Document:

<PAGE>   1
                                                                    Exhibit 10.2

                          AMBAC ASSURANCE CORPORATION,

                                       and

                            BEAR, STEARNS & CO. INC.
                      as Representative of the Underwriters

                            INDEMNIFICATION AGREEMENT

                 ADVANTA REVOLVING HOME EQUITY LOAN TRUST 2000-A

                           Dated as of April 18, 2000
<PAGE>   2
                                TABLE OF CONTENTS

         (This Table of Contents is for convenience of reference only and shall
not be deemed to be part of this Indemnification Agreement. All capitalized
terms used in this Indemnification Agreement and not otherwise defined shall
have the meanings set forth in Article I of this Indemnification Agreement.)

<TABLE>
<CAPTION>
                                                                                            Page
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<S>                                                                                         <C>
         Section 1.  Defined Terms........................................................    1
         Section 2.  Other Definitional Provisions........................................    2
         Section 3.  Representations, Warranties and Covenants of the Underwriters........    2
         Section 4.  Representations and Warranties of the Insurer........................    2
         Section 5.  Indemnification......................................................    4
         Section 6.  Amendments, Etc......................................................    6
         Section 7.  Notices..............................................................    6
         Section 8.  Severability.........................................................    7
         Section 9.  Governing Law........................................................    7
         Section 10.  Counterparts........................................................    7
         Section 11.  Headings............................................................    7
</TABLE>

                                       (i)

<PAGE>   3
         INDEMNIFICATION AGREEMENT dated as of April 18, 2000 (the
"Indemnification Agreement"), by and between AMBAC ASSURANCE CORPORATION, as
Insurer and BEAR, STEARNS & CO. INC., as Representative of the Underwriters.

         Section 1. Defined Terms. Unless the context clearly requires
otherwise, all capitalized terms used but not defined herein shall have the
respective meanings assigned to them in the Sale and Servicing Agreement, the
Insurance Agreement or the Policy. For purposes of this Indemnification
Agreement, the following terms shall have the following meanings:

         "Indenture" means the Indenture (as may be amended, modified or
supplemented from time to time) dated as of April 1, 2000 by and among the
Advanta Revolving Home Equity Loan Trust 2000-A and Bankers Trust Company of
California, N.A., as Indenture Trustee.

         "Insurance Agreement" means the Insurance and Indemnity Agreement (as
may be amended, modified or supplemented from time to time) dated as of April
25, 2000 by and among the Advanta Conduit Receivables, Inc., as Sponsor, Advanta
Mortgage Corp. USA, as Master Servicer, the Insurer, Advanta Revolving Home
Equity Loan Trust 2000-A, as Issuer and Bankers Trust Company of California,
N.A., as Indenture Trustee.

         "Insurer" means Ambac Assurance Corporation, or any successor thereto,
as issuer of the Policy.

         "Insurer Information" has the meaning given such term in Section 4.

         "Notes" means any one of the Notes substantially in the form set forth
in Exhibit A to the Indenture.

         "Offering Document" means the Prospectus Supplement, dated April 18,
2000, in respect of the Notes, and any amendment or supplement thereto, and any
other offering document in respect of the Notes that makes reference to the
Policy.

         "Representative" means Bear, Stearns & Co. Inc., as representative of
the Underwriters.

         "Sale and Servicing Agreement" means the Sale and Servicing Agreement,
dated as of April 1, 2000, relating to the Advanta Revolving Home Equity Loan
Asset Backed Notes, Series 2000-A, by and among Advanta Revolving Home Equity
Loan Trust 2000-A, the Sponsor, the Master Servicer and the Indenture Trustee
(as may be amended, modified or supplemented from time to time as set forth
therein).

         "Securities Act" means the Securities Act of 1933, including, unless
the context otherwise requires, the rules and regulations thereunder, as amended
from time to time.

         "Securities Exchange Act" means the Securities Exchange Act of 1934,
including, unless the context otherwise requires, the rules and regulations
thereunder, as amended from time to time.
<PAGE>   4
         "Underwriters" means Bear, Stearns & Co. Inc., Morgan Stanley & Co.
Incorporated, Prudential Securities Incorporated and Salomon Smith Barney Inc.

         "Underwriters Information" has the meaning given such term in Section
3.

         Section 2. Other Definitional Provisions. The words "hereof," "herein"
and "hereunder" and words of similar import when used in this Indemnification
Agreement shall refer to this Indemnification Agreement as a whole and not to
any particular provision of this Indemnification Agreement, and Section,
subsection, Schedule and Exhibit references are to this Indemnification
Agreement unless otherwise specified. The meanings given to terms defined herein
shall be equally applicable to both the singular and plural forms of such terms.
The words "include" and "including" shall be deemed to be followed by the phrase
"without limitation."

         Section 3. Representations, Warranties and Covenants of the
Underwriters. The Representative represents, warrants and covenants as of the
Closing Date as follows:

                  (a) Compliance With Laws. The Underwriters will comply in all
         material respects with all legal requirements in connection with offers
         and sales of the Notes and will make such offers and sales in the
         manner to be provided in the Offering Document.

                  (b) Offering Document. The Underwriters will not use, or
         distribute to other broker-dealers for use, any Offering Document in
         connection with the offer and sale of the Notes unless such Offering
         Document includes such information relating to the Insurer as has been
         furnished by the Insurer for inclusion therein and has been approved by
         the Insurer.

                  (c) Underwriters Information. All material provided by the
         Underwriters for inclusion in the Offering Document (as revised from
         time to time), shall be true and correct in all material respects, it
         being understood and agreed that the only such information furnished by
         the Underwriters consists of the following information (collectively,
         the "Underwriters Information"): the information set forth in the
         third, fourth, fifth, sixth, seventh and ninth paragraphs under the
         caption "Underwriting" in the Offering Document.

         Section 4. Representations and Warranties of the Insurer. The Insurer
represents and warrants to the Underwriters as follows:

                  (a) Organization and Licensing. The Insurer is a duly
         organized and licensed and validly existing Wisconsin stock insurance
         corporation duly qualified to conduct an insurance business in the
         State of California.

                  (b) Corporate Power. The Insurer has the corporate power and
         authority to issue the Policy and execute this Indemnification
         Agreement and to perform all of its obligations hereunder and
         thereunder.

                                        2
<PAGE>   5
                  (c) Authorization; Approvals. Proceedings legally required for
         the issuance of the Policy and the execution, delivery and performance
         of this Indemnification Agreement have been taken and all material
         licenses, orders, consents or other authorizations or approvals of any
         governmental boards or bodies legally required for the enforceability
         of the Policy have been obtained; any proceedings not taken and any
         licenses, authorizations or approvals not obtained are not material to
         the enforceability of the Policy.

                  (d) Enforceability. The Policy, when issued, and this
         Indemnification Agreement will each constitute a legal, valid and
         binding obligation of the Insurer, enforceable in accordance with its
         terms, subject to insolvency, reorganization, moratorium, receivership
         and other similar laws affecting creditors' rights generally and by
         general principles of equity and subject to principles of public policy
         limiting the right to enforce the indemnification provisions contained
         therein and herein, insofar as such provisions relate to
         indemnification for liabilities arising under federal securities laws.

                  (e) Financial Information. The consolidated financial
         statements of the Insurer and subsidiaries as of December 31, 1999 and
         December 31, 1998, and for each of the years in the three-year period
         ended December 31, 1999, prepared in accordance with generally accepted
         accounting principles, included in the Annual Report on Form 10-K of
         Ambac Financial Group, Inc. (which was filed with the Commission on
         March 30, 2000; Commission File Number 1-10777), which are incorporated
         by reference in the Offering Document, fairly present in all material
         respects the financial condition of the Insurer as of such dates and
         for the periods covered by such statements in accordance with generally
         accepted accounting principles consistently applied. Since December 31,
         1999, there has been no material change in such financial condition of
         the Insurer that would materially and adversely affect its ability to
         perform its obligations under the Policy.

                  (f) Insurer Information. The information in the Offering
         Document as of the date hereof under the caption "The Insurer and The
         Policy" (the "Insurer Information") is true and correct in all material
         respects and does not contain any untrue statement of a material fact.

                  (g) Rating. The Insurer is not aware of any facts that if
         disclosed to Moody's or S&P would be reasonably expected to result in a
         downgrade of the rating of the financial strength of the Insurer by
         either of such Rating Agencies.

                  (h) No Litigation. There are no actions, suits, proceedings or
         investigations pending or, to the best of the Insurer's knowledge,
         threatened against it at law or in equity or before or by any court,
         governmental agency, board or commission or any arbitrator which, if
         decided adversely, would result in a Material Adverse Change or would
         materially and adversely affect its ability to perform its obligations
         under the Policy or this Indemnification Agreement.

                                       3
<PAGE>   6
                  (i) Securities Act Registration. The Policy is exempt from
         registration under the Securities Act.

         Section 5.  Indemnification.

                  (a) The Underwriters hereby agree to pay, and to protect,
         indemnify and save harmless, the Insurer and its officers, directors,
         shareholders, employees, agents and each Person, if any, who controls
         the Insurer within the meaning of either Section 15 of the Securities
         Act or Section 20 of the Securities Exchange Act from and against, any
         and all claims, losses, liabilities (including penalties), actions,
         suits, judgments, demands, damages, costs or expenses (including
         reasonable fees and expenses of attorneys, consultants and auditors and
         reasonable costs of investigations) of any nature arising out of or by
         reason of any untrue statement of a material fact or an omission to
         state a material fact necessary in order to make the statements therein
         in light of the circumstances in which they were made not misleading,
         contained in the Underwriters Information or a breach of any of the
         representations, warranties and covenants of the Underwriters contained
         in Section 3.

                  (b) The Insurer agrees to pay, and to protect, indemnify and
         save harmless, the Underwriters and their respective officers,
         directors, shareholders, employees, agents and each Person, if any, who
         controls either of the Underwriters within the meaning of either
         Section 15 of the Securities Act or Section 20 of the Securities
         Exchange Act from and against, any and all claims, losses, liabilities
         (including penalties), actions, suits, judgments, demands, damages,
         costs or expenses (including reasonable fees and expenses of attorneys,
         consultants and auditors and reasonable costs of investigations) of any
         nature arising out of or by reason of any untrue statement of a
         material fact or an omission to state a material fact necessary in
         order to make the statements therein in light of the circumstances in
         which they were made not misleading, contained in the Insurer
         Information or a breach of any of the representations and warranties of
         the Insurer contained in Section 4.

                  (c) If any action or proceeding (including any governmental
         investigation) shall be brought or asserted against any Person
         (individually, an "Indemnified Party" and, collectively, the
         "Indemnified Parties") in respect of which the indemnification provided
         in this Section 5(a) or (b) may be sought from either of the
         Underwriters, on the one hand, or the Insurer, on the other (each, an
         "Indemnifying Party") hereunder, each such Indemnified Party shall
         promptly notify the Indemnifying Party in writing, and the Indemnifying
         Party shall assume the defense thereof, including the employment of
         counsel reasonably satisfactory to the Indemnified Party and the
         payment of all expenses. The Indemnified Party shall have the right to
         employ separate counsel in any such action and to participate in the
         defense thereof at the expense of the Indemnified Party; provided,
         however, that the fees and expenses of such separate counsel shall be
         at the expense of the Indemnifying Party if (i) the Indemnifying Party
         has agreed to pay such fees and expenses, (ii) the Indemnifying Party
         shall have failed to assume the defense of such action or proceeding
         and employ counsel reasonably satisfactory to the Indemnified Party in
         any such action or proceeding or (iii) the named parties to any such
         action or proceeding (including any impleaded parties) include both the
         Indemnified Party and the Indemnifying Party, and the Indemnified Party

                                       4
<PAGE>   7
         shall have been advised by counsel that there may be one or more legal
         defenses available to it which are different from or additional to
         those available to the Indemnifying Party (in which case, if the
         Indemnified Party notifies the Indemnifying Party in writing that it
         elects to employ separate counsel at the expense of the Indemnifying
         Party, the Indemnifying Party shall not have the right to assume the
         defense of such action or proceeding on behalf of such Indemnified
         Party, it being understood, however, that the Indemnifying Party shall
         not, in connection with any one such action or proceeding or separate
         but substantially similar or related actions or proceedings in the same
         jurisdiction arising out of the same general allegations or
         circumstances, be liable for the reasonable fees and expenses of more
         than one separate firm of attorneys at any time for the Indemnified
         Parties, which firm shall be designated in writing by the Indemnified
         Party). The Indemnifying Party shall not be liable for any settlement
         of any such action or proceeding effected without its written consent
         to the extent that any such settlement shall be prejudicial to the
         Indemnifying Party, but, if settled with its written consent, or if
         there is a final judgment for the plaintiff in any such action or
         proceeding with respect to which the Indemnifying Party shall have
         received notice in accordance with this subsection (c), the
         Indemnifying Party agrees to indemnify and hold the Indemnified Parties
         harmless from and against any loss or liability by reason of such
         settlement or judgment.

                  (d) To provide for just and equitable contribution if the
         indemnification provided by the Indemnifying Party is determined to be
         unavailable or insufficient to hold harmless any Indemnified Party
         (other than due to application of this Section), each Indemnifying
         Party shall contribute to the losses incurred by the Indemnified Party
         on the basis of the relative fault of the Indemnifying Party, on the
         one hand, and the Indemnified Party, on the other hand provided, that
         neither of the Underwriters shall be liable for any amount in excess of
         (i) the excess of the sales prices of the Notes to the public over the
         prices paid therefor by the Underwriters over (ii) the aggregate amount
         of any damages which the Underwriters have otherwise been required to
         pay in respect of the same or any substantially similar claim.

                           The relative fault of each Indemnifying Party, on the
         one hand, and each Indemnified Party, on the other, shall be determined
         by reference to, among other things, whether the breach of, or alleged
         breach of, any of its representations, warranties or covenants set
         forth herein was within the control of, the Indemnifying Party or the
         Indemnified Party, and the parties' relative intent, knowledge, access
         to information and opportunity to correct or prevent such breach.

                           No person guilty of fraudulent misrepresentation
         (within the meaning of Section 11(f) of the Securities Act) shall be
         entitled to contribution from any person who was not guilty of such
         fraudulent misrepresentation.

                                       5
<PAGE>   8
         Section 6. Amendments, Etc. This Indemnification Agreement may be
amended, modified, supplemented or terminated only by written instrument or
written instruments signed by the parties hereto.

         Section 7. Notices. All demands, notices and other communications to be
given hereunder shall be in writing (except as otherwise specifically provided
herein) and shall be mailed by registered mail or personally delivered and
telecopied to the recipient as follows:

                  (a)      To the Insurer:

                           Ambac Assurance Corporation
                           One State Street Plaza
                           New York, New York  10004
                           Attention:  Structured Finance Department - MBS
                           Telecopy No.:  212-363-1459
                           Confirmation:  212-668-0340

                  (b)      To the Representative:

                           Bear, Stearns & Co. Inc.
                           245 Park Avenue, 4th Floor
                           New York, New York  10167
                           Attention: Asset-Backed Securities
                           Telecopy No.:  212-272-7294
                           Confirmation:  212-272-2000

         A party may specify an additional or different address or addresses by
writing mailed or delivered to the other parties as aforesaid. All such notices
and other communications shall be effective upon receipt.

         Section 8. Severability. In the event that any provision of this
Indemnification Agreement shall be held invalid or unenforceable by any court of
competent jurisdiction, the parties hereto agree that such holding shall not
invalidate or render unenforceable any other provision hereof. The parties
hereto further agree that the holding by any court of competent jurisdiction
that any remedy pursued by any party hereto is unavailable or unenforceable
shall not affect in any way the ability of such party to pursue any other remedy
available to it.

         Section 9. Governing Law. This Indemnification Agreement shall be
governed by and construed in accordance with the laws of the State of New York.

         Section 10. Counterparts. The Indemnification Agreement may be executed
in counterparts by the parties hereto, and all such counterparts shall
constitute one and the same instrument.

                                       6
<PAGE>   9
         Section 11. Headings. The headings of Sections and the Table of
Contents contained in this Indemnification Agreement are provided for
convenience only. They form no part of this Indemnification Agreement and shall
not affect its construction or interpretation.

                  [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]
<PAGE>   10
         IN WITNESS WHEREOF, the parties hereto have executed this
Indemnification Agreement as of the day and year first above mentioned.

                                 AMBAC ASSURANCE CORPORATION,
                                     as Insurer

                                 By: /s/Warren Tong
                                     Name: Warren Tong
                                     Title:   First Vice President

                                 BEAR, STEARNS & CO. INC.
                                     as Representative of the Underwriters

                                 By: /s/Thomas S. Dunstan
                                     Name:    Thomas S. Dunstan
                                     Title:      Managing Director<PAGE>   1
                              As of April 27, 2000

Bear, Stearns & Co. Inc.
245 Park Avenue
New York, New York 10167
(as Representative of the Underwriters)

Ambac Assurance Corporation
One State Street Plaza
New York, New York 10004

         Re:      Advanta Revolving Home Equity Loan Trust 2000-A
                  Underwriting Agreement and Insurance Agreement

Ladies and Gentlemen:

         Pursuant to the Underwriting Agreement dated April 18, 2000 (the
"Underwriting Agreement") between Advanta Conduit Receivables, Inc. (the
"Sponsor" or "ACRI") and Bear, Stearns & Co. Inc., as representative of the
underwriters named therein (the "Underwriters"), and the Insurance and Indemnity
Agreement dated April 27, 2000 (the "Insurance Agreement" and together with the
Underwriting Agreement, the "Designated Agreements") among the Sponsor, Advanta
Mortgage Corp. USA, as master servicer, Advanta Revolving Home Equity Loan Trust
2000-A, Ambac Assurance Corporation (the "Insurer") and Bankers Trust Company of
California, N.A., as indenture trustee, ACRI has undertaken certain financial
obligations with respect to the indemnification of the Underwriters and of the
Insurer with respect to the Registration Statement, the Basic Prospectus and the
Prospectus Supplement described in the Designated Agreements. Any financial
obligations of ACRI under the Designated Agreements, whether or not specifically
enumerated in this paragraph, are hereinafter referred to as the "Joint and
Several Obligations"; provide , however, that "Joint and Several Obligations"
shall mean only the financial obligations of ACRI under the Designated
Agreements (including the payment of money damages for a breach of any of ACRI's
obligations under the Designated Agreements, whether financial or otherwise) but
shall not include any obligations not relating to the payment of money.

         As a condition of their respective executions of the Underwriting
Agreement and of the Insurance Agreement, the Underwriters and the Insurer have
required the undersigned, Advanta Mortgage Holding Company ("AMHC"), the
indirect parent corporation of ACRI, to acknowledge its joint-and-several
liability with ACRI for the payment of the Joint and Several Obligations under
the Designated Agreements.

         Now, therefore, the Underwriter, the Insurer and AMHC do hereby agree
that:
<PAGE>   2
                           (i) AMHC hereby agrees to be absolutely and
                  unconditionally jointly and severally liable with ACRI to the
                  Underwriters for the payment of the Joint and Several
                  Obligations under the Underwriting Agreement.

                           (ii) AHMC hereby agrees to be absolutely and
                  unconditionally and jointly and severally liable with ACRI to
                  the Insurer for payment of the Joint and Several Obligations
                  under the Insurance Agreement.

                           (iii) AMHC may honor its obligations hereunder either
                  by direct payment of any Joint and Several Obligations or by
                  causing any Joint and Several Obligations to be paid to the
                  Underwriters or to the Insurer, by ACRI or another affiliate
                  of AMHC.

         Capitalized terms used herein and not defined herein shall have their
respective meanings set forth in the Designated Agreements.

         This letter and the respective obligations and rights hereunder and
thereunder shall not be delegated or assigned by you without the prior written
consent of the Insurer. This letter may not be amended or otherwise modified
except pursuant to a writing signed by each of the parties hereto. This letter
may be executed by the signatories hereto in several counterparts, each of which
shall be deemed to be an original and all of which shall constitute one and the
same letter.

         THIS LETTER SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE
LAWS OF THE STATE OF NEW YORK (WITHOUT REGARD TO THE CONFLICT OF LAW PROVISION
THEREOF). EACH OF THE UNDERSIGNED PARTIES HEREBY KNOWINGLY, VOLUNTARILY AND
INTENTIONALLY WAIVES ANY RIGHTS IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY
LITIGATION BASED HEREON, OR ARISING OUT OF OR IN CONNECTION WITH, THIS LETTER,
AND ANY OTHER COURSE OF CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER ORAL OR
WRITTEN) OR ACTIONS OF ANY OF THE UNDERSIGNED PARTIES IN CONNECTION HEREWITH OR
THEREWITH.

                                     Very truly yours,

                                     ADVANTA MORTGAGE HOLDING COMPANY

                                     By: /S/ Michael Coco
                                        -----------------------------
                                                Authorized Signatory

                       [SIGNATURES CONTINUE ON NEXT PAGE]
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                    [SIGNATURES CONTINUED FROM PREVIOUS PAGE]

CONFIRMED AND ACCEPTED,
as of the date first above written:

AMBAC ASSURANCE CORPORATION

By: /S/ Warren Tong
   ---------------------------
         Authorized Signatory

BEAR, STEARNS & CO. INC.

By: /S/ Thomas S. Dunstan
   ---------------------------
         Authorized Signatory

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