenture.

     SECTION  3.15.  Capital  Expenditures.   The  Issuer  shall  not  make  any
expenditure  (by long-term or operating  lease or otherwise)  for capital assets
(either realty or personalty)  except as  contemplated by the Sale and Servicing
Agreement.

                                  ARTICLE IV.

                           SATISFACTION AND DISCHARGE

     SECTION 4.1. Satisfaction and Discharge of Indenture.  This Indenture shall
cease to be of further effect with respect to the Notes (except as to (i) rights
of  registration  of transfer and  exchange,  (ii)  substitution  of  mutilated,
destroyed,  lost or stolen Notes,  (iii) rights of Registered  Owners to receive
payments of principal thereof and interest  thereon,  (iv) Sections 3.2, 3.3 and
3.4 hereof, (v) the rights,  obligations and immunities of the Indenture Trustee
hereunder  (including the rights of the Indenture  Trustee under Section 6.7 and
the obligations of the Indenture  Trustee under Section 4.2) and (vi) the rights
of  Registered  Owners as  beneficiaries  hereof with respect to the property so
deposited  with the Indenture  Trustee  payable to all or any of them),  and the
Indenture Trustee, on demand of and at the expense of the Issuer,  shall execute
proper  instruments  acknowledging  satisfaction and discharge of this Indenture
with respect to the Notes, when all of the following have occurred:

          (A) either

               (1) all Notes theretofore authenticated and delivered (other than
          (i) Notes that have been destroyed,  lost or stolen and that have been
          replaced  or paid as  provided in Section 2.4 and (ii) Notes for whose
          payment money has  theretofore  been  deposited in trust or segregated
          and held in trust by the Issuer and thereafter repaid to the Issuer or
          discharged  from such trust,  as  provided  in Section  3.2) have been
          delivered to the Indenture Trustee for cancellation; or

               (2) all Notes not theretofore  delivered to the Indenture Trustee
          for cancellation, either:

                    (a) have become due and payable, or

                    (b) are to be called  for  redemption  within one year under
               arrangements satisfactory to the Indenture Trustee for the giving
               of notice of redemption by the Indenture Trustee in the name, and
               at the  expense,  of the Issuer,  and the Issuer,  in the case of
               (a.) above, has irrevocably deposited or caused to be irrevocably
               deposited with the Indenture  Trustee cash or direct  obligations
               of or  obligations  guaranteed  by the  United  States of America
               (which will mature prior to the date such  amounts are  payable),
               in trust for such  purpose,  in an amount  sufficient  to pay and
               discharge the entire  indebtedness  on such Notes not theretofore
               delivered to the Indenture  Trustee for cancellation  when due to
               the Final Payment Date;

                                      -19-
<PAGE>

          (B) the date on which  the  Issuer  has paid or  caused to be paid all
     other sums  payable  hereunder  and the other  Operative  Documents  by the
     Issuer; and

          (C) the Issuer has  delivered  to the  Indenture  Trustee an Officer's
     Certificate  and  an  Opinion  of  Counsel,  each  meeting  the  applicable
     requirements  of Section 11.1 and,  subject to Section  11.2,  each stating
     that  all  conditions   precedent  herein  provided  for  relating  to  the
     satisfaction and discharge of this Indenture have been complied with.

     SECTION 4.2.  Application  of Trust Money.  All moneys  deposited  with the
Indenture Trustee pursuant to Sections 3.2 and 4.3 hereof shall be held in trust
and  applied  by it,  in  accordance  with the  provisions  of the  Notes,  this
Indenture,  the Sale and  Servicing  Agreement and the Trust  Agreement,  to the
payment,  either directly or through any Paying Agent, as the Indenture  Trustee
may determine,  to the  Registered  Owners of the Notes for the payment of which
such moneys have been deposited with the Indenture Trustee,  of all sums due and
to become due thereon for principal  and  interest;  but such moneys need not be
segregated  from other funds except to the extent required herein or in the Sale
and Servicing Agreement or required by law.

     SECTION 4.3.  Repayment of Moneys Held by Paying Agent.  In connection with
the  satisfaction  and discharge of this Indenture,  all moneys then held by any
Paying  Agent other than the  Indenture  Trustee  under the  provisions  of this
Indenture with respect to the Notes shall, upon demand of the Issuer, be paid to
the  Indenture  Trustee to be held and  applied  according  to  Section  3.2 and
thereupon  such Paying Agent shall be released from all further  liability  with
respect to such moneys.

                                   ARTICLE V.

                                    REMEDIES

     SECTION 5.1. Events of Default.  "Event of Default,"  wherever used herein,
means any one of the  following  events  (whatever  the reason for such Event of
Default  and  whether it shall be  voluntary  or  involuntary  or be effected by
operation  of law or pursuant to any  judgment,  decree or order of any court or
any order, rule or regulation of any administrative or governmental body):

     (a)  default  in the  payment  of any  Current  Interest  on any Note which
continues  unremedied  for a period of two  Business Day after the date when the
same becomes due and payable; or

     (b) default in the payment of the  principal of or any  installment  of the
principal of any Note (other than due to a Borrowing Base  Deficiency  resulting
from a reduction in the Borrowing Base  Percentage)  which continues  unremedied
for a period of two  Business  Day after the date when the same  becomes due and
payable; or

     (c) default in the  observance or  performance of any covenant or agreement
of the Issuer made in this  Indenture  (other than a covenant  or  agreement,  a
default in the  observance or  performance of which is elsewhere in this Section
5.1  specifically  dealt with) or the  Issuer,  the Seller,  the  Servicer,  the
Depositor or the Club Trustee in the Sale and Servicing Agreement or

                                      -20-
<PAGE>

the other Operative Documents,  or any representation or warranty of the Issuer,
the  Seller,  the  Servicer,  the  Depositor  or the Club  Trustee  made in this
Indenture,  the Sale and Servicing Agreement or the other Operative Documents or
in any certificate or other writing  delivered  pursuant hereto or in connection
herewith  proving to have been incorrect in any material  respect as of the time
when the same shall have been made, and shall  continue or not be cured,  or the
circumstance or condition in respect of which such misrepresentation or warranty
was incorrect shall not have been eliminated or otherwise cured, for a period of
10 days after there shall have been given,  by registered or certified  mail, to
the Issuer and the  Servicer  by the  Indenture  Trustee or to the  Issuer,  the
Servicer and the Indenture Trustee by the Registered Owners of a majority of the
Outstanding Amount of the Notes or the Agent on behalf of the Registered Owners,
a written notice specifying such default or incorrect representation or warranty
and  requiring  it to be remedied  and  stating  that such notice is a notice of
Default hereunder; or

     (d)  the  filing  of a  decree  or  order  for  relief  by a  court  having
jurisdiction  in the  premises  in respect any of the  Issuer,  the Seller,  the
Servicer,  the  Depositor  or the Club  Trustee or any  substantial  part of the
Collateral  in an  involuntary  case  under  any  applicable  federal  or  state
bankruptcy,  insolvency  or other  similar law now or  hereafter  in effect,  or
appointing a receiver, liquidator, assignee, custodian, trustee, sequestrator or
similar official of any of the Issuer, the Seller,  the Servicer,  the Depositor
or the Club Trustee or for any substantial  part of the Collateral,  or ordering
the winding-up or liquidation of such Person's affairs, and such decree or order
shall remain unstayed and in effect for a period of 60 consecutive days; or

     (e) the commencement by the Issuer, the Seller, the Servicer, the Depositor
or the Club Trustee of a voluntary  case under any  applicable  federal or state
bankruptcy,  insolvency or other similar law now or hereafter in effect,  or the
consent by the Issuer,  the Seller,  the  Servicer,  the  Depositor  or the Club
Trustee  to the entry of an order for  relief in an  involuntary  case under any
such law, or the consent by such Person to the appointment or taking  possession
by a receiver, liquidator, assignee, custodian, trustee, sequestrator or similar
official of such Person or for any substantial  part of the  Collateral,  or the
making by the Issuer,  the  Seller,  the  Servicer,  the  Depositor  or the Club
Trustee of any general  assignment for the benefit of creditors,  or the failure
by the Issuer,  the Seller,  the  Servicer,  the  Depositor  or the Club Trustee
generally to pay its debts as such debts become due, or the taking of any action
by the Issuer,  the Seller,  the Servicer,  the Depositor or the Club Trustee in
furtherance of any of the foregoing; or

     (f) the Issuer becomes subject to regulation  under the Investment  Company
Act of 1940, as amended; or

     (g) a Servicer  Termination  Event shall have  occurred  and be  continuing
(other than  pursuant to Section  6.1(a)(viii)  or (x) of the Sale and Servicing
Agreement; or

     (h) a Borrowing Base Deficiency (other than a Borrowing Base Deficiency due
to a reduction in the Borrowing Base  Percentage)  shall exist for more than two
Business Day after any Determination Date; or

     (i) on any Determination  Date, (A) the 3 month rolling average Delinquency
Ratio  (Pledged)  exceeds 8.0% or (B) the 3 month rolling  average Default Ratio
(Pledged) exceeds 10.0%;

                                      -21-
<PAGE>

     (j) the  Indenture  Trustee shall fail to have a first  priority  perfected
security interest in the Trust Estate subject to Permitted Liens.

     SECTION 5.2.  Acceleration  of Maturity;  Rescission and  Annulment.  If an
Event of Default should occur and be continuing, the Indenture Trustee shall, at
the direction of the  Registered  Owners of Notes  representing  not less than a
majority of the Outstanding Amount,  declare all the Notes to be immediately due
and payable and the Commitments terminated, by a notice in writing to the Issuer
and to the  Servicer  (and to the  Indenture  Trustee  if  given  by  Registered
Owners),  and upon any such  declaration  the  unpaid  principal  amount of such
Notes,  together with accrued and unpaid  interest  thereon  through the date of
acceleration, shall become immediately due and payable.

     At any time after such  declaration  of  acceleration  of maturity (and the
termination  of the  Commitments)  with  respect to an Event of Default has been
made and  before a  judgment  or decree  for  payment  of the money due has been
obtained by the  Indenture  Trustee as  hereinafter  provided in this  Article V
provided,  the  Registered  Owners  of  Notes  representing  a  majority  of the
Outstanding  Amount  by  written  notice to the  Issuer,  the  Servicer  and the
Indenture Trustee,  may waive the related Event of Default and rescind and annul
such declaration and its consequences if:

     (a) the  Issuer  has paid or  deposited  with the  Indenture  Trustee a sum
sufficient to pay:

          (i) all  payments of  principal  of and  interest on all Notes and all
     other  amounts  that would then be due  hereunder or upon such Notes if the
     Event of Default giving rise to such acceleration had not occurred; and

          (ii) all sums paid or advanced by the Indenture  Trustee hereunder and
     the reasonable out-of-pocket,  expenses,  disbursements and advances of the
     Indenture Trustee and its agents and counsel; and

     (b) all Events of Default,  other than the  nonpayment  of the principal of
the Notes that has become  due solely by such  acceleration,  have been cured or
waived as provided in Section 5.12.

     No such rescission shall affect any subsequent  default or impair any right
consequent thereto.

     SECTION  5.3.  Collection  of  Indebtedness  and Suits for  Enforcement  by
Indenture Trustee.

     (a) The Issuer  covenants that if (i) default is made in the payment of any
interest on any Note when the same  becomes due and  payable,  and such  default
continues for beyond any applicable grace period, or (ii) default is made in the
payment of the principal of or any installment of the principal of any Note when
the same becomes due and payable,  the Issuer will, upon demand of the Indenture
Trustee,  pay to the Indenture Trustee, for the benefit of the Registered Owners
of the Notes,  the whole amount then due and payable on such Notes for principal
and  interest,  with  interest  upon the  overdue  principal  and, to the extent
payment at such

                                      -22-
<PAGE>

rate of interest  shall be legally  enforceable,  upon overdue  installments  of
interest at the rate borne by the Notes and in  addition  thereto  such  further
amount as shall be  sufficient  to cover the costs and  expenses of  collection,
including the reasonable out-of-pocket,  expenses, disbursements and advances of
the Indenture Trustee and its agents and counsel.

     (b) In case the Issuer  shall fail  forthwith to pay such amounts upon such
demand, the Indenture  Trustee,  in own name and as trustee of an express trust,
may, in its discretion,  and shall at the direction of the Registered  Owners of
the Notes  representing  a  majority  of the  Outstanding  Amount,  institute  a
Proceeding for the  collection of the sums so due and unpaid,  and may prosecute
such  Proceeding to judgment or final  decree,  and may enforce the same against
the Issuer or other  obligor upon such Notes and collect in the manner  provided
by law out of the  property  of the  Issuer or other  obligor  upon such  Notes,
wherever situated, the moneys adjudged or decreed to be payable.

     Anything  herein  to the  contrary  notwithstanding,  except  as  expressly
provided  in the  Operative  Documents,  none of the  Issuer  in its  individual
capacity,  the Owner Trustee in its individual capacity,  the Indenture Trustee,
any owner of a  beneficial  interest in the Issuer,  or any of their  respective
partners, beneficiaries, agents, officers, directors, employees or successors or
assigns shall be personally liable for, nor shall recourse be had to any of them
for, the payment of principal of or interest on any Note or  performance  of, or
omission to  perform,  any of the  covenants,  obligations  or  indemnifications
contained in this Indenture.  Each Registered  Owner of a Note by its acceptance
thereof agrees that, except as expressly provided in the Operative Documents, in
the case of an Event of Default  under this  Indenture,  such  Registered  Owner
shall have no claim  against any of the foregoing  for any  deficiency,  loss or
claim therefrom; provided, however, that nothing contained herein shall be taken
to prevent  recourse to, and enforcement  against,  the assets of the Issuer for
any  and  all  liabilities,  obligations  and  undertakings  contained  in  this
Indenture or in any Note.

     (c) If an Event of Default occurs and is continuing,  the Indenture Trustee
may, in its discretion,  and shall at the direction of the Registered  Owners of
the  Notes   representing  a  majority  of  the  Outstanding   Amount,  as  more
particularly  provided in Section 5.4, proceed to protect and enforce its rights
and the rights of the Registered Owners, by such appropriate  Proceedings as the
Indenture  Trustee  shall deem most  effective  to protect  and enforce any such
rights,  whether for the  specific  enforcement  of any covenant or agreement in
this Indenture or any other Operative  Document or in aid of the exercise of any
power  granted  herein,  or to  enforce  any  other  proper  remedy  or legal or
equitable  right vested in the Indenture  Trustee by this Indenture or any other
Operative Document or by law.

     (d) In case there  shall be  pending,  relative  to the Issuer or any other
obligor upon the Notes or any Person having or claiming an ownership interest in
the  Collateral,  Proceedings  under  Title 11 of the United  States Code or any
other applicable  federal or state bankruptcy,  insolvency or other similar law,
or in case a receiver,  assignee  or trustee in  bankruptcy  or  reorganization,
liquidator,  sequestrator  or similar  official shall have been appointed for or
taken  possession of the Issuer or its property or such other obligor or Person,
or in case of any other comparable judicial  Proceedings  relative to the Issuer
or other  obligor upon the Notes,  or to the creditors or property of the Issuer
or such other  obligor,  the  Indenture  Trustee,  irrespective  of whether  the
principal of any Notes shall then be due and payable as therein  expressed or by

                                      -23-
<PAGE>

declaration or otherwise and irrespective of whether the Indenture Trustee shall
have made any  demand  pursuant  to the  provisions  of this  Section,  shall be
entitled and empowered, by intervention in such Proceedings or otherwise:

          (i) to file and  prove a claim  or  claims  for the  whole  amount  of
     principal and interest owing and unpaid in respect of the Notes and to file
     such other papers or documents as may be necessary or advisable in order to
     have  the  claims  of  the  Indenture  Trustee  (including  any  claim  for
     reasonable   compensation  to  the  Indenture  Trustee,   each  predecessor
     Indenture Trustee, and their respective agents,  attorneys and counsel, and
     for  reimbursement  of all  expenses  and  liabilities  incurred,  and  all
     advances  made, by the  Indenture  Trustee and each  predecessor  Indenture
     Trustee  (except  as a result  of  negligence  or bad  faith)),  and of the
     Registered Owners allowed in such Proceedings;

          (ii) unless  prohibited by applicable law and regulations,  to vote on
     behalf of the  Registered  Owners of Notes in any election of a trustee,  a
     standby  trustee  or  Person  performing  similar  functions  in  any  such
     Proceedings;

          (iii) to collect and receive any moneys or other  property  payable or
     deliverable on any such claims and to distribute all amounts  received with
     respect to the claims of the Registered Owners and the Indenture Trustee on
     their behalf;

          (iv) to file such proofs of claim and other papers or documents as may
     be  necessary  or  advisable  in order to have the claims of the  Indenture
     Trustee  or  the  Registered  Owners  of  Notes  allowed  in  any  judicial
     proceedings relative to the Issuer, its creditors and its property; and

          (v) any trustee,  receiver,  liquidator,  custodian  or other  similar
     official  in any  such  Proceeding  is  hereby  authorized  by each of such
     Registered  Owners to make  payments to the  Indenture  Trustee and, in the
     event that the  Indenture  Trustee  shall consent to the making of payments
     directly to such Registered  Owners,  to pay to the Indenture  Trustee such
     amounts as shall be  sufficient  to cover  reasonable  compensation  to the
     Indenture Trustee,  each predecessor Indenture Trustee and their respective
     agents,  attorneys  and counsel,  and all other  expenses  and  liabilities
     incurred,  and  all  advances  made,  by the  Indenture  Trustee  and  each
     predecessor  Indenture  Trustee  except  as a result of  negligence  or bad
     faith.

     (e) Nothing  herein  contained  shall be deemed to authorize  the Indenture
Trustee to  authorize  or consent to or vote for or accept or adopt on behalf of
any  Registered  Owner any plan of  reorganization,  arrangement,  adjustment or
composition affecting the Notes or the rights of any Registered Owner thereof or
to  authorize  the  Indenture  Trustee  to vote in  respect  of the claim of any
Registered Owner in any such proceeding  except,  as aforesaid,  to vote for the
election of a trustee in bankruptcy or similar Person.

     (f) All rights of action and of asserting  claims under this Indenture,  or
under any of the Notes,  may be enforced by the  Indenture  Trustee  without the
possession of any of the Notes or the  production  thereof in any trial or other
Proceedings relative thereto,  and any such action or Proceedings  instituted by
the Indenture  Trustee shall be brought in its own name as trustee of an express
trust,  and any  recovery of judgment,  subject to the payment of the  expenses,

                                      -24-
<PAGE>

disbursements  and  compensation  of the  Indenture  Trustee,  each  predecessor
Indenture  Trustee and their respective  agents and attorneys,  shall be for the
ratable benefit of the Registered Owners of the Notes.

     (g) In any  Proceedings  brought  by the  Indenture  Trustee  (and also any
Proceedings  involving the  interpretation of any provision of this Indenture to
which the Indenture  Trustee shall be a party),  the Indenture  Trustee shall be
held to represent all the  Registered  Owners,  and it shall not be necessary to
make any Registered Owner a party to any such Proceedings.

     SECTION 5.4. Remedies; Priorities.

     (a) If an Event of  Default  shall have  occurred  and be  continuing,  the
Indenture  Trustee may, and at the  direction  of the  Registered  Owners of the
Notes  representing a majority of the Outstanding  Amount shall, upon receipt of
satisfactory  indemnity and  assurances  (an unsecured  indemnity of the initial
Registered  Owner  being  sufficient  for such  purpose),  do one or more of the
following (subject to Section 5.5):

          (i) institute Proceedings in its own name and as trustee of an express
     trust for the  collection of all amounts then payable on the Notes or under
     this Indenture or any other Operative  Document,  whether by declaration or
     otherwise,  enforce any judgment obtained,  and collect any moneys adjudged
     due;

          (ii)  institute  Proceedings  from  time to time for the  complete  or
     partial foreclosure of this Indenture with respect to the Collateral;

          (iii)  exercise any remedies of a secured party under the UCC and take
     any other appropriate action to protect and enforce the rights and remedies
     of the Indenture Trustee or the Registered Owners; and

          (iv) sell,  securitize or otherwise  dispose of the  Collateral or any
     portion thereof or rights or interests therein in a commercially reasonable
     manner,  at one or more public or private sales called and conducted in any
     manner permitted by law.

     (b) If the  Indenture  Trustee  collects any money or property  pursuant to
this  Article V, it shall pay out the money or property in the order of priority
set forth in Section 3.2 of the Sale and Servicing Agreement.

     The  Indenture  Trustee  may fix a  record  date and  payment  date for any
payment to be made to the Registered  Owners pursuant to this Section.  At least
15 days  before such  record  date,  the  Indenture  Trustee  shall mail to each
Registered  Owner and the  Issuer a notice  that  states the  record  date,  the
payment date and the amount to be paid.

     SECTION 5.5.  Optional  Preservation of the  Collateral.  If the Notes have
been  declared to be due and payable  under  Section 5.2  following  an Event of
Default and such  declaration and its  consequences  have not been rescinded and
annulled,  the Indenture Trustee may, but need not, elect to maintain possession
of the  Collateral.  It is the desire of the parties  hereto and the  Registered
Owners that there be at all times  sufficient funds for the payment of principal
of and interest on the Notes,  and the Indenture  Trustee shall take such desire
into

                                      -25-
<PAGE>

account  when  determining   whether  or  not  to  maintain  possession  of  the
Collateral. In determining whether to maintain possession of the Collateral, the
Indenture  Trustee  may,  but need not,  obtain  and rely upon an  opinion of an
Independent  investment banking or accounting firm of national  reputation as to
the  feasibility  of  such  proposed  action  and as to the  sufficiency  of the
Collateral for such purpose.

     SECTION 5.6.  Limitation of Suits.  No  Registered  Owner of any Note shall
have any right to institute any Proceeding,  judicial or otherwise, with respect
to this  Indenture,  the Sale or  Servicing  Agreement  or any  other  Operative
Document  (other than the Note Purchase  Agreement) or for the  appointment of a
receiver or trustee, or for any other remedy hereunder, unless:

     (a) such  Registered  Owner  has  previously  given  written  notice to the
Indenture Trustee of a continuing Event of Default;

     (b) the Registered Owners of a majority of the Outstanding Amount have made
written request to the Indenture Trustee to institute such Proceeding in respect
of such Event of Default in its own name as Indenture Trustee hereunder;

     (c)  such  Registered  Owner  or  Registered  Owners  have  offered  to the
Indenture  Trustee  reasonable   indemnity  against  the  costs,   expenses  and
liabilities  to be  incurred  in  complying  with  such  request  (an  unsecured
indemnity of the initial Registered Owner being sufficient for such request);

     (d) the  Indenture  Trustee for 60 days after its  receipt of such  notice,
request and offer of indemnity has failed to institute such Proceedings; and

     (e) no direction  inconsistent  with such written request has been given to
the Indenture  Trustee during such 60-day period by the  Registered  Owners of a
majority of the Outstanding Amount.

     It is  understood  and intended  that no one or more  Registered  Owners of
Notes  shall have any right in any manner  whatever by virtue of, or by availing
of, any provision of this Indenture or any other  Operative  Document to affect,
disturb or prejudice  the rights of any other  Registered  Owners of Notes or to
obtain or to seek to obtain  priority or  preference  over any other  Registered
Owners or to enforce  any right  under  this  Indenture  or any other  Operative
Document, except in the manner herein provided.

     In  the  event  the  Indenture   Trustee  shall  receive   conflicting   or
inconsistent requests and indemnity from two or more groups of Registered Owners
of Notes, each representing less than a majority of the Outstanding  Amount, the
Indenture  Trustee in its sole  discretion  may determine  what action,  if any,
shall be taken,  notwithstanding  any other  provisions of this Indenture or any
other Operative Document.

     SECTION 5.7. Unconditional Rights of Registered Owners To Receive Principal
and  Interest.  Notwithstanding  any other  provisions  in this  Indenture,  the
Registered  Owner of any  Note  shall  have the  right,  which is  absolute  and
unconditional,  to receive payment of the principal of and interest,  if any, on
such Note on or after the Final Payment Date and following

                                      -26-
<PAGE>

an Event of  Default  and to  institute  suit  for the  enforcement  of any such
payment,  and such  right  shall not be  impaired  without  the  consent of such
Registered Owner.

     SECTION 5.8.  Restoration of Rights and Remedies.  If the Indenture Trustee
or any  Registered  Owner has  instituted any Proceeding to enforce any right or
remedy  under  this  Indenture  and such  Proceeding  has been  discontinued  or
abandoned  for any  reason or has been  determined  adversely  to the  Indenture
Trustee or to such Registered Owner, then and in every such case the Issuer, the
Indenture Trustee and the Registered Owners shall,  subject to any determination
in such  Proceeding,  be restored  severally  and  respectively  to their former
positions  hereunder,  and  thereafter  all rights and remedies of the Indenture
Trustee and the Registered  Owners shall  continue as though no such  Proceeding
had been instituted.

     SECTION 5.9. Rights and Remedies  Cumulative.  No right or remedy herein or
in any other  Operative  Document  conferred  upon or reserved to the  Indenture
Trustee or to the  Registered  Owners is intended to be  exclusive  of any other
right or remedy,  and every right and remedy shall,  to the extent  permitted by
law,  be  cumulative  and in  addition  to every  other  right and remedy  given
hereunder or now or  hereafter  existing at law or in equity or  otherwise.  The
assertion  or  employment  of any  right  or  remedy  hereunder,  thereunder  or
otherwise, shall not prevent the concurrent assertion or employment of any other
appropriate right or remedy.

     SECTION 5.10.  Delay or Omission Not a Waiver.  No delay or omission of the
Indenture  Trustee or any Registered  Owner of any Note to exercise any right or
remedy accruing upon any Default or Event of Default shall impair any such right
or remedy or  constitute  a waiver of any such Default or Event of Default or an
acquiescence  therein.  Every right and remedy  given by this  Indenture  or any
other Operative Document or by law to the Indenture Trustee or to the Registered
Owners  may be  exercised  from  time to time,  and as  often  as may be  deemed
expedient, by the Indenture Trustee or by the Registered Owners, as the case may
be.

     SECTION 5.11.  Control by Registered  Owners.  The  Registered  Owners of a
majority  of the  Outstanding  Amount  shall  have the right to direct the time,
method and place of conducting any  Proceeding  for any remedy  available to the
Indenture  Trustee  with respect to the Notes or  exercising  any trust or power
conferred on the Indenture Trustee; provided that:

     (a) such  direction  shall not be in conflict  with any rule of law or with
this Indenture;

     (b) any  direction  to the  Indenture  Trustee  to sell  or  liquidate  the
Collateral  shall be by Registered  Owners of Notes  representing  not less than
100% of the Outstanding Amount;

     (c) if the  conditions set forth in Section 5.5 have been satisfied and the
Indenture Trustee elects to retain the Collateral pursuant to such Section, then
any  direction  to  the  Indenture   Trustee  by  Registered   Owners  of  Notes
representing  less than 100% of the Outstanding  Amount to sell or liquidate the
Collateral shall be of no force and effect; and

     (d) the  Indenture  Trustee may take any other action  deemed proper by the
Indenture Trustee that is not inconsistent with such direction.

     Notwithstanding  the  rights  of the  Registered  Owners  set forth in this
Section,  subject to Section 6.1, the Indenture Trustee need not take any action
that it determines might involve it in

                                      -27-
<PAGE>

liability  or might  materially  adversely  affect the rights of any  Registered
Owners not consenting to such action.

     Notwithstanding  anything  contained herein to the contrary,  the Indenture
Trustee  shall not be bound to,  obligated or required to take any action at the
request or direction of any Registered  Owner pursuant to this Indenture if such
Registered  Owner  shall  not have  made  available  to the  Indenture  Trustee,
security or indemnity reasonably acceptable to the Indenture Trustee against the
costs,  expenses and  liabilities  (including fee and expenses of its agents and
counsel) which might be incurred by it in compliance with the written request or
direction.

     SECTION  5.12.  Waiver of Past  Defaults.  The  Registered  Owners of Notes
representing 100% of the Outstanding  Amount may waive any past Default or Event
of Default and its consequences. In the case of any such waiver, the Issuer, the
Indenture  Trustee and the  Registered  Owners of the Notes shall be restored to
their former positions and rights  hereunder,  respectively;  but no such waiver
shall extend to any  subsequent or other Default or impair any right  consequent
thereto.

     Upon any such waiver,  such  Default  shall cease to exist and be deemed to
have been  cured and not to have  occurred,  and any  Event of  Default  arising
therefrom shall be deemed to have been cured and not to have occurred, for every
purpose of this Indenture and each other Operative Document;  but no such waiver
shall extend to any  subsequent  or other  Default or Event of Default or impair
any right consequent thereto.

     SECTION 5.13.  Undertaking for Costs.  All parties to this Indenture agree,
and each  Registered  Owner of any Note by such  Registered  Owner's  acceptance
thereof  shall be deemed to have  agreed,  that any court may in its  discretion
require,  in any suit for the  enforcement  of any  right or remedy  under  this
Indenture,  or in any suit against the  Indenture  Trustee for any action taken,
suffered or omitted by it as Indenture Trustee, the filing by any party litigant
in such  suit of an  undertaking  to pay the costs of such  suit,  and that such
court  may in its  discretion  assess  reasonable  costs,  including  reasonable
attorneys' fees,  against any party litigant in such suit,  having due regard to
the merits and good faith of the claims or defenses made by such party litigant;
but the provisions of this Section shall not apply to (a) any suit instituted by
the Indenture Trustee, (b) any suit instituted by any Registered Owner, or group
of Registered Owners, in each case holding in the aggregate more than 10% of the
Outstanding  Amount or (c) any suit  instituted by any Registered  Owner for the
enforcement  of the payment of  principal of or interest on any Note on or after
the respective due dates expressed in such Note and in this Indenture.

     SECTION 5.14.  Waiver of Stay or Extension  Laws. The Issuer  covenants (to
the extent that it may lawfully do so) that it will not at any time insist upon,
or plead or in any manner whatsoever, claim or take the benefit or advantage of,
any stay or extension  law  wherever  enacted,  now or at any time  hereafter in
force,  that may affect the covenants or the performance of this Indenture;  and
the Issuer (to the extent that it may  lawfully do so) hereby  expressly  waives
all benefit or advantage of any such law, and covenants that it will not hinder,
delay or impede the  execution  of any power  herein  granted  to the  Indenture
Trustee,  but will suffer and permit the execution of every such power as though
no such law had been enacted.

                                      -28-
<PAGE>

     SECTION 5.15.  Action on Notes.  The Indenture  Trustee's right to seek and
recover  judgment on the Notes or under this  Indenture  or any other  Operative
Document  shall not be affected by the seeking,  obtaining or application of any
other  relief under or with  respect to this  Indenture  or any other  Operative
Document.  Neither the lien of this  Indenture nor any rights or remedies of the
Indenture  Trustee or the Registered Owners shall be impaired by the recovery of
any judgment by the Indenture  Trustee  against the Issuer or by the levy of any
execution  under such judgment upon any portion of the Collateral or upon any of
the assets of the  Issuer.  Any money or  property  collected  by the  Indenture
Trustee shall be applied in accordance with Section 5.4(b).

     SECTION 5.16. Performance and Enforcement of Certain Obligations.

     (a) Promptly  following a request from the Indenture  Trustee to do so, the
Issuer shall take all such lawful action as the Indenture Trustee may request to
compel or secure the performance and observance by the Depositor, the Seller and
the Servicer, as applicable, of each of their obligations to the Issuer under or
in connection with the Sale and Servicing  Agreement and to exercise any and all
rights,  remedies,  powers and privileges lawfully available to the Issuer under
or in connection  with the Sale and Servicing  Agreement or any other  Operative
Document  to the extent and in the manner  directed  by the  Indenture  Trustee,
including the  transmission  of notices of default on the part of the Depositor,
the  Seller  or  the  Servicer  thereunder  and  the  institution  of  legal  or
administrative  actions or  proceedings  to compel or secure  performance by the
Depositor,  the Seller or the  Servicer of each of their  obligations  under the
Sale and Servicing Agreement and the other Operative Documents.

     (b) If an Event of Default has occurred and is  continuing,  the  Indenture
Trustee may, and at the written direction of the Registered Owners of 66-2/3% of
the Outstanding Amount shall, exercise all rights, remedies,  powers, privileges
and claims of the Issuer against the Depositor, the Seller or the Servicer under
or in connection  with the Sale and Servicing  Agreement and the other Operative
Documents  including  the right or power to take any  action to compel or secure
performance or observance by the Depositor,  the Seller or the Servicer,  as the
case may be, of each of their  obligations to the Issuer  thereunder and to give
any consent,  request, notice, direction,  approval,  extension, or waiver under
the Sale and Servicing  Agreement or any other Operative  Document and any right
of the Issuer to take such action shall be suspended.

                                  ARTICLE VI.

                              THE INDENTURE TRUSTEE

     SECTION 6.1. Duties of Indenture Trustee.

     (a) If an Event of Default of which a Responsible  Officer of the Indenture
Trustee  shall  have  actual  knowledge  has  occurred  and is  continuing,  the
Indenture  Trustee  shall  exercise  the rights and powers  vested in it by this
Indenture  and use the same  degree  of care and  skill in their  exercise  as a
prudent person would exercise or use under the  circumstances  in the conduct of
such person's own affairs.

                                      -29-
<PAGE>

     (b) Except during the continuance of an Event of Default:

          (i) the Indenture  Trustee  undertakes to perform such duties and only
     such duties as are  specifically set forth in this Indenture and no implied
     covenants  or  obligations  shall be read into this  Indenture  against the
     Indenture Trustee; and

          (ii) in the absence of bad faith on its part,  the  Indenture  Trustee
     may  conclusively  rely,  as  to  the  truth  of  the  statements  and  the
     correctness  of the  opinions  expressed  therein,  upon  certificates  (or
     similar  documents)  or opinions  furnished  to the  Indenture  Trustee and
     conforming to the  requirements of this Indenture;  however,  the Indenture
     Trustee shall examine the certificates (or similar  documents) and opinions
     to  determine  whether  or not they  conform  to the  requirements  of this
     Indenture; provided that the Indenture Trustee shall not be responsible for
     the accuracy or content of any certificate (or similar document) or opinion
     furnished to it pursuant to the terms of this Indenture.

     (c) The Indenture  Trustee may not be relieved  from  liability for its own
negligent  action,  its  own  negligent  failure  to  act  or  its  own  willful
misconduct, except that:

          (i) this  paragraph does not limit the effect of paragraph (b) of this
     Section;

          (ii) the  Indenture  Trustee  shall  not be  liable  for any  error of
     judgment  made in good faith by a Responsible  Officer  unless it is proved
     that the  Indenture  Trustee was  negligent in  ascertaining  the pertinent
     facts; and

          (iii) the  Indenture  Trustee  shall not be liable with respect to any
     action  it  takes  or omits  to take in good  faith  in  accordance  with a
     direction  received  by it pursuant to Section  5.11 or for  exercising  or
     omitting  to  exercise  any  trust or power  conferred  upon the  Indenture
     Trustee under this Indenture.

     (d)  Every  provision  of this  Indenture  that in any way  relates  to the
Indenture  Trustee  is  subject  to  paragraphs  (a),  (b),  (c) and (g) of this
Section.

     (e) The  Indenture  Trustee  shall not be liable for  interest on any money
received by it except to the extent of income or other gain on investments which
are  deposits  in or  certificates  of deposit of the  Indenture  Trustee in its
commercial  capacity.  In no event shall the Indenture Trustee be liable for the
selection of investments or for investment losses incurred thereon.

     (f) Money held in trust by the Indenture  Trustee shall be segregated  from
other funds except to the extent permitted by law or the terms of this Indenture
or the Sale and Servicing Agreement.

     (g) No provision of this Indenture  shall require the Indenture  Trustee to
expend or risk its own  funds or  otherwise  incur  financial  liability  in the
performance  of any of its duties  hereunder  or in the  exercise  of any of its
rights or powers, if it shall have reasonable  grounds to believe that repayment
of such  funds or  adequate  indemnity  against  such risk or  liability  is not
reasonably assured to it. In determining that such repayment or indemnity is not
reasonably  assured to it, the  Indenture  Trustee  must  consider  not only the
likelihood  of repayment or

                                      -30-
<PAGE>

indemnity by or on behalf of the Issuer but also the  likelihood of repayment or
indemnity  from amounts  payable to it from the  Collateral  pursuant to Section
5.4.

     (h) The  Indenture  Trustee is  authorized  and directed to enter into that
certain  lockbox  agreement  (the  "Lock-Box  Agreement"),  among the  Indenture
Trustee, Bluegreen and Fleet Bank with respect to Lock-Box Account No. specified
therein  (the  "Lock-Box  Account").  Pursuant to the  Lock-Box  Agreement,  the
Lock-Box   Account  will  be  titled  as  follows  "U.S.   Bank  Trust  National
Association, as Indenture Trustee, in trust for the benefit of the Noteholders".
The Indenture  Trustee is authorized  and directed to act as title holder of the
Lock-Box Account in accordance with the terms of the Lock-Box  Agreement for the
benefit  of the  Noteholders  with  interests  in the funds on  deposit  in such
accounts.

     SECTION 6.2. Rights of Indenture Trustee.

     (a) The Indenture Trustee may conclusively rely on any document believed by
it to be genuine and to have been signed or presented by the proper Person.  The
Indenture  Trustee  need  not  investigate  any  fact or  matter  stated  in the
document.

     (b) Before the  Indenture  Trustee  acts or refrains  from  acting,  it may
require an Officer's Certificate or an Opinion of Counsel, which shall not be at
the expense of the Indenture Trustee.  The Indenture Trustee shall not be liable
for any  action  it  takes or omits  to take in good  faith  in  reliance  on an
Officer's Certificate or Opinion of Counsel.

     (c) The Indenture Trustee may execute any of the trusts or powers hereunder
or perform  any duties  hereunder  either  directly  or by or through  agents or
attorneys  or a custodian  or nominee  and the  Indenture  Trustee  shall not be
responsible  for any  misconduct  or negligence on the part of any such agent or
attorney or custodian appointed by the Indenture Trustee with due care.

     (d) The  Indenture  Trustee  shall not be liable for any action it takes or
omits to take in good faith  which it believes  to be  authorized  or within its
rights or  powers;  provided,  however,  that such  action  or  omission  by the
Indenture  Trustee does not  constitute  willful  misconduct,  negligence or bad
faith.

     (e) The Indenture  Trustee may consult with counsel,  and the advice or any
opinion of counsel shall be full and complete  authorization  and  protection in
respect of any action  taken or  omitted  by it  hereunder  in good faith and in
accordance with such advice or opinion of counsel.

     (f) The Indenture Trustee shall not be bound to make any investigation into
the  facts  or  matters  stated  in  any  resolution,   certificate,  statement,
instrument,  opinion,  report,  notice,  request,  consent,  entitlement  order,
approval or other paper or document.

     SECTION 6.3. Individual Rights of Indenture Trustee.  The Indenture Trustee
in its individual or any other capacity may become the owner or pledgee of Notes
and may otherwise deal with the Issuer or its Affiliates with the same rights it
would have if it were not Indenture  Trustee.  Any Paying Agent, Note Registrar,
co-registrar or co-paying agent may do the same with like rights.  However,  the
Indenture Trustee must comply with Sections 6.11 and 6.12.

                                      -31-
<PAGE>

     SECTION 6.4. Indenture  Trustee's  Disclaimer.  The Indenture Trustee shall
not be  responsible  for and  makes  no  representation  as to the  validity  or
adequacy of this Indenture, the Collateral, the Trust Estate or the Notes, shall
not be  accountable  for the Issuer's use of the  proceeds  from the Notes,  the
Collateral,  the Trust Estate, or responsible for any statement of the Issuer in
this  Indenture or in any  document  issued in  connection  with the sale of the
Notes  or in the  Notes  other  than  the  Indenture  Trustee's  certificate  of
authentication.

     SECTION 6.5. Notice of Defaults.  If a Default occurs and is continuing and
if it is known to a Responsible Officer of the Indenture Trustee,  the Indenture
Trustee shall mail to each Registered Owner notice of the Default within 10 days
after it occurs.  Except in the case of a Default in payment of  principal of or
interest on any Note,  the  Indenture  Trustee may withhold the notice if and so
long as a committee of its  Responsible  Officers in good faith  determines that
withholding the notice is in the interests of Registered Owners.

     SECTION  6.6.  Reports by  Indenture  Trustee  to  Registered  Owners.  The
Indenture Trustee shall deliver to each Registered Owner such information as may
be  required to enable  such  Registered  Owner to prepare its federal and state
income tax returns.

     SECTION 6.7.  Compensation  and  Indemnity.  The  Indenture  Trustee  shall
receive compensation for fees and reimbursement for expenses pursuant to Section
3.2 of the Sale and  Servicing  Agreement,  subject  to  Section  6.1(g) of this
Indenture. The Indenture Trustee and any director, officer, employee or agent of
the Indenture  Trustee shall be indemnified  pursuant to Section 3.4 of the Sale
and  Servicing  Agreement  and held  harmless  against any loss,  liability,  or
unanticipated out-of-pocket expense incurred or paid to third parties, including
reasonable  attorneys'  fees and  expenses  (which  expenses  shall not  include
salaries paid to employees,  or allocable overhead, of the Indenture Trustee) in
connection with the acceptance or  administration of its trusts hereunder or the
Notes, or by reason of its participation in the transaction contemplated hereby,
other  than any loss,  liability  or  expense  incurred  by  reason  of  willful
misfeasance,  bad faith or negligence in the performance of duties  hereunder or
by reason of  reckless  disregard  of  obligations  and  duties  hereunder.  The
provisions of this Section 6.7 shall survive the termination of this Indenture.

     This  Section  shall  survive  the  discharge  of  this  Indenture  and the
replacement of the Indenture Trustee. When the Indenture Trustee incurs expenses
after  the  occurrence  of a Default  specified  in  Section  5.1(e) or (f) with
respect to the Issuer or the  Servicer,  the expenses are intended to constitute
expenses of administration under Title 11 of the United States Code or any other
applicable federal or state bankruptcy, insolvency or similar law.

     SECTION 6.8. Replacement of Indenture Trustee. No resignation or removal of
the Indenture Trustee and no appointment of a successor  Indenture Trustee shall
become effective until the acceptance of appointment by the successor  Indenture
Trustee pursuant to this Section.  The Indenture  Trustee may resign at any time
upon 30 day prior notice by so notifying the Issuer, the Servicer and the Agent.
The  Registered  Owners of a majority of the  Outstanding  Amount may remove the
Indenture  Trustee by so notifying  the  Indenture  Trustee,  the Issuer and the
Servicer and may appoint a successor Indenture Trustee.  The Issuer shall remove
the Indenture Trustee if:

                                      -32-
<PAGE>

     (a) the Indenture Trustee fails to comply with Section 6.11;

     (b) the Indenture Trustee is adjudged a bankrupt or insolvent;

     (c) a  receiver  or other  public  officer  takes  charge of the  Indenture
Trustee or its property;

     (d) the Indenture Trustee otherwise becomes incapable of acting; or

     (e) the Indenture Trustee breaches its obligations  hereunder in a material
respect.

     If the Indenture  Trustee resigns or is removed,  or if a vacancy exists in
the office of Indenture  Trustee for any reason (the  Indenture  Trustee in such
event being referred to herein as the retiring  Indenture  Trustee),  the Issuer
shall promptly appoint a successor  Indenture Trustee  reasonably  acceptable to
the  Registered  Owners of a majority  of the  Outstanding  Amount.  A successor
Indenture  Trustee shall deliver a written  acceptance of its appointment to the
retiring  Indenture  Trustee,  the  Servicer  and  the  Issuer.   Thereupon  the
resignation or removal of the retiring Indenture Trustee shall become effective,
and the successor Indenture Trustee shall have all the rights, powers and duties
of the Indenture Trustee under this Indenture.  The successor  Indenture Trustee
shall mail a notice of its  succession to the  Registered  Owners.  The retiring
Indenture  Trustee shall promptly  transfer all property held by it as Indenture
Trustee at the Issuer's expense to the successor Indenture Trustee.

     If a successor  Indenture Trustee does not take office within 60 days after
the retiring  Indenture  Trustee resigns or is removed,  the retiring  Indenture
Trustee,  the Issuer, the Servicer or the Registered Owners of a majority of the
Outstanding  Amount may  petition any court of  competent  jurisdiction  for the
appointment of a successor Indenture Trustee.

     If the Indenture  Trustee fails to comply with Section 6.11, any Registered
Owner may petition any court of  competent  jurisdiction  for the removal of the
Indenture Trustee and the appointment of a successor Indenture Trustee.

     Notwithstanding  the replacement of the Indenture  Trustee pursuant to this
Section,  the  Issuer's  obligations  under  Section 6.7 shall  continue for the
benefit of the retiring Indenture Trustee.

     SECTION  6.9.  Successor  Indenture  Trustee  by Merger.  If the  Indenture
Trustee  consolidates  with,  merges  or  converts  into,  or  transfers  all or
substantially all its corporate trust business or assets to, another corporation
or banking  association,  the  resulting,  surviving or  transferee  corporation
without any further act (other than the execution and delivery to the Issuer and
the Servicer of an assignment  and assumption of this  Indenture,  to the extent
that such succession is not effected by operation of law) shall be the successor
Indenture Trustee;  provided, that such corporation or banking association shall
be otherwise qualified and eligible under Section 6.11.

     In case at the time such  successor or successors by merger,  conversion or
consolidation  to the Indenture  Trustee shall succeed to the trusts  created by
this Indenture any of the Notes shall have been authenticated but not delivered,
any such successor to the Indenture Trustee may

                                      -33-
<PAGE>

adopt the certificate of authentication of any predecessor  trustee, and deliver
such Notes so authenticated; and in case at that time any of the Notes shall not
have been authenticated, any successor to the Indenture Trustee may authenticate
such Notes either in the name of any predecessor hereunder or in the name of the
successor  to the  Indenture  Trustee;  and in all such cases such  certificates
shall have the full force provided in the Notes or in this Indenture.

     SECTION 6.10.  Appointment of  Co-Indenture  Trustee or  Separate-Indenture
Trustee.

     (a)  Notwithstanding  any other provisions of this Indenture,  at any time,
for the purpose of meeting any legal  requirement of any  jurisdiction  in which
any part of the  Collateral  may at the time be located,  the Indenture  Trustee
shall have the power and may execute and deliver all  instruments to appoint one
or more Persons to act as a co-trustee or  co-trustees,  or separate  trustee or
separate  trustees,  of all or any part of the Trust, and to vest in such Person
or Persons,  in such capacity and for the benefit of the Registered Owners, such
title  to  the  Collateral,  or any  part  hereof,  and,  subject  to the  other
provisions of this Section, such powers, duties, obligations,  rights and trusts
as the Indenture Trustee may consider  necessary or desirable.  No co-trustee or
separate trustee hereunder shall be required to meet the terms of eligibility as
a successor trustee under Section 6.11 and no notice to Registered Owners of the
appointment  of any  co-trustee  or separate  trustee  shall be  required  under
Section 6.8 hereof;  provided that the Indenture Trustee shall deliver notice of
any such co-trustee or separate trustee to the Servicer.

     (b) Every separate trustee and co-trustee shall, to the extent permitted by
law, be appointed and act subject to the following provisions and conditions:

          (i) all rights,  powers,  duties and obligations  conferred or imposed
     upon the Indenture Trustee shall be conferred or imposed upon and exercised
     or  performed  by the  Indenture  Trustee  and  such  separate  trustee  or
     co-trustee  jointly  (it being  understood  that such  separate  trustee or
     co-trustee  is not  authorized  to act  separately  without  the  Indenture
     Trustee  joining in such act),  except to the extent  that under any law of
     any  jurisdiction  in which any  particular act or acts are to be performed
     the Indenture  Trustee shall be  incompetent or unqualified to perform such
     act or acts,  in which event such rights,  powers,  duties and  obligations
     (including the holding of title to the Collateral or any portion thereof in
     any such  jurisdiction)  shall be exercised  and  performed  singly by such
     separate  trustee  or  co-trustee,  but  solely  at  the  direction  of the
     Indenture Trustee;

          (ii) no trustee  hereunder shall be personally liable by reason of any
     act or omission of any other trustee hereunder; and

          (iii) the Indenture  Trustee may at any time accept the resignation of
     or remove any separate trustee or co-trustee.

     (c) Any notice,  request or other writing  given to the  Indenture  Trustee
shall be deemed to have been  given to each of the then  separate  trustees  and
co-trustees,  as  effectively  as if  given to each of  them.  Every  instrument
appointing any separate  trustee or co-trustee shall refer to this Indenture and
the conditions of this Article VI. Each separate trustee and co-trustee,

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upon its acceptance of the trusts conferred, shall be vested with the estates or
property specified in its instrument of appointment,  jointly with the Indenture
Trustee, subject to all the provisions of this Indenture, specifically including
every  provision of this  Indenture  relating to the conduct of,  affecting  the
liability  of, or affording  protection  to, the Indenture  Trustee.  Every such
instrument shall be filed with the Indenture Trustee.

     (d) Any  separate  trustee or  co-trustee  may at any time  constitute  the
Indenture Trustee its agent or  attorney-in-fact  with full power and authority,
to the extent not prohibited by law, to do any lawful act under or in respect of
this  Indenture  on its  behalf  and in its name.  If any  separate  trustee  or
co-trustee shall die, become incapable of acting,  resign or be removed,  all of
its  estates,  properties,  rights,  remedies  and  trusts  shall vest in and be
exercised by the Indenture Trustee,  to the extent permitted by law, without the
appointment of a new or successor trustee.

     SECTION 6.11. Eligibility; Disqualification. The Indenture Trustee shall at
all times be  authorized  to exercise  corporate  trust  powers.  The  Indenture
Trustee shall have or be a member of a bank holding  company that has a combined
capital  and  surplus of at least  $50,000,000  as set forth in its most  recent
published annual report of condition and it or its parent shall have a long-term
debt  rating of A3 or better by  Moody's or shall  otherwise  be  acceptable  to
Moody's.  If at any time the  Indenture  Trustee  shall  cease to be eligible in
accordance with the provisions of this Section,  it shall resign  immediately in
the manner and with the effect specified in Section 6.8 hereof.

     SECTION 6.12.  Maintenance of Office or Agency.  The Indenture Trustee will
maintain in the Borough of Manhattan,  The City of New York, an office or agency
where Notes may be surrendered  for  registration  of transfer or exchange,  and
where  notices  and demands to or upon the  Indenture  Trustee in respect of the
Notes and this Indenture may be served.  The Indenture  Trustee will give prompt
written notice to the Issuer, the Servicer and the Agent of the location, and of
any change in the  location,  of any such  office or agency.  If at any time the
Indenture Trustee shall fail to maintain any such office or agency or shall fail
to furnish the Issuer or the Servicer with the address thereof, such surrenders,
notices and demands may be made or served at the Corporate Trust Office, and the
Issuer hereby  appoints the  Indenture  Trustee as its agent to receive all such
surrenders, notices and demands.

                                  ARTICLE VII.

                            OWNERS' LISTS AND REPORTS

     SECTION 7.1.  Preservation  of  Information;  Communications  to Registered
Owners.  Registered  Owners may communicate  with other  Registered  Owners with
respect to their rights under this Indenture or under the Notes.

                                 ARTICLE VIII.

                      ACCOUNTS, DISBURSEMENTS AND RELEASES

     SECTION 8.1.  Collection of Money.  Except as otherwise  expressly provided
herein,  the  Indenture  Trustee may demand  payment or  delivery  of, and shall
receive and collect,

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<PAGE>

directly and without  intervention  or  assistance  of any fiscal agent or other
intermediary,  all money and other  property  payable  to or  receivable  by the
Indenture Trustee pursuant to this Indenture.  The Indenture Trustee shall apply
all such money  received by it as provided  in this  Indenture  and the Sale and
Servicing  Agreement.  Except as otherwise expressly provided in this Indenture,
if any  default  occurs in the making of any  payment or  performance  under any
agreement or instrument  that is part of the Collateral,  the Indenture  Trustee
may  take  such  action  as  may be  appropriate  to  enforce  such  payment  or
performance,   including  the   institution   and   prosecution  of  appropriate
Proceedings.  Any such action shall be without prejudice to any right to claim a
Default  or Event of  Default  under  this  Indenture  and any right to  proceed
thereafter as provided in Article V.

     SECTION 8.2. Accounts; Distributions.

     (a) On or prior to the Closing Date, the Indenture  Trustee shall establish
and  maintain,  in the name of the  Indenture  Trustee  for the  benefit  of the
Registered  Owners,  the Note  Account,  as provided  in the Sale and  Servicing
Agreement.  The Indenture  Trustee shall make the allocations and  disbursements
from the Available  Funds held in the Note Account in accordance  with the terms
hereof and the Sale and Servicing Agreement.

     (b) On each Payment  Date,  to the extent of Available  Funds on deposit in
the  Note  Account,  the  Indenture  Trustee  or the  Paying  Agent  shall  make
distributions  from Available Funds withdrawn from the Note Account in the order
of priority set forth in Section 3.2 of the Sale and Servicing Agreement.

     SECTION  8.3.  General  Provisions  Regarding  Accounts.  The  funds in the
Accounts  shall be invested in accordance  with the provisions of Section 3.3 of
the Sale and Servicing Agreement

     SECTION 8.4. Release of Collateral.

     (a)  Subject to the  payment of its fees and  expenses  pursuant to Section
6.7, the  Indenture  Trustee may, and when  required by the  provisions  of this
Indenture,  the Sale and Servicing  Agreement or the Custodial  Agreement shall,
execute  instruments  to release  property from the lien of this  Indenture,  or
convey  the  Indenture  Trustee's  interest  in the same,  in a manner and under
circumstances  that are not  inconsistent  with the provisions of this Indenture
and the other Operative Documents.  No party relying upon an instrument executed
by the  Indenture  Trustee as  provided in this  Article  VIII shall be bound to
ascertain the Indenture  Trustee's  authority,  inquire into the satisfaction of
any conditions precedent or see to the application of any moneys.

     (b) The  Indenture  Trustee  shall,  at such  time as  there  are no  Notes
Outstanding  and all sums due to the Indenture  Trustee and the Owner Trustee in
respect of the Notes have been paid and the Commitments terminated,  release any
remaining portion of the Collateral that secured the Notes from the lien of this
Indenture  and release to the Issuer or any other  Person  entitled  thereto any
funds then on deposit in the  Accounts.  The  Indenture  Trustee  shall  release
property from the lien of this  Indenture  pursuant to this  Subsection (b) only
upon receipt of an

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<PAGE>

Issuer Request accompanied by an Officer's Certificate and an Opinion of Counsel
meeting the applicable requirements of Section 11.1.

                                  ARTICLE IX.

                             SUPPLEMENTAL INDENTURE

     SECTION 9.1. Reserved.

     SECTION 9.2. Supplemental Indentures. The Issuer and the Indenture Trustee,
when  authorized  by an Issuer Order,  may,  with the consent of the  Registered
Owners of not less than a  majority  of the  Outstanding  Amount,  enter into an
indenture  or  indentures  supplemental  hereto  for the  purpose  of adding any
provisions  to, or changing in any manner or  eliminating  any of the provisions
of, this  Indenture or of  modifying in any manner the rights of the  Registered
Owners  of the Notes  under  this  Indenture;  provided,  however,  that no such
supplemental  indenture  shall,  without the consent of the Registered  Owner of
each Note affected thereby:

     (a)  change  the date of  payment of any  installment  of  principal  of or
interest on any Note, or reduce the principal amount thereof, or the interest to
accrue  thereon,  change  the  provisions  of  this  Indenture  relating  to the
application of collections on, or the proceeds of the sale of, the Collateral to
payment of principal of or interest on the Notes, or change any place of payment
where,  or the coin or currency in which,  any Note or the  interest  thereon is
payable,  or  impair  the right to  institute  suit for the  enforcement  of the
provisions  of this  Indenture  requiring  the  application  of funds  available
therefor, as provided in Article V, to the payment of any such amount due on the
Notes on or after the respective due dates thereof;

     (b) reduce the  percentage of the  Outstanding  Amount,  the consent of the
Registered Owners of which is required for any such supplemental  indenture,  or
the  consent of the  Registered  Owners of which is  required  for any waiver of
compliance  with  certain  provisions  of this  Indenture  or  certain  defaults
hereunder and their consequences provided for in this Indenture;

     (c) reduce the percentage of the Outstanding  Amount required to direct the
Indenture  Trustee  to direct  the Issuer to sell or  liquidate  the  Collateral
pursuant to Section 5.11;

     (d) modify any provision of this Section  except to increase any percentage
specified  herein or to  provide  that  certain  additional  provisions  of this
Indenture or the Operative  Documents  cannot be modified or waived  without the
consent of the Registered Owner of each Note affected thereby;

     (e) modify any of the  provisions  of this  Indenture  in such manner as to
affect the calculation of the amount of any payment of interest or principal due
on any Note  (including the  calculation of any of the individual  components of
such calculation); or

     (f) permit the  creation of any lien  ranking  prior to or on a parity with
the lien of this Indenture with respect to any part of the Collateral or, except
as otherwise  permitted or contemplated  herein or any other Operative Document,
terminate the lien of this Indenture on

                                      -37-
<PAGE>

any property at any time subject hereto or deprive the  Registered  Owner of any
Note of the security provided by the lien of this Indenture.

     The Indenture  Trustee may in its discretion  determine  whether or not any
Notes would be affected by any supplemental indenture and any such determination
shall be conclusive upon the Registered Owners of all Notes, whether theretofore
or thereafter authenticated and delivered hereunder. The Indenture Trustee shall
not be liable for any such determination made in good faith.

     In connection with requesting the consent of the Registered Owners pursuant
to this Section,  the Indenture  Trustee shall mail to the Registered  Owners of
the Notes to which such  amendment or  supplemental  indenture  relates a notice
setting forth in general terms the substance of such supplemental  indenture. It
shall not be necessary  for any Act of  Registered  Owners under this Section to
approve the particular form of any proposed supplemental indenture, but it shall
be sufficient if such Act shall approve the substance thereof.

     SECTION  9.3.  Execution  of  Supplemental   Indenture.  In  executing,  or
permitting  the  additional  trusts  created  by,  any  supplemental   indenture
permitted by this Article IX or the  modification  thereby of the trusts created
by this  Indenture,  the  Indenture  Trustee  shall be entitled to receive,  and
subject to Sections 6.1 and 6.2,  shall be fully  protected in relying  upon, an
Opinion of Counsel stating that the execution of such supplemental  indenture is
authorized or permitted by this Indenture.  The Indenture Trustee may, but shall
not be obligated to, enter into any such supplemental indenture that affects the
Indenture  Trustee's own rights,  duties,  liabilities or immunities  under this
Indenture or otherwise.

     SECTION 9.4.  Effect of Supplemental  Indenture.  Upon the execution of any
supplemental  indenture  pursuant to the provisions  hereof,  this Indenture and
each other Operative  Document  affected thereby shall be and shall be deemed to
be  modified  and  amended in  accordance  therewith  with  respect to the Notes
affected thereby, and the respective rights, limitations of rights, obligations,
duties,  liabilities  and  immunities  under this  Indenture and each such other
Operative  Document  of the  Indenture  Trustee,  the Issuer and the  Registered
Owners of the Notes shall  thereafter  be  determined,  exercised  and  enforced
hereunder subject in all respects to such modifications and amendments,  and all
the terms and  conditions  of any such  supplemental  indenture  shall be and be
deemed to be part of the terms and  conditions of this Indenture for any and all
purposes.

     SECTION  9.5.   Reference  in  Notes  to  Supplemental   Indenture.   Notes
authenticated  and delivered after the execution of any  supplemental  indenture
pursuant to this Article IX may, and if required by the Indenture Trustee shall,
bear a  notation  in form  approved  by the  Indenture  Trustee as to any matter
provided  for in such  supplemental  indenture.  If the Issuer or the  Indenture
Trustee shall so determine,  new notes so modified as to conform, in the opinion
of the Indenture Trustee and the Issuer, to any such supplemental  indenture may
be prepared and executed by the Issuer and  authenticated  and  delivered by the
Indenture Trustee in exchange for Notes.

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<PAGE>

                                   ARTICLE X.

                                   BORROWINGS

     SECTION  10.1.  Optional  Borrowing.  (a) On any  Business Day prior to the
Facility Termination Date (each a "Borrowing Date"), and subject to satisfaction
of the following conditions, additional amounts may be borrowed or reborrowed by
the Issuer under the Notes (a "Borrowing"):

          (i) the Custodian  shall have  delivered to the Indenture  Trustee and
     the Agent the Custodian's  Certificate  pursuant to the Custodial Agreement
     with respect to the  Receivables  and related  Receivables  Documents being
     purchased by the Depositor and the Issuer on such Borrowing Date;

          (ii) no Event of Default has  occurred and is  continuing  and no such
     event would result from the conveyance of such  Receivables  under the Sale
     and Servicing Agreement or hereunder;

          (iii) after giving effect to the purchase and transfer of  Receivables
     by the Depositor and the Issuer on such  Borrowing  Date,  the  Outstanding
     Note Balance  shall not exceed  either the Facility  Limit or the Borrowing
     Base;

          (iv) after giving  effect to the purchase and transfer of  Receivables
     by the  Depositor  and  the  Issuer  on  such  Borrowing  Date,  any  Hedge
     Agreements with a Qualified Hedge  Counterparties  and meeting the Required
     Hedge Amount shall be in full force and effect;

          (v)  no  Authorized  Officer  of  the  Indenture  Trustee  has  actual
     knowledge or has received  notice that any conditions to such transfer have
     not been fulfilled and the Indenture Trustee shall have received such other
     documents, opinions,  certificates and instruments as the Indenture Trustee
     may request;

          (vi)  the  Servicer  shall  deliver  to the  Agent  and the  Indenture
     Trustee, a Borrowing Certification; and

          (vii) each of the conditions set forth in the Note Purchase  Agreement
     and  Section  2.5 of the Sale  and  Servicing  Agreement  shall  have  been
     satisfied.

     (b)  Borrowing  Dates  shall  not occur  more  frequently  than once  every
calendar week unless  otherwise  approved by the Agent.  Notice of any Borrowing
shall be given by the Issuer to the Indenture Trustee, and the Indenture Trustee
shall give notice of any such Borrowing to each  Registered  Owner of the Notes.
Each  Borrowing  shall be made  pro rata  according  to the  unused  Commitments
pursuant to the Note Purchase Agreement.

     (c) For clarity, it is understood that the Receivables, related Receivables
Documents  and other Assets will be conveyed by the Seller to the  Depositor and
by the  Depositor  to the Issuer  pursuant to the Sale and  Servicing  Agreement
without  recourse,  representation  on  warranty  except as  expressly  provided
therein.  Without limiting the foregoing,  none of the Seller,  the Depositor or
any of their respective subsidiaries shall be responsible for payments on

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<PAGE>

the Receivables,  and any other credit risks associated therewith shall be borne
by the Issuer and the holders of any obligations of the Issuer.

                                   ARTICLE XI.

                                  MISCELLANEOUS

     SECTION  11.1.  Compliance   Certificates  and  Opinions,   etc.  Upon  any
application or request by the Issuer to the Indenture Trustee to take any action
under any provision of this Indenture as to which an Officer's Certificate or an
Opinion of Counsel  is  required,  the  Issuer  shall  furnish to the  Indenture
Trustee an Officer's  Certificate or an Opinion of Counsel,  as the case may be,
stating that all conditions  precedent,  if any,  provided for in this Indenture
relating to the proposed action have been complied with.

     Every certificate or opinion with respect to compliance with a condition or
covenant provided for in this Indenture shall include:

          (1) a statement that each Person  signing such  certificate or opinion
     has read or has  caused  to be read  such  covenant  or  condition  and the
     definitions herein relating thereto;

          (2) a brief statement as to the nature and scope of the examination or
     investigation  upon which the  statements  or  opinions  contained  in such
     certificate or opinion are based; and

          (3) a statement as to whether,  in the opinion of each such signatory,
     such condition or covenant has been complied with.

     SECTION 11.2. Form of Documents Delivered to Indenture Trustee. In any case
where several  matters are required to be certified by, or covered by an opinion
of, any specified Person, it is not necessary that all such matters be certified
by, or covered  by the  opinion  of,  only one such  Person,  or that they be so
certified  or covered by only one  document,  but one such Person may certify or
give an opinion  with respect to some matters and one or more other such Persons
as to other  matters,  and any such  Person may certify or give an opinion as to
such matters in one or several documents.

     Any  certificate  or opinion of an Authorized  Officer of the Issuer may be
based, insofar as it relates to legal matters, upon a certificate or opinion of,
or representations by, counsel, unless such officer knows, or in the exercise of
reasonable care should know, that the certificate or opinion or  representations
with respect to the matters upon which such officer's  certificate or opinion is
based are erroneous. Any such certificate of an Authorized Officer or Opinion of
Counsel  may  be  based,  insofar  as it  relates  to  factual  matters,  upon a
certificate or opinion of, or representations  by, an officer or officers of the
Servicer,  the Seller,  the Issuer,  the Depositor or any other Person,  stating
that the  information  with respect to such factual matters is in the possession
of the  Servicer,  the Seller,  the Issuer,  the Depositor or such other Person,
unless such counsel  knows,  or in the exercise of reasonable  care should know,
that the certificate or opinion or representations  with respect to such matters
are erroneous.

                                      -40-
<PAGE>

     Where  any  Person  is  required  to  make,  give  or  execute  two or more
applications,  requests, consents,  certificates,  statements, opinions or other
instruments  under this Indenture,  they may, but need not, be consolidated  and
form one instrument.

     Whenever  in  this  Indenture,   in  connection  with  any  application  or
certificate or report to the Indenture  Trustee,  it is provided that the Issuer
shall  deliver any document as a condition of the granting of such  application,
or as evidence of the Issuer's  compliance with any term hereof,  it is intended
that the truth and accuracy,  at the time of the granting of such application or
at the effective date of such certificate or report (as the case may be), of the
facts and  opinions  stated in such  document  shall in such case be  conditions
precedent to the right of the Issuer to have such application  granted or to the
sufficiency of such certificate or report. The foregoing shall not, however,  be
construed  to affect the  Indenture  Trustee's  right to rely upon the truth and
accuracy of any statement or opinion  contained in any such document as provided
in Article VI.

     SECTION 11.3. Acts of Registered Owners.

     (a) Any request, demand, authorization,  direction, notice, consent, waiver
or other action  provided by this  Indenture to be given or taken by  Registered
Owners  may  be  embodied  in  and  evidenced  by one  or  more  instruments  of
substantially  similar  tenor signed by such  Registered  Owners in person or by
agents duly  appointed  in  writing;  and except as herein  otherwise  expressly
provided such action shall become  effective when such instrument or instruments
are  delivered  in writing to the  Indenture  Trustee,  and,  where it is hereby
expressly required,  to each other Person to whom such instrument or instruments
are required to be delivered.  Such  instrument or  instruments  (and the action
embodied therein and evidenced  thereby) are herein sometimes referred to as the
"Act" of the Registered Owners signing such instrument or instruments.  Proof of
execution of any such instrument or of a writing appointing any such agent shall
be  sufficient  for any purpose of this  Indenture  and (subject to Section 6.1)
conclusive  in favor of the  Indenture  Trustee,  the  Issuer and any such other
Person, if made in the manner provided in this Section.

     (b) The fact and date of the execution by any person of any such instrument
or  writing  may be  proved  in any  manner  that the  Indenture  Trustee  deems
sufficient.

     (c) The ownership of Notes shall be proved by the Note Register.

     (d) Any request, demand, authorization,  direction, notice, consent, waiver
or other action by the  Registered  Owner of any Notes shall bind the Registered
Owner of every Note issued upon the registration thereof or in exchange therefor
or in lieu thereof,  in respect of anything done, omitted or suffered to be done
by the Indenture  Trustee,  the Issuer or any other Person in reliance  thereon,
whether or not notation of such action is made upon such Note.

     SECTION 11.4. Notices,  etc., to Indenture Trustee and Issuer. Any request,
demand,  authorization,  direction, notice, consent, waiver or Act of Registered
Owners or other  documents  provided or permitted by this Indenture  shall be in
writing and if such request, demand, authorization,  direction, notice, consent,
waiver or act of Registered  Owners is to be made upon, given or furnished to or
filed with:

                                      -41-
<PAGE>

     (a) the Indenture  Trustee by any Registered  Owner or by the Issuer or any
other Person shall be  sufficient  for every purpose  hereunder if made,  given,
furnished or filed in writing to or with the Indenture  Trustee at its Corporate
Trust Office, or

     (b) in the case of the Issuer or any other  Person,  as provided in Section
8.10 of the Sale and Servicing Agreement.

     SECTION 11.5.  Notices to Registered Owners;  Waiver.  Where this Indenture
provides  for notice to  Registered  Owners of any event,  such notice  shall be
sufficiently  given (unless  otherwise herein expressly  provided) if in writing
and mailed,  first-class,  postage prepaid to each Registered  Owner affected by
such event,  at his address as it appears on the Note  Register,  not later than
the latest  date,  and not earlier than the earliest  date,  prescribed  for the
giving of such notice. In any case where notice to Registered Owners is given by
mail,  neither  the  failure to mail such notice nor any defect in any notice so
mailed to any particular  Registered  Owner shall affect the sufficiency of such
notice with respect to other Registered Owners, and any notice that is mailed in
the manner  herein  provided  shall  conclusively  be presumed to have been duly
given.

     Where this Indenture provides for notice in any manner,  such notice may be
waived in writing by any Person  entitled to receive such notice,  either before
or after the event,  and such waiver  shall be the  equivalent  of such  notice.
Waivers of notice by Registered Owners shall be filed with the Indenture Trustee
but such filing shall not be a condition precedent to the validity of any action
taken in reliance upon such a waiver.

     In case, by reason of the suspension of regular mail service as a result of
a strike,  work stoppage or similar  activity,  it shall be  impractical to mail
notice of any event to  Registered  Owners  when such  notice is  required to be
given  pursuant to any  provision of this  Indenture,  then any manner of giving
such notice as shall be satisfactory to the Indenture Trustee shall be deemed to
be a sufficient giving of such notice.

     SECTION  11.6.  Effect of Headings and Table of  Contents.  The Article and
Section  headings herein and the Table of Contents are for convenience  only and
shall not affect the construction hereof.

     SECTION 11.7.  Successors and Assigns. All covenants and agreements in this
Indenture  and the Notes by the Issuer  shall bind its  successors  and assigns,
whether so expressed or not. All  agreements  of the  Indenture  Trustee in this
Indenture shall bind its successors, co-trustees and agents.

     SECTION 11.8.  Separability.  In case any provision in this Indenture or in
the Notes shall be invalid,  illegal or unenforceable,  the validity,  legality,
and enforceability of the remaining  provisions shall not in any way be affected
or impaired thereby.

     SECTION 11.9.  Benefits of Indenture.  Nothing in this  Indenture or in the
Notes,  express or  implied,  shall give to any  Person,  other than the parties
hereto and their successors hereunder,  and the Registered Owners, and any other
party secured hereunder,  any benefit or any legal or equitable right, remedy or
claim under this Indenture.

                                      -42-
<PAGE>

     SECTION  11.10.  Legal  Holidays.  In any case  where the date on which any
payment  is due shall not be a Business  Day,  then  (notwithstanding  any other
provision of the Notes or this Indenture) payment need not be made on such date,
but may be made on the next  succeeding  Business  Day with the same  force  and
effect as if made on the date on which  nominally  due,  and no  interest  shall
accrue for the period from and after any such nominal date.

     SECTION  11.11.  Governing  Law.  THIS  INDENTURE  SHALL  BE  CONSTRUED  IN
ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, AND THE  OBLIGATIONS,  RIGHTS
AND REMEDIES OF THE PARTIES  HEREUNDER  SHALL BE DETERMINED  IN ACCORDANCE  WITH
SUCH LAWS.

     SECTION 11.12.  Counterparts.  This Indenture may be executed in any number
of  counterparts,  each of which so executed  shall be deemed to be an original,
but all  such  counterparts  shall  together  constitute  but  one and the  same
instrument.

     SECTION  11.13.  Recording of  Indenture.  If this  Indenture is subject to
recording in any appropriate public recording  offices,  such recording is to be
effected by the Issuer at its  expense  upon  certification  by the Agent or the
Indenture  Trustee to the effect that such  recording  is necessary or advisable
either for the protection of the Indenture  Trustee or the Registered  Owners or
for the  enforcement  of any right or remedy  granted to the  Indenture  Trustee
under this Indenture.

     SECTION  11.14.  Trust  Obligation.  No recourse may be taken,  directly or
indirectly,  with respect to the obligations of the Issuer,  the Depositor,  the
Seller, the Servicer, the Owner Trustee or the Indenture Trustee on the Notes or
under this Indenture or any certificate or other writing delivered in connection
herewith or therewith, against (i) the Indenture Trustee or the Owner Trustee in
its individual  capacity,  (ii) any owner of a beneficial interest in the Issuer
or (iii) any partner, owner, beneficiary,  agent, officer, director, employee or
agent of the Indenture Trustee or the Owner Trustee in its individual  capacity,
any Registered Owner of a beneficial  interest in the Issuer,  the Owner Trustee
or the Indenture  Trustee or of any successor or assign of the Indenture Trustee
or the Owner Trustee in its individual  capacity,  except as any such Person may
have expressly  agreed (it being  understood that the Indenture  Trustee and the
Owner Trustee have no such obligations in their individual  capacity) and except
that any such partner, owner or beneficiary shall be fully liable, to the extent
provided by  applicable  law,  for any unpaid  consideration  for stock,  unpaid
capital  contribution  or failure to pay any  installment  or call owing to such
entity.  By its acceptance of a Note, each Registered Owner covenants and agrees
to the foregoing.  For all purposes of this Indenture, in the performance of any
duties or  obligations  of the  Issuer  hereunder,  the Owner  Trustee  shall be
subject to, and entitled to the benefits of, the terms and provisions of Article
VI, VII and VIII of the Trust Agreement.

     SECTION 11.15. No Petition.  The Indenture  Trustee,  by entering into this
Indenture,  and each Registered  Owner, by accepting a Note, hereby covenant and
agree that they will not institute  against the Depositor or the Issuer, or join
in any  institution  against  the  Depositor  or the Issuer of, any  bankruptcy,
reorganization,  arrangement,  insolvency or liquidation  proceedings,  or other
proceedings  under any United States federal or state  bankruptcy or similar law
in connection with any obligations  relating to the Notes, this Indenture or any
of the Operative  Documents for one year and one day after payment of the Notes.

                                      -43-
<PAGE>

     SECTION  11.16.  Inspection.  The Issuer agrees that,  on reasonable  prior
notice, it will permit any representative of the Indenture  Trustee,  during the
Issuer's normal  business  hours, to examine all the books of account,  records,
reports and other papers of the Issuer,  to make copies and extracts  therefrom,
to cause such books to be audited by Independent  certified public  accountants,
and to discuss the Issuer's  affairs,  finances  and accounts  with the Issuer's
officers,  employees, and Independent certified public accountants,  all at such
reasonable  times and as often as may be  reasonably  requested.  The  Indenture
Trustee shall and shall cause its representatives to hold in confidence all such
information  except to the extent  disclosure  may be  required  by law (and all
reasonable applications for confidential treatment are unavailing) and except to
the  extent  that the  Indenture  Trustee  may  reasonably  determine  that such
disclosure is consistent with its obligations hereunder.

     SECTION 11.17.  Limitation of Liability of Owner  Trustee.  Notwithstanding
anything contained herein or in any other Operative Document to the contrary, it
is expressly understood and agreed by the parties hereto that (a) this Indenture
is executed and delivered by  Wilmington  Trust  Company,  not  individually  or
personally  but  solely as Owner  Trustee,  in the  exercise  of the  powers and
authority conferred and vested in it under the Trust Agreement,  (b) each of the
representations,  undertakings  and  agreements  herein  made on the part of the
Issuer is made and intended  not as a personal  representation,  undertaking  or
agreement by  Wilmington  Trust Company but is made and intended for the purpose
for binding only the Issuer and the Trust Estate, and (c) under no circumstances
shall  Wilmington  Trust  Company be  personally  liable for the  payment of any
indebtedness or expenses of the Issuer or be liable for the breach or failure of
any obligation,  representation,  warranty or covenant made or undertaken by the
Issuer under this Indenture or any other related documents.

                                      -44-
<PAGE>

     IN WITNESS WHEREOF,  the Issuer and the Indenture  Trustee have caused this
Indenture  to be duly  executed by their  respective  officers,  thereunto  duly
authorized and duly attested, all as of the day and year first above written.

BXG RECEIVABLES NOTE TRUST 2001-A
By: Wilmington Trust Company,
    not in its individual capacity but solely as Owner Trustee

By:  /S/ PATRICIA A. EVANS
   -------------------------------------------------------
    Name:      Patricia A. Evans
          ------------------------------------------------
    Title:     Senior Financial Services Officer
          ------------------------------------------------

U.S. BANK TRUST NATIONAL ASSOCIATION,
    as Indenture Trustee

By:  /S/ TAMARA SCHULTZ-FUGH
   -------------------------------------------------------
    Name:      Tamara Schultz-Fugh
          ------------------------------------------------
    Title:     Vice President
          ------------------------------------------------

                         [SIGNATURE PAGE TO INDENTURE]

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