Document:

<PAGE>

                                                                     Exhibit 4.3

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                                 TRUST AGREEMENT

                                      among

                           DELTA FUNDING CORPORATION,

                                   as Seller,

                     RENAISSANCE MORTGAGE ACCEPTANCE CORP.,

                                  as Depositor,

                                       and

                         [___________________________],

                                as Owner Trustee

                       Dated as of [______] [___], 200[_]

                 RENAISSANCE HOME EQUITY LOAN TRUST 200[_]-[__]
             HOME EQUITY LOAN ASSET-BACKED NOTES, SERIES 200[_]-[__]

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                                Table of Contents

<TABLE>
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                                                                            Page
                                                                            ----
                                    ARTICLE I

                                   DEFINITIONS

<S>                  <C>                                                                                        <C>
Section 1.1          Capitalized Terms ...........................................................................1
Section 1.2          Other Definitional Provisions................................................................5

                                   ARTICLE II

                                  ORGANIZATION

Section 2.1          Name.........................................................................................6
Section 2.2          Office.......................................................................................6
Section 2.3          Purposes and Powers..........................................................................6
Section 2.4          Appointment of Owner Trustee.................................................................7
Section 2.5          Initial Capital Contribution of Owner Trust Estate...........................................7
Section 2.6          Declaration of Trust.........................................................................7
Section 2.7          Title to Trust Property......................................................................7
Section 2.8          Situs of Trust...............................................................................8
Section 2.9          Representations and Warranties of the Depositor..............................................8
Section 2.10         Federal Income Tax Allocations...............................................................9

                                   ARTICLE III

                                   SUB-TRUSTS

Section 3.1          Series Trust.................................................................................9
Section 3.2          Establishment of Sub-Trust...................................................................9
Section 3.3          Assets of Sub-Trust..........................................................................9
Section 3.4          Liabilities of Sub-Trust.....................................................................9

                                   ARTICLE IV

          TRANSFEROR INTEREST AND TRANSFERS OF THE TRANSFEROR INTEREST

Section 4.1          Initial Ownership...........................................................................10
Section 4.2          The Transferor Interest.....................................................................10
Section 4.3          [Reserved]..................................................................................11
Section 4.4          Registration of Transfer and Exchange of Transferor Interest................................11
Section 4.5          [Reserved]..................................................................................11
Section 4.6          Persons Deemed Transferors..................................................................11
Section 4.7          [Reserved]..................................................................................11
</TABLE>

                                       i
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<TABLE>
<S>                  <C>                                                                                        <C>
Section 4.8          Maintenance of Office or Agency.............................................................11
Section 4.9          Appointment of Paying Agent.................................................................11
Section 4.10         [Reserved]..................................................................................12
Section 4.11         [Reserved]..................................................................................12
Section 4.12         [Reserved]..................................................................................12
Section 4.13         Restrictions on Transfers of Transferor Interest............................................12

                                    ARTICLE V

                            ACTIONS BY OWNER TRUSTEE

Section 5.1          Prior Notice to the Transferor and the Insurer with Respect to Certain Matters..............15
Section 5.2          [Reserved]..................................................................................17
Section 5.3          Action by Transferor with Respect to Bankruptcy.............................................17
Section 5.4          Restrictions on Transferor's Power..........................................................17

                                   ARTICLE VI

                   APPLICATION OF TRUST FUNDS; CERTAIN DUTIES

Section 6.1          Establishment of Eligible Accounts..........................................................17
Section 6.2          Application Of Trust Funds..................................................................17
Section 6.3          Method of Payment...........................................................................18
Section 6.4          [Reserved]..................................................................................18
Section 6.5          Accounting and Reports to the Transferor, the Internal Revenue Service and Others...........18
Section 6.6          Signature on Returns........................................................................18

                                   ARTICLE VII

                      AUTHORITY AND DUTIES OF OWNER TRUSTEE

Section 7.1          General Authority...........................................................................19
Section 7.2          General Duties..............................................................................19
Section 7.3          Action upon Instruction.....................................................................19
Section 7.4          No Duties Except as Specified in this Agreement, the Transaction Documents or in
                     Instructions................................................................................20
Section 7.5          No Action Except Under Specified Documents or Instructions..................................21
Section 7.6          Restrictions................................................................................21

                                  ARTICLE VIII

                          CONCERNING THE OWNER TRUSTEE

Section 8.1          Acceptance of Trusts and Duties.............................................................21
</TABLE>

                                       ii
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<TABLE>
<S>                  <C>                                                                                        <C>
Section 8.2          Furnishing of Documents.....................................................................22
Section 8.3          Representations and Warranties..............................................................22
Section 8.4          Reliance; Advice of Counsel.................................................................23
Section 8.5          Not Acting in Individual Capacity...........................................................24
Section 8.6          Owner Trustee Not Liable for the Transferor Interest or the Mortgage Loans..................24
Section 8.7          Owner Trustee May Own the Transferor Interest and the Notes.................................24
Section 8.8          Licenses....................................................................................24

                                   ARTICLE IX

                          COMPENSATION OF OWNER TRUSTEE

Section 9.1          Owner Trustee's Fees and Expenses...........................................................25
Section 9.2          Indemnification.............................................................................25
Section 9.3          Payments to the Owner Trustee...............................................................25

                                    ARTICLE X

                         TERMINATION OF TRUST AGREEMENT

Section 10.1         Termination of Trust Agreement..............................................................25

                                   ARTICLE XI

             SUCCESSOR OWNER TRUSTEES AND ADDITIONAL OWNER TRUSTEES

Section 11.1         Eligibility Requirements for Owner Trustee..................................................27
Section 11.2         Resignation or Removal of Owner Trustee.....................................................27
Section 11.3         Successor Owner Trustee.....................................................................28
Section 11.4         Merger or Consolidation of Owner Trustee....................................................28
Section 11.5         Appointment of Co-Owner Trustee or Separate Owner Trustee...................................29

                                   ARTICLE XII

                                  MISCELLANEOUS

Section 12.1         Supplements and Amendments..................................................................30
Section 12.2         No Legal Title to Owner Trust Estate in Transferor..........................................31
Section 12.3         Limitations on Rights of Others.............................................................31
Section 12.4         Notices.....................................................................................31
Section 12.5         Severability................................................................................32
Section 12.6         Separate Counterparts.......................................................................32
Section 12.7         Successors and Assigns......................................................................32
Section 12.8         No Petition.................................................................................32
Section 12.9         [Reserved]..................................................................................32
</TABLE>

                                      iii
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<TABLE>
<S>                  <C>                                                                                        <C>
Section 12.10        No Recourse.................................................................................32
Section 12.11        Headings....................................................................................33
Section 12.12        GOVERNING LAW...............................................................................33
Section 12.13        [Reserved]..................................................................................33
Section 12.14        Inconsistencies with Sale and Servicing Agreement...........................................33
Section 12.15        Third Party Beneficiary.....................................................................33

EXHIBIT A             Certificate of Trust.............................................   A-1
EXHIBIT B             Form of Transfer Certificate.....................................   B-1
EXHIBIT C             Form of Transferor Certificate...................................   C-1
</TABLE>

                                       iv
<PAGE>

         TRUST AGREEMENT, dated as of [_________] [__], 200[_], among
RENAISSANCE MORTGAGE ACCEPTANCE CORP., a Delaware Corporation, as depositor (the
"Depositor"), DELTA FUNDING CORPORATION, a New York Corporation, as seller (the
"Seller"), and [________________________], a(n) [_________] banking corporation,
as owner trustee (the "Owner Trustee") dated as of [_________ __], 200[_]
between the Depositor and Owner Trustee.

                                   ARTICLE I

                                   DEFINITIONS

         Section 1.1 Capitalized Terms. For all purposes of this Agreement, the
following terms shall have the meanings set forth below:

         "Agreement" shall mean this Amended and Restated Trust Agreement, as
the same may be amended and supplemented from time to time.

         "Bankruptcy Action" shall have the meaning assigned to such term in
Section 5.1.

         "Benefit Plan" shall have the meaning assigned to such term in Section
4.13.

         "Business Trust Statute" shall mean Chapter 38 of Title 12 of the
Delaware Code, 12 Del. Code ss. 3801 et seq., as the same may be amended from
time to time.

         "Certificate" shall mean the Transferor Interest.

         "Certificate of Trust" shall mean the Certificate of Trust in the form
of Exhibit A to be filed for the Trust pursuant to Section 3810(a) of the
Business Trust Statute.

         "Certificate Register" shall mean a register kept by the Certificate
Registrar in which, subject to such reasonable regulations as it may prescribe,
the Certificate Registrar shall provide for the registration of the Certificate
and the registration of transfers of the Certificate. The location of the
Certificate Registrar shall be the same as that of the Corporate Trust Office of
the Indenture Trustee.

         "Certificate Registrar" shall mean the [__________________________], as
Certificate Registrar hereunder.

         "Code" shall mean the Internal Revenue Code of 1986, as amended.

         "Corporate Trust Office" shall mean, (i) with respect to the Owner
Trustee, the principal corporate trust office of the Owner Trustee, which office
at date of execution of this Agreement is located at
[____________________________], Attention: [_______________]; or at such other
address in the State of Delaware as the Owner Trustee may designate by notice to
the Transferor and the Issuer, or the principal corporate trust office of any
successor Owner Trustee, the address (which shall be in the State of Delaware)
of which the successor owner trustee will notify the Transferor and the Issuer;
or (ii) with respect to the Indenture Trustee, the principal corporate trust
office of the Indenture Trustee, which office at date of execution of this
Agreement, is located at [___________________________________], Attention:
Indenture Trust Administration, or at such other address as the Indenture
Trustee may designate by notice to the Transferor and the Issuer, or the
principal corporate trust office of any successor Indenture Trustee, the address
(which shall be in the State of [_________]) of which the successor indenture
trustee will notify the Transferor and the Issuer.
<PAGE>

         "Depositor" shall mean RENAISSANCE MORTGAGE ACCEPTANCE CORP., a
Delaware Corporation, or its successors.

         "Distribution Account" shall have the meaning assigned to such term in
the Sale and Servicing Agreement.

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

         "Expenses" shall have the meaning assigned to such term in Section 9.2.

         "Group" With respect to the Notes, Group I, Group II or Group III, as
the context requires. With respect to the Home Equity Loans, Loan Group I, Loan
Group II or Loan Group III, as the context requires.

         "Group I Home Equity Loans" shall mean a pool of closed-end, fixed-rate
home equity loans with conforming balances, as identified in the Mortgage Loan
Schedule.

         "Group II Home Equity Loans" shall mean a pool of closed-end,
fixed-rate home equity loans with primarily non-conforming balances, as
identified in the Mortgage Loan Schedule.

         "Group III Home Equity Loans" shall mean a pool of closed-end,
adjustable- rate home equity loans with both conforming and non-conforming
balances, as identified in the Mortgage Loan Schedule.

         "Indenture" shall mean the Indenture, dated as of [_________ __],
200[_], by and between the Issuer and the Indenture Trustee, or any successor
trustee under the Indenture.

         "Indenture Trustee" shall mean [_______________________], as Indenture
Trustee under the Indenture, or any successor trustee under the Indenture.

         "Insurance Agreement" shall mean the Insurance and Reimbursement
Agreement dated as of [_________ __], 200[_] among the Indenture Trustee, the
Seller, the Servicer, the Depositor, the Insurer and [_____________________],
including any amendments and supplements thereto.

         "Insurer" shall mean [______________________], or its successors.

         "Issuer" shall mean Renaissance Home Equity Loan Trust 200[_]-[__], the
Delaware business trust created pursuant to this Agreement.

         "Loan Group" shall mean either Loan Group I, Loan Group II or Loan
Group III.

                                       2
<PAGE>

         "Loan Group I" shall mean the pool of Home Equity Loans identified in
the Mortgage Loan Schedule as having been assigned to Loan Group I.

         "Loan Group II" shall mean the pool of Home Equity Loans identified in
the Mortgage Loan Schedule as having been assigned to Loan Group II.

         "Loan Group III" shall mean the pool of Home Equity Loans identified in
the Mortgage Loan Schedule as having been assigned to Loan Group III.

         "Mortgage Loans" shall mean the Group I Home Equity Loans, the Group II
Home Equity Loans and the Group III Home Equity Loans.

         "Non-permitted Foreign Owner" shall have the meaning set forth in
Exhibit B hereto.

         "Non-U.S. Person" shall mean any Person other than (i) a citizen or
resident of the United States, (ii) an entity treated for United States federal
income tax purposes as a corporation or partnership created or organized in or
under the laws of the United States or any state thereof, including the District
of Columbia, (iii) an estate that is subject to U.S. federal income tax
regardless of the source of its income, (iv) a trust if a court within the
United States is able to exercise primary supervision over the administration of
the trust and one or more United States trustees have authority to control all
substantial decisions of the trust, or (v) certain trusts in existence on August
20, 1996 and treated as United States persons on such date that elect to
continue to be so treated.

         "Owner Trust Estate" shall mean the contribution of $100 referred to in
Section 2.5 and the Trust Estate.

         "Owner Trustee" shall mean [________________________], a(n) [_________]
banking corporation, not in its individual capacity but solely as owner trustee
under this Agreement, and any successor owner trustee hereunder.

         "Prospective Transferor" shall mean any prospective purchaser or
prospective transferee of the Transferor Interest.

         "Rating Agency Condition" shall mean, with respect to certain actions
requiring Rating Agency consent, that each Rating Agency shall have been given
10 days (or such shorter period as is acceptable to each Rating Agency) prior
notice thereof and that each of the Rating Agencies shall have notified the
Depositor, the Seller, the Owner Trustee, the Insurer and the Issuer in writing
that such action will not result in a reduction or withdrawal of the then
current rating of the Notes, without regard to the Insurance Policy.

         "Record Date" shall mean the last Business Day preceding the related
Payment Date; provided, however, that following the date on which Definitive
Notes are available pursuant to Section 2.2 of the Indenture, the Record Date
shall be the last day of the calendar month preceding the month in which the
related Payment Date occurs.

                                       3
<PAGE>

         "Sale and Servicing Agreement" shall mean the Sale and Servicing
Agreement dated as of the date hereof, among the Issuer, the Seller, the
Depositor, the Indenture Trustee and the Servicer.

         "Secretary of State" shall mean the Secretary of State of the State of
Delaware.

         "Seller" shall mean Delta Funding Corporation, a New York Corporation,
or its successors.

         "Senior Interest Participations" shall have the meaning specified in
Section 4.2.

         "Servicer" shall mean [_____________________], or any successor
servicer appointed pursuant to the Sale and Servicing Agreement.

         "Sub-Trust" shall have the meaning specified in Section 3.1 and
includes Sub-Trust 1, Sub-Trust 2 or Sub-Trust 3, each of which constitute a
separate series of interests in the Trust Estate pursuant to Section 3806(b)(2)
of the Business Trust Statute.

         "Sub-Trust 1" shall mean the portion of the Trust Estate assigned to
Loan Group I.

         "Sub-Trust 2" shall mean the portion of the Trust Estate assigned to
Loan Group II.

         "Sub-Trust 3" shall mean the portion of the Trust Estate assigned to
Loan Group III.

         "Transaction Documents" shall mean each of the Indenture, the Sale and
Servicing Agreement, the Insurance Agreement and this Agreement.

         "Transferor" shall mean the owner of the Transferor Interest.

         "Transferor Interest" shall have the meaning specified in Section 4.2.

         "Treasury Regulations" shall mean regulations, including proposed or
temporary regulations, promulgated under the Code. References herein to specific
provisions of proposed or temporary regulations shall include analogous
provisions of final Treasury Regulations or other successor Treasury
Regulations.

         "Trust" shall mean this agreement.

         "Trust Estate" shall mean the assets subject to the Sale and Servicing
Agreement, the Mortgage Loan Purchase Agreement, this Trust Agreement and the
Indenture, assigned to the Indenture Trustee in each case in respect of the
related Sub-Trust and the related Loan Group, which assets consist of: (i) each
Home Equity Loan in the related Loan Group together with the related Mortgage
File, including its Cut-Off Date Principal Balance and all collections in
respect thereof received after the Cut-Off Date; (ii) property that secured a
Home Equity Loan in the related Loan Group that is acquired by foreclosure or
deed in lieu of foreclosure; (iii) the Seller's rights under any insurance
policies relating to Home Equity Loans in the related Loan Group (including any
Insurance Proceeds); (iv) (a) the related Sub-Trust's interest in the Collection
Account and the Distribution Account, and (b) amounts on deposit in the related
sub-account of each of the Collection Account and Distribution Account; (v) any
Cross-collateralization Payment made from the other Loan Group; (vi) the
Seller's obligation to pay, or cause to be paid, and the security interest
granted by [______________________________] to secure such obligation; (vii) the
Depositor's rights under the Mortgage Loan Purchase Agreement in respect of the
related Loan Group; (viii) the Depositor's rights under the Support Agreement in
respect of the related Loan Group; (ix) any proceeds of any of the foregoing and
(x) all other assets included or to be included in the Trust in respect of the
related Sub-Trust for the benefit of the related Noteholders and the Insurer. In
addition, on or prior to the Closing Date, the Seller shall cause the Insurer to
deliver the Insurance Policy to the Indenture Trustee for the benefit of the
Noteholders and the Transferor and the Seller shall deliver the Support
Agreement to the Indenture Trustee for the benefit of the Noteholders, the
Transferor and the Insurer.

                                       4
<PAGE>

         "Underwriter" shall mean [___________________].

         Section 1.2 Other Definitional Provisions.

                  (a) Capitalized terms used herein and not otherwise defined
herein have the meanings assigned to them in the Sale and Servicing Agreement
or, if not defined therein, in the Indenture.

                  (b) All terms defined in this Agreement shall have the defined
meanings when used in any certificate or other document made or delivered
pursuant hereto unless otherwise defined therein.

                  (c) As used in this Agreement and in any certificate or other
document made or delivered pursuant hereto or thereto, accounting terms not
defined in this Agreement or in any such certificate or other document, and
accounting terms partly defined in this Agreement or in any such certificate or
other document to the extent not defined, shall have the respective meanings
given to them under generally accepted accounting principles. To the extent that
the definitions of accounting terms in this Agreement or in any such certificate
or other document are inconsistent with the meanings of such terms under
generally accepted accounting principles, the definitions contained in this
Agreement or in any such certificate or other document shall control.

                  (d) The words "hereof," "herein," "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; Section and Exhibit
references contained in this Agreement are references to Sections and Exhibits
in or to this Agreement unless otherwise specified; and the term "including"
shall mean "including without limitation."

                  (e) The definitions contained in this Agreement are applicable
to the singular as well as the plural forms of such terms and to the masculine
as well as to the feminine and neuter genders of such terms.

                                       5
<PAGE>

                  (f) Any agreement, instrument or statute defined or referred
to herein or in any instrument or certificate delivered in connection herewith
means such agreement, instrument or statute as from time to time amended,
modified or supplemented 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

                                  ORGANIZATION

         Section 2.1 Name. The Trust shall be known as "Renaissance Home Equity
Loan Trust 200[_]-[__]," in which name the Owner Trustee may conduct the
business of the Trust and make and execute contracts and other instruments on
behalf of the Trust and the Trust may sue and be sued.

         Section 2.2 Office. The office of the Trust shall be in care of the
Owner Trustee at the Corporate Trust Office or at such other address in the
State of [_________] as the Owner Trustee may designate by written notice to the
Transferor.

         Section 2.3 Purposes and Powers.

                  (a) The purpose of the Trust is to engage in the following
activities:

                  (i) to issue the Notes pursuant to the Indenture and the
         Transferor Interest pursuant to this Agreement and to sell such Notes
         and Transferor Interest;

                  (ii) with the proceeds of the sale of the Notes and the
         Transferor Interest, to fund start-up and transactional expenses of the
         Trust and to pay the balance to the Depositor, or at the direction of
         the Depositor, to pay the Seller, as its interests may appear pursuant
         to the Sale and Servicing Agreement;

                  (iii) to assign, grant, transfer, pledge, mortgage and convey
         the Trust Estate pursuant to the Indenture and to hold, manage and
         distribute to the Transferor pursuant to the terms of the Sale and
         Servicing Agreement any portion of the Trust Estate released from the
         lien of, and remitted to the Trust pursuant to, the Indenture;

                  (iv) to enter into and perform its obligations under the
         Transaction Documents to which it is to be a party;

                  (v) to engage in those activities, including entering into
         agreements, that are necessary, suitable or convenient to accomplish
         the foregoing or are incidental thereto or connected therewith; and

                  (vi) subject to compliance with the Transaction Documents, to
         engage in such other activities as may be required in connection with
         conservation of the Owner Trust Estate and the making of distributions
         to the Noteholders and the Transferor.

                                       6
<PAGE>

The Trust is hereby authorized to engage in the foregoing activities. The Trust
shall not engage in any activity other than in connection with the foregoing or
other than as required or authorized by the terms of this Agreement or the
Transaction Documents.

         Section 2.4 Appointment of Owner Trustee. The Depositor hereby confirms
the appointment of Owner Trustee as trustee of the Trust effective as of the
date hereof, to have all the rights, powers and duties set forth herein.

         Section 2.5 Initial Capital Contribution of Owner Trust Estate.
Pursuant to the Trust, the Depositor has sold, assigned, transferred and set
over to the Owner Trustee as of the date thereof, the sum of $100. The Owner
Trustee hereby acknowledges receipt in trust from the Depositor, as of the date
thereof, of the foregoing contribution, which shall constitute the initial Owner
Trust Estate and shall be deposited in the Distribution Account. The Depositor
shall pay organizational expenses of the Trust as they may arise or shall, upon
the request of the Owner Trustee, promptly reimburse the Owner Trustee for any
such expenses paid by the Owner Trustee.

         Section 2.6 Declaration of Trust. The Owner Trustee hereby declares
that it will hold the Owner Trust Estate in trust upon and subject to the
conditions set forth herein for the use and benefit of the Transferor, subject
to the obligations of the Trust under the Transaction Documents. It is the
intention of the parties hereto that the Trust constitute a business trust under
the Business Trust Statute and that this Agreement constitute the governing
instrument of such business trust. It is the intention of the parties hereto
that, solely for income and franchise tax purposes, the Trust shall be treated
as a security arrangement, with the assets of the Trust being the Sub-Trusts
related to each Loan Group and the Transferor being the owner of the Transferor
Interest. The parties agree that, unless otherwise required by appropriate tax
authorities, the Trust will file or cause to be filed annual or other necessary
returns, reports and other forms, if any, consistent with the characterization
of the Trust, the Sub-Trusts and each Loan Group as provided in the preceding
sentence for such tax purposes. Effective as of the date hereof, the Owner
Trustee shall have all rights, powers and duties set forth herein and in the
Business Trust Statute with respect to accomplishing the purposes of the Trust.
The Owner Trustee has filed the Certificate of Trust with the Secretary of State
of the State of Delaware.

         Section 2.7 Title to Trust Property.

                  (a) Subject to the Indenture, legal title to all the Owner
Trust Estate shall be vested at all times in the Trust as a separate legal
entity except where applicable law in any jurisdiction requires title to any
part of the Owner Trust Estate to be vested in a trustee or trustees, in which
case title shall be deemed to be vested in the Owner Trustee, a co-owner trustee
and/or a separate trustee, as the case may be.

                  (b) The Transferor shall not have legal title to any part of
the Owner Trust Estate. No transfer by operation of law or otherwise of any
interest of the Transferor shall operate to terminate this Agreement or the
trusts hereunder or entitle any transferee to an accounting or to the transfer
to it of any part of the Owner Trust Estate.

                                       7
<PAGE>

         Section 2.8 Situs of Trust. The Trust will be located and administered
in the State of Delaware. All bank accounts maintained by the Owner Trustee on
behalf of the Trust shall be located in the State of Delaware or the State of
Illinois. The Trust shall not have any employees; provided, however, that
nothing herein shall restrict or prohibit the Owner Trustee from having
employees within or without the State of Delaware. Payments will be received by
the Trust only in Delaware or Illinois, and payments will be made by the Trust
only from Delaware or Illinois. The only office of the Trust will be at the
Corporate Trust Office in Delaware.

         Section 2.9 Representations and Warranties of the Depositor.

         The Depositor hereby represents and warrants to the Owner Trustee and
the Insurer that:

                  (a) The Depositor is a corporation duly organized, validly
existing and in good standing under the laws of the State of Delaware and has
all licenses necessary to carry on its business as now being conducted. The
Depositor has the power and authority to execute and deliver this Agreement and
to perform in accordance herewith; the execution, delivery and performance of
this Agreement (including all instruments of transfer to be delivered pursuant
to this Agreement) by the Depositor and the consummation of the transactions
contemplated hereby have been duly and validly authorized by all necessary
action of the Depositor; this Agreement evidences the valid, binding and
enforceable obligation of the Depositor; and all requisite action has been taken
by the Depositor to make this Agreement valid, binding and enforceable upon the
Depositor in accordance with its terms, subject to the effect of bankruptcy,
insolvency, reorganization, moratorium and other similar laws relating to or
affecting creditors' rights generally or the application of equitable principles
in any proceeding, whether at law or in equity.

                  (b) The consummation of the transactions contemplated by this
Agreement will not result in (i) the breach of any terms or provisions of the
Certificate of Incorporation or By-laws of the Depositor, (ii) the breach of any
term or provision of, or conflict with or constitute a default under or result
in the acceleration of any obligation under, any material agreement, indenture
or loan or credit agreement or other material instrument to which the Depositor,
or its property is subject, or (iii) the violation of any law, rule, regulation,
order, judgment or decree to which the Depositor or its respective property is
subject.

                  (c) The Depositor is not in default with respect to any order
or decree of any court or any order, regulation or demand of any federal, state,
municipal or other governmental agency, which default might have consequences
that would materially and adversely affect the condition (financial or
otherwise) or operations of the Depositor or its properties or might have
consequences that would materially and adversely affect its performance
hereunder.

                  (d) To the Depositor's best knowledge, there are no
proceedings or investigations pending or threatened before any court, regulatory
body, administrative agency or other governmental instrumentality having
jurisdiction over the Depositor or its properties: (A) asserting the invalidity
of this Agreement, (B) seeking to prevent the consummation of any of the
transactions contemplated by this Agreement or (C) seeking any determination or
ruling that might materially and adversely affect the performance by the
Depositor of its obligations under, or the validity or enforceability of, this
Agreement.

                                       8
<PAGE>

         Section 2.10 Federal Income Tax Allocations. Net income of each
Sub-Trust for any month, as determined for federal income tax purposes (and each
item of income, gain, loss and deduction entering into the computation thereof),
shall be allocated to the Transferor.

                                  ARTICLE III

                                   SUB-TRUSTS

         Section 3.1 Series Trust. The assets of the Trust shall be divided into
designated series as provided in Section 3806(b)(2) of the Business Trust
Statute (each series a "Sub-Trust"). Accordingly, it is the intent of the
parties hereto that Articles II, IV and X of this Trust Agreement shall apply
also with respect to each such Sub-Trust as if each such Sub-Trust were a
separate business trust under the Business Trust Statute, and each reference to
the term "Trust" in such Articles shall be deemed to be a reference to each such
Sub-Trust to the extent necessary to give effect to the foregoing intent. The
use of the terms "Trust" or "Sub-Trust" in this Agreement shall in no event
alter the intent of the parties hereto that the Trust receive the full benefit
of the limitation on interseries liability as set forth in Section 3804 of the
Business Trust Statute.

         Section 3.2 Establishment of Sub-Trust.

         The Owner Trustee hereby establishes and designates three initial
Sub-Trusts, as follows: Sub-Trust 1, Sub-Trust 2 and Sub-Trust 3. The provisions
of this Article III shall be applicable to the designated Sub-Trusts.

         Section 3.3 Assets of Sub-Trust. All consideration received by the
Trust Estate for the issuance or sale of the Notes and Senior Interest
Participations relating to a particular Loan Group and Sub-Trust, together with
the entire Trust Estate in which such consideration is invested or reinvested,
all income, earnings, profits, and proceeds thereof, including any proceeds
derived from the sale, exchange or liquidation of such assets, and any funds or
payments derived from any reinvestment of such proceeds in whatever form the
same may be, shall irrevocably belong solely to that Sub-Trust for all purposes,
subject only to the rights of creditors of such Sub-Trust and except as may
otherwise be provided in the Sale and Servicing Agreement or required by
applicable tax laws, and shall be so recorded upon the books of account of the
Trust. Separate and distinct records shall be maintained for each Sub-Trust and
the assets associated with a Sub-Trust shall be held and accounted for
separately from the other assets of the Trust Estate, and any other Sub-Trust.
In the event that there is any Trust Estate, or any income, earnings, profits,
and proceeds thereof, or funds or payments that are not readily identifiable as
belonging to any particular Sub-Trust, the Owner Trustee shall allocate them to
the Transferor Interest. Each such allocation by the Owner Trustee shall be
conclusive and binding upon all Noteholders and the Transferor for all purposes.

                                       9
<PAGE>

         Section 3.4 Liabilities of Sub-Trust.

                  (a) The Trust Estate belonging to each particular Sub-Trust
shall be charged with the liabilities of the Trust in respect of that Sub-Trust
and only that Sub-Trust and all expenses, costs, charges and reserves
attributable to that Sub-Trust, and any general liabilities, expenses, costs,
charges or reserves of the Trust which are not readily identifiable as belonging
to any particular Sub-Trust shall be allocated and charged by the Owner Trustee
to the Transferor. Each allocation of liabilities, expenses, costs, charges and
reserves by the Owner Trustee shall be conclusive and binding upon all
Noteholders and the Transferor for all purposes. The Owner Trustee shall have
full discretion, to the extent not inconsistent with applicable law, to
determine which items shall be treated as income and which items as capital, and
each such determination and allocation shall be conclusive and binding upon the
Noteholders and the Transferor. Every written agreement, instrument or other
undertaking made or issued by or on behalf of a particular Sub-Trust shall
include a recitation limiting the obligation or claim represented thereby to
that Sub-Trust and its assets.

                  (b) Without limitation of the foregoing provisions of this
Article, but subject to the right of the Owner Trustee in its discretion to
allocate general liabilities, expenses, costs, charges or reserves as herein
provided, the debts, liabilities, obligations and expenses incurred, contracted
for or otherwise existing with respect to a particular Sub-Trust shall be
enforceable against the assets of such Sub-Trust only, and not against the
assets (i) of the Trust generally or (ii) of any other Sub-Trust. Notice of this
limitation on interseries liabilities shall be set forth in the Certificate of
Trust of the Trust (whether originally or by amendment) as filed or to be filed
in the Office of the Secretary of State of the State of Delaware pursuant to the
Business Trust Statute, and upon the giving of such notice in the Certificate of
Trust, the statutory provisions of Section 3804 of the Business Trust Statute
relating to limitations on interseries liabilities (and the statutory effect
under Section 3804 of setting forth such notice in the Certificate of Trust)
shall become applicable to the Trust and each Sub-Trust. Every note, bond,
contract, instrument, certificate or other undertaking made or issued by or on
behalf of a particular Sub-Trust shall include a recitation limiting the
obligation represented thereby to that Sub-Trust and its assets in accordance
with Section 3804(a) of the Business Trust Statute.

                                  ARTICLE IV

          TRANSFEROR INTEREST AND TRANSFERS OF THE TRANSFEROR INTEREST

         Section 4.1 Initial Ownership. Upon the formation of the Trust by the
contribution by the Depositor pursuant to Section 2.5 and until the issuance of
the Transferor Interest (as defined below), the Transferor shall be the sole
owner of the Trust.

         Section 4.2 The Transferor Interest. The Transferor Interest shall be
issued as a single certificate, substantially in the form of Exhibit C hereto,
upon the order of the Depositor to the Owner Trustee concurrently with the sale
and assignment to the Trust of the Mortgage Loans. The Transferor Interest shall
represent the Transferor Interest that is the entire beneficial Transferor
Interest in the assets of the Trust subject to the debt represented by the Notes
(the "Transferor Interest"). The initial Transferor Interest and each Transferor
Interest issued in exchange or upon transfer therefor shall be manually executed
by an Authorized Officer of the Owner Trustee.

                                       10
<PAGE>

         The Transferor Interest shall represent the entire beneficial
Transferor Interest in the assets of the Trust Estate, subject to the debt
represented by the Notes (the "Transferor Interest").

         A transferee of the Transferor Interest shall become the Transferor,
and shall be entitled to the rights and be subject to the obligations of the
Transferor hereunder, upon such transferee's acceptance of the Transferor
Interest duly registered in such transferee's name pursuant to Section 4.4
below.

         Section 4.3 [Reserved].

         Section 4.4 Registration of Transfer and Exchange of Transferor
Interest. The Owner Trustee hereby appoints [____________________] as
Certificate Registrar under this Agreement. The Certificate Registrar shall keep
or cause to be kept, at the office or agency maintained pursuant to Section 4.8,
a Certificate Register in which, subject to such reasonable regulations as it
may prescribe, the Certificate Register shall provide for the registration of
the Transferor Interest and of transfer and exchange of the Transferor Interest
as herein provided. The Certificate Registrar, subject to Section 4.13 hereof,
on behalf of the Trust, shall note on the Certificate Register any transfer of
the Transferor Interest.

         Section 4.5 [Reserved].

         Section 4.6 Persons Deemed Transferors. Prior to due presentation of
the Transferor Interest for registration of transfer, the Depositor, the Seller,
the Owner Trustee, the Indenture Trustee, the Insurer and the Certificate
Registrar may treat the Person in whose name the Transferor Interest shall be
registered in the Certificate Register as the owner thereof for the purpose of
receiving distributions pursuant to Section 6.2 hereof and for all other
purposes whatsoever, and none of the Seller, the Depositor, the Owner Trustee,
the Indenture Trustee, the Insurer or the Certificate Registrar shall be bound
by any notice to the contrary.

         Section 4.7 [Reserved].

         Section 4.8 Maintenance of Office or Agency. The Indenture Trustee
shall maintain an office or offices or agency or agencies (initially, the
Corporate Trust Office of the Indenture Trustee) where the Transferor Interest
may be surrendered for registration of transfer or exchange pursuant to Section
4.4 and where notices and demands to or upon the Certificate Registrar in
respect of the Transferor Interest and the Transaction Documents may be served.
The Indenture Trustee shall give prompt written notice to the Seller, the
Depositor, the Insurer, the Owner Trustee and the Transferor of any change in
the location of the Certificate Register or any such office or agency.

                                       11
<PAGE>

         Section 4.9 Appointment of Paying Agent. The Owner Trustee hereby
appoints the Indenture Trustee as Paying Agent under this Agreement. The Paying
Agent shall make distributions to the Transferor from the Distribution Account
pursuant to Section 6.2 hereof and Section 5.01 of the Sale and Servicing
Agreement and shall report the amounts of such distributions to the Owner
Trustee. The Paying Agent shall have the revocable power to withdraw funds from
the Distribution Account for the purpose of making the distributions referred to
above. In the event that the Indenture Trustee shall no longer be the Paying
Agent hereunder, the Owner Trustee shall appoint a successor to act as Paying
Agent (which shall at all times be a corporation duly incorporated and validly
existing under the laws of the United States of America or any state thereof,
authorized under such laws to exercise corporate trust powers and subject to
supervision or examination by federal or state authorities). The Owner Trustee
shall cause such successor Paying Agent or any additional Paying Agent appointed
by the Owner Trustee to execute and deliver to the Owner Trustee an instrument
in which such successor Paying Agent or additional Paying Agent shall agree with
the Owner Trustee that as Paying Agent, such successor Paying Agent or
additional Paying Agent will hold all sums, if any, held by it for payment to
the Transferor in trust for the benefit of the Transferor until such sums shall
be paid to the Transferor. The Paying Agent shall return all unclaimed funds to
the Owner Trustee, and upon removal of a Paying Agent, such Paying Agent shall
also return all funds in its possession to the Owner Trustee. Any reference in
this Agreement to the Paying Agent shall include any co-paying agent unless the
context requires otherwise.

         Section 4.10 [Reserved].

         Section 4.11 [Reserved].

         Section 4.12 [Reserved].

         Section 4.13 Restrictions on Transfers of Transferor Interest. The
Transferor Interest shall not be sold, pledged, transferred or assigned, except
as provided below.

                  (a) The Transferor Interest may not be acquired by or for the
account of (i) an employee benefit plan (as defined in Section 3(3) of the
Employee Retirement Income Security Act of 1974, as amended ("ERISA")) that is
subject to the provisions of Title I of ERISA, (ii) a plan described in Section
4975(e)(1) of the Code, or (iii) any entity, including an insurance company
separate account or general account, whose underlying assets include plan assets
by reason of a plan's investment in the entity (each, a "Benefit Plan"). Each
Prospective owner of the Transferor Interest, other than the Seller or an
affiliate of the Seller, shall represent and warrant, in writing, to the Owner
Trustee and the Certificate Registrar and any of their respective successors
that:

                  (i) Such Person is (A) a "qualified institutional buyer" as
         defined in Rule 144A under the Securities Act of 1933, as amended (the
         "Securities Act"), and is aware that the seller of such Transferor
         Interest may be relying on the exemption from the registration
         requirements of the Securities Act provided by Rule 144A and is
         acquiring such Transferor Interest for its own account or for the
         account of one or more qualified institutional buyers for whom it is
         authorized to act, (B) an "accredited investor" as defined in Rule
         501(a) under the Securities Act , or (C) a Person involved in the
         organization or operation of the Trust or an affiliate of such Person
         within the meaning of Rule 3a-7 of the 1940 Act, as amended (including,
         but not limited to, the Depositor, the Seller or the Transferor).

                                       12
<PAGE>

                  (ii) Such Person understands that such Transferor Interest has
         not been and will not be registered under the Securities Act and may be
         offered, sold, pledged or otherwise transferred only to a person whom
         the seller reasonably believes is (A) a "qualified institutional
         buyer," (B) " an accredited investor" or (C) a Person involved in the
         organization or operation of the Trust or an affiliate of such Person,
         in each case in a transaction meeting the requirements of Rule 144A
         under the Securities Act or that is otherwise exempt from registration
         under the Securities Act and in accordance with any applicable
         securities laws of any state of the United States.

                  (iii) Such Person understands that each Transferor Interest
         bears a legend to the following effect:

                  THIS TRANSFEROR INTEREST HAS NOT BEEN AND WILL NOT BE
                  REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE
                  "ACT"), OR ANY STATE SECURITIES LAWS. THIS TRANSFEROR INTEREST
                  MAY BE DIRECTLY OR INDIRECTLY OFFERED OR SOLD OR OTHERWISE
                  DISPOSED OF (INCLUDING PLEDGED) BY THE HOLDER HEREOF ONLY TO
                  (I) A "QUALIFIED INSTITUTIONAL BUYER" AS DEFINED IN RULE 144A
                  UNDER THE ACT, IN A TRANSACTION THAT IS REGISTERED UNDER THE
                  ACT AND APPLICABLE STATE SECURITIES LAWS OR THAT IS EXEMPT
                  FROM THE REGISTRATION REQUIREMENTS OF THE ACT PURSUANT TO RULE
                  144A, (II) AN ACCREDITED INVESTOR AS DEFINED IN RULE 501(a)
                  UNDER THE ACT, OR (III) A PERSON INVOLVED IN THE ORGANIZATION
                  OR OPERATION OF THE TRUST OR AN AFFILIATE OF SUCH A PERSON
                  WITHIN THE MEANING OF RULE 3a-7 OF THE INVESTMENT COMPANY ACT
                  OF 1940, AS AMENDED (INCLUDING, BUT NOT LIMITED TO, [CHAMPION
                  MORTGAGE CO., INC.]) IN A TRANSACTION THAT IS REGISTERED UNDER
                  THE ACT AND APPLICABLE STATE SECURITIES LAWS OR THAT IS EXEMPT
                  FROM THE REGISTRATION REQUIREMENTS OF THE ACT AND SUCH LAWS.
                  NO PERSON IS OBLIGATED TO REGISTER THIS TRANSFEROR INTEREST
                  UNDER THE ACT OR ANY STATE SECURITIES LAWS."

                  (iv) Such Person shall comply with the provisions of Section
         4.13(b), as applicable, relating to the ERISA restrictions with respect
         to the acceptance or acquisition of such Transferor Interest.

                                       13
<PAGE>

                  (b) Each Prospective Transferor, other than the Transferor or
an affiliate of the Transferor, shall either:

                  (i) represent and warrant, in writing, to the Owner Trustee
         and the Certificate Registrar and any of their respective successors,
         in accordance with Exhibit B hereto, that the Prospective Transferor is
         not (A) an "employee benefit plan" within the meaning of Section 3(3)
         of the Employee Retirement Income Security Act of 1974, as amended
         ("ERISA"), or (B) a "plan" within the meaning of Section 4975(e)(1) of
         the Code (any such plan or employee benefit plan, a "Plan") or (C) any
         entity, including an insurance company separate account or general
         account, whose underlying assets include plan assets by reason of a
         plan's investment in the entity and is not directly or indirectly
         purchasing such Transferor Interest on behalf of, as investment manager
         of, as named fiduciary of, as trustee of, or with assets of a Plan; or

                  (ii) furnish to the Owner Trustee and the Certificate
         Registrar and any of their respective successors an opinion of counsel
         acceptable to such persons that (A) the proposed issuance or transfer
         of such Transferor Interest to such Prospective Transferor will not
         cause any assets of the Trust to be deemed assets of a Plan, and (B)
         the proposed holding or transfer of such Transferor Interest will not
         cause the Owner Trustee or the Certificate Registrar or any of their
         respective successors to be a fiduciary of a Plan within the meaning of
         Section 3(21) of ERISA and will not give rise to a transaction
         described in Section 406 of ERISA or Section 4975(c)(1) of the Code for
         which a statutory or administrative exemption is unavailable.

                  (c) The Transferor Interest shall bear an additional legend
referring to the foregoing restrictions contained in paragraph (b) above.

                  (d) The Prospective Transferor, other than the Transferor or
an affiliate of the Transferor, shall obtain an Opinion of Counsel to the effect
that, as a matter of federal income tax law, such Prospective Transferor is
permitted to accept the transfer of the Transferor Interest.

                  (e) The Transferor Interest may not be pledged or transferred
without delivery to the Certificate Registrar of an Opinion of Counsel to the
effect that such transfer would not jeopardize the tax treatment of the Trust,
would not subject the Trust to an entity-level tax, and would not jeopardize the
status of the Notes as debt for all purposes.

                  (f) No pledge or transfer of the Transferor Interest shall be
effective unless such purchase or transfer is (i) to a single beneficial owner
and (ii) accompanied by an Opinion of Counsel satisfactory to the Owner Trustee,
which Opinion of Counsel shall not be an expense of the Trust, the Certificate
Registrar, the Servicer, the Depositor or the Seller, to the effect such pledge
or transfer will not cause the Trust to be treated for federal income tax
purposes as a taxable mortgage pool, association or a publicly traded
partnership taxable as a corporation.

Transfer of the Transferor Interest shall be made only if accompanied by an
Opinion of Counsel satisfactory to the Owner Trustee, which Opinion of Counsel
shall not be an expense of the Issuer, the Owner Trustee, the Servicer, the
Depositor or the Seller, to the effect such transfer will not cause the Issuer
to be treated for federal income tax purposes as an association, a taxable
mortgage pool or a publicly traded partnership taxable as a corporation.

                                       14
<PAGE>

                                   ARTICLE V

                            ACTIONS BY OWNER TRUSTEE

         Section 5.1 Prior Notice to the Transferor and the Insurer with Respect
to Certain Matters. With respect to the following matters, the Owner Trustee
shall not take action, and neither the Transferor nor the Insurer shall direct
the Owner Trustee to take any action, unless (i) the Insurer has provided its
written consent and (ii) at least thirty (30) days before the taking of such
action, the Owner Trustee shall have notified the Transferor in writing of the
proposed action and neither the Transferor nor the Insurer shall have notified
the Owner Trustee in writing prior to the 30th day after such notice is given
that the Transferor has withheld consent or the Transferor or the Insurer have
provided alternative direction:

                  (a) the initiation of any claim or lawsuit by the Trust
(except claims or lawsuits brought in connection with the collection of the Home
Equity Loans) and the compromise of any action, claim or lawsuit brought by or
against the Trust (except with respect to the aforementioned claims or lawsuits
for collection of the Home Equity Loans);

                  (b) the election by the Trust to file an amendment to the
Certificate of Trust (unless such amendment is required to be filed under the
Business Trust Statute);

                  (c) the amendment or other change to this Agreement or any
Transaction Document in circumstances where the consent of any Noteholder or the
Insurer is required;

                  (d) the amendment or other change to this Agreement or any
Transaction Document in circumstances where the consent of any Noteholder or the
Insurer is not required and such amendment materially adversely affects the
interests of the Transferor;

                  (e) the appointment pursuant to the Indenture of a successor
Note Registrar, Paying Agent or Indenture Trustee, or the consent to the
assignment by the Note Registrar, Paying Agent or Indenture Trustee of its
obligations under the Indenture;

                  (f) the consent to the calling or waiver of any default of any
Transaction Document;

                  (g) the consent to the assignment by the Indenture Trustee or
the Seller of their respective obligations under any Transaction Document;

                  (h) except as provided in Article X hereof, the dissolution,
termination or liquidation of the Trust, in whole or in part;

                                       15
<PAGE>

                  (i) the merger or consolidation of the Trust with or into any
other entity, or, except as contemplated by the Sale and Servicing Agreement,
the conveyance or transfer of all or substantially all of the Trust's assets to
any other entity;

                  (j) the causing of the Trust to incur, assume or guaranty any
indebtedness other than the Notes, as set forth in this Agreement;

                  (k) doing any act that conflicts with any other Transaction
Document;

                  (l) doing any act which would make it impossible to carry on
the ordinary business of the Trust;

                  (m) confessing a judgment against the Trust;

                  (n) possessing Trust assets, or assigning the Trust's right to
property, for other than a Trust purpose; or

                  (o) changing the Trust's purpose and powers from those set
forth in this Agreement.

         In addition, the Trust shall not commingle its assets with those of any
other entity. The Trust shall maintain its financial and accounting books and
records separate from those of any other entity. Except as expressly set forth
herein, the Trust shall pay its indebtedness, operating expenses from its own
funds, and the Trust shall not pay the indebtedness, operating expenses and
liabilities of any other Person. The Trust shall maintain appropriate minutes or
other records of all appropriate actions and shall maintain its office separate
from the offices of the Depositor or the Seller, and any of their respective
affiliates. This Agreement and the Transaction Documents shall be the only
agreements among the parties hereto with respect to the creation, operation and
termination of the Trust. For accounting purposes, the Trust shall be treated as
an entity separate and distinct from the Transferor. The pricing and other
material terms of all transactions and agreements to which the Trust is a party
shall be intrinsically fair to all parties thereto.

         The Owner Trustee shall not have the power, except upon the direction
of the Transferor and with the consent of the Insurer (which consent shall not
be unreasonably withheld), and to the extent otherwise consistent with the
Transaction Documents, to (i) remove or replace the Seller or the Indenture
Trustee, (ii) institute proceedings to have the Trust declared or adjudicated a
bankrupt or insolvent, (iii) consent to the institution of bankruptcy or
insolvency proceedings against the Trust, (iv) file a petition or consent to a
petition seeking reorganization or relief on behalf of the Trust under any
applicable federal or state law relating to bankruptcy, (v) consent to the
appointment of a receiver, liquidator, assignee, trustee, sequestrator (or any
similar official) of the Trust or a substantial portion of the property of the
Trust, (vi) make any assignment for the benefit of the Trust's creditors, (vii)
cause the Trust to admit in writing its inability to pay its debts generally as
they become due, or (viii) take any action, or cause the Trust to take any
action, in furtherance of any of the foregoing (any of the above, a "Bankruptcy
Action"). So long as the Indenture remains in effect, the Transferor shall not
have the power to take, and shall not take, any Bankruptcy Action with respect
to the Trust or direct the Owner Trustee to take any Bankruptcy Action with
respect to the Trust.

                                       16
<PAGE>

         Section 5.2 [Reserved].

         Section 5.3 Action by Transferor with Respect to Bankruptcy. The Owner
Trustee shall not have the power to commence a voluntary proceeding in
bankruptcy relating to the Trust without the prior consent and approval of (i)
the Insurer; (ii) the Transferor; (iii) the Owner Trustee; and (iv) the
Indenture Trustee, and the delivery to the Owner Trustee by the Transferor of a
certificate certifying that such Transferor reasonably believes that the Trust
is insolvent. The terms of this Section 5.3 shall survive for one year and one
day following the termination of this Agreement.

         Section 5.4 Restrictions on Transferor's Power. The Transferor shall
not direct the Owner Trustee to take or refrain from taking any action if such
action or inaction would be contrary to any obligation of the Trust or the Owner
Trustee under this Agreement or any of the Transaction Documents or would be
contrary to Section 2.3 hereof, nor shall the Owner Trustee be obligated to
follow any such direction, if given.

                                   ARTICLE VI

                   APPLICATION OF TRUST FUNDS; CERTAIN DUTIES

         Section 6.1 Establishment of Eligible Accounts. The Owner Trustee shall
cause the Indenture Trustee to establish and maintain with the Indenture Trustee
for the benefit of the Owner Trustee one or more Eligible Accounts in accordance
with the Indenture.

         Section 6.2 Application Of Trust Funds.

                  (a) On each Payment Date, the Paying Agent shall make the
distributions and payments set forth in Section 5.01 of the Sale and Servicing
Agreement from amounts on deposit in the Distribution Account.

                  (b) On or before the third Business Day following each Payment
Date, the Paying Agent shall send to DTC the statement provided to the Paying
Agent by the Indenture Trustee pursuant to Section 5.03 of the Sale and
Servicing Agreement with respect to such Payment Date.

                  (c) In the event that any withholding tax is imposed on the
Trust's payment (or allocations of income) to the Transferor, such tax shall
reduce the amount otherwise distributable to the Transferor in accordance with
this Section 6.2. The Paying Agent is hereby authorized and directed to retain
from amounts otherwise distributable to the Transferor sufficient funds for the
payment of any tax that is legally owed by the Trust (but such authorization
shall not prevent the Paying Agent from contesting any such tax in appropriate
proceedings, and withholding payment of such tax, if permitted by law, pending
the outcome of such proceedings). The amount of any withholding tax imposed with
respect to the Transferor shall be treated as cash distributed to the Transferor
at the time it is withheld by the Trust and remitted to the appropriate taxing
authority. If there is a possibility that withholding tax is payable with
respect to a distribution (such as a distribution to a non-U.S. Transferor), the
Paying Agent may in its sole discretion withhold such amounts in accordance with
this paragraph (c). In the event that the Transferor wishes to apply for a
refund of any such withholding tax, the Owner Trustee and the Paying Agent shall
reasonably cooperate with the Transferor in making such claim so long as the
Transferor agrees to reimburse the Owner Trustee and the Paying Agent for any
out-of-pocket expenses incurred.

                                       17
<PAGE>

         Section 6.3 Method of Payment. Distributions required to be made to the
Transferor on any Payment Date shall be made to the Transferor of record on the
preceding Record Date in the manner set forth in Section 5.01 of the Sale and
Servicing Agreement.

         Section 6.4 [Reserved].

         Section 6.5 Accounting and Reports to the Transferor, the Internal
Revenue Service and Others. The Owner Trustee shall deliver to the Transferor
such information, reports or statements as may be required by the Code and
applicable Treasury Regulations and as may be required to enable the Transferor
to prepare its respective federal and state income tax returns. Consistent with
the Trust's (and each Loan Group's and Sub-Trust's) characterization for tax
purposes as a security arrangement for the issuance of non-recourse debt, no
federal income tax return shall be filed on behalf of the Trust unless either
(a) the Trust, the Sub-Trusts, the Transferor, the Owner Trustee or the
Transferor receives an Opinion of Counsel based on a change in applicable law
occurring after the date hereof that the Code requires such a filing or (b) the
Internal Revenue Service shall determine that the Trust (or a related Loan Group
or Sub-Trust) is required to file such a return. In the event that the Trust (or
a related Loan Group or Sub-Trust) is required to file tax returns, the Owner
Trustee shall elect under Section 1278 of the Code to include in income
currently any market discount that accrues with respect to the Home Equity
Loans. The Owner Trustee shall prepare or shall cause to be prepared any tax
returns required to be filed by the Trust or the Sub-Trusts and shall remit such
returns to the Transferor at least five days before such returns are due to be
filed. The Transferor, or any other such party required by law, shall promptly
sign such returns and deliver such returns after signature to the Owner Trustee
and such returns shall be filed by, or at the direction of, the Owner Trustee
with the appropriate tax authorities. In no event shall the Transferor be liable
for any liabilities, costs or expenses of the Trust or the Sub-Trusts arising
out of the application of any tax law, including federal, state, foreign or
local income or excise taxes or any other tax imposed on or measured by income
(or any interest, penalty or addition with respect thereto or arising from a
failure to comply therewith), except for any such liability, cost or expense
attributable to the Transferor's breach of its obligations under this Agreement.

         Section 6.6 Signature on Returns.

         The Owner Trustee shall sign on behalf of the Trust or the Sub-Trusts
the tax returns of the Trust or the Sub-Trusts, if any, unless applicable law
requires a Transferor to sign such documents, in which case the Transferor shall
sign such documents.

                                       18
<PAGE>

                                  ARTICLE VII

                      AUTHORITY AND DUTIES OF OWNER TRUSTEE

         Section 7.1 General Authority. The Owner Trustee is authorized and
directed to execute and deliver or cause to be executed and delivered the Notes,
the Transferor Interest and the Transaction Documents to which the Trust is to
be a party and each certificate or other document attached as an exhibit to or
contemplated by the Transaction Documents to which the Trust is to be a party
and any amendment or other agreement or instrument described in Article IV, in
each case, in such form as the Owner Trustee shall approve, as evidenced
conclusively by the Owner Trustee's execution thereof, and, on behalf of the
Trust, to direct the Indenture Trustee to authenticate and deliver the Class A-1
Notes in an aggregate principal amount equal to $[___________], the Class A-2
Notes in the aggregate principal amount of $[___________] and the Class A-3
Notes in the aggregate principal amount of $[___________]. In addition to the
foregoing, the Owner Trustee is authorized, but shall not be obligated, to take
all actions required of the Trust pursuant to the Transaction Documents.

         Section 7.2 General Duties. It shall be the duty of the Owner Trustee
to discharge (or cause to be discharged) all of its responsibilities pursuant to
the terms of this Agreement and the Transaction Documents to which the Trust is
a party and to administer the Trust in the interest of the Transferor, subject
to the Transaction Documents and in accordance with the provisions of this
Agreement. Notwithstanding the foregoing, the Owner Trustee shall be deemed to
have discharged its duties and responsibilities hereunder and under the
Transaction Documents to the extent the Administrator or Renaissance Mortgage
Acceptance Corp., a Delaware Corporation ("Renaissance") has agreed in the
Administration Agreement to perform any act or to discharge any duty of the
Owner Trustee hereunder or under any Transaction Document, including
discretionary duties, and the Owner Trustee shall not be held liable for the
default or failure of the Administrator or Renaissance to carry out their
respective obligations under the Administration Agreement.

         Section 7.3 Action upon Instruction.

                  (a) Subject to Article V herein and in accordance with the
terms of the Transaction Documents, the Transferor may by written instruction
direct the Owner Trustee in the management of the Trust but only to the extent
consistent with the limited purpose of the Trust. Such direction may be
exercised at any time by written instruction of the Transferor pursuant to
Article V.

                  (b) Notwithstanding the foregoing, the Owner Trustee shall not
be required to take any action hereunder or under any Transaction Document if
the Owner Trustee shall have reasonably determined, or shall have been advised
by counsel, that such action is likely to result in liability on the part of the
Owner Trustee or is contrary to the terms hereof or of any Transaction Document
or is otherwise contrary to law.

                                       19
<PAGE>

                  (c) Whenever the Owner Trustee is unable to decide between
alternative courses of action permitted or required by the terms of this
Agreement or under any Transaction Document, the Owner Trustee shall promptly
give notice (in such form as shall be appropriate under the circumstances) to
the Transferor and the Insurer (so long as no Insurer Default exists) requesting
instruction from the Transferor and the Insurer (so long as no Insurer Default
exists) as to the course of action to be adopted, and to the extent the Owner
Trustee acts in good faith in accordance with any written instruction of the
Transferor or the Insurer received, the Owner Trustee shall not be liable on
account of such action to any Person. If the Owner Trustee shall not have
received appropriate instruction within 10 days of such notice (or within such
shorter period of time as reasonably may be specified in such notice or may be
necessary under the circumstances) it may, but shall be under no duty to, take
or refrain from taking such action, not inconsistent with this Agreement or the
Transaction Documents, as it shall deem to be in the best interest of the
Transferor, and shall have no liability to any Person for such action or
inaction.

                  (d) In the event that the Owner Trustee is unsure as to the
application of any provision of this Agreement or any Transaction Document or
any such provision is ambiguous as to its application, or is, or appears to be,
in conflict with any other applicable provision, or in the event that this
Agreement provides no direction to the Owner Trustee or is silent or is
incomplete as to the course of action that the Owner Trustee is required to take
with respect to a particular set of facts, the Owner Trustee may give notice (in
such form as shall be appropriate under the circumstances) to the Transferor and
the Insurer requesting instruction and, to the extent that the Owner Trustee
acts or refrains from acting in good faith in accordance with any such
instruction received from the Insurer, or if there is an Insurer Default, the
Transferor, the Owner Trustee shall not be liable, on account of such action or
inaction, to any Person. If the Owner Trustee shall not have received
appropriate instruction within ten (10) days of such notice (or within such
shorter period of time as reasonably may be specified in such notice or may be
necessary under the circumstances) it may, but shall be under no duty to, take
or refrain from taking such action, not inconsistent with this Agreement or the
Transaction Documents, as it shall deem to be in the best interest of the
Transferor, and shall have no liability to any Person for such action or
inaction.

         Section 7.4 No Duties Except as Specified in this Agreement, the
Transaction Documents or in Instructions. The Owner Trustee shall not have any
duty or obligation to manage, make any payment with respect to, register,
record, sell, dispose of, or otherwise deal with the Owner Trust Estate, or to
otherwise take or refrain from taking any action under, or in connection with,
any document contemplated hereby to which the Owner Trustee or the Trust is a
party, except as expressly provided by the terms of this Agreement, any
Transaction Document or in any document or written instruction received by the
Owner Trustee pursuant to Section 7.3; and no implied duties or obligations
shall be read into this Agreement or any Transaction Document against the Owner
Trustee. The Owner Trustee shall have no responsibility for filing any financing
or continuation statement in any public office at anytime or to otherwise
perfect or maintain the perfection of any security interest or lien granted to
it hereunder or to prepare or file any Securities and Exchange Commission filing
for the Trust or to record this Agreement or any Transaction Document. The Owner
Trustee nevertheless agrees that it will, at its own cost and expense, promptly
take all action as may be necessary to discharge any liens on any part of the
Owner Trust Estate that result from actions by, or claims against, the Owner
Trustee that are not related to the ownership or the administration of the Owner
Trust Estate.

                                       20
<PAGE>

         Section 7.5 No Action Except Under Specified Documents or Instructions.
The Owner Trustee shall not manage, control, use, sell, dispose of or otherwise
deal with any part of the Owner Trust Estate except (i) in accordance with the
powers granted to and the authority conferred upon the Owner Trustee pursuant to
this Agreement, (ii) in accordance with the Transaction Documents and (iii) in
accordance with any document or instruction delivered to the Owner Trustee
pursuant to Section 7.3 above.

         Section 7.6 Restrictions. The Owner Trustee shall not take any action
(a) that is inconsistent with the purposes of the Trust set forth in Section 2.3
hereof or (b) that, to the actual knowledge of the Owner Trustee, would result
in the Trust's becoming taxable as a corporation for federal income tax
purposes. The Transferor shall not direct the Owner Trustee to take action that
would violate the provisions of this Section 7.6 .

                                  ARTICLE VIII

                          CONCERNING THE OWNER TRUSTEE

         Section 8.1 Acceptance of Trusts and Duties. The Owner Trustee accepts
the trusts hereby created and agrees to perform its duties hereunder with
respect to such trusts but only upon the terms of this Agreement and the
Transaction Documents. The Owner Trustee also agrees to disburse all moneys
actually received by it constituting part of the Owner Trust Estate upon the
terms of the Transaction Documents and this Agreement. The Owner Trustee shall
not be answerable or accountable hereunder or under any Transaction Document
under any circumstances, except (i) for its own willful misconduct, bad faith or
negligence or (ii) in the case of the inaccuracy of any representation or
warranty contained in Section 8.3 below expressly made by the Owner Trustee. In
particular, but not by way of limitation (and subject to the exceptions set
forth in the preceding sentence):

                  (a) the Owner Trustee shall not be liable for any error of
judgment made by a responsible officer of the Owner Trustee;

                  (b) the execution, delivery, authentication and performance by
the Owner Trustee of this Agreement will not require the authorization, consent
or approval of, the giving of notice to, the filing or registration with, or the
taking of any other action with respect to, any governmental authority or
agency;

                  (c) no provision of this Agreement or any Transaction Document
shall require the Owner Trustee to expend or risk funds or otherwise incur any
financial liability in the performance of any of its rights or powers hereunder
or under any Transaction Document if the Owner Trustee shall have reasonable
grounds for believing that repayment of such funds or adequate indemnity against
such risk or liability is not reasonably assured or provided to it;

                  (d) under no circumstances shall the Owner Trustee be liable
for indebtedness evidenced by or arising under any of the Transaction Documents,
including the principal of and interest on the Notes;

                                       21
<PAGE>

                  (e) the Owner Trustee shall not be responsible for or in
respect of the validity or sufficiency of this Agreement or for the due
execution hereof by the Depositor or the Seller or for the form, character,
genuineness, sufficiency, value or validity of any of the Owner Trust Estate or
for or in respect of the validity or sufficiency of the Transaction Documents,
other than the certificate of authentication on the Transferor Interest, and the
Owner Trustee shall in no event assume or incur any liability, duty, or
obligation to any Noteholder, to the Transferor or other than as expressly
provided for herein and in the Transaction Documents;

                  (f) the Owner Trustee shall not be liable for the default or
misconduct of the Depositor, the Seller, the Indenture Trustee, or the Servicer
under any of the Transaction Documents or otherwise and the Owner Trustee shall
have no obligation or liability to perform the obligations of the Trust under
this Agreement or the Transaction Documents that are required to be performed by
the Indenture Trustee under the Indenture, the Servicer under the Sale and
Servicing Agreement, the Administrator or Renaissance under the Administration
Agreement or the Certificate Registrar or any Paying Agent hereunder;

                  (g) the Owner Trustee shall be under no obligation to exercise
any of the rights or powers vested in it by this Agreement, or to institute,
conduct or defend any litigation under this Agreement or otherwise or in
relation to this Agreement or any Transaction Document, at the request, order or
direction of the Transferor, unless such Transferor has offered to the Owner
Trustee security or indemnity satisfactory to it against the costs, expenses and
liabilities that may be incurred by the Owner Trustee therein or thereby. The
right of the Owner Trustee to perform any discretionary act enumerated in this
Agreement or in any Transaction Document shall not be construed as a duty, and
the Owner Trustee shall not be answerable for other than its gross negligence or
willful misconduct in the performance of any such act; and.

                  (h) The Owner Trustee shall not be liable with respect to any
action taken or omitted to be taken by it in accordance with the instructions of
the Depositor, the Insurer, the Seller or any Owner to the extent such action or
direction is permitted by the Transaction Documents.

         Section 8.2 Furnishing of Documents. The Owner Trustee shall furnish
(a) to the Transferor promptly upon receipt of a written request therefor,
duplicates or copies of all reports, notices, requests, demands, certificates,
financial statements and any other instruments furnished to the Owner Trustee
under the Transaction Documents and (b) to Noteholders and the Insurer promptly
upon written request therefor, copies of the Sale and Servicing Agreement and
this Agreement.

         Section 8.3 Representations and Warranties.

         [________________________] hereby represents and warrants to the
Depositor, for the benefit of the Transferor and the Insurer, that:

                  (a) It is a banking corporation duly organized and validly
existing in good standing under the laws of the State of Delaware. It has all
requisite corporate power and authority to execute, deliver and perform its
obligations under this Agreement;

                                       22
<PAGE>

                  (b) It has taken all corporate action necessary to authorize
the execution and delivery by it of this Agreement, and this Agreement will be
executed and delivered by one of its officers who is duly authorized to execute
and deliver this Agreement on its behalf;

                  (c) Neither the execution nor the delivery by it of this
Agreement nor the consummation by it of the transactions contemplated hereby nor
compliance by it with any of the terms or provisions hereof will contravene any
federal or Delaware law, governmental rule or regulation governing the banking
or trust powers of the Owner Trustee or any judgment or order binding on it, or
constitute any default under its charter documents or by-laws or any indenture,
mortgage, contract, agreement or instrument to which it is a party or by which
any of its properties may be bound;

                  (d) This Agreement has been duly authorized, executed and
delivered by the Owner Trustee and constitutes a valid, legal and binding
obligation of the Owner Trustee, enforceable against it in accordance with the
terms hereof, subject to applicable bankruptcy, insolvency, reorganization,
moratorium and other laws affecting the enforcement of creditors' rights
generally and to general principles of equity, regardless of whether such
enforcement is considered in a proceeding in equity or at law;

                  (e) The Owner Trustee is not in default with respect to any
order or decree of any court or any order, regulation or demand of any federal,
state, municipal or governmental agency, which default might have consequences
that would materially and adversely affect the condition (financial or other) or
operations of the Owner Trustee or its properties or might have consequences
that would materially adversely affect its performance hereunder; and

                  (f) No litigation is pending or, to the best of the Owner
Trustee's knowledge, threatened against the Owner Trustee that would prohibit
its entering into this Agreement or performing its obligations under this
Agreement.

         Section 8.4 Reliance; Advice of Counsel.

                  (a) The Owner Trustee shall incur no liability to anyone in
acting upon any signature, instrument, notice, resolution, request, consent,
order, certificate, report, opinion, bond, or other document or paper believed
by it to be genuine and believed by it to be signed by the proper party or
parties. The Owner Trustee may accept a certified copy of a resolution of the
board of directors or other governing body of any corporate party as conclusive
evidence that such resolution has been duly adopted by such body and that the
same is in full force and effect. As to any fact or matter the method of the
determination of which is not specifically prescribed herein, the Owner Trustee
may for all purposes hereof rely on a certificate, signed by the president or
any vice president or by the treasurer or other authorized officer of the
relevant party, as to such fact or matter and such certificate shall constitute
full protection to the Owner Trustee for any action taken or omitted to be taken
by it in good faith in reliance thereon.

                  (b) In the exercise or administration of the trusts hereunder
and in the performance of its duties and obligations under this Agreement or the
Transaction Documents, the Owner Trustee (i) may act directly or through its
agents or attorneys pursuant to agreements entered into with any of them, and
the Owner Trustee shall not be liable for the conduct or misconduct of such
agents or attorneys if such agents or attorneys shall have been selected by the
Owner Trustee with reasonable care, and (ii) may consult with counsel,
accountants and other skilled persons to be selected with reasonable care and
employed by it. The Owner Trustee shall not be liable for anything done,
suffered or omitted in good faith by it in accordance with the opinion or advice
of any such counsel, accountants or other such persons and not contrary to this
Agreement or any Transaction Document.

                                       23
<PAGE>

         Section 8.5 Not Acting in Individual Capacity. Except as provided in
this Article VIII, in accepting the trusts hereby created, [__________________]
acts solely as Owner Trustee hereunder and not in its individual capacity and
all Persons having any claim against the Owner Trustee by reason of the
transactions contemplated by this Agreement or any Transaction Document shall
look only to the Owner Trust Estate for payment or satisfaction thereof.

         Section 8.6 Owner Trustee Not Liable for the Transferor Interest or the
Mortgage Loans. The recitals contained herein and in the Transferor Interest
(other than the signature of the Owner Trustee on the Certificate) shall be
taken as the statements of the Depositor, and the Owner Trustee assumes no
responsibility for the correctness thereof. The Owner Trustee makes no
representations as to the validity or sufficiency of this Agreement, of any
Transaction Document or of the Transferor Interest (other than the signature of
the Owner Trustee on the Certificate and as specified in Section 8.3 hereof) or
the Notes, or of any Mortgage Loans or related documents. The Owner Trustee
shall at no time have any responsibility or liability for or with respect to the
legality, validity and enforceability of any Mortgage Loan, or the perfection
and priority of any security interest created by any Mortgage Loan or the
maintenance of any such perfection and priority, or for or with respect to the
sufficiency of the Owner Trust Estate or its ability to generate the payments to
be distributed to the Transferor under this Agreement or to the Noteholders
under the Indenture, including, without limitation: the existence, condition and
ownership of any Mortgaged Property; the existence and enforceability of any
insurance thereon; the existence and contents of any Mortgage Loan on any
computer or other record thereof; the validity of the assignment of any Mortgage
Loan to the Trust or of any intervening assignment; the completeness of any
Mortgage Loan; the performance or enforcement of any Mortgage Loan; the
compliance by the Depositor, the Seller or the Servicer with any warranty or
representation made under any Transaction Document or in any related document or
the accuracy of any such warranty or representation or any action of the
Depositor, the Seller, the Indenture Trustee, the Administrator or the Servicer
or any subservicer taken in the name of the Owner Trustee.

         Section 8.7 Owner Trustee May Own the Transferor Interest and the
Notes. The Owner Trustee in its individual or any other capacity may become the
owner or pledgee of the Transferor Interest or the Notes and may deal with the
Depositor, the Seller, the Indenture Trustee, the Administrator and the Servicer
in banking transactions with the same rights as it would have if it were not
Owner Trustee.

         Section 8.8 Licenses. The Owner Trustee shall cause the Trust to use
its best efforts to obtain and maintain the effectiveness of any licenses
required in connection with this Agreement and the Transaction Documents and the
transactions contemplated hereby and thereby until such time as the Trust shall
terminate in accordance with the terms hereof.

                                       24
<PAGE>

                                   ARTICLE IX

                          COMPENSATION OF OWNER TRUSTEE

         Section 9.1 Owner Trustee's Fees and Expenses. The Owner Trustee shall
receive as compensation for its services hereunder such fees as have been
separately agreed upon before the date hereof between the Seller and the Owner
Trustee, and the Owner Trustee shall be entitled to be reimbursed by the Seller
for its other reasonable expenses hereunder, including the reasonable
compensation, expenses and disbursements of such agents, representatives,
experts and counsel as the Owner Trustee may employ in connection with the
exercise and performance of its rights and its duties hereunder.

         Section 9.2 Indemnification. The Seller shall be liable as primary
obligor for, and shall indemnify the Owner Trustee and its successors, assigns,
agents and servants (collectively, the "Indemnified Parties") from and against,
any and all liabilities, obligations, losses, damages, taxes, claims, actions
and suits, and any and all reasonable costs, expenses and disbursements
(including reasonable legal fees and expenses) of any kind and nature whatsoever
(collectively, "Expenses") which may at any time be imposed on, incurred by, or
asserted against the Owner Trustee or any Indemnified Party in any way relating
to or arising out of this Agreement, the Transaction Documents, the Owner Trust
Estate, the administration of the Owner Trust Estate or the action or inaction
of the Owner Trustee hereunder, except only that the Seller shall not be liable
for or required to indemnify an Indemnified Party from and against Expenses
arising or resulting from any of the matters described in the third sentence of
Section 8.1 hereof. The indemnities contained in this Section 9.2 shall survive
the resignation or termination of the Owner Trustee or the termination of this
Agreement. In the event of any claim, action or proceeding for which indemnity
will be sought pursuant to this Section 9.2, the Owner Trustee's choice of legal
counsel shall be subject to the approval of the Seller, which approval shall not
be unreasonably withheld.

         Section 9.3 Payments to the Owner Trustee. Any amounts paid to the
Owner Trustee pursuant to this Article IX shall be deemed not to be a part of
the Owner Trust Estate immediately after such payment.

                                   ARTICLE X

                         TERMINATION OF TRUST AGREEMENT

         Section 10.1 Termination of Trust Agreement.

                  (a) This Agreement (other than Article IX) and the Trust shall
terminate pursuant to the Business Trust Statute and be of no further force or
effect on the earlier of (i) the satisfaction and discharge of the Indenture
pursuant to Section 4.1 of the Indenture and the termination of the Sale and
Servicing Agreement and (ii) the expiration of 21 years from the death of the
last survivor of the descendants of Joseph P. Kennedy (the late ambassador of
the United States to the Court of St. James's) alive on the date hereof. The
bankruptcy, liquidation, dissolution, death or incapacity of the Transferor
shall not (x) operate to terminate this Agreement or the Trust, nor (y) entitle
such Transferor's legal representatives or heirs to claim an accounting or to
take any action or proceeding in any court for a partition or winding-up of all
or any part of the Trust or Owner Trust Estate nor (z) otherwise affect the
rights, obligations and liabilities of the parties hereto.

                                       25
<PAGE>

                  (b) The Transferor Interest shall be subject to an early
redemption or termination at the option of the Servicer in the manner and
subject to the provisions of Section 8.01 of the Sale and Servicing Agreement.

                  (c) Except as provided in Sections 10.1(a) and (b) above, none
of the Depositor, the Seller, the Administrator, or the Transferor shall be
entitled to revoke or terminate the Trust.

                  (d) Notice of any termination of the Trust, specifying the
Payment Date upon which the Transferor shall surrender their Transferor Interest
to the Paying Agent for payment of the final distributions and cancellation,
shall be given by the Certificate Registrar to the Transferor, the Insurer and
the Rating Agencies mailed within five Business Days of receipt by the
Certificate Registrar of notice of such termination pursuant to (a) or (b)
above, which notice given by the Owner Trustee shall state (i) the Payment Date
upon or with respect to which final payment of the Certificate Registrar shall
be made upon presentation and surrender of the Transferor Interest at the office
of the Paying Agent therein designated, (ii) the amount of any such final
payment and (iii) that the Record Date otherwise applicable to such Payment Date
is not applicable, payments being made only upon presentation and surrender of
the Transferor Interest at the office of the Paying Agent therein specified. The
Certificate Registrar shall give such notice to the Owner Trustee and the Paying
Agent at the time such notice is given to the Transferor. Upon presentation and
surrender of the Transferor Interest, the Paying Agent shall cause to be
distributed to the Transferor amounts distributable on such Payment Date
pursuant to Section 5.01 of the Sale and Servicing Agreement.

                  In the event that the Transferor shall not surrender its
Transferor Interest for cancellation within six months after the date specified
in the above-mentioned written notice, the Certificate Registrar shall give a
second written notice to the Transferor to surrender the Transferor Interest for
cancellation and receive the final distribution with respect thereto. If within
one year after the second notice the Transferor Interest shall not have been
surrendered for cancellation, the Certificate Registrar may take appropriate
steps, or may appoint an agent to take appropriate steps, to contact the
remaining Transferor concerning surrender of the Transferor Interest, and the
cost thereof shall be paid out of the funds and other assets that shall remain
subject to this Agreement. Any funds remaining in the Trust after exhaustion of
such remedies shall be distributed by the Paying Agent to the Transferor.

                                       26
<PAGE>

                  (e) Upon the winding up of the Trust and its termination, the
Owner Trustee shall cause the Certificate of Trust to be canceled by filing a
certificate of cancellation with the Secretary of State in accordance with the
Business Trust Statute.

                                   ARTICLE XI

             SUCCESSOR OWNER TRUSTEES AND ADDITIONAL OWNER TRUSTEES

         Section 11.1 Eligibility Requirements for Owner Trustee. The Owner
Trustee shall at all times be a corporation satisfying the provisions of the
Business Trust Statute; authorized to exercise corporate powers; having a
combined capital and surplus of at least $50,000,000 and subject to supervision
or examination by federal or state authorities; and having (or having a parent
which has) a long-term rating of at least "A" (or its equivalent) by each of
Standard & Poor's Ratings Services, a division of The McGraw-Hill Companies,
Inc., and Moody's Investors Service, Inc. and being acceptable to the Insurer.
If such corporation shall publish reports of condition at least annually,
pursuant to law or to the requirements of the aforesaid supervising or examining
authority, then for the purpose of this Section, the combined capital and
surplus of such corporation shall be deemed to be its combined capital and
surplus as set forth in its most recent report of condition so published. In
case at any time the Owner Trustee shall cease to be eligible in accordance with
the provisions of this Section 11.1, the Owner Trustee shall resign immediately
in the manner and with the effect specified in Section 11.2.

         Section 11.2 Resignation or Removal of Owner Trustee. The Owner Trustee
may at any time resign and be discharged from the trusts hereby created by
giving written notice thereof to the Issuer, the Indenture Trustee, the Rating
Agencies, the Insurer, the Depositor and the Seller. Upon receiving such notice
of resignation, the Indenture Trustee shall promptly appoint a successor Owner
Trustee with the consent of the Insurer, which consent shall not be unreasonably
withheld, by written instrument, in duplicate, one copy of which instrument
shall be delivered to the resigning Owner Trustee and one copy to the successor
Owner Trustee. If no successor Owner Trustee shall have been so appointed and
have accepted appointment within 30 days after the giving of such notice of
resignation, the resigning Owner Trustee or the Insurer may petition any court
of competent jurisdiction for the appointment of a successor Owner Trustee.

         If at any time the Owner Trustee shall cease to be eligible in
accordance with the provisions of Section 11.1 above and shall fail to resign
after written request therefor by the Indenture Trustee, or if at any time the
Owner Trustee shall be legally unable to act, or shall be adjudged bankrupt or
insolvent, or a receiver of the Owner Trustee or of its property shall be
appointed, or any public officer shall take charge or control of the Owner
Trustee or of its property or affairs for the purpose of rehabilitation,
conservation or liquidation, then the Indenture Trustee may, and, at the
direction of the Insurer, shall, remove the Owner Trustee. If the Indenture
Trustee shall remove the Owner Trustee under the authority of the immediately
preceding sentence, the Indenture Trustee shall promptly appoint a successor
Owner Trustee acceptable to the Insurer by written instrument in duplicate, one
copy of which instrument shall be delivered to the outgoing Owner Trustee so
removed and one copy to the successor Owner Trustee and payment of all fees owed
to the outgoing Owner Trustee.

                                       27
<PAGE>

         Any resignation or removal of the Owner Trustee and appointment of a
successor Owner Trustee pursuant to any of the provisions of this Section 11.2
shall not become effective until acceptance of appointment by the successor
Owner Trustee pursuant to Section 11.3, written approval by the Insurer and
payment of all fees and expenses owed to the outgoing Owner Trustee. The
Indenture Trustee shall provide notice of such resignation or removal of the
Owner Trustee to each of the Rating Agencies.

         Section 11.3 Successor Owner Trustee. Any successor Owner Trustee
appointed pursuant to Section 11.2 shall execute, acknowledge and deliver to the
Indenture Trustee, the Insurer and to its predecessor Owner Trustee an
instrument accepting such appointment under this Agreement, and thereupon the
resignation or removal of the predecessor Owner Trustee shall become effective
and such successor Owner Trustee (if acceptable to the Insurer), without any
further act, deed or conveyance, shall become fully vested with all the rights,
powers, duties, and obligations of its predecessor under this Agreement, with
like effect as if originally named as Owner Trustee. The predecessor Owner
Trustee shall upon payment of its fees and expenses deliver to the successor
Owner Trustee all documents and statements and monies held by it under this
Agreement; and the Indenture Trustee and the predecessor Owner Trustee shall
execute and deliver such instruments and do such other things as may reasonably
be required for fully and certainly vesting and confirming in the successor
Owner Trustee all such rights, powers, duties, and obligations.

         No successor Owner Trustee shall accept appointment as provided in this
Section 11.3 unless at the time of such acceptance such successor Owner Trustee
shall be eligible pursuant to Section 11.1 above.

         Upon acceptance of appointment by a successor Owner Trustee pursuant to
this Section 11.3, the Indenture Trustee shall mail notice of the successor of
such Owner Trustee to the Transferor, the Noteholders, the Insurer and the
Rating Agencies. If the Indenture Trustee fails to mail such notice within 10
days after acceptance of appointment by the successor Owner Trustee, the
successor Owner Trustee shall cause such notice to be mailed at the expense of
the Indenture Trustee.

         Section 11.4 Merger or Consolidation of Owner Trustee. Any corporation
into which the Owner Trustee may be merged or converted or with which either may
be consolidated or any corporation resulting from any merger, conversion or
consolidation to which the Owner Trustee shall be a party, or any corporation
succeeding to all or substantially all of the corporate trust business of the
Owner Trustee, shall be the successor of the Owner Trustee, as the case may be,
hereunder, provided such corporation shall be eligible pursuant to Section 11.1
above, without the execution or filing of any instrument or any further act on
the part of any of the parties hereto, anything herein to the contrary
notwithstanding; provided further that the Owner Trustee, shall mail notice of
such merger or consolidation to the Seller, the Depositor, the Rating Agencies
and the Insurer.

                                       28
<PAGE>

         Section 11.5 Appointment of Co-Owner Trustee or Separate Owner Trustee.
Notwithstanding any other provisions of this Agreement, at any time, for the
purpose of meeting any legal requirements of any jurisdiction in which any part
of the Owner Trust Estate or any Mortgaged Property may at the time be located,
the Owner Trustee (with the consent of the Insurer, which consent shall not be
unreasonably withheld) shall have the power and shall execute and deliver all
instruments to appoint one or more Persons to act as co-owner trustee, jointly
with the Owner Trustee, or separate owner trustee or separate owner trustees, of
all or any part of the Owner Trust Estate, and to vest in such Person, in such
capacity, such title to the Trust, or any part thereof, and, subject to the
other provisions of this Section, such powers, duties, obligations, rights and
trusts as the Owner Trustee may consider necessary or desirable. No co-owner
trustee or separate trustee under this Section 11.5 shall be required to meet
the terms of eligibility as a successor Owner Trustee pursuant to Section 11.1
above and no notice of the appointment of any co-owner trustee or separate
trustee shall be required pursuant to Section 11.3 above.

         The Owner Trustee hereby appoints the Indenture Trustee for the purpose
of establishing and maintaining the Distribution Account and making the
distributions therefrom to the Persons entitled thereto pursuant to Section 5.01
of the Sale and Servicing Agreement.

         Each separate trustee and co-owner trustee shall, to the extent
permitted by law, be appointed and act subject to the following provision and
conditions:

                  (i) all rights, powers, duties and obligations conferred or
         imposed upon the Owner Trustee shall be conferred upon and exercised or
         performed by the Owner Trustee and such separate owner trustee or
         co-owner trustee jointly (it being understood that such separate owner
         trustee or co-owner trustee is not authorized to act separately without
         the Owner 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 Owner 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 Trust or any
         portion thereof in any such jurisdiction) shall be exercised and
         performed singly by such separate trustee or co-owner trustee but
         solely at the direction of the Owner Trustee;

                  (ii) no owner trustee under this Agreement shall be personally
         liable by reason of any act or omission of any other owner trustee
         under this Agreement; and

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

         Any notice, request or other writing given to the Owner Trustee shall
be deemed to have been given to the separate trustees and co-owner trustees, as
if given to each of them. Every instrument appointing any separate owner trustee
or co-owner trustee, other than this Agreement, shall refer to this Agreement
and to the conditions of this Article XI. Each separate trustee and co-owner
trustee, upon its acceptance of appointment, shall be vested with the estates
specified in its instrument of appointment, either jointly with the Owner
Trustee or separately, as may be provided therein, subject to all the provisions
of this Agreement, specifically including every provision of this Agreement
relating to the conduct of, affecting the liability of, or affording protection
to, the Owner Trustee. Each such instrument shall be filed with the Owner
Trustee.

                                       29
<PAGE>

         Any separate trustee or co-owner trustee may at any time appoint the
Owner Trustee as 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 Agreement on its behalf and in its name. If any owner trustee or co-owner
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 Owner Trustee, to the extent permitted by law, without the appointment of
a new or successor trustee.

                                  ARTICLE XII

                                  MISCELLANEOUS

         Section 12.1 Supplements and Amendments. This Agreement may be amended
by the Depositor, the Seller and the Owner Trustee with prior written notice to
the Rating Agencies and the Indenture Trustee and with the consent of the
Insurer (which consent shall not be unreasonably withheld), but without the
consent of any of the Noteholders, the Transferor or the Indenture Trustee, to
cure any ambiguity, to correct or supplement any provisions in this Agreement or
for the purpose of adding any provisions to or changing in any manner or
eliminating any of the provisions in this Agreement or of modifying in any
manner the rights of the Noteholders or the Transferor; provided, however, that
such action shall not adversely affect in any material respect the interests of
any Noteholder, the Transferor or the Insurer. An amendment described above
shall be deemed not to adversely affect in any material respect the interests of
any Noteholder, the Transferor or the Insurer if either (i) an Opinion of
Counsel is obtained to such effect, or (ii) the party requesting the amendment
satisfies the Rating Agency Condition with respect to such amendment.

         This Agreement may also be amended from time to time by the Depositor,
the Seller and the Owner Trustee, with the prior written consent of the Rating
Agencies, the Insurer, the Indenture Trustee, the Noteholders affected thereby
evidencing more than 50% of the Percentage Interests in the Class of Notes
affected thereby or more than 50% of the Percentage Interests of all the Notes
if both Classes are so affected, and the Transferor, for the purpose of adding
any provisions to or changing in any manner or eliminating any of the provisions
of this Agreement or of modifying in any manner the rights of the Noteholders or
the Transferor; provided, however, that no such amendment shall (a) increase or
reduce in any manner the amount of, or accelerate or delay the timing of,
collections of payments on the Home Equity Loans or distributions that shall be
required to be made for the benefit of the Noteholders or the Transferor or (b)
reduce the aforesaid Percentage Interests required to consent to any such
amendment, without the consent of the holders of all the outstanding Notes. The
Depositor shall join in any such amendment approved as provided in the preceding
sentence so long as such amendment is not adverse to the interests of the
Depositor.

                                       30
<PAGE>

         Promptly after the execution of any such amendment, the Owner Trustee
shall furnish written notification of the substance of such amendment to the
Indenture Trustee, the Insurer and each of the Rating Agencies.

         It shall not be necessary for the consent of the Transferor, the
Noteholders or the Indenture Trustee pursuant to this Section 12.1 to approve
the particular form of any proposed amendment, but it shall be sufficient if
such consent shall approve the substance thereof. The manner of obtaining such
consents (and any other consents of the Transferor provided for in this
Agreement or in any other Transaction Document) and of evidencing the
authorization of the execution thereof by the Transferor and the Noteholders
shall be subject to such reasonable requirements as the Owner Trustee may
prescribe.

         Promptly after the execution of any amendment to the Certificate of
Trust, the Owner Trustee shall cause the filing of such amendment with the
Secretary of State.

         Prior to the execution of any amendment to this Agreement or the
Certificate of Trust, the Owner Trustee shall be entitled to receive and rely
upon an Opinion of Counsel stating that the execution of such amendment is
authorized or permitted by this Agreement and that all conditions precedent to
such execution and delivery have been satisfied. The Owner Trustee may, but
shall not be obligated to, enter into any such amendment which affects the Owner
Trustee's own rights, duties or immunities under this Agreement or otherwise.

         Section 12.2 No Legal Title to Owner Trust Estate in Transferor. The
Transferor shall not have legal title to any part of the Owner Trust Estate. The
Transferor shall be entitled to receive distributions with respect to their
undivided Transferor Interest therein only in accordance with Articles VI and X
herein. No transfer, by operation of law or otherwise, of any right, title, or
interest of the Transferor to and in its Transferor Interest shall operate to
terminate this Agreement or the trusts hereunder or entitle any transferee to an
accounting or to the transfer to it of legal title to any part of the Owner
Trust Estate.

         Section 12.3 Limitations on Rights of Others. The provisions of this
Agreement are solely for the benefit of the Owner Trustee, the Depositor, the
Seller, the Issuer, the Insurer, the Transferor and, to the extent expressly
provided herein, the Indenture Trustee, the Insurer and the Noteholders, and
nothing in this Agreement, whether express or implied, shall be construed to
give to any other Person any legal or equitable right, remedy or claim in the
Owner Trust Estate or under or in respect of this Agreement or any covenants,
conditions or provisions contained herein.

         Section 12.4 Notices.

                  (a) Unless otherwise expressly specified or permitted by the
terms hereof, all notices shall be in writing and shall be deemed given upon
receipt by the intended recipient or three Business Days after mailing if mailed
by certified mail, postage prepaid (except that notice to the Owner Trustee
shall be deemed given only upon actual receipt by the Owner Trustee), at the
following addresses: (i) if to the Owner Trustee, its Corporate Trust Office;
(ii) if to the Depositor, Renaissance Mortgage Acceptance Corp., 1000 Woodbury
Road, Woodbury, New York 11797; (iii) if to the Insurer, [________________],
[___________________], Attention: [________________]; (iv) if to the Indenture
Trustee, its Corporate Trust Office; (v) if to the Transferor,
[_____________________________________]; (vi) if to the Seller, Delta Funding
Corporation, 1000 Woodbury Road, Suite 200, Woodbury, NY 11797; or, as to each
such party, at such other address as shall be designated by such party in a
written notice to each other party.

                                       31
<PAGE>

                  (b) Any notice required or permitted to be given to the
Transferor shall be given by first-class mail, postage prepaid, at the address
of such Transferor as shown in the Certificate Register. Any notice so mailed
within the time prescribed in this Agreement shall be conclusively presumed to
have been duly given, whether or not the Transferor receives such notice.

         Section 12.5 Severability. Any provision of this Agreement that is
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 provision in any other jurisdiction.

         Section 12.6 Separate Counterparts. This Agreement may be executed by
the parties hereto in separate counterparts, each of which when so executed and
delivered shall be an original, but all such counterparts shall together
constitute but one and the same instrument.

         Section 12.7 Successors and Assigns. All covenants and agreements
contained herein shall be binding upon, and inure to the benefit of the
Depositor, the Seller, the Owner Trustee, the Insurer and its successors and the
Transferor and its successors and permitted assigns, all as herein provided. Any
request, notice, direction, consent, waiver or other instrument or action by the
Transferor shall bind the successors and assigns of the Transferor.

         Section 12.8 No Petition. The Owner Trustee, by entering into this
Agreement, the Transferor, by accepting the Transferor Interest, and the
Indenture Trustee and each Noteholder by accepting the benefits of this
Agreement, hereby covenant and agree that they will not at any time institute
against the Transferor or the Trust, or join in any institution against the
Transferor, or the Trust of, any bankruptcy, reorganization, arrangement,
insolvency or liquidation proceedings, or other proceedings under any United
States federal or state bankruptcy or law in connection with any obligations
relating to the Transferor Interest and the Notes, this Agreement or any of the
Transaction Documents.

         Section 12.9 [Reserved].

         Section 12.10 No Recourse. The Transferor by accepting the Transferor
Interest acknowledges that the Transferor's Transferor Interest represents a
beneficial interest in the Trust only and does not represent an interest in or
an obligation of the Servicer, the Depositor, the Seller, the Owner Trustee or
any Affiliate thereof and no recourse may be had against such parties or their
assets, except as may be expressly set forth or contemplated in this Agreement,
the Transferor Interest or the Transaction Documents.

                                       32
<PAGE>

         Section 12.11 Headings. The headings of the various Articles and
Sections herein are for convenience of reference only and shall not define or
limit any of the terms or provisions hereof.

         Section 12.12 GOVERNING LAW. THIS AGREEMENT SHALL BE CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF DELAWARE, WITHOUT REFERENCE TO ITS
CONFLICT OF LAW PROVISIONS, AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE
PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS.

         Section 12.13 [Reserved].

         Section 12.14 Inconsistencies with Sale and Servicing Agreement.

         In the event certain provisions of this Agreement conflict with the
provisions of the Sale and Servicing Agreement, the parties hereto agree that
the provisions of the Sale and Servicing Agreement shall be controlling.

         Section 12.15 Third Party Beneficiary.

         The parties hereto acknowledge that the Insurer is an express third
party beneficiary hereof entitled to enforce the provisions hereof as if it were
actually a party hereto. Nothing in this Section 12.14 however shall be
construed to mitigate in any way, the fiduciary responsibilities of the Owner
Trustee to the beneficiaries of the Trust.

                                       33
<PAGE>

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

                                      [_______________________________________],
                                      as Owner Trustee

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

                                      Renaissance Mortgage Acceptance Corp.,
                                      as Depositor

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

                                      DELTA FUNDING CORPORATION,
                                      as Seller

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

                                       34
<PAGE>

                              CERTIFICATE OF TRUST
                                       OF
                 RENAISSANCE HOME EQUITY LOAN TRUST 200[_]-[__]

         This Certificate of Trust of Renaissance Home Equity Loan Trust
200[_]-[__] (the "Trust"), is being duly executed and filed by
[________________________], a [_________] banking corporation, as trustee, to
form a business trust under the Delaware Business Trust Act (12 Del. Code,
ss.3801 et seq.) (the "Act").

         (1) Name The name of the business trust formed hereby is Renaissance
Home Equity Loan Trust 200[_]-[__].

         (2) Delaware Trustee. The name and business address of the trustee of
the Trust in the State of Delaware is [________________________],
[______________________________], Attention:
[_________________________________].

         (3) Series. Pursuant to Section 3806(b)(2) of the Act, the Trust shall
issue one or more series of beneficial interests having the rights and
preferences set forth in the governing instrument of the Trust, as the same may
be amended from time to time (each a "Series" or "Sub-Trust").

         (4) Notice of Limitation of Liabilities of each Series. Pursuant to
Section 3804(a) of the Act, there shall be a limitation on liabilities of each
Series such that (a) the debts, liabilities, obligations and expenses incurred,
contracted for or otherwise existing with respect to a particular Series shall
be enforceable against the assets of such Series only, and not against the
assets of the Trust generally or the assets of any other Series thereof and (b)
none of the debts, liabilities, obligations and expenses incurred, contracted
for or otherwise existing with respect to the Trust generally or any other
Series thereof shall be enforceable against the assets of such Series.

         (5) Effective Date. This Certificate of Trust shall be effective
[______] [__], 200[_].

         IN WITNESS WHEREOF, the undersigned, being the sole trustee of the
Trust, has executed this Certificate of Trust in accordance with Section 3811(a)
of the Act.

                                       [_______________________________],
                                       not in its individual capacity but solely
                                       as Owner Trustee under a Trust Agreement
                                       dated   [_________] [__], 200[_]
                                       By: _______________________________
                                       Name:
                                       Title:

<PAGE>

                                    EXHIBIT B

                              TRANSFER CERTIFICATE

Attention: [____________________]

         Re:      Amended and Restated Trust Agreement, dated as of [________]
                  [__], 200[_], among Delta Funding Corporation, as Seller,
                  Renaissance Mortgage Acceptance Corp., as Depositor, and
                  [________________________], as Owner Trustee; Renaissance Home
                  Equity Loan Trust 200[_]-[__], Home Equity Loan Asset-Backed
                  Notes, Series 200[_]-[__].

Ladies and Gentlemen:

         The undersigned (the "Transferee") has agreed to purchase from (the
"Transferor") the Transferor Interest:

         A.       Rule 144A "Qualified Institutional Buyers" should complete
                  this section

                  I.       The Transferee is (check one):

                           (i) An insurance company, as defined in Section 2(13)
                  of the Securities Act of 1933, as amended (the "Securities
                  Act"), (ii) an investment company registered under the
                  Investment Company Act of 1940, as amended (the "Investment
                  Company Act"), (iii) a business development company as defined
                  in Section 2(a)(48) of the Securities Act, (iv) a Small
                  Business Investment Company licensed by the U.S. Small
                  Business Administration under Section 301(c) or (d) of the
                  Small Business Investment Act of 1958, (v) a plan established
                  and maintained by a state, its political subdivisions, or any
                  agency or instrumentality of a state or its political
                  subdivisions, for the benefit of its employees, (vi) an
                  employee benefit plan within the meaning of Title I of the
                  Employee Retirement Income Security Act of 1974, as amended
                  ("ERISA"), (vii) a business development company as defined in
                  Section 202(a)(22) of the Investment Advisors Act of 1940,
                  (viii) an organization described in Section 501(c)(3) of the
                  Internal Revenue Code, corporation (other than a bank as
                  defined in Section 3(a)(2) of the Securities Act or a savings
                  and loan association or other institution referenced in
                  Section 3(a)(2) of the Securities Act or a foreign bank or
                  savings and loan association or equivalent institution),
                  partnership, or Massachusetts or similar business trust; or
                  (ix) an investment advisor registered under the Investment
                  Advisors Act of 1940, which, for each of (i) through (ix),
                  owns and invests on a discretionary basis at least $100
                  million in securities other than securities of issuers
                  affiliated with the Transferee, securities issued or
                  guaranteed by the United States or a person controlled or
                  supervised by and acting as an instrumentality of the
                  government of the United States pursuant to authority granted
                  by the Congress of the United States, bank deposit notes and
                  certificates of deposit, loan participations, repurchase
                  agreements, securities owned but subject to a repurchase
                  agreement, and currency, interest rate and commodity swaps
                  (collectively, "Excluded Securities");

                                      B-1
<PAGE>

                  ---      a dealer registered pursuant to Section 15 of the
                           Securities Exchange Act of 1934, as amended (the
                           "Exchange Act") that in the aggregate owns and
                           invests on a discretionary basis at least $10 million
                           of securities other than Excluded Securities and
                           securities constituting the whole or part of an
                           unsold allotment to, or subscription by, Transferee
                           as a participant in a public offering;

                  ---      an investment company registered under the Investment
                           Company Act that is part of a family of investment
                           companies (as defined in Rule 144A of the Securities
                           and Exchange Commission) which own in the aggregate
                           at least $100 million in securities other than
                           Excluded Securities and securities of issuers that
                           are part of such family of investment companies;

                  ---      an entity, all of the equity owners of which are
                           entities described in this Paragraph A(I);

                  ---      a bank as defined in Section 3(a)(2) of the
                           Securities Act, any savings and loan association or
                           other institution as referenced in Section 3(a)(5)(A)
                           of the Securities Act, or any foreign bank or savings
                           and loan association or equivalent institution that
                           in the aggregate owns and invests on a discretionary
                           basis at least $100 million in securities other than
                           Excluded Securities and has an audited net worth of
                           at least $25 million as demonstrated in its latest
                           annual financial statements, as of a date not more
                           than 16 months preceding the date of transfer of the
                           Transferor Interest to the Transferee in the case of
                           a U.S. Bank or savings and loan association, and not
                           more than 18 months preceding such date in the case
                           of a foreign bank or savings association or
                           equivalent institution.

                  II. The Transferee is acquiring such Transferor Interest
         solely for its own account, for the account of one or more others, all
         of which are "Qualified Institutional Buyers" within the meaning of
         Rule 144A, or in its capacity as a dealer registered pursuant to
         Section 15 of the Exchange Act acting in a riskless principal
         transaction on behalf of a "Qualified Institutional Buyer." The
         Transferee is not acquiring such Transferor Interest with a view to or
         for the resale, distribution, subdivision or fractionalization thereof
         that would require registration of the Transferor Interest under the
         Securities Act.

         B.       "Accredited Investors" should complete this Section

                  I.       The Transferee is (check one):

                                      B-2
<PAGE>

                  ---      a bank within the meaning of Section 3(a)(2) of the
                           Securities Act;

                  ---      a savings and loan association or other institution
                           defined in Section 3(a)(5) of the Securities Act;

                  ---      a broker or dealer registered pursuant to the
                           Exchange Act;

                  ---      an insurance company within the meaning of Section
                           2(13) of the Securities Act;

                  ---      an investment company registered under the Investment
                           Company Act;

                  ---      an employee benefit plan within the meaning of Title
                           I of ERISA, which has total assets in excess of
                           $5,000,000;

                  ---      another entity which is an "accredited investor"
                           within the meaning of paragraph [ ] (fill in) of
                           subsection (a) of Rule 501 of the Securities and
                           Exchange Commission.

                  II. The Transferee is acquiring such Transferor Interest
         solely for its own account, for investment, and not with a view to or
         for the resale, distribution, subdivision or fractionalization thereof
         which would require registration of the Transferor Interest under the
         Securities Act.

         C.       If the Transferee is unable to complete one of paragraph A(I)
                  or paragraph B(I) above, the Transferee must furnish an
                  opinion in form and substance satisfactory to the Owner
                  Trustee and Certificate Registrar of counsel satisfactory to
                  the Owner Trustee and Certificate Registrar to the effect that
                  such purchase will not violate any applicable federal or state
                  securities laws.

         D.       The Transferee represents that it is not (A) an "employee
                  benefit plan" within the meaning of Section 3(3) of the
                  Employee Retirement Income Security Act of 19974, as amended
                  ("ERISA"), or (B) a "plan" within the meaning of Section
                  4975(e)(1) of the Code (any such plan or employee benefit
                  plan, a "Plan") or (C) any entity, including an insurance
                  company separate account or general account, whose underlying
                  assets include plan assets by reason of a plan's investment in
                  the entity and is not directly or indirectly purchasing such
                  Trust Security on behalf of, as investment manager of, as
                  named fiduciary of, as trustee of, or with assets of a Plan.

                           (ii) the Transferee is an "accredited investor" as
                  defined in Rule 501(a) of Regulation D pursuant to the
                  Securities Act.

                                      B-3
<PAGE>

                                                     Very truly yours,
                                                     [NAME OF PURCHASER]

                                                     By:________________________
                                                     Title:_____________________
Dated:

THE FOREGOING IS ACKNOWLEDGED THIS [____] DAY OF [__________], [____].

[NAME OF SELLER]
By:________________________
Title:_____________________

                                      B-4
<PAGE>

                                    EXHIBIT C

                         FORM OF TRANSFEROR CERTIFICATE

                                      C-1<PAGE>

                                                                    Exhibit 10.1

                          SALE AND SERVICING AGREEMENT
                       Dated as of [________] [__], 200[_]

                                      among

                           DELTA FUNDING CORPORATION,
                                    (Seller)

                    [______________________________________]
                                   (Servicer)

                  RENAISSANCE MORTGAGE ACCEPTANCE CORPORATION,
                                   (Depositor)

                 RENAISSANCE HOME EQUITY LOAN TRUST 200[_]-[__]
                                     (Trust)

                                       and

                    [______________________________________]
                               (Indenture Trustee)

                 RENAISSANCE HOME EQUITY LOAN TRUST 200[_]-[__]

<PAGE>

                                TABLE OF CONTENTS

                                    ARTICLE I

                                   DEFINITIONS

<TABLE>
<CAPTION>
                                                                                                               Page
                                                                                                               ----
<S>                 <C>                                                                                         <C>
Section 1.01        Definitions...................................................................................2
Section 1.02        Other Definitional Provisions................................................................29
Section 1.03        Captions; Table of Contents..................................................................30
Section 1.04        Opinions.....................................................................................30

                                   ARTICLE II

                       CONVEYANCE OF THE HOME EQUITY LOANS

Section 2.01        Conveyance of the Home Equity Loans..........................................................31
Section 2.02        Representations and Warranties of the Depositor..............................................31
Section 2.03        Representations and Warranties of the Servicer...............................................33
Section 2.04        Representations and Warranties of the Seller.................................................36
Section 2.05        Covenants of Seller to Take Certain Actions with Respect to the Home Equity Loans
                    in Certain Situations........................................................................39
Section 2.06        Sale Treatment of the Home Equity Loans and Qualified Replacement Mortgages..................48
Section 2.07        Acceptance by Indenture Trustee; Certain Substitutions of Home Equity Loans;
                    Certification by Indenture Trustee...........................................................52
Section 2.08        Custodian....................................................................................54
Section 2.09        Cooperation Procedures.......................................................................54

                                   ARTICLE III

                ADMINISTRATION AND SERVICING OF HOME EQUITY LOANS

Section 3.01        The Servicer.................................................................................55
Section 3.02        Collection of Certain Home Equity Loan Payments..............................................57
Section 3.03        Principal and Interest Account...............................................................58
Section 3.04        Delinquency Advances and Servicing Advances..................................................60
Section 3.05        Compensating Interest; Repurchase of Home Equity Loans.......................................61
Section 3.06        Maintenance of Insurance.....................................................................61
Section 3.07        Reserved.....................................................................................62
Section 3.08        Reserved.....................................................................................62
Section 3.09        Due-on-Sale Clauses; Assumption and Substitution Agreements..................................62
Section 3.10        Realization Upon Defaulted Home Equity Loans; Workout of Home Equity Loans...................63
Section 3.11        Indenture Trustee to Cooperate; Release of Mortgage Files....................................65
Section 3.12        Servicing Compensation.......................................................................66
</TABLE>

                                       i
<PAGE>

<TABLE>
<S>                 <C>                                                                                        <C>
Section 3.13        Annual Statement as to Compliance............................................................66
Section 3.14        Annual Independent Certified Public Accountants' Reports.....................................67
Section 3.15        Reserved.....................................................................................67
Section 3.16        Assignment of Agreement......................................................................67
Section 3.17        Inspections by Insurer; Errors and Omissions Insurance.......................................67
Section 3.18        Additional Servicing Responsibilities for Second Mortgage Loans..............................68
Section 3.19        The Group III Home Equity Loans..............................................................68
Section 3.20        Reserved.....................................................................................68
Section 3.21        Notices of Material Events...................................................................68
Section 3.22        Reports on Foreclosure and Abandonment of Properties.........................................69

                                   ARTICLE IV

                                     INSURER

Section 4.01        Claims upon the Insurance Policies...........................................................69
Section 4.02        Effect of Payments by the Insurer; Subrogation...............................................70
Section 4.03        Replacement Insurance Policy.................................................................71

                                    ARTICLE V

                    PRIORITY OF DISTRIBUTIONS; STATEMENTS TO NOTEHOLDERS; RIGHTS OF NOTEHOLDERS

Section 5.01        Distributions................................................................................71
Section 5.02        Calculation of the Note Rate.................................................................73
Section 5.03        Statements to Noteholders....................................................................73
Section 5.04        Cross-Collateralization Reserve Accounts.....................................................77
Section 5.05        Distribution Account.........................................................................78
Section 5.06        Investment of Accounts.......................................................................79

                                   ARTICLE VI

                   THE SELLER, THE SERVICER AND THE DEPOSITOR

Section 6.01        Liability of the Seller, the Servicer and the Depositor......................................80
Section 6.02        Merger or Consolidation of, or Assumption of the Obligations of, the Seller, the Servicer or
                    the Depositor................................................................................80
Section 6.03        Limitation on Liability of the Servicer and Others...........................................80
Section 6.04        Servicer Not to Resign.......................................................................81
Section 6.05        Delegation of Duties.........................................................................82
Section 6.06        Indemnification by the Servicer..............................................................82
</TABLE>

                                       ii
<PAGE>

                                   ARTICLE VII

                              SERVICING TERMINATION
<TABLE>
<S>                 <C>                                                                                        <C>
Section 7.01        Events of Servicing Termination..............................................................82
Section 7.02        Indenture Trustee to Act; Appointment of Successor...........................................84
Section 7.03        Waiver of Defaults...........................................................................86
Section 7.04        Notification to Noteholders..................................................................86

                                  ARTICLE VIII

                                   TERMINATION

Section 8.01        Termination..................................................................................86

                                   ARTICLE IX

                            MISCELLANEOUS PROVISIONS

Section 9.01        Amendment....................................................................................88
Section 9.02        Recordation of Agreement.....................................................................89
Section 9.03        Duration of Agreement........................................................................89
Section 9.04        Governing Law................................................................................89
Section 9.05        Notices......................................................................................90
Section 9.06        Severability of Provisions...................................................................90
Section 9.07        No Partnership...............................................................................90
Section 9.08        Counterparts.................................................................................90
Section 9.09        Successors and Assigns.......................................................................90
Section 9.10        Headings.....................................................................................91
Section 9.11        Indenture Trustee............................................................................91
Section 9.12        Reports to Rating Agencies...................................................................91
Section 9.13        Inconsistencies Among Transaction Documents..................................................91
Section 9.14        Rights of the Insurer to Exercise Rights of Noteholders......................................91
</TABLE>

                                      iii
<PAGE>

                                    EXHIBITS

EXHIBIT A-1  Home Equity Loan Schedule for Group I
EXHIBIT A-2  Home Equity Loan Schedule for Group II
EXHIBIT A-3  Home Equity Loan Schedule for Group III
[EXHIBIT B   List of Servicing Officers]
[EXHIBIT C   Form of Monthly Statement to Noteholders]
[EXHIBIT D   Form of Servicing Certificate]
[EXHIBIT E   Letter of Depositor to Indenture Trustee Re: Exchange Act Reports]
[EXHIBIT F   Form of Liquidation Report]
[EXHIBIT G   Form of Notes]
[EXHIBIT H   Form of Mortgage Note]
[EXHIBIT I   Form of Mortgage]
[EXHIBIT J   Form of Request for Release]
[EXHIBIT K   Specimens of Insurance Policies]
[EXHIBIT L   Custodial Fee Letter]

                                       iv
<PAGE>

         This Sale and Servicing Agreement (the "Agreement") is entered into
effective as of [__________] [__], [____], among RENAISSANCE HOME EQUITY LOAN
TRUST 200[_]-[__], a Delaware business trust (the "Trust"), DELTA FUNDING
CORPORATION, a New York corporation, as seller (the "Seller"),
[_________________] as servicer (the "Servicer"), RENAISSANCE MORTGAGE
ACCEPTANCE CORP., a Delaware corporation, as depositor (the "Depositor"), and
[____________________], a(n) [____________] banking corporation, as Indenture
Trustee on behalf of the Noteholders (in such capacity, the "Indenture
Trustee").

                              PRELIMINARY STATEMENT

         WHEREAS, the Seller desires to sell to the Depositor, the Depositor
desires to purchase from the Seller and to sell to the Trust, and the Trust
desires to purchase from the Depositor a pool of Home Equity Loans, divided into
three separate loan groups, which were originated by the Seller in the ordinary
course of business of the Seller; and

         WHEREAS, the Servicer is willing to service such Home Equity Loans in
accordance with the terms of this Agreement;

         NOW, THEREFORE, in consideration of the mutual agreements herein
contained, the parties hereto hereby agree as follows:

<PAGE>

                                   ARTICLE I

                                   DEFINITIONS

         Section 1.01 Definitions. Whenever used in this Agreement, the
following words and phrases, unless the context otherwise requires, shall have
the meanings specified in this Article.

         Account: Any of the Principal and Interest Account, the Distribution
Account, the Group I Cross-Collateralization Reserve Account, the Group II
Cross-Collateralization Reserve Account or Group III Cross-Collateralization
Reserve Account.

         Adjustment Date: As to each adjustable-rate Home Equity Loan, each date
on which the related Coupon Rate is subject to adjustment, as provided in the
related Mortgage Note.

         Administration Agreement: The Administration Agreement dated as of
[________] [___], [____] among the Trust, the Administrator, the Indenture
Trustee and Centrex.

         Administrator: [_______________________].

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

         Agreement: This Sale and Servicing Agreement and all amendments hereof
and supplements hereto.

         Annual Loss Percentage (Rolling Twelve Month): As of any date of
determination thereof, a fraction, expressed as a percentage, the numerator of
which is the aggregate of the Realized Losses as of the last day of the calendar
month of each Remittance Period for the twelve immediately preceding Remittance
Periods and the denominator of which is the aggregate of the Principal Balances
as of the first day of the first such Remittance Period.

         Appraised Value: The appraised value of any Mortgaged Property based
upon the appraisal made at the time of the origination of the related Home
Equity Loan, or, in the case of a Home Equity Loan which is a purchase money
mortgage or with respect to which the Mortgaged Property was sold within twelve
(12) months preceding the time of origination, the sales price of the Mortgaged
Property, if such sales price is less than such appraised value.

         Assignment of Mortgage: With respect to any Mortgage, an assignment,
notice of transfer or equivalent instrument, in recordable form, sufficient
under the laws of the jurisdiction in which the related Mortgaged Property is
located to reflect the sale of the Mortgage to the Indenture Trustee, which
assignment, notice of transfer or equivalent instrument may be in the form of
one or more blanket assignments covering the Home Equity Loans secured by
Mortgaged Properties located in the same jurisdiction.

                                       2
<PAGE>

         Authorized Officer: With respect to any Person, any officer of such
Person who is authorized to act for such Person in matters relating to this
Agreement, and whose action is binding upon such Person; with respect to the
Indenture Trustee, Depositor, the Seller and the Servicer, initially including
those individuals whose names appear on the lists of Authorized Officers
delivered at the Closing; with respect to the Indenture Trustee, any officer
assigned to the Corporate Trust Department (or any successor thereto), including
any Vice President, Assistant Vice President, Trust Officer, any Assistant
Secretary, any trust officer or any other officer of the Indenture Trustee
customarily performing functions similar to those performed by any of the above
designated officers and having direct responsibility for the administration of
this Agreement.

         Available Funds: As to any Distribution Date and Group, the sum of (A)
the Monthly Remittance Amount; (B) Insured Payments, if any, in respect of such
Group; (C) the amount of any Cross-Collateralization Payment in respect of the
other Groups and Distribution Date; (D) any Delinquency Advances made during the
related Remittance Period; (E) the proceeds of any liquidation of the Trust
Estate; and (F) any Termination Price with respect to the related Home Equity
Loans deposited to the Distribution Account pursuant to Section 8.01(b).

         Available Funds Cap: With respect to any Interest Period and any
Distribution Date, a rate per annum equal to the fraction, expressed as a
percentage, the numerator of which is an amount equal to (i) the product of (A)
the weighted average of the Net Coupon Rates (net of the Minimum Spread) of the
Home Equity Loans in Group III (by outstanding principal balance) at the
beginning of the related Remittance Period, and (B) the aggregate Principal
Balance of the Home Equity Loans in Group III as of the beginning of the
Remittance Period), minus (ii) the product of (A) the Class A-3 Note Rate and
(B) the Outstanding Note Principal Balance before giving effect to payments of
principal on such Distribution Date, and the denominator of which is the
outstanding Outstanding Note Principal Balance before giving effect to payments
of principal on such Distribution Date such rate, as calculated on the basis of
a 360 day year and the actual number of days elapsed in the related Interest
Period.

         Base O/C Amount: With respect to any Distribution Date and Group, an
amount equal to the product of (x) the related Base O/C Percentage and (y) the
Cut-Off Date Principal Balance for such Group.

         Base O/C Percentage: With respect to Group I, [___]%, with respect to
Group II, [___]% and with respect to Group III, [___]%.

         BIF: The Bank Insurance Fund, as from time to time constituted, created
under the Financial Institutions Reform, Recovery and Enhancement Act of 1989,
or if at any time after the execution of this instrument the Bank Insurance Fund
is not existing and performing duties now assigned to it, the body performing
such duties on such date.

                                       3
<PAGE>

         Book-Entry Note: Any Note registered in the name of the Depository or
its nominee, ownership of which is reflected on the books of the Depository or
on the books of a Person maintaining an account with such Depository (directly
or as an indirect participant in accordance with the rules of such Depository).

         Business Day: Any day other than a Saturday, Sunday or a day on which
commercial banking institutions in New York, New York, Dallas, Texas, the State
of Maryland, the city in which the Corporate Trust Office of
[______________________] is located, the city in which the Insurer is located,
or, with respect to the obligations of the Custodian hereunder, the State of
California, are authorized or obligated by law or executive order to be closed.

         Business Trust Statute: Chapter 38 of Title 12 of the Delaware Code, 12
Del. Codess. 3801 et seq., as the same may be amended from time to time.

         Class: With respect to each of the Class A-1 Notes, Class A-2 Notes and
Class A-3 Notes, all of the Notes of such Class.

         Class A-1 Interest Rate Cap: For any Distribution Date, as of the
related Monthly Remittance Date, a rate per annum equal to the weighted average
of the Net Coupon Rates on the Home Equity Loans in Group I as of the beginning
of the related Remittance Period.

         Class A-1 Note: Any Class A-1 Note executed by the Trust and
authenticated by the Indenture Trustee substantially in the form set forth in
Exhibit [____] hereto.

         Class A-1 Note Rate: For any Distribution Date and the applicable
Interest Period, the lesser of (A) in any month up to and including the month in
which the Clean-Up Call Date occurs, [___]% per annum, and [___]% thereafter;
and (B) the Class A-1 Interest Rate Cap.

         Class A-2 Interest Rate Cap: For any Distribution Date, as of the
related Monthly Remittance Date, a rate per annum equal to the weighted average
of the Net Coupon Rates on the Home Equity Loans in Group II as of the beginning
of the related Remittance Period.

         Class A-2 Note: Any Class A-2 Note executed by the Trust and
authenticated by the Indenture Trustee substantially in the form set forth in
Exhibit [____] hereto.

         Class A-2 Note Rate: For any Distribution Date and the applicable
Interest Period, the lesser of (A) in any month up to and including the month in
which the Clean-Up Call Date occurs, [___]% per annum, and [___]% thereafter;
and (B) the Class A-2 Interest Rate Cap.

         Class A-3 Note: Any Class A-3 Note executed by the Trust and
authenticated by the Indenture Trustee substantially in the form set forth in
Exhibit [____] hereto.

         Class A-3 Note Rate: For any Distribution Date and the applicable
Interest Period, the lesser of the Class A-3 Formula Rate and (B) the Available
Funds Cap.

                                       4
<PAGE>

         Class A-3 Formula Rate: For any Distribution Date and the applicable
Interest Period, the sum of (A) One-Month LIBOR and (B) in any month up to and
including the month in which the Clean-Up Call Date occurs, [___]% per annum,
and [___]% per annum thereafter.

         Clean-Up Call Date: The first Monthly Remittance Date on which the
aggregate outstanding principal balances of the Home Equity Loans as of the
close of business on the last day of the immediately preceding Remittance Period
has declined to 10% or less of the Maximum Collateral Amount.

         Closing Date: [________] [___], 200[_].

         Code: The Internal Revenue Code of 1986, as amended from time to time,
and Treasury Regulations promulgated thereunder.

         Combined Loan-to-Value Ratio or CLTV: With respect to any Home Equity
Loan, the sum of the original principal balance of such Home Equity Loan and the
outstanding principal balance of the First Lien, if any, as of the date of
origination of the Home Equity Loan, divided by the Appraised Value.

         Compensating Interest: As to any Distribution Date, the amount
calculated pursuant to Section 3.05.

         Corporate Trust Office: The principal office of the Indenture Trustee
at which at any particular time its corporate business shall be administered,
which office on the Closing Date is located at [________________________].

         Coupon Rate: The rate of interest borne by each Mortgage Note from time
to time.

         Cram Down Loss: With respect to a Home Equity Loan, if a court of
appropriate jurisdiction in an insolvency proceeding shall have issued an order
reducing the Principal Balance of such Home Equity Loan, the amount of such
reduction. A "Cram Down Loss" shall be deemed to have occurred on the date of
issuance of such order.

         Cross-Collateralization Payment: For any Distribution Date and Group,
subject to Section 5.04(d), the lesser of (a) the sum of (i) the Excess
Available Funds in respect of such Group and Distribution Date and (ii) amounts
withdrawn from the Cross-Collateralization Reserve Account for such Group and
Distribution Date pursuant to Sections 5.04(b) and (c), and (b) the sum of (i)
any Interest Deficiency, (ii) any Insurer Reimbursement Deficiency and (iii) any
Undercollateralization Amount, in each case for such Distribution Date and with
respect to the other Groups.

         Cross-Collateralization Reserve Account: Any of the Group I
Cross-Collateralization Reserve Account, Group II Cross-Collateralization
Reserve Account or Group III Cross-Collateralization Account established
pursuant to Section 5.04.

                                       5
<PAGE>

         Cross-Collateralization Reserve Deposit: For any Group and Distribution
Date, the lesser of (a) Remaining Excess Available Funds, and (b) the product of
(x) the excess of (i) the Required Cross-Collateralization Reserve Amount for
such Group over (ii) the amount on deposit in the Cross-Collateralization
Reserve Account for such Group and (y) a fraction, the numerator of which is the
Remaining Excess Available Funds for such Group and Distribution Date and the
denominator of which is the aggregate Remaining Excess Available Funds for all
Groups for such Distribution Date.

         Cross-Collateralization Reserve Release Amounts: For any Group and
Distribution Date, the product of (x) the excess, if any, of (a) the aggregate
amount on deposit in the Cross-Collateralization Reserve Account for all Groups
on such Distribution Date, as reduced by amounts withdrawn from such
Cross-Collateralization Reserve Accounts pursuant to Sections 5.04(b) and (c)
for such Distribution Date, over (b) the Required Aggregate
Cross-Collateralization Reserve Amount for all Groups on such Distribution Date
and (y) a fraction, the numerator of which is the amount on deposit in the
Cross-Collateralization Reserve Account for such Group on such Distribution
Date, as reduced by amounts withdrawn from such Cross-Collateralization Reserve
Account pursuant to Sections 5.04(b) and (c) for such Distribution Date and the
denominator of which is the amount calculated pursuant to subclause (a) of
clause (x) above.

         Cumulative Loss Percentage: As of any date of determination thereof,
the aggregate of all Realized Losses since the Startup Day as a percentage of
the Maximum Collateral Amount.

         Cumulative Uncovered Losses: For any Group and Distribution Date, the
sum of Uncovered Losses in respect of such Group for such Distribution Date and
all prior Distribution Dates.

         Curtailment: With respect to a Home Equity Loan, any payment of
principal received during a Remittance Period as part of a payment that is in
excess of the amount of the Monthly Payment due for such Remittance Period and
which is not intended to satisfy the Home Equity Loan in full, nor is intended
to cure a delinquency or to be applied for subsequent Monthly Payments as and
when the same come due pursuant to directions from the Mortgagor to such effect.

         Custodial Agreement: The Custodial Agreement dated as of [________]
[___], 200[_] between the Custodian and the Indenture Trustee.

         Custodian: The Indenture Trustee.

         Custodial Fee: The fees and expenses as set forth in the Custodial
Agreement.

         Cut-Off Date: The opening of business on [________] [___], 200[_].

         Cut-Off Date Pool Principal Balance:  $[___________].

                                       6
<PAGE>

         Cut-Off Date Principal Balance: With respect to any Home Equity Loan,
the unpaid principal balance thereof as of the Cut-Off Date (or as of the
applicable date of substitution with respect to a Qualified Replacement Mortgage
pursuant to Section 2.03 or 2.06).

         Deficiency Excess: As defined in Section 5.04(c).

         Definitive Notes: As defined in the Indenture.

         Delinquency Advance: As defined in Section 3.04(a) hereof.

         Delinquency Percentage: With respect to a Group, the rolling three
month average of the percentage equivalent of a fraction, the numerator of which
is (x) the sum of the aggregate principal balances of all Home Equity Loans in
such Group which are (i) at or over 90 Days Delinquent, (ii) in bankruptcy and
at or over 90 Days Delinquent, (iii) in foreclosure or (iv) relating to REO
Properties, and the denominator of which is (y) the Group Principal Balance of
such Group.

         Delinquent: A Home Equity Loan is "Delinquent" if any payment due
thereon is not made by the Mortgagor by the close of business on the related Due
Date. A Home Equity Loan is "30 days Delinquent" if such payment has not been
received by the close of business on the corresponding day of the month
immediately succeeding the month in which such payment was due, or, if there is
no such corresponding day (e.g., as when a 30-day month follows a 31-day month
in which a payment was due on the 31st day of such month) then on the last day
of such immediately succeeding month. Similarly for "60 days Delinquent," "90
days Delinquent" and so on.

         Depositor: Renaissance Mortgage Acceptance Corp., a Delaware
Corporation, or its successors.

         Depository: The initial Depository shall be The Depository Trust
Company, the nominee of which is Cede & Co., as the registered Holder of (i)
Class A-1 Notes evidencing $[__________] in initial aggregate principal amount
of the Class A-1 Notes, (ii) Class A-2 Notes evidencing $[__________] in initial
aggregate principal amount of the Class A-2 Notes, and (iii) Class A-3 Notes
evidencing $[__________] in initial aggregate principal amount of the Class A-3
Notes. The Depository shall at all times be a "clearing corporation" as defined
in Section 8-102(a)(5) of the UCC of the State of New York.

         Depository Participant: A broker, dealer, bank or other financial
institution or other Person for whom from time to time the Depository effects
book-entry transfers and pledges of securities deposited with the Depository.

         Determination Date: The 15th day of each month, or if such day is not a
Business Day, on the preceding Business Day, commencing in [_______________].

         Distributable Excess Spread: As to any Distribution Date and Group, the
lesser of (i) the Excess Spread for such Distribution Date and Group and (ii)
the excess, if any, of the Specified O/C Amount for such Distribution Date and
Group over the O/C Amount in respect of such Group on such date before giving
effect to the application of Distributable Excess Spread in respect of such
Group on such Distribution Date.

                                       7
<PAGE>

         Distribution Account: The account established by the Indenture Trustee
pursuant to Section 5.05. The Distribution Account shall be an Eligible Account.

         Distribution Date: Any date on which the Indenture Trustee is required
to make distributions to the Owners, which shall be the 25th day of each month
or if such day is not a Business Day, the next Business Day thereafter,
commencing in the month following the Startup Day. The first Distribution Date
will be [_________] [___], 200[_].

         Due Date: With respect to any Home Equity Loan, the date on which the
Monthly Payment with respect to such Home Equity Loan is required to be paid
pursuant to the related Mortgage Note exclusive of any days of grace.

         Eligible Account: A segregated trust account that is (i) maintained
with a depository institution whose debt obligations at the time of any deposit
therein have the highest short-term debt rating by the Rating Agencies and whose
accounts are fully insured by either the SAIF or the BIF of the Federal Deposit
Insurance Corporation established by such fund with a minimum long-term
unsecured debt rating of "A2" by Moody's and "A" by Standard & Poor's, and which
is any of (A) a federal savings and loan association duly organized, validly
existing and in good standing under the federal banking laws, (B) an institution
duly organized, validly existing and in good standing under the applicable
banking laws of any state, (C) a national banking association duly organized,
validly existing and good standing under the federal banking laws, (D) a
principal subsidiary of a bank holding company, and in each case of (A)-(D)
above, approved in writing by the Insurer; (ii) a segregated trust account
maintained with the corporate trust department of a federal or state chartered
depository institution or trust company, having capital and surplus of not less
than $50,000,000, acting in its fiduciary capacity; or (iii) otherwise
acceptable to each Rating Agency and the Insurer as evidenced by a letter from
each Rating Agency and the Insurer to the Owner Trustee and the Indenture
Trustee, without reduction or withdrawal of the then current ratings of the
Notes, without regard to any Insurance Policy.

         Eligible Investments: One or more of the following (excluding any
callable investments purchased at a premium):

                  direct obligations of, or obligations fully guaranteed as to
         timely payment of principal and interest by, the United States or any
         agency or instrumentality thereof, provided that such obligations are
         backed by the full faith and credit of the United States;

                  repurchase agreements on obligations specified in clause (i)
         maturing not more than three months from the date of acquisition
         thereof, provided that the short-term unsecured debt obligations of the
         party agreeing to repurchase such obligations are at the time rated by
         each Rating Agency in its highest short-term rating category (which is
         "A-1+" for Standard & Poor's and "P-1" for Moody's);

                                       8
<PAGE>

                  certificates of deposit, time deposits and bankers'
         acceptances (which, if Moody's is a Rating Agency, shall each have an
         original maturity of not more than 90 days and, in the case of bankers'
         acceptances, shall in no event have an original maturity of more than
         365 days) of any U.S. depository institution or trust company
         incorporated under the laws of the United States or any state thereof
         and subject to supervision and examination by federal and/or state
         banking authorities, provided that the unsecured short-term debt
         obligations of such depository institution or trust company at the date
         of acquisition thereof have been rated by Moody's and Standard & Poor's
         in its highest unsecured short-term debt rating category;

                  commercial paper (having original maturities of not more than
         90 days) of any corporation incorporated under the laws of the United
         States or any state thereof which on the date of acquisition has been
         rated by Standard & Poor's and Moody's in their highest short-term
         rating categories;

                  short term investment funds ("STIFS") sponsored by any trust
         company or national banking association incorporated under the laws of
         the United States or any state thereof which on the date of acquisition
         has been rated by Standard & Poor's and Moody's in their respective
         highest rating category of long term unsecured debt;

                  interests in any money market fund which at the date of
         acquisition of the interests in such fund and throughout the time as
         the interest is held in such fund has a rating of "Aaa" by Moody's and
         either "AAAm" or "AAAm-G" by Standard & Poor's; and

                  other obligations or securities that are acceptable to each
         Rating Agency and the Insurer as an Eligible Investment hereunder and
         will not result in a reduction in the then current rating of the Notes,
         as evidenced by a letter to such effect from such Rating Agency and the
         Insurer and with respect to which the Servicer has received
         confirmation that, for tax purposes, the investment complies with each
         proviso set forth below in the last clause of this definition;

         provided that no instrument described hereunder shall evidence either
the right to receive (a) only interest with respect to the obligations
underlying such instrument or (b) both principal and interest payments derived
from obligations underlying such instrument and the interest and principal
payments with respect to such instrument provided a yield to maturity at par
greater than 120% of the yield to maturity at par of the underlying obligations;
and provided, further, that no instrument described hereunder may be purchased
at a price greater than par if such instrument may be prepaid or called at a
price less than its purchase price prior to its stated maturity.

         ERISA: Employee Retirement Income Security Act of 1974, as amended.

         Event of Servicing Termination: As defined in Section 7.01.

                                       9
<PAGE>

         Excess Available Funds: With respect to any Payment Date and Group, the
amount of Available Funds in respect of such Group remaining after distributions
are made in respect of such Group pursuant to Sections 5.01(a)(i)-(vi).

         Excess O/C Amount: As to any Distribution Date and Group, the amount by
which (i) the O/C Amount for such Distribution Date and Group exceeds (ii) the
Specified O/C Amount for such Distribution Date and Group.

         Excess Spread: With respect to any Distribution Date and Group, the
excess, if any, of (a) Available Funds (other than the portion thereof in
respect of any related Cross-Collateralization Payment) for such Distribution
Date and Group over (b) the aggregate of amounts required to be distributed in
respect of such Group pursuant to subclauses (i) through (iv) of Section 5.01(a)
herein on such Distribution Date.

         FHLMC: The Federal Home Loan Mortgage Corporation, a corporate
instrumentality of the United States created pursuant to the Emergency Home
Finance Act of 1970, as amended, or any successor thereof.

         Final Certification: As defined in Section 2.07(c) hereof.

         Final Distribution Date: The Distribution Date in [________] [____].

         Final Recovery Determination: With respect to any defaulted Home Equity
Loan or REO Property (other than a Home Equity Loan purchased by the Seller, the
Depositor or the Servicer), a determination made by the Servicer that all
recoveries which the Servicer, in its reasonable business judgment expects to be
finally recoverable in respect thereof have been so recovered or that the
Servicer believes in its reasonable business judgment the cost of obtaining any
additional recoveries therefrom would exceed the amount of such recoveries. The
Servicer shall maintain records of each Final Recovery Determination.

         First Lien: With respect to any Home Equity Loan that is a second
priority lien, the home equity loan or home equity loans relating to the
corresponding Mortgaged Property having a first priority lien to such Home
Equity Loan.

         First Mortgage Loan: A Home Equity Loan that constitutes a first
priority mortgage lien with respect to any Property.

         Fiscal Agent: As defined in the Insurance Policies.

         FNMA: The Federal National Mortgage Association, a federally-chartered
and privately-owned corporation existing under the Federal National Mortgage
Association Charter Act, as amended, or any successor thereof.

         FNMA Guide: FNMA's Servicing Guide, as the same may be amended by FNMA
from time to time.

                                       10
<PAGE>

         Group: Any of Group I, Group II or Group III.

         Group Principal Balance: With respect to any date of determination and
Group, the aggregate of the Principal Balances of all Home Equity Loans in such
Group on such date.

         Group I: With respect to the Home Equity Loans, the pool of Home Equity
Loans identified in the related Schedule of Home Equity Loans as having been
assigned to Group I, including any Qualified Replacement Mortgage delivered in
replacement thereof.

         Group I Cross-Collateralization Reserve Account: The account in respect
of Group I established by the Indenture Trustee pursuant to Section 5.04 hereof.
The Group I Cross-Collateralization Reserve Account shall be an Eligible
Account.

         Group I Interest Remittance Amount: As of any Monthly Remittance Date,
the sum, without duplication, of (i) all interest paid during the related
Remittance Period with respect to the Home Equity Loans in Group I (net of the
Group I Servicing Fees), (ii) all Compensating Interest paid by the Servicer on
such Monthly Remittance Date with respect to Group I, (iii) the portions of the
Loan Purchase Prices and the Substitution Amount relating to interest on the
Home Equity Loans in Group I paid by the Seller or Servicer on or prior to such
Monthly Remittance Date and (iv) the interest portion of all Net Liquidation
Proceeds actually collected by the Servicer with respect to such Home Equity
Loans in Group I during the related Remittance Period.

         Group I Monthly Remittance Amount: As of any Monthly Remittance Date,
the sum of (i) the Group I Interest Remittance Amount for such Monthly
Remittance Date and (ii) the Group I Principal Remittance Amount for such
Monthly Remittance Date.

         Group I Principal Remittance Amount: As of any Monthly Remittance Date,
the sum, without duplication, of (i) the principal actually collected by the
Servicer with respect to Home Equity Loans in Group II during the related
Remittance Period, (ii) the outstanding principal balance of each such Home
Equity Loan in Group II that was purchased from the Indenture Trustee on or
prior to such Monthly Remittance Date, to the extent such outstanding principal
balance was actually deposited in the Principal and Interest Account, (iii) any
Substitution Amounts relating to principal delivered by the Seller in connection
with a substitution of a Home Equity Loan in Group II, to the extent such
Substitution Amounts were actually deposited in the Principal and Interest
Account on or prior to such Monthly Remittance Date, (iv) the principal portion
of all Net Liquidation Proceeds actually collected by the Servicer with respect
to such Home Equity Loans in Group II during the related Remittance Period (to
the extent such Net Liquidation Proceeds related to principal) and (v) the
amount of investment losses required to be deposited pursuant to Section
3.03(b).

         Group I Servicing Fee: With respect to any Home Equity Loan in Group I
and each Remittance Period, an amount retained by the Servicer as compensation
for servicing and administration duties relating to such Home Equity Loan
pursuant to Section 3.12 and equal to one month's interest at [0.50]% per annum
of the then outstanding principal balance of such Home Equity Loan as of the
first day of each Remittance Period payable on a monthly basis; provided,
however, that if a successor Servicer is appointed pursuant to Section 7.02
hereof, the Group I Servicing Fee shall be the amount as agreed upon by the
Indenture Trustee, the Insurer and the successor Servicer, and the per annum
rate at which the Group I Servicing Fee is calculated shall not exceed [0.50]%
per annum.

                                       11
<PAGE>

         Group II: With respect to the Home Equity Loans, the pool of Home
Equity Loans identified in the related Schedule of Home Equity Loans as having
been assigned to Group II, including any Qualified Replacement Mortgage
delivered in replacement thereof.

         Group II Cross-Collateralization Reserve Account: The account in
respect of Group II established by the Indenture Trustee pursuant to Section
5.04 hereof. The Group II Cross-Collateralization Reserve Account shall be an
Eligible Account.

         Group II Interest Remittance Amount: As of any Monthly Remittance Date,
the sum, without duplication, of (i) all interest paid during the related
Remittance Period with respect to the Home Equity Loans in Group II (net of the
Group II Servicing Fees), (ii) all Compensating Interest paid by the Servicer on
such Monthly Remittance Date with respect to Group II, (iii) the portions of the
Loan Purchase Prices and the Substitution Amount relating to interest on the
Home Equity Loans in Group II paid by the Seller or Servicer on or prior to such
Monthly Remittance Date and (iv) the interest portion of all Net Liquidation
Proceeds actually collected by the Servicer with respect to such Home Equity
Loans in Group II during the related Remittance Period.

         Group II Monthly Remittance Amount: As of any Monthly Remittance Date,
the sum of (i) the Group II Interest Remittance Amount for such Monthly
Remittance Date and (ii) the Group II Principal Remittance Amount for such
Monthly Remittance Date.

         Group II Principal Remittance Amount: As of any Monthly Remittance
Date, the sum, without duplication, of (i) the principal actually collected by
the Servicer with respect to Home Equity Loans in Group II during the related
Remittance Period, (ii) the outstanding principal balance of each such Home
Equity Loan in Group II that was purchased from the Indenture Trustee on or
prior to such Monthly Remittance Date, to the extent such outstanding principal
balance was actually deposited in the Principal and Interest Account, (iii) any
Substitution Amounts relating to principal delivered by the Seller in connection
with a substitution of a Home Equity Loan in Group II, to the extent such
Substitution Amounts were actually deposited in the Principal and Interest
Account on or prior to such Monthly Remittance Date, (iv) the principal portion
of all Net Liquidation Proceeds actually collected by the Servicer with respect
to such Home Equity Loans in Group II during the related Remittance Period (to
the extent such Net Liquidation Proceeds related to principal) and (v) the
amount of investment losses required to be deposited pursuant to Section
3.03(b).

         Group II Servicing Fee: With respect to any Home Equity Loan in Group
II, an amount retained by the Servicer as compensation for servicing and
administration duties relating to such Home Equity Loan pursuant to Section 3.12
and equal to one month's interest at [0.50]% per annum of the then outstanding
principal balance of such Home Equity Loan as of the first day of each
Remittance Period payable on a monthly basis, provided, however, that if a
successor Servicer is appointed pursuant to Section 7.02 hereof, the Group II
Servicing Fee shall be such amount as agreed upon by the Indenture Trustee, the
Insurer and the successor Servicer, and the per annum rate at which the Group II
Servicing Fee is calculated shall not exceed [0.50]% per annum.

                                       12
<PAGE>

         Group III: With respect to the Home Equity Loans, the pool of Home
Equity Loans identified in the related Schedule of Home Equity Loans as having
been assigned to Group III, including any Qualified Replacement Mortgage
delivered in replacement thereof.

         Group III Cross-Collateralization Reserve Account: The account in
respect of Group III established by the Indenture Trustee pursuant to Section
5.04 hereof. The Group III Cross-Collateralization Reserve Account shall be an
Eligible Account.

         Group III Interest Remittance Amount: As of any Monthly Remittance
Date, the sum, without duplication, of (i) all interest paid during the related
Remittance Period with respect to the Home Equity Loans in Group III (net of the
Group III Servicing Fee), (ii) all Compensating Interest paid by the Servicer on
such Monthly Remittance Date with respect to Group III and (iii) the portion of
the Loan Purchase Prices and Substitution Amount relating to interest on the
Home Equity Loans in Group III paid by the Seller or the Servicer on or prior to
such Monthly Remittance Date and (iv) the interest portion of all Net
Liquidation Proceeds actually collected by the Servicer with respect to the Home
Equity Loans in Group III during the related Remittance Period.

         Group III Monthly Remittance Amount: As of any Monthly Remittance Date,
the sum of (i) the Group III Interest Remittance Amount for such Monthly
Remittance Date and (ii) the Group III Principal Remittance Amount for such
Monthly Remittance Date.

         Group III Principal Remittance Amount: As of any Monthly Remittance
Date, the sum, without duplication, of (i) the principal actually collected by
the Servicer with respect to Home Equity Loans in Group III during the related
Remittance Period, (ii) the outstanding principal balance of each such Home
Equity Loan in Group III that was purchased from the Indenture Trustee on or
prior to such Monthly Remittance Date, to the extent such outstanding principal
balance was actually deposited in the Principal and Interest Account, (iii) any
Substitution Amounts relating to principal delivered by the Seller in connection
with a substitution of a Home Equity Loan in Group III, to the extent such
Substitution Amounts were actually deposited in the Principal and Interest
Account on or prior to such Monthly Remittance Date, (iv) the principal portion
of all Net Liquidation Proceeds actually collected by the Servicer with respect
to such Home Equity Loans in Group III during the related Remittance Period (to
the extent such Net Liquidation Proceeds related to principal) and (v) the
amount of investment losses required to be deposited pursuant to Section
3.03(b).

         Group III Servicing Fee: With respect to any Home Equity Loan in Group
III, an amount retained by the Servicer as compensation for servicing and
administration duties relating to such Home Equity Loan pursuant to Section 3.12
and equal to one month's interest at [0.50]% per annum of the then outstanding
principal balance of such Home Equity Loan as of the first day of each
Remittance Period payable on a monthly basis, provided, however, that if a
successor Servicer is appointed pursuant to Section 7.02 hereof, the Group III
Servicing Fee shall be such amount as agreed upon by the Indenture Trustee, the
Insurer and the successor Servicer, and the per annum rate at which the Group
III Servicing Fee is calculated shall not exceed [0.50]% per annum.

                                       13
<PAGE>

         Guaranteed Principal Distribution Amount: With respect to any
Distribution Date (other than the Final Distribution Date) and a Class of Notes,
the amount, if any, by which the Note Principal Balance of such Class of Notes
exceeds the sum of (i) the related Group Principal Balance as of the end of the
related Remittance Period (after giving effect to all payments of principal on
such Notes on such Distribution Date pursuant to Section 5.01(a) hereof). With
respect to the Final Distribution Date and a Class of Notes, the outstanding
Note Principal Balance of such Class of Notes (after giving effect to all
payments of principal on such Notes on such Final Distribution Date pursuant to
Section 5.01(a) hereof).

         Home Equity Loans: Such home equity loans transferred and assigned to
the Trust pursuant to Section 2.01 hereof together with any Qualified
Replacement Mortgages substituted therefor in accordance with this Agreement, as
from time to time are held as a part of the Trust Estate, the Home Equity Loans
originally so held being identified in the Schedules of Home Equity Loans. The
term "Home Equity Loan" includes the terms "First Mortgage Loan" and "Second
Mortgage Loan". The term "Home Equity Loan" includes any Home Equity Loan that
is Delinquent, which relates to a foreclosure or which relates to a Mortgaged
Property that is REO Property prior to such REO Property's disposition by the
Trust. Any home equity loan which, although intended by the parties hereto to
have been, and which purportedly was, transferred and assigned to the Trust by
the Depositor, in fact was not transferred and assigned to the Trust for any
reason whatsoever, including, without limitation, the incorrectness of the
statement set forth in Section 2.05(b)(x) hereof with respect to such home
equity loan, shall nevertheless be considered a "Home Equity Loan" for all
purposes of this Agreement.

         Indenture: The Indenture, dated as of [_________] [___], 200[_],
between the Issuer and the Indenture Trustee.

         Indenture Trustee: [_____________________], a(n) [___________] banking
corporation, as Indenture Trustee under the Indenture or any successor indenture
trustee under the Indenture appointed in accordance with such agreement.

         Indenture Trustee Fee: With respect to any Distribution Date and Group,
the greater of (i) the sum of (a) 1/12 of the product of (1) the Indenture
Trustee Fee Rate and (2) the Group Principal Balance of the Home Equity Loans in
such Group as of the end of the second preceding Remittance Period (or, in the
case of the first Distribution Date, as of the Cut-Off Date) and (b) any
Custodial Fees in respect of such Group to the extent not paid by the Servicer,
or (ii) an amount equal to the product of (a) $1,000 and (b) the percentage
obtained by dividing the aggregate Group Principal Balance of such Group by the
aggregate Pool Principal Balance, in each case as of the end of the second
preceding Remittance Period (or, in the case of the first Distribution Date, as
of the Cut-Off Date).

                                       14
<PAGE>

         Indenture Trustee Fee Rate: The per annum rate at which the Indenture
Trustee Fee is calculated, which is an amount equal to [______] % per annum.

         Indenture Trustee's Statement to Noteholders: As defined in Section
5.03.

         Insurance Agreement: The Insurance Agreement dated as of [_________]
[___], [____], among the Indenture Trustee, the Seller, the Servicer, the
Depositor and the Insurer, including any amendments and supplements thereto in
accordance with the terms thereof.

         Insurance Policy: For each Class of Notes, the Financial Guaranty
Insurance Policy No. [________], No. [_________] or No. [_________],
respectively, and all endorsements thereto, if any, each dated the Closing Date,
issued by the Insurer for the benefit of the Holders of the relevant Class or
Notes, copies of which are attached hereto as Exhibit [____], [____] or [____]
hereto.

         Insured Payment: With respect to any Distribution Date and Class of
Notes, an amount equal to the sum of the (i) the Guaranteed Principal
Distribution Amount for such Distribution Date and Class of Notes and (ii) the
amount, if any, by which the aggregate of the Interest Distributions with
respect to the Notes for such Distribution Date and Class of Notes exceeds the
amount on deposit in the Distribution Account available to be distributed
therefor on such Distribution Date, including Cross-Collateralization Payments,
if any.

         Insurer: [______________________], a stock insurance company organized
and created under the laws of the State of [_________], or any successor
thereto.

         Insurer Default: For an Insurance Policy, (i) any failure and
continuance of such failure of the Insurer to make a payment required under an
Insurance Policy in accordance with its terms; (ii) the entry by a court having
jurisdiction in the premises of (A) a decree or order for relief in respect of
the Insurer in an involuntary case or proceeding under any applicable United
States federal or state bankruptcy, insolvency, rehabilitation, reorganization
or other similar law, or (B) a decree or order adjudging the Insurer as bankrupt
or insolvent, or approving as properly filed a petition seeking reorganization,
rehabilitation, arrangement, adjustment or composition of or in respect of the
Insurer under any applicable United States federal or state law, or appointing a
custodian, receiver, liquidator, rehabilitator, assignee, trustee, sequestrator
or other similar official of the Insurer or of any substantial part of its
property, or ordering the winding-up or liquidation of its affairs, and the
continuance of any such decree or order for relief or any such other decree or
order unstayed and in each case in effect for a period of 60 consecutive days;
or (iii) the commencement by the Insurer of a voluntary case or proceeding under
any applicable United States federal or state bankruptcy, insolvency,
reorganization or other similar law or of any other case or proceeding to be
adjudicated as bankrupt or insolvent, or the consent by the Insurer to the entry
of a decree or order for relief in respect of the Insurer in an involuntary case
or proceeding under any applicable United States federal or state bankruptcy,
insolvency, reorganization or other similar law or to the commencement of any
bankruptcy or insolvency case or proceeding against the Insurer, or the filing
by the Insurer of a petition or answer or consent seeking reorganization or
relief under any applicable United States federal or state law, or the consent
by the Insurer to the filing of such petition or to the appointment of or the
taking possession by a custodian, receiver, liquidator, assignee, trustee,
sequestrator or similar official of the Insurer or of any substantial part of
its property, or the making by the Insurer of an assignment for the benefit of
its creditors, or the failure by the Insurer to pay debts generally as they
become due, or the admission by the Insurer in writing of its inability to pay
its debts generally as they become due, or the taking of corporate action by the
Insurer in furtherance of any such action.

                                       15
<PAGE>

         Insurer Reimbursement Deficiency: With respect to any Distribution Date
and Group, the amount by which the Available Funds for such Group (applied in
the order described in Section 5.01(a)) is insufficient to pay amounts payable
to the Insurer under the Insurance Agreement as reimbursement for prior draws on
the applicable Insurance Policy, including interest thereon, in respect of such
Group and Distribution Date.

         Interest Carryover Shortfall: With respect to any Distribution Date and
each Class of Notes, the amount by which the related Interest Distribution for
such Class for the preceding Distribution Date exceeded the amount of interest
that was actually distributed to such Class on such preceding Distribution Date.

         Interest Deficiency: With respect to any Distribution Date and Group,
the amount by which the Available Funds for such Group (applied in the order
described in Section 5.01(a)) is insufficient to pay the Interest Distribution
for the related Class of Notes on such Distribution Date.

         Interest Distribution: With respect to any Distribution Date and each
Class of Notes, the sum of (a) the related Monthly Interest Distributable Amount
for such Class, for such Distribution Date, and (b) any related Outstanding
Interest Carryover Shortfall for such, for such Distribution Date.

         Interest Index Carryover: As of any distribution date for any Class A-3
Note, the sum of (A) the excess of (1) the amount of interest the Notes would
otherwise be entitled to receive on the Distribution Date had the rate not been
limited by the Available Funds Cap over (2) the amount of interest payable on
the applicable Notes at the Available Funds Cap for the Distribution Date and
(B) the Interest Index Carryover for all previous distribution dates not
previously paid to the applicable class of noteholders (including any interest
accrued thereon at the applicable note rate).

         Interest Period: As of any Distribution Date, (A) for each of the Class
A-1 and Class A-2 Notes, the calendar month deemed to consist of thirty (30)
days and immediately preceding the month in which the Distribution Date occurs;
and (B) for the Class A-3 Notes, the period commencing on the immediately
preceding Distribution Date (or the Closing Date, in the case of the first
Distribution Date) to and including the day prior to the current Distribution
Date. All calculations of interest on the Class A-1 and Class A-2 Notes will be
made on the basis of a 360-day year assumed to consist of twelve 30-day months.
All calculations of interest on the Class A-3 Notes will be made on the basis of
the actual number of days elapsed in the related Interest Period, and a year of
360 days.

                                       16
<PAGE>

         Issuer: Renaissance Home Equity Loan Trust 200[_]-[__].

         LIBOR Business Day: means any day other than (i) a Saturday or a Sunday
or (ii) a day on which banking institutions in the State of New York or in the
city of London, England are required or authorized by law to be closed.

         Liquidated Loan: A Home Equity Loan as to which a Final Recovery
Determination has been made.

         Liquidation Proceeds: With respect to any Liquidated Loan, all amounts
(including the proceeds of any Home Equity Loan Insurance Policy) recovered by
the Servicer in connection with such Liquidated Loan, whether through trustee's
sale, foreclosure sale or otherwise.

         Loan Purchase Price: With respect to any Home Equity Loan purchased
from the Trust on or prior to a Monthly Remittance Date pursuant to Section
2.04, 2.05, 2.07 or 3.05 hereof, an amount equal to the outstanding principal
balance of such Home Equity Loan as of the date of purchase (assuming that the
Monthly Remittance Amount remitted by the Servicer on such Monthly Remittance
Date has already been remitted), plus all accrued and unpaid interest on such
Home Equity Loan at the Coupon Rate to but not including the date of such
purchase together with (without duplication) the aggregate amounts of (i) all
unreimbursed Delinquency Advances and Servicing Advances theretofore made with
respect to such Home Equity Loan, (ii) all Delinquency Advances which the
Servicer has theretofore failed to remit with respect to such Home Equity Loan
and (iii) all reimbursed Delinquency Advances and Servicing Advances to the
extent that reimbursement is not made from the Mortgagor.

         Loan-to-Value Ratio: As of any particular date (i) with respect to any
First Mortgage Loan, the percentage obtained by dividing the Appraised Value
into the original principal balance of the Mortgage Note relating to such First
Mortgage Loan and (ii) with respect to any Second Mortgage Loan, the percentage
obtained by dividing the Appraised Value as of the date of origination of such
Second Mortgage Loan into an amount equal to the sum of (a) the remaining
principal balance of the Senior Lien relating to such First Mortgage Loan as of
the date of origination of the related Second Mortgage Loan and (b) the original
principal balance of the Mortgage Note relating to such Second Mortgage Loan.

         Majority Noteholder: With respect to each Class of Notes, the Holder or
Holders of Notes of such Class representing at least 51% of the aggregate Note
Principal Balance of such Class. With respect to all the Notes, the Holder or
Holders of Notes representing at least 51% of the aggregate Note Principal
Balance of all Classes of Notes.

         Manufactured Home: A unit of manufactured housing, including all
accessions thereto, securing the indebtedness of the Mortgagor under the related
Home Equity Loan treated as real estate under applicable state law.

         Maximum Collateral Amount: [______________] outstanding principal
balance of Home Equity Loans on the Cut-Off Date.

                                       17
<PAGE>

         Maximum Rate: With respect to any Home Equity Loan in Group III, means
the maximum rate at which interest may accrue on such Home Equity Loan.

         Minimum Rate: With respect to each Home Equity Loan in Group III, the
minimum Coupon Rate permitted over the life of such Home Equity Loan.

         Minimum Spread: A percentage per annum equal to [___]% for Distribution
Dates which occur prior to [___________] and equal to [___]% for Distribution
Dates which occur in [__________] or thereafter.

         Monthly Interest Distributable Amount: As to any Distribution Date and
each Class of Notes, interest at the related Note Rate that accrued during the
related Interest Period on the Note Principal Balance thereof immediately prior
to such Distribution Date.

         Monthly Payment: With respect to a Home Equity Loan, the scheduled
monthly payment of principal and/or interest required to be made by a Mortgagor
on such Home Equity Loan.

         Monthly Payment: With respect to any Home Equity Loan and any
Remittance Period, the payment of principal, if any, and interest due on the Due
Date in such Remittance Period pursuant to the related Note.

         Monthly Principal Distributable Amount: As of any Distribution Date
with respect to a Class of Notes, an amount with respect to the immediately
preceding Remittance Period, and to the extent of Available Funds, equal to the
sum of (A) all collections allocable to principal with respect to the applicable
Group, whether through prepayment or liquidation of Mortgaged Properties,
repurchased Home Equity Loans, or otherwise; (B) the Principal Balance of any
Home Equity Loan that became a Liquidated Loan during the Remittance Period
immediately preceding such Distribution Date; and (C) the Distributable Excess
Spread.

         Monthly Remittance Amount: The sum of the Group I Monthly Remittance
Amount, the Group II Monthly Remittance Amount and the Group III Monthly
Remittance Amount.

         Monthly Remittance Date: The 18th day of each month, or if such day is
not a Business Day, on the preceding Business Day, commencing in [_____________]
[_____].

         Moody's: Moody's Investors Service, Inc., or any successor thereto.

         Mortgage: The mortgage, deed of trust or other instrument creating a
first or second lien on an estate in fee simple interest in real property
securing a Home Equity Loan.

         Mortgage File: The documents delivered to the Custodian pursuant to
Section 2.06(b) hereof pertaining to a particular Home Equity Loan and any
additional documents required to be added to the Mortgage File pursuant to this
Agreement.

                                       18
<PAGE>

         Mortgage Note: With respect to a Home Equity Loan, the promissory note
pursuant to which the related Mortgagor agrees to pay the indebtedness evidenced
thereby which is secured by the related Mortgage.

         Mortgaged Property or Property: The underlying property, including any
real property and improvements thereon, securing a Home Equity Loan.

         Mortgagor: With respect to any Home Equity Loan, the obligor or
obligors under the related Mortgage Note.

         Mortgagor: The obligor on a Note.

         Net Coupon Rate: With respect to any Home Equity Loan in a Group, means
a rate per annum equal to the Coupon Rate of such Home Equity Loan minus the sum
of (i) the rate at which the Servicing Fee accrues, (ii) the rate at which the
Indenture Trustee Fee accrues, (iii) the rate at which the Owner Trustee Fee
accrues, and (iv) the applicable Premium Amount (expressed as a per annum
percentage of the aggregate Principal Balance of the Home Equity Loans in the
applicable Group).

         Net Liquidation Proceeds: As to any Liquidated Loan, Liquidation
Proceeds net of expenses incurred by the Servicer (including unreimbursed
Servicing Advances) in connection with the liquidation of such Home Equity Loan
and unreimbursed Delinquency Advances relating to such Home Equity Loan. In no
event shall Net Liquidation Proceeds with respect to any Liquidated Loan be less
than zero.

         90-Day Delinquent Loan: With respect to any Determination Date, all REO
Properties and each Home Equity Loan, with respect to which any portion of a
Monthly Payment is, as of the last day of the prior Remittance Period, three
months (calculated from Due Date with respect to such Home Equity Loan to Due
Date) or more past due (without giving effect to any grace period).

         90+ Delinquency Percentage (Rolling Three Month): With respect to any
Determination Date, the average of the percentage equivalents of the fractions
determined for each of the three immediately preceding Remittance Periods (or
such fewer number of Remittance Periods since the Cut-Off Date, in the case of
the first three Determination Dates) the numerator of each of which is equal to
the sum of (without duplication) (i) the aggregate Principal Balance of 90-Day
Delinquent Loans, (ii) the aggregate outstanding principal balance of Home
Equity Loans in foreclosure and (iii) the aggregate outstanding principal
balance of Home Equity Loans relating to REO Properties as of the end of such
Remittance Period and the denominator of which is the Principal Balance of all
of the Home Equity Loans as of the end of such Remittance Period.

         Nonrecoverable Advance: With respect to any Home Equity Loan for which
a Final Recovery Determination has been made, any Delinquency Advance previously
made and not reimbursed from proceeds on the related Home Equity Loan or
otherwise hereunder which the Servicer has determined, in good faith business
judgment, as evidenced by an Officer's Certificate delivered to the Insurer and
the Indenture Trustee no later than the Business Day following such
determination, would not be ultimately recovered.

                                       19
<PAGE>

         Note: Any of the Class A-1, Class A-2 or Class A-3 Notes, or, where the
context requires, a Mortgage Note.

         Note Owner or Owner: The Person who is the beneficial owner of a
Book-Entry Note.

         Note Principal Balance: With respect to any date of determination and
each Class of Notes, (a) the Original Note Principal Balance of such Class less
(b) the aggregate of amounts distributed as principal to the Noteholders of such
Class on previous Distribution Dates.

         Note Rate: The Class A-1 Note Rate, the Class A-2 Note Rate, or the
Class A-3 Note Rate, as applicable.

         Note Register and Note Registrar: As defined in the Indenture.

         Noteholder or Holder: The Person in whose name a Note is registered in
the Note Register, except that, solely for the purpose of giving any consent,
direction, waiver or request pursuant to this Agreement, (x) any Note registered
in the name of the Seller or the Depositor, or any Person actually known to a
Responsible Officer of the Indenture Trustee to be an Affiliate of the Seller or
the Depositor, (y) any Note for which the Seller or the Depositor, or any Person
actually known to a Responsible Officer of the Indenture Trustee to be an
Affiliate of the Seller or the Depositor is the Note Owner shall be deemed not
to be outstanding (unless to the actual knowledge of a Responsible Officer of
the Indenture Trustee (i) the Seller or the Depositor, or such Affiliate, is
acting as trustee or nominee for a Person who is not an Affiliate of the Seller
or the Depositor and who makes the voting decision with respect to such Note or
(ii) the Seller or the Depositor, or such Affiliate, is the Note Owner of all
the Notes) and the Percentage Interest evidenced thereby shall not be taken into
account in determining whether the requisite amount of Percentage Interests
necessary to effect any such consent, direction, waiver or request has been
obtained and (z) the Insurer shall be deemed to be the owner of 100% of the
Notes so long as no Insurer Default is then continuing.

         O/C Amount: As to any Distribution Date and Group, the excess, if any,
of (a) the Group Total Balance of such Group as of the close of business on the
last day of the related Remittance Period over (b) the Note Principal Balance of
the related Class of Notes (after giving effect to amounts available in respect
of the related Monthly Principal Distributable Amount for such Distribution
Date).

         O/C Deficiency Amount: For any Group and Distribution Date, the excess,
if any, of (a) the Specified O/C Amount for such Group and Distribution Date,
over (b) the O/C Amount for such Group and Distribution Date (after giving
effect to distributions of principal, including Cross-Collateralization
Payments, for such Group and Distribution Date).

                                       20
<PAGE>

         O/C Reduction Amount: As to any Distribution Date and Group, an amount
equal to the lesser of (i) the Excess O/C Amount for such Distribution Date and
Group and (ii) the Monthly Principal Distributable Amount for such Distribution
Date and Group.

         Officer's Certificate: A certificate signed by any Authorized Officer
of any Person delivering such certificate and delivered to the Indenture Trustee
and the Insurer.

         One-Month LIBOR: means, with respect any Interest Period, an amount
established by the Indenture Trustee equal to the rate for United States dollar
deposits for one month which appears on the display designated as page 3750 on
the Telerate Service or a successor page as of 11:00 A.M., London time, on the
second LIBOR Business Day prior to the first day of the related Interest Period.
If the rate does not appear on that page, the rate will be determined on the
basis of the rates at which deposits in U.S. Dollars are offered by three major
banks in the London interbank market, selected by the servicer, as of 11:00
A.M., London time, on the determination date to prime banks in the London
interbank market for a period of one month in amounts approximately equal to the
principal amount of the notes then outstanding. The Indenture Trustee will
request the principal London office of each of the reference banks to provide a
quotation of its rate. If at least two such quotations are provided, the rate
will be the arithmetic mean of the quotations. If on such date fewer than two
quotations are provided as requested, the rate will be the arithmetic mean of
the rates quoted by two or more major banks in New York City, selected by the
servicer after consultation with the Indenture Trustee, as of 11:00 A.M., New
York City time, on such date for loans in U.S. Dollars to leading European banks
for a period of one month in amounts approximately equal to the principal amount
of the notes then outstanding. If no such quotations can be obtained, the rate
will be one-month LIBOR for the prior distribution date.

         Opinion of Counsel: A written Opinion of Counsel acceptable, in form
and substance, to the Indenture Trustee, and in the case of opinions delivered
to any of the Insurer or the Rating Agencies, reasonably acceptable, in form and
substance, to such party.

         Original Aggregate Principal Balance: The aggregate Principal Balances
of all Home Equity Loans as of the Cut-Off Date, which is $[________________].

         Original Note Principal Balance: For the A-1 Notes, $[_________]; for
the A-2 Notes, $[_________]; and for the A-3 Notes, $[_________].

         Original Trust Agreement: Shall mean the Trust Agreement dated as of
[_________] [___], [____] between Delta Funding Corporation, as Seller,
Renaissance Mortgage Acceptance Corp., as Depositor and [________________], a(n)
[________] banking corporation, as Owner Trustee.

                                       21
<PAGE>

         Outstanding Interest Carryover Shortfall: With respect to any
Distribution Date and each Class of Notes, the amount of Interest Carryover
Shortfall for such Distribution, plus one month's interest thereon, at the
related Note Rate, to the extent permitted by law.

         Owner Trustee: [______________________], as owner trustee under the
Trust Agreement, and any successor owner trustee under the Trust Agreement
appointed in accordance with the terms thereof.

         Owner Trustee Fee: With respect to any Distribution Date and Group, a
monthly fee equal to the product of (a) 1/12 of $[________] and (b) the
percentage obtained by dividing the aggregate Group Principal Balance of such
Group by the aggregate Pool Principal Balance in each case as of the end of the
second preceding Remittance Period (or, in the case of the first Distribution
Date, as of the Cut-Off Date).

         Ownership Interest: The Transferor Interest issued pursuant to the
Trust Agreement.

         Paying Agent: Any paying agent appointed pursuant to the Indenture.

         Percentage Interest: As to a Class of Notes and any date of
determination, the percentage obtained by dividing the principal denomination of
such Class by the aggregate of the principal denominations of all the Notes of
such Class.

         Person: Any individual, corporation, partnership, joint venture,
limited partnership, limited liability company, association, joint-stock
company, trust, unincorporated organization or government or any agency or
political subdivision thereof.

         Pool Principal Balance: With respect to any date of determination, the
aggregate of the Principal Balance of all Home Equity Loans.

         Preference Event:  As defined in Section 4.01(c).

         Premium Amount: The premium payable to the Insurer pursuant to the
Insurance Agreement.

         Prepayment: Any payment of principal of a Home Equity Loan which is
received by the Servicer in advance of the scheduled due date for the payment of
such principal and which is not accompanied by an amount of interest
representing the full amount of scheduled interest due on any Due Date in any
month or months subsequent to the month of prepayment, Substitution Amounts, the
portion of the purchase price of any Home Equity Loan purchased from the Trust
pursuant to Section 2.04, 2.05, 2.07 or 3.05 hereof representing principal and
the proceeds of any Home Equity Loan Insurance Policy which are to be applied as
a payment of principal on the related Home Equity Loan shall be deemed to be
Prepayments for all purposes of this Agreement.

         Preservation Expenses: Expenditures made by the Servicer in connection
with a foreclosed Home Equity Loan prior to the liquidation thereof, including,
without limitation, expenditures for real estate property taxes, hazard
insurance premiums, property restoration or preservation.

                                       22
<PAGE>

         Principal and Interest Account: The principal and interest account
created by the Servicer pursuant to Section 3.03 hereof.

         Principal Balance: As to any Home Equity Loan and any day, other than a
Liquidated Loan, the Cut-Off Date Principal Balance, minus all collections
credited against the Principal Balance of any such Home Equity Loan in
accordance with the related Mortgage Note. For purposes of this definition, a
Liquidated Loan shall be deemed to have a Principal Balance equal to the
Principal Balance of the related Home Equity Loan immediately prior to the final
recovery of related Liquidation Proceeds and a Principal Balance of zero
following the end of the Remittance Period in which such Home Equity Loan
becomes a Liquidated Loan.

         Principal Distribution: With respect to any Distribution Date (other
than the Final Distribution Date) and each Class of Notes, the excess of (A) the
Monthly Principal Distributable Amount for such Distribution Date and such Class
of Notes over (B) the related O/C Reduction Amount for such Distribution Date
and such Class of Notes; provided, however, that the Principal Distribution
shall not exceed the Note Principal Balance of such Class. The "Principal
Distribution" on the Final Distribution Date for a Class of Notes will equal the
Note Principal Balance of such Class as of such Distribution Date.

         Principal Remittance Amount: The Group I Principal Remittance Amount,
the Group II Principal Remittance Amount, or the Group III Principal Remittance
Amount.

         Prohibited Transaction: "Prohibited Transaction" shall have the meaning
set forth from time to time in the definition thereof at Section 860F(a)(2) of
the Code (or any successor statute thereto) and applicable to the Trust.

         Prospectus: The base prospectus of the Depositor dated [_________]
[___], [____].

         Prospectus Supplement: The prospectus supplement dated [_________]
[___], [____], relating to the offering of the Notes.

         Qualified Mortgage: The meaning set forth from time to time in the
definition thereof at Section 860G(a)(3) of the Code (or any successor statute
thereto) and applicable to the Trust.

         Qualified Replacement Mortgage: A Home Equity Loan substituted for
another pursuant to Section 2.04, 2.05 and 2.07(b) hereof, which (i) has a
Coupon Rate at least equal to the Coupon Rate of the Home Equity Loan being
replaced; (ii) is of the same or better property type or is a single family
dwelling and the same or better occupancy status or is a primary residence as
the Home Equity Loan being replaced, (iii) shall mature no later than the final
scheduled distribution date with respect to the related Home Equity Group, (iv)
has a Loan-to-Value Ratio as of the Replacement Cut-Off Date no higher than the
Loan-to-Value Ratio of the replaced Home Equity Loan at such time, (v) shall be
of the same or higher credit quality classification (determined in accordance
with the Seller's credit underwriting guidelines set forth in the Seller's
underwriting manual) as the Home Equity Loan which such Qualified Replacement
Mortgage replaces, (vi) shall be a First Mortgage Loan if the Home Equity Loan
which such Qualified Replacement Mortgage replaces was a First Mortgage Loan and
shall be a First Mortgage Loan or Second Mortgage Loan if the Home Equity Loan
which such Qualified Replacement Mortgage replaces was a Second Mortgage Loan,
(vii) has an outstanding principal balance as of the related Replacement Cut-Off
Date equal to or less than the outstanding principal balance of the replaced
Home Equity Loan as of such Replacement Cut-Off Date, (viii) shall not provide
for a "balloon" payment if the related Home Equity Loan did not provide for a
"balloon" payment (and if such related Home Equity Loan provided for a "balloon"
payment, such Qualified Replacement Mortgage shall have an original maturity of
not less than the original maturity of such related Home Equity Loan), (ix)
shall be a fixed rate Home Equity Loan if the Home Equity Loan being replaced is
in Group I or Group II or an adjustable rate Home Equity Loan if the Home Equity
Loan being replaced is in Group III, (x) satisfies the criteria set forth from
time to time in the definition thereof at Section 860G(a)(4) of the Code (or any
successor statute thereto) and applicable to the Trust, (xi) satisfies the
representations and warranties set forth in Section 2.04(b) hereof, (xii) shall
not be 30 days or more delinquent and (xiii) if such Home Equity Loan being
replaced is in the Group III, shall adjust based on the same index, have no
lower margin, have the same interval between adjustment dates and have a maximum
Coupon Rate no lower than, and a minimum Coupon Rate no lower than the Home
Equity Loan being replaced. In the event that one or more home equity loans are
proposed to be substituted for one or more Home Equity Loans, the Insurer may
allow the foregoing tests to be met on a weighted average basis or other
aggregate basis acceptable to the Insurer, as evidenced by a written approval
delivered to the Indenture Trustee by the Insurer, except that the requirements
of clauses (i), (iii), (iv), (ix), (x), (xi) and (xii) hereof must be satisfied
as to each Qualified Replacement Mortgage.

                                       23
<PAGE>

         Rating Agencies: Collectively, Moody's and Standard & Poor's.

         Realized Loss: As to any Liquidated Loan (or, in the case of a Cram
Down Loss a Home Equity Loan that is not a Liquidated Loan), the amount (not
less than zero), if any, by which (A) the sum of (x) the Principal Balance
thereof as of the date of liquidation, (y) the amount of accrued but unpaid
interest thereon and (z) the amount of any Cram Down Loss with respect thereto
is in excess of (B) the Net Liquidation Proceeds, if any, realized thereon
applied in reduction of such Principal Balance.

         Ratings: The ratings initially assigned to the Notes by the Rating
Agencies, as evidenced by letters from the Rating Agencies.

         Record Date: With respect to (i) any Distribution Date and each of the
Class A-1 and Class A-2 Notes, the last Business Day of the calendar month
immediately preceding the calendar month in which such Distribution Date occurs
and (ii) any Distribution Date and the Class A-3 Notes, the Business Day
immediately preceding such Distribution Date, or if Definitive Notes have been
issued, the last Business Day of the calendar month immediately preceding the
calendar month in which such Distribution Date occurs.

         Registration Statement: The Registration Statement filed by the
Depositor with the Securities and Exchange Commission (Registration Number
[___]-[________]), including all amendments thereto and including the Prospectus
and Prospectus Supplement relating to the Notes.

                                       24
<PAGE>

         Reimbursement Amount: With respect to each Group and any Distribution
Date, (i) all amounts owing to the Insurer for draws on any Insurance Policy
paid by the Insurer, or any other amounts owed under the Insurance Agreement,
including, without limitation, any unpaid Premium Amount relating to such
Distribution Date or any earlier Distribution Date, plus (ii) interest on such
amounts as specified in the Insurance Agreement. The Insurer shall notify the
Indenture Trustee, the Depositor and the Seller in writing of the amount of any
Reimbursement Amount.

         Remaining Excess Available Funds: For any Group and Distribution Date,
the excess of Excess Available Funds for such Group over the
Cross-Collateralization Payment made from such Group.

         Remittance Period: With respect to each Monthly Remittance Date,
Determination Date or Distribution Date, as applicable, the calendar month
immediately preceding such Monthly Remittance Date, Determination Date or
Distribution Date, as applicable.

         REO Property: A Property acquired by the Servicer on behalf of the
Trust through foreclosure or deed-in-lieu of foreclosure in connection with a
defaulted Home Equity Loan.

         Replacement Cut-Off Date: With respect to any Qualified Replacement
Mortgage, the opening of business of the first day of the calendar month in
which such Qualified Replacement Mortgage is conveyed to the Trust.

         Required Aggregate Cross-Collateralization Reserve Amount: For any
Distribution Date, the lesser of (a) the sum of Cumulative Uncovered Losses for
each Group for such Distribution Date and (b) the O/C Deficiency Amount for each
Group for such Distribution Date after the application of funds on deposit to
each of such accounts pursuant to Section [____] of the Insurance Agreement on
such Distribution Date.

         Required Cross-Collateralization Reserve Amount: For any Group and
Distribution Date, the lesser of (a) Cumulative Uncovered Losses for the other
Groups and Distribution Date, and (b) the O/C Deficiency Amount for the other
Groups and Distribution Date after application of funds on deposit in such
account pursuant to the Section [____] of the Insurance Agreement on such
Distribution Date.

         Responsible Officer: With respect to the Indenture Trustee, any officer
assigned to the corporate trust group (or any successor thereto), including any
vice president, assistant vice president, trust officer, 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 having
direct responsibility for the administration of this Agreement. When used with
respect to the Seller or Servicer, the President or any Vice President,
Assistant Vice President, Treasurer, Assistant Treasurer or any Secretary or
Assistant Secretary.

         SAIF: The Savings Association Insurance Fund, as from time to time
constituted, created under the Financial Institutions Reform, Recovery and
Enforcement Act of 1989, or if at any time after the execution of this
instrument the Savings Association Insurance Fund is not existing and performing
duties now assigned to it, the body performing such duties on such date.

                                       25
<PAGE>

         Schedule of Home Equity Loans: The schedules of Home Equity Loans with
respect to the Home Equity Loans listing each Home Equity Loan to be conveyed on
the Startup Day. Such Schedule of Home Equity Loans shall identify each Home
Equity Loan by the Servicer's loan number, borrower's name and address
(including the state and zip code) of the Property and shall set forth as to
each Home Equity Loan the lien status thereof, the Loan-to-Value Ratio and the
Principal Balance as of the Cut-Off Date, the Coupon Rate thereof, the original
loan balance thereof, the current scheduled monthly payment of principal and
interest and the maturity date of the related Note, the property type, occupancy
status, Appraised Value and the original term-to-maturity thereof and whether or
not such Home Equity Loan (including related Note) has been modified and in the
case of the Group III Home Equity Loans, the Maximum Rate, the Minimum Rate and
the next adjustment date. The Schedule of Home Equity Loans will be delivered to
the Custodian via electronic transmission in a mutually acceptable format
between the Custodian and the Servicer, with a hard copy attached to the
Mortgage Files when they are delivered.

         Second Mortgage Loan: A Home Equity Loan that constitutes a second
priority mortgage lien with respect to the related Property.

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

         Seller: Delta Funding Corporation, as seller under this Agreement, or
its successors.

         Senior Lien: With respect to any Second Mortgage Loan, the home equity
loan relating to the corresponding Property having a first priority lien.

         Servicer: [___________________] and its permitted successors and
assigns.

         Servicer Loss Test: The Servicer Loss Test for any period set out below
is satisfied, if the Cumulative Loss Percentage for such period does not exceed
the percentage set out for such period below (provided, that for purposes of the
Servicer Loss Test, Realized Losses attributable solely to Cram Down Losses
should be excluded from the calculation of Cumulative Loss Percentage):

                                                                Cumulative Loss
                Period                                              Percentage
          [_________ ____ - _________ ____                             ____%]
          [_________ ____ - _________ ____                             ____%]
          [_________ ____ - _________ ____                             ____%]
          [_________ ____ - _________ ____                             ____%]
          [_________ ____ - _________ ____                             ____%]
          [_________ ____ and thereafter                               ____%]

         Servicer Termination Test: The Servicer Termination Test is satisfied
for any date of determination thereof, if (w) the Servicer's Tangible Net Worth
is at least the greater of (a) $[___________] and (b) the amount required
pursuant to any credit facility of the Servicer, (x) the 90+ Delinquency
Percentage (Rolling Three Month) is less than or equal to [___]%, (y) the
Servicer Loss Test is satisfied and (z) the Annual Loss Percentage (Rolling
Twelve Month) for the twelve month period immediately preceding the date of
determination thereof is not greater than [___]%.

                                       26
<PAGE>

         Servicing Advance: As defined in Section 3.04 hereof.

         Servicing Certificate: A certificate completed and executed by a
Servicing Officer on behalf of the Servicer.

         Servicing Fee: The Group I Servicing Fee, the Group II Servicing Fee,
or the Group III Servicing Fee, as the context may require.

         Servicing Officer: Any officer of the Servicer involved in, or
responsible for, the administration and servicing of the Home Equity Loans whose
name and specimen signature appear on a list of servicing officers furnished to
the Indenture Trustee (with a copy to the Insurer) by the Servicer on the
Closing Date, as such list may be amended from time to time, initially set forth
in Exhibit B hereto.

         60-Day Delinquent Loan: With respect to any Determination Date, all REO
Properties and each Home Equity Loan, with respect to which any portion of a
Monthly Payment is, as of the last day of the prior Remittance Period, two
months (calculated from Due Date with respect to such Home Equity Loan to Due
Date) or more past due (without giving effect to any grace period).

         Specified O/C Amount: With respect to any Distribution Date and each
Group set forth in Exhibit [____] hereto.

         Standard & Poor's: Standard & Poor's Ratings Services, a division of
The McGraw-Hill Companies, Inc., or any successor thereto.

         Startup Day: [_______________].

         Subservicer: Any Person with whom the Servicer has entered into a
Subservicing Agreement and who satisfies the requirements set forth in Section
7.02 and in respect of the qualification of a Subservicer.

         Subservicing Agreement: Any agreement between the Servicer and any
Subservicer relating to subservicing and/or administration of certain Home
Equity Loans as provided in Section 3.01(a), a copy of which shall be delivered,
along with any modifications thereto, to the Indenture Trustee and the Insurer.

         Substitution Amount: As defined in Section 2.04 hereof.

                                       27
<PAGE>

         Sub-Trust: As defined in Section 3.1 of the Trust Agreement. It
includes Sub-Trust 1, Sub-Trust 2 or Sub-Trust 3, each of which constitute a
separate interest in the Trust Estate (as defined in the Trust Agreement)
pursuant to Section 3806(b)(2) of the Business Trust Statute.

         Sub-Trust 1: The portion of the Trust Estate assigned to Group I.

         Sub-Trust 2: The portion of the Trust Estate assigned to Group II.

         Sub-Trust 3: The portion of the Trust Estate assigned to Group III.

         Tangible Net Worth: Shall mean the difference between: (A) the tangible
assets of the Seller or Servicer, as applicable, and its Affiliates calculated
in accordance with GAAP, as reduced by adequate reserves in each case where a
reserve is appropriate; and (B) all indebtedness, including subordinated debt,
of the Seller or Servicer, as applicable, and its Affiliates; provided, however,
that (i) intangible assets such as patents, trademarks, trade names, copyrights,
licenses, good will, organization costs, advances or loans to, or receivables
from directors, officers, employees or affiliates, prepaid assets, amounts
relating to covenants not to compete, pension assets, deferred charges or
treasury stock of any securities unless the same are readily marketable in the
United States of America or are entitled to be used as a credit against federal
income tax liabilities, shall not be included in the calculation of (A) above,
(ii) securities included as tangible assets shall be valued at their current
market price or costs, whichever is lower and (iii) any write-up in book value
of any assets shall not be taken into account.

         Termination Price: With respect to Section 8.01 hereof, and on any date
of determination thereof, an amount equal to the sum of (w) the greater of (i)
100% of the aggregate outstanding principal balances of the Home Equity Loans as
of such date of determination less amounts remitted to the Principal and
Interest Account representing collections of principal on the Home Equity Loans
during the current Remittance Period, and (ii) the greater of (A) the aggregate
outstanding Note Principal Balance of the Notes and (B) the fair market value of
such Home Equity Loans (disregarding accrued interest), (x) one month's interest
on such amount (calculated at the Adjusted Certificate Rate), (y) all
Reimbursement Amounts and (z) the sum of the aggregate amount of any
unreimbursed Delinquency Advances, Servicing Advances, Compensating Interest and
any Delinquency Advances which the Servicer has theretofore failed to remit.

         Transaction Documents: This Agreement, the Insurance Agreement, the
Insurance Policies, the Notes, the Custodial Agreement, the Administration
Agreement, the Trust Agreement and the Indenture.

         Transferor: The Depositor, or any such permitted holder of the
Transferor Interest.

         Transferor Interest: The Transferor Interest issued pursuant to the
Trust Agreement.

         Transition Expenses: All actual and reasonable costs associated with
the transfer of servicing from the predecessor servicer, including, without
limitation, any costs or expenses associated with the complete transfer of
servicing data and any completion, manipulation or correction of servicing data
required by the Indenture Trustee to correct any errors or insufficiency therein
or otherwise to enable the Indenture Trustee to service the Home Equity Loans
properly and effectively.

                                       28
<PAGE>

         [Trigger Event: As defined in Section ____ of the Insurance Agreement.]

         Trust: The trust created by the Trust Agreement. The Trust will consist
of three separate Sub-Trusts, as provided in the Trust Agreement. The Trust is a
series trust under the Business Trust Statute, and the relative rights,
obligations and liabilities of each such series are as set forth in Article III
of the Trust Agreement.

         Trust Agreement: The Original Trust Agreement as amended and restated
by the Amended and Restated Trust Agreement dated as of [_________] [___],
[____], among the Seller, the Depositor and the Owner Trustee.

         Trust Estate: As defined in the Trust Agreement.

         UCC: The Uniform Commercial Code, as amended from time to time, as in
effect in any specified jurisdiction.

         Uncovered Loss: For any Group and Distribution Date, the excess, if
any, of (i) the O/C Amount as of the prior Distribution Date for such Group,
over (ii) the O/C Amount as of the current Distribution Date for such Group
(after giving effect to distributions of principal, excluding
Cross-Collateralization Payments, but before giving effect to any O/C Reduction
Amount, in each case for such Group and current Distribution Date).

         Undercollateralization Amount: As to any Distribution Date and Group,
the amount by which the aggregate Note Principal Balance of the Notes in the
related Class of Notes (after giving effect to distributions in respect of
principal on such Notes, other than any portion thereof in respect of
Cross-Collateralization Payments and Insured Payments, on such Distribution
Date) exceeds the Group Principal Balance at the end of the related Remittance
Period.

         Underwriter: [________________________].

         Section 1.02 Other Definitional Provisions.

         (a) Capitalized terms used herein and not otherwise defined herein have
the meanings assigned to them in the Indenture and the Trust Agreement, as
applicable.

         (b) All terms defined in this Agreement shall have the defined meanings
when used in any certificate or other document made or delivered pursuant hereto
unless otherwise defined therein.

         (c) As used in this Agreement and in any certificate or other document
made or delivered pursuant hereto or thereto, accounting terms not defined in
this Agreement or in any such certificate or other document, and accounting
terms partly defined in this Agreement or in any such certificate or other
document to the extent not defined, shall have the respective meanings given to
them under generally accepted accounting principles. To the extent that the
definitions of accounting terms in this Agreement or in any such certificate or
other document are inconsistent with the meanings of such terms under generally
accepted accounting principles, the definitions contained in this Agreement or
in any such certificate or other document shall control.

                                       29
<PAGE>

         (d) The words "hereof," "herein," "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; Article, Section, Schedule
and Exhibit references contained in this Agreement are references to Articles,
Sections, Schedules and Exhibits in or to this Agreement unless otherwise
specified; and the term "including" shall mean "including without limitation."

         (e) The definitions contained in this Agreement are applicable to the
singular as well as the plural forms of such terms and to the masculine as well
as to the feminine genders of such terms.

         (f) Any agreement, instrument or statute defined or referred to herein
or in any instrument or certificate delivered in connection herewith means such
agreement, instrument or statute as from time to time amended, modified or
supplemented 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.

         Section 1.03 Captions; Table of Contents.

         The captions or headings in this Agreement and the Table of Contents
are for convenience only and in no way define, limit or describe the scope and
intent of any provisions of this Agreement.

         Section 1.04 Opinions.

         Each opinion with respect to the validity, binding nature and
enforceability of documents or Notes may be qualified to the extent that the
same may be limited by applicable bankruptcy, insolvency, reorganization,
moratorium or other similar laws affecting the of creditors' rights generally
and by general principles of equity (whether considered in a proceeding or
action in equity or at law) and may state that no opinion is expressed on the
availability of the remedy of specific enforcement, injunctive relief or any
other equitable remedy. Any opinion required to be furnished by any Person
hereunder must be delivered by counsel upon whose opinion the addressee of such
opinion may reasonably rely, and such opinion may state that it is given in
reasonable reliance upon an opinion of another, a copy of which must be
attached, concerning the laws of a foreign jurisdiction. Any opinion delivered
hereunder shall be addressed to the Rating Agencies, the Insurer and the
Indenture Trustee.

                                   ARTICLE II

                       CONVEYANCE OF THE HOME EQUITY LOANS

                                       30
<PAGE>

         Section 2.01 Conveyance of the Home Equity Loans.

         The Seller hereby bargains, sells, conveys, assigns and transfers to
the Depositor, in trust, without recourse and for the exclusive benefit of the
Owners of the Notes and the Insurer, all of its right, title and interest in and
to any and all benefits accruing from (a) the Home Equity Loans, which the
Depositor will cause to be delivered to the Custodian on behalf of the
Indenture, together with the related Home Equity Loan documents and the
Depositor's interest in any Property, and all payments thereon and proceeds of
the conversion, voluntary or involuntary, of the foregoing; (b) such amounts as
may be held by the Indenture in the Distribution Account and the
Cross-Collateralization Reserve Accounts, together with investment earnings on
such amounts and such amounts as may be held in the name the Indenture in the
Principal and Interest Account, if any, inclusive of investment earnings
thereon, whether in the form of cash, instruments, securities or other
properties (including any Eligible Investments held by the Servicer), and (c)
proceeds of all the foregoing (including, but not by way of limitation, all
proceeds of any mortgage insurance, flood insurance, hazard insurance and title
insurance policy relating to the Home Equity Loans, cash proceeds, accounts,
accounts receivable, notes, drafts, acceptances, chattel paper, checks, deposit
accounts, rights to payment of any and every kind, and other forms of
obligations and receivables which at any time constitute all or part of or are
included in the proceeds of any of the foregoing) to pay the Notes as specified
herein. In addition to the foregoing, the Depositor shall cause the Insurer to
deliver the three Insurance Policies to the Indenture Trustee for the benefit of
the Owners of the Notes of each Class.

         The Depositor, concurrently with the execution and delivery hereof,
hereby sells, transfers, assigns, sets over and otherwise conveys to the Trust,
to be included as Sub-Trust 1, Sub-Trust 2 or Sub-Trust 3, as specified in the
Schedule of Home Equity Loans, without recourse, all the right, title and
interest of the Depositor in and to the Trust Estate.

         The Indenture Trustee acknowledges such sale, accepts the trusts
hereunder in accordance with the provisions hereof and the Indenture Trustee
agrees to perform the duties herein to the best of its ability to the end that
the interests of the Owners may be adequately and effectively protected.

         Section 2.02 Representations and Warranties of the Depositor.

         The Depositor hereby represents, warrants and covenants to the
Indenture Trustee and the Insurer that as of the Startup Day:

         (a) The Depositor is a limited liability company duly formed and
validly existing under the laws of the State of Delaware, is in compliance with
the laws of each state in which any Property or the Depositor is located or
doing business and is in good standing in each jurisdiction in which the nature
of its business, or the properties owned or leased by it make such qualification
necessary. The Depositor has all requisite authority to own and operate its
properties, to carry out its business as presently conducted and as proposed to
be conducted and to enter into and discharge its obligations under this
Agreement and the other Transaction Documents to which it is a party.

                                       31
<PAGE>

         (b) The execution and delivery of this Agreement and the other
Transaction Documents to which it is a party by the Depositor and its
performance and compliance with the terms of this Agreement and the other
Transaction Documents to which it is a party have been duly authorized by all
necessary action on the part of the Depositor and will not violate the
Depositor's Certificate of Formation or Amended and Restated Limited Liability
Company Agreement or constitute a default (or an event which, with notice or
lapse of time, or both, would constitute a default) under, or result in a breach
of, any material contract, agreement or other instrument to which the Depositor
is a party or by which the Depositor is bound or violate any statute or any
order, rule or regulation of any court, governmental agency or body or other
tribunal having jurisdiction over the Depositor or any of its properties.

         (c) This Agreement and the other Transaction Documents to which the
Depositor is a party, assuming due authorization, execution and delivery by the
other parties hereto and thereto, each constitutes a valid, legal and binding
obligation of the Depositor, enforceable against it in accordance with the terms
hereof and thereof, except as the enforcement thereof may be limited by
applicable bankruptcy, insolvency, reorganization, moratorium or other similar
laws affecting creditors' rights generally and by general principles of equity
(whether considered in a proceeding or action in equity or at law).

         (d) The Depositor is not in default with respect to any order or decree
of any court or any order, regulation or demand of any federal, state, municipal
or governmental agency, which default could materially and adversely affect the
condition (financial or other) or operations of the Depositor or its properties
or the consequences of which could materially and adversely affect its
performance hereunder and under the other Transaction Documents to which the
Depositor is a party.

         (e) No litigation, proceeding or investigation is pending with respect
to which the Depositor has received service of process or, to the best of the
Depositor's knowledge, threatened against the Depositor which litigation,
proceeding or investigation might have consequences that would prohibit its
entering into this Agreement or any other Transaction Documents to which it is a
party or that would materially and adversely affect the condition (financial or
otherwise) or operations of the Depositor or its properties or might have
consequences that would materially and adversely affect the validity or
enforceability of the Home Equity Loans or the Depositor's performance hereunder
and under the other Transaction Documents to which the Depositor is a party.

         (f) The statements contained in the Registration Statement which
describe the Depositor or matters or activities for which the Depositor is
responsible in accordance with the Transaction Documents or which are attributed
to the Depositor therein are true and correct in all material respects, and the
Registration Statement does not contain any untrue statement of a material fact
with respect to the Depositor or omit to state a material fact required to be
stated therein or necessary in order to make the statements contained therein
with respect to the Depositor not misleading.

                                       32
<PAGE>

         (g) Immediately prior to the sale and assignment by the Depositor to
the Indenture on behalf of the Trust of each Home Equity Loan, the Depositor had
good and equitable title to each Home Equity Loan (insofar as such title was
conveyed to it by the Seller) subject to no prior lien, claim, participation
interest, mortgage, security interest, pledge, charge or other encumbrance or
other interest of any nature.

         (h) As of the Startup Day, the Depositor has transferred all right,
title and interest in the Home Equity Loans to the Indenture on behalf of the
Trust.

         (i) The Depositor has not transferred the Home Equity Loans to the
Indenture on behalf of the Trust with any intent to hinder, delay or defraud any
of its creditors.

         (j) All actions, approvals, consents, waivers, exemptions, variances,
franchises, orders, permits, authorizations, rights and licenses required to be
taken, given or obtained, as the case may be, by or from any federal, state or
other governmental authority or agency (other than any such actions, approvals,
etc. under any state securities laws, real estate syndication or "Blue Sky"
statutes, as to which the Depositor makes no such representation or warranty),
that are necessary or advisable in connection with the purchase and sale of the
Notes and the execution and delivery by the Depositor of the Transaction
Documents to which it is a party, have been duly taken, given or obtained, as
the case may be, are in full force and effect on the date hereof, are not
subject to any pending proceedings or appeals (administrative, judicial or
otherwise) and either the time within which any appeal therefrom may be taken or
review thereof may be obtained has expired or no review thereof may be obtained
or appeal therefrom taken, and are adequate to authorize the consummation of the
transactions contemplated by this Agreement and the other Transaction Documents
on the part of the Depositor and the performance by the Depositor of its
obligations under this Agreement and such of the other Transaction Documents to
which it is a party.

         Section 2.03 Representations and Warranties of the Servicer.

         The Servicer hereby represents, warrants and covenants to the
Depositor, the Indenture, the Insurer and the Owners that as of the Startup Day:

         (a) The Servicer is a corporation duly formed and validly existing
under the laws governing its creation and existence, is in compliance with the
laws of each state in which any Property is located to the extent necessary to
enable it to perform its obligations hereunder and is in good standing in each
jurisdiction in which the nature of its business, or the properties owned or
leased by it make such qualification necessary. The Servicer has all requisite
corporate power and authority to own and operate its or their properties, to
carry out its or their business as presently conducted and as proposed to be
conducted and to enter into and discharge its or their obligations under this
Agreement and the other Transaction Documents to which the Servicer is a party.

         (b) The execution and delivery of this Agreement and any other
Transaction Document to which it is a party by the Servicer and its performance
and compliance with the terms hereof and thereof have been duly authorized by
all necessary action on the part of the Servicer and will not violate the
Servicer's [Articles of Incorporation or By-laws] or constitute a default (or an
event which, with notice or lapse of time, or both, would constitute a default)
under, or result in the breach of, any material contract, agreement or other
instrument to which the Servicer is a party or by which the Servicer is bound or
violate any statute or any order, rule or regulation of any court, governmental
agency or body or other tribunal having jurisdiction over the Servicer or any of
its properties.

                                       33
<PAGE>

         (c) This Agreement and the Transaction Documents to which the Servicer
is a party, assuming due authorization, execution and delivery by the other
parties hereto and thereto, each constitutes a valid, legal and binding
obligation of the Servicer, enforceable against it in accordance with the terms
hereof and thereof, except as the enforcement hereof may be limited by
applicable bankruptcy, insolvency, reorganization, moratorium or other similar
laws affecting creditors' rights generally and by general principles of equity
(whether considered in a proceeding or action in equity or at law).

         (d) The Servicer is not in default with respect to any order or decree
of any court or any order, regulation or demand of any federal, state, municipal
or governmental agency, which might have consequences that would materially and
adversely affect the condition (financial or otherwise) or operations of the
Servicer or its properties or might have consequences that would materially and
adversely affect its performance hereunder or under the other Transaction
Documents to which the Servicer is a party.

         (e) No litigation, proceeding or investigation is pending with respect
to which the Servicer has received service of process or, to the best of the
Servicer's knowledge, threatened against the Servicer which litigation,
proceeding or investigation might have consequences that would prohibit its
entering into this Agreement or any other Transaction Document or that would
materially and adversely affect the condition (financial or otherwise) or
operations of the Servicer or its properties or might have consequences that
would materially and adversely affect the validity or the enforceability of the
Home Equity Loans or its performance hereunder and the other Transaction
Documents to which the Servicer is a party.

         (f) The statements contained in the Registration Statement which
describe the Servicer or matters or activities for which the Servicer is
responsible in accordance with the Transaction Documents or which are attributed
to the Servicer therein are true and correct in all material respects, and the
Registration Statement does not contain any untrue statement of a material fact
with respect to the Servicer or omit to state a material fact required to be
stated therein or necessary to make the statements contained therein with
respect to the Servicer not misleading.

         (g) The Servicing Fee is a "current (normal) servicing fee rate" as
that term is used in Statement of Financial Accounting Standards No. 65 issued
by the Financial Accounting Standards Board. Neither the Servicer nor any
affiliate thereof will report on any financial statements any part of the
Servicing Fee as an adjustment to the sales price of the Home Equity Loans.

                                       34
<PAGE>

         (h) All actions, approvals, consents, waivers, exemptions, variances,
franchises, orders, permits, authorizations, rights and licenses required to be
taken, given or obtained, as the case may be, by or from any federal, state or
other governmental authority or agency (other than any such actions, approvals,
etc. under any state securities laws, real estate syndication or "Blue Sky"
statutes, as to which the Servicer makes no such representation or warranty),
that are necessary or advisable in connection with the execution and delivery by
the Servicer of the Transaction Documents to which it is a party, have been duly
taken, given or obtained, as the case may be, are in full force and effect on
the date hereof, are not subject to any pending proceedings or appeals
(administrative, judicial or otherwise) and either the time within which any
appeal therefrom may be taken or review thereof may be obtained has expired or
no review thereof may be obtained or appeal therefrom taken, and are adequate to
authorize the consummation of the transactions contemplated by this Agreement
and the other Transaction Documents on the part of the Servicer and the
performance by the Servicer of its obligations under this Agreement and such of
the other Transaction Documents to which it is a party.

         (i) The collection practices used by the Servicer with respect to the
Home Equity Loans have been, in all material respects, legal, proper, prudent
and customary in the home equity mortgage servicing business.

         (j) The transactions contemplated by this Agreement are in the ordinary
course of business of the Servicer.

         (k) The Servicer is not in default under any agreement involving
financial obligations or on any outstanding obligation that would materially
adversely impact the financial condition or operations of the Servicer or legal
documents associated with the transaction contemplated by this Agreement.

         (l) There are no Subservicers as of the Startup Day.

         (m) The Servicer covenants that it will terminate any Subservicer
within ninety (90) days after being directed by the Insurer to do so.

         (n) The Servicer represents and warrants that its computer and other
systems used in servicing the Home Equity Loans currently are capable of
operating in a manner so that on and after [________] [___], [____] (i) the
Servicer can service the Home Equity Loans in accordance with the terms of this
Agreement and (ii) the Servicer can operate its business in the same manner as
it is operating on the date hereof.

         It is understood and agreed that the representations and warranties set
forth in this Section 2.03 shall survive delivery of the Home Equity Loans to
the Indenture.

         Upon discovery by any of the Depositor, the Seller, the Servicer, the
Custodian, any Subservicer, the Insurer, any Owner or the Indenture (each, for
purposes of this paragraph, a party) of a breach of any of the representations
and warranties set forth in this Section 2.03 which materially and adversely
affects the interests of the Owners or of the Insurer, the party discovering
such breach shall give prompt written notice to the other parties. As promptly
as practicable, but in any event, within sixty (60) days of its discovery or its
receipt of notice of breach, the Servicer shall cure such breach in all material
respects and, upon the Servicer's continued failure to cure such breach, may
thereafter be removed by the Insurer or by the Indenture with the written
consent of the Insurer pursuant to Section 7.01 hereof; provided, however, that
if the Servicer can establish to the reasonable satisfaction of the Insurer that
it is diligently pursuing remedial action, then the cure period may be extended
for an additional ninety (90) days with the written approval of the Insurer.

                                       35
<PAGE>

         Section 2.04 Representations and Warranties of the Seller.

         The Seller hereby represents, warrants and covenants to the Depositor,
the Indenture, the Insurer and the Owners that as of the Startup Day:

         (a) The Seller is a corporation duly formed and validly existing under
the laws governing its creation and existence, is in compliance with the laws of
each state in which any Property or the Seller is located or doing business and
is in good standing in each jurisdiction in which the nature of its business, or
the properties owned or leased by it make such qualification necessary. The
Seller has all requisite authority to own and operate its properties, to carry
out its business as presently conducted and as proposed to be conducted and to
enter into and discharge its obligations under this Agreement and the other
Transaction Documents to which it is a party.

         (b) The execution and delivery of this Agreement and the other
Transaction Documents to which it is a party by the Seller and its performance
and compliance with the terms of this Agreement and the other Transaction
Documents to which it is a party have been duly authorized by all necessary
corporate action on the part of the Seller and will not violate the Seller's
Articles of Incorporation or By-laws or constitute a default (or an event which,
with notice or lapse of time, or both, would constitute a default) under, or
result in a breach of, any material contract, agreement or other instrument to
which the Seller is a party or by which the Seller is bound or violate any
statute or any order, rule or regulation of any court, governmental agency or
body or other tribunal having jurisdiction over the Seller or any of its
properties.

         (c) This Agreement and the other Transaction Documents to which the
Seller is a party, assuming due authorization, execution and delivery by the
other parties hereto and thereto, each constitutes a valid, legal and binding
obligation of the Seller, enforceable against it in accordance with the terms
hereof and thereof, except as the enforcement thereof may be limited by
applicable bankruptcy, insolvency, reorganization, moratorium or other similar
laws affecting creditors' rights generally and by general principles of equity
(whether considered in a proceeding or action in equity or at law).

         (d) The Seller is not in default with respect to any order or decree of
any court or any order, regulation or demand of any federal, state, municipal or
governmental agency, which default could materially and adversely affect the
condition (financial or other) or operations of the Seller or its properties or
the consequences of which could materially and adversely affect its performance
hereunder and under the other Transaction Documents to which the Seller is a
party.

                                       36
<PAGE>

         (e) No litigation, proceeding or investigation is pending with respect
to which the Seller has received service of process or, to the best of the
Seller's knowledge, threatened against the Seller which litigation, proceeding
or investigation might have consequences that would prohibit its entering into
this Agreement or any other Transaction Documents to which it is a party or that
would materially and adversely affect the condition (financial or otherwise) or
operations of the Seller or its properties or might have consequences that would
materially and adversely affect the validity or enforceability of the Home
Equity Loans or the Seller's performance hereunder and under the other
Transaction Documents to which the Seller is a party.

         (f) The statements contained in the Registration Statement which
describe the Seller or matters or activities for which the Seller is responsible
in accordance with the Transaction Documents or which are attributed to the
Seller therein are true and correct in all material respects, and the
Registration Statement does not contain any untrue statement of a material fact
with respect to the Seller or omit to state a material fact required to be
stated therein or necessary in order to make the statements contained therein
with respect to the Seller not misleading.

         (g) Upon the receipt of each Home Equity Loan (including the related
Note) and other items of the Trust Estate by the Indenture under this Agreement,
the Trust will have good title to such Home Equity Loan (including the related
Note) and such other items of the Trust Estate free and clear of any lien,
charge, mortgage, encumbrance or rights of others, except as set forth in
Section 2.05 (b) (ix) (other than liens which will be simultaneously released).

         (h) All actions, approvals, consents, waivers, exemptions, variances,
franchises, orders, permits, authorizations, rights and licenses required to be
taken, given or obtained, as the case may be, by or from any federal, state or
other governmental authority or agency (other than any such actions, approvals,
etc. under any state securities laws, real estate syndication or "Blue Sky"
statutes, as to which the Seller makes no such representation or warranty), that
are necessary or advisable in connection with the purchase and sale of the Notes
and the execution and delivery by the Seller of the Transaction Documents to
which it is a party, have been duly taken, given or obtained, as the case may
be, are in full force and effect on the date hereof, are not subject to any
pending proceedings or appeals (administrative, judicial or otherwise) and
either the time within which any appeal therefrom may be taken or review thereof
may be obtained has expired or no review thereof may be obtained or appeal
therefrom taken, and are adequate to authorize the consummation of the
transactions contemplated by this Agreement and the other Transaction Documents
on the part of the Seller and the performance by the Seller of its obligations
under this Agreement and such of the other Transaction Documents to which it is
a party.

         (i) The origination practices used by the Seller with respect to the
Home Equity Loans have been, in all material respects, legal, proper, prudent
and customary in the mortgage lending business.

         (j) The transactions contemplated by this Agreement are in the ordinary
course of business of the Seller.

                                       37
<PAGE>

         (k) Neither the Indenture nor the Seller has any obligation to register
the Trust and the Trust has no obligation to register as an investment company
under the Investment Company Act of 1940, as amended.

         (l) The Seller is not insolvent, nor will it be made insolvent by the
transfer of the Home Equity Loans, nor is the Seller aware of any pending
insolvency.

         (m) The Seller received fair consideration and reasonably equivalent
value in exchange for the sale of the interests in the Home Equity Loans.

         (n) The Seller did not sell any interest in any Home Equity Loan with
any intent to hinder, delay or defraud any of its creditors.

         (o) No material adverse change affecting any security for the Notes has
occurred prior to delivery of and payment for the Notes.

         (p) The Seller is not in default under any agreement involving
financial obligations or on any outstanding obligation that would materially
adversely impact the financial condition or operations of the Seller or legal
documents associated with the transaction contemplated by this Agreement.

         (q) To the best of the knowledge of the Seller, there has been no
material adverse change in any information submitted by the Seller in writing to
the Insurer with respect to the transactions contemplated by this Agreement
(unless such information was subsequently supplemented in writing to the
Insurer).

         (r) The sale, transfer, assignment and conveyance of Home Equity Loans
by the Seller pursuant to this Agreement is not subject to and will not result
in any tax, fee or governmental charge payable by the Seller, the Depositor or
the Indenture to any federal, state or local government ("Transfer Taxes") other
than Transfer Taxes which have or will be paid by the Seller as due. The Seller
shall pay, and otherwise indemnify and hold the Insurer harmless, on an
after-tax basis, from and against any and all such Transfer Taxes (it being
understood that the Insurer shall have no obligation to pay such Transfer
Taxes).

         (s) No certificate of an officer, statement furnished in writing or
report delivered pursuant to the terms hereof by the Seller contains any untrue
statement of a material fact or omits to state any material fact necessary to
make the certificate, statement or report not misleading.

         It is understood and agreed that the representations and warranties set
forth in this Section 2.04 shall survive delivery of the respective Home Equity
Loans to the Indenture.

                                       38
<PAGE>

         Upon discovery by any of the Depositor, the Servicer, the Custodian,
any Subservicer, any Owner, the Seller, the Insurer or the Indenture Trustee
(each, for purposes of this paragraph, a "party") of a breach of any of the
representations and warranties set forth in this Section 2.04 which materially
and adversely affects the interests of the Owners or the interests of the
Insurer, the party discovering such breach shall give prompt written notice to
the other parties. The Seller hereby covenants and agrees that within sixty (60)
days of its discovery or its receipt of notice of breach, it shall cure such
breach in all material respects or, with respect to a breach of clause (g)
above, the Seller may (or may cause an affiliate of the Seller to) on or prior
to the second Monthly Remittance Date next succeeding such discovery or receipt
of notice (i) substitute in lieu of any Home Equity Loan not in compliance with
clause (g) above a Qualified Replacement Mortgage and, if the outstanding
principal amount of such Qualified Replacement Mortgage as of the applicable
Replacement Cut-Off Date is less than the outstanding principal balance of such
Home Equity Loan as of such Replacement Cut-Off Date, deliver an amount (a
"Substitution Amount") equal to such difference together with the aggregate
amount of (A) all Delinquency Advances and Servicing Advances theretofore made
with respect to such Home Equity Loan and (B) all accrued and unpaid interest
with respect to such Home Equity Loan to the Servicer for deposit in the
Principal and Interest Account or (ii) purchase such Home Equity Loan from the
Trust at the Loan Purchase Price, which purchase price shall be delivered to the
Servicer for deposit in the Principal and Interest Account. The Seller shall
deliver an Officer's Certificate to the Indenture Trustee and the Insurer
concurrently with the delivery of a Qualified Replacement Mortgage pursuant to
Sections 2.04, 2.05 and 2.07(b) stating that such Home Equity Loan meets the
requirements of the definition of a Qualified Replacement Mortgage and that all
other conditions to the substitution thereof have been satisfied. Any Home
Equity Loan as to which repurchase or substitution was delayed pursuant to this
Section shall be repurchased or substituted for (subject to compliance with
Section 2.04, 2.05 or 2.07(b), as the case may be) upon the earlier of (a) the
occurrence of a default or imminent default with respect to such Home Equity
Loan and (b) receipt by the Indenture Trustee and the Insurer.

         Section 2.05 Covenants of Seller to Take Certain Actions with Respect
to the Home Equity Loans in Certain Situations.

         (a) Upon the discovery by the Depositor, the Seller, the Servicer, the
Insurer, any Subservicer, any Owner, the Custodian or the Indenture Trustee that
the representations and warranties set forth in clause (b) below were untrue in
any material respect, without regard to any limitation set forth therein
concerning the knowledge of the Seller as to the facts stated therein as of the
Startup Day (or in the case of a Qualified Replacement Mortgage, as of the
respective replacement date) with the result that the interests of the Owners or
of the Insurer in the related Home Equity Loan are, or may be, materially and
adversely affected, the party discovering such breach shall give prompt written
notice to the other parties. Upon the earliest to occur of the Seller's
discovery, its receipt of notice of breach from any one of the other parties or
such time as a situation resulting from an existing statement which is untrue
materially and adversely affects the interests of the Owners or of the Insurer,
without regard to any limitation set forth therein concerning the knowledge of
the Seller as to the facts stated therein, the Seller hereby covenants and
warrants that it shall promptly cure such breach in all material respects or
subject to the last three sentences of Section 2.04 it shall on or before the
second Monthly Remittance Date next succeeding such discovery, receipt of notice
or such time (i) substitute in lieu of each Home Equity Loan which has given
rise to the requirement for action by the Seller a Qualified Replacement
Mortgage and deliver the Substitution Amount to the Servicer for deposit in the
Principal and Interest Account or (ii) purchase such Home Equity Loan from the
Trust at a purchase price equal to the Loan Purchase Price thereof, which
purchase price shall be delivered to the Servicer for deposit in the Principal
and Interest Account; provided, however, that if the Seller can establish to the
reasonable satisfaction of the Insurer that it is diligently pursuing remedial
action, the period of time in which the Seller must substitute a Qualified
Replacement Mortgage or purchase such Home Equity Loan may be extended with the
written approval of the Insurer. It is understood and agreed that the obligation
of the Seller so to substitute or purchase any Home Equity Loan as to which such
a statement set forth below is untrue in any material respect and has not been
remedied shall constitute the sole remedy respecting a discovery of any such
statement which is untrue in any material respect in this Section 2.05 available
to the Owners and the Indenture Trustee on behalf of the Owners.

                                       39
<PAGE>

         (b) The Seller hereby represents, warrants and covenants to the
Indenture Trustee, the Depositor, the Servicer, the Insurer and the Owners that
as of the Startup Day (or the Replacement Cut-off Date, with respect to a
Qualified Replacement Mortgage):

                  (i) The information with respect to each Home Equity Loan set
         forth in the related Schedule of Home Equity Loans is true and correct
         as of the Cut-Off Date;

                  (ii) All the original or certified documentation set forth in
         Section 2.06 (including all material documents related thereto) with
         respect to each Home Equity Loan has been or will be delivered to the
         Custodian on behalf of the Indenture Trustee on the Startup Day or as
         otherwise provided in Section 2.06. To the Seller's best knowledge, no
         documentation contains any untrue statement of a material fact or omits
         to state a fact necessary to make the statements contained therein not
         misleading;

                  (iii) Each Home Equity Loan being transferred to the Trust is
         a Qualified Mortgage or Qualified Replacement Mortgage and is a
         Mortgage;

                  (iv) Each Property is a fee simple estate in a single parcel
         of real property improved by a single family residential dwelling
         (except for [___] and [___] Home Equity Loans in the amount of
         $[__________] and $[__________], respectively, that are condominiums,
         townhouses, manufactured housing, two-to-four family residential
         dwellings or PUDs), and no more than [____]% and [____]%, respectively,
         of the Home Equity Loans are secured Properties that are Manufactured
         Homes, each of which is considered to be real property under the
         applicable local law;

                  (v) As of the Cut-Off Date or Replacement Cut-Off Date, as
         applicable, no Home Equity Loan has a combined Loan-to-Value Ratio in
         excess of [99.99]%;

                  (vi) Each Home Equity Loan is being serviced by the Servicer
         in accordance with the terms of this Agreement;

                  (vii) The Note related to each Home Equity Loan in Group I
         bears a current Coupon Rate of at least [___]% per annum, the Note
         related to each Home Equity Loan in Group II bears a current Coupon
         Rate of at least [___]% and the Note related to each Home Equity Loan
         in Group III be as a current Coupon Rate of at least [___]%;

                                       40
<PAGE>

                  (viii) Each Note with respect to the Home Equity Loans will
         provide for a schedule of substantially level and equal Monthly
         Payments (or periodic rate adjustments in the case of the Home Equity
         Loans in Group III), which are sufficient to amortize fully the
         principal balance of such Note on or before its maturity date, except
         for [___] Home Equity Loans representing approximately [___]% of the
         aggregate Principal Balance of the Home Equity Loans in Group [__] as
         of the Cut-Off Date which may provide for a "balloon" payment due at
         the end of the 15th year and no Home Equity Loan is a graduated payment
         loan;

                  (ix) As of the Startup Day, each Mortgage is a valid and
         enforceable first or second lien of record (or is in the process of
         being recorded) on the Property subject in the case of any Second
         Mortgage Loan only to a Senior Lien on such Property and subject in all
         cases to the exceptions to title set forth in the title insurance
         policy or attorney's opinion of title, with respect to the related Home
         Equity Loan, which exceptions are generally acceptable to banking
         institutions in connection with their regular mortgage lending
         activities, and such other exceptions to which similar properties are
         commonly subject and which do not individually, or in the aggregate,
         materially and adversely affect the benefits of the security intended
         to be provided by such Mortgage;

                  (x) Immediately prior to the transfer and assignment of the
         Home Equity Loans by the Seller to the Depositor and by the Depositor
         to the Indenture Trustee herein contemplated, the Seller and the
         Depositor, as the case may be, held good and indefeasible title to, and
         was the sole owner of, each Home Equity Loan (including the related
         Note) conveyed by the Seller subject to no liens, charges, mortgages,
         encumbrances or rights of others except as set forth in clause (ix) or
         other liens which will be released simultaneously with such transfer
         and assignment; and immediately upon the transfer and assignment herein
         contemplated, the Indenture Trustee will hold good and indefeasible
         title to, and be the sole owner of, each Home Equity Loan subject to no
         liens, charges, mortgages, encumbrances or rights of others except as
         set forth in paragraph (ix) or other liens which will be released
         simultaneously with such transfer and assignment;

                  (xi) As of the Cut-Off Date, approximately [___]% of the Home
         Equity Loans are more than thirty (30) days Delinquent (and none are
         more than 59 days Delinquent);

                  (xii) To the best of the knowledge of the Seller, there is no
         delinquent tax or assessment lien on any Property, and each Property is
         free of substantial damage and is in good repair;

                  (xiii) To the best of the knowledge of the Seller, there is no
         valid and enforceable right of offset, claim, defense or counterclaim
         to any Note or Mortgage, including the obligation of the related
         Mortgagor to pay the unpaid principal of or interest on such Note nor
         has any such claim, defense, offset or counterclaim been asserted;

                  (xiv) To the best of the knowledge of the Seller, there is no
         mechanics' lien or claim for work, labor or material affecting any
         Property which is or may be a lien prior to, or equal with, the lien of
         the related Mortgage except those which are insured against by any
         title insurance policy referred to in paragraph (xvi) below;

                                       41
<PAGE>

                  (xv) Each Home Equity Loan at the time it was made complied in
         all material respects with applicable state and federal laws and
         regulations, including, without limitation, the federal
         Truth-in-Lending Act (as amended by the Riegle Community Development
         and Regulatory Improvement Act of 1994) and other consumer protection
         laws, usury, equal credit opportunity, disclosure and recording laws;

                  (xvi) With respect to each Home Equity Loan either (a) if a
         title insurance policy is not available in the applicable state, an
         attorney's opinion of title has been obtained but no title policy has
         been obtained, or (b) a lender's title insurance policy, issued in
         standard American Land Title Association form by a title insurance
         company authorized to transact business in the state in which the
         related Property is situated, in an amount at least equal to the
         original balance of such Home Equity Loan together, in the case of a
         Second Mortgage Loan, with the then-original principal amount of the
         mortgage note relating to the Senior Lien, insuring the mortgagee's
         interest under the related Home Equity Loan as the holder of a valid
         first or second mortgage lien of record on the real Property described
         in the related Mortgage, as the case may be, subject only to exceptions
         of the character referred to in paragraph (ix) above, was effective on
         the date of the origination of such Home Equity Loan, and, as of the
         Startup Day, such policy is valid and thereafter such policy shall
         continue in full force and effect;

                  (xvii) The improvements upon each Property are covered by a
         valid and existing hazard insurance policy with a carrier generally
         acceptable to the Servicer that provides for fire and extended coverage
         representing coverage not less than the least of (A) the outstanding
         principal balance of the related Home Equity Loan (together, in the
         case of a Second Mortgage Loan, with the outstanding principal balance
         of the Senior Lien), (B) the minimum amount required to compensate for
         damage or loss on a replacement cost basis or (C) the full insurable
         value of the Property;

                  (xviii) If any Property is in an area identified in the
         Federal Register by the Federal Emergency Management Agency as having
         special flood hazards, a flood insurance policy in a form meeting the
         requirements of the current guidelines of the Flood Insurance
         Administration is in effect with respect to such Property with a
         carrier generally acceptable to the Servicer in an amount representing
         coverage not less than the least of (A) the outstanding principal
         balance of the related Home Equity Loan (together, in the case of a
         Second Mortgage Loan, with the outstanding principal balance of the
         Senior Lien), (B) the minimum amount required to compensate for damage
         or loss on a replacement cost basis or (C) the maximum amount of
         insurance that is available under the Flood Disaster Protection Act of
         1973;

                  (xix) Each Mortgage and Mortgage Note are the legal, valid and
         binding obligation of the maker thereof and are enforceable in
         accordance with their terms, except only as such enforcement may be
         limited by bankruptcy, insolvency, reorganization, moratorium or other
         similar laws affecting the enforcement of creditors' rights generally
         and by general principles of equity (whether considered in a proceeding
         or action in equity or at law), and all parties to each Home Equity
         Loan had full legal capacity to execute all documents relating to such
         Home Equity Loan and convey the estate therein purported to be
         conveyed;

                                       42
<PAGE>

                  (xx) The Seller has caused and will cause to be performed any
         and all acts required to be performed to preserve the rights and
         remedies of the Indenture Trustee in any Insurance Policies applicable
         to any Home Equity Loans delivered by the Seller including, without
         limitation, any necessary notifications of insurers, assignments of
         policies or interests therein, and establishments of co-insured, joint
         loss payee and mortgagee rights in favor of the Indenture Trustee;

                  (xxi) As of the Startup Day, no more than [___]% of the
         aggregate Principal Balance of the Home Equity Loans in any Home Equity
         Group will be secured by Properties located within any single zip code
         area;

                  (xxii) Each original Mortgage was recorded or is in the
         process of being recorded, and all subsequent assignments of the
         original Mortgage have been delivered for recordation or have been
         recorded in the appropriate jurisdictions wherein such recordation is
         necessary to perfect the lien thereof as against creditors of or
         purchasers from the Seller (or, subject to Section 2.06 hereof, are in
         the process of being recorded); each Mortgage and assignment of
         Mortgage is in recordable form and is acceptable for recording under
         the laws of the jurisdiction in which the property securing such
         Mortgage is located;

                  (xxiii) The terms of each Mortgage Note and each Mortgage have
         not been impaired, waived, altered or modified in any respect, except
         by a written instrument which has been recorded, if necessary, to
         protect the interest of the Owners and the Insurer and which has been
         delivered to the Indenture Trustee. The substance of any such waiver,
         alteration or modification is reflected on the related Schedule of Home
         Equity Loans;

                  (xxiv) The proceeds of each Home Equity Loan have been fully
         disbursed, and there is no obligation on the part of the mortgagee to
         make future advances thereunder. Any and all requirements as to
         completion of any on-site or off-site improvements and as to
         disbursements of any escrow funds therefor have been complied with. All
         costs, fees and expenses incurred in making or closing or recording
         such Home Equity Loans were paid and the Mortgagor is not entitled to
         any refund of any amounts paid or due under the related Mortgage Note
         or Mortgage;

                  (xxv) The related Mortgage Note is not and has not been
         secured by any collateral, pledged account or other security except the
         lien of the corresponding Mortgage;

                                       43
<PAGE>

                  (xxvi) No Home Equity Loan has a shared appreciation feature,
         or other contingent interest feature;

                  (xxvii) Each Property is located in the state identified in
         the respective Schedule of Home Equity Loans and consists of one or
         more parcels of real property with a residential dwelling erected
         thereon;

                  (xxviii) Each Mortgage contains a provision for the
         acceleration of the payment of the unpaid principal balance of the
         related Home Equity Loan in the event the related Property is sold
         without the prior consent of the mortgagee thereunder;

                  (xxix) Any advances made after the date of origination of a
         Home Equity Loan but prior to the Cut-Off Date have been consolidated
         with the outstanding principal amount secured by the related Mortgage,
         and the secured principal amount, as consolidated, bears a single
         interest rate and single repayment term reflected on the respective
         Schedule of Home Equity Loans. The consolidated principal amount does
         not exceed the original principal amount of the related Home Equity
         Loan. No Mortgage Note permits or obligates the Servicer to make future
         advances to the related Mortgagor at the option of the Mortgagor;

                  (xxx) To the best of the knowledge of the Seller, there is no
         proceeding pending or threatened for the total or partial condemnation
         of any Property, nor is such a proceeding currently occurring, and each
         Property is undamaged by waste, fire, water, flood, earthquake, earth
         movement or other casualty;

                  (xxxi) All of the improvements which were included for the
         purposes of determining the Appraised Value of any Property lie wholly
         within the boundaries and building restriction lines of such Property,
         and no improvements on adjoining properties encroach upon such
         Property, and are stated in the title insurance policy and
         affirmatively insured;

                  (xxxii) To the best of the knowledge of the Seller, no
         improvement located on or being part of any Property is in violation of
         any applicable zoning law or regulation. All inspections, licenses and
         certificates required to be made or issued with respect to all occupied
         portions of each Property and, with respect to the use and occupancy of
         the same, including but not limited to certificates of occupancy and
         fire underwriting certificates, have been made or obtained from the
         appropriate authorities and such Property is lawfully occupied under
         the applicable law;

                  (xxxiii) With respect to each Mortgage constituting a deed of
         trust, a trustee, duly qualified under applicable law to serve as such,
         has been properly designated and currently so serves and is named in
         such Mortgage, and no fees or expenses are or will become payable by
         the Owners or the Trust to the trustee under the deed of trust, except
         in connection with a trustee's sale after default by the related
         Mortgagor;

                                       44
<PAGE>

                  (xxxiv) Each Mortgage contains customary and enforceable
         provisions which render the rights and remedies of the holder thereof
         adequate for the realization against the related Property of the
         benefits of the security, including (A) in the case of a Mortgage
         designated as a deed of trust, by trustee's sale and (B) otherwise by
         judicial foreclosure. There is no homestead or other exemption other
         than any applicable Mortgagor redemption rights available to the
         related Mortgagor which would materially interfere with the right to
         sell the related Property at a trustee's sale or the right to foreclose
         the related Mortgage;

                  (xxxv) There is no default, breach, violation or event of
         acceleration existing under any Mortgage or the related Note and no
         event which, with the passage of time or with notice and the expiration
         of any grace or cure period, would constitute a default, breach,
         violation or event of acceleration; and neither the Servicer nor the
         Seller has waived any default, breach, violation or event of
         acceleration or advanced funds, directly or indirectly for the payment
         of any amount required under any Home Equity Loan;

                  (xxxvi) No instrument of release or waiver has been executed
         in connection with any Home Equity Loan, and no Mortgagor has been
         released, in whole or in part, except in connection with an assumption
         agreement which has been approved by the primary mortgage guaranty
         insurer, if any, and which has been delivered to the Indenture Trustee;

                  (xxxvii) [Reserved];

                  (xxxviii)Each Home Equity Loan was underwritten in accordance
         with the credit underwriting guidelines of the Seller as set forth in
         the Seller's Policies and Procedures Manual, as in effect on the date
         hereof and such Manual conforms in all material respects to the
         description thereof set forth in the Registration Statement;

                  (xxxix) Each Home Equity Loan was originated based upon a full
         appraisal, which included an interior inspection of the subject
         property;

                  (xl) The Home Equity Loans were not selected for inclusion in
         the Trust by the Seller on any basis intended to adversely affect the
         Trust or the Insurer;

                  (xli) No more than [___]% and [___]% of the aggregate
         Principal Balance of the Home Equity Loans in Group I, Group II and
         Group III, respectively, are secured by Properties that are non-owner
         occupied Properties (i.e., investor-owned and vacation);

                  (xlii) The Seller has no actual knowledge that there exist any
         hazardous substances, hazardous wastes or solid wastes, as such terms
         are defined in the Comprehensive Environmental Response Compensation
         and Liability Act, the Resource Conservation and Recovery Act of 1976,
         or other federal, state or local environmental legislation on any
         Property, and no violations of any local, state or federal
         environmental law, rule or regulation exist with respect to any
         Property;

                                       45
<PAGE>

                  (xliii) The Seller (and the originator, if not the Seller) was
         properly licensed or otherwise authorized, to the extent required by
         applicable law, to originate or purchase each Home Equity Loan; and the
         consummation of the transactions herein contemplated, including,
         without limitation, the receipt of interest by the Owners and the
         ownership of the Home Equity Loans by the Indenture Trustee as trustee
         of the Trust will not involve the violation of such laws;

                  (xliv) With respect to each Property subject to a ground lease
         (i) the current ground lessor has been identified and all ground rents
         which have previously become due and owing have been paid; (ii) the
         ground lease term extends, or is automatically renewable, for at least
         five years beyond the maturity date of the related Home Equity Loan;
         (iii) the ground lease has been duly executed and recorded; (iv) the
         amount of the ground rent and any increases therein are clearly
         identified in the lease and are for predetermined amounts at
         predetermined times; (v) the ground rent payment is included in the
         borrower's monthly payment as an expense item in determining the
         qualification of the borrower for such Home Equity Loan; (vi) the Trust
         has the right to cure defaults on the ground lease; and (vii) the terms
         and conditions of the leasehold do not prevent the free and absolute
         marketability of the Property. As of the Cut-Off Date, the Principal
         Balance of the Home Equity Loans with related Properties subject to
         ground leases does not exceed [___]% of the Original Aggregate
         Principal Balance;

                  (xlv) As of the Startup Day, with respect to any Second
         Mortgage Loan, the Seller has not received a notice of default of any
         Senior Lien secured by any Property which has not been cured by a party
         other than the Seller;

                  (xlvi) No Home Equity Loan is subject to a rate reduction
         pursuant to a buydown program;

                  (xlvii) [Reserved];

                  (xlviii) The Coupon Rate on each Home Equity Loan is
         calculated on the basis of a year of 360 days with twelve 30-day
         months;

                  (xlix) Each Home Equity Loan was originated by the Seller, an
         affiliate of the Seller or a broker for simultaneous assignment to the
         Seller;

                  (l) Neither the operation of any of the terms of each Note and
         each Mortgage nor the exercise of any right thereunder will render
         either the Note or the Mortgage unenforceable, in whole or in part, nor
         subject it to any right of rescission, claim set-off, counterclaim or
         defense, including, without limitation, the defense of usury;

                  (li) Any adjustment to the Coupon Rate on a Home Equity Loan
         in Group III has been legal, proper and in accordance with the terms of
         the related Note;

                  (lii) No Home Equity Loan in Group III is subject to negative
         amortization;

                                       46
<PAGE>

                  (liii) As of the Cut-Off Date, the FTC holder regulation
         provided in 16 C.F.R. Part 433 applies to none of the Home Equity
         Loans;

                  (liv) As of the Cut-Off Date with respect to the Home Equity
         Loans or the Replacement Cut-Off Date with respect to the Qualified
         Replacement Mortgages, a portion of the Home Equity Loans are
         "mortgages" as defined in 15 U.S.C. 1602(aa), and with respect to each
         such Home Equity Loan, no Mortgagor has or will have a claim or defense
         under such Home Equity Loan;

                  (lv) [Reserved];

                  (lvi) The rights with respect to each Home Equity Loan are
         assignable by the Seller without the consent of any Person other than
         consents which will have been obtained on or before the Startup Day;

                  (lvii) The Seller has duly fulfilled all obligations to be
         fulfilled on the lender's part under or in connection with the
         origination, acquisition and assignment of the Home Equity Loans and
         the related Mortgage and Note, and has done nothing to impair the
         rights of the Indenture Trustee, the Insurer or the Owners in payments
         with respect thereto;

                  (lviii) To the Seller's knowledge, the documents, instruments
         and agreements submitted by each Mortgagor for loan underwriting were
         not falsified and contain no untrue statement of a material fact and do
         not omit to state a material fact required to be stated therein or
         necessary to make the information and statements contained therein not
         misleading.

                  (lix) No Home Equity Loan matures later than
         [_______________].

                  (lx) The first date on which the applicable Mortgagor must
         make a payment on each Home Equity Loan is no later than
         [_____________], except with respect to [___] Home Equity Loans, which
         represent [___]% of the Original Aggregate Principal Balance as of the
         Cut-Off Date, that provide for a first payment on or after
         [_________________].

                  (lxi) With respect to each Home Equity Loan that is a Second
         Mortgage Loan:

                           (a) The related Senior Lien does not provide for
                  negative amortization.

                           (b) The Seller has not received, and is not aware of,
                  a notice of default of any Senior Lien that has not been
                  cured.

                           (c) To the best of the knowledge of the Seller, no
                  funds provided to the Mortgagor from a Second Mortgage Loan
                  were concurrently used as a down payment for the Senior Lien.

                                       47
<PAGE>

         (c) In the event that any Qualified Replacement Mortgage is delivered
by the Seller to the Trust pursuant to Section 2.04, Section 2.05 or Section
2.07 hereof, the Seller shall be obligated to take the actions described in
Section 2.05(a) with respect to such Qualified Replacement Mortgage upon the
discovery by any of the Owners, the Seller, the Servicer, the Insurer, any
Subservicer, the Custodian or the Indenture Trustee that the statements set
forth in subsection (b) above are untrue in any material respect, without regard
to any limitation set forth therein concerning the knowledge of the Seller as to
facts stated therein, on the date such Qualified Replacement Mortgage is
conveyed to the Trust such that the interests of the Owners or the Insurer in
the related Qualified Replacement Mortgage are, or may be, materially and
adversely affected; provided, however, that for the purposes of this subsection
(c) the statements in subsection (b) above referring to items "as of the Cut-Off
Date" or "as of the Startup Day" shall be deemed to refer to such items as of
the date such Qualified Replacement Mortgage is conveyed to the Trust.
Notwithstanding the fact that a representation contained in subsection (b) above
may be limited to the Seller's knowledge, such limitation shall not relieve the
Seller of its repurchase obligation under this Section and Section 2.06 hereof.

         (d) It is understood and agreed that the representations, warranties
and covenants set forth in this Section 2.05 shall survive delivery of the
respective Home Equity Loans (including Qualified Replacement Mortgage) to the
Indenture Trustee or the Custodian, on behalf of the Indenture Trustee.

         (e) The Indenture Trustee shall have no duty to conduct any affirmative
investigation other than as specifically set forth in this Agreement as to the
occurrence of any condition requiring the repurchase or substitution of any Home
Equity Loan pursuant to this Article II or the eligibility of any Home Equity
Loan for the purpose of this Agreement.

         Section 2.06 Sale Treatment of the Home Equity Loans and Qualified
Replacement Mortgages.

         (a) The transfer by the Seller and the Depositor of the Home Equity
Loans set forth on the Schedule of Home Equity Loans to the Indenture Trustee is
absolute and is intended by the Owners and all parties hereto to be treated as a
sale by the Seller and the Depositor.

         (b) In connection with the transfer and assignment of the Home Equity
Loans, the Depositor agrees to:

                  (i) deliver without recourse to the Custodian, on behalf of
         the Indenture Trustee, on the Startup Day with, (A) the original Notes
         endorsed in blank or to the order of the Indenture Trustee ("Pay to the
         order of [ ], as Indenture Trustee in trust for the registered holders
         of Renaissance Home Equity Loan Asset-Backed Notes Series 200[_]-[__],
         without recourse") and signed by manual signature of the Seller, (B)
         (I) if the original title insurance policy is not available, the
         original title insurance commitment or a copy thereof certified as a
         true copy by the closing agent or the Seller, and when available, the
         original title insurance policy or a copy certified by the issuer of
         the title insurance policy or (II) if title insurance is not available
         in the applicable state, the attorney's opinion of title, (C) originals
         or copies of all intervening assignments certified as true copies by
         the closing agent or the Seller, showing a complete chain of title from
         origination to the Indenture Trustee, if any, including warehousing
         assignments, if recorded, (D) originals of all assumption and
         modification agreements, if any, (E) either: (1) the original Mortgage,
         with evidence of recording thereon (if such original Mortgage has been
         returned to the Seller from the applicable recording office) or a copy
         of the Mortgage certified as a true copy by the closing attorney or an
         Authorized Officer of the Seller, or (2) a copy of the Mortgage
         certified by the public recording office in those instances where the
         original recorded Mortgage has been lost and (F) the original
         assignments of Mortgages (as described in clause (b)(ii)) in recordable
         form and acceptable for recording in the state or other jurisdiction
         where the Property is located;

                                       48
<PAGE>

                  (ii) cause, within sixty (60) days following the Startup Day,
         assignments of the Mortgages to "[ ], as Indenture Trustee in trust for
         the registered holders of Renaissance Home Equity Loan Asset-Backed
         Notes Series 200[_]-[__] under the Indenture dated as of [_________]"
         to be submitted for recording in the appropriate jurisdictions;
         provided, further, that the Seller shall not be required to record an
         assignment of a Mortgage if the Seller furnishes to the Indenture
         Trustee and the Insurer, on or before the Startup Day, at the Seller's
         expense, an Opinion of Counsel with respect to the relevant
         jurisdiction that such recording is not necessary to perfect the
         Indenture Trustee's interest in the related Home Equity Loans (in form
         and substance satisfactory to the Indenture Trustee, the Insurer and
         the Rating Agencies); provided further, however, notwithstanding the
         delivery of any legal opinions, each assignment of Mortgage shall be
         recorded by the Indenture Trustee or the Custodian on behalf of the
         Indenture Trustee upon the earliest to occur of: (i) reasonable
         direction by the Insurer, (ii) the occurrence of a Servicer Termination
         Event, (iii) if the Seller is not Servicer and with respect to any one
         assignment of Mortgage, the occurrence of a bankruptcy, insolvency or
         foreclosure relating to the Mortgagor under the related Mortgage, or
         (iv) the occurrence of a bankruptcy, insolvency or foreclosure relating
         to the Seller;

                  (iii) deliver the title insurance policy or title searches,
         the original Mortgages and such recorded assignments, together with
         originals or duly certified copies of any and all prior assignments
         (other than unrecorded warehouse assignments), to the Custodian, on
         behalf of the Indenture Trustee, within fifteen (15) days of receipt
         thereof by the Seller (but in any event, with respect to any Mortgage
         as to which original recording information has been made available to
         the Seller, within one year after the Startup Day; and

                  (iv) furnish to the Indenture Trustee, the Insurer and the
         Rating Agencies at the Seller's expense, an Opinion of Counsel with
         respect to the sale and perfection of the Home Equity Loans delivered
         to the Trust in form and substance satisfactory to the Insurer.

         In instances where the original recorded Mortgage cannot be delivered
by the Seller to the Custodian on behalf of the Indenture Trustee prior to or
concurrently with the execution and delivery of this Agreement due to a delay in
connection with recording, the Seller may in lieu of delivering such original
recorded Mortgage, deliver to the Custodian on behalf of the Indenture Trustee a
copy thereof, provided that the Seller certifies that the original Mortgage has
been delivered to a title insurance company for recordation after receipt of its
policy of title insurance or binder therefor. In all such instances, the Seller
will deliver or cause to be delivered the original recorded Mortgage to the
Custodian on behalf of the Indenture Trustee promptly upon receipt of the
original recorded Mortgage but in no event later than one year after the Startup
Day.

                                       49
<PAGE>

         The Seller hereby confirms to the Indenture Trustee that it has made
the appropriate entries in its general accounting records, to indicate that such
Home Equity Loans have been transferred to the Indenture Trustee and constitute
part of the Trust in accordance with the terms of the trust created hereunder.

         Notwithstanding anything to the contrary contained in this Section
2.06, in those instances where the public recording office retains the original
Mortgage, the assignment of a Mortgage or the intervening assignments of the
Mortgage after it has been recorded, the Depositor and Seller shall be deemed to
have satisfied its obligations hereunder upon delivery to the Custodian, on
behalf of the Indenture Trustee of a copy of such Mortgage, such assignment or
assignments of Mortgage certified by the public recording office to be a true
copy of the recorded original thereof.

         Not later than ten days following the end of the 60-day period referred
in clause (b)(ii) above, the Seller shall deliver to the Custodian, on behalf of
the Indenture Trustee, a list of all Mortgages for which no Mortgage assignment
has yet been submitted for recording by the Seller, which list shall state the
reason why the Seller has not yet submitted such Mortgage assignments for
recording. With respect to any Mortgage assignment disclosed on such list as not
yet submitted for recording for a reason other than a lack of original recording
information, the Custodian, on behalf of the Indenture Trustee, shall make an
immediate demand on the Seller to prepare such Mortgage assignments, and shall
inform the Insurer, in writing, of the Seller's failure to prepare such Mortgage
assignments. Thereafter, the Custodian, on behalf of the Indenture Trustee,
shall cooperate in executing any documents prepared by the Insurer and submitted
to the Custodian, on behalf of the Indenture Trustee in connection with this
provision. Following the expiration of the 60-day period referred to in clause
(b)(ii) above, the Seller shall promptly prepare a Mortgage assignment for any
Mortgage for which original recording information is subsequently received by
the Seller, and shall promptly deliver a copy of such Mortgage assignment to the
Custodian, on behalf of the Indenture Trustee. The Seller agrees that it will
follow its normal servicing procedures and attempt to obtain the original
recording information necessary to complete a Mortgage assignment. In the event
that the Seller is unable to obtain such recording information with respect to
any Mortgage prior to the end of the 18th calendar month following the Startup
Day and has not provided to the Custodian, on behalf of the Indenture Trustee a
Mortgage assignment with evidence of recording thereon relating to the
assignment of such Mortgage to the Indenture Trustee, the Custodian, on behalf
of the Indenture Trustee shall notify the Seller of the Seller's obligation to
provide a completed assignment (with evidence of recording thereon) on or before
the end of the 20th calendar month following the Startup Day. A copy of such
notice shall be sent by the Custodian, on behalf of the Indenture Trustee to the
Insurer. If no such completed assignment (with evidence of recording thereon) is
provided before the end of such 20th calendar month, the related Home Equity
Loan shall be deemed to have breached the representation contained in clause
(xxii) of Section 2.05(b) hereof; provided, however, that if as of the end of
such 20th calendar month the Seller demonstrates to the satisfaction of the
Insurer that it is exercising its best efforts to obtain such completed
assignment and, during each month thereafter until such completed assignment is
delivered to the Custodian, on behalf of the Indenture Trustee, the Seller
continues to demonstrate to the satisfaction of the Insurer that it is
exercising its best efforts to obtain such completed assignment, the related
Home Equity Loan will not be deemed to have breached such representation. The
requirement to deliver a completed assignment with evidence of recording thereon
will be deemed satisfied upon delivery of a copy of the completed assignment
certified by the applicable public recording office.

                                       50
<PAGE>

         Copies of all Mortgage assignments received by the Custodian on behalf
of the Indenture Trustee shall be retained in the related Mortgage File.

         All recording required pursuant to this Section 2.06 shall be
accomplished at the expense of the Seller.

         (c) In the case of Home Equity Loans which have been prepaid in full on
or after the Cut-Off Date and prior to the Startup Day, the Seller, in lieu of
the foregoing, will deliver within six (6) days after the Startup Day to the
Indenture Trustee a certification of an Authorized Officer in the form set forth
in Exhibit [__].

         (d) The Seller shall transfer, assign, set over and otherwise convey
without recourse, to the Indenture Trustee all right, title and interest of the
Seller in and to any Qualified Replacement Mortgage delivered to the Custodian,
on behalf of the Indenture Trustee on behalf of the Trust by the Seller pursuant
to Section 2.04, 2.05 or 2.07 hereof and all its right, title and interest to
principal and interest due on such Qualified Replacement Mortgage on and after
the applicable Replacement Cut-Off Date; provided, however, that the Seller
shall reserve and retain all right, title and interest in and to payments of
principal and interest due on such Qualified Replacement Mortgage prior to the
applicable Replacement Cut-Off Date.

         (e) As to each Home Equity Loan released from the Trust in connection
with a repurchase or the conveyance of a Qualified Replacement Mortgage
therefor, the Indenture Trustee will transfer, assign, set over and otherwise
convey without recourse or representation, on the Seller's order, all of its
right, title and interest in and to such released Home Equity Loan and all the
Trust's right, title and interest to principal and interest due on such released
Home Equity Loan after the applicable Replacement Cut-Off Date, as the case may
be; provided, however, that the Trust shall reserve and or and retain all right,
title and interest in and to payments of principal and interest due on such
released Home Equity Loan prior to such repurchase or the applicable Replacement
Cut-Off Date, as the case may be.

         (f) In connection with any transfer and assignment of a Qualified
Replacement Mortgage to the Indenture Trustee on behalf of the Trust, the Seller
agrees to (i) deliver without recourse to the Custodian, on behalf of the
Indenture Trustee on the date of delivery of such Qualified Replacement Mortgage
the original Note relating thereto, endorsed in blank or to the order of the
Indenture Trustee, (ii) cause promptly to be recorded an assignment in the
appropriate jurisdictions, (iii) deliver the original Qualified Replacement
Mortgage and such recorded assignment, together with original or duly certified
copies of any and all prior assignments, to the Custodian, on behalf of the
Indenture Trustee within fifteen (15) days of receipt thereof by the Seller (but
in any event within one hundred twenty (120) days after the date of conveyance
of such Qualified Replacement Mortgage) and (iv) deliver the title insurance
policy, or where no such policy is required to be provided under Section
2.06(b)(i)(B), the other evidence of title required in Section 2.06(b)(i)(B).

                                       51
<PAGE>

         (g) As to each Home Equity Loan released from the Trust in connection
with a repurchase or the conveyance of a Qualified Replacement Mortgage the
Custodian, on behalf of the Indenture Trustee shall deliver on the date of such
repurchase or conveyance of such Qualified Replacement Mortgage and on the order
of the Seller (i) the original Note relating thereto, endorsed without recourse
or representation, in blank or to the order of, to the Seller, (ii) the original
Mortgage so released and all assignments relating thereto and (iii) such other
documents as constituted the Mortgage File with respect thereto.

         (h) If a Mortgage assignment is lost during the process of recording,
or is returned from the recorder's office unrecorded due to a defect therein,
the Seller shall prepare a substitute assignment or cure such defect, as the
case may be, and thereafter cause each such assignment to be duly recorded.

         Section 2.07 Acceptance by Indenture Trustee; Certain Substitutions of
Home Equity Loans; Certification by Indenture Trustee.

         (a) The Indenture Trustee agrees to execute and deliver and to cause
the Custodian to execute and deliver on the Startup Day an acknowledgment of
receipt of the items delivered by the Seller in the forms attached as Exhibit
[__] hereto, and declares through the Custodian that it will hold such documents
and any amendments, replacement or supplements thereto, as well as any other
assets included in the definition of Trust Estate and delivered to the
Custodian, in trust upon and subject to the conditions set forth herein for the
benefit of the Owners and the Insurer. The Indenture Trustee agrees, for the
benefit of the Owners and the Insurer, to cause the Custodian to review such
items within forty-five (45) days after the Startup Day (or, with respect to any
document delivered after the Startup Day, within forty-five (45) days of receipt
and with respect to any Qualified Replacement Mortgage, within forty-five (45)
days after the assignment thereof) and to deliver to the Depositor, the Seller,
the Servicer and the Insurer a certification in the form attached hereto as
Exhibit [__] (a "Pool Certification") to the effect that, as to each Home Equity
Loan listed in the Schedule of Home Equity Loans (other than any Home Equity
Loan paid in full or any Home Equity Loan specifically identified in such Pool
Certification as not covered by such Pool Certification), (i) all documents
required to be delivered to it pursuant to Section 2.06(b)(i) of this Agreement
have been executed and are in its possession and that the Notes have been
endorsed as set forth in Section 2.06(b)(i) hereof, (ii) such documents have
been reviewed by it and have not been mutilated, damaged or torn and relate to
such Home Equity Loan and (iii) based on its examination and only as to the
foregoing documents, the information set forth on the Schedule of Home Equity
Loans accurately reflects the information set forth in the Mortgage File. The
Indenture Trustee shall have no responsibility for reviewing any Mortgage File
except as expressly provided in this subsection 2.07(a). Without limiting the
effect of the preceding sentence, in reviewing any Mortgage File, the Indenture
Trustee shall have no responsibility for determining whether any document is
valid and binding, whether the text of any assignment is in proper form (except
to determine if the Indenture Trustee is the assignee), whether any document has
been recorded in accordance with the requirements of any applicable jurisdiction
or whether a blanket assignment is permitted in any applicable jurisdiction, but
shall only be required to determine whether a document has been executed, that
it appears to be what it purports to be, and, where applicable, that it purports
to be recorded. The Indenture Trustee shall be under no duty or obligation to
inspect, review or examine any such documents, instruments, certificates or
other papers to determine that they are genuine, enforceable, or appropriate for
the represented purpose or that they are other than what they purport to be on
their face, nor shall the Indenture Trustee be under any duty to determine
independently whether there are any intervening assignments or assumption or
modification agreements with respect to any Home Equity Loan.

                                       52
<PAGE>

         (b) If the Custodian, on behalf of the Indenture Trustee during such
45-day period finds any document constituting a part of a Mortgage File which is
not executed, has not been received, or is unrelated to the Home Equity Loans
identified in the Schedule of Home Equity Loans, or that any Home Equity Loan
does not conform to the description thereof as set forth in the Schedule of Home
Equity Loans, the Custodian, on behalf of the Indenture Trustee shall promptly
so notify the Depositor, the Seller, the Owners and the Insurer. In performing
any such review, the Custodian, on behalf of the Indenture Trustee may
conclusively rely on the Seller as to the purported genuineness of any such
document and any signature thereon. It is understood that the scope of the
review of the items delivered by the Seller pursuant to Section 2.06(b)(i) is
limited solely to confirming that the documents listed in Section 2.06(b)(i)
have been executed and received, relate to the Mortgage Files identified in the
Schedule of Home Equity Loans and conform to the description thereof in the
Schedule of Home Equity Loans. The Seller agrees to use reasonable efforts to
remedy a material defect in a document constituting part of a Mortgage File of
which it is so notified by the Custodian, on behalf of the Indenture Trustee.
If, however, within ninety (90) days after such notice to it respecting such
defect the Seller has not remedied the defect and the defect materially and
adversely affects the interest in the related Home Equity Loan of the Owners or
the Insurer, the Seller will (or will cause an affiliate of the Seller to) on
the next succeeding Monthly Remittance Date (i) substitute in lieu of such Home
Equity Loan a Qualified Replacement Mortgage and deliver the Substitution Amount
to the Servicer for deposit in the Principal and Interest Account or (ii)
purchase such Home Equity Loan at a purchase price equal to the Loan Purchase
Price thereof, which purchase price shall be delivered to the Servicer for
deposit in the Principal and Interest Account.

         (c) In addition to the foregoing, the Custodian, on behalf of the
Indenture Trustee also agrees to make a review during the 12th month after the
Startup Day indicating the current status of the exceptions previously indicated
on the Pool Certification (the "Final Certification"). After delivery of the
Final Certification, the Custodian, on behalf of the Indenture Trustee and the
Servicer shall provide to the Insurer no less frequently than monthly updated
certifications indicating the then current status of exceptions, until all such
exceptions have been eliminated.

                                       53
<PAGE>

         Section 2.08 Custodian.

         Notwithstanding anything to the contrary in this Agreement, the parties
hereto acknowledge that the functions of the Indenture Trustee with respect to
the custody, acceptance, inspection and release of the Mortgage Files pursuant
to Sections 2.06, 2.07 and 3.11 and the related Pool Certification and Final
Certification shall be performed by the Custodian on the Indenture Trustee's
behalf pursuant to the Custodial Agreement; provided, however, the Indenture
Trustee shall remain primarily liable for such obligations. The fees and
expenses of the Custodian will be paid by the Servicer.

         If, pursuant to Section [____] of the Custodial Agreement, the
Custodian shall request written instructions from the Indenture Trustee, the
Indenture Trustee hereby agrees to promptly provide such instructions.

         Section 2.09 Cooperation Procedures. The Seller shall, in connection
with the delivery of each Qualified Replacement Mortgage to the Custodian, on
behalf of the Indenture Trustee, provide the Indenture Trustee with information
set forth in the Schedules of Home Equity Loans with respect to such Qualified
Replacement Mortgage.

         (a) The Seller, the Depositor, the Servicer and the Indenture Trustee
covenant to provide each other with all data and information required to be
provided by them hereunder at the times required hereunder, and additionally
covenant reasonably to cooperate with each other in providing any additional
information required to be obtained by any of them in connection with their
respective duties hereunder.

         (b) The Servicer shall maintain such accurate and complete accounts,
records and computer systems pertaining to each Mortgage File as shall enable it
and the Indenture Trustee to comply with this Agreement. In performing its
record-keeping duties the Servicer shall act in accordance with the servicing
standards set forth in this Agreement. The Servicer shall conduct, or cause to
be conducted, periodic audits of its accounts, records and computer systems as
set forth in Sections 3.13 and 3.14 hereof. The Servicer shall promptly report
to the Indenture Trustee any failure on its part to maintain its accounts,
records and computer systems herein provided and promptly take appropriate
action to remedy any such failure.

         (c) The Seller further confirms to the Indenture Trustee that it has
caused the portions of the electronic ledger relating to the Home Equity Loans
to be clearly and unambiguously marked to indicate that such Home Equity Loans
have been sold, transferred, assigned and conveyed through the Depositor to the
Indenture Trustee and constitute part of the Trust Estate in accordance with the
terms of the trust created hereunder and that the Seller will treat the
transaction contemplated by such sale, transfer, assignment and conveyance as a
sale for accounting purposes.

                                       54
<PAGE>

         Notwithstanding anything to the contrary in this Agreement, the parties
hereto acknowledge that the functions of the Indenture Trustee with respect to
the custody, acceptance, inspection and release of the Mortgage Files pursuant
to Sections 2.06, 2.07 and 3.11 and the related Pool Certification and Final
Certification shall be performed by the Custodian pursuant to the Custodial
Agreement. The fees and expenses of the Custodian will be paid by the Servicer.

                                   ARTICLE III

                ADMINISTRATION AND SERVICING OF HOME EQUITY LOANS

         Section 3.01 The Servicer.

         (a) The Servicer, as independent contract servicer, shall service and
administer the Home Equity Loans and shall have full power and authority, acting
alone, to do any and all things in connection with such servicing and
administration which the Servicer may deem necessary or desirable and consistent
with the terms of this Agreement. The Servicer may enter into Subservicing
Agreements for any servicing and administration of Home Equity Loans with any
institution which (i) is in compliance with the laws of each state necessary to
enable it to perform its obligations under such Subservicing Agreement, (ii) (x)
has been designated an approved [Seller-]Servicer by the Federal Home Loan
Mortgage Corporation ("FHLMC") or the Federal National Mortgage Association
("FNMA") for first and second home equity loans or (y) is an affiliate of the
Servicer or (z) is otherwise approved by the Insurer. The Servicer shall give
written notice to the Insurer, and the Indenture Trustee prior to the
appointment of any Subservicer. Any such Subservicing Agreement shall be
consistent with and not violate the provisions of this Agreement and shall be in
form and substance acceptable to the Insurer and the Indenture Trustee. The
Servicer shall be entitled to terminate any Subservicing Agreement in accordance
with the terms and conditions of such Subservicing Agreement and either itself
directly service the related Home Equity Loans or enter into a Subservicing
Agreement with a successor subservicer that qualifies hereunder.

         (b) Notwithstanding any Subservicing Agreement or any of the provisions
of this Agreement relating to agreements or arrangements between the Servicer
and a Subservicer or reference to actions taken through a Subservicer or
otherwise, the Servicer shall remain obligated and primarily liable for the
servicing and administering of the Home Equity Loans in accordance with the
provisions of this Agreement without diminution of such obligation or liability
by virtue of such Subservicing Agreements or arrangements or by virtue of
indemnification from the Subservicer and to the same extent and under the same
terms and conditions as if the Servicer alone were servicing and administering
the Home Equity Loans. For purposes of this Agreement, the Servicer shall be
deemed to have received payments on Home Equity Loans when the Subservicer has
received such payments. The Servicer shall be entitled to enter into any
agreement with a Subservicer for indemnification of the Servicer by such
Subservicer, and nothing contained in this Agreement shall be deemed to limit or
modify such indemnification.

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<PAGE>

         (c) Any Subservicing Agreement that may be entered into and any
transactions or services relating to the Home Equity Loans involving a
Subservicer in its capacity as such and not as an originator shall be deemed to
be between the Subservicer and the Servicer alone, and the Indenture Trustee,
the Owner Trustee and Noteholders and the Transferor in respect of the Ownership
Interest shall not be deemed parties thereto and shall have no claims, rights,
obligations, duties or liabilities with respect to the Subservicer except as set
forth in Section 3.01(d) herein. The Servicer shall be solely liable for all
fees owed by it to any Subservicer irrespective of whether the Servicer's
compensation pursuant to this Agreement is sufficient to pay such fees.

         (d) In the event the Servicer shall for any reason no longer be the
Servicer (including by reason of an Event of Servicing Termination), the
Indenture Trustee or its designee approved by the Insurer shall thereupon assume
all of the rights and obligations of the Servicer under each Subservicing
Agreement that the Servicer may have entered into, unless the Indenture Trustee
or designee approved by the Insurer elects to terminate any Subservicing
Agreement in accordance with the terms of such Subservicing Agreement. Each
Subservicing Agreement shall include the provision that such agreement may be
immediately terminated by the Insurer or the Indenture Trustee in the event that
the Servicer shall, for any reason, no longer be the Servicer (including
termination due to an Event of Servicing Termination). In no event shall any
Subservicing Agreement require the Insurer or the Indenture Trustee as Successor
Servicer to pay compensation to a Subservicer or order the termination of such
Subservicer. Any fee payable or expense incurred in connection with such a
termination will be payable by the outgoing Servicer. If the Indenture Trustee
does not terminate a Subservicing Agreement, the Indenture Trustee, its designee
or the successor servicer for the Indenture Trustee shall be deemed to have
assumed all of the Servicer's interest therein and to have replaced the Servicer
as a party to each Subservicing Agreement to the same extent as if the
Subservicing Agreements had been assigned to the assuming party, except that the
Servicer shall not thereby be relieved of any liability or obligations under the
Subservicing Agreements with regard to events that occurred prior to the date
the Servicer ceased to be the Servicer hereunder. The Servicer, at its expense
and without right of reimbursement therefor, shall, upon the request of the
Indenture Trustee, deliver to the assuming party all documents and records
relating to each Subservicing Agreement and the Home Equity Loans then being
serviced and an accounting of amounts collected and held by it and otherwise use
its best efforts to effect the orderly and efficient transfer of the
Subservicing Agreements to the assuming party.

         (e) Consistent with the terms of this Agreement, the Servicer may
waive, modify or vary any term of any Home Equity Loan or consent to the
postponement of strict compliance with any such term or in any manner grant
indulgence to any Mortgagor if in the Servicer's determination such waiver,
modification, postponement or indulgence is not materially adverse to the
interests of the Noteholders, the Transferor in respect of the Ownership
Interest and the Insurer, provided, however, that (unless (x) the Mortgagor is
in default with respect to the Home Equity Loan, or such default is, in the
judgment of the Servicer, imminent, (y) with respect to any modification
lowering the Coupon Rate or effecting the forgiveness of any amount owed under
the Mortgage Note, or extending the final maturity date on such Home Equity
Loan, the Insurer has consented to such modification and (z) such waiver,
modification, postponement or indulgence would not cause a tax to be imposed on
the Trust) the Servicer may not permit any modification with respect to any Home
Equity Loan that would change the Coupon Rate, defer or forgive the payment of
any principal or interest (unless in connection with the liquidation of the
related Home Equity Loan) or extend the final maturity date on the Home Equity
Loan. No costs incurred by the Servicer or any Subservicer in respect of
Servicing Advances shall, for the purposes of distributions to Noteholders, be
added to the amount owing under the related Home Equity Loan. Without limiting
the generality of the foregoing, the Servicer shall continue, and is hereby
authorized and empowered to execute and deliver on behalf of the Indenture
Trustee and each Noteholder, all instruments of satisfaction or cancellation, or
of partial or full release, discharge and all other comparable instruments with
respect to the Home Equity Loans and with respect to the Mortgaged Properties.
If reasonably required by the Servicer and requested in writing, the Indenture
Trustee shall furnish the Servicer and, if directed by the Servicer, any
Subservicer with any powers of attorney and other documents necessary or
appropriate to enable the Servicer and any such Subservicer to carry out its
servicing and administrative duties under this Agreement.

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<PAGE>

         Notwithstanding anything to the contrary contained herein, the
Servicer, in servicing and administering the Home Equity Loans, shall employ or
cause to be employed procedures (including collection, foreclosure and REO
management procedures) and exercise the same care that it customarily employs
and exercises in servicing and administering home equity loans for its own
account, in accordance with accepted mortgage servicing practices of prudent
lending institutions servicing home equity loans similar to the Home Equity
Loans and giving due consideration to the Insurer's and the Trust's reliance on
the Servicer.

         (f) On and after such time as the Indenture Trustee receives the
resignation of, or notice of the removal of, the Servicer from its rights and
obligations under this Agreement, the Indenture Trustee, if it so elects, and
with the consent of the Insurer, shall assume all of the rights and obligations
of the Servicer, subject to Section 7.02 herein. The Servicer shall, upon
request of the Indenture Trustee, but at the expense of the Servicer, deliver to
the Indenture Trustee, all documents and records relating to the Home Equity
Loans and an accounting of amounts collected and held by the Servicer and
otherwise use its best efforts to effect the orderly and efficient transfer of
servicing rights and obligations to the assuming party.

         (g) The Servicer shall deliver a list of Servicing Officers to the
Indenture Trustee and the Insurer on or before the Closing Date and shall revise
such list from time to time, as appropriate, and shall deliver all revisions
promptly to the Indenture Trustee and the Insurer.

         (h) Consistent with the terms of this Agreement, the Servicer may
consent to the placing of a lien senior to that of the Mortgage on the related
Mortgaged Property; provided that such senior lien secures a home equity loan
that refinances a First Lien and the combined loan-to-value ratio of the related
Home Equity Loan immediately following the refinancing (based on the outstanding
principal balance of the Home Equity Loan and the original principal balance of
such refinanced home equity loan) is not greater than the Combined Loan-to-Value
Ratio of such Home Equity Loan as of the related Cut-Off Date.

         Section 3.02 Collection of Certain Home Equity Loan Payments.

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         The Servicer shall make reasonable efforts to collect all payments
called for under the terms and provisions of the Home Equity Loans, and shall,
to the extent such procedures shall be consistent with this Agreement and the
terms and provisions of any applicable Insurance Policy, follow collection
procedures for all Home Equity Loans as it follows with respect to home equity
loans in its servicing portfolio comparable to the Home Equity Loans. Consistent
with the foregoing, the Servicer may in its discretion waive or permit to be
waived any late payment charge, prepayment charge, assumption fee or any penalty
interest in connection with the prepayment of a Home Equity Loan or any other
fee or charge which the Servicer would be entitled to retain hereunder as
servicing compensation. In the event the Servicer shall consent to the deferment
of the due dates for payments due on a Note, the Servicer shall nonetheless make
payment of any required Delinquency Advance with respect to the payments so
extended to the same extent as if such installment were due, owing and
Delinquent and had not been deferred, and shall be entitled to reimbursement
therefor in accordance with Section 3.04 hereof.

         Section 3.03 Principal and Interest Account.

         (a) The Servicer shall establish an account, which includes three
separate subaccounts into which amounts in respect of each Group will be
separately deposited and maintained (the "Principal and Interest Account"). The
Principal and Interest Account shall be an Eligible Account. The Principal and
Interest Account shall be titled: "[________________], as Indenture Trustee in
trust for the registered holders of Renaissance Home Equity Loan Asset-Backed
Notes and the Insurer, and as Paying Agent for the Transferor in respect of the
Ownership Interest, as their interests may appear, Series 200[_]-[__] Principal
and Interest Account." If the institution at any time holding the Principal and
Interest Account ceases to be eligible as a Designated Depository Institution
hereunder, then the Servicer shall immediately be required to name a successor
institution meeting the requirements for a Designated Depository Institution
hereunder. If the Servicer fails to name such a successor institution, then the
Principal and Interest Account shall thenceforth be held as a trust account with
a qualifying Designated Depository Institution selected by the Indenture
Trustee. The Servicer shall notify the Indenture Trustee, the Insurer and the
Owners if there is a change in the name, account number or institution holding
the Principal and Interest Account.

         (b) Subject to Subsection (c) below, the Servicer shall deposit all
receipts required pursuant to Subsection (c) below and related to the Home
Equity Loans to the Principal and Interest Account on a daily basis (but no
later than the second Business Day after receipt). All funds in the Principal
and Interest Account shall be held and invested as set forth in Section 5.06
hereof.

         (c) The Servicer shall deposit to the Principal and Interest Account no
later than the second Business Day after receipt, all principal collected and
interest due on the Home Equity Loans (net of the Servicing Fee related to such
Home Equity Loans) on and after the Cut-Off Date and the Replacement Cut-Off
Date, as applicable, including any Prepayments and Net Liquidation Proceeds,
other recoveries or amounts related to the Home Equity Loans received by the
Servicer and any income from REO Properties, but net of (i) Net Liquidation
Proceeds to the extent such Net Liquidation Proceeds exceed the sum of (a) the
Principal Balance of the related Home Equity Loan immediately prior to
liquidation, plus (b) accrued and unpaid interest on such Home Equity Loan (net
of the related Servicing Fee) and (c) any unrecovered Cram Down Losses, (ii)
reimbursements for unreimbursed Delinquency Advances (but solely from amounts
received on the related Home Equity Loan) and (iii) reimbursements for amounts
deposited in the Principal and Interest Account representing payments of
principal and/or interest on a Note by a Mortgagor which are subsequently
returned by a depository institution as unpaid.

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<PAGE>

         (d) The Servicer may make withdrawals from the Principal and Interest
Account, with respect to each Home Equity Group, only in the following priority
and for the following purposes:

                  (A) on each Monthly Remittance Date, to pay itself the related
         Servicing Fees to the extent such Servicing Fees are not retained by
         the Servicer;

                  (B) to withdraw investment earnings on amounts on deposit in
         the Principal and Interest Account;

                  (C) to withdraw amounts that have been deposited to the
         Principal and Interest Account in error;

                  (D) to reimburse itself pursuant to Section 3.04 for
         unrecovered Delinquency Advances and unrecovered Servicing Advances (in
         each case, solely from amounts recovered on the related Home Equity
         Loan);

                  (E) Nonrecoverable Advances; and

                  (F) to clear and terminate the Principal and Interest Account
         following the termination of the Trust pursuant to Article IX;

                  (i) The Servicer shall (a) remit to the Indenture Trustee for
         deposit in the Distribution Account by wire transfer, or otherwise make
         funds available in immediately available funds, without duplication,
         the Monthly Remittance Amount allocable to a Remittance Period not
         later than the related Monthly Remittance Date, and (b) on each Monthly
         Remittance Date, deliver to the Indenture Trustee, the Depositor and
         the Insurer, a monthly servicing report, with respect to each Home
         Equity Group, containing (without limitation) the following
         information: principal and interest collected in respect of the Home
         Equity Loans, scheduled principal and interest that was due on the Home
         Equity Loans, relevant information with respect to Liquidated Loans, if
         any, summary and detailed delinquency reports, Liquidation Proceeds and
         other similar information concerning the servicing of the Home Equity
         Loans and any other information requested by the Insurer (including,
         without limitation, a liquidation report with respect to each
         Liquidated Loan). In addition, the Servicer shall inform the Indenture
         Trustee and the Insurer on each Monthly Remittance Date, with respect
         to each Home Equity Group, of the amounts of any Loan Purchase Prices
         or Substitution Amounts so remitted during the related Remittance
         Period, and of the Principal Balance of the Home Equity Loan having the
         largest Principal Balance as of such date.

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<PAGE>

                  (ii) The Servicer shall provide to the Indenture Trustee the
         information described in Section 3.03(d)(i)(b) and in Section 5.03 to
         enable the Indenture Trustee to perform its reporting requirements
         under Section 5.03 and to make the allocations and disbursements set
         forth in Sections 5.01 and 5.04.

         Section 3.04 Delinquency Advances and Servicing Advances.

         (a) On or before each Monthly Remittance Date, the Servicer shall be
required to remit to the Indenture Trustee for deposit to the Distribution
Account out of the Servicer's own funds or from collections on any Home Equity
Loans that are not required to be distributed on the Distribution Date occurring
during the month in which such remittance is made (all or any portion of such
amount to be replaced on future Monthly Remittance Dates to the extent required
for distribution) any Delinquent payment of interest with respect to each
Delinquent Home Equity Loan, which payment was not received on or prior to the
last day of the related Remittance Period. Such amounts of the Servicer's own
funds so deposited are "Delinquency Advances".

         The Servicer shall be permitted to reimburse itself on any Business Day
for any Delinquency Advances paid from the Servicer's own funds, from late
collections on the related Home Equity Loan or as provided in Section 5.01.

         Notwithstanding the foregoing, in the event that the Servicer
determines in its reasonable business judgment in accordance with the servicing
standards set out herein that any proposed Delinquency Advance would not be
recoverable, the Servicer shall not be required to make Delinquency Advances
with respect to such Home Equity Loan. To the extent that the Servicer
previously has made Delinquency Advances with respect to a Home Equity Loan that
the Servicer subsequently determines is a Nonrecoverable Advance, the Servicer
shall be entitled to reimbursement for such aggregate Nonrecoverable Advances
from collections on any Home Equity Loan on deposit in the Principal and
Interest Account. The Servicer shall give written notice of such determination
as to why such amount would not be recoverable to the Indenture Trustee and the
Insurer; the Indenture Trustee shall promptly furnish a copy of such notice to
the Transferor with respect to the Transferor Interest; provided, further, that
the Servicer shall be entitled to recover any unreimbursed Delinquency Advances
from Liquidation Proceeds for the related Home Equity Loan.

         (b) The Servicer will pay all "out-of-pocket" costs and expenses
incurred in the performance of its servicing obligations, including, but not
limited to, (i) Preservation Expenses, (ii) the cost of any enforcement or
judicial proceedings, including foreclosures, (iii) the cost of the management
and liquidation of REO Property, (iv) advances required by Section 3.10, except
to the extent that such amounts are determined by the Servicer in its reasonable
business judgment not to be recoverable and (v) expenses incurred pursuant to
Section 7.01. Such costs will constitute "Servicing Advances". The Servicer may
recover a Servicing Advance (x) from the Mortgagors to the extent permitted by
the Home Equity Loans or, if not theretofore recovered from the Mortgagor on
whose behalf such Servicing Advance was made, from Liquidation Proceeds realized
upon the liquidation of the related Home Equity Loan and (y) as provided in
Section 5.01. The Servicer shall be entitled to recover the Servicing Advances
from the Liquidation Proceeds on the related Home Equity Loan prior to the
payment of the Liquidation Proceeds to any other party to this Agreement. In no
case may the Servicer recover Servicing Advances from the principal and interest
payments on any other Home Equity Loan except as provided in Section 5.01.

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<PAGE>

         Section 3.05 Compensating Interest; Repurchase of Home Equity Loans.

         (a) If a Prepayment in full of a Home Equity Loan or a Prepayment of at
least six times a Mortgagor's Monthly Payment occurs during any calendar month,
any shortfall between (x) the interest collected from the Mortgagor in
connection with such payoff, and (y) the full months interest at the Coupon Rate
that would be due on the related Due Date for such Home Equity Loan
("Compensating Interest") (but not in excess of the aggregate Servicing Fee for
the related Remittance Period) shall be deposited by the Servicer to the
Principal and Interest Account (or if such difference is an excess, the Servicer
shall retain such excess) on the next succeeding Monthly Remittance Date and
shall be included in the Monthly Remittance Amount to be made available to the
Indenture Trustee on such Monthly Remittance Date. The Servicer may recover any
unreimbursed payments of Compensating Interest as provided in Section 5.01.

         (b) Subject to the clause (c) below, the Servicer has the right and the
option, but not the obligation, to purchase for its own account any Home Equity
Loan which becomes a 60-Day Delinquent Loan, or any Home Equity Loan as to which
enforcement proceedings have been brought by the Servicer pursuant to Section
3.10. Any such Home Equity Loan so purchased shall be purchased by the Servicer
on or prior to a Monthly Remittance Date at a purchase price equal to the Loan
Purchase Price thereof, which purchase price shall be deposited in the Principal
and Interest Account.

         (c) If a Home Equity Loan to be purchased by the Servicer pursuant to
clause (b) above, is the greatest number of days Delinquent of all then
Delinquent Home Equity Loans (including Home Equity Loans relating to REO
Property), the Servicer may purchase such Home Equity Loan without having first
notified the Insurer of such purchase. In all other cases, the Servicer must
notify the Insurer and the Indenture Trustee, in writing, of its intent to
purchase a Home Equity Loan and the Servicer may not purchase such Home Equity
Loan without the written consent of the Insurer.

         (d) The Net Liquidation Proceeds from the disposition of any REO
Property shall be deposited in the Principal and Interest Account and remitted
to the Indenture Trustee as part of the Monthly Remittance Amount remitted by
the Servicer to the Indenture Trustee.

         Section 3.06 Maintenance of Insurance.

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<PAGE>

         (a) The Servicer shall cause to be maintained with respect to each Home
Equity Loan a hazard insurance policy with a carrier generally acceptable to the
Servicer that provides for fire and extended coverage, and which provides for a
recovery by the Trust of insurance proceeds relating to such Home Equity Loan in
an amount not less than the least of (i) the outstanding principal balance of
the Home Equity Loan (plus the related senior lien loan, if any), (ii) the
minimum amount required to compensate for damage or loss on a replacement cost
basis and (iii) the full insurable value of the premises. The Servicer shall
maintain the insurance policies required hereunder in the name of the mortgagee,
its successors and assigns, and shall be named as loss payee. The policies shall
require the insurer to provide the mortgagee with thirty (30) days' notice prior
to any cancellation or as otherwise required by law. As an alternative to
maintaining a hazard insurance policy with respect to each Home Equity Loan, the
Servicer may maintain a blanket hazard insurance policy or policies if the
insurer or insurers of such policies are rated investment grade by Moody's and
Standard & Poor's.

         (b) If the Home Equity Loan at the time of origination (or if required
by federal law, at any time thereafter) relates to a Mortgaged Property in an
area identified in the Federal Register by the Federal Emergency Management
Agency as having special flood hazards, the Servicer will cause to be maintained
with respect thereto a flood insurance policy in a form meeting the requirements
of the then current guidelines of the Federal Insurance Administration with a
carrier generally acceptable to the Servicer in an amount representing coverage,
and which provides for a recovery by the Trust of insurance proceeds relating to
such Home Equity Loan of not less than the least of (i) the outstanding
principal balance of the Home Equity Loan (plus the related senior lien loan, if
any), (ii) the minimum amount required to compensate for damage or loss on a
replacement cost basis and (iii) the maximum amount of insurance that is
available under the Flood Disaster Protection Act of 1973. The Servicer shall
indemnify the Trust and the Insurer out of the Servicer's own funds for any loss
to the Trust or the Insurer resulting from the Servicer's failure to advance
premiums for such insurance required by this Section when so permitted by the
terms of the Mortgage as to which such loss relates.

         (c) Amounts collected by the Servicer under any Insurance Policies
shall be deposited into the Principal and Interest Account.

         Section 3.07 [Reserved].

         Section 3.08 [Reserved].

         Section 3.09 Due-on-Sale Clauses; Assumption and Substitution
Agreements.

         When a Mortgaged Property has been or is about to be conveyed by the
Mortgagor, the Servicer shall (except as provided below), to the extent it has
knowledge of such conveyance or prospective conveyance, exercise its rights to
accelerate the maturity of the related Home Equity Loan under any "due-on-sale"
clause contained in the related Mortgage or Note; provided, however, that the
Servicer shall not exercise any such right if the "due-on-sale" clause, in the
reasonable belief of the Servicer, is not enforceable under applicable law, or
the Servicer, in a manner consistent with reasonable commercial practice, and
only if the Servicer reasonably believes assumption by the purchaser would not
materially and adversely affect the interests of the Owners or of the Insurer,
permits the purchaser of the related Mortgaged Property to assume such Home
Equity Loan. An Opinion of Counsel, provided at the expense of the Servicer, to
the foregoing effect shall conclusively establish the reasonableness of such
belief. In such event, the Servicer shall enter into an assumption and
modification agreement with the person to whom such property has been or is
about to be conveyed, pursuant to which such person becomes liable under the
Note and, unless prohibited by applicable law or the Mortgage documents, the
Mortgagor remains liable thereon. If the foregoing is not permitted under
applicable law, the Servicer is authorized to enter into a substitution of
liability agreement with such person, pursuant to which the original Mortgagor
is released from liability and such person is substituted as Mortgagor and
becomes liable under the Note; provided, however, that to the extent any such
substitution of liability agreement would be delivered by the Servicer outside
of its usual procedures for home equity loans held in its own portfolio the
Servicer shall, prior to executing and delivering such agreement, obtain the
prior written consent of the Insurer. The Home Equity Loan, as assumed, shall
conform in all material respects to the requirements, representations and
warranties of this Agreement. The Servicer shall notify the Indenture Trustee
that any such assumption or substitution agreement has been completed by
forwarding to the Indenture Trustee or to the Custodian on the Indenture
Trustee's behalf the original copy of such assumption or substitution agreement
(indicating the Mortgage File to which it relates) which copy shall be added by
the Indenture Trustee or by the Custodian on the Indenture Trustee's behalf to
the related Mortgage File and which shall, for all purposes, be considered a
part of such Mortgage File to the same extent as all other documents and
instruments constituting a part thereof. The Servicer shall be responsible for
recording any such assumption or substitution agreements. In connection with any
such assumption or substitution agreement, no material term of the Home Equity
Loan (including, without limitation, the required monthly payment on the related
Home Equity Loan, the stated maturity, the outstanding principal amount or the
Coupon Rate) shall be changed nor shall any required monthly payments of
principal or interest be deferred or forgiven. Any fee collected by the Servicer
or the Subservicer for consenting to any such conveyance or entering into an
assumption or substitution agreement shall be retained by or paid to the
Servicer as additional servicing compensation.

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<PAGE>

         Notwithstanding the foregoing paragraph or any other provision of this
Agreement, the Servicer shall not be deemed to be in default, breach or any
other violation of its obligations hereunder by reason of any assumption of a
Home Equity Loan by operation of law or any assumption which the Servicer may be
restricted by law from preventing, for any reason whatsoever.

         Section 3.10 Realization Upon Defaulted Home Equity Loans; Workout of
Home Equity Loans.

         (a) The Servicer shall foreclose upon or otherwise comparably effect
the ownership in the name of the Indenture Trustee on behalf of the Trust of
Properties relating to defaulted Home Equity Loans as to which no satisfactory
arrangements can be made for collection of Delinquent payments and which the
Servicer has not purchased pursuant to Section 3.05. In connection with such
foreclosure or other conversion, the Servicer shall exercise such of the rights
and powers vested in it hereunder, and use the same degree of care and skill in
their exercise or use, as prudent mortgage lenders would exercise or use under
the circumstances in the conduct of their own affairs and consistent with its
servicing standards, including, but not limited to, advancing funds for the
payment of taxes, amounts due with respect to Senior Liens, and insurance
premiums. Any amounts so advanced shall constitute "Servicing Advances" within
the meaning of Section 3.04 hereof. Pursuant to its efforts to sell such REO
Property, the Servicer shall either itself or through an agent selected by the
Servicer protect and conserve such REO Property in the same manner and to such
extent as is customary in the locality where such REO Property is located and
may, incident to its conservation and protection of the interests of the Owners,
rent the same, or any part thereof, as the Servicer deems to be in the best
interest of the Owners for the period prior to the sale of such REO Property.
The Servicer shall take into account the existence of any hazardous substances,
hazardous wastes or solid wastes, as such terms are defined in the Comprehensive
Environmental Response Compensation and Liability Act, the Resource Conservation
and Recovery Act of 1976, or other federal, state or local environmental
legislation, on a Mortgaged Property in determining whether to foreclose upon or
otherwise comparably convert the ownership of such Mortgaged Property. If the
Servicer has actual knowledge of any environmental or hazardous waste risk with
respect to the Mortgaged Property that the Servicer is contemplating acquiring
in foreclosure or deed in lieu of foreclosure, the Servicer will cause an
environmental inspection of the Mortgaged Property in accordance with the
servicing standards set forth in this Agreement. The Servicer shall not take any
such action with respect to any Mortgaged Property known by the Servicer to
contain such wastes or substances or to be within one mile of the site of such
wastes or substances, without the prior written consent of the Insurer.

                                       63
<PAGE>

         (b) The Servicer shall determine, with respect to each defaulted Home
Equity Loan, when it has recovered, whether through Indenture Trustee's sale,
foreclosure sale or otherwise, all amounts it expects to recover from or on
account of such defaulted Home Equity Loan, whereupon such Home Equity Loan
shall become a "Liquidated Loan" and the Servicer shall promptly submit a
liquidation report to the Insurer in form acceptable to the Insurer.

         (c) The Servicer shall not agree to any modification, waiver or
amendment of any provision of any Home Equity Loan unless, in the Servicer's
good faith judgment, such modification, waiver or amendment would minimize the
loss that might otherwise be experienced with respect to such Home Equity Loan
and only in the event of a payment default with respect to such Home Equity Loan
or in the event that a payment default with respect to such Home Equity Loan is
reasonably foreseeable by the Servicer; provided, however, that no such
modification, waiver or amendment shall extend the maturity date of such Home
Equity Loan beyond the Remittance Period related to the Final Distribution Date.
Notwithstanding anything set out in this Section 3.10(c) or elsewhere in this
Agreement to the contrary, the Servicer shall be permitted to modify, waive or
amend any provision of a Home Equity Loan if required by statute or a court of
competent jurisdiction to do so.

         (d) The Servicer has no intent to foreclose on any Mortgage based on
the delinquency characteristics as of the Startup Day; provided, that the
foregoing does not prevent the Servicer from initiating foreclosure proceedings
on any date hereafter if the facts and circumstances of such Mortgage including
delinquency characteristics in the Servicer's discretion so warrant such action.

                                       64
<PAGE>

         Section 3.11 Indenture Trustee to Cooperate; Release of Mortgage Files.

         (a) Upon the payment in full of any Home Equity Loan (including any
liquidation of such Home Equity Loan through foreclosure or otherwise), or the
receipt by the Servicer of a notification that payment in full will be escrowed
in a manner customary for such purposes, the Servicer shall deliver to the
Custodian, on behalf of the Indenture Trustee, a written request of the Servicer
signed by an Authorized Officer which states the purpose of the release of a
Mortgage File. Upon receipt of such written request, the Custodian, on behalf of
the Indenture Trustee shall promptly release the related Mortgage File, in
trust, in its reasonable discretion to (i) the Servicer, (ii) an escrow agent or
(iii) any employee, agent or attorney of the Indenture Trustee. Upon any such
payment in full, or the receipt of such notification that such funds have been
placed in escrow, the Servicer is authorized to give, as attorney-in-fact for
the Indenture Trustee and the mortgagee under the Mortgage which secured the
Note, an instrument of satisfaction (or assignment of Mortgage without recourse)
regarding the Mortgaged Property relating to such Mortgage, which instrument of
satisfaction or assignment, as the case may be, shall be delivered to the Person
or Persons entitled thereto against receipt therefor of payment in full, it
being understood and agreed that no expense incurred in connection with such
instrument of satisfaction or assignment, as the case may be, shall be
chargeable to the Principal and Interest Account or to the Indenture Trustee. In
lieu of executing any such satisfaction or assignment, as the case may be, the
Servicer may prepare and submit to the Custodian, on behalf of the Indenture
Trustee, a satisfaction (or assignment without recourse, if requested by the
Person or Persons entitled thereto) in form for execution by the Indenture
Trustee with all requisite information completed by the Servicer; in such event,
the Custodian, on behalf of the Indenture Trustee shall execute and acknowledge
such satisfaction or assignment, as the case may be, and deliver the same with
the related Mortgage File, as aforesaid.

         (b) The Servicer shall have the right (upon receiving the prior written
consent of the Insurer) to accept applications of Mortgagors for consent to (i)
partial releases of Mortgages, (ii) alterations and (iii) removal, demolition or
division of properties subject to Mortgages. No application for approval shall
be considered by the Servicer unless: (x) the provisions of the related Note and
Mortgage have been complied with; (y) the Loan-to-Value Ratio and debt-to-income
ratio after any release does not exceed the Loan-to-Value Ratio and
debt-to-income ratio of such Note on the Cut-Off Date or Replacement Cut-Off
Date, as applicable, and any increase in the Loan-to-Value Ratio shall not
exceed [___]% unless approved in writing by the Insurer; and (z) the lien
priority of the related Mortgage is not affected. Upon receipt by the Indenture
Trustee of an Officer's Certificate executed on behalf of the Servicer setting
forth the action proposed to be taken in respect of a particular Home Equity
Loan and certifying that the criteria set forth in the immediately preceding
sentence have been satisfied, the Indenture Trustee shall execute and deliver to
the Servicer the consent or partial release so requested by the Servicer. A
proposed form of consent or partial release, as the case may be, shall accompany
any Officer's Certificate delivered by the Servicer pursuant to this paragraph.
The Servicer shall notify the Insurer and the Rating Agencies if an application
is approved under clause (y) above without approval in writing by the Insurer.

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         (c) From time to time and as appropriate in the servicing of any Home
Equity Loan, including, without limitation, foreclosure or other comparable
conversion of a Home Equity Loan or collection under any applicable Home Equity
Loan Insurance Policy, the Indenture Trustee shall release the related Mortgage
File to the Servicer, promptly upon a written request of the Servicer signed by
an Authorized Officer, which states the purpose of the release of a Mortgage
File; provided, however, that no more than [___]% of the outstanding Home Equity
Loans (by number) shall be released to the Servicer at any time. Such receipt
shall obligate the Servicer to return the Mortgage File to the Indenture Trustee
when the need therefore by the Servicer no longer exists.

         (d) In all cases where the Servicer needs the Indenture Trustee to sign
any document or to release a Mortgage File within a particular period of time,
the Servicer shall notify an Authorized Officer of the Indenture Trustee by
telephone of such need and the Indenture Trustee shall thereon use its best
efforts to comply with the Servicer's needs, but in any event will comply within
two Business Days of such request.

         (e) No costs associated with the procedures described in this Section
3.11 shall be an expense of the Trust.

         Section 3.12 Servicing Compensation.

         As compensation for its activities hereunder, the Servicer shall be
entitled to retain the amount of the related Servicing Fee with respect to each
Home Equity Loan. Additional servicing compensation in the form of prepayment
charges, release fees, bad check charges, assumption fees, late payment charges,
prepayment penalties, or any other servicing-related fees, Net Liquidation
Proceeds not required to be deposited in the Principal and Interest Account
pursuant to Section 3.03 and similar items may, to the extent collected from
Mortgagors, be retained by the Servicer, unless a successor Servicer is
appointed pursuant to Section 7.02 hereof, in which case the successor Servicer
shall be entitled to such fees as are agreed upon by the Indenture Trustee, the
Insurer and the successor Servicer.

         The right to receive the Servicing Fee may not be transferred in whole
or in part except in connection with the transfer of all of the Servicer's
responsibilities and obligations under this Agreement.

         Section 3.13 Annual Statement as to Compliance.

         The Servicer, at its own expense, will deliver to the Indenture
Trustee, the Insurer, the Depositor, and the Rating Agencies, on or before
[________] [___] of each year, commencing in [____], an Officer's Certificate
stating, as to each signer thereof, that (i) a review of the activities of the
Servicer during such preceding calendar year and of performance under this
Agreement has been made under such officers' supervision, and (ii) to the best
of such officers' knowledge, based on such review, the Servicer has fulfilled
all its obligations under this Agreement for such year, or, if there has been a
default in the fulfillment of all such obligations, specifying each such default
known to such officers and the nature and status thereof including the steps
being taken by the Servicer to remedy such default.

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         The Servicer shall deliver to the Indenture Trustee, the Depositor, the
Insurer and the Rating Agencies, promptly after having obtained knowledge
thereof but in no event later than five (5) Business Days thereafter, written
notice by means of an Officer's Certificate of any event which with the giving
of notice or the lapse of time would become a Servicer Termination Event.

         Section 3.14 Annual Independent Certified Public Accountants' Reports.

         On or before [________] [___] of each year, commencing in [____], the
Servicer, at its own expense (or if the Indenture Trustee is then acting as
Servicer, at the expense of the Seller, which in no event shall exceed $[_____]
per annum), shall cause to be delivered to the Indenture Trustee, the Insurer,
the Depositor, and the Rating Agencies a letter or letters of a firm of
independent, nationally recognized certified public accountants reasonably
acceptable to the Insurer stating that such firm has examined the Servicer's
overall servicing operations in accordance with the requirements of the Uniform
Single Attestation Program for Mortgage Bankers, and stating such firm's
conclusions relating thereto.

         Section 3.15 [Reserved].

         Section 3.16 Assignment of Agreement.

         Other than with respect to entering into Subservicing Agreements
pursuant to Section 3.01 hereof, the Servicer may not assign its obligations
under this Agreement, in whole or in part, unless it shall have first obtained
the written consent of the Indenture Trustee and the Insurer, which such consent
shall not be unreasonably withheld; provided, however, that any assignee must
meet the eligibility requirements set forth in Section 7.01 hereof for a
successor servicer.

         Section 3.17 Inspections by Insurer; Errors and Omissions Insurance.

         (a) At any reasonable time and from time to time upon reasonable
notice, the Indenture Trustee, the Insurer, [the Transferor], or any agents
thereof may inspect the Servicer's servicing operations and discuss the
servicing operations of the Servicer during the Servicer's normal business hours
with any of its officers or directors; provided, however, that the costs and
expenses incurred by the Servicer or its agents or representatives in connection
with any such examinations or discussions shall be paid by the Servicer.

         (b) The Servicer (including the Indenture Trustee if it shall become
the Servicer hereunder) agrees to maintain errors and omissions coverage and a
fidelity bond, each at least to the extent required by Section 305 of Part I of
FNMA Guide or any successor provision thereof; provided, however, that in any
event that the fidelity bond or the errors and omissions coverage is no longer
in effect, the Servicer shall notify the Indenture Trustee and the Indenture
Trustee shall promptly give such notice to the Insurer and the Owners.

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         Section 3.18 Additional Servicing Responsibilities for Second Mortgage
Loans.

         The Servicer shall file (or cause to be filed) a request for notice of
any action by a superior lienholder under a superior lien for the protection of
the Indenture Trustee's interest, where permitted by local law and whenever
applicable state law does not require that a junior lienholder be named as a
party defendant in foreclosure proceedings in order to foreclose such junior
lienholder's equity of redemption.

         If the Servicer is notified that any superior lienholder has
accelerated or intends to accelerate the obligations under a First Mortgage
Loan, or has declared or intends to declare a default under the mortgage or the
promissory note secured thereby, or has filed or intends to file an election to
have the Mortgaged Property sold or foreclosed, the Servicer shall take, on
behalf of the Trust, whatever actions are necessary to protect the interests of
the Owners and the Insurer, and/or to preserve the security of the related Home
Equity Loan. The Servicer shall advance the necessary funds to cure the default
or reinstate the lien securing a First Mortgage Loan, if such advance is in the
best interests of the Insurer and the Owners; provided, however, that no such
additional advance need be made if such advance would be nonrecoverable from
Liquidation Proceeds on the related Home Equity Loan. The Servicer shall
thereafter take such action as is necessary to recover the amount so advanced.
Any expenses incurred by the Servicer pursuant to this Section 3.18 shall be
Servicing Advances.

         Section 3.19 The Group III Home Equity Loans.

         The Servicer shall enforce each Home Equity Loan in Group III in
accordance with its terms and shall timely calculate, record, report and apply
all interest rate adjustments in accordance with the related Note. The
Servicer's records shall, at all times, reflect the then Coupon Rate and monthly
payment and the Servicer shall timely notify the Mortgagor of any changes to the
Coupon Rate or the Mortgagor's monthly payment. If the Servicer fails to make
either a timely or accurate adjustment to the Coupon Rate or monthly payment or
to notify the Mortgagor of such adjustments, upon the Servicer's discovery of
such error and such continued failure, the Servicer shall pay from its own funds
any shortage. If the Servicer's continued failure after notice thereof to make a
scheduled change affects the Trust's rights to make future adjustments under the
terms of such Home Equity Loan, the Servicer shall repurchase such Home Equity
Loan in accordance with the provisions hereof. Any amounts paid by the Servicer
pursuant to this Section shall not be an advance and shall not be reimbursable
from the proceeds of any Home Equity Loan.

         Section 3.20 Reserved.

         Section 3.21 Notices of Material Events. The Servicer shall give prompt
notice to the Insurer, if applicable, the Indenture Trustee, Moody's and
Standard & Poor's of the occurrence of any of the following events:

         (a) Any default or any fact or event of which the Servicer has
knowledge which results, or which with notice or the passage of time, or both,
would result in the occurrence of a default by the Seller, or the Servicer under
any Transaction Document or would constitute a material breach of a
representation, warranty or covenant under any Transaction Document;

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         (b) The submission of any claim or the initiation of any legal process,
litigation or administrative or judicial investigation against the Seller or the
Servicer to which the Servicer has knowledge in any federal, state or local
court or before any governmental body or agency or before any arbitration board
or any such proceedings threatened by any governmental agency, which, if
adversely determined, would have a material adverse effect upon any of the
Seller's or the Servicer's ability to perform its obligations under any
Transaction Document;

         (c) The commencement of any proceedings by or against the Seller or the
Servicer under any applicable bankruptcy, reorganization, liquidation,
insolvency or other similar law now or hereafter in effect or of any proceeding
in which a receiver, liquidator, trustee or other similar official shall have
been, or may be, appointed or requested for the Seller or the Servicer; and

         (d) The receipt of notice from any agency or governmental body having
authority over the conduct of any of the Seller's or the Servicer's business
that the Seller or the Servicer is to cease or desist, or to undertake any
practice, program, procedure or policy employed by the Seller or the Servicer in
the conduct of the business of any of them, and such cessation or undertaking
will materially and adversely affect the conduct of the Seller's or the
Servicer's business or its ability to perform under the Transaction Documents or
materially and adversely affect the financial affairs of the Seller or the
Servicer.

         Section 3.22 Reports on Foreclosure and Abandonment of Properties. On
or before [_________] [____] of each year beginning in [_____], the Servicer
shall file the reports of foreclosures and abandonments of any Property required
by Code Section 6050J with the Internal Revenue Service and provide a copy of
such filing to the Indenture Trustee. The reports from the Servicer shall be in
a form and substance sufficient to meet the reporting requirements imposed by
such Section 6050J.

                                   ARTICLE IV

                                     INSURER

         Section 4.01 Claims upon the Insurance Policies.

         (a) As soon as possible, and in no event later than 10:00 a.m. New York
City time on the second Business Day immediately preceding the Distribution
Date, the Indenture Trustee shall furnish the Insurer, the Fiscal Agent and the
Servicer with a completed notice in the form set forth as Exhibit A to the
applicable Insurance Policy (the "Notice for Payment") in the event that the
relevant Insured Payment for such Distribution Date is equal to an amount
greater than zero. The Notice for Payment shall specify the amount of the
Insured Payment and the Class of Notes with respect to which such Insured
Payment is to be made, and shall constitute a claim for an Insured Payment
pursuant to the applicable Insurance Policy. Upon receipt of an Insured Payment
on behalf of the Holders of the Notes under the Insurance Policy, the Indenture
Trustee shall deposit such Insured Payment in the Distribution Account and shall
distribute such Insured Payments pursuant to Section 5.01.

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         (b) The Indenture Trustee shall keep a complete and accurate record of
the amount of interest and principal paid in respect of the Notes from moneys
received under each Insurance Policy. The Insurer shall have the right to
inspect such records at reasonable times during normal business hours upon four
Business Day's prior written notice to the Indenture Trustee.

         (c) If a payment to the Noteholders which is guaranteed pursuant to an
Insurance Policy is voided (a "Preference Event") under any applicable
bankruptcy, insolvency, receivership or similar law in an Insolvency Proceeding
(as defined in the applicable Insurance Policy), and, as a result of such a
Preference Event, the Indenture Trustee is required to return such voided
payment, or any portion of such voided payment, made in respect of the Notes (an
"Avoided Payment"), the Indenture Trustee shall furnish to the Insurer (w) a
certified copy of a final order of a court exercising jurisdiction in such
Insolvency Proceeding to the effect that the Indenture Trustee is required to
return any such payment or portion thereof during the term of the Insurance
Policy because such payment was voided under applicable law, with respect to
which order the appeal period has expired without an appeal having been filed
(the "Final Order"), (x) an Opinion of Counsel satisfactory to the Insurer that
such order is final and not subject to appeal, (y) an assignment, in form
reasonably satisfactory to the Insurer, irrevocably assigning to the Insurer all
rights and claims of the Indenture Trustee relating to or arising under such
Avoided Payment and (z) appropriate instruments to effect the appointment of the
Insurer as agent for the beneficiary in any legal proceeding related to such
preference payment. Such payment shall be disbursed to the receiver,
conservator, debtor-in-possession or trustee in bankruptcy named in the Final
Order and not to the Indenture Trustee directly (unless a Noteholder has
previously paid such amount to the receiver, conservator, debtor-in-possession
or trustee in bankruptcy named in the Final Order in which case such payment
shall be disbursed to the beneficiary for distribution to such Noteholder upon
proof of such payment reasonably satisfactory to Insurer). The Indenture Trustee
is not permitted to make a claim on the Trust or on any Noteholder for payments
made to any Noteholder which are characterized as preference payments by any
bankruptcy court having jurisdiction over any bankrupt Mortgagor unless ordered
to do so by such bankruptcy court.

         (d) Any amounts received by the Indenture Trustee pursuant to any
Insurance Policy in respect of the Notes shall be deposited to the Distribution
Account.

         Section 4.02 Effect of Payments by the Insurer; Subrogation. Anything
herein to the contrary notwithstanding, any payment with respect to principal of
or interest on any of the Notes which are made with moneys received pursuant to
the terms of any Insurance Policy shall not be considered payment of such Notes,
as applicable, from the Trust and shall not result in the payment of or the
provision for the payment of the principal of or interest on such Notes, within
the meaning of Section 5.01 herein. The Seller, the Servicer and the Indenture
Trustee acknowledge, and each Holder by its acceptance of a Note agrees, that
without the need for any further action on the part of the Insurer, the Seller,
the Servicer, the Indenture Trustee or the Note Registrar (a) to the extent the
Insurer makes payments, directly or indirectly, on account of principal of or
interest on any Notes to the Holders of such Notes, the Insurer will be fully
subrogated to the rights of such Holders to receive such principal and interest,
as applicable, from the Trust and (b) the Insurer shall be paid such principal
and interest but only from the sources and in the manner provided herein and in
the Insurance Agreement for the payment of such principal and interest.

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         The Indenture Trustee and the Servicer shall cooperate in all respects
with any reasonable request by the Insurer for action to preserve or enforce the
Insurer's rights or interests under this Agreement without limiting the rights
or affecting the interests of the Holders of the Notes, as otherwise set forth
herein.

         Section 4.03 Replacement Insurance Policy. In the event of a default by
the Insurer under any Insurance Policy or if the claims paying ability rating of
the Insurer is downgraded and such downgrade results in a downgrading of the
then current rating of the Notes (in each case, a "Replacement Event"), the
Seller may, in accordance with and upon satisfaction of the conditions set forth
in the Insurance Policy and the Insurance Agreement and payment in full of all
amounts owed to the Insurer, but shall not be required to, substitute a new
insurance policy or insurance policies for the existing Insurance Policy, or may
arrange for any other form of credit enhancement; provided, however, that in
each case the Notes shall be rated no lower than the rating assigned by each
Rating Agency to the Notes immediately prior to such Replacement Event. It shall
be a condition to substitution of any new credit enhancement that there be
delivered to the Indenture Trustee (i) a legal opinion, acceptable in form and
substance to the Indenture Trustee, from counsel to the provider of such new
credit enhancement with respect to the enforceability thereof and such other
matters as the Indenture Trustee may require and (ii) an Opinion of Counsel to
the effect that such substitution would not have a materially adverse tax effect
on the Trust. Upon receipt of the items referred to above and the taking of
physical possession of the new credit enhancement, the Indenture Trustee shall,
within five (5) Business Days following receipt of such items and such taking of
physical possession, deliver the replaced Insurance Policy to the Insurer.

                                   ARTICLE V

   PRIORITY OF DISTRIBUTIONS; STATEMENTS TO NOTEHOLDERS; RIGHTS OF NOTEHOLDERS

         Section 5.01 Distributions.

         (a) Distributions of Interest and Principal Proceeds. On each
Distribution Date, the Indenture Trustee, with respect to the Notes, and the
Paying Agent, with respect to the Ownership Interest, shall distribute out of
the Distribution Account, to the extent of Available Funds for each Group
(except that with respect to Cross-Collateralization Payments, such Payments
shall be applied only to cover shortfalls as a result of defaults and
delinquencies and (A) the portion thereof payable to the Noteholders in respect
of any Interest Deficiency shall be distributed solely pursuant to Section
5.01(a)(ii), (B) the portion thereof payable to the Insurer in respect of any
Insurer Reimbursement Deficiency shall be distributed solely pursuant to Section
5.01(a)(iv), and (C) the portion thereof payable in respect of any
Undercollateralization Amount shall be applied pursuant to Section
5.01(a)(iii)), the following amounts and in the following order of priority to
the following Persons (based on the information set forth in the Servicing
Certificate) in respect of the related Group:

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                  (i) concurrently, to the Indenture Trustee, the Indenture
         Trustee Fee and Transition Expenses for such Distribution Date, to the
         Owner Trustee, the Owner Trustee Fee for such Distribution Date, and to
         the Insurer (so long as no Insurer Default defined in clause (i) in the
         definition thereof has occurred and is continuing), the Premium Amount,
         in each case, in respect of such Group;

                  (ii) concurrently, to the holders of the related Class of
         Notes, an amount equal to the related Interest Distribution for such
         Class of Notes for such Distribution Date;

                  (iii) to the holders of the related Class of Notes, the
         Principal Distribution for such Distribution Date and such Class (other
         than the portion constituting Distributable Excess Spread);

                  (iv) to the Insurer (so long as no Insurer Default defined in
         clause (i) in the definition thereof has occurred and is continuing),
         the amount owing to the Insurer under the Insurance Agreement for
         reimbursement for prior draws made on the applicable Insurance Policy,
         including interest thereon, in respect of such Group;

                  (v) to the holders of the related Class of Notes, to the
         extent of Available Funds in respect of such Group remaining, the
         Distributable Excess Spread for such Distribution Date and such Group;

                  (vi) to the Insurer (so long as no Insurer Default described
         in clause (i) thereof has occurred and is continuing), any other
         amounts owing to the Insurer in respect of such Group under the
         Insurance Agreement;

                  (vii) to the other Group(s), for deposit in the related
         subaccount(s) of the Distribution Account, any related
         Cross-Collateralization Payment for such Distribution Date;

                  (viii) to the Holders of the Class A-3 Notes, the Interest
         Index Carryover;

                  (ix) to the Indenture Trustee, reimbursement for all
         reimbursable expenses incurred in connection with its duties and
         obligations under this Agreement, to the extent not reimbursed as
         Transition Expenses pursuant to clause (i) above;

                  (x) to the Servicer, any unreimbursed Delinquency Advances,
         Servicing Advances and Compensating Interest;

                  (xi) to the Cross-Collateralization Reserve Account for such
         Group, the Cross-Collateralization Reserve Deposit for such Group and
         Distribution Date; and

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                  (xii) to the Transferor in respect of the Transferor Interest,
         the balance.

         (b) Method of Distribution. The Indenture Trustee shall make
distributions in respect of a Distribution Date to each Noteholder of record on
the related Record Date (other than as provided in Section 8.01 respecting the
final distribution) by check or money order mailed to such Noteholder at the
address appearing in the Note Register, or upon written request by a Noteholder
delivered to the Indenture Trustee at least five Business Days prior to such
Record Date, by wire transfer (but only if such Noteholder is the Depository or
such Noteholder owns of record one or more Notes having principal denominations
aggregating at least $1,000,000), or by such other means of payment as such
Noteholder and the Indenture Trustee shall agree. Distributions among
Noteholders shall be made in proportion to the Percentage Interests evidenced by
the Notes held by such Noteholders.

         (c) Distributions on Book-Entry Notes. Each distribution with respect
to a Book-Entry Note shall be paid to the Depository, which shall credit the
amount of such distribution to the accounts of its Depository Participants in
accordance with its normal procedures. Each Depository Participant shall be
responsible for disbursing such distribution to the Note Owners that it
represents and to each indirect participating brokerage firm (a "brokerage firm"
or "indirect participating firm") for which it acts as agent. Each brokerage
firm shall be responsible for disbursing funds to the Note Owners that it
represents. All such credits and disbursements with respect to a Book-Entry Note
are to be made by the Depository and the Depository Participants in accordance
with the provisions of the Notes. None of the Indenture Trustee, the Paying
Agent, the Note Registrar, the Seller, the Insurer, the Trust or the Servicer
shall have any responsibility therefor except as otherwise provided by
applicable law.

         Section 5.02 Calculation of the Note Rate. With respect to the Class
A-3 Notes, on the second LIBOR Business Day immediately preceding each
Distribution Date (or as of the second LIBOR Business Day prior to the Closing
Date, in the case of the first Distribution Date), the Indenture Trustee shall
determine One-Month LIBOR for the Interest Period commencing on such
Distribution Date and inform the Servicer (at the facsimile number given to the
Indenture Trustee in writing) of such rates. On the second LIBOR Business Day
prior to each Distribution Date, the Indenture Trustee shall determine the
applicable Note Rate for the related Distribution Date.

         Section 5.03 Statements to Noteholders.

         (a) Not later than 12:00 noon, New York time, on each Monthly
Remittance Date, the Servicer shall deliver to the Indenture Trustee, the
Depositor and the Underwriter a computer tape (or such other report in a form
and format mutually agreeable to the Servicer and the Indenture Trustee) (the
"Servicing Certificate") containing the information set forth in Exhibit [__]
hereto with respect to the Home Equity Loans on an aggregate basis as of the end
of the preceding Remittance Period and such other information as the Indenture
Trustee shall reasonably require. Not later than 12:00 noon, New York time, on
the Business Day preceding the Distribution Date, the Indenture Trustee shall
deliver to the Depositor, the Servicer, the Transferor and to the Insurer, by
telecopy, with a hard copy thereof to be delivered on such Distribution Date, a
statement (the "Indenture Trustee's Statement to Noteholders") (based solely on
the information contained on the computer tape provided by the Servicer)
containing the information set forth below with respect to such Distribution
Date:

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                  (i) The Available Funds for each Group and the Note Rate for
         each Class of Notes for the related Distribution Date;

                  (ii) The Note Principal Balance for each Class of Notes, the
         Pool Principal Balance and the Group Principal Balance for each Group,
         each as reported in the prior Indenture Trustee's Statement to
         Noteholders, or, in the case of the first Monthly Remittance Date, the
         Original Note Principal Balance for each Class of Notes, the Cut-Off
         Date Pool Principal Balance and the Group Cut-Off Date Principal
         Balance for each Group;

                  (iii) The aggregate amount of collections received on the Home
         Equity Loans on or prior to such Distribution Date in respect of the
         preceding Remittance Period, separately stating the amounts received in
         respect of principal and interest for each Group;

                  (iv) The number and Principal Balances of all Home Equity
         Loans in each Group that were the subject of principal prepayments
         during the related Remittance Period;

                  (v) The amount of all Curtailments that were received during
         the Remittance Period in respect of each Group;

                  (vi) The principal portion of all Monthly Payments received
         during the Remittance Period in respect of each Group;

                  (vii) The interest portion of all Monthly Payments received
         during the Remittance Period in respect of each Group;

                  (viii) The amount required to be paid by the Seller (reported
         separately) in respect of each Group pursuant to Sections 2.04, 2.06
         and 2.07;

                  (ix) The amount of the Delinquency Advances, Servicing
         Advances and the Compensating Interest paid with respect to such
         Distribution Date in respect of each Group;

                  (x) The Principal Distribution to be distributed on each Class
         of Notes and the Interest Distribution to be distributed on each Class
         of Notes on the related Distribution Date;

                  (xi) The amount, if any, of the Outstanding Interest Carryover
         Shortfall for each Class of Notes after giving effect to the
         distributions on the related Distribution Date;

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                  (xii) The amount of the Insured Payments in respect of each
         Group, if any, to be made on the related Distribution Date;

                  (xiii) The amount to be distributed to the Transferor in
         respect of the Transferor Interest for the related Distribution Date
         pursuant to Section 5.01(a)(xii);

                  (xiv) The Note Principal Balance of each Class of Notes after
         giving effect to the distribution to be made on the related
         Distribution Date;

                  (xv) The weighted average remaining term to maturity and the
         weighted average Coupon Rate of the Home Equity Loans in each Group;

                  (xvi) With respect to each Group, the amounts to be paid to
         the Insurer, separately stated, pursuant to Sections 5.01(a)(iv) and
         5.01(a)(vi);

                  (xvii) The Premium Amount in respect of each Group to be paid
         to the Insurer pursuant to Section 5.01;

                  (xviii) The amount of all payments or reimbursements to the
         Servicer pursuant to Section 3.03 in respect of each Group;

                  (xix) With respect to each Group, the related O/C Amount, O/C
         Reduction Amount, Excess O/C Amount and Specified O/C Amount for the
         Distribution Date and the related Excess Spread for such Distribution
         Date;

                  (xx) The amount of Distributable Excess Spread to be
         distributed to the Holders of each Class of Notes on such Distribution
         Date pursuant to Section 5.01(a)(v) on such Distribution Date;

                  (xxi) The number of Home Equity Loans in each Group
         outstanding at the beginning and at the end of the related Remittance
         Period;

                  (xxii) The Pool Principal Balance and Group Principal Balance
         of each Group as of the end of the Remittance Period related to such
         Distribution Date;

                  (xxiii) The number and aggregate Principal Balances of Home
         Equity Loans in each Group (w) as to which the Monthly Payment is
         delinquent for 30-59 days, 60-89 days and 90 or more days,
         respectively, (x) that have become REO Properties, in each case as of
         the end of the preceding Remittance Period, (y) that are in foreclosure
         and (z) the Mortgagor of which is the subject of any bankruptcy or
         insolvency proceeding;

                  (xxiv) The unpaid principal amount of all Home Equity Loans in
         each Group that became Liquidated Loans during such Remittance Period;

                  (xxv) The Net Liquidation Proceeds received during such
         Remittance Period for each Group;

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                  (xxvi) The cumulative losses on the Home Equity Loans in each
         Group;

                  (xxvii) The book value of any real estate acquired through
         foreclosure or grant of a deed in lieu of foreclosure;

                  (xxviii) [Reserved];

                  (xxix) [Reserved];

                  (xxx) The Delinquency Percentage for each Group in respect of
         such Distribution Date; and

                  (xxxi) The amount of any Cross-Collateralization Payment,
         Cross-Collateralization Reserve Deposit, Cross-Collateralization
         Reserve Release Amount and the amount on deposit in the
         Cross-Collateralization Reserve Account for each Group on such
         Distribution Date.

         In the case of information furnished pursuant to clauses (ii), (x) and
(xiv) above, the amounts shall be expressed, in a separate section of the
report, as a dollar amount for each Note for each $1,000 original dollar amount
as of the Cut-Off Date.

         In addition, the Indenture Trustee shall forward the Indenture
Trustee's Statement to Noteholders to each Noteholder, the Rating Agencies,
Bloomberg (at 499 Park Avenue, New York, New York 10022, Attention: Mike Geller)
and Intex Solutions (at 35 Highland Circle, Needham, Massachusetts 02144,
Attention: Harold Brennman) on the related Distribution Date. The Indenture
Trustee may fully and conclusively rely upon and shall have no liability with
respect to information provided by the Servicer.

         To the extent that there are inconsistencies between the telecopy of
the Indenture Trustee's Statement to Noteholders and the hard copy thereof, the
Servicer may rely upon the latter.

         (b) The Indenture Trustee shall prepare or cause to be prepared (in a
manner consistent with the treatment of the Notes as indebtedness of the Trust,
or as may be otherwise required by Section 3.21 herein) Internal Revenue Service
Form 1099 (or any successor form) and any other tax forms required to be filed
or furnished to Noteholders in respect of distributions by the Indenture Trustee
(or the Paying Agent) on the Notes and shall file and distribute such forms as
required by law.

         (c) The Servicer and the Indenture Trustee shall furnish to each
Noteholder and to the Insurer (if requested in writing), during the term of this
Agreement, such periodic, special or other reports or information, whether or
not provided for herein, as shall be necessary, reasonable or appropriate with
respect to the Noteholder or the Insurer, as the case may be, or otherwise with
respect to the purposes of this Agreement, all such reports or information to be
provided by and in accordance with such applicable instructions and directions
(if requested in writing) as the Noteholder or the Insurer, as the case may be,
may reasonably require; provided that the Servicer and the Indenture Trustee
shall be entitled to be reimbursed by such Noteholder or the Insurer, as the
case may be, for their respective fees and actual expenses associated with
providing such reports, if such reports are not generally produced in the
ordinary course of their respective businesses or readily obtainable.

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         (d) Reports and computer tapes furnished by the Servicer pursuant to
this Agreement shall be deemed confidential and of a proprietary nature, and
shall not be copied or distributed except to the extent provided in this
Agreement and to the extent required by law or to the Rating Agencies, the
Depositor, the Insurer's reinsurers, parent, regulators, liquidity providers and
auditors and to the extent the Seller instructs the Indenture Trustee in writing
to furnish information regarding the Trust or the Home Equity Loans to
third-party information providers. No Person entitled to receive copies of such
reports or tapes or lists of Noteholders shall use the information therein for
the purpose of soliciting the customers of the Seller or for any other purpose
except as set forth in this Agreement.

         Section 5.04 Cross-Collateralization Reserve Accounts.

         (a) The Indenture Trustee shall establish and maintain three separate
trust accounts in respect of Group I, Group II and Group III (the "Group I
Cross-Collateralization Reserve Account", the "Group II Cross-Collateralization
Reserve Account" and the "Group III Cross-Collateralization Reserve Account,"
respectively, each, a "Cross-Collateralization Reserve Account" and, together,
the "Cross-Collateralization Reserve Accounts"), titled "[____________], as
Indenture Trustee, in trust for the registered holders Renaissance Home Equity
Loan Asset-Backed Notes and the Insurer, and as Paying Agent for the Transferor
in respect of the Ownership Interest, as their interests may appear, Series
200[_]-[__] Group [1][2][3] Cross-Collateralization Reserve Account." Each
Cross-Collateralization Reserve Account shall be an Eligible Account.

         On each Distribution Date, the Indenture Trustee shall deposit any
Cross-Collateralization Reserve Deposit for a Group and such Distribution Date
in the Cross-Collateralization Reserve Account for such Group. The amounts on
deposit, if any, in each Cross-Collateralization Reserve Account will be used to
make Cross-Collateralization Payments in respect of each other Class of Notes,
as provided in subsections (b)-(d) below. Amounts may be withdrawn or released
from the Cross-Collateralization Reserve Accounts solely in accordance with
subsections (b)-(e) of this Section 5.04. Amounts on deposit in each
Cross-Collateralization Reserve Account may be invested in Eligible Investments
pursuant to Section 5.06 below. Any investment earnings on such amounts will be
retained in the related Cross-Collateralization Reserve Account.

         (b) On any Distribution Date on which the Note Principal Balance of the
Notes in a Class (after giving effect to payments in respect of principal of
such Notes, including any Cross-Collateralization Payments to be made from
Excess Available Funds for the other Group(s), but before giving effect to
withdrawals from the Cross-Collateralization Reserve Account for the other
Group(s), on such Distribution Date) exceeds the Group Principal Balance for
such Group as of the end of the related Remittance Period, the Indenture Trustee
shall withdraw from the Cross-Collateralization Reserve Account for each other
Group an amount in the aggregate equal to the lesser of (a) the
Undercollateralization Amount, and (b) the amount on deposit in the related
Cross-Collateralization Reserve Account and apply such withdrawn amount as a
Cross-Collateralization Payment in accordance with Section 5.01(a). The amount
to be withdrawn from each Cross-Collateralization Reserve Account is determined
pursuant to Section 5.04(d)(2) below.

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         (c) On any Distribution Date on which the sum of any Interest
Deficiency and Insurer Reimbursement Deficiency, in each case with respect to a
Group and such Distribution Date, exceeds the amount of Excess Available Funds
for the other Group(s) and Distribution Date after application of such Excess
Available Funds to any Cross-Collateralization Payment (such excess, the
"Deficiency Excess"), the Indenture Trustee shall withdraw from each other
Cross-Collateralization Reserve Account an amount equal in the aggregate to such
Deficiency Excess and apply such withdrawn amount as a Cross-Collateralization
Payment in accordance with Section 5.01(a).

         (d) (1) Any Cross-Collateralization Payments shall be made first from
all Excess Available Funds and then from amounts on deposit in the
Cross-Collateralization Reserve Accounts.

                  (2) If two Groups will make Cross-Collateralization Payments,
         each contributing Group will contribute to the amount calculated for
         the receiving Group in accordance with clause (b) of the definition of
         "Cross Collateralization Payment" pro rata, based on the amount of
         Excess Available Funds for each contributing Group, and if required,
         based on the amounts on deposit in the Cross-Collateralization Reserve
         Account of each contributing Group. Alternatively, if one Group will
         make a Cross-Collateralization Payment, each receiving Group shall
         share, pro rata, the Excess Available Funds and if required, the
         amounts withdrawn from the Cross-Collateralization Reserve Account, of
         the contributing Group, based on the amount calculated for each
         receiving Group in accordance with clause (b) of the definition of
         "Cross Collateralization Payment".

         (e) On any Distribution Date on which the amounts on deposit in a
Cross-Collateralization Reserve Account for a Group exceed the Required
Cross-Collateralization Reserve Amount with respect to such Group and
Distribution Date (after giving effect to all distributions on such Distribution
Date), the Indenture Trustee shall withdraw an amount equal to the
Cross-Collateralization Reserve Release Amount for such Group and Distribution
Date, and distribute such Cross-Collateralization Reserve Release Amount to the
Transferor in respect of the Transferor Interest.

         Section 5.05 Distribution Account. The Indenture Trustee shall
establish an account, which includes three separate subaccounts into which
amounts in respect of each Group will be separately deposited (the "Distribution
Account"), titled "[________________], as Indenture Trustee, in trust for the
registered holders of Renaissance Home Equity Loan Asset-Backed Notes and the
Insurer, and as Paying Agent for the Transferor in respect of the Ownership
Interest, as their interests may appear, Series 200[_]-[__] Distribution
Account." The Distribution Account shall be an Eligible Account. The Indenture
Trustee shall deposit any amounts representing payments on and any collections
in respect of the Home Equity Loans received by it immediately following receipt
thereof to the appropriate subaccount in the Distribution Account including,
without limitation, all amounts (i) withdrawn by the Servicer from the Principal
and Interest Account pursuant to Sections 3.03 or 3.04 herein for deposit to the
Distribution Account, (ii) drawn under any Insurance Policy in respect of an
Insured Payment, or (iii) received by it in respect of a Cross-Collateralization
Payment. Amounts on deposit in the Distribution Account may be invested in
Eligible Investments pursuant to Section 5.06 below.

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         Section 5.06 Investment of Accounts.

         (a) So long as no Event of Servicing Termination shall have occurred
and be continuing, and consistent with any requirements of the Code, all or a
portion of any Account held by the Indenture Trustee shall be invested and
reinvested by the Indenture Trustee, as directed in writing by the Servicer, in
one or more Eligible Investments bearing interest or sold at a discount. If an
Event of Servicing Termination shall have occurred and be continuing or if the
Servicer does not provide investment directions, the Indenture Trustee shall
invest all Accounts in Eligible Investments described in paragraph (vi) of the
definition of Eligible Investments. No such investment shall mature later than
(i) the Business Day immediately preceding the next Distribution Date, in the
case of the Distribution Account, (ii) the Monthly Remittance Date immediately
preceding the Distribution Date, in the case of the Principal and Interest
Account, or (iii) the third Business Day immediately preceding the next
Distribution Date, in the case of the Cross-Collateralization Reserve Accounts
(except that, in the case of the Distribution Account, (i) if such Eligible
Investment is an investment described in item (vi) of Eligible Investments or an
obligation of the Indenture Trustee, then such Eligible Investment shall mature
not later than such Distribution Date and (ii) any other date as may be approved
by the Rating Agencies and the Insurer).

         (b) If any amounts are needed for disbursement from any Account held by
the Indenture Trustee and sufficient uninvested funds are not available to make
such disbursement, the Indenture Trustee shall cause to be sold or otherwise
converted to cash a sufficient amount of the investments in such Account.

         (c) The Indenture Trustee shall not in any way be held liable for the
selection of Eligible Investments or by reason of any investment loss or charge
or any insufficiency in any Account held by the Indenture Trustee resulting from
any investment loss on any Eligible Investment included therein unless the
Indenture Trustee's failure to perform in accordance with this Section is the
cause of such loss or charge (except to the extent that the Indenture Trustee is
the obligor and has defaulted thereon or as provided in subsection (b) of this
Section). The Indenture Trustee shall have no liability in respect of losses
incurred as a result of the liquidation of any Eligible Investment prior to its
stated maturity or the failure of the Servicer to provide timely written
investment direction. In the absence of written investment direction, the
Indenture Trustee shall invest funds in the Accounts in the Eligible Investment
described in clause (vi) of the definition thereof.

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         (d) The Indenture Trustee shall invest and reinvest funds in the
Accounts held by the Indenture Trustee, to the fullest extent practicable, in
such manner as the Servicer shall from time to time direct as set forth in
Section 5.06(a), but only in one or more Eligible Investments.

         (e) So long as no Event of Servicing Termination shall have occurred
and be continuing, all net income and gain realized from investment of, and all
earnings on, funds deposited in the Principal and Interest Account and the
Distribution Account shall be for the benefit of the Servicer as servicing
compensation (in addition to the Servicing Fee), and shall (i) in the case of
the Distribution Account, be subject to withdrawal by the Servicer on or before
the first Business Day of the month following the month in which such income or
gain is received; and (ii) in the case of the Principal and Interest Account, be
subject to withdrawal by the Servicer immediately following remittance of the
Monthly Remittance Amount on the Monthly Remittance Date. The Servicer shall
deposit in the Principal and Interest Account or the Distribution Account, as
the case may be, the amount of any loss incurred in respect of any Eligible
Investment held therein which is in excess of the income and gain thereon
immediately upon realization of such loss from its own funds, without any right
to reimbursement therefore.

                                   ARTICLE VI

                   THE SELLER, THE SERVICER AND THE DEPOSITOR

         Section 6.01 Liability of the Seller, the Servicer and the Depositor.
The Seller and the Servicer shall be liable in accordance herewith only to the
extent of the obligations specifically imposed upon and undertaken by the Seller
or Servicer, as the case may be, herein. The Depositor shall be liable in
accordance herewith only to the extent of the obligations specifically imposed
upon and undertaken by the Depositor.

         Section 6.02 Merger or Consolidation of, or Assumption of the
Obligations of, the Seller, the Servicer or the Depositor. Any corporation into
which the Seller, the Servicer or Depositor may be merged or consolidated, or
any corporation resulting from any merger, conversion or consolidation to which
the Seller, the Servicer or the Depositor shall be a party, or any corporation
succeeding to the business of the Seller, the Servicer or the Depositor, shall
be the successor of the Seller, the Servicer or the Depositor, as the case may
be, hereunder, without the execution or filing of any paper or any further act
on the part of any of the parties hereto, anything herein to the contrary
notwithstanding; provided, however, that the successor Servicer shall satisfy
all the requirements of Section 7.02 with respect to the qualifications of a
successor Servicer, and shall be approved by the Insurer.

         Section 6.03 Limitation on Liability of the Servicer and Others.
Neither the Servicer nor any of the directors or officers or employees or agents
of the Servicer shall be under any liability to the Trust or the Noteholders for
any action taken or for refraining from the taking of any action by the Servicer
in good faith pursuant to this Agreement, or for errors in judgment; provided,
however, that this provision shall not protect the Servicer or any such Person
against any liability which would otherwise be imposed by reason of its willful
misfeasance, bad faith or negligence in the performance of duties of the
Servicer or by reason of its reckless disregard of its obligations and duties of
the Servicer hereunder; provided, further, that this provision shall not be
construed to entitle the Servicer to indemnity in the event that amounts
advanced by the Servicer to retire any senior lien exceed Net Liquidation
Proceeds realized with respect to the related Home Equity Loan. The Servicer and
any director or officer or employee or agent of the Servicer may rely in good
faith on any document of any kind prima facie properly executed and submitted by
any Person respecting any matters arising hereunder. The Servicer and any
director or officer or employee or agent of the Servicer shall be indemnified by
the Trust and held harmless against any loss, liability or expense incurred in
connection with any legal action relating to this Agreement or the Notes, other
than any loss, liability or expense related to any specific Home Equity Loan or
Home Equity Loans (except as any such loss, liability or expense shall be
otherwise reimbursable pursuant to this Agreement) and any loss, liability or
expense incurred by reason of its willful misfeasance, bad faith or negligence
in the performance of duties hereunder or by reason of its reckless disregard of
obligations and duties hereunder. The Servicer may with the consent of the
Insurer (which consent shall not be unreasonably withheld) undertake any such
action which it may deem necessary or desirable in respect of this Agreement,
and the rights and duties of the parties hereto and the interests of the
Noteholders hereunder. In such event, the reasonable legal expenses and costs of
such action and any liability resulting therefrom shall be expenses, costs and
liabilities of the Trust. The Servicer's right to indemnity or reimbursement
pursuant to this Section 6.03 shall survive any resignation or termination of
the Servicer pursuant to Section 6.04 or 7.01 below with respect to any losses,
expenses, costs or liabilities arising prior to such resignation or termination
(or arising from events that occurred prior to such resignation or termination).
This paragraph shall apply to the Servicer solely in its capacity as Servicer
hereunder and in no other capacities.

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         Section 6.04 Servicer Not to Resign. Subject to the provisions of
Section 6.02, Section 7.01 and Section 7.02 herein, the Servicer shall not
resign from the obligations and duties hereby imposed on it except (i) upon
determination that the performance of its obligations or duties hereunder are no
longer permissible under applicable law or are in material conflict by reason of
applicable law with any other activities carried on by it or its subsidiaries or
Affiliates, the other activities of the Servicer so causing such a conflict
being of a type and nature carried on by the Servicer or its subsidiaries or
Affiliates at the date of this Agreement or (ii) upon satisfaction of the
following conditions: (a) the Servicer has proposed a successor servicer to the
Indenture Trustee in writing and such proposed successor servicer is reasonably
acceptable to the Indenture Trustee; (b) each Rating Agency shall have delivered
a letter to the Indenture Trustee prior to the appointment of the successor
servicer stating that the proposed appointment of such successor servicer as
Servicer hereunder will not result in the reduction or withdrawal of the then
current rating of the Notes; and (c) such proposed successor servicer is
reasonably acceptable to the Insurer, as evidenced by a letter to the Indenture
Trustee; provided, however, that no such resignation by the Servicer shall
become effective until such successor servicer or, in the case of (i) above, the
Indenture Trustee shall have assumed the Servicer's responsibilities and
obligations hereunder or the Indenture Trustee shall have designated a successor
servicer in accordance with Section 7.02 below. Any such resignation shall not
relieve the Servicer of responsibility for any of the obligations specified in
Sections 7.01 and 7.02 below as obligations that survive the resignation or
termination of the Servicer. Any such determination permitting the resignation
of the Servicer pursuant to clause (i) above shall be evidenced by an Opinion of
Counsel to such effect delivered to the Indenture Trustee and the Insurer.

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         Section 6.05 Delegation of Duties. In the ordinary course of business,
the Servicer at any time may delegate any of its duties hereunder to any Person,
including any of its Affiliates, who agrees to conduct such duties in accordance
with standards comparable to those set forth in Section 3.01 herein. Such
delegation shall not relieve the Servicer of its liabilities and
responsibilities with respect to such duties and shall not constitute a
resignation within the meaning of Section 6.04 above. The Servicer shall provide
the Insurer and the Indenture Trustee with written notice prior to the
delegation of any of its duties to any Person other than any of the Servicer's
Affiliates or their respective successors and assigns, and the Insurer shall
have consented to the appointment of any such Subservicer (which consent shall
not have been unreasonably withheld).

         Section 6.06 Indemnification by the Servicer. The Servicer shall
indemnify and hold harmless each of the Trust, the Depositor and the Indenture
Trustee and its officers, directors, agents and employees from and against any
loss, liability, expense, damage or injury suffered or sustained by reason of
the Servicer's willful misfeasance, bad faith or negligence in the performance
of its activities in servicing or administering the Home Equity Loans pursuant
to this Agreement, including, but not limited to, any judgment, award,
settlement, reasonable fees of, counsel of its selection and other costs or
expenses incurred in connection with the defense of any actual or threatened
action, proceeding or claim related to the Servicer's misfeasance, bad faith or
negligence. Any such indemnification shall not be payable from the assets of the
Trust. The provisions of this indemnity shall run directly to and be enforceable
by an injured party subject to the limitations hereof. The provisions of this
Section 6.06 shall survive termination of the Agreement or the earlier of the
resignation or removal of the Servicer or the Indenture Trustee, as the case may
be. In addition, the Servicer agrees to indemnify the Indenture Trustee pursuant
to Section [6.7] of the Indenture.

                                  ARTICLE VII

                              SERVICING TERMINATION

         Section 7.01 Events of Servicing Termination.

         If any one of the following events ("Events of Servicing Termination")
shall occur and be continuing:

                  (i) The Servicer shall (a) apply for or consent to the
         appointment of a receiver, trustee, liquidator or custodian or similar
         entity with respect to itself or its property, (b) admit in writing its
         inability to pay its debts generally as they become due, (c) make a
         general assignment for the benefit of creditors, (d) be adjudicated a
         bankrupt or insolvent, (e) commence a voluntary case under the federal
         bankruptcy laws of the United States of America or any state bankruptcy
         law or similar laws or file a voluntary petition or answer seeking
         reorganization, an arrangement with creditors or an order for relief or
         seeking to take advantage of any insolvency law or file an answer
         admitting the material allegations of a petition filed against it in
         any bankruptcy, reorganization or insolvency proceeding or (f) take
         corporate action for the purpose of effecting any of the foregoing; or

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                  (ii) If without the application, approval or consent of the
         Servicer, a proceeding shall be instituted in any court of competent
         jurisdiction, under any law relating to bankruptcy, insolvency,
         reorganization or relief of debtors, seeking in respect of the Servicer
         an order for relief or an adjudication in bankruptcy, reorganization,
         dissolution, winding up, liquidation, a composition or arrangement with
         creditors, a readjustment of debts, the appointment of a trustee,
         receiver, liquidator or custodian or similar entity with respect to the
         Servicer or of all or any substantial part of its assets, or other like
         relief in respect thereof under any bankruptcy or insolvency law, and,
         if such proceeding is being contested by the Servicer in good faith,
         the same shall (A) result in the entry of an order for relief or any
         such adjudication or appointment or (B) continue undismissed or pending
         and unstayed for any period of seventy-five (75) consecutive days; or

                  (iii) The Servicer shall fail to perform any one or more of
         its obligations hereunder and shall continue in default thereof for a
         period of thirty (30) days (one (1) Business Day in the case of a delay
         in making a payment or deposit required of the Servicer under this
         Agreement) after the earlier of (a) actual knowledge of an officer of
         the Servicer or (b) receipt of notice from the Indenture Trustee or the
         Insurer of said failure; provided, however, that if the Servicer can
         demonstrate to the reasonable satisfaction of the Insurer that it is
         diligently pursuing remedial action, then the cure period may be
         extended with the written approval of the Insurer; or

                  (iv) The Servicer shall fail to cure any breach of any of its
         representations and warranties set forth in Section 2.03 or in the
         other Transaction Documents which materially and adversely affects the
         interests of the Owners or the Insurer which remains unremedied for a
         period of sixty (60) days after the earlier of the Servicer's discovery
         or receipt of notice thereof; provided, however, that if the Servicer
         can demonstrate to the reasonable satisfaction of the Insurer that it
         is diligently pursuing remedial action, then the cure period may be
         extended with the written approval of the Insurer; or

                  (v) The merger, consolidation or other combination of the
         Servicer with or into any other entity, unless (1) the Servicer or an
         Affiliate of the Servicer is the surviving entity of such combination
         or (2) the surviving entity (A) is servicing at least $300,000,000 of
         home equity loans that are similar to the Home Equity Loans, (B) has
         Tangible Net Worth of not less than $35,000,000 (as determined in
         accordance with generally acceptable account principles), (C) is
         consented to by the Insurer (such consent not to be unreasonably
         withheld) and (D) agrees to assume the Servicer's obligations
         hereunder; or

                  (vi) The failure of the Servicer to satisfy the Servicer
         Termination Test; or

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                  (vii) The Servicer shall be declared in default of its credit
         facility by its credit facility provider, which default, if left
         uncured, would result in termination or acceleration of amounts owed
         thereunder; or

                  (viii) Delta Funding Corporation or its successors shall fail
         to own, directly or indirectly, at least 51% of the Servicer unless (a)
         the Servicer shall be rated at least investment grade by each Rating
         Agency or (b) the Servicer shall have at all times committed financing
         capacity in a total amount of at least three times the Servicer's
         average loan originations funded during the immediately preceding three
         calendar months.

then, and in each and every such case, so long as an Event of Servicing
Termination shall not have been remedied within the applicable grace period, the
Indenture Trustee shall, at the direction of the Insurer or the Holders of Notes
representing not less than 51% of the aggregate Note Principal Balance of all
Classes of Notes (with the consent of the Insurer, so long as no Insurer Default
exists), by notice then given in writing to the Servicer (and to the Indenture
Trustee if given by Holders of Notes), terminate all of the rights and
obligations of the Servicer as servicer under this Agreement. Any such notice to
the Servicer shall also be given to each Rating Agency, the Depositor, the Trust
and the Insurer. On or after the receipt by the Servicer of such written notice,
all authority and power of the Servicer under this Agreement, whether with
respect to the Notes or the Home Equity Loans or otherwise, shall pass to and be
vested in the Indenture Trustee pursuant to and under this Section 7.01; and,
without limitation, the Indenture Trustee is hereby authorized and empowered to
execute and deliver, on behalf of the Servicer, as attorney-in-fact or
otherwise, any and all documents and other instruments, and to do or accomplish
all other acts or things necessary or appropriate to effect the purposes of such
notice of termination, whether to complete the transfer and endorsement of each
Home Equity Loan and related documents or otherwise. The Servicer agrees to
cooperate with the Indenture Trustee in effecting the termination of the
responsibilities and rights of the Servicer hereunder, including, without
limitation, the transfer to the Indenture Trustee for the administration by it
of all cash amounts that shall at the time be held by the Servicer and to be
deposited by it in Principal and Interest Account, or that have been deposited
by the Servicer in the Principal and Interest Account or thereafter received by
the Servicer with respect to the Home Equity Loans. All reasonable costs and
expenses (including attorneys' fees) incurred in connection with transferring
the Mortgage Files to the successor Servicer and amending this Agreement to
reflect such succession as Servicer pursuant to this Section 7.01 shall be paid
by the predecessor Servicer (or if the predecessor Servicer is the Indenture
Trustee, the initial Servicer) upon presentation of reasonable documentation of
such costs and expenses.

         [In addition, upon the occurrence of any Trigger Event, as provided in
the Insurance Agreement, and upon the direction of the Insurer in connection
therewith, the Indenture Trustee shall terminate the rights and responsibilities
of the Servicer hereunder and shall appoint a successor Servicer in accordance
with the provisions of Section 7.02.]

         Section 7.02 Indenture Trustee to Act; Appointment of Successor.

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         (a) On and after the time the Servicer receives a notice of termination
pursuant to Section 7.01 or resigns pursuant to 6.04 herein, the Indenture
Trustee or a previously agreed upon successor Servicer shall be the successor in
all respects to the Servicer in its capacity as servicer under this Agreement
and the transactions set forth or provided for herein and shall be subject to
all the responsibilities, duties and liabilities relating thereto placed on the
Servicer by the terms and provisions hereof. The Indenture Trustee will
immediately assume all obligations of the Servicer to make Delinquency Advances.
As compensation therefor, the Indenture Trustee shall be entitled to such
compensation as the Servicer would have been entitled to hereunder if no such
notice of termination had been given. Notwithstanding the above, (i) if the
Indenture Trustee is unwilling to act as successor Servicer, or (ii) if the
Indenture Trustee is legally unable so to act, the Indenture Trustee shall
appoint or petition a court of competent jurisdiction to appoint, any
established housing and home finance institution, bank or other home equity loan
or home equity loan servicer which has been designated as an approved
seller-servicer by FNMA or FHLMC for first and second home equity loans and
having a net worth of not less than $50,000,000 (or such lower level as may be
acceptable to the Insurer) as determined in accordance with generally accepted
accounting practices as the successor to the Servicer hereunder in the
assumption of all or any part of the responsibilities, duties or liabilities of
the Servicer hereunder; provided that any such successor Servicer shall be
acceptable to the Insurer, as evidenced by the Insurer's prior written consent;
and provided, further, that the appointment of any such successor Servicer will
not result in the qualification, reduction or withdrawal of the ratings assigned
to the Notes by the Rating Agencies. Pending appointment of a successor to the
Servicer hereunder, unless the Indenture Trustee is prohibited by law from so
acting, the Indenture Trustee shall act in such capacity as hereinabove
provided. Notwithstanding anything herein or in the Indenture to the contrary,
in no event shall the Indenture Trustee be held liable for any Servicing Fee or
for any differential in the amount necessary to induce any successor servicer to
act as successor servicer under this Agreement and the transactions set forth or
provided for therein. In connection with such appointment and assumption, the
successor shall be entitled to receive compensation out of payments on Home
Equity Loans in an amount equal to the compensation which the Servicer would
otherwise have received pursuant to Section 3.12 herein (or such lesser
compensation as the Indenture Trustee and such successor shall agree). The
appointment of a successor Servicer shall not affect any liability of the
predecessor Servicer which may have arisen under this Agreement prior to its
termination as Servicer to pay any deductible under an insurance policy pursuant
to Section 3.06 herein or to indemnify any party pursuant to Section 6.06), nor
shall any successor Servicer be liable for any acts or omissions of the
predecessor Servicer or for any breach by such Servicer of any of its
representations or warranties contained herein or in any related document or
agreement. The Indenture Trustee and such successor shall take such action,
consistent with this Agreement, as shall be necessary to effectuate any such
succession.

         (b) Any successor, including the Indenture Trustee, to the Servicer as
servicer shall during the term of its service as servicer (i) continue to
service and administer the Home Equity Loans for the benefit of the Trust, and
(ii) maintain in force an insurance policy or policies of insurance covering
errors and omissions in the performance of its obligations as Servicer hereunder
and a fidelity bond in respect of its officers, employees and agents to the same
extent as the Servicer is so required pursuant to Section 3.17 herein.

                                       85
<PAGE>

         Section 7.03 Waiver of Defaults. The Insurer or the or the Holders of
Notes representing not less than 51% of the aggregate Note Principal Balance of
all Classes of Notes, with the consent of the Insurer (which consent shall not
be unreasonably withheld) may, on behalf of all Noteholders, waive any events
permitting removal of the Servicer as servicer pursuant to this Article VII,
provided, however, that the Insurer and the Holders of Notes representing not
less than 51% of the aggregate Note Principal Balance of all Classes of Notes
may not waive a default in making a required distribution on a Note without the
consent of the Holder of such Note. Upon any waiver of a past default, such
default shall cease to exist and any Event of Servicing Termination arising
therefrom shall be deemed to have been remedied for every purpose of this
Agreement. No such waiver shall extend to any subsequent or other default or
impair any right consequent thereto except to the extent expressly so waived.
Notice of any such waiver shall be given by the Indenture Trustee to the Rating
Agencies.

         Section 7.04 Notification to Noteholders. Upon any termination or
appointment of a successor to the Servicer pursuant to this Article VII or
Section 6.04 above, the Indenture Trustee shall give prompt written notice
thereof to the Noteholders at their respective addresses appearing in the Note
Register, the Insurer and each Rating Agency.

                                  ARTICLE VIII

                                   TERMINATION

         Section 8.01 Termination.

         (a) The respective obligations and responsibilities of the Depositor,
the Seller, the Servicer, the Trust and the Indenture Trustee created hereby
(other than the obligation of the Indenture Trustee to make certain payments to
Noteholders after the Final Distribution Date and the obligation of the Servicer
to send certain notices as hereinafter set forth) shall terminate upon notice to
the Indenture Trustee of the later of (A) payment in full of all amounts owing
to the Insurer unless the Insurer shall otherwise consent and (B) the earliest
of (i) the final payment or other liquidation of the last Home Equity Loan
remaining in the Trust; (ii) the optional purchase by the Servicer of the Home
Equity Loans as described below and (iii) the Final Distribution Date.
Notwithstanding the forgoing, in no event shall the trust created hereby
continue beyond the expiration of 21 years from the date of the last survivor of
the descendants of Joseph P. Kennedy, the late ambassador of the United States
to the Court of St. James, living on the date hereof.

         (b) The Servicer may, at its option, terminate this Agreement on any
Monthly Remittance Date on or after the Clean-Up Call Date by purchasing all of
the outstanding Home Equity Loans and REO Properties at a price equal to the sum
of the outstanding Pool Principal Balance and accrued and unpaid interest
thereon at the weighted average of the Coupon Rates through the end of the
Remittance Period preceding the final Distribution Date, together with all
amounts due and owing to the Insurer (the "Termination Price").

         In connection with any such purchase pursuant to the preceding
paragraph, the Servicer shall deposit in the Distribution Account all amounts
then on deposit in the Principal and Interest Account (less amounts permitted to
be withdrawn by the Servicer pursuant to Section 3.03), which deposit shall be
deemed to have occurred immediately preceding such purchase.

                                       86
<PAGE>

         Any such purchase shall be accomplished by deposit into the
Distribution Account on the Monthly Remittance Date before such Distribution
Date of the Termination Price.

         (c) Notice of any termination, specifying the Distribution Date (which
shall be a date that would otherwise be a Distribution Date) upon which the
Noteholders may surrender their Notes to the Indenture Trustee for payment of
the final distribution and cancellation, shall be given promptly by the
Indenture Trustee (upon receipt of written directions from the Servicer, if the
Servicer is exercising its right to transfer of the Home Equity Loans, given not
later than the first day of the month preceding the month of such final
distribution) to the Insurer and to the Servicer by letter to the Noteholders
mailed not earlier than the 15th day and not later than the 25th day of the
month next preceding the month of such final distribution specifying (i) the
Distribution Date upon which final distribution of the Notes will be made upon
presentation and surrender of Notes at the office or agency of the Indenture
Trustee therein designated, (ii) the amount of any such final distribution and
(iii) that the Record Date otherwise applicable to such Distribution Date is not
applicable, distributions being made only upon presentation and surrender of the
Notes at the office or agency of the Indenture Trustee therein specified.

         (d) Upon presentation and surrender of the Notes, the Indenture Trustee
shall cause to be distributed to the Holders of the Notes on the Distribution
Date for such final distribution, in proportion to the Percentage Interests of
their respective Notes and to the extent that funds are available for such
purpose, an amount equal to the amount required to be distributed to Noteholders
pursuant to Section 5.01 for such Distribution Date. On the final Distribution
Date prior to having made the distributions called for above, the Indenture
Trustee shall, based upon the information set forth in the Servicing Certificate
for such Distribution Date, withdraw from the Distribution Account and remit to
the Insurer the lesser of (x) the amount available for distribution on such
final Distribution Date, net of any portion thereof necessary to pay the
Noteholders pursuant to Section 5.01(a) and any amounts owing to the Indenture
Trustee in respect of the Indenture Trustee Fee and (y) the unpaid amounts due
and owing to the Insurer pursuant to the Insurance Agreement.

         (e) In the event that all of the Noteholders shall not surrender their
Notes for final payment and cancellation on or before such final Distribution
Date, the Indenture Trustee shall promptly following such date cause all funds
in the Distribution Account not distributed in final distribution to
Noteholders, to be withdrawn therefrom and credited to the remaining Noteholders
by depositing such funds in a separate escrow account for the benefit of such
Noteholders, and the Servicer (if the Servicer has exercised its right to
purchase the Home Equity Loans) or the Indenture Trustee (in any other case)
shall give a second written notice to the remaining Noteholders to surrender
their Notes for cancellation and receive the final distribution with respect
thereto. If within nine (9) months after the second notice all the Notes shall
not have been surrendered for cancellation, the Transferor Interest will be
entitled to all unclaimed funds and other assets which remain subject hereto and
the Indenture Trustee upon transfer of such funds shall be discharged of any
responsibility for such funds and the Noteholders shall look to the holder of
the Transferor Interest for payment.

                                       87
<PAGE>

         (f) Upon payment of all amounts owed under any Insurance Policy and
cancellation of the Notes, the Indenture Trustee shall provide the Insurer
notice of cancellation of the Notes and surrender the Insurance Policy to the
Insurer.

                                   ARTICLE IX

                            MISCELLANEOUS PROVISIONS

         Section 9.01 Amendment.

         (a) This Agreement may be amended from time to time by the Depositor,
the Seller, the Servicer, the Trust and the Indenture Trustee by written
agreement, without the consent of any of the Noteholders, but only with the
consent of the Insurer (which consent shall not be unreasonably withheld) (i) to
cure any ambiguity, (ii) to correct any defective provisions or to correct or
supplement any provisions herein that may be inconsistent with any other
provisions herein, (iii) to add to the duties of the Servicer, (iv) to add any
other provisions with respect to matters or questions arising under this
Agreement or any Insurance Policy, as the case may be, which shall not be
inconsistent with the provisions of this Agreement, (v) to add or amend any
provisions of this Agreement as required by any Rating Agency or any other
nationally recognized statistical rating agency in order to maintain or improve
any rating of the Notes (it being understood that, after obtaining the ratings
in effect on the Closing Date, neither the Indenture Trustee, the Seller, the
Depositor nor the Servicer is obligated to obtain, maintain or improve any such
rating), or (vi) to amend the definition of Specified O/C Amount; provided,
however, that as evidenced by an Opinion of Counsel (at the expense of the party
requesting such amendment) in each case such action shall not, (1) have any
material adverse tax consequence with respect to such Noteholder, the Insurer or
the Trust or (2) adversely affect in any material respect the interest of any
Noteholder or the Insurer, provided, further, that the amendment shall not be
deemed to adversely affect in any material respect the interests of the
Noteholder or the Insurer, and no Opinion of Counsel to that effect shall be
required by this clause (2) if the Person requesting the amendment obtains a
letter from the Rating Agency stating that the amendment would not result in the
downgrading or withdrawal of the respective ratings then assigned to the Notes
without regard to any Insurance Policy.

         (b) This Agreement also may be amended from time to time by the Seller,
the Servicer, the Depositor, the Trust and the Indenture Trustee, with the
consent of the Holders of Notes representing not less than 51% of the aggregate
Note Principal Balance of the Class of Notes affected thereby, or 51% of the
aggregate Note Principal Balance of all Classes of Notes if all such Classes are
affected thereby, and with the consent of the Insurer (which consent shall not
be unreasonably withheld), for the purpose of adding any provisions to or
changing in any manner or eliminating any of the provisions of this Agreement or
of modifying in any manner the rights of the Noteholders or the Transferor in
respect of the Ownership Interest; provided, however, that no such amendment
shall (i) reduce in any manner the amount of, or delay the timing of, payments
on the Notes or distributions or payments under any Insurance Policy which are
required to be made on the Notes or without the consent of the Holder of such
Notes or (ii) reduce the aforesaid percentage required to consent to any such
amendment, without the consent of the Holders of all Notes then outstanding.

                                       88
<PAGE>

         Prior to the execution of any such amendments, the Indenture Trustee
shall furnish written notification of the substance of such amendment to each
Rating Agency. In addition, promptly after the execution of any such amendment
made with the consent of the Noteholders, the Indenture Trustee shall furnish
written notification of the substance of such amendment to each Noteholder and
fully executed original counterparts of the instruments effecting such amendment
to the Insurer.

         (c) It shall not be necessary for the consent of Noteholders under this
Section 9.01 to approve the particular form of any proposed amendment, but it
shall be sufficient if such consent shall approve the substance thereof. The
manner of obtaining such consents and of evidencing the authorization of the
execution thereof by Noteholders shall be subject to such reasonable
requirements as the Indenture Trustee may prescribe.

         Prior to the execution of any amendment to this Agreement, each of the
Indenture Trustee and the Owner Trustee shall be entitled to receive and
conclusively rely upon an Opinion of Counsel stating that the execution of such
amendment is authorized or permitted by this Agreement and all conditions
precedent to the execution of such amendment have been met. The Indenture
Trustee may, but shall not be obligated to, enter into any such amendment which
affects the Indenture Trustee's own rights, duties, indemnities or immunities
under this Agreement.

         Section 9.02 Recordation of Agreement.

         To the extent permitted by applicable law, this Agreement, or a
memorandum thereof if permitted under applicable law, is subject to recordation
in all appropriate public offices for real property records in all of the
counties or other comparable jurisdictions in which any or all of the Mortgaged
Properties are situated, and in any other appropriate public recording office or
elsewhere, such recordation to be effected by the Servicer at the Noteholders'
expense on direction of the Indenture Trustee or the Holders of Notes
representing not less than 51% of the aggregate Note Principal Balance of all
Classes of Notes, but only when accompanied by an opinion of counsel to the
effect that such recordation materially and beneficially affects the interests
of the Noteholders or is necessary for the administration or servicing of the
Home Equity Loans.

         Section 9.03 Duration of Agreement.

         This Agreement shall continue in existence and effect until terminated
as herein provided.

         Section 9.04 Governing Law.

                                       89
<PAGE>

         THIS AGREEMENT 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, WITHOUT GIVING
EFFECT TO PRINCIPLES OF CONFLICTS OF LAW.

         Section 9.05 Notices.

         All demands, notices and communications hereunder shall be in writing
and shall be deemed to have been duly given if personally delivered at or mailed
by overnight mail, certified mail or registered mail, postage prepaid, to: (i)
in the case of the Seller, Delta Funding Corporation, 1000 Woodbury Road Suite
200, Woodbury, New York 10097, Attention [___________________], (ii) in the case
of the Trust, [___________________], Attention [___________________], (iii) in
the case of the Servicer, [_________________], (iv) in the case of the Indenture
Trustee, [___________________], (v) in the case of the Insurer,
[___________________], (vi) in the case of Moody's, 99 Church Street, 6th Floor,
New York, New York 10007 Attention: Residential Mortgage Monitoring, (vii) in
the case of Standard & Poor's, 55 Water Street, 41st Floor, New York, New York
10004, (viii) in the case of the Depositor, Renaissance Mortgage Acceptance
Corp., 1000 Woodbury Road, Woodbury, New York, 11797 and (ix) in the case of the
Noteholders, as set forth in the Note Register. Any such notices shall be deemed
to be effective with respect to any party hereto upon the receipt of such notice
by such party, except that notices to the Noteholders shall be effective upon
mailing or personal delivery.

         Section 9.06 Severability of Provisions.

         If any one or more of the covenants, agreements, provisions or terms of
this Agreement shall be held invalid for any reason whatsoever, then such
covenants, agreements, provisions or terms shall be deemed severable from the
remaining covenants, agreements, provisions or terms of this Agreement and shall
in no way affect the validity or enforceability of the other covenants,
agreements, provisions or terms of this Agreement.

         Section 9.07 No Partnership.

         Nothing herein contained shall be deemed or construed to create any
partnership or joint venture between the parties hereto and the services of the
Servicer shall be rendered as an independent contractor.

         Section 9.08 Counterparts.

         This Agreement may be executed in one or more counterparts and by the
different parties hereto on separate counterparts, each of which, when so
executed, shall be deemed to be an original; such counterparts, together, shall
constitute one and the same Agreement.

         Section 9.09 Successors and Assigns.

                                       90
<PAGE>

         This Agreement shall inure to the benefit of and be binding upon the
Servicer, the Seller, the Trust, the Indenture Trustee and the Noteholders and
their respective successors and permitted assigns. The Insurer is an express
third party beneficiary of this Agreement.

         Section 9.10 Headings.

         The headings of the various sections of this Agreement have been
inserted for convenience of reference only and shall not be deemed to be part of
this Agreement.

         Section 9.11 Indenture Trustee.

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

         Section 9.12 Reports to Rating Agencies.

         The Indenture Trustee shall provide to each Rating Agency copies of
statements, reports and notices, to the extent received or prepared by the
Servicer hereunder, as follows:

                  (i) copies of amendments to this Agreement;

                  (ii) notice of any substitution or repurchase of any Home
         Equity Loans;

                  (iii) notice of any termination, replacement, succession,
         merger or consolidation of either the Servicer or the Trust;

                  (iv) notice of final payment on the Notes;

                  (v) notice of any Event of Servicing Termination;

                  (vi) copies of the annual independent auditor's report
         delivered pursuant to Section 3.14 herein, and copies of any compliance
         reports delivered by the Servicer hereunder including Section 3.13
         herein; and

                  (vii) copies of any Servicing Certificate pursuant to Section
         5.03 herein.

         Section 9.13 Inconsistencies Among Transaction Documents.

         In the event certain provisions of a Transaction Document conflict with
the provisions of this Sale and Servicing Agreement, the parties hereto agree
that the provisions of this Sale and Servicing Agreement shall be controlling.

         Section 9.14 Rights of the Insurer to Exercise Rights of Noteholders.

                                       91
<PAGE>

         By accepting its Note, each Noteholder agrees that unless an Insurer
Default exists, the Insurer shall have the right to exercise all rights of the
Noteholders as specified under this Agreement without any further consent of the
Noteholders. Any right conferred to the Insurer hereunder shall be suspended and
shall run to the benefit of the Noteholders during any period in which there
exists an Insurer Default.

                                       92
<PAGE>

         IN WITNESS WHEREOF, the following have caused their names to be signed
by their respective officers thereunto duly authorized, as of the day and year
first above written, to this Sale and Servicing Agreement.

                                RENAISSANCE HOME
                                EQUITY LOAN TRUST 200[_]-[__],

                                ____________________________, not in its
                                individual capacity but solely as Owner Trustee

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

                                DELTA FUNDING CORPORATION,
                                    as Seller

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

                                [___________________________________],
                                 as Servicer

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

                                RENAISSANCE MORTGAGE ACCEPTANCE CORPORATION,
                                    as Depositor

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

                                [___________________________________],
                                as Indenture Trustee

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

                                       93
<PAGE>

THE STATE OF ______________             )
                                        )
COUNTY OF _________________             )

         BEFORE ME, on [_____________] [___], 200[_], the undersigned authority,
a Notary Public, on this day personally appeared [__________________], known to
me to be a person and officer whose name is subscribed to the foregoing
instrument and acknowledged to me that the same was the act of the said
[__________________________] not in its individual capacity but in its capacity
as Owner Trustee of RENAISSANCE HOME EQUITY LOAN TRUST 200[_]-[__], as the
Trust, and that he executed the same as the act of such corporation for the
purpose and consideration therein expressed, and in the capacity therein stated.

                                        ________________________________________
                                        Notary Public, State of_________________

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