Document:

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                                                                     EXHIBIT 4.2

                               SALE AND SERVICING

                                    AGREEMENT

                                      among

                  TRIAD AUTOMOBILE RECEIVABLES TRUST 200__-__,

                                     Issuer,

                      TRIAD FINANCIAL SPECIAL PURPOSE LLC,

                                   Depositor,

                          TRIAD FINANCIAL CORPORATION,

                             Servicer and Custodian

                                       and

                              [INDENTURE TRUSTEE],

                      Backup Servicer and Indenture Trustee

                           Dated as of ________, 200__

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                                TABLE OF CONTENTS

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ARTICLE I DEFINITIONS....................................................     1
   SECTION 1.1.     Definitions..........................................     1
   SECTION 1.2.     Other Definitional Provisions........................    17

ARTICLE II CONVEYANCE OF RECEIVABLES.....................................    18
   SECTION 2.1.     Conveyance of Receivables............................    18
   SECTION 2.2.     [Reserved]...........................................    19
   SECTION 2.3.     Further Encumbrance of Trust Property................    19

ARTICLE III THE RECEIVABLES..............................................    19
   SECTION 3.1.     Representations and Warranties.......................    19
   SECTION 3.2.     Repurchase upon Breach of Representations and
                    Warranties...........................................    20
   SECTION 3.3.     Custody of Receivables Files.........................    21

ARTICLE IV ADMINISTRATION AND SERVICING OF RECEIVABLES...................    23
   SECTION 4.1.     Duties of the Servicer...............................    23
   SECTION 4.2.     Collection of Receivable Payments; Modifications of
                    Receivables; Blocked Account Agreement...............    24
   SECTION 4.3.     Realization upon Receivables.........................    26
   SECTION 4.4.     Insurance............................................    27
   SECTION 4.5.     Maintenance of Security Interests in Vehicles........    28
   SECTION 4.6.     Covenants, Representations, and Warranties of
                    Servicer.............................................    29
   SECTION 4.7.     Purchase of Receivables Upon Breach of Covenant......    30
   SECTION 4.8.     Total Servicing Fee; Payment of Certain Expenses by
                    Servicer.............................................    31
   SECTION 4.9.     Servicer's Certificate...............................    31
   SECTION 4.10.    Annual Statement as to Compliance, Notice of Servicer
                    Termination Event....................................    31
   SECTION 4.11.    Annual Independent Accountants' Report...............    32
   SECTION 4.12.    Access to Certain Documentation and Information
                    Regarding Receivables................................    32
   SECTION 4.13.    Reserved.............................................    33
   SECTION 4.14.    Fidelity Bond and Errors and Omissions Policy........    33

ARTICLE V TRUST ACCOUNTS; DISTRIBUTIONS; STATEMENTS TO NOTEHOLDERS.......    33
   SECTION 5.1.     Establishment of Trust Accounts......................    33
   SECTION 5.2.     [Reserved]...........................................    35
   SECTION 5.3.     Certain Reimbursements to the Servicer...............    35
   SECTION 5.4.     Application of Collections...........................    35
   SECTION 5.5.     Spread Account.......................................    36
   SECTION 5.6.     Additional Deposits..................................    36
   SECTION 5.7.     Distributions........................................    36
   SECTION 5.8.     Note Distribution Account............................    38
   SECTION 5.9.     Reserved.............................................    39
   SECTION 5.10.    Statements to Noteholders............................    40
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   SECTION 5.11.    [Optional Deposits by the Insurer....................    41

ARTICLE VI [THE NOTE POLICY..............................................    41
   SECTION 6.1.     Claims Under Note Policy.............................    41
   SECTION 6.2.     Preference Claims Under Note Policy..................    42
   SECTION 6.3.     Surrender of Note Policy.............................    44

ARTICLE VII THE DEPOSITOR................................................    44
   SECTION 7.1.     Representations of Depositor.........................    44
   SECTION 7.2.     Organizational Existence.............................    45
   SECTION 7.3.     Liability of Depositor...............................    45
   SECTION 7.4.     Merger or Consolidation of, or Assumption of the
                    Obligations of, Depositor............................    46
   SECTION 7.5.     Limitation on Liability of Depositor and Others......    46
   SECTION 7.6.     Ownership of the Certificates or Notes...............    46

ARTICLE VIII THE SERVICER................................................    46
   SECTION 8.1.     Representations of Servicer..........................    46
   SECTION 8.2.     Liability of Servicer; Indemnities...................    48
   SECTION 8.3.     Merger or Consolidation of, or Assumption of the
                    Obligations of the Servicer or Backup Servicer.......    48
   SECTION 8.4.     Limitation on Liability of Servicer, Backup Servicer
                    and Others...........................................    49
   SECTION 8.5.     Delegation of Duties.................................    50
   SECTION 8.6.     Servicer and Backup Servicer Not to Resign...........    50

ARTICLE IX DEFAULT.......................................................    51
   SECTION 9.1.     Servicer Termination Event...........................    51
   SECTION 9.2.     Consequences of a Servicer Termination Event.........    52
   SECTION 9.3.     Appointment of Successor.............................    53
   SECTION 9.4.     Notification to Noteholders..........................    53
   SECTION 9.5.     Waiver of Past Defaults..............................    54

ARTICLE X TERMINATION....................................................    54
   SECTION 10.1.    Optional Purchase of All Receivables.................    54

ARTICLE XI ADMINISTRATIVE DUTIES OF THE SERVICER.........................    54
   SECTION 11.1.    Administrative Duties................................    54
   SECTION 11.2.    Records..............................................    56
   SECTION 11.3.    Additional Information to be Furnished to the
                    Issuer...............................................    57

ARTICLE XII MISCELLANEOUS PROVISIONS.....................................    57
   SECTION 12.1.    Amendment............................................    57
   SECTION 12.2.    Protection of Title to Trust.........................    58
   SECTION 12.3.    Notices..............................................    59
   SECTION 12.4.    Assignment...........................................    60
   SECTION 12.5.    Limitations on Rights of Others......................    60
   SECTION 12.6.    Severability.........................................    61
   SECTION 12.7.    Separate Counterparts................................    61
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   SECTION 12.8.    Headings.............................................    61
   SECTION 12.9.    Governing Law........................................    61
   SECTION 12.10.   Assignment to Indenture Trustee......................    61
   SECTION 12.11.   Nonpetition Covenants................................    61
   SECTION 12.12.   Limitation of Liability of Owner Trustee and
                    Indenture Trustee....................................    62
   SECTION 12.13.   Independence of the Servicer.........................    62
   SECTION 12.14.   No Joint Venture.....................................    62
   SECTION 12.15.   Nonpublic Personal Information.......................    62
   SECTION 12.16.   Regulation AB........................................    63
</TABLE>

SCHEDULES
Schedule A   Schedule of Receivables
Schedule B   Representations and Warranties
Schedule C   Servicing Policies and Procedures
Schedule D   Custodian Third Party Vendors

EXHIBITS
Exhibit A    Form of Servicer's Certificate
Exhibit B    Form of Note Guaranty Insurance Policy

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          SALE AND SERVICING AGREEMENT dated as of _______, 200_, among TRIAD
AUTOMOBILE RECEIVABLES TRUST 200_-_, a Delaware statutory trust (the "Issuer"),
TRIAD FINANCIAL SPECIAL PURPOSE LLC, a Delaware limited liability company (the
"Depositor"), and TRIAD FINANCIAL CORPORATION, a California corporation
("Triad", in its capacity as Servicer, the "Servicer", and in its capacity as
Custodian, the "Custodian"), and [INDENTURE TRUSTEE], in its capacity as Backup
Servicer and Indenture Trustee (in such capacities, the "Backup Servicer" and
the "Indenture Trustee", respectively).

          The Issuer desires to purchase the Receivables and Other Conveyed
Property;

          The Depositor has purchased the Receivables and Other Conveyed
Property from Triad and is willing to sell the Receivables and Other Conveyed
Property to the Issuer;

          The Servicer is willing to service the Receivables;

          The Custodian is willing to take custody of the Receivable Files.

          NOW, THEREFORE, in consideration of the premises and the mutual
covenants herein contained, the parties hereto agree as follows:

                                    ARTICLE I

                                   Definitions

     SECTION 1.1. Definitions. Whenever used in this Agreement, the following
words and phrases will have the following meanings:

          "Accounting Date" means, with respect to any Collection Period the
last day of such Collection Period.

          "Additional Funds Available" means, with respect to any Distribution
Date, the sum of: (1) the Spread Account Draw Amount, if any, received by the
Indenture Trustee with respect to the Distribution Date; plus [(2) the Insurer
Optional Deposit, if any, received by the Indenture Trustee with respect to the
Distribution Date].

          "Administrative Receivable" means, so long as Triad is the Servicer,
with respect to any Collection Period, a Receivable which the Servicer is
required to purchase pursuant to Section 4.7 on the Determination Date with
respect to such Collection Period.

          "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.

          "Aggregate Principal Balance" means, with respect to any date of
determination, the sum of the Principal Balances for all Receivables (other than
(i) any Receivable that became a Liquidated Receivable prior to the end of the
preceding Collection Period and (ii) any Receivable

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that became a Purchased Receivable prior to the end of the preceding Collection
Period) as of the date of determination.

          "Agreement" means this Sale and Servicing Agreement, as the same may
be amended and supplemented from time to time.

          "Amount Financed" means, with respect to a Receivable, the aggregate
amount advanced under such Receivable toward the purchase price of the Financed
Vehicle and any related costs, including amounts advanced at the time the
Receivable is originated in respect of accessories, insurance premiums, service
contracts, car club and warranty contracts and other items customarily financed
as part of retail automobile installment sale contracts or promissory notes, and
related costs.

          "Annual Percentage Rate" or "APR" of a Receivable means the annual
percentage rate of finance charges or service charges, as stated in the related
Contract.

          "Auto Loan Purchase and Sale Agreement" means any agreement between a
Third-Party Lender and Triad relating to the acquisition of Receivables from a
Third Party Lender by Triad.

          "Available Funds" means, for any Collection Period, the sum of (1) the
Collected Funds for the Collection Period; plus (2) all Purchase Amounts
deposited in the Collection Account with respect to the Collection Period, plus
income on investments held in the Collection Account, including earnings
transferred to the Collection Account pursuant to Section 5.1(b) hereof; plus
(3) the proceeds of any liquidation of the assets of the Issuer, other than Net
Liquidation Proceeds.

          "Backup Servicer" means [Indenture Trustee].

          "Base Servicing Fee" means, with respect to any Collection Period, the
fee payable to the Servicer for services rendered during such Collection Period,
which will be equal to one-twelfth of the Servicing Fee Rate multiplied by the
Pool Balance as of the opening of business on the first day of such Collection
Period.

          "Basic Documents" means this Agreement, the Certificate of Trust, the
Trust Agreement, the Purchase Agreement, the Insurance Agreement, the Indenture,
and the other documents and certificates delivered in connection therewith.

          "Blocked Account Agreement" means the Blocked Account Agreement with
Notice, dated as of April 29, 2005, by and among Triad, the Processing Bank,
Mellon Financial Services Corporation #1, Triad Automobile Receivables Warehouse
Trust and JPMorgan Chase Bank, N.A., as such agreement may be amended or
supplemented from time to time, unless JPMorgan Chase Bank, N.A. will cease to
be a party thereunder, or such agreement will be terminated in accordance with
its terms, in which event "Blocked Account Agreement" will mean such other
agreement, in form and substance acceptable to the Controlling Party, among the
Servicer, the Indenture Trustee and the Processing Bank.

          "Business Day" means a day other than a Saturday, a Sunday or other
day on which commercial banks located in the states of Delaware, California, or
New York are authorized or obligated to be closed.

          "Certificate" means the trust certificate evidencing the beneficial
interest of the Certificateholder in the Trust.

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          "Certificateholders" means the Persons in whose name the Certificates
are registered.

          "Class" means the [Class A-1 Notes], the [Class A-2 Notes], the [Class
A-3 Notes], the [Class A-4 Notes] or the Class B Notes, as the context requires.

          "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 Noteholders" means holders of the Class A Notes.

          "Class A Noteholders' Accelerated Principal Amount" means, for any
Distribution Date, the lesser of: (1) the sum of (a) the excess, if any, of the
amount of Available Funds on the Distribution Date over the amounts payable on
the Distribution Date under clauses (i) through (xiii) of Section 5.7(a); plus,
(b) the amounts, if any, on deposit in the Spread Account in excess of the
Spread Account Requirement for the Distribution Date; and (2) the excess, if
any, on the Distribution Date of (a) the Pro Forma Class A Note Balance for the
Distribution Date; over (b) the Required Pro Forma Class A Note Balance for the
Distribution Date.

          "Class A Noteholders' Interest Distributable Amount" means, for any
Distribution Date, the sum of the Class A Noteholders' Monthly Interest
Distributable Amount for each Class of Class A Notes for such Distribution Date
and the Class A Noteholders' Interest Carryover Amount, if any, for each Class
of Class A Notes, calculated as of such Distribution Date.

          "Class A Noteholders' Interest Carryover Amount" means, for any Class
of Class A Notes and any Determination Date, all or any portion of the Class A
Noteholders' Interest Distributable Amount for the Class for the immediately
preceding Distribution Date still unpaid as of the Determination Date, plus, to
the extent permitted by law, interest on the unpaid amount at the interest rate
paid on the Class of Notes from the preceding Distribution Date to but excluding
the related Distribution Date.

          "Class A Noteholders' Monthly Interest Distributable Amount" means,
for any Distribution Date and any Class of Class A Notes, the interest accrued
at the applicable Interest Rates during the applicable Interest Period on the
principal amount of the Notes of each Class of the Class A Notes outstanding as
of the end of the prior Distribution Date or, in the case of the first
Distribution Date, as of the Closing Date.

          "Class A Noteholders' Monthly Principal Distributable Amount" means,
with respect to any Distribution Date, the amount, which will not be less than
zero, equal to the excess, if any, of (x) the sum of (i) the principal portion
of all Collected Funds received during the immediately preceding Collection
Period (other than with respect to Liquidated Receivables), including any full
and partial principal prepayments during such Collection Period, (ii) the
Principal Balance of all Receivables that became Liquidated Receivables during
the related Collection Period (other than Purchased Receivables), (iii) the
principal portion of any Purchase Amounts received with respect to all
Receivables that became Purchased Receivables during the related Collection
Period, (iv) in the sole discretion of [the Insurer], the Principal Balance of
all the Receivables that were required to be purchased pursuant to Sections 3.2
and 4.7, during such Collection Period but were not purchased, (v) the aggregate
amount of Cram Down Losses that occurred during the related Collection Period,
and (vi) if the Notes have been accelerated pursuant to Section 5.2 of the
Indenture, the amount of money or property collected in respect of principal
collections pursuant to Section 5.4 of the

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Indenture following such acceleration by the Indenture Trustee or Controlling
Party to the extent not used to pay interest to the Class A Notes pursuant to
Section 5.6 of the Indenture over (y) the sum of the Step-Down Amount, if any,
for such Distribution Date and amounts distributed under Section 5.7(a)(iv) and
(vii), if any, for such Distribution Date.

          "Class A Noteholders' Parity Deficit Amount" means, for any
Distribution Date, the excess, if any, of (1) the aggregate remaining principal
amount of the Class A Notes outstanding on the Distribution Date after giving
effect to all reductions in such aggregate principal amount from sources other
than the Note Policy over (2) the Pool Balance at the end of the prior
Collection Period.

          "Class A Noteholders' Principal Carryover Amount" means, as of any
Determination Date, all or any portion of the Class A Noteholders' Principal
Distributable Amount from the immediately preceding Distribution Date that
remains unpaid.

          "Class A Noteholders' Principal Distributable Amount" means, for any
Distribution Date, the sum of the Class A Noteholders' Monthly Principal
Distributable Amount for the Distribution Date and the Class A Noteholders'
Principal Carryover Amount, if any, as of the Distribution Date.

          ["Class A-1 Notes" has the meaning assigned to such term in the
Indenture.]

          ["Class A-2 Notes" has the meaning assigned to such term in the
Indenture.]

          ["Class A-3 Notes" has the meaning assigned to such term in the
Indenture.]

          ["Class A-4 Notes" has the meaning assigned to such term in the
Indenture.]

          "Class B Notes" has the meaning assigned to such term in the
Indenture.

          "Class B Noteholders' Interest Distributable Amount" means, for any
Distribution Date, the sum of the Class B Noteholders' Monthly Interest
Distributable Amount for such Distribution Date and the Class B Noteholders'
Interest Carryover Amount, if any, calculated as of such Distribution Date.

          "Class B Noteholders' Interest Carryover Amount" means, for any
Determination Date, all or any portion of the Class B Noteholders' Interest
Distributable Amount for the immediately preceding Distribution Date still
unpaid as of the Determination Date, plus, to the extent permitted by law,
interest on the unpaid amount at the interest rate paid on the Class B Notes
from the preceding Distribution Date to but excluding the related Distribution
Date.

          "Class B Noteholders' Monthly Interest Distributable Amount" means,
for any Distribution Date, the interest accrued during the applicable interest
period on the principal amount of the Class B Notes outstanding as of the end of
the prior Distribution Date or, in the case of the first Distribution Date, as
of the Closing Date.

          "Closing Date" means _______, 200_.

          "Collateral Insurance" has the meaning set forth in Section 4.4(a).

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          "Collected Funds" means, with respect to any Collection Period, the
amount of funds in the Collection Account representing collections on the
Receivables (other than Purchased Receivables) during such Collection Period,
including all Net Liquidation Proceeds collected during such Collection Period
(but excluding any Purchase Amounts).

          "Collection Account" means the account designated as such, established
and maintained pursuant to Section 5.1.

          "Collection Period" means, with respect to the first Distribution
Date, the period beginning on the close of business on __________, 200_ and
ending on the close of business on _________, 200_. With respect to each
subsequent Distribution Date, "Collection Period" means the period beginning on
the open of business on the first day of the immediately preceding calendar
month and ending on the close of business on the last day of the immediately
preceding calendar month. Any amount stated "as of the close of business of the
last day of a Collection Period" will give effect to the following calculations
as determined as of the end of the day on such last day: (i) all applications of
collections and (ii) all distributions.

          "Collection Records" means all manually prepared or computer generated
records relating to collection efforts or payment histories with respect to the
Receivables.

          "Commission" means the U.S. Securities and Exchange Commission.

          "Computer Tape" means the computer tapes or other electronic media
furnished by Triad to the Issuer and its assigns describing certain
characteristics of the Receivables as of the Cutoff Date.

          "Contract" means a motor vehicle retail installment sale contract,
installment loan contract or note and security agreement.

          "Controlling Party" means [the Insurer, provided that if (i) an
Insurer Default has occurred and is continuing or (ii) all amounts payable to
the Class A Noteholders under the Indenture and the Insurer under the Insurance
Agreement have been paid in full, then the Controlling Party means] the
Indenture Trustee acting at the direction of the Majority Noteholders.

          "Copies" has the meaning set forth in Section 3.3(c).

          "Corporate Trust Office" means (i) with respect to the Owner Trustee,
the principal corporate trust office of the Owner Trustee, which at the time of
execution of this agreement is _________________________, and (ii) with respect
to the Indenture Trustee and the Backup Servicer, the principal office at which
at any particular time its corporate trust business is administered, which at
the time of execution of this agreement is __________________________.

          "Cram Down Loss" means, for any Receivable (other than a Purchased
Receivable or a Liquidated Receivable), if a court of appropriate jurisdiction
in an insolvency proceeding issued an order reducing the amount owed on the
Receivable or otherwise modifying or restructuring the scheduled payments to be
made on the Receivable, an amount equal to (i) the excess of the Receivable's
Principal Balance immediately prior to the order over the Receivable's Principal
Balance as reduced.

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          "Cumulative Net Losses" means with respect to any Determination Date,
the aggregate principal balance of all Net Liquidation Losses for each
Collection Period from the Closing Date to and including the last day of the
related Collection Period.

          "Cumulative Net Loss Ratio" means with respect to any Determination
Date, the ratio, expressed as a percentage, computed by dividing (i) Cumulative
Net Losses as of such Determination Date by (ii) the Original Pool Balance.

          "Cumulative Net Loss Trigger Event" means, with respect to any
Determination Date, the Cumulative Net Loss Ratio with respect to such
Determination Date exceeds the amounts set forth below:

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DISTRIBUTION DATE OCCURRING IN:   PERCENTAGE:
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</TABLE>

          "Custodian" means Triad as custodian hereunder acting as agent for the
Indenture Trustee, or any other Person named from time to time as custodian
hereunder, which Person must be reasonably acceptable to the Controlling Party
[(the Custodian as of the Closing Date is acceptable to the Insurer as of the
Closing Date)].

          "Cutoff Date" means __________, 200_.

          "Dealer" means a dealer who sold a Financed Vehicle and who originated
and assigned the respective Receivable to Triad under a Dealer Agreement or
pursuant to a Dealer Assignment.

          "Dealer Agreement" means any agreement between a Dealer and Triad
relating to the acquisition of Receivables from the Dealer by Triad.

          "Dealer Assignment" means, with respect to a Receivable, the executed
assignment executed by the Dealer conveying such Receivable to Triad.

          "Delinquency Rate" means, with respect to any Determination Date, a
fraction, expressed as a percentage, (a) the numerator of which is equal to the
Aggregate Principal Balance of all Receivables, other than Liquidated
Receivables, for which 10% or more of a Scheduled Receivables Payment was 60 or
more days delinquent as of the last day of the related Collection

                                        6

<PAGE>

Period and (b) the denominator of which is equal to the Aggregate Principal
Balance as of the last day of the related Collection Period.

          "Depositor" means Triad Financial Special Purpose LLC, a Delaware
limited liability company.

          "Determination Date" means, with respect to any Collection Period, the
3rd Business Day preceding the Distribution Date in the next Collection Period.

          "Distribution Date" means, with respect to each Collection Period, the
__ day of the following Collection Period, or, if such day is not a Business
Day, the immediately following Business Day, commencing ________, 200_.

          "Electronic Ledger" means the electronic master record of the motor
vehicle retail installment sale contracts, installment loan contracts and note
and security agreements of the Servicer.

          "Eligible Deposit Account" means a segregated trust account with the
corporate trust department of a depository institution acceptable to [the
Insurer] organized under the laws of the United States of America or any one of
the states thereof or the District of Columbia (or any domestic branch of a
foreign bank), having corporate trust powers and acting as trustee for funds
deposited in such account, so long as any of the securities of such depository
institution and its corporate parent have a credit rating from each Rating
Agency in one of its generic rating categories which signifies investment grade
and a rating of at least A-1 by Standard &Poor's and/or P-1 by Moody's.

          "Eligible Investments" mean book-entry securities, negotiable
instruments or securities, in each case denominated in United States dollars,
represented by instruments in bearer or registered form which evidence:

          (a) direct obligations of, and obligations fully guaranteed as to
     timely payment by, the United States of America;

          (b) demand deposits, time deposits or certificates of deposit of any
     depository institution or trust company incorporated under the laws of the
     United States of America or any state thereof or the District of Columbia
     (or any domestic branch of a foreign bank) and subject to supervision and
     examination by federal or state banking or depository institution
     authorities (including depository receipts issued by any such institution
     or trust company as custodian with respect to any obligation referred to in
     clause (a) above or portion of such obligation for the benefit of the
     holders of such depository receipts); provided, however, that at the time
     of the investment or contractual commitment to invest therein (which will
     be deemed to be made again each time funds are reinvested following each
     Distribution Date), the commercial paper or other short-term senior
     unsecured debt obligations (other than such obligations the rating of which
     is based on the credit of a Person other than such depository institution
     or trust company) of such depository institution or trust company will have
     a credit rating from Standard & Poor's of A-1+ and from Moody's of P-1;

                                        7

<PAGE>

          (c) commercial paper and demand notes investing solely in commercial
     paper having, at the time of the investment or contractual commitment to
     invest therein, a rating from Standard & Poor's of A-1+ and from Moody's of
     P-1;

          (d) investments in money market funds (including funds for which the
     Indenture Trustee or the Owner Trustee in each of their individual
     capacities or any of their respective Affiliates is investment manager,
     controlling party or advisor) having a rating from Standard & Poor's of AAA
     and from Moody's of Aaa;

          (e) bankers' acceptances issued by any depository institution or trust
     company referred to in clause (b) above;

          (f) repurchase obligations with respect to any security that is a
     direct obligation of, or fully guaranteed by, the United States of America
     or any agency or instrumentality thereof the obligations of which are
     backed by the full faith and credit of the United States of America, in
     either case entered into with a depository institution or trust company
     (acting as principal) referred to in clause (b) above;

          (g) any other investment which would satisfy the Rating Agency
     Condition and is consistent with the ratings of the Securities [and which,
     so long as no Insurer Default has occurred and is continuing, has been
     approved by the Insurer,] or any other investment that by its terms
     converts to cash within a finite period, if the Rating Agency Condition is
     satisfied with respect thereto; and

          (h) cash.

          Any of the foregoing Eligible Investments may be purchased by or
through the Owner Trustee or the Indenture Trustee or any of their respective
Affiliates. None of the Eligible Investments may have an "r"subscript as part of
its S&P rating. Each of the Eligible Investments must have a predetermined fixed
dollar amount that is due at maturity.

          "Eligible Servicer" means, Triad Financial Corporation, as Servicer,
[Indenture Trustee], as Backup Servicer, or another Person which at the time of
its appointment as Servicer or Backup Servicer, (i) is servicing a portfolio of
motor vehicle retail installment sale contracts and/or motor vehicle installment
loan contracts, (ii) is legally qualified and has the capacity to service the
Receivables, (iii) has demonstrated the ability professionally and competently
to service a portfolio of motor vehicle retail installment sale contracts and/or
motor vehicle installment loan contracts similar to the Receivables with
reasonable skill and care, (iv) is qualified and entitled to use, pursuant to a
license or other written agreement, and agrees to maintain the confidentiality
of, the software which the Servicer uses in connection with performing its
duties and responsibilities under this Agreement or otherwise has available
software which is adequate to perform its duties and responsibilities under this
Agreement, and [(v) so long as no Insurer Default has occurred and is
continuing, is reasonably acceptable to the Insurer].

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

          "FDIC" means the Federal Deposit Insurance Corporation.

                                        8

<PAGE>

          "Final Scheduled Distribution Date" means with respect to (i) the
[Class A-1 Notes], the _____ 20__ Distribution Date, (ii) the [Class A-2 Notes],
the ______ 20__ Distribution Date, (iii) the [Class A-3 Notes], the ____ 20__
Distribution Date, (iv) the [Class A-4 Notes], the ______ 20__ Distribution Date
and (v) the Class B Notes, the ________ 20__ Distribution Date.

          "Financed Vehicle" means an automobile or light-duty truck, together
with all accessions thereto, securing an Obligor's indebtedness under the
respective Receivable.

          ["Fitch" means Fitch Ratings, or its successor.]

          "Indenture" means the Indenture dated as of ______, 200_, between the
Issuer and [Indenture Trustee], as Indenture Trustee, as the same may be amended
and supplemented from time to time.

          "Indenture Trustee" means [Indenture Trustee], its successors in
interest and any successor trustee hereunder and under the Indenture.

          "Indenture Trustee Fee" means, with respect to any Collection Period,
the fee payable to the Indenture Trustee for services rendered during such
Collection Period, which will be equal to $___.

          "Independent Accountants" has the meaning set forth in Section 4.11.

          "Insolvency Event" means, with respect to a specified Person, (a) the
filing of a petition against such Person or the entry of a decree or order for
relief by a court having jurisdiction in the premises in respect of such Person
or any substantial part of its property 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 for such Person or for any
substantial part of its property, or ordering the winding-up or liquidation or
such Person's affairs, and such petition, decree or order will remain unstayed
and in effect for a period of 60 consecutive days; or (b) the commencement by
such Person 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 such Person to the entry of an order for relief in an involuntary
case under any such law, or the consent by such Person to the appointment of or
taking possession by, a receiver, liquidator, assignee, custodian, trustee,
sequestrator, or similar official for such Person or for any substantial part of
its property, or the making by such Person of any general 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 action by such Person in furtherance
of any of the foregoing.

          "Insolvency Proceeds" has the meaning set forth in Section 10.1(b).

          ["Insurance Agreement" means the Insurance and Indemnity Agreement,
dated as of ______, 200_, among the Insurer, the Trust, the Depositor, Triad and
the Indenture Trustee.]

          ["Insurance Agreement Event of Default" means an "Event of Default" as
defined in the Insurance Agreement.]

          ["Insured Payment" has the meaning set forth in the Note Policy.]

                                        9

<PAGE>

          ["Insurance Policy" means, with respect to a Receivable, any insurance
policy (including the insurance policies described in Section 4.4) benefiting
the holder of the Receivable providing loss or physical damage, credit life,
credit disability, theft, mechanical breakdown or similar coverage with respect
to the Financed Vehicle or the Obligor.]

          ["Insurer" means [Insurer], a _______________ or any successor
thereto, as issuer of the Note Policy.]

          ["Insurer Default" means the occurrence and continuance of any of the
following events:

          (a) the Insurer failing to make a payment required under the Note
     Policy in accordance with its terms;

          (b) the Insurer (i) filing a petition or commencing any case or
     proceeding under any provision or chapter of the United States Bankruptcy
     Code or any other similar federal or state law relating to insolvency,
     bankruptcy, rehabilitation, liquidation or reorganization, (ii) making a
     general assignment for the benefit of its creditors, or (iii) having an
     order for relief entered against it under the United States Bankruptcy Code
     or any other similar federal or state law relating to insolvency,
     bankruptcy, rehabilitation, liquidation or reorganization which is final
     and nonappealable; or

          (c) a court of competent jurisdiction, the ____________ or other
     competent regulatory authority has entered a final and nonappealable order,
     judgment or decree (i) appointing a custodian, trustee, agent or receiver
     for the Insurer or for all or any material portion of its property or (ii)
     authorizing the taking of possession of all or any material portion of the
     property of the Insurer by a custodian, trustee, agent or receiver.]

          ["Insurer Optional Deposit" means, for any Distribution Date, an
amount other than an Insured Payment delivered by the Insurer, at its sole
option, for deposit into the Collection Account for any of the following
purposes: to provide funds to pay the fees or expenses of any of the Issuer's
service providers for the Distribution Date; or to include those amounts as part
of Additional Funds Available for the Distribution Date to the extent that
without them a draw would be required to be made on the Note Policy.]

          "Interest Period" means, with respect to any Distribution Date, (i)
with respect to the [Class A-1 Notes], the period from and including the
preceding Distribution Date (or in the case of the first Distribution Date, from
and including the Closing Date) to, but excluding, such Distribution Date and
(ii) with respect to the [Class A-2 Notes], the [Class A-3 Notes], the [Class
A-4 Notes] and the Class B Notes, the period from and including the ____ day of
the prior calendar month (or in the case of the first Distribution Date, from
and including the Closing Date) to, but excluding, the 12th day of the calendar
month in which such Distribution Date occurs.

          "Interest Rate" means, with respect to (i) the [Class A-1 Notes], ___%
per annum, (ii) the [Class A-2 Notes], ___% per annum, (iii) the [Class A-3
Notes], ___% per annum, (v) the [Class A-4 Notes], ___% per annum and (vi) the
Class B Notes, ___% per annum (in the case of the [Class A-1 Notes], computed on
the basis of a 360 day year and the actual number of days in the related
Interest Period and in the case of the [Class A-2 Notes], [Class A-3 Notes],
[Class A-4 Notes] and Class B Notes computed on the basis of a 360-day year
consisting of twelve 30-day months).

                                       10

<PAGE>

          "Investment Earnings" means, with respect to any date of determination
and Trust Account, the investment earnings on amounts on deposit in such Trust
Account on such date.

          "Issuer" means Triad Automobile Receivables Trust 200_-_, a Delaware
statutory trust.

          "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 Receivable by operation of law as a result of any
act or omission by the related Obligor.

          "Lien Certificate" means, with respect to a Financed Vehicle, an
original certificate of title, certificate of lien or other notification issued
by the Registrar of Titles of the applicable state to a secured party which
indicates that the lien of the secured party on the Financed Vehicle is recorded
on the original certificate of title. In any jurisdiction in which the original
certificate of title is required to be given to the Obligor, the term "Lien
Certificate" will mean only a certificate or notification issued to a secured
party.

          "Liquidated Receivable" means, with respect to any Collection Period,
any Receivable with respect to which any of the following has occurred: (i) 10%
or more of any Scheduled Receivable Payment is 120 days or more past due, except
Receivables with respect to which the related Financed Vehicle has been
repossessed within such 120 days; (ii) the earlier of (A) 90 days have elapsed
since the Servicer repossessed the Financed Vehicle and (B) the sale of the
related Financed Vehicle; or (iii) the Servicer has determined in good faith
that it has received all amounts it expects to recover.

          "Lockbox Account" means an account maintained by the Processingr Bank
pursuant to Section 4.2(d).

          "Majority Noteholders" has the meaning set forth in the Indenture.

          "Monthly Extension Rate" means, with respect to any Accounting Date,
the fraction, expressed as a percentage, the numerator of which is the aggregate
Principal Balance of Receivables whose payments were extended during the related
Collection Period and the denominator of which is the Aggregate Principal
Balance as of the immediately preceding Accounting Date.

          "Monthly Records" means all records and data maintained by the
Servicer with respect to the Receivables, including the following with respect
to each Receivable: the account number; the originating Dealer; Obligor name;
Obligor address; Obligor home phone number; Obligor business phone number, if
any; original Principal Balance; original term; Annual Percentage Rate; current
Principal Balance; current remaining term; origination date; first payment date;
final scheduled payment date; next payment due date; new/used classification;
collateral description; days currently delinquent; number of contract extensions
(months) to date; amount of Scheduled Receivables Payment; and past due late
charges.

          "Moody's" means Moody's Investors Service, Inc., or its successor.

          "Net Liquidation Losses" means, with respect to any Determination
Date, the amount, if any, by which (a) the sum of (i) the Principal Balance of
all Receivables which became Liquidated Receivables during the related
Collection Period, and (ii) the aggregate of all Cram Down Losses that

                                       11

<PAGE>

occurred during such Collection Period, exceeds (b) the Net Liquidation Proceeds
received during the related Collection Period in respect of all Liquidated
Receivables.

          "Net Liquidation Proceeds" means, with respect to a Liquidated
Receivable, (1) proceeds from the disposition of the underlying Financed
Vehicle; plus (2) any related insurance proceeds; plus (3) other monies received
from the Obligor that are allocable to principal and interest due under the
Receivable; minus (4) the Servicer's reasonable out-of-pocket costs, including
repossession and resale expenses not already deducted from the proceeds, and any
amounts required to be remitted to the Obligor by law.

          "Net Loss Rate" means, with respect to a Collection Period, the
fraction, expressed as a percentage, the numerator of which is equal to the
aggregate of the Net Liquidation Losses for such Collection Period and the
denominator of which is the Aggregate Principal Balance as of the first day of
such Collection Period.

          "Note Distribution Account" means the account designated as such,
established and maintained pursuant to Section 5.1.

          ["Note Policy" means the note guaranty insurance policy issued by the
Insurer to the Indenture Trustee for the benefit of the Class A Noteholders.]

          "Note Pool Factor" means, for each Class of Notes as of the close of
business on any date of determination, a seven-digit decimal figure equal to the
outstanding principal amount of such Class of Notes divided by the original
principal amount of such Class of Notes.

          "Note Preference Claim" has the meaning set forth in Section 6.2(b).

          "Noteholders" means the holders of the Class A Notes and Class B
Notes.

          "Notes" means the Class A Notes and the Class B Notes.

          "Obligor" on a Receivable means the purchaser or co-purchaser(s) of a
Financed Vehicle and any other Person who owes payments under the Receivable.

          "Officer's Certificate" means a certificate signed by the chairman of
the board, the president, any executive vice president or any vice president,
any treasurer, assistant treasurer, secretary or assistant secretary of the
Servicer, as appropriate.

          "Opinion of Counsel" means a written opinion of counsel [reasonably
acceptable to the Insurer, which opinion is] satisfactory in form and substance
to the Indenture Trustee [and, if such opinion or a copy thereof is required by
the provisions of this Agreement to be delivered to the Insurer].

          "Original Pool Balance" means, as of any date of determination,
$___________ (which is the Pool Balance as of the Cutoff Date).

          "Originator" means Triad.

          "Other Conveyed Property" means all property conveyed by the Depositor
to the Trust pursuant to Section 2.1(b) through (h).

                                       12

<PAGE>

          "Overcollateralization Target Percentage" means (a) ____%; provided
that, if no Spread Cap Event (as defined in the Insurance Agreement) and no
Insurance Agreement Event of Default shall have occurred on the __th
Distribution Date, the Overcollateralization Target Percentage shall decline to
____%, beginning on such Distribution Date; provided further that, if no Spread
Cap Event (as defined in the Insurance Agreement) and no Insurance Agreement
Event of Default shall have occurred on the __th Distribution Date, the
Overcollateralization Target Percentage shall decline to ____%, beginning on
such Distribution Date; and provided further that, if no Spread Cap Event (as
defined in the Insurance Agreement) and no Insurance Agreement Event of Default
shall have occurred on the __th Distribution Date, the Overcollateralization
Target Percentage shall decline to ____%, beginning on such Distribution Date.

          "Owner Trust Estate" has the meaning assigned to such term in the
Trust Agreement.

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

          "Owner Trustee Fee" means with respect to any Collection Period, the
fee payable to the Owner Trustee for services rendered during such Collection
Period, which will be equal to $___.

          "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.

          ["Policy Claim Amount" has the meaning set forth in the Note Policy.]

          "Pool Balance" means, as of any date of determination, the Aggregate
Principal Balance at the end of the preceding Collection Period.

          ["Preference Amount" has the meaning set forth in the Note Policy.]

          ["Premium" means the premium payable to the Insurer, as specified in
the Insurance Agreement.]

          "Principal Balance" means, for any Receivable as of any date of
determination, (i) the Amount Financed; minus (ii) the sum of (a) that portion
of all amounts received on or prior to that date and allocable to principal
according to the Receivable's terms, and (b) any Cram Down Losses for the
Receivable accounted for as of that date.

          "Processing Bank" means, initially, Mellon Bank, N.A. and its
successors in interest, and thereafter a depository institution named by the
Servicer and approved by [the Insurer (so long as no Insurer Default has
occurred and is continuing)] which provides a lockbox as part of its normal and
customary services at which the Lockbox Account is established and maintained as
of such date; provided, however, that upon the occurrence of a Servicer
Termination Event, the Controlling Party may, in its sole discretion, cause the
Lockbox Account to be established at another bank.

          "Pro Forma Class A Note Balance" means, for any Distribution Date, the
aggregate remaining principal amount of the Class A Notes outstanding on the
Distribution Date, after giving effect to distributions to be made on such
Distribution Date under clauses (i) through (xiii) of Section 5.7(a).

                                       13

<PAGE>

          "Purchase Agreement" means the Purchase Agreement between the
Depositor and Triad, dated as of ________, 200_, as such Purchase Agreement may
be amended from time to time.

          "Purchase Amount" means, with respect to a Receivable, the sum of (i)
the Principal Balance as of the date of purchase and (ii) an amount of interest
accrued thereon at the related Annual Percentage Rate from the end of the prior
Collection Period through the last day of the month of purchase.

          "Purchased Receivable" means, with respect to any Collection Period, a
Receivable purchased as of the close of business on the last day of the
Collection Period by Triad or the Servicer so long as [Indenture Trustee] is not
acting as Servicer, as the result of a breach of a covenant or as an exercise of
its optional redemption right.

          "Rating Agency" means Moody's, Standard & Poor's [and Fitch]. If no
such organization or successor maintains a rating on the Securities, "Rating
Agency" will mean a nationally recognized statistical rating organization or
other comparable Person designated by the Issuer [and reasonably acceptable to
the Insurer (so long as no Insurer Default has occurred and is continuing)],
notice of which designation will be given by the Issuer to the Indenture
Trustee, the Owner Trustee and the Servicer.

          "Rating Agency Condition" means, with respect to any action, that each
Rating Agency has been given 10 days (or such shorter period as will be
acceptable to each Rating Agency) prior notice thereof and that each of the
Rating Agencies has notified the Depositor, the Servicer, [the Insurer,] the
Indenture Trustee, the Owner Trustee and the Issuer in writing that such action
will not result in a reduction or withdrawal of the then current rating of the
Notes.

          "Receivable" means any Contract listed on Schedule A (which Schedule
may be in the form of microfiche or a disk).

          "Receivable Files" means the documents specified in Section 3.3.

          "Record Date" has the meaning set forth in the Indenture.

          "Registrar of Titles" means, with respect to any state, the
governmental agency or body responsible for the registration of, and the
issuance of certificates of title relating to, motor vehicles and liens thereon.

          "Regulation AB" means Subpart 229.1100 - Asset Backed Securities
(Regulation AB), 17 C.F.R. Sections 229.1100-229.1123, as such may be amended
from time to time and subject to such clarification and interpretation as have
been provided by the Commission in the adopting release (Asset Backed
Securities, Securities Act Release No. 33-8518.70 Fed. Reg. 1,506, 1,531
(January 7, 2005)) or by the staff of the Commission, or as may be provided by
the Commission or its staff from time to time.

          "Required Pro Forma Class A Note Balance" means, with respect to any
Distribution Date, a dollar amount equal to the product of (1) the difference
between (a) 100% and (b) the Overcollateralization Target Percentage for that
Distribution Date and (2) the Pool Balance as of the end of the prior Collection
Period.

                                       14

<PAGE>

          "Schedule of Receivables" means the schedule of all motor vehicle
retail installment sale contracts, installment loan contracts and note and
security agreements originally held as part of the Trust which is attached as
Schedule A.

          "Schedule of Representations" means the Schedule of Representations
and Warranties attached as Schedule B.

          "Scheduled Receivables Payment" means, with respect to any Collection
Period for any Receivable, the amount set forth in the Receivable as required to
be paid by the Obligor in the Collection Period. If, after the Closing Date, the
Obligor's obligation under a Receivable with respect to a Collection Period is
modified so as to differ from the amount specified in the Receivable as a result
of (i) the order of a court in an insolvency proceeding involving the Obligor,
(ii) pursuant to the Servicemembers Civil Relief Act or (iii) modifications or
extensions of the Receivable permitted by Section 4.2(b), the Scheduled
Receivables Payment with respect to such Collection Period will refer to the
Obligor's payment obligation with respect to the Collection Period as so
modified.

          "Securities" means, collectively, the Class A Notes, the Class B Notes
and the Certificates.

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

          "Service Contract" means, with respect to a Financed Vehicle, the
agreement, if any, financed under the related Receivable that provides for the
repair of the Financed Vehicle.

          "Servicer" means Triad as the servicer of the Receivables, and each
successor Servicer pursuant to Section 9.3.

          "Servicer Termination Event" means an event specified in Section 9.1.

          "Servicer's Certificate" means an Officer's Certificate delivered
pursuant to Section 4.9, substantially in the form of Exhibit A.

          "Servicing Fee" has the meaning specified in Section 4.8.

          "Servicing Fee Rate" means ___% per annum.

          "Servicing Policies and Procedures" has the meaning specified in
Section 4.1.

          "Simple Interest Method" means the method of allocating a fixed level
payment on an obligation between principal and interest, pursuant to which the
portion of the payment that is allocated to interest is equal to the product of
the fixed rate of interest on the obligation multiplied by the period of time
expressed as a fraction of a year, based on the actual number of days elapsed
since the preceding payment under the obligation was made and 365 days in the
calendar year.

          "Spread Account" means the account designated as such, established and
maintained pursuant to Section 5.5.

          "Spread Account Draw Amount" means, for any Determination Date, the
amount, after taking into account the application on the Distribution Date of
Available Funds for the related

                                       15

<PAGE>

Collection Period, equal to any shortfall in the payment of amounts described in
clauses (i) through (vii) of Section 5.7(a).

          "Spread Account Initial Deposit" means $________.

          "Spread Account Requirement" means, with respect to the Closing Date
and for any Distribution Date, a dollar amount equal to: the Spread Account
Initial Deposit or, if a Spread Cap Event (as such term is defined in the
Insurance Agreement) has occurred and is continuing, ___% of the Original Pool
Balance.

          "Standard & Poor's" means Standard & Poor's Ratings Services, a
division of The McGraw-Hill Companies, Inc., or its successor.

          "Statutory Trust Statute" means Chapter 38 of Title 12 of the Delaware
Code, 12 Del. Code Section 3801 et seq., as the same may be amended from time to
time.

          "Step-Down Amount" means, with respect to any Distribution Date, the
excess, if any, of (x) the Required Pro Forma Class A Note Balance over (y) the
Pro Forma Class A Note Balance on such Distribution Date, calculated for this
definition only without deduction for any Step-Down Amount (i.e., assuming that
the entire amount described in clause (x) of the definition of "Class A
Noteholders' Monthly Principal Distributable Amount" is distributed as principal
on the Class A Notes).

          "Supplemental Servicing Fee" means, with respect to any Collection
Period, all administrative fees, expenses and charges paid by or on behalf of
Obligors, including late fees, prepayment fees, extension fees and liquidation
fees collected on the Receivables during the Collection Period and any expenses
incurred by the Servicer in connection with repossession and liquidation of the
Financed Vehicle.

          "Third-Party Lender" means an entity that originated a loan to a
consumer or was the original assignee of a motor vehicle retail installment sale
contract from a dealer for the purchase of a motor vehicle and sold the loan or
motor vehicle retail installment sale contract to Triad pursuant to an Auto Loan
Purchase and Sale Agreement.

          "Third-Party Lender Assignment" means, with respect to a Receivable,
the assignment executed by a Third-Party Lender conveying the Receivable to
Triad.

          "Triad" means Triad Financial Corporation, a California corporation,
and its successors and assigns.

          "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" has the meaning assigned thereto in Section 5.1.

                                       16

<PAGE>

          "Trust Agreement" means the Trust Agreement dated as of _______, 200_
among Triad, as the Administrator, the Depositor and the Owner Trustee, as
amended and restated as of ______, 200_ as the same may be amended and
supplemented from time to time.

          "Trust Officer" means, (i) in the case of the Indenture Trustee, the
chairman or vice-chairman of the board of directors, any managing director, the
chairman or vice-chairman of the executive committee of the board of directors,
the president, any vice president, assistant vice president, the secretary, any
assistant secretary, the treasurer, any assistant treasurer, the cashier, any
assistant cashier, any trust officer or assistant trust officer, the controller
and any assistant controller or any other officer of the Indenture Trustee
customarily performing functions similar to those performed by any of the above
designated officers and also means, with respect to a particular corporate trust
matter, any other officer to whom such matter is referred because of such
officer's knowledge of and familiarity with the particular subject, and (ii) in
the case of the Owner Trustee, any officer in the corporate trust office of the
Owner Trustee or any agent of the Owner Trustee under a power of attorney with
direct responsibility for the administration of any of the Basic Documents on
behalf of the Owner Trustee.

          "Trust Property" means all right, title and interest of the Trust in
and to the property and rights assigned to the Trust pursuant to Section 2.1
hereof, all funds on deposit from time to time in the Trust Accounts (including
all Eligible Investments therein and all proceeds therefrom) and all other
property of the Trust from time to time, including any rights of the Owner
Trustee and the Trust under this Agreement.

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

     SECTION 1.2. Other Definitional Provisions.

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

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

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

     (d) The words "hereof," "herein," "hereunder" and words of similar import
when used in this Agreement will refer to this Agreement as a whole and not to
any particular provision of this Agreement; Section, Schedule and Exhibit
references contained in this Agreement are references to

                                       17

<PAGE>

Sections, Schedules and Exhibits in or to this Agreement unless otherwise
specified; and the term "including" means "including without limitation."

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

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

                                   ARTICLE II

                            Conveyance of Receivables

     SECTION 2.1. Conveyance of Receivables. In consideration of the Issuer's
delivery to or upon the order of the Depositor on the Closing Date of the Notes
and the Certificates and the other amounts to be distributed from time to time
to the order of the Depositor in accordance with the terms of this Agreement,
the Depositor does hereby sell, transfer, assign, set over and otherwise convey
to the Issuer, without recourse, all right, title and interest of the Depositor
in and to:

     (a) the Receivables and all moneys received thereon after the Cutoff Date;

     (b) an assignment of the security interests in the Financed Vehicles
granted by Obligors pursuant to the Receivables and any other interest of the
Originator or the Depositor in such Financed Vehicles;

     (c) any proceeds and the right to receive proceeds with respect to the
Receivables from claims on any physical damage, credit life or disability
insurance policies covering Financed Vehicles or Obligors and any proceeds from
the liquidation of the Receivables;

     (d) the right to cause the related Dealer or Third-Party Lender to
repurchase Receivables pursuant to a Dealer Agreement or an Auto Loan Purchase
and Sale Agreement, respectively, as a result of a breach of representation or
warranty in the related Dealer Agreement or Auto Loan Purchase and Sale
Agreement, respectively;

     (e) all rights, if any, to refunds for the costs of Service Contracts on
the related Financed Vehicles;

     (f) the related Receivable Files;

     (g) all of the Depositor's right, title and interest in its rights and
benefits, but none of its obligations or burdens, under the Purchase Agreement,
including the Depositor's rights under the Purchase Agreement, to enforce the
delivery requirements, representations and warranties and the cure and
repurchase obligations of Triad under the Purchase Agreement; and

     (h) the proceeds of any and all of the foregoing.

                                       18

<PAGE>

          It is the intention of the Depositor that the transfer and assignment
contemplated by this Agreement constitutes a sale of the Receivables and Other
Conveyed Property from the Depositor to the Issuer and the beneficial interest
in and title to the Receivables and the Other Conveyed Property will not be part
of the Depositor's estate in the event of the filing of a bankruptcy petition by
or against the Depositor under any bankruptcy law. In the event that,
notwithstanding the intent of the Depositor, the transfer and assignment
contemplated hereby is held by a court of competent jurisdiction not to be a
sale, this Agreement will constitute a grant by the Depositor of a security
interest in all of its right, title and interest, whether now owned or existing
or hereafter acquired or arising, in the property referred to in this Section to
the Issuer for the benefit of the Indenture Trustee, the Noteholders [and the
Insurer].

     SECTION 2.2. [Reserved].

     SECTION 2.3. Further Encumbrance of Trust Property.

     (a) Immediately upon the conveyance to the Trust by the Depositor of the
Trust Property, all right, title and interest of the Depositor in and to such
item of Trust Property will terminate, and all such right, title and interest
will vest in the Trust, in accordance with the Trust Agreement and the Statutory
Trust Statute.

     (b) Immediately upon the vesting of the Trust Property in the Trust, the
Trust will have the sole right to pledge or otherwise encumber such Trust
Property. Pursuant to the Indenture, the Trust will grant a security interest in
the Trust Property to the Indenture Trustee securing the repayment of the Notes
and the Issuer's obligations to [the Insurer]. The Certificates will represent
the beneficial ownership interest in the Trust Property, and the
Certificateholders will be entitled to receive distributions with respect
thereto as set forth herein.

     (c) Following the payment in full of the Notes and the release and
discharge of the Indenture, all covenants of the Issuer under Article III of the
Indenture will, until payment in full of the Certificates, remain as covenants
of the Issuer for the benefit of the Certificateholders, enforceable by the
Certificateholders to the same extent as such covenants were enforceable by the
Noteholders prior to the discharge of the Indenture. Any rights of the Indenture
Trustee under Article III of the Indenture, following the discharge of the
Indenture, will vest in Certificateholders.

     (d) The Indenture Trustee will, at such time as there are no Notes
outstanding and all sums due to the Indenture Trustee[, the Insurer] and the
Backup Servicer pursuant to the Indenture and this Agreement have been paid,
release any remaining portion of the Trust Property to the Certificateholder.

                                   ARTICLE III

                                 The Receivables

     SECTION 3.1. Representations and Warranties. The Depositor hereby conveys
to the Issuer its rights, title and interest in and to the representations and
warranties made by the Originator in respect of the Receivables pursuant to the
Purchase Agreement. In addition, the Depositor makes the following
representations and warranties, on which the Issuer relies in accepting the
Receivables and delivering the Securities. Such representations and warranties
speak as of the

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Closing Date, but shall survive the transfer and assignment of the Receivables
by the Depositor to the Issuer and the pledge thereof to the Indenture Trustee
in accordance with the terms of the Indenture:

     (a) Title. The Depositor shall convey to the Issuer all right, title and
interest of the Depositor in and to the Receivables, including all right, title
and interest of the Depositor in and to the security interests in the related
Financed Vehicles.

     (b) All Filings Made. The Depositor has caused all filings (including UCC
filings) to be made in Delaware with respect to the sale of the Receivables to
the Issuer and the pledge contemplated in the Basic Documents to the Indenture
Trustee.

     (c) Liens. The Depositor has not taken any actions to create, incur or
suffer to exist any Lien on or restriction on transferability of any Receivable
except for the Lien of the Indenture and the restrictions on transferability
imposed by this Agreement.

     SECTION 3.2. Repurchase upon Breach of Representations and Warranties.

     (a) The Depositor, the Servicer, [the Insurer,] the Indenture Trustee or
the Trust, as the case may be, will inform the other parties to this Agreement
and Triad promptly, by notice in writing, upon the discovery of any breach of
the representations and warranties referenced in Section 3.1 and in Schedule B
hereto. As of the last day of the second (or, if Triad so elects, the first)
month following the discovery by Triad or receipt by Triad of notice of such
breach, unless such breach is cured by such date, Triad will repurchase any
Receivable in which the interests of the Noteholders [or the Insurer] are
materially and adversely affected by any such breach as of such date. The
"second month" will mean the month following the month in which discovery occurs
or notice is given, and the "first month" will mean the month in which discovery
occurs or notice is given.

     In consideration of and simultaneously with the repurchase of the
Receivable, Triad will remit to the Collection Account the Purchase Amount in
the manner specified in Section 5.6 and the Issuer and the Indenture Trustee
will execute such assignments and other documents reasonably requested by such
person in order to effect such repurchase. The Issuer and the Indenture Trustee
will take such steps in assigning such Receivable to Triad as are described in
Section 5.2 of the Purchase Agreement.

          The sole remedy of the Issuer, the Owner Trustee, the Indenture
Trustee or the Noteholders with respect to a breach of representations and
warranties pursuant to Section 3.1 and the agreement contained in this Section
will be the repurchase of Receivables pursuant to this Section, subject to the
conditions contained herein or to enforce the obligation of Triad to repurchase
such Receivables pursuant to the Purchase Agreement. Neither the Owner Trustee
nor the Indenture Trustee will have a duty to conduct any affirmative
investigation as to the occurrence of any conditions requiring the repurchase of
any Receivable pursuant to this Section.

          In addition to the foregoing and notwithstanding whether the related
Receivable has been purchased by Triad, Triad will indemnify the Trust, the
Indenture Trustee, the Backup Servicer, and the officers, directors, agents and
employees thereof, [the Insurer,] the Certificateholders and the Noteholders
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.

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     (b) Pursuant to Section 2.1, the Depositor conveyed to the Trust all of the
Depositor's right, title and interest in its rights and benefits, but none of
its obligations or burdens, under the Purchase Agreement including the
Depositor's rights under the Purchase Agreement to enforce the delivery
requirements, representations and warranties, indemnities and the cure or
repurchase obligations of Triad thereunder. The Depositor hereby represents and
warrants to the Trust that such assignment is valid and enforceable against the
Depositor.

     SECTION 3.3. Custody of Receivables Files.

     (a) In connection with the sale, transfer and assignment of the Receivables
and the Other Conveyed Property to the Trust pursuant to this Agreement, the
Indenture Trustee hereby revocably appoints the Custodian, and the Custodian
hereby accepts such appointment, to act as the agent of the Indenture Trustee as
custodian of the following documents or instruments in its possession or in the
possession of third party vendors on behalf of the Custodian which will be
delivered to the Custodian as agent of the Indenture Trustee on or before the
Closing Date (with respect to each Receivable):

          (i) the fully executed original of the Contract related to such
     Receivable (together with any agreements modifying the Receivable,
     including any extension agreements);

          (ii) the original certificate of title (when received) indicating that
     the Financed Vehicle is owned by the Obligor and subject to the interest of
     Triad as first lienholder or secured party (including any Lien Certificate
     received by Triad) or that it has been assigned to Triad as first
     lienholder or secured party, or, if such original certificate of title has
     not yet been received, a copy of the application therefor, showing Triad as
     secured party and otherwise such related documents, if any, that Triad
     keeps on file in accordance with its customary procedures; and

          (iii) in connection with Receivable Files pertaining to retail
     installment sale contracts, the original credit application, or a copy
     thereof (collectively, the "Receivable Files").

     (b) Upon payment in full of any Receivable, the Servicer will notify the
Custodian pursuant to a certificate of an officer of the Servicer (which
certificate will include a statement to the effect that all amounts received in
connection with such payments which are required to be deposited in the
Collection Account pursuant to Section 4.1 have been so deposited) and will
request delivery of the Receivable File to the Servicer. From time to time as
appropriate for servicing and enforcing any Receivable, the Custodian will, upon
written request of an officer of the Servicer and delivery to the Custodian of a
receipt signed by such officer, cause the related Receivable File to be released
to the Servicer. The Servicer's receipt of a Receivable File will obligate the
Servicer to return the Receivable File to the Custodian when its need by the
Servicer has ceased unless the Receivable is repurchased as described in Section
3.2 or 4.7.

     (c) The Custodian, or its third-party vendor, will hold the Receivable
Files on behalf of the Indenture Trustee and will maintain such accurate and
complete accounts, records and computer systems pertaining to each Receivable
File as will enable the Indenture Trustee to comply with the terms and
conditions of this Agreement. For so long as Triad is the Custodian, the
Custodian will maintain the Receivable Files at (i) its office located at 7711
Center Avenue, Suite 100, Huntington Beach, California 92647, (ii) with a
third-party service provider identified on Schedule D hereto, as it

                                       21

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may be modified from time to time by the Custodian with the consent of [the
Insurer], which will not be unreasonably withheld, or (iii) subject to the prior
written consent of [the Insurer, so long as no Insurer Default has occurred and
is continuing,] at such other office as will from time to time be identified to
the Indenture Trustee [and the Insurer]. Each Receivable will be identified on
the books and records of the Custodian in a manner that (i) indicates that the
Receivables are held by the Custodian on behalf of the Indenture Trustee and
(ii) is otherwise necessary, as reasonably determined by the Custodian. So long
as [Indenture Trustee] is not the Custodian, the Custodian will conduct, or
cause to be conducted, periodic physical inspections of the Receivable Files
held by it, and of the related accounts, records and computer systems, in such a
manner as will enable the Indenture Trustee, [the Insurer] and the Custodian to
verify the accuracy of the Custodian's inventory and recordkeeping. Such
inspections will be conducted at such times, in such manner and by such persons
including independent accountants, [as the Insurer] or the Indenture Trustee may
reasonably request and the cost of such inspections will be borne directly by
the Custodian, so long as [Indenture Trustee] is not the Custodian, and not by
the Indenture Trustee, but such inspections are not to take place more than once
per year. The Custodian will promptly report to [the Insurer and] the Indenture
Trustee any failure on its part to hold the Receivable Files and maintain its
accounts, records and computer systems as herein provided and promptly take
appropriate action to remedy any such failure. Upon request, the Custodian will,
at the expense of the party making such request, make copies or other electronic
file records (e.g., diskettes, CDs, etc.) (the "Copies") of the Receivable Files
and will deliver such Copies to the Indenture Trustee and the Indenture Trustee
will hold such Copies on behalf of the Issuer Secured Parties.

     (d) The Custodian will, subject only to the Custodian's security
requirements applicable to its own employees having access to similar records
held by the Custodian, which requirements will be consistent with the practices
of an institution that maintains custody of Receivable Files for its own
account, and at such times as may be reasonably imposed by the Custodian, permit
only [the Insurer and] the Indenture Trustee or their duly authorized
representatives, attorneys or auditors to inspect the Receivable Files and the
related accounts, records, and computer systems maintained by the Custodian
pursuant hereto at such times as [the Insurer or] the Indenture Trustee may
reasonably request during normal business hours.

     (e) The Custodian will be deemed to have received proper instructions with
respect to the Receivable Files upon its receipt of written instructions signed
by a Responsible Officer of the Indenture Trustee. Such instructions may be
general or specific in terms. The Indenture Trustee will provide a copy of any
such instructions to the Insurer.

     (f) The Custodian will indemnify the Issuer, the Owner Trustee, the Backup
Servicer, [the Insurer,] the Noteholders, the Certificateholders and the
Indenture Trustee for any and all liabilities, obligations, losses, damage,
payments, costs or expenses of any kind whatsoever (including the fees and
expenses of counsel) that may be imposed on, incurred or asserted against such
Persons and their respective officers, directors, employees, agents, attorneys
and successors and assigns as the result of any act or omission in any way
relating to the maintenance and custody by the Custodian or any third-party
vendor of the Receivable Files; provided, however, that the Custodian will not
be liable for any portion of any such liabilities, obligations, losses, damages,
payments, costs or expenses due to the willful misfeasance, bad faith or gross
negligence of the Issuer, the Owner Trustee, the Backup Servicer, [the Insurer]
or the Indenture Trustee or the officers, directors, employees and agents
thereof. In no event will the Custodian be liable to any third party for acts or
omissions of the Custodian other than as specifically set forth in this Section.

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<PAGE>

                                   ARTICLE IV

                   Administration and Servicing of Receivables

     SECTION 4.1. Duties of the Servicer. (a) The Servicer is hereby authorized
to act as agent for the Trust and in such capacity will manage, service,
administer and make collections on the Receivables (other than Purchased
Receivables after the date of purchase thereof by Triad or the Servicer), and
perform the other actions required by the Servicer under this Agreement. The
Servicer agrees that its servicing of the Receivables will be carried out in
accordance with customary and usual procedures of institutions which service
motor vehicle retail installment sales contracts and, to the extent more
exacting, the degree of skill and attention that the Servicer exercises from
time to time with respect to all comparable motor vehicle receivables that it
services for itself or others. In performing such duties, so long as Triad is
the Servicer, it will substantially comply with the policies and procedures
described on Schedule C (the "Servicing Policies and Procedures"), as such
policies and procedures may be updated from time to time. The Servicer's duties
will include collection and posting of all payments, responding to inquiries of
Obligors on the Receivables, investigating delinquencies, sending payment
coupons or statements to Obligors, reporting any required tax information to
Obligors, monitoring the collateral, complying with the terms of the Blocked
Account Agreement, accounting for collections and furnishing monthly and annual
statements to the Indenture Trustee [and the Insurer] with respect to
distributions, and performing the other duties specified herein.

     (b) The Servicer will also administer and enforce all rights and
responsibilities of the holder of the Receivables provided for in the Dealer
Agreements and Auto Loan Purchase and Sale Agreements (and will maintain
possession of the Dealer Agreements and Auto Loan Purchase and Sale Agreements,
to the extent it is necessary to do so), the Dealer Assignments, the Third-Party
Lender Assignments and the Insurance Policies, to the extent that such Dealer
Agreements, Auto Loan Purchase and Sale Agreements, Dealer Assignments,
Third-Party Lender Assignments and Insurance Policies relate to the Receivables,
the Financed Vehicles or the Obligors. To the extent consistent with the
standards, policies and procedures otherwise required hereby, the Servicer will
follow its customary standards, policies, and procedures and will have full
power and authority, acting alone, to do any and all things in connection with
such managing, servicing, administration and collection that it may deem
necessary or desirable. Without limiting the generality of the foregoing, the
Servicer is hereby authorized and empowered by the Trust to execute and deliver,
on behalf of the Trust, 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 Receivables and with respect to the Financed
Vehicles; provided, however, that notwithstanding the foregoing, the Servicer
will not, except pursuant to an order from a court of competent jurisdiction,
release an Obligor from payment of any unpaid amount under any Receivable or
waive the right to collect the unpaid balance of any Receivable from the Obligor
except in accordance with the Servicer's customary practices.

     (c) The Servicer is hereby authorized to commence, in its own name or in
the name of the Trust, a legal proceeding to enforce a Receivable pursuant to
Section 4.3 or to commence or participate in any other legal proceeding
(including a bankruptcy proceeding) relating to or involving a Receivable, an
Obligor or a Financed Vehicle. If the Servicer commences or participates in such
a legal proceeding in its own name, the Trust will thereupon be deemed to have
automatically assigned such Receivable to the Servicer solely for purposes of
commencing or participating in any such proceeding as a party or claimant, and
the Servicer is authorized and empowered by the Trust to execute and deliver in
the Servicer's name any notices, demands, claims, complaints, responses,

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<PAGE>

affidavits or other documents or instruments in connection with any such
proceeding. The Indenture Trustee and the Owner Trustee will furnish the
Servicer with any limited powers of attorney and other documents which the
Servicer may reasonably request and which the Servicer deems necessary or
appropriate and take any other steps which the Servicer may deem necessary or
appropriate to enable the Servicer to carry out its servicing and administrative
duties under this Agreement.

     SECTION 4.2. Collection of Receivable Payments; Modifications of
Receivables; Blocked Account Agreement.

     (a) Consistent with the standards, policies and procedures required by this
Agreement, the Servicer will make reasonable efforts to collect all payments
called for under the terms and provisions of the Receivables as and when the
same will become due, and will follow such collection procedures as it follows
with respect to all comparable motor vehicle receivables that it services for
itself or others and otherwise act with respect to the Receivables, the Dealer
Agreements, the Dealer Assignments, the Auto Loan Purchase and Sale Agreements,
the Third-Party Lender Assignments, the Insurance Policies and the Other
Conveyed Property in such manner as will, in the reasonable judgment of the
Servicer, maximize the amount to be received by the Trust with respect thereto.
The Servicer is authorized in its discretion to waive any prepayment charge,
late payment charge or any other similar fees that may be collected in the
ordinary course of servicing any Receivable.

     (b) The Servicer may at any time agree to a modification or amendment of a
Receivable (i) in order to change the Obligor's regular due date in accordance
with its Servicing Policies and Procedures, (ii) in order to re-amortize the
Scheduled Receivables Payments on the Receivable following a partial prepayment
of principal or (iii) as may be required by law, in accordance with its
customary procedures if the Servicer believes in good faith that such extension,
modification or amendment is necessary to avoid a default on such Receivable,
will maximize the amount to be received by the Trust with respect to such
Receivable, and is otherwise in the best interests of the Trust; provided,
however, that in no event may a Receivable be extended beyond the Collection
Period immediately preceding the last Final Scheduled Distribution Date.

     (c) The Servicer may grant payment extensions on, or other modifications or
amendments to, a Receivable (in addition to those modifications permitted by
Section 4.2(b)) in accordance with the Servicing Policies and Procedures if the
Servicer believes in good faith that such extension, modification or amendment
is necessary to avoid a default on such Receivable, will maximize the amount to
be received by the Trust with respect to such Receivable, and is otherwise in
the best interests of the Trust; provided, however, that:

          (i) The aggregate period of all extensions on a Receivable does not
     exceed eight months;

          (ii) In no event may a Receivable be extended beyond the Collection
     Period immediately preceding the latest Final Scheduled Distribution Date;

          (iii) The average Monthly Extension Rate for any three consecutive
     Collection Periods does not exceed 4%;

          (iv) The Servicer may not amend or modify a Receivable (except as
     provided in Section 4.2(b) and this Section 4.2(c) or as otherwise required
     by law) without the consent of

                                       24

<PAGE>

     [the Insurer, so long as no Insurer Default has occurred and is
     continuing,] or the Majority Noteholders [(if an Insurer Default has
     occurred and is continuing)]; and

          (v) In no event may a Receivable be extended more than once within a
     twelve month period.

          With respect to Section 4.2(c)(iii), in the event the average of the
Monthly Extension Rates calculated with respect to three consecutive Collection
Periods exceeds 4% (which information will be set forth in the related
Servicer's Certificate), the Servicer will, so long as the Servicer is not
[Indenture Trustee], acting as Backup Servicer, on the third such Accounting
Date, purchase from the Trust the Receivables with respect to which payment had
been extended (starting with the Receivables most recently so extended) in an
aggregate Principal Balance equal to the product of (i) the excess of such
average of Monthly Extension Rates over 4% and (ii) the Aggregate Principal
Balance, and pay the related Purchase Amount on the related Determination Date;
provided, however, that in the event the Backup Servicer will be acting as
Servicer hereunder, the foregoing sentence will apply only in respect of
Receivables as to which payments had been extended by such Backup Servicer.

     (d) The Servicer will use its best efforts to notify or direct Obligors to
make all payments on the Receivables, whether by check or by direct debit of the
Obligor's bank account, to be made directly to one or more Processing Banks
pursuant to a Blocked Account Agreement. The Servicer will use its best efforts
to notify or direct any Processing Bank to deposit all payments on the
Receivables in the Lockbox Account no later than the Business Day after receipt,
and to cause all amounts credited to the Lockbox Account on account of such
payments to be transferred to the Collection Account no later than the second
Business Day after receipt of available funds with respect to such payments. The
Lockbox Account will be a demand deposit account held by the Processing Bank.

          On the Closing Date, the Servicer will deposit or cause to be
deposited in immediately available funds into the Collection Account all amounts
collected with respect to the Receivables from the Cutoff Date to the fourth
(4th) Business Day preceding the Closing Date. As soon as possible thereafter
and in accordance with the provisions of this Agreement, all amounts collected
with respect to the Receivables from such date to the Closing Date will be
deposited into the Collection Account.

          Notwithstanding any Blocked Account Agreement, or any of the
provisions of this Agreement relating to the Blocked Account Agreement, the
Servicer will remain obligated and liable to the Trust, the Indenture Trustee
and Noteholders for servicing and administering the Receivables and the Other
Conveyed Property in accordance with the provisions of this Agreement without
diminution of such obligation or liability by virtue thereof; provided, however,
that the foregoing will not apply to any Backup Servicer for so long as a
Processing Bank is performing its obligations pursuant to the terms of a Blocked
Account Agreement.

          If the Servicer is terminated, the successor Servicer will assume all
of the rights and obligations of the outgoing Servicer under the Blocked Account
Agreement subject to the terms hereof. In such event, the successor Servicer
will be deemed to have assumed all of the outgoing Servicer's interest therein
and to have replaced the outgoing Servicer as a party to each such Blocked
Account Agreement to the same extent as if such Blocked Account Agreement had
been assigned to the successor Servicer, except that the outgoing Servicer will
not thereby be relieved of any liability

                                       25

<PAGE>

or obligations on the part of the outgoing Servicer to the Processing Bank under
such Blocked Account Agreement. The outgoing Servicer will, upon request of the
Indenture Trustee, but at the expense of the outgoing Servicer, deliver to the
successor Servicer all documents and records relating to each such Blocked
Account Agreement and an accounting of amounts collected and held by the
Processing Bank and otherwise use its best efforts to effect the orderly and
efficient transfer of any Blocked Account Agreement to the successor Servicer.
In the event that [the Insurer (so long as no Insurer Default has occurred and
is continuing) or] the Majority Noteholders [(if an Insurer Default has occurred
and is continuing)] elects to change the identity of the Processing Bank, the
outgoing Servicer, at its expense, will cause the Processing Bank to deliver, at
the direction [of the Insurer (so long as no Insurer Default has occurred and is
continuing) or] the Majority Noteholders [(if an Insurer Default has occurred
and is continuing)] to the Indenture Trustee or a successor Processing Bank, all
documents and records relating to the Receivables and all amounts held (or
thereafter received) by the Processing Bank (together with an accounting of such
amounts) and will otherwise use its best efforts to effect the orderly and
efficient transfer of the lockbox arrangements and the Servicer will notify the
Obligors to make payments to the Lockbox established by the successor.

     (e) The Servicer will remit all payments by or on behalf of the Obligors
received in the form of checks with payment coupons directly by the Servicer to
the Processing Bank for deposit into the Collection Account, in either case, and
as soon as practicable, but in no event later than the second Business Day after
receipt thereof. Other payments received by each of the Servicer, Triad and the
Depositor will be deposited into a local servicing account for processing
immediately upon receipt, and then transferred in immediately available funds to
the Lockbox Account for deposit to the Collection Account no later than the
second (2nd) Business Day after receipt of available amounts.

     SECTION 4.3. Realization upon Receivables.

     (a) Consistent with the standards, policies and procedures required by this
Agreement, the Servicer will use commercially reasonable efforts to repossess
(or otherwise comparably convert the ownership of) and liquidate any Financed
Vehicle securing a Receivable with respect to which the Servicer has determined
that payments thereunder are not likely to be resumed, as soon as is practicable
after default on such Receivable but in no event later than the date on which
10% or more of a Scheduled Receivables Payment has become 91 days delinquent;
provided, however, that the Servicer may elect not to repossess a Financed
Vehicle within such time period if in its good faith judgment it determines that
the proceeds ultimately recoverable with respect to such Receivable would be
increased by forbearance. The Servicer is authorized to follow such customary
practices and procedures as it will deem necessary or advisable, consistent with
the standard of care required by Section 4.1, which practices and procedures may
include reasonable efforts to realize upon any recourse to Dealers and
Third-Party Lenders, the sale of the related Financed Vehicle at public or
private sale, the submission of claims under an Insurance Policy and other
actions by the Servicer in order to realize upon such a Receivable. The Servicer
will have the discretion to retain or sell to a third-party any of the
Liquidated Receivables. The foregoing is subject to the provision that, in any
case in which the Financed Vehicle will have suffered damage, the Servicer will
not expend funds in connection with any repair or towards the repossession of
such Financed Vehicle unless it will determine in its discretion that such
repair and/or repossession will increase the proceeds of liquidation of the
related Receivable by an amount greater than the amount of such expenses. All
amounts received upon liquidation of a Financed Vehicle will be remitted by the
Servicer to the Collection Account as soon as practicable, but in no event later
than the second Business Day after receipt of available funds thereof. The
Servicer will be entitled to recover all reasonable expenses incurred by it in
the course of repossessing and liquidating a Financed Vehicle into cash
proceeds, as

                                       26

<PAGE>

provided in Section 5.7(a) or out of the cash proceeds of such Financed Vehicle,
any deficiency obtained from the Obligor or any amounts received from the
related Dealer or Third-Party Lender, which amounts in reimbursement may be
retained by the Servicer (and will not be required to be deposited as provided
in Section 4.2(e)) to the extent of such expenses. The Servicer will pay on
behalf of the Trust any personal property taxes assessed on repossessed Financed
Vehicles. The Servicer will be entitled to reimbursement of any such tax from
Net Liquidation Proceeds with respect to such Receivable.

     (b) If the Servicer elects to commence a legal proceeding to enforce a
Dealer Agreement, Auto Loan Purchase and Sale Agreement, Dealer Assignment or
Third-Party Lender Assignment, the act of commencement will be deemed to be an
automatic assignment from the Trust to the Servicer of the rights under such
Dealer Agreement, Auto Loan Purchase and Sale Agreement, Dealer Assignment or
Third-Party Lender Assignment for purposes of collection only. If, however, in
any enforcement suit or legal proceeding it is held that the Servicer may not
enforce a Dealer Agreement, Auto Loan Purchase and Sale Agreement, Dealer
Assignment or Third-Party Lender Assignment on the grounds that it is not a real
party in interest or a Person entitled to enforce the Dealer Agreement, Auto
Loan Purchase and Sale Agreement, Dealer Assignment or Third-Party Lender
Assignment, the Owner Trustee and/or the Indenture Trustee, at the Servicer's
expense, will take such steps as the Servicer deems reasonably necessary to
enforce the Dealer Agreement, Auto Loan Purchase and Sale Agreement, Dealer
Assignment or Third-Party Lender Assignment, including bringing suit in its name
or the name of the Trust and the Owner Trustee and/or the Indenture Trustee for
the benefit of the Issuer Secured Parties. All amounts recovered will be
remitted directly by the Servicer as provided in Section 4.2(e).

     SECTION 4.4. Insurance.

     (a) The Servicer will require, in accordance with the Servicing Policies
and Procedures, that each Financed Vehicle be insured by the related Obligor
under the Insurance Policies referred to in Paragraph 24 of the Schedule of
Representations and Warranties. Each Receivable requires the Obligor to maintain
such physical loss and damage insurance, naming Triad and its successors and
assigns as additional insureds, and permits the holder of such Receivable to
obtain physical loss and damage insurance at the expense of the Obligor if the
Obligor fails to maintain such insurance. If the Servicer determines that an
Obligor has failed to obtain or maintain a physical loss and damage Insurance
Policy covering the related Financed Vehicle as described in Paragraph 24
(including during the repossession of such Financed Vehicle) the Servicer may
enforce the rights of the holder of the Receivable under the Receivable to
require the Obligor to obtain such physical loss and damage insurance in
accordance with the Servicing Policies and Procedures. The Servicer may, at its
sole option, maintain a vendor's single interest or other collateral protection
insurance policy with respect to all Financed Vehicles ("Collateral Insurance")
which policy by its terms insures against physical loss and damage in the event
any Obligor fails to maintain physical loss and damage insurance with respect to
the related Financed Vehicle. The parties acknowledge that the Servicer does not
now have, nor does it intend to obtain, Collateral Insurance. All policies of
Collateral Insurance will be endorsed with clauses providing for loss payable to
the Servicer. Costs incurred by the Servicer in maintaining such Collateral
Insurance will be paid by the Servicer.

     (b) The Servicer may, at its sole option, if an Obligor fails to obtain or
maintain a physical loss and damage Insurance Policy, obtain insurance with
respect to the related Financed Vehicle and advance on behalf of such Obligor,
as required under the terms of the insurance policy, the premiums for such
"force-placed" insurance. The parties hereto acknowledge that the Servicer

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<PAGE>

does not now have, nor does it intend to obtain, force-placed insurance. All
policies of force-placed insurance will be endorsed with clauses providing for
loss payable to the Servicer. Any cost incurred by the Servicer in maintaining
such force-placed insurance will only be recoverable out of premiums paid by the
Obligors or Net Liquidation Proceeds with respect to the Receivable, as provided
in Section 4.4(c).

          In connection with any force-placed insurance obtained hereunder, the
Servicer may, in the manner and to the extent permitted by applicable law,
require the Obligors to repay the entire premium to the Servicer. In no event
will the Servicer include the amount of the premium in the Amount Financed under
the Receivable. "Insurance add-on amounts," which are the premiums charged to
Obligors in the event that the Servicer obtains force-placed insurance, with
respect to any Receivable will be treated as a separate obligation of the
Obligor and will not be added to the Principal Balance of such Receivable, and
amounts allocable thereto will not be available for distribution on the Notes
and the Certificates. The Servicer will retain and separately administer the
right to receive payments from Obligors with respect to insurance add-on amounts
or rebates of force-placed insurance premiums. If an Obligor makes a payment
with respect to a Receivable having force-placed insurance, but the Servicer is
unable to determine whether the payment is allocable to the Receivable or to the
insurance add-on amount, the payment will be applied first to any unpaid
Scheduled Receivables Payments and then to the insurance add-on amount. Net
Liquidation Proceeds on any Receivable will be used first to pay the Principal
Balance and accrued interest on such Receivable and then to pay the related
insurance add-on amount. If an Obligor under a Receivable with respect to which
the Servicer has placed force-placed insurance fails to make scheduled payments
of such insurance add-on amount as due, and the Servicer has determined that
eventual payment of the insurance add-on amount is unlikely, the Servicer may,
but will not be required to, purchase such Receivable from the Trust for the
Purchase Amount on any subsequent Determination Date. Any such Receivable, and
any Receivable with respect to which the Servicer has placed force-placed
insurance which has been paid in full (excluding any insurance add-on amounts)
will be assigned to the Servicer.

     (c) The Servicer may sue to enforce or collect upon the Insurance Policies,
in its own name, if possible, or as agent of the Trust. If the Servicer elects
to commence a legal proceeding to enforce an Insurance Policy, the act of
commencement will be deemed to be an automatic assignment of the rights of the
Trust under such Insurance Policy to the Servicer for purposes of collection
only. If, however, in any enforcement suit or legal proceeding it is held that
the Servicer may not enforce an Insurance Policy on the grounds that it is not a
real party in interest or a holder entitled to enforce the Insurance Policy, the
Owner Trustee and/or the Indenture Trustee, at the Servicer's expense, will take
such steps as the Servicer deems necessary to enforce such Insurance Policy,
including bringing suit in its name or the name of the Trust and the Owner
Trustee and/or the Indenture Trustee for the benefit of the Noteholders.

     (d) The Servicer will cause itself and may cause the Indenture Trustee to
be named as named insured under all policies of Collateral Insurance.

     SECTION 4.5. Maintenance of Security Interests in Vehicles.

     (a) Consistent with the policies and procedures required by this Agreement,
the Servicer will take such steps on behalf of the Trust as are necessary to
maintain perfection of the security interest created by each Receivable in the
related Financed Vehicle, including obtaining the execution by the Obligors and
the recording, registering, filing, re-recording, re-filing, and re-

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<PAGE>

registering of all security agreements, financing statements and continuation
statements as are necessary to maintain the security interest granted by the
Obligors under the respective Receivables. The Indenture Trustee hereby
authorizes the Servicer, and the Servicer agrees, to take any and all steps
necessary to re-perfect such security interest on behalf of the Trust as
necessary because of the relocation of a Financed Vehicle or for any other
reason. In the event that the assignment of a Receivable to the Trust is
insufficient, without a notation on the related Financed Vehicle's certificate
of title, or without fulfilling any additional administrative requirements under
the laws of the state in which the Financed Vehicle is located, to perfect a
security interest in the related Financed Vehicle in favor of the Trust, the
Servicer agrees that Triad's designation as the secured party on the certificate
of title is in its capacity as Servicer as agent of the Trust.

     (b) [Upon the occurrence of an Insurance Agreement Event of Default, the
Insurer may (so long as no Insurer Default has occurred and is continuing)
instruct the Indenture Trustee and the Servicer to take or cause to be taken,
or, if an Insurer Default has occurred and is continuing,] upon the occurrence
of a Servicer Termination Event, the Indenture Trustee and the Servicer will
take or cause to be taken such action as may, in the opinion of counsel to the
Controlling Party, be necessary to perfect or re-perfect the security interests
in the Financed Vehicles securing the Receivables in the name of the Trust by
amending the title documents of such Financed Vehicles or by such other
reasonable means as may, in the opinion of counsel to the Controlling Party, be
necessary or prudent.

          Triad hereby agrees to pay all expenses related to such perfection or
reperfection and to take all action necessary therefor. In addition, prior to
the occurrence of an Insurance Agreement Event of Default, the Controlling Party
may instruct the Servicer to take or cause to be taken such action as may, in
the opinion of counsel to the Controlling Party, be necessary to perfect or
re-perfect the security interest in the Financed Vehicles underlying the
Receivables in the name of the Trust, including by amending the title documents
of such Financed Vehicles or by such other reasonable means as may, in the
opinion of counsel to the Controlling Party, be necessary or prudent; provided,
however, that if the Controlling Party requests that the title documents be
amended prior to the occurrence of an Insurance Agreement Event of Default, the
out-of-pocket expenses of the Servicer or the Indenture Trustee in connection
with such action will be reimbursed to the Servicer or the Indenture Trustee, as
applicable, by the Controlling Party. Triad hereby appoints the Indenture
Trustee as its attorney-in-fact to execute certificates of title or any other
documents, prepared by the Servicer, in the name and stead of Triad (it being
understood that and agreed that the Indenture Trustee has no obligation to take
such steps with respect to any perfection or reperfection, except as pursuant to
the Basic Documents to which it is a party and for which Triad has paid all
expenses) and the Indenture Trustee hereby accepts such appointment.

     (c) Upon the occurrence of a Servicer Termination Event, at the option of
the Controlling Party, Triad shall be terminated as Custodian and all original
receivable contracts and related title documents must be transferred to a
successor custodian acceptable to the Controlling Party.

     SECTION 4.6. Covenants, Representations, and Warranties of Servicer. By its
execution and delivery of this Agreement, the Servicer makes the following
representations, warranties and covenants on which the Issuer relies in
accepting the Receivables, on which the Indenture Trustee relies in
authenticating the Notes and on which [the Insurer relies in issuing the Note
Policy].

     (a) The Servicer covenants as follows:

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<PAGE>

          (i) Liens in Force. The Financed Vehicle securing each Receivable will
     not be released in whole or in part from the security interest granted by
     the Receivable, except upon payment in full of the Receivable or as
     otherwise contemplated herein;

          (ii) No Impairment. The Servicer will do nothing to impair the rights
     of the Trust or the Noteholders in the Receivables, the Dealer Agreements,
     the Auto Loan Purchase and Sale Agreements, the Dealer Assignments, the
     Third-Party Lender Assignments, the Insurance Policies or the Other
     Conveyed Property except as otherwise expressly provided herein;

          (iii) No Amendments. The Servicer will not extend or otherwise amend
     the terms of any Receivable, except in accordance with Section 4.2; and

          (iv) Restrictions on Liens. The Servicer will not (i) create, incur or
     suffer to exist, or agree to create, incur or suffer to exist, or consent
     to cause or permit in the future (upon the happening of a contingency or
     otherwise) the creation, incurrence or existence of any Lien or restriction
     on transferability of the Receivables except for the Lien in favor of the
     Indenture Trustee for the benefit of the Noteholders [and the Insurer,] and
     the restrictions on transferability imposed by this Agreement or (ii) sign
     or file under the UCC of any jurisdiction any financing statement which
     names Triad or the Servicer as a debtor, or sign any security agreement
     authorizing any secured party thereunder to file such financing statement,
     with respect to the Receivables or other Conveyed Property, except in each
     case any such instrument solely securing the rights and preserving the Lien
     of the Indenture Trustee, for the benefit of the Noteholders [and the
     Insurer].

     (b) The Servicer represents, warrants and covenants as of the Closing Date
as to itself that the representations and warranties set forth on the Schedule
of Representations attached hereto as Schedule B are true and correct, provided
that such representations and warranties contained therein and herein will not
apply to any entity other than Triad.

     SECTION 4.7. Purchase of Receivables Upon Breach of Covenant. Upon
discovery by any of the Servicer, [the Insurer,] the Trust or a Responsible
Officer of the Indenture Trustee of a breach of any of the representations,
warranties and covenants set forth in Sections 4.5(a) or 4.6, the party
discovering such breach will give prompt written notice to the others; provided,
however, that the failure to give any such notice will not affect any obligation
of Triad as Servicer under this Section 4.7. As of the second Accounting Date
following its discovery or receipt of notice of any breach of any
representation, warranty or covenant set forth in Sections 4.5(a) or 4.6 which
materially and adversely affects the interests of the Noteholders [or the
Insurer] in any Receivable (including any Liquidated Receivable) (or, at Triad's
election, the first Accounting Date so following) or the related Financed
Vehicle, Triad will, unless such breach has been cured in all material respects,
purchase from the Trust the Receivable affected by such breach and, on the
related Determination Date, Triad will pay the related Purchase Amount. It is
understood and agreed that the obligation of Triad to purchase any Receivable
(including any Liquidated Receivable) with respect to which such a breach has
occurred and is continuing will, if such obligation is fulfilled, constitute the
sole remedy against Triad for such breach available to [the Insurer,] the
Noteholders, the Owner Trustee or the Indenture Trustee; provided, however, that
Triad will indemnify the Trust, the Backup Servicer, [the Insurer,] the Owner
Trustee, the Indenture Trustee, the Certificateholders and the Noteholders from
and 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

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<PAGE>

of them as a result of third party claims arising out of the events or facts
giving rise to such breach. The indemnification provided pursuant to this
section will survive the removal or resignation of the Indenture Trustee and or
the Backup Servicer. In no event shall [Indenture Trustee], in its capacity as
the Backup Servicer or successor Servicer, be obligated to repurchase any
Receivable pursuant to this Section 4.7.

     SECTION 4.8. Total Servicing Fee; Payment of Certain Expenses by Servicer.
On each Distribution Date, the Servicer will be entitled to receive out of the
Collection Account the Base Servicing Fee and any Supplemental Servicing Fee for
the related Collection Period (together, the "Servicing Fee") pursuant to
Section 5.7. The Servicer will be required to pay all expenses incurred by it in
connection with its activities under this Agreement (including taxes imposed on
the Servicer, expenses incurred in connection with distributions and reports
made by the Servicer to Noteholders [or the Insurer] and, to the extent not
provided for pursuant to Section 5.7, all other fees and out-of-pocket expenses
of the Owner Trustee, the Backup Servicer, and the Indenture Trustee, except
taxes levied or assessed against the Trust, the Owner Trustee, the Backup
Servicer or the Indenture Trustee, and claims against the Trust, the Owner
Trustee, the Backup Servicer or the Indenture Trustee in respect of
indemnification, which taxes and claims in respect of indemnification against
the Trust are expressly stated to be for the account of Triad). The Servicer
will, to the extent not provided for pursuant to Section 5.7, be liable for the
fees and out-of-pocket expenses of the Owner Trustee, the Backup Servicer, the
Indenture Trustee, the Custodian, the Processing Bank (and any fees under the
Blocked Account Agreement) and the Independent Accountants except taxes levied
or assessed against such parties. Notwithstanding the foregoing, if the Servicer
is not Triad, a successor to Triad as Servicer including the Backup Servicer
permitted by Section 9.3 will not be liable for taxes levied or assessed against
the Trust or claims against the Trust in respect of indemnification, or the fees
and expenses referred to above.

     SECTION 4.9. Servicer's Certificate. No later than 11:00 a.m. New York City
time on each Determination Date, the Servicer will deliver (facsimile delivery
being acceptable; and in the case of the Servicer's Certificate to be delivered
to the Indenture Trustee, the Depositor and the Backup Servicer, an e-mail in a
computer file, the format of which will be agreed upon between the Servicer and
such parties) to the Indenture Trustee, the Owner Trustee, the Backup Servicer,
[the Insurer] and each Rating Agency a Servicer's Certificate containing among
the other things set forth in Exhibit A, (i) all information necessary to enable
the Indenture Trustee to give any notice required by Section 6.1 and to make the
distributions required by Section 5.7, (ii) a listing of all Purchased
Receivables and Administrative Receivables purchased as of the related
Accounting Date, (iii) all information necessary to enable the Indenture Trustee
to send the statements to Noteholders [and the Insurer] required by Section
5.10, (iv) the Delinquency Rate, Net Loss Rate and Cumulative Net Loss Ratio for
such Determination Date[, and (v) whether to the knowledge of the Servicer an
Insurance Agreement Event of Default, a Spread Cap Event (as defined in the
Insurance Agreement) or a Trigger Event (as defined in the Insurance Agreement)
has occurred]. Receivables purchased by the Servicer or by Triad on the related
Accounting Date and each Receivable that became a Liquidated Receivable or that
was paid in full during the related Collection Period will be identified by
account number (as set forth in the Schedule of Receivables).

     SECTION 4.10. Annual Statement as to Compliance, Notice of Servicer
Termination Event.

     (a) To the extent required by Regulation AB, the Servicer will deliver to
the Indenture Trustee, the Owner Trustee, the Backup Servicer, [the Insurer] and
each Rating Agency, on or before

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<PAGE>

March 31 of each year (or 90 days after the end of each calendar year),
beginning on March 31, ______, an Officer's Certificate, dated as of December 31
(or other applicable date) of the preceding year, stating that (i) a review of
the Servicer's activities during the preceding calendar year (or such other
period as has elapsed from the Closing Date to the date of the first such
certificate) and of its performance under this Agreement has been made under
such officer's supervision, and (ii) to the best of such officer's knowledge,
based on such review, the Servicer has fulfilled all its obligations under this
Agreement in all material respects throughout such reporting period, or, if
there has been a failure to fulfill any such obligation in any material respect,
specifying each such failure known to such officer and the nature and status
thereof.

     (b) The Servicer will deliver to the Indenture Trustee, the Owner Trustee,
the Backup Servicer, [the Insurer] and each Rating Agency, on or before March 31
of each year (or 90 days after the end of each calendar year), beginning on
March 31, _____, a report, dated as of December 31 (or other applicable date) of
the preceding year, on its assessment of compliance with the minimum servicing
criteria during the preceding calendar year, including disclosure of any
material instance of non-compliance identified by the Servicer, as required by
Rule 13a-18 and 15d-18 of the Exchange Act and Item 1122 of Regulation AB.

     (c) If the Issuer is not required to file periodic reports under the
Exchange Act or any other law, the reports referred to in this section may be
delivered on or before April 30 of each calendar year (or 120 days after the end
of each calendar year), beginning April 30, ____.

     (d) The Servicer will deliver to the Indenture Trustee, the Owner Trustee,
the Backup Servicer, [the Insurer,] and each Rating Agency, promptly after
having obtained knowledge thereof, but in no event later than two (2) Business
Days thereafter, written notice in an Officer's Certificate of any event which
with the giving of notice or lapse of time, or both, would become a Servicer
Termination Event under Section 9.1.

     SECTION 4.11. Annual Independent Accountants' Report.

     (a) The Servicer will cause a firm of independent certified public
accountants (the "Independent Accountants"), who may also render other services
to the Servicer or to its Affiliates, to deliver to the Indenture Trustee, the
Owner Trustee, the Backup Servicer, [the Insurer] and each Rating Agency, on or
before March 31 (or 90 days after the end of the Servicer's fiscal year, if
other than December 31) of each year, beginning on March 31, 200__, a report,
dated as of December 31 of the preceding calendar year, addressed to the board
of directors of the Servicer, providing its assessment of compliance with the
minimum servicing criteria during the preceding calendar year, including
disclosure of any material instance of non-compliance, as required by Rule
13a-18 and 15d-18 of the Exchange Act and Item 1122(b) of Regulation AB. Such
attestation will be in accordance with Rules 1-02(a)(3) and 2-02(g) of
Regulation S-X under the Securities Act and the Exchange Act.

     (b) If the Issuer is not required to file periodic reports under the
Exchange Act or any other law, the reports referred to in this section may be
delivered on or before April 30 of each calendar year (or 120 days after the end
of calendar year), beginning April 30, 200__.

     SECTION 4.12. Access to Certain Documentation and Information Regarding
Receivables. The Servicer will upon reasonable prior notice provide to
representatives of the Indenture Trustee, the Owner Trustee, the Backup Servicer
[and the Insurer] reasonable access to the

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<PAGE>

documentation regarding the Receivables. In each case, such access will be
afforded without charge but only upon reasonable request and during normal
business hours. Any expense incident to the exercise by the Indenture Trustee,
Owner Trustee, Backup Servicer [or the Insurer] will be borne by the Servicer to
the extent such visits and examinations are not more frequent than once in any
twelve-month period, or a Servicer Termination Event has occurred and is
continuing. Nothing in this Section will affect the obligation of the Servicer
to observe any applicable law prohibiting disclosure of information regarding
the Obligors, and the failure of the Servicer to provide access as provided in
this Section 4.12 as a result of such obligation will not constitute a breach of
this Section 4.12.

     SECTION 4.13. Reserved

     SECTION 4.14. Fidelity Bond and Errors and Omissions Policy. The Servicer
will not be required to maintain an errors and omissions policy. The Servicer
will maintain a fidelity bond of a type and in an amount customary for servicers
engaged in the business of servicing motor vehicle receivables.

                                    ARTICLE V

                         Trust Accounts; Distributions;
                            Statements to Noteholders

     SECTION 5.1. Establishment of Trust Accounts.

     (a) (i) The Indenture Trustee, on behalf of the Noteholders [and the
Insurer], will establish and maintain in its own name one or more Eligible
Deposit Accounts (collectively, the "Collection Account"), bearing a designation
clearly indicating that the funds deposited therein are held for the benefit of
the Indenture Trustee on behalf of the Noteholders [and the Insurer]. The
Collection Account will initially be established with the Indenture Trustee.

          (ii) The Indenture Trustee, on behalf of the Noteholders [and the
     Insurer], will establish and maintain in its own name an Eligible Deposit
     Account (the "Note Distribution Account"), bearing a designation clearly
     indicating that the funds deposited therein are held for the benefit of the
     Indenture Trustee on behalf of the Noteholders and the Insurer. The Note
     Distribution Account will initially be established with the Indenture
     Trustee.

          (iii) The Indenture Trustee, on behalf of the Noteholders [and the
     Insurer], will establish and maintain in its own name an Eligible Deposit
     Account (the "Spread Account"), bearing a designation clearly indicating
     that the funds deposited therein are held in trust for the benefit of the
     Indenture Trustee on behalf of the Noteholders [and the Insurer]. The
     Spread Account will initially be established with the Indenture Trustee.

          (iv) Funds on deposit in the Collection Account, the Note Distribution
     Account (but only to the extent of deposits therein for more than one
     Business Day), and the Spread Account (collectively, the "Trust Accounts")
     will be invested by the Indenture Trustee (or any custodian with respect to
     funds on deposit in any such account) in Eligible Investments selected in
     writing by the Servicer (pursuant to standing instructions or otherwise).
     All such Eligible Investments will be held by or on behalf of the Indenture
     Trustee for the benefit of the Noteholders [and the Insurer], as their
     interests arise. Funds on deposit in any Trust Account will be invested in
     Eligible Investments that will mature so that such funds will be

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<PAGE>

     available at the close of business on the Business Day immediately
     preceding the following Distribution Date. However, if each of the Rating
     Agencies confirms that it would not affect the ratings assigned to the
     Notes [and the Insurer consents], funds on deposit in the Spread Account
     may be invested in Eligible Investments that will mature so that funds will
     be available on the following Distribution Date. All Eligible Investments
     will be held to maturity.

     (b) All investment earnings of moneys deposited in the Trust Accounts will
be deposited (or caused to be deposited) by the Indenture Trustee in the
Collection Account, and any loss resulting from such investments will be charged
to the applicable Trust Account. The Servicer will not direct the Indenture
Trustee to make any investment of any funds 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, in either case without any further action by
any Person.

     (c) The Indenture Trustee will 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
Indenture Trustee's negligence or bad faith or its failure to make payments on
such Eligible Investments issued by the Indenture Trustee, in its commercial
capacity as principal obligor and not as trustee, in accordance with their
terms.

     (d) If (i) the Servicer fails to give investment directions in writing for
any funds on deposit in the Trust Accounts to the Indenture Trustee by 1:00 p.m.
New York City Time (or such other time as may be agreed by the Issuer and
Indenture Trustee) on any Business Day; or (ii) a Default or Event of Default
has occurred and is continuing with respect to the Notes but the Notes have not
been declared due and payable, or, if such Notes will have been declared due and
payable following an Event of Default, amounts collected or receivable from the
Trust Property are being applied as if there had not been such a declaration;
then the Indenture Trustee will, to the fullest extent practicable, invest and
reinvest funds in the Trust Accounts in the investment described in clause (d)
of the definition of Eligible Investments.

     (e) (i) The Indenture Trustee will possess all right, title and interest in
all funds on deposit from time to time in the Trust Accounts and in all proceeds
thereof and all such funds, investments, proceeds and income will be part of the
Owner Trust Estate. Except as otherwise provided herein, the Trust Accounts will
be under the sole dominion and control of the Indenture Trustee for the benefit
of the Noteholders [and the Insurer]. If, at any time, any of the Trust Accounts
ceases to be an Eligible Deposit Account, the Indenture Trustee (or the Servicer
on its behalf) will within ten Business Days (or such longer period as to which
each Rating Agency [and the Insurer] may consent) establish a new Trust Account
as an Eligible Deposit Account and will transfer any cash and/or any investments
to such new Trust Account. In connection with the foregoing, the Servicer agrees
that, in the event that any of the Trust Accounts are not accounts with the
Indenture Trustee, the Servicer will notify the Indenture Trustee in writing
promptly upon any of such Trust Accounts ceasing to be an Eligible Deposit
Account.

          (ii) With respect to the Trust Account Property, the Indenture Trustee
     agrees that:

               (A) any Trust Account Property that is held in deposit accounts
          will be held solely in the Eligible Deposit Accounts; and, except as
          otherwise provided herein, each such Eligible Deposit Account will be
          subject to the exclusive custody

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<PAGE>

          and control of the Indenture Trustee, and the Indenture Trustee will
          have sole signature authority with respect thereto;

               (B) any Trust Account Property that constitutes "securities
          entitlements" will be delivered to the Indenture Trustee in accordance
          with the UCC and will be held, pending maturity or disposition, solely
          by the Indenture Trustee or a securities intermediary (as such term is
          defined in Section 8-102(14) of the UCC) acting solely for the
          Indenture Trustee; and

               (C) the "securities intermediary's jurisdiction," for purposes of
          Section 8-110 of the UCC, shall be the State of New York.

     (f) The Servicer will have the power, revocable by [the Insurer or, with
the consent of the Insurer,] by the Indenture Trustee, to instruct the Indenture
Trustee to make withdrawals and payments from the Trust Accounts for the purpose
of permitting the Servicer and the Indenture Trustee to carry out its respective
duties hereunder.

     SECTION 5.2. [Reserved].

     SECTION 5.3. Certain Reimbursements to the Servicer. The Servicer will be
entitled to be reimbursed from amounts on deposit in the Collection Account with
respect to a Collection Period for amounts previously deposited in the
Collection Account but later determined by the Servicer to have resulted from
mistaken deposits or postings or checks returned for insufficient funds. To the
extent that such amounts are owed to the Processing Bank, the Servicer will
cause such amounts to be returned to the Processing Bank. The amount to be
reimbursed hereunder will be paid to the Servicer on the related Distribution
Date pursuant to Section 5.7(a)(i) upon certification by the Servicer of such
amounts and the provision of such information to the Indenture Trustee [and the
Insurer] as may be necessary in the opinion of [the Insurer] to verify the
accuracy of such certification; provided, however, that the Servicer must
provide such clarification within 12 months of such mistaken deposit, posting,
or returned check. In the event that [the Insurer] has not received evidence
satisfactory to it of the Servicer's entitlement to reimbursement pursuant to
this Section 5.3, [the Insurer will (unless an Insurer Default has occurred and
is continuing)] give the Indenture Trustee notice in writing to such effect,
following receipt of which the Indenture Trustee will not make a distribution to
the Servicer in respect of such amount pursuant to Section 5.7, or if the
Servicer prior thereto has been reimbursed pursuant to Section 5.7, the
Indenture Trustee will withhold such amounts from amounts otherwise
distributable to the Servicer on the next succeeding Distribution Date. The
Servicer will additionally be entitled to receive from amounts on deposit in the
Collection Account with respect to a Collection Period any amounts paid by
Obligors that were collected in the Lockbox Account but that do not relate to
(i) principal and interest payments due on the Receivables and (ii) any
Supplemental Servicing Fees.

     SECTION 5.4. Application of Collections. All collections for the Collection
Period will be applied by the Servicer as follows:

          With respect to each Receivable (other than a Purchased Receivable),
payments by or on behalf of the Obligor (other than Supplemental Servicing Fees
with respect to such Receivable, to the extent collected) will be applied to
interest and principal in accordance with the Simple Interest Method.

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<PAGE>

          All amounts collected that are payable to the Servicer as Supplemental
Servicing Fees hereunder will be deposited in the Collection Account and paid to
the Servicer in accordance with Section 5.7(a).

     SECTION 5.5. Spread Account.

     (a) On or prior to the Closing Date, the Depositor will deposit an amount
equal to the Spread Account Initial Deposit into the Spread Account from the
proceeds of the Notes. On each Distribution Date, to the extent of funds
available therefor pursuant to the priority of payments, amounts will be
deposited into the Spread Account in accordance with Section 5.7(a)(xii) until
the amount on deposit therein is equal to the Spread Account Requirement.

     (b) In the event that the Servicer's Certificate with respect to any
Determination Date states that there is a Spread Account Draw Amount, then on
the related Distribution Date, the Indenture Trustee will withdraw such Spread
Account Draw Amount from the Spread Account to the extent of funds on deposit
therein and deposit such amount into the Collection Account for distribution in
accordance with Section 5.7(a).

     (c) After considering all required distributions made on a Distribution
Date, amounts on deposit in the Spread Account on that Distribution Date that
are in excess of the Spread Account Requirement for that Distribution Date will
be applied by the Indenture Trustee in accordance with Section 5.7(a)(x), then
5.7(a)(xiii) through (xv).

     SECTION 5.6. Additional Deposits.

     (a) The Servicer and Triad, as applicable, will deposit or cause to be
deposited in the Collection Account on the Determination Date on which such
obligations are due the aggregate Purchase Amount with respect to Purchased
Receivables.

     (b) The proceeds of any sale of the assets of the Trust described in
Section 10.1 will be deposited in the Collection Account on the date of such
sale.

     (c) If the Indenture Trustee receives any Additional Funds Available of the
type described in clause (2) of the definition thereof it will deposit them into
the Collection Account and on each Distribution Date it will transfer any such
funds to the Note Distribution Account.

     SECTION 5.7. Distributions.

     (a) On each Distribution Date, unless payments are required to be made in
accordance with Article V of the Indenture, the Indenture Trustee will (based
solely on the information contained in the Servicer's Certificate delivered with
respect to the related Determination Date) distribute the following amounts from
Available Funds on deposit in the Collection Account unless otherwise specified,
to the extent of the sources of funds stated to be available therefor, and in
the following order of priority:

          (i) to the Servicer, the Servicing Fee for the related Collection
     Period, and, to the extent the Servicer has not reimbursed itself or to the
     extent not retained by the Servicer, other amounts relating to mistaken
     deposits, postings or checks returned for insufficient funds, and to the
     extent available, any amounts paid by the Obligors during the preceding
     Collection Period that were collected in the Collection Account but that do
     not relate to

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<PAGE>

     principal payments or interest payments such as late fees, prepayment
     charges and other administrative charges;

          (ii) to the Owner Trustee, the Indenture Trustee and the Backup
     Servicer, the Owner Trustee Fee, the Indenture Trustee Fee, the Backup
     Servicer fee, if any, and any accrued and unpaid servicer transition
     expenses of any incoming servicer then due to the Indenture Trustee, the
     Backup Servicer or any other successor servicer, up to a maximum amount of
     $200,000 in the aggregate;

          (iii) to the Note Distribution Account, the Class A Noteholders'
     Interest Distributable Amount;

          (iv) to the Note Distribution Account, to make a payment of principal
     on the Class A Notes to the extent necessary to reduce the Class A Note
     principal balance to the Pool Balance;

          (v) to the Note Distribution Account, on the Final Scheduled
     Distribution Date for any class of Class A Notes to make a payment of the
     remaining principal balance of such class of the Class A Notes;

          (vi) [to the Insurer, any unpaid amounts owed to the Insurer under the
     Insurance Agreement with respect to unpaid Premiums and unreimbursed
     Insured Payment;]

          (vii) to the Note Distribution Account, to make a payment of principal
     on the Class A Notes to the extent necessary to reduce the combined Class A
     and Class B Note principal balance to the Pool Balance;

          (viii) to the Note Distribution Account, the Class B Noteholders'
     Interest Distributable Amount;

          (ix) to the Note Distribution Account, to make a payment of the
     remaining principal balance of any of the Class B Notes on their Final
     Scheduled Distribution Date;

          (x) [to the Insurer, so long as no Insurer Default has occurred and is
     continuing, any other unpaid amounts owed to the Insurer under the
     Insurance Agreement;]

          (xi) to the Note Distribution Account, to make a payment of the Class
     A Noteholders' Principal Distributable Amount;

          (xii) to the Spread Account, any amount required to increase the
     amount in the Spread Account to the Spread Account Requirement;

          (xiii) [to the Insurer, if an Insurer Default has occurred or is
     continuing, the amounts described under clause (x) above;]

          (xiv) to the Note Distribution Account, to make a payment of the Class
     A Noteholders' Accelerated Principal Amount[, provided that if a Cumulative
     Net Loss Trigger Event or an Insurance Agreement Event of Default has
     occurred and is continuing, all remaining Available Funds shall be applied
     to pay principal on the Class A Notes until they have been paid in full, in
     either case, for payment to the Class A Noteholders]; and

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<PAGE>

          (xv) to the Note Distribution Account, to make a payment of principal
     to the holders of the Class B Notes, or, if the Class B Notes are no longer
     outstanding, to make a payment of all remaining amounts to the
     Certificateholder.

     (b) On each Distribution Date, the Indenture Trustee will (based solely on
the information contained in the Servicer's Certificate delivered with respect
to the related Determination Date[, unless the Insurer has notified the
Indenture Trustee in writing of any errors or deficiencies with respect
thereto]) distribute from the Collection Account the Additional Funds Available,
if any, plus the Policy Claim Amount, if any, in each case then on deposit in
the Collection Account, and deposit in the Note Distribution Account the excess,
if any, of the Scheduled Payments (as defined in the Note Policy) due on such
Distribution Date over the amount of all Available Funds previously deposited in
the Note Distribution Account with respect to the related Distribution Date,
which amount will be applied solely to the payment of amounts then due and
unpaid on the Class A Notes in accordance with the priorities set forth in
Section 5.8(a).

     (c) In the event that the Collection Account is maintained with an
institution other than the Indenture Trustee, the Servicer will instruct and
cause such institution to make all deposits and distributions pursuant to
Sections 5.7(a) and 5.7(b) on the related Distribution Date.

     SECTION 5.8. Note Distribution Account.

     (a) On each Distribution Date (based solely on the information contained in
the Servicer's Certificate) the Indenture Trustee will distribute all amounts on
deposit in the Note Distribution Account to Noteholders in respect of the Notes
to the extent of amounts due and unpaid on the Notes for principal and interest
in the following amounts:

          -    From amounts transferred pursuant to Section 5.7(a)(iii), accrued
               and unpaid interest on the Class A Notes; provided that if such
               amount is insufficient to pay the entire amount of accrued and
               unpaid interest then due on each Class of Class A Notes, the
               amount in the Note Distribution Account will be applied to the
               payment of such interest on each Class of Class A Notes pro rata
               on the basis of the amount of accrued and unpaid interest due on
               each Class of Class A Notes.

          -    From amounts transferred pursuant to Section 5.7(a)(viii),
               accrued and unpaid interest on the Class B Notes.

          -    From amounts transferred pursuant to Section 5.7(a)(iv), (v),
               (vii), (xi) and (xiv), in the following order of priority:

               (1) to the holders of the [Class A-1 Notes], the total amount
          paid out on each Distribution Date until the outstanding principal
          balance of the [Class A-1 Notes] has been reduced to zero;

               (2) to the holders of the [Class A-2 Notes], the total amount
          paid out on each Distribution Date until the outstanding principal
          balance of the [Class A-2 Notes] has been reduced to zero;

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<PAGE>

               (3) to the holders of the [Class A-3 Notes], the total amount
          paid out on each Distribution Date until the outstanding principal
          balance of the [Class A-3 Notes] has been reduced to zero; and

               (4) to the holders of the [Class A-4 Notes], the total amount
          paid out on each Distribution Date until the outstanding principal
          balance of the [Class A-4 Notes] is reduced to zero.

          -    From amounts transferred pursuant to section 5.7(a)(ix) and (xv),
               to the holders of the Class B Notes, until the outstanding
               principal balance of the Class B Notes is reduced to zero.

provided, that after the acceleration of the Notes following the occurrence of
an Event of Default under the Indenture, payments of principal on the Notes will
be made, instead of as provided above after payment of all amounts owing to the
Indenture Trustee pursuant to Section 6.7 of the Indenture, first to the [Class
A-1 Notes] until the [Class A-1 Notes] have been paid in full, second to the
other Classes of Class A Notes pro rata until they are paid in full, and third,
to the Class B Notes.

     (b) On each Distribution Date, the Indenture Trustee will post on its
website at _______________, which posting will be accessible to each Noteholder
[and to the Insurer], the statement provided to the Indenture Trustee by the
Servicer pursuant to Section 5.10 hereof on such Distribution Date.

     (c) In the event that any withholding tax is imposed on the Trust's payment
(or allocations of income) to a Noteholder, such tax will reduce the amount
otherwise distributable to the Noteholder in accordance with this Section 5.8.
The Indenture Trustee is hereby authorized and directed to retain from amounts
otherwise distributable to the Noteholders sufficient funds for the payment of
any withholding tax attributable to the Trust (but such authorization will not
prevent the Indenture Trustee from contesting any such tax in appropriate
proceedings, and withholding payment of such tax, if permitted by law, pending
the outcome of such proceedings). The amount of any withholding tax imposed with
respect to a Noteholder will be treated as cash distributed to such Noteholder
at the time it is withheld by the Trust and remitted to the appropriate taxing
authority. If there is a possibility that withholding tax is payable with
respect to a distribution (such as a distribution to a non-U.S. Noteholder), the
Indenture Trustee may in its sole discretion withhold such amounts in accordance
with this Section 5.8(c). In the event that a Noteholder wishes to apply for a
refund of any such withholding tax, the Indenture Trustee will reasonably
cooperate with such Noteholder in making such claim so long as such Noteholder
agrees to reimburse the Indenture Trustee for any out-of-pocket expenses
(including legal fees and expenses) incurred.

     (d) Distributions required to be made to Noteholders on any Distribution
Date will be made to each Noteholder of record on the related Record Date either
by wire transfer, or by check mailed to such Noteholder, as provided in Section
2.7 of the Indenture.

     (e) Subject to Section 5.1 and this Section 5.8, monies received by the
Indenture Trustee hereunder need not be segregated in any manner except to the
extent required by law and may be deposited under such general conditions as may
be prescribed by law, and the Indenture Trustee will not be liable for any
interest thereon.

     SECTION 5.9. Reserved.

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<PAGE>

     SECTION 5.10. Statements to Noteholders.

     (a) On each Distribution Date, the Indenture Trustee will make available to
each Noteholder [and to the Insurer] and the Rating Agencies a statement setting
forth at least the following information (which will be included in the
Servicer's Certificate delivered to the Indenture Trustee) to the extent
applicable:

          (i) the amount of such distribution allocable to principal of each
     Class of Notes;

          (ii) the amount of such distribution allocable to interest on or with
     respect to each Class of Notes;

          (iii) the amount of such distribution payable out of amounts withdrawn
     from the Spread Account or pursuant to a claim on the Note Policy;

          (iv) the Pool Balance as of the close of business on the last day of
     the preceding Collection Period;

          (v) the aggregate outstanding principal amount of each Class of the
     Notes and the Note Pool Factor for each such Class after giving effect to
     payments allocated to principal reported under Section 5.10(a)(i);

          (vi) the amount of the Servicing Fee paid to the Servicer with respect
     to the related Collection Period and/or due but unpaid with respect to such
     Collection Period or prior Collection Periods, as the case may be;

          (vii) the Class A Noteholders' Interest Carryover Amount, the Class B
     Noteholders' Interest Carryover Amount and the Class A Noteholders'
     Principal Carryover Amount if any;

          (viii) the Delinquency Rate with respect to such Distribution Date;

          (ix) the Net Loss Rate and Cumulative Net Loss Ratio with respect to
     such Distribution Date; and

          (x) the aggregate Purchase Amounts for Receivables, if any, that were
     repurchased by Triad or the Servicer on or prior to the related
     Determination Date.

Each amount set forth pursuant to Section 5.10(a)(i), (ii), (iii), (vi) and
(vii) will be expressed as a dollar amount per $1,000 of the initial principal
balance of the Notes (or Class thereof).

     (b) The Indenture Trustee will make the statements referred to in Section
5.10(a) (and, at its option, any additional files containing the same
information in an alternative format) available each month via the Indenture
Trustee's internet website, which is presently located at [______]. Persons that
are entitled to receive such statements but are unable to use the above website
are entitled to have a paper copy mailed to them via first class mail by calling
the Indenture Trustee at [_______]. The Indenture Trustee will have the right to
change the way the statements referred to in Section 5.10(a) are distributed in
order to make such distribution more convenient and/or more accessible to the
parties entitled to receive such statements. The Indenture Trustee will provide
notification of any such change to all parties entitled to receive such
statements in the manner

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<PAGE>

described in Section 12.3, Section 11.4 of the Indenture or Section 11.5 of the
Indenture, as appropriate.

     SECTION 5.11. [Optional Deposits by the Insurer. The Insurer will at any
time, and from time to time, with respect to a Distribution Date, have the
option (but will not be required, except in accordance with the terms of the
Note Policy) to deliver an Insurer Optional Deposit to the Indenture Trustee for
deposit into the Collection Account.]

                                   ARTICLE VI

                                [The Note Policy

     SECTION 6.1. Claims Under Note Policy.

     (a) In the event that the Servicer's Certificate with respect to any
Determination Date states that there is a Policy Claim Amount, the Indenture
Trustee will furnish to the Insurer no later than 12:00 noon New York City time
on the Business Day after the related Determination Date a completed Notice (as
attached as a form to the Note Policy) specifying the amount of the Policy Claim
Amount, provided, that if such Notice is received after 12:00 noon, New York
City time, on such Business Day, it will be deemed to be received before 12:00
noon, New York City time, on the following Business Day. If any such Notice is
not in proper form or is otherwise insufficient for the purpose of making a
claim under the Note Policy, it will be deemed not to have been received for
purposes of making such claim, and the Insurer will promptly so advise the
Indenture Trustee in writing and the Indenture Trustee may submit an amended or
corrected Notice. If such an amended or corrected Notice is in proper form and
is otherwise sufficient for the purpose of making a claim under the Note Policy,
it will be deemed to have been timely received on the Business Day of such
resubmission; provided, that if such notice is received after 12:00 noon, New
York City time, it shall be deemed to be received before 12:00 noon, New York
City time, on the following Business Day.

     (b) Any notice delivered by the Indenture Trustee to the Insurer pursuant
to Section 6.1(a) will specify the Policy Claim Amount claimed under the Note
Policy and will constitute a "Notice" under the Note Policy. In accordance with
the provisions of the Note Policy, the Insurer is required to pay to the
Indenture Trustee the Policy Claim Amount properly claimed thereunder by 12:00
noon, New York City time, on the later of (i) the Distribution Date on which the
related Policy Claim Amount is due for payment under the Indenture or (ii) the
second Business Day following actual receipt in New York, New York on a Business
Day by the Insurer of a Notice, appropriately completed and executed by the
Indenture Trustee; provided, that if such Notice is received after 12:00 noon,
New York City time, on such Business Day, it will be deemed to be received
before 12:00 noon, New York City time, on the following Business Day. The
Indenture Trustee will deposit amounts paid by the Insurer pursuant to a claim
submitted under this Section 6.1 into the Note Distribution Account for payment
to Holders (as defined in the Note Policy) on the related Distribution Date (or,
if funds are received from the Insurer after the related Distribution Date, for
payment to Holders promptly after such receipt). Any payment made by the Insurer
under the Note Policy will be applied solely to the payment of the Class A
Notes, and for no other purpose. Amounts payable in respect of any Policy Claim
Amounts due under the Note Policy, unless otherwise stated therein, will be
distributed by the Insurer to, or at the direction of, the Indenture Trustee, by
wire transfer of immediately available funds. The Insurer's payment obligations
under the Note Policy with respect to particular Policy Claim Amounts will be
discharged to the extent funds equal to the applicable Policy Claim Amounts are
paid by the Insurer to, or at the direction of,

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<PAGE>

the Indenture Trustee in accordance with the Indenture Trustee's request,
whether or not such funds are properly applied by the Indenture Trustee. Payment
of Policy Claim Amounts will be made only at the time set forth in the Note
Policy, and no accelerated Insured Payments (as defined in the Note Policy) will
be made except to the extent that the Insurer has specified an earlier date for
payment at its sole option. The Note Policy does not insure against loss of any
prepayment or other acceleration payment which at any time may become due in
respect of any Insured Obligation (as defined in the Note Policy), other than at
the sole option of the Insurer, nor against any risk other than Nonpayment (as
defined in the Note Policy), including failure of the Indenture Trustee to remit
any Policy Claim Amounts or Scheduled Payments due to Holders. Notwithstanding
anything to the contrary set forth in the Note Policy, in no event will the
aggregate amount paid by the Insurer thereunder exceed the Maximum Insured
Amount (as defined in the Note Policy).

     (c) The Indenture Trustee will (i) receive as attorney-in-fact of each
Holder any Policy Claim Amount from the Insurer and (ii) deposit the same in the
Note Distribution Account for distribution to Noteholders. Any and all Policy
Claim Amounts disbursed by the Indenture Trustee from claims made under the Note
Policy will not be considered payment by the Trust with respect to such Class A
Notes, and will not discharge the obligations of the Trust with respect thereto.
The Insurer will, upon any payment pursuant to the Note Policy, in furtherance
and not in limitation of its equitable right of subrogation and its rights under
the Insurance Agreement, to the extent it makes any payment with respect to the
Class A Notes, become subrogated to the rights of any Holders to receive any and
all amounts due in respect of the Insured Obligations as to which such payment
was made. The Insurer will be a co-beneficiary of the Indenture Trustee's lien
under the Indenture. Subject to and conditioned upon any payment with respect to
the Class A Notes by or on behalf of the Insurer, the Indenture Trustee will
assign to the Insurer all rights to the payment of interest or principal with
respect to the Notes which are then due for payment to the extent of all
payments made by the Insurer, and the Insurer may exercise any option, vote,
right, power or the like with respect to the Notes to the extent that it has
made payment pursuant to the Note Policy. To evidence such subrogation, the Note
Registrar will note the Insurer's rights as subrogee upon the register of
Holders. The foregoing subrogation will in all cases be subject to the rights of
the Holders to receive all Scheduled Payments (as defined in the Note Policy) in
respect of the Class A Notes.

     (d) The Indenture Trustee will keep a complete and accurate record of all
funds deposited into the Note Distribution Account with respect to the Note
Policy and the allocation of such funds to payment of interest on and principal
paid in respect of any Class A Note. The Insurer will have the right to inspect
such records at reasonable times upon one Business Day's prior notice to the
Indenture Trustee.

     (e) Only the Indenture Trustee on behalf of the Holders will be entitled to
make a claim for Policy Claim Amounts and Preference Amounts under the Note
Policy. Notwithstanding any other provision of this Agreement or any Basic
Document, the Noteholders are not entitled to institute proceedings directly
against the Insurer.

     SECTION 6.2. Preference Claims Under Note Policy.

     (a) In the event that the Indenture Trustee has received a certified copy
of a final, nonappealable order of an appropriate court or other body exercising
jurisdiction that any interest on or principal of the Class A Notes which has
become due for payment under the Indenture or this Agreement, the nonpayment of
which would have been covered by the Note Policy, and which was made to a Holder
by or on behalf of the Issuer has been deemed a preferential transfer and

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<PAGE>

recoverable, or theretofore recovered, from such Holder pursuant to Title 11 of
the United States Code in accordance with an Order (such amount, a "Preference
Amount"), the Indenture Trustee will so notify the Insurer, will comply with the
provisions of the Note Policy to obtain payment by the Insurer of such avoided
payment, and will, at the time it provides notice to the Insurer, notify Holders
by mail that, in the event that any Holder's payment is so recoverable, such
Holder will be entitled to payment pursuant to the terms of the Note Policy. The
Insurer will pay any Preference Amount when due to be paid pursuant to an Order
(as defined below), but in any event no earlier than the fifth Business Day
following actual receipt by the Insurer of (i) a certified copy of a final,
nonappealable order of a court or other body exercising jurisdiction to the
effect that a Holder is required to return such Preference Amount paid during
the term of the Note Policy because the payments of such amounts were avoided as
a preferential transfer or otherwise rescinded or required to be restored by the
Indenture Trustee or such Holder (the "Order"), (ii) an opinion of counsel
satisfactory to the Insurer stating that the Order has been entered and is final
and not subject to any stay, (iii) an assignment, in form and substance
satisfactory to the Insurer, duly executed and delivered by such Holder and the
Indenture Trustee, irrevocably assigning to the Insurer all rights and claims of
the Indenture Trustee and such Holder relating to or arising under the Indenture
or otherwise with respect to such Preference Amount, (iv) appropriate
instruments in form satisfactory to the Insurer to effect the appointment of the
Insurer as agent for such Holder in any legal proceeding related to such
Preference Amount, and (v) a Notice appropriately completed and executed by the
Indenture Trustee in the form attached as Exhibit B to the Note Policy;
provided, that (I) if such documents are received by the Insurer after 12:00
noon, New York City time, on such Business Day, they will be deemed to be
received before 12:00 noon, New York City time, on the following Business Day
and (II) the Insurer will not be obligated to pay any Preference Amount in
respect of principal (other than the Class A Noteholders' Parity Deficit Amount)
prior to the Final Scheduled Distribution Date for the relevant class of Class A
Notes. Such payment will be disbursed to the receiver, conservator,
debtor-in-possession or trustee in bankruptcy named in the Order, and not to the
Indenture Trustee or the Holder directly, unless the Indenture Trustee or the
relevant Holder has made a payment of the Preference Amounts to the court or
such receiver, conservator, debtor-in-possession or trustee in bankruptcy named
in the Order, in which case the Insurer will pay the Indenture Trustee, or as
directed by the Indenture Trustee, to the extent of the payment of the
Preference Amount, subject to the delivery of (a) the items referred to in
clauses (i), (ii), (iii), (iv) and (v) above to the Insurer and (b) evidence
satisfactory to the Insurer that payment has been made to such court or
receiver, conservator, debtor-in-possession or trustee in bankruptcy named in
the Order; provided, further, that any Preference Amount that constitutes
interest will be limited to the amount of interest on the outstanding principal
amount of the Class A Notes (calculated at the Interest Rate for the relevant
class of Class A Notes) accrued as of the last day of the applicable interest
accrual period with respect to the Class A Notes and will not, in any event,
include any interest on the Class A Notes accrued after such date or any
interest on such interest amount; provided, further, that in no event will the
Insurer be obligated to make any payment (i) in respect to any Preference Amount
to the extent that such payment, when added to all prior payments of Policy
Claim Amounts, would exceed the Maximum Insured Amount (as defined in the Note
Policy) or (ii) prior to the time the Insurer would have been required to pay a
Policy Claim Amount pursuant to Section 3 of the Policy.

     (b) The Indenture Trustee will promptly notify the Insurer of any
proceeding or the institution of any action (of which a Responsible Officer of
the Indenture Trustee has actual knowledge) seeking the avoidance as a
preferential transfer under applicable bankruptcy, insolvency, receivership,
rehabilitation or similar law (a "Note Preference Claim") of any payment made to
a Holder that has been deemed a preferential transfer and recoverable, or
theretofore recovered, from such Holder pursuant to Title 11 of United States
Code in accordance with an Order. Each Holder,

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<PAGE>

by its purchase of Class A Notes, and the Indenture Trustee hereby agree that so
long as no Insurer Default has occurred and is continuing, the Insurer may at
any time during the continuation of any proceeding relating to a Note Preference
Claim direct all matters relating to such Note Preference Claim, including (i)
the direction of any appeal of any order relating to any Note Preference Claim
and (ii) the posting of any surety, supersedeas or performance bond pending any
such appeal at the expense of the Insurer, but subject to reimbursement as
provided in the Insurance Agreement. In addition, and without limitation of the
foregoing, as set forth in Section 6.1(c), the Insurer will be subrogated to,
and each Holder and the Indenture Trustee hereby delegate and assign, to the
fullest extent permitted by law, the rights of the Indenture Trustee and each
Holder in the conduct of any proceeding with respect to a Note Preference Claim,
including all rights of any party to an adversary proceeding action with respect
to any court order issued in connection with any such Note Preference Claim.

     SECTION 6.3. Surrender of Note Policy. The Indenture Trustee will surrender
the Note Policy to the Insurer for cancellation upon the expiration of such
policy in accordance with the terms thereof.]

                                  ARTICLE VII

                                  The Depositor

     SECTION 7.1. Representations of Depositor. The Depositor makes the
following representations on which [the Insurer will be deemed to have relied in
executing and delivering the Note Policy and on which] the Issuer is deemed to
have relied in acquiring the Receivables and on which the Indenture Trustee and
Backup Servicer may rely. The representations are true and correct as of the
execution and delivery of this Agreement and as of the Closing Date, in the case
of Receivables, and will survive the sale of the Receivables to the Issuer and
the pledge thereof to the Indenture Trustee pursuant to the Indenture.

     (a) Organization and Good Standing. The Depositor has been duly organized
and is validly existing as a limited liability company in good standing under
the laws of the State of Delaware, with power and authority to own its
properties and to conduct its business as such properties are currently owned
and such business is currently conducted, and had at all relevant times, and now
has, limited liability company power, authority and legal right to acquire, own
and sell the Receivables and the Other Conveyed Property transferred to the
Trust.

     (b) Due Qualification. The Depositor is duly qualified to do business as a
foreign limited liability company in good standing and has obtained all
necessary licenses and approvals in all jurisdictions where the failure to do so
would materially and adversely affect the Depositor's ability to transfer the
Receivables and the Other Conveyed Property to the Trust pursuant to this
Agreement, or the validity or enforceability of the Receivables and the Other
Conveyed Property or to perform the Depositor's obligations under the Basic
Documents to which it is a party.

     (c) Power and Authority. The Depositor has the power and authority to
execute and deliver the Basic Documents to which it is a party and to carry out
their respective terms; the Depositor has full power and authority to sell and
assign the Receivables and the Other Conveyed Property to be sold and assigned
to and deposited with the Trust by it and has duly authorized such sale and
assignment to the Trust by all necessary action; and the execution, delivery and
performance

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<PAGE>

of the Basic Documents to which it is a party have been duly authorized by the
Depositor by all necessary action.

     (d) Valid Sale, Binding Obligations. This Agreement effects a valid sale,
transfer and assignment of the Receivables and the Other Conveyed Property,
enforceable against the Depositor and creditors of and purchasers from the
Depositor; and the Basic Documents to which the Depositor is a party, when duly
executed and delivered, will constitute legal, valid and binding obligations of
the Depositor enforceable in accordance with their respective terms, except as
enforceability may be limited by bankruptcy, insolvency, reorganization or other
similar laws affecting the enforcement of creditors' rights generally and by
equitable limitations on the availability of specific remedies, regardless of
whether such enforceability is considered in a proceeding in equity or at law.

     (e) No Violation. The consummation of the transactions contemplated by the
Basic Documents and the fulfillment of the terms of the Basic Documents to which
the Depositor is a party will not conflict with, result in any breach of any of
the terms and provisions of or constitute (with or without notice, lapse of time
or both) a default under the limited liability company agreement or operating
agreement of the Depositor, or any material indenture, agreement, mortgage, deed
of trust or other instrument to which the Depositor is a party or by which it is
bound, or result in the creation or imposition of any Lien upon any of its
properties pursuant to the terms of any such indenture, agreement, mortgage,
deed of trust or other instrument, other than the Basic Documents, or violate
any law, order, rule or regulation applicable to the Depositor of any court or
of any federal or state regulatory body, administrative agency or other
governmental instrumentality having jurisdiction over the Depositor or any of
its properties.

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

     (g) True Sale. The Receivables are being transferred with the intention of
removing them from the Depositor's estate pursuant to Section 541 of the
Bankruptcy Code, as the same may be amended from time to time.

     SECTION 7.2. Organizational Existence. During the term of this Agreement,
the Depositor will keep in full force and effect its existence, rights and
franchises as a limited liability company under the laws of Delaware and will
obtain and preserve its qualification to do business in each jurisdiction in
which such qualification is or will be necessary to protect the validity and
enforceability of the Basic Documents and each other instrument or agreement
necessary or appropriate to the proper administration of this Agreement and the
transactions contemplated hereby.

     SECTION 7.3. Liability of Depositor. The Depositor will be liable in
accordance herewith only to the extent of the obligations specifically
undertaken by the Depositor under this Agreement.

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     SECTION 7.4. Merger or Consolidation of, or Assumption of the Obligations
of, Depositor. Any Person (a) into which the Depositor may be merged or
consolidated, (b) which may result from any merger or consolidation to which the
Depositor will be a party or (c) which may succeed to the properties and assets
of the Depositor substantially as a whole, which Person in any of the foregoing
cases executes an agreement of assumption to perform every obligation of the
Depositor under this Agreement, will be the successor to the Depositor hereunder
without the execution or filing of any document or any further act by any of the
parties to this Agreement; provided, however, that the Depositor will have
delivered to the Owner Trustee, the Backup Servicer, the Indenture Trustee [and
the Insurer] an Opinion of Counsel stating that, in the opinion of such counsel,
either (A) all financing statements and continuation statements and amendments
thereto have been executed and filed that are necessary fully to preserve and
protect the interest of the Issuer and the Indenture Trustee, respectively, in
the Receivables and the Other Conveyed Property and reciting the details of such
filings or (B) no such action will be necessary to preserve and protect such
interest.

     SECTION 7.5. Limitation on Liability of Depositor and Others. The Depositor
and any director or manager or officer or employee or agent of the Depositor may
rely in good faith on the advice of counsel or on any document of any kind,
prima facie properly executed and submitted by any Person respecting any matters
arising under any Basic Document. The Depositor will not be under any obligation
to appear in, prosecute or defend any legal action that will not be incidental
to its obligations under this Agreement, and that in its opinion may involve it
in any expense or liability.

     SECTION 7.6. Ownership of the Certificates or Notes. The Depositor may in
its individual or any other capacity become the owner or pledgee of Certificates
or Notes with the same rights as it would have if it were not the Depositor,
except as expressly provided herein or in any Basic Document. Notes or
Certificates so owned by the Depositor will have an equal and proportionate
benefit under the provisions of the Basic Documents, without preference,
priority, or distinction as among all of the Notes or Certificates.

                                  ARTICLE VIII

                                  The Servicer

     SECTION 8.1. Representations of Servicer. The Servicer makes the following
representations [on which the Insurer is deemed to have relied in executing and
delivering the Note Policy] and on which the Issuer is deemed to have relied in
acquiring the Receivables and on which the Indenture Trustee and the Backup
Servicer may rely. The representations are true and correct as of the execution
and delivery of this Agreement and as of the Closing Date, in the case of the
Receivables, and will survive the sale of the Receivables to the Issuer and the
pledge thereof to the Indenture Trustee pursuant to the Indenture.

          (i) Representations and Warranties. The representations and warranties
     set forth on the Schedule of Representations attached hereto as Schedule B
     are true and correct;

          (ii) Organization and Good Standing. The Servicer has been duly
     organized and is validly existing and in good standing under the laws of
     California, with corporate power, authority and legal right to own its
     properties and to conduct its business as such properties are currently
     owned and such business is currently conducted, and had at all relevant
     times,

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     and now has, power, authority and legal right to enter into and perform its
     obligations under the Basic Documents to which it is a party;

          (iii) Due Qualification. The Servicer is duly qualified to do business
     as a foreign corporation in good standing and has obtained all necessary
     licenses and approvals, in all jurisdictions in which the ownership or
     lease of property or the conduct of its business of servicing the
     Receivables as required by this Agreement requires or will require such
     qualification;

          (iv) Power and Authority. The Servicer has the corporate power and
     authority to execute and deliver the Basic Documents to which it is a party
     and to carry out their respective terms, and the execution, delivery and
     performance of the Basic Documents to which it is a party have been duly
     authorized by the Servicer by all necessary corporate action;

          (v) Binding Obligation. The Basic Documents to which the Servicer is a
     party constitute legal, valid and binding obligations of the Servicer
     enforceable in accordance with their respective terms, except as
     enforceability may be limited by bankruptcy, insolvency, reorganization, or
     other similar laws affecting the enforcement of creditors' rights generally
     and by equitable limitations on the availability of specific remedies,
     regardless of whether such enforceability is considered in a proceeding in
     equity or at law;

          (vi) No Violation. The consummation of the transactions contemplated
     by the Basic Documents, and the fulfillment of the terms of the Basic
     Documents, will 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 Servicer,
     or any indenture, agreement, mortgage, deed of trust or other instrument to
     which the Servicer is a party or by which it is bound, or result in the
     creation or imposition of any Lien upon any of its properties pursuant to
     the terms of any such indenture, agreement, mortgage, deed of trust or
     other instrument, other than the Basic Documents, or violate any law,
     order, rule or regulation applicable to the Servicer of any court or of any
     federal or state regulatory body, administrative agency or other
     governmental instrumentality having jurisdiction over the Servicer or any
     of its properties;

          (vii) No Proceedings. There are no proceedings or investigations
     pending or, to the Servicer's best knowledge, threatened against the
     Servicer, before any court, regulatory body, administrative agency or other
     tribunal or governmental instrumentality having jurisdiction over the
     Servicer or its properties (A) asserting the invalidity of any of the Basic
     Documents, (B) seeking to prevent the issuance of the Securities or the
     consummation of any of the transactions contemplated by any of the Basic
     Documents, or (C) seeking any determination or ruling that might materially
     and adversely affect the performance by the Servicer of its obligations
     under, or the validity or enforceability of, any of the Basic Documents or
     (D) seeking to adversely affect the federal income tax or other federal,
     state or local tax attributes of the Securities;

          (viii) No Consents. The Servicer is not required to obtain the consent
     of any other party or any consent, license, approval or authorization, or
     registration or declaration with, any governmental authority, bureau or
     agency in connection with the execution, delivery,

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     performance, validity or enforceability of this Agreement which has not
     already been obtained.

     SECTION 8.2. Liability of Servicer; Indemnities.

     (a) The Servicer (in its capacity as such) will be liable hereunder only to
the extent of the obligations in this Agreement specifically undertaken by the
Servicer and the representations made by the Servicer.

     (b) The Servicer will defend, indemnify and hold harmless the Trust, the
Depositor, the Indenture Trustee, the Owner Trustee, the Backup Servicer, [the
Insurer,] their respective officers, directors, agents and employees, the
Certificateholders and the Noteholders from and against any and all costs,
expenses, losses, damages, claims and liabilities, including reasonable fees and
expenses of counsel and expenses of litigation (i) arising out of or resulting
from the use, ownership or operation by the Servicer or any Affiliate thereof of
any Financed Vehicle or (ii) to the extent that such cost, expense, loss, claim,
damage, or liability arose out of, or was imposed upon the Trust, the Indenture
Trustee, the Depositor, the Owner Trustee, the Backup Servicer, [the Insurer,]
the Certificateholders or the Noteholders by reason of the breach of this
Agreement by the Servicer, the negligence (other than errors in judgment),
misfeasance, or bad faith of the Servicer in the performance of its duties under
this Agreement or by reason of reckless disregard of its obligations and duties
under this Agreement.

     (c) Indemnification under this Section 8.2 will include, without
limitation, reasonable fees and expenses of counsel and expenses of litigation.
If the Servicer has made any indemnity payments pursuant to this Section 8.2 and
the recipient thereafter collects any of such amounts from others, the recipient
will promptly repay such amounts collected to the Servicer, without interest.

     (d) The Servicer will pay, reimburse and indemnify the Indenture Trustee
and the Backup Servicer in accordance with Section 6.7 of the Indenture.

     SECTION 8.3. Merger or Consolidation of, or Assumption of the Obligations
of the Servicer or Backup Servicer.

     (a) The Servicer will not merge or consolidate with any other person,
convey, transfer or lease substantially all its assets as an entirety to another
Person, or permit any other Person to become the successor to the Servicer's
business unless, after the merger, consolidation, conveyance, transfer, lease or
succession, the successor or surviving entity will be capable of fulfilling the
duties of the Servicer contained in this Agreement [and, subject to Section 4.6
of the Insurance Agreement,] will be acceptable to the Controlling Party, [and,
if an Insurer Default has occurred or is continuing,] will be an Eligible
Servicer. Any corporation (i) into which the Servicer may be merged or
consolidated, (ii) resulting from any merger or consolidation to which the
Servicer will be a party, (iii) which acquires by conveyance, transfer, or lease
substantially all of the assets of the Servicer, or (iv) succeeding to the
business of the Servicer, in any of the foregoing cases will execute an
agreement of assumption to perform every obligation of the Servicer under this
Agreement and, whether or not such assumption agreement is executed, will be the
successor to the Servicer under this Agreement without the execution or filing
of any paper or any further act on the part of any of the parties to this
Agreement, anything in this Agreement to the contrary notwithstanding; provided,
however, that nothing contained herein will be deemed to release the Servicer
from any obligation. The Servicer will provide notice of any merger,
consolidation or succession pursuant to this Section

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<PAGE>

8.3 to the Owner Trustee, the Depositor, the Indenture Trustee, the Noteholders,
[the Insurer] and each Rating Agency. Notwithstanding the foregoing, the
Servicer will not merge or consolidate with any other Person or permit any other
Person to become a successor to the Servicer's business, unless (x) immediately
after giving effect to such transaction, no representation or warranty made
pursuant to Section 4.6 will have been breached (for purposes hereof, such
representations and warranties will be true and correct as of the date of the
consummation of such transaction) and no Servicer Termination Event has occurred
and is continuing other than in connection with a change in control as provided
in the Insurance Agreement, (y) the Servicer will have delivered to the Owner
Trustee, the Indenture Trustee, Backup Servicer, the Rating Agencies [and the
Insurer] an Officer's Certificate and an Opinion of Counsel each stating that
such consolidation, merger or succession and such agreement of assumption comply
with this Section 8.3 and that all conditions precedent, if any, provided for in
this Agreement relating to such transaction have been complied with, and (z) the
Servicer will have delivered to the Owner Trustee, the Indenture Trustee, the
Rating Agencies [and the Insurer] an Opinion of Counsel, stating in the opinion
of such counsel, either (A) all financing statements and continuation statements
and amendments thereto have been executed and filed that are necessary to
preserve and protect the interest of the Trust in the Receivables and the Other
Conveyed Property and reciting the details of the filings or (B) no such action
will be necessary to preserve and protect such interest.

     (b) Any corporation (i) into which the Backup Servicer may be merged or
consolidated, (ii) resulting from any merger or consolidation to which the
Backup Servicer will be a party, (iii) which acquires by conveyance, transfer or
lease substantially all of the assets of the Backup Servicer, or (iv) succeeding
to the business of the Backup Servicer, in any of the foregoing cases will
execute an agreement of assumption to perform every obligation of the Backup
Servicer under this Agreement and, whether or not such assumption agreement is
executed, will be the successor to the Backup Servicer under this Agreement
without the execution or filing of any paper or any further act on the part of
any of the parties to this Agreement, anything in this Agreement to the contrary
notwithstanding; provided, however, that nothing contained herein will be deemed
to release the Backup Servicer from any obligation.

     SECTION 8.4. Limitation on Liability of Servicer, Backup Servicer and
Others.

     (a) Neither the Servicer, the Backup Servicer nor any of the directors or
officers or employees or agents of the Servicer or Backup Servicer will be
liable to the Trust or the Noteholders, except as provided in this Agreement,
for any action taken or for refraining from the taking of any action pursuant to
this Agreement; provided, however, that this provision will not protect the
Servicer, the Backup Servicer or any such person against any liability that
would otherwise be imposed by reason of a breach of this Agreement or willful
misfeasance, bad faith or negligence (excluding errors in judgment) in the
performance of duties; provided further that this provision will not affect any
liability of Triad to indemnify the Indenture Trustee and the Owner Trustee for
costs, taxes, expenses, claims, liabilities, losses or damages paid by the
Indenture Trustee and the Owner Trustee, in their individual capacities pursuant
to the Purchase Agreement. The Servicer, the Backup Servicer and any director,
officer, employee or agent of the Servicer or Backup Servicer may rely in good
faith on the written advice of counsel or on any document of any kind prima
facie properly executed and submitted by any Person respecting any matters
arising under this Agreement.

     (b) The Backup Servicer will not be liable for any obligation of the
Servicer contained in this Agreement or for any errors of the Servicer contained
in any computer file, certificate or other data or document delivered to the
Backup Servicer hereunder or on which the Backup Servicer must

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<PAGE>

rely in order to perform its obligations hereunder, and the Owner Trustee, the
Indenture Trustee, the Backup Servicer, the Depositor [and the Insurer] and the
Noteholders will look only to the Servicer to perform such obligations. The
Backup Servicer, the Indenture Trustee, the Owner Trustee and the Custodian will
have no responsibility and will not be in default hereunder or incur any
liability for any failure, error, malfunction or any delay in carrying out any
of their respective duties under this Agreement if such failure or delay results
from the Backup Servicer acting in accordance with information prepared or
supplied by a Person other than the Backup Servicer (or contractual agents of
the Backup Servicer) or the failure of any such other Person to prepare or
provide such information. The Backup Servicer will have no responsibility, will
not be in default and will incur no liability for (i) any act or failure to act
of any third party (other than its contractual agents), including the Servicer
or the Controlling Party, (ii) any inaccuracy or omission in a notice or
communication received by the Backup Servicer from any third party (other than
its contractual agents), (iii) the invalidity or unenforceability of any
Receivable under applicable law, (iv) the breach or inaccuracy of any
representation or warranty made with respect to any Receivable, or (v) the acts
or omissions of any successor Backup Servicer. The provisions of this Section
8.4(b) will not limit the Backup Servicer's obligations pursuant to Section
4.14.

     (c) The parties expressly acknowledge and consent to [Indenture Trustee]
acting in the possible dual capacity of Backup Servicer or successor Servicer
and in the capacity as Indenture Trustee. [Indenture Trustee] may, in such dual
or other capacity, discharge its separate functions fully, without hindrance or
regard to conflict of interest principles, duty of loyalty principles or other
breach of fiduciary duties to the extent that any such conflict or breach arises
from the performance by [Indenture Trustee] of express duties set forth in the
this Agreement in any of such capacities, all of which defenses, claims or
assertions are hereby expressly waived by the other parties hereto and the
Noteholders except in the case of gross negligence and willful misconduct by
[Indenture Trustee].

     SECTION 8.5. Delegation of Duties. The Servicer may delegate duties under
this Agreement to an Affiliate of Triad [with the prior written consent of the
Insurer (unless an Insurer Default has occurred and is continuing)]. The
Servicer also may at any time perform through sub-contractors the specific
duties of (i) repossession of Financed Vehicles, (ii) tracking Financed
Vehicles' Lien Certificates and (iii) pursuing the collection of deficiency
balances or other amounts due on certain Liquidated Receivables, in each case,
without the consent of [the Insurer] and may perform other specific collection
and repossession duties through such sub-contractors in accordance with
Servicer's customary servicing policies and procedures; provided, however, that
no such delegation or sub-contracting of duties by the Servicer will relieve the
Servicer of its responsibility with respect to such duties. [So long as no
Insurer Default has occurred and is continuing neither Triad nor any party
acting as Servicer hereunder will appoint any subservicer hereunder without the
prior written consent of the Insurer.]

     SECTION 8.6. Servicer and Backup Servicer Not to Resign. Subject to Section
8.3, neither the Servicer nor the Backup Servicer may resign from the
obligations and duties imposed on it by this Agreement as Servicer or Backup
Servicer except upon a determination that by reason of a change in legal
requirements the performance of its duties under this Agreement would cause it
to be in violation of such legal requirements in a manner which would have a
material adverse effect on the Servicer or the Backup Servicer, as the case may
be, [and the Insurer (so long as an Insurer Default has not occurred) or] the
Majority Noteholders [(if an Insurer Default has occurred and is continuing)]
does not elect to waive the obligations of the Servicer or the Backup Servicer,
as the case may be, to perform the duties which render it legally unable to act
or to delegate those duties to another Person. Any such determination permitting
the resignation of the Servicer or Backup

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<PAGE>

Servicer will be evidenced by an Opinion of Counsel to such effect delivered at
other than the Indenture Trustee's expense, and acceptable to the Indenture
Trustee, the Owner Trustee [and the Insurer (unless an Insurer Default has
occurred and is continuing)]. No resignation of the Servicer will become
effective until, [so long as no Insurer Default has occurred and is continuing,]
the Backup Servicer [or an entity acceptable to the Insurer] has assumed the
responsibilities and obligations of the Servicer or, [if an Insurer Default has
occurred and is continuing,] the Backup Servicer or a successor Servicer that is
an Eligible Servicer has assumed the responsibilities and obligations of the
Servicer. No resignation of the Backup Servicer will become effective until, [so
long as no Insurer Default has occurred and is continuing, an entity acceptable
to the Insurer has assumed the responsibilities and obligations of the Backup
Servicer or, if an Insurer Default has occurred and is continuing,] a Person
that is an Eligible Servicer has assumed the responsibilities and obligations of
the Backup Servicer; provided, however, that (i) in the event a successor Backup
Servicer is not appointed within 60 days after the Backup Servicer has given
notice of its resignation and has provided the Opinion of Counsel required by
this Section 8.6, the Backup Servicer may petition a court for its removal, (ii)
the Backup Servicer may resign with the written consent of [the Insurer] and
(iii) notwithstanding anything to the contrary, if [Indenture Trustee] resigns
or is removed as the Indenture Trustee under the Indenture it will no longer be
the Backup Servicer.

                                   ARTICLE IX

                                     Default

     SECTION 9.1. Servicer Termination Event. For purposes of this Agreement,
each of the following will constitute a "Servicer Termination Event":

     (a) Any failure by the Servicer to deliver to the Indenture Trustee for
distribution to Noteholders any proceeds or payment required to be so delivered
under this Agreement that continues unremedied for a period of two Business Days
(one Business Day with respect to payment of Purchase Amounts) after written
notice is received by the Servicer from the Indenture Trustee [or (unless an
Insurer Default has occurred and is continuing) the Insurer] or after discovery
of such failure by a Responsible Officer of the Servicer;

     (b) Failure by the Servicer to deliver the Servicer's Certificate by the
Determination Date;

     (c) Failure on the part of the Servicer duly to observe or perform any
other covenants or agreements of the Servicer set forth in this Agreement or, if
the Servicer is Triad, failure of Triad duly to perform any other covenants or
agreements of Triad set forth in the Purchase Agreement which failure (i)
materially and adversely affects the rights of Noteholders (determined without
regard to the availability of funds under the Note Policy), [or of the Insurer
(unless an Insurer Default has occurred and is continuing),] and (ii) continues
unremedied for a period of 30 days after the date on which written notice of
such failure, requiring the same to be remedied, has been given to the Servicer
by the Indenture Trustee, the Issuer [or the Insurer (or, if an Insurer Default
has occurred and is continuing, by any Noteholder)];

     (d) An Insolvency Event has occurred with respect to the Servicer;

     (e) Any representation, warranty or statement of the Servicer made in this
Agreement or any certificate, report or other writing delivered pursuant hereto
will prove to be incorrect in any

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<PAGE>

material respect as of the time when the same will have been made, and the
incorrectness of such representation, warranty or statement has a material
adverse effect on the Trust, [the Insurer] or the Noteholders' interests and,
within 30 days after knowledge thereof by the Servicer or after written notice
thereof will have been given to the Servicer by the Indenture Trustee [or the
Insurer (or, if an Insurer Default has occurred and is continuing, a
Noteholder)], the circumstances or conditions in respect of which such
representation, warranty or statement was incorrect will not have been
eliminated or otherwise cured;

     (f) [So long as no Insurer Default has occurred and is continuing, an
Insurance Agreement Event of Default occurs;

     (g) A claim is made under the Note Policy; or

     (h) The occurrence of a Trigger Event under the Insurance Agreement.]

     SECTION 9.2. Consequences of a Servicer Termination Event. If a Servicer
Termination Event has occurred and is continuing, [the Insurer may (or, if an
Insurer Default has occurred and is continuing,] the Indenture Trustee (to the
extent it has knowledge thereof) may, and will at the direction of the Majority
Noteholders), by notice given in writing to the Servicer [(and to the Indenture
Trustee if given by the Insurer)] terminate all of the rights and obligations of
the Servicer under this Agreement[; provided that if no Insurer Default has
occurred and is continuing, neither the Indenture Trustee nor the Majority
Noteholders may deliver such notice, and termination will be in the Insurer's
sole and absolute discretion]. On or after the receipt by the Servicer of such
written notice all authority, power, obligations and responsibilities of the
Servicer under this Agreement, whether with respect to the Notes, the
Certificates or the Other Conveyed Property or otherwise, automatically will
pass to, be vested in and become obligations and responsibilities of the Backup
Servicer (or such other successor Servicer appointed by the Controlling Party);
provided, however, that the successor Servicer will have no liability with
respect to any obligation which was required to be performed by the terminated
Servicer prior to the date that the successor Servicer becomes the Servicer or
any claim of a third party based on any alleged action or inaction of the
terminated Servicer. The successor Servicer is authorized and empowered by this
Agreement to execute and deliver, on behalf of the terminated 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 Receivables and the Other Conveyed Property and related
documents to show the Trust as lienholder or secured party on the related Lien
Certificates, or otherwise. The terminated Servicer agrees to cooperate with the
Controlling Party and the successor Servicer in effecting the termination of the
responsibilities and rights of the terminated Servicer under this Agreement,
including the transfer to the successor Servicer for administration by it of all
cash amounts that will at the time be held by the terminated Servicer for
deposit, or have been deposited by the terminated Servicer, in the Collection
Account or thereafter received with respect to the Receivables and the delivery
to the successor Servicer of all Receivable Files, Monthly Records and
Collection Records and a computer tape in readable form as of the most recent
Business Day containing all information necessary to enable the successor
Servicer to service the Receivables and the Other Conveyed Property. If
requested by the Controlling Party, the successor Servicer will terminate the
Blocked Account Agreement and direct the Obligors to make all payments under the
Receivables directly to the successor Servicer (in which event the successor
Servicer will process such payments in accordance with Section 4.2(e)), or to a
lockbox established by the successor Servicer at the direction of the
Controlling Party, at the successor Servicer's expense. The terminated Servicer
will grant the

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Indenture Trustee, the successor Servicer and the Controlling Party reasonable
access to the terminated Servicer's premises at the terminated Servicer's
expense.

     SECTION 9.3. Appointment of Successor.

     (a) On and after the time the Servicer receives a notice of termination
pursuant to Section 9.2, or upon the resignation of the Servicer pursuant to
Section 8.6, the Backup Servicer (unless the Controlling Party will have
exercised its option pursuant to Section 9.3(b) to appoint an alternate
successor Servicer) will be the successor in all respects to the Servicer in its
capacity as servicer under this Agreement and the transactions set forth or
provided for in this Agreement, and will be subject to all the rights,
responsibilities, restrictions, duties, liabilities and termination provisions
relating thereto placed on the Servicer by the terms and provisions of this
Agreement except as otherwise stated herein. The Indenture Trustee and such
successor will take such action, consistent with this Agreement, as will be
necessary to effectuate any such succession. If a successor Servicer is acting
as Servicer hereunder, it will be subject to termination under Section 9.2 upon
the occurrence of any Servicer Termination Event applicable to it as Servicer.

     (b) The Controlling Party may exercise at any time its right to appoint as
Backup Servicer or as successor to the Servicer a Person other than the Person
serving as Backup Servicer at the time, and (without limiting its obligations
under the Note Policy) will have no liability to the Indenture Trustee, Triad,
the Depositor, the Person then serving as Backup Servicer, any Noteholders or
any other Person if it does so. Notwithstanding the above, if the Backup
Servicer will be legally unable or unwilling to act as Servicer, and an Insurer
Default has occurred and is continuing, the Backup Servicer, the Indenture
Trustee or the Majority Noteholders may petition a court of competent
jurisdiction to appoint any Eligible Servicer as the successor to the Servicer.
Pending appointment pursuant to the preceding sentence, the Backup Servicer,
subject to Section 8.6(iii), will act as successor Servicer unless it is legally
unable to do so, in which event the outgoing Servicer will continue to act as
Servicer until a successor has been appointed and accepted such appointment.
Subject to Section 8.6, no provision of this Agreement will be construed as
relieving the Backup Servicer of its obligation to succeed as successor Servicer
upon the termination of the Servicer pursuant to Section 9.2 or the resignation
of the Servicer pursuant to Section 8.6. If upon the termination of the Servicer
pursuant to Section 9.2 or the resignation of the Servicer pursuant to Section
8.6, the Controlling Party appoints a successor Servicer other than the Backup
Servicer, the Backup Servicer will not be relieved of its duties as Backup
Servicer hereunder.

     (c) Any successor Servicer will be entitled to such compensation (whether
payable out of the Collection Account or otherwise) as the Servicer would have
been entitled to under this Agreement if the Servicer had not resigned or been
terminated hereunder. [The Insurer, if the Class A Notes are outstanding and no
Insurer Default has occurred and is continuing,] and such successor Servicer may
agree on additional compensation to be paid to such successor Servicer, which
additional compensation will be payable as provided herein and will in no event
exceed $150,000 in the aggregate and which will be deemed to be part of the
"Servicing Fee" described in Section 4.8. The Backup Servicer will not be liable
for any Servicing Fee, additional compensation or other amounts to be paid to
such successor Servicer in connection with its assumption and performance of the
servicing duties described herein.

     SECTION 9.4. Notification to Noteholders. Upon any termination of, or
appointment of a successor to, the Servicer, the Indenture Trustee will give
prompt written notice thereof to each Noteholder and to the Rating Agencies.

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     SECTION 9.5. Waiver of Past Defaults. [So long as no Insurer Default has
occurred and is continuing, the Insurer (or, if an Insurer Default has occurred
and is continuing,] the Majority Noteholders) may, on behalf of all Noteholders,
waive any default by the Servicer in the performance of its obligations
hereunder and its consequences. Upon any such waiver of a past default, such
default will cease to exist, and any Servicer Termination Event arising
therefrom will be deemed to have been remedied for every purpose of this
Agreement. No such waiver will extend to any subsequent or other default or
impair any right consequent thereto.

                                   ARTICLE X

                                   Termination

     SECTION 10.1. Optional Purchase of All Receivables.

     (a) On any Distribution Date after the last day of any Collection Period as
of which the Pool Balance will be less than or equal to 10% of the Original Pool
Balance, the Servicer will have the option to purchase the Owner Trust Estate,
other than the Trust Accounts [(with the consent of the Insurer if such purchase
would result in a claim on the Note Policy or would result in any amount owing
to the Insurer under the Insurance Agreement remaining unpaid)]; provided,
however, that the amount to be paid for such purchase (as set forth in the
following sentence) will be sufficient to pay the full amount of principal,
premium, if any, and interest due and payable on the Notes on such Distribution
Date. To exercise such option, the Servicer will deposit at least two Business
Days prior to such Distribution Date pursuant to Section 5.6 in the Collection
Account an amount equal to the aggregate Purchase Amount for the Receivables
(other than Receivables that became Liquidated Receivables on or before the last
day of the Collection Period preceding such Distribution Date), plus the
appraised value of any other property held by the Trust (other than the Trust
Accounts), such value to be determined by an appraiser mutually agreed upon by
the Servicer, [the Insurer] and the Indenture Trustee, and will succeed to all
interests in and to the Trust.

     (b) Upon any sale of the assets of the Trust pursuant to Section 8.1 of the
Trust Agreement, the Servicer will instruct the Indenture Trustee to deposit the
proceeds from such sale after all payments and reserves therefrom (including the
expenses of such sale) have been made (the "Insolvency Proceeds") in the
Collection Account.

     (c) Notice of any termination of the Trust will be given by the Servicer to
the Owner Trustee, the Indenture Trustee, the Backup Servicer, [the Insurer] and
the Rating Agencies as soon as practicable after the 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 Trust will succeed to the rights of, and assume the obligations of, the
Indenture Trustee pursuant to this Agreement.

                                   ARTICLE XI

                      Administrative Duties of the Servicer

     SECTION 11.1. Administrative Duties.

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     (a) Duties with Respect to the Basic Documents. The Servicer will perform
all its duties and the duties of the Issuer under the Basic Documents. In
addition, the Servicer will consult with the Owner Trustee as the Servicer deems
appropriate regarding the duties of the Issuer under the Basic Documents. The
Servicer will monitor the performance of the Issuer and will advise the Owner
Trustee when action is necessary to comply with the Issuer's duties under the
Basic Documents. The Servicer will prepare for execution by the Issuer or will
cause the preparation by other appropriate Persons of all such documents,
reports, filings, instruments, certificates and opinions as it will be the duty
of the Issuer to prepare, file or deliver pursuant to the Basic Documents. In
furtherance of the foregoing, the Servicer will take all necessary action that
is the duty of the Issuer to take pursuant to the Indenture, including pursuant
to Sections 2.7, 3.5, 3.6, 3.7, 3.9, 3.10, 3.17, 4.1, 5.4, 7.3, 8.3, 9.2, 9.3,
11.1 and 11.15 of the Indenture.

     (b) Duties with Respect to the Issuer.

          (i) In addition to the duties of the Servicer set forth in the Basic
     Documents, the Servicer will perform such calculations and will prepare for
     execution by the Issuer or the Owner Trustee or will cause the preparation
     by other appropriate Persons of all such documents, reports, filings,
     instruments, certificates and opinions as it will be the duty of the Issuer
     or the Owner Trustee to prepare, file or deliver pursuant to any of the
     Basic Documents or under state and federal tax and securities laws, and at
     the request of the Owner Trustee will take all appropriate action that it
     is the duty of the Issuer to take pursuant to any of the Basic Documents.
     In accordance with the directions of the Issuer or the Owner Trustee, the
     Servicer will administer, perform or supervise the performance of such
     other activities in connection with the Collateral (including the Basic
     Documents) as are not covered by any of the foregoing provisions and as are
     expressly requested by the Issuer or the Owner Trustee and are reasonably
     within the capability of the Servicer.

          (ii) Notwithstanding anything in any of the Basic Documents to the
     contrary, the Servicer will be responsible for promptly notifying the Owner
     Trustee and the Indenture Trustee in the event that any withholding tax is
     imposed on the Issuer's payments (or allocations of income) to an Owner (as
     defined in the Trust Agreement) as contemplated in this Agreement. Any such
     notice will be in writing and specify the amount of any withholding tax
     required to be withheld by the Owner Trustee or the Indenture Trustee
     pursuant to such provision.

          (iii) Notwithstanding anything in the Basic Documents to the contrary,
     the Servicer will be responsible for performance of any duties of the
     Issuer set forth in any amended Trust Agreement (as contemplated by Section
     2.12 of the Trust Agreement) with respect to, among other things,
     accounting and reports to Certificateholders (as defined in the Trust
     Agreement); provided, however, that once prepared by the Servicer the Owner
     Trustee will retain responsibility for the distribution of the Schedule
     K-1s upon request of the Certificateholder in order to enable the
     Certificateholder to prepare its federal and state income tax returns.

          (iv) The Servicer will perform the duties of the Servicer specified in
     Section 9.2 of the Trust Agreement required to be performed in connection
     with the resignation or removal of the Owner Trustee, and any other duties
     expressly required to be performed by the Servicer under any of the Basic
     Documents.

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          (v) In carrying out the foregoing duties or any of its other
     obligations under this Agreement, the Servicer may enter into transactions
     with or otherwise deal with any of its Affiliates; provided, however, that
     the terms of any such transactions or dealings will be in accordance with
     any directions received from the Issuer and will be, in the Servicer's
     opinion, no less favorable to the Issuer in any material respect.

     (c) Tax Matters. The Servicer will prepare and file, on behalf of the
Trust, all tax returns, tax elections, financial statements and such annual or
other reports attributable to the activities engaged in by the Issuer as are
necessary for preparation of tax reports, including forms 1099. All tax returns
will be signed by the Servicer unless applicable law requires a
Certificateholder to sign such documents.

     (d) Non-Ministerial Matters. With respect to matters that in the reasonable
judgment of the Servicer are non-ministerial, the Servicer will not take any
action pursuant to this Article XI unless within a reasonable time before the
taking of such action, the Servicer will have notified the Owner Trustee and the
Indenture Trustee of the proposed action and the Owner Trustee and, with respect
to items (A), (B), (C) and (D) below, the Indenture Trustee [and, so long as no
Insurer Default has occurred and is continuing, the Insurer] will not have
withheld consent or provided an alternative direction. For the purpose of the
preceding sentence, "non-ministerial matters" include:

               (A) the amendment of or any supplement to the Indenture;

               (B) the initiation of any claim or lawsuit by the Issuer and the
          compromise of any action, claim or lawsuit brought by or against the
          Issuer (other than in connection with the collection of the
          Receivables);

               (C) the amendment, change or modification of any of the Basic
          Documents;

               (D) the appointment of successor Note Registrars, successor
          Paying Agents and successor Indenture Trustees pursuant to the
          Indenture or the appointment of Successor Servicers or the consent to
          the assignment by the Note Registrar, Paying Agent or Indenture
          Trustee of its obligations under the Indenture; and

               (E) the removal of the Indenture Trustee.

     (e) Exceptions. Except as expressly set forth herein, the Servicer, in its
capacity hereunder, will not be obligated to, and will not, (1) make any
payments to the Noteholders or Certificateholders under the Basic Documents, (2)
sell the Trust Estate pursuant to Section 5.5 of the Indenture, (3) take any
other action that the Issuer directs the Servicer not to take on its behalf or
(4) in connection with its duties hereunder assume any indemnification
obligation of any other Person.

     (f) The Backup Servicer or any successor Servicer will not be responsible
for any obligations or duties of the Servicer under this Section 11.1.

     SECTION 11.2. Records. The Servicer will maintain appropriate books of
account and records relating to services performed under this Agreement, which
books of account and records will be accessible for inspection by the Issuer at
any time during normal business hours upon reasonable prior notice.

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     SECTION 11.3. Additional Information to be Furnished to the Issuer. The
Servicer will furnish to the Issuer [and, so long as no Insurer Default has
occurred and is continuing, the Insurer,] from time to time such additional
information regarding the Collateral as the Issuer [and, so long as no Insurer
Default has occurred and is continuing, the Insurer,] will reasonably request.

                                  ARTICLE XII

                            Miscellaneous Provisions

     SECTION 12.1. Amendment.

     (a) This Agreement may be amended from time to time by the parties hereto,
with the consent of the Indenture Trustee (which consent may not be unreasonably
withheld) [and, with the prior written consent of the Insurer (which consent
will not be unreasonably withheld; provided that no Insurer Default has occurred
and is continuing)] but without the consent of any of the Noteholders, to cure
any ambiguity, to correct or supplement any provisions in this Agreement, to
comply with any changes in the Code, or to make any other provisions with
respect to matters or questions arising under this Agreement which will not be
inconsistent with the provisions of this Agreement or the Insurance Agreement;
provided, however, that such action will not, as evidenced by an Opinion of
Counsel delivered to Owner Trustee and the Indenture Trustee, adversely affect
in any material respect the interests of any Noteholder[; provided further that
if an Insurer Default has occurred and is continuing, such action will not
materially adversely affect the interests of the Insurer].

     (b) This Agreement may also be amended from time to time by the parties
hereto, with the consent [of the Insurer, the consent] of the Indenture Trustee,
and the consent of the Noteholders evidencing not less than a majority of the
outstanding principal amount of the Notes 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;
provided, however, that no such amendment will (a) increase or reduce in any
manner the amount of, or accelerate or delay the timing of, collections of
payments on Receivables or distributions that will be required to be made for
the benefit of the Noteholders or (b) reduce the aforesaid percentage of the
outstanding principal amount of the Notes, the Noteholders of which are required
to consent to any such amendment, without the consent of the Noteholders of all
the outstanding Notes of each class affected thereby; [provided, further, that
if an Insurer Default has occurred and is continuing, such action will not
materially adversely affect the interest of the Insurer].

     (c) The party requesting such amendment will furnish written notification
of the substance of such amendment or consent to the Rating Agencies before the
execution thereof and the Indenture Trustee will furnish written notification of
the substance of such amendment or consent to each Noteholder promptly after the
execution thereof.

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

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<PAGE>

     (e) Prior to the execution of any amendment to this Agreement, the Owner
Trustee, the Indenture Trustee, [the Insurer] and Backup Servicer will be
entitled to receive and conclusively rely upon an Opinion of Counsel stating
that the execution of such amendment is authorized or permitted by this
Agreement and the Opinion of Counsel referred to in Section 12.2(h) has been
delivered. The Owner Trustee, the Backup Servicer and the Indenture Trustee may,
but will not be obligated to, enter into any such amendment which affects the
Issuer's, the Owner Trustee's, the Backup Servicer's or the Indenture Trustee's,
as applicable, own rights, duties or immunities under this Agreement or
otherwise.

     SECTION 12.2. Protection of Title to Trust.

     (a) Triad will cause to be executed and filed such financing statements and
continuation statements, all in such manner and in such places as may be
required by law fully to preserve, maintain and protect the interest of the
Issuer and the interests of the Indenture Trustee in the Receivables, the Other
Conveyed Property and in the proceeds thereof. Triad will deliver (or cause to
be delivered) to [the Insurer,] 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 the Depositor nor the Servicer will change its name, identity,
corporate structure or jurisdiction of formation or take any action that would,
could or might make any financing statement or continuation statement filed in
accordance with Section 12.2(a) ineffective to continue the first priority
perfected security interest in that portion of the Trust Property in which a
security interest may be perfected by filing under the applicable Uniform
Commercial Code. If any refiling is required, the Depositor or Servicer, as the
case may be, will promptly give notice and file new financing statements or
amendments thereto or continuation statements thereof. Promptly upon such
filing, the Depositor or the Servicer, as the case may be, will deliver an
Opinion of Counsel in form and substance reasonably satisfactory to [the
Insurer], stating either (A) all financing statements and continuation
statements have been executed and filed that are necessary fully to preserve and
protect the interest of the Trust and the Indenture Trustee in the Receivables
and Other Conveyed Property, and reciting the details of such filings or
referring to prior Opinions of Counsel in which such details are given, or (B)
no such action will be necessary to preserve and protect such interest.

     (c) The Servicer will at all times maintain each office from which it will
service Receivables, and its principal executive office, within the United
States of America.

     (d) The Servicer will maintain accounts and records as to each Receivable
accurately and in sufficient detail to permit (i) the reader thereof to know at
any time the status of such Receivable, 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 Receivable and the amounts
from time to time deposited in the Collection Account in respect of such
Receivable.

     (e) The Servicer will maintain its computer systems so that, from and after
the time of sale under this Agreement of the Receivables to the Issuer, the
Servicer's master computer records (including any backup archives) that refer to
a Receivable will indicate clearly the interest of the Trust in such Receivable
and that such Receivable is owned by the Trust. Indication of the Trust's
interest in a Receivable will be deleted from or modified on the Servicer's
computer systems when, and only when, the related Receivable will have been paid
in full or repurchased.

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     (f) If at any time the Servicer proposes to sell, grant a security interest
in or otherwise transfer any interest in motor vehicle receivables to any
prospective purchaser, lender or other transferee, the Servicer will give to
such prospective purchaser, lender or other transferee computer tapes, records
or printouts (including any restored from backup archives) that, if they refer
in any manner whatsoever to any Receivable, indicate clearly that such
Receivable has been sold and is owned by the Trust unless such Receivable has
been paid in full or repurchased.

     (g) Upon request, the Servicer will furnish to [the Insurer,] the Owner
Trustee or to the Indenture Trustee, within five Business Days, a list of all
Receivables (by contract number and name of Obligor) then held as part of the
Trust, together with a reconciliation of such list to the Schedule of
Receivables and to each of the Servicer's Certificates furnished before such
request indicating removal of Receivables from the Trust.

     (h) The Servicer will deliver to [the Insurer,] the Owner Trustee and the
Indenture Trustee promptly after the execution and delivery of the Agreement
and, if required pursuant to Section 12.1, of each amendment, an Opinion of
Counsel stating that, in the opinion of such counsel, [in form and substance
reasonably satisfactory to the Insurer], either (A) all financing statements and
continuation statements have been executed and filed that are necessary fully to
preserve and protect the interest of the Trust and the Indenture Trustee in the
Receivables and the Other Conveyed Property, and reciting the details of such
filings or referring to prior Opinions of Counsel in which such details are
given, or (B) no such action will be necessary to preserve and protect such
interest. Each Opinion of Counsel referred to in this paragraph (h) will specify
any action necessary (as of the date of such opinion) to be taken in the
following year to preserve and protect such interest.

     SECTION 12.3. Notices. All demands, notices and communications hereunder
will be in writing and will be deemed to have been duly given to the addressee
if mailed, by first-class registered mail, postage prepaid service, confirmed
facsimile transmission, or a nationally recognized express courier, as follows:

          If to the Depositor:           Triad Financial Special Purpose LLC
                                         7711 Center Avenue, Suite 390
                                         Huntington Beach, California 92647
                                         Attention: Chief Financial Officer

          If to the Servicer:            Triad Financial Corporation
                                         7711 Center Avenue, Suite 100
                                         Huntington Beach, California 92647
                                         Attention: Chief Financial Officer

          If to the Issuer or
          Owner Trustee:                 [_________________]
                                         [_________________]
                                         [_________________]
                                         [_________________]

          If to the Indenture Trustee:   [_________________]
                                         [_________________]
                                         [_________________]
                                         [_________________]

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          [If to the Insurer:            [_________________]
                                         [_________________]
                                         [_________________]
                                         [_________________]

In each case in which notice or other communication to the Insurer refers to a
Servicer Termination Event, a claim on the Note Policy, or with respect to which
failure on the part of the Insurer to respond will be deemed to constitute
consent or acceptance, then a copy of such notice or other communication should
also be sent to the attention of General Counsel and will be marked to indicate
"URGENT MATERIAL ENCLOSED."]

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

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

          [If to Fitch:              Fitch Ratings
                                     One State Street Plaza
                                     New York, New York 10004.]

Any such demand, notice or communication hereunder will be deemed to have been
received on the date delivered to or received at the premises of the addressee
as evidenced by the date noted on the return receipt.

          Subject to Section 5.10(b) hereof, any notice required or permitted to
be mailed to a Noteholder will be given by first class mail, postage prepaid, at
the address of such Noteholder as shown in the Note Register. Any notice so
mailed within the time prescribed in the Agreement will be conclusively presumed
to have been duly given, whether or not the Noteholder receives such notice.

     SECTION 12.4. Assignment. This Agreement will inure to the benefit of and
be binding upon the parties hereto and their respective successors and permitted
assigns. Notwithstanding anything to the contrary contained herein, except as
provided in Sections 7.4 and 8.3 and as provided in the provisions of this
Agreement concerning the resignation of the Servicer, this Agreement may not be
assigned by the Depositor or the Servicer without the prior written consent of
the Trust, the Backup Servicer, the Indenture Trustee and [the Insurer (or if an
Insurer Default has occurred and is continuing] the Noteholders evidencing not
less than 66-2/3% of the principal amount of the outstanding Notes).

     SECTION 12.5. Limitations on Rights of Others. The provisions of this
Agreement are solely for the benefit of the parties hereto, the Indenture
Trustee, the Owner Trustee, the Certificateholders and the Noteholders, as
third-party beneficiaries. [The Insurer and its successors and assigns will be a
third-party beneficiary to the provisions of this Agreement, and will be
entitled to rely upon and directly enforce such provisions of this Agreement so
long as no Insurer Default has

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occurred and is continuing. Except as expressly stated otherwise herein, any
right of the Insurer to direct, appoint, consent to, approve of, or take any
action under this Agreement, will be a right exercised by the Insurer in its
sole and absolute discretion. The Insurer may disclaim any of its rights and
powers under this Agreement (but not its duties and obligations under the Note
Policy) upon delivery of a written notice to the Owner Trustee.] Except as
provided in this Agreement, no other Person will have any legal or equitable
right, remedy or claim in the Owner Trust Estate or under or in respect of this
Agreement or any covenants, conditions or provisions contained herein.

     SECTION 12.6. Severability. Any provision of this Agreement that is
prohibited or unenforceable in any jurisdiction will, as to such jurisdiction,
be ineffective to the extent of such prohibition or unenforceability without
invalidating the remaining provisions hereof, and any such prohibition or
unenforceability in any jurisdiction will not invalidate or render unenforceable
such provision in any other jurisdiction.

     SECTION 12.7. Separate Counterparts. This Agreement may be executed by the
parties hereto in separate counterparts, each of which when so executed and
delivered will be an original, but all such counterparts will together
constitute but one and the same instrument.

     SECTION 12.8. Headings. The headings of the various Articles and Sections
herein are for convenience of reference only and will not define or limit any of
the terms or provisions hereof.

     SECTION 12.9. Governing Law. THIS AGREEMENT WILL BE CONSTRUED IN ACCORDANCE
WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REFERENCE TO ITS CONFLICT OF LAW
PROVISIONS, AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER
WILL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS.

     SECTION 12.10. Assignment to Indenture Trustee. The Depositor 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 Receivables and the Other Conveyed Property
and/or the assignment of any or all of the Issuer's rights and obligations
hereunder to the Indenture Trustee.

     SECTION 12.11. Nonpetition Covenants.

     (a) Notwithstanding any termination of this Agreement, the Servicer, the
Backup Servicer, the Indenture Trustee and the Depositor will not, prior to the
date that is one year and one day after the termination of this Agreement,
acquiesce, petition or otherwise invoke or cause the Issuer to 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) Notwithstanding any termination of this Agreement, the Issuer, the
Servicer, the Backup Servicer and the Indenture Trustee will not, prior to the
date that is one year and one day after the termination of this Agreement with
respect to the Depositor, acquiesce to, petition or

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<PAGE>

otherwise invoke or cause the Depositor to invoke the process of any court or
government authority for the purpose of commencing or sustaining a case against
the Depositor under any federal or state bankruptcy, insolvency or similar law,
appointing a receiver, liquidator, assignee, trustee, custodian, sequestrator,
or other similar official of the Depositor or any substantial part of its
property, or ordering the winding up or liquidation of the affairs of the
Depositor.

     SECTION 12.12. Limitation of Liability of Owner Trustee and Indenture
Trustee.

     (a) Notwithstanding anything contained herein to the contrary, this
Agreement has been executed by [Owner Trustee] not in its individual capacity
but solely in its capacity as Owner Trustee of the Issuer and in no event will
[Owner Trustee] in its individual capacity or, except as expressly provided in
the Trust Agreement, as Owner Trustee have any liability for the
representations, warranties, covenants, agreements or other obligations of the
Issuer hereunder or in any of the certificates, notices or agreements delivered
pursuant hereto, as to all of which recourse will be had solely to the assets of
the Issuer. For all purposes of this Agreement, in the performance of its duties
or obligations hereunder or in the performance of any duties or obligations of
the Issuer hereunder, the Owner Trustee will be subject to, and entitled to the
benefits of, the terms and provisions of Articles V, VI and VII of the Trust
Agreement.

     (b) Notwithstanding anything contained herein to the contrary, this
Agreement has been executed and delivered by [Indenture Trustee], not in its
individual capacity but solely as Indenture Trustee and Backup Servicer and in
no event will [Indenture Trustee] have any liability for the representations,
warranties, covenants, agreements or other obligations of the Issuer hereunder
or in any of the certificates, notices or agreements delivered pursuant hereto,
as to all of which recourse will be had solely to the assets of the Issuer.

     (c) In no event will [Indenture Trustee], in any of its capacities
hereunder, be deemed to have assumed any duties of the Owner Trustee under the
Delaware Statutory Trust Statute, common law, or the Trust Agreement.

     SECTION 12.13. Independence of the Servicer. For all purposes of this
Agreement, the Servicer will be an independent contractor and will not be
subject to the supervision of the Issuer, the Indenture Trustee and Backup
Servicer or the Owner Trustee with respect to the manner in which it
accomplishes the performance of its obligations hereunder. Unless expressly
authorized by this Agreement, the Servicer will have no authority to act for or
represent the Issuer or the Owner Trustee in any way and will not otherwise be
deemed an agent of the Issuer or the Owner Trustee.

     SECTION 12.14. No Joint Venture. Nothing contained in this Agreement (i)
will constitute the Servicer and either of the Issuer or the Owner Trustee as
members of any partnership, joint venture, association, syndicate,
unincorporated business or other separate entity, (ii) will be construed to
impose any liability as such on any of them or (iii) will be deemed to confer on
any of them any express, implied or apparent authority to incur any obligation
or liability on behalf of the others.

     SECTION 12.15. Nonpublic Personal Information. In the course of carrying
out their duties under this Agreement, the Indenture Trustee, the Backup
Servicer, the Issuer and the Depositor shall develop or receive certain
information regarding the "consumers" and "customers" of the Servicer, including
but not limited to "nonpublic personal information," (as those terms are defined
in Title V of the Gramm-Leach-Bliley Act and the privacy regulations adopted
thereunder).

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Notwithstanding any other provision of the Agreement, with respect to nonpublic
personal information about the customers and consumers of the Servicer, each of
the Indenture Trustee, the Backup Servicer, the Issuer and the Depositor agrees
as follows: (i) except as may be reasonably necessary in the ordinary course of
business to carry out the activities to be performed by the Indenture Trustee,
the Backup Servicer, the Issuer or the Depositor under this Agreement or as may
be required by law or legal process, it will not disclose any such nonpublic
personal information to any third party; (ii) it will not use any such nonpublic
personal information other than to carry out the purposes for which it was
disclosed to the Indenture Trustee, the Backup Servicer, the Issuer or the
Depositor, as applicable, unless such other use is expressly permitted by a
written agreement executed by the Servicer or required by law or legal process;
(iii) it shall restrict disclosure of the information solely to those of its
employees with a need to know and will advise employees who receive the
information of the obligation of confidentiality hereunder; and (iv) it will
take all reasonable measures, including without limitation such measures as it
takes to safeguard its own confidential information, to ensure the security and
confidentiality of all such nonpublic personal information, to protect against
anticipated threats or hazards to the security or integrity of such nonpublic
personal information and to protect against unauthorized access to or use of
such nonpublic personal information. The Servicer shall have access (during
normal business hours, upon reasonable prior notice) to review such books and
records of the Indenture Trustee, the Backup Servicer, Issuer and the Depositor
as may be necessary to assess compliance with the requirements of this Section
12.15. All costs and expenses of such a review shall be borne solely by the
Servicer, unless the results of such review indicate a breach of this Section
12.15 by the Indenture Trustee, the Backup Servicer, the Issuer or the
Depositor. The Indenture Trustee, the Backup Servicer, the Issuer or the
Depositor, as applicable, shall promptly notify the Servicer if it receives any
complaint or notice concerning a violation of privacy rights or becomes aware of
a breach of customer data security. Upon termination of this Agreement, the
Indenture Trustee, the Backup Servicer, the Issuer and the Depositor shall
return or destroy all nonpublic personal information, without retaining any
copies of such documents and records.

     SECTION 12.16. Regulation AB.

     The Depositor and the Servicer acknowledge and agree that the purpose of
this Section 12.16 is to facilitate compliance by the Depositor with the
provisions of Regulation AB and related rules and regulations of the Commission.
The Depositor shall not exercise its right to request delivery of information or
other performance under these provisions other than in good faith, or for
purposes other than compliance with the Securities Act, the Exchange Act and the
rules and regulations of the Commission under the Securities Act and the
Exchange Act. The Servicer acknowledges that interpretations of the requirements
of Regulation AB may change over time, whether due to interpretive guidance
provided by the Commission or its staff, consensus among participants in the
asset-backed securities market, advice of counsel, or otherwise, and agrees to
comply with requests made by the Depositor in good faith for delivery of
information under these provisions on the basis of evolving interpretations of
Regulation AB. The Servicer shall cooperate fully with the Depositor to deliver
to the Depositor (including any of its assignees or designees) any and all
statements, reports, certifications, records and any other information necessary
in the good faith determination of the Depositor to permit the Depositor to
comply with the provisions of Regulation AB, together with such disclosures
relating to the Servicer and the Receivables, reasonably believed by the
Servicer to be necessary in order to effect such compliance.

                           [Signature page to follow]

                                       63

<PAGE>

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

                                        TRIAD AUTOMOBILE RECEIVABLES TRUST
                                        200_-_

                                        By: [OWNER TRUSTEE], not in its
                                            individual capacity but solely as
                                            Owner Trustee of the Trust

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

                                        TRIAD FINANCIAL SPECIAL PURPOSE LLC, as
                                        Depositor

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

                                        TRIAD FINANCIAL CORPORATION, as Servicer
                                        and Custodian

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

          [Signature Page to Sale and Servicing Agreement (p. 1 of 2)]

<PAGE>

                                        [INDENTURE TRUSTEE],
                                        not in its individual capacity but
                                        solely as Backup Servicer

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

Acknowledged and accepted by

[INDENTURE TRUSTEE],
not in its individual capacity but
solely as Indenture Trustee

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

          [Signature page to Sale and Servicing Agreement (p. 2 of 2)]

<PAGE>

                                                                      SCHEDULE A

                             SCHEDULE OF RECEIVABLES

                   [See Schedule A to the Purchase Agreement]

                                     SCH-A-1

<PAGE>

SCHEDULE B

                         REPRESENTATIONS AND WARRANTIES

                   [See Schedule B to the Purchase Agreement]

                                     SCH-B-1

<PAGE>

                                                                      SCHEDULE C

                        SERVICING POLICIES AND PROCEDURES

                Note: Applicable Time Periods Will Vary by State

                                     SCH-C-1

<PAGE>

                                                                      SCHEDULE D

                          CUSTODIAN THIRD PARTY VENDORS

                                     SCH-D-1

<PAGE>

                                                                       EXHIBIT A

                             SERVICER'S CERTIFICATE

                                       B-1

<PAGE>

                                                                       EXHIBIT B

                     FORM OF NOTE GUARANTY INSURANCE POLICY

                                       C-1<PAGE>
                                                                     EXHIBIT 4.3

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

                                 TRUST AGREEMENT

                                      Among

                       TRIAD FINANCIAL SPECIAL PURPOSE LLC
                                   Depositor,

                           TRIAD FINANCIAL CORPORATION

                                  Administrator
                                       and

                                 [OWNER TRUSTEE]
                                  Owner Trustee

                            Dated as of _______, 200_

================================================================================
<PAGE>
                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                                                               PAGE
                                                                                                               ----
<S>                                                                                                            <C>
ARTICLE I.
DEFINITIONS.......................................................................................................1

         Section 1.1.     Capitalized Terms.......................................................................1
         Section 1.2.     Other Definitional Provisions...........................................................3

ARTICLE II.
ORGANIZATION......................................................................................................4

         Section 2.1.     Name....................................................................................4
         Section 2.2.     Office..................................................................................4
         Section 2.3.     Purposes and Powers.....................................................................4
         Section 2.4.     Appointment of Owner Trustee............................................................5
         Section 2.5.     Initial Capital Contribution of Trust Estate............................................5
         Section 2.6.     Declaration of Trust....................................................................5
         Section 2.7.     Liability of the Certificateholders.....................................................5
         Section 2.8.     Title to Trust Property.................................................................5
         Section 2.9.     Situs of Trust..........................................................................5
         Section 2.10.    Representations and Warranties of the Depositor.........................................6
         Section 2.11.    Representations and Warranties of the Administrator.....................................7
         Section 2.12.    Covenants of the Certificateholders.....................................................8
         Section 2.13.    Federal Income Tax Treatment of the Trust...............................................8

ARTICLE III.
CERTIFICATES AND TRANSFERS OF INTERESTS...........................................................................9

         Section 3.1.     Ownership...............................................................................9
         Section 3.2.     The Certificates........................................................................9
         Section 3.3.     Authentication of Certificates..........................................................9
         Section 3.4.     Registration of Transfer and Exchange of Certificates..................................10
         Section 3.5.     Mutilated, Destroyed, Lost or Stolen Certificates......................................11
         Section 3.6.     Persons Deemed Certificateholders......................................................12
         Section 3.7.     Maintenance of Office or Agency........................................................12
         Section 3.8.     ERISA Restrictions.....................................................................12
         Section 3.9.     Access to List of Certificateholders' Names and Addresses..............................12

ARTICLE IV.
VOTING RIGHTS AND OTHER ACTIONS..................................................................................13

         Section 4.1.     Majority Certificateholders............................................................13
         Section 4.2.     Prior Notice to Certificateholders with Respect to Certain Matters.....................13
         Section 4.3.     Action by Certificateholders with Respect to Certain Matters...........................13
         Section 4.4.     Restrictions on Certificateholders' Power..............................................14
         Section 4.5.     Rights of Security Insurer.............................................................14
</TABLE>
<PAGE>
<TABLE>
<S>                                                                                                            <C>
ARTICLE V.
AUTHORITY AND DUTIES OF OWNER TRUSTEE............................................................................14

         Section 5.1.     General Authority......................................................................14
         Section 5.2.     General Duties.........................................................................15
         Section 5.3.     Action upon Instruction................................................................15
         Section 5.4.     No Duties Except as Specified in this Agreement or in Instructions.....................16
         Section 5.5.     No Action Except under Specified Documents or Instructions.............................16
         Section 5.6.     Restrictions...........................................................................16

ARTICLE VI.
CONCERNING THE OWNER TRUSTEE.....................................................................................16

         Section 6.1.     Acceptance of Trusts and Duties........................................................16
         Section 6.2.     Furnishing of Documents................................................................18
         Section 6.3.     Representations and Warranties.........................................................18
         Section 6.4.     Reliance; Advice of Counsel............................................................19
         Section 6.5.     Not Acting in Individual Capacity......................................................19
         Section 6.6.     Owner Trustee Not Liable for Certificates or Receivables...............................19
         Section 6.7.     Owner Trustee May Own Notes............................................................20
         Section 6.8.     Payments from Owner Trust Estate.......................................................20
         Section 6.9.     Doing Business in Other Jurisdictions..................................................20
         Section 6.10.    Legal Proceedings......................................................................20

ARTICLE VII.
COMPENSATION OF OWNER TRUSTEE....................................................................................20

         Section 7.1.     Owner Trustee's Fees and Expenses......................................................20
         Section 7.2.     Indemnification........................................................................21
         Section 7.3.     Payments to the Owner Trustee..........................................................21
         Section 7.4.     Non-recourse Obligations...............................................................21

ARTICLE VIII.
TERMINATION OF TRUST AGREEMENT...................................................................................21

         Section 8.1.     Termination of Trust Agreement.........................................................21

ARTICLE IX.
SUCCESSOR OWNER TRUSTEES AND ADDITIONAL OWNER TRUSTEES...........................................................23

         Section 9.1.     Eligibility Requirements for Owner Trustee.............................................23
         Section 9.2.     Resignation or Removal of Owner Trustee................................................23
         Section 9.3.     Successor Owner Trustee................................................................24
         Section 9.4.     Merger or Consolidation of Owner Trustee...............................................24
         Section 9.5.     Appointment of Co-Trustee or Separate Trustee..........................................24
</TABLE>
<PAGE>
<TABLE>
<S>                                                                                                            <C>
ARTICLE X.
MISCELLANEOUS....................................................................................................26

         Section 10.1.    Supplements and Amendments.............................................................26
         Section 10.2.    No Legal Title to Owner Trust Estate in Certificateholders.............................27
         Section 10.3.    Limitations on Rights of Others........................................................27
         Section 10.4.    Notices................................................................................27
         Section 10.5.    Severability...........................................................................28
         Section 10.6.    Separate Counterparts..................................................................28
         Section 10.7.    Assignments............................................................................28
         Section 10.8.    No Recourse............................................................................28
         Section 10.9.    No Petition............................................................................29
         Section 10.10.   Headings...............................................................................29
         Section 10.11.   GOVERNING LAW..........................................................................29
         Section 10.12.   Administrator..........................................................................29

                                                        EXHIBITS
                                                        --------

EXHIBIT A        -    FORM OF CERTIFICATE
EXHIBIT B        -    FORM OF CERTIFICATE OF TRUST
EXHIBIT C        -    FORM OF QUALIFIED INSTITUTIONAL BUYER TRANSFEREE'S CERTIFICATE
</TABLE>
<PAGE>
         This TRUST AGREEMENT dated as of ______, 200_ among TRIAD FINANCIAL
SPECIAL PURPOSE LLC, a Delaware limited liability company (the "Depositor"),
TRIAD FINANCIAL CORPORATION, a California corporation, as sponsor of the Trust
and Administrator (the "Administrator"), and [OWNER TRUSTEE], a
________________, as trustee and not in its individual capacity (the "Owner
Trustee"), amends and restates in its entirety that certain Trust Agreement
dated as of _________, 200_ between the Depositor and the Owner Trustee.

                                   ARTICLE I.
                                   DEFINITIONS

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

         "Administrator" means Triad, as the Administrator of the Trust.

         "Agreement" means this Trust Agreement, as the same may be amended and
supplemented from time to time.

         "Beneficial Interest" means an undivided fractional beneficial
ownership interest in the Trust. The amount of each Beneficial Interest shall be
expressed as a percentage, and the total of the Beneficial Interests shall be
100.0%.

         "Benefit Plan" has the meaning assigned to such term in Section 3.8.

         "Certificate" means a trust certificate evidencing the beneficial
interest of a Certificateholder in the Trust, substantially in the form of
Exhibit A attached hereto.

         "Certificateholder" or "Holder" means the Person in whose name a
Certificate is registered on the Certificate Register, initially Triad Financial
Residual Special Purpose LLC.

         "Certificate of Trust" means the Certificate of Trust in the form of
Exhibit B that has been filed for the Trust pursuant to Section 3810(a) of the
Statutory Trust Statute.

         "Certificate Register" and "Certificate Registrar" mean the register
mentioned and the registrar appointed pursuant to Section 3.4.

         "Code" means the Internal Revenue Code of 1986, as amended from time to
time, and Treasury Regulations promulgated thereunder.

         "Corporate Trust Office" means, with respect to the Owner Trustee, the
principal corporate trust office of the Owner Trustee located at
______________________, or at such other address as the Owner Trustee may
designate by notice to the Certificateholders, or the principal corporate trust
office of any successor Owner Trustee (the address of which such successor Owner
Trustee will notify the Certificateholders).

         "Depositor" means Triad Financial Special Purpose LLC, a Delaware
limited liability company.
<PAGE>
         "ERISA" has the meaning assigned to such term in Section 3.8.

         "Expenses" has the meaning assigned to such term in Section 7.2.

         "Indemnified Parties" has the meaning assigned to such term in Section
7.2.

         "Indenture" means the Indenture, dated as of _______, 200_, between the
Trust and [Indenture Trustee], as Indenture Trustee, as the same may be amended
and supplemented from time to time.

         "Instructing Party" has the meaning assigned to such term in Section
5.3.

         "Majority Certificateholders" means Certificateholders holding at least
a majority of the Beneficial Interests.

         "Owner Trust Estate" means all right, title and interest of the Trust
in and to the property and rights assigned to the Trust pursuant to Section 2.1
of the Sale and Servicing Agreement, all funds on deposit from time to time in
the Trust Accounts (including all Eligible Investments therein and all proceeds
therefrom) and all other property of the Trust from time to time, including any
rights of the Owner Trustee and the Trust under the Sale and Servicing
Agreement.

         "Owner Trustee" means [Owner Trustee], a ________________, not in its
individual capacity but solely as owner trustee under this Agreement, and any
successor Owner Trustee hereunder.

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

         "Record Date" means with respect to any Distribution Date, the close of
business on the last Business Day immediately preceding such Distribution Date.

         "Residual Holder" means Triad Financial Residual Special Purpose LLC, a
Delaware limited liability company.

         "Responsible Officer" means, with respect to the Owner Trustee, any
officer within the Corporate Trust Office of the Owner Trustee with direct
responsibility for the administration of the Trust and also, with respect to a
particular matter, any other officer to whom such matter is referred because of
such officer's knowledge of and familiarity with the particular subject.

         "Sale and Servicing Agreement" means the Sale and Servicing Agreement
dated as of ________, 200_, among the Trust, the Depositor, Triad and the
Indenture Trustee, as the same may be amended and supplemented from time to
time.

         "Secretary of State" means the Secretary of State of the State of
Delaware.

         "Security Insurer" means ________________, or its successor in
interest.

                                       2
<PAGE>
         "Statutory Trust Statute" means Chapter 38 of Title 12 of the Delaware
Code, 12 Del. Code Section 3801 et seq., as the same may be amended from time to
time.

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

         "Triad" means Triad Financial Corporation, a California corporation, or
its successor in interest.

         "Trust" means the trust established by this Agreement.

         Section 1.2. Other Definitional Provisions.

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

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

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

                  (d) The words "hereof," "herein," "hereunder" and words of
similar import when used in this Agreement will refer to this Agreement as a
whole and not to any particular provision of this Agreement; Section and Exhibit
references contained in this Agreement are references to Sections and Exhibits
in or to this Agreement unless otherwise specified; and the term "including"
will mean "including without limitation."

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

                                       3
<PAGE>
                                   ARTICLE II.
                                  ORGANIZATION

         Section 2.1. Name. There is hereby formed a trust to be known as "Triad
Automobile Receivables Trust 200_-_," in which name the Owner Trustee may
conduct the business of the Trust, make and execute contracts and other
instruments on behalf of the Trust and sue and be sued.

         Section 2.2. Office. The office of the Trust will be in care of the
Owner Trustee at the Corporate Trust Office or at such other address as the
Owner Trustee may designate by written notice to the Certificateholders.

         Section 2.3. Purposes and Powers. The purpose of the Trust is, and the
Trust will have the power and authority, to engage in the following activities:

                  (a) to issue the Notes pursuant to the Indenture and the
Certificates pursuant to this Agreement, and to sell the Notes to the Depositor
and sell, transfer or exchange the Certificates;

                  (b) to assign, grant, transfer, pledge, mortgage and convey
the Owner Trust Estate to the Indenture Trustee pursuant to the Indenture for
the benefit of the Security Insurer and on behalf of the Noteholders and to
hold, manage and distribute to the Certificateholders pursuant to the terms of
the Sale and Servicing Agreement any portion of the Owner Trust Estate released
from the Lien of, and remitted to the Trust pursuant to, the Indenture;

                  (c) to enter into and perform its obligations under the Basic
Documents to which it is a party;

                  (d) to enter into interest rate swaps and caps and other
derivative instruments in connection with the Notes;

                  (e) to enter into interest rate swaps and caps and other
derivative instruments in connection with the Certificates;

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

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

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

                                       4
<PAGE>
         Section 2.4. Appointment of Owner Trustee. The Depositor hereby
appoints the Owner Trustee as trustee of the Trust effective as of the date
hereof, to have all the rights, powers and duties set forth herein.

         Section 2.5. Initial Capital Contribution of Trust Estate. The Owner
Trustee hereby acknowledges prior receipt in trust from the Depositor of the sum
of $1,000 which contribution will constitute the initial Owner Trust Estate. The
Administrator will pay organizational expenses of the Trust as they may arise.

         Section 2.6. Declaration of Trust. The Owner Trustee hereby declares
that it will hold the Owner Trust Estate in trust upon and subject to the
conditions set forth herein for the use and benefit of the Holders, subject to
the obligations of the Trust under the Basic Documents. It is the intention of
the parties hereto that the Trust constitute a statutory trust under the
Statutory Trust Statute and that this Agreement constitute the governing
instrument of such statutory trust. Effective as of the date hereof, the Owner
Trustee will have all rights, powers and duties set forth herein and to the
extent not inconsistent herewith, in the Statutory Trust Statute with respect to
accomplishing the purposes of the Trust. The Owner Trustee has filed the
Certificate of Trust with the Secretary of State.

         Section 2.7. Liability of the Certificateholders. Certificateholders
and holders of beneficial interests therein shall be entitled to the same
limitation of personal liability extended to stockholders of private
corporations for profit organized under the General Corporation Law of the State
of Delaware.

         Section 2.8. Title to Trust Property.

                  (a) Legal title to all the Owner Trust Estate will be vested
at all times in the Trust as a separate legal entity except where applicable law
in any jurisdiction requires title to any part of the Owner Trust Estate to be
vested in a trustee or trustees, in which case title will be deemed to be vested
in the Owner Trustee, a co-trustee and/or a separate trustee, as the case may
be. If any portion of the Owner Trust Estate is deemed vested in the Owner
Trustee, a co-trustee and/or separate trustee, the Owner Trustee, upon having
actual knowledge thereof, will immediately notify the Indenture Trustee, the
Servicer and the Administrator, and the Administrator will cause to be filed
such UCC financing statements and related filing documents or writings as are
necessary to maintain the Indenture Trustee's security interest in the Owner
Trust Estate.

                  (b) No Certificateholder will have legal title to any part of
the Trust Property. No transfer, by operation of law or otherwise, of any right,
title or interest by any Certificateholder of its ownership interest in the
Owner Trust Estate will operate to terminate this Agreement or the trusts
hereunder or entitle any transferee to an accounting or to the transfer to it of
legal title to any part of the Trust Property.

         Section 2.9. Situs of Trust. The Trust will be located in the State of
Delaware. All bank accounts maintained by the Owner Trustee on behalf of the
Trust will be located in the State of Delaware or the State of New York.
Payments will be received by the Trust only in Delaware or New York and payments
will be made by the Trust only from Delaware or

                                       5
<PAGE>
New York. The Trust will not have any employees in any state other than
Delaware; provided, however, that nothing herein will restrict or prohibit the
Owner Trustee, the Servicer or any agent of the Trust from having employees
within or without the State of Delaware. The only office of the Trust will be at
the Corporate Trust Office located in Delaware.

         Section 2.10. Representations and Warranties of the Depositor. The
Depositor makes the following representations and warranties on which the Owner
Trustee relies in accepting the Owner Trust Estate in trust and executing the
Certificates and upon which the Security Insurer relies in issuing the Note
Policy.

                  (a) Organization and Good Standing. The Depositor is duly
organized and validly existing as a Delaware limited liability company with
power and authority to own its properties and to conduct its business as such
properties are currently owned and such business is presently conducted and is
proposed to be conducted pursuant to the Basic Documents.

                  (b) Due Qualification. The Depositor is duly qualified to do
business as a foreign limited liability company in good standing, and has
obtained all necessary licenses and approvals, in all jurisdictions in which the
ownership or lease of its property, the conduct of its business and the
performance of its obligations under the Basic Documents requires such
qualification.

                  (c) Power and Authority. The Depositor has the power and
authority to execute and deliver this Agreement and to carry out its terms; the
Depositor has full power and authority to sell and assign the property to be
sold and assigned to and deposited with the Trust and the Depositor has duly
authorized such sale and assignment and deposit to the Trust by all necessary
action; and the execution, delivery and performance of this Agreement has been
duly authorized by the Depositor by all necessary action.

                  (d) No Consent Required. No consent, license, approval or
authorization or registration or declaration with, any Person or with any
governmental authority, bureau or agency is required in connection with the
execution, delivery or performance of the Basic Documents, except for such as
have been obtained, effected or made.

                  (e) 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
limited liability agreement of the Depositor, or any material indenture,
agreement or other instrument to which the Depositor 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); nor violate any law or,
to the best of the Depositor's knowledge, any order, rule or regulation
applicable to the Depositor of any court or of any federal or state regulatory
body, administrative agency or other governmental instrumentality having
jurisdiction over the Depositor or its properties.

                  (f) No Proceedings. There are no proceedings or investigations
pending or, to the Depositor's best knowledge, threatened against it before any
court, regulatory body,

                                       6
<PAGE>
administrative agency or other tribunal or governmental instrumentality having
jurisdiction over it or its properties (i) asserting the invalidity of any of
the Basic Documents, (ii) seeking to prevent the issuance of the Certificates or
the Notes or the consummation of any of the transactions contemplated by any of
the Basic Documents, (iii) seeking any determination or ruling that might
materially and adversely affect its performance of its obligations under, or the
validity or enforceability of, any of the Basic Documents, or (iv) seeking to
adversely affect the federal income tax or other federal, state or local tax
characteristics of the Certificates.

         Section 2.11. Representations and Warranties of the Administrator. The
Administrator, as sponsor of the Trust, assumes all rights and obligations under
Section 2(a)(4) of the Securities Act of 1933, as amended (the "Securities
Act"). The Administrator makes the following representations and warranties on
which the Owner Trustee relies in accepting the Owner Trust Estate in trust and
executing the Certificates and upon which the Security Insurer relies in issuing
the Note Policy.

                  (a) Organization and Good Standing. The Administrator is duly
organized and validly existing as a California corporation with corporate power
and authority to own its properties and to conduct its business as such
properties are currently owned and such business is presently conducted and is
proposed to be conducted pursuant to the Basic Documents.

                  (b) Due Qualification. The Administrator is duly qualified to
do business as a foreign corporation in good standing, and has obtained all
necessary licenses and approvals, in all jurisdictions in which the ownership or
lease of its property, the conduct of its business and the performance of its
obligations under the Basic Documents requires such qualification.

                  (c) Power and Authority. The Administrator has the corporate
power and authority to execute and deliver this Agreement and to carry out its
terms; the Administrator has full power and authority to sell and assign the
property to be sold and assigned to the Depositor and deposited by the Depositor
with the Trust and the Administrator has duly authorized such sale and
assignment to the Depositor by all necessary corporate action; and the
execution, delivery and performance of this Agreement has been duly authorized
by the Administrator by all necessary corporate action.

                  (d) No Consent Required. No consent, license, approval or
authorization or registration or declaration with, any Person or with any
governmental authority, bureau or agency is required in connection with the
execution, delivery or performance of the Basic Documents, except for such as
have been obtained, effected or made.

                  (e) 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 by-laws of the Administrator, or any material
indenture, agreement or other instrument to which the Administrator 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); nor
violate any law or, to the best of the Administrator's knowledge, any order,
rule or regulation applicable to the Administrator of any court or of any
federal or state regulatory

                                       7
<PAGE>
body, administrative agency or other governmental instrumentality having
jurisdiction over the Administrator or its properties.

                  (f) No Proceedings. There are no proceedings or investigations
pending or, to the Administrator's best knowledge, threatened against it before
any court, regulatory body, administrative agency or other tribunal or
governmental instrumentality having jurisdiction over it or its properties (i)
asserting the invalidity of any of the Basic Documents, (ii) seeking to prevent
the issuance of the Certificates or the Notes or the consummation of any of the
transactions contemplated by any of the Basic Documents, (iii) seeking any
determination or ruling that might materially and adversely affect its
performance of its obligations under, or the validity or enforceability of, any
of the Basic Documents, or (iv) seeking to adversely affect the federal income
tax or other federal, state or local tax attributes of the Certificates.

         Section 2.12. Covenants of the Certificateholders. Each
Certificateholder agrees:

                  (a) to be bound by the terms and conditions of the Certificate
of which the Holder is the owner and of this Agreement, including any
supplements or amendments hereto and to perform the obligations of a Holder as
set forth therein or herein, in all respects as if it were a signatory hereto.
This undertaking is made for the benefit of the Trust, the Owner Trustee and the
Security Insurer; and

                  (b) until the completion of the events specified in Section
8.1(d), not to, for any reason, institute proceedings for the Trust to be
adjudicated bankrupt or insolvent, or consent to the institution of bankruptcy
or insolvency proceedings against the Trust, or file a petition seeking or
consenting to reorganization or relief under any applicable federal or state law
relating to bankruptcy, or consent to the appointment of a receiver, liquidator,
assignee, trustee, sequestrator (or other similar official) of the Trust or a
substantial part of its property, or cause or permit the Trust to make any
assignment for the benefit of its creditors, or admit in writing its inability
to pay its debts generally as they become due, or declare or effect a moratorium
on its debt or take any action in furtherance of any such action.

         Section 2.13. Federal Income Tax Treatment of the Trust.

                  (a) For so long as the Trust has a single owner for federal
income tax purposes, it will, pursuant to Treasury Regulations promulgated under
Section 7701 of the Code, be disregarded as an entity distinct from the
Certificateholder for all federal income tax purposes. Accordingly, for federal
income tax purposes, the Certificateholder will be treated as (i) owning all
assets owned by the Trust, (ii) having incurred all liabilities incurred by the
Trust, and (iii) all transactions between the Trust and the Certificateholder
will be disregarded.

                  (b) Neither the Owner Trustee nor any Certificateholder will,
under any circumstances, and at any time, make an election on IRS Form 8832 or
otherwise, to classify the Trust as an association taxable as a corporation for
federal, state or any other applicable tax purpose.

                  (c) If there is more than one owner of the Certificates, due
to the sale of the Certificates, issuance by the Trust of additional
Certificates to a Person other than the Residual Holder or otherwise, the
Depositor and the Owner Trustee, by entering into this Agreement, and

                                       8
<PAGE>
the Residual Holder and the Certificateholders, by acquiring any Certificates or
interest therein, (i) express their intention that the Certificates will qualify
as equity interests in a partnership for federal income tax purposes and (ii)
unless otherwise required by the appropriate taxing authorities, agree to treat
the Certificates as equity interests in a partnership for the purposes of
federal income taxes, state and local income and franchise taxes, and any other
taxes imposed upon, measured by, or based upon gross or net income. The parties
agree that, unless otherwise required by appropriate tax authorities, the Trust
shall file or cause to be filed annual or other necessary returns, reports and
other forms consistent with such characterization of the Trust for tax purposes.
At any such time that the Trust has two or more equity owners, this Agreement
will be amended, in accordance with Section 10.1 herein, and appropriate
provisions will be added so as to provide for the treatment of the Trust as a
partnership for federal income tax purposes.

                                  ARTICLE III.
                     CERTIFICATES AND TRANSFERS OF INTERESTS

         Section 3.1. Ownership. Upon the formation of the Trust by the
contribution by the Depositor pursuant to Section 2.5 and until the issuance of
the Certificate to the initial Certificateholder, the Depositor will be the sole
beneficiary of the Trust.

         Section 3.2. The Certificates. Each Certificate will be executed on
behalf of the Trust by manual or facsimile signature of an authorized officer of
the Owner Trustee. A Certificate bearing the manual or facsimile signatures of
individuals who were, at the time when such signatures will have been affixed,
authorized to sign on behalf of the Trust, will be validly issued and entitled
to the benefit of this Agreement, notwithstanding that such individuals or any
of them will have ceased to be so authorized prior to the authentication and
delivery of such Certificate or did not hold such offices at the date of
authentication and delivery of such Certificate. Subject to the satisfaction of
the conditions herein and those conditions stated on the Certificate, a
transferee of a Certificate will become a Certificateholder, and will be
entitled to the rights and subject to the obligations of a Certificateholder
hereunder, upon due registration of such Certificate in such transferee's name
pursuant to Section 3.4. Each Certificate will be issuable in minimum
denominations of no less than 5% of the beneficial interest in the Trust. Each
Certificate will represent a Beneficial Interest in the Trust.

         Section 3.3. Authentication of Certificates. Concurrently with the
initial sale of the Receivables to the Trust pursuant to the Sale and Servicing
Agreement, the Owner Trustee will cause the Certificates to be executed on
behalf of the Trust, authenticated and delivered to or upon the written order of
the Depositor, signed by its chairman of the board, its president or any vice
president, its treasurer or any assistant treasurer without further action by
the Depositor, in authorized denominations. No Certificate will entitle its
Holder to any benefit under this Agreement, or will be valid for any purpose,
unless there will appear on such Certificate a certificate of authentication
substantially in the form set forth in Exhibit A, executed by the Owner Trustee,
by manual or facsimile signature; such authentication will constitute conclusive
evidence that such Certificate is duly authenticated and delivered hereunder.
Each Certificate will be dated the date of its authentication.

                                       9
<PAGE>
         Section 3.4. Registration of Transfer and Exchange of Certificates. The
Certificate Registrar will keep or cause to be kept, at the office or agency
maintained pursuant to Section 3.7, a Certificate Register in which, subject to
such reasonable regulations as it may prescribe, the Owner Trustee will provide
for the registration of the Certificates and of transfers and exchanges of the
Certificates as herein provided. The Owner Trustee will be the initial
Certificate Registrar.

         The initial Certificateholder will provide the Certificate Registrar
and the Indenture Trustee with its name and address on the Closing Date. Upon
any transfers of a Certificate, the Certificate Registrar will notify the
Indenture Trustee of the name and address of each transferee in writing, by
facsimile, on the day of such transfer.

         Upon surrender for registration of transfer of a Certificate at the
office or agency maintained pursuant to Section 3.7, the Owner Trustee will
execute, authenticate and deliver, in the name of the designated transferee, a
new Certificate dated the date of authentication by the Owner Trustee or any
authenticating agent.

         A Certificate presented or surrendered for registration of transfer or
exchange will be accompanied by a written instrument of transfer in form
satisfactory to the Owner Trustee and the Certificate Registrar duly executed by
the Certificateholder or his attorney duly authorized in writing. Each
Certificate surrendered for registration of transfer or exchange will be
canceled and subsequently disposed of by the Owner Trustee in accordance with
its customary practice.

         No service charge will be made for any registration of transfer or
exchange of a Certificate, but the Owner Trustee or the Certificate Registrar
may require payment of a sum sufficient to cover any expense, tax or
governmental charge that may be imposed in connection with any transfer or
exchange of a Certificate.

         To the fullest extent permitted by applicable law, no sale, pledge or
other transfer of a Certificate will be made unless (a) such sale, pledge or
other transfer (i) is made pursuant to an effective registration statement under
the Securities Act and any applicable state securities laws or (ii) is made to a
Person that is a "qualified institutional buyer" as defined in Rule 144A under
the Securities Act, (b) such sale, pledge or other transfer will not cause the
Trust to be treated as a publicly traded partnership taxable as a corporation
for federal income tax purposes, and (c) such sale, pledge or other transfer is
made to a Person who is a United States Person (within the meaning of Section
7701(a)(30) of the Code) and who has delivered to the Owner Trustee satisfactory
evidence thereof. Each prospective purchaser of a Certificate after the Closing
Date will deliver a completed and duly executed transferee's certificate (in the
form of Exhibit C for "qualified institutional buyers"), to the Owner Trustee
and to the transferor for inspection prior to effecting any requested transfer.
The Issuer and the Owner Trustee may rely conclusively upon the information
contained in any such transferee's certificate in the absence of knowledge to
the contrary. In connection with any transfer (other than the purchase of any
Certificate by a purchaser who delivers a transferee's certificate in the form
of Exhibit C), the Owner Trustee will require an Opinion of Counsel to the
effect that such transfer may be effected without registration under the
Securities Act, which Opinion of Counsel, if so required, will be addressed to
the Issuer and the Owner Trustee and will be secured at the expense of the
Holder. The Owner Trustee may rely upon the representation of any transferee
made to the Owner Trustee,

                                       10
<PAGE>
and upon such Opinion of Counsel, and will be fully protected in so doing. Any
Certificateholders will be deemed to have agreed to these restrictions on
transfer.

         In order to preserve the exemption for resales and transfers provided
by Rule 144A under the Securities Act, the Issuer will provide to any
Certificateholder and any prospective purchaser designated by such
Certificateholder, upon request of such Certificateholder or such prospective
purchaser, such information required by Rule 144A as will enable the resale of
such Certificate to be made pursuant to Rule 144A. The Owner Trustee will
cooperate with the Issuer in providing the Issuer such information in its
possession regarding the Certificates, the Receivables and other matters
regarding the Certificates as the Issuer will reasonably request to meet its
obligations under the preceding sentence.

         At the option of a Holder, a Certificate may be exchanged for one or
more other Certificates of authorized denominations of a like aggregate
beneficial interest in the Trust upon surrender of the Certificate to be
exchanged at the Corporate Trust Office maintained pursuant to Section 3.7.
Whenever any Certificates are so surrendered for exchange, the Owner Trustee
shall execute on behalf of the Trust, authenticate and deliver one or more
Certificates dated the date of authentication by the Owner Trustee or any
authenticating agent. Such Certificates shall be delivered to the Holder making
the exchange.

         Section 3.5. Mutilated, Destroyed, Lost or Stolen Certificates.

                  (a) If (i) any mutilated Certificate will be surrendered to
the Certificate Registrar, or if the Certificate Registrar will receive evidence
to its satisfaction of the destruction, loss or theft of any Certificate and
(ii) there will be delivered to the Certificate Registrar and the Owner Trustee
such security or indemnity as may be required by them to hold each of them
harmless, then in the absence of notice that such Certificate has been acquired
by a protected purchaser, the Owner Trustee on behalf of the Trust will execute,
and the Owner Trustee will authenticate and deliver, in exchange for or in lieu
of any such mutilated, destroyed, lost or stolen Certificate, a new Certificate
of like class, tenor and denomination. In connection with the issuance of any
new Certificate under this Section 3.5, the Owner Trustee or the Certificate
Registrar may require the payment of a sum sufficient to cover any expense, tax
or other governmental charge that may be imposed in connection therewith. Any
duplicate Certificate issued pursuant to this Section 3.5 will constitute
conclusive evidence of an ownership interest in the Trust, as if originally
issued, whether or not the mutilated, destroyed, lost or stolen Certificate will
be found at any time.

                  (b) If, after the delivery of a replacement Certificate or
payment in respect of a mutilated, destroyed, lost or stolen Certificate
pursuant to Section 3.5(a), a protected purchaser of the original Certificate in
lieu of which such replacement Certificate was issued presents for payment such
original Certificate, the Owner Trustee shall be entitled to recover such
payment from the Person to whom such replacement Certificate was delivered or
any Person taking such replacement Certificate from such Person to whom such
replacement Certificate was delivered or any assignee of such Person, except a
protected purchaser, 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 Owner Trustee in connection therewith.

                                       11
<PAGE>
                  (c) The provisions of this Section 3.5 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 Certificates.

         Section 3.6. Persons Deemed Certificateholders. Every Person by virtue
of becoming a Certificateholder in accordance with this Agreement is deemed to
be bound by the terms of this Agreement. Prior to due presentation of a
Certificate for registration of transfer, the Owner Trustee, the Certificate
Registrar and the Security Insurer, and any agent of the Owner Trustee, the
Certificate Registrar and the Security Insurer, may treat the person in whose
name any Certificate will be registered in the Certificate Register as the owner
of such Certificate for the purpose of receiving distributions pursuant to the
Sale and Servicing Agreement and for all other purposes whatsoever, and none of
the Owner Trustee, the Certificate Registrar or the Security Insurer nor any
agent of the Owner Trustee, the Certificate Registrar or the Security Insurer
will be bound by any notice to the contrary.

         Section 3.7. Maintenance of Office or Agency. The Owner Trustee will
maintain an office or offices or agency or agencies where Certificates may be
surrendered for registration of transfer or exchange and where notices and
demands to or upon the Owner Trustee in respect of the Certificates and the
Basic Documents may be served. The Owner Trustee initially designates its
principal Corporate Trust Office for such purposes. The Owner Trustee will give
prompt written notice to the Depositor, the Certificateholders and (unless an
Insurer Default has occurred and is continuing) the Security Insurer of any
change in the location of the Certificate Register or any such office or agency.

         Section 3.8. ERISA Restrictions. The Certificates may not be acquired
by or for the account of (a) an employee benefit plan (as defined in Section
3(3) of the Employee Retirement Income Security Act of 1974, as amended
("ERISA")) that is subject to the provisions of Title I of ERISA, (b) a plan (as
defined in Section 4975(e)(1) of the Code) that is subject to Section 4975 of
the Code, or (c) any entity whose underlying assets include assets of a plan
described in (a) or (b) above by reason of such plan's investment in the entity
(including, without limitation, an insurance company general account) (each, a
"Benefit Plan"). By accepting and holding its beneficial ownership interest in
its Certificate, the Holder thereof is deemed to have represented and warranted
that it is not a Benefit Plan.

         Section 3.9. Access to List of Certificateholders' Names and Addresses.
The Owner Trustee shall furnish or cause to be furnished to the Servicer and the
Depositor, within 15 days after receipt by the Owner Trustee of a request
therefor from the Servicer or the Depositor in writing, a list of the names and
addresses of the Certificateholders as of the most recent Record Date. Each
Holder, by receiving and holding a Certificate, shall be deemed to have agreed
not to hold any of the Servicer, the Depositor or the Owner Trustee accountable
by reason of the disclosure of its name and address, regardless of the source
from which such information was derived.

                                       12
<PAGE>
                                   ARTICLE IV.
                         VOTING RIGHTS AND OTHER ACTIONS

         Section 4.1. Majority Certificateholders. Except as expressly provided
herein, any action that may be taken or consent that may be given or withheld by
the Certificateholders under this Agreement shall be effective if such action is
taken or consent is given or withheld by the Majority Certificateholders as of
such action or consent. Except as expressly provided herein, any written notice,
instruction, direction or other document of the Certificateholders delivered
pursuant to this Agreement shall be effective if signed by the Majority
Certificateholders.

         Section 4.2. Prior Notice to Certificateholders with Respect to Certain
Matters. With respect to the following matters, the Owner Trustee will not take
action unless at least 30 days before the taking of such action, the Owner
Trustee will have notified the Certificateholders in writing of the proposed
action and the Majority Certificateholders will not have notified the Owner
Trustee in writing prior to the 30th day after such notice is given that the
Majority Certificateholders have withheld consent or provided alternative
direction:

                  (a) the election by the Trust to file an amendment to the
Certificate of Trust (unless such amendment is required to be filed under the
Statutory Trust Statute or unless such amendment would not materially and
adversely affect the interests of the Holder);

                  (b) the amendment of the Indenture by a supplemental indenture
in circumstances where the consent of any Noteholder is required;

                  (c) the amendment of the Indenture by a supplemental indenture
in circumstances where the consent of any Noteholder is not required and such
amendment materially adversely affects the interest of the Certificateholders;
or

                  (d) except pursuant to Section 12.1(b) of the Sale and
Servicing Agreement, the amendment, change or modification of the Sale and
Servicing Agreement, except to cure any ambiguity or defect or to amend or
supplement any provision in a manner that would not materially adversely affect
the interests of the Certificateholders.

The Owner Trustee will notify the Certificateholders in writing of any
appointment of a successor Note Registrar or Indenture Trustee within five
Business Days after receipt of notice thereof.

         Section 4.3. Action by Certificateholders with Respect to Certain
Matters. The Owner Trustee will not have the power, except upon the direction of
all Certificateholders or the Security Insurer in accordance with the Basic
Documents, to (a) remove the Servicer under the Sale and Servicing Agreement
pursuant to Section 9.2 thereof or (b) except as expressly provided in the Basic
Documents, sell the Receivables after the termination of the Indenture. The
Owner Trustee will take the actions referred to in the preceding sentence only
upon written instructions signed by all Certificateholders [or the Security
Insurer in accordance with the Basic Documents] and the furnishing of
indemnification satisfactory to the Owner Trustee by all Certificateholders [or
the Security Insurer in accordance with the Basic Documents].

                                       13
<PAGE>
         Section 4.4. Restrictions on Certificateholders' Power.

                  (a) No Certificateholder will direct the Owner Trustee to take
or refrain from taking any action if such action or inaction would be contrary
to any obligation of the Trust or the Owner Trustee under any of the Basic
Documents or would be contrary to Section 2.3 nor will the Owner Trustee be
obligated to follow any such direction, if given.

                  (b) The Certificateholders will not have any right by virtue
or by availing themselves of any provisions of this Agreement to institute any
suit, action, or proceeding in equity or at law upon or under or with respect to
this Agreement or any Basic Document, unless the Certificateholders constitute
the Majority Certificateholders who are the Instructing Party pursuant to
Section 5.3 and unless the Certificateholders previously will have given to the
Owner Trustee a written notice of default and of the continuance thereof, as
provided in this Agreement, and also unless the Certificateholders will have
made written request upon the Owner Trustee to institute such action, suit or
proceeding in its own name as Owner Trustee under this Agreement and will have
offered to the Owner Trustee such reasonable indemnity as it may require against
the costs, expenses and liabilities to be incurred therein or thereby, and the
Owner Trustee, for 10 days after its receipt of such notice, request, and offer
of indemnity, has neglected or refused to institute any such action, suit, or
proceeding, and during such 10-day period no request or waiver inconsistent with
such written request has been given to the Owner Trustee pursuant to and in
compliance with this Section 4.4 or Section 5.3. For the protection and
enforcement of the provisions of this Section 4.4, the Certificateholders and
the Owner Trustee are entitled to such relief as can be given either at law or
in equity.

         [Section 4.5. Rights of Security Insurer. Notwithstanding anything to
the contrary in the Basic Documents, without the prior written consent of the
Security Insurer (so long as no Insurer Default has occurred and is continuing),
the Owner Trustee will not (a) remove the Servicer, (b) initiate any claim, suit
or proceeding by the Trust or compromise any claim, suit or proceeding brought
by or against the Trust, other than with respect to the enforcement of any
Receivable or any rights of the Trust thereunder, (c) authorize the merger or
consolidation of the Trust with or into any other statutory trust or other
entity (other than in accordance with Section 3.10 of the Indenture) or (d)
amend the Certificate of Trust (other than as may be required by the Statutory
Trust Statute)].

                                   ARTICLE V.
                      AUTHORITY AND DUTIES OF OWNER TRUSTEE

         Section 5.1. General Authority. The Owner Trustee is authorized and
directed to execute and deliver the Basic Documents to which the Trust is named
as a party and each certificate or other document attached as an exhibit to or
contemplated by the Basic Documents to which the Trust is named as a party and
any amendment thereto, in each case, in such form as the Majority
Certificateholders will approve as evidenced conclusively by the Owner Trustee's
execution thereof, and on behalf of the Trust, to direct the Indenture Trustee
to authenticate and deliver [Class A-1 Notes] in the aggregate principal amount
of $______________, [Class A-2 Notes] in the aggregate principal amount of
$______________, [Class A-3 Notes] in the aggregate principal amount of
$_________, [Class A-4 Notes] in the aggregate principal amount of
$_______________ and Class B Notes in the aggregate principal amount of
$_____________.

                                       14
<PAGE>
In addition to the foregoing, the Owner Trustee is authorized, but will not be
obligated, to take all actions required of the Trust pursuant to the Basic
Documents. The Owner Trustee is further authorized from time to time to take
such action as the Instructing Party recommends with respect to the Basic
Documents.

         Section 5.2. General Duties. It will be the duty of the Owner Trustee
to discharge (or cause to be discharged) all of its responsibilities pursuant to
the terms of this Agreement and to administer the Trust in the interest of the
Holders, subject to the Basic Documents and in accordance with the provisions of
this Agreement. Notwithstanding the foregoing, the Owner Trustee is deemed to
have discharged its duties and responsibilities under the Basic Documents to the
extent the Servicer or Administrator has agreed to perform any act or to
discharge any duty of the Trust or the Owner Trustee hereunder or under any
Basic Document, and the Owner Trustee will not be liable for the default or
failure of the Servicer or Administrator to carry out its obligations.

         Section 5.3. Action upon Instruction.

                  (a) Subject to Article IV, [the Security Insurer (so long as
any Class A Notes are outstanding and an Insurer Default will not have occurred
and be continuing) or] the Majority Certificateholders (if an Insurer Default
has occurred and is continuing or if no Class A Notes are outstanding) (the
"Instructing Party") has the exclusive right to direct the actions of the Owner
Trustee in the management of the Trust. The Instructing Party will ensure that
such instructions are not inconsistent with the express terms set forth herein
or in any Basic Document. The Instructing Party will not instruct the Owner
Trustee in a manner inconsistent with the Basic Documents.

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

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

                  (d) If the Owner Trustee is unsure as to the application of
any provision of this Agreement or any Basic Document or any such provision is
ambiguous as to its application, or is, or appears to be, in conflict with any
other applicable provision, or if this Agreement

                                       15
<PAGE>
permits any determination by the Owner Trustee or is silent or is incomplete as
to the course of action that the Owner Trustee is required to take with respect
to a particular set of facts, the Owner Trustee may give notice (in such form as
will be appropriate under the circumstances) to the Instructing Party requesting
instruction and, to the extent that the Owner Trustee acts or refrains from
acting in good faith in accordance with any such instruction received, the Owner
Trustee will not be liable, on account of such action or inaction, to any
Person. If the Owner Trustee will not have received appropriate instruction
within 10 days of such notice (or within such shorter period of time as
reasonably may be specified in such notice or may be necessary under the
circumstances) it may, but will be under no duty to, take or refrain from taking
such action, not inconsistent with the Basic Documents, as it will deem to be in
the best interests of the Certificateholders, and will have no liability to any
Person for such action or inaction.

         Section 5.4. No Duties Except as Specified in this Agreement or in
Instructions. The Owner Trustee will not have any duty or obligation to manage,
make any payment with respect to, register, record, sell, dispose of, or
otherwise deal with the Owner Trust Estate, or to otherwise take or refrain from
taking any action under, or in connection with, any document contemplated hereby
to which the Owner Trustee is a party, except as expressly provided by the terms
of this Agreement or in any document or written instruction received by the
Owner Trustee pursuant to Section 5.3; and no implied duties or obligations will
be read into this Agreement or any Basic Document against the Owner Trustee. The
Owner Trustee will have no responsibility for filing any financing or
continuation statement in any public office at any time or to otherwise perfect
or maintain the perfection of any security interest or lien granted to it
hereunder or to prepare or file any filing for the Trust with the Securities and
Exchange Commission or to record this Agreement or any Basic Document. The Owner
Trustee nevertheless agrees that it will, at its own cost and expense, promptly
take all action as may be necessary to discharge any Liens on any part of the
Owner Trust Estate that result from actions by, or claims against, the Owner
Trustee (solely in its individual capacity) and that are not related to the
ownership or the administration of the Owner Trust Estate.

         Section 5.5. No Action Except under Specified Documents or
Instructions. The Owner Trustee will not manage, control, use, sell, dispose of
or otherwise deal with any part of the Owner Trust Estate except (a) in
accordance with the powers granted to and the authority conferred upon the Owner
Trustee pursuant to this Agreement, (b) in accordance with the Basic Documents
or (c) in accordance with any document or instruction delivered to the Owner
Trustee pursuant to Section 5.3.

         Section 5.6. Restrictions. The Owner Trustee will not take any action
(a) that is inconsistent with the purposes of the Trust set forth in Section 2.3
or (b) that, to the actual knowledge of the Owner Trustee, would result in the
Trust's becoming taxable as a corporation for federal income tax purposes. No
Certificateholder will direct the Owner Trustee to take action that would
violate the provisions of this Section 5.6.

                                   ARTICLE VI.
                          CONCERNING THE OWNER TRUSTEE

         Section 6.1. Acceptance of Trusts and Duties. The Owner Trustee accepts
the trusts hereby created and agrees to perform its duties hereunder with
respect to such trusts but only

                                       16
<PAGE>
upon the terms of this Agreement. The Owner Trustee also agrees to disburse all
moneys actually received by it constituting part of the Owner Trust Estate upon
the terms of the Basic Documents. The Owner Trustee will not be answerable or
accountable hereunder or under any Basic Document under any circumstances,
except (i) for its own willful misconduct, bad faith or gross negligence, (ii)
in the case of the inaccuracy of any representation or warranty contained in
Section 6.3 expressly made by the Owner Trustee, (iii) for liabilities arising
from the failure of the Owner Trustee to perform obligations expressly
undertaken by it in the last sentence of Section 5.4 hereof, and (iv) for taxes,
fees or other charges on, based on or measured by, any fees, commissions or
compensation received by the Owner Trustee. In particular, but not by way of
limitation (and subject to the exceptions set forth in the preceding sentence):

                  (a) the Owner Trustee will not be liable for any error of
judgment made by a Responsible Officer of the Owner Trustee;

                  (b) the Owner Trustee will not be liable with respect to any
action taken or omitted to be taken by it in accordance with the instructions of
the Instructing Party, the Servicer or the Majority Certificateholders;

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

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

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

                  (f) the Owner Trustee will not be liable for the default or
misconduct of the Security Insurer, the Administrator, the Indenture Trustee, or
the Servicer under any of the Basic Documents or otherwise and the Owner Trustee
has no obligation or liability to perform the obligations under the Basic
Documents that are required to be performed by the Administrator, the Indenture
Trustee or the Servicer under the Sale and Servicing Agreement; and

                  (g) the Owner Trustee will be under no obligation to exercise
any of the rights or powers vested in it by this Agreement, or to institute,
conduct or defend any litigation under this Agreement or otherwise or in
relation to this Agreement or any Basic Document, at the request, order or
direction of the Instructing Party or the Majority Certificateholders, unless
such Instructing Party or Majority Certificateholders has offered to the Owner
Trustee security or

                                       17
<PAGE>
indemnity satisfactory to it against the costs, expenses and liabilities that
may be incurred by the Owner Trustee therein or thereby. The right of the Owner
Trustee to perform any discretionary act enumerated in this Agreement or in any
Basic Document will not be construed as a duty, and the Owner Trustee will not
be answerable for other than its gross negligence, bad faith or willful
misconduct in the performance of any such act.

         With respect to the Security Insurer or Instructing Party, the Owner
Trustee undertakes to perform or observe only such of the covenants and
obligations of the Owner Trustee as are expressly set forth in this Agreement,
and no implied covenants or obligations with respect to the Security Insurer or
Instructing Party shall be read into the Basic Documents against the Owner
Trustee. The Owner Trustee shall not be deemed to owe any fiduciary duty to the
Security Insurer or Instructing Party, and shall not be liable to any such
person for the failure of the Trust to perform its obligations to such persons
other than as a result of the gross negligence or willful misconduct of the
Owner Trustee in the performance of its express obligations under this
Agreement.

         Section 6.2. Furnishing of Documents. The Owner Trustee will furnish to
a Certificateholder promptly upon receipt of a written request therefor,
duplicates or copies of all reports, notices, requests, demands, certificates,
financial statements and any other instruments furnished to the Owner Trustee
under the Basic Documents.

         Section 6.3. Representations and Warranties. The Owner Trustee hereby
represents and warrants to the Depositor, the Holder and the Security Insurer
(which will have relied on such representations and warranties in issuing the
Note Policy), that:

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

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

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

                  (d) This Agreement constitutes a legal, valid and binding
obligation of the Owner Trustee, enforceable against the Owner Trustee in
accordance with its terms, subject as to enforceability to applicable
bankruptcy, insolvency, reorganization, conservatorship, receivership,
liquidation and other similar laws affecting enforcement of the rights of
creditors of banks generally and to equitable limitations on the availability of
specific remedies.

                                       18
<PAGE>
         Section 6.4. Reliance; Advice of Counsel.

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

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

         Section 6.5. Not Acting in Individual Capacity. Except as provided in
this Article VI, in accepting the trust hereby created [Owner Trustee] acts
solely as Owner Trustee hereunder and not in its individual capacity and all
Persons having any claim against the Owner Trustee by reason of the transactions
contemplated by this Agreement or any Basic Document will look only to the Owner
Trust Estate for payment or satisfaction thereof.

         Section 6.6. Owner Trustee Not Liable for Certificates or Receivables.
The recitals contained herein and in the Certificates (other than the signature
and countersignature of the Owner Trustee on the Certificates) will be taken as
the statements of the Certificateholders and the Owner Trustee assumes no
responsibility for the correctness thereof. The Owner Trustee makes no
representations as to the validity or sufficiency of this Agreement, of any
Basic Document or of any Certificate (other than the signature and
countersignature of the Owner Trustee on any Certificate) or the Notes, or of
any Receivable or related documents. The Owner Trustee will at no time have any
responsibility or liability for or with respect to the legality, validity and
enforceability of any Receivable, or the perfection and priority of any security
interest created by any Receivable in any Financed Vehicle or the maintenance of
any such perfection and priority, or for or with respect to the sufficiency of
the Owner Trust Estate or its ability to generate the payments to be distributed
to Certificateholders under this Agreement or the Noteholders under the
Indenture, including: the existence, condition and ownership of any Financed
Vehicle; the existence and enforceability of any insurance thereon; the
existence and contents of any Receivable on any computer or other record
thereof; the validity of the assignment of any Receivable to the Trust or of any
intervening assignment; the completeness of

                                       19
<PAGE>
any Receivable; the performance or enforcement of any Receivable; the compliance
by the Depositor, the Servicer or any other Person with any warranty or
representation made under any Basic Document or in any related document or the
accuracy of any such warranty or representation or any action of the Indenture
Trustee or the Servicer or any subservicer taken in the name of the Owner
Trustee.

         Section 6.7. Owner Trustee May Own Notes. The Owner Trustee in its
individual or any other capacity may become the owner or pledgee of the Notes
and may deal with the Depositor, the Indenture Trustee and the Servicer in
banking transactions with the same rights as it would have if it were not Owner
Trustee.

         Section 6.8. Payments from Owner Trust Estate. All payments to be made
by the Owner Trustee under any of the Basic Documents to which the Trust or the
Owner Trustee is a party will be made only from the income and proceeds of the
Owner Trust Estate and only to the extent that the Trust will have received
income or proceeds from the Owner Trust Estate to make such payments in
accordance with the terms hereof. [Owner Trustee], or any successor thereto, in
its individual capacity, will not be liable for any amounts payable under any of
the Basic Documents to which the Trust or the Owner Trustee is a party.

         Section 6.9. Doing Business in Other Jurisdictions. Notwithstanding
anything contained herein to the contrary, neither [Owner Trustee] or any
successor thereto, nor the Owner Trustee will be required to take any action in
any jurisdiction other than in the State of Delaware if the taking of such
action will, even after the appointment of a co-trustee or separate trustee in
accordance with Section 9.5 hereof, (a) require the consent or approval or
authorization or order of or the giving of notice to, or the registration with
or the taking of any other action in respect of, any state or other governmental
authority or agency of any jurisdiction other than the State of Delaware; (b)
result in any fee, tax or other governmental charge under the laws of the State
of Delaware becoming payable by [Owner Trustee] (or any successor thereto); or
(c) subject [Owner Trustee] (or any successor thereto) to personal jurisdiction
in any jurisdiction other than the State of Delaware for causes of action
arising from acts unrelated to the consummation of the transactions by [Owner
Trustee] (or any successor thereto) or the Owner Trustee, as the case may be,
contemplated hereby.

         Section 6.10. Legal Proceedings. As required by Regulation AB, the
Owner Trustee will promptly notify the Servicer, the Depositor and the Issuer of
the commencement or, if applicable, the termination of any and all legal
proceedings of which any property of the Owner Trustee is the subject, that is
material to the [Class A] Noteholders (as defined in the Indenture) and any such
proceedings known to be contemplated by governmental authorities. In addition,
the Owner Trustee will furnish to the Servicer, the Depositor and the Issuer, in
writing, the necessary disclosure describing such proceedings required to be
disclosed under Item 1117 of Regulation AB, for inclusion in reports filed
pursuant to the Exchange Act.

                                  ARTICLE VII.
                          COMPENSATION OF OWNER TRUSTEE

         Section 7.1. Owner Trustee's Fees and Expenses. The Owner Trustee will
receive as compensation for its services hereunder such fees as have been
separately agreed upon before the

                                       20
<PAGE>
date hereof between Triad and the Owner Trustee, and the Owner Trustee will be
entitled to be reimbursed by Triad for its other reasonable expenses hereunder,
including the reasonable compensation, expenses and disbursements of such
agents, representatives, experts and counsel as the Owner Trustee may employ in
connection with the exercise and performance of its rights and its duties
hereunder and under the Basic Documents.

         Section 7.2. Indemnification. Triad will indemnify the Owner Trustee
and its officers, directors, employees, successors, assigns, agents and servants
(collectively, the "Indemnified Parties") from and against, any and all costs,
expenses, losses, damages, claims and liabilities (collectively, "Expenses"),
arising out of or resulting from the Basic Documents, the Owner Trust Estate,
the administration of the Owner Trust Estate or the action or inaction of the
Owner Trustee hereunder, except that Triad will not be liable for or required to
indemnify the Owner Trustee from and against Expenses (i) arising or resulting
from any of the matters described in the third sentence of Section 6.1 and (ii)
constituting federal, state or other taxes arising out of any fees paid to the
Owner Trustee pursuant to the Basic Documents.

         Indemnification under this Section 7.2 will include reasonable fees and
expenses of counsel and expenses of litigation and the indemnities contained in
this Section 7.2 and the rights under Section 7.1 will survive the resignation
or termination of the Owner Trustee or the termination of this Agreement. In any
event of any claim, action or proceeding for which indemnity will be sought
pursuant to this Section 7.2, the Owner Trustee's choice of legal counsel will
be subject to the approval of Triad which approval will not be unreasonably
withheld.

         Section 7.3. Payments to the Owner Trustee. Any amounts paid to the
Owner Trustee pursuant to this Article VII will be deemed not to be a part of
the Owner Trust Estate immediately after such payment.

         Section 7.4. Non-recourse Obligations. Notwithstanding anything in this
Agreement or any Basic Document, the Owner Trustee agrees in its individual
capacity and in its capacity as Owner Trustee for the Trust that all obligations
of the Trust to the Owner Trustee individually or as Owner Trustee for the Trust
will be with recourse to the Owner Trust Estate only and specifically will be
without recourse to the assets of the Holders.

                                  ARTICLE VIII.
                         TERMINATION OF TRUST AGREEMENT

         Section 8.1. Termination of Trust Agreement.

                  (a) This Agreement and the Trust will terminate in accordance
with Section 3808 of the Statutory Trust Statute and be of no further force or
effect upon the later of (i) the maturity or other liquidation of the last
Receivable (including the purchase by the Servicer at its option of the corpus
of the Trust as described in Section 10.1 of the Sale and Servicing Agreement)
and the subsequent distribution of amounts in respect of such Receivables as
provided in the Basic Documents, or (ii) the payment to the Certificateholders
of all amounts required to be paid to them pursuant to this Agreement and the
payment to the Security Insurer of all amounts payable or reimbursable to them
pursuant to the Sale and Servicing Agreement;

                                       21
<PAGE>
provided, however, that the rights to indemnification under Section 7.2 and the
rights under Section 7.1 will survive the termination of the Trust. Triad or the
Servicer will promptly notify the Owner Trustee and the Security Insurer of any
prospective termination pursuant to this Section 8.1. The bankruptcy,
liquidation, dissolution, death or incapacity of any Certificateholder will not
(x) operate to terminate this Agreement or the Trust, nor (y) entitle such
Certificateholder's legal representatives or heirs to claim an accounting or to
take any action or proceeding in any court for a partition or winding up of all
or any part of the Trust or Owner Trust Estate nor (z) otherwise affect the
rights, obligations and liabilities of the parties hereto.

                  (b) Neither the Depositor nor the Certificateholders will be
entitled to revoke or terminate the Trust.

                  (c) Notice of any termination of the Trust, specifying the
Distribution Date upon which each Certificateholder will surrender its
Certificate to the Owner Trustee for payment of the final distribution, if any,
and cancellation, will be given by the Owner Trustee by letter to the
Certificateholders mailed within five Business Days of receipt of notice of such
termination from the Servicer given pursuant to Section 10.1(c) of the Sale and
Servicing Agreement, stating (i) the Distribution Date upon or with respect to
which final payment of each Certificate will be made upon presentation and
surrender of such Certificate at the office of the Owner Trustee therein
designated, (ii) the amount of any such final payment and (iii) that the Record
Date otherwise applicable to such Distribution Date is not applicable, payments
being made only upon presentation and surrender of such Certificate at the
office of the Owner Trustee therein specified. The Owner Trustee will give such
notice to the Indenture Trustee at the time such notice is given to the
Certificateholders. Upon presentation and surrender of a Certificate, the Owner
Trustee will instruct the Indenture Trustee to cause to be distributed to the
Certificateholders thereof amounts distributable on such Distribution Date
pursuant to Section 5.7 of the Sale and Servicing Agreement.

                  If a Certificateholder does not surrender its Certificate for
cancellation within six months after the date specified in the above mentioned
written notice, the Owner Trustee will give a second written notice to such
Certificateholder to surrender its Certificate for cancellation and receive the
final distribution with respect thereto. If within one year after the second
notice the Certificate will not have been surrendered for cancellation, the
Owner Trustee may take appropriate steps, or may appoint an agent to take
appropriate steps, to contact such Certificateholder concerning surrender of its
Certificate, and the cost thereof will be paid out of the funds and other assets
that will remain subject to this Agreement. Any funds remaining in the Trust
after exhaustion of such remedies will be distributed, subject to applicable
escheat laws, by the Owner Trustee to the Certificateholders.

                  (d) Upon the completion of the winding up of the Trust in
accordance with Section 3808 of the Statutory Trust Statute and its termination,
the Owner Trustee will cause the Certificate of Trust to be canceled by filing a
certificate of cancellation with the Secretary of State in accordance with the
provisions of Section 3810 of the Statutory Trust Statute.

                                       22
<PAGE>
                                   ARTICLE IX.
             SUCCESSOR OWNER TRUSTEES AND ADDITIONAL OWNER TRUSTEES

         Section 9.1. Eligibility Requirements for Owner Trustee. The Owner
Trustee will at all times be a corporation (i) satisfying the provisions of
Section 3807(a) of the Statutory Trust Statute; (ii) authorized to exercise
corporate trust powers; (iii) having a combined capital and surplus of at least
$50,000,000 and subject to supervision or examination by federal or state
authorities; and (iv) acceptable to the Security Insurer in its sole discretion
(so long as an Insurer Default will not have occurred and be continuing). If
such corporation will publish reports of condition at least annually, pursuant
to law or to the requirements of the aforesaid supervising or examining
authority, then for the purpose of this Section 9.1, the combined capital and
surplus of such corporation will be deemed to be its combined capital and
surplus as set forth in its most recent report of condition so published. In
case at any time the Owner Trustee will cease to be eligible in accordance with
the provisions of this Section 9.1, the Owner Trustee will resign immediately in
the manner and with the effect specified in Section 9.2.

         Section 9.2. Resignation or Removal of Owner Trustee. The Owner Trustee
may at any time resign and be discharged from the trusts hereby created by
giving written notice thereof to the Depositor, the Security Insurer, the
Administrator and the Servicer. Upon receiving such notice of resignation, the
Administrator will promptly appoint a successor Owner Trustee by written
instrument, in duplicate, one copy of which instrument will be delivered to the
resigning Owner Trustee and one copy to the successor Owner Trustee, provided
that the Administrator has received written confirmation from each of the Rating
Agencies that the proposed appointment will not result in an increased capital
charge to the Security Insurer by either of the Rating Agencies. If no successor
Owner Trustee has been so appointed and has accepted appointment within 30 days
after the giving of such notice of resignation, the resigning Owner Trustee or
the Security Insurer may petition any court of competent jurisdiction for the
appointment of a successor Owner Trustee.

         If at any time the Owner Trustee will cease to be eligible in
accordance with the provisions of Section 9.1 and will fail to resign after
written request therefor by the Administrator, or if at any time the Owner
Trustee will be legally unable to act, or will be adjudged bankrupt or
insolvent, or a receiver of the Owner Trustee or of its property will be
appointed, or any public officer will take charge or control of the Owner
Trustee or of its property or affairs for the purpose of rehabilitation,
conservation or liquidation, then the Administrator with the consent of the
Security Insurer (so long as an Insurer Default will not have occurred and be
continuing) may remove the Owner Trustee. If the Administrator removes the Owner
Trustee under the authority of the immediately preceding sentence, the
Administrator will promptly appoint a successor Owner Trustee by written
instrument, in duplicate, one copy of which instrument will be delivered to the
outgoing Owner Trustee so removed, one copy to the Security Insurer and one copy
to the successor Owner Trustee and payment of all fees owed to the outgoing
Owner Trustee.

         Any resignation or removal of the Owner Trustee and appointment of a
successor Owner Trustee pursuant to any of the provisions of this Section 9.2
will not become effective until acceptance of appointment by the successor Owner
Trustee pursuant to Section 9.3 and payment

                                       23
<PAGE>
of all fees and expenses owed to the outgoing Owner Trustee. The Administrator
will provide notice of such resignation or removal of the Owner Trustee to each
of the Rating Agencies.

         Section 9.3. Successor Owner Trustee. Any successor Owner Trustee
appointed pursuant to Section 9.2 will execute, acknowledge and deliver to the
Depositor, the Servicer, the Administrator, the Security Insurer and to its
predecessor Owner Trustee an instrument accepting such appointment under this
Agreement, and thereupon the resignation or removal of the predecessor Owner
Trustee will become effective and such successor Owner Trustee, without any
further act, deed or conveyance, will become fully vested with all the rights,
powers, duties and obligations of its predecessor under this Agreement, with
like effect as if originally named as Owner Trustee. The predecessor Owner
Trustee will upon payment of its fees and expenses deliver to the successor
Owner Trustee all documents and statements and monies held by it under this
Agreement; and the Depositor, the Administrator and the predecessor Owner
Trustee will execute and deliver such instruments and do such other things as
may reasonably be required for fully and certainly vesting and confirming in the
successor Owner Trustee all such rights, powers, duties and obligations.

         No successor Owner Trustee will accept appointment as provided in this
Section 9.3 unless at the time of such acceptance such successor Owner Trustee
will be eligible pursuant to Section 9.1.

         Upon acceptance of appointment by a successor Owner Trustee pursuant to
this Section 9.3, the Administrator will mail notice of the successor of such
Owner Trustee to the Certificateholders, the Indenture Trustee, the Noteholders
and the Rating Agencies. If the Administrator fails to mail such notice within
10 days after acceptance of appointment by the successor Owner Trustee, the
successor Owner Trustee will cause such notice to be mailed at the expense of
the Administrator.

         Section 9.4. Merger or Consolidation of Owner Trustee. Any corporation
into which the Owner Trustee may be merged or converted or with which it may be
consolidated, or any corporation resulting from any merger, conversion or
consolidation to which the Owner Trustee will be a party, or any corporation
succeeding to all or substantially all of the corporate trust business of the
Owner Trustee, will be the successor of the Owner Trustee hereunder, provided
such corporation will be eligible pursuant to Section 9.1, without the execution
or filing of any instrument or any further act on the part of any of the parties
hereto, anything herein to the contrary notwithstanding; provided further that
the Owner Trustee will mail notice of such merger or consolidation to the Rating
Agencies.

         Section 9.5. Appointment of Co-Trustee or Separate Trustee.
Notwithstanding any other provisions of this Agreement, at any time, for the
purpose of meeting any legal requirements of any jurisdiction in which any part
of the Owner Trust Estate or any Financed Vehicle may at the time be located,
the Servicer and the Owner Trustee acting jointly have the power and will
execute and deliver all instruments to appoint one or more Persons approved by
the Owner Trustee and the Security Insurer to act as co-trustee, jointly with
the Owner Trustee, or separate trustee or separate trustees, of all or any part
of the Owner Trust Estate, and to vest in such Person, in such capacity, such
title to the Trust, or any part thereof, and, subject to the other provisions of
this Section 9.5, such powers, duties, obligations, rights and trusts as the
Servicer

                                       24
<PAGE>
and the Owner Trustee may consider necessary or desirable. If the Servicer has
not joined in such appointment within 15 days after the receipt by it of a
request so to do, the Owner Trustee subject (unless an Insurer Default has
occurred and is continuing) to the approval of the Security Insurer (which
approval will not be unreasonably withheld) has the power to make such
appointment. No co-trustee or separate trustee under this Agreement will be
required to meet the terms of eligibility as a successor trustee pursuant to
Section 9.1 and no notice of the appointment of any co-trustee or separate
trustee will be required pursuant to Section 9.3.

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

                  (a) all rights, powers, duties and obligations conferred or
imposed upon the Owner Trustee will be conferred upon and exercised or performed
by the Owner 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 Owner Trustee joining in such act), except to the extent
that under any law of any jurisdiction in which any particular act or acts are
to be performed, the Owner Trustee will be incompetent or unqualified to perform
such act or acts, in which event such rights, powers, duties and obligations
(including the holding of title to the Trust or any portion thereof in any such
jurisdiction) will be exercised and performed singly by such separate trustee or
co-trustee, but solely at the direction of the Owner Trustee;

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

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

         Any notice, request or other writing given to the Owner Trustee will 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 will refer to this Agreement and the conditions
of this Article IX. Each separate trustee and co-trustee, upon its acceptance of
the trusts conferred, will be vested with the estates or property specified in
its instrument of appointment, either jointly with the Owner Trustee or
separately, as may be provided therein, subject to all the provisions of this
Agreement, specifically including every provision of this Agreement relating to
the conduct of, affecting the liability of, or affording protection to, the
Owner Trustee. Each such instrument will be filed with the Owner Trustee and a
copy thereof given to the Servicer and the Security Insurer.

         Any separate trustee or co-trustee may at any time appoint the Owner
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
Agreement on its behalf and in its name. If any separate trustee or co-trustee
should die, become incapable of acting, resign or be removed, all of its
estates, properties, rights, remedies and trusts will vest in and be exercised
by the Owner Trustee, to the extent permitted by law, without the appointment of
a new or successor trustee.

                                       25
<PAGE>
                                   ARTICLE X.
                                  MISCELLANEOUS

         Section 10.1. Supplements and Amendments.

                  (a) This Agreement may be amended by the Depositor, the
Administrator and the Owner Trustee, with the prior written consent of the
Security Insurer (so long as an Insurer Default will not have occurred and be
continuing) and with prior written notice to the Rating Agencies, without the
consent of any of the Noteholders or the Certificateholders, (i) to cure any
ambiguity or defect or (ii) to correct, supplement or modify any provisions in
this Agreement; provided, however, that such action will not, as evidenced by an
Opinion of Counsel which may be based upon a certificate of the Servicer,
adversely affect in any material respect the interests of any Noteholder or
Certificateholder.

                  (b) This Agreement may also be amended from time to time, with
the prior written consent of the Security Insurer (so long as an Insurer Default
will not have occurred and be continuing), by the Depositor, the Administrator
and the Owner Trustee, with prior written notice to the Rating Agencies, to the
extent such amendment materially and adversely affects the interests of the
Noteholders, with the consent of the Noteholders evidencing not less than a
majority of the Outstanding Amount of the Notes, and the consent of the Majority
Certificateholders (which consent of any Certificateholder or Noteholder given
pursuant to this Section 10.1(b) or pursuant to any other provision of this
Agreement will be conclusive and binding on such Certificateholder or
Noteholder) 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, subject to the express rights of the Security Insurer under the
Basic Documents, no such amendment will (i) increase or reduce in any manner the
amount of, or accelerate or delay the timing of, collections of payments on
Receivables or distributions that will be required to be made for the benefit of
the Noteholders or the Certificateholders or (ii) reduce the aforesaid
percentage of the Outstanding Amount of the Notes and aforesaid percentage of
the Certificateholders required to consent to any such amendment, without the
consent of the Holders of all the outstanding Notes and Certificates.

                  Promptly after the execution of any such amendment or consent,
the Owner Trustee will furnish written notification of the substance of such
amendment or consent to the Certificateholders, the Indenture Trustee and each
of the Rating Agencies.

                  It will not be necessary for the consent of the
Certificateholders, the Noteholders or the Indenture Trustee pursuant to this
Section 10.1(b) to approve the particular form of any proposed amendment or
consent, but it will be sufficient if such consent will approve the substance
thereof. The manner of obtaining such consents (and any other consents of the
Certificateholders provided for in this Agreement or in any other Basic
Document) and of evidencing the authorization of the execution thereof by the
Certificateholders will be subject to such reasonable requirements as the Owner
Trustee may prescribe. Promptly after the execution of any amendment to the
Certificate of Trust, the Owner Trustee will cause the filing of such amendment
with the Secretary of State.

                                       26
<PAGE>
                  Prior to the execution of any amendment to this Agreement or
the Certificate of Trust, the Owner Trustee will be entitled to receive and rely
upon an Opinion of Counsel stating that the execution of such amendment is
authorized or permitted by this Agreement and that all conditions precedent to
the execution and delivery of such amendment have been satisfied. The Owner
Trustee may, but will 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 10.2. No Legal Title to Owner Trust Estate in
Certificateholders. No Certificateholder will have legal title to any part of
the Owner Trust Estate. The Certificateholders will be entitled to receive
distributions in accordance with Article VIII. No transfer, by operation of law
or otherwise, of any right, title or interest of a Certificateholder to and in
its ownership interest in the Owner Trust Estate will operate to terminate this
Agreement or the trust hereunder or entitle any transferee to an accounting or
to the transfer to it of legal title to any part of the Owner Trust Estate.

         Section 10.3. Limitations on Rights of Others. The provisions of this
Agreement are solely for the benefit of the Owner Trustee, the Depositor, the
Certificateholders, the Servicer and, to the extent expressly provided herein,
the Security Insurer, the Indenture Trustee and the Noteholders, and nothing in
this Agreement, whether express or implied, will be construed to give to any
other Person any legal or equitable right, remedy or claim in the Owner Trust
Estate or under or in respect of this Agreement or any covenants, conditions or
provisions contained herein.

         Section 10.4. Notices.

                  (a) All demands, notices and communications hereunder will be
in writing and will be deemed to have been duly given to the addressee if
mailed, by first-class registered mail, postage prepaid service, confirmed
facsimile transmission, or a nationally recognized express courier, as follows:

                  If to the Administrator:

                            Triad Financial Corporation
                            7711 Center Avenue, Suite 100
                            Huntington Beach, CA  92647
                            Attention:    Chief Financial Officer

                  If to the Owner Trustee:

                              [_________________]
                              [_________________]
                              [_________________]
                              [_________________]
                              [_________________]

                                       27
<PAGE>
                  If to the Depositor:

                            Triad Financial Special Purpose LLC
                            7711 Center Avenue, Suite 390
                            Huntington Beach, CA  92647
                            Attention:    Chief Financial Officer

                  [If to the Security Insurer:

                              [_________________]
                              [_________________]
                              [_________________]

(in each case in which notice or other communication to the Security Insurer
refers to an Event of Default, a claim on the Note Policy or with respect to
which failure on the part of the Security Insurer to respond will be deemed to
constitute consent or acceptance, then a copy of such notice or other
communication should also be sent to the attention of the General Counsel and
the Head-Financial Guaranty Group "URGENT MATERIAL ENCLOSED"); or, as to each
party, at such other address as will be designated by such party in a written
notice to each other party. Any such demand, notice or communication hereunder
will be deemed to have been received on the date delivered to or received at the
premises of the addressee as evidenced by the date noted on the return receipt.

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

         Section 10.5. Severability. Any provision of this Agreement that is
prohibited or unenforceable in any jurisdiction will, as to such jurisdiction,
be ineffective to the extent of such prohibition or unenforceability without
invalidating the remaining provisions hereof, and any such prohibition or
unenforceability in any jurisdiction will not invalidate or render unenforceable
such provision in any other jurisdiction.

         Section 10.6. Separate Counterparts. This Agreement may be executed by
the parties hereto in separate counterparts, each of which when so executed and
delivered will be an original, but all such counterparts will together
constitute but one and the same instrument.

         Section 10.7. Assignments. This Agreement will inure to the benefit of
and be binding upon the parties hereto and their respective successors and
permitted assigns.

         Section 10.8. No Recourse. Each Certificateholder by accepting a
Certificate acknowledges that a Certificate represents a beneficial interest in
the Trust only and does not represent interests in or obligations of the
Depositor, the Servicer, the Owner Trustee, the Indenture Trustee, the Security
Insurer or any Affiliate thereof and no recourse may be had against such parties
or their assets, except as may be expressly set forth or contemplated in the
Certificates or the Basic Documents.

                                       28
<PAGE>
         Section 10.9. No Petition. To the fullest extent permitted by
applicable law, the Owner Trustee and the Administrator, by entering into this
Agreement, each Certificateholder, by accepting a Certificate, and the Indenture
Trustee and each Noteholder, by accepting the benefits of this Agreement, each
hereby covenants and agrees that it will not at any time institute against the
Depositor or the Issuer, or join in any institution against the Depositor or the
Issuer, of 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
Certificates, the Notes or any of the Basic Documents.

         Section 10.10. Headings. The headings of the various Articles and
Sections herein are for convenience of reference only and will not define or
limit any of the terms or provisions hereof.

         Section 10.11. GOVERNING LAW. THIS AGREEMENT WILL BE GOVERNED BY, AND
CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF DELAWARE, WITHOUT
REFERENCE TO ITS CONFLICT OF LAW PROVISIONS, AND THE OBLIGATIONS, RIGHTS AND
REMEDIES OF THE PARTIES HEREUNDER WILL BE DETERMINED IN ACCORDANCE WITH SUCH
LAWS.

         Section 10.12. Administrator. The Administrator is authorized to
prepare, or cause to be prepared, execute and deliver on behalf of the Trust all
such documents, reports, filings, instruments, certificates and opinions as it
will be the duty of the Trust or Owner Trustee to prepare, file or deliver
pursuant to the Basic Documents. Upon written request, the Owner Trustee will
execute and deliver to the Administrator a limited power of attorney appointing
the Administrator the Trust's agent and attorney-in-fact to prepare, or cause to
be prepared, execute and deliver all such documents, reports, filings,
instruments, certificates and opinions.

                  [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK.]

                                       29
<PAGE>
         IN WITNESS WHEREOF, the parties hereto have caused this Trust Agreement
to be duly executed by their respective officers hereunto duly authorized, as of
the day and year first above written.

                                       [OWNER TRUSTEE]
                                            Owner Trustee

                                       By:______________________________________
                                       Name:
                                       Title:

                                       TRIAD FINANCIAL SPECIAL PURPOSE LLC
                                            Depositor

                                       By:______________________________________
                                       Name:
                                       Title:

                                       TRIAD FINANCIAL CORPORATION
                                            Administrator

                                       By:______________________________________
                                       Name:
                                       Title:
<PAGE>
                                                                       EXHIBIT A

NUMBER
R-1

                       SEE REVERSE FOR CERTAIN DEFINITIONS

                      THIS CERTIFICATE IS NOT TRANSFERABLE,
                       EXCEPT UNDER THE LIMITED CONDITIONS
                        SPECIFIED IN THE TRUST AGREEMENT

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

                            ASSET BACKED CERTIFICATE

evidencing a beneficial ownership interest in certain distributions of the
Trust, as defined below, the property of which includes a pool of retail
installment sale contracts secured by new and used automobiles and light duty
trucks.

         THIS CERTIFICATE HAS NOT BEEN AND WILL NOT BE REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT"), OR THE APPLICABLE
SECURITIES LAWS OF ANY STATE. ACCORDINGLY, TRANSFER OF THIS CERTIFICATE IS
SUBJECT TO CERTAIN RESTRICTIONS SET FORTH IN SECTION 3.4 OF THE TRUST AGREEMENT.
BY ITS ACCEPTANCE OF THIS CERTIFICATE THE HOLDER OF THIS CERTIFICATE HAS
REPRESENTED TO THE ISSUER AND THE OWNER TRUSTEE THAT IT IS A "QUALIFIED
INSTITUTIONAL BUYER" AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT ("RULE
144A") AND IS ACQUIRING THIS CERTIFICATE FOR ITS OWN ACCOUNT (AND NOT FOR THE
ACCOUNT OF OTHERS) OR AS A FIDUCIARY OR AGENT FOR OTHERS (WHICH OTHERS ALSO ARE
QUALIFIED INSTITUTIONAL BUYERS).

         NO SALE, PLEDGE OR OTHER TRANSFER OF THIS CERTIFICATE MAY BE MADE BY
ANY PERSON UNLESS (I) SUCH SALE, PLEDGE OR OTHER TRANSFER IS MADE PURSUANT TO AN
EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT AND ANY APPLICABLE
STATE SECURITIES LAWS OR IS EXEMPT FROM THE REGISTRATION REQUIREMENTS UNDER THE
SECURITIES ACT AND SUCH STATE SECURITIES LAWS, (II) SO LONG AS THIS CERTIFICATE
IS ELIGIBLE FOR RESALE PURSUANT TO RULE 144A, SUCH SALE, PLEDGE OR OTHER
TRANSFER IS MADE TO A PERSON WHO THE TRANSFEROR REASONABLY BELIEVES AFTER DUE
INQUIRY IS A "QUALIFIED INSTITUTIONAL BUYER" (AS DEFINED IN RULE 144A), ACTING
FOR ITS OWN ACCOUNT (AND NOT FOR THE ACCOUNT OF OTHERS) OR AS A FIDUCIARY OR
AGENT FOR OTHERS (WHICH OTHERS ALSO ARE QUALIFIED INSTITUTIONAL BUYERS) TO WHOM
NOTICE IS GIVEN THAT THE SALE, PLEDGE OR TRANSFER IS BEING MADE IN RELIANCE ON
RULE 144A, OR (III) SUCH SALE, PLEDGE OR OTHER TRANSFER IS OTHERWISE MADE IN A
TRANSACTION EXEMPT FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, IN
WHICH CASE (A) THE OWNER TRUSTEE WILL REQUIRE THAT BOTH THE PROSPECTIVE
TRANSFEROR AND THE PROSPECTIVE

                                      A-1
<PAGE>
TRANSFEREE CERTIFY TO THE OWNER TRUSTEE AND THE ISSUER IN WRITING THE FACTS
SURROUNDING SUCH TRANSFER, WHICH CERTIFICATION WILL BE IN FORM AND SUBSTANCE
SATISFACTORY TO THE OWNER TRUSTEE AND THE ISSUER, AND (B) THE OWNER TRUSTEE MAY
REQUIRE A WRITTEN OPINION OF COUNSEL (WHICH WILL NOT BE AT THE EXPENSE OF THE
ISSUER OR THE OWNER TRUSTEE) SATISFACTORY TO THE ISSUER AND THE OWNER TRUSTEE TO
THE EFFECT THAT SUCH TRANSFER WILL NOT VIOLATE THE SECURITIES ACT. NO SALE,
PLEDGE OR OTHER TRANSFER MAY BE MADE TO ANY ONE PERSON FOR CERTIFICATES WITH A
BENEFICIAL INTEREST OF LESS THAN 5%.

         NO TRANSFER OF THIS CERTIFICATE WILL BE PERMITTED TO BE MADE TO ANY
PERSON UNLESS THE OWNER TRUSTEE HAS RECEIVED A CERTIFICATE FROM SUCH TRANSFEREE
TO THE EFFECT THAT THE TRANSFEREE IS NOT AND IS NOT ACTING ON BEHALF OF OR
INVESTING THE ASSETS OF (A) AN "EMPLOYEE BENEFIT PLAN" (AS DEFINED IN SECTION
3(3) OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED
("ERISA")) THAT IS SUBJECT TO THE PROVISIONS OF TITLE I OF ERISA, (B) A "PLAN"
(AS DEFINED IN SECTION 4975(e)(1) OF THE INTERNAL REVENUE CODE OF 1986, AS
AMENDED (THE "CODE")) THAT IS SUBJECT TO SECTION 4975 OF THE CODE OR (C) ANY
ENTITY WHOSE UNDERLYING ASSETS INCLUDE ASSETS OF A PLAN DESCRIBED IN (A) OR (B)
ABOVE BY REASON OF SUCH PLAN'S INVESTMENT IN THE ENTITY (INCLUDING, WITHOUT
LIMITATION, AN INSURANCE COMPANY GENERAL ACCOUNT). EACH TRANSFEREE OF A
BENEFICIAL INTEREST IN THIS CERTIFICATE WILL BE DEEMED TO HAVE MADE THE
FOREGOING REPRESENTATION.

(THIS CERTIFICATE DOES NOT REPRESENT AN INTEREST IN OR OBLIGATION OF TRIAD
FINANCIAL SPECIAL PURPOSE LLC OR ANY OF ITS AFFILIATES.)

         THIS CERTIFIES THAT [_______________] is the registered owner of a
nonassessable, fully-paid, beneficial ownership interest in certain
distributions of Triad Automobile Receivables Trust 200_-_ (the "Trust") formed
by Triad Financial Special Purpose LLC, a Delaware limited liability company
(the "Depositor").

         The Trust was created pursuant to a Trust Agreement dated ___________,
200_, as amended and restated as of ________, 200_ (the "Trust Agreement"),
among the Depositor, Triad Financial Corporation (the "Administrator") and
[Owner Trustee], as owner trustee (the "Owner Trustee"), a summary of certain of
the pertinent provisions of which is set forth below. To the extent not
otherwise defined herein, the capitalized terms used herein have the meanings
assigned to them in the Trust Agreement.

         This is one of the duly authorized Certificates designated as "Asset
Backed Certificates" (herein called the "Certificate"). Also issued under the
Indenture, dated as of _______, 200_, between the Trust and [Indenture Trustee],
as indenture trustee, are [five] classes of Notes designated as "[Class A-1
____% Asset Backed Notes]", "[Class A-2 ____% Asset Backed Notes]", "[Class A-3
____% Asset Backed Notes]", "[Class A-4 ____% Asset Backed Notes]" and the
"Class B ____% Asset Backend Notes" (the "Class B Notes"). This Certificate is
issued under and is subject to the terms, provisions and conditions of the Trust
Agreement, to which

                                      A-2
<PAGE>
Trust Agreement the holder of this Certificate by virtue of the acceptance
hereof assents and by which such holder is bound. The property of the Trust
includes a pool of retail installment sale contracts secured by new and used
automobiles and light duty trucks (the "Receivables"), all monies due thereunder
after the Cutoff Date, security interests in the vehicles financed thereby,
certain bank accounts and the proceeds thereof, proceeds from claims on certain
insurance policies and certain other rights under the Trust Agreement and the
Sale and Servicing Agreement, and all right, title and interest of the Depositor
in and to the Purchase Agreement dated as of ______, 200_ between Triad
Financial Corporation and the Depositor and all proceeds of the foregoing.

         The holder of this Certificate acknowledges and agrees that its rights
to receive distributions in respect of this Certificate are subordinated to the
rights of the Noteholders [and the Security Insurer] as described in the Sale
and Servicing Agreement, the Indenture and the Trust Agreement, as applicable.

         Distributions on this Certificate will be made as provided in the Trust
Agreement and the Sale and Servicing Agreement by the Indenture Trustee by wire
transfer or check mailed to the Certificateholder without the presentation or
surrender of this Certificate or the making of any notation hereon. Except as
otherwise provided in the Trust Agreement or the Sale and Servicing Agreement
and notwithstanding the above, the final distribution on this Certificate will
be made after due notice by the Owner Trustee of the pendency of such
distribution and only upon presentation and surrender of this Certificate at the
office or agency maintained for the purpose by the Owner Trustee.

         Reference is hereby made to the further provisions of this Certificate
set forth on the reverse hereof, which further provisions will for all purposes
have the same effect as if set forth at this place.

         Unless the certificate of authentication hereon has been executed by an
authorized officer of the Owner Trustee, by manual or facsimile signature, this
Certificate will not entitle the holder hereof to any benefit under the Trust
Agreement or the Sale and Servicing Agreement or be valid for any purpose.

         THIS CERTIFICATE WILL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH,
THE LAWS OF THE STATE OF DELAWARE, WITHOUT REFERENCE TO ITS CONFLICT OF LAW
PROVISIONS, AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER
WILL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS.

                                      A-3
<PAGE>
         IN WITNESS WHEREOF, the Owner Trustee, on behalf of the Trust and not
in its individual capacity, has caused this Certificate to be duly executed.

                                       TRIAD AUTOMOBILE RECEIVABLES TRUST
                                          200_-A

                                       By: [OWNER TRUSTEE],
                                           not in its individual capacity but
                                           soley as Owner Trustee of the Trust

                                       By:_____________________________________
                                          Authorized Signatory

Dated: _______, 200_

                  OWNER TRUSTEE'S CERTIFICATE OF AUTHENTICATION

  This is the Certificate referred to in the within-mentioned Trust Agreement.

<TABLE>
<S>                                               <C>        <C>
[OWNER TRUSTEE],                                  OR         [OWNER TRUSTEE],
not in its individual capacity but solely                    not in its individual capacity but solely
as Owner Trustee of the Trust                                as Owner Trustee of the Trust

By:_______________________________________                   By:______________________________________
     Authenticating Agent                                        Authorized Signatory

By:_______________________________________
     Authorized Signatory
</TABLE>

                                      A-1
<PAGE>
                            (Reverse of Certificate)

         This Certificate does not represent an obligation of, or an interest
in, the Depositor, the Administrator, the Servicer, the Owner Trustee or any
Affiliates of any of them and no recourse may be had against such parties or
their assets, except as may be expressly set forth or contemplated herein or in
the Basic Documents. In addition, this Certificate is not guaranteed by any
governmental agency or instrumentality and is limited in right of payment to
certain collections with respect to the Receivables, all as more specifically
set forth herein and in the Sale and Servicing Agreement. A copy of each of the
Sale and Servicing Agreement and the Trust Agreement may be examined during
normal business hours at the principal office of the Depositor, and at such
other places, if any, designated by the Administrator, by any Certificateholder
upon written request.

         The Trust Agreement permits, with certain exceptions therein provided,
the amendment thereof and the modification of the rights and obligations of the
Depositor under the Trust Agreement at any time by the Depositor, the
Administrator and the Owner Trustee with the consent of the Security Insurer,
the Majority Noteholders and the Majority Certificateholders. Any such consent
by the Holder of this Certificate will be conclusive and binding on such Holder
and on all future Holders of this Certificate and of any Certificate issued upon
the transfer hereof or in exchange hereof or in lieu hereof whether or not
notation of such consent is made upon this Certificate. The Trust Agreement also
permits the amendment thereof, in certain limited circumstances, without the
consent of any Certificateholder.

         As provided in the Trust Agreement and subject to certain limitations
therein set forth, the transfer of this Certificate is registerable in the
Certificate Register upon surrender of this Certificate for registration of
transfer at the offices or agencies of the Certificate Registrar maintained by
the Owner Trustee accompanied by a written instrument of transfer in form
satisfactory to the Owner Trustee and the Certificate Registrar duly executed by
the holder hereof or such holder's attorney duly authorized in writing, and
thereupon a new Certificate evidencing the same aggregate interest in the Trust
will be issued to the designated transferee. The initial Certificate Registrar
appointed under the Trust Agreement is [Owner Trustee]. No service charge will
be made for any such registration of transfer or exchange, but the Owner Trustee
or the Certificate Registrar may require payment of a sum sufficient to cover
any expense, tax or governmental charge payable in connection therewith. The
Owner Trustee may decline to register this Certificate if (1) the registration
of this Certificate in the name of the purchaser or other transferee, in the
reasonable belief of the Owner Trustee, will cause the Trust to be treated as a
publicly traded partnership taxable as a corporation for federal income tax
purposes, or (2) the purchaser or the transferee seeking registration of this
Certificate is not a United States Person (within the meaning of Section
7701(a)(30) of the Code) or fails to deliver to the Owner Trustee satisfactory
evidence of its status as such a United States Person.

         The Owner Trustee, the Security Insurer and any agent of the Owner
Trustee or the Security Insurer may treat the person in whose name this
Certificate is registered as the owner hereof for all purposes, and none of the
Owner Trustee, the Security Insurer nor any such agent will be affected by any
notice to the contrary.

                                      A-2
<PAGE>
         The obligations and responsibilities created by the Trust Agreement and
the Trust created thereby will terminate upon: the later of (i) the maturity or
other liquidation of the last Receivable (including the purchase by the Servicer
at its option of the corpus of the Trust as described in Section 10.1 of the
Sale and Servicing Agreement) and the subsequent distribution of amounts in
respect of such Receivables as provided in the Basic Documents, or (ii) the
payment to the Certificateholders of all amounts required to be paid pursuant to
the Trust Agreement and the payment to the Security Insurer of all amounts
payable or reimbursable to it pursuant to the Sale and Servicing Agreement. The
Servicer may at its option purchase the corpus of the Trust at a price specified
in the Sale and Servicing Agreement, and such purchase of the Receivables and
other property of the Trust will effect early retirement of this Certificate;
however, such right of purchase is exercisable, subject to certain restrictions
in the Sale and Servicing Agreement, only as of the last day of any Collection
Period as of which the Pool Balance is 10% or less of the Original Pool Balance.

         The recitals contained herein will be taken as the statements of the
Trust and the Owner Trustee assumes no responsibility for the correctness
thereof. The Owner Trustee makes no representations as to the validity or
sufficiency of this Certificate or of any Receivable or related document.

Unless the certificate of authentication hereon will have been executed by an
authorized officer of the Owner Trustee, by manual or facsimile signature, this
Certificate will not entitle the Holder hereof to any benefit under the Trust
Agreement or the Sale and Servicing Agreement or be valid for any purpose.

                                      A-3
<PAGE>
                                   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 Certificate, and all rights thereunder, hereby irrevocably
constituting and appointing

____________________ Attorney to transfer said Certificate on the books of the
Certificate Registrar, with full power of substitution in the premises.

Dated:                                 ________________________________________*
                                       Signature

Guaranteed:                            ________________________________________*

_________________________________

*   NOTICE: The signature to this assignment must correspond with the name of
    the registered owner as it appears on the face of the within Certificate in
    every particular, without alteration, enlargement or any change whatever.
    Such signature must be guaranteed by an "eligible guarantor institution"
    meeting the requirements of the Certificate Registrar, which requirements
    include membership or participation in STAMP or such other "signature
    guarantee program" as may be determined by the Certificate Registrar in
    addition to, or in substitution for, STAMP, all in accordance with the
    Securities Exchange Act of 1934, as amended.

                                      A-4
<PAGE>
                                                                       EXHIBIT B

                              CERTIFICATE OF TRUST
                                       OF
                    TRIAD AUTOMOBILE RECEIVABLES TRUST 200_-_

         THIS Certificate of Trust of Triad Automobile Receivables Trust 200_-_
(the "Trust") is being duly executed and filed by the undersigned, as trustee,
to form a statutory trust under the Delaware Statutory Trust Act (12 Del. C.
Section 3801 et seq.) (the "Act").

         1. Name. The name of the statutory trust formed hereby is "Triad
Automobile Receivables Trust 200_-_."

         2. Delaware Trustee. The name and business address of the trustee of
the Trust in the State of Delaware are [Owner Trustee],
____________________________.

         3. Effective Date. This Certificate of Trust shall be effective upon
filing.

         IN WITNESS WHEREOF, the undersigned has duly executed this Certificate
of Trust in accordance with Section 3811(a)(1) of the Act.

                                       [OWNER TRUSTEE]
                                       as trustee

                                       By:______________________________________
                                       Name:
                                       Title:
<PAGE>
                                                                       EXHIBIT C

                    [FORM OF "QUALIFIED INSTITUTIONAL BUYER"
                            TRANSFEREE'S CERTIFICATE]

                                     [DATE]

Triad Automobile Receivables Trust 2005-A
c/o [Owner Trustee], as Owner Trustee

[_____________________]
[_____________________]
[_____________________]
[_____________________]

[Owner Trustee]
[_____________________]
[_____________________]
[_____________________]
[_____________________]

     Re: Triad Automobile Receivables Trust 200_-_, Trust Certificate No. ______
     ---------------------------------------------------------------------------

Dear Sirs:

         In connection with the proposed purchase by the buyer listed below (the
"Buyer") of the above-referenced Trust Certificate (the "Certificate") issued
pursuant to the Trust Agreement, dated as of ________, 200_ (the "Trust
Agreement") among Triad Financial Special Purpose LLC, as depositor (the
"Depositor"), Triad Financial Corporation, as administrator (the
"Administrator") and [Owner Trustee], as trustee and not in its individual
capacity (the "Owner Trustee"), relating to the Triad Automobile Receivables
Trust 200_ - _ Certificate, the Buyer advises you that the Buyer is a "qualified
institutional buyer" as that term is defined in Rule 144A under the Securities
Act of 1933, as amended (the "1933 Act"), and is acquiring beneficial ownership
of the Certificate for its own account or for the account of another "qualified
institutional buyer." In addition to the foregoing, you may rely on the
information provided in Annex 1 or 2, as applicable, attached hereto and
incorporated herein.

         The Buyer understands that the Certificate has not been registered
under the 1933 Act or the securities laws of any state. The Buyer acknowledges
that it has independently conducted such investigation and evaluation of the
merits and the risks involved in an investment in the Certificate and has
received such information (whether from the Depositor, the transferor from which
it proposes to purchase the Certificate, or from any other source) as the Buyer
has deemed necessary and advisable in order to make its investment decision. The
Buyer has had any questions arising from such investigation and evaluation
answered by the Issuer to the satisfaction of the Buyer. The Buyer is a
sophisticated institutional investor, having such knowledge and experience in
financial and business matters generally, and with respect to asset-backed notes
and investments in "non-prime" and "sub-prime" automobile loans specifically,
that it is capable of independently evaluating the merits and risks of
investment in the Certificate. In the normal course of its business, the Buyer
invests in or purchases certificates

                                      C-1
<PAGE>
similar to the Certificate. The Buyer is aware that it may be required to bear
the economic risk of an investment in the Certificate for an indefinite period
of time, and it is able to bear such risk for an indefinite period.

                                       Very truly yours,

                                       [BUYER]

                                       By:______________________________________
                                       Name:
                                       Title:

                                       Taxpayer ID:  ______________________

                                       Name in which Note is to be Registered:

                                       _________________________________________

                                       Address for Notices:

                                       _________________________________________
                                       _________________________________________
                                       _________________________________________

                                       Payment Instructions

                                       _________________________________________
                                       _________________________________________

                                      C-2
<PAGE>
                                                            ANNEX 1 TO EXHIBIT C

            QUALIFIED INSTITUTIONAL BUYER STATUS UNDER SEC RULE 144A

             [FOR BUYERS OTHER THAN REGISTERED INVESTMENT COMPANIES]

         The undersigned hereby certifies as follows to the parties listed in
the "Qualified Institutional Buyer" Transferee's Certificate to which this
certification relates with respect to the Certificate described therein:

         1. As indicated below, the undersigned is the President, Chief
Financial Officer, Senior Vice President or other executive officer of the
Buyer.

         2. In connection with purchases by the Buyer, the Buyer is a "qualified
institutional buyer" as that term is defined in Rule 144A under the Securities
Act of 1933 ("Rule 144A") because (i) the Buyer owned and/or invested on a
discretionary basis $_____________(1) in securities (except for the excluded
securities referred to below) as of the end of the Buyer's most recent fiscal
year (such amount being calculated in accordance with Rule 144A) and (ii) the
Buyer satisfies the criteria in the category marked below.

         _____  Corporation, etc. The Buyer is a corporation (other than a bank,
                savings and loan association or similar institution),
                Massachusetts or similar business trust, partnership, or
                charitable organization described in Section 501(c)(3) of the
                Internal Revenue Code of 1986, as amended.

         _____  Bank. The Buyer (a) is a national bank or banking institution
                organized under the laws of any state, territory or the District
                of Columbia, the business of which is substantially confined to
                banking and is supervised by the state or territorial banking
                commission or similar official or is a foreign bank or
                equivalent institution, and (b) has an audited net worth of at
                least $25,000,000 as demonstrated in its latest annual financial
                statements, a copy of which is attached hereto.

         _____  Savings and Loan. The Buyer (a) is a savings and loan
                association, building and loan association, cooperative bank,
                homestead association or similar institution, which is
                supervised and examined by a state or federal authority having
                supervision over any such institutions or is a foreign savings
                and loan association or equivalent institution and (b) has an
                audited net worth of at least $25,000,000 as demonstrated in its
                latest annual financial statements, a copy of which is attached
                hereto.

----------
(1) Buyer must own and/or invest on a discretionary basis at least $100,000,000
in securities unless Buyer is a dealer, and, in that case, Buyer must own and/or
invest on a discretionary basis at least $10,000,000 in securities.

                                      C-3
<PAGE>
         _____  Broker-dealer.  The Buyer is a dealer registered pursuant to
                Section 15 of the Securities Exchange Act of 1934.

         _____  Insurance Company. The Buyer is an insurance company whose
                primary and predominant business activity is the writing of
                insurance or the reinsuring of risks underwritten by insurance
                companies and which is subject to supervision by the insurance
                commissioner or a similar official or agency of a state,
                territory or the District of Columbia.

         _____  State or Local Plan.  The Buyer is a plan established and
                maintained by a state, its political subdivisions, or any agency
                or instrumentality of the state or its political subdivisions,
                for the benefit of its employees.

         _____  ERISA Plan. The Buyer is an "employee benefit plan" within the
                meaning of Title I of the Employee Retirement Income Security
                Act of 1974.

         _____  Investment Advisor.  The Buyer is an investment advisor
                registered under the Investment Advisers Act of 1940.

         _____  Small Business Investment Company.  Buyer is a small business
                investment company licensed by the U.S. Small Business
                Administration under Section 301(c) or (d) of the Small Business
                Investment Act of 1958.

         _____  Business Development Company.  Buyer is a business development
                company as defined in Section 202(a)(22) of the Investment
                Advisors Act of 1940.

         _____  Trust Fund.  The Buyer is a trust fund whose trustee is a bank
                or trust company and whose participants are exclusively State or
                Local Plans or ERISA Plans as defined above, and no participant
                of the Buyer is an individual retirement account or an H.R. 10
                (Keogh) plan.

         3. The Buyer is not, and is not acting on behalf of or investing the
assets of, (a) an "employee benefit plan" (as defined in Section 3(3) of the
Employee Retirement Income Security Act of 1974, as amended ("ERISA")) that is
subject to the provisions of Title I of ERISA, (b) "a plan" (as defined in
Section 4975(e)(1) of the Internal Revenue Code of 1986, as amended (the "Code")
that is subject to Section 4975 of the Code or (c) any entity whose underlying
assets include assets of a plan described in (a) or (b) above by reason of such
plan's investment in the entity (including, without limitation, an insurance
company general account).

         4. The term "securities" as used herein does not include (a) securities
of issuers that are affiliated with the Buyer, (b) securities that are part of
an unsold allotment to or subscription by the Buyer, if the Buyer is a dealer,
(c) bank deposit notes and certificates of deposit, (d) loan participations, (e)
repurchase agreements, (f) securities owned but subject to a repurchase
agreement and (g) currency, interest rate and commodity swaps.

         5. For purposes of determining the aggregate amount of securities owned
and/or invested on a discretionary basis by the Buyer, the Buyer used the cost
of such securities to the

                                      C-4
<PAGE>
Buyer and did not include any of the securities referred to in the preceding
paragraph, except (a) where the Buyer reports its securities holdings in its
financial statements on the basis of their market value, and (b) no current
information with respect to the cost of those securities has been published. If
clause (b) in the preceding sentence applies, the securities may be valued at
market. Further, in determining such aggregate amount, the Buyer may have
included securities owned by subsidiaries of the Buyer, but only if such
subsidiaries are consolidated with the Buyer in its financial statements
prepared in accordance with generally accepted accounting principles and if the
investments of such subsidiaries are managed under the Buyer's direction.
However, such securities were not included if the Buyer is a majority-owned,
consolidated subsidiary of another enterprise and the Buyer is not itself a
reporting company under the Securities Exchange Act of 1934.

         6. The Buyer acknowledges that it is familiar with Rule 144A and
understands that the seller to it and other parties related to the securities
are relying and will continue to rely on the statements made herein because one
or more sales to the Buyer may be in reliance on Rule 144A.

         7. Until the date of purchase of the Certificate, the Buyer will notify
each of the parties to which this certification is made of any changes in the
information and conclusions herein. Until such notice is given, the Buyer's
purchase of Rule 144A Securities will constitute a reaffirmation of this
certification as of the date of such purchase. In addition, if the Buyer is a
Bank or Savings and Loan as provided above, the Buyer agrees that it will
furnish to such parties updated annual financial statements promptly after they
become available.

                                       _________________________________________
                                       Print Name of Buyer

                                       By:______________________________________
                                       Name:
                                       Title:

                                       Date:____________________________________

                                      C-5
<PAGE>
                                                            ANNEX 2 TO EXHIBIT C

            QUALIFIED INSTITUTIONAL BUYER STATUS UNDER SEC RULE 144A

              [FOR BUYERS THAT ARE REGISTERED INVESTMENT COMPANIES]

         The undersigned hereby certifies as follows to the parties listed in
the "Qualified Institutional Buyer" Transferee's Certificate to which this
certification relates with respect to the Rule 144A Securities described
therein:

         1. As indicated below, the undersigned is the President, Chief
Financial Officer or Senior Vice President of the Buyer or, if the Buyer is a
"qualified institutional buyer" as that term is defined in Rule 144A under the
Securities Act of 1933, as amended ("Rule 144A"), because the Buyer is part of a
Family of Investment Companies (as defined below), is such an officer of the
Buyer.

         2. In connection with purchases by the Buyer, the Buyer is a "qualified
institutional buyer" as defined in Rule 144A because (a) the Buyer is an
investment company registered under the Investment Company Act of 1940, as
amended, and (b) as marked below, the Buyer alone, or the Buyer's Family of
Investment Companies, owned at least $100,000,000 in securities (other than the
excluded securities referred to below) as of the end of the Buyer's most recent
fiscal year. For purposes of determining the amount of securities owned by the
Buyer or the Buyer's Family of Investment Companies, the cost of such securities
was used, except (x) where the Buyer or the Buyer's Family of Investment
Companies reports its securities holdings in its financial statements on the
basis of their market value, and (y) no current information with respect to the
cost of those securities has been published. If clause (y) in the preceding
sentence applies, the securities may be valued at market.

         _____  The Buyer owned $________________ in securities (other than the
                excluded securities referred to below) as of the end of the
                Buyer's most recent fiscal year (such amount being calculated in
                accordance with Rule 144A).

         _____  The Buyer is part of a Family of Investment Companies which
                owned in the aggregate $__________ in securities (other than the
                excluded securities referred to below) as of the end of the
                Buyer's most recent fiscal year (such amount being calculated in
                accordance with Rule 144A).

         3. The Buyer is not, and is not acting on behalf of or investing the
assets of, (a) an "employee benefit plan" (as defined in Section 3(3) of the
Employee Retirement Income Security Act of 1974, as amended ("ERISA")) that is
subject to the provisions of Title I of ERISA, (b) a "plan" (as defined in
Section 4975(e)(1) of the Internal Revenue Code of 1986, as amended (the "Code")
that is subject to Section 4975 of the Code or (c) any entity whose underlying
assets include assets of a plan described in (a) or (b) above by reason of such
plan's investment in the entity (including, without limitation, an insurance
company general account).

         4. The term "Family of Investment Companies" as used herein means two
or more registered investment companies (or series thereof) that have the same
investment adviser or

                                      C-6
<PAGE>
investment advisers that are affiliated (by virtue of being majority owned
subsidiaries of the same parent or because one investment adviser is a majority
owned subsidiary of the other).

         5. The term "securities" as used herein does not include (a) securities
of issuers that are affiliated with the Buyer or are part of the Buyer's Family
of Investment Companies, (b) bank deposit notes and certificates of deposit, (c)
loan participations, (d) repurchase agreements, (e) securities owned but subject
to a repurchase agreement and (f) currency, interest rate and commodity swaps.

         6. The Buyer is familiar with Rule 144A and understands that the
parties listed in the "Qualified Institutional Buyer" Transferee's Certificate
to which this certification relates are relying and will continue to rely on the
statements made herein because one or more sales to the Buyer will be in
reliance on Rule 144A. In addition, the Buyer will only purchase for the Buyer's
own account.

         7. Until the date of purchase of the Certificate, the undersigned will
notify each of the parties to which this certification is made of any changes in
the information and conclusions herein. Until such notice is given, the Buyer's
purchase of Rule 144A Securities will constitute a reaffirmation of this
certification by the undersigned as of the date of such purchase.

                                       _________________________________________
                                       Print Name of Buyer or Adviser

                                       By:______________________________________
                                       Name:
                                       Title:

                                       IF AN ADVISER:

                                       _________________________________________
                                       Print Name of Buyer

                                       Date:____________________________________

                                      C-7

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