Document:

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                                                                     EXHIBIT 4.2

                                                                  EXECUTION COPY

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                        WFS FINANCIAL 2003-4 OWNER TRUST,
                                   as Issuer,

                                       and

                      DEUTSCHE BANK TRUST COMPANY AMERICAS,
                                   as Trustee

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

                                    INDENTURE

                          Dated as of November 1, 2003

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

                                 $1,403,625,000
                          Auto Receivable Backed Notes

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<PAGE>

                    TRUST INDENTURE ACT CROSS-REFERENCE CHART
                  (this chart is not a part of this Indenture)

<TABLE>
<CAPTION>
TIA Section                                                                     Indenture Reference
-----------                                                                     -------------------
<S>                                                                             <C>
310   (a)(1).....................................................................  6.08, 6.11
      (a)(2).....................................................................  6.11
      (a)(3).....................................................................  6.10
      (a)(4).....................................................................  Not Applicable
      (a)(5).....................................................................  6.11
      (b)........................................................................  6.11
      (c)........................................................................  Not Applicable
311   (a)........................................................................  6.12
      (b)........................................................................  6.12
      (c)........................................................................  Not Applicable
312   (a)........................................................................  7.01, 7.02
      (b)........................................................................  7.02
      (c)........................................................................  7.02
313   (a)........................................................................  7.04
      (b)........................................................................  7.04
      (c)........................................................................  7.04
      (d)........................................................................  7.04
314   (a)........................................................................  7.03
      (b)........................................................................  3.06, 11.15
      (c)(1).....................................................................  11.01
      (c)(2).....................................................................  11.01
      (c)(3).....................................................................  11.01
      (d)........................................................................  8.04, 11.01
      (e)........................................................................  11.01
315   (a)........................................................................  6.01
      (b)........................................................................  6.05, 11.05
      (c)........................................................................  6.01
      (d)........................................................................  6.01
      (d)(1).....................................................................  6.01
      (d)(2).....................................................................  6.01
      (d)(3).....................................................................  6.01
      (e)........................................................................  5.14
316   (a)........................................................................  5.12; 5.13
      (a)(1)(A)..................................................................  5.12
      (a)(1)(B)..................................................................  5.13
      (a)(2).....................................................................  Not Applicable
      (b)........................................................................  5.08
      (c)........................................................................  Not Applicable
317   (a)(1).....................................................................  5.03
      (a)(2).....................................................................  5.03
      (b)........................................................................  3.03
318   (a)........................................................................  11.07
</TABLE>

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                                TABLE OF CONTENTS

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                                   ARTICLE ONE

                   DEFINITIONS AND INCORPORATION BY REFERENCE

Section 1.01.  Definitions..................................................................................     2
Section 1.02.  Incorporation by Reference of Trust Indenture Act............................................    11
Section 1.03.  Rules of Construction........................................................................    12

                                   ARTICLE TWO

                                    THE NOTES

Section 2.01.  Form.........................................................................................    13
Section 2.02.  Execution, Authentication and Delivery.......................................................    13
Section 2.03.  Temporary Notes..............................................................................    13
Section 2.04.  Registration; Registration of Transfer and Exchange..........................................    14
Section 2.05.  Mutilated, Destroyed, Lost or Stolen Notes...................................................    15
Section 2.06.  Persons Deemed Owner.........................................................................    16
Section 2.07.  Payment of Principal and Interest; Defaulted Interest........................................    16
Section 2.08.  Cancellation.................................................................................    19
Section 2.09.  Book-Entry Notes.............................................................................    20
Section 2.10.  Notices to Clearing Agency...................................................................    20
Section 2.11.  Definitive Notes.............................................................................    20
Section 2.12.  Release of Collateral........................................................................    21
Section 2.13.  Tax Treatment................................................................................    21

                                  ARTICLE THREE

                                    COVENANTS

Section 3.01.  Payment of Principal and Interest............................................................    22
Section 3.02.  Maintenance of Office or Agency..............................................................    22
Section 3.03.  Money for Payments to be Held in Trust.......................................................    22
Section 3.04.  Existence....................................................................................    24
Section 3.05.  Protection of Trust Estate...................................................................    24
Section 3.06.  Opinions as to Trust Estate..................................................................    24
Section 3.07.  Performance of Obligations; Servicing of Contracts...........................................    25
Section 3.08.  Negative Covenants...........................................................................    27
Section 3.09.  Annual Statement as to Compliance............................................................    28
Section 3.10.  Issuer May Consolidate, etc. Only on Certain Terms...........................................    28
Section 3.11.  Successor or Transferee......................................................................    30
Section 3.12.  No Other Business............................................................................    30
Section 3.13.  No Borrowing.................................................................................    30
Section 3.14.  Master Servicer's Obligations................................................................    30
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Section 3.15.  Guarantees, Loans, Advances and Other Liabilities............................................    30
Section 3.16.  Capital Expenditures.........................................................................    30
Section 3.17.  Restricted Payments..........................................................................    31
Section 3.18.  Notice of Events of Default..................................................................    31
Section 3.19.  Further Instruments and Acts.................................................................    31
Section 3.20.  Compliance with Laws.........................................................................    31
Section 3.21.  Amendments of Sale and Servicing Agreement and Trust Agreement...............................    31
Section 3.22.  Removal of Administrator.....................................................................    31
Section 3.23.  Representations and Warranties of Issuer.....................................................    31

                                  ARTICLE FOUR

                           SATISFACTION AND DISCHARGE

Section 4.01.  Satisfaction and Discharge of Indenture......................................................    33
Section 4.02.  Application of Trust Money...................................................................    34
Section 4.03.  Repayment of Monies Held by Paying Agent.....................................................    34

                                  ARTICLE FIVE

                                    REMEDIES

Section 5.01.  Events of Default............................................................................    35
Section 5.02.  Rights upon Event of Default.................................................................    36
Section 5.03.  Collection of Indebtedness and Suits for Enforcement by Trustee..............................    37
Section 5.04.  Remedies.....................................................................................    38
Section 5.05.  Optional Preservation of the Contracts.......................................................    39
Section 5.06.  Priorities...................................................................................    39
Section 5.07.  Limitation of Suits..........................................................................    40
Section 5.08.  Unconditional Rights of Noteholders to Receive Principal and Interest........................    40
Section 5.09.  Restoration of Rights and Remedies...........................................................    40
Section 5.10.  Rights and Remedies Cumulative...............................................................    41
Section 5.11.  Delay or Omission Not a Waiver...............................................................    41
Section 5.12.  Control by Noteholders of Controlling Class..................................................    41
Section 5.13.  Waiver of Past Defaults......................................................................    42
Section 5.14.  Undertaking for Costs........................................................................    42
Section 5.15.  Waiver of Stay or Extension Laws.............................................................    42
Section 5.16.  Action on Notes..............................................................................    42
Section 5.17.  Performance and Enforcement of Certain Obligations...........................................    43

                                   ARTICLE SIX

                                   THE TRUSTEE

Section 6.01.  Duties of Trustee............................................................................    44
</TABLE>

                                       ii

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Section 6.02.  Rights of Trustee............................................................................    45
Section 6.03.  Individual Rights of Trustee.................................................................    46
Section 6.04.  Trustee's Disclaimer.........................................................................    46
Section 6.05.  Notice of Defaults...........................................................................    47
Section 6.06.  Reports by Trustee to Holders................................................................    47
Section 6.07.  Compensation and Indemnity...................................................................    47
Section 6.08.  Replacement of Trustee.......................................................................    47
Section 6.09.  Successor Trustee by Merger..................................................................    49
Section 6.10.  Appointment of Co-Trustee or Separate Trustee................................................    49
Section 6.11.  Eligibility; Disqualification................................................................    50
Section 6.12.  Preferential Collection of Claims Against Issuer.............................................    50
Section 6.13.  Representations and Warranties of Trustee....................................................    50
Section 6.14.  Sales Finance Licenses.......................................................................    51

                                  ARTICLE SEVEN

                         NOTEHOLDERS' LISTS AND REPORTS

Section 7.01.  Issuer to Furnish Trustee Names and Addresses of Noteholders.................................    52
Section 7.02.  Preservation of Information; Communications to Noteholders...................................    52
Section 7.03.  Reports by Issuer............................................................................    52
Section 7.04.  Reports by Trustee...........................................................................    53

                                  ARTICLE EIGHT

                      ACCOUNTS, DISBURSEMENTS AND RELEASES

Section 8.01.  Collection of Money..........................................................................    54
Section 8.02.  Trust Accounts...............................................................................    54
Section 8.03.  General Provisions Regarding Accounts........................................................    54
Section 8.04.  Release of Trust Estate......................................................................    55
Section 8.05.  Opinion of Counsel...........................................................................    55

                                  ARTICLE NINE

                             SUPPLEMENTAL INDENTURES

Section 9.01.  Supplemental Indentures Without Consent of Noteholders.......................................    57
Section 9.02.  Supplemental Indentures With Consent of Noteholders..........................................    58
Section 9.03.  Execution of Supplemental Indentures.........................................................    59
Section 9.04.  Effect of Supplemental Indenture.............................................................    59
Section 9.05.  Conformity With Trust Indenture Act..........................................................    60
Section 9.06.  Reference in Notes to Supplemental Indentures................................................    60
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                                      iii

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                                   ARTICLE TEN

                               REDEMPTION OF NOTES

Section 10.01.  Redemption..................................................................................    61
Section 10.02.  Form of Redemption Notice...................................................................    61
Section 10.03.  Notes Payable on Redemption Date............................................................    62

                                 ARTICLE ELEVEN

                                  MISCELLANEOUS

Section 11.01.  Compliance Certificates and Opinions, etc...................................................    63
Section 11.02.  Form of Documents Delivered to Trustee......................................................    64
Section 11.03.  Acts of Noteholders.........................................................................    65
Section 11.04.  Notices, etc., to Trustee, Issuer and Rating Agencies.......................................    66
Section 11.05.  Notices to Noteholders; Waiver..............................................................    67
Section 11.06.  Alternate Payment and Notice Provisions.....................................................    67
Section 11.07.  Conflict With Trust Indenture Act...........................................................    68
Section 11.08.  Effect of Headings and Table of Contents....................................................    68
Section 11.09.  Successors and Assigns......................................................................    68
Section 11.10.  Severability................................................................................    68
Section 11.11.  Benefits of Indenture.......................................................................    68
Section 11.12.  Legal Holidays..............................................................................    68
Section 11.13.  Governing Law...............................................................................    68
Section 11.14.  Counterparts................................................................................    68
Section 11.15.  Recording of Indenture......................................................................    69
Section 11.16.  Trust Obligation............................................................................    69
Section 11.17.  No Petition.................................................................................    69
Section 11.18.  Inspection..................................................................................    69
Section 11.19.  Limitation of Liability of Owner Trustee....................................................    69
Section 11.20.  Limitation on Recourse Against WFSRC3.......................................................    70
</TABLE>

                                    EXHIBITS

<TABLE>
<S>                                                                                                       <C>
Schedule A  -  Schedule of Contracts....................................................................  SA-1
Exhibit A   -  Form of Sale and Servicing Agreement.....................................................   A-1
Exhibit B   -  Form of Depository Agreement.............................................................   B-1
Exhibit C   -  Form of Class A-1 Note...................................................................   C-1
Exhibit D   -  Form of Class A-2 Note...................................................................   D-1
Exhibit E   -  Form of Class A-3 Note...................................................................   E-1
Exhibit F   -  Form of Class A-4 Note...................................................................   G-1
</TABLE>

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Exhibit G   -  Form of Class B Note.....................................................................   G-1
Exhibit H   -  Form of Class C Note.....................................................................   H-1
Exhibit I   -  Form of Class D Note.....................................................................   I-1
Exhibit J   -  Form of Note Assignment..................................................................   J-1
</TABLE>

                                       v

<PAGE>

         This Indenture, dated as of November 1, 2003 (the "Indenture"), is
between WFS Financial 2003-4 Owner Trust, a Delaware statutory trust (the
"Issuer"), and Deutsche Bank Trust Company Americas, a New York banking
corporation, in its capacity as trustee (the "Trustee") and not in its
individual capacity.

         Each party agrees as follows for the benefit of the other parties and
for the equal and ratable benefit of the holders of the Issuer's 1.14% Class A-1
Notes (the "Class A-1 Notes"), 1.67% Class A-2 Notes (the "Class A-2 Notes"),
2.39% Class A-3 Notes (the "Class A-3 Notes"), 3.15% Class A-4 Notes (the "Class
A-4 Notes" and, together with the Class A-1 Notes, the Class A-2 Notes and the
Class A-3 Notes, the "Class A Notes"), 2.73% Class B Notes (the "Class B
Notes"), 3.02% Class C Notes (the "Class C Notes") and 3.87% Class D Notes (the
"Class D Notes" and, together with the Class A Notes, the Class B Notes and the
Class C Notes, the "Notes"):

                                 GRANTING CLAUSE

         The Issuer hereby Grants to the Trustee on the Closing Date, on behalf
of and for the benefit of the Holders of the Notes, without recourse, all of the
Issuer's right, title and interest (exclusive of the amount, if any, allocable
to any rebatable insurance premium financed by any Contract) in, to and under
the following personal property (collectively, the "Collateral") (i) the
Contracts secured by the Financed Vehicles (which Contracts shall be listed in
the Schedule of Contracts); (ii) certain monies due under the Contracts after
November 24, 2003, including all payments of Monthly P&I with respect to any
Financed Vehicle to which a Contract relates received after November 24, 2003
and all other proceeds received on or in respect of such Contracts; (iii)
security interests in the Financed Vehicles; (iv) amounts on deposit in the
Collection Account, the Note Distribution Account and the Spread Account,
including all Eligible Investments therein and all income from the investment of
funds therein and all proceeds therefrom; (v) proceeds from claims under certain
insurance policies in respect of individual Financed Vehicles or obligors under
the Contracts; (vi) certain rights under the Sale and Servicing Agreement; (vii)
the protective security interest in certain of the above-described property
granted by the Seller in favor of the Issuer; (viii) all present and future
claims, demands, causes and choses in action in respect of any or all of the
foregoing; and (ix) all payments on or under and all proceeds of every kind and
nature whatsoever in respect of any or all of the foregoing, including all
proceeds of the conversion, voluntary or involuntary, into cash or other liquid
property, all cash proceeds, accounts, accounts receivable, notes, drafts,
acceptances, chattel paper, checks, deposit accounts, insurance proceeds,
condemnation awards, rights to payment of any and every kind and other forms of
obligations and receivables, instruments and other property which at any time
constitute all or part of or are included in the proceeds of any of the
foregoing (as each such defined term is defined in Section 1.01).

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

         The Trustee, as Trustee on behalf of the Holders of the Notes,
acknowledges such Grant, accepts the trusts under this Indenture in accordance
with the provisions of this Indenture and

<PAGE>

agrees to perform its duties required in this Indenture to the best of its
ability to the end that the interests of the Holders of the Notes may be
adequately and effectively protected.

         This Indenture creates a valid and continuing security interest (as
defined in the applicable UCC) in the Contracts in favor of the Trustee, which
security interest is prior to all other Liens and is enforceable as such as
against creditors of and purchasers from the Issuer.

                                  ARTICLE ONE

                   DEFINITIONS AND INCORPORATION BY REFERENCE

         Section 1.01. Definitions. Except as otherwise specified herein or as
the context may otherwise require, the following terms have the respective
meanings set forth below for all purposes of this Indenture. Except as otherwise
specified herein or as the context may require, capitalized terms used herein
that are not otherwise defined herein shall have the meanings ascribed thereto
in the Sale and Servicing Agreement.

         "Act" has the meaning specified in Section 11.03(a).

         "Administration Agreement" means the Administration Agreement, dated as
of the date hereof, among the Administrator, the Issuer, the Seller and the
Trustee.

         "Administrator" means the Master Servicer, or any successor
Administrator under the Administration Agreement.

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

         "Authorized Officer" means, with respect to the Issuer, any officer of
the Owner Trustee who is authorized to act for the Owner Trustee in matters
relating to the Issuer and who is identified on the list of Authorized Officers
delivered by the Owner Trustee to the Trustee on the Closing Date (as such list
may be modified or supplemented from time to time thereafter) and, so long as
the Administration Agreement is in effect, any Vice President or more senior
officer of the Administrator who is authorized to act for the Administrator in
matters relating to the Issuer and to be acted upon by the Administrator
pursuant to the Administration Agreement and who is identified on the foregoing
list of Authorized Officers.

         "Backup Servicer" has the meaning specified in the Sale and Servicing
Agreement.

         "Backup Servicer Report Date" means the third Business Day following
the Distribution Date for each of February, May, August and November, commencing
May 25, 2004, or such other dates approved by each of the Master Servicer,
Backup Servicer and the Rating Agencies.

                                       2

<PAGE>

         "Bankruptcy Code" has the meaning specified in the Trust Agreement.

         "Basic Documents" means the Certificate of Trust, the Trust Agreement,
the Sale and Servicing Agreement, the Administration Agreement, the Note
Depository Agreement and this Indenture.

         "Book-Entry Notes" means a beneficial interest in the Notes, ownership
and transfers of which shall be made through book entries by a Clearing Agency
as described in Section 2.09.

         "Business Day" means any day other than a Saturday, Sunday or other day
on which banking institutions in Los Angeles, California, Newark, Delaware or
New York, New York are authorized or obligated by law, executive order or
governmental decree to remain closed.

         "Certificate Distribution Account" has the meaning specified in the
Trust Agreement.

         "Certificate of Trust" means the Certificate of Trust of the Issuer
substantially in the form of Exhibit B to the Trust Agreement.

         "Certificateholders" has the meaning specified in the Trust Agreement.

         "Class" means all Notes whose form is identical except for variation in
denomination, principal amount or owner.

         "Class A Notes" means the Class A-1 Notes, the Class A-2 Notes, the
Class A-3 Notes and the Class A-4 Notes.

         "Class A-1 Final Scheduled Distribution Date" means the November 2004
Distribution Date.

         "Class A-1 Noteholder" means the Person in whose name the Class A-1
Note is registered in the Note Register.

         "Class A-1 Notes" means the Class A-1 Notes, substantially in the form
of Exhibit C.

         "Class A-1 Rate" means 1.14% per annum.

         "Class A-2 Final Scheduled Distribution Date" means the April 2007
Distribution Date.

         "Class A-2 Noteholder" means the Person in whose name the Class A-2
Note is registered in the Note Register.

         "Class A-2 Notes" means the Class A-2 Notes, substantially in the form
of Exhibit D.

         "Class A-2 Rate" means 1.67% per annum.

         "Class A-3 Final Scheduled Distribution Date" means the January 2008
Distribution Date.

                                       3

<PAGE>

         "Class A-3 Noteholder" means the Person in whose name the Class A-3
Note is registered in the Note Register.

         "Class A-3 Notes" means the Class A-3 Notes, substantially in the form
of Exhibit E.

         "Class A-3 Rate" means 2.39% per annum.

         "Class A-4 Final Scheduled Distribution Date" means the May 2011
Distribution Date.

         "Class A-4 Noteholder" means the Person in whose name the Class A-4
Note is registered in the Note Register.

         "Class A-4 Notes" means the Class A-4 Notes, substantially in the form
of Exhibit F.

         "Class A-4 Rate" means 3.15% per annum.

         "Class B Final Scheduled Distribution Date" means the May 2011
Distribution Date.

         "Class B Noteholder" means the Person in whose name the Class B Note is
registered in the Note Register.

         "Class B Notes" means the Class B Notes, substantially in the form of
Exhibit G.

         "Class B Rate" means 2.73% per annum.

         "Class C Final Scheduled Distribution Date" means the May 2011
Distribution Date.

         "Class C Noteholder" means the Person in whose name the Class C Note is
registered in the Note Register.

         "Class C Notes" means the Class C Notes, substantially in the form of
Exhibit H.

         "Class C Rate" means 3.02% per annum.

         "Class D Final Scheduled Distribution Date" means the May 2011
Distribution Date.

         "Class D Noteholder" means the Person in whose name the Class D Note is
registered in the Note Register.

         "Class D Notes" means the Class D Notes, substantially in the form of
Exhibit I.

         "Class D Rate" means 3.87% per annum.

         "Clearing Agency" means an organization registered as a "clearing
agency" pursuant to Section 17A of the Exchange Act.

         "Clearing Agency Participant" means a broker, dealer, bank, other
financial institution or other Person for whom from time to time a Clearing
Agency effects book-entry transfers and pledges of securities deposited with the
Clearing Agency.

                                       4

<PAGE>

         "Closing Date" means November 25, 2003.

         "Code" means the Internal Revenue Code of 1986 and Treasury Regulations
promulgated thereunder.

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

         "Collection Account" has the meaning specified in the Sale and
Servicing Agreement.

         "Collection Period" has the meaning specified in the Sale and Servicing
Agreement.

         "Commission" has the meaning specified in the Trust Agreement.

         "Contracts" has the meaning specified in the Sale and Servicing
Agreement.

         "Controlling Class" means so long as (i) any Class A Notes are
outstanding, the Class A Notes, (ii) no Class A Notes are outstanding but any
Class B Notes are outstanding, the Class B Notes, (iii) no Class B Notes are
outstanding but any Class C Notes are outstanding, the Class C Notes, and (iv)
no Class C Notes are outstanding but any Class D Notes are outstanding, the
Class D Notes.

         "Corporate Trust Office" means the principal office of the Trustee at
which at any particular time its corporate trust business shall be administered
which office at date of the execution of this Indenture is located at 60 Wall
Street, 26th Floor, MS NYC60-2606, New York, New York 10005, Attention:
Corporate Trust & Agency Services - Structured Finance Services; or at such
other address as the Trustee may designate from time to time by notice to the
Noteholders and the Issuer, or the principal corporate trust office of any
successor Trustee (the address of which the successor Trustee will notify the
Noteholders and the Issuer).

         "Cut-Off Date" has the meaning specified in the Sale and Servicing
Agreement.

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

         "Definitive Notes" has the meaning specified in Section 2.09.

         "Distribution Date" means the 20th day of each calendar month or, if
any such date shall not be a Business Day, the next succeeding Business Day,
commencing January 20, 2004.

         "Distribution Date Statement" has the meaning specified in the Sale and
Servicing Agreement.

         "DTC" means The Depository Trust Company.

         "Eligible Investment" has the meaning specified in the Sale and
Servicing Agreement.

         "ERISA" means the Employment Retirement Income Security Act of 1974.

         "Event of Default" has the meaning specified in Section 5.01.

                                       5

<PAGE>

         "Exchange Act" means the Securities Exchange Act of 1934.

         "Executive Officer" means, with respect to any corporation or
depository institution, the chief executive officer, chief operating officer,
chief financial officer, president, executive vice president, any Vice
President, the secretary or the treasurer of such corporation or depository
institution; and with respect to any partnership, any general partner thereof.

         "Final Scheduled Distribution Date" means the Class A-1 Final Scheduled
Distribution Date, the Class A-2 Final Scheduled Distribution Date, the Class
A-3 Final Scheduled Distribution Date, the Class A-4 Final Scheduled
Distribution Date, the Class B Final Scheduled Distribution Date, the Class C
Final Scheduled Distribution Date or the Class D Final Scheduled Distribution
Date, as the case may be.

         "Financed Vehicle" has the meaning specified in the Sale and Servicing
Agreement.

         "Fitch" has the meaning specified in the Sale and Servicing Agreement.

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

         "Holder" or "Noteholder" means the Person in whose name a Note is
registered on the Note Register.

         "Indebtedness" means, with respect to any Person at any time, (i)
indebtedness or liability of such Person for borrowed money whether or not
evidenced by bonds, debentures, notes or other instruments, or for the deferred
purchase price of property or services (including trade obligations); (ii)
obligations of such Person as lessee under leases which should have been or
should be, in accordance with generally accepted accounting principles, recorded
as capital leases; (iii) current liabilities of such Person in respect of
unfunded vested benefits under plans covered by Title IV of ERISA; (iv)
obligations issued for or liabilities incurred on the account of such Person;
(v) obligations or liabilities of such Person arising under acceptance
facilities; (vi) obligations of such Person under any guaranties, endorsements
(other than for collection or deposit in the ordinary course of business) and
other contingent obligations to purchase, to provide funds for payment, to
supply funds to invest in any Person or otherwise to assure a creditor against
loss; (vii) obligations of such Person secured by any lien on property or assets
of such Person, whether or not the obligations have been assumed by such Person;
or (viii) obligations of such Person under any interest rate or currency
exchange agreement.

         "Indenture" means this Indenture.

                                       6

<PAGE>

         "Independent" means, when used with respect to any specified Person,
that the Person (i) is in fact independent of the Issuer, any other obligor upon
the Notes, the Seller and any of its Affiliates, (ii) does not have any direct
financial interest or any material indirect financial interest in the Issuer,
any such other obligor, the Seller or any of its Affiliates, and (iii) is not
connected with the Issuer, any such other obligor, the Seller or any of its
Affiliates as an officer, employee, promoter, underwriter, trustee, partner,
director or person performing similar functions; provided that a person who is
an Independent director or Independent officer of the Seller may be an
Independent director or Independent officer of an Affiliate of the Seller which
is a special purpose bankruptcy remote entity.

         "Independent Certificate" means a certificate or opinion to be
delivered to the Trustee under the circumstances described in, and otherwise
complying with, the applicable requirements of Section 11.01, made by an
Independent appraiser or other expert appointed by an Issuer Order and approved
by the Trustee in the exercise of reasonable care, and such opinion or
certificate shall state that the signer has read the definition of "Independent"
in this Indenture and that the signer is Independent within the meaning thereof.

         "Interest Distributable Amount" has the meaning specified in the Sale
and Servicing Agreement.

         "Interest Period" has the meaning specified in the Sale and Servicing
Agreement.

         "Interest Rate" means the Class A-1 Rate, the Class A-2 Rate, the Class
A-3 Rate, the Class A-4 Rate, the Class B Rate, the Class C Rate or the Class D
Rate, as applicable.

         "Issuer" means WFS Financial 2003-4 Owner Trust until a permitted
successor replaces it and, thereafter, means the successor and, for purposes of
any provision contained herein and required by the TIA, each other obligor on
the Notes.

         "Issuer Order" and "Issuer Request" means a written order or request
signed in the name of the Issuer by an Authorized Officer and delivered to the
Trustee.

         "Master Servicer" means WFS, in its capacity as master servicer under
the Sale and Servicing Agreement.

         "Monthly P&I" has the meaning specified in the Sale and Servicing
Agreement.

         "Moody's" has the meaning specified in the Sale and Servicing
Agreement.

         "Net Collections" has the meaning specified in the Sale and Servicing
Agreement.

         "Note Depository Agreement" means the agreement dated May 28, 2003,
among the Issuer, the Trustee and DTC, as the initial Clearing Agency, relating
to the Notes, substantially in the form of Exhibit B.

         "Note Distribution Account" has the meaning specified in the Sale and
Servicing Agreement.

                                       7
<PAGE>

         "Note Owner" means, with respect to a Book-Entry Note, the Person who
is the owner of such Book-Entry Note, as reflected on the books of the Clearing
Agency, or on the books of a Person maintaining an account with such Clearing
Agency (directly as a Clearing Agency participant or as an indirect participant,
in each case in accordance with the rules of such Clearing Agency).

         "Note Register" and "Note Registrar" have the respective meanings
specified in Section 2.04.

         "Noteholder" means the Person in whose name a Note is registered on the
Note Register.

         "Notes" means the Notes of the Issuer consisting of the Class A-1
Notes, the Class A-2 Notes, the Class A-3 Notes, the Class A-4 Notes, the Class
B Notes, the Class C Notes or the Class D Notes.

         "Obligor" has the meaning specified in the Sale and Servicing
Agreement.

         "Officer's Certificate" means a certificate signed by an Authorized
Officer of the Issuer, under the circumstances described in, and otherwise
complying with, the applicable requirements of Section 11.01, and delivered to
the Trustee.

         "Opinion of Counsel" means one or more written opinions of counsel who
may, except as otherwise expressly provided in this Indenture, be an employee of
or counsel to the Issuer and who shall be satisfactory to the Trustee and which
shall comply with any applicable requirements of Section 11.01, and shall be in
form and substance satisfactory to the Trustee.

         "Outstanding" means, as of the date of determination, all Notes
theretofore authenticated and delivered under this Indenture except:

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

                  (ii)     Notes or portions thereof the payment for which money
         in the necessary amount has been theretofore deposited with the Trustee
         or any Paying Agent in trust for the Holders of such Notes (provided,
         however, that if such Notes are to be redeemed, notice of such
         redemption has been duly given pursuant to this Indenture or provision
         for such notice has been made, satisfactory to the Trustee, has been
         made); and

                  (iii)    Notes in exchange for or in lieu of other Notes which
         have been authenticated and delivered pursuant to this Indenture unless
         proof satisfactory to the Trustee is presented that any such Notes are
         held by a protected purchaser (as such term is defined in Article 8 of
         the UCC);

provided, however, that in determining whether the Holder of the requisite
Outstanding Amount have given any request, demand, authorization, direction,
notice, consent or waiver hereunder or under any other Basic Document, Notes
owned by the Issuer, any other obligor upon the Notes, the Seller, WFS or any of
their respective Affiliates shall be disregarded and deemed not to be
Outstanding prior to the date on which the Notes have been paid in full, except
that, in

                                       8
<PAGE>

determining whether the Trustee shall be protected in relying upon any
such request, demand, authorization, direction, notice, consent or waiver, only
Notes that the Trustee knows to be so owned shall be so disregarded. Notes so
owned that have been pledged in good faith may be regarded as Outstanding if the
pledgee establishes to the satisfaction of the Trustee the pledgee's right so to
act with respect to such Notes and that the pledgee is not the Issuer, any other
obligor upon the Notes, the Seller, WFS or any of their respective Affiliates.

         "Outstanding Amount" means the aggregate principal amount of all Notes
of one Class or of all Classes, as the case may be, Outstanding at the date of
determination.

         "Owner Trustee" means Chase Manhattan Bank USA, National Association,
not in its individual capacity but solely as Owner Trustee under the Trust
Agreement.

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

         "Person" means any individual, corporation, estate, partnership, joint
venture, association, joint stock company, trust (including any beneficiary
thereof), unincorporated organization or government or any agency or political
subdivision thereof.

         "Predecessor Note" means, with respect to any particular Note, every
previous Note evidencing all or a portion of the same debt as that evidenced by
such particular Note; and, for the purpose of this definition, any Note
authenticated and delivered under Section 2.05 in lieu of a mutilated, lost,
destroyed or stolen Note shall be deemed to evidence the same debt as the
mutilated, lost, destroyed or stolen Note.

         "Proceeding" means any suit in equity, action at law or other judicial
or administrative proceeding.

         "Rating Agency" has the meaning specified in the Sale and Servicing
Agreement.

         "Rating Agency Condition" means, with respect to any action, that (i)
each of Standard & Poor's and Fitch shall have been given ten Business Days (or
such shorter period as is acceptable to Standard & Poor's or Fitch, as the case
may be) prior notice thereof and that each of Standard & Poor's and Fitch shall
have notified the Seller, the Master Servicer and the Issuer in writing that
such action will not result in a qualification, reduction or withdrawal of its
then-current rating of any Class of Notes and (ii) Moody's shall have been given
ten Business Days (or such shorter period as is acceptable to Moody's) prior
notice thereof and copies of all documentation relating to the action requiring
satisfaction of such Rating Agency Condition.

         "Record Date" means, with respect to a Distribution Date or Redemption
Date, the close of business on the Business Day immediately preceding such
Distribution Date or Redemption Date, or, in the event that Definitive Notes are
issued, the close of business on the 15th day of the month immediately preceding
the month in which such Distribution Date or Redemption Date occurs.

                                       9
<PAGE>

         "Redemption Date" means in the case of a redemption of the Notes
pursuant to Section 10.01(a) or a payment to Noteholders pursuant to Section
10.01(b), the Distribution Date specified by the Master Servicer or the Issuer
pursuant to Section 10.01(a) or 10.01(b), as the case may be.

         "Redemption Price" means in the case of (i) a redemption of the Notes
pursuant to Section 10.01(a) of this Indenture and Section 9.01(a) of the Sale
and Servicing Agreement, an amount equal to the unpaid principal amount of the
Notes redeemed plus accrued and unpaid interest thereon for each Class of Notes
being so redeemed to but excluding the Redemption Date or (ii) a payment made to
Noteholders pursuant to Section 10.01(b), the amount on deposit in the Note
Distribution Account, but not in excess of the amount specified in clause (i)
above.

         "Registered Holder" means the Person in whose name a Note is registered
on the Note Register on the applicable Record Date.

         "Responsible Officer" means, with respect to the Trustee, any officer
within the Corporate Trust and Agency Group (or any successor group of the
Trustee), including any vice president, assistant secretary or other officer or
assistant officer of the Trustee customarily performing function similar to
those performed by the people who at such time shall be officers, respectively,
or to whom any corporate trust matter is referred at the Corporate Trust Office
of the Trustee because of his knowledge of and familiarity with the particular
subject.

         "Sale and Servicing Agreement" means the Sale and Servicing Agreement,
dated as of the date hereof, among the Issuer, the Seller and the Master
Servicer, substantially in the form of Exhibit A.

         "Schedule of Contracts" means the listing of the Contracts specified in
Schedule A.

         "Seller" means WFS Receivables Corporation 3, in its capacity as seller
under the Sale and Servicing Agreement.

         "Servicing Fee" has the meaning specified in the Sale and Servicing
Agreement.

         "Spread Account" has the meaning specified in the Sale and Servicing
Agreement.

         "Spread Account Initial Deposit" has the meaning specified in the Sale
and Servicing Agreement.

         "Standard & Poor's" has the meaning specified in the Sale and Servicing
Agreement.

         "State" means any one of the 50 states of the United States or the
District of Columbia.

         "Successor Master Servicer" has the meaning specified in Section
3.07(e).

         "Termination Date" means the date on which the Trustee shall have
received payment and performance of all amounts and obligations which the Issuer
may owe to or on behalf of the Trustee for the benefit of the Noteholders under
this Indenture or the Notes.

                                       10
<PAGE>

         "Treasury Regulations" means 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 Accounts" has the meaning specified in the Sale and Servicing
Agreement.

         "Trust Agreement" means the Trust Agreement, dated as of October 30,
2003, as amended and restated as of November 25, 2003, between the Seller and
the Owner Trustee.

         "Trust Estate" means the Collateral Granted to the Trustee under this
Indenture, including all proceeds thereof.

         "Trust Indenture Act" or "TIA" means the Trust Indenture Act of 1939,
as in force on the date hereof, unless otherwise specifically provided.

         "Trustee" means Deutsche Bank Trust Company Americas, as Trustee under
this Indenture.

         "UCC" means, unless the context otherwise requires, the Uniform
Commercial Code, as in effect in the relevant jurisdiction.

         "United States" means the United States of America.

         "Vice President" has the meaning specified in the Sale and Servicing
Agreement.

         "WFS" means WFS Financial Inc.

         "WFSRC3" means WFS Receivables Corporation 3.

         Section 1.02. Incorporation by Reference of Trust Indenture Act.
Whenever this Indenture refers to a provision of the Trust Indenture Act, the
provision is incorporated by reference in and made a part of this Indenture. The
following TIA terms used in this Indenture have the following meanings:

         "Commission" means the Securities and Exchange Commission.

         "Indenture Securities" means the Notes.

         "Indenture Security Holder" means a Noteholder.

         "Indenture to be Qualified" means this Indenture.

         "Indenture Trustee" or "Institutional Trustee" means the Trustee.

         "Obligor" on the Indenture Securities means the Issuer and any other
obligor on the Indenture Securities.

                                       11
<PAGE>

         All other TIA terms used in this Indenture that are defined by the TIA,
defined by a TIA reference to another statute or defined by Commission rule have
the meaning assigned to them by such definitions.

         Section 1.03. Rules of Construction. Unless the context otherwise
requires: (i) a term has the meaning assigned to it; (ii) an accounting term not
otherwise defined has the meaning assigned to it in accordance with generally
accepted accounting principles as in effect from time to time in the United
States; (iii) "or" is not exclusive; (iv) "including" means including without
limitation; (v) words in the singular include the plural and words in the plural
include the singular; (vi) 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; (vii) references to a Person are also to its successors and permitted
assigns; (viii) the words "hereof," "herein" and "hereunder" and words of
similar import when used in this Indenture shall refer to this Indenture as a
whole and not to any particular provision of this Indenture; and (ix) Section,
subsection, Schedule or Exhibit references contained in this Indenture are
references to Sections, subsections, Schedules or Exhibits in or to this
Indenture unless otherwise specified.

                                       12
<PAGE>

                                  ARTICLE TWO

                                   THE NOTES

         Section 2.01. Form. The Class A-1 Notes, the Class A-2 Notes, the Class
A-3 Notes, the Class A-4 Notes, the Class B Notes, the Class C Notes and the
Class D Notes, in each case together with the Trustee's certificate of
authentication, shall be in substantially the forms set forth as Exhibits to
this Indenture with such appropriate insertions, omissions, substitutions and
other variations as are required or permitted by this Indenture and may have
such letters, numbers or other marks of identification and such legends or
endorsements placed thereon as may, consistently herewith, be determined by the
officers executing such Notes, as evidenced by their execution of the Notes. Any
portion of the text of any Note may be set forth on the reverse thereof, with an
appropriate reference thereto on the face of the Note.

         Each Note shall be dated the date of its authentication. The terms of
the Notes set forth in Exhibits hereto are part of the terms of this Indenture.

         Section 2.02. Execution, Authentication and Delivery. The Notes shall
be executed on behalf of the Issuer by any of its Authorized Officers. The
signature of any such Authorized Officer on the Notes may be manual or
facsimile. Notes bearing the manual or facsimile signature of individuals who
were at any time Authorized Officers of the Issuer shall bind the Issuer,
notwithstanding that such individuals or any of them have ceased to hold such
offices prior to the authentication and delivery of such Notes or did not hold
such offices at the date of such Notes.

         The Trustee shall, upon receipt of an Issuer Order, authenticate and
deliver for original issue the following aggregate principal amount of Notes:
(i) $211,000,000 of Class A-1 Notes, (ii) $491,000,000 of Class A-2 Notes, (iii)
$168,000,000 of Class A-3 Notes, (iv) $373,300,000 of Class A-4 Notes, (v)
$53,430,000 of Class B Notes, (vi) $60,560,000 of Class C Notes and (vii)
$46,335,000 of Class D Notes. The aggregate principal amount of Class A-1 Notes,
Class A-2 Notes, Class A-3 Notes, Class A-4 Notes, Class B Notes, Class C Notes
and Class D Notes outstanding at any time may not exceed such respective
amounts, except as otherwise provided in Section 2.05.

         Each Note shall be dated the date of its authentication. The Notes
shall be issuable as registered Notes in the minimum denomination of $1,000 and
in integral multiples of $1,000 in excess thereof.

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

         Section 2.03. Temporary Notes. Subject to Section 2.09, pending the
preparation of Definitive Notes, the Issuer may execute, and upon receipt of an
Issuer Order, the Trustee shall authenticate and deliver, temporary Notes that
are printed, lithographed, typewritten,

                                       13
<PAGE>

mimeographed or otherwise produced of the tenor of the Definitive Notes in lieu
of which they are issued and with such variations not inconsistent with the
terms of this Indenture as the officers executing such Notes may determine, as
evidenced by their execution of such Notes.

         If temporary Notes are issued, the Issuer will cause Definitive Notes
to be prepared without unreasonable delay. After the preparation of Definitive
Notes, the temporary Notes shall be exchangeable for Definitive Notes upon
surrender of the temporary Notes at the office or agency of the Issuer to be
maintained as provided in Section 3.02, without charge to the related Holder.
Upon surrender for cancellation of any one or more temporary Notes, the Issuer
shall execute, and the Trustee shall authenticate and deliver in exchange
therefor, a like tenor and principal amount of Definitive Notes of authorized
denominations. Until so exchanged, the temporary Notes shall in all respects be
entitled to the same benefits under this Indenture as Definitive Notes.

         Section 2.04. Registration; Registration of Transfer and Exchange. The
Issuer shall cause to be kept a register (the "Note Register") in which, subject
to such reasonable regulations as it may prescribe, the Issuer shall provide for
the registration of Notes and the registration of transfers of Notes. The
Trustee shall be the initial "Note Registrar" for the purpose of registering
Notes and transfers of Notes as herein provided. Upon any resignation of any
Note Registrar, the Issuer shall promptly appoint a successor or, if it elects
not to make such an appointment, assume the duties of Note Registrar.

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

         Upon surrender for registration of transfer of any Note at the office
or agency of the Issuer to be maintained as provided in Section 3.02, provided
that the requirements of Section 8-401 of the UCC are met, the Issuer shall
execute, and the Trustee shall authenticate and the Noteholder shall obtain from
the Trustee, in the name of the designated transferee or transferees, one or
more new Notes of the same Class in any authorized denominations, of a like
aggregate principal amount.

         At the option of a Holder, Notes may be exchanged for other Notes of
the same Class in any authorized denominations, of a like aggregate principal
amount, upon surrender of the Notes to be exchanged at such office or agency.
Whenever any Notes are so surrendered for exchange, provided that the
requirements of Section 8-401 of the UCC are met, the Issuer shall execute, and
the Trustee shall authenticate and the Noteholder shall obtain from the Trustee,
the Notes which the Noteholder making the exchange is entitled to receive.

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

                                       14
<PAGE>

         Every Note presented or surrendered for registration of transfer or
exchange shall be duly endorsed by, or be accompanied by a written instrument of
transfer in form satisfactory to the Trustee duly executed by, the Holder
thereof or such Holder's attorney duly authorized in writing, with such
signature guaranteed by a commercial bank or trust company located, or having a
correspondent located, in the City of New York or the city in which the
Corporate Trust Office is located, or by a member firm of a national securities
exchange, and such other documents as the Trustee may require.

         No service charge shall be made to a Holder for any registration of
transfer or exchange of Notes, but the Issuer or the Trustee may require payment
of a sum sufficient to cover any tax or other governmental charge that may be
imposed in connection with any registration of transfer or exchange of Notes,
other than exchanges pursuant to Section 2.03 or 9.06 not involving any
transfer.

         The preceding provisions of this Section notwithstanding, the Issuer
shall not be required to make and the Note Registrar need not register transfers
or exchanges of Notes selected for redemption or of any Note for a period of 15
days preceding the due date for the payment in full of such Note.

         Copies of this Indenture (without exhibits) may be obtained by
Noteholders upon request in writing to the Trustee at the Corporate Trust
Office.

         Section 2.05. Mutilated, Destroyed, Lost or Stolen Notes. If (i) any
mutilated Note is surrendered to the Trustee, or the Trustee receives evidence
to its satisfaction of the destruction, loss or theft of any Note, (ii) there is
delivered to the Trustee such security or indemnity as may be required by them
to hold the Issuer and the Trustee harmless and (iii) the requirements of
Section 8-405 of the UCC are met, then, in the absence of notice to the Issuer,
the Note Registrar or the Trustee that such Note has been acquired by a
protected purchaser (as defined in Article 8 of the UCC), the Issuer shall
execute and upon its request the Trustee shall authenticate and deliver, in
exchange for or in lieu of any such mutilated, destroyed, lost or stolen Note, a
replacement Note of the same Class; provided, however, that if any such
destroyed, lost or stolen Note, but not a mutilated Note, shall have become or
within seven days shall be due and payable, or shall have been called for
redemption, instead of issuing a replacement Note, the Issuer may pay such
destroyed, lost or stolen Note when so due or payable or upon the Redemption
Date without surrender thereof. If, after the delivery of such replacement Note
or payment of a destroyed, lost or stolen Note which has not been replaced as
permitted by the preceding sentence, a protected purchaser (as defined in
Article 8 of the UCC) of the original Note in lieu of which such replacement
Note was issued presents for payment such original Note, the Issuer and the
Trustee shall be entitled to recover such replacement Note (or such payment)
from the Person to whom it was delivered or any Person taking such replacement
Note from such Person to whom such replacement Note was delivered or any
assignee of such Person, except a protected purchaser (as defined in Article 8
of the UCC), and shall be entitled to recover upon the security or indemnity
provided therefor to the extent of any loss, damage, cost or expense incurred by
the Issuer or the Trustee in connection therewith.

         Upon the issuance of any replacement Note under this Section, the
Issuer or the Trustee may require the payment by the Holder of such Note of a
sum sufficient to cover any tax or other

                                       15
<PAGE>

governmental charge that may be imposed in relation thereto and any other
reasonable expenses (including the fees and expenses of the Trustee or the Note
Registrar) connected therewith.

         Every replacement Note issued pursuant to this Section in replacement
of any mutilated, destroyed, lost or stolen Note shall constitute an original
additional contractual obligation of the Issuer, whether or not the mutilated,
destroyed, lost or stolen Note shall be at any time enforceable by anyone, and
shall be entitled to all the benefits of this Indenture equally and
proportionately with any and all other Notes duly issued hereunder.

         The provisions of this Section are exclusive and shall preclude (to the
extent lawful) all other rights and remedies with respect to the replacement or
payment of mutilated, destroyed, lost or stolen Notes.

         Section 2.06. Persons Deemed Owner. Prior to due presentment for
registration of transfer of any Note, the Issuer, the Trustee and any of their
respective agents may treat the Person in whose name any Note is registered (as
of the day of determination) as the owner of such Note for the purpose of
receiving payments of principal of and interest, if any, on such Note and for
all other purposes whatsoever, whether or not such Note be overdue, and none of
the Issuer, the Trustee nor any of their respective agents shall be affected by
notice to the contrary.

         Section 2.07. Payment of Principal and Interest; Defaulted Interest.

         (a)      Each Class of Notes shall accrue interest at the related
Interest Rate, and such interest shall be payable on each Distribution Date as
specified in Article Five of the Sale and Servicing Agreement and in the form of
the related Note set forth as an Exhibit hereto, subject to Section 3.01. Any
installment of interest or principal, if any, payable on any Note which is
punctually paid or duly provided for by the Issuer on the applicable
Distribution Date shall be paid to the Person in whose name such Note (or one or
more Predecessor Notes) is registered on the Record Date, by check mailed
first-class, postage prepaid to such Person's address as it appears on the Note
Register on such Record Date, except that, unless Definitive Notes have been
issued pursuant to Section 2.11, with respect to Notes registered on the Record
Date in the name of the nominee of the Clearing Agency (initially, such nominee
to be Cede & Co.), payment will be made by wire transfer in immediately
available funds to the account designated by such nominee and except for the
final installment of principal payable with respect to such Note on a
Distribution Date, a Redemption Date or on the related Final Scheduled
Distribution Date, as the case may be, which, in the case of the payment of a
redemption pursuant to Section 10.01(a), shall be payable pursuant to Section
9.01(e) of the Sale and Servicing Agreement, and in each other case shall be
payable as provided below. The funds represented by any such checks returned
undelivered shall be held in accordance with Section 3.03.

         (b)      Subject to Section 2.07(c), the principal of each Note shall
be payable on each Distribution Date to the extent provided in Article Five of
the Sale and Servicing Agreement and in the form of the related Note set forth
as an Exhibit hereto. The Trustee shall notify the Person in whose name a Note
is registered at the close of business on the Record Date preceding the
Distribution Date on which the Issuer expects that the final installment of
principal of and interest on such Note will be paid. Such notice shall be mailed
within five Business Days of such Distribution Date (or, in the case of Notes
registered in the name of Cede & Co., as

                                       16
<PAGE>

nominee of DTC, such notice shall be provided within one Business Day of such
Distribution Date) or receipt of notice of termination of the Issuer pursuant to
Section 9.01(c) of the Trust Agreement and shall specify that such final
installment will be payable only upon presentation and surrender of such Note
and shall specify the place where such Note may be presented and surrendered for
payment of such installment. Notices in connection with redemptions of Notes
shall be mailed to Noteholders as provided in Section 10.02. In addition, the
Administrator shall notify the Rating Agencies upon the final payment of
interest and principal of each Class of Notes, and upon the termination of the
Issuer, in each case pursuant to Section 1(a)(i) of the Administration
Agreement. The entire principal amount of a Class of Notes will be due and
payable, if not previously paid, on the related Final Scheduled Distribution
Date.

         (c)      Notwithstanding the foregoing, the entire unpaid interest on
and principal amount of the Notes shall be due and payable, if not previously
paid, on the date on which an Event of Default shall have occurred and be
continuing, if the Trustee or the Holders of Notes representing not less than a
majority of the Outstanding Amount of the Notes of the Controlling Class have
declared the Notes to be immediately due and payable in the manner provided in
Section 5.02. Following such declaration of acceleration, on each Distribution
Date or a payment date described in Section 5.06(b), all amounts on deposit in
the Collection Account, the Note Distribution Account or collected by the
Trustee pursuant to Article Five shall be paid in the following amounts and
order of priority:

                  (i)      first, to the Master Servicer, the Servicing Fee,
         including any unpaid Servicing Fees with respect to one or more prior
         Collection Periods;

                  (ii)     second, to the Trustee, any accrued and unpaid fees
         and expenses payable to the Trustee and to the Owner Trustee, any
         accrued and unpaid fees and expenses payable to the Owner Trustee, in
         each case to the extent such fees and expenses have not been previously
         paid by the Master Servicer;

                  (iii)    third, to Noteholders of the Class A Notes, the
         Interest Distributable Amount for each class of Class A Notes pro rata
         in proportion to their respective Interest Distributable Amounts,
         without preference or priority of any kind;

                  (A)      fourth, if an Event of Default described in Section
         5.1(i), (ii), (iv) or (v) has occurred and is continuing, in the
         following order of priority:

                           (1)      to the Holders of the Class A-1 Notes, the
                  outstanding principal amount of the Class A-1 Notes as of such
                  Distribution Date (prior to giving effect to any payment of
                  principal on such date) in reduction of principal until the
                  principal amount of the Class A-1 Notes has been paid in full;

                           (2)      to the Holders of each of the Class A-2
                  Notes, the Class A-3 Notes and the Class A-4 Notes, the
                  outstanding principal amount of each of the Class A-2 Notes,
                  the Class A-3 Notes and the Class A-4 Notes, respectively, pro
                  rata in proportion to their respective outstanding principal
                  amounts as of such Distribution Date (prior to giving effect
                  to any payment of principal on such date)

                                       17
<PAGE>

                  in reduction of principal until the principal amount of each
                  of such Classes has been paid in full;

                           (3)      to the Holders of the Class B Notes, the
                  Interest Distributable Amount for the Class B Notes;

                           (4)      to the Holders of the Class B Notes, the
                  outstanding principal amount of the Class B Notes as of such
                  Distribution Date (prior to giving effect to any payment of
                  principal on such date) in reduction of principal until the
                  principal amount of the Class B Notes has been paid in full;

                           (5)      to the Holders of the Class C Notes, the
                  Interest Distributable Amount for the Class C Notes;

                           (6)      to the Holders of the Class C Notes, the
                  outstanding principal amount of the Class C Notes as of such
                  Distribution Date (prior to giving effect to any payment of
                  principal on such date) in reduction of principal until the
                  principal amount of the Class C Notes has been paid in full;

                           (7)      to the Holders of the Class D Notes, the
                  Interest Distributable Amount for the Class D Notes; and

                           (8)      to the Holders of the Class D Notes, the
                  outstanding principal amount of the Class D Notes as of such
                  Distribution Date (prior to giving effect to any payment of
                  principal on such date) in reduction of principal until the
                  principal amount of the Class D Notes has been paid in full;
                  or

                  (B)      fourth, if an Event of Default described in Section
         5.1(iii) has occurred and is continuing, in the following order of
         priority:

                           (1)      to the Holders of the Class B Notes, the
                  Interest Distributable Amount for the Class B Notes;

                           (2)      to the Holders of the Class C Notes, the
                  Interest Distributable Amount for the Class C Notes;

                           (3)      to the Holders of the Class D Notes, the
                  Interest Distributable Amount for the Class D Notes;

                           (4)      to the Holders of the Class A-1 Notes, the
                  outstanding principal amount of the Class A-1 Notes as of such
                  Distribution Date (prior to giving effect to any payment of
                  principal on such date) in reduction of principal until the
                  principal amount of the Class A-1 Notes has been paid in full;

                           (5)      to the Holders of each of the Class A-2
                  Notes, the Class A-3 Notes and the Class A-4 Notes, the
                  outstanding principal amount of each of the Class A-2 Notes,
                  the Class A-3 Notes and the Class A-4 Notes, respectively, pro
                  rata in proportion to their respective outstanding principal
                  amounts as of such

                                       18
<PAGE>

                  Distribution Date (prior to giving effect to any payment of
                  principal on such date) in reduction of principal until the
                  principal amount of each of such Classes has been paid in
                  full;

                           (6)      to the Holders of the Class B Notes, the
                  outstanding principal amount of the Class B Notes as of such
                  Distribution Date (prior to giving effect to any payment of
                  principal on such date) in reduction of principal until the
                  principal amount of the Class B Notes has been paid in full;

                           (7)      to the Holders of the Class C Notes, the
                  outstanding principal amount of the Class C Notes as of such
                  Distribution Date (prior to giving effect to any payment of
                  principal on such date) in reduction of principal until the
                  principal amount of the Class C Notes has been paid in full;
                  and

                           (8)      to the Holders of the Class D Notes, the
                  outstanding principal amount of the Class D Notes as of such
                  Distribution Date (prior to giving effect to any payment of
                  principal on such date) in reduction of principal until the
                  principal amount of the Class D Notes has been paid in full;

                  (iv)     fifth, to WFSRC3, until it has received full
         repayment of its Spread Account Initial Deposit; and

                  (v)      sixth, to Certificate Distribution Account for
         distribution to the Holders of the Certificates in accordance with
         Section 5.02 of the Trust Agreement, any remaining amounts.

         (d)      If the Issuer defaults in a payment of interest on the Notes,
the Issuer shall pay defaulted interest (plus interest on such defaulted
interest to the extent lawful) at the applicable Interest Rate in any lawful
manner. The Issuer may pay such defaulted interest to the Persons who are
Noteholders on a subsequent special record date, which date shall be at least
five Business Days prior to the related payment date. The Issuer shall fix or
cause to be fixed any such special record date and payment date, and, at least
15 days before any such special record date, the Issuer shall mail to the
Trustee and each Noteholder a notice that states the special record date, the
payment date and the amount of defaulted interest to be paid.

         Section 2.08. Cancellation. All Notes surrendered for payment,
registration of transfer, exchange or redemption shall, if surrendered to any
Person other than the Trustee, be delivered to the Trustee and shall be promptly
cancelled by the Trustee. The Issuer may at any time deliver to the Trustee for
cancellation any Notes previously authenticated and delivered hereunder which
the Issuer may have acquired in any manner whatsoever, and all Notes so
delivered shall be promptly cancelled by the Trustee. No Notes shall be
authenticated in lieu of or in exchange for any Notes cancelled as provided in
this Section, except as expressly permitted by this Indenture. All cancelled
Notes may be held or disposed of by the Trustee in accordance with its standard
retention or disposal policy as in effect at the time unless the Issuer shall
direct by an Issuer Order that they be destroyed or returned to it; provided
that such Issuer Order is timely and the Notes have not been previously disposed
of by the Trustee.

                                       19
<PAGE>

         Section 2.09. Book-Entry Notes. The Notes, upon original issuance, will
be issued in the form of a typewritten Note or Notes representing the Book-Entry
Notes, to be delivered to DTC, the initial Clearing Agency, by, or on behalf of,
the Issuer. Such Notes shall initially be registered on the Note Register in the
name of Cede & Co., the nominee of the initial Clearing Agency, and no Note
Owner will receive a Definitive Note representing such Note Owner's interest in
such Note, except as provided in Section 2.11. Unless and until definitive,
fully registered Notes (the "Definitive Notes") have been issued to Note Owners
pursuant to Section 2.11:

                  (i)      the provisions of this Section shall be in full force
         and effect;

                  (ii)     the Note Registrar and the Trustee shall be entitled
         to deal with the Clearing Agency for all purposes of this Indenture
         (including the payment of principal of and interest on the Notes and
         the giving of instructions or directions hereunder) as the sole holder
         of the Notes, and shall have no obligation to the Note Owners;

                  (iii)    to the extent that the provisions of this Section
         conflict with any other provisions of this Indenture, the provisions of
         this Section shall control;

                  (iv)     the rights of Note Owners shall be exercised only
         through the Clearing Agency and shall be limited to those established
         by law and agreements between such Note Owners and the Clearing Agency
         or the Clearing Agency Participants; pursuant to the Note Depository
         Agreement, unless and until Definitive Notes are issued pursuant to
         Section 2.11, the Clearing Agency will make book-entry transfers among
         the Clearing Agency Participants and receive and transmit payments of
         principal of and interest on the Notes to such Clearing Agency
         Participants; and

                  (v)      whenever this Indenture requires or permits actions
         to be taken based upon instructions or directions of Holders of Notes
         (or Holders of any Class thereof, including the Controlling Class)
         evidencing a specified percentage of the Outstanding Amount, the
         Clearing Agency shall be deemed to represent such percentage only to
         the extent that it has received instructions to such effect from Note
         Owners or Clearing Agency Participants owning or representing,
         respectively, such required percentage of the beneficial interest in
         the Notes (or any Class thereof, including the Controlling Class) and
         has delivered such instructions to the Trustee.

         Section 2.10. Notices to Clearing Agency. Whenever a notice or other
communication to the Noteholders is required under this Indenture, unless and
until Definitive Notes shall have been issued to Note Owners pursuant to Section
2.11, the Trustee shall give all such notices and communications specified
herein to be given to Holders of the Notes to the Clearing Agency, and shall
have no obligation to the Note Owners.

         Section 2.11. Definitive Notes.

         (a)      If (i)(A) the Administrator advises the Trustee in writing
that the Clearing Agency is no longer willing or able to properly discharge its
responsibilities as described in the Note Depository Agreement and (B) the
Trustee or the Administrator is unable to locate a qualified successor, (ii) the
Administrator at its option advises the Trustee in writing that it elects to

                                       20
<PAGE>

terminate the book-entry system through the Clearing Agency or (iii) after the
occurrence of an Event of Default, the Note Owners representing not less than a
majority of the Outstanding Amount of a Class of Notes advise the Trustee and
the Clearing Agency through the Clearing Agency Participants in writing that the
continuation of a book-entry system through the Clearing Agency is no longer in
the best interests of the related Note Owners, then the Trustee shall notify all
Note Owners of the related Class of Notes, through the Clearing Agency, of the
occurrence of such event and of the availability of Definitive Notes of the
related Class of Notes to Note Owners requesting the same. Upon surrender to the
Trustee of the Note or Notes representing the Book-Entry Notes by the Clearing
Agency, accompanied by registration instructions, the Issuer shall execute and
the Trustee shall authenticate the Definitive Notes in accordance with the
instructions of the Clearing Agency. None of the Issuer, the Note Registrar or
the Trustee shall be liable for any delay in delivery of such instructions and
may conclusively rely on, and shall be protected in relying on, such
instructions. Upon the issuance of Definitive Notes of a Class, the Trustee
shall recognize the Holders of the Definitive Notes as Noteholders hereunder.

         The Trustee shall not be liable if the Trustee or the Administrator is
unable to locate a qualified successor Clearing Agency. The Definitive Notes
shall be typewritten, printed, lithographed or engraved or produced by any
combination of these methods (with or without steel engraved borders), all as
determined by the officers executing such Notes, as evidenced by their execution
of such Notes.

         Section 2.12. Release of Collateral. Subject to Section 11.01 and the
other Basic Documents, the Trustee shall release property from the lien of this
Indenture only upon receipt of an Issuer Request accompanied by an Officer's
Certificate, an Opinion of Counsel and Independent Certificates in accordance
with TIA Sections 314(c) and 314(d) or an Opinion of Counsel in lieu of such
Independent Certificates to the effect that the TIA does not require any such
Independent Certificates.

         Section 2.13. Tax Treatment. The Issuer has entered into this
Indenture, and the Notes will be issued, with the intention that, for federal,
state and local income, single business and franchise tax purposes, the Notes
will qualify as indebtedness of the Issuer secured by the Trust Estate. The
Issuer, by entering into this Indenture, and each Noteholder, by its acceptance
of its Note (and each Note Owner by its acceptance of an interest in the
applicable Book-Entry Note), agree to treat the Notes for federal, state and
local income, single business and franchise tax purposes as indebtedness of the
Issuer.

                                       21
<PAGE>

                                  ARTICLE THREE

                                    COVENANTS

         Section 3.01. Payment of Principal and Interest. The Issuer will duly
and punctually pay the principal of and interest, if any, on the Notes in
accordance with the terms of the Notes and this Indenture. Without limiting the
foregoing, subject to Section 8.02(c), the Issuer will cause to be distributed
all amounts on deposit in the Note Distribution Account in respect of the
related Collection Period on a Distribution Date deposited therein pursuant to
the Sale and Servicing Agreement for the benefit of (i) the Class A-1 Notes, to
the Class A-1 Noteholders, (ii) the Class A-2 Notes, to the Class A-2
Noteholders, (iii) the Class A-3 Notes, to the Class A-3 Noteholders, (iv) the
Class A-4 Notes, to the Class A-4 Noteholders, (v) the Class B Notes, to the
Class B Noteholders, (vi) the Class C Notes, to the Class C Noteholders and
(vii) the Class D Notes, to the Class D Noteholders. Amounts properly withheld
under the Code by any Person from a payment to any Noteholder of interest or
principal shall be considered as having been paid by the Issuer to such
Noteholder for all purposes of this Indenture.

         Section 3.02. Maintenance of Office or Agency. The Issuer, will
maintain in The City of New York an office or agency where Notes may be
surrendered for registration of transfer or exchange and where notices and
demands to or upon the Issuer in respect of the Notes and this Indenture may be
served. The Issuer hereby initially appoints the Trustee to serve as its agent
for the foregoing purposes. The Issuer will give prompt written notice to the
Trustee of the location, and of any change in the location, of any such office
or agency. If at any time the Issuer shall fail to maintain any such office or
agency or shall fail to furnish the Trustee with the address thereof, such
surrenders, notices and demands may be made or served at the Corporate Trust
Office, and the Issuer hereby appoints the Trustee as its agent to receive all
such surrenders, notices and demands.

         Section 3.03. Money for Payments to be Held in Trust. As provided in
Sections 5.06 and 8.02, all payments of amounts due and payable with respect to
any Notes that are to be made from amounts withdrawn from the Collection Account
and the Note Distribution Account pursuant to Section 8.02(b) shall be made on
behalf of the Issuer by the Trustee or by another Paying Agent, and no amounts
so withdrawn from the Collection Account and the Note Distribution Account for
payments of Notes shall be paid over to the Issuer except as provided in this
Section.

         On the Business Day immediately preceding each Distribution Date and
Redemption Date, the Issuer shall deposit or cause to be deposited in the Note
Distribution Account an aggregate sum sufficient to pay the amounts then
becoming due, such sum to be held in trust for the benefit of the Persons
entitled thereto and (unless the Paying Agent is the Trustee) shall promptly
notify the Trustee of its action or failure so to act.

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

                                       22
<PAGE>

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

                  (ii)     give the Trustee notice of any default by the Issuer
         (or any other obligor upon the Notes) in the making of any payment
         required to be made with respect to the Notes;

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

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

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

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

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

                                       23
<PAGE>

         Section 3.04. Existence. The Issuer will keep in full effect its
existence, rights and franchises as a statutory trust under the laws of the
State of Delaware (unless it becomes, or any successor Issuer hereunder is or
becomes, organized under the laws of any other state or of the United States, in
which case the Issuer will keep in full effect its existence, rights and
franchises under the laws of such other jurisdiction) and will obtain and
preserve its qualification to do business in each jurisdiction in which such
qualification is or shall be necessary to protect the validity and
enforceability of this Indenture, the Notes, the Collateral and each other
instrument or agreement included in the Trust Estate.

         Section 3.05. Protection of Trust Estate. The Issuer intends the
security interest Granted pursuant to this Indenture in favor of the Trustee on
behalf of the Noteholders to be prior to all other liens in respect of the Trust
Estate, and the Issuer shall take all actions necessary to obtain and maintain,
for the benefit of the Trustee on behalf of the Noteholders, a first lien on and
a first priority, perfected security interest in the Trust Estate. The Issuer
will from time to time execute and deliver all such supplements and amendments
hereto and all such financing statements, continuation statements, instruments
of further assurance and other instruments, all as prepared by the Master
Servicer and delivered to the Issuer, and will take such other action necessary
or advisable to:

                  (i)      Grant more effectively all or any portion of the
         Trust Estate;

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

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

                  (iv)     enforce any of the Collateral;

                  (v)      preserve and defend title to the Trust Estate and the
         rights of the Trustee and the Noteholders in such Trust Estate against
         the claims of all persons and parties; or

                  (vi)     pay all taxes or assessments levied or assessed upon
         the Trust Estate when due.

         The Issuer hereby designates the Trustee its agent and attorney-in-fact
to execute all financing statements, continuation statements or other
instruments required to be executed pursuant to this Section.

         Section 3.06. Opinions as to Trust Estate.

         (a)      Promptly after the execution and delivery of this Indenture,
the Issuer shall furnish to the Trustee an Opinion of Counsel to the effect
that, in the opinion of such counsel, either (i) all financing statements and
continuation statements have been executed and filed that are necessary to
create and continue the Trustee's first priority perfected security interest in
the collateral for the benefit of the Noteholders, and reciting the details of
such filings or referring to prior Opinions of Counsel in which such details are
given, or (ii) no such action shall be necessary to perfect such security
interest.

                                       24
<PAGE>

         (b)      Within 90 days after the beginning of each calendar year
beginning with the first calendar year beginning more than three months after
the Cut-Off Date, the Issuer shall furnish to the Trustee an Opinion of Counsel,
dated as of a date during such 90-day period, to the effect that, in the opinion
of such counsel, either (i) all financing statements and continuation statements
have been executed and filed that are necessary to create and continue the
Trustee's first priority perfected security interest in the collateral for the
benefit of the Noteholders, and reciting the details of such filings or
referring to prior Opinions of Counsel in which such details are given, or (ii)
no such action shall be necessary to perfect such security interest.

         Section 3.07. Performance of Obligations; Servicing of Contracts;
Backup Servicer.

         (a)      The Issuer will not take any action and will use its best
efforts not to permit any action to be taken by others, including the Master
Servicer, that would release any Person from any of such Person's material
covenants or obligations under any instrument or agreement included in the Trust
Estate or that would result in the amendment, hypothecation, subordination,
termination or discharge of, or impair the validity or effectiveness of, any
such instrument or agreement, except as expressly provided in the Basic
Documents or such other instrument or agreement.

         (b)      The Issuer may contract with other Persons to assist it in
performing its duties and obligations under this Indenture, and any performance
of such duties by a Person identified to the Trustee in an Officer's Certificate
shall be deemed to be action taken by the Issuer. The Trustee shall not be
responsible for the action or inaction of the Master Servicer or the
Administrator. Initially, the Issuer has contracted with the Master Servicer and
the Administrator to assist the Issuer in performing its duties under this
Indenture.

         (c)      The Issuer will, and will cause the Administrator to,
punctually perform and observe all of the obligations and agreements of the
Issuer and the Administrator contained in this Indenture, the other Basic
Documents and in the instruments and agreements included in the Trust Estate,
including filing or causing to be filed all UCC financing statements and
continuation statements required to be filed by the terms of this Indenture and
the other Basic Documents in accordance with and within the time periods
provided for herein and therein. Except as otherwise expressly provided therein,
the Issuer shall not waive, amend, modify, supplement or terminate any Basic
Document or any provision thereof without the consent of the Trustee or the
Holders of at least a majority of the Outstanding Amount of the Notes, or such
greater percentage as may be specified in the particular provision.

         (d)      If the Issuer shall have knowledge of the occurrence of a
Servicer Default, the Issuer shall promptly notify the Trustee and each Rating
Agency thereof, and shall specify in such notice the action, if any, the Issuer
is taking with respect of such default. If a Servicer Default shall arise from
the failure of the Master Servicer to perform any of its duties or obligations
under the Sale and Servicing Agreement with respect to the Contracts, the Issuer
shall take all reasonable steps available to it to remedy such failure.

         (e)      If the Issuer has given notice of termination to the Master
Servicer of the Master Servicer's rights and powers pursuant to Section 8.02 of
the Sale and Servicing Agreement, as promptly as possible thereafter, the Issuer
shall (subject to the right of the Trustee to direct such

                                       25
<PAGE>

appointment pursuant to Section 8.02 of the Sale and Servicing Agreement)
appoint a successor servicer (the "Successor Master Servicer"), and such
Successor Master Servicer shall accept its appointment by a written assumption
in a form acceptable to the Trustee. In the event that a Successor Master
Servicer has not been appointed and accepted its appointment at the time when
the Master Servicer ceases to act as Master Servicer, the Trustee without
further action shall automatically be appointed the Successor Master Servicer.
The Trustee may resign as the Successor Master Servicer by giving written notice
of such resignation to the Issuer and in such event will be released from such
duties and obligations, such release not to be effective until the date a new
servicer enters into a servicing agreement with the Issuer as provided below.
Upon delivery of any such notice to the Issuer, the Issuer shall obtain a new
servicer as the Successor Master Servicer under the Sale and Servicing
Agreement. Any Successor Master Servicer (other than the Trustee) shall (i) be
an established financial institution having a net worth of not less than
$50,000,000 and whose regular business includes the servicing of motor vehicle
receivables and (ii) enter into a servicing agreement with the Issuer having
substantially the same provisions as the provisions of the Sale and Servicing
Agreement applicable to the Master Servicer. If within 30 days after the
delivery of the notice referred to above, the Issuer shall not have obtained
such a new Master Servicer, the Trustee may appoint, or may petition a court of
competent jurisdiction to appoint, a Successor Master Servicer. In connection
with any such appointment, the Trustee may make such arrangements for the
compensation of such successor as it and such successor shall agree, subject to
the limitations set forth below and in the Sale and Servicing Agreement, and in
accordance with Section 8.02 of the Sale and Servicing Agreement, the Issuer
shall enter into an agreement with such successor for the servicing of the
Contracts (such agreement to be in form and substance satisfactory to the
Trustee). If the Trustee shall succeed to the Master Servicer's duties as
servicer of the Contracts as provided herein, it shall do so in its individual
capacity and not in its capacity as Trustee and, accordingly, the provisions of
Article Six shall be inapplicable to the Trustee in its duties as the successor
to the Master Servicer and the servicing of the Contracts. If the Trustee shall
become successor to the Master Servicer under the Sale and Servicing Agreement,
the Trustee shall be entitled to appoint as Master Servicer one of its
Affiliates, provided that it shall be fully liable for the actions and omissions
of such Affiliate in such capacity as Successor Master Servicer.

         (f)      Upon any termination of the Master Servicer's rights and
powers pursuant to the Sale and Servicing Agreement, the Issuer shall promptly
notify the Trustee. As soon as a Successor Master Servicer is appointed, the
Issuer shall notify the Trustee of such appointment, specifying in such notice
the name and address of such successor Master Servicer.

         (g)      The Issuer agrees that it will not waive timely performance or
observance by the Master Servicer or the Seller of their respective duties under
the Basic Documents if the effect thereof would adversely affect the Holders of
the Notes.

         (h)      As long as Deutsche Bank Trust Company Americas is the
Trustee, the Trustee, in its individual capacity, shall act as Backup Servicer.
In accordance with Article Eight of the Sale and Servicing Agreement, the Backup
Servicer shall act as successor to the Master Servicer if the Master Servicer is
terminated pursuant to Section 8.06 of the Sale and Servicing Agreement. If the
Backup Servicer shall become successor to the Master Servicer under the Sale and
Servicing Agreement, the Backup Servicer may enter into subservicing agreements
with one or more subservicers approved by the Trustee for the servicing and
administration of the

                                       26
<PAGE>

Contracts (including holding the related Contract Files as custodian), provided
that it shall be fully liable for the actions and omissions of such subservicer
in such capacity as Master Servicer. Prior to any termination of the Master
Servicer pursuant to Section 8.06 of the Sale and Servicing Agreement, the
Backup Servicer shall (A) confirm prior to May 25, 2004 that the data provided
on data tapes to be received from the Master Servicer (provided the Backup
Servicer or its agent has received the data tapes) pursuant to Section 3.04(b)
of the Sale and Servicing Agreement are in a format compatible with the Backup
Servicer's computer systems, (B) on or prior to the third Business Day following
each Distribution Date, beginning May 25, 2004, transfer onto its computer
system the information provided on such data tapes, (C) on or prior to each
Backup Servicer Report Date, generate a statement (prepared using the data
obtained from related data tape) setting forth the same items provided on the
Distribution Date Statement for the Collection Period immediately preceding such
Backup Servicer Report Date (provided that the Backup Servicer has received such
Distribution Date Statement and the related data tape), (D) notify the Master
Servicer and the Trustee within 30 days of the related Backup Servicer Report
Date of any numerical discrepancies between the statement generated in clause
(C) above and the related Distribution Date Statement, assist the Master
Servicer in resolving such discrepancies and notify to the Trustee and the
Rating Agencies of any remaining discrepancies within 60 days of the related
Backup Servicer Report Date and (E) prior to the first Distribution Date, enter
into an agreement with Portfolio Financial Servicing Company (or such other
party as each Rating Agency deems acceptable) to perform certain duties and
obligations of the Backup Servicer hereunder.

         (i)      The parties hereto agree that the Backup Servicer will be
relying solely on the information provided to it by the Master Servicer in
performing its duties and obligations set forth in the last sentence of Section
3.07 (h).

         Section 3.08. Negative Covenants. Until the Termination Date, the
Issuer shall not:

                  (i)      except as expressly permitted by the Basic Documents,
         sell, transfer, exchange or otherwise dispose of any of the properties
         or assets of the Issuer, including those included in the Trust Estate,
         unless directed to do so by the Trustee;

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

                  (iii)    (A) permit the validity or effectiveness of this
         Indenture to be impaired, or permit the lien created by this Indenture
         to be amended, hypothecated, subordinated, terminated or discharged, or
         permit any Person to be released from any covenants or obligations with
         respect to the Notes under this Indenture except as may be expressly
         permitted hereby, (B) permit any lien, charge, excise, claim, security
         interest, mortgage or other encumbrance to be created on or extend to
         or otherwise arise upon or burden the Trust Estate or any part thereof
         or any interest therein or the proceeds thereof (other than (1) tax
         liens, mechanics' liens and other liens that arise by operation of law,
         in each case on a Financed Vehicle and arising solely as a result of an
         action or omission of the related

                                       27
<PAGE>

         Obligor and (2) the lien of this Indenture), (C) permit the lien
         created by this Indenture not to constitute a valid first priority
         (other than with respect to any such tax, mechanics' or other lien)
         security interest in the Trust Estate or (D) amend, modify or fail to
         comply with the provisions of the Basic Documents without the prior
         written consent of the Holders of not less than a majority of the
         Outstanding Amount of the Notes, except where the Basic Documents allow
         for amendment or modification without the consent the Holders of the
         Notes, or such greater percentage as may be specified in the particular
         provision; or

                  (iv)     dissolve or liquidate in whole or in part.

         Section 3.09. Annual Statement as to Compliance. The Issuer will
deliver to the Trustee, on or before 120 days after the end of each fiscal year
of the Issuer (commencing with the fiscal year ended December 31, 2003) an
Officer's Certificate stating, as to the Authorized Officer signing such
Officer's Certificate, that:

                  (a)      a review of the activities of the Issuer during such
         year (or such shorter period, with respect to the first such Officer's
         Certificate) and of performance under this Indenture has been made
         under such Authorized Officer's supervision; and

                  (b)      to the best of such Authorized Officer's knowledge,
         based on such review, the Issuer has complied with all conditions and
         covenants under this Indenture throughout such year (or such shorter
         period, with respect to the first such Officer's Certificate), or, if
         there has been a default in the compliance of any such condition or
         covenant, specifying each such default known to such Authorized Officer
         and the nature and status thereof.

         Section 3.10. Issuer May Consolidate, etc. Only on Certain Terms.

         (a)      The Issuer shall not consolidate or merge with or into any
other Person, unless:

                  (i)      the Person (if other than the Issuer) formed by or
         surviving such consolidation or merger shall be a Person organized and
         existing under the laws of the United States or any State and shall
         expressly assume, by an indenture supplemental hereto, executed and
         delivered to the Trustee, in form and substance satisfactory to the
         Trustee, the due and punctual payment of the principal of and interest
         on all Notes and the performance or observance of every agreement and
         covenant of this Indenture and each other Basic Document on the part of
         the Issuer to be performed or observed, all as provided herein;

                  (ii)     immediately after giving effect to such consolidation
         or merger, no Default or Event of Default shall have occurred and be
         continuing;

                  (iii)    the Rating Agency Condition shall have been satisfied
         with respect to such consolidation or merger;

                  (iv)     the Issuer shall have received an Opinion of Counsel
         which shall be delivered to and shall be satisfactory to the Trustee
         shall have occurred and be

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<PAGE>

         continuing) to the effect that such consolidation or merger will not
         have any material adverse tax consequence to the Issuer, any Noteholder
         or any Certificateholder;

                  (v)      any action as is necessary to maintain the lien and
         security interest created by this Indenture shall have been taken; and

                  (vi)     the Issuer shall have delivered to the Trustee an
         Officer's Certificate and an Opinion of Counsel (which shall describe
         the actions taken as required by clause (v) above or that no such
         actions will be taken) each stating that such consolidation or merger
         and such supplemental indenture comply with this Article Three and that
         all conditions precedent herein provided for relating to such
         transaction have been compiled with (including any filings required by
         the Exchange Act).

         (b)      The Issuer shall not convey or transfer all or substantially
all of its properties or assets, including those included in the Trust Estate,
to any Person (except as expressly permitted by the Basic Documents), unless:

                  (i)      the Person that acquires by conveyance or transfer
         the properties and assets of the Issuer shall (A) be a United States
         citizen or a Person organized and existing under the laws of the United
         States or any State, (B) expressly assume, by an indenture supplemental
         hereto, executed and delivered to the Trustee, in form and substance
         satisfactory to the Trustee, the due and punctual payment of the
         principal of and interest on all Notes and the performance or
         observance of every agreement and covenant of this Indenture and each
         other Basic Document on the part of the Issuer to be performed or
         observed, all as provided herein, (C) expressly agree by means of such
         supplemental indenture that all right, title and interest so conveyed
         or transferred shall be subject and subordinate to the rights of
         Holders of the Notes, (D) unless otherwise provided in such
         supplemental indenture, expressly agree to indemnify, defend and hold
         harmless the Issuer against and from any loss, liability or expense
         arising under or related to this Indenture and the Notes and (E)
         expressly agree by means of such supplemental indenture that such
         Person (or if a group of Persons, then one specified Person) shall make
         all filings with the Commission (and any other appropriate Person)
         required by the Exchange Act in connection with the Notes;

                  (ii)     immediately after giving effect to such conveyance or
         transference, no Default or Event of Default shall have occurred and be
         continuing;

                  (iii)    the Rating Agency Condition shall have been satisfied
         with respect to such conveyance or transference;

                  (iv)     the Issuer shall have received an Opinion of Counsel
         which shall be delivered to and shall be satisfactory to the Trustee to
         the effect that such conveyance or transference will not have any
         material adverse tax consequence to the Issuer, any Noteholder or any
         Certificateholder;

                  (v)      any action as is necessary to maintain the lien and
         security interest created by this Indenture shall have been taken; and

                                       29
<PAGE>

                  (vi)     the Issuer shall have delivered to the Trustee an
         Officer's Certificate and an Opinion of Counsel (which shall describe
         the actions taken as required by clause (v) above or that no such
         actions will be taken) each stating that such conveyance or
         transference and such supplemental indenture comply with this Article
         Three and that all conditions precedent herein provided for relating to
         such transaction have been complied with (including any filings
         required by the Exchange Act).

         Section 3.11. Successor or Transferee.

         (a)      Upon any consolidation or merger of the Issuer in accordance
with Section 3.10(a), the Person formed by or surviving such consolidation or
merger (if other than the Issuer) shall succeed to, and be substituted for, and
may exercise every right and power of, the Issuer under this Indenture with the
same effect as if such Person had been named as the Issuer herein.

         (b)      Upon a conveyance or transfer of all or substantially all the
assets or properties of the Issuer pursuant to Section 3.10(b), the Issuer will
be released from every covenant and agreement of this Indenture to be observed
or performed on the part of the Issuer with respect to the Notes immediately
upon the delivery of written notice to the Trustee stating that the Issuer is to
be so released.

         Section 3.12. No Other Business. The Issuer shall not engage in any
business other than financing, purchasing, owning, selling and managing the
Contracts in the manner contemplated by this Indenture and the other Basic
Documents and activities incidental thereto.

         Section 3.13. No Borrowing. The Issuer shall not issue, incur, assume,
guarantee or otherwise become liable, directly or indirectly, for any
Indebtedness except for the Notes and any other Indebtedness permitted by or
arising under the other Basic Documents. The proceeds of the Notes shall be used
exclusively to fund the Issuer's purchase of the Contracts and the other assets
specified in the Sale and Servicing Agreement, to fund the Spread Account and to
pay the transactional expenses of the Issuer.

         Section 3.14. Master Servicer's Obligations. The Issuer shall cause the
Master Servicer to comply with the Sale and Servicing Agreement, including
Section 5.07 and Articles Four and Seven thereof.

         Section 3.15. Guarantees, Loans, Advances and Other Liabilities. Except
as otherwise contemplated by the Basic Documents, the Issuer shall not make any
loan or advance or credit to, or guarantee (directly or indirectly or by an
instrument having the effect of assuming another's payment or performance on any
obligation or capability of so doing or otherwise), endorse or otherwise become
contingently liable, directly or indirectly, in connection with the obligations,
stocks or dividends of, or own, purchase, repurchase or acquire (or agree
contingently to do so) any stock, obligations, assets or securities of, any
other interest in, or make any capital contribution to, any other Person.

         Section 3.16. Capital Expenditures. The Issuer shall not make any
expenditure (by long-term or operating lease or otherwise) for capital assets
(either realty or personalty).

                                       30
<PAGE>

         Section 3.17. Restricted Payments. Except as expressly permitted by the
Basic Documents, the Issuer shall not, directly or indirectly, (i) pay any
dividend or make any distribution (by reduction of capital or otherwise),
whether in cash, property, securities or a combination thereof, to the Owner
Trustee or any owner of a beneficial interest in the Issuer or otherwise with
respect to any ownership or equity interest or security in or of the Issuer or
to the Master Servicer, (ii) redeem, purchase, retire or otherwise acquire for
value any such ownership or equity interest or security or (iii) set aside or
otherwise segregate any amounts for any such purpose; provided, however, that
the Issuer may make, or cause to be made, (A) distributions to the Master
Servicer, the Owner Trustee and the Certificateholders as contemplated by, and
to the extent funds are available for such purpose under, the Sale and Servicing
Agreement or the Trust Agreement and (B) payments to the Trustee and the Owner
Trustee pursuant to Section 1(a)(ii) of the Administration Agreement. The Issuer
will not, directly or indirectly, make payments to or distributions from the
Collection Account except in accordance with this Indenture and the other Basic
Documents.

         Section 3.18. Notice of Events of Default. The Issuer agrees to give
the Trustee and each Rating Agency prompt written notice of each Event of
Default hereunder and each default on the part of the Master Servicer or the
Seller of their respective obligations under the Sale and Servicing Agreement.

         Section 3.19. Further Instruments and Acts. Upon request of the
Trustee, the Issuer will execute and deliver such further instruments and do
such further acts as may be reasonably necessary or proper to carry out more
effectively the purpose of this Indenture.

         Section 3.20. Compliance with Laws. The Issuer shall comply with the
requirements of all applicable laws, the non-compliance with which would,
individually or in the aggregate, materially and adversely affect the ability of
the Issuer to perform its obligations under the Notes, this Indenture or any
other Basic Document.

         Section 3.21. Amendments of Sale and Servicing Agreement and Trust
Agreement. The Issuer shall not agree to any amendment to Section 10.01 of the
Sale and Servicing Agreement or Section 11.01 of the Trust Agreement to
eliminate the requirements thereunder that the Trustee or the Holders of the
Notes consent to amendments thereto as provided therein.

         Section 3.22. Removal of Administrator. For so long as any Notes are
Outstanding, the Issuer shall not remove the Administrator without cause unless
the Rating Agency Condition shall have been satisfied in connection with such
removal.

         Section 3.23. Representations and Warranties of Issuer. The Issuer
hereby makes the following representations and warranties on which the Trustee
is deemed to have relied. Such representations and warranties speak as of the
execution and delivery of this Indenture and as of the Closing Date, but shall
survive the pledge of the Issuer to the Indenture Trustee pursuant to this
Indenture. The representations and warranties below may not be waived.

                  (i)      Security Interest. This Indenture creates a valid and
         continuing security interest (as defined in the applicable UCC) in the
         Contracts in favor of the Trustee, which

                                       31
<PAGE>

         security interest is prior to all other Liens and is enforceable as
         such as against creditors of and purchasers from the Issuer.

                  (ii)     Chattel Paper. Each Contract constitutes "tangible
         chattel paper" as defined in the applicable UCC.

                  (iii)    Perfection. The Issuer has caused or will have
         caused, within ten days, the filing of all appropriate financing
         statements in the proper filing office in the appropriate jurisdictions
         under applicable law in order to perfect the security interest in the
         Contracts granted to the Trustee hereunder.

                  (iv)     Priority. Other than the security interest granted to
         the Trustee pursuant to this Indenture, the Issuer has not pledged,
         assigned, sold, granted a security interest in, or otherwise conveyed
         any of the Contracts. The Issuer has not authorized the filing of and
         is not aware of any financing statements against Issuer that include a
         description of collateral covering the Contracts other than any
         financing statement relating to the security interest granted to the
         Trustee hereunder or that has been terminated.

                  (v)      Tax Lien. The Issuer is not aware of any judgment or
         tax lien filings against it.

                                       32
<PAGE>

                                  ARTICLE FOUR

                           SATISFACTION AND DISCHARGE

         Section 4.01. Satisfaction and Discharge of Indenture. This Indenture
shall cease to be of further effect with respect to the Notes except as to (i)
rights of registration of transfer and exchange, (ii) substitution of mutilated,
destroyed, lost or stolen Notes, (iii) rights of Noteholders to receive payments
of principal thereof and interest thereon, (iv) Sections 3.03, 3.04, 3.05, 3.07,
3.08, 3.10, 3.12, 3.13, 3.20 and 3.21, (v) the rights, obligations and
immunities of the Trustee hereunder (including the rights of the Trustee under
Section 6.07 and the obligations of the Trustee under Section 4.02) and (vi) the
rights of Noteholders as beneficiaries hereof with respect to the property so
deposited with the Trustee payable to all or any of them, which shall survive
the Class D Final Scheduled Distribution Date and extend through any preference
period applicable with respect to the Notes or any payments made in respect of
the Notes, and the Trustee, on demand of and at the expense of the Issuer, shall
execute proper instruments acknowledging satisfaction and discharge of this
Indenture with respect to the Notes, when

                  (A)      either

                           (1)      all Notes theretofore authenticated and
                  delivered (other than (i) Notes that have been destroyed, lost
                  or stolen and that have been replaced or paid as provided in
                  Section 2.05 and (ii) Notes for whose payment money has
                  theretofore been deposited in trust or segregated and held in
                  trust by the Issuer and thereafter repaid to the Issuer or
                  discharged from such trust, as provided in Section 3.03) have
                  been delivered to the Trustee for cancellation; or

                           (2)      all Notes not theretofore delivered to the
                  Trustee for cancellation

                                    (i)      have become due and payable,

                                    (ii)     will become due and payable at the
                           Class D Final Scheduled Distribution Date within one
                           year or

                                    (iii)    are to be called for redemption
                           within one year under arrangements satisfactory to
                           the Trustee for the giving of notice of redemption by
                           the Trustee in the name, and at the expense, of the
                           Issuer,

                  and the Issuer, in the case of clauses (i), (ii) or (iii)
                  above, has irrevocably deposited or caused to be irrevocably
                  deposited with the Trustee cash or direct obligations of or
                  obligations guaranteed by the United States (which will mature
                  prior to the date such amounts are payable), in trust in an
                  Eligible Account for such purpose, in an amount sufficient to
                  pay and discharge the entire indebtedness on such Notes not
                  theretofore delivered to the Trustee for cancellation when due
                  to the related Final Scheduled Distribution Date or Redemption
                  Date (if Notes shall have been called for redemption pursuant
                  to Section 10.01(a)), as the case may be;

                                       33
<PAGE>

                  (B)      the Issuer has paid or performed or caused to be paid
         or performed all amounts and obligations which the Issuer may owe to or
         on behalf of the Trustee for the benefit of the Noteholders under this
         Indenture or the Notes; and

                  (C)      the Issuer has delivered to the Trustee an Officer's
         Certificate, an Opinion of Counsel and (if required by the TIA, the
         Trustee) an Independent Certificate from a firm of certified public
         accountants, each meeting the applicable requirements of Section
         11.01(a) and, subject to Section 11.02, each stating that all
         conditions precedent herein provided for relating to the satisfaction
         and discharge of this Indenture have been complied with (and, in the
         case of the foregoing Officer's Certificate, stating that the Rating
         Agency Condition has been satisfied).

         Section 4.02. Application of Trust Money. All monies deposited with the
Trustee pursuant to Section 4.01 shall be held in trust and applied by it, in
accordance with the provisions of the Notes and this Indenture, to the payment,
either directly or through any Paying Agent, as the Trustee may determine, to
the Holders of the particular Notes for the payment or redemption of which such
monies have been deposited with the Trustee, of all sums due and to become due
thereon for principal and interest and all other amounts due under this
Indenture and the Basic Documents; but such monies need not be segregated from
other funds except to the extent required herein or in the Sale and Servicing
Agreement or required by applicable law.

         Section 4.03. Repayment of Monies Held by Paying Agent. In connection
with the satisfaction and discharge of this Indenture with respect to the Notes,
all monies then held by any Paying Agent other than the Trustee under the
provisions of this Indenture with respect to such Notes shall, upon demand of
the Issuer, be paid to the Trustee to be held and applied according to Section
3.03 and thereupon such Paying Agent shall be released from all further
liability with respect to such monies.

                                       34
<PAGE>

                                  ARTICLE FIVE

                                    REMEDIES

         Section 5.01. Events of Default. "Event of Default", wherever used
herein, means the occurrence of any one of the following events (whatever the
reason for such Event of Default and whether it shall be voluntary or
involuntary or be effected by operation of law or pursuant to any judgment,
decree or order of any court or any order, rule or regulation of any
administrative or governmental body):

                  (i)      default by the Issuer in the payment of any interest
         on any Note of the Controlling Class when the same becomes due and
         payable, and such default shall continue for a period of five days or
         more;

                  (ii)     default by the Issuer in the payment of the principal
         of or any installment of the principal of any Note when the same
         becomes due and payable, including with respect to each Class of Notes,
         the Final Scheduled Distribution Date for such Class;

                  (iii)    default in the observance or performance of any
         material covenant or agreement of the Issuer made in this Indenture
         (other than a covenant or agreement, a default in the observance or
         performance of which is elsewhere in this Section specifically dealt
         with), or any representation or warranty of the Issuer made in this
         Indenture, any other Basic Document or in any certificate or other
         writing delivered pursuant hereto or in connection herewith proves to
         have been incorrect in any material respect as of the time when the
         same shall have been made, and such default shall continue or not be
         cured, or the circumstance or condition in respect of which such
         misrepresentation or warranty was incorrect shall not have been
         eliminated or otherwise cured, for a period of 30 days after there
         shall have been given, by registered or certified mail, to the Issuer
         by the Trustee or to the Issuer and the Trustee by the Holders of at
         least 25% of the Outstanding Amount of the Notes of the Controlling
         Class, a written notice specifying such default or incorrect
         representation or warranty and requiring it to be remedied and stating
         that such notice is a "Notice of Default" hereunder;

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

                  (v)      the commencement by the Issuer of a voluntary case
         under any applicable federal or state bankruptcy, insolvency or other
         similar law now or hereafter in effect, or the consent by the Issuer to
         the entry of an order for relief in an involuntary case under any such
         law, or the consent by the Issuer to the appointment or taking
         possession by a receiver, liquidator, assignee, custodian, trustee,
         sequestrator or similar official of the

                                       35
<PAGE>

         Issuer or for any substantial part of the Trust Estate, or the making
         by the Issuer of any general assignment for the benefit of creditors,
         or the failure by the Issuer generally to pay its debts as such debts
         become due, or the taking of action by the Issuer in furtherance of any
         of the foregoing.

         The Issuer shall deliver to the Trustee, within five days after
obtaining knowledge of the occurrence thereof, written notice in the form of an
Officer's Certificate of any event which with the giving of notice and the lapse
of time would become an Event of Default under clause (iii) above, its status
and what action the Issuer is taking or proposes to take with respect thereto.

         Section 5.02. Rights upon Event of Default.

         (a)      If an Event of Default shall have occurred and be continuing,
the Trustee may, or if so requested in writing by Holders of Notes representing
at least a majority of the Outstanding Amount of the Notes of the Controlling
Class, upon prior written notice to each Rating Agency, shall declare by written
notice to the Issuer that the Notes become, whereupon they shall become,
immediately due and payable at par, together with accrued interest thereon and
all other amounts due hereunder. Notwithstanding anything to the contrary in
this paragraph, if an Event of Default specified in Section 5.01(iv) or (v)
shall occur and be continuing the Notes shall become immediately due and payable
at par, together with accrued interest thereon and all other amounts payable
hereunder, without any declaration or other act on the part of the Trustee or
any Holder of the Notes. Payments on the Notes upon a declaration of
acceleration of maturity pursuant to this Section shall be made in accordance
with Section 2.07(c).

         (b)      At any time after a declaration of acceleration of maturity
has been made and before a judgment or decree for payment of the amount due has
been obtained by the Trustee as hereinafter provided in this Article, the
Holders of Notes representing a majority of the Outstanding Amount of the Notes
of the Controlling Class, by written notice to the Issuer and the Trustee, may
rescind and annul such declaration and its consequences if:

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

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

                           (B)      all sums paid or advanced by the Trustee
                  hereunder and the reasonable compensation, expenses,
                  disbursements and advances of the Trustee and its agents and
                  counsel and other amounts due and owing to the Trustee
                  pursuant to Section 6.07; and

                  (ii)     all Events of Default, other than the nonpayment of
         the principal of the Notes that has become due solely by such
         acceleration, have been cured or waived as provided in Section 5.13.

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

                                       36
<PAGE>

         Section 5.03. Collection of Indebtedness and Suits for Enforcement by
Trustee.

         (a)      The Issuer covenants that if the Notes are accelerated
following the occurrence of an Event of Default, the Issuer will, upon demand of
the Trustee, pay to it, for the benefit of the Holders of the Notes, the whole
amount then due and payable on such Notes for principal and interest, with
interest upon the overdue principal, at the related Interest Rate and, to the
extent payment at such rate of interest shall be legally enforceable, upon
overdue installments of interest, at the applicable Interest Rate and in
addition thereto such further amount as shall be sufficient to cover the costs
and expenses of collection, including the reasonable compensation, expenses,
disbursements and advances of the Trustee and its agents and counsel.

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

         (c)      If an Event of Default occurs and is continuing, the Trustee
may, as more particularly provided in Section 5.04, in its discretion, proceed
to protect and enforce its rights and the rights of the Noteholders, by such
appropriate Proceedings as the Trustee shall deem most effective to protect and
enforce any such rights, whether for the specific enforcement of any covenant or
agreement in this Indenture or in aid of the exercise of any power granted
herein, or to enforce any other proper remedy or legal or equitable right vested
in the Trustee by this Indenture or by law.

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

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

                                       37
<PAGE>

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

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

                  (iv)     to file such proofs of claim and other papers or
         documents as may be necessary or advisable in order to have the claims
         of the Trustee or the Holders of Notes allowed in any Proceedings
         relative to the Issuer, its creditors and its property; and any
         trustee, receiver, liquidator, custodian or other similar official in
         any such Proceeding is hereby authorized by each of such Noteholders to
         make payments to the Trustee, and, in the event that the Trustee shall
         consent to the making of payments directly to such Noteholders, to pay
         to the Trustee such amounts as shall be sufficient to cover reasonable
         compensation to the Trustee, each predecessor Trustee and their
         respective agents, attorneys and counsel, and all other expenses and
         liabilities incurred, and all advances made, by the Trustee and each
         predecessor Trustee except as a result of negligence or bad faith.

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

         (f)      All rights of action and of asserting claims under this
Indenture or under any of the Notes, may be enforced by the Trustee without the
possession of any of the Notes or the production thereof in any trial or other
Proceedings relative thereto, and any such action or Proceedings instituted by
the Trustee shall be brought in its own name as trustee of an express trust, and
any recovery of judgment, subject to the payment of the expenses, disbursements
and compensation of the Trustee, each predecessor Trustee and their respective
agents and attorneys, shall be for the ratable benefit of the Holders of the
Notes.

         (g)      In any Proceedings brought by the Trustee (including any
Proceedings involving the interpretation of any provision of this Indenture),
the Trustee shall be held to represent all the Holders of the Notes, and it
shall not be necessary to make any Noteholder a party to any such Proceedings.

         Section 5.04. Remedies. If an Event of Default shall have occurred and
be continuing the Trustee may (subject to Sections 5.02 and 5.05):

                  (i)      institute Proceedings in its own name and as or on
         behalf of a trustee of an express trust for the collection of all
         amounts then payable on the Notes or under this Indenture with respect
         thereto, whether by declaration or otherwise, enforce any judgment
         obtained, and collect from the Issuer and any other obligor upon such
         Notes amounts then payable and adjudged due;

                                       38
<PAGE>

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

                  (iii)    exercise any remedies of a secured party under the
         UCC and any other remedy available to the Trustee and take any other
         appropriate action to protect and enforce the rights and remedies of
         the Trustee on behalf of the Noteholders under this Indenture or the
         Notes; and

                  (iv)     sell or otherwise liquidate, or direct the Master
         Servicer to sell or otherwise liquidate, the Trust Estate or any
         portion thereof or rights or interests therein, at one or more public
         or private sales called and conducted in any manner permitted by law
         and deliver the proceeds of such sale or liquidation to the Trustee for
         distribution in accordance with the terms of this Indenture; provided,
         however, that, except as otherwise provided in the immediately
         succeeding sentence, no such sale or liquidation can be made if the
         proceeds of such sale or liquidation distributable to the Noteholders
         are not sufficient to pay all outstanding principal of and accrued
         interest on the Notes.

         Notwithstanding the foregoing, the Trustee may not sell or otherwise
liquidate the Trust Estate following an Event of Default described in Section
5.01(iii) unless (A) the Holders of 100% of the Outstanding Amount of the Notes
of the Controlling Class consent thereto, (B) the proceeds of such sale or
liquidation are sufficient to pay in full all amounts then due and unpaid on
such Notes in respect of principal and interest or (C) the Trustee determines
that the Trust Estate will not continue to provide sufficient funds for the
payment of principal of and interest on the Notes as they would have become due
if the Notes had not been declared due and payable, the Trustee provides prior
written notice of such sale or liquidation to each Rating Agency and Holders of
at least 66 2/3% of the Outstanding Amount of the Notes of the Controlling Class
consent to such sale or liquidation. In determining such sufficiency or
insufficiency with respect to clauses (B) and (C) of this paragraph, the Trustee
may, but need not, obtain and rely upon an opinion of an Independent investment
banking or accounting firm of national reputation as to the feasibility of such
proposed action and as to the sufficiency of the Trust Estate for such purpose.

         Section 5.05. Optional Preservation of the Contracts. If the Notes have
been declared to be due and payable under Section 5.02 following an Event of
Default and such declaration and its consequences have not been rescinded and
annulled, the Trustee may, but need not, elect to maintain possession of the
Trust Estate. It is the desire of the parties hereto and the Noteholders that
there be at all times sufficient funds for the payment of principal of and
interest on the Notes and the Trustee shall take such desire into account when
determining whether or not to maintain possession of the Trust Estate. In
determining whether to maintain possession of the Trust Estate, the Trustee may,
but need not, obtain and rely upon an opinion of an Independent investment
banking or accounting firm of national reputation as to the feasibility of such
proposed action and as to the sufficiency of the Trust Estate for such purpose.

         Section 5.06. Priorities.

         (a)      If the Trustee collects any money or property pursuant to this
Article, it shall deposit all amounts payable to Holders of the Notes into the
Note Distribution Account and distribute such amounts to the such Holders in the
order and priority set forth in Section 2.07(c).

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<PAGE>

         (b)      The Trustee may fix a record date and payment date for any
payment to Noteholders pursuant to this Section. At least 15 days before such
record date, the Issuer shall mail to each Noteholder and the Trustee a notice
that states the record date, the payment date and the amount to be paid.

         Section 5.07. Limitation of Suits. No Holder of any Note shall have any
right to institute any Proceeding, judicial or otherwise, with respect to this
Indenture, or for the appointment of a receiver or trustee, or for any other
remedy hereunder, unless:

                  (i)      such Holder has previously given written notice to
         the Trustee of a continuing Event of Default;

                  (ii)     the Holders of not less than 25% of the Outstanding
         Amount of the Notes of the Controlling Class have made written request
         to the Trustee to institute such Proceeding in respect of such Event of
         Default in its own name as Trustee hereunder;

                  (iii)    such Holder or Holders have offered to the Trustee
         reasonable indemnity against the costs, expenses and liabilities to be
         incurred in complying with such request;

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

                  (v)      no direction inconsistent with such written request
         has been given to the Trustee during such 60-day period by the Holders
         of a majority of the Outstanding Amount of the Notes of the Controlling
         Class.

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

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

         Section 5.08. Unconditional Rights of Noteholders to Receive Principal
and Interest. Notwithstanding any other provisions in this Indenture, the Holder
of any Note shall have the right, which is absolute and unconditional, to
receive payment of the principal of and interest on such Note on or after the
respective due dates thereof expressed in such Note or in this Indenture (or, in
the case of redemption, on or after the Redemption Date) and to institute suit
for the enforcement of any such payment, and such right shall not be impaired
without the consent of such Holder.

         Section 5.09. Restoration of Rights and Remedies. If the Trustee or any
Noteholder has instituted any Proceeding to enforce any right or remedy under
this Indenture and such

                                       40
<PAGE>

Proceeding has been discontinued or abandoned for any reason or has been
determined adversely to the Trustee or to such Noteholder, then and in every
such case the Issuer, the Trustee and the Noteholders shall, subject to any
determination in such Proceeding, be restored severally and respectively to
their former positions hereunder, and thereafter all rights and remedies of the
Trustee and the Noteholders shall continue as though no such Proceeding had been
instituted.

         Section 5.10. Rights and Remedies Cumulative. No right or remedy herein
conferred upon or reserved to the Trustee or to the Noteholders is intended to
be exclusive of any other right or remedy, and every right and remedy shall, to
the extent permitted by law, be cumulative and in addition to every other right
and remedy given hereunder or now or hereafter existing at law or in equity or
otherwise. The assertion or employment of any right or remedy hereunder, or
otherwise, shall not prevent the concurrent assertion or employment of any other
appropriate right or remedy.

         Section 5.11. Delay or Omission Not a Waiver. No delay or omission of
the Trustee or any Holder of any Note to exercise any right or remedy accruing
upon any Default or Event of Default shall impair any such right or remedy or
constitute a waiver of any such Default or Event of Default or an acquiescence
therein. Every right and remedy given by this Article Five or by law to the
Trustee or to the Noteholders may be exercised from time to time, and as often
as may be deemed expedient, by the Trustee or by the Noteholders, as the case
may be.

         Section 5.12. Control by Noteholders of Controlling Class. The Holders
of a majority of the Outstanding Amount of the Notes of the Controlling Class
shall have the right to direct the time, method and place of conducting any
Proceeding for any remedy available to the Trustee with respect to the Notes or
exercising any trust or power conferred on the Trustee; provided that:

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

                  (ii)     subject to the terms of Section 5.04, any direction
         to the Trustee to sell or liquidate the Trust Estate shall be by the
         Holders of Notes representing not less than 100% of the Outstanding
         Amount of the Notes of the Controlling Class;

                  (iii)    if the conditions set forth in Section 5.05 have been
         satisfied and the Trustee elects to retain the Trust Estate pursuant to
         such Section, then any direction to the Trustee by Holders of Notes
         representing less than 100% of the Outstanding Amount of the Notes of
         the Controlling Class to sell or liquidate the Trust Estate shall be of
         no force and effect; and

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

Notwithstanding the rights of Noteholders set forth in this Section, subject to
Section 6.01, the Trustee need not take any action that it determines, in its
sole discretion, might involve it in incurring liability or might materially
adversely affect the rights of any Noteholders not consenting to such action.

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<PAGE>

         Section 5.13. Waiver of Past Defaults. Prior to the declaration of the
acceleration of the maturity of the Notes as provided in Section 5.02, the
Holders of Notes of not less than a majority of the Outstanding Amount of the
Notes of the Controlling Class may waive any past Default or Event of Default
and its consequences except a Default or Event of Default (i) in payment of
principal of or interest on any of the Notes or (ii) in respect of a covenant or
provision hereof which cannot be supplemented, modified or amended without the
consent of the Holder of each Note. In the case of any such waiver, the Issuer,
the Trustee and the Holders of the Notes shall be restored to their former
positions and rights hereunder, respectively; but no such waiver shall extend to
any subsequent or other Default or Event of Default or impair any right
consequent thereto. The Issuer shall notify each Rating Agency of any waiver of
a Default or Event of Default.

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

         Section 5.14. Undertaking for Costs. All parties to this Indenture
agree, and each Holder of any Note by such Holder's acceptance thereof shall be
deemed to have agreed, that any court may in its discretion require, in any suit
for the enforcement of any right or remedy under this Indenture, or in any suit
against the Trustee for any action taken, suffered or omitted by it as Trustee,
the filing by any party litigant in such suit of an undertaking to pay the costs
of such suit and that such court may in its discretion assess reasonable costs,
including reasonable attorneys' fees, against any party litigant in such suit,
having due regard to the merits and good faith of the claims or defenses made by
such party litigant; but the provisions of this Section shall not apply to (i)
any suit instituted by the Trustee, (ii) any suit instituted by any Noteholder,
or group of Noteholders, in each case holding in the aggregate more than 10% of
the Outstanding Amount of the Notes (or, in the case of a right or remedy under
this Indenture which is instituted by the Controlling Class, more than 10% of
the Outstanding Amount of the Notes of the Controlling Class) or (iii) any suit
instituted by any Noteholder for the enforcement of the payment of principal of
or interest on any Note on or after the respective due dates expressed in such
Note and in this Indenture (or, in the case of redemption, on or after the
Redemption Date).

         Section 5.15. Waiver of Stay or Extension Laws. The Issuer covenants
(to the extent that it may lawfully do so) that it will not at any time insist
upon, or plead or in any manner whatsoever, claim or take the benefit or
advantage of, any stay or extension law wherever enacted, now or at any time
hereafter in force, that may affect the covenants or the performance of this
Indenture; and the Issuer (to the extent that it may lawfully do so) hereby
expressly waives all benefit or advantages of any such law, and covenants that
it will not hinder, delay or impede the execution of any power herein granted to
the Trustee, but will suffer and permit the execution of every such power as
though no such law had been enacted.

         Section 5.16. Action on Notes. The Trustee's right to seek and recover
judgment on the Notes or under this Indenture shall not be affected by the
seeking, obtaining or application of any other relief under or with respect to
this Indenture. Neither the lien of this Indenture nor any rights or remedies of
the Trustee or the Noteholders shall be impaired by the recovery of any

                                       42
<PAGE>

judgment by the Trustee against the Issuer or by the levy of any execution under
such judgment upon any portion of the Trust Estate or upon any of the assets of
the Issuer. Any money or property collected by the Trustee shall be applied in
accordance with Section 5.06.

         Section 5.17. Performance and Enforcement of Certain Obligations.

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

         (b)      If an Event of Default has occurred and is continuing, the
Trustee may, and at the direction (which direction shall be in writing and may
include a facsimile) of the Holders of 66 2/3% of the Outstanding Amount of the
Notes of the Controlling Class shall exercise all rights, remedies, powers,
privileges and claims of the Issuer against the Seller or the Master Servicer
under or in connection with the Sale and Servicing Agreement, including the
right or power to take any action to compel or secure performance or observance
by a Seller or the Master Servicer of each of their obligations to the Issuer
thereunder and to give any consent, request, notice, direction, approval,
extension or waiver under the Sale and Servicing Agreement, and any right of the
Issuer to take such action shall be suspended.

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<PAGE>

                                  ARTICLE SIX

                                   THE TRUSTEE

         Section 6.01. Duties of Trustee.

         (a)      If an Event of Default has occurred and is continuing, the
Trustee shall exercise the rights and powers vested in it by this Indenture and
in the same degree of care and skill in their exercise as a prudent person would
exercise or use under the circumstances in the conduct of such person's own
affairs; provided, however, that if the Trustee shall assume the duties of the
Master Servicer pursuant to Section 3.07(e), the Trustee in performing such
duties shall use the degree of care and skill customarily exercised by a prudent
institutional servicer with respect to automobile retail installment sales
contracts that it services for itself or others.

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

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

                  (ii)     in the absence of bad faith on its part, the Trustee
         may conclusively rely, as to the truth of the statements and the
         correctness of the opinions expressed therein, upon certificates or
         opinions furnished to the Trustee and conforming to the requirements of
         this Indenture; however, the Trustee shall examine the certificates and
         opinions to determine whether or not they conform to the requirements
         of this Indenture and the other Basic Documents to which the Trustee is
         a party.

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

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

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

                  (iii)    the Trustee shall not be liable with respect to any
         action it takes or omits to take in good faith in accordance with a
         direction received by it pursuant to Section 5.12.

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

         (e)      The Trustee shall not be liable for interest on any money
received by it.

         (f)      Money held in trust by the Trustee need not be segregated from
other funds except to the extent required by applicable law or the terms of this
Indenture or the Sale and Servicing Agreement.

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<PAGE>

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

         (h)      Every provision of this Indenture relating to the conduct or
affecting the liability of or affording protection to the Trustee shall be
subject to the provisions of this Section and to the provisions of the TIA.

         (i)      The Trustee shall, and hereby agrees that it will perform all
of the obligations and duties required of it under the Sale and Servicing
Agreement.

         (j)      Except as otherwise required or permitted by the TIA, nothing
contained herein shall be deemed to authorize the Trustee to engage in any
business operations or any activities other than those set forth in this
Indenture. Specifically, the Trustee shall have no authority to engage in any
business operations, acquire any assets other than those specifically included
in the Trust Estate under this Indenture or otherwise vary the assets held by
the Issuer. Similarly, the Trustee shall have no discretionary duties other than
performing those ministerial acts set forth above necessary to accomplish the
purpose of the Issuer as set forth in this Indenture.

         (k)      In no event shall the Trustee be liable for any indirect,
special, punitive or consequential loss or damage of any kind whatsoever,
including lost profits, even if the Trustee has been advised of the likelihood
of such loss or damage and regardless of the form of action.

         (l)      In no event shall the Trustee be liable for any failure or
delay in the performance of its obligations hereunder because of circumstances
beyond its control, including acts of God, flood, war (whether declared or
undeclared), terrorism, fire, riot, embargo, government action, including any
laws, ordinances, regulations, governmental action or the like which delay,
restrict or prohibit the providing of the services contemplated by this
Indenture.

         Section 6.02. Rights of Trustee.

         (a)      Except as otherwise provided in Section 6.02(g) and the second
succeeding sentence, the Trustee may conclusively rely and shall be protected in
acting upon or refraining from acting upon any resolution, certificate,
statement, instrument, opinion, report, notice, request, consent, order, note,
direction, demand, election or other paper or document believed by it to be
genuine and to have been signed or presented by the proper person. The Trustee
need not investigate any fact or matter stated in the document. Notwithstanding
the foregoing, the Trustee, upon receipt of all resolutions, certificates,
statements, opinions, reports, documents, orders or other instruments furnished
to the Trustee that shall be specifically required to be furnished pursuant to
any provision of this Indenture, shall examine them to determine whether they
comply as to form to the requirements of this Indenture.

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

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<PAGE>

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

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

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

         (f)      The Trustee shall be under no obligation to institute, conduct
or defend any litigation under this Indenture or in relation to this Indenture,
at the request, order or direction of any of the Holders of Notes, pursuant to
the provisions of this Indenture, unless such Holders shall have offered to the
Trustee reasonable security or indemnity against the costs, expenses and
liabilities that may be incurred therein or thereby; provided, however, that the
Trustee shall, upon the occurrence of an Event of Default (that has not been
cured), exercise the rights and powers vested in it by this Indenture with
reasonable care and skill.

         (g)      The Trustee shall not be bound to make any investigation into
the facts or matters stated in any resolution, certificate, statement,
instrument, opinion, report, notice, request, consent, order, approval, bond or
other paper or document, unless requested in writing to do so by the Holders of
Notes evidencing not less than 25% of the Outstanding Amount of the Notes of the
Controlling Class; provided, however, that if the payment within a reasonable
time to the Trustee of the costs, expenses or liabilities likely to be incurred
by it in the making of such investigation is, in the opinion of the Trustee, not
reasonably assured to the Trustee by the security afforded to it by the terms of
this Indenture or the Sale and Servicing Agreement, the Trustee may require
reasonable indemnity against such cost, expense or liability as a condition to
so proceeding. The reasonable expense of each such investigation shall be paid
by the Person making such request, or, if paid by the Trustee, shall be
reimbursed by the Person making such request upon demand.

         Section 6.03. Individual Rights of Trustee. The Trustee in its
individual or any other capacity may become the owner or pledgee of Notes and
may otherwise deal with the Issuer or its Affiliates with the same rights it
would have if it were not Trustee. Any Paying Agent, Note Registrar,
co-registrar or co-paying agent may do the same with like rights. However, the
Trustee is required to comply with Sections 6.11 and 6.12.

         Section 6.04. Trustee's Disclaimer. The Trustee shall not be
responsible for and makes no representation as to the validity or adequacy of
this Indenture, the Trust Estate or the Notes, it shall not be accountable for
the Issuer's use of the proceeds from the Notes, and it shall not be responsible
for any statement of the Issuer in this Indenture or in any document issued in

                                       46
<PAGE>

connection with the sale of the Notes or in the Notes other than the Trustee's
certificate of authentication.

         Section 6.05. Notice of Defaults. If a Default occurs and is continuing
and if it is known to a Responsible Officer of the Trustee, the Trustee shall
mail to each Noteholder notice of the Default within 90 days after it occurs.
Except in the case of a Default in payment of principal of or interest on any
Note (including payments pursuant to the redemption of Notes), the Trustee may
withhold the notice if and so long as a committee of its Responsible Officers in
good faith determines that withholding the notice is in the interests of
Noteholders.

         Section 6.06. Reports by Trustee to Holders. The Trustee shall deliver
to each Noteholder such information as may be required to enable such holder to
prepare its federal and state income tax returns.

         Section 6.07. Compensation and Indemnity. The Issuer shall, or shall
cause the Administrator to, pay to the Trustee from time to time reasonable
compensation for its services. The Trustee's compensation shall not be limited
by any law on compensation of a trustee of an express trust. The Issuer shall,
or shall cause the Administrator to, reimburse the Trustee for all reasonable
out-of-pocket expenses incurred or made by it, including costs of collection, in
addition to the compensation for its services. Such expenses shall include the
reasonable compensation and expenses, disbursements and advances of the
Trustee's agents, counsel, accountants and experts. The Issuer shall, or shall
cause the Administrator to, indemnify the Trustee against any and all loss,
liability or expense (including attorneys' fees) incurred by it in connection
with the administration of this trust and the performance of its duties
hereunder. The Trustee shall notify the Issuer and the Administrator promptly of
any claim for which it may seek indemnity. Failure by the Trustee to so notify
the Issuer and the Administrator shall not relieve the Issuer or the
Administrator of its obligations hereunder. The Issuer shall, or shall cause the
Administrator to, defend any such claim, and the Trustee may have separate
counsel and the Issuer shall, or shall cause the Administrator to, pay the fees
and expenses of such counsel. Neither the Issuer nor the Administrator need
reimburse any expense or indemnify against any loss, liability or expense
incurred by the Trustee through the Trustee's own willful misconduct, negligence
or bad faith.

         The Issuer's payment obligations to the Trustee pursuant to this
Section shall survive the discharge of this Indenture or the resignation or
removal of the Trustee; provided, however, that neither the Issuer nor the
Administrator need reimburse any expense or indemnify against any loss,
liability or expense incurred by the Trustee through the Trustee's own willful
misconduct, negligence or bad faith. When the Trustee incurs expenses after the
occurrence of an Event of Default specified in Section 5.01(iv) or (v) with
respect to the Issuer, the expenses are intended to constitute expenses of
administration under Title 11 of the United States Code or any other applicable
federal or state bankruptcy, insolvency or similar law.

         Section 6.08. Replacement of Trustee. The Trustee may resign at any
time by so notifying the Issuer and the Master Servicer. The Issuer shall remove
the Trustee if:

                  (i)      the Trustee fails to comply with Section 6.11;

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<PAGE>

                  (ii)     a court having jurisdiction in the premises in
         respect of the Trustee in an involuntary case or proceeding under
         federal or state banking or bankruptcy laws, as now or hereafter
         constituted, or any other applicable federal or state bankruptcy,
         insolvency or other similar law, shall have entered a decree or order
         granting relief or appointing a receiver, liquidator, assignee,
         custodian, trustee, conservator, sequestrator (or similar official) for
         the Trustee or for any substantial part of the Trustee's property, or
         ordering the winding-up or liquidation of the Trustee's affairs,
         provided any such decree or order shall have continued unstayed and in
         effect for a period of 30 consecutive days;

                  (iii)    the Trustee commences a voluntary case under any
         federal or state banking or bankruptcy laws, as now or hereafter
         constituted, or any other applicable federal or state bankruptcy,
         insolvency or other similar law, or consents to the appointment of or
         taking possession by a receiver, liquidator, assignee, custodian,
         trustee, conservator, sequestrator or other similar official for the
         Trustee or for any substantial part of the Trustee's property, or makes
         any assignment for the benefit of creditors or fails generally to pay
         its debts as such debts become due or takes any corporate action in
         furtherance of any of the foregoing;

                  (iv)     the Trustee otherwise becomes incapable of acting; or

                  (v)      the Trustee breaches any representation, warranty or
         covenant made by it under any Basic Document (including any failure or
         delay in the performance of any of its obligations because of
         circumstances beyond its control, as contemplated by Section 6.01(l).

         If the Trustee resigns or is removed or if a vacancy exists in the
office of Trustee for any reason (the Trustee in such event being referred to
herein as the retiring Trustee), the Issuer shall promptly appoint a successor
Trustee.

         A successor Trustee shall deliver a written acceptance of its
appointment to the retiring Trustee and to the Issuer. Thereupon the resignation
or removal of the retiring Trustee shall become effective, and the successor
Trustee shall have all the rights, powers and duties of the Trustee under this
Indenture. The Issuer or the successor Trustee shall mail a notice of its
succession to Noteholders. The retiring Trustee shall promptly transfer all
property held by it as Trustee to the successor Trustee.

         If a successor Trustee does not take office within 45 days after the
retiring Trustee resigns or is removed, the retiring Trustee, the Issuer or the
Holders of a majority of the Outstanding Amount of the Notes of the Controlling
Class may petition any court of competent jurisdiction for the appointment of a
successor Trustee.

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

         Any resignation or removal of the Trustee and appointment of a
successor Trustee pursuant to the provisions of this Section shall not become
effective until acceptance of appointment by the successor Trustee pursuant to
this Section and payment of all fees and expenses owed to the outgoing Trustee.
Notwithstanding the replacement of the Trustee

                                       48
<PAGE>

pursuant to this Section, the retiring Trustee shall be entitled to payment or
reimbursement of such amounts as such Person is entitled pursuant to Section
6.07.

         Section 6.09. Successor Trustee by Merger. If the Trustee consolidates
with, merges or converts into, or transfers all or substantially all its
corporate trust business or assets to, another corporation or banking
association, the resulting, surviving or transferee corporation without any
further act shall be the successor Trustee; provided, that such corporation or
banking association shall be otherwise qualified and eligible under Section
6.11. The Trustee shall provide each Rating Agency prompt notice of any such
transaction. If, at the time such merger, conversion or consolidation any of the
Notes have been authenticated but not delivered, the successor trustee may adopt
the certificate of authentication of the predecessor trustee and deliver such
Notes so authenticated; and if at that time any of the Notes have not been
authenticated, the successor to the Trustee may authenticate those Notes either
in the name of the predecessor trustee hereunder or in the name of the successor
to the Trustee; and in all such cases such certificates shall have the full
force such a certificate may have in the Notes or in this Indenture.

         Section 6.10. Appointment of Co-Trustee or Separate Trustee.

         (a)      Notwithstanding any other provision of this Indenture, at any
time, for the purpose of meeting any legal requirement of any jurisdiction in
which any part of the Trust Estate may at the time be located, the Trustee and
the Administrator acting jointly shall have the power and may execute and
deliver all instruments to appoint one or more Persons to act as a co-trustee or
co-trustees, jointly with the Trustee, or separate trustee or separate trustees,
of all or any part of the Trust, and to vest in such Person or Persons, in such
capacity and for the benefit of the Noteholders, such title to the Trust Estate,
or any part hereof, and, subject to the other provisions of this Section, such
powers, duties, obligations, rights and trusts as the Trustee and the
Administrator may consider necessary or desirable. If the Administrator shall
not have joined in such appointment within 15 days after the receipt by it of a
request so to do, the Trustee alone shall have the power to make such
appointment. No co-trustee or separate trustee hereunder shall be required to
meet the terms of eligibility as a successor Trustee under Section 6.11 and no
notice to Noteholders of the appointment of any co-trustee or separate trustee
shall be required under Section 6.08.

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

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

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<PAGE>

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

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

         (c)      Any notice, request or other writing given to the Trustee
shall be deemed to have been given to each of the then separate trustees and
co-trustees, as effectively as if given to each of them. Every instrument
appointing any separate trustee or co-trustee shall refer to this Indenture and
the conditions of this Article. Each separate trustee and co-trustee, upon its
acceptance of the trusts conferred, shall be vested with the estates or property
specified in its instrument of co-appointment, either jointly with the Trustee
or separately, as may be provided therein, subject to all the provisions of this
Indenture, specifically including every provision relating to the conduct of,
affecting the liability of, or affording protection to, the Trustee. Every such
instrument shall be filed with the Trustee and a copy thereof given to the
Administrator.

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

         Section 6.11. Eligibility; Disqualification.

         (a)      The Trustee shall at all times satisfy the requirements of TIA
Section 310(a) and shall in addition have a combined capital and surplus of at
least $50,000,000 as set forth in its most recent published annual report of
condition. The Trustee shall comply with TIA Section 310(b); provided, however,
that there shall be excluded from the operation of TIA Section 310(b)(1) any
indenture or indentures under which other securities of the Issuer are
outstanding if the requirements for such exclusion set forth in TIA Section
310(b)(1) are met.

         (b)      If the long term debt rating of the Trustee shall not be at
least Baa3 from Moody's and BBB- from each of Standard & Poor's and Fitch, the
Rating Agencies shall be given notice of such lower long-term debt rating.

         Section 6.12. Preferential Collection of Claims Against Issuer. The
Trustee shall comply with TIA Section 311(a), excluding any creditor
relationship listed in TIA Section 311(b). A Trustee who has resigned or been
removed shall be subject to TIA Section 311(a) to the extent indicated.

         Section 6.13. Representations and Warranties of Trustee. The Trustee
hereby makes the following representations and warranties on which the Issuer
and Noteholders shall rely:

                  (i)      the Trustee is a corporation duly organized, validly
         existing and in good standing under the laws of its place of
         incorporation; and

                                       50
<PAGE>

                  (ii)     the Trustee has full power, authority and legal right
         to execute, deliver, and perform this Indenture and shall have taken
         all necessary action to authorize the execution, delivery and
         performance by it of this Indenture.

         Section 6.14. Sales Finance Licenses. The Issuer shall take such action
as, in its reasonable judgment, shall be necessary to maintain the effectiveness
of all sales finance company licenses required under the Maryland Code
Annotated, Financial Institutions Section 11-401 et seq. and all licenses
required under the Pennsylvania Motor Vehicle Sales Finance Act in connection
with this Indenture and the transactions contemplated hereby until the lien and
security interest of this Indenture shall no longer be in effect in accordance
with the terms hereof.

                                       51
<PAGE>

                                 ARTICLE SEVEN

                         NOTEHOLDERS' LISTS AND REPORTS

         Section 7.01. Issuer to Furnish Trustee Names and Addresses of
Noteholders. The Issuer will furnish or cause to be furnished to the Trustee (i)
not more than five days after each Record Date, a list, in such form as the
Trustee may reasonably require, of the names and addresses of the Holders of
Notes as of such Record Date and (ii) at such other times as the Trustee may
request in writing, within 30 days after receipt by the Issuer of any such
request, a list of similar form and content as of a date not more than ten days
prior to the time such list is furnished; provided, however, that so long as the
Trustee is the Note Registrar, no such list shall be required to be furnished.

         Section 7.02. Preservation of Information; Communications to
Noteholders.

         (a)      The Trustee shall preserve, in as current a form as is
reasonably practicable, the names and addresses of the Holders of Notes
contained in the most recent list furnished to the Trustee as provided in
Section 7.01 and the names and addresses of Holders of Notes received by the
Trustee in its capacity as Note Registrar. The Trustee may destroy any list
furnished to it as provided in such Section 7.01 upon receipt of a new list so
furnished.

         (b)      Noteholders may communicate pursuant to TIA Section 312(b)
with other Noteholders with respect to their rights under this Indenture or
under the Notes.

         (c)      The Issuer, the Trustee and the Note Registrar shall have the
protection of TIA Section 312(c).

         Section 7.03. Reports by Issuer.

         (a)      The Issuer shall:

                  (i)      file with the Trustee, within 15 days after the
         Issuer is required to file the same with the Commission, copies of the
         annual reports and of the information, documents and other reports (or
         copies of such portions of any of the foregoing as the Commission may
         from time to time by rules and regulations prescribe) that the Issuer
         may be required to file with the Commission pursuant to Section 13 or
         15(d) of the Exchange Act;

                  (ii)     file with the Trustee and the Commission in
         accordance with the rules and regulations prescribed from time to time
         by the Commission such additional information, documents and reports
         with respect to compliance by the Issuer with the conditions and
         covenants of this Indenture as may be required from time to time by
         such rules and regulations; and

                  (iii)    supply to the Trustee (and the Trustee shall transmit
         by mail to all Noteholders described in TIA Section 313(c)) such
         summaries of any information, documents and reports required to be
         filed by the Issuer pursuant to clauses (i) and (ii) of this

                                       52
<PAGE>

         Section 7.03(a) as may be required by rules and regulations prescribed
         from time to time by the Commission.

         (b)      Unless the Issuer otherwise determines, the fiscal year of the
Issuer shall end on December 31 of each year.

         Section 7.04. Reports by Trustee. To the extent that any of the events
described in TIA Section 313(a) shall have occurred, the Trustee shall, within
60 days after each December 15 beginning with December 15, 2003, mail to the
each Noteholder as required by TIA Section 313(c) a brief report dated as of
such date that complies with TIA Section 313(a). The Trustee also shall comply
with TIA Section 313(b).

         A copy of each report at the time of its mailing to Noteholders shall
be filed by the Trustee with the Commission and with each stock exchange, if
any, on which the Notes are listed and of which listing the Trustee has been
informed. The Issuer shall notify the Trustee if and when the Notes are listed
on any stock exchange.

                                       53
<PAGE>

                                 ARTICLE EIGHT

                      ACCOUNTS, DISBURSEMENTS AND RELEASES

         Section 8.01. Collection of Money. Except as otherwise expressly
provided herein, the Trustee may demand payment or delivery of, and shall
receive and collect, directly and without intervention or assistance of any
fiscal agent or other intermediary, all money and other property payable to or
receivable by the Trustee pursuant to this Indenture and the Sale and Servicing
Agreement. The Trustee shall apply all such money received by it as provided in
this Indenture and the Sale and Servicing Agreement. Except as otherwise
expressly provided in this Indenture, if any default occurs in the making of any
payment or performance under any agreement or instrument that is part of the
Trust Estate, the Trustee may take such action as may be appropriate to enforce
such payment or performance, including the institution and prosecution of
appropriate Proceedings. Any such action shall be without prejudice to any right
to claim a Default or Event of Default under this Indenture and any right to
proceed thereafter as provided in Article Five.

         Section 8.02. Trust Accounts.

         (a)      On or prior to the Closing Date, the Issuer shall cause the
Master Servicer to establish and maintain, in the name of the Trustee, for the
benefit of the Noteholders and the Certificateholders, the Trust Accounts as
provided in Section 5.01 of the Sale and Servicing Agreement.

         (b)      All Net Collections with respect to each Collection Period
will be deposited in the Collection Account as provided in Section 5.02 of the
Sale and Servicing Agreement. On the Business Day immediately preceding each
Distribution Date, all amounts required to be deposited in the Note Distribution
Account with respect to the preceding Collection Period pursuant to Section 5.05
of the Sale and Servicing Agreement will be transferred from the Collection
Account or, to the extent required, the Spread Account to the Note Distribution
Account.

         (c)      Subject to Section 2.07(c), on each Distribution Date, the
Trustee shall distribute all amounts on deposit in the Note Distribution Account
in respect of such Distribution Date to Noteholders in respect of the Notes to
the extent of amounts due and unpaid on the Notes for principal and interest in
the amounts and priority set forth in Section 5.05 of the Sale and Servicing
Agreement.

         Section 8.03. General Provisions Regarding Accounts.

         (a)      So long as no Default or Event of Default shall have occurred
and be continuing, all or a portion of the funds in the Trust Accounts shall be
invested in Eligible Investments and reinvested by the Trustee upon receipt of
an Issuer Order, subject to the provisions of Section 5.01(b) of the Sale and
Servicing Agreement. Except as otherwise provided in Section 5.01(b) of the Sale
and Servicing Agreement, all income or other gain from investments of monies
deposited in such Trust Accounts shall be deposited by the Trustee in the
related Trust Account and any loss resulting from such investments shall be
charged to the related Trust

                                       54
<PAGE>

Account. The Issuer will not direct the Trustee to make any investment of any
funds or to sell any investment held in any of the Trust Accounts unless the
security interest Granted and perfected in such account will continue to be
perfected in such investment or the proceeds of such sale, in either case
without any further action by any Person, and, in connection with any direction
to the Trustee to make any such investment or sale, if requested by the Trustee,
the Issuer shall deliver to the Trustee an Opinion of Counsel, acceptable to the
Trustee, to such effect.

         (b)      Subject to Section 6.01(c), the Trustee shall not in any way
be held liable by reason of any insufficiency in any of the Trust Accounts
resulting from any loss on any Eligible Investment included therein except for
losses attributable to the Trustee's failure to make payments on such Eligible
Investments issued by the Trustee, in its commercial capacity as principal
obligor and not as Trustee, in accordance with their terms.

         (c)      If (i) the Issuer shall have failed to give investment
directions for any funds on deposit in the Trust Accounts to the Trustee by
11:00 a.m., New York City time (or such other time as may be agreed by the
Issuer and Trustee), on any Business Day, (ii) a Default or Event of Default
shall have occurred and be continuing with respect to the Notes but the Notes
have not been declared due and payable pursuant to Section 5.02 or (iii) if such
Notes have been declared due and payable following an Event of Default but
amounts collected or receivable from the Trust Estate are being applied in
accordance with Section 5.05 as if there had not been such a declaration, then
the Trustee shall, to the fullest extent practicable, invest and reinvest funds
in the Trust Accounts in one or more Eligible Investments.

         Section 8.04. Release of Trust Estate.

         (a)      Subject to the payment of its fees and expenses pursuant to
Section 6.07, the Trustee may, and when required by the provisions of this
Indenture shall, execute instruments to release property from the lien of this
Indenture, or convey the Trustee's interest in the same, in a manner and under
circumstances that are not inconsistent with the provisions of this Indenture.
No party relying upon an instrument executed by the Trustee as provided in this
Article shall be bound to ascertain the Trustee's authority, inquire into the
satisfaction of any conditions precedent or the application of any monies.

         (b)      The Trustee shall, at such time as there are no Notes
Outstanding and all sums due the Trustee pursuant to Section 6.07 have been
paid, release any remaining portion of the Trust Estate that secured the Notes
from the lien of this Indenture and release to the Issuer or any other Person
entitled thereto any funds then on deposit in the Trust Accounts. The Trustee
shall release property from the lien of this Indenture pursuant to this Section
8.04(b) only upon receipt of an Issuer Request accompanied by (i) an Officer's
Certificate and an Opinion of Counsel, in each case stating that all conditions
precedent provided in this Indenture have been complied with and (ii) if
required by the TIA, Independent Certificates in accordance with TIA Sections
314(c) and 314(d)(1) meeting the applicable requirements of Section 11.01.

         Section 8.05. Opinion of Counsel. The Trustee shall receive at least
seven days' notice when requested by the Issuer to take any action pursuant to
Section 8.04(a), accompanied by copies of any instruments involved, and the
Trustee shall also require, as a condition to such

                                       55
<PAGE>

action, an Opinion of Counsel, in form and substance satisfactory to the
Trustee, stating the legal effect of any such action, outlining the steps
required to complete the same, and concluding that all conditions precedent to
the taking of such action have been complied with and such action will not
materially and adversely impair the security for the Notes or the rights of the
Noteholders in contravention of the provisions of this Indenture; provided,
however, that such Opinion of Counsel shall not be required to express an
opinion as to the fair value of the Trust Estate. Counsel rendering any such
opinion may rely, without independent investigation, on the accuracy and
validity of any certificate or other instrument delivered to the Trustee in
connection with any such action.

                                       56
<PAGE>

                                  ARTICLE NINE

                             SUPPLEMENTAL INDENTURES

         Section 9.01. Supplemental Indentures Without Consent of Noteholders.

         (a)      Without the consent of the Holders of any Notes but with prior
notice to each Rating Agency, the Issuer and the Trustee, when authorized by an
Issuer Order, and the other parties hereto at any time and from time to time,
may enter into one or more indentures supplemental hereto (which shall conform
to the provisions of the TIA as in force at the date of the execution thereof),
in form satisfactory to the Trustee, for any of the following purposes:

                  (i)      to correct or amplify the description of any property
         at any time subject to the lien of this Indenture, or to assure, convey
         or confirm unto the Trustee any property subject or required to be
         subjected to the lien created by this Indenture, or to subject to the
         lien created by this Indenture additional property;

                  (ii)     to evidence the succession, in compliance with the
         applicable provisions hereof, of another Person to the Issuer, and the
         assumption by any such successor of the covenants of the Issuer herein
         and in the Notes contained;

                  (iii)    to add to the covenants of the Issuer, for the
         benefit of the Holders of the Notes, or to surrender any right or power
         herein conferred upon the Issuer;

                  (iv)     to convey, transfer, assign, mortgage or pledge any
         property to or with the Trustee;

                  (v)      to cure any ambiguity, to correct or supplement any
         provision herein or in any supplemental indenture that may be
         inconsistent with any other provision herein or in any supplemental
         indenture or the other Basic Documents or to make any other provisions
         with respect to matters or questions arising under this Indenture or in
         any supplemental indenture that shall not be inconsistent with the
         provisions of this Indenture; provided that such action shall not
         adversely affect the interests of the Holders of the Notes or result in
         the creation of a new security;

                  (vi)     to evidence and provide for the acceptance of the
         appointment hereunder by a successor trustee with respect to the Notes
         and to add to or change any of the provisions of this Indenture as
         shall be necessary to facilitate the administration of the trusts
         hereunder by more than one trustee, pursuant to the requirements of
         Article Six; or

                  (vii)    to modify, eliminate or add to the provisions of this
         Indenture to such extent as shall be necessary to effect the
         qualification of this Indenture under the TIA or under any similar
         federal statute hereafter enacted and to add to this Indenture such
         other provisions as may he expressly required by the TIA.

         The Trustee is hereby authorized to join in the exemption of any such
supplemental indenture and to make any further appropriate agreements and
stipulations that may be therein contained.

                                       57
<PAGE>

         (b)      The Issuer and the Trustee, when authorized by an Issuer
Order, may, also without the consent of any of the Holders of the Notes, enter
into an indenture or indentures supplemental hereto for the purpose of adding
any provisions to, or changing in any manner or eliminating any of the
provisions of, this Indenture or of modifying in any manner the rights of the
Holders of the Notes under this Indenture; provided, however, that such action
must satisfy the Rating Agency Condition and shall not, as evidenced by an
Opinion of Counsel, adversely affect in any material respect the interests of
any Noteholder or result in the creation of a new security.

         Section 9.02. Supplemental Indentures With Consent of Noteholders. The
Issuer and the Trustee, when authorized by an Issuer Order, and with the consent
of the Holders of not less than 66 2/3% of the Outstanding Amount of the Notes
of the Controlling Class may enter into an indenture or indentures supplemental
hereto for the purpose of adding any provisions to, or changing in any manner or
eliminating any of the provisions of, this Indenture or of modifying in any
manner the rights of the Holders of the Notes under this Indenture; provided,
however, that such action must satisfy the Rating Agency Condition and no such
supplemental indenture shall, without the consent of the Holder of each
Outstanding Note affected thereby:

                  (i)      change the Final Scheduled Distribution Date of any
         Class of Notes or the date of payment of any installment of principal
         of or interest on any Note, or reduce the principal amount thereof, the
         interest rate thereon or the Redemption Price with respect thereto,
         change the provisions of this Indenture relating to the application of
         collections on, or the proceeds of the sale of, the Trust Estate to
         payment of principal of or interest on the Notes, or change any place
         of payment where, or the coin or currency in which, any Note or the
         interest thereon is payable, or impair the right to institute suit for
         the enforcement of the provisions of this Indenture requiring the
         application of funds available therefor, as provided in Article Five,
         to the payment of any such amount due on the Notes on or after the
         respective due dates thereof (or, in the case of redemption, on or
         after the Redemption Date);

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

                  (iii)    modify or alter (A) the provisions of the second
         proviso to the definition of the term "Outstanding" or (B) the
         definition of "Controlling Class";

                  (iv)     reduce the percentage of the Outstanding Amount of
         the Notes or the Notes of the Controlling Class required to direct the
         Trustee to sell or liquidate the Trust Estate pursuant to Section 5.04
         or amend the provisions of this Article which specify the percentage of
         the Outstanding Amount of the Notes or the Notes of the Controlling
         Class, as applicable, required to amend this Indenture or the other
         Basic Documents;

                  (v)      modify any provision of this Section except to
         increase any percentage specified herein or to provide that certain
         additional provisions of this Indenture or the

                                       58
<PAGE>

         other Basic Documents cannot be modified or waived without the consent
         of the Holder of each Outstanding Note affected thereby;

                  (vi)     modify any of the provisions of this Indenture in
         such manner as to affect the calculation of the amount of any payment
         of interest or principal due on any Note on any Distribution Date
         (including the calculation of any of the individual components of such
         calculation) or to affect the rights of the Holders of Notes to the
         benefit of any provisions for the mandatory redemption of the Notes
         contained herein; or

                  (vii)    permit the creation of any lien ranking prior to or
         on a parity with the lien created by this Indenture with respect to any
         part of the Trust Estate or, except as otherwise permitted or
         contemplated herein, terminate the lien created by this Indenture on
         any property at any time subject hereto or deprive the Holder of any
         Note of the security provided by the lien created by this Indenture,
         and further provided that any such action will not, as evidenced by an
         Opinion of Counsel satisfactory to the Trustee, result in the creation
         of a new security.

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

         It shall not be necessary for any Act of Noteholders under this Section
to approve the particular form of any proposed supplemental indenture, but it
shall be sufficient if such Act shall approve the substance thereof.

         Promptly after the execution by the parties hereto of any supplemental
indenture pursuant to this Section, the Trustee shall mail to the Holders of the
Notes to which such amendment or supplemental indenture relates a notice setting
forth in general terms the substance of such supplemental indenture. Any failure
of the Trustee to mail such notice, or any defect therein, shall not, however,
in any way impair or affect the validity of any such supplemental indenture.

         Section 9.03. Execution of Supplemental Indentures. In executing, or
permitting the additional trusts created by, any supplemental indenture
permitted by this Article or the modifications thereby of the trusts created by
this Indenture, the Trustee shall be entitled to receive and, subject to
Sections 6.01 and 6.02 shall be fully protected in relying upon, an Opinion of
Counsel stating that the execution of such supplemental indenture is authorized
or permitted by this Indenture. The Trustee may, but shall not be obligated to,
enter into any such supplemental indenture that affects the Trustee's own
rights, duties, liabilities or immunities under this Indenture or otherwise.

         Section 9.04. Effect of Supplemental Indenture. Upon the execution of
any supplemental indenture pursuant to the provisions hereof, this Indenture
shall be and be deemed to be modified and amended in accordance therewith with
respect to the Notes affected thereby, and the respective rights, limitations of
rights, obligations, duties, liabilities and immunities under this Indenture of
the parties hereto and the Holders of the Notes shall thereafter be determined,
exercised and enforced hereunder subject in all respects to such modifications
and

                                       59
<PAGE>

amendments, and all the terms and conditions of any such supplemental indenture
shall be and be deemed to be part of the terms and conditions of this Indenture
for any and all purposes.

         Section 9.05. Conformity With Trust Indenture Act. Every amendment of
this Indenture and every supplemental indenture executed pursuant to this
Article shall conform to the requirements of the Trust Indenture Act as then in
effect so long as this Indenture shall then be qualified under the Trust
Indenture Act.

         Section 9.06. Reference in Notes to Supplemental Indentures. Notes
authenticated and delivered after the execution of any supplemental indenture
pursuant to this Article may, and if required by the Trustee shall, bear a
notation in form approved by the Trustee as to any matter provided for in such
supplemental indenture. If the Issuer or the Trustee shall so determine, new
Notes so modified as to conform, in the opinion of the Trustee and the Issuer,
to any such supplemental indenture may be prepared and executed by the Issuer
and authenticated and delivered by the Trustee in exchange for Outstanding
Notes.

                                       60
<PAGE>

                                  ARTICLE TEN

                               REDEMPTION OF NOTES

         Section 10.01. Redemption.

         (a)      In the event that the Seller, pursuant to Section 9.01(a) of
the Sale and Servicing Agreement, purchases all the remaining Contracts of the
Trust, the Notes are subject to redemption on the Distribution Date on which
such repurchase occurs, for a purchase price equal to the Redemption Price;
provided, however, that the Issuer has available funds sufficient to pay the
Redemption Price. The Seller, the Master Servicer or the Issuer shall furnish
each Rating Agency notice of such redemption. If the Notes are to be redeemed
pursuant to this Section 10.01 (a), the Master Servicer or the Issuer shall
furnish notice of such election to the Trustee not later than 20 days prior to
the Redemption Date and the Master Servicer shall deposit the proceeds from the
purchase of the Contracts of the Trust received from the Seller or the
Certificateholders, as the case may be, into the Collection Account, whereupon
the Trustee, at the direction of the Master Servicer, shall deposit the
Redemption Price of the Notes to be redeemed, whereupon all such Notes shall be
due and payable in accordance with Section 9.01(e) of the Sale and Servicing
Agreement on the Redemption Date upon the furnishing of a notice complying with
Section 10.02 to each Holder of the Notes.

         (b)      In the event that the assets of the Issuer are sold pursuant
to Section 5.04 of this Indenture, the proceeds of such sale shall be
distributed as provided in Section 5.06(a). If amounts are to be paid to
Noteholders pursuant to this Section 10.01(b), the Master Servicer or the Issuer
shall, to the extent practicable, furnish notice of such event to the Trustee
not later than 20 days prior to the Redemption Date whereupon all such amounts
shall be payable on the Redemption Date.

         Section 10.02. Form of Redemption Notice.

         (a)      Notice of redemption under Section 10.01(a) shall be given by
the Trustee by first-class mail, postage prepaid, mailed not less than 20 days
prior to the applicable Redemption Date to each Holder of Notes, as of the close
of business on the Record Date preceding the applicable Redemption Date, at such
Holder's address appearing in the Note Register. In addition, the Administrator
shall notify the Rating Agencies upon the redemption of any Class of Notes,
pursuant to Section 1(a)(i) of the Administration Agreement.

         All notices of redemption shall state:

                  (i)      the Redemption Date;

                  (ii)     the Redemption Price;

                  (iii)    the place where such Notes are to be surrendered for
         payment of the Redemption Price (which shall be the office or agency of
         the Issuer to be maintained as provided in Section 3.02); and

                                       61
<PAGE>

                  (iv)     that on the Redemption Date, the Redemption Price
         will become due and payable upon each Note and that interest thereon
         shall cease to accrue from and after the Redemption Date.

         Notice of redemption of the Notes shall be given by the Trustee in the
name and at the expense of the Issuer. Failure to give any required notice of
redemption, or any defect therein, to any Holder of any Note shall not impair or
affect the validity of the redemption of any other Note.

         (b)      Notwithstanding the foregoing, prior notice of redemption
under Section 10.01(b) is not required to be given to Noteholders.

         Section 10.03. Notes Payable on Redemption Date. The Notes or portions
thereof to be redeemed shall, following notice of redemption (if any) as
required by Section 10.02, on the Redemption Date become due and payable at the
Redemption Price and (unless the Issuer shall default in the payment of the
Redemption Price) no interest shall accrue on the Redemption Price for any
period after the date to which accrued interest is calculated for purposes of
calculating the Redemption Price.

                                       62
<PAGE>

                                 ARTICLE ELEVEN

                                  MISCELLANEOUS

         Section 11.01. Compliance Certificates and Opinions, etc.

         (a)      Upon any application or request by the Issuer to the Trustee
to take any action under any provision of this Indenture, the Issuer shall
furnish to the Trustee (i) an Officer's Certificate stating that all conditions
precedent, if any, provided for in this Indenture relating to the proposed
action have been complied with, (ii) an Opinion of Counsel stating that in the
opinion of such counsel all such conditions precedent, if any, have been
complied with and (iii) (if required by the TIA) an Independent Certificate from
a firm of certified public accountants meeting the applicable requirements of
this Section. Notwithstanding the foregoing, in the case of any such application
or request as to which the furnishing of such documents is specifically required
by any provision of this Indenture, no additional certificate or opinion need be
furnished.

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

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

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

                  (iii)    a statement that, in the opinion of each such
         signatory, such signatory has made such examination or investigation as
         is necessary to enable such signatory to express an informed opinion as
         to whether or not such covenant or condition has been complied with;
         and

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

         (b)      (i)      Prior to the deposit of any Collateral or other
property or securities with the Trustee that is to be made the basis for the
release of any property subject to the lien created by this Indenture, the
Issuer shall, in addition to any obligation imposed in Section 11.01(a) or
elsewhere in this Indenture, furnish to the Trustee an Officer's Certificate
certifying or stating the opinion of the signer thereof such certificate as to
the fair value (within 90 days of such deposit) to the Issuer of the Collateral
or other property or securities to be so deposited.

                  (ii)     Whenever the Issuer is required to furnish to the
         Trustee an Officer's Certificate certifying or stating the opinion of
         any signer thereof as to the matters described in clause (i) above, the
         Issuer shall also deliver to the Trustee an Independent Certificate as
         to the same matters, if the fair value to the Issuer of the property to
         be so deposited and of all other such property made the basis of any
         such withdrawal or release

                                       63
<PAGE>

         since the commencement of the then-current fiscal year of the Issuer,
         as set forth in the Officer's Certificates delivered pursuant to clause
         (i) above and this clause (ii), is 10% or more of the Outstanding
         Amount of the Notes, but such Officer's Certificate need not be
         furnished with respect to any property so deposited, if the fair value
         thereof to the Issuer as set forth in the related Officer's Certificate
         is less than $25,000 or less than one percent of the Outstanding Amount
         of the Notes.

                  (iii)    Other than with respect to any release described in
         clause (A) or (B) of Section 11.01(b)(v), whenever any property or
         securities are to be released from the lien created by this Indenture,
         the Issuer shall also furnish to the Trustee an Officer's Certificate
         certifying or stating the opinion of each person signing such
         certificate as to the fair value (within 90 days of such release) of
         the property or securities proposed to be released and stating that in
         the opinion of such person the proposed release will not impair the
         security created by this Indenture in contravention of the provisions
         hereof.

                  (iv)     Whenever the Issuer is required to furnish to the
         Trustee an Officer's Certificate certifying or stating the opinion of
         any signer thereof as to the matters described in clause (iii) above,
         the Issuer shall also furnish to the Trustee an Independent Certificate
         as to the same matters if the fair value of the property or securities
         and of all other property (other than property described in clauses (A)
         or (B) of Section 11.01(b)(v)) or securities released from the lien
         created by this Indenture since the commencement of the then current
         fiscal year, as set forth in the Officer's Certificates required by
         clause (iii) above and this clause (iv), equals 10% or more of the
         Outstanding Amount of the Notes, but such Officer's Certificate need
         not be furnished in the case of any release of property or securities
         if the fair value thereof as set forth in the related Officer's
         Certificate is less than $25,000 or less than one percent of the then
         Outstanding Amount of the Notes.

                  (v)      Notwithstanding Section 2.12 or any other provision
         of this Section, the Issuer may, without compliance with the other
         provisions of this Section, (A) collect, liquidate, sell or otherwise
         dispose of the Contracts as and to the extent permitted or required by
         the Basic Documents and (B) make cash payments out of the Trust
         Accounts as and to the extent permitted or required by the Basic
         Documents, so long as the Issuer shall deliver to the Trustee every six
         months, commencing December 15, 2003, an Officer's Certificate stating
         that all the dispositions of Collateral described in clauses (A) or (B)
         that occurred during the preceding six calendar months were in the
         ordinary course of the Issuer's business and that the proceeds thereof
         were applied in accordance with the Basic Documents.

         Section 11.02. Form of Documents Delivered to Trustee. In any case
where several matters are required to be certified by, or covered by an opinion
of, any specified Person, it is not necessary that all such matters be certified
by, or covered by the opinion of, only one such Person, or that they be so
certified or covered by only one document, but one such Person may certify or
give an opinion with respect to some matters and one or more other such Persons
as to other matters, and any such Person may certify or give an opinion as to
such matters in one or several documents.

                                       64
<PAGE>

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

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

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

         Section 11.03. Acts of Noteholders.

         (a)      Any request, demand, authorization, direction, notice,
consent, waiver or other action provided by this Indenture to be given or taken
by Noteholders may be embodied in and evidenced by one or more instruments of
substantially similar tenor signed by such Noteholders in person or by agents
duly appointed in writing; and except as herein otherwise expressly provided,
such action shall become effective when such instrument or instruments are
delivered to the Trustee, and, where it is hereby expressly required, to the
Issuer. Such instrument or instruments (and the action embodied therein and
evidenced thereby) are herein sometimes referred to as the "Act" of the
Noteholders signing such instrument or instruments. Proof of execution of any
such instrument or of a writing appointing any such agent shall be sufficient
for any purpose of this Indenture and (subject to Section 6.01) conclusive in
favor of the Trustee and the Issuer, if made in the manner provided in this
Section.

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

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

         (d)      Any request, demand, authorization, direction, notice,
consent, waiver or other action by the Holder of any Notes shall bind the Holder
of every Note issued upon the

                                       65
<PAGE>

registration thereof or in exchange therefor or in lieu thereof, in respect of
anything done, omitted or suffered to be done by the Trustee or the Issuer in
reliance thereon, whether or not notation of such action is made upon such Note.

         Section 11.04. Notices, etc., to Trustee, Issuer and Rating Agencies.

         (a)      Any request, demand, authorization, direction, notice,
consent, waiver, communication or Act of Noteholders or other documents provided
or permitted by this Indenture shall be in writing and addressed as follows:

         (i)      if to the Trustee, by any Noteholder or by the Issuer, to:

                  Deutsche Bank Trust Company Americas
                  60 Wall Street - 26th Floor
                  MS NYC60-2606
                  New York, New York 10005
                  Attention: Corporate Trust & Agency Services - Structured
                  Finance Services

         (ii)     if to the Issuer, by the Trustee or by any Noteholder, to:

                  WFS Financial 2003-4 Owner Trust
                  Chase Manhattan Bank USA, National Association
                  c/o JP Morgan Chase
                  500 Stanton Christiana Rd., OPS4 /3rd Floor
                  Newark, Delaware 19713
                  Attention: Institutional Trust Services

         or any other address furnished in writing to the Trustee by the Issuer.

         (b)      Any notice required to be given to the Rating Agencies
hereunder shall be in writing and addressed as follows:

         (i)      if to Moody's, to:

                  Moody's Investors Service, Inc.
                  ABS Monitoring Department
                  99 Church Street
                  New York, New York 10007

         (ii)     if to Standard & Poor's, to:

                  Standard & Poor's
                  55 Water Street
                  New York, New York 10041
                  Attention: Asset Backed Surveillance Department

                                       66
<PAGE>

         (iii)    if to Fitch, to:

                  Fitch Ratings
                  One State Street Plaza
                  New York, New York 10004
                  Attention: Asset Backed Securities - Auto Group, 32nd Floor;
                  55 Water Street
                  New York, New York 10041
                  Attention: Asset Backed Surveillance Department

         or as to any of the foregoing, at such other address as shall be
designated by written notice to the other parties.

         Section 11.05. Notices to Noteholders; Waiver. Where this Indenture
provides for notice to Noteholders of any event, such notice shall be
sufficiently given (unless otherwise herein expressly provided) if in writing
and mailed, first-class, postage prepaid to each Noteholder affected by such
event, at his address as it appears on the Note Register, not later than the
latest date, and not earlier than the earliest date, prescribed for the giving
of such notice. In any case where notice to Noteholders is given by mail,
neither the failure to mail such notice nor any defect in any notice so mailed
to any particular Noteholder shall affect the sufficiency of such notice with
respect to other Noteholders, and any notice that is mailed in the manner herein
provided shall conclusively be presumed to have been duly given.

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

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

         Where this Indenture provides for notice to the Rating Agencies,
failure to give such notice shall not affect any other rights or obligations
created hereunder, and shall not under any circumstance constitute a Default or
Event of Default

         Section 11.06. Alternate Payment and Notice Provisions. Notwithstanding
any provision of this Indenture or any of the Notes to the contrary, the Issuer
may enter into any agreement with any Holder of a Note providing for a method of
payment, or notice by the Trustee or any Paying Agent to such Holder, that is
different from the methods provided for in this Indenture for such payments or
notices. The Issuer will furnish to the Trustee a copy of each such agreement

                                       67
<PAGE>

and the Trustee will cause payments to be made and notices to be given in
accordance with such agreements.

         Section 11.07. Conflict With Trust Indenture Act. If any provision
hereof limits, qualifies or conflicts with another provision hereof that is
required to be included in this indenture by any of the provisions of the Trust
Indenture Act, such required provision shall control.

         The provisions of TIA Sections 310 through 317 that impose duties on
any Person (including the provisions automatically deemed included herein unless
expressly excluded by this Indenture) are a part of and govern this Indenture,
whether or not physically contained herein.

         Section 11.08. Effect of Headings and Table of Contents. The Article
and Section headings herein and the Table of Contents are for convenience only
and shall not affect the construction hereof.

         Section 11.09. Successors and Assigns. All covenants and agreements in
this Indenture and the Notes by the Issuer shall bind its successors and
assigns, whether so expressed or not. All agreements of the Trustee in this
Indenture shall bind its successors, co-trustees and agents.

         Section 11.10. Severability. In case any provision in this Indenture or
in the Notes shall be invalid, illegal or unenforceable, the validity, legality
and enforceability of the remaining provisions shall not in any way be affected
or impaired thereby.

         Section 11.11. Benefits of Indenture. Nothing in this Indenture or in
the Notes, express or implied, shall give to any Person, other than the parties
hereto and their successors hereunder, and the Noteholders, and any other party
secured hereunder, and any other Person with an ownership interest in any part
of the Trust Estate, any benefit or any legal or equitable right, remedy or
claim under this Indenture.

         Section 11.12. Legal Holidays. In any case where the date on which any
payment is due shall not be a Business Day, then (notwithstanding any other
provision of the Notes or this Indenture) payment need not be made on such date,
but may be made on the next succeeding Business Day with the same force and
effect as if made on the date on which nominally due, and no interest shall
accrue for the period from and after any such nominal date.

         Section 11.13. Governing Law. THIS INDENTURE SHALL BE CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF CALIFORNIA AND THE OBLIGATIONS, RIGHTS,
AND REMEDIES OF THE PARTIES UNDER THIS INDENTURE SHALL BE DETERMINED IN
ACCORDANCE WITH SUCH LAWS, EXCEPT THAT THE DUTIES OF THE TRUSTEE SHALL BE
GOVERNED BY THE LAWS OF THE STATE OF NEW YORK.

         Section 11.14. Counterparts. This Indenture may be executed in several
counterparts, each of which shall be an original and all of which shall
constitute but one and the same instrument.

                                       68
<PAGE>

         Section 11.15. Recording of Indenture. If this Indenture is subject to
recording in any appropriate public recording offices, such recording is to be
effected by the Issuer and at its expense accompanied by an Opinion of Counsel
(which may be counsel to the Trustee or any other counsel reasonably acceptable
to the Trustee) to the effect that such recording is necessary either for the
protection of the Noteholders or any other Person secured hereunder or for the
enforcement of any right or remedy granted to the Trustee under this Indenture.

         Section 11.16. Trust Obligation. No recourse may be taken, directly or
indirectly, with respect to the obligations of the Issuer, the Owner Trustee or
the Trustee on the Notes or under this Indenture or any certificate or other
writing delivered in connection herewith or therewith, against (i) the Trustee
or the Owner Trustee in its individual capacity, (ii) any owner of a beneficiary
interest in the Issuer or (iii) any partner, owner, beneficiary, agent, officer,
director, employee or agent of the Trustee or the Owner Trustee in its
individual capacity, any holder of a beneficial interest in the Issuer, the
Owner Trustee or the Trustee or of any successor or assign of the Trustee or the
Owner Trustee in its individual capacity, except as any such Person may have
expressly agreed (it being understood that the Trustee and the Owner Trustee
have no such obligations in their individual capacity) and except that any such
partner, owner or beneficiary shall be fully liable, to the extent provided by
applicable law, for any unpaid consideration for stock, unpaid capital
contribution or failure to pay any installment or call owing to such entity. For
all purposes of this Indenture, in the performance of any duties or obligations
of the Issuer hereunder, the Owner Trustee shall be subject to, and entitled to
the benefits of, the terms and provisions of Articles Six, Seven and Eight of
the Trust Agreement.

         Section 11.17. No Petition. The parties hereto, by entering into this
Indenture, and each Noteholder, by accepting a Note or a beneficial interest in
a Note, hereby covenant and agree that they will not at any time institute
against either Seller or the Issuer, or join in any institution against either
Seller or the Issuer of, any bankruptcy, reorganization, arrangement, insolvency
or liquidation proceedings, or other proceedings under any United States federal
or state bankruptcy or similar law in connection with any obligations relating
to the Notes, this Indenture or any of the other Basic Documents.

         Section 11.18. Inspection. The Issuer agrees that, on reasonable prior
notice, it will permit any representative of the Trustee, during the Issuer's
normal business hours, to examine all the books of account, records, reports and
other papers of the Issuer, to make copies and extracts therefrom, to cause such
books to be audited by independent certified public accountants, and to discuss
the Issuer's affairs, finances and accounts with the Issuer's officers,
employees and independent certified public accountants, all at such reasonable
times and as often as may be reasonably requested, the Trustee shall and shall
cause its representatives to hold in confidence all such information except to
the extent disclosure may be required by applicable law (and all reasonable
applications for confidential treatment are unavailing) and except to the extent
that the Trustee may reasonably determine that such disclosure is consistent
with its obligations hereunder.

         Section 11.19. Limitation of Liability of Owner Trustee.
Notwithstanding anything contained herein to the contrary, this instrument has
been countersigned by Chase Manhattan Bank USA, National Association not in its
individual capacity but solely in its capacity as Owner Trustee of the Issuer
and in no event shall Chase Manhattan Bank USA, National Association in

                                       69
<PAGE>

its individual capacity or any beneficial owner of the Issuer have any liability
for the representations, warranties, covenants, agreements or other obligations
of the Issuer hereunder, as to all of which recourse shall be had solely to the
assets of the Issuer. For all purposes of this Indenture, in the performance of
any duties or obligations of the Issuer hereunder, the Owner Trustee shall be
subject to, and entitled to the benefits of, the terms and provisions of
Articles Six, Seven and Eight of the Trust Agreement.

         Section 11.20. Limitation on Recourse Against WFSRC3. Notwithstanding
anything to the contrary contained in this Indenture, the obligations of WFSRC3
under the Basic Documents are solely the corporate obligations of WFSRC3, and
shall be payable by WFSRC3, solely as provided the Basic Documents. WFSRC3 shall
only be required to pay (a) any fees, expenses, indemnities or other liabilities
that it may incur under the Basic Documents from funds available pursuant to,
and in accordance with, the payment priorities set forth in this Indenture and
(ii) to the extent WFSRC3 has additional funds available (other than funds
described in the preceding clause (i)) that would be in excess of amounts that
would be necessary to pay the debt and other obligations of WFSRC3 incurred in
accordance with WFSRC3's certificate of incorporation and all financing
documents to which WFSRC3 is a party. The agreement set forth in the preceding
sentence shall constitute a subordination agreement for purposes of Section
510(a) of the Bankruptcy Code. In addition, no amount owing by WFSRC3 hereunder
in excess of the liabilities that it is required to pay in accordance with the
preceding sentence shall constitute a "claim" (as defined in Section 101(5) of
the Bankruptcy Code) against it.

                                       70
<PAGE>

         IN WITNESS WHEREOF, the parties hereto have caused this Indenture to be
duly executed and delivered as of the day and year first above written.

                                              WFS FINANCIAL 2003-4 OWNER TRUST

                                              By: CHASE MANHATTAN BANK USA,
                                                  NATIONAL ASSOCIATION,
                                                  not in its individual capacity
                                                  but solely on behalf of the
                                                  Issuer as Owner Trustee under
                                                  the Trust Agreement

                                              By: ______________________________
                                                  Name:
                                                  Title:

                                              DEUTSCHE BANK TRUST COMPANY
                                              AMERICAS, not in its individual
                                              capacity but solely as Trustee

                                              By: ______________________________
                                                  Name:
                                                  Title:

<PAGE>

                                                                      SCHEDULE A

                              SCHEDULE OF CONTRACTS

Omitted -- Schedules of Contracts on file at the offices of the Seller, the
Master Servicer and the Owner Trustee.

                                      SA-1

<PAGE>

                                                                       EXHIBIT A

                      FORM OF SALE AND SERVICING AGREEMENT

                                      A-1

<PAGE>

                                                                       EXHIBIT B

                        FORM OF NOTE DEPOSITORY AGREEMENT

                                       B-1

<PAGE>

                                                                       EXHIBIT C

                             FORM OF CLASS A-1 NOTE

         UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION ("DTC"), TO THE ISSUER OR ITS
AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS
REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN
AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO
SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY
TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON
IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST
HEREIN.

         THIS SECURITY IS NOT A SAVINGS ACCOUNT OR DEPOSIT AND IT IS NOT INSURED
BY THE UNITED STATES OR ANY AGENCY OR FUND OF THE UNITED STATES.

         THE PRINCIPAL OF THIS NOTE IS PAYABLE IN FULL ON THE DATE SET FORTH
HEREIN. ACCORDINGLY, THE OUTSTANDING PRINCIPAL AMOUNT OF THIS NOTE AT ANY TIME
MAY BE LESS THAN THE AMOUNT SHOWN ON THE FACE HEREOF.

                        WFS FINANCIAL 2003-4 OWNER TRUST

                              1.14% CLASS A-1 NOTE

REGISTERED                                                          $211,000,000

No. R-A1                                                   CUSIP NO. 92927C AA 8

         WFS Financial 2003-4 Owner Trust, a statutory trust organized and
existing under the laws of the State of Delaware (the "Issuer"), for value
received, hereby promises to pay to Cede & Co., or registered assigns, the
principal sum of Two Hundred Eleven Million Dollars ($211,000,000), payable to
the extent described in the Indenture referred to on the reverse hereof on each
Distribution Date; provided, however, that the entire unpaid principal amount of
this Note shall be payable on the earlier of November 22, 2004 (the "Class A-1
Final Scheduled Distribution Date") and the Redemption Date, if any, selected
pursuant to the Indenture.

         The Issuer will pay interest on this Note at the rate per annum shown
above on each Distribution Date until the principal of this Note is paid or made
available for payment, on the principal amount of this Note outstanding on the
preceding Distribution Date (after giving effect to all payments of principal
made on the preceding Distribution Date), or on the Closing Date in the case of
the first Distribution Date or if no interest has yet been paid, subject to
certain limitations contained in the Indenture. Interest on this Note will
accrue for each Distribution

                                      C-1
<PAGE>

Date from, and including, the prior Distribution Date on which interest has been
paid to but excluding the current Distribution Date or, in the case of the first
Distribution Date or if no interest has yet been paid, from, and including,
November 25, 2003. The Issuer shall pay interest on overdue installments of
interest at the Class A-1 Rate to the extent lawful. Interest will be computed
on the basis of a 360-day year and the actual number of days elapsed during the
related Interest Period. Such principal of and interest on this Note shall be
paid in the manner specified on the reverse hereof.

         The principal of and interest on this Note are payable in such coin or
currency of the United States as at the time of payment is legal tender for
payment of public and private debts. All payments made by the Issuer with
respect to this Note shall be applied first to interest due and payable on this
Note as provided above and then to the unpaid principal of this Note.

         Reference is made to the further provisions of this Note set forth on
the reverse hereof, which shall have the same effect as though fully set forth
on the face of this Note.

         Unless the certificate of authentication hereon has been executed by
the Trustee whose name appears below by manual signature, this Note shall not be
entitled to any benefit under the Indenture referred to on the reverse hereof,
or be valid or obligatory for any purpose.

                                       C-2

<PAGE>

         IN WITNESS WHEREOF, the Issuer has caused this instrument to be signed,
manually or in facsimile, by an Authorized Officer, as set forth below.

Date: November __, 2003                 WFS FINANCIAL 2003-4 OWNER TRUST

                                        By:  CHASE MANHATTAN BANK USA, NATIONAL
                                             ASSOCIATION,
                                             not in its individual capacity but
                                             solely on behalf of the Issuer as
                                             Owner Trustee, under the Trust
                                             Agreement

                                        By:  ___________________________________
                                             Name:
                                             Title:

                     TRUSTEE'S CERTIFICATE OF AUTHENTICATION

         This is one of the Notes designated above and referred to in the
within-mentioned Indenture.

                                        DEUTSCHE BANK TRUST COMPANY AMERICAS,
                                        not in its individual capacity but
                                        solely as Trustee

                                        By:  ___________________________________
                                             Authorized Signatory

                                      C-3

<PAGE>

                           [REVERSE OF CLASS A-1 NOTE]

         This Note is one of a duly authorized issue of Auto Receivable Backed
Notes of the Issuer, designated as its 1.14% Class A-1 Notes (the "Class A-1
Notes"), all issued under an Indenture, dated as of November 1, 2003 (the
"Indenture"), between the Issuer and Deutsche Bank Trust Company Americas, as
trustee (the "Trustee"), to which Indenture and all indentures supplemental
thereto reference is hereby made for a statement of the respective rights and
obligations thereunder of the Issuer, the Trustee and the Holders of the Notes.
The Notes are subject to all terms of the Indenture. All terms used in this Note
that are defined in the Indenture, as supplemented or amended, shall have the
meanings assigned to them in or pursuant to the Indenture, as so supplemented or
amended.

         The Class A-1 Notes, the Class A-2 Notes, the Class A-3 Notes, the
Class A-4 Notes, the Class B Notes, the Class C Notes and the Class D Notes
(collectively, the "Notes") are and, except as otherwise provided in the
Indenture and the Sale and Servicing Agreement, will be equally and ratably
secured by the collateral pledged as security therefor as provided in the
Indenture.

         Principal payable on the Class A-1 Notes will be paid on each
Distribution Date in the amount specified in the Indenture and in the Sale and
Servicing Agreement. As described above, the entire unpaid principal amount of
this Note will be payable on the earlier of the Class A-1 Final Scheduled
Distribution Date and the Redemption Date, if any, selected pursuant to the
Indenture. Notwithstanding the foregoing, under certain circumstances, the
entire unpaid principal amount of the Class A-1 Notes shall be due and payable
following the occurrence and continuance of an Event of Default, as described in
the Indenture. All principal payments on the Class A-1 Notes shall be made pro
rata to the Class A-1 Noteholders entitled thereto.

         Payments of principal and interest on this Note due and payable on each
Distribution Date or Redemption Date shall be made by check mailed to the Person
whose name appears as the Registered Holder of this Note (or one or more
Predecessor Notes) on the Note Register as of the close of business on the
related Record Date, except that with respect to Notes registered on the Record
Date in the name of the nominee of the Clearing Agency (initially, such nominee
to be Cede & Co.), payments will be made by wire transfer in immediately
available funds to the account designated by such nominee. Such checks shall be
mailed to the Person entitled thereto at the address of such Person as it
appears on the Note Register as of the applicable Record Date without requiring
that this Note be submitted for notation of payment. Any reduction in the
principal amount of this Note (or any one or more Predecessor Notes) affected by
any payments made on any Distribution Date or Redemption Date shall be binding
upon all future Holders of this Note and of any Note issued upon the
registration of transfer hereof or in exchange hereof or in lieu hereof, whether
or not noted hereon. If funds are expected to be available, as provided in the
Indenture, for payment in full of the remaining unpaid principal amount of this
Note on a Distribution Date or Redemption Date, then the Trustee, in the name of
and on behalf of the Issuer, will notify the Person who was the Registered
Holder hereof as of the Record Date preceding such Distribution Date or
Redemption Date by notice mailed within 20 days of such Distribution Date or
Redemption Date and the amount then due and payable shall be payable only upon
presentation and surrender of this Note at the Corporate Trust Office of the
Trustee or at the office of the Trustee's agent appointed for such purposes
located in The City of New York.

                                      C-4

<PAGE>

         As provided in the Indenture, the Notes may be redeemed pursuant to the
Indenture, in whole, but not in part, at the option of the Seller, on any
Distribution Date following the last day of a Collection Period as of which the
Aggregate Principal Balance is less than or equal to $142,500,000.

         As provided in the Indenture and subject to certain limitations set
forth therein, the transfer of this Note may be registered on the Note Register
upon surrender of this Note for registration of transfer at the office or agency
designated by the Issuer pursuant to the Indenture. No service charge will be
charged for any registration of transfer or exchange of this Note, but the
transferor may be required to pay a sum sufficient to cover any tax or other
governmental charge that may be imposed in connection with any such registration
of transfer or exchange.

         Each Noteholder or Note Owner, by acceptance of a Note or, in the case
of a Note Owner, a beneficial interest in a Note, covenants and agrees that no
recourse may be taken, directly or indirectly, with respect to the obligations
of the Issuer, the Owner Trustee or the Trustee on the Notes or under the
Indenture or any certificate or other writing delivered in connection therewith,
against (i) the Trustee or the Owner Trustee in its individual capacity, (ii)
any owner of a beneficial interest in the Issuer or (iii) any partner, owner,
beneficiary, agent, officer, director or employee of the Trustee or the Owner
Trustee in its individual capacity, any holder of a beneficial interest in the
Issuer, the Owner Trustee or the Trustee or of any successor or assign of the
Trustee or the Owner Trustee in its individual capacity, except as any such
Person may have expressly agreed and except that any such partner, owner or
beneficiary shall be fully liable, to the extent provided by applicable law, for
any unpaid consideration for stock, unpaid capital contribution or failure to
pay any installment or call owing to such entity.

         Each Noteholder or Note Owner, by acceptance of a Note or, in the case
of a Note Owner, a beneficial interest in a Note, covenants and agrees that by
accepting the benefits of the Indenture and such Note that such Noteholder or
Note Owner will not at any time institute against the Seller or the Issuer, or
join in any institution against the Seller or the Issuer of, any bankruptcy,
reorganization, arrangement, insolvency or liquidation proceedings under any
United States federal or state bankruptcy or similar law in connection with any
obligations relating to the Notes, the Indenture or the other Basic Documents.

         The Issuer has entered into the Indenture, and this Note is issued with
the intention that, for federal, state and local income, single business and
franchise tax purposes, the Notes will qualify as indebtedness of the Issuer
secured by the Trust Estate. Each Noteholder, by acceptance of a Note (and each
Note Owner by acceptance of a beneficial interest in a Note), agrees to treat
the Notes for federal, state and local income, single business and franchise tax
purposes as indebtedness of the Issuer.

         Prior to the due presentment for registration of transfer of this Note,
the Issuer and the Trustee and any agent of the Issuer and the Trustee may treat
the Person in whose name this Note (as of the day of determination or as of such
other date as may be specified in the Indenture) is registered as the owner
hereof for all purposes, whether or not this Note be overdue, and neither the
Issuer, the Trustee nor any such agent shall be affected by notice to the
contrary.

                                      C-5

<PAGE>

         The Indenture permits, with certain exceptions as therein provided, the
amendment thereof and the modification of the rights and obligations of the
Issuer and the rights of the Holders of the Notes under the Indenture at any
time by the Issuer with the consent of the Holders of Notes representing at
least 66 2/3% of the Outstanding Amount of the Notes of Controlling Class. The
Indenture also contains provisions permitting the Holders of Notes representing
specified percentages of the Outstanding Amount of the Notes or the Notes of the
Controlling Class, on behalf of the Holders of all the Notes, to waive
compliance by the Issuer with certain provisions of the Indenture and certain
past defaults under the Indenture and their consequences. Any such consent or
waiver by the Holder of this Note (or any one of more Predecessor Notes) shall
be conclusive and binding upon such Holder and upon all future Holders of this
Note and of any Note issued upon the registration of transfer hereof or in
exchange hereof or in lieu hereof whether or not notation of such consent or
waiver is made upon this Note. The Indenture also permits the Trustee to amend
or waive certain terms and conditions set forth in the Indenture without the
consent of Holders of the Notes issued thereunder.

         The Notes are issuable only in registered form in denominations as
provided in the Indenture, subject to certain limitations therein set forth.

         This Note and the Indenture shall be construed in accordance with the
laws of the State of California, and the obligations, rights and remedies of the
parties hereunder and thereunder shall be determined in accordance with such
laws, except that the duties of the Trustee under the Indenture shall be
governed by New York law.

         No reference herein to the Indenture and no provision of this Note or
of the Indenture shall alter or impair the obligation of the Issuer, which is
absolute and unconditional, to pay the principal of and interest on this Note at
the times, place and rate, and in the coin or currency herein prescribed.

                                      C-6

<PAGE>

                                                                       EXHIBIT D

                             FORM OF CLASS A-2 NOTE

         THIS NOTE IS SUBORDINATED IN RIGHT OF PAYMENT TO THE CLASS A-1 NOTES TO
THE EXTENT DESCRIBED IN THE INDENTURE REFERRED TO HEREIN.

         UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION ("DTC"), TO THE ISSUER OR ITS
AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS
REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN
AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO
SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY
TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON
IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST
HEREIN.

         THIS SECURITY IS NOT A SAVINGS ACCOUNT OR DEPOSIT AND IT IS NOT INSURED
BY THE UNITED STATES OR ANY AGENCY OR FUND OF THE UNITED STATES.

         THE PRINCIPAL OF THIS NOTE IS PAYABLE IN FULL ON THE DATE SET FORTH
HEREIN. ACCORDINGLY, THE OUTSTANDING PRINCIPAL AMOUNT OF THIS NOTE AT ANY TIME
MAY BE LESS THAN THE AMOUNT SHOWN ON THE FACE HEREOF.

                        WFS FINANCIAL 2003-4 OWNER TRUST

                              1.67% CLASS A-2 NOTE

REGISTERED                                                          $400,000,000

No. R-A2-1                                                 CUSIP NO. 92927C AB 6

         WFS Financial 2003-4 Owner Trust, a statutory trust organized and
existing under the laws of the State of Delaware (the "Issuer"), for value
received, hereby promises to pay to Cede & Co., or registered assigns, the
principal sum of Four Hundred Million Dollars ($400,000,000), payable on each
Distribution Date in an amount equal to the result obtained by multiplying (i) a
fraction the numerator of which is $400,000,000 and the denominator of which is
$491,000,000 by (ii) the aggregate principal amount, if any, payable from the
Note Distribution Account in respect of principal on the Class A-2 Notes
pursuant to the extent described in the Indenture referred to on the reverse
hereof; provided, however, that the entire unpaid principal amount of this Note
shall be payable on the earlier of April 20, 2007 (the "Class A-2 Final
Scheduled Distribution Date") and the Redemption Date, if any, selected pursuant
to the Indenture. No payments of principal of the Class A-2 Notes shall be made
until the principal amount of the Class A-1 Notes has been reduced to zero.

                                      D-1

<PAGE>

         The Issuer will pay interest on this Note at the rate per annum shown
above on each Distribution Date until the principal of this Note is paid or made
available for payment, on the principal amount of this Note outstanding on the
preceding Distribution Date (after giving effect to all payments of principal
made on the preceding Distribution Date), or on the Closing Date in the case of
the first Distribution Date or if no interest has yet been paid, subject to
certain limitations contained in the Indenture. Interest on this Note will
accrue for each Distribution Date from, and including, the 20th day of the month
of the prior Distribution Date on which interest has been paid to, but
excluding, the 20th day of the month of the current Distribution Date or, in the
case of the first Distribution Date or if no interest has yet been paid, from,
and including, November 25, 2003. The Issuer shall pay interest on overdue
installments of interest at the Class A-2 Rate to the extent lawful. Interest
will be computed on the basis of a 360-day year consisting of twelve 30-day
months. Such principal of and interest on this Note shall be paid in the manner
specified on the reverse hereof.

         The principal of and interest on this Note are payable in such coin or
currency of the United States as at the time of payment is legal tender for
payment of public and private debts. All payments made by the Issuer with
respect to this Note shall be applied first to interest due and payable on this
Note as provided above and then to the unpaid principal of this Note.

         Reference is made to the further provisions of this Note set forth on
the reverse hereof, which shall have the same effect as though fully set forth
on the face of this Note.

         Unless the certificate of authentication hereon has been executed by
the Trustee whose name appears below by manual signature, this Note shall not be
entitled to any benefit under the Indenture referred to on the reverse hereof,
or be valid or obligatory for any purpose.

                                      D-2

<PAGE>

         IN WITNESS WHEREOF, the Issuer has caused this instrument to be signed,
manually or in facsimile, by an Authorized Officer, as set forth below.

Date: November __, 2003                 WFS FINANCIAL 2003-4 OWNER TRUST

                                        By:  CHASE MANHATTAN BANK USA, NATIONAL
                                             ASSOCIATION,
                                             not in its individual capacity but
                                             solely on behalf of the Issuer as
                                             Owner Trustee, under the Trust
                                             Agreement

                                        By:  ___________________________________
                                             Name:
                                             Title:

                     TRUSTEE'S CERTIFICATE OF AUTHENTICATION

         This is one of the Notes designated above and referred to in the
within-mentioned Indenture.

                                             DEUTSCHE BANK TRUST COMPANY
                                             AMERICAS,
                                             not in its individual capacity but
                                             solely as Trustee,

                                        By:  ___________________________________
                                                    Authorized Signatory

                                      D-3

<PAGE>

                           [REVERSE OF CLASS A-2 NOTE]

         This Note is one of a duly authorized issue of Auto Receivable Backed
Notes of the Issuer, designated as its 1.67% Class A-2 Notes (the "Class A-2
Notes"), all issued under an Indenture, dated as of November 1, 2003 (the
"Indenture"), between the Issuer and Deutsche Bank Trust Company Americas, as
trustee (the "Trustee"), to which Indenture and all indentures supplemental
thereto reference is hereby made for a statement of the respective rights and
obligations thereunder of the Issuer, the Trustee and the Holders of the Notes.
The Notes are subject to all terms of the Indenture. All terms used in this Note
that are defined in the Indenture, as supplemented or amended, shall have the
meanings assigned to them in or pursuant to the Indenture, as so supplemented or
amended.

         The Class A-1 Notes, the Class A-2 Notes, the Class A-3 Notes, Class
A-4 Notes, the Class B Notes, the Class C Notes and the Class D Notes
(collectively, the "Notes") are and, except as otherwise provided in the
Indenture and the Sale and Servicing Agreement, will be equally and ratably
secured by the collateral pledged as security therefor as provided in the
Indenture.

         Principal payable on the Class A-2 Notes will be paid on each
Distribution Date in the amount specified in the Indenture and in the Sale and
Servicing Agreement. As described above, the entire unpaid principal amount of
this Note will be payable on the earlier of the Class A-2 Final Scheduled
Distribution Date and the Redemption Date, if any, selected pursuant to the
Indenture. Notwithstanding the foregoing, under certain circumstances, the
entire unpaid principal amount of the Class A-2 Notes shall be due and payable
following the occurrence and continuance of an Event of Default, as described in
the Indenture. All principal payments on the Class A-2 Notes shall be made pro
rata to the Class A-2 Noteholders entitled thereto.

         Payments of principal and interest on this Note due and payable on each
Distribution Date or Redemption Date shall be made by check mailed to the Person
whose name appears as the Registered Holder of this Note (or one or more
Predecessor Notes) on the Note Register as of the close of business on the
related Record Date, except that with respect to Notes registered on the Record
Date in the name of the nominee of the Clearing Agency (initially, such nominee
to be Cede & Co.), payments will be made by wire transfer in immediately
available funds to the account designated by such nominee. Such checks shall be
mailed to the Person entitled thereto at the address of such Person as it
appears on the Note Register as of the applicable Record Date without requiring
that this Note be submitted for notation of payment. Any reduction in the
principal amount of this Note (or any one or more Predecessor Notes) affected by
any payments made on any Distribution Date or Redemption Date shall be binding
upon all future Holders of this Note and of any Note issued upon the
registration of transfer hereof or in exchange hereof or in lieu hereof, whether
or not noted hereon. If funds are expected to be available, as provided in the
Indenture, for payment in full of the remaining unpaid principal amount of this
Note on a Distribution Date or Redemption Date, then the Trustee, in the name of
and on behalf of the Issuer, will notify the Person who was the Registered
Holder hereof as of the Record Date preceding such Distribution Date or
Redemption Date by notice mailed within 20 days of such Distribution Date or
Redemption Date and the amount then due and payable shall be payable only upon
presentation and surrender of this Note at the Corporate Trust Office of the
Trustee or at the office of the Trustee's agent appointed for such purposes
located in The City of New York.

                                       D-4

<PAGE>

         As provided in the Indenture, the Notes may be redeemed pursuant to the
Indenture, in whole, but not in part, at the option of the Seller, on any
Distribution Date following the last day of a Collection Period as of which the
Aggregate Principal Balance is less than or equal to $142,500,000.

         As provided in the Indenture and subject to certain limitations set
forth therein, the transfer of this Note may be registered on the Note Register
upon surrender of this Note for registration of transfer at the office or agency
designated by the Issuer pursuant to the Indenture. No service charge will be
charged for any registration of transfer or exchange of this Note, but the
transferor may be required to pay a sum sufficient to cover any tax or other
governmental charge that may be imposed in connection with any such registration
of transfer or exchange.

         Each Noteholder or Note Owner, by acceptance of a Note or, in the case
of a Note Owner, a beneficial interest in a Note, covenants and agrees that no
recourse may be taken, directly or indirectly, with respect to the obligations
of the Issuer, the Owner Trustee or the Trustee on the Notes or under the
Indenture or any certificate or other writing delivered in connection therewith,
against (i) the Trustee or the Owner Trustee in its individual capacity, (ii)
any owner of a beneficial interest in the Issuer or (iii) any partner, owner,
beneficiary, agent, officer, director or employee of the Trustee or the Owner
Trustee in its individual capacity, any holder of a beneficial interest in the
Issuer, the Owner Trustee or the Trustee or of any successor or assign of the
Trustee or the Owner Trustee in its individual capacity, except as any such
Person may have expressly agreed and except that any such partner, owner or
beneficiary shall be fully liable, to the extent provided by applicable law, for
any unpaid consideration for stock, unpaid capital contribution or failure to
pay any installment or call owing to such entity.

         Each Noteholder or Note Owner, by acceptance of a Note or, in the case
of a Note Owner, a beneficial interest in a Note, covenants and agrees that by
accepting the benefits of the Indenture and such Note that such Noteholder or
Note Owner will not at any time institute against the Seller or the Issuer, or
join in any institution against the Seller or the Issuer of, any bankruptcy,
reorganization, arrangement, insolvency or liquidation proceedings under any
United States federal or state bankruptcy or similar law in connection with any
obligations relating to the Notes, the Indenture or the other Basic Documents.

         The Issuer has entered into the Indenture, and this Note is issued with
the intention that, for federal, state and local income, single business and
franchise tax purposes, the Notes will qualify as indebtedness of the Issuer
secured by the Trust Estate. Each Noteholder, by acceptance of a Note (and each
Note Owner by acceptance of a beneficial interest in a Note), agrees to treat
the Notes for federal, state and local income, single business and franchise tax
purposes as indebtedness of the Issuer.

         Prior to the due presentment for registration of transfer of this Note,
the Issuer and the Trustee and any agent of the Issuer and the Trustee may treat
the Person in whose name this Note (as of the day of determination or as of such
other date as may be specified in the Indenture) is registered as the owner
hereof for all purposes, whether or not this Note be overdue, and neither the
Issuer, the Trustee nor any such agent shall be affected by notice to the
contrary.

                                       D-5

<PAGE>

         The Indenture permits, with certain exceptions as therein provided, the
amendment thereof and the modification of the rights and obligations of the
Issuer and the rights of the Holders of the Notes under the Indenture at any
time by the Issuer with the consent of the Holders of Notes representing at
least 66 2/3% of the Outstanding Amount of the Notes of the Controlling Class.
The Indenture also contains provisions permitting the Holders of Notes
representing specified percentages of the Outstanding Amount of the Notes or the
Notes of the Controlling Class, on behalf of the Holders of all the Notes, to
waive compliance by the Issuer with certain provisions of the Indenture and
certain past defaults under the Indenture and their consequences. Any such
consent or waiver by the Holder of this Note (or any one of more Predecessor
Notes) shall be conclusive and binding upon such Holder and upon all future
Holders of this Note and of any Note issued upon the registration of transfer
hereof or in exchange hereof or in lieu hereof whether or not notation of such
consent or waiver is made upon this Note. The Indenture also permits the Trustee
to amend or waive certain terms and conditions set forth in the Indenture
without the consent of Holders of the Notes issued thereunder.

         The Notes are issuable only in registered form in denominations as
provided in the Indenture, subject to certain limitations therein set forth.

         This Note and the Indenture shall be construed in accordance with the
laws of the State of California, and the obligations, rights and remedies of the
parties hereunder and thereunder shall be determined in accordance with such
laws, except that the duties of the Trustee under the Indenture shall be
governed by New York law.

         No reference herein to the Indenture and no provision of this Note or
of the Indenture shall alter or impair the obligation of the Issuer, which is
absolute and unconditional, to pay the principal of and interest on this Note at
the times, place and rate, and in the coin or currency herein prescribed.

                                      D-6

<PAGE>

                                                                       EXHIBIT D

                             FORM OF CLASS A-2 NOTE

         THIS NOTE IS SUBORDINATED IN RIGHT OF PAYMENT TO THE CLASS A-1 NOTES TO
THE EXTENT DESCRIBED IN THE INDENTURE REFERRED TO HEREIN.

         UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION ("DTC"), TO THE ISSUER OR ITS
AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS
REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN
AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO
SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY
TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON
IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST
HEREIN.

         THIS SECURITY IS NOT A SAVINGS ACCOUNT OR DEPOSIT AND IT IS NOT INSURED
BY THE UNITED STATES OR ANY AGENCY OR FUND OF THE UNITED STATES.

         THE PRINCIPAL OF THIS NOTE IS PAYABLE IN FULL ON THE DATE SET FORTH
HEREIN. ACCORDINGLY, THE OUTSTANDING PRINCIPAL AMOUNT OF THIS NOTE AT ANY TIME
MAY BE LESS THAN THE AMOUNT SHOWN ON THE FACE HEREOF.

                        WFS FINANCIAL 2003-4 OWNER TRUST

                              1.67% CLASS A-2 NOTE

REGISTERED                                                           $91,000,000

No. R-A2-2                                                 CUSIP NO. 92927C AB 6

         WFS Financial 2003-4 Owner Trust, a statutory trust organized and
existing under the laws of the State of Delaware (the "Issuer"), for value
received, hereby promises to pay to Cede & Co., or registered assigns, the
principal sum of Ninety One Million Dollars ($91,000,000), payable on each
Distribution Date in an amount equal to the result obtained by multiplying (i) a
fraction the numerator of which is $91,000,000 and the denominator of which is
$491,000,000 by (ii) the aggregate principal amount, if any, payable from the
Note Distribution Account in respect of principal on the Class A-2 Notes
pursuant to the extent described in the Indenture referred to on the reverse
hereof; provided, however, that the entire unpaid principal amount of this Note
shall be payable on the earlier of April 20, 2007 (the "Class A-2 Final
Scheduled Distribution Date") and the Redemption Date, if any, selected pursuant
to the Indenture. No payments of principal of the Class A-2 Notes shall be made
until the principal amount of the Class A-1 Notes has been reduced to zero.

                                       D-1

<PAGE>

         The Issuer will pay interest on this Note at the rate per annum shown
above on each Distribution Date until the principal of this Note is paid or made
available for payment, on the principal amount of this Note outstanding on the
preceding Distribution Date (after giving effect to all payments of principal
made on the preceding Distribution Date), or on the Closing Date in the case of
the first Distribution Date or if no interest has yet been paid, subject to
certain limitations contained in the Indenture. Interest on this Note will
accrue for each Distribution Date from, and including, the 20th day of the month
of the prior Distribution Date on which interest has been paid to, but
excluding, the 20th day of the month of the current Distribution Date or, in the
case of the first Distribution Date or if no interest has yet been paid, from,
and including, November 25, 2003. The Issuer shall pay interest on overdue
installments of interest at the Class A-2 Rate to the extent lawful. Interest
will be computed on the basis of a 360-day year consisting of twelve 30-day
months. Such principal of and interest on this Note shall be paid in the manner
specified on the reverse hereof.

         The principal of and interest on this Note are payable in such coin or
currency of the United States as at the time of payment is legal tender for
payment of public and private debts. All payments made by the Issuer with
respect to this Note shall be applied first to interest due and payable on this
Note as provided above and then to the unpaid principal of this Note.

         Reference is made to the further provisions of this Note set forth on
the reverse hereof, which shall have the same effect as though fully set forth
on the face of this Note.

         Unless the certificate of authentication hereon has been executed by
the Trustee whose name appears below by manual signature, this Note shall not be
entitled to any benefit under the Indenture referred to on the reverse hereof,
or be valid or obligatory for any purpose.

                                      D-2

<PAGE>

         IN WITNESS WHEREOF, the Issuer has caused this instrument to be signed,
manually or in facsimile, by an Authorized Officer, as set forth below.

Date: November __, 2003                 WFS FINANCIAL 2003-4 OWNER TRUST

                                        By:  CHASE MANHATTAN BANK USA, NATIONAL
                                             ASSOCIATION,
                                             not in its individual capacity but
                                             solely on behalf of the Issuer as
                                             Owner Trustee, under the Trust
                                             Agreement

                                        By:  ___________________________________
                                             Name:
                                             Title:

                     TRUSTEE'S CERTIFICATE OF AUTHENTICATION

         This is one of the Notes designated above and referred to in the
within-mentioned Indenture.

                                        DEUTSCHE BANK TRUST COMPANY AMERICAS,
                                        not in its individual capacity but
                                        solely as Trustee,

                                        By:  ___________________________________
                                                     Authorized Signatory

                                      D-3

<PAGE>

                           [REVERSE OF CLASS A-2 NOTE]

         This Note is one of a duly authorized issue of Auto Receivable Backed
Notes of the Issuer, designated as its 1.67% Class A-2 Notes (the "Class A-2
Notes"), all issued under an Indenture, dated as of November 1, 2003 (the
"Indenture"), between the Issuer and Deutsche Bank Trust Company Americas, as
trustee (the "Trustee"), to which Indenture and all indentures supplemental
thereto reference is hereby made for a statement of the respective rights and
obligations thereunder of the Issuer, the Trustee and the Holders of the Notes.
The Notes are subject to all terms of the Indenture. All terms used in this Note
that are defined in the Indenture, as supplemented or amended, shall have the
meanings assigned to them in or pursuant to the Indenture, as so supplemented or
amended.

         The Class A-1 Notes, the Class A-2 Notes, the Class A-3 Notes, Class
A-4 Notes, the Class B Notes, the Class C Notes and the Class D Notes
(collectively, the "Notes") are and, except as otherwise provided in the
Indenture and the Sale and Servicing Agreement, will be equally and ratably
secured by the collateral pledged as security therefor as provided in the
Indenture.

         Principal payable on the Class A-2 Notes will be paid on each
Distribution Date in the amount specified in the Indenture and in the Sale and
Servicing Agreement. As described above, the entire unpaid principal amount of
this Note will be payable on the earlier of the Class A-2 Final Scheduled
Distribution Date and the Redemption Date, if any, selected pursuant to the
Indenture. Notwithstanding the foregoing, under certain circumstances, the
entire unpaid principal amount of the Class A-2 Notes shall be due and payable
following the occurrence and continuance of an Event of Default, as described in
the Indenture. All principal payments on the Class A-2 Notes shall be made pro
rata to the Class A-2 Noteholders entitled thereto.

         Payments of principal and interest on this Note due and payable on each
Distribution Date or Redemption Date shall be made by check mailed to the Person
whose name appears as the Registered Holder of this Note (or one or more
Predecessor Notes) on the Note Register as of the close of business on the
related Record Date, except that with respect to Notes registered on the Record
Date in the name of the nominee of the Clearing Agency (initially, such nominee
to be Cede & Co.), payments will be made by wire transfer in immediately
available funds to the account designated by such nominee. Such checks shall be
mailed to the Person entitled thereto at the address of such Person as it
appears on the Note Register as of the applicable Record Date without requiring
that this Note be submitted for notation of payment. Any reduction in the
principal amount of this Note (or any one or more Predecessor Notes) affected by
any payments made on any Distribution Date or Redemption Date shall be binding
upon all future Holders of this Note and of any Note issued upon the
registration of transfer hereof or in exchange hereof or in lieu hereof, whether
or not noted hereon. If funds are expected to be available, as provided in the
Indenture, for payment in full of the remaining unpaid principal amount of this
Note on a Distribution Date or Redemption Date, then the Trustee, in the name of
and on behalf of the Issuer, will notify the Person who was the Registered
Holder hereof as of the Record Date preceding such Distribution Date or
Redemption Date by notice mailed within 20 days of such Distribution Date or
Redemption Date and the amount then due and payable shall be payable only upon
presentation and surrender of this Note at the Corporate Trust Office of the
Trustee or at the office of the Trustee's agent appointed for such purposes
located in The City of New York.

                                       D-4

<PAGE>

         As provided in the Indenture, the Notes may be redeemed pursuant to the
Indenture, in whole, but not in part, at the option of the Seller, on any
Distribution Date following the last day of a Collection Period as of which the
Aggregate Principal Balance is less than or equal to $142,500,000.

         As provided in the Indenture and subject to certain limitations set
forth therein, the transfer of this Note may be registered on the Note Register
upon surrender of this Note for registration of transfer at the office or agency
designated by the Issuer pursuant to the Indenture. No service charge will be
charged for any registration of transfer or exchange of this Note, but the
transferor may be required to pay a sum sufficient to cover any tax or other
governmental charge that may be imposed in connection with any such registration
of transfer or exchange.

         Each Noteholder or Note Owner, by acceptance of a Note or, in the case
of a Note Owner, a beneficial interest in a Note, covenants and agrees that no
recourse may be taken, directly or indirectly, with respect to the obligations
of the Issuer, the Owner Trustee or the Trustee on the Notes or under the
Indenture or any certificate or other writing delivered in connection therewith,
against (i) the Trustee or the Owner Trustee in its individual capacity, (ii)
any owner of a beneficial interest in the Issuer or (iii) any partner, owner,
beneficiary, agent, officer, director or employee of the Trustee or the Owner
Trustee in its individual capacity, any holder of a beneficial interest in the
Issuer, the Owner Trustee or the Trustee or of any successor or assign of the
Trustee or the Owner Trustee in its individual capacity, except as any such
Person may have expressly agreed and except that any such partner, owner or
beneficiary shall be fully liable, to the extent provided by applicable law, for
any unpaid consideration for stock, unpaid capital contribution or failure to
pay any installment or call owing to such entity.

         Each Noteholder or Note Owner, by acceptance of a Note or, in the case
of a Note Owner, a beneficial interest in a Note, covenants and agrees that by
accepting the benefits of the Indenture and such Note that such Noteholder or
Note Owner will not at any time institute against the Seller or the Issuer, or
join in any institution against the Seller or the Issuer of, any bankruptcy,
reorganization, arrangement, insolvency or liquidation proceedings under any
United States federal or state bankruptcy or similar law in connection with any
obligations relating to the Notes, the Indenture or the other Basic Documents.

         The Issuer has entered into the Indenture, and this Note is issued with
the intention that, for federal, state and local income, single business and
franchise tax purposes, the Notes will qualify as indebtedness of the Issuer
secured by the Trust Estate. Each Noteholder, by acceptance of a Note (and each
Note Owner by acceptance of a beneficial interest in a Note), agrees to treat
the Notes for federal, state and local income, single business and franchise tax
purposes as indebtedness of the Issuer.

         Prior to the due presentment for registration of transfer of this Note,
the Issuer and the Trustee and any agent of the Issuer and the Trustee may treat
the Person in whose name this Note (as of the day of determination or as of such
other date as may be specified in the Indenture) is registered as the owner
hereof for all purposes, whether or not this Note be overdue, and neither the
Issuer, the Trustee nor any such agent shall be affected by notice to the
contrary.

                                       D-5

<PAGE>

         The Indenture permits, with certain exceptions as therein provided, the
amendment thereof and the modification of the rights and obligations of the
Issuer and the rights of the Holders of the Notes under the Indenture at any
time by the Issuer with the consent of the Holders of Notes representing at
least 66 2/3% of the Outstanding Amount of the Notes of the Controlling Class.
The Indenture also contains provisions permitting the Holders of Notes
representing specified percentages of the Outstanding Amount of the Notes or the
Notes of the Controlling Class, on behalf of the Holders of all the Notes, to
waive compliance by the Issuer with certain provisions of the Indenture and
certain past defaults under the Indenture and their consequences. Any such
consent or waiver by the Holder of this Note (or any one of more Predecessor
Notes) shall be conclusive and binding upon such Holder and upon all future
Holders of this Note and of any Note issued upon the registration of transfer
hereof or in exchange hereof or in lieu hereof whether or not notation of such
consent or waiver is made upon this Note. The Indenture also permits the Trustee
to amend or waive certain terms and conditions set forth in the Indenture
without the consent of Holders of the Notes issued thereunder.

         The Notes are issuable only in registered form in denominations as
provided in the Indenture, subject to certain limitations therein set forth.

         This Note and the Indenture shall be construed in accordance with the
laws of the State of California, and the obligations, rights and remedies of the
parties hereunder and thereunder shall be determined in accordance with such
laws, except that the duties of the Trustee under the Indenture shall be
governed by New York law.

         No reference herein to the Indenture and no provision of this Note or
of the Indenture shall alter or impair the obligation of the Issuer, which is
absolute and unconditional, to pay the principal of and interest on this Note at
the times, place and rate, and in the coin or currency herein prescribed.

                                      D-6

<PAGE>

                                                                       EXHIBIT E

                             FORM OF CLASS A-3 NOTE

         THIS NOTE IS SUBORDINATED IN RIGHT OF PAYMENT TO THE CLASS A-1 NOTES
AND THE CLASS A-2 NOTES TO THE EXTENT DESCRIBED IN THE INDENTURE REFERRED TO
HEREIN.

         UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION ("DTC"), TO THE ISSUER OR ITS
AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS
REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN
AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO
SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY
TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON
IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST
HEREIN.

         THIS SECURITY IS NOT A SAVINGS ACCOUNT OR DEPOSIT AND IT IS NOT INSURED
BY THE UNITED STATES OR ANY AGENCY OR FUND OF THE UNITED STATES.

         THE PRINCIPAL OF THIS NOTE IS PAYABLE IN FULL ON THE DATE SET FORTH
HEREIN. ACCORDINGLY, THE OUTSTANDING PRINCIPAL AMOUNT OF THIS NOTE AT ANY TIME
MAY BE LESS THAN THE AMOUNT SHOWN ON THE FACE HEREOF.

                        WFS FINANCIAL 2003-4 OWNER TRUST

                              2.39% CLASS A-3 NOTES

REGISTERED                                                         $168,000,000

No. R-A3                                                   CUSIP NO. 92927C AC 4

         WFS Financial 2003-4 Owner Trust, a statutory trust organized and
existing under the laws of the State of Delaware (the "Issuer"), for value
received, hereby promises to pay to Cede & Co., or registered assigns, the
principal sum of One Hundred Sixty Eight Million Dollars ($168,000,000), payable
to the extent described in the Indenture referred to on the reverse hereof on
each Distribution Date; provided, however, that the entire unpaid principal
amount of this Note shall be payable on the earlier of January 22, 2008 (the
"Class A-3 Final Scheduled Distribution Date") and the Redemption Date, if any,
selected pursuant to the Indenture. No payments of principal of the Class A-3
Notes shall be made until the principal amount of the Class A-1 Notes and the
Class A-2 Notes has been reduced to zero.

         The Issuer will pay interest on this Note at the rate per annum shown
above on each Distribution Date until the principal of this Note is paid or made
available for payment, on the

                                       E-1

<PAGE>

principal amount of this Note outstanding on the preceding Distribution Date
(after giving effect to all payments of principal made on the preceding
Distribution Date), or on the Closing Date in the case of the first Distribution
Date or if no interest has yet been paid, subject to certain limitations
contained in the Indenture. Interest on this Note will accrue for each
Distribution Date from, and including, the 20th day of the month of the prior
Distribution Date on which interest has been paid to, but excluding, the 20th
day of the month of the current Distribution Date or, in the case of the first
Distribution Date or if no interest has yet been paid, from, and including,
November 25, 2003. The Issuer shall pay interest on overdue installments of
interest at the Class A-3 Rate to the extent lawful. Interest will be computed
on the basis of a 360-day year consisting of twelve 30-day months. Such
principal of and interest on this Note shall be paid in the manner specified on
the reverse hereof.

         The principal of and interest on this Note are payable in such coin or
currency of the United States as at the time of payment is legal tender for
payment of public and private debts. All payments made by the Issuer with
respect to this Note shall be applied first to interest due and payable on this
Note as provided above and then to the unpaid principal of this Note.

         Reference is made to the further provisions of this Note set forth on
the reverse hereof, which shall have the same effect as though fully set forth
on the face of this Note.

         Unless the certificate of authentication hereon has been executed by
the Trustee whose name appears below by manual signature, this Note shall not be
entitled to any benefit under the Indenture referred to on the reverse hereof,
or be valid or obligatory for any purpose.

                                      E-2

<PAGE>

         IN WITNESS WHEREOF, the Issuer has caused this instrument to be signed,
manually or in facsimile, by an Authorized Officer, as set forth below.

Date: November __, 2003                 WFS FINANCIAL 2003-4 OWNER TRUST

                                        By:  CHASE MANHATTAN BANK USA, NATIONAL
                                             ASSOCIATION,
                                             not in its individual capacity but
                                             solely on behalf of the Issuer as
                                             Owner Trustee, under the Trust
                                             Agreement

                                        By:  ___________________________________
                                             Name:
                                             Title:

                     TRUSTEE'S CERTIFICATE OF AUTHENTICATION

         This is one of the Notes designated above and referred to in the
within-mentioned Indenture.

                                        DEUTSCHE BANK TRUST COMPANY AMERICAS,
                                        not in its individual capacity but
                                        solely as Trustee,

                                        By:  ___________________________________
                                                     Authorized Signatory

                                       E-3

<PAGE>

                           [REVERSE OF CLASS A-3 NOTE]

         This Note is one of a duly authorized issue of Auto Receivable Backed
Notes of the Issuer, designated as its 2.39% Class A-3 Notes (the "Class A-3
Notes"), all issued under an Indenture, dated as of November 1, 2003 (the
"Indenture"), between the Issuer and Deutsche Bank Trust Company Americas, as
trustee (the "Trustee"), to which Indenture and all indentures supplemental
thereto reference is hereby made for a statement of the respective rights and
obligations thereunder of the Issuer, the Trustee and the Holders of the Notes.
The Notes are subject to all terms of the Indenture. All terms used in this Note
that are defined in the Indenture, as supplemented or amended, shall have the
meanings assigned to them in or pursuant to the Indenture, as so supplemented or
amended.

         The Class A-1 Notes, the Class A-2 Notes, the Class A-3 Notes, Class
A-4 Notes, the Class B Notes, the Class C Notes and the Class D Notes
(collectively, the "Notes") are and, except as otherwise provided in the
Indenture and the Sale and Servicing Agreement, will be equally and ratably
secured by the collateral pledged as security therefor as provided in the
Indenture.

         Principal payable on the Class A-3 Notes will be paid on each
Distribution Date in the amount specified in the Indenture and in the Sale and
Servicing Agreement. As described above, the entire unpaid principal amount of
this Note will be payable on the earlier of the Class A-3 Final Scheduled
Distribution Date and the Redemption Date, if any, selected pursuant to the
Indenture. Notwithstanding the foregoing, under certain circumstances, the
entire unpaid principal amount of the Class A-3 Notes shall be due and payable
following the occurrence and continuance of an Event of Default, as described in
the Indenture. All principal payments on the Class A-3 Notes shall be made pro
rata to the Class A-3 Noteholders entitled thereto.

         Payments of principal and interest on this Note due and payable on each
Distribution Date or Redemption Date shall be made by check mailed to the Person
whose name appears as the Registered Holder of this Note (or one or more
Predecessor Notes) on the Note Register as of the close of business on the
related Record Date, except that with respect to Notes registered on the Record
Date in the name of the nominee of the Clearing Agency (initially, such nominee
to be Cede & Co.), payments will be made by wire transfer in immediately
available funds to the account designated by such nominee. Such checks shall be
mailed to the Person entitled thereto at the address of such Person as it
appears on the Note Register as of the applicable Record Date without requiring
that this Note be submitted for notation of payment. Any reduction in the
principal amount of this Note (or any one or more Predecessor Notes) affected by
any payments made on any Distribution Date or Redemption Date shall be binding
upon all future Holders of this Note and of any Note issued upon the
registration of transfer hereof or in exchange hereof or in lieu hereof, whether
or not noted hereon. If funds are expected to be available, as provided in the
Indenture, for payment in full of the remaining unpaid principal amount of this
Note on a Distribution Date or Redemption Date, then the Trustee, in the name of
and on behalf of the Issuer, will notify the Person who was the Registered
Holder hereof as of the Record Date preceding such Distribution Date or
Redemption Date by notice mailed within 20 days of such Distribution Date or
Redemption Date and the amount then due and payable shall be payable only upon
presentation and surrender of this Note at the Corporate Trust Office of the
Trustee or at the office of the Trustee's agent appointed for such purposes
located in The City of New York.

                                      E-4

<PAGE>

         As provided in the Indenture, the Notes may be redeemed pursuant to the
Indenture, in whole, but not in part, at the option of the Seller, on any
Distribution Date following the last day of a Collection Period as of which the
Aggregate Principal Balance is less than or equal to $142,500,000.

         As provided in the Indenture and subject to certain limitations set
forth therein, the transfer of this Note may be registered on the Note Register
upon surrender of this Note for registration of transfer at the office or agency
designated by the Issuer pursuant to the Indenture. No service charge will be
charged for any registration of transfer or exchange of this Note, but the
transferor may be required to pay a sum sufficient to cover any tax or other
governmental charge that may be imposed in connection with any such registration
of transfer or exchange.

         Each Noteholder or Note Owner, by acceptance of a Note or, in the case
of a Note Owner, a beneficial interest in a Note, covenants and agrees that no
recourse may be taken, directly or indirectly, with respect to the obligations
of the Issuer, the Owner Trustee or the Trustee on the Notes or under the
Indenture or any certificate or other writing delivered in connection therewith,
against (i) the Trustee or the Owner Trustee in its individual capacity, (ii)
any owner of a beneficial interest in the Issuer or (iii) any partner, owner,
beneficiary, agent, officer, director or employee of the Trustee or the Owner
Trustee in its individual capacity, any holder of a beneficial interest in the
Issuer, the Owner Trustee or the Trustee or of any successor or assign of the
Trustee or the Owner Trustee in its individual capacity, except as any such
Person may have expressly agreed and except that any such partner, owner or
beneficiary shall be fully liable, to the extent provided by applicable law, for
any unpaid consideration for stock, unpaid capital contribution or failure to
pay any installment or call owing to such entity.

         Each Noteholder or Note Owner, by acceptance of a Note or, in the case
of a Note Owner, a beneficial interest in a Note, covenants and agrees that by
accepting the benefits of the Indenture and such Note that such Noteholder or
Note Owner will not at any time institute against the Seller or the Issuer, or
join in any institution against the Seller or the Issuer of, any bankruptcy,
reorganization, arrangement, insolvency or liquidation proceedings under any
United States federal or state bankruptcy or similar law in connection with any
obligations relating to the Notes, the Indenture or the other Basic Documents.

         The Issuer has entered into the Indenture, and this Note is issued with
the intention that, for federal, state and local income, single business and
franchise tax purposes, the Notes will qualify as indebtedness of the Issuer
secured by the Trust Estate. Each Noteholder, by acceptance of a Note (and each
Note Owner by acceptance of a beneficial interest in a Note), agrees to treat
the Notes for federal, state and local income, single business and franchise tax
purposes as indebtedness of the Issuer.

         Prior to the due presentment for registration of transfer of this Note,
the Issuer and the Trustee and any agent of the Issuer or the Trustee may treat
the Person in whose name this Note (as of the day of determination or as of such
other date as may be specified in the Indenture) is registered as the owner
hereof for all purposes, whether or not this Note be overdue, and neither the
Issuer, the Trustee nor any such agent shall be affected by notice to the
contrary.

                                      E-5

<PAGE>

         The Indenture permits, with certain exceptions as therein provided, the
amendment thereof and the modification of the rights and obligations of the
Issuer and the rights of the Holders of the Notes under the Indenture at any
time by the Issuer with the consent of the Holders of Notes representing at
least 66 2/3% of the Outstanding Amount of the Notes of the Controlling Class.
The Indenture also contains provisions permitting the Holders of Notes
representing specified percentages of the Outstanding Amount of the Notes or of
the Notes of the Controlling Class, on behalf of the Holders of all the Notes,
to waive compliance by the Issuer with certain provisions of the Indenture and
certain past defaults under the Indenture and their consequences. Any such
consent or waiver by the Holder of this Note (or any one of more Predecessor
Notes) shall be conclusive and binding upon such Holder and upon all future
Holders of this Note and of any Note issued upon the registration of transfer
hereof or in exchange hereof or in lieu hereof whether or not notation of such
consent or waiver is made upon this Note. The Indenture also permits the Trustee
to amend or waive certain terms and conditions set forth in the Indenture
without the consent of Holders of the Notes issued thereunder.

         The Notes are issuable only in registered form in denominations as
provided in the Indenture, subject to certain limitations therein set forth.

         This Note and the Indenture shall be construed in accordance with the
laws of the State of California, and the obligations, rights and remedies of the
parties hereunder and thereunder shall be determined in accordance with such
laws, except that the duties of the Trustee under the Indenture shall be
governed by New York law.

         No reference herein to the Indenture and no provision of this Note or
of the Indenture shall alter or impair the obligation of the Issuer, which is
absolute and unconditional, to pay the principal of and interest on this Note at
the times, place and rate, and in the coin or currency herein prescribed.

                                      E-6

<PAGE>

                                                                       EXHIBIT F

                             FORM OF CLASS A-4 NOTE

         THIS NOTE IS SUBORDINATED IN RIGHT OF PAYMENT TO THE CLASS A-1 NOTES,
THE CLASS A-2 NOTES AND THE CLASS A-3 NOTES TO THE EXTENT DESCRIBED IN THE
INDENTURE REFERRED TO HEREIN.

         UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION ("DTC"), TO THE ISSUER OR ITS
AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS
REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN
AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO
SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY
TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON
IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST
HEREIN.

         THIS SECURITY IS NOT A SAVINGS ACCOUNT OR DEPOSIT AND IT IS NOT INSURED
BY THE UNITED STATES OR ANY AGENCY OR FUND OF THE UNITED STATES.

         THE PRINCIPAL OF THIS NOTE IS PAYABLE IN FULL ON THE DATE SET FORTH
HEREIN. ACCORDINGLY, THE OUTSTANDING PRINCIPAL AMOUNT OF THIS NOTE AT ANY TIME
MAY BE LESS THAN THE AMOUNT SHOWN ON THE FACE HEREOF.

                        WFS FINANCIAL 2003-4 OWNER TRUST

                              3.15% CLASS A-4 NOTE

REGISTERED                                                         $373,300,000

No. R-A4                                                   CUSIP NO. 92927C AD 2

         WFS Financial 2003-4 Owner Trust, a statutory trust organized and
existing under the laws of the State of Delaware (the "Issuer"), for value
received, hereby promises to pay to Cede & Co., or registered assigns, the
principal sum of Three Hundred Seventy Three Million Three Hundred Thousand
Dollars ($373,300,000), payable to the extent described in the Indenture
referred to on the reverse hereof on each Distribution Date; provided, however,
that the entire unpaid principal amount of this Note shall be payable on the
earlier of May 20, 2011 (the "Class A-4 Final Scheduled Distribution Date") and
the Redemption Date, if any, selected pursuant to the Indenture. No payments of
principal of the Class A-4 Notes shall be made until the principal amount of the
Class A-1 Notes, the Class A-2 Notes and the Class A-3 Notes has been reduced to
zero.

                                      F-1

<PAGE>

         The Issuer will pay interest on this Note at the rate per annum shown
above on each Distribution Date until the principal of this Note is paid or made
available for payment, on the principal amount of this Note outstanding on the
preceding Distribution Date (after giving effect to all payments of principal
made on the preceding Distribution Date), or on the Closing Date in the case of
the first Distribution Date or if no interest has yet been paid, subject to
certain limitations contained in the Indenture. Interest on this Note will
accrue for each Distribution Date from, and including, the 20th day of the month
of the prior Distribution Date on which interest has been paid to, but
excluding, the 20th day of the month of the current Distribution Date or, in the
case of the first Distribution Date or if no interest has yet been paid, from,
and including, November 25, 2003. The Issuer shall pay interest on overdue
installments of interest at the Class A-4 Interest Rate to the extent lawful.
Interest will be computed on the basis of a 360-day year consisting of twelve
30-day months. Such principal of and interest on this Note shall be paid in the
manner specified on the reverse hereof.

         The principal of and interest on this Note are payable in such coin or
currency of the United States as at the time of payment is legal tender for
payment of public and private debts. All payments made by the Issuer with
respect to this Note shall be applied first to interest due and payable on this
Note as provided above and then to the unpaid principal of this Note.

         Reference is made to the further provisions of this Note set forth on
the reverse hereof, which shall have the same effect as though fully set forth
on the face of this Note.

         Unless the certificate of authentication hereon has been executed by
the Trustee whose name appears below by manual signature, this Note shall not be
entitled to any benefit under the Indenture referred to on the reverse hereof,
or be valid or obligatory for any purpose.

                                      F-2

<PAGE>

         IN WITNESS WHEREOF, the Issuer has caused this instrument to be signed,
manually or in facsimile, by an Authorized Officer, as set forth below.

Date: November __, 2003                 WFS FINANCIAL 2003-4 OWNER TRUST

                                        By:  CHASE MANHATTAN BANK USA, NATIONAL
                                             ASSOCIATION,
                                             not in its individual capacity but
                                             solely on behalf of the Issuer as
                                             Owner Trustee, under the Trust
                                             Agreement

                                        By:  ___________________________________
                                             Name:
                                             Title:

                     TRUSTEE'S CERTIFICATE OF AUTHENTICATION

         This is one of the Notes designated above and referred to in the
within-mentioned Indenture.

                                        DEUTSCHE BANK TRUST COMPANY AMERICAS,
                                        not in its individual capacity but
                                        solely as Trustee

                                        By:  ___________________________________
                                                    Authorized Signatory

                                      F-3

<PAGE>

                           [REVERSE OF CLASS A-4 NOTE]

         This Note is one of a duly authorized issue of Auto Receivable Backed
Notes of the Issuer, designated as its 3.15% Class A-4 Notes (the "Class A-4
Notes"), all issued under an Indenture, dated as of November 1, 2003 (the
"Indenture"), between the Issuer and Deutsche Bank Trust Company Americas, as
trustee (the "Trustee"), to which Indenture and all indentures supplemental
thereto reference is hereby made for a statement of the respective rights and
obligations thereunder of the Issuer, the Trustee and the Holders of the Notes.
The Notes are subject to all terms of the Indenture. All terms used in this Note
that are defined in the Indenture, as supplemented or amended, shall have the
meanings assigned to them in or pursuant to the Indenture, as so supplemented or
amended.

         The Class A-1 Notes, the Class A-2 Notes, the Class A-3 Notes, the
Class A-4 Notes, the Class B Notes, the Class C Notes and the Class D Notes
(collectively, the "Notes") are and, except as otherwise provided in the
Indenture and the Sale and Servicing Agreement, will be equally and ratably
secured by the collateral pledged as security therefor as provided in the
Indenture.

         Principal payable on the Class A-4 Notes will be paid on each
Distribution Date in the amount specified in the Indenture and in the Sale and
Servicing Agreement. As described above, the entire unpaid principal amount of
this Note will be payable on the earlier of the Class A-4 Final Scheduled
Distribution Date and the Redemption Date, if any, selected pursuant to the
Indenture. Notwithstanding the foregoing, under certain circumstances, the
entire unpaid principal amount of the Class A-4 Notes shall be due and payable
following the occurrence and continuance of an Event of Default, as described in
the Indenture. All principal payments on the Class A-4 Notes shall be made pro
rata to the Class A-4 Noteholders entitled thereto.

         Payments of principal and interest on this Note due and payable on each
Distribution Date or Redemption Date shall be made by check mailed to the Person
whose name appears as the Registered Holder of this Note (or one or more
Predecessor Notes) on the Note Register as of the close of business on the
related Record Date, except that with respect to Notes registered on the Record
Date in the name of the nominee of the Clearing Agency (initially, such nominee
to be Cede & Co.), payments will be made by wire transfer in immediately
available funds to the account designated by such nominee. Such checks shall be
mailed to the Person entitled thereto at the address of such Person as it
appears on the Note Register as of the applicable Record Date without requiring
that this Note be submitted for notation of payment. Any reduction in the
principal amount of this Note (or any one or more Predecessor Notes) affected by
any payments made on any Distribution Date or Redemption Date shall be binding
upon all future Holders of this Note and of any Note issued upon the
registration of transfer hereof or in exchange hereof or in lieu hereof, whether
or not noted hereon. If funds are expected to be available, as provided in the
Indenture, for payment in full of the remaining unpaid principal amount of this
Note on a Distribution Date or Redemption Date, then the Trustee, in the name of
and on behalf of the Issuer, will notify the Person who was the Registered
Holder hereof as of the Record Date preceding such Distribution Date or
Redemption Date by notice mailed within 20 days of such Distribution Date or
Redemption Date and the amount then due and payable shall be payable only upon
presentation and surrender of this Note at the Corporate Trust Office of the
Trustee or at the office of the Trustee's agent appointed for such purposes
located in The City of New York.

                                      F-4

<PAGE>

         As provided in the Indenture, the Notes may be redeemed pursuant to the
Indenture, in whole, but not in part, at the option of the Seller, on any
Distribution Date following the last day of a Collection Period as of which the
Aggregate Principal Balance is less than or equal to $142,500,000.

         As provided in the Indenture and subject to certain limitations set
forth therein, the transfer of this Note may be registered on the Note Register
upon surrender of this Note for registration of transfer at the office or agency
designated by the Issuer pursuant to the Indenture. No service charge will be
charged for any registration of transfer or exchange of this Note, but the
transferor may be required to pay a sum sufficient to cover any tax or other
governmental charge that may be imposed in connection with any such registration
of transfer or exchange.

         Each Noteholder or Note Owner, by acceptance of a Note or, in the case
of a Note Owner, a beneficial interest in a Note, covenants and agrees that no
recourse may be taken, directly or indirectly, with respect to the obligations
of the Issuer, the Owner Trustee or the Trustee on the Notes or under the
Indenture or any certificate or other writing delivered in connection therewith,
against (i) the Trustee or the Owner Trustee in its individual capacity, (ii)
any owner of a beneficial interest in the Issuer or (iii) any partner, owner,
beneficiary, agent, officer, director or employee of the Trustee or the Owner
Trustee in its individual capacity, any holder of a beneficial interest in the
Issuer, the Owner Trustee or the Trustee or of any successor or assign of the
Trustee or the Owner Trustee in its individual capacity, except as any such
Person may have expressly agreed and except that any such partner, owner or
beneficiary shall be fully liable, to the extent provided by applicable law, for
any unpaid consideration for stock, unpaid capital contribution or failure to
pay any installment or call owing to such entity.

         Each Noteholder or Note Owner, by acceptance of a Note or, in the case
of a Note Owner, a beneficial interest in a Note, covenants and agrees that by
accepting the benefits of the Indenture and such Note that such Noteholder or
Note Owner will not at any time institute against the Seller or the Issuer, or
join in any institution against the Seller or the Issuer of, any bankruptcy,
reorganization, arrangement, insolvency or liquidation proceedings under any
United States federal or state bankruptcy or similar law in connection with any
obligations relating to the Notes, the Indenture or the other Basic Documents.

         The Issuer has entered into the Indenture, and this Note is issued with
the intention that, for federal, state and local income, single business and
franchise tax purposes, the Notes will qualify as indebtedness of the Issuer
secured by the Trust Estate. Each Noteholder, by acceptance of a Note (and each
Note Owner by acceptance of a beneficial interest in a Note), agrees to treat
the Notes for federal, state and local income, single business and franchise tax
purposes as indebtedness of the Issuer.

         Prior to the due presentment for registration of transfer of this Note,
the Issuer and the Trustee and any agent of the Issuer or the Trustee may treat
the Person in whose name this Note (as of the day of determination or as of such
other date as may be specified in the Indenture) is registered as the owner
hereof for all purposes, whether or not this Note be overdue, and neither the
Issuer, the Trustee nor any such agent shall be affected by notice to the
contrary.

                                      F-5

<PAGE>

         The Indenture permits, with certain exceptions as therein provided, the
amendment thereof and the modification of the rights and obligations of the
Issuer and the rights of the Holders of the Notes under the Indenture at any
time by the Issuer with the consent of the Holders of Notes representing at
least 66 2/3% of the Outstanding Amount of the Notes of the Controlling Class.
The Indenture also contains provisions permitting the Holders of Notes
representing specified percentages of the Outstanding Amount of the Notes or of
the Notes of the Controlling Class, on behalf of the Holders of all the Notes,
to waive compliance by the Issuer with certain provisions of the Indenture and
certain past defaults under the Indenture and their consequences. Any such
consent or waiver by the Holder of this Note (or any one of more Predecessor
Notes) shall be conclusive and binding upon such Holder and upon all future
Holders of this Note and of any Note issued upon the registration of transfer
hereof or in exchange hereof or in lieu hereof whether or not notation of such
consent or waiver is made upon this Note. The Indenture also permits the Trustee
to amend or waive certain terms and conditions set forth in the Indenture
without the consent of Holders of the Notes issued thereunder.

         The Notes are issuable only in registered form in denominations as
provided in the Indenture, subject to certain limitations therein set forth.

         This Note and the Indenture shall be construed in accordance with the
laws of the State of California, and the obligations, rights and remedies of the
parties hereunder and thereunder shall be determined in accordance with such
laws, except that the duties of the Trustee under the Indenture shall be
governed by New York law.

         No reference herein to the Indenture and no provision of this Note or
of the Indenture shall alter or impair the obligation of the Issuer, which is
absolute and unconditional, to pay the principal of and interest on this Note at
the times, place and rate, and in the coin or currency herein prescribed.

                                      F-6

<PAGE>

                                                                       EXHIBIT G

                              FORM OF CLASS B NOTE

         THIS NOTE IS SUBORDINATED IN RIGHT OF PAYMENT TO THE CLASS A-1 NOTES,
THE CLASS A-2 NOTES, THE CLASS A-3 NOTES AND THE CLASS A-4 NOTES TO THE EXTENT
DESCRIBED IN THE INDENTURE REFERRED TO HEREIN.

         UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION ("DTC"), TO THE ISSUER OR ITS
AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS
REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN
AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO
SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY
TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON
IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST
HEREIN.

         THIS SECURITY IS NOT A SAVINGS ACCOUNT OR DEPOSIT AND IT IS NOT INSURED
BY THE UNITED STATES OR ANY AGENCY OR FUND OF THE UNITED STATES.

         THE PRINCIPAL OF THIS NOTE IS PAYABLE IN FULL ON THE DATE SET FORTH
HEREIN. ACCORDINGLY, THE OUTSTANDING PRINCIPAL AMOUNT OF THIS NOTE AT ANY TIME
MAY BE LESS THAN THE AMOUNT SHOWN ON THE FACE HEREOF.

                        WFS FINANCIAL 2003-4 OWNER TRUST

                               2.73% CLASS B NOTE

REGISTERED                                                           $53,430,000

No. R-B-1                                                  CUSIP NO. 92927C AE 0

         WFS Financial 2003-4 Owner Trust, a statutory trust organized and
existing under the laws of the State of Delaware (the "Issuer"), for value
received, hereby promises to pay to Cede & Co., or registered assigns, the
principal sum of Fifty Three Million Four Hundred Thirty Thousand Dollars
($53,430,000), payable to the extent described in the Indenture referred to on
the reverse hereof on each Distribution Date; provided, however, that the entire
unpaid principal amount of this Note shall be payable on the earlier of May 20,
2011 (the "Class B Final Scheduled Distribution Date") and the Redemption Date,
if any, selected pursuant to the Indenture. No payments of principal of the
Class B Notes shall be made until the principal amount of the Class A-1 Notes,
the Class A-2 Notes, the Class A-3 Notes and the Class A-4 Notes has been
reduced to zero.

                                      G-1

<PAGE>

         The Issuer will pay interest on this Note at the rate per annum shown
above on each Distribution Date until the principal of this Note is paid or made
available for payment, on the principal amount of this Note outstanding on the
preceding Distribution Date (after giving effect to all payments of principal
made on the preceding Distribution Date), or on the Closing Date in the case of
the first Distribution Date or if no interest has yet been paid, subject to
certain limitations contained in the Indenture. Interest on this Note will
accrue for each Distribution Date from, and including, the 20th day of the month
of the prior Distribution Date on which interest has been paid to, but
excluding, the 20th day of the month of the current Distribution Date or, in the
case of the first Distribution Date or if no interest has yet been paid, from,
and including, November 25, 2003. The Issuer shall pay interest on overdue
installments of interest at the Class B Interest Rate to the extent lawful.
Interest will be computed on the basis of a 360-day year consisting of twelve
30-day months. Such principal of and interest on this Note shall be paid in the
manner specified on the reverse hereof.

         The principal of and interest on this Note are payable in such coin or
currency of the United States as at the time of payment is legal tender for
payment of public and private debts. All payments made by the Issuer with
respect to this Note shall be applied first to interest due and payable on this
Note as provided above and then to the unpaid principal of this Note.

         Reference is made to the further provisions of this Note set forth on
the reverse hereof, which shall have the same effect as though fully set forth
on the face of this Note.

         Unless the certificate of authentication hereon has been executed by
the Trustee whose name appears below by manual signature, this Note shall not be
entitled to any benefit under the Indenture referred to on the reverse hereof,
or be valid or obligatory for any purpose.

                                      G-2

<PAGE>

         IN WITNESS WHEREOF, the Issuer has caused this instrument to be signed,
manually or in facsimile, by an Authorized Officer, as set forth below.

Date: November __, 2003                 WFS FINANCIAL 2003-4 OWNER TRUST

                                        By:  CHASE MANHATTAN BANK USA, NATIONAL
                                             ASSOCIATION,
                                             not in its individual capacity but
                                             solely on behalf of the Issuer as
                                             Owner Trustee, under the Trust
                                             Agreement

                                        By:  ___________________________________
                                             Name:
                                             Title:

                     TRUSTEE'S CERTIFICATE OF AUTHENTICATION

         This is one of the Notes designated above and referred to in the
within-mentioned Indenture.

                                        DEUTSCHE BANK TRUST COMPANY AMERICAS,
                                        not in its individual capacity but
                                        solely as Trustee

                                        By:  ___________________________________
                                                     Authorized Signatory

                                      G-3
<PAGE>

                            [REVERSE OF CLASS B NOTE]

         This Note is one of a duly authorized issue of Auto Receivable Backed
Notes of the Issuer, designated as its 2.73% Class B Notes (the "Class B
Notes"), all issued under an Indenture, dated as of November 1, 2003 (the
"Indenture"), between the Issuer and Deutsche Bank Trust Company Americas, as
trustee (the "Trustee"), to which Indenture and all indentures supplemental
thereto reference is hereby made for a statement of the respective rights and
obligations thereunder of the Issuer, the Trustee and the Holders of the Notes.
The Notes are subject to all terms of the Indenture. All terms used in this Note
that are defined in the Indenture, as supplemented or amended, shall have the
meanings assigned to them in or pursuant to the Indenture, as so supplemented or
amended.

         The Class A-1 Notes, the Class A-2 Notes, the Class A-3 Notes, the
Class A-4 Notes, the Class B Notes, the Class C Notes and the Class D Notes
(collectively, the "Notes") are and, except as otherwise provided in the
Indenture and the Sale and Servicing Agreement, will be equally and ratably
secured by the collateral pledged as security therefor as provided in the
Indenture.

         Principal payable on the Class B Notes will be paid on each
Distribution Date in the amount specified in the Indenture and in the Sale and
Servicing Agreement. As described above, the entire unpaid principal amount of
this Note will be payable on the earlier of the Class B Final Scheduled
Distribution Date and the Redemption Date, if any, selected pursuant to the
Indenture. Notwithstanding the foregoing, under certain circumstances, the
entire unpaid principal amount of the Class B Notes shall be due and payable
following the occurrence and continuance of an Event of Default, as described in
the Indenture. All principal payments on the Class B Notes shall be made pro
rata to the Class B Noteholders entitled thereto.

         Payments of principal and interest on this Note due and payable on each
Distribution Date or Redemption Date shall be made by check mailed to the Person
whose name appears as the Registered Holder of this Note (or one or more
Predecessor Notes) on the Note Register as of the close of business on the
related Record Date, except that with respect to Notes registered on the Record
Date in the name of the nominee of the Clearing Agency (initially, such nominee
to be Cede & Co.), payments will be made by wire transfer in immediately
available funds to the account designated by such nominee. Such checks shall be
mailed to the Person entitled thereto at the address of such Person as it
appears on the Note Register as of the applicable Record Date without requiring
that this Note be submitted for notation of payment. Any reduction in the
principal amount of this Note (or any one or more Predecessor Notes) affected by
any payments made on any Distribution Date or Redemption Date shall be binding
upon all future Holders of this Note and of any Note issued upon the
registration of transfer hereof or in exchange hereof or in lieu hereof, whether
or not noted hereon. If funds are expected to be available, as provided in the
Indenture, for payment in full of the remaining unpaid principal amount of this
Note on a Distribution Date or Redemption Date, then the Trustee, in the name of
and on behalf of the Issuer, will notify the Person who was the Registered
Holder hereof as of the Record Date preceding such Distribution Date or
Redemption Date by notice mailed within 20 days of such Distribution Date or
Redemption Date and the amount then due and payable shall be payable only upon
presentation and surrender of this Note at the Corporate Trust Office of the
Trustee or at the office of the Trustee's agent appointed for such purposes
located in The City of New York.

                                      G-4

<PAGE>

         As provided in the Indenture, the Notes may be redeemed pursuant to the
Indenture, in whole, but not in part, at the option of the Seller, on any
Distribution Date following the last day of a Collection Period as of which the
Aggregate Principal Balance is less than or equal to $142,500,000.

         As provided in the Indenture and subject to certain limitations set
forth therein, the transfer of this Note may be registered on the Note Register
upon surrender of this Note for registration of transfer at the office or agency
designated by the Issuer pursuant to the Indenture. No service charge will be
charged for any registration of transfer or exchange of this Note, but the
transferor may be required to pay a sum sufficient to cover any tax or other
governmental charge that may be imposed in connection with any such registration
of transfer or exchange.

         Each Noteholder or Note Owner, by acceptance of a Note or, in the case
of a Note Owner, a beneficial interest in a Note, covenants and agrees that no
recourse may be taken, directly or indirectly, with respect to the obligations
of the Issuer, the Owner Trustee or the Trustee on the Notes or under the
Indenture or any certificate or other writing delivered in connection therewith,
against (i) the Trustee or the Owner Trustee in its individual capacity, (ii)
any owner of a beneficial interest in the Issuer or (iii) any partner, owner,
beneficiary, agent, officer, director or employee of the Trustee or the Owner
Trustee in its individual capacity, any holder of a beneficial interest in the
Issuer, the Owner Trustee or the Trustee or of any successor or assign of the
Trustee or the Owner Trustee in its individual capacity, except as any such
Person may have expressly agreed and except that any such partner, owner or
beneficiary shall be fully liable, to the extent provided by applicable law, for
any unpaid consideration for stock, unpaid capital contribution or failure to
pay any installment or call owing to such entity.

         Each Noteholder or Note Owner, by acceptance of a Note or, in the case
of a Note Owner, a beneficial interest in a Note, covenants and agrees that by
accepting the benefits of the Indenture and such Note that such Noteholder or
Note Owner will not at any time institute against the Seller or the Issuer, or
join in any institution against the Seller or the Issuer of, any bankruptcy,
reorganization, arrangement, insolvency or liquidation proceedings under any
United States federal or state bankruptcy or similar law in connection with any
obligations relating to the Notes, the Indenture or the other Basic Documents.

         The Issuer has entered into the Indenture, and this Note is issued with
the intention that, for federal, state and local income, single business and
franchise tax purposes, the Notes will qualify as indebtedness of the Issuer
secured by the Trust Estate. Each Noteholder, by acceptance of a Note (and each
Note Owner by acceptance of a beneficial interest in a Note), agrees to treat
the Notes for federal, state and local income, single business and franchise tax
purposes as indebtedness of the Issuer.

         Prior to the due presentment for registration of transfer of this Note,
the Issuer and the Trustee and any agent of the Issuer or the Trustee may treat
the Person in whose name this Note (as of the day of determination or as of such
other date as may be specified in the Indenture) is registered as the owner
hereof for all purposes, whether or not this Note be overdue, and neither the
Issuer, the Trustee nor any such agent shall be affected by notice to the
contrary.

                                      G-5

<PAGE>

         The Indenture permits, with certain exceptions as therein provided, the
amendment thereof and the modification of the rights and obligations of the
Issuer and the rights of the Holders of the Notes under the Indenture at any
time by the Issuer with the consent of the Holders of Notes representing at
least 66 2/3% of the Outstanding Amount of the Notes of the Controlling Class.
The Indenture also contains provisions permitting the Holders of Notes
representing specified percentages of the Outstanding Amount of the Notes or of
the Notes of the Controlling Class, on behalf of the Holders of all the Notes,
to waive compliance by the Issuer with certain provisions of the Indenture and
certain past defaults under the Indenture and their consequences. Any such
consent or waiver by the Holder of this Note (or any one of more Predecessor
Notes) shall be conclusive and binding upon such Holder and upon all future
Holders of this Note and of any Note issued upon the registration of transfer
hereof or in exchange hereof or in lieu hereof whether or not notation of such
consent or waiver is made upon this Note. The Indenture also permits the Trustee
to amend or waive certain terms and conditions set forth in the Indenture
without the consent of Holders of the Notes issued thereunder.

         The Notes are issuable only in registered form in denominations as
provided in the Indenture, subject to certain limitations therein set forth.

         This Note and the Indenture shall be construed in accordance with the
laws of the State of California, and the obligations, rights and remedies of the
parties hereunder and thereunder shall be determined in accordance with such
laws, except that the duties of the Trustee under the Indenture shall be
governed by New York law.

         No reference herein to the Indenture and no provision of this Note or
of the Indenture shall alter or impair the obligation of the Issuer, which is
absolute and unconditional, to pay the principal of and interest on this Note at
the times, place and rate, and in the coin or currency herein prescribed.

                                      G-6

<PAGE>

                                                                       EXHIBIT H

                              FORM OF CLASS C NOTE

         THIS NOTE IS SUBORDINATED IN RIGHT OF PAYMENT TO THE CLASS A-1 NOTES,
THE CLASS A-2 NOTES, THE CLASS A-3 NOTES, THE CLASS A-4 NOTES AND THE CLASS B
NOTES TO THE EXTENT DESCRIBED IN THE INDENTURE REFERRED TO HEREIN.

         UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION ("DTC"), TO THE ISSUER OR ITS
AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS
REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN
AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO
SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY
TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON
IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST
HEREIN.

         THIS SECURITY IS NOT A SAVINGS ACCOUNT OR DEPOSIT AND IT IS NOT INSURED
BY THE UNITED STATES OR ANY AGENCY OR FUND OF THE UNITED STATES.

         THE PRINCIPAL OF THIS NOTE IS PAYABLE IN FULL ON THE DATE SET FORTH
HEREIN. ACCORDINGLY, THE OUTSTANDING PRINCIPAL AMOUNT OF THIS NOTE AT ANY TIME
MAY BE LESS THAN THE AMOUNT SHOWN ON THE FACE HEREOF.

                        WFS FINANCIAL 2003-4 OWNER TRUST

                               3.02% CLASS C NOTE

REGISTERED                                                           $60,560,000

No. R-C-1                                                  CUSIP NO. 92927C AF 7

         WFS Financial 2003-4 Owner Trust, a statutory trust organized and
existing under the laws of the State of Delaware (the "Issuer"), for value
received, hereby promises to pay to Cede & Co., or registered assigns, the
principal sum of Sixty Million Five Hundred Sixty Thousand Dollars
($60,560,000), payable to the extent described in the Indenture referred to on
the reverse hereof on each Distribution Date; provided, however, that the entire
unpaid principal amount of this Note shall be payable on the earlier of May 20,
2011 (the "Class C Final Scheduled Distribution Date") and the Redemption Date,
if any, selected pursuant to the Indenture. No payments of principal of the
Class C Notes shall be made until the principal amount of the Class A-1 Notes,
the Class A-2 Notes, the Class A-3 Notes, the Class A-4 Notes and the Class B
Notes has been reduced to zero.

                                      H-1

<PAGE>

         The Issuer will pay interest on this Note at the rate per annum shown
above on each Distribution Date until the principal of this Note is paid or made
available for payment, on the principal amount of this Note outstanding on the
preceding Distribution Date (after giving effect to all payments of principal
made on the preceding Distribution Date), or on the Closing Date in the case of
the first Distribution Date or if no interest has yet been paid, subject to
certain limitations contained in the Indenture. Interest on this Note will
accrue for each Distribution Date from, and including, the 20th day of the month
of the prior Distribution Date on which interest has been paid to, but
excluding, the 20th day of the month of the current Distribution Date or, in the
case of the first Distribution Date or if no interest has yet been paid, from,
and including, November 25, 2003. The Issuer shall pay interest on overdue
installments of interest at the Class C Interest Rate to the extent lawful.
Interest will be computed on the basis of a 360-day year consisting of twelve
30-day months. Such principal of and interest on this Note shall be paid in the
manner specified on the reverse hereof.

         The principal of and interest on this Note are payable in such coin or
currency of the United States as at the time of payment is legal tender for
payment of public and private debts. All payments made by the Issuer with
respect to this Note shall be applied first to interest due and payable on this
Note as provided above and then to the unpaid principal of this Note.

         Reference is made to the further provisions of this Note set forth on
the reverse hereof, which shall have the same effect as though fully set forth
on the face of this Note.

         Unless the certificate of authentication hereon has been executed by
the Trustee whose name appears below by manual signature, this Note shall not be
entitled to any benefit under the Indenture referred to on the reverse hereof,
or be valid or obligatory for any purpose.

                                      H-2

<PAGE>

         IN WITNESS WHEREOF, the Issuer has caused this instrument to be signed,
manually or in facsimile, by an Authorized Officer, as set forth below.

Date: November __, 2003      WFS FINANCIAL 2003-4 OWNER TRUST

                             By: CHASE MANHATTAN BANK USA, NATIONAL ASSOCIATION,
                                 not in its individual capacity but solely on
                                 behalf of the Issuer as Owner Trustee, under
                                 the Trust Agreement

                             By: ______________________________________________
                                 Name:
                                 Title:

                     TRUSTEE'S CERTIFICATE OF AUTHENTICATION

         This is one of the Notes designated above and referred to in the
within-mentioned Indenture.

                             DEUTSCHE BANK TRUST COMPANY AMERICAS,
                             not in its individual capacity but solely as
                             Trustee

                             By: _______________________________________________
                                             Authorized Signatory

                                      H-3

<PAGE>

                            [REVERSE OF CLASS C NOTE]

         This Note is one of a duly authorized issue of Auto Receivable Backed
Notes of the Issuer, designated as its 3.02% Class C Notes (the "Class C
Notes"), all issued under an Indenture, dated as of November 1, 2003 (the
"Indenture"), between the Issuer and Deutsche Bank Trust Company Americas, as
trustee (the "Trustee"), to which Indenture and all indentures supplemental
thereto reference is hereby made for a statement of the respective rights and
obligations thereunder of the Issuer, the Trustee and the Holders of the Notes.
The Notes are subject to all terms of the Indenture. All terms used in this Note
that are defined in the Indenture, as supplemented or amended, shall have the
meanings assigned to them in or pursuant to the Indenture, as so supplemented or
amended.

         The Class A-1 Notes, the Class A-2 Notes, the Class A-3 Notes, the
Class A-4 Notes, the Class B Notes, the Class C Notes and the Class D Notes
(collectively, the "Notes") are and, except as otherwise provided in the
Indenture and the Sale and Servicing Agreement, will be equally and ratably
secured by the collateral pledged as security therefor as provided in the
Indenture.

         Principal payable on the Class C Notes will be paid on each
Distribution Date in the amount specified in the Indenture and in the Sale and
Servicing Agreement. As described above, the entire unpaid principal amount of
this Note will be payable on the earlier of the Class C Final Scheduled
Distribution Date and the Redemption Date, if any, selected pursuant to the
Indenture. Notwithstanding the foregoing, under certain circumstances, the
entire unpaid principal amount of the Class C Notes shall be due and payable
following the occurrence and continuance of an Event of Default, as described in
the Indenture. All principal payments on the Class C Notes shall be made pro
rata to the Class C Noteholders entitled thereto.

         Payments of principal and interest on this Note due and payable on each
Distribution Date or Redemption Date shall be made by check mailed to the Person
whose name appears as the Registered Holder of this Note (or one or more
Predecessor Notes) on the Note Register as of the close of business on the
related Record Date, except that with respect to Notes registered on the Record
Date in the name of the nominee of the Clearing Agency (initially, such nominee
to be Cede & Co.), payments will be made by wire transfer in immediately
available funds to the account designated by such nominee. Such checks shall be
mailed to the Person entitled thereto at the address of such Person as it
appears on the Note Register as of the applicable Record Date without requiring
that this Note be submitted for notation of payment. Any reduction in the
principal amount of this Note (or any one or more Predecessor Notes) affected by
any payments made on any Distribution Date or Redemption Date shall be binding
upon all future Holders of this Note and of any Note issued upon the
registration of transfer hereof or in exchange hereof or in lieu hereof, whether
or not noted hereon. If funds are expected to be available, as provided in the
Indenture, for payment in full of the remaining unpaid principal amount of this
Note on a Distribution Date or Redemption Date, then the Trustee, in the name of
and on behalf of the Issuer, will notify the Person who was the Registered
Holder hereof as of the Record Date preceding such Distribution Date or
Redemption Date by notice mailed within 20 days of such Distribution Date or
Redemption Date and the amount then due and payable shall be payable only upon
presentation and surrender of this Note at the Corporate Trust Office of the
Trustee or at the office of the Trustee's agent appointed for such purposes
located in The City of New York.

                                      H-4

<PAGE>

         As provided in the Indenture, the Notes may be redeemed pursuant to the
Indenture, in whole, but not in part, at the option of the Seller, on any
Distribution Date following the last day of a Collection Period as of which the
Aggregate Principal Balance is less than or equal to $142,500,000.

         As provided in the Indenture and subject to certain limitations set
forth therein, the transfer of this Note may be registered on the Note Register
upon surrender of this Note for registration of transfer at the office or agency
designated by the Issuer pursuant to the Indenture. No service charge will be
charged for any registration of transfer or exchange of this Note, but the
transferor may be required to pay a sum sufficient to cover any tax or other
governmental charge that may be imposed in connection with any such registration
of transfer or exchange.

         Each Noteholder or Note Owner, by acceptance of a Note or, in the case
of a Note Owner, a beneficial interest in a Note, covenants and agrees that no
recourse may be taken, directly or indirectly, with respect to the obligations
of the Issuer, the Owner Trustee or the Trustee on the Notes or under the
Indenture or any certificate or other writing delivered in connection therewith,
against (i) the Trustee or the Owner Trustee in its individual capacity, (ii)
any owner of a beneficial interest in the Issuer or (iii) any partner, owner,
beneficiary, agent, officer, director or employee of the Trustee or the Owner
Trustee in its individual capacity, any holder of a beneficial interest in the
Issuer, the Owner Trustee or the Trustee or of any successor or assign of the
Trustee or the Owner Trustee in its individual capacity, except as any such
Person may have expressly agreed and except that any such partner, owner or
beneficiary shall be fully liable, to the extent provided by applicable law, for
any unpaid consideration for stock, unpaid capital contribution or failure to
pay any installment or call owing to such entity.

         Each Noteholder or Note Owner, by acceptance of a Note or, in the case
of a Note Owner, a beneficial interest in a Note, covenants and agrees that by
accepting the benefits of the Indenture and such Note that such Noteholder or
Note Owner will not at any time institute against the Seller or the Issuer, or
join in any institution against the Seller or the Issuer of, any bankruptcy,
reorganization, arrangement, insolvency or liquidation proceedings under any
United States federal or state bankruptcy or similar law in connection with any
obligations relating to the Notes, the Indenture or the other Basic Documents.

         The Issuer has entered into the Indenture, and this Note is issued with
the intention that, for federal, state and local income, single business and
franchise tax purposes, the Notes will qualify as indebtedness of the Issuer
secured by the Trust Estate. Each Noteholder, by acceptance of a Note (and each
Note Owner by acceptance of a beneficial interest in a Note), agrees to treat
the Notes for federal, state and local income, single business and franchise tax
purposes as indebtedness of the Issuer.

         Prior to the due presentment for registration of transfer of this Note,
the Issuer and the Trustee and any agent of the Issuer or the Trustee may treat
the Person in whose name this Note (as of the day of determination or as of such
other date as may be specified in the Indenture) is registered as the owner
hereof for all purposes, whether or not this Note be overdue, and neither the
Issuer, the Trustee nor any such agent shall be affected by notice to the
contrary.

                                      H-5

<PAGE>

         The Indenture permits, with certain exceptions as therein provided, the
amendment thereof and the modification of the rights and obligations of the
Issuer and the rights of the Holders of the Notes under the Indenture at any
time by the Issuer with the consent of the Holders of Notes representing at
least 66 2/3% of the Outstanding Amount of the Notes of the Controlling Class.
The Indenture also contains provisions permitting the Holders of Notes
representing specified percentages of the Outstanding Amount of the Notes or of
the Notes of the Controlling Class, on behalf of the Holders of all the Notes,
to waive compliance by the Issuer with certain provisions of the Indenture and
certain past defaults under the Indenture and their consequences. Any such
consent or waiver by the Holder of this Note (or any one of more Predecessor
Notes) shall be conclusive and binding upon such Holder and upon all future
Holders of this Note and of any Note issued upon the registration of transfer
hereof or in exchange hereof or in lieu hereof whether or not notation of such
consent or waiver is made upon this Note. The Indenture also permits the Trustee
to amend or waive certain terms and conditions set forth in the Indenture
without the consent of Holders of the Notes issued thereunder.

         The Notes are issuable only in registered form in denominations as
provided in the Indenture, subject to certain limitations therein set forth.

         This Note and the Indenture shall be construed in accordance with the
laws of the State of California, and the obligations, rights and remedies of the
parties hereunder and thereunder shall be determined in accordance with such
laws, except that the duties of the Trustee under the Indenture shall be
governed by New York law.

         No reference herein to the Indenture and no provision of this Note or
of the Indenture shall alter or impair the obligation of the Issuer, which is
absolute and unconditional, to pay the principal of and interest on this Note at
the times, place and rate, and in the coin or currency herein prescribed.

                                      H-6

<PAGE>

                                                                       EXHIBIT I

                              FORM OF CLASS D NOTE

         THIS NOTE IS SUBORDINATED IN RIGHT OF PAYMENT TO THE CLASS A-1 NOTES,
THE CLASS A-2 NOTES, THE CLASS A-3 NOTES, THE CLASS A-4 NOTES, THE CLASS B NOTES
AND THE CLASS C NOTES TO THE EXTENT DESCRIBED IN THE INDENTURE REFERRED TO
HEREIN.

         UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION ("DTC"), TO THE ISSUER OR ITS
AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS
REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN
AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO
SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY
TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON
IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST
HEREIN.

         THIS SECURITY IS NOT A SAVINGS ACCOUNT OR DEPOSIT AND IT IS NOT INSURED
BY THE UNITED STATES OR ANY AGENCY OR FUND OF THE UNITED STATES.

         THE PRINCIPAL OF THIS NOTE IS PAYABLE IN FULL ON THE DATE SET FORTH
HEREIN. ACCORDINGLY, THE OUTSTANDING PRINCIPAL AMOUNT OF THIS NOTE AT ANY TIME
MAY BE LESS THAN THE AMOUNT SHOWN ON THE FACE HEREOF.

                        WFS FINANCIAL 2003-4 OWNER TRUST

                               3.87% CLASS D NOTE

REGISTERED                                                           $46,335,000

No. R-D-1                                                  CUSIP NO. 92927C AG 5

         WFS Financial 2003-4 Owner Trust, a statutory trust organized and
existing under the laws of the State of Delaware (the "Issuer"), for value
received, hereby promises to pay to Cede & Co., or registered assigns, the
principal sum of Forty Six Million Three Hundred Thirty Five Thousand Dollars
($46,335,000), payable to the extent described in the Indenture referred to on
the reverse hereof on each Distribution Date; provided, however, that the entire
unpaid principal amount of this Note shall be payable on the earlier of May 20,
2011 (the "Class D Final Scheduled Distribution Date") and the Redemption Date,
if any, selected pursuant to the Indenture. No payments of principal of the
Class D Notes shall be made until the principal amount of the Class A-1 Notes,
the Class A-2 Notes, the Class A-3 Notes, the Class A-4 Notes, the Class B Notes
and the Class C Notes has been reduced to zero.

                                      I-1

<PAGE>

         The Issuer will pay interest on this Note at the rate per annum shown
above on each Distribution Date until the principal of this Note is paid or made
available for payment, on the principal amount of this Note outstanding on the
preceding Distribution Date (after giving effect to all payments of principal
made on the preceding Distribution Date), or on the Closing Date in the case of
the first Distribution Date or if no interest has yet been paid, subject to
certain limitations contained in the Indenture. Interest on this Note will
accrue for each Distribution Date from, and including, the 20th day of the month
of the prior Distribution Date on which interest has been paid to, but
excluding, the 20th day of the month of the current Distribution Date or, in the
case of the first Distribution Date or if no interest has yet been paid, from,
and including, November 25, 2003. The Issuer shall pay interest on overdue
installments of interest at the Class D Interest Rate to the extent lawful.
Interest will be computed on the basis of a 360-day year consisting of twelve
30-day months. Such principal of and interest on this Note shall be paid in the
manner specified on the reverse hereof.

         The principal of and interest on this Note are payable in such coin or
currency of the United States as at the time of payment is legal tender for
payment of public and private debts. All payments made by the Issuer with
respect to this Note shall be applied first to interest due and payable on this
Note as provided above and then to the unpaid principal of this Note.

         Reference is made to the further provisions of this Note set forth on
the reverse hereof, which shall have the same effect as though fully set forth
on the face of this Note.

         Unless the certificate of authentication hereon has been executed by
the Trustee whose name appears below by manual signature, this Note shall not be
entitled to any benefit under the Indenture referred to on the reverse hereof,
or be valid or obligatory for any purpose.

                                      I-2

<PAGE>

         IN WITNESS WHEREOF, the Issuer has caused this instrument to be signed,
manually or in facsimile, by an Authorized Officer, as set forth below.

Date: November __, 2003      WFS FINANCIAL 2003-4 OWNER TRUST

                             By: CHASE MANHATTAN BANK USA, NATIONAL ASSOCIATION,
                                 not in its individual capacity but solely on
                                 behalf of the Issuer as Owner Trustee, under
                                 the Trust Agreement

                             By: _______________________________________________
                                 Name:
                                 Title:

                     TRUSTEE'S CERTIFICATE OF AUTHENTICATION

         This is one of the Notes designated above and referred to in the
within-mentioned Indenture.

                             DEUTSCHE BANK TRUST COMPANY AMERICAS,
                             not in its individual capacity but solely as
                             Trustee

                             By: _______________________________________________
                                              Authorized Signatory

                                      I-3

<PAGE>

                            [REVERSE OF CLASS D NOTE]

         This Note is one of a duly authorized issue of Auto Receivable Backed
Notes of the Issuer, designated as its 3.87% Class D Notes (the "Class D
Notes"), all issued under an Indenture, dated as of November 1, 2003 (the
"Indenture"), between the Issuer and Deutsche Bank Trust Company Americas, as
trustee (the "Trustee"), to which Indenture and all indentures supplemental
thereto reference is hereby made for a statement of the respective rights and
obligations thereunder of the Issuer, the Trustee and the Holders of the Notes.
The Notes are subject to all terms of the Indenture. All terms used in this Note
that are defined in the Indenture, as supplemented or amended, shall have the
meanings assigned to them in or pursuant to the Indenture, as so supplemented or
amended.

         The Class A-1 Notes, the Class A-2 Notes, the Class A-3 Notes, the
Class A-4 Notes, the Class B Notes, the Class C Notes and the Class D Notes
(collectively, the "Notes") are and, except as otherwise provided in the
Indenture and the Sale and Servicing Agreement, will be equally and ratably
secured by the collateral pledged as security therefor as provided in the
Indenture.

         Principal payable on the Class D Notes will be paid on each
Distribution Date in the amount specified in the Indenture and in the Sale and
Servicing Agreement. As described above, the entire unpaid principal amount of
this Note will be payable on the earlier of the Class D Final Scheduled
Distribution Date and the Redemption Date, if any, selected pursuant to the
Indenture. Notwithstanding the foregoing, under certain circumstances, the
entire unpaid principal amount of the Class D Notes shall be due and payable
following the occurrence and continuance of an Event of Default, as described in
the Indenture. All principal payments on the Class D Notes shall be made pro
rata to the Class D Noteholders entitled thereto.

         Payments of principal and interest on this Note due and payable on each
Distribution Date or Redemption Date shall be made by check mailed to the Person
whose name appears as the Registered Holder of this Note (or one or more
Predecessor Notes) on the Note Register as of the close of business on the
related Record Date, except that with respect to Notes registered on the Record
Date in the name of the nominee of the Clearing Agency (initially, such nominee
to be Cede & Co.), payments will be made by wire transfer in immediately
available funds to the account designated by such nominee. Such checks shall be
mailed to the Person entitled thereto at the address of such Person as it
appears on the Note Register as of the applicable Record Date without requiring
that this Note be submitted for notation of payment. Any reduction in the
principal amount of this Note (or any one or more Predecessor Notes) affected by
any payments made on any Distribution Date or Redemption Date shall be binding
upon all future Holders of this Note and of any Note issued upon the
registration of transfer hereof or in exchange hereof or in lieu hereof, whether
or not noted hereon. If funds are expected to be available, as provided in the
Indenture, for payment in full of the remaining unpaid principal amount of this
Note on a Distribution Date or Redemption Date, then the Trustee, in the name of
and on behalf of the Issuer, will notify the Person who was the Registered
Holder hereof as of the Record Date preceding such Distribution Date or
Redemption Date by notice mailed within 20 days of such Distribution Date or
Redemption Date and the amount then due and payable shall be payable only upon
presentation and surrender of this Note at the Corporate Trust Office of the
Trustee or at the office of the Trustee's agent appointed for such purposes
located in The City of New York.

                                      I-4

<PAGE>

         As provided in the Indenture, the Notes may be redeemed pursuant to the
Indenture, in whole, but not in part, at the option of the Seller, on any
Distribution Date following the last day of a Collection Period as of which the
Aggregate Principal Balance is less than or equal to $142,500,000.

         As provided in the Indenture and subject to certain limitations set
forth therein, the transfer of this Note may be registered on the Note Register
upon surrender of this Note for registration of transfer at the office or agency
designated by the Issuer pursuant to the Indenture. No service charge will be
charged for any registration of transfer or exchange of this Note, but the
transferor may be required to pay a sum sufficient to cover any tax or other
governmental charge that may be imposed in connection with any such registration
of transfer or exchange.

         Each Noteholder or Note Owner, by acceptance of a Note or, in the case
of a Note Owner, a beneficial interest in a Note, covenants and agrees that no
recourse may be taken, directly or indirectly, with respect to the obligations
of the Issuer, the Owner Trustee or the Trustee on the Notes or under the
Indenture or any certificate or other writing delivered in connection therewith,
against (i) the Trustee or the Owner Trustee in its individual capacity, (ii)
any owner of a beneficial interest in the Issuer or (iii) any partner, owner,
beneficiary, agent, officer, director or employee of the Trustee or the Owner
Trustee in its individual capacity, any holder of a beneficial interest in the
Issuer, the Owner Trustee or the Trustee or of any successor or assign of the
Trustee or the Owner Trustee in its individual capacity, except as any such
Person may have expressly agreed and except that any such partner, owner or
beneficiary shall be fully liable, to the extent provided by applicable law, for
any unpaid consideration for stock, unpaid capital contribution or failure to
pay any installment or call owing to such entity.

         Each Noteholder or Note Owner, by acceptance of a Note or, in the case
of a Note Owner, a beneficial interest in a Note, covenants and agrees that by
accepting the benefits of the Indenture and such Note that such Noteholder or
Note Owner will not at any time institute against the Seller or the Issuer, or
join in any institution against the Seller or the Issuer of, any bankruptcy,
reorganization, arrangement, insolvency or liquidation proceedings under any
United States federal or state bankruptcy or similar law in connection with any
obligations relating to the Notes, the Indenture or the other Basic Documents.

         The Issuer has entered into the Indenture, and this Note is issued with
the intention that, for federal, state and local income, single business and
franchise tax purposes, the Notes will qualify as indebtedness of the Issuer
secured by the Trust Estate. Each Noteholder, by acceptance of a Note (and each
Note Owner by acceptance of a beneficial interest in a Note), agrees to treat
the Notes for federal, state and local income, single business and franchise tax
purposes as indebtedness of the Issuer.

         Prior to the due presentment for registration of transfer of this Note,
the Issuer and the Trustee and any agent of the Issuer or the Trustee may treat
the Person in whose name this Note (as of the day of determination or as of such
other date as may be specified in the Indenture) is registered as the owner
hereof for all purposes, whether or not this Note be overdue, and neither the
Issuer, the Trustee nor any such agent shall be affected by notice to the
contrary.

                                      I-5

<PAGE>

         The Indenture permits, with certain exceptions as therein provided, the
amendment thereof and the modification of the rights and obligations of the
Issuer and the rights of the Holders of the Notes under the Indenture at any
time by the Issuer with the consent of the Holders of Notes representing at
least 66 2/3% of the Outstanding Amount of the Notes of the Controlling Class.
The Indenture also contains provisions permitting the Holders of Notes
representing specified percentages of the Outstanding Amount of the Notes or of
the Notes of the Controlling Class, on behalf of the Holders of all the Notes,
to waive compliance by the Issuer with certain provisions of the Indenture and
certain past defaults under the Indenture and their consequences. Any such
consent or waiver by the Holder of this Note (or any one of more Predecessor
Notes) shall be conclusive and binding upon such Holder and upon all future
Holders of this Note and of any Note issued upon the registration of transfer
hereof or in exchange hereof or in lieu hereof whether or not notation of such
consent or waiver is made upon this Note. The Indenture also permits the Trustee
to amend or waive certain terms and conditions set forth in the Indenture
without the consent of Holders of the Notes issued thereunder.

         The Notes are issuable only in registered form in denominations as
provided in the Indenture, subject to certain limitations therein set forth.

         This Note and the Indenture shall be construed in accordance with the
laws of the State of California, and the obligations, rights and remedies of the
parties hereunder and thereunder shall be determined in accordance with such
laws, except that the duties of the Trustee under the Indenture shall be
governed by New York law.

         No reference herein to the Indenture and no provision of this Note or
of the Indenture shall alter or impair the obligation of the Issuer, which is
absolute and unconditional, to pay the principal of and interest on this Note at
the times, place and rate, and in the coin or currency herein prescribed.

                                      I-6

<PAGE>

                                                                       EXHIBIT J

                             FORM OF NOTE ASSIGNMENT

         FOR VALUE RECEIVED the undersigned hereby sells, assigns and transfers
unto

PLEASE INSERT SOCIAL SECURITY OR
OTHER IDENTIFYING NUMBER OF ASSIGNEE

________________________________________________________________________________
(Please print or type name and address, including postal zip code, of assignee)

________________________________________________________________________________
the within Note, and all rights thereunder, hereby irrevocably constituting and
appointing

________________________________________________________________________________
to transfer said Note on the books kept for registration thereof, with full
power of substitution in the premises.

Dated: _____________________

Signature Guaranteed By:

________________________________________    ____________________________________

Signature must be guaranteed                Notice: The signature(s) on this
by an eligible guarantor                    assignment must correspond with the
institution which is a participant in       name(s) as it appears on the face
the Securities Transfer Agent's Medallion   of the within Note in every
Program (STAMP) or similar signature        particular, without alteration,
guarantee program.                          enlargement, or any change
                                            whatsoever.

__________________________________________________
            (Authorized Officer)

                                      J-1<PAGE>

                                                                    EXHIBIT 10.2

                                                                  EXECUTION COPY

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

                          SALE AND SERVICING AGREEMENT

                                      among

                        WFS FINANCIAL 2003-4 OWNER TRUST,
                                   as Issuer,

                         WFS RECEIVABLES CORPORATION 3,
                                   as Seller,

                                       and

                               WFS FINANCIAL INC,
                               as Master Servicer

                          Dated as of November 1, 2003

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

<PAGE>

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                                                               Page
                                                                                                               ----
<S>                                                                                                            <C>
                                   ARTICLE ONE

                                   DEFINITIONS

Section 1.01.  Definitions..................................................................................     2
Section 1.02.  Usage of Terms...............................................................................    23
Section 1.03.  Calculations.................................................................................    23

                                   ARTICLE TWO

                             CONVEYANCE OF CONTRACTS

Section 2.01.  Conveyance of Contracts......................................................................    24

                                  ARTICLE THREE

                                  THE CONTRACTS

Section 3.01.  Representations and Warranties of the Seller.................................................    26
Section 3.02.  Purchase of Certain Contracts................................................................    32
Section 3.03.  Custody of Contract Files....................................................................    32
Section 3.04.  Duties of Master Servicer as Custodian.......................................................    33
Section 3.05.  Instructions; Authority to Act...............................................................    34
Section 3.06.  Indemnification..............................................................................    34
Section 3.07.  Effective Period and Termination.............................................................    35
Section 3.08.  Nonpetition Covenant.........................................................................    35
Section 3.09.  Collecting Title Documents Not Delivered at the Closing Date.................................    35

                                  ARTICLE FOUR

                    ADMINISTRATION AND SERVICING OF CONTRACTS

Section 4.01.  Duties of Master Servicer....................................................................    37
Section 4.02.  Collection of Contract Payments..............................................................    41
Section 4.03.  Realization upon Defaulted Contracts and Liquidated Contracts................................    41
Section 4.04.  Insurance....................................................................................    42
Section 4.05.  Maintenance of Security Interests in Financed Vehicles.......................................    42
Section 4.06.  Covenants, Representations and Warranties of the Master Servicer.............................    42
Section 4.07.  Repurchase of Contracts upon Breach of Covenant..............................................    44
Section 4.08.  Servicing Compensation.......................................................................    44
Section 4.09.  Reporting by the Master Servicer.............................................................    44
Section 4.10.  Annual Statement as to Compliance............................................................    47
Section 4.11.  Annual Independent Certified Public Accountants' Report......................................    47
</TABLE>

                                        i

<PAGE>

<TABLE>
<CAPTION>
                                                                                                                Page
                                                                                                                ----
<S>                                                                                                             <C>
Section 4.12.  Access to Certain Documentation and Information Regarding Contracts..........................    48
Section 4.13.  Fidelity Bond................................................................................    48
Section 4.14.  Indemnification; Third Party Claims..........................................................    48

                                  ARTICLE FIVE

          DISTRIBUTIONS; SPREAD ACCOUNT; STATEMENTS TO SECURITYHOLDERS

Section 5.01.  Establishment of Trust Accounts..............................................................    49
Section 5.02.  Collections; Net Deposits....................................................................    51
Section 5.03.  Application of Collections...................................................................    51
Section 5.04.  Advances and Nonrecoverable Advances; Repurchase Amounts.....................................    52
Section 5.05.  Distributions................................................................................    53
Section 5.06.  Spread Account...............................................................................    54
Section 5.07.  Statements to Securityholders................................................................    55

                                   ARTICLE SIX

                                   THE SELLER

Section 6.01.  Corporate Existence..........................................................................    58
Section 6.02.  Liability of Seller; Indemnities.............................................................    58
Section 6.03.  Merger or Consolidation of, or Assumption of the Obligations of, the
Seller; Certain Limitations.................................................................................    59
Section 6.04.  Limitation on Liability of Seller and Others.................................................    60
Section 6.05.  Seller Not to Resign.........................................................................    61
Section 6.06.  Seller May Own Securities....................................................................    61

                                  ARTICLE SEVEN

                               THE MASTER SERVICER

Section 7.01.  Liability of Master Servicer; Indemnities....................................................    62
Section 7.02.  Corporate Existence; Status as Master Servicer; Merger.......................................    63
Section 7.03.  Performance of Obligations...................................................................    63
Section 7.04.  Master Servicer Not to Resign; Assignment....................................................    63
Section 7.05.  Limitation on Liability of Master Servicer and Others........................................    64

                                  ARTICLE EIGHT

                                     DEFAULT

Section 8.01.  Servicer Default.............................................................................    66
Section 8.02.  Indenture Trustee to Act; Appointment of Successor...........................................    67
Section 8.03.  Repayment of Advances........................................................................    68
Section 8.04.  Notification to Noteholders and Certificateholders...........................................    68
</TABLE>

                                       ii

<PAGE>

<TABLE>
<CAPTION>
                                                                                                                Page
                                                                                                                ----
<S>                                                                                                             <C>
Section 8.05.  Waiver of Past Defaults......................................................................    68
Section 8.06.  Backup Servicer..............................................................................    68

                                  ARTICLE NINE

                                   TERMINATION

Section 9.01.  Optional Purchase of All Contracts...........................................................    70

                                   ARTICLE TEN

                                  MISCELLANEOUS

Section 10.01.  Amendment...................................................................................    72
Section 10.02.  Protection of Title to Trust................................................................    73
Section 10.03.  Governing Law...............................................................................    75
Section 10.04.  Notices.....................................................................................    75
Section 10.05.  Severability of Provisions..................................................................    76
Section 10.06.  Assignment..................................................................................    76
Section 10.07.  Third Party Beneficiaries...................................................................    76
Section 10.08.  Counterparts................................................................................    77
Section 10.09.  Headings....................................................................................    77
Section 10.10.  Assignment by Issuer........................................................................    77
Section 10.11.  Limitation of Liability of Owner Trustee....................................................    77
Section 10.12.  Limitation on Recourse Against WFSRC3.......................................................    77

                                    SCHEDULES

Schedule A         Schedule of Contracts..................................................................      SA-1
Schedule B         Location of Contract Files.............................................................      SB-1
Schedule C         Sequential Payment Triggers............................................................      SC-1
Schedule D         Spread Account Triggers................................................................      SD-1

                                    EXHIBITS

Exhibit A          Form of RIC............................................................................      A-1
Exhibit B          Form of Distribution Date Statement....................................................      B-1
</TABLE>

                                       iii

<PAGE>

         This SALE AND SERVICING AGREEMENT, dated as of November 1, 2003, is
among WFS Financial 2003-4 Owner Trust, as issuer (the "Issuer"), WFS
Receivables Corporation 3, as seller (the "Seller"), and WFS Financial Inc
("WFS"), as master servicer (the "Master Servicer").

         WHEREAS, the Issuer desires to purchase from the Seller a portfolio of
receivables arising in connection with automobile retail installment sales
contracts and installment loans (collectively, the "Contracts") primarily
originated by motor vehicle dealers and purchased by WFS, which Contracts were
subsequently sold by WFS to the Seller;

         WHEREAS, the Seller is willing to sell the Contracts to the Issuer
pursuant to the terms hereof; and

         WHEREAS, the Master Servicer is willing to service the Contracts
pursuant to the terms hereof.

         NOW, THEREFORE, in consideration of the premises and the mutual
covenants herein contained, the parties hereto agree as follows:

<PAGE>

                                  ARTICLE ONE

                                  DEFINITIONS

         Section 1.01. Definitions. Except as otherwise specified herein or as
the context may otherwise require, the following terms have the respective
meanings set forth below for all purposes of this Agreement. Capitalized terms
used herein that are not otherwise defined herein shall have the meanings
ascribed thereto in the Indenture.

         "Administrator" shall have the meaning specified in the administration
agreement, dated as of November 1, 2003, among the Trust, the Depositor, the
Indenture Trustee and the Administrator.

         "Advance" means the aggregate amount, as of a Master Servicer Report
Date, that the Master Servicer is required to advance in respect of the
Contracts pursuant to Section 5.04(a).

         "Advanced Insurance Premiums" mean any amounts due to the Master
Servicer for amounts advanced by the Master Servicer to acquire an LDI Policy as
to a Financed Vehicle. Advanced Insurance Premiums shall not be a part of
Monthly P&I and shall be reimbursed to the Master Servicer as set forth in
Sections 4.01 and 5.03.

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

         "Aggregate Interest Distributable Amount" means, with respect to any
Distribution Date, the sum of the Interest Distributable Amounts for all Classes
of Notes.

         "Aggregate Net Liquidation Losses" means, with respect to any
Collection Period, the aggregate of the amounts by which (i) the principal
amount of each Contract that became a Liquidated Contract pursuant to clause
(ii) or (iv) of the definition of the term "Liquidated Contract" during such
Collection Period plus accrued and unpaid interest thereon (adjusted to the Net
Contract Rate) to the last Due Date in such Collection Period exceeds (ii) the
Net Liquidation Proceeds for such Contract.

         "Aggregate Principal Balance" means, with respect to any date and the
Outstanding Contracts, the aggregate of the Principal Balances of such Contracts
as of such date.

         "Aggregate Principal Distributable Amount" means the sum of the Class A
Undercollateralization Amount, the Class B Undercollateralization Amount, the
Class C Undercollateralization Amount, the Class D Undercollateralization Amount
and the Overcollateralization Distributable Amount.

                                       2

<PAGE>

         "Aggregate Repurchase Amount" means, with respect to the purchase of
Contracts pursuant to Section 9.01(a), an amount equal to the sum of the amounts
described in clauses (i) through (iii) of Section 9.01(e).

         "Agreement" means this Sale and Servicing Agreement.

         "APR" of a Contract means annual percentage rate and is the annual rate
of finance charges specified in such Contract.

         "Assignments" means, collectively, the original instrument of
assignment of a Contract and all other documents securing such Contract made by
the Seller to the Issuer (or in the case of any Contract acquired by the Seller
from another Person, from such other Person to the Seller and from the Seller to
the Issuer) which is in a form sufficient under the laws of the jurisdiction
under which the security interest in the related Financed Vehicle arises to
permit the assignee to exercise all rights granted by the Obligor under such
Contract and such other documents and all rights available under applicable law
to the Obligee under such Contract and which may, to the extent permitted by the
laws of such jurisdiction, be a blanket instrument of assignment covering other
Contracts as well and which may also, to the extent permitted by the laws of the
jurisdiction governing such Contract, be an instrument of assignment running
directly from the related Seller to the Issuer.

         "Available Funds" means, with respect to a Distribution Date, the sum
of Net Collections and the Spread Account Withdrawal Amount.

         "Backup Servicer" means Deutsche Bank Trust Company Americas.

         "Backup Servicer Event" means the occurrence of any of the following
events: (i) the Bank's long term senior debt rating is downgraded to "B3" or
less by Moody's, (ii) an Event of Default or (iii) a Servicer Default.

         "Bank" means Western Financial Bank.

         "Bankruptcy Code" has the meaning specified in the Trust Agreement.

         "Basic Documents" shall have the meaning specified in the Indenture.

         "Business Day" means any day that is not a Saturday, Sunday or other
day on which banking institutions in Los Angeles, California, Newark, Delaware
or New York, New York are authorized or obligated by law, executive order or
government decree to remain closed.

         "Certificate Distributable Amount" means the aggregate amount of the
Excess Spread Amount distributed to Certificateholders pursuant to Section
5.06(c).

         "Certificate Distribution Account" shall have the meaning specified in
the Trust Agreement.

         "Certificate Percentage Interest" means, with respect to a Certificate,
the percentage specified on such Certificate as the Certificate Percentage
Interest, which percentage represents

                                       3

<PAGE>

the beneficial interest of such Certificate in the Issuer. The initial
Certificate Percentage Interest held by the Seller shall be 100%.

         "Certificate Register" shall have the meaning specified in the Trust
Agreement.

         "Certificate Registrar" shall have the meaning specified in the Trust
Agreement.

         "Certificateholders" shall have the meaning specified in the Trust
Agreement.

         "Certificates" means the Trust Certificates (as such term is defined in
the Trust Agreement).

         "Chapter 13 Bankruptcy Proceeding" means a bankruptcy proceeding under
Chapter 13 of Title 11 of the United States Code.

         "Chapter 13 Contract" means a Contract with respect to which the
related Obligor is subject to a Chapter 13 Bankruptcy Proceeding and is in
compliance with a Chapter 13 Plan of Reorganization.

         "Chapter 13 Plan of Reorganization" means a plan of reorganization (as
such plan may be modified with court approval) that has been approved by a court
with jurisdiction over an Obligor under a Contract in a Chapter 13 Bankruptcy
Proceeding.

         "Class" means all Notes whose form is identical except for variation in
denomination, principal amount or owner.

         "Class A Notes" means, collectively, the Class A-1 Notes, the Class A-2
Notes, the Class A-3 Notes and the Class A-4 Notes.

         "Class A Principal Distributable Amount" means, with respect to any
Distribution Date, the amount distributable in respect of principal on the Class
A Notes on such Distribution Date which amount shall equal the greater of (i)
the outstanding principal amount of the Class A-1 Notes on that Distribution
Date (before giving effect to any payments made to holders of the Class A Notes
on that Distribution Date) or (ii) the excess of the principal amount of the
Class A Notes immediately prior to that Distribution Date over the lesser of (a)
the Class A Principal Percentage of the Aggregate Principal Balance as of the
last day of the related Collection Period or (b) the excess of such Aggregate
Principal Balance over the Overcollateralization Floor Amount; provided,
however, that on any Distribution Date that the Net Chargeoff Percentage exceeds
the Sequential Payment Trigger, the Class A Principal Distributable Amount will
be equal to the lesser of (i) the Aggregate Principal Distributable Amount or
(ii) the outstanding principal amount of the Class A Notes; provided, further,
that on any Distribution Date on and after the Final Scheduled Distribution Date
of any class of Class A Notes, the Class A Principal Distributable Amount will
not be less than the amount that is necessary to pay the outstanding principal
amount of that class of Class A Notes.

         "Class A Principal Percentage" means, with respect to any Distribution
Date, 80.93%; provided, however, that if, on any Distribution Date, the related
Net Chargeoff Percentage is

                                       4

<PAGE>

greater than the Sequential Payment Trigger, the Class A Principal Percentage
for each subsequent Distribution Date will equal 80.07%.

         "Class A Undercollateralization Amount" means, with respect to a
Distribution Date, the excess, if any, of the Class A Note principal amount on
that Distribution Date (before giving effect to any payments made to Holders of
the Notes on such Distribution Date) over the Aggregate Principal Balance as of
the last day of the related Collection Period.

         "Class A-1 Final Scheduled Distribution Date" means the November 2004
Distribution Date.

         "Class A-1 Note" shall have the meaning specified in the Indenture.

         "Class A-1 Rate" means 1.14% per annum.

         "Class A-2 Final Scheduled Distribution Date" means the April 2007
Distribution Date.

         "Class A-2 Note" shall have the meaning specified in the Indenture.

         "Class A-2 Rate" means 1.67% per annum.

         "Class A-3 Final Scheduled Distribution Date" means the January 2008
Distribution Date.

         "Class A-3 Note" shall have the meaning specified in the Indenture.

         "Class A-3 Rate" means 2.39% per annum.

         "Class A-4 Final Scheduled Distribution Date" means the May 2011
Distribution Date.

         "Class A-4 Note" shall have the meaning specified in the Indenture.

         "Class A-4 Rate" means 3.15% per annum.

         "Class B Final Scheduled Distribution Date" means the May 2011
Distribution Date.

         "Class B Note" shall have the meaning specified in the Indenture.

         "Class B Principal Distributable Amount" means, with respect to any
Distribution Date, the amount distributable in respect of principal on the Class
B Notes on such Distribution Date which amount shall equal the excess of (i) the
sum of (a) the principal amount of the Class A Notes (after taking into account
payment of the Class A Principal Distributable Amount for that Distribution
Date) and (b) the principal amount of the Class B Notes immediately prior to
such Distribution Date over (ii) the lesser of (a) the Class B Principal
Percentage of the Aggregate Principal Balance as of the last day of the related
Collection Period or (b) the excess of such Aggregate Principal Balance over the
Overcollateralization Floor Amount; provided, however, that on any Distribution
Date that the Net Chargeoff Percentage exceeds the Sequential Payment Trigger,
the Class B Principal Distributable Amount will be equal to the lesser of (i)
the excess of the Aggregate Principal Distributable Amount over the Class A
Principal Distributable

                                       5

<PAGE>

Amount or (ii) the outstanding principal amount of the Class B Notes; provided,
further, that on any Distribution Date on and after the Class B Final Scheduled
Distribution Date, the Class B Principal Distributable Amount will not be less
than the amount that is necessary to pay the outstanding principal amount of the
Class B Notes.

         "Class B Principal Percentage" means, with respect to any Distribution
Date, 85.12%; provided, however, that if, on any Distribution Date, the related
Net Chargeoff Percentage is greater than the Sequential Payment Trigger, the
Class B Principal Percentage for each subsequent Distribution Date will equal
84.21%.

         "Class B Rate" means 2.73% per annum.

         "Class B Undercollateralization Amount" means, with respect to a
Distribution Date, the excess, if any, of the sum of the principal amounts of
the Class A Notes and Class B Notes on that Distribution Date (before giving
effect to any payments made to Holders of the Notes on such Distribution Date)
over the sum of the Class A Undercollateralization Amount and the Aggregate
Principal Balance as of the last day of the related Collection Period.

         "Class C Final Scheduled Distribution Date" means the May 2011
Distribution Date.

         "Class C Note" shall have the meaning specified in the Indenture.

         "Class C Principal Distributable Amount" means, with respect to any
Distribution Date, the amount distributable in respect of principal on the Class
C Notes on such Distribution Date which amount shall equal the excess of (i) the
sum of (a) the aggregate principal amounts of the Class A Notes and the Class B
Notes (after taking into account payment of the Class A Principal Distributable
Amount and the Class B Principal Distributable Amount for that Distribution
Date) and (b) the principal amount of the Class C Notes immediately prior to
such Distribution Date over (ii) the lesser of (a) the Class C Principal
Percentage of the Aggregate Principal Balance as of the last day of the related
Collection Period or (b) the excess of such Aggregate Principal Balance over the
Overcollateralization Floor Amount; provided, however, that on any Distribution
Date that the Net Chargeoff Percentage exceeds the Sequential Payment Trigger,
the Class C Principal Distributable Amount will be equal to the lesser of (i)
the excess of the Aggregate Principal Distributable Amount over the sum of (a)
the Class A Principal Distributable Amount and (b) the Class B Principal
Distributable Amount or (ii) the outstanding principal amount of the Class C
Notes; provided, further, that on any Distribution Date on and after the Class C
Final Scheduled Distribution Date, the Class C Principal Distributable Amount
will not be less than the amount that is necessary to pay the outstanding
principal amount of the Class C Notes.

         "Class C Principal Percentage" means, with respect to any Distribution
Date, 89.87%; provided, however, that if, on any Distribution Date, the related
Net Chargeoff Percentage is greater than the Sequential Payment Trigger, the
Class C Principal Percentage for each subsequent Distribution Date will equal
88.91%.

         "Class C Rate" means 3.02% per annum.

                                       6

<PAGE>

         "Class C Undercollateralization Amount" means, with respect to a
Distribution Date, the excess, if any, of the sum of the principal amounts of
the Class A Notes, Class B Notes and Class C Notes on such Distribution Date
(before giving effect to any payments made to Holders of the Notes on that
Distribution Date) over the sum of the Class A Undercollateralization Amount,
the Class B Undercollateralization Amount and the Aggregate Principal Balance as
of the last day of the related Collection Period.

         "Class D Final Scheduled Distribution Date" means the May 2011
         Distribution Date.

         "Class D Note" shall have the meaning specified in the Indenture.

         "Class D Principal Distributable Amount" means, with respect to any
Distribution Date, the excess of the Aggregate Principal Distributable Amount
over the sum of the Class A Principal Distributable Amount, the Class B
Principal Distributable Amount and the Class C Principal Distributable Amount;
provided, however, that, on any Distribution Date on and after the Class D Note
Final Scheduled Distribution Date, the Class D Principal Distributable Amount
will not be less than the amount that is necessary to pay the outstanding
principal amount of the Class D Notes; provided, further, that the Class D
Principal Distributable Amount on any Distribution Date will not exceed the
outstanding principal amount of the Class D Notes.

         "Class D Rate" means 3.87% annum.

         "Class D Undercollateralization Amount" means, with respect to a
Distribution Date, the excess, if any, of the principal amount of the Notes on
such Distribution Date (before giving effect to any payment to Holders of the
Notes on such Distribution Date) over the sum of the Class A
Undercollateralization Amount, the Class B Undercollateralization Amount, Class
C Undercollateralization Amount and the Aggregate Principal Balance as of the
last day of the related Collection Period.

         "Closing Date" means November 25, 2003.

         "Collection Account" means the account established and maintained as
such pursuant to Section 5.01.

         "Collection Period" means, with respect to any Distribution Date, the
period commencing on the first day of the month preceding the month in which
such Distribution Date occurs (or from, but excluding, the Cut-Off Date in the
case of the first Distribution Date) through the last day of such month.

         "Contract" means each retail installment sales contract and security
agreement or installment loan agreement and security agreement, in each case
transferred by the Seller to the Issuer hereunder, which has been executed by an
Obligor and pursuant to which such Obligor purchased, financed or pledged the
Financed Vehicle described therein, agreed to pay the deferred purchase price
(i.e., the purchase price net of any down payment) or amount borrowed, together
with interest, as therein provided in connection with such purchase or loan,
granted a security interest in such Financed Vehicle, and undertook to perform
certain other obligations as specified in such Contract and which has been
conveyed to the Issuer pursuant to this Agreement.

                                       7

<PAGE>

         "Contract Documents" means, with respect to each Contract, (i) the
Contract; (ii) either the original Title Document for the related Financed
Vehicle or a duplicate copy thereof issued or certified by the Registrar of
Titles which issued the original thereof, together with evidence of perfection
of the security interest in the related Financed Vehicle granted by such
Contract, as determined by the Master Servicer to be permitted or required to
perfect such security interest under the laws of the applicable jurisdiction
(or, in the case of a Contract listed on the Schedule of Contracts, written
evidence from the Dealer selling such Financed Vehicle that the Title Document
for such Financed Vehicle showing the Seller as first lienholder has been
applied for); (iii) the related Assignments; (iv) any agreement(s) modifying the
Contract (including, without limitation, any extension agreement(s)); and (v)
documents evidencing the existence of physical damage insurance covering such
Financed Vehicle.

         "Contract Files" means the Contract Documents and all other papers and
computerized records customarily kept by the Master Servicer and all
Subservicers, as the case may be, in servicing contracts and loans comparable to
the Contracts.

         "Contract Number" means, with respect to any Contract included in the
Trust, the number assigned to such Contract by the Master Servicer, which number
is set forth in the related Schedule of Contracts.

         "Contract Rate" means, with respect to a Contract, the interest rate
borne by such Contract.

         "Contracts" means the Contracts sold to the Issuer by the Seller.

         "Controlling Class" shall have the meaning specified in the Indenture.

         "Corporate Trust Office" means the principal office of the Indenture
Trustee at which at any particular time its corporate trust business shall be
administered, which office at the date of the execution of this Agreement is
located at 60 Wall Street, 26th Floor, MS NYC60-2606, New York, New York 10005,
Attention: Corporate Trust & Agency Services - Structured Finance Services; or
at such other address as the Indenture Trustee may designate from time to time
by notice to the Certificateholders, the Master Servicer and the Seller.

         "Cut-Off Date" means November 24, 2003.

         "Cut-Off Date Aggregate Principal Balance" means $1,425,000,000, the
Aggregate Principal Balance as of the Cut-Off Date.

         "Dealer" means the seller of a Financed Vehicle, which seller
originated and assigned the related Contract, including the Bank.

         "Defaulted Contract" means, with respect to any Collection Period, a
Contract (i) which is, at the end of such Collection Period, delinquent in the
amount of at least two monthly payments or (ii) with respect to which the
related Financed Vehicle has been repossessed or repossession efforts have been
commenced.

         "Definitive Notes" shall have the meaning specified in the Indenture.

                                       8

<PAGE>

         "Delinquent Contract" means any Contract that is 60 days or more
delinquent.

         "Delivery" means, when used with respect to Trust Account Property:

                  (i)      with respect to certificated securities, bankers'
         acceptances, commercial paper, negotiable certificates of deposit and
         any other obligations which evidence a right to the payment of money
         and is not itself a security agreement or lease and is of a type which
         is in ordinary course of business transferred by delivery with
         necessary endorsement or assignment (collectively, "Physical
         Property"): (A) the Indenture Trustee or the Owner Trustee, as the case
         may be, or its Financial Intermediary acquires possession of the
         Physical Property, and evidence that any such Physical Property that is
         in registerable form has been registered in the name of the Trustee,
         its Financial Intermediary, its custodian or its nominee; (B) the
         Financial Intermediary, not a clearing corporation, sends the Indenture
         Trustee or the Owner Trustee, as the case may be, confirmation of the
         transfer and also by book entry or otherwise identifies as belonging to
         the Indenture Trustee or the Owner Trustee, as the case may be, the
         Physical Property in the Financial Intermediary's possession; or (C)
         with respect to a clearing corporation, appropriate entries to the
         account of the Indenture Trustee or the Owner Trustee, as the case may
         be, or a Person designated by him or her and, if certificated, it is
         both, in the custody of the clearing corporation or another clearing
         corporation, a custodian bank or a nominee of any of them and, in
         bearer form or endorsed in blank by the appropriate person or
         registered in the name of the clearing corporation, custodian bank, or
         a nominee of any of them;

                  (ii)     with respect to any Trust Account Property that is a
         book-entry security held through the Federal Reserve System pursuant to
         federal book-entry regulations, the following procedures, all in
         accordance with applicable law, including applicable federal
         regulations and Articles 8 and 9 of the UCC: (A) book-entry
         registration of such property to an appropriate book-entry account
         maintained with a Federal Reserve Bank by the Indenture Trustee or the
         Owner Trustee, as the case may be, of a deposit advice or other written
         confirmation of such book-entry registration; (B) the making by any
         such custodian of entries in its books and records identifying such
         book-entry security held through the Federal Reserve System pursuant to
         federal book-entry regulations as belonging to the Indenture Trustee or
         the Owner Trustee, as the case may be, and indicating that such
         custodian holds such Trust Account Property solely as agent for the
         Indenture Trustee or the Owner Trustee, as the case may be, and the
         making by the Indenture Trustee or the Owner Trustee, as the case may
         be, of entries in its books and records establishing that it holds such
         Trust Account Property solely as trustee pursuant to Section 5.01; and
         (C) such additional or alternative procedures as may hereafter become
         necessary to effect complete transfer of ownership of any such Trust
         Account Property to the Indenture Trustee or the Owner Trustee, as the
         case may be, consistent with changes in applicable law or regulations
         or the interpretation thereof; and

                  (iii)    with respect to any Trust Account Property that is an
         uncertificated security under Article 8 of the UCC and that is not
         governed by clause (ii) above, registration of the transfer to, and
         ownership of such Trust Account Property by, the

                                       9

<PAGE>

Indenture Trustee or the Owner Trustee, as the case may be, its custodian or its
nominee by the issuer of such Trust Account Property.

         "Depositor" means the Seller in its capacity as Depositor under the
Trust Agreement.

         "Distribution Date" means (i) the 20th day of each calendar month or,
if any such date shall not be a Business Day, the next succeeding Business Day,
commencing January 20, 2004.

         "Distribution Date Statement" shall have the meaning specified in
Section 4.09(a).

         "Due Date" means, as to any Contract, the date upon which an
installment of Monthly P&I is due.

         "Eligible Account" means (i) a segregated trust account in the
corporate trust department that is maintained with a federal depository
institution or trust company, commercial paper or other short-term debt
obligations of which have credit ratings from Standard & Poor's at least equal
to "A-1+," from Moody's equal to "Prime-1" and from Fitch equal to "F1+," which
account is fully insured up to applicable limits by the FDIC or (ii) a general
ledger account or deposit account (A) with an entity whose long-term unsecured
debt obligations are rated "Aa2" by Moody's and "AAA" by each of Standard &
Poor's and Fitch or the commercial paper or other short-term debt obligations of
which have credit ratings from Standard & Poor's at least equal to "A-1+," from
Moody's equal to "Prime-1" and from Fitch equal to "F1+" or (B) that otherwise
will not result in the qualification, reduction or withdrawal by any Rating
Agency of its then-applicable rating on any Class of Notes. If any Eligible
Account falls below the ratings specified in (i) or (ii) above, all monies in
such Eligible Account will be moved within 10 days to an account meeting the
requirements of an Eligible Account.

         "Eligible Investments" means any one or more of the following
obligations or securities, all of which shall be denominated in United States
dollars:

                  (i)      direct obligations of, and obligations fully
         guaranteed as to timely payment of principal and interest by, the
         United States or any agency or instrumentality of the United States the
         obligations of which are backed by the full faith and credit of the
         United States; general obligations of or obligations guaranteed as to
         timely payment of principal and interest by FNMA or FHLMC;

                  (ii)     demand and time deposits in, certificates of deposit
         of, banker's acceptances issued by, or federal funds sold by any
         depository institution or trust company (including the Indenture
         Trustee or the Owner Trustee) incorporated under the laws of the United
         States or any state and subject to supervision and examination by
         federal or state banking authorities, so long as at the time of such
         investment or contractual commitment providing for such investment
         either the long-term, unsecured debt obligations of such depository
         institution or trust company have credit ratings from Moody's at least
         equal to "Aa2" and shall have commercial paper or other short-term debt
         obligations rated at least "A-1+" (without an "r" suffix and with a
         fixed dollar amount of principal due at maturity that cannot vary) by
         Standard & Poor's, "Prime-1" by Moody's and "F1+" by Fitch;

                                       10

<PAGE>

                  (iii)    means commercial paper given the highest rating by
         each Rating Agency at the time of such investment; provided that the
         issuer of such commercial paper must have a long-term unsecured debt
         rating of at least "Aaa" from Moody's, "AAA" from Fitch and "AAA" from
         Standard & Poor's or have a short-term unsecured debt rating of at
         least "Prime-1" from Moody's, "F1+" from Fitch and "A-1+" (without an
         "r" suffix and with a fixed dollar amount of principal due at maturity
         that cannot vary) from Standard & Poor's;

                  (iv)     means money market funds having a rating of at least
         "AAAm" or "AAAm-G", as applicable, from Standard & Poor's and a rating
         from each remaining Rating Agency in the highest investment category
         granted by such Rating Agency, including funds for which the Indenture
         Trustee or any of its affiliates is investment manager or advisor;

                  (v)      the RIC, provided that (A)(1) it is guaranteed by an
         entity which has long-term, unsecured debt obligations rated "AAA" by
         each of Standard & Poor's and Fitch and at least "Aa2" by Moody's or
         (2) such investment will not result in a qualification, reduction or
         withdrawal by any Rating Agency of its then-applicable rating on any
         Class of Notes and (B) it has not ceased to be an Eligible Investment
         in accordance with Section 2 thereof; if the investments in this
         paragraph fall below the specified ratings, the invested monies shall
         be moved to Eligible Investments within two Business Days such
         investments fall below the specified ratings and no additional funds
         may be invested in the RIC until the RIC once again becomes an Eligible
         Investment; and

                  (vi)     any other investments which satisfy the Rating Agency
         Condition.

         "Estimated Sale Value" means, with respect to a Repossessed Vehicle,
the estimated sale value determined in good faith (and in accordance with its
credit and collection policy) by the Master Servicer as of the related
Repossessed Vehicle Redemption Date.

         "Excess Spread Amount" means, with respect to a Distribution Date, the
excess of the Spread Account Balance over the Specified Spread Account Balance
(after giving effect to all deposits to, and withdrawals (other than withdrawals
pursuant to the second sentence in Section 5.06(c)) from the Spread Account on
such Distribution Date).

         "Exchange Act" means the Securities Exchange Act of 1934.

         "FDIC" means the Federal Deposit Insurance Corporation.

         "FHLMC" means the Federal Home Loan Mortgage Corporation.

         "Final Scheduled Distribution Date" means the Class A-1 Final Scheduled
Distribution Date, the Class A-2 Final Scheduled Distribution Date, the Class
A-3 Final Scheduled Distribution Date, the Class A-4 Final Scheduled
Distribution Date, the Class B Final Scheduled Distribution Date, the Class C
Final Scheduled Distribution Date or the Class D Final Scheduled Distribution
Date, as the case may be.

                                       11

<PAGE>

         "Financed Vehicle" means, as to any Contract, an automobile or
light-duty truck, together with all accessions thereto, securing the related
Obligor's indebtedness under such Contract.

         "Financial Intermediary" means a bank, broker, clearing corporation or
the Person (or the nominee of any of them) that in the ordinary course of its
business maintains security accounts for its customers and is acting in that
capacity.

         "Fitch" means Fitch Ratings.

         "FNMA" means the Federal National Mortgage Association.

         "Gross Chargeoff Amount" means, with respect to any Collection Period,
the sum of (i) the excess of the outstanding Principal Balances of all
Repossessed Vehicle Contracts as to which the related Repossessed Vehicle
Redemption Dates have occurred during the related Collection Period over the
aggregate Estimated Sale Values of the related Repossessed Vehicles, (ii) the
excess of the aggregate Estimated Sale Values of Repossessed Vehicles sold
during the related Collection Period over the net sales proceeds of such
Repossessed Vehicles, (iii) the outstanding Principal Balances of Contracts,
other than Repossessed Vehicle Contracts and Chapter 13 Contracts, that have
become 120 days past due during the related Collection Period, (iv) the amount
by which the outstanding Principal Balances of Contracts that have become
Chapter 13 Contracts during the related Collection Period have been reduced by
the related Chapter 13 Plans of Reorganization and (v) the outstanding Principal
Balances, as such balances have been previously reduced by the related Chapter
13 Plans of Reorganization, of Chapter 13 Contracts that are no longer in
compliance with their Chapter 13 Plans of Reorganization and are more than 120
days past due as of the last day of the related Collection Period; provided
that, with respect to any Contract, in no event shall the aggregate amount
included in the Gross Chargeoff Amounts for all Collection Periods exceed the
outstanding Principal Balance of such Contract as of the date it becomes a
Defaulted Contract.

         "Holder" means, with respect to a (i) Certificate, the Person in whose
name such Certificate is registered in the Certificate Register and (ii) Note,
the Person in whose name such Note is registered in the Note Register.

         "Indenture" means the Indenture, dated as of November 1, 2003, between
the Issuer and the Indenture Trustee.

         "Indenture Trustee" means the Person acting as trustee under the
Indenture, its successors in interest and any successor trustee under the
Indenture and, initially, will be Deutsche Bank Trust Company Americas.

         "Independent", when used with respect to any specified Person, means
such a Person who (i) is in fact independent of the Issuer, the Seller or WFS,
(ii) is not a director, officer or employee of any Affiliate of the Issuer, the
Seller or WFS, (iii) is not a person related to any officer or director of the
Issuer, the Seller, WFS or any of their respective Affiliates, (iv) is not a
holder (directly or indirectly) of more than 10% of any voting securities of the
Issuer, the Seller, WFS or any of their respective Affiliates and (v) is not
connected with the Issuer, the Seller or WFS as an officer, employee, promoter,
underwriter, trustee, partner, director or person

                                       12

<PAGE>

performing similar functions; provided that a person who is an Independent
director or Independent officer of the Seller may be an Independent director or
Independent officer of an Affiliate of the Seller which is a special purpose
bankruptcy remote entity.

         "Insolvency Event" means, with respect to a specified Person, (i) the
entry of a decree or order for relief by a court or regulatory authority having
jurisdiction in respect of such Person in an involuntary case under the federal
bankruptcy laws, as now or hereafter in effect, or any other present or future,
federal or state, bankruptcy, insolvency or similar law, or appointing a
receiver, liquidator, assignee, custodian, trustee, sequestrator or other
similar official for such Person or for any substantial part of its property, or
ordering the winding-up or liquidation of such Person's affairs, and the
continuance of any such decree or order unstayed and in effect for a period of
60 consecutive days; (ii) the commencement of an involuntary case under the
federal bankruptcy laws, as now or hereinafter in effect, or any other present
or future federal or state bankruptcy, insolvency or similar law and such case
is not dismissed within 60 days; or (iii) the commencement by such Person of a
voluntary case under the federal bankruptcy laws, as now or hereinafter in
effect, or any other present or future federal or state, bankruptcy, insolvency
or similar law, or the consent by such Person to the appointment of or taking
possession by a receiver, liquidator, assignee, custodian, trustee, sequestrator
or other similar official for such Person or for any substantial part of its
property, or the making by such Person of an assignment for the benefit of
creditors or the failure by such Person generally to pay its debts as such debts
become due or the taking of corporate action by such Person in furtherance of
any the foregoing.

         "Insolvency Proceeds" shall have the meaning specified in Section
9.01(b).

         "Insurance Policy" means, with respect to a Financed Vehicle, the
policies of comprehensive and collision insurance and the LDI Policy.

         "Insurance Proceeds" means proceeds paid pursuant to any Insurance
Policy and amounts (exclusive of any rebated insurance premiums) paid by any
insurer under any other insurance policy related to a Financed Vehicle, a
Contract or an Obligor.

         "Interest Carryover Shortfall" means, with respect to any Distribution
Date and a Class of Notes, the excess, if any, of the sum of the Interest
Distributable Amount for such Class on the immediately preceding Distribution
Date over the amount in respect of interest that is actually deposited in the
Note Distribution Account with respect to such Class on such preceding
Distribution Date, plus, to the extent permitted by applicable law, interest on
the amount of interest due but not paid to Noteholders of such Class on the
preceding Distribution Date at the related Interest Rate for the related
Interest Period.

         "Interest Distributable Amount" means, with respect to any Distribution
Date and a Class of Notes, the sum of the Monthly Interest Distributable Amount
and the Interest Carryover Shortfall, in each case for such Class of Notes on
such Distribution Date. For all purposes of this Agreement and the other Basic
Documents, interest with respect to the (i) Class A-1 Notes shall be computed on
the basis of a 360-day year and the actual number of days elapsed since the
immediately preceding Distribution Date (or, with respect to the first
Distribution Date, from, and including, November 25, 2003) and (ii) Class A-2
Notes, Class A-3 Notes, Class A-4 Notes,

                                       13

<PAGE>

Class B Notes, Class C Notes and Class D Notes shall be computed on the basis of
a 360-day year consisting of twelve 30-day months.

         "Interest Period" means, with respect to any Distribution Date and (i)
the Class A-1 Notes, the period from, and including, the Distribution Date
immediately preceding such Distribution Date (or, in the case of the first
Distribution Date from, and including, November 25, 2003) to, but excluding,
such Distribution Date and (ii) the Class A-2 Notes, the Class A-3 Notes, the
Class A-4 Notes, the Class B Notes, the Class C Notes and the Class D Notes, the
period from, and including, the 20th day of the month in which the Distribution
Date immediately preceding such Distribution Date occurs (or in the case of the
first Distribution Date from, and including, November 25, 2003) to, but
excluding, the 20th day of the month of such Distribution Date.

         "Interest Rate" means the Class A-1 Rate, the Class A-2 Rate, the Class
A-3 Rate, the Class A-4 Rate, the Class B Rate, the Class C Rate or the Class D
Rate, as applicable.

         "Issuer" means the WFS Financial 2003-4 Owner Trust.

         "LDI Policy" means the limited dual interest policy providing coverage
for physical damage to, or loss of, a Financed Vehicle.

         "Lien" means a security interest, lien, charge, pledge, equity or
encumbrance of any kind, other than tax liens, mechanics' liens and any liens
that attach to the respective Contract by operation of law.

         "Liquidated Contract" means a Contract which (i) has been the subject
of a Prepayment; (ii) was a Defaulted Contract and with respect to which the
related Financed Vehicle was repossessed and, after any cure period required by
law has expired, the Master Servicer has charged-off any losses prior to the end
of the four-month period referred to in clause (iv); (iii) has been paid in full
on or after its Maturity Date; or (iv) has become delinquent as to all or part
of four or more payments of Monthly P&I. The Principal Balance of a Liquidated
Contract will be deemed to be zero.

         "Liquidation Expenses" means reasonable out-of-pocket expenses (not to
exceed Liquidation Proceeds), other than any overhead expenses, incurred by the
Master Servicer in connection with the realization of the full amounts due under
any Contract (including the attempted liquidation of a Contract which is brought
current and is no longer in default during such attempted liquidation) and the
sale of any property acquired in respect thereof which are not recoverable under
any Insurance Policy.

         "Liquidation Proceeds" means amounts received by the Master Servicer
(before reimbursement for Liquidation Expenses) in connection with the
realization of the amounts due and to become due under any Defaulted Contract
and the sale of any property acquired in respect thereof.

         "Master Servicer" means WFS in its capacity as the master servicer of
the Contracts under Section 4.01, and, in each case upon succession in
accordance herewith, each successor

                                       14

<PAGE>

servicer in the same capacity pursuant to Section 4.01 and each successor master
servicer pursuant to Section 8.02.

         "Master Servicer Report Date" means, with respect to any Distribution
Date, the fifth Business Day prior to such Distribution Date.

         "Maturity Date" means, with respect to any Contract, the date on which
the last scheduled payment of such Contract shall be due and payable (after
giving effect to all Prepayments received prior to the date of determination) as
such date may be extended pursuant to Section 4.02.

         "Monthly Interest Distributable Amount" means, with respect to any
Distribution Date, the sum of all interest accrued for the related Interest
Period on each Class of Notes at the related Interest Rate for such Class on the
outstanding principal amount of the Notes of such Class on the immediately
preceding Distribution Date, after giving effect to all payments of principal to
the Noteholders of such Class on or prior to such Distribution Date (or, in the
case of the first Distribution Date, on the original principal amount of such
Class of Notes).

         "Monthly P&I" means, with respect to any Contract, the amount of each
monthly installment of principal and interest payable to the Obligee of such
Contract in accordance with the terms thereof, exclusive of any charges
allocable to the financing of any insurance premium and charges which represent
late payment charges or extension fees.

         "Moody's" means Moody's Investors Service, Inc.

         "Net Chargeoff Percentage" means, with respect to any Distribution Date
and the related Collection Period, the percentage equivalent of a fraction, (a)
the numerator of which is equal to the excess of the sum of the Gross Chargeoff
Amounts for such Collection Period and all prior Collection Periods over the sum
of Recoveries for such Collection Period and all prior Collection Periods and
(b) the denominator of which is equal to the Cut-Off Date Aggregate Principal
Balance.

         "Net Collections" means, with respect to any Distribution Date and the
related Collection Period, the sum of (i) all amounts collected on or in respect
of the Contracts during such Collection Period, including, Monthly P&I, the
Aggregate Repurchase Amount, if any, Liquidation Proceeds (only to the extent of
the related Net Liquidation Proceeds), Insurance Proceeds (only to the extent of
the related Net Insurance Proceeds), less the sum of (A) any late payments of
interest retained by the Master Servicer as reimbursement for Advances pursuant
to Section 5.04, (B) any installments of Monthly P&I or Prepayments retained by
the Master Servicer as reimbursement for Nonrecoverable Advances pursuant to
Section 5.04 and (C) any Advanced Insurance Premiums that have been repaid by an
Obligor; (ii) the Advance for such Collection Period to the extent actually
made; (iii) the investment earnings on funds in the Collection Account for such
Distribution Date (which, except as otherwise provided in Section 5.01, shall be
the RIC Reinvestment Earnings); and (iv) the aggregate Repurchase Amount for
Repurchased Contracts deposited in or credited to the Collection Account
pursuant to Section 5.04(c) on the related Master Servicer Report Date.

                                       15

<PAGE>

         "Net Contract Rate" means, with respect to any Contract, its Contract
Rate less the sum of the Servicing Fee Percent.

         "Net Insurance Proceeds" means, with respect to any Contract, Insurance
Proceeds net of any such amount applied to the repair of the related Financed
Vehicle, released to the related Obligor in accordance with the normal servicing
procedures of the Master Servicer or representing expenses incurred by the
Master Servicer and recoverable hereunder.

         "Net Liquidation Proceeds" means the amount derived by subtracting from
the Liquidation Proceeds of a Contract the related Liquidation Expenses.

         "Nonrecoverable Advance" means any Advance proposed to be made or
previously made by the Master Servicer which, in its good faith judgment, would
not be or will not be ultimately recoverable by the Master Servicer from late
payments, Insurance Proceeds or Liquidation Proceeds.

         "Note" has the meaning set forth in the Indenture.

         "Note Balance" means with respect to any Distribution Date, the
aggregate outstanding principal amount of the Class A-1 Notes, the Class A-2
Notes, the Class A-3 Notes, the Class A-4 Notes, the Class B Notes, the Class C
Notes and the Class D Notes, in each case as of the immediately preceding
Distribution Date (after giving effect to any distributions of principal made on
such preceding Distribution Date).

         "Note Distribution Account" means the account established and
maintained as such pursuant to Section 5.01.

         "Note Register" shall have the meaning specified in the Indenture.

         "Note Registrar" shall have the meaning specified in the Indenture.

         "Noteholder" means, with respect to a Note, the Holder of such Note.

         "Obligee" means the Person to whom an Obligor is indebted under a
Contract.

         "Obligor" on a Contract means the purchaser or co-purchasers of the
Financed Vehicle and any other Person who owes payments under the Contract.

         "Offered Securities" shall have the meaning specified in Section
6.03(b)(ii).

         "Officers' Certificate" means a certificate signed by the chairman, the
president or a Vice President, and by the treasurer, an assistant treasurer, the
controller, an assistant controller, the secretary or an assistant secretary of
any Person delivering such certificate and delivered to the Person to whom such
certificate is required to be delivered. In the case of an Officers' Certificate
of the Master Servicer, at least one of the signing officers must be a Servicing
Officer. Unless otherwise specified, any reference herein to an Officers'
Certificate shall be to an Officers' Certificate of the Master Servicer.

                                       16

<PAGE>

         "Opinion of Counsel" means a written opinion of counsel (who may be
counsel to the Seller or the Master Servicer) acceptable to the Indenture
Trustee or the Owner Trustee, as the case may be.

         "Original Pool Balance" means $1,425,000,000.

         "Outstanding" means, with respect to:

                  (i)      a Contract and as of time of reference thereto, a
         Contract that has not reached its Maturity Date, has not been fully
         prepaid, has not become a Liquidated Contract and has not been
         repurchased pursuant to Section 3.02, 4.07 or 9.01; and

                  (ii)     the Securities, as of the date of determination, all
         Notes of one Class or of all Classes, all Certificates or all Notes and
         Certificates, as the case may be, theretofore authenticated and
         delivered except:

                           (A)      Securities theretofore cancelled by the
                  applicable Registrar or delivered to the applicable Registrar
                  for cancellation;

                           (B)      Securities or portions thereof the payment
                  for which money in the necessary amount has been theretofore
                  deposited with the applicable Trustee or any Paying Agent, as
                  the case may be, in trust for the Holders of such Securities
                  (provided, however, that if such Securities are to be redeemed
                  or repurchased, notice of such redemption or repurchase has
                  been duly given or provision for such notice has been made,
                  satisfactory to the applicable Trustee); and

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

provided, however, that in determining whether the Holders of a specified
Outstanding Amount of Securities have given any request, demand, authorization,
direction, notice, consent or waiver hereunder or under any other Basic
Document, Securities owned by the Issuer, any other obligor upon the Securities,
the Seller, WFS or any of their respective Affiliates shall be disregarded and
deemed not to be Outstanding prior to the date on which the Notes have been paid
in full, except that, in determining whether the applicable Trustee shall be
protected in relying upon any such request, demand, authorization, direction,
notice, consent or waiver, only Securities that the applicable Trustee knows to
be so owned shall be so disregarded. Securities so owned that have been pledged
in good faith may be regarded as Outstanding if the pledgee establishes to the
satisfaction of the applicable Trustee the pledgee's right so to act with
respect to such Securities and that the pledgee is not the Issuer, any other
obligor upon the Securities, the Seller, WFS or any of their respective
Affiliates.

         "Outstanding Amount" means the aggregate principal amount of all Notes
of one Class or of all Classes, as the case may be, Outstanding at the date of
determination.

         "Overcollateralization Amount" means, with respect to a Distribution
Date, the greater of (i) 6.50% of the Aggregate Principal Balance as of the last
day of the related Collection Period;

                                       17

<PAGE>

provided, however, that if, on any Distribution Date, the related Net Chargeoff
Percentage is greater than the Sequential Payment Trigger, the
Overcollateralization Amount for such Distribution Date and each subsequent
Distribution Date will equal 7.50% of the Aggregate Principal Balance as of the
last day of the related Collection Period and (ii) the Overcollateralization
Floor Amount.

         "Overcollateralization Distributable Amount" means, with respect to any
Distribution Date, the lesser of (i) the Overcollateralization Amount or (ii)
the amount by which (a) the sum of the Overcollateralization Amount and the
principal amount of the Notes on that Distribution Date (before giving effect to
any payments made to the Holders of the Notes on that Distribution Date) exceeds
(b) the Aggregate Principal Balance as of the last day of the related Collection
Period.

         "Overcollateralization Floor Amount" means 1.30% of the Cut-Off Date
Aggregate Principal Balance.

         "Owner" shall have the meaning specified in the Trust Agreement.

         "Owner Trustee" means the Person acting as Owner Trustee under the
Trust Agreement, its successors in interest and any successor owner trustee
under the Trust Agreement and, initially, will be Chase Manhattan Bank USA,
National Association.

         "Owner Trustee Corporate Trust Office" shall have the meaning specified
in the Trust Agreement.

         "Person" means a legal person, including any individual, corporation,
estate, partnership, joint venture, association, limited liability company,
joint stock company, trust, unincorporated organization or government or any
agency or political subdivision thereof.

         "Physical Property" shall have the meaning specified in the definition
of the term "Delivery."

         "Prepayment" means any of the following: (i) payment to the Master
Servicer of 100% of the outstanding principal balance of a Contract, exclusive
of any Contract referred to in clause (ii) or (iv) of the definition of the term
"Liquidated Contract," together with all accrued and unpaid interest thereon to
the date of such payment, or (ii) payment by the Seller or the Master Servicer,
as the case may be, of the purchase price of a Contract in connection with the
purchase of a Contract pursuant to Section 3.02 or 4.07, or payment by the
Seller or the Certificateholder, as the case may be, of the purchase price of a
Contract in connection with the purchase of all Contracts pursuant to Section
9.01.

         "Principal Balance" means, with respect to a Contract that is a (i)
Rule of 78's Contract, the amount set forth as the Principal Balance of such
Contract on the Schedule of Contracts, such amount being the total of all
Monthly P&I received on or after November 25, 2003 less any unearned interest as
of the Due Date for such Contract immediately preceding November 25, 2003,
computed in accordance with the Rule of 78's, less all amounts received on or in
respect of such Contract on or after November 25, 2003 that are allocable to
principal and (ii) Simple Interest Contract, the actual principal balance under
the terms thereof.

                                       18

<PAGE>

         "Rating Agency" means each of Moody's, Standard & Poor's and Fitch.

         "Rating Agency Condition" shall have the meaning specified in the
Indenture.

         "Record Date" means, with respect to a Class of Notes or the
Certificates and any Distribution Date or Redemption Date, the close of business
on the Business Day immediately preceding such Distribution Date or Redemption
Date or, in the case of the Notes, in the event that Definitive Notes are
issued, the 15th day of the month preceding the month in which such Distribution
Date occurs.

         "Recoveries" means, with respect to any Collection Period, the sum of
(i) the excess of actual sales proceeds for Repossessed Vehicles sold during
such Collection Period over the sum of (a) the Estimated Sales Values of such
Repossessed Vehicles and (b) any amounts required by law to be remitted to the
related Obligor and (ii) any insurance proceeds and other amounts received in
that Collection Period from the related Obligors or otherwise in connection with
Repossessed Vehicle Contracts, Chapter 13 Contracts and Contracts that have
become 120 days past due.

         "Redemption Date" shall have the meaning specified in the Indenture.

         "Redemption Price" shall have the meaning specified in the Indenture.

         "Registrar" means the Note Registrar or the Certificate Registrar, as
the case may be.

         "Registrar of Titles" means the agency, department or office having the
responsibility for maintaining records of titles to motor vehicles and issuing
documents evidencing such titles in the jurisdiction in which a particular
Financed Vehicle is registered.

         "Repossessed Vehicle" means the Financed Vehicle under a Repossessed
Vehicle Contract.

         "Repossessed Vehicle Contract" means a Defaulted Contract for which the
related Financed Vehicle has been repossessed by the Master Servicer.

         "Repossessed Vehicle Redemption Date" means, with respect to a
Repossessed Vehicle Contract, the date 10 days (or longer if required by
applicable law) from the date the related Repossessed Vehicle is repossessed.

         "Repurchase Amount" means, with respect to any Contract, the amount, as
of the date of repurchase, required to prepay in full the principal of and
accrued interest on such Contract to the Due Date in the Collection Period in
which such repurchase occurs.

         "Repurchased Contract" means a Contract repurchased as of the related
Master Servicer Report Date by the Master Servicer pursuant to Section 4.07 or
by the Seller pursuant to Section 3.02.

         "Responsible Officer" means any officer within the Corporate Trust and
Agency Group (or any successor group) of the Indenture Trustee including any
Vice President, assistant

                                       19

<PAGE>

secretary or any other officer or assistant officer of the Indenture Trustee
customarily performing functions similar to those performed by the persons who
at the time shall be such officers, respectively, or to whom any corporate trust
matter is referred at the Indenture Trustee's Corporate Trust Office because of
his knowledge of and familiarity with the particular subject.

         "RIC" means the reinvestment contract provided by the Bank and WFAL2 or
a subsidiary thereof, substantially in the form of Exhibit A.

         "RIC Reinvestment Earnings" means, with respect to any Distribution
Date, the related Collection Period and the Contracts that were Outstanding at
the beginning of such Collection Period, the amount by which the sum of the
Monthly Interest Distributable Amount for such Distribution Date exceeds the sum
of (i) the aggregate amount of interest on the Contracts (adjusted with respect
to each Contract to the Class D Rate and exclusive of such collections that have
been paid to the Master Servicer in reimbursement of a previous Advance) that is
part of Net Collections for such Distribution Date and (ii) the amount of the
Advance as to interest for such Distribution Date (assuming for this purpose
that an Advance was made in respect of each Contract (other than Liquidated
Contracts) for which the Master Servicer has not received one or more payments
of Monthly P&I due under such Contract).

         "Rule of 78's Contract" means a Contract as to which payments
thereunder are applied on the basis of the Rule of 78's.

         "Schedule of Contracts" means the list or lists of Contracts attached
as Schedule A to this Agreement, which Contracts are being transferred to the
Owner Trustee as part of the Trust Estate, which list or lists shall set forth
the following information with respect to each such Contract in numbered
columns:

<TABLE>
<CAPTION>
                               Information                                      Column Number
                               -----------                                      -------------
<S>                                                                             <C>
Contract Number ("ACCT NBR")..........................................               2
Date of Origination ("ORG DT")........................................               9
Maturity Date ("MAT DT")..............................................              15
Monthly P&I ("P&I")...................................................              10
Original Principal Balance ("ORIG AMT")...............................              16 Top
Principal Balance ("PRIN BAL")........................................              16 Bottom
Discount Rate ("APR").................................................               7
</TABLE>

         "Securities" means the Notes and the Certificates.

         "Securityholders" means the Holders of the Notes and the Certificates.

         "Seller" means WFSRC3, in its capacity as the Seller of Contracts under
this Agreement, and each successor thereto (in the same capacity) pursuant to
Section 6.03.

         "Sequential Payment Trigger" means, with respect to any Distribution
Date, the percentage set forth in Schedule C.

         "Servicer Default" means an event specified in Section 8.01.

                                       20

<PAGE>

         "Servicing Fee" means, as to any Distribution Date, an amount equal to
the product of the Servicing Fee Percent and the Aggregate Principal Balance as
of the first day of the related Collection Period. The Servicing Fee for the
first Distribution Date will be adjusted to an appropriate amount to account for
the actual number of days in such Collection Period.

         "Servicing Fee Percent" means one-twelfth of 1.25% per annum.

         "Servicing Officer" means any officer of the Master Servicer involved
in, or responsible for, the administration and servicing of the Contracts whose
name appears on a list of servicing officers furnished to the Indenture Trustee
and the Owner Trustee by the Master Servicer pursuant to Section 4.01.

         "Simple Interest Contract" means a Contract as to which interest is
calculated each day on the basis of the actual principal balance of such
Contract on such day.

         "Specified Spread Account Balance" means, with respect to any
Distribution Date, an amount equal to the greater of (i) 1.00% of the Aggregate
Principal Balance as of the last day of the related Collection Period, (ii)
0.50% of the Cut-Off Date Aggregate Principal Balance or (iii) if the Net
Cumulative Chargeoff Percentage for the related Distribution Date is greater
than the Spread Account Trigger for that Distribution Date, 1.20% of the Cut-Off
Date Aggregate Principal Balance. Notwithstanding the foregoing, in no event
shall the Specified Spread Account Balance be greater than the Outstanding
Amount of the Notes.

         "Spread Account" means the account established and maintained as such
pursuant to Section 5.01.

         "Spread Account Balance" means the amount on deposit in the Spread
Account.

         "Spread Account Trigger" means, with respect to any Distribution Date,
the percentage set forth in Schedule D.

         "Spread Account Initial Deposit" means $14,250,000.

         "Spread Account Withdrawal Amount" means, with respect to a
Distribution Date, the lesser of (i) the Spread Account Balance (prior to any
deposits and withdrawals therefrom on such Distribution Date) and (ii) the
excess of (a) the sum of the Aggregate Principal Distributable Amount, the
Aggregate Interest Distributable Amount, the Servicing Fee (including any unpaid
Servicing Fees with respect to one or more prior Collection Periods) and the
accrued and unpaid fees and expenses due to each of the Indenture Trustee and
the Owner Trustee over (b) the sum of the Overcollateralization Distributable
Amount and Net Collections.

         "Standard & Poor's" means Standard & Poor's Rating Services, a Division
of The McGraw-Hill Companies, Inc.

         "State" means any one of the 50 states of the United States or the
District of Columbia.

         "Statistical Calculation Date" means October 25, 2003.

                                       21

<PAGE>

         "Statistical Calculation Date Principal Balance" means the sum of the
Principal Balances of selected Contracts as of the Statistical Calculation Date,
which amount is equal to $1,085,829,294.23.

         "Subservicer" means any subservicer engaged by the Master Servicer to
subservice a Contract pursuant to Section 4.01.

         "Subservicing Agreement" means an agreement between the Master Servicer
and a Subservicer relating to the servicing of one or more Contracts.

         "Third Party Lender" means an independent finance company which has
originated or acquired one or more Contracts and assigned such Contract(s) to
WFS.

         "Title Document" means, with respect to any Financed Vehicle, the
certificate of title for, or other evidence of ownership of, such Financed
Vehicle issued by the Registrar of Titles in the jurisdiction in which such
Financed Vehicle is registered.

         "Trust" means the Issuer.

         "Trust Account Property" means the Trust Accounts, all amounts and
investments held from time to time in any Trust Account (whether in the form of
deposit accounts, physical property, book-entry securities, uncertificated
securities or otherwise) and all proceeds of the foregoing.

         "Trust Accounts" shall have the meaning specified in Section 5.01(a).

         "Trust Agreement" means the Trust Agreement, dated as of October 30,
2003, as amended and restated as of November 25, 2003, between the Depositor and
the Owner Trustee.

         "Trust Estate" shall have the meaning specified in the Trust Agreement.

         "Trustee" means the Indenture Trustee or the Owner Trustee, as the case
may be.

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

         "United States" means the United States of America.

         "Vehicle Receivables" shall have the meaning specified in Section
6.03(b)(ii).

         "Vice President" of any Person means any vice president of such Person,
whether or not designated by a number or words before or after the title "Vice
President," who is a duly elected officer of such Person.

         "WFAL2" means WFS Financial Auto Loans 2, Inc., a wholly owned
subsidiary of WFS.

         "WFS" means WFS Financial Inc, a majority-owned operating subsidiary of
the Bank.

         "WFSRC3" means WFS Receivables Corporation 3, a wholly-owned subsidiary
of WFS.

                                       22

<PAGE>

         Section 1.02. Usage of Terms. With respect to all terms in this
Agreement, unless the context otherwise requires: (i) a term has the meaning
assigned to it; (ii) an accounting term not otherwise defined has the meaning
assigned to it in accordance with generally accepted accounting principles as in
effect from time to time in the United States; (iii) "or" is not exclusive; (iv)
"including" means including without limitation; (v) words in the singular
include the plural and words in the plural include the singular; (vi) 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; (vii) references to a
Person are also to its successors and permitted assigns; (viii) the words
"hereof," "herein" and "hereunder" and words of similar import when used in this
Agreement shall refer to this Agreement as a whole and not to any particular
provision of this Agreement; (ix) Section, subsection, Schedule and Exhibit, as
applicable, references contained in this Agreement are references to Sections,
subsections, Schedules and Exhibits in or to this Agreement unless otherwise
specified; and (x) references to "writing" include printing, typing, lithography
and other means of reproducing words in a visible form.

         Section 1.03. Calculations. Except as otherwise provided herein, all
interest rate and basis point calculations hereunder shall be carried out to at
least six decimal places and, in the case of (i) the Class A-1 Notes, will be
made on the basis of a 360-day year and the actual number of days elapsed from,
and including, the immediately preceding Distribution Date to, but excluding,
the current Distribution Date or from, and including, the Closing Date in the
case of the first Distribution Date or (ii) each other Class of Notes, will be
made on the basis of a 360-day year and twelve 30-day months from, and
including, the 20th day of the month of the preceding Distribution Date to, but
excluding, the 20th day of the month of the current Distribution Date or from,
and including, the Closing Date in the case of the first Distribution Date.
Collections of interest on Rule of 78's Contracts shall be calculated as if such
Contracts were actuarial contracts the scheduled principal balances of which are
the Principal Balances thereof, and collections of interest on Simple Interest
Contracts will be calculated in accordance with the terms thereof.

                                       23

<PAGE>

                                  ARTICLE TWO

                            CONVEYANCE OF CONTRACTS

         Section 2.01. Conveyance of Contracts.

         (a)      In consideration of the Issuer's delivery to or upon the order
of the Seller of the Certificates and $1,403,625,000 aggregate principal amount
of Notes, the Seller hereby grants, transfers, assigns and otherwise conveys to
the Issuer, without recourse (subject to the obligations herein), and hereby
grants a security interest in all of its right, title and interest (exclusive of
the amount, if any, allocable to any rebatable insurance premium financed by any
Contract) in, to and under the Contracts (which Contracts shall be listed in the
Schedule of Contracts), including, without limitation, all payments of Monthly
P&I received after the Cut-Off Date; all Net Liquidation Proceeds and Net
Insurance Proceeds with respect to any Financed Vehicle to which a Contract
relates received after the Cut-Off Date and all other proceeds received on or in
respect of such Contracts (other than payments of Monthly P&I received on or
prior to the Cut-Off Date) and any and all security interests in the Financed
Vehicles; the Contract Documents relating to the Contracts; and all proceeds in
any way delivered with respect to the foregoing, all rights to payments with
respect to the foregoing and all rights to enforce the foregoing.

         (b)      WFS hereby authorizes and will cause, on or prior to the
Closing Date, the filing of UCC-1 financing statements naming WFS as debtor and
the Seller as secured party and describing the Contracts as collateral with the
Office of the Secretary of State of the State of California. The Seller hereby
authorizes and will cause, on or prior to the Closing Date, the filing of UCC-1
financing statements, naming the Seller as debtor and the Trust as secured party
and describing the Contracts as collateral, with the Office of the Secretary of
State of the State of California. The Trust has caused the filing of UCC-1
financing statements, naming the Trust as debtor and the Indenture Trustee, on
behalf of the Noteholders, as secured party and describing the Contracts as
collateral, with the office of the Secretary of State of the State of Delaware.
The grant of a security interest to the Indenture Trustee and the rights of the
Indenture Trustee in the Contracts shall be governed by the Indenture. From time
to time, the Master Servicer shall cause to be taken such actions as are
necessary to continue the perfection of the respective interests of the
Indenture Trustee and the Trust in the Contracts and to continue the first
priority security interest of the Indenture Trustee in the Financed Vehicles and
their proceeds (other than, as to such priority, any statutory lien arising by
operation of law after the Closing Date which is prior to such interest),
including, without limitation, the filing of financing statements, amendments
thereto or continuation statements and the making of notations on records or
documents of title.

         If any change in the name, identity or corporate structure of the
Seller or WFS or the relocation of the chief executive office of any of them or
their reincorporation in a different jurisdiction would make any financing or
continuation statement or notice of lien filed under this Agreement or the other
Basic Documents seriously misleading within the meaning of applicable provisions
of the UCC or any title statute, the Master Servicer, within the time period
required by applicable law, shall file such financing statements or amendments
as may be required to preserve and protect the interests of the Indenture
Trustee, the Owner Trustee and the

                                       24

<PAGE>

Securityholders in the Contracts, Financed Vehicles and the proceeds thereof.
Promptly thereafter, the Master Servicer shall deliver to the Indenture Trustee
and the Owner Trustee an Opinion of Counsel stating that, in the opinion of such
counsel, all financing statements or amendments necessary fully to preserve and
protect the interests of the Indenture Trustee, the Owner Trustee and
Securityholders in the Contracts, Financed Vehicles and the proceeds thereof
have been filed, and reciting the details of such filings.

         During the term of this Agreement, the Seller and WFS shall each
maintain its chief executive office in one of the states of the United States,
other than Louisiana or Tennessee.

         The Master Servicer shall pay all reasonable costs and disbursements in
connection with the perfection and the maintenance of perfection, as against all
third parties, of the Indenture Trustee's right, title and interest in and to
the Contracts and in connection with maintaining the first priority security
interest in the Financed Vehicles and the proceeds thereof.

                                       25

<PAGE>

                                 ARTICLE THREE

                                 THE CONTRACTS

         Section 3.01. Representations and Warranties of the Seller. The Seller
hereby makes the following representations and warranties on which the Issuer is
deemed to have relied in acquiring the Contracts. Such representations and
warranties speak as of the execution and delivery of this Agreement and as of
the Closing Date, but shall survive the sale, transfer and assignment of the
Contracts to the Issuer and the pledge thereof to the Indenture Trustee pursuant
to the Indenture. The representations and warranties set forth in Sections
3.01(b)(ii), (iv), (xvi), (xxviii) and (xxix) may not be waived.

         (a)      As to the Seller:

                  (i)      Organization and Good Standing. The Seller is duly
         organized and validly existing as a corporation in good standing under
         the laws of the State of California, with power and authority to own
         its properties and to conduct its business, and has the corporate
         power, authority and legal right to acquire and own the Contracts.

                  (ii)     Due Qualification. The Seller is duly qualified to do
         business as a foreign corporation in good standing, and shall have
         obtained all necessary licenses and approvals, in all jurisdictions in
         which the ownership or lease of property or the conduct of its business
         shall require such qualifications.

                  (iii)    Power and Authority. The Seller has the corporate
         power and authority to execute and deliver this Agreement and to carry
         out its terms; the Seller has full power and authority to sell and
         assign the property to be sold and assigned to and deposited with the
         Issuer, and has duly authorized such sale and assignment to the Issuer
         by all necessary corporate action; and the execution, delivery and
         performance of this Agreement has been duly authorized by the Seller by
         all necessary corporate action.

                  (iv)     Binding Obligation. This Agreement constitutes (A) a
         valid sale, transfer and assignment of the Contracts, enforceable
         against creditors of and purchasers from the Seller and (B) a legal,
         valid and binding obligation of the Seller enforceable in accordance
         with its terms, except as such enforceability may be limited by
         bankruptcy, insolvency, reorganization or other similar laws affecting
         the enforcement of creditors' rights in general and by general
         principles of equity, regardless of whether such enforceability shall
         be considered in a proceeding in equity or at law.

                  (v)      No Violation. The consummation of the transactions
         contemplated by this Agreement and the fulfillment of the terms hereof
         do not conflict with, result in any breach of any of the terms and
         provisions of, or constitute (with or without notice or lapse of time)
         a default under, the articles of incorporation or bylaws of the Seller,
         or any indenture, agreement or other instrument to which the Seller is
         a party or by which it is bound; nor result in the creation or
         imposition of any Lien upon any of its properties pursuant to the terms
         of any such indenture, agreement or other instrument (other than
         pursuant to the Basic Documents to which the Seller is a party); nor
         violate any law or, to

                                       26

<PAGE>

         the best of the Seller's knowledge, any order, rule or regulation
         applicable to the Seller of any court or of any federal or state
         regulatory body, administrative agency or other governmental
         instrumentality having jurisdiction over the Seller or its properties.

                  (vi)     No Tax Liens. The Seller is not aware of any judgment
         or tax lien filings against it.

                  (vii)    No Proceedings. There are no proceedings or
         investigations pending, or to the Seller's best knowledge, threatened,
         before any court, regulatory body, administrative agency or other
         governmental instrumentality having jurisdiction over the Seller or its
         properties: (A) asserting the invalidity of this Agreement or any of
         the other Basic Documents, the Notes or the Certificates, (B) seeking
         to prevent the issuance of the Notes or the Certificates or the
         consummation of any of the transactions contemplated by this Agreement
         or any of the other Basic Documents, (C) seeking any determination or
         ruling that might materially and adversely affect the performance by
         the Seller of its obligations under, or the validity or enforceability
         of, this Agreement, any of the other Basic Documents, the Notes or the
         Certificates or (D) which might adversely affect the federal or state
         income tax attributes of the Notes or the Certificates.

         (b)      As to each Contract or all of the Contracts, as the case may
be:

                  (i)      Schedule of Contracts. The information pertaining to
         such Contract set forth in the related Schedule of Contracts was true
         and correct in all material respects at the Closing Date and the
         calculations of the Principal Balances appearing in such Schedule of
         Contracts for each such Contract at the Closing Date and at each
         Distribution Date thereafter prior to the related Maturity Date have
         been performed in accordance with this Agreement and are accurate.

                  (ii)     Security Interests. As of the Closing Date, the
         Seller has taken all steps necessary to perfect its security interest
         against the Obligors in the Financed Vehicles securing the Contracts
         and such Contract granted a valid and enforceable first priority
         security interest in favor of WFS (or to the Bank, a Dealer or a Third
         Party Lender, which security interest has been assigned to WFS) in the
         related Financed Vehicle, and such security interest has been duly
         perfected and is prior to all other liens upon and security interests
         in such Financed Vehicle which now exist or may hereafter arise or be
         created (except, as to priority, for any lien for unpaid taxes or
         unpaid storage or repair charges which may arise after the Closing
         Date). The Seller has caused the filing of all appropriate financing
         statements in the proper filing office in the appropriate jurisdictions
         under applicable law in order to perfect the security interest in the
         Contracts granted to the Issuer hereunder. All financing statements
         filed against the Seller in favor of the Issuer in connection herewith
         describing the Contracts contain a statement to the following effect:
         "A purchase of or security interest in any collateral described in this
         financing statement will violate the rights of the Issuer unless the
         Issuer authorizes it."

                  (iii)    Title Documents. (A) If the related Financed Vehicle
         was originated in a State in which notation of a security interest on
         the Title Document is required or permitted to perfect such security
         interest, the Title Document for such Financed Vehicle

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<PAGE>

         shows, or if a new or replacement Title Document is being applied for
         with respect to such Financed Vehicle the Title Document will be
         received within 180 days of the Closing Date and will show WFS named as
         the original secured party under the related Contract as the holder of
         a first priority security interest in such Financed Vehicle, and (B) if
         the related Financed Vehicle was originated in a State in which the
         filing of a financing statement under the UCC is required to perfect a
         security interest in motor vehicles, such filings or recordings have
         been duly made and show WFS named as the original secured party under
         the related Contract, and in either case, the Indenture Trustee and the
         Owner Trustee have the same rights as such secured party has or would
         have (if such secured party were still the owner of the Contract)
         against all parties claiming an interest in such Financed Vehicle. With
         respect to each Contract for which the Title Document has not yet been
         returned from the Registrar of Titles, WFS has received written
         evidence from the related Dealer that such Title Document showing WFS
         as first lienholder has been applied for.

                  (iv)     Title to the Contracts. Immediately prior to the
         issuance of the Notes and the Certificates, the Seller had good and
         indefeasible title to and was the sole owner of each Contract to be
         transferred to the Issuer pursuant to Section 2.01 free of liens,
         claims, encumbrances and rights of any Person and, upon transfer of
         such Contract to the Issuer pursuant to Section 2.01, the Issuer will
         have good and indefeasible title to and will be the sole owner of such
         Contract free of liens, claims, encumbrances and rights of any Person,
         except for the Lien of the Indenture Trustee under the Indenture.

                  (v)      Current in Payment. As of the Closing Date, such
         Contract is no more than 30 days delinquent in payment as to all or any
         portion of any installment of Monthly P&I.

                  (vi)     Tax Liens. As of the Closing Date, there is no lien
         against the related Financed Vehicle for delinquent taxes.

                  (vii)    Rescission, Offset, Etc. As of the Closing Date,
         there is no right of rescission, offset, defense or counterclaim to the
         obligation of the Obligor to pay the unpaid principal or interest due
         under such Contract; the operation of the terms of such Contract or the
         exercise of any right thereunder will not render such Contract
         unenforceable in whole or in part or subject to any right of
         rescission, offset, defense or counterclaim, and no such right of
         rescission, offset, defense or counterclaim has been asserted.

                  (viii)   Mechanics' Liens. As of the Closing Date, there are
         no liens or claims for work, labor, material or storage affecting the
         related Financed Vehicle which are or may become a lien prior to or
         equal with the security interest granted by such Contract.

                  (ix)     Compliance with Laws. Such Contract, and the sale of
         the Financed Vehicle sold thereunder, complied, at the time it was
         made, in all material respects with all applicable state and federal
         laws (and regulations thereunder), including without limitation usury,
         equal credit opportunity, fair credit reporting, truth-in-lending or
         other

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<PAGE>

         similar laws, the Federal Trade Commission Act, and applicable state
         laws regulating retail installment sales contracts and loans in general
         and motor vehicle retail installment contracts and loans in particular;
         and the consummation of the transactions herein contemplated,
         including, without limitation, the transfer of ownership of the
         Contracts to the Issuer, and the pledge of the Contracts to the
         Indenture Trustee by the Issuer, and the receipt of interest by the
         Securityholders, will not involve the violation of any applicable state
         or federal law.

                  (x)      Valid and Binding. Such Contract is the legal, valid
         and binding obligation of the Obligor thereunder and is enforceable in
         accordance with its terms, except as enforcement may be limited by
         bankruptcy, insolvency or similar laws affecting the enforcement of
         creditors' rights generally; all parties to such Contract had full
         legal capacity to execute and deliver such Contract and all other
         documents related thereto and to grant the security interest purported
         to be granted thereby; and the terms of such Contract have not been
         waived or modified in any respect, except by instruments that are part
         of the Contract Documents.

                  (xi)     Enforceability. Such Contract contains customary and
         enforceable provisions such as to render the rights and remedies of the
         holder or assignee thereof adequate for the realization against the
         collateral of the benefits of the security, subject, as to
         enforceability, to bankruptcy, insolvency, reorganization or similar
         laws affecting the enforcement of creditors' rights generally.

                  (xii)    No Default. As of the Closing Date, there was no
         default, breach, violation or event permitting acceleration existing
         under such Contract (except payment delinquencies permitted by clause
         (v) of this subsection) and no event which, with notice and the
         expiration of any grace or cure period, would constitute such a
         default, breach, violation or event permitting acceleration under such
         Contract, and the Seller has not waived any such default, breach,
         violation or event permitting acceleration except payment delinquencies
         permitted by clause (v) of this subsection.

                  (xiii)   Insurance. At the Closing Date, the related Financed
         Vehicle will be covered by (A) a comprehensive and collision insurance
         policy (1) in an amount at least equal to the lesser of (a) its actual
         cash value or (b) the principal amount due from the Obligor under the
         related Contract, (2) naming WFS as a loss payee and (3) insuring
         against loss and damage due to fire, theft, transportation, collision
         and other risks generally covered by comprehensive and collision
         coverage or (B) an LDI Policy; provided, however, that if such Financed
         Vehicle has an unpaid principal balance of less than $4,000.00 or the
         related Contract has six or fewer months remaining before its Maturity
         Date, it will not be required to be covered by the insurance described
         in this subparagraph; provided further, to the extent not paid in full
         by the Obligor, the related Advanced Insurance Premium shall be an
         expense of the Master Servicer. Each of the Seller, WFS and the Master
         Servicer shall at all times comply with all of the provisions of such
         insurance policies and the LDI Policy applicable to such Financed
         Vehicle.

                  (xiv)    Acquisition of Contract. Such Contract was either
         acquired by WFS (or its predecessor in interest) from a Dealer or a
         Third Party Lender with which it

                                       29

<PAGE>

         ordinarily does business or the Bank or originated directly by WFS in
         the ordinary course of its business, and no adverse selection
         procedures have been utilized in selecting such Contract from all other
         similar contracts purchased by the Seller.

                  (xv)     Scheduled Payments. As of the Closing Date, scheduled
         payments under such Contract are applied in accordance with the Rule of
         78's method or the simple interest method and are due monthly in level
         payments through its Maturity Date sufficient to fully amortize the
         principal balance of such Contract by its Maturity Date, assuming
         timely payment by Obligors on Simple Interest Contracts, except that
         the payment in the first or last month in the life of the Contract may
         be minimally different from the level payment.

                  (xvi)    One Original. There is only one original of such
         Contract and such original, together with all other Contract Documents,
         is being held by the Master Servicer pursuant to Section 3.04. The
         Seller has received a written acknowledgement from the Master Servicer
         that the Master Servicer is holding the Contract Documents that
         constitute or evidence the Contracts solely on behalf and for the
         benefit of the Issuer. None of the Contract Documents that constitute
         or evidence each Contract has any marks or notations indicating that it
         has been pledged, assigned or otherwise conveyed to any Person other
         than the Issuer.

                  (xvii)   Characteristics. With respect to each Contract owned
         by WFS at the Statistical Calculation Date, such Contract had (A) a
         Principal Balance of not less than $599.53 nor more than $173,257.93,
         (B) an original term of not less than 10 months nor greater than 84
         months, (C) a remaining maturity of not less than three months nor
         greater than 84 months and (D) an APR of not less than 3.33%.

                  (xviii)  Identification. The Master Servicer and WFS have
         clearly marked their electronic records to indicate that such Contract
         is owned by the Issuer.

                  (xix)    Maturity. As of the Closing Date such Contract did
         not have a Maturity Date later than the 90th day prior to the end of
         the Collection Period immediately preceding the Class D Final Scheduled
         Distribution Date.

                  (xx)     Principal Balance. At the Closing Date the initial
         Principal Balance of such Contract was not greater than the purchase
         price of the related vehicle and such Principal Balance does not
         include any amounts the Master Servicer may have expended in obtaining
         an LDI Policy, if any, for such Contract.

                  (xxi)    Location of Contract Files. The Contract Files are
         kept at one or more of the locations listed in Schedule B.

                  (xxii)   Finance Charge. With respect to each Contract, such
         Contract provides for the payment of a finance charge calculated at its
         APR based on the Rule of 78's or the simple interest method and such
         APR shall be equal to or greater than 3.33% for Rule of 78's Contracts
         and Simple Interest Contracts.

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<PAGE>

                  (xxiii)  WFS, Bank and Third Party Lender Originations. With
         respect to the Contracts owned by WFS at the Statistical Calculation
         Date, the aggregate Principal Balance as of the Statistical Calculation
         Date of such Contracts purchased by WFS from the Bank and Third Party
         Lenders or originated directly by WFS is not more than approximately
         2.99% of the Statistical Calculation Date Principal Balance.

                  (xxiv)   Simple Interest Contracts. With respect to each
         Contract owned by WFS at the Statistical Calculation Date, as of the
         Statistical Calculation Date, approximately 98.56% of the Contracts by
         Statistical Calculation Date Principal Balance shall be Simple Interest
         Contracts and approximately 1.44% of the Contracts by Statistical
         Calculation Date Principal Balance shall be Rule of 78's Contracts.

                  (xxv)    New or Pre-Owned Vehicles. At least 34.62% of the
         Contracts owned by WFS at the Statistical Calculation Date by
         Statistical Calculation Date Principal Balance were Contracts that
         financed new vehicles and not greater than 65.38% were Contracts that
         financed pre-owned vehicles.

                  (xxvi)   States of Origination. Approximately 37.47% of the
         Contracts owned by WFS at the Statistical Calculation Date by
         Statistical Calculation Date Principal Balance were originated or
         purchased by WFS in California and approximately 62.53% of the
         Contracts by Statistical Calculation Date Principal Balance were
         originated in states other than California.

                  (xxvii)  No Government Entity Obligors. Each Contract shall
         have an Obligor that is not a local, state or federal governmental
         entity.

                  (xxviii) Chattel Paper. Each Contract constitutes "tangible
         chattel paper" as defined in the applicable UCC.

                  (xxix)   Priority of Interest. This Agreement creates a valid
         and continuing security interest (as defined in the UCC) in the
         Contracts in favor of the Issuer, which security interest is prior to
         all other Liens, and is enforceable as such as against creditors of and
         purchasers from the Seller. Other than the security interest granted to
         the Issuer pursuant to this Agreement, the Seller has not pledged,
         assigned, sold, granted a security interest in, or otherwise conveyed
         any of the Contracts. The Seller has not authorized the filing of and
         is not aware of any financing statements against the Seller that
         include a description of collateral covering the Contracts other than
         any financing statement relating to the security interest granted to
         the Issuer hereunder, the security interest granted to the Indenture
         Trustee under the Indenture or that has been terminated or subordinated
         to the rights of the Issuer and the Indenture Trustee.

                  (xxx)    Contract Characteristics as of the Closing Date. The
         representations and warranties made in this Section with respect to
         certain Contracts as of the Statistical Calculation Date shall also be
         true and correct in every material respect for all Contracts as of the
         Closing Date.

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<PAGE>

                  (xxxi)   Obligor Bankruptcy. As of the Closing Date with
         respect to the Contracts, the Seller is not aware of any Obligor that
         is or has been, since the origination of the related Contract, the
         subject of a bankruptcy proceeding.

                  (xxxii)  No Extensions. The number of, or timing of, scheduled
         payments has not been changed on any Contract on or before the Closing
         Date, except as reflected on the computer tape delivered in connection
         with the sale of the Contracts.

                  (xxxiii) Repossession. On or prior to the Closing Date, no
         Financed Vehicle has been repossessed.

                  (xxxiv)  Prepayment of Contracts. Any prepayment in full of a
         Contract by an Obligor to the Master Servicer will consist of the
         entire outstanding principal balance of such Contract together with all
         accrued and unpaid interest thereon.

         Section 3.02. Purchase of Certain Contracts. The representations and
warranties of the Seller set forth in Section 3.01 shall survive delivery of the
Contract Documents to the Owner Trustee and shall continue until the termination
of this Agreement. Upon discovery by the Seller, the Master Servicer or the
Owner Trustee, as the case may be, that any of such representations and
warranties was incorrect as of the time made or that any of the Contract
Documents relating to any such Contract has not been properly executed by the
Obligor or contains a material defect or has not been received by the Owner
Trustee, such Person making such discovery shall give prompt notice to the other
such Persons. If any such defect, incorrectness or omission materially and
adversely affects the interest of the Noteholders, the Certificateholders, the
Indenture Trustee, the Owner Trustee or the Issuer the Seller shall, within 90
days after discovery thereof or receipt of notice thereof, cure the defect or
eliminate or otherwise cure the circumstances or condition in respect of which
such representation or warranty was incorrect as of the time made. If the Seller
is unable to do so, it shall purchase such Contract on the Master Servicer
Report Date next succeeding the end of such 90-day period from the Issuer for an
amount equal to the related Repurchase Amount in the manner set forth in Section
5.04. Upon any such purchase, the Owner Trustee shall execute and deliver such
instruments of transfer or assignment, in each case without recourse, as shall
be necessary to vest in the Seller title to any Contract purchased hereunder.
The sole remedy of the Issuer, the Owner Trustee, the Indenture Trustee or the
Securityholders with respect to a breach of the Seller's representations and
warranties pursuant to Section 3.01 shall be to enforce the Seller's obligation
to repurchase Contracts pursuant to this Section; provided, however, that the
Seller shall indemnify the Owner Trustee, the Indenture Trustee, the Issuer and
the Securityholders against all costs, expenses, losses, damages, claims and
liabilities, including reasonable fees and expenses of counsel, which may be
asserted against or incurred by any of them as a result of third-party claims
arising out of the events or facts giving rise to such breach.

         Section 3.03. Custody of Contract Files.

         (a)      Subject to Sections 3.07, 7.04 and 8.01, the Owner Trustee
hereby irrevocably appoints the Master Servicer, and the Master Servicer hereby
accepts such appointment, to act as the agent of the Owner Trustee as custodian
of the Contract Documents and any and all other documents that the Master
Servicer shall keep on file, in accordance with its customary

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<PAGE>

procedures, relating to a Contract, Obligor or Financed Vehicle, which are
hereby constructively delivered to the Owner Trustee with respect to each
Contract:

                  (i)      the original of the Contract;

                  (ii)     documents evidencing the existence of physical damage
         insurance covering the Financed Vehicles;

                  (iii)    the original credit application fully executed by the
         Obligor; and

                  (iv)     the original certificate of title or such documents
         that the Master Servicer shall keep on file, in accordance with its
         customary procedures, evidencing the security interest of the Master
         Servicer in the Financed Vehicle.

         (b)      The Master Servicer shall maintain the Contract Documents held
by it (by itself or through one or more Subservicers) in a file area physically
separate from the other installment sales contracts and installment loans owned
or serviced by it or any of its Affiliates, which area shall be clearly marked
to indicate the Issuer as the owner of, and the security interest of the
Indenture Trustee in, the Contract Documents and shall mark the Contracts in the
same manner. Notwithstanding the foregoing, if failure to do so will not result
in the qualification, reduction or withdrawal by any Rating Agency of its
then-applicable rating on any Class of Notes, the Master Servicer shall not be
required to segregate or mark the Contracts and the file area may contain
contract documents for other motor vehicle retail installment sales contracts
and installment loans owned or serviced by the Master Servicer.

         The Master Servicer shall cause the electronic record of the Contracts
maintained by it to be clearly marked to indicate that the Contracts have been
sold to the Issuer and shall not in any way assert or claim an ownership
interest in the Contracts. It is intended by the Master Servicer's and the
Seller's agreement pursuant to this Section that the Owner Trustee shall be
deemed to have possession of the Contract Documents for purposes of Section
9-313 of the UCC of the state in which the Contract Documents are located.

         Section 3.04. Duties of Master Servicer as Custodian.

         (a)      Safekeeping. The Master Servicer shall hold the Contract Files
on behalf of the Owner Trustee, the Indenture Trustee for the use and benefit of
all present and future Securityholders, and maintain such accurate and complete
accounts, records and computer systems pertaining to each Contract File as shall
enable the Issuer to comply with this Agreement. In performing its duties as
custodian the Master Servicer shall act with reasonable care, using that degree
of skill and attention that the Master Servicer exercises with respect to the
files relating to all comparable automobile contracts that the Master Servicer
owns or services for itself or others. The Master Servicer shall conduct, or
cause to be conducted, periodic physical inspections of the Contract Files held
by it under this Agreement and of the related accounts, records and computer
systems, and shall maintain them in such a manner as shall enable the Owner
Trustee and the Indenture Trustee to verify the accuracy of the Master
Servicer's record keeping. The Master Servicer shall promptly report to the
Owner Trustee and the Indenture Trustee any failure on its part to hold the
Contract Files and maintain its accounts, records and

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<PAGE>

computer systems as herein provided and shall promptly take appropriate action
to remedy any such failure.

         (b)      Maintenance of and Access to Records. The Master Servicer
shall maintain each Contract File at one of its offices specified in Schedule B
or at such other location as shall be specified to the Owner Trustee and the
Indenture Trustee by 30 days' prior written notice. The Master Servicer shall
permit the Owner Trustee and the Indenture Trustee or their respective duly
authorized representatives, attorneys or auditors to inspect the Contract Files
and the related accounts, records and computer systems maintained by the Master
Servicer at such times as such Persons may request. On or prior to the first
Business Day after the 14th day of each calendar month, the Master Servicer
shall deliver a data tape to the Backup Servicer containing information
necessary for the Backup Servicer to generate the statement required pursuant to
Section 3.07(h) of the Indenture and otherwise necessary for the servicing and
administration of the Contracts.

         (c)      Release of Documents. Upon instruction from the Indenture
Trustee (a copy of which shall be furnished to the Owner Trustee), the Master
Servicer shall release any Contract File to the Indenture Trustee, the Indenture
Trustee's agent, or the Indenture Trustee's designee, as the case may be, at
such place or places as the Indenture Trustee may designate, as soon as
practicable.

         (d)      Title Documents. The Master Servicer shall deliver to the
Indenture Trustee and the Owner Trustee within (i) 120 days of the Closing Date,
a schedule of Title Documents for Financed Vehicles which, as of the Closing
Date did not show the Master Servicer as first lienholder and (ii) 180 days of
the Closing Date, a schedule of Title Documents for Financed Vehicles which as
of the date prior to such delivery do not show the Master Servicer as first
lienholder and as to which the Seller is obligated to repurchase pursuant to the
provisions hereof.

         Section 3.05. Instructions; Authority to Act. The Master Servicer shall
be deemed to have received proper instructions (a copy of which shall be
furnished to the Owner Trustee) with respect to the Contract Files upon its
receipt of written instructions signed by a Responsible Officer of the Indenture
Trustee.

         Section 3.06. Indemnification. Subject to Section 8.02, the Master
Servicer shall indemnify the Issuer, the Owner Trustee, the Indenture Trustee,
the Backup Servicer and the Securityholders for any and all liabilities,
obligations, losses, compensatory damages, payments, costs or expenses of any
kind whatsoever (including the reasonable fees and expenses of counsel) that may
be imposed on, incurred by or asserted against the Issuer, the Owner Trustee,
the Indenture Trustee, the Backup Servicer, the Noteholders or the
Certificateholders as the result of any improper act or omission in any way
relating to the maintenance and custody by the Master Servicer of the Contract
Files, or the failure of the Master Servicer to perform its duties and service
the Contracts in compliance with the terms of this Agreement; provided, however,
that the Master Servicer shall not be liable to the Owner Trustee for any
portion of any such amount resulting from the willful misfeasance, bad faith or
negligence of the Owner Trustee and the Master Servicer shall not be liable to
the Indenture Trustee for any portion of any such amount resulting from the
willful misfeasance, bad faith or negligence of the Indenture Trustee. The
Master Servicer shall also indemnify and hold harmless the Issuer, the Trust
Estate and the

                                       34

<PAGE>

Securityholders against any taxes that may be asserted at any time against any
of them with respect to the Contracts, including any sales, gross receipts,
general corporation, personal property, privilege or license taxes (but
exclusive of federal or other income taxes arising out of payments on the
Contracts) and the costs and expenses in defending against such taxes. The
Master Servicer shall immediately notify the Owner Trustee, the Indenture
Trustee and the Backup Servicer if a claim is made by a third party with respect
to the Contracts, shall assume, with the consent of the Owner Trustee, the
Indenture Trustee and the Backup Servicer, the defense of any such claim, pay
all expenses in connection therewith, including counsel fees, and shall promptly
pay, discharge and satisfy any judgment or decree which may be entered against
it or the Issuer.

         Section 3.07. Effective Period and Termination. The Master Servicer's
appointment as custodian shall become effective as of the Cut-Off Date and shall
continue in full force and effect until terminated under this Section, upon the
termination of the Issuer or the repurchase of all of the Contracts by the
Seller, whichever is first to occur. If the Master Servicer shall resign in
accordance with the provisions of this Agreement or if all of the rights and
obligations of the Master Servicer shall have been terminated pursuant to
Section 8.01, the appointment of the Master Servicer as custodian shall be
terminated by the Indenture Trustee, by the Holders of Notes evidencing not less
than a majority of the Outstanding Amount of the Notes, by the Owner Trustee or
by Certificateholders evidencing not less than a majority of the aggregate
Certificate Percentage Interest, in the same manner as the Indenture Trustee,
the Owner Trustee or such Holders may terminate the rights and obligations of
the Master Servicer pursuant to Section 8.01. As soon as practicable after any
termination of such appointment, the Master Servicer shall, at its own expense,
deliver the Contract Files to the Owner Trustee or its agent or as designated by
the Owner Trustee at such place or places as the Owner Trustee may reasonably
designate and shall cooperate in good faith to effect such delivery.

         Section 3.08. Nonpetition Covenant.

         (a)      Neither the Seller nor the Master Servicer shall petition or
otherwise invoke the process of any court or government authority for the
purpose of commencing or sustaining a case against the Issuer under any federal
or state bankruptcy, insolvency or similar law or appointing a receiver,
liquidator, assignee, trustee, custodian, sequestrator or other similar official
of the Issuer or any substantial part of its property, or ordering the winding
up or liquidation of the affairs of the Issuer.

         (b)      The Master Servicer shall not, nor cause the Seller to,
petition or otherwise invoke the process of any court or government authority
for the purpose of commencing or sustaining a case against the Seller under any
federal or state bankruptcy, insolvency or similar law or appointing a receiver,
liquidator, assignee, trustee, custodian, sequestrator or other similar official
of the Seller or any substantial part of its property, or ordering the winding
up or liquidation of the affairs of the Seller.

         Section 3.09. Collecting Title Documents Not Delivered at the Closing
Date. In the case of any Contract in respect of which written evidence from the
Dealer selling or transferring the related Financed Vehicle that the Title
Document for such Financed Vehicle showing the Master Servicer as first
lienholder has been applied for from the Registrar of Titles was delivered to
the

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<PAGE>

Owner Trustee on the Closing Date in lieu of a Title Document, the Master
Servicer shall use its best efforts to collect such Title Document from the
Registrar of Titles as promptly as possible. If such Title Document showing the
Master Servicer as first lienholder is not received by the Master Servicer or
the related Subservicer within 180 days after the Closing Date, then the
representation and warranty in Section 3.01(b)(iii) in respect of such Contract
shall be deemed to have been incorrect in a manner that materially and adversely
affects the Certificateholders.

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<PAGE>

                                  ARTICLE FOUR

                   ADMINISTRATION AND SERVICING OF CONTRACTS

         Section 4.01. Duties of Master Servicer. The Master Servicer, acting
alone or through one or more Subservicers as provided in this Section, shall, as
agent for the Indenture Trustee and the Owner Trustee, manage, service,
administer and make collections on the Contracts. The Master Servicer agrees
that its servicing of the Contracts shall be carried out in accordance with
customary and usual procedures of financial institutions which service motor
vehicle retail installment sales contracts and installment loans and, to the
extent more exacting, the procedures used by the Master Servicer in respect of
such contracts serviced by it for its own account. In accordance with the
foregoing, the Master Servicer may, whenever an Obligor has become delinquent or
the Master Servicer believes an Obligor may become delinquent, in order to
preserve the ultimate collectability of amounts due on a Contract, modify the
payment schedule on any Contract by reducing the APR on such Contract without
the consent of any Rating Agency; provided, however, that the new APR shall not
be less than the sum of (i) the Class D Rate and (ii) the Servicing Fee Percent.
In addition, in order to preserve the Trust Estate, the Master Servicer may,
without the consent of any Rating Agency, reduce the principal amount of a
Contract (i.e., write-down a portion of the principal amount due on such
Contract and, accordingly, lower the Monthly P&I on such Contract) to the extent
funds are available in the Spread Account to cover such reduction; provided,
however, the total amount of such modifications pursuant to the immediately
preceding sentence and this sentence and reductions (i) may not affect more than
1% of the Original Pool Balance through the Distribution Date nine months prior
to the Class D Final Scheduled Distribution Date and (ii) during a Collection
Period shall not affect Contracts having an aggregate Principal Balance greater
than 0.1% of the Aggregate Principal Balance at the beginning of such Collection
Period. Any such modifications or reductions exceeding such limits may be made
only with the consent of each Rating Agency. The Master Servicer may also extend
the Maturity Date on a Contract in accordance with Section 4.02. The Master
Servicer's duties shall include collection and posting of all payments,
responding to inquiries of Obligors on the Contracts, investigating
delinquencies, sending payment coupons to Obligors, reporting tax information to
Obligors, accounting for collections, furnishing monthly and annual statements
to the Indenture Trustee and the Owner Trustee with respect to distributions and
filing applicable United States tax returns for the Issuer on an annual basis,
based on a tax year for the Issuer that is the calendar year. The Master
Servicer shall have, subject to the terms hereof, full power and authority,
acting alone, and subject only to the specific requirements and prohibitions of
this Agreement, to do any and all things in connection with such managing,
servicing, administration and collection that it may deem necessary or
desirable; provided, however, that the Master Servicer shall commence
repossession efforts in respect of any Financed Vehicle respecting which the
related Contract is four or more months delinquent. Without limiting the
generality of the foregoing, but subject to the provisions of this Agreement,
the Master Servicer is authorized and empowered by the Indenture Trustee and the
Owner Trustee to execute and deliver, on behalf of itself, the Trust, the
Noteholders, the Certificateholders, the Indenture Trustee, the Owner Trustee or
any of them, any and all instruments of satisfaction or cancellation, or of
partial or full release or discharge, and all other comparable instruments, with
respect to the Contracts or to the Financed Vehicles. The Owner Trustee shall
furnish the Master Servicer all documents necessary or appropriate to enable the
Master Servicer to carry out its servicing and administrative duties hereunder.

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         On the Closing Date, the Master Servicer shall deliver to the Indenture
Trustee and the Owner Trustee a list of Servicing Officers involved in, or
responsible for, the administration and servicing of the Contracts, which list
shall from time to time be updated by the Master Servicer on request of the
Owner Trustee or the Indenture Trustee.

         The Master Servicer may enter into Subservicing Agreements with one or
more Subservicers approved by the Indenture Trustee for the servicing and
administration of certain of the Contracts (including holding the related
Contract Files as custodian). The Master Servicer shall notify each Rating
Agency promptly if a Subservicer is hired. References herein to actions taken or
to be taken by the Master Servicer in servicing the Contracts include actions
taken or to be taken by a Subservicer on behalf of the Master Servicer. Each
Subservicing Agreement will be upon such terms and conditions as are not
inconsistent with this Agreement and as the Master Servicer and the Subservicer
have agreed. With the approval of the Master Servicer, a Subservicer may
delegate its servicing obligations to third-party servicers, but such
Subservicer will remain obligated under the related Subservicing Agreement. The
Master Servicer and a Subservicer may enter into amendments thereto or different
forms of Subservicing Agreements; provided, however, that any such amendments or
different forms shall be consistent with and not violate the provisions of this
Agreement or materially adversely affect the rights of Noteholders or
Certificateholders hereunder.

         The Master Servicer shall be entitled to terminate any Subservicing
Agreement that may exist in accordance with the terms and conditions of such
Subservicing Agreement and without any limitation by virtue of this Agreement;
provided, however, that in the event of termination of any Subservicing
Agreement by the Master Servicer or the related Subservicer, the Master Servicer
shall either act directly as servicer of the related Contract or enter into a
Subservicing Agreement with a successor Subservicer approved by the Indenture
Trustee which will be bound by the terms of the related Subservicing Agreement.

         Notwithstanding any Subservicing Agreement, any of the provisions of
this Agreement relating to agreements or arrangements between the Master
Servicer or a Subservicer or reference to actions taken through such Persons or
otherwise, the Master Servicer shall remain obligated and liable to the
Indenture Trustee, the Owner Trustee and the Securityholders for the servicing
and administering of the Contracts 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 a
Subservicer and to the same extent and under the same terms and conditions as if
the Master Servicer alone were servicing and administering the Contracts. The
Master Servicer shall be entitled to enter into an agreement with a Subservicer
for indemnification of the Master Servicer and nothing contained in this
Agreement shall be deemed to limit or modify such indemnification.

         Any Subservicing Agreement that may be entered into and any other
transactions or servicing arrangements relating to the Contracts involving a
Subservicer or an Affiliate of the Master Servicer in its capacity as such, and
not as an originator of Contracts, shall be deemed to be between the Subservicer
or such Affiliate, as the case may be, and the Master Servicer alone, and none
of the Indenture Trustee, the Owner Trustee, the Noteholders nor the
Certificateholders shall be deemed parties thereto and shall have no claims,
rights, obligations, duties or liabilities with respect to the Subservicer
except as set forth in the immediately succeeding paragraph.

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<PAGE>

         In the event the Master Servicer shall for any reason no longer be
acting as servicer under this Agreement (including by reason of a Servicer
Default), the Indenture Trustee or its designee may, at the sole discretion of
the Indenture Trustee, thereupon assume all of the rights and obligations of
such Master Servicer under each Subservicing Agreement selected by the Indenture
Trustee in its sole discretion. In such event, the Indenture Trustee, its
designee or the successor servicer for the Indenture Trustee shall be deemed to
have assumed all of the Master Servicer's interest therein and to have replaced
the Master Servicer as a party to each such Subservicing Agreement to the same
extent as if such Subservicing Agreement had been assigned to the assuming party
except that the Master Servicer shall not thereby be relieved of any liability
or obligations under the Subservicing Agreement. The Master Servicer shall, upon
request of the Indenture Trustee but at the expense of the Master Servicer,
deliver to the assuming party all documents and records relating to each such
Subservicing Agreement and the Contracts 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 Agreement to the assuming
party.

         The Master Servicer, each Subservicer, and any new servicer appointed
following the resignation or termination of the Master Servicer, including any
Subservicer, shall at all times comply with all applicable federal, state and
local laws, rules, regulations and ordinances governing or relating to the
privacy rights of the Obligors in connection with its performance of its duties
under this Agreement including, without limitation, the Gramm-Leach-Bliley Act.
The Master Servicer, each Subservicer, and any new servicer appointed following
the resignation or termination of the Master Servicer, including any
Subservicer, shall implement such physical and other security measures as shall
be necessary to (a) ensure the security and confidentiality of the "nonpublic
personal information" of each Obligor, (b) protect against any threats or
hazards to the security and integrity of such nonpublic personal information and
(c) protect against any unauthorized access to or use of such nonpublic personal
information.

         The Master Servicer shall deposit in or credit to the Collection
Account within two Business Days of receipt all collections of Monthly P&I
received after the Cut-Off Date on or in respect of the Contracts together with
the proceeds of all Prepayments and any accompanying interest; provided,
however, that, to the extent any such installment of Monthly P&I or any such
Prepayment proceeds are received in respect of a Contract as to which there is
an outstanding and unreimbursed Advance or Advances, such installment or
proceeds shall, to the extent of any such unreimbursed Advance or Advances, be
retained by the Master Servicer in reimbursement of itself. The Master Servicer
shall likewise deposit in the Collection Account within two Business Days of
receipt all Net Liquidation Proceeds and Net Insurance Proceeds after deducting
therefrom the amount of any outstanding and unreimbursed Advances made by it in
respect of such Contract. The foregoing notwithstanding, the Master Servicer
may, in the event it determines that it has made a Nonrecoverable Advance or
Advances, reimburse itself from unrelated installments of Monthly P&I or
Prepayment proceeds to the extent it shall, concurrently with the withholding of
any such installment or proceeds from deposit in or credit to the Collection
Account as required above, furnish to the Indenture Trustee and the Owner
Trustee a certificate of a Servicing Officer setting forth the basis for the
Master Servicer's determination, the amount of and Contract with respect to
which such Nonrecoverable Advance was made and the installment or installments
or other proceeds respecting which reimbursement has been taken. The foregoing
requirements for deposit in the Collection Account are exclusive,

                                       39

<PAGE>

it being understood that collections in the nature of late payment charges or
extension fees or collections allocable to payments to be made by the Master
Servicer on behalf of Obligors for payment of insurance premiums, including
Advanced Insurance Premiums, or similar items need not be deposited in the
Collection Account and may be retained by the Master Servicer as additional
servicing compensation or for application on behalf of Obligors, as the case may
be.

         With respect to payments of Monthly P&I made by Obligors to the Master
Servicer's lock box, the Master Servicer shall direct the Person maintaining the
lock box to deposit, within two Business Days of receipt, the amount collected
on or in respect of the Contracts to the Collection Account.

         In those cases where a Subservicer is servicing a Contract pursuant to
a Subservicing Agreement, the Master Servicer shall cause the Subservicer to
remit to the Master Servicer for deposit in the Collection Account, on a daily
basis, within two Business Days after receipt by the Subservicer, all proceeds
of the Contracts and all Net Liquidation Proceeds and Net Insurance Proceeds
received by the Subservicer.

         In order to facilitate the servicing of the Contracts by the Master
Servicer, the Master Servicer shall retain, subject to and only to the extent
permitted by the provisions of this Agreement, all collections on or in respect
of the Contracts prior to the time they are remitted or credited, in accordance
with such provisions, to the Collection Account, as the case may be. The Master
Servicer acknowledges that the unremitted collections on the Contracts are part
of the Trust Estate and the Master Servicer agrees to act as custodian and
bailee of the Indenture Trustee and the Owner Trustee in holding such monies and
collections. The Master Servicer agrees, for the benefit of the Indenture
Trustee, the Owner Trustee and the Securityholders, to act as such custodian and
bailee, and to hold and deal with such monies and such collections, as custodian
and bailee for the Indenture Trustee and the Owner Trustee, in accordance with
the provisions of this Agreement.

         The Master Servicer shall retain all data (including, without
limitation, computerized records) relating directly to or maintained in
connection with the servicing of the Contracts at the address of the Master
Servicer set forth as Schedule B to this Agreement, at the office of any
Subservicer or, upon 15 days' notice to the Indenture Trustee and the Owner
Trustee, at such other place where the servicing offices of the Master Servicer
are located, and shall give the Indenture Trustee and the Owner Trustee access
to all data at all reasonable times. While a Servicer Default shall be
continuing, the Master Servicer shall, on demand of the Indenture Trustee or the
Owner Trustee, deliver or cause to be delivered to the Indenture Trustee or the
Owner Trustee, as the case may be, all data (including, without limitation,
computerized records and, to the extent transferable, related operating
software) necessary for the servicing of the Contracts and all monies collected
by it and required to be deposited in or credited to the Collection Account.

         The Master Servicer shall, or cause the Administrator to, prepare,
execute and deliver all certificates or other documents required to be delivered
by the Trust pursuant to the Sarbanes-Oxley Act of 2002 or the rules and
regulations promulgated thereunder.

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<PAGE>

         Section 4.02. Collection of Contract Payments. The Master Servicer
shall use its best efforts to collect all payments called for under the terms
and provisions of the Contracts as and when the same shall become due and shall
use its best efforts to cause each Obligor to make all payments in respect of
his or her Contract to the Master Servicer. Consistent with the foregoing, the
Master Servicer may in its discretion (i) waive any late payment charges in
connection with delinquent payments on a Contract or prepayment charges and (ii)
in order to work out a default or an impending default due to the financial
condition of the Obligor, modify the payment schedule of a Delinquent Contract
(subject to the next sentence) or extend the Maturity Date of a Delinquent
Contract by up to 90 days in the aggregate past the originally scheduled date of
the last payment on such Contract; provided, however, the Master Servicer shall
not defer payments more than three times over the life of such Contract;
provided, further, that in the case of any extension granted pursuant to clause
(ii) the Master Servicer makes an Advance in respect of such extension and in no
event can the last payment on such Contract be extended beyond the last day of
the Collection Period ending immediately prior to the Class D Final Scheduled
Distribution Date. The Master Servicer shall not extend the Maturity Date of a
Contract except as provided in clause (ii) of the preceding sentence and shall
not modify any Contracts except in accordance with the criteria and limitations
specified in Section 4.01.

         Section 4.03. Realization upon Defaulted Contracts and Liquidated
Contracts. The Master Servicer shall use its best efforts, consistent with the
servicing standard specified in Section 4.01, to repossess or otherwise convert
the ownership of the Financed Vehicle securing any Contract as to which no
satisfactory arrangements can be made for collection of delinquent payments.
Such servicing procedures may include reasonable efforts to realize upon any
recourse to Dealers and selling the Financed Vehicle at public or private sale.
In connection with such repossession or other conversion, the Master Servicer
shall follow such practices and procedures as it shall deem necessary or
advisable and as shall be normal and usual for prudent holders of motor vehicle
retail installment sales contracts and installment loans and as shall be in
compliance with all applicable laws, and, in connection with the repossession of
any Financed Vehicle or any Contract in default, may commence and prosecute any
proceedings in respect of such Contract in its own name or, if the Master
Servicer deems it necessary, in the name of the Owner Trustee or on behalf of
the Owner Trustee. The Master Servicer's obligations under this Section are
subject to the proviso that, in the case of damage to a Financed Vehicle from an
uninsured cause, the Master Servicer shall not be required to expend its own
funds in repairing such Financed Vehicle unless it shall determine (i) that such
restoration will increase the proceeds of liquidation of the related Contract,
after reimbursement to itself for such expenses, and (ii) that such expenses
will be recoverable by it either as Liquidation Expenses or as expenses
recoverable under an applicable Insurance Policy. In the event that the Master
Servicer determines that, in its best judgment, further collection efforts by it
as to a Liquidated Contract will not result in the realization of additional Net
Liquidation Proceeds to the Trust, the Master Servicer may, in the name of the
Owner Trustee, and for the benefit of the Trust, sell the Liquidated Contract to
any party not affiliated with the Master Servicer free and clear of the rights
of the Issuer. The Master Servicer shall be responsible for all other costs and
expenses incurred by it in connection with any action taken in respect of a
Defaulted Contract; provided, however, that it shall be entitled to
reimbursement of such costs and expenses to the extent they are paid by an
Obligor. All Net Liquidation Proceeds, Net Insurance Proceeds and proceeds of
the sale of Contracts hereunder shall be deposited directly in or credited to
the Collection Account (without deposit in any intervening account) to the
extent required by Section 5.02.

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<PAGE>

         Section 4.04. Insurance. To the extent the Obligor fails to maintain a
comprehensive and collision insurance policy in an amount at least equal to the
lesser of (i) the actual cash value of the Financed Vehicle or (ii) the
principal amount due from the Obligor under the related Contract, the Master
Servicer shall obtain the LDI Policy in respect of such Financed Vehicle;
provided, however, that the Master Servicer shall not be required to maintain
such insurance in respect of any Financed Vehicle as to which the related
Contract has an unpaid principal balance of less than $4,000 or the related
Contract has six or fewer months remaining before its Maturity Date.

         Section 4.05. Maintenance of Security Interests in Financed Vehicles.
The Master Servicer shall take such steps as are necessary to maintain
continuous perfection and priority of the security interest created by each
Contract in the related Financed Vehicle, including obtaining the execution by
the Obligors and the recording, registering, filing, re-recording,
re-registering and refiling of all security agreements, financing statements,
continuation statements or other instruments as are necessary to maintain the
security interest granted by Obligors under the respective Contracts. The Owner
Trustee and the Indenture Trustee each hereby authorizes the Master Servicer to
take such steps as are necessary to re-perfect such security interest on behalf
of the Issuer in the event of the relocation of a Financed Vehicle or for any
other reason.

         Section 4.06. Covenants, Representations and Warranties of the Master
Servicer. The Master Servicer hereby makes the following covenants,
representations and warranties on which the Issuer is deemed to have relied in
acquiring the Contracts. Such covenants, representations and warranties speak as
of the execution and delivery of this Agreement and as of the Closing Date, but
shall survive the sale, transfer and assignment of the Contracts to the Issuer
and the pledge thereof to the Indenture Trustee pursuant to the Indenture.

         (a)      The Master Servicer covenants as to the Contracts:

                  (i)      Lien in Force. The Financed Vehicle securing each
         Contract shall not be released from the lien granted by the Contract in
         whole or in part, except as contemplated herein.

                  (ii)     Impairment. The Master Servicer shall not impair the
         rights of the Noteholders and the Certificateholders in the Contracts.

                  (iii)    Amendments. The Master Servicer shall not amend the
         terms of any Contract, except that extensions or modifications may be
         granted in accordance with Section 4.02.

                  (iv)     Transfers. The Master Servicer may consent to the
         sale or transfer by an Obligor of any Financed Vehicle only if the
         original Obligor under the related Contract remains liable under such
         Contract and the transferee assumes all of the Obligor's obligations
         thereunder.

                  (v)      Security Interest. The Master Servicer shall maintain
         the perfection and priority of the Issuer's and the Indenture Trustee's
         security interests in the Contracts.

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         (b)      The Master Servicer represents, warrants and covenants:

                  (i)      Organization and Good Standing. The Master Servicer
         (A) has been duly organized and is validly existing as a corporation in
         good standing under the laws of the State of California, (B) has
         qualified to do business as a foreign corporation and is in good
         standing in each jurisdiction where the character of its properties or
         the nature of its activities makes such qualification necessary and (C)
         has full power, authority and legal right to own its property, to carry
         on its business as presently conducted and to enter into and perform
         its obligations under this Agreement.

                  (ii)     Power and Authority. The execution and delivery by
         the Master Servicer of this Agreement are within the corporate power of
         the Master Servicer and have been duly authorized by all necessary
         corporate action on the part of the Master Servicer. Neither the
         execution and delivery of this Agreement, nor the consummation of the
         transactions herein contemplated, nor compliance with the provisions
         hereof, will conflict with or result in a breach of, or constitute a
         default under, any of the provisions of any law, governmental rule,
         regulation, judgment, decree or order binding on the Master Servicer or
         its properties or the articles of incorporation or bylaws of the Master
         Servicer, or any of the provisions of any indenture, mortgage, contract
         or other instrument to which the Master Servicer is a party or by which
         it is bound or result in the creation or imposition of any lien, charge
         or encumbrance upon any of its property pursuant to the terms of any
         such indenture, mortgage, contract or other instrument.

                  (iii)    Governmental Consents. The Master Servicer is not
         required to obtain the consent of any other party or consent, license,
         approval or authorization, or registration or declaration with, any
         governmental authority, bureau or agency in connection with the
         execution, delivery, performance, validity or enforceability of this
         Agreement, except (in each case) such as have been obtained and are in
         full force and effect.

                  (iv)     Binding Obligation. This Agreement has been duly
         executed and delivered by the Master Servicer and, assuming the due
         authorization, execution and delivery thereof by the Owner Trustee and
         the Indenture Trustee, constitutes a legal, valid and binding
         instrument enforceable against the Master Servicer in accordance with
         its terms (subject to applicable bankruptcy and insolvency laws and
         other similar laws affecting the enforcement of creditors' rights
         generally).

                  (v)      No Proceedings. There are no actions, suits or
         proceedings pending or, to the knowledge of the Master Servicer,
         threatened against or affecting the Master Servicer, before or by any
         court, administrative agency, arbitrator or governmental body with
         respect to any of the transactions contemplated by this Agreement, or
         which will, if determined adversely to the Master Servicer, materially
         and adversely affect it or its business, assets, operations or
         condition, financial or otherwise, or adversely affect the Master
         Servicer's ability to perform its obligations hereunder. The Master
         Servicer is not in default with respect to any order of any court,
         administrative agency, arbitrator or governmental body so as to
         materially and adversely affect the transactions contemplated by the
         above-mentioned documents.

                                       43

<PAGE>

                  (vi)     Other Consents. The Master Servicer has obtained or
         made all necessary consents, approvals, waivers and notifications of
         creditors, lessors and other nongovernmental persons, in each case in
         connection with the execution and delivery of, and the consummation of
         the transactions contemplated by, this Agreement.

         Section 4.07. Repurchase of Contracts upon Breach of Covenant. The
Master Servicer or the Owner Trustee shall inform the other party and the
Indenture Trustee promptly, in writing, upon the discovery of any breach
pursuant to Section 4.02, 4.05 or 4.06. Unless the breach shall have been cured
within 30 days following such discovery, the Master Servicer shall purchase any
Contract materially and adversely affected by such breach. In consideration of
the purchase of such Contract, the Master Servicer shall remit the Repurchase
Amount in the manner specified in Section 5.04. The sole remedy of the Issuer,
the Owner Trustee, the Indenture Trustee, the Certificateholders or the
Noteholders with respect to a breach pursuant to Section 4.02, 4.05 or 4.06
shall be to require the Master Servicer to purchase Contracts pursuant to this
Section; provided, however, that the Master Servicer shall indemnify the Owner
Trustee, the Indenture Trustee, the Issuer and the Securityholders against all
costs, expenses, losses, damages, claims and liabilities, including reasonable
fees and expenses of counsel, which may be asserted against or incurred by any
of them as a result of third-party claims arising out of the events or facts
giving rise to such breach. The Owner Trustee shall have no duty to conduct any
affirmative investigation as to the occurrence of any condition requiring the
repurchase of any Contract pursuant to this Section.

         Section 4.08. Servicing Compensation. As compensation for the
performance of its obligations under this Agreement and subject to the terms of
this Section, the Master Servicer shall be entitled to receive on each
Distribution Date the Servicing Fee. As servicing compensation in addition to
the Servicing Fee, the Master Servicer shall be entitled to retain all late
payment charges, extension fees and similar items paid in respect of the
Contracts. The Master Servicer shall pay all expenses incurred by it in
connection with its servicing activities hereunder, which expenses shall include
all out-of-pocket expenses incurred in connection with the repossession of a
Financed Vehicle and any Advanced Insurance Premium to the extent that any such
amounts are not paid or otherwise reimbursed by the related Obligor, and shall
not be entitled to reimbursement of such expenses except to the extent provided
in this Section or in Section 4.03.

         Section 4.09. Reporting by the Master Servicer.

         (a)      On each Master Servicer Report Date, the Master Servicer shall
transmit to the Owner Trustee, the Indenture Trustee, the Backup Servicer and
each Rating Agency a statement, substantially in the form of Exhibit B (the
"Distribution Date Statement"), setting forth with respect to the next
succeeding Distribution Date:

                  (i)      the Interest Distributable Amount for each Class of
         Notes;

                  (ii)     the Class A Principal Distributable Amount, the Class
         B Principal Distributable Amount, the Class C Principal Distributable
         Amount and the Class D Principal Distributable Amount for such
         Distribution Date;

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                  (i)      the amount of principal actually distributed to each
         Class of Noteholders on such Distribution Date;

                  (ii)     with respect to each Class of Notes, the excess, if
         any, of the Aggregate Principal Distributable Amount over the amount of
         principal actually distributed on the Notes on such Distribution Date;

                  (iii)    the Net Collections for such Distribution Date;

                  (iv)     the amount to be on deposit in the Spread Account on
         such Distribution Date, before and after giving effect to deposits
         thereto and withdrawals therefrom to be made in respect of such
         Distribution Date;

                  (v)      the Servicing Fee with respect to the related
         Collection Period;

                  (vi)     the amount of any Interest Carryover Shortfall on
         such Distribution Date and the change in such amounts from those with
         respect to the immediately preceding Distribution Date;

                  (vii)    the aggregate amount of Monthly P&I which was due on
         the Contracts during the related Collection Period and was delinquent
         as of the end of the related Collection Period (any such payment of
         Monthly P&I being presumed to be delinquent to the extent that it was
         not deposited in or credited to the Collection Account during such
         Collection Period);

                  (viii)   the amount set forth in clause (ix) above which is
         being advanced concurrently with such Distribution Date Statement by
         the Master Servicer pursuant to Section 5.04, the amount of any such
         Advance being deposited in or credited to the Collection Account on
         such Master Servicer Report Date;

                  (ix)     the aggregate amount of any Nonrecoverable Advances
         deducted by the Master Servicer from amounts otherwise required to be
         deposited by the Master Servicer in the Collection Account during the
         related Collection Period;

                  (x)      the Aggregate Net Liquidation Losses for the related
         Collection Period;

                  (xi)     the amount of Contracts which have had their APR or
         principal amount modified pursuant to Section 4.01 and the percentage
         that amount constitutes of the Original Principal Balance on a
         cumulative basis; in addition the aggregate Principal Balance of
         Contracts so modified as a percentage of the Aggregate Principal
         Balance for the most recent Distribution Date;

                  (xii)    the Spread Account Withdrawal Amount and the Excess
         Spread Account Amount, if any, for such Distribution Date;

                  (xiii)   the Certificate Distributable Amount;

                                       45

<PAGE>

                  (xiv)    the Net Chargeoff Percentage;

                  (xv)     the sum of the Principal Balances of Delinquents
         Contracts;

                  (xvi)    the sum of the Principal Balance of Contracts that
         became Defaulted Contracts during the related Collection Period;

                  (xvii)   the Aggregate Principal Balance at the beginning and
         end of the related Collection Period;

                  (xviii)  Repurchase Amounts included in Net Collections for
         such Distribution Date;

                  (xix)    the Overcollateralization Amount and the amount by
         which the Aggregate Principal Balance exceeds the Outstanding Amount of
         the Notes (after giving effect to any payments made to Holders of the
         Notes on that Distribution Date);

                  (xx)     Net Collections excluding any Advance and Repurchase
         Amounts included in Net Collections for such Distribution Date; and

                  (xxi)    the amount otherwise distributable to the
         Certificateholders.

Each such Distribution Date Statement shall be accompanied by an Officers'
Certificate of the Master Servicer stating that the computations reflected in
such statement were made in conformity with the requirements of this Agreement.

         (b)      On each Master Servicer Report Date, the Master Servicer shall
deliver to the Owner Trustee, the Indenture Trustee and each Rating Agency a
report, in respect of the immediately preceding Collection Period, setting forth
the following:

                  (i)      the aggregate amount, if any, paid by or due from it
         for the purchase of Contracts which the Seller or the Master Servicer
         has become obligated to purchase pursuant to Section 3.02 or 4.07 or
         the Seller has elected to purchase pursuant to Section 9.01;

                  (ii)     the net amount of funds which have been deposited in
         or credited to the Collection Account in respect of such Collection
         Period after giving effect to all permitted deductions therefrom
         pursuant to Section 5.02;

                  (iii)    upon request of any of the Owner Trustee, the
         Indenture Trustee or a Rating Agency, with respect to each Contract
         that became a Liquidated Contract during such Collection Period, the
         following information:

                           (A)      its Contract Number;

                           (B)      the effective date as of which such Contract
                  became a Liquidated Contract;

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<PAGE>

                           (C)      its Monthly P&I and Principal Balance as of
                  the immediately preceding Distribution Date (or as of the
                  Cut-Off Date in the case of the first Distribution Date); and

                           (D)      if less than 100% of the outstanding
                  principal balance of and accrued and unpaid interest was
                  recovered on such Liquidated Contract, the amount of the Net
                  Liquidation Proceeds or Net Insurance Proceeds;

                  (iv)     upon request of any of the Owner Trustee, the
         Indenture Trustee or a Rating Agency, the Contract Numbers, Monthly
         P&I, Principal Balances and Maturity Dates of all Contracts which
         became Defaulted Contracts during such Collection Period;

                  (v)      any other information relating to the Contracts
         reasonably requested by the Owner Trustee, the Indenture Trustee and
         each Rating Agency; and

                  (vi)     the amount of Net Liquidation Proceeds and Net
         Insurance Proceeds which have been deposited in or credited to the
         Collection Account in respect of the Collection Period ending
         immediately prior to such Master Servicer Report Date and the
         cumulative amount of Net Liquidation Proceeds and Net Insurance
         Proceeds deposited in or credited to the Collection Account during all
         preceding Collection Periods.

         Section 4.10. Annual Statement as to Compliance. The Master Servicer
shall deliver to the Owner Trustee, the Indenture Trustee and each Rating
Agency, on or before 90 days after the end of each fiscal year of the Master
Servicer, beginning with the fiscal year ended December 31, 2003, an Officers'
Certificate of the Master Servicer stating that (i) a review of the activities
of the Master Servicer during the preceding fiscal year (or since the Closing
Date in the case of the first such Officers' Certificate) and of its 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 Master Servicer
has fulfilled all its obligations under this Agreement throughout such year and
that no default under this Agreement has occurred and is continuing, or, if
there has been a default in the fulfillment of any such obligation, specifying
each such default known to such officer and the nature and status thereof. A
copy of such certificate and the report referred to in Section 4.11 may be
obtained by any (i) Certificateholder or Certificate Owner by a request in
writing to the Owner Trustee addressed to the Owner Trustee Corporate Trust
Office or (ii) Noteholder or Note Owner by a request in writing to the Indenture
Trustee addressed to the Corporate Trust Office. Upon the telephone request of
the Owner Trustee, the Indenture Trustee will promptly furnish the Owner Trustee
a list of Noteholders as of the date specified by the Owner Trustee.

         Section 4.11. Annual Independent Certified Public Accountants' Report.
On or before 90 days after the end of the first fiscal year of the Master
Servicer which ends more than three months after the Closing Date and each
fiscal year thereafter, the Master Servicer at its expense shall cause a firm of
nationally-recognized independent certified public accountants (who may also
render other services to the Master Servicer) to furnish a report to the
Indenture Trustee, the Owner Trustee and each Rating Agency to the effect that
(i) they have audited the balance sheet of the Master Servicer as of the last
day of said fiscal year and the related statements of operations, retained
earnings and cash flows for such fiscal year and have issued an opinion

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thereon, specifying the date thereof, (ii) they have also audited certain
documents and the records relating to the servicing of the Contracts and the
distributions on the Notes and the Certificates hereunder, (iii) their audit as
described under clauses (i) and (ii) above was made in accordance with generally
accepted auditing standards and accordingly included such tests of the
accounting records and such other auditing procedures as they considered
necessary in the circumstances and (iv) their audits described under clauses (i)
and (ii) above disclosed no exceptions which, in their opinion, were material,
relating to the servicing of such Contracts in accordance with this Agreement
and the making of distributions on the Notes and Certificates in accordance with
this Agreement, or, if any such exceptions were disclosed thereby, setting forth
such exceptions which, in their opinion, were material.

         Section 4.12. Access to Certain Documentation and Information Regarding
Contracts. The Master Servicer shall provide to the Indenture Trustee and the
Securityholders access to the Contract Files in such cases where the
Certificateholders or Noteholders shall be required by applicable statutes or
regulations to review such documentation. Access shall be afforded without
charge, but only upon reasonable request and during the normal business hours at
the designated offices of the Master Servicer and each related Subservicer, if
any. Nothing in this Section shall affect the obligation of the Master Servicer
to observe any applicable law prohibiting disclosure of information regarding
the Obligors and the failure of the Master Servicer to provide access to
information as a result of such obligation shall not constitute a breach of this
Section.

         Section 4.13. Fidelity Bond. The Master Servicer shall maintain a
fidelity bond in such form and amount as is customary for banks acting as
custodian of funds and documents in respect of mortgage loans or consumer
contracts on behalf of institutional investors.

         Section 4.14. Indemnification; Third Party Claims. Subject to Section
8.02, the Master Servicer agrees to indemnify and hold the Indenture Trustee,
the Owner Trustee and the Securityholders harmless against any and all claims,
losses, penalties, fines, forfeitures, reasonable legal fees and related costs,
judgments and any reasonable other costs, fees and expenses that the Indenture
Trustee, the Owner Trustee, the Noteholders or the Certificateholders may
sustain because of the failure of the Master Servicer to perform its duties and
service the Contracts in compliance with the terms of this Agreement. The Master
Servicer shall immediately notify the Indenture Trustee and the Owner Trustee if
a claim is made by a third party with respect to the Contracts, assume, with the
consent of the Indenture Trustee and the Owner Trustee, the defense of any such
claim and pay all expenses in connection therewith, including counsel fees, and
promptly pay, discharge and satisfy any judgment or decree which may be entered
against it or Indenture Trustee, the Owner Trustee, the Noteholders or the
Certificateholders.

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                                  ARTICLE FIVE

          DISTRIBUTIONS; SPREAD ACCOUNT; STATEMENTS TO SECURITYHOLDERS

         Section 5.01. Establishment of Trust Accounts.

         (a)      Prior to the Closing Date, the Master Servicer shall open, at
a depository institution (which may be the Indenture Trustee or the Bank), the
following accounts (the "Trust Accounts"):

                  (i)      an account in the name of the Indenture Trustee (the
         "Collection Account"), bearing a designation clearly indicating that
         the funds deposited therein are held for the benefit of the
         Securityholders;

                  (ii)     an account in the name of the Indenture Trustee (the
         "Spread Account"), bearing a designation clearly indicating that the
         funds deposited therein are held for the benefit of the
         Securityholders;

                  (iii)    an account in the name of the Indenture Trustee (the
         "Note Distribution Account") bearing a designation clearly indicating
         that the funds deposited therein are held for the benefit of the
         Noteholders; and

                  (iv)     an account in the name of the Owner Trustee (the
         "Certificate Distribution Account") bearing a designation clearly
         indicating that the funds deposited therein are held for the benefit of
         the Certificateholders.

         The Trust Accounts shall be Eligible Accounts and relate solely to the
Securities and to the Contracts and Eligible Investments. The Master Servicer
shall give the Indenture Trustee and the Owner Trustee at least five Business
Days' written notice of any change in the location of any Trust Account and any
related account identification information. All monies deposited in or credited
to, from time to time, the Trust Accounts shall be part of the Trust Estate and
all monies deposited in or credited to, from time to time, the Collection
Account, the Spread Account, the Certificate Distribution Account and the Note
Distribution Account shall be invested by the Indenture Trustee in Eligible
Investments pursuant to Section 5.01(b).

         (b)      All funds in the Collection Account, the Spread Account, the
Note Distribution Account and the Certificate Distribution Account shall be
invested by the Indenture Trustee in Eligible Investments. Unless and until the
RIC is no longer an Eligible Investment, all funds in such Trust Accounts, in
each case that are available for investment in Eligible Investments, shall be
invested in the RIC; provided, however, that funds in the Spread Account, the
Note Distribution Account and the Certificate Distribution Account may only be
invested in the RIC with the consent of Moody's. If the RIC is no longer an
Eligible Investment then, subject to the limitations set forth herein, the
Master Servicer shall direct the Indenture Trustee in writing to invest funds in
the foregoing Trust Accounts in Eligible Investments, other than the RIC. All
such investments shall be in the name of the Indenture Trustee for the benefit
of the Noteholders and the Certificateholders, as applicable. All income or
other gain from investment of monies deposited in or credited to the Collection
Account (including without limitation the RIC Reinvestment Earnings) shall be
deposited in or credited to the Collection Account immediately

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<PAGE>

upon receipt, and any loss resulting from such investment shall be charged to
the Collection Account. All income or other gain from investment of monies
deposited in or credited to the Spread Account (including without limitation the
RIC Reinvestment Earnings) shall be deposited in or credited to the Spread
Account immediately upon receipt, and any loss resulting from such investment
shall be charged to the Spread Account. All income or other gain from investment
of monies deposited in or credited to the Note Distribution Account (including
without limitation the RIC Reinvestment Earnings) shall be deposited in or
credited to the Note Distribution Account immediately upon receipt, and any loss
resulting from such investment shall be charged to the Note Distribution
Account. All income or other gain from investment of monies deposited in or
credited to the Certificate Distribution Account (including without limitation
the RIC Reinvestment Earnings) shall be deposited in or credited to the
Certificate Distribution Account immediately upon receipt, and any loss
resulting from such investment shall be charged to the Certificate Distribution
Account. The maximum permissible maturities of any investments of funds in the
Collection Account, the Spread Account, the Note Distribution Account and the
Certificate Distribution Account on any date shall not be later than one
Business Day immediately preceding the Distribution Date next succeeding the
date of such investment; provided, however, that such funds may be invested by
the Indenture Trustee in Eligible Investments (other than the RIC) that mature
on the Business Day before the Distribution Date. No investment in Eligible
Investments may be sold prior to its maturity.

         (c)      (i)      The Indenture Trustee shall possess all right, title
and interest in all funds on deposit from time to time in the Trust Accounts,
other than the Certificate Distribution Account, and in all proceeds thereof
(including all income thereon) and all such funds, investments, proceeds and
income shall be part of the Trust Estate. The Trust Accounts, other than the
Certificate Distribution Account, shall be under the sole dominion and control
of the Indenture Trustee for the benefit of the Noteholders and the
Certificateholders, as the case may be; provided however, that the Indenture
Trustee shall invest funds in the Certificate Distribution Account pursuant to
Section 5.01(b). The Certificate Distribution Account shall be in the name of
the Owner Trustee for the benefit of the Certificateholders. If, at any time,
any of the Trust Accounts ceases to be an Eligible Account, the Indenture
Trustee (or the Master Servicer on its behalf) shall within ten Business Days
(or such longer period, not to exceed 30 calendar days, as to which each Rating
Agency may consent) establish a new Trust Account as an Eligible Account and
shall transfer any cash or any investments to such new Trust Account.

                  (ii)     With respect to the Trust Account Property, the
         Indenture Trustee agrees, by its acceptance hereof, that:

                           (A)      any Trust Account Property that is held in
                  deposit accounts shall be held solely in the Eligible
                  Accounts, subject to the last sentence of Section 5.01(c)(i);
                  and each such Eligible Account shall be subject to the
                  exclusive custody and continuous control of the Indenture
                  Trustee within the meaning of Section 9-104(a) of the
                  applicable UCC, and the Indenture Trustee shall have sole
                  signature authority with respect thereto;

                           (B)      any Trust Account Property that constitutes
                  Physical Property shall be delivered to the Indenture Trustee
                  in accordance with paragraph (i) of the definition of the term
                  "Delivery" and shall be held, pending maturity or

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<PAGE>

                  disposition, solely by the Indenture Trustee or a Financial
                  Intermediary acting solely for the Indenture Trustee;

                           (C)      any Trust Account Property that is a
                  book-entry security held through the Federal Reserve System
                  pursuant to federal book-entry regulations shall be delivered
                  in accordance with paragraph (ii) of the definition of the
                  term "Delivery" and shall be maintained by the Indenture
                  Trustee, pending maturity or disposition, through continued
                  book-entry registration of such Trust Account Property as
                  described in such paragraph; and

                           (D)      any Trust Account Property that is an
                  "uncertificated security" under Article Eight of the UCC and
                  that is not governed by clause (C) above shall be delivered to
                  the Indenture Trustee in accordance with paragraph (iii) of
                  the definition of the term "Delivery" and shall be maintained
                  by the Indenture Trustee, pending maturity or disposition,
                  through continued registration of the Indenture Trustee's (or
                  its nominee's) ownership of such security.

                  (iii)    The Master Servicer shall have the power, revocable
         by the Indenture Trustee or by the Owner Trustee with the consent of
         the Indenture Trustee, to instruct the Indenture Trustee to make
         withdrawals and payments from the Trust Accounts for the purpose of
         permitting the Master Servicer or the Owner Trustee to carry out its
         respective duties hereunder or permitting the Indenture Trustee to
         carry out its duties under the Indenture.

         Section 5.02. Collections; Net Deposits.

         (a)      Subject to Sections 4.01, 5.02 (b) and 5.03, the Master
Servicer shall remit or credit all payments by the Obligors on the Contracts,
all payments on behalf of Obligors on the Contracts and all Net Liquidation
Proceeds and Net Insurance Proceeds to the Collection Account (within two
Business Days as specified in Section 4.01); provided that the Master Servicer
shall retain from collection of late payments and Net Liquidation Proceeds or
Net Insurance Proceeds in respect of a Contract an amount equal to previously
unreimbursed Advances in respect of such Contract made pursuant to Section 5.04.

         (b)      So long as the Master Servicer is WFS, the Master Servicer
shall have the right, on a basis not more frequently than once per month
(although deposits shall be made into the Collection Account within two Business
Days pursuant to Section 4.01), to deduct from amounts received that are
otherwise required to be deposited in or credited to the Collection Account and,
to the extent such amounts are insufficient, to require that the Indenture
Trustee withdraw and deliver to it from the Collection Account, amounts due to
be paid hereunder to the Master Servicer or to the Seller after giving effect to
application of the payment priorities specified in this Article for the month
(or other applicable period), and to pay such amounts to itself as Master
Servicer or to the Seller, as the case may be. Notwithstanding the foregoing,
the Master Servicer shall maintain the records and accounts for such deposits
and credits on a gross basis.

         Section 5.03. Application of Collections. On or prior to the last day
of each Collection Period, all collections for each such Collection Period shall
be applied by the Master Servicer as

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follows: with respect to each Contract (including a Defaulted Contract),
payments by or on behalf of an Obligor shall be applied in the following order:
(a) unpaid amounts due on the Contract in a prior Collection Period; (b)
interest due on the Contract; (c) interest due on any Advanced Insurance
Premium; (d) principal due on the Contract; (e) principal due on any Advanced
Insurance Premium; (f) extension fees, if any; (g) late payment fees, if any;
and (h) administrative charges, if any. Any excess shall be applied to prepay
the principal balance of the Contract.

         Section 5.04. Advances and Nonrecoverable Advances; Repurchase Amounts.

         (a)      If, as of the end of any Collection Period, one or more
payments of Monthly P&I due under any Contract (other than a Liquidated
Contract) Outstanding at the end of such Collection Period shall not have been
received by the Master Servicer and deposited in or credited to the Collection
Account pursuant to Section 5.02(a), the Master Servicer shall make,
concurrently with the furnishing of the related Distribution Date Statement to
the Indenture Trustee and the Owner Trustee, the Advance for such Collection
Period by depositing in or crediting to the Collection Account with respect to
each Contract 30 days of interest on the Principal Balance of such Contract at a
rate equal to the sum of (i) the Class D Rate and (ii) the Servicing Fee Percent
for each month that the related Monthly P&I is delinquent at the end of such
Collection Period. The Master Servicer shall account for such deposit or credit
in accordance with Section 4.01. The foregoing notwithstanding, the Master
Servicer shall not make an Advance in respect of a Contract if the Master
Servicer shall have determined that any such Advance, if made, would constitute
a Nonrecoverable Advance. Any such determination shall be evidenced by an
Officers' Certificate furnished to the Indenture Trustee and the Owner Trustee
setting forth the basis for such determination.

         (b)      If the Master Servicer determines that it has made a
Nonrecoverable Advance or Advances, the Master Servicer shall reimburse itself,
without interest, from unrelated installments of Monthly P&I or Prepayment
proceeds to the extent it shall, concurrently with the withholding of any such
installment or proceeds from deposit in or credit to the Collection Account as
required by Section 5.02, furnish to the Indenture Trustee and the Owner Trustee
a certificate of a Servicing Officer setting forth the basis for the Master
Servicer's determination, the amount of, and Contract with respect to which,
such Nonrecoverable Advance was made and the installment or installments or
other proceeds respecting which reimbursement has been taken; provided, however,
that the Master Servicer must provide such certificate within three months of
such Nonrecoverable Advance or Advances.

         (c)      The Master Servicer or the Seller, as the case may be, shall
remit or credit to the Collection Account the aggregate Repurchase Amount with
respect to Repurchased Contracts on the Master Servicer Report Date next
succeeding the last day of the related cure period specified in Section 3.02 or
4.07, as the case may be. In addition, the Master Servicer and the Seller shall
deposit or cause to be deposited in the Collection Account the aggregate
Repurchase Amount with respect to Repurchased Contracts.

         (d)      The Master Servicer and the Seller shall deposit or caused to
be deposited into the Collection Account the Aggregate Repurchase Amount of
Contracts purchased pursuant to Section 9.01(a).

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<PAGE>

         Section 5.05. Distributions.

         (a)      Subject to Section 5.05(e), on each Distribution Date, the
Master Servicer shall instruct the Indenture Trustee (based on the information
contained in the Distribution Date Statement delivered on the related Master
Servicer Report Date pursuant to Section 4.09) to make the following deposits
and distributions for receipt by the Master Servicer or deposit in the
applicable account by 11:00 a.m. (New York time), to the extent of the Available
Funds for such Distribution Date, in the following order of priority:

                  (i)      to the Master Servicer, the Servicing Fee, including
         any unpaid Servicing Fees with respect to one or more prior Collection
         Periods;

                  (ii)     to the Indenture Trustee, any accrued and unpaid fees
         and expenses payable to the Indenture Trustee and to the Owner Trustee,
         any accrued and unpaid fees and expenses payable to the Owner Trustee,
         in each case to the extent such fees and expenses have not been
         previously paid by the Master Servicer;

                  (iii)    to the Note Distribution Account, the Interest
         Distributable Amount for each class of Class A Notes, for payment of
         interest on each class of Class A Notes, pro rata in proportion to
         their respective outstanding principal amounts;

                  (iv)     to the Note Distribution Account, the Class A
         Undercollateralization Amount, for payment of principal on the Notes in
         the priority set forth in Section 5.05(b);

                  (v)      to the Note Distribution Account, the Interest
         Distributable Amount for the Class B Notes, for payment of interest on
         the Class B Notes;

                  (vi)     to the Note Distribution Account, the Class B
         Undercollateralization Amount, for payment of principal on the Notes in
         the priority set forth in Section 5.05(b);

                  (vii)    to the Note Distribution Account, the Interest
         Distributable Amount for the Class C Notes, for payment of interest on
         the Class C Notes;

                  (viii)   to the Note Distribution Account, the Class C
         Undercollateralization Amount, for payment of principal on the Notes in
         the priority set forth in Section 5.05(b);

                  (ix)     to the Note Distribution Account, the Interest
         Distributable Amount for the Class D Notes, for payment of interest on
         the Class D Notes; and

                  (x)      to the Note Distribution Account, an amount equal to
         the sum of the Class D Undercollateralization Amount and the
         Overcollateralization Distributable Amount, for payment of principal on
         the Notes in the priority set forth in Section 5.05(b).

         (b)      On each Distribution Date, the Master Servicer shall instruct
the Indenture Trustee (based on the information contained in the Distribution
Date Statement delivered on the related Master Servicer Report Date pursuant to
Section 4.09), to distribute any amount deposited into the Note Distribution
Account as payment of principal on the Notes pursuant to Section 5.05(a) in the
following amounts and order of priority:

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<PAGE>

                           (i)      to the Holders of the Class A Notes, in the
         priority set forth in Section 5.05(c), the Class A Principal
         Distributable Amount, until the Class A Notes are paid in full;

                           (ii)     to the Holders of the Class B Notes, the
         Class B Principal Distributable Amount, until the Class B Notes are
         paid in full;

                           (iii)    to the Holders of the Class C Notes, the
         Class C Principal Distributable Amount, until the Class C Notes are
         paid in full; and

                           (iv)     to the Holders of the Class D Notes, the
         Class D Principal Distributable Amount, until the Class D Notes are
         paid in full.

         (c)      On each Distribution Date, the Master Servicer shall instruct
the Indenture Trustee (based on the information contained in the Distribution
Date Statement delivered on the related Master Servicer Report Date pursuant to
Section 4.09), to distribute the Class A Principal Distributable Amount in the
following order of priority:

                           (i)      to the Holders of the Class A-1 Notes until
         the Class A-1 Notes are paid in full;

                           (ii)     to the Holders of the Class A-2 Notes until
         the Class A-2 Notes are paid in full;

                           (iii)    to the Holders of the Class A-3 Notes until
         the Class A-3 Notes are paid in full; and

                           (iv)     to the Holders of the Class A-4 Notes until
         the Class A-4 Notes are paid in full.

         (d)      On each Distribution Date, the Master Servicer shall instruct
the Indenture Trustee (based on the information contained in the Distribution
Date Statement delivered on the related Master Servicer Report Date pursuant to
Section 4.09), to distribute any excess amounts remaining from Available Funds
after making the distributions described in Section 5.05(a) to the Spread
Account. On each Distribution Date, the Master Servicer shall instruct the
Indenture Trustee to distribute the Excess Spread Amount pursuant to Section
5.06(c).

         (e)      Notwithstanding Section 5.02(a), after the Notes have been
declared due and payable pursuant to Section 5.02 of the Indenture, all
Available Funds shall be remitted to the Indenture Trustee for distribution in
accordance with Sections 2.07(c) and 5.06(a) of the Indenture.

         Section 5.06. Spread Account.

         (a)      On or prior to the Closing Date, WFSRC3 shall deposit the
Spread Account Initial Amount into the Spread Account. The Spread Account will
be held for the benefit of the Securityholders in order to effectuate the
subordination of the rights of the Securityholders to the extent described
above.

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<PAGE>

         (b)      On each Distribution Date, the Master Servicer shall instruct
the Indenture Trustee to withdraw the Spread Account Withdrawal Amount from the
Spread Account and distribute such amount as part of Available Funds in
accordance with Section 5.05(a).

         (c)      If any Class of Notes has not been paid in full on any
Distribution Date on and after its Final Scheduled Distribution Date (after
giving effect to the distribution of Available Funds on such Distribution Date),
the Master Servicer shall instruct the Indenture Trustee to distribute from
amounts on deposit in the Spread Account to the Holders of that Class of Notes,
an amount equal to the lesser of (i) the amount on deposit in the Spread Account
and (ii) the Outstanding Amount of that Class of Notes. On each Distribution
Date, the Master Servicer shall instruct the Indenture Trustee to distribute the
Excess Spread Amount, after giving effect to the distribution described in the
preceding sentence, first, to WFSRC3 until WFSRC3 has received full payment of
the Spread Account Initial Deposit and second, all remaining funds to the
Certificate Distribution Account for distribution to Certificateholders in
accordance with Section 5.02 of the Trust Agreement.

         (d)      Amounts held in the Spread Account shall be invested in the
manner specified in Section 5.01(b), and such investments shall be made in
accordance with written instructions from the Master Servicer; provided that, if
the Indenture Trustee does not receive any such written instructions prior to
any date on which an investment decision must be made, the Indenture Trustee
shall invest such amounts held in the Spread Account in Eligible Investments
consisting of commercial paper given the highest rating by each Rating Agency at
the time of such investment. All such investments shall be made in the name of
the Indenture Trustee or its nominee and such investments shall not be sold or
disposed of prior to their maturity.

         (e)      Upon termination of the Issuer pursuant to Section 9.01, any
amounts on deposit in the Spread Account, after payments of amounts due to the
Securityholders, will be distributed first, to WFSRC3 until WFSRC3 has received
full repayment of the Spread Account Initial Deposit and second, to the
Certificate Distribution Account for distribution to Certificateholders in
accordance with the Section 5.02 of the Trust Agreement.

         Section 5.07. Statements to Securityholders.

         (a)      On each Distribution Date, (i) the Indenture Trustee shall
include with each distribution to each Noteholder of record as of the related
Record Date and (ii) the Owner Trustee shall include with each distribution to
each Certificateholder of record as of the related Record Date a statement,
prepared by the Master Servicer, based on the information in the Distribution
Date Statement furnished pursuant to Section 4.09, setting forth for such
Distribution Date the following information as of the related Record Date or
such Distribution Date, as the case may be:

                           (i)      the amount of such distribution allocable to
         principal (stated separately for each Class of Notes);

                           (ii)     the amount of such distribution allocable to
         interest (stated separately for each Class of Notes);

                           (iii)    the Interest Distributable Amount for each
         Class of Notes;

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<PAGE>

                           (iv)     the amount of any Interest Carryover
         Shortfall on such Distribution Date and the change in such amounts from
         those with respect to the immediately preceding Distribution Date;

                           (v)      the amount of the Servicing Fee paid to the
         Master Servicer with respect to the related Collection Period;

                           (vi)     the Class A Principal Distributable Amount,
         the Class B Principal Distributable Amount, the Class C Principal
         Distributable Amount and the Class D Principal Distributable Amount;

                           (vii)    with respect to each Class of Notes, the
         excess, if any, of the amount distributable in respect of principal on
         such Class of Notes over the amount allocated for the payment of
         principal on such Class of Notes;

                           (viii)   the Aggregate Net Liquidation Losses for the
         related Collection Period;

                           (ix)     the aggregate Principal Balance of
         Delinquent Contracts as of the close of business on the last day of
         such Collection Period;

                           (x)      the Aggregate Principal Balance as of the
         close of business on the last day of such Collection Period;

                           (xi)     the principal amount of each Class of Notes
         as of such Distribution Date, after giving effect to payments allocated
         to principal reported under clause (i) above;

                           (xii)    the Certificate Distributable Amount;

                           (xiii)   the amount on deposit in the Spread Account
         on such Distribution Date, after giving effect to distributions made on
         such Distribution Date, and the change in such balance from the
         immediately preceding Distribution Date;

                           (xiv)    the Overcollateralization Amount and the
         amount by which the Aggregate Principal Balance exceeds the Outstanding
         Amount of the Notes (after giving effect to any payments made to
         Holders of the Notes on that Distribution Date);

                           (xv)     the Spread Account Withdrawal Amount and the
         Excess Spread Account Amount; and

                           (xvi)    the amount of Net Collections.

Each amount set forth pursuant to clauses (i), (ii), (iv) and (v) above shall be
expressed in the aggregate and as a dollar amount per $1,000.00 original
principal amount of a Note.

         (b)      Within a reasonable period of time after the end of each
calendar year, but not later than the latest date permitted by law, the
Indenture Trustee shall mail to each Person who at any time during such calendar
year shall have been a Holder of a Note a statement or statements, prepared by
the Master Servicer, which in the aggregate contain the sum of the amounts set
forth

                                       56
<PAGE>

in clauses (i), (ii), (iv) and (v) of above for such calendar year or, in the
event such Person shall have been a Holder of a Note during a portion of such
calendar year, for the applicable portion of such year, for the purposes of such
Noteholder's preparation of federal income tax returns. In addition, the Master
Servicer shall furnish to the Indenture Trustee for distribution to such Person
at such time any other information necessary under applicable law for the
preparation of such income tax returns.

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                                   ARTICLE SIX

                                   THE SELLER

         Section 6.01. Corporate Existence. During the term of this Agreement,
the Seller will keep in full force and effect its existence, rights and
franchises as a corporation under the laws of the jurisdiction of its
incorporation and will obtain and preserve its qualification to do business in
each jurisdiction in which such qualification is or shall be necessary to
protect the validity and enforceability of this Agreement, the other Basic
Documents and each other instrument or agreement necessary or appropriate to the
proper administration of this Agreement and the transactions contemplated
hereby. In addition, all transactions and dealings between the Seller and its
Affiliates will be conducted on an arm's-length basis.

         Section 6.02. Liability of Seller; Indemnities. The Seller shall be
liable in accordance herewith only to the extent of the obligations specifically
undertaken by such Seller under this Agreement.

         The Seller shall indemnify, defend and hold harmless the Issuer, the
Owner Trustee, the Indenture Trustee, the Backup Servicer and the Master
Servicer from and against any taxes that may at any time be asserted against any
such Person with respect to the transactions contemplated herein and in the
other Basic Documents, including any sales, gross receipts, general corporation,
tangible personal property, privilege or license taxes (but, in the case of the
Issuer, not including any taxes asserted with respect to, and as of the date of,
the sale of the Contracts to the Issuer or the issuance and original sale of the
Securities, or asserted with respect to ownership of the Contracts, or federal
or other income taxes arising out of distributions on the Certificates or the
Notes) and costs and expenses in defending against the same.

         The Seller shall indemnify, defend and hold harmless the Issuer, the
Owner Trustee, the Indenture Trustee, the Backup Servicer and the
Securityholders from and against any loss, liability or expense incurred by
reason of such Seller's willful misfeasance, bad faith or negligence (other than
errors in judgment) in the performance of its duties under this Agreement, or by
reason of reckless disregard of its obligations and duties under this Agreement.

         The Seller shall indemnify, defend and hold harmless the Issuer, the
Owner Trustee, the Indenture Trustee and the Backup Servicer from and against
all costs, expenses, losses, claims, damages and liabilities arising out of or
incurred in connection with the acceptance or performance of the trusts and
duties herein and, in the case of the Owner Trustee, in the Trust Agreement and,
in the case of the Indenture Trustee, in the Indenture, except to the extent
that such cost, expense, loss, claim, damage or liability, in the case of (i)
the Owner Trustee, shall be due to the willful misfeasance, bad faith or
negligence of the Owner Trustee or shall arise from the breach by the Owner
Trustee of any of its representations or warranties set forth in Section 7.03 of
the Trust Agreement, (ii) the Indenture Trustee, shall be due to the willful
misfeasance, bad faith or negligence of the Indenture Trustee or (iii) the
Backup Servicer, shall be due to the willful misfeasance, bad faith or
negligence of the Backup Servicer.

         Indemnification under this Section shall include, without limitation,
reasonable fees and expenses of counsel and expenses of litigation. If the
Seller shall have made any indemnity

                                       58
<PAGE>

payments pursuant to this Section and the Person to or on behalf of whom such
payments are made thereafter shall collect any of such amounts from others, such
Person shall promptly repay such amounts to such Seller, without interest.

         Section 6.03. Merger or Consolidation of, or Assumption of the
Obligations of, the Seller; Certain Limitations.

         (a)      The Seller shall not consolidate with nor merge into any other
corporation or convey, transfer or lease substantially all of its assets as an
entirety to any Person unless the corporation formed by such consolidation or
into which such Seller has merged or the Person which acquires by conveyance,
transfer or lease substantially all the assets of the Seller as an entirety, can
lawfully perform the obligations of the Seller hereunder and executes and
delivers to the Owner Trustee and the Indenture Trustee an agreement in form and
substance reasonably satisfactory to the Owner Trustee and the Indenture
Trustee, which contains an assumption by such successor entity of the due and
punctual performance and observance of each covenant and condition to be
performed or observed by the Seller under this Agreement. The Seller shall
provide notice of any merger, consolidation or succession pursuant to this
Section to each Rating Agency and will deliver to the Owner Trustee and the
Indenture Trustee a letter from each Rating Agency to the effect that such
merger, consolidation or succession will not result in a qualification,
downgrading or withdrawal of its then-current ratings of each Class of Notes.
The Seller and WFS each shall maintain separate corporate offices.

         (b)      (i)      Subject to clause (b)(ii) below, the purpose of the
Seller shall be to engage in any lawful activity for which a corporation may be
organized under the laws of California Revised Statutes.

                  (ii)     Notwithstanding clause (b)(i) above, the actual
         business activities of the Seller shall be limited to those activities
         incident to and necessary or convenient to accomplish the following
         purposes: (A) to acquire, own, hold, sell, transfer, assign, pledge,
         finance, refinance and otherwise deal with, retail installment sales
         contracts and installment loans secured by automobiles and light duty
         trucks (the "Vehicle Receivables"); (B) to authorize, issue, sell and
         deliver one or more series of obligations, consisting of one or more
         classes of notes, certificates or other securities (the "Offered
         Securities") that are collateralized by or evidence an interest in
         Vehicle Receivables and are rated in an investment grade category by at
         least one nationally recognized statistical rating agency; and (C) to
         negotiate, authorize, execute, deliver and assume the obligations of
         any agreement relating to the activities set forth in clauses (A) and
         (B) above, including any sale and servicing agreement, indenture,
         reimbursement agreement, credit support agreement, receivables purchase
         agreement or underwriting agreement or similar agreements or to engage
         in any lawful activity which is incidental to the activities
         contemplated by any such agreement. So long as any outstanding debt of
         the Seller or Offered Securities are rated by any nationally recognized
         statistical rating organization, the Seller shall not issue notes or
         otherwise incur debt unless (1) the Seller has made a written request
         to the related nationally recognized statistical rating organization to
         issue notes or incur borrowings which notes or borrowings are rated by
         the related nationally recognized statistical rating organization the
         same as or higher than the rating afforded such debt or securities or
         (2) such notes or borrowings (a) are fully subordinated (and

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         which shall provide for payment only after payment in respect of all
         outstanding rated debt or Offered Securities) or are nonrecourse
         against any assets of the Seller other than the assets pledged to
         secure such notes or borrowings, (b) do not constitute a claim against
         the Seller in the event such assets are insufficient to pay such notes
         or borrowings and (c) where such notes or borrowings are secured by the
         rated debt or Offered Securities, are fully subordinated (and which
         shall provide for payment only after payment in respect of all
         outstanding rated debt or Offered Securities) to such rated debt or
         Offered Securities.

         (c)      Notwithstanding any other provision of this Section and any
provision of law, the Seller shall not do any of the following:

                           (i)      engage in any business or activity other
         than as set forth in clause (b) above;

                           (ii)     without the affirmative vote of a majority
         of the members of the board of directors of the Seller (which must
         include the affirmative vote of at least two duly appointed Independent
         directors) (A) dissolve or liquidate, in whole or in part, or institute
         proceedings to be adjudicated bankrupt or insolvent, (B) consent to the
         institution of bankruptcy or insolvency proceedings against it, (C)
         file a petition seeking or consent to reorganization or relief under
         any applicable federal or state law relating to bankruptcy, (D) consent
         to the appointment of a receiver, liquidator, assignee, trustee,
         sequestrator (or other similar official) of the corporation or a
         substantial part of its property, (E) make a general assignment for the
         benefit of creditors, (F) admit in writing its inability to pay its
         debts generally as they become due or (G) take any corporate action in
         furtherance of the actions set forth in clauses (A) through (F) above;
         provided, however, that no director may be required by any shareholder
         of the Seller to consent to the institution of bankruptcy or insolvency
         proceedings against the Seller so long as it is solvent; or

                           (iii)    merge or consolidate with any other
         corporation, company or entity or sell all or substantially all of its
         assets or acquire all or substantially all of the assets or capital
         stock or other ownership interest of any other corporation, company or
         entity (except for the acquisition of Vehicle Receivables and the sale
         of Vehicle Receivables to one or more trusts in accordance with the
         terms of clause (b)(ii) above, which shall not be otherwise restricted
         by Section 6.03(c)).

         Section 6.04. Limitation on Liability of Seller and Others. The Seller
and any director or officer or employee or agent of the Seller 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 Seller and any
director or officer or employee or agent of the Seller shall be reimbursed by
the Owner Trustee or the Indenture Trustee, as the case may be, for any
contractual damages, liability or expense incurred by reason of the Owner
Trustee's or the Indenture Trustee's willful misfeasance, bad faith or
negligence (except for errors in judgment) in the performance of their
respective duties hereunder, or by reason of reckless disregard of their
respective obligations and duties hereunder. The Seller shall not be under any
obligation to appear in, prosecute or defend any legal action that shall not be
incidental to its obligations under this Agreement, and that in its opinion may
involve it in any expense or liability. The

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indemnities contained in this Section shall survive the resignation or
termination of the Owner Trustee or the termination of this Agreement.

         Section 6.05. Seller Not to Resign. Subject to the provisions of
Section 6.03, the Seller shall not resign from the obligations and duties hereby
imposed on it as Seller hereunder.

         Section 6.06. Seller May Own Securities. The Seller and any Affiliate
thereof may in its individual or any other capacity become the owner or pledgee
of Securities with the same rights as it would have if it were not such Seller
or an Affiliate thereof, except as expressly provided herein or in any Basic
Document. Securities so owned by or pledged to the Seller or an Affiliate
thereof shall have an equal and proportionate benefit under the provisions of
this Agreement, without preference, priority or distinction as among all of the
Notes.

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                                  ARTICLE SEVEN

                               THE MASTER SERVICER

         Section 7.01. Liability of Master Servicer; Indemnities. Subject to
Section 8.02, the Master Servicer shall be liable in accordance herewith only to
the extent of the obligations specifically undertaken by the Master Servicer
under this Agreement. Such obligations shall include the following:

                  (a)      The Master Servicer shall indemnify, defend and hold
         harmless the Issuer, the Owner Trustee, the Indenture Trustee, the
         Backup Servicer and the Securityholders from and against any and all
         costs, expenses, losses, damages, claims and liabilities, arising out
         of or resulting from the use, ownership or operation by the Master
         Servicer, any Subservicer or any of their respective Affiliates of a
         Financed Vehicle.

                  (b)      The Master Servicer shall indemnify, defend and hold
         harmless the Issuer, the Owner Trustee, the Indenture Trustee and the
         Backup Servicer from and against any taxes that may at any time be
         asserted against the Owner Trustee, the Indenture Trustee or the Issuer
         with respect to the transactions contemplated herein, including,
         without limitation, any sales, gross receipts, general corporation,
         tangible personal property, privilege or license taxes (but not
         including any taxes asserted with respect to, and as of the date of,
         the sale of the Contracts to the Issuer or the issuance and original
         sale of the Securities, or asserted with respect to ownership of the
         Contracts, or federal or other income taxes arising out of
         distributions on the Securities) and costs and expenses in defending
         against the same.

                  (c)      The Master Servicer shall indemnify, defend and hold
         harmless the Issuer, the Owner Trustee, the Indenture Trustee, the
         Backup Servicer and the Securityholders from and against any and all
         costs, expenses, losses, claims, damages and liabilities to the extent
         that such cost, expense, loss, claim, damage or liability arose out of,
         or was imposed upon any such Person through, the negligence, willful
         misfeasance or bad faith of the Master Servicer in the performance of
         its duties under this Agreement or by reason of reckless disregard of
         its obligations and duties under this Agreement.

                  (d)      The Master Servicer shall indemnify, defend and hold
         harmless the Owner Trustee and the Indenture Trustee from and against
         any and all costs, expenses, losses, claims, damages and liabilities
         arising out of or incurred in connection with the acceptance or
         performance of the trusts and duties herein or the Trust Agreement
         contained, except to the extent that such cost, expense, loss, claim,
         damage or liability (i) shall be due to the willful misfeasance, bad
         faith or negligence (except for errors in judgment) of the Owner
         Trustee or the Indenture Trustee, as the case may be; (ii) relates to
         any tax other than the taxes with respect to which either the Seller or
         Master Servicer shall be required to indemnify the Owner Trustee and
         the Indenture Trustee; (iii) shall arise from the Owner Trustee's or
         the Indenture Trustee's breach of any of their respective
         representations or warranties set forth herein, in the Trust Agreement
         or in the Indenture; or (iv) shall be one as to which the Seller is
         required to indemnify the Owner Trustee or the Indenture Trustee, as
         the case may be.

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                  (e)      The Master Servicer shall pay the Owner Trustee
         compensation, reimbursement or other payments owed to it by the Seller
         pursuant to Sections 8.01 and 8.02 of the Trust Agreement if the Seller
         fails to remit such compensation, reimbursement or payment in a timely
         manner.

         Indemnification under this Section shall survive the resignation or
removal of the Owner Trustee or the Indenture Trustee or the termination of this
Agreement of the Trust Agreement and shall include, without limitation,
reasonable fees and expenses of counsel and expenses of litigation. If the
Master Servicer shall have made any indemnity payments pursuant to this Section
and the Person to or on behalf of whom such payments are made thereafter
collects any of such amounts from others, such Person shall promptly repay such
amounts to the Master Servicer, without interest.

         Section 7.02. Corporate Existence; Status as Master Servicer; Merger.
The Master Servicer shall not consolidate with or merge into any other
corporation or convey, transfer or lease all or substantially all of its assets
as an entirety to any Person unless the corporation formed by such consolidation
or into which the Master Servicer has merged or the Person which acquires by
conveyance, transfer or lease substantially all the assets of the Master
Servicer as an entirety can lawfully perform the obligations of the Master
Servicer hereunder and executes and delivers to the Indenture Trustee and the
Owner Trustee an agreement in form and substance reasonably satisfactory to the
Indenture Trustee and the Owner Trustee, which contains an assumption by such
successor entity of the due and punctual performance or observance of each
covenant and condition to be performed or observed by the Master Servicer under
this Agreement. Notice shall be sent to each Rating Agency by the Master
Servicer of any consolidation, merger or succession pursuant to this Section.

         Section 7.03. Performance of Obligations.

         (a)      The Master Servicer shall punctually perform and observe all
of its obligations and agreements contained in this Agreement.

         (b)      The Master Servicer shall not take any action, or permit any
action to be taken by others, which would excuse any Person from any of its
covenants or obligations under any of the Contract Documents or under any other
instrument included in the Trust Estate, or which would result in the amendment,
hypothecation, subordination, termination or discharge of, or impair the
validity or effectiveness of, any of the Contract Documents or any such
instrument, except as expressly provided herein and therein.

         Section 7.04. Master Servicer Not to Resign; Assignment.

         (a)      The Master Servicer shall not resign from the duties and
obligations hereby imposed on it except upon determination by its board of
directors that by reason of change in applicable legal requirements the
continued performance by the Master Servicer of its duties hereunder would cause
it to be in violation of such legal requirements in a manner which would result
in a material adverse effect on the Master Servicer or its financial condition,
said determination to be evidenced by a resolution of its board of directors to
such effect accompanied by an Opinion of Counsel, satisfactory to the Owner
Trustee and the Indenture

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Trustee, to such effect. No such resignation shall become effective unless and
until (i) a new servicer acceptable to the Owner Trustee and the Indenture
Trustee is willing to service the Contracts and enters into a servicing
agreement with the Issuer in form and substance substantially similar to this
Agreement and satisfactory to the Owner Trustee and the Indenture Trustee and
(ii) the Rating Agency Condition has been satisfied. No such resignation shall
affect the obligation of the Master Servicer to repurchase Contracts pursuant to
Section 4.07.

         (b)      Except as specifically permitted in this Agreement, the Master
Servicer may not assign this Agreement or any of its rights, powers, duties or
obligations hereunder; provided that the Master Servicer may assign this
Agreement in connection with a consolidation, merger, conveyance, transfer or
lease made in compliance with Section 7.02.

         (c)      Except as provided in Sections 7.04(a) and (b), the duties and
obligations of the Master Servicer under this Agreement shall continue until
this Agreement shall have been terminated as provided in Section 9.01 or the
Issuer shall have been terminated as provided by the terms of the Trust
Agreement, and shall survive the exercise by the Owner Trustee or the Indenture
Trustee of any right or remedy under this Agreement, or the enforcement by the
Owner Trustee, the Indenture Trustee or any Certificateholder or Noteholder of
any provision of the Notes, the Certificates or this Agreement.

         (d)      The resignation of the Master Servicer in accordance with this
Section shall not affect the rights of the Seller hereunder. If the Master
Servicer resigns pursuant to this Section, its appointment as custodian can be
terminated pursuant to Section 3.07.

         Section 7.05. Limitation on Liability of Master Servicer and Others.

         (a)      Neither the Master Servicer nor any of the directors,
officers, employees or agents of the Master Servicer shall be under any
liability to the Issuer, the Noteholders or the Certificateholders, except as
provided under this Agreement, for any action taken or for refraining from the
taking of any action pursuant to this Agreement or for errors in judgment;
provided, however, that this provision shall not protect the Master Servicer or
any such person against any liability that would otherwise be imposed by reason
of willful misfeasance, bad faith or negligence (except errors in judgment) in
the performance of duties or by reason of reckless disregard of obligations and
duties under this Agreement. The Master Servicer and any director, officer,
employee or agent of the Master 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 under this Agreement.

         (b)      The Master Servicer and any director or officer or employee or
agent of the Master Servicer shall be reimbursed by the Owner Trustee or the
Indenture Trustee, as the case may be, for any contractual damages, liability or
expense incurred by reason of such Trustee's willful misfeasance, bad faith or
negligence (except errors in judgment) in the performance of such Trustee's
duties under this Agreement or by reason of reckless disregard of its
obligations and duties under this Agreement.

         Except as provided in this Agreement, the Master Servicer shall not be
under any obligation to appear in, prosecute or defend any legal action that
shall not be incidental to its

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duties to service the Contracts in accordance with this Agreement, and that in
its opinion may involve it in any expense or liability; provided, however, that
the Master Servicer may undertake any reasonable action that it may deem
necessary or desirable in respect of this Agreement and the other Basic
Documents and the rights and duties of the parties to this Agreement and the
other Basic Documents and the interests of the Securityholders under the Basic
Documents.

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                                  ARTICLE EIGHT

                                     DEFAULT

         Section 8.01. Servicer Default. If any one of the following events (a
"Servicer Default") shall occur and be continuing:

                  (a)      any failure by the Master Servicer or the Issuer, to
         deposit or credit, or to deliver to the Indenture Trustee for deposit,
         in any of the Trust Accounts any amount required hereunder to be as
         deposited, credited or delivered or to direct the Indenture Trustee to
         make any required distributions therefrom, that shall continue
         unremedied for a period of three Business Days after written notice of
         such failure is received from the Owner Trustee or the Indenture
         Trustee or after discovery of such failure by an officer of the Master
         Servicer;

                  (b)      any failure by the Master Servicer to deliver to the
         Indenture Trustee or the Owner Trustee a report in accordance with
         Section 4.09 or Section 4.10 by the fourth Business Day prior to the
         Distribution Date with respect to which such report is due, or the
         Master Servicer shall have defaulted in the due observance of any
         provision of Section 7.02 (other than failure to enter into an
         assumption agreement under Section 7.02, which is a Servicer Default
         only if such failure continues for ten Business Days);

                  (c)      failure on the part of the Seller, the Issuer or the
         Master Servicer duly to observe or to perform in any material respect
         any other covenants or agreements of the Master Servicer or the Seller
         set forth in this Agreement or any other Basic Document, which failure
         shall (i) materially and adversely affect the rights of the Owner
         Trustee, the Indenture Trustee, the Certificateholders or Noteholders
         and (ii) continue unremedied for a period of 30 days after the date on
         which written notice of such failure, requiring the same to be
         remedied, shall have been given (A) to the Master Servicer or the
         Seller (as the case may be) by the Owner Trustee or the Indenture
         Trustee or (B) to the Master Servicer or the Seller (as the case may
         be), and to the Owner Trustee and the Indenture Trustee by the Holders
         of Notes evidencing not less than 25% of the Outstanding Amount of the
         Notes of the Controlling Class, or, if the Notes have been paid in
         full, by Certificateholders evidencing not less than 25% of the
         aggregate Certificate Percentage Interest;

                  (d)      the occurrence of an Insolvency Event with respect to
         the Seller, the Issuer or the Master Servicer; or

                  (e)      any representation, warranty or statement of the
         Master Servicer, the Issuer or the Seller made in this Agreement or any
         certificate, report or other writing delivered by the Master Servicer
         prepared based on information provided by the Master Servicer pursuant
         hereto shall prove to be incorrect in any material respect as of the
         time when the same shall have been made (excluding, however, any
         representation or warranty to which Section 3.01 or 4.06 shall be
         applicable so long as the Master Servicer or the Seller shall be in
         compliance with Section 3.02 or 4.07, as the case may be), and the
         incorrectness of such representation, warranty or statement has a
         material adverse effect

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<PAGE>

         on the Noteholders or the Certificateholders and, within 30 days after
         written notice thereof shall have been given to the Master Servicer or
         the Seller by the Indenture Trustee or the Owner Trustee or by the
         Holders of Notes evidencing not less than 25% of the Outstanding Amount
         of the Notes of the Controlling Class, or Certificateholders evidencing
         not less than 25% of the aggregate Certificate Percentage Interest, the
         circumstance or condition in respect of which such representation,
         warranty or statement was incorrect shall not have been eliminated or
         otherwise cured;

then, and in each and every case, so long as such Servicer Default shall not
have been remedied, either the Indenture Trustee, the Holders of Notes
evidencing not less than a majority of the Outstanding Amount of the Notes of
the Controlling Class (or, if the Notes have been paid in full and the Indenture
has been discharged in accordance with its terms, by the Owner Trustee or by
Certificateholders evidencing not less than a majority of the aggregate
Certificate Percentage Interest), by notice then given in writing to the Master
Servicer (and to the Indenture Trustee and the Owner Trustee if given by the
Noteholders or the Certificateholders) may terminate all the rights and
obligations of the Master Servicer under this Agreement. Upon such termination
or a termination pursuant to Section 8.06, termination of the Master Servicer as
custodian can be made pursuant to Section 3.07. On or after the receipt by the
Master Servicer of written notice of termination pursuant to this Section or
Section 8.06, all authority and power of the Master Servicer under this
Agreement, whether with respect to the Notes, the Certificates, the Contracts or
otherwise, shall, without further action, pass to and be vested in the Indenture
Trustee, the Backup Servicer or such successor Master Servicer as may be
appointed under Section 8.02, as the case may be; and, without limitation, the
Indenture Trustee and the Owner Trustee are hereby authorized and empowered to
execute and deliver, for the benefit of the predecessor Master 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 the Contracts and related documents, or otherwise. The Master
Servicer shall cooperate with the Indenture Trustee and the Owner Trustee in
effecting the termination of the responsibilities and rights of the predecessor
Master Servicer under this Agreement, including the transfer to the Indenture
Trustee or the Backup Servicer, as the case may be, for administration by it of
all cash amounts that shall at the time be held by the predecessor Master
Servicer for deposit, or shall thereafter be received by it with respect to any
Contract.

         Section 8.02. Indenture Trustee to Act; Appointment of Successor. Upon
the Master Servicer's receipt of notice of termination pursuant to Section 8.01
or Section 8.06 or resignation pursuant to Section 7.04, the Indenture Trustee,
or in the case of a termination pursuant to Section 8.06, the Backup Servicer,
shall be the successor to the Master Servicer in its capacity as servicer under
this Agreement, and shall be subject to all the responsibilities, duties and
liabilities relating thereto placed on the Master Servicer by the terms and
provisions of this Agreement, except that neither the Indenture Trustee nor the
Backup Servicer shall be obligated to purchase Contracts pursuant to Section
4.07 unless the obligation to repurchase arose after the date of the notice of
termination given to the Master Servicer pursuant to Section 8.01 or Section
8.06, as the case may be, or be subject to any obligation of the Master Servicer
to indemnify or hold harmless any Person as set forth in this Agreement arising
from the acts or omissions of the predecessor Master Servicer. Any successor
Master Servicer, including the Backup Servicer, shall have the rights (including
any right of indemnity) of the Master Servicer.

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Furthermore, the Backup Servicer shall have a right of indemnity under Articles
Six and Seven hereof in connection with the performance of its duties prior to
becoming the successor Master Servicer. As compensation therefor, the Indenture
Trustee or the Backup Servicer, as the case may be, shall be entitled to such
compensation (whether payable out of the Collection Account or otherwise) as the
Master Servicer would have been entitled to under this Agreement if no such
notice of termination shall have been given. If, however, a bankruptcy trustee
or similar official has been appointed for the Master Servicer, and no Servicer
Default other than such appointment has occurred, such trustee or official may
have the power to prevent the Indenture Trustee or the Noteholders from
effecting a transfer of servicing. Notwithstanding the above, in the event of a
termination of the Master Servicer pursuant to Section 8.01, the Indenture
Trustee may, if it shall be unwilling to act, or shall, if it shall be legally
unable so to act, appoint, or petition a court of competent jurisdiction to
appoint, any established financial institution, having a net worth of not less
than $50,000,000 and whose regular business shall include the servicing of motor
vehicle retail installment sales contracts, as the successor to the Master
Servicer under this Agreement. Pending appointment of any such successor Master
Servicer, the Indenture Trustee shall act in such capacity as provided above. In
connection with such appointment, the Indenture Trustee may make such
arrangements for the compensation of such successor out of payments on Contracts
it and such successor shall agree. The Indenture Trustee and such successor
shall take such action, consistent with this Agreement, as shall be necessary to
effectuate any such succession.

         Section 8.03. Repayment of Advances. If the identity of the Master
Servicer shall change, the predecessor Master Servicer shall be entitled to
receive reimbursement for outstanding Advances pursuant to Section 5.04 with
respect to all Advances made by the predecessor Master Servicer.

         Section 8.04. Notification to Noteholders and Certificateholders. Upon
any termination of, or appointment of a successor to, the Master Servicer
pursuant to this Article, the Owner Trustee shall give prompt written notice
thereof to Certificateholders at their respective addresses appearing in the
Certificate Register, and the Indenture Trustee shall give prompt written notice
thereof to Noteholders at their respective addresses appearing in the Note
Register and to each Rating Agency.

         Section 8.05. Waiver of Past Defaults. The Holders of Notes evidencing
not less than a majority of the Outstanding Amount of the Notes of the
Controlling Class, or, if all the Notes have been paid in full and the Indenture
has been discharged in accordance with its terms, Certificateholders evidencing
not less than a majority of the aggregate Certificate Percentage Interest (in
the case of any default which does not adversely affect the Indenture Trustee or
the Noteholders) may, on behalf of all Securityholders waive in writing any
default by the Master Servicer in the performance of its obligations hereunder
and its consequences, except a default in making any required deposits to or
payments from any of the Trust Accounts in accordance with this Agreement or in
respect of a covenant or provisions hereof which cannot be modified without the
consent of each Securityholder. Upon any such waiver of a past default, such
default shall cease to exist, and any Servicer Default 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.

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<PAGE>

         Section 8.06. Backup Servicer. If a Backup Servicer Event has occurred
and continuing, the Holders of Notes evidencing not less than a majority of the
Outstanding Amount of the Notes of the Controlling Class, by notice then given
in writing to the Master Servicer, the Indenture Trustee and the Owner Trustee
may terminate all the rights and obligations of the Master Servicer under this
Agreement. Upon such termination, the Backup Servicer shall become successor
Master Servicer in accordance with Sections 8.01 and 8.02.

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                                  ARTICLE NINE

                                   TERMINATION

         Section 9.01. Optional Purchase of All Contracts.

         (a)      On any Distribution Date following the last day of a
Collection Period as of which the Aggregate Principal Balance is less than or
equal to $142,500,000, the Seller shall have the option to purchase the
remaining Contracts from the Issuer. Notice of the exercise of such option shall
be given by the Seller to the Owner Trustee and the Indenture Trustee not later
than the 25th day of the month immediately preceding the month of the related
Distribution Date. To exercise such option, the Seller shall pay to the
Indenture Trustee for the benefit of the Securityholders, by deposit in the
Collection Account on the Business Day immediately preceding the related
Distribution Date, the Aggregate Repurchase Amount, and shall succeed to all
interests in and to the Issuer. Such purchase shall be deemed to have occurred
on the last day of such Collection Period. In addition, if the Master Servicer
or the Seller has outstanding senior debt and such debt is not rated "investment
grade" by Moody's at the time of exercising the option pursuant to this Section,
then the Master Servicer or such Seller shall deliver to the Owner Trustee, the
Indenture Trustee and Moody's, an Opinion of Counsel to the effect that such
optional purchase is not a fraudulent conveyance.

         (b)      Upon any sale of the assets of the Issuer pursuant to Section
5.04 of the Indenture, the Master Servicer shall instruct the Indenture Trustee
to deposit the proceeds from such sale after all payments and reserves therefrom
have been made (the "Insolvency Proceeds") in the Collection Account. On the
Distribution Date on which the Insolvency Proceeds are deposited in the
Collection Account (or, if such proceeds are not so deposited on a Distribution
Date, on the Distribution Date immediately following such deposit), the Master
Servicer shall instruct the Indenture Trustee to distribute funds on deposit in
the Collection Account (including such Insolvency Proceeds and any funds on
deposit in the Spread Account in accordance with Section 5.06(a) of the
Indenture.

         (c)      As described in Article Nine of the Trust Agreement, notice of
any termination of the Issuer shall be given by the Master Servicer to the Owner
Trustee and the Indenture Trustee as soon as practicable after the Master
Servicer has received notice thereof.

         (d)      Following the satisfaction and discharge of the Indenture and
the payment in full of the principal of and interest on the Notes, the
Certificateholders will succeed to the rights of the Noteholders hereunder and
the Owner Trustee will succeed to the rights of, and assume the obligations of,
the Indenture Trustee pursuant to this Agreement.

         (e)      On a Distribution Date on which an optional purchase pursuant
to Section 9.01(a) of all remaining Contracts of the Issuer occur, the Master
Servicer shall instruct the Indenture Trustee to make the following
distributions of the Aggregate Repurchase Amount and any Net Collections on
deposit in the Collection Account in the following priorities:

                           (i)      to the Master Servicer, any accrued and
         unpaid Servicing Fees with respect to one or more prior Collection
         Periods;

                                       70
<PAGE>

                           (ii)     to the Owner Trustee and Indenture Trustee,
         any accrued and unpaid fees and expenses;

                           (iii)    to the Note Distribution Account, the
         Redemption Price for full payment of outstanding principal and accrued
         interest on the Notes;

                           (iv)     to WFSRC3 until WFSRC3 has received full
         repayment of the Spread Account Initial Deposit; and

                           (v)      to the Certificate Distribution Account, for
         distribution to Certificateholders in accordance with Section 5.02 of
         the Trust Agreement as determined by the Master Servicer.

                                       71
<PAGE>

                                   ARTICLE TEN

                                  MISCELLANEOUS

         Section 10.01. Amendment.

         (a)      This Agreement may be amended by the Seller, the Master
Servicer and the Owner Trustee on behalf of the Issuer, collectively, without
the consent of any Securityholders, (i) to cure any ambiguity, to correct or
supplement any provisions in this Agreement which are inconsistent with the
provisions herein, or to add any other provisions with respect to matters or
questions arising under this Agreement that shall not be inconsistent with the
provisions of this Agreement, (ii) to add or provide any credit enhancement for
any Class of Notes and (iii) to change any provision applicable for determining
the Specified Spread Account Balance or the manner in which the Spread Account
is funded; provided, however, that any such action shall not, as evidenced by an
Opinion of Counsel, adversely affect in any material respect the interests of
any Securityholder and provided, further, that in connection with any amendment
pursuant to clause (ii) and (iii) above, the Master Servicer shall deliver to
the Owner Trustee and the Indenture Trustee a letter from Standard & Poor's to
the effect that such amendment will not cause its then-current rating on any
Class of Notes to be qualified, reduced or withdrawn and the Master Servicer
shall provide Moody's and Fitch notice of such amendment; and provided, further,
that this Agreement may not be amended to alter the rights or obligations of the
Indenture Trustee without the prior consent of the Indenture Trustee.

         (b)      This Agreement may also be amended from time to time by the
Seller, the Master Servicer and the Owner Trustee on behalf of the Issuer, with
the consent of the Holders of Notes holding not less than 66 2/3% of the
Outstanding Amount of the Notes and the consent of Certificateholders evidencing
not less than 66 2/3% of the Certificate Percentage Interest, 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 Certificateholders; provided, however, that no such amendment
shall increase or reduce in any manner the amount of, or accelerate or delay the
timing of (i)(A) collections of payments on the Contracts or distributions that
shall be required to be made on any Note or Certificate or any Interest Rate,
(B) except as otherwise provided in Section 10.01(a), the Specified Spread
Account Balance, or the manner in which the Spread Account is funded or (ii)
reduce the aforesaid percentage of the Outstanding Amount of the Notes, the
Holders of which are required to consent to any such amendment, without the
consent of the Holders of all Notes and Certificates of the relevant Class then
outstanding.

         (c)      Prior to the execution of any such amendment or consent, the
Indenture Trustee shall furnish written notification of the substance of such
amendment or consent, as prepared by the Seller, the Master Servicer and the
Owner Trustee on behalf of the Issuer, at the expense of the such party,
together with a copy thereof, to each Rating Agency.

         (d)      Promptly after the execution of any such amendment or consent,
the Owner Trustee and the Indenture Trustee, as the case may be, shall furnish
the written notification of the substance of the amendment or consent described
in Section 10.01(c), at the expense of the Seller, the Master Servicer or the
Owner Trustee on behalf of the Issuer, as the case may be, to

                                       72
<PAGE>

each Certificateholder and Noteholder, respectively. It shall not be necessary
for the consent of Noteholders and Certificateholders pursuant to Section
10.01(b) to approve the particular form of any proposed amendment or consent,
but it shall be sufficient if such consent shall approve the substance thereof.
The manner of obtaining such consents and of evidencing the authorization by
Noteholders and Certificateholders of the execution thereof shall be subject to
such reasonable requirements as the Owner Trustee or the Indenture Trustee may
prescribe.

         (e)      Prior to the execution of any amendment to this Agreement, 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. 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 10.02. Protection of Title to Trust.

         (a)      The Master Servicer shall execute and file such financing
statements and cause to be executed and filed such continuation statements, all
in such manner and in such places as may be required by law fully to preserve,
maintain and protect the perfection and priority of the interest of the Issuer,
the Securityholders, the Indenture Trustee and the Owner Trustee in the
Contracts and in the proceeds thereof. The Master Servicer shall deliver (or
cause to be delivered) to the Owner Trustee and the Indenture Trustee
file-stamped copies of, or filing receipts for, any document filed as provided
above, as soon as available following such filing.

         (b)      Neither WFS, the Seller nor the Master Servicer shall change
its name, identity or corporate structure in any manner that would, could or
might make any financing statement or continuation statement filed in accordance
with Section 10.02(a) seriously misleading within the meaning of Section 9-507
of the UCC, unless it shall have given the Owner Trustee and the Indenture
Trustee at least 60 days' prior written notice thereof and shall have promptly
filed appropriate amendments to all previously filed financing statements or
continuation statements. The prior sentence notwithstanding, WFS may change its
name to Western Financial Auto and the Seller may change its name to Western
Financial ABS 3 without prior notice to the Owner Trustee or the Indenture
Trustee, provided it shall timely comply with the requirements of Section
2.01(b).

         (c)      WFS, the Seller and the Master Servicer shall give the Owner
Trustee and the Indenture Trustee at least 60 days' prior written notice of any
relocation of the principal executive office of WFS or the Seller and the Master
Servicer or the Subservicers (in the case of notice provided by the Master
Servicer) or the reincorporation of any of them in a different jurisdiction if,
as a result of such relocation or reincorporation, the applicable provisions of
the UCC would require the filing of any amendment of any previously filed
financing or continuation statement or of any new financing statement and shall
promptly file any such amendment or new financing statement. The Master Servicer
shall at all times maintain each office from which it shall service Contracts,
and its principal executive office, within the United States.

         (d)      The Master Servicer shall maintain or cause to be maintained
accounts and records as to each Contract accurately and in sufficient detail to
permit (i) the reader thereof to

                                       73
<PAGE>

know at any time the status of such Contract, including payments and recoveries
made and payments owing (and the nature of each) and (ii) reconciliation between
payments or recoveries on (or with respect to) each Contract and the amounts
from time to time deposited in or credited to the Collection Account in respect
of such Contract.

         (e)      The Master Servicer shall maintain or cause to be maintained
its computer systems and those of Subservicers so that, from and after the time
of sale under this Agreement of the Contracts, the Master Servicer's and
Subservicer's master computer records (including any backup archives) that shall
refer to a Contract indicate clearly the interest of the Issuer and the
Indenture Trustee in such Contract and that such Contract is owned by the Issuer
and has been pledged to the Indenture Trustee. Indication of the Issuer's
ownership of and the Indenture Trustee's interest in a Contract shall be deleted
from or modified on the Master Servicer's computer systems when, and only when,
the related Contract shall have been paid in full or repurchased or shall have
become a Liquidated Contract.

         (f)      If at any time the Seller, the Master Servicer or a
Subservicer shall propose to sell, grant a security interest in, or otherwise
transfer any interest in automotive retail installment sales contracts to any
prospective purchaser, lender or other transferee, the Master Servicer shall
give or cause to be given to such prospective purchaser, lender or other
transferee computer tapes, records or print-outs (including any restored from
back-up archives) that, if they shall refer in any manner whatsoever to any
Contract, shall indicate clearly that such Contract has been sold and is owned
by the Issuer and has been pledged to the Indenture Trustee.

         (g)      The Master Servicer shall permit the Owner Trustee, the
Indenture Trustee and its agents, at any time during normal business hours, to
inspect, audit and make copies of and abstracts from the Master Servicer's
records regarding any Contract.

         (h)      Upon request, the Master Servicer shall furnish to the Owner
Trustee and the Indenture Trustee, within five Business Days, a list of all
Contracts then held as part of the Trust Estate, together with a reconciliation
of such list to the Schedule of Contracts and to each of the Distribution Date
Statements furnished before such request indicating removal of Contracts from
the Issuer.

         (i)      The Master Servicer shall deliver to the Owner Trustee, the
Indenture Trustee and each Rating Agency:

                           (i)      promptly after the execution and delivery of
         this Agreement and of each amendment hereto, an Opinion of Counsel
         stating that, in the opinion of such counsel, the Indenture Trustee
         holds a perfected security interest in the Contracts, that the Issuer
         holds title to the Contracts subject to the security interest of the
         Indenture Trustee; and

                           (ii)     within 90 days after the beginning of each
         calendar year beginning with the first calendar year beginning more
         than three months after the Cut-Off Date, an Opinion of Counsel, dated
         as of a date during such 90-day period, either (A) stating that, in the
         opinion of such counsel, all financing statements and continuation
         statements have been executed and filed that are necessary fully to
         preserve and protect the interest of the Owner Trustee and the
         Indenture Trustee in the Contracts, and reciting the details of such

                                       74
<PAGE>

         filings or referring to prior Opinions of Counsel in which such details
         are given or (B) stating that, in the opinion of such counsel, no such
         action shall be necessary to preserve and protect such interest.

         Section 10.03. Governing Law. This Agreement shall be construed in
accordance with the laws of the State of California and the obligations, rights,
and remedies of the parties under the Agreement shall be determined in
accordance with such laws, except that the duties of the Owner Trustee and the
Indenture Trustee shall be governed by the laws of the State of New York.

         Section 10.04. Notices. All demands, notices and communications under
this Agreement shall be in writing personally delivered or mailed by certified
mail, return receipt requested, and shall be deemed to have been duly given upon
receipt in the case of:

         (a)      if to the Seller, to:

                  WFS Receivables Corporation 3
                  444 East Warm Springs Road #116,
                  Las Vegas, Nevada  89119
                  Attention: Keith Ford

         (b)      if to the Master Servicer, to:

                  WFS Financial Inc
                  23 Pasteur,
                  Irvine, California  92618
                  Attention: Legal Department

         (c)      if to the Issuer or Owner Trustee, to:

                  WFS Financial 2003-4 Owner Trust
                  Chase Manhattan Bank USA, National Association
                  c/o JP Morgan Chase
                  500 Stanton Christiana Rd., OPS4 /3rd Floor
                  Newark, Delaware  19713
                  Attention: Institutional Trust Services

         (d)      if to the Indenture Trustee, to:

                  Deutsche Bank Trust Company Americas
                  60 Wall Street, 26th Floor
                  MS NYC60-2606
                  New York, New York  10005
                  Attention: Corporate Trust & Agency Services - Structured
                  Finance Services

         (e)      if to Moody's, to:

                                       75
<PAGE>

                  Moody's Investors Service, Inc.
                  ABS Monitoring Department
                  99 Church Street
                  New York, New York 10007

         (f)      if to Standard & Poor's, to:

                  Standard & Poor's
                  55 Water Street
                  New York, New York  10041
                  Attention of Asset Backed Surveillance Department

         (g)      if to Fitch, to:

                  Fitch Ratings
                  One State Street Plaza
                  New York, New York  10004
                  Attention: Asset Backed Securities - Auto Group, 32nd Floor

or to such other address as any party shall have provided to the other parties
in writing. Any notice required to be in writing hereunder shall be deemed given
if such notice is mailed by certified mail, postage prepaid, or hand-delivered
to the address of such party as provided above. Any notice required or permitted
to be to be mailed to a Securityholder shall be given by first class mail,
postage prepaid, at the address of such Holder as shown in the Note Register or
the Certificate Register, as the case may be. Any notice so mailed within the
time prescribed herein shall be conclusively presumed to have been duly given,
whether or not such Securityholder shall receive such notice.

         Section 10.05. Severability of Provisions. If one or more of the
covenants, agreements, provisions or terms of this Agreement shall be for any
reason whatsoever held invalid, 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 provisions of this Agreement or of the Notes or
Certificates or the rights of the Holders thereof.

         Section 10.06. Assignment. Notwithstanding anything to the contrary
contained herein, as provided in Sections 6.03, 7.02 and 8.04, this Agreement
may not be assigned by the Seller or the Master Servicer without the prior
written consent of Holders of Notes of each Class evidencing not less than 66
2/3% of the Outstanding Amount of Notes of such Class and Certificateholders
evidencing not less than 66 2/3% of the aggregate Certificate Percentage
Interest.

         Section 10.07. Third Party Beneficiaries. Except as otherwise
specifically provided herein, the parties hereto hereby manifest their intent
that no third party shall be deemed a third party beneficiary of this Agreement,
and specifically that the Obligors are not third party beneficiaries of this
Agreement.

                                       76
<PAGE>

         Section 10.08. Counterparts. This Agreement may be executed in several
counterparts, each of which shall be an original and all of which shall together
constitute but one and the same instrument.

         Section 10.09. 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 10.10. Assignment by Issuer. The Seller hereby acknowledges and
consents to any mortgage, pledge, assignment and grant of a security interest by
the Issuer to the Indenture Trustee pursuant to the Indenture for the benefit of
the Noteholders of all right, title and interest of the Issuer in, to and under
the Contracts or the assignment of any or all of the Issuer's rights and
obligations hereunder to the Indenture Trustee.

         Section 10.11. Limitation of Liability of Owner Trustee.
Notwithstanding anything contained herein to the contrary, this instrument has
been countersigned by Chase Manhattan Bank USA, National Association not in its
individual capacity but solely in its capacity as Owner Trustee of the Issuer
and in no event shall Chase Manhattan Bank USA, National Association in its
individual capacity or any beneficial owner of the Issuer have any liability for
the representations, warranties, covenants, agreements or other obligations of
the Issuer hereunder, as to all of which recourse shall be had solely to the
assets of the Issuer. For all purposes of this Agreement, in the performance of
any duties or obligations of the Issuer hereunder, the Owner Trustee shall be
subject to, and entitled to the benefits of, the terms and provisions of
Articles Six, Seven and Eight of the Trust Agreement.

         Section 10.12. Limitation on Recourse Against WFSRC3. Notwithstanding
anything to the contrary contained in this Agreement, the obligations of WFSRC3
under the Basic Documents are solely the corporate obligations of WFSRC3, and
shall be payable by WFSRC3, solely as provided by the Basic Documents. WFSRC3
shall only be required to pay (i) any fees, expenses, indemnities or other
liabilities that it may incur under the Basic Documents from funds available
pursuant to, and in accordance with, the payment priorities set forth in this
Agreement and (ii) to the extent WFSRC3 has additional funds available (other
than funds described in the preceding clause (i)) that would be in excess of
amounts that would be necessary to pay the debt and other obligations of WFSRC3
incurred in accordance with WFSRC3's certificate of incorporation and all
financing documents to which WFSRC3 is a party. The agreement set forth in the
preceding sentence shall constitute a subordination agreement for purposes of
Section 510(a) of the Bankruptcy Code. In addition, no amount owing by WFSRC3
hereunder in excess of the liabilities that it is required to pay in accordance
with the preceding sentence shall constitute a "claim" (as defined in Section
101(5) of the Bankruptcy Code) against it.

                                       77
<PAGE>

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

                                    WFS FINANCIAL 2003-4 OWNER TRUST

                                    By: CHASE MANHATTAN BANK USA,
                                        NATIONAL ASSOCIATION,
                                        not in its individual capacity but
                                        solely as Owner Trustee on behalf of the
                                        Trust

                                    By: ________________________________________
                                        Name:
                                        Title:

                                    WFS RECEIVABLES CORPORATION 3,
                                        as Seller

                                    By: ________________________________________
                                        Name:
                                        Title:

                                    WFS FINANCIAL INC,
                                        as Master Servicer

                                    By: ________________________________________
                                        Name:
                                        Title:

Acknowledged and accepted as of the day
and year first above written:

DEUTSCHE BANK TRUST COMPANY
AMERICAS, not in its individual
capacity but solely as Indenture
Trustee and Backup Servicer

By: ________________________________
    Name:
    Title:

                                                    Sale and Servicing Agreement

<PAGE>

                                                                      SCHEDULE A

                              SCHEDULE OF CONTRACTS

     [Omitted--Schedule of Contracts on file at the offices of the Seller,
       the Master Servicer, the Owner Trustee and the Indenture Trustee.]

                                      SA-1

<PAGE>

                                                                      SCHEDULE B

                           LOCATION OF CONTRACT FILES

WFS Financial Inc                   WFS Financial Inc
23 Pasteur                          6061 N. State Highway 161
Irvine, CA  92618                   Irving, TX  75038
714-727-1000                        972-870-8060

                                      SB-1

<PAGE>

                                                                      SCHEDULE C

                           SEQUENTIAL PAYMENT TRIGGERS

<TABLE>
<CAPTION>
Distribution Date     Sequential Payment Trigger
-----------------     --------------------------
<S>                   <C>
January 2004                   0.15%
February 2004                  0.30%
March 2004                     0.45%
April 2004                     0.60%
May 2004                       0.75%
June 2004                      0.90%
July 2004                      1.05%
August 2004                    1.20%
September 2004                 1.37%
October 2004                   1.54%
November 2004                  1.71%
December 2004                  1.88%
January 2005                   2.05%
February 2005                  2.22%
March 2005                     2.39%
April 2005                     2.56%
May 2005                       2.73%
June 2005                      2.90%
July 2005                      3.07%
August 2005                    3.24%
September 2005                 3.37%
October 2005                   3.50%
November 2005                  3.63%
December 2005                  3.76%
January 2006                   3.89%
February 2006                  4.02%
March 2006                     4.15%
April 2006                     4.28%
May 2006                       4.41%
June 2006                      4.54%
July 2006                      4.67%
</TABLE>

                                      SB-1

<PAGE>

<TABLE>
<CAPTION>
Distribution Date         Sequential Payment Trigger
-----------------         --------------------------
<S>                       <C>
August 2006                         4.80%
September 2006                      4.93%
October 2006                        5.07%
November 2006                       5.20%
December 2006                       5.33%
January 2007                        5.47%
February 2007                       5.60%
March 2007                          5.73%
April 2007                          5.87%
May 2007                            6.00%
June 2007                           6.13%
July 2007                           6.27%
August 2007                         6.40%
September 2007                      6.53%
October 2007                        6.67%
November 2007                       6.80%
December 2007                       6.93%
January 2008                        7.07%
February 2008                       7.20%
March 2008                          7.33%
April 2008                          7.47%
May 2008                            7.60%
June 2008                           7.73%
July 2008                           7.87%
On and after August 2008            8.00%
</TABLE>

                                      SB-2

<PAGE>

                                                                      SCHEDULE D

                             SPREAD ACCOUNT TRIGGERS

<TABLE>
<CAPTION>
Distribution Date          Spread Account Trigger
-----------------          ----------------------
<S>                        <C>
January 2004                      0.15%
February 2004                     0.30%
March 2004                        0.45%
April 2004                        0.60%
May 2004                          0.75%
June 2004                         0.90%
July 2004                         1.05%
August 2004                       1.20%
September 2004                    1.37%
October 2004                      1.54%
November 2004                     1.71%
December 2004                     1.88%
January 2005                      2.05%
February 2005                     2.22%
March 2005                        2.39%
April 2005                        2.56%
May 2005                          2.73%
June 2005                         2.90%
July 2005                         3.07%
August 2005                       3.24%
September 2005                    3.37%
October 2005                      3.50%
November 2005                     3.63%
December 2005                     3.75%
January 2006                      3.95%
February 2006                     4.15%
March 2006                        4.25%
April 2006                        4.25%
May 2006                          4.35%
June 2006                         4.45%
July 2006                         4.55%
August 2006                       4.65%
September 2006                    4.65%
October 2006                      4.75%
November 2006                     4.85%
December 2006                     4.95%
January 2007                      4.95%
February 2007                     5.05%
March 2007                        5.05%
April 2007                        5.15%
</TABLE>

                                      SB-1

<PAGE>

<TABLE>
<CAPTION>
Distribution Date           Spread Account Trigger
-----------------           ----------------------
<S>                         <C>
May 2007                          5.15%
June 2007                         5.15%
July 2007                         5.25%
August 2007                       5.25%
September 2007                    5.25%
October 2007                      5.25%
On or after November 2007         5.35%
</TABLE>

                                      SB-2

<PAGE>

                                                                       EXHIBIT A

                                  [FORM OF RIC]

                                       A-1

<PAGE>

                                                                       EXHIBIT B

                      [FORM OF DISTRIBUTION DATE STATEMENT]

                                       B-1

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