Document:

exv4w2

EXHIBIT 4.2

BAS Securitization LLC

Seller,

Bank of America, National Association

Servicer

and

 

Trustee

on behalf of the Holders

FORM OF POOLING AND SERVICING AGREEMENT

Dated as of _________ ___, 20___

BANC OF AMERICA AUTO SECURITIES TRUST 20[ ]-[ ]

_____% Asset Backed Certificates, Class A

_____% Asset Backed Certificates, Class B

 

 

TABLE OF CONTENTS

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Page
	ARTICLE I DEFINITIONS	 	 	1	 
	 

	 	Section 1.1
	 	Definitions
	 	 	1	 
	 

	 	Section 1.2
	 	Other Interpretative Provisions
	 	 	19	 
	 

	 	Section 1.3
	 	Calculations
	 	 	19	 
	 

	 	Section 1.4
	 	References
	 	 	19	 
	 

	 	Section 1.5
	 	Action by or Consent of Holders
	 	 	19	 
	ARTICLE II THE TRUST PROPERTY	 	 	19	 
	 

	 	Section 2.1
	 	Conveyance of Trust Property
	 	 	19	 
	 

	 	Section 2.2
	 	Representations and Warranties as to Each Receivable
	 	 	20	 
	 

	 	Section 2.3
	 	Representations and Warranties as to the Receivables in the Aggregate
	 	 	22	 
	 

	 	Section 2.4
	 	Repurchase upon Breach
	 	 	23	 
	 

	 	Section 2.5
	 	Custodian of Receivable Files
	 	 	23	 
	ARTICLE III ADMINISTRATION AND SERVICING OF TRUST PROPERTY	 	 	26	 
	 

	 	Section 3.1
	 	Duties of Servicer
	 	 	26	 
	 

	 	Section 3.2
	 	Collection of Receivable Payments
	 	 	27	 
	 

	 	Section 3.3
	 	Realization upon Receivables
	 	 	28	 
	 

	 	Section 3.4
	 	Physical Damage Insurance
	 	 	28	 
	 

	 	Section 3.5
	 	Maintenance of Security Interests in Financed Vehicles
	 	 	28	 
	 

	 	Section 3.6
	 	Covenants of Servicer
	 	 	29	 
	 

	 	Section 3.7
	 	Purchase by Servicer upon Breach
	 	 	29	 
	 

	 	Section 3.8
	 	Servicing Compensation
	 	 	30	 
	 

	 	Section 3.9
	 	Servicer’s Report
	 	 	30	 
	 

	 	Section 3.10
	 	Annual Statement as to Compliance
	 	 	30	 
	 

	 	Section 3.11
	 	Annual Registered Public Accounting Firm Attestation Report
	 	 	31	 
	 

	 	Section 3.12
	 	Access to Certain Documentation and Information Regarding Receivables
	 	 	31	 
	 

	 	Section 3.13
	 	Reports to the Commission
	 	 	32	 
	 

	 	Section 3.14
	 	Reports to the Rating Agency
	 	 	32	 
	 

	 	Section 3.15
	 	Servicer Expenses
	 	 	32	 

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TABLE OF CONTENTS

(continued)

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Page
	ARTICLE IV DISTRIBUTIONS; RESERVE ACCOUNT; STATEMENTS TO HOLDERS	 	 	32	 
	 

	 	Section 4.1
	 	Establishment of Accounts
	 	 	32	 
	 

	 	Section 4.2
	 	Collections
	 	 	33	 
	 

	 	Section 4.3
	 	[RESERVED]
	 	 	34	 
	 

	 	Section 4.4
	 	Additional Deposits; Net Deposits
	 	 	34	 
	 

	 	Section 4.5
	 	Distributions
	 	 	35	 
	 

	 	Section 4.6
	 	Reserve Account
	 	 	37	 
	 

	 	Section 4.7
	 	Statements to Holders
	 	 	38	 
	ARTICLE V THE CERTIFICATES	 	 	40	 
	 

	 	Section 5.1
	 	The Certificates
	 	 	40	 
	 

	 	Section 5.2
	 	Authentication of Certificates
	 	 	40	 
	 

	 	Section 5.3
	 	Registration of Transfer and Exchange of Certificates
	 	 	40	 
	 

	 	Section 5.4
	 	Mutilated, Destroyed, Lost or Stolen Certificates
	 	 	41	 
	 

	 	Section 5.5
	 	Persons Deemed Owners
	 	 	41	 
	 

	 	Section 5.6
	 	Access to List of Holders’ Names and Addresses
	 	 	41	 
	 

	 	Section 5.7
	 	Maintenance of Office or Agency
	 	 	42	 
	 

	 	Section 5.8
	 	Book Entry Certificates
	 	 	42	 
	 

	 	Section 5.9
	 	Notices to Clearing Agency
	 	 	43	 
	 

	 	Section 5.10
	 	Definitive Certificates
	 	 	43	 
	ARTICLE VI SELLER	 	 	44	 
	 

	 	Section 6.1
	 	Representations and Warranties of Seller
	 	 	44	 
	 

	 	Section 6.2
	 	Merger or Consolidation of, or Assumption of the Obligations of, Seller
	 	 	45	 
	 

	 	Section 6.3
	 	Limitation on Liability of Seller and Others
	 	 	46	 
	ARTICLE VII SERVICER	 	 	46	 
	 

	 	Section 7.1
	 	Representations and Warranties of Servicer
	 	 	46	 
	 

	 	Section 7.2
	 	Indemnities of Servicer
	 	 	47	 
	 

	 	Section 7.3
	 	Merger or Consolidation of or Assumption of the Obligations of Servicer
	 	 	48	 
	 

	 	Section 7.4
	 	Limitation on Liability of Servicer and Others
	 	 	49	 

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TABLE OF CONTENTS

(continued)

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Page
	 

	 	Section 7.5
	 	BANA Not To Resign as Servicer
	 	 	49	 
	 

	 	Section 7.6
	 	Servicer May Own Certificates
	 	 	49	 
	 

	 	Section 7.7
	 	Existence
	 	 	50	 
	ARTICLE VIII SERVICING TERMINATION	 	 	50	 
	 

	 	Section 8.1
	 	Servicer Termination Events
	 	 	50	 
	 

	 	Section 8.2
	 	Trustee to Act; Appointment of Successor Servicer
	 	 	52	 
	 

	 	Section 8.3
	 	Effect of Servicing Transfer
	 	 	52	 
	 

	 	Section 8.4
	 	Notification to Holders
	 	 	53	 
	 

	 	Section 8.5
	 	Waiver of Past Servicer Termination Events
	 	 	53	 
	 

	 	Section 8.6
	 	Transfer of Accounts
	 	 	53	 
	ARTICLE IX TRUSTEE	 	 	54	 
	 

	 	Section 9.1
	 	Acceptance by Trustee
	 	 	54	 
	 

	 	Section 9.2
	 	Duties of Trustee
	 	 	54	 
	 

	 	Section 9.3
	 	Trustee’s Certificate
	 	 	55	 
	 

	 	Section 9.4
	 	Trustee’s Assignment of Purchased Receivables
	 	 	55	 
	 

	 	Section 9.5
	 	Certain Matters Affecting Trustee
	 	 	56	 
	 

	 	Section 9.6
	 	Trustee Not Liable for Certificates or Receivables
	 	 	57	 
	 

	 	Section 9.7
	 	Trustee May Own Certificates
	 	 	59	 
	 

	 	Section 9.8
	 	Trustee’s Fees and Expenses
	 	 	59	 
	 

	 	Section 9.9
	 	Eligibility Requirements for Trustee
	 	 	59	 
	 

	 	Section 9.10
	 	Resignation or Removal of Trustee
	 	 	59	 
	 

	 	Section 9.11
	 	Successor Trustee
	 	 	60	 
	 

	 	Section 9.12
	 	Merger or Consolidation of or Assumption of Obligations of Trustee
	 	 	61	 
	 

	 	Section 9.13
	 	Appointment of Co-Trustee or Separate Trustee
	 	 	61	 
	 

	 	Section 9.14
	 	Representations and Warranties of Trustee
	 	 	62	 
	 

	 	Section 9.15
	 	Reports by Trustee
	 	 	63	 
	 

	 	Section 9.16
	 	Tax Returns
	 	 	63	 
	 

	 	Section 9.17
	 	Trustee May Enforce Claims Without Possession of Certificates
	 	 	63	 
	ARTICLE X TERMINATION	 	 	64	 

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TABLE OF CONTENTS

(continued)

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Page
	 

	 	Section 10.1
	 	Termination of the Trust
	 	 	64	 
	 

	 	Section 10.2
	 	Optional Purchase of All Receivables
	 	 	65	 
	ARTICLE XI MISCELLANEOUS PROVISIONS	 	 	65	 
	 

	 	Section 11.1
	 	Amendment
	 	 	65	 
	 

	 	Section 11.2
	 	Protection of Title to Trust Property
	 	 	66	 
	 

	 	Section 11.3
	 	Limitation on Rights of Holders
	 	 	68	 
	 

	 	Section 11.4
	 	Governing Law
	 	 	69	 
	 

	 	Section 11.5
	 	Notices
	 	 	69	 
	 

	 	Section 11.6
	 	Severability of Provisions
	 	 	69	 
	 

	 	Section 11.7
	 	Assignment
	 	 	69	 
	 

	 	Section 11.8
	 	Certificates Nonassessable and Fully Paid
	 	 	69	 
	 

	 	Section 11.9
	 	Intention of Parties
	 	 	70	 
	 

	 	Section 11.10
	 	Counterparts
	 	 	70	 
	 

	 	Section 11.11
	 	Further Assurances
	 	 	70	 
	 

	 	Section 11.12
	 	No Waiver; Cumulative Remedies
	 	 	70	 
	 

	 	Section 11.13
	 	Regulation AB
	 	 	70	 
	 

	 	Section 11.14
	 	Information to Be Provided by Trustee
	 	 	71	 
	 

	 	Section 11.15
	 	Form 8-K Filings
	 	 	72	 
	 

	 	Section 11.16
	 	Indemnification
	 	 	72	 

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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
	EXHIBIT F

	 	FORM OF TRUSTEE’S ANNUAL CERTIFICATION
REGARDING ITEM 1117 AND ITEM 1119 OF
REGULATION AB
	 	F-1

 

 

          POOLING AND SERVICING AGREEMENT dated as of
_________, 20___, between BAS Securitization
LLC, a Delaware limited liability company, as Seller, Bank of America, National Association, a
national banking association (“BANA”), 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 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 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 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 ______,
20___ by and among the Trust, the Administrator and the Indenture Trustee as amended, restated and
otherwise modified from time to time

 

 

          “Administrator” means BANA 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
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.

2

 

          “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, North Carolina 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 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

3

 

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
_________, 20___ 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
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.

4

 

          “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.

          “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
_________, 20___ 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.

5

 

          “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.

          “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, as amended, modified or supplemented
from time to time, and any successor law thereto, 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 _________, 20___ 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.

6

 

          “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 _________,
20___.

          “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 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.

7

 

“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 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

8

 

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 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 _________, 20___.

          “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.

9

 

          “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.

          “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;

10

 

     (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

     (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, as amended.

          “Exchange Act” means the Securities Exchange Act of 1934, as amended.

          “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, Inc., or any successor that is a nationally recognized
statistical rating organization.

          “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

11

 

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 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.

          “Item 1117 Disclosure Item” means with respect to any Person, (a) any legal
proceedings pending against such Person or of which any property of such Person is then subject, or
(b) any governmental proceeding known to be contemplated by governmental authorities against such
Person or of which any property of such Person would be subject, in each case that would be
material to the Certificateholders.

          “Item 1119 Party” means Seller, BANA, Servicer, Trustee, any underwriter of the
Certificates and any other material transaction party identified by Seller or BANA to Trustee in
writing.

          “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).

12

 

          “Moody’s” means Moody’s Investors Service, Inc., or any successor that is a nationally
recognized statistical rating organization.

          “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.

          “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.

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

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

          “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.

13

 

          “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.

          “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 Servicer’s
customary practices.

          “Purchase
Agreement” means each Purchase Agreement dated as of _________, 20___ by
and between the Transferor and 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.

14

 

          “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.

          “Regulation AB” means Subpart 229.1100 — Asset Backed Securities (Regulation AB), 17
C.F.R. §§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.

          “Reportable Event” means any event required to be reported on Form 8-K, and in any
event, the following:

     (A) entry into a material definitive agreement related to the Trust or the
Certificates or an amendment to a Related Agreement, even if Seller is not a party
to such agreement (e.g., a servicing agreement with a servicer contemplated by Item
1108(a)(3) of Regulation AB);

     (B) termination of a Related Agreement (other than by expiration of the
agreement on its stated termination date or as a result of all parties completing
their obligations under such agreement), even if Seller is not a party to such
agreement (e.g., a servicing agreement with a servicer contemplated by Item
1108(a)(3) of Regulation AB);

     (C) with respect to Servicer only, the occurrence of a Servicer Termination
Event;

     (D) the resignation, removal, replacement, or substitution of Trustee; and

     (E) with respect to Trustee only, a required distribution to Holders of the
Certificates is not made as of the required Distribution Date under this Agreement.

          “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.

15

 

          “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., or any successor that is a nationally recognized statistical rating organization.

          “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, as amended.

          “Securities Intermediary” is defined in Section 4.6 of this Agreement.

          “Seller” means BAS Securitization 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 Bank of America, National Association, 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.

16

 

          “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.

          “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 BAS Securitization LLC.

          “Trust” means the trust created by this Agreement, which shall be known as Banc of
America Auto Securities Trust 20[    ]—[    ].

          “Trustee” means
               , a                     , as Trustee under
this Agreement and any
successor Trustee appointed and acting pursuant to this Agreement.

17

 

     “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 Servicer would, in accordance with its customary practices, apply such
amounts to the Principal Balance of the related Receivable;

     (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.

18

 

          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 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.

          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, [North Carolina] 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 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.

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          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
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.

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     (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.

     (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.

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     (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.

     (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

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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 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 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.

          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

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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 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,

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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 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

25

 

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.

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

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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.

          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 3.7 as of the last day of 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.

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     (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
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. The Receivables require that each Financed
Vehicle be insured under a Physical Damage Insurance Policy. Servicer, in accordance with its
customary servicing procedures and underwriting standards shall require that each Obligor shall
have obtained and shall maintain Physical Damage Insurance covering the related Financial Vehicle
as of the execution of the Receivable.

          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,
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

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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 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.
Notwithstanding the foregoing, any such breach or failure with respect to the covenants contained
in Sections 3.5 and 3.6 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

29

 

the purchase of a Receivable hereunder, Servicer shall remit the Purchase Amount of such
Receivable in the manner specified in Section 4.4. 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      
20___
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.

     (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 March 30th of each year, beginning on

30

 

March 30, [      ], 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 March
30th of each year, beginning on [      ], a report regarding 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 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 Registered Public Accounting Firm Attestation Report. On or
before the 90th day following the end of each fiscal year, beginning with the fiscal year ending
December 31, [       ], Servicer shall cause a firm of nationally recognized independent public
accountants (who may also render other services to Servicer, Seller or their respective Affiliates)
to furnish to the Trustee, Servicer, Seller and each Rating Agency each attestation report on
assessments of compliance with the Servicing Criteria with respect to 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 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.

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          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.

     (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.

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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 identification 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.

     (b) Notwithstanding the provisions of subsection (a), if BANA is the
Servicer and (i) [            ] 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) [            ] 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

33

 

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 Servicer. Servicer shall promptly notify Trustee in writing if [
] 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.

          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

34

 

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 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 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;

35

 

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

(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

36

 

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
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

37

 

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 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:

38

 

     (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);

     (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 (h) 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

39

 

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 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

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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
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)

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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 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 Clearing Agency or its

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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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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 Seller’s execution,
delivery or performance of this Agreement or the Related Agreements to which Seller
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 affecting
enforcement of the rights of creditors generally and to equitable limitations on the
availability of specific remedies.

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     (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 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.

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          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
United States of America, 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 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 Servicer’s execution,
delivery or performance of this Agreement, the Related Agreements to which Servicer
is a party or the consummation of the transactions contemplated hereby or thereby,
other than the filing of UCC financing statements.

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     (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.

          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.

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     (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 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 Bank of America Corporation,
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 BANA 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

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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 not 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
Agreements. In such event, the legal expense and costs of such action and any liability resulting
therefrom shall be expenses, costs and liabilities of Servicer.

          Section 7.5 BANA Not To Resign as Servicer. Subject to the provisions of Section
7.3, BANA 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 BANA 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

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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, BANA 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 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);

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(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.

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

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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 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 BANA 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.

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     (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.

     (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.

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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 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;

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(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 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

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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, 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,

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consent, direction, order, approval, bond, note or other paper or 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.

          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

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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 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

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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 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.

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     (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.

     (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.

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     (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:

(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

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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.

          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 to
which it is a party 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

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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.

          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
attestation report 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

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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.

     (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 the remaining
Holders, 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

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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).

ARTICLE XI

MISCELLANEOUS PROVISIONS.

          Section 11.1 Amendment.

     (a) Any term or provision of this Agreement may be amended by Seller, Servicer
and Trustee without the consent of any of the Holders or any other Person subject to
subsection (e) of this Section 11.1 and the satisfaction of one of
the following conditions:

(i) Seller or Servicer delivers an Opinion of Counsel to Trustee to the
effect that such amendment will not materially and adversely affect the
interests of any Holder;

(ii) Seller or Servicer delivers an Officer’s Certificate of Seller or
Servicer, respectively, to Trustee to the effect that such amendment will
not materially and adversely affect the interests of any Holder; or

(iii) Seller or Servicer delivers to Trustee written confirmation from each
Rating Agency that such amendment will not cause it to downgrade, qualify or
withdraw its rating assigned to any of the Certificates;

provided, that any amendment entered into pursuant to this Section 11.1(a) shall not
significantly change the permitted activities of the Trust.

     (b) Any term or provision of this Agreement may be amended by Seller, Servicer
and Trustee but without the consent of any of the Holders or any other Person to
add, modify or eliminate any provisions as may be necessary or advisable in order to
enable Seller, 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, provided, that any amendment

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entered into pursuant to this Section 11.1(b) shall not significantly
change the permitted activities of the Trust.

     (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) reduce the interest rate or principal amount of any
Certificate, change or delay the Final Scheduled Distribution Date of any
Certificate without the consent of the Holder of such Certificate, (ii) reduce the
percentage of the Note Balance, the Holders of which are required to consent to any
matter without the consent of the Holders of at least the percentage of the Note
Balance which were required to consent to such matter before giving effect to such
amendment. It will not be necessary for the consent of any of the Holders 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 any of the Holders provided for in this
Agreement) and of evidencing the authorization of the execution thereof by any of
the Holders will be subject to such reasonable requirements as Trustee may
prescribe, including the establishment of record dates pursuant to the Depository
Agreement.

     (d) Prior to the execution of any amendment to this Agreement, 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, Servicer
shall furnish a copy of such amendment or consent to each Rating Agency and Trustee.

     (e) Prior to the execution of any amendment to this Agreement, Seller and
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. Trustee may, but shall not be obligated to,
enter into or execute on behalf of the Trust any such amendment which materially
and adversely affects Trustee’s rights, privileges, indemnities, duties or
obligations under this Agreement. Furthermore, notwithstanding anything to the
contrary herein, this Agreement may not be amended in any way that would materially
and adversely affect Trustee’s rights, privileges, indemnities, duties or
obligations under this Agreement, the Related Agreements or otherwise without the
prior written consent of such Person.

          Section 11.2 Protection of Title to Trust Property. (a) Servicer shall authorize and
file such financing statements and cause to be authorized 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

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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)
“seriously misleading” within the meaning of the UCC, unless it shall have given
Trustee at least five 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 five 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.

     (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

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Servicer’s Reports furnished pursuant to Section 3.9 indicating removal
of Receivables from the Trust.

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

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          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 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; 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 BAS Securitization LLC at the following address: 100 North Tryon
Street, Charlotte, North Carolina 28258, Attention:                     ; (b) in the case of Servicer,
to Bank of America, National Association at the following address: 100 North Tryon Street,
Charlotte, North Carolina 28258, 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 One
State Street Plaza, 32nd Floor, New York, New York 10004, Attention: Asset-Backed
Securities Group, facsimile number: (212) 480-4438]. 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 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 authorization 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 Seller and the
Trust to deliver to 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 Seller or the Trust to permit Seller to comply with the provisions of Regulation
AB, together with such disclosures relating to Servicer and the Receivables, or the

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servicing of the Receivables, reasonably believed by Seller to be necessary in order to effect
such compliance.

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

(i) deliver to Seller a report regarding 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 Trustee, and shall address each of the Servicing
Criteria specified in Exhibit D or such criteria as mutually agreed
upon by Seller and Trustee;

(ii) cause a firm of registered public accountants that is qualified and
independent within the meaning of Rule 2-01 of Regulation S-X under the
Securities Act to deliver to Seller a report for inclusion in the Trust’s
filing of Exchange Act Form 10-K that attests to, and reports on, the
assessment of compliance made by the Trustee and delivered to Seller
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;

(iii) deliver to 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 Trust or Seller, a
back-up certification substantially in the form attached hereto as
Exhibit E or such form as mutually agreed upon by Seller and
Trustee; and

(iv) deliver to Seller the certification substantially in the form attached
hereto as Exhibit F or such form as mutually agreed upon by Seller
and Trustee regarding any affiliations or relationships (as described in
Item 1119 of Regulation AB) between Trustee and any Item 1119 Party and any
Item 1117 Disclosure Item.

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

          Section 11.15 Form 8-K Filings. So long as Seller is filing Exchange Act Reports with
respect to the Trust, Trustee shall promptly notify Seller, but in no event later than one (1)
Business Day after its occurrence, of any Reportable Event of which a Responsible Officer of
Trustee has actual knowledge (other than a Reportable Event described in clause (a) or
(b) of the definition thereof as to which Seller or Servicer has actual knowledge).
Trustee shall be deemed to have actual knowledge of any such event to the extent that it relates to
Trustee or any action or failure to act by Trustee.

          Section 11.16 Indemnification. [     ] shall indemnify Seller, each
Affiliate of Seller and each Person who controls any of such parties (within the meaning of Section
15 of the Securities Act and Section 20 of the Exchange Act) and the respective present and former
directors, officers, employees and agents of each of the foregoing, and shall hold each of them
harmless from and against any losses, damages, penalties, fines, forfeitures, legal fees and
expenses and related costs, judgments, and any other costs, fees and expenses that any of them may
sustain arising out of or based upon:

     (a) (A) any untrue statement of a material fact contained or alleged to be
contained in the Servicing Criteria assessment and any other information required to
be provided by [     ] to Seller or its affiliates under Sections
11.14 or 11.15 (such information, the “Trustee Provided
Information”), or (B) the omission or alleged omission to state in the Trustee
Provided Information a material fact required to be stated in the Trustee Provided
Information, or necessary in order to make the statements therein, in the light of
the circumstances under which they were made, not misleading; provided, by way of
clarification, that clause (B) of this paragraph shall be construed solely
by reference to the related information and not to any other information
communicated in connection with a sale or purchase of securities, without regard to
whether the Trustee Provided Information or any portion thereof is presented
together with or separately from such other information; or

     (b) any failure by [     ] to deliver any Servicing Criteria
assessment, information, report, certification, accountants’ letter or other
material when and as required under Sections 11.14 and 11.15.

     (c) In the case of any failure of performance described in clause
(a)(ii) of this Section, [          ] shall promptly reimburse Seller
for all costs reasonably incurred in order to obtain the information, report,
certification, accountants’ letter or other material not delivered as required by [          ].

Notwithstanding anything to the contrary contained herein, in no event shall [          ] be liable for special, indirect or
consequential damages of any kind whatsoever, including
but not limited to lost profits, even if [          ] has been advised of the likelihood
of such loss or damage and regardless of the form of action.

72

 

     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.

	 	 	 	 	 
	 	BAS SECURITIZATION LLC

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	BANK OF AMERICA, NATIONAL ASSOCIATION, Servicer

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	____________________________________________, Trustee

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

S-1

 

	 	 	 	 	 

SCHEDULE A

LOCATION OF RECEIVABLE FILES

 

 

 

EXHIBIT A

FORM OF CLASS A CERTIFICATE

 

___% 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 BAS Securitization 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 TRUST 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

 

          THIS CERTIFIES THAT ___is the registered owner of a ___dollars,
nonassessable, fully paid, fractional undivided interest in Banc of America Auto Securities Trust
20[ ]-[ ] (the “Trust”) formed pursuant to a Pooling and Servicing Agreement dated as of
_________, 20___(the “Agreement”) among BAS Securitization LLC, a Delaware limited liability
company (the “Seller”), Bank of America, National Association (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 ___, 20___(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 _________,
20___, 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.

          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.

Exhibit A to the Pooling and Servicing Agreement

A-2

 

          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.

	 	 	 	 	 
	 	BANC OF AMERICA AUTO SECURITIES 

TRUST 20[  ]-[  ]

 	 
	 	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 	 
	 	 	 	 

Exhibit A to the Pooling and Servicing Agreement

A-3

 

	 	 	 	 	 

EXHIBIT B

FORM OF CLASS B CERTIFICATE

 

___% 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 BAS Securitization 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 TRUST 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

 

          THIS
CERTIFIES THAT _________ is the
registered owner of a _________ dollars,
nonassessable, fully paid, fractional undivided interest in Banc of America Auto Securities Trust
20[ ]-[ ] (the “Trust”) formed pursuant to a Pooling and Servicing Agreement dated as of ___
___, 20___ (the “Agreement”) among BAS Securitization LLC, a Delaware limited liability company (the
“Seller”), Bank of America, National Association (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
___ ___, 20___ (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 ___ ___, 20___, 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.

Exhibit
B to the Pooling and Servicing Agreement

B-2

 

          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.

	 	 	 	 	 
	 	BANC OF AMERICA AUTO SECURITIES 

TRUST 20[ ]-[ ]

 	 
	 	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 	 
	 	 	 	 

Exhibit
B to the Pooling and Servicing Agreement

B-3

 

	 	 	 	 	 

EXHIBIT C

Form of Servicer’s Report

Exhibit
C to the Pooling and Servicing Agreement

C-1

 

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”:

	 	 	 	 	 
	Servicing Criteria	 	Applicable
	Reference	 	Criteria	 	Servicing Criteria
	 

	 	General Servicing Considerations	 	 
	 
	 	 	 	 
	1122(d)(1)(i)

	 	Policies and procedures are instituted to monitor any performance or
other triggers and events of default in accordance with the
transaction agreements.	 	 
	 
	 	 	 	 
	1122(d)(1)(ii)

	 	If any material servicing activities are outsourced to third
parties, policies and procedures are instituted to monitor the third
party’s performance and compliance with such servicing activities.	 	 
	 
	 	 	 	 
	1122(d)(1)(iii)

	 	Any requirements in the transaction agreements to maintain a back-up
servicer for the pool assets are maintained.	 	 
	 
	 	 	 	 
	1122(d)(1)(iv)

	 	A fidelity bond and errors and omissions policy is in effect on the
party participating in the servicing function throughout the
reporting period in the amount of coverage required by and otherwise
in accordance with the terms of the transaction agreements.	 	 
	 
	 	 	 	 
	 

	 	Cash Collection and Administration	 	 
	 
	 	 	 	 
	1122(d)(2)(i)

	 	Payments on pool assets are deposited into the appropriate custodial
bank accounts and related bank clearing accounts no more than two
business days following receipt, or such other number of days
specified in the transaction agreements.
	 	X1
	 
	 	 	 	 
	1122(d)(2)(ii)

	 	Disbursements made via wire transfer on behalf of an obligor or to
an investor are made only by authorized personnel.
	 	X
	 
	 	 	 	 
	1122(d)(2)(iii)

	 	Advances of funds or guarantees regarding collections, cash flows or
distributions, and any interest or other fees charged for such
advances, are made, reviewed and approved as specified in the
transaction agreements.	 	 
	 
	 	 	 	 
	1122(d)(2)(iv)

	 	The related accounts for the transaction, such as cash reserve
accounts or accounts established as a form of overcollateralization,
are separately maintained (e.g., with respect to commingling of
cash) as set forth in the transaction agreements.	 	 
	 
	 	 	 	 
	1122(d)(2)(v)

	 	Each custodial account is maintained at a federally insured
depository institution as set forth in the transaction agreements.
For purposes of this criterion, “federally insured depository
institution” with respect to a foreign financial institution means a
foreign financial institution that meets the requirements of Rule
13k-1(b)(1) of the Securities Exchange Act.	 	 
	 
	 	 	 	 
	1122(d)(2)(vi)

	 	Unissued checks are safeguarded so as to prevent unauthorized access.	 	 
	 
	 	 	 	 
	1122(d)(2)(vii)

	 	Reconciliations are prepared on a monthly basis for all asset-backed
securities related bank accounts, including custodial accounts and
related bank clearing accounts. These reconciliations are (A)
mathematically accurate; (B) prepared within 30 calendar days after
the bank statement cutoff date, or such other number of days
specified in the transaction agreements; (C) reviewed and approved
by someone other than the person who prepared the reconciliation;
and (D) contain explanations for reconciling items. These
reconciling items are resolved within 90 calendar days of their
original identification, or such other number of days specified in the transaction agreements.	 	 

 

			
	1	 	Solely with regard to deposits made by Trustee.

Exhibit D to the
Pooling and Servicing Agreement

D-1

 

	 	 	 	 	 
	Servicing Criteria	 	Applicable
	Reference	 	Criteria	 	Servicing Criteria
	 
	 	 	 	 
	 

	 	Investor Remittances and Reporting	 	 
	 
	 	 	 	 
	1122(d)(3)(i)

	 	Reports to investors, including those to be filed with the
Commission, are maintained in accordance with the transaction
agreements and applicable Commission requirements. Specifically,
such reports (A) are prepared in accordance with timeframes and
other terms set forth in the transaction agreements; (B) provide
information calculated in accordance with the terms specified in the
transaction agreements; (C) are filed with the Commission as
required by its rules and regulations; and (D) agree with investors’
or the trustee’s records as to the total unpaid principal balance
and number of pool assets serviced by the Servicer.	 	 
	 
	 	 	 	 
	1122(d)(3)(ii)

	 	Amounts due to investors are allocated and remitted in accordance
with timeframes, distribution priority and other terms set forth in
the transaction agreements.
	 	X
	 
	 	 	 	 
	1122(d)(3)(iii)

	 	Disbursements made to an investor are posted within two business
days to the Servicer’s investor records, or such other number of
days specified in the transaction agreements.
	 	X
	 
	 	 	 	 
	1122(d)(3)(iv)

	 	Amounts remitted to investors per the investor reports agree with
cancelled checks, or other form of payment, or custodial bank
statements.
	 	X
	 
	 	 	 	 
	 

	 	Pool Asset Administration	 	 
	 
	 	 	 	 
	1122(d)(4)(i)

	 	Collateral or security on pool assets is maintained as required by
the transaction agreements or related asset pool documents.	 	 
	 
	 	 	 	 
	1122(d)(4)(ii)

	 	Pool assets and related documents are safeguarded as required by the
transaction agreements	 	 
	 
	 	 	 	 
	1122(d)(4)(iii)

	 	Any additions, removals or substitutions to the asset pool are made,
reviewed and approved in accordance with any conditions or
requirements in the transaction agreements.	 	 
	 
	 	 	 	 
	1122(d)(4)(iv)

	 	Payments on pool assets, including any payoffs, made in accordance
with the related pool asset documents are posted to the Servicer’s
obligor records maintained no more than two business days after
receipt, or such other number of days specified in the transaction
agreements, and allocated to principal, interest or other items
(e.g., escrow) in accordance with the related asset pool documents.	 	 
	 
	 	 	 	 
	1122(d)(4)(v)

	 	The Servicer’s records regarding the accounts and the accounts agree
with the Servicer’s records with respect to an obligor’s unpaid
principal balance.	 	 
	 
	 	 	 	 
	1122(d)(4)(vi)

	 	Changes with respect to the terms or status of an obligor’s account
(e.g., loan modifications or re-agings) are made, reviewed and
approved by authorized personnel in accordance with the transaction
agreements and related pool asset documents.	 	 
	 
	 	 	 	 
	1122(d)(4)(vii)

	 	Loss mitigation or recovery actions (e.g., forbearance plans,
modifications and deeds in lieu of foreclosure, foreclosures and
repossessions, as applicable) are initiated, conducted and concluded
in accordance with the timeframes or other requirements established
by the transaction agreements.	 	 

Exhibit D to the
Pooling and Servicing Agreement

D-2

 

	 	 	 	 	 
	Servicing Criteria	 	Applicable
	Reference	 	Criteria	 	Servicing Criteria
	1122(d)(4)(viii)

	 	Records documenting collection efforts are maintained during the
period a pool asset is delinquent in accordance with the transaction
agreements. Such records are maintained on at least a monthly basis,
or such other period specified in the transaction agreements, and
describe the entity’s activities in monitoring delinquent pool
assets including, for example, phone calls, letters and payment
rescheduling plans in cases where delinquency is deemed temporary
(e.g., illness or unemployment).	 	 
	 
	 	 	 	 
	1122(d)(4)(ix)

	 	Adjustments to interest rates or rates of return for pool assets
with variable rates are computed based on the related pool asset
documents.	 	 
	 
	 	 	 	 
	1122(d)(4)(x)

	 	Regarding any funds held in trust for an obligor (such as escrow
accounts): (A) such funds are analyzed, in accordance with the
obligor’s Account documents, on at least an annual basis, or such
other period specified in the transaction agreements; (B) interest
on such funds is paid, or credited, to obligors in accordance with
applicable Account documents and state laws; and (C) such funds are
returned to the obligor within 30 calendar days of full repayment of
the related Accounts, or such other number of days specified in the
transaction agreements.	 	 
	 
	 	 	 	 
	1122(d)(4)(xi)

	 	Payments made on behalf of an obligor (such as tax or insurance
payments) are made on or before the related penalty or expiration
dates, as indicated on the appropriate bills or notices for such
payments, provided that such support has been received by the
servicer at least 30 calendar days prior to these dates, or such
other number of days specified in the transaction agreements.	 	 
	 
	 	 	 	 
	1122(d)(4)(xii)

	 	Any late payment penalties in connection with any payment to be made
on behalf of an obligor are paid from the servicer’s funds and not
charged to the obligor, unless the late payment was due to the
obligor’s error or omission.	 	 
	 
	 	 	 	 
	1122(d)(4)(xiii)

	 	Disbursements made on behalf of an obligor are posted within two
business days to the obligor’s records maintained by the servicer,
or such other number of days specified in the transaction
agreements.	 	 
	 
	 	 	 	 
	1122(d)(4)(xiv)

	 	Delinquencies, charge-offs and uncollectible accounts are recognized
and recorded in accordance with the transaction agreements.	 	 
	 
	 	 	 	 
	1122(d)(4)(xv)

	 	Any external enhancement or other support, identified in Item
1114(a)(1) through (3) or Item 1115 of Regulation AB, is maintained
as set forth in the transaction agreements.	 	 

Exhibit D to the
Pooling and Servicing Agreement

D-3

 

EXHIBIT E

FORM OF TRUSTEE’S ANNUAL CERTIFICATION

Re: BANC OF AMERICA AUTO SECURITIES 20[ ]-[ ]

          [ ], not in its individual capacity but solely as trustee (the “Trustee”), certifies to BAS
Securities 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 Seller pursuant to the Pooling
and Servicing Agreement (the “Agreement”), dated as of [ ], by and among BANA, Seller, the
Trustee and Banc of America Auto Securities 20[ ]-[ ] (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 Trustee
Information;

     (3) To the best of its knowledge, all of the Trustee Provided Information (as defined
in Section 11.16 of the Agreement) required to be provided by the Trustee under the
Agreement has been provided to 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

 

	 	 	 	 	 

EXHIBIT F

FORM OF TRUSTEE’S ANNUAL CERTIFICATION

REGARDING ITEM 1117 AND ITEM 1119 OF REGULATION AB

               Reference is made to the Form 10-K of Banc of America Auto Securities 20[   
]-[    ] (the
“Form 10-K”) for the fiscal year ended December 31, 20[    ]. Capitalized terms used but
not otherwise defined herein shall have the respective meanings given to them in the Form 10-K.

               [                       ], a
[                  ] (“[     ]”), does
hereby certify to the Sponsor, the Depositor and the Issuing Entity that:

          1. As of the date of the Form 10-K, there are no pending legal proceedings against [
         ]
or proceedings known to be contemplated by governmental authorities against [         ] that would
be material to the investors in the Certificates.

          2. As of the date of the Form 10-K, there are no affiliations, as contemplated by Item 1119 of
Regulation AB, between [         ] and any of Bank of America, National Association (in its
capacities as Sponsor, Originator, Servicer and Administrator), BAS Securities LLC, the Indenture
Trustee, the Owner Trustee and the Issuing Entity, or any affiliates of such parties.

     IN WITNESS WHEREOF, [         ] has caused this certificate to be executed in its corporate
name by an officer thereunto duly authorized.

Dated: ____________, 20[      ]

	 	 	 	 	 
	 	[                   ], as Trustee

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

Exhibit
F to the
Pooling and Servicing Agreement

F-1exv10w1

EXHIBIT 10.1

 

 

FORM
OF

SALE AND SERVICING AGREEMENT

by and among

BANC
OF AMERICA AUTO SECURITIES TRUST 20[      ]-[       ],

as Issuer

BAS SECURITIZATION LLC,

as Seller

BANK OF AMERICA, NATIONAL ASSOCIATION

as Servicer

and

[                               ],

as Indenture Trustee

Dated as of [                     ]

 

 

 

 

TABLE OF CONTENTS

	 	 	 	 	 
	ARTICLE  IDEFINITIONS 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
	 	 	8	 
	 
	 	 	 	 
	SECTION 3.8 Servicer’s Certificate
	 	 	8	 
	 
	 	 	 	 
	SECTION 3.9 Annual Officer’s Certificate; Notice of Servicer Replacement Event
	 	 	8	 
	 
	 	 	 	 
	SECTION 3.10 Annual Registered Public Accounting Firm Attestation Reports
	 	 	9	 
	 
	 	 	 	 
	SECTION 3.11 Servicer Expenses
	 	 	9	 
	 
	 	 	 	 
	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
	 	 	12	 
	 
	 	 	 	 
	SECTION 4.4 Distributions
	 	 	12	 
	 
	 	 	 	 
	SECTION 4.5 Net Deposits
	 	 	13	 
	 
	 	 	 	 
	SECTION 4.6 Statements to Certificateholder and Noteholders
	 	 	14	 
	 
	 	 	 	 
	SECTION 4.7 No Duty to Confirm
	 	 	15	 

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TABLE OF CONTENTS
(continued)

	 	 	 	 	 
	[SECTION 4.8 Interest Rate Swap Agreement.]
	 	 	15	 
	 
	 	 	 	 
	ARTICLE V THE SELLER
	 	 	17	 
	 
	 	 	 	 
	SECTION 5.1 Representations and Warranties of Seller
	 	 	17	 
	 
	 	 	 	 
	SECTION 5.2 Liability of the Seller; Indemnities
	 	 	18	 
	 
	 	 	 	 
	SECTION 5.3 Merger or Consolidation of, or Assumption of the Obligations of, Seller
	 	 	19	 
	 
	 	 	 	 
	SECTION 5.4 Limitation on Liability of Seller and Others
	 	 	20	 
	 
	 	 	 	 
	SECTION 5.5 Seller May Own Notes
	 	 	20	 
	 
	 	 	 	 
	SECTION 5.6 Sarbanes-Oxley Act Requirements
	 	 	20	 
	 
	 	 	 	 
	SECTION 5.7 Compliance with Organizational Documents
	 	 	20	 
	 
	 	 	 	 
	SECTION 5.8 Perfection Representations, Warranties and Covenants
	 	 	20	 
	 
	 	 	 	 
	ARTICLE VI THE SERVICER
	 	 	21	 
	 
	 	 	 	 
	SECTION 6.1 Representations of the Servicer
	 	 	21	 
	 
	 	 	 	 
	SECTION 6.2 Indemnities of Servicer
	 	 	22	 
	 
	 	 	 	 
	SECTION 6.3 Merger or Consolidation of, or Assumption of the Obligations of, Servicer
	 	 	23	 
	 
	 	 	 	 
	SECTION 6.4 Limitation on Liability of Servicer and Others
	 	 	23	 
	 
	 	 	 	 
	SECTION 6.5 Delegation of Duties
	 	 	24	 
	 
	 	 	 	 
	SECTION 6.6 BANA Not to Resign as Servicer
	 	 	24	 
	 
	 	 	 	 
	SECTION 6.7 Servicer May Own Notes
	 	 	25	 
	 
	 	 	 	 
	ARTICLE VII REPLACEMENT OF SERVICER
	 	 	25	 
	 
	 	 	 	 
	SECTION 7.1 Replacement of Servicer
	 	 	25	 
	 
	 	 	 	 
	SECTION 7.2 Notification to Noteholders
	 	 	26	 
	 
	 	 	 	 
	ARTICLE VIII OPTIONAL PURCHASE
	 	 	26	 
	 
	 	 	 	 
	SECTION 8.1 Optional Purchase of Trust Estate
	 	 	26	 
	 
	 	 	 	 
	ARTICLE IX MISCELLANEOUS PROVISIONS
	 	 	27	 
	 
	 	 	 	 
	SECTION 9.1 Amendment
	 	 	27	 
	 
	 	 	 	 
	SECTION 9.2 Protection of Title
	 	 	29	 
	 
	 	 	 	 
	SECTION 9.3 Other Liens or Interests
	 	 	30	 
	 
	 	 	 	 
	SECTION 9.4 Transfers Intended as Sale; Security Interest
	 	 	30	 
	 
	 	 	 	 
	SECTION 9.5 Notices, Etc
	 	 	31	 

ii

 

TABLE OF CONTENTS
(continued)

	 	 	 	 	 
	SECTION 9.6 Choice of Law
	 	 	31	 
	 
	 	 	 	 
	SECTION 9.7 Headings
	 	 	31	 
	 
	 	 	 	 
	SECTION 9.8 Counterparts
	 	 	31	 
	 
	 	 	 	 
	SECTION 9.9 Waivers
	 	 	32	 
	 
	 	 	 	 
	SECTION 9.10 Entire Agreement
	 	 	32	 
	 
	 	 	 	 
	SECTION 9.11 Severability of Provisions
	 	 	32	 
	 
	 	 	 	 
	SECTION 9.12 Binding Effect
	 	 	32	 
	 
	 	 	 	 
	SECTION 9.13 Acknowledgment and Agreement
	 	 	32	 
	 
	 	 	 	 
	SECTION 9.14 Cumulative Remedies
	 	 	32	 
	 
	 	 	 	 
	SECTION 9.15 Nonpetition Covenant
	 	 	32	 
	 
	 	 	 	 
	SECTION 9.16 Submission to Jurisdiction; Waiver of Jury Trial
	 	 	33	 
	 
	 	 	 	 
	SECTION 9.17 Limitation of Liability
	 	 	33	 
	 
	 	 	 	 
	SECTION 9.18 Third-Party Beneficiaries
	 	 	34	 
	 
	 	 	 	 
	SECTION 9.19 Information Requests
	 	 	34	 
	 
	 	 	 	 
	SECTION 9.20 Regulation AB
	 	 	34	 
	 
	 	 	 	 
	SECTION 9.21 Information to Be Provided by the Indenture Trustee
	 	 	34	 
	 
	 	 	 	 
	SECTION 9.22 Form 8-K Filings
	 	 	35	 
	 
	 	 	 	 
	SECTION 9.23 Indemnification
	 	 	36	 
	 
	 	 	 	 
	SECTION 9.24 [Limitations of Rights]
	 	 	36	 
	 
	 	 	 	 
	Appendix A Definitions
	 	 	 	 
	 
	 	 	 	 
	Schedule I Representations and Warranties With Respect to the Receivables
	 	 	 	 
	 
	 	 	 	 
	Schedule II Notice Addresses
	 	 	 	 
	 
	 	 	 	 
	Schedule X Yield Supplement Overcollateralization Amount
	 	 	 	 
	 
	 	 	 	 
	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
	 	 	 	 
	 
	 	 	 	 
	Exhibit E Form of Indenture Trustee’s Annual Certification regarding Item 1117 and Item 1119 of Regulation AB
	 	 	 	 

iii

 

     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 BANC OF AMERICA AUTO
SECURITIES TRUST 20[ ]-[      ] (the “Issuer”), a Delaware statutory trust, BAS SECURITIZATION
LLC, a Delaware limited liability company, as seller (the “Seller”), BANK OF AMERICA,
NATIONAL ASSOCIATION, a national banking association, (“BANA”), as servicer (in such
capacity, the “Servicer”), and [                     ], a [
               ], 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, BANA 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; and (g) references to any Person include that Person’s successors
and assigns.

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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 (or, if the Seller elects, an earlier date). 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, or earlier date, if elected
by the Seller. 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

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case without recourse or representation, as shall be reasonably requested 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 BANA 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. Notwithstanding anything herein to the contrary, the Seller shall only be
obligated to pay such Repurchase Price and repurchase the related Receivable to the extent it
receives the Repurchase Price from BANA pursuant to Section 3.3 of the Purchase Agreement.

     SECTION 2.4 Custody of Receivable Files.

     (a) Custody. To assure uniform quality in servicing the Receivables and to reduce
administrative costs, the Issuer and the Indenture Trustee, 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. The

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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. 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, which do not unreasonably interfere with the Servicer’s normal operations,
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,
to the extent it does not unreasonably interfere with the Servicer’s normal operations. 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. The Servicer shall not be responsible for any loss occasioned by
the failure of the Indenture Trustee or its agent or designee to return any document or any delay
in doing so.

     (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 by, 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 Indenture Trustee or 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).

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     (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 BANA 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 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, at the
direction of the Indenture Trustee, to its 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 to enforce
a Receivable or to commence or participate in any other legal proceeding (including a bankruptcy
proceeding) relating to or involving a Receivable, an Obligor or a Financed Vehicle. If the
Servicer commences 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

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notices, demands, claims, complaints, responses, affidavits or other 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, reasonably requested by the Seller 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 preceding the latest
Final Scheduled Payment Date of any Notes issued under the Indenture 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. Subject to the proviso of the
second sentence of this Section 3.2, the Servicer and its Affiliates may engage in any
marketing practice or promotion or any sale of any products, goods or services to Obligors with
respect to the Receivables so long as such practices, promotions or sales are offered to obligors
of comparable motor vehicle receivables serviced by the Servicer for itself and others, whether or
not such practices, promotions or sales might result in a decrease in the aggregate amount of
payments on the Receivables, prepayments or faster or slower timing of the payment of the
Receivables. Notwithstanding anything in this Agreement to the contrary, the Servicer may
refinance any Receivable and deposit 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. The Servicer and its Affiliates may also sell insurance or debt cancellation products,
including products which result in the cancellation of some or all of the amount of a Receivable
upon the death or disability of the Obligor or any casualty with respect to the Financed Vehicle.

     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

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as to which the Servicer has 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 its
sole discretion that such repair and/or repossession will increase the Liquidation Proceeds by an
amount greater than the amount of such expenses. The Servicer, in its sole discretion, may in
accordance with its Customary Servicing Practices sell any Receivable’s deficiency balance. Net
proceeds of any such sale allocable to the Receivable will constitute Liquidation Proceeds, and the
sole right of the Issuer and the Indenture Trustee with respect to any such sold Receivables will
be to receive such Liquidation Proceeds. Upon such sale, the Servicer will mark its computer
records indicating that any such receivable sold is no longer a Receivable. The Servicer is
authorized to take any and all actions necessary or appropriate on behalf of the Issuer to evidence
the sale of the Receivable free from any Lien or other interest of the Issuer or the Indenture
Trustee.

     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. Unless required by law or court order, 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

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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[, the Swap Counterparty] 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 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 [and the Swap
Counterparty], 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, the Indenture Trustee and the
representative of the several underwriters pursuant to Section 5(g) of the Underwriting
Agreement, on or before March 30 of each calendar year, beginning on March 30, [      ], 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 and the representative of the several underwriters
pursuant to Section 5(g) of the Underwriting Agreement, on or before March 30 of each year,
beginning on March 30, [          ], 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

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required under paragraph (b) of Rule 13a-18 and Rule 15d-18 of the Exchange Act and Item 1122
of Regulation AB.

     SECTION 3.10 Annual Registered Public Accounting Firm Attestation Reports. On or
before the 90th day following the end of each fiscal year, beginning with the fiscal year ending
December 31, [ ], the Servicer shall cause a firm of independent registered 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, each Rating Agency and the
representative of the several underwriters pursuant to Section 5(g) of the Underwriting
Agreement 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 assets, or which otherwise 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.

     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 Exchange
Act, 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 [and the Swap Counterparty],
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 [and the Swap
Counterparty], which Eligible Account shall be established by and maintained
with the Indenture Trustee or its designee. No checks shall be issued, printed
or honored with respect to the Collection Account.

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	 	(ii)	 	For the benefit of the Noteholders [and the Swap Counterparty],
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 [and the
Swap Counterparty], which Eligible Account shall be established by and
maintained with the Indenture Trustee or its designee. No checks shall be
issued, printed or honored with respect to the Principal Distribution Account.
	 
	 	(iii)	 	For the benefit of the Noteholders [and the Swap
Counterparty], 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 [and the
Swap Counterparty], which Eligible Account shall be established by and
maintained with the Indenture Trustee or its designee. No checks shall be
issued, printed or honored with respect to the Reserve Account.

     (b) Funds on deposit in the Collection Account, the Reserve Account and the Principal
Distribution Account [and the Swap Termination Payment Account (to the extent such account is
established under Section 4.8(b))] (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 [and the Swap Counterparty]; 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.

     (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 [and the Swap Counterparty]. 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.

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     (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®
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.

     SECTION 4.2 Remittances. The Servicer shall deposit an amount equal to all
Collections into the Collection Account within two Business Days after identification; 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 (or the
Business Day preceding each Payment Date if the Collection Account is not maintained at the
Indenture Trustee). The “Monthly Remittance Condition” shall be deemed to be satisfied if
(i) BANA or one of its Affiliates is the Servicer, (ii) no Servicer Replacement Event has occurred
and is continuing, and (iii) [            ] has a short term debt rating of at least “P-1” from
Moody’s and “A-1” from Standard & Poor’s. Notwithstanding the foregoing, the

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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 pursuant to Section
3.6 or the Seller pursuant to Section 2.3, 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 amount 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 fifth 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 amount 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.

     (f) [The Indenture Trustee will promptly, on the day of receipt, deposit into the Collection
Account all Net Swap Receipts received by it under the Interest Rate Swap Agreement in immediately
available funds.]

     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

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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 Swap Counterparty, the Net Swap Payment, if
any, for such Payment Date;]
	 
	 	(iv)	 	fourth, pro rata, [(A) to the Swap Counterparty, any Senior
Swap Termination Payments for such Payment Date, and (B)] 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;
	 
	 	(v)	 	fifth, to the Principal Distribution Account for distribution
to the Noteholders pursuant to Section 8.2(c) of the Indenture, the
Principal Distribution Amount;
	 
	 	(vi)	 	sixth, to the Reserve Account, any additional amounts required
to increase the amount in the Reserve Account up to the Specified Reserve
Account Balance;
	 
	 	(vii)	 	[seventh, to the Swap Counterparty, any Subordinated Swap
Termination Payments for such Payment Date;]
	 
	 	(viii)	 	eighth, to the Owner Trustee and the Indenture Trustee, fees and expenses
(including indemnification amounts) due and owing under the Trust Agreement and
the Indenture, as applicable, which have not been previously paid; and
	 
	 	(ix)	 	ninth, to or at the direction of the Certificateholder, 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[, all amounts payable to the Swap Counterparty] 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.

     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

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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 (or make available on its website, as described below) such
copy to each of the Rating Agencies[, the Swap Counterparty], the Issuer 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 and the
Class A-4 Note Balance and the Note Factor with respect to each Class of Notes, 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 Principal Distribution Amount for such Payment Date;

     (e) the Net Pool Balance 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 amount from the preceding Payment Date;

     (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;

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

     (k) [the Net Swap Receipts and Net Swap Payment, if any;]

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     (l) [the Senior Swap Termination Payment and Subordinated Swap Termination Payment, if any;]

     (m) [the Swap Replacement Proceeds, if any; and]

     (n) [the Swap Termination Payment, if any.]

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,
provided, however, that the Indenture Trustee, shall, if requested by any Rating Agency, deliver
any reports or notices under this Section 4.6 in writing to such Rating Agency. 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 representations
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.

     [SECTION 4.8 Interest Rate Swap Agreement.]

     (a) [The Issuer shall enter into the Initial Interest Rate Swap Agreement with the Initial
Swap Counterparty. Subject to the requirements of this Section 4.8, the Issuer may from
time to time enter into one or more Replacement Interest Rate Swap Agreements in the event that the
Initial Interest Rate Swap Agreement is terminated due to any “Termination Event” or “Event of
Default” (each as defined in the Initial Interest Rate Swap Agreement) prior to its scheduled
expiration and in accordance with the terms of such Interest Rate Swap Agreement. Other than any
Replacement Interest Rate Swap Agreement entered into pursuant to this Section 4.8(a), the
Issuer may not enter into any additional interest rate swap agreements.]

     (b) [In the event of any early termination of any Interest Rate Swap Agreement, (i) upon
written direction and notification of such early termination, the Indenture Trustee shall establish
the Swap Termination Payment Account over which the Indenture Trustee shall have exclusive control
and the sole right of withdrawal, and in which no Person other than the

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Indenture Trustee, the Swap Counterparty and the Noteholders shall have any legal or
beneficial interest, (ii) any Swap Termination Payments received from the Swap Counterparty will be
remitted to the Swap Termination Payment Account and (iii) any Swap Replacement Proceeds received
from a Replacement Swap Counterparty will be remitted directly to the Swap Counterparty; provided,
that any such remittance to the Swap Counterparty shall not exceed the amounts, if any, owed to the
Swap Counterparty under the Interest Rate Swap Agreement; provided, further that the Swap
Counterparty shall only receive Swap Replacement Proceeds if all Swap Termination Payments due from
the Swap Counterparty to the Issuer have been paid in full and if such amounts have not been paid
in full then the amount of Swap Replacement Proceeds necessary to make up any deficiency shall be
remitted to the Swap Termination Payment Account.]

     (c) [The Issuer shall promptly, following the early termination of any Initial Interest Rate
Swap Agreement due to an “Event of Default” or “Termination Event” (each as defined in the Initial
Interest Rate Swap Agreement) and in accordance with the terms of such Interest Rate Swap
Agreement, enter into a Replacement Interest Rate Swap Agreement to the extent possible and
practicable through application of funds available in the Swap Termination Payment Account unless
entering into such Replacement Interest Rate Swap Agreement will cause the Rating Agency Condition
not to be satisfied.]

     (d) [To the extent that (i) the funds available in the Swap Termination Payment Account exceed
the costs of entering into a Replacement Interest Rate Swap Agreement or (ii) the Issuer determines
not to replace the Initial Interest Rate Swap Agreement and the Rating Agency Condition is met with
respect to such determination, the amounts in the Swap Termination Payment Account (other than
funds used to pay the costs of entering into a Replacement Interest Rate Swap Agreement, if
applicable) shall be included in Available Funds and allocated in accordance with the order of
priority specified in Section 4.4(a) on the following Payment Date. In any other
situation, amounts on deposit in the Swap Termination Payment Account at any time shall be invested
pursuant to Section 4.1(b) and on each Payment Date after the creation of a Swap
Termination Payment Account, the funds therein shall be used to cover any shortfalls in the amounts
payable under clauses first through fifth under Section 4.4(a), provided,
that in no event will the amount withdrawn from the Swap Termination Payment Account on such
Payment Date exceed the amount of Net Swap Receipts that would have been required to be paid on
such Payment Date under the terminated Interest Rate Swap Transaction had there been no termination
of such transaction. Any amounts remaining in the Swap Termination Payment Account after payment
in full of the Class A-4 Notes shall be included in Available Funds and allocated in accordance
with the order of priority specified in Section 4.4(a) on the following Payment Date.]

     (e) [If the Swap Counterparty is required to post collateral under the terms of the Interest
Rate Swap Agreement, upon written direction and notification of such requirement, the Indenture
Trustee shall establish the Swap Collateral Account (the “Swap Collateral Account”) over
which the Indenture Trustee shall have exclusive control and the sole right of withdrawal, and in
which no Person other than the Indenture Trustee, the Swap Counterparty and the Noteholders shall
have any legal or beneficial interest. The Indenture Trustee shall deposit all collateral received
from the Swap Counterparty under the Interest Rate Swap Agreement into the Swap Collateral Account.
Any and all funds at any time on deposit in, or otherwise to the credit

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of, the Swap Collateral Account shall be held in trust by the Indenture Trustee for the
benefit of the Swap Counterparty and the Noteholders. The only permitted withdrawal from or
application of funds on deposit in, or otherwise to the credit of, the Swap Collateral Account
shall be (i) for application to obligations of the Swap Counterparty to the Issuer under the
Interest Rate Swap Agreement in accordance with the terms of the Interest Rate Swap Agreement or
(ii) to return collateral to the Swap Counterparty when and as required by the Interest Rate Swap
Agreement.]

     (f) [If at any time the Interest Rate Swap Agreement becomes subject to early termination due
to the occurrence of an “Event of Default” or “Termination Event” (as defined in the Interest Rate
Swap Agreement), the Issuer and the Indenture Trustee shall use reasonable efforts (following the
expiration of any applicable grace period) to enforce the rights of the Issuer thereunder as may be
permitted by the terms of the Interest Rate Swap Agreement and consistent with the terms hereof.
To the extent not fully paid from Swap Replacement Proceeds, any Swap Termination Payment owed by
the Issuer to the Swap Counterparty under the Interest Rate Swap Agreement shall be payable to the
Swap Counterparty in installments made on each following Payment Date until paid in full in
accordance with the order of priority specified in Section 4.4(a). To the extent that the
Swap Replacement Proceeds exceed any such Swap Termination Payments (or if there are no Swap
Termination Payments due to the Swap Counterparty), the Swap Replacement Proceeds in excess of such
Swap Termination Payments, if any, shall be included in Available Funds and allocated and applied
in accordance with the order of priority specified in Section 4.4(a) on the following
Payment Date.]

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 pursuant to this Agreement and the Grant thereof by the Issuer to the Indenture
Trustee pursuant to the Indenture:

     (a) Existence and Power. The Seller is a 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 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 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 the Transaction Documents 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,

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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 the enforcement of 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 the 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:

     (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.

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     (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 Bank of America Corporation, which
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

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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,
the Seller, the Servicer, the 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.

     SECTION 5.8 Perfection Representations, Warranties and Covenants. The Seller hereby
makes the perfection representations, warranties and covenants attached hereto as Exhibit B
to the Issuer and the Indenture Trustee and the Issuer shall be deemed to have relied on such
representations, warranties and covenants in acquiring the Transferred Assets.

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ARTICLE VI

THE SERVICER

     SECTION 6.1 Representations of the 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 pursuant to this Agreement and the Grant thereof by the Issuer to the Indenture
Trustee pursuant to the Indenture:

     (a) Existence and Power. The Servicer is a national banking association validly
existing and in good standing under the laws of the United States of America 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 any other
part of the Transferred Assets 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 the enforcement of 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

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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 the collectibility or enforceability of the Receivables, 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.

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     (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 BANA (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 Bank of America Corporation 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[, the Swap
Counterparty] or the Certificateholder, except as provided under this Agreement, for any action

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taken or for refraining 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 Issuer, and the Servicer shall be entitled
to be reimbursed therefor. Any amounts due the Servicer pursuant to this subsection shall be
payable on a Payment Date from the Available Funds on deposit in the Collection Account only after
all payments required to be made on such date to the Noteholders and the Servicer have been made,
and deposits of any amount required to be deposited into the Reserve Account pursuant to
Section 4.4(a)(vi) to maintain the amount on deposit therein (exclusive of investment
income and earnings on amounts on deposit therein) at the Specified Reserve Account Balance on such
date have been made.

     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
(including, without limitation, its duties as custodian) 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 BANA Not to Resign as Servicer. Subject to the provisions of Sections
6.3 and 6.5, BANA 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 BANA 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 (i) assumed the responsibilities and obligations of BANA as Servicer and (ii) provided
in writing the information reasonably requested by the Seller to

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comply with its reporting obligations under the Exchange Act with respect to a replacement
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.

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 662⁄3% of the Noteholders, by notice given to the Servicer, the
Owner Trustee, the Issuer, the Administrator, the Noteholders[, the Swap Counterparty] 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, acting
at the direction of 662⁄3% of the
Noteholders, 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

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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
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 BANA is the Servicer, then BANA
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 (other than the Reserve Account) shall equal the greater of (a) the unpaid
principal amount of the Notes plus accrued and unpaid interest thereon (after giving effect to all
distributions pursuant to Section 4.4(a) on that Payment Date) 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 BANA, as

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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, the Swap Counterparty,
the Owner Trustee or any other Person subject to subsection (e) of this Section 9.1
and the satisfaction of one of the following conditions:

	 	(i)	 	the Seller or the Servicer delivers an Opinion of Counsel to
the Indenture Trustee to the effect that such amendment will not materially and
adversely affect the interests of the Noteholders;
	 
	 	(ii)	 	the Seller or the Servicer delivers an Officer’s Certificate of
the Seller or Servicer, respectively, to the Indenture Trustee to the effect
that such amendment will not materially and adversely affect the interests of
the Noteholders; or
	 
	 	(iii)	 	the Seller or the Servicer delivers to the Indenture Trustee
written confirmation from each Rating Agency that such amendment will not cause
it to downgrade, qualify or withdraw its rating assigned to any of the Notes;

provided, that any amendment entered into pursuant to this Section 9.1(a) shall not
significantly change the permitted activities of the Issuer; [provided, further, that such
amendment shall not materially and adversely affect the rights or obligations of the Swap
Counterparty or the Issuer under the Interest Rate Swap Agreement unless the Swap Counterparty
shall have consented in writing to such amendment (and such consent shall be deemed to have been
given if the Swap Counterparty does not object in writing within ten (10) Business Days after
receipt of a written request for such consent)].

     (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 Swap Counterparty,] 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 [and such amendment shall not materially and adversely affect the rights or
obligations of the Swap Counterparty under this Agreement unless the Swap Counterparty shall have
consented in writing to such amendment (and such consent shall be deemed to have been given if the
Swap Counterparty does not object in writing within ten (10) Business Days after receipt of a
written request for such consent)] provided, that any

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amendment entered into pursuant to this Section 9.1(b) shall not significantly change
the permitted activities of the Issuer.

     (c) This Agreement may also be amended from time to time by the Seller, the Servicer and the
Indenture Trustee, with the consent of the Noteholders evidencing not less than a majority of the
Outstanding Note Balance, 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 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 Note
Balance, the Holders of which are required to consent to any matter without the consent of the
Holders of at least the percentage of the Note Balance which were required to consent to such
matter before giving effect to such amendment; [provided, further, that such amendment shall not
materially and adversely affect the rights or obligations of the Swap Counterparty under this Sale
and Servicing Agreement unless the Swap Counterparty shall have consented in writing to such
amendment (and such consent shall be deemed to have been given if the Swap Counterparty does not
object in writing within ten (10) Business Days after receipt of a written request for such
consent);] 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 amendment to this Agreement, 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 materially and adversely affects
the Owner Trustee’s or the Indenture Trustee’s, as applicable, own rights, privileges, indemnities,
duties or obligations under this Agreement. Furthermore, notwithstanding anything to the contrary
herein, this Agreement may not be amended in any way that would materially and adversely affect the
Owner Trustee’s or the Indenture Trustee’s, as applicable, own rights, privileges, indemnities,
duties or obligations under this Agreement, the Transaction Documents or otherwise without the
prior written consent of such Person.

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     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.

     (b) None of the Issuer, the Seller or 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) in accordance
with its Customary Servicing Practices 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, repurchased by
the Seller pursuant to Section 2.3 hereof, repurchased by BANA pursuant to Section
3.3 of the Purchase Agreement or purchased by the Servicer in accordance with Section
3.6 hereof.

     (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)

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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.

     (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 the
extent it does not unreasonably interfere with the Servicer’s normal operations, 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 UCC and the UCC 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

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	 	 	 	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;
	 
	 	(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 UCC and the UCC 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.

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     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 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 [and the Swap Counterparty]. 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 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,

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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 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

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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, 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 [each of] the Owner Trustee [and the Swap
Counterparty] 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 Seller is filing reports under the Exchange Act with respect to
the Issuer, the Indenture Trustee shall (i) on or before the fifth Business Day of each month,
notify the Seller, in writing, of any Item 1117 Disclosure Item with respect to the Indenture
Trustee, together with a description of any such Item 1117 Disclosure Item in form and
substance reasonably satisfactory to the Seller; provided, however, that, subject to
clause (b)(iv) of this Section 9.21, 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

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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 filing reports under the Exchange Act, commencing on March 15, [       ], 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 signed by an authorized officer of the Indenture
Trustee, and shall address each of the Servicing Criteria specified in Exhibit C or
such other criteria as mutually agreed upon by the Seller and the Indenture Trustee;

     (ii) cause a firm of registered public accountants that is qualified and independent
within the meaning of Rule 2-01 of Regulation S-X under the Securities Act to deliver to the
Seller a report for inclusion in the Issuer’s filing of Exchange Act Form 10-K that attests
to, and reports on, the assessment of compliance made by the Indenture Trustee and delivered
to the Seller 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;

     (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) on
behalf of the Issuer or the Seller, a back-up certification substantially in the form
attached hereto as Exhibit D or such form as mutually agreed upon by the Seller and
the Indenture Trustee; and

     (iv) deliver to the Seller the certification substantially in the form attached hereto
as Exhibit E or such form as mutually agreed upon by the Seller and the Indenture
Trustee regarding any affiliations or relationships (as described in Item 1119 of Regulation
AB) between the Indenture Trustee and any Item 1119 Party and any Item 1117 Disclosure Item.

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.

     SECTION 9.22 Form 8-K Filings. So long as the Seller is filing Exchange Act Reports
with respect to the Issuer, the Indenture Trustee shall promptly notify the Seller, but in no event
later than one (1) Business Day after its occurrence, of any Reportable Event of which a
Responsible Officer of the Indenture Trustee has actual knowledge (other than a Reportable Event
described in clause (a) or (b) of the definition thereof as to which the Seller or
the Servicer has actual knowledge). The Indenture Trustee shall be deemed to have actual knowledge
of any such event to the extent that it relates to the Indenture Trustee or any action or failure
to act by the Indenture Trustee.

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     SECTION 9.23 Indemnification. [       ] shall indemnify the Seller, each
Affiliate of the Seller and each Person who controls any of such parties (within the meaning of
Section 15 of the Securities Act and Section 20 of the Exchange Act) and the respective present and
former directors, officers, employees and agents of each of the foregoing, and shall hold each of
them harmless from and against any losses, damages, penalties, fines, forfeitures, legal fees and
expenses and related costs, judgments, and any other costs, fees and expenses that any of them may
sustain arising out of or based upon:

     (a) (A) any untrue statement of a material fact contained or alleged to be contained in
the Servicing Criteria assessment and any other information required to be provided by [      
] to the Seller or its affiliates under Sections 9.21 or 9.22 (such
information, the “Indenture Trustee Provided Information”), or (B) the omission or
alleged omission to state in the Indenture Trustee Provided Information a material fact
required to be stated in the Indenture Trustee Provided Information, or necessary in order to
make the statements therein, in the light of the circumstances under which they were made, not
misleading; provided, by way of clarification, that clause (B) of this paragraph shall
be construed solely by reference to the related information and not to any other information
communicated in connection with a sale or purchase of securities, without regard to whether
the Indenture Trustee Provided Information or any portion thereof is presented together with
or separately from such other information; or

     (b) any failure by [       ] to deliver any Servicing Criteria assessment,
information, report, certification, accountants’ letter or other material when and as required
under Sections 9.21 and 9.22.

     (c) In the case of any failure of performance described in clause (a)(ii) of this
Section, [       ] shall promptly reimburse the Seller for all costs reasonably
incurred in order to obtain the information, report, certification, accountants’ letter or other
material not delivered as required by [       ].

     Notwithstanding anything to the contrary contained herein, in no event shall [
        ] be liable for special, indirect or consequential damages of any kind whatsoever,
including but not limited to lost profits, even if [       ] has been advised of the
likelihood of such loss or damage and regardless of the form of action.

     SECTION 9.24 [Limitations of Rights]. [All of the rights of the Swap Counterparty in,
to and under this Agreement (including, but not limited to, all of the Swap Counterparty’s rights
as a third party beneficiary of this Agreement and all of the Swap Counterparty’s rights to receive
notice of any action hereunder and to give or withhold consent to any action hereunder) shall
terminate upon the termination of the Interest Rate Swap Agreement in accordance with the terms
thereof and the payment in full of all amounts owing to the Swap Counterparty under such Interest
Rate Swap Agreement.]

[Signatures Follow]

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     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.

	 	 	 	 	 
	 	BAS SECURITIZATION LLC, as Seller

 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	BANK OF AMERICA, NATIONAL ASSOCIATION, as Servicer

 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

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	 	BANC OF AMERICA AUTO SECURITIES TRUST 

20[ ]-[ ]

 	 
	 	By:  	 [                      
                             ],
 	 
	 	 	not in its individual capacity but 	 
	 	 	solely as Owner Trustee 	 
	 
	 	 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

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	 	[                                       
      
], not in its individual capacity

but solely as Indenture Trustee

 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

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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 (a) as of the Closing Date, an amount equal to (x) the Net Pool
Balance as of the Cut-Off Date minus (y) the Yield Supplement Overcollateralization Amount for the
Closing Date and (b) for any Payment Date an amount equal to (x) the Net Pool Balance at the end of
the Collection Period preceding that Payment Date minus (y) the Yield Supplement
Overcollateralization Amount for that 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 BANA, 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
North Carolina or the State of [            ].

     “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

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Trustee on the Closing Date or (ii) so long as the Administration Agreement is in effect, any
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 deposited into the Collection Account with
respect to each Receivable that is to become a Repurchased Receivable on such Payment Date, (iii)
the Reserve Account Excess Amount for such Payment Date[, (iv) the Net Swap Receipts (excluding
Swap Termination Payments received from the Swap Counterparty and deposited into the Swap
Termination Payment Account), (v) amounts on deposit in the Swap Termination Payment Account to the
extent such amounts are required to be included in Available Funds pursuant to Section
4.8(d) of the Sale and Servicing Agreement and (vi) Swap Replacement Proceeds, to the extent
required to be included in Available Funds pursuant to Section 4.8(f) of the Sale and
Servicing Agreement.]

     “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 fifth 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.

     “BANA” means Bank of America, National Association, a national banking association, and its
successors and assigns.

     “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

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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 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, North Carolina 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 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 a
Certificate.

     “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 the Payment Date occurring in
[           ].

     “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.

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     “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 the Payment Date occurring in
[           ].

     “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 the Payment Date occurring in [
           ].

     “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 the Payment Date occurring in [
           ].

     “Class A-4 Interest Rate” means [the sum of LIBOR +] [           
]% per annum (computed on the
basis of [the actual number of days elapsed during the applicable Interest Period, but assuming a
360-day year] [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.

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     “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.

     “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, and 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 calendar month and
ending on the last day of such calendar 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.

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     “Corporate Trust Office” means:

     (a) 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 [                      ] (facsimile no. [
          ]), Attention: [                      ], or at such other address as the
Indenture
Trustee may designate from time to time by notice to the Noteholders, [the Swap Counterparty,] 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

     (b) as used with respect to Owner Trustee, the corporate trust office of the Owner Trustee
located at [                      ], (facsimile no. [           ]), Attention:
[                      ]
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).

     “Cumulative Net Loss” means, for any Payment Date, the excess of (a) the aggregate Outstanding
Principal Balance of all Receivables that became Defaulted Receivables since the Cut-Off Date over
(b) aggregate Liquidation Proceeds for all Receivables that became Defaulted Receivables since the
Cut-Off Date.

     “Cumulative Net Loss Ratio” means, for any Payment Date, the ratio (expressed as a percentage)
computed by dividing (a) the Cumulative Net Loss for that Payment Date by (b) the Net Pool Balance
as of the Cut-Off Date.

     “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 or 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. 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.

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     “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 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® 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

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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.

     “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 (i) a long-term senior
unsecured debt rating of “Aa2” or better by Moody’s, “AA-” or better by Standard & Poor’s and “AA”
or better by Fitch, if rated by Fitch 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,
(ii) a certificate of deposit rating of “P-1” by Moody’s, “A-1+” by Standard & Poor’s and “F1” by
Fitch, if rated by Fitch or (iii) 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.

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     “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.

     “Exchange Act Reports” means any reports on Form 10-D, Form 8-K and Form 10-K filed or to be
filed by the Seller with respect to the Issuer under the Exchange Act.

     “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.

     “Fitch” means Fitch, Inc., or any successor that is a nationally recognized statistical rating
organization.

     “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
[           ], not in its
individual capacity but as indenture trustee under the Indenture, or any successor trustee under
the Indenture.

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     “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 upon the Notes, the
Administrator or any Affiliate of any of the foregoing Persons and (iii) is not connected with the
Issuer, any such other obligor upon the Notes, 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 Class A-1 Note Balance” means $[            ].

     “Initial Class A-2 Note Balance” means $[            ].

     “Initial Class A-3 Note Balance” means $[            ].

     “Initial Class A-4 Note Balance” means $[           ].

     [“Initial Interest Rate Swap Agreement” means the ISDA Master Agreement, dated as of the
Closing Date, between the Initial Swap Counterparty and the Issuer, the Schedule and the Credit
Support Annex thereto, dated as of the Closing Date and, the Confirmations thereto, each dated as
of the Closing Date, and entered into pursuant to such ISDA Master Agreement, as the same may be
amended or supplemented from time to time in accordance with the terms thereof.]

     “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 $[           ].

     [“Initial Swap Counterparty” means [
                     ], as the swap counterparty under
the Initial Interest Rate Swap Agreement.]

     “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 preceding Payment Date to but
excluding the following Payment Date.

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     “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.

     [“Interest Rate Swap Agreement” means the Initial Interest Rate Swap Agreement and any
Replacement Interest Rate Swap Agreement.]

     “Issuer” means Banc of America Auto Securities 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.

     “Item 1117 Disclosure Item” means, with respect to any Person, (a) any legal proceedings
pending against such Person or of which any property of such Person is then subject, or (b) any
governmental proceeding known to be contemplated by governmental authorities against such Person or
of which any property of such Person would be subject, in each case that would be material to the
Noteholders.

     “Item 1119 Party” means the Seller, BANA, the Servicer, the Indenture Trustee, the Owner
Trustee, any underwriter of the Notes[, any Swap Counterparty] and any other material transaction
party identified by the Seller or BANA to the Indenture Trustee and the Owner Trustee in writing.

     [“LIBOR” means, with respect to any Interest Period, the London interbank offered rate for
deposits in U.S. dollars having a maturity of one month commencing on the related LIBOR
Determination Date which appears on Telerate Page 3750 as of 11:00 a.m., London time, on such LIBOR
Determination Date; provided, however, that for the first Interest Period, LIBOR shall mean an
interpolated rate for deposits based on London interbank offered rates for deposits in U.S. Dollars
for a period that corresponds to the actual number of days in the first Interest Period. If the
rates used to determine LIBOR do not appear on the Telerate Page 3750, the rates for that day will
be determined on the basis of the rates at which deposits in U.S. dollars, having a maturity of one
month and in a principal amount of not less than U.S. $1,000,000 are offered at approximately 11:00
a.m. London time, on such LIBOR Determination Date to prime banks in the London interbank market by
the reference banks. The Indenture Trustee will request the principal London office of each of
such reference banks to provide a quotation of its rate. If at least two such quotations are
provided, the rate for that day will be the arithmetic mean to the nearest 1/100,000 of 1.00%
(0.0000001), with five one-millionths of a percentage point rounded upward, of all such quotations.
If fewer than two such quotations are provided, the rate for that day will be the arithmetic mean
to the nearest 1/100,000 of 1.00% (0.0000001), with five one-millionths of a percentage point
rounded upward, of the offered per annum rates that one or more leading banks in New York City,
selected by the Indenture Trustee (after consulting with the Seller), are quoting as of
approximately 11:00 a.m., New York City time, on such LIBOR Determination Date to leading European
banks for United States dollar deposits for that

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maturity; provided, that if the banks selected as aforesaid are not quoting as mentioned in
this sentence, LIBOR in effect for the applicable Interest Period will be LIBOR in effect for the
previous Interest Period. The reference banks are the four major banks in the London interbank
market selected by the Indenture Trustee (after consultation with the Seller).]

     [“LIBOR Determination Date” means the second London Business Day prior to the Closing Date
with respect to the first Payment Date and, as to each subsequent Payment Date, the second London
Business Day prior to the immediately preceding Payment Date.]

     “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) 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”.

     [“London Business Day” means any day other than a Saturday, Sunday or day on which banking
institutions in London, England are authorized or obligated by law or government decree to be
closed.]

     “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.

     [“Net Swap Payment” means for the Interest Rate Swap Agreement, the net amount with respect to
regularly scheduled payments, if any, owed by the Issuer to the Swap Counterparty on any Payment
Date, including prior unpaid Net Swap Payments and any interest accrued thereon, under such
Interest Rate Swap Agreement; provided, that “Net Swap Payments” do not include Swap Termination
Payments.]

     [“Net Swap Receipts” means, for the Interest Rate Swap Agreement, the net amounts owed by the
Swap Counterparty to the Issuer, if any, on any Swap Payment Date, excluding any Swap Termination
Payments.]

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     “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 forms 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.

     “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 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 sum 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.

     “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 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 such Class on
or prior to such preceding Payment Date.

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     “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, any assistant 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 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, BANA.

     “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,
vote or waiver hereunder or under any Transaction Document, Notes owned by the

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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 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.

     “Owner Trustee” means [
                     ], a [            ], 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 [15th] 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 immediately 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 “AAAm” 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,

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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 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” means, 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 BANA
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, Standard & Poor’s or Fitch, 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

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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.
Notwithstanding the foregoing, no Rating Agency has any duty to review any notice given with
respect to any event, and it is understood that such Rating Agency may not actually review notices
received by it prior to or after the expiration of the ten (10) day period described in (b)
above. Further, each Rating Agency retains the right to downgrade, qualify or withdraw its rating
assigned to all or any of the Notes at any time in its sole judgment even if the Rating Agency
Condition with respect to an event had been previously satisfied pursuant to clause (a) or
clause (b) above.

     “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” has the meaning set forth 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 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 sum of (a) unpaid principal amount of the
Notes redeemed plus (b) accrued and unpaid interest thereon at the applicable Interest Rate for the
Notes being so redeemed, up to but excluding the Redemption Date [plus (c) all amounts owing to the
Swap Counterparty as of 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.
§§229.1100-229.1123, 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.

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     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.

     [“Replacement Interest Rate Swap Agreement” means any ISDA Master Agreement, dated after the
Closing Date, between the Replacement Swap Counterparty and the Issuer, the Schedule and Credit
Support Annex thereto, dated after the Closing Date, and the Confirmations thereto, each dated
after the Closing Date, and entered into pursuant to such ISDA Master Agreement, and pursuant to
the conditions set forth in the Initial Interest Rate Swap Agreement, as the same may be amended or
supplemented from time to time in accordance with the terms thereof.]

     [“Replacement Swap Counterparty” means, with respect to any Swap Counterparty, any replacement
Swap Counterparty under a Replacement Interest Rate Swap Agreement that satisfies the conditions
set forth in the Interest Rate Swap Agreement.]

     “Reportable Event” means any event required to be reported on Form 8-K, and in any event, the
following:

     (a) entry into a material definitive agreement related to the Issuer or the Notes or an
amendment to a Transaction Document, even if the Seller is not a party to such agreement
(e.g., a servicing agreement with a servicer contemplated by Item 1108(a)(3) of Regulation
AB);

     (b) termination of a Transaction Document (other than by expiration of the agreement on
its stated termination date or as a result of all parties completing their obligations under
such agreement), even if the Seller is not a party to such agreement (e.g., a servicing
agreement with a servicer contemplated by Item 1108(a)(3) of Regulation AB);

     (c) with respect to the Servicer only, the occurrence of a Servicer Replacement Event;

     (d) an Event of Default;

     (e) the resignation, removal, replacement, or substitution of the Indenture Trustee or
the Owner Trustee; and

     (f) with respect to the Indenture Trustee only, a required distribution to holders of
the Notes is not made as of the required Payment Date under the Indenture.

     “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

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such Receivable accrued to and including the end of the Collection Period preceding the date
that such Repurchased Receivable was purchased by BANA, the Servicer or the Seller, as applicable.

     “Repurchased Receivable” means a Receivable purchased by BANA 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 the sum of the
amounts in the Reserve Account and the remaining Available Funds after the payments under clauses
first through fifth 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, 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.

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     “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 set forth in Section 9.21(b)(iii) 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.

     “Securities Act” means the Securities Act of 1933, as amended.

     “Seller” means BAS Securitization LLC, a Delaware limited liability company.

     [“Senior Swap Termination Payment” means any Swap Termination Payment owed by the Issuer to
the Swap Counterparty under an Interest Rate Swap Agreement arising due to (1) the failure of the
Issuer to make Net Swap Payments due under that Interest Rate Swap Agreement, (2) illegality of
performance under the Interest Rate Swap Agreement or (3) the occurrence of bankruptcy or
insolvency events with respect to the Issuer.]

     “Servicer” means BANA, 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 provided,
however, that no Servicer Replacement Event will result from the breach by the Servicer of any
covenant for which the repurchase of the affected Receivable is specified as the sole remedy
pursuant to Section 2.3 or Section 3.6 of the Sale and Servicing Agreement so long
as such required repurchase takes place when and as required in the Sale and Servicing Agreement
(after giving effect to any applicable grace periods);

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     (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 BANA
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
Termination 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.

     “Servicing Criteria” means 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).

     “Servicing Fee Rate” means [  ]% 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
$[           ]
and the aggregate outstanding principal balance of the Notes after giving effect to all payments of
principal on such Payment Date; provided, however, if:

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     (a) the Specified Reserve Reduction Trigger is met on the
[                ] Payment Date,
the Specified Reserve Account Balance shall be reduced to $[                ] on that Payment
Date and shall remain at $[                ] for each Payment Date thereafter; and

     (b) the Specified Reserve Reduction Trigger is met on the
[                ] Payment Date,
the Specified Reserve Account Balance shall be reduced to $[                ] on that Payment
Date and shall remain at $[                ] for each Payment Date thereafter.

     “Specified Reserve Reduction Trigger” means a trigger event that is met for the applicable
Payment Date if the Cumulative Net Loss Ratio for such Payment Date is less than [ ]% on the [                ] Payment Date or less than
[  ]% on the [                 ] 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 §
3801 et seq.

     [“Subordinated Swap Termination Payment” means any Swap Termination Payment owed by the Issuer
to the Swap Counterparty under an Interest Rate Swap Agreement other than a Senior Swap Termination
Payment.]

     “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.

     [“Swap Collateral Account” means a single, segregated trust account in the name of the
Indenture Trustee, which shall be designated as the “Swap Collateral Account” which shall be held
in trust for the benefit of the Noteholders established pursuant to Section 4.8(e) of the
Sale and Servicing Agreement.]

     [“Swap Counterparty” means the Initial Swap Counterparty and any Replacement Swap
Counterparty.]

     [“Swap Payment Date” means the date on which Net Swap Receipts or Net Swap Payments, as
applicable, are made pursuant to the Interest Rate Swap Agreement.]

     [“Swap Replacement Proceeds” means any amounts received from a Replacement Swap Counterparty
in consideration for entering into a Replacement Interest Rate Swap Agreement for a terminated
Interest Rate Swap Agreement.]

Appendix A to the Sale and Servicing

Agreement (Trust 20[__]-[__])

22

 

     [“Swap Termination Payment” means any payment due to the Swap Counterparty by the Issuer or to
the Issuer by the Swap Counterparty, including interest that may accrue thereon, under the Interest
Rate Swap Agreement due to a termination of the Interest Rate Swap Agreement due to an “event of
default” or “termination event” under the Interest Rate Swap Agreement.]

     [“Swap Termination Payment Account” means an Eligible Account held in the United States in the
name of the Indenture Trustee which shall be held in trust for the benefit of the Noteholders and
the Swap Counterparty pursuant to Section 4.8(b) of the Sale and Servicing Agreement.]

     “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[, the Interest
Rate Swap Agreement] and the Trust Agreement, as the same may be amended or modified from time to
time.

     “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, the Related Security
relating thereto and Collections thereon after the Cut-Off Date, (ii) the Receivable Files, (iii)
any refunds in connection with extended service agreements relating to Receivables which became
Defaulted Receivables after the Cut-Off Date, (iv) 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), (v) the rights of the Seller, as
buyer, under the Purchase Agreement, (vi) the rights of the Issuer under the Sale and Servicing
Agreement [and the Interest Rate Swap Agreement] and (vii) all proceeds of the foregoing.

Appendix A to the Sale and Servicing

Agreement (Trust 20[__]-[__])

23

 

     “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).

     “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 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.

Appendix A to the Sale and Servicing

Agreement (Trust 20[__]-[__])

24

 

SCHEDULE X

YIELD SUPPLEMENT OVERCOLLATERALIZATION AMOUNT

	 	 	 	 	 
	 	 	 	 	Yield Supplement
	Payment Date	 	 	 	Overcollateralization Amount
	Closing Date
	 	 	 	$
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 

Appendix A to the Sale and Servicing

Agreement (20[__]-[__])

X-1 

 

	 	 	 	 	 
	 	 	 	 	Yield Supplement
	Payment Date	 	 	 	Overcollateralization Amount
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 
	 	 	 	 	 

Appendix A to the Sale and Servicing

Agreement (20[__]-[__])

X-2 

 

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 Originator in the ordinary course of its respective business or (B) has
been originated or acquired directly by the 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 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 Originator, as secured party, which
security interest, in either case, is assignable and has been so assigned (x) by BANA to the
Seller and (y) 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) provided, 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 [           ]%;

     (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 [           ] month[s] or more;

Schedule
I to the 
Sale and Servicing Agreement

I-1

 

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

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

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

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

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

     (ix) each Receivable is a Simple Interest Receivable;

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

     (xi) 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, the 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.

     (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.

Schedule
I to the 
Sale and Servicing Agreement

I-2

 

     (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, contribution,
transfer, assignment and conveyance herein contemplated constitute an absolute sale, contribution,
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
each 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 BANA or the
Seller that include a description of collateral covering the Receivables other than any financing
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.

Schedule I to the 
Sale and Servicing Agreement

I-3

 

     (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.

Schedule I to the 
Sale and Servicing Agreement

I-4

 

SCHEDULE II

NOTICE ADDRESSES

If to the Issuer:

Banc of America Auto Securities Trust 20[ ]-[ ]

c/o [                    ]

[                          ]

[                          ]

Facsimile no. [               ]

Attention: [                     ]

with copies to the Administrator, Bank of America, National Association and the Indenture Trustee

If to the Owner Trustee:

[                          ]

[                          ]

[                          ]

Facsimile no. [                    ]

Attention: [                    ]

If to the Indenture Trustee:

[                          ]

[                          ]

[                          ]

Facsimile no. [                    ]

Attention: [                    ]

If to Seller:

BAS Securitization LLC

100 North Tryon Street

Charlotte, North Carolina 28258

Facsimile no. [                    ]

Attention: [                    ]

If to the Servicer:

Banc of America, National Association

100 North Tryon Street

Charlotte, North Carolina 28258

Facsimile no. [                    ]

Schedule II to the

Sale and Servicing  Agreement

II-1

 

Attention: [                    ]

If to Moody’s:

Moody’s Investors Service, Inc.

99 Church Street

New York, New York 10007

Facsimile 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

Facsimile no. (212) 438-2664

Attention: Asset Backed Surveillance Group

If to Fitch:

Fitch Inc.

One State Street Plaza, 32nd Floor

New York, New York 10004

Facsimile: (212) 480-4438

Attention: Asset-Backed Securities Group

Schedule II to the

Sale and Servicing  Agreement

II-2

 

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 Banc of America Auto Securities Trust
20[ ]-[ ], a Delaware statutory trust (the “Issuer”), BAS Securitization LLC, a Delaware
limited liability company (the “Seller”), Bank of America, National Association, a national
banking association (“BANA”), and [                    ], a
[                    ] (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 without recourse (subject to the obligations in the Agreement) 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”), the Collections after the Cut-Off Date, the Receivables Files and the Related
Security relating thereto, together with all of Seller’s rights under the Purchase Agreement and
all proceeds of the foregoing; 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 or the 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.

     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.

[Remainder of page intentionally left blank.]

Exhibit A to the

Sale and Servicing  Agreement

A-1

 

     IN WITNESS HEREOF, the undersigned has caused this assignment to be duly executed as of the
date first above written.

	 	 	 	 	 
	 	BAS SECURITIZATION LLC

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

Exhibit A to the

Sale and Servicing  Agreement

A-2

 

	 	 	 	 	 

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 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 applicable UCC.

3. Each Receivable is secured by a first priority validly perfected security interest in the
related Financed Vehicle in favor of the 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 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 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”.

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

Exhibit B to the

Sale and Servicing  Agreement

B-1

 

(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 BANA has authorized the filing of, or is aware of, any financing
statements against either the Seller or BANA that include a description of collateral covering the
Receivables other than any financing statement (i) relating to the conveyance of the Receivables by
BANA 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 BANA is aware of any material judgment, ERISA or tax lien filings against
either the Seller or BANA.

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 B, 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, 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

Exhibit B to the

Sale and Servicing  Agreement

B-2

 

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.

Exhibit B to the

Sale and Servicing  Agreement

B-3

 

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 below as “Applicable Servicing Criteria”:

	 	 	 	 	 
	 	 	Servicing Criteria	 	Applicable
	Reference	 	Criteria	 	Servicing Criteria
	 

	 	General Servicing Considerations	 	 
	 
	 	 	 	 
	1122(d)(1)(i)

	 	Policies and procedures are instituted to monitor any performance or
other triggers and events of default in accordance with the
transaction agreements.	 	 
	 
	 	 	 	 
	1122(d)(1)(ii)

	 	If any material servicing activities are outsourced to third
parties, policies and procedures are instituted to monitor the third
party’s performance and compliance with such servicing activities.	 	 
	 
	 	 	 	 
	1122(d)(1)(iii)

	 	Any requirements in the transaction agreements to maintain a back-up
servicer for the pool assets are maintained.	 	 
	 
	 	 	 	 
	1122(d)(1)(iv)

	 	A fidelity bond and errors and omissions policy is in effect on the
party participating in the servicing function throughout the
reporting period in the amount of coverage required by and otherwise
in accordance with the terms of the transaction agreements.	 	 
	 
	 	 	 	 
	 

	 	Cash Collection and Administration	 	 
	 
	 	 	 	 
	1122(d)(2)(i)

	 	Payments on pool assets are deposited into the appropriate custodial
bank accounts and related bank clearing accounts no more than two
business days following receipt, or such other number of days
specified in the transaction agreements.
	 	X1
	 
	 	 	 	 
	1122(d)(2)(ii)

	 	Disbursements made via wire transfer on behalf of an obligor or to
an investor are made only by authorized personnel.
	 	X
	 
	 	 	 	 
	1122(d)(2)(iii)

	 	Advances of funds or guarantees regarding collections, cash flows or
distributions, and any interest or other fees charged for such
advances, are made, reviewed and approved as specified in the
transaction agreements.	 	 
	 
	 	 	 	 
	1122(d)(2)(iv)

	 	The related accounts for the transaction, such as cash reserve
accounts or accounts established as a form of overcollateralization,
are separately maintained (e.g., with respect to commingling of
cash) as set forth in the transaction agreements.	 	 
	 
	 	 	 	 
	1122(d)(2)(v)

	 	Each custodial account is maintained at a federally insured
depository institution as set forth in the transaction agreements.
For purposes of this criterion, “federally insured depository
institution” with respect to a foreign financial institution means a
foreign financial institution that meets the requirements of Rule
13k-1(b)(1) of the Securities Exchange Act.	 	 
	 
	 	 	 	 
	1122(d)(2)(vi)

	 	Unissued checks are safeguarded so as to prevent unauthorized access.	 	 
	 
	 	 	 	 
	1122(d)(2)(vii)

	 	Reconciliations are prepared on a monthly basis for all asset-backed
securities related bank accounts, including custodial accounts and
related bank clearing accounts. These reconciliations are (A)
mathematically accurate; (B) prepared within 30 calendar days after
the bank statement cutoff date, or such other number of days
specified in the transaction agreements; (C) reviewed and approved
by someone other than the person who prepared the reconciliation;
and (D) contain explanations for reconciling items. These
reconciling items are resolved within 90 calendar days of their
original identification, or such other number of days specified in
the transaction agreements.	 	 

 

			
	1	 	Solely with regard to deposits made by the Indenture
Trustee.

Exhibit C to the

Sale and Servicing  Agreement

C-1

 

	 	 	 	 	 
	 	 	Servicing Criteria	 	Applicable
	Reference	 	Criteria	 	Servicing Criteria
	 

	 	Investor Remittances and Reporting	 	 
	 
	 	 	 	 
	1122(d)(3)(i)

	 	Reports to investors, including those to be filed with the
Commission, are maintained in accordance with the transaction
agreements and applicable Commission requirements. Specifically,
such reports (A) are prepared in accordance with timeframes and
other terms set forth in the transaction agreements; (B) provide
information calculated in accordance with the terms specified in the
transaction agreements; (C) are filed with the Commission as
required by its rules and regulations; and (D) agree with investors’
or the trustee’s records as to the total unpaid principal balance
and number of pool assets serviced by the Servicer.	 	 
	 
	 	 	 	 
	1122(d)(3)(ii)

	 	Amounts due to investors are allocated and remitted in accordance
with timeframes, distribution priority and other terms set forth in
the transaction agreements.
	 	X
	 
	 	 	 	 
	1122(d)(3)(iii)

	 	Disbursements made to an investor are posted within two business
days to the Servicer’s investor records, or such other number of
days specified in the transaction agreements.
	 	X
	 
	 	 	 	 
	1122(d)(3)(iv)

	 	Amounts remitted to investors per the investor reports agree with
cancelled checks, or other form of payment, or custodial bank
statements.
	 	X
	 
	 	 	 	 
	 

	 	Pool Asset Administration	 	 
	 
	 	 	 	 
	1122(d)(4)(i)

	 	Collateral or security on pool assets is maintained as required by
the transaction agreements or related asset pool documents.	 	 
	 
	 	 	 	 
	1122(d)(4)(ii)

	 	Pool assets and related documents are safeguarded as required by the
transaction agreements	 	 
	 
	 	 	 	 
	1122(d)(4)(iii)

	 	Any additions, removals or substitutions to the asset pool are made,
reviewed and approved in accordance with any conditions or
requirements in the transaction agreements.	 	 
	 
	 	 	 	 
	1122(d)(4)(iv)

	 	Payments on pool assets, including any payoffs, made in accordance
with the related pool asset documents are posted to the Servicer’s
obligor records maintained no more than two business days after
receipt, or such other number of days specified in the transaction
agreements, and allocated to principal, interest or other items
(e.g., escrow) in accordance with the related asset pool documents.	 	 
	 
	 	 	 	 
	1122(d)(4)(v)

	 	The Servicer’s records regarding the accounts and the accounts agree
with the Servicer’s records with respect to an obligor’s unpaid
principal balance.	 	 
	 
	 	 	 	 
	1122(d)(4)(vi)

	 	Changes with respect to the terms or status of an obligor’s account
(e.g., loan modifications or re-agings) are made, reviewed and
approved by authorized personnel in accordance with the transaction
agreements and related pool asset documents.	 	 
	 
	 	 	 	 
	1122(d)(4)(vii)

	 	Loss mitigation or recovery actions (e.g., forbearance plans,
modifications and deeds in lieu of foreclosure, foreclosures and
repossessions, as applicable) are initiated, conducted and concluded
in accordance with the timeframes or other requirements established
by the transaction agreements.	 	 
	 
	 	 	 	 
	1122(d)(4)(viii)

	 	Records documenting collection efforts are maintained during the
period a pool asset is delinquent in accordance with the transaction
agreements. Such records are maintained on at least a monthly basis,
or such other period specified in the transaction agreements, and
describe the entity’s activities in monitoring delinquent pool
assets including, for example, phone calls, letters and payment
rescheduling plans in cases where delinquency is deemed temporary
(e.g., illness or unemployment).	 	 
	 
	 	 	 	 
	1122(d)(4)(ix)

	 	Adjustments to interest rates or rates of return for pool assets
with variable rates are computed based on the related pool asset
documents.	 	 

Exhibit C to the

Sale and Servicing  Agreement

C-2

 

	 	 	 	 	 
	 	 	Servicing Criteria	 	Applicable
	Reference	 	Criteria	 	Servicing Criteria
	1122(d)(4)(x)

	 	Regarding any funds held in trust for an obligor (such as escrow
accounts): (A) such funds are analyzed, in accordance with the
obligor’s Account documents, on at least an annual basis, or such
other period specified in the transaction agreements; (B) interest
on such funds is paid, or credited, to obligors in accordance with
applicable Account documents and state laws; and (C) such funds are
returned to the obligor within 30 calendar days of full repayment of
the related Accounts, or such other number of days specified in the
transaction agreements.	 	 
	 
	 	 	 	 
	1122(d)(4)(xi)

	 	Payments made on behalf of an obligor (such as tax or insurance
payments) are made on or before the related penalty or expiration
dates, as indicated on the appropriate bills or notices for such
payments, provided that such support has been received by the
servicer at least 30 calendar days prior to these dates, or such
other number of days specified in the transaction agreements.	 	 
	 
	 	 	 	 
	1122(d)(4)(xii)

	 	Any late payment penalties in connection with any payment to be made
on behalf of an obligor are paid from the servicer’s funds and not
charged to the obligor, unless the late payment was due to the
obligor’s error or omission.	 	 
	 
	 	 	 	 
	1122(d)(4)(xiii)

	 	Disbursements made on behalf of an obligor are posted within two
business days to the obligor’s records maintained by the servicer,
or such other number of days specified in the transaction
agreements.	 	 
	 
	 	 	 	 
	1122(d)(4)(xiv)

	 	Delinquencies, charge-offs and uncollectible accounts are recognized
and recorded in accordance with the transaction agreements.	 	 
	 
	 	 	 	 
	1122(d)(4)(xv)

	 	Any external enhancement or other support, identified in Item
1114(a)(1) through (3) or Item 1115 of Regulation AB, is maintained
as set forth in the transaction agreements.	 	 

Exhibit C to the

Sale and Servicing  Agreement

C-3

 

EXHIBIT D

FORM OF INDENTURE TRUSTEE’S ANNUAL CERTIFICATION

Re: BANC OF AMERICA AUTO SECURITIES TRUST 20[ ]-[ ]

          [           ], not in its individual capacity but solely as indenture
trustee (the
“Indenture Trustee”), certifies to BAS Securitization 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 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 among Bank of America, National
Association, Inc., the Seller, the Indenture Trustee and Banc of America Auto Securities
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; and

     (3) To the best of its knowledge, all of the Indenture Trustee Provided Information (as
defined in Section 9.23(a) of the Agreement) required to be provided by the
Indenture Trustee under the Agreement has been provided to the Seller.

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

 	 
	 	Date: 
 
	 
	 	 	 
	 	 	 

Exhibit D to the

Sale and Servicing  Agreement

D-1

 

	 	 	 	 	 

EXHIBIT E

FORM OF INDENTURE TRUSTEE’S ANNUAL CERTIFICATION

REGARDING ITEM 1117 AND ITEM 1119 OF REGULATION AB

     Reference is made to the Form 10-K of Banc of America Auto Securities Trust 20[ ]-[ ] (the
“Form 10-K”) for the fiscal year ended December 31, 20[ ]. Capitalized terms used but
not otherwise defined herein shall have the respective meanings given to them in the Form 10-K.

     [         ], a [          ]
(“[          ]”), does
hereby certify to the Sponsor, the Depositor and the Issuing Entity that:

          1. As of the date of the Form 10-K, there are no pending legal proceedings against
[          ]
or proceedings known to be contemplated by governmental authorities against [      ] that would
be material to the investors in the Notes.

          2. As of the date of the Form 10-K, there are no affiliations, as contemplated by Item 1119 of
Regulation AB, between [ ] and any of Bank of America, National Association, Inc. (in its
capacities as Sponsor, Originator, Servicer and Administrator), BAS Securitization LLC, the
Indenture Trustee, the Owner Trustee and the Issuing Entity, or any affiliates of such parties.

     IN WITNESS WHEREOF, [ ] has caused this certificate to be executed in its corporate
name by an officer thereunto duly authorized.

Dated: ____________, 20[ ]

	 	 	 	 	 
	 	[                           ], as
Indenture Trustee

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

E-1

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