Document:

<PAGE>

                                                                     Exhibit 4.3

                 Volkswagen Auto Lease Underwritten Funding, LLC

                                     Seller,

                                 VW Credit, Inc.
                                    Servicer

                                       and

                                   ----------

                                     Trustee

                            on behalf of the Holders

                     FORM OF POOLING AND SERVICING AGREEMENT

                          Dated as of ________ __, 200_

                   VOLKSWAGEN AUTO LOAN ENHANCED TRUST 200_-_

                    ____% Asset Backed Certificates, Class A

                    ____% Asset Backed Certificates, Class B

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                                TABLE OF CONTENTS

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                                TABLE OF CONTENTS

ARTICLE I DEFINITIONS....................................................     1
   Section 1.1     Definitions...........................................     1
   Section 1.2     Other Interpretative Provisions.......................    19
   Section 1.3     Calculations..........................................    20
   Section 1.4     References............................................    20
   Section 1.5     Action by or Consent of Holders.......................    20

ARTICLE II THE TRUST PROPERTY............................................    20
   Section 2.1     Conveyance of Trust Property..........................    20
   Section 2.2     Representations and Warranties as to Each Receivable..    20
   Section 2.3     Representations and Warranties as to the Receivables
                   in the Aggregate......................................    23
   Section 2.4     Repurchase upon Breach................................    24
   Section 2.5     Custodian of Receivable Files.........................    25

ARTICLE III ADMINISTRATION AND SERVICING OF TRUST PROPERTY...............    28
   Section 3.1     Duties of Servicer....................................    28
   Section 3.2     Collection of Receivable Payments.....................    29
   Section 3.3     Realization upon Receivables..........................    29
   Section 3.4     Physical Damage Insurance.............................    30
   Section 3.5     Maintenance of Security Interests in Financed
                   Vehicles..............................................    30
   Section 3.6     Covenants of Servicer.................................    31
   Section 3.7     Purchase by Servicer upon Breach......................    31
   Section 3.8     Servicing Compensation................................    32
   Section 3.9     Servicer's Report.....................................    32
   Section 3.10    Annual Statement as to Compliance.....................    33
   Section 3.11    Annual Independent Certified Public Accountants'
                   Report................................................    33
   Section 3.12    Access to Certain Documentation and Information
                   Regarding Receivables.................................    33
   Section 3.13    Reports to the Commission.............................    34
   Section 3.14    Reports to the Rating Agency..........................    34
   Section 3.15    Servicer Expenses.....................................    34

ARTICLE IV DISTRIBUTIONS; RESERVE ACCOUNT; STATEMENTS TO HOLDERS.........    34
   Section 4.1     Establishment of Accounts.............................    34
   Section 4.2     Collections...........................................    35
   Section 4.3     [RESERVED]............................................    37
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                                TABLE OF CONTENTS
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   Section 4.4     Additional Deposits; Net Deposits.....................    37
   Section 4.5     Distributions.........................................    37
   Section 4.6     Reserve Account.......................................    39
   Section 4.7     Statements to Holders.................................    41

ARTICLE V THE CERTIFICATES...............................................    42
   Section 5.1     The Certificates......................................    42
   Section 5.2     Authentication of Certificates........................    43
   Section 5.3     Registration of Transfer and Exchange of
                   Certificates..........................................    43
   Section 5.4     Mutilated, Destroyed, Lost or Stolen Certificates.....    44
   Section 5.5     Persons Deemed Owners.................................    44
   Section 5.6     Access to List of Holders' Names and Addresses........    44
   Section 5.7     Maintenance of Office or Agency.......................    45
   Section 5.8     Book Entry Certificates...............................    45
   Section 5.9     Notices to Clearing Agency............................    46
   Section 5.10    Definitive Certificates...............................    46

ARTICLE VI SELLER........................................................    47
   Section 6.1     Representations and Warranties of Seller..............    47
   Section 6.2     Merger or Consolidation of, or Assumption of the
                   Obligations of, Seller................................    48
   Section 6.3     Limitation on Liability of Seller and Others..........    49

ARTICLE VII SERVICER.....................................................    49
   Section 7.1     Representations and Warranties of Servicer............    49
   Section 7.2     Indemnities of Servicer...............................    51
   Section 7.3     Merger or Consolidation of or Assumption of the
                   Obligations of Servicer...............................    52
   Section 7.4     Limitation on Liability of Servicer and Others........    52
   Section 7.5     VW Credit, Inc........................................    53
   Section 7.6     Servicer May Own Certificates.........................    53
   Section 7.7     Existence.............................................    53

ARTICLE VIII SERVICING TERMINATION.......................................    53
   Section 8.1     Servicer Termination Events...........................    53
   Section 8.2     Trustee to Act; Appointment of Successor Servicer.....    55
   Section 8.3     Effect of Servicing Transfer..........................    56
   Section 8.4     Notification to Holders...............................    57
   Section 8.5     Waiver of Past Servicer Termination Events............    57
   Section 8.6     Transfer of Accounts..................................    57
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                                TABLE OF CONTENTS
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ARTICLE IX TRUSTEE.......................................................    57
   Section 9.1     Acceptance by Trustee.................................    57
   Section 9.2     Duties of Trustee.....................................    57
   Section 9.3     Trustee's Certificate.................................    59
   Section 9.4     Trustee's Assignment of Purchased Receivables.........    59
   Section 9.5     Certain Matters Affecting Trustee.....................    60
   Section 9.6     Trustee Not Liable for Certificates or Receivables....    62
   Section 9.7     Trustee May Own Certificates..........................    63
   Section 9.8     Trustee's Fees and Expenses...........................    63
   Section 9.9     Eligibility Requirements for Trustee..................    63
   Section 9.10    Resignation or Removal of Trustee.....................    63
   Section 9.11    Successor Trustee.....................................    64
   Section 9.12    Merger or Consolidation of or Assumption of
                   Obligations of Trustee................................    65
   Section 9.13    Appointment of Co-Trustee or Separate Trustee.........    65
   Section 9.14    Representations and Warranties of Trustee.............    67
   Section 9.15    Reports by Trustee....................................    68
   Section 9.16    Tax Returns...........................................    68
   Section 9.17    Trustee May Enforce Claims Without Possession of
                   Certificates..........................................    68

ARTICLE X TERMINATION....................................................    68
   Section 10.1    Termination of the Trust..............................    68
   Section 10.2    Optional Purchase of All Receivables..................    69

ARTICLE XI MISCELLANEOUS PROVISIONS......................................    70
   Section 11.1    Amendment.............................................    70
   Section 11.2    Protection of Title to Trust Property.................    71
   Section 11.3    Limitation on Rights of Holders.......................    73
   Section 11.4    Governing Law.........................................    74
   Section 11.5    Notices...............................................    74
   Section 11.6    Severability of Provisions............................    74
   Section 11.7    Assignment............................................    74
   Section 11.8    Certificates Nonassessable and Fully Paid.............    74
   Section 11.9    Intention of Parties..................................    75
   Section 11.10   Counterparts..........................................    75
   Section 11.11   Further Assurances....................................    75
   Section 11.12   No Waiver; Cumulative Remedies........................    75
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                                TABLE OF CONTENTS
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   Section 11.13   Regulation AB.........................................    75
   Section 11.14   Information to Be Provided by the Trustee.............    76
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<S>         <C>                                                              <C>
                                    SCHEDULE

SCHEDULE A  LOCATION OF RECEIVABLE FILES.................................    S-1

                                    EXHIBITS

EXHIBIT A   FORM OF CLASS A CERTIFICATE..................................    A-1
EXHIBIT B   FORM OF CLASS B CERTIFICATE..................................    B-1
EXHIBIT C   FORM OF SERVICER'S REPORT....................................    C-1
EXHIBIT D   SERVICING CRITERIA...........................................    D-1
EXHIBIT E   FORM OF TRUSTEE'S ANNUAL CERTIFICATION.......................    E-1
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                                       v
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          POOLING AND SERVICING AGREEMENT dated as of ____________, 200_,
between Volkswagen Auto Lease Underwritten Funding, LLC, a Delaware limited
liability company, as Seller, VW Credit, Inc., a Delaware corporation, as
Servicer, and __________, a ______________________, as trustee hereunder.

          In consideration of the premises and of the mutual agreements herein
contained, and other good and valuable consideration, the receipt of which is
acknowledged, the parties hereto, intending to be legally bound, agree as
follows:

                                    ARTICLE I

                                  DEFINITIONS.

          Section 1.1 Definitions. Whenever used in this Agreement, the
following capitalized words and phrases, unless the context otherwise requires,
have the following meanings:

          "Accounts" means collectively the Collection Account, the Class A
Distribution Account, the Class B Distribution Account and the Payahead Account.

          "Account Property" means all amounts and investments held from time to
time in any Account or the Reserve Account, as the case may be (whether in the
form of deposit accounts, instruments, certificated securities, book entry
securities, uncertificated securities or otherwise), and all proceeds of the
foregoing.

          "Actuarial Receivable" means a Receivable that provides for (i)
amortization of the loan over a series of fixed level payment monthly
installments and (ii) each monthly installment, including the monthly
installment representing the final payment on the Receivable, to consist of an
amount of interest equal to 1/12 of the Contract Rate of the loan multiplied by
the unpaid principal balance of the loan, and an amount of principal equal to
the remainder of the monthly installment.

          "Acquired Receivable" means a Receivable acquired by a the Transferor
through a bulk purchase of Receivables or the acquisition of a financial
institution that owned the Receivable.

          "Additional Servicing" means, for each Distribution Date, an amount
equal to the lesser of (i) the amount by which (A) the aggregate amount of the
Servicing Fee for such Distribution Date and all prior Distribution Dates
exceeds (B) the aggregate amount of Additional Servicing paid to the Servicer on
all prior Distribution Dates and (ii) the amount, if any, by which (A) the sum
of Available Interest and Available Principal for such Distribution Date exceed
(B) the sum, without duplication of (x) the Servicing Fee paid on such
Distribution Date with respect to the related Collection Period and any accrued
and unpaid Servicing Fee for prior Collection Periods, (y) all amounts required
to be distributed to the Holders on such

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Distribution Date and (z) the amount, if any, deposited in the Reserve Account
on such Distribution Date.

          "Administration Agreement" means the Administration Agreement dated as
of _______, 200_ by and among the Trust, the Administrator and the Indenture
Trustee as amended, restated and otherwise modified from time to time

          "Administrator" means VW Credit in its capacity as administrator of
the Trust under the Administration Agreement, and any successor thereto.

          "Affiliate" means, with respect to any specified Person, any other
Person controlling, controlled by or under common control with such specified
Person. For the purposes of this definition, "control" when used with respect to
any specified Person means the power to direct the management and policies of
such Person, directly or indirectly, whether through the ownership of voting
securities, by contract or otherwise; and the terms "controlling" and
"controlled" have meanings correlative to the foregoing. A Person shall not be
deemed to be an Affiliate of any specified Person solely because such other
Person has the contractual right or obligation to manage such specified Person
or act as servicer with respect to the financial assets of such specified Person
unless such other Person controls the specified Person through equity ownership
or otherwise.

          "Agreement" means this Pooling and Servicing Agreement, including its
schedules and exhibits, as amended, modified or supplemented from time to time.

          "Authorized Officer" means any officer within the Corporate Trust
Office of Trustee, including any vice president, assistant vice president,
secretary, assistant secretary or any other officer of Trustee customarily
performing functions similar to those performed by any of the above designated
officers and also, with respect to a particular matter, any other officer to
whom such matter is referred because of such officer's knowledge of and
familiarity with the particular subject.

          "Available Interest" means, for any Distribution Date, the sum of the
following amounts for the related Collection Period: (a) that portion of the
Collections on the Receivables received during the such Collection Period that
is allocable to interest in accordance with Servicer's customary servicing
procedures, (b) all Liquidation Proceeds received during the related Collection
Period and (c) the Purchase Amounts, to the extent allocable to accrued
interest, of all Receivables that are purchased by Servicer as of the last day
of the related Collection Period. "Available Interest" for any Distribution Date
shall exclude all payments and proceeds of any Receivables the Purchase Amount
of which has been distributed on a prior Distribution Date.

          "Available Principal" means, for any Distribution Date the sum of the
following amounts with respect to the related Collection Period: (a) that
portion of all Collections on the Receivables received during such Collection
Period that is allocable to principal in accordance

                                       2

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with Servicer's customary servicing procedures; and (b) the Purchase Amounts, to
the extent attributable to principal, of all Receivables purchased by Servicer
as of the last day of the related Collection Period. "Available Principal" on
any Distribution Date shall exclude all payments and proceeds of any Receivables
the Purchase Amount of which has been distributed on a prior Distribution Date.

          "Available Reserve Amount" is defined in Section 4.6.

          "Book Entry Certificate" means beneficial interests in the definitive
Certificates described in Section 5.8, the ownership of which shall be
evidenced, and transfers of which shall be made, through book entries by a
Clearing Agency as described in Section 5.8.

          "Business Day" means a day that is not a Saturday or a Sunday and that
in the States of New York, Illinois, Michigan and the State in which the
Corporate Trust Office is located is neither a legal holiday nor a day on which
banking institutions are authorized by law, regulation or executive order to be
closed.

          "Certificate" means any Class A Certificate or Class B Certificate.

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

          "Certificate Register" means the register maintained by Trustee for
the registration of Certificates and of transfers and exchanges of Certificates
as provided in Section 5.3.

          "Class A Certificate" means a certificate executed by Trustee on
behalf of the Trust and authenticated by Trustee substantially in the form of
Exhibit A.

          "Class A Certificate Balance" means, at any time, the original Class A
Certificate Balance, as reduced by all amounts allocable to principal on the
Class A Certificates distributed to Class A Holders prior to such time.

          "Class A Certificate Rate" means ____% per annum, calculated on the
basis of a 360-day year consisting of twelve 30-day months.

          "Class A Distribution Account" means the account established,
maintained and designated as the "Class A Distribution Account" pursuant to
Section 4.1.

          "Class A Holder" means the Person in whose name a Class A Certificate
is registered in the Certificate Register, except that, solely for the purpose
of giving any consent, request or waiver pursuant to this Agreement, the
interest evidenced by any Class A Certificate

                                       3

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registered in the name of the Transferor, Servicer, or any Person actually known
to an Authorized Officer of Trustee to be an Affiliate, the Transferor, or
Servicer, shall not be taken into account in determining whether the requisite
percentage necessary to effect any such consent, request or waiver shall have
been obtained.

          "Class A Interest Carryover Shortfall" means, (a) with respect to the
initial Distribution Date, zero, and (b) with respect to any other Distribution
Date, the excess of Class A Monthly Interest for the preceding Distribution Date
and any outstanding Class A Interest Carryover Shortfall on such preceding
Distribution Date, over the amount in respect of interest that is actually
deposited in the Class A Distribution Account on such preceding Distribution
Date, plus 30 days of interest on such excess, to the extent permitted by law,
in an amount equal to the product of one-twelfth multiplied by the Class A
Certificate Rate multiplied by the amount of such excess.

          "Class A Interest Distributable Amount" means, with respect to any
Distribution Date, the sum of (a) the Class A Monthly Interest for such
Distribution Date and (b) the Class A Interest Carryover Shortfall for such
Distribution Date.

          "Class A Monthly Interest" means, for any Distribution Date, an amount
equal to one-twelfth (or the actual number of days from and including the
Closing Date to but excluding _____________, 200_ divided by 360, for the
initial Distribution Date) of the Class A Certificate Rate multiplied by the
Class A Certificate Balance as of the close of business on the immediately
preceding Distribution Date, after giving effect to all payments of principal to
the Class A Certificates on or prior to such Distribution Date (or, in the case
of the first Distribution Date, the Original Class A Certificate Balance).

          "Class A Monthly Principal" means, with respect to any Distribution
Date, the Class A Percentage of Available Principal for such Distribution Date
plus the Class A Percentage of Realized Losses with respect to the related
Collection Period.

          "Class A Percentage" means _____%.

          "Class A Pool Factor" means, with respect to any Distribution Date,
the Class A Certificate Balance as of the close of business on such Distribution
Date (after giving effect to any payments to be made on such Distribution Date)
divided by the Original Class A Certificate Balance, expressed as a seven-digit
decimal.

          "Class A Principal Carryover Shortfall" means, as of the close of
business on any Distribution Date, the excess of Class A Monthly Principal for
such Distribution Date and any outstanding Class A Principal Carryover Shortfall
from the preceding Distribution Date over the amount in respect of principal
that is actually deposited in the Class A Distribution Account on such
Distribution Date.

          "Class A Principal Distributable Amount" means, with respect to any
Distribution Date, the sum of Class A Monthly Principal for such Distribution
Date and, in the case of any

                                       4

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Distribution Date other than the initial Distribution Date, the Class A
Principal Carryover Shortfall as of the close of business on the preceding
Distribution Date; provided that the Class A Principal Distributable Amount
shall not exceed the Class A Certificate Balance prior to such Distribution
Date. In addition, on the Final Scheduled Distribution Date, the Class A
Principal Distributable Amount shall include, to the extent not included under
the preceding sentence, the amount that is necessary (after giving effect to the
other amounts to be deposited in the Class A Distribution Account on such
Distribution Date and allocable to principal) to reduce the Class A Certificate
Balance to zero.

          "Class B Certificate" means a certificate executed by Trustee on
behalf of the Trust and authenticated by Trustee substantially in the form of
Exhibit B.

          "Class B Certificate Balance" means, at any time, the Original Class B
Certificate Balance, as reduced by all amounts allocable to principal on the
Class B Certificates distributed to Class B Holders prior to such time.

          "Class B Certificate Owner" means, with respect to a Book Entry
Certificate representing a beneficial interest in the Class B Certificates, the
Person who is the owner of such Book Entry Certificate, as reflected on the
books of the Clearing Agency, or on the books of a Person maintaining an account
with such Clearing Agency (directly or as an indirect participant in accordance
with the rules, regulations and procedures of such Clearing Agency).

          "Class B Certificate Rate" means ____% per annum, calculated on the
basis of a 360-day year consisting of twelve 30-day months.

          "Class B Distribution Account" means the account established,
maintained and designated as the "Class B Distribution Account" pursuant to
Section 4.1.

          "Class B Holder" means the Person in whose name a Class B Certificate
is registered in the Certificate Register, except that, solely for the purpose
of giving any consent, request or waiver pursuant to this Agreement, the
interest evidenced by any Class B Certificate registered in the name of the
Transferor, Servicer, or any Person actually known to an Authorized Officer of
Trustee to be an Affiliate of the Transferor or Servicer, shall not be taken
into account in determining whether the requisite percentage necessary to effect
any such consent, request or waiver shall have been obtained.

          "Class B Interest Carryover Shortfall" means, (a) with respect to the
initial Distribution Date, zero, and (b) with respect to any other Distribution
Date, the excess of Class B Monthly Interest for the preceding Distribution Date
and any outstanding Class B Interest Carryover Shortfall on such preceding
Distribution Date, over the amount in respect of interest that is actually
deposited in the Class B Distribution Account on such preceding Distribution
Date, plus 30 days of interest on such excess, to the extent permitted by law,
in an amount equal to the product of one-twelfth multiplied by the Class B
Certificate Rate multiplied by the amount of such excess.

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          "Class B Interest Distributable Amount" means, with respect to any
Distribution Date, the sum of (a) the Class B Monthly Interest for such
Distribution Date and (b) the Class B Interest Carryover Shortfall for such
Distribution Date.

          "Class B Monthly Interest" means, for any Distribution Date, an amount
equal to one-twelfth (or the actual number of days from and including the
Closing Date to but excluding __________, 200_ divided by 360, for the initial
Distribution Date) of the Class B Certificate Rate multiplied by the Class B
Certificate Balance as of the close of business on the immediately preceding
Distribution Date, after giving effect to all payments of principal to the Class
B Certificates on or prior to such Distribution Date (or, in the case of the
first Distribution Date, the Certificate Balance on the Closing Date).

          "Class B Monthly Principal" means, with respect to any Distribution
Date, the Class B Percentage of Available Principal for such Distribution Date
plus the Class B Percentage of Realized Losses with respect to the related
Collection Period.

          "Class B Percentage" means __%.

          "Class B Pool Factor" means, with respect to any Distribution Date,
the Class B Certificate Balance as of the close of business on such Distribution
Date (after giving effect to any payments to be made on such Distribution Date)
divided by the Original Class B Certificate Balance, expressed as a seven-digit
decimal.

          "Class B Principal Carryover Shortfall" means, as of the close of
business on any Distribution Date, the excess of Class B Monthly Principal for
such Distribution Date and any outstanding Class B Principal Carryover Shortfall
from the preceding Distribution Date over the amount in respect of principal
that is actually deposited in the Class B Distribution Account on such
Distribution Date.

          "Class B Principal Distributable Amount" means, with respect to any
Distribution Date, the sum of Class B Monthly Principal for such Distribution
Date and, in the case of any Distribution Date other than the initial
Distribution Date, the Class B Principal Carryover Shortfall as of the close of
business on the preceding Distribution Date; provided that the Class B Principal
Distributable Amount shall not exceed the Class B Certificate Balance prior to
such Distribution Date. In addition, on the Final Scheduled Distribution Date,
the Class B Principal Distributable Amount shall include, to the extent not
included under the preceding sentence, the amount that is necessary (after
giving effect to the other amounts to be deposited in the Class B Distribution
Account on such Distribution Date and allocable to principal) to reduce the
Class B Certificate Balance to zero.

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

                                       6

<PAGE>

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

          "Closing Date" means the date of the initial issuance of the
Certificates hereunder.

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

          "Collection Account" means the segregated account or accounts
established, maintained and designated as the "Collection Account" pursuant to
Section 4.1.

          "Collection Period" means, (a) in the case of the initial Collection
Period, the period from [but not including] the Cutoff Date to and including
___________ __, 200_ and (b) thereafter, each calendar month during the term of
this Pooling and Servicing Agreement. With respect to any Determination Date,
Deposit Date or Distribution Date, the "related Collection Period" means the
Collection Period preceding the month in which such Determination Date, Deposit
Date or Distribution Date occurs.

          "Collections" means all collections on the Receivables and any
proceeds from Insurance Policies and lender's single interest insurance
policies.

          "Commission" means the Securities and Exchange Commission.

          "Contract Rate" means, with respect to a Receivable, the rate per
annum of interest charged on the outstanding principal balance of such
Receivable.

          "Corporate Trust Office" means the principal office of Trustee at
which at any particular time its corporate trust business shall be administered,
which office at date of execution of this Agreement is located at ____________,
Attention: ______________, Telephone: _______________, Facsimile:
________________ or at such other address as Trustee may designate from time to
time by notice to the Holders, the Transferor, Seller and Servicer, or the
principal corporate trust office of any successor Trustee (the address of which
the successor Trustee will notify the Holders, the Transferor, Seller and
Servicer).

          "Custodian" means Servicer in its capacity as agent of the Trustee, as
custodian of the Receivable Files and the Transferor acting as agent for
Servicer for the purpose of maintaining custody of the Receivables Files.

          "Cutoff Date" means the [opening] of business on ___________ __,
200_.

          "Cutoff Date Principal Balance" means, with respect to any Receivable,
the Initial Principal Balance of such Receivable minus the sum of the portion of
all payments received

                                       7

<PAGE>

under such Receivable from or on behalf of the related Obligor on or prior to
the Cutoff Date and allocable to principal in accordance with the terms of the
Receivable.

          "Dealer" means, with respect to any Receivable, the seller of the
related Financed Vehicle.

          "Dealer Agreement" means an agreement between an Originator and a
Dealer pursuant to which such Originator acquires Motor Vehicle Loans from the
Dealer or gives such Dealer the right to induce persons to apply to such
Originator for loans in connection with the retail sale of Motor Vehicles by
such Dealer.

          "Dealer Recourse" means, with respect to any Dealer, any rights and
remedies against such Dealer under the related Dealer Agreement (other than with
respect to any breach of representation or warranty thereunder) with respect to
credit losses on a Receivable secured by a Financed Vehicle sold by such Dealer.

          "Defaulted Receivable" means, with respect to any Collection Period, a
Receivable (other than a Purchased Receivable) which Servicer has determined to
charge off during such Collection Period in accordance with its customary
servicing practices; provided that any Receivable which Servicer is obligated to
repurchase or purchase shall be deemed to have become a Defaulted Receivable
during a Collection Period if Servicer fails to deposit the related Purchase
Amount on the related Deposit Date when due.

          "Definitive Certificates" is defined in Section 5.8.

          "Delivery" when used with respect to Account Property means:

               (a) with respect to bankers' acceptances, commercial paper,
          negotiable certificates of deposit and other obligations that
          constitute "instruments" within the meaning of Section 9-102(47) of
          the UCC and are susceptible of physical delivery, transfer thereof to
          Trustee or its nominee or custodian by physical delivery to Trustee or
          its nominee or custodian endorsed to, or registered in the name of,
          Trustee or its nominee or custodian or endorsed in blank, and, with
          respect to a "certificated security" (as defined in Section 8-102 of
          the UCC) transfer thereof (i) by delivery of such certificated
          security endorsed to, or registered in the name of, Trustee or its
          nominee or custodian or endorsed in blank to a "financial
          intermediary" (as defined in Section 8-313 of the UCC) and the making
          by such financial intermediary of entries on its books and records
          identifying such certificated securities as belonging to Trustee or
          its nominee or custodian and the sending by such financial
          intermediary of a confirmation of the purchase of such certificated
          security by Trustee or its nominee or custodian, or (ii) by delivery
          thereof to a "clearing corporation" (as defined in Section 8-102(3) of
          the UCC) and the making by such clearing corporation of appropriate
          entries on its books reducing the appropriate

                                       8

<PAGE>

          securities account of the transferor and increasing the appropriate
          securities account of a financial intermediary by the amount of such
          certificated security, the identification by the clearing corporation
          of the certificated securities for the sole and exclusive account of
          the financial intermediary, the maintenance of such certificated
          securities by such clearing corporation or a "custodian bank" (as
          defined in Section 8-102(4) of the UCC) or the nominee of either
          subject to the clearing corporation's exclusive control, the sending
          of a confirmation by the financial intermediary of the purchase by
          Trustee or its nominee or custodian of such securities and the making
          by such financial intermediary of entries on its books and records
          identifying such certificated securities as belonging to Trustee or
          its nominee or custodian (all of the foregoing, "Physical Property"),
          and, in any event, any such Physical Property in registered form shall
          be in the name of Trustee or its nominee or custodian; and such
          additional or alternative procedures as may hereafter become
          appropriate to effect the complete transfer of ownership of any such
          Account Property to Trustee or its nominee or custodian, consistent
          with changes in applicable law or regulations or the interpretation
          thereof;

               (b) with respect to any securities issued by the U.S. Treasury,
          the Federal Home Loan Mortgage Corporation or by the Federal National
          Mortgage Association that is a book-entry security held through the
          Federal Reserve System pursuant to Federal book-entry regulations, the
          following procedures, all in accordance with applicable law, including
          applicable Federal regulations and Articles 8 and 9 of the UCC:
          book-entry registration of such Account Property to an appropriate
          book-entry account maintained with a Federal Reserve Bank by a
          financial intermediary which is also a "depository" pursuant to
          applicable Federal regulations and issuance by such financial
          intermediary of a deposit advice or other written confirmation of such
          book-entry registration to Trustee or its nominee or custodian of the
          purchase by Trustee or its nominee or custodian of such book-entry
          securities; the making by such financial intermediary of entries in
          its books and records identifying such book entry security held
          through the Federal Reserve System pursuant to Federal book-entry
          regulations as belonging to Trustee or its nominee or custodian and
          indicating that such custodian holds such Account Property solely as
          agent for Trustee or its nominee or custodian; and such additional or
          alternative procedures as may hereafter become appropriate to effect
          complete transfer of ownership of any such Account Property to Trustee
          or its nominee or custodian, consistent with changes in applicable law
          or regulations or the interpretation thereof; and

               (c) with respect to any item of Account Property that is an
          uncertificated security under Article 8 of the UCC and that is not
          governed by clause (b) above, registration on the books and records of
          the issuer thereof in the name of the financial intermediary, the
          sending of a confirmation by the financial intermediary of the
          purchase by Trustee or its nominee or custodian of

                                       9

<PAGE>

          such uncertificated security, the making by such financial
          intermediary of entries on its books and records identifying such
          uncertificated certificates as belonging to Trustee or its nominee or
          custodian.

          "Deposit Date" means, with respect to any Collection Period, the
Business Day preceding the related Distribution Date.

          "Depository Agreement" means the agreement among Seller, Servicer,
Trustee and the initial Clearing Agency, dated the Closing Date.

          "Determination Date" with respect to any Collection Period, means the
tenth day of the calendar month following such Collection Period (or, if the
tenth day is not a Business Day, the next succeeding Business Day).

          "Direct Loan" means motor vehicle promissory notes and security
agreements executed by an Obligor in favor of a motor vehicle lender.

          "Distribution Date" means the _____ day of each month (or, if the ___
day is not a Business Day, the next succeeding Business Day), commencing _______
__, 200_.

          "Dollar" and the sign "$" mean lawful money of the United States.

          "Eligible Deposit Account" means either (a) a segregated account with
an Eligible Institution or (b) a segregated trust account with the corporate
trust department of a depository institution 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 the
long-term unsecured debt of such depository institution shall have a credit
rating from each Rating Agency in one of its generic rating categories which
signifies investment grade. Any such accounts (other than the Reserve Account)
may be maintained with _____________, or any of its Affiliates, if such accounts
meet the requirements described in clause (a) of the preceding sentence.

          "Eligible Institution" means a depository institution (which may be
Servicer or any Affiliate of Servicer or Trustee) 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), which (a) has (i) either a
long-term senior unsecured debt rating of AA or a short-term senior unsecured
debt or certificate of deposit rating of A-1+ or better by S&P and (ii) (A) a
short-term senior unsecured debt rating of A-1 or better by S&P and (B) a
short-term senior unsecured debt rating of P-1 or better by Moody's, or any
other long-term, short-term or certificate of deposit rating acceptable to the
Rating Agencies and (b) whose deposits are insured by the Federal Deposit
Insurance Corporation. If so qualified, Servicer, any Affiliate of Servicer or
Trustee may be considered an Eligible Institution.

                                       10

<PAGE>

          "Eligible Investments" shall mean any one or more of the following
types of investments:

               (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 (including any Affiliate of the Transferor
          Seller, Trustee or any Affiliate of the Trustee) 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 a portion of such obligation for the benefit of the holders
          of such depository receipts); provided that at the time of the
          investment or contractual commitment to invest therein (which shall 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 shall have a credit rating from S&P of A-1+ and from Moody's
          of P-1;

               (c) commercial paper (including commercial paper of any Affiliate
          of the Transferor Seller) having, at the time of the investment or
          contractual commitment to invest therein, a rating from S&P of A-1+
          and from Moody's of P-1;

               (d) investments in money market funds (including funds for which
          Trustee or any of its Affiliates or any of Seller's or Transferor's
          Affiliates is investment manager or advisor) having a rating from S&P
          of AAA-m or AAAm-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;
          and

                                       11

<PAGE>

               (g) any other investment with respect to which each Rating Agency
          has provided written notice that such investment would not cause such
          Rating Agency to downgrade or withdraw its then current rating on the
          Class A Certificates or the Class B Certificates.

          "Eligible Servicer" means a Person which, at the time of its
appointment as Servicer, (a) has a net worth of not less than $50,000,000, (b)
is servicing a portfolio of motor vehicle retail installment sales contracts
and/or motor vehicle loans, (c) is legally qualified, and has the capacity, to
service the Receivables, (d) has demonstrated the ability to service a portfolio
of motor vehicle loans similar to the Receivables professionally and competently
in accordance with standards of skill and care that are consistent with prudent
industry standards, and (e) is qualified and entitled to use pursuant to a
license or other written agreement, and agrees to maintain the confidentiality
of, the software which Servicer uses in connection with performing its duties
and responsibilities under this Agreement or obtains rights to use, or develops
at its own expense, software which is adequate to perform its duties and
responsibilities under this Agreement.

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

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

          "Final Scheduled Distribution Date" means the _______ __ Distribution
Date.

          "Final Scheduled Maturity Date" means the last day of the Collection
Period immediately preceding the Collection Period during which the Final
Scheduled Distribution Date falls.

          "Financed Vehicle" means, with respect to a Receivable, the Motor
Vehicle, together with all accessories and accessions thereto, securing or
purporting to secure the indebtedness under such Receivable.

          "Fitch" means Fitch Ratings, or its successor.

          "GAAP" is defined in Section 11.1(c).

          "Holder" means the Person in whose name a Certificate is registered in
the Certificate Register, except that, solely for the purpose of giving any
consent, request or waiver pursuant to this Agreement, the interest evidenced by
any Certificate registered in the name of the Transferor, Servicer or any Person
actually known to an Authorized Officer of Trustee to be an Affiliate of the
Transferor or Servicer, shall not be taken into account in determining whether
the requisite percentage necessary to effect any such consent, request or waiver
shall have been obtained.

          "Initial Principal Balance" means, in respect of a Receivable, the
amount advanced under the Receivable toward the purchase price of the Financed
Vehicle and related

                                       12

<PAGE>

costs, including accessories, service and warranty contracts, insurance
premiums, other items customarily financed as part of retail motor vehicle loans
and/or retail installment sales contracts and other fees charged by the
Transferor or Dealer and included in the amount to be financed, the total of
which is shown as the initial principal balance in the note and security
agreement or retail installment sale contract evidencing and securing such
Receivable.

          "Insurance Policies" means, all credit life and disability insurance
policies maintained by the Obligors and all Physical Damage Insurance Policies.

          "Lien" means a security interest, lien, charge, pledge, preference,
participation interest or encumbrance of any kind, other than liens for taxes
not yet due and payable, mechanics' or materialmen's liens and other liens for
work, labor or materials, and any other liens that may attach by operation of
law.

          "Liquidation Proceeds" means, with respect to any Receivable which has
become a Defaulted Receivable, (a) insurance proceeds received by Servicer with
respect to the Insurance Policies, (b) amounts received by Servicer in
connection with such Defaulted Receivable pursuant to the exercise of rights
under that Receivable and (c) the monies collected by Servicer (from whatever
source, including proceeds of a sale of a Financed Vehicle or a deficiency
balance recovered after the charge-off of the related Receivable or as a result
of any Dealer Recourse) on such Defaulted Receivable net of any expenses
incurred by Servicer in connection therewith and any payments required by law to
be remitted to the Obligor.

          "Majority Holders" means Holders of Certificates evidencing not less
than a majority of the aggregate outstanding principal balance of the Class A
Certificates and the Class B Certificates taken together as a single class.

          "Minimum Specified Reserve Balance" with respect to any Distribution
Date means the lesser of (i) $______ and (ii) the aggregate outstanding Class A
Certificate Balance and Class B Certificate Balance (after giving effect to any
distributions on the Certificates on such Distribution Date).

          "Moody's" means Moody's Investors Service, Inc.

          "Motor Vehicle" means a new or used automobile or light duty truck.

          "Motor Vehicle Loan" means a Direct Loan or retail installment sales
contract secured by a Motor Vehicle originated by the Transferor or another
financial institution.

          "Obligor" means, with respect to a Receivable, the borrower or
co-borrowers under the related Receivable and any co-signer of the Receivable or
other Person who owes or may be primarily or secondarily liable for payments
under such Receivable.

                                       13

<PAGE>

          "Officer's Certificate" means a certificate signed by the chairman,
the president, any vice president or the treasurer of the Transferor or
Servicer, as the case may be, and delivered to Trustee.

          "Opinion of Counsel" means a written opinion of counsel (who may be an
employee of the Transferor or Servicer or any of their Affiliates) reasonably
acceptable in form to Trustee.

          "Original Certificate Balance" means the sum of the Original Class A
Certificate Balance and the Original Class B Certificate Balance.

          "Original Class A Certificate Balance" means $_________.

          "Original Class B Certificate Balance" means $_________.

          "Original Pool Balance" means the Pool Balance as of the Cutoff Date.

          "Originator" means, with respect to any Direct Loan or retail
installment sales contract, the Transferor that was the lender with respect to
such Direct Loan or that acquired such Direct Loan or retail installment sales
contract from a Dealer or other Person.

          "Payaheads" means early payments by or on behalf of Obligors on
Precomputed Receivables which, in accordance with the Servicer's customary
practices, do not constitute scheduled payments or full prepayments and are
applied to principal and interest in a subsequent period.

          "Payahead Account" means the account designated as such, established
and maintained pursuant to Section 4.1.

          "Person" means a legal person, including any individual, corporation,
estate, partnership, limited liability company, joint venture, association,
joint stock company, trust, unincorporated organization, or government or any
agency or political subdivision thereof, or any other entity of whatever nature.

          "Physical Damage Insurance Policy" means a theft and physical damage
insurance policy maintained by the Obligor under a Receivable, providing
coverage against loss or damage to or theft of the related Financed Vehicle.

          "Pool Balance" means, at any time, the aggregate Principal Balance of
the Receivables (excluding Defaulted Receivables) at such time.

          "Pool Factor" means, with respect to any Collection Period, the Pool
Balance as of the last day of such Collection Period divided by the Original
Pool Balance, expressed as a seven-digit decimal.

                                       14

<PAGE>

          "Precomputed Receivable" means (i) an Actuarial Receivable, (ii) a
Rule of 78's Receivable or (iii) a Sum of Periodic Balances Receivable.

          "Principal Balance" means, as of any time, for any Receivable, the
principal balance of such Receivable under the terms of the Receivable
determined in accordance with the Servicer's customary practices.

          "Purchase Agreement" means each Purchase Agreement dated as of
________ __, 200_ by and between the Transferor and the Seller, as amended,
restated or otherwise modified from time to time.

          "Purchase Amount" of any Receivable means, with respect to any Deposit
Date, an amount equal to the sum of (a) the outstanding Principal Balance of
such Receivable as of the last day of the preceding Collection Period and (b)
the amount of accrued and unpaid interest on such Principal Balance at the
related Contract Rate from the date a payment was last made by or on behalf of
the Obligor through and including the last day of such preceding Collection
Period, in each case after giving effect to the receipt of monies collected on
such Receivable in such preceding Collection Period.

          "Purchased Receivable" means, at any time, a Motor Vehicle Loan
included in the Schedule of Receivables as to which payment of the Purchase
Amount has previously been made by the Transferor or Servicer pursuant to this
Agreement.

          "Rating Agencies" means Moody's, S&P and Fitch.

          "Rating Agency Condition" means, with respect to any action, that each
Rating Agency shall have been given 10 days' prior notice thereof (or such
shorter period as shall be acceptable to the Rating Agencies) and that none of
the Rating Agencies shall have notified the Transferor Seller, Servicer or
Trustee in writing that such action will, in and of itself, result in a
reduction or withdrawal of the then current rating on the Class A Certificates
or the Class B Certificates.

          "Realized Losses" means, for any Collection Period, the aggregate
Principal Balances of any Receivables that became Defaulted Receivables during
such Collection Period.

          "Receivable" means each Motor Vehicle Loan described in the Schedule
of Receivables, but excluding (i) Defaulted Receivables to the extent the
Principal Balances thereof have been deposited in the Collection Account and
(ii) any Purchased Receivables.

          "Receivable File" is defined in Section 2.5.

          "Record Date" means, subject to Section 1.4, with respect to any
Distribution Date, the last day of the related Collection Period.

                                       15
<PAGE>

          "Regulation AB" means Subpart 229.1100 - Asset Backed Securities
(Regulation AB), 17 C.F.R. Sections 229.110-229.1123, as such regulatiOn 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 in
writing by the Commission or its staff from time to time.

          "Related Agreements" means the Certificates, the Depository Agreement
and the underwriting agreement between Seller and the underwriter(s) of the
Certificates. The Related Agreements to be executed by any party are referred to
herein as "such party's Related Agreements", "its Related Agreements" or by a
similar expression.

          "Required Rating" means a rating with respect to short term deposit
obligations of at least P-1 by Moody's and at least A-1 by S&P.

          "Reserve Account" means the account established, maintained and
designated as the "Reserve Account" pursuant to Section 4.6.

          "Reserve Account Initial Deposit" means cash or Eligible Investments
having a value of at least $____________.

          "Reserve Account Property" is defined in Section 4.6.

          "Responsible Officer" means, with respect to the Trustee, any officer
within the corporate trust department of the Trustee, including any vice
president, assistant vice president, assistant secretary, assistant treasurer,
trust officer or any other officer of the Trustee who customarily performs
functions similar to those performed by the persons who at the time shall be
such officers, respectively, or to whom any corporate trust matter is referred
because of such person's knowledge of and familiarity with the particular
subject and who, in each case, shall have direct responsibility for the
administration of the Agreement,

          "Rule of 78's Receivable" means a Receivable that provides for the
payment by the Obligor of a specified total amount of payments, payable in equal
monthly installments on each due date, which total represents the principal
amount financed and add-on interest in an amount calculated at the stated
Contract Rate for the term of the Receivable and allocated to each monthly
payment based upon a fraction, the numerator of which is the number of payments
scheduled to have been made prior to the due date for such monthly payments on
such Receivable and the denominator of which is the sum of all such numbers of
payments to be made until the maturity of such Receivable.

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

                                       16

<PAGE>

          "Schedule of Receivables" means, with respect to the Motor Vehicle
Loans to be conveyed to Seller by the Transferor and to Trustee by Seller, the
list identifying such retail Motor Vehicle Loans delivered to Trustee on the
Closing Date.

          "Securities Act" means the Securities Act of 1933.

          "Securities Intermediary" is defined in Section 4.6 of this Agreement.

          "Seller" means Volkswagen Auto Lease Underwritten Funding, LLC, in its
capacity as seller of the Receivables to the Trust under this Agreement, or any
successor pursuant to Section 6.3.

          "Servicer" means VW Credit, Inc., in its capacity as servicer of the
Receivables under this Agreement, any successor pursuant to Section 7.3 or any
successor Servicer appointed and acting pursuant to Section 8.2.

          "Servicer Termination Event" means an event specified in Section 8.1.

          "Servicer's Report" is defined in Section 3.9.

          "Servicing Criteria" shall mean the "servicing criteria" set forth in
Item 1122(d) of Regulation AB.

          "Servicing Fee" means, with respect to any Distribution Date, an
amount equal to the product of (a) one-twelfth of the Servicing Fee Rate,
multiplied by (b) the Pool Balance as of the beginning of the first day of the
preceding Collection Period.

          "Servicing Fee Rate" shall be ___% per annum, calculated on the basis
of a 360-day year consisting of twelve 30-day months.

          "Servicing Officer" means any individual involved in, or responsible
for, the administration and servicing of the Receivables, whose name appears on
a list of servicing officers attached to an Officer's Certificate furnished to
Trustee by Servicer, as such list may be amended from time to time by Servicer
in writing.

          "Simple Interest Method" means the method of allocating a fixed level
payment monthly installments between principal and interest, pursuant to which
such installment is allocated first to accrued and unpaid interest at the
Contract Rate on the unpaid principal balance and the remainder of such
installment is allocable to principal.

          "Simple Interest Receivable" means any Receivable under which the
portion of a payment allocable to interest and the portion allocable to
principal is determined in accordance with the Simple Interest Method.

                                       17

<PAGE>

          "Specified Reserve Account Balance" means, for any Distribution Date,
the greater of (a) ___% of the sum of the Class A Certificate Balance plus the
Class B Certificate Balance on such Distribution Date (after giving effect to
all payments on the Certificates to be made on or prior to such Distribution
Date), and (b) the Minimum Specified Reserve Balance as of such Distribution
Date.

          "Sum of Periodic Balances Receivable" means a Receivable that provides
for the payment by the obligor of a specified total amount of payments, payable
in equal monthly installments on each due date, which total represents the
principal amount financed and add-on interest in an amount calculated at the
stated Contract Rate for the term of the Receivable and allocated to each
monthly payment based upon a fraction, the numerator of which is the principal
balance of such Receivable immediately prior to the due date for such monthly
payment and the denominator of which is the sum of all principal balances for
each monthly payment to be made until the maturity of such Receivable.

          "Supplemental Servicing Fee" is defined in Section 3.8.

          "Transferor" means [Volkswagen Auto Lease Underwritten Funding, LLC].

          "Trust" means the trust created by this Agreement, which shall be
known as Volkswagen Auto Loan Enhanced Trust 200_-_.

          "Trustee" means _________, a ___________, as Trustee under this
Agreement and any successor Trustee appointed and acting pursuant to this
Agreement.

          "Trust Property" means:

               (a) all right, title and interest of Seller in and to the
          Receivables, and all moneys received thereon [on or] after the Cutoff
          Date;

               (b) all right, title and interest of Seller in the security
          interests in the Financed Vehicles granted by Obligors pursuant to the
          Receivables and any other interest of Seller in the Financed Vehicles
          and any other property that shall secure the Receivables;

               (c) the interest of Seller in any proceeds with respect to the
          Receivables from claims on any Insurance Policies covering Financed
          Vehicles or the Obligors or from claims under any lender's single
          interest insurance policy naming the Transferor as an insured;

               (d) rebates of premiums relating to Insurance Policies and
          rebates of other items such as extended warranties financed under the
          Receivables, in each case, to the extent the Servicer would, in
          accordance with its customary practices, apply such amounts to the
          Principal Balance of the related Receivable;

                                       18

<PAGE>

               (e) the interest of Seller in any proceeds from (i) any
          Receivable repurchased by a Dealer, pursuant to a Dealer Agreement, as
          a result of a breach of representation or warranty in the related
          Dealer Agreement, (ii) a default by an Obligor resulting in the
          repossession of the Financed Vehicle under the applicable Motor
          Vehicle Loan or (iii) any Dealer Recourse or other rights relating to
          the Receivables under Dealer Agreements;

               (f) all right, title and interest in all funds on deposit from
          time to time in the Collection Account, the Payahead Account, the
          Class A Distribution Account and the Class B Distribution Account
          (including the Account Property related thereto) and in all
          investments and proceeds thereof (but excluding all investment income
          thereon);

               (g) all right, title and interest of Seller under each Purchase
          Agreement, including the right of Seller to cause the Transferor to
          repurchase Receivables from Seller;

               (h) all right, title and interest of Seller in any instrument or
          document relating to the Receivables; and

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

          Notwithstanding anything to the contrary contained herein, the Trust
          Property shall not include, and the Trust shall not have any right to,
          the Reserve Account or any funds actually or deemed to be deposited in
          such account or any investments therein.

          "UCC" means the Uniform Commercial Code as in effect in the relevant
jurisdiction.

          Section 1.2 Other Interpretative Provisions. For purposes of this
Agreement, unless the context otherwise requires: (a) accounting terms not
otherwise defined in this Agreement, and accounting terms partly defined in this
Agreement to the extent not defined, shall have the respective meanings given to
them under generally accepted accounting principles; (b) terms defined in
Article 9 of the UCC as in effect in the relevant jurisdiction and not otherwise
defined in this Agreement are used as defined in that Article; (c) the words
"hereof," "herein" and "hereunder" and words of similar import refer to this
Agreement as a whole and not to any particular provision of this Agreement; (d)
references to any Article, Section, Schedule, Appendix or Exhibit are references
to Articles, Sections, Schedules, Appendices and Exhibits in or to this
Agreement and references to any paragraph, subsection, clause or other
subdivision within any Section or definition refer to such paragraph,
subsection, clause or other subdivision of such Section or definition; (e) the
term "including" means "including without limitation"; (f) except as otherwise
expressly provided herein, references to any law or regulation refer to that law
or regulation as amended from time to time and include any successor law or
regulation;

                                       19

<PAGE>

(g) references to any Person include that Person's successors and assigns; and
(h) headings are for purposes of reference only and shall not otherwise affect
the meaning or interpretation of any provision hereof.

          Section 1.3 Calculations. All calculations of the amount of interest
accrued on the Certificates during any Collection Period and all calculations of
the amount of the Servicing Fee payable with respect to a Collection Period
shall be made on the basis of a 360-day year consisting of twelve 30-day months.

          Section 1.4 References. All references to the Record Date prior to the
first Record Date in the life of the Trust shall be to the Closing Date. All
references to the first day of a Collection Period shall refer to the opening of
business on such day. All references to the last day of a Collection Period
shall refer to the close of business on such day. All references herein to the
close of business means the close of business, Detroit, Michigan time.

          Section 1.5 Action by or Consent of Holders. Whenever any provision of
this Agreement refers to action to be taken, or consented to, by Holders, such
provision shall be deemed to refer to Holders of record as of the Record Date
immediately preceding the date on which such action is to be taken, or consented
to, by Holders.

                                   ARTICLE II

                               THE TRUST PROPERTY.

          Section 2.1 Conveyance of Trust Property. In consideration of
Trustee's delivery to Seller or its designee of authenticated Certificates, in
authorized denominations, in an aggregate amount equal to the Original
Certificate Balance, Seller hereby sells, transfers, assigns and conveys to
Trustee, upon the terms and conditions hereof, in trust for the benefit of the
Holders, the Trust Property, without recourse (except to the extent of the
Servicer's obligations under this Agreement and the Related Agreements). The
sale, transfer, assignment, setting over and conveyance made hereunder shall not
constitute and is not intended to result in an assumption by Trustee, any Holder
or any Certificate Owner of any obligation of the Transferor to the Obligors,
the Dealers or any other Person in connection with the Receivables and the other
Trust Property or any agreement, document or instrument related thereto.

          Section 2.2 Representations and Warranties as to Each Receivable. The
Servicer hereby makes the following representations and warranties as to each
Receivable on which Trustee shall rely in accepting the Trust Property in trust
and authenticating the Certificates. Unless otherwise indicated, such
representations and warranties shall speak as of the Closing Date, but shall
survive the sale, transfer and assignment of the Receivables and the other Trust
Property to the Trust.

               (a) Characteristics of Receivables. The Receivable has been fully
          and properly executed by the parties thereto and (i) is a Direct Loan
          made by an

                                       20

<PAGE>

          Originator or has been originated by a Dealer in the ordinary course
          of such Dealer's business and has been purchased by an Originator, in
          either case, in the ordinary course of such Originator's business and
          in accordance with such Originator's underwriting standards to finance
          the retail sale by a Dealer of the related Financed Vehicle or has
          otherwise been acquired by the Transferor, (ii) the Originator of
          which has underwriting standards that require physical damage
          insurance to be maintained on the related Financed Vehicle, (iii) is
          secured by a valid, subsisting, binding and enforceable first priority
          security interest in favor of the Transferor in the Financed Vehicle
          (subject to administrative delays and clerical errors on the part of
          the applicable government agency and to any statutory or other lien
          arising by operation of law after the Closing Date which is prior to
          such security interest), which security interest is assignable
          together with such Receivable, and has been so assigned to Seller, and
          subsequently assigned by Seller to Trustee, (iv) contains customary
          and enforceable provisions such that the rights and remedies of the
          holder thereof are adequate for realization against the collateral of
          the benefits of the security, (v) provided, at origination, for level
          monthly payments (provided that the amount of the last payment may be
          different), which fully amortize the Initial Principal Balance over
          the original term, (vi) provides for interest at the Contract Rate
          specified in the Schedule of Receivables, (vii) was originated in the
          United States, and (viii) constitutes "chattel paper" as defined in
          the UCC.

               (b) Individual Characteristics. The Receivables have the
          following individual characteristics as of the Cutoff Date: (i) each
          Receivable is secured by a Motor Vehicle; (ii) each Receivable has a
          Contract Rate of at least ____% and not more than ___%; (iii) each
          Receivable had a remaining number of scheduled payments, as of the
          Cutoff Date, of not less than ______ and not more than _____; (iv)
          each Receivable had an initial Principal Balance of not less than
          $_______ and not more than $_____; (v) no Receivable was more than 30
          days past due as of the Cutoff Date; (vi) no Financed Vehicle had been
          repossessed as of the Cutoff Date; (vii) no Receivable is subject to a
          force placed Physical Damage Insurance Policy on the related Financed
          Vehicle; [(viii) each Receivable is a Simple Interest Receivable;] and
          (ix) the Dealer of the Financed Vehicle has no participation in, or
          other right to receive, any proceeds of the Receivable. The
          Receivables were selected using selection procedures that were not
          intended by the Transferor or Seller to be adverse to the Holders.

               (c) Schedule of Receivables. The information with respect to each
          Receivable set forth in the Schedule of Receivables, including
          (without limitation) the identity and address of the Obligor, account
          number, the Initial Principal Balance, the maturity date and the
          Contract Rate, was true and correct in all material respects as of the
          close of business on the Cutoff Date.

                                       21

<PAGE>

               (d) Compliance with Law. The Receivable complied at the time it
          was originated or made, and will comply as of the Closing Date, in all
          material respects with all requirements of applicable federal, state
          and local laws, and regulations thereunder, including, to the extent
          applicable, usury laws, the Federal Truth in Lending Act, the Equal
          Credit Opportunity Act, the Fair Credit Billing Act, the Fair Credit
          Reporting Act, the Federal Trade Commission Act, the Magnuson-Moss
          Warranty Act, the Fair Debt Collection Practices Act, Federal Reserve
          Board Regulations B and Z and any other consumer credit, consumer
          protection, equal opportunity and disclosure laws.

               (e) Binding Obligation. The Receivable constitutes the genuine,
          legal, valid and binding payment obligation in writing of the Obligor,
          enforceable in all material respects by the holder thereof in
          accordance with its terms, subject to the effect of bankruptcy,
          insolvency, reorganization, or other similar laws affecting the
          enforcement of creditors' rights generally, and the Receivable is not
          subject to any right of rescission, setoff, counterclaim or defense,
          including the defense of usury.

               (f) Lien in Force. Neither Seller nor the Transferor has taken
          any action which would have the effect of releasing the related
          Financed Vehicle from the Lien granted by the Receivable in whole or
          in part.

               (g) No Amendment or Waiver. No material provision of the
          Receivable has been amended, waived, altered or modified in any
          respect, except such waivers as would be permitted under this
          Agreement, and no amendment, waiver, alteration or modification causes
          such Receivable not to conform to the other representations or
          warranties contained in this Section.

               (h) No Liens. Neither Seller nor the Transferor has received
          notice of any Liens or claims, including Liens for work, labor,
          materials or unpaid state or federal taxes, relating to the Financed
          Vehicle securing the Receivable, that are or may be prior to or equal
          to the Lien granted by the Receivable.

               (i) No Default. Except for payment delinquencies continuing for a
          period of not more than 30 days as of the Cutoff Date, to the
          knowledge of Seller, no default, breach, violation or event permitting
          acceleration under the terms of the Receivable exists and no
          continuing condition that with notice or lapse of time, or both, would
          constitute a default, breach, violation or event permitting
          acceleration under the terms of the Receivable has arisen.

               (j) Insurance. The Receivable requires the Obligor to insure the
          Financed Vehicle under a Physical Damage Insurance Policy, pay the
          premiums for such insurance and keep such insurance in full force and
          effect.

                                       22

<PAGE>

               (k) Good Title. No Receivable has been sold, transferred,
          assigned, or pledged by Seller to any Person other than the Trust.
          Immediately prior to the transfer and assignment herein contemplated,
          Seller had good and marketable title to the Receivable free and clear
          of any Lien and had full right and power to transfer and assign the
          Receivable to the Trust and immediately upon the transfer and
          assignment of the Receivable to the Trust, the Trust shall have good
          and marketable title to the Receivable, free and clear of any Lien;
          and the Trust's interest in the Receivable resulting from the transfer
          has been perfected under the UCC.

               (l) Obligations. The Transferor has duly fulfilled all
          obligations on its part to be fulfilled under, or in connection with,
          the Receivable.

               (m) Possession. There is only one original executed Receivable,
          and immediately prior to the Closing Date, the Transferor will have
          possession of such original executed Receivable.

               (n) [No Government Obligor. The Obligor on the Receivable is not
          the United States of America or any state thereof or any local
          government, or any agency, department, political subdivision or
          instrumentality of the United States of America or any state thereof
          or any local government.]

               (o) Marking Records. By the Closing Date, Seller shall have
          caused the portions of Seller's and the Transferor's electronic master
          record of Motor Vehicle Loans relating to the Receivables to be
          clearly and unambiguously marked to show that the Receivable is owned
          by Trustee in accordance with the terms of this Agreement.

               (p) No Assignment. As of the Closing Date, Seller shall not have
          taken any action to convey any right to any Person that would result
          in such Person having a right to payments received under the Insurance
          Policies or Dealer Agreements, or payments due under the Receivable,
          that is senior to, or equal with, that of Trustee.

               (q) Lawful Assignment. The Receivable has not been originated in,
          and is not subject to the laws of, any jurisdiction under which the
          sale, transfer or assignment of such Receivable hereunder or pursuant
          to transfers of the Certificates are unlawful, void or voidable.
          Neither Seller nor the Transferor has entered into any agreement with
          any obligor that prohibits, restricts or conditions the assignment of
          any portion of the Receivables.

          Section 2.3 Representations and Warranties as to the Receivables in
the Aggregate. The Servicer hereby makes the following representations and
warranties as to the Receivables on which Trustee shall rely in accepting the
Trust Property in trust and

                                       23

<PAGE>

authenticating the Certificates. Unless otherwise indicated, such
representations and warranties shall speak as of the Closing Date, but shall
survive the sale, transfer and assignment of the Receivables and the other Trust
Property to the Trust.

               (a) Amounts. The Original Pool Balance was $______________.

               (b) Aggregate Characteristics. The Receivables had the following
          characteristics in the aggregate as of the Cutoff Date: (i)
          approximately ___% of the Original Pool Balance was attributable to
          loans for purchases of new Financed Vehicles, and approximately ___%
          of the Original Pool Balance was attributable to loans for purchases
          of used Financed Vehicles; (ii) approximately ___%, ___%, ___% and
          ____% of the Original Pool Balance was attributable to Receivables the
          mailing addresses of the Obligors with respect to which are located in
          the States of __________, __________, __________, and ___________,
          respectively, and no other state accounts for more than 5% of the
          Original Pool Balance; (iii) the weighted average Contract Rate of the
          Receivables was ____%; (iv) there are Receivables being conveyed by
          Seller to the Trust; (v) the average Cutoff Date Principal Balance of
          the Receivables was $________; and (vi) the weighted average original
          term and weighted average remaining term of the Receivables were
          ______ months and ___ months, respectively.

          Section 2.4 Repurchase upon Breach. Seller, Servicer or Trustee, as
the case may be, shall inform the other parties to this Agreement promptly, in
writing, upon the discovery of any breach or failure to be true of the
representations or warranties made by Servicer in Section 2.2, provided that the
failure to give such notice shall not affect any obligation of The Servicer. If
the breach or failure shall not have been cured by the last day of the
Collection Period which includes the 60th day (or if Servicer elects, the 30th
day) after the date on which Servicer becomes aware of, or receives written
notice from Trustee or the Servicer of, such breach or failure, and such breach
or failure materially and adversely affects the interests of Trustee and the
Holders in any Receivable, Servicer shall purchase each such affected Receivable
from Trustee as of such last day of such Collection Period at a purchase price
equal to the Purchase Amount for such Receivable as of such last day of such
Collection Period. Notwithstanding the foregoing, any such breach or failure
with respect to the representations and warranties contained in Section 2.2 will
not be deemed to have such a material and adverse effect with respect to a
Receivable if the facts resulting in such breach or failure do not affect the
ability of the Trust to receive and retain payment in full on such Receivable.
In consideration of the repurchase of a Receivable hereunder, Servicer shall
remit the Purchase Amount of such Receivable, no later than the close of
business on the next Deposit Date, in the manner specified in Section 4.4. The
sole remedy of the Trust, Trustee or the Holders with respect to a breach or
failure to be true of the representations or warranties made by Servicer
pursuant to Section 2.2 shall be to require Servicer to purchase Receivables
pursuant to this Section.

                                       24

<PAGE>

          Section 2.5 Custodian of Receivable Files. (a) Custody. To assure
uniform quality in servicing the Receivables and to reduce administrative costs,
Trustee, upon the execution and delivery of this Agreement, revocably appoints
the Custodian, as agent, and the Custodian accepts such appointment, to act as
agent on behalf of Trustee to maintain custody of the following documents or
instruments, which are hereby constructively delivered to Trustee with respect
to each Receivable (collectively, a "Receivable File"):

               (i) the fully executed original of the Receivable;

               (ii) any documents customarily delivered to or held by Servicer
               evidencing the existence of any Physical Damage Insurance
               Policies;

               (iii) the original credit application, fully executed by the
               Obligor;

               (iv) the original certificate of title, or such other documents
               as the Transferor, as appropriate, keeps on file, in accordance
               with its customary procedures, evidencing the security interest
               of the Transferor in the Financed Vehicle;

               (v) originals or true copies of all documents, instruments or
               writings relating to extensions, amendments or waivers of the
               Receivable; and

               (vi) any and all other documents or electronic records that the
               Transferor or Servicer, as the case may be, keeps on file, in
               accordance with its customary procedures, relating to the
               Receivable, any Insurance Policies, the Obligor or the Financed
               Vehicle.

               (b) Safekeeping. Servicer, in its capacity as Custodian, shall
          hold the Receivable Files as agent on behalf of Trustee for the
          benefit of all present and future Holders, and maintain such accurate
          and complete accounts, records and computer systems pertaining to each
          Receivable as shall enable Servicer and Trustee to comply with the
          terms and provisions of this Agreement applicable to them. In
          performing its duties as Custodian hereunder, the Custodian shall act
          with reasonable care, exercising the degree of skill, attention and
          care that Custodian exercises with respect to receivable files
          relating to other similar motor vehicle loans owned and/or serviced by
          the Custodian and that is consistent with industry standards. In
          accordance with its customary practice with respect to its retail
          installment sale contracts, Custodian shall conduct, or cause to be
          conducted, periodic audits of the Receivable Files held by it under
          this Agreement, and of the related accounts, records, and computer
          systems, and shall maintain the Receivable Files in such a manner as
          shall enable Trustee to verify, if Trustee so elects, the accuracy of
          the record keeping of Custodian. Custodian shall promptly report to
          Trustee any failure on its part to hold the Receivable Files and
          maintain its accounts, records and computer systems as

                                       25

<PAGE>

          herein provided, and promptly take appropriate action to remedy any
          such failure. The Custodian hereby acknowledges receipt of the
          Receivable File for each Receivable listed on the Schedule of
          Receivables. Nothing herein shall be deemed to require Trustee to
          verify the accuracy of the record keeping of the Custodian.

               (c) Maintenance of and Access to Records. The Custodian shall
          maintain each Receivable File at the location specified in Schedule A
          to this Agreement, or at such other office of the Custodian within the
          United States (or, in the case of any successor Custodian, within the
          State in which its principal place of business is located) as shall be
          specified to Trustee by 30 days' prior written notice. Upon Trustee's
          reasonable request, the Custodian shall make available to Trustee or
          its agents (or, when requested in writing by Trustee, to its attorneys
          or auditors) the Receivable Files and the related accounts, records
          and computer systems maintained by the Custodian at such times during
          the normal business hours of the Custodian for purposes of inspecting,
          auditing or making copies or abstracts of the same.

               (d) Release of Documents. Upon written instructions from Trustee,
          Custodian shall release any document in the Receivable Files to
          Trustee or its agent or designee, as the case may be, at such place or
          places as Trustee may designate, as soon thereafter as is practicable.
          Any document so released shall be handled by Trustee with due care and
          returned to the Custodian for safekeeping as soon as Trustee or its
          agent or designee, as the case may be, shall have no further need
          therefor.

               (e) Title to Receivables. The Custodian agrees that, in respect
          of any Receivable File held by the Custodian hereunder, the Custodian
          will not at any time have or in any way attempt to assert any interest
          in such Receivable File or the related Receivable, other than solely
          for the purpose of collecting or enforcing the Receivable for the
          benefit of the Trust and that the entire equitable interest in such
          Receivable and the related Receivable File shall at all times be
          vested in the Trust.

               (f) Instructions; Authority to Act. The Custodian shall be deemed
          to have received proper instructions with respect to the Receivable
          Files upon its receipt of written instructions signed by an Authorized
          Officer of Trustee. A certified copy of excerpts of certain
          resolutions of the Board of Directors of Trustee shall constitute
          conclusive evidence of the authority of any such Authorized Officer to
          act and shall be considered in full force and effect until receipt by
          the Custodian of written notice to the contrary given by Trustee.

               (g) Custodian's Indemnification. Custodian shall indemnify and
          hold harmless Trustee, its officers, directors, employees and agents
          and the Holders

                                       26

<PAGE>

          from and against any and all liabilities, obligations, losses,
          compensatory damages, payments, costs or expenses (including legal
          fees if any) of any kind whatsoever that may be imposed on, incurred
          or asserted against Trustee or the Holders as the result of any act or
          omission of Custodian relating to the maintenance and custody of the
          Receivable Files; provided that the Custodian shall not be liable
          hereunder to the extent that such liabilities, obligations, losses,
          compensatory damages, payments, costs or expenses result from the
          willful misfeasance, bad faith or negligence of Trustee.
          Indemnification under this Section 2.5(g) shall include reasonable
          fees and expenses of counsel and expenses of litigation and shall
          survive termination of this Agreement and the resignation or removal
          of Trustee. If Custodian shall have made any indemnity payments to
          Trustee pursuant to this Section and Trustee thereafter shall collect
          any of such amounts from Persons other than Custodian, Trustee shall
          immediately upon receipt thereof repay such amounts to Custodian,
          without interest.

               (h) Effective Period and Termination. Servicer's appointment as
          Custodian shall become effective as of the Cutoff Date and shall
          continue in full force and effect until terminated pursuant to this
          subsection (h). If Servicer shall resign as Servicer in accordance
          with Section 7.5 or if all of the rights and obligations of Servicer
          shall have been terminated under Section 8.1, the appointment of
          Servicer as Custodian hereunder may be terminated by Trustee or by the
          Majority Holders, in the same manner as Trustee or such Holders may
          terminate the rights and obligations of Servicer under Section 8.1.
          Trustee may terminate Servicer's appointment as Custodian hereunder at
          any time with cause, or with 30 days' prior written notice without
          cause, upon written notification to Servicer. As soon as practicable
          after any termination of such appointment Servicer shall deliver, or
          cause to be delivered, the Receivable Files to Trustee, Trustee's
          agent or Trustee's designee at such place or places as Trustee may
          reasonably designate. Notwithstanding any termination of Servicer as
          Custodian hereunder (other than in connection with a termination
          resulting from the termination of Servicer, as such, pursuant to
          Section 8.1), from and after the date of such termination, and for so
          long as Servicer is acting as such pursuant to this Agreement, Trustee
          shall provide, or cause the successor Custodian to provide, access to
          the Receivable Files to Servicer, at such times as Servicer shall
          reasonably request, for the purpose of carrying out its duties and
          responsibilities with respect to the servicing of the Receivables
          hereunder.

               (i) Delegation. Custodian may, at any time without notice or
          consent, delegate any or all of its duties to the Transferor; provided
          that no such delegation shall relieve Custodian of its responsibility
          with respect to such duties and Custodian shall remain obligated and
          liable to Trustee and the Holders for its duties hereunder as if
          Custodian alone were performing such duties.

                                       27
<PAGE>

                                   ARTICLE III

                 ADMINISTRATION AND SERVICING OF TRUST PROPERTY.

          Section 3.1 Duties of Servicer. (a) Servicer is hereby authorized to
act as agent for the Trust and in such capacity shall manage, service,
administer and make collections on the Receivables (other than Purchased
Receivables), and perform the other actions required by Servicer under this
Agreement, with reasonable care. Without limiting the standard set forth in the
preceding sentence, Servicer shall use a degree of skill, attention and care
that is not less than Servicer exercises with respect to comparable Motor
Vehicle Loans that it services for itself or others and that is consistent with
prudent industry standards. Servicer's duties shall include the collection and
posting of all payments, responding to inquiries by obligors on the Receivables,
or by federal, state or local governmental authorities, investigating
delinquencies, sending payment coupons or monthly invoices to Obligors,
reporting required tax information to Obligors, accounting for Collections,
monitoring the status of Physical Damage Insurance Policies with respect to the
Financed Vehicles as provided in Section 3.4(a), furnishing monthly and annual
statements to Trustee with respect to distributions, providing collection and
repossession services in the event of Obligor default and performing the other
duties specified herein. Servicer shall also administer and enforce all rights
and responsibilities of the holder of the Receivables provided for in the
Physical Damage Insurance Policies as provided in Section 3.4(b) and the Dealer
Agreements. Without limiting the generality of the foregoing, Servicer is hereby
authorized and empowered by Trustee to execute and deliver, on behalf of itself,
the Trust, Trustee and the Holders, 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 or to the Financed
vehicles, all in accordance with this Agreement; provided that notwithstanding
the foregoing, Servicer shall 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 connection with a de minimis deficiency
which Servicer would not attempt to collect in accordance with its customary
procedures. If Servicer shall commence a legal proceeding to enforce a
Receivable, Trustee shall thereupon be deemed to have automatically assigned
such Receivable to Servicer, which assignment shall be solely for purposes of
collection. Trustee shall furnish Servicer with any powers of attorney and other
documents or instruments necessary or appropriate to enable Servicer to carry
out its servicing and administrative duties hereunder.

               (b) Servicer may, at any time without notice (except that
          Servicer shall give written notice to each Rating Agency of any
          delegation outside the ordinary course of business of the substantial
          portion of its servicing business) or consent, delegate specific
          duties to subcontractors who are in the business of performing such
          duties; provided that no such delegation shall relieve Servicer of its
          responsibility with respect to such duties and Servicer shall remain
          obligated and liable to Trustee and the Holders for servicing and
          administering the Receivables in accordance with this Agreement as if
          Servicer alone were performing such duties.

                                       28

<PAGE>

          Section 3.2 Collection of Receivable Payments. (a) Servicer shall make
reasonable efforts to collect all payments called for under the terms and
provisions of the Receivables as and when the same shall become due, and
otherwise act with respect to the Receivables, the Physical Damage Insurance
Policies, the Dealer Agreements and the other Trust Property in such manner as
will, in the reasonable judgment of Servicer, maximize the amount to be received
by the Trust with respect thereto, in accordance with the standard of care
required by Section 3.1. Servicer shall be entitled to amend or modify any
Receivable in accordance with its customary procedures if Servicer believes in
good faith that such amendment or modification is in the best interests of the
Trust; provided that Servicer may not, unless ordered by a court of competent
jurisdiction or otherwise required by applicable law, (i) extend a Receivable
beyond the Final Scheduled Maturity Date, or (ii) reduce the Principal Balance
or Contract Rate of any Receivable. If Servicer fails to comply with the
provisions of the preceding sentence, Servicer shall be required to purchase the
Receivable or Receivables affected thereby, for the Purchase Amount, in the
manner specified in Section 4.7 as of the close of business for the Collection
Period in which such failure occurs. Servicer may, in its discretion (in
accordance with its customary standards, policies and procedures), waive any
prepayment charge, late payment charge, extension fee or any other fee that may
be collected in the ordinary course of servicing a Receivable.

               (b) If in the course of collecting payments under the
          Receivables, Servicer determines to set off any obligation of Servicer
          to an Obligor against an amount payable by the Obligor with respect to
          such Receivable, Servicer shall deposit the amount so set off in the
          Collection Account, no later than the close of business on the Deposit
          Date for the Collection Period in which the set-off occurs. All
          references herein to payments or Liquidation Proceeds collected by
          Servicer shall include amounts set-off by Servicer.

          Section 3.3 Realization upon Receivables. On behalf of the Trust,
Servicer shall charge off a Receivable as a Defaulted Receivable in accordance
with its customary standards (and, in no event later than ___ days after a
Receivable shall have become delinquent) and shall use reasonable efforts to
repossess and liquidate the Financed Vehicle securing any Defaulted Receivable
as soon as feasible after default, in accordance with the standard of care
required by Section 3.1. In taking such action, Servicer shall follow such
customary and usual practices and procedures as it shall deem necessary or
advisable in its servicing of Motor Vehicle Loans, and as are otherwise
consistent with the standard of care required under Section 3.1, which shall
include exercising any rights under the Dealer Agreements and selling the
Financed Vehicle at public or private sale. Servicer shall be entitled to
recover all reasonable expenses incurred by it in the course of repossessing and
liquidating a Financed Vehicle into cash proceeds or pursuing any deficiency
claim against the related Obligor, but only out of the cash proceeds of such
Financed Vehicle or any deficiency obtained from the Obligor. The foregoing
shall be subject to the provision that, in any case in which a Financed Vehicle
shall have suffered damage, Servicer shall not expend funds in connection with
the repair or the repossession of such Financed Vehicle unless it shall
determine in its discretion that such repair and/or repossession

                                       29

<PAGE>

will increase the Liquidation Proceeds of the related Receivable by an amount
equal to or greater than the amount of such expenses.

          If Servicer elects to commence a legal proceeding to enforce a Dealer
Agreement, the act of commencement shall be deemed to be an automatic assignment
from Trustee to Servicer of the rights under such Dealer Agreement. If, however,
in any enforcement suit or legal proceeding, it is held that Servicer may not
enforce a Dealer Agreement on the grounds that it is not a real party in
interest or a Person entitled to enforce the Dealer Agreement, Trustee, on
behalf of the Trust, at Servicer's expense, shall take such steps as Servicer
deems necessary to enforce the Dealer Agreement, including bringing suit in its
name or the names of the Holders.

          Section 3.4 Physical Damage Insurance. (a) The Receivables require
that each Financed Vehicle be insured under a Physical Damage Insurance Policy.
Servicer shall monitor or cause to be monitored, the status of such physical
damage insurance coverage to the extent consistent with its customary servicing
procedures. If Servicer shall determine that an Obligor has failed to obtain or
maintain a Physical Damage Insurance Policy covering the related Financed
Vehicle, Servicer shall use its reasonable efforts to enforce the rights of the
holder of the Receivable under the Receivable to require the Obligor to obtain
such physical damage insurance, provided that Servicer shall not be required to
take such actions if there is in place a lender's single interest policy with
respect to the related Financed Vehicle that complies with Servicer's customary
requirements. It is understood that Servicer will not "force-place" any Physical
Damage Insurance Policy on any Financed Vehicle.

               (b) Servicer may sue to enforce or collect upon the Physical
          Damage Insurance Policies, in its own name, if possible, or as agent
          for the Trust. If Servicer elects to commence a legal proceeding to
          enforce a Physical Damage Insurance Policy, the act of commencement
          shall be deemed to be an automatic assignment of the rights of the
          Trust under such Physical Damage Insurance Policy to Servicer for
          purposes of collection only. If, however, in any enforcement suit or
          legal proceeding it is held that Servicer may not enforce a Physical
          Damage Insurance Policy on the grounds that it is not a real party in
          interest or a holder entitled to enforce the Physical Damage Insurance
          Policy, Trustee, on behalf of the Trust, at Servicer's expense, shall
          take such steps as Servicer deems necessary to enforce such Physical
          Damage Insurance Policy, including bringing suit in its name or the
          name of Trustee for the benefit of the Holders. Servicer shall make
          all claims and enforce its rights under any lender's single interest
          insurance policy (to the extent such claims or rights relate to
          Receivables) for the benefit of the Trust and shall treat as
          Collections all related proceeds of such policies.

          Section 3.5 Maintenance of Security Interests in Financed Vehicles.
Servicer, in accordance with the standard of care required under Section 3.1,
shall take such reasonable steps as are necessary to maintain perfection of the
security interest created by each Receivable in the related Financed Vehicle for
the benefit of the Trust. Trustee, on behalf of the Trust,

                                       30

<PAGE>

hereby authorizes Servicer, and Servicer hereby agrees, to take such reasonable
steps as are necessary to re-perfect such security interest on behalf of the
Trust in the event Servicer receives notice of the relocation of a Financed
Vehicle. If there has been a Servicer Termination Event, upon the request of
Trustee, Servicer, at its expense, shall promptly and duly execute and deliver
such documents and instruments, and take such other reasonable actions as may be
necessary, as evidenced by an Opinion of Counsel delivered to Trustee to perfect
the Trust's interest in the Trust Property against all other Persons, including
the delivery of the Receivables and the Receivable Files to Trustee, its agent,
or its designee, the endorsement and delivery of the Physical Damage Insurance
Policies or the notification of the insurers thereunder, the execution of
transfer instruments, and the endorsement to Trustee and the delivery of the
certificates of title to the Financed Vehicles to the appropriate department or
departments of motor vehicles (or other appropriate governmental agency).

          Section 3.6 Covenants of Servicer. Servicer makes the following
covenants on which Trustee relies in accepting the Trust Property in trust and
in executing and authenticating the Certificates:

               (a) Security Interest to Remain in Force. Servicer shall not
          release any Financed Vehicle from the security interest granted by the
          related Receivable in whole or in part, except upon payment in full of
          the Receivable or as otherwise contemplated herein.

               (b) No Impairment. Servicer shall not impair in any material
          respect the rights of the Holders in the Receivables, the Dealer
          Agreements or the Physical Damage Insurance Policies or, subject to
          clause (c), otherwise amend or alter the terms thereof if, as a result
          of such amendment or alteration, the interests of the Trust and the
          Holders hereunder would be materially adversely affected.

               (c) Amendments. Servicer shall not amend or otherwise modify any
          Receivable (including the grant of any extension thereunder), except
          in accordance with Section 3.2.

          Section 3.7 Purchase by Servicer upon Breach. Seller, Servicer or
Trustee, as the case may be, shall inform the other parties promptly, in
writing, upon the discovery of any breach by Servicer of its covenants under
Section 3.5 or 3.6; provided that the failure to give such notice shall not
affect any obligation of Servicer. Unless the breach shall have been cured by
the last day of the Collection Period which includes the 60th day (or the 30th
day, if Servicer so elects) after the date on which Servicer becomes aware of,
or receives written notice of, such breach, and such breach or failure
materially and adversely affects the interests of Trustee and the Holders in any
Receivable, Servicer shall purchase such Receivable from Trustee as of the last
day of the Collection Period at a purchase price equal to the Purchase Amount
for such Receivable as of the last day of such Collection Period; provided that
in the case of a breach of the covenant contained in Section 3.6(c), Servicer
shall be obligated to purchase the affected

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Receivable or Receivables on the Deposit Date immediately succeeding the
Collection Period during which Servicer becomes aware of, or receives written
notice of, such breach. In consideration of the purchase of a Receivable
hereunder, Servicer shall remit the Purchase Amount of such Receivable in the
manner specified in Section 5.4. The sole remedy of the Trust, Trustee or the
Holders against Servicer with respect to a breach pursuant to Section 3.5 or 3.6
shall be to require Servicer to repurchase Receivables pursuant to this Section.

          Section 3.8 Servicing Compensation. The servicing fee for (a) the
_____ 200_ Distribution Date shall equal $________ and (b) for each Distribution
Date thereafter shall equal the product of (i) one-twelfth, (ii) the Servicing
Fee Rate and (iii) the Pool Balance as of the opening of business on the first
day of the related Collection Period (the "Servicing Fee"). Servicer shall also
be entitled to retain any late fees, extension fees, prepayment charges
(including, in the case of any Rule of 78's Receivable or Sum of Periodic
Balances Receivable that is prepaid in full, amounts received in excess of the
outstanding Principal Balance of such Receivable and accrued interest thereon
calculated as if such Receivable were an Actuarial Receivable) and certain
non-sufficient funds charges and other administrative fees or similar charges
allowed by applicable law with respect to Receivables collected (from whatever
source) on the Receivables and shall be paid any interest earned on deposits in
the Accounts (the "Supplemental Servicing Fee"). It is understood and agreed
that Available Interest or Available Principal shall not include any amounts
retained by Servicer which constitute Supplemental Servicing Fees. The Servicing
Fee in respect of a Collection Period (together with any portion of the
Servicing Fee that remains unpaid from prior Distribution Dates), if the Rating
Agency Condition is satisfied, may be paid at the beginning of such Collection
Period out of Collections for such Collection Period. As provided in Section
4.5, as additional compensation, Servicer shall be entitled to receive on each
Distribution Date, any Additional Servicing for such Distribution Date.

          Section 3.9 Servicer's Report. (a) On each Determination Date,
Servicer shall deliver to Trustee, each Paying Agent and Seller, with a copy to
the Rating Agencies, a Servicer's Report substantially in the form of Exhibit C
(a "Servicer's Report") containing, among other things, (i) all information
necessary to make the deposits, transfers and distributions required by Sections
4.4, 4.5 and 4.6, (ii) all information necessary for sending statements to
Holders pursuant to Section 4.7, (iii) all information necessary to prepare the
certificate described in Section 9.3, (iv) all information necessary to
determine if there has been a Servicer Termination Event under Section 8.1, and
(v) all information necessary to reconcile all deposits to, and withdrawals
from, the Collection Account for such Distribution Date and the related
Collection Period. Servicer also shall separately identify (by account number of
the Receivable as it appears in the Schedule of Receivables) to Trustee in a
written notice or a list in computer readable form the Receivables to be
purchased by Servicer, as the case may be, on the related Deposit Date, and each
Receivable which became a Defaulted Receivable during the related Collection
Period.

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<PAGE>

               (b) Servicer shall provide Trustee with a database file for the
          Receivables at or prior to the Closing Date (but with information as
          of the close of business on the Cutoff Date).

          Section 3.10 Annual Statement as to Compliance. (a) The Servicer will
deliver to the Trustee and each Rating Agency, on or before [_____] of each
year, beginning on [_____], an Officer's Certificate (with appropriate
insertions) providing such information as is required under Item 1123 of
Regulation AB.

               (b) Servicer shall deliver to Trustee and each Rating Agency,
          promptly after having obtained knowledge thereof, but in no event
          later than five Business Days thereafter, written notice in an
          Officer's Certificate of any event which constitutes, or with the
          giving of notice or lapse of time or both, would become, a Servicer
          Termination Event under Section 8.1.

               (c) The Servicer will deliver to the Trustee, on or before
          [_____] of each year, beginning on [_____], a report regarding the
          Servicer's assessment of compliance with the Servicing Criteria during
          the immediately preceding calendar year, including disclosure of any
          material instance of non-compliance identified by the Servicer, as
          required under paragraph (b) of Rule 13a-18, Rule 15d-18 of the
          Exchange Act and Item 1122 of Regulation AB.

          Section 3.11 Annual Servicing Report of Independent Public
Accountants. On or before the 90th day following the end of each fiscal year,
beginning with the fiscal year ending [__________], the Servicer shall cause a
firm of nationally recognized independent public accountants (who may also
render other services to the Servicer, the Seller or their respective
Affiliates) to furnish to the Trustee, the Servicer, the Seller and each Rating
Agency each attestation report on assessments of compliance with the Servicing
Criteria with respect to the Servicer or any affiliate thereof during the
related fiscal year delivered by such accountants pursuant to paragraph (c) of
Rule 13a-18 or Rule 15d-18 of the Exchange Act and Item 1122 of Regulation AB.
The certification required by this paragraph may be replaced by any similar
certification using other procedures or attestation standards which are now or
in the future in use by servicers of comparable motor vehicle receivables, or
which comply with any rule, regulation, "no action" letter or similar guidance
promulgated by the Commission.

          Such report will also indicate that the firm is independent of
Servicer within the meaning of the Code of Professional Ethics of the American
Institute of Certified Public Accountants.

          Section 3.12 Access to Certain Documentation and Information Regarding
Receivables. Servicer shall provide Trustee and the Holders with access to the
Receivable Files (in the case of the Holders, only in such cases where it shall
be required by applicable statutes or regulations to give access to such
documentation as demonstrated by evidence satisfactory to Servicer in its
reasonable judgment). Such access shall be afforded without charge, but only

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<PAGE>

upon reasonable request and during normal business hours at the offices of
Servicer. Nothing in this Section shall affect the obligation of Servicer to
observe any applicable law prohibiting disclosure of information regarding the
Obligors, and the failure of Servicer to provide access to information as a
result of such obligation shall not constitute a breach of this Section. Any
Holder, by its acceptance of a Certificate, shall be deemed to have agreed to
keep any information obtained by it pursuant to this Section confidential and
not to use such information for any other purpose, except as required by
applicable law.

          Section 3.13 Reports to the Commission. Servicer shall, on behalf of
the Trust, cause to be filed with the Commission any periodic reports required
to be filed under the provisions of the Exchange Act, and the rules and
regulations of the Commission thereunder.

          Section 3.14 Reports to the Rating Agency. Servicer shall deliver to
each Rating Agency a copy of all reports or notices furnished or delivered
pursuant to this Article and a copy of any amendments, supplements or
modifications to this Agreement and any other information reasonably requested
by such Rating Agency to monitor this transaction.

          Section 3.15 Servicer Expenses. Servicer shall be required to pay all
expenses incurred by it in connection with its activities hereunder, including
fees and disbursements of the Trustee, independent accountants, taxes imposed on
Servicer and expenses incurred in connection with distributions and reports to
Holders.

                                   ARTICLE IV

             DISTRIBUTIONS; RESERVE ACCOUNT; STATEMENTS TO HOLDERS.

          Section 4.1 Establishment of Accounts. (a) Trustee, on behalf of the
Trust and for the benefit of the Holders, shall establish and maintain in the
name of Trustee one or more segregated Eligible Deposit Accounts (collectively,
the "Collection Account"), bearing a designation clearly indicating that the
funds deposited therein are held for the benefit of the Holders. Trustee, on
behalf of the Trust and for the benefit of the Class A Holders, shall establish
and maintain in the name of Trustee an Eligible Deposit Account (the "Class A
Distribution Account"), bearing a designation clearly indicating that the funds
deposited therein are held for the benefit of the Class A Holders. Trustee, on
behalf of the Trust and for the benefit of the Class B Holders, shall establish
and maintain in the name of Trustee an Eligible Deposit Account (the "Class B
Distribution Account"), bearing a designation clearly indicating that the funds
deposited therein are held for the benefit of the Class B Holders. Trustee on
behalf of the Trust and for the benefit of the Holders, shall establish and
maintain in the name of Trustee an Eligible Deposit Account (the "Payahead
Account"), bearing a designation clearly indicating that the funds therein are
held for the benefit of the Holders. The Collection Account, the Class A
Distribution Account, the Class B Distribution Account, and the Payahead Account
shall be initially established and maintained with the trust department of
Trustee.

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               (b) Funds on deposit in the Collection Account, the Class A
          Distribution Account, the Class B Distribution Account, and the
          Payahead Account shall be invested by Trustee in Eligible Investments
          selected by Servicer (pursuant to standing instructions or otherwise)
          and confirmed in writing by Servicer to Trustee; provided that, it is
          understood and agreed that neither Servicer nor Trustee shall be
          liable for any loss arising from such investment in Eligible
          Investments. All such Eligible Investments shall be held by Trustee
          for the benefit of the beneficiaries of the applicable Account;
          provided that on each Distribution Date all interest and other
          investment income (net of losses and investment expenses) on funds on
          deposit therein shall be withdrawn from the Accounts at the written
          direction of Servicer and shall be paid to Servicer and shall not be
          available or otherwise subject to any claims or rights of the Holders.
          Other than as permitted by each Rating Agency, funds on deposit in the
          Accounts with respect to any Collection Period or Distribution Date
          shall be invested only in Eligible Investments that, except for money
          market funds, will mature so that such funds will be available at the
          close of business on the related Deposit Date. Funds deposited in an
          Account on a Deposit Date which immediately precedes a Distribution
          Date upon the maturity of any Eligible Investments are not required to
          be (but may be) invested overnight. No Eligible Investment with a
          stated maturity shall be disposed of prior to that maturity unless a
          default occurs with respect to that Eligible Investment and Servicer
          directs Trustee in writing to dispose of it.

               (c) Trustee shall possess all right, title and interest in all
          funds on deposit from time to time in the Accounts and in all proceeds
          thereof (excluding all income thereon) and all such funds, investments
          and proceeds shall be part of the Trust Property. The Accounts shall
          be under the sole dominion and the exclusive custody and control of
          Trustee, and Trustee shall have sole signature authority with respect
          thereto. If, at any time, any of the Accounts ceases to be an Eligible
          Deposit Account, Trustee (or Servicer on its behalf) shall within 10
          Business Days (or such longer period as to which each Rating Agency
          may consent) establish a new Account as an Eligible Deposit Account
          and shall transfer any cash and/or any investments that are in the
          existing Account which is no longer an Eligible Deposit Account to
          such new Account.

          Section 4.2 Collections. (a) Subject to the provisions of the
succeeding sentence and of subsections (b) and (c), Servicer shall remit to the
Collection Account all payments (other than amounts constituting Supplemental
Servicing Fees) by or on behalf of the Obligors on the Receivables, including
all Liquidation Proceeds received by Servicer during any Collection Period, as
soon as practicable, but in no event after the close of business on the second
Business Day, after receipt thereof. Subject to the provisions of subsections
(b) and (c), on the Closing Date, Servicer shall deposit in the Collection
Account all payments by or on behalf of the Obligors on the Receivables received
by Servicer after the Cutoff Date and on or prior to the second Business Day
immediately preceding the Closing Date.

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<PAGE>

               (b) Notwithstanding the provisions of subsection (a), if
          _________ is the Servicer and (i) Servicer shall have the Required
          Rating or (ii) Trustee otherwise shall have received written notice
          from each of the Rating Agencies that the then outstanding rating on
          the Class A Certificates and the Class B Certificates would not be
          lowered or withdrawn as a result, Servicer may deposit all amounts
          referred to in subsection (a) for any Collection Period into the
          Collection Account not later than the close of business on the Deposit
          Date with respect to such Collection Period; provided that if (x) a
          Servicer Termination Event has occurred and is continuing, (y)
          Servicer has been terminated as such pursuant to Section 8.1 or (z)
          Servicer ceases to have the Required Rating, Servicer shall deposit
          such amounts (including any amounts then being held by Servicer) into
          the Collection Account as provided in Section 4.2(a). Notwithstanding
          the foregoing, the provisions of the proviso to the preceding sentence
          shall not be applicable to a successor Servicer solely by reason of
          the occurrence of an event specified in clauses (x), (y) and (z) of
          such proviso with respect to the outgoing Servicer. Pending the
          deposit of the amounts referred to in subsection (a) into the
          Collection Account, such amounts may be employed by Servicer at its
          own risk and for its own benefit and need not be segregated from
          Servicer's own funds. Any losses resulting from Servicer's actions
          shall be borne exclusively by the Servicer. Servicer shall promptly
          notify Trustee in writing if it shall obtain or lose the Required
          Rating.

               (c) Notwithstanding the provisions of subsections (a) and (b),
          Servicer may retain, or will be entitled to be reimbursed, from
          amounts otherwise payable into, or on deposit in, the Collection
          Account with respect to a Collection Period any amounts previously
          deposited in the Collection Account but later determined to have
          resulted from mistaken deposits or postings or checks returned for
          insufficient funds, in each case, with respect to which Servicer has
          not been previously reimbursed hereunder. The amount to be retained or
          reimbursed hereunder shall not be included in Collections with respect
          to the related Distribution Date.

               (d) With respect to each Precomputed Receivable, collections and
          payments by or on behalf of an obligor (other than any amounts
          constituting Supplemental Servicing Fees) for each Collection Period
          shall be applied to the scheduled payment on such Precomputed
          Receivable for such Collection Period.

To the extent such collections and payments on a Precomputed Receivable during a
Collection Period exceed the scheduled payment on such Precomputed Receivable
and are insufficient to prepay the Precomputed Receivable in full, collections
shall be treated as Payaheads until such later Collection Period as such
Payaheads may be transferred to the Collection Account and applied either to the
scheduled payments due or to prepay the Precomputed Receivable in full in
accordance with Section 4.5.

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<PAGE>

          Section 4.3 [RESERVED].

          Section 4.4 Additional Deposits; Net Deposits. (a) On or prior to each
Deposit Date, Servicer shall remit to the Collection Account, in next-day or
immediately available funds, the aggregate Purchase Amounts of the Receivables
to be purchased by it under an obligation that arose during the preceding
Collection Period pursuant to Section 2.4, 3.7 or 10.2, respectively.

               (b) Servicer may make the remittances to be made by it pursuant
          to this Article IV net of amounts to be distributed to it pursuant to
          Section 4.5 (but subject to the priorities set forth therein), for so
          long as (i) no Servicer Termination Event has occurred and is
          continuing and (ii) Servicer has not been terminated as such pursuant
          to Section 8.1; provided that Servicer shall account for all of such
          amounts in the related Servicer's Report as if such amounts were
          deposited and distributed separately; and provided that, if an error
          is made by Servicer in calculating the amount to be deposited or
          retained by it and a shortfall in the amount deposited in the
          Collection Account results, Servicer shall make a payment of the
          deficiency to the Collection Account, immediately upon becoming aware,
          or receiving notice from Trustee, of such error.

          Section 4.5 Distributions. (a) On each Determination Date, Servicer
shall calculate all amounts required to determine the amounts to be deposited on
the related Distribution Date in the Class A Distribution Account and the Class
B Distribution Account which calculations shall be set forth in the Servicer's
Report delivered to Trustee on or before such Determination Date.

               (b) On or before each Distribution Date, Servicer shall instruct
          Trustee in writing (based on the information contained in Servicer's
          Report delivered on the related Determination Date pursuant to Section
          3.9) to, and the Trustee shall:

               (i) withdraw from the Payahead Account and deposit in the
               Collection Account, in immediately available funds, (x) with
               respect to each Precomputed Receivable for which the payments
               made by or on behalf of the obligor for the related Collection
               Period are less than the scheduled payment for the related
               Collection Period, the amount of Payaheads, if any, made with
               respect to such Receivable which, when added to the amount of
               such payments, is equal to the amount of such scheduled payment,
               (y) with respect to each Precomputed Receivable for which
               prepayments insufficient to prepay the Receivable in full have
               been made by or on behalf of the Obligor for the related
               Collection Period, the amount of Payaheads, if any, made with
               respect to such Receivable which, when added to the amount of
               such prepayments, is equal to an amount

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<PAGE>

               sufficient to prepay such Receivable in full, and (z) the amount
               of all Payaheads, if any, made with respect to any Purchased
               Receivable; and

               (ii) withdraw from the Collection Account and deposit in the
               Payahead Account (or receive from the Servicer, which will remit
               to the Trustee for deposit in the Payahead Account, as the case
               may be), in immediately available funds, the aggregate amount of
               collections on Precomputed Receivables treated as Payaheads
               pursuant to Section 4.2 for the Collection Period related to such
               Distribution Date.

               (c) On each Distribution Date, based on the related Servicer's
          Report, Trustee will make the following deposits and distributions
          from the Collection Account by ____ a.m. (___________, ________ time),
          to the extent of the sum of Available Interest and any Available
          Reserve Amount (and, in the case of shortfalls in the Class A Interest
          Distributable Amount occurring under clause (ii), the Class B
          Percentage of Available Principal to the extent of such shortfalls),
          in the following priority:

               (i) to Servicer, any unpaid Servicing Fee for the related
               Collection Period and all unpaid Servicing Fees from prior
               Collection Periods;

               (ii) to the Class A Distribution Account, the Class A Interest
               Distributable Amount for such Distribution Date; and

               (iii) to the Class B Distribution Account, the Class B Interest
               Distributable Amount for such Distribution Date.

On each Distribution Date, based on the related Servicer's Report, Trustee will
make the following deposits and distributions, to the extent of the portion of
Available Principal, Available Interest and Available Reserve Amount remaining
after the application of clauses (i), (ii) and (iii), in the following priority:

               (i) to the Class A Distribution Account, the Class A Principal
               Distributable Amount for such Distribution Date;

               (ii) to the Class B Distribution Account, the Class B Principal
               Distributable Amount for such Distribution Date;

               (iii) to the Reserve Account, any amounts remaining, until the
               amount on deposit in the Reserve Account equals the Specified
               Reserve Account Balance;

               (iv) to the Servicer, the Additional Servicing for such
               Distribution Date; and

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<PAGE>

               (v) to the Transferor, any amounts remaining.

               (d) On each Distribution Date, all amounts on deposit in the
          Class A Distribution Account will be distributed to the Class A
          Holders (determined as of the related Record Date) by Trustee and all
          amounts on deposit in the Class B Distribution Account will be
          distributed to the Class B Holders (determined as of the related
          Record Date) by Trustee. Except as provided in Section 10.1, payments
          under this paragraph shall be made to the Holders by check mailed by
          Trustee to each Holder's respective address of record (or, in the case
          of Certificates registered in the name of a Clearing Agency, or its
          nominee, by wire transfer of immediately available funds). To the
          extent that Trustee is required to wire funds to the Holders from the
          Class A Distribution Account or the Class B Distribution Account, as
          applicable, it shall request the bank maintaining the Class A
          Distribution Account or the Class B Distribution Account, as
          applicable, to make a wire transfer of the amount to be distributed
          and the bank maintaining the Class A Distribution Account or the Class
          B Distribution Account, as applicable, shall promptly deliver to
          Trustee a confirmation of such wire transfer. To the extent that
          Trustee is required to make payments to Holders by check hereunder, it
          shall request the bank maintaining the Class A Distribution Account or
          the Class B Distribution Account, as applicable, to provide it with a
          supply of checks to make such payments. The bank shall, if a request
          is made by Trustee for a wire transfer by ______ a.m. (____ ____,
          time) on any Distribution Date, wire such funds in accordance with
          such instructions by ______ a.m. (____ ____, time) on such
          Distribution Date, and it will otherwise act in compliance with the
          provisions of this paragraph and the other provisions of this
          Agreement applicable to it as the bank maintaining the Class A
          Distribution Account or the Class B Distribution Account, as
          applicable. Servicer shall take all necessary action (including
          requiring an agreement to such effect) to ensure that any bank
          maintaining the Class A Distribution Account or the Class B
          Distribution Account, as applicable, agrees to comply, and complies,
          with the provisions of this paragraph and the other provisions of this
          Agreement applicable to it as the bank maintaining the Class A
          Distribution Account or the Class B Distribution Account, as
          applicable.

          Section 4.6 Reserve Account. (a) Servicer shall establish and maintain
in the name of the Trustee an Eligible Deposit Account (the "Reserve Account").
The Reserve Account shall be initially established and maintained with the
Trustee (the "Securities Intermediary"). On the Closing Date, Servicer shall
deposit or cause to be deposited in the Reserve Account an amount equal to the
Reserve Account Initial Deposit.

               (b) Trustee shall, at the written direction of Administrator,
          direct the Securities Intermediary to invest funds on deposit in the
          Reserve Account in Eligible Investments selected by Administrator and
          confirmed in writing by Administrator to Trustee; provided that it is
          understood and agreed that none of

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<PAGE>

          Trustee, Securities Intermediary or Administrator shall be liable for
          any loss arising from such investment in Eligible Investments. Funds
          on deposit in the Reserve Account shall be invested in Eligible
          Investments that will mature so that all such funds will be available
          at the close of business on each Deposit Date; provided that to the
          extent permitted by the Rating Agencies following written request by
          Administrator, funds on deposit in the Reserve Account may be invested
          in Eligible Investments that mature later than the next Deposit Date.
          Funds deposited in the Reserve Account on a Deposit Date upon the
          maturity of any Eligible Investments are not required to be (but may
          be) invested overnight.

               (c) On each Distribution Date, any amounts on deposit in the
          Collection Account with respect to the preceding Collection Period
          after payments to Servicer, the Class A Distribution Account and the
          Class B Distribution Account have been made will be deposited into the
          Reserve Account until the amount of the Reserve Account is equal to
          the Specified Reserve Account Balance.

               (d) The Reserve Account shall be under the sole custody and
          control of Trustee. If, at any time, the Reserve Account ceases to be
          an Eligible Deposit Account, Trustee shall within 10 Business Days (or
          such longer period, not to exceed 30 calendar days, as to which each
          Rating Agency may consent) establish a new Reserve Account as an
          Eligible Deposit Account and shall transfer any cash and/or any
          investments that are in the existing account which is no longer an
          Eligible Deposit Account to such new Reserve Account.

               (e) On each Distribution Date, the amount available in the
          Reserve Account (the "Available Reserve Amount") will equal the lesser
          of (i) the amount on deposit in the Reserve Account (exclusive of
          investment earnings) and (ii) the Specified Reserve Account Balance.
          On each Deposit Date, Trustee will withdraw funds from the Reserve
          Account to the extent that (A) the sum of the amounts required to be
          distributed to Holders and the accrued and unpaid Servicing Fees
          payable to Servicer on such Distribution Date exceeds (B) the amount
          on deposit in the Collection Account with respect to the preceding
          Collection Period (net of net investment income). The aggregate amount
          to be withdrawn from the Reserve Account on any Deposit Date shall not
          exceed the Available Reserve Amount with respect to the related
          Distribution Date. Trustee will deposit the proceeds of such
          withdrawal into the Collection Account on or before such Distribution
          Date with respect to which such withdrawal was made.

               (f) Amounts on deposit in the Reserve Account will be released to
          Transferor on each Distribution Date to the extent that the amount
          credited to the Reserve Account would exceed the Specified Reserve
          Account Balance. Upon any distribution to Transferor of amounts from
          the Reserve Account, the Holders will not have any rights in, or
          claims to, such amounts. Amounts distributed to

                                       40

<PAGE>

          Transferor from the Reserve Account in accordance with this Section
          shall not be available under any circumstances to the Trust, Trustee
          or the Holders and Transferor shall in no event thereafter be required
          to refund any such distributed amounts.

               (g) Investment earnings attributable to the Reserve Account
          Property and proceeds therefrom shall be held by Trustee for the
          benefit of Transferor. Investment earnings attributable to the Reserve
          Account Property shall not be available to pay the distributions
          provided for in Section 4.5 and shall not otherwise be subject to any
          claims or rights of the Holders or Servicer. Trustee shall cause all
          investment earnings attributable to the Reserve Account to be
          distributed on each Distribution Date to Transferor.

               (h) Transferor may at any time, without consent of Holders, sell,
          transfer, convey or assign in any manner its rights to and interests
          in distributions from the Reserve Account provided that (i) the Rating
          Agencies confirm in writing that such action will not result in a
          reduction or withdrawal of the rating of the Class A Certificates or
          the Class B Certificates, (ii) Transferor provides to Trustee an
          Opinion of Counsel from independent counsel that such action will not
          cause Trust to be classified as an association (or publicly traded
          partnership) taxable as a corporation for federal income tax purposes
          and (iii) such transferee or assignee agrees in writing to take
          positions for federal income tax purposes consistent with the federal
          income tax positions agreed to be taken by Transferor.

          Section 4.7 Statements to Holders. On each Distribution Date, Servicer
shall provide to Trustee (with a copy to each Rating Agency) written
instructions for Trustee to forward to each Holder of record a statement setting
forth at least the following information as to the Certificates to the extent
applicable:

               (a) the amount of the distribution allocable to principal on the
          Class A Certificates and the Class B Certificates;

               (b) the amount of the distribution allocable to interest on the
          Class A Certificates and the Class B Certificates;

               (c) the amount of the Servicing Fee paid to Servicer with respect
          to the related Collection Period;

               (d) the Class A Certificate Balance, the Class A Pool Factor, the
          Class B Certificate Balance and the Class B Pool Factor as of such
          Distribution Date, after giving effect to payments allocated to
          principal reported under clause (a);

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<PAGE>

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

               (f) the amount of Defaulted Receivables and Liquidation Proceeds,
          if any, for such Collection Period;

               (g) the aggregate Purchase Amount of Receivables purchased by
          Servicer with respect to the related Collection Period;

               (h) the Class A Interest Carryover Shortfall, the Class B
          Interest Carryover Shortfall, the Class A Principal Carryover
          Shortfall and the Class B Principal Carryover Shortfall, if any, in
          each case as applicable to each of the Class A Certificates and the
          Class B Certificates, and the change in such amounts from the
          preceding statement;

               (i) the balance of the Reserve Account on such Distribution Date,
          after giving effect to changes therein on such Distribution Date;

               (j) the Specified Reserve Account Balance as of the close of
          business on such Distribution Date; and

               (k) the number, and aggregate principal amount outstanding, of
          Receivables past due 31-60, 61-90 and over 90 days.

Each amount set forth pursuant to clauses (a), (b) and (c) shall be expressed in
the aggregate and as a dollar amount per $1,000 of original denomination of a
Certificate.

          Within a reasonable period of time after the end of each calendar
year, but not later than the latest date permitted by law, Servicer shall
furnish a report to the Trust and Trustee shall furnish, or cause to be
furnished, to each Person who at any time during such calendar year shall have
been a Holder, a statement based upon such report as to the sum of the amounts
determined in clauses (a) and (b) above for such calendar year, or, in the event
such Person shall have been a Holder during a portion of such calendar year, for
the applicable portion of such year, and such other information as is available
to Servicer as Servicer deems necessary or desirable to enable the Holders to
prepare their federal income tax returns. The obligation of the Trustee set
forth in this paragraph shall be deemed to have been satisfied to the extent
that substantially comparable information shall be provided pursuant to any
requirement of the Code.

                                    ARTICLE V

                                THE CERTIFICATES.

          Section 5.1 The Certificates. Trustee shall, upon written order or
request signed in the name of Seller by one of its officers authorized to do so
and delivered to an Authorized Officer of Trustee, execute on behalf of the
Trust, authenticate and deliver the

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Certificates to or upon the order of Seller in the aggregate principal amount
and denominations as set forth in such written order or request. The
Certificates shall be issuable in denominations of $1,000 and integral multiples
thereof; provided that one Class A Certificate and one Class B Certificate may
be issued in a denomination that represents the residual amount of the original
Class A Certificate Balance and the Original Class B Certificate Balance,
respectively. Upon initial issuance, the Class A Certificates and the Class B
Certificates shall be in the form of Exhibit A and Exhibit B, respectively,
which are incorporated by reference herein, and shall be issued as provided in
Section 5.8, in an aggregate amount equal to the Original Class A Certificate
Balance and the Original Class B Certificate Balance, respectively. The
Certificates shall be executed by Trustee on behalf of the Trust by manual or
facsimile signature of an Authorized Officer of Trustee under Trustee's seal
imprinted thereon and attested by the manual or facsimile signature of an
Authorized Officer of Trustee. Certificates bearing the manual or facsimile
signatures of individuals who were, at the time when such signatures shall have
been affixed, authorized to sign on behalf of the Trust, shall be valid and
binding obligations of the Trust, notwithstanding that such individuals shall
have ceased to be so authorized prior to the authentication and delivery of such
Certificates or did not hold such offices at the date of such Certificates.

          Section 5.2 Authentication of Certificates. No Certificate shall
entitle the Holder thereof to any benefit under this Agreement, or shall be
valid for any purpose, unless there shall appear on such Certificate a
certificate of authentication, substantially in the form set forth in the form
of Certificates attached hereto as Exhibit A and Exhibit B, executed by Trustee
by manual signature. Such authentication shall constitute conclusive evidence,
and the only evidence, that such Certificate has been duly authenticated and
delivered hereunder. All Certificates shall be dated the date of their
authentication.

          Section 5.3 Registration of Transfer and Exchange of Certificates.
Trustee shall maintain, or cause to be maintained, at the office or agency to be
maintained by it in accordance with Section 5.7, a Certificate Register in
which, subject to such reasonable regulations as it may prescribe, Trustee shall
provide for the registration of Certificates and of transfers and exchanges of
Certificates as herein provided. Upon surrender for registration of transfer of
any Class A Certificate or Class B Certificate at such office or agency, Trustee
shall execute, authenticate and deliver, in the name of the designated
transferee or transferees, one or more new Class A Certificates or Class B
Certificates, as the case may be, in authorized denominations of a like
aggregate amount. At the option of a Holder, Class A Certificates or Class B
Certificates may be exchanged for other Class A Certificates or Class B
Certificates, as the case may be, of authorized denominations of a like
aggregate amount at the office or agency maintained by Trustee in accordance
with Section 5.7. Every Certificate presented or surrendered for registration of
transfer or exchange shall be accompanied by a written instrument of transfer
duly executed by the Holder and in a form satisfactory to Trustee. No service
charge shall be made for any registration of transfer or exchange of
Certificates, but Trustee may require payment of a sum sufficient to cover any
tax or governmental charge that may be imposed in connection with any transfer
or exchange of Certificates. All Certificates surrendered for

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<PAGE>

registration of transfer or exchange shall be cancelled and disposed of in
accordance with the customary procedures of Trustee.

          The Class B Certificates and any beneficial interest in such Class B
Certificates may not be acquired (a) with the assets of an employee benefit plan
(as defined in Section 3(3) of ERISA) that is subject to the provisions of Title
I of ERISA, (b) by a plan described in Section 4975(e)(1) of the Code or (c) by
any entity whose underlying assets include plan assets by reason of a plan's
investment in the entity. By accepting and holding a Class B Certificate or
interest therein, the Holder thereof or Class B Certificate Owner thereof shall
be deemed to have represented and warranted that it is not subject to the
foregoing limitation.

          The preceding provisions of this Section 5.3 notwithstanding, Trustee
shall not make and need not register any transfer or exchange of Certificates
for a period of fifteen (15) days preceding any Distribution Date for any
payment with respect to the Certificates.

          Section 5.4 Mutilated, Destroyed, Lost or Stolen Certificates. If (a)
any mutilated Class A Certificate or Class B Certificate shall be surrendered to
Trustee, or if Trustee shall receive evidence to its satisfaction of the
destruction, loss or theft of any Class A Certificate or Class B Certificate and
(b) there shall be delivered to Trustee such security or indemnity as may be
required to save Trustee harmless, then in the absence of notice that such Class
A Certificate or Class B Certificate shall have been acquired by a bona fide
purchaser, Trustee shall execute, authenticate and deliver, in exchange for or
in lieu of any such mutilated, destroyed, lost or stolen Class A Certificate or
Class B Certificate, a new Class A Certificate or Class B Certificate of like
tenor and denomination. In connection with the issuance of any new Certificate
under this Section 5.4, Trustee may require the payment of a sum sufficient to
cover any tax or other governmental charge that may be imposed in connection
herewith. Any replacement Certificate issued pursuant to this Section 5.4 shall
constitute conclusive evidence of ownership in the Trust, as if originally
issued, whether or not the lost, stolen or destroyed Certificate shall be found
at any time.

          Section 5.5 Persons Deemed Owners. Prior to due presentation of a
Certificate for registration of transfer, Trustee may treat the Person in whose
name any Certificate shall be registered as the owner of such Certificate for
the purpose of receiving distributions pursuant to Section 4.5 and for all other
purposes, and Trustee shall not be bound by any notice to the contrary.

          Section 5.6 Access to List of Holders' Names and Addresses. Trustee
shall furnish or cause to be furnished to Servicer, within fifteen days after
receipt by Trustee of a request therefor from Servicer in writing, in such form
as Servicer may reasonably require, a list of the names and addresses of the
Holders as of the most recent Record Date. If Definitive Certificates have been
issued, Trustee, upon written request of (a) three or more Holders or (b) one or
more Holders evidencing not less than 25% of the aggregate outstanding principal
balance of the Certificates, will, within five Business Days after the receipt
of such request, afford such Holders access during normal business hours to the
most current list of Holders for purposes of

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<PAGE>

communicating with other Holders with respect to their rights under the
Agreement. Each Holder, by receiving and holding a Certificate, shall be deemed
to have agreed not to hold Seller, Servicer or Trustee accountable by reason of
the disclosure of such Holder's name and address, regardless of the source from
which such information was derived.

          Section 5.7 Maintenance of Office or Agency. Trustee shall maintain,
or cause to be maintained, at its expense, in _________, an office or agency
where Certificates may be surrendered for registration of transfer or exchange
and where notices and demands to or upon Trustee in respect of the Certificates
and this Agreement may be served. Trustee initially designates its office
located at ________ for such purposes. Trustee shall give prompt written notice
to Servicer and to Holders of any change in the location of any such office or
agency.

          Section 5.8 Book Entry Certificates. Upon original issuance, the Class
A Certificates and the Class B Certificates, other than the Class A Certificate
representing the residual amount of the Original Class A Certificate Balance and
the Class B Certificate representing the residual amount of the Original Class B
Certificate Balance, which shall be issued upon the written order of Seller,
shall be issued in the form of one or more typewritten Certificates representing
the Book Entry Certificates, to be delivered to the initial Clearing Agency, by,
or on behalf of, Seller. Such Certificates shall initially be registered on the
Certificate Register in the name of CEDE & Co., the nominee of the initial
Clearing Agency, and no Certificate Owner will receive a Definitive Certificate
representing such Certificate Owner's interest in the Class A Certificates or
the Class B Certificates, as the case may be, except as provided in Section
5.10. Unless and until definitive, fully registered Certificates ("Definitive
Certificates") have been issued to the Holders pursuant to Section 5.10:

               (a) the provisions of this Section 5.8 shall be in full force and
          effect;

               (b) Seller, Servicer and Trustee may deal with the Clearing
          Agency for all purposes (including the making of distributions on the
          Certificates and the taking of actions by the Holders) as the
          authorized representative of the Certificate Owners;

               (c) to the extent that the provisions of this Section 5.8
          conflict with any other provisions of this Agreement, the provisions
          of this Section 5.8 shall control;

               (d) the rights of Certificate Owners shall be exercised only
          through the Clearing Agency and shall be limited to those established
          by law, the rules, regulations and procedures of the Clearing Agency
          and agreements between such Certificate Owners and the Clearing Agency
          and all references in this Agreement to actions by Holders shall refer
          to actions taken by the Clearing Agency upon instructions from the
          Clearing Agency Participants, and all references in this Agreement to
          distributions, notices, reports and statements to Holders shall refer
          to distributions, notices, reports and statements to the

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<PAGE>

          Clearing Agency or its nominee, as registered holder of the
          Certificates, as the case may be, for distribution to Certificate
          Owners in accordance with the rules, regulations and procedures of the
          Clearing Agency; and

               (e) pursuant to the Depository Agreement, the initial Clearing
          Agency will make book-entry transfers among the Clearing Agency
          Participants and receive and transmit distributions of principal and
          interest on the Certificates to the Clearing Agency Participants, for
          distribution by such Clearing Agency Participants to the Certificate
          Owners or their nominees.

          For purposes of any provision of this Agreement requiring or
permitting actions with the consent of, or at the direction of, Holders of
Certificates evidencing specified percentages of the aggregate outstanding
principal balance of such Certificates, such direction or consent may be given
by Certificate Owners having interests in the requisite percentage, acting
through the Clearing Agency.

          Section 5.9 Notices to Clearing Agency. Whenever notice or other
communication to the Holders is required under this Agreement unless and until
Definitive Certificates shall have been issued to Certificate Owners pursuant to
Section 5.10, Trustee shall give all such notices and communications specified
herein to be given to Holders to the Clearing Agency.

          Section 5.10 Definitive Certificates. If (a) (i) Servicer advises
Trustee in writing that the Clearing Agency is no longer willing or able
properly to discharge its responsibilities under the Depository Agreement and
(ii) Trustee or Servicer is unable to locate a qualified successor, (b)
Servicer, at its option, advises Trustee in writing that it elects to terminate
the book-entry system through the Clearing Agency or (c) after the occurrence of
a Servicer Termination Event, Certificate Owners representing in the aggregate
not less than a majority of the aggregate outstanding principal balance of the
Certificates, advise Trustee and the Clearing Agency through the Clearing Agency
Participants in writing that the continuation of a book-entry system through the
Clearing Agency is no longer in the Certificate Owners' best interests, Trustee
shall notify the Clearing Agency which shall be responsible to notify the
Certificate Owners of the occurrence of any such event and of the availability
of Definitive Certificates to Certificate Owners requesting the same. Upon
surrender to Trustee by the Clearing Agency of the Certificates registered in
the name of the nominee of the Clearing Agency, accompanied by re-registration
instructions from the Clearing Agency for registration, Trustee shall execute,
on behalf of the Trust, authenticate and deliver Definitive Certificates in
accordance with such instructions. Seller shall arrange for, and will bear all
costs of, the printing and issuance of such Definitive Certificates. Neither
Seller, Servicer nor Trustee shall be liable for any delay in delivery of such
instructions and may conclusively rely on, and shall be protected in relying on,
such instructions. Upon the issuance of Definitive Certificates, Trustee shall
recognize the Holders of the Definitive Certificates as Holders hereunder.

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<PAGE>

                                   ARTICLE VI

                                     SELLER.

          Section 6.1 Representations and Warranties of Seller. Seller makes the
following representations and warranties, on which Trustee relies in accepting
the Receivables and the other Trust Property in trust and executing and
authenticating the Certificates. Such representations are made as of the
execution and delivery of this Agreement, but shall survive the sale, transfer
and assignment of the Receivables and the other Trust Property to the Trust.

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

               (b) Power and Authority. Seller has the power, authority and
          legal right to execute and deliver this Agreement and the Related
          Agreements to which it is a party and to carry out their respective
          terms and to sell and assign the property to be sold and assigned to
          and deposited with Trustee as Trust Property; and the execution,
          delivery and performance of this Agreement and the Related Agreements
          to which it is a party have been duly authorized by Seller by all
          necessary limited liability company action.

               (c) No Consent Required. No approval, authorization, consent,
          license or other order or action of, or filing or registration with,
          any governmental authority, bureau or agency is required in connection
          with the execution, delivery or performance of this Agreement or the
          Related Agreements to which it is a party or the consummation of the
          transactions contemplated hereby or thereby, other than (i) as may be
          required under the blue sky or securities laws of any State or the
          Securities Act of 1933, as amended, and (ii) the filing of UCC
          financing statements.

               (d) Valid Sale; Binding Obligation. Seller intends this Agreement
          to effect a valid sale, transfer, and assignment of the Receivables
          and the other Trust Property conveyed by Seller to the Trust
          hereunder, enforceable against creditors of and purchasers from
          Seller; and each of this Agreement and the Related Agreements to which
          it is a party constitutes a legal, valid and binding obligation of
          Seller, enforceable against Seller in accordance with its respective
          terms, subject, as to enforceability, to applicable bankruptcy,
          insolvency, reorganization, conservatorship, receivership, liquidation
          and other similar laws

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<PAGE>

          affecting enforcement of the rights of creditors generally and to
          equitable limitations on the availability of specific remedies.

               (e) No Violation. The execution, delivery and performance by
          Seller of this Agreement and the Related Agreements to which it is a
          party and the consummation of the transactions contemplated hereby and
          thereby will not conflict with, result in any material breach of any
          of the terms and provisions of, constitute (with or without notice or
          lapse of time) a material default under or result in the creation or
          imposition of any Lien upon any of its material properties pursuant to
          the terms of, (i) the organic documents of Seller, (ii) any material
          indenture, contract, lease, mortgage, deed of trust or other
          instrument or agreement to which Seller is a party or by which Seller
          is bound, or (iii) any law, order, rule or regulation applicable to
          Seller of any federal or state regulatory body, any court,
          administrative agency, or other governmental instrumentality having
          jurisdiction over Seller.

               (f) No Proceedings. There are no proceedings or investigations
          pending, or, to the knowledge of Seller, threatened, before any court,
          regulatory body, administrative agency, or other tribunal or
          governmental instrumentality having jurisdiction over Seller or its
          properties: (i) asserting the invalidity of this Agreement or any
          Related Agreement, (ii) seeking to prevent the issuance of the
          Certificates or the consummation of any of the transactions
          contemplated by this Agreement or any Related Agreement, (iii) seeking
          any determination or ruling that might materially and adversely affect
          the performance by Seller of its obligations under, or the validity or
          enforceability of, this Agreement or any Related Agreement or (iv)
          that may materially and adversely affect the federal or state income,
          excise, franchise or similar tax attributes of the Certificates.

               (g) Chief Executive Office. The chief executive office of Seller
          is _______________.

          Section 6.2 Merger or Consolidation of, or Assumption of the
Obligations of, Seller. Any Person (a) into which Seller may be merged or
consolidated, (b) that may result from any merger, conversion or consolidation
to which Seller is a party, or (c) that may succeed by purchase and assumption
to all or substantially all of the business of Seller, where Seller in any of
the foregoing cases is not the surviving entity, which corporation or other
entity shall execute an agreement of assumption to perform every obligation of
Seller under this Agreement, shall be the successor to Seller hereunder without
the execution or filing of any document or any further act by any of the parties
to this Agreement; provided that (x) Servicer shall have delivered to Trustee an
Officer's Certificate and an Opinion of Counsel each stating that such merger,
conversion, consolidation or succession and such agreement of assumption comply
with this Section, and (y) Servicer shall have delivered to Trustee an Opinion
of Counsel either (A) stating that, in the opinion of such counsel, all
financing statements and continuation statements and amendments thereto have
been executed and filed that are necessary fully to preserve and

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<PAGE>

protect the interest of Trustee in the Receivables, and reciting the details of
such filings, or (B) stating that, in the opinion of such counsel, no such
action shall be necessary to fully preserve and protect such interest. Seller
shall promptly inform Trustee and each Rating Agency of any such merger,
conversion, consolidation or purchase and assumption, where Seller is not the
surviving entity.

          Section 6.3 Limitation on Liability of Seller and Others. Seller and
any director or officer or employee or agent of Seller 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 this
Agreement or any Related Agreement (provided that such reliance shall not limit
in any way Seller's obligations under Section 3.2). Seller shall not be under
any obligation to appear in, prosecute or defend any legal action that shall not
be incidental to its obligations under this Agreement, and that in its opinion
may involve it in any expense or liability.

                                   ARTICLE VII

                                    SERVICER.

          Section 7.1 Representations and Warranties of Servicer. Servicer makes
the following representations and warranties on which Trustee relies in
accepting the Receivables and the other Trust Property in trust and in
authenticating the Certificates. These representations are made as of the
Closing Date, but shall survive the sale, transfer and assignment of the
Receivables and the other Trust Property to the Trust.

               (a) Organization and Good Standing. Servicer has been duly
          organized and is validly existing as a corporation in good standing
          under the laws of the State of Delaware, with the power and authority
          to own its properties and to conduct its business as such properties
          are presently owned and such business is presently conducted, and had
          at all relevant times, and shall have, the power, authority and legal
          right to service the Receivables and the other Trust Property.

               (b) Due Qualification. Servicer shall be duly qualified to do
          business as a foreign corporation in good standing, and shall have
          obtained all necessary licenses and approvals in all jurisdictions in
          which the ownership or lease of property or the conduct of its
          business (including the servicing of the Receivables as required by
          this Agreement) shall require such qualifications.

               (c) Power and Authority. Servicer has the power, authority and
          legal right to execute and deliver this Agreement and the Related
          Agreements to which it is a party and to carry out their respective
          terms; and the execution, delivery and performance of this Agreement
          and the Related Agreements to

                                       49

<PAGE>

          which it is a party have been duly authorized by Servicer by all
          necessary corporate action.

               (d) No Consent Required. No approval, authorization, consent,
          license or other order or action of, or filing or registration with,
          any governmental authority, bureau or agency is required in connection
          with the execution, delivery or performance of this Agreement, the
          Related Agreements to which it is a party or the consummation of the
          transactions contemplated hereby or thereby, other than the filing of
          UCC financing statements.

               (e) Binding Obligation. Each of this Agreement and the Related
          Agreements to which it is a party constitutes a legal, valid and
          binding obligation of Servicer, enforceable against Servicer in
          accordance with its respective 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.

               (f) No Violation. The execution, delivery and performance by
          Servicer of this Agreement and the Related Agreements to which it is a
          party and the consummation of the transactions contemplated hereby and
          thereby will not conflict with, result in any material breach of any
          of the terms and provisions of, constitute (with or without notice or
          lapse of time) a material default under, or result in the creation or
          disposition of any Lien upon any of its material properties pursuant
          to the terms of, (i) the articles of association or bylaws of
          Servicer, (ii) any material indenture, contract, lease, mortgage, deed
          of trust or other instrument or agreement to which Servicer is a party
          or by which Servicer is bound, or (iii) any law, order, rule or
          regulation applicable to Servicer of any federal or state regulatory
          body, any court, administrative agency, or other governmental
          instrumentality having jurisdiction over Servicer.

               (g) No Proceedings. There are no proceedings or investigations
          pending, or, to Servicer's knowledge, threatened, before any court,
          regulatory body, administrative agency, or tribunal or other
          governmental instrumentality having jurisdiction over Servicer or its
          properties: (i) asserting the invalidity of this Agreement, any
          Related Agreement or the Certificates, (ii) seeking to prevent the
          issuance of the Certificates or the consummation of any of the
          transactions contemplated by this Agreement or any Related Agreement,
          (iii) seeking any determination or ruling that might materially and
          adversely affect the performance by Servicer of its obligations under,
          or the validity or enforceability of, this Agreement, any Related
          Agreement or the Certificates, or (iv) that may materially and
          adversely affect the federal or state income, excise, franchise or
          similar tax attributes of the Certificates.

                                       50
<PAGE>

          Section 7.2 Indemnities of Servicer. (a) Servicer shall be liable in
accordance herewith only to the extent of the obligations specifically
undertaken by Servicer under this Agreement.

               (b) Servicer shall indemnify, defend and hold harmless Trustee,
          Seller, the Holders and any of the officers, directors, employees and
          agents of Trustee or Seller from any and all costs, expenses, losses,
          claims, damages and liabilities (including reasonable attorneys' fees
          and expenses) to the extent arising out of, or imposed upon any such
          Person through, the gross negligence, willful misfeasance or bad faith
          (other than errors in judgment) of Servicer in the performance of its
          obligations and duties under this Agreement or in the performance of
          the obligations and duties of any subservicer under any subservicing
          agreement.

               (c) Servicer shall indemnify, defend and hold harmless Trustee
          and its officers, directors, employees and agents from and against any
          taxes that may at any time be asserted against any such Person with
          respect to the transactions contemplated in this Agreement or in the
          other Related Agreements, including any sales, gross receipts, general
          corporation, tangible or intangible personal property, privilege, or
          license taxes, or any taxes of any kind which may be asserted (but not
          including any Federal or other income taxes arising out of
          transactions contemplated by this Agreement and the other Related
          Agreements) against the Trust, and costs and expenses in defending
          against the same.

               (d) Servicer shall indemnify, defend and hold harmless Trustee,
          Seller and the Holders or any of the officers, directors, employees
          and agents of Trustee or Seller from any and all costs, expenses,
          losses, claims, damages and liabilities (including reasonable
          attorneys' fees and expenses) to the extent arising out of or imposed
          upon any such Person as a result of any compensation payable to any
          subcustodian or subservicer (including any fees payable in connection
          with the release of any Receivable File from the custody of such
          subservicer or in connection with the termination of the servicing
          activities of such subservicer with respect to any Receivable) whether
          pursuant to the terms of any subservicing agreement or otherwise.

               (e) Servicer shall indemnify, defend and hold harmless Trustee,
          Seller and the Holders or any of the directors, officers, employees
          and agents of Trustee and Seller from and against any and all costs,
          expenses, losses, damages, claims and liabilities, including
          reasonable fees and expenses of counsel and expenses of litigation,
          arising out of or resulting from the use, ownership, or operation by
          Servicer or any Affiliate thereof of any Financed Vehicle.

Indemnification under this Section shall survive the resignation or removal of
Trustee and the termination of this Agreement and shall include reasonable fees
and expenses of counsel and

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<PAGE>

other expenses of litigation. If Servicer shall have made any indemnity payments
pursuant to this Section and the Person to or on behalf of whom such payments
are made thereafter shall collect any of such amounts from others, such Person
shall promptly repay such amounts to Servicer, without interest.

          Section 7.3 Merger or Consolidation of or Assumption of the
Obligations of Servicer. Any corporation or other entity (a) into which Servicer
may be merged or consolidated, (b) that may result from any merger, conversion,
or consolidation to which Servicer is a party, (c) that may succeed by purchase
and assumption to all or substantially all of the business of Servicer or (d)
50% of the voting stock of which is owned directly or indirectly by VW Credit,
where, in the case of clauses (a), (b) and (c), Servicer is not the surviving
entity, which corporation or other entity in any of the foregoing cases shall
execute an agreement of assumption to perform every obligation of Servicer under
this Agreement, shall be the successor to Servicer under this Agreement without
any further act on the part of any of the parties to this Agreement; provided
that, unless VW Credit is the surviving party to such transaction (x) Servicer
shall have delivered to Trustee an Officer's Certificate and an Opinion of
Counsel each stating that such merger, conversion, consolidation or succession
and such agreement of assumption comply with this Section, and (y) Servicer
shall have delivered to Trustee an Opinion of Counsel either (A) stating that,
in the opinion of such counsel, 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 Trustee in the
Receivables, and reciting the details of such filings, or (B) stating that, in
the opinion of such counsel, no such action shall be necessary to fully preserve
and protect such interest. Servicer shall promptly inform Trustee and each
Rating Agency of any such merger, conversion, consolidation or purchase and
assumption where Servicer is not the surviving entity.

          Section 7.4 Limitation on Liability of Servicer and Others. Neither
Servicer nor any of its directors, officers, employees or agents shall be under
any liability to the Trust or the Holders, except as provided under this
Agreement, for any action taken or for refraining from the taking of any action
by Servicer or any subservicer pursuant to this Agreement or for errors in
judgment; provided that this provision shall not protect Servicer or any such
Person against any liability that would otherwise be imposed by reason of
willful misfeasance, bad faith or gross negligence in the performance of duties
(except for errors in judgment) or by reason of reckless disregard of
obligations and duties under this Agreement. Servicer or any subservicer and any
of their respective directors, officers, employees or agents may rely in good
faith on any document of any kind prima facie properly executed and submitted by
any Person respecting any matters arising under this Agreement.

          Except as provided in this Agreement, Servicer shall not be under any
obligation to appear in, prosecute or defend any legal action that shall be
incidental to its duties to service the Receivables in accordance with this
Agreement, and that in its opinion may involve it in any expense or liability;
provided that Servicer may (but shall not be required to) undertake any
reasonable action that it may deem necessary or desirable in respect of this
Agreement and the Related Agreements to protect the interests of the Holders
under this Agreement and the Related

                                       52

<PAGE>

Agreements. In such event, the legal expense and costs of such action and any
liability resulting therefrom shall be expenses, costs and liabilities of the
Servicer.

          Section 7.5 VW Credit, Inc. Not To Resign as Servicer. Subject to the
provisions of Section 7.3, VW Credit, Inc. hereby agrees not to resign from the
obligations and duties hereby imposed on it as Servicer under this Agreement
except upon determination that the performance of its duties hereunder shall no
longer be permissible under applicable law or if such resignation is required by
regulatory authorities. Notice of any such determination permitting the
resignation of VW Credit, Inc. as Servicer shall be communicated to Trustee at
the earliest practicable time (and, if such communication is not in writing,
shall be confirmed in writing at the earliest practicable time) and any such
determination shall be evidenced by an Opinion of Counsel to such effect
delivered to Trustee concurrently with or promptly after such notice. No such
resignation shall become effective until the earlier of Trustee or a successor
Servicer having assumed the responsibilities and obligations of the resigning
Servicer in accordance with Section 8.2 or the date upon which any regulatory
authority requires such resignation.

          Section 7.6 Servicer May Own Certificates. Servicer, and any Affiliate
of Servicer, may, in its individual or any other capacity, become the owner or
pledgee of Certificates with the same rights as it would have if it were not
Servicer or an Affiliate thereof, except as otherwise provided in the definition
of "Holder", "Class A Holder" and "Class B Holder" in Section 1.1. Certificates
so owned by or pledged to Servicer or such Affiliate shall have an equal and
proportionate benefit under the provisions of this Agreement, without
preference, priority or distinction as among all of the Certificates, except as
otherwise provided in the definitions of "Class A Holder" and "Class B Holder".

          Section 7.7 Existence. Subject to the provisions of Section 7.3,
during the term of this Agreement, VW Credit, Inc. will keep in full force and
effect its existence, rights and franchises as a corporation under the laws of
the jurisdiction of its organization.

                                  ARTICLE VIII

                             SERVICING TERMINATION.

          Section 8.1 Servicer Termination Events. (a) Any one of the following
events shall constitute a "Servicer Termination Event":

               (i) any failure by Servicer to deliver to Trustee a Servicer's
               Report for any Collection Period, which failure shall continue
               beyond the related Deposit Date;

               (ii) any failure by Servicer to deliver to any Account or the
               Reserve Account any payment or deposit required to be so
               delivered or paid under the terms of the Certificates and this
               Agreement, or to direct Trustee to

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               make any required distribution from any Account or the Reserve
               Account, which failure shall continue unremedied for a period of
               five Business Days after written notice is received from the
               Trustee by Servicer or after discovery of such failure by
               Servicer (or, in the case of a payment or deposit to be made no
               later than a Deposit Date immediately preceding a Distribution
               Date, the failure to make such payment or deposit by such
               Distribution Date);

               (iii) any failure on the part of Servicer to duly observe or to
               perform in any material respect any other covenants or agreements
               set forth in the Certificates or in this Agreement, which failure
               shall (A) materially and adversely affect the rights of Holders
               (which determination shall be made without regard to whether
               funds are available to the Holders pursuant to the Reserve
               Account) and (B) continue unremedied for a period of 60 days
               after the date on which written notice of such failure, requiring
               the same to be remedied, shall have been given (1) to Servicer by
               Trustee, or (2) to Trustee and Servicer by the Holders of
               Certificates representing not less than 25% of the outstanding
               principal amount of the Certificates (or for such longer period,
               not in excess of 120 days, as may be reasonably necessary to
               remedy such default; provided that such default is capable of
               remedy within 120 days and Servicer delivers an Officer's
               Certificate to Trustee to such effect and to the effect that
               Servicer has commenced or will promptly commence, and will
               diligently pursue, all reasonable efforts to remedy such
               default);

               (iv) the entry of a decree or order by a court or agency or
               supervisory authority of competent jurisdiction for the
               appointment of a conservator, receiver, liquidator or trustee for
               Servicer, Seller, Transferor, or any of their respective
               successors, in any bankruptcy, receivership, conservatorship,
               insolvency or similar proceedings, or for the winding up or
               liquidation of its affairs, and any such decree or order
               continues unstayed and in effect for a period of 60 consecutive
               days; or

               (v) the consent by Servicer, Seller, Transferor, or any of their
               respective successors, to the appointment of a conservator,
               receiver, liquidator or trustee in any bankruptcy, receivership,
               conservatorship, insolvency or similar proceedings of or relating
               to such Person or relating to substantially all of its property,
               the admission in writing by such Person of its inability to pay
               its debts generally as they become due, the filing by such Person
               of a petition to take advantage of any applicable bankruptcy,
               receivership, conservatorship, insolvency or similar statute, the
               making by such Person of an assignment for the benefit of its
               creditors or the voluntary suspension by such Person of payment
               of its obligations.

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Upon the occurrence of any Servicer Termination Event, and so long as a Servicer
Termination Event shall not have been remedied, either Trustee, or the Majority
Holders, by notice then given in writing to Servicer, may terminate all of the
rights and obligations of Servicer (other than the obligations set forth in
Section 7.2) under this Agreement. On or after the receipt by Servicer of such
written notice, all authority and power of Servicer under this Agreement,
whether with respect to the Certificates or the Trust Property or otherwise,
shall pass to and be vested in Trustee or such successor Servicer as may be
appointed under Section 8.2 pursuant to this Section 8.1; and thereupon Trustee
shall be authorized and empowered to execute and deliver, on behalf of 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 Receivable Files or the Physical Damage
Insurance Policies, the certificates of title to the Financed Vehicles, or
otherwise. Servicer shall cooperate with Trustee or any successor Servicer in
effecting the termination of its responsibilities and rights as Servicer under
this Agreement, including the transfer to Trustee or any successor Servicer for
administration of all cash amounts that are at the time held by Servicer for
deposit, shall have been deposited by Servicer in the Collection Account, or
thereafter shall be received with respect to a Receivable, all Receivable Files
and all information or documents that Trustee or such successor Servicer may
require. In addition, Servicer shall transfer its electronic records relating to
the Receivables to the successor Servicer in such electronic form as the
successor Servicer may reasonably request and shall transfer to the successor
Servicer all other records, correspondence and documents necessary for the
continued servicing of the Receivables in the manner and at such times as the
successor Servicer shall reasonably request. All reasonable out-of-pocket costs
and expenses incurred by the successor Servicer in connection with the transfer
of servicing shall be paid by the predecessor Servicer upon presentation of
reasonable documentation of such costs and expenses.

               (b) If any of the foregoing Servicer Termination Events occur,
          Trustee shall have no obligation to notify Holders or any other Person
          of such occurrence prior to the continuance of such event through the
          end of any cure period specified in Section 8.1(a).

          Section 8.2 Trustee to Act; Appointment of Successor Servicer. Upon
Servicer's resignation pursuant to Section 7.5 or upon Servicer's receipt of
notice of termination as Servicer pursuant to Section 8.1, Trustee shall be the
successor in all respects to Servicer in its capacity as Servicer under this
Agreement, and shall be subject to all the responsibilities, duties and
liabilities relating thereto placed on Servicer by the terms and provisions of
this Agreement, except that Trustee, when acting as successor Servicer, shall
not be obligated to purchase Receivables pursuant to Section 3.7 unless the
obligation to repurchase arose after the date of the notice of termination given
to Servicer pursuant to Section 8.1, and neither Trustee nor any successor
Servicer shall be liable for any acts or omissions of the terminated Servicer or
for any breach by such Servicer of any of its representations or warranties
contained herein or in any related documents or agreements. As compensation
therefor, Trustee shall be entitled to the same Servicing Fees (whether payable
out of the Collection Account or otherwise) and Supplemental Servicing Fees as
Servicer would have been entitled to under this Agreement if no

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such notice of termination or resignation had been given. Notwithstanding the
above, Trustee may appoint, or petition a court of competent jurisdiction to
appoint, an Eligible Servicer as the successor to the terminated Servicer under
this Agreement; provided that Trustee shall continue to be the successor to
Servicer until another successor Servicer shall have assumed the
responsibilities and obligations of Servicer. In connection with such
appointment, Trustee may make such arrangements for the compensation of such
successor Servicer out of payments on Receivables as it and such successor shall
agree, which shall in no event be greater than the Servicing Fees and
Supplemental Servicing Fees payable to VW Credit, Inc. as Servicer hereunder.
Trustee and such successor shall take such action, consistent with this
Agreement, as shall be necessary to effectuate any such succession. No Servicer
shall resign or be relieved of its duties under this Agreement until a newly
appointed Servicer shall have assumed the responsibilities and obligations of
the terminated Servicer under this Agreement.

          Section 8.3 Effect of Servicing Transfer. (a) After the transfer of
servicing hereunder, Trustee or successor Servicer shall notify Obligors to make
directly to the successor Servicer payments that are due under the Receivables
after the effective date of such transfer.

               (b) Except as provided in Sections 7.2 and 9.8 after the transfer
          of servicing hereunder, the predecessor Servicer shall have no further
          obligations with respect to the management, administration, servicing,
          custody or collection of the Receivables and the successor Servicer
          shall have all of such obligations, except that the predecessor
          Servicer will transmit or cause to be transmitted directly to the
          successor Servicer for its own account, promptly on receipt and in the
          same form in which received, any amounts held by the predecessor
          Servicer (properly endorsed where required for the successor Servicer
          to collect any such items) received as payments upon or otherwise in
          connection with the Receivables and the predecessor Servicer shall
          continue to cooperate with the successor Servicer by providing
          information and in the enforcement of the Dealer Agreements and the
          Physical Damage Insurance Policies.

               (c) A transfer of servicing hereunder shall not affect the rights
          and duties of the parties hereunder other than those relating to the
          management, administration, servicing, custody or collection of the
          Receivables and the other Trust Property. The successor Servicer
          shall, upon its appointment pursuant to Section 8.2 and as part of its
          duties and responsibilities under this Agreement, promptly take all
          action it deems necessary or appropriate so that the predecessor
          Servicer (in whatever capacity) is paid or reimbursed all amounts it
          is entitled to receive under this Agreement on each Distribution Date
          subsequent to the date on which it is terminated as Servicer
          hereunder. Without limiting the generality of the foregoing, the
          predecessor Servicer will be entitled to receive all accrued and
          unpaid Servicing Fees and Supplemental Servicing Fees through and
          including the effective date of the termination of the predecessor
          Servicer.

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               (d) Any successor Servicer shall provide Seller with access to
          the Receivable Files and to the successor Servicer's records (whether
          written or automated) with respect to the Receivable Files. Such
          access shall be afforded without charge, but only upon reasonable
          request and during normal business hours at the offices of the
          successor Servicer. Nothing in this Section shall affect the
          obligation of the successor Servicer to observe any applicable law
          prohibiting disclosure of information regarding the Obligors, and the
          failure of Servicer to provide access to information as a result of
          such obligation shall not constitute a breach of this Section.

          Section 8.4 Notification to Holders. Upon any notice of a Servicer
Termination Event or upon any termination of, or appointment of a successor to,
Servicer pursuant to this Article VIII, Trustee shall give prompt written notice
thereof to Holders at their respective addresses of record, and to each Rating
Agency.

          Section 8.5 Waiver of Past Servicer Termination Events. The Majority
Holders may, on behalf of all Holders of Certificates, waive any Servicer
Termination Event hereunder and its consequences, except an event resulting from
the failure to make any required deposits or payments to the Collection Account
in accordance with this Agreement. Upon any such waiver of a past Servicer
Termination Event, such event shall cease to exist and shall be deemed to have
been remedied for every purpose of this Agreement. No such waiver shall extend
to any subsequent or other event or impair any right arising therefrom, except
to the extent expressly so waived.

          Section 8.6 Transfer of Accounts. Notwithstanding the provisions of
Section 8.1, if any of the Accounts or the Reserve Account is maintained with
Servicer or an Affiliate of Servicer and a Servicer Termination Event shall
occur and be continuing, Servicer shall promptly, and in any event within five
Business Days, give notice to Trustee of such Servicer Termination Event, and
Trustee, within _____ days after the receipt of such notice, shall establish new
Eligible Deposit Accounts conforming with the requirements of this Agreement and
promptly shall transfer all funds in any such Accounts or the Reserve Account to
such new Eligible Deposit Accounts.

                                   ARTICLE IX

                                    TRUSTEE.

          Section 9.1 Acceptance by Trustee. Trustee hereby acknowledges its
acceptance of all right, title and interest in and to the Receivables and the
other Trust Property conveyed by Seller pursuant to this Agreement and hereby
declares that Trustee holds and shall hold such right, title and interest, upon
the trust set forth in this Agreement.

          Section 9.2 Duties of Trustee. (a) Trustee, both prior to and after
the curing of a Servicer Termination Event, undertakes to perform only such
duties as are specifically set forth

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in this Agreement and no implied covenants or obligations shall be read into
this Agreement against Trustee. If a Servicer Termination Event, of which an
Authorized Officer of Trustee has actual knowledge, shall have occurred and
shall not have been cured (the appointment of a successor Servicer (including
Trustee) to constitute a cure for the purposes of this Article), Trustee shall
exercise such of the rights and powers vested in it by this Agreement, and shall
use the same degree of care and skill in their exercise, as a prudent man would
exercise or use under the circumstances in the conduct of his own affairs;
provided that if Trustee assumes the duties of Servicer pursuant to Section 8.2,
Trustee in performing such duties shall use the degree of skill and attention
required by Section 3.1.

               (b) Trustee, upon receipt of all resolutions, certificates,
          statements, opinions, reports, documents, orders, or other instruments
          furnished to Trustee that are required specifically to be furnished
          pursuant to any provision of this Agreement, shall examine them to
          determine whether they conform to the requirements of this Agreement.

               (c) No provision of this Agreement shall be construed to relieve
          Trustee from liability for its own negligent action, its own negligent
          failure to act, its own willful misfeasance or its own bad faith;
          provided that:

               (i) Prior to the occurrence of a Servicer Termination Event, and
               after the curing of all such Servicer Termination Events that may
               have occurred, the duties and obligations of Trustee shall be
               determined solely by the express provisions of this Agreement,
               Trustee shall not be liable except for the performance of such
               duties and obligations as are specifically set forth in this
               Agreement, no implied covenants or obligations shall be read into
               this Agreement against Trustee, the permissible right of Trustee
               (solely in its capacity as such) to do things enumerated in this
               Agreement shall not be construed as a duty and, in the absence of
               bad faith on the part of Trustee, or manifest error, Trustee
               (solely in its capacity as such) may conclusively rely on the
               truth of the statements and the correctness of the opinions
               expressed in any certificates or opinions furnished to Trustee
               and conforming to the requirements of this Agreement;

               (ii) Trustee shall not be personally liable for an error of
               judgment made in good faith by an officer of Trustee, unless it
               shall be proved that Trustee shall have been negligent in
               performing its duties in accordance with the terms of this
               Agreement; and

               (iii) Trustee shall not be personally liable with respect to any
               action taken, suffered, or omitted to be taken in good faith in
               accordance with the direction of the Majority Holders, as set
               forth in Section 8.1, relating to the time, method and place of
               conducting any proceeding or any remedy

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               available to Trustee, or exercising any trust or power conferred
               upon Trustee, under this Agreement.

               (d) Except for the willful misfeasance, bad faith or negligence
          of Trustee, Trustee shall not be required to expend or risk its own
          funds or otherwise incur any financial liability in the performance of
          any of its duties hereunder, or in the exercise of any of its rights
          or powers, if it shall have reasonable grounds for believing that the
          repayment of such funds or indemnity satisfactory to it against such
          risk or liability shall not be reasonably assured to it, and none of
          the provisions contained in this Agreement shall in any event require
          Trustee to perform, or be responsible for the manner of performance
          of, any of the obligations of Servicer under this Agreement except
          during such time, if any, as Trustee shall be the successor to, and be
          vested with the rights, duties, powers and privileges of, Servicer in
          accordance with the terms of this Agreement.

               (e) Except for actions expressly authorized by this Agreement,
          Trustee shall take no action reasonably likely to impair the security
          interests created or existing under any Receivable or Financed Vehicle
          or to impair the value of any Receivable or Financed Vehicle.

               (f) Trustee shall have no power to vary the corpus of the Trust
          including (i) accepting any substitute obligation for a Receivable
          initially assigned to Trustee under this Agreement, (ii) adding any
          other investment, obligation or security, or (iii) withdrawing any
          Receivable, except for a withdrawal permitted under this Agreement.

          Section 9.3 Trustee's Certificate. As soon as practicable after each
Deposit Date on which Receivables shall be assigned to Seller pursuant to
Section 2.4 or 10.2 or to Servicer pursuant to Section 3.7, as applicable,
Trustee shall execute a certificate, prepared by Servicer, including its date
and the date of the Agreement, and accompanied by a copy of Servicer's Report
for the related Collection Period. Trustee's certificate shall operate, as of
such Deposit Date, as an assignment pursuant to Section 9.4.

          Section 9.4 Trustee's Assignment of Purchased Receivables. With
respect to all Receivables repurchased by Servicer pursuant to Section 2.4 or
Section 10.2, or purchased by Servicer pursuant to Section 3.7 or Section 10.2,
Trustee shall assign, without recourse, representation or warranty, to Servicer,
all of Trustee's right, title and interest in and to such Receivables, and all
security and documents and all other Trust Property conveyed pursuant to Section
2.1 with respect to such Receivables. Such assignment shall be a sale and
assignment outright, and not for security. If, in any enforcement suit or legal
proceeding, it is held that Servicer, may not enforce any such Receivable on the
ground that it shall not be a real party in interest or a holder entitled to
enforce the Receivable, Trustee shall, at the expense of Servicer,

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take such steps as Servicer, deems necessary to enforce the Receivable,
including bringing suit in Trustee's name or the names of the Holders.

          Section 9.5 Certain Matters Affecting Trustee. Except as otherwise
provided in Section 9.2:

               (a) Trustee may conclusively rely and shall be protected in
          acting or refraining from acting upon, any resolution, certificate of
          auditors or accountants or any other certificate, statement,
          instrument, opinion, report, notice, request, direction, consent,
          order, appraisal, bond, note or other paper or document believed by it
          to be genuine and to have been signed or presented by the proper party
          or parties.

               (b) Trustee may consult with counsel knowledgeable in the area
          and any opinion of Counsel shall be full and complete authorization
          and protection in respect of any action taken or suffered or omitted
          by it under this Agreement in good faith and in accordance with such
          written opinion of Counsel a copy of which shall be provided to Seller
          and Servicer.

               (c) Trustee shall be under no obligation to exercise any of the
          rights or powers vested in it by this Agreement, or to institute,
          conduct or defend any litigation under this Agreement or in relation
          to this Agreement, at the request, order or direction of any of the
          Holders pursuant to the provisions of this Agreement, unless such
          Holders shall have offered to Trustee security or indemnity
          satisfactory to Trustee against the costs, expenses, and liabilities
          that may be incurred therein or thereby. Nothing contained in this
          Agreement, however, shall relieve Trustee of the obligations, upon the
          occurrence of a Servicer Termination Event that is not timely cured or
          waived pursuant to Section 8.5, to exercise such of the rights and
          powers vested in it by this Agreement, and to use the same degree of
          care and skill in their exercise as a prudent man would exercise or
          use under the circumstances in the conduct of his own affairs;
          provided that if Trustee assumes the duties of Servicer pursuant to
          Section 8.2, Trustee in performing such duties shall use the degree of
          skill and attention required by Section 3.1.

               (d) Trustee shall not be personally liable for any action taken,
          suffered or omitted by it in good faith and believed by it to be
          authorized or within the discretion, rights or powers conferred upon
          it by this Agreement.

               (e) Prior to the occurrence of a Servicer Termination Event and
          after the curing of all Servicer Termination Events that may have
          occurred, Trustee shall not be bound to make any investigation into
          the facts of any matters stated in any resolution, certificate,
          statement, instrument, opinion, report, notice, request, consent,
          direction, order, approval, bond, note or other paper or

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          document, unless requested in writing so to do by the Majority
          Holders; provided that if the payment within a reasonable time to
          Trustee of the costs, expenses, or liabilities likely to be incurred
          by it in the making of an investigation requested by the Holders is,
          in the opinion of Trustee, not reasonably assured to Trustee by the
          security afforded to it by the terms of this Agreement, Trustee may
          require indemnity satisfactory to it against such cost, expense, or
          liability as a condition to so proceeding. The reasonable expense of
          every such examination shall be paid by Servicer, or, if paid by
          Trustee, shall be reimbursed by Servicer upon demand. Nothing in this
          clause (e) shall affect the obligation of Servicer to observe any
          applicable law prohibiting disclosure of information regarding the
          Obligors; provided further, that Trustee shall be entitled to make
          such further inquiry or investigation into such facts or matter as it
          may reasonably see fit, and if Trustee shall determine to make such
          further inquiry or investigation it shall be entitled to examine the
          books and records of Servicer, personally or by agent or attorney, at
          the sole cost and expense of Servicer.

               (f) Trustee may execute any of the trusts or powers hereunder or
          perform any duties under this Agreement either directly or by or
          through agents, attorneys, nominees or a custodian, and shall not be
          liable for the acts of such agents, attorney, nominees or custodians
          except for (i) acts of ________ or any successor agent carrying out
          Trustee's obligations with respect to the preparation of Servicer
          Reports and (ii) acts of any other agent, attorney, nominee or
          custodian if (A) Trustee has not acted with due care in their
          appointment or (B) Seller has not consented to their appointment.

               (g) Trustee shall not be required to make any initial or periodic
          examination of any documents or records related to the Receivables or
          Financed Vehicles for the purpose of establishing the presence or
          absence of defects, the compliance by Seller with its representations
          and warranties or for any other purpose.

               (h) Trustee shall not be construed to be a guarantor of the
          performance of Servicer, nor shall Trustee have any duty to monitor
          the performance of Servicer other than as expressly stated in this
          Agreement.

               (i) Trustee shall not be required to take notice or be deemed to
          have notice of any Servicer Termination Event hereunder, except a
          Servicer Termination Event under Section 8.1(a)(i) or (ii), unless
          Trustee shall be specifically notified in writing of such Servicer
          Termination Event by Servicer, Seller or any Holder. All notices or
          other instruments required by this Agreement to be delivered to
          Trustee shall be delivered at the Corporate Trust Office and, in the
          absence of such notice so delivered, Trustee may conclusively assume
          there is no Servicer Termination Event except as aforesaid.

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          Section 9.6 Trustee Not Liable for Certificates or Receivables.
Trustee assumes no responsibility for the correctness of the recitals contained
herein and in the Certificates (other than the certificate of authentication on
the Certificates). Except as expressly provided herein, Trustee makes no
representations as to the validity or sufficiency of this Agreement or of the
Certificates (other than Trustee's execution of, and the certificate of
authentication on, the Certificates), or of any Receivable or related document,
or for the validity of the execution by Seller and Servicer of this Agreement or
of any supplements hereto or instruments of further assurance, or for the
sufficiency of the Trust Property hereunder, and Trustee shall not be bound to
ascertain or inquire as to the performance or observance of any covenants,
conditions or agreements on the part of Servicer under this Agreement except as
herein set forth; but Trustee may require Servicer to provide full information
and advice as to the performance of the aforesaid covenants, condition and
agreements. Trustee (solely in its capacity as such) shall have no obligation to
perform any of the duties of Servicer, except as explicitly set forth in this
Agreement. Trustee shall have no liability in connection with compliance of
Servicer with statutory or regulatory requirements to the Receivables. Trustee
shall not make or be deemed to have made any representations or warranties with
respect to the Receivables or the validity or sufficiency of any assignment of
the Receivables to the Trust or Trustee. Trustee (solely in its capacity as
such) shall at no time have any responsibility or liability for, or with respect
to, the legality, validity or enforceability of any security interest in any
Financed Vehicle or (prior to the time, if any, that Servicer is terminated as
custodian hereunder) any Receivable, or the perfection and priority of such a
security interest or the maintenance of any such perfection and priority, the
efficacy of the Trust or its ability to generate funds sufficient to provide for
the payments to be distributed to Holders under this Agreement, the existence,
condition, location, and ownership of any Financed Vehicle, the existence and
enforceability of the Insurance Policies, the existence and contents of any
Receivable or 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 any Receivable, the performance or enforcement of any
Receivable, the compliance by Seller with any warranty or representation made
under this Agreement or in any related document and the accuracy, of any such
warranty or representation, prior to Trustee's receipt of notice or other
discovery of any noncompliance therewith or any breach thereof, any investment
of monies by Servicer or any loss resulting therefrom (it being understood that
Trustee shall remain responsible for any Trust Property that it may hold), the
acts or omissions of Seller, Servicer, or any Obligor, any action of Servicer
taken in the name of Trustee, or any action by Trustee taken at the instruction,
of Servicer (provided that such instruction is not in express violation of the
terms and provisions of this Agreement); provided that the foregoing shall not
relieve Trustee of its obligation to perform its duties under this Agreement.
Except with respect to a claim based on the failure of Trustee to perform its
duties under this Agreement (whether in its capacity as Trustee or as successor
Servicer) or based on Trustee's willful misconduct, negligence, or bad faith, or
based on Trustee's breach of a representation and warranty contained in Section
9.14, no recourse shall be had to Trustee (whether in its individual capacity or
as Trustee) for any claim based on any provision of this Agreement, the
Certificates, or any Receivable or assignment thereof against Trustee in its
individual capacity; Trustee shall not have any personal obligation, liability,
or

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duty whatsoever to any Holder or any other Person with respect to any such
claim. Trustee shall not be accountable for the use or application by Seller of
the proceeds of such Certificates, or for the use or application of any funds
paid to Servicer in respect of the Receivables prior to the time such amounts
are deposited in the Collection Account (whether or not the Collection Account
is maintained with Trustee). Trustee shall have no liability for any losses from
the investment or reinvestment in Eligible Investments made in accordance with
Section 4.1.

          Section 9.7 Trustee May Own Certificates. Trustee in its individual or
any other capacity may become the owner or pledgee of Certificates with the same
rights as it would have if it were not Trustee.

          Section 9.8 Trustee's Fees and Expenses. Servicer agrees to pay to
Trustee, and Trustee shall be entitled to, reasonable compensation (which shall
not be limited by any provision of law in regard to the compensation of a
trustee of an express trust) for all services rendered by it in the execution of
the trusts created by this Agreement and in the exercise and performance of any
of the powers and duties under this Agreement as Trustee, and Servicer shall pay
or reimburse Trustee upon its request for all reasonable expenses (including
expenses incurred in connection with notices or other communications to
Holders), disbursements and advances (including the reasonable compensation and
the reasonable expenses and disbursements of its counsel and of all persons not
regularly in its employ) incurred or made by Trustee in accordance with any of
the provisions of this Agreement (including the reasonable fees and expenses of
its agents, any co-trustee and counsel) or in defense of any action brought
against it in connection with this Agreement except any such expense,
disbursement or advance as may arise from its negligence, willful misfeasance,
or bad faith. Servicer's covenant to pay the expenses, disbursements and
advances provided for in the preceding sentence shall survive the termination of
this Agreement.

          Section 9.9 Eligibility Requirements for Trustee. Trustee shall at all
times be organized and doing business under the banking laws of the United
States or of any state thereof, shall be authorized under such laws to exercise
corporate trust powers, shall have a consolidated net worth of at least
$50,000,000 and shall be subject to supervision or examination by federal or
state banking authorities. If Trustee shall publish reports of condition at
least annually, pursuant to law or to the requirements of the aforesaid
supervising or examining authority, then for the purpose of this Section 9.9,
the consolidated net worth of such Trustee shall be deemed to be its
consolidated capital and surplus as set forth in its most recent consolidated
report of condition so published. In case at any time Trustee shall cease to be
eligible in accordance with the provisions of this Section 9.9, Trustee shall
resign immediately in the manner and with the effect specified in Section 9.10.

          Section 9.10 Resignation or Removal of Trustee. (a) Trustee may at any
time resign and be discharged from the trusts hereby created by giving 30 days'
prior written notice thereof to Servicer. Upon receiving such notice of
resignation, Servicer shall promptly appoint a successor Trustee, by written
instrument, in duplicate, one copy of which instrument shall be delivered to the
resigning Trustee and one copy to the successor Trustee. If no successor Trustee

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shall have been so appointed and have accepted appointment within 30 days after
the giving of such notice of resignation, the resigning Trustee may petition any
court of competent jurisdiction for the appointment of a successor Trustee;
provided, however, that such right to appoint or to petition for the appointment
of any such successor shall in no event relieve the resigning Trustee from any
obligations otherwise imposed on it under this Agreement and the Related
Agreements until such successor has in fact assumed such appointment.

               (b) If at any time Trustee shall cease to be eligible in
          accordance with the provisions of Section 9.9 and shall fail to resign
          after written request therefor by Servicer, or if at any time Trustee
          shall be legally unable to act, or shall be adjudged bankrupt or
          insolvent, or a receiver, conservator or liquidator of Trustee or of
          its property shall be appointed, or any public officer shall take
          charge or control of Trustee or of its property or affairs for the
          purpose of rehabilitation, conservation or liquidation, then Servicer
          may remove Trustee. If Trustee is removed under the authority of the
          immediately preceding sentence, Servicer shall promptly appoint a
          successor trustee by written instrument, in duplicate, one copy of
          which instrument shall be delivered to Trustee so removed, the
          successor Trustee, the Holders at their respective addresses of record
          and the Rating Agencies.

               (c) Any resignation or removal of Trustee and appointment of a
          successor Trustee pursuant to any of the provisions of this Section
          9.10 shall not become effective until acceptance of appointment by the
          successor Trustee pursuant to Section 9.11.

               (d) The respective obligations of Seller and Servicer described
          in this Agreement shall survive the removal or resignation of Trustee
          as provided in this Agreement.

          Section 9.11 Successor Trustee. (a) Any successor Trustee appointed
pursuant to Section 9.10 shall execute, acknowledge, and deliver to Servicer and
to its predecessor Trustee an instrument accepting such appointment under this
Agreement, and thereupon the resignation or removal of the predecessor Trustee
shall become effective and such successor Trustee, without any further act, deed
or conveyance, shall become fully vested with all rights, powers, duties, and
obligations of its predecessor under this Agreement, with like effect as if
originally named as Trustee. The predecessor Trustee shall deliver to the
successor Trustee all documents and statements held by it under this Agreement,
and Servicer and the predecessor Trustee shall execute and deliver such
instruments and do such other things as may reasonably be required for fully and
certainly vesting and confirming in the successor Trustee all such rights,
powers, duties, and obligations.

               (b) No successor Trustee shall accept appointment as provided in
          this Section 9.11 unless at the time of such acceptance such successor
          Trustee shall be eligible pursuant to Section 9.9.

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               (c) Upon acceptance of appointment by a successor Trustee
          pursuant to this Section 9.11, Servicer shall mail notice of such
          acceptance by the successor Trustee under this Agreement to all
          Holders at their respective addresses of record and to the Rating
          Agencies. If Servicer shall fail to mail such notice within 10 days
          after acceptance of appointment by the successor Trustee, the
          successor Trustee shall cause such notice to be mailed at the expense
          of Servicer.

               (d) No predecessor Trustee shall be liable for the acts or
          omissions of any successor Trustee.

          Section 9.12 Merger or Consolidation of or Assumption of Obligations
of Trustee. Any corporation or banking association which is eligible to be a
successor Trustee under Section 9.9 (a) into which Trustee may be merged or
consolidated, (b) that may result from any merger, conversion or consolidation
to which Trustee shall be a party, or (c) that may succeed by purchase and
assumption to the business of Trustee, where Trustee is not the surviving
entity, which corporation or banking association executes an agreement of
assumption to perform every obligation of Trustee under this Agreement, shall be
the successor of Trustee hereunder, 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. Trustee shall promptly notify Servicer
and each Rating Agency of any such merger, conversion, consolidation or purchase
and assumption where Trustee is not the surviving entity.

          Section 9.13 Appointment of Co-Trustee or Separate Trustee. (a)
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 Trust Property or any Financed Vehicle may at the time be located,
Servicer and Trustee acting jointly shall have the power and shall execute and
deliver all instruments to appoint one or more Persons approved by Trustee to
act as co-trustee, jointly with Trustee, or separate trustee or separate
trustees, of all or any part of the Trust, and to vest in such Person, in such
capacity and for the benefit of the Holders, such title to the Trust, or any
part thereof, and, subject to the other provisions of this Section 9.13, such
powers, duties, obligations, rights, and trusts as Servicer and Trustee may
consider necessary or desirable. If Servicer shall not have joined in such
appointment within 15 days after the receipt by it of a request so to do, or in
case a Servicer Termination Event shall have occurred and be continuing, Trustee
alone shall have the power to make such appointment. No co-trustee or separate
trustee under this Agreement shall be required to meet the terms of eligibility
as a successor trustee pursuant to Section 9.9 and no notice to Holders of the
appointment of any co-trustee or separate trustee shall be required pursuant to
Section 9.11. Notwithstanding the appointment of a co-trustee or separate
trustee hereunder, Trustee shall not be relieved of any of its obligations under
this Agreement.

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

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               (i) All rights, powers, duties, and obligations conferred or
               imposed upon Trustee shall be conferred upon and exercised or
               performed by 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 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 (whether as Trustee under this Agreement or as
               successor to Servicer under this Agreement), Trustee shall be
               incompetent or unqualified to perform such act or acts, in which
               event such rights, powers, duties, and obligations (including the
               holding of title to the Trust Property or any portion thereof in
               any such jurisdiction) shall be exercised and performed singly by
               such separate trustee or co-trustee, but solely at the direction
               of Trustee.

               (ii) No trustee under this Agreement shall be personally liable
               by reason of any act or omission of any other trustee under this
               Agreement.

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

               (c) Any notice, request or other writing given to Trustee shall
          be deemed to have been given to each of the then separate trustees and
          co-trustees, as effectively as if given to each of them. Every
          instrument appointing any separate trustee or co-trustee shall refer
          to this Agreement and in particular to the provisions of this Article.
          Each separate trustee and co-trustee, upon its acceptance of the
          trusts conferred, shall be vested with the estates or property
          specified in its instrument of appointment, either jointly with
          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, Trustee. Each such instrument shall be
          filed with Trustee and a copy thereof given to Servicer.

               (d) Any separate trustee or co-trustee may, at any time, appoint
          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 shall die, become incapable of acting,
          resign or be removed, all of its estates, properties, rights, remedies
          and trusts shall vest in and be exercised by Trustee, to the extent
          permitted by law, without the appointment of a new or successor
          trustee. Trustee shall promptly notify Servicer and each Rating Agency
          of any appointment made pursuant to this Section 9.13.

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          Section 9.14 Representations and Warranties of Trustee. Trustee makes
the following representations and warranties on which Seller, Servicer, and
Holders may rely:

               (a) Organization and Good Standing. Trustee is a _______________
          duly organized, validly existing, and in good standing under the laws
          of ____________.

               (b) Power and Authority. Trustee has full power, authority and
          legal right to execute, deliver, and perform this Agreement and the
          Related Agreements and has taken all necessary action to authorize the
          execution, delivery, and performance by it of this Agreement and the
          Related Agreements to which it is a party.

               (c) Enforceability. This Agreement and the Related Agreements to
          which it is a party have been duly executed and delivered by Trustee
          and this Agreement and such Related Agreements constitute legal, valid
          and binding obligations of Trustee enforceable against Trustee in
          accordance with their respective terms, except as such enforceability
          may be limited by applicable bankruptcy, insolvency, reorganization,
          moratorium or other similar laws now or hereafter in effect affecting
          the enforcement of creditors' rights generally and except as such
          enforceability may be limited by equitable limitations on the
          availability of specific remedies.

               (d) No Consent Required. No approval, authorization, consent,
          license or other order or action of, or filing or registration with,
          any governmental authority, bureau or agency is required in connection
          with the execution, delivery or performance by Trustee of this
          Agreement, the Related Agreements or the consummation of the
          transactions contemplated hereby or thereby.

               (e) No Violation. The execution, delivery and performance by
          Trustee of this Agreement and the Related Agreements and the
          consummation of the transactions contemplated hereby and thereby will
          not conflict with, result in any breach of the terms and provisions
          of, constitute (with or without notice or lapse of time) a default
          under, or result in the creation or disposition of any Lien upon any
          of its properties pursuant to the terms of, (i) the articles of
          association or by-laws of Trustee, (ii) any indenture, contract,
          lease, mortgage, deed of trust or other instrument or agreement to
          which Trustee is a party or by which Trustee is bound or to which any
          of its properties are subject, or (iii) any law, order, rule or
          regulation applicable to Trustee or its properties of any federal or
          state regulatory body, any court, administrative agency or other
          governmental instrumentality having jurisdiction over Trustee or any
          of its properties.

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          Section 9.15 Reports by Trustee. Trustee shall provide to any Holder
or Certificate Owner who so requests in writing (addressed to the Corporate
Trust Office) a copy of any Servicer's Report, the annual statement described in
Section 3.10, and the annual accountant's examination described in Section 3.11.
Trustee may require any Holder or Certificate Owner requesting such report to
pay a reasonable sum to cover the cost of Trustee's complying with such request.

          Section 9.16 Tax Returns. Servicer shall prepare or shall cause to be
prepared any tax returns on Form 1065 (or other applicable form) required to be
filed by the Trust and shall remit such returns to Trustee for signature at
least five days before such returns are due to be filed. Trustee, upon request,
will furnish Servicer with all such information actually known to an Authorized
Officer of Trustee as may be reasonably required in connection with the
preparation of all tax returns of the Trust, and shall, upon request, execute
such returns. Servicer shall prepare the tax returns of the Trust in accordance
with the Code and any regulations (including, to the extent applicable by their
terms, proposed regulations) thereunder.

          Section 9.17 Trustee May Enforce Claims Without Possession of
Certificates. All rights of action and claims under this Agreement or the
Certificates may be prosecuted and enforced by Trustee without the possession of
any of the Certificates or the production thereof in any proceeding relating
thereto, and any such proceeding instituted by Trustee shall be brought in its
own name as trustee. Any recovery of judgment shall, after provision for the
payment of the reasonable compensation, expenses, disbursements and advances of
Trustee, its agents and counsel, be for the ratable benefit of the Holders in
respect of which such judgment has been obtained.

                                   ARTICLE X

                                  TERMINATION.

          Section 10.1 Termination of the Trust. (a) The Trust, and the
respective obligations and responsibilities of Seller, Servicer and Trustee
hereunder, shall terminate (except as otherwise expressly provided herein) upon
the earliest of: (i) the Distribution Date next succeeding the purchase by
Servicer at its option, pursuant to Section 10.2, of the Receivables (other than
Defaulted Receivables) remaining in the Trust, (ii) the payment to Holders of
all amounts required to be paid to them pursuant to this Agreement or (iii) the
Distribution Date next succeeding the month which is six months after the
maturity or the liquidation of the last Receivable held in the Trust and the
disposition of any amounts received upon liquidation of any property remaining
in the Trust; provided that in no event shall the Trust created by this
Agreement continue beyond the expiration of 21 years from the death of the last
survivor of the descendants living on the date of this Agreement of Rose Kennedy
of the Commonwealth of Massachusetts. Servicer shall promptly notify Trustee of
any prospective termination pursuant to this Section 10.1.

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               (b) Notice of any termination, specifying the Distribution Date
          upon which the Holders may surrender the Certificates to Trustee for
          payment of the final distribution and cancellation, shall be given
          promptly by Trustee by letter to Holders of record and the Rating
          Agencies mailed not earlier than the 15th day and not later than the
          25th day of the month next preceding the specified Distribution Date
          stating the amount of any such final payment and that the Record Date
          otherwise applicable to such Distribution Date is not applicable,
          payments being made only upon presentation and surrender of the
          Certificates at the office of Trustee therein specified. Upon
          presentation and surrender of the Certificates, Trustee shall cause to
          be distributed to Holders amounts distributable on such Distribution
          Date pursuant to Section 4.5. Amounts remaining in the Trust after
          distribution, or after setting aside all funds required for
          distribution, to the Holders shall be distributed to the Transferor.

               (c) In the event that all of the Holders shall not surrender
          their Certificates for cancellation within six months after the date
          specified in the above-mentioned written notice, Trustee shall give a
          second written notice to the remaining Holders to surrender their
          Certificates for cancellation and receive the final distribution with
          respect thereto. Trustee shall after giving such notice to deliver or
          cause to be delivered to Servicer the Certificate Register. If within
          one year after the second notice all the Certificates shall not have
          been surrendered for cancellation, Servicer may take appropriate
          steps, or may appoint an agent to take appropriate steps, to contact
          the remaining Holders concerning surrender of their Certificates, and
          the cost thereof shall be paid out of the funds and other assets that
          shall remain subject to this Agreement. Any funds remaining in the
          Trust after exhaustion of such remedies shall be distributed by
          Trustee to the Transferor.

          Section 10.2 Optional Purchase of All Receivables. If the Pool Factor
shall be .1000000 or less as of the last day of any Collection Period, Servicer
shall have the option to purchase the remaining Trust Property on any
Distribution Date occurring in a subsequent Collection Period. To exercise such
option, Servicer shall deposit the aggregate Purchase Amount for the remaining
Receivables (other than Defaulted Receivables) into the Collection Account on
the Deposit Date occurring in the month in which such repurchase is to be
effected. The payment shall be made in the manner specified in Section 4.4, and
shall be distributed pursuant to Section 4.5. Upon such payment Servicer shall
succeed to and own all interests in and to the Trust Property (subject to the
rights of the Holders to receive a final distribution on the related
Distribution Date).

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                                   ARTICLE XI

                            MISCELLANEOUS PROVISIONS.

          Section 11.1 Amendment. (a) This Agreement may be amended by Seller,
Servicer and Trustee, without the consent of any of the Holders, for the purpose
of adding any provisions to or changing in any manner or eliminating any of the
provisions of this Agreement or modifying in any manner the rights of the
Holders; provided that such action shall not, as evidenced by an Opinion of
Counsel to Seller delivered to Trustee, materially and adversely affect the
interests of any Holder.

               (b) [This Agreement may be amended by Seller, Servicer and
          Trustee without the consent of any of the Holders to add, modify or
          eliminate such provisions as may be necessary or advisable in order to
          enable (i) the transfer to the Trust of all or any portion of the
          Receivables to be derecognized under generally accepted accounting
          principles ("GAAP") by Seller to the Trust, (ii) the Trust to avoid
          becoming a member of Seller's consolidated group under GAAP; or (iii)
          the Seller, the Transferor or any of their Affiliates to otherwise
          comply with or obtain more favorable treatment under any law or
          regulation or any accounting rule or principle; it being a condition
          to any such amendment that each Rating Agency will have notified the
          Seller, the Servicer and the Trustee in writing that the amendment
          will not result in a reduction or withdrawal of the rating of any
          outstanding Certificates with respect to which it is a Rating Agency.]

               (c) This Agreement may also be amended from time to time by
          Seller, Servicer and Trustee, with the consent of the Majority
          Holders, 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 Holders; provided that no
          such amendment shall (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 shall be required to be made on any
          Certificate without the consent of all adversely affected Holders,
          (ii) reduce the percentage of the aggregate outstanding principal
          balance of the Certificates, the Holders of which are required to
          consent to any such amendment, without the consent of all Holders,
          (iii) materially and adversely affect the interests of either the
          Class A Holders or the Class B Holders without the consent of the
          Holders of Class A Certificates or Class B Certificates, as the case
          may be, evidencing not less than a majority of the aggregate
          outstanding principal balance of the Class A Certificates or the Class
          B Certificates, as the case may be, or (iv) cause either Rating Agency
          to downgrade or withdraw its rating of the Class A Certificates or the
          Class B Certificates without the consent of Holders of Class A
          Certificates or Class B Certificates, as the case may be, evidencing
          more than 66 2/3% of the aggregate outstanding principal balance of

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          the Class A Certificates or the Class B Certificates, as the case may
          be. Promptly after the execution of any such amendment or consent,
          Trustee shall furnish written notification of the substance of such
          amendment or consent to each Holder.

               (d) It shall not be necessary for the consent of Holders pursuant
          to this Section 11.1 to approve the particular form of any proposed
          amendment or consent, but it shall be sufficient if such consent shall
          approve the substance thereof. The manner of obtaining such consents
          and of evidencing the authorization of the execution thereof by
          Holders shall be subject to such reasonable requirements as Trustee
          may prescribe.

               (e) Notice of any amendment of this Agreement shall be sent by
          Servicer to each Rating Agency, at such address as such Rating Agency
          may from time to time specify in writing.

               (f) In connection with any amendment pursuant to this Section
          11.1 Trustee shall be entitled to receive an Opinion of Counsel to the
          effect that such amendment is authorized or permitted by the
          Agreement.

          Section 11.2 Protection of Title to Trust Property. (a) Servicer shall
execute and file such financing statements and cause to be executed and filed
such continuation statements, all in such manner and in such places as may be
required by law fully to preserve, maintain and protect the interest of the
Holders and Trustee under this Agreement in the Trust Property and in the
proceeds thereof. Servicer shall deliver (or cause to be delivered) to Trustee
file-stamped copies of, or filing receipts for, any document filed as provided
above, as soon as available following such filing. If Servicer fails to perform
its obligations under this subsection, Trustee may (but shall not be obligated
to) do so, at the expense of Servicer.

               (b) Neither Seller nor Servicer shall change its name, identity
          or corporate structure in any manner that would, could or might make
          any financing statement or continuation statement filed by Servicer in
          accordance with subsection (a) misleading within the meaning of the
          UCC, unless it shall have given Trustee at least 60 days' prior
          written notice thereof and shall have promptly filed appropriate
          amendments to all previously filed financing statements or
          continuation statements.

               (c) Seller and Servicer shall give Trustee at least 60 days'
          prior written notice of any relocation of its principal executive
          office if, as a result of such relocation, the applicable provisions
          of the UCC would require the filing of any amendment of any previously
          filed financing or continuation statement or of any new financing
          statement. Seller and Servicer shall at all times maintain each office
          from which it shall service Receivables, and its principal executive
          office, within the United States of America.

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               (d) Servicer shall 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) Servicer shall maintain its computer systems so that, from
          and after the time of sale under this Agreement of the Receivables to
          Trustee, Servicer's master computer records (including archives) that
          shall refer to a Receivable indicate clearly that such Receivable is
          owned by the Trust. Indication of the Trust's ownership of a
          Receivable shall be deleted from or modified on Servicer's computer
          systems when, and only when, the Receivable shall be paid or shall
          become a Purchased Receivable.

               (f) If at any time Seller, the Transferor or Servicer shall
          propose to sell, grant a security interest in or otherwise transfer
          any interest in motor vehicle loans and/or retail installment sales
          contracts to any prospective purchaser, lender or other transferee,
          Seller, Transferor Servicer, as the case may be, shall give to such
          prospective purchaser, lender or other transferee computer tapes,
          records or printouts (including any restored from archives) that, if
          they shall refer in any manner whatsoever to any Receivable, shall
          indicate clearly that such Receivable has been sold and is owned by
          the Trust.

               (g) Upon request, Servicer, at its expense, shall furnish to
          Trustee, within thirty days, a list of all Receivables then held as
          part of the Trust, together with a reconciliation of such list to each
          Schedule of Receivables and to each of Servicer's Reports furnished
          pursuant to Section 3.9 indicating removal of Receivables from the
          Trust.

               (h) Servicer shall deliver to Trustee upon the Closing Date, and
          upon the execution and delivery of each amendment, if any, of this
          Agreement an Opinion of Counsel to Servicer either (i) stating that,
          in the opinion of such counsel, no filings or other action, other than
          the filings required in the appropriate filing offices as described in
          such opinion, are necessary to perfect and maintain (A) the security
          interest of Trustee in the Financed Vehicles, subject to the
          exceptions stated therein, and (B) the interest of Trustee in the
          Receivables and the proceeds thereof against third parties, subject to
          the exceptions stated therein, and reciting the details of such
          filings or referring to prior Opinions of Counsel in which such
          details are given, or (ii) stating that, in the opinion of such
          counsel, no such action shall be necessary to perfect or complete the
          perfected status of such interest.

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               (i) Servicer shall permit Trustee and its agents, at the expense
          of Trustee (except after a Servicer Termination Event, in which case
          such cost will be at the expense of Servicer), at any time to inspect,
          audit and make copies of and abstracts from Servicer's records
          regarding any Receivables then or previously included in the Trust.

          Section 11.3 Limitation on Rights of Holders. (a) The death or
incapacity of any Holder shall not operate to terminate this Agreement or the
Trust, or entitle the Holder's legal representatives or heirs to claim an
accounting or to take any action or commence any proceeding in any court for a
partition or winding up of the Trust, or otherwise affect the rights,
obligations and liabilities of the parties to this Agreement or any of them.

               (b) No Holder shall have any right to vote (except as expressly
          provided herein) or in any manner otherwise control the operation and
          management of the Trust or the obligations of the parties to this
          Agreement, nor shall anything set forth in this Agreement, or
          contained in the terms of the Certificates, be construed so as to
          constitute the Holders as partners or members of an association; nor
          shall any Holder be under any liability to any third party by reason
          of any action taken pursuant to any provision of this Agreement.

               (c) No Holder shall have any right by virtue or by availing
          itself 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, unless such Holder previously shall have given to
          Trustee a written notice of default and of the continuance thereof, as
          hereinbefore provided, and unless, with respect to the Class A
          Certificates, Class A Holders evidencing not less than a majority of
          the aggregate outstanding principal balance of the Class A
          Certificates or, with respect to the Class B Certificates, Class B
          Holders evidencing not less than a majority of the aggregate
          outstanding principal balance of the Class B Certificates, shall have
          made written request upon Trustee to institute such action, suit or
          proceeding in its own name as Trustee under the Agreement and shall
          have offered to Trustee such reasonable indemnity as it may require
          against the costs, expenses and liabilities to be incurred therein or
          thereby, and Trustee, for _ days after its receipt of such notice,
          request and offer of indemnity satisfactory to it, shall have
          neglected or refused to institute any such action, suit or proceeding;
          no one or more Holders of Certificates shall have any right in any
          manner whatever by virtue or by availing itself or themselves of any
          provisions of this Agreement to affect, disturb or prejudice the
          rights of the Holders of any other of the Certificates, or to obtain
          or seek to obtain priority over or preference to any other such Holder
          or to enforce any right under this Agreement, except in the manner
          provided in this Agreement and for the equal, ratable and common
          benefit of all Class A Holders or Class B Holders, as the case may be.
          For the protection and enforcement of the provisions of this Section
          11.3, each Holder

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          and Trustee shall be entitled to such relief as can be given either at
          law or in equity.

          Section 11.4 Governing Law. THIS AGREEMENT SHALL 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 SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS; EXCEPT THAT
THE GRANT OF A SECURITY INTEREST IN THE RESERVE ACCOUNT PROPERTY AND THE
PERFECTION, EFFECT OF PERFECTION, AND PRIORITY OF SUCH SECURITY INTEREST SHALL
BE GOVERNED BY THE LAWS OF THE STATE OF ______________.

          Section 11.5 Notices. All demands, notices, and communications under
this Agreement shall be in writing, personally delivered, or sent by telecopier,
overnight mail or mailed by certified mail, return receipt requested, and shall
be deemed to have been duly given upon receipt (a) in the case of Seller to
_____________, Attention: _______________; (b) in the case of Servicer, to
_______________, Attention: ______________; (c) in the case of Trustee, at the
Corporate Trust Office, facsimile number: ______________; (d) [in the case of
Moody's, at the following address: Moody's Investors Service, Inc., ABS
Monitoring Department, 99 Church Street, New York, New York 10007, facsimile
number: (212) 553-3850]; (e) in the case of [Standard & Poor's, at the following
address: Standard & Poor's Ratings Services, a division of The McGraw-Hill
Companies, Inc., 25 Broadway, 20th Floor, New York, New York 10004, Attention:
Asset Backed Surveillance Department, facsimile number: (212) 208-0030]; and (f)
in the case of Fitch, to __________________. Any notice required or permitted to
be mailed to a Holder shall be given by first class mail, postage prepaid, at
the address of record of such Holder. Any notice so mailed within the time
prescribed in this Agreement shall be conclusively presumed to have been duly
given, whether or not the Holder shall receive such notice.

          Section 11.6 Severability of Provisions. If any one or more of the
covenants, provisions or terms of this Agreement shall be for any reason
whatsoever held invalid, then such covenants, provisions or terms shall be
deemed severable from the remaining covenants, provisions or terms of this
Agreement, and shall in no way affect the validity or enforceability of the
other provisions of this Agreement or of the Certificates or the rights of the
Holders thereof.

          Section 11.7 Assignment. Notwithstanding anything to the contrary
contained herein, except as provided in Section 2.5, 3.1, 6.3 and 7.3, this
Agreement may not be assigned by Seller or Servicer. This Agreement may not be
assigned by Trustee except as provided by Sections 9.10 through 9.13.

          Section 11.8 Certificates Nonassessable and Fully Paid. The interests
represented by the Certificates shall be nonassessable for any losses or
expenses of the Trust or for any reason whatsoever, and, upon authentication
thereof by Trustee pursuant to Section 5.1, each Certificate shall be deemed
fully paid.

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          Section 11.9 Intention of Parties. (a) The execution and delivery of
this Agreement shall constitute an acknowledgment by Seller and Trustee, on
behalf of the Holders, that it is intended that the assignment and transfer
herein contemplated constitute a sale and assignment outright, and not for
security, of the Receivables and the other Trust Property, conveying good title
thereto free and clear of any liens, from Seller to the Trust, and that the
Receivables and the other Trust Property shall not be a part of Seller's estate
in the event of the insolvency, receivership, conservatorship or the occurrence
of another similar event, of, or with respect to, Seller. In the event that such
conveyance is determined to be made as security for a loan made by the Trust or
the Holders to the Seller, the parties intend that Seller shall have granted to
Trustee a security interest in all of Seller's right, title and interest in and
to the Trust Property conveyed to the Trust pursuant to Section 2.1, and that
this Agreement shall constitute a security agreement under applicable law.

               (b) The execution and delivery of this Agreement shall constitute
          an acknowledgment by Seller and Trustee on behalf of the Holders that
          they intend that the Trust be classified (for Federal tax purposes) as
          a grantor trust under Subpart E, Part I of Subchapter J of the
          Internal Revenue Code of which the Holders are owners, rather than as
          an association taxable as a corporation. The powers granted and
          obligations undertaken in this Agreement shall be construed so as to
          further such intent.

          Section 11.10 Counterparts. For the purpose of facilitating the
execution of this Agreement and for other purposes, this Agreement may be
executed simultaneously in any number of counterparts, each of which
counterparts shall be deemed to be an original, and all of which counterparts
shall constitute but one and the same instrument.

          Section 11.11 Further Assurances. Seller and Servicer agree to do and
perform, from time to time, any and all acts and to execute any and all further
instruments required or reasonably requested by Trustee more fully to effect the
purposes of this Agreement, including without limitation, the execution of any
financing statements or continuation statements relating to the Receivables for
filing under the provisions of the UCC of any applicable jurisdiction.

          Section 11.12 No Waiver; Cumulative Remedies. No failure to exercise
and no delay in exercising, on the part of the Trustee or the Holders, any
right, remedy, power or privilege hereunder, shall operate as a waiver thereof;
nor shall any single or partial exercise of any right, remedy, power or
privilege hereunder preclude any other or further exercise thereof or the
exercise of any other right, remedy, power or privilege. The rights, remedies,
powers and privileges therein provided are cumulative and not exhaustive of any
rights, remedies, powers and privileges provided by law.

          Section 11.13 Regulation AB. The Servicer shall cooperate fully with
the Seller and the Trust to deliver to the Seller and the Trust (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 Seller or the Issuer to permit the Seller to comply with the

                                       75

<PAGE>

provisions of Regulation AB, together with such disclosures relating to the
Servicer and the Receivables, or the servicing of the Receivables, reasonably
believed by the Seller to be necessary in order to effect such compliance.

          Section 11.14 Information to Be Provided by the Trustee. (a) For so
long as the Trust is required to report under the Exchange Act, the Trustee
shall (i) on or before the fifth Business Day of each month, provide to the
Seller, in writing, such information regarding the Trustee as is requested by
the Seller (if any) for the purpose of compliance with Item 1117 of Regulation
AB; provided, however, that the Trustee shall not be required to provide such
information in the event that there has been no change to the information
previously provided by the Trustee to Seller, and (ii) as promptly as
practicable following notice to or discovery by a Responsible Officer of the
Trustee of any changes to such information, provide to the Seller, in writing,
such updated information.

               (b) As soon as available but no later than March 15 of each
          calendar year for so long as the Trust is required to report under the
          Exchange Act, commencing in [____________], the Trustee shall:

               (i) deliver to the Seller a report regarding the Trustee's
               assessment of compliance with the Servicing Criteria during the
               immediately preceding calendar year, as required under paragraph
               (b) of Rule 13a-18, Rule 15d-18 of the Exchange Act and Item 1122
               of Regulation AB. Such report shall be signed by an authorized
               officer of the Trustee, and shall address each of the Servicing
               Criteria specified in Exhibit D or such criteria as mutually
               agreed upon by the Seller and the Trustee;

               (ii) deliver to the Seller a report of a registered public
               accounting firm that attests to, and reports on, the assessment
               of compliance made by the Indenture Trustee and delivered
               pursuant to the preceding paragraph. Such attestation shall 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; and

               (iii) deliver to the Seller and any other Person that will be
               responsible for signing the certification (a "Sarbanes
               Certification") required by Rules 13a-14(d) and 15d-14(d) under
               the Exchange Act (pursuant to Section 302 of the Sarbanes-Oxley
               Act of 2002) on behalf of the Issuer or the Seller substantially
               in the form attached hereto as Exhibit E or such form as mutually
               agreed upon by the Seller and the Trustee.

               THE TRUSTEE ACKNOWLEDGES THAT THE PARTIES IDENTIFIED IN CLAUSE
          (III) ABOVE MAY RELY ON THE CERTIFICATION PROVIDED BY THE TRUSTEE
          PURSUANT TO SUCH CLAUSE IN SIGNING A SARBANES CERTIFICATION AND FILING
          SUCH WITH THE COMMISSION.

                                       76

<PAGE>

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

                                        VOLKSWAGEN AUTO LEASE UNDERWRITTEN
                                        FUNDING, LLC

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

                                        VW CREDIT, INC., Servicer

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

                                                                       , Trustee
                                        -------------------------------

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

                                       77
<PAGE>

                                   SCHEDULE A

                          LOCATION OF RECEIVABLE FILES

                                      S-1

<PAGE>

                           FORM OF CLASS A CERTIFICATE

                                                                       EXHIBIT A

                                   ----------

                    _____% ASSET BACKED CERTIFICATE, CLASS A

Evidencing a fractional undivided interest in the Trust, as defined below, the
property of which includes a pool of fixed rate simple interest retail motor
vehicle loans and/or retail installment sales contracts (the "Receivables")
secured by the new and used automobiles and light duty trucks financed thereby
(the "Financed Vehicles") and sold to the Trust by VOLKSWAGEN AUTO LEASE
UNDERWRITTEN FUNDING, LLC.

THIS CERTIFICATE REPRESENTS A FRACTIONAL UNDIVIDED INTEREST IN THE TRUST AND
DOES NOT REPRESENT AN INTEREST IN OR OBLIGATION OF
_____________________________. THIS CERTIFICATE AND THE RECEIVABLES ARE NOT
DEPOSITS AND ARE NOT INSURED OR GUARANTEED BY THE FEDERAL DEPOSIT INSURANCE
CORPORATION OR ANY OTHER GOVERNMENTAL AGENCY.

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

NUMBER __________                                         CUSIP ________________

________________________________________________________________________________
                                                     Original Certificate Amount

                                Exhibit A to the Pooling and Servicing Agreement

                                      A-1

<PAGE>

          THIS CERTIFIES THAT ___________________ is the registered owner of a
______________ dollars, nonassessable, fully paid, fractional undivided interest
in Volkswagen Auto Loan Enhanced Trust 200_-_ (the "Trust") formed pursuant to a
Pooling and Servicing Agreement dated as of ___________, 200_ (the "Agreement")
among Volkswagen Auto Lease Underwritten Funding, LLC, a Delaware limited
liability company (the "Seller"), VW Credit, Inc. (the "Servicer") and
_____________, a _______________, as trustee (the "Trustee").

          To the extent not otherwise defined herein, the capitalized terms used
herein have the meanings assigned to them in the Agreement. This Certificate is
one of the duly authorized Certificates designated as "_____% Asset Backed
Certificates, Class A" (herein called the "Class A Certificates"). Also issued
under the Agreement are Certificates designated as "_____% Asset Backed
Certificates, Class B" (the "Class B Certificates"). The Class A Certificates
and the Class B Certificates are hereinafter collectively called the
"Certificates." This Certificate is issued under and is subject to the terms,
provisions, and conditions of the Agreement, to which the Holder of this
Certificate by virtue of the acceptance hereof assents and by which such Holder
is bound. The Trust Property includes (as more fully described in the Agreement)
a pool of Receivables, certain monies received under the Receivables after
___________ __, 200_ (the "Cutoff Date"), security interests in the Financed
Vehicles, and proceeds of the foregoing.

          Subject to the terms and conditions of the Agreement (including the
availability of funds for distributions) and until the obligations created by
the Agreement shall have terminated in accordance therewith, there will be
distributed, but only from funds on deposit in the Class A Distribution Account,
on the _th day of each month or, if such _th day is not a Business Day, the next
succeeding Business Day (each such date, a "Distribution Date"), commencing
_________ __, 200_, to the Person in whose name this Certificate is registered
at the close of business on the last day of the preceding Collection Period (the
"Record Date"), such Holder's fractional undivided interest in the amounts to be
distributed to Class A Holders pursuant to the Agreement on such Distribution
Date.

          Distributions on this Certificate will be made by Trustee by check
mailed to the Holder of record at its address as it appears in the Certificate
Register without the presentation or surrender of this Certificate or the making
of any notation hereon, except that with respect to a Certificate registered in
the name of a Clearing Agency or its nominee, distributions will be made by wire
transfer of immediately available funds. Except as otherwise provided in the
Agreement and notwithstanding the above, the final distribution on this
Certificate will be made after due notice by Trustee of the pendency of such
distribution and only upon presentation and surrender of this Certificate at the
office or agency maintained for that purpose by Trustee.

          This Certificate does not purport to summarize the Agreement and
reference is hereby made to the Agreement for information with respect to the
rights, benefits, obligations and duties evidenced thereby.

                                      A-2

<PAGE>

          Unless the certificate of authentication hereon shall have been
executed by an authorized officer of Trustee, by manual signature, this
Certificate shall not entitle the holder hereof to any benefit under the
Agreement or be valid for any purpose.

          Each Holder, by its acceptance of a Certificate or a beneficial
interest in a Certificate, acknowledges and agrees that they intend that the
Trust be classified (for Federal tax purposes) as a grantor trust under Subpart
E, Part I of Subchapter J of the Internal Revenue Code of which the Holders are
owners, rather than as an association taxable as a corporation.

          IN WITNESS WHEREOF, Trustee, on behalf of the Trust, and not in its
individual capacity, has caused this Certificate to be duly executed.

                                        VOLKSWAGEN AUTO LOAN ENHANCED
                                        TRUST 200_-__

                                        By:                                    ,
                                            -----------------------------------
                                            as Trustee

                                        By:
                                            ------------------------------------
                                            Authorized Officer
                                        DATED:
                                               ---------------------------------

                                        [SEAL]

                                        ATTEST:
                                                --------------------------------
                                                Authorized Officer

Trustee's Certificate of Authentication:

          This is one of the Class A Certificates referred to in the
within-mentioned Agreement.

                                                                               ,
                                        ---------------------------------------
                                        as Trustee

                                        By:
                                            ------------------------------------
                                            Authorized Officer

                                      A-3

<PAGE>

                           FORM OF CLASS B CERTIFICATE

                                                                       EXHIBIT B

                                   ----------

                    _____% ASSET BACKED CERTIFICATE, CLASS B

Evidencing a fractional undivided interest in the Trust, as defined below, the
property of which includes a pool of fixed rate simple interest retail motor
vehicle loans and/or retail installment sales contracts (the "Receivables")
secured by the new and used automobiles and light duty trucks financed thereby
(the "Financed Vehicles") and sold to the Trust by Volkswagen Auto Lease
Underwritten Funding, LLC.

THIS CERTIFICATE REPRESENTS A FRACTIONAL UNDIVIDED INTEREST IN THE TRUST AND
DOES NOT REPRESENT AN INTEREST IN OR OBLIGATION OF _________________________
THIS CERTIFICATE AND THE RECEIVABLES ARE NOT DEPOSITS AND ARE NOT INSURED OR
GUARANTEED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION OR ANY OTHER
GOVERNMENTAL AGENCY.

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

NUMBER __________                                         CUSIP ________________

________________________________________________________________________________
                                                     Original Certificate Amount

                                Exhibit B to the Pooling and Servicing Agreement

                                      B-1

<PAGE>

          THIS CERTIFIES THAT ________________ is the registered owner of a
_________________ dollars, nonassessable, fully paid, fractional undivided
interest in the Volkswagen Auto Loan Enhanced Trust 200_-_ (the "Trust") formed
pursuant to a Pooling and Servicing Agreement dated as of ________ __, 200_ (the
"Agreement") among Volkswagen Auto Lease Underwritten Funding, LLC, a Delaware
limited liability company (the "Seller"), VW Credit, Inc. (the "Servicer") and
_____________, a _____________, as trustee (the "Trustee").

          To the extent not otherwise defined herein, the capitalized terms used
herein have the meanings assigned to them in the Agreement. This Certificate is
one of the duly authorized Certificates designated as "_____% Asset Backed
Certificates, Class B" (herein called the "Class B Certificates"). Also issued
under the Agreement are Certificates designated as "_____% Asset Backed
Certificates, Class A" (the "Class A Certificates"). The Class A Certificates
and the Class B Certificates are hereinafter collectively called the
"Certificates." This Certificate is issued under and is subject to the terms,
provisions, and conditions of the Agreement, to which the Holder of this
Certificate by virtue of the acceptance hereof assents and by which such Holder
is bound. The Trust Property includes (as more fully described in the Agreement)
a pool of Receivables, certain monies received under the Receivables after
________ __, 200_ (the "Cutoff Date"), security interests in the Financed
Vehicles, and proceeds of the foregoing. The rights of the Holder of the Class B
Certificates are subordinated to the rights of the Holders of the Class A
Certificates to the extent set forth in the Agreement.

          Subject to the terms and conditions of the Agreement (including the
availability of funds for distributions and the subordination of the Class B
Certificates) and until the obligations created by the Agreement shall have
terminated in accordance therewith, there will be distributed, but only from
funds on deposit in the Class B Distribution Account, on the _th day of each
month or, if such _th day is not a Business Day, the next succeeding Business
Day (each such date, a "Distribution Date"), commencing _______ _, 200_, to the
Person in whose name this Certificate is registered at the close of business on
the last day of the preceding Collection Period (the "Record Date"), such
Holder's fractional undivided interest in the amounts to be distributed to Class
B Holders pursuant to the Agreement on such Distribution Date.

          Distributions on this Certificate will be made by Trustee by check
mailed to the Holder of record at its address as it appears in the Certificate
Register without the presentation or surrender of this Certificate or the making
of any notation hereon, except that with respect to a Certificate registered in
the name of a Clearing Agency or its nominee, distributions will be made by wire
transfer of immediately available funds. Except as otherwise provided in the
Agreement and notwithstanding the above, the final distribution on this
Certificate will be made after due notice by Trustee of the pendency of such
distribution and only upon presentation and surrender of this Certificate at the
office or agency maintained for that purpose by Trustee.

          This Certificate does not purport to summarize the Agreement and
reference is hereby made to the Agreement for information with respect to the
rights, benefits, obligations and duties evidenced thereby.

                                      B-2

<PAGE>

          Unless the certificate of authentication hereon shall have been
executed by an authorized officer of Trustee, by manual signature, this
Certificate shall not entitle the holder hereof to any benefit under the
Agreement or be valid for any purpose.

          Each Holder, by its acceptance of a Certificate or a beneficial
interest in a Certificate, acknowledges and agrees that they intend that the
Trust be classified (for Federal tax purposes) as a grantor trust under Subpart
E, Part I of Subchapter J of the Internal Revenue Code of which the Holders are
owners, rather than as an association taxable as a corporation.

          IN WITNESS WHEREOF, Trustee, on behalf of the Trust, and not in its
individual capacity, has caused this Certificate to be duly executed.

                                        VOLKSWAGEN AUTO LOAN ENHANCED
                                        TRUST 200_-__

                                        By:                         , as Trustee
                                            ------------------------

                                        By:
                                            ------------------------------------
                                            Authorized officer
                                        DATED:
                                               ---------------------------------

                                        [SEAL]

                                        ATTEST:
                                                --------------------------------
                                                Authorized Officer

Trustee's Certificate of Authentication:

          This is one of the Class B Certificates referred to in the
within-mentioned Agreement.

                                                                   , as Trustee
                                        ---------------------------

                                        By:
                                            ------------------------------------
                                            Authorized Officer

                                      B-3

<PAGE>

                                                                       EXHIBIT C

                            Form of Servicer's Report

                                Exhibit C to the Pooling and Servicing Agreement

                                      C-1

<PAGE>

                                                                       EXHIBIT D

                      SERVICING CRITERIA TO BE ADDRESSED IN
                       TRUSTEE'S ASSESSMENT OF COMPLIANCE

     The assessment of compliance to be delivered by the Trustee shall address,
at a minimum, the criteria identified as below as "Applicable Servicing
Criteria":

                                [To be inserted]

                                Exhibit D to the Pooling and Servicing Agreement

                                      D-1

<PAGE>

                                                                       EXHIBIT E

                     FORM OF TRUSTEE'S ANNUAL CERTIFICATION

RE: VOLKSWAGEN AUTO LOAN ENHANCED TRUST [______] - [________]

         [ ____________________________], not in its individual capacity but
solely as indenture trustee (the "Trustee"), certifies to Volkswagen Auto Lease
Underwritten Funding, LLC (the "Seller"), and its officers, with the knowledge
and intent that they will rely upon this certification, that:

          (1) It has reviewed the report on assessment of the Trustee's
     compliance provided in accordance with Rules 13a-18 and 15d-18 under the
     Securities Exchange Act of 1934, as amended (the "Exchange Act") and Item
     1122 of Regulation AB (the "Servicing Assessment"), and the registered
     public accounting firm's attestation report provided in accordance with
     Rules 13a-18 and 15d-18 under the Exchange Act and Section 1122(b) of
     Regulation AB (the "Attestation Report") that were delivered by the Trustee
     to the Seller pursuant to the Pooling and Servicing Agreement (the
     "Agreement"), dated as of [________], by and between VW Credit, Inc., the
     Seller, the Trustee and Volkswagen Auto Loan Enhanced Trust
     [________] - [________] (collectively, the "Trustee Information");

          (2) To the best of its knowledge, the Trustee Information, taken as a
     whole, does not contain any untrue statement of a material fact or omit to
     state a material fact necessary to make the statements made, in the light
     of the circumstances under which such statements were made, not misleading
     with respect to the period of time covered by the Indenture Trustee
     Information;

          (3) To the best of its knowledge, all of the Trustee Information
     required to be provided by the Trustee under the Agreement has been
     provided to the Seller; and

          (4) To the best of its knowledge, except as disclosed in the Servicing
     Assessment or the Attestation Report, the Trustee has fulfilled its
     obligations under the Agreement.

                                        [__________________________], not in its
                                        individual capacity but solely
                                        as Trustee

                                        Date: _________________________

                                Exhibit E to the Pooling and Servicing Agreement

                                      E-1<PAGE>

                                                                    EXHIBIT 10.1

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

                          SALE AND SERVICING AGREEMENT

                                  by and among

                VOLKSWAGEN AUTO LOAN ENHANCED TRUST 20[__]-[__],

                                    as Issuer

                VOLKSWAGEN AUTO LEASE UNDERWRITTEN FUNDING, LLC,

                                    as Seller

                                VW CREDIT, INC.,

                                   as Servicer

                                       and

                                  [__________]

                              as Indenture Trustee

                            Dated as of [__________]

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

                                          20[__]-[__] Sale & Servicing Agreement

<PAGE>

                                TABLE OF CONTENTS

<TABLE>
<S>                                                                           <C>
ARTICLE I    DEFINITIONS AND USAGE.........................................    1
   SECTION 1.1  Definitions................................................    1
   SECTION 1.2  Other Interpretive Provisions..............................    1

ARTICLE II   CONVEYANCE OF TRANSFERRED ASSETS..............................    2
   SECTION 2.1  Conveyance of Transferred Assets...........................    2
   SECTION 2.2  Representations and Warranties of the Seller as to each
                Receivable.................................................    2
   SECTION 2.3  Repurchase upon Breach.....................................    2
   SECTION 2.4  Custody of Receivable Files................................    3

ARTICLE III  ADMINISTRATION AND SERVICING OF RECEIVABLES AND TRUST
             PROPERTY......................................................    5
   SECTION 3.1  Duties of Servicer.........................................    5
   SECTION 3.2  Collection of Receivable Payments..........................    6
   SECTION 3.3  Realization Upon Receivables...............................    6
   SECTION 3.4  Maintenance of Security Interests in Financed Vehicles.....    7
   SECTION 3.5  Covenants of Servicer......................................    7
   SECTION 3.6  Purchase of Receivables Upon Breach........................    7
   SECTION 3.7  Servicing Fee..............................................    7
   SECTION 3.8  Servicer's Certificate.....................................    8
   SECTION 3.9  Annual Officer's Certificate; Notice of Servicer
                Replacement Event..........................................    8
   SECTION 3.10 Annual Servicing Report of Independent Public Accountants..    8
   SECTION 3.11 Servicer Expenses..........................................    8
   SECTION 3.12 1934 Act Filings...........................................    9

ARTICLE IV   DISTRIBUTIONS; ACCOUNTS; STATEMENTS TO THE CERTIFICATEHOLDER
             AND THE NOTEHOLDERS...........................................    9
   SECTION 4.1  Establishment of Accounts..................................    9
   SECTION 4.2  Remittances................................................   11
   SECTION 4.3  Additional Deposits and Payments; Servicer Advances........   11
   SECTION 4.4  Distributions..............................................   12
   SECTION 4.5  Net Deposits...............................................   13
   SECTION 4.6  Statements to Certificateholder and Noteholders............   13
</TABLE>

                                      -i-

<PAGE>

                                TABLE OF CONTENTS
                                   (continued)

<TABLE>
<S>                                                                           <C>
   SECTION 4.7  No Duty to Confirm.........................................   14

ARTICLE V    THE SELLER....................................................   14
   SECTION 5.1  Representations and Warranties of Seller...................   14
   SECTION 5.2  Liability of Seller; Indemnities...........................   15
   SECTION 5.3  Merger or Consolidation of, or Assumption of the
                Obligations of, Seller.....................................   16
   SECTION 5.4  Limitation on Liability of Seller and Others...............   17
   SECTION 5.5  Seller May Own Notes.......................................   17
   SECTION 5.6  Sarbanes-Oxley Act Requirements............................   17
   SECTION 5.7  Compliance with Organizational Documents...................   17

ARTICLE VI   THE SERVICER..................................................   18
   SECTION 6.1  Representations of Servicer................................   18
   SECTION 6.2  Indemnities of Servicer....................................   19
   SECTION 6.3  Merger or Consolidation of, or Assumption of the
                Obligations of, Servicer...................................   20
   SECTION 6.4  Limitation on Liability of Servicer and Others.............   20
   SECTION 6.5  Delegation of Duties.......................................   21
   SECTION 6.6  VCI Not to Resign as Servicer..............................   21
   SECTION 6.7  Servicer May Own Notes.....................................   21

ARTICLE VII  REPLACEMENT OF SERVICER.......................................   22
   SECTION 7.1  Replacement of Servicer....................................   22
   SECTION 7.2  Notification to Noteholders................................   23

ARTICLE VIII OPTIONAL PURCHASE.............................................   23
   SECTION 8.1  Optional Purchase of Trust Estate..........................   23

ARTICLE IX   MISCELLANEOUS PROVISIONS......................................   23
   SECTION 9.1  Amendment..................................................   23
   SECTION 9.2  Protection of Title........................................   25
   SECTION 9.3  Other Liens or Interests...................................   26
   SECTION 9.4  Transfers Intended as Sale; Security Interest..............   26
   SECTION 9.5  Notices, Etc...............................................   27
   SECTION 9.6  Choice of Law..............................................   27
</TABLE>

                                      -ii-

<PAGE>

                                TABLE OF CONTENTS
                                   (continued)

<TABLE>
<S>                                                                           <C>
   SECTION 9.7  Headings...................................................   27
   SECTION 9.8  Counterparts...............................................   27
   SECTION 9.9  Waivers....................................................   27
   SECTION 9.10 Entire Agreement...........................................   28
   SECTION 9.11 Severability of Provisions.................................   28
   SECTION 9.12 Binding Effect.............................................   28
   SECTION 9.13 Acknowledgment and Agreement...............................   28
   SECTION 9.14 No Waiver; Cumulative Remedies.............................   28
   SECTION 9.15 Nonpetition Covenant.......................................   28
   SECTION 9.16 Submission to Jurisdiction; Waiver of Jury Trial...........   29
   SECTION 9.17 Limitation of Liability....................................   29
   SECTION 9.18 Third-Party Beneficiaries..................................   30
   SECTION 9.19 Information Requests.......................................   30
   SECTION 9.20 Regulation AB..............................................   30
   SECTION 9.21 Information to Be Provided by the Indenture Trustee........   30
</TABLE>

Appendix A  Definitions
Schedule I  Representations and Warranties With Respect to the Receivables
Schedule II Notice Addressees

Exhibit A   Form of Assignment pursuant to Sale and Servicing Agreement
Exhibit B   Perfection Representations, Warranties and Covenants
Exhibit C   Servicing Criteria to be Addressed in Indenture Trustee's Assessment
            of Compliance
Exhibit D   Form of Indenture Trustee's Annual Certification

                                      -iii-
<PAGE>

     SALE AND SERVICING AGREEMENT, dated as of [___________] (together with all
exhibits, schedules and appendices hereto and as from time to time amended,
supplemented or otherwise modified and in effect, this "Agreement"), by and
among VOLKSWAGEN AUTO LOAN ENHANCED TRUST 20[__]-[__] (the "Issuer"), a Delaware
statutory trust, VOLKSWAGEN AUTO LEASE UNDERWRITTEN FUNDING, LLC, a Delaware
limited liability company, as seller (the "Seller"), VW CREDIT, INC., a Delaware
corporation ("VCI"), as servicer (in such capacity, the "Servicer"), and
[_______________], a [national banking association], as indenture trustee (the
"Indenture Trustee").

     WHEREAS, the Issuer desires to purchase from the Seller a portfolio of
motor vehicle receivables, including retail motor vehicle installment sales
contracts and/or installment loans that are secured by new and used automobiles
and light-duty trucks;

     WHEREAS, the Seller is willing to sell such portfolio of motor vehicle
receivables and related property to the Issuer; and

     WHEREAS, VCI is willing to service such motor vehicle receivables and
related property on behalf of the Issuer;

     NOW, THEREFORE, in consideration of the premises and the mutual covenants
herein contained, and other good and valuable consideration, the receipt and
sufficiency of which is hereby acknowledged, the parties hereto, intending to be
legally bound, agree as follows:

                                   ARTICLE I

                              DEFINITIONS AND USAGE

     SECTION 1.1 Definitions. Except as otherwise specified herein or as the
context may otherwise require, capitalized terms used but not otherwise defined
herein are defined in Appendix A hereto, which also contains rules as to usage
that are applicable herein.

     SECTION 1.2 Other Interpretive Provisions. For purposes of this Agreement,
unless the context otherwise requires: (a) accounting terms not otherwise
defined in this Agreement, and accounting terms partly defined in this Agreement
to the extent not defined, shall have the respective meanings given to them
under GAAP; (b) terms defined in Article 9 of the UCC as in effect in the
relevant jurisdiction and not otherwise defined in this Agreement are used as
defined in that Article; (c) the words "hereof," "herein" and "hereunder" and
words of similar import refer to this Agreement as a whole and not to any
particular provision of this Agreement; (d) references to any Article, Section,
Schedule, Appendix or Exhibit are references to Articles, Sections, Schedules,
Appendices and Exhibits in or to this Agreement and references to any paragraph,
subsection, clause or other subdivision within any Section or definition refer
to such paragraph, subsection, clause or other subdivision of such Section or
definition; (e) the term "including" means "including without limitation"; (f)
except as otherwise expressly provided herein, references to any law or
regulation refer to that law or regulation as amended from time to time and
include any successor law or regulation; (g) references to any Person include
that Person's successors and assigns; and (h) headings are for purposes of
reference only and shall not otherwise affect the meaning or interpretation of
any provision hereof.

<PAGE>

                                   ARTICLE II

                        CONVEYANCE OF TRANSFERRED ASSETS

     SECTION 2.1 Conveyance of Transferred Assets. In consideration of the
Issuer's sale and delivery to, or upon the order of, the Seller of all of the
Notes and the Certificate on the Closing Date, the Seller does hereby
irrevocably sell, transfer, assign and otherwise convey to the Issuer without
recourse (subject to the obligations herein) all right, title and interest of
the Seller, whether now owned or hereafter acquired, in and to the Transferred
Assets, described in an Assignment substantially in the form of Exhibit A
delivered on the Closing Date. The sale, transfer, assignment and conveyance
made hereunder will not constitute and is not intended to result in an
assumption by the Issuer of any obligation of the Seller or the applicable
Originator to the Obligors, the Dealers or any other Person in connection with
the Receivables or the other assets and properties conveyed hereunder or any
agreement, document or instrument related thereto.

     SECTION 2.2 Representations and Warranties of the Seller as to each
Receivable. The Seller hereby makes the representations and warranties set forth
on Schedule I as to the Receivables sold, transferred, assigned, and otherwise
conveyed to the Issuer under this Agreement on which such representations and
warranties the Issuer relies in acquiring the Receivables. The representations
and warranties as to each Receivable shall survive the Grant of the Receivables
by the Issuer to the Indenture Trustee pursuant to the Indenture.
Notwithstanding any statement to the contrary contained herein or in any other
Transaction Document, the Seller shall not be required to notify any insurer
with respect to any Insurance Policy obtained by an Obligor or to notify any
Dealer about any aspect of the transaction contemplated by the Transaction
Documents.

     SECTION 2.3 Repurchase upon Breach. Upon discovery by any party hereto of a
breach of any of the representations and warranties set forth in Section 2.2 at
the time such representations and warranties were made which materially and
adversely affects the interests of the Issuer or the Noteholders, the party
discovering such breach shall give prompt written notice thereof to the other
parties hereto; provided that delivery of the Servicer's Certificate shall be
deemed to constitute prompt notice by the Servicer and the Issuer of such
breach; provided, further, that the failure to give such notice shall not affect
any obligation of the Seller hereunder. If the Seller does not correct or cure
such breach prior to the end of the Collection Period which includes the 60th
day (or, if the Seller elects, an earlier date) after the date that the Seller
became aware or was notified of such breach, then the Seller shall purchase any
Receivable materially and adversely affected by such breach from the Issuer on
the Payment Date following the end of such Collection Period. Any such breach or
failure will not be deemed to have a material and adverse effect if such breach
or failure does not affect the ability of the Issuer to receive and retain
timely payment in full on such Receivable. Any such purchase by the Seller shall
be at a price equal to the Repurchase Price. In consideration for such
repurchase, the Seller shall make (or shall cause to be made) a payment to the
Issuer equal to the Repurchase Price by depositing such amount into the
Collection Account prior to 11:00 a.m., New York City time on such Payment Date.
Upon payment of such Repurchase Price by the Seller, the Issuer and the
Indenture Trustee shall release and shall execute and deliver such instruments
of release, transfer or assignment, in each case without recourse or
representation, as shall be reasonably requested

                                       2

<PAGE>

of it to vest in the Seller or its designee any Receivable repurchased pursuant
hereto. It is understood and agreed that the right to cause the Seller to
purchase (or to enforce the obligations of VCI under the Purchase Agreement to
purchase) any Receivable as described above shall constitute the sole remedy
respecting such breach available to the Issuer and the Indenture Trustee.
Neither the Owner Trustee nor the Indenture Trustee will have any duty to
conduct an affirmative investigation as to the occurrence of any condition
requiring the repurchase of any Receivable pursuant to this Section 2.3.

     SECTION 2.4 Custody of Receivable Files.

     (a) Custody. To assure uniform quality in servicing the Receivables and to
reduce administrative costs, the Issuer, upon the execution and delivery of this
Agreement, hereby revocably appoint the Servicer, and the Servicer hereby
accepts such appointment, to act as the agent of the Issuer and the Indenture
Trustee as custodian of the following documents or instruments, which are hereby
or will hereby be constructively delivered to the Indenture Trustee (or its
agent or designee), as pledgee of the Issuer pursuant to the Indenture with
respect to each Receivable (but only to the extent applicable to such Receivable
and only to the extent held in tangible paper form) (the "Receivable Files"):

          (i)  the fully executed original of the retail motor vehicle
               installment sales contract or promissory note and security
               agreement related to such Receivable, including any written
               amendments or extensions thereto;

          (ii) the original credit application or a photocopy thereof to the
               extent held in paper form;

          (iii) the original Certificate of Title or, if not yet received,
               evidence that an application therefore has been submitted with
               the appropriate authority, a guaranty of title from a Dealer or
               such other document that the Servicer keeps on file, in
               accordance with its Customary Servicing Practices, evidencing the
               security interest of the applicable Originator in the Financed
               Vehicle; provided, however, that in lieu of being held in the
               Receivable File, the Certificate of Title may be held by a third
               party service provider engaged by the Servicer to obtain or hold
               Certificates of Title; and

          (iv) any and all other documents that the Servicer or the Seller keeps
               on file, in accordance with its Customary Servicing Practices,
               relating to a Receivable, an Obligor or a Financed Vehicle.

The foregoing appointment of the Servicer is deemed to be made with due care.

     (b) Safekeeping. The Servicer, in its capacity as custodian, shall hold the
Receivable Files for the benefit of the Issuer and the Indenture Trustee. In
performing its duties as custodian, the Servicer shall act in accordance with
its Customary Servicing Practices. In accordance with its Customary Servicing
Practices, the Servicer will conduct, or cause to be conducted, periodic reviews
of the Receivable Files held by it under this Agreement, and of the related
accounts, records, and computer systems, in such a manner as would enable the
Issuer or

                                       3

<PAGE>

the Indenture Trustee to verify the accuracy of the Servicer's record keeping
(it being understood that the Indenture Trustee shall have no duty to verify
such records). The Servicer will promptly report to the Issuer and the Indenture
Trustee any failure on its part to hold a material portion of the Receivable
Files and maintain its accounts, records, and computer systems as herein
provided and promptly take appropriate action to remedy any such failure.
Nothing herein will be deemed to require an initial review or any periodic
review by the Issuer or the Indenture Trustee of the Receivable Files. The
Servicer may, in accordance with its Customary Servicing Practices: (i) maintain
all or a portion of the Receivable Files in electronic form and (ii) maintain
custody of all or any portion of the Receivable Files with one or more of its
agents or designees.

     (c) Maintenance of and Access to Records. The Servicer will maintain each
Receivable File in the United States (it being understood that the Receivable
Files, or any part thereof, may be maintained at the offices of any Person to
whom the Servicer has delegated responsibilities in accordance with Section
6.5). The Servicer will make available to the Issuer and the Indenture Trustee
or their duly authorized representatives, attorneys or auditors a list of
locations of the Receivable Files upon request. The Servicer will provide access
to the Receivable Files, and the related accounts records, and computer systems
maintained by the Servicer at such times as the Issuer or the Indenture Trustee
direct, but only upon reasonable notice and during the normal business hours at
the respective offices of the Servicer.

     (d) Release of Documents. Upon written instructions from the Indenture
Trustee, the Servicer will release or cause to be released any document in the
Receivable Files to the Indenture Trustee, the Indenture Trustee's agent or the
Indenture Trustee's designee, as the case may be, at such place or places as the
Indenture Trustee may designate, as soon thereafter as is practicable. Any
document so released will be handled by the Indenture Trustee with due care and
returned to the Servicer for safekeeping as soon as the Indenture Trustee or its
agent or designee, as the case may be, has no further need therefor.

     (e) Instructions; Authority to Act. All instructions from the Indenture
Trustee will be in writing and signed by an Authorized Officer of the Indenture
Trustee, and the Servicer will be deemed to have received proper instructions
with respect to the Receivable Files upon its receipt of such written
instructions.

     (f) Custodian's Indemnification. Subject to Section 6.2, the Servicer as
custodian will indemnify the Issuer and the Indenture Trustee for any and all
liabilities, obligations, losses, compensatory damages, payments, costs, or
expenses of any kind whatsoever that may be imposed on, incurred, or asserted
against the Issuer or the Indenture Trustee as the result of any improper act or
omission in any way relating to the maintenance and custody by the Servicer as
custodian of the Receivable Files; provided, however, that the Servicer will not
be liable (i) to the Issuer for any portion of any such amount resulting from
the willful misconduct, bad faith or negligence of the Indenture Trustee or the
Issuer or (ii) to the Indenture Trustee for any portion of any such amount
resulting from the failure of the Indenture Trustee, the Indenture Trustee's
agent or the Indenture Trustee's designee to handle with due care any
Certificate of Title or other document released to the Indenture Trustee or the
Indenture Trustee's agent or designee pursuant to Section 2.4(d).

                                       4

<PAGE>

     (g) Effective Period and Termination. The Servicer's appointment as
custodian will become effective as of the Cut-Off Date and will continue in full
force and effect until terminated pursuant to this Section. If VCI resigns as
Servicer in accordance with the provisions of this Agreement or if all of the
rights and obligations of the Servicer have been terminated under Section 7.1,
the appointment of the Servicer as custodian hereunder may be terminated by the
Indenture Trustee, or by the Noteholders of Notes evidencing not less than a
majority of the Outstanding Notes, in the same manner as the Indenture Trustee
or such Noteholders may terminate the rights and obligations of the Servicer
under Section 7.1. As soon as practicable after any termination of such
appointment, the Servicer will deliver to the Indenture Trustee or the Indenture
Trustee's agent the Receivable Files and the related accounts and records
maintained by the Servicer at such place or places as the Indenture Trustee may
reasonably designate.

                                  ARTICLE III

                         ADMINISTRATION AND SERVICING OF
                         RECEIVABLES AND TRUST PROPERTY

     SECTION 3.1 Duties of Servicer.

     (a) The Servicer is hereby appointed by the Issuer and authorized to act as
agent for the Issuer and in such capacity shall manage, service, administer and
make collections on the Receivables in accordance with its Customary Servicing
Practices, using the degree of skill and attention that the Servicer exercises
with respect to all comparable motor vehicle receivables that it services for
itself or others. The Servicer's duties will include collection and posting of
all payments, responding to inquiries of Obligors on such Receivables,
investigating delinquencies, sending invoices or payment coupons to Obligors,
reporting any required tax information to Obligors, accounting for collections
and furnishing monthly and annual statements to the Indenture Trustee with
respect to distributions. The Servicer hereby accepts such appointment and
authorization and agrees to perform the duties of Servicer with respect to the
Receivables set forth herein.

     (b) The Servicer will follow its Customary Servicing Practices and will
have full power and authority 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 to execute and deliver, on behalf of itself, the
Issuer, the Owner Trustee, the Indenture Trustee, the Noteholders, the
Certificateholder, or any of them, any and all instruments of satisfaction or
cancellation, or partial or full release or discharge, and all other comparable
instruments, with respect to such Receivables or to the Financed Vehicles
securing such Receivables. The Servicer is hereby authorized to commence, in its
own name or in the name of the Issuer, a legal proceeding (including a
bankruptcy proceeding) relating to or involving a Receivable, an Obligor or a
Financed Vehicle. If the Servicer commences a legal proceeding to enforce a
Receivable, the Issuer 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 Issuer to execute and deliver in the Servicer's
name any notices, demands, claims, complaints, responses, affidavits or other

                                       5

<PAGE>

documents or instruments in connection with any such proceeding. If in any
enforcement suit or legal proceeding it is held that the Servicer may not
enforce a Receivable on the ground that it is not a real party in interest or a
holder entitled to enforce the Receivable, the Issuer will, at the Servicer's
expense and direction, take steps to enforce the Receivable, including bringing
suit in its name or the name of the Indenture Trustee. The Issuer will furnish
the Servicer with any powers of attorney and other documents reasonably
necessary or appropriate to enable the Servicer to carry out its servicing and
administrative duties hereunder. The Servicer, at its expense, will obtain on
behalf of the Issuer all licenses, if any, required by the laws of any
jurisdiction to be held by the Issuer in connection with ownership of the
Receivables, and will make all filings and pay all fees as may be required in
connection therewith during the term hereof.

     (c) The Servicer hereby agrees that upon its resignation and the
appointment of a successor Servicer hereunder, the Servicer will terminate its
activities as Servicer hereunder in accordance with Section 7.1, and, in any
case, in a manner which the Indenture Trustee reasonably determines will
facilitate the transition of the performance of such activities to such
successor Servicer, and the Servicer shall cooperate with and assist such
successor Servicer.

     SECTION 3.2 Collection of Receivable Payments. 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 become due in accordance with
its Customary Servicing Practices. Subject to Section 3.5, the Servicer may
grant extensions, rebates, deferrals, amendments, modifications or adjustments
with respect to any Receivable in accordance with its Customary Servicing
Practices; provided, however, that if the Servicer (i) extends the date for
final payment by the Obligor of any Receivable beyond the last day of the
Collection Period prior to the Class A-4 Final Scheduled Payment Date or (ii)
reduces the Contract Rate or Outstanding Principal Balance with respect to any
Receivable other than as required by applicable law, it will promptly purchase
such Receivable in the manner provided in Section 3.6. The Servicer may in its
discretion waive any late payment charge or any other fees that may be collected
in the ordinary course of servicing a Receivable. Notwithstanding anything in
this Agreement to the contrary, the Servicer may refinance any Receivable by
accepting a new promissory note from the related Obligor and depositing the full
Outstanding Principal Balance of such Receivable into the Collection Account.
The receivable created by such refinancing shall not be property of the Issuer.

     SECTION 3.3 Realization Upon Receivables. On behalf of the Issuer, the
Servicer will use commercially reasonable efforts, consistent with its Customary
Servicing Practices, to repossess or otherwise convert the ownership of the
Financed Vehicle securing any Receivable as to which the Servicer had determined
eventual payment in full is unlikely unless it determines in its sole discretion
that repossession will not increase the Liquidation Proceeds by an amount
greater than the expense of such repossession or that the proceeds ultimately
recoverable with respect to such Receivable would be increased by forbearance.
The Servicer will follow such Customary Servicing Practices as it deems
necessary or advisable, which may include reasonable efforts to realize upon any
recourse to any Dealer and selling the Financed Vehicle at public or private
sale. The foregoing will be subject to the provision that, in any case in which
the Financed Vehicle has suffered damage, the Servicer shall not be required to
expend funds in connection with the repair or the repossession of such Financed
Vehicle unless it determines in

                                       6

<PAGE>

its sole discretion that such repair and/or repossession will increase the
Liquidation Proceeds by an amount greater than the amount of such expenses.

     SECTION 3.4 Maintenance of Security Interests in Financed Vehicles. The
Servicer will, in accordance with its Customary Servicing Practices, take such
steps as are necessary to maintain perfection of the security interest created
by each Receivable in the related Financed Vehicle. The Issuer hereby authorizes
the Servicer to take such steps as are necessary to re-perfect such security
interest on behalf of the Issuer and the Indenture Trustee in the event of the
relocation of a Financed Vehicle or for any other reason.

     SECTION 3.5 Covenants of Servicer. The Servicer will not release the
Financed Vehicle securing each such Receivable from the security interest
granted by such Receivable in whole or in part except in the event of payment in
full by or on behalf of the Obligor thereunder or payment in full less a
deficiency which the Servicer would not attempt to collect in accordance with
its Customary Servicing Practices or in connection with repossession or except
as may be required by an insurer in order to receive proceeds from any Insurance
Policy covering such Financed Vehicle.

     SECTION 3.6 Purchase of Receivables Upon Breach. Upon discovery by any
party hereto of a breach of any of the covenants set forth in Section 3.2, 3.3,
3.4 or 3.5 which materially and adversely affects the interests of the Issuer or
the Noteholders, the party discovering such breach shall give prompt written
notice thereof to the other parties hereto; provided that delivery of the
Servicer's Certificate shall be deemed to constitute prompt notice by the
Servicer and the Issuer of such breach; provided, further, that the failure to
give such notice shall not affect any obligation of the Servicer hereunder. If
the Servicer does not correct or cure such breach prior to the end of the
Collection Period which includes the 60th day (or, if the Servicer elects, an
earlier date) after the date that the Servicer became aware or was notified of
such breach, then the Servicer shall purchase any Receivable materially and
adversely affected by such breach from the Issuer on the Payment Date following
the end of such Collection Period. Any such breach or failure will not be deemed
to have a material and adverse effect if such breach or failure does not affect
the ability of the Issuer to receive and retain timely payment in full on such
Receivable. Any such purchase by the Servicer shall be at a price equal to the
Repurchase Price. In consideration for such repurchase, the Servicer shall make
(or shall cause to be made) a payment to the Issuer equal to the Repurchase
Price by depositing such amount into the Collection Account prior to 11:00 a.m.,
New York City time on such Payment Date. Upon payment of such Repurchase Price
by the Servicer, the Issuer and the Indenture Trustee shall release and shall
execute and deliver such instruments of release, transfer or assignment, in each
case without recourse or representation, as shall be reasonably necessary to
vest in the Servicer or its designee any Receivable repurchased pursuant hereto.
It is understood and agreed that the obligation of the Servicer to purchase any
Receivable as described above shall constitute the sole remedy respecting such
breach available to the Issuer and the Indenture Trustee.

     SECTION 3.7 Servicing Fee. On each Payment Date, the Issuer shall pay to
the Servicer the Servicing Fee in accordance with Section 4.4 for the
immediately preceding Collection Period as compensation for its services. In
addition, the Servicer will be entitled to retain all Supplemental Servicing
Fees. The Servicer also will be entitled to receive investment

                                       7

<PAGE>

earnings (net of investment losses and expenses) on funds deposited in the
Collection Account and the Principal Distribution Account during each Collection
Period.

     SECTION 3.8 Servicer's Certificate. On or before the Determination Date
preceding each Payment Date, the Servicer shall deliver to the Indenture Trustee
and each Paying Agent, and the Indenture Trustee shall forward such copy to each
of the Rating Agencies, a Servicer's Certificate containing all information
necessary to make the payments, transfers and distributions pursuant to Sections
4.3 and 4.4 on such Payment Date, together with the written statements to be
furnished by the Indenture Trustee to the Noteholders pursuant to Section 4.6
hereof and Section 6.6 of the Indenture. At the sole option of the Servicer,
each Servicer's Certificate may be delivered in electronic or hard copy format.

     SECTION 3.9 Annual Officer's Certificate; Notice of Servicer Replacement
Event. (a) The Servicer will deliver to the Rating Agencies, the Issuer and the
Indenture Trustee, on or before March 30 of each year, beginning on
[__________], an Officer's Certificate (with appropriate insertions) providing
such information as is required under Item 1123 of Regulation AB.

     (b) The Servicer will deliver to the Issuer, the Indenture Trustee and each
Rating Agency promptly after having obtained knowledge thereof, 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 Replacement Event.

     (c) The Servicer will deliver to the Issuer, on or before March 30 of each
year, beginning on [__________], a report regarding the Servicer's assessment of
compliance with the Servicing Criteria during the immediately preceding calendar
year, including disclosure of any material instance of non-compliance identified
by the Servicer, as required under paragraph (b) of Rule 13a-18, Rule 15d-18 of
the Exchange Act and Item 1122 of Regulation AB.

     SECTION 3.10 Annual Servicing Report of Independent Public Accountants. On
or before the 90th day following the end of each fiscal year, beginning with the
fiscal year ending [__________], the Servicer shall cause a firm of independent
public accountants (who may also render other services to the Servicer, the
Seller or their respective Affiliates) to furnish to the Indenture Trustee, the
Servicer, the Seller and each Rating Agency each attestation report on
assessments of compliance with the Servicing Criteria with respect to the
Servicer or any affiliate thereof during the related fiscal year delivered by
such accountants pursuant to paragraph (c) of Rule 13a-18 or Rule 15d-18 of the
Exchange Act and Item 1122 of Regulation AB. The certification required by this
paragraph may be replaced by any similar certification using other procedures or
attestation standards which are now or in the future in use by servicers of
comparable motor vehicle receivables, or which comply with any rule, regulation,
"no action" letter or similar guidance promulgated by the Commission.

     SECTION 3.11 Servicer Expenses. The Servicer shall pay all expenses (other
than expenses described in the definition of Liquidation Proceeds) incurred by
it in connection with its activities hereunder, including fees, expenses,
indemnities and disbursements of the Indenture Trustee, the Owner Trustee (as
more fully described in Sections 8.1 and 8.2 of the Trust Agreement),
independent accountants, taxes imposed on the Servicer and expenses incurred in
connection with distributions and reports to the Noteholders and the
Certificateholder.

                                       8

<PAGE>

     SECTION 3.12 1934 Act Filings. The Issuer hereby authorizes the Servicer
and the Seller, or either of them, to prepare, sign, certify and file any and
all reports, statements and information respecting the Issuer and/or the Notes
required to be filed pursuant to the Securities and Exchange Act of 1934, as
amended, and the rules thereunder.

                                   ARTICLE IV

                            DISTRIBUTIONS; ACCOUNTS;
                       STATEMENTS TO THE CERTIFICATEHOLDER
                               AND THE NOTEHOLDERS

     SECTION 4.1 Establishment of Accounts. (a) The Servicer shall cause to be
established:

          (i)  For the benefit of the Noteholders, in the name of the Indenture
               Trustee, an Eligible Account (the "Collection Account"), bearing
               a designation clearly indicating that the funds deposited therein
               are held for the benefit of the Noteholders, which Eligible
               Account shall be established by and maintained with the Indenture
               Trustee or its designee.

          (ii) For the benefit of the Noteholders, in the name of the Indenture
               Trustee, an Eligible Account (the "Principal Distribution
               Account"), bearing a designation clearly indicating that the
               funds deposited therein are held for the benefit of the
               Noteholders, which Eligible Account shall be established by and
               maintained with the Indenture Trustee or its designee.

          (iii) For the benefit of the Noteholders, in the name of the Indenture
               Trustee, an Eligible Account (the "Reserve Account"), bearing a
               designation clearly indicating that the funds deposited therein
               are held for the benefit of the Noteholders, which Eligible
               Account shall be established by and maintained with the Indenture
               Trustee or its designee.

     (b) Funds on deposit in the Collection Account, the Reserve Account and the
Principal Distribution Account (collectively, the "Trust Accounts") shall be
invested by the Indenture Trustee in Permitted Investments selected in writing
by the Servicer and of which the Servicer provides notification (pursuant to
standing instructions or otherwise); provided that it is understood and agreed
that neither the Servicer, the Indenture Trustee nor the Issuer shall be liable
for any loss arising from such investment in Permitted Investments. All such
Permitted Investments shall be held by or on behalf of the Indenture Trustee as
secured party for the benefit of the Noteholders; provided that on each Payment
Date all interest and other investment income (net of losses and investment
expenses) on funds on deposit in the Collection Account and the Principal
Distribution Account shall be distributed to the Servicer and shall not be
available to pay the distributions provided for in Section 4.4. All investments
of funds on deposit in the Trust Accounts shall mature so that such funds will
be available on the next Payment Date. No Permitted Investment shall be sold or
otherwise disposed of prior to its scheduled maturity unless a default occurs
with respect to such Permitted Investment and the Servicer directs the Indenture
Trustee in writing to dispose of such Permitted Investment.

                                       9

<PAGE>

     (c) The Indenture Trustee shall 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 and proceeds shall be part of the Trust
Estate. Except as otherwise provided herein, the Trust Accounts shall be under
the sole dominion and control of the Indenture Trustee for the benefit of the
Noteholders. If, at any time, any Trust Account ceases to be an Eligible
Account, the Servicer shall promptly notify the Indenture Trustee in writing
(unless such Trust Account is an account with the Indenture Trustee) and within
10 Business Days (or such longer period as to which each Rating Agency may
consent) after becoming aware of the fact, establish a new Trust Account as an
Eligible Account and shall direct the Indenture Trustee to transfer any cash
and/or any investments to such new Trust Account.

     (d) With respect to the Trust Account Property, the parties hereto agree
that:

          (i)  any Trust Account Property that consists of uninvested funds
               shall be held solely in Eligible Accounts and, except as
               otherwise provided herein, each such Eligible Account shall be
               subject to the exclusive custody and control of the Indenture
               Trustee, and, except as otherwise provided in the Transaction
               Documents, the Indenture Trustee or its designee shall have sole
               signature authority with respect thereto;

          (ii) any Trust Account Property that constitutes Physical Property
               shall be delivered to the Indenture Trustee or its designee, in
               accordance with paragraph (a) of the definition of "Delivery" and
               shall be held, pending maturity or disposition, solely by the
               Indenture Trustee or any such designee;

          (iii) any Trust Account Property that is an "uncertificated security"
               under Article 8 of the UCC and that is not governed by clause
               (iv) below shall be delivered to the Indenture Trustee or its
               designee in accordance with paragraph (c) of the definition of
               "Delivery" and shall be maintained by the Indenture Trustee or
               such designee, pending maturity or disposition, through continued
               registration of the Indenture Trustee's (or its designee's)
               ownership of such security on the books of the issuer thereof;
               and

          (iv) any Trust Account Property that is an uncertificated security
               that is a "book-entry security" (as such term is defined in
               Federal Reserve Bank Operating Circular No. 7) held in a
               securities account at a Federal Reserve Bank and eligible for
               transfer through the Fedwire(R) Securities Service operated by
               the Federal Reserve System pursuant to Federal book-entry
               regulations shall be delivered in accordance with paragraph (b)
               of the definition of "Delivery" and shall be maintained by the
               Indenture Trustee or its designee or a securities intermediary
               (as such term is defined in Section 8-102(a)(14) of the UCC)
               acting solely for the Indenture Trustee or such designee, pending
               maturity or disposition, through continued book-entry
               registration of such Trust Account Property as described in such
               paragraph.

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<PAGE>

     SECTION 4.2 Remittances. The Servicer shall deposit an amount equal to all
Collections into the Collection Account within two Business Days after receipt;
provided, however, that if the Monthly Remittance Condition is satisfied, then
the Servicer shall not be required to deposit into the Collection Account an
amount equal to the Collections received during any Collection Period until
11:00 a.m., New York City time, on the following Payment Date. The "Monthly
Remittance Condition" shall be deemed to be satisfied if (i) VCI is the
Servicer, (ii) no Servicer Replacement Event has occurred and is continuing and
(iii)(x) Volkswagen AG has a short-term debt rating of at least "P-1" from
Moody's and "A-1" from Standard & Poor's, (y) both Moody's and Standard & Poor's
are then rating a debt issuance of Volkswagen of America, Inc. or VCI (and, in
the case of VCI, such debt issuance is guaranteed by Volkswagen AG) and (z) VCI
remains a direct or indirect wholly-owned subsidiary of Volkswagen AG.
Notwithstanding the foregoing, the Servicer may remit Collections to the
Collection Account on any other alternate remittance schedule (but not later
than the related Payment Date) if the Rating Agency Condition is satisfied with
respect to such alternate remittance schedule. Pending deposit into the
Collection Account, Collections may be commingled and used by the Servicer at
its own risk and are not required to be segregated from its own funds.

     SECTION 4.3 Additional Deposits and Payments; Servicer Advances. (a) On
each Payment Date, the Servicer and the Seller will deposit into the Collection
Account the aggregate Repurchase Price with respect to Repurchased Receivables
purchased by the Servicer or the Seller, respectively, on such Payment Date and
the Servicer will deposit into the Collection Account all amounts, if any, to be
paid under Section 8.1 in connection with the Optional Purchase. All such
deposits with respect to a Payment Date will be made, in immediately available
funds by 11:00 a.m., New York City time, on such Payment Date related to such
Collection Period.

     (b) The Indenture Trustee will, on each Payment Date, withdraw from the
Reserve Account the Reserve Account Excess Amount, if any, for such Payment Date
and deposit such amounts in the Collection Account.

     (c) On each Payment Date, the Servicer shall deposit into the Collection
Account prior to 11:00 a.m., New York City time, an advance in an amount equal
to the lesser of (a) any shortfall in the amounts available to make the payments
in clauses first through fourth of Section 4.4(a) and (b) the aggregate
scheduled monthly payments due on Receivables but not received during and prior
to the related Collection Period (an "Advance"); provided, however, that the
Servicer will not be obligated to make an Advance if the Servicer reasonably
determines in its sole discretion that such Advance is not likely to be repaid
from future cash flows from the Receivables. No Advances will be made with
respect to Defaulted Receivables.

     (d) The Indenture Trustee will, on the Payment Date relating to each
Collection Period, withdraw from the Reserve Account the Reserve Account Draw
Amount and deposit such amounts in the Collection Account.

     (e) On the Closing Date the Seller will deposit, or cause to be deposited
from proceeds of the sale of the Notes, into the Reserve Account an amount equal
to the Initial Reserve Account Deposit Amount.

                                       11
<PAGE>

     SECTION 4.4 Distributions.

     (a) Prior to any acceleration of the Notes pursuant to Section 5.2 of the
Indenture, on each Payment Date, the Indenture Trustee (based on information
contained in, and as directed by, the Servicer's Certificate delivered on or
before the related Determination Date pursuant to Section 3.8) shall make the
following deposits and distributions, to the extent of Available Funds, Advances
made on such Payment Date pursuant to Section 4.3(c) and the Reserve Account
Draw Amount, on deposit in the Collection Account for such Payment Date, in the
following order of priority:

          (i)  first, to the Servicer (or any predecessor Servicer, if
               applicable) for reimbursement of all outstanding Advances;

          (ii) second, to the Servicer, the Servicing Fee and all unpaid
               Servicing Fees with respect to prior periods;

          (iii) third, to the Noteholders, the Accrued Note Interest for the
               related Interest Period; provided that if there are not
               sufficient funds available to pay the entire amount of the
               Accrued Note Interest, the amounts available will be applied to
               the payment of such interest on the Notes on a pro rata basis;

          (iv) fourth, to the Principal Distribution Account for distribution to
               the Noteholders pursuant to Section 8.2(c) of the Indenture, the
               Noteholders' Principal Distribution Amount;

          (v)  fifth, to the Reserve Account, any additional amounts required to
               increase the amount in the Reserve Account up to the Specified
               Reserve Account Balance;

          (vi) sixth, to the Owner Trustee and the Indenture Trustee, fees and
               expenses (including indemnification amounts) permitted under the
               Trust Agreement and the Indenture, as applicable, which have not
               been previously paid;

          (vii) seventh, to the Certificateholder, to reduce the outstanding
               principal amount of the Certificate, the Certificateholder's
               Principal Distribution Amount, if any; and

          (viii) eighth, to or at the direction of the Seller, any funds
               remaining.

Notwithstanding any other provision of this Section 4.4, following the
occurrence and during the continuation of an Event of Default which has resulted
in an acceleration of the Notes, the Indenture Trustee shall apply all amounts
on deposit in the Collection Account pursuant to Section 5.4(b) of the
Indenture.

     (b) After the payment in full of the Notes and all other amounts payable
under Section 4.4(a), all Collections shall be paid to or in accordance with the
instructions provided from time to time by the Certificateholder.

                                       12

<PAGE>

     (c) Notwithstanding any statement to the contrary contained in any of the
Transaction Documents, if the Class A-1 Notes remain outstanding at that time,
all payments, deposits and withdrawals required to be made on the Payment Date
in [_____] shall be made on the Class A-1 Final Scheduled Payment Date, except
that payments of interest and principal on the Class A-2 Notes, Class A-3 Notes
and Class A-4 Notes shall be paid on the applicable Payment Date in [_____].

     SECTION 4.5 Net Deposits. If the Monthly Remittance Condition is satisfied,
the Servicer shall be permitted to deposit into the Collection Account only the
net amount distributable to Persons other than the Servicer and its Affiliates
on the Payment Date. The Servicer shall, however, account as if all of the
deposits and distributions described herein were made individually.

     SECTION 4.6 Statements to Certificateholder and Noteholders. On or before
each Determination Date, the Servicer shall deliver to the Indenture Trustee and
each Paying Agent, and the Indenture Trustee shall forward such copy to each of
the Rating Agencies and to each Noteholder of record as of the most recent
Record Date, a statement setting forth for the Collection Period and Payment
Date relating to such Determination Date the following information (to the
extent applicable):

     (a) the aggregate amount being paid on such Payment Date in respect of
interest on and principal of each Class of Notes;

     (b) the Class A-1 Note Balance, the Class A-2 Note Balance, the Class A-3
Note Balance, the Class A-4 Note Balance and the Certificate Balance, in each
case after giving effect to payments on such Payment Date;

     (c) (i) the amount on deposit in the Reserve Account and the Specified
Reserve Account Balance, each as of the beginning and end of the related
Collection Period, (ii) the amount deposited in the Reserve Account in respect
of such Payment Date, if any, (iii) the Reserve Account Draw Amount and the
Reserve Account Excess Amount, if any, to be withdrawn from the Reserve Account
on such Payment Date, (iv) the balance on deposit in the Reserve Account on such
Payment Date after giving effect to withdrawals therefrom and deposits thereto
in respect of such Payment Date and (v) the change in such balance from the
immediately preceding Payment Date;

     (d) the Noteholders' Principal Distribution Amount and the
Certificateholders' Principal Distribution Amount, if any, for such Payment
Date;

     (e) the Net Pool Balance and the Note Factor as of the close of business on
the last day of the preceding Collection Period;

     (f) the amount of the Servicing Fee to be paid to the Servicer with respect
to the related Collection Period and the amount of any unpaid Servicing Fees;

     (g) the amount of the Noteholders' Interest Carryover Shortfall, if any, on
such Payment Date and the change in such amounts from the preceding Payment
Date;

                                       13

<PAGE>

     (h) the aggregate Repurchase Price with respect to Repurchased Receivables
paid by (i) the Servicer and (ii) the Seller with respect to the related
Collection Period;

     (i) the amount of Advances, if any, on such Payment Date; and

     (j) the amount of Collections for the related Collection Period.

Each amount set forth pursuant to paragraph (a) or (g) above relating to the
Notes shall be expressed as a dollar amount per $1,000 of the Initial Note
Balance of the Notes (or Class thereof).

     The Indenture Trustee will make available via the Indenture Trustee's
internet website all reports or notices required to be provided by the Indenture
Trustee under this Section 4.6. Any information that is disseminated in
accordance with the provisions of this Section 4.6 shall not be required to be
disseminated in any other form or manner; provided, however, any such
information that must be delivered to the Rating Agencies under this Section 4.6
shall be sent by electronic mail to each Rating Agency. The Indenture Trustee
will make no representation or warranties as to the accuracy or completeness of
such documents and will assume no responsibility therefor.

     The Indenture Trustee's internet website shall be initially located at "[
]" or at such other address as shall be specified by the Indenture Trustee from
time to time in writing to the Noteholders, the Servicer, the Issuer or any
Paying Agent. In connection with providing access to the Indenture Trustee's
internet website, the Indenture Trustee may require registration and the
acceptance of a disclaimer. The Indenture Trustee shall not be liable for the
dissemination of information in accordance with this Agreement.

     SECTION 4.7 No Duty to Confirm. The Indenture Trustee shall have no duty or
obligation to verify or confirm the accuracy of any of the information or
numbers set forth in the Servicer's Certificate delivered by the Servicer to the
Indenture Trustee, and the Indenture Trustee shall be fully protected in relying
upon such Servicer's Certificate.

                                    ARTICLE V

                                   THE SELLER

     SECTION 5.1 Representations and Warranties of Seller. The Seller makes the
following representations and warranties as of the Closing Date on which the
Issuer will be deemed to have relied in acquiring the Transferred Assets. The
representations and warranties speak as of the execution and delivery of this
Agreement and will survive the conveyance of the Transferred Assets to the
Issuer and the pledge thereof by the Issuer to the Indenture Trustee pursuant to
the Indenture:

     (a) Existence and Power. The Seller is a Delaware limited liability company
validly existing and in good standing under the laws of the State of Delaware
and has, in all material respects, all power and authority required to carry on
its business as it is now conducted. The Seller has obtained all necessary
licenses and approvals in each jurisdiction where the failure to do so would
materially and adversely affect the ability of the Seller to perform its
obligations

                                       14

<PAGE>

under the Transaction Documents or affect the enforceability or collectibility
of the Receivables or any other part of the Transferred Assets.

     (b) Authorization and No Contravention. The execution, delivery and
performance by the Seller of each Transaction Document to which it is a party
(i) have been duly authorized by all necessary limited liability company action
on the part of the Seller and (ii) do not contravene or constitute a default
under (A) any applicable law, rule or regulation, (B) its organizational
documents or (C) any material agreement, contract, order or other instrument to
which it is a party or its property is subject (other than violations which do
not affect the legality, validity or enforceability of any of such agreements
and which, individually or in the aggregate, would not materially and adversely
affect the transactions contemplated by, or the Seller's ability to perform its
obligations under, the Transaction Documents).

     (c) No Consent Required. No approval or authorization by, or filing with,
any Governmental Authority is required in connection with the execution,
delivery and performance by the Seller of any Transaction Document other than
(i) UCC filings, (ii) approvals and authorizations that have previously been
obtained and filings that have previously been made and (iii) approvals,
authorizations or filings which, if not obtained or made, would not have a
material adverse effect on the enforceability or collectibility of the
Receivables or any other part of the Transferred Assets or would not materially
and adversely affect the ability of the Seller to perform its obligations under
the Transaction Documents.

     (d) Binding Effect. Each Transaction Document to which the Seller is a
party constitutes the legal, valid and binding obligation of the Seller
enforceable against the Seller in accordance with its terms, except as such
enforceability may be limited by applicable bankruptcy, insolvency,
reorganization, moratorium, receivership, conservatorship or other similar laws
affecting creditors' rights generally and, if applicable, the rights of
creditors of limited liability companies from time to time in effect or by
general principles of equity.

     (e) Lien Filings. The Seller is not aware of any material judgment, ERISA
or tax lien filings against the Seller.

     (f) No Proceedings. There are no actions, suits or proceedings pending or,
to the knowledge of the Seller, threatened against the Seller before or by any
Governmental Authority that (i) assert the invalidity or unenforceability of
this Agreement or any of the other Transaction Documents, (ii) seek to prevent
the issuance of the Notes or the consummation of any of the transactions
contemplated by this Agreement or any of the other Transaction Documents, (iii)
seek any determination or ruling that would materially and adversely affect the
performance by the Seller of its obligations under this Agreement or any of the
other Transaction Documents or the collectibility or enforceability of the
Receivables, or (iv) relate to the Seller that would materially and adversely
affect the federal or Applicable Tax State income, excise, franchise or similar
tax attributes of the Notes.

     SECTION 5.2 Liability of Seller; Indemnities. The Seller shall be liable in
accordance herewith only to the extent of the obligations specifically
undertaken by the Seller under this Agreement, and hereby agrees to the
following:

                                       15

<PAGE>

     (a) The Seller shall indemnify, defend, and hold harmless the Issuer, the
Owner Trustee, the Indenture Trustee, the Noteholders and the Certificateholder
from and against any loss, liability or expense incurred by reason of the
Seller's violation of federal or State securities laws in connection with the
registration or the sale of the Notes.

     (b) The Seller will pay any and all taxes levied or assessed upon the
Issuer or upon all or any part of the Trust Estate.

     (c) Indemnification under this Section 5.2 will survive the resignation or
removal of the Owner Trustee or the Indenture Trustee and the termination of
this Agreement and will include, without limitation, reasonable fees and
expenses of counsel and expenses of litigation. If the Seller has made any
indemnity payments pursuant to this Section 5.2 and the Person to or on behalf
of whom such payments are made thereafter collects any of such amounts from
others, such Person will promptly repay such amounts to the Seller, without
interest.

     (d) The Seller's obligations under this Section 5.2 are obligations solely
of the Seller and will not constitute a claim against the Seller to the extent
that the Seller does not have funds sufficient to make payment of such
obligations. In furtherance of and not in derogation of the foregoing, the
Issuer, the Servicer, the Indenture Trustee and the Owner Trustee, by entering
into or accepting this Agreement, acknowledge and agree that they have no right,
title or interest in or to the Other Assets of the Seller. To the extent that,
notwithstanding the agreements and provisions contained in the preceding
sentence, the Issuer, the Servicer, the Indenture Trustee or the Owner Trustee
either (i) asserts an interest or claim to, or benefit from, Other Assets, or
(ii) is deemed to have any such interest, claim to, or benefit in or from Other
Assets, whether by operation of law, legal process, pursuant to applicable
provisions of insolvency laws or otherwise (including by virtue of Section
1111(b) of the Bankruptcy Code or any successor provision having similar effect
under the Bankruptcy Code), then the Issuer, the Servicer, the Indenture Trustee
or the Owner Trustee further acknowledges and agrees that any such interest,
claim or benefit in or from Other Assets is and will be expressly subordinated
to the indefeasible payment in full, which, under the terms of the relevant
documents relating to the securitization or conveyance of such Other Assets, are
entitled to be paid from, entitled to the benefits of, or otherwise secured by
such Other Assets (whether or not any such entitlement or security interest is
legally perfected or otherwise entitled to a priority of distributions or
application under applicable law, including insolvency laws, and whether or not
asserted against the Seller), including the payment of post-petition interest on
such other obligations and liabilities. This subordination agreement will be
deemed a subordination agreement within the meaning of Section 510(a) of the
Bankruptcy Code. The Issuer, the Servicer, the Indenture Trustee and the Owner
Trustee each further acknowledges and agrees that no adequate remedy at law
exists for a breach of this Section 5.2(d) and the terms of this Section 5.2(d)
may be enforced by an action for specific performance. The provisions of this
Section 5.2(d) will be for the third party benefit of those entitled to rely
thereon and will survive the termination of this Agreement.

     SECTION 5.3 Merger or Consolidation of, or Assumption of the Obligations
of, Seller. Any Person (i) into which the Seller may be merged or consolidated,
(ii) resulting from any merger, conversion, or consolidation to which the Seller
is a party, (iii) succeeding to the business of the Seller, or (iv) more than
50% of the voting stock or voting power and 50% or more of the economic equity
of which is owned directly or indirectly by Volkswagen AG, which

                                       16

<PAGE>

Person in any of the foregoing cases executes an agreement of assumption to
perform every obligation of the Seller under this Agreement, will be the
successor to the Seller under this Agreement without the execution or filing of
any document or any further act on the part of any of the parties to this
Agreement. Notwithstanding the foregoing, if the Seller enters into any of the
foregoing transactions and is not the surviving entity, (x) the Seller shall
deliver to the Indenture Trustee an Officer's Certificate and an Opinion of
Counsel each stating that such merger, conversion, consolidation or succession
and such agreement of assumption comply with this Section 5.3 and that all
conditions precedent, if any, provided for in this Agreement relating to such
transaction have been complied with and (y) the Seller will deliver to the
Indenture Trustee an Opinion of Counsel either (A) stating that, in the opinion
of such counsel, 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 reciting the details of such filings, or
(B) stating that, in the opinion of such counsel, no such action is necessary to
preserve and protect such interest. The Seller will provide notice of any
merger, conversion, consolidation, or succession pursuant to this Section 5.3 to
the Rating Agencies. Notwithstanding anything herein to the contrary, the
execution of the foregoing agreement of assumption and compliance with clauses
(x) and (y) of this Section 5.3 will be conditions to the consummation of any of
the transactions referred to in clauses (i), (ii) or (iii) of this Section 5.3
in which the Seller is not the surviving entity.

     SECTION 5.4 Limitation on Liability of Seller and Others. The Seller and
any officer or employee or agent of the Seller 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 hereunder. The Seller
will not be under any obligation to appear in, prosecute, or defend any legal
action that is not incidental to its obligations under this Agreement, and that
in its opinion may involve it in any expense or liability.

     SECTION 5.5 Seller May Own Notes. The Seller, and any Affiliate of the
Seller, may in its individual or any other capacity become the owner or pledgee
of Notes with the same rights as it would have if it were not the Seller or an
Affiliate thereof, except as otherwise expressly provided herein or in the other
Transaction Documents. Except as set forth herein or in the other Transaction
Documents, Notes so owned by the Seller or any such Affiliate will have an equal
and proportionate benefit under the provisions of this Agreement and the other
Transaction Documents, without preference, priority, or distinction as among all
of the Notes. Notes owned by the Issuer, Seller, Servicer, Administrator or any
of their respective Affiliates shall be disregarded with respect to the
determination of any request, demand, authorization, direction, notice, consent,
vote or waiver hereunder or under any other Transaction Document.

     SECTION 5.6 Sarbanes-Oxley Act Requirements. To the extent any documents
are required to be filed or any certification is required to be made with
respect to the Issuer or the Notes pursuant to the Sarbanes-Oxley Act, the
Issuer hereby authorizes the Servicer and the Seller, or either of them, to
prepare, sign, certify and file any such documents or certifications on behalf
of the Issuer.

     SECTION 5.7 Compliance with Organizational Documents. The Seller shall
comply with its limited liability company agreement and other organizational
documents.

                                       17

<PAGE>

                                   ARTICLE VI

                                  THE SERVICER

     SECTION 6.1 Representations of Servicer. The Servicer makes the following
representations and warranties as of the Closing Date on which the Issuer will
be deemed to have relied in acquiring the Transferred Assets. The
representations and warranties speak as of the execution and delivery of this
Agreement and will survive the conveyance of the Transferred Assets to the
Issuer and the pledge thereof by the Issuer to the Indenture Trustee pursuant to
the Indenture:

     (a) Existence and Power. The Servicer is a Delaware corporation validly
existing and in good standing under the laws of Delaware and has, in all
material respects, all power and authority to carry on its business as it is now
conducted. The Servicer has obtained all necessary licenses and approvals in
each jurisdiction where the failure to do so would materially and adversely
affect the ability of the Servicer to perform its obligations under the
Transaction Documents or affect the enforceability or collectibility of the
Receivables or any other part of the Transferred Assets.

     (b) Authorization and No Contravention. The execution, delivery and
performance by the Servicer of the Transaction Documents to which it is a party
(i) have been duly authorized by all necessary action on the part of the
Servicer and (ii) do not contravene or constitute a default under (A) any
applicable law, rule or regulation, (B) its organizational documents or (C) any
material agreement, contract, order or other instrument to which it is a party
or its property is subject (other than violations which do not affect the
legality, validity or enforceability of any of such agreements and which,
individually or in the aggregate, would not materially and adversely affect the
transactions contemplated by, or the Servicer's ability to perform its
obligations under, the Transaction Documents).

     (c) No Consent Required. No approval or authorization by, or filing with,
any Governmental Authority is required in connection with the execution,
delivery and performance by the Servicer of any Transaction Document other than
(i) UCC filings, (ii) approvals and authorizations that have previously been
obtained and filings that have previously been made and (iii) approvals,
authorizations or filings which, if not obtained or made, would not have a
material adverse effect on the enforceability or collectibility of the
Receivables or would not materially and adversely affect the ability of the
Servicer to perform its obligations under the Transaction Documents.

     (d) Binding Effect. Each Transaction Document to which the Servicer is a
party constitutes the legal, valid and binding obligation of the Servicer
enforceable against the Servicer in accordance with its terms, except as such
enforceability may be limited by applicable bankruptcy, insolvency,
reorganization, moratorium, receivership, conservatorship or other similar laws
affecting creditors' rights generally and, if applicable, the rights of
creditors of corporations from time to time in effect or by general principles
of equity.

     (e) No Proceedings. There are no actions, suits or proceedings pending or,
to the knowledge of the Servicer, threatened against the Servicer before or by
any Governmental

                                       18

<PAGE>

Authority that (i) assert the invalidity or unenforceability of this Agreement
or any of the other Transaction Documents, (ii) seek to prevent the issuance of
the Notes or the consummation of any of the transactions contemplated by this
Agreement or any of the other Transaction Documents, (iii) seek any
determination or ruling that would materially and adversely affect the
performance by the Servicer of its obligations under this Agreement or any of
the other Transaction Documents, or (iv) relate to the Servicer that would
materially and adversely affect the federal or Applicable Tax State income,
excise, franchise or similar tax attributes of the Notes.

     SECTION 6.2 Indemnities of Servicer. The Servicer will be liable in
accordance herewith only to the extent of the obligations specifically
undertaken by the Servicer under this Agreement, and hereby agrees to the
following:

     (a) The Servicer will defend, indemnify and hold harmless the Issuer, the
Owner Trustee, the Indenture Trustee, the Noteholders, the Certificateholder and
the Seller from and against any and all costs, expenses, losses, damages, claims
and liabilities, arising out of or resulting from the use, ownership or
operation by the Servicer or any Affiliate thereof of a Financed Vehicle.

     (b) The Servicer will indemnify, defend and hold harmless the Issuer, the
Owner Trustee and the Indenture Trustee from and against any taxes that may at
any time be asserted against any such Person with respect to the transactions
contemplated herein or in the other Transaction Documents, if any, including,
without limitation, any sales, gross receipts, general corporation, tangible
personal property, privilege, or license taxes (but, in the case of the Issuer,
not including any taxes asserted with respect to, and as of the date of, the
conveyance of the Receivables to the Issuer or the issuance and original sales
of the Notes, or asserted with respect to ownership of the Receivables, or
federal or other Applicable Tax State income taxes arising out of the
transactions contemplated by this Agreement and the other Transaction Documents)
and costs and expenses in defending against the same. For the avoidance of
doubt, the Servicer will not indemnify for any costs, expenses, losses, claims,
damages or liabilities due to the credit risk of the Obligor and for which
reimbursement would constitute recourse for uncollectible Receivables.

     (c) The Servicer will indemnify, defend and hold harmless the Issuer, the
Owner Trustee, the Indenture Trustee, the Noteholders, the Certificateholder and
the Seller from and against any and all costs, expenses, losses, claims,
damages, and liabilities to the extent that such cost, expense, loss, claim,
damage, or liability arose out of, or was imposed upon any such Person through,
the negligence, willful misfeasance, or bad faith (other than errors in
judgment) of the Servicer in the performance of its duties under this Agreement
or any other Transaction Document to which it is a party, or by reason of its
failure to perform its obligations or of reckless disregard of its obligations
and duties under this Agreement or any other Transaction Document to which it is
a party; provided, however, that the Servicer will not indemnify for any costs,
expenses, losses, claims, damages or liabilities arising from its breach of any
covenant for which the repurchase of the affected Receivables is specified as
the sole remedy pursuant to Section 3.6.

                                       19

<PAGE>

     (d) The Servicer will compensate and indemnify the Owner Trustee to the
extent and subject to the conditions set forth in Sections 8.1 and 8.2 of the
Trust Agreement. The Servicer will compensate and indemnify the Indenture
Trustee to the extent and subject to the conditions set forth in Section 6.7 of
the Indenture, except to the extent that any cost, expense, loss, claim, damage
or liability arises out of or is incurred in connection with the performance by
the Indenture Trustee of the duties of a successor Servicer hereunder.

     (e) Indemnification under this Section 6.2 by VCI (or any successor thereto
pursuant to Section 7.1) as Servicer, with respect to the period such Person was
the Servicer, will survive the termination of such Person as Servicer or a
resignation by such Person as Servicer as well as the termination of this
Agreement and the Trust Agreement or the resignation or removal of the Owner
Trustee or the Indenture Trustee and will include reasonable fees and expenses
of counsel and expenses of litigation. If the Servicer has made any indemnity
payments pursuant to this Section 6.2 and the Person to or on behalf of whom
such payments are made thereafter collects any of such amounts from others, such
Person will promptly repay such amounts to the Servicer, without interest.

     SECTION 6.3 Merger or Consolidation of, or Assumption of the Obligations
of, Servicer. Any Person (i) into which the Servicer may be merged or
consolidated, (ii) resulting from any merger, conversion, or consolidation to
which the Servicer is a party, (iii) succeeding to the business of the Servicer,
or (iv) of which Volkswagen AG owns, directly or indirectly, more than 50% of
the voting stock or voting power and 50% or more of the economic equity, which
Person in any of the foregoing cases executes an agreement of assumption to
perform every obligation of the Servicer under this Agreement, 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. Notwithstanding the foregoing, if the Servicer enters into any of the
foregoing transactions and is not the surviving entity, (x) the Servicer shall
deliver to the Indenture Trustee an Officer's Certificate and an Opinion of
Counsel each stating that such merger, conversion, consolidation, or succession
and such agreement of assumption comply with this Section 6.3 and that all
conditions precedent provided for in this Agreement relating to such transaction
have been complied with and (y) the Servicer will deliver to the Indenture
Trustee an Opinion of Counsel either (A) stating that, in the opinion of such
counsel, 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 reciting the details of such filings, or (B) stating that,
in the opinion of such counsel, no such action is necessary to preserve and
protect such interests. The Servicer will provide notice of any merger,
conversion, consolidation or succession pursuant to this Section 6.3 to the
Rating Agencies. Notwithstanding anything herein to the contrary, the execution
of the foregoing agreement of assumption and compliance with clauses (x) and (y)
of this Section 6.3 will be conditions to the consummation of any of the
transactions referred to in clauses (i), (ii) or (iii) of this Section 6.3 in
which the Servicer is not the surviving entity.

     SECTION 6.4 Limitation on Liability of Servicer and Others. (a) Neither the
Servicer nor any of the directors or officers or employees or agents of the
Servicer will be under any liability to the Issuer, the Indenture Trustee, the
Owner Trustee, the Noteholders or the Certificateholder, except as provided
under this Agreement, for any action taken or for refraining

                                       20

<PAGE>

from the taking of any action pursuant to this Agreement or for errors in
judgment; provided, however, that this provision will not protect the Servicer
or any such Person against any liability that would otherwise be imposed by
reason of willful misfeasance or bad faith in the performance of duties or by
reason of its failure to perform its obligations or of reckless disregard of
obligations and duties under this Agreement, or by reason of negligence in the
performance of its duties under this Agreement (except for errors in judgment).
The Servicer and any director, officer or employee or agent of the Servicer may
rely in good faith on any Opinion of Counsel or on any Officer's Certificate of
the Seller or certificate of auditors believed to be genuine and to have been
signed by the proper party in respect of any matters arising under this
Agreement.

     (b) Except as provided in this Agreement, the Servicer will not be under
any obligation to appear in, prosecute, or defend any legal action that is not
incidental to its duties to service the Receivables in accordance with this
Agreement, and that in its opinion may involve it in any expense or liability;
provided, however, that the Servicer may undertake any reasonable action that it
may deem necessary or desirable in respect of this Agreement and the rights and
duties of the parties to this Agreement and the interests of the Noteholders and
the Certificateholder under this Agreement. In such event, the legal expenses
and costs of such action and any liability resulting therefrom will be expenses,
costs and liabilities of the Servicer.

     SECTION 6.5 Delegation of Duties. The Servicer may, at any time without
notice or consent, delegate (a) any or all of its duties (including, without
limitation, its duties as custodian) under the Transaction Documents to any of
its Affiliates or (b) specific duties to sub-contractors who are in the business
of performing such duties; provided that no such delegation shall relieve the
Servicer of its responsibility with respect to such duties and the Servicer
shall remain obligated and liable to the Issuer and the Indenture Trustee for
its duties hereunder as if the Servicer alone were performing such duties.

     SECTION 6.6 VCI Not to Resign as Servicer. Subject to the provisions of
Sections 6.3 and 6.5, VCI will not resign from the obligations and duties hereby
imposed on it as Servicer under this Agreement except upon determination that
the performance of its duties under this Agreement is no longer permissible
under applicable law. Notice of any such determination permitting the
resignation of VCI will be communicated to the Issuer and the Indenture Trustee
at the earliest practicable time (and, if such communication is not in writing,
will be confirmed in writing at the earliest practicable time) and any such
determination will be evidenced by an Opinion of Counsel to such effect
delivered to the Issuer and the Indenture Trustee concurrently with or promptly
after such notice. No such resignation will become effective until a successor
Servicer has assumed the responsibilities and obligations of VCI as Servicer.

     SECTION 6.7 Servicer May Own Notes. The Servicer, and any Affiliate of the
Servicer, may, in its individual or any other capacity, become the owner or
pledgee of Notes with the same rights as it would have if it were not the
Servicer or an Affiliate thereof, except as otherwise expressly provided herein
or in the other Transaction Documents. Except as set forth herein or in the
other Transaction Documents, Notes so owned by or pledged to the Servicer or
such Affiliate will have an equal and proportionate benefit under the provisions
of this Agreement, without preference, priority or distinction as among all of
the Notes.

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                                   ARTICLE VII

                             REPLACEMENT OF SERVICER

     SECTION 7.1 Replacement of Servicer.

     (a) If a Servicer Replacement Event shall have occurred and be continuing,
the Indenture Trustee shall, at the direction of 66-2/3% of the Noteholders, by
notice given to the Servicer, the Owner Trustee, the Issuer, the Administrator,
the Noteholders and each Rating Agency, terminate the rights and obligations of
the Servicer under this Agreement with respect to the Receivables. In the event
the Servicer is removed or resigns as Servicer with respect to servicing the
Receivables, the Indenture Trustee shall appoint a successor Servicer. Upon the
Servicer's receipt of notice of termination the predecessor Servicer will
continue to perform its functions as Servicer under this Agreement only until
the date specified in such termination notice or, if no such date is specified
in such termination notice, until receipt of such notice. If a successor
Servicer has not been appointed at the time when the predecessor Servicer ceases
to act as Servicer in accordance with this Section, the Indenture Trustee
without further action will automatically be appointed the successor Servicer.
Notwithstanding the above, the Indenture Trustee, if it is legally unable or is
unwilling to so act, will appoint, or petition a court of competent jurisdiction
to appoint a successor Servicer. Any successor Servicer shall be an established
institution having a net worth of not less than $100,000,000 and whose regular
business includes the servicing of comparable motor vehicle receivables having
an aggregate outstanding principal amount of not less than $50,000,000.

     (b) Noteholders holding not less than a majority of the Outstanding Notes
may waive any Servicer Replacement Event. Upon any such waiver, such Servicer
Replacement Event shall cease to exist and be deemed to have been cured and not
to have occurred for every purpose of this Agreement, but no such waiver shall
extend to any prior, subsequent or other Servicer Replacement Event or impair
any right consequent thereto.

     (c) If replaced, the Servicer agrees that it will use commercially
reasonable efforts to effect the orderly and efficient transfer of the servicing
of the Receivables to a successor Servicer. All reasonable costs and expenses
incurred in connection with transferring the Receivable Files to the successor
Servicer and all other reasonable costs and expenses incurred in connection with
the transfer to the successor Servicer related to the performance by the
Servicer hereunder will be paid by the predecessor Servicer upon presentation of
reasonable documentation of such costs and expenses.

     (d) Upon the effectiveness of the assumption by the successor Servicer of
its duties pursuant to this Section 7.1, the successor Servicer shall be the
successor in all respects to the Servicer in its capacity as Servicer under this
Agreement with respect to the Receivables, and shall be subject to all the
responsibilities, duties and liabilities relating thereto, except with respect
to the obligations of the predecessor Servicer that survive its termination as
Servicer, including indemnification obligations as set forth in Section 6.2(e).
In such event, the Indenture Trustee and the Owner Trustee are hereby authorized
and empowered to execute and deliver, on behalf of the predecessor 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

                                       22

<PAGE>

effect the purposes of such termination and replacement of the Servicer, whether
to complete the transfer and endorsement of the Receivables and related
documents, or otherwise. No Servicer shall resign or be relieved of its duties
under this Agreement, as Servicer of the Receivables, until a newly appointed
Servicer for the Receivables shall have assumed the responsibilities and
obligations of the resigning or terminated Servicer under this Agreement.

     (e) In connection with such appointment, the Indenture Trustee may make
such arrangements for the compensation of the successor Servicer out of
Available Funds as it and such successor Servicer will agree; provided, however,
that no such compensation will be in excess of the amount paid to the
predecessor Servicer under this Agreement.

     (f) The predecessor Servicer shall be entitled to receive reimbursement for
any outstanding Advances made with respect to the Receivables to the extent
funds are available therefore in accordance with Section 4.4.

     SECTION 7.2 Notification to Noteholders. Upon any termination of, or
appointment of a successor to, the Servicer pursuant to this Article VII, the
Indenture Trustee will give prompt written notice thereof to the Owner Trustee,
the Issuer, the Administrator, each Rating Agency and to the Noteholders at
their respective addresses of record.

                                  ARTICLE VIII

                                OPTIONAL PURCHASE

     SECTION 8.1 Optional Purchase of Trust Estate. If VCI is the Servicer, then
VCI shall have the right at its option (the "Optional Purchase") to purchase the
Trust Estate (other than the Reserve Account) from the Issuer on any Payment
Date if, either before or after giving effect to any payment of principal
required to be made on such Payment Date, the aggregate Net Pool Balance is less
than or equal to 10% of the initial Net Pool Balance. The purchase price for the
Trust Estate shall equal the greater of (a) the unpaid principal amount of the
Notes plus accrued and unpaid interest thereon at the applicable Interest Rate
up to but excluding the Redemption Date and (b) the fair market value of the
Trust Estate (other than the Reserve Account) (the "Optional Purchase Price"),
which amount shall be deposited by the Servicer into the Collection Account on
the Redemption Date. If VCI, as Servicer, exercises the Optional Purchase, the
Notes shall be redeemed and in each case in whole but not in part on the related
Payment Date for the Redemption Price.

                                   ARTICLE IX

                            MISCELLANEOUS PROVISIONS

     SECTION 9.1 Amendment.

     (a) Any term or provision of this Agreement may be amended by the Seller
and the Servicer without the consent of the Indenture Trustee, any Noteholder,
the Issuer, or the Owner Trustee or any other Person; provided that such
amendment shall not, as evidenced by an Opinion of Counsel delivered to the
Indenture Trustee and the Owner Trustee materially and adversely affect the
interests of the Noteholders, the Indenture Trustee or the Owner Trustee.

                                       23

<PAGE>

For greater clarity, except as otherwise expressly provided herein, the consent
of a Person shall not be required for any amendment if the interests of such
Person are not materially and adversely affected.

     (b) Any term or provision of this Agreement may be amended by the Seller
and the Servicer but without the consent of the Indenture Trustee, any
Noteholder, the Issuer, the Owner Trustee or any other Person to add, modify or
eliminate any provisions as may be necessary or advisable in order to enable the
Seller, the Servicer or any of their Affiliates to comply with or obtain more
favorable treatment under any law or regulation or any accounting rule or
principle, it being a condition to any such amendment that the Rating Agency
Condition shall have been satisfied.

     (c) This Agreement (including Appendix A) may also be amended from time to
time by Seller, Servicer and the Indenture Trustee, with the consent of the
Noteholders evidencing not less than a majority of the aggregate outstanding
principal amount of the Outstanding Notes, voting as a single class, 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 that no such amendment shall (i) reduce the interest
rate or principal amount of any Note, change the timing of distributions on any
Note or delay the Final Scheduled Payment Date of any Note without the consent
of the Holder of such Note, (ii) reduce the percentage of the aggregate
outstanding principal amount of the Outstanding Notes, the Holders of which are
required to consent to any matter without the consent of the Holders of at least
the percentage of the aggregate outstanding principal amount of the Outstanding
Notes which were required to consent to such matter before giving effect to such
amendment; provided, further, that the Indenture Trustee may not agree to any
amendment to this Agreement if such amendment failed to comply with the
requirements of Section 9.2 of the Indenture. It will not be necessary for the
consent of Noteholders to approve the particular form of any proposed amendment
or consent, but it will be sufficient if such consent approves 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 the execution thereof by Noteholders will be subject to such reasonable
requirements as the Indenture Trustee may prescribe, including the establishment
of record dates pursuant to the Note Depository Agreement.

     (d) Prior to the execution of any such amendment, the Servicer shall
provide written notification of the substance of such amendment to each Rating
Agency; and promptly after the execution of any such amendment or consent, the
Servicer shall furnish a copy of such amendment or consent to each Rating Agency
and the Indenture Trustee.

     (e) Prior to the execution of any amendment to this Agreement, the Seller,
the Owner Trustee and the Indenture Trustee shall be entitled to receive and
conclusively rely upon an Opinion of Counsel stating that the execution of such
amendment is authorized or permitted by this Agreement and that all conditions
precedent to the execution and delivery of such amendment have been satisfied.
The Owner Trustee and the Indenture Trustee may, but shall not be obligated to,
enter into or execute on behalf of the Issuer any such amendment which adversely
affects the Owner Trustee's or the Indenture Trustee's, as applicable, own
rights, duties or immunities under this Agreement.

                                       24
<PAGE>

     SECTION 9.2 Protection of Title.

     (a) The Seller shall authorize and file such financing statements and cause
to be authorized and filed such continuation and other 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 Indenture Trustee under this
Agreement in the Receivables. The Seller shall deliver (or cause to be
delivered) to the Issuer file-stamped copies of, or filing receipts for, any
document filed as provided above, as soon as available following such filing.

     (b) None of the Issuer, the Seller nor the Servicer shall change its name,
identity, organizational structure or jurisdiction of organization in any manner
that would make any financing statement or continuation statement filed by the
Seller in accordance with paragraph (a) above "seriously misleading" within the
meaning of Sections 9-506, 9-507 or 9-508 of the UCC, unless it shall have given
the Issuer and the Indenture Trustee at least five days' prior written notice
thereof and, to the extent necessary, has promptly filed amendments to
previously filed financing statements or continuation statements described in
paragraph (a) above.

     (c) The Seller shall give the Issuer and the Indenture Trustee at least
five days' prior written notice of any change of location of the Seller for
purposes of Section 9-307 of the UCC and shall have taken all action prior to
making such change (or shall have made arrangements to take such action
substantially simultaneously with such change, if it is not possible to take
such action in advance) reasonably necessary or advisable to amend all
previously filed financing statements or continuation statements described in
paragraph (a) above.

     (d) The Servicer shall maintain (or shall cause its Sub-Servicer to
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 shall maintain (or shall cause its Sub-Servicer to
maintain) its computer systems so that, from time to time after the conveyance
under this Agreement of the Receivables, the master computer records (including
any backup archives) that refer to a Receivable shall indicate clearly the
interest of the Issuer in such Receivable and that such Receivable is owned by
the Issuer and has been pledged to the Indenture Trustee pursuant to the
Indenture. Indication of the Issuer's interest in a Receivable shall not be
deleted from or modified on such computer systems until, and only until, the
related Receivable shall have been paid in full or repurchased.

     (f) If at any time the Servicer shall propose 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 shall give
to such prospective purchaser, lender or other transferee computer tapes,
records or printouts (including any restored from backup archives) that, if they
shall refer in any manner whatsoever to any Receivable, shall indicate clearly
that such Receivable has been sold and is owned by the Issuer and has been
pledged to the Indenture Trustee.

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<PAGE>

     (g) The Servicer, upon receipt of reasonable prior notice, shall permit the
Indenture Trustee, the Owner Trustee and their respective agents at any time
during normal business hours to inspect, audit and, to the extent permitted by
applicable law, make copies of and abstracts from Servicer's (or any
Sub-Servicer's) records regarding any Receivable.

     (h) Upon request, the Servicer shall furnish to the Issuer or to the
Indenture Trustee, within thirty Business Days, a list of all Receivables (by
contract number and name of Obligor) then owned by the Issuer, together with a
reconciliation of such list to each of the Servicer's Certificates furnished
before such request indicating removal of Receivables from the Issuer.

     SECTION 9.3 Other Liens or Interests. Except for the conveyances and grants
of security interests pursuant to this Agreement and the other Transaction
Documents, the Seller shall not sell, pledge, assign or transfer the Receivables
or other property transferred to the Issuer to any other Person, or grant,
create, incur, assume or suffer to exist any Lien (other than Permitted Liens)
on any interest therein, and the Seller shall defend the right, title and
interest of the Issuer in, to and under such Receivables and other property
transferred to the Issuer against all claims of third parties claiming through
or under the Seller.

     SECTION 9.4 Transfers Intended as Sale; Security Interest.

     (a) Each of the parties hereto expressly intends and agrees that the
transfers contemplated and effected under this Agreement are complete and
absolute sales and transfers rather than pledges or assignments of only a
security interest and shall be given effect as such for all purposes. It is
further the intention of the parties hereto that the Receivables and related
Transferred Assets shall not be part of the Seller's estate in the event of a
bankruptcy or insolvency of the Seller. The sales and transfers by the Seller of
Receivables and related Transferred Assets hereunder are and shall be without
recourse to, or representation or warranty (express or implied) by, the Seller,
except as otherwise specifically provided herein. The limited rights of recourse
specified herein against the Seller are intended to provide a remedy for breach
of representations and warranties relating to the condition of the property
sold, rather than to the collectibility of the Receivables.

     (b) Notwithstanding the foregoing, in the event that the Receivables and
other Transferred Assets are held to be property of the Seller, or if for any
reason this Agreement is held or deemed to create indebtedness or a security
interest in the Receivables and other Transferred Assets, then it is intended
that:

          (i)  This Agreement shall be deemed to be a security agreement within
               the meaning of Articles 8 and 9 of the New York Uniform
               Commercial Code and the Uniform Commercial Code of any other
               applicable jurisdiction;

          (ii) The conveyance provided for in Section 2.1 shall be deemed to be
               a grant by the Seller, and the Seller hereby grants, to the
               Issuer of a security interest in all of its right (including the
               power to convey title thereto), title and interest, whether now
               owned or hereafter acquired, in and to the Receivables and other
               Transferred Assets, to secure such indebtedness and the
               performance of the obligations of the Seller hereunder;

                                       26

<PAGE>

          (iii) The possession by the Issuer, or the Servicer as the Issuer's
               agent, of the Receivables Files and any other property as
               constitute instruments, money, negotiable documents or chattel
               paper shall be deemed to be "possession by the secured party" or
               possession by the purchaser or a person designated by such
               purchaser, for purposes of perfecting the security interest
               pursuant to the New York Uniform Commercial Code and the Uniform
               Commercial Code of any other applicable jurisdiction; and

          (iv) Notifications to persons holding such property, and
               acknowledgments, receipts or confirmations from persons holding
               such property, shall be deemed to be notifications to, or
               acknowledgments, receipts or confirmations from, bailees or
               agents (as applicable) of the Issuer for the purpose of
               perfecting such security interest under applicable law.

     SECTION 9.5 Notices, Etc. All demands, notices and communications hereunder
shall be in writing and shall be delivered or mailed by registered or certified
first-class United States mail, postage prepaid, hand delivery, prepaid courier
service, or by facsimile, and addressed in each case as set forth on Schedule II
hereto or at such other address as shall be designated in a written notice to
the other parties hereto. Any notice required or permitted to be mailed to a
Noteholder shall be given by first class mail, postage prepaid, at the address
of such Noteholder as shown in the Note Register. Delivery shall occur only upon
receipt or reported tender of such communication by an officer of the recipient
entitled to receive such notices located at the address of such recipient for
notices hereunder; provided, however, that any notice to a Noteholder mailed
within the time prescribed in this Agreement shall be conclusively presumed to
have been duly given, whether or not the Noteholder shall receive such notice.

     SECTION 9.6 Choice of Law. THIS AGREEMENT SHALL BE GOVERNED BY AND
CONSTRUED IN ACCORDANCE WITH THE INTERNAL, SUBSTANTIVE LAWS OF THE STATE OF NEW
YORK WITHOUT REFERENCE TO THE RULES THEREOF RELATING TO CONFLICTS OF LAW, OTHER
THAN SECTIONS 5-1401 AND 5-1402 OF THE NEW YORK GENERAL OBLIGATIONS LAW, AND THE
OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN
ACCORDANCE WITH SUCH LAWS.

     SECTION 9.7 Headings. The section headings hereof have been inserted for
convenience of reference only and shall not be construed to affect the meaning,
construction or effect of this Agreement.

     SECTION 9.8 Counterparts. This Agreement may be executed in any number of
counterparts, each of which so executed shall be deemed to be an original, but
all of such counterparts shall together constitute but one and the same
instrument.

     SECTION 9.9 Waivers. No failure or delay on the part of the Servicer, the
Seller, the Issuer or the Indenture Trustee in exercising any power or right
hereunder (to the extent such Person has any power or right hereunder) shall
operate as a waiver thereof, nor shall any single or partial exercise of any
such power or right preclude any other or further exercise thereof or the
exercise of any other power or right. No notice to or demand on any party hereto
in any case

                                       27

<PAGE>

shall entitle it to any notice or demand in similar or other circumstances. No
waiver or approval by any party hereto under this Agreement shall, except as may
otherwise be stated in such waiver or approval, be applicable to subsequent
transactions. No waiver or approval under this Agreement shall require any
similar or dissimilar waiver or approval thereafter to be granted hereunder.

     SECTION 9.10 Entire Agreement. The Transaction Documents contain a final
and complete integration of all prior expressions by the parties hereto with
respect to the subject matter thereof and shall constitute the entire agreement
among the parties hereto with respect to the subject matter thereof, superseding
all prior oral or written understandings. There are no unwritten agreements
among the parties.

     SECTION 9.11 Severability of Provisions. If any one or more of the
covenants, agreements, provisions or terms of this Agreement shall be for any
reason whatsoever held invalid, then such covenants, agreements, provisions or
terms shall be deemed severable from the remaining covenants, agreements,
provisions or terms of this Agreement and shall in no way affect the validity or
enforceability of the other provisions of this Agreement.

     SECTION 9.12 Binding Effect. This Agreement shall be binding upon and inure
to the benefit of the parties hereto and their respective successors and
permitted assigns. This Agreement shall create and constitute the continuing
obligations of the parties hereto in accordance with its terms, and shall remain
in full force and effect until such time as the parties hereto shall agree.

     SECTION 9.13 Acknowledgment and Agreement. By execution below, the Seller
expressly acknowledges and consents to the pledge, assignment and grant of a
security interest in the Receivables and the other Transferred Assets by the
Issuer to the Indenture Trustee pursuant to the Indenture for the benefit of the
Noteholders. In addition, the Seller hereby acknowledges and agrees that for so
long as the Notes are outstanding, the Indenture Trustee will have the right to
exercise all powers, privileges and claims of the Issuer under this Agreement.

     SECTION 9.14 No Waiver; Cumulative Remedies. The remedies herein provided
are cumulative and not exclusive of any remedies provided by law.

     SECTION 9.15 Nonpetition Covenant. Each party hereto agrees that, prior to
the date which is one year and one day after payment in full of all obligations
of each Bankruptcy Remote Party in respect of all securities issued by any
Bankruptcy Remote Party (i) such party shall not authorize any Bankruptcy Remote
Party to commence a voluntary winding-up or other voluntary case or other
proceeding seeking liquidation, reorganization or other relief with respect to
such Bankruptcy Remote Party or its debts under any bankruptcy, insolvency or
other similar law now or hereafter in effect in any jurisdiction or seeking the
appointment of an administrator, a trustee, receiver, liquidator, custodian or
other similar official with respect to such Bankruptcy Remote Party or any
substantial part of its property or to consent to any such relief or to the
appointment of or taking possession by any such official in an involuntary case
or other proceeding commenced against such Bankruptcy Remote Party, or to make a
general assignment for the benefit of, its creditors generally, any party hereto
or any other creditor of such Bankruptcy Remote Party, and (ii) none of the
parties hereto shall commence or join with any

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<PAGE>

other Person in commencing any proceeding against such Bankruptcy Remote Party
under any bankruptcy, reorganization, liquidation or insolvency law or statute
now or hereafter in effect in any jurisdiction. This Section shall survive the
termination of this Agreement.

     SECTION 9.16 Submission to Jurisdiction; Waiver of Jury Trial. Each of the
parties hereto hereby irrevocably and unconditionally:

     (a) submits for itself and its property in any legal action or proceeding
relating to this Agreement or any documents executed and delivered in connection
herewith, or for recognition and enforcement of any judgment in respect thereof,
to the nonexclusive general jurisdiction of the courts of the State of New York,
the courts of the United States of America for the Southern District of New York
and appellate courts from any thereof;

     (b) consents that any such action or proceeding may be brought in such
courts and waives any objection that it may now or hereafter have to the venue
of such action or proceeding in any such court or that such action or proceeding
was brought in an inconvenient court and agrees not to plead or claim the same;

     (c) agrees that service of process in any such action or proceeding may be
effected by mailing a copy thereof by registered or certified mail (or any
substantially similar form of mail), postage prepaid, to such Person at its
address determined in accordance with Section 9.5;

     (d) agrees that nothing herein shall affect the right to effect service of
process in any other manner permitted by law or shall limit the right to sue in
any other jurisdiction; and

     (e) to the extent permitted by applicable law, each party hereto
irrevocably waives all right of trial by jury in any action, proceeding or
counterclaim based on, or arising out of, under or in connection with this
Agreement, any other Transaction Document, or any matter arising hereunder or
thereunder.

     SECTION 9.17 Limitation of Liability.

     (a) Notwithstanding anything contained herein to the contrary, this
Agreement has been executed and delivered by [_____], not in its individual
capacity but solely as Owner Trustee, and in no event shall it have any
liability for the representations, warranties, covenants, agreements or other
obligations of the Issuer hereunder or under the Notes or any of the other
Transaction Documents or in any of the certificates, notices or agreements
delivered pursuant thereto, as to all of which recourse shall be had solely to
the assets of the Issuer. Under no circumstances shall the Owner Trustee be
personally liable for the payment of any indebtedness or expense of the Issuer
or be liable for the breach or failure of any obligations, representation,
warranty or covenant made or undertaken by the Issuer under the Transaction
Documents. For the purposes of this Agreement, in the performance of its duties
or obligations hereunder, the Owner Trustee shall be subject to, and entitled to
the benefits of, the terms and provisions of Articles VI, VII and VIII of the
Trust Agreement.

     (b) Notwithstanding anything contained herein to the contrary, this
Agreement has been executed and delivered by [_____], not in its individual
capacity but solely as Indenture Trustee, and in no event shall it have any
liability for the representations, warranties, covenants,

                                       29

<PAGE>

agreements or other obligations of the Issuer under the Notes or any of the
other Transaction Documents or in any of the certificates, notices or agreements
delivered pursuant thereto, as to all of which recourse shall be had solely to
the assets of the Issuer. Under no circumstances shall the Indenture Trustee be
personally liable for the payment of any indebtedness or expense of the Issuer
or be liable for the breach or failure of any obligations, representation,
warranty or covenant made or undertaken by the Issuer under the Transaction
Documents. For the purposes of this Agreement, in the performance of its duties
or obligations hereunder, the Indenture Trustee shall be subject to, and
entitled to the benefits of, the terms and provisions of Article VI of the
Indenture.

     SECTION 9.18 Third-Party Beneficiaries. This Agreement shall inure to the
benefit of and be binding upon the parties hereto, the Noteholders and the
Certificateholder and their respective successors and permitted assigns and the
Owner Trustee shall be an express third party beneficiary hereof and may enforce
the provisions hereof as if it were a party hereto. Except as otherwise provided
in this Section, no other Person will have any right hereunder.

     SECTION 9.19 Information Requests. The parties hereto shall provide any
information reasonably requested by the Servicer, the Issuer, the Seller or any
of their Affiliates, in order to comply with or obtain more favorable treatment
under any current or future law, rule, regulation, accounting rule or principle.

     SECTION 9.20 Regulation AB. The Servicer shall cooperate fully with the
Seller and the Issuer to deliver to the Seller and the Issuer (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 Seller or the Issuer to permit the Seller to comply with the provisions of
Regulation AB, together with such disclosures relating to the Servicer and the
Receivables, or the servicing of the Receivables, reasonably believed by the
Seller to be necessary in order to effect such compliance.

     SECTION 9.21 Information to Be Provided by the Indenture Trustee. (a) For
so long as the Issuer is required to report under the Exchange Act, the
Indenture Trustee shall (i) on or before the fifth Business Day of each month,
provide to the Seller, in writing, such information regarding the Indenture
Trustee as is requested by the Seller (if any) for the purpose of compliance
with Item 1117 of Regulation AB; provided, however, that the Indenture Trustee
shall not be required to provide such information in the event that there has
been no change to the information previously provided by the Indenture Trustee
to Seller, and (ii) as promptly as practicable following notice to or discovery
by a Responsible Officer of the Indenture Trustee of any changes to such
information, provide to the Seller, in writing, such updated information.

     (b) As soon as available but no later than March 15 of each calendar year
for so long as the Issuer is required to report under the Exchange Act,
commencing in [_____], the Indenture Trustee shall:

               (i) deliver to the Seller a report regarding the Indenture
          Trustee's assessment of compliance with the Servicing Criteria during
          the immediately preceding calendar year, as required under paragraph
          (b) of Rule 13a-18, Rule 15d-18 of the Exchange Act and Item 1122 of
          Regulation AB. Such report shall be

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<PAGE>

          signed by an authorized officer of the Indenture Trustee, and shall
          address each of the Servicing Criteria specified in Exhibit C or such
          criteria as mutually agreed upon by the Seller and the Indenture
          Trustee;

               (ii) deliver to the Seller a report of a registered public
          accounting firm that attests to, and reports on, the assessment of
          compliance made by the Indenture Trustee and delivered pursuant to the
          preceding paragraph. Such attestation shall 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; and

               (iii) deliver to the Seller and any other Person that will be
          responsible for signing the certification (a "Sarbanes Certification")
          required by Rules 13a-14(d) and 15d-14(d) under the Exchange Act
          (pursuant to Section 302 of the Sarbanes-Oxley Act of 2002) on behalf
          of the Issuer or the Seller substantially in the form attached hereto
          as Exhibit D or such form as mutually agreed upon by the Seller and
          the Indenture Trustee.

               The Indenture Trustee acknowledges that the parties identified in
          clause (iii) above may rely on the certification provided by the
          Indenture Trustee pursuant to such clause in signing a Sarbanes
          Certification and filing such with the Commission.

                                       31

<PAGE>

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

                                        VOLKSWAGEN AUTO LEASE UNDERWRITTEN
                                        FUNDING, LLC, as Seller

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

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

                                        VW CREDIT, INC., as Servicer

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

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

                                       S-1

<PAGE>

                                        VOLKSWAGEN AUTO LOAN ENHANCED
                                        TRUST 20[__]-[__], as Issuer

                                        By:
                                            ------------------------------------

                                        By:
                                            ------------------------------------

                                       S-2

<PAGE>

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

                                        By:
                                            ------------------------------------

                                       S-3
<PAGE>

                                                                      SCHEDULE I

         REPRESENTATIONS AND WARRANTIES WITH RESPECT TO THE RECEIVABLES

     (a) Characteristics of Receivables. Each Receivable:

          (i) has been fully and properly executed by the Obligor thereto;

          (ii) has either (A) been originated by a Dealer in the ordinary course
     of such Dealer's business to finance the retail sale by a Dealer of the
     related Financed Vehicle and has been purchased by the applicable
     Originator in the ordinary course of its respective business or (B) has
     been originated or acquired directly by the applicable Originator in
     accordance with its customary practices;

          (iii) as of the Closing Date is secured by a first priority validly
     perfected security interest in the Financed Vehicle in favor of the
     applicable Originator, as secured party, or all necessary actions have been
     commenced that would result in a first priority security interest in the
     Financed Vehicle in favor of the applicable Originator, as secured party,
     which security interest, in either case, is assignable and has been so
     assigned (x) by VW Bank to VCI, if such Receivable was originated by VW
     Bank, (y) by VCI to the Seller and (z) by the Seller to the Issuer;

          (iv) contains customary and enforceable provisions such that the
     rights and remedies of the holder thereof are adequate for realization
     against the collateral of the benefits of the security;

          (v) provides, at origination, for level monthly payments which fully
     amortize the initial Outstanding Principal Balance over the original term;
     provided that the amount of the first or last payment may be different but
     in no event more than three times the level monthly payment;

          (vi) provides for interest at the Contract Rate specified in the
     Schedule of Receivables; and

          (vii) was originated in the United States.

     (b) Individual Characteristics. Each Receivable has the following
individual characteristics as of the Cut-Off Date:

          (i) each Receivable is secured by a new or used automobile or
     light-duty truck;

          (ii) each Receivable has a Contract Rate of no less than [_____]% and
     not more than [_____]%;

                                                               Schedule I to the
                                                    Sale and Servicing Agreement

                                       I-1

<PAGE>

          (iii) each Receivable had an original term to maturity of not more
     than [_____] months and not less than [_____] months and each Receivable
     has a remaining term to maturity, as of the Cut-Off Date, of [_____] months
     or more;

          (iv) each Receivable had an original Outstanding Principal Balance
     less than or equal to $[_____];

          (v) each Receivable has an Outstanding Principal Balance as of the
     Cut-Off Date of greater than or equal to $[_____];

          (vi) no Receivable has a scheduled maturity date later than [_____];

          (vii) no Receivable was more than 30 days past due as of the Cut-Off
     Date;

          (viii) as of the Cut-off Date, no Receivable was noted in the records
     of VCI or the Servicer as being the subject of any pending bankruptcy or
     insolvency proceeding;

          (ix) no Receivable is subject to a force-placed Insurance Policy on
     the related Financed Vehicle;

          (x) each Receivable is a Simple Interest Receivable;

          (xi) each of the Receivables were selected using selection procedures
     that were not known or intended by VCI or the Servicer to be adverse to the
     Issuer; and

          (xii) the Dealer of the Financed Vehicle has no participation in, or
     other right to receive, any proceeds of such Receivable.

     (c) Schedule of Receivables. The information with respect to a Receivable
transferred on the Closing Date set forth in the Schedule of Receivables was
true and correct in all material respects as of the Cut-Off Date.

     (d) Compliance with Law. The Receivable complied at the time it was
originated or made, in all material respects with all requirements of applicable
federal, state and local laws, and regulations thereunder, including, to the
extent applicable, usury laws, the Federal Truth in Lending Act, the Equal
Credit Opportunity Act, the Fair Credit Reporting Act, the Federal Trade
Commission Act, the Fair Debt Collection Practices Act, the Fair Credit Billing
Act, the Magnuson-Moss Warranty Act, Federal Reserve Board Regulations B and Z,
Servicemembers Civil Relief Act, state adaptations of the National Consumer Act
and of the Uniform Consumer Credit Code and any other consumer credit, equal
opportunity and disclosure laws applicable to that Receivable.

     (e) Binding Obligation. The Receivable constitutes the legal, valid and
binding payment obligation in writing of the Obligor, enforceable in all
respects by the holder thereof in accordance with its terms, subject, as to
enforcement, to applicable bankruptcy, insolvency, reorganization, liquidation
or other similar laws and equitable principles relating to or affecting the
enforcement of creditors' rights generally.

                                       I-2

<PAGE>

     (f) Receivable in Force. The Receivable has not been satisfied,
subordinated or rescinded nor has the related Financed Vehicle been released
from the lien granted by the Receivable in whole or in part.

     (g) No Waiver. As of the Cut-Off Date, no provision of a Receivable has
been waived.

     (h) No Default. Except for payment delinquencies continuing for a period of
not more than 30 days as of the Cut-Off Date, the records of the Servicer did
not disclose that any default, breach, violation or event permitting
acceleration under the terms of the Receivable existed as of the Cut-Off Date or
that any continuing condition that with notice or lapse of time, or both, would
constitute a default, breach, violation or event permitting acceleration under
the terms of the Receivable had arisen as of the Cut-Off Date.

     (i) Insurance. The Receivable requires the Obligor thereunder to insure the
Financed Vehicle under a physical damage insurance policy.

     (j) No Government Obligor. The Obligor on the Receivable is not the United
States of America or any state thereof or any local government, or any agency,
department, political subdivision or instrumentality of the United States of
America or any state thereof or any local government.

     (k) Assignment. No Receivable has been originated in, or is subject to the
laws of, any jurisdiction under which the sale, transfer, assignment, conveyance
or pledge of such Receivable would be unlawful, void, or voidable. The Seller
has not entered into any agreement with any Obligor that prohibits, restricts or
conditions the assignment of the related Receivable.

     (l) Good Title. It is the intention of the Seller that the sale, transfer,
assignment and conveyance herein contemplated constitute an absolute sale,
transfer, assignment and conveyance of the Receivables and that the Receivables
not be part of the Seller's estate in the event of the filing of a bankruptcy
petition by or against the Seller under any bankruptcy law. No Receivable has
been sold, transferred, assigned, conveyed or pledged to any Person other than
pursuant to the Transaction Documents. As of the Closing Date and immediately
prior to the sale and transfer herein contemplated, the Seller had good and
marketable title to Receivable free and clear of all Liens, and, immediately
upon the sale and transfer thereof, the Issuer will have good and marketable
title to each Receivable, free and clear of all Liens (other than Permitted
Liens).

     (m) Filings. All filings (including, without limitation, UCC filings)
necessary in any jurisdiction to give the Issuer a first priority, validly
perfected ownership interest in the Receivables (other than the Related Security
with respect thereto), and to give the Indenture Trustee a first priority
perfected security interest therein, will be made within ten days of the Closing
Date.

     (n) Priority. The Receivable is not pledged, assigned, sold, subject to a
security interest, or otherwise conveyed other than pursuant to the Transaction
Documents. The Seller has not authorized the filing of and is not aware of any
financing statements against VCI or the Seller that include a description of
collateral covering the Receivables other than any financing

                                       I-3

<PAGE>

statement relating to security interests granted under the Transaction Documents
or that have been terminated. The Sale and Servicing Agreement creates a valid
and continuing security interest in the Receivable (other than the Related
Security with respect thereto) in favor of the Issuer which security interest is
prior to all other Liens (other than Permitted Liens) and is enforceable as such
against all other creditors of and purchasers and assignees from the Seller.

     (o) Characterization of Receivables. Each Receivable constitutes either
"tangible chattel paper", an "account", a "promissory note" or a "payment
intangible", each as defined in the UCC.

     (p) One Original. There is only one original executed copy of each
Receivable in existence. The Servicer (or its agent) has possession of such
original. If such original has been marked, then such original does not have any
marks or notations indicating that it has been pledged, assigned or otherwise
conveyed to any Person other than to a party to the Transaction Documents.

     (q) No Defenses. The Seller has no knowledge either of any facts which
would give rise to any right of rescission, set-off, counterclaim or defense, or
of the same being asserted or threatened, with respect to any Receivable.

     (r) No Repossession. As of the Cut-Off Date, no Financed Vehicle shall have
been repossessed.

                                       I-4

<PAGE>

                                                                     SCHEDULE II

                                NOTICE ADDRESSES

If to the Issuer:

with copies to the Administrator, VW Credit, Inc., the Indenture Trustee

If to the Owner Trustee:

with a copy to:

If to the Indenture Trustee:

If to Purchaser:
3800 Hamlin Road
Auburn Hills, Michigan 48326
(telecopier no. (248) 754-5360)
Attention: Treasurer

If to the Servicer:
3800 Hamlin Road
Auburn Hills, Michigan 48326
(telecopier no. (248) 754-5360)
Attention: Treasurer

with a copy to VW Credit, Inc.

If to VCI:
3800 Hamlin Road
Auburn Hills, Michigan 48326
(telecopier no. (248) 754-5360)
Attention: Treasurer

If to VW Credit, Inc.:
3800 Hamlin Road
Auburn Hills, Michigan 48326
(telecopier no. (248) 754-5360)
Attention: General Counsel

                                                              Schedule II to the
                                                    Sale and Servicing Agreement

                                      II-1

<PAGE>

If to Moody's:
Moody's Investors Service, Inc.
99 Church Street
New York, New York 10007
(telecopier no. (212) 298-7139)
Attention: ABS Monitoring Group

If to Standard & Poor's:
Standard & Poor's Ratings Services
55 Water Street
New York, New York 10041
(telecopier no. (212) 438-2664)
Attention: Asset Backed Surveillance Group

                                      II-2

<PAGE>

                                                                       EXHIBIT A

                         FORM OF ASSIGNMENT PURSUANT TO
                          SALE AND SERVICING AGREEMENT

     For value received, in accordance with the Sale and Servicing Agreement
(the "Agreement"), dated as of [_____], between Volkswagen Auto Loan Enhanced
Trust 20[_____]-[_____], a Delaware statutory trust (the "Issuer"), Volkswagen
Auto Lease Underwritten Funding, LLC, a Delaware limited liability company (the
"Seller"), VW Credit, Inc., a Delaware corporation ("VCI"), and [_____], a
national banking association (the "Indenture Trustee"), on the terms and subject
to the conditions set forth in the Agreement, the Seller does hereby transfer,
assign, set over, sell and otherwise convey to the Issuer on [_____], all of its
right, title and interest in, to and under the Receivables set forth on the
schedule of Receivables delivered by the Seller to the Issuer on the date hereof
(such schedule, the "Schedule of Receivables"), and the Collections after the
Cut-Off Date and the Related Security relating thereto, which sale shall be
effective as of the Cut-Off Date.

     The foregoing sale does not constitute and is not intended to result in any
assumption by the Issuer of any obligation of the undersigned to the Obligors,
insurers or any other Person in connection with the Receivables, or the other
assets and properties conveyed hereunder or any agreement, document or
instrument related thereto.

     This assignment is made pursuant to and upon the representations,
warranties and agreements on the part of the undersigned contained in the
Agreement and is governed by the Agreement.

     Capitalized terms used herein and not otherwise defined shall have the
meaning assigned to them in the Agreement.

     IN WITNESS HEREOF, the undersigned has caused this assignment to be duly
executed as of [_____].

                                        VOLKSWAGEN AUTO LEASE UNDERWRITTEN
                                        FUNDING, LLC

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

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

                                                                Exhibit A to the
                                                    Sale and Servicing Agreement

                                       A-1

<PAGE>

                                                                       EXHIBIT B

              PERFECTION REPRESENTATIONS, WARRANTIES AND COVENANTS

In addition to the representations, warranties and covenants contained in the
Agreement, the Seller hereby represents, warrants and covenants to the Issuer
and the Indenture Trustee as follows on the Closing Date:

                                     GENERAL

1. This Agreement creates a valid and continuing security interest (as defined
in the applicable UCC) in the Receivables and the other Transferred Assets in
favor of the Issuer, which security interest is prior to all other Liens, and is
enforceable as such as against creditors of and purchasers from the Seller.

2. The Receivables constitute "tangible chattel paper," "accounts,"
"instruments" or "general intangibles," within the meaning of the UCC.

3. Each Receivable is secured by a first priority validly perfected security
interest in the related Financed Vehicle in favor of the applicable Originator,
as secured party, or all necessary actions with respect to such Receivable have
been taken or will be taken to perfect a first priority security interest in the
related Financed Vehicle in favor of the applicable Originator, as secured
party.

                                    CREATION

4. Immediately prior to the sale, transfer, assignment and conveyance of a
Receivable by the Seller to the Issuer, the Seller owned and had good and
marketable title to such Receivable free and clear of any Lien and immediately
after the sale, transfer, assignment and conveyance of such Receivable to the
Issuer, the Issuer will have good and marketable title to such Receivable free
and clear of any Lien.

5. The related Originator has received all consents and approvals to the sale of
the Receivables hereunder to the Issuer required by the terms of the Receivables
that constitute instruments.

                                   PERFECTION

6. The Seller has caused or will have caused, within ten days after the
effective date of this Agreement, the filing of all appropriate financing
statements in the proper filing office in the appropriate jurisdictions under
applicable law in order to perfect the sale of the Receivables from the Seller
to Issuer, and the security interest in the Receivables granted to the Issuer
hereunder; and the Servicer, in its capacity as custodian, has in its possession
the original copies of such instruments or tangible chattel paper that
constitute or evidence the Receivables, and all financing statements referred to
in this paragraph contain a statement that: "A purchase of or security interest
in any collateral described in this financing statement will violate the rights
of the Secured Party/Purchaser".

                                                                Exhibit B to the
                                                    Sale and Servicing Agreement

                                       B-1

<PAGE>

7. With respect to Receivables that constitute instruments or tangible chattel
paper, either:

(i) All original executed copies of each such instrument or tangible chattel
paper have been delivered to the Indenture Trustee; or

(ii) Such instruments or tangible chattel paper are in the possession of the
Servicer and the Indenture Trustee has received a written acknowledgment from
the Servicer that the Servicer, in its capacity as custodian, is holding such
instruments or tangible chattel paper solely on behalf and for the benefit of
the Indenture Trustee; or

(iii) The Servicer received possession of such instruments or tangible chattel
paper after the Indenture Trustee received a written acknowledgment from the
Servicer that the Servicer is acting solely as agent of the Indenture Trustee.

                                    PRIORITY

8. Neither the Seller nor VCI has authorized the filing of, or is aware of, any
financing statements against either the Seller or VCI that include a description
of collateral covering the Receivables other than any financing statement (i)
relating to the conveyance of the Receivables by VCI to the Seller under the
Purchase Agreement, (ii) relating to the security interest granted to Issuer
hereunder or (iii) that has been terminated.

9. Neither the Seller nor VCI is aware of any material judgment, ERISA or tax
lien filings against either the Seller or VCI.

10. None of the instruments or tangible chattel paper that constitutes or
evidences the Receivables has any marks or notations indicating that they have
been pledged, assigned or otherwise conveyed to any Person other than the
Seller, the Issuer or the Indenture Trustee.

                     SURVIVAL OF PERFECTION REPRESENTATIONS

11. Notwithstanding any other provision of the Sale and Servicing Agreement or
any other Transaction Document, the perfection representations, warranties and
covenants contained in this Exhibit B shall be continuing, and remain in full
force and effect until such time as all obligations under the Transaction
Documents and the Notes have been finally and fully paid and performed.

                                    NO WAIVER

12. The parties to the Sale and Servicing Agreement shall provide the Rating
Agencies with prompt written notice of any breach of the perfection
representations, warranties and covenants contained in this Exhibit D, and shall
not, without satisfying the Rating Agency Condition, waive a breach of any of
such perfection representations, warranties or covenants.

                  SERVICER TO MAINTAIN PERFECTION AND PRIORITY

13. The Servicer covenants that, in order to evidence the interests of the
Seller and Issuer under the Sale and Servicing Agreement and the Indenture
Trustee under the Indenture,

                                       B-2

<PAGE>

Servicer shall take such action, or execute and deliver such instruments as may
be necessary or advisable (including, without limitation, such actions as are
requested by the Indenture Trustee) to maintain and perfect, as a first priority
perfected security interest, the Indenture Trustee's security interest in the
Receivables. The Servicer shall, from time to time and within the time limits
established by law, prepare and file, all financing statements, amendments,
continuations, initial financing statements in lieu of a continuation statement,
terminations, partial terminations, releases or partial releases, or any other
filings necessary or advisable to continue, maintain and perfect the Indenture
Trustee's security interest in the Receivables as a first-priority perfected
security interest (each a "Filing").

                                       B-3

<PAGE>

                                                                       EXHIBIT C

                      SERVICING CRITERIA TO BE ADDRESSED IN
                  INDENTURE TRUSTEE'S ASSESSMENT OF COMPLIANCE

   The assessment of compliance to be delivered by the Indenture Trustee shall
address, at a minimum, the criteria identified as below as "Applicable Servicing
                                   Criteria":

                                [To be inserted]

                                                                Exhibit C to the
                                                    Sale and Servicing Agreement

                                       C-1

<PAGE>

                                                                       EXHIBIT D

                FORM OF INDENTURE TRUSTEE'S ANNUAL CERTIFICATION

RE:  VOLKSWAGEN AUTO LOAN ENHANCED TRUST 20[_____]-[_____]

          [_____], not in its individual capacity but solely as indenture
trustee (the "Indenture Trustee"), certifies to Volkswagen Auto Lease
Underwritten Funding (the "Seller"), and its officers, with the knowledge and
intent that they will rely upon this certification, that:

          (1) It has reviewed the report on assessment of the Indenture
     Trustee's compliance provided in accordance with Rules 13a-18 and 15d-18
     under the Securities Exchange Act of 1934, as amended (the "Exchange Act")
     and Item 1122 of Regulation AB (the "Servicing Assessment"), and the
     registered public accounting firm's attestation report provided in
     accordance with Rules 13a-18 and 15d-18 under the Exchange Act and Section
     1122(b) of Regulation AB (the "Attestation Report") that were delivered by
     the Indenture Trustee to the Seller pursuant to the Sale and Servicing
     Agreement (the "Agreement"), dated as of [_____], by and between VW Credit,
     Inc., the Seller, the Indenture Trustee and Volkswagen Auto Loan Enhanced
     Trust 20[_____]-[_____] (collectively, the "Indenture Trustee
     Information");

          (2) To the best of its knowledge, the Indenture Trustee Information,
     taken as a whole, does not contain any untrue statement of a material fact
     or omit to state a material fact necessary to make the statements made, in
     the light of the circumstances under which such statements were made, not
     misleading with respect to the period of time covered by the Indenture
     Trustee Information;

          (3) To the best of its knowledge, all of the Indenture Trustee
     Information required to be provided by the Indenture Trustee under the
     Agreement has been provided to the Seller; and

          (4) To the best of its knowledge, except as disclosed in the Servicing
     Assessment or the Attestation Report, the Indenture Trustee has fulfilled
     its obligations under the Agreement.

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

                                        Date: _________________________

                                                                Exhibit D to the
                                                    Sale and Servicing Agreement

                                       D-1

<PAGE>

                                   APPENDIX A

                                   DEFINITIONS

     The following terms have the meanings set forth, or referred to, below:

     "Accrued Note Interest" means, with respect to any Payment Date, the sum of
the Noteholders' Monthly Accrued Interest for such Payment Date and the
Noteholders' Interest Carryover Shortfall for such Payment Date.

     "Act" has the meaning set forth in Section 11.3(a) of the Indenture.

     "Adjusted Pool Balance" means, as of any Payment Date, an amount equal to
(a) the Net Pool Balance at the end of the Collection Period preceding such
Payment Date (or, in the case of the first Payment Date, the Net Pool Balance as
of the Cut-Off Date) minus (b) the Yield Supplement Overcollateralization Amount
for such Payment Date.

     "Administration Agreement" means the Administration Agreement, dated as of
the Closing Date, among the Administrator, the Issuer and the Indenture Trustee,
as the same may be amended and supplemented from time to time.

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

     "Advance" has the meaning set forth in Section 4.3(c) of the Sale and
Servicing Agreement.

     "Affiliate" means, for any specified Person, any other Person which,
directly or indirectly, controls, is controlled by or is under common control
with such specified Person and "affiliated" has a meaning correlative to the
foregoing. For purposes of this definition, "control" means the power, directly
or indirectly, to cause the direction of the management and policies of a
Person.

     "Applicable Tax State" means, as of any date, each State as to which any of
the following is then applicable: (a) a State in which the Owner Trustee
maintains its Corporate Trust Office, (b) a State in which the Owner Trustee
maintains its principal executive offices, and (c) the State of Michigan or the
State of Illinois.

     "Authenticating Agent" means any Person authorized by the Indenture Trustee
to act on behalf of the Indenture Trustee to authenticate and deliver the Notes.

     "Authorized Newspaper" means a newspaper of general circulation in The City
of New York, printed in the English language and customarily published on each
Business Day, whether or not published on Saturdays, Sundays and holidays.

     "Authorized Officer" means (a) with respect to the Issuer, (i) any officer
of the Owner Trustee who is authorized to act for the Owner Trustee in matters
relating to the Issuer and who is identified on the list of Authorized Officers
delivered by the Owner Trustee to the Indenture Trustee on the Closing Date or
(ii) so long as the Administration Agreement is in effect, any

                                            Appendix A to the Sale and Servicing
                                                                       Agreement

<PAGE>

officer of the Administrator who is authorized to act for the Administrator in
matters relating to the Issuer pursuant to the Administration Agreement and who
is identified on the list of Authorized Officers delivered by the Administrator
to the Owner Trustee and the Indenture Trustee on the Closing Date (as such list
may be modified or supplemented from time to time thereafter) and (b) with
respect to the Owner Trustee, the Indenture Trustee and the Servicer, any
officer of the Owner Trustee, the Indenture Trustee or the Servicer, as
applicable, who is authorized to act for the Owner Trustee, the Indenture
Trustee or the Servicer, as applicable, in matters relating to the Owner
Trustee, the Indenture Trustee or the Servicer and who is identified on the list
of Authorized Officers delivered by each of the Owner Trustee, the Indenture
Trustee and the Servicer to the Indenture Trustee on the Closing Date (as such
list may be modified or supplemented from time to time thereafter).

     "Available Funds" means, for any Payment Date and the related Collection
Period, an amount equal to the sum of the following amounts: (i) all Collections
received by the Servicer during such Collection Period, (ii) the sum of the
Repurchase Prices with respect to each Receivable that is to become a
Repurchased Receivable on such Payment Date and (iii) the Reserve Account Excess
Amount for such Payment Date.

     "Available Funds Shortfall Amount" means, as of any Payment Date, the
amount by which the amounts required to be paid pursuant to clauses first
through fourth of Section 4.4(a) of the Sale and Servicing Agreement exceeds the
sum of (i) Available Funds for such Payment Date and (ii) Advances made by the
Servicer on such Payment Date.

     "Bankruptcy Code" means the United States Bankruptcy Code, 11 U.S.C. 101 et
seq., as amended.

     "Bankruptcy Event" means, with respect to any Person, (i) the filing of a
decree or order for relief by a court having jurisdiction in the premises in
respect of such Person in an involuntary case under any applicable federal or
state bankruptcy, insolvency or other similar law now or hereafter in effect, or
appointing a receiver, liquidator, assignee, custodian, trustee, sequestrator or
similar official of such Person, or ordering the winding-up or liquidation of
such Person's affairs, and such decree or order shall remain unstayed and in
effect for a period of 90 consecutive days or (ii) 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 or taking possession
by a receiver, liquidator, assignee, custodian, trustee, sequestrator or similar
official of such Person, 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.

     "Bankruptcy Remote Party" means each of the Seller, the Issuer, any other
trust created by the Seller or any limited liability company or corporation
wholly-owned by the Seller.

     "Benefit Plan" means (i) any "employee benefit plan" as defined in Section
3(3) of ERISA whether or not subject to ERISA, (ii) a "plan" described by
Section 4975(e)(1) of the

                                        3

<PAGE>

Code or (iii) any entity deemed to hold the assets of any of the foregoing by
reason of an employee benefit plan's or other plan's investment in such entity.

     "Book-Entry Notes" means a beneficial interest in the Notes, ownership and
transfers of which shall be made through book entries by a Clearing Agency as
described in Section 2.10 of the Indenture.

     "Business Day" means any day other than a Saturday, a Sunday or a day on
which banking institutions in the states of Delaware, Michigan or New York, or
in the state in which the Corporate Trust Office of the Indenture Trustee is
located, are authorized or obligated by law, executive order or government
decree to be closed.

     "Certificate" means a certificate evidencing the beneficial interest of the
Certificateholder in the Issuer, substantially in the form of Exhibit A to the
Trust Agreement.

     "Certificate Balance" means, at any time, the Initial Certificate Balance
reduced by all payments of principal made prior to such time on the
Certificates.

     "Certificate of Title" means, with respect to any Financed Vehicle, the
certificate of title or other documentary evidence of ownership of such Financed
Vehicle as issued by the department, agency or official of the jurisdiction
(whether in paper or electronic form) in which such Financed Vehicle is titled
responsible for accepting applications for, and maintaining records regarding,
certificates of title and liens thereon.

     "Certificate of Trust" means the certificate of trust for the Issuer filed
by the Owner Trustee pursuant to the Statutory Trust Statute.

     "Certificateholder" means initially, [_____], and any other Holder of the
Certificate.

     "Certificateholders' Percentage" will mean (a) until the Payment Date on
which the principal amount of the Notes has been paid in full, zero, and (b)
with respect to any Payment Date on or after the principal amount of the Notes
has been paid in full, 100%.

     "Certificateholders' Principal Distribution Amount" will mean, with respect
to any Payment Date, an amount equal to the Certificateholders' Percentage of
the Principal Distribution Amount as of the end of the related Collection
Period.

     "Class" means a group of Notes whose form is identical except for variation
in denomination, principal amount or owner, and references to "each Class" thus
mean each of the Class A-1 Notes, the Class A-2 Notes, the Class A-3 Notes and
the Class A-4 Notes.

     "Class A-1 Final Scheduled Payment Date" means [_____].

     "Class A-1 Interest Rate" means [_____]% per annum (computed on the basis
of the actual number of days elapsed during the applicable Interest Period, but
assuming a 360-day year).

     "Class A-1 Note Balance" means, at any time, the Initial Class A-1 Note
Balance reduced by all payments of principal made prior to such time on the
Class A-1 Notes.

                                        4

<PAGE>

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

     "Class A-1 Notes" means the Class of auto loan asset backed notes
designated as Class A-1 Notes, issued in accordance with the Indenture.

     "Class A-2 Final Scheduled Payment Date" means[_____].

     "Class A-2 Interest Rate" means [_____]% per annum (computed on the basis
of a 360-day year of twelve 30-day months).

     "Class A-2 Note Balance" means, at any time, the Initial Class A-2 Note
Balance reduced by all payments of principal made prior to such time on the
Class A-2 Notes.

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

     "Class A-2 Notes" means the Class of auto loan asset backed notes
designated as Class A-2 Notes, issued in accordance with the Indenture.

     "Class A-3 Final Scheduled Payment Date" means[_____].

     "Class A-3 Interest Rate" means [_____]% per annum (computed on the basis
of a 360-day year of twelve 30-day months).

     "Class A-3 Note Balance" means, at any time, the Initial Class A-3 Note
Balance reduced by all payments of principal made prior to such time on the
Class A-3 Notes.

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

     "Class A-3 Notes" means the Class of auto loan asset backed notes
designated as Class A-3 Notes, issued in accordance with the Indenture.

     "Class A-4 Final Scheduled Payment Date" means[_____].

     "Class A-4 Interest Rate" means [_____]% per annum (computed on the basis
of a 360-day year of twelve 30-day months).

     "Class A-4 Note Balance" means, at any time, the Initial Class A-4 Note
Balance reduced by all payments of principal made prior to such time on the
Class A-4 Notes.

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

     "Class A-4 Notes" means the Class of auto loan asset backed notes
designated as Class A-4 Notes, issued in accordance with the Indenture.

                                        5

<PAGE>

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

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

     "Closing Date" means [_____].

     "Code" means the Internal Revenue Code of 1986, as amended, modified or
supplemented from time to time, and any successor law thereto, all the
regulations promulgated and the rulings issued thereunder.

     "Collateral" has the meaning set forth in the Granting Clause of the
Indenture.

     "Collection Account" means the trust account established and maintained
pursuant to Section 4.1 of the Sale and Servicing Agreement.

     "Collection Period" means the period commencing on the first day of each
fiscal month of the Servicer and ending on the last day of such fiscal month
(or, in the case of the initial Collection Period, the period commencing on the
close of business on the Cut-Off Date and ending on [_____]). As used herein,
the "related" Collection Period with respect to a Payment Date shall be deemed
to be the Collection Period which precedes such Payment Date.

     "Collections" means, with respect to any Receivable and to the extent
received by the Servicer after the Cut-Off Date, (i) any monthly payment by or
on behalf of the Obligor thereunder, (ii) any full or partial prepayment of such
Receivable, (iii) all Liquidation Proceeds and (iv) any other amounts received
by the Servicer which, in accordance with the Customary Servicing Practices,
would customarily be applied to the payment of accrued interest or to reduce the
Outstanding Principal Balance of such Receivable; provided, however, that the
term "Collections" in no event will include (1) for any Payment Date, any
amounts in respect of any Receivable the Repurchase Price of which has been
included in the Available Funds on such Payment Date or a prior Payment Date,
(2) any Supplemental Servicing Fees or (3) rebates of premiums with respect to
the cancellation or termination of any Insurance Policy, extended warranty or
service contract.

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

     "Contract Rate" means, with respect to a Receivable, the rate per annum at
which interest accrues under the retail motor vehicle installment sales contract
or installment loan evidencing such Receivable. Such rate may be less than the
"Annual Percentage Rate" disclosed in the Receivable.

     "Corporate Trust Office" means:

     (s) as used with respect to Indenture Trustee, the principal office of the
Indenture Trustee at which at any particular time its corporate trust business
shall be administered which office at date of the execution of the Indenture is
located at [_____], Attention: Administrator, or at

                                        6

<PAGE>

such other address as the Indenture Trustee may designate from time to time by
notice to the Noteholders, the Administrator, the Servicer and the Issuer, or
the principal corporate trust office of any successor Indenture Trustee (the
address of which the successor Indenture Trustee will notify the Noteholders,
the Administrator, the Servicer and the Owner Trustee); and

     (t) as used with respect to Owner Trustee, the corporate trust office of
the Owner, Trustee, [_____] or at such other address as the Owner Trustee may
designate by notice to the Certificateholder and the Seller, or the principal
corporate trust office of any successor Owner Trustee (the address of which the
successor Owner Trustee will notify the Certificateholder and the Seller).

     "Customary Servicing Practices" means the customary servicing practices of
the Servicer or any Sub-Servicer with respect to all comparable motor vehicle
receivables that the Servicer or such Sub-Servicer, as applicable, services for
itself and others, as such practices may be changed from time to time, it being
understood that the Servicer and the Sub-Servicers may not have the same
"Customary Servicing Practices".

     "Cut-Off Date" means[_____].

     "Dealer" means a motor vehicle dealership.

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

     "Defaulted Receivable" means, with respect to any Collection Period and any
Receivable, the earlier of (a) the date on which any payment is past due 90 or
more days or (b) the date on which the related Financed Vehicle has been
repossessed whichever occurs first. The Outstanding Principal Balance of any
Receivable that becomes a "Defaulted Receivable" will be deemed to be zero as of
the date it becomes a "Defaulted Receivable".

     "Definitive Note" means a definitive fully registered Note issued pursuant
to Section 2.12 of the Indenture.

     "Delivery" when used with respect to Trust Account Property means:

     (a) with respect to (I) bankers' acceptances, commercial paper, negotiable
certificates of deposit and other obligations that constitute "instruments" as
defined in Section 9-102(47) of the UCC and are susceptible of physical
delivery, transfer of actual possession thereof to the Indenture Trustee or its
nominee or custodian by physical delivery to the Indenture Trustee or its
nominee or custodian endorsed to, or registered in the name of, the Indenture
Trustee or its nominee or custodian or endorsed in blank, and (II) with respect
to a "certificated security" (as defined in Section 8-102(a)(4) of the UCC)
transfer of actual possession thereof (i) by physical delivery of such
certificated security to the Indenture Trustee or its nominee or custodian
endorsed to, or registered in the name of, the Indenture Trustee or its nominee
or custodian or endorsed in blank, or to another person, other than a
"securities intermediary" (as defined in Section 8-102(a)(14) of the UCC), who
acquires possession of the certificated security on behalf of the Indenture
Trustee or its nominee or custodian or, having previously acquired possession of
the certificate, acknowledges that it holds for the Indenture Trustee or its
nominee or custodian

                                        7

<PAGE>

or (ii) by delivery thereof to a "securities intermediary", endorsed to or
registered in the name of the Indenture Trustee or its nominee or custodian, or
endorsed in blank, and the making by such "securities intermediary" of entries
on its books and records identifying such certificated securities as belonging
to the Indenture Trustee or its nominee or custodian and the sending by such
"securities intermediary" of a confirmation of the purchase of such certificated
security by the Indenture Trustee or its nominee or custodian (all of the
foregoing, "Physical Property"), and, in any event, any such Physical Property
in registered form shall be in the name of the Indenture Trustee or its nominee
or custodian; and such additional or alternative procedures as may hereafter
become appropriate to effect the complete transfer of ownership of any such
Trust Account Property to the Indenture Trustee or its nominee or custodian,
consistent with changes in applicable law or regulations or the interpretation
thereof;

     (b) with respect to any securities issued by the U.S. Treasury, the Federal
Home Loan Mortgage Corporation, the Federal National Mortgage Association or the
other government agencies, instrumentalities and establishments of the United
States identified in Appendix A to Federal Reserve Bank Operating Circular No. 7
as in effect from time to time that is a "book-entry security" (as such term is
defined in Federal Reserve Bank Operating Circular No. 7) held in a securities
account and eligible for transfer through the Fedwire(R) Securities Service
operated by the Federal Reserve System pursuant to Federal book-entry
regulations, the following procedures, all in accordance with applicable law,
including applicable Federal regulations and Articles 8 and 9 of the UCC:
book-entry registration of such Trust Account Property to an appropriate
securities account maintained with a Federal Reserve Bank by a "participant" (as
such term is defined in Federal Reserve Bank Operating Circular No. 7) that is a
"depository institution" (as defined in Section 19(B)(1)(A) of the Federal
Reserve Act) pursuant to applicable Federal regulations, and issuance by such
depository institution of a deposit advice or other written confirmation of such
book-entry registration to the Indenture Trustee or its nominee or custodian of
the purchase by the Indenture Trustee or its nominee or custodian of such
book-entry securities; the making by such depository institution of entries in
its books and records identifying such book entry security held through the
Federal Reserve System pursuant to Federal book-entry regulations or a security
entitlement thereto as belonging to the Indenture Trustee or its nominee or
custodian and indicating that such depository institution holds such Trust
Account Property solely as agent for the Indenture Trustee or its nominee or
custodian; and such additional or alternative procedures as may hereafter become
appropriate to effect complete transfer of ownership of any such Trust Account
Property to the Indenture Trustee or its nominee or custodian, consistent with
changes in applicable law or regulations or the interpretation thereof; and

     (c) with respect to any item of Trust Account Property that is an
uncertificated security (as defined in Section 8-102(a)(18) of the UCC) and that
is not governed by clause (b) above, (i) registration on the books and records
of the issuer thereof in the name of the Indenture Trustee or its nominee or
custodian, or (ii) registration on the books and records of the issuer thereof
in the name of another person, other than a securities intermediary, who
acknowledges that it holds such uncertificated security for the benefit of the
Indenture Trustee or its nominee or custodian.

     "Depositor" means the Seller in its capacity as Depositor under the Trust
Agreement.

                                        8

<PAGE>

     "Determination Date" means the second Business Day preceding the related
Payment Date, beginning [_____];

     "Dollar" and "$" mean lawful currency of the United States of America.

     "DTC" means The Depository Trust Company, and its successors.

     "Eligible Account" means either (a) a segregated account with an Eligible
Institution or (b) a segregated trust account with the corporate trust
department of a depository institution acting in its fiduciary capacity
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 the long-term unsecured debt of such depository
institution shall have a credit rating from each Rating Agency in one of its
generic rating categories which signifies investment grade. Any such trust
account may be maintained with the Owner Trustee, the Indenture Trustee or any
of their respective Affiliates, if such accounts meet the requirements described
in clause (b) of the preceding sentence.

     "Eligible Institution" means a depository institution or trust company
(which may be the Owner Trustee, the Indenture Trustee or any of their
respective Affiliates) 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) (a) which at all times has either (A) a long-term
senior unsecured debt rating of "Aa2" or better by Moody's and "AA-" or better
by Standard & Poor's or such other rating that is acceptable to each Rating
Agency, as evidenced by a letter from such Rating Agency to the Issuer or the
Indenture Trustee, (B) a certificate of deposit rating of "P-1" by Moody's and
"A-1+" by Standard & Poor's or (C) such other rating that is acceptable to each
Rating Agency, as evidenced by a letter from such Rating Agency to the Issuer or
the Indenture Trustee and (b) whose deposits are insured by the Federal Deposit
Insurance Corporation.

     "Eligible Receivable" means a Receivable meeting all of the criteria set
forth on Schedule I of each of the Purchase Agreement and the Sale and Servicing
Agreement as of the Closing Date.

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

     "Event of Default" has the meaning set forth in Section 5.1 of the
Indenture.

     "Exchange Act" means the Securities Exchange Act of 1934, as amended.

     "Final Scheduled Payment Date" means, with respect to (i) the Class A-1
Notes, the Class A-1 Final Scheduled Payment Date, (ii) the Class A-2 Notes, the
Class A-2 Final Scheduled Payment Date, (iii) the Class A-3 Notes, the Class A-3
Final Scheduled Payment Date and (iv) the Class A-4 Notes, the Class A-4 Final
Scheduled Payment Date.

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

                                        9

<PAGE>

     "GAAP" means generally accepted accounting principles in the USA, applied
on a materially consistent basis.

     "Governmental Authority" means any (a) Federal, state, municipal, foreign
or other governmental entity, board, bureau, agency or instrumentality, (b)
administrative or regulatory authority (including any central bank or similar
authority) or (c) court or judicial authority.

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

     "Holder" means, as the context may require, the Certificateholder or a
Noteholder or both.

     "Indenture" means the Indenture, dated as of the Closing Date, between the
Issuer and Indenture Trustee, as the same may be amended and supplemented from
time to time.

     "Indenture Trustee" means [_____], a [national banking association], not in
its individual capacity but as indenture trustee under the Indenture, or any
successor trustee under the Indenture.

     "Independent" means, when used with respect to any specified Person, that
such Person (i) is in fact independent of the Issuer, any other obligor upon the
Notes, the Administrator and any Affiliate of any of the foregoing Persons, (ii)
does not have any direct financial interest or any material indirect financial
interest in the Issuer, any such other obligor, the Administrator or any
Affiliate of any of the foregoing Persons and (iii) is not connected with the
Issuer, any such other obligor, the Administrator or any Affiliate of any of the
foregoing Persons as an officer, employee, promoter, underwriter, trustee,
partner, director or Person performing similar functions.

     "Independent Certificate" means a certificate or opinion to be delivered to
the Indenture Trustee under the circumstances described in, and otherwise
complying with, the applicable requirements of Section 11.1 of the Indenture,
made by an independent appraiser or other expert appointed by an Issuer Order,
and such opinion or certificate shall state that the signer has read the
definition of "Independent" in this Appendix A and that the signer is
Independent within the meaning thereof.

     "Initial Certificate Balance" means $[_____].

     "Initial Class A-1 Note Balance" means $[_____].

                                       10

<PAGE>

     "Initial Class A-2 Note Balance" means $[_____].

     "Initial Class A-3 Note Balance" means $[_____].

     "Initial Class A-4 Note Balance" means $[_____].

     "Initial Note Balance" means, for any Class, the Initial Class A-1 Note
Balance, the Initial Class A-2 Note Balance, the Initial Class A-3 Note Balance
or the Initial Class A-4 Note Balance, as applicable, or with respect to the
Notes generally, the sum of the foregoing.

     "Initial Reserve Account Deposit Amount" means an amount equal to $[_____].

     "Insurance Policy" means (i) any theft and physical damage insurance policy
maintained by the Obligor under a Receivable, providing coverage against loss or
damage to or theft of the related Financed Vehicle, and (ii) any credit life or
credit disability insurance maintained by an Obligor in connection with any
Receivable.

     "Interest Period" means, with respect to any Payment Date, from and
including the Closing Date (in the case of the first Payment Date) or from and
including the most recent Payment Date to but excluding that Payment Date.

     "Interest Rate" means (a) with respect to the Class A-1 Notes, the Class
A-1 Interest Rate, (b) with respect to the Class A-2 Notes, the Class A-2
Interest Rate, (c) with respect to the Class A-3 Notes, the Class A-3 Interest
Rate or (d) with respect to the Class A-4 Notes, the Class A-4 Interest Rate.

     "Internal Revenue Code" means the Internal Revenue Code of 1986, as amended
from time to time, and any successor thereto, and the regulations promulgated
and the rulings issued thereunder.

     "Issuer" means Volkswagen Auto Loan Enhanced Trust 20[_____]-[_____], a
Delaware statutory trust established pursuant to the Trust Agreement and the
filing of the Certificate of Trust, until a successor replaces it and,
thereafter, means such successor.

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

     "Lien" means, for any asset or property of a Person, a lien, security
interest, mortgage, pledge or encumbrance in, of or on such asset or property in
favor of any other Person, except any Permitted Lien.

     "Liquidation Proceeds" means, with respect to any Receivable, (a) insurance
proceeds received by the Servicer with respect to the Insurance Policies, (b)
amounts received by the Servicer in connection with such Receivable pursuant to
the exercise of rights under such Receivable and (c) the monies collected by the
Servicer (from whatever source, including proceeds of a sale of a Financed
Vehicle, a deficiency balance recovered from the Obligor after the charge-off of
such Receivable or as a result of any recourse against the related Dealer, if
any)

                                       11

<PAGE>

on such Receivable, in the case of each of the foregoing clauses (a) through
(c), net of any expenses (including, without limitation, any auction, painting,
repair or refurbishment expenses in respect of the related Financed Vehicle)
incurred by the Servicer in connection therewith and any payments required by
law to be remitted to the Obligor; provided, however, that the Repurchase Price
for any Receivable shall not constitute "Liquidation Proceeds".

     "Monthly Remittance Condition" has the meaning set forth in Section 4.2 of
the Sale and Servicing Agreement.

     "Moody's" means Moody's Investors Service, Inc., or any successor that is a
nationally recognized statistical rating organization.

     "Net Pool Balance" means, as of any date, the aggregate Outstanding
Principal Balance of all Receivables (other than Defaulted Receivables) of the
Issuer on such date.

     "Note" means a Class A-1 Note, Class A-2 Note, Class A-3 Note or Class A-4
Note, in each case substantially in the form of Exhibit A to the Indenture.

     "Note Balance" means, with respect to any date of determination, for any
Class, the Class A-1 Note Balance, the Class A-2 Note Balance, the Class A-3
Note Balance or the Class A-4 Note Balance, as applicable, or with respect to
the Notes generally, the sum of all of the foregoing.

     "Note Depository Agreement" means the agreement, dated as of the Closing
Date, between the Issuer and DTC, as the initial Clearing Agency relating to the
Notes, as the same may be amended or supplemented from time to time.

     "Note Factor" means, with respect to the Notes or any Class of Notes on any
Payment Date, a six-digit decimal figure equal to the Note Balance of the Notes
or such Class of Notes, as applicable, as of the end of the preceding Collection
Period divided by the Note Balance of the Notes or such Class of Notes, as
applicable, as of the Closing Date. The Note Factor will be 1.000000 as of the
Closing Date; thereafter, the Note Factor will decline to reflect reductions in
the Note Balance of the Notes or such Class of Notes, as applicable.

     "Noteholder" means, as the context requires, all of the Class A-1
Noteholders, the Class A-2 Noteholders, the Class A-3 Noteholders and the Class
A-4 Noteholders, or any of the Class A-1 Noteholders, the Class A-2 Noteholders,
the Class A-3 Noteholders or the Class A-4 Noteholders.

     "Noteholders' Interest Carryover Shortfall" means, with respect to any
Payment Date, the excess of the Noteholders' Monthly Accrued Interest for the
preceding Payment Date and any outstanding Noteholders' Interest Carryover
Shortfall on such preceding Payment Date, over the amount in respect of interest
that is actually paid to Noteholders on such preceding Payment Date, plus
interest on the amount of interest due but not paid to Noteholders on the
preceding Payment Date, to the extent permitted by law, at the respective
Interest Rates borne by such Notes for the related Interest Period.

                                       12
<PAGE>

     "Noteholders' Monthly Accrued Interest" means, with respect to any Payment
Date, the aggregate interest accrued for the related Interest Period on the
Class A-1 Notes, the Class A-2 Notes, the Class A-3 Notes and the Class A-4
Notes at the respective Interest Rate for such Class on the Note Balance of the
Notes of each such Class on the immediately preceding Payment Date or the
Closing Date, as the case may be, after giving effect to all payments of
principal to the Noteholders of the Notes of such Class on or prior to such
preceding Payment Date.

     "Noteholders' Percentage " means 100% until the Notes are paid in full.

     "Noteholders' Principal Distribution Amount" means, an amount equal to
Noteholders' Percentage of the Principal Distribution Amount; provided, however,
that (a) the Noteholders' Principal Distribution Amount on the Class A-1 Final
Scheduled Payment Date shall not be less than the amount that is necessary to
reduce the outstanding principal amount of the Class A-1 Notes to zero; (b) the
Noteholders' Principal Distribution Amount on the Class A-2 Final Scheduled
Payment Date shall not be less than the amount that is necessary to reduce the
outstanding principal amount of the Class A-2 Notes to zero; (c) the
Noteholders' Principal Distribution Amount on the Class A-3 Final Scheduled
Payment Date shall not be less than the amount that is necessary to reduce the
outstanding principal amount of the Class A-3 Notes to zero; and (d) the
Noteholders' Principal Distribution Amount on the Class A-4 Final Scheduled
Payment Date shall not be less than the amount that is necessary to reduce the
outstanding principal amount of the Class A-4 Notes to zero.

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

     "Note Register" and "Note Registrar" have the respective meanings set forth
in Section 2.4 of the Indenture.

     "Noteholder" means, as of any date, the Person in whose name a Note is
registered on the Note Register on such date.

     "Obligor" means, for any Receivable, each Person obligated to pay such
Receivable.

     "Officer's Certificate" means (i) with respect to the Issuer, a certificate
signed by any Authorized Officer of the Issuer and (ii) with respect to the
Seller or the Servicer, a certificate signed by the chairman of the board, the
president, any executive vice president, any vice president, the treasurer, any
assistant treasurer or the controller of the Seller or the Servicer, as
applicable.

     "Opinion of Counsel" means one or more written opinions of counsel who may,
except as otherwise expressly provided in the Indenture or any other applicable
Transaction Document, be employees of or counsel to the Issuer, the Servicer,
the Seller or the Administrator, and which opinion or opinions comply with any
applicable requirements of the Transaction Documents and are in form and
substance reasonably satisfactory to the recipient(s). Opinions of Counsel need

                                       13

<PAGE>

address matters of law only and may be based upon stated assumptions as to
relevant matters of fact.

     "Optional Purchase" has the meaning set forth in Section 8.1 of the Sale
and Servicing Agreement.

     "Optional Purchase Price" has the meaning set forth in Section 8.1 of the
Sale and Servicing Agreement.

     "Originator" means, with respect to any Receivable, either VCI or VW Bank,
and "Originators" means, together, VCI and VW Bank.

     "Other Assets" means any assets (or interests therein) (other than the
Trust Estate) conveyed or purported to be conveyed by the Seller to another
Person or Persons other than the Issuer, whether by way of a sale, capital
contribution or by virtue of the granting of a lien.

     "Outstanding" means, as of any date, all Notes (or all Notes of an
applicable Class) theretofore authenticated and delivered under the Indenture
except:

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

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

     (iii) Notes (or Notes of an applicable Class) in exchange for or in lieu of
other Notes (or Notes of such Class) that have been authenticated and delivered
pursuant to the Indenture unless proof satisfactory to the Indenture Trustee is
presented that any such Notes are held by a bona fide purchaser; provided that
in determining whether Noteholders holding the requisite aggregate principal
amount of Outstanding Notes have given any request, demand, authorization,
direction, notice, consent or waiver hereunder or under any Transaction
Document, Notes owned by the Issuer, the Seller, the Servicer, the Administrator
or any of their respective Affiliates shall be disregarded and deemed not to be
Outstanding unless all of the Notes are then owned by the Issuer, the Seller,
the Servicer, the Administrator or any of the their respective Affiliates,
except that, in determining whether the Indenture Trustee shall be protected in
relying upon any such request, demand, authorization, direction, notice,
consent, vote or waiver, only Notes that a Responsible Officer of the Indenture
Trustee knows to be so owned shall be so disregarded. Notes so owned that have
been pledged in good faith may be regarded as Outstanding if the pledgee thereof
establishes to the satisfaction of the Indenture Trustee such pledgee's right so
to act with respect to such Notes and that such pledgee is not the Issuer, the
Seller, the Servicer, the Administrator or any of their respective Affiliates.

     "Outstanding Principal Balance" means, with respect to any Receivable as of
any date, the outstanding principal balance of such Receivable calculated in
accordance with the Customary Servicing Practices.

                                       14

<PAGE>

     "Owner Trustee" means [_____], a [Delaware banking corporation], not in its
individual capacity but solely as owner trustee under the Trust Agreement, and
any successor Owner Trustee thereunder.

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

     "Payment Date" means the 20th day of each calendar month beginning [_____];
provided, however, whenever a Payment Date would otherwise be a day that is not
a Business Day, the Payment Date shall be the next Business Day. As used herein,
the "related" Payment Date with respect to a Collection Period shall be deemed
to be the Payment Date which follows such Collection Period.

     "Payment Default" has the meaning set forth in Section 5.4(a) of the
Indenture.

     "Permitted Investments" means (a) evidences of indebtedness, maturing
within thirty (30) days after the date of loan thereof, issued by, or guaranteed
by the full faith and credit of, the federal government of the USA, (b)
repurchase agreements with banking institutions or broker-dealers registered
under the Exchange Act which are fully secured by obligations of the kind
specified in clause (a), (c) money market funds (i) rated not lower than the
highest rating category from Moody's and "AAA m" or "AAAm-g" from Standard &
Poor's or (ii) which are otherwise acceptable to each Rating Agency, as
evidenced by a letter from such Rating Agency to the Issuer or the Indenture
Trustee, (d) commercial paper (including commercial paper of any Affiliate of
the Seller, the Servicer, the Indenture Trustee or the Owner Trustee) rated, at
the time of the investment or contractual commitment to invest therein, at least
"A-1+" (or the equivalent) by Standard & Poor's and at least "P-1" (or the
equivalent) by Moody's or (e) such other investments acceptable to each Rating
Agency, as evidenced by a letter from such Rating Agency to the Issuer or the
Indenture Trustee.

     "Permitted Liens" means (a) the interest of the parties under the
Transaction Documents, (b) any liens for taxes not due and payable or the amount
of which is being contested in good faith by appropriate proceedings and (c) any
liens of mechanics, suppliers, vendors, materialmen, laborers, employees,
repairmen and other like liens securing obligations which are not due and
payable or the amount or validity of which is being contested in good faith by
appropriate proceedings.

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

     "Physical Property" has the meaning specified in the definition of
"Delivery" above.

     "Predecessor Note" means, with respect to any particular Note, every
previous Note evidencing all or a portion of the same debt as that evidenced by
such particular Note; provided, however, for the purpose of this definition, any
Note authenticated and delivered under

                                       15

<PAGE>

Section 2.5 of the Indenture in lieu of a mutilated, destroyed, lost or stolen
Note shall be deemed to evidence the same debt as the mutilated, destroyed, lost
or stolen Note.

     "Principal Distribution Account" means the account by that name established
and maintained pursuant to Section 4.1 of the Sale and Servicing Agreement.

     "Principal Distribution Amount" will mean, for any Payment Date, an amount
equal to the excess, if any, of (a) the Adjusted Pool Balance as of the end of
the Collection Period preceding the related Collection Period, or as of the
Cut-Off Date, in the case of the first Collection Period, over (b) the Adjusted
Pool Balance as of the end of the related Collection Period, together with any
portion of the Principal Distribution Amount that was to be distributed as such
on any prior Payment Date but was not because sufficient funds were not
available to make such distribution; provided, that if the Servicer specifies in
the Servicer's Certificate that amounts on deposit in the Reserve Account will
be included in the Reserve Account Draw Amount on any Payment Date in accordance
with the provisions set forth in the second sentence of the definition of
Reserve Account Draw Amount, then, the Principal Distribution Amount for such
Payment Date will mean an amount equal to the aggregate unpaid Note Balance of
all of the outstanding classes of Notes.

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

     "Purchase Agreement" means the Purchase Agreement dated as of the Closing
Date between VCI and the Seller, as amended, modified or supplemented from time
to time.

     "Purchased Assets" has the meaning set forth in Section 2.1 of the Purchase
Agreement.

     "Rating Agency" means either or each of Moody's and Standard & Poor's, as
indicated by the context.

     "Rating Agency Condition" means, with respect to any event or circumstance
and each Rating Agency, either (a) written confirmation by such Rating Agency
that the occurrence of such event or circumstance will not cause it to
downgrade, qualify or withdraw its rating assigned to any of the Notes or (b)
that such Rating Agency shall have been given notice of such event or
circumstance at least ten days prior to the occurrence of such event or
circumstance (or, if ten days' advance notice is impracticable, as much advance
notice as is practicable) and such Rating Agency shall not have issued any
written notice that the occurrence of such event or circumstance will cause it
to downgrade, qualify or withdraw its rating assigned to the Notes.

     "Receivable" means any retail motor vehicle installment sales contract or
installment loan with respect to a new or used automobile or light-duty truck
which shall appear on the Schedule of Receivables and all Related Security in
connection therewith which has not been released from the lien of the Indenture.

     "Receivable Files" is defined in Section 2.4(a) of the Sale and Servicing
Agreement.

     "Record Date" means, unless otherwise specified in any Transaction
Document, with respect to any Payment Date or Redemption Date, (i) for any
Definitive Notes and for the

                                       16

<PAGE>

Certificates, the close of business on the last Business Day of the calendar
month immediately preceding the calendar month in which such Payment Date or
Redemption Date occurs and (ii) for any Book-Entry Notes, the close of business
on the Business Day immediately preceding such Payment Date or Redemption Date.

     "Records" means, for any Receivable, all contracts, books, records and
other documents or information (including computer programs, tapes, disks,
software and related property and rights, to the extent legally transferable)
relating to such Receivable or the related Obligor.

     "Redemption Date" means, in the case of a redemption of the Notes pursuant
to Section 10.1 of the Indenture, the Payment Date specified by the
Administrator or the Issuer pursuant to Section 10.1 of the Indenture.

     "Redemption Price" means an amount equal to the unpaid principal amount of
the Notes redeemed plus accrued and unpaid interest thereon at the applicable
Interest Rate for the Notes being so redeemed, up to but excluding the
Redemption Date.

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

     "Regulation AB" means Subpart 229.1100 - Asset Backed Securities
(Regulation AB), 17 C.F.R. Sections 229.110-229.1123, as such regulation 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 in
writing by the Commission or its staff from time to time.

     "Related Security" means, for any Receivable, (i) the security interest in
the related Financed Vehicle, (ii) any proceeds from claims on any Insurance
Policy (if such Receivable became a Defaulted Receivable after the Cut-Off
Date), (iii) any other property securing the Receivables, (iv) all rights of the
applicable Originator against the related Dealer and (v) all proceeds of the
foregoing.

     "Repurchase Price" means, with respect to any Repurchased Receivable, a
price equal to the Outstanding Principal Balance of such Receivable plus any
unpaid accrued interest related to such Receivable accrued to and including the
end of the Collection Period preceding the date that such Repurchased Receivable
was purchased by VCI, the Servicer or the Seller, as applicable.

     "Repurchased Receivable" means a Receivable purchased by VCI pursuant to
Section 3.3 of the Purchase Agreement, by the Servicer pursuant to Section 3.6
of the Sale and Servicing Agreement or by the Seller pursuant to Section 2.3 of
the Sale and Servicing Agreement.

     "Reserve Account" means the account designated as such, established and
maintained pursuant to Section 4.1 of the Sale and Servicing Agreement.

     "Reserve Account Draw Amount" means, for any Payment Date, the amount
withdrawn from the Reserve Account, equal to the lesser of (a) the Available
Funds Shortfall Amount, if any, or (b) the amount on deposit in the Reserve
Account on such Payment Date. In addition, if

                                       17

<PAGE>

the sum of the amounts in the Reserve Account and the remaining Available Funds
after the payments under clauses first through fourth of Section 4.4(a) of the
Sale and Servicing Agreement would be sufficient to pay in full the aggregate
unpaid Note Balance of all of the outstanding Classes of Notes, then the Reserve
Account Draw Amount will, if so specified by the Servicer in the Servicer's
Certificate, include such additional amount as may be necessary to pay all
Outstanding Notes in full.

     "Reserve Account Excess Amount" means, with respect to any Payment Date,
means an amount equal to the excess, if any, of (a) the amount of cash or other
immediately available funds in the Reserve Account on that Payment Date, after
giving effect to all deposits to and withdrawals from the Reserve Account
relating to that Payment Date, over (b) the Specified Reserve Account Balance
with respect to that Payment Date.

     "Responsible Officer" means, (a) with respect to the Indenture Trustee, any
officer within the corporate trust department of the Indenture Trustee,
including any vice president, assistant vice president, assistant secretary,
assistant treasurer, trust officer or any other officer of the Indenture Trustee
who customarily performs functions similar to those performed by the persons who
at the time shall be such officers, respectively, or to whom any corporate trust
matter is referred because of such person's knowledge of and familiarity with
the particular subject and who, in each case, shall have direct responsibility
for the administration of the Indenture, (b) with respect to the Owner Trustee,
any officer within the Corporate Trust Office of the Owner Trustee and having
direct responsibility for the administration of the Issuer, including any
Managing Director, Director, Vice President, Assistant Vice President, Assistant
Treasurer, Assistant Secretary or Associate, or any other officer customarily
performing functions similar to those performed by any of the above designated
officers and also, with respect to a particular matter, any other officer to
whom such matter is referred because of such officer's knowledge of and
familiarity with the particular subject and (c) with respect to the Servicer or
Seller, any officer of such Person having direct responsibility for the
transactions contemplated by the Transaction Documents, including the President,
Treasurer or Secretary or any Vice President, Controller, Assistant Vice
President, Assistant Treasurer, Assistant Secretary, or any other officer
customarily performing functions similar to those performed by any of the above
designated officers and also, with respect to a particular matter, any other
officer to whom such matter is referred because of such officer's knowledge of
and familiarity with the particular subject.

     "Sale and Servicing Agreement" means the Sale and Servicing Agreement,
dated as of the Closing Date, among the Seller, the Issuer, the Servicer and the
Indenture Trustee, as the same may be amended, modified or supplemented from
time to time.

     "Sarbanes Certification" has the meaning sete forth in Section 9.22(b) of
the Sale and Servicing Agreement.

     "Sarbanes-Oxley Act" means the Sarbanes-Oxley Act of 2002, as amended,
modified or supplemented from time to time, and any successor law thereto.

     "Schedule of Receivables" means the schedule of Receivables transferred to
the Issuer on the Closing Date.

                                       18

<PAGE>

     "Securities Act" means the Securities Act of 1933, as amended.

     "Seller" means Volkswagen Auto Lease Underwritten Funding, LLC, a Delaware
limited liability company.

     "Servicer" means VCI, initially, and any replacement Servicer appointed
pursuant to the Sale and Servicing Agreement.

     "Servicer Replacement Event" means any one or more of the following that
shall have occurred and be continuing:

     (a) any failure by the Servicer to deliver or cause to be delivered any
required payment to the Indenture Trustee for distribution to the Noteholders,
which failure continues unremedied for ten business days after discovery thereof
by a Responsible Officer of the Servicer or receipt by the Servicer of written
notice thereof from the Indenture Trustee or Noteholders evidencing a majority
of the aggregate principal amount of the Outstanding Notes, voting together as a
single Class;

     (b) any failure by the Servicer to duly observe or perform in any material
respect any other of its covenants or agreements in the Sale and Servicing
Agreement, which failure materially and adversely affects the rights of the
Issuer or the Noteholders, and which continues unremedied for 90 days after
discovery thereof by a Responsible Officer of the Servicer or receipt by the
Servicer of written notice thereof from the Indenture Trustee or Noteholders
evidencing a majority of the aggregate principal amount of the Outstanding
Notes, voting together as a single Class;

     (c) any representation or warranty of the Servicer made in any Transaction
Document to which the Servicer is a party or by which it is bound or any
certificate delivered pursuant to the Sale and Servicing Agreement proves to
have been incorrect in any material respect when made, which failure materially
and adversely affects the rights of the Issuer or the Noteholders, and which
failure continues unremedied for 90 days after discovery thereof by a
Responsible Officer of the Servicer or receipt by the Servicer of written notice
thereof from the Indenture Trustee or Noteholders evidencing a majority of the
aggregate principal amount of the Outstanding Notes, voting together as a single
Class (it being understood that any repurchase of a Receivable by VCI pursuant
to Section 3.3 of the Purchase Agreement, by the Seller pursuant to Section 2.3
of the Sale and Servicing Agreement or by the Servicer pursuant to Section 3.6
of the Sale and Servicing Agreement shall be deemed to remedy any incorrect
representation or warranty with respect to such Receivable); or

     (d) the Servicer suffers a Bankruptcy Event;

provided, however, that a delay or failure of performance referred to under
clauses (a), (b) or (c) above for a period of 120 days will not constitute a
Servicer Replacement Event if such delay or failure was caused by force majeure
or other similar occurrence.

     "Servicer's Certificate" means the certificate delivered pursuant to
Section 3.8 of the Sale and Servicing Agreement.

                                       19

<PAGE>

     "Servicing Criteria" shall mean the "servicing criteria" set forth in Item
1122(d) of Regulation AB.

     "Servicing Fee" means, for any Payment Date, the product of (A) one-twelfth
(or, in the case of the first Payment Date, a fraction, the numerator of which
is the number of days from but not including the Cut-Off Date to and including
the last day of the first Collection Period and the denominator of which is
360), (B) the Servicing Fee Rate and (C) the Net Pool Balance as of the first
day of the related Collection Period (or, in the case of the first Payment Date,
as of the Cut-Off Date). The Servicing Fee for the first Payment Date shall be
$[_____].

     "Servicing Fee Rate" means 1.00% per annum.

     "Simple Interest Method" means the method of calculating interest due on a
motor vehicle receivable on a daily basis based on the actual outstanding
principal balance of the receivable on that date.

     "Simple Interest Receivable" means any motor vehicle receivable pursuant to
which the payments due from the Obligors during any month are allocated between
interest, principal and other charges based on the actual date on which a
payment is received and for which interest is calculated using the Simple
Interest Method.

     "Specified Reserve Account Balance" means, for any Payment Date, the lesser
of $9,469,474.91 and the aggregate outstanding principal balance of the Notes
after giving effect to all payments of principal on such Payment Date.

     "Standard & Poor's" means Standard & Poor's Ratings Services, a division of
The McGraw-Hill Companies, Inc., or any successor that is a nationally
recognized statistical rating organization.

     "Statutory Trust Statute" means Chapter 38 of Title 12 of the Delaware
Code, 12 Del. Code Section 3801 et seq.

     "Sub-Servicer" means any Affiliate of the Servicer or any sub-contractor to
whom any or all duties of the Servicer (including, without limitation, its
duties as custodian) under the Transaction Documents have been delegated in
accordance with Section 6.5 of the Sale and Servicing Agreement.

     "Supplemental Servicing Fees" means any and all (i) late fees, (ii)
extension fees, (iii) non-sufficient funds charges and (iv) any and all other
administrative fees or similar charges allowed by applicable law with respect to
any Receivable.

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

     "Transaction Documents" means the Indenture, the Notes, the Note Depository
Agreement, the Sale and Servicing Agreement, the Purchase Agreement, the
Administration Agreement and the Trust Agreement, as the same may be amended or
modified from time to time.

                                       20

<PAGE>

     "Transferred Assets" means (a) the Purchased Assets, (b) all of the
Seller's rights under the Purchase Agreement and (c) all proceeds of the
foregoing.

     "Trust Accounts" has the meaning set forth in Section 4.1 of the Sale and
Servicing Agreement.

     "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 Agreement" means the Trust Agreement, dated as of[_____], as amended
and restated by the Amended and Restated Trust Agreement, dated as of the
Closing Date, between the Seller and the Owner Trustee, as the same may be
amended and supplemented from time to time.

     "Trust Estate" means all money, accounts, chattel paper, general
intangibles, goods, instruments, investment property and other property of the
Issuer, including without limitation (i) the Receivables acquired by the Issuer
under the Sale and Servicing Agreement and the Related Security relating
thereto, (ii) the security interests in the Financed Vehicles, (iii) any
proceeds from claims on any Insurance Policy or refunds in connection with
extended service agreements relating to Receivables which became Defaulted
Receivables after the Cut-Off Date, (iv) any other property securing the
Receivables, (v) the rights of the applicable Originator under agreements with
Dealers relating to Receivables, (vi) the rights of the Issuer to the funds on
deposit from time to time in the Trust Accounts and any other account or
accounts established pursuant to the Indenture or Sale and Servicing Agreement
and all cash, investment property and other property from time to time credited
thereto and all proceeds thereof (including investment earnings, net of losses
and investment expenses, on amounts on deposit therein), (vii) the rights of the
Seller, as buyer, under the Purchase Agreement, (viii) the rights of the Seller
under the Sale and Servicing Agreement and (ix) all proceeds of the foregoing.

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

     "United States" or "USA" means the United States of America (including all
states, the District of Columbia and political subdivisions thereof).

     "VCI" means VW Credit, Inc., a Delaware corporation, and its successors and
assigns.

     "VW Bank" means Volkswagen Bank USA, a Utah industrial loan company, and
its successors and assigns.

     "Yield Supplement Overcollateralization Amount" means, with respect to any
Payment Date, the dollar amount set forth next to such Payment Date on Schedule
X hereto.

     The foregoing definitions shall be equally applicable to both the singular
and plural forms of the defined terms. Unless otherwise inconsistent with the
terms of this Agreement, all accounting terms used herein shall be interpreted,
and all accounting determinations hereunder

                                       21

<PAGE>

shall be made, in accordance with GAAP. Amounts to be calculated hereunder shall
be continuously recalculated at the time any information relevant to such
calculation changes.

                                       22

<PAGE>

                                                                      SCHEDULE X

                  YIELD SUPPLEMENT OVERCOLLATERALIZATION AMOUNT

<TABLE>
<CAPTION>
                     YIELD SUPPLEMENT
PAYMENT DATE   OVERCOLLATERALIZATION AMOUNT
------------   ----------------------------
<S>            <C>
Closing Date           $[__________]
</TABLE>

                                       X-1

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