Document:

<PAGE>

                     MERRILL LYNCH MORTGAGE INVESTORS, INC.,
                                    Depositor

                            HOME LOAN SERVICES, INC.,
                                    Servicer

                                       and

                       LASALLE BANK NATIONAL ASSOCIATION,
                                     Trustee

                                   ----------

                         POOLING AND SERVICING AGREEMENT
                             Dated as of May 1, 2007

                                   ----------

                MERRILL LYNCH FIRST FRANKLIN MORTGAGE LOAN TRUST,
             MORTGAGE LOAN ASSET-BACKED CERTIFICATES, SERIES 2007-3

<PAGE>

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                            PAGE
                                                                            ----
<S>                                                                         <C>
ARTICLE I    DEFINITIONS.................................................     13

ARTICLE II   CONVEYANCE OF MORTGAGE LOANS; REPRESENTATIONS AND
             WARRANTIES..................................................     66
   SECTION 2.01.    Conveyance of Mortgage Loans.........................     66
   SECTION 2.02.    Acceptance by the Trustee of the Mortgage Loans......     68
   SECTION 2.03.    Representations, Warranties and Covenants of the
                    Depositor............................................     70
   SECTION 2.04.    Representations and Warranties of the Servicer.......     73
   SECTION 2.05.    Substitutions and Repurchases of Mortgage Loans that
                    are not "Qualified Mortgages"........................     74
   SECTION 2.06.    Authentication and Delivery of Certificates..........     75
   SECTION 2.07.    REMIC Elections......................................     75
   SECTION 2.08.    [RESERVED]...........................................     80
   SECTION 2.09.    Covenants of the Servicer............................     80
   SECTION 2.10.    [RESERVED]...........................................     80
   SECTION 2.11.    Permitted Activities of the Issuing Entity...........     81
   SECTION 2.12.    Qualifying Special Purpose Entity....................     81
   SECTION 2.13.    Depositor Notification of NIM Notes..................     81

ARTICLE III  ADMINISTRATION AND SERVICING OF MORTGAGE LOANS..............     81
   SECTION 3.01.    Servicer to Service Mortgage Loans...................     81
   SECTION 3.02.    Servicing and Subservicing; Enforcement of the
                    Obligations of Servicer..............................     83
   SECTION 3.03.    Rights of the Depositor and the Trustee in Respect of
                    the Servicer.........................................     84
   SECTION 3.04.    Trustee to Act as Servicer...........................     84
   SECTION 3.05.    Collection of Mortgage Loan Payments; Collection
                    Account; Certificate Account.........................     85
   SECTION 3.06.    Collection of Taxes, Assessments and Similar Items;
                    Escrow Accounts......................................     88
   SECTION 3.07.    Access to Certain Documentation and Information
                    Regarding the Mortgage Loans.........................     89
   SECTION 3.08.    Permitted Withdrawals from the Collection Account and
                    Certificate Account..................................     89
   SECTION 3.09.    [RESERVED]...........................................     91
   SECTION 3.10.    Maintenance of Hazard Insurance......................     91
   SECTION 3.11.    Enforcement of Due-On-Sale Clauses; Assumption
                    Agreements...........................................     92
</TABLE>

                                      -i-

<PAGE>

                                TABLE OF CONTENTS
                                   (continued)

<TABLE>
<CAPTION>
                                                                            PAGE
                                                                            ----
<S>                                                                         <C>
   SECTION 3.12.    Realization Upon Defaulted Mortgage Loans;
                    Determination of Excess Proceeds; Special
                    Loss Mitigation......................................     93
   SECTION 3.13.    Trustee to Cooperate; Release of Mortgage Files......     97
   SECTION 3.14.    Documents, Records and Funds in Possession of
                    Servicer to be Held for the Trustee..................     98
   SECTION 3.15.    Servicing Compensation...............................     99
   SECTION 3.16.    Access to Certain Documentation......................     99
   SECTION 3.17.    Annual Statement as to Compliance....................     99
   SECTION 3.18.    Annual Independent Public Accountants' Servicing
                    Statement; Financial Statements......................    100
   SECTION 3.19.    Subordination of Liens...............................    102
   SECTION 3.20.    Periodic Filings.....................................    103
   SECTION 3.21.    Indemnification by Trustee...........................    106
   SECTION 3.22.    Indemnification by Servicer..........................    107
   SECTION 3.23.    Prepayment Charge Reporting Requirements.............    107
   SECTION 3.24.    Information to the Trustee...........................    108
   SECTION 3.25.    Indemnification......................................    108
   SECTION 3.26.    Solicitation.........................................    108
   SECTION 3.27.    High Cost Mortgage Loans.............................    109
   SECTION 3.28.    Rights of the NIMs Insurer...........................    109

ARTICLE IV   DISTRIBUTIONS...............................................    109
   SECTION 4.01.    Advances.............................................    109
   SECTION 4.02.    Reduction of Servicing Compensation in Connection
                    with Prepayment Interest Shortfalls..................    110
   SECTION 4.03.    Distributions on the REMIC Interests.................    110
   SECTION 4.04.    Distributions........................................    111
   SECTION 4.05.    Monthly Statements to Certificateholders.............    121

ARTICLE V    THE CERTIFICATES............................................    125
   SECTION 5.01.    The Certificates.....................................    125
   SECTION 5.02.    Certificate Register; Registration of Transfer and
                    Exchange of Certificates.............................    127
   SECTION 5.03.    Mutilated, Destroyed, Lost or Stolen Certificates....    131
   SECTION 5.04.    Persons Deemed Owners................................    131
   SECTION 5.05.    Access to List of Certificateholders' Names and
                    Addresses............................................    131
</TABLE>

                                      -ii-

<PAGE>

                                TABLE OF CONTENTS
                                   (continued)

<TABLE>
<CAPTION>
                                                                            PAGE
                                                                            ----
<S>                                                                         <C>
   SECTION 5.06.    Book-Entry Certificates..............................    132
   SECTION 5.07.    Notices to Depository................................    133
   SECTION 5.08.    Definitive Certificates..............................    133
   SECTION 5.09.    Maintenance of Office or Agency......................    133
   SECTION 5.10.    Authenticating Agents................................    133

ARTICLE VI   THE DEPOSITOR AND THE SERVICER..............................    134
   SECTION 6.01.    Respective Liabilities of the Depositor and the
                    Servicer.............................................    134
   SECTION 6.02.    Merger or Consolidation of the Depositor or the
                    Servicer.............................................    134
   SECTION 6.03.    Limitation on Liability of the Depositor, the
                    Servicer and Others..................................    135
   SECTION 6.04.    Limitation on Resignation of Servicer................    136
   SECTION 6.05.    Errors and Omissions Insurance; Fidelity Bonds.......    136

ARTICLE VII  DEFAULT; TERMINATION OF SERVICER............................    137
   SECTION 7.01.    Events of Default....................................    137
   SECTION 7.02.    Trustee to Act; Appointment of Successor.............    138
   SECTION 7.03.    Notification to Certificateholders...................    139

ARTICLE VIII CONCERNING THE TRUSTEE......................................    140
   SECTION 8.01.    Duties of the Trustee................................    140
   SECTION 8.02.    Certain Matters Affecting the Trustee................    141
   SECTION 8.03.    Trustee Not Liable for Certificates or Mortgage
                    Loans................................................    142
   SECTION 8.04.    Trustee May Own Certificates.........................    143
   SECTION 8.05.    Trustee's Fees and Expenses..........................    143
   SECTION 8.06.    Indemnification and Expenses of Trustee..............    143
   SECTION 8.07.    Eligibility Requirements for Trustee.................    144
   SECTION 8.08.    Resignation and Removal of Trustee...................    145
   SECTION 8.09.    Successor Trustee....................................    145
   SECTION 8.10.    Merger or Consolidation of Trustee...................    146
   SECTION 8.11.    Appointment of Co-Trustee or Separate Trustee........    146
   SECTION 8.12.    Tax Matters..........................................    147

ARTICLE IX   TERMINATION.................................................    149
   SECTION 9.01.    Termination upon Liquidation or Repurchase of all
                    Mortgage Loans.......................................    149
   SECTION 9.02.    Final Distribution on the Certificates...............    151
   SECTION 9.03.    Additional Termination Requirements..................    152
</TABLE>

                                      -iii-

<PAGE>

                                TABLE OF CONTENTS
                                   (continued)

<TABLE>
<CAPTION>
                                                                            PAGE
                                                                            ----
<S>                                                                         <C>
ARTICLE X    MISCELLANEOUS PROVISIONS....................................    153
   SECTION 10.01.   Amendment............................................    153
   SECTION 10.02.   Counterparts.........................................    155
   SECTION 10.03.   Governing Law........................................    155
   SECTION 10.04.   Intention of Parties.................................    155
   SECTION 10.05.   Notices..............................................    156
   SECTION 10.06.   Severability of Provisions...........................    156
   SECTION 10.07.   Assignment; Sales; Advance Facilities................    157
   SECTION 10.08.   Limitation on Rights of Certificateholders...........    158
   SECTION 10.09.   Inspection and Audit Rights..........................    159
   SECTION 10.10.   Certificates Nonassessable and Fully Paid............    159
   SECTION 10.11.   Compliance with Regulation AB........................    159
   SECTION 10.12.   Third Party Rights...................................    159
   SECTION 10.13.   Additional Rights of the NIMs Insurer................    159
</TABLE>

                                      -iv-

<PAGE>

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                            PAGE
                                                                            ----
<S>                                                                         <C>
EXHIBIT A     FORMS OF CERTIFICATES
EXHIBIT B     MORTGAGE LOAN SCHEDULE
EXHIBIT C     [RESERVED]
EXHIBIT D     FORM OF TRUSTEE CERTIFICATION
EXHIBIT E-1   FORM OF TRANSFEREE'S LETTER AND AFFIDAVIT
EXHIBIT E-2   FORM OF TRANSFEROR'S AFFIDAVIT
EXHIBIT F     FORM OF TRANSFEROR CERTIFICATE
EXHIBIT G     FORM OF INVESTMENT LETTER (ACCREDITED INVESTOR)
EXHIBIT H     FORM OF RULE 144A INVESTMENT LETTER (QUALIFIED
              INSTITUTIONAL BUYER)
EXHIBIT I     FORM OF REQUEST FOR RELEASE
EXHIBIT J     [RESERVED]
EXHIBIT K     FORM OF BACK-UP CERTIFICATION OF TRUSTEE
EXHIBIT L     FORM OF OFFICER'S CERTIFICATE OF SERVICER
EXHIBIT M-1   FORM OF GROUP ONE CAP CORRIDOR CONTRACT
EXHIBIT M-2   FORM OF GROUP TWO CAP CORRIDOR CONTRACT
EXHIBIT M-3   FORM OF CLASS M-5, CLASS M-6 AND CLASS B CERTIFICATE CAP
              CORRIDOR CONTRACT
EXHIBIT M-4   FORM OF CREDIT SUPPORT ANNEX RELATED TO THE CAP CORRIDOR
              CONTRACTS
EXHIBIT N     [RESERVED]
EXHIBIT O     FORM OF TRANSFEROR REPRESENTATION LETTER FOR TRANSFER TO
              REGULATION S BOOK-ENTRY CERTIFICATE FROM A HOLDER OF A RULE
              144A BOOK-ENTRY CERTIFICATE OR DEFINITIVE CERTIFICATE
EXHIBIT P     FORM OF TRANSFEROR REPRESENTATION LETTER FOR TRANSFER
              PURSUANT TO RULE 144A FROM A HOLDER OF A REGULATION S
              BOOK-ENTRY CERTIFICATE OR DEFINITIVE CERTIFICATE
EXHIBIT Q-1   FORM OF SWAP AGREEMENT
EXHIBIT Q-2   FORM OF CREDIT SUPPORT ANNEX RELATED TO THE SWAP AGREEMENT
EXHIBIT R     FORM OF ASSESSMENT OF COMPLIANCE
EXHIBIT S     SERVICING CRITERIA TO BE ADDRESSED IN ASSESSMENT OF
              COMPLIANCE
EXHIBIT T     FORM OF SARBANES-OXLEY CERTIFICATIONS
EXHIBIT U     FORM OF ITEM 1123 CERTIFICATION OF SERVICER
EXHIBIT V     FORM OF DELINQUENCY REPORT
EXHIBIT W     [RESERVED]

SCHEDULE X
SCHEDULE Y
SCHEDULE Z
</TABLE>

                                      -v-

<PAGE>

     POOLING AND SERVICING AGREEMENT, dated as of May 1, 2007 (the "Agreement"),
among MERRILL LYNCH MORTGAGE INVESTORS, INC., a Delaware corporation, as
depositor (the "Depositor"), HOME LOAN SERVICES, INC., a Nevada corporation, as
servicer (the "Servicer"), and LASALLE BANK NATIONAL ASSOCIATION, a national
banking association, as trustee (the "Trustee").

     The Depositor is the owner of the Trust Fund that is hereby conveyed to the
Trustee in return for the Certificates. The Trust Fund for federal income tax
purposes will consist of (i) three real estate mortgage investment conduits,
(ii) the right to receive payments distributable to the Class P Certificates
pursuant to Section 4.04(b)(i) hereof, (iii) each Corridor Contract and the
Corridor Contract Account, (iv) the grantor trusts described in Section 2.07
hereof and (v) the Supplemental Interest Trust, which in turn will hold the Swap
Agreement. The SWAP REMIC will consist of all of the assets constituting the
Trust Fund (other than the assets described in clauses (ii), (iii), (iv) and (v)
above, other than the SWAP REMIC Regular Interests and other than the Lower Tier
REMIC Regular Interests) and will be evidenced by the SWAP REMIC Regular
Interests (which will be uncertificated and will represent the "regular
interests" in the SWAP REMIC) and the Class SWR Interest as the single "residual
interest" in the SWAP REMIC. The Lower Tier REMIC will consist of SWAP REMIC
Regular Interests and will be evidenced by the Lower Tier REMIC Regular
Interests (which will be uncertificated and will represent the "regular
interests" in the Lower Tier REMIC) and the Class LTR Interest as the single
"residual interest" in the Lower Tier REMIC. The Trustee will hold the Lower
Tier REMIC Regular Interests. The Upper Tier REMIC will consist of the Lower
Tier REMIC Regular Interests and will be evidenced by the REMIC Regular
Interests (which will represent the "regular interests" in the Upper Tier REMIC)
and the Residual Interest as the single "residual interest" in the Upper Tier
REMIC. The Class R Certificate will represent beneficial ownership of the Class
SWR Interest, the Class LTR Interest and the Residual Interest. The "latest
possible maturity date" for federal income tax purposes of all interests created
hereby will be the Latest Possible Maturity Date.

     All covenants and agreements made by the Sponsor in the Purchase Agreement
and by the Depositor and the Trustee herein with respect to the Mortgage Loans
and the other property constituting the Trust Fund are for the benefit of the
Holders from time to time of the Certificates and, to the extent provided
herein, the NIMs Insurer.

THE SWAP REMIC

     The following table sets forth the designations, initial principal balances
and interest rates for each interest in the SWAP REMIC:

<TABLE>
<CAPTION>
Class     Initial Principal Balance   Interest Rate
-----     -------------------------   -------------
<S>       <C>                         <C>
1-SW1         $ 77,125,829.048             (1)
1-SW1A        $  5,700,659.688             (2)
1-SW1B        $  5,700,659.688             (3)
1-SW2A        $  5,927,633.304             (2)
1-SW2B        $  5,927,633.304             (3)
1-SW3A        $  6,319,561.441             (2)
1-SW3B        $  6,319,561.441             (3)
1-SW4A        $  7,268,415.827             (2)
1-SW4B        $  7,268,415.827             (3)
</TABLE>

<PAGE>

<TABLE>
<S>       <C>                         <C>
1-SW5A        $  7,993,312.243             (2)
1-SW5B        $  7,993,312.243             (3)
1-SW6A        $  9,317,345.921             (2)
1-SW6B        $  9,317,345.921             (3)
1-SW7A        $  8,738,190.936             (2)
1-SW7B        $  8,738,190.936             (3)
1-SW8A        $  8,078,027.205             (2)
1-SW8B        $  8,078,027.205             (3)
1-SW9A        $  7,548,465.573             (2)
1-SW9B        $  7,548,465.573             (3)
1-SW10A       $  7,038,488.946             (2)
1-SW10B       $  7,038,488.946             (3)
1-SW11A       $  6,659,042.734             (2)
1-SW11B       $  6,659,042.734             (3)
1-SW12A       $  6,263,759.685             (2)
1-SW12B       $  6,263,759.685             (3)
1-SW13A       $  5,938,011.226             (2)
1-SW13B       $  5,938,011.226             (3)
1-SW14A       $  5,544,223.505             (2)
1-SW14B       $  5,544,223.505             (3)
1-SW15A       $  5,293,336.492             (2)
1-SW15B       $  5,293,336.492             (3)
1-SW16A       $ 20,624,934.406             (2)
1-SW16B       $ 20,624,934.406             (3)
1-SW17A       $ 25,626,015.567             (2)
1-SW17B       $ 25,626,015.567             (3)
1-SW18A       $ 22,087,051.930             (2)
1-SW18B       $ 22,087,051.930             (3)
1-SW19A       $ 17,633,996.551             (2)
1-SW19B       $ 17,633,996.551             (3)
1-SW20A       $  9,700,534.832             (2)
1-SW20B       $  9,700,534.832             (3)
1-SW21A       $  7,266,506.994             (2)
1-SW21B       $  7,266,506.994             (3)
1-SW22A       $  5,688,869.431             (2)
1-SW22B       $  5,688,869.431             (3)
1-SW23A       $  5,134,056.303             (2)
1-SW23B       $  5,134,056.303             (3)
1-SW24A       $  4,748,323.802             (2)
1-SW24B       $  4,748,323.802             (3)
1-SW25A       $  4,303,328.292             (2)
1-SW25B       $  4,303,328.292             (3)
1-SW26A       $  3,839,568.947             (2)
1-SW26B       $  3,839,568.947             (3)
1-SW27A       $  3,474,435.606             (2)
1-SW27B       $  3,474,435.606             (3)
</TABLE>

                                      -2-

<PAGE>

<TABLE>
<S>       <C>                         <C>
1-SW28A       $  4,577,366.445             (2)
1-SW28B       $  4,577,366.445             (3)
1-SW29A       $  6,736,938.430             (2)
1-SW29B       $  6,736,938.430             (3)
1-SW30A       $  6,142,074.472             (2)
1-SW30B       $  6,142,074.472             (3)
1-SW31A       $  5,019,728.806             (2)
1-SW31B       $  5,019,728.806             (3)
1-SW32A       $  4,064,075.400             (2)
1-SW32B       $  4,064,075.400             (3)
1-SW33A       $  3,358,081.991             (2)
1-SW33B       $  3,358,081.991             (3)
1-SW34A       $  2,950,887.936             (2)
1-SW34B       $  2,950,887.936             (3)
1-SW35A       $  2,755,578.507             (2)
1-SW35B       $  2,755,578.507             (3)
1-SW36A       $  2,423,377.591             (2)
1-SW36B       $  2,423,377.591             (3)
1-SW37A       $  2,191,303.479             (2)
1-SW37B       $  2,191,303.479             (3)
1-SW38A       $  1,974,166.233             (2)
1-SW38B       $  1,974,166.233             (3)
1-SW39A       $  1,850,495.944             (2)
1-SW39B       $  1,850,495.944             (3)
1-SW40A       $  1,812,430.737             (2)
1-SW40B       $  1,812,430.737             (3)
1-SW41A       $    903,201.091             (2)
1-SW41B       $    903,201.091             (3)
1-SW42A       $  1,062,248.535             (2)
1-SW42B       $  1,062,248.535             (3)
1-SW43A       $  1,017,451.250             (2)
1-SW43B       $  1,017,451.250             (3)
1-SW44A       $    956,769.886             (2)
1-SW44B       $    956,769.886             (3)
1-SW45A       $    892,230.911             (2)
1-SW45B       $    892,230.911             (3)
1-SW46A       $    837,410.476             (2)
1-SW46B       $    837,410.476             (3)
1-SW47A       $    828,082.823             (2)
1-SW47B       $    828,082.823             (3)
1-SW48A       $    779,393.088             (2)
1-SW48B       $    779,393.088             (3)
1-SW49A       $ 19,012,346.689             (2)
1-SW49B       $ 19,012,346.689             (3)
2-SW2         $134,291,806.932             (4)
2-SW1A        $  9,926,011.812             (5)
</TABLE>

                                      -3-

<PAGE>

<TABLE>
<S>       <C>                         <C>
2-SW1B        $  9,926,011.812             (6)
2-SW2A        $ 10,321,219.196             (5)
2-SW2B        $ 10,321,219.196             (6)
2-SW3A        $ 11,003,646.059             (5)
2-SW3B        $ 11,003,646.059             (6)
2-SW4A        $ 12,655,795.173             (5)
2-SW4B        $ 12,655,795.173             (6)
2-SW5A        $ 13,917,987.757             (5)
2-SW5B        $ 13,917,987.757             (6)
2-SW6A        $ 16,223,400.579             (5)
2-SW6B        $ 16,223,400.579             (6)
2-SW7A        $ 15,214,973.564             (5)
2-SW7B        $ 15,214,973.564             (6)
2-SW8A        $ 14,065,493.795             (5)
2-SW8B        $ 14,065,493.795             (6)
2-SW9A        $ 13,143,418.927             (5)
2-SW9B        $ 13,143,418.927             (6)
2-SW10A       $ 12,255,445.554             (5)
2-SW10B       $ 12,255,445.554             (6)
2-SW11A       $ 11,594,752.266             (5)
2-SW11B       $ 11,594,752.266             (6)
2-SW12A       $ 10,906,483.815             (5)
2-SW12B       $ 10,906,483.815             (6)
2-SW13A       $ 10,339,289.274             (5)
2-SW13B       $ 10,339,289.274             (6)
2-SW14A       $  9,653,624.495             (5)
2-SW14B       $  9,653,624.495             (6)
2-SW15A       $  9,216,779.008             (5)
2-SW15B       $  9,216,779.008             (6)
2-SW16A       $ 35,912,219.594             (5)
2-SW16B       $ 35,912,219.594             (6)
2-SW17A       $ 44,620,122.433             (5)
2-SW17B       $ 44,620,122.433             (6)
2-SW18A       $ 38,458,064.570             (5)
2-SW18B       $ 38,458,064.570             (6)
2-SW19A       $ 30,704,386.449             (5)
2-SW19B       $ 30,704,386.449             (6)
2-SW20A       $ 16,890,610.668             (5)
2-SW20B       $ 16,890,610.668             (6)
2-SW21A       $ 12,652,471.506             (5)
2-SW21B       $ 12,652,471.506             (6)
2-SW22A       $  9,905,482.569             (5)
2-SW22B       $  9,905,482.569             (6)
2-SW23A       $  8,939,439.697             (5)
2-SW23B       $  8,939,439.697             (6)
2-SW24A       $  8,267,800.698             (5)
</TABLE>

                                      -4-

<PAGE>

<TABLE>
<S>       <C>                         <C>
2-SW24B       $  8,267,800.698             (6)
2-SW25A       $  7,492,972.708             (5)
2-SW25B       $  7,492,972.708             (6)
2-SW26A       $  6,685,473.053             (5)
2-SW26B       $  6,685,473.053             (6)
2-SW27A       $  6,049,701.394             (5)
2-SW27B       $  6,049,701.394             (6)
2-SW28A       $  7,970,129.055             (5)
2-SW28B       $  7,970,129.055             (6)
2-SW29A       $ 11,730,384.570             (5)
2-SW29B       $ 11,730,384.570             (6)
2-SW30A       $ 10,694,605.028             (5)
2-SW30B       $ 10,694,605.028             (6)
2-SW31A       $  8,740,372.194             (5)
2-SW31B       $  8,740,372.194             (6)
2-SW32A       $  7,076,384.600             (5)
2-SW32B       $  7,076,384.600             (6)
2-SW33A       $  5,847,106.009             (5)
2-SW33B       $  5,847,106.009             (6)
2-SW34A       $  5,138,098.064             (5)
2-SW34B       $  5,138,098.064             (6)
2-SW35A       $  4,798,024.493             (5)
2-SW35B       $  4,798,024.493             (6)
2-SW36A       $  4,219,594.909             (5)
2-SW36B       $  4,219,594.909             (6)
2-SW37A       $  3,815,506.521             (5)
2-SW37B       $  3,815,506.521             (6)
2-SW38A       $  3,437,426.267             (5)
2-SW38B       $  3,437,426.267             (6)
2-SW39A       $  3,222,091.056             (5)
2-SW39B       $  3,222,091.056             (6)
2-SW40A       $  3,155,811.763             (5)
2-SW40B       $  3,155,811.763             (6)
2-SW41A       $  1,572,657.409             (5)
2-SW41B       $  1,572,657.409             (6)
2-SW42A       $  1,849,591.465             (5)
2-SW42B       $  1,849,591.465             (6)
2-SW43A       $  1,771,590.250             (5)
2-SW43B       $  1,771,590.250             (6)
2-SW44A       $  1,665,931.614             (5)
2-SW44B       $  1,665,931.614             (6)
2-SW45A       $  1,553,556.089             (5)
2-SW45B       $  1,553,556.089             (6)
2-SW46A       $  1,458,102.524             (5)
2-SW46B       $  1,458,102.524             (6)
2-SW47A       $  1,441,861.177             (5)
</TABLE>

                                      -5-

<PAGE>

<TABLE>
<S>       <C>                         <C>
2-SW47B       $  1,441,861.177             (6)
2-SW48A       $  1,357,082.412             (5)
2-SW48B       $  1,357,082.412             (6)
2-SW49A       $ 33,104,375.311             (5)
2-SW49B       $ 33,104,375.311             (6)
SWR                         (7)            (7)
</TABLE>

(1)  The interest rate on the Class 1-SW1 Interest shall be a per annum rate
     equal to the Group One Net WAC.

(2)  For any Distribution Date, the interest rate on each SWAP REMIC Regular
     Interest beginning with the designation "1" and ending with the designation
     "A" shall be a per annum rate equal to 2 times the Group One Net WAC,
     subject to a maximum rate of 2 times the REMIC Swap Rate for such
     Distribution Date.

(3)  For any Distribution Date, the interest rate on each SWAP REMIC Regular
     Interest beginning with the designation "1" and ending with the designation
     "B" shall be a per annum rate equal to the greater of (x) the excess, if
     any, of (i) 2 times the Group One Net WAC over (ii) 2 times the REMIC Swap
     Rate for such Distribution Date and (y) 0.00%.

(4)  The interest rate on the Class 2-SW2 Interest shall be a per annum rate
     equal to the Group Two Net WAC.

(5)  For any Distribution Date, the interest rate on each SWAP REMIC Regular
     Interest beginning with the designation "2" and ending with the designation
     "A" shall be a per annum rate equal to 2 times the Group Two Net WAC,
     subject to a maximum rate of 2 times the REMIC Swap Rate for such
     Distribution Date.

(6)  For any Distribution Date, the interest rate on each SWAP REMIC Regular
     Interest beginning with the designation "2" and ending with the designation
     "B" shall be a per annum rate equal to the greater of (x) the excess, if
     any, of (i) 2 times the Group Two Net WAC over (ii) 2 times the REMIC Swap
     Rate for such Distribution Date and (y) 0.00%.

(7)  The Class SWR Interest shall have no principal amount and shall bear no
     interest.

THE LOWER TIER REMIC

The following table sets forth the designations, initial principal balances,
interest rates, Corresponding Classes of Certificates and related Mortgage Group
for each interest in the Lower Tier REMIC:

<TABLE>
<CAPTION>
                                                    Class(es) of
                                                   Corresponding
          Initial Principal                   Certificates or Related
Class          Balance        Interest Rate        Mortgage Group
-----     -----------------   -------------   -----------------------
<S>       <C>                 <C>             <C>
LTA-1A            (1)               (8)               A-1A, R
LTA-1B            (1)               (8)                A-1B
LTA-1C            (1)               (8)                A-1C
LTA-1D            (1)               (8)                A-1D
LTA-2A            (1)               (8)                A-2A
LTA-2B            (1)               (8)                A-2B
LTA-2C            (1)               (8)                A-2C
</TABLE>

                                       -6-

<PAGE>

<TABLE>
<S>       <C>                 <C>             <C>
LTA-2D            (1)               (8)                A-2D
LTM-1-1           (1)               (8)                M-1-1
LTM-1-2           (1)               (8)                M-1-2
LTM-2-1           (1)               (8)                M-2-1
LTM-2-2           (1)               (8)                M-2-2
LTM-3-1           (1)               (8)                M-3-1
LTM-3-2           (1)               (8)                M-3-2
LTM-4-1           (1)               (8)                M-4-1
LTM-4-2           (1)               (8)                M-4-2
LTM-5             (1)               (8)                 M-5
LTM-6             (1)               (8)                 M-6
LTB-1             (1)               (8)                 B-1
LTB-2             (1)               (8)                 B-2
LTB-3             (1)               (8)                 B-3
LTIX              (2)               (8)                 N/A
LTII1A            (3)               (8)              Group One
LTII1B            (4)               (9)              Group One
LTII2A            (5)               (8)              Group Two
LTII2B            (6)              (10)              Group Two
LTIIX             (7)               (8)                 N/A
LT-IO            (11)              (11)                 N/A
LTR              (12)              (12)                 N/A
</TABLE>

(1)  The initial principal balance of each of these Lower Tier REMIC Regular
     Interests shall equal 1/4 of the initial Certificate Principal Balance of
     its Corresponding Certificates.

(2)  The initial principal balance of the Class LTIX Interest shall equal the
     excess of (i) 50% of the aggregate Cut-off Date Principal Balance of the
     Mortgage Loans over (ii) the initial principal balance of the Lower Tier
     REMIC I Marker Interests.

(3)  The initial principal balance of the Class LTII1A Interest shall equal
     0.05% of the excess of (i) the aggregate Cut-off Date Principal Balance of
     the Group One Mortgage Loans over (ii) the aggregate of the initial
     Certificate Principal Balances of Certificate Group One.

(4)  The initial principal balance of the Class LTII1B Interest shall equal
     0.05% of the aggregate Cut-off Date Principal Balance of the Group One
     Mortgage Loans.

(5)  The initial principal balance of the Class LTII2A Interest shall equal
     0.05% of the excess of (i) the aggregate Cut-off Date Principal Balance of
     the Group Two Mortgage Loans over (ii) the aggregate of the initial
     Certificate Principal Balances of Certificate Group Two.

(6)  The initial principal balance of the Class LTII2B Interest shall equal
     0.05% of the aggregate Cut-off Date Principal Balance of the Group Two
     Mortgage Loans.

(7)  The initial principal balance of the Class LTIIX Interest shall equal the
     excess of (i) 50% of the aggregate Cut-off Date Principal Balance of the
     Mortgage Loans over (ii) the initial principal balance of the Lower Tier
     REMIC II Marker Interests.

                                      -7-
<PAGE>

(8)  For each Distribution Date, the interest rate for each of the Lower Tier
     REMIC Regular Interests (other than the Class LTII1B, the Class LTII2B and
     the Class LT-IO Interests) shall be a per annum rate (but not less than
     zero) equal to the product of (i) the weighted average of the interest
     rates on the SWAP REMIC Regular Interests for such Distribution Date and
     (ii) a fraction the numerator of which is 30 and the denominator of which
     is the actual number of days in the Accrual Period for the LIBOR
     Certificates, provided however, that for any Distribution Date on which the
     Class LT-IO Interest is entitled to a portion of interest accruals on a
     SWAP REMIC Regular Interest ending with a designation "A" as described in
     footnote 11 below, such weighted average shall be computed by first
     subjecting the rate on such SWAP REMIC Regular Interest to a cap equal to
     Swap LIBOR for such Distribution Date.

(9)  For each Distribution Date, the interest rate for the Class LTII1B Interest
     shall be a per annum rate equal to the product of (i) the weighted average
     of the interest rates on the SWAP REMIC Regular Interests beginning with
     the designation "1" for such Distribution Date and (ii) a fraction the
     numerator of which is 30 and the denominator of which is the actual number
     of days in the Accrual Period for the LIBOR Certificates, provided,
     however, that for any Distribution Date on which the Class LT-IO Interest
     is entitled to a portion of interest accruals on a SWAP REMIC Regular
     Interest ending with a designation "A" as described in footnote 11 below,
     such weighted average shall be computed by first subjecting the rate on
     such SWAP REMIC Regular Interest to a cap equal to Swap LIBOR for such
     Distribution Date.

(10) For each Distribution Date, the interest rate for the Class LTII2B Interest
     shall be a per annum rate equal to the product of (i) the weighted average
     of the interest rates on the SWAP REMIC Regular Interests beginning with
     the designation "2" for such Distribution Date and (ii) a fraction the
     numerator of which is 30 and the denominator of which is the actual number
     of days in the Accrual Period for the LIBOR Certificates, provided,
     however, that for any Distribution Date on which the Class LT-IO Interest
     is entitled to a portion of interest accruals on a SWAP REMIC Regular
     Interest ending with a designation "A" as described in footnote 11 below,
     such weighted average shall be computed by first subjecting the rate on
     such SWAP REMIC Regular Interest to a cap equal to Swap LIBOR for such
     Distribution Date.

(11) The Class LT-IO Interest is an interest-only class that does not have a
     principal balance. For only those Distribution Dates listed in the first
     column of the table below, the Class LT-IO Interest shall be entitled to
     interest accrued on the SWAP REMIC Regular Interest listed in the second
     column below at a per annum rate equal to the excess, if any, of (i) the
     interest rate for such SWAP REMIC Regular Interest for such Distribution
     Date over (ii) Swap LIBOR for such Distribution Date.

<TABLE>
<CAPTION>
                 SWAP REMIC
Distribution      Regular
    Date          Interest
------------   -------------
<S>            <C>
7               Class 1-SW1A
                Class 2-SW1A
7-8             Class 1-SW2A
                Class 2-SW2A
7-9             Class 1-SW3A
                Class 2-SW3A
7-10            Class 1-SW4A
                Class 2-SW4A
7-11            Class 1-SW5A
                Class 2-SW5A
7-12            Class 1-SW6A
                Class 2-SW6A
7-13            Class 1-SW7A
                Class 2-SW7A
7-14            Class 1-SW8A
                Class 2-SW8A
</TABLE>

                                       -8-

<PAGE>

<TABLE>
<S>            <C>
7-15            Class 1-SW9A
                Class 2-SW9A
7-16           Class 1-SW10A
               Class 2-SW10A
7-17           Class 1-SW11A
               Class 2-SW11A
7-18           Class 1-SW12A
               Class 2-SW12A
7-19           Class 1-SW13A
               Class 2-SW13A
7-20           Class 1-SW14A
               Class 2-SW14A
7-21           Class 1-SW15A
               Class 2-SW15A
7-22           Class 1-SW16A
               Class 2-SW16A
7-23           Class 1-SW17A
               Class 2-SW17A
7-24           Class 1-SW18A
               Class 2-SW18A
7-25           Class 1-SW19A
               Class 2-SW19A
7-26           Class 1-SW20A
               Class 2-SW20A
7-27           Class 1-SW21A
               Class 2-SW21A
7-28           Class 1-SW22A
               Class 2-SW22A
7-29           Class 1-SW23A
               Class 2-SW23A
7-30           Class 1-SW24A
               Class 2-SW24A
7-31           Class 1-SW25A
               Class 2-SW25A
7-32           Class 1-SW26A
               Class 2-SW26A
7-33           Class 1-SW27A
               Class 2-SW27A
7-34           Class 1-SW28A
               Class 2-SW28A
7-35           Class 1-SW29A
               Class 2-SW29A
7-36           Class 1-SW30A
               Class 2-SW30A
7-37           Class 1-SW31A
               Class 2-SW31A
7-38           Class 1-SW32A
               Class 2-SW32A
7-39           Class 1-SW33A
               Class 2-SW33A
7-40           Class 1-SW34A
               Class 2-SW34A
7-41           Class 1-SW35A
</TABLE>

                                       -9-

<PAGE>

<TABLE>
<S>            <C>
               Class 2-SW35A
7-42           Class 1-SW36A
               Class 2-SW36A
7-43           Class 1-SW37A
               Class 2-SW37A
7-44           Class 1-SW38A
               Class 2-SW38A
7-45           Class 1-SW39A
               Class 2-SW39A
7-46           Class 1-SW40A
               Class 2-SW40A
7-52           Class 1-SW41A
               Class 2-SW41A
7-53           Class 1-SW42A
               Class 2-SW42A
7-54           Class 1-SW43A
               Class 2-SW43A
7-55           Class 1-SW44A
               Class 2-SW44A
7-56           Class 1-SW45A
               Class 2-SW45A
7-57           Class 1-SW46A
               Class 2-SW46A
7-58           Class 1-SW47A
               Class 2-SW47A
7-59           Class 1-SW48A
               Class 2-SW48A
7-60           Class 1-SW49A
               Class 2-SW49A
</TABLE>

(12) The Class LTR Interest shall have no principal amount and shall bear no
     interest.

UPPER TIER REMIC

The following table sets forth the designation, the initial principal balances,
the interest rates and Classes of Related Certificates for each of the interests
in the Upper Tier REMIC.

<TABLE>
<CAPTION>
                  Initial             Class of
                 Principal             Related
Class             Balance    Rate   Certificates
--------------   ---------   ----   ------------
<S>              <C>         <C>    <C>
UTA-1A              (1)       (2)       A-1A
UTA-1B              (1)       (2)       A-1B
UTA-1C              (1)       (2)       A-1C
UTA-1D              (1)       (2)       A-1D
UTA-2A              (1)       (2)       A-2A
UTA-2B              (1)       (2)       A-2B
UTA-2C              (1)       (2)       A-2C
UTA-2D              (1)       (2)       A-2D
UTM-1-1             (1)       (2)       M-1-1
UTM-1-2             (1)       (2)       M-1-2
UTM-2-1             (1)       (2)       M-2-1
</TABLE>

                                      -10-

<PAGE>

<TABLE>
<S>              <C>         <C>    <C>
UTM-2-2             (1)       (2)       M-2-2
UTM-3-1             (1)       (2)       M-3-1
UTM-3-2             (1)       (2)       M-3-2
UTM-4-1             (1)       (2)       M-4-1
UTM-4-2             (1)       (2)       M-4-2
UTM-5               (1)       (2)       M-5
UTM-6               (1)       (2)       M-6
UTB-1               (1)       (2)       B-1
UTB-2               (1)       (2)       B-2
UTB-3               (1)       (2)       B-3
Uncertificated
   Class C
   Interest         (3)       (3)       N/A
UT-IO               (4)       (4)       N/A
Residual
   Interest         (1)       (2)       R
</TABLE>

(1)  The initial principal balance of each of these REMIC Regular Interests and
     the Residual Interest shall equal the initial principal balance of its
     Class of Related Certificates.

(2)  The interest rates on each of these REMIC Regular Interests and the
     Residual Interest shall be an annual rate equal to the Pass-Through Rate
     for the Class of Related Certificates, provided that in lieu of the
     applicable Available Funds Cap set forth in the definition of an applicable
     Pass-Through Rate, the applicable Upper Tier REMIC Net WAC Cap shall be
     used.

(3)  The Uncertificated Class C Interest shall have an initial principal balance
     equal to the initial Overcollateralization Amount. The Uncertificated Class
     C Interest shall accrue interest on a notional balance set forth in the
     definition of Class C Current Interest at a rate equal to the Class C
     Distributable Interest Rate. The Uncertificated Class C Interest shall be
     represented by the Class C Certificates.

(4)  The Class UT-IO Interest shall have no principal amount and will not have
     an interest rate, but will be entitled to 100% of the interest accrued with
     respect to the Class LT-IO Interest. The Class UT-IO Interest shall be
     represented by the Class C Certificates.

THE CERTIFICATES

     The following table sets forth the Class designation, interest rate and
initial Class principal amount for each Class of Certificates comprising
interests in the Trust Fund.

<TABLE>
<CAPTION>
         Initial
          Class
        Principal   Interest
Class     Amount      Rate
-----   ---------   --------
<S>     <C>         <C>
A-1A       (1)       (2)
A-1B       (1)       (2)
A-1C       (1)       (2)
A-1D       (1)       (2)
A-2A       (1)       (2)
A-2B       (1)       (2)
A-2C       (1)       (2)
A-2D       (1)       (2)
M-1-1      (1)       (2)
M-1-2      (1)       (2)
</TABLE>

                                      -11-

<PAGE>

<TABLE>
<S>     <C>         <C>
M-2-1      (1)       (2)
M-2-2      (1)       (2)
M-3-1      (1)       (2)
M-3-2      (1)       (2)
M-4-1      (1)       (2)
M-4-2      (1)       (2)
M-5        (1)       (2)
M-6        (1)       (2)
B-1        (1)       (2)
B-2        (1)       (2)
B-3        (1)       (2)
C          (3)       (3)
P          (4)       (4)
R          (1)       (2)(5)
</TABLE>

(1)  Each of these Classes of Certificates shall have initial principal balances
     as set forth in Section 5.01 hereof.

(2)  Each of these Classes of Certificates shall bear interest at a per annum
     rate equal to the Pass-Through Rate for such Certificates set forth in the
     definitions herein.

(3)  For federal income tax purposes, the Class C Certificate shall represent
     (i) the right to receive all distributions with respect to the REMIC
     Regular Interests represented by the Uncertificated Class C Interest and
     the Class UT-IO Interest and (ii) certain rights and obligations with
     respect to notional principal contracts as described in Section 2.07.

(4)  The Class P Certificates shall be entitled to the amounts distributable
     pursuant to Section 4.04(b) hereof and shall not represent a REMIC regular
     interest.

(5)  The Class R Interest represents ownership of the Class SWR Interest, the
     Class LTR Interest and the Residual Interest.

     In consideration of the mutual agreements herein contained, the Depositor,
the Servicer and the Trustee hereby agree as follows:

                                      -12-
<PAGE>

                                   ARTICLE I

                                   DEFINITIONS

     Whenever used in this Agreement, the following words and phrases, unless
the context otherwise requires, shall have the following meanings:

     Accepted Servicing Practices: The Servicer's normal servicing practices,
which will conform to the mortgage servicing practices of prudent mortgage
lending institutions that service for their own account mortgage loans of the
same type as the Mortgage Loans in the jurisdictions in which the related
Mortgaged Properties are located.

     Accountant's Attestation: As defined in Section 3.18(b) hereof.

     Accrual Period: With respect to each Class of LIBOR Certificates, their
Corresponding REMIC Regular Interests and the Lower Tier REMIC Interests and any
Distribution Date, the period commencing on the immediately preceding
Distribution Date (or, in the case of the first Distribution Date, the Closing
Date) and ending on the day immediately preceding such Distribution Date and
with respect to the SWAP REMIC Regular Interests and any Distribution Date, the
calendar month immediately preceding the month in which such Distribution Date
occurs. All calculations of interest on each Class of LIBOR Certificates, their
Corresponding REMIC Regular Interests and the Lower Tier REMIC Interests will be
made on the basis of the actual number of days elapsed in the related Accrual
Period and a 360 day year and all calculations of interest on the SWAP REMIC
Regular Interests will be made on the basis of a 360-day year consisting of
twelve 30-day months.

     Additional Form 10-D Disclosure: As defined in Section 3.20 hereof.

     Adjustable Rate Mortgage Loan: A Mortgage Loan identified in the Mortgage
Loan Schedule as having a Mortgage Rate that is adjustable.

     Adjustment Date: As to each Adjustable Rate Mortgage Loan, each date on
which the related Mortgage Rate is subject to adjustment, as provided in the
related Mortgage Note.

     Advance: The aggregate of the advances required to be made by the Servicer
with respect to any Distribution Date pursuant to Section 4.01, the amount of
any such advances being equal to the sum of the aggregate amount of all payments
of principal and interest (or, with respect to the interest-only Mortgage Loans,
payments of scheduled interest) (net of the Servicing Fee) on the related
Mortgage Loans that were due during the applicable Due Period and not received
as of the close of business on the related Determination Date, except as
provided in Section 4.01 hereof, less the aggregate amount of any such
Delinquent payments that the Servicer has determined would constitute a
Non-Recoverable Advance were an advance to be made with respect thereto;
provided, however, that with respect to (i) any Mortgage Loan that is 150 days
delinquent or more (whether or not the Mortgage Loan has been converted to an
REO Property), (ii) shortfalls in principal and interest due to bankruptcy
proceedings or the application of the Relief Act or similar laws and (iii) the
principal portion of any amount paid on a Balloon Loan, there will be no
obligation to make advances and, provided further, however, that with respect to
any Mortgage Loan that has been converted to an REO Property which is less than
150 days delinquent, the obligation to make Advances shall only be to payments
of interest (subject to the

                                      -13-

<PAGE>

exceptions described above and net of the related Servicing Fees), to be
calculated after taking into account rental income.

     Advance Facility: A financing or other facility as described in Section
10.07.

     Advancing Person: A Person to whom the Servicer's rights under this
Agreement to be reimbursed for any Advances or Servicing Advances have been
assigned pursuant to Section 10.07.

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

     Aggregate Certificate Principal Balance: For any date of determination, the
sum of the Class A-1A Certificate Principal Balance, the sum of the Class A-1B
Certificate Principal Balance, the sum of the Class A-1C Certificate Principal
Balance, the sum of the Class A-1D Certificate Principal Balance, the Class A-2A
Certificate Principal Balance, the Class A-2B Certificate Principal Balance, the
Class A-2C Certificate Principal Balance, the Class A-2D Certificate Principal
Balance, the Class R Certificate Principal Balance, the Class M-1-1 Certificate
Principal Balance, the Class M-1-2 Certificate Principal Balance, the Class
M-2-1 Certificate Principal Balance, the Class M-2-2 Certificate Principal
Balance, the Class M-3-1 Certificate Principal Balance, the Class M-3-2
Certificate Principal Balance, the Class M-4-1 Certificate Principal Balance,
the Class M-4-2 Certificate Principal Balance, the Class M-5 Certificate
Principal Balance, the Class M-6 Certificate Principal Balance, the Class B-1
Certificate Principal Balance, the Class B-2 Certificate Principal Balance and
the Class B-3 Certificate Principal Balance, in each case as of such date of
determination.

     Agreement: This Pooling and Servicing Agreement and any and all amendments
or supplements hereto made in accordance with the terms herein.

     Applied Realized Loss Amount: With respect to any Distribution Date, the
amount, if any, by which the sum of (i) the Aggregate Certificate Principal
Balance and (ii) the Class C Certificate Principal Balance after distributions
of principal on such Distribution Date exceeds the aggregate Stated Principal
Balance of the Mortgage Loans as of such Distribution Date.

     Appraised Value: With respect to a Mortgage Loan the proceeds of which were
used to purchase the related Mortgaged Property, the "Appraised Value" of a
Mortgaged Property is the lesser of (1) the appraised value based on an
appraisal made for the Sponsor by an independent fee appraiser at the time of
the origination of the related Mortgage Loan, and (2) the sales price of such
Mortgaged Property at such time of origination. With respect to a Mortgage Loan
the proceeds of which were used to refinance an existing mortgage loan, the
"Appraised Value" is the appraised value of the Mortgaged Property based upon
the appraisal obtained at the time of refinancing.

     Assessment of Compliance: As defined in Section 3.18(a) hereof.

     Assignment of Mortgage: An assignment of the Mortgage, notice of transfer
or equivalent instrument, in recordable form, sufficient under the laws of the
jurisdiction where the related Mortgaged Property is located to reflect of
record the sale and assignment of the Mortgage Loan to the Trustee,

                                      -14-

<PAGE>

which assignment, notice of transfer or equivalent instrument may, if permitted
by law, be in the form of one or more blanket assignments covering Mortgages
secured by Mortgaged Properties located in the same county.

     Auction: The one-time auction conducted by the Trustee, as described in
Section 9.01(b) hereof.

     Auction Date: The date on which the Auction occurs.

     Authenticating Agent: As defined in Section 5.10.

     Available Funds Cap: Any of the Group One Available Funds Cap, the Group
Two Available Funds Cap or the Weighted Average Available Funds Cap.

     Balloon Loan: A Mortgage Loan having an original term to stated maturity of
approximately 15 or 30 years which provides for level monthly payments of
principal and interest based on a 30-, 40- or 50-year amortization schedule,
with a balloon payment of the remaining outstanding principal balance due on
such Mortgage Loan at its stated maturity.

     Book-Entry Certificates: Any of the Certificates that shall be registered
in the name of the Depository or its nominee, the ownership of which is
reflected on the books of the Depository or on the books of a Person maintaining
an account with the Depository (directly, as a "Depository Participant", or
indirectly, as an indirect participant in accordance with the rules of the
Depository and as described in Section 5.06). As of the Closing Date, each of
the Class A (other than the Class R Certificate), Class M and Class B
Certificates constitutes a Class of Book-Entry Certificates.

     Business Day: Any day other than (1) a Saturday or a Sunday, (2) a day on
which banking institutions in the State of California, State of Illinois, State
of Pennsylvania or in the City of New York, New York are authorized or obligated
by law or executive order to be closed, or (3) with respect to Home Loan
Services, Inc. only, a day on which the New York Stock Exchange is closed.

     Cap Contract Counterparty: The Bank of New York, and any successor thereto.

     Certificate: Any one of the certificates of any Class executed by the
Trustee and authenticated by the Authenticating Agent in substantially the forms
attached hereto as Exhibit A.

     Certificate Account: The separate Eligible Account created and maintained
by the Trustee pursuant to Section 3.05(e) in the name of the Trustee for the
benefit of the Certificateholders and designated "LaSalle Bank National
Association, as trustee, in trust for registered holders of Merrill Lynch First
Franklin Mortgage Loan Trust, Mortgage Loan Asset-Backed Certificates, Series
2007-3." Funds in the Certificate Account shall be held in trust for the
Certificateholders for the uses and purposes set forth in this Agreement.

     Certificate Group: Either of Certificate Group One or Certificate Group
Two.

     Certificate Group One: The Class A-1, Class M-1-1, Class M-2-1, Class
M-3-1, Class M-4-1 and Class R Certificates. For purposes of Section 2.07
hereof, Certificate Group One shall be related to Group One.

                                      -15-

<PAGE>

     Certificate Group Two: The Class A-2, Class M-1-2, Class M-2-2, Class M-3-2
and Class M-4-2 Certificates. For purposes of Section 2.07 hereof, Certificate
Group Two shall be related to Group Two.

     Certificate Owner: With respect to a Book-Entry Certificate, the Person
that is the beneficial owner of such Book-Entry Certificate.

     Certificate Principal Balance: As to any Certificate and as of any
Distribution Date, the Initial Certificate Principal Balance of such Certificate
less the sum of (1) all amounts distributed with respect to such Certificate in
reduction of the Certificate Principal Balance thereof on previous Distribution
Dates pursuant to Section 4.04, and (2) any Applied Realized Loss Amounts
allocated to such Certificate on previous Distribution Dates pursuant to Section
4.04(i). On each Distribution Date, after all distributions of principal on such
Distribution Date, a portion of the Class C Interest Carry Forward Amount in an
amount equal to the excess of the Overcollateralization Amount on such
Distribution Date over the Overcollateralization Amount as of the preceding
Distribution Date (or, in the case of the first Distribution Date, the initial
Overcollateralization Amount (based on the Stated Principal Balance of the
Mortgage Loans as of the Cut-off Date)) will be added to the aggregate
Certificate Principal Balance of the Class C Certificates (on a pro rata basis).
Notwithstanding the immediately preceding sentence, however, to the extent any
excess referred to in the immediately preceding sentence is attributable to
distributions of proceeds of the Swap Agreement, such sentence shall be applied
by substituting "Class C Unpaid Realized Loss Amount" for "Class C Interest
Carry Forward Amount". Notwithstanding the foregoing on any Distribution Date
relating to a Due Period in which a Subsequent Recovery has been received by the
Servicer, the Certificate Principal Balance of any Class of Certificates then
outstanding for which any Applied Realized Loss Amount has been allocated will
be increased, in order of seniority, by an amount equal to the lesser of (i) the
Unpaid Realized Loss Amount for such Class of Certificates and (ii) the total of
any Subsequent Recovery distributed on such date to the Certificateholders
(reduced by the amount of the increase in the Certificate Principal Balance of
any more senior Class of Certificates pursuant to this sentence on such
Distribution Date).

     Certificate Register: The register maintained pursuant to Section 5.02(a)
hereof.

     Certificateholder or Holder: The Person in whose name a Certificate is
registered in the Certificate Register (initially, Cede & Co., as nominee for
the Depository) in the case of any Class of Regular Certificates or the Class R
Certificate, except that solely for the purpose of giving any consent pursuant
to this Agreement, any Certificate registered in the name of the Depositor or
any Affiliate of the Depositor shall be deemed not to be Outstanding and the
Percentage Interest evidenced thereby shall not be taken into account in
determining whether the requisite amount of Percentage Interests necessary to
effect such consent has been obtained; provided, however, that if any such
Person (including the Depositor) owns 100% of the Percentage Interests evidenced
by a Class of Certificates, such Certificates shall be deemed to be Outstanding
for purposes of any provision hereof that requires the consent of the Holders of
Certificates of a particular Class as a condition to the taking of any action
hereunder. The Trustee is entitled to rely conclusively on a certification of
the Depositor or any Affiliate of the Depositor in determining which
Certificates are registered in the name of an Affiliate of the Depositor.

     Class: All Certificates bearing the same Class designation as set forth in
Section 5.01 hereof.

     Class A Certificate Principal Balance: As of any date of determination, the
sum of the Class A-1A Certificate Principal Balance, the Class A-1B Certificate
Principal Balance, the Class A-1C Certificate Principal Balance, Class A-1D
Certificate Principal Balance, the Class A-2A Certificate Principal

                                      -16-

<PAGE>

Balance, the Class A-2B Certificate Principal Balance, the Class A-2C
Certificate Principal Balance, Class A-2D Certificate Principal Balance and the
Class R Certificate Principal Balance.

     Class A Certificates: Any of the Class A-1 Certificates, the Class A-2
Certificates and the Class R Certificates.

     Class A Principal Distribution Amount: With respect to any Distribution
Date (1) prior to the related Stepdown Date or any Distribution Date on which a
Stepdown Trigger Event exists, 100% of the Principal Distribution Amount for
such Distribution Date and (2) on or after the Stepdown Date where a Stepdown
Trigger Event does not exist, the excess of (A) the Class A Certificate
Principal Balance immediately prior to such Distribution Date over (B) the
lesser of (i) 59.80% of the aggregate Stated Principal Balance of the Mortgage
Loans as of such Distribution Date and (ii) the excess of the aggregate Stated
Principal Balance of the Mortgage Loans as of such Distribution Date over the
Minimum Required Overcollateralization Amount; provided, however, that in no
event will the Class A Principal Distribution Amount with respect to any
Distribution Date exceed the aggregate Certificate Principal Balance of the
Class A Certificates.

     Class A-1 Certificate Principal Balance: As of any date of determination,
the aggregate Certificate Principal Balance of the Class A-1 Certificates.

     Class A-1 Certificates: Any of the Class A-1A, Class A-1B, Class A-1C and
Class A-1D Certificates.

     Class A-1A Certificates: Any Certificate designated as a "Class A-1A
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

     Class A-1B Certificates: Any Certificate designated as a "Class A-1B
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

     Class A-1C Certificates: Any Certificate designated as a "Class A-1C
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

     Class A-1D Certificates: Any Certificate designated as a "Class A-1D
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

     Class A-1A Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class A-1A Pass-Through Rate on
the Class A-1A Certificate Principal Balance as of such Distribution Date plus
the portion of any previous distributions on such Class in respect of Class A-1A
Current Interest or a Class A-1A Interest Carry Forward Amount that is recovered
as a voidable preference by a trustee in bankruptcy, less any Non-Supported
Interest Shortfall allocated on such Distribution Date to the Class A-1A
Certificates.

     Class A-1A Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class A-1A Current Interest with respect to
prior Distribution Dates over (B) the

                                      -17-

<PAGE>

amount actually distributed to the Class A-1A Certificates with respect to
Current Interest or Interest Carry Forward Amounts on such prior Distribution
Dates and (2) interest on such excess (to the extent permitted by applicable
law) at the Class A-1A Pass-Through Rate for the related Accrual Period.

     Class A-1A Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 0.0400% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 0.0800% per annum.

     Class A-1A Pass-Through Rate: For the first Distribution Date, 5.3600% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class A-1A Margin, (2) the Group One Available Funds Cap for such
Distribution Date and (3) the Group One Maximum Rate Cap for such Distribution
Date.

     Class A-1B Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class A-1B Pass-Through Rate on
the Class A-1B Certificate Principal Balance as of such Distribution Date plus
the portion of any previous distributions on such Class in respect of Class A-1B
Current Interest or a Class A-1B Interest Carry Forward Amount that is recovered
as a voidable preference by a trustee in bankruptcy, less any Non-Supported
Interest Shortfall allocated on such Distribution Date to the Class A-1B
Certificates.

     Class A-1B Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class A-1B Current Interest with respect to
prior Distribution Dates over (B) the amount actually distributed to the Class
A-1B Certificates with respect to Current Interest or Interest Carry Forward
Amounts on such prior Distribution Dates and (2) interest on such excess (to the
extent permitted by applicable law) at the Class A-1B Pass-Through Rate for the
related Accrual Period.

     Class A-1B Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 0.1300% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 0.2600% per annum.

     Class A-1B Pass-Through Rate: For the first Distribution Date, 5.4500% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class A-1B Margin, (2) the Group One Available Funds Cap for such
Distribution Date and (3) the Group One Maximum Rate Cap for such Distribution
Date.

     Class A-1C Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class A-1C Pass-Through Rate on
the Class A-1C Certificate Principal Balance as of such Distribution Date plus
the portion of any previous distributions on such Class in respect of Class A-1C
Current Interest or a Class A-1C Interest Carry Forward Amount that is recovered
as a voidable preference by a trustee in bankruptcy, less any Non-Supported
Interest Shortfall allocated on such Distribution Date to the Class A-1C
Certificates.

     Class A-1C Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class A-1C Current Interest with respect to
prior Distribution Dates over (B) the amount actually distributed to the Class
A-1C Certificates with respect to Current Interest or Interest Carry Forward
Amounts on such prior Distribution Dates and (2) interest on such excess (to the
extent permitted by applicable law) at the Class A-1C Pass-Through Rate for the
related Accrual Period.

                                      -18-

<PAGE>

     Class A-1C Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 0.1700% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 0.3400% per annum.

     Class A-1C Pass-Through Rate: For the first Distribution Date, 5.4900% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class A-1C Margin, (2) the Group One Available Funds Cap for such
Distribution Date and (3) the Group One Maximum Rate Cap for such Distribution
Date.

     Class A-1D Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class A-1D Pass-Through Rate on
the Class A-1D Certificate Principal Balance as of such Distribution Date plus
the portion of any previous distributions on such Class in respect of Class A-1D
Current Interest or a Class A-1D Interest Carry Forward Amount that is recovered
as a voidable preference by a trustee in bankruptcy, less any Non-Supported
Interest Shortfall allocated on such Distribution Date to the Class A-1D
Certificates.

     Class A-1D Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class A-1D Current Interest with respect to
prior Distribution Dates over (B) the amount actually distributed to the Class
A-1D Certificates with respect to Current Interest or Interest Carry Forward
Amounts on such prior Distribution Dates and (2) interest on such excess (to the
extent permitted by applicable law) at the Class A-1D Pass-Through Rate for the
related Accrual Period.

     Class A-1D Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 0.2100% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 0.4200% per annum.

     Class A-1D Pass-Through Rate: For the first Distribution Date, 5.5300% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class A-1D Margin, (2) the Group One Available Funds Cap for such
Distribution Date and (3) the Group One Maximum Rate Cap for such Distribution
Date.

     Class A-2 Certificates: Any of the Class A-2A, Class A-2B, Class A-2C and
Class A-2D Certificates.

     Class A-2A Certificate: Any Certificate designated as a "Class A-2A
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

     Class A-2A Certificate Principal Balance: As of any date of determination,
the aggregate Certificate Principal Balance of the Class A-2A Certificates.

     Class A-2A Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class A-2A Pass-Through Rate on
the Class A-2A Certificate Principal Balance as of such Distribution Date plus
the portion of any previous distributions on such Class in respect of Class A-2A
Current Interest or a Class A-2A Interest Carry Forward Amount that is recovered
as a voidable preference by a trustee in bankruptcy, less any Non-Supported
Interest Shortfall allocated on such Distribution Date to the Class A-2A
Certificates.

                                      -19-

<PAGE>

     Class A-2A Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class A-2A Current Interest with respect to
prior Distribution Dates over (B) the amount actually distributed to the Class
A-2A Certificates with respect to Current Interest or Interest Carry Forward
Amounts on such prior Distribution Dates and (2) interest on such excess (to the
extent permitted by applicable law) at the Class A-2A Pass-Through Rate for the
related Accrual Period.

     Class A-2A Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 0.0500% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 0.1000% per annum.

     Class A-2A Pass-Through Rate: For the first Distribution Date, 5.3700% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class A-2A Margin, (2) the Group Two Available Funds Cap for such
Distribution Date and (3) the Group Two Maximum Rate Cap for such Distribution
Date.

     Class A-2B Certificate: Any Certificate designated as a "Class A-2B
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

     Class A-2B Certificate Principal Balance: As of any date of determination,
the aggregate Certificate Principal Balance of the Class A-2B Certificates.

     Class A-2B Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class A-2B Pass-Through Rate on
the Class A-2B Certificate Principal Balance as of such Distribution Date plus
the portion of any previous distributions on such Class in respect of Class A-2B
Current Interest or a Class A-2B Interest Carry Forward Amount that is recovered
as a voidable preference by a trustee in bankruptcy, less any Non-Supported
Interest Shortfall allocated on such Distribution Date to the Class A-2B
Certificates.

     Class A-2B Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class A-2B Current Interest with respect to
prior Distribution Dates over (B) the amount actually distributed to the Class
A-2B Certificates with respect to Current Interest or Interest Carry Forward
Amounts on such prior Distribution Dates and (2) interest on such excess (to the
extent permitted by applicable law) at the Class A-2B Pass-Through Rate for the
related Accrual Period.

     Class A-2B Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 0.1300% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 0.2600% per annum.

     Class A-2B Pass-Through Rate: For the first Distribution Date, 5.4500% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class A-2B Margin, (2) the Group Two Available Funds Cap for such
Distribution Date and (3) the Group Two Maximum Rate Cap for such Distribution
Date.

     Class A-2C Certificate: Any Certificate designated as a "Class A-2C
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

                                      -20-

<PAGE>

     Class A-2C Certificate Principal Balance: As of any date of determination,
the aggregate Certificate Principal Balance of the Class A-2C Certificates.

     Class A-2C Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class A-2C Pass-Through Rate on
the Class A-2C Certificate Principal Balance as of such Distribution Date plus
the portion of any previous distributions on such Class in respect of Class A-2C
Current Interest or a Class A-2C Interest Carry Forward Amount that is recovered
as a voidable preference by a trustee in bankruptcy, less any Non-Supported
Interest Shortfall allocated on such Distribution Date to the Class A-2C
Certificates.

     Class A-2C Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class A-2C Current Interest with respect to
prior Distribution Dates over (B) the amount actually distributed to the Class
A-2C Certificates with respect to Current Interest or Interest Carry Forward
Amounts on such prior Distribution Dates and (2) interest on such excess (to the
extent permitted by applicable law) at the Class A-2C Pass-Through Rate for the
related Accrual Period.

     Class A-2C Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 0.1800% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 0.3600% per annum.

     Class A-2C Pass-Through Rate: For the first Distribution Date, 5.5000% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class A-2C Margin, (2) the Group Two Available Funds Cap for such
Distribution Date and (3) the Group Two Maximum Rate Cap for such Distribution
Date.

     Class A-2D Certificate: Any Certificate designated as a "Class A-2D
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

     Class A-2D Certificate Principal Balance: As of any date of determination,
the aggregate Certificate Principal Balance of the Class A-2D Certificates.

     Class A-2D Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class A-2D Pass-Through Rate on
the Class A-2D Certificate Principal Balance as of such Distribution Date plus
the portion of any previous distributions on such Class in respect of Class A-2D
Current Interest or a Class A-2D Interest Carry Forward Amount that is recovered
as a voidable preference by a trustee in bankruptcy, less any Non-Supported
Interest Shortfall allocated on such Distribution Date to the Class A-2D
Certificates.

     Class A-2D Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class A-2D Current Interest with respect to
prior Distribution Dates over (B) the amount actually distributed to the Class
A-2D Certificates with respect to Current Interest or Interest Carry Forward
Amounts on such prior Distribution Dates and (2) interest on such excess (to the
extent permitted by applicable law) at the Class A-2D Pass-Through Rate for the
related Accrual Period.

     Class A-2D Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 0.2500% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 0.5000% per annum.

                                      -21-

<PAGE>

     Class A-2D Pass-Through Rate: For the first Distribution Date, 5.5700% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class A-2D Margin, (2) the Group Two Available Funds Cap for such
Distribution Date and (3) the Group Two Maximum Rate Cap for such Distribution
Date.

     Class B Certificates: Any of the Class B-1, Class B-2 and Class B-3
Certificates.

     Class B-1 Applied Realized Loss Amount: As of any Distribution Date, the
sum of all Applied Realized Loss Amounts with respect to the Mortgage Loans
which have been applied to the reduction of the Certificate Principal Balance of
the Class B-1 Certificates.

     Class B-1 Certificate: Any Certificate designated as a "Class B-1
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

     Class B-1 Certificate Principal Balance: As of any date of determination,
the aggregate Certificate Principal Balance of the Class B-1 Certificates.

     Class B-1 Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class B-1 Pass-Through Rate on
the Class B-1 Certificate Principal Balance as of such Distribution Date plus
the portion of any previous distributions on such Class in respect of Class B-1
Current Interest or a Class B-1 Interest Carry Forward Amount that is recovered
as a voidable preference by a trustee in bankruptcy, less any Non-Supported
Interest Shortfall allocated on such Distribution Date to the Class B-1
Certificates.

     Class B-1 Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class B-1 Current Interest with respect to
prior Distribution Dates over (B) the amount actually distributed to the Class
B-1 Certificates with respect to Current Interest or Interest Carry Forward
Amounts on such prior Distribution Dates and (2) interest on such excess (to the
extent permitted by applicable law) at the Class B-1 Pass-Through Rate for the
related Accrual Period.

     Class B-1 Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 1.3500% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 2.0250% per annum.

     Class B-1 Pass-Through Rate: For the first Distribution Date, 6.6700% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class B-1 Margin, (2) the Weighted Average Available Funds Cap for such
Distribution Date and (3) the Weighted Average Maximum Rate Cap for such
Distribution Date.

     Class B-1 Principal Distribution Amount: With respect to any Distribution
Date on or after the Stepdown Date, 100% of the Principal Distribution Amount
for such Distribution Date if the Class A Certificate Principal Balance and the
Class M Certificate Principal Balance, have been reduced to zero and a Stepdown
Trigger Event exists, or as long as a Stepdown Trigger Event does not exist, the
excess of (1) the sum of (A) the Class A Certificate Principal Balance (after
taking into account distributions of the Class A Principal Distribution Amount
on such Distribution Date), (B) the Class M-1 Certificate Principal Balance
(after taking into account distributions of the Class M-1 Principal Distribution
Amount on such Distribution Date), (C) the Class M-2 Certificate Principal
Balance (after taking into account distributions

                                      -22-

<PAGE>

of the Class M-2 Principal Distribution Amount on such Distribution Date), (D)
the Class M-3 Certificate Principal Balance (after taking into account
distributions of the Class M-3 Principal Distribution Amount on such
Distribution Date), (E) the Class M-4 Certificate Principal Balance (after
taking into account distributions of the Class M-4 Principal Distribution Amount
on such Distribution Date), (F) the Class M-5 Certificate Principal Balance
(after taking into account distributions of the Class M-5 Principal Distribution
Amount on such Distribution Date), (G) the Class M-6 Certificate Principal
Balance (after taking into account distributions of the Class M-6 Principal
Distribution Amount on such Distribution Date) and (H) the Class B-1 Certificate
Principal Balance immediately prior to such Distribution Date over (2) the
lesser of (A) 89.90% of the Stated Principal Balance of the Mortgage Loans as of
such Distribution Date and (B) the excess of the Stated Principal Balance of the
Mortgage Loans as of such Distribution Date over the Minimum Required
Overcollateralization Amount. Notwithstanding the foregoing, (I) on any
Distribution Date prior to the Stepdown Date on which the Certificate Principal
Balance of each Class of Class A Certificates and Class M Certificates has been
reduced to zero, the Class B-1 Principal Distribution Amount will equal the
lesser of (x) the outstanding Certificate Principal Balance of the Class B-1
Certificates and (y) 100% of the Principal Distribution Amount remaining after
any distributions on such Class A and Class M Certificates and (II) in no event
will the Class B-1 Principal Distribution Amount with respect to any
Distribution Date exceed the Class B-1 Certificate Principal Balance.

     Class B-1 Unpaid Realized Loss Amount: As of any Distribution Date, the
excess of (1) the Class B-1 Applied Realized Loss Amount over (2) the sum of (x)
all distributions in reduction of the Class B-1 Unpaid Realized Loss Amounts on
all previous Distribution Dates and (y) all increases in the Certificate
Principal Balance of the Class B-1 Certificates pursuant to the last sentence of
the definition of "Certificate Principal Balance."

     Class B-2 Applied Realized Loss Amount: As of any Distribution Date, the
sum of all Applied Realized Loss Amounts with respect to the Mortgage Loans
which have been applied to the reduction of the Certificate Principal Balance of
the Class B-2 Certificates.

     Class B-2 Certificate: Any Certificate designated as a "Class B-2
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

     Class B-2 Certificate Principal Balance: As of any date of determination,
the aggregate Certificate Principal Balance of the Class B-2 Certificates.

     Class B-2 Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class B-2 Pass-Through Rate on
the Class B-2 Certificate Principal Balance as of such Distribution Date plus
the portion of any previous distributions on such Class in respect of Class B-2
Current Interest or a Class B-2 Interest Carry Forward Amount that is recovered
as a voidable preference by a trustee in bankruptcy, less any Non-Supported
Interest Shortfall allocated on such Distribution Date to the Class B-2
Certificates.

     Class B-2 Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class B-2 Current Interest with respect to
prior Distribution Dates over (B) the amount actually distributed to the Class
B-2 Certificates with respect to Current Interest or Interest Carry Forward
Amounts on such prior Distribution Dates and (2) interest on such excess (to the
extent permitted by applicable law) at the Class B-2 Pass-Through Rate for the
related Accrual Period.

                                      -23-

<PAGE>

     Class B-2 Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 2.0000% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 3.0000% per annum.

     Class B-2 Pass-Through Rate: For the first Distribution Date, 7.3200% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class B-2 Margin, (2) the Weighted Average Available Funds Cap for such
Distribution Date and (3) the Weighted Average Maximum Rate Cap for such
Distribution Date.

     Class B-2 Principal Distribution Amount: With respect to any Distribution
Date on or after the Stepdown Date, 100% of the Principal Distribution Amount
for such Distribution Date if the Class A Certificate Principal Balance, the
Class M Certificate Principal Balance and the Class B-1 Certificate Principal
Balance have been reduced to zero and a Stepdown Trigger Event exists, or as
long as a Stepdown Trigger Event does not exist, the excess of (1) the sum of
(A) the Class A Certificate Principal Balance (after taking into account
distributions of the Class A Principal Distribution Amount on such Distribution
Date), (B) the Class M-1 Certificate Principal Balance (after taking into
account distributions of the Class M-1 Principal Distribution Amount on such
Distribution Date), (C) the Class M-2 Certificate Principal Balance (after
taking into account distributions of the Class M-2 Principal Distribution Amount
on such Distribution Date), (D) the Class M-3 Certificate Principal Balance
(after taking into account distributions of the Class M-3 Principal Distribution
Amount on such Distribution Date), (E) the Class M-4 Certificate Principal
Balance (after taking into account distributions of the Class M-4 Principal
Distribution Amount on such Distribution Date), (F) the Class M-5 Certificate
Principal Balance (after taking into account distributions of the Class M-5
Principal Distribution Amount on such Distribution Date), (G) the Class M-6
Certificate Principal Balance (after taking into account distributions of the
Class M-6 Principal Distribution Amount on such Distribution Date), (H) the
Class B-1 Certificate Principal Balance (after taking into account distributions
of the Class B-1 Principal Distribution Amount on such Distribution Date) and
(I) the Class B-2 Certificate Principal Balance immediately prior to such
Distribution Date over (2) the lesser of (A) 91.90% of the Stated Principal
Balance of the Mortgage Loans as of such Distribution Date and (B) the excess of
the Stated Principal Balance of the Mortgage Loans as of such Distribution Date
over the Minimum Required Overcollateralization Amount. Notwithstanding the
foregoing, (I) on any Distribution Date prior to the Stepdown Date on which the
Certificate Principal Balance of each Class of Class A, Class M and Class B-1
Certificates has been reduced to zero, the Class B-2 Principal Distribution
Amount will equal the lesser of (x) the outstanding Certificate Principal
Balance of the Class B-2 Certificates and (y) 100% of the Principal Distribution
Amount remaining after any distributions on such Class A, Class M and Class B-1
Certificates and (II) in no event will the Class B-2 Principal Distribution
Amount with respect to any Distribution Date exceed the Class B-2 Certificate
Principal Balance.

     Class B-2 Unpaid Realized Loss Amount: As of any Distribution Date, the
excess of (1) the Class B-2 Applied Realized Loss Amount over (2) the sum of (x)
all distributions in reduction of the Class B-2 Unpaid Realized Loss Amounts on
all previous Distribution Dates and (y) all increases in the Certificate
Principal Balance of the Class B-2 Certificates pursuant to the last sentence of
the definition of "Certificate Principal Balance."

     Class B-3 Applied Realized Loss Amount: As of any Distribution Date, the
sum of all Applied Realized Loss Amounts with respect to the Mortgage Loans
which have been applied to the reduction of the Certificate Principal Balance of
the Class B-3 Certificates.

                                      -24-

<PAGE>

     Class B-3 Certificate: Any Certificate designated as a "Class B-3
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

     Class B-3 Certificate Principal Balance: As of any date of determination,
the aggregate Certificate Principal Balance of the Class B-3 Certificates.

     Class B-3 Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class B-3 Pass-Through Rate on
the Class B-3 Certificate Principal Balance as of such Distribution Date plus
the portion of any previous distributions on such Class in respect of Class B-3
Current Interest or a Class B-3 Interest Carry Forward Amount that is recovered
as a voidable preference by a trustee in bankruptcy, less any Non-Supported
Interest Shortfall allocated on such Distribution Date to the Class B-3
Certificates.

     Class B-3 Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class B-3 Current Interest with respect to
prior Distribution Dates over (B) the amount actually distributed to the Class
B-3 Certificates with respect to Current Interest or Interest Carry Forward
Amounts on such prior Distribution Dates and (2) interest on such excess (to the
extent permitted by applicable law) at the Class B-3 Pass-Through Rate for the
related Accrual Period.

     Class B-3 Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 2.4000% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 3.6000% per annum.

     Class B-3 Pass-Through Rate: For the first Distribution Date, 7.7200% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class B-3 Margin, (2) the Weighted Average Available Funds Cap for such
Distribution Date and (3) the Weighted Average Maximum Rate Cap for such
Distribution Date.

     Class B-3 Principal Distribution Amount: With respect to any Distribution
Date on or after the Stepdown Date, 100% of the Principal Distribution Amount
for such Distribution Date if the Class A Certificate Principal Balance, the
Class M Certificate Principal Balance, the Class B-1 Certificate Principal
Balance and the Class B-2 Certificate Principal Balance have been reduced to
zero and a Stepdown Trigger Event exists, or as long as a Stepdown Trigger Event
does not exist, the excess of (1) the sum of (A) the Class A Certificate
Principal Balance (after taking into account distributions of the Class A
Principal Distribution Amount on such Distribution Date), (B) the Class M-1
Certificate Principal Balance (after taking into account distributions of the
Class M-1 Principal Distribution Amount on such Distribution Date), (C) the
Class M-2 Certificate Principal Balance (after taking into account distributions
of the Class M-2 Principal Distribution Amount on such Distribution Date), (D)
the Class M-3 Certificate Principal Balance (after taking into account
distributions of the Class M-3 Principal Distribution Amount on such
Distribution Date), (E) the Class M-4 Certificate Principal Balance (after
taking into account distributions of the Class M-4 Principal Distribution Amount
on such Distribution Date), (F) the Class M-5 Certificate Principal Balance
(after taking into account distributions of the Class M-5 Principal Distribution
Amount on such Distribution Date), (G) the Class M-6 Certificate Principal
Balance (after taking into account distributions of the Class M-6 Principal
Distribution Amount on such Distribution Date), (H) the Class B-1 Certificate
Principal Balance (after taking into account distributions of the Class B-1
Principal Distribution Amount on such Distribution Date), (I) the Class B-2
Certificate Principal Balance (after taking into account distributions of the
Class B-2 Principal Distribution Amount on such

                                      -25-

<PAGE>

Distribution Date) and (J) the Class B-3 Certificate Principal Balance
immediately prior to such Distribution Date over (2) the lesser of (A) 94.40% of
the Stated Principal Balance of the Mortgage Loans as of such Distribution Date
and (B) the excess of the Stated Principal Balance of the Mortgage Loans as of
such Distribution Date over the Minimum Required Overcollateralization Amount.
Notwithstanding the foregoing, (I) on any Distribution Date prior to the
Stepdown Date on which the Certificate Principal Balance of each Class of Class
A, Class M, Class B-1 and Class B-2 Certificates has been reduced to zero, the
Class B-3 Principal Distribution Amount will equal the lesser of (x) the
outstanding Certificate Principal Balance of the Class B-3 Certificates and (y)
100% of the Principal Distribution Amount remaining after any distributions on
such Class A, Class M, Class B-1 and Class B-2 Certificates and (II) in no event
will the Class B-3 Principal Distribution Amount with respect to any
Distribution Date exceed the Class B-3 Certificate Principal Balance.

     Class B-3 Unpaid Realized Loss Amount: As of any Distribution Date, the
excess of (1) the Class B-3 Applied Realized Loss Amount over (2) the sum of (x)
all distributions in reduction of the Class B-3 Unpaid Realized Loss Amounts on
all previous Distribution Dates and (y) all increases in the Certificate
Principal Balance of the Class B-3 Certificates pursuant to the last sentence of
the definition of "Certificate Principal Balance".

     Class C Applied Realized Loss Amount: As of any Distribution Date, the sum
of all Applied Realized Loss Amounts with respect to the Mortgage Loans which
have been applied to the reduction of the Certificate Principal Balance of the
Class C Certificates.

     Class C Certificate: Any Certificate designated as a "Class C Certificate"
on the face thereof, executed by the Trustee and authenticated by the
Authenticating Agent in substantially the form set forth in Exhibit A hereto,
representing the right to distributions as set forth herein.

     Class C Certificate Principal Balance: As of any date of determination, the
aggregate Certificate Principal Balance of the Class C Certificates.

     Class C Current Interest: As of any Distribution Date, the interest accrued
during the related Accrual Period at the Class C Distributable Interest Rate on
a notional amount equal to the aggregate principal balance of the Lower Tier
REMIC Regular Interests immediately prior to such Distribution Date, plus the
interest portion of any previous distributions on such Class that is recovered
as a voidable preference by a trustee in bankruptcy, less any Non-Supported
Interest Shortfall allocated on such Distribution Date to the Class C
Certificates.

     Class C Distributable Interest Rate: The excess, if any, of (a) the
weighted average of the interest rates on the Lower Tier REMIC Regular Interests
(other than the Class LT-IO Interest) over (b) two times the weighted average of
the interest rates on the Lower Tier REMIC I Marker Interests and the Class LTIX
Interest (treating for purposes of this clause (b) the interest rate on each of
the Lower Tier REMIC I Marker Interests as being subject to a cap and a floor
equal to the interest rate of the Corresponding REMIC Regular Interest of the
Corresponding Certificates (as adjusted, if necessary, to reflect the length of
the Accrual Period for the LIBOR Certificates) and treating the Class LTIX
Interest as being capped at zero). The averages described in the preceding
sentence shall be weighted on the basis of the respective principal balances of
the Lower Tier REMIC Regular Interests immediately prior to any date of
determination.

                                      -26-

<PAGE>

     Class C Interest Carry Forward Amount: As of any Distribution Date, the
excess of (A) the Class C Current Interest with respect to prior Distribution
Dates over (B) the amount actually distributed to the Class C Certificates with
respect to interest on such prior Distribution Dates or added to the aggregate
Certificate Principal Balance of the Class C Certificates (other than amounts so
added attributable to Subsequent Recoveries or proceeds of the Swap Agreement).

     Class C Unpaid Realized Loss Amount: As of any Distribution Date, the
excess of (1) the Class C Applied Realized Loss Amount over (2) the sum of (x)
all distributions in reduction of the Class C Unpaid Realized Loss Amounts on
all previous Distribution Dates and (y) all increases in the Certificate
Principal Balance of such Class C Certificates (A) pursuant to the last sentence
of the definition of "Certificate Principal Balance" or (B) attributable to
distributions of proceeds of the Swap Agreement.

     Class LTA-1A Interest: An uncertificated regular interest in the Lower Tier
REMIC with an initial principal balance equal to 1/4 of the initial principal
balance of its Corresponding Certificates and an interest rate equal to the Net
Rate.

     Class LTA-1B Interest: An uncertificated regular interest in the Lower Tier
REMIC with an initial principal balance equal to 1/4 of the initial principal
balance of its Corresponding Certificate and an interest rate equal to the Net
Rate.

     Class LTA-1C Interest: An uncertificated regular interest in the Lower Tier
REMIC with an initial principal balance equal to 1/4 of the initial principal
balance of its Corresponding Certificate and an interest rate equal to the Net
Rate.

     Class LTA-1D Interest: An uncertificated regular interest in the Lower Tier
REMIC with an initial principal balance equal to 1/4 of the initial principal
balance of its Corresponding Certificate and an interest rate equal to the Net
Rate.

     Class LTA-2A Interest: An uncertificated regular interest in the Lower Tier
REMIC with an initial principal balance equal to 1/4 of the initial principal
balance of its Corresponding Certificate and an interest rate equal to the Net
Rate.

     Class LTA-2B Interest: An uncertificated regular interest in the Lower Tier
REMIC with an initial principal balance equal to 1/4 of the initial principal
balance of its Corresponding Certificate and an interest rate equal to the Net
Rate.

     Class LTA-2C Interest: An uncertificated regular interest in the Lower Tier
REMIC with an initial principal balance equal to 1/4 of the initial principal
balance of its Corresponding Certificate and an interest rate equal to the Net
Rate.

     Class LTA-2D Interest: An uncertificated regular interest in the Lower Tier
REMIC with an initial principal balance equal to 1/4 of the initial principal
balance of its Corresponding Certificate and an interest rate equal to the Net
Rate.

     Class LTB-1 Interest: An uncertificated regular interest in the Lower Tier
REMIC with an initial principal balance equal to 1/4 of the initial principal
balance of its Corresponding Certificate and an interest rate equal to the Net
Rate.

                                      -27-

<PAGE>

     Class LTB-2 Interest: An uncertificated regular interest in the Lower Tier
REMIC with an initial principal balance equal to 1/4 of the initial principal
balance of its Corresponding Certificate and an interest rate equal to the Net
Rate.

     Class LTB-3 Interest: An uncertificated regular interest in the Lower Tier
REMIC with an initial principal balance equal to 1/4 of the initial principal
balance of its Corresponding Certificate and an interest rate equal to the Net
Rate.

     Class LT-IO Interest: An uncertificated regular interest in the Lower Tier
REMIC with the characteristics set forth in the description of the Lower Tier
REMIC in the Preliminary Statement.

     Class LTIX Interest: An uncertificated regular interest in the Lower Tier
REMIC with an initial principal balance equal to the excess of (i) 50% of the
aggregate Cut-off Date Principal Balance of the Mortgage Loans over (ii) the
initial principal balance of the Lower Tier REMIC I Marker Interests, and with
an interest rate equal to the Net Rate.

     Class LTIIX Interest: An uncertificated regular interest in the Lower Tier
REMIC with an initial principal balance equal to the excess of (i) 50% of the
aggregate Cut-off Date Principal Balance of the Mortgage Loans over (ii) the
initial principal balance of the Lower Tier REMIC II Marker Interests, and with
an interest rate equal to the Net Rate.

     Class LTII1A Interest: An uncertificated regular interest in the Lower Tier
REMIC with an initial principal balance equal to 0.05% of the excess of (i) the
aggregate Cut-off Date Principal Balance of the Group One Mortgage Loans over
(ii) the aggregate of the initial Certificate Principal Balances of Certificate
Group One, and with an interest rate equal to the Net Rate.

     Class LTII1B Interest: An uncertificated regular interest in the Lower Tier
REMIC with an initial principal balance equal to 0.05% of the aggregate Cut-off
Date Principal Balance of the Group One Mortgage Loans, and with an interest
rate equal to the rate set forth in footnote 9 to the description of the Lower
Tier REMIC in the Preliminary Statement.

     Class LTII2A Interest: An uncertificated regular interest in the Lower Tier
REMIC with an initial principal balance equal to 0.05% of the excess of (i) the
aggregate Cut-off Date Principal Balance of the Group Two Mortgage Loans over
(ii) the aggregate of the initial Certificate Principal Balances of Certificate
Group Two, and with an interest rate equal to the Net Rate.

     Class LTII2B Interest: An uncertificated regular interest in the Lower Tier
REMIC with an initial principal balance equal to 0.05% of the aggregate Cut-off
Date Principal Balance of the Group Two Mortgage Loans and with an interest rate
equal to the rate set forth in footnote 10 to the description of the Lower Tier
REMIC in the Preliminary Statement.

     Class LTM-1-1 Interest: An uncertificated regular interest in the Lower
Tier REMIC with an initial principal balance equal to 1/4 of the initial
principal balance of its Corresponding Certificate and an interest rate equal to
the Net Rate.

     Class LTM-1-2 Interest: An uncertificated regular interest in the Lower
Tier REMIC with an initial principal balance equal to 1/4 of the initial
principal balance of its Corresponding Certificate and an interest rate equal to
the Net Rate.

                                      -28-

<PAGE>

     Class LTM-2-1 Interest: An uncertificated regular interest in the Lower
Tier REMIC with an initial principal balance equal to 1/4 of the initial
principal balance of its Corresponding Certificate and an interest rate equal to
the Net Rate.

     Class LTM-2-2 Interest: An uncertificated regular interest in the Lower
Tier REMIC with an initial principal balance equal to 1/4 of the initial
principal balance of its Corresponding Certificate and an interest rate equal to
the Net Rate.

     Class LTM-3-1 Interest: An uncertificated regular interest in the Lower
Tier REMIC with an initial principal balance equal to 1/4 of the initial
principal balance of its Corresponding Certificate and an interest rate equal to
the Net Rate.

     Class LTM-3-2 Interest: An uncertificated regular interest in the Lower
Tier REMIC with an initial principal balance equal to 1/4 of the initial
principal balance of its Corresponding Certificate and an interest rate equal to
the Net Rate.

     Class LTM-4-1 Interest: An uncertificated regular interest in the Lower
Tier REMIC with an initial principal balance equal to 1/4 of the initial
principal balance of its Corresponding Certificate and an interest rate equal to
the Net Rate.

     Class LTM-4-2 Interest: An uncertificated regular interest in the Lower
Tier REMIC with an initial principal balance equal to 1/4 of the initial
principal balance of its Corresponding Certificate and an interest rate equal to
the Net Rate.

     Class LTM-5 Interest: An uncertificated regular interest in the Lower Tier
REMIC with an initial principal balance equal to 1/4 of the initial principal
balance of its Corresponding Certificate and an interest rate equal to the Net
Rate.

     Class LTM-6 Interest: An uncertificated regular interest in the Lower Tier
REMIC with an initial principal balance equal to 1/4 of the initial principal
balance of its Corresponding Certificate and an interest rate equal to the Net
Rate.

     Class LTR Interest: The sole class of "residual interest" in the Lower Tier
REMIC.

     Class M Certificates: Any of the Class M-1-1, Class M-1-2, Class M-2-1,
Class M-2-2, Class M-3-1, Class M-3-2, Class M-4-1, Class M-4-2, Class M-5 and
Class M-6 Certificates.

     Class M Certificate Principal Balance: For any date of determination, the
sum of the Class M-1-1 Certificate Principal Balance, Class M-1-2 Certificate
Principal Balance, Class M-2-1 Certificate Principal Balance, Class M-2-2
Certificate Principal Balance, Class M-3-1 Certificate Principal Balance, Class
M-3-2 Certificate Principal Balance, Class M-4-1 Certificate Principal Balance,
Class M-4-2 Certificate Principal Balance, Class M-5 Certificate Principal
Balance and Class M-6 Certificate Principal Balance.

     Class M-1 Applied Realized Loss Amount: As of any Distribution Date, the
sum of all Applied Realized Loss Amounts with respect to the Mortgage Loans
which have been applied to the reduction of the Certificate Principal Balance of
the Class M-1 Certificates.

                                      -29-

<PAGE>

     Class M-1 Certificates: Any of the Class M-1-1 and Class M-1-2
Certificates.

     Class M-1 Principal Distribution Amount: With respect to any Distribution
Date on or after the Stepdown Date, 100% of the Principal Distribution Amount
for such Distribution Date if the Class A Certificate Principal Balance has been
reduced to zero and a Stepdown Trigger Event exists, or as long as a Stepdown
Trigger Event does not exist, the excess of (1) the sum of (A) the Class A
Certificate Principal Balance (after taking into account distributions of the
Class A Principal Distribution Amount on such Distribution Date) and (B) the
Class M-1 Certificate Principal Balance immediately prior to such Distribution
Date over (2) the lesser of (A) 70.00% of the Stated Principal Balances of the
Mortgage Loans as of such Distribution Date and (B) the excess of the Stated
Principal Balances for the Mortgage Loans as of such Distribution Date over the
Minimum Required Overcollateralization Amount. Notwithstanding the foregoing,
(I) on any Distribution Date prior to the Stepdown Date on which the Certificate
Principal Balance of each Class of Class A Certificates has been reduced to
zero, the Class M-1 Principal Distribution Amount will equal the lesser of (x)
the outstanding Certificate Principal Balance of the Class M-1 Certificates and
(y) 100% of the Principal Distribution Amount remaining after any distributions
on such Class A Certificates and (II) in no event will the Class M-1 Principal
Distribution Amount with respect to any Distribution Date exceed the Class M-1
Certificate Principal Balance.

     Class M-1 Unpaid Realized Loss Amount: As of any Distribution Date, the
excess of (1) the Class M-1 Applied Realized Loss Amount over (2) the sum of (x)
all distributions in reduction of the Class M-1 Unpaid Realized Loss Amounts on
all previous Distribution Dates and (y) all increases in the Certificate
Principal Balance of such Class M-1 Certificates pursuant to the last sentence
of the definition of "Certificate Principal Balance."

     Class M-1-1 Certificate Principal Balance: As of any date of determination,
the aggregate Certificate Principal Balance of the Class M-1-1 Certificates.

     Class M-1-1 Certificates: Any Certificate designated as a "Class M-1-1
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

     Class M-1-1 Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class M-1-1 Pass-Through Rate
on the Class M-1-1 Certificate Principal Balance as of such Distribution Date
plus the portion of any previous distributions on such Class in respect of Class
M-1-1 Current Interest or a Class M-1-1 Interest Carry Forward Amount that is
recovered as a voidable preference by a trustee in bankruptcy, less any
Non-Supported Interest Shortfall allocated on such Distribution Date to the
Class M-1-1 Certificates.

     Class M-1-1 Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class M-1-1 Current Interest with respect to
prior Distribution Dates over (B) the amount actually distributed to the Class
M-1-1 Certificates with respect to Current Interest or Interest Carry Forward
Amounts on such prior Distribution Dates and (2) interest on such excess (to the
extent permitted by applicable law) at the Class M-1-1 Pass-Through Rate for the
related Accrual Period.

     Class M-1-1 Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 0.3000% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 0.4500% per annum.

                                      -30-

<PAGE>

     Class M-1-1 Pass-Through Rate: For the first Distribution Date, 5.6200% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class M-1-1 Margin, (2) the Group One Available Funds Cap for such
Distribution Date and (3) the Group One Maximum Rate Cap for such Distribution
Date.

     Class M-1-2 Certificate Principal Balance: As of any date of determination,
the aggregate Certificate Principal Balance of the Class M-1-2 Certificates.

     Class M-1-2 Certificates: Any Certificate designated as a "Class M-1-2
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

     Class M-1-2 Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class M-1-2 Pass-Through Rate
on the Class M-1-2 Certificate Principal Balance as of such Distribution Date
plus the portion of any previous distributions on such Class in respect of Class
M-1-2 Current Interest or a Class M-1-2 Interest Carry Forward Amount that is
recovered as a voidable preference by a trustee in bankruptcy, less any
Non-Supported Interest Shortfall allocated on such Distribution Date to the
Class M-1-2 Certificates.

     Class M-1-2 Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class M-1-2 Current Interest with respect to
prior Distribution Dates over (B) the amount actually distributed to the Class
M-1-2 Certificates with respect to Current Interest or Interest Carry Forward
Amounts on such prior Distribution Dates and (2) interest on such excess (to the
extent permitted by applicable law) at the Class M-1-2 Pass-Through Rate for the
related Accrual Period.

     Class M-1-2 Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 0.2500% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 0.3750% per annum.

     Class M-1-2 Pass-Through Rate: For the first Distribution Date, 5.5700% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class M-1-2 Margin, (2) the Group Two Available Funds Cap for such
Distribution Date and (3) the Group Two Maximum Rate Cap for such Distribution
Date.

     Class M-2 Applied Realized Loss Amount: As of any Distribution Date, the
sum of all Applied Realized Loss Amounts with respect to the Mortgage Loans
which have been applied to the reduction of the Certificate Principal Balance of
the Class M-2 Certificates.

     Class M-2 Certificates: Any of the Class M-2-1 and Class M-2-2
Certificates.

     Class M-2 Principal Distribution Amount: With respect to any Distribution
Date on or after the Stepdown Date, 100% of the Principal Distribution Amount
for such Distribution Date if the Class A Certificate Principal Balance and
Class M-1 Certificate Principal Balance have been reduced to zero and a Stepdown
Trigger Event exists, or as long as a Stepdown Trigger Event does not exist, the
excess of (1) the sum of (A) the Class A Certificate Principal Balance (after
taking into account distributions of the Class A Principal Distribution Amount
on such Distribution Date), (B) the Class M-1 Certificate Principal Balance
(after taking into account distributions of the Class M-1 Principal Distribution
Amount on such Distribution Date) and (C) the Class M-2 Certificate Principal
Balance immediately prior to such

                                      -31-

<PAGE>

Distribution Date over (2) the lesser of (A) 78.30% of the Stated Principal
Balances of the Mortgage Loans as of such Distribution Date and (B) the excess
of the Stated Principal Balances for the Mortgage Loans as of such Distribution
Date over the Minimum Required Overcollateralization Amount. Notwithstanding the
foregoing, (I) on any Distribution Date prior to the Stepdown Date on which the
Certificate Principal Balance of each Class of Class A Certificates and the
Class M-1 Certificates has been reduced to zero, the Class M-2 Principal
Distribution Amount will equal the lesser of (x) the outstanding Certificate
Principal Balance of the Class M-2 Certificates and (y) 100% of the Principal
Distribution Amount remaining after any distributions on such Class A and Class
M-1 Certificates and (II) in no event will the Class M-2 Principal Distribution
Amount with respect to any Distribution Date exceed the Class M-2 Certificate
Principal Balance.

     Class M-2 Unpaid Realized Loss Amount: As of any Distribution Date, the
excess of (1) the Class M-2 Applied Realized Loss Amount over (2) the sum of (x)
all distributions in reduction of the Class M-2 Unpaid Realized Loss Amounts on
all previous Distribution Dates and (y) all increases in the Certificate
Principal Balance of such Class M-2 Certificates pursuant to the last sentence
of the definition of "Certificate Principal Balance."

     Class M-2-1 Certificate Principal Balance: As of any date of determination,
the aggregate Certificate Principal Balance of the Class M-2-1 Certificates.

     Class M-2-1 Certificates: Any Certificate designated as a "Class M-2-1
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

     Class M-2-1 Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class M-2-1 Pass-Through Rate
on the Class M-2-1 Certificate Principal Balance as of such Distribution Date
plus the portion of any previous distributions on such Class in respect of Class
M-2-1 Current Interest or a Class M-2-1 Interest Carry Forward Amount that is
recovered as a voidable preference by a trustee in bankruptcy, less any
Non-Supported Interest Shortfall allocated on such Distribution Date to the
Class M-2-1 Certificates.

     Class M-2-1 Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class M-2-1 Current Interest with respect to
prior Distribution Dates over (B) the amount actually distributed to the Class
M-2-1 Certificates with respect to Current Interest or Interest Carry Forward
Amounts on such prior Distribution Dates and (2) interest on such excess (to the
extent permitted by applicable law) at the Class M-2-1 Pass-Through Rate for the
related Accrual Period.

     Class M-2-1 Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 0.3200% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 0.4800% per annum.

     Class M-2-1 Pass-Through Rate: For the first Distribution Date, 5.6400% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class M-2-1 Margin, (2) the Group One Available Funds Cap for such
Distribution Date and (3) the Group One Maximum Rate Cap for such Distribution
Date.

     Class M-2-2 Certificate Principal Balance: As of any date of determination,
the aggregate Certificate Principal Balance of the Class M-2-2 Certificates.

                                      -32-
<PAGE>

     Class M-2-2 Certificates: Any Certificate designated as a "Class M-2-2
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

     Class M-2-2 Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class M-2-2 Pass-Through Rate
on the Class M-2-2 Certificate Principal Balance as of such Distribution Date
plus the portion of any previous distributions on such Class in respect of Class
M-2-2 Current Interest or a Class M-2-2 Interest Carry Forward Amount that is
recovered as a voidable preference by a trustee in bankruptcy, less any
Non-Supported Interest Shortfall allocated on such Distribution Date to the
Class M-2-2 Certificates.

     Class M-2-2 Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class M-2-2 Current Interest with respect to
prior Distribution Dates over (B) the amount actually distributed to the Class
M-2-2 Certificates with respect to Current Interest or Interest Carry Forward
Amounts on such prior Distribution Dates and (2) interest on such excess (to the
extent permitted by applicable law) at the Class M-2-2 Pass-Through Rate for the
related Accrual Period.

     Class M-2-2 Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 0.2700% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 0.4050% per annum.

     Class M-2-2 Pass-Through Rate: For the first Distribution Date, 5.5900% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class M-2-2 Margin, (2) the Group Two Available Funds Cap for such
Distribution Date and (3) the Group Two Maximum Rate Cap for such Distribution
Date.

     Class M-3 Applied Realized Loss Amount: As of any Distribution Date, the
sum of all Applied Realized Loss Amounts with respect to the Mortgage Loans
which have been applied to the reduction of the Certificate Principal Balance of
the Class M-3 Certificates.

     Class M-3 Certificates: Any of the Class M-3-1 and Class M-3-2
Certificates.

     Class M-3 Principal Distribution Amount: With respect to any Distribution
Date on or after the Stepdown Date, 100% of the Principal Distribution Amount
for such Distribution Date if the Class A Certificate Principal Balance, Class
M-1 Certificate Principal Balance and Class M-2 Certificate Principal Balance
have been reduced to zero and a Stepdown Trigger Event exists, or as long as a
Stepdown Trigger Event does not exist, the excess of (1) the sum of (A) the
Class A Certificate Principal Balance (after taking into account distributions
of the Class A Principal Distribution Amount on such Distribution Date), (B) the
Class M-1 Certificate Principal Balance (after taking into account distributions
of the Class M-1 Principal Distribution Amount on such Distribution Date), (C)
the Class M-2 Certificate Principal Balance (after taking into account
distributions of the Class M-2 Principal Distribution Amount on such
Distribution Date) and (C) the Class M-3 Certificate Principal Balance
immediately prior to such Distribution Date over (2) the lesser of (A) 80.60% of
the Stated Principal Balances of the Mortgage Loans as of such Distribution Date
and (B) the excess of the Stated Principal Balances for the Mortgage Loans as of
such Distribution Date over the Minimum Required Overcollateralization Amount.
Notwithstanding the foregoing, (I) on any Distribution Date prior to the
Stepdown Date on which the Certificate Principal Balance of each Class of Class
A Certificates, the Class M-1 Certificates and the Class M-2 Certificates has
been reduced to zero, the Class M-3 Principal Distribution Amount will equal

                                      -33-

<PAGE>

the lesser of (x) the outstanding Certificate Principal Balance of the Class M-3
Certificates and (y) 100% of the Principal Distribution Amount remaining after
any distributions on such Class A, Class M-1 and Class M-2 Certificates and (II)
in no event will the Class M-3 Principal Distribution Amount with respect to any
Distribution Date exceed the Class M-3 Certificate Principal Balance.

     Class M-3 Unpaid Realized Loss Amount: As of any Distribution Date, the
excess of (1) the Class M-3 Applied Realized Loss Amount over (2) the sum of (x)
all distributions in reduction of the Class M-3 Unpaid Realized Loss Amounts on
all previous Distribution Dates and (y) all increases in the Certificate
Principal Balance of such Class M-3 Certificates pursuant to the last sentence
of the definition of "Certificate Principal Balance."

     Class M-3-1 Certificate Principal Balance: As of any date of determination,
the aggregate Certificate Principal Balance of the Class M-3-1 Certificates.

     Class M-3-1 Certificates: Any Certificate designated as a "Class M-3-1
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

     Class M-3-1 Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class M-3-1 Pass-Through Rate
on the Class M-3-1 Certificate Principal Balance as of such Distribution Date
plus the portion of any previous distributions on such Class in respect of Class
M-3-1 Current Interest or a Class M-3-1 Interest Carry Forward Amount that is
recovered as a voidable preference by a trustee in bankruptcy, less any
Non-Supported Interest Shortfall allocated on such Distribution Date to the
Class M-3-1 Certificates.

     Class M-3-1 Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class M-3-1 Current Interest with respect to
prior Distribution Dates over (B) the amount actually distributed to the Class
M-3-1 Certificates with respect to Current Interest or Interest Carry Forward
Amounts on such prior Distribution Dates and (2) interest on such excess (to the
extent permitted by applicable law) at the Class M-3-1 Pass-Through Rate for the
related Accrual Period.

     Class M-3-1 Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 0.3700% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 0.5550% per annum.

     Class M-3-1 Pass-Through Rate: For the first Distribution Date, 5.6900% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class M-3-1 Margin, (2) the Group One Available Funds Cap for such
Distribution Date and (3) the Group One Maximum Rate Cap for such Distribution
Date.

     Class M-3-2 Certificate Principal Balance: As of any date of determination,
the aggregate Certificate Principal Balance of the Class M-3-2 Certificates.

     Class M-3-2 Certificates: Any Certificate designated as a "Class M-3-2
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

                                      -34-

<PAGE>

     Class M-3-2 Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class M-3-2 Pass-Through Rate
on the Class M-3-2 Certificate Principal Balance as of such Distribution Date
plus the portion of any previous distributions on such Class in respect of Class
M-3-2 Current Interest or a Class M-3-2 Interest Carry Forward Amount that is
recovered as a voidable preference by a trustee in bankruptcy, less any
Non-Supported Interest Shortfall allocated on such Distribution Date to the
Class M-3-2 Certificates.

     Class M-3-2 Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class M-3-2 Current Interest with respect to
prior Distribution Dates over (B) the amount actually distributed to the Class
M-3-2 Certificates with respect to Current Interest or Interest Carry Forward
Amounts on such prior Distribution Dates and (2) interest on such excess (to the
extent permitted by applicable law) at the Class M-3-2 Pass-Through Rate for the
related Accrual Period.

     Class M-3-2 Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 0.2900% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 0.4350% per annum.

     Class M-3-2 Pass-Through Rate: For the first Distribution Date, 5.6100% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class M-3-2 Margin, (2) the Group Two Available Funds Cap for such
Distribution Date and (3) the Group Two Maximum Rate Cap for such Distribution
Date.

     Class M-4 Applied Realized Loss Amount: As of any Distribution Date, the
sum of all Applied Realized Loss Amounts with respect to the Mortgage Loans
which have been applied to the reduction of the Certificate Principal Balance of
the Class M-4 Certificates.

     Class M-4 Certificates: Any of the Class M-4-1 and Class M-4-2
Certificates.

     Class M-4 Principal Distribution Amount: With respect to any Distribution
Date on or after the Stepdown Date, 100% of the Principal Distribution Amount
for such Distribution Date if the Class A Certificate Principal Balance, Class
M-1 Certificate Principal Balance, Class M-2 Certificate Principal Balance and
Class M-3 Certificate Principal Balance have been reduced to zero and a Stepdown
Trigger Event exists, or as long as a Stepdown Trigger Event does not exist, the
excess of (1) the sum of (A) the Class A Certificate Principal Balance (after
taking into account distributions of the Class A Principal Distribution Amount
on such Distribution Date), (B) the Class M-1 Certificate Principal Balance
(after taking into account distributions of the Class M-1 Principal Distribution
Amount on such Distribution Date), (C) the Class M-2 Certificate Principal
Balance (after taking into account distributions of the Class M-2 Principal
Distribution Amount on such Distribution Date), (D) the Class M-3 Certificate
Principal Balance (after taking into account distributions of the Class M-3
Principal Distribution Amount on such Distribution Date) and (E) the Class M-4
Certificate Principal Balance immediately prior to such Distribution Date over
(2) the lesser of (A) 83.50% of the Stated Principal Balances of the Mortgage
Loans as of such Distribution Date and (B) the excess of the Stated Principal
Balances for the Mortgage Loans as of such Distribution Date over the Minimum
Required Overcollateralization Amount. Notwithstanding the foregoing, (I) on any
Distribution Date prior to the Stepdown Date on which the Certificate Principal
Balance of each Class of Class A Certificates, the Class M-1 Certificates, the
Class M-2 Certificates and the Class M-3 Certificates has been reduced to zero,
the Class M-4 Principal Distribution Amount will equal the lesser of (x) the
outstanding Certificate Principal Balance of the Class M-4 Certificates and (y)
100% of the Principal Distribution Amount remaining after any distributions on

                                      -35-

<PAGE>

such Class A, Class M-1, Class M-2 and Class M-3 Certificates and (II) in no
event will the Class M-4 Principal Distribution Amount with respect to any
Distribution Date exceed the Class M-4 Certificate Principal Balance.

     Class M-4 Unpaid Realized Loss Amount: As of any Distribution Date, the
excess of (1) the Class M-4 Applied Realized Loss Amount over (2) the sum of (x)
all distributions in reduction of the Class M-4 Unpaid Realized Loss Amounts on
all previous Distribution Dates and (y) all increases in the Certificate
Principal Balance of such Class M-4 Certificates pursuant to the last sentence
of the definition of "Certificate Principal Balance."

     Class M-4-1 Certificate Principal Balance: As of any date of determination,
the aggregate Certificate Principal Balance of the Class M-4-1 Certificates.

     Class M-4-1 Certificates: Any Certificate designated as a "Class M-4-1
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

     Class M-4-1 Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class M-4-1 Pass-Through Rate
on the Class M-4-1 Certificate Principal Balance as of such Distribution Date
plus the portion of any previous distributions on such Class in respect of Class
M-4-1 Current Interest or a Class M-4-1 Interest Carry Forward Amount that is
recovered as a voidable preference by a trustee in bankruptcy, less any
Non-Supported Interest Shortfall allocated on such Distribution Date to the
Class M-4-1 Certificates.

     Class M-4-1 Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class M-4-1 Current Interest with respect to
prior Distribution Dates over (B) the amount actually distributed to the Class
M-4-1 Certificates with respect to Current Interest or Interest Carry Forward
Amounts on such prior Distribution Dates and (2) interest on such excess (to the
extent permitted by applicable law) at the Class M-4-1 Pass-Through Rate for the
related Accrual Period.

     Class M-4-1 Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 0.5000% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 0.7500% per annum.

     Class M-4-1 Pass-Through Rate: For the first Distribution Date, 5.8200% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class M-4-1 Margin, (2) the Group One Available Funds Cap for such
Distribution Date and (3) the Group One Maximum Rate Cap for such Distribution
Date.

     Class M-4-2 Certificate Principal Balance: As of any date of determination,
the aggregate Certificate Principal Balance of the Class M-4-2 Certificates.

     Class M-4-2 Certificates: Any Certificate designated as a "Class M-4-2
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

     Class M-4-2 Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class M-4-2 Pass-Through Rate
on the Class M-4-2 Certificate Principal Balance as

                                      -36-

<PAGE>

of such Distribution Date plus the portion of any previous distributions on such
Class in respect of Class M-4-2 Current Interest or a Class M-4-2 Interest Carry
Forward Amount that is recovered as a voidable preference by a trustee in
bankruptcy, less any Non-Supported Interest Shortfall allocated on such
Distribution Date to the Class M-4-2 Certificates.

     Class M-4-2 Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class M-4-2 Current Interest with respect to
prior Distribution Dates over (B) the amount actually distributed to the Class
M-4-2 Certificates with respect to Current Interest or Interest Carry Forward
Amounts on such prior Distribution Dates and (2) interest on such excess (to the
extent permitted by applicable law) at the Class M-4-2 Pass-Through Rate for the
related Accrual Period.

     Class M-4-2 Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 0.4000% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 0.6000% per annum.

     Class M-4-2 Pass-Through Rate: For the first Distribution Date, 5.7200% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class M-4-2 Margin, (2) the Group Two Available Funds Cap for such
Distribution Date and (3) the Group Two Maximum Rate Cap for such Distribution
Date.

     Class M-5 Applied Realized Loss Amount: As of any Distribution Date, the
sum of all Applied Realized Loss Amounts with respect to the Mortgage Loans
which have been applied to the reduction of the Certificate Principal Balance of
the Class M-5 Certificates.

     Class M-5 Certificate: Any Certificate designated as a "Class M-5
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

     Class M-5 Certificate Principal Balance: As of any date of determination,
the aggregate Certificate Principal Balance of the Class M-5 Certificates.

     Class M-5, Class M-6 and Class B Corridor Contract: The confirmation and
agreement, including the schedule thereto and the related credit support annex
(attached as Exhibit M-4 hereto), between the Trustee on behalf of the Issuing
Entity and the Cap Contract Counterparty (attached as Exhibit M-3 hereto), with
respect to the Class M-5, Class M-6 and Class B Certificates.

     Class M-5, Class M-6 and Class B Corridor Contract Notional Balance: With
respect to any Distribution Date, the Class M-5, Class M-6 and Class B Corridor
Contract Notional Balance set forth for such Distribution Date in the Class M-5,
Class M-6 and Class B LIBOR Cap Table (attached as Schedule I to Exhibit M-3
hereto).

     Class M-5, Class M-6 and Class B Corridor Contract Termination Date: The
Distribution Date in November 2007.

     Class M-5, Class M-6 and Class B Upper Collar: With respect to each
Distribution Date with respect to which payments are received on the Class M-5,
Class M-6 and Class B Corridor Contract, a rate equal to the lesser of One-Month
LIBOR and 8.540% per annum.

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<PAGE>

     Class M-5 Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class M-5 Pass-Through Rate on
the Class M-5 Certificate Principal Balance as of such Distribution Date plus
the portion of any previous distributions on such Class in respect of Class M-5
Current Interest or a Class M-5 Interest Carry Forward Amount that is recovered
as a voidable preference by a trustee in bankruptcy, less any Non-Supported
Interest Shortfall allocated on such Distribution Date to the Class M-5
Certificates.

     Class M-5 Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class M-5 Current Interest with respect to
prior Distribution Dates over (B) the amount actually distributed to the Class
M-5 Certificates with respect to Current Interest or Interest Carry Forward
Amounts on such prior Distribution Dates and (2) interest on such excess (to the
extent permitted by applicable law) at the Class M-5 Pass-Through Rate for the
related Accrual Period.

     Class M-5 Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 0.4500% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 0.6750% per annum.

     Class M-5 Pass-Through Rate: For the first Distribution Date, 5.7700% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class M-5 Margin, (2) the Weighted Average Available Funds Cap for such
Distribution Date and (3) the Weighted Average Maximum Rate Cap for such
Distribution Date.

     Class M-5 Principal Distribution Amount: With respect to any Distribution
Date on or after the Stepdown Date, 100% of the Principal Distribution Amount
for such Distribution Date if the Class A Certificate Principal Balance, Class
M-1 Certificate Principal Balance, Class M-2 Certificate Principal Balance,
Class M-3 Certificate Principal Balance and Class M-4 Certificate Principal
Balance have been reduced to zero and a Stepdown Trigger Event exists, or as
long as a Stepdown Trigger Event does not exist, the excess of (1) the sum of
(A) the Class A Certificate Principal Balance (after taking into account
distributions of the Class A Principal Distribution Amount on such Distribution
Date), (B) the Class M-1 Certificate Principal Balance (after taking into
account distributions of the Class M-1 Principal Distribution Amount on such
Distribution Date), (C) the Class M-2 Certificate Principal Balance (after
taking into account distributions of the Class M-2 Principal Distribution Amount
on such Distribution Date), (D) the Class M-3 Certificate Principal Balance
(after taking into account distributions of the Class M-3 Principal Distribution
Amount on such Distribution Date), (D) the Class M-4 Certificate Principal
Balance (after taking into account distributions of the Class M-4 Principal
Distribution Amount on such Distribution Date) and (E) the Class M-5 Certificate
Principal Balance immediately prior to such Distribution Date over (2) the
lesser of (A) 86.00% of the Stated Principal Balances of the Mortgage Loans as
of such Distribution Date and (B) the excess of the Stated Principal Balances
for the Mortgage Loans as of such Distribution Date over the Minimum Required
Overcollateralization Amount. Notwithstanding the foregoing, (I) on any
Distribution Date prior to the Stepdown Date on which the Certificate Principal
Balance of each Class of Class A Certificates, the Class M-1 Certificates, the
Class M-2 Certificates, the Class M-3 Certificates and the Class M-4
Certificates has been reduced to zero, the Class M-5 Principal Distribution
Amount will equal the lesser of (x) the outstanding Certificate Principal
Balance of the Class M-5 Certificates and (y) 100% of the Principal Distribution
Amount remaining after any distributions on such Class A, Class M-1, Class M-2,
Class M-3 and Class M-4 Certificates and (II) in no event will the Class M-5
Principal Distribution Amount with respect to any Distribution Date exceed the
Class M-5 Certificate Principal Balance.

                                      -38-

<PAGE>

     Class M-5 Unpaid Realized Loss Amount: As of any Distribution Date, the
excess of (1) the Class M-5 Applied Realized Loss Amount over (2) the sum of (x)
all distributions in reduction of the Class M-5 Unpaid Realized Loss Amounts on
all previous Distribution Dates and (y) all increases in the Certificate
Principal Balance of such Class M-5 Certificates pursuant to the last sentence
of the definition of "Certificate Principal Balance."

     Class M-6 Applied Realized Loss Amount: As of any Distribution Date, the
sum of all Applied Realized Loss Amounts with respect to the Mortgage Loans
which have been applied to the reduction of the Certificate Principal Balance of
the Class M-6 Certificates.

     Class M-6 Certificate: Any Certificate designated as a "Class M-6
Certificate" on the face thereof, executed by the Trustee and authenticated by
the Authenticating Agent in substantially the form set forth as Exhibit A
hereto, representing the right to distributions as set forth herein.

     Class M-6 Certificate Principal Balance: As of any date of determination,
the aggregate Certificate Principal Balance of the Class M-6 Certificates.

     Class M-6 Current Interest: As of any Distribution Date, the interest
accrued during the related Accrual Period at the Class M-6 Pass-Through Rate on
the Class M-6 Certificate Principal Balance as of such Distribution Date plus
the portion of any previous distributions on such Class in respect of Class M-6
Current Interest or a Class M-6 Interest Carry Forward Amount that is recovered
as a voidable preference by a trustee in bankruptcy, less any Non-Supported
Interest Shortfall allocated on such Distribution Date to the Class M-6
Certificates.

     Class M-6 Interest Carry Forward Amount: As of any Distribution Date, the
sum of (1) the excess of (A) the Class M-6 Current Interest with respect to
prior Distribution Dates over (B) the amount actually distributed to the Class
M-6 Certificates with respect to Current Interest or Interest Carry Forward
Amounts on such prior Distribution Dates and (2) interest on such excess (to the
extent permitted by applicable law) at the Class M-6 Pass-Through Rate for the
related Accrual Period.

     Class M-6 Margin: As of any Distribution Date up to and including the
Initial Optional Termination Date, 0.7500% per annum and, as of any Distribution
Date after the Initial Optional Termination Date, 1.1250% per annum.

     Class M-6 Pass-Through Rate: For the first Distribution Date, 6.0700% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class M-6 Margin, (2) the Weighted Average Available Funds Cap for such
Distribution Date and (3) the Weighted Average Maximum Rate Cap for such
Distribution Date.

     Class M-6 Principal Distribution Amount: With respect to any Distribution
Date on or after the Stepdown Date, 100% of the Principal Distribution Amount
for such Distribution Date if the Class A Certificate Principal Balance, Class
M-1 Certificate Principal Balance, Class M-2 Certificate Principal Balance,
Class M-3 Certificate Principal Balance, Class M-4 Certificate Principal Balance
and Class M-5 Certificate Principal Balance have been reduced to zero and a
Stepdown Trigger Event exists, or as long as a Stepdown Trigger Event does not
exist, the excess of (1) the sum of (A) the Class A Certificate Principal
Balance (after taking into account distributions of the Class A Principal
Distribution Amount on such Distribution Date), (B) the Class M-1 Certificate
Principal Balance (after taking into account distributions of the Class M-1
Principal Distribution Amount on such Distribution Date), (C) the Class M-

                                      -39-

<PAGE>

2 Certificate Principal Balance (after taking into account distributions of the
Class M-2 Principal Distribution Amount on such Distribution Date), (D) the
Class M-3 Certificate Principal Balance (after taking into account distributions
of the Class M-3 Principal Distribution Amount on such Distribution Date), (E)
the Class M-4 Certificate Principal Balance (after taking into account
distributions of the Class M-4 Principal Distribution Amount on such
Distribution Date), (F) the Class M-5 Certificate Principal Balance (after
taking into account distributions of the Class M-5 Principal Distribution Amount
on such Distribution Date), and (G) the Class M-6 Certificate Principal Balance
immediately prior to such Distribution Date over (2) the lesser of (A) 87.80% of
the Stated Principal Balances of the Mortgage Loans as of such Distribution Date
and (B) the excess of the Stated Principal Balances for the Mortgage Loans as of
such Distribution Date over the Minimum Required Overcollateralization Amount.
Notwithstanding the foregoing, (I) on any Distribution Date prior to the
Stepdown Date on which the Certificate Principal Balance of each Class of Class
A Certificates, the Class M-1 Certificates, the Class M-2 Certificates, the
Class M-3 Certificates, the Class M-4 Certificates and the Class M-5
Certificates has been reduced to zero, the Class M-6 Principal Distribution
Amount will equal the lesser of (x) the outstanding Certificate Principal
Balance of the Class M-6 Certificates and (y) 100% of the Principal Distribution
Amount remaining after any distributions on such Class A, Class M-1, Class M-2,
Class M-3, Class M-4 and Class M-5 Certificates and (II) in no event will the
Class M-6 Principal Distribution Amount with respect to any Distribution Date
exceed the Class M-6 Certificate Principal Balance.

     Class M-6 Unpaid Realized Loss Amount: As of any Distribution Date, the
excess of (1) the Class M-6 Applied Realized Loss Amount over (2) the sum of (x)
all distributions in reduction of the Class M-6 Unpaid Realized Loss Amounts on
all previous Distribution Dates and (y) all increases in the Certificate
Principal Balance of such Class M-6 Certificates pursuant to the last sentence
of the definition of "Certificate Principal Balance."

     Class P Certificate: Any Certificate designated as a Class P Certificate on
the face thereof, executed by the Trustee and authenticated by the
Authenticating Agent in substantially the form set forth in Exhibit A,
representing the right to distributions as set forth herein.

     Class Payment Shortfall: As defined in Section 2.07(d)(ii) herein.

     Class R Certificate: The Class R Certificate executed by the Trustee and
authenticated by the Authenticating Agent in substantially the form set forth in
Exhibit A.

     Class R Certificate Principal Balance: As of any date of determination, the
aggregate Certificate Principal Balance of the Class R Certificate.

     Class R Current Interest: As of any Distribution Date, the interest accrued
during the related Accrual Period at the Class R Pass-Through Rate on the Class
R Certificate Principal Balance as of such Distribution Date plus the portion of
any previous distributions on such Class in respect of Class R Current Interest
or a Class R Interest Carry Forward Amount that is recovered as a voidable
preference by a trustee in bankruptcy, less any Non-Supported Interest Shortfall
allocated on such Distribution Date to the Class R Certificate.

     Class R Interest Carry Forward Amount: As of any Distribution Date, the sum
of (1) the excess of (A) the Class R Current Interest with respect to prior
Distribution Dates over (B) the amount actually distributed to the Class R
Certificate with respect to Current Interest or Interest Carry Forward Amounts

                                      -40-

<PAGE>

on such prior Distribution Dates and (2) interest on such excess (to the extent
permitted by applicable law) at the Class R Pass-Through Rate for the related
Accrual Period.

     Class R Margin: As of any Distribution Date up to and including the Initial
Optional Termination Date, 0.0400% per annum and, as of any Distribution Date
after the Initial Optional Termination Date, 0.0800% per annum.

     Class R Pass-Through Rate: For the first Distribution Date, 5.3600% per
annum. As of any Distribution Date thereafter, the least of (1) One-Month LIBOR
plus the Class R Margin, (2) the Group One Available Funds Cap for such
Distribution Date and (3) the Group One Maximum Rate Cap for such Distribution
Date.

     Class SWR Interest: The sole class of "residual interest" in the SWAP
REMIC.

     Closing Date: May 30, 2007.

     Code: The Internal Revenue Code of 1986, including any successor or
amendatory provisions.

     Collection Account: The separate Eligible Accounts created and initially
maintained by the Servicer pursuant to Section 3.05(d) in the name of the
Trustee for the benefit of the Certificateholders and designated, "Home Loan
Services, Inc., as servicer for LaSalle Bank National Association, as trustee,
in trust for registered holders of Merrill Lynch First Franklin Mortgage Loan
Trust, Mortgage Loan Asset-Backed Certificates, Series 2007-3". Funds in the
Collection Account shall be held in trust for the Certificateholders for the
uses and purposes set forth in this Agreement.

     Commission: The Securities and Exchange Commission.

     Compensating Interest: For any Distribution Date and all Principal
Prepayments in full in respect of a Mortgage Loan that are received during the
period from the first day of the related Prepayment Period through the last day
of the calendar month preceding such Distribution Date, a payment made by the
Servicer in an amount not to exceed the product of (a) one-twelfth of 0.25% and
(b) the aggregate Stated Principal Balance of the Mortgage Loans for such
Distribution Date, equal to the amount of interest at the Net Mortgage Rate for
that Mortgage Loan from the date of prepayment through the 30th day of such
preceding calendar month; provided that any month consisting of less than 30
days shall be deemed to consist of 30 days.

     Corresponding Certificates: With respect to the Class LTA-1A Interest, the
Class A-1A and Class R Certificates. With respect to the Class LTA-1B Interest,
the Class A-1B Certificates. With respect to the Class LTA-1C Interest, the
Class A-1C Certificates. With respect to the Class LTA-1D Interest, the Class
A-1D Certificates. With respect to the Class LTA-2A Interest, the Class A-2A
Certificates. With respect to the Class LTA-2B Interest, the Class A-2B
Certificates. With respect to the Class LTA-2C Interest, the Class A-2C
Certificates. With respect to the Class LTA-2D Interest, the Class A-2D
Certificates. With respect to the Class LTM-1-1 Interest, the Class M-1-1
Certificates. With respect to the Class LTM-1-2 Interest, the Class M-1-2
Certificates. With respect to the Class LTM-2-1 Interest, the Class M-2-1
Certificates. With respect to the Class LTM-2-2 Interest, the Class M-2-2
Certificates. With respect to the Class LTM-3-1 Interest, the Class M-3-1
Certificates. With respect to the Class LTM-3-2 Interest, the Class M-3-2
Certificates. With respect to the Class LTM-4-1 Interest, the Class M-4-1
Certificates. With respect to the Class LTM-4-2 Interest, the Class M-4-2
Certificates. With

                                      -41-

<PAGE>

respect to the Class LTM-5 Interest, the Class M-5 Certificates. With respect to
the Class LTM-6 Interest, the Class M-6 Certificates. With respect to the Class
LTB-1 Interest, the Class B-1 Certificates. With respect to the Class LTB-2
Interest, the Class B-2 Certificates. With respect to the Class LTB-3 Interest,
the Class B-3 Certificates.

     Corresponding REMIC Regular Interest: For each Class of Certificates, the
interest in the Upper Tier REMIC listed on the same row in the table entitled
"Upper Tier REMIC" in the Preliminary Statement.

     Corridor Contract: Any of the Group One Corridor Contract, the Group Two
Corridor Contract or the Class M-5, Class M-6 and Class B Corridor Contract.

     Corridor Contract Account: The separate Eligible Account created and
maintained by the Trustee pursuant to Section 4.04(k)(i) in the name of the
Trustee for the benefit of the Issuing Entity and designated "LaSalle Bank
National Association, as trustee, in trust for registered holders of Merrill
Lynch First Franklin Mortgage Loan Trust, Mortgage Loan Asset-Backed
Certificates, Series 2007-3." Funds in the Corridor Contract Account shall be
held in trust for the Issuing Entity for the uses and purposes set forth in this
Agreement.

     Corridor Contract Notional Balance: Any of the Group One Corridor Contract
Notional Balance, the Group Two Corridor Contract Notional Balance or the Class
M-5, Class M-6 and Class B Corridor Contract Notional Balance.

     Corridor Contract Termination Date: Any of the Group One Corridor Contract
Termination Date, the Group Two Corridor Contract Termination Date or the Class
M-5, Class M-6 and Class B Corridor Contract Termination Date.

     Corridor Posted Collateral Account: The segregated Eligible Account created
and maintained by the Trustee pursuant to Section 4.04(k)(iv) in the name of the
Trustee for the benefit of the Issuing Entity and designated "LaSalle Bank
National Association, as trustee, in trust for registered holders of Merrill
Lynch First Franklin Mortgage Loan Trust, Mortgage Loan Asset-Backed
Certificates, Series 2007-3." Funds in the Corridor Posted Collateral Account
shall be held in trust for the Issuing Entity for the uses and purposes set
forth in the Corridor Contracts.

     Current Interest: Any of the Class A-1A Current Interest, Class A-1B
Current Interest, the Class A-1C Current Interest, the Class A-1D Current
Interest, the Class A-2A Current Interest, the Class A-2B Current Interest, the
Class A-2C Current Interest, the Class A-2D Current Interest, the Class R
Current Interest, the Class M-1-1 Current Interest, the Class M-1-2 Current
Interest, the Class M-2-1 Current Interest, the Class M-2-2 Current Interest,
the Class M-3-1 Current Interest, the Class M-3-2 Current Interest, the Class
M-4-1 Current Interest, the Class M-4-2 Current Interest, the Class M-5 Current
Interest, the Class M-6 Current Interest, the Class B-1 Current Interest, the
Class B-2 Current Interest, the Class B-3 Current Interest and the Class C
Current Interest.

     Cut-off Date: May 1, 2007.

     Cut-off Date Principal Balance: As to any Mortgage Loan, the unpaid
principal balance thereof as of the close of business on the calendar day
immediately preceding the Cut-off Date after application of all payments of
principal due on or prior to the Cut-off Date, whether or not received, and all
Principal

                                      -42-

<PAGE>

Prepayments received prior to the Cut-off Date, but without giving effect to any
installments of principal received in respect of Due Dates after the Cut-off
Date.

     Defaulted Swap Termination Payment: Any payment required to be made by the
Supplemental Interest Trust to the Swap Counterparty pursuant to the Swap
Agreement as a result of an event of default under the Swap Agreement with
respect to which the Swap Counterparty is the defaulting party or a termination
event under that agreement (other than illegality or a tax event) with respect
to which the Swap Counterparty is the sole Affected Party (as defined in the
Swap Agreement).

     Definitive Certificates: As defined in Section 5.06.

     Deleted Mortgage Loan: A Mortgage Loan replaced or to be replaced by a
Replacement Mortgage Loan.

     Delinquent: A Mortgage Loan is "delinquent" if any payment due thereon is
not made pursuant to the terms of such Mortgage Loan by the close of business on
the day such payment is scheduled to be due. A Mortgage Loan is "30 days
delinquent" if such payment has not been received by the close of business on
the corresponding day of the month immediately succeeding the month in which
such payment was due, or, if there is no such corresponding day (e.g., as when a
30-day month follows a 31-day month in which a payment was due on the 31st day
of such month), then on the last day of such immediately succeeding month. With
respect to any Mortgage Loan due on any day other than the first day of the
month, such Mortgage Loan shall be deemed to be due on the first day of the
immediately succeeding month. Similarly for "60 days delinquent," "90 days
delinquent" and so on.

     Denomination: With respect to each Certificate, the amount set forth on the
face thereof as the "Initial Principal Balance of this Certificate."

     Depositor: Merrill Lynch Mortgage Investors, Inc., a Delaware corporation,
or any successor in interest.

     Depository: The initial Depository shall be The Depository Trust Company
("DTC"), the nominee of which is Cede & Co., or any other organization
registered as a "clearing agency" pursuant to Section 17A of the Securities
Exchange Act of 1934, as amended. The Depository shall initially be the
registered Holder of the Book-Entry Certificates. The Depository shall at all
times be a "clearing corporation" as defined in Section 8-102(3) of the Uniform
Commercial Code of the State of New York.

     Depository Agreement: With respect to Classes of Book-Entry Certificates,
the agreement between the Trustee and the initial Depository.

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

     Designated Transaction: A transaction in which the assets underlying the
Certificates consist of single-family residential, multi-family residential,
home equity, manufactured housing and/or commercial mortgage obligations that
are secured by single-family residential, multi-family residential, commercial
real property or leasehold interests therein.

                                      -43-

<PAGE>

     Determination Date: With respect to any Distribution Date, the 15th day of
the month of such Distribution Date or, if such 15th day is not a Business Day,
the immediately preceding Business Day.

     Disqualified Organization: (1) the United States, any state or political
subdivision thereof, any foreign government, any international organization, or
any agency or instrumentality of any of the foregoing, (2) any organization
(other than a cooperative described in Section 521 of the Code) which is exempt
from tax under Chapter 1 of Subtitle A of the Code unless such organization is
subject to the tax imposed by Section 511 of the Code and (3) any organization
described in Section 1381(a)(2)(C) of the Code.

     Distribution Date: The 25th day of each calendar month after the initial
issuance of the Certificates, or if such 25th day is not a Business Day, the
next succeeding Business Day, commencing in June 2007.

     Due Date: With respect to any Distribution Date and any Mortgage Loan, the
day during the related Due Period on which a Scheduled Payment is due.

     Due Period: With respect to any Distribution Date, the period beginning on
the second day of the calendar month preceding the calendar month in which such
Distribution Date occurs and ending on the first day of the month in which such
Distribution Date occurs.

     Eligible Account: An account that is (1) maintained with a depository
institution the long-term unsecured debt obligations of which are rated by each
Rating Agency in one of its two highest rating categories, or (2) maintained
with the corporate trust department of a bank which (A) has a rating of at least
Baa3 or P-3 by Moody's and (B) is either the Depositor or the corporate trust
department of a national banking association or banking corporation which has a
rating of at least A-1 by S&P and F1 by Fitch, or (iii) an account or accounts
the deposits in which are fully insured by the FDIC, or (iv) an account or
accounts, acceptable to each Rating Agency without reduction or withdrawal of
the rating of any Class of Certificates, as evidenced in writing, by a
depository institution in which such accounts are insured by the FDIC (to the
limit established by the FDIC), the uninsured deposits in which accounts are
otherwise secured such that, as evidenced by an Opinion of Counsel delivered to
and acceptable to the Trustee and each Rating Agency, the Certificateholders
have a claim with respect to the funds in such account and a perfected first
security interest against any collateral (which shall be limited to Permitted
Investments) securing such funds that is superior to claims of any other
depositors or creditors of the depository institution with which such account is
maintained, or (v) maintained at an eligible institution whose commercial paper,
short-term debt or other short-term deposits are rated at least A-1+ by S&P and
F-1+ by Fitch, or (vi) maintained with a federal or state chartered depository
institution the deposits in which are insured by the FDIC to the applicable
limits and the short-term unsecured debt obligations of which (or, in the case
of a depository institution that is a subsidiary of a holding company, the
short-term unsecured debt obligations of such holding company) are rated A-1 by
S&P, F-1 by Fitch and Prime-1 by Moody's (if rated by such rating agencies) at
the time any deposits are held on deposit therein, or (vii) a segregated trust
account or accounts maintained with the corporate trust department of a federal
or state chartered depository institution or trust company having capital and
surplus of not less than $50,000,000 or (viii) otherwise acceptable to each
Rating Agency, as evidenced by a letter from each Rating Agency to the Trustee.

     ERISA: The Employee Retirement Income Security Act of 1974, including any
successor or amendatory provisions.

                                      -44-

<PAGE>

     ERISA-Qualifying Underwriting: A best efforts or firm commitment
underwriting or private placement that would satisfy the requirements would
satisfy the requirements of Prohibited Transaction Exemption 90-29, Exemption
Application No. D-8012, 55 Fed. Reg. 21459 (1990), as amended, granted by the
United States Department of Labor (or any other applicable underwriter's
exemption granted to the Underwriter by the United States Department of Labor),
except, in relevant part, for the requirement that the certificates have
received a rating at the time of acquisition that is in one of the three (or
four, in the case of a "designated transaction") highest generic rating
categories by at least one of S&P, Moody's or Fitch.

     ERISA Restricted Certificates: The Class C Certificates and Class P
Certificates and any other Certificate, as long as the acquisition and holding
of such other Certificate is not covered by and exempt under any underwriter's
exemption granted by the United States Department of Labor.

     Escrow Account: As defined in Section 3.06 hereof.

     Event of Default: As defined in Section 7.01 hereof.

     Exception Report: As defined in Section 2.02 hereof.

     Excess Interest: On any Distribution Date, for each Class of the Class A,
Class M and Class B Certificates, the excess, if any, of (1) the amount of
interest such Class of Certificates is entitled to receive on such Distribution
Date over (2) the amount of interest such Class of Certificates would have been
entitled to receive on such Distribution Date at an interest rate equal to the
REMIC Pass-Through Rate.

     Excess Proceeds: With respect to any Liquidated Loan, any Liquidation
Proceeds that are in excess of the sum of (1) the unpaid principal balance of
such Liquidated Loan as of the date of such liquidation plus (2) interest at the
Mortgage Rate from the Due Date as to which interest was last paid or advanced
to Certificateholders (and not reimbursed to the Servicer) up to the Due Date in
the month in which such Liquidation Proceeds are required to be distributed on
the unpaid principal balance of such Liquidated Loan outstanding during each Due
Period as to which such interest was not paid or advanced.

     Exchange Act: The Securities Exchange Act of 1934, as amended.

     Extra Principal Distribution Amount: With respect to any Distribution Date,
(1) prior to the Stepdown Date, the excess of (A) the sum of (i) the Aggregate
Certificate Principal Balance immediately preceding such Distribution Date
reduced by the Principal Funds with respect to such Distribution Date and (ii)
$52,877,883 over (B) the Pool Stated Principal Balance of the Mortgage Loans as
of such Distribution Date and (2) on and after the Stepdown Date, (A) the sum of
(x) the Aggregate Certificate Principal Balance immediately preceding such
Distribution Date, reduced by the Principal Funds with respect to such
Distribution Date and (y) the greater of (a) 5.60% of the Pool Stated Principal
Balance of the Mortgage Loans and (b) the Minimum Required Overcollateralization
Amount less (B) the Pool Stated Principal Balance of the Mortgage Loans as of
such Distribution Date; provided, however, that if on any Distribution Date a
Stepdown Trigger Event is in effect, the Extra Principal Distribution Amount
will not be reduced to the applicable percentage of the then-current aggregate
Stated Principal Balance of the Mortgage Loans (and will remain fixed at the
applicable percentage of the aggregate Stated Principal Balance of the Mortgage
Loans as of the Due Date immediately prior to the Stepdown Trigger Event) until
the next Distribution Date on which the Stepdown Trigger Event is not in effect.

                                      -45-

<PAGE>

     Fannie Mae: A federally chartered and privately owned corporation organized
and existing under the Federal National Mortgage Association Charter Act, or any
successor thereto.

     FDIC: The Federal Deposit Insurance Corporation, or any successor thereto.

     FFFC: First Franklin Financial Corporation, or any successor thereto.

     Fitch: Fitch, Inc., or any successor in interest.

     Fixed Rate Mortgage Loan: A Mortgage Loan identified in the Mortgage Loan
Schedule as having a Mortgage Rate that is fixed.

     Floating Rate Certificate Carryover: With respect to a Distribution Date,
in the event that the Pass-Through Rate for a class of Class A, Class M or Class
B Certificates is based upon the related Available Funds Cap or the related
Maximum Rate Cap, the sum of (A) the excess of (1) the amount of interest that
such Class would have been entitled to receive on such Distribution Date had the
Pass-Through Rate for that Class not been calculated based on the related
Available Funds Cap or the related Maximum Rate Cap, up to but not exceeding the
greater of (a) the related Maximum Rate Cap or (b) the sum of (i) the related
Available Funds Cap and (ii) the product of (AA) a fraction, the numerator of
which is 360 and the denominator of which is the actual number of days in the
related Accrual Period and (BB) the sum of (x) the quotient obtained by dividing
(I) an amount equal to the proceeds, if any, payable under the related Corridor
Contract with respect to such Distribution Date by (II) the aggregate
Certificate Principal Balance of each of the Classes of Certificates to which
such Corridor Contract relates for such Distribution Date and (y) the quotient
obtained by dividing (I) an amount of any Net Swap Payments owed by the Swap
Counterparty for such Distribution Date by (II) the aggregate Stated Principal
Balance of the Mortgage Loans as of the immediately preceding Distribution Date
over (2) the amount of interest such Class was entitled to receive on such
Distribution Date based on the related Available Funds Cap; together with (B)
the unpaid portion of any such excess from prior Distribution Dates (and
interest accrued thereon at the then applicable Pass-Through Rate, without
giving effect to the related Available Funds Cap or the related Maximum Rate
Cap) and (C) any amount previously distributed with respect to Floating Rate
Certificate Carryover for such Class that is recovered as a voidable preference
by a trustee in bankruptcy.

     Freddie Mac: A corporate instrumentality of the United States created and
existing under Title III of the Emergency Home Finance Act of 1970, as amended,
or any successor thereto.

     Grantor Trusts: The grantor trusts described in Section 2.07 hereof.

     Gross Margin: The percentage set forth in the related Mortgage Note for
each of the Adjustable Rate Mortgage Loans which is to be added to the
applicable index for use in determining the Mortgage Rate on each Adjustment
Date, and which is set forth in the Mortgage Loan Schedule for each Adjustable
Rate Mortgage Loan.

     Group One: The portion of the Mortgage Pool identified as "Group One" in
the Prospectus Supplement.

     Group One Available Funds Cap: With respect to a Distribution Date, the per
annum rate equal to the product of (i) 12, (ii) the quotient of (x) the total
scheduled interest on the Mortgage Loans in

                                      -46-

<PAGE>

Group One based on the Net Mortgage Rates in effect on the related Due Date,
less the pro rata portion (calculated based on the ratio of the Stated Principal
Balance of the Group One Mortgage Loans to the Stated Principal Balance of the
total pool of Mortgage Loans) allocable to the Group One Mortgage Loans of any
Net Swap Payments or Swap Termination Payments (other than Defaulted Swap
Termination Payments) owed to the Swap Counterparty for such Distribution Date
and (y) the aggregate Stated Principal Balance of the Mortgage Loans in Group
One as of the first day of the related Accrual Period (or, in the case of the
first Distribution Date, as of the Cut-off Date) and (iii) a fraction, the
numerator of which is 30, and the denominator of which is the actual number of
days in the related Accrual Period. The Group One Available Funds Cap shall
relate to Certificate Group One.

     Group One Corridor Contract: The confirmation and agreement, including the
schedule thereto and the related credit support annex (attached as Exhibit M-4
hereto), between the Trustee on behalf of the Issuing Entity and the Cap
Contract Counterparty (attached as Exhibit M-1 hereto), with respect to the
Certificate Group One.

     Group One Corridor Contract Notional Balance: With respect to any
Distribution Date, the Group One Corridor Contract Notional Balance set forth
for such Distribution Date in the Group One LIBOR Table (attached as Schedule I
to Exhibit M-1 hereto).

     Group One Corridor Contract Termination Date: The Distribution Date in
November 2007.

     Group One Maximum Rate Cap: With respect to a Distribution Date, the per
annum rate equal to the product of (i) 12, (ii) the quotient of (x) the total
scheduled interest that would have been due on the Group One Mortgage Loans had
the Adjustable Rate Mortgage Loans provided for interest at their maximum
lifetime Net Mortgage Rates and the Fixed Rate Mortgage Loans provided for
interest at their Net Mortgage Rates less the pro rata portion (calculated based
on the ratio of the Stated Principal Balance of the Group One Mortgage Loans to
the Stated Principal Balance of the total pool of Mortgage Loans) allocable to
the Group One Mortgage Loans of any Net Swap Payments or Swap Termination
Payments owed to the Swap Counterparty for such Distribution Date (other than
Defaulted Swap Termination Payments), and (y) the aggregate Stated Principal
Balance of the Group One Mortgage Loans as of the first day of the related
Accrual Period (or, in the case of the first Distribution Date, as of the
Cut-off Date) and (iii) a fraction, the numerator of which is 30 and the
denominator of which is the actual number of days in the related Accrual Period.
The Group One Maximum Rate Cap shall relate to Certificate Group One.

     Group One Mortgage Loan: Any Mortgage Loan at any time identified in the
Mortgage Loan Schedule attached hereto as Exhibit B as a Group One Mortgage
Loan.

     Group One Net WAC: The Net WAC of Group One.

     Group One Principal Distribution Amount: As of any Distribution Date, the
amount equal to the lesser of (i) the aggregate Certificate Principal Balance of
the Class A-1 and Class R Certificates and (ii) the product of (x) the Group One
Principal Distribution Percentage and (y) the Class A Principal Distribution
Amount; provided, however, that with respect to any Distribution Date on which
the Class A-1 and Class R Certificates are outstanding and the Certificate
Principal Balance of the Class A-2 Certificates has been reduced to zero, the
Group One Principal Distribution Amount will equal the Class A Principal
Distribution Amount.

                                      -47-

<PAGE>

     Group One Principal Distribution Percentage: With respect to any
Distribution Date, a fraction expressed as a percentage, the numerator of which
is the amount of Principal Funds received with respect to Mortgage Loans in
Group One and the denominator of which is the amount of Principal Funds received
from all of the Mortgage Loans in the mortgage pool.

     Group One Upper Collar: With respect to each Distribution Date with respect
to which payments are received on the Group One Corridor Contract, a rate equal
to the lesser of One-Month LIBOR and 10.810% per annum.

     Group Two: The portion of the Mortgage Pool identified as "Group Two" in
the Prospectus Supplement.

     Group Two Available Funds Cap: With respect to a Distribution Date, the per
annum rate equal to the product of (i) 12, (ii) the quotient of (x) the total
scheduled interest on the Group Two Mortgage Loans based on the Net Mortgage
Rates in effect on the related Due Date, less the pro rata portion (calculated
based on the ratio of the Stated Principal Balance of the Group Two Mortgage
Loans to the Stated Principal Balance of the total pool of Mortgage Loans)
allocable to the Group Two Mortgage Loans of any Net Swap Payments or Swap
Termination Payments (other than Defaulted Swap Termination Payments) owed to
the Swap Counterparty for such Distribution Date, and (y) the aggregate Stated
Principal Balance of the Group Two Mortgage Loans as of the first day of the
related Accrual Period (or, in the case of the first Distribution Date, as of
the Cut-off Date) and (iii) a fraction, the numerator of which is 30 and the
denominator of which is the actual number of days in the related Accrual Period.
The Group Two Available Funds Cap shall relate to the Certificate Group Two.

     Group Two Corridor Contract: The confirmation and agreement, including the
schedule thereto and the related credit support annex (attached as Exhibit M-4
hereto), between the Trustee on behalf of the Issuing Entity and the Cap
Contract Counterparty (attached as Exhibit M-2 hereto), with respect to
Certificate Group Two.

     Group Two Corridor Contract Notional Balance: With respect to any
Distribution Date, the Group Two Corridor Contract Notional Balance set forth
for such Distribution Date in the Group Two LIBOR Cap Table (attached as
Schedule I to Exhibit M-2 hereto).

     Group Two Corridor Contract Termination Date: The Distribution Date in
November 2007.

     Group Two Maximum Rate Cap: With respect to a Distribution Date, the per
annum rate equal to the product of (i) 12, (ii) the quotient of (x) the total
scheduled interest that would have been due on the Group Two Mortgage Loans had
the Adjustable Rate Mortgage Loans provided for interest at their maximum
lifetime Net Mortgage Rates and the Fixed Rate Mortgage Loans provided for
interest at their Net Mortgage Rates less the pro rata portion (calculated based
on the ratio of the Stated Principal Balance of the Group Two Mortgage Loans to
the Stated Principal Balance of the total pool of Mortgage Loans) allocable to
the Group Two Mortgage Loans of any Net Swap Payments or Swap Termination
Payments owed to the Swap Counterparty for such Distribution Date (other than
Defaulted Swap Termination Payments), and (y) the aggregate Stated Principal
Balance of the Group Two Mortgage Loans as of the first day of the related
Accrual Period (or, in the case of the first Distribution Date, as of the
Cut-off Date) and (iii) a fraction, the numerator of which is 30 and the
denominator of which is the actual number of days in the related Accrual Period.
The Group Two Maximum Rate Cap shall relate to the Class A-2 Certificates.

                                      -48-

<PAGE>

     Group Two Mortgage Loan: Any Mortgage Loan at any time identified in the
Mortgage Loan Schedule attached hereto as Exhibit B as a Group Two Mortgage
Loan.

     Group Two Net WAC: The Net WAC of Group Two.

     Group Two Principal Distribution Amount: As of any Distribution Date, the
amount equal to the lesser of (i) the aggregate Certificate Principal Balance of
the Class A-2 Certificates and (ii) the product of (x) the Group Two Principal
Distribution Percentage and (y) the Class A Principal Distribution Amount;
provided, however, that (A) with respect to any Distribution Date on which the
Class A-2 Certificates are outstanding and the Certificate Principal Balances of
the Class A-1 and Class R Certificates is reduced to zero, the Group One
Principal Distribution Amount in excess of the amount necessary to reduce the
Certificate Principal Balance of the Class A-1 Certificates and Class R
Certificates to zero will be applied to increase the Group Two Principal
Distribution Amount and (B) with respect to any Distribution Date thereafter,
the Group Two Principal Distribution Amount will equal the Class A Principal
Distribution Amount.

     Group Two Principal Distribution Percentage: With respect to any
Distribution Date, a fraction expressed as a percentage, the numerator of which
is the amount of Principal Funds received with respect to Mortgage Loans in
Group Two and the denominator of which is the amount of Principal Funds received
from all of the Mortgage Loans in the mortgage pool.

     Group Two Upper Collar: With respect to each Distribution Date with respect
to which payments are received on the Group Two Corridor Contract, a rate equal
to the lesser of One-Month LIBOR and 10.270% per annum.

     Indenture: An indenture relating to the issuance of the NIM Notes, which
may (but need not) be guaranteed by a NIMs Insurer.

     Initial Adjustment Date: As to any Adjustable Rate Mortgage Loan, the first
Adjustment Date following the origination of such Mortgage Loan.

     Initial Certificate Principal Balance: With respect to any Certificate
(other than the Class P Certificates), the Certificate Principal Balance of such
Certificate or any predecessor Certificate on the Closing Date as set forth in
Section 5.01 hereof.

     Initial Mortgage Rate: As to each Mortgage Loan, the Mortgage Rate in
effect prior to the Initial Adjustment Date.

     Initial Optional Termination Date: The first Distribution Date on which the
aggregate Stated Principal Balance of the Mortgage Loans (or if such Mortgage
Loan is an REO Property, the fair market value of such REO Property) is equal to
or less than 10% of the aggregate Stated Principal Balance of the Mortgage Loans
as of the Cut-off Date.

     Insurance Policy: With respect to any Mortgage Loan or the related
Mortgaged Property included in the Trust Fund, any insurance policy, including
all riders and endorsements thereto in effect with respect to such Mortgage Loan
or Mortgaged Property, including any replacement policy or policies for any
insurance policies.

                                      -49-

<PAGE>

     Insurance Proceeds: Proceeds paid in respect of a Mortgage Loan or the
related Mortgaged Property pursuant to any Insurance Policy or any other
insurance policy covering such Mortgage Loan or Mortgaged Property, to the
extent such proceeds are payable to the mortgagee under the Mortgage, the
Servicer or the Trustee under the deed of trust and are not applied to the
restoration of the related Mortgaged Property or released either to the
Mortgagor or to the holder of a senior lien on the related Mortgaged Property in
accordance with the procedures that the Servicer would follow in servicing
mortgage loans held for its own account, in each case other than any amount
included in such Insurance Proceeds in respect of Insured Expenses.

     Insured Expenses: Expenses covered by an Insurance Policy or any other
insurance policy with respect to a Mortgage Loan or the related Mortgaged
Property.

     Interest Carry Forward Amount: Any of the Class A-1A Interest Carry Forward
Amount, the Class A-1B Interest Carry Forward Amount, the Class A-1C Interest
Carry Forward Amount, the Class A-1D Interest Carry Forward Amount, the Class
A-2A Interest Carry Forward Amount, the Class A-2B Interest Carry Forward
Amount, the Class A-2C Interest Carry Forward Amount, the Class A-2D Interest
Carry Forward Amount, the Class R Interest Carry Forward Amount, the Class M-1-1
Interest Carry Forward Amount, the Class M-1-2 Interest Carry Forward Amount,
the Class M-2-1 Interest Carry Forward Amount, the Class M-2-2 Interest Carry
Forward Amount, the Class M-3-1 Interest Carry Forward Amount, the Class M-3-2
Interest Carry Forward Amount, the Class M-4-1 Interest Carry Forward Amount,
the Class M-4-2 Interest Carry Forward Amount, the Class M-5 Interest Carry
Forward Amount, the Class M-6 Interest Carry Forward Amount, the Class B-1
Interest Carry Forward Amount, the Class B-2 Interest Carry Forward Amount, the
Class B-3 Interest Carry Forward Amount, or the Class C Interest Carry Forward
Amount, as the case may be.

     Interest Determination Date: With respect to the LIBOR Certificates, (i)
for any Accrual Period other than the first Accrual Period, the second LIBOR
Business Day preceding the commencement of such Accrual Period and (ii) for the
first Accrual Period, May 25, 2007.

     Interest Funds: With respect to any Distribution Date, the sum, without
duplication, of (1) all scheduled interest due during the related Due Period and
received before the related Servicer Remittance Date less the Servicing Fee, (2)
all Advances relating to interest with respect to the Mortgage Loans, (3) all
Compensating Interest with respect to the Mortgage Loans, (4) Liquidation
Proceeds with respect to the Mortgage Loans (to the extent such Liquidation
Proceeds relate to interest) collected during the related Prepayment Period
relating to Principal Prepayments in full and during the preceding calendar
month relating to Principal Prepayments in part, (5) all proceeds of any
purchase pursuant to Section 2.02 or 2.03 during the related Prepayment Period
or pursuant to Section 9.01 not later than the related Determination Date (to
the extent that such proceeds relate to interest) less the Servicing Fee and (6)
all Prepayment Charges received with respect to the Mortgage Loans during the
related Prepayment Period relating to Principal Prepayments in full and during
the preceding calendar month relating to Principal Prepayments in part, less (A)
all Non-Recoverable Advances relating to interest and (B) other amounts
reimbursable (including without limitation indemnity payments) to the Servicer
and the Trustee pursuant to this Agreement allocable to interest.

     Issuing Entity: Merrill Lynch First Franklin Mortgage Loan Trust, Series
2007-3.

     Latest Possible Maturity Date: The latest maturity date for any Mortgage
Loan in the Trust Fund plus one month.

                                      -50-

<PAGE>

     LIBOR Business Day: Any day on which banks in the City of London, England,
Chicago, Illinois and New York City, U.S.A. are open and conducting transactions
in foreign currency and exchange.

     LIBOR Certificates: The Class A, Class M and Class B Certificates.

     Liquidated Loan: With respect to any Distribution Date, a defaulted
Mortgage Loan that either (a) pursuant to Section 3.12 has been realized upon or
liquidated through deed-in-lieu of foreclosure, foreclosure sale, trustee's sale
or other realization as provided by applicable law governing the real property
subject to the related Mortgage and any security agreements and as to which the
Servicer has certified (in accordance with Section 3.12) in the related
Prepayment Period that it has received all amounts it expects to receive in
connection with such liquidation or (b) as to which is not a first lien Mortgage
Loan and is delinquent 180 days or longer, the Servicer has certified in a
certificate of an officer of the Servicer delivered to the Depositor and the
Trustee that it does not believe that there is a reasonable likelihood that any
further net proceeds will be received or recovered with respect to such Mortgage
Loan.

     Liquidation Proceeds: Amounts, including Insurance Proceeds, received in
connection with the partial or complete liquidation of Mortgage Loans, whether
through trustee's sale, foreclosure sale, sale by the Servicer pursuant to this
Agreement or otherwise or amounts received in connection with any condemnation
or partial release of a Mortgaged Property and any other proceeds received in
connection with an REO Property, less the sum of related unreimbursed Advances,
Servicing Fees, Servicing Advances and any other expenses related to such
Mortgage Loan.

     Loan-to-Value Ratio: With respect to any Mortgage Loan, the fraction,
expressed as a percentage, the numerator of which is the original principal
balance of the related Mortgage Loan and the denominator of which is the lesser
of (X) the Appraised Value of the related Mortgaged Property and (Y) the sales
price of the related Mortgaged Property at the time of origination.

     Losses: Any losses, claims, damages, liabilities or expenses collectively.

     Lower Tier REMIC: As described in the Preliminary Statement and Section
2.07.

     Lower Tier REMIC Interests: Each of the Class LTA-1A Interest, Class LTA-1B
Interest, the Class LTA-1C Interest, the Class LTA-1D Interest, the Class LTA-2A
Interest, the Class LTA-2B Interest, the Class LTA-2C Interest, the Class LTA-2D
Interest, the Class LTM-1-1 Interest, the Class LTM-1-2 Interest, the Class
LTM-2-1 Interest, the Class LTM-2-2 Interest, the Class LTM-3-1 Interest, the
Class LTM-3-2 Interest, the Class LTM-4-1 Interest, the Class LTM-4-2 Interest,
the Class LTM-5 Interest, the Class LTM-6 Interest, the Class LTB-1 Interest,
the Class LTB-2 Interest, the Class LTB-3 Interest, the Class LTIX Interest, the
Class LTIIX Interest, the Class LTII1A Interest, the Class LTII1B Interest, the
Class LTII2A Interest, the Class LTII2B Interest, the Class LT-IO Interest and
the Class LTR Interest.

     Lower Tier REMIC I Marker Interests: Each of the classes of Lower Tier
REMIC Regular Interests other than the Class LTIX Interest, the Class LTIIX
Interest, the Class LTII1A Interest, the Class LTII1B Interest, the Class LTII2A
Interest, the Class LTII2B Interest and the Class LT-IO Interest.

                                      -51-

<PAGE>

     Lower Tier REMIC II Marker Interests: Each of the Class LTII1A Interest,
the Class LTII1B Interest, the Class LTII2A Interest and the Class LTII2B
Interest.

     Lower Tier REMIC Regular Interests: Each of the Lower Tier REMIC Interests
other than the Class LTR Interest.

     Lower Tier REMIC Subordinated Balance Ratio: The ratio of (i) the principal
balance of the Class LTII1A Interest to (ii) the principal balance of the Class
LTII2A Interest that is equal to the ratio of (i) the excess of (A) the
aggregate Stated Principal Balance of Group One over (B) the current Certificate
Principal Balance of Certificate Group One to (ii) the excess of (A) the
aggregate Stated Principal Balance of Group Two over (B) the current Certificate
Principal Balance of Certificate Group Two.

     Maximum Mortgage Rate: With respect to each Adjustable Rate Mortgage Loan,
the maximum rate of interest set forth as such in the related Mortgage Note and
with respect to each Fixed Rate Mortgage Loan, the rate of interest set forth in
the related Mortgage Note.

     Maximum Rate Cap: Any of the Group One Maximum Rate Cap, the Group Two
Maximum Rate Cap or the Weighted Average Maximum Rate Cap.

     MERS: Mortgage Electronic Registration Systems, Inc., a corporation
organized and existing under the laws of the State of Delaware, or any successor
thereto.

     MERS Loan: Any Mortgage Loan registered with MERS on the MERS System.

     MERS System: The system of recording transfers of mortgage electronically
maintained by MERS.

     MIN: The loan number for any MERS Loan.

     Minimum Mortgage Rate: With respect to each Adjustable Rate Mortgage Loan,
the minimum rate of interest set forth as such in the related Mortgage Note.

     Minimum Required Overcollateralization Amount: An amount equal to the
product of (x) 0.50% and (y) the Stated Principal Balance of the Mortgage Loans
as of the Cut-off Date.

     MOM Loan: Any Mortgage Loan as to which MERS is acting as mortgagee, solely
as nominee for the originator of such Mortgage Loan and its successors and
assigns.

     Monthly Statement: The statement delivered to the Certificateholders
pursuant to Section 4.05.

     Moody's: Moody's Investors Service, Inc. or any successor in interest.

     Mortgage: With respect to a Mortgage Loan, the mortgage, deed of trust or
other instrument with all riders thereto creating a first lien or a first
priority ownership interest in an estate in fee simple in real property securing
a Mortgage Note.

     Mortgage File: The mortgage documents listed in Section 2.01 hereof
pertaining to a particular Mortgage Loan and any additional documents delivered
to the Trustee to be added to the Mortgage File pursuant to this Agreement.

                                      -52-

<PAGE>

     Mortgage Group: Either of Group One or Group Two.

     Mortgage Loan Schedule: The list of Mortgage Loans (as from time to time
amended by the Trustee to reflect the deletion of Deleted Mortgage Loans and the
addition of Replacement Mortgage Loans pursuant to the provisions of this
Agreement) transferred to the Trustee as part of the Trust Fund and from time to
time subject to this Agreement, attached hereto as Exhibit B, setting forth the
following information with respect to each Mortgage Loan:

          (i)  the loan number;

          (ii) the borrower's name and address;

          (iii) the unpaid principal balance of the Mortgage Loans;

          (iv) the Initial Mortgage Rate;

          (v)  the original maturity date and the months remaining before
               maturity date;

          (vi) the original principal balance;

          (vii) the Cut-off Date Principal Balance;

          (viii) the first payment due date of the Mortgage Loan;

          (ix) the Loan-to-Value Ratio at origination with respect to a Mortgage
               Loan;

          (x)  a code indicating whether the residential dwelling at the time of
               origination was represented to be owner-occupied;

          (xi) a code indicating the property type;

          (xii) with respect to each Adjustable Rate Mortgage Loan;

               (A)  the frequency of each Adjustment Date;

               (B)  the next Adjustment Date;

               (C)  the Maximum Mortgage Rate;

               (D)  the Minimum Mortgage Rate;

               (E)  the Mortgage Rate as of the Cut-off Date;

               (F)  the related Periodic Rate Cap;

               (G)  the Gross Margin; and

               (H)  the lifetime rate cap;

                                      -53-

<PAGE>

          (xiii) the location of the related Mortgaged Property;

          (xiv) a code indicating whether a Prepayment Charge is applicable;

               (A)  the period during which such Prepayment Charge is in effect;

               (B)  the amount of such Prepayment Charge;

               (C)  any limitations or other conditions on the enforceability of
                    such Prepayment Charge; and

               (D)  any other information pertaining to the Prepayment Charge
                    specified in the related Mortgage Note;

          (xv) the Credit Score and date obtained; and

          (xvi) the MIN.

     Mortgage Loans: Such of the mortgage loans transferred and assigned to the
Trustee pursuant to the provisions hereof as from time to time are held as a
part of the Trust Fund (including any REO Property), the mortgage loans so held
being identified in the Mortgage Loan Schedule, notwithstanding foreclosure or
other acquisition of title of the related Mortgaged Property. Any mortgage loan
that was intended by the parties hereto to be transferred to the Trust Fund as
indicated by such Mortgage Loan Schedule which is in fact not so transferred for
any reason shall continue to be a Mortgage Loan hereunder until the Purchase
Price with respect thereto has been paid to the Trust Fund.

     Mortgage Note: The original executed note or other evidence of indebtedness
evidencing the indebtedness of a Mortgagor under a Mortgage Loan and all
amendments, modifications and attachments thereto with all riders attached
thereto.

     Mortgage Pool: The aggregate of the Mortgage Loans identified in the
Mortgage Loan Schedule.

     Mortgage Rate: The annual rate of interest borne by a Mortgage Note from
time to time.

     Mortgaged Property: The underlying property securing a Mortgage Loan.

     Mortgagor: The obligor on a Mortgage Note.

     Net Mortgage Rate: As to each Mortgage Loan, and at any time, the per annum
rate equal to the then current Mortgage Rate less the Servicing Fee Rate.

     Net Rate: The per annum rate set forth in footnote 8 to the description of
the Lower Tier REMIC in the Preliminary Statement hereto (such rate being based
on the weighted average of the interest rates on the SWAP REMIC Regular
Interests as adjusted and as set forth in such footnote).

     Net Swap Payment: With respect to any Distribution Date, any net payment
(other than a Swap Termination Payment or Defaulted Swap Termination Payment)
made by the Supplemental Interest Trust to the Swap Counterparty on the related
Fixed Rate Payer Payment Date (as defined in the Swap Agreement) or made by the
Swap Counterparty to the Supplemental Interest Trust on the related Floating

                                      -54-

<PAGE>

Rate Payer Payment Date (as defined in the Swap Agreement). In each case, the
Net Swap Payment shall not be less than zero.

     Net WAC: With respect to any Distribution Date and for any Mortgage Group,
the weighted average Net Mortgage Rate for the Mortgage Loans in such Mortgage
Group calculated based on the respective Net Mortgage Rates and the Stated
Principal Balances of such Mortgage Loans as of the preceding Distribution Date
(or, in the case of the first Distribution Date, as of the Cut-off Date).

     NIMs Insurer: Any of the one or more insurers, if any, that may be
guaranteeing certain payments under any NIM Notes; provided, that upon the
payment in full of the NIM Notes, all rights of the NIMs Insurer hereunder shall
terminate.

     NIM Notes: The net interest margin or excess cashflow securities to be
issued pursuant to any Indenture.

     NIMs Insurer Default: As defined in Section 10.13.

     Non-Recoverable Advance: Any portion of an Advance previously made or
proposed to be made by the Servicer that, in the good faith judgment of the
Servicer, will not or, in the case of a current delinquency, would not, be
ultimately recoverable by the Servicer from the related Mortgagor, related
Liquidation Proceeds or otherwise related to the Mortgage Loans.

     Non-Recoverable Servicing Advance: Any portion of a Servicing Advance
previously made or proposed to be made by the Servicer that, in the good faith
judgment of the Servicer, will not or, in the case of a current Servicing
Advance, would not, be ultimately recoverable by the Servicer from the related
Mortgagor, related Liquidation Proceeds or otherwise related to the Mortgage
Loans.

     Non-Supported Interest Shortfall: As defined in Section 4.02.

     Offered Certificates: The Class A, Class M, and Class B Certificates.

     Officer's Certificate: A certificate (1) signed by the Chairman of the
Board, the Vice Chairman of the Board, the President, a vice president (however
denominated), an Assistant Vice President, the Treasurer, the Secretary, or one
of the assistant treasurers or assistant secretaries of the Depositor, or
Trustee, the Servicer (or any other officer customarily performing functions
similar to those performed by any of the above designated officers and to whom,
with respect to a particular matter, such matter is referred because of such
officer's knowledge of and familiarity with a particular subject) or (2), if
provided for in this Agreement, signed by a Servicing Officer, as the case may
be, and delivered to the Depositor, the Servicer or the Trustee, as the case may
be, as required by this Agreement.

     One-Month LIBOR: With respect to any Accrual Period, the rate determined by
the Trustee on the related Interest Determination Date on the basis of (a) the
offered rates for one-month United States dollar deposits from Reuters, as of
11:00 a.m. (London time) on such Interest Determination Date (or if such service
is no longer offered, such other service for displaying LIBOR or comparable
rates as may be reasonably selected by the Trustee) or (b) if such rate does not
appear on Reuters as of 11:00 a.m. (London time), the Trustee will determine
such rate on the basis of the offered rates of the Reference Banks for one-month
United States dollar deposits, as such rates appear on the Reuters Screen LIBO
Page, as of 11:00 a.m. (London time) on such Interest Determination Date. If
One-Month LIBOR is

                                      -55-

<PAGE>

determined pursuant to clause (b) above, on each Interest Determination Date,
One-Month LIBOR for the related Accrual Period will be established by the
Trustee as follows:

          (i)  If on such Interest Determination Date two or more Reference
               Banks provide such offered quotations, One-Month LIBOR for the
               related Accrual Period shall be the arithmetic mean of such
               offered quotations (rounded upwards if necessary to the nearest
               whole multiple of 0.03125%).

          (ii) If on such Interest Determination Date fewer than two Reference
               Banks provide such offered quotations, One-Month LIBOR for the
               related Accrual Period shall be the higher of (i) One-Month LIBOR
               as determined on the previous Interest Determination Date and
               (ii) the Reserve Interest Rate.

     Opinion of Counsel: A written opinion of counsel, who may be counsel for
the Depositor or the Servicer reasonably acceptable to each addressee of such
opinion; provided, however, that with respect to Section 6.04 or 10.01, or the
interpretation or application of the REMIC Provisions, such counsel must (1) in
fact be independent of the Depositor and the Servicer, (2) not have any direct
financial interest in the Depositor or the Servicer or in any Affiliate of
either such party, and (3) not be connected with the Depositor or the Servicer
as an officer, employee, promoter, underwriter, trustee, partner, director or
person performing similar functions.

     Optional Termination: The termination of the Trust Fund hereunder pursuant
to clause (a) of Section 9.01 hereof.

     Optional Termination Amount: The repurchase price received by the Trustee
in connection with any repurchase of all of the Mortgage Loans pursuant to
Section 9.01.

     Optional Termination Price: On any date after the Initial Optional
Termination Date an amount equal to the sum of (i) the then aggregate
outstanding Stated Principal Balance of the Mortgage Loans (or, if such Mortgage
Loan is an REO Property, the fair market value of such REO Property) plus
accrued interest thereon at the applicable Mortgage Rate through the Due Date in
the month in which the proceeds of the auction will be distributed on the
Certificates; (ii) any unreimbursed indemnity amounts, fees or out-of-pocket
costs and expenses owed to the Trustee or the Servicer and all unreimbursed
Advances and Servicing Advances, in each case incurred by such party in the
performance of its obligations; (iii) any unreimbursed costs, penalties and/or
damages incurred by the Trust Fund in connection with any violation relating to
any of the Mortgage Loans of any predatory or abusive lending law; (iv) any
amounts incurred by the Trustee in connection with conducting such auction and
(v) any unpaid Net Swap Payments and any Swap Termination Payment owed to the
Swap Counterparty; such Swap Termination Payment shall include any payment to
the Swap Counterparty resulting from the optional termination of the Swap
Agreement after the Optional Termination Date but prior to the final
distribution to the Certificates.

     OTS: The Office of Thrift Supervision.

     Outstanding: With respect to the Certificates as of any date of
determination, all Certificates theretofore executed and authenticated under
this Agreement except: (1) Certificates theretofore canceled by the Trustee or
delivered to the Trustee for cancellation; and (2) Certificates in exchange for
which or in lieu of which other Certificates have been executed by the Trustee
and delivered by the Trustee pursuant to this Agreement.

                                      -56-

<PAGE>

     Outstanding Mortgage Loan: As of any Distribution Date, a Mortgage Loan
with a Stated Principal Balance greater than zero that was not the subject of a
Principal Prepayment in full, and that did not become a Liquidated Loan, prior
to the end of the related Due Period.

     Overcollateralization Amount: As of any date of determination, the excess
of (1) the Stated Principal Balance of the Mortgage Loans over (2) the
Certificate Principal Balance of the Certificates (other than the Class P
Certificates and the Class C Certificates).

     Ownership Interest: As to any Certificate, any ownership interest in such
Certificate including any interest in such Certificate as the Holder thereof and
any other interest therein, whether direct or indirect, legal or beneficial.

     Pass-Through Rate: With respect to any Class of Certificates, the
corresponding Pass-Through Rate for such Class of Certificates.

     Percentage Interest: With respect to:

          (i)  any Class, the percentage interest in the undivided beneficial
               ownership interest evidenced by such Class which shall be equal
               to the Certificate Principal Balance of such Class divided by the
               aggregate Certificate Principal Balance of all Classes; and

          (ii) any Certificate, the Percentage Interest evidenced thereby of the
               related Class shall equal the percentage obtained by dividing the
               Denomination of such Certificate by the aggregate of the
               Denominations of all Certificates of such Class; except that in
               the case of any Class P Certificates, the Percentage Interest
               with respect to such Certificate shown on the face of such
               Certificate.

     Periodic Rate Cap: As to each Adjustable Rate Mortgage Loan and the related
Mortgage Note, the provision therein that limits permissible increases and
decreases in the Mortgage Rate on any Adjustment Date.

     Permitted Activities: The primary activities of the Issuing Entity created
pursuant to this Agreement which shall be:

          (i)  holding Mortgage Loans transferred from the Depositor and other
               assets of the Issuing Entity, including the Corridor Contracts,
               Corridor Contract Account and the Supplemental Interest Trust
               subtrust, which in turn holds the Swap Agreement, and any credit
               enhancement and passive derivative financial instruments that
               pertain to beneficial interests issued or sold to parties other
               than the Depositor, its Affiliates, or its agents;

          (ii) issuing Certificates and other interests in the assets of the
               Issuing Entity;

          (iii) through the appropriate subtrust, as applicable, receiving
               collections on the Mortgage Loans, the Swap Agreement and making
               payments on such Certificates and interests in accordance with
               the terms of this Agreement; and

                                      -57-

<PAGE>

          (iv) engaging in other activities that are necessary or incidental to
               accomplish these limited purposes, which activities cannot be
               contrary to the status of the Issuing Entity as a qualified
               special purpose entity under existing accounting literature.

     Permitted Investments: At any time, any one or more of the following
obligations and securities:

          (i)  obligations of the United States or any agency thereof, provided
               the timely payment of such obligations is backed by the full
               faith and credit of the United States;

          (ii) general obligations of or obligations guaranteed by any state of
               the United States or the District of Columbia receiving the
               highest long-term debt rating of each Rating Agency rating the
               Certificates;

          (iii) commercial or finance company paper, other than commercial or
               finance company paper issued by the Depositor, the Trustee or any
               of their Affiliates, which is then receiving the highest
               commercial or finance company paper rating of each such Rating
               Agency;

          (iv) certificates of deposit, demand or time deposits, or bankers'
               acceptances (other than banker's acceptances issued by the
               Trustee or any of its Affiliates) issued by any depository
               institution or trust company incorporated under the laws of the
               United States or of any state thereof and subject to supervision
               and examination by federal and/or state banking authorities,
               provided that the commercial paper and/or long term unsecured
               debt obligations of such depository institution or trust company
               are then rated one of the two highest long-term and the highest
               short-term ratings of each such Rating Agency for such
               securities;

          (v)  demand or time deposits or certificates of deposit issued by any
               bank or trust company or savings institution to the extent that
               such deposits are fully insured by the FDIC;

          (vi) guaranteed reinvestment agreements issued by any bank, insurance
               company or other corporation rated in the two highest long-term
               or the highest short-term ratings of each Rating Agency
               containing, at the time of the issuance of such agreements, such
               terms and conditions as will not result in the downgrading or
               withdrawal of the rating then assigned to the Certificates by any
               such Rating Agency as evidenced by a letter from each Rating
               Agency;

          (vii) repurchase obligations with respect to any security described in
               clauses (i) and (ii) above, in either case entered into with a
               depository institution or trust company (acting as principal)
               described in clause (v) above;

          (viii) securities (other than stripped bonds, stripped coupons or
               instruments sold at a purchase price in excess of 115% of the
               face amount thereof) bearing interest or sold at a discount
               issued by any corporation, other than the Trustee or any of its
               Affiliates, incorporated under the laws of the United States or
               any state thereof

                                      -58-

<PAGE>

               which, at the time of such investment, have one of the two
               highest long term ratings of each Rating Agency;

          (ix) interests in any money market fund (including those managed or
               advised by the Trustee or its Affiliates), which at the date of
               acquisition of the interests in such fund and throughout the time
               such interests are held in such fund has the highest applicable
               long term rating by each Rating Agency rating such fund; and

          (x)  short term investment funds sponsored by any trust company or
               national banking association incorporated under the laws of the
               United States or any state thereof, other than the Trustee or any
               of its Affiliates, which on the date of acquisition has been
               rated by each such Rating Agency in their respective highest
               applicable rating category;

provided, that no such instrument shall be a Permitted Investment if such
instrument (i) evidences the right to receive interest only payments with
respect to the obligations underlying such instrument, (ii) is purchased at a
premium or above par or (iii) is purchased at a deep discount; provided,
further, that no such instrument shall be a Permitted Investment (A) if such
instrument evidences principal and interest payments derived from obligations
underlying such instrument and the interest payments with respect to such
instrument provide a yield to maturity of greater than 120% of the yield to
maturity at par of such underlying obligations, or (B) if it may be redeemed at
a price below the purchase price (the foregoing clause (B) not to apply to
investments in units of money market funds pursuant to clause (ix) above); and
provided, further, (I) that no amount beneficially owned by any REMIC
(including, without limitation, any amounts collected by the Servicer but not
yet deposited in the Collection Account) may be invested in investments (other
than money market funds) treated as equity interests for Federal income tax
purposes, unless the Servicer shall receive an Opinion of Counsel, at the
expense of the party requesting that such investment be made, to the effect that
such investment will not adversely affect the status of the any REMIC provided
for herein as a REMIC under the Code or result in imposition of a tax on the
Issuing Entity or any REMIC provided for herein and (II) each such investment
must be a "permitted investment" within the meaning of Section 860G(a)(5) of the
Code. Permitted Investments that are subject to prepayment or call may not be
purchased at a price in excess of par.

     Permitted Transferee: Any Person other than (i) the United States, any
State or political subdivision thereof, or any agency or instrumentality of any
of the foregoing, (ii) a foreign government, International Organization or any
agency or instrumentality of either of the foregoing, (iii) an organization
(except certain farmers' cooperatives described in Section 521 of the Code) that
is exempt from tax imposed by Chapter 1 of the Code (including the tax imposed
by Section 511 of the Code on unrelated business taxable income) on any excess
inclusions (as defined in Section 860E(c)(1) of the Code) with respect to the
Class R Certificate, (iv) rural electric and telephone cooperatives described in
Section 1381(a)(2)(C) of the Code, and (v) a Person that is not a citizen or
resident of the United States, a corporation or partnership (or other entity
treated as a corporation or partnership for United States federal income tax
purposes) created or organized in or under the laws of the United States or any
State thereof or the District of Columbia or an estate whose income from sources
without the United States is includable in gross income for United States
federal income tax purposes regardless of its connection with the conduct of a
trade or business within the United States, or a trust if a court within the
United States is able to exercise primary supervision over the administration of
the trust and one or more United States persons have authority to control all
substantial decisions of the trust, unless, in the case of this clause (v), such
Person has furnished the transferor and the Trustee with a duly completed
Internal Revenue Service Form

                                      -59-

<PAGE>

W-8ECI or applicable successor form. The terms "United States," "State" and
"International Organization" shall have the meanings set forth in Section 7701
of the Code. A corporation will not be treated as an instrumentality of the
United States or of any State thereof for these purposes if all of its
activities are subject to tax and, with the exception of the Federal Home Loan
Mortgage Corporation, a majority of its board of directors is not selected by
such government unit.

     Person: Any individual, corporation, partnership, limited liability
company, joint venture, association, joint-stock company, trust, unincorporated
organization or government, or any agency or political subdivision thereof.

     Pool Stated Principal Balance: As to any Distribution Date, the aggregate
of the Stated Principal Balances, as of such Distribution Date, of the Mortgage
Loans that were Outstanding Mortgage Loans as of such date.

     Posted Collateral: As defined in the Swap Agreement or the Corridor
Contracts, as applicable.

     Prepayment Assumption: A rate of prepayment, as described in the Prospectus
Supplement in the definition of "Modeling Assumptions," relating to the Offered
Certificates.

     Prepayment Charges: Any prepayment premium or charge payable by a Mortgagor
in connection with any Principal Prepayment on a Mortgage Loan pursuant to the
terms of the related Mortgage Note or Mortgage, as applicable.

     Prepayment Interest Excess: With respect to any Servicer Remittance Date,
for each Mortgage Loan that was the subject of a Principal Prepayment in full
during the portion of the related Prepayment Period occurring between the first
day of the calendar month in which such Servicer Remittance Date occurs and the
last day of the related Prepayment Period, an amount equal to interest (to the
extent received) at the applicable Net Mortgage Rate on the amount of such
Principal Prepayment for the number of days commencing on the first day of the
calendar month in which such Servicer Remittance Date occurs and ending on the
date on which such Principal Prepayment is so applied.

     Prepayment Interest Shortfall: With respect to any Distribution Date, for
each Mortgage Loan that was the subject of a Principal Prepayment in full (other
than a Principal Prepayment in full resulting from the purchase of a Mortgage
Loan pursuant to Section 2.02, 2.03 or 9.01 hereof and other than a Principal
Prepayment in full on a Mortgage Loan received during the period from and
including the first day to and including the 14th day of the month of such
Distribution Date), the amount, if any, by which (i) one month's interest at the
applicable Net Mortgage Rate on the Stated Principal Balance of such Mortgage
Loan as of the preceding Distribution Date exceeds (ii) the amount of interest
paid or collected in connection with such Principal Prepayment.

     Prepayment Period: With respect to any Distribution Date (i) with respect
to prepayments in full or any other amounts received in connection with a
Principal Prepayment in full, the period beginning with the opening of business
on the 15th day of the calendar month preceding the month in which such
Distribution Date occurs (or in the case of the first Distribution Date,
beginning with the opening of business on the Cut-off Date) and ending on the
close of business on the 14th day of the month in which such Distribution Date
occurs and (ii) with respect to partial prepayments and any other amounts
received in connection with a payment in part, the calendar month preceding the
month of such Distribution Date.

                                      -60-

<PAGE>

     Principal Distribution Amount: With respect to each Distribution Date, the
sum of (i) the Principal Funds for such Distribution Date and (ii) any Extra
Principal Distribution Amount for such Distribution Date.

     Principal Funds: With respect to the Mortgage Loans and any Distribution
Date, the sum, without duplication, of (1) the scheduled principal due during
the related Due Period and received before the related Servicer Remittance Date
or advanced on or before the related Servicer Remittance Date, (2) Principal
Prepayments in full collected in the related Prepayment Period, (3) the Stated
Principal Balance of each Mortgage Loan that was purchased by the Depositor or
the Servicer during the related Prepayment Period or, in the case of a purchase
pursuant to Section 9.01, on the Business Day prior to such Distribution Date,
(4) the amount, if any, by which the aggregate unpaid principal balance of any
Replacement Mortgage Loan is less than the aggregate unpaid principal of the
related Deleted Mortgage Loans delivered by the Sponsor in connection with a
substitution of a Mortgage Loan pursuant to Section 2.03(c), (5) all Liquidation
Proceeds collected during the related Prepayment Period (to the extent such
Liquidation Proceeds relate to principal and represent payment in full), (6) all
Subsequent Recoveries received with regard to the applicable Prepayment Period
and (7) all other collections and recoveries in respect of principal, including
any partial prepayments of principal, with regard to the applicable Prepayment
Period, less (A) all Non-Recoverable Advances relating to principal with respect
to the Mortgage Loans and (B) other amounts reimbursable (including without
limitation indemnity payments) to the Servicer and the Trustee pursuant to this
Agreement allocable to principal.

     Principal Prepayment: Any Mortgagor payment or other recovery of (or
proceeds with respect to) principal on a Mortgage Loan (including Mortgage Loans
purchased or repurchased under Sections 2.02, 2.03 and 9.01 hereof) that is
received or recovered in advance of its scheduled Due Date and is not
accompanied by an amount as to interest representing scheduled interest due on
any date or dates in any month or months subsequent to the month of prepayment.
Partial Principal Prepayments shall be applied by the Servicer in accordance
with the terms of the related Mortgage Note.

     Prospectus Supplement: The Prospectus Supplement dated May 29, 2007,
relating to the public offering of the Offered Certificates.

     PUD: A Planned Unit Development.

     Purchase Agreement: The Mortgage Loan Purchase Agreement, dated as of May
1, 2007, between the Depositor, as purchaser and the Sponsor, as seller.

     Purchase Price: With respect to any Mortgage Loan required to be
repurchased by the Sponsor pursuant to Section 2.02 or 2.03 hereof, an amount
equal to the sum of (i) 100% of the unpaid principal balance of the Mortgage
Loan as of the date of such purchase together with any unreimbursed Servicing
Advances, (ii) accrued interest thereon at the applicable Mortgage Rate from (a)
the date through which interest was last paid by the Mortgagor to (b) the Due
Date in the month in which the Purchase Price is to be distributed to
Certificateholders and (iii) any unreimbursed costs, penalties and/or damages
incurred by the Issuing Entity in connection with any violation relating to such
Mortgage Loan of any predatory or abusive lending law.

     QIB: A "qualified institutional buyer" within the meaning of Rule 144A.

                                      -61-

<PAGE>

     Rating Agency: Either of S&P or Moody's. If any such organization or its
successor is no longer in existence, "Rating Agency" shall be a nationally
recognized statistical rating organization, or other comparable Person,
designated by the Depositor, notice of which designation shall be given to the
Trustee. References herein to a given rating category of a Rating Agency shall
mean such rating category without giving effect to any modifiers.

     Rating Agency Condition: As defined in the Swap Agreement.

     Realized Loss: With respect to (1) a Liquidated Loan, the amount, if any,
by which the Stated Principal Balance and accrued interest thereon at the Net
Mortgage Rate exceeds the amount actually recovered by the Servicer with respect
thereto (net of reimbursement of Advances and Servicing Advances) at the time
such Mortgage Loan became a Liquidated Loan or (2) with respect to a Mortgage
Loan which is not a Liquidated Loan, any amount of principal that the Mortgagor
is no longer legally required to pay (except for the extinguishment of debt that
results from the exercise of remedies due to default by the Mortgagor).

     Record Date: With respect to the first Distribution Date, the Closing Date.
With respect to any other Distribution Date, the close of business on the last
Business Day of the month preceding the month in which the applicable
Distribution Date occurs.

     Reference Banks: Barclays Bank PLC, JPMorgan Chase Bank, N.A., Citibank,
N.A., Wells Fargo Bank, N.A. and NatWest, N.A.; provided that if any of the
foregoing banks are not suitable to serve as a Reference Bank, then any leading
banks selected by the Trustee, which are engaged in transactions in Eurodollar
deposits in the international Eurocurrency market (i) with an established place
of business in London, England, (ii) whose quotations appear on the Reuters
Screen LIBO Page on the relevant Interest Determination Date and (iii) which
have been designated as such by the Servicer.

     Regular Certificate: Any one of the Class A, Class M and Class B
Certificates.

     Regulation AB: Subpart 229.1100 - Asset Backed Securities (Regulation AB),
17 C.F.R. Sections 229.1100-229.1123, as such may be amended from time to time,
and subject to such clarification and interpretation as have been provided by
the Commission in the adopting release (Asset-Backed Securities, Securities Act
Release No. 33-8518, 70 Fed Reg. 1,506, 1.531 (Jan. 7, 2005)) or by the staff of
the Commission, or as may be provided by the Commission or its staff from time
to time.

     Regulation S: Regulation S promulgated under the Securities Act or any
successor provision thereto, in each case as the same may be amended from time
to time; and all references to any rule, section or subsection of, or definition
or term contained in, Regulation S means such rule, section, subsection,
definition or term, as the case may be, or any successor thereto, in each case
as the same may be amended from time to time.

     Regulation S Book-Entry Certificates: Certificates sold in offshore
transactions in reliance on Regulation S in the form of one or more permanent
global Certificates in definitive, fully registered form without interest
coupons, which shall be deposited on behalf of the subscribers for such
Certificates represented thereby with the Trustee, as custodian for DTC and
registered in the name of a nominee of DTC.

                                      -62-

<PAGE>

     Related Certificates: For each interest in the Upper Tier REMIC, the Class
of Certificates listed on the same row in the table entitled "Upper Tier REMIC"
in the Preliminary Statement.

     Relief Act: The Servicemembers Civil Relief Act or any similar state or
local law.

     Relief Act Shortfall: With respect to any Distribution Date and any
Mortgage Loan, any reduction in the amount of interest or principal collectible
on such Mortgage Loan for the most recently ended calendar month as a result of
the application of the Relief Act.

     REMIC: A "real estate mortgage investment conduit" within the meaning of
section 860D of the Code. References herein to "the REMICs" or "a REMIC" shall
mean any of (or, as the context requires, all of) the SWAP REMIC, the Lower Tier
REMIC and the Upper Tier REMIC.

     REMIC Pass-Through Rate: In the case of a Class of the Class A, Class M and
Class B Certificates, the Upper Tier REMIC Net WAC Cap for the Corresponding
REMIC Regular Interest.

     REMIC Provisions: Provisions of the federal income tax law relating to real
estate mortgage investment conduits, which appear at sections 860A through 860G
of Subchapter M of Chapter 1 of the Code, and related provisions, and proposed,
temporary and final regulations and published rulings, notices and announcements
promulgated thereunder, as the foregoing may be in effect from time to time as
well as provisions of applicable state laws.

     REMIC Regular Interests: Each of the interests in the Upper Tier REMIC as
set forth in the Preliminary Statement other than the Residual Interest.

     REMIC SWAP Rate: For each Distribution Date (and the related Accrual
Period), a per annum rate equal to the Fixed Rate under the Swap Agreement for
such Distribution Date, as set forth in the Prospectus Supplement.

     Remittance Report: As defined in Section 4.04(j) hereof.

     REO Property: A Mortgaged Property acquired by the Servicer, on behalf of
the Trustee for the benefit of the Certificateholders, through foreclosure or
deed-in-lieu of foreclosure in connection with a defaulted Mortgage Loan.

     Replacement Mortgage Loan: One or more Mortgage Loans substituted by the
Depositor for a Deleted Mortgage Loan, which must, on the date of such
substitution, as confirmed in a Request for Release substantially in the form of
Exhibit I, (1) have a Stated Principal Balance (or in the case of a substitution
of more than one Mortgage Loan for a Deleted Mortgage Loan, an aggregate Stated
Principal Balance), after deduction of the principal portion of the Scheduled
Payment due in the month of substitution, not in excess of, and not less than
90% of the Stated Principal Balance of the Deleted Mortgage Loan; (2) with
respect to any Fixed Rate Mortgage Loan, have a Mortgage Rate not less than or
no more than 1% per annum higher than the Mortgage Rate of the Deleted Mortgage
Loan and, with respect to any Adjustable Rate Mortgage Loan: (A) have a Maximum
Mortgage Rate no more than 1% per annum higher or lower than the Maximum
Mortgage Rate of the Deleted Mortgage Loan; (B) have a Minimum Mortgage Rate no
more than 1% per annum higher or lower than the Minimum Mortgage Rate of the
Deleted Mortgage Loan; (C) have the same index and Periodic Rate Cap as that of
the Deleted Mortgage Loan and a Gross Margin not more than 1% per annum higher
or lower than that of the Deleted

                                      -63-

<PAGE>

Mortgage Loan; (D) not permit conversion of the related Mortgage Rate to a fixed
Mortgage Rate and (F) currently be accruing interest at a rate not more than 1%
per annum higher or lower than that of the Deleted Mortgage Loan; (3) have a
similar or higher FICO score or credit grade than that of the Deleted Mortgage
Loan; (4) have a Loan-to-Value Ratio no higher than that of the Deleted Mortgage
Loan; (5) have a remaining term to maturity no greater than (and not more than
one year less than) that of the Deleted Mortgage Loan; (6) provide for a
Prepayment Charge on terms substantially similar to those of the Prepayment
Charge, if any, of the Deleted Mortgage Loan; (7) have the same lien priority as
the Deleted Mortgage Loan; (8) constitute the same occupancy type as the Deleted
Mortgage Loan; and (9) comply with each representation and warranty set forth in
Section 2.03 hereof.

     Request for Release: The Request for Release of Documents submitted by the
Servicer to the Trustee, substantially in the form of Exhibit I hereto.

     Required Insurance Policy: With respect to any Mortgage Loan, any insurance
policy that is required to be maintained from time to time under this Agreement.

     Required Percentage: As of any Distribution Date following the Stepdown
Date, the quotient of (1) the excess of (A) the aggregate Stated Principal
Balance of the Mortgage Loans as of the prior Distribution Date, over (B) the
Certificate Principal Balance of the most senior Class of Certificates
outstanding as of such Distribution Date, prior to giving effect to
distributions to be made on such Distribution Date and (2) the aggregate Stated
Principal Balance of the Mortgage Loans as of the prior Distribution Date, prior
to giving effect to distributions to be made on such Distribution Date. As used
herein, as long as any Class A Certificates are outstanding, the Certificate
Principal Balance of the most senior class of certificates will equal the
aggregate Certificate Principal Balance of all Class A Certificates outstanding
as of such date of calculation.

     Requirements: Any rules or regulations promulgated pursuant to the
Sarbanes-Oxley Act of 2002 (as such may be amended from time to time).

     Reserve Interest Rate: With respect to any Interest Determination Date, the
rate per annum that the Trustee determines to be (1) the arithmetic mean
(rounded upwards if necessary to the nearest whole multiple of 0.03125%) of the
one-month United States dollar lending rates which New York City banks selected
by the Trustee are quoting on the relevant Interest Determination Date to the
principal London offices of leading banks in the London interbank market or (2)
in the event that the Trustee can determine no such arithmetic mean, the lowest
one-month United States dollar lending rate which New York City banks selected
by the Trustee are quoting on such Interest Determination Date to leading
European banks.

     Residual Interest: An interest in the Upper Tier REMIC that is entitled to
all distributions of principal and interest on the Class R Certificate other
than distributions in respect of the Class SWR Interest and Class LTR Interest
and distributions on the Class R Certificate in respect of Excess Interest.

     Responsible Officer: When used with respect to the Trustee or the Servicer,
any officer of the Trustee or the Servicer with direct responsibility for the
administration of this Agreement and any other officer to whom, with respect to
a particular matter, such matter is referred because of such officer's knowledge
of and familiarity with the particular subject.

     Reuters Screen LIBO Page: The display designated as page "LIBO" on the
Reuters Monitor Money Rates Service (or such other page as may replace such LIBO
page on that service for the purpose of displaying London interbank offered
rates of major banks.

                                      -64-

<PAGE>

     S&P: Standard & Poor's, a division of The McGraw-Hill Companies, Inc., or
any successor in interest.

     Sarbanes-Oxley Certification: Has the meaning set forth in Section 3.20.

     Scheduled Payment: The scheduled monthly payment on a Mortgage Loan due on
any Due Date allocable to principal and/or interest on such Mortgage Loan.

     Securities Act: The Securities Act of 1933, as amended.

     Servicer: Home Loan Services, Inc., or its successor in interest.

     Servicer Remittance Date: With respect to any Distribution Date, the later
of (x) the date that is two Business Days after the 15th day of the month in
which such Distribution Date occurs and (y) the 18th day (or if such day is not
a Business Day, the immediately succeeding Business Day) of the month in which
such Distribution Date occurs.

     Servicing Advances: All customary, reasonable and necessary "out of pocket"
costs and expenses incurred in the performance by the Servicer of its servicing
obligations hereunder, including, but not limited to, the cost of (1) the
preservation, inspection, restoration and protection of a Mortgaged Property,
including without limitation advances in respect of prior liens, real estate
taxes and assessments, (2) any collection, enforcement or judicial proceedings,
including without limitation foreclosures, collections and liquidations, (3) the
conservation, management, sale and liquidation of any REO Property, (4)
executing and recording instruments of satisfaction, deeds of reconveyance,
substitutions of trustees on deeds of trust or Assignments of Mortgage to the
extent not otherwise recovered from the related Mortgagors or payable under this
Agreement, (5) correcting errors of prior servicers; costs and expenses charged
to the Servicer by the Trustee; tax tracking; title research; flood
certifications; and lender paid mortgage insurance, (6) obtaining or correcting
any legal documentation required to be included in the Mortgage Files and
reasonably necessary for the Servicer to perform its obligations under this
Agreement and (7) compliance with the obligations under Sections 3.01 and 3.10.

     Servicing Criteria: The "servicing criteria" set forth in Item 1122(d) of
Regulation AB, as such may be amended from time to time.

     Servicing Fee: As to each Mortgage Loan and any Distribution Date, an
amount equal to the product of (x) the Servicing Fee Rate and (y) the Stated
Principal Balance of such Mortgage Loan as of the preceding Distribution Date
or, in the event of any payment of interest that accompanies a Principal
Prepayment in full made by the Mortgagor, interest at the Servicing Fee Rate on
the Stated Principal Balance of such Mortgage Loan as of the preceding
Distribution Date for the period covered by such payment of interest.

     Servicing Fee Rate: 0.50% per annum for each Mortgage Loan.

     Servicing Officer: Any officer of the Servicer involved in, or responsible
for, the administration and servicing of the Mortgage Loans whose name and
facsimile signature appear on a list of servicing officers furnished to the
Trustee by the Servicer on the Closing Date pursuant to this Agreement, as such
lists may from time to time be amended.

                                      -65-

<PAGE>

     Servicing Rights Pledgee: One or more lenders, selected by the Servicer, to
which the Servicer may pledge and assign all of its right, title and interest
in, to and under this Agreement.

     Servicing Transfer Costs: In the event that the Servicer does not reimburse
the Trustee under this Agreement, all costs associated with the transfer of
servicing from the predecessor Servicer, including, without limitation, any
costs or expenses associated with the termination of the predecessor Servicer,
the appointment of a successor servicer, the complete transfer of all servicing
data and the completion, correction or manipulation of such servicing data as
may be required by the Trustee or any successor servicer to correct any errors
or insufficiencies in the servicing data or otherwise to enable the Trustee or
successor servicer to service the Mortgage Loans properly and effectively.

     SFAS 140: Statement of Financial Accounting Standard No. 140, Accounting
for Transfers and Servicing of Financial Assets and Extinguishments of
Liabilities dated September 2000, published by the Financial Accounting
Standards Board of the Financial Accounting Foundation.

     Significance Estimate: With respect to any Distribution Date, and in
accordance with Item 1115 of Regulation AB, shall be an amount determined based
on the reasonable good-faith estimate by the Depositor or its Affiliate (and
reported to the Trustee) of the aggregate maximum probable exposure of the
outstanding Certificates to the Swap Agreement and the Corridor Contracts, as
applicable.

     Significance Percentage: With respect to any Distribution Date, and in
accordance with Item 1115 of Regulation AB, shall be a percentage equal to the
Significance Estimate divided by the aggregate outstanding Stated Principal
Balance of the Mortgage Loans, prior to the distribution of the Principal
Distribution Amount on such Distribution Date.

     Sponsor: First Franklin Financial Corporation, a Delaware corporation, or
its successor in interest.

     Startup Day: As defined in Section 2.07 hereof.

     Stated Principal Balance: With respect to any Mortgage Loan or related REO
Property (1) as of the Cut-off Date, the Cut-off Date Principal Balance thereof,
and (2) as of any Distribution Date, such Cut-off Date Principal Balance, minus
the sum of (A) the principal portion of the Scheduled Payments (x) due with
respect to such Mortgage Loan during each Due Period ending prior to such
Distribution Date and (y) that were received by the Servicer as of the close of
business on the Determination Date related to such Distribution Date or with
respect to which Advances were made on the Servicer Remittance Date prior to
such Distribution Date and (B) all Principal Prepayments with respect to such
Mortgage Loan received on or prior to (x) the last day of the related Prepayment
Period for Principal Prepayments in full and (y) the last day of the preceding
calendar month for Principal Prepayments in part, and all Liquidation Proceeds
to the extent applied by the Servicer as recoveries of principal in accordance
with Section 3.12 with respect to such Mortgage Loan, that were received by the
Servicer on or before the last day of the related Prepayment Period for
Liquidation Proceeds in full and the last day of the preceding calendar month
for Liquidation Proceeds in part. Notwithstanding the foregoing, the Stated
Principal Balance of a Liquidated Loan shall be deemed to be zero.

     Stepdown Date: The earlier to occur of: (A) the first Distribution Date on
which the aggregate Certificate Principal Balance of the Class A-1 Certificates
and Class A-2 Certificates has been reduced to zero; or (B) the later to occur
of (1) the Distribution Date in June 2010 or (2) the first Distribution Date on

                                      -66-

<PAGE>

which (A) the Class A Certificate Principal Balance (after giving effect to
distributions of the Principal Funds amount for such Distribution Date) is less
than or equal to (B) 59.80% of the aggregate Stated Principal Balance of the
Mortgage Loans.

     Stepdown Required Loss Percentage: For any Distribution Date, the
applicable percentage for such Distribution Date set forth in the following
table:

<TABLE>
<CAPTION>
DISTRIBUTION DATE OCCURRING IN   STEPDOWN REQUIRED LOSS PERCENTAGE
------------------------------   ---------------------------------
<S>                              <C>
June 2009 -- May 2010            1.25% with respect to June 2009, plus an
                                 additional 1/12th of 1.55% for each month
                                 thereafter

June 2010 -- May 2011            2.80% with respect to June 2010, plus an
                                 additional 1/12th of 1.55% for each month
                                 thereafter

June 2011 -- May 2012            4.35% with respect to June 2011, plus an
                                 additional 1/12th of 1.30% for each month
                                 thereafter

June 2012 -- May 2013            5.65% with respect to June 2012, plus an
                                 additional 1/12th of 0.65% for each month
                                 thereafter

June 2013 -- May 2014            6.30% with respect to June 2013, plus an
                                 additional 1/12th of 0.05% for each month
                                 thereafter

June 2014 and therafter          6.35%
</TABLE>

     Stepdown Trigger Event: With respect to the Certificates on or after the
Stepdown Date, a Distribution Date on which (1) the quotient, measured on a
rolling three month basis, of (A) the aggregate Stated Principal Balance of all
Mortgage Loans that are 60 or more days Delinquent (including, for the purposes
of this calculation, Mortgage Loans in foreclosure and REO Properties and
Mortgage Loans with respect to which the applicable Mortgagor is in bankruptcy)
and (B) the aggregate Stated Principal Balance of the Mortgage Loans as of the
preceding Servicer Remittance Date, equals or exceeds the product of (i) 39.75%
and (ii) the Required Percentage or (2) the quotient (expressed as a percentage)
of (A) the aggregate Realized Losses incurred from the Cut-off Date through the
last day of the calendar month preceding such Distribution Date and (B) the
aggregate Stated Principal Balance of the Mortgage Loans as of the Cut-off Date
exceeds the Stepdown Required Loss Percentage. For purposes hereof, for any
Distribution Date, the calculation of "rolling three-month basis" requires
first, the calculation of the quotient described in (a) of this definition for
each of the three (3) Due Periods immediately prior to such Distribution Date,
second, the addition of such three (3) quotients and third, dividing the sum of
such three (3) quotients by three (3).

     Subcontractor: Any outsourcer that performs one or more discrete functions
identified in Item 1122(d) of Regulation AB with respect to 5% or more of the
Mortgage Loans under the direction or authority of a Servicer (measured by
aggregate Stated Principal Balance of the Mortgage Loans, annually at the
commencement of the calendar year prior to the year in which an Assessment of
Compliance is required to be delivered, multiplied by a fraction, the numerator
of which is the number of months during which such Subcontractor performs such
discrete functions and the denominator of which is 12, or, in the case of the
year in which the Closing Date occurs, the number of months elapsed in such
calendar year).

                                      -67-

<PAGE>

     Subordinate Certificates: The Class M and Class B Certificates.

     Subsequent Recovery: Any amount received on a Mortgage Loan (net of amounts
reimbursed to the Servicer related to Liquidated Mortgage Loans) subsequent to
such Mortgage Loan being determined to be a Liquidated Mortgage Loan.

     Sub-Servicer: Any Person that services Mortgage Loans on behalf of the
Servicer pursuant to a Subservicing Agreement and is responsible for the
performance of the material servicing functions required to be performed by the
Servicer under this Agreement that are identified in Item 1122(d) of Regulation
AB with respect to 10% or more of the Mortgage Loans under the direction or
authority of the Servicer (measured by aggregate Stated Principal Balance of the
Mortgage Loans, annually at the commencement of the calendar year prior to the
year in which an Assessment of Compliance is required to be delivered,
multiplied by a fraction, the numerator of which is the number of months during
which such Subservicer services the related Mortgage Loans and the denominator
of which is 12, or, in the case of the year in which the Closing Date occurs,
the number of months elapsed in such calendar year). Any subservicer shall meet
the qualifications set forth in Section 3.02.

     Subservicing Agreement: As defined in Section 3.02(a).

     Substitution Adjustment Amount: As defined in Section 2.03(c).

     Supplemental Interest Trust: The separate trust, established pursuant to
Section 4.04(l) of this Agreement and held by the Trustee for the benefit of the
holders of the Certificates as a segregated subtrust of the Trust Fund, (i) in
which the Swap Agreement will be held, certain distributions to
Certificateholders will be made and any Swap Termination Payments or Net Swap
Payments received from the Swap Counterparty will be deposited as set forth in
Section 4.04 hereof and (ii) out of which any Swap Termination Payments or Net
Swap Payments owed to the Swap Counterparty will be paid.

     Supplemental Interest Trust Trustee: LaSalle Bank National Association, a
national banking association, not in its individual capacity, but solely in its
capacity as trustee of the Supplemental Interest Trust for the benefit of the
Certificateholders under this Agreement, and any successor thereto, and any
corporation or national banking association resulting from or surviving any
consolidation or merger to which it or its successors may be a party and any
successor trustee as may from time to time be serving as successor trustee
hereunder.

     Swap Account: The separate Eligible Account created and maintained by the
Supplemental Interest Trust Trustee pursuant to Section 4.04(l) in the name of
the Supplemental Interest Trust Trustee for the benefit of the Supplemental
Interest Trust and designated "LaSalle Bank National Association, as trustee, in
trust for registered holders of Merrill Lynch First Franklin Mortgage Loan
Trust, Mortgage Loan Asset-Backed Certificates, Series 2007-3." Funds in the
Swap Account shall be held in trust for the Supplemental Interest Trust for the
uses and purposes set forth in this Agreement.

     Swap Agreement: The confirmation and agreement, including the schedule
thereto and the related credit support annex (attached as Exhibit Q-2 hereto),
between the Swap Counterparty and the trustee of the Supplemental Interest Trust
for the benefit of the Certificateholders (attached as Exhibit Q-1 hereto) or
any other swap agreement (including any related schedules) held by the
Supplemental Interest Trust pursuant to Section 4.04(l) hereof.

                                      -68-

<PAGE>

     Swap Counterparty: The Bank of New York, or any successor counterparty who
meets the requirements set forth in the Swap Agreement.

     Swap LIBOR: With respect to any Distribution Date (and the related Accrual
Period) the product of (i) the Floating Rate Option (as defined in the Swap
Agreement for the related Swap Payment Date), (ii) two and (iii) the quotient of
(a) the actual number of days in the Accrual Period for the Lower Tier REMIC
Interests divided by (b) 30.

     Swap Payment Date: For so long as the Swap Agreement is in effect or
amounts remain unpaid thereunder, the Business Day immediately preceding each
Distribution Date.

     Swap Posted Collateral Account: The segregated Eligible Account created and
maintained by the Supplemental Interest Trust Trustee pursuant to Section
4.04(l) in the name of the Supplemental Interest Trust Trustee for the benefit
of the Supplemental Interest Trust and designated "LaSalle Bank National
Association, as trustee, in trust for registered holders of Merrill Lynch First
Franklin Mortgage Loan Trust, Mortgage Loan Asset-Backed Certificates, Series
2007-3." Funds in the Swap Posted Collateral Account shall be held in trust for
the Supplemental Interest Trust for the uses and purposes set forth in the Swap
Agreement

     SWAP REMIC: As described in the Preliminary Statement and Section 2.07.

     SWAP REMIC Interests: Each of the interests in the SWAP REMIC as set forth
in the Preliminary Statement.

     SWAP REMIC Regular Interests: Each of the SWAP REMIC Interests other than
the Class SWR Interest.

     Swap Termination Payment: Any payment payable by the Supplemental Interest
Trust or the Swap Counterparty upon termination of the Swap Agreement pursuant
to the Swap Agreement.

     Tax Matters Person: The Person designated as "tax matters person" in the
manner provided under Treasury regulation Section 1.860F-4(d) and Treasury
regulation Section 301.6231(a)(7)-1.

     Transfer: Any direct or indirect transfer or sale of any Ownership Interest
in a Certificate.

     Trust Fund: The corpus of the Issuing Entity created hereunder consisting
of (i) the Mortgage Loans and all interest and principal received on or with
respect thereto on and after the Cut-off Date to the extent not applied in
computing the Cut-off Date Principal Balance thereof, exclusive of interest not
required to be deposited in the Collection Account; (ii) the Collection Account
and the Certificate Account and all amounts deposited therein pursuant to the
applicable provisions of this Agreement; (iii) property that secured a Mortgage
Loan and has been acquired by foreclosure, deed in lieu of foreclosure or
otherwise; (iv) the mortgagee's rights under the Insurance Policies with respect
to the Mortgage Loans and/or the related Mortgaged Properties; (v) all proceeds
of the conversion, voluntary or involuntary, of any of the foregoing into cash
or other liquid property; (vi) the Corridor Contracts and the Corridor Contract
Account; and (vii) the Supplemental Interest Trust, which in turn holds the Swap
Agreement.

     Trustee: LaSalle Bank National Association, a national banking association,
not in its individual capacity, but solely in its capacity as trustee for the
benefit of the Certificateholders under this Agreement, and any successor
thereto, and any corporation or national banking association resulting from

                                      -69-

<PAGE>

or surviving any consolidation or merger to which it or its successors may be a
party and any successor trustee as may from time to time be serving as successor
trustee hereunder; it being understood that certain duties of the Trustee under
Sections 2.01, 2.02 and 3.13 with respect to the possession and administration
of the Mortgage Files generally may be carried out by a custodian engaged by the
Trustee.

     Uncertificated Class C Interest: An uncertificated REMIC Regular Interest
having the characteristics described in the Preliminary Statement.

     Unpaid Realized Loss Amount: The Class M-1 Unpaid Realized Loss Amount,
Class M-2 Unpaid Realized Loss Amount, Class M-3 Unpaid Realized Loss Amount,
Class M-4 Unpaid Realized Loss Amount, Class M-5 Unpaid Realized Loss Amount,
Class M-6 Unpaid Realized Loss Amount, Class B-1 Unpaid Realized Loss Amount,
Class B-2 Unpaid Realized Loss Amount, Class B-3 Unpaid Realized Loss Amount and
Class C Unpaid Realized Loss Amount, collectively.

     Upper Tier REMIC: As described in the Preliminary Statement and Section
2.07.

     Upper Tier REMIC Net WAC Cap: In the case of the Class UTA-1A, Class
UTA-1B, Class UTA-1C, Class UTA-1D, Class UTM-1-1, Class UTM-2-1, Class UTM-3-1
and Class UTM-4-1 Interests and the Residual Interest, a per annum rate equal to
the weighted average of the interest rate of the Class LTII1B Interest for such
Distribution Date. In the case of the Class UTA-2A, Class UTA-2B, Class UTA-2C,
Class UTA-2D, Class UTM-1-2, Class UTM-2-2, Class UTM-3-2 and Class UTM-4-2
Interests, a per annum rate equal to the weighted average of the interest rate
for the Class LTII2B for such Distribution Date. In the case of the Class UTM-5,
Class UTM-6, Class UTB-1, Class UTB-2 and Class UTB-3 Interests, a per annum
rate equal to the weighted average of the interest rates of Class LTII1B and
Class LTII2B Interests for such Distribution Date weighted, respectively, on the
basis of the uncertificated principal balances of the Class LTII1A and the Class
LTII2A Interests.

     Voting Rights: The portion of the voting rights of all the Certificates
that is allocated to any of the Certificates for purposes of the voting
provisions hereunder. Voting Rights allocated to each Class of Certificates
shall be allocated as follows: (1) 98% to the Class A, Class M and Class B
Certificates, with the allocation among such Certificates to be in proportion to
the Certificate Principal Balance of each Class relative to the Certificate
Principal Balance of all other Classes and (2) each Class of the Class C and
Class P will be allocated 1% of the Voting Rights. Voting Rights will be
allocated among the Certificates of each such Class in accordance with their
respective Percentage Interests.

     Weighted Average Available Funds Cap: With respect to a Distribution Date,
the per annum rate equal to the weighted average (weighted in proportion to the
results of subtracting from the aggregate Stated Principal Balance of each
Mortgage Group, the current aggregate Certificate Principal Balance of
Certificate Group One, in the case of Group One, or Certificate Group Two, in
the case of Group Two) of the Group One Available Funds Cap and the Group Two
Available Funds Cap.

     Weighted Average Maximum Rate Cap: With respect to a Distribution Date, the
per annum rate equal to the weighted average (weighted in proportion to the
results of subtracting from the aggregate Stated Principal Balance of each
Mortgage Group, the current aggregate Certificate Principal Balance of
Certificate Group One, in the case of Group One, or Certificate Group Two, in
the case of Group Two) of the Group One Maximum Rate Cap and the Group Two
Maximum Rate Cap.

                                      -70-
<PAGE>

                                   ARTICLE II

                          CONVEYANCE OF MORTGAGE LOANS;
                         REPRESENTATIONS AND WARRANTIES

     SECTION 2.01. Conveyance of Mortgage Loans

     The Depositor, concurrently with the execution and delivery hereof, does
hereby sell, transfer, assign, set over and convey to the Trustee without
recourse all the right, title and interest of the Depositor in and to the assets
of the Trust Fund. Such assignment includes all interest and principal received
on or with respect to the Mortgage Loans on or after the Cut-off Date (other
than Scheduled Payments due on the Mortgage Loans on or before the Cut-off
Date).

     It is agreed and understood by the Depositor, the Servicer and the Trustee
that it is not intended that any Mortgage Loan be included in the Trust that is,
without limitation, either (i) a "High-Cost Home Loan" as defined in the New
Jersey Home Ownership Act effective November 27, 2003; (ii) a "High-Cost Home
Loan" as defined in the New Mexico Home Loan Protection Act effective January 1,
2004; (iii) a "High-Cost Home Mortgage Loan" as defined in the Massachusetts
Predatory Home Loan Practices Act effective November 7, 2004; (iv) a "High-Cost
Home Loan" as defined by the Indiana High Cost Home Loan Law effective January
1, 2005 or (v) a "High-Cost Home Loan" as defined by the Illinois High Risk Home
Loan Act effective January 1, 2004.

     In connection with such assignment, the Depositor does hereby deliver to,
and deposit with the Trustee the following documents or instruments with respect
to each Mortgage Loan:

          (A) The original Mortgage Note endorsed in blank or, "Pay to the order
     of LaSalle Bank National Association, as trustee for the Merrill Lynch
     First Franklin Mortgage Loan Trust, Mortgage Loan Asset-Backed
     Certificates, Series 2007-3, without recourse" together with all riders
     thereto. The Mortgage Note shall include all intervening endorsements
     showing a complete chain of the title from the originator of the Mortgage
     Loan to [____________________].

          (B) Except as provided below and for each Mortgage Loan that is not a
     MERS Loan, the original recorded Mortgage together with all riders thereto,
     with evidence of recording thereon, or, if the original Mortgage has not
     yet been returned from the recording office, a copy of the original
     Mortgage together with all riders thereto certified to be a true copy of
     the original of the Mortgage that has been delivered for recording in the
     appropriate recording office of the jurisdiction in which the Mortgaged
     Property is located and in the case of each MERS Loan, the original
     Mortgage together with all riders thereto, noting the presence of the MIN
     of the Loan and either language indicating that the Mortgage Loan is a MOM
     Loan or if the Mortgage Loan was not a MOM Loan at origination, the
     original Mortgage and the assignment thereof to MERS, with evidence of
     recording indicated thereon, or a copy of the Mortgage certified by the
     public recording office in which such Mortgage has been recorded.

          (C) In the case of each Mortgage Loan that is not a MERS Loan, the
     original Assignment of each Mortgage in blank or, to "LaSalle Bank National
     Association, as trustee for the Merrill Lynch First Franklin Mortgage Loan
     Trust, Mortgage Loan Asset-Backed Certificates, Series 2007-3."

                                      -71-

<PAGE>

          (D) The original policy of title insurance (or a preliminary title
     report, commitment or binder if the original title insurance policy has not
     been received from the title insurance company).

          (E) Originals of any intervening assignments of the Mortgage, with
     evidence of recording thereon or, if the original intervening assignment
     has not yet been returned from the recording office, a copy of such
     assignment certified to be a true copy of the original of the assignment
     which has been sent for recording in the appropriate jurisdiction in which
     the Mortgaged Property is located.

          (F) Originals of all assumption and modification agreements, if any.

          (G) If in connection with any Mortgage Loan, the Depositor cannot
     deliver the Mortgage, Assignments of Mortgage or assumption, consolidation
     or modification, as the case may be, with evidence of recording thereon, if
     applicable, concurrently with the execution and delivery of this Agreement
     solely because of a delay caused by the public recording office where such
     Mortgage, Assignments of Mortgage or assumption, consolidation or
     modification, as the case may be, has been delivered for recordation, the
     Depositor shall deliver or cause to be delivered to the Trustee written
     notice stating that such Mortgage or assumption, consolidation or
     modification, as the case may be, has been delivered to the appropriate
     public recording office for recordation. Thereafter, the Depositor shall
     deliver or cause to be delivered to the Trustee such Mortgage, Assignments
     of Mortgage or assumption, consolidation or modification, as the case may
     be, with evidence of recording indicated thereon, if applicable, upon
     receipt thereof from the public recording office. To the extent any
     required endorsement is not contained on a Mortgage Note or an Assignment
     of Mortgage, the Depositor shall make or cause to be made such endorsement.

          (H) With respect to any Mortgage Loan, none of the Depositor, the
     Servicer or the Trustee shall be obligated to cause to be recorded the
     Assignment of Mortgage referred to in this Section 2.01. In the event an
     Assignment of Mortgage is not recorded, the Servicer shall have no
     liability for its failure to receive and act on notices related to such
     Assignment of Mortgage.

     The ownership of each Mortgage Note, the Mortgage and the contents of the
related Mortgage File is vested in the Trustee on behalf of the
Certificateholders. Neither the Depositor nor the Servicer shall take any action
inconsistent with such ownership and shall not claim any ownership interest
therein. The Depositor and the Servicer shall respond to any third party
inquiries with respect to ownership of the Mortgage Loans by stating that such
ownership is held by the Trustee on behalf of the Certificateholders. Mortgage
documents relating to the Mortgage Loans not delivered to the Trustee are and
shall be held in trust by the Servicer, for the benefit of the Trustee as the
owner thereof, and the Servicer's possession of the contents of each Mortgage
File so retained is for the sole purpose of servicing the related Mortgage Loan,
and such retention and possession by the Servicer, is in a custodial capacity
only. The Depositor agrees to take no action inconsistent with the Trustee's
ownership of the Mortgage Loans, to promptly indicate to all inquiring parties
that the Mortgage Loans have been sold and to claim no ownership interest in the
Mortgage Loans.

     It is the intention of this Agreement that the conveyance of the
Depositor's right, title and interest in and to the Trust Fund pursuant to this
Agreement shall constitute a purchase and sale and not a loan. If the conveyance
of Mortgage Loans from the Sponsor to the Depositor is characterized as a pledge
and not

                                      -72-

<PAGE>

a sale, then the Depositor shall be deemed to have transferred to the Trustee
all of the Depositor's right, title and interest in, to and under the
obligations of the Sponsor deemed to be secured by said pledge; and it is the
intention of this Agreement that the Depositor shall also be deemed to have
granted to the Trustee a first priority security interest in all of the
Depositor's right, title, and interest in, to and under the obligations of the
Sponsor to the Depositor deemed to be secured by said pledge and that the
Trustee shall be deemed to be an independent custodian for purposes of
perfection of the security interest granted to the Depositor. If the conveyance
of the Mortgage Loans from the Depositor to the Trustee is characterized as a
pledge, it is the intention of this Agreement that this Agreement shall
constitute a security agreement under applicable law, and that the Depositor
shall be deemed to have granted to the Trustee a first priority security
interest in all of the Depositor's right, title and interest in, to and under
the Mortgage Loans, all payments of principal of or interest on such Mortgage
Loans, all other rights relating to and payments made in respect of the Trust
Fund, and all proceeds of any thereof. If the trust created by this Agreement
terminates prior to the satisfaction of the claims of any Person in any
Certificates, the security interest created hereby shall continue in full force
and effect and the Trustee shall be deemed to be the collateral agent for the
benefit of such Person.

     In addition to the conveyance made in the first paragraph of this Section
2.01, the Depositor does hereby convey, assign and set over to the Trustee for
the benefit of the Certificateholders its rights and interests under the
Purchase Agreement, including the Depositor's right, title and interest in the
representations and warranties contained in the Purchase Agreement and the
benefit of the repurchase obligations and the obligation of the Sponsor
contained in the Purchase Agreement to take, at the request of the Depositor or
the Trustee, all action on its part which is reasonably necessary to ensure the
enforceability of a Mortgage Loan. The Trustee hereby accepts such assignment,
and shall be entitled to exercise all rights of the Depositor under the Purchase
Agreement, as if, for such purpose, it were the Depositor. The foregoing sale,
transfer, assignment, set-over, deposit and conveyance does not and is not
intended to result in creation or assumption by the Trustee of any obligation of
the Depositor, the Sponsor, or any other Person in connection with the Mortgage
Loans or any other agreement or instrument relating thereto.

     SECTION 2.02. Acceptance by the Trustee of the Mortgage Loans

     Except as set forth in the exception report delivered contemporaneously
herewith (the "Exception Report"), the Trustee acknowledges receipt of the
Mortgage Note for each Mortgage Loan and delivery of a Mortgage File (but does
not acknowledge receipt of all documents required to be included in such
Mortgage File) with respect to each Mortgage Loan and declares that it holds and
will hold such documents and any other documents constituting a part of the
Mortgage Files delivered to it in trust for the use and benefit of all present
and future Certificateholders. The Depositor will cause the Sponsor to
repurchase any Mortgage Loan to which a material exception was taken in the
Exception Report unless such exception is cured to the satisfaction of the
Depositor and the Trustee within 45 Business Days of the Closing Date.

     The Trustee acknowledges receipt of the three Corridor Contracts (forms of
which are attached hereto as Exhibits M-1, M-2 and M-3) and the Purchase
Agreement.

     The Trustee acknowledges receipt of the Swap Agreement that will be held in
the Supplemental Interest Trust and is hereby instructed to enter into the Swap
Agreement, not in its individual capacity, but solely as Supplemental Interest
Trust Trustee.

                                      -73-

<PAGE>

     The Trustee agrees, for the benefit of Certificateholders and the NIMs
Insurer to review each Mortgage File delivered to it within sixty (60) days
after the Closing Date. The Trustee will ascertain and to certify, within
seventy (70) days of the Closing Date, to the NIMs Insurers, the Depositor and
the Servicer that all documents required by Section 2.01 (A)-(B), (C) (if
applicable), and (D)-(E), and the documents if actually received by it, under
Section 2.01(F), have been executed and received, and that such documents relate
to the Mortgage Loans identified in Exhibit B that have been conveyed to it. It
is herein acknowledged that, in conducting such review, the Trustee shall not be
under any duty or obligation to inspect, review or examine any such documents,
instruments, certificates or other papers to determine that they are genuine,
enforceable or appropriate for the represented purpose, that they have actually
been recorded or that they are other than what they purport to be on their face.
If the Trustee finds any document or documents constituting a part of a Mortgage
File to be missing or defective (that is, mutilated, damaged, defaced or
unexecuted) in any material respect, the Trustee shall promptly (and in any
event within no more than five Business Days) after such finding so notify the
NIMs Insurer, the Servicer, the Sponsor and the Depositor. In addition, the
Trustee shall also notify the NIMs Insurer, the Servicer, the Sponsor and the
Depositor if the original Mortgage with evidence of recording thereon with
respect to a Mortgage Loan is not received within seventy (70) days of the
Closing Date; if it has not been received because of a delay caused by the
public recording office where such Mortgage has been delivered for recordation,
the Depositor shall deliver or cause to be delivered to the Trustee written
notice stating that such Mortgage has been delivered to the appropriate public
recording office for recordation and thereafter the Depositor shall deliver or
cause to be delivered such Mortgage with evidence of recording thereon upon
receipt thereof from the public recording office. The Trustee shall request that
the Sponsor correct or cure such omission, defect or other irregularity, or
substitute a Mortgage Loan pursuant to the provisions of Section 2.03(c), within
ninety (90) days from the date the Sponsor was notified of such omission or
defect and, if the Sponsor does not correct or cure such omission or defect
within such period, that the Sponsor purchase such Mortgage Loan from the
Issuing Entity within ninety (90) days from the date the Trustee notified the
Sponsor of such omission, defect or other irregularity at the Purchase Price of
such Mortgage Loan.

     The Purchase Price for any Mortgage Loan purchased pursuant to this Section
2.02 shall be paid to the Servicer and deposited by the Servicer in the
Certificate Account or Collection Account, as appropriate, promptly upon
receipt, and upon receipt by the Trustee of written notification of such deposit
signed by a Servicing Officer or receipt of such deposit by the Trustee, the
Trustee, upon receipt of a Request for Release and certification of the Servicer
of such required deposit, shall promptly release to the Sponsor the related
Mortgage File and the Trustee shall execute and deliver such instruments of
transfer or assignment, without recourse, as shall be requested by the Sponsor
and necessary to vest in the Sponsor or its designee, as the case may be, any
Mortgage Loan released pursuant hereto, and the Trustee shall have no further
responsibility with regard to such Mortgage Loan. It is understood and agreed
that the obligation of the Sponsor to purchase, cure or substitute any Mortgage
Loan as to which a material defect in or omission of a constituent document
exists shall constitute the sole remedy respecting such defect or omission
available to the Trustee on behalf of Certificateholders and the NIMs Insurer.
The preceding sentence shall not, however, limit any remedies available to
Certificateholders, the NIMs Insurer, the Depositor or the Trustee pursuant to
the Purchase Agreement.

     The Trustee shall be under no duty or obligation to inspect, review and
examine such documents, instruments, certificates or other papers to determine
that they are genuine, enforceable, recordable, duly authorized, sufficient,
legal, valid or appropriate to the represented purpose, or that they have
actually been recorded, or that they are other than what they purport to be on
their face. The Trustee shall keep confidential the name of each Mortgagor
except as required for the performance of this Agreement and

                                      -74-

<PAGE>

the Trustee shall not solicit any such Mortgagor for the purpose of refinancing
the related Mortgage Loan; notwithstanding anything herein to the contrary, the
foregoing shall not be construed to prohibit (i) disclosure of any and all
information that is or becomes publicly known, or information obtained by the
Trustee from sources other than the other parties hereto, (ii) disclosure of any
and all information (A) if required to do so by any applicable law, rule or
regulation, (B) to any government agency or regulatory body having or claiming
authority to regulate or oversee any aspects of the business of the Trustee or
that of any Affiliate, (C) pursuant to any subpoena, civil investigation demand
or similar demand or request of any court, regulatory authority, arbitrator or
arbitration to which the Trustee or any Affiliate or an officer, director,
employer or shareholder thereof is a party or (D) to any Affiliate, independent
or internal auditor, agent, employee or attorney of the Trustee having a need to
know the same, provided that the Trustee advises such recipient of the
confidential nature of the information being disclosed, or (iii) any other
disclosure authorized by the Depositor.

     Within seventy (70) days of the Closing Date, the Trustee shall deliver to
the NIMs Insurer, the Depositor and the Servicer the Trustee's Certification,
substantially in the form of Exhibit D attached hereto, evidencing the
completeness of the Mortgage Files, with any exceptions noted thereto.

     SECTION 2.03. Representations, Warranties and Covenants of the Depositor

          (a) The Depositor hereby represents and warrants to the NIMs Insurer,
the Servicer and the Trustee as follows, as of the date hereof:

          (i) The Depositor is duly organized and is validly existing as a
     corporation in good standing under the laws of the State of Delaware and
     has full power and authority (corporate and other) necessary to own or hold
     its properties and to conduct its business as now conducted by it and to
     enter into and perform its obligations under this Agreement and the
     Purchase Agreement.

          (ii) The Depositor has the full corporate power and authority to
     execute, deliver and perform, and to enter into and consummate the
     transactions contemplated by, this Agreement and the Purchase Agreement and
     has duly authorized, by all necessary corporate action on its part, the
     execution, delivery and performance of this Agreement and the Purchase
     Agreement; and this Agreement and the Purchase Agreement, assuming the due
     authorization, execution and delivery hereof by the other parties hereto,
     constitutes a legal, valid and binding obligation of the Depositor,
     enforceable against the Depositor in accordance with its terms, subject, as
     to enforceability, to (i) bankruptcy, insolvency, reorganization,
     moratorium and other similar laws affecting creditors' rights generally and
     (ii) general principles of equity, regardless of whether enforcement is
     sought in a proceeding in equity or at law.

          (iii) The execution and delivery of this Agreement and the Purchase
     Agreement by the Depositor, the consummation of the transactions
     contemplated by this Agreement and the Purchase Agreement, and the
     fulfillment of or compliance with the terms hereof are in the ordinary
     course of business of the Depositor and will not (A) result in a material
     breach of any term or provision of the charter or by-laws of the Depositor
     or (B) materially conflict with, result in a violation or acceleration of,
     or result in a material default under, the terms of any other material
     agreement or instrument to which the Depositor is a party or by which it
     may be bound or (C) constitute a material violation of any statute, order
     or regulation applicable to the Depositor of any court, regulatory body,
     administrative agency or governmental body having jurisdiction over the
     Depositor; and the Depositor is not in breach or violation of any material
     indenture or

                                      -75-

<PAGE>

     other material agreement or instrument, or in violation of any statute,
     order or regulation of any court, regulatory body, administrative agency or
     governmental body having jurisdiction over it which breach or violation may
     materially impair the Depositor's ability to perform or meet any of its
     obligations under this Agreement.

          (iv) No litigation is pending, or, to the best of the Depositor's
     knowledge, threatened, against the Depositor that would materially and
     adversely affect the execution, delivery or enforceability of this
     Agreement and the Purchase Agreement or the ability of the Depositor to
     perform its obligations under this Agreement and the Purchase Agreement in
     accordance with the terms hereof.

          (v) No consent, approval, authorization or order of any court or
     governmental agency or body is required for the execution, delivery and
     performance by the Depositor of, or compliance by the Depositor with, this
     Agreement and the Purchase Agreement or the consummation of the
     transactions contemplated hereby, or if any such consent, approval,
     authorization or order is required, the Depositor has obtained the same.
     The Depositor hereby represents and warrants to the Trustee with respect to
     each Mortgage Loan as of the Closing Date, and following the transfer of
     the Mortgage Loans to it by the Sponsor, the Depositor had good title to
     the Mortgage Loans and the Mortgage Notes were subject to no offsets,
     claims, liens, mortgage, pledge, charge, security interest, defenses or
     counterclaims.

          (b) The representations and warranties of the Sponsor with respect to
the Mortgage Loans in the Purchase Agreement, which have been assigned to the
Trustee hereunder, were made as of the Closing Date as specified in the Purchase
Agreement. The Trustee acknowledges that the Depositor shall have no obligation
or liability with respect to any breach of any representation or warranty with
respect to the Mortgage Loans (except as set forth in Section 2.03(a)(v)) under
any circumstances.

          (c) Upon discovery by any of the NIMs Insurer, the Depositor, the
Servicer, the Sponsor or the Trustee (or its custodian) of a breach of any of
such representations and warranties that adversely and materially affects the
value of the related Mortgage Loan, Prepayment Charges or the interests of the
Certificateholders, the party discovering such breach shall give prompt written
notice to the other parties. Within ninety (90) days of the discovery of such
breach of any representation or warranty, the Depositor shall cause the Sponsor
to either (a) cure such breach in all material respects, (b) repurchase such
Mortgage Loan or any property acquired in respect thereof from the Trustee at
the Purchase Price or (c) within the two year period following the Closing Date,
substitute a Replacement Mortgage Loan for the affected Mortgage Loan. If a
breach of the representations and warranties set forth in the Purchase Agreement
exists solely due to the unenforceability of a Prepayment Charge, the Trustee or
the other party having notice thereof shall notify the Servicer thereof and not
seek to enforce the repurchase remedy provided for herein unless such Mortgage
Loan is not current. In the event that such breach relates solely to the
unenforceability of a Prepayment Charge, amounts received in respect of such
indemnity up to the amount of such Prepayment Charge shall be distributed
pursuant to Section 4.04(b)(i). As provided in the Purchase Agreement, if the
Sponsor substitutes for a Mortgage Loan for which there is a breach of any
representation or warranty in the Purchase Agreement, which adversely and
materially affects the value of such Mortgage Loan and such substitute mortgage
loan is not a Replacement Mortgage Loan, under the terms of the Purchase
Agreement, the Sponsor will, in exchange for such substitute Mortgage Loan, (i)
provide the applicable Purchase Price for the affected Mortgage Loan or (ii)
within two years of the Closing Date, substitute such affected Mortgage Loan
with a Replacement Mortgage Loan. Any such substitution shall not be effected
prior to the additional delivery

                                      -76-

<PAGE>

to the Trustee of a Request for Release substantially in the form of Exhibit I
and shall not be effected unless it is within two years of the Startup Day.

     With respect to any Mortgage Loan repurchased by the Sponsor pursuant to
the Purchase Agreement, the principal portion of the funds received by the
Servicer in respect of such repurchase of a Mortgage Loan will be considered a
Principal Prepayment and shall be deposited in the Certificate Account pursuant
to Section 3.05. Upon receipt by the Trustee of notice from the Servicer of
receipt by the Servicer of the full amount of the Purchase Price for a Deleted
Mortgage Loan, and upon receipt by the Trustee of the Mortgage File for a
Replacement Mortgage Loan substituted for a Deleted Mortgage Loan and a Request
for Release, the Trustee shall release and reassign to the Sponsor the related
Mortgage File for the Deleted Mortgage Loan and shall execute and deliver such
instruments of transfer or assignment, in each case without recourse,
representation or warranty, as shall be necessary to vest in such party or its
designee or assignee title to any Deleted Mortgage Loan released pursuant
hereto, free and clear of all security interests, liens and other encumbrances
created by this Agreement, which instruments shall be prepared by the Depositor
or the Sponsor, and the Trustee (and its custodian) shall have no further
responsibility with respect to the Mortgage File relating to such Deleted
Mortgage Loan.

     With respect to each Replacement Mortgage Loan to be delivered to the
Trustee pursuant to the terms of this Article II in exchange for a Deleted
Mortgage Loan: (i) the Sponsor must deliver to the Trustee the Mortgage File for
the Replacement Mortgage Loan containing the documents set forth in Section 2.01
along with a written certification certifying as to the Mortgage Loan satisfying
all requirements under the definition of Replacement Mortgage Loan and the
delivery of such Mortgage File and containing the granting language set forth in
Section 2.01; and (ii) the Depositor will be deemed to have made, with respect
to such Replacement Mortgage Loan, each of the representations and warranties
made by it with respect to the related Deleted Mortgage Loan. The Trustee shall
review the Mortgage File with respect to each Replacement Mortgage Loan and
certify to the Depositor that all documents required by Section 2.01(A)-(B), (C)
(if applicable), and (D)-(E) have been executed and received.

     For any month in which the Sponsor substitutes one or more Replacement
Mortgage Loans for one or more Deleted Mortgage Loans, the Sponsor will
determine the amount (if any) by which the aggregate principal balance of all
such Replacement Mortgage Loans as of the date of substitution and the aggregate
Prepayment Charges with respect to such Replacement Mortgage Loans is less than
the aggregate Stated Principal Balance (after application of the principal
portion of the Scheduled Payment due in the month of substitution) and aggregate
Prepayment Charges of all such Deleted Mortgage Loans. An amount equal to the
aggregate of the deficiencies described in the preceding sentence (such amount,
the "Substitution Adjustment Amount") plus an amount equal to any unreimbursed
costs, penalties and/or damages incurred by the Trust Fund in connection with
any violation relating to such Deleted Mortgage Loan of any predatory or abusive
lending law shall be remitted by the Sponsor to the Trustee for deposit into the
Certificate Account by the Sponsor on the Determination Date for the
Distribution Date relating to the Prepayment Period during which the related
Mortgage Loan became required to be purchased or replaced hereunder.

     Notwithstanding any other provision of this Agreement, the right to
substitute Mortgage Loans pursuant to this Article II shall be subject to the
additional limitations that no substitution of a Replacement Mortgage Loan for a
Deleted Mortgage Loan shall be made unless the Trustee shall have received an
Opinion of Counsel (at the expense of the party seeking to make the
substitution) that, under current law, such substitution will not (A) affect
adversely the status of any REMIC established hereunder as a REMIC, or of the
related "regular interests" as "regular interests" in any such REMIC, or (B)
cause

                                      -77-

<PAGE>

any such REMIC to engage in a "prohibited transaction" or prohibited
contribution pursuant to the REMIC Provisions.

     The Depositor shall amend the Mortgage Loan Schedule to reflect the removal
of such Deleted Mortgage Loan from the terms of this Agreement and the
substitution of the Replacement Mortgage Loan or Replacement Mortgage Loans.
Upon such substitution by the Sponsor, such Replacement Mortgage Loan or
Replacement Mortgage Loans shall constitute part of the Mortgage Pool and shall
be subject in all respects to the terms of this Agreement and the Purchase
Agreement, including all applicable representations and warranties thereof
included in the Purchase Agreement as of the date of substitution.

          (d) It is understood and agreed that the representations, warranties
and indemnification (i) set forth in this Section 2.03 and (ii) of the Sponsor
set forth in the Purchase Agreement and assigned to the Trustee by the Depositor
hereunder shall each survive delivery of the Mortgage Files and the Assignment
of Mortgage of each Mortgage Loan to the Trustee and shall continue throughout
the term of this Agreement.

          (e) The Depositor shall deliver a copy of the Mortgage Loan Schedule
to the Servicer on the Closing Date.

          (f) The Depositor shall notify the Servicer and the Trustee when any
NIM Notes are issued with the contact information of the issuer thereof and when
such NIM Notes are no longer outstanding and if such NIM Notes are insured by a
NIMs Insurer, the contact information with respect to such NIMs Insurer.

     SECTION 2.04. Representations and Warranties of the Servicer

          (a) The Servicer hereby represents and warrants to the Depositor and
the Trustee as follows, as of the date hereof:

          (i) The Servicer is duly organized and is validly existing as a
     corporation in good standing under the laws of the State of Delaware and is
     duly authorized and qualified to transact any and all business contemplated
     by this Agreement to be conducted by the Servicer in any state in which a
     Mortgaged Property is located or is otherwise not required under applicable
     law to effect such qualification and, in any event, is in compliance with
     the doing business laws of any such state, to the extent necessary to
     ensure its ability to enforce each Mortgage Loan, to service the Mortgage
     Loans in accordance with the terms of this Agreement and to perform any of
     its other obligations under this Agreement in accordance with the terms
     hereof.

          (ii) The Servicer has the corporate power and authority and to service
     each Mortgage Loan, and to execute, deliver and perform, and to enter into
     and consummate the transactions contemplated by this Agreement and has duly
     authorized by all necessary corporate action on the part of the Servicer
     the execution, delivery and performance of this Agreement; and this
     Agreement, assuming the due authorization, execution and delivery hereof by
     the other parties hereto, constitutes a legal, valid and binding obligation
     of the Servicer, enforceable against the Servicer in accordance with its
     terms, except that (a) the enforceability hereof may be limited by
     bankruptcy, insolvency, moratorium, receivership and other similar laws
     relating to creditors' rights generally and (b) the remedy of specific
     performance and injunctive and other forms of

                                      -78-

<PAGE>

     equitable relief may be subject to equitable defenses and to the discretion
     of the court before which any proceeding therefor may be brought.

          (iii) The execution and delivery of this Agreement by the Servicer,
     the servicing of the Mortgage Loans under this Agreement, the consummation
     of any other of the transactions contemplated by this Agreement, and the
     fulfillment of or compliance with the terms hereof are in the ordinary
     course of business of the Servicer and will not (A) result in a material
     breach of any term or provision of the charter or by-laws of the Servicer
     or (B) materially conflict with, result in a material breach, violation or
     acceleration of, or result in a material default under, the terms of any
     other material agreement or instrument to which the Servicer is a party or
     by which it may be bound, or (C) constitute a material violation of any
     statute, order or regulation applicable to the Servicer of any court,
     regulatory body, administrative agency or governmental body having
     jurisdiction over the Servicer; and the Servicer is not in breach or
     violation of any material indenture or other material agreement or
     instrument, or in violation of any statute, order or regulation of any
     court, regulatory body, administrative agency or governmental body having
     jurisdiction over it which breach or violation may materially impair the
     Servicer's ability to perform or meet any of its obligations under this
     Agreement.

          (iv) The Servicer is an approved servicer of mortgage loans for Fannie
     Mae.

          (v) No litigation is pending or, to the best of the Servicer's
     knowledge, threatened, against the Servicer that would materially and
     adversely affect the execution, delivery or enforceability of this
     Agreement or the ability of the Servicer to service the Mortgage Loans or
     to perform any of its other obligations under this Agreement in accordance
     with the terms hereof.

          (vi) No consent, approval, authorization or order of any court or
     governmental agency or body is required for the execution, delivery and
     performance by the Servicer of, or compliance by the Servicer with, this
     Agreement or the consummation of the transactions contemplated hereby, or
     if any such consent, approval, authorization or order is required, the
     Servicer has obtained the same.

     SECTION 2.05. Substitutions and Repurchases of Mortgage Loans that are not
"Qualified Mortgages"

     Upon discovery by the Depositor, the Servicer or the Trustee that any
Mortgage Loan does not constitute a "qualified mortgage" within the meaning of
section 860G(a)(3) of the Code, the party discovering such fact shall promptly
(and in any event within five (5) Business Days of discovery) give written
notice thereof to the other parties. In connection therewith, the Depositor
shall, at the Depositor's option, either (i) substitute, if the conditions in
Section 2.03(c) with respect to substitutions are satisfied, a Replacement
Mortgage Loan for the affected Mortgage Loan, or (ii) repurchase the affected
Mortgage Loan within ninety (90) days of such discovery in the same manner as it
would a Mortgage Loan for a breach of representation or warranty contained in
Section 2.03. The Trustee, upon the written direction of the Depositor, shall
reconvey to the Depositor the Mortgage Loan to be released pursuant hereto in
the same manner, and on the same terms and conditions, as it would a Mortgage
Loan repurchased for breach of a representation or warranty contained in Section
2.03.

     SECTION 2.06. Authentication and Delivery of Certificates

                                      -79-

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     The Trustee acknowledges the transfer and assignment to it of the Trust
Fund and, concurrently with such transfer and assignment, the Trustee has caused
to be authenticated and delivered to or upon the order of the Depositor, in
exchange for the Mortgage Loans, Certificates duly authenticated by the
Authenticating Agent in authorized denominations evidencing ownership of the
entire Trust Fund. The Trustee agrees to hold the Trust Fund and exercise the
rights referred to above for the benefit of all present and future Holders of
the Certificates and to perform its duties set forth in this Agreement in
accordance with the provisions hereof.

     SECTION 2.07. REMIC Elections

          (a) The Depositor hereby instructs and authorizes the Trustee to make
an appropriate election to treat each of the Upper Tier REMIC, the Lower Tier
REMIC and the SWAP REMIC as a REMIC. The Trustee shall sign the returns
providing for such elections and such other tax or information returns that are
required to be signed by the Trustee under applicable law. This Agreement shall
be construed so as to carry out the intention of the parties that each of the
Upper Tier REMIC, the Lower Tier REMIC and the SWAP REMIC be treated as a REMIC
at all times prior to the date on which the Trust Fund is terminated.

          (b) The Preliminary Statement sets forth the designations and "latest
possible maturity date" for federal income tax purposes of all interests created
hereby. The "Startup Day" for purposes of the REMIC Provisions shall be the
Closing Date. Each REMIC's fiscal year shall be the calendar year.

     The SWAP REMIC shall consist of all of the assets of the Trust Fund, other
than (i) amounts distributable to the Class P Certificates pursuant to Section
4.04(b)(i) hereof, (ii) the interests issued by the SWAP REMIC and the interests
issued by the Lower Tier REMIC, (iii) the grantor trusts described in Section
2.07 hereof, (iv) each Corridor Contract and the Corridor Contract Account, (v)
the Swap Agreement and the Supplemental Interest Trust. The SWAP REMIC shall
issue the SWAP REMIC Regular Interests, which shall be designated as regular
interests of such REMIC, and shall issue the Class SWR Interest, which shall be
designated as the sole class of residual interest in the SWAP REMIC. Each of the
SWAP REMIC Regular Interests shall have the characteristics set forth in the
Preliminary Statement and this Section 2.07.

     The Lower Tier REMIC shall consist of the SWAP REMIC Regular Interests. The
Lower Tier REMIC shall issue the Lower Tier REMIC Regular Interests, which shall
be designated as regular interests of such REMIC and shall issue the Class LTR
Interest, which shall be designated as the sole class of residual interest in
the Lower Tier REMIC. Each of the Lower Tier REMIC Regular Interests shall have
the characteristics set forth in its definition and the Preliminary Statement.

     The assets of the Upper Tier REMIC shall be the Lower Tier REMIC Regular
Interests. The REMIC Regular Interests shall be designated as the regular
interests in the Upper Tier REMIC and the Residual Interest shall be designated
as the sole class of residual interest in the Upper Tier REMIC. For federal
income tax purposes, the pass-through rate on each REMIC Regular Interest (other
than the Uncertificated Class C Interest and the Class UT-IO Interest) and on
the sole class of residual interest in the Upper Tier REMIC shall be subject to
a cap equal to the Upper Tier REMIC Net WAC Cap.

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<PAGE>

     The beneficial ownership of the Class SWR Interest, the Class LTR Interest
and the Residual Interest shall be represented by the Class R Certificate. The
Class SWR Interest and the Class LTR Interest shall not have a principal balance
or bear interest.

          (c) The "tax matters person" with respect to each REMIC for purposes
of the REMIC Provisions shall be the beneficial owner of the Class R
Certificate; provided, however, that the Holder of the Class R Certificate, by
its acceptance thereof, irrevocably appoints the Trustee as its agent and
attorney-in-fact to act as "tax matters person" with respect to each such REMIC
for purposes of the REMIC Provisions. If there is more than one beneficial owner
of the Class R Certificate, the "tax matters person" shall be the Person with
the greatest percentage interest in the Class R Certificate and, if there is
more than one such Person, shall be determined under Treasury regulation Section
1.860F-4(d) and Treasury regulation Section 301.6231(a)(7)-1.

          (d) (i) It is intended that the rights of each Class of the Class A,
Class M and Class B Certificates to receive payments in respect of Excess
Interest shall be treated as a right in interest rate cap contracts written by
the Class C Certificateholders in favor of the holders of each Class of the
Class A, Class M and Class B Certificates and such shall be accounted for as
property held separate and apart from the regular interests in the Upper Tier
REMIC held by the holders of the Class A Certificates (other than the Class R
Certificate), Class M Certificates, Class B Certificates and the residual
interest in the Upper Tier REMIC held by the holder of the Class R Certificate.
For information reporting requirements, the rights of the Class A, Class M and
Class B Certificates to receive payments in respect of Excess Interest shall be
assumed to have zero or a de minimis value. This provision is intended to
satisfy the requirements of Treasury Regulations Section 1.860G-2(i) for the
treatment of property rights coupled with REMIC interests to be separately
respected and shall be interpreted consistently with such regulation. On each
Distribution Date, to the extent that any of the Class A, Class M and Class B
Certificates receive payments in respect of Excess Interest, such amounts, to
the extent not derived from payments on the Corridor Contracts or the Swap
Agreement, will be treated as distributed by the Upper Tier REMIC to the Class C
Certificates pro rata in payment of the amounts specified in Section 4.04(g) and
then paid to the relevant Class of Certificates pursuant to the related interest
rate cap agreement.

          (ii) It is intended that the beneficial owners of the Certificates
(other than the Class P and Class C Certificates) shall be treated as having
entered into a notional principal contract with respect to the beneficial owners
of the Class C Certificates. Pursuant to each such notional principal contract,
all beneficial owners of each Class of Certificates (other than the Class P and
Class C Certificates) shall be treated as having agreed to pay, on each
Distribution Date, to the beneficial owners of the Class C Certificates an
aggregate amount equal to the excess, if any, of (i) the amount payable on such
Distribution Date on the Corresponding REMIC Regular Interest of such Class of
Certificates over (ii) the amount payable on such Class of Certificates on such
Distribution Date (such excess, a "Class Payment Shortfall"). A Class Payment
Shortfall shall be allocated to each Class of Certificates to the extent that
interest accrued on such Class for the related Accrual Period at the
Pass-Through Rate for a Class, computed by substituting "Upper Tier REMIC Net
WAC Cap" for the Available Funds Cap set forth in the definition thereof,
exceeds the amount of interest accrued on such Certificate at the Pass-Through
Rate (without such substitution) for the related Accrual Period, and a Class
Payment Shortfall payable from principal collections shall be allocated to the
most subordinate Class of Certificates with an outstanding principal balance to
the extent of such balance.

          (e) The parties intend that the portion of the Trust Fund consisting
of the Uncertificated Class C Interest, the uncertificated Class UT-IO Interest,
the rights to receive payments

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<PAGE>

deemed made by the Class A, Class M and Class B Certificates in respect of
notional principal contracts described in Section 2.07(d)(ii), the Corridor
Contract Account, the Corridor Contracts, the Supplemental Interest Trust which
holds the Swap Agreement, and the obligation of the holders of the Class C
Certificates to pay amounts in respect of Excess Interest to the holders of the
Class A, Class M and Class B Certificates shall be treated as a "grantor trust"
under the Code, for the benefit of the holders of the Class C Certificates, and
the provisions hereof shall be interpreted consistently with this intention. In
furtherance of such intention, the Trustee shall (i) furnish or cause to be
furnished to the holders of the Class C Certificates information regarding their
allocable share, if any, of the income with respect to such grantor trust, (ii)
file or cause to be filed with the Internal Revenue Service Form 1041 (together
with any necessary attachments) and such other forms as may be applicable, (iii)
comply with such information reporting obligations with respect to payments from
such grantor trust to the holders of Class A, Class M, Class B and Class C
Certificates as may be applicable under the Code and (iv) provide, upon applying
for and receiving the tax identification number for the grantor trust from the
IRS, a properly completed Form W-9 on behalf of such grantor trust to the Swap
Counterparty and Cap Contract Counterparty.

          (f) The parties intend that the portion of the Trust Fund consisting
of the right to receive amounts distributable to the Class P Certificates
pursuant to Section 4.04(b)(i) hereof shall be treated as a "grantor trust"
under the Code, for the benefit of the holders of the Class P Certificates, and
the provisions hereof shall be interpreted consistently with this intention. In
furtherance of such intention, the Trustee shall (i) furnish or cause to be
furnished to the holders of the Class P Certificates information regarding their
allocable share of the income with respect to such grantor trust and (ii) file
or cause to be filed with the Internal Revenue Service Form 1041 (together with
any necessary attachments) and such other forms as may be applicable.

          (g) The parties intend that amounts paid to the Swap Counterparty
under the Swap Agreement shall be deemed for federal income tax purposes to be
paid by the Class C Certificates first, out of funds deemed received in respect
of the Class UT-IO Interest, second, out of funds deemed received in respect of
the Uncertificated Class C Interest and third, out of funds deemed received in
respect of notional principal contracts described in Section 2.07(d)(ii), and
the provisions hereof shall be interpreted consistently with this intention. On
each Distribution Date, to the extent that amounts paid to the Swap Counterparty
are deemed paid out of funds received in respect of the Uncertificated Class C
Interest, such amounts will be treated as distributed by the Upper Tier REMIC to
the Class C Certificates pro rata in payment of the amounts specified in Section
4.04(g) and then paid to the Swap Counterparty pursuant to the Swap Agreement.

     The Supplemental Interest Trust shall be an "outside reserve fund" for
federal income tax purposes and not an asset of any REMIC. Furthermore, the
Holders of the Class C Certificates shall be the beneficial owners of the
Supplemental Interest Trust for all federal income tax purposes, and shall be
taxable on all income earned thereon.

          (h) All payments of principal and interest at the Net Mortgage Rate on
each of the Mortgage Loans (other than amounts distributable to the Class P
Certificates pursuant to Section 4.04(b)(i) hereof) received by the SWAP REMIC
with respect to the Mortgage Loans shall be paid to the SWAP REMIC Regular
Interests until the principal balance of all such interests have been reduced to
zero and any losses allocated to such interests have been reimbursed. Any
available funds remaining in the SWAP REMIC on a Distribution Date after
distributions to the SWAP REMIC Regular Interests shall be distributed to the
Class R Certificates on account of the Class SWR Interest. On each Distribution
Date, the Trustee shall distribute the aggregate Interest Funds (net of expenses
(other than any Net Swap

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<PAGE>

Payment or Swap Termination Payment made to the Swap Counterparty) and payments
to the Class P Certificates) with respect to each of the SWAP REMIC Regular
Interests based on the interest rates for each such SWAP REMIC Regular Interest.
On each Distribution Date, the Trustee shall distribute the aggregate Principal
Funds with respect to the Group One Mortgage Loans first to the Class 1-SW1
Interest until its principal balance is reduced to zero and then sequentially to
each of the other SWAP REMIC Regular Interests beginning with the designation
"1" in ascending order of their numerical class designation, in equal amounts to
each such class in such numerical designation, until the principal balance of
each such class is reduced to zero. All losses with respect to the Group One
Mortgage Loans shall be allocated among the SWAP REMIC Regular Interests
beginning with the designation "1" in the same manner that principal
distributions are allocated. On each Distribution Date, the Trustee shall
distribute the aggregate Principal Funds with respect to the Group Two Mortgage
Loans first to the Class 2-SW2 Interest until its principal balance is reduced
to zero and then sequentially to each of the other SWAP REMIC Regular Interests
beginning with the designation "2" in ascending order of their numerical class
designation, in equal amounts to each such class in such numerical designation,
until the principal balance of each such class is reduced to zero. All losses
with respect to the Group Two Mortgage Loans shall be allocated among the SWAP
REMIC Regular Interests beginning with the designation "2" in the same manner
that principal distributions are allocated. Subsequent Recoveries with respect
to the Group One and Group Two Mortgage Loans shall be allocated in the reverse
fashion from the manner in which losses are allocated.

     All payments received by the Lower Tier REMIC with respect to the SWAP
REMIC Regular Interests shall be paid to the Lower Tier REMIC Regular Interests
until the principal balance of all such interests have been reduced to zero and
any losses allocated to such interests have been reimbursed. Any excess amounts
shall be distributed to the Class LTR Interest. On each Distribution Date,
payments and losses shall be allocated among the Lower Tier REMIC Regular
Interests so that (i) each of the Lower Tier REMIC I Marker Interests shall have
a principal balance equal to 25% of the principal balance of the Corresponding
Certificates, (ii) the Class LTIX Interest has a principal balance equal to the
excess of (x) 50% of the remaining principal balance of the Mortgage Loans over
(y) the aggregate principal balance of the Lower Tier REMIC I Marker Interests
(if necessary to reflect an increase in overcollateralization, accrued and
unpaid interest on the Class LTIX interest may be added to its principal amount
to achieve this result) and (iii) the aggregate principal amount of the Class
LTII1A Interest, Class LTII1B Interest, Class LTII2A Interest, Class LTII2B
Interest and Class LTIIX Interest shall equal 50% of the remaining principal
balance of the Mortgage Loans. Distributions and losses allocated to the Lower
Tier REMIC Regular Interests described in clause (iii) of the preceding sentence
will be allocated among such Lower Tier REMIC Regular Interests in the following
manner: (x) such distributions shall be deemed made to such Lower Tier REMIC
Regular Interests first, so as to keep the principal balance of the each such
Lower Tier REMIC Regular Interest with "B" at the end of its designation equal
to 0.05% of the aggregate scheduled principal balance of the Mortgage Loans in
the related Mortgage Group and second, to such Lower Tier REMIC Regular
Interests with "A" at the end of its designation so that the uncertificated
principal balance of each such Lower Tier REMIC Regular Interest is equal to
0.05% of the excess of (I) the aggregate scheduled principal balance of the
Mortgage Loans in the related Mortgage Group over (II) the aggregate principal
balance of Certificate Group One, in the case of the Class LTII1A Interest, or
Certificate Group Two, in the case of the Class LTII2A Interest (except that if
0.05% of any such excess is greater than the principal amount of the related
Lower Tier REMIC II Marker Interest with "A" at the end of its designation, the
least amount of principal shall be distributed to each Lower Tier REMIC II
Marker Interest with "A" at the end of its designation such that the Lower Tier
REMIC Subordinated Balance Ratio is maintained) and finally, any remaining
distributions of principal to the Class LTIIX Interest and (y) such losses shall
be allocated among the Lower Tier REMIC Regular

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<PAGE>

Interests described in clause (iii) of the preceding sentence first, so as to
keep the principal balance of the each such Lower Tier REMIC Regular Interest
with "B" at the end of its designation equal to 0.05% of the aggregate scheduled
principal balance of the Mortgage Loans in the related Mortgage Group; second,
to such Lower Tier REMIC Regular Interests with "A" at the end of its
designation so that the uncertificated principal balance of each such Lower Tier
REMIC Regular Interest is equal to 0.05% of the excess of (I) the aggregate
scheduled principal balance of the Mortgage Loans in the related Mortgage Group
over (II) the aggregate principal balance of Certificate Group One, in the case
of the Class LTII1A Interest, or Certificate Group Two, in the case of the Class
LTII2A Interest (except that if 0.05% of any such excess is greater than the
principal amount of the related Lower Tier REMIC II Marker Interest with "A" at
the end of its designation, the least amount of losses shall be allocated to
each Lower REMIC II Marker Interest with "A" at the end of its designation such
that the Lower Tier REMIC Subordinated Balance Ratio is maintained) and finally,
any remaining losses to the Class LTIIX Interest. Notwithstanding the preceding
two sentences, however, losses not allocated to any Class of Certificates will
not be allocated to any Lower Tier REMIC Regular Interests. All computations
with respect to the Lower Tier REMIC Regular Interests shall be taken out to ten
decimal places.

     Any available funds remaining in the Lower Tier REMIC on a Distribution
Date after distributions to the Lower Tier REMIC Regular Interests shall be
distributed to the Class R Certificates in respect of the Class LTR Interest.

     If on any Distribution Date the Certificate Principal Balance of any Class
of Certificates is increased pursuant to the last sentence of the definition of
"Certificate Principal Balance", then there shall be an equivalent increase in
the principal amounts of the Lower Tier REMIC Regular Interests, with such
increase allocated (before the making of distributions and the allocation of
losses on the Lower Tier REMIC Regular Interests on such Distribution Date)
among the Lower Tier REMIC Regular Interests so that, to the greatest extent
possible, (i) each of the Lower Tier REMIC I Marker Interests has a principal
balance equal to 25% of the principal balance of the Corresponding Certificates,
(ii) the Class LTIX Interest has a principal balance equal to the excess of (x)
50% of the remaining principal balance of the Mortgage Loans over (y) the
aggregate principal balance of the Lower Tier REMIC I Marker Interests and (iii)
the aggregate principal amount of the Lower Tier REMIC II Marker Interests and
the Class LTIIX Interest shall equal 50% of the remaining principal balance of
the Mortgage Loans. Allocations in connection with clause (iii) shall be made so
that, to the greatest extent possible, (a) the principal balance of each Lower
Tier REMIC II Marker Interest with "B" at the end of its designation equals
0.05% of the aggregate scheduled principal balance of the Mortgage Loans in
related Mortgage Group, (b) the principal balance of each Lower Tier REMIC II
Marker Interest with "A" at the end of its designation equals 0.05% of the
excess of (x) the aggregate scheduled principal balance of the Mortgage Loans in
related Mortgage Group over (y) the aggregate principal balance of Certificate
Group One in the case of the Class LTII1A Interest, or Certificate Group Two in
the case of the Class LTII2A Interest and (c) any remaining allocations are made
to the Class LTIIX Interest.

          (i) In the event that any REMIC provided for herein fails to qualify
as a REMIC, loses its status as a REMIC or incurs federal, state or local taxes
as a result of a prohibited transaction or prohibited contribution under the
REMIC Provisions due to the negligent performance by the Servicer of its duties
and obligations set forth herein, the Servicer shall indemnify the NIMs Insurer,
the Trustee and the Issuing Entity against any and all Losses resulting from
such negligence; provided, however, that the Servicer shall not be liable for
any such Losses attributable to the action or inaction of the Trustee, the
Depositor or the Holder of the residual interest in such REMIC, as applicable,
nor for any such Losses resulting from misinformation provided by the Holder of
the residual interest in such REMIC on which

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<PAGE>

the Servicer has relied. The foregoing shall not be deemed to limit or restrict
the rights and remedies of the Holder of the residual interest in such REMIC now
or hereafter existing at law or in equity. Notwithstanding the foregoing,
however, in no event shall the Servicer have any liability (1) for any action or
omission that is taken in accordance with and in compliance with the express
terms of, or which is expressly permitted by the terms of, this Agreement, (2)
for any Losses other than those arising out of a negligent performance by the
Servicer of its duties and obligations set forth herein, and (3) for any special
or consequential damages to Certificateholders (in addition to payment of
principal and interest on the Certificates).

          (j) In the event that any REMIC provided for herein fails to qualify
as a REMIC, loses its status as a REMIC, or incurs federal, state or local taxes
as a result of a prohibited transaction or prohibited contribution under the
REMIC Provisions due to the negligent performance by the Trustee of its duties
and obligations set forth herein, the Trustee shall indemnify the NIMs Insurer
and the Issuing Entity against any and all Losses resulting from such
negligence; provided, however, that the Trustee shall not be liable for any such
Losses attributable to the action or inaction of the Servicer, the Depositor or
the Holder of the residual interest in such REMIC, as applicable, nor for any
such Losses resulting from misinformation provided by the Holder of the residual
interest in such REMIC on which the Trustee has relied. The foregoing shall not
be deemed to limit or restrict the rights and remedies of the Holder of the
residual interest in such REMIC now or hereafter existing at law or in equity.
Notwithstanding the foregoing, however, in no event shall the Trustee have any
liability (1) for any action or omission that is taken in accordance with and in
compliance with the express terms of, or which is expressly permitted by the
terms of, this Agreement, (2) for any Losses other than those arising out of a
negligent performance by the Trustee of its duties and obligations set forth
herein, and (3) for any special or consequential damages to Certificateholders
(in addition to payment of principal and interest on the Certificates).

     SECTION 2.08. [RESERVED]

     SECTION 2.09. Covenants of the Servicer

     The Servicer hereby covenants to each of the other parties to this
Agreement that the Servicer shall comply in the performance of its obligations
under this Agreement with all reasonable rules and requirements of the insurer
under each Required Insurance Policy.

     SECTION 2.10. [RESERVED]

     SECTION 2.11. Permitted Activities of the Issuing Entity

     The Issuing Entity is created for the object and purpose of engaging in the
Permitted Activities. In furtherance of the foregoing, the Trustee is hereby
authorized and directed to execute and deliver, on behalf of the Issuing Entity,
the Corridor Contracts, and to execute and deliver on behalf of the Issuing
Entity, and to perform the duties and obligations of the Issuing Entity under
the Corridor Contracts, an insurance and indemnity agreement with a NIMs Insurer
and any other agreement or instrument related thereto, in each case in such form
as the Depositor shall direct or shall approve in writing, the execution and
delivery of any such agreement by the Depositor to be conclusive evidence of its
approval thereof. In addition, the Supplemental Interest Trust Trustee is hereby
authorized and directed to execute and deliver, on behalf of the Supplemental
Interest Trust and the Swap Agreement, and to execute and deliver on behalf of
the Issuing Entity, and to perform the duties and obligations of the
Supplemental Interest Trust under any agreement or instrument related to the
Swap Agreement, in each case in such form as the

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<PAGE>

Depositor shall direct or shall approve in writing, the execution and delivery
of any such agreement by the Depositor to be conclusive evidence of its approval
thereof.

     SECTION 2.12. Qualifying Special Purpose Entity

     For purposes of SFAS 140, the parties hereto intend that the Issuing Entity
shall be treated as a "qualifying special purpose entity" as such term is used
in SFAS 140 and any successor rule thereto and its power and authority as stated
in Section 2.11 of this Agreement shall be limited in accordance with paragraph
35 or SFAS 140.

     SECTION 2.13. Depositor Notification of NIM Notes

           The Depositor shall notify the Servicer and the Trustee in writing
when NIM Notes are issued and of the identity and contact information of the
NIMs Insurer, if applicable, and when all previously issued NIM Notes are no
longer outstanding.

                                   ARTICLE III

                          ADMINISTRATION AND SERVICING
                                OF MORTGAGE LOANS

     SECTION 3.01. Servicer to Service Mortgage Loans

     For and on behalf of the Certificateholders, the Servicer shall service and
administer the Mortgage Loans in accordance with Accepted Servicing Practices.
In connection with such servicing and administration, the Servicer shall have
full power and authority, acting alone and/or through subservicers as provided
in Section 3.02 hereof, to do or cause to be done any and all things that it may
deem necessary or desirable in connection with such servicing and
administration, including but not limited to, the power and authority, subject
to the terms hereof (i) to execute and deliver, on behalf of the
Certificateholders and the Trustee, customary consents or waivers and other
instruments and documents, (ii) to consent to transfers of any Mortgaged
Property and assumptions of the Mortgage Notes and related Mortgages (but only
in the manner provided in this Agreement), (iii) to collect any Insurance
Proceeds and other Liquidation Proceeds and (iv) subject to Section 3.12(a), to
effectuate foreclosure or other conversion of the ownership of the Mortgaged
Property securing any Mortgage Loan; provided that, subject to Section 6.03, the
Servicer shall not take any action that is inconsistent with or prejudices the
interests of the Issuing Entity or the Certificateholders in any Mortgage Loan
serviced by it under this Agreement or the rights and interests of the other
parties to this Agreement except as otherwise required by this Agreement or by
law. Notwithstanding anything in this Agreement to the contrary, including
Section 3.05, the Servicer shall not make or permit any modification, waiver or
amendment of any term of any Mortgage Loan which would cause any of the REMICs
provided for herein to fail to qualify as a REMIC or result in the imposition of
any tax under Section 860G(a) or 860G(d) of the Code. The Servicer shall
represent and protect the interest of the Trust Fund in the same manner as it
currently protects its own interest in mortgage loans in its own portfolio in
any claim, proceeding or litigation regarding a Mortgage Loan, but in any case
not in any manner that is a lesser standard than that provided in the first
sentence of this Section 3.01. Without limiting the generality of the foregoing,
the Servicer, in its own name or in the name of the Depositor and the Trustee,
is hereby authorized and empowered by the Depositor and the Trustee, when the
Servicer believes it appropriate in its reasonable judgment, to execute and
deliver, on behalf of the Trustee, the Depositor, the Certificateholders or any
of them, any

                                      -86-

<PAGE>

and all instruments of satisfaction or cancellation, or of partial or full
release or discharge, subordinations and all other comparable instruments, with
respect to the Mortgage Loans, and with respect to the Mortgaged Properties held
for the benefit of the Certificateholders. The Servicer shall prepare and
deliver to the Depositor and/or the Trustee such documents requiring execution
and delivery by any or all of them as are necessary or appropriate to enable the
Servicer to service and administer the Mortgage Loans, to the extent that the
Servicer is not permitted to execute and deliver such documents pursuant to the
preceding sentence. Upon receipt of such documents, the Depositor and/or the
Trustee shall execute such documents and deliver them to the Servicer. For
purposes of this Section 3.01, the Trustee hereby grants to the Servicer a
limited power of attorney in such form as shall be prepared by the Servicer and
agreed to by the Trustee and the Servicer to execute and file any and all
documents necessary to fulfill the obligations of the Servicer under this
Section 3.01.

     Upon request of the Servicer, the Trustee shall furnish the Servicer with
any powers of attorney and other documents in form as provided to it necessary
or appropriate to enable the Servicer to service and administer the Mortgage
Loans. The Trustee shall not be responsible for and the Servicer shall indemnify
the Trustee for any action taken by the Servicer pursuant to the application of
any power of attorney to the extent indemnification by the Servicer is required
by Section 3.25 and provided that the Servicer shall have no obligation to
indemnify the Trustee for such action to the extent such action was taken
pursuant to and in accordance with specific written instructions from the
Trustee, which instructions are not based on Servicer's recommendations or
proposals. Notwithstanding anything contained herein to the contrary, the
Servicer shall not without the Trustee's written consent, hire or procure
counsel to represent the Trustee without indicating its representative capacity.

     The Servicer shall not be required to make any Advance or Servicing Advance
with respect to a Mortgage Loan that is 150 days or more delinquent.

     The Servicer and the Trustee shall have at least 10 days' notice of the
issuance of any NIM Notes.

     The Servicer shall deliver a list of Servicing Officers and specimen
signatures to the Trustee by the Closing Date.

     In accordance with Accepted Servicing Practices the Servicer will fully
furnish (for the period it services the Mortgage Loans), in accordance with the
Fair Credit Reporting Act and its implementing regulations, accurate and
complete information (e.g., favorable and unfavorable) on its borrower credit
files to Equifax, Experian and Trans Union Credit Information Company on a
monthly basis except as the Servicer deems prudent for prevention or resolution
of disputes with Mortgagors.

     The Servicer further is authorized and empowered by the Trustee, on behalf
of the Certificateholders and the Trustee, in its own name or in the name of the
Sub-Servicer, when the Servicer or the Sub-Servicer, as the case may be,
believes it is appropriate in its best judgment to register any Mortgage Loan on
the MERS System, or cause the removal from the registration of any Mortgage Loan
on the MERS System, to execute and deliver, on behalf of the Trustee and the
Certificateholders or any of them, any and all instruments of assignment and
other comparable instruments with respect to such assignment or re-recording of
a Mortgage in the name of MERS, solely as nominee for the Trustee and its
successors and assigns. Any reasonable expenses incurred in connection with the
actions described in the preceding sentence or as a result of MERS discontinuing
or becoming unable to continue operations in connection with the MERS System,
shall be subject to withdrawal by the Servicer from the Collection

                                      -87-

<PAGE>

Account (provided that such expenses constitute "unanticipated expenses" within
the meaning of Treasury Regulation Section 1.860G-1(b)(3)(ii)).

     SECTION 3.02. Servicing and Subservicing; Enforcement of the Obligations of
Servicer

          (a) The Servicer may arrange for the subservicing of any Mortgage Loan
by a subservicer, which may be an affiliate, pursuant to a subservicing
agreement (each, a "Subservicing Agreement"); provided, however, that (i) such
subservicing arrangement and the terms of the related Subservicing Agreement
must provide for the servicing of such Mortgage Loans in a manner consistent
with the servicing arrangements contemplated hereunder, (ii) that such agreement
would not result in a withdrawal or downgrading by any Rating Agency of the
ratings of any Certificates or any of the NIM Notes evidenced by a letter to
that effect delivered by each Rating Agency to the Depositor and the NIMs
Insurer and (iii) the NIMs Insurer shall have consented to such subservicing
agreement, which consent shall not be unreasonably withheld. Notwithstanding the
provisions of any Subservicing Agreement, any of the provisions of this
Agreement relating to agreements or arrangements between the Servicer and a
subservicer or reference to actions taken through a subservicer or otherwise,
the Servicer shall remain obligated and liable to the Depositor, the Trustee and
the Certificateholders for the servicing and administration of the Mortgage
Loans in accordance with the provisions of this Agreement without diminution of
such obligation or liability by virtue of such Subservicing Agreements or
arrangements or by virtue of indemnification from the subservicer and to the
same extent and under the same terms and conditions as if the Servicer alone
were servicing and administering the Mortgage Loans. Every Subservicing
Agreement entered into by the Servicer shall contain a provision giving any
successor servicer the option to terminate such agreement, with the consent of
the NIMs Insurer (which consent shall not be unreasonably withheld), in the
event a successor servicer is appointed. All actions of the each subservicer
performed pursuant to the related Subservicing Agreement shall be performed as
an agent of the Servicer with the same force and effect as if performed directly
by the Servicer. The Servicer shall deliver to the Trustee and the NIMs Insurer
copies of all Subservicing Agreements. The Trustee shall have no obligations,
duties or liabilities with respect to a subservicer, including, without
limitation, any obligation, duty or liability to monitor such subservicer or to
pay a Subservicer's fees and expenses.

          (b) For purposes of this Agreement, the Servicer shall be deemed to
have received any collections, recoveries or payments with respect to the
Mortgage Loans that are received by a subservicer regardless of whether such
payments are remitted by the subservicer to the Servicer.

          (c) The Servicer shall not permit a Subservicer to perform any
servicing responsibilities hereunder with respect to the Mortgage Loans unless
that Subservicer first agrees in writing with the Servicer to deliver an
Assessment of Compliance and an Accountant's Attestation in such manner and at
such times that permits that Servicer to comply with Section 3.17 of this
Agreement.

          (d) The Servicer may enter into a special servicing advisory agreement
with a holder of the Class R Certificate and/or one or more other class of
subordinated certificates issued by the Issuing Entity or of a net interest
margin trust holding certificates issued by the Issuing Entity and/or an advisor
designated by the holder of the Class R Certificate. Pursuant to such agreement,
the Servicer may provide such holder or advisor, in its capacity as special
servicing advisor, with loan-level information with respect to the Mortgage
Loans, and the holder of the Class R Certificate or the special servicing
advisor designated by the holder of the Class R Certificate may advise the
Servicer with respect to the commencement of foreclosure proceedings or other
actions to liquidate such Mortgage Loans and/or any other efforts to maximize
recoveries with respect to such Mortgage Loans.

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<PAGE>

     SECTION 3.03. Rights of the Depositor and the Trustee in Respect of the
Servicer

     Neither the Trustee nor the Depositor shall have any responsibility or
liability for any action or failure to act by the Servicer, and neither of them
is obligated to supervise the performance of the Servicer hereunder or
otherwise.

     SECTION 3.04. Trustee to Act as Servicer

     Subject to Sections 6.04 and 7.02, in the event that the Servicer shall for
any reason no longer be the servicer hereunder (including by reason of an Event
of Default), the Trustee or its designee shall, within a period of time not to
exceed ninety (90) days from the date of notice of termination or resignation,
thereupon assume all of the rights and obligations of the Servicer hereunder
arising thereafter (except that the Trustee shall not be (i) liable for losses
arising out of any acts or omissions of the predecessor servicer hereunder, (ii)
obligated to make Advances or Servicing Advances if it is prohibited from doing
so by applicable law, (iii) obligated to effectuate repurchases or substitutions
of Mortgage Loans hereunder, including pursuant to Section 2.02, 2.03 or 2.05
hereof, (iv) responsible for any expenses of the Servicer pursuant to Section
2.03 or (v) deemed to have made any representations and warranties hereunder,
including pursuant to Section 2.04 or the first paragraph of Section 6.02
hereof; provided, however that the Trustee (subject to clause (ii) above) or its
designee, in its capacity as the successor servicer, shall immediately assume
the terminated or resigning Servicer's obligation to make Advances and Servicing
Advances). No such termination or resignation shall affect any obligation of the
Servicer to pay amounts owed under this Agreement and to perform its duties
under this Agreement until its successor assumes all of its rights and
obligations hereunder. If the Servicer shall for any reason no longer be a
servicer (including by reason of any Event of Default), the Trustee (or any
other successor servicer) may, at its option, succeed to any rights and
obligations of the Servicer under any subservicing agreement in accordance with
the terms thereof; provided, however, that the Trustee (or any other successor
servicer) shall not incur any liability or have any obligations in its capacity
as servicer under a subservicing agreement arising prior to the date of such
succession unless it expressly elects to succeed to the rights and obligations
of the Servicer thereunder; and the Servicer shall not thereby be relieved of
any liability or obligations under the subservicing agreement arising prior to
the date of such succession. To the extent any costs or expenses, including
without limitation, Servicing Transfer Costs incurred by the Trustee in
connection with this Section 3.04 or Section 7.02, are not paid by the Servicer
pursuant to this Agreement within thirty (30) days of the date of the Trustee's
invoice thereof, such amounts shall be payable out of the Certificate Account;
provided that if the Servicer has been terminated by reason of an Event of
Default, the terminated servicer shall reimburse the Issuing Entity for any such
expense incurred by the Issuing Entity upon receipt of a reasonably detailed
invoice evidencing such expenses. If the Trustee is unwilling or unable to act
as servicer, the Trustee shall seek to appoint a successor servicer that is
eligible in accordance with the criteria specified in this Agreement and
reasonably acceptable to the NIMs Insurer.

     The Servicer shall, upon request of the Trustee, but at the expense of the
Servicer if the Servicer has been terminated by reason of an Event of Default,
deliver to the assuming party all documents and records relating to each
subservicing agreement and the Mortgage Loans then being serviced and otherwise
use its best efforts to effect the orderly and efficient transfer of the
subservicing agreement to the assuming party.

     SECTION 3.05. Collection of Mortgage Loan Payments; Collection Account;
Certificate Account

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<PAGE>

          (a) The Servicer shall make reasonable efforts in accordance with
Accepted Servicing Practices to collect all payments called for under the terms
and provisions of the Mortgage Loans to the extent such procedures shall be
consistent with this Agreement and the terms and provisions of any related
Required Insurance Policy. Consistent with the foregoing, the Servicer may in
its discretion (i) waive any late payment charge or, if applicable, any default
interest charge, or (ii) subject to Section 3.01 and applicable REMIC
requirements, extend the due dates for payments due on a Mortgage Note for a
period not greater than 180 days; provided, however, that any extension pursuant
to clause (ii) above shall not affect the amortization schedule of any Mortgage
Loan for purposes of any computation hereunder, except as provided below;
provided, further, that the NIMs Insurer's prior written consent shall be
required for any modification, waiver or amendment after the Cut-off Date if the
aggregate number of outstanding Mortgage Loans which have been modified, waived
or amended exceeds 5% of the number of Mortgage Loans as of the Cut-Off Date. In
the event of any such arrangement pursuant to clause (ii) above, subject to
Section 4.01, the Servicer shall make any Advances on the related Mortgage Loan
during the scheduled period in accordance with the amortization schedule of such
Mortgage Loan without modification thereof by reason of such arrangements.
Notwithstanding clause (ii) above and its related provisos, in the event that
any Mortgage Loan is in default or, in the judgment of the Servicer, such
default is reasonably foreseeable, the Servicer, consistent with the standards
set forth in Section 3.01 and not subject to the requirement to make Advances
pursuant to Section 4.01, may also waive, modify or vary any term of such
Mortgage Loan (including modifications that would change the Mortgage Rate,
forgive the payment of principal or interest or extend the final maturity date
of such Mortgage Loan), accept payment from the related Mortgagor of an amount
less than the Stated Principal Balance in final satisfaction of such Mortgage
Loan, or consent to the postponement of strict compliance with any such term or
otherwise grant indulgence to any Mortgagor (any and all such waivers,
modifications, variances, forgiveness of principal or interest, postponements,
or indulgences collectively referred to herein as "forbearance"), provided,
however, that in determining which course of action permitted by this sentence
it shall pursue, the Servicer shall adhere to the standards of Section 3.01. The
Servicer's analysis supporting any forbearance and the conclusion that any
forbearance meets the standards of Section 3.01 shall be reflected in writing in
the Mortgage File.

     With respect to the Mortgage Loans affected by a hurricane or other natural
disaster, if the Mortgaged Property is located in public and individual
assistance counties, as designated by Federal Emergency Management Agency (as
set forth on its webstie www.fema.gov), the related Servicer (or the related
Subservicer, if such iServicer is no longer servicing Mortgage Loans), may, at
its sole option, cease collection activities, charging late fees and credit
reporting activity for all Mortgagors in such counties for a period of time and,
if reasonably prudent, may extend such period as long as it deems necessary. In
addition, the related Servicer (or the related Subservicer, if applicable) may
suspend all foreclosure and bankruptcy activity relating to such Mortgage Loans
for a period of time and, if reasonably prudent, may extend such period as long
as it deems necessary.

          (b) The Servicer will not waive any Prepayment Charge or portion
thereof unless, (i) the enforceability thereof shall have been limited by
bankruptcy, insolvency, moratorium, receivership or other similar laws relating
to creditors' rights generally or is otherwise prohibited by law, or (ii) the
collectability thereof shall have been limited due to acceleration in connection
with a foreclosure or other involuntary payment, or (iii) the Servicer has not
been provided with information sufficient to enable it to collect the Prepayment
Charge, or (iv) in the Servicer's reasonable judgment as described in Section
3.01 hereof, (x) such waiver relates to a default or a reasonably foreseeable
default, (y) such waiver would maximize recovery of total proceeds taking into
account the value of such Prepayment Charge and related Mortgage Loan and (z)
doing so is standard and customary in servicing similar Mortgage Loans

                                      -90-

<PAGE>

(including any waiver of a Prepayment Charge in connection with a refinancing of
a Mortgage Loan that is related to a default or a reasonably foreseeable
default), or (v) the collection of the Prepayment Charge or of a similar type of
prepayment premium would be considered "predatory" or "illegal" pursuant to
written guidance published by any applicable federal, state or local regulatory
authority having jurisdiction over such matters or has been challenged by any
such authority, or (vi) unless the Depositor has notified the Servicer that
there are NIM Notes outstanding, there is a certified class action in which a
similar type of prepayment premium is being challenged. Except as provided in
the preceding sentence, in no event will the Servicer waive a Prepayment Charge
in connection with a refinancing of a Mortgage Loan that is not related to a
default or a reasonably foreseeable default. If the Servicer waives or does not
collect all or a portion of a Prepayment Charge relating to a Principal
Prepayment in full or in part due to any action or omission of the Servicer,
other than as provided above, the Servicer shall deposit the amount of such
Prepayment Charge (or such portion thereof as had been waived for deposit) into
the Collection Account for distribution in accordance with the terms of this
Agreement.

          (c) The Servicer shall not be required to institute or join in
litigation with respect to collection of any payment (whether under a Mortgage,
Mortgage Note or otherwise or against any public or governmental authority with
respect to a taking or condemnation) if it reasonably believes that enforcing
the provision of the Mortgage or other instrument pursuant to which such payment
is required is prohibited by applicable law.

          (d) The Servicer shall establish and initially maintain, on behalf of
Trustee for the benefit of the Certificateholders, a Collection Account. The
Servicer shall deposit into such Collection Account daily, within two (2)
Business Days of receipt thereof, in immediately available funds, the following
payments and collections received or made by it on and after the Cut-off Date
with respect to the Mortgage Loans:

          (i) all payments on account of principal, including Principal
     Prepayments, on the Mortgage Loans, other than principal due on the
     Mortgage Loans on or prior to the Cut-off Date;

          (ii) all payments on account of interest on the Mortgage Loans net of
     the Servicing Fee permitted under Section 3.15, other than (x) interest due
     on the Mortgage Loans on or prior to the Cut-off Date and (y) Prepayment
     Interest Excess;

          (iii) all Liquidation Proceeds, other than proceeds to be applied to
     the restoration or repair of the Mortgaged Property or released to either
     the Mortgagor or the holder of a senior lien on the Mortgaged Property in
     accordance with the Servicer's normal servicing procedures;

          (iv) all Subsequent Recoveries;

          (v) all Compensating Interest;

          (vi) any amount required to be deposited by the Servicer pursuant to
     Section 3.05(f) in connection with any losses on Permitted Investments;

          (vii) any amounts required to be deposited by the Servicer pursuant to
     Section 3.10 hereof;

          (viii) all Advances made by the Servicer pursuant to Section 4.01;

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<PAGE>

          (ix) all Prepayment Charges; and

          (x) any other amounts required to be deposited hereunder.

     The foregoing requirements for remittance by the Servicer into the
Collection Account shall be exclusive, it being understood and agreed that,
without limiting the generality of the foregoing, all servicing related fees,
including late payment charges, insufficient funds charges and payments in the
nature of assumption fees (i.e. fees related to the assumption of a Mortgage
Loan upon the purchase of the related Mortgaged Property, modification fees,
extension fees and other similar ancillary fees and charges (other than
Prepayment Charges)) if collected, and any Prepayment Interest Excess need not
be remitted by the Servicer. Rather, such fees and charges may be retained by
the Servicer as additional servicing compensation. In the event that the
Servicer shall remit any amount not required to be remitted and not otherwise
subject to withdrawal pursuant to Section 3.08 hereof, it may at any time
withdraw or direct the Trustee, or such other institution maintaining the
Collection Account, to withdraw such amount from the Collection Account, any
provision herein to the contrary notwithstanding. The Servicer shall maintain
adequate records with respect to all withdrawals made pursuant to this Section.
All funds deposited in the Collection Account shall be held in trust for the
Certificateholders until withdrawn in accordance with Section 3.08. In no event
shall the Trustee incur liability for withdrawals from the Collection Account at
the direction of the Servicer.

     The Servicer shall give notice to the Trustee of the location of the
Collection Account maintained by it when established and prior to any change
thereof. Not later than twenty days after each Distribution Date, the Servicer
shall make available to the Trustee and the Depositor the most current available
bank statement for the Collection Account. Copies of such statement shall be
provided by the Trustee to any Certificateholder and to any Person identified to
the Trustee as a prospective transferee of a Certificate, upon request at the
expense of the requesting party, provided such statement is delivered by the
Servicer to the Trustee.

          (e) The Trustee shall establish and maintain, on behalf of the
Certificateholders, the Certificate Account. The Trustee shall, promptly upon
receipt, deposit or cause to be deposited in the Certificate Account and retain
therein the following:

          (i) the aggregate amount withdrawn by the Servicer from the Collection
     Account for deposit in the Certificate Account;

          (ii) the Purchase Price and any Substitution Adjustment Amount;

          (iii) any amount required to be deposited by the Trustee pursuant to
     Section 3.05(f) in connection with any losses on Permitted Investments; and

          (iv) the Optional Termination Amount paid by the winning bidder at the
     Auction or by the Servicer or one of its affiliates pursuant to Section
     9.01.

     Any amounts received by the Trustee which are required to be deposited in
the Certificate Account by the Servicer may be invested in Permitted Investments
on the Business Day on which they were received. The foregoing requirements for
remittance by the Servicer and deposit by the Servicer into the Certificate
Account shall be exclusive. If the Servicer fails to remit any funds due by the
time designated herein, the Servicer shall pay to the Trustee, for its own
account, interest accrued on such

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<PAGE>

funds at the prime rate as set forth in The Wall Street Journal from and
including the applicable due date, to but excluding the day such funds are paid
to the Trustee. In the event that the Servicer shall remit any amount not
required to be remitted and not otherwise subject to withdrawal pursuant to
Section 3.08 hereof, it may at any time withdraw such amount from the
Certificate Account, any provision herein to the contrary notwithstanding. All
funds deposited in the Certificate Account shall be held by the Trustee in trust
for the Certificateholders until disbursed in accordance with this Agreement or
withdrawn in accordance with Section 3.08. In no event shall the Trustee incur
liability for withdrawals from the Certificate Account at the direction of the
Servicer. The Trustee shall give notice to the Servicer of the location of the
Certificate Account maintained by it when established and prior to any change
thereof.

          (f) Each institution that maintains the Collection Account shall, and
each institution that maintains the Certificate Account may but shall not be
required to, invest the funds in each such account, as directed by the Servicer
or the Trustee, as applicable, in writing, in Permitted Investments, which shall
mature not later than (i) in the case of the Collection Account, the Business
Day preceding the Servicer Remittance Date (except that if such Permitted
Investment is an obligation of the institution that maintains such Collection
Account or is otherwise immediately available, then such Permitted Investment
shall mature not later than the Servicer Remittance Date) and (ii) in the case
of the Certificate Account, the Business Day immediately preceding the first
Distribution Date that follows the date of such investment (except that if such
Permitted Investment is an obligation of the institution that maintains such
Certificate Account or is otherwise immediately available, then such Permitted
Investment shall mature not later than such Distribution Date) and, in each
case, shall not be sold or disposed of prior to its maturity. All such Permitted
Investments shall be made in the name of the Trustee for the benefit of the
Certificateholders. All income and gain net of any losses realized from amounts
on deposit in the Collection Account shall be for the benefit of the Servicer as
servicing compensation and shall be remitted to it monthly as provided herein.
The amount of any losses incurred in the Collection Account in respect of any
such investments shall be deposited by the Servicer in the Collection Account
out of the Servicer's own funds immediately as realized. All income and gain net
of any losses realized from amounts on deposit in the Certificate Account shall
be for the benefit of the Trustee and shall be remitted to or withdrawn by it
monthly as provided herein. The amount of any losses incurred in the Certificate
Account in respect of any such investments shall be deposited by the Trustee in
the Certificate Account out of the Trustee's own funds immediately as realized.

     SECTION 3.06. Collection of Taxes, Assessments and Similar Items; Escrow
Accounts

     To the extent required by the related Mortgage Note, the Servicer shall
establish and maintain one or more accounts (each, an "Escrow Account") and
deposit and retain therein all collections from the Mortgagors (or advances by
the Servicer) for the payment of taxes, assessments, hazard insurance premiums
or comparable items for the account of the Mortgagors. Nothing herein shall
require the Servicer to compel a Mortgagor to establish an Escrow Account in
violation of applicable law.

     Withdrawals of amounts so collected from the Escrow Accounts may be made
only to effect timely payment of taxes, assessments, hazard insurance premiums,
condominium or PUD association dues, or comparable items, to reimburse the
Servicer out of related collections for any payments made pursuant to Sections
3.01 hereof (with respect to taxes and assessments, dues or comparable items and
insurance premiums) and 3.10 hereof (with respect to hazard insurance), to
refund to any Mortgagors any sums as may be determined to be overages, to pay
interest, if required by law or the terms of the related Mortgage or Mortgage
Note, to Mortgagors on balances in the Escrow Account to withdraw funds
deposited in error or amounts previously deposited but returned as unpaid due to
a "not sufficient funds"

                                      -93-

<PAGE>

or other denial by the related Mortgagor's banking institution or to clear and
terminate the Escrow Account at the termination of this Agreement in accordance
with Section 9.01 hereof. The Escrow Accounts shall not be a part of the Trust
Fund.

     SECTION 3.07. Access to Certain Documentation and Information Regarding the
Mortgage Loans

     Upon reasonable advance notice in writing if required by federal
regulation, the Servicer will provide to each Certificateholder that is a
savings and loan association, bank or insurance company certain reports and
reasonable access to information and documentation regarding the Mortgage Loans
sufficient to permit such Certificateholder to comply with applicable
regulations of the OTS or other regulatory authorities with respect to
investment in the Certificates; provided, that the Servicer shall be entitled to
be reimbursed by each such Certificateholder for actual expenses incurred by the
Servicer in providing such reports and access.

     The Servicer may from time to time provide the Depositor, and any Person
designated by the Depositor, with reports and information regarding the Mortgage
Loans, including without limitation, information requested by the Depositor or
an originator of the Mortgage Loans for required institutional risk control. In
addition, subject to limitations of applicable privacy laws, the Servicer may
make public information regarding performance of the Mortgage Loans.

     SECTION 3.08. Permitted Withdrawals from the Collection Account and
Certificate Account

          (a) The Servicer may from time to time, make withdrawals from the
Collection Account for the following purposes:

          (i) to pay to the Servicer (to the extent not previously paid to or
withheld by the Servicer), as servicing compensation in accordance with Section
3.15, that portion of any payment of interest that equals the Servicing Fee for
the period with respect to which such interest payment was made, and, as
additional servicing compensation, those other amounts set forth in Section
3.15;

          (ii) to reimburse the Servicer (or the Trustee as successor servicer)
for Advances made by it (or to reimburse the Advancing Person for Advances made
by it) with respect to the Mortgage Loans, such right of reimbursement pursuant
to this subclause (ii) being limited to amounts received on particular Mortgage
Loan(s) (including, for this purpose, Liquidation Proceeds (which include
Condemnation Proceeds and Insurance Proceeds)) that represent late recoveries of
payments of principal and/or interest on such particular Mortgage Loan(s) in
respect of which any such Advance was made;

          (iii) to reimburse the Servicer for any Non-Recoverable Advance
previously made and any Non-Recoverable Servicing Advances previously made to
the extent that, in the case of Non-Recoverable Servicing Advances,
reimbursement therefor constitutes "unanticipated expenses" within the meaning
of Treasury Regulation Section 1.860G-1(b)(3)(ii);

          (iv) to pay to the Servicer earnings on or investment income with
respect to funds in or credited to the Collection Account;

          (v) to reimburse the Servicer from Insurance Proceeds for Insured
Expenses covered by the related Insurance Policy;

                                      -94-

<PAGE>

          (vi) [Reserved];

          (vii) to pay the Servicer (or the Trustee as successor servicer) any
unpaid Servicing Fees and to reimburse it for any unreimbursed Servicing
Advances (to the extent that reimbursement for Servicing Advances would
constitute an "unanticipated expense" within the meaning of Treasury Regulation
Section 1.860G-1(b)(3)(ii)), the Servicer's right to reimbursement of Servicing
Advances pursuant to this subclause (vii) with respect to any Mortgage Loan
being limited to amounts received on particular Mortgage Loan(s)(including, for
this purpose, Liquidation Proceeds and purchase and repurchase proceeds and
including any Subsequent Recoveries related to any Liquidated Loan) that
represent late recoveries of the payments for which such advances were made
pursuant to Section 3.01 or Section 3.06;

          (viii) to pay to the Depositor or the Servicer, as applicable, with
respect to each Mortgage Loan or property acquired in respect thereof that has
been purchased pursuant to Section 2.02, 2.03 or 3.12, all amounts received
thereon and not taken into account in determining the related Stated Principal
Balance of such repurchased Mortgage Loan;

          (ix) to reimburse the Servicer, the Trustee or the Depositor for
expenses incurred by any of them in connection with the Mortgage Loans or the
Certificates and reimbursable pursuant to Section 3.04, Section 3.25 or Section
6.03 hereof provided that reimbursement therefor would constitute
"unanticipated" expenses within the meaning of Treasury Regulation Section
1.860G-1(b)(3)(ii);

          (x) to reimburse the Trustee for enforcement expenses reasonably
incurred in respect of a breach or defect giving rise to the purchase obligation
in Section 2.03 that were incurred in the Purchase Price of the Mortgage Loans
including any expenses arising out of the enforcement of the purchase
obligation; provided that any such expenses will be reimbursable under this
subclause (x) only to the extent that such expenses would constitute
"unanticipated expenses" within the meaning of Treasury Regulation Section
1.860G-1(b)(3)(ii) if paid by one of the REMICs provided for herein;

          (xi) to pay the Servicer any unpaid Servicing Fees for any Mortgage
Loan upon such Mortgage Loan being charged off and upon termination of the
obligations of the Servicer;

          (xii) to withdraw pursuant to Section 3.05 any amount deposited in the
Collection Account and not required to be or incorrectly deposited therein or
amounts previously deposited but returned as unpaid due to insufficient funds or
other denial by the related Mortgagor's banking institution; and

          (xiii) to clear and terminate the Collection Account upon termination
of this Agreement pursuant to Section 9.01 hereof.

     In addition, the Servicer will use commercially reasonable efforts to cause
to be withdrawn from the Collection Account no later than 2:30 p.m. Eastern
Time, but in any case no later than 4:00 p.m. Eastern Time on the Servicer
Remittance Date, the Interest Funds and the Principal Funds (for this purpose
only, neither Interest Funds nor Principal Funds shall include a deduction for
any amount reimbursable to the Trustee unless such amounts have actually been
reimbursed from such funds at the discretion of the Servicer), to the extent on
deposit, and such amount shall be deposited in the Certificate Account;
provided, however, if the Trustee does not receive such Interest Funds and
Principal Funds on the Servicer Remittance Date, the Servicer shall pay, out of
its own funds, interest on such amount at a

                                      -95-

<PAGE>

rate equal to the "prime rate" as published by The Wall Street Journal at such
time for each date or part thereof.

     The Servicer shall keep and maintain separate accounting, on a Mortgage
Loan by Mortgage Loan basis, for the purpose of justifying any withdrawal from
the Collection Account.

     The Servicer shall provide written notification to the Trustee on or prior
to the next succeeding Servicer Remittance Date upon making any withdrawals from
the Collection Account pursuant to subclauses (iii) and (vii) above.

     Unless otherwise specified, any amounts reimbursable to the Servicer or the
Trustee from amounts on deposit in the Collection Account or the Certificate
Accounts shall be deemed to come from first, Interest Funds, and thereafter,
Principal Funds for the related Distribution Date.

          (b) The Trustee shall withdraw funds from the Certificate Account for
distribution to the Certificateholders in the manner specified in this Agreement
(and shall withhold from the amounts so withdrawn, the amount of any taxes that
it is authorized to retain pursuant to this Agreement). In addition, prior to
making such distributions to the Certificateholders, the Trustee may from time
to time make withdrawals from the Certificate Account for the following
purposes:

          (i) to withdraw pursuant to Section 3.05 any amount deposited in the
Certificate Account and not required to be deposited therein;

          (ii) to clear and terminate the Certificate Account upon termination
of the Agreement pursuant to Section 9.01 hereof (after paying all amounts
necessary to the Trustee or the Servicer in connection with any such
termination);

          (iii) to pay to the Trustee for any fees, expenses and indemnification
reimbursable pursuant to this Agreement, including without limitation Sections
3.04, 6.03, 8.05 and 8.06 hereof; and

          (iv) to pay to the Trustee earnings on or investment income with
respect to funds in or credited to the Certificate Account.

     SECTION 3.09. [RESERVED]

     SECTION 3.10. Maintenance of Hazard Insurance

     The Servicer shall cause to be maintained, for each first lien Mortgage
Loan, hazard insurance with extended coverage in an amount, to the extent
permitted by applicable law, that is at least equal to the lesser of (i) the
estimated replacement value of the improvements that are part of such Mortgaged
Property which may be the last known coverage, or (ii) the greater of (a) the
outstanding principal balance of the Mortgage Loan and (b) an amount such that
the proceeds of such policy shall be sufficient to prevent the related Mortgagor
and/or mortgagee from becoming a co-insurer or (iii) the amount required under
applicable HUD/FHA regulations. Each such policy of standard hazard insurance
shall contain, or have an accompanying endorsement that contains, a standard
mortgagee clause. The Servicer shall also cause flood insurance to be maintained
on property acquired upon foreclosure or deed in lieu of foreclosure of any
Mortgage Loan, to the extent required under the standards described below.
Pursuant to Section 3.05 hereof, any amounts collected by the Servicer under any
such policies (other than the

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<PAGE>

amounts to be applied to the restoration or repair of the related Mortgaged
Property or property thus acquired or amounts released to the Mortgagor in
accordance with the Servicer's normal servicing procedures) shall be deposited
in the Collection Account. Any cost incurred by the Servicer in maintaining any
such insurance shall not, for the purpose of calculating monthly distributions
to the Certificateholders or remittances to the Trustee for their benefit, be
added to the principal balance of the Mortgage Loan, notwithstanding that the
terms of the Mortgage Loan so permit. Such costs shall be recoverable by the
Servicer out of late payments by the related Mortgagor or out of Liquidation
Proceeds to the extent and as otherwise permitted by Section 3.08 hereof. It is
understood and agreed that no earthquake or other additional insurance is to be
required of any Mortgagor or maintained on property acquired in respect of a
Mortgage other than pursuant to such applicable laws and regulations as shall at
any time be in force and as shall require such additional insurance. If a first
lien Mortgaged Property is located at the time of origination of the Mortgage
Loan in a federally designated special flood hazard area and such area is
participating in the national flood insurance program, the Servicer shall cause
flood insurance to be maintained with respect to such Mortgage Loan. Such flood
insurance shall be in an amount equal to the lesser of (i) the outstanding
principal balance of the related Mortgage Loan, (ii) the estimated replacement
value of the improvements that are part of such Mortgaged Property which may be
the last known coverage, or (iii) the maximum amount of such insurance available
for the related Mortgaged Property under the Flood Disaster Protection Act of
1973, as amended.

     In the event that the Servicer shall obtain and maintain a blanket policy
insuring against hazard losses on all of the Mortgage Loans, it shall
conclusively be deemed to have satisfied its obligations as set forth in the
first sentence of this Section 3.10, it being understood and agreed that such
policy may contain a deductible clause on terms substantially equivalent to
those commercially available and maintained by comparable servicers. If such
policy contains a deductible clause, the Servicer shall, in the event that there
shall not have been maintained on the related Mortgaged Property a policy
complying with the first sentence of this Section 3.10, and there shall have
been a loss that would have been covered by such policy, deposit in the
Collection Account the amount not otherwise payable under the blanket policy
because of such deductible clause. In connection with its activities as servicer
of the Mortgage Loans, the Servicer agrees to present, on behalf of itself, the
Depositor and the Trustee for the benefit of the Certificateholders, claims
under any such blanket policy.

     SECTION 3.11. Enforcement of Due-On-Sale Clauses; Assumption Agreements

     When a Mortgaged Property has been or is about to be conveyed by the
Mortgagor, the Servicer shall, except as set forth below, to the extent it has
knowledge of such conveyance or prospective conveyance, exercise its rights to
accelerate the maturity of the related Mortgage Loan under any "due-on-sale"
clause contained in the related Mortgage or Mortgage Note; provided, however,
that the Servicer shall not exercise any such right if the "due-on-sale" clause,
in the reasonable belief of the Servicer, is not enforceable under applicable
law; provided, further, that the Servicer shall not take any action in relation
to the enforcement of any "due-on-sale" clause that would adversely affect or
jeopardize coverage under any Required Insurance Policy. In such event, the
Servicer shall make reasonable efforts to enter into an assumption and
modification agreement with the Person to whom such property has been or is
about to be conveyed, pursuant to which such Person becomes liable under the
Mortgage Note and, unless prohibited by applicable law or the Mortgage, the
Mortgagor remains liable thereon. If the foregoing is not permitted under
applicable law, the Servicer is authorized to enter into a substitution of
liability agreement with such Person, pursuant to which the original Mortgagor
is released from liability and such Person is substituted as Mortgagor and
becomes liable under the Note. In addition to the foregoing, the Servicer shall
not be required to enforce any "due-on-sale" clause in accordance with Accepted
Servicing

                                      -97-

<PAGE>

Practices, if in the reasonable judgment of the Servicer not entering into an
assumption and modification agreement with a Person to whom such property shall
be conveyed and releasing the original Mortgagor from liability would be in the
best interests of the Certificateholders. The Mortgage Loan, as assumed, shall
conform in all respects to the requirements, representations and warranties of
this Agreement. The Servicer shall notify the Trustee that any such assumption
or substitution agreement has been completed by forwarding to the Trustee the
original copy of such assumption or substitution agreement (indicating the
Mortgage File to which it relates), which copy shall be added by the Trustee to
the related Mortgage File and which shall, for all purposes, be considered a
part of such Mortgage File to the same extent as all other documents and
instruments constituting a part thereof. The Servicer shall be responsible for
recording any such assumption or substitution agreements. In connection with any
such assumption or substitution agreement, the Monthly Payment on the related
Mortgage Loan shall not be changed but shall remain as in effect immediately
prior to the assumption or substitution, the stated maturity or outstanding
principal amount of such Mortgage Loan shall not be changed nor shall any
required monthly payments of principal or interest be deferred or forgiven. Any
fee collected by the Servicer for consenting to any such conveyance or entering
into an assumption or substitution agreement shall be retained by or paid to the
Servicer as additional servicing compensation.

     Notwithstanding the foregoing paragraph or any other provision of this
Agreement, the Servicer shall not be deemed to be in default, breach or any
other violation of its obligations hereunder by reason of any assumption of a
Mortgage Loan by operation of law or any transfer or assumption which the
Servicer reasonably believes, in accordance with Accepted Servicing Practices,
it is restricted by law from preventing, for any reason whatsoever.

     SECTION 3.12. Realization Upon Defaulted Mortgage Loans; Determination of
Excess Proceeds; Special Loss Mitigation

          (a) The Servicer shall use reasonable efforts consistent with the
servicing standard set forth in Section 3.01 to foreclose upon or otherwise
comparably convert the ownership of properties securing such of the Mortgage
Loans as come into and continue in default and as to which no satisfactory
arrangements can be made for collection of Delinquent payments. In connection
with such foreclosure or other conversion, the Servicer shall follow such
practices and procedures as it shall deem necessary or advisable and as shall be
normal and usual in its general mortgage servicing activities and the
requirements of the insurer under any Required Insurance Policy; provided,
however, that the Servicer shall not be required to expend its own funds in
connection with the restoration of any property that shall have suffered damage
due to an uninsured cause unless it shall determine (i) that such restoration
will increase the proceeds of liquidation of the Mortgage Loan after
reimbursement to itself of such expenses and (ii) that such expenses will be
recoverable to it through Liquidation Proceeds (respecting which it shall have
priority for purposes of withdrawals from the Collection Account pursuant to
Section 3.08 hereof). The Servicer shall be responsible for all other costs and
expenses incurred by it in any such proceedings; provided, however, that it
shall be entitled to reimbursement thereof from the proceeds of liquidation of
the related Mortgaged Property and, if applicable, as a Non-Recoverable
Servicing Advance, as contemplated in Section 3.08 hereof.

     With respect to any REO Property, the deed or certificate of sale shall be
taken in the name of the Trustee, on behalf of the Certificateholders, or its
nominee (which nominee shall not be the Servicer). Pursuant to its efforts to
sell such REO Property, the Servicer shall either itself or through an agent
selected by the Servicer protect and conserve such REO Property in the same
manner and to such extent as is customary in the locality where such REO
Property is located and may, incident to its conservation

                                      -98-

<PAGE>

and protection of the interests of the Certificateholders, rent the same, or any
part thereof, as the Servicer deems to be in the best interest of the Servicer
and the Certificateholders for the period prior to the sale of such REO
Property. The Servicer or an Affiliate thereof may receive usual and customary
real estate referral fees for real estate brokers in connection with the listing
and disposition of REO Property. The Servicer shall prepare a statement with
respect to each REO Property that has been rented showing the aggregate rental
income received and all expenses incurred in connection with the management and
maintenance of such REO Property at such times as is necessary to enable the
Servicer to comply with the reporting requirements of the REMIC Provisions. The
net monthly rental income, if any, from such REO Property shall be deposited in
the Collection Account no later than the close of business on each Determination
Date. The Servicer shall perform the tax reporting and withholding related to
foreclosures, abandonments and cancellation of indebtedness income as specified
by Sections 1445, 6050J and 6050P of the Code by preparing and filing such tax
and information returns, as may be required.

     In the event that the Issuing Entity acquires any Mortgaged Property as
aforesaid or otherwise in connection with a default or imminent default on a
Mortgage Loan, the Servicer shall dispose of such Mortgaged Property prior to
the expiration of three years from the end of the year of its acquisition by the
Issuing Entity or, at the expense of the Issuing Entity, obtain, in accordance
with applicable procedures for obtaining an automatic extension of the grace
period, more than sixty (60) days prior to the day on which such three-year
period would otherwise expire, an extension of the three-year grace period, in
which case such property must be disposed of prior to the end of such extension,
unless the Trustee and the NIMs Insurer shall have been supplied with an Opinion
of Counsel addressed to the Trustee (such Opinion of Counsel not to be an
expense of the Trustee or the NIMs Insurer), to the effect that the holding by
the Issuing Entity of such Mortgaged Property subsequent to such three-year
period or extension will not result in the imposition of taxes on "prohibited
transactions" of the Issuing Entity or any of the REMICs provided for herein as
defined in section 860F of the Code or cause any of the REMICs provided for
herein to fail to qualify as a REMIC at any time that any Certificates are
outstanding, in which case the Issuing Entity may continue to hold such
Mortgaged Property (subject to any conditions contained in such Opinion of
Counsel). Notwithstanding any other provision of this Agreement, no Mortgaged
Property acquired by the Issuing Entity shall be held, rented (or allowed to
continue to be rented) or otherwise used for the production of income by or on
behalf of the Issuing Entity in such a manner or pursuant to any terms that
would (i) cause such Mortgaged Property to fail to qualify as "foreclosure
property" within the meaning of section 860G(a)(8) of the Code or (ii) subject
the Issuing Entity or any REMIC provided for herein to the imposition of any
federal, state or local income taxes on the income earned from such Mortgaged
Property under section 860G(c) of the Code or otherwise, unless the Servicer or
the Depositor has agreed to indemnify and hold harmless the Trustee and the
Issuing Entity with respect to the imposition of any such taxes. The Servicer
shall have no liability for any losses resulting from a foreclosure on a second
lien Mortgage Loan in connection with the foreclosure of the related first lien
mortgage loan that is not a Mortgage Loan if the Servicer does not receive
notice of such foreclosure action.

     The decision of the Servicer to foreclose on a defaulted Mortgage Loan
shall be subject to a determination by the Servicer that the proceeds of such
foreclosure would exceed the costs and expenses of bringing such a proceeding.
The income earned from the management of any Mortgaged Properties acquired
through foreclosure or other judicial proceeding, net of reimbursement to the
Servicer for expenses incurred (including any property or other taxes) in
connection with such management and net of unreimbursed Servicing Fees,
Advances, Servicing Advances and any management fee paid or to be paid with
respect to the management of such Mortgaged Property, shall be applied to the
payment of principal of, and interest on, the related defaulted Mortgage Loans
(with interest accruing as though such Mortgage

                                      -99-

<PAGE>

Loans were still current) and all such income shall be deemed, for all purposes
in this Agreement, to be payments on account of principal and interest on the
related Mortgage Notes and shall be deposited into the Collection Account. To
the extent the income received during a Prepayment Period is in excess of the
amount attributable to amortizing principal and accrued interest at the related
Mortgage Rate on the related Mortgage Loan, such excess shall be considered to
be a partial Principal Prepayment for all purposes hereof.

     Notwithstanding the foregoing provisions of this Section 3.12 or any other
provision of this Agreement, with respect to any Mortgage Loan as to which the
assistant vice president for foreclosures or the vice president of default
management of the Servicer has actual knowledge (which shall not be presumed due
to any documents received by the Servicer) of, the presence of any toxic or
hazardous substance on the related Mortgaged Property, the Servicer shall not,
on behalf of the Trustee, either (i) obtain title to such Mortgaged Property as
a result of or in lieu of foreclosure or otherwise, or (ii) otherwise acquire
possession of, or take any other action with respect to, such Mortgaged
Property, if, as a result of any such action, the Trustee, the Issuing Entity or
the Certificateholders would be considered to hold title to, to be a
"mortgagee-in-possession" of, or to be an "owner" or "operator" of such
Mortgaged Property within the meaning of the Comprehensive Environmental
Response, Compensation and Liability Act of 1980, as amended from time to time,
or any comparable law, unless the Servicer believes, based on its reasonable
judgment and a report prepared by a Person who regularly conducts environmental
audits using customary industry standards, that:

     (1) such Mortgaged Property is in material compliance with applicable
environmental laws or, if not, that it would be in the best economic interest of
the Issuing Entity to take such actions as are necessary to bring the Mortgaged
Property into compliance therewith; and

     (2) it is probable that there are no circumstances present at such
Mortgaged Property relating to the use, management or disposal of any hazardous
substances, hazardous materials, hazardous wastes, or petroleum-based materials
for which additional investigation, testing, monitoring, containment, clean-up
or remediation could be required under any federal, state or local law or
regulation, or that if any such materials are present for which such action
could be required, that it would be in the best economic interest of the Issuing
Entity to take such actions with respect to the affected Mortgaged Property.

     The Servicer shall forward a copy of the environmental audit report to the
Depositor and the Trustee. The cost of the environmental audit report
contemplated by this Section 3.12 shall be advanced by the Servicer, subject to
the Servicer's right to be reimbursed therefor from the Collection Account, such
right of reimbursement being prior to the rights of Certificateholders to
receive any amount in the Collection Account received in respect of the affected
Mortgage Loan or other Mortgage Loans.

     If the Servicer determines, as described above, that it is in the best
economic interest of the Issuing Entity to take such actions as are necessary to
bring any such Mortgaged Property into compliance with applicable environmental
laws, or to take such action with respect to the containment, clean-up or
remediation of hazardous substances, hazardous materials, hazardous wastes or
petroleum-based materials affecting any such Mortgaged Property, then the
Servicer may take such action as it deems to be in the best economic interest of
the Issuing Entity; provided that any amounts disbursed by the Servicer pursuant
to this Section 3.12 shall constitute Advances. The cost of any such compliance,
containment, clean-up or remediation shall be advanced by the Servicer, subject
to the Servicer's right to be reimbursed therefor from the Collection Account,
such right of reimbursement being prior to the rights of Certificateholders to
receive any amount in the Collection Account received in respect of the affected

                                      -100-

<PAGE>

Mortgage Loan or other Mortgage Loans. If the Servicer decides not to take such
action, it may not obtain title to such Mortgaged Property.

     The Liquidation Proceeds from any liquidation of a Mortgage Loan, net of
any payment to the Servicer as provided above, shall be deposited in the
Collection Account on the next succeeding Determination Date following receipt
thereof for distribution on the related Distribution Date.

     The proceeds of any Liquidated Loan, as well as any recovery resulting from
a partial collection of Liquidation Proceeds, will be applied as between the
parties in the following order of priority: first, to reimburse the Servicer for
any related unreimbursed Servicing Advances and unpaid Servicing Fees, pursuant
to Section 3.08(a)(vii) or this Section 3.12; second, to reimburse the Servicer
for any unreimbursed Advances, pursuant to Section 3.08(a)(ii) or this Section
3.12; third, to accrued and unpaid interest (to the extent no Advance has been
made for such amount) on the Mortgage Loan, at the applicable Net Mortgage Rate
to the Due Date occurring in the month in which such amounts are required to be
distributed; fourth, as a recovery of principal of the Mortgage Loan; and fifth,
to any prepayment charges.

     The proceeds of any net income from an REO Property will be applied as
between the parties in the following order of priority: first, to reimburse the
Servicer for any related unreimbursed Servicing Advances and unpaid Servicing
Fees, pursuant to Section 3.08(a)(vii) or this Section 3.12; second, to
reimburse the Servicer for any unreimbursed Advances, pursuant to Section
3.08(a)(ii) or this Section 3.12; third, as a recovery of principal; and fourth,
to accrued and unpaid interest (to the extent no Advance has been made for such
amount) on the related REO Property, at the applicable Net Mortgage Rate to the
Due Date occurring in the month in which such amounts are required to be
distributed.

          (b) On each Determination Date, the Servicer shall determine the
respective aggregate amounts of Excess Proceeds, if any, that occurred in the
related Prepayment Period.

          (c) [Reserved].

          (d) With respect to such of the Mortgage Loans as come into and
continue in default, the Servicer will decide, in its reasonable business
judgment, whether to (i) foreclose upon the Mortgaged Properties securing those
Mortgage Loans pursuant to Section 3.12(a), (ii) write off the unpaid principal
balance of the Mortgage Loans as bad debt (provided that the Servicer has
determined that no net recovery is possible through foreclosure proceedings or
other liquidation of the related Mortgaged Property), (iii) take a deed in lieu
of foreclosure, (iv) accept a short sale or short refinance; (v) arrange for a
repayment plan or refinancing, or (vi) agree to a modification of such Mortgage
Loan. As to any Mortgage Loan that becomes 120 days delinquent, the Servicer may
obtain a broker's price opinion, the cost of which will be reimbursable as a
Servicing Advance. After obtaining the broker's price opinion, the Servicer will
determine, in its reasonable business judgment, whether a net recovery is
possible through foreclosure proceedings or other liquidation of the related
Mortgage Property. If the Servicer determines that no such recovery is possible,
it must charge off the related Mortgage Loan at the time it becomes 180 days
delinquent. Once a Mortgage Loan has been charged off, the Servicer will
discontinue making Advances, the Servicer will not be entitled to future
Servicing Fees (except as provided below) with respect to such Mortgage Loan,
and the Mortgage Loan will be treated as a Liquidated Mortgage Loan. If the
Servicer determines that such net recovery is possible through foreclosure
proceedings or other liquidation of the related Mortgaged Property on a Mortgage
Loan that becomes 180 days delinquent, the Servicer will continue to be entitled
to Servicing Fees, the Servicer need not charge off

                                      -101-

<PAGE>

such Mortgage Loan and may continue making Advances, and the Servicer will be
required to notify the Trustee of such decision.

          (e) Any Mortgage Loan that is charged off, pursuant to (d) above, may
continue to be serviced by the Servicer for the Certificateholders using
specialized collection procedures (including foreclosure, if appropriate). The
Servicer will be entitled to Servicing Fees and reimbursement of expenses in
connection with such Mortgage Loans after the date of charge off, only to the
extent of funds available from any recoveries on any such Mortgage Loans. Any
such Mortgage Loans serviced in accordance with the specialized collection
procedures shall be serviced for approximately six months. Any net recoveries
received on such Mortgage Loans during such six month period will be treated as
Subsequent Recoveries. On the date that is six months after the date on which
the Servicer begins servicing such Mortgage Loans using the specialized
collection procedures, unless specific net recoveries are anticipated by the
Servicer on a particular Mortgage Loan, such charged off loan will be released
to the majority holder of the Class C Certificates and thereafter, (i) the
majority holder of the Class C Certificates (as identified with contact
information in writing to the Servicer by the Depositor) will be entitled to any
amounts subsequently received in respect of any such released loans, subject to
a servicing fee, (ii) the servicing thereof and the servicing fee shall be
pursuant to a servicing agreement between the Depositor and the Servicer if the
Servicer continues to service such loan, (iii) the majority holder of the Class
C Certificates may designate any servicer to service any such released loan and
(iv) the majority holder of the Class C Certificates may sell any such released
loan to a third party.

     SECTION 3.13. Trustee to Cooperate; Release of Mortgage Files

     Upon the payment in full of any Mortgage Loan, or the receipt by the
Servicer of a notification that payment in full will be escrowed in a manner
customary for such purposes, the Servicer will promptly notify the Trustee or
its custodian by delivering a Request for Release substantially in the form of
Exhibit I. Upon receipt of a copy of such request, the Trustee or its custodian
shall promptly release the related Mortgage File to the Servicer, the cost of
which may be charged to the Servicer by the Trustee, and the Servicer is
authorized to cause the removal from the registration on the MERS System of any
such Mortgage if applicable, and the Servicer, on behalf of the Trustee shall
execute and deliver the request for reconveyance, deed of reconveyance or
release or satisfaction of mortgage or such instrument releasing the lien of the
Mortgage together with the Mortgage Note with written evidence of cancellation
thereon. Expenses incurred in connection with any instrument of satisfaction or
deed of reconveyance shall be chargeable to the Mortgagor to the extent
permitted by law, and otherwise to the Trust Fund to the extent such expenses
constitute "unanticipated expenses" within the meaning of Treasury Regulations
Section 1.860G-(1)(b)(3)(ii). From time to time and as shall be appropriate for
the servicing or foreclosure of any Mortgage Loan, including for collection
under any policy of flood insurance, any fidelity bond or errors or omissions
policy, or for the purposes of effecting a partial release of any Mortgaged
Property from the lien of the Mortgage or the making of any corrections to the
Mortgage Note or the Mortgage or any of the other documents included in the
Mortgage File, the Trustee or its custodian shall, upon delivery to the Trustee
or its custodian of a Request for Release in the form of Exhibit I signed by a
Servicing Officer, release the Mortgage File to the Servicer, and the cost of
delivery of the Mortgage File may be charged to the Servicer by the Trustee.
Subject to the further limitations set forth below, the Servicer shall cause the
Mortgage File or documents so released to be returned to the Trustee or its
custodian when the need therefor by the Servicer no longer exists, unless the
Mortgage Loan is liquidated and the proceeds thereof are deposited in the
Collection Account.

                                      -102-

<PAGE>

     Each Request for Release may be delivered to the Trustee or its custodian
(i) via mail or courier, (ii) via facsimile or (iii) by such other means,
including, without limitation, electronic or computer readable medium, as the
Servicer and the Trustee or its custodian shall mutually agree. The Trustee or
its custodian shall release the related Mortgage File(s) within four Business
Days of receipt of a properly completed Request for Release pursuant to clauses
(i), (ii) or (iii) above. Receipt of a properly completed Request for Release
shall be authorization to the Trustee or its custodian to release such Mortgage
Files, provided the Trustee or its custodian has determined that such Request
for Release has been executed, with respect to clauses (i) or (ii) above, or
approved, with respect to clause (iii) above, by an authorized Servicing Officer
of the Servicer, and so long as the Trustee or its custodian complies with its
duties and obligations under this Agreement. If the Trustee or its custodian is
unable to release the Mortgage Files within the period previously specified, the
Trustee or its custodian shall immediately notify the Servicer indicating the
reason for such delay. The Servicer shall not pay penalties or damages due to
the Trustee's or its designee's negligent failure to release the related
Mortgage File or the Trustee's or its designee's negligent failure to execute
and release documents in a timely manner, and such amounts shall be Servicer
Advances.

     On each day that the Servicer remits to the Trustee or its custodian
Requests for Releases pursuant to clauses (ii) or (iii) above, the Servicer
shall also submit to the Trustee or its custodian a summary of the total number
of such Requests for Releases requested on such day by the same method as
described in such clauses (ii) and (iii) above.

     If the Servicer at any time seeks to initiate a foreclosure proceeding in
respect of any Mortgaged Property as authorized by this Agreement, the Servicer
may deliver or cause to be delivered to the Trustee for signature, or on behalf
of the Trustee execute, any court pleadings, requests for trustee's sale or
other documents necessary to effectuate such foreclosure or any legal action
brought to obtain judgment against the Mortgagor on the Mortgage Note or the
Mortgage or to obtain a deficiency judgment or to enforce any other remedies or
rights provided by the Mortgage Note or the Mortgage or otherwise available at
law or in equity. Notwithstanding the foregoing, the Servicer shall cause
possession of any Mortgage File or of the documents therein that shall have been
released by the Trustee to be returned to the Trustee promptly after possession
thereof shall have been released by the Trustee unless (i) the Mortgage Loan has
been liquidated and the Liquidation Proceeds relating to the Mortgage Loan have
been deposited in the Collection Account, and the Servicer shall have delivered
to the Trustee a Request for Release in the form of Exhibit I or (ii) the
Mortgage File or document shall have been delivered to an attorney or to a
public trustee or other public official as required by law for purposes of
initiating or pursuing legal action or other proceedings for the foreclosure of
the Mortgaged Property and the Servicer shall have delivered to the Trustee an
Officer's Certificate of a Servicing Officer certifying as to the name and
address of the Person to which the Mortgage File or the documents therein were
delivered and the purpose or purposes of such delivery.

     The Servicer shall not have any liability for and shall be excused from the
performance of the Agreement to the extent the Servicer is unable to perform due
to the Trustee's or the Custodian's failure to release the related Mortgage File
or the Trustee's or the Custodian's failure to execute and release documents in
a timely manner.

     SECTION 3.14. Documents, Records and Funds in Possession of Servicer to be
Held for the Trustee.

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<PAGE>

     All Mortgage Files and funds collected or held by, or under the control of,
the Servicer in respect of any Mortgage Loans, whether from the collection of
principal and interest payments or from Liquidation Proceeds, including but not
limited to, any funds on deposit in the Collection Account, shall be held by the
Servicer for and on behalf of the Trustee and shall be and remain the sole and
exclusive property of the Trust Fund, subject to the applicable provisions of
this Agreement. The Servicer also agrees that it shall not create, incur or
subject any Mortgage File or any funds that are deposited in the Collection
Account, Certificate Account or in any Escrow Account, or any funds that
otherwise are or may become due or payable to the Trustee for the benefit of the
Certificateholders, to any claim, lien, security interest, judgment, levy, writ
of attachment or other encumbrance, or assert by legal action or otherwise any
claim or right of set off against any Mortgage File or any funds collected on,
or in connection with, a Mortgage Loan, except, however, that the Servicer shall
be entitled to set off against and deduct from any such funds any amounts that
are properly due and payable to the Servicer under this Agreement.

     SECTION 3.15. Servicing Compensation

     As compensation for its activities hereunder, the Servicer shall be
entitled to retain or withdraw from the Collection Account out of each payment
or recovery of interest on a Mortgage Loan included in the Trust Fund an amount
equal to interest at the applicable Servicing Fee Rate on the Stated Principal
Balance of the related Mortgage Loan as of the immediately preceding
Distribution Date.

     Additional servicing compensation in the form of any Excess Proceeds, late
payment fees, assumption fees (i.e. fees related to the assumption of a Mortgage
Loan upon the purchase of the related Mortgaged Property) and similar fees
payable by the Mortgagor, Prepayment Interest Excess, all income and gain net of
any losses realized from Permitted Investments in the Collection Account, and
any other benefits arising from the Collection Account and the Escrow Account
shall be retained by the Servicer to the extent not required to be deposited in
the Collection Account and the Escrow Account pursuant to Sections 3.05, 3.06 or
3.12(a) hereof. The Servicer shall be required to pay all expenses incurred by
it in connection with its servicing activities hereunder and shall not be
entitled to reimbursement therefor except as specifically provided in this
Agreement. In no event shall the Trustee be liable for any Servicing Fee or for
any differential between the Servicing Fee and the amount necessary to induce a
successor servicer to act as successor servicer under this Agreement.

     SECTION 3.16. Access to Certain Documentation

     The Servicer shall provide to the OTS and the FDIC and to comparable
regulatory authorities supervising Holders of the Certificates and the examiners
and supervisory agents of the OTS, the FDIC and such other authorities, as
applicable, access to the documentation regarding the Mortgage Loans required by
applicable regulations of the OTS and the FDIC. Such access shall be afforded
without charge, but only upon reasonable and prior written request and during
normal business hours at the offices of the Servicer designated by it provided,
that the Servicer shall be entitled to be reimbursed by each such
Certificateholder for actual expenses incurred by the Servicer in providing such
reports and access. Nothing in this Section shall limit the obligation of the
Servicer to observe any applicable law prohibiting disclosure of information
regarding the Mortgagors and the failure of the Servicer to provide access as
provided in this Section as a result of such obligation shall not constitute a
breach of this Section. The Servicer shall provide to the Trustee access to its
records regarding the Mortgage Loans upon reasonable prior notice and during
regular business hours.

                                      -104-

<PAGE>

     SECTION 3.17. Annual Statement as to Compliance

     Not later than (a) March 12 of each calendar year (other than the calendar
year during which the Closing Date occurs) or (b) with respect to any calendar
year during which an annual report on Form 10-K is not required to be filed
pursuant to Section 3.20 on behalf of the Issuing Entity, by April 15 of each
calendar year (or if such day is not a Business Day, the immediately succeeding
Business Day), the Servicer shall deliver to the Trustee and the Depositor, an
Officer's Certificate in the form attached hereto as Exhibit U stating, as to
each signatory thereof, that (i) a review of the activities of the Servicer
during the preceding calendar year and of the performance of the Servicer under
this Agreement has been made under such officer's supervision, and (ii) to the
best of such officer's knowledge, based on such review, such Servicer has
fulfilled all its obligations under this Agreement in all material respects
throughout such year or a portion thereof, or, if there has been a failure to
fulfill any such obligation in any material respect, specifying each such
failure known to such officer and the nature and status thereof. With respect to
any Subservicer that meets the criteria of Item 1108(a)(2)(i) through (iii) of
Regulation AB, the Servicer shall deliver, on behalf of that Subservicer, the
Officer's Certificate set forth in this Section 3.17 as and when required with
respect to such Subservicer.

     SECTION 3.18. Annual Independent Public Accountants' Servicing Statement;
Financial Statements

          (a) Not later than (i) March 12 of each calendar year (other than the
calendar year during which the Closing Date occurs) or (ii) with respect to any
calendar year during which an annual report on Form 10-K is not required to be
filed pursuant to Section 3.20 on behalf of the Issuing Entity, by April 15 of
each calendar year (or if such day is not a Business Day, the immediately
succeeding Business Day), the Servicer, at its own expense, shall deliver to the
Trustee and the Depositor an officer's assessment of its compliance with the
Servicing Criteria during the preceding calendar year as required by Rules
13a-18 and 15d-18 of the Exchange Act and Item 1122 of Regulation AB (the
"Assessment of Compliance"), which assessment shall be substantially in the form
of Exhibit R hereto.

          (b) Not later than (i) March 12 of each calendar year (other than the
calendar year during which the Closing Date occurs) or (ii) with respect to any
calendar year during which an annual report on Form 10-K is not required to be
filed pursuant to Section 3.20 on behalf of the Issuing Entity, April 15 of each
calendar year (or if such day is not a Business Day, the immediately succeeding
Business Day), the Servicer, at its own expense, shall cause a nationally or
regionally recognized firm of independent registered public accountants (who may
also render other services to any Servicer, the Sponsor or any Affiliate
thereof) which is a member of the American Institute of Certified Public
Accountants to furnish a statement to be provided to the Trustee and the
Depositor that attests to and reports on the Assessment of Compliance provided
by such Servicer pursuant to Section 3.18(a) (the "Accountant's Attestation").
Such Accountant's 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.

          (c) The Servicer shall deliver on behalf of any Subservicer and each
Subcontractor (unless, in the case of any Subcontractor, the Depositor has
notified the Servicer and the Trustee in writing that such compliance statement
is not required by Regulation AB) not later than March 12 of each calendar year
(other than the calendar year during which the Closing Date occurs) with respect
to any calendar year during which the Issuing Entity's annual report on Form
10-K is required to be filed in accordance with the Exchange Act and the rules
and regulations of the Commission, to the Trustee and the Depositor an
Assessment of Compliance, which assessment shall be substantially in the form of

                                      -105-

<PAGE>

Exhibit R hereto. The Servicer shall deliver on behalf of any Subservicer (other
than the calendar year during which the Closing Date occurs) with respect to any
calendar year during which the Issuing Entity's annual report on Form 10-K is
not required to be filed in accordance with the Exchange Act and the rules and
regulations of the Commission, by April 15 of each calendar year (or, in each
case, if such day is not a Business Day, the immediately succeeding Business
Day) to the Trustee and the Depositor an Assessment of Compliance, which
assessment shall be substantially in the form of Exhibit R hereto.

          (d) Not later than March 12 of each calendar year (other than the
calendar year during which the Closing Date occurs) with respect to any calendar
year during which the Issuing Entity's annual report on Form 10-K is required to
be filed in accordance with the Exchange Act and the rules and regulations of
the Commission, the Servicer shall cause each Subservicer and each Subcontractor
(unless, in the case of any Subcontractor, the Depositor has notified the
Trustee and Servicer in writing that such compliance statement is not required
by Regulation AB) to provide for delivery to the Trustee and the Depositor an
Accountant's Attestation by a registered public accounting firm that attests to,
and reports on, the Assessment of Compliance pursuant to Section 3.18(c) above.
Other than the calendar year during which the Closing Date occurs, with respect
to any calendar year during which the Issuing Entity's annual report on Form
10-K is not required to be filed in accordance with the Exchange Act and the
rules and regulations of the Commission, not later than April 15 of each
calendar year (or, in each case, if such day is not a Business Day, the
immediately succeeding Business Day), the Servicer shall cause each Subservicer
to provide for delivery to the Trustee and the Depositor an Accountant's
Attestation by a registered public accounting firm that attests to, and reports
on, the Assessment of Compliance pursuant to Section 3.18(c) above.

          (e) Not later than, with respect to any calendar year during which the
Issuing Entity's annual report on Form 10K is required to be filed in accordance
with the Exchange Act and the rules and regulations of the Commission, 15
calendar days before the date on which the Issuing Entity's annual report on
Form 10-K with respect to the transactions contemplated by this Agreement is
required to be filed in accordance with the Exchange Act and the rules and
regulations of the Commission (or, in each case, if such day is not a Business
Day, the immediately preceding Business Day), the Trustee shall deliver to the
Depositor and the Servicer an Assessment of Compliance with regard to the
Servicing Criteria applicable to the Trustee during the preceding calendar year.

          (f) Not later than, with respect to any calendar year during which the
Issuing Entity's annual report on Form 10K is required to be filed in accordance
with the Exchange Act and the rules and regulations of the Commission, 15
calendar days before the date on which the Issuing Entity's annual report on
Form 10-K with respect to the transactions contemplated by this Agreement is
required to be filed in accordance with the Exchange Act and the rules and
regulations of the Commission (or, in each case, if such day is not a Business
Day, the immediately preceding Business Day), the Trustee shall deliver to the
Depositor and the Servicer an Accountant's Attestation by a registered public
accounting firm that attests to, and reports on, the Assessment of Compliance
pursuant to Section 3.18(e) above.

          (g) Not later than, with respect to any calendar year during which the
Issuing Entity's annual report on Form 10-K is required to be filed in
accordance with the Exchange Act and the rules and regulations of the
Commission, fifteen (15) calendar days before the date on which the Issuing
Entity's annual report on Form 10-K is required to be filed in accordance with
the Exchange Act and the rules and regulations of the Commission (or, in each
case, if such day is not a Business Day, the immediately preceding Business
Day), the Depositor shall cause each custodian, if any, to deliver to the

                                      -106-

<PAGE>

Depositor, the Servicer and the Trustee an Assessment of Compliance with regard
to the Servicing Criteria applicable to such custodian during the preceding
calendar year.

          (h) Not later than March 12, (or, in each case, if such day is not a
Business Day, the immediately succeeding Business Day), of any calendar year
(other than the calendar year during which the Closing Date occurs) during which
the Issuing Entity's annual report on Form 10-K is required to be filed in
accordance with the Exchange Act and the rules and regulations of the
Commission, the Depositor shall cause each custodian, if any, to deliver to the
Depositor, the Servicer and the Trustee an Accountant's Attestation by a
registered public accounting firm that attests to, and reports on, the
Assessment of Compliance pursuant to Section 3.18(g) above.

          (i) [Reserved].

          (j) [Reserved].

          (k) The Trustee agrees to require any custodian appointed by it to
indemnify and hold harmless the Trustee, the Depositor and the Servicer and each
Person, if any, who "controls" the Trustee, the Depositor or the Servicer within
the meaning of the Securities Act and its officers, directors and Affiliates
from and against any losses, damages, penalties, fines, forfeitures, reasonable
and necessary legal fees and related costs, judgments and other costs and
expenses that such Person may sustain arising out of third party claims based on
(i) the failure of the custodian, if any, to deliver when required any
information required of it pursuant to Section 3.18 or 3.20 or (ii) any material
misstatement or omission contained in any information provided on its behalf
pursuant to Section 3.18 or 3.20.

          (l) Copies of such Assessments of Compliance and Accountant's
Attestations shall be available on the Trustee's website www.etrustee.net to any
Certificateholder, provided such statement is delivered to the Trustee. The
initial Assessments of Compliance and Accountant's Attestations required
pursuant to this Section 3.18 shall be delivered to the Trustee, and the
Depositor, as applicable, by each party no later than March 12, 2008.

          (m) Each of the parties hereto acknowledges and agrees that the
purpose of this Section 3.18 is to facilitate compliance by the Sponsor and the
Depositor with the provisions of Regulation AB, as such may be amended or
clarified from time to time. Therefore, each of the parties agrees that the
parties' obligations hereunder will be supplemented and modified as necessary to
be consistent with any such amendments, interpretive advice or guidance,
convention or consensus among active participants in the asset-backed securities
markets, advice of counsel, or otherwise in respect of the requirements of
Regulation AB and the parties shall comply with requests made by the Sponsor or
the Depositor for delivery of additional or different information as the Sponsor
or the Depositor may determine in good faith is necessary to comply with the
provisions of Regulation AB, provided that such information is available to such
party without unreasonable effort or expense and within such timeframe as may be
reasonably requested. Any such supplementation or modification shall be made in
accordance with Section 10.01 without the consent of the Certificateholders, and
may result in a change in the reports filed by the Trustee on behalf of the
Issuing Entity under the Exchange Act.

     SECTION 3.19. Subordination of Liens

     In connection with any governmental program under which a Mortgagor may
obtain a benefit in the event the related Mortgaged Property is subject to a
disaster provided that the Mortgagor files a

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<PAGE>

covenant or other lien against the Mortgaged Property and is required to obtain
the subordination thereto of the Mortgage, the Servicer may cause such
subordination to be executed and filed provided that either (i) the related
Mortgage Loan is in default or, in the Servicer's best judgment, default with
respect to such Mortgage Loan is imminent or (ii) such subordination and
participation in such governmental program will not result in a change in
payment expectations with respect to such Mortgage Loan. For purposes of the
preceding sentence, a change in payment expectations occurs if, as a result of
such subordination and participation in such governmental program, (1) there is
a substantial enhancement of the Mortgagor's capacity to meet the payment
obligations under the Mortgage Loan and that capacity was primarily speculative
prior to such subordination and participation in such governmental program and
is adequate after such subordination and participation in such governmental
program or (2) there is a substantial impairment of the Mortgagor's capacity to
meet the payment obligations under the Mortgage Loan and that capacity was
adequate prior to such subordination and participation in such governmental
program and is primarily speculative after such subordination and participation
in such governmental program. The preceding sentence and clause (ii) of the
second preceding sentence are intended to comply with Treasury Regulations
Section 1.1001-3(e)(4) and shall be interpreted in accordance therewith.

     SECTION 3.20. Periodic Filings

     As set forth on Schedule X hereto, for so long as the Issuing Entity is
subject to the Exchange Act reporting requirements, no later than the end of
business on the 2nd Business Day after the occurrence of an event requiring
disclosure on Form 8K (a "reportable event") (i) the Depositor, the Sponsor or
the Servicer shall have timely notified the Trustee of an item reportable on a
Form 8-K (unless such item is specific to the Trustee, in which case the Trustee
will be deemed to have notice), (ii) shall have delivered to the Trustee, all
information, data, and exhibits required to be provided or filed with such Form
8-K in a word format agreed upon by the Trustee and Depositor, Sponsor or
Servicer and (iii) the Depositor or the Trustee, to the extent the reportable
item pertains to such party, shall notify the Servicer thereof by telephone. The
Trustee shall not be responsible for determining what information is required to
be filed on a Form 8-K in connection with the transactions contemplated by this
Agreement (unless such information is specific to the Trustee, in which case the
Trustee will be responsible for consulting with the Depositor or Servicer in
making such a determination) or what events shall cause a Form 8-K to be
required to be filed (unless such event is specific to the Trustee, in which
case the Trustee will be responsible for consulting with the Depositor or
Servicer before causing such Form 8-K to be filed) and shall not be liable for
any late filing of a Form 8-K in the event that it does not receive all
information, data and exhibits required to be provided or filed on or prior to
the second Business Day prior to the applicable filing deadline and with respect
to signatures, by noon, New York City time, on the fourth Business Day after the
reportable event. After preparing the Form 8-K on behalf of the Depositor, the
Trustee shall, if required, forward electronically a draft copy of the Form 8-K
to the Depositor and the Servicer for review. No later than one and one-half
Business Days after receiving a final copy of the Form 8-K from the Trustee,
unless the Servicer has received from the Depositor a notice to the contrary, a
duly authorized representative of the Servicer shall sign the Form 8-K and
return an electronic or fax copy of such signed Form 8-K (with an original
executed hard copy to follow by overnight mail) to the Trustee and the Trustee
shall file such Form 8-K; provided that the Depositor has notified the Trustee
that it approves of the form and substance of such Form 8-K. If a Form 8-K
cannot be filed on time or if a previously filed Form 8-K needs to be amended,
the Trustee will follow the procedures set forth in this Agreement. After filing
with the Commission, the Trustee will, pursuant to this Agreement, make
available on its internet website a final executed copy of each Form 8-K. The
Trustee will have no obligation to prepare, execute or file such Form 8-K or any
liability with respect to any failure to properly prepare, execute or file such
Form 8-K resulting from the Trustee's inability or failure to obtain or receive

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<PAGE>

any information needed to prepare, arrange for execution or file such Form 8-K
within the time frames required by this paragraph, not resulting from its own
negligence, bad faith or willful misconduct.

     Within fifteen (15) days after each Distribution Date, the Trustee shall,
on behalf of the Issuing Entity and in accordance with industry standards, file
with the Commission via the Electronic Data Gathering and Retrieval System
(EDGAR), a Form 10-D with a copy of the report to the Certificateholders for
such Distribution Date as an exhibit thereto. Any other information provided to
the Trustee by the Servicer or Depositor to be included in Form 10-D shall be
determined and prepared by and at the direction of the Depositor pursuant to the
following paragraph and the Trustee will have no duty or liability for any
failure hereunder to determine or prepare any additional information on Form
10-D ("Additional Form 10-D Disclosure") as set forth in the next paragraph.

     As set forth in Schedule Y hereto, within five (5) calendar days after the
related Distribution Date (i) the parties hereto, as applicable, will be
required to provide to the Depositor and the Servicer, to the extent known to
such party, any Additional Form 10-D Disclosure (including any breaches of pool
asset representations and warranties or transaction covenants of which the party
has written notice and which has not been included on the monthly distribution
report for the period), if applicable, and (ii) the Depositor, to the extent it
deems necessary, forward to the Trustee in EDGAR-compatible form (or such other
word processing format that is EDGAR-compatible) (with a copy to the Servicer),
or in such other form as otherwise agreed upon by the Trustee and the Depositor,
the form and substance of the Additional Form 10-D Disclosure by the eighth
(8th) calendar day after the related Distribution Date. The Depositor will be
responsible for any reasonable fees and expenses incurred by the Trustee in
connection with including any Additional Form 10-D Disclosure on Form 10-D
pursuant to this paragraph.

     After preparing the Form 10-D at the direction of the Depositor, the
Trustee will forward electronically a draft copy of the Form 10-D to the
Depositor and the Servicer for review by the 9th calendar day after the
Distribution Date. No later than two (2) Business Days after receipt of a final
copy after the related Distribution Date, unless the Servicer receives a notice
from the Trustee as described below or a notice from the Depositor that it has
discovered a material deficiency or irregularity with respect to such Form 10-D,
a duly authorized representative of the Servicer shall sign the Form 10-D and
return an electronic or fax copy of such Form 10-D (with an original executed
hard copy to follow by overnight mail) to the Trustee and the Trustee shall file
such Form 10-D within two business days. Unless the Servicer shall have received
notice from the Trustee to the contrary, the Trustee will be deemed to have
represented to the Servicer that the monthly statement has been properly
prepared by the Trustee and the Servicer may rely upon the accuracy thereof in
it execution of the Form 10-D. If a Form 10-D cannot be filed on time (because
of notice from the Trustee per the previous sentence or otherwise) or if a
previously filed Form 10-D needs to be amended, the Trustee will follow the
procedures set forth in this Agreement. After filing with the Commission, the
Trustee will make available on its internet website a final executed copy of
each Form 10-D. The Trustee will have no liability with respect to any failure
to properly prepare, execute or file such Form 10-D resulting from the Trustee's
inability or failure to obtain or receive any information needed to prepare,
arrange for execution or file such Form 10-D on a timely basis.

     Prior to March 30, 2008 (and, if applicable, prior to the ninetieth (90th)
calendar day after the end of the fiscal year for the Issuing Entity), the
Trustee shall, on behalf of the Issuing Entity and in accordance with industry
standards, prepare and file with the Commission via EDGAR a Form 10 -K with
respect to the Issuing Entity. Such Form 10-K shall include the following items,
in each case to the extent they have been delivered to the Trustee within the
applicable time frames set forth in this Agreement, (i)

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<PAGE>

an annual compliance statement for the Servicer and each Subservicer, as
described in Section 3.17 of the Agreement, (ii)(A) the annual reports on
Assessment of Compliance with Servicing Criteria for each Servicer, Subservicer
and Subcontractor (unless the Depositor has determined that such compliance
statement is not required by Regulation AB), as described in Section 3.18 of the
Agreement, and (B) if any Reporting Servicer's report on Assessment of
Compliance with Servicing Criteria described in Section 3.18 identifies any
material instance of noncompliance, disclosure identifying such instance of
noncompliance, or if any report on assessment of compliance with servicing
criteria described in Section 3.18 of the Agreement is not included as an
exhibit to such Form 10-K, disclosure that such report is not included and an
explanation why such report is not included, (iii)(A) the registered public
accounting firm attestation report for the Servicer and each Subservicer, as
described in Section 3.18 of the Agreement, and (B) if any registered public
accounting firm attestation report described in the Section 3.18 of the
Agreement identifies any material instance of noncompliance, disclosure
identifying such instance of noncompliance, or if any such registered public
accounting firm attestation report is not included as an exhibit to such Form
10-K, disclosure that such report is not included and an explanation why such
report is not included, and (iv) a Sarbanes-Oxley Certification in the form
attached hereto as Exhibit T, executed by the senior officer in charge of
securitizations of the Servicer. Any disclosure or information in addition to
(i) through (iv) above that is required to be included on Form 10-K ("Additional
Form 10-K Disclosure") shall be determined and prepared by and at the direction
of the Depositor pursuant to the following paragraph and the Trustee will have
no duty or liability for any failure hereunder to determine or prepare any
Additional Form 10-K Disclosure, except as set forth in the next paragraph.

     As set forth in Schedule Z hereto, no later than March 12 of each year that
the Issuing Entity is subject to the Exchange Act reporting requirements,
commencing in 2008, (i) certain parties to the transaction shall be required to
provide to the Depositor and the Servicer, to the extent known, any Additional
Form 10-K Disclosure, if applicable, and (ii) the Depositor shall, to the extent
it deems necessary, forward to the Trustee in EDGAR-compatible form (or such
other word processing format that is EDGAR-compatible), or in such other form as
otherwise agreed upon by the Trustee and the Depositor, the form and substance
of the Additional Form 10-K Disclosure by March 15. The Depositor will be
responsible for any reasonable fees and expenses incurred by the Trustee in
connection with including any Additional Form 10-K Disclosure on Form 10-K
pursuant to this paragraph.

     After preparing the Form 10-K, the Trustee shall forward electronically a
draft copy of the Form 10-K to the Depositor and the Servicer for review. Upon
the request of the Servicer, the Depositor shall confirm that it has reviewed
the Form 10-K, that it has been properly prepared and that the Servicer may rely
on the accuracy thereof (other than with respect to any portion of the Form 10-K
or any exhibit thereto provided by the Servicer (other than any portion thereof
with respect to which the Servicer has relied on the Trustee)). No later than
5:00 p.m. EST on the 3rd Business Day following receipt of a final copy of the
Form 10-K and if requested, the above-described confirmation from the Depositor,
a senior officer of the Servicer shall sign the Form 10-K and return an
electronic or fax copy of such signed Form 10-K (with an original executed hard
copy to follow by overnight mail) to the Trustee and the Trustee shall file such
Form 10-K by March 30th. If a Form 10-K cannot be filed on time or if a
previously filed Form 10-K needs to be amended, the Trustee will follow the
procedures set forth in the Agreement. After filing with the Commission, the
Trustee will, pursuant to the Agreement, make available on its internet website
a final executed copy of each Form 10-K. The Trustee shall have no liability
with respect to any failure to properly prepare, execute or file such Form 10-K
resulting from the Trustee's inability or failure to obtain or receive any
information needed to prepare, arrange for execution or file such Form 10-K on a
timely basis.

                                      -110-

<PAGE>

     Each Form 10-K shall include a certification (the "Sarbanes-Oxley
Certification") which shall be in the form attached hereto as Exhibit T. The
Servicer will cause its senior officer in charge of securitization to execute
the Sarbanes-Oxley Certification required pursuant to Rule 13a -14 under the
Securities Exchange Act of 1934, as amended, and to deliver the original
executed Sarbanes-Oxley Certification to the Trustee by March 12 of each year in
which the Issuing Entity is subject to the reporting requirements of the
Exchange Act. In connection therewith, each of the Trustee and the Servicer
shall sign a certification (in the form attached hereto as Exhibit K and Exhibit
L, respectively) for the benefit of the Servicer and its officers, directors and
Affiliates regarding certain aspects of the Sarbanes-Oxley Certification. To the
extent any information or exhibits required to be included in the Form 10 -K are
not timely received by the Trustee prior to March 30, the Trustee shall, on
behalf of the Trust, file a Form 12B-25 and one or more amended Form 10-Ks, to
the extent such amendments are accepted pursuant to the Exchange Act, to include
such missing information or exhibits promptly after receipt thereof by the
Trustee.

     On or before January 30, 2008, the Trustee shall, if legally permissible
under applicable regulations and interpretations of the Commission, on behalf of
the Issuing Entity and in accordance with industry standards, file with the
Commission via EDGAR a Form 15 Suspension Notification with respect to the
Issuing Entity, if applicable.

     The Servicer agrees to furnish to the Trustee promptly, from time to time
upon request, such further information, reports, and financial statements within
its control related to this Agreement and the Mortgage Loans as is reasonably
necessary to prepare and file all necessary reports with the Commission. The
Trustee shall have no responsibility to file any items with the Commission other
than those specified in this section and the Servicer shall execute any and all
Form 8-Ks, Form 10-Ds and Form 10-Ks required hereunder.

     If the Commission issues additional interpretative guidance or promulgates
additional rules or regulations with respect to Regulation AB or otherwise, or
if other changes in applicable law occur, that would require the reporting
arrangements, or the allocation of responsibilities with respect thereto,
described in this Section 3.20, to be conducted differently than as described,
the Depositor, the Servicer, and the Trustee will reasonably cooperate to amend
the provisions of this Section 3.20 in order to comply with such amended
reporting requirements and such amendment of this Section 3.20. Any such
amendment shall be made in accordance with Section 10.01 without the consent of
the Certificateholders, and may result in a change in the reports filed by the
Trustee on behalf of the Issuing Entity under the Exchange Act. Notwithstanding
the foregoing, the Depositor, the Servicer, and the Trustee shall not be
obligated to enter into any amendment pursuant to this Section 3.20 that
adversely affects its obligations and immunities under this Agreement.

     The Depositor, the Servicer and the Trustee agree to use their good faith
efforts to cooperate in complying with the requirements of this Section 3.20.

     SECTION 3.21. Indemnification by Trustee

     The Trustee shall indemnify and hold harmless the Depositor, the Servicer
and their respective officers, directors, agents and Affiliates from and against
any losses, damages, penalties, fines, forfeitures, reasonable legal fees and
related costs, judgments and other costs and expenses arising out of or based
upon a breach by the Trustee or any of its officers, directors, agents or
Affiliates of its obligations under Sections 3.18 and 3.20, any material
misstatement or omission in any documents prepared thereunder (to

                                      -111-

<PAGE>

the extent the Trustee is responsible for providing information or calculating
amounts included in such information), the failure of the Trustee to deliver
when required any Assessment of Compliance or Accountant's Attestation required
of it pursuant to Section 3.18, or any material misstatement or omission
contained in any Assessment of Compliance or Accountant's Attestation provided
on its behalf pursuant to Section 3.18, or the negligence, bad faith or willful
misconduct of the Trustee in connection therewith. If the indemnification
provided for herein is unavailable or insufficient to hold harmless the
indemnified parties, then the Trustee agrees that it shall contribute to the
amount paid or payable by the indemnified parties as a result of the losses,
claims, damages or liabilities of the indemnified parties in such proportion as
is appropriate to reflect the relative fault of the Trustee on the one hand and
of the indemnified parties on the other.

     SECTION 3.22. Indemnification by Servicer

     The Servicer shall indemnify and hold harmless the Trustee and the
Depositor and their respective officers, directors, agents and Affiliates from
and against any losses, damages, penalties, fines, forfeitures, reasonable legal
fees and related costs, judgments and other costs and expenses arising out of or
based upon a breach by the Servicer or any of its officers, directors, agents or
Affiliates of its obligations under Sections 3.17, 3.18 and 3.20, any material
misstatement or omission in any documents prepared thereunder (to the extent the
Servicer is responsible for providing information or calculating amounts
included in such information), the failure of such Servicer or any related
Sub-Servicer or Subcontractor to deliver or cause to be delivered when required
any Assessment of Compliance or Accountant's Attestation required of it pursuant
to Section 3.18 or Annual Statement of Compliance required pursuant to Section
3.17, as applicable, or any material misstatement or omission contained in any
Assessment of Compliance, Accountant's Attestation or Annual Statement as to
Compliance provided on its behalf pursuant to Section 3.18 or 3.17, as
applicable, or the negligence, bad faith or willful misconduct of the Servicer
in connection therewith. If the indemnification provided for herein is
unavailable or insufficient to hold harmless the indemnified parties, then the
Servicer agrees that it shall contribute to the amount paid or payable by the
indemnified parties as a result of the losses, claims, damages or liabilities of
the indemnified parties in such proportion as is appropriate to reflect the
relative fault of the Servicer on the one hand and the indemnified parties on
the other.

     Notwithstanding the foregoing, the Servicer shall be entitled to rely
conclusively on the accuracy of the information or data provided to the Servicer
in the respective Assessment of Compliance regarding the Servicing Criteria
applicable to the Trustee under Sections 3.18(e) and 3.18(f) or the Depositor
under Sections 3.18(g) and 3.18(h) in connection with the Servicer's document
preparation under Sections 3.17, 3.18 and 3.20, and the Servicer shall be
entitled to rely conclusively upon and shall have no liability for any errors in
such information.

     SECTION 3.23. Prepayment Charge Reporting Requirements

     Promptly before or after each Distribution Date, the Servicer shall provide
to the Trustee the following information with regard to each Mortgage Loan that
has prepaid during the related Prepayment Period:

          (i) loan number;

          (ii) current Mortgage Rate;

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<PAGE>

          (iii) current principal balance;

          (iv) original principal balance;

          (v) Prepayment Charge amount due; and

          (vi) Prepayment Charge amount collected.

     SECTION 3.24. Information to the Trustee

     Two Business Days after the 15th day of each month, but not later than the
18th day of each month, the Servicer shall furnish to the Trustee in electronic
format (1) the Remittance Report pursuant to Section 4.04(j) and (ii) a
delinquency report in the form attached hereto as Exhibit V for the period
ending on the last Business Day of the preceding month (and with respect to
prepayments in full, for the period ending on the 14th day of the month in which
such report is to be furnished); provided, however, that in the event the 18th
day is not a Business Day, the aforementioned reports shall be furnished by the
Servicer to the Trustee on the next Business Day; and provided, further, that in
the event there are three non-Business Days preceding the 18th day, the Servicer
will (a) furnish to the Trustee, on or before the 18th day of the month, the
aforementioned reports, which will not include information arising from the
related Prepayment Period, and (b) furnish to the Trustee, by 3:00 P.M., EST on
the next succeeding Business Day after the 18th day, a cumulative version of the
aforementioned reports which includes such information arising from the related
Prepayment Period.

     SECTION 3.25. Indemnification

     The Servicer shall indemnify the Sponsor, the Issuing Entity, the Trustee
(in its individual capacity and in its capacity as trustee), the Depositor and
their officers, directors, employees and agents and hold each of them harmless
against any and all claims, losses, damages, penalties, fines, forfeitures,
reasonable and necessary legal fees and related costs, judgments, and any other
costs, fees and expenses that any of such parties may sustain in any way related
to the failure of the Servicer to perform its duties and service the Mortgage
Loans in compliance with the terms of this Agreement by reason of negligence,
willful misfeasance or bad faith in the performance of its duties or by reason
of reckless disregard of obligations and duties hereunder. The Servicer
immediately shall notify the Sponsor, the Trustee and the Depositor or any other
relevant party if a claim is made by a third party with respect to such party
and this Agreement or the Mortgage Loans and, if subject to this indemnification
obligation, assume (with the prior written consent of the indemnified party,
which consent shall not be unreasonably withheld or delayed) the defense of any
such claim and pay all expenses in connection therewith, including counsel fees,
and promptly pay, discharge and satisfy any judgment or decree which may be
entered against it or any of such parties in respect of such claim. The Servicer
shall follow any reasonable written instructions received from the Trustee in
connection with such claim, it being understood that the Trustee shall have no
duty to monitor or give instructions with respect to such claims, and the
Servicer will not have any liability for following such instructions. The
Servicer shall provide the Depositor and the Trustee with a written report of
all expenses and advances incurred by the Servicer pursuant to this Section
3.25(a), and the Servicer shall promptly reimburse itself from the assets of the
Trust Fund in the Collection Account for all amounts advanced by it pursuant to
the preceding sentence except when the claim in any way relates to the gross
negligence, bad faith or willful misconduct of the Servicer. The provisions of
this paragraph shall survive the termination of this Agreement and the payment
of the outstanding Certificates.

                                      -113-

<PAGE>

     SECTION 3.26. Solicitation

     The Servicer may solicit or refer to a mortgage originator, who may or may
not be an affiliate of the Depositor or the Servicer, any Mortgagor for
refinancing or otherwise take action to encourage refinancing.

     SECTION 3.27. High Cost Mortgage Loans

     In the event that the Servicer reasonably determines that a Mortgage Loan
may be a "high cost mortgage loan", "high cost home", "covered", "high cost",
"high risk home", "predatory" or similarly classified loan under any applicable
state, federal or local law, the Servicer may notify the Depositor, the Sponsor
and the Trustee thereof; the Servicer may terminate its servicing thereof; and
such determination shall be deemed to materially and adversely affect the
interests of the Certificateholders in such Mortgage Loan and the Sponsor will
repurchase the Mortgage Loan within a 30 day period from the date of the notice
in the manner described in Section 2.05.

     SECTION 3.28. Rights of the NIMs Insurer

     Each of the rights of the NIMs Insurer set forth in this agreement shall
exist so long as NIM Notes have been issued pursuant to the Indenture remain
outstanding that are insured by a NIMs Insurer or the NIMs Insurer is owed
amounts in respect of its guarantee of payment on such NIM notes.

                                   ARTICLE IV

                                  DISTRIBUTIONS

     SECTION 4.01. Advances

          (a) Subject to the conditions of this Article IV, the Servicer, as
required below, shall make an Advance and deposit such Advance in the Collection
Account. The Servicer shall use commercially reasonable efforts to remit each
such Advance no later than 2:30 p.m. Eastern time, but in any case no later than
4:00 p.m. Eastern time, on the Servicer Remittance Date in immediately available
funds. The Servicer shall be obligated to make any such Advance only to the
extent that such advance would not be a Non-Recoverable Advance. If the Servicer
shall have determined that it has made a Non-Recoverable Advance or that a
proposed Advance or a lesser portion of such Advance would constitute a
Non-Recoverable Advance, the Servicer shall deliver (i) to the Trustee for the
benefit of the Certificateholders, funds constituting the remaining portion of
such Advance, if applicable, and (ii) to the NIMs Insurer and the Trustee an
Officer's Certificate setting forth the basis for such determination. The
Servicer may, in its sole discretion, make an Advance with respect to the
principal portion of the final Scheduled Payment on a Balloon Loan, but the
Servicer is under no obligation to do so; provided, however, that nothing in
this sentence shall affect the Servicer's obligation under this Section 4.01 to
Advance the interest portion of the final Scheduled Payment with respect to a
Balloon Loan as if such Balloon Loan were a fully amortizing Mortgage Loan. If a
Mortgagor does not pay its final Scheduled Payment on a Balloon Loan when due,
the Servicer shall Advance (unless it determines in its good faith judgment that
such amounts would constitute a Non-Recoverable Advance) a full month of
interest (net of the Servicing Fee) on the Stated Principal Balance thereof each
month until its Stated Principal Balance is reduced to zero.

                                      -114-
<PAGE>

     In lieu of making all or a portion of such Advance from its own funds, the
Servicer may (i) cause to be made an appropriate entry in its records relating
to the Collection Account that any amount held for future distribution has been
used by the Servicer in discharge of its obligation to make any such Advance and
(ii) transfer such funds from the Collection Account to the Certificate Account.
In addition, the Servicer shall have the right to reimburse itself for any such
Advance from amounts held from time to time in the Collection Account to the
extent such amounts are not then required to be distributed. Any funds so
applied and transferred pursuant to the previous two sentences shall be replaced
by the Servicer by deposit in the Collection Account no later than the close of
business on the Servicer Remittance Date on which such funds are required to be
distributed pursuant to this Agreement. The Servicer shall be entitled to be
reimbursed from the Collection Account for all Advances of its own funds made
pursuant to this Section as provided in Section 3.08. The obligation to make
Advances with respect to any Mortgage Loan shall continue until the earlier of
(i) such Mortgage Loan is paid in full, (ii) the related Mortgaged Property or
related REO Property has been liquidated or until the purchase or repurchase
thereof (or substitution therefor) from the Issuing Entity pursuant to any
applicable provision of this Agreement, except as otherwise provided in this
Section 4.01, (iii) the Servicer determines in its good faith judgment that such
amounts would constitute a Non-Recoverable Advance as provided in the preceding
paragraph or (iv) the date on which such Mortgage Loan becomes 150 days
delinquent as set forth below.

          (b) Notwithstanding anything in this Agreement to the contrary
(including, but not limited to, Sections 3.01 and 4.01(a) hereof), no Advance or
Servicing Advance shall be required to be made hereunder by the Servicer
(including for the avoidance of doubt, the Trustee as successor servicer) if
such Advance or Servicing Advance would, if made, constitute a Non-Recoverable
Advance or a Non-Recoverable Servicing Advance. The determination by the
Servicer that it has made a Non-Recoverable Advance or a Non-Recoverable
Servicing Advance or that any proposed Advance or Servicing Advance, if made,
would constitute a Non-Recoverable Advance or a Non-Recoverable Servicing
Advance, respectively, shall be evidenced by an Officer's Certificate of the
Servicer delivered to the Trustee. In addition, the Servicer shall not be
required to advance any Relief Act Shortfalls, shortfalls due to bankruptcy
proceedings and shortfalls due to modifications as provided in Section 3.05.

          (c) Notwithstanding the foregoing, the Servicer shall not be required
to make any Advances for any Mortgage Loan after such Mortgage Loan becomes 150
days delinquent. The Servicer shall identify such delinquent Mortgage Loans in
the Servicer Statement referenced in Section 3.24. In addition, the Servicer
shall provide the Trustee with an Officer's Certificate listing such delinquent
Mortgage Loans and certifying that such loans are 150 days or more delinquent.

     SECTION 4.02. Reduction of Servicing Compensation in Connection with
Prepayment Interest Shortfalls

     In the event that any Mortgage Loan is the subject of a Prepayment Interest
Shortfall, the Servicer shall, from amounts in respect of the Servicing Fee for
such Distribution Date, deposit into the Collection Account, as a reduction of
the Servicing Fee for such Distribution Date, no later than the Servicer
Remittance Date immediately preceding such Distribution Date, an amount up to
the Prepayment Interest Shortfall; provided that the amount so deposited shall
not exceed the Compensating Interest for such Distribution Date. In case of such
deposit, the Servicer shall not be entitled to any recovery or reimbursement
from the Depositor, the Trustee, the Issuing Entity or the Certificateholders.
With respect to any Distribution Date, to the extent that the Prepayment
Interest Shortfall exceeds Compensating Interest (such excess, a "Non-Supported
Interest Shortfall"), such Non-Supported Interest Shortfall shall reduce the
Current Interest with respect to each Class of Certificates, pro rata based upon
the amount of

                                      -115-

<PAGE>

interest each such Class would otherwise be entitled to receive on such
Distribution Date. Notwithstanding the foregoing, there shall be no reduction of
the Servicing Fee in connection with Prepayment Interest Shortfalls related to
the Relief Act or bankruptcy proceedings and the Servicer shall not be obligated
to pay Compensating Interest with respect to Prepayment Interest Shortfalls
related to the Relief Act or bankruptcy proceedings.

     SECTION 4.03. Distributions on the REMIC Interests

     On each Distribution Date, amounts on deposit in the Certificate Account
shall be treated for federal income tax purposes as applied to distributions on
the interests in each of the SWAP REMIC and the Lower Tier REMIC in an amount
sufficient to make the distributions on the respective Certificates on such
Distribution Date in accordance with the provisions of Section 4.04.

     SECTION 4.04. Distributions

          (a) [Reserved].

          (b) On each Distribution Date (or on the related Swap Payment Date,
with respect to payments to the Supplemental Interest Trust), the Trustee shall,
to the extent of funds then available, make the following distributions from
funds then available in the Certificate Account, of an amount equal to the
Interest Funds, in the following order of priority:

          (i) to the Class P Certificates, an amount equal to any Prepayment
Charges received with respect to the Mortgage Loans and all amounts paid by the
Servicer or the Sponsor in respect of Prepayment Charges pursuant to this
Agreement, and all amounts received in respect of any indemnification paid as a
result of a Prepayment Charge being unenforceable in breach of the
representations and warranties set forth in the Purchase Agreement for the
related Prepayment Period;

          (ii) to the Supplemental Interest Trust, any Net Swap Payments owed to
the Swap Counterparty;

          (iii) to the Supplemental Interest Trust, any Swap Termination Payment
owed by the Supplemental Interest Trust to the Swap Counterparty (other than any
Defaulted Swap Termination Payment);

          (iv) concurrently, to each class of the Class A Certificates, the
Current Interest and any Interest Carry Forward Amount with respect to each such
class; provided, however, that if Interest Funds are insufficient to make a full
distribution of the aggregate Current Interest and the aggregate Interest Carry
Forward Amount to the Class A Certificates, Interest Funds will be distributed
pro rata among each class of the Class A Certificates based upon the ratio of
(x) the Current Interest and Interest Carry Forward Amount for each class of the
Class A Certificates to (y) the total amount of Current Interest and any
Interest Carry Forward Amount for the Class A-1, Class A-2 and Class R
Certificates in the aggregate;

          (v) concurrently, to each class of the Class M-1 Certificates, the
Current Interest and any Interest Carry Forward Amount with respect to each such
class; provided, however, that if Interest Funds are insufficient to make a full
distribution of the aggregate Current Interest and the aggregate Interest Carry
Forward Amount to the Class M-1 Certificates, Interest Funds will be distributed
pro rata

                                      -116-

<PAGE>

among each class of the Class M-1 Certificates based upon the ratio of (x) the
Current Interest and Interest Carry Forward Amount for each such class to (y)
the total amount of Current Interest and any Interest Carry Forward Amount for
the Class M-1 Certificates in the aggregate;

          (vi) concurrently, to each class of the Class M-2 Certificates, the
Current Interest and any Interest Carry Forward Amount with respect to each such
class; provided, however, that if Interest Funds are insufficient to make a full
distribution of the aggregate Current Interest and the aggregate Interest Carry
Forward Amount to the Class M-2 Certificates, Interest Funds will be distributed
pro rata among each class of the Class M-2 Certificates based upon the ratio of
(x) the Current Interest and Interest Carry Forward Amount for each such class
to (y) the total amount of Current Interest and any Interest Carry Forward
Amount for the Class M-2 Certificates in the aggregate;

          (vii) concurrently, to each class of the Class M-3 Certificates, the
Current Interest and any Interest Carry Forward Amount with respect to each such
class; provided, however, that if Interest Funds are insufficient to make a full
distribution of the aggregate Current Interest and the aggregate Interest Carry
Forward Amount to the Class M-3 Certificates, Interest Funds will be distributed
pro rata among each class of the Class M-3 Certificates based upon the ratio of
(x) the Current Interest and Interest Carry Forward Amount for each such class
to (y) the total amount of Current Interest and any Interest Carry Forward
Amount for the Class M-3 Certificates in the aggregate;

          (viii) concurrently, to each class of the Class M-4 Certificates, the
Current Interest and any Interest Carry Forward Amount with respect to each such
class; provided, however, that if Interest Funds are insufficient to make a full
distribution of the aggregate Current Interest and the aggregate Interest Carry
Forward Amount to the Class M-4 Certificates, Interest Funds will be distributed
pro rata among each class of the Class M-4 Certificates based upon the ratio of
(x) the Current Interest and Interest Carry Forward Amount for each such class
to (y) the total amount of Current Interest and any Interest Carry Forward
Amount for the Class M-4 Certificates in the aggregate;

          (ix) to the Class M-5 Certificates, the Current Interest for such
class and any Interest Carry Forward Amount with respect to such Class;

          (x) to the Class M-6 Certificates, the Current Interest for such class
and any Interest Carry Forward Amount with respect to such Class;

          (xi) to the Class B-1 Certificates, the Current Interest for each such
class and any Interest Carry Forward Amount with respect to each such Class;

          (xii) to the Class B-2 Certificates, the Current Interest for each
such class and any Interest Carry Forward Amount with respect to each such
Class;

          (xiii) to the Class B-3 Certificates, the Current Interest for each
such class and any Interest Carry Forward Amount with respect to each such
Class;

          (xiv) any remainder pursuant to Section 4.04(f) hereof.

     On each Distribution Date, subject to the provisos in (iv) - (viii) above,
Interest Funds received on the Group One Mortgage Loans will be deemed to be
distributed to the Group One Certificates and Interest Funds received on the
Group Two Mortgage Loans will be deemed to be distributed to the Group

                                      -117-

<PAGE>

Two Certificates, in each case, until the related Current Interest and Interest
Carry Forward Amount of each such Class of Certificates for such Distribution
Date has been paid in full. Thereafter, Interest Funds not required for such
distributions are available to be applied to if necessary, to the Class or
Classes of Certificates that are not related to such group of Mortgage Loans.

          (c) [Reserved].

          (d) On each Distribution Date (or on the related Swap Payment Date,
with respect to payments to the Supplemental Interest Trust), the Trustee shall,
to the extent of funds then available, make the following distributions from the
Certificate Account of an amount equal to the Principal Distribution Amount in
the following order of priority, and each such distribution shall be made only
after all distributions pursuant to Section 4.04(b) above shall have been made
until such amount shall have been fully distributed for such Distribution Date:

          (i) to the Supplemental Interest Trust, any Net Swap Payments owed to
the Swap Counterparty, to the extent not paid pursuant to Section 4.04(b)(ii);

          (ii) to the Supplemental Interest Trust, any Swap Termination Payment
owed by the Supplemental Interest Trust to the Swap Counterparty (other than any
Defaulted Swap Termination Payment), to the extent not paid pursuant to Section
4.04(b)(iii);

          (iii) to the Class A Certificates, the Class A Principal Distribution
Amount shall be distributed as follows:

               (A) the Group One Principal Distribution Amount will be
          distributed as follows: sequentially, to the Class R Certificates
          until the Certificate Principal Balance of such class has been reduced
          to zero, then, to the Class A-1A Certificates, until the Certificate
          Principal Balance of such class has been reduced to zero, then, to the
          Class A-1B Certificates, until the Certificate Principal Balance of
          such class has been reduced to zero, then, to the Class A-1C
          Certificates, until the Certificate Principal Balance of such class
          has been reduced to zero, and then, to the Class A-1D Certificates,
          until the Certificate Principal Balance of such class has been reduced
          to zero; provided, however, that on and after the Distribution Date on
          which the aggregate Certificate Principal Balance of the Class M,
          Class B and Class C Certificates has been reduced to zero, any
          principal distributions allocated to the Class A-1A, Class A-1B, Class
          A-1C and Class A-1D Certificates are required to be allocated pro
          rata, among such classes, based on their respective Certificate
          Principal Balances, until their Certificate Principal Balances have
          been reduced to zero;

               (B) the Group Two Principal Distribution Amount will be
          distributed as follows: sequentially, to the Class A-2A Certificates
          until the Certificate Principal Balance thereof has been reduced to
          zero, then to the Class A-2B Certificates until the Certificate
          Principal Balance thereof has been reduced to zero; then to the Class
          A-2C Certificates until the Certificate Principal Balance thereof has
          been reduced to zero and then to the Class A-2D Certificates until the
          Certificate Principal Balance thereof has been reduced to zero;
          provided, however, that on and after the Distribution Date on which
          the aggregate Certificate Principal Balance of the Class M, Class B
          and Class C Certificates has been reduced to zero, any principal
          distributions allocated to the Class A-

                                      -118-

<PAGE>

          2A, Class A-2B, Class A-2C and Class A-2D Certificates are required to
          be allocated pro rata, among such Classes, based on their respective
          Certificate Principal Balances, until their Certificate Principal
          Balances have been reduced to zero;

          (iv) to the Class M-1 Certificates, the Class M-1 Principal
Distribution Amount will be distributed, concurrently, as follows: (x) the Group
One Principal Distribution Percentage of the Class M-1 Principal Distribution
Amount will be distributed to the Class M-1-1 Certificates until the Certificate
Principal Balance of such class has been reduced to zero and (y) the Group Two
Principal Distribution Percentage of the Class M-1 Principal Distribution Amount
will be distributed to the Class M-1-2 Certificates until the Certificate
Principal Balance of such class has been reduced to zero; provided, however,
that on and after the Distribution Date on which the Certificate Principal
Balance of either the Class M-1-1 or Class M-1-2 Certificates has been reduced
to zero while the other class of Class M-1 Certificates remains outstanding,
then all of the Class M-1 Principal Distribution Amount will be distributed to
the outstanding Class M-1 Certificate until the Certificate Principal Balance of
such class has been reduced to zero;

          (v) to the Class M-2 Certificates, the Class M-2 Principal
Distribution Amount will be distributed, concurrently, as follows: (x) the Group
One Principal Distribution Percentage of the Class M-2 Principal Distribution
Amount will be distributed to the Class M-2-1 Certificates until the Certificate
Principal Balance of such class has been reduced to zero and (y) the Group Two
Principal Distribution Percentage of the Class M-2 Principal Distribution Amount
will be distributed to the Class M-2-2 Certificates until the Certificate
Principal Balance of such class has been reduced to zero; provided, however,
that on and after the Distribution Date on which the Certificate Principal
Balance of either the Class M-2-1 or Class M-2-2 Certificates has been reduced
to zero while the other class of Class M-2 Certificates remains outstanding,
then all of the Class M-2 Principal Distribution Amount will be distributed to
the outstanding Class M-2 Certificate until the Certificate Principal Balance of
such class has been reduced to zero;

          (vi) to the Class M-3 Certificates, the Class M-3 Principal
Distribution Amount will be distributed, concurrently, as follows: (x) the Group
One Principal Distribution Percentage of the Class M-3 Principal Distribution
Amount will be distributed to the Class M-3-1 Certificates until the Certificate
Principal Balance of such class has been reduced to zero and (y) the Group Two
Principal Distribution Percentage of the Class M-3 Principal Distribution Amount
will be distributed to the Class M-3-2 Certificates until the Certificate
Principal Balance of such class has been reduced to zero; provided, however,
that on and after the Distribution Date on which the Certificate Principal
Balance of either the Class M-3-1 or Class M-3-2 Certificates has been reduced
to zero while the other class of Class M-3 Certificates remains outstanding,
then all of the Class M-3 Principal Distribution Amount will be distributed to
the outstanding Class M-3 Certificate until the Certificate Principal Balance of
such class has been reduced to zero;

          (vii) to the Class M-4 Certificates, the Class M-4 Principal
Distribution Amount will be distributed, concurrently, as follows: (x) the Group
One Principal Distribution Percentage of the Class M-4 Principal Distribution
Amount will be distributed to the Class M-4-1 Certificates until the Certificate
Principal Balance of such class has been reduced to zero and (y) the Group Two
Principal Distribution Percentage of the Class M-4 Principal Distribution Amount
will be distributed to the Class M-4-2 Certificates until the Certificate
Principal Balance of such class has been reduced to zero; provided, however,
that on and after the Distribution Date on which the Certificate Principal
Balance of either the Class M-4-1 or Class M-4-2 Certificates has been reduced
to zero while the other class of Class M-4

                                      -119-

<PAGE>

Certificates remains outstanding, then all of the Class M-4 Principal
Distribution Amount will be distributed to the outstanding Class M-4 Certificate
until the Certificate Principal Balance of such class has been reduced to zero;

          (viii) to the Class M-5 Certificates, the Class M-5 Principal
Distribution Amount;

          (ix) to the Class M-6 Certificates, the Class M-6 Principal
Distribution Amount;

          (x) to the Class B-1 Certificates, the Class B-1 Principal
Distribution Amount;

          (xi) to the Class B-2 Certificates, the Class B-2 Principal
Distribution Amount;

          (xii) to the Class B-3 Certificates, the Class B-3 Principal
Distribution Amount; and

          (xiii) any remainder pursuant to Section 4.04(f) hereof.

          (e) [Reserved].

          (f) On each Distribution Date, the Trustee shall, to the extent of
funds then available, make the following distributions up to the following
amounts from the Certificate Account of the remainders pursuant to Section
4.04(b)(xiv) and (d)(xiii) hereof and each such distribution shall be made only
after all distributions pursuant to Sections 4.04(b) and (d) above shall have
been made until such remainders shall have been fully distributed for such
Distribution Date:

          (i) to the Class A Certificates, any funds owed, in the same manner
and in the same order of priority, as set forth in accordance with Section
4.04(b)(iv), to the extent not paid pursuant to Section 4.04(b)(iv);

          (ii) to the Class M-1 Certificates, any funds owed as set forth in
accordance with Section 4.04(b)(v), to the extent not paid pursuant to Section
4.04(b)(v);

          (iii) to the Class M-2 Certificates, any funds owed as set forth in
accordance with Section 4.04(b)(vi), to the extent not paid pursuant to Section
4.04(b)(vi);

          (iv) to the Class M-3 Certificates, any funds owed as set forth in
accordance with Section 4.04(b)(vii), to the extent not paid pursuant to Section
4.04(b)(vii);

          (v) to the Class M-4 Certificates, any funds owed as set forth in
accordance with Section 4.04(b)(viii), to the extent not paid pursuant to
Section 4.04(b)(viii);

          (vi) to the Class M-5 Certificates, any funds owed as set forth in
accordance with Section 4.04(b)(ix), to the extent not paid pursuant to Section
4.04(b)(ix);

          (vii) to the Class M-6 Certificates, any funds owed as set forth in
accordance with Section 4.04(b)(x), to the extent not paid pursuant to Section
4.04(b)(x);

          (viii) to the Class B-1 Certificates, any funds owed as set forth in
accordance with Section 4.04(b)(xi), to the extent not paid pursuant to Section
4.04(b)(xi);

                                      -120-

<PAGE>

          (ix) to the Class B-2 Certificates, any funds owed as set forth in
accordance with Section 4.04(b)(xii), to the extent not paid pursuant to Section
4.04(b)(xii);

          (x) to the Class B-3 Certificates, any funds owed as set forth in
accordance with Section 4.04(b)(xiii), to the extent not paid pursuant to
Section 4.04(b)(xiii);

          (xi) for distribution as part of the Principal Distribution Amount,
the Extra Principal Distribution Amount;

          (xii) to the Class M-1 Certificates, on a pro rata basis for each
class of the Class M-1 Certificates based on (x) the Certificate Principal
Balance of such class of the Class M-1 Certificates over (y) the aggregate
Certificate Principal Balance of the Class M-1 Certificates, any Unpaid Realized
Loss Amount for such class;

          (xiii) to the Class M-2 Certificates, on a pro rata basis for each
class of the Class M-2 Certificates based on (x) the Certificate Principal
Balance of such class of the Class M-2 Certificates over (y) the aggregate
Certificate Principal Balance of the Class M-2 Certificates, any Unpaid Realized
Loss Amount for such class;

          (xiv) to the Class M-3 Certificates, on a pro rata basis for each
class of the Class M-3 Certificates based on (x) the Certificate Principal
Balance of such class of the Class M-3 Certificates over (y) the aggregate
Certificate Principal Balance of the Class M-3 Certificates, any Unpaid Realized
Loss Amount for such class;

          (xv) to the Class M-4 Certificates, on a pro rata basis for each class
of the Class M-4 Certificates based on (x) the Certificate Principal Balance of
such class of the Class M-4 Certificates over (y) the aggregate Certificate
Principal Balance of the Class M-4 Certificates, any Unpaid Realized Loss Amount
for such class;

          (xvi) to the Class M-5 Certificates, any Unpaid Realized Loss Amount
for such class;

          (xvii) to the Class M-6 Certificates, any Unpaid Realized Loss Amount
for such class;

          (xviii) to the Class B-1 Certificates, any Unpaid Realized Loss Amount
for such class;

          (xix) to the Class B-2 Certificates, any Unpaid Realized Loss Amount
for such class;

          (xx) to the Class B-3 Certificates, any Unpaid Realized Loss Amount
for such class;

          (xxi) to the Class A, Class M and Class B Certificates, on a pro rata
basis, based upon outstanding Floating Rate Certificate Carryover for each such
Class, the Floating Rate Certificate Carryover for each such Class; and

          (xxii) the remainder pursuant to Section 4.04(g) hereof.

          (g) on each Distribution Date, the Trustee shall allocate the
remainders pursuant to Section 4.04(f)(xxii) as follows:

          (i) to the Supplemental Interest Trust, any Defaulted Swap Termination
Payment;

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<PAGE>

          (ii) to the Class C Certificates in the following order of priority,
(I) the Class C Current Interest, (II) the Class C Interest Carry Forward
Amount, (III) as principal on the Class C Certificate until the Certificate
Principal Balance of the Class C Certificates has been reduced to zero and (IV)
the Class C Unpaid Realized Loss Amount; and

          (iii) the remainder pursuant to Section 4.04(h) hereof.

          (h) On each Distribution Date, the Trustee shall allocate the
remainder pursuant to Section 4.04(g)(iii) hereof (i) to the Trustee to
reimburse amounts or pay indemnification amounts owing to the Trustee from the
Issuing Entity pursuant to Section 8.06 and (ii) to the Class R Certificate and
such distributions shall be made only after all preceding distributions shall
have been made until such remainder shall have been fully distributed.

          (i) On each Distribution Date, after giving effect to distributions on
such Distribution Date, the Trustee shall allocate the Applied Realized Loss
Amount for the Certificates to reduce the Certificate Principal Balances of the
Class C Certificates and the Subordinate Certificates in the following order of
priority:

          (i) to the Class C Certificates, until the Class C Certificate
Principal Balance is reduced to zero;

          (ii) to the Class B-3 Certificates until the Class B-3 Certificate
Principal Balance is reduced to zero;

          (iii) to the Class B-2 Certificates until the Class B-2 Certificate
Principal Balance is reduced to zero;

          (iv) to the Class B-1 Certificates until the Class B-1 Certificate
Principal Balance is reduced to zero;

          (v) to the Class M-6 Certificates until the Class M-6 Certificate
Principal Balance is reduced to zero;

          (vi) to the Class M-5 Certificates until the Class M-5 Certificate
Principal Balance is reduced to zero;

          (vii) to the Class M-4 Certificates, pro rata based on the Certficate
Principal Balance of each Class M-4 Certificate, until the Class M-4 Certificate
Principal Balance is reduced to zero;

          (viii) to the Class M-3 Certificates, pro rata based on the Certficate
Principal Balance of each Class M-3 Certificate, until the Class M-3 Certificate
Principal Balance is reduced to zero;

          (ix) to the Class M-2 Certificates, pro rata based on the Certficate
Principal Balance of each Class M-2 Certificate, until the Class M-2 Certificate
Principal Balance is reduced to zero; and

          (x) to the Class M-1 Certificates, pro rata based on the Certficate
Principal Balance of each Class M-1 Certificate, until the Class M-1 Certificate
Principal Balance is reduced to zero.

                                      -122-

<PAGE>

          (j) Subject to Section 9.02 hereof respecting the final distribution,
on each Distribution Date the Trustee shall make distributions to each
Certificateholder of record on the preceding Record Date either by wire transfer
in immediately available funds to the account of such holder at a bank or other
entity having appropriate facilities therefor, if such Holder has so notified
the Trustee at least five (5) Business Days prior to the related Record Date or,
if not, by check mailed by first class mail to such Certificateholder at the
address of such holder appearing in the Certificate Register. Notwithstanding
the foregoing, but subject to Section 9.02 hereof respecting the final
distribution, distributions with respect to Certificates registered in the name
of a Depository shall be made to such Depository in immediately available funds.

     In accordance with this Agreement, the Servicer shall prepare and deliver
an electronic report (the "Remittance Report") to the Trustee (or by such other
means as the Servicer and the Trustee may agree from time to time) containing
such data and information as to permit the Trustee to prepare the Monthly
Statement to Certificateholders and make the required distributions for the
related Distribution Date. The Trustee will prepare the Monthly Report based
solely upon the information received from the Servicer.

          (k) The Trustee is hereby directed by the Depositor to execute the
Corridor Contracts on behalf of the Issuing Entity in the form presented to it
by the Depositor and shall have no responsibility for the contents of such
Corridor Contracts, including, without limitation, the representations and
warranties contained therein. Any funds payable by the Issuing Entity under the
Corridor Contracts at closing shall be paid by the Depositor. Any payments
received under the terms of the related Corridor Contract will be available to
pay the holders of the related Certificate Group One, Certificate Group Two, or
the Class M-5, Class M-6 and Class B Certificates up to the amount of any
Floating Rate Certificate Carryovers remaining after all other distributions
required under this Section 4.04 are made on such Distribution Date, other than
Floating Rate Certificate Carryovers attributable to the fact that Applied
Realized Loss Amounts are not allocated to the Class A Certificates. Any amounts
received under the terms of any Corridor Contract on a Distribution Date that
are not used to pay such Floating Rate Certificate Carryovers will be
distributed to the holders of the Class C Certificates. Payments in respect of
such Floating Rate Certificate Carryovers from proceeds of a Corridor Contract
shall be paid to the related classes of Certificate Group One, Certificate Group
Two, and the Class M-5, Class M-6 and Class B Certificates, pro rata based upon
such Floating Rate Certificate Carryovers for each such class of Certificate
Group One, Certificate Group Two, and the Class M-5, Class M-6 and Class B
Certificates. Amounts received on the Group One Corridor Contract will only be
available to make payments on Certificate Group One, amounts received on the
Group Two Corridor Contract will only be available to make payments on
Certificate Group Two, amounts received on the Class M-5, Class M-6 and Class B
Corridor Contract will only be available to make payments on the Class M-5,
Class M-6 and Class B Certificates.

          (i) The Trustee shall establish and maintain, for the benefit of the
Issuing Entity and the Certificateholders, the Corridor Contract Account. On or
prior to the related Corridor Contract Termination Date, amounts, if any,
received by the Trustee for the benefit of the Issuing Entity in respect of the
related Corridor Contract shall be deposited by the Trustee into the Corridor
Contract Account and will be used to pay Floating Rate Certificate Carryovers on
the related Certificate Group One, Certificate Group Two and the Class M-5,
Class M-6 and Class B Certificates to the extent provided in the immediately
preceding paragraph. With respect to any Distribution Date on or prior to the
related Corridor Contract Termination Date, the amount, if any, payable by the
Cap Contract Counterparty under the related Corridor Contract will equal the
product of (i) the excess of (x) One-Month LIBOR (as determined by the Cap
Contract Counterparty and subject to a cap equal to the rate with respect to
such

                                      -123-

<PAGE>

Distribution Date as shown under the heading "1ML Upper Collar" in the schedule
to the related Corridor Contract), over (y) the rate with respect to such
Distribution Date as shown under the heading "1ML Strike Lower Collar" in the
schedule to the related Corridor Contract, (ii) an amount equal to the lesser of
(x) the related Corridor Contract Notional Balance for such Distribution Date
and (y) the outstanding Certificate Principal Balance of the related classes of
Certificates and (iii) the number of days in such Accrual Period, divided by
360. If a payment is made to the Issuing Entity under a Corridor Contract and
the Trustee is required to distribute excess amounts to the holders of the Class
C Certificates as described above, information regarding such distribution will
be included in the monthly statement made available on the Trustee's website
pursuant to Section 4.05(b) hereof.

          (ii) Amounts on deposit in the Corridor Contract Account will remain
uninvested pending distribution to Certificateholders.

          (iii) Each Corridor Contract is scheduled to remain in effect until
the related Corridor Contract Termination Date and will be subject to early
termination only in limited circumstances. Such circumstances include certain
insolvency or bankruptcy events in relation to the Cap Contract Counterparty
(after a grace period of three Local Business Days, as defined in the related
Corridor Contract, after notice of such failure is received by the Cap Contract
Counterparty) to make a payment due under the related Corridor Contract, the
failure by the Cap Contract Counterparty (after a cure period of twenty (20)
days after notice of such failure is received) to perform any other agreement
made by it under the related Corridor Contract, the termination of the Trust
Fund and the related Corridor Contract becoming illegal or subject to certain
kinds of taxation.

          (iv) On the Closing Date, the Cap Contract Counterparty and the
Trustee (which is hereby authorized and directed to enter into such credit
support annex) will enter into a credit support annex in relation to the
Corridor Contracts, which annex is intended to protect the Issuing Entity from
certain ratings downgrades that might hinder the ability of the Cap Contract
Counterparty to continue its obligations under the Corridor Contracts.

     Pursuant to and in accordance with the terms and provisions of the Corridor
Contracts, the Cap Contract Counterparty may be required to post additional
collateral in connection with its obligations under the Corridor Contracts. In
connection with the foregoing, the Trustee shall establish a Corridor Posted
Collateral Account on the Closing Date.

     To the extent that the Cap Contract Counterparty remits any Posted
Collateral to the Trustee under the Corridor Contracts, the Trustee shall, upon
receipt of the Posted Collateral, deposit the Posted Collateral into the
Corridor Posted Collateral Account and shall hold, release and disburse such
collateral in accordance with the terms and provisions of the Corridor
Contracts. Where a termination event occurs with respect to the Cap Contract
Counterparty under the Corridor Contracts, or where the Cap Contract
Counterparty fulfills certain obligations to the Issuing Entity such as finding
a replacement cap contract counterparty or a guarantor that meets the criteria
described in the Corridor Contracts, the Trustee shall make payments from the
Corridor Posted Collateral Account in accordance with the provisions of the
Corridor Contract. Amounts held in the Corridor Posted Collateral Account will
not be part of the Trust Fund and will not be available for distribution to any
Certificateholders, except to the extent distributed to the Corridor Contract
Account pursuant to the Corridor Contracts. Any funds held in the Corridor
Posted Collateral Account shall be invested by the Trustee in Eligible
Investments in accordance with the instructions of the Cap Contract
Counterparty. Any earnings shall be remitted to the Cap Contract Counterparty in
accordance with the Corridor Contracts. The Trustee shall not be responsible for
any

                                      -124-

<PAGE>

losses. Absent receipt by the Trustee of written instructions from the Cap
Contract Counterparty, such funds shall remain uninvested.

          (l) On the Closing Date, the Supplemental Interest Trust shall be
established and maintained pursuant to this Agreement, as a separate trust, the
corpus of which shall be held by the Supplemental Interest Trust Trustee for the
benefit of the holders of the Certificates as a segregated subtrust of the Trust
Fund. The Supplemental Interest Trust shall be an Eligible Account, and funds
deposited therein shall be held separate and apart from, and shall not be
commingled with, any other moneys, including, without limitation, other moneys
of the Trustee or the Supplemental Interest Trust Trustee held pursuant to this
Agreement. In no event shall any funds deposited in the Supplemental Interest
Trust be credited to or made available to any other account of the Trust Fund.
The records of the Trustee shall at all times reflect that the Supplemental
Interest Trust is a subtrust of the Trust Fund, the assets of which are
segregated from other assets of the Trust Fund.

     The Supplemental Interest Trust Trustee is hereby directed by the Depositor
to execute the Swap Agreement on behalf of the Supplemental Interest Trust in
the forms presented to it by the Depositor and shall have no responsibility for
the contents of such Swap Agreement, including, without limitation, the
representations and warranties contained therein. The Supplemental Interest
Trust Trustee shall have all of the rights and protections of the Trustee
hereunder. The Depositor is hereby directed to make, or cause to be made, the
"additional payment" (as described in the Swap Agreement) on behalf of the
Supplemental Interest Trust.

     The Supplemental Interest Trust Trustee shall enforce all of the rights of
the Supplemental Interest Trust and exercise any remedies under the Swap
Agreement and, in the event the Swap Agreement is terminated as a result of the
designation by either party thereto of an Early Termination Date (as defined in
the Swap Agreement), find a replacement counterparty to enter into a replacement
swap agreement utilizing the amounts of the net Swap Termination Payments
received.

     For each Distribution Date, through and including the Distribution Date in
May 2012, the Supplemental Interest Trust Trustee shall, based on the
Significance Estimate (which shall be provided to the Trustee by the Depositor
within five (5) Business Days prior to the Distribution Date), calculate the
Significance Percentage of each of the Swap Agreement. If on any such
Distribution Date, the Significance Percentage is equal to or greater than 9%,
the Supplemental Interest Trust Trustee shall promptly notify the Depositor and
the Depositor, on behalf of the Supplemental Interest Trust Trustee, shall
obtain the financial information required to be delivered by the Swap
Counterparty pursuant to the terms of the Swap Agreement. If, on any succeeding
Distribution Date through and including the Distribution Date in May 2012, the
Significance Percentage is equal to or greater than 10%, the Supplemental
Interest Trust Trustee shall promptly notify the Depositor and the Depositor
shall, within five (5) Business Days of such Distribution Date, deliver to the
Supplemental Interest Trust Trustee the financial information provided to it by
the Swap Counterparty in EDGAR-compatible format (or such other word processing
format that is EDGAR-compatible) for inclusion in the Form 10-D relating to such
Distribution Date.

     Any Swap Termination Payment received by the Supplemental Interest Trust
Trustee shall be deposited in the Swap Account and shall be used to make any
upfront payment required under a replacement swap agreement and any upfront
payment received from the counterparty to a replacement swap agreement shall be
used to pay any Swap Termination Payment owed to the Swap Counterparty.

                                      -125-

<PAGE>

     Notwithstanding anything contained herein, in the event that a replacement
swap agreement cannot be obtained within thirty (30) days after receipt by the
Supplemental Interest Trust Trustee of the Swap Termination Payment paid by the
terminated Swap Counterparty, the Supplemental Interest Trust Trustee shall
deposit such Swap Termination Payment into a separate, segregated non-interest
bearing subtrust established by the Supplemental Interest Trust Trustee and the
Supplemental Interest Trust Trustee shall, on each Distribution Date following
receipt of such Swap Termination Payment, withdraw from such subtrust, an amount
equal to the Net Swap Payment, if any, that would have been paid to the
Supplemental Interest Trust by the original Swap Counterparty (computed in
accordance with the original Swap Agreement) and distribute such amount in
accordance with Section 4.04(l)(i)-(viii) of this Agreement. Any such subtrust
shall not be an asset of any REMIC. Any amounts remaining in such subtrust shall
be distributed to the holders of the Class C Certificates on the Distribution
Date following the earlier of (i) the termination of the Trust Fund pursuant to
Section 9.01 and (ii) May 25, 2012.

     On any Distribution Date (or in the case of any Net Swap Payments, on the
related Swap Payment Date), any Swap Termination Payments or Net Swap Payments
owed to the Swap Counterparty will be paid out of and any Net Swap Payments or
Swap Termination Payments received from the Swap Counterparty will be deposited
into the Swap Account (an account within the Supplemental Interest Trust). The
Supplemental Interest Trust will not be an asset of any REMIC. Funds in the Swap
Account within the Supplemental Interest Trust shall be distributed in the
following order of priority by the Trustee:

          (i) to the Swap Counterparty, all Net Swap Payments, if any, owed to
the Swap Counterparty for such Distribution Date;

          (ii) to the Swap Counterparty, any Swap Termination Payment, other
than a Defaulted Swap Termination Payment, if any, owed to the Swap
Counterparty;

          (iii) to each class of the Class A Certificates, on a pro rata basis,
any Current Interest and any Interest Carry Forward Amount with respect to such
class to the extent unpaid;

          (iv) sequentially, to the Class M-1 Certificates, the Class M-2
Certificates, the Class M-3 Certificates, the Class M-4 Certificates, the Class
M-5 Certificates, the Class M-6 Certificates, the Class B-1 Certificates, the
Class B-2 Certificates and the Class B-3 Certificates, in that order, any
Current Interest for such class to the extent unpaid; provided, however that any
amounts distributed to the Class M-1, Class M-2, Class M-3 and Class M-4
Certificates shall be distributed to each class of such Class M Certificates,
pro rata, based on Current Interest due to each class;

          (v) sequentially, to the Class M-1 Certificates, the Class M-2
Certificates, the Class M-3 Certificates, the Class M-4 Certificates, the Class
M-5 Certificates, the Class M-6 Certificates, the Class B-1 Certificates, the
Class B-2 Certificates and the Class B-3 Certificates, in that order, any
Interest Carry Forward with respect to such class to the extent unpaid;
provided, however that any amounts distributed to the Class M-1, Class M-2,
Class M-3 and Class M-4 Certificates shall be distributed to each class of such
Class M Certificates, pro rata, based on Interest Carry Forward Amount due to
each class;

          (vi) to the Class A, Class R, Class M and Class B Certificates, to pay
principal as described and in the same manner and order of priority as set forth
in Sections 4.04(d)(iii) through 4.04(d)(xii) in order to restore levels of the
Overcollateralization Amount, and after giving effect to distributions from
Principal Distribution Amount for each such Class;

                                      -126-

<PAGE>

          (vii) sequentially, to the Class M-1 Certificates, the Class M-2
Certificates, the Class M-3 Certificates, the Class M-4 Certificates, the Class
M-5 Certificates, the Class M-6 Certificates, the Class B-1 Certificates, the
Class B-2 Certificates and the Class B-3 Certificates, in that order, any Unpaid
Realized Loss Amount for such class to the extent unpaid; provided, however that
any amounts distributed to the Class M-1, Class M-2, Class M-3 and Class M-4
Certificates shall be distributed to each class of such Class M Certificates,
pro rata, based on any Unpaid Realized Loss Amount due to each class;

          (viii) to the Class A, Class R, Class M and Class B Certificates, on a
pro rata basis, any Floating Rate Certificate Carryover to the extent not paid
based on the amount of such unpaid Floating Rate Certificate Carryover;

          (ix) to the Swap Counterparty, any Defaulted Swap Termination Payment
owed to the Swap Counterparty to the extent not already paid; and

          (x) to the Class C Certificates any remaining amount.

     Notwithstanding the foregoing, however, after giving effect to proposed
distributions on any Distribution Date, the sum of the cumulative amounts
distributed pursuant to clause (vi) above and the cumulative amounts distributed
pursuant to clause (vii) above shall be limited to the aggregate amount of
cumulative Realized Losses incurred from the Cut-off Date through the last day
of the related Prepayment Period.

     Upon termination of the Trust Fund, any amounts remaining in the Swap
Account within the Supplemental Interest Trust shall be distributed pursuant to
the priorities set forth in this Section 4.04(l).

     With respect to the failure of the Swap Counterparty to perform any of its
obligations under the Swap Agreement, the breach by the Swap Counterparty of any
of its representations and warranties made pursuant to the Swap Agreement, or
the termination of the Swap Agreement, the Supplemental Interest Trust Trustee
shall send any notices and make any demands required hereunder (to the extent
that a Responsible Officer of the Trustee has actual knowledge or written notice
of any such failure, breach or termination).

     On the Closing Date, the Swap Counterparty and the Supplemental Interest
Trust Trustee (which is hereby authorized and directed to enter into such credit
support annex) will enter into a credit support annex in relation to the Swap
Agreement, which annex is intended to protect the Supplemental Interest Trust
from certain ratings downgrades that might hinder the ability of the Swap
Counterparty to continue its obligations under the Swap Agreement.

     Pursuant to and in accordance with the terms and provisions of the Swap
Agreement, the Swap Counterparty may be required to post additional collateral
in connection with its obligations under the Swap Agreement. In connection with
the foregoing, on the Closing Date, the Supplemental Interest Trust Trustee
shall establish and maintain a Swap Posted Collateral Account.

     To the extent that the Swap Counterparty remits any Posted Collateral to
the Supplemental Interest Trust Trustee under the Swap Agreement, the
Supplemental Interest Trust Trustee shall, upon receipt of the Posted
Collateral, deposit the Posted Collateral into the Swap Posted Collateral
Account and shall hold, release and disburse such collateral in accordance with
the terms and provisions of the

                                      -127-

<PAGE>

Swap Agreement. Where a termination event occurs with respect to the Swap
Counterparty under the Swap Agreement, or where the Swap Counterparty fulfills
certain obligations to the Supplemental Interest Trust such as finding a
replacement swap counterparty or a guarantor that meets established criteria of
the Rating Agencies, the Supplemental Interest Trust Trustee shall make payments
from the Swap Posted Collateral Account in accordance with the provisions of the
Swap Agreement. Amounts held in the Swap Posted Collateral Account will not be
part of the Trust Fund and will not be available for distribution to any
Certificateholders, except to the extent distributed to the Swap Account
pursuant to the Swap Agreement. Any funds held in the Swap Posted Collateral
Account shall be invested by the Trustee in Eligible Investments in accordance
with the instructions of the Swap Counterparty. Any earnings shall be remitted
to the Swap Counterparty in accordance with the Swap Agreement. The Trustee
shall not be responsible for any losses. Absent receipt by the Trustee of
written instructions from the Swap Counterparty, such funds shall remain
uninvested.

     SECTION 4.05. Monthly Statements to Certificateholders

          (a) Not later than each Distribution Date, the Trustee shall prepare
and make available on its website located at www.etrustee.net to each Holder of
a Class of Certificates of the Issuing Entity, the Servicer, the Trustee, the
Rating Agencies, the Depositor, the Cap Contract Counterparty and the Swap
Counterparty a statement setting forth for the Certificates the following
information; provided, however, that with respect to any calendar year during
which an annual report on Form 10-K is not required to be filed with the
Commission on behalf of the Issuing Entity, the information set forth in Items
(xxiv) through (xxxii) below are not required to be included in such statement
during any calendar year:

          (i) the amount of the related distribution to Holders of each Class
allocable to principal, separately identifying (A) the aggregate amount of any
Principal Prepayments included therein, (B) the aggregate of all scheduled
payments of principal included therein, (C) the Extra Principal Distribution
Amount, if any, and (D) the aggregate amount of Prepayment Charges, if any;

          (ii) the amount of such distribution to Holders of each Class
allocable to interest, together with any Non-Supported Interest Shortfalls
allocated to each Class;

          (iii) any interest Carryforward Amount for each Class of the Class A,
Class M and Class B Certificates;

          (iv) the Class Certificate Principal Balance of each Class after
giving effect (i) to all distributions allocable to principal on such
Distribution Date and (ii) the allocation of any Applied Realized Loss Amounts
for such Distribution Date;

          (v) the Pool Stated Principal Balance for such Distribution Date;

          (vi) the amount of the Servicing Fee paid to or retained by the
Servicer and any amounts constituting reimbursement or indemnification of the
Servicer or Trustee;

          (vii) the Pass-Through Rate for each Class of Certificates for such
Distribution Date;

          (viii) the amount of Advances included in the distribution on such
Distribution Date or reimbursed during the period;

                                      -128-

<PAGE>

          (ix) the cumulative amount of (A) Realized Losses and (B) Applied
Realized Loss Amounts to date, in the aggregate and with respect to the Group
One Mortgage Loans and Group Two Mortgage Loans;

          (x) the amount of (A) Realized Losses and (B) Applied Realized Loss
Amounts with respect to such Distribution Date, in the aggregate and with
respect to the Group One Mortgage Loans and Group Two Mortgage Loans;

          (xi) the number and aggregate principal amounts of Mortgage Loans (A)
Delinquent (exclusive of Mortgage Loans in foreclosure) (1) 31 to 60 days, (2)
61 to 90 days and (3) 91 or more days, and (B) in foreclosure and Delinquent (1)
31 to 60 days, (2) 61 to 90 days and (3) 91 or more days, in each case as of the
close of business on the last day of the calendar month preceding such
Distribution Date, in the aggregate and with respect to the Group One Mortgage
Loans and Group Two Mortgage Loans in accordance with the OTS methodology for
reporting delinquencies;

          (xii) with respect to any Mortgage Loan that became an REO Property
during the preceding calendar month, the loan number and Stated Principal
Balance of such Mortgage Loan as of the close of business on the last day of the
calendar month preceding such Distribution Date, in the aggregate and with
respect to the Group One Mortgage Loans and Group Two Mortgage Loans;

          (xiii) the total number and principal balance of any REO Properties as
of the close of business on the last day of the calendar month preceding such
Distribution Date, in the aggregate and with respect to the Group One Mortgage
Loans and Group Two Mortgage Loans;

          (xiv) the aggregate Stated Principal Balance of all loans that became
Liquidated Loans as of such Distribution Date calculated as of the preceding
Distribution Date, in the aggregate and with respect to the Group One Mortgage
Loans and Group Two Mortgage Loans; (xv) whether a Stepdown Trigger Event has
occurred and is in effect;

          (xvi) with respect to each Class of Certificates, any Interest Carry
Forward Amount with respect to such Distribution Date for each such Class, any
Interest Carry Forward Amount paid for each such Class and any remaining
Interest Carry Forward Amount for each such Class;

          (xvii) the number and Stated Principal Balance (as of the preceding
Distribution Date) of any Mortgage Loans which were purchased or repurchased
during the preceding Prepayment Period and since the Cut-off Date;

          (xviii) the number of Mortgage Loans prepaid in full for which
Prepayment Charges were received during the related Prepayment Period and, for
each such Mortgage Loan, the amount of Prepayment Charges received during the
related Prepayment Period and in the aggregate of such amounts for all such
Mortgage Loans since the Cut-off Date, and for partial Principal Prepayments,
the amount received during the preceding calendar month;

          (xix) the amount and purpose of any withdrawal from the Collection
Account pursuant to Section 3.08(a)(viii);

                                      -129-

<PAGE>

          (xx) the amount of any payments to each Class of Certificates that are
treated as payments received in respect of a REMIC "regular interest" or REMIC
"residual interest" and the amount of any payments to each Class of Certificates
that are not treated as payments received in respect of a REMIC "regular
interest" or REMIC "residual interest";

          (xxi) as of each Distribution Date, the amount, if any, to be
deposited in the Issuing Entity pursuant to the related Corridor Contract as
described in Section 4.04(k) and the amount thereof to be paid to the Class A-1
Certificates, the Class A-2 Certificates, the Subordinate Certificates and the
Class C Certificates described in Section 4.04(k) hereof;

          (xxii) as of each Distribution Date, the amount, if any, to be
deposited in the Supplemental Interest Trust pursuant to the Swap Agreement as
described in Section 4.04(l) and the amount thereof to be paid to the
Certificates;

          (xxiii) any Floating Rate Certificate Carryover paid and all Floating
Rate Certificate Carryover remaining on each class of the Class A, Class M and
Class B Certificates on such Distribution Date;

          (xxiv) the number of Mortgage Loans with respect to which (i) a
reduction in the Mortgage Rate has occurred or (ii) the related borrower's
obligation to repay interest on a monthly basis has been suspended or reduced
pursuant to the Relief Act; and the amount of interest not required to be paid
with respect to any such Mortgage Loans during the related Due Period as a
result of such reductions in the aggregate and with respect to the Group One
Mortgage Loans and the Group Two Mortgage Loans;

          (xxv) with respect to each Class of Certificates, the amount of any
Non-Supported Interest Shortfalls on such Distribution Date;

          (xxvi) the number and amount of pool assets at the beginning and
ending of each period, and updated pool composition information;

          (xxvii) any material changes to methodology regarding calculations of
delinquencies and charge-offs;

          (xxviii) information on the amount of Servicing Advances made or
reimbursed during the period;

          (xxix) any material modifications, extensions or waivers to pool asset
terms, fees, penalties or payments during the distribution period or that have
cumulatively become material over time;

          (xxx) material breaches of pool asset representations or warranties or
transaction covenants;

          (xxxi) information on ratio, coverage or other tests used for
determining any early amortization, liquidation or other performance trigger and
whether the trigger was met; and

          (xxxii) information regarding any pool asset changes (other than in
connection with a pool asset converting into cash in accordance with its terms),
such as pool asset substitutions and

                                      -130-

<PAGE>

repurchases (and purchase rates, if applicable), and cash flows available for
future purchases, such as the balances of any prefunding or revolving accounts,
if applicable.

          (b) The Trustee will make the Monthly Statement (and, at its option,
any additional files containing the same information in an alternative format)
available each month to Certificateholders, other parties to this Agreement and
any other interested parties via the Trustee's Internet website. The Trustee's
Internet website shall initially be located at "www.etrustee.net". Assistance in
using the website can be obtained by calling the Trustee at (312) 904-4839.
Parties that are unable to use the website are entitled to have a paper copy
mailed to them via first class mail by calling the customer service desk and
indicating such. The Trustee shall have the right to change the way the monthly
statements to Certificateholders are distributed in order to make such
distribution more convenient and/or more accessible to the above parties and the
Trustee shall provide timely and adequate notification to all above parties
regarding any such changes.

     The foregoing information and reports shall be prepared and determined by
the Trustee based on Mortgage Loan data and other information provided to the
Trustee by the Servicer, the Swap Counterparty, the Cap Contract Counterparty or
any other third party required to deliver information hereunder. In preparing or
furnishing the foregoing information, the Trustee shall be entitled to rely
conclusively on the accuracy of the information or data provided to the Trustee
by the Servicer, the Swap Counterparty, the Cap Contract Counterparty or any
other third party required to deliver information and shall have no liability
for any errors in any such information.

     As a condition to access the Trustee's internet website, the Trustee may
require registration and the acceptance of a disclaimer. The Trustee will not be
liable for the dissemination of information in accordance with this Agreement.

          (c) If so requested in writing within a reasonable period of time
after the end of each calendar year, the Trustee shall make available on its
website or cause to be furnished to each Person who at any time during the
calendar year was a Certificateholder of record, a statement containing the
information set forth in clauses (a)(i) and (a)(ii) of this Section 4.05
aggregated for such calendar year or applicable portion thereof during which
such Person was a Certificateholder. Such obligation of the Trustee shall be
deemed to have been satisfied to the extent that substantially comparable
information shall be provided by the Trustee pursuant to any requirements of the
Code as are from time to time in effect.

          (d) Upon filing with the Internal Revenue Service, the Trustee shall
furnish to the Holders of the Class R Certificate each Form 1066Q and shall
respond promptly to written requests made not more frequently than quarterly by
any Holder of Class R Certificate with respect to the following matters:

          (i) The original projected principal and interest cash flows on the
Closing Date on each Class of regular and residual interests created hereunder
and on the Mortgage Loans, based on the Prepayment Assumption;

          (ii) The projected remaining principal and interest cash flows as of
the end of any calendar quarter with respect to each Class of regular and
residual interests created hereunder and the Mortgage Loans, based on the
Prepayment Assumption;

                                      -131-

<PAGE>

          (iii) The Prepayment Assumption and any interest rate assumptions used
in determining the projected principal and interest cash flows described above;

          (iv) The original issue discount (or, in the case of the Mortgage
Loans, market discount) or premium accrued or amortized through the end of such
calendar quarter with respect to each Class of regular or residual interests
created hereunder and to the Mortgage Loans, together with each constant yield
to maturity used in computing the same;

          (v) The treatment of losses realized with respect to the Mortgage
Loans or the regular interests created hereunder, including the timing and
amount of any cancellation of indebtedness income of the REMICs with respect to
such regular interests or bad debt deductions claimed with respect to the
Mortgage Loans;

          (vi) The amount and timing of any non-interest expenses of the REMICs;
and

          (vii) Any taxes (including penalties and interest) imposed on the
REMICs, including, without limitation, taxes on "prohibited transactions,"
"contributions" or "net income from foreclosure property" or state or local
income or franchise taxes.

     The information pursuant to clauses (i), (ii), (iii) and (iv) above shall
be provided by the Depositor pursuant to Section 8.12.

                                    ARTICLE V
                                THE CERTIFICATES

     SECTION 5.01. The Certificates

     The Certificates shall be substantially in the forms attached hereto as
exhibits. The Certificates shall be issuable in registered form, in the minimum
dollar denominations, integral dollar multiples in excess thereof (except that
one Certificate of each Class may be issued in a different amount which must be
in excess of the applicable minimum dollar denomination) and aggregate dollar
denominations as set forth in the following table:

<TABLE>
<CAPTION>
                         Integral        Original
                       Multiples in    Certificate
           Minimum       Excess of       Principal
Class   Denomination      Minimum         Balance
-----   ------------   ------------   --------------
<S>     <C>            <C>            <C>
A-1A    $25,000.00       $1.00        $ 285,760,00
A-1B    $25,000.00       $1.00        $ 26,321,000
A-1C    $25,000.00       $1.00        $205,174,000
A-1D    $25,000.00       $1.00        $ 33,199,000
A-2A    $25,000.00       $1.00        $420,975,000
A-2B    $25,000.00       $1.00        $210,336,000
A-2C    $25,000.00       $1.00        $235,961,000
A-2D    $25,000.00       $1.00        $ 91,182,000
M-1-1   $25,000.00       $1.00        $ 35,135,000
M-1-2   $25,000.00       $1.00        $ 61,178,000
M-2-1   $25,000.00       $1.00        $ 28,590,000
M-2-2   $25,000.00       $1.00        $ 49,783,000
</TABLE>

                                     -132-

<PAGE>

<TABLE>
<CAPTION>
                         Integral        Original
                       Multiples in    Certificate
           Minimum       Excess of       Principal
Class   Denomination      Minimum         Balance
-----   ------------   ------------   --------------
<S>     <C>            <C>            <C>
M-3-1   $25,000.00       $1.00        $  7,922,000
M-3-2   $25,000.00       $1.00        $ 13,795,000
M-4-1   $25,000.00       $1.00        $  9,989,000
M-4-2   $25,000.00       $1.00        $ 17,394,000
M-5     $25,000.00       $1.00        $ 23,607,000
M-6     $25,000.00       $1.00        $ 16,996,000
B-1     $25,000.00       $1.00        $ 19,829,000
B-2     $25,000.00       $1.00        $ 18,885,000
B-3     $25,000.00       $1.00        $ 23,606,000
R       $   100.00         N/A        $     100.00
C                 (1)         (1)              100%
P                 (2)         (2)                 (2)
</TABLE>

----------
(1)  The Class C Certificates shall not have minimum dollar denominations as the
     Certificate Principal Balance thereof shall vary over time as described
     herein and shall be issued in a minimum percentage interest of 25% and an
     aggregate percentage interest of 100%.

(2)  The Class P Certificates shall not have minimum dollar denominations or
     Certificate Principal Balances and shall be issued in a minimum percentage
     interest of 100%.

     The Certificates shall be executed by manual or facsimile signature on
behalf of the Trustee by an authorized officer. Certificates bearing the manual
or facsimile signatures of individuals who were, at the time when such
signatures were affixed, authorized to sign on behalf of the Trustee shall bind
the Issuing Entity, notwithstanding that such individuals or any of them 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 authentication and
delivery. No Certificate shall be entitled to any benefit under this Agreement,
or be valid for any purpose, unless there appears on such Certificate a
certificate of authentication substantially in the form set forth as attached
hereto executed by the Authenticating Agent by manual signature, and such
certificate of authentication upon any Certificate shall be 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. On the Closing Date, the Authenticating Agent shall authenticate
the Certificates to be issued at the written direction of the Depositor, or any
Affiliate thereof.

     The Certificates sold in offshore transactions in reliance on Regulation S
shall be issued initially in the form of one or more permanent global
certificates in definitive, fully registered form without interest coupons with
the applicable legends set forth in Exhibit A hereto added to the form of each
such Certificate (each, a "Regulation S Book-Entry Certificate"), which shall be
deposited on behalf of the Holders of such Certificates represented thereby with
the Trustee, as custodian for DTC and registered in the name of a nominee of
DTC, duly executed and authenticated by the Trustee and the Authenticating Agent
as hereinafter provided. The aggregate principal amounts of the Regulation S
Book-Entry Certificates may from time to time be increased or decreased by
adjustments made on the records of the Trustee or DTC or its nominee, as the
case may be, as hereinafter provided.

     The Certificates sold in reliance on Rule 144A shall be issued initially in
the form of one or more permanent global certificates in definitive, fully
registered form without interest coupons with the applicable legends set forth
in Exhibit A hereto added to the form of each such Certificate (each, a "Rule

                                     -133-

<PAGE>

144A Book-Entry Certificate"), which shall be deposited on behalf of the Holders
of such Certificates represented thereby with the Trustee, as custodian for DTC
and registered in the name of a nominee of DTC, duly executed and authenticated
by the Trustee and the Authenticating Agent as hereinafter provided. The
aggregate principal amounts of the Rule 144A Book-Entry Certificates may from
time to time be increased or decreased by adjustments made on the records of the
Trustee or DTC or its nominee, as the case may be, as hereinafter provided.

     SECTION 5.02. Certificate Register; Registration of Transfer and Exchange
of Certificates

          (a) The Trustee shall maintain, or cause to be maintained in
accordance with the provisions of Section 5.09 hereof, a Certificate Register
for the Issuing Entity in which, subject to the provisions of subsections (b)
and (c) below and to such reasonable regulations as it may prescribe, the
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 Certificate, the Authenticating Agent shall authenticate and
deliver, in the name of the designated transferee or transferees, one or more
new Certificates of the same Class and of like aggregate Percentage Interest.

     At the option of a Certificateholder, Certificates may be exchanged for
other Certificates of the same Class in authorized denominations and evidencing
the same aggregate Percentage Interest upon surrender of the Certificates to be
exchanged at the office or agency of the Trustee. Whenever any Certificates are
so surrendered for exchange, the Trustee shall execute and the Authenticating
Agent shall authenticate and deliver the Certificates that the Certificateholder
making the exchange is entitled to receive. Every Certificate presented or
surrendered for registration of Transfer or exchange shall be accompanied by a
written instrument of Transfer in form satisfactory to the Trustee duly executed
by the holder thereof or his attorney duly authorized in writing.

     No service charge to the Certificateholders shall be made for any
registration of Transfer or exchange of Certificates, but 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 may be required. All
Certificates surrendered for registration of Transfer or exchange shall be
canceled and subsequently destroyed by a Trustee in accordance with such
Trustee's customary procedures.

     No Transfer of a Class C or Class P Certificate shall be made unless such
Transfer is made pursuant to an effective registration statement under the
Securities Act and any applicable state securities laws or is exempt from the
registration requirements under the Securities Act and such state securities
laws. In the event that a Transfer is to be made in reliance upon an exemption
from the Securities Act and such laws, in order to assure compliance with the
Securities Act and such laws, the Certificateholder desiring to effect such
Transfer and such Certificateholder's prospective transferee shall (except with
respect to the initial transfer of a Class C or Class P Certificate by Merrill
Lynch & Co. or, in connection with a transfer of a Class C or Class P
Certificate to the indenture trustee under an Indenture pursuant to which NIM
Notes are issued whether or not such notes are guaranteed by the NIMs Insurer)
each certify to the Trustee in writing the facts surrounding the Transfer in
substantially the form set forth in Exhibit F (the "Transferor Certificate") and
(i) deliver a letter in substantially the form of either Exhibit G (the
"Investment Letter") or Exhibit H (the "Rule 144A Letter") or (ii) there shall
be delivered to the Trustee an Opinion of Counsel that such Transfer may be made
pursuant to an exemption from the Securities Act, which Opinion of Counsel shall
not be an expense of the Depositor or the Trustee. The Depositor shall provide
to any Holder of a Class C or Class P Certificate and any prospective transferee
designated by any such Holder, information regarding the related Certificates
and the Mortgage Loans and such other

                                     -134-

<PAGE>

information as shall be necessary to satisfy the condition to eligibility set
forth in Rule 144A(d)(4) for Transfer of any such Certificate without
registration thereof under the Securities Act pursuant to the registration
exemption provided by Rule 144A. The Trustee shall cooperate with the Depositor
in providing the Rule 144A information referenced in the preceding sentence,
including providing to the Depositor such information in the possession of the
Trustee regarding the Certificates, the Mortgage Loans and other matters
regarding the Trust Fund as the Depositor shall reasonably request to meet its
obligation under the preceding sentence. Each Holder of a Class C or Class P
Certificate desiring to effect such Transfer shall, and does hereby agree to,
indemnify the Depositor and the Trustee against any liability that may result if
the Transfer is not so exempt or is not made in accordance with such federal and
state laws.

     By acceptance of a Regulation S Global Security, whether upon original
issuance or subsequent transfer, each Holder of such a Certificate acknowledges
the restrictions on the transfer of such Certificate set forth thereon and
agrees that it will only transfer such a Certificate as provided herein. In
addition, each Holder of a Regulation S Global Security shall be deemed to have
represented and warranted to the Depositor, the Trustee and any of their
respective successors that: (i) such Person is not a "U.S. person" within the
meaning of Regulation S and was, at the time the buy order was originated,
outside the United States and (ii) such Person understands that such
Certificates have not been registered under the Securities Act and that (x)
until the expiration of the 40-day distribution compliance period (within the
meaning of Regulation S), no offer, sale, pledge or other transfer of such
Certificates or any interest therein shall be made in the United States or to or
for the account or benefit of a U.S. person (each as defined in Regulation S),
(y) if in the future it decides to offer, resell, pledge or otherwise transfer
such Certificates, such Certificates may be offered, resold, pledged or
otherwise transferred only (A) to a person which the seller reasonably believes
is a "qualified institutional buyer" as defined in Rule 144A under the
Securities Act, that is purchasing such Certificates for its own account or for
the account of a qualified institutional buyer to which notice is given that the
transfer is being made in reliance on Rule 144A or (B) in an offshore
transaction (as defined in Regulation S) in compliance with the provisions of
Regulation S, in each case in compliance with the requirements of this
Agreement; and it will notify such transferee of the transfer restrictions
specified in this Section.

     No transfer of a Certificate that is neither an ERISA Restricted
Certificate nor a Class R Certificate shall be registered unless the transferee
provides the Trustee with a representation that either (i) such transferee is
not, and is not acting for, on behalf of or with any assets of, an employee
benefit plan or other arrangement subject to Title I of ERISA or plan subject to
Section 4975 of the Code, or (ii) until the termination of the Swap Agreement,
the acquisition and holding of the Certificate will not constitute or result in
a non-exempt prohibited transaction under Title I of ERISA or Section 4975 of
the Code.

     No transfer of an ERISA Restricted Certificate or a Class R Certificate
shall be registered unless the Trustee has received (A) a representation to the
effect that such transferee is not an employee benefit plan subject to Title I
of ERISA, a plan subject to Section 4975 of the Code or a plan subject to any
state, local, federal, non-U.S. or other law substantively similar to the
foregoing provisions of ERISA or the Code ("Similar Law"), and is not directly
or indirectly acquiring the ERISA Restricted Certificate or the Class R
Certificate by, on behalf of, or with any assets of any such plan (collectively,
"Plan"), or (B) solely in the case of ERISA Restricted Certificates, (I) if the
Certificate has been the subject of an ERISA-Qualifying Underwriting, a
representation to the effect that such transferee is an insurance company that
is acquiring the Certificate with assets of an "insurance company general
account," as defined in Section V(e) of Prohibited Transaction Class Exemption
("PTCE") 95-60, and the acquisition and holding of the Certificate are covered
and exempt under Sections I and III of PTCE 95-60, or (II)

                                     -135-

<PAGE>

solely in the case of an ERISA Restricted Certificate that is a Definitive
Certificate, an Opinion of Counsel satisfactory to the Trustee, and upon which
the Trustee and the NIMs Insurer shall be entitled to rely, to the effect that
the acquisition and holding of such Certificate will not constitute or result in
a nonexempt prohibited transaction under Title I of ERISA or Section 4975 of the
Code, or a violation of Similar Law, and will not subject the Trustee, the
Servicer, the NIMs Insurer or the Depositor to any obligation in addition to
those expressly undertaken in this Agreement, which Opinion of Counsel shall not
be an expense of the Trustee, the Servicer, the NIMs Insurer or the Depositor.

     Except in the case of a Definitive Certificate, the representations set
forth in the two immediately preceding paragraphs of this Subsection 5.02(a),
other than clause (B)(II) in the immediately preceding paragraph, shall be
deemed to have been made to the Trustee by the transferee's acceptance of a
Certificate (or the acceptance by a Certificate Owner of the beneficial interest
in any Class of Certificate).

     Notwithstanding any other provision herein to the contrary, any purported
transfer of a Certificate to or on behalf of a Plan without the delivery to the
Trustee of a representation or an Opinion of Counsel satisfactory to the Trustee
as described above shall be void and of no effect. The Trustee shall not be
under any liability to any Person for any registration or transfer of any
Certificate that is in fact not permitted by this Section 5.02(a), nor shall the
Trustee be under any liability for making any payments due on such Certificate
to the Holder thereof or taking any other action with respect to such Holder
under the provisions of this Agreement so long as the transfer was registered by
the Trustee in accordance with the foregoing requirements. The Trustee shall be
entitled, but not obligated, to recover from any Holder of any Certificate that
was in fact a Plan and that held such Certificate in violation of this Section
5.02(a) all payments made on such Certificate at and after the time it commenced
such holding. Any such payments so recovered shall be paid and delivered to the
last preceding Holder of such Certificate that is not a Plan.

          (b) Each Person who has or who acquires any Ownership Interest in a
Class R Certificate shall be deemed by the acceptance or acquisition of such
Ownership Interest to have agreed to be bound by the following provisions, and
the rights of each Person acquiring any Ownership Interest in a Class R
Certificate are expressly subject to the following provisions:

          (i) Each Person holding or acquiring any Ownership Interest in a Class
R Certificate shall be a Permitted Transferee and shall promptly notify the
Trustee of any change or impending change in its status as a Permitted
Transferee.

          (ii) No Ownership Interest in a Class R Certificate may be purchased,
transferred or sold, directly or indirectly, except in accordance with the
provisions hereof. No Ownership Interest in a Class R Certificate may be
registered on the Closing Date or thereafter transferred, and the Trustee shall
not register the Transfer of any Class R Certificate unless, in addition to the
certificates required to be delivered to the Trustee under subparagraph (a)
above, the Trustee shall have been furnished with an affidavit (a "Transfer
Affidavit") of the initial owner or the proposed transferee in the form attached
hereto as Exhibit E-1 and an affidavit of the proposed transferor in the form
attached hereto as Exhibit E-2. In the absence of a contrary instruction from
the transferor of a Class R Certificate, declaration (11) in Appendix A of the
Transfer Affidavit may be left blank. If the transferor requests by written
notice to the Trustee prior to the date of the proposed transfer that one of the
two other forms of declaration (11) in Appendix A of the Transfer Affidavit be
used, then the requirements of this Section 5.02(b)(ii) shall not have been
satisfied unless the Transfer Affidavit includes such other form of declaration.

                                     -136-
<PAGE>

          (iii) Each Person holding or acquiring any Ownership Interest in a
Class R Certificate shall agree (A) to obtain a Transfer Affidavit from any
other Person to whom such Person attempts to Transfer its Ownership Interest in
a Class R Certificate, (B) to obtain a Transfer Affidavit from any Person for
whom such Person is acting as nominee, trustee or agent in connection with any
Transfer of a Class R Certificate and (C) not to Transfer its Ownership Interest
in a Class R Certificate or to cause the Transfer of an Ownership Interest in a
Class R Certificate to any other Person if it has actual knowledge that such
Person is not a Permitted Transferee. Further, no transfer, sale or other
disposition of any Ownership Interest in a Class R Certificate may be made to a
person who is not a U.S. Person (within the meaning of section 7701 of the Code)
unless such person furnishes the transferor and the Trustee with a duly
completed and effective Internal Revenue Service Form W-8ECI (or any successor
thereto) and the Trustee consents to such transfer, sale or other disposition in
writing.

          (iv) Any attempted or purported Transfer of any Ownership Interest in
a Class R Certificate in violation of the provisions of this Section 5.02(b)
shall be absolutely null and void and shall vest no rights in the purported
transferee. If any purported transferee shall become a Holder of a Class R
Certificate in violation of the provisions of this Section 5.02(b), then the
last preceding Permitted Transferee shall be restored to all rights as Holder
thereof retroactive to the date of registration of Transfer of such Class R
Certificate. The Trustee shall be under no liability to any Person for any
registration of Transfer of a Class R Certificate that is in fact not permitted
by Section 5.02(a) and this Section 5.02(b) or for making any payments due on
such Certificate to the Holder thereof or taking any other action with respect
to such Holder under the provisions of this Agreement so long as the Transfer
was registered after receipt of the related Transfer Affidavit. The Trustee
shall be entitled but not obligated to recover from any Holder of a Class R
Certificate that was in fact not a Permitted Transferee at the time it became a
Holder or, at such subsequent time as it became other than a Permitted
Transferee, all payments made on such Class R Certificate at and after either
such time. Any such payments so recovered by the Trustee shall be paid and
delivered by the Trustee to the last preceding Permitted Transferee of such
Certificate.

          (v) At the option of the Holder of the Class R Certificate, the Class
SWR Interest, the Class LTR Interest and the residual interest in the Upper Tier
REMIC may be severed and represented by separate certificates (with the separate
certificate that represents the Residual Interest also representing all rights
of the Class R Certificate to distributions attributable to an interest rate on
the Class R Certificate in excess of the REMIC Pass-Through Rate); provided,
however, that such separate certification may not occur until the Trustee
receives an Opinion of Counsel to the effect that separate certification in the
form and manner proposed would not result in the imposition of federal tax upon
the Issuing Entity or any of the REMICs provided for herein or cause any of the
REMICs provided for herein to fail to qualify as a REMIC; and provided further,
that the provisions of Sections 5.02(a) and (b) will apply to each such separate
certificate as if the separate certificate were a Class R Certificate. If, as
evidenced by an Opinion of Counsel, it is necessary to preserve the REMIC status
of any of the REMICs provided for herein, the Class SWR Interest, the Class LTR
Interest and the residual interest in the Upper Tier REMIC shall be severed and
represented by separate certificates (with the separate certificate that
represents the Residual Interest also representing all rights of the Class R
Certificate to distributions attributable to an interest rate on the Class R
Certificate in excess of the REMIC Pass-Through Rate).

     The restrictions on Transfers of a Class R Certificate set forth in this
Section 5.02(b) shall cease to apply (and the applicable portions of the legend
on a Class R Certificate may be deleted) with respect to Transfers occurring
after delivery to the Trustee of an Opinion of Counsel, which Opinion of Counsel
shall not be an expense of the Issuing Entity, the Trustee or the Depositor, to
the effect that the

                                     -137-

<PAGE>

elimination of such restrictions will not cause any of the REMICs provided for
herein to fail to qualify as a REMIC at any time that the Certificates are
outstanding or result in the imposition of any tax on the Issuing Entity, any
REMIC provided for herein, a Certificateholder or another Person. Each Person
holding or acquiring any Ownership Interest in a Class R Certificate hereby
consents to any amendment of this Agreement that, based on an Opinion of Counsel
furnished to the Trustee, is reasonably necessary (a) to ensure that the record
ownership of, or any beneficial interest in, a Class R Certificate is not
transferred, directly or indirectly, to a Person that is not a Permitted
Transferee and (b) to provide for a means to compel the Transfer of a Class R
Certificate that is held by a Person that is not a Permitted Transferee to a
Holder that is a Permitted Transferee.

          (c) The transferor of the Class R Certificate shall notify the Trustee
in writing upon the transfer of the Class R Certificate.

          (d) [Reserved].

          (e) The preparation and delivery of all certificates, opinions and
other writings referred to above in this Section 5.02 shall not be an expense of
the Issuing Entity, the Depositor or the Trustee.

     SECTION 5.03. Mutilated, Destroyed, Lost or Stolen Certificates

     If (a) any mutilated Certificate is surrendered to the Trustee or the
Trustee receives evidence to its satisfaction of the destruction, loss or theft
of any Certificate and of the ownership thereof and (b) there is delivered to
the Trustee such security or indemnity as may be required by them to save each
of them harmless, then, in the absence of notice to the Trustee that such
Certificate has been acquired by a bona fide purchaser, the Trustee shall
execute, authenticate and deliver, in exchange for or in lieu of any such
mutilated, destroyed, lost or stolen Certificate, a new Certificate of like
Class, tenor and Percentage Interest. In connection with the issuance of any new
Certificate under this Section 5.03, the Trustee may require the payment of a
sum sufficient to cover any tax or other governmental charge that may be imposed
in relation thereto and any other expenses (including the fees and expenses of
the Trustee and its counsel) connected therewith. Any replacement Certificate
issued pursuant to this Section 5.03 shall constitute complete and indefeasible
evidence of ownership in the Trust Fund, as if originally issued, whether or not
the lost, stolen or destroyed Certificate shall be found at any time. All
Certificates surrendered to the Trustee under the terms of this Section 5.03
shall be canceled and destroyed by the Trustee in accordance with its standard
procedures without liability on its part.

     SECTION 5.04. Persons Deemed Owners

     The NIMs Insurer, the Trustee and any agent of the NIMs Insurer or the
Trustee may treat the Person in whose name any Certificate is registered as the
owner of such Certificate for the purpose of receiving distributions as provided
in this Agreement and for all other purposes whatsoever, and neither the NIMs
Insurer nor the Trustee, nor any agent of the NIMs Insurer or the Trustee, shall
be affected by any notice to the contrary.

     SECTION 5.05. Access to List of Certificateholders' Names and Addresses

     If three or more Certificateholders (a) request such information in writing
from the Trustee, (b) state that such Certificateholders desire to communicate
with other Certificateholders with respect to their

                                     -138-

<PAGE>

rights under this Agreement or under the Certificates, and (c) provide a copy of
the communication that such Certificateholders propose to transmit or if the
NIMs Insurer or the Depositor shall request such information in writing from the
Trustee, then the Trustee shall, within ten Business Days after the receipt of
such request, provide the NIMs Insurer or the Depositor or such
Certificateholders at such recipients' expense the most recent list of the
Certificateholders of the Issuing Entity held by the Trustee, if any. The
Depositor and every Certificateholder, by receiving and holding a Certificate,
agree that the Trustee shall not be held accountable by reason of the disclosure
of any such information as to the list of the Certificateholders hereunder,
regardless of the source from which such information was derived.

     SECTION 5.06. Book-Entry Certificates

     The Regular Certificates, upon original issuance, shall be issued in the
form of one or more typewritten Certificates representing the Book-Entry
Certificates, to be delivered to the Depository by or on behalf of the
Depositor. The Class C, Class P and Class R Certificates shall be definitive
certificates. The Book-Entry Certificates shall initially be registered on the
Certificate Register in the name of the Depository or its nominee, and no
Certificate Owner of a Book-Entry Certificate will receive a definitive
certificate representing such Certificate Owner's interest in such Certificates,
except as provided in Section 5.08. Unless and until definitive, fully
registered Certificates ("Definitive Certificates") have been issued to the
Certificate Owners of the Book-Entry Certificates pursuant to Section 5.08:

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

          (b) the Depositor, the NIMs Insurer and the Trustee may deal with the
Depository and the Depository Participants for all purposes (including the
making of distributions) as the authorized representative of the respective
Certificate Owners of the Book-Entry Certificates;

          (c) registration of the Book-Entry Certificates may not be transferred
by the Trustee except to another Depository;

          (d) the rights of the respective Certificate Owners of the Book-Entry
Certificates shall be exercised only through the Depository and the Depository
Participants and shall be limited to those established by law and agreements
between the Owners of the Book-Entry Certificates and the Depository and/or the
Depository Participants. Pursuant to the Depository Agreement, unless and until
Definitive Certificates are issued pursuant to Section 5.08, the Depository will
make book-entry transfers among the Depository Participants and receive and
transmit distributions of principal and interest on the related Certificates to
such Depository Participants;

          (e) the Depository may collect its usual and customary fees, charges
and expenses from its Depository Participants;

          (f) the Trustee may rely and shall be fully protected in relying upon
information furnished by the Depository with respect to its Depository
Participants; and

          (g) to the extent that the provisions of this Section conflict with
any other provisions of this Agreement, the provisions of this Section shall
control.

     For purposes of any provision of this Agreement requiring or permitting
actions with the consent of, or at the direction of, Certificateholders
evidencing a specified percentage of the aggregate unpaid

                                     -139-

<PAGE>

principal amount of any Class of Certificates, such direction or consent may be
given by Certificate Owners (acting through the Depository and the Depository
Participants) owning Book-Entry Certificates evidencing the requisite percentage
of principal amount of such Class of Certificates.

     In the event that Definitive Certificates are issued pursuant to Section
5.08, clauses (a) through (g) of this Section 5.06 shall continue to be
applicable with respect to all remaining Book-Entry Certificates.

     SECTION 5.07. Notices to Depository

     Whenever any notice or other communication is required to be given to
Certificateholders of the Class with respect to which Book-Entry Certificates
have been issued, unless and until Definitive Certificates shall have been
issued to the related Certificate Owners, the Trustee shall give all such
notices and communications to the Depository.

     SECTION 5.08. Definitive Certificates

     If, after Book-Entry Certificates have been issued with respect to any
Certificates, (a) the Depository or the Depositor advises the Trustee that the
Depository is no longer willing, qualified or able to discharge properly its
responsibilities under the Depository Agreement with respect to such
Certificates and the Trustee or the Depositor is unable to locate a qualified
successor, (b) the Depositor notifies the Trustee and the Depository of its
intent to terminate the book-entry system through the Depository and, upon
receipt of notice of such intent from the Depository, the Certificate Owners of
the Book-Entry Certificates agree to initiate such termination or (c) after the
occurrence and continuation of an Event of Default, Certificate Owners of such
Book-Entry Certificates having not less than 51% of the Voting Rights evidenced
by any Class of Book-Entry Certificates advise the Trustee and the Depository in
writing through the Depository Participants that the continuation of a
book-entry system with respect to Certificates of such Class through the
Depository (or its successor) is no longer in the best interests of the
Certificate Owners of such Class, then the Trustee shall notify all Certificate
Owners of such Book-Entry Certificates and the NIMs Insurer of the occurrence of
any such event and of the availability of Definitive Certificates to Certificate
Owners of such Class requesting the same. The Depositor shall provide the
Trustee with an adequate inventory of certificates to facilitate the issuance
and transfer of Definitive Certificates. Upon surrender to the Trustee of any
such Certificates by the Depository, accompanied by registration instructions
from the Depository for registration, the Authenticating Agent shall
authenticate and the Trustee shall deliver such Definitive Certificates. Neither
the Depositor nor the Trustee shall be liable for any delay in delivery of such
instructions and each may conclusively rely on, and shall be protected in
relying on, such instructions. Upon the issuance of such Definitive
Certificates, all references herein to obligations imposed upon or to be
performed by the Depository shall be deemed to be imposed upon and performed by
the Trustee, to the extent applicable with respect to such Definitive
Certificates and the Trustee shall recognize the Holders of such Definitive
Certificates as Certificateholders hereunder.

     SECTION 5.09. Maintenance of Office or Agency

     The Trustee will maintain or cause to be maintained at its expense an
office or offices or agency or agencies where Certificates may be surrendered
for registration of transfer or exchange. The Trustee initially designates its
offices at 135 South LaSalle Street, Suite 1511, Chicago, Illinois 60603,
Attention:

                                     -140-

<PAGE>

FFMER 2007-3 as offices for such purposes. The Trustee will give prompt written
notice to the Certificateholders of any change in such location of any such
office or agency.

     SECTION 5.10. Authenticating Agents

          (a) One or more Authenticating Agents (each, an "Authenticating
Agent") may be appointed hereunder each of which shall be authorized to act on
behalf of the Trustee in authenticating the Certificates. Wherever reference is
made in this Agreement to the authentication of Certificates by the Trustee's
certificate of authentication, such reference shall be deemed to include
authentication on behalf of the Trustee by an Authenticating Agent and a
certificate of authentication executed on behalf of the Trustee by an
Authenticating Agent. Each Authenticating Agent must be an entity organized and
doing business under the laws of the United States of America or any state
thereof, having a combined capital and surplus of at least $15,000,000,
authorized under such laws to operate a trust business and subject to
supervision or examination by federal or state authorities. If the
Authenticating Agent is a party other than the Trustee, the Trustee shall have
no liability in connection with the performance or failure of performance of the
Authenticating Agent. LaSalle Bank National Association is hereby appointed as
the initial Authenticating Agent. The Trustee shall be the Authenticating Agent
during any such time as no other Authenticating Agent has been appointed and has
not resigned.

          (b) Any Person into which any Authenticating Agent may be merged or
converted or with which it may be consolidated, or any Person resulting from any
merger, conversion or consolidation to which any Authenticating Agent shall be a
party, or any Person succeeding to the corporate agency business of any
Authenticating Agent, shall continue to be the Authenticating Agent without the
execution or filing of any paper or any further act on the part of the Trustee
or the Authenticating Agent.

          (c) Any Authenticating Agent may at any time resign by giving at least
30 days' advance written notice of resignation to the Trustee and the Depositor.
Except with respect to the initial Authenticating Agent, LaSalle Bank National
Association, which shall be the Authenticating Agent for so long as it is the
Trustee may at any time terminate the agency of any Authenticating Agent by
giving written notice of termination to such Authenticating Agent and the
Depositor. Upon receiving a notice of resignation or upon such a termination, or
in case at any time any Authenticating Agent shall cease to be eligible in
accordance within the provisions of this Section 5.10, the Trustee may appoint a
successor Authenticating Agent, shall give written notice of such appointment to
the Depositor and shall mail notice of such appointment to all Holders of
Certificates. Any successor Authenticating Agent upon acceptance of its
appointment hereunder shall become vested with all the rights, powers, duties
and responsibilities of its predecessor hereunder, with like effect as if
originally named as Authenticating Agent. No successor Authenticating Agent
shall be appointed unless eligible under the provisions of this Section 5.10. No
Authenticating Agent shall have responsibility or liability for any action taken
by it as such at the direction of the Trustee.

                                   ARTICLE VI

                         THE DEPOSITOR AND THE SERVICER

     SECTION 6.01. Respective Liabilities of the Depositor and the Servicer

     The Depositor and the Servicer shall each be liable in accordance herewith
only to the extent of the obligations specifically and respectively imposed upon
and undertaken by them herein.

                                     -141-

<PAGE>

     SECTION 6.02. Merger or Consolidation of the Depositor or the Servicer

     Except as provided in the next paragraph, the Depositor and the Servicer
will each keep in full effect its existence, rights and franchises as a
corporation or banking association under the laws of the United States or under
the laws of one of the States thereof and will each obtain and preserve its
qualification to do business as a foreign corporation in each jurisdiction in
which such qualification is or shall be necessary to protect the validity and
enforceability of this Agreement, or any of the Mortgage Loans and to perform
its respective duties under this Agreement.

     Any Person into which the Depositor or the Servicer may be merged or
consolidated, or any Person resulting from any merger or consolidation to which
the Depositor or the Servicer shall be a party, or any Person succeeding to the
business of the Depositor or the Servicer, shall be the successor of the
Depositor or the Servicer, as the case may be, hereunder, without the execution
or filing of any paper or any further act on the part of any of the parties
hereto, anything herein to the contrary notwithstanding (except for the
execution of an assumption agreement where such succession is not effected by
operation of law); provided, however, that the successor or surviving Person to
the Servicer shall be qualified to sell mortgage loans to, and to service
mortgage loans on behalf of, Fannie Mae or Freddie Mac.

     SECTION 6.03. Limitation on Liability of the Depositor, the Servicer and
Others

     None of the Depositor, the Servicer nor any of the directors, officers,
employees or agents of the Depositor or the Servicer shall be under any
liability to the Issuing Entity or the Certificateholders for any action taken
or for refraining from the taking of any action in good faith pursuant to this
Agreement, or for errors in judgment; provided, however, that this provision
shall not protect the Depositor, the Servicer or any such Person against any
breach of representations or warranties made by it herein or protect the
Depositor, the Servicer or any such Person from any liability that would
otherwise be imposed by reasons of willful misfeasance, bad faith or negligence
in the performance of duties or by reason of reckless disregard of obligations
and duties hereunder. The Depositor or the Servicer and any director, officer,
employee or agent of the Depositor or the Servicer may rely in good faith on any
document of any kind prima facie properly executed and submitted by any Person
respecting any matters arising hereunder. The Depositor or the Servicer and any
director, officer, employee or agent of the Depositor or the Servicer shall be
indemnified by the Issuing Entity and held harmless against any loss, liability
or expense, incurred in connection with the performance of their duties under
this Agreement or incurred in connection with any audit, controversy or judicial
proceeding relating to a governmental taxing authority or any legal action
relating to this Agreement or the Certificates, other than any loss, liability
or expense (i) incurred by reason of willful misfeasance, bad faith or
negligence in the performance of duties hereunder or by reason of reckless
disregard of obligations and duties hereunder or (ii) which does not constitute
an "unanticipated expense" within the meaning of Treasury Regulation Section
1.860G-1(b)(3)(ii). Neither the Depositor nor the Servicer shall be under any
obligation to appear in, prosecute or defend any legal action that is not
incidental to its respective duties hereunder and that in its opinion may
involve it in any expense or liability; provided, however, that either of the
Depositor or the Servicer in its discretion may undertake any such action that
it may deem necessary or desirable in respect of this Agreement and the rights
and duties of the parties hereto and the interests of the Trustee and the
Certificateholders hereunder. In such event, the legal expenses and costs of
such action and any liability resulting therefrom shall be, expenses, costs and
liabilities of the Issuing Entity, and the Depositor and the Servicer shall be
entitled to be reimbursed therefor out of the Collection Account as provided by
Section 3.08 hereof.

                                     -142-

<PAGE>

     Notwithstanding anything herein to the contrary, in preparing or furnishing
any reports or certifications pursuant to this Agreement, the Servicer shall be
entitled to rely conclusively on the accuracy of the information or data
provided to it by any other party to the Agreement and shall have no liability
for any errors therein.

     SECTION 6.04. Limitation on Resignation of Servicer

     Subject to the provisions of Section 7.01, the second paragraph of Section
7.02, the second paragraph of Section 6.02 and the following paragraph of this
Section 6.04, the Servicer shall not resign from the obligations and duties
hereby imposed on it except upon determination that its duties hereunder are no
longer permissible under applicable law. Any such determination permitting the
resignation of the Servicer shall be evidenced by an Opinion of Counsel to such
effect delivered to the Trustee and the NIMs Insurer. No such resignation shall
become effective until the Trustee or a successor servicer reasonably acceptable
to the Trustee and the NIMs Insurer is appointed and has assumed the Servicer's
responsibilities, duties, liabilities and obligations hereunder. Any such
resignation shall not relieve the Servicer of any of the obligations specified
in Section 7.01 and 7.02 as obligations that survive the resignation or
termination of the Servicer.

     Notwithstanding anything to the contrary in the previous paragraph of this
Section 6.04, the Trustee, the Depositor and the NIMs Insurer hereby
specifically (i) consent to the pledge and assignment by the Servicer of all the
Servicer's right, title and interest in, to and under this Agreement to the
Servicing Rights Pledgee, if any, for the benefit of certain lenders, and (ii)
agree that upon delivery to the Trustee by the Servicing Rights Pledgee of a
letter signed by the Servicer whereby the Servicer shall resign as Servicer
under this Agreement, notwithstanding anything to the contrary which may be set
forth in Section 3.04 above, the Trustee shall appoint the Servicing Rights
Pledgee or its designee as successor servicer, provided that the Servicer's
resignation will not be effective unless, at the time of such appointment, the
Servicing Rights Pledgee or its designee (i) meets the requirements of a
successor servicer under Section 7.03 of this Agreement (including being
acceptable to the Rating Agencies), provided, that the consent and approval of
the Trustee and the Depositor shall be deemed to have been given to the
Servicing Rights Pledgee or its designee, and the Servicing Rights Pledgee and
its designee are hereby agreed to be acceptable to the Trustee and the Depositor
and (ii) agrees to be subject to the terms of this Agreement. If, pursuant to
any provision hereof, the duties of the Servicer are transferred to a successor
servicer, the entire amount of the Servicing Fee and other compensation payable
to the Servicer pursuant hereto shall thereafter be payable to such successor
servicer.

     SECTION 6.05. Errors and Omissions Insurance; Fidelity Bonds

     The Servicer shall, for so long as it acts as servicer under this
Agreement, obtain and maintain in force (a) a policy or policies of insurance
covering errors and omissions in the performance of its obligations as servicer
hereunder, and (b) a fidelity bond in respect of its officers, employees and
agents. Each such policy or policies and bond shall, together, comply with the
requirements from time to time of Fannie Mae or Freddie Mac for Persons
performing servicing for mortgage loans purchased by Fannie Mae or Freddie Mac.
The Servicer shall provide the Trustee, upon request and reasonable notice, with
copies of such policies and fidelity bond or a certification from the insurance
provider evidencing such policies and fidelity bond. The Servicer may be deemed
to have complied with this provision if an Affiliate of the Servicer has such
errors and omissions and fidelity bond coverage and, by the terms of such
insurance policy or fidelity bond, the coverage afforded thereunder extends to
the Servicer. In the event that any such policy or bond ceases to be in effect,
the Servicer shall use its reasonable best efforts

                                     -143-

<PAGE>

to obtain a comparable replacement policy or bond from an insurer or issuer
meeting the requirements set forth above as of the date of such replacement. Any
such policy or fidelity bond shall by its terms not be cancelable without thirty
days' prior written notice to the Trustee.

                                   ARTICLE VII

                        DEFAULT; TERMINATION OF SERVICER

     SECTION 7.01. Events of Default

     "Event of Default," wherever used herein, means any one of the following
events:

          (i) any failure by the Servicer to make any Advance, to deposit in the
Collection Account or the Certificate Account or remit to the Trustee any
payment (excluding a payment required to be made under Section 4.01 hereof)
required to be made under the terms of this Agreement, which failure shall
continue unremedied for three Business Days and, with respect to a payment
required to be made under Section 4.01 hereof, for one Business Day, after the
date on which written notice of such failure shall have been given to the
Servicer by the Trustee or the Depositor, or to the Trustee, the Depositor and
the Servicer by the NIMs Insurer or the Holders of Certificates evidencing
greater than 50% of the Voting Rights evidenced by the Certificates; or

          (ii) any failure by the Servicer to observe or perform in any material
respect any other of the covenants or agreements on the part of the Servicer
contained in this Agreement or any representation or warranty shall prove to be
untrue, which failure or breach shall continue unremedied for a period of sixty
(60) days after the date on which written notice of such failure shall have been
given to the Servicer, the Trustee and the Depositor by the Trustee or the
Depositor, or to the Servicer, the Trustee and the Depositor by the Holders of
Certificates evidencing greater than 50% of the Voting Rights evidenced by the
Certificates; or

          (iii) a decree or order of a court or agency or supervisory authority
having jurisdiction for the appointment of a receiver or liquidator in any
insolvency, readjustment of debt, marshaling of assets and liabilities or
similar proceedings, or for the winding-up or liquidation of its affairs, shall
have been entered against the Servicer and such decree or order shall have
remained in force undischarged or unstayed for a period of sixty (60)
consecutive days; or

          (iv) consent by the Servicer to the appointment of a receiver or
liquidator in any insolvency, readjustment of debt, marshaling of assets and
liabilities or similar proceedings of or relating to the Servicer or all or
substantially all of the property of the Servicer; or

          (v) admission by the Servicer in writing of its inability to pay its
debts generally as they become due, file a petition to take advantage of, or
commence a voluntary case under, any applicable insolvency or reorganization
statute, make an assignment for the benefit of its creditors, or voluntarily
suspend payment of its obligations; or

          (vi) any failure by the Servicer to duly perform, within the required
time period, its obligations under Sections 3.17, 3.18 and 3.20 of this
Agreement, which failure continues unremedied for a period of ten (10) days
after the date on which written notice of such failure, requiring the same to be
remedied, shall have been given to the Servicer by the Trustee or any other
party to this Agreement.

                                     -144-

<PAGE>

     If an Event of Default, described in (i) - (v) above, shall occur with
respect to the Servicer, then, and in each and every such case, so long as such
Event of Default shall not have been remedied within the applicable grace
period, the Trustee may, or at the direction of the NIMs Insurer or the Holders
of Certificates evidencing greater than 50% of the Voting Rights evidenced by
the Certificates (with the written consent of the NIMs Insurer (such consent
shall not be unreasonably withheld), except after a NIMs Insurer Default),
shall, by notice in writing to the Servicer (with a copy to each Rating Agency),
terminate all of the rights and obligations of the Servicer under this Agreement
and in and to the related Mortgage Loans and the proceeds thereof, other than
its rights as a Certificateholder hereunder. If an Event of Default, described
in (vi) above, shall occur with respect to the Servicer, then, and in each and
every such case, so long as such Event of Default shall not have been remedied
within the applicable grace period, the Trustee, at the direction of the
Depositor or at the direction of the Holders of Certificates evidencing greater
than 50% of the Voting Rights evidenced by the Certificates, shall, by notice in
writing to the Servicer (with a copy to each Rating Agency), terminate all of
the rights and obligations of the Servicer under this Agreement and in and to
the related Mortgage Loans and the proceeds thereof, other than its rights as a
Certificateholder hereunder. On or after the receipt by the Servicer of such
written notice, all authority and power of the Servicer hereunder, whether with
respect to the related Mortgage Loans or otherwise, shall pass to and be vested
in the Trustee. To the extent the Event of Default resulted from the failure of
the Servicer to make a required Advance, the Trustee shall thereupon make any
Advance described in Section 4.01 hereof subject to Section 3.04 hereof. The
Trustee is hereby authorized and empowered to execute and deliver, on behalf of
the 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 or assignment of the Mortgage Loans and
related documents, or otherwise. Unless expressly provided in such written
notice, no such termination shall affect any obligation of the Servicer to pay
amounts owed pursuant to Article VIII. The Servicer agrees to cooperate with the
Trustee in effecting the termination of the Servicer's responsibilities and
rights hereunder, including, without limitation, the transfer to the Trustee of
all cash amounts which shall at the time be credited to the Collection Account,
or thereafter be received with respect to the Mortgage Loans. The Servicer and
the Trustee shall promptly notify the Rating Agencies, the Cap Contract
Counterparty and the Swap Counterparty of the occurrence of an Event of Default,
such notice to be provided in any event within two Business Days of such
occurrence.

     Notwithstanding any termination of the activities of the Servicer
hereunder, the Servicer shall be entitled to receive, out of any late collection
of a Scheduled Payment on a Mortgage Loan that was due prior to the notice
terminating the Servicer's rights and obligations as Servicer hereunder and
received after such notice, that portion thereof to which the Servicer would
have been entitled pursuant to Section 3.08(a), and any other amounts payable to
the Servicer hereunder the entitlement to which arose prior to the termination
of its activities hereunder. Notwithstanding anything herein to the contrary,
upon termination of the Servicer hereunder, any liabilities of the Servicer
which accrued prior to such termination shall survive such termination.

     SECTION 7.02. Trustee to Act; Appointment of Successor

     On and after the time the Servicer receives a notice of termination
pursuant to Section 7.01 hereof, the Trustee shall, to the extent provided in
Section 3.04, be the successor to the Servicer in its capacity as servicer under
this Agreement and the transactions set forth or provided for herein and shall
be subject to all the responsibilities, duties and liabilities relating thereto
placed on the Servicer by the terms and provisions hereof and applicable law
including the obligation to make advances pursuant to

                                     -145-

<PAGE>

Section 4.01. As compensation therefor, subject to the last paragraph of Section
7.01, the Trustee shall be entitled to all fees, compensation and reimbursement
for costs and expenses that the Servicer would have been entitled to hereunder
if the Servicer had continued to act hereunder. Notwithstanding the foregoing,
if the Trustee has become the successor to the Servicer in accordance with
Section 7.01 hereof, the Trustee may, if it shall be unwilling to so act, or
shall, if it is prohibited by applicable law from making Advances pursuant to
Section 4.01 hereof or if it is otherwise unable to so act, appoint, or petition
a court of competent jurisdiction to appoint, any established mortgage loan
servicing institution and does not adversely affect the then current rating of
the Certificates by each Rating Agency as the successor to the Servicer
hereunder in the assumption of all or any part of the responsibilities, duties
or liabilities of the Servicer hereunder. Any successor Servicer shall be an
institution that is acceptable to the NIMs Insurer and is a Fannie Mae and
Freddie Mac approved seller/servicer in good standing, that has a net worth of
at least $15,000,000, and that is willing to service the Mortgage Loans and
executes and delivers to the Depositor and the Trustee an agreement accepting
such delegation and assignment, that contains an assumption by such Person of
the rights, powers, duties, responsibilities, obligations and liabilities of the
Servicer (other than liabilities of the Servicer under Section 6.03 hereof
incurred prior to termination of the Servicer under Section 7.01), with like
effect as if originally named as a party to this Agreement; and provided further
that each Rating Agency acknowledges that its rating of the Certificates in
effect immediately prior to such assignment and delegation will not be qualified
or reduced as a result of such assignment and delegation. No appointment of a
successor to the Servicer hereunder shall be effective until the Trustee shall
have consented thereto, prior written consent of the NIMs Insurer is obtained
(provided, that such prior written consent shall not be required in the event
that the Servicing Rights Pledgee or its designee is so appointed as successor
servicer) and written notice of such proposed appointment shall have been
provided by the Trustee to each Certificateholder. The Trustee shall not resign
as servicer until a successor servicer has been appointed and has accepted such
appointment. Pending appointment of a successor to the Servicer hereunder, the
Trustee, unless the Trustee is prohibited by law from so acting, shall, subject
to Section 3.04 hereof, act in such capacity as hereinabove provided. In
connection with such appointment and assumption, the Trustee may make such
arrangements for the compensation of such successor out of payments on Mortgage
Loans as it and such successor shall agree; provided, however, that no such
compensation shall be in excess of that permitted the Servicer hereunder. The
Trustee and such successor shall take such action, consistent with this
Agreement, as shall be necessary to effectuate any such succession. Neither the
Trustee nor any other successor servicer shall be deemed to be in default
hereunder by reason of any failure to make, or any delay in making, any
distribution hereunder or any portion thereof or any failure to perform, or any
delay in performing, any duties or responsibilities hereunder, in either case
caused by the failure of the Servicer to deliver or provide, or any delay in
delivering or providing, any cash, information, documents or records to it.

     Any successor to the Servicer as servicer shall give notice to the
Mortgagors of such change of servicer and shall, during the term of its service
as servicer maintain in force the policy or policies that the Servicer is
required to maintain pursuant to Section 6.05.

     SECTION 7.03. Notification to Certificateholders

          (a) Upon any termination of or appointment of a successor to the
Servicer, the Trustee shall give prompt written notice thereof to
Certificateholders, the Depositor, to each Rating Agency, the Cap Counterparty
and the Swap Counterparty.

                                     -146-

<PAGE>

          (b) Within sixty (60) days after the occurrence of any Event of
Default, the Trustee shall transmit by mail to all Certificateholders and the
Rating Agencies notice of each such Event of Default hereunder known to the
Trustee, unless such Event of Default shall have been cured or waived.

                                  ARTICLE VIII

                             CONCERNING THE TRUSTEE

     SECTION 8.01. Duties of the Trustee

     For purposes of this Article VIII, references to "Trustee" shall be deemed
to include LaSalle Bank National Association, in its capacity as Supplemental
Interest Trust Trustee under this Agreement and the Swap Agreement, and in
respect thereof, the Supplemental Interest Trust Trustee shall have all of the
rights, protections, immunities and benefits of the Trustee.

     The Trustee, prior to the occurrence of an Event of Default and after the
curing of all Events of Default that may have occurred, shall undertake to
perform such duties and only such duties as are specifically set forth in this
Agreement. In case an Event of Default has occurred and remains uncured, the
Trustee shall exercise such of the rights and powers vested in it by this
Agreement and use the same degree of care and skill in its exercise as a prudent
person would exercise or use under the circumstances in the conduct of such
person's own affairs. In case an Event of Default or other default by the
Servicer or the Depositor hereunder shall occur and be continuing, the Trustee
shall, at the written direction of the majority of the Certificateholders or the
NIMs Insurer, or may, proceed to protect and enforce its rights and the rights
of the Certificateholders or the NIMs Insurer under this Agreement by a suit,
action or proceeding in equity or at law or otherwise, whether for the specific
performance of any covenant or agreement contained in this agreement or in aid
of the execution of any power granted in this Agreement or for the enforcement
of any other legal, equitable or other remedy, as the Trustee, being advised by
counsel and subject to the foregoing, shall deem most effectual to protect and
enforce any of the rights of the Trustee, the NIMs Insurer and the
Certificateholders.

     The Trustee, upon receipt of all resolutions, certificates, statements,
opinions, reports, documents, orders or other instruments furnished to the
Trustee that are specifically required to be furnished pursuant to any provision
of this Agreement, shall examine them to determine whether they conform on their
face to the requirements of this Agreement. If any such instrument is found not
to conform on its face to the requirements of this Agreement in a material
manner, the Trustee shall notify the person providing such Agreement of such
non-conformance, and if the instrument is not corrected to the its satisfaction,
the Trustee will provide notice thereof to the Certificateholders and the NIMs
Insurer and take such further action as directed by the Certificateholders and
the NIMs Insurer.

     No provision of this Agreement shall be construed to relieve the Trustee
from liability for its own negligent action, its own negligent failure to act or
its own misconduct, its negligent failure to perform its obligations in
compliance with this Agreement, or any liability that would be imposed by reason
of its willful misfeasance or bad faith; provided, however, that:

          (i) prior to the occurrence of an Event of Default, and after the
curing of all such Events of Default that may have occurred, the duties and
obligations of the Trustee shall be determined solely by the express provisions
of this Agreement, the Trustee shall not be liable, individually or as Trustee,
except for the performance of such duties and obligations as are specifically
set forth in this

                                     -147-

<PAGE>

Agreement, no implied covenants or obligations shall be read into this Agreement
against the Trustee and, the Trustee may conclusively rely, as to the truth of
the statements and the correctness of the opinions expressed therein, upon any
certificates or opinions furnished to the Trustee and conforming to the
requirements of this Agreement that it reasonably believed in good faith to be
genuine and to have been duly executed by the proper authorities respecting any
matters arising hereunder;

          (ii) the Trustee shall not, individually or as Trustee, be liable for
an error of judgment made in good faith by a Responsible Officer or Responsible
Officers of the Trustee unless the Trustee was negligent or acted in bad faith
or with willful misfeasance;

          (iii) the Trustee shall not be liable, individually or as Trustee,
with respect to any action taken, suffered or omitted to be taken by it in good
faith in accordance with the direction of the NIMs Insurer or the Holders in
accordance with this Agreement relating to the time, method and place of
conducting any proceeding for any remedy available to the Trustee, or exercising
any trust or power conferred upon the Trustee under this Agreement; and

          (iv) the Trustee shall not be responsible for the acts or omissions of
any Servicer or any Subservicer, it being understood that this Agreement shall
not be construed to render any of them agents of one another.

     SECTION 8.02. Certain Matters Affecting the Trustee

          (a) Except as otherwise provided in Section 8.01:

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

          (ii) the Trustee may consult with counsel of its choice and any advice
or Opinion of Counsel shall be full and complete authorization and protection in
respect of any action taken or suffered or omitted by it hereunder in good faith
and in accordance with such Opinion of Counsel;

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

          (iv) prior to the occurrence of an Event of Default hereunder and
after the curing of all Events of Default that may have occurred, the Trustee
shall not be bound to make any investigation into the facts or matters stated in
any resolution, certificate, statement, instrument, opinion, report, notice,
request, consent, order, approval, bond or other paper or document, unless
requested in writing so to do by the NIMs Insurer or the Holders of each Class
of Certificates evidencing not less than 25% of the Voting Rights of such Class;

          (v) the Trustee may execute any of the trusts or powers hereunder or
perform any duties hereunder either directly or by or through agents,
custodians, accountants or attorneys or independent contractors and the Trustee
will not be responsible for any misconduct or negligence on the

                                     -148-

<PAGE>

part of any other agent, custodian, accountant, attorney or independent
contractor appointed with due care by it hereunder;

          (vi) the Trustee shall not be required to expend its own funds or
otherwise incur any financial liability in the performance of any of its duties
hereunder if it shall have reasonable grounds for believing that repayment of
such funds or adequate indemnity against such liability is not assured to it;

          (vii) the Trustee shall not be liable, individually or as Trustee, for
any loss on any investment of funds pursuant to this Agreement or the Swap
Agreement (other than as issuer of the investment security);

          (viii) the Trustee shall not be deemed to have knowledge of an Event
of Default until a Responsible Officer of the Trustee shall have received
written notice thereof;

          (ix) the Trustee shall be under no obligation to exercise any of the
trusts or powers vested in it by this Agreement or to make any investigation of
matters arising hereunder or to institute, conduct or defend any litigation
hereunder or in relation hereto at the request, order or direction of any of the
NIMs Insurer or the Certificateholders, pursuant to the provisions of this
Agreement, unless the NIMs Insurer or the Certificateholders shall have offered
to the Trustee reasonable security or indemnity satisfactory to it against the
costs, expenses and liabilities that may be incurred therein or thereby;

          (x) if requested by the Servicer, the Trustee shall appoint the
Servicer as the Trustee's attorney-in-fact in order to carry out and perform
certain activities that are necessary or appropriate for the servicing and
administration of the Mortgage Loans pursuant to this Agreement. Such
appointment shall be evidenced by a power of attorney in such form as may be
agreed to by the Trustee and the Servicer. The Trustee shall have no liability
for any action or inaction of the Servicer in connection with such power of
attorney and the Trustee shall be indemnified by the Servicer for all
liabilities, costs and expenses incurred by the Trustee in connection with the
Servicer's use or misuse of such powers of attorney; and

          (xi) in order to comply with its duties under the U.S.A. Patriot Act,
the Trustee shall obtain and verify certain information and documentation from
the other parties hereto, including but not limited to, such party's name,
address and other identifying information.

          (b) All rights of action under this Agreement or under any of the
Certificates, enforceable by the Trustee, may be enforced by the Trustee without
the possession of any of the Certificates, or the production thereof at the
trial or other proceeding relating thereto, and any such suit, action or
proceeding instituted by the Trustee shall be brought in its name for the
benefit of all the Holders of the Certificates, subject to the provisions of
this Agreement. The Trustee shall have no duty (A) to see to any recording,
filing, or depositing of this Agreement or any agreement referred to herein or
any financing statement or continuation statement evidencing a security
interest, or to see to the maintenance of any rerecording, refiling or
redepositing, as applicable, thereof, (B) to see to any insurance or (C) to see
to the payment or discharge of any tax, assessment, or other governmental charge
or any lien or encumbrance of any kind owing with respect to, assessed or levied
against, any part of the Trust Fund.

     SECTION 8.03. Trustee Not Liable for Certificates or Mortgage Loans

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<PAGE>

     The recitals contained herein shall be taken as the statements of the
Depositor or the Servicer, as the case may be, and the Trustee assumes no
responsibility for their correctness. The Trustee makes no representation as to
the validity or sufficiency of this Agreement, of any Mortgage Loan, or any
related document other than with respect to the execution and authentication of
the Certificates, if it so executed or authorized the Certificates. The Trustee
shall not be accountable for the use or application by the Depositor or the
Servicer of any funds paid to the Depositor or the Servicer in respect of the
Mortgage Loans or deposited in or withdrawn from the Collection Account or the
Certificate Account by the Depositor or the Servicer.

     SECTION 8.04. Trustee May Own Certificates

     The 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 was not the
Trustee.

     SECTION 8.05. Trustee's Fees and Expenses

     The Trustee and any custodian shall be entitled to, such compensation as
shall be agreed to in writing by the Trustee and the Depositor (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
hereby created and in the exercise and performance of any of the powers and
duties hereunder of the Trustee.

     SECTION 8.06. Indemnification and Expenses of Trustee

          (a) LaSalle Bank National Association (as Trustee and in its
individual corporate capacity) and its directors, officers, employees and agents
shall be entitled to indemnification from the Issuing Entity for any loss,
liability or expense incurred in connection with (i) any audit, controversy or
judicial proceeding relating to a governmental authority or any legal proceeding
incurred without negligence or willful misconduct on their part, arising out of,
or in connection with the acceptance or administration of the trusts created
hereunder and (ii) the performance of their duties hereunder, including any
applicable fees and expenses payable hereunder, and the costs and expenses of
defending themselves against any claim in connection with the exercise or
performance of any of their powers or duties hereunder, provided that:

          (i) with respect to any such claim, the Trustee shall have given the
Depositor written notice thereof promptly after the Trustee shall have knowledge
thereof; provided that failure to so notify shall not relieve the Issuing Entity
of the obligation to indemnify the Trustee; however, any reasonable delay by the
Trustee to provide written notice to the Depositor and the Holders promptly
after the Trustee shall have obtained knowledge of a claim shall not relieve the
Issuing Entity of the obligation to indemnify the Trustee under this Section
8.06;

          (ii) while maintaining control over its own defense, the Trustee shall
reasonably cooperate and consult with the Depositor in preparing such defense;

          (iii) notwithstanding anything to the contrary in this Section 8.06,
the Issuing Entity shall not be liable for settlement of any such claim by the
Trustee entered into without the prior consent of the Depositor, which consent
shall not be unreasonably withheld or delayed; and

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          (iv) indemnification therefor would constitute "unanticipated
expenses" within the meaning of Treasury Regulation Section 1.860G-1(b)(3)(ii).

     Any indemnification payments to the Trustee (or a custodian) pursuant to
this Section 8.06(a) shall be allocated first to principal and then, to the
extent remaining, to interest.

     The provisions of this Section 8.06 shall survive any termination of this
Agreement and the resignation or removal of the Trustee and shall be construed
to include, but not be limited to any loss, liability or expense under any
environmental law.

          (b) The Trustee shall be entitled to reimbursement by the Trust Fund
of all reasonable expenses, disbursements and advances incurred or made by the
Trustee in accordance with this Agreement (including fees and expenses of its
counsel and all persons not regularly in its employment), except any such
expenses, disbursements and advances that either (i) arise from its negligence,
bad faith or willful misconduct or (ii) do not constitute "unanticipated
expenses" within the meaning of Treasury Regulations Section 1.860G-1(b)(3)(ii).

          (c) The Trustee's right to indemnification and reimbursement shall be
subject to a cap of $400,000 in the aggregate in any calendar year, excluding
(i) any Servicing Transfer Costs and (ii) any costs, damages or expenses
incurred by the Trustee in connection with any "high cost" home loans or any
predatory or abusive lending laws, which amounts shall in no case be subject to
any such limitation; provided, however, that such cap shall apply only if NIM
Notes have been issued and there is a NIMs Insurer and shall cease to apply
after the date on which any NIM Notes are paid in full or if there is no NIMs
Insurer; provided further, however, that amounts incurred by the Trustee in
excess of such annual limit in any calendar year shall be payable to the Trustee
in succeeding calendar years, subject to such annual limit for each applicable
calendar year. Any amounts reimbursable hereunder not in excess of this cap may
be withdrawn by the Trustee from the Certificate Account at any time.

          (d) Any custodian appointed by the Trustee as herein provided shall be
entitled to indemnification and reimbursement of expenses to the same extent as
the Trustee is entitled to such amounts pursuant to subsection (a) and (b) of
this Section 8.06, without regard to subsection (c) of this Section 8.06.

     SECTION 8.07. Eligibility Requirements for Trustee

     The Trustee hereunder shall, at all times, be a corporation or association
organized and doing business under the laws of a state or the United States of
America, authorized under such laws to exercise corporate trust powers having a
combined capital and surplus of at least $50,000,000, subject to supervision or
examination by federal or state authority and with a credit rating that would
not cause any of the Rating Agencies to reduce their respective ratings of any
Class of Certificates below the ratings issued on the Closing Date (or having
provided such security from time to time as is sufficient to avoid such
reduction). If such corporation or association publishes reports of condition at
least annually, pursuant to law or to the requirements of the aforesaid
supervising or examining authority, then for the purposes of this Section 8.07
the combined capital and surplus of such corporation or association shall be
deemed to be its combined capital and surplus as set forth in its most recent
report of condition so published. In case at any time the Trustee shall cease to
be eligible in accordance with the provisions of this Section 8.07, the Trustee
shall resign immediately in the manner and with the effect specified in Section
8.08 hereof. The corporation or national banking association serving as Trustee
may have normal

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banking and trust relationships with the Depositor, the NIMs Insurer and their
respective Affiliates; provided, however, that such corporation cannot be an
Affiliate of the Servicer.

     SECTION 8.08. Resignation and Removal of Trustee

     The Trustee may at any time resign and be discharged from the trusts hereby
created by (1) giving written notice of resignation to the Depositor by mailing
notice of resignation by first class mail, postage prepaid, to the
Certificateholders at their addresses appearing on the Certificate Register and
each Rating Agency, not less than sixty (60) days before the date specified in
such notice when, subject to Section 8.09, such resignation is to take effect,
and (2) acceptance of appointment by a successor trustee acceptable to the NIMs
Insurer in accordance with Section 8.09 and meeting the qualifications set forth
in Section 8.07. If no successor trustee shall have been so appointed and have
accepted appointment within thirty (30) days after the giving of such notice or
resignation, the resigning Trustee may petition any court of competent
jurisdiction for the appointment of a successor trustee.

     If at any time (i) the Trustee shall cease to be eligible in accordance
with the provisions of Section 8.07 hereof and shall fail to resign after
written request thereto by the Depositor or the NIMs Insurer or (ii) the Trustee
shall become incapable of acting, or shall be adjudged as bankrupt or insolvent,
or a receiver of the Trustee or of its property shall be appointed, or any
public officer shall take charge or control of the Trustee or of its property or
affairs for the purpose of rehabilitation, conservation or liquidation, then the
Depositor may remove the Trustee and shall promptly appoint a successor trustee
by written instrument, in triplicate, one copy of which instrument shall be
delivered to the Trustee and one copy of which shall be delivered to the
successor trustee.

     The Holders evidencing at least 51% of the Voting Rights of all Classes of
Certificates, with the consent of the NIMs Insurer, may at any time remove the
Trustee and the Depositor shall appoint a successor trustee by written
instrument or instruments, in triplicate, signed by such Holders or their
attorneys-in-fact duly authorized (or by the NIMs Insurer), one complete set of
which instruments shall be delivered by the successor trustee to the Servicer,
one complete set to the Trustee so removed and one complete set to the successor
so appointed. Notice of any removal of the Trustee shall be given to the NIMs
Insurer and to each Rating Agency by the successor trustee.

     Any resignation or removal of the Trustee and appointment of a successor
trustee pursuant to any of the provisions of this Section 8.08 shall become
effective upon acceptance of appointment by the successor trustee as provided in
Section 8.09 hereof.

     SECTION 8.09. Successor Trustee

     Any successor trustee appointed as provided in Section 8.08 hereof shall
execute, acknowledge and deliver to the Depositor and to its predecessor
trustee, the NIMs Insurer, the Servicer, the Cap Contract Counterparty and the
Swap Counterparty an instrument accepting such appointment hereunder 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 the rights, powers, duties and
obligations of its predecessor hereunder, with the like effect as if originally
named as trustee herein.

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<PAGE>

     No successor trustee shall accept appointment as provided in this Section
8.09 unless at the time of such acceptance such successor trustee shall be
eligible under the provisions of Section 8.07 hereof and its appointment shall
not adversely affect the then current rating of the Certificates.

     Upon acceptance of appointment by a successor trustee as provided in this
Section 8.09, the Depositor shall mail notice of the succession of such trustee
hereunder to all Holders of Certificates. If the Depositor fails to mail such
notice within ten (10) days after acceptance of appointment by the successor
trustee, the successor trustee shall cause such notice to be mailed at the
expense of the Depositor.

     SECTION 8.10. Merger or Consolidation of Trustee

     Any corporation into which the Trustee may be merged or converted or with
which it may be consolidated or any corporation resulting from any merger,
conversion or consolidation to which the Trustee shall be a party, or any
corporation succeeding to all or substantially all of the corporate trust
business of the Trustee, shall be the successor of the Trustee hereunder,
provided that such corporation shall be eligible under the provisions of Section
8.07 hereof without the execution or filing of any paper or further act on the
part of any of the parties hereto, anything herein to the contrary
notwithstanding (except for the execution of an assumption agreement where such
succession is not effected by operation of law).

     SECTION 8.11. Appointment of Co-Trustee or Separate Trustee

     Notwithstanding any other provisions of this Agreement, at any time, for
the purpose of meeting any legal requirements of any jurisdiction in which any
part of the Trust Fund or property securing any Mortgage Note may at the time be
located, the Servicer and the Trustee acting jointly shall have the power and
shall execute and deliver all instruments to appoint one or more Persons
approved by the Trustee and the NIMs Insurer to act as co-trustee or co-trustees
jointly with the Trustee, or separate trustee or separate trustees, of all or
any part of the Trust Fund, and to vest in such Person or Persons, in such
capacity and for the benefit of the Certificateholders, such title to the Trust
Fund or any part thereof, whichever is applicable, and, subject to the other
provisions of this Section 8.11, such powers, duties, obligations, rights and
trusts as the Servicer and the Trustee may consider necessary or desirable. Any
such co-trustee or separate trustee shall be compensated by the Trust Fund and
subject to the written approval of the Servicer and the NIMs Insurer. The
Trustee shall not be liable for the actions of any co-trustee appointed with due
care; provided that the appointment of a co-trustee shall not relieve the
Trustee of its obligations hereunder. If the Servicer and the NIMs Insurer shall
not have joined in such appointment within fifteen (15) days after the receipt
by it of a request to do so, or in the case an Event of Default shall have
occurred and be continuing, the Trustee alone shall have the power to make such
appointment. No co-trustee or separate trustee hereunder shall be required to
meet the terms of eligibility as a successor trustee under Section 8.07 and no
notice to Certificateholders of the appointment of any co-trustee or separate
trustee shall be required under Section 8.09.

     Every 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 the Trustee shall be conferred or imposed upon and exercised or performed
by the Trustee and such separate trustee or co-trustee jointly (it being
understood that such separate trustee or co-trustee is not authorized to act

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<PAGE>

separately without the Trustee joining in such act), except to the extent that
under any law of any jurisdiction in which any particular act or acts are to be
performed (whether as Trustee hereunder or as successor to the Servicer
hereunder), the Trustee shall be incompetent or unqualified to perform such act
or acts, in which event such rights, powers, duties and obligations (including
the holding of title to the Trust Fund or any portion thereof in any such
jurisdiction) shall be exercised and performed singly by such separate trustee
or co-trustee, but solely at the direction of the Trustee;

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

          (iii) The Trustee, with the consent of the NIMs Insurer, may at any
time accept the resignation of or remove any separate trustee or co-trustee.

     Any notice, request or other writing given to the 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 the conditions
of this Article VIII. 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 the Trustee or separately,
as may be provided therein, subject to all the provisions of this Agreement,
specifically including every provision of this Agreement relating to the conduct
of, affecting the liability of, or affording protection to, the Trustee. Every
such instrument shall be filed with the Trustee and a copy thereof given to the
NIMs Insurer and the Depositor.

     Any separate trustee or co-trustee may, at any time, constitute the Trustee
its agent or attorney-in-fact, with full power and authority, to the extent not
prohibited by law, to do any lawful act under or in respect of this 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 the
Trustee, to the extent permitted by law, without the appointment of a new or
successor trustee.

     SECTION 8.12. Tax Matters

          (a) It is intended that each of the REMICs provided for herein shall
constitute, and that the affairs of the Trust Fund shall be conducted so as to
allow each such REMIC to qualify as, a "real estate mortgage investment conduit"
as defined in and in accordance with the REMIC Provisions. It is also intended
that each of the grantor trusts provided for in Section 2.07 hereof shall
constitute, and that the affairs of the Trust Fund shall be conducted so as to
allow each such grantor trust to qualify as, a grantor trust under the
provisions of Subpart E, Part I of Subchapter J of the Code. In furtherance of
such intention, the Trustee covenants and agrees that it shall act as agent (and
the Trustee is hereby appointed to act as agent) on behalf of each of the REMICs
provided for herein and that in such capacity it shall: (a) prepare and file, or
cause to be prepared and filed, in a timely manner, a U.S. Real Estate Mortgage
Investment Conduit Income Tax Return (Form 1066 or any successor form adopted by
the Internal Revenue Service) and prepare and file or cause to be prepared and
filed with the Internal Revenue Service and applicable state or local tax
authorities income tax or information returns for each taxable year with respect
to each of the REMICs and grantor trusts provided for herein, containing such
information and at the times and in the manner as may be required by the Code or
state or local tax laws, regulations, or rules, and furnish or cause to be
furnished to Certificateholders the schedules, statements or information at such
times and in such manner as may be required thereby; (b) within thirty (30) days
of the Closing

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<PAGE>

Date, furnish or cause to be furnished to the Internal Revenue Service, on Forms
8811 or as otherwise may be required by the Code, the name, title, address, and
telephone number of the person that the holders of the Certificates may contact
for tax information relating thereto, together with such additional information
as may be required by such Form, and update such information at the time or
times in the manner required by the Code for each of the REMICs provided for
herein; (c) make or cause to be made elections, on behalf of each of the REMICs
provided for herein to be treated as a REMIC on the federal tax return of such
REMICs for their first taxable years (and, if necessary, under applicable state
law); (d) prepare and forward, or cause to be prepared and forwarded, to the
Certificateholders and to the Internal Revenue Service and, if necessary, state
tax authorities, all information returns and reports as and when required to be
provided to them in accordance with the REMIC Provisions or other applicable
law, including without limitation, the calculation of any original issue
discount using the Prepayment Assumption; (e) provide information necessary for
the computation of tax imposed on the transfer of a Class R Certificate to a
Person that is not a Permitted Transferee, or an agent (including a broker,
nominee or other middleman) of a Person that is not a Permitted Transferee, or a
pass through entity in which a Person that is not a Permitted Transferee is the
record holder of an interest (the reasonable cost of computing and furnishing
such information may be charged to the Person liable for such tax); (f) to the
extent that they are under its control conduct the affairs of each of the REMICs
and grantor trusts provided for herein at all times that any Certificates are
outstanding so as to maintain the status of each of the REMICs provided for
herein as a REMIC under the REMIC Provisions and the status of each of the
grantor trusts provided for herein as a grantor trust under Subpart E, Part I of
Subchapter J of the Code; (g) not knowingly or intentionally take any action or
omit to take any action that would cause the termination of the REMIC status of
any of the REMICs provided for herein or result in the imposition of tax upon
any such REMIC; (h) not knowingly or intentionally take any action or omit to
take any action that would cause the termination of the grantor trust status
under Subpart E, Part I of Subchapter J of the Code of any of the grantor trusts
provided for herein or result in the imposition of tax upon any such grantor
trust; (i) pay, from the sources specified in the last paragraph of this Section
8.12(a), the amount of any federal, state and local taxes, including prohibited
transaction taxes as described below, imposed on each of the REMICs provided for
herein prior to the termination of the Trust Fund when and as the same shall be
due and payable (but such obligation shall not prevent the Trustee or any other
appropriate Person from contesting any such tax in appropriate proceedings and
shall not prevent the Trustee from withholding payment of such tax, if permitted
by law, pending the outcome of such proceedings); (j) sign or cause to be signed
federal, state or local income tax or information returns; (k) maintain records
relating to each of the REMICs provided for herein, including but not limited to
the income, expenses, assets and liabilities of each of the REMICs and grantor
trusts provided for herein; and (l) as and when necessary and appropriate,
represent each of the REMICs provided for herein in any administrative or
judicial proceedings relating to an examination or audit by any governmental
taxing authority, request an administrative adjustment as to any taxable year of
any of the REMICs provided for herein, enter into settlement agreements with any
governmental taxing agency, extend any statute of limitations relating to any
tax item of any of the REMICs provided for herein, and otherwise act on behalf
of each of the REMICs provided for herein in relation to any tax matter
involving any of such REMICs or any controversy involving the Trust Fund.

     In order to enable the Trustee to perform its duties as set forth herein,
the Depositor shall provide, or cause to be provided, to the Trustee within ten
(10) days after the Closing Date all information or data that the Trustee
requests in writing and determines to be relevant for tax purposes to the
valuations and offering prices of the Certificates, including, without
limitation, the price, yield, prepayment assumption and projected cash flows of
the Certificates and the Mortgage Loans. Thereafter, the Depositor shall provide
to the Trustee promptly upon written request therefor, any such additional
information or data

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<PAGE>

that the Trustee may, from time to time, request in order to enable the Trustee
to perform its duties as set forth herein. The Depositor hereby agrees to
indemnify the Trustee for any losses, liabilities, damages, claims or expenses
of the Trustee arising from any errors or miscalculations of the Trustee that
result from any failure of the Depositor to provide, or to cause to be provided,
accurate information or data to the Trustee on a timely basis.

     In the event that any tax is imposed on "prohibited transactions" of any of
the REMICs provided for herein as defined in Section 860F(a)(2) of the Code, on
the "net income from foreclosure property" of any of such REMICs as defined in
Section 860G(c) of the Code, on any contribution to the Trust Fund after the
Startup Day pursuant to Section 860G(d) of the Code, or any other tax is
imposed, if not paid as otherwise provided for herein, such tax shall be paid by
(i) the Trustee, if any such other tax arises out of or results from a breach by
the Trustee of any of its obligations under this Agreement or as a result of the
location of the Trustee, (ii) any party hereto (other than the Trustee) to the
extent any such other tax arises out of or results from a breach by such other
party of any of its obligations under this Agreement or as a result of the
location of such other party or (iii) in all other cases, or in the event that
any liable party here fails to honor its obligations under the preceding clauses
(i) or (ii), any such tax will be paid first with amounts (other than amounts
derived by the Issuing Entity from a payment on any Corridor Contract or amounts
received by the Supplemental Interest Trust as payments on the Swap Agreement)
otherwise to be distributed to the Class R Certificateholders (pro rata)
pursuant to Section 4.04, and second with amounts (other than amounts derived by
the Issuing Entity from a payment on any Corridor Contract or amounts received
by the Supplemental Interest Trust as payments on the Swap Agreement) otherwise
to be distributed to all other Certificateholders in the following order of
priority: first, to the Class C Certificates (pro rata), second to the Class B-3
Certificates (pro rata), third to the Class B-2 Certificates (pro rata), fourth
to the Class B-1 Certificates (pro rata), fifth to the Class M-6 Certificates
(pro rata), sixth to the Class M-5 Certificates (pro rata), seventh to the Class
M-4 Certificates (pro rata), eighth to the Class M-3 Certificates (pro rata),
ninth to the Class M-2 Certificates (pro rata), tenth to the Class M-1
Certificates (pro rata) and eleventh to the Class A Certificates (pro rata).
Notwithstanding anything to the contrary contained herein, to the extent that
such tax is payable by the Class R Certificate, the Trustee is hereby authorized
pursuant to such instruction to retain on any Distribution Date, from the
Holders of the Class R Certificate (and, if necessary, from the Holders of all
other Certificates in the priority specified in the preceding sentence), funds
otherwise distributable to such Holders in an amount sufficient to pay such tax.
The Trustee agrees to promptly notify in writing the party liable for any such
tax of the amount thereof and the due date for the payment thereof.

          (b) Each of the Depositor, the Servicer and the Trustee agrees not to
knowingly or intentionally take any action or omit to take any action that would
cause the termination of the REMIC status of any of the REMICs provided for
herein or result in the imposition of a tax upon any of the REMICs provided for
herein.

                                   ARTICLE IX

                                   TERMINATION

     SECTION 9.01. Termination upon Liquidation or Repurchase of all Mortgage
Loans

          (a) Subject to Section 9.03, the obligations and responsibilities of
the Depositor, the Servicer and the Trustee created hereby with respect to the
Trust Fund shall terminate upon the earlier of (a) an Optional Termination and
(b) the later of (i) the maturity or other liquidation (or any Advance with

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respect thereto) of the last Mortgage Loan remaining in the Trust Fund and the
disposition of all REO Property and (ii) the distribution to Certificateholders
of all amounts required to be distributed to them pursuant to this Agreement, as
applicable. In no event shall the trusts created hereby continue beyond the
earlier of (i) the expiration of 21 years from the death of the last survivor of
the descendants of Joseph P. Kennedy, the late Ambassador of the United States
to the Court of St. James's, living on the date hereof and (ii) the Latest
Possible Maturity Date.

          (b) On or before the Determination Date following the Initial Optional
Termination Date, the Trustee shall attempt to terminate the Trust Fund by
conducting an auction of all of the Mortgage Loans and REO Properties via a
solicitation of bids from each Holder of a Class C Certificate and at least
three (3) additional bidders, each of which shall be a nationally recognized
participant in mortgage finance (the "Auction"). The Depositor and the Trustee
agree to work in good faith to develop bid procedures in advance of the Initial
Optional Termination Date to govern the operation of the Auction. The Trustee
shall be entitled to retain an investment banking firm and/or other agents in
connection with the Auction, the cost of which shall be included in the Optional
Termination Price (unless an Optional Termination does not occur in which case
such costs shall be an expense of the Trust Fund). The Trustee shall accept the
highest bid received at the Auction; provided that the amount of such bid equals
or exceeds the Optional Termination Price. The Trustee shall determine the
Optional Termination Price based upon information provided by (a) the Servicer
with respect to the amounts described in clauses (i) and (ii) of the definition
of "Optional Termination Price" and (b) the Depositor with respect to the
information described in clauses (iii) and (v) of the definition of "Optional
Termination Price." The Trustee may conclusively rely upon the information
provided to it in accordance with the immediately preceding sentence and shall
not have any liability for the failure of any party to provide such information.
Notwithstanding anything herein to the contrary, only an amount equal to the
Optional Termination Price, reduced by the portion thereof consisting of the sum
of (x) any Swap Termination Payment and (y) the amount of any unpaid Net Swap
Payments that would not otherwise be funded by the Optional Termination Price
but for clause (v) of the definition of "Optional Termination Price" (such
portion, the "Swap Optional Termination Payment"), shall be made available for
distribution to the Certificates. The Swap Optional Termination Payment shall be
withdrawn by the Trustee from the Certificate Account and remitted to the
Supplemental Interest Trust for payment to the Swap Counterparty. The Swap
Optional Termination Payment shall not be part of any REMIC and shall not be
paid into any account which is part of any REMIC.

     If no sale under Section 9.01(b) occurs the NIMs Insurer may, at its
option, terminate the Trust Fund on any Distribution Date by purchasing all of
the Mortgage Loans and REO Properties at the price equal to the Optional
Termination Price. If an Optional Termination does not occur as a result of the
Auction's failure to achieve the Optional Termination Price, and the NIMs
Insurer fails to exercise its option to purchase all of the Mortgage Loans, the
Servicer (or an affiliate of the Servicer) may, on any Distribution Date
following such Auction, at its option, terminate the Trust Fund by purchasing
all of the Mortgage Loans and REO Properties at a price equal to the Optional
Termination Price. In connection with such termination, the Optional Termination
Price shall be delivered to the Trustee no later than two Business Days
immediately preceding the related Distribution Date. Notwithstanding anything to
the contrary herein, the Optional Termination Amount paid to the Trustee by the
winning bidder at the Auction or by the Servicer (or an affiliate of the
Servicer or the NIMs Insurer) shall be deposited by the Trustee directly into
the Certificate Account immediately upon receipt. Upon any termination as a
result of an Auction, the Trustee shall, out of the Optional Termination Amount
deposited into the Certificate Account, (x) reimburse the Trustee for its costs
and expenses necessary to conduct the Auction and any other unreimbursed amounts
owing to it and (y) pay to the Servicer, the aggregate amount of any

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unreimbursed out-of-pocket costs and expenses owed to the Servicer and any
unpaid or unreimbursed Servicing Fees, Advances and Servicing Advances.

          (c) Notwithstanding anything to the contrary in clause (b) above, in
the event that the Trustee receives the written opinion of a nationally
recognized participant in mortgage finance acceptable to the Sponsor that the
Mortgage Loans and REO Properties to be included in the Auction will not be
saleable at a price sufficient to achieve the Optional Termination Price, the
Trustee need not conduct the Auction. In such event, the Servicer shall have the
option to purchase the Mortgage Loans and REO Properties at the Optional
Termination Price as of the Initial Optional Termination Date.

     SECTION 9.02. Final Distribution on the Certificates

     If on any Determination Date, (i) the Trustee determines that there are no
Outstanding Mortgage Loans and no other funds or assets in the Trust Fund other
than the funds in the Collection Account, the Trustee shall send a final
distribution notice promptly to each Certificateholder or (ii) the Trustee
determines that a Class of Certificates shall be retired after a final
distribution on such Class, the Trustee shall notify the Certificateholders as
soon as practicable after such Determination Date that the final distribution in
retirement of such Class of Certificates is scheduled to be made on the
immediately following Distribution Date. Any final distribution made pursuant to
the immediately preceding sentence will be made only upon presentation and
surrender of the Certificates at the office of the Trustee specified in such
notice.

     Notice of any termination of the Trust Fund, specifying the Distribution
Date on which Certificateholders may surrender their Certificates for payment of
the final distribution and cancellation, shall be given promptly by the Trustee
by letter to Certificateholders mailed as soon as practicable after a
determination is made pursuant to the preceding paragraph (or with respect to an
Auction, mailed no later than one Business Day following completion of such
Auction). Any such notice shall specify (a) the Distribution Date upon which
final distribution on the Certificates will be made upon presentation and
surrender of Certificates at the office therein designated, (b) the location of
the office or agency at which such presentation and surrender must be made, and
(c) that the Record Date otherwise applicable to such Distribution Date is not
applicable, distributions being made only upon presentation and surrender of the
Certificates at the office therein specified. The Trustee will give such notice
to the Swap Counterparty and to each Rating Agency at the time such notice is
given to Certificateholders.

     In the event such notice is given, the Servicer shall remit all funds in
the Collection Account to the Trustee for deposit in the Certificate Account on
the Servicer Remittance Date in an amount equal to the final distribution in
respect of the Certificates. Upon such final deposit and the receipt by the
Trustee of a Request for Release therefor, the Trustee shall promptly release to
the Mortgage Files for the Mortgage Loans.

     Upon presentation and surrender of the Certificates, the Trustee shall
cause to be distributed to Certificateholders of each Class the amounts
allocable to such Certificates held in the Certificate Account in the order and
priority set forth in Section 4.04 hereof on the final Distribution Date and in
proportion to their respective Percentage Interests.

     In the event that any affected Certificateholders shall not surrender
Certificates for cancellation within six months after the date specified in the
above mentioned written notice, the Trustee shall give a second written notice
to the remaining Certificateholders to surrender their Certificates for
cancellation

                                     -158-

<PAGE>

and receive the final distribution with respect thereto. If within six months
after the second notice all the applicable Certificates shall not have been
surrendered for cancellation, the Trustee may take appropriate steps, or may
appoint an agent to take appropriate steps, to contact the remaining
Certificateholders concerning surrender of their Certificates, and the cost
thereof shall be paid out of the funds and other assets that remain a part of
the Trust Fund. If within one year after the second notice all Certificates
shall not have been surrendered for cancellation, the Class R Certificateholders
shall be entitled to all unclaimed funds and other assets of the Trust Fund that
remain subject hereto. Upon payment to the Class R Certificateholders of such
funds and assets, the Trustee shall not have any further duties or obligations
with respect thereto.

     SECTION 9.03. Additional Termination Requirements

          (a) In the event the Trustee or the Servicer completes an Optional
Termination as provided in Section 9.01, the Trust Fund shall be terminated in
accordance with the following additional requirements, unless the Trustee has
been supplied with an Opinion of Counsel, at the expense of the Servicer, as
applicable, to the effect that the failure of the Issuing Entity to comply with
the requirements of this Section 9.03 will not (i) result in the imposition of
taxes on "prohibited transactions" of any of the REMICs provided for herein as
defined in Section 860F of the Code, or (ii) cause any of the REMICs provided
for herein to fail to qualify as a REMIC at any time that any Certificates are
outstanding:

          (i) The Depositor shall establish a 90-day liquidation period and
notify the Trustee thereof, and the Trustee shall in turn specify the first day
of such period in a statement attached to the final tax returns of each of the
REMICs provided for herein pursuant to Treasury Regulation Section 1.860F-1. The
Depositor shall satisfy all the requirements of a qualified liquidation under
Section 860F of the Code and any regulations thereunder, as evidenced by an
Opinion of Counsel obtained at the expense of the Servicer;

          (ii) During such 90-day liquidation period, and at or prior to the
time of making the final payment on the Certificates, the Depositor as agent of
the Trustee shall sell all of the assets of the Trust Fund for cash; and

          (iii) At the time of the making of the final payment on the
Certificates, the Trustee shall distribute or credit, or cause to be distributed
or credited, to the Class R Certificateholders all cash on hand (other than cash
retained to meet outstanding claims), and the Trust Fund shall terminate at that
time, whereupon the Trustee shall have no further duties or obligations with
respect to sums distributed or credited to the Class R Certificateholders.

          (b) By their acceptance of the Certificates, the Holders thereof
hereby authorize the Depositor to specify the 90-day liquidation period for the
Trust Fund, which authorization shall be binding upon all successor
Certificateholders.

          (c) The Trustee as agent for each REMIC hereby agrees to adopt and
sign such a plan of complete liquidation prepared and delivered to it by the
Depositor upon the written request of the Depositor, and the receipt of the
Opinion of Counsel referred to in Section 9.03(a) and to take such other action
in connection therewith as may be reasonably requested by the Depositor.

          (d) Notwithstanding any other terms of this Agreement, prior to any
termination of the Trust Fund, the Servicer may prepare a reconciliation of all
Advances and Servicing Advances made

                                     -159-

<PAGE>

by it for which it has not been reimbursed and a reasonable estimate of all
additional Servicing Advances and other costs for which it would be entitled to
be reimbursed if the Trust Fund were not being terminated, including without
limitation, any Servicing Advances and other costs arising under Section 6.03
(Limitation on Liability of the Depositor, the Servicer and Others), and the
Servicer may recover these Advances, Servicing Advances and estimated Servicing
Advances and other costs from the Collection Account (to the extent that such
recovery of Servicing Advances, estimated Servicing Advances and other costs
constitutes "unanticipated expenses" within the meaning of Treasury Regulation
Section 1.860G-1(b)(3)(ii)).

          (e) Notwithstanding any other terms of this Agreement, unless the
Servicer previously has notified the Trustee that it has entered into a
servicing agreement for the servicing after the termination date of the Trust
Fund assets, at least twenty (20) days prior to any termination of the Trust
Fund, the Trustee or the Depositor shall notify the Servicer in writing to
transfer the assets of the Trust Fund as of the termination date to the person
specified in the notice, or if such person is not then known, to continue
servicing the assets until the date that is twenty (20) days after the
termination date and on the termination date, the Trustee or the Depositor shall
notify the Servicer of the person to whom the assets should be transferred on
that date. In the latter event the Servicer shall be entitled to recover its
servicing fee and any advances made for the interim servicing period from the
collections on the assets which have been purchased from the Trust Fund and the
new owner of the assets, and the agreements for the new owner to obtain
ownership of the assets of the Trust Fund shall so provide.

                                   ARTICLE X

                            MISCELLANEOUS PROVISIONS

     SECTION 10.01. Amendment

     This Agreement may be amended from time to time by the Depositor, the
Servicer and the Trustee, with the consent of the NIMs Insurer (such consent
shall not be unreasonably withheld) and without the consent of any of the
Certificateholders,

          (i) to cure any ambiguity or correct any mistake,

          (ii) to correct, modify or supplement any provision herein which may
be inconsistent with the Prospectus Supplement or any other provision herein,

          (iii) to add any other provisions with respect to matters or questions
arising under this Agreement, or

          (iv) to modify, alter, amend, add to or rescind any of the terms or
provisions contained in this Agreement, provided, however, that, in the case of
clauses (iii) and (iv), such amendment will not, as evidenced by an Opinion of
Counsel to such effect, adversely affect in any material respect the interests
of any Holder; provided, further, however, that such amendment will be deemed to
not adversely affect in any material respect the interest of any Holder if the
Person requesting such amendment obtains a letter from each Rating Agency
stating that such amendment will not result in a reduction or withdrawal of its
rating of any Class of the Certificates, it being understood and agreed that any
such letter in and of itself will not represent a determination as to the
materiality of any such amendment and will represent a determination only as to
the credit issues affecting any such rating. In

                                     -160-

<PAGE>

addition, this Agreement may be amended from time to time by the Depositor, the
Servicer and the Trustee without the consent of any of the Certificateholders
and without delivery of an Opinion of Counsel (referenced in (iv) above) to
comply with the provisions of Regulation AB.

     Notwithstanding the foregoing, without the consent of the
Certificateholders, the Depositor, the Servicer and the Trustee may at any time
and from time to time amend this Agreement to modify, eliminate or add to any of
its provisions to such extent as shall be necessary or appropriate to maintain
the qualification of any of the REMICs provided for herein as REMICs under the
Code or to avoid or minimize the risk of the imposition of any tax on the Trust
Fund or any of the REMICs provided for herein pursuant to the Code that would be
a claim against the Trust Fund at any time prior to the final redemption of the
Certificates, provided that the Trustee and the NIMs Insurer shall have been
provided an Opinion of Counsel, which opinion shall be an expense of the party
requesting such amendment but in any case shall not be an expense of the Trustee
or the NIMs Insurer, to the effect that such action is necessary or appropriate
to maintain such qualification or to avoid or minimize the risk of the
imposition of such a tax.

     This Agreement may also be amended from time to time by the Depositor, the
Trustee, the Servicer, the Trustee and the Holders of the Certificates affected
thereby evidencing not less than 66 2/3% of the Voting Rights, with the consent
of the NIMs Insurer, 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 of Certificates; provided,
however, that no such amendment shall (i) reduce in any manner the amount of, or
delay the timing of, payments required to be distributed on any Certificate
without the consent of the Holder of such Certificate, (ii) adversely affect in
any material respect the interests of the Holders of any Class of Certificates
in a manner other than as described in (i), without the consent of the Holders
of Certificates of such Class evidencing 66 2/3% or more of the Voting Rights of
such Class or (iii) reduce the aforesaid percentages of Certificates the Holders
of which are required to consent to any such amendment without the consent of
the Holders of all such Certificates then outstanding. A copy of such Opinion of
Counsel shall be provided to the NIMs Insurer.

     Notwithstanding any contrary provision of this Agreement, the Trustee shall
not consent to any amendment to this Agreement unless it shall have first
received an Opinion of Counsel, which opinion shall be an expense of the party
requesting such amendment but in any case shall not be an expense of the
Trustee, to the effect that such amendment will not cause the imposition of any
tax on the Trust Fund, any of the REMICs provided for herein or the
Certificateholders or cause any of the REMICs provided for herein to fail to
qualify as a REMIC at any time that any Certificates are outstanding.

     Promptly after the execution of any amendment to this Agreement requiring
the consent of Certificateholders, the Trustee shall furnish written
notification of the substance of such amendment to each Certificateholder and
each Rating Agency.

     It shall not be necessary for the consent of Certificateholders under this
Section to approve the particular form of any proposed amendment, but it shall
be sufficient if such consent shall approve the substance thereof. The manner of
obtaining such consents and of evidencing the authorization of the execution
thereof by Certificateholders shall be subject to such reasonable regulations as
the Trustee may prescribe.

     Nothing in this Agreement shall require the Trustee or the Servicer to
enter into an amendment without receiving an Opinion of Counsel, satisfactory to
the Trustee or the Servicer that (i) such

                                     -161-

<PAGE>

amendment is permitted and is not prohibited by this Agreement and that all
requirements for amending this Agreement have been complied with; and (ii)
either (A) the amendment does not adversely affect in any material respect the
interests of any Certificateholder or (B) the conclusion set forth in the
immediately preceding clause (A) is not required to be reached pursuant to this
Section 10.01.

     The Trustee may, but shall not be obligated to, enter into any supplement,
modification or waiver which affects its rights, duties or obligations
hereunder.

     The Trustee shall not enter into any amendment to this Agreement that could
have a materially adverse effect on the Cap Contract Counterparty or the Swap
Counterparty without first obtaining the consent of the Cap Contract
Counterparty or Swap Counterparty, respectively.

     Notwithstanding anything to the contrary in this Section 10.01, the Trustee
and the Servicer shall reasonably cooperate with the Depositor and its counsel
to enter into such amendments or modifications to this Agreement as may be
necessary to comply with Regulation AB and any interpretation thereof by the
Securities and Exchange Commission.

     SECTION 10.02. Counterparts

     This Agreement may be executed simultaneously in any number of
counterparts, each of which counterparts shall be deemed to be an original, and
such counterparts shall constitute but one and the same instrument.

     SECTION 10.03. Governing Law

     THIS AGREEMENT SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE
SUBSTANTIVE LAWS OF THE STATE OF NEW YORK APPLICABLE TO AGREEMENTS MADE AND TO
BE PERFORMED IN THE STATE OF NEW YORK AND THE OBLIGATIONS, RIGHTS AND REMEDIES
OF THE PARTIES HERETO AND THE CERTIFICATEHOLDERS SHALL BE DETERMINED IN
ACCORDANCE WITH SUCH LAWS WITHOUT REGARD TO THE CONFLICTS OF LAWS PRINCIPLES
THEREOF.

     SECTION 10.04. Intention of Parties

     It is the express intent of the parties hereto that the conveyance of the
Mortgage Notes, Mortgages, assignments of Mortgages, title insurance policies
and any modifications, extensions and/or assumption agreements and private
mortgage insurance policies relating to the Mortgage Loans by the Depositor to
the Trustee be, and be construed as, an absolute sale thereof to the Trustee. It
is, further, not the intention of the parties that such conveyance be deemed a
pledge thereof by the Depositor to the Trustee. However, in the event that,
notwithstanding the intent of the parties, such assets are held to be the
property of the Depositor, or if for any other reason this Agreement is held or
deemed to create a security interest in such assets, then (i) this Agreement
shall be deemed to be a security agreement within the meaning of the Uniform
Commercial Code of the State of New York and (ii) the conveyance provided for in
this Agreement shall be deemed to be an assignment and a grant by the Depositor
to the Trustee, for the benefit of the Certificateholders, of a security
interest in all of the assets that constitute the Trust Fund, whether now owned
or hereafter acquired.

                                     -162-

<PAGE>

     The Depositor for the benefit of the Certificateholders shall, to the
extent consistent with this Agreement, take such actions as may be necessary to
ensure that, if this Agreement were deemed to create a security interest in the
assets of the Trust Fund, such security interest would be deemed to be a
perfected security interest of first priority under applicable law and will be
maintained as such throughout the term of the Agreement. The Depositor shall
arrange for filing any Uniform Commercial Code continuation statements in
connection with any security interest granted or assigned to the Trustee for the
benefit of the Certificateholders.

     SECTION 10.05. Notices

          (a) The Trustee shall use its best efforts to promptly provide notice
to the NIMs Insurer, the Rating Agency, the Cap Contract Counterparty and the
Swap Counterparty with respect to each of the following of which it has actual
knowledge:

          (i) Any material change or amendment to this Agreement;

          (ii) The occurrence of any Event of Default that has not been cured;

          (iii) The resignation or termination of the Trustee or the Servicer
and the appointment of any successor;

          (iv) The repurchase or substitution of Mortgage Loans pursuant to
Sections 2.02 and 2.03;

          (v) The final payment to Certificateholders; and

          (vi) Any change in the location of the Certificate Account.

          (b) The Trustee shall promptly furnish or make available to each
Rating Agency copies of the following:

          (i) Each report to Certificateholders described in Section 4.05;

          (ii) Each annual statement as to compliance described in Section 3.17;
and

          (iii) Each annual independent public accountants' servicing report
described in Section 3.18.

All directions, demands and notices hereunder shall be in writing and shall be
deemed to have been duly given when delivered to (a) in the case of the
Depositor, Merrill Lynch Mortgage Investors, Inc. 250 Vesey Street, 4 World
Financial Center, 10th Floor, New York, New York 10080, Attention: Asset-Backed
Finance; (b) in the case of the Rating Agencies, (i) Standard & Poor's Ratings
Services, a division of The McGraw-Hill Companies, Inc., 55 Water Street, New
York, New York 10041and (ii) Moody's Investors Service, Inc., 99 Church Street,
4th Floor, New York, New York 10007; (c) in the case of the Servicer, Home Loan
Services, Inc., 150 Allegheny Center Mall, Pittsburgh, Pennsylvania 15212,
Attention: VP Investor Reporting; (d) in the case of the Trustee, LaSalle Bank
National Association, 135 South LaSalle Street, Suite 1511, Chicago, Illinois
60603 Attention: Global Securities and Trust Services--FFMER 2007-3; (e) in the
case of the Cap Contract Counterparty or the Swap Counterparty as provided for
in the Swap Agreement and the Corridor Contracts, and in the case of any of the
foregoing

                                     -163-

<PAGE>

persons, such other addresses as may hereafter be furnished by any such persons
to the other parties to this Agreement. Notices to Certificateholders shall be
deemed given when mailed, first class postage prepaid, to their respective
addresses appearing in the Certificate Register.

     SECTION 10.06. 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 or of the Certificates or the rights of the Holders thereof.

     SECTION 10.07. Assignment; Sales; Advance Facilities

     Notwithstanding anything to the contrary contained herein, except as
provided pursuant to Section 6.02, this Agreement may not be assigned by the
Servicer without the prior written consent of the Trustee and Depositor;
provided, however, the Servicer is hereby authorized to enter into an Advance
Facility under which (l) the Servicer sells, assigns or pledges to an Advancing
Person the Servicer's rights under this Agreement to be reimbursed for any
Advances or Servicing Advances and/or (2) an Advancing Person agrees to fund
some or all Advances or Servicing Advances required to be made by the Servicer
pursuant to this Agreement. No consent of the Trustee, Certificateholders or any
other party is required before the Servicer may enter into an Advance Facility.
Notwithstanding the existence of any Advance Facility under which an Advancing
Person agrees to fund Advances and/or Servicing Advances on the Servicer's
behalf, the Servicer shall remain obligated pursuant to this Agreement to make
Advances and Servicing Advances pursuant to and as required by this Agreement,
and shall not be relieved of such obligations by virtue of such Advance
Facility.

     Reimbursement amounts shall consist solely of amounts in respect of
Advances and/or Servicing Advances made with respect to the Mortgage Loans for
which the Servicer would be permitted to reimburse itself in accordance with
this Agreement, assuming the Servicer had made the related Advance(s) and/or
Servicing Advance(s).

     The Servicer shall maintain and provide to any successor Servicer a
detailed accounting on a loan by loan basis as to amounts advanced by, pledged
or assigned to, and reimbursed to any Advancing Person. The successor Servicer
shall be entitled to rely on any such information provided by the predecessor
Servicer, and the successor Servicer shall not be liable for any errors in such
information.

     An Advancing Person who purchases or receives an assignment or pledge of
the rights to be reimbursed for Advances and/or Servicing Advances, and/or whose
obligations hereunder are limited to the funding of Advances and/or Servicing
Advances shall not be required to meet the criteria for qualification of a
Subservicer set forth in this Agreement.

     The documentation establishing any Advance Facility shall require that such
reimbursement amounts distributed with respect to each Mortgage Loan be
allocated to outstanding unreimbursed Advances or Servicing Advances (as the
case may be) made with respect to that Mortgage Loan on a "first in, first out"
(FIFO) basis. Such documentation shall also require the Servicer to provide to
the related Advancing Person or its designee loan by loan information with
respect to each such reimbursement amount distributed to such Advancing Person
or Advance Facility trustee on each

                                     -164-

<PAGE>

Distribution Date, to enable the Advancing Person or Advance Facility trustee to
make the FIFO allocation of each such reimbursement amount with respect to each
Mortgage Loan. The Servicer shall remain entitled to be reimbursed by the
Advancing Person or Advance Facility trustee for all Advances and Servicing
Advances funded by the Servicer to the extent the related rights to be
reimbursed therefor have not been sold, assigned or pledged to an Advancing
Person.

     Any amendment to this Section 10.07 or to any other provision of this
Agreement that may be necessary or appropriate to effect the terms of an Advance
Facility as described generally in this Section 10.07, including amendments to
add provisions relating to a successor Servicer, may be entered into by the
Trustee and the Servicer, without the consent of any Certificateholder
notwithstanding anything to the contrary in this Agreement, upon receipt by the
Trustee of an Opinion of Counsel that such amendment has no material adverse
effect on the Certificateholders or the Swap Counterparty or written
confirmation from the Rating Agencies that such amendment will not adversely
affect the ratings on the Certificates. Prior to entering into an Advance
Facility, the Servicer shall notify the lender under such facility in writing
that: (a) the Advances financed by and/or pledged to the lender are obligations
owed to the Servicer on a non recourse basis payable only from the cash flows
and proceeds received under this Agreement for reimbursement of Advances only to
the extent provided herein, and the Trustee and the Trust Fund are not otherwise
obligated or liable to repay any Advances financed by the lender; (b) the
Servicer will be responsible for remitting to the lender the applicable amounts
collected by it as reimbursement for Advances funded by the lender, subject to
the restrictions and priorities created in this Agreement; and (c) the Trustee
shall not have any responsibility to track or monitor the administration of the
financing arrangement between the Servicer and the lender.

     SECTION 10.08. Limitation on Rights of Certificateholders

     The death or incapacity of any Certificateholder shall not operate to
terminate this Agreement or the Trust Fund, nor entitle such Certificateholder's
legal representative or heirs to claim an accounting or to take any action or
commence any proceeding in any court for a petition or winding up of the Trust
Fund, or otherwise affect the rights, obligations and liabilities of the parties
hereto or any of them.

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

     No Certificateholder 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 the Trustee a written notice of an Event
of Default and of the continuance thereof, as hereinbefore provided, the Holders
of Certificates evidencing not less than 25% of the Voting Rights evidenced by
the Certificates shall also have made written request to the Trustee to
institute such action, suit or proceeding in its own name as Trustee hereunder
and shall have offered to the Trustee (individually and as trustee) such
indemnity satisfactory to it as it may require against the costs, expenses, and
liabilities to be incurred therein or thereby, and the Trustee, for sixty (60)
days after its receipt of such notice, request and offer of indemnity shall have
neglected or refused to institute any such action, suit or proceeding; it being
understood and intended, and being expressly covenanted by each
Certificateholder with every other Certificateholder and the Trustee,

                                     -165-

<PAGE>

that 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 and/or the NIMs Insurer, or to obtain or seek to obtain
priority over or preference to any other such Holder and/or the NIMs Insurer or
to enforce any right under this Agreement, except in the manner herein provided
and for the common benefit of all Certificateholders. For the protection and
enforcement of the provisions of this Section 10.08, each and every
Certificateholder and the Trustee shall be entitled to such relief as can be
given either at law or in equity.

     SECTION 10.09. Inspection and Audit Rights

     The Servicer agrees that, on reasonable prior notice, it will permit any
representative of the Depositor or the Trustee during the Servicer's normal
business hours, to examine all the books of account, records, reports and other
papers of the Servicer relating to the Mortgage Loans to make copies and
extracts therefrom, to cause such books to be audited by independent certified
public accountants selected by the Depositor or the Trustee and to discuss its
affairs, finances and accounts relating to the Mortgage Loans with its officers,
employees, agents, counsel and independent public accountants (and by this
provision the Servicer hereby authorizes such accountants to discuss with such
representative such affairs, finances and accounts), all at such reasonable
times and as often as may be reasonably requested. Any out-of-pocket expense
incident to the exercise by the Depositor or the Trustee of any right under this
Section 10.09 shall be borne by the party requesting such inspection (except in
the case of the Trustee in which case such expenses shall be borne by the
requesting Certificateholder(s)); all other such expenses shall be borne by the
Servicer.

     SECTION 10.10. Certificates Nonassessable and Fully Paid

     It is the intention of the Depositor that Certificateholders shall not be
personally liable for obligations of the Issuing Entity, that the interests in
the Issuing Entity represented by the Certificates shall be nonassessable for
any reason whatsoever, and that the Certificates, upon due authentication
thereof by the Authenticating Agent pursuant to this Agreement, are and shall be
deemed fully paid.

     SECTION 10.11. Compliance with Regulation AB

     Each of the parties hereto acknowledges and agrees that the purpose of
Sections 3.17, 3.18 and 3.20 of this Agreement is to facilitate compliance by
the Depositor with the provisions of Regulation AB, as such may be amended or
clarified from time to time. Therefore, each of the parties agrees that (a) the
obligations of the parties hereunder shall be interpreted in such a manner as to
accomplish compliance with Regulation AB, (b) the parties' obligations hereunder
will be supplemented and modified as necessary to be consistent with any such
amendments, interpretive advice or guidance, or convention or consensus among
active participants in the asset-backed securities markets in respect of the
requirements of Regulation AB and (c) the parties shall comply with reasonable
requests made by the Depositor for delivery of that or different information as
is necessary to comply with the provisions of Regulation AB.

     SECTION 10.12. Third Party Rights

     The Cap Contract Counterparty and the Swap Counterparty shall be deemed
third party beneficiaries of this Agreement regarding provisions related to
payments owed to the Cap Contract

                                     -166-

<PAGE>

Counterparty or Swap Counterparty, respectively, so long as any of the Corridor
Contracts or the Swap Agreement, as applicable, remains in effect.

     The NIMs Insurer, if any, shall also be deemed to be a third party
beneficiary of this Agreement as long as NIM Notes are issued and outstanding.

     SECTION 10.13. Additional Rights of the NIMs Insurer

     Provided that a party to this Agreement has been provided with the contact
information of the NIMs Insurer, such party, any agent thereof and any successor
thereto shall furnish to the NIMs Insurer a copy of any notice, direction,
demand, opinion, schedule, list, certificate, report or filing required to be
provided under this Agreement and provided by it or on its behalf to any other
Person pursuant to this Agreement at the same time, in the same form and in the
same manner as such communication is so provided and shall address or cause such
communication to be addressed to the NIMs Insurer in addition to any other
addressee thereof. The Servicer shall cause the NIMs Insurer to be an addressee
of any report furnished pursuant to this Agreement. With respect to the Trustee,
such obligation shall be satisfied with the provision of access to the NIMs
Insurer to the Trustee's website.

     Unless there exists a continuance of any failure by the NIMs Insurer to
make a required payment under the policy insuring the NIM Notes (such event, a
"NIMs Insurer Default"), wherever in this Agreement there shall be a requirement
that any Person or any communication, object or other matter be acceptable or
satisfactory to or otherwise receive the consent or other approval of any other
Person (whether as a condition to the eligibility of such Person to act in any
capacity, as a condition to any circumstance or state of affairs related to such
matter, or otherwise), there also shall be deemed to be a requirement that such
Person or matter be approved in writing by the NIMs Insurer, which approval
shall not be unreasonably withheld or delayed.

                                     -167-

<PAGE>

     IN WITNESS WHEREOF, the Depositor, the Trustee and the Servicer have caused
their names to be signed hereto by their respective officers thereunto duly
authorized as of the day and year first above written.

                                        MERRILL LYNCH MORTGAGE INVESTORS, INC.,
                                           as Depositor

                                        By:
                                            ------------------------------------
                                        Name: Paul Park
                                        Title: Authorized Signatory

                                        LASALLE BANK NATIONAL ASSOCIATION
                                           as Trustee

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

                                        HOME LOAN SERVICES, INC.,
                                           as Servicer

                                        By:
                                            ------------------------------------
                                        Name: Steven A. Baranet
                                        Title: Vice President

<PAGE>

Acknowledged and agreed to as of the day
and year first above written with
respect to Section 2.03(b) only.

FIRST FRANKLIN FINANCIAL CORPORATION,
as Sponsor

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

                                       Z-1
<PAGE>

                                    EXHIBIT A

                              FORMS OF CERTIFICATES

<PAGE>

                          FORM OF CLASS A CERTIFICATES

SOLELY FOR FEDERAL INCOME TAX PURPOSES, THIS CERTIFICATE REPRESENTS (I) A
"REGULAR INTEREST" IN A "REAL ESTATE MORTGAGE INVESTMENT CONDUIT", AS THOSE
TERMS ARE DEFINED, RESPECTIVELY, IN SECTIONS 860G AND 860D OF THE INTERNAL
REVENUE CODE OF 1986, AS AMENDED AND (II) AN INTEREST IN NOTIONAL PRINCIPAL
CONTRACTS.

THIS CERTIFICATE DOES NOT REPRESENT AN OBLIGATION OF OR INTEREST IN THE
DEPOSITOR, THE TRUSTEE OR THE SERVICER REFERRED TO BELOW OR ANY OF THEIR
AFFILIATES. NEITHER THIS CERTIFICATE, THE REMIC REGULAR INTEREST REPRESENTED
HEREBY NOR THE UNDERLYING MORTGAGE LOANS ARE GUARANTEED OR INSURED BY THE
DEPOSITOR, THE TRUSTEE, THE SERVICER OR BY ANY OF THEIR AFFILIATES OR BY ANY
GOVERNMENTAL AGENCY OR INSTRUMENTALITY.

UNTIL THE TERMINATION OF THE SWAP AGREEMENT, EACH TRANSFEREE OF THIS CERTIFICATE
SHALL BE DEEMED TO REPRESENT (OR IN THE CASE OF A DEFINITIVE CERTIFICATE, SHALL
REPRESENT) TO THE TRUSTEE THAT (A) SUCH TRANSFEREE IS NOT, AND IS NOT ACTING
FOR, ON BEHALF OF OR WITH ANY ASSETS OF, ANY EMPLOYEE BENEFIT PLAN OR OTHER
ARRANGEMENT SUBJECT TO TITLE I OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF
1974, AS AMENDED ("ERISA"), OR ANY PLAN SUBJECT TO SECTION 4975 OF THE INTERNAL
REVENUE CODE OF 1986, AS AMENDED (THE "CODE"), OR (B) THE TRANSFEREE'S
ACQUISITION AND HOLDING OF THIS CERTIFICATE WILL NOT CONSTITUTE OR RESULT IN A
NON-EXEMPT PROHIBITED TRANSACTION UNDER TITLE I OF ERISA OR SECTION 4975 OF THE
CODE.

FOLLOWING THE INITIAL ISSUANCE OF THE CERTIFICATES, THE PRINCIPAL BALANCE OF
THIS CERTIFICATE MAY BE DIFFERENT FROM THE ORIGINAL DENOMINATION SHOWN BELOW.
ANYONE ACQUIRING THIS CERTIFICATE MAY ASCERTAIN ITS CURRENT PRINCIPAL BALANCE BY
INQUIRY OF THE TRUSTEE.

<PAGE>

                           CLASS A-[_____] CERTIFICATE

<TABLE>
<S>                                      <C>
Number: 07-3-A-[_____]-[_____]           Original Denomination: [_____]

Cut-off Date: May 1, 2007                Last Scheduled
                                         Distribution Date: June 25, 2037

First Distribution Date: June 25, 2007   Aggregate Initial Certificate
                                         Balance of all Class A-[_____]
                                         Certificates: [_____]

Pass-Through Rate: Variable(1)           CUSIP: [_____]
</TABLE>

----------
(1)  Subject to a cap as described in the Agreement.

<PAGE>

         MERRILL LYNCH FIRST FRANKLIN MORTGAGE LOAN TRUST, SERIES 2007-3
                     MORTGAGE LOAN ASSET-BACKED CERTIFICATES

evidencing an ownership interest in distributions allocable to the Class
A-[_____] Certificates with respect to a pool of conventional, sub-prime
mortgage loans formed and sold by

                     MERRILL LYNCH MORTGAGE INVESTORS, INC.

     Unless this Certificate is presented by an authorized representative of The
Depository Trust Company, a New York corporation ("DTC"), to the Trustee 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.

     This certifies that CEDE & CO. is the registered owner of the ownership
interest (the "Ownership Interest") evidenced by this Certificate (obtained by
dividing the Original Denomination of this Certificate by the aggregate Initial
Certificate Balance of all Class [_____] Certificates) in certain distributions
with respect to a pool of conventional, sub-prime mortgage loans (the "Mortgage
Loans") formed and sold by Merrill Lynch Mortgage Investors, Inc. (hereinafter
called the "Depositor"), and certain other property held in trust for the
benefit of Certificateholders (collectively, the "Trust Fund"). The Mortgage
Loans are serviced by Home Loan Services, Inc. (the "Servicer") and are secured
by first-lien mortgages on the Mortgaged Properties. The Trust Fund was created
pursuant to a pooling and servicing agreement (the "Agreement"), dated as of May
1, 2007, among the Depositor, the Servicer and LaSalle Bank National Association
("LB"), as trustee (the "Trustee"), a summary of certain of the pertinent
provisions of which is set forth hereafter. To the extent not defined herein,
the capitalized terms used herein have the meanings assigned in the Agreement.

     This Certificate is one of a duly authorized issue of Certificates,
designated as Merrill Lynch First Franklin Mortgage Loan Trust, Series 2007-3
Mortgage Loan Asset-Backed Certificates, Class A-[_____] (the "Class A-[_____]
Certificates") and is issued under and is subject to the terms, provisions and
conditions of the Agreement, to which Agreement the Holder of this Certificate
by virtue of the acceptance hereof assents and by which Agreement such Holder is
bound.

     The Class A Certificates, the Class M Certificates, the Class B
Certificates, the Class P Certificates and the Class C Certificates are
collectively referred to herein as the "Certificates."

     Pursuant to the terms of the Agreement, the Trustee will distribute from
funds in the Certificate Account the amounts described in the Agreement on the
25th day of each month or, if such 25th day is not a Business Day, the Business
Day immediately following (the "Distribution Date"), commencing in June 2007.
Such distributions will be made to the Person in whose name this Certificate is
registered on the Recorded Date (as such term is defined in the Agreement).

     Distributions on this Certificate will be made either by wire transfer in
immediately available funds to the account of such certificateholder at a bank
or other depository institution having appropriate wire transfer facilities or,
in the case of any certificateholder that has so notified the Trustee in writing
in accordance with the Agreement, by check mailed to the address of the person
entitled to distributions as it appears on the Certificate Register; provided,
however, that the final distribution in retirement of the certificates will be
made only upon presentation and surrender of this Certificate at the office of
the

<PAGE>

Trustee or such other address designated in writing by the Trustee. On each
Distribution Date, a holder of this Certificate will receive such holder's
Percentage Interest of the amounts required to be distributed with respect to
the applicable Class of Certificates.

     The Trustee will maintain or cause to be maintained a Certificate Register
in which, subject to such reasonable regulations as it may prescribe, the
Trustee will provide for the registration of Certificates and of transfers and
exchanges of Certificates. Upon surrender for registration of transfer of any
Certificate at any office or agency of the Trustee, or, if an Authenticating
Agent has been appointed under the Agreement, the Authenticating Agent,
maintained for such purpose, the Trustee, will, subject to the limitations set
forth in the Agreement, authenticate and deliver, in the name of the designated
transferee or transferees, a Certificate of a like class and dated the date of
authentication by the Authenticating Agent. Notwithstanding the above, the final
distribution on this Certificate will be made after due notice by the Trustee,
of the pendency of such distribution and only upon presentation and surrender of
this Certificate at the office or agency appointed by the Trustee, for that
purpose and specified in such notice of final distribution.

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

     Unless the certificate of authentication has been executed by the
Authenticating Agent, by manual signature, this Certificate shall not be
entitled to any benefit under the Agreement or be valid for any purpose.

<PAGE>

     IN WITNESS WHEREOF, the Trustee has caused this Certificate to be duly
executed.

Dated: May 30, 2007                     LASALLE BANK NATIONAL ASSOCIATION,
                                        as Trustee

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

CERTIFICATE OF AUTHENTICATION

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

LASALLE BANK NATIONAL ASSOCIATION,
as Authenticating Agent

By:
    ---------------------------------
    Authorized Signatory

<PAGE>

                             REVERSE OF CERTIFICATE

         MERRILL LYNCH FIRST FRANKLIN MORTGAGE LOAN TRUST, SERIES 2007-3
                     MORTGAGE LOAN ASSET-BACKED CERTIFICATES

     This Certificate is one of a duly authorized issue of Certificates,
designated as Merrill Lynch First Franklin Mortgage Loan Trust, Series 2007-3
Mortgage Loan Asset-Backed Certificates, issued in one or more Classes of Class
A Certificates, Class M Certificates, Class B Certificates, Class P Certificates
and Class C Certificates, each evidencing an interest in certain distributions
with respect to a pool of conventional, sub-prime Mortgage Loans formed and sold
by the Depositor and certain other property conveyed by the Depositor to the
Trustee.

     Following the initial issuance of the Certificates, the principal balance
of this Certificate will be different from the Original Denomination shown
above. Anyone acquiring this Certificate may ascertain its current principal
balance by inquiry of the Trustee.

     The Holder, by its acceptance of this Certificate, agrees that it will look
solely to the Trust Fund and certain amounts resulting from credit enhancements
for payment hereunder and that the Trustee is not liable to the Holders for any
amount payable under this Certificate or the Agreement or, except as expressly
provided in the Agreement, subject to any liability under the Agreement.

     This Certificate does not purport to summarize the Agreement and reference
is made to the Agreement for the interests, rights and limitations of rights,
benefits, obligations and duties evidenced hereby, and the rights, duties and
immunities of the Trustee.

     No service charge will be made to the Holder for any transfer or exchange
of the Certificate, but the 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 the Certificate. Prior to due presentation of a
Certificate for registration of transfer, the Depositor and the Trustee may
treat the person in whose name any Certificate is registered as the owner of
such Certificate and the Percentage Interest in the Trust Fund evidenced thereby
for the purpose of receiving distributions pursuant to the Agreement and for all
other purposes whatsoever, and neither the Depositor nor the Trustee will be
affected by notice to the contrary.

     The Agreement may be amended from time to time by the Depositor, the
Servicer and the Trustee, without the consent of any of the Certificateholders,
to cure any ambiguity, to correct or supplement any provisions therein which may
be inconsistent with the other provisions therein, to ensure continuing
treatment of each REMIC included in the Trust Fund as a REMIC, or to make any
other provisions with respect to matters or questions arising under the
Agreement which are not materially inconsistent with the provisions of the
Agreement, provided that such action does not, as evidenced by an Opinion of
Counsel, adversely affect in any material respect the interests of any
Certificateholder.

     The Agreement may also be amended from time to time by the Depositor, the
Servicer and the Trustee, with the consent of the Holders of Certificates
evidencing in the aggregate not less than 66 2/3% of the Percentage Interests of
each Class of Certificates affected thereby, for the purpose of adding any
provisions to or changing in any manner or eliminating any of the provisions of
the Agreement or of modifying in any manner the rights of the Holders of
Certificates of such Class; provided, however, that no such amendment may (i)
reduce in any manner the amount of, or delay the timing of, payments received on
Mortgage Loans which are required to be distributed on any Certificate without
the consent of the Holder of such Certificate, (ii) adversely affect in any
material respect the interests of the Holders of any Class of Certificates in a
manner other than as described in clause (i), without the consent of the

<PAGE>

Holders of Certificates of such Class evidencing 66 2/3% or more of the Voting
Rights of such Class or (iii) change the percentage specified in clause (ii) of
the third paragraph of Section 10.01 of the Agreement, without the consent of
the Holders of all Certificates of such Class then outstanding.

     The Class A (other than the Class R Certificates), Class M, and Class B
Certificates are issuable only in registerable form, in minimum denominations of
$25,000 in initial Certificate Principal Amount and in integral multiples of $1
in excess thereof, registered in the name of the nominee of the Clearing Agency,
which shall maintain such Certificates through its book-entry facilities. The
Class R Certificates are issuable in minimum denominations of $100 and shall be
maintained in physical, fully registered form. The Class P Certificates are
issuable in minimum denominations of 100% and shall be maintained in physical,
fully registered form. The Class C Certificates are issuable in minimum
denominations of 25% and shall be maintained in physical, fully registered form.

     For federal income tax purposes, the Trust Fund will include multiple "real
estate mortgage investment conduits" (each, a "REMIC"). The REMIC Regular
Interests will represent "regular interests" in one of the REMICs included in
the Trust Fund. The Class R Certificate will represent the sole class of
"residual interest" in each of the REMICs.

     The obligations and responsibilities of the Depositor, the Servicer and the
Trustee under the Agreement shall terminate upon the earlier of (a) the exercise
by the Trustee of an Optional Termination; and (b) the later of (i) the maturity
or other liquidation (or any Advance with respect thereto) of the last Mortgage
Loan remaining in the Trust Fund and the disposition of all REO Property and
(ii) the distribution to Certificateholders of all amounts required to be
distributed to them pursuant to this Agreement, as applicable. In no event shall
the trusts created under the Agreement continue beyond the earlier of (i) the
expiration of 21 years from the death of the last survivor of the descendants of
Joseph P. Kennedy, the late Ambassador of the United States to the Court of St.
James's, living on the date hereof and (ii) the Latest Possible Maturity Date.

<PAGE>

                              [FORM OF ASSIGNMENT]
  FOR VALUE RECEIVED, the undersigned hereby sells, assigns and transfers unto

(PLEASE INSERT SOCIAL SECURITY* OR TAXPAYER IDENTIFICATION NUMBER OF ASSIGNEE)

________________________________________________________________________________

(Please Print or Type Name and Address of Assignee)

________________________________________________________________________________

the within Certificate, and all rights thereunder, and hereby does irrevocably
constitute and appoint

____________________________________ Attorney to transfer the within Certificate
on the books kept for the registration thereof, with full power of substitution
in the premises.

Dated:
       ------------------------------   ----------------------------------------
(Signature guaranty)                    NOTICE: The signature to this assignment
                                        must correspond with the name as it
                                        appears upon the face of the within
                                        Certificate in every particular, without
                                        alteration or enlargement or any change
                                        whatever.

(* This information, which is voluntary, is being requested to ensure that the
assignee will not be subject to backup withholding under Section 3406 of the
Code.)

<PAGE>

                          FORM OF CLASS M CERTIFICATES

SOLELY FOR FEDERAL INCOME TAX PURPOSES, THIS CERTIFICATE REPRESENTS (I) A
"REGULAR INTEREST" IN A "REAL ESTATE MORTGAGE INVESTMENT CONDUIT", AS THOSE
TERMS ARE DEFINED, RESPECTIVELY, IN SECTIONS 860G AND 860D OF THE INTERNAL
REVENUE CODE OF 1986, AS AMENDED AND (II) AN INTEREST IN NOTIONAL PRINCIPAL
CONTRACTS.

THIS CERTIFICATE DOES NOT REPRESENT AN OBLIGATION OF OR INTEREST IN THE
DEPOSITOR, THE TRUSTEE OR THE SERVICER REFERRED TO BELOW OR ANY OF THEIR
AFFILIATES. NEITHER THIS CERTIFICATE, THE REMIC REGULAR INTEREST REPRESENTED
HEREBY NOR THE UNDERLYING MORTGAGE LOANS ARE GUARANTEED OR INSURED BY THE
DEPOSITOR, THE TRUSTEE, THE SERVICER OR BY ANY OF THEIR AFFILIATES OR BY ANY
GOVERNMENTAL AGENCY OR INSTRUMENTALITY.

UNTIL THE TERMINATION OF THE SWAP AGREEMENT, EACH TRANSFEREE OF THIS CERTIFICATE
SHALL BE DEEMED TO REPRESENT (OR IN THE CASE OF A DEFINITIVE CERTIFICATE, SHALL
REPRESENT) TO THE TRUSTEE THAT (A) SUCH TRANSFEREE IS NOT, AND IS NOT ACTING
FOR, ON BEHALF OF OR WITH ANY ASSETS OF, ANY EMPLOYEE BENEFIT PLAN OR OTHER
ARRANGEMENT SUBJECT TO TITLE I OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF
1974, AS AMENDED ("ERISA"), OR ANY PLAN SUBJECT TO SECTION 4975 OF THE INTERNAL
REVENUE CODE OF 1986, AS AMENDED (THE "CODE"), OR (B) THE TRANSFEREE'S
ACQUISITION AND HOLDING OF THIS CERTIFICATE WILL NOT CONSTITUTE OR RESULT IN A
NON-EXEMPT PROHIBITED TRANSACTION UNDER TITLE I OF ERISA OR SECTION 4975 OF THE
CODE.

FOLLOWING THE INITIAL ISSUANCE OF THE CERTIFICATES, THE PRINCIPAL BALANCE OF
THIS CERTIFICATE MAY BE DIFFERENT FROM THE ORIGINAL DENOMINATION SHOWN BELOW.
ANYONE ACQUIRING THIS CERTIFICATE MAY ASCERTAIN ITS CURRENT PRINCIPAL BALANCE BY
INQUIRY OF THE TRUSTEE.

                           CLASS M-[_____] CERTIFICATE

<TABLE>
<S>                                      <C>
Number: 07-3-M-[_____]                   Original Denomination: $[_____]

Cut-off Date: May 1, 2007                Last Scheduled
                                         Distribution Date: June 25, 2037

First Distribution Date: June 25, 2007   Aggregate Initial Certificate
                                         Balance of all Class M-[_____]
                                         Certificates: $[_____]

Pass-Through Rate: Variable(2)           CUSIP: [_____]
</TABLE>

----------
(2)  Subject to a cap as described in the Agreement.

<PAGE>

         MERRILL LYNCH FIRST FRANKLIN MORTGAGE LOAN TRUST, SERIES 2007-3
                     MORTGAGE LOAN ASSET-BACKED CERTIFICATES

evidencing an ownership interest in distributions allocable to the Class
M-[_____] Certificates with respect to a pool of conventional, sub-prime
mortgage loans formed and sold by

                     MERRILL LYNCH MORTGAGE INVESTORS, INC.

     Unless this Certificate is presented by an authorized representative of The
Depository Trust Company, a New York corporation ("DTC"), to the Trustee 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.

     This certifies that CEDE & CO. is the registered owner of the ownership
interest (the "Ownership Interest") evidenced by this Certificate (obtained by
dividing the Original Denomination of this Certificate by the aggregate Initial
Certificate Balance of all Class M-[_____] Certificates) in certain
distributions with respect to a pool of conventional, sub-prime mortgage loans
(the "Mortgage Loans") formed and sold by Merrill Lynch Mortgage Investors, Inc.
(hereinafter called the "Depositor"), and certain other property held in trust
for the benefit of Certificateholders (collectively, the "Trust Fund"). The
Mortgage Loans are serviced by Home Loan Services, Inc. (the "Servicer") and are
secured by first-lien mortgages on the Mortgaged Properties. The Trust Fund was
created pursuant to a pooling and servicing agreement (the "Agreement"), dated
as of May 1, 2007, among the Depositor, the Servicer and LaSalle Bank National
Association ("LB"), as trustee (the "Trustee"), a summary of certain of the
pertinent provisions of which is set forth hereafter. To the extent not defined
herein, the capitalized terms used herein have the meanings assigned in the
Agreement.

     This Certificate is one of a duly authorized issue of Certificates,
designated as Merrill Lynch First Franklin Mortgage Loan Trust, Series 2007-3
Mortgage Loan Asset-Backed Certificates, Class M-[_____] (the "Class M-[_____]
Certificates") and is issued under and is subject to the terms, provisions and
conditions of the Agreement, to which Agreement the Holder of this Certificate
by virtue of the acceptance hereof assents and by which Agreement such Holder is
bound.

     The Class A Certificates, the Class M Certificates, the Class B
Certificates, the Class P Certificates and the Class C Certificates are
collectively referred to herein as the "Certificates."

     Pursuant to the terms of the Agreement, the Trustee will distribute from
funds in the Certificate Account the amounts described in the Agreement on the
25th day of each month or, if such 25th day is not a Business Day, the Business
Day immediately following (the "Distribution Date"), commencing in June 2007.
Such distributions will be made to the Person in whose name this Certificate is
registered on the Record Date (as such term is defined in the Agreement).

     Distributions on this Certificate will be made either by wire transfer in
immediately available funds to the account of such certificateholder at a bank
or other depository institution having appropriate wire transfer facilities or,
in the case of any certificateholder that has so notified the Trustee in writing
in accordance with the Agreement, by check mailed to the address of the person
entitled to distributions as it appears on the Certificate Register; provided,
however, that the final distribution in retirement of the certificates will be
made only upon presentation and surrender of this Certificate at the office of
the

<PAGE>

Trustee or such other address designated in writing by the Trustee. On each
Distribution Date, a holder of this Certificate will receive such holder's
Percentage Interest of the amounts required to be distributed with respect to
the applicable Class of Certificates.

     The Trustee will maintain or cause to be maintained a Certificate Register
in which, subject to such reasonable regulations as it may prescribe, the
Trustee will provide for the registration of Certificates and of transfers and
exchanges of Certificates. Upon surrender for registration of transfer of any
Certificate at any office or agency of the Trustee, or, if an Authenticating
Agent has been appointed under the Agreement, the Authenticating Agent,
maintained for such purpose, the Trustee, will, subject to the limitations set
forth in the Agreement, authenticate and deliver, in the name of the designated
transferee or transferees, a Certificate of a like class and dated the date of
authentication by the Authenticating Agent. Notwithstanding the above, the final
distribution on this Certificate will be made after due notice by the Trustee,
of the pendency of such distribution and only upon presentation and surrender of
this Certificate at the office or agency appointed by the Trustee, for that
purpose and specified in such notice of final distribution.

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

     Unless the certificate of authentication has been executed by the
Authenticating Agent, by manual signature, this Certificate shall not be
entitled to any benefit under the Agreement or be valid for any purpose.

<PAGE>

     IN WITNESS WHEREOF, the Trustee has caused this Certificate to be duly
executed.

Dated: May 30, 2007                     LASALLE BANK NATIONAL ASSOCIATION,
                                        as Trustee

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

CERTIFICATE OF AUTHENTICATION

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

LASALLE BANK NATIONAL ASSOCIATION,
as Authenticating Agent

By:
    ---------------------------------
    Authorized Signatory

<PAGE>

                             REVERSE OF CERTIFICATE

         MERRILL LYNCH FIRST FRANKLIN MORTGAGE LOAN TRUST, SERIES 2007-3
                     MORTGAGE LOAN ASSET-BACKED CERTIFICATES

     This Certificate is one of a duly authorized issue of Certificates,
designated as Merrill Lynch First Franklin Mortgage Loan Trust, Series 2007-3
Mortgage Loan Asset-Backed Certificates, issued in one or more Classes of Class
A Certificates, Class M Certificates, Class B Certificates, Class P Certificates
and Class C Certificates, each evidencing an interest in certain distributions
with respect to a pool of conventional, sub-prime Mortgage Loans formed and sold
by the Depositor and certain other property conveyed by the Depositor to the
Trustee.

     Following the initial issuance of the Certificates, the principal balance
of this Certificate will be different from the Original Denomination shown
above. Anyone acquiring this Certificate may ascertain its current principal
balance by inquiry of the Trustee.

     The Holder, by its acceptance of this Certificate, agrees that it will look
solely to the Trust Fund and certain amounts resulting from credit enhancements
for payment hereunder and that the Trustee is not liable to the Holders for any
amount payable under this Certificate or the Agreement or, except as expressly
provided in the Agreement, subject to any liability under the Agreement.

     This Certificate does not purport to summarize the Agreement and reference
is made to the Agreement for the interests, rights and limitations of rights,
benefits, obligations and duties evidenced hereby, and the rights, duties and
immunities of the Trustee.

     No service charge will be made to the Holder for any transfer or exchange
of the Certificate, but the 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 the Certificate. Prior to due presentation of a
Certificate for registration of transfer, the Depositor and the Trustee may
treat the person in whose name any Certificate is registered as the owner of
such Certificate and the Percentage Interest in the Trust Fund evidenced thereby
for the purpose of receiving distributions pursuant to the Agreement and for all
other purposes whatsoever, and neither the Depositor nor the Trustee will be
affected by notice to the contrary.

     The Agreement may be amended from time to time by the Depositor, the
Servicer and the Trustee, without the consent of any of the Certificateholders,
to cure any ambiguity, to correct or supplement any provisions therein which may
be inconsistent with the other provisions therein, to ensure continuing
treatment of each REMIC included in the Trust Fund as a REMIC, or to make any
other provisions with respect to matters or questions arising under the
Agreement which are not materially inconsistent with the provisions of the
Agreement, provided that such action does not, as evidenced by an Opinion of
Counsel, adversely affect in any material respect the interests of any
Certificateholder.

     The Agreement may also be amended from time to time by the Depositor, the
Servicer and the Trustee, with the consent of the Holders of Certificates
evidencing in the aggregate not less than 66 2/3% of the Percentage Interests of
each Class of Certificates affected thereby, for the purpose of adding any
provisions to or changing in any manner or eliminating any of the provisions of
the Agreement or of modifying in any manner the rights of the Holders of
Certificates of such Class; provided, however, that no such amendment may (i)
reduce in any manner the amount of, or delay the timing of, payments received on
Mortgage Loans which are required to be distributed on any Certificate without
the consent of the Holder of such Certificate, (ii) adversely affect in any
material respect the interests of the Holders of any Class of Certificates in a
manner other than as described in clause (i), without the consent of the

<PAGE>

Holders of Certificates of such Class evidencing 66 2/3% or more of the Voting
Rights of such Class or (iii) change the percentage specified in clause (ii) of
the third paragraph of Section 10.01 of the Agreement, without the consent of
the Holders of all Certificates of such Class then outstanding.

     The Class A (other than the Class R Certificates), Class M, and Class B
Certificates are issuable only in registerable form, in minimum denominations of
$25,000 in initial Certificate Principal Amount and in integral multiples of $1
in excess thereof, registered in the name of the nominee of the Clearing Agency,
which shall maintain such Certificates through its book-entry facilities. The
Class R Certificates are issuable in minimum denominations of $100 and shall be
maintained in physical, fully registered form. The Class P Certificates are
issuable in minimum denominations of 100% and shall be maintained in physical,
fully registered form. The Class C Certificates are issuable in minimum
denominations of 25% and shall be maintained in physical, fully registered form.

     For federal income tax purposes, the Trust Fund will include multiple "real
estate mortgage investment conduits" (each, a "REMIC"). The REMIC Regular
Interests will represent "regular interests" in one of the REMICs included in
the Trust Fund. The Class R Certificate will represent the sole class of
"residual interest" in each of the REMICs.

     The obligations and responsibilities of the Depositor, the Servicer and the
Trustee under the Agreement shall terminate upon the earlier of (a) the exercise
by the Trustee of an Optional Termination; and (b) the later of (i) the maturity
or other liquidation (or any Advance with respect thereto) of the last Mortgage
Loan remaining in the Trust Fund and the disposition of all REO Property and
(ii) the distribution to Certificateholders of all amounts required to be
distributed to them pursuant to this Agreement, as applicable. In no event shall
the trusts created under the Agreement continue beyond the earlier of (i) the
expiration of 21 years from the death of the last survivor of the descendants of
Joseph P. Kennedy, the late Ambassador of the United States to the Court of St.
James's, living on the date hereof and (ii) the Latest Possible Maturity Date.

<PAGE>

                              [FORM OF ASSIGNMENT]
  FOR VALUE RECEIVED, the undersigned hereby sells, assigns and transfers unto

(PLEASE INSERT SOCIAL SECURITY* OR TAXPAYER IDENTIFICATION NUMBER OF ASSIGNEE)

________________________________________________________________________________

(Please Print or Type Name and Address of Assignee)

________________________________________________________________________________

the within Certificate, and all rights thereunder, and hereby does irrevocably
constitute and appoint

____________________________________ Attorney to transfer the within Certificate
on the books kept for the registration thereof, with full power of substitution
in the premises.

Dated:
       ------------------------------   ----------------------------------------
(Signature guaranty)                    NOTICE: The signature to this assignment
                                        must correspond with the name as it
                                        appears upon the face of the within
                                        Certificate in every particular, without
                                        alteration or enlargement or any change
                                        whatever.

(* This information, which is voluntary, is being requested to ensure that the
assignee will not be subject to backup withholding under Section 3406 of the
Code.)

<PAGE>

                          FORM OF CLASS B CERTIFICATES

SOLELY FOR FEDERAL INCOME TAX PURPOSES, THIS CERTIFICATE REPRESENTS (I) A
"REGULAR INTEREST" IN A "REAL ESTATE MORTGAGE INVESTMENT CONDUIT", AS THOSE
TERMS ARE DEFINED, RESPECTIVELY, IN SECTIONS 860G AND 860D OF THE INTERNAL
REVENUE CODE OF 1986, AS AMENDED AND (II) AN INTEREST IN NOTIONAL PRINCIPAL
CONTRACTS.

THIS CERTIFICATE DOES NOT REPRESENT AN OBLIGATION OF OR INTEREST IN MERRILL
LYNCH MORTGAGE INVESTORS, INC. ("MLMI"), THE TRUSTEE, OR ANY SERVICER REFERRED
TO BELOW OR ANY OF THEIR AFFILIATES. NEITHER THIS CERTIFICATE, THE REMIC REGULAR
INTEREST REPRESENTED HEREBY NOR THE UNDERLYING MORTGAGE LOANS ARE GUARANTEED OR
INSURED BY THE DEPOSITOR, THE TRUSTEE, ANY SERVICER OR BY ANY OF THEIR
AFFILIATES OR BY ANY GOVERNMENTAL AGENCY OR INSTRUMENTALITY.

     UNTIL THE TERMINATION OF THE SWAP AGREEMENT, EACH TRANSFEREE OF THIS
CERTIFICATE SHALL BE DEEMED TO REPRESENT (OR IN THE CASE OF A DEFINITIVE
CERTIFICATE, SHALL REPRESENT) TO THE TRUSTEE THAT (A) SUCH TRANSFEREE IS NOT,
AND IS NOT ACTING FOR, ON BEHALF OF OR WITH ANY ASSETS OF, ANY EMPLOYEE BENEFIT
PLAN OR OTHER ARRANGEMENT SUBJECT TO TITLE I OF THE EMPLOYEE RETIREMENT INCOME
SECURITY ACT OF 1974, AS AMENDED ("ERISA"), OR ANY PLAN SUBJECT TO SECTION 4975
OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE "CODE"), OR (B) THE
TRANSFEREE'S ACQUISITION AND HOLDING OF THIS CERTIFICATE WILL NOT CONSTITUTE OR
RESULT IN A NON-EXEMPT PROHIBITED TRANSACTION UNDER TITLE I OF ERISA OR SECTION
4975 OF THE CODE..

FOLLOWING THE INITIAL ISSUANCE OF THE CERTIFICATES, THE PRINCIPAL BALANCE OF
THIS CERTIFICATE MAY BE DIFFERENT FROM THE ORIGINAL DENOMINATION SHOWN BELOW.
ANYONE ACQUIRING THIS CERTIFICATE MAY ASCERTAIN ITS CURRENT PRINCIPAL BALANCE BY
INQUIRY OF THE TRUSTEE.

                           CLASS B-[_____] CERTIFICATE

<TABLE>
<S>                                      <C>
Number: 07-3-B-[_____]                   Original Denomination: $[_____]

Cut-off Date: May 1, 2007                Last Scheduled
                                         Distribution Date: June 25, 2037

First Distribution Date: June 25, 2007   Aggregate Initial Certificate
                                         Balance of all Class B-[_____]
                                         Certificates: $[_____]

Pass-Through Rate: Variable(3)           CUSIP: [_____]
</TABLE>

----------
(3)  Subject to a cap as described in the Agreement.

<PAGE>

         MERRILL LYNCH FIRST FRANKLIN MORTGAGE LOAN TRUST, SERIES 2007-3
                     MORTGAGE LOAN ASSET-BACKED CERTIFICATES

evidencing an ownership interest in distributions allocable to the Class
B-[_____] Certificates with respect to a pool of conventional, sub-prime
mortgage loans formed and sold by

                     MERRILL LYNCH MORTGAGE INVESTORS, INC.

     Unless this Certificate is presented by an authorized representative of the
Depository Trust Company, a New York corporation ("DTC"), to the Trustee 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.

     This certifies that CEDE & CO. is the registered owner of the ownership
interest (the "Ownership Interest") evidenced by this Certificate (obtained by
dividing the Original Denomination of this Certificate by the aggregate Initial
Certificate Balance of all Class B-[_____] Certificates) in certain
distributions with respect to a pool of conventional, sub-prime mortgage loans
(the "Mortgage Loans") formed and sold by Merrill Lynch Mortgage Investors, Inc.
(hereinafter called the "Depositor"), and certain other property held in trust
for the benefit of Certificateholders (collectively, the "Trust Fund"). The
Mortgage Loans are serviced by Home Loan Services, Inc. (the "Servicer") and are
secured by first-lien mortgages on Mortgaged Properties. The Trust Fund was
created pursuant to a pooling and servicing agreement (the "Agreement"), dated
as of May 1, 2007, between the Depositor, the Servicer and LaSalle Bank National
Association, as trustee (the "Trustee"), a summary of certain of the pertinent
provisions of which is set forth hereafter. To the extent not defined herein,
the capitalized terms used herein have the meanings assigned in the Agreement.

     This Certificate is one of a duly authorized issue of Certificates,
designated as Merrill Lynch First Franklin Mortgage Loan Trust, Series 2007-3
Mortgage Loan Asset-Backed Certificates, Class B-[_____] (the "Class B-[_____]
Certificates") and is issued under and is subject to the terms, provisions and
conditions of the Agreement, to which Agreement the Holder of this Certificate
by virtue of the acceptance hereof assents and by which Agreement such Holder is
bound.

     The Class A Certificates, the Class M Certificates, the Class B
Certificates, the Class P Certificates and the Class C Certificates are
collectively referred to herein as the "Certificates."

     Pursuant to the terms of the Agreement, the Trustee will distribute from
funds in the Certificate Account the amounts described in the Agreement on the
25th day of each month or, if such 25th day is not a Business Day, the Business
Day immediately following (the "Distribution Date"), commencing in June 2007.
Such distributions will be made to the Person in whose name this Certificate is
registered on the Record Date (as such term is defined in the Agreement).

<PAGE>

     Distributions on this Certificate will be made either by wire transfer in
immediately available funds to the account of such certificateholder at a bank
or other depository institution having appropriate wire transfer facilities or,
in the case of any certificateholder that has so notified the Trustee in writing
in accordance with the Agreement, by check mailed to the address of the person
entitled to distributions as it appears on the Certificate Register; provided,
however, that the final distribution in retirement of the certificates will be
made only upon presentation and surrender of this Certificate at the office of
the Trustee or such other address designated in writing by the Trustee. On each
Distribution Date, a holder of this Certificate will receive such holder's
Percentage Interest of the amounts required to be distributed with respect to
the applicable Class of Certificates.

     The Trustee will maintain or cause to be maintained a Certificate Register
in which, subject to such reasonable regulations as it may prescribe, the
Trustee will provide for the registration of Certificates and of transfers and
exchanges of Certificates. Upon surrender for registration of transfer of any
Certificate at any office or agency of the Trustee, or, if an Authenticating
Agent has been appointed under the Agreement, the Authenticating Agent,
maintained for such purpose, the Trustee, will, subject to the limitations set
forth in the Agreement, authenticate and deliver, in the name of the designated
transferee or transferees, a Certificate of a like class and dated the date of
authentication by the Authenticating Agent. Notwithstanding the above, the final
distribution on this Certificate will be made after due notice by the Trustee,
of the pendency of such distribution and only upon presentation and surrender of
this Certificate at the office or agency appointed by the Trustee, for that
purpose and specified in such notice of final distribution.

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

     Unless the certificate of authentication has been executed by the
Authenticating Agent, by manual signature, this Certificate shall not be
entitled to any benefit under the Agreement or be valid for any purpose.

<PAGE>

     IN WITNESS WHEREOF, the Trustee has caused this Certificate to be duly
executed.

Dated: May 30, 2007                     LASALLE BANK NATIONAL ASSOCIATION,
                                        as Trustee

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

CERTIFICATE OF AUTHENTICATION

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

LASALLE BANK NATIONAL ASSOCIATION,
as Authenticating Agent

By:
    ---------------------------------
    Authorized Signatory

<PAGE>

                             REVERSE OF CERTIFICATE

         MERRILL LYNCH FIRST FRANKLIN MORTGAGE LOAN TRUST, SERIES 2007-3
                     MORTGAGE LOAN ASSET-BACKED CERTIFICATES

     This Certificate is one of a duly authorized issue of Certificates,
designated as Merrill Lynch First Franklin Mortgage Loan Trust, Series 2007-3
Mortgage Loan Asset-Backed Certificates, issued in one or more Classes of Class
A Certificates, Class M Certificates, Class B Certificates, Class P Certificates
and Class C Certificates, each evidencing an interest in certain distributions
with respect to a pool of conventional, sub-prime Mortgage Loans formed and sold
by the Depositor and certain other property conveyed by the Depositor to the
Trustee.

     Following the initial issuance of the Certificates, the principal balance
of this Certificate will be different from the Original Denomination shown
above. Anyone acquiring this Certificate may ascertain its current principal
balance by inquiry of the Trustee.

     The Holder, by its acceptance of this Certificate, agrees that it will look
solely to the Trust Fund and certain amounts resulting from credit enhancements
for payment hereunder and that the Trustee is not liable to the Holders for any
amount payable under this Certificate or the Agreement or, except as expressly
provided in the Agreement, subject to any liability under the Agreement.

     This Certificate does not purport to summarize the Agreement and reference
is made to the Agreement for the interests, rights and limitations of rights,
benefits, obligations and duties evidenced hereby, and the rights, duties and
immunities of the Trustee.

     No service charge will be made to the Holder for any transfer or exchange
of the Certificate, but the 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 the Certificate. Prior to due presentation of a
Certificate for registration of transfer, the Depositor and the Trustee may
treat the person in whose name any Certificate is registered as the owner of
such Certificate and the Percentage Interest in the Trust Fund evidenced thereby
for the purpose of receiving distributions pursuant to the Agreement and for all
other purposes whatsoever, and neither the Depositor nor the Trustee will be
affected by notice to the contrary.

     The Agreement may be amended from time to time by the Depositor, the
Servicer and the Trustee, without the consent of any of the Certificateholders,
to cure any ambiguity, to correct or supplement any provisions therein which may
be inconsistent with the other provisions therein, to ensure continuing
treatment of each REMIC included in the Trust Fund as a REMIC, or to make any
other provisions with respect to matters or questions arising under the
Agreement which are not materially inconsistent with the provisions of the
Agreement, provided that such action does not, as evidenced by an Opinion of
Counsel, adversely affect in any material respect the interests of any
Certificateholder.

     The Agreement may also be amended from time to time by the Depositor, the
Servicer and the Trustee with the consent of the Holders of Certificates
evidencing in the aggregate not less than 66 2/3% of the Percentage Interests of
each Class of Certificates affected thereby for the purpose of adding any
provisions to or changing in any manner or eliminating any of the

<PAGE>

provisions of the Agreement or of modifying in any manner the rights of the
Holders of Certificates of such Class; provided, however, that no such amendment
may (i) reduce in any manner the amount of, or delay the timing of, payments
received on Mortgage Loans which are required to be distributed on any
Certificate without the consent of the Holder of such Certificate, (ii)
adversely affect in any material respect the interests of the Holders of any
Class of Certificates in a manner other than as described in clause (i), without
the consent of the Holders of Certificates of such Class evidencing 66 2/3% or
more of the Voting Rights of such Class or (iii) change the percentage specified
in clause (ii) of the third paragraph of Section 10.01 of the Agreement, without
the consent of the Holders of all Certificates of such Class then outstanding.

     The Class A (other than the Class R Certificates), Class M, and Class B
Certificates are issuable only in registerable form, in minimum denominations of
$25,000 in initial Certificate Principal Amount and in integral multiples of $1
in excess thereof, registered in the name of the nominee of the Clearing Agency,
which shall maintain such Certificates through its book-entry facilities. The
Class R Certificates are issuable in minimum denominations of $100 and shall be
maintained in physical, fully registered form. The Class P Certificates are
issuable in minimum denominations of 100% and shall be maintained in physical,
fully registered form. The Class C Certificates are issuable in minimum
denominations of 25% and shall be maintained in physical, fully registered form.

     For federal income tax purposes, the Trust Fund will include multiple "real
estate mortgage investment conduits" (each, a "REMIC") in a tiered REMIC
structure. The REMIC Regular Interests will represent "regular interests" in one
of the REMICs included in the Trust Fund. The Class R Certificate will represent
the sole class of "residual interest" in each of the REMICs.

     The obligations and responsibilities of the Depositor, the Servicer and the
Trustee under the Agreement shall terminate upon the earlier of (a) the exercise
by the Trustee of an Optional Termination; and (b) the later of (i) the maturity
or other liquidation (or any Advance with respect thereto) of the last Mortgage
Loan remaining in the Trust Fund and the disposition of all REO Property and
(ii) the distribution to Certificateholders of all amounts required to be
distributed to them pursuant to this Agreement, as applicable. In no event shall
the trusts created under the Agreement's continue beyond the earlier of (i) the
expiration of 21 years from the death of the last survivor of the descendants of
Joseph P. Kennedy, the late Ambassador of the United States to the Court of St.
James's, living on the date hereof and (ii) the Latest Possible Maturity Date.

<PAGE>

                              [FORM OF ASSIGNMENT]

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

(PLEASE INSERT SOCIAL SECURITY* OR TAXPAYER IDENTIFICATION NUMBER OF ASSIGNEE)

________________________________________________________________________________

(Please Print or Type Name and Address of Assignee)

________________________________________________________________________________

the within Certificate, and all rights thereunder, and hereby does irrevocably
constitute and appoint

____________________________________ Attorney to transfer the within Certificate
on the books kept for the registration thereof, with full power of substitution
in the premises.

Dated:
       ------------------------------   ----------------------------------------
(Signature guaranty)                    NOTICE: The signature to this assignment
                                        must correspond with the name as it
                                        appears upon the face of the within
                                        Certificate in every particular, without
                                        alteration or enlargement or any change
                                        whatever.

     (* This information, which is voluntary, is being requested to ensure that
the assignee will not be subject to backup withholding under Section 3406 of the
Code.)

<PAGE>

                           FORM OF CLASS C CERTIFICATE

SOLELY FOR FEDERAL INCOME TAX PURPOSES, THIS CERTIFICATE REPRESENTS AN INTEREST
IN A GRANTOR TRUST THAT HOLDS A "REGULAR INTEREST" IN A "REAL ESTATE MORTGAGE
INVESTMENT CONDUIT," AS THOSE TERMS ARE DEFINED, RESPECTIVELY, IN SECTIONS 860G
AND 860D OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE "CODE") AND IS
TREATED AS HAVING ENTERED INTO CERTAIN NOTIONAL PRINCIPAL CONTRACTS.

THIS CERTIFICATE DOES NOT REPRESENT AN OBLIGATION OF OR INTEREST IN THE
DEPOSITOR, THE TRUSTEE OR THE SERVICER REFERRED TO BELOW OR ANY OF THEIR
AFFILIATES. NEITHER THIS CERTIFICATE, THE REMIC REGULAR INTEREST REPRESENTED
HEREBY NOR THE UNDERLYING MORTGAGE LOANS ARE GUARANTEED OR INSURED BY THE
DEPOSITOR, THE TRUSTEE, THE SERVICER OR BY ANY OF THEIR AFFILIATES OR BY ANY
GOVERNMENTAL AGENCY OR INSTRUMENTALITY.

THIS CLASS C CERTIFICATE HAS NOT BEEN AND WILL NOT BE REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED, OR THE SECURITIES LAWS OF ANY STATE AND MAY
NOT BE RESOLD OR TRANSFERRED UNLESS IT IS SOLD OR TRANSFERRED IN TRANSACTIONS
WHICH ARE EXEMPT FROM REGISTRATION UNDER SUCH ACT OR UNDER APPLICABLE STATE LAW
AND IS TRANSFERRED IN ACCORDANCE WITH THE CERTIFICATES TRANSFER RESTRICTIONS IN
THE AGREEMENT.

NO TRANSFER OF THIS CERTIFICATE SHALL BE REGISTERED UNLESS THE PROSPECTIVE
TRANSFEREE PROVIDES THE TRUSTEE AND THE DEPOSITOR WITH (A) A REPRESENTATION THAT
SUCH TRANSFEREE IS NOT AN EMPLOYEE BENEFIT PLAN SUBJECT TO TITLE I OF THE
EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED ("ERISA"), A PLAN
SUBJECT TO SECTION 4975 OF THE CODE OR A PLAN SUBJECT TO ANY STATE, LOCAL,
FEDERAL, NON-U.S. OR OTHER LAW SUBSTANTIVELY SIMILAR TO THE FOREGOING PROVISIONS
OF ERISA OR THE CODE ("SIMILAR LAW"), AND IS NOT DIRECTLY OR INDIRECTLY
ACQUIRING THIS CERTIFICATE FOR, ON BEHALF OF, OR WITH ANY ASSETS OF ANY SUCH
PLAN, (B) IF THE CERTIFICATE HAS BEEN THE SUBJECT OF AN ERISA-QUALIFYING
UNDERWRITING, A REPRESENTATION THAT SUCH TRANSFEREE IS AN INSURANCE COMPANY THAT
IS ACQUIRING THE CERTIFICATE WITH ASSETS OF AN "INSURANCE COMPANY GENERAL
ACCOUNT" AS DEFINED IN SECTION V(E) OF PROHIBITED TRANSACTION CLASS EXEMPTION
("PTCE") 95-60 AND THE ACQUISITION AND HOLDING OF THE CERTIFICATE ARE COVERED
AND EXEMPT UNDER SECTIONS I AND III OF PTCE 95-60 OR (C) SOLELY IN THE CASE OF A
DEFINITIVE CERTIFICATE, AN OPINION OF COUNSEL SATISFACTORY TO THE TRUSTEE, AND
UPON WHICH THE TRUSTEE SHALL BE ENTITLED TO RELY, TO THE EFFECT THAT THE
ACQUISITION AND HOLDING OF SUCH CERTIFICATE BY THE PROSPECTIVE TRANSFEREE WILL
NOT CONSTITUTE OR RESULT IN A NONEXEMPT PROHIBITED TRANSACTION UNDER ERISA OR
THE CODE OR A VIOLATION OF SIMILAR LAW AND WILL NOT SUBJECT THE NIMS INSURER,
THE TRUSTEE, THE SERVICER OR THE DEPOSITOR TO ANY OBLIGATION IN ADDITION TO
THOSE UNDERTAKEN BY SUCH ENTITIES IN THE AGREEMENT, WHICH OPINION OF COUNSEL
SHALL NOT BE AN EXPENSE OF THE NIMS INSURER, THE TRUSTEE, THE SERVICER OR THE
DEPOSITOR.

FOLLOWING THE INITIAL ISSUANCE OF THE CERTIFICATES, THE PRINCIPAL BALANCE OF
THIS CERTIFICATE MAY BE DIFFERENT FROM THE ORIGINAL DENOMINATION SHOWN BELOW.
ANYONE ACQUIRING THIS CERTIFICATE MAY ASCERTAIN ITS CURRENT PRINCIPAL BALANCE BY
INQUIRY OF THE TRUSTEE.

<PAGE>

                               CLASS C CERTIFICATE

<TABLE>
<S>                                      <C>
Number: 07-3-C-[_____]                   Percentage Interest: 100%

Cut-off Date: May 1, 2007

First Distribution Date: June 25, 2007

Pass-Through Rate: Variable              CUSIP: [_____]
</TABLE>

<PAGE>

         MERRILL LYNCH FIRST FRANKLIN MORTGAGE LOAN TRUST, SERIES 2007-3
                     MORTGAGE LOAN ASSET-BACKED CERTIFICATES

evidencing an ownership interest in distributions allocable to the Class C
Certificates with respect to a pool of conventional, sub-prime mortgage loans
formed and sold by

                     MERRILL LYNCH MORTGAGE INVESTORS, INC.

     This certifies that Merrill Lynch, Pierce, Fenner & Smith Incorporated, as
nominee for Merrill Lynch Funding Corp, is the registered owner of the ownership
interest (the "Ownership Interest") evidenced by this Certificate (obtained by
dividing the Original Denomination of this Certificate by the aggregate Initial
Certificate Balance of all Class C Certificates) in certain distributions with
respect to a pool of conventional, sub-prime mortgage loans (the "Mortgage
Loans") formed and sold by Merrill Lynch Mortgage Investors, Inc. (hereinafter
called the "Depositor"), and certain other property held in trust for the
benefit of Certificateholders (collectively, the "Trust Fund"). The Mortgage
Loans are serviced by Home Loan Services, Inc. (the "Servicer") and are secured
by first-lien mortgages on the Mortgaged Properties. The Trust Fund was created
pursuant to a pooling and servicing agreement (the "Agreement"), dated as of May
1, 2007, among the Depositor, the Servicer and Lasalle Bank National Association
("LB"), as trustee (the "Trustee"), a summary of certain of the pertinent
provisions of which is set forth hereafter. To the extent not defined herein,
the capitalized terms used herein have the meanings assigned in the Agreement.

     This Certificate is one of a duly authorized issue of Certificates,
designated as Merrill Lynch First Franklin Mortgage Loan Trust, Series 2007-3
Mortgage Loan Asset-Backed Certificates, Class C (the "Class C Certificates")
and is issued under and is subject to the terms, provisions and conditions of
the Agreement, to which Agreement the Holder of this Certificate by virtue of
the acceptance hereof assents and by which Agreement such Holder is bound.

     The Class A Certificates, the Class M Certificates, the Class B
Certificates, the Class P Certificates and the Class C Certificates are
collectively referred to herein as the "Certificates."

     Pursuant to the terms of the Agreement, the Trustee will distribute from
funds in the Certificate Account the amounts described in the Agreement on the
25th day of each month or, if such 25th day is not a Business Day, the Business
Day immediately following (the "Distribution Date"), commencing in June 2007.
Such distributions will be made to the Person in whose name this Certificate is
registered on the Record Date (as such term is defined in the Agreement).

     Distributions on this Certificate will be made either by wire transfer in
immediately available funds to the account of such certificateholder at a bank
or other depository institution having appropriate wire transfer facilities or,
in the case of any certificateholder that has so notified the Trustee in writing
in accordance with the Agreement, by check mailed to the address of the person
entitled to distributions as it appears on the Certificate Register; provided,
however, that the final distribution in retirement of the certificates will be
made only upon presentation and surrender of this Certificate at the office of
the Trustee or such other address designated in writing by the Trustee. On each
Distribution Date, a holder of this Certificate will receive such

<PAGE>

holder's Percentage Interest of the amounts required to be distributed with
respect to the applicable Class of Certificates.

     The Trustee will maintain or cause to be maintained a Certificate Register
in which, subject to such reasonable regulations as it may prescribe, the
Trustee will provide for the registration of Certificates and of transfers and
exchanges of Certificates. Upon surrender for registration of transfer of any
Certificate at any office or agency of the Trustee, or, if an Authenticating
Agent has been appointed under the Agreement, the Authenticating Agent,
maintained for such purpose, the Trustee, will, subject to the limitations set
forth in the Agreement, authenticate and deliver, in the name of the designated
transferee or transferees, a Certificate of a like class and dated the date of
authentication by the Authenticating Agent. Notwithstanding the above, the final
distribution on this Certificate will be made after due notice by the Trustee,
of the pendency of such distribution and only upon presentation and surrender of
this Certificate at the office or agency appointed by the Trustee, for that
purpose and specified in such notice of final distribution.

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

     Unless the certificate of authentication has been executed by the
Authenticating Agent, by manual signature, this Certificate shall not be
entitled to any benefit under the Agreement or be valid for any purpose.

<PAGE>

     IN WITNESS WHEREOF, the Trustee has caused this Certificate to be duly
executed.

Dated: May 30, 2007                     LASALLE BANK NATIONAL ASSOCIATION,
                                        as Trustee

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

CERTIFICATE OF AUTHENTICATION

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

LASALLE BANK NATIONAL ASSOCIATION,
as Authenticating Agent

By:
    ---------------------------------
    Authorized Signatory

<PAGE>

                             REVERSE OF CERTIFICATE

         MERRILL LYNCH FIRST FRANKLIN MORTGAGE LOAN TRUST, SERIES 2007-3
                     MORTGAGE LOAN ASSET-BACKED CERTIFICATES

     This Certificate is one of a duly authorized issue of Certificates,
designated as Merrill Lynch First Franklin Mortgage Loan Trust, Series 2007-3
Mortgage Loan Asset-Backed Certificates, issued in one or more Classes of Class
A Certificates, Class M Certificates, Class B Certificates, Class P Certificates
and Class C Certificates, each evidencing an interest in certain distributions
with respect to a pool of conventional, sub-prime Mortgage Loans formed and sold
by the Depositor and certain other property conveyed by the Depositor to the
Trustee.

     Following the initial issuance of the Certificates, the principal balance
of this Certificate will be different from the Original Denomination shown
above. Anyone acquiring this Certificate may ascertain its current principal
balance by inquiry of the Trustee.

     The Holder, by its acceptance of this Certificate, agrees that it will look
solely to the Trust Fund and certain amounts resulting from credit enhancements
for payment hereunder and that the Trustee is not liable to the Holders for any
amount payable under this Certificate or the Agreement or, except as expressly
provided in the Agreement, subject to any liability under the Agreement.

     This Certificate does not purport to summarize the Agreement and reference
is made to the Agreement for the interests, rights and limitations of rights,
benefits, obligations and duties evidenced hereby, and the rights, duties and
immunities of the Trustee.

     No service charge will be made to the Holder for any transfer or exchange
of the Certificate, but the 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 the Certificate. Prior to due presentation of a
Certificate for registration of transfer, the Depositor and the Trustee may
treat the person in whose name any Certificate is registered as the owner of
such Certificate and the Percentage Interest in the Trust Fund evidenced thereby
for the purpose of receiving distributions pursuant to the Agreement and for all
other purposes whatsoever, and neither the Depositor nor the Trustee will be
affected by notice to the contrary.

     The Agreement may be amended from time to time by the Depositor, the
Servicer and the Trustee, without the consent of any of the Certificateholders,
to cure any ambiguity, to correct or supplement any provisions therein which may
be inconsistent with the other provisions therein, to ensure continuing
treatment of each REMIC included in the Trust Fund as a REMIC, or to make any
other provisions with respect to matters or questions arising under the
Agreement which are not materially inconsistent with the provisions of the
Agreement, provided that such action does not, as evidenced by an Opinion of
Counsel, adversely affect in any material respect the interests of any
Certificateholder.

     The Agreement may also be amended from time to time by the Depositor, the
Servicer and the Trustee, with the consent of the Holders of Certificates
evidencing in the aggregate not less than 66 2/3% of the Percentage Interests of
each Class of Certificates affected thereby, for the purpose of adding any
provisions to or changing in any manner or eliminating any of the

<PAGE>

provisions of the Agreement or of modifying in any manner the rights of the
Holders of Certificates of such Class; provided, however, that no such amendment
may (i) reduce in any manner the amount of, or delay the timing of, payments
received on Mortgage Loans which are required to be distributed on any
Certificate without the consent of the Holder of such Certificate, (ii)
adversely affect in any material respect the interests of the Holders of any
Class of Certificates in a manner other than as described in clause (i), without
the consent of the Holders of Certificates of such Class evidencing 66 2/3% or
more of the Voting Rights of such Class or (iii) change the percentage specified
in clause (ii) of the third paragraph of Section 10.01 of the Agreement, without
the consent of the Holders of all Certificates of such Class then outstanding.

     The Class A (other than the Class R Certificates), Class M, and Class B
Certificates are issuable only in registerable form, in minimum denominations of
$25,000 in initial Certificate Principal Amount and in integral multiples of $1
in excess thereof, registered in the name of the nominee of the Clearing Agency,
which shall maintain such Certificates through its book-entry facilities. The
Class R Certificates are issuable in minimum denominations of $100 and shall be
maintained in physical, fully registered form. The Class P Certificates are
issuable in minimum denominations of 100% and shall be maintained in physical,
fully registered form. The Class C Certificates are issuable in minimum
denominations of 25% and shall be maintained in physical, fully registered form.

     For federal income tax purposes, the Trust Fund will include multiple "real
estate mortgage investment conduits" (each, a "REMIC"). The REMIC Regular
Interests will represent "regular interests" in one of the REMICs included in
the Trust Fund. The Class R Certificate will represent the sole class of
"residual interest" in each of the REMICs.

     The obligations and responsibilities of the Depositor, the Servicer and the
Trustee under the Agreement shall terminate upon the earlier of (a) the exercise
by the Trustee of an Optional Termination; and (b) the later of (i) the maturity
or other liquidation (or any Advance with respect thereto) of the last Mortgage
Loan remaining in the Trust Fund and the disposition of all REO Property and
(ii) the distribution to Certificateholders of all amounts required to be
distributed to them pursuant to this Agreement, as applicable. In no event shall
the trusts created under the Agreement continue beyond the earlier of (i) the
expiration of 21 years from the death of the last survivor of the descendants of
Joseph P. Kennedy, the late Ambassador of the United States to the Court of St.
James's, living on the date hereof and (ii) the Latest Possible Maturity Date.

<PAGE>

                                   ASSIGNMENT

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

          (PLEASE INSERT SOCIAL SECURITY* OR TAXPAYER IDENTIFICATION NUMBER OF
ASSIGNEE)

(Please Print or Type Name and Address of Assignee)

________________________________________________________________________________

________________________________________________________________________________

the within Certificate, and all rights thereunder, and hereby does irrevocably
constitute and appoint

____________________________________ Attorney to transfer the within Certificate
on the books kept for the registration thereof, with full power of substitution
in the premises.

Dated:
       ------------------------------   ----------------------------------------
(Signature guaranty)                    NOTICE: The signature to this assignment
                                        must correspond with the name as it
                                        appears upon the face of the within
                                        Certificate in every particular, without
                                        alteration or enlargement or any change
                                        whatever.

     (* This information, which is voluntary, is being requested to ensure that
the assignee will not be subject to backup withholding under Section 3406 of the
Code.)

<PAGE>

                           FORM OF CLASS P CERTIFICATE

          THIS CERTIFICATE DOES NOT REPRESENT AN OBLIGATION OF OR INTEREST IN
THE DEPOSITOR, THE TRUSTEE OR THE SERVICER REFERRED TO BELOW OR ANY OF THEIR
AFFILIATES. NEITHER THIS CERTIFICATE NOR THE UNDERLYING MORTGAGE LOANS ARE
GUARANTEED OR INSURED BY THE DEPOSITOR, THE TRUSTEE, THE SERVICER OR BY ANY OF
THEIR AFFILIATES OR BY ANY GOVERNMENTAL AGENCY OR INSTRUMENTALITY.

          THIS CLASS P CERTIFICATE HAS NOT BEEN AND WILL NOT BE REGISTERED UNDER
THE SECURITIES ACT OF 1933, AS AMENDED, OR THE SECURITIES LAWS OF ANY STATE AND
MAY NOT BE RESOLD OR TRANSFERRED UNLESS IT IS SOLD OR TRANSFERRED IN
TRANSACTIONS WHICH ARE EXEMPT FROM REGISTRATION UNDER SUCH ACT OR UNDER
APPLICABLE STATE LAW AND IS TRANSFERRED IN ACCORDANCE WITH THE CERTIFICATE
TRANSFER RESTRICTIONS IN THE AGREEMENT.

          NO TRANSFER OF THIS CERTIFICATE SHALL BE REGISTERED UNLESS THE
PROSPECTIVE TRANSFEREE PROVIDES THE TRUSTEE AND THE DEPOSITOR WITH (A) A
REPRESENTATION THAT SUCH TRANSFEREE IS NOT AN EMPLOYEE BENEFIT PLAN SUBJECT TO
TITLE I OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED
("ERISA"), A PLAN SUBJECT TO SECTION 4975 OF THE CODE OR A PLAN SUBJECT TO ANY
STATE, LOCAL, FEDERAL, NON-U.S. OR OTHER LAW SUBSTANTIVELY SIMILAR TO THE
FOREGOING PROVISIONS OF ERISA OR THE CODE ("SIMILAR LAW"), AND IS NOT DIRECTLY
OR INDIRECTLY ACQUIRING THIS CERTIFICATE FOR, ON BEHALF OF, OR WITH ANY ASSETS
OF ANY SUCH PLAN, (B) IF THE CERTIFICATE HAS BEEN THE SUBJECT OF AN
ERISA-QUALIFYING UNDERWRITING, A REPRESENTATION THAT SUCH TRANSFEREE IS AN
INSURANCE COMPANY THAT IS ACQUIRING THE CERTIFICATE WITH ASSETS OF AN "INSURANCE
COMPANY GENERAL ACCOUNT" AS DEFINED IN SECTION V(E) OF PROHIBITED TRANSACTION
CLASS EXEMPTION ("PTCE") 95-60 AND THE ACQUISITION AND HOLDING OF THE
CERTIFICATE ARE COVERED AND EXEMPT UNDER SECTIONS I AND III OF PTCE 95-60 OR (C)
SOLELY IN THE CASE OF A DEFINITIVE CERTIFICATE, AN OPINION OF COUNSEL
SATISFACTORY TO THE TRUSTEE, AND UPON WHICH THE TRUSTEE SHALL BE ENTITLED TO
RELY, TO THE EFFECT THAT THE ACQUISITION AND HOLDING OF SUCH CERTIFICATE BY THE
PROSPECTIVE TRANSFEREE WILL NOT CONSTITUTE OR RESULT IN A NONEXEMPT PROHIBITED
TRANSACTION UNDER ERISA OR THE CODE OR A VIOLATION OF SIMILAR LAW AND WILL NOT
SUBJECT THE NIMS INSURER, THE TRUSTEE, THE SERVICER OR THE DEPOSITOR TO ANY
OBLIGATION IN ADDITION TO THOSE UNDERTAKEN BY SUCH ENTITIES IN THE POOLING AND
SERVICING AGREEMENT, WHICH OPINION OF COUNSEL SHALL NOT BE AN EXPENSE OF THE
NIMS INSURER, THE TRUSTEE, THE SERVICER OR THE DEPOSITOR.

<PAGE>

                               CLASS P CERTIFICATE

<TABLE>
<S>                                      <C>
Number: 07-3-P-1                         Percentage Interest: 100%

Cut-off Date: May 1, 2007

First Distribution Date: June 25, 2007   CUSIP: [_____]
</TABLE>

<PAGE>

         MERRILL LYNCH FIRST FRANKLIN MORTGAGE LOAN TRUST, SERIES 2007-3
                     MORTGAGE LOAN ASSET-BACKED CERTIFICATES

evidencing an ownership interest in distributions allocable to the Class P
Certificates with respect to a pool of conventional, sub-prime mortgage loans
formed and sold by

                     MERRILL LYNCH MORTGAGE INVESTORS, INC.

     This certifies that Merrill Lynch, Pierce, Fenner & Smith Incorporated, as
nominee for Merrill Lynch Funding Corp, is the registered owner of the ownership
interest (the "Ownership Interest") evidenced by this Certificate (obtained by
dividing the Original Denomination of this Certificate by the aggregate Initial
Certificate Balance of all Class P Certificates) in certain distributions with
respect to a pool of conventional, sub-prime mortgage loans (the "Mortgage
Loans") formed and sold by Merrill Lynch Mortgage Investors, Inc. (hereinafter
called the "Depositor"), and certain other property held in trust for the
benefit of Certificateholders (collectively, the "Trust Fund"). The Mortgage
Loans are serviced by Home Loan Services, Inc. (the "Servicer") and are secured
by first-lien mortgages on the Mortgaged Properties. The Trust Fund was created
pursuant to a pooling and servicing agreement (the "Agreement"), dated as of May
1, 2007, among the Depositor, the Servicer and LaSalle Bank National Association
("LB"), as trustee (the "Trustee"), a summary of certain of the pertinent
provisions of which is set forth hereafter. To the extent not defined herein,
the capitalized terms used herein have the meanings assigned in the Agreement.

     This Certificate is one of a duly authorized issue of Certificates,
designated as Merrill Lynch First Franklin Mortgage Loan Trust, Series 2007-3
Mortgage Loan Asset-Backed Certificates, Class P (the "Class P Certificates")
and is issued under and is subject to the terms, provisions and conditions of
the Agreement, to which Agreement the Holder of this Certificate by virtue of
the acceptance hereof assents and by which Agreement such Holder is bound.

     The Class A Certificates, the Class M Certificates, the Class B
Certificates, the Class P Certificates, the Class C Certificates and the Class R
Certificate are collectively referred to herein as the "Certificates."

     Pursuant to the terms of the Agreement, the Trustee will distribute from
funds in the Certificate Account the amounts described in the Agreement on the
25th day of each month or, if such 25th day is not a Business Day, the Business
Day immediately following (the "Distribution Date"), commencing in June 2007.
Such distributions will be made to the Person in whose name this Certificate is
registered on the Record Date (as such term is defined in the Agreement).

     Distributions on this Certificate will be made either by wire transfer in
immediately available funds to the account of such certificateholder at a bank
or other depository institution having appropriate wire transfer facilities or,
in the case of any certificateholder that has so notified the Trustee in writing
in accordance with the Agreement, by check mailed to the address of the person
entitled to distributions as it appears on the Certificate Register; provided,
however, that the final distribution in retirement of the certificates will be
made only upon presentation and surrender of this Certificate at the office of
the Trustee or such other address designated in writing by the Trustee. On each
Distribution Date, a holder of this Certificate will receive such

<PAGE>

holder's Percentage Interest of the amounts required to be distributed with
respect to the applicable Class of Certificates.

     The Trustee will maintain or cause to be maintained a Certificate Register
in which, subject to such reasonable regulations as it may prescribe, the
Trustee will provide for the registration of Certificates and of transfers and
exchanges of Certificates. Upon surrender for registration of transfer of any
Certificate at any office or agency of the Trustee, or, if an Authenticating
Agent has been appointed under the Agreement, the Authenticating Agent,
maintained for such purpose, the Trustee, will, subject to the limitations set
forth in the Agreement, authenticate and deliver, in the name of the designated
transferee or transferees, a Certificate of a like class and dated the date of
authentication by the Authenticating Agent. Notwithstanding the above, the final
distribution on this Certificate will be made after due notice by the Trustee,
of the pendency of such distribution and only upon presentation and surrender of
this Certificate at the office or agency appointed by the Trustee, for that
purpose and specified in such notice of final distribution.

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

     Unless the certificate of authentication has been executed by the
Authenticating Agent, by manual signature, this Certificate shall not be
entitled to any benefit under the Agreement or be valid for any purpose.

<PAGE>

     IN WITNESS WHEREOF, the Trustee has caused this Certificate to be duly
executed.

Dated: May 30, 2007                     LASALLE BANK NATIONAL ASSOCIATION,
                                        as Trustee

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

CERTIFICATE OF AUTHENTICATION

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

LASALLE BANK NATIONAL ASSOCIATION,
as Authenticating Agent

By:
    ---------------------------------
    Authorized Signatory

<PAGE>

                             REVERSE OF CERTIFICATE

         MERRILL LYNCH FIRST FRANKLIN MORTGAGE LOAN TRUST, SERIES 2007-3
                     MORTGAGE LOAN ASSET-BACKED CERTIFICATES

     This Certificate is one of a duly authorized issue of Certificates,
designated as Merrill Lynch First Franklin Mortgage Loan Trust, Series 2007-3
Mortgage Loan Asset-Backed Certificates, issued in one or more Classes of Class
A Certificates, Class M Certificates, Class B Certificates, Class P Certificates
and Class C Certificates, each evidencing an interest in certain distributions
with respect to a pool of conventional, sub-prime Mortgage Loans formed and sold
by the Depositor and certain other property conveyed by the Depositor to the
Trustee.

     The Holder, by its acceptance of this Certificate, agrees that it will look
solely to the Trust Fund and certain amounts resulting from credit enhancements
for payment hereunder and that the Trustee is not liable to the Holders for any
amount payable under this Certificate or the Agreement or, except as expressly
provided in the Agreement, subject to any liability under the Agreement.

     This Certificate does not purport to summarize the Agreement and reference
is made to the Agreement for the interests, rights and limitations of rights,
benefits, obligations and duties evidenced hereby, and the rights, duties and
immunities of the Trustee.

     No service charge will be made to the Holder for any transfer or exchange
of the Certificate, but the 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 the Certificate. Prior to due presentation of a
Certificate for registration of transfer, the Depositor and the Trustee may
treat the person in whose name any Certificate is registered as the owner of
such Certificate and the Percentage Interest in the Trust Fund evidenced thereby
for the purpose of receiving distributions pursuant to the Agreement and for all
other purposes whatsoever, and neither the Depositor nor the Trustee will be
affected by notice to the contrary.

     The Agreement may be amended from time to time by the Depositor, the
Servicer and the Trustee, without the consent of any of the Certificateholders,
to cure any ambiguity, to correct or supplement any provisions therein which may
be inconsistent with the other provisions therein, to ensure continuing
treatment of each REMIC included in the Trust Fund as a REMIC, or to make any
other provisions with respect to matters or questions arising under the
Agreement which are not materially inconsistent with the provisions of the
Agreement, provided that such action does not, as evidenced by an Opinion of
Counsel, adversely affect in any material respect the interests of any
Certificateholder.

     The Agreement may also be amended from time to time by the Depositor, the
Servicer the Trustee, with the consent of the Holders of Certificates evidencing
in the aggregate not less than 66 2/3% of the Percentage Interests of each Class
of Certificates affected thereby, for the purpose of adding any provisions to or
changing in any manner or eliminating any of the provisions of the Agreement or
of modifying in any manner the rights of the Holders of Certificates of such
Class; provided, however, that no such amendment may (i) reduce in any manner
the amount of, or delay the timing of, payments received on Mortgage Loans which
are

<PAGE>

required to be distributed on any Certificate without the consent of the Holder
of such Certificate, (ii) adversely affect in any material respect the interests
of the Holders of any Class of Certificates in a manner other than as described
in clause (i), without the consent of the Holders of Certificates of such Class
evidencing 66 2/3% or more of the Voting Rights of such Class or (iii) change
the percentage specified in clause (ii) of the third paragraph of Section 10.01
of the Agreement, without the consent of the Holders of all Certificates of such
Class then outstanding.

     The Class A (other than the Class R Certificates), Class M, and Class B
Certificates are issuable only in registerable form, in minimum denominations of
$25,000 in initial Certificate Principal Amount and in integral multiples of $1
in excess thereof, registered in the name of the nominee of the Clearing Agency,
which shall maintain such Certificates through its book-entry facilities. The
Class R Certificates are issuable in minimum denominations of $100 and shall be
maintained in physical, fully registered form. The Class P Certificates are
issuable in minimum denominations of 100% and shall be maintained in physical,
fully registered form. The Class C Certificates are issuable in minimum
denominations of 25% and shall be maintained in physical, fully registered form.

     For federal income tax purposes, the Trust Fund will include multiple "real
estate mortgage investment conduits" (each, a "REMIC"). The REMIC Regular
Interests will represent "regular interests" in one of the REMICs included in
the Trust Fund. The Class R Certificate will represent the sole class of
"residual interest" in each of the REMICs.

     The obligations and responsibilities of the Depositor, the Servicer and the
Trustee under the Agreement shall terminate upon the earlier of (a) the exercise
by the Trustee of an Optional Termination; and (b) the later of (i) the maturity
or other liquidation (or any Advance with respect thereto) of the last Mortgage
Loan remaining in the Trust Fund and the disposition of all REO Property and
(ii) the distribution to Certificateholders of all amounts required to be
distributed to them pursuant to this Agreement, as applicable. In no event shall
the trusts created under the Agreement continue beyond the earlier of (i) the
expiration of 21 years from the death of the last survivor of the descendants of
Joseph P. Kennedy, the late Ambassador of the United States to the Court of St.
James's, living on the date hereof and (ii) the Latest Possible Maturity Date.

<PAGE>

                                   ASSIGNMENT

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

          (PLEASE INSERT SOCIAL SECURITY* OR TAXPAYER IDENTIFICATION NUMBER OF
ASSIGNEE)

________________________________________________________________________________

(Please Print or Type Name and Address of Assignee)

________________________________________________________________________________

________________________________________________________________________________

the within Certificate, and all rights thereunder, and hereby does irrevocably
constitute and appoint

___________________________________, Attorney to transfer the within Certificate
on the books kept for the registration thereof, with full power of substitution
in the premises.

Dated:
       ------------------------------   ----------------------------------------
(Signature guaranty)                    NOTICE: The signature to this assignment
                                        must correspond with the name as it
                                        appears upon the face of the within
                                        Certificate in every particular, without
                                        alteration or enlargement or any change
                                        whatever.

     (* This information, which is voluntary, is being requested to ensure that
the assignee will not be subject to backup withholding under Section 3406 of the
Code.)

<PAGE>

                           FORM OF CLASS R CERTIFICATE

SOLELY FOR FEDERAL INCOME TAX PURPOSES, THIS CERTIFICATE REPRESENTS (I) A
"RESIDUAL INTEREST" IN ONE OR MORE "REAL ESTATE MORTGAGE INVESTMENT CONDUITS",
AS THOSE TERMS ARE DEFINED, RESPECTIVELY, IN SECTIONS 860G AND 860D OF THE
INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE "CODE") AND (II) AN INTEREST IN
NOTIONAL PRINCIPAL CONTRACTS.

THIS CERTIFICATE DOES NOT REPRESENT AN OBLIGATION OF OR INTEREST IN THE
DEPOSITOR, THE TRUSTEE OR THE SERVICER REFERRED TO BELOW OR ANY OF THEIR
AFFILIATES. NEITHER THIS CERTIFICATE, THE REMIC RESIDUAL INTERESTS REPRESENTED
HEREBY NOR THE UNDERLYING MORTGAGE LOANS ARE GUARANTEED OR INSURED BY THE
DEPOSITOR, THE TRUSTEE, THE SERVICER OR BY ANY OF THEIR AFFILIATES OR BY ANY
GOVERNMENTAL AGENCY OR INSTRUMENTALITY.

NO TRANSFER OF THIS CERTIFICATE SHALL BE REGISTERED UNLESS THE PROSPECTIVE
TRANSFEREE PROVIDES THE TRUSTEE AND THE DEPOSITOR WITH A REPRESENTATION THAT
SUCH TRANSFEREE IS NOT AN EMPLOYEE BENEFIT PLAN SUBJECT TO TITLE I OF THE
EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED ("ERISA"), A PLAN
SUBJECT TO SECTION 4975 OF THE CODE OR A PLAN SUBJECT TO ANY FEDERAL, STATE,
LOCAL, NON-U.S. OR OTHER LAWS OR REGULATIONS THAT ARE SUBSTANTIVELY SIMILAR TO
THE FOREGOING PROVISIONS OF ERISA OR THE CODE, AND IS NOT DIRECTLY OR INDIRECTLY
ACQUIRING THIS CERTIFICATE FOR, ON BEHALF OF, OR WITH ANY ASSETS OF ANY SUCH
PLAN.

<PAGE>

                               CLASS R CERTIFICATE

<TABLE>
<S>                                      <C>
Number: 07-3-R-1                         Principal Balance: $100.00

Cut-off Date: May 1, 2007                Pass-Through Rate: Variable(4)

First Distribution Date: June 25, 2007   CUSIP: [_____]
</TABLE>

----------
(4)  Subject to a cap as described in the Agreement.
<PAGE>

MERRILL LYNCH FIRST FRANKLIN MORTGAGE LOAN TRUST, SERIES 2007-3 MORTGAGE LOAN
ASSET-BACKED CERTIFICATES

evidencing an ownership interest in distributions allocable to the Class R
Certificates with respect to a pool of conventional, sub-prime mortgage loans
formed and sold by

                     MERRILL LYNCH MORTGAGE INVESTORS, INC.

     This certifies that MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED, as
nominee for Merrill Lynch Funding Corporation, is the registered owner of the
ownership interest (the "Ownership Interest") evidenced by this Certificate
(obtained by dividing the Original Denomination of this Certificate by the
aggregate Initial Certificate Balance of all Class R Certificates) in certain
distributions with respect to a pool of conventional, sub-prime mortgage loans
(the "Mortgage Loans") formed and sold by Merrill Lynch Mortgage Investors, Inc.
(hereinafter called the "Depositor"), and certain other property held in trust
for the benefit of Certificateholders (collectively, the "Trust Fund"). The
Mortgage Loans are serviced by Home Loan Services, Inc. (the "Servicer") and are
secured by first-lien mortgages on the Mortgaged Properties. The Trust Fund was
created pursuant to a pooling and servicing agreement (the "Agreement"), dated
as of May 1, 2007, among the Depositor, the Servicer and LaSalle Bank National
Association ("LB"), as as trustee (the "Trustee"), a summary of certain of the
pertinent provisions of which is set forth hereafter. To the extent not defined
herein, the capitalized terms used herein have the meanings assigned in the
Agreement.

     This Certificate is one of a duly authorized issue of Certificates,
designated as Merrill Lynch First Franklin Mortgage Loan Trust, Series 2007-3
Mortgage Loan Asset-Backed Certificates, Class R (the "Class R Certificate") and
is issued under and is subject to the terms, provisions and conditions of the
Agreement, to which Agreement the Holder of this Certificate by virtue of the
acceptance hereof assents and by which Agreement such Holder is bound.

     The Class A Certificates, the Class M Certificates, the Class B
Certificates, the Class P Certificates and the Class C Certificates are
collectively referred to herein as the "Certificates."

     Pursuant to the terms of the Agreement, the Trustee will distribute from
funds in the Certificate Account the amounts described in the Agreement on the
25th day of each month or, if such 25th day is not a Business Day, the Business
Day immediately following (the "Distribution Date"), commencing in June 2007.
Such distributions will be made to the Person in whose name this Certificate is
registered on the Record Date (as such term is defined in the Agreement).

     Distributions on this Certificate will be made either by wire transfer in
immediately available funds to the account of such certificateholder at a bank
or other depository institution having appropriate wire transfer facilities or,
in the case of any certificateholder that has so notified the Trustee in writing
in accordance with the Agreement, by check mailed to the address of the person
entitled to distributions as it appears on the Certificate Register; provided,
however, that the final distribution in retirement of the certificates will be
made only upon presentation and surrender of this Certificate at the office of
the Trustee or such other address designated in writing by the Trustee. On each
Distribution Date, a holder of this Certificate will receive such holder's
Percentage Interest of the amounts required to be distributed with respect to
the applicable Class of Certificates.

<PAGE>

     The Trustee will maintain or cause to be maintained a Certificate Register
in which, subject to such reasonable regulations as it may prescribe, the
Trustee will provide for the registration of Certificates and of transfers and
exchanges of Certificates. Upon surrender for registration of transfer of any
Certificate at any office or agency of the Trustee, or, if an Authenticating
Agent has been appointed under the Agreement, the Authenticating Agent,
maintained for such purpose, the Trustee, will, subject to the limitations set
forth in the Agreement, authenticate and deliver, in the name of the designated
transferee or transferees, a Certificate of a like class and dated the date of
authentication by the Authenticating Agent. Notwithstanding the above, the final
distribution on this Certificate will be made after due notice by the Trustee,
of the pendency of such distribution and only upon presentation and surrender of
this Certificate at the office or agency appointed by the Trustee, for that
purpose and specified in such notice of final distribution.

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

     Unless the certificate of authentication has been executed by the
Authenticating Agent, by manual signature, this Certificate shall not be
entitled to any benefit under the Agreement or be valid for any purpose.

<PAGE>

     IN WITNESS WHEREOF, the Trustee has caused this Certificate to be duly
executed.

Dated: May 30, 2007                     LASALLE BANK NATIONAL ASSOCIATION,
                                        as Trustee

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

CERTIFICATE OF AUTHENTICATION

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

LASALLE BANK NATIONAL ASSOCIATION,
as Authenticating Agent

By:
    ---------------------------------
    Authorized Signatory

<PAGE>

                             REVERSE OF CERTIFICATE

         MERRILL LYNCH FIRST FRANKLIN MORTGAGE LOAN TRUST, SERIES 2007-3
                     MORTGAGE LOAN ASSET-BACKED CERTIFICATES

     This Certificate is one of a duly authorized issue of Certificates,
designated as Merrill Lynch First Franklin Mortgage Loan Trust, Series 2007-3
Mortgage Loan Asset-Backed Certificates, issued in one or more Classes of Class
A Certificates, Class M Certificates, Class B Certificates, Class P Certificates
and Class C Certificates, each evidencing an interest in certain distributions
with respect to a pool of conventional, sub-prime Mortgage Loans formed and sold
by the Depositor and certain other property conveyed by the Depositor to the
Trustee.

     Following the initial issuance of the Certificates, the principal balance
of this Certificate will be different from the Original Denomination shown
above. Anyone acquiring this Certificate may ascertain its current principal
balance by inquiry of the Trustee.

     The Holder, by its acceptance of this Certificate, agrees that it will look
solely to the Trust Fund and certain amounts resulting from credit enhancements
for payment hereunder and that the Trustee is not liable to the Holders for any
amount payable under this Certificate or the Agreement or, except as expressly
provided in the Agreement, subject to any liability under the Agreement.

     This Certificate does not purport to summarize the Agreement and reference
is made to the Agreement for the interests, rights and limitations of rights,
benefits, obligations and duties evidenced hereby, and the rights, duties and
immunities of the Trustee.

     No service charge will be made to the Holder for any transfer or exchange
of the Certificate, but the 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 the Certificate. Prior to due presentation of a
Certificate for registration of transfer, the Depositor and the Trustee may
treat the person in whose name any Certificate is registered as the owner of
such Certificate and the Percentage Interest in the Trust Fund evidenced thereby
for the purpose of receiving distributions pursuant to the Agreement and for all
other purposes whatsoever, and neither the Depositor nor the Trustee will be
affected by notice to the contrary.

     The Agreement may be amended from time to time by the Depositor, the
Servicer and the Trustee, without the consent of any of the Certificateholders,
to cure any ambiguity, to correct or supplement any provisions therein which may
be inconsistent with the other provisions therein, to ensure continuing
treatment of each REMIC included in the Trust Fund as a REMIC, or to make any
other provisions with respect to matters or questions arising under the
Agreement which are not materially inconsistent with the provisions of the
Agreement, provided that such action does not, as evidenced by an Opinion of
Counsel, adversely affect in any material respect the interests of any
Certificateholder.

     The Agreement may also be amended from time to time by the Depositor, the
Servicer and the Trustee, with the consent of the Holders of Certificates
evidencing in the aggregate not less than 66 2/3% of the Percentage Interests of
each Class of Certificates affected thereby, for the purpose of adding any
provisions to or changing in any manner or eliminating any of the provisions of
the Agreement or of modifying in any manner the rights of the Holders of
Certificates of such Class; provided, however, that no such amendment may (i)
reduce in any manner the amount of, or delay the timing of, payments received on
Mortgage Loans which are required to be distributed on any Certificate without
the consent of

<PAGE>

the Holder of such Certificate, (ii) adversely affect in any material respect
the interests of the Holders of any Class of Certificates in a manner other than
as described in clause (i), without the consent of the Holders of Certificates
of such Class evidencing 66 2/3% or more of the Voting Rights of such Class or
(iii) change the percentage specified in clause (ii) of the third paragraph of
Section 10.01 of the Agreement, without the consent of the Holders of all
Certificates of such Class then outstanding.

     The Class A (other than the Class R Certificates), Class M, and Class B
Certificates are issuable only in registerable form, in minimum denominations of
$25,000 in initial Certificate Principal Amount and in integral multiples of $1
in excess thereof, registered in the name of the nominee of the Clearing Agency,
which shall maintain such Certificates through its book-entry facilities. The
Class R Certificates are issuable in minimum denominations of $100 and shall be
maintained in physical, fully registered form. The Class P Certificates are
issuable in minimum denominations of 100% and shall be maintained in physical,
fully registered form. The Class C Certificates are issuable in minimum
denominations of 25% and shall be maintained in physical, fully registered form.

     For federal income tax purposes, the Trust Fund will include multiple "real
estate mortgage investment conduits" (each, a "REMIC"). The REMIC Regular
Interests will represent "regular interests" in one of the REMICs included in
the Trust Fund. The Class R Certificate will represent the sole class of
"residual interest" in each of the REMICs.

     The obligations and responsibilities of the Depositor, the Servicer and the
Trustee under the Agreement shall terminate upon the earlier of (a) the exercise
by the Trustee of an Optional Termination; and (b) the later of (i) the maturity
or other liquidation (or any Advance with respect thereto) of the last Mortgage
Loan remaining in the Trust Fund and the disposition of all REO Property and
(ii) the distribution to Certificateholders of all amounts required to be
distributed to them pursuant to this Agreement, as applicable. In no event shall
the trusts created under the Agreement continue beyond the earlier of (i) the
expiration of 21 years from the death of the last survivor of the descendants of
Joseph P. Kennedy, the late Ambassador of the United States to the Court of St.
James's, living on the date hereof and (ii) the Latest Possible Maturity Date.

<PAGE>

                              [FORM OF ASSIGNMENT]
  FOR VALUE RECEIVED, the undersigned hereby sells, assigns and transfers unto

________________________________________________________________________________
(PLEASE INSERT SOCIAL SECURITY* OR TAXPAYER IDENTIFICATION NUMBER OF ASSIGNEE)

________________________________________________________________________________
(Please Print or Type Name and Address of Assignee)

________________________________________________________________________________
the within Certificate, and all rights thereunder, and hereby does irrevocably
constitute and appoint

__________________________________________ Attorney to transfer the within
Certificate on the books kept for the registration thereof, with full power of
substitution in the premises.

Dated:
       -----------------------------    ----------------------------------------
(Signature guaranty)                    NOTICE: The signature to this assignment
                                        must correspond with the name as it
                                        appears upon the face of the within
                                        Certificate in every particular, without
                                        alteration or enlargement or any change
                                        whatever.

(*This information, which is voluntary, is being requested to ensure that the
assignee will not be subject to backup withholding under Section 3406 of the
Code.)

                                       A-1

<PAGE>

                                    EXHIBIT B

                             MORTGAGE LOAN SCHEDULE

                             [INTENTIONALLY OMITTED]

                                       B-1

<PAGE>

                                    EXHIBIT C

                                   [RESERVED]

                                       C-1

<PAGE>

                                    EXHIBIT D

                          FORM OF TRUSTEE CERTIFICATION

                                     [DATE]

Merrill Lynch Mortgage Investors, Inc.
250 Vesey Street
4 World Financial Center, 10th Floor
New York, New York 10080

Home Loan Services, Inc.
150 Allegheny Center Mall
Pittsburgh, Pennsylvania 15212

LaSalle Bank National Association
135 South LaSalle Street
Suite 1511
Chicago, Illinois 60603

[NIMS INSURER, IF ANY]

Re:  Merrill Lynch First Franklin Mortgage Loan Trust, Mortgage Loan
     Asset-Backed Certificates, Series 2007-3

Ladies and Gentlemen:

          In accordance with Section 2.02 of the Pooling and Servicing
Agreement, dated as of May 1, 2007, among Merrill Lynch Mortgage Investors,
Inc., as depositor, LaSalle Bank National Association, as trustee, Home Loan
Services, Inc., as servicer (the "Pooling and Servicing Agreement"), the
undersigned, as Trustee, hereby certifies that [, except as set forth in
Schedule A hereto,] as to each Mortgage Loan listed in the Mortgage Loan
Schedule attached hereto (other than any Mortgage Loan paid in full or listed on
the attachment hereto) it has reviewed the Mortgage File and the Mortgage Loan
Schedule and has determined that:

          (i) All documents in the Mortgage File required to be delivered to the
Trustee pursuant to Section 2.01 (A)-(B), (C) (if applicable), (D) and (E) and
the documents if actually received by it under Section 2.01(F) of the Pooling
and Servicing Agreement are in its possession;

          (ii) In connection with each Mortgage Loan or Assignment thereof as to
which documentary evidence of recording was not received on the Closing Date, it
has received evidence of such recording; and

          (iii) Such documents have been reviewed by it and appear regular on
their face and relate to such Mortgage Loan.

                                       D-1

<PAGE>

          The Trustee has made no independent examination of any documents
contained in each Mortgage File beyond confirming (i) that the Mortgage Loan
number, the name of the Mortgagor, the street address (excluding zip code), the
mortgage interest rate at origination, the gross margin (if applicable), the
lifetime rate cap (if applicable), the periodic rate cap (if applicable), the
original principal balance, the first payment due date and the original maturity
date in each Mortgage File conform to the respective Mortgage Loan number and
name listed on the Mortgage Loan Schedule and (ii) the existence in each
Mortgage File of each of the documents listed in subparagraphs (i)(A) through
(E), as applicable, inclusive, of Section 2.01 in the Agreement. The Trustee
makes no representations or warranties as to the validity, legality,
recordability, sufficiency, enforceability, due authorization or genuineness of
any of the documents contained in each Mortgage Loan or the collectability,
insurability, effectiveness, priority, perfection or suitability of any such
Mortgage Loan.

          Capitalized words and phrases used herein shall have the respective
meanings assigned to them in the above-referenced Pooling and Servicing
Agreement.

LASALLE BANK NATIONAL ASSOCIATION,
as Trustee

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

                                       D-2

<PAGE>

                                   EXHIBIT E-1

                    FORM OF TRANSFEREE'S LETTER AND AFFIDAVIT

                                     [DATE]

LaSalle Bank National Association
135 South LaSalle Street
Suite 1511
Chicago, Illinois 60603

Attention: Global Securities and Trust Services - Merrill Lynch First Franklin
           Mortgage Loan Trust, Series 2007-3

Ladies and Gentlemen:

          We propose to purchase Merrill Lynch First Franklin Mortgage Loan
Trust, Mortgage Loan Asset-Backed Certificates, Series 2007-3, Class R,
described in the Prospectus Supplement, dated May 25, 2007, and the Prospectus,
dated May 15, 2007.

     1. We certify that (a) we are not a disqualified organization and (b) we
are not purchasing such Class R Certificate on behalf of a disqualified
organization; for this purpose the term "disqualified organization" means the
United States, any state or political subdivision thereof, any foreign
government, any international organization, any agency or instrumentality of any
of the foregoing (except any entity treated as other than an instrumentality of
the foregoing for purposes of Section 168(h)(2)(D) of the Internal Revenue Code
of 1986, as amended (the "Code")), any organization (other than a cooperative
described in Section 521 of the Code) that is exempt from taxation under the
Code (unless such organization is subject to tax on excess inclusions) and any
organization that is described in Section 1381(a)(2)(C) of the Code. We
understand that any breach by us of this certification may cause us to be liable
for an excise tax imposed upon transfers to disqualified organizations.

     2. We certify that (a) we have historically paid our debts as they became
due, (b) we intend, and believe that we will be able, to continue to pay our
debts as they become due in the future, (c) we understand that, as beneficial
owner of the Class R Certificate, we may incur tax liabilities in excess of any
cash flows generated by the Class R Certificate, and (d) we intend to pay any
taxes associated with holding the Class R Certificate as they become due and (e)
we will not cause income from the Class R Certificate to be attributable to a
foreign permanent establishment or fixed base (within the meaning of an
applicable income tax treaty) of ours or another U.S. taxpayer.

                                      E-1-1

<PAGE>

          3. We acknowledge that we will be the beneficial owner of the Class R
Certificate and: 5

          ___________ The Class R Certificate will be registered in our name.
          ___________ The Class R Certificate will be held in the name of our
                      nominee, _________________, which is not a disqualified
                      organization.

     4. We certify that we are not an employee benefit plan subject to Title I
of the Employee Retirement Income Security Act of 1974, as amended ("ERISA"), a
plan subject to Section 4975 of the Code or a plan subject to federal, state,
local, non-U.S. or other law substantively similar to the foregoing provisions
of ERISA or the Code (each, a "Plan"), and are not directly or indirectly
acquiring the Class R Certificate on behalf of or with any assets of a Plan.

     5. We certify that (i) we are a U.S. person or (ii) we will hold the Class
R Certificate in connection with the conduct of a trade or business within the
United States and have furnished the transferor and the Trustee with a duly
completed and effective Internal Revenue Service Form W-8ECI or successor form
at the time and in the manner required by the Code; for this purpose the term
"U.S. person" means a citizen or resident of the United States, a corporation,
or partnership (unless, in the case of a partnership, Treasury regulations are
adopted that provide otherwise) created or organized in or under the laws of the
United States, any State thereof or the District of Columbia, including an
entity treated as a corporation or partnership for federal income tax purposes,
an estate whose income is subject to United States federal income tax regardless
of the source of its income, or a trust if a court within the United States is
able to exercise primary supervision over the administration of the trust and
one or more such U.S. persons have the authority to control all substantial
decisions of the trust (or, to the extent provided in applicable Treasury
regulations, certain trusts in existence on August 20, 1996 which are eligible
to elect to be treated as U.S. Persons). We agree that any breach by us of this
certification shall render the transfer of any interest in the Class R
Certificate to us absolutely null and void and shall cause no rights in the
Class R Certificate to vest in us.

     6. We agree that in the event that at some future time we wish to transfer
any interest in the Class R Certificate, we will transfer such interest in the
Class R Certificate only (a) to a transferee that (i) is not a disqualified
organization and is not purchasing such interest in the Class R Certificate on
behalf of a disqualified organization, (ii) is a U.S. person or will hold the
Class R Certificate in connection with the conduct of a trade or business within
the United States and will furnish us and the Trustee with a duly completed and
effective Internal Revenue Service Form W-8ECI or successor form at the time and
in the manner required by the Code and (iii) has delivered to the Trustee a
letter in the form of this letter (including the affidavit appended hereto) and,
we will provide the Trustee a written statement substantially in the form of
Exhibit E-2 to the Pooling and Servicing Agreement.

     7. We hereby designate _______________________ as our fiduciary to act as
the tax matters person for each of the REMICs provided for in the Pooling and
Servicing Agreement.

Very truly yours,

[PURCHASER]

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

----------
(5)  Check appropriate box and if necessary fill in the name of the Transferee's
     nominee.

                                      E-1-2

<PAGE>

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

Accepted as of __________ __, 200__

MERRILL LYNCH MORTGAGE INVESTORS, INC.

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

                                      E-1-3

<PAGE>

                                        APPENDIX A

                                        Affidavit pursuant to (i) Section
                                        860E(e)(4) of the Internal Revenue Code
                                        of 1986, as amended, and (ii) certain
                                        provisions of the Pooling and Servicing
                                        Agreement

Under penalties of perjury, the undersigned declares that the following is true:

     1. He or she is an officer of _________________________ (the "Transferee"),

     2. the Transferee's Employer Identification number is __________,

     3. the Transferee is not a "disqualified organization" (as defined below),
has no plan or intention of becoming a disqualified organization, and is not
acquiring any of its interest in the Merrill Lynch First Franklin Mortgage Loan
Trust, Mortgage Loan Asset-Backed Certificates, Series 2007-3, Class R
Certificate on behalf of a disqualified organization or any other entity,

     4. unless Merrill Lynch Mortgage Investors, Inc.("MLMI") has consented to
the transfer to the Transferee by executing the form of Consent affixed as
Appendix B to the Transferee's Letter to which this Certificate is affixed as
Appendix A, the Transferee is a "U.S. person" (as defined below),

     5. that no purpose of the transfer is to avoid or impede the assessment or
collection of tax,

     6. the Transferee has historically paid its debts as they became due,

     7. the Transferee intends, and believes that it will be able, to continue
to pay its debts as they become due in the future,

     8. the Transferee understands that, as beneficial owner of the Class R
Certificate, it may incur tax liabilities in excess of any cash flows generated
by the Class R Certificate,

     9. the Transferee intends to pay any taxes associated with holding the
Class R Certificate as they become due,

     10. the Transferee consents to any amendment of the Pooling and Servicing
Agreement that shall be deemed necessary by Merrill Lynch Mortgage Investors,
Inc. (upon advice of counsel) to constitute a reasonable arrangement to ensure
that the Class R Certificate will not be owned directly or indirectly by a
disqualified organization, and

     11. IF BRACKETED, THE FOLLOWING CERTIFICATIONS ARE INAPPLICABLE [the
transfer is not a direct or indirect transfer of the Class R Certificate to a
foreign permanent establishment or fixed base (within the meaning of an
applicable income tax treaty) of the Transferee, and as to each of the residual
interests represented by the Class R Certificate, the present value of the
anticipated tax liabilities associated with holding such residual interest does
not exceed the sum of:

     A. the present value of any consideration given to the Transferee to
acquire such residual interest;

                                      E-1-4

<PAGE>

     B. the present value of the expected future distributions on such residual
interest; and

     C. the present value of the anticipated tax savings associated with holding
such residual interest as the related REMIC generates losses.

For purposes of this declaration, (i) the Transferee is assumed to pay tax at a
rate equal to the highest rate of tax specified in Section 11(b)(1) of the Code,
but the tax rate specified in Section 55(b)(1)(B) of the Code may be used in
lieu of the highest rate specified in Section 11(b)(1) of the Code if the
Transferee has been subject to the alternative minimum tax under Section 55 of
the Code in the preceding two years and will compute its taxable income in the
current taxable year using the alternative minimum tax rate, and (ii) present
values are computed using a discount rate equal to the Federal short-term rate
prescribed by Section 1274(d) of the Code for the month of the transfer and the
compounding period used by the Transferee;]

[11. (A) at the time of the transfer, and at the close of each of the
     Transferee's two fiscal years preceding the Transferee's fiscal year of
     transfer, the Transferee's gross assets for financial reporting purposes
     exceed $100 million and its net assets for financial reporting purposes
     exceed $10 million; and

     (B)  the Transferee is an eligible corporation as defined in Treasury
          regulations Section 1.860E-1(c)(6)(i) and has agreed in writing that
          any subsequent transfer of the Class R Certificate will be to another
          eligible corporation in a transaction that satisfies Treasury
          regulation Sections 1.860E-1(c)(4)(i), 1.860E-1(c)(4)(ii),
          1.860E-1(c)(4)(iii) and 1.860E-1(c)(5) and such transfer will not be a
          direct or indirect transfer to a foreign permanent establishment
          (within the meaning of an applicable income tax treaty) of a domestic
          corporation.

For purposes of this declaration, the gross and net assets of the Transferee do
not include any obligation of any related person as defined in Treasury
regulation Section 1.860E-1(c)(6)(ii) or any other asset if a principal purpose
for holding or acquiring the other asset is to permit the Transferee to make
this declaration or to satisfy the requirements of Treasury regulation Section
1.860E-1(c)(5)(i).]

12. The Transferee will not cause income from the Class R Certificate to be
attributable to a foreign permanent establishment or fixed base (within the
meaning of an applicable income tax treaty) of the Transferee or another U.S.
taxpayer.

For purpose of this affidavit, the term "disqualified organization" means the
United States, any state or political subdivision thereof, any foreign
government, any international organization, any agency or instrumentality of any
of the foregoing (except any entity treated as other than an instrumentality of
the foregoing for purposes of Section 168(h)(2)(D) of the Internal Revenue Code
of 1986, as amended (the "Code")), any organization (other than a cooperative
described in Section 521 of the Code) that is exempt from taxation under the
Code (unless such organization is subject to tax on excess inclusions) and any
organization that is described in Section 1381(a)(2)(C) of the Code and the term
"U.S. Person" means a citizen or resident of the United States, a corporation or
partnership (unless, in the case of a partnership, Treasury regulations are
adopted that provide otherwise) created or organized in or under the laws of the
United States, any state thereof or the District of Columbia, including an
entity treated as a corporation or partnership for federal income tax purposes,
an estate whose income is subject to Unites States federal income tax regardless
of its source, or a trust if a court within the United States is able to
exercise primary

                                      E-1-5

<PAGE>

supervision over the administration of such trust, and one or more such U.S.
Persons have the authority to control all substantial decisions of such trust,
(or, to the extent provided in applicable Treasury regulations, certain trusts
in existence on August 20, 1996 which are eligible to elect to be treated as
U.S. Persons).

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

     Address of Investor for receipt of distribution: __________________________

     Address of Investor for receipt of tax information: _______________________

     (Corporate Seal) __________________________________________________________

     Attest: ___________________________________________________________________

_____________________________________________________________________, Secretary

                                      E-1-6

<PAGE>

Personally appeared before me the above-named ______________, known or proved to
me to be the same person who executed the foregoing instrument and to be the
_______ of the Investor, and acknowledged to me that he executed the same as his
free act and deed and the free act and deed of the Investor.

Subscribed and sworn before me this day of ,____________________________________
200_ .

Notary Public

County of
State of
My commission expires the ________ day of ______________

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

Dated:
       ------------

                                      E-1-7

<PAGE>

                                   EXHIBIT E-2

                         FORM OF TRANSFEROR'S AFFIDAVIT

                                     [DATE]

LaSalle Bank National Association
135 South LaSalle Street
Suite 1511
Chicago, Illinois 60603

Attention: Global Securities and Trust Services - Merrill Lynch First Franklin
           Mortgage Loan Trust, Series 2007-3

Re:  Merrill Lynch First Franklin Mortgage Loan Trust, Mortgage Loan
     Asset-Backed Certificates, Series 2007-3

          _______________________ (the "Transferor") has reviewed the attached
affidavit of _____________________________ (the "Transferee"), and has no actual
knowledge that such affidavit is not true, and has no reason to believe that the
Transferee has the intention to impede the assessment or collection of any
federal, state or local taxes legally required to be paid with respect to the
Class R Certificate referred to in the attached affidavit. In addition, the
Transferor has conducted a reasonable investigation at the time of the transfer
and found that the Transferee had historically paid its debts as they came due
and found no significant evidence to indicate that the Transferee will not
continue to pay its debts as they become due.

                                        ----------------------------------------
                                        Very truly yours,

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

                                      E-2-1

<PAGE>

                                    EXHIBIT F

                         FORM OF TRANSFEROR CERTIFICATE

                                     [DATE]

LaSalle Bank National Association
135 South LaSalle Street
Suite 1511
Chicago, Illinois 60603

Attention: Global Securities and Trust Services - Merrill Lynch First Franklin
           Mortgage Loan Trust, Series 2007-3

RE:  Merrill Lynch First Franklin Mortgage Loan Trust, Mortgage Loan
     Asset-Backed Certificates, Series 2007-3

Ladies and Gentlemen:

          In connection with our disposition of the Class [____] Certificate, we
certify that (a) we understand that the Certificates have not been registered
under the Securities Act of 1933, as amended (the "Act"), and are being disposed
by us in a transaction that is exempt from the registration requirements of the
Act and (b) we have not offered or sold any Certificates to, or solicited offers
to buy any Certificates from, any person, or otherwise approached or negotiated
with any person with respect thereto, in a manner that would be deemed, or taken
any other action that would result in, a violation of Section 5 of the Act. All
capitalized terms used herein but not defined herein shall have the meanings
assigned to them in the Pooling and Servicing Agreement, dated as of May 1,
2007, among Merrill Lynch Mortgage Investors, Inc., as depositor, LaSalle Bank
National Association, as trustee, and Home Loan Services, Inc., as servicer.

Very truly yours,

-------------------------------------
Name of Transferor

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

                                       F-1

<PAGE>

                                    EXHIBIT G

                            FORM OF INVESTMENT LETTER
                              (ACCREDITED INVESTOR)

                                     [DATE]

LaSalle Bank National Association
135 South LaSalle Street
Suite 1511
Chicago, Illinois 60603

Attention: Global Securities and Trust Services - Merrill Lynch First Franklin
           Mortgage Loan Trust, Series 2007-3

     Re:  Merrill Lynch First Franklin Mortgage Loan Trust, Mortgage Loan
          Asset-Backed Certificates, Series 2007-3

Ladies and Gentlemen:

          ______________ (the "Purchaser") intends to purchase from
________________ (the "Transferor") $_______ by original principal balance (the
"Transferred Certificates") of Merrill Lynch First Franklin Mortgage Loan Trust,
Mortgage Loan Asset-Backed Certificates, Series 2007-3, Class [____] (the
"Certificates"), issued pursuant to a Pooling and Servicing Agreement, dated as
of May 1, 2007 (the "Pooling and Servicing Agreement"), among Merrill Lynch
Mortgage Investors, Inc., as depositor (the "Depositor"), LaSalle Bank National
Association, as trustee (the "Trustee"), Home Loan Services, Inc., as servicer
(the "Servicer"). [The Purchaser intends to register the Transferred Certificate
in the name of ____________________, as nominee for _________________.] All
terms used and not otherwise defined herein shall have the meanings set forth in
the Pooling and Servicing Agreement.

          For good and valuable consideration, the receipt and sufficiency of
which is hereby acknowledged, the Purchaser certifies, represents and warrants
to, and covenants with, the Depositor and the Trustee that:

     1. The Purchaser understands that (a) the Certificates have not been
registered or qualified under the Securities Act of 1933, as amended (the
"Securities Act"), or the securities laws of any state, (b) neither the
Depositor nor the Trustee is required, and neither of them intends, to so
register or qualify the Certificates, (c) the Certificates cannot be resold
unless (i) they are registered and qualified under the Securities Act and the
applicable state securities laws or (ii) an exemption from registration and
qualification is available and (d) the Pooling and Servicing Agreement contains
restrictions regarding the transfer of the Certificates.

     2. All Certificates other than ERISA Restricted Certificates and Class R
Certificates will bear a legend to the following effect:

          UNTIL THE TERMINATION OF THE SWAP AGREEMENT, EACH TRANSFEREE OF THIS
CERTIFICATE SHALL BE DEEMED TO REPRESENT (OR IN THE CASE OF A DEFINITIVE
CERTIFICATE, SHALL REPRESENT) TO THE TRUSTEE THAT (A) SUCH

                                       G-1

<PAGE>

TRANSFEREE IS NOT, AND IS NOT ACTING FOR, ON BEHALF OF OR WITH ANY ASSETS OF,
ANY EMPLOYEE BENEFIT PLAN OR OTHER ARRANGEMENT SUBJECT TO TITLE I OF THE
EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED ("ERISA"), OR ANY
PLAN SUBJECT TO SECTION 4975 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED
(THE "CODE"), OR (B) THE TRANSFEREE'S ACQUISITION AND HOLDING OF THIS
CERTIFICATE WILL NOT CONSTITUTE OR RESULT IN A NON-EXEMPT PROHIBITED TRANSACTION
UNDER TITLE I OF ERISA OR SECTION 4975 OF THE CODE.

     3. The Certificates (other than the Class R Certificate) will bear a legend
to the following effect:

     THIS CERTIFICATE HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933,
     AS AMENDED (THE "ACT"), THE INVESTMENT COMPANY ACT OF 1940, AS AMENDED (THE
     "1940 ACT") OR ANY STATE SECURITIES OR "BLUE SKY" LAWS, AND MAY NOT,
     DIRECTLY OR INDIRECTLY, BE SOLD OR OTHERWISE TRANSFERRED, OR OFFERED FOR
     SALE, UNLESS SUCH TRANSFER IS NOT SUBJECT TO REGISTRATION UNDER THE ACT,
     THE 1940 ACT AND ANY APPLICABLE STATE SECURITIES LAWS AND SUCH TRANSFER
     ALSO COMPLIES WITH THE OTHER PROVISIONS OF SECTION 5.02 OF THE POOLING AND
     SERVICING AGREEMENT. IF THE CERTIFICATE IS A DEFINITIVE CERTIFICATE, NO
     TRANSFER OF THIS CERTIFICATE SHALL BE MADE UNLESS THE TRUSTEE SHALL HAVE
     RECEIVED, IN FORM AND SUBSTANCE SATISFACTORY TO THE TRUSTEE (A) AN
     INVESTMENT LETTER FROM THE PROSPECTIVE INVESTOR; AND (B) REPRESENTATIONS
     FROM THE TRANSFEROR REGARDING THE OFFERING AND SALE OF THE CERTIFICATES.

     4. The ERISA Restricted Certificates will bear a legend to the following
effect:

NO TRANSFER OF THIS CERTIFICATE SHALL BE MADE UNLESS THE TRUSTEE HAS RECEIVED
(A) A REPRESENTATION THAT SUCH TRANSFEREE IS NOT AN EMPLOYEE BENEFIT PLAN
SUBJECT TO TITLE I OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS
AMENDED ("ERISA"), A PLAN SUBJECT TO SECTION 4975 OF THE INTERNAL REVENUE CODE
OF 1986, AS AMENDED (THE "CODE") OR A PLAN SUBJECT ANY TO STATE, LOCAL, FEDERAL,
NON-U.S. OR OTHER LAW SUBSTANTIVELY SIMILAR TO THE FOREGOING PROVISIONS OF ERISA
OR THE CODE ("SIMILAR LAW") (COLLECTIVELY, A "PLAN"), AND IS NOT DIRECTLY OR
INDIRECTLY ACQUIRING THIS CERTIFICATE BY, ON BEHALF OF, OR WITH ANY ASSETS OF
ANY SUCH PLAN, (B) IF THE CERTIFICATE HAS BEEN THE SUBJECT OF AN
ERISA-QUALIFYING UNDERWRITING, A REPRESENTATION THAT SUCH TRANSFEREE IS AN
INSURANCE COMPANY THAT IS ACQUIRING THE CERTIFICATE WITH ASSETS OF AN "INSURANCE
COMPANY GENERAL ACCOUNT" AS DEFINED IN SECTION V(E) OF PROHIBITED TRANSACTION
CLASS EXEMPTION ("PTCE") 95-60 AND THE ACQUISITION AND HOLDING OF THE
CERTIFICATE ARE COVERED AND EXEMPT UNDER SECTIONS I AND III OF PTCE 95-60, OR
(C) SOLELY IN THE EVENT THE CERTIFICATE IS A DEFINITIVE CERTIFICATE, AN OPINION
OF COUNSEL SATISFACTORY TO THE TRUSTEE, AND UPON WHICH THE TRUSTEE AND THE NIMS
INSURER SHALL BE ENTITLED TO RELY, TO THE EFFECT THAT THE ACQUISITION AND
HOLDING OF SUCH CERTIFICATE BY THE PROSPECTIVE TRANSFEREE WILL NOT CONSTITUTE OR
RESULT IN A NONEXEMPT PROHIBITED TRANSACTION UNDER TITLE I OF ERISA OR SECTION
4975 OF THE CODE OR A VIOLATION OF SIMILAR LAW AND WILL

                                       G-2

<PAGE>

NOT SUBJECT THE TRUSTEE, THE SERVICER OR THE DEPOSITOR TO ANY OBLIGATION IN
ADDITION TO THOSE UNDERTAKEN BY SUCH ENTITIES IN THE POOLING AND SERVICING
AGREEMENT, WHICH OPINION OF COUNSEL SHALL NOT BE AN EXPENSE OF THE TRUSTEE, THE
SERVICER, THE NIMS INSURER OR THE DEPOSITOR. IF THE CERTIFICATE IS NOT A
DEFINITIVE CERTIFICATE, THE TRANSFEREE IS DEEMED TO HAVE MADE THE REPRESENTATION
IN (A) OR (B) ABOVE.

     5. The Class R Certificate will bear a legend to the following effect:

     THIS CLASS R CERTIFICATE MAY NOT BE TRANSFERRED, EXCEPT IN ACCORDANCE WITH
     SECTION 5.02 OF THE POOLING AND SERVICING AGREEMENT AND THE HOLDER OF THIS
     CERTIFICATE BY ITS ACCEPTANCE HEREOF AGREES TO OFFER, SELL OR OTHERWISE
     TRANSFER SUCH CERTIFICATE ONLY IN ACCORDANCE WITH SECTION 5.02 OF THE
     POOLING AND SERVICING AGREEMENT. NO TRANSFER OF THIS CERTIFICATE SHALL BE
     MADE UNLESS THE TRUSTEE SHALL HAVE RECEIVED, IN FORM AND SUBSTANCE
     SATISFACTORY TO THE TRUSTEE (A) A TRANSFER AFFIDAVIT FROM THE PROSPECTIVE
     INVESTOR; AND (B) AN AFFIDAVIT FROM THE TRANSFEROR REGARDING THE OFFERING
     AND SALE OF THE CERTIFICATE.

     NO TRANSFER OF THIS CERTIFICATE SHALL BE REGISTERED UNLESS THE PROSPECTIVE
     TRANSFEREE PROVIDES THE TRUSTEE WITH A REPRESENTATION THAT SUCH TRANSFEREE
     IS NOT AN EMPLOYEE BENEFIT PLAN SUBJECT TO TITLE I OF THE EMPLOYEE
     RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED ("ERISA"), A PLAN
     SUBJECT TO SECTION 4975 OF THE CODE OR A PLAN SUBJECT TO STATE, LOCAL,
     FEDERAL, NON-U.S. OR OTHER LAW SUBSTANTIVELY SIMILAR TO THE FOREGOING
     PROVISIONS OF ERISA OR THE CODE ("SIMILAR LAW"), AND IS NOT DIRECTLY OR
     INDIRECTLY ACQUIRING THIS CERTIFICATE BY, ON BEHALF OF, OR WITH ANY ASSETS
     OF ANY SUCH PLAN.

     6. The Purchaser is acquiring the Transferred Certificates for its own
account [FOR INVESTMENT ONLY] * and not with a view to or for sale or other
transfer in connection with any distribution of the Transferred Certificates in
any manner that would violate the Securities Act or any applicable state
securities laws, subject, nevertheless, to the understanding that disposition of
the Purchaser's property shall at all times be and remain within its control.

     7. The Purchaser (a) is a substantial, sophisticated institutional investor
having such knowledge and experience in financial and business matters, and in
particular in such matters related to securities similar to the Certificates,
such that it is capable of evaluating the merits and risks of investment in the
Certificates, (b) is able to bear the economic risks of such an investment and
(c) is an "accredited investor" within the meaning of Rule 501(a) promulgated
pursuant to the Securities Act.

     8. The Purchaser will not nor has it authorized nor will it authorize any
person to (a) offer, pledge, sell, dispose of or otherwise transfer any
Certificate, any interest in any Certificate or any other similar security to
any person in any manner, (b) solicit any offer to buy or to accept a pledge,
disposition or other transfer of any Certificate, any interest in any
Certificate or any other similar security from any

----------
*    Not required of a broker/dealer purchaser.

                                       G-3

<PAGE>

person in any manner, (c) otherwise approach or negotiate with respect to any
Certificate, any interest in any Certificate or any other similar security with
any person in any manner, (d) make any general solicitation by means of general
advertising or in any other manner, or (e) take any other action, that would
constitute a distribution of any Certificate under the Securities Act or the
Investment Company Act of 1940, as amended (the "1940 Act"), that would render
the disposition of any Certificate a violation of Section 5 of the Securities
Act or any state securities law, or that would require registration or
qualification pursuant thereto. Neither the Purchaser nor anyone acting on its
behalf has offered the Certificates for sale or made any general solicitation by
means of general advertising or in any other manner with respect to the
Certificates. The Purchaser will not sell or otherwise transfer any of the
Certificates, except in compliance with the provisions of the Pooling and
Servicing Agreement.

     9. Either (i) the Purchaser of a Certificate that is neither an ERISA
Restricted Certificate nor a Class R Certificate is not, and is not acting for,
on behalf of or with any assets of, an employee benefit plan or other
arrangement subject to Title I of the Employee Retirement Income Security Act of
1974, as amended ("ERISA") or plan subject to Section 4975 of the Code, or (ii)
until the termination of the Swap Agreement, such Purchaser's acquisition and
holding of such Certificates will not constitute or result in a non-exempt
prohibited transaction under Title I of ERISA or Section 4975 of the Code.

     10. The Purchaser of an ERISA Restricted Certificate (A) is not an employee
benefit plan subject to Title I of ERISA, a plan subject to Section 4975 of the
Code, a plan subject to any state, local, federal, non-U.S. or other law
substantively similar to the foregoing provisions of ERISA or the Code ("Similar
Law") and is not directly or indirectly acquiring such Certificates by, on
behalf of, or with any assets of any such plan, or (B) if the Certificate has
been the subject of an ERISA-Qualifying Underwriting, is an insurance company
that is acquiring the Certificate with assets of an "insurance company general
account," as defined in Section V(e) of Prohibited Transaction Class Exemption
("PTCE") 95-60, and the acquisition and holding of the Certificate are covered
and exempt under Sections I and III of PTCE 95-60, or (C) solely in the event
the Certificate is a Definitive Certificate, herewith delivers an Opinion of
Counsel satisfactory to the Trustee, and upon which the Trustee and the NIMs
Insurer shall be entitled to rely, to the effect that the acquisition and
holding of the Certificate will not constitute or result in a nonexempt
prohibited transaction under Title I of ERISA or Section 4975 of the Code, or a
violation of Similar Law, and will not subject the Trustee, the Servicer, the
NIMs Insurer or the Depositor to any obligation in addition to those expressly
undertaken in the Pooling and Servicing Agreement, which Opinion of Counsel
shall not be an expense of the Trustee, the Servicer or the Depositor.

     11. The Purchaser of a Class R Certificate is not an employee benefit plan
subject to Title I of ERISA, a plan subject to Section 4975 of the Code, a plan
subject to any state, local, federal, non-U.S. or other law substantively
similar to the foregoing provisions of ERISA or the Code ("Similar Law"), or a
Person directly or indirectly acquiring such Certificate by, on behalf of, or
with any assets of any such plan.

     12. Prior to the sale or transfer by the Purchaser of any of the
Certificates, the Purchaser will obtain from any subsequent purchaser
substantially the same certifications, representations, warranties and covenants
contained in the foregoing paragraphs and in this letter or a letter
substantially in the form of Exhibit H to the Pooling and Servicing Agreement.

                                       G-4

<PAGE>

     13. The Purchaser agrees to indemnify the Trustee, the Servicer and the
Depositor against any liability that may result from any misrepresentation made
herein.

                                        Very truly yours,

                                        [PURCHASER]

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

                                       G-5

<PAGE>

                                    EXHIBIT H

                       FORM OF RULE 144A INVESTMENT LETTER
                         (QUALIFIED INSTITUTIONAL BUYER)

                                     [DATE]

LaSalle Bank National Association
135 South LaSalle Street
Suite 1511
Chicago, Illinois 60603

Attention: Global Securities and Trust Services - Merrill Lynch First Franklin
           Mortgage Loan Trust,
           Series 2007-3

     Re:  Merrill Lynch First Franklin Mortgage Loan Trust, Mortgage Loan
          Asset-Backed Certificates, Series 2007-3

Ladies and Gentlemen:

          ______________ (the "Purchaser") intends to purchase from
________________ (the "Transferor") $_______ by original principal balance (the
"Transferred Certificates") of Merrill Lynch First Franklin Mortgage Loan Trust,
Mortgage Loan Asset-Backed Certificates, Series 2007-3, Class [____] (the
"Certificates"), issued pursuant to a Pooling and Servicing Agreement, dated as
of May 1, 2007 (the "Pooling and Servicing Agreement"), among Merrill Lynch
Mortgage Investors, Inc., as depositor (the "Depositor"), LaSalle Bank National
Association, as trustee (the "Trustee"), Home Loan Services, Inc., as servicer
(the "Servicer"). [THE PURCHASER INTENDS TO REGISTER THE TRANSFERRED CERTIFICATE
IN THE NAME OF ____________________, AS NOMINEE FOR _________________.] All
terms used and not otherwise defined herein shall have the meanings set forth in
the Pooling and Servicing Agreement.

          For good and valuable consideration, the receipt and sufficiency of
which is hereby acknowledged, the Purchaser certifies, represents and warrants
to, and covenants with, the Depositor and the Trustee that:

          In connection with our acquisition of the above Transferred
Certificates we certify that (a) we understand that the Certificates are not
being registered under the Securities Act of 1933, as amended (the "Act"), or
any state securities laws and are being transferred to us in a transaction that
is exempt from the registration requirements of the Act and any such laws, (b)
we have such knowledge and experience in financial and business matters that we
are capable of evaluating the merits and risks of investments in the
Certificates, (c) we have had the opportunity to ask questions of and receive
answers from the Depositor concerning the purchase of the Transferred
Certificates and all matters relating thereto or any additional information
deemed necessary to our decision to purchase the Transferred Certificates, (d)
solely in the case of a Certificate other than an ERISA Restricted Certificate
or Class R Certificate, either (i) we are not, and are not acquiring the
Certificate for, on behalf of or with any assets of, any employee benefit plan
or other arrangement subject to Title I of ERISA or any plan subject to Section

                                       H-1

<PAGE>

4975 of the Code, or (ii) until the termination of the Swap Agreement, our
acquisition and holding of the Certificate will not constitute or result in a
non-exempt prohibited transaction under Title I of ERISA or Section 4975 of the
Code, (e)solely with respect to ERISA Restricted Certificates, (A) we are not an
employee benefit plan subject to Title I of the Employee Retirement Income
Security Act of 1974, as amended ("ERISA"), a plan subject to Section 4975 of
the Internal Revenue Code of 1986, as amended (the "Code"), a plan subject to
any state, local, federal, non-U.S. or other law substantively similar to the
foregoing provisions of ERISA or the Code ("Similar Law"), or Persons directly
or indirectly acting on behalf of or using any assets of any such plan, or (B),
if the Certificate has been the subject of an ERISA-Qualifying Underwriting, we
are an insurance company that is acquiring the Certificate with assets of an
"insurance company general account," as defined in Section V(e) of Prohibited
Transaction Class Exemption ("PTCE") 95-60, and the acquisition and holding of
the Certificate are covered and exempt under Sections I and III of PTCE 95-60,
or (C) solely in the event the Certificate is a Definitive Certificate, we will
herewith deliver an Opinion of Counsel satisfactory to the Trustee, and upon
which the Trustee and the NIMs Insrurer shall be entitled to rely, to the effect
that the acquisition and holding of the Certificate will not constitute or
result in a nonexempt prohibited transaction under Title I of ERISA or Section
4975 of the Code, or a violation of Similar Law, and will not subject the
Trustee, the Servicer, the NIMs Insurer or the Depositor to any obligation in
addition to those expressly undertaken in the Pooling and Servicing Agreement,
which Opinion of Counsel shall not be an expense of the Trustee, the Servicer or
the Depositor, (f) we have not, nor has anyone acting on our behalf offered,
transferred, pledged, sold or otherwise disposed of the Certificates, any
interest in the Certificates or any other similar security to, or solicited any
offer to buy or accept a transfer, pledge or other disposition of the
Certificates, any interest in the Certificates or any other similar security
from, or otherwise approached or negotiated with respect to the Certificates,
any interest in the Certificates or any other similar security with, any person
in any manner, or made any general solicitation by means of general advertising
or in any other manner, or taken any other action, that would constitute a
distribution of the Certificates under the Securities Act or that would render
the disposition of the Certificates a violation of Section 5 of the Securities
Act or require registration pursuant thereto, nor will act, nor has authorized
or will authorize any person to act, in such manner with respect to the
Certificates, and (g) we are a "qualified institutional buyer" as that term is
defined in Rule 144A under the Securities Act and have completed one of the
forms of certification to that effect attached hereto as Annex 1 or Annex 2. We
are aware that the sale of the Transferred Certificates to us is being made in
reliance on Rule 144A. We are acquiring the Transferred Certificates for our own
account or for resale pursuant to Rule 144A and further understand that such
Certificates may be resold, pledged or transferred only (i) to a person
reasonably believed by us, based upon certifications of such purchaser or
information we have in our possession, to be a qualified institutional buyer
that purchases for its own account or for the account of a qualified
institutional buyer to whom notice is given that the resale, pledge or transfer
is being made in reliance on Rule 144A, or (ii) pursuant to another exemption
from registration under the Securities Act.

                                       H-2

<PAGE>

          We agree to indemnify the Trustee, the Servicer and the Depositor
against any liability that may result from any misrepresentation made herein.

Very truly yours,

[PURCHASER]

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

                                       H-3

<PAGE>

                                                                         ANNEX 1

            QUALIFIED INSTITUTIONAL BUYER STATUS UNDER SEC RULE 144A

          [FOR TRANSFEREES OTHER THAN REGISTERED INVESTMENT COMPANIES]

          The undersigned (the "Buyer") hereby certifies as follows to the
parties listed in the Rule 144A Transferee Certificate to which this
certification relates with respect to the Certificates described therein:

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

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

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

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

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

          ____ Broker-dealer. The Buyer is a dealer registered pursuant to
               Section 15 of

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

                                       H-4

<PAGE>

               the Securities Exchange Act of 1934, as amended.

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

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

          ____ ERISA Plan. The Buyer is an employee benefit plan subject to
               Title I of the Employee Retirement Income Security Act of 1974,
               as amended.

          ____ Investment Advisor. The Buyer is an investment advisor
               registered under the Investment Advisors Act of 1940, as amended.

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

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

     3. The term "securities" as used for purposes of the calculation of the
dollar amount in paragraph 2 excludes: (i) securities of issuers that are
affiliated with the Buyer, (ii) securities that are part of an unsold allotment
to or subscription by the Buyer, if the Buyer is a dealer, (iii) securities
issued or guaranteed by the U.S. or any instrumentality thereof, (iv) bank
deposit notes and certificates of deposit, (v) loan participations, (vi)
repurchase agreements, (vii) securities owned but subject to a repurchase
agreement and (viii) currency, interest rate and commodity swaps.

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

                                       H-5

<PAGE>

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

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

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

                                        Date:
                                              ---------------------------------

                                       H-6

<PAGE>

                                                                         ANNEX 2

            QUALIFIED INSTITUTIONAL BUYER STATUS UNDER SEC RULE 144A

           [FOR TRANSFEREES THAT ARE REGISTERED INVESTMENT COMPANIES]

          The undersigned (the "Buyer") hereby certifies as follows to the
parties listed in the Rule 144A Transferee Certificate to which this
certification relates with respect to the Certificates described therein:

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

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

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

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

     3. The term "Family of Investment Companies" as used herein means two or
more registered investment companies (or series thereof) that have the same
investment adviser or investment advisers that are affiliated (by virtue of
being majority owned subsidiaries of the same parent or because one investment
adviser is a majority owned subsidiary of the other).

     4. The term "securities" as used herein does not include (i) securities of
issuers that are affiliated with the Buyer or are part of the Buyer's Family of
Investment Companies, (ii) securities issued or guaranteed by the U.S. or any
instrumentality thereof, (iii) bank deposit notes and certificates of deposit,
(iv) loan participations, (v) repurchase agreements, (vi) securities owned but
subject to a repurchase agreement and (vii) currency, interest rate and
commodity swaps.

                                       H-7

<PAGE>

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

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

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

                                        IF AN ADVISER:
                                                       -------------------------

                                        ----------------------------------------
                                        Print Name of Buyer

                                        Date:
                                              --------------

                                       H-8

<PAGE>

                                    EXHIBIT I

                           FORM OF REQUEST FOR RELEASE

                                     [DATE]

To:  LaSalle Bank National Association
     135 South LaSalle Street
     Suite 1511
     Chicago, Illinois 60603
     Attention: Account Manager--FFMER 2007-3

Re:  Merrill Lynch First Franklin Mortgage Loan Trust, Mortgage Loan
     Asset-Backed Certificates, Series 2007-3

          In connection with the administration of the Mortgage Loans held by
you, as Trustee, pursuant to the Pooling and Servicing Agreement, dated as of
May 1, 2007, among Merrill Lynch Mortgage Investors, Inc., as depositor, LaSalle
Bank National Association, as Trustee, Home Loan Services, Inc., as servicer
(the "Pooling and Servicing Agreement"), we request the release, and hereby
acknowledge receipt, of the Mortgage File for the Mortgage Loan described below,
for the reason indicated.

Mortgage Loan Number: _______________

Mortgagor Name, Address & Zip Code: ____________________________________________

Reason for Requesting Documents (check one): ___________________________________

_________ 1. Mortgage Paid in Full

_________ 2. Foreclosure

_________ 3. Substitution

_________ 4. Other Liquidation (Repurchases, etc.)

_________ 5. Nonliquidation

_________ 6. Other Reason:

Address to which the Trustee should deliver the Mortgage File:

                                        By:
                                            ------------------------------------
                                            (authorized signer)
                                        Address:
                                                 -------------------------------
                                        Date:
                                              ----------------------------------

                                       I-1

<PAGE>

If box 1 or 2 above is checked, and if all or part of the Mortgage File was
previously released to us, please release to us our previous receipt on file
with you, as well as any additional documents in your possession relating to the
above specified Mortgage Loan.

If box 3, 4, 5 or 6 above is checked, upon our return of all of the above
documents to you as Trustee, please acknowledge your receipt by signing in the
space indicated below, and returning this form.

Please acknowledge the execution of the above request by your signature and date
below:

LASALLE BANK NATIONAL ASSOCIATION
as Trustee

By:
    ---------------------------------   -----------------
    Signature                           Date

Documents returned to Trustee: _________________________________________________

By:
    ---------------------------------   -----------------
    Signature                           Date

                                       I-2

<PAGE>

                                    EXHIBIT J

                                   [RESERVED]

                                       J-1

<PAGE>

                                    EXHIBIT K

                    FORM OF BACK-UP CERTIFICATION OF TRUSTEE

                                     [DATE]

Merrill Lynch Mortgage Investors, Inc.
250 Vesey Street
4 World Financial Center, 10th Floor
New York, New York 10080

Home Loan Services, Inc.
150 Allegheny Center Mall
Pittsburgh, Pennsylvania 15212

Re:  Pooling and Servicing Agreement (the "Agreement"), dated as of May 1, 2007,
     among Merrill Lynch Mortgage Investors, Inc., as depositor, Home Loan
     Services, Inc., as servicer, and LaSalle Bank National Association, as
     trustee, relating to Merrill Lynch First Franklin Mortgage Loan Trust,
     Mortgage Loan Asset-Backed Certificates, Series 2007-3

          The Trustee hereby certifies to the Depositor, the Servicer and their
officers, directors and affiliates, and with the knowledge and intent that they
will rely upon this certification, that:

          (1) I have reviewed the annual report on Form 10-K for the fiscal year
[2007] (the "Annual Report"), and all reports on Form 8-K (if any) and on Form
10-D required to be filed in respect of the period covered by the Annual Report
(collectively with the Annual Report, the "Reports"), of the Issuing Entity;

          (2) To the best of my knowledge, and assuming the accuracy of the
statements required to be made or data required to be delivered by the Servicer
and Depositor (to the extent that such statements or data were received by the
Trustee and are relevant to the statements made by the Trustee in this Back-Up
Certification), the information in the Reports relating to the trustee, 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 light of the
circumstances under which such statements were made, not misleading with respect
to the period covered by the Annual Report;

          (3) To the best of my knowledge, and assuming the accuracy of the
statements required to be made or data required to be delivered by the Servicer
and Depositor (to the extent that such statements or data were received by the
Trustee and are relevant to the statements made by the Trustee in this Back-Up
Certification), the distribution and any other information required to be
provided by the Trustee (other than information provided by or on behalf of the
Servicer, the Depositor or other third party) to the Depositor and each Servicer
under the Pooling and Servicing Agreement for inclusion in the Reports is
included in the Reports; and

                                       K-1

<PAGE>

          (4) The report on assessment of compliance with servicing criteria for
asset-backed securities of the Trustee and its related attestation report on
assessment of compliance with servicing criteria required to be included in the
Annual Report in accordance with Item 1122 of Regulation AB and Exchange Act
Rules 13a-18 and 15d-18 has been included as an exhibit to the Annual Report.
Any material instances of non-compliance are described in such report and have
been disclosed in the Annual Report.

LaSalle Bank National Association,
as Trustee

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

                                       K-2

<PAGE>

                                    EXHIBIT L

                    FORM OF OFFICER'S CERTIFICATE OF SERVICER

                                     [DATE]

Merrill Lynch Mortgage Investors, Inc.
250 Vesey Street
4 World Financial Center, 10th Floor
New York, New York 10080

Re:  Merrill Lynch First Franklin Mortgage Loan Trust, Mortgage Loan
     Asset-Backed Certificates, Series 2007-3

          Home Loan Services, Inc. (the "Servicer") certifies to the Depositor
and the Trustee, and their officers, directors and affiliates, and with the
knowledge and intent that they will rely upon this certification, that:

          (1) I am responsible for reviewing the activities performed by the
Servicer under the Pooling and Servicing Agreement and I have reviewed, or
persons under my supervision have reviewed, the servicer compliance statement of
the Servicer and the compliance statements of each Sub-Servicer, if any, engaged
by the Servicer provided to the Depositor and the Trustee for the Issuing
Entity's fiscal year [___] in accordance with Item 1123 of Regulation AB (each a
"Compliance Statement"), the report on assessment of the Servicer's compliance
with the servicing criteria set forth in Item 1122(d) of Regulation AB (the
"Servicing Criteria") and reports on assessment of compliance with servicing
criteria for asset-backed securities of the Servicer and of each Sub-Servicer
[or Subcontractor], if any, engaged or utilized by the Servicer provided to the
Depositor and the Trustee for the Issuing Entity's fiscal year [___] in
accordance with Rules 13a-18 and 15d-18 under Securities Exchange Act of 1934,
as amended (the "Exchange Act") and Item 1122 of Regulation AB (each a
"Servicing Assessment"), 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 related to each Servicing Assessment
(each a "Attestation Report"), and all servicing reports, officer's certificates
and other information relating to the servicing of the Mortgage Loans by the
Servicer during 200[ ] that were delivered or caused to be delivered by the
Servicer pursuant to the Agreement (collectively, the "Servicing Information");

          (2) Based on my knowledge, and assuming the accuracy of the
information provided to the Servicer by third parties in connection with the
performance of the Servicer's duties under the Pooling and Servicing Agreement,
the Servicing 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 Servicing Information;

          (3) Based on my knowledge, the servicing information required to be
provided to the Trustee by the Servicer pursuant to the Pooling and Servicing
Agreement has been provided to the Trustee;

          (4) Based on my knowledge and the compliance review conducted in
preparing each Compliance Statement of the Servicer and, if applicable,
reviewing each Compliance Statement of each Sub-Servicer, if any, engaged by the
Servicer, and except as disclosed in such Compliance Statement[(s)],

                                       L-1

<PAGE>

the Servicer [(directly and through its Sub-Servicers, if any)] has fulfilled
its obligations under the Pooling and Servicing Agreement in all material
respects.

          (5) Each Servicing Assessment of the Servicer and of each Sub-Servicer
[or Subcontractor], if any, engaged or utilized by the Servicer and its related
Attestation Report required to be included in the Annual Report in accordance
with Item 1122 of Regulation AB and Exchange Act Rules 13a-18 and 15d-18 has
been provided to the Depositor and the Trustee. Any material instances of
non-compliance are described in any such Servicing Assessment or Attestation
Report.

Date:
      -----------------

Home Loan Services, Inc.,
as Servicer

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

                                       L-2
<PAGE>

                                   EXHIBIT M-1

                     FORM OF GROUP ONE CAP CORRIDOR CONTRACT

                                                     (THE BANK OF NEW YORK LOGO)

                                                             Dated: May 30, 2007

                              RATE CAP TRANSACTION

                           RE: BNY REFERENCE NO. 39366

Ladies and Gentlemen:

     The purpose of this letter agreement ("AGREEMENT") is to confirm the terms
and conditions of the rate Cap Transaction entered into on the Trade Date
specified below (the "TRANSACTION") between The Bank of New York ("BNY"), a
trust company duly organized and existing under the laws of the State of New
York, and the Trust relating to the Merrill Lynch First Franklin Mortgage Loan
Trust, Series 2007-3 (the "COUNTERPARTY"), as represented by LaSalle Bank
National Association, not in its individual capacity, but solely as Trustee
under the Pooling and Servicing Agreement, dated and effective May 1, 2007,
among Merrill Lynch Mortgage Investors, Inc., as Depositor, Home Loan Services,
Inc., as Servicer and LaSalle Bank National Association, as Trustee (the
"POOLING AND SERVICING AGREEMENT"). This Agreement, which evidences a complete
and binding agreement between you and us to enter into the Transaction on the
terms set forth below, constitutes a "CONFIRMATION" as referred to in the "ISDA
FORM MASTER AGREEMENT" (as defined below), as well as a "Schedule" as referred
to in the ISDA Form Master Agreement.

     1. FORM OF AGREEMENT. This Agreement is subject to the 2000 ISDA
Definitions (the "DEFINITIONS"), as published by the International Swaps and
Derivatives Association, Inc. ("ISDA"). Any reference to a "Swap Transaction" in
the Definitions is deemed to be a reference to a "Transaction" for purposes of
this Agreement, and any reference to a "Transaction" in this Agreement is deemed
to be a reference to a "Swap Transaction" for purposes of the Definitions. You
and we have agreed to enter into this Agreement in lieu of negotiating a
Schedule to the 1992 ISDA Master Agreement (Multicurrency--Cross Border) form
(the "ISDA FORM MASTER AGREEMENT"). An ISDA Form Master Agreement, as modified
by the Schedule terms in Paragraph 4 of this Confirmation (the "MASTER
AGREEMENT"), shall be deemed to have been executed by you and us on the date we
entered into the Transaction. For the avoidance of doubt, the Transaction
described herein shall be the sole Transaction governed by such ISDA Form Master
Agreement. Except as otherwise specified, references herein to Sections shall be
to Sections of the Master Agreement, and references to Paragraphs shall be to
paragraphs of this Agreement. Each party hereto agrees that the Master Agreement
deemed to have been executed by the parties hereto shall be the same Master
Agreement referred to in the agreement setting forth the terms of transaction
reference number 39367 and 39368. In the event of any inconsistency between the
provisions of this Agreement and the Definitions or the Master Agreement, this
Agreement shall prevail for purposes of the Transaction. Capitalized terms not
otherwise defined herein or in the Definitions or the Master Agreement shall
have the meaning defined for such term in the Pooling and Servicing Agreement.

     2. CERTAIN TERMS. The terms of the particular Transaction to which this
Confirmation relates are as follows:

<TABLE>
<S>                              <C>
   Type of Transaction:          Rate Cap

   Notional Amount:              With respect to any Calculation Period, the
                                 lesser of: (i) the amount set forth on Schedule
                                 I attached hereto for such Calculation Period
                                 and (ii) the aggregate Certificate Principal
                                 Balance of Certificate Group One (as defined in
                                 the Pooling and Servicing Agreement) for such
                                 Floating Rate Payer Payment Date.

                                 The Trustee under the Pooling and Servicing
                                 Agreement shall provide at least two (2)
                                 business days notice prior to each
</TABLE>

                                        1

<PAGE>

<TABLE>
<S>                              <C>
                                 Floating Rate Payer Payment Date for each
                                 Calculation Period to The Bank of New York if
                                 the aggregate Certificate Principal Balance of
                                 Certificate Group One is less than the Schedule
                                 I attached hereto

   Trade Date:                   May 29, 2007

   Effective Date:               May 30, 2007

   Termination Date:             November 25, 2007, subject to adjustment in
                                 accordance with the Modified Following
                                 Business Day Convention.

FLOATING AMOUNTS

   Floating Rate Payer:          BNY

   Cap Rate:                     For each Calculation Period, as set forth for
                                 such period on Schedule I attached hereto.

   Floating Rate for initial
   Calculation Period:           To be determined

   Floating Rate Day Count
   Fraction:                     Actual/360

   Floating Rate Option:         USD-LIBOR-BBA, provided, however, if the
                                 Floating Rate Option for a Calculation Period
                                 is greater than 10.81% then the Floating Rate
                                 Option for such Calculation Period shall be
                                 deemed equal to 10.81%.

   Designated Maturity:          One month

   Spread:                       Inapplicable

   Floating Rate Payer
   Period End Dates:             The 25th day of each month, beginning on June
                                 25, 2007 and ending on the Termination Date,
                                 subject to adjustment in accordance with the
                                 Modified Following Business Day Convention.

   Floating Rate Payer
   Payment Dates:                Early Payment shall be applicable. The Floating
                                 Rate Payer Payment Date shall be one (1)
                                 Business Day preceding each Floating Rate Payer
                                 Period End Date.

   Reset Dates:                  The first day of each Calculation Period

   Compounding:                  Inapplicable

   Business Days for Payments
   By both parties:              New York and Illinois

   Calculation Agent:            BNY
</TABLE>

     3.   ADDITIONAL PROVISIONS:

     1) RELIANCE. Each party hereto is hereby advised and acknowledges that the
other party has engaged in (or refrained from engaging in) substantial financial
transactions and has taken (or refrained from taking) other material actions in
reliance upon the entry by the parties into the Transaction being entered into
on the terms and conditions set forth herein.

     2) TRANSFER, AMENDMENT AND ASSIGNMENT. No transfer, amendment, waiver,
supplement, assignment or other modification of this Transaction shall be
permitted by either party unless each of Standard & Poor's Ratings Service, a
division of The McGraw-Hill Companies, Inc ("S&P") and

                                        2

<PAGE>

Moody's Investors Service, Inc. ("MOODY'S"), has been provided notice of the
same and confirms in writing (including by facsimile transmission) that it will
not downgrade, qualify, withdraw or otherwise modify its then-current ratings on
classes of Certificates in Certificate Group One issued under the Pooling and
Servicing Agreement (the "CERTIFICATES").

     4. PROVISIONS DEEMED INCORPORATED IN A SCHEDULE TO THE MASTER AGREEMENT:

     1) NO PAYMENT NETTING AMONG TRANSACTIONS; MODIFICATION OF SECTION
2(A)(III)(1). The parties agree that subparagraph (ii) of Section 2(c) of the
ISDA Form Master Agreement will apply to this Transaction. Section 2(a)(iii)(1)
is amended by deleting "or Potential Event of Default".

     2) TERMINATION PROVISIONS. For purposes of the Master Agreement:

     (a) "SPECIFIED ENTITY" in relation to BNY or the Counterparty shall mean:
     none.

     (b) "SPECIFIED TRANSACTION" will have the meaning specified in Section 14.

     (c) APPLICABILITY. The following provisions apply or do not apply to the
     parties as specified below:

          (i)  Section 5(a)(i) (FAILURE TO PAY OR DELIVER):

               (A)  will apply to BNY; and

               (B)  will apply to the Counterparty.

          (ii) Section 5(a)(ii) (BREACH OF AGREEMENT):

               (A)  will apply to BNY; and

               (B)  will not apply to the Counterparty.

          (iii) Section 5(a)(iii) (CREDIT SUPPORT DEFAULT):

               (A)  will apply to BNY; and

               (B)  will not apply to the Counterparty.

          (iv) Section 5(a)(iv) (MISREPRESENTATION):

               (A)  will apply to BNY; and

               (B)  will not apply to the Counterparty.

          (v)  Section 5(a)(v) (DEFAULT UNDER SPECIFIED TRANSACTION):

               (A)  will not apply to BNY; and

               (B)  will not apply to the Counterparty.

          (vi) Section 5(a)(vi) (CROSS DEFAULT):

               (A)  will apply to BNY; and

               (B)  will not apply to the Counterparty.

               For the purposes of Section 5(a)(vi):

               "SPECIFIED INDEBTEDNESS" will have the meaning specified in
               Section 14, except that it shall not include indebtedness in
               respect of deposits received.

               "THRESHOLD AMOUNT" means, 3% of consolidated shareholders equity
               of BNY and its subsidiaries determined in accordance with
               generally accepted accounting principles of the United States
               consistently applied as of the last day of the fiscal quarter
               ended immediately prior to the occurrence or existence of an
               event for which a Threshold Amount is applicable under Section
               5(a)(vi).

          (vii) Section 5(a)(vii) (BANKRUPTCY):

               (A)  will apply to BNY; and

                                        3

<PAGE>

               (B)  will not apply to the Counterparty with respect to
               subclauses (2), (4) (but only if the proceeding or petition is
               instituted or presented by BNY or its affiliates), (7), (8) (but
               subclause (8) will not apply to the Counterparty only to the
               extent that subclauses (2), (4) and (7) do not apply to the
               Counterparty) and (9) of Section 5(a)(vii), and the remaining
               provisions of Section 5(a)(vii) will apply to the Counterparty;
               and in subclause (6) the words "trustee" and "custodian" will not
               include the Trustee and the words "seeks or" will be deleted.

          (viii) Section 5(a)(viii) (MERGER WITHOUT ASSUMPTION):

               (A) will apply to BNY; and

               (B) will apply to the Counterparty.

          (ix) Section 5(b)(i) (ILLEGALITY):

               (A) will apply to BNY; and

               (B) will apply to the Counterparty.

          (x)  Section 5(b)(ii) (TAX EVENT):

               (A) will apply to BNY; and

               (B) will apply to the Counterparty;

               provided that the words "(x) any action taken by a taxing
               authority, or brought in a court of competent jurisdiction, on or
               after the date on which a Transaction is entered into (regardless
               of whether such action is taken or brought with respect to a
               party to this Agreement) or (y)" shall be deleted.

          (xi) Section 5(b)(iii) (TAX EVENT UPON MERGER):

               (A) will apply to BNY, provided, that BNY shall not be entitled
               to designate an Early Termination Date by reason of a Tax Event
               upon Merger in respect of which it is the Affected Party; and

               (B) will apply to the Counterparty.

          (xii) Section 5(b)(iv) (CREDIT EVENT UPON MERGER):

               (A) will not apply to BNY; and

               (B) will not apply to the Counterparty.

          (xiii) Section 5(b)(v) (ADDITIONAL TERMINATION EVENT):

               (A) will apply to BNY with respect to Paragraph 4(2)(g)(iii) and
               (iv); and

               (B) will apply to the Counterparty with respect to Paragraph
               (4)(2)(g)(i) and(ii).

     (d) The "AUTOMATIC EARLY TERMINATION" provision of Section 6(a):

               (A) will not apply to BNY; and

               (B) will not apply to the Counterparty.

     (e) PAYMENTS ON EARLY TERMINATION. For the purpose of Section 6(e), the
     Second Method and Market Quotation will apply. For such purpose, for so
     long as the Certificates are rated by Moody's, if BNY is the Affected Party
     in respect of an Additional Termination Event or a Tax Event Upon Merger or
     the Defaulting Party in respect of any Event of Default (but not, in any
     case, in respect of a Termination Event arising from an Illegality or Tax
     Event), the following provisions shall apply:

          (i) The definitions of "Market Quotation" and "Settlement Amount" are
          amended in their entirety to read as follows:

               "MARKET QUOTATION" means, with respect to one or more Terminated
               Transactions, an offer capable when made of becoming legally
               binding upon

                                        4

<PAGE>

               acceptance made by a Qualified Transferee for an amount that
               would be paid to the Counterparty (expressed as a negative
               number) or by the Counterparty (expressed as a positive number)
               in consideration of an agreement between the Counterparty and
               such Qualified Transferee to enter into a transaction with
               commercial terms substantially the same as those of this
               Agreement (save for the exclusion of provisions relating to
               Transactions that are not Terminated Transactions) (which shall
               be determined by the Counterparty, acting in a commercially
               reasonable manner), that would have the effect of preserving the
               economic equivalent for the Counterparty of any payment or
               delivery (whether the underlying obligation was absolute or
               contingent and assuming the satisfaction of each applicable
               condition precedent) by the parties under Section 2(a)(i) in
               respect of such Terminated Transactions or group of Terminated
               Transactions that would, but for the occurrence of the relevant
               Early Termination Date, have been required after that date (such
               transaction, a "REPLACEMENT TRANSACTION"). For this purpose,
               Unpaid Amounts in respect of the Terminated Transaction or group
               of Transactions are to be excluded but, without limitation, any
               payment or delivery that would, but for the relevant Early
               Termination Date, have been required (assuming satisfaction of
               each applicable condition precedent) after that Early Termination
               Date is to be included.

               "SETTLEMENT AMOUNT" means, with respect to any Early Termination
               Date, an amount (as determined by the Counterparty) equal to the
               Termination Currency Equivalent of the amount (whether positive
               or negative) of any Market Quotation for the relevant Terminated
               Transaction or group of Terminated Transactions that is accepted
               by the Counterparty so as to become legally binding, Provided
               that:

               (1) If, on the day falling ten Local Business Days after the day
               on which the Early Termination Date is designated or such later
               day as the Counterparty may specify in writing to BNY (but in
               either case no later than the Early Termination Date) (such day
               the "LATEST SETTLEMENT AMOUNT DETERMINATION DAY"), no Market
               Quotation for the relevant Terminated Transaction or group of
               Terminated Transactions has been accepted by the Counterparty so
               as to become legally binding and one or more Market Quotations
               have been made and remain capable of becoming legally binding
               upon acceptance, the Settlement Amount shall equal the
               Termination Currency Equivalent of the amount (whether positive
               or negative) of the lowest of such Market Quotations; and

               (2) If, on the Latest Settlement Amount Determination Day, no
               Market Quotation for the relevant Terminated Transaction or group
               of Terminated Transactions is accepted by the Counterparty so as
               to become legally binding and no Market Quotations have been made
               and remain capable of becoming legally binding upon acceptance,
               the Settlement Amount shall equal the Counterparty's Loss
               (whether positive or negative and without reference to any
               Un-paid amounts) for the relevant Terminated Transaction or group
               of Terminated Transactions.

          (ii) At any time on or before the Latest Settlement Amount
          Determination Day at which two or more Market Quotations remain
          capable of becoming legally binding upon acceptance, the Counterparty
          shall be entitled to accept only the lowest of such Market Quotations.

          (iii) if the Counterparty requests BNY in writing to obtain Market
          Quotations, BNY shall use its reasonable efforts to do so before the
          Latest Settlement Amount Determination Day.

          (iv) If the Settlement Amount is a negative number, Section 6(e)(i)(3)
          of this Agreement shall be deleted in its entirety and replaced with
          the following:

               "SECOND METHOD AND MARKET QUOTATION. If Second Method and Market
               Quotation apply, (1) the Counterparty shall pay to BNY an amount
               equal to the absolute value of the Settlement Amount in respect
               of the Terminated Transactions, (2) the Counterparty shall pay to
               BNY the Termination Currency

                                        5

<PAGE>

               Equivalent of the Unpaid Amounts owing to BNY and (3) BNY shall
               pay to the Counterparty the Termination Currency Equivalent of
               the Unpaid Amounts owing to the Counterparty, Provided that, (i)
               the amounts payable under (2) and (3) shall be subject to netting
               in accordance with Section 2(c) of this Agreement and (ii)
               notwithstanding any other provision of this Agreement, any amount
               payable by BNY under (3) shall not be netted-off against any
               amount payable by the Counterparty under (1)."

     (f) "TERMINATION CURRENCY" means United States Dollars.

     (g) "ADDITIONAL TERMINATION EVENT" will apply. The following shall
     constitute Additional Termination Events, and the party specified shall be
     the Affected Party with respect thereto:--

          (i) TERMINATION OF TRUST FUND. The Trust, Supplemental Interest Trust
          or Trust Fund shall be terminated pursuant to any provision of the
          Pooling and Servicing Agreement (including, without limitation, by
          completion of a successful auction termination or by exercise of the
          option to purchase and giving of notice under Sections 10.01 of the
          Pooling and Servicing Agreement). The Early Termination Date with
          respect to such Additional Termination Event shall be the Distribution
          Date upon which the Trust and the Supplemental Interest Trust or Trust
          Fund is terminated and final payment is made in respect of the
          Certificates. Each of BNY and the Counterparty may designate an Early
          Termination Date in respect of this Additional Termination Event. The
          Counterparty shall be the sole Affected Party.

          (ii) AMENDMENT OF POOLING AND SERVICING AGREEMENT. The amendment of
          the Pooling and Servicing Agreement in a manner which could have a
          material adverse affect on BNY without first obtaining the prior
          written consent of BNY (such consent not to be unreasonably withheld),
          where such consent is required under the Pooling and Servicing
          Agreement. The Counterparty shall be the sole Affected Party.

          (iii) COLLATERALIZATION OR RATINGS EVENT. A Collateralization Event or
          Ratings Event has occurred and is continuing and BNY fails to comply
          with the provisions of Paragraph 4(8)(ii) within the time periods set
          out therein; provided that an Additional Termination Event shall not
          be deemed to occur by virtue of a breach of Paragraph 4(8)(ii)(B) with
          respect to a Moody's Ratings Event unless and until such Moody's
          Ratings Event has continued for 30 or more Business Days and at least
          one Qualified Transferee has made an offer which remains capable of
          becoming legally binding upon acceptance to enter into a Permitted
          Transfer or other Replacement Transaction. BNY shall be the sole
          Affected Party. In the event that BNY has elected or is required to
          post collateral following the occurrence of a Ratings Event, then, a
          failure to post collateral in accordance with the provisions of the
          Credit Support Annex shall be subject to the provisions of Section
          5(a)(iii) and shall not be treated as an Additional Termination Event.
          Any breach of Paragraph 4(8)(ii)(A), (B) or (C) which is treated as an
          Additional Termination Event under this Paragraph 4(g)(iii) shall not
          constitute an Event of Default.

          (iv) REGULATION AB. BNY shall fail to comply with the provisions of
          Paragraph 4(9) within the time provided for therein. BNY shall be the
          sole Affected Party.

     3) TAX REPRESENTATIONS AND OTHER TAX RELATED PROVISIONS.

               (a) PAYER REPRESENTATIONS. For the purpose of Section 3(e), BNY
     and the Counterparty make the following representations:

                    It is not required by any applicable law, as modified by the
          practice of any relevant governmental revenue authority, of any
          Relevant Jurisdiction to make any deduction or withholding for or on
          account of any Tax from any payment (other than interest under Section
          2(e), 6(d)(ii) or 6(e)) to be made by it to the other party under this
          Agreement. In making this representation, it may rely on:

          (i) the accuracy of any representations made by the other party
          pursuant to Section 3(f);

                                        6

<PAGE>

          (ii) the satisfaction of the agreement contained in Section 4 (a)(i)
          or 4(a)(iii) and the accuracy and effectiveness of any document
          provided by the other party pursuant to Section 4 (a)(i) or 4(a)(iii);
          and

          (iii) the satisfaction of the agreement of the other party contained
          in Section 4(d), provided that it shall not be a breach of this
          representation where reliance is placed on clause (ii) and the other
          party does not deliver a form or document under Section 4(a)(iii) by
          reason of material prejudice of its legal or commercial position.

     (b) PAYEE REPRESENTATIONS. For the purpose of Section 3(f), BNY and the
     Counterparty make the following representations.

          (i)  The following representation will apply to BNY:

               (x) It is a "U.S. person" (as that term is used in section
               1.1441-4(a)(3)(ii) of the United States Treasury Regulations) for
               United States federal income tax purposes, (y) it is a trust
               company duly organized and existing under the laws of the State
               of New York, and (y) its U.S. taxpayer identification number is
               135160382.

          (ii) The following representation will apply to the Counterparty:

               None.

     (c) GROSS UP. Section 2(d)(i)(4) shall not apply to Counterparty as X, and
     Section 2(d)(ii) shall not apply to Counterparty as Y, such that
     Counterparty shall not be required to pay any additional amounts referred
     to therein.

     (d) INDEMNIFIABLE TAX. The definition of "Indemnifiable Tax" in Section 14
     is amended in its entirety to read as follows:

          "INDEMNIFIABLE TAX" means in relation to payments by BNY any Tax and
          in relation to payments by the Counterparty no Tax.

     4)   DOCUMENTS TO BE DELIVERED. FOR THE PURPOSE OF SECTION 4(A):

     (a)  Tax forms, documents or certificates to be delivered are:

<TABLE>
<CAPTION>
PARTY REQUIRED TO                                                                                COVERED BY SECTION 3(D)
DELIVER DOCUMENT              FORM/DOCUMENT/ CERTIFICATE         DATE BY WHICH TO BE DELIVERED        REPRESENTATION
-----------------      ---------------------------------------   -----------------------------   -----------------------
<S>                    <C>                                       <C>                             <C>
BNY and Counterparty   Any document required or reasonably       Promptly after the earlier of   Yes
                       requested to allow the other party to     (i) reasonable demand by
                       make payments under this Agreement        either party or (ii) learning
                       without any deduction or withholding      that such form or document is
                       for or on the account of any tax.         required
</TABLE>

     (b)  Other documents to be delivered are:

<TABLE>
<CAPTION>
PARTY REQUIRED TO                                                                                COVERED BY SECTION 3(D)
DELIVER DOCUMENT              FORM/DOCUMENT/ CERTIFICATE         DATE BY WHICH TO BE DELIVERED        REPRESENTATION
-----------------      ---------------------------------------   -----------------------------   -----------------------
<S>                    <C>                                       <C>                             <C>
BNY                    A certificate of an authorized officer    Upon the execution and          Yes
                       of the party, as to the incumbency and    delivery of this Agreement
                       authority of the respective officers of
                       the party signing this Agreement, any
                       relevant Credit Support Document, or
                       any Confirmation, as the case may be.

Counterparty           (i) a copy of the executed Pooling and    Upon the later of, receipt      Yes
</TABLE>

                                        7

<PAGE>

<TABLE>
<CAPTION>
PARTY REQUIRED TO                                                                                COVERED BY SECTION 3(D)
DELIVER DOCUMENT              FORM/DOCUMENT/ CERTIFICATE         DATE BY WHICH TO BE DELIVERED        REPRESENTATION
-----------------      ---------------------------------------   -----------------------------   -----------------------
<S>                    <C>                                       <C>                             <C>
                       Servicing Agreement, and (ii) an          by such party, or within 30
                       incumbency certificate verifying the      days after the date of this
                       true signatures and authority of the      Agreement
                       person or persons signing this letter
                       agreement on behalf of the
                       Counterparty.

BNY                    Legal Opinion as to enforceability of     Upon the execution and          Yes
                       this Agreement.                           delivery of this Agreement.

Counterparty           Certified copy of the Board of            Upon the execution and          Yes
                       Directors resolution (or equivalent       delivery of this Agreement.
                       authorizing documentation) which sets
                       forth the authority of each signatory
                       to the Confirmation signing on its
                       behalf and the authority of such party
                       to enter into Transactions contemplated
                       and performance of its obligations
                       hereunder.
</TABLE>

     5)   MISCELLANEOUS.

     (a)  ADDRESS FOR NOTICES: For the purposes of Section 12(a):

          ADDRESS FOR NOTICES OR COMMUNICATIONS TO BNY:

               The Bank of New York
               Swaps and Derivative Products Group
               Global Market Division
               32 Old Slip 15th Floor
               New York, New York 10286
               Attention: Steve Lawler

          with a copy to:

               The Bank of New York
               Swaps and Derivative Products Group
               32 Old Slip 16th Floor
               New York, New York 10286
               Attention: Andrew Schwartz
               Tele: 212-804-5103
               Fax: 212-804-5818/5837

               (For all purposes)

          A copy of any notice or other communication with respect to Sections 5
          or 6 should also be sent to the addresses set out below:

               The Bank of New York
               Legal Department
               One Wall Street - 10th Floor
               New York, New York 10286
               Attention: General Counsel

          ADDRESS FOR NOTICES OR COMMUNICATIONS TO THE COUNTERPARTY:

               LaSalle Bank National Association, not in its individual
               capacity, but solely as Trustee for Merrill Lynch First Franklin
               Mortgage Loan Trust, Series 2007-3
               Global Securities and Trust Services

                                        8

<PAGE>

               135 S. LaSalle Street, Suite 1511
               Chicago, Illinois 60603
               Attn: Rachel Otto
               Tel: 312-904-4839
               Fax: 312-904-1368

               With a copy to:

               Merrill Lynch Mortgage Investors, Inc.
               250 Vesey St.
               4 World Financial Center, 10th floor
               New York, NY 10080
               Attention: Alan Chan
               Telephone: 212-449-1441
               Facsimile: 212-738-1110

     (b)  PROCESS AGENT. For the purpose of Section 13(c):

          BNY appoints as its Process Agent:                Not Applicable

          The Counterparty appoints as its Process Agent:   Not Applicable

     (c) OFFICES. The provisions of Section 10(a) will not apply to this
     Agreement; neither BNY nor the Counterparty have any Offices other than as
     set forth in the Notices Section and BNY agrees that, for purposes of
     Section 6(b), it shall not in future have any Office other than one in the
     United States.

     (d)  MULTIBRANCH PARTY. For the purpose of Section 10(c):

          BNY is a Multibranch Party and will enter into each Transaction only
          through the following Office:-- New York (for all Transactions).

          The Counterparty is not a Multibranch Party.

     (e)  CALCULATION AGENT. The Calculation Agent is BNY.

               (f)  "CREDIT SUPPORT DOCUMENT" means in relation to:--

          BNY: the Credit Support Annex attached as Exhibit A hereto and any
Qualified Guaranty.

          The Counterparty: Not applicable.

     (g)  "CREDIT SUPPORT PROVIDER" means in relation to:--

          BNY: The guarantor under any Qualified Guaranty.

          Counterparty: Not Applicable

     (h) GOVERNING LAW. This Agreement will be governed by and construed in
     accordance with the laws of the State of New York without reference to
     choice of law doctrine other than New York General Obligations Law Sections
     5-1401 and 5-1402.

     (i) SEVERABILITY. If any term, provision, covenant, or condition of this
     Agreement, or the application thereof to any party or circumstance, shall
     be held to be invalid or unenforceable (in whole or in part) for any
     reason, the remaining terms, provisions, covenants, and conditions hereof
     shall continue in full force and effect as if this Agreement had been
     executed with the invalid or unenforceable portion eliminated, so long as
     this Agreement as so modified continues to express, without material
     change, the original intentions of the parties as to the subject matter of
     this Agreement and the deletion of such portion of this Agreement will not
     substantially impair the respective benefits or expectations of the
     parties. The parties shall endeavor to engage in good faith negotiations to
     replace any invalid or unenforceable term, provision, covenant or condition
     with a valid or enforceable term, provision, covenant or condition, the
     economic effect of which comes as close as possible to that of the invalid
     or unenforceable term, provision, covenant or condition.

                                        9

<PAGE>

     (j) RECORDING OF CONVERSATIONS. Each party (i) consents to the recording of
     telephone conversations between the trading, marketing and other relevant
     personnel of the parties in connection with this Agreement or any potential
     Transaction, (ii) agrees to obtain any necessary consent of, and give any
     necessary notice of such recording to, its relevant personnel and (iii)
     agrees, to the extent permitted by applicable law, that recordings may be
     submitted in evidence in any Proceedings.

     (k) WAIVER OF JURY TRIAL. Each party waives any right it may have to a
     trial by jury in respect of any Proceedings relating to this Agreement or
     any Credit Support Document.

     (l) NON-RECOURSE. Notwithstanding any provision herein or in the Master
     Agreement to the contrary, the obligations of the Counterparty hereunder
     are limited recourse obligations of the Counterparty, payable solely from
     amounts on deposit in the Corridor Contract Account created by the Trustee
     and the proceeds thereof to satisfy the Counterparty's obligations
     hereunder. In the event that the Corridor Contract Account and proceeds
     thereof should be insufficient to satisfy all claims outstanding and
     following the realization of the Corridor Contract Account and the
     distribution of the proceeds thereof in accordance with the Pooling and
     Servicing Agreement, any claims against or obligations of the Counterparty
     under the Master Agreement or any other confirmation thereunder, still
     outstanding shall be extinguished and thereafter not revive. This provision
     shall survive the expiration of this Agreement.

     (m) LIMITATION ON INSTITUTION OF BANKRUPTCY PROCEEDINGS. BNY shall not
     institute against or cause any other person to institute against, or join
     any other person in instituting against the Counterparty, the Trust or the
     trust created pursuant to the Pooling and Servicing Agreement any
     bankruptcy, reorganization, arrangement, insolvency or liquidation
     proceedings, under any federal or state bankruptcy or similar law or
     bankruptcy or similar laws of any other jurisdiction, for a period of one
     year and one day (or, if longer, the applicable preference period)
     following indefeasible payment in full of the Certificates. This provision
     shall survive the expiration of this Agreement.

     (n) REMEDY OF FAILURE TO PAY OR DELIVER. The ISDA Form Master Agreement is
     hereby amended by replacing the word "third" in the third line of Section
     5(a)(i) by the word "first".

     (o) "AFFILIATE" will have the meaning specified in Section 14 of the ISDA
     Form Master Agreement, provided that the Counterparty shall be deemed not
     to have any Affiliates for purposes of this Agreement, including for
     purposes of Section 6(b)(ii).

     (p) TRUSTEE'S CAPACITY. It is expressly understood and agreed by the
     parties hereto that insofar as this Confirmation is executed by the Trustee
     (i) this Confirmation is executed and delivered by LaSalle Bank National
     Association, not in its individual capacity but solely as Trustee pursuant
     to the Pooling and Servicing Agreement in the exercise of the powers and
     authority conferred and vested in it thereunder and pursuant to instruction
     set forth therein, (ii) each of the representations, undertakings and
     agreements herein made on behalf of the trust is made and intended not as a
     personal representation, undertaking or agreement of the Trustee but is
     made and intended for the purpose of binding only the Counterparty, (iii)
     nothing contained herein shall be construed as creating any liability of
     LaSalle Bank National Association, individually or personally, to perform
     any covenants either express or implied contained herein, all such
     liability, if any, being expressly waived by the parties hereto and by any
     person claiming by, through or under the parties hereto and (iv) under no
     circumstances will LaSalle Bank National Association, in its individual
     capacity be personally liable for the payment of any indebtedness or
     expenses or be personally liable for the breach or failure of any
     obligation, representation, warranty or covenant made or undertaken under
     this Confirmation. Nothing herein contained shall be construed as creating
     any liability on LaSalle Bank National Association, individually or
     personally, to perform any covenant either expressed or implied contained
     herein, all such liability, if any, being expressly waived by the parties
     who are signatories to this letter agreement and by any person claiming by,
     through or under such parties.

                                       10

<PAGE>

     (q) TRUSTEE'S REPRESENTATION. LaSalle Bank National Association, as
     Trustee, represents and warrants that:

          It has been directed under the Pooling and Servicing Agreement to
          enter into this letter agreement as Trustee on behalf of the
          Counterparty.

          6) ADDITIONAL REPRESENTATIONS. Section 3 is hereby amended by adding,
     at the end thereof, the following Sections 3(g), 3(h) and 3(i):

          "(g) RELATIONSHIP BETWEEN PARTIES.

          (1) NONRELIANCE. It is not relying on any statement or representation
          of the other party regarding the Transaction (whether written or
          oral), other than the representations expressly made in this Agreement
          or the Confirmation in respect of that Transaction.

          (2) EVALUATION AND UNDERSTANDING.

               (i) Each Party acknowledges that LaSalle Bank National
               Association, has been directed under the Pooling and Servicing
               Agreement to enter into this Transaction as Trustee on behalf of
               the Counterparty.

               (ii) It is acting for its own account and has the capacity to
               evaluate (internally or through independent professional advice)
               the Transaction and has made its own decision to enter into the
               Transaction; it is not relying on any communication (written or
               oral) of the other party as investment advice or as a
               recommendation to enter into such transaction; it being
               understood that information and explanations related to the terms
               and conditions of such transaction shall not be considered
               investment advice or a recommendation to enter into such
               transaction. No communication (written or oral) received from the
               other party shall be deemed to be an assurance or guarantee as to
               the expected results of the transaction; and

               (iii) It understands the terms, conditions and risks of the
               Transaction and is willing and able to accept those terms and
               conditions and to assume (and does, in fact assume) those risks,
               financially and otherwise.

          (3) NOT FIDUCIARY OR ADVISOR. The other party is not acting as a
          fiduciary or an advisor for it in respect of this Transaction.

          (h) EXCLUSION FROM COMMODITY EXCHANGE ACT. (A) It is an "eligible
          contract participant" within the meaning of Section 1a(12) of the
          Commodity Exchange Act, as amended; (B) this Agreement and each
          Transaction is subject to individual negotiation by such party; and
          (C) neither this Agreement nor any Transaction will be executed or
          traded on a "trading facility" within the meaning of Section 1a(33) of
          the Commodity Exchange Act, as amended.

          (i) SWAP AGREEMENT. Each Transaction is a "swap agreement" as defined
          in 12 U.S.C. Section 1821(e)(8)(D)(vi) and a "covered swap agreement"
          as defined in the Commodity Exchange Act (7 U.S.C. Section 27(d)(1))."

     7)   SET-OFF. All payments under this Agreement shall be made without
          set-off or counterclaim, except as provided in Section 2(c), Section 6
          or the provisions hereof relating to Market Quotation and Loss, or
          Paragraph 8 of the Credit Support Annex. Section 6(e) is amended by
          deleting the following sentence: "The amount, if any, payable in
          respect of an Early Termination Date and determined pursuant to this
          Section will be subject to any Set-off." For the avoidance of doubt,
          if more than one Transaction is entered into under this Agreement,
          nothing herein is intended to prevent the determination of a
          Settlement Amount with respect to all such Transactions pursuant to
          Section 6 (as modified hereby).

     8)   RATINGS DOWNGRADE.

          (i) DEFINITIONS. For purposes of each Transaction: (A) "RATING AGENCY
          CONDITION" means, with respect to any action taken or to be taken
          hereunder, a condition that is

                                       11

<PAGE>

          satisfied when each of Moody's and S&P (each a "RATING AGENCY", and
          the rating condition with respect to it, the "MOODY'S RATING
          CONDITION" and "S&P RATING CONDITION", respectively) has confirmed in
          writing to the Trustee that such action will not result in withdrawal,
          reduction or other adverse action with respect to any then-current
          rating by such Rating Agency of the Certificates;

          (B) "QUALIFYING RATINGS" means, with respect to the debt of any
          entity, (1) (x) a short-term unsecured and unsubordinated debt rating
          of at least "P-1", and a long-term unsecured and unsubordinated debt
          of at least "A2" (or, if it has no short-term unsecured and
          unsubordinated debt rating, a long term rating of at least "A1") by
          Moody's ("MOODY'S FIRST LEVEL QUALIFYING RATINGS"), and (y) a
          short-term unsecured and unsubordinated debt rating of at least "P-2",
          and a long-term unsecured and unsubordinated debt of at least "A3"
          (or, if it has no short-term unsecured and unsubordinated debt rating,
          a long term rating of at least "A3") by Moody's ("MOODY'S SECOND LEVEL
          QUALIFYING RATINGS"), and (2) a short-term unsecured and
          unsubordinated debt rating of at least "A-1", or if it does not have
          a short-term rating, a long-term unsecured and unsubordinated debt
          rating of at least "A+" by S&P ("S&P QUALIFYING RATINGS");

          (C) A "COLLATERALIZATION EVENT" shall occur as to BNY if, with respect
          to the ratings of the long-term and short-term unsecured and
          unsubordinated debt of both BNY (if such debt of BNY is rated) and the
          guarantor under each Qualified Guaranty (if any): (1) the short-term
          rating is reduced to "P-2" or below, or the long-term rating is
          reduced to "A3" or below or, if neither BNY nor the guarantor under
          any Qualified Guaranty has a short-term rating, the long term rating
          is reduced to "A2" or below, by Moody's (a "MOODY'S COLLATERALIZATION
          EVENT"), or (2) the short-term rating is reduced to "A-2" or below,
          or, if neither BNY nor the guarantor under any Qualified Guranty has a
          short-term rating, the long-term rating is reduced to "A" or below by
          S&P (an "S&P COLLATERALIZATION EVENT");

          (D) A "RATINGS EVENT" shall occur as to BNY if, with respect to BNY
          the ratings of the long-term and short-term unsecured and
          unsubordinated debt of both BNY (if such debt of BNY is rated) and the
          guarantor under each Qualified Guaranty (if any): (1) the short-term
          rating is withdrawn or reduced to "P-3" or below or the long-term
          rating is reduced to "Baa1" or, if neither BNY nor the guarantor under
          any Qualified Guaranty has a short-term rating, the long term rating
          is withdrawn or reduced to "Baa1" or below, by Moody's (a "MOODY'S
          RATINGS EVENT"), or (2) the short-term rating is reduced below "A-3",
          or, if neither BNY nor the guarantor under any Qualified Guaranty has
          a short-term rating, the long term rating is withdrawn or reduced to
          "BB+" or below, by S&P (an "S&P RATINGS EVENT");

          (E) "QUALIFIED TRANSFEREE" means a transferee of a novation or
          assignment or a party (other than the Counterparty) that enters into
          another form of Replacement Transaction that is a Reference
          Market-maker ("dealer" in the definition thereof meaning a "dealer in
          notional principal contracts" as defined in Treas. Reg. Section
          1.1001-4) (1) that has Moody's Second Level Qualifying Ratings and S&P
          Qualifying Ratings or (2) whose present and future obligations owing
          to the Counterparty are guaranteed pursuant to a Qualified Guaranty;
          and

          (F) "QUALIFIED GUARANTY" means an unconditional and irrevocable
          guaranty of payment (and not of collection) and the performance of the
          other obligations of BNY (or a Qualified Transferee, as applicable)
          hereunder by a third party having Moody's Second Level Qualifying
          Ratings and S&P Qualifying Ratings ("QUALIFIED GUARANTOR") providing,
          inter alia, that payment thereunder shall be made as provided and on
          the conditions set forth in Section 2(d) as modified hereunder
          (substituting references to BNY as "X" with the guarantor as "X" and
          "this Agreement" with such guaranty, respectively) (or, in lieu of
          such provisions relating to tax, a law firm has given a legal opinion
          confirming that none of the guarantor's payments to the Counterparty
          under such guaranty will be subject to withholding for Tax).

          (ii) ACTIONS TO BE TAKEN. (A) If a Collateralization Event occurs,
          then BNY shall, at its own expense, no later than the earlier of
          thirty (30) Business Days thereafter in case of

                                       12

<PAGE>

          a Moody's Collateralization Event or thirty (30) calendar days
          thereafter in case of an S&P Collateralization Event:

               (1) post collateral (commencing within the times set forth
               herein) in accordance with the Credit Support Annex for so long
               as the Collateralization Event continues; or

               (2) subject to the S&P Rating Condition, novate, assign or
               transfer the Transactions to or replace the Transactions with
               Replacement Transactions with a Qualified Transferee (having the
               Moody's First Level Qualifying Ratings and the S&P Qualifying
               Ratings); or

               (3) subject to the S&P Rating Condition, obtain a Qualified
               Guaranty (provided by a guarantor having the Moody's First Level
               Qualifying Ratings and the S&P Qualifying Ratings).

          (B) If a Ratings Event occurs, then BNY shall at its own expense, no
          later than the earlier of thirty (30) Business Days thereafter in case
          of a Moody's Ratings Event or ten (10) Business Days thereafter in
          case of an S&P Ratings Event and subject to the S&P Rating Condition:

               (1) novate, assign or transfer the Transactions to or replace the
          Transactions with Replacement Transactions with a Qualified
          Transferee, or

               (2) obtain a Qualified Guaranty.

          (C) With respect to (A) and (B) above:

               (1) BNY shall post collateral in accordance with the Credit
               Support Annex and the times set forth herein for so long as a
               Collateralization Event or Ratings Event has occurred (or exists
               from the time BNY becomes a party hereto) and continues;

               (2) if a Ratings Event occurs, then BNY shall at its own expense,
               use commercially reasonable efforts to, take one of the actions
               referred to in (B) above as soon as reasonably practicable; and

               (3) if the debt of BNY is unrated because a Rating Agency has
               withdrawn such rating while any Transaction is outstanding under
               this Agreement, and if there is no Eligible Guaranty in effect at
               such time, then such withdrawal shall be treated as a Ratings
               Event unless the Rating Agency Condition is satisfied with
               respect thereto.

     9)   COMPLIANCE WITH REGULATION AB.

     (a) If the Depositor under the Pooling and Servicing Agreement still has a
     reporting obligation with respect to this Transaction pursuant to
     Regulation AB under the Securities Act of 1933, as amended, and the
     Securities Exchange Act of 1934, as amended ("REGULATION AB") and BNY has
     not, within 30 days after receipt of a Swap Disclosure Request complied
     with the provisions set forth below in this Paragraph 4(9) (provided that
     if the significance percentage reaches 10% after a Swap Disclosure Request
     has been made to BNY, BNY must comply with the provisions set forth below
     in this Section 4(9) within 10 calendar days of BNY being informed of the
     significance percentage reaching 10%), then an Additional Termination Event
     shall have occurred with respect to BNY and BNY shall be the sole Affected
     Party with respect to such Additional Termination Event.

     (b) BNY acknowledges that for so long as there are reporting obligations
     with respect to this Transaction under Regulation AB, the Depositor is
     required under Regulation AB to disclose certain information set forth in
     Regulation AB regarding BNY or its group of affiliated entities, if
     applicable, depending on the aggregate "significance percentage" of this
     Agreement and any other derivative contracts between BNY or its group of
     affiliated entities, if applicable, and the Counterparty, as calculated
     from time to time in accordance with Item 1115 of Regulation AB.

     (c) If the Depositor determines, reasonably and in good faith, that the
     significance percentage of this Agreement has increased to eight (8)
     percent, then the Depositor may request on a

                                       13

<PAGE>

     Business Day after the date of such determination from BNY the same
     information set forth in Item 1115(b) of Regulation AB that would have been
     required if the significance percentage had in fact increased to ten (10)
     percent (such request, a "SWAP DISCLOSURE REQUEST" and such requested
     information, subject to the last sentence of this paragraph, is the "SWAP
     FINANCIAL DISCLOSURE"). The Counterparty or the Depositor shall provide BNY
     with the calculations and any other information reasonably requested by BNY
     with respect to the Depositor's determination that led to the Swap
     Disclosure Request. The parties hereto further agree that the Swap
     Financial Disclosure provided to meet the Swap Disclosure Request may be,
     solely at BNY's option, either the information set forth in Item 1115(b)(1)
     or Item 1115(b)(2) of Regulation AB.

     (d) Upon the occurrence of a Swap Disclosure Request, BNY, at its own
     expense, shall (x) provide the Depositor with the Swap Financial Disclosure
     in an Edgar-compatible format, or (y) subject to Rating Agency Condition,
     secure another entity to replace BNY as party to this Agreement on terms
     substantially similar to this Agreement which entity is able to provide the
     Swap Financial Disclosure. If permitted by Regulation AB, any required Swap
     Financial Disclosure may be provided by incorporation by reference from
     reports filed pursuant to the Securities Exchange Act.

     (e) BNY's obligation to comply with this Paragraph 4(9) shall be suspended
     as of January 1, 2008 unless, at any time, BNY receives notification from
     the Depositor or the Counterparty that the Trust Fund's obligation to file
     periodic reports under the Exchange Act shall continue; provided, however,
     that such obligations shall not be suspended in respect of any Exchange Act
     Report or amendment to an Exchange Act Report in such fiscal year which
     relates to any fiscal year in which the Trust Fund was subject to the
     reporting requirements of the Exchange Act. This obligation shall continue
     to be suspended unless the Depositor or the Counterparty notifies BNY that
     the Trust Fund's obligations to file reports under the Exchange Act has
     resumed.

     10) BNY PAYMENTS TO BE MADE TO TRUSTEE. BNY will, unless otherwise directed
by the Trustee, make all payments hereunder to the Trustee. Payment made to the
Trustee at the account specified herein or to another account specified in
writing by the Trustee shall satisfy the payment obligations of BNY hereunder to
the extent of such payment.

     11) RETURN OF AMOUNTS RECEIVED BY MLML OR ITS AFFILIATES. Merrill Lynch
Mortgage Lending, Inc. ("MLML") agrees and acknowledges that amounts paid
hereunder are not intended to benefit the holder of any class of Certificates
rated by any Rating Agency if such holder is MLML or any of its affiliates. If
MLML or any of its affiliates receives any such amounts, it will promptly remit
(or, if such amounts are received by an affiliate of MLML, MLML hereby agrees
that it will cause such affiliate to promptly remit) such amounts to the
Trustee, whereupon such Trustee will promptly remit such amounts to BNY. MLML
further agrees to provide notice to BNY upon any remittance to the Trustee.

     12) ADDITIONAL PROVISIONS. Notwithstanding the terms of Sections 5 and 6 of
the ISDA Form Master Agreement, if the Counterparty has satisfied its payment
obligations under Section 2(a)(i) of the ISDA Form Master Agreement, and shall,
at the time, have no future payment or delivery obligation, whether absolute or
contingent, then unless BNY is required pursuant to appropriate proceedings to
return to the Counterparty or otherwise returns to the Counterparty upon demand
of the Counterparty any portion of such payment, (a) the occurrence of an event
described in Section 5(a) of the ISDA Form Master Agreement with respect to the
Counterparty shall not constitute an Event of Default or Potential Event of
Default with respect to the Counterparty as the Defaulting Party and (b) BNY
shall be entitled to designate an Early Termination Date pursuant to Section 6
of the ISDA Form Master Agreement only as a result of a Termination Event set
forth in either Section 5(b)(i) or Section 5(b)(ii) of the ISDA Form Master
Agreement with respect to BNY as the Affected Party or Section 5(b)(iii) of the
ISDA Form Master Agreement with respect to BNY as the Burdened Party.

                                       14

<PAGE>

5.   ACCOUNT DETAILS AND SETTLEMENT INFORMATION:

     PAYMENTS TO BNY:

               The Bank of New York
               Derivative Products Support Department
               32 Old Slip, 16th Floor
               New York, New York 10286
               Attention: Renee Etheart
               ABA #021000018
               Account #890-0068-175
               Reference: Interest Rate Swap/Cap

     PAYMENTS TO COUNTERPARTY:

               LaSalle Bank, Chicago, IL
               ABA# 071000505
               LaSalle CHGO/CTR/BNF:/LASALLE TRUST
               A/C# 724765.4

     6. COUNTERPARTS. This Agreement may be executed in several counterparts,
each of which shall be deemed an original but all of which together shall
constitute one and the same instrument.

     Please confirm that the foregoing correctly sets forth the terms of our
agreement by executing this agreement and returning it via facsimile to
Derivative Products Support Dept., Attn: Kenny Au-Yeung at 212-804-5818/5837.
Once we receive this we will send you two original confirmations for execution.

                                       15

<PAGE>

     We are very pleased to have executed this Transaction with you and we look
forward to completing other transactions with you in the near future.

Very truly yours,

THE BANK OF NEW YORK

A. BY:
       ------------------------------
Name:
      -------------------------------
Title:
       ------------------------------

                                       16

<PAGE>

     The Counterparty, acting through its duly authorized signatory, hereby
agrees to, accepts and confirms the terms of the foregoing as of the Trade Date.

LASALLE BANK NATIONAL ASSOCIATION, NOT IN ITS INDIVIDUAL CAPACITY, BUT SOLELY AS
TRUSTEE FOR THE TRUST RELATING TO THE MERRILL LYNCH FIRST FRANKLIN MORTGAGE LOAN
TRUST, SERIES 2007-3

B. BY:
       ------------------------------
Name:
      -------------------------------
Title:
       ------------------------------

Solely with respect to Paragraph 4(11)

II. MERRILL LYNCH MORTGAGE LENDING,
    INC.

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

                                       17

<PAGE>

                                   SCHEDULE I

(all such dates are subject to adjustment in accordance with the Modified
Following Business Day Convention).

<TABLE>
<CAPTION>
Accrual Start Date   Accrual End Date   Notional Amount (in USD)   Cap Rate (%)
------------------   ----------------   ------------------------   ------------
<S>                  <C>                <C>                        <C>
    05/30/2007          06/25/2007             632,090,000             9.057
    06/25/2007          07/25/2007             629,610,597             7.824
    07/25/2007          08/25/2007             625,671,610             7.565
    08/25/2007          09/25/2007             620,257,159             7.565
    09/25/2007          10/25/2007             613,365,403             7.824
    10/25/2007          11/25/2007             604,997,446             7.567
</TABLE>

                                       18
<PAGE>

                                   EXHIBIT M-2

                     FORM OF GROUP TWO CAP CORRIDOR CONTRACT

                                                     (THE BANK OF NEW YORK LOGO)

                                                             Dated: May 30, 2007

                              RATE CAP TRANSACTION

                           RE: BNY REFERENCE NO. 39367

Ladies and Gentlemen:

     The purpose of this letter agreement ("AGREEMENT") is to confirm the terms
and conditions of the rate Cap Transaction entered into on the Trade Date
specified below (the "TRANSACTION") between The Bank of New York ("BNY"), a
trust company duly organized and existing under the laws of the State of New
York, and the Trust relating to the Merrill Lynch First Franklin Mortgage Loan
Trust, Series 2007-3 (the "COUNTERPARTY"), as represented by LaSalle Bank
National Association, not in its individual capacity, but solely as Trustee
under the Pooling and Servicing Agreement, dated and effective May 1, 2007,
among Merrill Lynch Mortgage Investors, Inc., as Depositor, Home Loan Services,
Inc., as Servicer and LaSalle Bank National Association, as Trustee (the
"POOLING AND SERVICING AGREEMENT"). This Agreement, which evidences a complete
and binding agreement between you and us to enter into the Transaction on the
terms set forth below, constitutes a "CONFIRMATION" as referred to in the "ISDA
FORM MASTER AGREEMENT" (as defined below), as well as a "Schedule" as referred
to in the ISDA Form Master Agreement.

     1. FORM OF AGREEMENT. This Agreement is subject to the 2000 ISDA
Definitions (the "DEFINITIONS"), as published by the International Swaps and
Derivatives Association, Inc. ("ISDA"). Any reference to a "Swap Transaction" in
the Definitions is deemed to be a reference to a "Transaction" for purposes of
this Agreement, and any reference to a "Transaction" in this Agreement is deemed
to be a reference to a "Swap Transaction" for purposes of the Definitions. You
and we have agreed to enter into this Agreement in lieu of negotiating a
Schedule to the 1992 ISDA Master Agreement (Multicurrency--Cross Border) form
(the "ISDA FORM MASTER AGREEMENT"). An ISDA Form Master Agreement, as modified
by the Schedule terms in Paragraph 4 of this Confirmation (the "MASTER
AGREEMENT"), shall be deemed to have been executed by you and us on the date we
entered into the Transaction. For the avoidance of doubt, the Transaction
described herein shall be the sole Transaction governed by such ISDA Form Master
Agreement. Except as otherwise specified, references herein to Sections shall be
to Sections of the Master Agreement, and references to Paragraphs shall be to
paragraphs of this Agreement. Each party hereto agrees that the Master Agreement
deemed to have been executed by the parties hereto shall be the same Master
Agreement referred to in the agreement setting forth the terms of transaction
reference number 39366 and 39368. In the event of any inconsistency between the
provisions of this Agreement and the Definitions or the Master Agreement, this
Agreement shall prevail for purposes of the Transaction. Capitalized terms not
otherwise defined herein or in the Definitions or the Master Agreement shall
have the meaning defined for such term in the Pooling and Servicing Agreement.

     2. CERTAIN TERMS. The terms of the particular Transaction to which this
Confirmation relates are as follows:

<TABLE>
<S>                              <C>
   Type of Transaction:          Rate Cap

   Notional Amount:              With respect to any Calculation Period, the
                                 lesser of: (i) the amount set forth on Schedule
                                 I attached hereto for such Calculation Period
                                 and (ii) the aggregate Certificate Principal
                                 Balance of Certificate Group Two (as defined in
                                 the Pooling and Servicing Agreement) for such
                                 Floating Rate Payer Payment Date.
</TABLE>

                                       19

<PAGE>

<TABLE>
<S>                              <C>
                                 The Trustee under the Pooling and Servicing
                                 Agreement shall provide at least two (2)
                                 business days notice prior to each Floating
                                 Rate Payer Payment Date for each Calculation
                                 Period to The Bank of New York if the aggregate
                                 Certificate Principal Balance of Certificate
                                 Group Two is less than the Schedule I attached
                                 hereto

   Trade Date:                   May 29, 2007

   Effective Date:               May 30, 2007

   Termination Date:             November 25, 2007, subject to adjustment in
                                 accordance with the Modified Following Business
                                 Day Convention.

FLOATING AMOUNTS

   Floating Rate Payer:          BNY

   Cap Rate:                     For each Calculation Period, as set forth for
                                 such period on Schedule I attached hereto.

   Floating Rate for initial
   Calculation Period:           To be determined

   Floating Rate Day Count
   Fraction:                     Actual/360

   Floating Rate Option:         USD-LIBOR-BBA, provided, however, if the
                                 Floating Rate Option for a Calculation Period
                                 is greater than 10.27% then the Floating Rate
                                 Option for such Calculation Period shall be
                                 deemed equal to 10.27%.

   Designated Maturity:          One month

   Spread:                       Inapplicable

   Floating Rate Payer
   Period End Dates:             The 25th day of each month, beginning on June
                                 25, 2007 and ending on the Termination Date,
                                 subject to adjustment in accordance with the
                                 Modified Following Business Day Convention.

   Floating Rate Payer
   Payment Dates:                Early Payment shall be applicable. The Floating
                                 Rate Payer Payment Date shall be one (1)
                                 Business Day preceding each Floating Rate Payer
                                 Period End Date.

   Reset Dates:                  The first day of each Calculation Period

   Compounding:                  Inapplicable

   Business Days for Payments
   By both parties:              New York and Illinois

   Calculation Agent:            BNY
</TABLE>

     3.   ADDITIONAL PROVISIONS:

     1) RELIANCE. Each party hereto is hereby advised and acknowledges that the
other party has engaged in (or refrained from engaging in) substantial financial
transactions and has taken (or refrained from taking) other material actions in
reliance upon the entry by the parties into the Transaction being entered into
on the terms and conditions set forth herein.

                                       20

<PAGE>

     2) TRANSFER, AMENDMENT AND ASSIGNMENT. No transfer, amendment, waiver,
supplement, assignment or other modification of this Transaction shall be
permitted by either party unless each of Standard & Poor's Ratings Service, a
division of The McGraw-Hill Companies, Inc ("S&P") and Moody's Investors
Service, Inc. ("MOODY'S"), has been provided notice of the same and confirms in
writing (including by facsimile transmission) that it will not downgrade,
qualify, withdraw or otherwise modify its then-current ratings on the classes of
Certificates in Certificate Group Two issued under the Pooling and Servicing
Agreement (the "CERTIFICATES").

     4. PROVISIONS DEEMED INCORPORATED IN A SCHEDULE TO THE MASTER AGREEMENT:

     1) NO PAYMENT NETTING AMONG TRANSACTIONS; MODIFICATION OF SECTION
2(A)(III)(1). The parties agree that subparagraph (ii) of Section 2(c) of the
ISDA Form Master Agreement will apply to this Transaction. Section 2(a)(iii)(1)
is amended by deleting "or Potential Event of Default".

     2) TERMINATION PROVISIONS. For purposes of the Master Agreement:

     (a) "SPECIFIED ENTITY" in relation to BNY or the Counterparty shall mean:
     none.

     (b) "SPECIFIED TRANSACTION" will have the meaning specified in Section 14.

     (c) APPLICABILITY. The following provisions apply or do not apply to the
     parties as specified below:

          (i)  Section 5(a)(i) (FAILURE TO PAY OR DELIVER):

               (A) will apply to BNY; and

               (B) will apply to the Counterparty.

          (ii) Section 5(a)(ii) (BREACH OF AGREEMENT):

               (A) will apply to BNY; and

               (B) will not apply to the Counterparty.

          (iii) Section 5(a)(iii) (CREDIT SUPPORT DEFAULT):

               (A) will apply to BNY; and

               (B) will not apply to the Counterparty.

          (iv) Section 5(a)(iv) (MISREPRESENTATION):

               (A)  will apply to BNY; and

               (B) will not apply to the Counterparty.

          (v)  Section 5(a)(v) (DEFAULT UNDER SPECIFIED TRANSACTION):

               (A) will not apply to BNY; and

               (B) will not apply to the Counterparty.

          (vi) Section 5(a)(vi) (CROSS DEFAULT):

               (A) will apply to BNY; and

               (B) will not apply to the Counterparty.

               For the purposes of Section 5(a)(vi):

               "SPECIFIED INDEBTEDNESS" will have the meaning specified in
               Section 14, except that it shall not include indebtedness in
               respect of deposits received.

               "THRESHOLD AMOUNT" means, 3% of consolidated shareholders equity
               of BNY and its subsidiaries determined in accordance with
               generally accepted accounting principles of the United States
               consistently applied as of the last day of the fiscal quarter
               ended immediately prior to the occurrence or existence of an
               event for which a Threshold Amount is applicable under Section
               5(a)(vi).

          (vii) Section 5(a)(vii) (BANKRUPTCY):

                                       21

<PAGE>

               (A) will apply to BNY; and

               (B) will not apply to the Counterparty with respect to subclauses
               (2), (4) (but only if the proceeding or petition is instituted or
               presented by BNY or its affiliates), (7), (8) (but subclause (8)
               will not apply to the Counterparty only to the extent that
               subclauses (2), (4) and (7) do not apply to the Counterparty) and
               (9) of Section 5(a)(vii), and the remaining provisions of Section
               5(a)(vii) will apply to the Counterparty; and in subclause (6)
               the words "trustee" and "custodian" will not include the Trustee
               and the words "seeks or" will be deleted.

          (viii) Section 5(a)(viii) (MERGER WITHOUT ASSUMPTION):

               (A) will apply to BNY; and

               (B) will apply to the Counterparty.

          (ix) Section 5(b)(i) (ILLEGALITY):

               (A) will apply to BNY; and

               (B) will apply to the Counterparty.

          (x)  Section 5(b)(ii) (TAX EVENT):

               (A) will apply to BNY; and

               (B) will apply to the Counterparty;

               provided that the words "(x) any action taken by a taxing
               authority, or brought in a court of competent jurisdiction, on or
               after the date on which a Transaction is entered into (regardless
               of whether such action is taken or brought with respect to a
               party to this Agreement) or (y)" shall be deleted.

          (xi) Section 5(b)(iii) (TAX EVENT UPON MERGER):

               (A) will apply to BNY, provided, that BNY shall not be entitled
               to designate an Early Termination Date by reason of a Tax Event
               upon Merger in respect of which it is the Affected Party; and

               (B) will apply to the Counterparty.

          (xii) Section 5(b)(iv) (CREDIT EVENT UPON MERGER):

               (A) will not apply to BNY; and (B) will not apply to the
               Counterparty.

          (xiii) Section 5(b)(v) (ADDITIONAL TERMINATION EVENT):

               (A) will apply to BNY with respect to Paragraph 4(2)(g)(iii) and
               (iv); and

               (B) will apply to the Counterparty with respect to Paragraph
               (4)(2)(g)(i) and(ii).

     (d)  The "AUTOMATIC EARLY TERMINATION" provision of Section 6(a):

               (A) will not apply to BNY; and

               (B) will not apply to the Counterparty.

     (e) PAYMENTS ON EARLY TERMINATION. For the purpose of Section 6(e), the
     Second Method and Market Quotation will apply. For such purpose, for so
     long as the Certificates are rated by Moody's, if BNY is the Affected Party
     in respect of an Additional Termination Event or a Tax Event Upon Merger or
     the Defaulting Party in respect of any Event of Default (but not, in any
     case, in respect of a Termination Event arising from an Illegality or Tax
     Event), the following provisions shall apply:

          (i) The definitions of "Market Quotation" and "Settlement Amount" are
          amended in their entirety to read as follows:

                                       22

<PAGE>

               "MARKET QUOTATION" means, with respect to one or more Terminated
               Transactions, an offer capable when made of becoming legally
               binding upon acceptance made by a Qualified Transferee for an
               amount that would be paid to the Counterparty (expressed as a
               negative number) or by the Counterparty (expressed as a positive
               number) in consideration of an agreement between the Counterparty
               and such Qualified Transferee to enter into a transaction with
               commercial terms substantially the same as those of this
               Agreement (save for the exclusion of provisions relating to
               Transactions that are not Terminated Transactions) (which shall
               be determined by the Counterparty, acting in a commercially
               reasonable manner), that would have the effect of preserving the
               economic equivalent for the Counterparty of any payment or
               delivery (whether the underlying obligation was absolute or
               contingent and assuming the satisfaction of each applicable
               condition precedent) by the parties under Section 2(a)(i) in
               respect of such Terminated Transactions or group of Terminated
               Transactions that would, but for the occurrence of the relevant
               Early Termination Date, have been required after that date (such
               transaction, a "REPLACEMENT TRANSACTION"). For this purpose,
               Unpaid Amounts in respect of the Terminated Transaction or group
               of Transactions are to be excluded but, without limitation, any
               payment or delivery that would, but for the relevant Early
               Termination Date, have been required (assuming satisfaction of
               each applicable condition precedent) after that Early Termination
               Date is to be included.

               "SETTLEMENT AMOUNT" means, with respect to any Early Termination
               Date, an amount (as determined by the Counterparty) equal to the
               Termination Currency Equivalent of the amount (whether positive
               or negative) of any Market Quotation for the relevant Terminated
               Transaction or group of Terminated Transactions that is accepted
               by the Counterparty so as to become legally binding, Provided
               that:

               (1) If, on the day falling ten Local Business Days after the day
               on which the Early Termination Date is designated or such later
               day as the Counterparty may specify in writing to BNY (but in
               either case no later than the Early Termination Date) (such day
               the "LATEST SETTLEMENT AMOUNT DETERMINATION DAY"), no Market
               Quotation for the relevant Terminated Transaction or group of
               Terminated Transactions has been accepted by the Counterparty so
               as to become legally binding and one or more Market Quotations
               have been made and remain capable of becoming legally binding
               upon acceptance, the Settlement Amount shall equal the
               Termination Currency Equivalent of the amount (whether positive
               or negative) of the lowest of such Market Quotations; and

               (2) If, on the Latest Settlement Amount Determination Day, no
               Market Quotation for the relevant Terminated Transaction or group
               of Terminated Transactions is accepted by the Counterparty so as
               to become legally binding and no Market Quotations have been made
               and remain capable of becoming legally binding upon acceptance,
               the Settlement Amount shall equal the Counterparty's Loss
               (whether positive or negative and without reference to any
               Un-paid amounts) for the relevant Terminated Transaction or group
               of Terminated Transactions.

          (ii) At any time on or before the Latest Settlement Amount
          Determination Day at which two or more Market Quotations remain
          capable of becoming legally binding upon acceptance, the Counterparty
          shall be entitled to accept only the lowest of such Market Quotations.

          (iii) if the Counterparty requests BNY in writing to obtain Market
          Quotations, BNY shall use its reasonable efforts to do so before the
          Latest Settlement Amount Determination Day.

          (iv) If the Settlement Amount is a negative number, Section 6(e)(i)(3)
          of this Agreement shall be deleted in its entirety and replaced with
          the following:

               "SECOND METHOD AND MARKET QUOTATION. If Second Method and Market
               Quotation apply, (1) the Counterparty shall pay to BNY an amount
               equal to the

                                       23

<PAGE>

               absolute value of the Settlement Amount in respect of the
               Terminated Transactions, (2) the Counterparty shall pay to BNY
               the Termination Currency Equivalent of the Unpaid Amounts owing
               to BNY and (3) BNY shall pay to the Counterparty the Termination
               Currency Equivalent of the Unpaid Amounts owing to the
               Counterparty, Provided that, (i) the amounts payable under (2)
               and (3) shall be subject to netting in accordance with Section
               2(c) of this Agreement and (ii) notwithstanding any other
               provision of this Agreement, any amount payable by BNY under (3)
               shall not be netted-off against any amount payable by the
               Counterparty under (1)."

     (f) "TERMINATION CURRENCY" means United States Dollars.

     (g) "ADDITIONAL TERMINATION EVENT" will apply. The following shall
     constitute Additional Termination Events, and the party specified shall be
     the Affected Party with respect thereto:--

          (i) TERMINATION OF TRUST FUND. The Trust, Supplemental Interest Trust
          or Trust Fund shall be terminated pursuant to any provision of the
          Pooling and Servicing Agreement (including, without limitation, by
          completion of a successful auction termination or by exercise of the
          option to purchase and giving of notice under Sections 10.01 of the
          Pooling and Servicing Agreement). The Early Termination Date with
          respect to such Additional Termination Event shall be the Distribution
          Date upon which the Trust and the Supplemental Interest Trust or Trust
          Fund is terminated and final payment is made in respect of the
          Certificates. Each of BNY and the Counterparty may designate an Early
          Termination Date in respect of this Additional Termination Event. The
          Counterparty shall be the sole Affected Party.

          (ii) AMENDMENT OF POOLING AND SERVICING AGREEMENT. The amendment of
          the Pooling and Servicing Agreement in a manner which could have a
          material adverse affect on BNY without first obtaining the prior
          written consent of BNY (such consent not to be unreasonably withheld),
          where such consent is required under the Pooling and Servicing
          Agreement. The Counterparty shall be the sole Affected Party.

          (iii) COLLATERALIZATION OR RATINGS EVENT. A Collateralization Event or
          Ratings Event has occurred and is continuing and BNY fails to comply
          with the provisions of Paragraph 4(8)(ii) within the time periods set
          out therein; provided that an Additional Termination Event shall not
          be deemed to occur by virtue of a breach of Paragraph 4(8)(ii)(B) with
          respect to a Moody's Ratings Event unless and until such Moody's
          Ratings Event has continued for 30 or more Business Days and at least
          one Qualified Transferee has made an offer which remains capable of
          becoming legally binding upon acceptance to enter into a Permitted
          Transfer or other Replacement Transaction. BNY shall be the sole
          Affected Party. In the event that BNY has elected or is required to
          post collateral following the occurrence of a Ratings Event, then, a
          failure to post collateral in accordance with the provisions of the
          Credit Support Annex shall be subject to the provisions of Section
          5(a)(iii) and shall not be treated as an Additional Termination Event.
          Any breach of Paragraph 4(8)(ii)(A), (B) or (C) which is treated as an
          Additional Termination Event under this Paragraph 4(g)(iii) shall not
          constitute an Event of Default.

          (iv) REGULATION AB. BNY shall fail to comply with the provisions of
          Paragraph 4(9) within the time provided for therein. BNY shall be the
          sole Affected Party.

     3)   TAX REPRESENTATIONS AND OTHER TAX RELATED PROVISIONS.

               (a) PAYER REPRESENTATIONS. For the purpose of Section 3(e), BNY
     and the Counterparty make the following representations:

                    It is not required by any applicable law, as modified by the
          practice of any relevant governmental revenue authority, of any
          Relevant Jurisdiction to make any deduction or withholding for or on
          account of any Tax from any payment (other than interest under Section
          2(e), 6(d)(ii) or 6(e)) to be made by it to the other party under this
          Agreement. In making this representation, it may rely on:

          (i) the accuracy of any representations made by the other party
          pursuant to Section 3(f);

                                       24

<PAGE>

          (ii) the satisfaction of the agreement contained in Section 4 (a)(i)
          or 4(a)(iii) and the accuracy and effectiveness of any document
          provided by the other party pursuant to Section 4 (a)(i) or 4(a)(iii);
          and

          (iii) the satisfaction of the agreement of the other party contained
          in Section 4(d), provided that it shall not be a breach of this
          representation where reliance is placed on clause (ii) and the other
          party does not deliver a form or document under Section 4(a)(iii) by
          reason of material prejudice of its legal or commercial position.

     (b) PAYEE REPRESENTATIONS. For the purpose of Section 3(f), BNY and the
     Counterparty make the following representations.

          (i)  The following representation will apply to BNY:

               (x) It is a "U.S. person" (as that term is used in section
               1.1441-4(a)(3)(ii) of the United States Treasury Regulations) for
               United States federal income tax purposes, (y) it is a trust
               company duly organized and existing under the laws of the State
               of New York, and (y) its U.S. taxpayer identification number is
               135160382.

          (ii) The following representation will apply to the Counterparty:

               None.

     (c) GROSS UP. Section 2(d)(i)(4) shall not apply to Counterparty as X, and
     Section 2(d)(ii) shall not apply to Counterparty as Y, such that
     Counterparty shall not be required to pay any additional amounts referred
     to therein.

     (d) INDEMNIFIABLE TAX. The definition of "Indemnifiable Tax" in Section 14
     is amended in its entirety to read as follows:

          "INDEMNIFIABLE TAX" means in relation to payments by BNY any Tax and
          in relation to payments by the Counterparty no Tax.

     4)   DOCUMENTS TO BE DELIVERED. FOR THE PURPOSE OF SECTION 4(A):

     (a)  Tax forms, documents or certificates to be delivered are:

<TABLE>
<CAPTION>
PARTY REQUIRED TO                                                                                COVERED BY SECTION 3(D)
DELIVER DOCUMENT              FORM/DOCUMENT/ CERTIFICATE         DATE BY WHICH TO BE DELIVERED        REPRESENTATION
-----------------      ---------------------------------------   -----------------------------   -----------------------
<S>                    <C>                                       <C>                             <C>
BNY and Counterparty   Any document required or reasonably       Promptly after the earlier of   Yes
                       requested to allow the other party to     (i) reasonable demand by
                       make payments under this Agreement        either party or (ii) learning
                       without any deduction or withholding      that such form or document is
                       for or on the account of any tax.         required
</TABLE>

     (b)  Other documents to be delivered are:

<TABLE>
<CAPTION>
PARTY REQUIRED TO                                                                                COVERED BY SECTION 3(D)
DELIVER DOCUMENT              FORM/DOCUMENT/ CERTIFICATE         DATE BY WHICH TO BE DELIVERED        REPRESENTATION
-----------------      ---------------------------------------   -----------------------------   -----------------------
<S>                    <C>                                       <C>                             <C>
BNY                    A certificate of an authorized officer    Upon the execution and          Yes
                       of the party, as to the incumbency and    delivery of this Agreement
                       authority of the respective officers of
                       the party signing this Agreement, any
                       relevant Credit Support Document, or
                       any Confirmation, as the case may be.

Counterparty           (i) a copy of the executed Pooling and    Upon the later of, receipt    Yes
</TABLE>

                                       25

<PAGE>

<TABLE>
<CAPTION>
PARTY REQUIRED TO                                                                                COVERED BY SECTION 3(D)
DELIVER DOCUMENT              FORM/DOCUMENT/ CERTIFICATE         DATE BY WHICH TO BE DELIVERED        REPRESENTATION
-----------------      ---------------------------------------   -----------------------------   -----------------------
<S>                    <C>                                       <C>                             <C>
                       Servicing Agreement, and (ii) an          by such party, or within 30
                       incumbency certificate verifying the      days after the date of this
                       true signatures and authority of the      Agreement
                       person or persons signing this letter
                       agreement on behalf of the
                       Counterparty.

BNY                    Legal Opinion as to enforceability of     Upon the execution and          Yes
                       this Agreement.                           delivery of this Agreement.

Counterparty           Certified copy of the Board of            Upon the execution and          Yes
                       Directors resolution (or equivalent       delivery of this Agreement.
                       authorizing documentation) which sets
                       forth the authority of each signatory
                       to the Confirmation signing on its
                       behalf and the authority of such party
                       to enter into Transactions contemplated
                       and performance of its obligations
                       hereunder.
</TABLE>

     5)   MISCELLANEOUS.

     (a)  ADDRESS FOR NOTICES: For the purposes of Section 12(a):

          ADDRESS FOR NOTICES OR COMMUNICATIONS TO BNY:

               The Bank of New York
               Swaps and Derivative Products Group
               Global Market Division
               32 Old Slip 15th Floor
               New York, New York 10286
               Attention: Steve Lawler

          with a copy to:

               The Bank of New York
               Swaps and Derivative Products Group
               32 Old Slip 16th Floor
               New York, New York 10286
               Attention: Andrew Schwartz
               Tele: 212-804-5103
               Fax: 212-804-5818/5837

               (For all purposes)

          A copy of any notice or other communication with respect to Sections 5
          or 6 should also be sent to the addresses set out below:

               The Bank of New York
               Legal Department
               One Wall Street - 10th Floor
               New York, New York 10286
               Attention: General Counsel

          ADDRESS FOR NOTICES OR COMMUNICATIONS TO THE COUNTERPARTY:

               LaSalle Bank National Association, not in its individual
               capacity, but solely as Trustee for Merrill Lynch First Franklin
               Mortgage Loan Trust, Series 2007-3 Global Securities and Trust
               Services

                                       26

<PAGE>

               135 S. LaSalle Street, Suite 1511
               Chicago, Illinois 60603
               Attn: Rachel Otto
               Tel: 312-904-4839
               Fax: 312-904-1368

          With a copy to:

               Merrill Lynch Mortgage Investors, Inc.
               250 Vesey St.
               4 World Financial Center, 10th floor
               New York, NY 10080
               Attention: Alan Chan
               Telephone: 212-449-1441
               Facsimile: 212-738-1110

     (b)  PROCESS AGENT. For the purpose of Section 13(c):

          BNY appoints as its Process Agent: Not Applicable

          The Counterparty appoints as its Process Agent: Not Applicable

     (c) OFFICES. The provisions of Section 10(a) will not apply to this
     Agreement; neither BNY nor the Counterparty have any Offices other than as
     set forth in the Notices Section and BNY agrees that, for purposes of
     Section 6(b), it shall not in future have any Office other than one in the
     United States.

     (d)  MULTIBRANCH PARTY. For the purpose of Section 10(c):

          BNY is a Multibranch Party and will enter into each Transaction only
          through the following Office:- New York (for all Transactions).

          The Counterparty is not a Multibranch Party.

     (e)  CALCULATION AGENT. The Calculation Agent is BNY.

               (f) "CREDIT SUPPORT DOCUMENT" means in relation to:--

          BNY: the Credit Support Annex attached as Exhibit A hereto and any
Qualified Guaranty.

          The Counterparty: Not applicable.

     (g)  "CREDIT SUPPORT PROVIDER" means in relation to:--

          BNY: The guarantor under any Qualified Guaranty.

          Counterparty: Not Applicable

     (h) GOVERNING LAW. This Agreement will be governed by and construed in
     accordance with the laws of the State of New York without reference to
     choice of law doctrine other than New York General Obligations Law Sections
     5-1401 and 5-1402.

     (i) SEVERABILITY. If any term, provision, covenant, or condition of this
     Agreement, or the application thereof to any party or circumstance, shall
     be held to be invalid or unenforceable (in whole or in part) for any
     reason, the remaining terms, provisions, covenants, and conditions hereof
     shall continue in full force and effect as if this Agreement had been
     executed with the invalid or unenforceable portion eliminated, so long as
     this Agreement as so modified continues to express, without material
     change, the original intentions of the parties as to the subject matter of
     this Agreement and the deletion of such portion of this Agreement will not
     substantially impair the respective benefits or expectations of the
     parties. The parties shall endeavor to engage in good faith negotiations to
     replace any invalid or unenforceable term, provision, covenant or condition
     with a valid or enforceable term, provision, covenant or condition, the
     economic effect of which comes as close as possible to that of the invalid
     or unenforceable term, provision, covenant or condition.

                                       27

<PAGE>

     (j) RECORDING OF CONVERSATIONS. Each party (i) consents to the recording of
     telephone conversations between the trading, marketing and other relevant
     personnel of the parties in connection with this Agreement or any potential
     Transaction, (ii) agrees to obtain any necessary consent of, and give any
     necessary notice of such recording to, its relevant personnel and (iii)
     agrees, to the extent permitted by applicable law, that recordings may be
     submitted in evidence in any Proceedings.

     (k) WAIVER OF JURY TRIAL. Each party waives any right it may have to a
     trial by jury in respect of any Proceedings relating to this Agreement or
     any Credit Support Document.

     (l) NON-RECOURSE. Notwithstanding any provision herein or in the Master
     Agreement to the contrary, the obligations of the Counterparty hereunder
     are limited recourse obligations of the Counterparty, payable solely from
     amounts on deposit in the Corridor Contract Account created by the Trustee
     and the proceeds thereof to satisfy the Counterparty's obligations
     hereunder. In the event that the Corridor Contract Account and proceeds
     thereof should be insufficient to satisfy all claims outstanding and
     following the realization of the Corridor Contract Account and the
     distribution of the proceeds thereof in accordance with the Pooling and
     Servicing Agreement, any claims against or obligations of the Counterparty
     under the Master Agreement or any other confirmation thereunder, still
     outstanding shall be extinguished and thereafter not revive. This provision
     shall survive the expiration of this Agreement.

     (m) LIMITATION ON INSTITUTION OF BANKRUPTCY PROCEEDINGS. BNY shall not
     institute against or cause any other person to institute against, or join
     any other person in instituting against the Counterparty, the Trust or the
     trust created pursuant to the Pooling and Servicing Agreement any
     bankruptcy, reorganization, arrangement, insolvency or liquidation
     proceedings, under any federal or state bankruptcy or similar law or
     bankruptcy or similar laws of any other jurisdiction, for a period of one
     year and one day (or, if longer, the applicable preference period)
     following indefeasible payment in full of the Certificates. This provision
     shall survive the expiration of this Agreement.

     (n) REMEDY OF FAILURE TO PAY OR DELIVER. The ISDA Form Master Agreement is
     hereby amended by replacing the word "third" in the third line of Section
     5(a)(i) by the word "first".

     (o) "AFFILIATE" will have the meaning specified in Section 14 of the ISDA
     Form Master Agreement, provided that the Counterparty shall be deemed not
     to have any Affiliates for purposes of this Agreement, including for
     purposes of Section 6(b)(ii).

     (p) TRUSTEE'S CAPACITY. It is expressly understood and agreed by the
     parties hereto that insofar as this Confirmation is executed by the Trustee
     (i) this Confirmation is executed and delivered by LaSalle Bank National
     Association, not in its individual capacity but solely as Trustee pursuant
     to the Pooling and Servicing Agreement in the exercise of the powers and
     authority conferred and vested in it thereunder and pursuant to instruction
     set forth therein, (ii) each of the representations, undertakings and
     agreements herein made on behalf of the trust is made and intended not as a
     personal representation, undertaking or agreement of the Trustee but is
     made and intended for the purpose of binding only the Counterparty, (iii)
     nothing contained herein shall be construed as creating any liability of
     LaSalle Bank National Association, individually or personally, to perform
     any covenants either express or implied contained herein, all such
     liability, if any, being expressly waived by the parties hereto and by any
     person claiming by, through or under the parties hereto and (iv) under no
     circumstances will LaSalle Bank National Association, in its individual
     capacity be personally liable for the payment of any indebtedness or
     expenses or be personally liable for the breach or failure of any
     obligation, representation, warranty or covenant made or undertaken under
     this Confirmation. Nothing herein contained shall be construed as creating
     any liability on LaSalle Bank National Association, individually or
     personally, to perform any covenant either expressed or implied contained
     herein, all such liability, if any, being expressly waived by the parties
     who are signatories to this letter agreement and by any person claiming by,
     through or under such parties.

                                       28

<PAGE>

     (q) TRUSTEE'S REPRESENTATION. LaSalle Bank National Association, as
     Trustee, represents and warrants that:

          It has been directed under the Pooling and Servicing Agreement to
          enter into this letter agreement as Trustee on behalf of the
          Counterparty.

     6) ADDITIONAL REPRESENTATIONS. Section 3 is hereby amended by adding, at
the end thereof, the following Sections 3(g), 3(h) and 3(i):

     "(g) RELATIONSHIP BETWEEN PARTIES.

          (1) NONRELIANCE. It is not relying on any statement or representation
          of the other party regarding the Transaction (whether written or
          oral), other than the representations expressly made in this Agreement
          or the Confirmation in respect of that Transaction.

          (2) EVALUATION AND UNDERSTANDING.

               (i) Each Party acknowledges that LaSalle Bank National
               Association, has been directed under the Pooling and Servicing
               Agreement to enter into this Transaction as Trustee on behalf of
               the Counterparty.

               (ii) It is acting for its own account and has the capacity to
               evaluate (internally or through independent professional advice)
               the Transaction and has made its own decision to enter into the
               Transaction; it is not relying on any communication (written or
               oral) of the other party as investment advice or as a
               recommendation to enter into such transaction; it being
               understood that information and explanations related to the terms
               and conditions of such transaction shall not be considered
               investment advice or a recommendation to enter into such
               transaction. No communication (written or oral) received from the
               other party shall be deemed to be an assurance or guarantee as to
               the expected results of the transaction; and

               (iii) It understands the terms, conditions and risks of the
               Transaction and is willing and able to accept those terms and
               conditions and to assume (and does, in fact assume) those risks,
               financially and otherwise.

          (3) NOT FIDUCIARY OR ADVISOR. The other party is not acting as a
          fiduciary or an advisor for it in respect of this Transaction.

          (h) EXCLUSION FROM COMMODITY EXCHANGE ACT. (A) It is an "eligible
          contract participant" within the meaning of Section 1a(12) of the
          Commodity Exchange Act, as amended; (B) this Agreement and each
          Transaction is subject to individual negotiation by such party; and
          (C) neither this Agreement nor any Transaction will be executed or
          traded on a "trading facility" within the meaning of Section 1a(33) of
          the Commodity Exchange Act, as amended.

          (i) SWAP AGREEMENT. Each Transaction is a "swap agreement" as defined
          in 12 U.S.C. Section 1821(e)(8)(D)(vi) and a "covered swap agreement"
          as defined in the Commodity Exchange Act (7 U.S.C. Section 27(d)(1))."

     7)   SET-OFF. All payments under this Agreement shall be made without
          set-off or counterclaim, except as provided in Section 2(c), Section 6
          or the provisions hereof relating to Market Quotation and Loss, or
          Paragraph 8 of the Credit Support Annex. Section 6(e) is amended by
          deleting the following sentence: "The amount, if any, payable in
          respect of an Early Termination Date and determined pursuant to this
          Section will be subject to any Set-off." For the avoidance of doubt,
          if more than one Transaction is entered into under this Agreement,
          nothing herein is intended to prevent the determination of a
          Settlement Amount with respect to all such Transactions pursuant to
          Section 6 (as modified hereby).

     8)   RATINGS DOWNGRADE.

          (i) DEFINITIONS. For purposes of each Transaction: (A) "RATING AGENCY
          CONDITION" means, with respect to any action taken or to be taken
          hereunder, a condition that is

                                       29

<PAGE>

          satisfied when each of Moody's and S&P (each a "RATING AGENCY", and
          the rating condition with respect to it, the "MOODY'S RATING
          CONDITION" and "S&P RATING CONDITION", respectively) has confirmed in
          writing to the Trustee that such action will not result in withdrawal,
          reduction or other adverse action with respect to any then-current
          rating by such Rating Agency of the Certificates;

          (B) "QUALIFYING RATINGS" means, with respect to the debt of any
          entity, (1) (x) a short-term unsecured and unsubordinated debt rating
          of at least "P-1", and a long-term unsecured and unsubordinated debt
          of at least "A2" (or, if it has no short-term unsecured and
          unsubordinated debt rating, a long term rating of at least "A1") by
          Moody's ("MOODY'S FIRST LEVEL QUALIFYING RATINGS"), and (y) a
          short-term unsecured and unsubordinated debt rating of at least "P-2",
          and a long-term unsecured and unsubordinated debt of at least "A3"
          (or, if it has no short-term unsecured and unsubordinated debt rating,
          a long term rating of at least "A3") by Moody's ("MOODY'S SECOND LEVEL
          QUALIFYING RATINGS"), and (2) a short-term unsecured and
          unsubordinated debt rating of at least "A-1", or if it does not have
          a short-term rating, a long-term unsecured and unsubordinated debt
          rating of at least "A+" by S&P ("S&P QUALIFYING RATINGS");

          (C) A "COLLATERALIZATION EVENT" shall occur as to BNY if, with respect
          to the ratings of the long-term and short-term unsecured and
          unsubordinated debt of both BNY (if such debt of BNY is rated) and the
          guarantor under each Qualified Guaranty (if any): (1) the short-term
          rating is reduced to "P-2" or below, or the long-term rating is
          reduced to "A3" or below or, if neither BNY nor the guarantor under
          any Qualified Guaranty has a short-term rating, the long term rating
          is reduced to "A2" or below, by Moody's (a "MOODY'S COLLATERALIZATION
          EVENT"), or (2) the short-term rating is reduced to "A-2" or below,
          or, if neither BNY nor the guarantor under any Qualified Guranty has a
          short-term rating, the long-term rating is reduced to "A" or below by
          S&P (an "S&P COLLATERALIZATION EVENT");

          (D) A "RATINGS EVENT" shall occur as to BNY if, with respect to BNY
          the ratings of the long-term and short-term unsecured and
          unsubordinated debt of both BNY (if such debt of BNY is rated) and the
          guarantor under each Qualified Guaranty (if any): (1) the short-term
          rating is withdrawn or reduced to "P-3" or below or the long-term
          rating is reduced to "Baa1" or, if neither BNY nor the guarantor under
          any Qualified Guaranty has a short-term rating, the long term rating
          is withdrawn or reduced to "Baa1" or below, by Moody's (a "MOODY'S
          RATINGS EVENT"), or (2) the short-term rating is reduced below "A-3",
          or, if neither BNY nor the guarantor under any Qualified Guaranty has
          a short-term rating, the long term rating is withdrawn or reduced to
          "BB+" or below, by S&P (an "S&P RATINGS EVENT");

          (E) "QUALIFIED TRANSFEREE" means a transferee of a novation or
          assignment or a party (other than the Counterparty) that enters into
          another form of Replacement Transaction that is a Reference
          Market-maker ("dealer" in the definition thereof meaning a "dealer in
          notional principal contracts" as defined in Treas. Reg. Section
          1.1001-4) (1) that has Moody's Second Level Qualifying Ratings and S&P
          Qualifying Ratings or (2) whose present and future obligations owing
          to the Counterparty are guaranteed pursuant to a Qualified Guaranty;
          and

          (F) "QUALIFIED GUARANTY" means an unconditional and irrevocable
          guaranty of payment (and not of collection) and the performance of the
          other obligations of BNY (or a Qualified Transferee, as applicable)
          hereunder by a third party having Moody's Second Level Qualifying
          Ratings and S&P Qualifying Ratings ("QUALIFIED GUARANTOR") providing,
          inter alia, that payment thereunder shall be made as provided and on
          the conditions set forth in Section 2(d) as modified hereunder
          (substituting references to BNY as "X" with the guarantor as "X" and
          "this Agreement" with such guaranty, respectively) (or, in lieu of
          such provisions relating to tax, a law firm has given a legal opinion
          confirming that none of the guarantor's payments to the Counterparty
          under such guaranty will be subject to withholding for Tax).

          (ii) ACTIONS TO BE TAKEN. (A) If a Collateralization Event occurs,
          then BNY shall, at its own expense, no later than the earlier of
          thirty (30) Business Days thereafter in case of

                                       30

<PAGE>

          a Moody's Collateralization Event or thirty (30) calendar days
          thereafter in case of an S&P Collateralization Event:

               (1) post collateral (commencing within the times set forth
               herein) in accordance with the Credit Support Annex for so long
               as the Collateralization Event continues; or

               (2) subject to the S&P Rating Condition, novate, assign or
               transfer the Transactions to or replace the Transactions with
               Replacement Transactions with a Qualified Transferee (having the
               Moody's First Level Qualifying Ratings and the S&P Qualifying
               Ratings); or

               (3) subject to the S&P Rating Condition, obtain a Qualified
               Guaranty (provided by a guarantor having the Moody's First Level
               Qualifying Ratings and the S&P Qualifying Ratings).

          (B) If a Ratings Event occurs, then BNY shall at its own expense, no
          later than the earlier of thirty (30) Business Days thereafter in case
          of a Moody's Ratings Event or ten (10) Business Days thereafter in
          case of an S&P Ratings Event and subject to the S&P Rating Condition:

               (1) novate, assign or transfer the Transactions to or replace the
          Transactions with Replacement Transactions with a Qualified
          Transferee, or

               (2) obtain a Qualified Guaranty.

          (C) With respect to (A) and (B) above:

               (1) BNY shall post collateral in accordance with the Credit
               Support Annex and the times set forth herein for so long as a
               Collateralization Event or Ratings Event has occurred (or exists
               from the time BNY becomes a party hereto) and continues;

               (2) if a Ratings Event occurs, then BNY shall at its own expense,
               use commercially reasonable efforts to, take one of the actions
               referred to in (B) above as soon as reasonably practicable; and

               (3) if the debt of BNY is unrated because a Rating Agency has
               withdrawn such rating while any Transaction is outstanding under
               this Agreement, and if there is no Eligible Guaranty in effect at
               such time, then such withdrawal shall be treated as a Ratings
               Event unless the Rating Agency Condition is satisfied with
               respect thereto.

     9)   COMPLIANCE WITH REGULATION AB.

     (a) If the Depositor under the Pooling and Servicing Agreement still has a
     reporting obligation with respect to this Transaction pursuant to
     Regulation AB under the Securities Act of 1933, as amended, and the
     Securities Exchange Act of 1934, as amended ("REGULATION AB") and BNY has
     not, within 30 days after receipt of a Swap Disclosure Request complied
     with the provisions set forth below in this Paragraph 4(9) (provided that
     if the significance percentage reaches 10% after a Swap Disclosure Request
     has been made to BNY, BNY must comply with the provisions set forth below
     in this Section 4(9) within 10 calendar days of BNY being informed of the
     significance percentage reaching 10%), then an Additional Termination Event
     shall have occurred with respect to BNY and BNY shall be the sole Affected
     Party with respect to such Additional Termination Event.

     (b) BNY acknowledges that for so long as there are reporting obligations
     with respect to this Transaction under Regulation AB, the Depositor is
     required under Regulation AB to disclose certain information set forth in
     Regulation AB regarding BNY or its group of affiliated entities, if
     applicable, depending on the aggregate "significance percentage" of this
     Agreement and any other derivative contracts between BNY or its group of
     affiliated entities, if applicable, and the Counterparty, as calculated
     from time to time in accordance with Item 1115 of Regulation AB.

     (c) If the Depositor determines, reasonably and in good faith, that the
     significance percentage of this Agreement has increased to eight (8)
     percent, then the Depositor may request on a

                                       31

<PAGE>

     Business Day after the date of such determination from BNY the same
     information set forth in Item 1115(b) of Regulation AB that would have been
     required if the significance percentage had in fact increased to ten (10)
     percent (such request, a "SWAP DISCLOSURE REQUEST" and such requested
     information, subject to the last sentence of this paragraph, is the "SWAP
     FINANCIAL DISCLOSURE"). The Counterparty or the Depositor shall provide BNY
     with the calculations and any other information reasonably requested by BNY
     with respect to the Depositor's determination that led to the Swap
     Disclosure Request. The parties hereto further agree that the Swap
     Financial Disclosure provided to meet the Swap Disclosure Request may be,
     solely at BNY's option, either the information set forth in Item 1115(b)(1)
     or Item 1115(b)(2) of Regulation AB.

     (d) Upon the occurrence of a Swap Disclosure Request, BNY, at its own
     expense, shall (x) provide the Depositor with the Swap Financial Disclosure
     in an Edgar-compatible format, or (y) subject to Rating Agency Condition,
     secure another entity to replace BNY as party to this Agreement on terms
     substantially similar to this Agreement which entity is able to provide the
     Swap Financial Disclosure. If permitted by Regulation AB, any required Swap
     Financial Disclosure may be provided by incorporation by reference from
     reports filed pursuant to the Securities Exchange Act.

     (e) BNY's obligation to comply with this Paragraph 4(9) shall be suspended
     as of January 1, 2008 unless, at any time, BNY receives notification from
     the Depositor or the Counterparty that the Trust Fund's obligation to file
     periodic reports under the Exchange Act shall continue; provided, however,
     that such obligations shall not be suspended in respect of any Exchange Act
     Report or amendment to an Exchange Act Report in such fiscal year which
     relates to any fiscal year in which the Trust Fund was subject to the
     reporting requirements of the Exchange Act. This obligation shall continue
     to be suspended unless the Depositor or the Counterparty notifies BNY that
     the Trust Fund's obligations to file reports under the Exchange Act has
     resumed.

     10) BNY PAYMENTS TO BE MADE TO TRUSTEE. BNY will, unless otherwise directed
by the Trustee, make all payments hereunder to the Trustee. Payment made to the
Trustee at the account specified herein or to another account specified in
writing by the Trustee shall satisfy the payment obligations of BNY hereunder to
the extent of such payment.

     11) RETURN OF AMOUNTS RECEIVED BY MLML OR ITS AFFILIATES. Merrill Lynch
Mortgage Lending, Inc. ("MLML") agrees and acknowledges that amounts paid
hereunder are not intended to benefit the holder of any class of Certificates
rated by any Rating Agency if such holder is MLML or any of its affiliates. If
MLML or any of its affiliates receives any such amounts, it will promptly remit
(or, if such amounts are received by an affiliate of MLML, MLML hereby agrees
that it will cause such affiliate to promptly remit) such amounts to the
Trustee, whereupon such Trustee will promptly remit such amounts to BNY. MLML
further agrees to provide notice to BNY upon any remittance to the Trustee.

     12) ADDITIONAL PROVISIONS. Notwithstanding the terms of Sections 5 and 6 of
the ISDA Form Master Agreement, if the Counterparty has satisfied its payment
obligations under Section 2(a)(i) of the ISDA Form Master Agreement, and shall,
at the time, have no future payment or delivery obligation, whether absolute or
contingent, then unless BNY is required pursuant to appropriate proceedings to
return to the Counterparty or otherwise returns to the Counterparty upon demand
of the Counterparty any portion of such payment, (a) the occurrence of an event
described in Section 5(a) of the ISDA Form Master Agreement with respect to the
Counterparty shall not constitute an Event of Default or Potential Event of
Default with respect to the Counterparty as the Defaulting Party and (b) BNY
shall be entitled to designate an Early Termination Date pursuant to Section 6
of the ISDA Form Master Agreement only as a result of a Termination Event set
forth in either Section 5(b)(i) or Section 5(b)(ii) of the ISDA Form Master
Agreement with respect to BNY as the Affected Party or Section 5(b)(iii) of the
ISDA Form Master Agreement with respect to BNY as the Burdened Party.

                                       32

<PAGE>

5.   ACCOUNT DETAILS AND SETTLEMENT INFORMATION:

     PAYMENTS TO BNY:

          The Bank of New York
          Derivative Products Support Department
          32 Old Slip, 16th Floor
          New York, New York 10286
          Attention: Renee Etheart
          ABA #021000018
          Account #890-0068-175
          Reference: Interest Rate Swap/Cap

     PAYMENTS TO COUNTERPARTY:

          LaSalle Bank, Chicago, IL
          ABA# 071000505
          LaSalle CHGO/CTR/BNF:/LASALLE TRUST
          A/C# 724765.4

     6. COUNTERPARTS. This Agreement may be executed in several counterparts,
each of which shall be deemed an original but all of which together shall
constitute one and the same instrument.

     Please confirm that the foregoing correctly sets forth the terms of our
agreement by executing this agreement and returning it via facsimile to
Derivative Products Support Dept., Attn: Kenny Au-Yeung at 212-804-5818/5837.
Once we receive this we will send you two original confirmations for execution.

                                       33

<PAGE>

     We are very pleased to have executed this Transaction with you and we look
forward to completing other transactions with you in the near future.

Very truly yours,

THE BANK OF NEW YORK

A. BY:
       ------------------------------
Name:
      -------------------------------
Title:
       ------------------------------

                                       34

<PAGE>

     The Counterparty, acting through its duly authorized signatory, hereby
agrees to, accepts and confirms the terms of the foregoing as of the Trade Date.

LASALLE BANK NATIONAL ASSOCIATION, NOT IN ITS INDIVIDUAL CAPACITY, BUT SOLELY AS
TRUSTEE FOR THE TRUST RELATING TO THE MERRILL LYNCH FIRST FRANKLIN MORTGAGE LOAN
TRUST, SERIES 2007-3

B. BY:
       ------------------------------
Name:
      -------------------------------
Title:
       ------------------------------

Solely with respect to Paragraph 4(11)

III. MERRILL LYNCH MORTGAGE LENDING,
     INC.

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

                                       35

<PAGE>

                                   SCHEDULE I

(all such dates are subject to adjustment in accordance with the Modified
Following Business Day Convention).

<TABLE>
<CAPTION>
Accrual Start Date   Accrual End Date   Notional Amount (in USD)   Cap Rate (%)
------------------   ----------------   ------------------------   ------------
<S>                  <C>                <C>                        <C>
    05/30/2007          06/25/2007            1,100,604,000            9.040
    06/25/2007          07/25/2007            1,096,107,534            7.804
    07/25/2007          08/25/2007            1,089,055,774            7.545
    08/25/2007          09/25/2007            1,079,420,365            7.545
    09/25/2007          10/25/2007            1,067,200,359            7.804
    10/25/2007          11/25/2007            1,052,397,237            7.549
</TABLE>

                                       36
<PAGE>

                                   EXHIBIT M-3

   FORM OF CLASS M-5, CLASS M-6 AND CLASS B CERTIFICATE CAP CORRIDOR CONTRACT

                                                     (THE BANK OF NEW YORK LOGO)

                                                             Dated: May 30, 2007

                              RATE CAP TRANSACTION

                           RE: BNY REFERENCE NO. 39368

Ladies and Gentlemen:

     The purpose of this letter agreement ("AGREEMENT") is to confirm the terms
and conditions of the rate Cap Transaction entered into on the Trade Date
specified below (the "TRANSACTION") between The Bank of New York ("BNY"), a
trust company duly organized and existing under the laws of the State of New
York, and the Trust relating to the Merrill Lynch First Franklin Mortgage Loan
Trust, Series 2007-3 (the "COUNTERPARTY"), as represented by LaSalle Bank
National Association, not in its individual capacity, but solely as Trustee
under the Pooling and Servicing Agreement, dated and effective May 1, 2007,
among Merrill Lynch Mortgage Investors, Inc., as Depositor, Home Loan Services,
Inc., as Servicer and LaSalle Bank National Association, as Trustee (the
"POOLING AND SERVICING AGREEMENT"). This Agreement, which evidences a complete
and binding agreement between you and us to enter into the Transaction on the
terms set forth below, constitutes a "CONFIRMATION" as referred to in the "ISDA
FORM MASTER AGREEMENT" (as defined below), as well as a "Schedule" as referred
to in the ISDA Form Master Agreement.

     1. FORM OF AGREEMENT. This Agreement is subject to the 2000 ISDA
Definitions (the "DEFINITIONS"), as published by the International Swaps and
Derivatives Association, Inc. ("ISDA"). Any reference to a "Swap Transaction" in
the Definitions is deemed to be a reference to a "Transaction" for purposes of
this Agreement, and any reference to a "Transaction" in this Agreement is deemed
to be a reference to a "Swap Transaction" for purposes of the Definitions. You
and we have agreed to enter into this Agreement in lieu of negotiating a
Schedule to the 1992 ISDA Master Agreement (Multicurrency--Cross Border) form
(the "ISDA FORM MASTER AGREEMENT"). An ISDA Form Master Agreement, as modified
by the Schedule terms in Paragraph 4 of this Confirmation (the "MASTER
AGREEMENT"), shall be deemed to have been executed by you and us on the date we
entered into the Transaction. For the avoidance of doubt, the Transaction
described herein shall be the sole Transaction governed by such ISDA Form Master
Agreement. Except as otherwise specified, references herein to Sections shall be
to Sections of the Master Agreement, and references to Paragraphs shall be to
paragraphs of this Agreement. Each party hereto agrees that the Master Agreement
deemed to have been executed by the parties hereto shall be the same Master
Agreement referred to in the agreement setting forth the terms of transaction
reference number 39367 and 39366. In the event of any inconsistency between the
provisions of this Agreement and the Definitions or the Master Agreement, this
Agreement shall prevail for purposes of the Transaction. Capitalized terms not
otherwise defined herein or in the Definitions or the Master Agreement shall
have the meaning defined for such term in the Pooling and Servicing Agreement.

     2. CERTAIN TERMS. The terms of the particular Transaction to which this
Confirmation relates are as follows:

<TABLE>
<S>                             <C>
   Type of Transaction:         Rate Cap

   Notional Amount:             With respect to any Calculation Period, the
                                lesser of: (i) USD 102,923,000 and (ii) the
                                aggregate Certificate Principal Balance
 </TABLE>

                                       37

<PAGE>

<TABLE>
<S>                             <C>
                                of the Class M-5, Class M-6 and Class B
                                Certificates (as defined in the Pooling and
                                Servicing Agreement) for such Floating Rate
                                Payer Payment Date.

                                The Trustee under the Pooling and Servicing
                                Agreement shall provide at least two (2)
                                business days notice prior to each Floating Rate
                                Payer Payment Date for each Calculation Period
                                to The Bank of New York if the aggregate
                                Certificate Principal Balance of the Class M-5,
                                Class M-6 and Class B Certificates is less than
                                the Schedule I attached hereto

   Trade Date:                  May 29, 2007

   Effective Date:              May 30, 2007

   Termination Date:            November 25, 2007, subject to adjustment in
                                accordance with the Modified Following Business
                                Day Convention.

FLOATING AMOUNTS

   Floating Rate Payer:         BNY

   Cap Rate:                    For each Calculation Period, as set forth for
                                such period on Schedule I attached hereto.

   Floating Rate for initial
   Calculation Period:          To be determined

   Floating Rate Day Count
   Fraction:                    Actual/360

   Floating Rate Option:        USD-LIBOR-BBA, provided, however, if the
                                Floating Rate Option for a Calculation Period is
                                greater than 7.88% then the Floating Rate Option
                                for such Calculation Period shall be deemed
                                equal to 7.88%.

   Designated Maturity:         One month

   Spread:                      Inapplicable

   Floating Rate Payer
   Period End Dates:            The 25th day of each month, beginning on June
                                25, 2007 and ending on the Termination Date,
                                subject to adjustment in accordance with the
                                Modified Following Business Day Convention.

   Floating Rate Payer
   Payment Dates:               Early Payment shall be applicable. The Floating
                                Rate Payer Payment Date shall be one (1)
                                Business Day preceding each Floating Rate Payer
                                Period End Date.

   Reset Dates:                 The first day of each Calculation Period

   Compounding:                 Inapplicable

   Business Days for Payments
   By both parties:             New York and Illinois

   Calculation Agent:           BNY
</TABLE>

     3. ADDITIONAL PROVISIONS:

                                       38

<PAGE>

     1) RELIANCE. Each party hereto is hereby advised and acknowledges that the
other party has engaged in (or refrained from engaging in) substantial financial
transactions and has taken (or refrained from taking) other material actions in
reliance upon the entry by the parties into the Transaction being entered into
on the terms and conditions set forth herein.

     2) TRANSFER, AMENDMENT AND ASSIGNMENT. No transfer, amendment, waiver,
supplement, assignment or other modification of this Transaction shall be
permitted by either party unless each of Standard & Poor's Ratings Service, a
division of The McGraw-Hill Companies, Inc ("S&P") and Moody's Investors
Service, Inc. ("MOODY'S"), has been provided notice of the same and confirms in
writing (including by facsimile transmission) that it will not downgrade,
qualify, withdraw or otherwise modify its then-current ratings on the Class M-5,
Class M-6 and Class B Certificates issued under the Pooling and Servicing
Agreement (the "CERTIFICATES").

     4. PROVISIONS DEEMED INCORPORATED IN A SCHEDULE TO THE MASTER AGREEMENT:

     1) NO PAYMENT NETTING AMONG TRANSACTIONS; MODIFICATION OF SECTION
2(A)(III)(1). The parties agree that subparagraph (ii) of Section 2(c) of the
ISDA Form Master Agreement will apply to this Transaction. Section 2(a)(iii)(1)
is amended by deleting "or Potential Event of Default".

     2) TERMINATION PROVISIONS. For purposes of the Master Agreement:

     (a) "SPECIFIED ENTITY" in relation to BNY or the Counterparty shall mean:
     none.

     (b) "SPECIFIED TRANSACTION" will have the meaning specified in Section 14.

     (c) APPLICABILITY. The following provisions apply or do not apply to the
     parties as specified below:

          (i)  Section 5(a)(i) (FAILURE TO PAY OR DELIVER):

               (A) will apply to BNY; and

               (B) will apply to the Counterparty.

          (ii) Section 5(a)(ii) (BREACH OF AGREEMENT):

               (A) will apply to BNY; and

               (B) will not apply to the Counterparty.

          (iii) Section 5(a)(iii) (CREDIT SUPPORT DEFAULT):

               (A) will apply to BNY; and

               (B) will not apply to the Counterparty.

          (iv) Section 5(a)(iv) (MISREPRESENTATION):

               (A) will apply to BNY; and

               (B) will not apply to the Counterparty.

          (v)  Section 5(a)(v) (DEFAULT UNDER SPECIFIED TRANSACTION):

               (A) will not apply to BNY; and

               (B) will not apply to the Counterparty.

          (vi) Section 5(a)(vi) (CROSS DEFAULT):

               (A) will apply to BNY; and

               (B) will not apply to the Counterparty.

               For the purposes of Section 5(a)(vi):

               "SPECIFIED INDEBTEDNESS" will have the meaning specified in
               Section 14, except that it shall not include indebtedness in
               respect of deposits received.

               "THRESHOLD AMOUNT" means, 3% of consolidated shareholders equity
               of BNY and its subsidiaries determined in accordance with
               generally accepted accounting

                                       39

<PAGE>

               principles of the United States consistently applied as of the
               last day of the fiscal quarter ended immediately prior to the
               occurrence or existence of an event for which a Threshold Amount
               is applicable under Section 5(a)(vi).

          (vii) Section 5(a)(vii) (BANKRUPTCY):

               (A) will apply to BNY; and

               (B) will not apply to the Counterparty with respect to subclauses
               (2), (4) (but only if the proceeding or petition is instituted or
               presented by BNY or its affiliates), (7), (8) (but subclause (8)
               will not apply to the Counterparty only to the extent that
               subclauses (2), (4) and (7) do not apply to the Counterparty) and
               (9) of Section 5(a)(vii), and the remaining provisions of Section
               5(a)(vii) will apply to the Counterparty; and in subclause (6)
               the words "trustee" and "custodian" will not include the Trustee
               and the words "seeks or" will be deleted.

          (viii) Section 5(a)(viii) (MERGER WITHOUT ASSUMPTION):

               (A) will apply to BNY; and

               (B) will apply to the Counterparty.

          (ix) Section 5(b)(i) (ILLEGALITY):

               (A) will apply to BNY; and

               (B) will apply to the Counterparty.

          (x)  Section 5(b)(ii) (TAX EVENT):

               (A) will apply to BNY; and

               (B) will apply to the Counterparty;

               provided that the words "(x) any action taken by a taxing
               authority, or brought in a court of competent jurisdiction, on or
               after the date on which a Transaction is entered into (regardless
               of whether such action is taken or brought with respect to a
               party to this Agreement) or (y)" shall be deleted.

          (xi) Section 5(b)(iii) (TAX EVENT UPON MERGER):

               (A) will apply to BNY, provided, that BNY shall not be entitled
               to designate an Early Termination Date by reason of a Tax Event
               upon Merger in respect of which it is the Affected Party; and

               (B) will apply to the Counterparty.

          (xii) Section 5(b)(iv) (CREDIT EVENT UPON MERGER):

               (A) will not apply to BNY; and

               (B) will not apply to the Counterparty.

          (xiii) Section 5(b)(v) (ADDITIONAL TERMINATION EVENT):

               (A) will apply to BNY with respect to Paragraph 4(2)(g)(iii) and
               (iv); and

               (B) will apply to the Counterparty with respect to Paragraph
               (4)(2)(g)(i) and(ii).

     (d) The "AUTOMATIC EARLY TERMINATION" provision of Section 6(a):

               (A) will not apply to BNY; and

               (B) will not apply to the Counterparty.

     (e) PAYMENTS ON EARLY TERMINATION. For the purpose of Section 6(e), the
     Second Method and Market Quotation will apply. For such purpose, for so
     long as the Certificates are rated by Moody's, if BNY is the Affected Party
     in respect of an Additional Termination Event or a Tax Event Upon Merger or
     the Defaulting Party in respect of any Event of Default (but not, in any

                                       40

<PAGE>

     case, in respect of a Termination Event arising from an Illegality or Tax
     Event), the following provisions shall apply:

          (i) The definitions of "Market Quotation" and "Settlement Amount" are
          amended in their entirety to read as follows:

               "MARKET QUOTATION" means, with respect to one or more Terminated
               Transactions, an offer capable when made of becoming legally
               binding upon acceptance made by a Qualified Transferee for an
               amount that would be paid to the Counterparty (expressed as a
               negative number) or by the Counterparty (expressed as a positive
               number) in consideration of an agreement between the Counterparty
               and such Qualified Transferee to enter into a transaction with
               commercial terms substantially the same as those of this
               Agreement (save for the exclusion of provisions relating to
               Transactions that are not Terminated Transactions) (which shall
               be determined by the Counterparty, acting in a commercially
               reasonable manner), that would have the effect of preserving the
               economic equivalent for the Counterparty of any payment or
               delivery (whether the underlying obligation was absolute or
               contingent and assuming the satisfaction of each applicable
               condition precedent) by the parties under Section 2(a)(i) in
               respect of such Terminated Transactions or group of Terminated
               Transactions that would, but for the occurrence of the relevant
               Early Termination Date, have been required after that date (such
               transaction, a "REPLACEMENT TRANSACTION"). For this purpose,
               Unpaid Amounts in respect of the Terminated Transaction or group
               of Transactions are to be excluded but, without limitation, any
               payment or delivery that would, but for the relevant Early
               Termination Date, have been required (assuming satisfaction of
               each applicable condition precedent) after that Early Termination
               Date is to be included.

               "SETTLEMENT AMOUNT" means, with respect to any Early Termination
               Date, an amount (as determined by the Counterparty) equal to the
               Termination Currency Equivalent of the amount (whether positive
               or negative) of any Market Quotation for the relevant Terminated
               Transaction or group of Terminated Transactions that is accepted
               by the Counterparty so as to become legally binding, Provided
               that:

               (1) If, on the day falling ten Local Business Days after the day
               on which the Early Termination Date is designated or such later
               day as the Counterparty may specify in writing to BNY (but in
               either case no later than the Early Termination Date) (such day
               the "LATEST SETTLEMENT AMOUNT DETERMINATION DAY"), no Market
               Quotation for the relevant Terminated Transaction or group of
               Terminated Transactions has been accepted by the Counterparty so
               as to become legally binding and one or more Market Quotations
               have been made and remain capable of becoming legally binding
               upon acceptance, the Settlement Amount shall equal the
               Termination Currency Equivalent of the amount (whether positive
               or negative) of the lowest of such Market Quotations; and

               (2) If, on the Latest Settlement Amount Determination Day, no
               Market Quotation for the relevant Terminated Transaction or group
               of Terminated Transactions is accepted by the Counterparty so as
               to become legally binding and no Market Quotations have been made
               and remain capable of becoming legally binding upon acceptance,
               the Settlement Amount shall equal the Counterparty's Loss
               (whether positive or negative and without reference to any
               Un-paid amounts) for the relevant Terminated Transaction or group
               of Terminated Transactions.

          (ii) At any time on or before the Latest Settlement Amount
          Determination Day at which two or more Market Quotations remain
          capable of becoming legally binding upon acceptance, the Counterparty
          shall be entitled to accept only the lowest of such Market Quotations.

          (iii) if the Counterparty requests BNY in writing to obtain Market
          Quotations, BNY shall use its reasonable efforts to do so before the
          Latest Settlement Amount Determination Day.

                                       41

<PAGE>

          (iv) If the Settlement Amount is a negative number, Section 6(e)(i)(3)
          of this Agreement shall be deleted in its entirety and replaced with
          the following:

               "SECOND METHOD AND MARKET QUOTATION. If Second Method and Market
               Quotation apply, (1) the Counterparty shall pay to BNY an amount
               equal to the absolute value of the Settlement Amount in respect
               of the Terminated Transactions, (2) the Counterparty shall pay to
               BNY the Termination Currency Equivalent of the Unpaid Amounts
               owing to BNY and (3) BNY shall pay to the Counterparty the
               Termination Currency Equivalent of the Unpaid Amounts owing to
               the Counterparty, Provided that, (i) the amounts payable under
               (2) and (3) shall be subject to netting in accordance with
               Section 2(c) of this Agreement and (ii) notwithstanding any other
               provision of this Agreement, any amount payable by BNY under (3)
               shall not be netted-off against any amount payable by the
               Counterparty under (1)."

     (f) "TERMINATION CURRENCY" means United States Dollars.

     (g) "ADDITIONAL TERMINATION EVENT" will apply. The following shall
     constitute Additional Termination Events, and the party specified shall be
     the Affected Party with respect thereto:--

          (i) TERMINATION OF TRUST FUND. The Trust, Supplemental Interest Trust
          or Trust Fund shall be terminated pursuant to any provision of the
          Pooling and Servicing Agreement (including, without limitation, by
          completion of a successful auction termination or by exercise of the
          option to purchase and giving of notice under Sections 10.01 of the
          Pooling and Servicing Agreement). The Early Termination Date with
          respect to such Additional Termination Event shall be the Distribution
          Date upon which the Trust and the Supplemental Interest Trust or Trust
          Fund is terminated and final payment is made in respect of the
          Certificates. Each of BNY and the Counterparty may designate an Early
          Termination Date in respect of this Additional Termination Event. The
          Counterparty shall be the sole Affected Party.

          (ii) AMENDMENT OF POOLING AND SERVICING AGREEMENT. The amendment of
          the Pooling and Servicing Agreement in a manner which could have a
          material adverse affect on BNY without first obtaining the prior
          written consent of BNY (such consent not to be unreasonably withheld),
          where such consent is required under the Pooling and Servicing
          Agreement. The Counterparty shall be the sole Affected Party.

          (iii) COLLATERALIZATION OR RATINGS EVENT. A Collateralization Event or
          Ratings Event has occurred and is continuing and BNY fails to comply
          with the provisions of Paragraph 4(8)(ii) within the time periods set
          out therein; provided that an Additional Termination Event shall not
          be deemed to occur by virtue of a breach of Paragraph 4(8)(ii)(B) with
          respect to a Moody's Ratings Event unless and until such Moody's
          Ratings Event has continued for 30 or more Business Days and at least
          one Qualified Transferee has made an offer which remains capable of
          becoming legally binding upon acceptance to enter into a Permitted
          Transfer or other Replacement Transaction. BNY shall be the sole
          Affected Party. In the event that BNY has elected or is required to
          post collateral following the occurrence of a Ratings Event, then, a
          failure to post collateral in accordance with the provisions of the
          Credit Support Annex shall be subject to the provisions of Section
          5(a)(iii) and shall not be treated as an Additional Termination Event.
          Any breach of Paragraph 4(8)(ii)(A), (B) or (C) which is treated as an
          Additional Termination Event under this Paragraph 4(g)(iii) shall not
          constitute an Event of Default.

          (iv) REGULATION AB. BNY shall fail to comply with the provisions of
          Paragraph 4(9) within the time provided for therein. BNY shall be the
          sole Affected Party.

     3) TAX REPRESENTATIONS AND OTHER TAX RELATED PROVISIONS.

          (a) PAYER REPRESENTATIONS. For the purpose of Section 3(e), BNY and
     the Counterparty make the following representations:

               It is not required by any applicable law, as modified by the
          practice of any relevant governmental revenue authority, of any
          Relevant Jurisdiction to make any deduction or withholding for or on
          account of any Tax from any payment (other than

                                       42

<PAGE>

          interest under Section 2(e), 6(d)(ii) or 6(e)) to be made by it to the
          other party under this Agreement. In making this representation, it
          may rely on:

          (i) the accuracy of any representations made by the other party
          pursuant to Section 3(f);

          (ii) the satisfaction of the agreement contained in Section 4 (a)(i)
          or 4(a)(iii) and the accuracy and effectiveness of any document
          provided by the other party pursuant to Section 4 (a)(i) or 4(a)(iii);
          and

          (iii) the satisfaction of the agreement of the other party contained
          in Section 4(d), provided that it shall not be a breach of this
          representation where reliance is placed on clause (ii) and the other
          party does not deliver a form or document under Section 4(a)(iii) by
          reason of material prejudice of its legal or commercial position.

     (b) PAYEE REPRESENTATIONS. For the purpose of Section 3(f), BNY and the
     Counterparty make the following representations.

          (i)  The following representation will apply to BNY: (x) It is a "U.S.
               person" (as that term is used in section 1.1441-4(a)(3)(ii) of
               the United States Treasury Regulations) for United States federal
               income tax purposes, (y) it is a trust company duly organized and
               existing under the laws of the State of New York, and (y) its
               U.S. taxpayer identification number is 135160382.

          (ii) The following representation will apply to the Counterparty:
               None.

     (c) GROSS UP. Section 2(d)(i)(4) shall not apply to Counterparty as X, and
     Section 2(d)(ii) shall not apply to Counterparty as Y, such that
     Counterparty shall not be required to pay any additional amounts referred
     to therein.

     (d) INDEMNIFIABLE TAX. The definition of "Indemnifiable Tax" in Section 14
     is amended in its entirety to read as follows:

          "INDEMNIFIABLE TAX" means in relation to payments by BNY any Tax and
          in relation to payments by the Counterparty no Tax.

     4) DOCUMENTS TO BE DELIVERED. FOR THE PURPOSE OF SECTION 4(A):

     (a) Tax forms, documents or certificates to be delivered are:

<TABLE>
<CAPTION>
                                                                                     COVERED BY
PARTY REQUIRED TO                                           DATE BY WHICH TO BE     SECTION 3(D)
DELIVER DOCUMENT          FORM/DOCUMENT/ CERTIFICATE             DELIVERED         REPRESENTATION
-----------------      --------------------------------   ----------------------   --------------
<S>                    <C>                                <C>                      <C>
BNY and Counterparty   Any document required or           Promptly after the       Yes
                       reasonably requested to allow      earlier of (i)
                       the other party to make payments   reasonable demand by
                       under this Agreement without any   either party or (ii)
                       deduction or withholding for or    learning that such
                       on the account of any tax.         form or document is
                                                          required
</TABLE>

     (b) Other documents to be delivered are:

<TABLE>
<CAPTION>
                                                                                     COVERED BY
PARTY REQUIRED TO                                           DATE BY WHICH TO BE     SECTION 3(D)
DELIVER DOCUMENT          FORM/DOCUMENT/ CERTIFICATE             DELIVERED         REPRESENTATION
-----------------      --------------------------------   ----------------------   --------------
<S>                    <C>                                <C>                      <C>
BNY                    A certificate of an authorized     Upon the execution and   Yes
                       officer of the party, as to the    delivery of this
                       incumbency and authority of the    Agreement
                       respective officers of the party
                       signing this
</TABLE>

                                       43

<PAGE>

<TABLE>
<CAPTION>
                                                                                     COVERED BY
PARTY REQUIRED TO                                           DATE BY WHICH TO BE     SECTION 3(D)
DELIVER DOCUMENT          FORM/DOCUMENT/ CERTIFICATE             DELIVERED         REPRESENTATION
-----------------      --------------------------------   ----------------------   --------------
<S>                    <C>                                <C>                      <C>
                       Agreement, any relevant Credit
                       Support Document, or any
                       Confirmation, as the case may
                       be.

Counterparty           (i) a copy of the executed         Upon the later of,       Yes
                       Pooling and Servicing Agreement,   receipt by such party,
                       and (ii) an incumbency             or within 30 days
                       certificate verifying the true     after the date of this
                       signatures and authority of the    Agreement
                       person or persons signing this
                       letter agreement on behalf of
                       the Counterparty.

BNY                    Legal Opinion as to                Upon the execution and   Yes
                       enforceability of this             delivery of this
                       Agreement.                         Agreement.

Counterparty           Certified copy of the Board of     Upon the execution and   Yes
                       Directors resolution (or           delivery of this
                       equivalent authorizing             Agreement.
                       documentation) which sets forth
                       the authority of each signatory
                       to the Confirmation signing on
                       its behalf and the authority of
                       such party to enter into
                       Transactions contemplated and
                       performance of its obligations
                       hereunder.
</TABLE>

     5) MISCELLANEOUS.

     (a) ADDRESS FOR NOTICES: For the purposes of Section 12(a):

          ADDRESS FOR NOTICES OR COMMUNICATIONS TO BNY:

             The Bank of New York
             Swaps and Derivative Products Group
             Global Market Division
             32 Old Slip 15th Floor
             New York, New York 10286
             Attention: Steve Lawler

          with a copy to:

             The Bank of New York
             Swaps and Derivative Products Group
             32 Old Slip 16th Floor
             New York, New York 10286
             Attention: Andrew Schwartz
             Tele: 212-804-5103
             Fax: 212-804-5818/5837

             (For all purposes)

                                       44

<PAGE>

          A copy of any notice or other communication with respect to Sections 5
          or 6 should also be sent to the addresses set out below:

             The Bank of New York
             Legal Department
             One Wall Street - 10th Floor
             New York, New York 10286
             Attention: General Counsel

          ADDRESS FOR NOTICES OR COMMUNICATIONS TO THE COUNTERPARTY:

             LaSalle Bank National Association, not in its individual capacity,
             but solely as Trustee for Merrill Lynch First Franklin Mortgage
             Loan Trust, Series 2007-3
             Global Securities and Trust Services
             135 S. LaSalle Street, Suite 1511
             Chicago, Illinois 60603
             Attn: Rachel Otto
             Tel: 312-904-4839
             Fax: 312-904-1368

             With a copy to:

             Merrill Lynch Mortgage Investors, Inc.
             250 Vesey St.
             4 World Financial Center, 10th floor
             New York, NY 10080
             Attention: Alan Chan
             Telephone: 212-449-1441
             Facsimile: 212-738-1110

     (b) PROCESS AGENT. For the purpose of Section 13(c):

          BNY appoints as its Process Agent: Not Applicable

          The Counterparty appoints as its Process Agent: Not Applicable

     (c) OFFICES. The provisions of Section 10(a) will not apply to this
     Agreement; neither BNY nor the Counterparty have any Offices other than as
     set forth in the Notices Section and BNY agrees that, for purposes of
     Section 6(b), it shall not in future have any Office other than one in the
     United States.

     (d) MULTIBRANCH PARTY. For the purpose of Section 10(c):

          BNY is a Multibranch Party and will enter into each Transaction only
          through the following Office:-- New York (for all Transactions).

          The Counterparty is not a Multibranch Party.

     (e) CALCULATION AGENT. The Calculation Agent is BNY.

     (f) "CREDIT SUPPORT DOCUMENT" means in relation to:--

          BNY: the Credit Support Annex attached as Exhibit A hereto and any
Qualified Guaranty.

          The Counterparty: Not applicable.

     (g) "CREDIT SUPPORT PROVIDER" means in relation to:--

          BNY: The guarantor under any Qualified Guaranty.

          Counterparty: Not Applicable

     (h) GOVERNING LAW. This Agreement will be governed by and construed in
     accordance with the laws of the State of New York without reference to
     choice of law doctrine other than New York General Obligations Law Sections
     5-1401 and 5-1402.

                                       45

<PAGE>

     (i) SEVERABILITY. If any term, provision, covenant, or condition of this
     Agreement, or the application thereof to any party or circumstance, shall
     be held to be invalid or unenforceable (in whole or in part) for any
     reason, the remaining terms, provisions, covenants, and conditions hereof
     shall continue in full force and effect as if this Agreement had been
     executed with the invalid or unenforceable portion eliminated, so long as
     this Agreement as so modified continues to express, without material
     change, the original intentions of the parties as to the subject matter of
     this Agreement and the deletion of such portion of this Agreement will not
     substantially impair the respective benefits or expectations of the
     parties. The parties shall endeavor to engage in good faith negotiations to
     replace any invalid or unenforceable term, provision, covenant or condition
     with a valid or enforceable term, provision, covenant or condition, the
     economic effect of which comes as close as possible to that of the invalid
     or unenforceable term, provision, covenant or condition.

     (j) RECORDING OF CONVERSATIONS. Each party (i) consents to the recording of
     telephone conversations between the trading, marketing and other relevant
     personnel of the parties in connection with this Agreement or any potential
     Transaction, (ii) agrees to obtain any necessary consent of, and give any
     necessary notice of such recording to, its relevant personnel and (iii)
     agrees, to the extent permitted by applicable law, that recordings may be
     submitted in evidence in any Proceedings.

     (k) WAIVER OF JURY TRIAL. Each party waives any right it may have to a
     trial by jury in respect of any Proceedings relating to this Agreement or
     any Credit Support Document.

     (l) NON-RECOURSE. Notwithstanding any provision herein or in the Master
     Agreement to the contrary, the obligations of the Counterparty hereunder
     are limited recourse obligations of the Counterparty, payable solely from
     amounts on deposit in the Corridor Contract Account created by the Trustee
     and the proceeds thereof to satisfy the Counterparty's obligations
     hereunder. In the event that the Corridor Contract Account and proceeds
     thereof should be insufficient to satisfy all claims outstanding and
     following the realization of the Corridor Contract Account and the
     distribution of the proceeds thereof in accordance with the Pooling and
     Servicing Agreement, any claims against or obligations of the Counterparty
     under the Master Agreement or any other confirmation thereunder, still
     outstanding shall be extinguished and thereafter not revive. This provision
     shall survive the expiration of this Agreement.

     (m) LIMITATION ON INSTITUTION OF BANKRUPTCY PROCEEDINGS. BNY shall not
     institute against or cause any other person to institute against, or join
     any other person in instituting against the Counterparty, the Trust or the
     trust created pursuant to the Pooling and Servicing Agreement any
     bankruptcy, reorganization, arrangement, insolvency or liquidation
     proceedings, under any federal or state bankruptcy or similar law or
     bankruptcy or similar laws of any other jurisdiction, for a period of one
     year and one day (or, if longer, the applicable preference period)
     following indefeasible payment in full of the Certificates. This provision
     shall survive the expiration of this Agreement.

     (n) REMEDY OF FAILURE TO PAY OR DELIVER. The ISDA Form Master Agreement is
     hereby amended by replacing the word "third" in the third line of Section
     5(a)(i) by the word "first".

     (o) "AFFILIATE" will have the meaning specified in Section 14 of the ISDA
     Form Master Agreement, provided that the Counterparty shall be deemed not
     to have any Affiliates for purposes of this Agreement, including for
     purposes of Section 6(b)(ii).

     (p) TRUSTEE'S CAPACITY. It is expressly understood and agreed by the
     parties hereto that insofar as this Confirmation is executed by the Trustee
     (i) this Confirmation is executed and delivered by LaSalle Bank National
     Association, not in its individual capacity but solely as Trustee pursuant
     to the Pooling and Servicing Agreement in the exercise of the powers and
     authority conferred and vested in it thereunder and pursuant to instruction
     set forth therein, (ii) each of the representations, undertakings and
     agreements herein made on behalf of the trust is made and intended not as a
     personal representation, undertaking or agreement of the Trustee but is
     made and intended for the purpose of binding only the Counterparty, (iii)
     nothing contained herein shall be construed as creating any liability of
     LaSalle Bank National Association, individually or personally, to perform
     any covenants either express or implied contained herein, all such
     liability, if any, being expressly waived by the parties hereto and by any
     person claiming by, through or under the parties hereto and (iv) under no
     circumstances will LaSalle Bank

                                       46

<PAGE>

     National Association, in its individual capacity be personally liable for
     the payment of any indebtedness or expenses or be personally liable for the
     breach or failure of any obligation, representation, warranty or covenant
     made or undertaken under this Confirmation. Nothing herein contained shall
     be construed as creating any liability on LaSalle Bank National
     Association, individually or personally, to perform any covenant either
     expressed or implied contained herein, all such liability, if any, being
     expressly waived by the parties who are signatories to this letter
     agreement and by any person claiming by, through or under such parties.

     (q) TRUSTEE'S REPRESENTATION. LaSalle Bank National Association, as
     Trustee, represents and warrants that:

          It has been directed under the Pooling and Servicing Agreement to
          enter into this letter agreement as Trustee on behalf of the
          Counterparty.

     6)   ADDITIONAL REPRESENTATIONS. Section 3 is hereby amended by adding, at
          the end thereof, the following Sections 3(g), 3(h) and 3(i):

     "(g) RELATIONSHIP BETWEEN PARTIES.

          (1) NONRELIANCE. It is not relying on any statement or representation
          of the other party regarding the Transaction (whether written or
          oral), other than the representations expressly made in this Agreement
          or the Confirmation in respect of that Transaction.

          (2) EVALUATION AND UNDERSTANDING.

               (i) Each Party acknowledges that LaSalle Bank National
               Association, has been directed under the Pooling and Servicing
               Agreement to enter into this Transaction as Trustee on behalf of
               the Counterparty.

               (ii) It is acting for its own account and has the capacity to
               evaluate (internally or through independent professional advice)
               the Transaction and has made its own decision to enter into the
               Transaction; it is not relying on any communication (written or
               oral) of the other party as investment advice or as a
               recommendation to enter into such transaction; it being
               understood that information and explanations related to the terms
               and conditions of such transaction shall not be considered
               investment advice or a recommendation to enter into such
               transaction. No communication (written or oral) received from the
               other party shall be deemed to be an assurance or guarantee as to
               the expected results of the transaction; and

               (iii) It understands the terms, conditions and risks of the
               Transaction and is willing and able to accept those terms and
               conditions and to assume (and does, in fact assume) those risks,
               financially and otherwise.

          (3) NOT FIDUCIARY OR ADVISOR. The other party is not acting as a
          fiduciary or an advisor for it in respect of this Transaction.

          (h) EXCLUSION FROM COMMODITY EXCHANGE ACT. (A) It is an "eligible
          contract participant" within the meaning of Section 1a(12) of the
          Commodity Exchange Act, as amended; (B) this Agreement and each
          Transaction is subject to individual negotiation by such party; and
          (C) neither this Agreement nor any Transaction will be executed or
          traded on a "trading facility" within the meaning of Section 1a(33) of
          the Commodity Exchange Act, as amended.

          (i) SWAP AGREEMENT. Each Transaction is a "swap agreement" as defined
          in 12 U.S.C. Section 1821(e)(8)(D)(vi) and a "covered swap agreement"
          as defined in the Commodity Exchange Act (7 U.S.C. Section 27(d)(1))."

     7)   SET-OFF. All payments under this Agreement shall be made without
          set-off or counterclaim, except as provided in Section 2(c), Section 6
          or the provisions hereof relating to Market Quotation and Loss, or
          Paragraph 8 of the Credit Support Annex. Section 6(e) is amended by
          deleting the following sentence: "The amount, if any, payable in
          respect of an Early Termination Date and determined pursuant to this
          Section will be subject to any Set-off." For the avoidance of doubt,
          if more than one Transaction is

                                       47

<PAGE>

          entered into under this Agreement, nothing herein is intended to
          prevent the determination of a Settlement Amount with respect to all
          such Transactions pursuant to Section 6 (as modified hereby).

     8)   RATINGS DOWNGRADE.

          (i) DEFINITIONS. For purposes of each Transaction: (A) "RATING AGENCY
          CONDITION" means, with respect to any action taken or to be taken
          hereunder, a condition that is satisfied when each of Moody's and S&P
          (each a "RATING AGENCY", and the rating condition with respect to it,
          the "MOODY'S RATING CONDITION" and "S&P RATING CONDITION",
          respectively) has confirmed in writing to the Trustee that such action
          will not result in withdrawal, reduction or other adverse action with
          respect to any then-current rating by such Rating Agency of the
          Certificates;

          (B) "QUALIFYING RATINGS" means, with respect to the debt of any
          entity, (1) (x) a short-term unsecured and unsubordinated debt rating
          of at least "P-1", and a long-term unsecured and unsubordinated debt
          of at least "A2" (or, if it has no short-term unsecured and
          unsubordinated debt rating, a long term rating of at least "A1") by
          Moody's ("MOODY'S FIRST LEVEL QUALIFYING RATINGS"), and (y) a
          short-term unsecured and unsubordinated debt rating of at least "P-2",
          and a long-term unsecured and unsubordinated debt of at least "A3"
          (or, if it has no short-term unsecured and unsubordinated debt rating,
          a long term rating of at least "A3") by Moody's ("MOODY'S SECOND LEVEL
          QUALIFYING RATINGS"), and (2) a short-term unsecured and
          unsubordinated debt rating of at least "A-1" , or if it does not have
          a short-term rating, a long-term unsecured and unsubordinated debt
          rating of at least "A+" by S&P ("S&P QUALIFYING RATINGS");

          (C) A "COLLATERALIZATION EVENT" shall occur as to BNY if, with respect
          to the ratings of the long-term and short-term unsecured and
          unsubordinated debt of both BNY (if such debt of BNY is rated) and the
          guarantor under each Qualified Guaranty (if any): (1) the short-term
          rating is reduced to "P-2" or below, or the long-term rating is
          reduced to "A3" or below or, if neither BNY nor the guarantor under
          any Qualified Guaranty has a short-term rating, the long term rating
          is reduced to "A2" or below, by Moody's (a "MOODY'S COLLATERALIZATION
          EVENT"), or (2) the short-term rating is reduced to "A-2" or below,
          or, if neither BNY nor the guarantor under any Qualified Guranty has a
          short-term rating, the long-term rating is reduced to "A" or below by
          S&P (an "S&P COLLATERALIZATION EVENT");

          (D) A "RATINGS EVENT" shall occur as to BNY if, with respect to BNY
          the ratings of the long-term and short-term unsecured and
          unsubordinated debt of both BNY (if such debt of BNY is rated) and the
          guarantor under each Qualified Guaranty (if any): (1) the short-term
          rating is withdrawn or reduced to "P-3" or below or the long-term
          rating is reduced to "Baa1" or, if neither BNY nor the guarantor under
          any Qualified Guaranty has a short-term rating, the long term rating
          is withdrawn or reduced to "Baa1" or below, by Moody's (a "MOODY'S
          RATINGS EVENT"), or (2) the short-term rating is reduced below "A-3" ,
          or, if neither BNY nor the guarantor under any Qualified Guaranty has
          a short-term rating, the long term rating is withdrawn or reduced to
          "BB+" or below, by S&P (an "S&P RATINGS EVENT");

          (E) "QUALIFIED TRANSFEREE" means a transferee of a novation or
          assignment or a party (other than the Counterparty) that enters into
          another form of Replacement Transaction that is a Reference
          Market-maker ("dealer" in the definition thereof meaning a "dealer in
          notional principal contracts" as defined in Treas. Reg. Section
          1.1001-4) (1) that has Moody's Second Level Qualifying Ratings and S&P
          Qualifying Ratings or (2) whose present and future obligations owing
          to the Counterparty are guaranteed pursuant to a Qualified Guaranty;
          and

          (F) "QUALIFIED GUARANTY" means an unconditional and irrevocable
          guaranty of payment (and not of collection) and the performance of the
          other obligations of BNY (or a Qualified Transferee, as applicable)
          hereunder by a third party having Moody's Second Level Qualifying
          Ratings and S&P Qualifying Ratings ("QUALIFIED GUARANTOR") providing,
          inter alia, that payment thereunder shall be made as provided and on
          the conditions set forth in Section 2(d) as modified hereunder
          (substituting references to BNY

                                       48

<PAGE>

          as "X" with the guarantor as "X" and "this Agreement" with such
          guaranty, respectively) (or, in lieu of such provisions relating to
          tax, a law firm has given a legal opinion confirming that none of the
          guarantor's payments to the Counterparty under such guaranty will be
          subject to withholding for Tax).

          (ii) ACTIONS TO BE TAKEN. (A) If a Collateralization Event occurs,
          then BNY shall, at its own expense, no later than the earlier of
          thirty (30) Business Days thereafter in case of a Moody's
          Collateralization Event or thirty (30) calendar days thereafter in
          case of an S&P Collateralization Event:

               (1) post collateral (commencing within the times set forth
               herein) in accordance with the Credit Support Annex for so long
               as the Collateralization Event continues; or

               (2) subject to the S&P Rating Condition, novate, assign or
               transfer the Transactions to or replace the Transactions with
               Replacement Transactions with a Qualified Transferee (having the
               Moody's First Level Qualifying Ratings and the S&P Qualifying
               Ratings); or

               (3) subject to the S&P Rating Condition, obtain a Qualified
               Guaranty (provided by a guarantor having the Moody's First Level
               Qualifying Ratings and the S&P Qualifying Ratings).

          (B) If a Ratings Event occurs, then BNY shall at its own expense, no
          later than the earlier of thirty (30) Business Days thereafter in case
          of a Moody's Ratings Event or ten (10) Business Days thereafter in
          case of an S&P Ratings Event and subject to the S&P Rating Condition:

               (1) novate, assign or transfer the Transactions to or replace the
          Transactions with Replacement Transactions with a Qualified
          Transferee, or

               (2) obtain a Qualified Guaranty.

          (C) With respect to (A) and (B) above:

               (1) BNY shall post collateral in accordance with the Credit
               Support Annex and the times set forth herein for so long as a
               Collateralization Event or Ratings Event has occurred (or exists
               from the time BNY becomes a party hereto) and continues;

               (2) if a Ratings Event occurs, then BNY shall at its own expense,
               use commercially reasonable efforts to, take one of the actions
               referred to in (B) above as soon as reasonably practicable; and

               (3) if the debt of BNY is unrated because a Rating Agency has
               withdrawn such rating while any Transaction is outstanding under
               this Agreement, and if there is no Eligible Guaranty in effect at
               such time, then such withdrawal shall be treated as a Ratings
               Event unless the Rating Agency Condition is satisfied with
               respect thereto.

     9) COMPLIANCE WITH REGULATION AB.

     (a) If the Depositor under the Pooling and Servicing Agreement still has a
     reporting obligation with respect to this Transaction pursuant to
     Regulation AB under the Securities Act of 1933, as amended, and the
     Securities Exchange Act of 1934, as amended ("REGULATION AB") and BNY has
     not, within 30 days after receipt of a Swap Disclosure Request complied
     with the provisions set forth below in this Paragraph 4(9) (provided that
     if the significance percentage reaches 10% after a Swap Disclosure Request
     has been made to BNY, BNY must comply with the provisions set forth below
     in this Section 4(9) within 10 calendar days of BNY being informed of the
     significance percentage reaching 10%), then an Additional Termination Event
     shall have occurred with respect to BNY and BNY shall be the sole Affected
     Party with respect to such Additional Termination Event.

     (b) BNY acknowledges that for so long as there are reporting obligations
     with respect to this Transaction under Regulation AB, the Depositor is
     required under Regulation AB to disclose

                                       49

<PAGE>

     certain information set forth in Regulation AB regarding BNY or its group
     of affiliated entities, if applicable, depending on the aggregate
     "significance percentage" of this Agreement and any other derivative
     contracts between BNY or its group of affiliated entities, if applicable,
     and the Counterparty, as calculated from time to time in accordance with
     Item 1115 of Regulation AB.

     (c) If the Depositor determines, reasonably and in good faith, that the
     significance percentage of this Agreement has increased to eight (8)
     percent, then the Depositor may request on a Business Day after the date of
     such determination from BNY the same information set forth in Item 1115(b)
     of Regulation AB that would have been required if the significance
     percentage had in fact increased to ten (10) percent (such request, a "SWAP
     DISCLOSURE REQUEST" and such requested information, subject to the last
     sentence of this paragraph, is the "SWAP FINANCIAL DISCLOSURE"). The
     Counterparty or the Depositor shall provide BNY with the calculations and
     any other information reasonably requested by BNY with respect to the
     Depositor's determination that led to the Swap Disclosure Request. The
     parties hereto further agree that the Swap Financial Disclosure provided to
     meet the Swap Disclosure Request may be, solely at BNY's option, either the
     information set forth in Item 1115(b)(1) or Item 1115(b)(2) of Regulation
     AB.

     (d) Upon the occurrence of a Swap Disclosure Request, BNY, at its own
     expense, shall (x) provide the Depositor with the Swap Financial Disclosure
     in an Edgar-compatible format, or (y) subject to Rating Agency Condition,
     secure another entity to replace BNY as party to this Agreement on terms
     substantially similar to this Agreement which entity is able to provide the
     Swap Financial Disclosure. If permitted by Regulation AB, any required Swap
     Financial Disclosure may be provided by incorporation by reference from
     reports filed pursuant to the Securities Exchange Act.

     (e) BNY's obligation to comply with this Paragraph 4(9) shall be suspended
     as of January 1, 2008 unless, at any time, BNY receives notification from
     the Depositor or the Counterparty that the Trust Fund's obligation to file
     periodic reports under the Exchange Act shall continue; provided, however,
     that such obligations shall not be suspended in respect of any Exchange Act
     Report or amendment to an Exchange Act Report in such fiscal year which
     relates to any fiscal year in which the Trust Fund was subject to the
     reporting requirements of the Exchange Act. This obligation shall continue
     to be suspended unless the Depositor or the Counterparty notifies BNY that
     the Trust Fund's obligations to file reports under the Exchange Act has
     resumed.

     10) BNY PAYMENTS TO BE MADE TO TRUSTEE. BNY will, unless otherwise directed
by the Trustee, make all payments hereunder to the Trustee. Payment made to the
Trustee at the account specified herein or to another account specified in
writing by the Trustee shall satisfy the payment obligations of BNY hereunder to
the extent of such payment.

     11) RETURN OF AMOUNTS RECEIVED BY MLML OR ITS AFFILIATES. Merrill Lynch
Mortgage Lending, Inc. ("MLML") agrees and acknowledges that amounts paid
hereunder are not intended to benefit the holder of any class of Certificates
rated by any Rating Agency if such holder is MLML or any of its affiliates. If
MLML or any of its affiliates receives any such amounts, it will promptly remit
(or, if such amounts are received by an affiliate of MLML, MLML hereby agrees
that it will cause such affiliate to promptly remit) such amounts to the
Trustee, whereupon such Trustee will promptly remit such amounts to BNY. MLML
further agrees to provide notice to BNY upon any remittance to the Trustee.

     12) ADDITIONAL PROVISIONS. Notwithstanding the terms of Sections 5 and 6 of
the ISDA Form Master Agreement, if the Counterparty has satisfied its payment
obligations under Section 2(a)(i) of the ISDA Form Master Agreement, and shall,
at the time, have no future payment or delivery obligation, whether absolute or
contingent, then unless BNY is required pursuant to appropriate proceedings to
return to the Counterparty or otherwise returns to the Counterparty upon demand
of the Counterparty any portion of such payment, (a) the occurrence of an event
described in Section 5(a) of the ISDA Form Master Agreement with respect to the
Counterparty shall not constitute an Event of Default or Potential Event of
Default with respect to the Counterparty as the Defaulting Party and (b) BNY
shall be entitled to designate an Early Termination Date pursuant to Section 6
of the ISDA Form Master Agreement only as a result of a Termination Event set
forth in either Section 5(b)(i) or Section 5(b)(ii) of the ISDA Form Master
Agreement with respect to BNY as the Affected Party or Section 5(b)(iii) of the
ISDA Form Master Agreement with respect to BNY as the Burdened Party.

                                       50

<PAGE>

5.   ACCOUNT DETAILS AND SETTLEMENT INFORMATION:

     PAYMENTS TO BNY:

        The Bank of New York
        Derivative Products Support Department
        32 Old Slip, 16th Floor
        New York, New York 10286
        Attention: Renee Etheart
        ABA #021000018
        Account #890-0068-175
        Reference: Interest Rate Swap/Cap

     PAYMENTS TO COUNTERPARTY:

        LaSalle Bank, Chicago, IL
        ABA# 071000505
        LaSalle CHGO/CTR/BNF:/LASALLE TRUST
        A/C# 724765.4

     6. COUNTERPARTS. This Agreement may be executed in several counterparts,
each of which shall be deemed an original but all of which together shall
constitute one and the same instrument.

     Please confirm that the foregoing correctly sets forth the terms of our
agreement by executing this agreement and returning it via facsimile to
Derivative Products Support Dept., Attn: Kenny Au-Yeung at 212-804-5818/5837.
Once we receive this we will send you two original confirmations for execution.

                                       51

<PAGE>

     We are very pleased to have executed this Transaction with you and we look
forward to completing other transactions with you in the near future.

Very truly yours,

THE BANK OF NEW YORK

A. BY:
       -------------------------------
Name:
      --------------------------------
Title:
       -------------------------------

                                       52

<PAGE>

     The Counterparty, acting through its duly authorized signatory, hereby
agrees to, accepts and confirms the terms of the foregoing as of the Trade Date.

LASALLE BANK NATIONAL ASSOCIATION, NOT IN ITS INDIVIDUAL CAPACITY, BUT SOLELY AS
TRUSTEE FOR THE TRUST RELATING TO THE MERRILL LYNCH FIRST FRANKLIN MORTGAGE LOAN
TRUST, SERIES 2007-3

B. BY:
       -------------------------------
Name:
      --------------------------------
Title:
       -------------------------------

Solely with respect to Paragraph 4(11)
IV. MERRILL LYNCH MORTGAGE LENDING, INC.

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

                                       53

<PAGE>

                                   SCHEDULE I

(all such dates are subject to adjustment in accordance with the Modified
Following Business Day Convention).

<TABLE>
<CAPTION>
Accrual Start Date   Accrual End Date   Cap Rate (%)
------------------   ----------------   ------------
<S>                  <C>                <C>
    05/30/2007          06/25/2007          7.641
    06/25/2007          07/25/2007          6.406
    07/25/2007          08/25/2007          6.148
    08/25/2007          09/25/2007          6.148
    09/25/2007          10/25/2007          6.407
    10/25/2007          11/25/2007          6.151
</TABLE>

                                       54
<PAGE>

                                   EXHIBIT M-4

       FORM OF CREDIT SUPPORT ANNEX RELATED TO THE CAP CORRIDOR CONTRACTS

(BILATERAL FORM)                  (ISDA AGREEMENTS SUBJECT TO NEW YORK LAW ONLY)

                                     (ISDA(R) LOGO)
              International Swaps and Derivatives Association, Inc.

                              CREDIT SUPPORT ANNEX
                             to the Schedule to the

                              ISDA MASTER AGREEMENT
                            Dated as of May 30, 2007

                                     between

THE BANK OF NEW YORK                 and   LASALLE BANK NATIONAL ASSOCIATION,
                                           NOT IN ITS INDIVIDUAL CAPACITY, BUT
                                           SOLELY AS TRUSTEE WITH RESPECT TO THE
                                           TRUST RELATING TO THE MERRILL LYNCH
                                           FIRST FRANKLIN MORTGAGE LOAN TRUST,
                                           SERIES 2007-3

established as a banking                   The Trust is a common law trust
organization under the laws of the         established under the laws of the
State of New York                          State of New York.

             ("PARTY A")                                ("PARTY B")

This Annex supplements, forms part of, and is subject to, the Master Agreement
specified in the Confirmation(s) between Party A and Party B (BNY Ref. No.
39366, 39367 and 39368) (the "AGREEMENT"), dated even date herewith, is part of
the Schedule deemed incorporated therein and is a Credit Support Document under
the Master Agreement with respect to Party A.

Accordingly, the parties agree as follows:--

PARAGRAPHS 1 - 12. INCORPORATION. Paragraphs 1 through 12 inclusive of the ISDA
Credit Support Annex (Bilateral Form) (ISDA Agreements Subject to New York Law
Only) published in 1994 by the International Swaps and Derivatives Association,
Inc. are incorporated herein by reference and made a part hereof, except that
Paragraph 1(b) is hereby amended in its entirety to read as follows:

"(b) SECURED PARTY AND PLEDGOR. Notwithstanding anything contained in this Annex
to the contrary, (a) the term "Secured Party" as used in this Annex means only
Party B, (b) the term "Pledgor" as used in this Annex means only Party A, (c)
only Party A makes the pledge and grant in Paragraph 2, the acknowledgment in
the final sentence of Paragraph 8(a) and the

                                       55
<PAGE>

representations in Paragraph 9, and (d) only Party A will be required to make
Transfers of Eligible Credit Support hereunder."

PARAGRAPH 13.

CERTAIN DEFINITIONS. As used herein, "MOODY'S", "S&P", "RATING AGENCY",
"COLLATERALIZATION EVENT", "MOODY'S COLLATERALIZATION EVENT", "S&P
COLLATERALIZATION EVENT"; "RATINGS EVENT", "MOODY'S RATINGS EVENT", and "S&P
RATINGS EVENT" have the meanings assigned in the Schedule.

(a) SECURITY INTEREST FOR "OBLIGATIONS." The term "OBLIGATIONS" as used in this
Annex includes the following additional obligations: Not applicable.

(b) CREDIT SUPPORT OBLIGATIONS.

     (i) DELIVERY AMOUNT, RETURN AMOUNT AND CREDIT SUPPORT AMOUNT.

          (A) "DELIVERY AMOUNT" has the meaning specified in Paragraph 3(a)
          except that the words "upon a demand made by the Secured Party on or
          promptly following a Valuation Date" shall be deleted and replaced by
          the words "on each Valuation Date on which the Threshold for Party A
          is Zero, commencing no later than the Valuation Date falling on or
          after the earliest of (i) in the case of a Moody's Collateralization
          Event or Moody's Ratings Event, on the 30th Local Business Day
          thereafter, (ii) in the case of an S&P Collateralization Event, the
          thirtieth (30th) calendar day thereafter or, if it is not a Local
          Business Day, the next preceding day that is a Local Business Day and
          (iii) in the case of an S&P Ratings Event, commencing promptly after
          publication by S&P of the applicable change in rating.

          (B) "RETURN AMOUNT" has the meaning specified in Paragraph 3(b).

          (C) "CREDIT SUPPORT AMOUNT" in Paragraph 3(b), shall be amended in its
          entirety to read as follows:

               "`CREDIT SUPPORT AMOUNT' means, for any Valuation Date after and
               during the continuance of a Collateralization Event or Ratings
               Event, (i) the Secured Party's Exposure for that Valuation Date,
               plus (ii) the aggregate of all Independent Amounts applicable to
               the Pledgor (with respect to all Affected Transactions), if any,
               minus (iii) the Pledgor's Threshold; provided, however, that the
               Credit Support Amount will be deemed to be zero whenever the
               calculation of the Credit Support Amount yields a number less
               than zero; and, provided further, that, if a Moody's Ratings
               Event with respect to Party A and the guarantor under each
               Qualified Guaranty (if any) has occurred and is continuing and at
               least thirty (30) Business Days have elapsed since the last time
               it was not the case that a Moody's Ratings Event had occurred and
               was continuing with respect to Party A and the guarantor under
               each Qualified Guaranty (if any), the Credit Support Amount will
               not be less than the greater of zero and the aggregate amount of
               the net payments due from Pledgor in respect of all following
               scheduled Payments (each such net payment being the greater of
               zero and the amount of the payment due to be made by the Pledgor
               under Section 2(a) on a Payment date less the amount of any
               payment due to be made by the Secured Party under Section 2(a) on
               the same Payment Date after giving effect to any applicable
               netting under Section 2(c) (each a "NET PAYMENT")) with respect
               to all Affected Transactions.

     (ii) ELIGIBLE COLLATERAL. The items set forth in Schedule 1A or Schedule
     1B, as applicable, will qualify as "ELIGIBLE COLLATERAL" for Party A.

     (iii) OTHER ELIGIBLE SUPPORT. The following items will qualify as "OTHER
     ELIGIBLE SUPPORT" for the party specified: Not Applicable.

     (iv) THRESHOLDS.

                                       56
<PAGE>

          (A) "INDEPENDENT AMOUNT" means with respect to Party B: Zero; and,
          with respect to Party A for any Valuation Date: an amount, equal to
          the product of the aggregate Notional Amount outstanding at the
          beginning of the related Calculation Period under the applicable
          Affected Transactions, and the greater of:

               (1)  in respect of a Moody's Collateralization Event or a Moody's
                    Ratings Event, the percentage set forth in Schedule 2A,
                    Schedule 2B or Schedule 2C, as applicable ("MOODY'S
                    INDEPENDENT AMOUNT"); and

               (2)  in respect of an S&P Collateralization Event or an S&P
                    Ratings Event, (x) with respect to basis risk swaps, the
                    product of the S&P Volatility Buffer and .10, and (y) with
                    respect to all other Transactions the S&P Volatility Buffer
                    determined using the table set forth in Schedule 3 ("S&P
                    INDEPENDENT AMOUNT").

          (B) "THRESHOLD" means for each party: an infinite number; provided,
          that the Threshold shall be zero at any time that Party A elects or is
          required to post collateral pursuant to Part 4(8)(ii) of the Schedule.

          (C) "MINIMUM TRANSFER AMOUNT" means with respect to Party A and Party
          B: $100,000; provided, that the Minimum Transfer Amount for such party
          shall be $50,000 in respect of an S&P Collateralization Event and an
          S&P Ratings Event if the aggregate principal balance of the rated
          Certificates is $50,000,000 or less on the applicable Valuation Date,
          and shall be zero upon the occurrence and during the continuance of an
          Event of Default, Termination Event, Additional Termination Event, or
          Specified Condition with respect to such party.

          (D) ROUNDING. The Delivery Amount will be rounded up to the nearest
          integral multiple of $1,000 and the Return Amount will be rounded down
          to the nearest integral multiple of $1,000.

     (v) CONFLICTING VALUATION PERCENTAGE. Notwithstanding the definition of
     "Valuation Percentage" in Paragraph 10, the Valuation Percentage for any
     item of Eligible Collateral shall be the lowest of the applicable
     percentages specified for such item by any Rating Agency then rating the
     Certificates.

(c) VALUATION AND TIMING.

     (i) "VALUATION AGENT" means, Party A, provided, that if any Event of
     Default with respect to Party A has occurred and is continuing, then any
     designated third party mutually agreed to by the parties shall be the
     Valuation Agent until such time as Party A is no longer a Defaulting Party.

     (ii) "VALUATION DATE" means: each Local Business Day.

     (iii) "VALUATION TIME" means:

          [ ]  the close of business in the city of the Valuation Agent on the
               Valuation Date or date of calculation, as applicable;

          [X]  the close of business on the Local Business Day before the
               Valuation Date or date of calculation, as applicable;

     provided, that the calculations of Value and Exposure will be made as of
     approximately the same time on the same date.

     (iv) "NOTIFICATION TIME" means 1:00 p.m., New York time, on a Local
     Business Day.

(d) CONDITIONS PRECEDENT AND SECURED PARTY'S RIGHTS AND REMEDIES. (i) Illegality
and (ii) Additional Termination Events will be a "SPECIFIED CONDITION" for Party
A (as the Affected Party) (but not for purposes of Paragraph 8(d)), and (iii)
Tax Event and (iv) Tax Event Upon Merger will not be a "SPECIFIED CONDITION for
Party A.

(e) SUBSTITUTION.

                                       57
<PAGE>

     (i) "SUBSTITUTION DATE" has the meaning specified in Paragraph 4(d)(ii).

     (ii) CONSENT. If specified here as applicable, then the Pledgor must obtain
     the Secured Party's consent for any substitution pursuant to Paragraph
     4(d): Applicable.

(f) DISPUTE RESOLUTION.

     (i) "RESOLUTION TIME" means 1:00 p.m., New York time, on the Local Business
     Day following the date on which the notice is given that gives rise to a
     dispute under Paragraph 5.

     (ii) VALUE. For the purpose of Paragraphs 5(i)(C) and 5(ii), the Value of
     Posted Credit Support will be calculated as follows: as set forth for other
     purposes in Paragraph 12.

     (iii) ALTERNATIVE. The provisions of Paragraph 5 will apply, except to the
     following extent: (A) pending the resolution of a dispute, Transfer of the
     undisputed Value of Eligible Credit Support or Posted Credit Support
     involved in the relevant demand will be due as provided in Paragraph 5 if
     the demand is given by the Notification Time, but will be due on the second
     Local Business Day after the demand if the demand is given after the
     Notification Time; and (B) the Disputing Party need not comply with the
     provisions of Paragraph 5(II)(2) if the amount to be Transferred does not
     exceed the Disputing Party's Minimum Transfer Amount.

(g) HOLDING AND USING POSTED COLLATERAL.

     (i) ELIGIBILITY TO HOLD POSTED COLLATERAL; CUSTODIANS. The Secured Party
     will not be entitled to hold Posted Collateral itself. The Secured Party
     will be hold Posted Collateral in an identifiable segregated account
     through a Custodian (which may be the Trustee and which shall at all times
     be a financial institution as specified under the Pooling and Servicing
     Agreement. If not so specified, the Custodian shall be a commercial bank or
     trust company which is unaffiliated with Party B organized under the laws
     of the United States or any state thereof, having assets of at least $10
     billion and a long term debt or a deposit rating of at least Baa2 from
     Moody's and A from S&P. For so long as the Certificates are rated by S&P,
     any Custodian other than the Trustee shall have a short-term debt or
     deposit rating of at least A-1, or, if it has no short term-term rating, a
     long-term debt or deposit rating of at least A from S&P .

     Initially, the Custodian for Party B is: The Trustee under the Pooling and
     Servicing Agreement or any successor trustee thereto.

     (ii) USE OF POSTED COLLATERAL. The provisions of Paragraph 6(c) will not
     apply to the Secured Party; therefore, Party B will not have any of the
     rights specified in Paragraph 6(c)(i) or 6 (c)(ii).

(h) DISTRIBUTIONS AND INTEREST AMOUNT.

     (i) INTEREST RATE. The "Interest Rate", with respect to Eligible Collateral
     in the form of Cash will be the actual rate of interest earned by the
     Counterparty or the Custodian if the Cash is invested at the direction of
     Party A in accordance with Paragraph 13(1)(vi); otherwise the "Interest
     Rate" will be, for any day, the rate opposite the caption "Federal Funds
     (Effective)" for such day as published for such day in Federal Reserve
     Publication H.15(519) or any successor publication as published by the
     Board of Governors of the Federal Reserve System or such other rate as
     agreed by the parties.

     (ii) TRANSFER OF INTEREST AMOUNT. The Transfer of the Interest Amount will
     be made on the first Local Business Day of each calendar month and on any
     Local Business Day that Posted Collateral in the form of Cash is
     Transferred to the Pledgor pursuant to Paragraph 3(b). subject to the
     receipt and availability of such funds..

     (iii) ALTERNATIVE TO INTEREST AMOUNT. The provisions of Paragraph 6(d)(ii)
     will apply.

(i) OTHER ELIGIBLE SUPPORT AND OTHER POSTED SUPPORT.

                                       58
<PAGE>

     (i) "VALUE" with respect to Other Eligible Support and Other Posted Support
     means: Inapplicable.

     (ii) "TRANSFER" with respect to Other Eligible Support and Other Posted
     Support means: Inapplicable.

(j) DEMANDS AND NOTICES. All demands, specifications and notices under this
Annex will be made pursuant to the Notices Section of this Agreement, unless
otherwise specified here:

     (i) Party A:    to be specified in each notice.

     (ii) Party B:   LaSalle Bank National Association, not in its
                     individual capacity, but solely as Trustee for Merrill
                     Lynch First Franklin Mortgage Loan Trust, Series 2007-3
                     Global Securities and Trust Services
                     135 S. LaSalle Street, Suite 1511
                     Chicago, Illinois 60603
                     Attn: Rachel Otto
                     Tel: 312-904-4839
                     Fax: 312-904-1368

(k) ADDRESSES FOR TRANSFERS.

     Party A: For Cash: To be provided
              For Eligible Collateral: To be provided

     Party B: To be provided

(l) OTHER PROVISIONS.

     (i) ADDITIONAL DEFINITIONS. As used in this Annex:--

          "EQUIVALENT COLLATERAL" means, with respect to any security
          constituting Posted Collateral, a security of the same issuer and, as
          applicable, representing or having the same class, series, maturity,
          interest rate, principal amount or liquidation value and such other
          provisions as are necessary for that security and the security
          constituting Posted Collateral to be treated as equivalent in the
          market for such securities;

          "LOCAL BUSINESS DAY" means: (i) any day on which commercial banks are
          open for business (including dealings in foreign exchange and foreign
          currency deposits) in New York, and (ii) in relation to a Transfer of
          Eligible Collateral, a day on which the clearance system agreed
          between the parties for the delivery of Eligible Collateral is open
          for acceptance and execution of settlement instructions (or in the
          case of a Transfer of Cash or other Eligible Collateral for which
          delivery is contemplated by other means, a day on which commercial
          banks are open for business (including dealings for foreign exchange
          and foreign currency deposits) in New York and such other places as
          the parties shall agree);

     (ii) TRANSFER TIMING.

          (A) Paragraph 4(b) shall be deleted and replaced in its entirety by
          the following paragraph: "Subject to Paragraphs 4(a) and 5 and unless
          otherwise specified, if a demand for the Transfer of Eligible Credit
          Support or Posted Credit Support is made by the Notification Time,
          then the relevant Transfer will be made not later than the close of
          business on the second Local Business Day thereafter; if a demand is
          made after the Notification Time then the relevant Transfer will be
          made not later than the close of business on the third Local Business
          Day thereafter."

                                       59
<PAGE>

          (B) Paragraph 6(d)(1) shall be amended so that the reference therein
          to "the following Local Business Day" shall be replaced by reference
          to "the second Local Business Day thereafter".

     (iii) EVENTS OF DEFAULT. Paragraph 7 shall be deleted and replaced in its
     entirety by the following paragraph:

          "For the purposes of Section 5(a)(iii) of this Agreement, an Event of
          Default will exist with respect to a party if that party fails (or
          fails to cause its Custodian) to make, when due, any Transfer of
          Eligible Credit Support, Posted Credit Support or the Interest Amount,
          as applicable, required to be made by it and that failure continues
          for two Local Business Day after the notice of that failure is given
          to that party; provided, that, with respect to a failure to Transfer
          Eligible Credit Support, at least (x) 30 Local Business Days have
          elapsed after a Ratings Event has occurred, or (y) 10 Business Days
          have elapsed after an S&P Ratings Event, and such failure is not
          remedied on or before the third Local Business Day after notice of
          such failure is given to Party A".

     (iv) NO COUNTERCLAIM. A party's rights to demand and receive the Transfer
     of Eligible Collateral as provided hereunder and its rights as Secured
     Party against the Posted Collateral or otherwise shall be absolute and
     subject to no counterclaim, set-off, deduction or defense in favor of the
     Pledgor except as contemplated in Sections 2 and 6 of the Agreement and
     Paragraph 8 of this Annex.

     (v) HOLDING COLLATERAL. The Secured Party shall cause any Custodian
     appointed hereunder to open and maintain a segregated account and to hold,
     record and identify all the Posted Collateral therein and, subject to
     Paragraphs 6(c) and 8(a), such Posted Collateral shall at all times be and
     remain the property of the Pledgor and shall at no time constitute the
     property of, or be commingled with the property of, the Secured Party or
     the Custodian.

     (vi) INVESTMENT OF CASH POSTED COLLATERAL. Cash Posted Collateral shall be
     invested in Permitted Investments as directed by Party A, with gains and
     losses incurred in respect of such investments to be for the account of
     Party A, subject to the following parameters: the Cash Posted Collateral
     shall be invested in such overnight (or redeemable within two Local
     Business Days of demand) investments rated at least (x) AAAm or AAAm-G by
     S&P and (y) Prime -1 or Aaa by Moody's as directed by Party A (provided,
     that such investment shall be held uninvested or invested at the direction
     of Party B if an Event of Default or an Additional Termination Event has
     occurred with respect to which Party A is the defaulting or sole Affected
     Party and Party B has designated an Early Termination Date with respect
     thereto). Such instructions may be delivered as standing instructions.

     (vii) RETURN OF POSTED COLLATERAL. At any time Party A is required to post
     collateral pursuant to Part 4(8)(ii)of the Schedule, Party A shall be
     obligated to transfer Eligible Collateral in accordance with the terms of
     this Annex. If Party A is so required to post collateral in relation to a
     Collateralization Event or a Ratings Event and thereafter ceases to be
     required to post collateral under Part 4(8)(ii)of the Schedule (and
     provided that no Event of Default exists with respect to Party A) or Party
     A has made a Permitted Transfer under this Agreement, then Party A's
     obligations to transfer Eligible Collateral under this Annex will
     immediately cease with respect to that Collateralization Event or Ratings
     Event, and Party B will, upon demand by Party A, return to Party A, or
     cause its Custodian to return, all Posted Collateral held under this Annex.
     The Secured Party is authorized to liquidate any Posted Collateral pursuant
     to written instructions from Party A.

     (viii) EXTERNAL VERIFICATION OF MARK-TO-MARKET VALUATIONS. If the long-term
     senior unsecured debt of Party A is rated BBB or below by S&P, once every
     month, Party A will at its own expense verify its determination of Exposure
     of the Transaction on the next Valuation Date by seeking quotations from
     two (2) Reference Market-makers (provided, that a Reference Market-maker
     may not be used more than four times within each 12 month period) for their
     determination of Exposure of the Transaction on such Valuation Date and the
     Valuation Agent will use the greater of either (a) its own

                                       60
<PAGE>

     determination or (b) the high quotation for a Reference Market-maker, if
     applicable for the next Valuation Date and cure any deficiency in
     collateral value within three Local Business Days. Party A shall provide
     the quotations of such Reference Market-makers to S&P.

     (ix) EXPENSES. Notwithstanding Paragraph 10, the Pledgor will be
     responsible for, and will reimburse the Secured Party for, all transfer and
     other taxes and other costs involved in the transfer of Eligible
     Collateral.

     (x) LIMIT ON SECURED PARTY'S LIABILITY. The Secured Party will not be
     liable for any losses or damages that the Pledgor may suffer as a result of
     any failure by the Secured Party to perform, or any delay by it in
     performing, any of its obligations under this Annex if the failure or delay
     results from circumstances beyond the reasonable control of the Secured
     Party or its Custodian, such as interruption or loss of computer or
     communication services, labor disturbance, natural disaster or local or
     national emergency.

                      [Signature page immediately follows]

                                       61
<PAGE>

     IN WITNESS WHEREOF the parties have executed this Credit Support Annex on
the respective dates specified below with effect from the date on the first
page.

THE BANK OF NEW YORK                    LASALLE BANK NATIONAL ASSOCIATION,
                                        NOT IN ITS INDIVIDUAL CAPACITY,BUT
                                        SOLELY AS TRUSTEE WITH RESPECT TO THE
                                        TRUST RELATING TO THE MERRILL LYNCH
                                        FIRST FRANKLIN MORTGAGE LOAN TRUST,
                                        SERIES 2007-3

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

                                       62
<PAGE>
'
                                   SCHEDULE 1A
                               ELIGIBLE COLLATERAL
                                     MOODY'S

Certificates: Class A, Class M and Class B Certificates
Highest Rating of Certificates: Class A rated "Aaa" by Moody's, and "AAA" by
S&P.
Scheduled Date Certificates will fall to $50,000,000 or below:
Last Scheduled Payment Date of Transactions: No. 39366:
November 25, 2007; No. 39367: November 25, 2007; No. 39368: November 25, 2007
Valuation Date (and Valuation Percentage column): Daily Moody's Valuation
Percentage columns:

     *    Column A sets out the percentage applicable when the percentage in
          Column B is not applicable.

     *    Column B sets out the percentage applicable when a Moody's Ratings
          Event has occurred and is continuing and at least 30 Local Business
          Days have elapsed since the last time it was not the case that a
          Moody's Ratings Event had occurred and was continuing.

             ELIGIBLE COLLATERAL & VALUATION PERCENTAGES (MOODY'S )

<TABLE>
<CAPTION>
                                                           VALUATION          VALUATION
                                                          PERCENTAGE         PERCENTAGE
                                                        ---------------   ----------------
                                                        MOODY'S (DAILY)   MOODY'S (WEEKLY)
                                                        ---------------   ----------------
                                                           A       B         A       B
                                                         -----   -----     -----   -----
<S>                                                     <C>      <C>      <C>      <C>
(A)    Cash: U.S. Dollars in depositary account form      100%     100      100%    100%

(B)    Floating-rate U.S. Treasury Securities:            100%      99%     100%     99%
       Floating-rate negotiable debt obligations
       issued by the U.S. Treasury Department after
       July 18, 1984 ("FLOATING-RATE TREASURIES")
       (all maturities).

(C)    U.S. Treasury Securities: Fixed-rate               100%     100%     100%    100%
       negotiable debt obligations issued by the U.S.
       Treasury Department after July 18, 1984
       ("FIXED-RATE TREASURIES") having a remaining
       maturity of up to and not more than 1 year.

(D)    Fixed-rate Treasuries having a remaining           100%      99%     100%     99%
       maturity of greater than 1 year but not more
       than 2 years.

(E)    Fixed-rate Treasuries having a remaining           100%      98%     100%     98%
       maturity of greater than 2 years but not more
       than 3 years.

(F)    Fixed-rate Treasuries having a remaining           100%      97%     100%     97%
       maturity of greater than 3 years but not more
       than 5 years.

(G)    Fixed-rate Treasuries having a remaining           100%      96%     100%     95%
       maturity of greater than 5 years but not more
       than 7 years.

(H)    Fixed-rate Treasuries having a remaining           100%      94%     100%     94%
       maturity of greater than 7 years but not more
       than 10 years.

(I)    Fixed-rate Treasuries having a remaining           100%      90%     100%     89%
       maturity of greater than 10 years but not more
       than 20 years.

(J)    Fixed-rate Treasuries having a remaining           100%      88%     100%     87%
       maturity of greater than 20 years but not more
       than 30 years.
</TABLE>

                         1A-1

<PAGE>

             ELIGIBLE COLLATERAL & VALUATION PERCENTAGES (MOODY'S )

<TABLE>
<S>                                                     <C>      <C>      <C>      <C>
(K)    Floating-rate Agency Securities: Floating-rate     100%      98%     100%     98%
       negotiable debt obligations of the Federal
       National Mortgage Association (FNMA), Federal
       Home Loan Mortgage Corporation (FHLMC),
       Federal Home Loan Banks (FHLB), Federal Farm
       Credit Banks (FFCB), Tennessee Valley
       Authority (TVA) (collectively, "FLOATING-RATE
       AGENCY SECURITIES") (all maturities).

(L)    Fixed-rate Agency Securities: Fixed-rate           100%      99%     100%     99%
       negotiable debt obligations of the Federal
       National Mortgage Association (FNMA), Federal
       Home Loan Mortgage Corporation (FHLMC),
       Federal Home Loan Banks (FHLB), Federal Farm
       Credit Banks (FFCB), Tennessee Valley
       Authority (TVA) (collectively, "FIXED-RATE
       AGENCY SECURITIES") issued after July 18, 1984
       and having a remaining maturity of not more
       than 1 year.

(M)    Fixed-rate Agency Securities having a              100%      99%     100%     98%
       remaining maturity of greater than 1 year but
       not more than 2 years.

(N)    Fixed-rate Agency Securities having a              100%      98%     100%     97%
       remaining maturity of greater than 2 years but
       not more than 3 years.

(O)    Fixed-rate Agency Securities having a              100%      96%     100%     96%
       remaining maturity of greater than 3 years but
       not more than 5 years.

(P)    Fixed-rate Agency Securities having a              100%      93%     100%     94%
       remaining maturity of greater than 5 years but
       not more than 7 years.

(Q)    Fixed-rate Agency Securities having a              100%      93%     100%     93%
       remaining maturity of greater than 7 years but
       not more than 10 years.

(R)    Fixed-rate Agency Securities having a              100%      89%     100%     88%
       remaining maturity of greater than 10 years
       but not more than 20 years.

(S)    Fixed-rate Agency Securities having a              100%      87%     100%     86%
       remaining maturity of greater than 20 years
       but not more than 30 years.

(T)    FHLMC Certificates. Mortgage participation          *        *        *       *
       certificates issued by FHLMC evidencing
       undivided interests or participations in pools
       of first lien conventional or FHA/VA
       residential mortgages or deeds of trust,
       guaranteed by FHLMC, issued after July 18,
       1984 and having a remaining maturity of not
       more than 30 years.

(U)    FNMA Certificates. Mortgage-backed                  *        *        *       *
       pass-through certificates issued by FNMA
       evidencing undivided interests in pools of
       first lien mortgages or deeds of trust on
       residential properties, guaranteed by FNMA,
       issued after July 18, 1984 and having a
       remaining maturity of not more than 30 years.
</TABLE>

                         1A-2

<PAGE>

             ELIGIBLE COLLATERAL & VALUATION PERCENTAGES (MOODY'S)

<TABLE>
<S>                                                     <C>      <C>      <C>      <C>
(V)    GNMA Certificates. Mortgage-backed                  *        *        *       *
       pass-through certificates issued by private
       entities, evidencing undivided interests in
       pools of first lien mortgages or deeds of
       trust on single family residences, guaranteed
       by the Government National Mortgage
       Association (GNMA) with the full faith and
       credit of the United States, issued after July
       18, 1984 and having a remaining maturity of
       not more than 30 years.

(W)    Commercial Mortgage-Backed Securities.              *        *        *       *
       Floating rate commercial mortgage-backed
       securities rated AAA by two major rating
       agencies (including S&P if S&P is a Rating
       Agency hereunder) with a minimum par or face
       amount of $250 million (excluding securities
       issued under Rule 144A) ("Commercial
       Mortgage-Backed Securities") having a
       remaining maturity of not more than 5 years.

(X)    Commercial Mortgage-Backed Securities having a      *        *        *       *
       remaining maturity of more than 5 years and
       not more than 10 years.

(Y)    Commercial Mortgage-Backed Securities having a      *        *        *       *
       remaining maturity of more than 10 years.

(Z)    Commercial Paper. Commercial Paper with a           *        *        *       *
       rating of at least P-1 by Moody's and at least
       A-1+ by S&P and having a remaining maturity of
       not more than 30 days.

(AA)   Other Items of Credit Support approved by the       *        *        *       *
       Rating Agencies to the extent any Certificates
       are rated.
</TABLE>

*    zero or such higher percentage in respect of
     which Moody's has delivered a ratings
     affirmation.

                         1A-3
<PAGE>

                                   SCHEDULE 1B
                               ELIGIBLE COLLATERAL
                                       S&P

Certificates: Class A, Class M and Class B Certificates
Highest Rating of Certificates: Class A rated "Aaa" by Moody's, and "AAA" by
S&P.  Scheduled Date Certificates will fall to $50,000,000 or below:
Last Scheduled Payment Date of Transactions: No. 39366: November 25, 2007;
No. 39367:
November 25, 2007; No. 39368: November 25, 2007
Valuation Date (and Valuation Percentage column): Daily

              ELIGIBLE COLLATERAL & VALUATION PERCENTAGES (S&P)

<TABLE>
<CAPTION>
                                                                                VALUATION PERCENTAGE
                                                                                        S&P
                                                                                --------------------
                                                                                   DAILY   WEEKLY
                                                                                   -----   ------
<S>                                                                             <C>        <C>
 (A)   Cash: U.S. Dollars in depositary account form                                 100%    100%

 (B)   Floating-rate U.S. Treasury Securities: Floating-rate negotiable debt           *       *
       obligations issued by the U.S. Treasury Department after July 18,
       1984 ("FLOATING RATE TREASURIES") (all maturities).

 (C)   Fixed-rate U.S. Treasury Securities: Fixed-rate negotiable debt             98.90%  98.60%
       obligations issued by the U.S. Treasury Department after July 18, 1984
       ("FIXED-RATE TREASURIES") having a remaining maturity of up to and not
       more than 1 year.

 (D)   Fixed-rate Treasuries having a remaining maturity of greater than 1         98.00%  97.30%
       year but not more than 2 years.

 (E)   Fixed-rate Treasuries having a remaining maturity of greater than 2         97.40%  95.80%
       years but not more than 3 years.

 (F)   Fixed-rate Treasuries having a remaining maturity of greater than 3         95.50%  93.80%
       years but not more than 5 years.

 (G)   Fixed-rate Treasuries having a remaining maturity of greater than 5         93.70%  91.40%
       years but not more than 7 years.

 (H)   Fixed-rate Treasuries having a remaining maturity of greater than 7         92.50%  90.30%
       years but not more than 10 years.

 (I)   Fixed-rate Treasuries having a remaining maturity of greater than 10        91.10%  86.90%
       years but not more than 20 years.

 (J)   Fixed-rate Treasuries having a remaining maturity of greater than 20        88.60%  84.60%
       years but not more than 30 years.

 (K)   Floating-rate Agency Securities: Floating-rate negotiable debt                  *       *
       obligations of the Federal National Mortgage Association (FNMA),
       Federal Home Loan Mortgage Corporation (FHLMC), Federal Home Loan
       Banks (FHLB), Federal Farm Credit Banks (FFCB), Tennessee Valley
       Authority (TVA) (collectively, "FLOATING-RATE AGENCY SECURITIES") (all
       maturities).

 (L)   Fixed-rate Agency Securities: fixed-rate negotiable debt obligations        98.50%  98.00%
       of the Federal National Mortgage Association (FNMA), Federal Home Loan
       Mortgage Corporation (FHLMC), Federal Home Loan Banks (FHLB), Federal
       Farm Credit Banks (FFCB), Tennessee Valley Authority (TVA)
       (collectively, "FIXED-RATE AGENCY SECURITIES") issued after July 18,
       1984 and having a remaining maturity of not more than 1 year.
</TABLE>

                                    1B-1

<PAGE>

              ELIGIBLE COLLATERAL & VALUATION PERCENTAGES (S&P)

<TABLE>
<S>                                                                             <C>        <C>
 (M)   Fixed-rate Agency Securities having a remaining maturity of greater         97.70%  96.80%
       than 1 year but not more than 2 years.

 (N)   Fixed-rate Agency Securities having a remaining maturity of greater         97.30%  96.30%
       than 2 years but not more than 3 years.

 (O)   Fixed-rate Agency Securities having a remaining maturity of greater         94.50%  92.50%
       than 3 years but not more than 5 years.

 (P)   Fixed-rate Agency Securities having a remaining maturity of greater         93.10%  90.30%
       than 5 years but not more than 7 years.

 (Q)   Fixed-rate Agency Securities having a remaining maturity of greater         90.70%  86.90%
       than 7 years but not more than 10 years.

 (R)   Fixed-rate Agency Securities having a remaining maturity of greater         87.70%  81.60%
       than 10 years but not more than 20 years.

 (S)   Fixed-rate Agency Securities having a remaining maturity of greater         84.40%  77.90%
       than 20 years but not more than 30 years.

 (T)   FHLMC Certificates. Mortgage participation certificates issued by           91.50%  86.40%
       FHLMC evidencing undivided interests or participations in pools of
       first lien conventional or FHA/VA residential mortgages or deeds of
       trust, guaranteed by FHLMC, issued after July 18, 1984 and having a
       remaining maturity of not more than 30 years.

 (U)   FNMA Certificates. Mortgage-backed pass-through certificates issued by      91.50%  86.40%
       FNMA evidencing undivided interests in pools of first lien mortgages
       or deeds of trust on residential properties, guaranteed by FNMA,
       issued after July 18, 1984 and having a remaining maturity of not more
       than 30 years.

 (V)   GNMA Certificates. Mortgage-backed pass-through certificates issued by      91.50%  86.40%
       private entities, evidencing undivided interests in pools of first
       lien mortgages or deeds of trust on single family residences,
       guaranteed by the Government National Mortgage Association (GNMA) with
       the full faith and credit of the United States, issued after July 18,
       1984 and having a remaining maturity of not more than 30 years.

 (W)   Commercial Mortgage-Backed Securities. Floating rate commercial             96.20%  95.10%
       mortgage-backed securities rated AAA by two major rating agencies
       (including S&P if S&P is a Rating Agency hereunder) with a minimum par
       or face amount of $250 million (excluding securities issued under Rule
       144A) ("Commercial Mortgage-Backed Securities") having a remaining
       maturity of not more than 5 years.

 (X)   Commercial Mortgage-Backed Securities having a remaining maturity of        92.90%  90.90%
       more than 5 years and not more than 10 years.

 (Y)   Commercial Mortgage-Backed Securities having a remaining maturity of        91.00%  88.60%
       more than 10 years.

 (Z)   Commercial Paper. Commercial Paper with a rating of at least P-1 by         99.00%  99.00%
       Moody's and at least A-1+ by S&P and having a remaining maturity of
       not more than 30 days.

(AA)   Other Items of Credit Support approved by the Rating Agencies to the            *       *
       extent any Certificates are rated.
</TABLE>

*    zero or such higher percentage in respect of which S&P has delivered a
     ratings affirmation.

                                    1B-2

<PAGE>

                                 SCHEDULE 2A
                  MOODY'S INDEPENDENT AMOUNT (FIRST TRIGGER)

Certificates: Class A, Class M and Class B Certificates
Highest Rating of Certificates: Class A rated "Aaa" by Moody's, and "AAA" by
S&P.
Scheduled Date Certificates will fall to $50,000,000 or below:
Last Scheduled Payment Date of Transactions: No. 39366: November 25, 2007;
No. 39367: November 25, 2007; No. 39368: November 25, 2007
Valuation Date (and Valuation Percentage column):  Daily

The following percentages shall be used in the calculation of the Moody's
Independent Amount when either (i) it is not the case that a Moody's Ratings
Event with respect to Party A and the guarantor under each Qualified Guaranty
(if any) has occurred and is continuing, or (ii) less than 30 Local Business
Days have elapsed since the last time it was not the case that a Moody's
Ratings Event had occurred and was continuing with respect to Party A and the
guarantor under each Qualified Guaranty (if any).

<TABLE>
<CAPTION>
WEIGHTED AVERAGE LIFE OF            VALUATION DATE   VALUATION DATE
TRANSACTION IN YEARS                    (DAILY)         (WEEKLY)
------------------------            --------------   --------------
<C>                                 <C>              <C>
1 or less                                0.15%            0.25%
More than 1 but not more than 2          0.30%            0.50%
More than 2 but not more than 3          0.40%            0.70%
More than 3 but not more than 4          0.60%            1.00%
More than 4 but not more than 5          0.70%            1.20%
More than 5 but not more than 6          0.80%            1.40%
More than 6 but not more than 7          1.00%            1.60%
More than 7 but not more than 8          1.10%            1.80%
More than 8 but not more than 9          1.20%            2.00%
More than 9 but not more than 10         1.30%            2.20%
More than 10 but not more than 11        1.40%            2.30%
More than 11 but not more than 12        1.50%            2.50%
More than 12 but not more than 13        1.60%            2.70%
More than 13 but not more than 14        1.70%            2.80%
More than 14 but not more than 15        1.80%            3.00%
More than 15 but not more than 16        1.90%            3.20%
More than 16 but not more than 17        2.00%            3.30%
More than 17 but not more than 18        2.00%            3.50%
More than 18 but not more than 19        2.00%            3.60%
More than 20 but not more than 21        2.00%            3.70%
More than 21 but not more than 22        2.00%            3.90%
More than 22                             2.00%            4.00%
</TABLE>

                                     2A-1
<PAGE>

                                   SCHEDULE 2B
                   MOODY'S INDEPENDENT AMOUNT (SECOND TRIGGER)
                          (TRANSACTION SPECIFIC HEDGES)

Certificates: Class A, Class M and Class B Certificates
Highest Rating of Certificates: Class A rated "Aaa" by Moody's, and "AAA" by
S&P.
Scheduled Date Certificates will fall to $50,000,000 or below:
Last Scheduled Payment Date of Transactions: No. 39366: November 25, 2007;
No. 39367: November 25, 2007; No. 39368: November 25, 2007 Valuation Date (and
Valuation Percentage column): Daily

The following percentages shall be used in the calculation of the Moody's
Independent Amount with respect to any Transaction that is an interest rate cap,
interest rate floor or interest rate swaption, or that is an interest rate swap
the notional amount of which is "balance guaranteed" or, for any Calculation
Period, otherwise is not a specific dollar amount that is fixed at the inception
of the Transaction (a "TRANSACTION-SPECIFIC HEDGE") when a Moody's Ratings Event
with respect to Party A and the guarantor under each Qualified Guaranty (if any)
has occurred and is continuing and at least 30 Local Business Days have elapsed
since the last time it was not the case that a Moody's Ratings Event had
occurred and was continuing with respect to Party A and the guarantor under each
Qualified Guaranty (if any).

<TABLE>
<CAPTION>
     WEIGHTED AVERAGE LIFE OF       VALUATION DATE   VALUATION DATE
       TRANSACTION IN YEARS             (DAILY)         (WEEKLY)
---------------------------------   --------------   --------------
<S>                                 <C>              <C>
1 or less                                0.65%            0.75%
More than 1 but not more than 2          1.30%            1.50%
More than 2 but not more than 3          1.90%            2.20%
More than 3 but not more than 4          2.50%            2.90%
More than 4 but not more than 5          3.10%            3.60%
More than 5 but not more than 6          3.60%            4.20%
More than 6 but not more than 7          4.20%            4.80%
More than 7 but not more than 8          4.70%            5.40%
More than 8 but not more than 9          5.20%            6.00%
More than 9 but not more than 10         5.70%            6.60%
More than 10 but not more than 11        6.10%            7.00%
More than 11 but not more than 12        6.50%            7.50%
More than 12 but not more than 13        7.00%            8.00%
More than 13 but not more than 14        7.40%            8.50%
More than 14 but not more than 15        7.80%            9.00%
More than 15 but not more than 16        8.20%            9.50%
More than 16 but not more than 17        8.60%            9.90%
More than 17 but not more than 18        9.00%           10.40%
More than 18 but not more than 19        9.40%           10.80%
More than 20 but not more than 21        9.70%           11.00%
More than 21 but not more than 22       10.00%           11.00%
More than 22                            10.00%           11.00%
</TABLE>

                                      2B-1

<PAGE>

                                   SCHEDULE 2C
                   MOODY'S INDEPENDENT AMOUNT (SECOND TRIGGER)
                        (NON-TRANSACTION SPECIFIC HEDGES)

Valuation Date (and Valuation Percentage column): Daily

The following percentages shall be used in the calculation of the Moody's
Independent Amount with respect to any Transaction that is not a
Transaction-Specific Hedge when a Moody's Ratings Event with respect to Party A
and the guarantor under each Qualified Guaranty (if any) has occurred and is
continuing and at least 30 Local Business Days have elapsed since the last time
it was not the case that a Moody's Ratings Event had occurred and was continuing
with respect to Party A and the guarantor under each Qualified Guaranty (if
any).

<TABLE>
<CAPTION>
     WEIGHTED AVERAGE LIFE OF       VALUATION DATE   VALUATION DATE
       TRANSACTION IN YEARS             (DAILY)         (WEEKLY)
---------------------------------   --------------   --------------
<S>                                 <C>              <C>
1 or less                                0.50%            0.60%
More than 1 but not more than 2          1.00%            1.20%
More than 2 but not more than 3          1.50%            1.70%
More than 3 but not more than 4          1.90%            2.30%
More than 4 but not more than 5          2.40%            2.80%
More than 5 but not more than 6          2.80%            3.30%
More than 6 but not more than 7          3.20%            3.80%
More than 7 but not more than 8          3.60%            4.30%
More than 8 but not more than 9          4.00%            4.80%
More than 9 but not more than 10         4.40%            5.30%
More than 10 but not more than 11        4.70%            5.60%
More than 11 but not more than 12        5.00%            6.00%
More than 12 but not more than 13        5.40%            6.40%
More than 13 but not more than 14        5.70%            6.80%
More than 14 but not more than 15        6.00%            7.20%
More than 15 but not more than 16        6.30%            7.60%
More than 16 but not more than 17        6.60%            7.90%
More than 17 but not more than 18        6.90%            8.30%
More than 18 but not more than 19        7.20%            8.60%
More than 20 but not more than 21        7.50%            9.00%
More than 21 but not more than 22        7.80%            9.00%
More than 22                             8.00%            9.00%
</TABLE>

                                      2C-1

<PAGE>

                                   SCHEDULE 3
                              S&P VOLATILITY BUFFER

Certificates: Class A, Class M and Class B Certificates
Highest Rating of Certificates: Class A rated "Aaa" by Moody's, and "AAA" by
S&P.
Scheduled Date Certificates will fall to $50,000,000 or below:
Last Scheduled Payment Date of Transactions: No. 39366: November 25, 2007; No.
39367: November 25, 2007; No. 39368: November 25, 2007
Valuation Date (and Valuation Percentage column): Daily

     The S&P Volatility Buffer will be determined using the following table:

                             S&P VOLATILITY BUFFER
<TABLE>
<CAPTION>
 PARTY A RATING*                  REMAINING YEARS TO MATURITY OF TRANSACTION
----------------   -----------------------------------------------------------------------
                   (UP TO 3 YEARS)   (UP TO 5 YEARS)   (UP TO 10 YEARS)   (UP TO 30 YEARS)
                   ---------------   ---------------   ----------------   ----------------
<S>                <C>               <C>               <C>                <C>

</TABLE>

If, on the related Valuation Date, the highest rated Certificates are rated
"AA-" or higher by S&P, the S&P Volatility Buffer is:

<TABLE>
<S>                <C>               <C>               <C>                <C>
A-2                     2.75%             3.25%              4.00%              4.75%
A-3                     3.25%             4.00%              5.00%              6.25%
BB+ or lower            3.50%             4.50%              6.75%              7.50%
</TABLE>

If, on the related Valuation Date, the highest rated Certificates are rated "A"
or "A+" by S&P, the S&P Volatility Buffer is:

<TABLE>
<S>                <C>               <C>               <C>                <C>
BBB+/BBB                  *               3.25%              4.00%              4.50%
A-2                       *               3.25%              4.00%              4.50%
A-3/BBB-                  *               3.50%              4.50%              6.00%
BB+ or lower              *               4.00%              5.25%              7.00%
</TABLE>

*    This rating shall be the higher of the rating by S&P on the related
     Valuation Date of the long-term debt and short-term debt of Party A or its
     guarantor or other Credit Support Provider.

                                      M-4-1

<PAGE>

                                    EXHIBIT N

                                   [RESERVED]

                                       N-1

<PAGE>

                                    EXHIBIT O

                    FORM OF TRANSFEROR REPRESENTATION LETTER
               FOR TRANSFER TO REGULATION S BOOK-ENTRY CERTIFICATE
  FROM A HOLDER OF A RULE 144A BOOK-ENTRY CERTIFICATE OR DEFINITIVE CERTIFICATE

                                     [DATE]

LaSalle Bank National Association
135 South LaSalle Street
Suite 1511
Chicago, Illinois 60603
Attention: Global Securities and Trust Services - Merrill Lynch First Franklin
           Mortgage Loan Trust, Series 2007-3

RE:  Merrill Lynch First Franklin Mortgage Loan Trust, Mortgage Loan
     Asset-Backed Certificates, Series 2007-3

Ladies and Gentlemen:

                    In connection with our disposition of the Class ___
          Certificates which are held in the form of Definitive Certificates or
          in the form of a beneficial interest in a Rule 144A Book-Entry
          Certificate and to effect the transfer pursuant to Regulation S under
          the Securities Act of 1933, as amended ("Regulation S") of the above
          Certificates in exchange for an equivalent beneficial interest in a
          Regulation S Book-Entry Certificate, we hereby certify that such
          transfer has been effected in accordance with (i) the transfer
          restrictions set forth in the Pooling and Servicing Agreement, dated
          as of May 1, 2007, among Merrill Lynch Mortgage Investors, Inc., as
          Depositor, LaSalle Bank National Association, as Trustee, Home Loan
          Services, Inc., as Servicer, and in the Certificates and (ii) in
          accordance with Regulation S, and that:

                    a. the offer of the Certificates was not made to a person in
          the United States;

                    b. at the time the buy order was originated, the transferee
          was outside the United States or we and any person acting on our
          behalf reasonably believed that the transferee was outside the United
          States;

                    c. no directed selling efforts have been made in
          contravention of the requirements of Rule 903 or 904 of Regulation S,
          as applicable;

                    d. the transaction is not part of a plan or scheme to evade
          the registration requirements of the United States Securities Act of
          1933, as amended; and

                    e. the transferee is not a U.S. Person (as defined by
          Regulation S).

                                       O-1

<PAGE>

                    You are entitled to rely upon this letter and are
          irrevocably authorized to produce this letter or a copy hereof to any
          interested party in any administrative or legal Proceedings or
          official inquiry with respect to the matters covered hereby. Terms
          used in this certificate have the meanings set forth in Regulation S.

Very truly yours,

Print Name of Transferor ___________________________

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

                                       O-2

<PAGE>

                                    EXHIBIT P

                    FORM OF TRANSFEROR REPRESENTATION LETTER
               FOR TRANSFER PURSUANT TO RULE 144A FROM A HOLDER OF
         A REGULATION S BOOK-ENTRY CERTIFICATE OR DEFINITIVE CERTIFICATE

                                     [DATE]

LaSalle Bank National Association
135 South LaSalle Street
Suite 1511
Chicago, Illinois 60603
Attention: Global Securities and Trust Services - Merrill Lynch First
           Franklin Mortgage Loan Trust, Series 2007-3

RE:  Merrill Lynch First Franklin Mortgage Loan Trust, Mortgage Loan
     Asset-Backed Certificates, Series 2007-3

Ladies and Gentlemen:

                    In connection with our disposition of the Class __
          Certificates which are held in the form of Definitive Certificates or
          in the form of a beneficial interest in a Regulation S Book-Entry
          Certificate and to effect the transfer pursuant to Rule 144A under the
          Securities Act of 1933, as amended ("Rule 144A") of the above
          Certificates in exchange for an equivalent beneficial interest in a
          Rule 144A Book-Entry Certificate or a Definitive Note, we hereby
          certify that such Certificates are being transferred in accordance
          with (i) the transfer restrictions set forth in the Pooling and
          Servicing Agreement, dated as of May 1, 2007, among Merrill Lynch
          Mortgage Investors, Inc., as Depositor, La Salle Bank National
          Association, as Trustee, Home Loan Services, Inc., as Servicer, and in
          the Certificates and (ii) Rule 144A under the Securities Act of 1933,
          as amended, to a transferee that we reasonably believe is purchasing
          the Certificates for its own account or an account with respect to
          which the transferee exercises sole investment discretion, the
          transferee and any such account is a "qualified institutional buyer"
          within the meaning of Rule 144A, in a transaction meeting the
          requirements of Rule 144A and in accordance with any applicable
          securities laws of any state of the United States or any other
          jurisdiction.

                    You are entitled to rely upon this letter and are
          irrevocably authorized to produce this letter or a copy hereof to any
          interested party in any administrative or legal Proceedings or
          official inquiry with respect to the matters covered hereby.

Very truly yours,

Print Name of Transferor ___________________________

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

                                       P-1
<PAGE>

                                   EXHIBIT Q-1

                             FORM OF SWAP AGREEMENT

                                                     (THE BANK OF NEW YORK LOGO)

                                                             Dated: May 30, 2007

                              RATE SWAP TRANSACTION

                           RE: BNY REFERENCE NO. 39365

Ladies and Gentlemen:

     The purpose of this letter agreement ("AGREEMENT") is to confirm the terms
and conditions of the rate Swap Transaction entered into on the Trade Date
specified below (the "TRANSACTION") between The Bank of New York ("BNY"), a
trust company duly organized and existing under the laws of the State of New
York, and the Supplemental Interest Trust relating to the Merrill Lynch First
Franklin Mortgage Loan Trust, Series 2007-3 (the "COUNTERPARTY"), as represented
by LaSalle Bank National Association, not in its individual capacity, but solely
as Supplemental Interest Trust Trustee under the Pooling and Servicing
Agreement, dated and effective May 1, 2007, among Merrill Lynch Mortgage
Investors, Inc., as Depositor, Home Loan Services, Inc., as Servicer and LaSalle
Bank National Association, as Trustee (the "POOLING AND SERVICING AGREEMENT").
This Agreement, which evidences a complete and binding agreement between you and
us to enter into the Transaction on the terms set forth below, constitutes a
"CONFIRMATION" as referred to in the "ISDA FORM MASTER AGREEMENT" (as defined
below), as well as a "Schedule" as referred to in the ISDA Form Master
Agreement.

     1. FORM OF AGREEMENT. This Agreement is subject to the 2000 ISDA
Definitions (the "DEFINITIONS"), as published by the International Swaps and
Derivatives Association, Inc. ("ISDA"). Any reference to a "Swap Transaction" in
the Definitions is deemed to be a reference to a "Transaction" for purposes of
this Agreement, and any reference to a "Transaction" in this Agreement is deemed
to be a reference to a "Swap Transaction" for purposes of the Definitions. You
and we have agreed to enter into this Agreement in lieu of negotiating a
Schedule to the 1992 ISDA Master Agreement (Multicurrency--Cross Border) form
(the "ISDA FORM MASTER AGREEMENT"). An ISDA Form Master Agreement, as modified
by the Schedule terms in Paragraph 4 of this Confirmation (the "MASTER
AGREEMENT"), shall be deemed to have been executed by you and us on the date we
entered into the Transaction. For the avoidance of doubt, the Transaction
described herein shall be the sole Transaction governed by such ISDA Form Master
Agreement. Except as otherwise specified, references herein to Sections shall be
to Sections of the Master Agreement, and references to Paragraphs shall be to
paragraphs of this Agreement. In the event of any inconsistency between the
provisions of this Agreement and the Definitions or the Master Agreement, this
Agreement shall prevail for purposes of the Transaction. Capitalized terms not
otherwise defined herein or in the Definitions or the Master Agreement shall
have the meaning defined for such term in the Pooling and Servicing Agreement.

     2. CERTAIN TERMS. The terms of the particular Transaction to which this
Confirmation relates are as follows:

<TABLE>
<S>                              <C>
   Type of Transaction:          Rate Swap

   Notional Amount:              With respect to any Calculation Period the
                                 amount set forth for such period on Schedule I
                                 attached hereto.

   Trade Date:                   May 29, 2007

   Termination Date:             May 25, 2012, subject to adjustment in
                                 accordance with the Following Business Day
                                 Convention; provided, however, that for the
                                 purpose of determining the final Fixed Rate
                                 Payer Period End Date, Termination Date shall
                                 be subject to No Adjustment.

FIXED AMOUNTS

   Fixed Rate Payer:             Counterparty
</TABLE>

                                        1

<PAGE>

<TABLE>
<S>                              <C>
   Fixed Rate Payer
   Effective Date:               November 25, 2007

   Fixed Rate:                   5.00%

   Fixed Rate Day Count
   Fraction:                     30/360

   Fixed Rate Payer
   Period End Dates:             The 25th day of each month, beginning on
                                 December 25, 2007 and ending on the Termination
                                 Date, with No Adjustment.

   Fixed Rate Payer
   Payment Dates:                Early Payment shall be applicable. The Fixed
                                 Rate Payer Payment Date shall be one (1)
                                 Business Day preceding each Fixed Rate Payer
                                 Period End Date.

FLOATING AMOUNTS

   Floating Rate Payer:          BNY

   Floating Rate Payer
   Effective Date:               November 26, 2007

   Floating Rate for initial
   Calculation Period:           To be determined

   Floating Rate Day Count
   Fraction:                     Actual/360

   Floating Rate Option:         USD-LIBOR-BBA

   Designated Maturity:          One month

   Spread:                       Inapplicable

   Floating Rate Payer
   Period End Dates:             The 25th day of each month, beginning on
                                 December 25, 2007 and ending on the Termination
                                 Date, subject to adjustment in accordance with
                                 the Following Business Day Convention.

   Floating Rate Payer
   Payment Dates:                Early Payment shall be applicable. The Floating
                                 Rate Payer Payment Date shall be one (1)
                                 Business Day preceding each Floating Rate Payer
                                 Period End Date.

   Reset Dates:                  The first day of each Calculation Period

   Compounding:                  Inapplicable

   Business Days for Payments
   By both parties:              New York and Illinois

   Calculation Agent:            BNY

   Additional Payment:           Counterparty represents and warrants that it
                                 has directed Merrill Lynch Mortgage Lending,
                                 Inc. to make a payment on its behalf for the
                                 amount of USD [INTENTIONALLY OMITTED] to BNY on
                                 May 30, 2007.
</TABLE>

     3.   ADDITIONAL PROVISIONS:

     1) RELIANCE. Each party hereto is hereby advised and acknowledges that the
other party has engaged in (or refrained from engaging in) substantial financial
transactions and has taken (or refrained

                                        2

<PAGE>

from taking) other material actions in reliance upon the entry by the parties
into the Transaction being entered into on the terms and conditions set forth
herein.

     2) TRANSFER, AMENDMENT AND ASSIGNMENT. No transfer, amendment, waiver,
supplement, assignment or other modification of this Transaction shall be
permitted by either party unless each of Standard & Poor's Ratings Service, a
division of The McGraw-Hill Companies, Inc ("S&P") and Moody's Investors
Service, Inc. ("MOODY'S"), has been provided notice of the same and confirms in
writing (including by facsimile transmission) that it will not downgrade,
qualify, withdraw or otherwise modify its then-current ratings on the Class
A,Class M and Class B Certificates issued under the Pooling and Servicing
Agreement (the "CERTIFICATES").

     4. PROVISIONS DEEMED INCORPORATED IN A SCHEDULE TO THE MASTER AGREEMENT:

     1) NO PAYMENT NETTING AMONG TRANSACTIONS; MODIFICATION OF SECTION
2(A)(III)(1). The parties agree that subparagraph (ii) of Section 2(c) of the
ISDA Form Master Agreement will apply to this Transaction. Section 2(a)(iii)(1)
is amended by deleting "or Potential Event of Default".

     2) TERMINATION PROVISIONS. For purposes of the Master Agreement:

     (a) "SPECIFIED ENTITY" in relation to BNY or the Counterparty shall mean:
     none.

     (b) "SPECIFIED TRANSACTION" will have the meaning specified in Section 14.

     (c) APPLICABILITY. The following provisions apply or do not apply to the
     parties as specified below:

          (i)  Section 5(a)(i) (FAILURE TO PAY OR DELIVER):

               (A) will apply to BNY; and

               (B) will apply to the Counterparty.

          (ii) Section 5(a)(ii) (BREACH OF AGREEMENT):

               (A) will apply to BNY; and

               (B) will not apply to the Counterparty.

          (iii) Section 5(a)(iii) (CREDIT SUPPORT DEFAULT):

               (A) will apply to BNY; and

               (B) will not apply to the Counterparty.

          (iv) Section 5(a)(iv) (MISREPRESENTATION):

               (A) will apply to BNY; and

               (B) will not apply to the Counterparty.

          (v)  Section 5(a)(v) (DEFAULT UNDER SPECIFIED TRANSACTION):

               (A) will not apply to BNY; and

               (B) will not apply to the Counterparty.

          (vi) Section 5(a)(vi) (CROSS DEFAULT):

               (A) will apply to BNY; and

               (B) will not apply to the Counterparty.

               For the purposes of Section 5(a)(vi):

               "SPECIFIED INDEBTEDNESS" will have the meaning specified in
               Section 14, except that it shall not include indebtedness in
               respect of deposits received.

               "THRESHOLD AMOUNT" means, 3% of consolidated shareholders equity
               of BNY and its subsidiaries determined in accordance with
               generally accepted accounting

                                        3

<PAGE>

               principles of the United States consistently applied as of the
               last day of the fiscal quarter ended immediately prior to the
               occurrence or existence of an event for which a Threshold Amount
               is applicable under Section 5(a)(vi).

          (vii) Section 5(a)(vii) (BANKRUPTCY):

               (A) will apply to BNY; and

               (B) will not apply to the Counterparty with respect to subclauses
               (2), (4) (but only if the proceeding or petition is instituted or
               presented by BNY or its affiliates), (7), (8) (but subclause (8)
               will not apply to the Counterparty only to the extent that
               subclauses (2), (4) and (7) do not apply to the Counterparty) and
               (9) of Section 5(a)(vii), and the remaining provisions of Section
               5(a)(vii) will apply to the Counterparty; and in subclause (6)
               the words "trustee" and "custodian" will not include the
               Supplemental Interest Trust Trustee and the words "seeks or" will
               be deleted.

          (viii) Section 5(a)(viii) (MERGER WITHOUT ASSUMPTION):

               (A) will apply to BNY; and

               (B) will apply to the Counterparty.

          (ix) Section 5(b)(i) (ILLEGALITY):

               (A) will apply to BNY; and

               (B) will apply to the Counterparty.

          (x)  Section 5(b)(ii) (TAX EVENT):

               (A) will apply to BNY; and

               (B) will apply to the Counterparty;

               provided that the words "(x) any action taken by a taxing
               authority, or brought in a court of competent jurisdiction, on or
               after the date on which a Transaction is entered into (regardless
               of whether such action is taken or brought with respect to a
               party to this Agreement) or (y)" shall be deleted.

          (xi) Section 5(b)(iii) (TAX EVENT UPON MERGER):

               (A) will apply to BNY, provided, that BNY shall not be entitled
               to designate an Early Termination Date by reason of a Tax Event
               upon Merger in respect of which it is the Affected Party; and

               (B) will apply to the Counterparty.

          (xii) Section 5(b)(iv) (CREDIT EVENT UPON MERGER):

               (A) will not apply to BNY; and

               (B) will not apply to the Counterparty.

          (xiii) Section 5(b)(v) (ADDITIONAL TERMINATION EVENT):

               (A) will apply to BNY with respect to Paragraph 4(2)(g)(iii) and
               (iv); and

               (B) will apply to the Counterparty with respect to Paragraph
               (4)(2)(g)(i) and(ii).

     (d)  The "AUTOMATIC EARLY TERMINATION" provision of Section 6(a):

               (A) will not apply to BNY; and

               (B) will not apply to the Counterparty.

     (e) PAYMENTS ON EARLY TERMINATION. For the purpose of Section 6(e), the
     Second Method and Market Quotation will apply. For such purpose, for so
     long as the Certificates are rated by Moody's, if BNY is the Affected Party
     in respect of an Additional Termination Event or a Tax

                                        4

<PAGE>

     Event Upon Merger or the Defaulting Party in respect of any Event of
     Default (but not, in any case, in respect of a Termination Event arising
     from an Illegality or Tax Event), the following provisions shall apply:

          (i) The definitions of "Market Quotation" and "Settlement Amount" are
          amended in their entirety to read as follows:

               "MARKET QUOTATION" means, with respect to one or more Terminated
               Transactions, an offer capable when made of becoming legally
               binding upon acceptance made by a Qualified Transferee for an
               amount that would be paid to the Counterparty (expressed as a
               negative number) or by the Counterparty (expressed as a positive
               number) in consideration of an agreement between the Counterparty
               and such Qualified Transferee to enter into a transaction with
               commercial terms substantially the same as those of this
               Agreement (save for the exclusion of provisions relating to
               Transactions that are not Terminated Transactions) (which shall
               be determined by the Counterparty, acting in a commercially
               reasonable manner), that would have the effect of preserving the
               economic equivalent for the Counterparty of any payment or
               delivery (whether the underlying obligation was absolute or
               contingent and assuming the satisfaction of each applicable
               condition precedent) by the parties under Section 2(a)(i) in
               respect of such Terminated Transactions or group of Terminated
               Transactions that would, but for the occurrence of the relevant
               Early Termination Date, have been required after that date (such
               transaction, a "REPLACEMENT TRANSACTION"). For this purpose,
               Unpaid Amounts in respect of the Terminated Transaction or group
               of Transactions are to be excluded but, without limitation, any
               payment or delivery that would, but for the relevant Early
               Termination Date, have been required (assuming satisfaction of
               each applicable condition precedent) after that Early Termination
               Date is to be included.

               "SETTLEMENT AMOUNT" means, with respect to any Early Termination
               Date, an amount (as determined by the Counterparty) equal to the
               Termination Currency Equivalent of the amount (whether positive
               or negative) of any Market Quotation for the relevant Terminated
               Transaction or group of Terminated Transactions that is accepted
               by the Counterparty so as to become legally binding, Provided
               that:

               (1) If, on the day falling ten Local Business Days after the day
               on which the Early Termination Date is designated or such later
               day as the Counterparty may specify in writing to BNY (but in
               either case no later than the Early Termination Date) (such day
               the "LATEST SETTLEMENT AMOUNT DETERMINATION DAY"), no Market
               Quotation for the relevant Terminated Transaction or group of
               Terminated Transactions has been accepted by the Counterparty so
               as to become legally binding and one or more Market Quotations
               have been made and remain capable of becoming legally binding
               upon acceptance, the Settlement Amount shall equal the
               Termination Currency Equivalent of the amount (whether positive
               or negative) of the lowest of such Market Quotations; and

               (2) If, on the Latest Settlement Amount Determination Day, no
               Market Quotation for the relevant Terminated Transaction or group
               of Terminated Transactions is accepted by the Counterparty so as
               to become legally binding and no Market Quotations have been made
               and remain capable of becoming legally binding upon acceptance,
               the Settlement Amount shall equal the Counterparty's Loss
               (whether positive or negative and without reference to any
               Un-paid amounts) for the relevant Terminated Transaction or group
               of Terminated Transactions.

          (ii) At any time on or before the Latest Settlement Amount
          Determination Day at which two or more Market Quotations remain
          capable of becoming legally binding upon acceptance, the Counterparty
          shall be entitled to accept only the lowest of such Market Quotations.

                                        5

<PAGE>

          (iii) if the Counterparty requests BNY in writing to obtain Market
          Quotations, BNY shall use its reasonable efforts to do so before the
          Latest Settlement Amount Determination Day.

          (iv) If the Settlement Amount is a negative number, Section 6(e)(i)(3)
          of this Agreement shall be deleted in its entirety and replaced with
          the following:

               "SECOND METHOD AND MARKET QUOTATION. If Second Method and Market
               Quotation apply, (1) the Counterparty shall pay to BNY an amount
               equal to the absolute value of the Settlement Amount in respect
               of the Terminated Transactions, (2) the Counterparty shall pay to
               BNY the Termination Currency Equivalent of the Unpaid Amounts
               owing to BNY and (3) BNY shall pay to the Counterparty the
               Termination Currency Equivalent of the Unpaid Amounts owing to
               the Counterparty, Provided that, (i) the amounts payable under
               (2) and (3) shall be subject to netting in accordance with
               Section 2(c) of this Agreement and (ii) notwithstanding any other
               provision of this Agreement, any amount payable by BNY under (3)
               shall not be netted-off against any amount payable by the
               Counterparty under (1)."

     (f) "TERMINATION CURRENCY" means United States Dollars.

     (g) "ADDITIONAL TERMINATION EVENT" will apply. The following shall
     constitute Additional Termination Events, and the party specified shall be
     the Affected Party with respect thereto:--

          (i) TERMINATION OF TRUST FUND. The Trust, Supplemental Interest Trust
          or Trust Fund shall be terminated pursuant to any provision of the
          Pooling and Servicing Agreement (including, without limitation, by
          completion of a successful auction termination or by exercise of the
          option to purchase and giving of notice under Sections 10.01 of the
          Pooling and Servicing Agreement). The Early Termination Date with
          respect to such Additional Termination Event shall be the Distribution
          Date upon which the Trust and the Supplemental Interest Trust or Trust
          Fund is terminated and final payment is made in respect of the
          Certificates. Each of BNY and the Counterparty may designate an Early
          Termination Date in respect of this Additional Termination Event. The
          Counterparty shall be the sole Affected Party.

          (ii) AMENDMENT OF POOLING AND SERVICING AGREEMENT. The amendment of
          the Pooling and Servicing Agreement in a manner which could have a
          material adverse affect on BNY without first obtaining the prior
          written consent of BNY (such consent not to be unreasonably withheld),
          where such consent is required under the Pooling and Servicing
          Agreement. The Counterparty shall be the sole Affected Party.

          (iii) COLLATERALIZATION OR RATINGS EVENT. A Collateralization Event or
          Ratings Event has occurred and is continuing and BNY fails to comply
          with the provisions of Paragraph 4(8)(ii) within the time periods set
          out therein; provided that an Additional Termination Event shall not
          be deemed to occur by virtue of a breach of Paragraph 4(8)(ii)(B) with
          respect to a Moody's Ratings Event unless and until such Moody's
          Ratings Event has continued for 30 or more Business Days and at least
          one Qualified Transferee has made an offer which remains capable of
          becoming legally binding upon acceptance to enter into a Permitted
          Transfer or other Replacement Transaction. BNY shall be the sole
          Affected Party. In the event that BNY has elected or is required to
          post collateral following the occurrence of a Ratings Event, then, a
          failure to post collateral in accordance with the provisions of the
          Credit Support Annex shall be subject to the provisions of Section
          5(a)(iii) and shall not be treated as an Additional Termination Event.
          Any breach of Paragraph 4(8)(ii)(A), (B) or (C) which is treated as an
          Additional Termination Event under this Paragraph 4(g)(iii) shall not
          constitute an Event of Default.

          (iv) REGULATION AB. BNY shall fail to comply with the provisions of
          Paragraph 4(9) within the time provided for therein. BNY shall be the
          sole Affected Party.

     3)   TAX REPRESENTATIONS AND OTHER TAX RELATED PROVISIONS.

               (a) PAYER REPRESENTATIONS. For the purpose of Section 3(e), BNY
     and the Counterparty make the following representations:

                                        6

<PAGE>

                    It is not required by any applicable law, as modified by the
          practice of any relevant governmental revenue authority, of any
          Relevant Jurisdiction to make any deduction or withholding for or on
          account of any Tax from any payment (other than interest under Section
          2(e), 6(d)(ii) or 6(e)) to be made by it to the other party under this
          Agreement. In making this representation, it may rely on:

          (i) the accuracy of any representations made by the other party
          pursuant to Section 3(f);

          (ii) the satisfaction of the agreement contained in Section 4 (a)(i)
          or 4(a)(iii) and the accuracy and effectiveness of any document
          provided by the other party pursuant to Section 4 (a)(i) or 4(a)(iii);
          and

          (iii) the satisfaction of the agreement of the other party contained
          in Section 4(d), provided that it shall not be a breach of this
          representation where reliance is placed on clause (ii) and the other
          party does not deliver a form or document under Section 4(a)(iii) by
          reason of material prejudice of its legal or commercial position.

     (b) PAYEE REPRESENTATIONS. For the purpose of Section 3(f), BNY and the
     Counterparty make the following representations.

          (i)  The following representation will apply to BNY:

               (x) It is a "U.S. person" (as that term is used in section
               1.1441-4(a)(3)(ii) of the United States Treasury Regulations) for
               United States federal income tax purposes, (y) it is a trust
               company duly organized and existing under the laws of the State
               of New York, and (y) its U.S. taxpayer identification number is
               135160382.

          (ii) The following representation will apply to the Counterparty:

               None.

     (c) GROSS UP. Section 2(d)(i)(4) shall not apply to Counterparty as X, and
     Section 2(d)(ii) shall not apply to Counterparty as Y, such that
     Counterparty shall not be required to pay any additional amounts referred
     to therein.

     (d) INDEMNIFIABLE TAX. The definition of "Indemnifiable Tax" in Section 14
     is amended in its entirety to read as follows:

          "INDEMNIFIABLE TAX" means in relation to payments by BNY any Tax and
          in relation to payments by the Counterparty no Tax.

     4)   DOCUMENTS TO BE DELIVERED. FOR THE PURPOSE OF SECTION 4(A):

     (a) Tax forms, documents or certificates to be delivered are:

<TABLE>
<CAPTION>
PARTY REQUIRED TO                                                                                COVERED BY SECTION 3(D)
DELIVER DOCUMENT              FORM/DOCUMENT/ CERTIFICATE         DATE BY WHICH TO BE DELIVERED        REPRESENTATION
-----------------      ---------------------------------------   -----------------------------   -----------------------
<S>                    <C>                                       <C>                             <C>
BNY and Counterparty   Any document required or reasonably       Promptly after the earlier of   Yes
                       requested to allow the other party to     (i) reasonable demand by
                       make payments under this Agreement        either party or (ii) learning
                       without any deduction or withholding      that such form or document is
                       for or on the account of any tax.         required
</TABLE>

     (b)  Other documents to be delivered are:

                                        7

<PAGE>

<TABLE>
<CAPTION>
PARTY REQUIRED TO                                                                                COVERED BY SECTION 3(D)
DELIVER DOCUMENT              FORM/DOCUMENT/ CERTIFICATE         DATE BY WHICH TO BE DELIVERED        REPRESENTATION
-----------------      ---------------------------------------   -----------------------------   -----------------------
<S>                    <C>                                       <C>                             <C>
BNY                    A certificate of an authorized officer    Upon the execution and          Yes
                       of the party, as to the incumbency and    delivery of this Agreement
                       authority of the respective officers of
                       the party signing this Agreement, any
                       relevant Credit Support Document, or
                       any Confirmation, as the case may be.

Counterparty           (i) a copy of the executed Pooling and    Upon the later of, receipt by   Yes
                       Servicing Agreement, and (ii) an          such party, or within 30 days
                       incumbency certificate verifying the      after the date of this
                       true signatures and authority of the      Agreement
                       person or persons signing this letter
                       agreement on behalf of the
                       Counterparty.

BNY                    Legal Opinion as to enforceability of     Upon the execution and          Yes
                       this Agreement.                           delivery of this Agreement.

Counterparty           Certified copy of the Board of            Upon the execution and
                       Directors resolution (or equivalent       delivery of this Agreement.
                       authorizing documentation) which sets
                       forth the authority of each signatory
                       to the Confirmation signing on its
                       behalf and the authority of such party
                       to enter into Transactions contemplated
                       and performance of its obligations
                       hereunder.
</TABLE>

     5)   MISCELLANEOUS.

     (a)  ADDRESS FOR NOTICES: For the purposes of Section 12(a):

          ADDRESS FOR NOTICES OR COMMUNICATIONS TO BNY:

               The Bank of New York
               Swaps and Derivative Products Group
               Global Market Division
               32 Old Slip 15th Floor
               New York, New York 10286
               Attention: Steve Lawler

          with a copy to:

               The Bank of New York
               Swaps and Derivative Products Group
               32 Old Slip 16th Floor
               New York, New York 10286
               Attention: Andrew Schwartz
               Tele: 212-804-5103
               Fax: 212-804-5818/5837

               (For all purposes)

                                        8

<PAGE>

          A copy of any notice or other communication with respect to Sections 5
          or 6 should also be sent to the addresses set out below:

               The Bank of New York
               Legal Department
               One Wall Street - 10th Floor
               New York, New York 10286
               Attention: General Counsel

          ADDRESS FOR NOTICES OR COMMUNICATIONS TO THE COUNTERPARTY:

               LaSalle Bank National Association, not in its individual
               capacity, but solely as Supplemental Interest Trust Trustee for
               Merrill Lynch First Franklin Mortgage Loan Trust, Series 2007-3
               Global Securities and Trust Services
               135 S. LaSalle Street, Suite 1511
               Chicago, Illinois 60603
               Attn: Rachel Otto
               Tel: 312-904-4839
               Fax: 312-904-1368

          With a copy to:

               Merrill Lynch Mortgage Investors, Inc.
               250 Vesey St.
               4 World Financial Center, 10th floor
               New York, NY 10080
               Attention: Alan Chan
               Telephone: 212-449-1441
               Facsimile: 212-738-1110

     (b)  PROCESS AGENT. For the purpose of Section 13(c):

          BNY appoints as its Process Agent: Not Applicable

          The Counterparty appoints as its Process Agent: Not Applicable

     (c) OFFICES. The provisions of Section 10(a) will not apply to this
     Agreement; neither BNY nor the Counterparty have any Offices other than as
     set forth in the Notices Section and BNY agrees that, for purposes of
     Section 6(b), it shall not in future have any Office other than one in the
     United States.

     (d) MULTIBRANCH PARTY. For the purpose of Section 10(c):

          BNY is a Multibranch Party and will enter into each Transaction only
          through the following Office:- New York (for all Transactions).

          The Counterparty is not a Multibranch Party.

     (e) CALCULATION AGENT. The Calculation Agent is BNY.

               (f) "CREDIT SUPPORT DOCUMENT" means in relation to:--

          BNY: the Credit Support Annex attached as Exhibit A hereto and any
Qualified Guaranty.

          The Counterparty: Not applicable.

     (g)  "CREDIT SUPPORT PROVIDER" means in relation to:--

          BNY: The guarantor under any Qualified Guaranty.

          Counterparty: Not Applicable

     (h) GOVERNING LAW. This Agreement will be governed by and construed in
     accordance with the laws of the State of New York without reference to
     choice of law doctrine other than New York General Obligations Law Sections
     5-1401 and 5-1402.

                                        9

<PAGE>

     (i) SEVERABILITY. If any term, provision, covenant, or condition of this
     Agreement, or the application thereof to any party or circumstance, shall
     be held to be invalid or unenforceable (in whole or in part) for any
     reason, the remaining terms, provisions, covenants, and conditions hereof
     shall continue in full force and effect as if this Agreement had been
     executed with the invalid or unenforceable portion eliminated, so long as
     this Agreement as so modified continues to express, without material
     change, the original intentions of the parties as to the subject matter of
     this Agreement and the deletion of such portion of this Agreement will not
     substantially impair the respective benefits or expectations of the
     parties. The parties shall endeavor to engage in good faith negotiations to
     replace any invalid or unenforceable term, provision, covenant or condition
     with a valid or enforceable term, provision, covenant or condition, the
     economic effect of which comes as close as possible to that of the invalid
     or unenforceable term, provision, covenant or condition.

     (j) RECORDING OF CONVERSATIONS. Each party (i) consents to the recording of
     telephone conversations between the trading, marketing and other relevant
     personnel of the parties in connection with this Agreement or any potential
     Transaction, (ii) agrees to obtain any necessary consent of, and give any
     necessary notice of such recording to, its relevant personnel and (iii)
     agrees, to the extent permitted by applicable law, that recordings may be
     submitted in evidence in any Proceedings.

     (k) WAIVER OF JURY TRIAL. Each party waives any right it may have to a
     trial by jury in respect of any Proceedings relating to this Agreement or
     any Credit Support Document.

     (l) NON-RECOURSE. Notwithstanding any provision herein or in the Master
     Agreement to the contrary, the obligations of the Counterparty hereunder
     are limited recourse obligations of the Counterparty, payable solely from
     amounts on deposit in the Swap Account created by the Supplemental Interest
     Trust Trustee and the proceeds thereof to satisfy the Counterparty's
     obligations hereunder. In the event that the Swap Account and proceeds
     thereof should be insufficient to satisfy all claims outstanding and
     following the realization of the Swap Account and the distribution of the
     proceeds thereof in accordance with the Pooling and Servicing Agreement,
     any claims against or obligations of the Counterparty under the Master
     Agreement or any other confirmation thereunder, still outstanding shall be
     extinguished and thereafter not revive. This provision shall survive the
     expiration of this Agreement.

     (m) LIMITATION ON INSTITUTION OF BANKRUPTCY PROCEEDINGS. BNY shall not
     institute against or cause any other person to institute against, or join
     any other person in instituting against the Counterparty, the Trust or the
     trust created pursuant to the Pooling and Servicing Agreement any
     bankruptcy, reorganization, arrangement, insolvency or liquidation
     proceedings, under any federal or state bankruptcy or similar law or
     bankruptcy or similar laws of any other jurisdiction, for a period of one
     year and one day (or, if longer, the applicable preference period)
     following indefeasible payment in full of the Certificates. This provision
     shall survive the expiration of this Agreement.

     (n) REMEDY OF FAILURE TO PAY OR DELIVER. The ISDA Form Master Agreement is
     hereby amended by replacing the word "third" in the third line of Section
     5(a)(i) by the word "first".

     (o) "AFFILIATE" will have the meaning specified in Section 14 of the ISDA
     Form Master Agreement, provided that the Counterparty shall be deemed not
     to have any Affiliates for purposes of this Agreement, including for
     purposes of Section 6(b)(ii).

     (p) TRUSTEE'S CAPACITY. It is expressly understood and agreed by the
     parties hereto that insofar as this Confirmation is executed by the Trustee
     (i) this Confirmation is executed and delivered by LaSalle Bank National
     Association, not in its individual capacity but solely as Supplemental
     Interest Trust Trustee pursuant to the Pooling and Servicing Agreement in
     the exercise of the powers and authority conferred and vested in it
     thereunder and pursuant to instruction set forth therein, (ii) each of the
     representations, undertakings and agreements herein made on behalf of the
     trust is made and intended not as a personal representation, undertaking or
     agreement of the Supplemental Interest Trust Trustee but is made and
     intended for the purpose of binding only the Counterparty, (iii) nothing
     contained herein shall be construed as creating any liability of LaSalle
     Bank National Association, individually or personally, to perform any
     covenants either express or implied contained herein, all such liability,
     if any, being expressly waived by the parties hereto and by any person
     claiming by, through or under the parties hereto

                                       10

<PAGE>

     and (iv) under no circumstances will LaSalle Bank National Association, in
     its individual capacity be personally liable for the payment of any
     indebtedness or expenses or be personally liable for the breach or failure
     of any obligation, representation, warranty or covenant made or undertaken
     under this Confirmation. Nothing herein contained shall be construed as
     creating any liability on LaSalle Bank National Association, individually
     or personally, to perform any covenant either expressed or implied
     contained herein, all such liability, if any, being expressly waived by the
     parties who are signatories to this letter agreement and by any person
     claiming by, through or under such parties.

     (q) TRUSTEE'S REPRESENTATION. LaSalle Bank National Association, as
     Supplemental Interest Trust Trustee, represents and warrants that:

          It has been directed under the Pooling and Servicing Agreement to
          enter into this letter agreement as Supplemental Interest Trust
          Trustee on behalf of the Counterparty.

     6) ADDITIONAL REPRESENTATIONS. Section 3 is hereby amended by adding, at
the end thereof, the following Sections 3(g), 3(h) and 3(i):

     "(g) RELATIONSHIP BETWEEN PARTIES.

          (1) NONRELIANCE. It is not relying on any statement or representation
          of the other party regarding the Transaction (whether written or
          oral), other than the representations expressly made in this Agreement
          or the Confirmation in respect of that Transaction.

          (2) EVALUATION AND UNDERSTANDING.

               (i) Each Party acknowledges that LaSalle Bank National
               Association, has been directed under the Pooling and Servicing
               Agreement to enter into this Transaction as Supplemental Interest
               Trust Trustee on behalf of the Counterparty.

               (ii) It is acting for its own account and has the capacity to
               evaluate (internally or through independent professional advice)
               the Transaction and has made its own decision to enter into the
               Transaction; it is not relying on any communication (written or
               oral) of the other party as investment advice or as a
               recommendation to enter into such transaction; it being
               understood that information and explanations related to the terms
               and conditions of such transaction shall not be considered
               investment advice or a recommendation to enter into such
               transaction. No communication (written or oral) received from the
               other party shall be deemed to be an assurance or guarantee as to
               the expected results of the transaction; and

               (iii) It understands the terms, conditions and risks of the
               Transaction and is willing and able to accept those terms and
               conditions and to assume (and does, in fact assume) those risks,
               financially and otherwise.

     (3) NOT FIDUCIARY OR ADVISOR. The other party is not acting as a fiduciary
     or an advisor for it in respect of this Transaction.

     (h) EXCLUSION FROM COMMODITY EXCHANGE ACT. (A) It is an "eligible contract
     participant" within the meaning of Section 1a(12) of the Commodity Exchange
     Act, as amended; (B) this Agreement and each Transaction is subject to
     individual negotiation by such party; and (C) neither this Agreement nor
     any Transaction will be executed or traded on a "trading facility" within
     the meaning of Section 1a(33) of the Commodity Exchange Act, as amended.

     (i) SWAP AGREEMENT. Each Transaction is a "swap agreement" as defined in 12
     U.S.C. Section 1821(e)(8)(D)(vi) and a "covered swap agreement" as defined
     in the Commodity Exchange Act (7 U.S.C. Section 27(d)(1))."

     7)   SET-OFF. All payments under this Agreement shall be made without
          set-off or counterclaim, except as provided in Section 2(c), Section 6
          or the provisions hereof relating to Market Quotation and Loss, or
          Paragraph 8 of the Credit Support Annex. Section 6(e) is amended by
          deleting the following sentence: "The amount, if any, payable

                                       11

<PAGE>

          in respect of an Early Termination Date and determined pursuant to
          this Section will be subject to any Set-off." For the avoidance of
          doubt, if more than one Transaction is entered into under this
          Agreement, nothing herein is intended to prevent the determination of
          a Settlement Amount with respect to all such Transactions pursuant to
          Section 6 (as modified hereby).

     8)   RATINGS DOWNGRADE.

          (i) DEFINITIONS. For purposes of each Transaction: (A) "RATING AGENCY
          CONDITION" means, with respect to any action taken or to be taken
          hereunder, a condition that is satisfied when each of Moody's and S&P
          (each a "RATING AGENCY", and the rating condition with respect to it,
          the "MOODY'S RATING CONDITION" and "S&P RATING CONDITION",
          respectively) has confirmed in writing to the Supplemental Interest
          Trust Trustee that such action will not result in withdrawal,
          reduction or other adverse action with respect to any then-current
          rating by such Rating Agency of the Certificates;

          (B) "QUALIFYING RATINGS" means, with respect to the debt of any
          entity, (1) (x) a short-term unsecured and unsubordinated debt rating
          of at least "P-1", and a long-term unsecured and unsubordinated debt
          of at least "A2" (or, if it has no short-term unsecured and
          unsubordinated debt rating, a long term rating of at least "A1") by
          Moody's ("MOODY'S FIRST LEVEL QUALIFYING RATINGS"), and (y) a
          short-term unsecured and unsubordinated debt rating of at least "P-2",
          and a long-term unsecured and unsubordinated debt of at least "A3"
          (or, if it has no short-term unsecured and unsubordinated debt rating,
          a long term rating of at least "A3") by Moody's ("MOODY'S SECOND LEVEL
          QUALIFYING RATINGS"), and (2) a short-term unsecured and
          unsubordinated debt rating of at least "A-1", or if it does not have
          a short-term rating, a long-term unsecured and unsubordinated debt
          rating of at least "A+" by S&P ("S&P QUALIFYING RATINGS");

          (C) A "COLLATERALIZATION EVENT" shall occur as to BNY if, with respect
          to the ratings of the long-term and short-term unsecured and
          unsubordinated debt of both BNY (if such debt of BNY is rated) and the
          guarantor under each Qualified Guaranty (if any): (1) the short-term
          rating is reduced to "P-2" or below, or the long-term rating is
          reduced to "A3" or below or, if neither BNY nor the guarantor under
          any Qualified Guaranty has a short-term rating, the long term rating
          is reduced to "A2" or below, by Moody's (a "MOODY'S COLLATERALIZATION
          EVENT"), or (2) the short-term rating is reduced to "A-2" or below,
          or, if neither BNY nor the guarantor under any Qualified Guranty has a
          short-term rating, the long-term rating is reduced to "A" or below by
          S&P (an "S&P COLLATERALIZATION EVENT");

          (D) A "RATINGS EVENT" shall occur as to BNY if, with respect to BNY
          the ratings of the long-term and short-term unsecured and
          unsubordinated debt of both BNY (if such debt of BNY is rated) and the
          guarantor under each Qualified Guaranty (if any): (1) the short-term
          rating is withdrawn or reduced to "P-3" or below or the long-term
          rating is reduced to "Baa1" or, if neither BNY nor the guarantor under
          any Qualified Guaranty has a short-term rating, the long term rating
          is withdrawn or reduced to "Baa1" or below, by Moody's (a "MOODY'S
          RATINGS EVENT"), or (2) the short-term rating is reduced below "A-3",
          or, if neither BNY nor the guarantor under any Qualified Guaranty has
          a short-term rating, the long term rating is withdrawn or reduced to
          "BB+" or below, by S&P (an "S&P RATINGS EVENT");

          (E) "QUALIFIED TRANSFEREE" means a transferee of a novation or
          assignment or a party (other than the Counterparty) that enters into
          another form of Replacement Transaction that is a Reference
          Market-maker ("dealer" in the definition thereof meaning a "dealer in
          notional principal contracts" as defined in Treas. Reg. Section
          1.1001-4) (1) that has Moody's Second Level Qualifying Ratings and S&P
          Qualifying Ratings or (2) whose present and future obligations owing
          to the Counterparty are guaranteed pursuant to a Qualified Guaranty;
          and

          (F) "QUALIFIED GUARANTY" means an unconditional and irrevocable
          guaranty of payment (and not of collection) and the performance of the
          other obligations of BNY (or a Qualified Transferee, as applicable)
          hereunder by a third party having Moody's Second Level Qualifying
          Ratings and S&P Qualifying Ratings ("QUALIFIED GUARANTOR")

                                       12

<PAGE>

          providing, inter alia, that payment thereunder shall be made as
          provided and on the conditions set forth in Section 2(d) as modified
          hereunder (substituting references to BNY as "X" with the guarantor as
          "X" and "this Agreement" with such guaranty, respectively) (or, in
          lieu of such provisions relating to tax, a law firm has given a legal
          opinion confirming that none of the guarantor's payments to the
          Counterparty under such guaranty will be subject to withholding for
          Tax).

          (ii) ACTIONS TO BE TAKEN. (A) If a Collateralization Event occurs,
          then BNY shall, at its own expense, no later than the earlier of
          thirty (30) Business Days thereafter in case of a Moody's
          Collateralization Event or thirty (30) calendar days thereafter in
          case of an S&P Collateralization Event:

               (1) post collateral (commencing within the times set forth
               herein) in accordance with the Credit Support Annex for so long
               as the Collateralization Event continues; or

               (2) subject to the S&P Rating Condition, novate, assign or
               transfer the Transactions to or replace the Transactions with
               Replacement Transactions with a Qualified Transferee (having the
               Moody's First Level Qualifying Ratings and the S&P Qualifying
               Ratings); or

               (3) subject to the S&P Rating Condition, obtain a Qualified
               Guaranty (provided by a guarantor having the Moody's First Level
               Qualifying Ratings and the S&P Qualifying Ratings).

          (B) If a Ratings Event occurs, then BNY shall at its own expense, no
          later than the earlier of thirty (30) Business Days thereafter in case
          of a Moody's Ratings Event or ten (10) Business Days thereafter in
          case of an S&P Ratings Event and subject to the S&P Rating Condition:

               (1) novate, assign or transfer the Transactions to or replace the
          Transactions with Replacement Transactions with a Qualified
          Transferee, or

               (2) obtain a Qualified Guaranty.

          (C) With respect to (A) and (B) above:

               (1) BNY shall post collateral in accordance with the Credit
               Support Annex and the times set forth herein for so long as a
               Collateralization Event or Ratings Event has occurred (or exists
               from the time BNY becomes a party hereto) and continues;

               (2) if a Ratings Event occurs, then BNY shall at its own expense,
               use commercially reasonable efforts to, take one of the actions
               referred to in (B) above as soon as reasonably practicable; and

               (3) if the debt of BNY is unrated because a Rating Agency has
               withdrawn such rating while any Transaction is outstanding under
               this Agreement, and if there is no Eligible Guaranty in effect at
               such time, then such withdrawal shall be treated as a Ratings
               Event unless the Rating Agency Condition is satisfied with
               respect thereto.

     9)   COMPLIANCE WITH REGULATION AB.

     (a) If the Depositor under the Pooling and Servicing Agreement still has a
     reporting obligation with respect to this Transaction pursuant to
     Regulation AB under the Securities Act of 1933, as amended, and the
     Securities Exchange Act of 1934, as amended ("REGULATION AB") and BNY has
     not, within 30 days after receipt of a Swap Disclosure Request complied
     with the provisions set forth below in this Paragraph 4(9) (provided that
     if the significance percentage reaches 10% after a Swap Disclosure Request
     has been made to BNY, BNY must comply with the provisions set forth below
     in this Section 4(9) within 10 calendar days of BNY being informed of the
     significance percentage reaching 10%), then an Additional Termination Event
     shall have occurred with respect to BNY and BNY shall be the sole Affected
     Party with respect to such Additional Termination Event.

                                       13

<PAGE>

     (b) BNY acknowledges that for so long as there are reporting obligations
     with respect to this Transaction under Regulation AB, the Depositor is
     required under Regulation AB to disclose certain information set forth in
     Regulation AB regarding BNY or its group of affiliated entities, if
     applicable, depending on the aggregate "significance percentage" of this
     Agreement and any other derivative contracts between BNY or its group of
     affiliated entities, if applicable, and the Counterparty, as calculated
     from time to time in accordance with Item 1115 of Regulation AB.

     (c) If the Depositor determines, reasonably and in good faith, that the
     significance percentage of this Agreement has increased to eight (8)
     percent, then the Depositor may request on a Business Day after the date of
     such determination from BNY the same information set forth in Item 1115(b)
     of Regulation AB that would have been required if the significance
     percentage had in fact increased to ten (10) percent (such request, a "SWAP
     DISCLOSURE REQUEST" and such requested information, subject to the last
     sentence of this paragraph, is the "SWAP FINANCIAL DISCLOSURE"). The
     Counterparty or the Depositor shall provide BNY with the calculations and
     any other information reasonably requested by BNY with respect to the
     Depositor's determination that led to the Swap Disclosure Request. The
     parties hereto further agree that the Swap Financial Disclosure provided to
     meet the Swap Disclosure Request may be, solely at BNY's option, either the
     information set forth in Item 1115(b)(1) or Item 1115(b)(2) of Regulation
     AB.

     (d) Upon the occurrence of a Swap Disclosure Request, BNY, at its own
     expense, shall (x) provide the Depositor with the Swap Financial Disclosure
     in an Edgar-compatible format, or (y) subject to Rating Agency Condition,
     secure another entity to replace BNY as party to this Agreement on terms
     substantially similar to this Agreement which entity is able to provide the
     Swap Financial Disclosure. If permitted by Regulation AB, any required Swap
     Financial Disclosure may be provided by incorporation by reference from
     reports filed pursuant to the Securities Exchange Act.

     (e) BNY's obligation to comply with this Paragraph 4(9) shall be suspended
     as of January 1, 2008 unless, at any time, BNY receives notification from
     the Depositor or the Counterparty that the Trust Fund's obligation to file
     periodic reports under the Exchange Act shall continue; provided, however,
     that such obligations shall not be suspended in respect of any Exchange Act
     Report or amendment to an Exchange Act Report in such fiscal year which
     relates to any fiscal year in which the Trust Fund was subject to the
     reporting requirements of the Exchange Act. This obligation shall continue
     to be suspended unless the Depositor or the Counterparty notifies BNY that
     the Trust Fund's obligations to file reports under the Exchange Act has
     resumed.

     10) BNY PAYMENTS TO BE MADE TO SUPPLEMENTAL INTEREST TRUST TRUSTEE. BNY
will, unless otherwise directed by the Supplemental Interest Trust Trustee, make
all payments hereunder to the Supplemental Interest Trust Trustee. Payment made
to the Supplemental Interest Trust Trustee at the account specified herein or to
another account specified in writing by the Supplemental Interest Trust Trustee
shall satisfy the payment obligations of BNY hereunder to the extent of such
payment.

     11) RETURN OF AMOUNTS RECEIVED BY MLML OR ITS AFFILIATES. Merrill Lynch
Mortgage Lending, Inc. ("MLML") agrees and acknowledges that amounts paid
hereunder are not intended to benefit the holder of any class of Certificates
rated by any Rating Agency if such holder is MLML or any of its affiliates. If
MLML or any of its affiliates receives any such amounts, it will promptly remit
(or, if such amounts are received by an affiliate of MLML, MLML hereby agrees
that it will cause such affiliate to promptly remit) such amounts to the
Supplemental Interest Trust Trustee, whereupon such Supplemental Interest Trust
Trustee will promptly remit such amounts to BNY. MLML further agrees to provide
notice to BNY upon any remittance to the Supplemental Interest Trust Trustee.

     12) ADDITIONAL PROVISIONS. Notwithstanding the terms of Sections 5 and 6 of
the ISDA Form Master Agreement, if the Counterparty has satisfied its payment
obligations under Section 2(a)(i) of the ISDA Form Master Agreement, and shall,
at the time, have no future payment or delivery obligation, whether absolute or
contingent, then unless BNY is required pursuant to appropriate proceedings to
return to the Counterparty or otherwise returns to the Counterparty upon demand
of the Counterparty any portion of such payment, (a) the occurrence of an event
described in Section 5(a) of the ISDA Form Master Agreement with respect to the
Counterparty shall not constitute an Event of Default or Potential Event of
Default with respect to the Counterparty as the Defaulting Party and (b) BNY
shall be entitled to designate an Early Termination Date pursuant to Section 6
of the ISDA Form Master Agreement only as a result of a Termination Event set
forth in either Section 5(b)(i) or Section 5(b)(ii) of the ISDA Form Master

                                       14

<PAGE>

Agreement with respect to BNY as the Affected Party or Section 5(b)(iii) of the
ISDA Form Master Agreement with respect to BNY as the Burdened Party.

5.   ACCOUNT DETAILS AND SETTLEMENT INFORMATION:

     PAYMENTS TO BNY:

          The Bank of New York
          Derivative Products Support Department
          32 Old Slip, 16th Floor
          New York, New York 10286
          Attention: Renee Etheart
          ABA #021000018
          Account #890-0068-175
          Reference: Interest Rate Swap

     PAYMENTS TO COUNTERPARTY:

          LaSalle Bank, Chicago, IL
          ABA# 071000505
          LaSalle CHGO/CTR/BNF:/LASALLE TRUST
          A/C# 724765.2

     6. COUNTERPARTS. This Agreement may be executed in several counterparts,
each of which shall be deemed an original but all of which together shall
constitute one and the same instrument.

     Please confirm that the foregoing correctly sets forth the terms of our
agreement by executing this agreement and returning it via facsimile to
Derivative Products Support Dept., Attn: Kenny Au-Yeung at 212-804-5818/5837.
Once we receive this we will send you two original confirmations for execution.

                                       15

<PAGE>

     We are very pleased to have executed this Transaction with you and we look
forward to completing other transactions with you in the near future.

Very truly yours,

THE BANK OF NEW YORK

A. BY:
       ------------------------------
Name:
      -------------------------------
Title:
       ------------------------------

                                       16

<PAGE>

     The Counterparty, acting through its duly authorized signatory, hereby
agrees to, accepts and confirms the terms of the foregoing as of the Trade Date.

LASALLE BANK NATIONAL ASSOCIATION, NOT IN ITS INDIVIDUAL CAPACITY, BUT SOLELY AS
SUPPLEMENTAL INTEREST TRUST TRUSTEE FOR THE SUPPLEMENTAL INTEREST TRUST RELATING
TO THE MERRILL LYNCH FIRST FRANKLIN MORTGAGE LOAN TRUST, SERIES 2007-3

B. BY:
       ------------------------------
Name:
      -------------------------------
Title:
       ------------------------------

Solely with respect to Paragraph 4(11)

V. MERRILL LYNCH MORTGAGE LENDING, INC.

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

                                       17
<PAGE>

                                   SCHEDULE I

(all such dates subject to No Adjustment with respect to Fixed Rate Payer Period
     End Dates and adjustment in accordance with the Following Business Day
   Convention with respect to Floating Rate Payer Period End Dates; provided,
  however, the initial Calculation Period for the Floating Amount will commence
                     on, and include from November 26, 2007)

<TABLE>
<CAPTION>
Accrual Start Date   Accrual End Date   Notional Amount (in USD)
------------------   ----------------   ------------------------
<S>                  <C>                <C>
    11/25/2007          12/25/2007            1,677,078,175
    12/25/2007          01/25/2008            1,645,824,832
    01/25/2008          02/25/2008            1,613,327,127
    02/25/2008          03/25/2008            1,578,680,712
    03/25/2008          04/25/2008            1,538,832,290
    04/25/2008          05/25/2008            1,495,009,690
    05/25/2008          06/25/2008            1,443,928,197
    06/25/2008          07/25/2008            1,396,021,868
    07/25/2008          08/25/2008            1,351,734,826
    08/25/2008          09/25/2008            1,310,351,057
    09/25/2008          10/25/2008            1,271,763,188
    10/25/2008          11/25/2008            1,235,255,598
    11/25/2008          12/25/2008            1,200,915,111
    12/25/2008          01/25/2009            1,168,360,510
    01/25/2009          02/25/2009            1,137,964,814
    02/25/2009          03/25/2009            1,108,944,583
    03/25/2009          04/25/2009              995,870,275
    04/25/2009          05/25/2009              855,377,999
    05/25/2009          06/25/2009              734,287,766
    06/25/2009          07/25/2009              637,611,000
    07/25/2009          08/25/2009              584,428,709
    08/25/2009          09/25/2009              544,590,752
    09/25/2009          10/25/2009              513,402,048
    10/25/2009          11/25/2009              485,255,056
    11/25/2009          12/25/2009              459,222,807
    12/25/2009          01/25/2010              435,630,205
    01/25/2010          02/25/2010              414,580,121
    02/25/2010          03/25/2010              395,531,847
    03/25/2010          04/25/2010              370,436,856
    04/25/2010          05/25/2010              333,502,210
    05/25/2010          06/25/2010              299,828,851
    06/25/2010          07/25/2010              272,308,649
</TABLE>

                                       18

<PAGE>

<TABLE>
<S>                  <C>                <C>
    07/25/2010          08/25/2010              250,027,729
    08/25/2010          09/25/2010              231,617,353
    09/25/2010          10/25/2010              215,439,381
    10/25/2010          11/25/2010              200,332,175
    11/25/2010          12/25/2010              187,046,230
    12/25/2010          01/25/2011              175,032,610
    01/25/2011          02/25/2011              164,209,425
    02/25/2011          03/25/2011              154,064,251
    03/25/2011          04/25/2011              144,127,766
    04/25/2011          05/25/2011              144,127,766
    05/25/2011          06/25/2011              144,127,766
    06/25/2011          07/25/2011              144,127,766
    07/25/2011          08/25/2011              144,127,766
    08/25/2011          09/25/2011              144,127,766
    09/25/2011          10/25/2011              139,176,049
    10/25/2011          11/25/2011              133,352,369
    11/25/2011          12/25/2011              127,774,286
    12/25/2011          01/25/2012              122,528,883
    01/25/2012          02/25/2012              117,637,309
    02/25/2012          03/25/2012              113,046,283
    03/25/2012          04/25/2012              108,506,395
    04/25/2012          05/25/2012              104,233,444
</TABLE>

                                       19
<PAGE>

                                   EXHIBIT Q-2

(BILATERAL FORM)                  (ISDA AGREEMENTS SUBJECT TO NEW YORK LAW ONLY)

                                     ISDA(R)
              International Swaps and Derivatives Association, Inc.
                              CREDIT SUPPORT ANNEX

                             to the Schedule to the

                              ISDA MASTER AGREEMENT

                            Dated as of May 30, 2007

                                     between

THE BANK OF NEW YORK                 and   LASALLE BANK NATIONAL ASSOCIATION,
                                           NOT IN ITS INDIVIDUAL CAPACITY, BUT
                                           SOLELY AS SUPPLEMENTAL INTEREST TRUST
                                           TRUSTEE WITH RESPECT TO THE
                                           SUPPLEMENTAL INTEREST TRUST RELATING
                                           TO THE MERRILL LYNCH FIRST FRANKLIN
                                           MORTGAGE LOAN TRUST, SERIES 2007-3

established as a banking                   The Supplemental Interest Trust is a
organization under the laws of the         common law trust established under
State of New York                          the laws of the State of New York.

            ("PARTY A")                                 ("PARTY B")
----------------------------------         -------------------------------------

This Annex supplements, forms part of, and is subject to, the Master Agreement
specified in the Confirmation(s) between Party A and Party B (BNY Ref. No.
39365) (the "AGREEMENT"), dated even date herewith, is part of the Schedule
deemed incorporated therein and is a Credit Support Document under the Master
Agreement with respect to Party A.

Accordingly, the parties agree as follows:--

PARAGRAPHS 1 - 12. INCORPORATION. Paragraphs 1 through 12 inclusive of the ISDA
Credit Support Annex (Bilateral Form) (ISDA Agreements Subject to New York Law
Only) published in 1994 by the International Swaps and Derivatives Association,
Inc. are incorporated herein by reference and made a part hereof, except that
Paragraph 1(b) is hereby amended in its entirety to read as follows:

"(b) SECURED PARTY AND PLEDGOR. Notwithstanding anything contained in this Annex
to the contrary, (a) the term "Secured Party" as used in this Annex means only
Party B, (b) the term "Pledgor" as used in this Annex means only Party A, (c)
only Party A makes the pledge and grant in Paragraph 2, the acknowledgment in
the final sentence of Paragraph 8(a) and the

                                       20

<PAGE>

representations in Paragraph 9, and (d) only Party A will be required to make
Transfers of Eligible Credit Support hereunder."

PARAGRAPH 13.

CERTAIN DEFINITIONS. As used herein, "MOODY'S", "S&P", "RATING AGENCY",
"COLLATERALIZATION EVENT", "MOODY'S COLLATERALIZATION EVENT", "S&P
COLLATERALIZATION EVENT"; "RATINGS EVENT", "MOODY'S RATINGS EVENT", and "S&P
RATINGS EVENT" have the meanings assigned in the Schedule.

(a) SECURITY INTEREST FOR "OBLIGATIONS." The term "OBLIGATIONS" as used in this
Annex includes the following additional obligations: Not applicable.

(b) CREDIT SUPPORT OBLIGATIONS.

     (i) DELIVERY AMOUNT, RETURN AMOUNT AND CREDIT SUPPORT AMOUNT.

          (A) "DELIVERY AMOUNT" has the meaning specified in Paragraph 3(a)
          except that the words "upon a demand made by the Secured Party on or
          promptly following a Valuation Date" shall be deleted and replaced by
          the words "on each Valuation Date on which the Threshold for Party A
          is Zero, commencing no later than the Valuation Date falling on or
          after the earliest of (i) in the case of a Moody's Collateralization
          Event or Moody's Ratings Event, on the 30th Local Business Day
          thereafter, (ii) in the case of an S&P Collateralization Event, the
          thirtieth (30th) calendar day thereafter or, if it is not a Local
          Business Day, the next preceding day that is a Local Business Day and
          (iii) in the case of an S&P Ratings Event, commencing promptly after
          publication by S&P of the applicable change in rating.

          (B) "RETURN AMOUNT" has the meaning specified in Paragraph 3(b).

          (C) "CREDIT SUPPORT AMOUNT" in Paragraph 3(b), shall be amended in its
          entirety to read as follows:

               "`CREDIT SUPPORT AMOUNT' means, for any Valuation Date after and
               during the continuance of a Collateralization Event or Ratings
               Event, (i) the Secured Party's Exposure for that Valuation Date,
               plus (ii) the aggregate of all Independent Amounts applicable to
               the Pledgor (with respect to all Affected Transactions), if any,
               minus (iii) the Pledgor's Threshold; provided, however, that the
               Credit Support Amount will be deemed to be zero whenever the
               calculation of the Credit Support Amount yields a number less
               than zero; and, provided further, that, if a Moody's Ratings
               Event with respect to Party A and the guarantor under each
               Qualified Guaranty (if any) has occurred and is continuing and at
               least thirty (30) Business Days have elapsed since the last time
               it was not the case that a Moody's Ratings Event had occurred and
               was continuing with respect to Party A and the guarantor under
               each Qualified Guaranty (if any), the Credit Support Amount will
               not be less than the greater of zero and the aggregate amount of
               the net payments due from Pledgor in respect of all following
               scheduled Payments (each such net payment being the greater of
               zero and the amount of the payment due to be made by the Pledgor
               under Section 2(a) on a Payment date less the amount of any
               payment due to be made by the Secured Party under Section 2(a) on
               the same Payment Date after giving effect to any applicable
               netting under Section 2(c) (each a "NET PAYMENT")) with respect
               to all Affected Transactions.

     (ii) ELIGIBLE COLLATERAL. The items set forth in Schedule 1A or Schedule
     1B, as applicable, will qualify as "ELIGIBLE COLLATERAL" for Party A.

     (iii) OTHER ELIGIBLE SUPPORT. The following items will qualify as "OTHER
     ELIGIBLE SUPPORT" for the party specified: Not Applicable.

     (iv) THRESHOLDS.

                                       21

<PAGE>

          (A) "INDEPENDENT AMOUNT" means with respect to Party B: Zero; and,
          with respect to Party A for any Valuation Date: an amount, equal to
          the product of the aggregate Notional Amount outstanding at the
          beginning of the related Calculation Period under the applicable
          Affected Transactions, and the greater of:

               (1) in respect of a Moody's Collateralization Event or a Moody's
               Ratings Event, the percentage set forth in Schedule 2A, Schedule
               2B or Schedule 2C, as applicable ("MOODY'S INDEPENDENT AMOUNT");
               and

               (2) in respect of an S&P Collateralization Event or an S&P
               Ratings Event, (x) with respect to basis risk swaps, the product
               of the S&P Volatility Buffer and .10, and (y) with respect to all
               other Transactions the S&P Volatility Buffer determined using the
               table set forth in Schedule 3 ("S&P INDEPENDENT AMOUNT").

          (B) "THRESHOLD" means for each party: an infinite number; provided,
          that the Threshold shall be zero at any time that Party A elects or is
          required to post collateral pursuant to Part 4(8)(ii) of the Schedule.

          (C) "MINIMUM TRANSFER AMOUNT" means with respect to Party A and Party
          B: $100,000; provided, that the Minimum Transfer Amount for such party
          shall be $50,000 in respect of an S&P Collateralization Event and an
          S&P Ratings Event if the aggregate principal balance of the rated
          Certificates is $50,000,000 or less on the applicable Valuation Date,
          and shall be zero upon the occurrence and during the continuance of an
          Event of Default, Termination Event, Additional Termination Event, or
          Specified Condition with respect to such party.

          (D) ROUNDING. The Delivery Amount will be rounded up to the nearest
          integral multiple of $1,000 and the Return Amount will be rounded down
          to the nearest integral multiple of $1,000.

     (v) CONFLICTING VALUATION PERCENTAGE. Notwithstanding the definition of
     "Valuation Percentage" in Paragraph 10, the Valuation Percentage for any
     item of Eligible Collateral shall be the lowest of the applicable
     percentages specified for such item by any Rating Agency then rating the
     Certificates.

(c) VALUATION AND TIMING.

     (i) "VALUATION AGENT" means, Party A, provided, that if any Event of
     Default with respect to Party A has occurred and is continuing, then any
     designated third party mutually agreed to by the parties shall be the
     Valuation Agent until such time as Party A is no longer a Defaulting Party.

     (ii) "VALUATION DATE" means: each Local Business Day.

     (iii) "VALUATION TIME" means:

          [ ]  the close of business in the city of the Valuation Agent on the
               Valuation Date or date of calculation, as applicable;

          [X]  the close of business on the Local Business Day before the
               Valuation Date or date of calculation, as applicable;

     provided, that the calculations of Value and Exposure will be made as of
     approximately the same time on the same date.

     (iv) "NOTIFICATION TIME" means 1:00 p.m., New York time, on a Local
     Business Day.

(d) CONDITIONS PRECEDENT AND SECURED PARTY'S RIGHTS AND REMEDIES. (i) Illegality
and (ii) Additional Termination Events will be a "SPECIFIED CONDITION" for Party
A (as the Affected Party) (but not for purposes of Paragraph 8(d)), and (iii)
Tax Event and (iv) Tax Event Upon Merger will not be a "SPECIFIED CONDITION for
Party A.

(e) SUBSTITUTION.

                                       22

<PAGE>

     (i) "SUBSTITUTION DATE" has the meaning specified in Paragraph 4(d)(ii).

     (ii) CONSENT. If specified here as applicable, then the Pledgor must obtain
     the Secured Party's consent for any substitution pursuant to Paragraph
     4(d): Applicable.

(f) DISPUTE RESOLUTION.

     (i) "RESOLUTION TIME" means 1:00 p.m., New York time, on the Local Business
     Day following the date on which the notice is given that gives rise to a
     dispute under Paragraph 5.

     (ii) VALUE. For the purpose of Paragraphs 5(i)(C) and 5(ii), the Value of
     Posted Credit Support will be calculated as follows: as set forth for other
     purposes in Paragraph 12.

     (iii) ALTERNATIVE. The provisions of Paragraph 5 will apply, except to the
     following extent: (A) pending the resolution of a dispute, Transfer of the
     undisputed Value of Eligible Credit Support or Posted Credit Support
     involved in the relevant demand will be due as provided in Paragraph 5 if
     the demand is given by the Notification Time, but will be due on the second
     Local Business Day after the demand if the demand is given after the
     Notification Time; and (B) the Disputing Party need not comply with the
     provisions of Paragraph 5(II)(2) if the amount to be Transferred does not
     exceed the Disputing Party's Minimum Transfer Amount.

(g) HOLDING AND USING POSTED COLLATERAL.

     (i) ELIGIBILITY TO HOLD POSTED COLLATERAL; CUSTODIANS. The Secured Party
     will not be entitled to hold Posted Collateral itself. The Secured Party
     will be hold Posted Collateral in an identifiable segregated account
     through a Custodian (which may be the Supplemental Interest Trust Trustee
     and which shall at all times be a financial institution as specified under
     the Pooling and Servicing Agreement. If not so specified, the Custodian
     shall be a commercial bank or trust company which is unaffiliated with
     Party B organized under the laws of the United States or any state thereof,
     having assets of at least $10 billion and a long term debt or a deposit
     rating of at least Baa2 from Moody's and A from S&P. For so long as the
     Certificates are rated by S&P, any Custodian other than the Supplemental
     Interest Trust Trustee shall have a short-term debt or deposit rating of at
     least A-1, or, if it has no short term-term rating, a long-term debt or
     deposit rating of at least A from S&P .

     Initially, the Custodian for Party B is: The Supplemental Interest Trust
     Trustee under the Pooling and Servicing Agreement or any successor trustee
     thereto.

     (ii) USE OF POSTED COLLATERAL. The provisions of Paragraph 6(c) will not
     apply to the Secured Party; therefore, Party B will not have any of the
     rights specified in Paragraph 6(c)(i) or 6 (c)(ii).

(h) DISTRIBUTIONS AND INTEREST AMOUNT.

     (i) INTEREST RATE. The "Interest Rate", with respect to Eligible Collateral
     in the form of Cash will be the actual rate of interest earned by the
     Counterparty or the Custodian if the Cash is invested at the direction of
     Party A in accordance with Paragraph 13(1)(vi); otherwise the "Interest
     Rate" will be, for any day, the rate opposite the caption "Federal Funds
     (Effective)" for such day as published for such day in Federal Reserve
     Publication H.15(519) or any successor publication as published by the
     Board of Governors of the Federal Reserve System or such other rate as
     agreed by the parties.

     (ii) TRANSFER OF INTEREST AMOUNT. The Transfer of the Interest Amount will
     be made on the first Local Business Day of each calendar month and on any
     Local Business Day that Posted Collateral in the form of Cash is
     Transferred to the Pledgor pursuant to Paragraph 3(b). subject to the
     receipt and availability of such funds..

     (iii) ALTERNATIVE TO INTEREST AMOUNT. The provisions of Paragraph 6(d)(ii)
     will apply.

(i) OTHER ELIGIBLE SUPPORT AND OTHER POSTED SUPPORT.

                                       23

<PAGE>

     (i) "VALUE" with respect to Other Eligible Support and Other Posted Support
     means: Inapplicable.

     (ii) "TRANSFER" with respect to Other Eligible Support and Other Posted
     Support means: Inapplicable.

(j) DEMANDS AND NOTICES. All demands, specifications and notices under this
Annex will be made pursuant to the Notices Section of this Agreement, unless
otherwise specified here:

     (i) Party A:    to be specified in each notice.

     (ii) Party B:   LaSalle Bank National Association, not in its individual
                     capacity, but solely as Supplemental Interest Trust Trustee
                     for Merrill Lynch
                     First Franklin Mortgage Loan Trust, Series 2007-3
                     Global Securities and Trust Services
                     135 S. LaSalle Street, Suite 1511
                     Chicago, Illinois 60603
                     Attn: Rachel Otto
                     Tel: 312-904-4839
                     Fax: 312-904-1368

(k) ADDRESSES FOR TRANSFERS.

     Party A:   For Cash: To be provided
                For Eligible Collateral: To be provided
     Party B:   To be provided

(l) OTHER PROVISIONS.

     (i) ADDITIONAL DEFINITIONS. As used in this Annex:--

          "EQUIVALENT COLLATERAL" means, with respect to any security
          constituting Posted Collateral, a security of the same issuer and, as
          applicable, representing or having the same class, series, maturity,
          interest rate, principal amount or liquidation value and such other
          provisions as are necessary for that security and the security
          constituting Posted Collateral to be treated as equivalent in the
          market for such securities;

          "LOCAL BUSINESS DAY" means: (i) any day on which commercial banks are
          open for business (including dealings in foreign exchange and foreign
          currency deposits) in New York, and (ii) in relation to a Transfer of
          Eligible Collateral, a day on which the clearance system agreed
          between the parties for the delivery of Eligible Collateral is open
          for acceptance and execution of settlement instructions (or in the
          case of a Transfer of Cash or other Eligible Collateral for which
          delivery is contemplated by other means, a day on which commercial
          banks are open for business (including dealings for foreign exchange
          and foreign currency deposits) in New York and such other places as
          the parties shall agree);

     (ii) TRANSFER TIMING.

          (A) Paragraph 4(b) shall be deleted and replaced in its entirety by
          the following paragraph: "Subject to Paragraphs 4(a) and 5 and unless
          otherwise specified, if a demand for the Transfer of Eligible Credit
          Support or Posted Credit Support is made by the Notification Time,
          then the relevant Transfer will be made not later than the close of
          business on the second Local Business Day thereafter; if a demand is
          made after the Notification Time then the relevant Transfer will be
          made not later than the close of business on the third Local Business
          Day thereafter."

          (B) Paragraph 6(d)(1) shall be amended so that the reference therein
          to "the following Local Business Day" shall be replaced by reference
          to "the second Local Business Day thereafter".

                                       24

<PAGE>

     (iii) EVENTS OF DEFAULT. Paragraph 7 shall be deleted and replaced in its
     entirety by the following paragraph:

          "For the purposes of Section 5(a)(iii) of this Agreement, an Event of
          Default will exist with respect to a party if that party fails (or
          fails to cause its Custodian) to make, when due, any Transfer of
          Eligible Credit Support, Posted Credit Support or the Interest Amount,
          as applicable, required to be made by it and that failure continues
          for two Local Business Day after the notice of that failure is given
          to that party; provided, that, with respect to a failure to Transfer
          Eligible Credit Support, at least (x) 30 Local Business Days have
          elapsed after a Ratings Event has occurred, or (y) 10 Business Days
          have elapsed after an S&P Ratings Event, and such failure is not
          remedied on or before the third Local Business Day after notice of
          such failure is given to Party A".

     (iv) NO COUNTERCLAIM. A party's rights to demand and receive the Transfer
     of Eligible Collateral as provided hereunder and its rights as Secured
     Party against the Posted Collateral or otherwise shall be absolute and
     subject to no counterclaim, set-off, deduction or defense in favor of the
     Pledgor except as contemplated in Sections 2 and 6 of the Agreement and
     Paragraph 8 of this Annex.

     (v) HOLDING COLLATERAL. The Secured Party shall cause any Custodian
     appointed hereunder to open and maintain a segregated account and to hold,
     record and identify all the Posted Collateral therein and, subject to
     Paragraphs 6(c) and 8(a), such Posted Collateral shall at all times be and
     remain the property of the Pledgor and shall at no time constitute the
     property of, or be commingled with the property of, the Secured Party or
     the Custodian.

     (vi) INVESTMENT OF CASH POSTED COLLATERAL. Cash Posted Collateral shall be
     invested in Permitted Investments as directed by Party A, with gains and
     losses incurred in respect of such investments to be for the account of
     Party A, subject to the following parameters: the Cash Posted Collateral
     shall be invested in such overnight (or redeemable within two Local
     Business Days of demand) investments rated at least (x) AAAm or AAAm-G by
     S&P and (y) Prime -1 or Aaa by Moody's as directed by Party A (provided,
     that such investment shall be held uninvested or invested at the direction
     of Party B if an Event of Default or an Additional Termination Event has
     occurred with respect to which Party A is the defaulting or sole Affected
     Party and Party B has designated an Early Termination Date with respect
     thereto). Such instructions may be delivered as standing instructions.

     (vii) RETURN OF POSTED COLLATERAL. At any time Party A is required to post
     collateral pursuant to Part 4(8)(ii)of the Schedule, Party A shall be
     obligated to transfer Eligible Collateral in accordance with the terms of
     this Annex. If Party A is so required to post collateral in relation to a
     Collateralization Event or a Ratings Event and thereafter ceases to be
     required to post collateral under Part 4(8)(ii)of the Schedule (and
     provided that no Event of Default exists with respect to Party A) or Party
     A has made a Permitted Transfer under this Agreement, then Party A's
     obligations to transfer Eligible Collateral under this Annex will
     immediately cease with respect to that Collateralization Event or Ratings
     Event, and Party B will, upon demand by Party A, return to Party A, or
     cause its Custodian to return, all Posted Collateral held under this Annex.
     The Secured Party is authorized to liquidate any Posted Collateral pursuant
     to written instructions from Party A.

     (viii) EXTERNAL VERIFICATION OF MARK-TO-MARKET VALUATIONS. If the long-term
     senior unsecured debt of Party A is rated BBB or below by S&P, once every
     month, Party A will at its own expense verify its determination of Exposure
     of the Transaction on the next Valuation Date by seeking quotations from
     two (2) Reference Market-makers (provided, that a Reference Market-maker
     may not be used more than four times within each 12 month period) for their
     determination of Exposure of the Transaction on such Valuation Date and the
     Valuation Agent will use the greater of either (a) its own determination or
     (b) the high quotation for a Reference Market-maker, if applicable for the
     next Valuation Date and cure any deficiency in collateral value within
     three Local

                                       25

<PAGE>

     Business Days. Party A shall provide the quotations of such Reference
     Market-makers to S&P.

     (ix) EXPENSES. Notwithstanding Paragraph 10, the Pledgor will be
     responsible for, and will reimburse the Secured Party for, all transfer and
     other taxes and other costs involved in the transfer of Eligible
     Collateral.

     (x) LIMIT ON SECURED PARTY'S LIABILITY. The Secured Party will not be
     liable for any losses or damages that the Pledgor may suffer as a result of
     any failure by the Secured Party to perform, or any delay by it in
     performing, any of its obligations under this Annex if the failure or delay
     results from circumstances beyond the reasonable control of the Secured
     Party or its Custodian, such as interruption or loss of computer or
     communication services, labor disturbance, natural disaster or local or
     national emergency.

                      [Signature page immediately follows]

                                       26

<PAGE>

     IN WITNESS WHEREOF the parties have executed this Credit Support Annex on
the respective dates specified below with effect from the date on the first
page.

THE BANK OF NEW YORK                    LASALLE BANK NATIONAL ASSOCIATION, NOT
                                        IN ITS INDIVIDUAL CAPACITY, BUT SOLELY
                                        AS SUPPLEMENTAL INTEREST TRUST TRUSTEE
                                        WITH RESPECT TO THE SUPPLEMENTAL
                                        INTEREST TRUST RELATING TO THE MERRILL
                                        LYNCH FIRST FRANKLIN MORTGAGE LOAN
                                        TRUST, SERIES 2007-3

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

                                       27

<PAGE>

                                   SCHEDULE 1A
                               ELIGIBLE COLLATERAL
                                     MOODY'S

Certificates: Class A, Class M and Class B Certificates
Highest Rating of Certificates: Class A rated "Aaa" by Moody's, and "AAA" by
S&P.
Scheduled Date Certificates will fall to $50,000,000 or below:
Last Scheduled Payment Date of Transactions: No. 39365: May 25, 2012
Valuation Date (and Valuation Percentage column): Daily
Moody's Valuation Percentage columns:

*    Column A sets out the percentage applicable when the percentage in Column
     B is not applicable.

*    Column B sets out the percentage applicable when a Moody's Ratings Event
     has occurred and is continuing and at least 30 Local Business Days have
     elapsed since the last time it was not the case that a Moody's Ratings
     Event had occurred and was continuing.

                    ELIGIBLE COLLATERAL & VALUATION PERCENTAGES (MOODY'S )

<TABLE>
<CAPTION>
                                                               VALUATION         VALUATION
                                                               PERCENTAGE        PERCENTAGE
                                                            ---------------   ----------------
                                                            MOODY'S (DAILY)   MOODY'S (WEEKLY)
                                                            ---------------   ----------------
                                                                A      B          A      B
                                                              ----   ----       ----   ----
<S>                                                         <C>      <C>      <C>      <C>
(A)    Cash:  U.S. Dollars in depositary account form         100%   100        100%   100%

(B)    Floating-rate U.S. Treasury Securities:                100%    99%       100%    99%
       Floating-rate negotiable debt obligations issued
       by the U.S. Treasury Department after July 18,
       1984 ("FLOATING-RATE TREASURIES") (all
       maturities).

(C)    U.S. Treasury Securities: Fixed-rate negotiable        100%   100%       100%   100%
       debt obligations issued by the U.S. Treasury
       Department after July 18, 1984 ("FIXED-RATE
       TREASURIES") having a remaining maturity of up to
       and not more than 1 year.

(D)    Fixed-rate Treasuries having a remaining maturity      100%    99%       100%    99%
       of greater than 1 year but not more than 2 years.

(E)    Fixed-rate Treasuries having a remaining maturity      100%    98%       100%    98%
       of greater than 2 years but not more than 3 years.

(F)    Fixed-rate Treasuries having a remaining maturity      100%    97%       100%    97%
       of greater than 3 years but not more than 5 years.

(G)    Fixed-rate Treasuries having a remaining maturity      100%    96%       100%    95%
       of greater than 5 years but not more than 7 years.

(H)    Fixed-rate Treasuries having a remaining maturity      100%    94%       100%    94%
       of greater than 7 years but not more than 10
       years.

(I)    Fixed-rate Treasuries having a remaining maturity      100%    90%       100%    89%
       of greater than 10 years but not more than 20
       years.

(J)    Fixed-rate Treasuries having a remaining maturity      100%    88%       100%    87%
       of greater than 20 years but not more than 30
       years.
</TABLE>

                                      1A-1

<PAGE>

                    ELIGIBLE COLLATERAL & VALUATION PERCENTAGES (MOODY'S )

<TABLE>
<S>                                                         <C>      <C>      <C>      <C>
(K)    Floating-rate Agency Securities: Floating-rate         100%    98%       100%    98%
       negotiable debt obligations of the Federal
       National Mortgage Association (FNMA), Federal Home
       Loan Mortgage Corporation (FHLMC), Federal Home
       Loan Banks (FHLB), Federal Farm Credit Banks
       (FFCB), Tennessee Valley Authority (TVA)
       (collectively, "FLOATING-RATE AGENCY SECURITIES")
       (all maturities).

(L)    Fixed-rate Agency Securities: Fixed-rate               100%    99%       100%    99%
       negotiable debt obligations of the Federal
       National Mortgage Association (FNMA), Federal Home
       Loan Mortgage Corporation (FHLMC), Federal Home
       Loan Banks (FHLB), Federal Farm Credit Banks
       (FFCB), Tennessee Valley Authority (TVA)
       (collectively, "FIXED-RATE AGENCY SECURITIES")
       issued after July 18, 1984 and having a remaining
       maturity of not more than 1 year.

(M)    Fixed-rate Agency Securities having a remaining        100%    99%       100%    98%
       maturity of greater than 1 year but not more than
       2 years.

(N)    Fixed-rate Agency Securities having a remaining        100%    98%       100%    97%
       maturity of greater than 2 years but not more than
       3 years.

(O)    Fixed-rate Agency Securities having a remaining        100%    96%       100%    96%
       maturity of greater than 3 years but not more than
       5 years.

(P)    Fixed-rate Agency Securities having a remaining        100%    93%       100%    94%
       maturity of greater than 5 years but not more than
       7 years.

(Q)    Fixed-rate Agency Securities having a remaining        100%    93%       100%    93%
       maturity of greater than 7 years but not more than
       10 years.

(R)    Fixed-rate Agency Securities having a remaining        100%    89%       100%    88%
       maturity of greater than 10 years but not more
       than 20 years.

(S)    Fixed-rate Agency Securities having a remaining        100%    87%       100%    86%
       maturity of greater than 20 years but not more
       than 30 years.

(T)    FHLMC Certificates. Mortgage participation                *      *          *      *
       certificates issued by FHLMC evidencing undivided
       interests or participations in pools of first lien
       conventional or FHA/VA residential mortgages or
       deeds of trust, guaranteed by FHLMC, issued after
       July 18, 1984 and having a remaining maturity of
       not more than 30 years.

(U)    FNMA Certificates. Mortgage-backed pass-through           *      *          *      *
       certificates issued by FNMA evidencing undivided
       interests in pools of first lien mortgages or
       deeds of trust on residential properties,
       guaranteed by FNMA, issued after July 18, 1984 and
       having a remaining maturity of not more than 30
       years.
</TABLE>

                                      1A-2

<PAGE>

                    ELIGIBLE COLLATERAL & VALUATION PERCENTAGES (MOODY'S )

<TABLE>
<S>                                                         <C>      <C>      <C>      <C>
(V)    GNMA Certificates. Mortgage-backed pass-through           *      *          *      *
       certificates issued by private entities,
       evidencing undivided interests in pools of first
       lien mortgages or deeds of trust on single family
       residences, guaranteed by the Government National
       Mortgage Association (GNMA) with the full faith
       and credit of the United States, issued after July
       18, 1984 and having a remaining maturity of not
       more than 30 years.

(W)    Commercial Mortgage-Backed Securities. Floating           *      *          *      *
       rate commercial mortgage-backed securities rated
       AAA by two major rating agencies (including S&P if
       S&P is a Rating Agency hereunder) with a minimum
       par or face amount of $250 million (excluding
       securities issued under Rule 144A) ("Commercial
       Mortgage-Backed Securities") having a remaining
       maturity of not more than 5 years.

(X)    Commercial Mortgage-Backed Securities having a            *      *          *      *
       remaining maturity of more than 5 years and not
       more than 10 years.

(Y)    Commercial Mortgage-Backed Securities having a                              *      *
       remaining maturity of more than 10 years.

(Z)    Commercial Paper. Commercial Paper with a rating          *      *          *      *
       of at least P-1 by Moody's and at least A-1+ by
       S&P and having a remaining maturity of not more
       than 30 days.

(AA)   Other Items of Credit Support approved by the             *      *          *      *
       Rating Agencies to the extent any Certificates are
       rated.
</TABLE>

*    zero or such higher percentage in respect of which Moody's has delivered a
     ratings affirmation.

                                      1A-3
<PAGE>

                                   SCHEDULE 1B
                               ELIGIBLE COLLATERAL
                                       S&P

Certificates: Class A, Class M and Class B Certificates
Highest Rating of Certificates: Class A rated "Aaa" by Moody's, and "AAA" by
S&P.
Scheduled Date Certificates will fall to $50,000,000 or below:
Last Scheduled Payment Date of Transactions: No. 39365: May 25, 2012
Valuation Date (and Valuation Percentage column): Daily

                ELIGIBLE COLLATERAL & VALUATION PERCENTAGES (S&P)

<TABLE>
<CAPTION>
                                                                              VALUATION PERCENTAGE
                                                                                       S&P
                                                                              --------------------
                                                                                 DAILY   WEEKLY
                                                                                 -----   ------
<S>                                                                           <C>        <C>
(A)    Cash: U.S. Dollars in depositary account form                              100%    100%

(B)    Floating-rate U.S. Treasury Securities: Floating-rate negotiable             *       *
       debt obligations issued by the U.S. Treasury Department after July
       18, 1984 ("FLOATING RATE TREASURIES") (all maturities).

(C)    Fixed-rate U.S. Treasury Securities: Fixed-rate negotiable debt           98.90%  98.60%
       obligations issued by the U.S. Treasury Department after July 18,
       1984 ("FIXED-RATE TREASURIES") having a remaining maturity of up to
       and not more than 1 year.

(D)    Fixed-rate Treasuries having a remaining maturity of greater than 1       98.00%  97.30%
       year but not more than 2 years.

(E)    Fixed-rate Treasuries having a remaining maturity of greater than 2       97.40%  95.80%
       years but not more than 3 years.

(F)    Fixed-rate Treasuries having a remaining maturity of greater than 3       95.50%  93.80%
       years but not more than 5 years.

(G)    Fixed-rate Treasuries having a remaining maturity of greater than 5       93.70%  91.40%
       years but not more than 7 years.

(H)    Fixed-rate Treasuries having a remaining maturity of greater than 7       92.50%  90.30%
       years but not more than 10 years.

(I)    Fixed-rate Treasuries having a remaining maturity of greater than 10      91.10%  86.90%
       years but not more than 20 years.

(J)    Fixed-rate Treasuries having a remaining maturity of greater than 20      88.60%  84.60%
       years but not more than 30 years.

(K)    Floating-rate Agency Securities: Floating-rate negotiable debt               *       *
       obligations of the Federal National Mortgage Association (FNMA),
       Federal Home Loan Mortgage Corporation (FHLMC), Federal Home Loan
       Banks (FHLB), Federal Farm Credit Banks (FFCB), Tennessee Valley
       Authority (TVA) (collectively, "FLOATING-RATE AGENCY SECURITIES")
       (all maturities).

(L)    Fixed-rate Agency Securities: fixed-rate negotiable debt obligations      98.50%  98.00%
       of the Federal National Mortgage Association (FNMA), Federal Home
       Loan Mortgage Corporation (FHLMC), Federal Home Loan Banks (FHLB),
       Federal Farm Credit Banks (FFCB), Tennessee Valley Authority (TVA)
       (collectively, "FIXED-RATE AGENCY SECURITIES") issued after July 18,
       1984 and having a remaining maturity of not more than 1 year.
</TABLE>

                                      1B-1

<PAGE>

                ELIGIBLE COLLATERAL & VALUATION PERCENTAGES (S&P)

<TABLE>
<S>                                                                           <C>        <C>
(M)    Fixed-rate Agency Securities having a remaining maturity of greater       97.70%  96.80%
       than 1 year but not more than 2 years.

(N)    Fixed-rate Agency Securities having a remaining maturity of greater       97.30%  96.30%
       than 2 years but not more than 3 years.

(O)    Fixed-rate Agency Securities having a remaining maturity of greater       94.50%  92.50%
       than 3 years but not more than 5 years.

(P)    Fixed-rate Agency Securities having a remaining maturity of greater       93.10%  90.30%
       than 5 years but not more than 7 years.

(Q)    Fixed-rate Agency Securities having a remaining maturity of greater       90.70%  86.90%
       than 7 years but not more than 10 years.

(R)    Fixed-rate Agency Securities having a remaining maturity of greater       87.70%  81.60%
       than 10 years but not more than 20 years.

(S)    Fixed-rate Agency Securities having a remaining maturity of greater       84.40%  77.90%
       than 20 years but not more than 30 years.

(T)    FHLMC Certificates. Mortgage participation certificates issued by         91.50%  86.40%
       FHLMC evidencing undivided interests or participations in pools of
       first lien conventional or FHA/VA residential mortgages or deeds of
       trust, guaranteed by FHLMC, issued after July 18, 1984 and having a
       remaining maturity of not more than 30 years.

(U)    FNMA Certificates. Mortgage-backed pass-through certificates issued       91.50%  86.40%
       by FNMA evidencing undivided interests in pools of first lien
       mortgages or deeds of trust on residential properties, guaranteed by
       FNMA, issued after July 18, 1984 and having a remaining maturity of
       not more than 30 years.

(V)    GNMA Certificates. Mortgage-backed pass-through certificates issued       91.50%  86.40%
       by private entities, evidencing undivided interests in pools of
       first lien mortgages or deeds of trust on single family residences,
       guaranteed by the Government National Mortgage Association (GNMA)
       with the full faith and credit of the United States, issued after
       July 18, 1984 and having a remaining maturity of not more than 30
       years.

(W)    Commercial Mortgage-Backed Securities. Floating rate commercial           96.20%  95.10%
       mortgage-backed securities rated AAA by two major rating agencies
       (including S&P if S&P is a Rating Agency hereunder) with a minimum
       par or face amount of $250 million (excluding securities issued
       under Rule 144A) ("Commercial Mortgage-Backed Securities") having a
       remaining maturity of not more than 5 years.

(X)    Commercial Mortgage-Backed Securities having a remaining maturity of      92.90%  90.90%
       more than 5 years and not more than 10 years.

(Y)    Commercial Mortgage-Backed Securities having a remaining maturity of      91.00%  88.60%
       more than 10 years.

(Z)    Commercial Paper. Commercial Paper with a rating of at least P-1 by       99.00%  99.00%
       Moody's and at least A-1+ by S&P and having a remaining maturity of
       not more than 30 days.

(AA)   Other Items of Credit Support approved by the Rating Agencies to the         *       *
       extent any Certificates are rated.
</TABLE>

*    zero or such higher percentage in respect of which S&P has delivered a
     ratings affirmation.

                                      1B-2

<PAGE>

                                   SCHEDULE 2A
                   MOODY'S INDEPENDENT AMOUNT (FIRST TRIGGER)

Certificates: Class A, Class M and Class B Certificates
Highest Rating of Certificates: Class A rated "Aaa" by Moody's, and "AAA" by
S&P.
Scheduled Date Certificates will fall to $50,000,000 or below:
Last Scheduled Payment Date of Transactions: No. 39365: May 25, 2012
Valuation Date (and Valuation Percentage column): Daily

The following percentages shall be used in the calculation of the Moody's
Independent Amount when either (i) it is not the case that a Moody's Ratings
Event with respect to Party A and the guarantor under each Qualified Guaranty
(if any) has occurred and is continuing, or (ii) less than 30 Local Business
Days have elapsed since the last time it was not the case that a Moody's Ratings
Event had occurred and was continuing with respect to Party A and the guarantor
under each Qualified Guaranty (if any).

<TABLE>
<CAPTION>
    WEIGHTED AVERAGE LIFE OF                                 VALUATION DATE
      TRANSACTION IN YEARS          VALUATION DATE (DAILY)      (WEEKLY)
---------------------------------   ----------------------   --------------
<S>                                 <C>                      <C>
1 or less                                    0.15%                0.25%
More than 1 but not more than 2              0.30%                0.50%
More than 2 but not more than 3              0.40%                0.70%
More than 3 but not more than 4              0.60%                1.00%
More than 4 but not more than 5              0.70%                1.20%
More than 5 but not more than 6              0.80%                1.40%
More than 6 but not more than 7              1.00%                1.60%
More than 7 but not more than 8              1.10%                1.80%
More than 8 but not more than 9              1.20%                2.00%
More than 9 but not more than 10             1.30%                2.20%
More than 10 but not more than 11            1.40%                2.30%
More than 11 but not more than 12            1.50%                2.50%
More than 12 but not more than 13            1.60%                2.70%
More than 13 but not more than 14            1.70%                2.80%
More than 14 but not more than 15            1.80%                3.00%
More than 15 but not more than 16            1.90%                3.20%
More than 16 but not more than 17            2.00%                3.30%
More than 17 but not more than 18            2.00%                3.50%
More than 18 but not more than 19            2.00%                3.60%
More than 20 but not more than 21            2.00%                3.70%
More than 21 but not more than 22            2.00%                3.90%
More than 22                                 2.00%                4.00%
</TABLE>

                                      2A-1

<PAGE>

                                   SCHEDULE 2B
                   MOODY'S INDEPENDENT AMOUNT (SECOND TRIGGER)
                          (TRANSACTION SPECIFIC HEDGES)

Certificates: Class A, Class M and Class B Certificates
Highest Rating of Certificates: Class A rated "Aaa" by Moody's, and "AAA" by
S&P.
Scheduled Date Certificates will fall to $50,000,000 or below:
Last Scheduled Payment Date of Transactions: No. 39365: May 25, 2012
Valuation Date (and Valuation Percentage column): Daily

The following percentages shall be used in the calculation of the Moody's
Independent Amount with respect to any Transaction that is an interest rate cap,
interest rate floor or interest rate swaption, or that is an interest rate swap
the notional amount of which is "balance guaranteed" or, for any Calculation
Period, otherwise is not a specific dollar amount that is fixed at the inception
of the Transaction (a "TRANSACTION-SPECIFIC HEDGE") when a Moody's Ratings Event
with respect to Party A and the guarantor under each Qualified Guaranty (if any)
has occurred and is continuing and at least 30 Local Business Days have elapsed
since the last time it was not the case that a Moody's Ratings Event had
occurred and was continuing with respect to Party A and the guarantor under each
Qualified Guaranty (if any).

<TABLE>
<CAPTION>
    WEIGHTED AVERAGE LIFE OF                                 VALUATION DATE
      TRANSACTION IN YEARS          VALUATION DATE (DAILY)      (WEEKLY)
---------------------------------   ----------------------   --------------
<S>                                 <C>                      <C>
1 or less                                     0.65%                0.75%
More than 1 but not more than 2               1.30%                1.50%
More than 2 but not more than 3               1.90%                2.20%
More than 3 but not more than 4               2.50%                2.90%
More than 4 but not more than 5               3.10%                3.60%
More than 5 but not more than 6               3.60%                4.20%
More than 6 but not more than 7               4.20%                4.80%
More than 7 but not more than 8               4.70%                5.40%
More than 8 but not more than 9               5.20%                6.00%
More than 9 but not more than 10              5.70%                6.60%
More than 10 but not more than 11             6.10%                7.00%
More than 11 but not more than 12             6.50%                7.50%
More than 12 but not more than 13             7.00%                8.00%
More than 13 but not more than 14             7.40%                8.50%
More than 14 but not more than 15             7.80%                9.00%
More than 15 but not more than 16             8.20%                9.50%
More than 16 but not more than 17             8.60%                9.90%
More than 17 but not more than 18             9.00%               10.40%
More than 18 but not more than 19             9.40%               10.80%
More than 20 but not more than 21             9.70%               11.00%
More than 21 but not more than 22            10.00%               11.00%
More than 22                                 10.00%               11.00%
</TABLE>

                                      2B-1

<PAGE>

                                   SCHEDULE 2C
                   MOODY'S INDEPENDENT AMOUNT (SECOND TRIGGER)
                        (NON-TRANSACTION SPECIFIC HEDGES)

Valuation Date (and Valuation Percentage column): Daily

The following percentages shall be used in the calculation of the Moody's
Independent Amount with respect to any Transaction that is not a
Transaction-Specific Hedge when a Moody's Ratings Event with respect to Party A
and the guarantor under each Qualified Guaranty (if any) has occurred and is
continuing and at least 30 Local Business Days have elapsed since the last time
it was not the case that a Moody's Ratings Event had occurred and was continuing
with respect to Party A and the guarantor under each Qualified Guaranty (if
any).

<TABLE>
<CAPTION>
    WEIGHTED AVERAGE LIFE OF                                 VALUATION DATE
      TRANSACTION IN YEARS          VALUATION DATE (DAILY)      (WEEKLY)
---------------------------------   ----------------------   --------------
<S>                                 <C>                      <C>
1 or less                                    0.50%                0.60%
More than 1 but not more than 2              1.00%                1.20%
More than 2 but not more than 3              1.50%                1.70%
More than 3 but not more than 4              1.90%                2.30%
More than 4 but not more than 5              2.40%                2.80%
More than 5 but not more than 6              2.80%                3.30%
More than 6 but not more than 7              3.20%                3.80%
More than 7 but not more than 8              3.60%                4.30%
More than 8 but not more than 9              4.00%                4.80%
More than 9 but not more than 10             4.40%                5.30%
More than 10 but not more than 11            4.70%                5.60%
More than 11 but not more than 12            5.00%                6.00%
More than 12 but not more than 13            5.40%                6.40%
More than 13 but not more than 14            5.70%                6.80%
More than 14 but not more than 15            6.00%                7.20%
More than 15 but not more than 16            6.30%                7.60%
More than 16 but not more than 17            6.60%                7.90%
More than 17 but not more than 18            6.90%                8.30%
More than 18 but not more than 19            7.20%                8.60%
More than 20 but not more than 21            7.50%                9.00%
More than 21 but not more than 22            7.80%                9.00%
More than 22                                 8.00%                9.00%
</TABLE>

                                      2C-1

<PAGE>

                                   SCHEDULE 3
                              S&P VOLATILITY BUFFER

Certificates: Class A, Class M and Class B Certificates
Highest Rating of Certificates: Class A rated "Aaa" by Moody's, and "AAA" by
S&P.
Scheduled Date Certificates will fall to $50,000,000 or below:
Last Scheduled Payment Date of Transactions: No. 39365: May 25, 2012
Valuation Date (and Valuation Percentage column): Daily

     The S&P Volatility Buffer will be determined using the following table:

                              S&P VOLATILITY BUFFER

<TABLE>
<CAPTION>
                                 REMAINING YEARS TO MATURITY OF TRANSACTION
                  -----------------------------------------------------------------------
PARTY A RATING*   (UP TO 3 YEARS)   (UP TO 5 YEARS)   (UP TO 10 YEARS)   (UP TO 30 YEARS)
---------------   ---------------   ---------------   ----------------   ----------------
<S>               <C>               <C>               <C>                <C>
If, on the related Valuation Date, the highest rated Certificates are rated
"AA-" or higher by S&P, the S&P Volatility Buffer is:

A-2                    2.75%             3.25%              4.00%              4.75%
A-3                    3.25%             4.00%              5.00%              6.25%
BB+ or lower           3.50%             4.50%              6.75%              7.50%

If, on the related Valuation Date, the highest rated Certificates are rated "A"
or "A+" by S&P, the S&P Volatility Buffer is:

BBB+/BBB                  *              3.25%              4.00%              4.50%
A-2                       *              3.25%              4.00%              4.50%
A-3/BBB-                  *              3.50%              4.50%              6.00%
BB+ or lower              *              4.00%              5.25%              7.00%
</TABLE>

*    This rating shall be the higher of the rating by S&P on the related
     Valuation Date of the long-term debt and short-term debt of Party A or its
     guarantor or other Credit Support Provider.

                                       R-1
<PAGE>

                                    EXHIBIT R

                        FORM OF ASSESSMENT OF COMPLIANCE

1.   [Name of Servicing Entity] ("XYZ") is responsible for assessing compliance
     with the servicing criteria applicable to it under paragraph (d) of Item
     1122 of Regulation AB, as of and for the 12-month period ending [December
     31, _____] (the "Reporting Period"), as set forth in Appendix ____ hereto.
     The transactions covered by this report are attached hereto as Appendix B
     and include asset-backed securities transactions for which the undersigned
     servicing entity has acted as a servicer involving residential mortgage
     loans (the "Platform").The transactions covered by this report include
     asset-backed securities transactions [for which XYZ acted as [master
     servicer, servicer, trustee, securities administrator, custodian] (the
     "Platform");

2.   XYZ has engaged certain vendors (the "Vendors") to perform specific,
     limited or scripted activities, and XYZ elects to take responsibility for
     assessing compliance with the servicing criteria or portion of the
     servicing criteria applicable to such Vendors' activities as set forth in
     Appendix ___ hereto;

3.   Except as set forth in paragraph 4 below, XYZ used the criteria set forth
     in paragraph (d) of Item 1122 of Regulation AB to assess the compliance
     with the applicable servicing criteria;

4.   The criteria referred to as "inapplicable servicing criteria" on Appendix
     ___ hereto are inapplicable to XYZ based on the activities it performs,
     directly or through its Vendors, with respect to the Platform;

5.   XYZ has complied, in all material respects, with the applicable servicing
     criteria as of [December 31, _____] and for the Reporting Period with
     respect to the Platform taken as a whole[, except as described on Appendix
     B hereto];

6.   XYZ has not identified and is not aware of any material instance of
     noncompliance by the Vendors with the applicable servicing criteria as of
     [December 31, _____] and for the Reporting Period with respect to the
     Platform taken as a whole [, except as described on Appendix ____ hereto];

7.   XYZ has not identified any material deficiency in its policies and
     procedures to monitor the compliance by the Vendors with the applicable
     servicing criteria as of [December 31, ______] and for the Reporting Period
     with respect to the Platform taken as a whole [, except as described on
     Appendix B hereto]; and

8.   [_____________], a registered public accounting firm, has issued an
     attestation report on XYZ's assessment of compliance with the applicable
     servicing criteria for the Reporting Period.

[Date of Certification]                 [Name of Servicing Entity]

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

                                       R-2

<PAGE>

                                    EXHIBIT S

                       SERVICING CRITERIA TO BE ADDRESSED
                           IN ASSESSMENT OF COMPLIANCE
                          (RMBS UNLESS OTHERWISE NOTED)

DEFINITIONS                             KEY:____________________________________
PRIMARY SERVICER - transaction party having borrower contact X - obligation
TRUSTEE - fiduciary of the transaction and safe keeper of certain pool assets
CUSTODIAN - safe keeper of certain pool assets

WHERE THERE ARE MULTIPLE CHECKS FOR CRITERIA THE ATTESTING PARTY WILL IDENTIFY
IN THEIR MANAGEMENT ASSERTION THAT THEY ARE ATTESTING ONLY TO THE PORTION OF THE
DISTRIBUTION CHAIN THEY ARE RESPONSIBLE FOR IN THE RELATED TRANSACTION
AGREEMENTS.

<TABLE>
<CAPTION>
                                                                            HOME LOAN        LASALLE
REGULATION AB                                                            SERVICES, INC.       BANK               ADDITIONAL
REFERENCE                           SERVICING CRITERIA                     (SERVICER)       (TRUSTEE)           INFORMATION
-------------      ---------------------------------------------------   --------------   ------------   -------------------------
<S>                <C>                                                   <C>              <C>            <C>
                   GENERAL SERVICING CONSIDERATIONS

1122(d)(1)(i)      Policies and procedures are instituted to monitor            X              X         Servicer and Trustee each
                   any performance or other triggers and events of                                       responsible only to the
                   default in accordance with the transaction                                            extent that each party,
                   agreements.                                                                           as applicable, has actual
                                                                                                         knowledge or written
                                                                                                         notice with respect to
                                                                                                         parties other than
                                                                                                         itself.

1122(d)(1)(ii)     If any material servicing activities are outsourced    IF APPLICABLE        IF
                   to third parties, policies and procedures are              FOR A        APPLICABLE
                   instituted to monitor the third party's performance     TRANSACTION        FOR A
                   and compliance with such servicing activities.          PARTICIPANT     TRANSACTION
                                                                                           PARTICIPANT

1122(d)(1)(iii)    Any requirements in the transaction agreements to           N/A             N/A
                   maintain a back-up servicer for the Pool Assets are
                   maintained.

1122(d)(1)(iv)     A fidelity bond and errors and omissions policy is           X
                   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               X              X         Servicer and Trustee each
                   appropriate custodial bank accounts and related                                       responsible only for
                   bank clearing accounts no more than two business                                      deposits into the
                                                                                                         accounts held by it.
</TABLE>

                                       S-1

<PAGE>

<TABLE>
<CAPTION>
                                                                            HOME LOAN        LASALLE
REGULATION AB                                                            SERVICES, INC.       BANK               ADDITIONAL
REFERENCE                           SERVICING CRITERIA                     (SERVICER)       (TRUSTEE)           INFORMATION
-------------      ---------------------------------------------------   --------------   ------------   -------------------------
<S>                <C>                                                   <C>              <C>            <C>
                   days following receipt, or such other number of
                   days specified in the transaction agreements.

1122(d)(2)(ii)     Disbursements made via wire transfer on behalf of            X              X         Servicer disburses funds
                   an obligor or to an investor are made only by                                         to trustee. Trustee
                   authorized personnel.                                                                 disburses funds to
                                                                                                         certificateholders.

1122(d)(2)(iii)    Advances of funds or guarantees regarding                    X
                   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            X              X         Servicer needs to provide
                   cash reserve accounts or accounts established as a                                    only if it is deemed that
                   form of over collateralization, are separately                                        the related collection
                   maintained (e.g., with respect to commingling of                                      account is subject to
                   cash) as set forth in the transaction agreements.                                     this criteria.

1122(d)(2)(v)      Each custodial account is maintained at a federally          X              X
                   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             X              X
                   unauthorized access.

1122(d)(2)(vii)    Reconciliations are prepared on a monthly basis for          X              X
                   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.
</TABLE>

                                       S-2

<PAGE>

<TABLE>
<CAPTION>
                                                                            HOME LOAN        LASALLE
REGULATION AB                                                            SERVICES, INC.       BANK               ADDITIONAL
REFERENCE                           SERVICING CRITERIA                     (SERVICER)       (TRUSTEE)           INFORMATION
-------------      ---------------------------------------------------   --------------   ------------   -------------------------
<S>                <C>                                                   <C>              <C>            <C>
                   INVESTOR REMITTANCES AND REPORTING

1122(d)(3)(i)      Reports to investors, including those to be filed     (A), (B) & (D)        X
                   with the Commission, are maintained in accordance          ONLY
                   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          X              X         Servicer remits cash and
                   in accordance with timeframes, distribution                                           loan level data to
                   priority and other terms set forth in the                                             Trustee based on
                   transaction agreements.                                                               timelines established in
                                                                                                         the Pooling and Servicing
                                                                                                         Agreement. The Trustee is
                                                                                                         responsible for the
                                                                                                         allocation of funds to
                                                                                                         Certificateholders using
                                                                                                         the appropriate
                                                                                                         distribution priority as
                                                                                                         established by the
                                                                                                         Pooling and Servicing
                                                                                                         Agreement.

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

1122(d)(3)(iv)     Amounts remitted to investors per the investor               X              X         Servicer remits funds and
                   reports agree with cancelled checks, or other form                                    provides certain investor
                   of payment, or custodial bank statements.                                             reports to Trustee within
                                                                                                         guidelines and timeframes
                                                                                                         established in Pooling
                                                                                                         and Servicing Agreement.
                                                                                                         Trustee disburses funds
                                                                                                         to certificateholders.

                   POOL ASSET ADMINISTRATION

1122(d)(4)(i)      Collateral or security on pool assets is maintained          X              X         Servicer shall not attest
                   as required by the                                                                    to performance
</TABLE>

                                       S-3

<PAGE>

<TABLE>
<CAPTION>
                                                                            HOME LOAN        LASALLE
REGULATION AB                                                            SERVICES, INC.       BANK               ADDITIONAL
REFERENCE                           SERVICING CRITERIA                     (SERVICER)       (TRUSTEE)           INFORMATION
-------------      ---------------------------------------------------   --------------   ------------   -------------------------
<S>                <C>                                                   <C>              <C>            <C>
                   transaction agreements or related pool asset                                          of obligations of the
                   documents.                                                                            Custodian under the
                                                                                                         transaction agreements.

1122(d)(4)(ii)     Pool assets and related documents are safeguarded            X              X         Custodian responsibility
                   as required by the transaction agreements.                                            with respect to the
                                                                                                         Mortgage Files

1122(d)(4)(iii)    Any additions, removals or substitutions to the              X              X         Trustee shall only
                   asset pool are made, reviewed and approved in                                         review, not approve, such
                   accordance with any conditions or requirements in                                     additions, removals or
                   the transaction agreements.                                                           substitutions in
                                                                                                         accordance with the
                                                                                                         transaction agreements.

1122(d)(4)(iv)     Payments on pool assets, including any payoffs,              X
                   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 pool
                   asset documents.

1122(d)(4)(v)      The Servicer's records regarding the pool assets             X
                   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            X
                   obligor's pool assets (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.,                   X
                   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                   X
                   maintained during the period a pool asset is
                   delinquent in
</TABLE>

                                       S-4

<PAGE>

<TABLE>
<CAPTION>
                                                                            HOME LOAN        LASALLE
REGULATION AB                                                            SERVICES, INC.       BANK               ADDITIONAL
REFERENCE                           SERVICING CRITERIA                     (SERVICER)       (TRUSTEE)           INFORMATION
-------------      ---------------------------------------------------   --------------   ------------   -------------------------
<S>                <C>                                                   <C>              <C>            <C>
                   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             X
                   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             X
                   (such as escrow accounts): (A) such funds are
                   analyzed, in accordance with the obligor's pool
                   asset 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
                   pool asset documents and state laws; and (C) such
                   funds are returned to the obligor within 30
                   calendar days of full repayment of the related pool
                   assets, 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           X                        Servicing function
                   or insurance payments) are made on or before the                                      participant reponsibility
                   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            X                        Servicing function
                   payment to be made on behalf of an obligor are paid                                   participant
                   from the Servicer's funds and not charged to the                                      responsibility
                   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               X
                   posted within two business days to the obligor's
                   records maintained by the servicer, or such other
                   number of days specified in the
</TABLE>

                                       S-5

<PAGE>

<TABLE>
<CAPTION>
                                                                            HOME LOAN        LASALLE
REGULATION AB                                                            SERVICES, INC.       BANK               ADDITIONAL
REFERENCE                           SERVICING CRITERIA                     (SERVICER)       (TRUSTEE)           INFORMATION
-------------      ---------------------------------------------------   --------------   ------------   -------------------------
<S>                <C>                                                   <C>              <C>            <C>
                   transaction agreements.

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

1122(d)(4)(xv)     Any external enhancement or other support,                                  X
                   identified in Item 1114(a)(1) through (3) or Item
                   1115 of Regulation AB, is maintained as set forth
                   in the transaction agreements.
</TABLE>

                                       S-6
<PAGE>

                                    EXHIBIT T

                      FORM OF SARBANES-OXLEY CERTIFICATIONS

                                     [DATE]

Merrill Lynch Mortgage Investors, Inc.
250 Vesey Street
4 World Financial Center, 10th Floor
New York, New York 10080

Home Loan Services, Inc.
150 Allegheny Center Mall
Pittsburgh, Pennsylvania 15212

     Re:  Merrill Lynch First Franklin Mortgage Loan Trust, Mortgage Loan
          Asset-Backed Certificates, Series 2007-3

          I, [identify the certifying individual], certify that:

     1. I have reviewed the report on Form 10-K and all reports on Form 10-D
required to be filed in respect of the period covered by this report on Form
10-K of [identify the issuing entity] (the "Exchange Act periodic reports");

     2. Based on my knowledge, the Exchange Act periodic reports, taken as a
whole, do not contain any untrue statement of a material fact or omit to state a
material fact necessary to make the statements made, in light of the
circumstances under which such statements were made, not misleading with respect
to the period covered by this report;

     3. Based on my knowledge, all of the distribution, servicing and other
information required to be provided under Form 10-D for the period covered by
this report is included in the Exchange Act periodic reports;

     4. [I am responsible for reviewing the activities performed by the
servicer(s) and based on my knowledge and the compliance review(s) conducted in
preparing the servicer compliance statement(s) required in this report under
Item 1123 of Regulation AB, and except as disclosed in the Exchange Act periodic
reports, the servicer(s) [has/have] fulfilled [its/their] obligations under the
servicing agreement(s); and]

     5. All of the reports on assessment of compliance with servicing criteria
for ABS and their related attestation reports on assessment of compliance with
servicing criteria for asset-backed securities required to be included in this
report in accordance with Item 1122 of Regulation AB and Exchange Act Rules
13a-18 and 15d-18 have been included as an exhibit to this report, except as
otherwise disclosed in this report. Any material instances of noncompliance
described in such reports have been disclosed in this report on Form 10-K.

                                       T-1

<PAGE>

     [In giving the certifications above, I have reasonably relied on
information provided to me by the following unaffiliated parties [name of
servicer, sub-servicer, co-servicer, depositor or trustee].]

Date:
      -------------------------------

-------------------------------------
[Signature] [Title]

                                       T-2

<PAGE>

                                    EXHIBIT U

                   FORM OF ITEM 1123 CERTIFICATION OF SERVICER

                                     [DATE]

Merrill Lynch Mortgage Investors, Inc.
250 Vesey Street
4 World Financial Center, 10th Floor
New York, New York 10080

LaSalle Bank National Association
135 South LaSalle Street
Suite 1511
Chicago, Illinois 60603

Attention: Global Securities and Trust Services - Merrill Lynch First Franklin
           Mortgage Loan Trust, Series 2007-3

Re:  Pooling and Servicing Agreement (the "Agreement"), dated as of May 1, 2007,
     among Merrill Lynch Mortgage Investors, Inc., as depositor, Home Loan
     Services, Inc., as servicer, and LaSalle Bank National Association, as
     trustee, relating to Merrill Lynch First Franklin Mortgage Loan Trust,
     Mortgage Loan Asset-Backed Certificates, Series 2007-3

I, [identify name of certifying individual], [title of certifying individual] of
Home Loan Services, Inc. (the "Servicer"), hereby certify that:

          (1) A review of the activities of the Servicer during the preceding
calendar year and of the performance of the Servicer under the Agreement has
been made under my supervision; and

          (2) To the best of my knowledge, based on such review, the Servicer
has fulfilled all its obligations under the Agreement in all material respects
throughout such year or a portion thereof[, or, if there has been a failure to
fulfill any such obligation in any material respect, I have specified below each
such failure known to me and the nature and status thereof].

Date:
      -------------------------------

Home Loan Services, Inc.,
as Servicer

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

                                       U-1

<PAGE>

                                    EXHIBIT V

                           FORM OF DELINQUENCY REPORT

     STANDARD FILE LAYOUT - DELINQUENCY REPORTING

<TABLE>
<CAPTION>
COLUMN/HEADER NAME                                DESCRIPTION                      DECIMAL   FORMAT COMMENT
------------------            --------------------------------------------------   -------   --------------
<S>                           <C>                                                  <C>       <C>
SERVICER_LOAN_NBR             A unique number assigned to a loan by the
                              Servicer. This may be different than the LOAN_NBR

LOAN_NBR                      A unique identifier assigned to each loan by the
                              originator.

CLIENT_NBR                    Servicer Client Number

SERV_INVESTOR_NBR             Contains a unique number as assigned by an
                              external servicer to identify a group of loans in
                              their system.

BORROWER_FIRST_NAME           First Name of the Borrower.

BORROWER_LAST_NAME            Last name of the borrower.

PROP_ADDRESS                  Street Name and Number of Property

PROP_STATE                    The state where the property located.

PROP_ZIP                      Zip code where the property is located.

BORR_NEXT_PAY_DUE_DATE        The date that the borrower's next payment is due                 MM/DD/YYYY
                              to the servicer at the end of processing cycle, as
                              reported by Servicer.

LOAN_TYPE                     Loan Type (i.e. FHA, VA, Conv)

BANKRUPTCY_FILED_DATE         The date a particular bankruptcy claim was filed.                MM/DD/YYYY

BANKRUPTCY_CHAPTER_CODE       The chapter under which the bankruptcy was filed.

BANKRUPTCY_CASE_NBR           The case number assigned by the court to the
                              bankruptcy filing.

POST_PETITION_DUE_DATE        The payment due date once the bankruptcy has been                MM/DD/YYYY
                              approved by the courts

BANKRUPTCY_DCHRG_DISM_DATE    The Date The Loan Is Removed From Bankruptcy.                    MM/DD/YYYY
                              Either by Dismissal, Discharged and/or a Motion
                              For Relief Was Granted.

LOSS_MIT_APPR_DATE            The Date The Loss Mitigation Was Approved By The                 MM/DD/YYYY
</TABLE>

                                       V-1

<PAGE>

<TABLE>
<S>                           <C>                                                  <C>       <C>
                              Servicer

LOSS_MIT_TYPE                 The Type Of Loss Mitigation Approved For A Loan
                              Such As;

LOSS_MIT_EST_COMP_DATE        The Date The Loss Mitigation /Plan Is Scheduled To               MM/DD/YYYY
                              End/Close

LOSS_MIT_ACT_COMP_DATE        The Date The Loss Mitigation Is Actually Completed               MM/DD/YYYY

FRCLSR_APPROVED_DATE          The date DA Admin sends a letter to the servicer                 MM/DD/YYYY
                              with instructions to begin foreclosure
                              proceedings.

ATTORNEY_REFERRAL_DATE        Date File Was Referred To Attorney to Pursue                     MM/DD/YYYY
                              Foreclosure

FIRST_LEGAL_DATE              Notice of 1st legal filed by an Attorney in a                    MM/DD/YYYY
                              Foreclosure Action

FRCLSR_SALE_EXPECTED_DATE     The date by which a foreclosure sale is expected                 MM/DD/YYYY
                              to occur.

FRCLSR_SALE_DATE              The actual date of the foreclosure sale.                         MM/DD/YYYY

EVICTION_START_DATE           The date the servicer initiates eviction of the                  MM/DD/YYYY
                              borrower.

EVICTION_COMPLETED_DATE       The date the court revokes legal possession of the               MM/DD/YYYY
                              property from the borrower.

LIST_PRICE                    The price at which an REO property is marketed.         2       No commas(,)
                                                                                                or dollar
                                                                                                signs ($)

LIST_DATE                     The date an REO property is listed at a particular               MM/DD/YYYY
                              price.

OFFER_AMT                     The dollar value of an offer for an REO property.       2       No commas(,)
                                                                                                or dollar
                                                                                                signs ($)

OFFER_DATE_TIME               The date an offer is received by DA Admin or by                  MM/DD/YYYY
                              the Servicer.

REO_CLOSING_DATE              The date the REO sale of the property is scheduled               MM/DD/YYYY
                              to close.

REO_ACTUAL_CLOSING_DATE       Actual Date Of REO Sale                                          MM/DD/YYYY

OCCUPANT_CODE                 Classification of how the property is occupied.

PROP_CONDITION_CODE           A code that indicates the condition of the
                              property.
</TABLE>

                                       V-2

<PAGE>

<TABLE>
<S>                           <C>                                                  <C>       <C>
PROP_INSPECTION_DATE          The date a property inspection is performed.                     MM/DD/YYYY

APPRAISAL_DATE                The date the appraisal was done.                                 MM/DD/YYYY

CURR_PROP_VAL                 The current "as is" value of the property based on      2
                              brokers price opinion or appraisal.

IF APPLICABLE:

DELINQ_STATUS_CODE            FNMA Code Describing Status of Loan

DELINQ_REASON_CODE            The circumstances which caused a borrower to stop
                              paying on a loan. Code indicates the reason why
                              the loan is in default for this cycle.

MI_CLAIM_FILED_DATE           Date Mortgage Insurance Claim Was Filed With                     MM/DD/YYYY
                              Mortgage Insurance Company.

MI_CLAIM_AMT                  Amount of Mortgage Insurance Claim Filed                        No commas(,)
                                                                                                or dollar
                                                                                                signs ($)

MI_CLAIM_PAID_DATE            Date Mortgage Insurance Company Disbursed Claim                  MM/DD/YYYY
                              Payment

MI_CLAIM_AMT_PAID             Amount Mortgage Insurance Company Paid On Claim         2       No commas(,)
                                                                                                or dollar
                                                                                                signs ($)

POOL_CLAIM_FILED_DATE         Date Claim Was Filed With Pool Insurance Company

POOL_CLAIM_AMT                Amount of Claim Filed With Pool Insurance Company       2       No commas(,)
                                                                                                or dollar
                                                                                                signs ($)

POOL_CLAIM_PAID_DATE          Date Claim Was Settled and The Check Was Issued By               MM/DD/YYYY
                              The Pool Insurer

POOL_CLAIM_AMT_PAID           Amount Paid On Claim By Pool Insurance Company          2       No commas(,)
                                                                                                or dollar
                                                                                                signs ($)

FHA_PART_A_CLAIM_FILED_DATE   Date FHA Part A Claim Was Filed With HUD                         MM/DD/YYYY

FHA_PART_A_CLAIM_AMT          Amount of FHA Part A Claim Filed                        2       No commas(,)
                                                                                                or dollar
                                                                                                signs ($)

FHA_PART_A_CLAIM_PAID_DATE    Date HUD Disbursed Part A Claim Payment                          MM/DD/YYYY

FHA_PART_A_CLAIM_PAID_AMT     Amount HUD Paid on Part A Claim                         2       No commas(,)
                                                                                                or dollar
                                                                                                signs ($)
</TABLE>

                                       V-3

<PAGE>

<TABLE>
<S>                           <C>                                                  <C>       <C>
FHA_PART_B_CLAIM_FILED_DATE   Date FHA Part B Claim Was Filed With HUD                         MM/DD/YYYY

FHA_PART_B_CLAIM_AMT          Amount of FHA Part B Claim Filed                        2       No commas(,)
                                                                                                or dollar
                                                                                                signs ($)

FHA_PART_B_CLAIM_PAID_DATE    Date HUD Disbursed Part B Claim Payment                          MM/DD/YYYY

FHA_PART_B_CLAIM_PAID_AMT     Amount HUD Paid on Part B Claim                         2       No commas(,)
                                                                                                or dollar
                                                                                                signs ($)

VA_CLAIM_FILED_DATE           Date VA Claim Was Filed With the Veterans Admin                  MM/DD/YYYY

VA_CLAIM_PAID_DATE            Date Veterans Admin. Disbursed VA Claim Payment                  MM/DD/YYYY

VA_CLAIM_PAID_AMT             Amount Veterans Admin. Paid on VA Claim                 2       No commas(,)
                                                                                                or dollar
                                                                                                signs ($)
</TABLE>

                                       V-4
<PAGE>

STANDARD FILE CODES - DELINQUENCY REPORTING

The LOSS MIT TYPE field should show the approved Loss Mitigation Code as
follows:

ASUM - Approved Assumption
BAP  - Borrower Assistance Program
CO   - Charge Off
DIL  - Deed-in-Lieu
FFA  - Formal Forbearance Agreement
MOD  - Loan Modification
PRE  - Pre-Sale
SS   - Short Sale
MISC - Anything else approved by the PMI or Pool Insurer

NOTE: LaSalle Bank National Association will accept alternative Loss Mitigation
Types to those above, provided that they are consistent with industry standards.
If Loss Mitigation Types other than those above are used, the Servicer must
supply LaSalle Bank National Association with a description of each of the Loss
Mitigation Types prior to sending the file.

The OCCUPANT CODE field should show the current status of the property code as
follows:

Mortgagor
Tenant
Unknown
Vacant

The PROPERTY CONDITION field should show the last reported condition of the
property as follows:

Damaged
Excellent
Fair
Gone
Good
Poor
Special Hazard
Unknown

                                      V-5

<PAGE>

                                    EXHIBIT W

                                   [RESERVED]

                                       W-1

<PAGE>

                                   SCHEDULE X

<TABLE>
<CAPTION>
                     Item on Form 8-K                          Party Responsible
                     ----------------                          -----------------
<S>                                                            <C>
*Item 1.01- Entry into a Material Definitive Agreement         All parties

*Item 1.02- Termination of a Material Definitive Agreement     All parties

Item 1.03- Bankruptcy or Receivership                          Depositor

Item 2.04- Triggering Events that Accelerate or Increase a     Depositor
Direct Financial Obligation or an
Obligation under an Off-Balance Sheet Arrangement

*Item 3.03- Material Modification to Rights of Security        Trustee
Holders

Item 5.03- Amendments of Articles of Incorporation or          Depositor
Bylaws; Change of Fiscal Year

Item 6.01- ABS Informational and Computational Material        Depositor

*Item 6.02- Change of Servicer or Trustee                      Servicer/Trustee

*Item 6.03- Change in Credit Enhancement or External Support   Depositor/Trustee

*Item 6.04- Failure to Make a Required Distribution            Trustee

Item 6.05- Securities Act Updating Disclosure                  Depositor

Item 7.01- Reg FD Disclosure                                   Depositor

Item 8.01                                                      Depositor

Item 9.01                                                      Depositor
</TABLE>

                                       X-1

<PAGE>

                                   SCHEDULE Y

<TABLE>
<CAPTION>
          Item on Form 10-D                         Party Responsible
          -----------------                         -----------------
<S>                                      <C>
Item 1: Distribution and Pool            Trustee and Servicer (with respect to
Performance Information                  underlying Mortgage Loan data)

Plus any information required by 1121    Servicer and Trustee (to the extent
which is NOT included on the monthly     required by Regulation AB)
statement to Certificateholders

Item 2: Legal Proceedings per Item       All parties to the Pooling and
1117 of Regulation AB                    Servicing Agreement (as to themselves),
                                         the Depositor/Trustee/Servicer (to the
                                         extent known) as to the Issuing entity,
                                         the Sponsor, 1106(b) originator, any
                                         1100(d)(1) party

Item 3: Sale of Securities and Use of    Depositor
Proceeds

Item 4: Defaults Upon Senior             Trustee
Securities

Item 5: Submission of Matters to a       Trustee
Vote of Security Holders

Item 6: Significant Obligors of Pool     Depositor/Sponsor/Mortgage Loan Seller/
Assets                                   Servicer

Item 7: Significant Enhancement          Depositor/Sponsor
Provider Information

Item 8: Other Information                All parties to the Pooling and
                                         Servicing Agreement (as to themselves)
                                         responsible for
                                         disclosure items on Form 8-K

Item 9: Exhibits                         Trustee
</TABLE>

                                       Y-1

<PAGE>

                                   SCHEDULE Z

<TABLE>
<CAPTION>
        Item on Form 10-K                       Party Responsible
        -----------------                       -----------------
<S>                                  <C>
Item 1B: Unresolved Staff Comments   Depositor

*Item 9B: Other Information          Trustee and any other party responsible
                                     for disclosure items on Form 8-K

*Item 15: Exhibits, Financial        Trustee/Servicer/subservicers/Depositor
Statement Schedules

*Additional Item:                    All parties to the Pooling and
Disclosure per Item 1117 of          Servicing Agreement (as to themselves),
Regulation AB                        the Depositor/Trustee/Servicer (to the
                                     extent known) as to the Issuing Entity,
                                     the Sponsor, 1106(b) originator, any
                                     1100(d)(1) party

*Additional Item:                    All parties to the Pooling and
Disclosure per Item 1119 of          Servicing Agreement, the Sponsor,
Regulation AB                        originator, significant obligor,
                                     enhancement or support provider

Additional Item:                     Depositor/Sponsor/Mortgage Loan Seller/
Disclosure per Item 1112(b) of       Servicer
Regulation AB

Additional Item:                     Depositor/Sponsor
Disclosure per Items 1114(b) and
1115(b) of Regulation AB
</TABLE>

                                       Z-1<PAGE>

                                                                     Exhibit 4.1

                     MERRILL LYNCH MORTGAGE INVESTORS, INC.,
                                  as Depositor,

                             WELLS FARGO BANK, N.A.,
                as Master Servicer and Securities Administrator,

                      HSBC BANK USA, NATIONAL ASSOCIATION,
                                   as Trustee,

                                       and

                            PHH MORTGAGE CORPORATION,
                                   as Servicer

                                   ----------

                         POOLING AND SERVICING AGREEMENT

                             Dated as of May 1, 2007

                                   ----------

            MERRILL LYNCH MORTGAGE INVESTORS TRUST SERIES MLCC 2007-2
                       MORTGAGE PASS-THROUGH CERTIFICATES

<PAGE>

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                            PAGE
                                                                            ----
<S>                                                                         <C>
ARTICLE I. DEFINITIONS...................................................      6
   Section 1.01.  Definitions............................................      6
   Section 1.02.  Calculations Respecting Mortgage Loans.................     35
ARTICLE II. DECLARATION OF TRUST;  ISSUANCE OF CERTIFICATES..............     36
   Section 2.01.  Creation and Declaration of Trust Fund; Conveyance of
                  Mortgage Loans.........................................     36
   Section 2.02.  Acceptance of Trust Fund by Trustee; Review of
                  Documentation for Trust Fund...........................     39
   Section 2.03.  Representations and Warranties of the Depositor........     41
   Section 2.04.  Representations and Warranties Concerning the Master
                  Servicer, the Securities Administrator and the
                  Servicer...............................................     43
   Section 2.05.  Discovery of Breach; Repurchase or Substitution of
                  Mortgage Loans.........................................     47
   Section 2.06.  Grant Clause...........................................     49
ARTICLE III. THE CERTIFICATES............................................     50
   Section 3.01.  The Certificates.......................................     50
   Section 3.02.  Registration...........................................     51
   Section 3.03.  Transfer and Exchange of Certificates..................     51
   Section 3.04.  Cancellation of Certificates...........................     55
   Section 3.05.  Replacement of Certificates............................     55
   Section 3.06.  Persons Deemed Owners..................................     56
   Section 3.07.  Temporary Certificates.................................     56
   Section 3.08.  Appointment of Paying Agent............................     56
   Section 3.09.  Book-Entry Certificates................................     56
ARTICLE IV. ADMINISTRATION OF THE ISSUING ENTITY.........................     58
   Section 4.01.  Collection Accounts; Master Servicer Collection
                  Account; Distribution Account..........................     58
   Section 4.02.  Permitted Withdrawals from the Master Servicer
                  Collection Account and the Distribution Account........     60
   Section 4.03.  Reports to Certificateholders..........................     62
ARTICLE V. DISTRIBUTIONS TO HOLDERS OF CERTIFICATES......................     64
   Section 5.01.  Distributions Generally................................     64
   Section 5.02.  Distributions from the Distribution Account............     65
   Section 5.03.  Allocation of Losses...................................     68
</TABLE>

                                       -i-

<PAGE>

                                TABLE OF CONTENTS
                                   (continued)

<TABLE>
<CAPTION>
                                                                            PAGE
                                                                            ----
<S>                                                                         <C>
   Section 5.04.  Advances...............................................     69
ARTICLE VI. CONCERNING THE TRUSTEE AND THE SECURITIES ADMINISTRATOR;
            EVENTS OF DEFAULT............................................     70
   Section 6.01.  Duties of Trustee and Securities Administrator.........     70
   Section 6.02.  Certain Matters Affecting the Trustee and the
                  Securities Administrator...............................     72
   Section 6.03.  Trustee and Securities Administrator Not Liable for
                  Certificates or Mortgage Loans.........................     74
   Section 6.04.  Trustee and Securities Administrator May Own
                  Certificates...........................................     74
   Section 6.05.  Eligibility Requirements for Trustee and Securities
                  Administrator..........................................     74
   Section 6.06.  Resignation and Removal of Trustee and Securities
                  Administrator..........................................     75
   Section 6.07.  Successor Trustee or Successor Securities
                  Administrator..........................................     75
   Section 6.08.  Merger or Consolidation of Trustee or Securities
                  Administrator..........................................     76
   Section 6.09.  Appointment of Co-Trustee, Separate Trustee or
                  Custodian..............................................     76
   Section 6.10.  Authenticating Agents..................................     78
   Section 6.11.  Indemnification of Trustee and Securities
                  Administrator..........................................     79
   Section 6.12.  Fees and Expenses of the Trustee and the Securities
                  Administrator..........................................     79
   Section 6.13.  Collection of Monies...................................     79
   Section 6.14.  Servicer Events of Default and Master Servicer Events
                  of Default; Master Servicer or Trustee To Act;
                  Appointment of Successor Servicer; Appointment of
                  Successor Master Servicer..............................     80
   Section 6.15.  Additional Remedies of the Master Servicer and the
                  Trustee Upon Event of Default..........................     84
   Section 6.16.  Waiver of Servicer Events of Default and Master
                  Servicer Events of Default.............................     84
   Section 6.17.  Notification to Holders................................     85
   Section 6.18.  Directions by Certificateholders and Duties of Trustee
                  During Servicer and Master Servicer Event of Default...     85
   Section 6.19.  Preparation of Tax Returns and Other Reports...........     85
ARTICLE VII. PURCHASE OF MORTGAGE LOANS AND TERMINATION OF THE ISSUING
             ENTITY......................................................     86
</TABLE>

                                      -ii-

<PAGE>

                                TABLE OF CONTENTS
                                   (continued)

<TABLE>
<CAPTION>
                                                                            PAGE
                                                                            ----
<S>                                                                         <C>
   Section 7.01.  Purchase of Mortgage Loans; Termination of Issuing
                  Entity Upon Purchase or Liquidation of All Mortgage
                  Loans..................................................     86
   Section 7.02.  Procedure Upon Termination of Issuing Entity...........     87
   Section 7.03.  Additional Issuing Entity Termination Requirements.....     88
ARTICLE VIII. RIGHTS OF CERTIFICATEHOLDERS...............................     89
   Section 8.01.  Limitation on Rights of Holders........................     89
   Section 8.02.  Access to List of Holders..............................     89
   Section 8.03.  Acts of Holders of Certificates........................     90
ARTICLE IX. ADMINISTRATION AND SERVICING OF THE MORTGAGE LOANS...........     91
   Section 9.01.  Servicer to Act as Servicer............................     91
   Section 9.02.  Title, Management and Disposition of REO Property......     92
   Section 9.03.  Master Servicer's and Depositor's Right to Examine
                  Servicer Records.......................................     93
   Section 9.04.  Legal Proceedings Involving the Servicer and/or the
                  Mortgage Loans.........................................     94
   Section 9.05.  Material Changes.......................................     94
   Section 9.06.  Servicer Shall Provide Information as Reasonably
                  Required...............................................     95
   Section 9.07.  Servicer Not to Resign.................................     95
   Section 9.08.  Collection Accounts and Escrow Accounts................     95
   Section 9.09.  Assumption Processing..................................     96
   Section 9.10.  Books and Records......................................     96
   Section 9.11.  Annual Statement as to Compliance......................     96
   Section 9.12.  [Reserved].............................................     97
   Section 9.13.  Reports on Assessment of Compliance and Attestation....     97
   Section 9.14.  Servicing Compensation.................................     99
   Section 9.15.  Indemnification........................................    100
   Section 9.16.  Non Solicitation.......................................    101
   Section 9.17.  Successor to the Servicer..............................    101
   Section 9.18.  Statements to the Master Servicer......................    102
   Section 9.19.  Merger or Consolidation of the Servicer................    102
   Section 9.20.  Limitation on Liability of the Servicer................    103
   Section 9.21.  Periodic Filings.......................................    103
</TABLE>

                                      -iii-

<PAGE>

                                TABLE OF CONTENTS
                                   (continued)

<TABLE>
<CAPTION>
                                                                            PAGE
                                                                            ----
<S>                                                                         <C>
   Section 9.22.  Compliance with Regulation AB..........................    109
   Section 9.23.  Maintenance of Hazard Insurance and Errors and
                  Omissions and Fidelity Coverage........................    110
ARTICLE IXA. THE MASTER SERVICER
   Section 9A.01  Master Servicer........................................    111
   Section 9A.02  Monitoring of the Servicer.............................    111
   Section 9A.03  Power to Act; Procedures...............................    112
   Section 9A.04  Liabilities of the Master Servicer.....................    113
   Section 9A.05  Merger or Consolidation of the Master Servicer.........    113
   Section 9A.06  Indemnification from the Master Servicer...............    113
   Section 9A.07  Limitations on Liability of the Master Servicer and
                  Others.................................................    114
   Section 9A.08  Master Servicer Not to Resign..........................    116
   Section 9A.09  Successor Master Servicer..............................    116
   Section 9A.10  Sale and Assignment of Master Servicing................    116
   Section 9A.11  Compensation for the Master Servicer...................    116
ARTICLE X. REMIC ADMINISTRATION..........................................    117
   Section 10.01. REMIC Administration...................................    117
   Section 10.02. Prohibited Transactions and Activities.................    118
   Section 10.03. Indemnification with Respect to Prohibited Transactions
                  or Loss of REMIC Status................................    119
   Section 10.04. REO Property...........................................    119
ARTICLE XI. MISCELLANEOUS PROVISIONS.....................................    120
   Section 11.01. Binding Nature of Agreement; Assignment................    120
   Section 11.02. Entire Agreement.......................................    120
   Section 11.03. Amendment..............................................    120
   Section 11.04. Voting Rights..........................................    122
   Section 11.05. Provision of Information...............................    122
   Section 11.06. Governing Law..........................................    123
   Section 11.07. Notices................................................    123
   Section 11.08. Severability of Provisions.............................    123
   Section 11.09. Indulgences; No Waivers................................    123
   Section 11.10. Headings Not To Affect Interpretation..................    124
   Section 11.11. Benefits of Agreement..................................    124
</TABLE>

                                       -iv

<PAGE>

                                TABLE OF CONTENTS
                                   (continued)

<TABLE>
<CAPTION>
                                                                            PAGE
                                                                            ----
<S>                                                                         <C>
   Section 11.12. Special Notices to the Rating Agencies.................    124
   Section 11.13. [Reserved].............................................    125
   Section 11.14. Counterparts...........................................    125
   Section 11.15. No Petitions...........................................    125
</TABLE>

                                       -v-

<PAGE>

EXHIBITS

Exhibit A   Form of Certificates
Exhibit B   Form of Residual Certificate Transfer Affidavit (Transferee)
Exhibit C   Form of Residual Certificate Transfer Affidavit (Transferor)
Exhibit D-1 Standard Layout for Monthly Defaulted Loan Report
Exhibit D-2 Standard Layout for Monthly Remittance Advice
Exhibit D-3 Standard Layout for Realized Loss Report
Exhibit E   Mortgage Loan Sale and Assignment Agreement
Exhibit F   List of Limited Purpose Surety Bonds
Exhibit G   Form of Rule 144A Transfer Certificate
Exhibit H   Form of Purchaser's Letter for Institutional Accredited Investor
Exhibit I   Form of ERISA Transfer Affidavit
Exhibit J   Form of Letter of Representations with the Depository Trust Company
Exhibit K   Form of Initial Certification
Exhibit L   Form of Final Certification
Exhibit M   List of Servicing Officers
Exhibit N   Request for Release
Exhibit O   [Reserved]
Exhibit P   [Reserved]
Exhibit Q   Form of Back-up Sarbanes-Oxley Certification
Exhibit R   [Reserved]
Exhibit S-1 Form of Assessment of Compliance
Exhibit S-2 Servicing Criteria to be Addressed in Assessment of Compliance
Exhibit T   Form of Sarbanes-Oxley Certification
Exhibit U   Additional Disclosure Notification
Exhibit V   Form of Officer's Certificate of Servicer
Exhibit W   Form 8-K Disclosure Information
Exhibit X   Additional Form 10-D Disclosure
Exhibit Y   Additional Form 10-K Disclosure
Schedule A  Mortgage Loan Schedule

                                        i

<PAGE>

     This POOLING AND SERVICING AGREEMENT, dated as of May 1, 2007 (the
"Agreement"), by and among MERRILL LYNCH MORTGAGE INVESTORS, INC., a Delaware
corporation, as depositor (the "Depositor"), HSBC BANK USA, NATIONAL
ASSOCIATION, a national banking association, as trustee (the "Trustee"), WELLS
FARGO BANK, N.A., as Master Servicer (in such capacity, the "Master Servicer")
and Securities Administrator (in such capacity, the "Securities Administrator"),
and PHH MORTGAGE CORPORATION, as Servicer (the "Servicer"), and acknowledged by
MERRILL LYNCH MORTGAGE LENDING, INC. a Delaware corporation, as sponsor (the
"Sponsor"), for purposes of Section 2.05.

                              PRELIMINARY STATEMENT

     The Depositor has acquired the Mortgage Loans from the Sponsor and at the
Closing Date is the owner of the Mortgage Loans and the other property being
conveyed by the Depositor to the Trustee hereunder for inclusion in the Trust
Fund. On the Closing Date, the Depositor will acquire the Certificates from the
Trustee as consideration for the Depositor's transfer to the Trust Fund of the
Mortgage Loans and the other property constituting the Trust Fund. The Depositor
has duly authorized the execution and delivery of this Agreement to provide for
the conveyance to the Trustee of the Mortgage Loans and the other property
constituting the Trust Fund. All covenants and agreements made by the Sponsor in
the Mortgage Loan Sale and Assignment Agreement and in this Agreement and all
covenants and agreements made by the Depositor, the Master Servicer, the
Servicer, the Securities Administrator and the Trustee herein with respect to
the Mortgage Loans and the other property constituting the Trust Fund are for
the benefit of the Holders from time to time of the Certificates. The Depositor,
the Master Servicer, the Servicer, the Securities Administrator and the Trustee
are entering into this Agreement, and the Trustee is accepting the Trust Fund
created hereby, for good and valuable consideration, the receipt and sufficiency
of which are hereby acknowledged.

     As provided herein, the Securities Administrator shall elect that the Trust
Fund be treated for federal income tax purposes as comprising two real estate
mortgage investment conduits (each a "REMIC" or, in the alternative, "REMIC 1"
and the "Upper Tier REMIC," respectively) in a tiered structure. The
Certificates, other than the Class A-R Certificate, shall represent ownership of
regular interests in the Upper Tier REMIC. The Class A-R Certificate represents
the sole class of residual interest in each of REMIC 1 and the Upper Tier REMIC.

     The Upper Tier REMIC shall hold as its assets the several classes of
uncertificated REMIC 1 Regular Interests. REMIC 1 shall hold as its assets the
property of the Trust Fund other than the REMIC 1 Interests.

     Each Upper Tier REMIC Regular Interest is hereby designated as a regular
interest in the Upper Tier REMIC for purposes of the REMIC Provisions. Each
REMIC 1 Regular Interest is hereby designated as a regular interest in REMIC 1
for purposes of the REMIC Provisions.

     The Class LT1-R Interest is hereby designated as the sole class of residual
interest in REMIC 1 for purposes of the REMIC Provisions. The Class A-R
Certificate, other than the portion thereof representing the right to receive
payments in respect of the Class LT1-R Interest is hereby designated as the sole
class of residual interest in the Upper Tier REMIC for purposes of the REMIC
provisions and will also represent the Class LT1-R Interest.

THE REMIC 1 INTERESTS

                                        1

<PAGE>

     The following table sets forth (or describes) the class designation,
interest rate, initial principal amount, and related pool of Mortgage Loans for
each class of REMIC 1 Interests:

<TABLE>
<CAPTION>
                                        Interest     Related Mortgage Pool
Class Designation    Principal Amount     Rate              or Pools
-----------------   -----------------   --------   -------------------------
<S>                 <C>                 <C>        <C>
LT11A               $     13,476.0833      (2)     Pool 1
LT11B               $    448,986.0833      (3)     Pool 1
LT12A               $     88,966.1242      (2)     Pool 2
LT12B               $  2,965,506.1242      (4)     Pool 2
LT13A               $     22,531.0489      (2)     Pool 3
LT13B               $    750,991.0489      (5)     Pool 3
LT1Z                $412,257,869.1272      (2)     Pool 1, Pool 2 and Pool 3
LT1-R                              (1)     (1)     N/A
</TABLE>

----------
(1)  The Class LT1-R Interest represents the sole class of residual interest in
     REMIC 1 and has neither a principal amount nor an interest rate. The Class
     LT1-R Interest shall be represented by the Class A-R Certificate.

(2)  The Class LT11A Interest, the Class LT12A Interest, the Class LT13A
     Interest and the Class LT1Z Interest shall have an interest rate for each
     Distribution Date (and the related Accrual Period) equal to the Net WAC.

(3)  The Class LT11B Interest shall have an interest rate for any Distribution
     Date (and the related Accrual Period) equal to the Pool 1 Net WAC.

(4)  The Class LT12B Interest shall have an interest rate for any Distribution
     Date (and the related Accrual Period) equal to the Pool 2 Net WAC.

(5)  The Class LT13B Interest shall have an interest rate for any Distribution
     Date (and the related Accrual Period) equal to the Pool 3 Net WAC.

     On each Distribution Date, the Securities Administrator shall first pay or
charge as an expense of REMIC 1 all expenses of the Issuing Entity for such
Distribution Date.

     Principal distributions shall be deemed to be made on the REMIC 1 Interests
first, so as to keep the uncertificated principal balance of each REMIC 1
Interest ending with the designation "A" equal to 1% of the excess of (x) the
aggregate Stated Principal Balance of the Mortgage Loans in the related Mortgage
Pool over (y) the aggregate class principal amounts of the Certificates in the
Certificate Group related to such Mortgage Pool (except that if 1% of any such
excess is greater than the principal amount of the corresponding REMIC 1
Interest ending with the designation "A", the least amount of principal shall be
distributed to such REMIC 1 Interests such that the REMIC 1 Subordinate Balance
Ratio is maintained); second, to each REMIC 1 Interest ending with the
designation "B" so as to keep the uncertificated principal balance of each such
REMIC 1 Interest equal to 1% of the aggregate Stated Principal Balance of the
Mortgage Loans in the related Mortgage Pool and finally, all remaining principal
amounts shall be distributed in respect of the Class LT1Z Interest. Realized
Losses with respect to principal shall be allocated among the REMIC 1 Interests
first, so as to keep the uncertificated principal balance of each REMIC 1
Interest ending with the designation "A" equal to 1% of the excess of (x) the
aggregate Stated Principal Balance of the Mortgage Loans in the related Mortgage
Pool over (y) the aggregate class principal amounts of the Certificates in the
Certificate Group related to such Mortgage Pool (except that if 1% of any such
excess is greater than the principal amount of the

                                        2

<PAGE>

corresponding REMIC 1 Interest ending with the designation "A", the least amount
of losses shall be allocated to such REMIC 1 Interests such that the REMIC 1
Subordinate Balance Ratio is maintained); second, to each REMIC 1 Interest
ending with the designation "B" so as to keep the uncertificated principal
balance of each such REMIC 1 Interest equal to 1% of the aggregate Stated
Principal Balance of the Mortgage Loans in the related Mortgage Pool and
finally, all remaining Realized Losses with respect to principal shall be
distributed in respect of the Class LT1Z Interest.

     If on any Distribution Date the Certificate Principal Amount of any Class
of Certificates is increased pursuant to the penultimate sentence of the
definition of "Certificate Principal Amount", then there shall be an equivalent
aggregate increase in the principal amounts of the REMIC 1 Regular Interests,
with such increase allocated (before the making of distributions and the
allocation of losses on the REMIC 1 Regular Interests on such Distribution Date)
among the REMIC 1 Regular Interests as follows: (i) first, to each REMIC 1
Interest ending with the designation "B" so as to keep the uncertificated
principal balance of each such REMIC 1 Interest equal to 1% of the aggregate
Stated Principal Balance of the Mortgage Loans in the related Mortgage Pool,
(ii) second, to each REMIC 1 Regular Interest ending with the designation "A",
so that the uncertificated principal balance of each REMIC 1 Regular Interest
ending with the designation "A" is as close as possible to (but does not exceed)
1% of the excess of (x) the aggregate Stated Principal Balance of the Mortgage
Loans in related Mortgage Pool over (y) the aggregate class principal balance of
the Certificates in the Certificate Group related to such Mortgage Pool;
provided, however, that (a) the REMIC 1 Subordinate Balance Ratio is maintained
and (b) amounts allocated to any REMIC 1 Regular Interest pursuant to this
clause (ii) shall not exceed the amount of any previous realized losses
allocated to such REMIC 1 Regular Interest not previously offset by
distributions or increases in the principal amount of such REMIC 1 Regular
Interest and (iii) finally, all remaining amounts to the Class LT1Z Interest.

     All computations with respect to the REMIC 1 Interests shall be computed to
eight decimal places.

THE CERTIFICATES

     The following table sets forth (or describes) the Class designation,
Certificate Interest Rate, initial Class Principal Amount, and minimum
denomination for each Class of Certificates comprising interests in the Trust
Fund created hereunder.

<TABLE>
<CAPTION>
               Related Class or
                  Classes of
    Class      interests in the    Certificate      Initial Class     Minimum Denominations
 Designation   Upper Tier REMIC   Interest Rate   Principal Amount   or Percentage Interest
------------   ----------------   -------------   ----------------   ----------------------
<S>            <C>                <C>             <C>                <C>
  Class I-A    Class I-A               (1)         $ 43,550,900.00         $ 25,000.00
Class II-A-1   Class II-A-1            (2)         $279,024,000.00         $ 25,000.00
Class II-A-2   Class II-A-2            (2)         $  8,630,000.00         $ 25,000.00
 Class III-A   Class III-A             (3)         $ 72,846,000.00         $ 25,000.00
  Class A-R    Class A-R               (1)         $        100.00                 100%
  Class M-1    Class M-1               (4)         $  4,166,000.00         $ 25,000.00
  Class M-2    Class M-2               (4)         $  2,291,000.00         $ 25,000.00
  Class M-3    Class M-3               (4)         $  1,666,000.00         $ 25,000.00
</TABLE>

                                        3

<PAGE>

<TABLE>
<CAPTION>
               Related Class or
                  Classes of
    Class      interests in the    Certificate      Initial Class     Minimum Denominations
 Designation   Upper Tier REMIC   Interest Rate   Principal Amount   or Percentage Interest
------------   ----------------   -------------   ----------------   ----------------------
<S>            <C>                <C>             <C>                <C>
  Class B-1    Class B-1               (4)         $  2,708,000.00         $100,000.00
  Class B-2    Class B-2               (4)         $  1,041,000.00         $100,000.00
  Class B-3    Class B-3               (4)         $    625,325.00         $100,000.00
</TABLE>

(1)  The Certificate Interest Rate with respect to any Distribution Date (and
     the related Accrual Period) for the Class I-A Certificates and the Class
     A-R Certificate will be the Pool 1 Net WAC.

(2)  The Certificate Interest Rate with respect to any Distribution Date (and
     the related Accrual Period) for the Class II-A-1 Certificates and the Class
     II-A-2 Certificates will be the Pool 2 Net WAC.

(3)  The Certificate Interest Rate with respect to any Distribution Date (and
     the related Accrual Period) for the Class III-A Certificates will be the
     Pool 3 Net WAC.

(4)  The Certificate Interest Rates with respect to any Distribution Date (and
     the related Accrual Period) for the Class M-1, Class M-2, Class M-3, Class
     B-1, Class B-2 and Class B-3 Certificates will be equal to the Subordinate
     Net WAC.

     As of the Cut-off Date, the Mortgage Loans had an aggregate Scheduled
Principal Balance of $416,548,325.64.

     In consideration of the mutual agreements herein contained, the Depositor,
the Master Servicer, the Securities Administrator, the Servicer and the Trustee
hereby agree as follows:

                                    ARTICLE I

                                   DEFINITIONS

     Section 1.01.Definitions.

     The following words and phrases, unless the context otherwise requires,
shall have the following meanings:

     10-K Filing Deadline: As defined in Section 9.21(h).

     Accepted Master Servicing Practices: The Master Servicer's normal servicing
practices, which will conform to the mortgage servicing practices of prudent
mortgage lending institutions which service for their own account mortgage loans
of the same type as the Mortgage Loans in the jurisdictions in which the related
Mortgaged Properties are located.

     Accepted Servicing Practices: The Servicer's normal servicing practices,
which will conform to the mortgage servicing practices of prudent mortgage
lending institutions which service for their own account mortgage loans of the
same type as the Mortgage Loans in the jurisdictions in which the related
Mortgaged Properties are located.

                                        4

<PAGE>

     Accountant: A Person engaged in the practice of accounting who (except when
this Agreement provides that an Accountant must be Independent) may be employed
by or affiliated with the Depositor or an Affiliate of the Depositor.

     Accountant's Attestation: As defined in Section 9.13(a).

     Accrual Period: With respect to any Distribution Date, the calendar month
immediately preceding the month in which the related Distribution Date occurs.
Interest shall accrue on all Classes of Certificates and on all Lower Tier REMIC
Interests on the basis of a 360-day year consisting of twelve 30-day months.

     Additional Collateral: With respect to any Additional Collateral Mortgage
Loan, the meaning assigned thereto in the Mortgage Loan Sale and Assignment
Agreement.

     Additional Collateral Mortgage Loan: Each Mortgage Loan identified as such
in the Mortgage Loan Schedule.

     Additional Disclosure Notification: As defined in Section 9.21(b).

     Additional Form 10-D Disclosure: As defined in Section 9.21(e).

     Additional Form 10-K Disclosure: As defined in Section 9.21(h).

     Adjustment Date: As to any Mortgage Loan, the date on which the related
Mortgage Rate adjusts in accordance with the terms of the related Mortgage Note.

     Advance: With respect to a Mortgage Loan, the payments required to be made
with respect to any Distribution Date by the Servicer pursuant this Agreement,
by the Master Servicer, solely in its capacity as successor servicer pursuant to
this Agreement, or by the Trustee, solely in its capacity as successor master
servicer pursuant to this Agreement, the amount of any such payment being equal
to the aggregate of the payments of principal and interest (net of the
applicable Servicing Fee and net of any net income in the case of any REO
Property) on the Mortgage Loans that were due on the related Due Date and not
received as of the close of business on the related Determination Date, less the
aggregate amount of any such delinquent payment that any of the Servicer, the
Master Servicer or the Trustee has determined would constitute Nonrecoverable
Advances if advanced.

     Adverse REMIC Event: As defined in Section 10.01(f) hereof.

     Affiliate: With respect to any specified Person, any other Person
controlling or controlled by or under common control with such specified Person.
For the purposes of this definition, "control" when used with respect to any
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.

     Aggregate Senior Percentage: As to any Distribution Date, the percentage
equivalent of a fraction, the numerator of which is the aggregate of the Class
Principal Amounts of the Class I-A, Class II-A-1, Class II-A-2, Class III-A and
Class A-R Certificates and the denominator of which is the Aggregate Stated
Principal Balance, but in no event greater than 100%.

                                        5

<PAGE>

     Aggregate Stated Principal Balance: As to any Distribution Date, the
aggregate of the Stated Principal Balances for all Mortgage Loans (and when such
term is used with respect to a particular Mortgage Pool, the aggregate of the
Stated Principal Balances of the Mortgage Loans in such Mortgage Pool) which
were outstanding on the Due Date in the month preceding the month of such
Distribution Date.

     Aggregate Subordinate Percentage: As to any Distribution Date, the
difference between 100% and the Aggregate Senior Percentage for such
Distribution Date, but in no event less than zero.

     Aggregate Voting Interests: The aggregate of the Voting Interests of all
the Certificates under this Agreement.

     Agreement: This Pooling and Servicing Agreement and all amendments and
supplements hereto.

     Ancillary Fees: With respect to any Mortgage Loan, (i) all late charges,
(ii) all returned-item charges (e.g. insufficient funds charges), (iii)
modification or conversion fees and (iv) all fees payable pursuant to PHH's
"Speed Pay" program.

     Applicable Credit Support Percentage: As to any Class of Subordinate
Certificates and any Distribution Date, the sum of the Class Subordination
Percentages of such Class and the aggregate Class Subordination Percentage of
all other Classes of Subordinate Certificates having a more junior payment
priority than such Class.

     Apportioned Principal Balance: As to any Distribution Date, each Class of
Subordinate Certificates and any Mortgage Pool, the Class Principal Amount
thereof multiplied by a fraction, the numerator of which is the applicable Pool
Subordinate Amount (i.e., the Pool 1 Subordinate Amount, the Pool 2 Subordinate
Amount or the Pool 3 Subordinate Amount as the case may require), and the
denominator of which is the sum of such Pool Subordinate Amounts on such date.

     Appraised Value: With respect to any Mortgage Loan, the Appraised Value of
the related Mortgaged Property shall be: (i) with respect to a Mortgage Loan
other than a Refinancing Mortgage Loan, the lesser of (a) the value of the
Mortgaged Property based upon the appraisal made at the time of the origination
of such Mortgage Loan and (b) the sales price of the Mortgaged Property at the
time of the origination of such Mortgage Loan; and (ii) with respect to a
Refinancing Mortgage Loan, the value of the Mortgaged Property based upon the
appraisal made at the time of the origination of such Refinancing Mortgage Loan.

     Assessment of Compliance: As defined in Section 9.13.

     Assignment of Mortgage: An assignment of the Mortgage, notice of transfer
or equivalent instrument, in recordable form, sufficient under the laws of the
jurisdiction wherein the related Mortgaged Property is located to reflect the
sale of the Mortgage to the Trustee, which assignment, notice of transfer or
equivalent instrument may be in the form of one or more blanket assignments
covering the Mortgage Loans secured by Mortgaged Properties located in the same
jurisdiction, if permitted by law; provided, however, that the Trustee shall not
be responsible for determining whether any such assignment is in recordable
form.

                                       6

<PAGE>

     Authenticating Agent: The Securities Administrator or any authenticating
agent appointed by the Securities Administrator pursuant to Section 6.10 until
any successor authenticating agent for the Certificates is named, and thereafter
"Authenticating Agent" shall mean any such successor.

     Authorized Officer: Any Person who may execute an Officer's Certificate on
behalf of the Depositor.

     Available Distribution Amount: With respect to any Distribution Date and
each Mortgage Pool, the total amount of all cash received by the Securities
Administrator on the Mortgage Loans in such Mortgage Pool from the Master
Servicer or otherwise through the Distribution Account Deposit Date for deposit
into the Distribution Account in respect of such Distribution Date, including
(1) all scheduled installments of interest (net of the Servicing Fee) and
principal collected on the related Mortgage Loans and due during the Due Period
related to such Distribution Date, together with any Advances in respect
thereof, (2) all Insurance Proceeds, Liquidation Proceeds, Subsequent Recoveries
and the proceeds of any Additional Collateral from the related Mortgage Loans,
in each case for such Distribution Date, (3) all partial or full Principal
Prepayments, together with any accrued interest thereon, identified as having
been received from the related Mortgage Loans during the related Prepayment
Period, (4) any amounts received from the Servicer in respect of Prepayment
Interest Shortfalls with respect to the related Mortgage Loans; and (5) the
aggregate Purchase Price of all Defective Mortgage Loans and Converted Mortgage
Loans (if any) in such Mortgage Pool purchased from the Issuing Entity during
the related Prepayment Period, minus the sum of the following amounts:

     (A) all related fees, charges and amounts payable or reimbursable to
the Trustee, Master Servicer, and Securities Administrator under this Agreement,
to the extent that, if paid by the Issuing Entity, such fees, charges or other
amounts would constitute "unanticipated expenses" (within the meaning of
Treasury Regulations Section 1.860G-1(b)(3)(ii)) of any of the REMICs provided
for herein and up to an aggregate maximum amount equal to $300,000 annually
(provided such parties may seek reimbursement for any unreimbursed amounts in
subsequent years); provided, such annual aggregate maximum amount shall exclude
(i) any Servicing Transfer Costs, or amounts reimbursable to the Servicer under
this Agreement and (ii) any costs, damages or expenses incurred by the Trustee
in connection with any "high cost" home loans or any predatory or abusive
lending laws, which amounts shall in no case be subject to any such limitation;

     (B) in the case of (2), (3), (4) and (5) above, any related unreimbursed
expenses incurred by the Servicer in connection with a liquidation or
foreclosure and any unreimbursed Advances or Servicing Advances due to the
Servicer (or, pursuant to Section 5.04, the Trustee);

     (C) any related unreimbursed Nonrecoverable Advances due to the Master
Servicer or the Servicer (or, pursuant to Section 5.04, the Trustee); and

     (D) in the case of (1) through (4) above, any related amounts collected
which are determined to be attributable to a subsequent Due Period or Prepayment
Period.

     Bankruptcy: As to any Person, the making of an assignment for the benefit
of creditors, the filing of a voluntary petition in bankruptcy, adjudication as
a bankrupt or insolvent, the entry of an order for relief in a bankruptcy or
insolvency proceeding, the seeking of reorganization, arrangement, composition,
readjustment, liquidation, dissolution or similar relief, or seeking, consenting
to or acquiescing in the appointment of a trustee, receiver or liquidator,
dissolution, or

                                       7

<PAGE>

termination, as the case may be, of such Person pursuant to the provisions of
either the Bankruptcy Code or any other similar state laws.

     Bankruptcy Code: The United States Bankruptcy Code of 1986, as amended.

     BBA: The British Banker's Association.

     Book-Entry Certificates: Beneficial interests in Certificates designated as
"Book-Entry Certificates" in this Agreement, ownership and transfers of which
shall be evidenced or made through book entries by a Clearing Agency as
described in Section 3.09; provided, that after the occurrence of a Book-Entry
Termination whereupon book-entry registration and transfer are no longer
permitted and Definitive Certificates are to be issued to Certificate Owners,
such Book-Entry Certificates shall no longer be "Book-Entry Certificates." As of
the Closing Date, the following Classes of Certificates constitute Book-Entry
Certificates: Class I-A, Class II-A-1, Class II-A-2, Class III-A, Class M-1,
Class M-2, Class M-3, Class B-1, Class B-2 and Class B-3.

     Book-Entry Termination: The occurrence of any of the following events: (i)
the Clearing Agency is no longer willing or able to properly discharge its
responsibilities with respect to the Book Entry Certificates, and the Depositor
is unable to locate a qualified successor; or (ii) the Depositor at its option
advises the Trustee and the Certificate Registrar in writing that it elects to
terminate the book-entry system through the Clearing Agency.

     Business Day: Any day other than (i) a Saturday or a Sunday or (ii) a day
on which banking institutions in New York, New York or, if other than New York,
any city in which the Corporate Trust Office of the Trustee or the Securities
Administrator is located, or the States of Maryland or Minnesota, are authorized
or obligated by law or executive order to be closed.

     Certificate: Any one of the certificates signed by the Securities
Administrator and authenticated by the Authenticating Agent in substantially the
forms attached hereto as Exhibit A.

     Certificate Group: Each of the Group 1 Certificates, Group 2 Certificates
and the Group 3 Certificates.

     Certificate Interest Rate: With respect to each Class of Certificates and
any Distribution Date, the applicable per annum rate described in the
Preliminary Statement hereto.

     Certificate Owner: 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 of such Clearing Agency).

     Certificate Principal Amount: With respect to any Certificate, at the time
of determination, the maximum specified dollar amount of principal to which the
Holder thereof is then entitled hereunder, such amount being equal to the
initial principal amount set forth on the face of such Certificate, less (i) the
amount of all principal distributions previously made with respect to such
Certificate; (ii) all Realized Losses allocated to such Certificate; and (iii)
in the case of a Subordinate Certificate, any Subordinate Certificate Writedown
Amount allocated to such Certificates. Notwithstanding the foregoing, on any
Distribution Date relating to a Due Period in which a Subsequent Recovery has
been received by the Servicer, the Certificate Principal Amount of any Class of
Certificates then outstanding for which any Realized Loss or any Subordinate
Certificate Writedown Amount has been applied will be increased, in order of

                                       8

<PAGE>

seniority, by an amount equal to the lesser of (i) the amount such Class of
Certificates has been written down in respect of Realized Losses or Subordinate
Certificate Writedown Amounts, to the extent not previously offset by increases
in Certificate Principal Amount pursuant to this sentence and (ii) the total of
any Subsequent Recovery distributed on such date to the Certificateholders
(reduced (x) by the amount of the increase in the Certificate Principal Amount
of any more senior Class of Certificates pursuant to this sentence on such
Distribution Date and (y) to reflect a proportionate amount of the increase in
the Certificate Principal Amount of any pari passu Class of Certificates on such
Distribution Date pursuant to this sentence). For purposes of Article V hereof,
unless specifically provided to the contrary, Certificate Principal Amounts
shall be determined as of the close of business of the immediately preceding
Distribution Date, after giving effect to all distributions made on such date.

     Certificate Register and Certificate Registrar: The register maintained and
the registrar appointed pursuant to Section 3.02.

     Certificateholder: The meaning provided in the definition of "Holder."

     Civil Relief Act: The Servicemembers Civil Relief Act.

     Class: Collectively, Certificates bearing the same class designation. In
the case of any REMIC, the term "Class" refers to all REMIC Interests having the
same alphanumeric designation.

     Class A-R Certificate: The Class A-R Certificate executed by the Securities
Administrator, and authenticated and delivered by the Authenticating Agent,
substantially in the form annexed hereto as Exhibit A, and evidencing the
ownership of the Class LT1-R Interest and the residual interest in the Upper
Tier REMIC.

     Class LT1-R Interest: The sole class of "residual interest" in REMIC 1.

     Class LT2-R Interest: [Reserved.]

     Class Principal Amount: With respect to each Class of Certificates the
aggregate of the Certificate Principal Amounts of all Certificates of such Class
at the date of determination.

     Class Subordination Percentage: With respect to each Class of Subordinate
Certificates, for each Distribution Date, the percentage obtained by dividing
the Class Principal Amount of such Class immediately prior to such Distribution
Date by the sum of the Class Principal Amounts of all Classes of Certificates
immediately prior to such Distribution Date.

     Clearing Agency: An organization registered as a "clearing agency" pursuant
to Section 17A of the Securities Exchange Act of 1934, as amended. As of the
Closing Date, the Clearing Agency shall be The Depository Trust Company.

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

     Closing Date: May 31, 2007.

                                       9

<PAGE>

     Code: The Internal Revenue Code of 1986, as amended, and as it may be
further amended from time to time, any successor statutes thereto, and
applicable U.S. Department of Treasury regulations issued pursuant thereto in
temporary or final form.

     Collection Account: The separate trust account or accounts created and
maintained by the Servicer, which shall be entitled "PHH Mortgage Corporation,
as Servicer for HSBC Bank USA, National Association, as Trustee, f/b/o the
registered holders of the Merrill Lynch Mortgage Investors Trust Series MLCC
2007-2 Mortgage Pass-Through Certificates". The Collection Account shall be an
Eligible Account.

     Commission: Securities and Exchange Commission.

     Compensating Interest Payment: As to any Distribution Date, the lesser of
(1) the Servicing Fee for such date and (2) any Prepayment Interest Shortfall
for such date.

     Cooperative Corporation: The entity that holds title (fee or an acceptable
leasehold estate) to the real property and improvements constituting the
Cooperative Property and which governs the Cooperative Property, which
Cooperative Corporation must qualify as a Cooperative Housing Corporation under
Section 216 of the Code.

     Cooperative Loan: Any Mortgage Loan secured by Cooperative Shares and a
Proprietary Lease.

     Cooperative Property: The real property and improvements owned by the
Cooperative Corporation, that includes the allocation of individual dwelling
units to the holders of the shares of the Cooperative Corporation.

     Cooperative Shares: Shares issued by a Cooperative Corporation.

     Corporate Trust Office: With respect to the Trustee, the principal
corporate trust office of the Trustee at which at any particular time its
corporate trust business in connection with this Agreement shall be
administered, which office at the date of the execution of this instrument is
located at HSBC Bank USA, National Association, 452 Fifth Avenue, New York, New
York 10018, Attention: Corporate Trust and Loan Agency - Merrill Lynch Mortgage
Investors, Inc., MLCC Series 2007-2, or at such other address as the Trustee may
designate from time to time by notice to the Certificateholders, the Depositor
and the Master Servicer and with respect to the Securities Administrator, for
Certificate transfer purposes, Wells Fargo Center, Sixth Street and Marquette
Avenue, Minneapolis, Minnesota 55479, Attn: Corporate Trust Services - MLCC
2007-2, and for all other purposes, 9062 Old Annapolis Road, Columbia, Maryland,
21045, Attn: Client Service Manager - MLCC 2007-2.

     Corresponding Classes of Certificates: With respect to each Lower Tier
REMIC Interest, the Class or Classes of Certificates appearing opposite such
Lower Tier REMIC Interest as described in the Preliminary Statement hereto.

     Credit Support Depletion Date: The first Distribution Date, if any, on
which the aggregate Certificate Principal Amounts of the Subordinate
Certificates have been reduced to zero.

                                       10

<PAGE>

     Current Interest: With respect to each Class of Certificates on each
Distribution Date, the aggregate amount of interest accrued at the applicable
Certificate Interest Rate during the related Accrual Period on the Class
Principal Amount of such Class.

     Custodian: Wells Fargo Bank, N.A. or its successors and assigns.

     Cut-off Date: May 1, 2007.

     Cut-off Date Balance: With respect to the Mortgage Loans in the Issuing
Entity on the Closing Date, the Aggregate Stated Principal Balance as of the
Cut-off Date.

     Debt Service Reduction: With respect to any Mortgage Loan, a reduction by a
court of competent jurisdiction in a proceeding under the Bankruptcy Code in the
Scheduled Payment for such Mortgage Loan which became final and non-appealable,
except such a reduction resulting from a Deficient Valuation or any reduction
that results in a permanent forgiveness of principal.

     Defective Mortgage Loan: As defined in Section 2.05(a).

     Deficiency Amount: As defined in Section 5.03(b)(ii).

     Deficient Valuation: With respect to any Mortgage Loan, a valuation of the
related Mortgaged Property by a court of competent jurisdiction in an amount
less than the then outstanding indebtedness under the Mortgage Loan, or any
reduction in the amount of principal to be paid in connection with any Scheduled
Payment that results in a permanent forgiveness of principal, which valuation or
reduction results from an order of such court which is final and non-appealable
in a proceeding under the Bankruptcy Code.

     Definitive Certificate: A Certificate of any Class issued in definitive,
fully registered, certificated form.

     Deleted Mortgage Loan: As defined in Section 2.05(a).

     Delinquent: Any Mortgage Loan with respect to which the Scheduled Payment
due on a Due Date is not received.

     Depositor: Merrill Lynch Mortgage Investors, Inc., a Delaware corporation,
having its principal place of business at 250 Vesey Street, 4 World Financial
Center, 10th Floor, New York, New York 10080, or its successors in interest.

     Determination Date: With respect to each Distribution Date, the 15th day of
the month in which such Distribution Date occurs, or, if such 15th day is not a
Business Day, the next succeeding Business Day.

     Disqualified Organization: A "disqualified organization" as defined in
Section 860E(e)(5) of the Code.

     Distribution Account: The trust account or accounts created and maintained
pursuant to Section 4.01 in the name of the Securities Administrator for the
benefit of the Certificateholders and entitled "Wells Fargo Bank, N.A., as
Securities Administrator for HSBC Bank USA, National Association, as Trustee,
f/b/o holders of Merrill Lynch Mortgage Investors, Inc., Mortgage Pass-Through
Certificates, MLCC Series 2007-2 - Distribution Account." The

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<PAGE>

Distribution Account shall be an Eligible Account. Funds in the Distribution
Account (exclusive of any earnings on investments made with funds deposited in
the Distribution Account) shall be held in trust for the Securities
Administrator and the Certificateholders for the uses and purposes set forth in
this Agreement.

     Distribution Account Deposit Date: The 24th day of each calendar month
after the initial issuance of the Certificates or, if such 24th day is not a
Business Day, the immediately preceding Business Day, commencing in June 2007.

     Distribution Date: The 25th day of each month or, if such 25th day is not a
Business Day, the next succeeding Business Day, commencing in June 2007.

     Due Date: With respect to any Mortgage Loan, the date on which a Scheduled
Payment is due under the related Mortgage Note as indicated in the Mortgage
Note, which is the first day of the calendar month.

     Due Period: As to any Distribution Date, the period beginning on the second
day of the month preceding the month of such Distribution Date, and ending on
the first day of the month of such Distribution Date.

     EDP: The electronic data processing system used by the Sponsor and the
Servicer, which are licensees of ALLTEL Information Services, Inc.

     Effective Loan-to-Value Ratio: A fraction, expressed as a percentage, the
numerator of which is the original Stated Principal Balance of the Mortgage
Loan, less the amount of Additional Collateral required to secure such Mortgage
Loan at the time of origination, if any, and the denominator of which is the
Appraised Value of the related Mortgaged Property at such date.

     Eligible Account: Any of (i) an account or accounts maintained with a
federal or state chartered depository institution or trust company the
short-term unsecured debt obligations of which (or, in the case of a depository
institution or trust company that is the principal subsidiary of a holding
company, the debt obligations of such holding company) have the highest
short-term ratings of each Rating Agency at the time any amounts are held on
deposit therein, or (ii) an account or accounts in a depository institution or
trust company in which such accounts are insured by the FDIC or the SAIF (to the
limits established by the FDIC or the SAIF) and the uninsured deposits in which
accounts are otherwise secured such that, as evidenced by an Opinion of Counsel
delivered to the Securities Administrator and to each Rating Agency, the
Certificateholders have a claim with respect to the funds in such account or a
perfected first priority security interest against any collateral (which shall
be limited to Permitted Investments) securing such funds that is superior to
claims of any other depositors or creditors of the depository institution or
trust company in which such account is maintained, or (iii) a trust account or
accounts maintained with the trust department of a federal or state chartered
depository institution or trust company, acting in its fiduciary capacity or
(iv) any other account acceptable to each Rating Agency. Eligible Accounts may
bear interest, and may include, if otherwise qualified under this definition,
accounts maintained with the Securities Administrator, any Paying Agent, the
Master Servicer or the Servicer.

     ERISA: The Employee Retirement Income Security Act of 1974, as amended, and
as it may be further amended from time to time, any successor statutes thereto,
and applicable U.S. Department of Labor regulations issued pursuant thereto in
temporary or final form.

                                       12

<PAGE>

     ERISA-Qualifying Underwriting: A best efforts or firm commitment
underwriting or private placement that would satisfy the requirements of the
Underwriter's Exemption, except, in relevant part, for the requirement that the
certificates have received a rating at the time of acquisition that is in one of
the three (or four, in the case of a "designated transaction") highest generic
rating categories by at least one of the Rating Agencies.

     ERISA-Restricted Certificate: The Class B-1, Class B-2 and Class B-3
Certificates and any other Certificate, as long as the acquisition and holding
of such other Certificate is not covered by and exempt under the Underwriter's
Exemption.

     Escrow Account: The separate trust account or accounts created and
maintained by the Servicer pursuant to the Fannie Mae Servicing Guide which
shall be entitled "PHH Mortgage Corporation, as Servicer for HSBC Bank USA,
National Association, as Trustee, f/b/o registered holders for Merrill Lynch
Mortgage Investors Trust Series MLCC 2007-2 Mortgage Pass-Through Certificates."
The Escrow Account shall be an Eligible Account.

     Exchange Act: The Securities Exchange Act of 1934, as amended.

     Fannie Mae: The entity formerly known as the Federal National Mortgage
Association, a federally chartered and privately owned corporation organized and
existing under the Federal National Mortgage Association Charter Act, or any
successor thereto.

     FDIC: The Federal Deposit Insurance Corporation or any successor thereto.

     FHA: The Federal Housing Administration or any successor thereto.

     FHLMC: The Federal Home Loan Mortgage Corporation, a corporate
instrumentality of the United States created and existing under Title III of the
Emergency Home Finance Act of 1970, as amended, or any successor thereto.

     Final Certification: As referred to in Section 2.02(c), the form of which
is set forth at Exhibit L.

     Form 8-K Disclosure Information: As defined in Section 9.21(a).

     Freddie Mac: A corporate instrumentality of the United States created and
existing under Title III of the Emergency Home Finance Act of 1970, as amended,
or any successor thereto.

     GNMA: The Government National Mortgage Association, or any successor
thereto.

     Group 1: All of the Group 1 Certificates.

     Group 1 Certificate: Any Class I-A or Class A-R Certificate.

     Group 2: All of the Group 2 Certificates.

     Group 2 Certificate: Any Class II-A-1 or Class II-A-2 Certificate.

     Group 3: All of the Group 3 Certificates.

     Group 3 Certificate: Any Class III-A Certificate.

                                       13

<PAGE>

     Holder or Certificateholder: The registered owner of any Certificate as
recorded on the books of the Certificate Registrar except that, solely for the
purposes of taking any action or giving any consent pursuant to this Agreement,
any Certificate registered in the name of the Depositor, the Trustee, the Master
Servicer or the Securities Administrator, or any Affiliate thereof shall be
deemed not to be outstanding in determining whether the requisite percentage
necessary to effect any such consent has been obtained, except that, in
determining whether the Securities Administrator shall be protected in relying
upon any such consent, only Certificates which a Responsible Officer of the
Securities Administrator knows to be so owned shall be disregarded. The
Securities Administrator may request and conclusively rely on certifications by
the Depositor, the Trustee, the Servicer and the Master Servicer in determining
whether any Certificates are registered to an Affiliate of the Depositor, the
Trustee, the Servicer or the Master Servicer.

     HUD: The United States Department of Housing and Urban Development, or any
successor thereto.

     Indemnified Parties: As defined in Section 9.15(a).

     Independent: When used with respect to any Accountants, a Person who is
"independent" within the meaning of Rule 2-01(b) of the Commission's Regulation
S-X. When used with respect to any other Person, a Person who (a) is in fact
independent of another specified Person and any Affiliate of such other Person,
(b) does not have any material direct financial interest in such other Person or
any Affiliate of such other Person, and (c) is not connected with such other
Person or any Affiliate of such other Person as an officer, employee, promoter,
underwriter, trustee, partner, director or Person performing similar functions.

     Index: As to each Mortgage Loan, the index from time to time in effect for
adjustment of the Mortgage Rate as set forth as such on the related Mortgage
Note.

     Initial Certification: As referred to in Section 2.02(a), the form of which
is set forth at Exhibit K.

     Insurance Policy: With respect to any Mortgage Loan, any insurance policy,
including all names and endorsements thereto in effect, including any
replacement policy or policies for any Insurance Policies.

     Insurance Proceeds: Proceeds paid by any Insurance Policy (excluding
proceeds required to be applied to the restoration and repair of the related
Mortgaged Property or released to the Mortgagor), in each case other than any
amount included in such Insurance Proceeds in respect of Insured Expenses and
the proceeds, if any, from any Limited Purpose Surety Bond.

     Insured Expenses: Expenses covered by an Insurance Policy or any other
insurance policy with respect to the Mortgage Loans.

     Interest Distribution Amount: For each Class of Certificates, on any
Distribution Date, the Current Interest for such Class, as reduced by such
Class's share of Net Interest Shortfalls. Any such shortfalls shall be allocated
among (i) all Classes of Certificates of the related Certificate Group from such
Mortgage Pool and (ii) the Subordinate Certificates proportionately on the basis
of (1) in the case of the Senior Certificates, Current Interest otherwise
distributable thereon on such Distribution Date and (2) in the case of
Subordinate Certificates, interest accrued at the Net WAC of the applicable
Mortgage Pool on their Apportioned Principal Balance before

                                       14

<PAGE>

taking into account any reductions in such amounts from Net Interest Shortfalls
for that Distribution Date.

     Interest Shortfall: As to any Class of Certificates and any Distribution
Date, (i) the amount by which the Interest Distribution Amount for such Class on
such Distribution Date and all prior Distribution Dates exceeds (ii) amounts
distributed in respect thereof to such Class on prior Distribution Dates.

     Intervening Assignments: The original intervening assignments of the
Mortgage, notices of transfer or equivalent instrument.

     Issuing Entity: Merrill Lynch Mortgage Investors Trust, Series MLCC 2007-2.

     Latest Possible Maturity Date: The Distribution Date in May 2037.

     LIBOR: With respect to each Accrual Period, a per annum rate determined on
the LIBOR Determination Date in the following manner by the Securities
Administrator on the basis of the "Interest Settlement Rate" set by the BBA for
six-month or one-year United States dollar deposits, as such rates appear on the
Telerate Page 3750, as of 11:00 a.m. (London time) on such LIBOR Determination
Date.

     (a) If on such a LIBOR Determination Date, the BBA's Interest Settlement
Rate does not appear on the Telerate Page 3750 as of 11:00 a.m. (London time),
or if the Telerate Page 3750 is not available on such date, the Securities
Administrator will obtain such rate from Reuters' "page LIBOR 01" or Bloomberg's
page "BBAM." If such rate is not published for such LIBOR Determination Date,
LIBOR for such date will be the most recently published Interest Settlement
Rate. In the event that the BBA no longer sets an Interest Settlement Rate, the
Securities Administrator will designate an alternative index that has performed,
or that the Securities Administrator expects to perform, in a manner
substantially similar to the BBA's Interest Settlement Rate. The Securities
Administrator will select a particular index as the alternative index only if it
receives an Opinion of Counsel, which opinion shall be an expense reimbursed
from the Distribution Account, that the selection of such index will not cause
any of the REMICs to lose their classification as REMICs for federal income tax
purposes.

     (b) The establishment of LIBOR by the Securities Administrator for the
relevant Accrual Period, in the absence of manifest error, will be final and
binding.

     LIBOR Business Day: Any day on which banks in London, England and The City
of New York are open and conducting transactions in foreign currency and
exchange.

     Limited Purpose Surety Bond: Any Limited Purpose Surety Bond listed in
Exhibit F.

     Liquidated Mortgage Loan: With respect to any Distribution Date, a
defaulted Mortgage Loan (including any REO Property) which was liquidated in the
calendar month preceding the month of such Distribution Date and as to which the
Servicer has certified (in accordance with this Agreement) that it has received
all amounts it expects to receive in connection with the liquidation of such
Mortgage Loan including the final disposition of an REO Property.

     Liquidation Proceeds: Amounts, including Insurance Proceeds, received in
connection with the partial or complete liquidation of defaulted Mortgage Loans,
whether through trustee's sale, foreclosure sale or otherwise or amounts
received in connection with any condemnation or

                                       15

<PAGE>

partial release of a Mortgaged Property and any other proceeds received in
connection with an REO Property.

     Loan-To-Value Ratio: With respect to any Mortgage Loan and as to any date
of determination, the fraction (expressed as a percentage) the numerator of
which is the principal balance of the related Mortgage Loan at such date of
determination and the denominator of which is the Appraised Value of the related
Mortgaged Property.

     Loss: With respect to any indemnification arising under Section 9.15 of
this Agreement, any and all losses, claims, damages, penalties, liabilities,
obligations, judgments, settlements, awards, demands, offsets, defenses,
counterclaims, actions or proceedings, reasonable out-of-pocket costs, expenses
and attorneys' fees of an Indemnified Party (including but not limited to, (a)
any reasonable costs, expenses and attorneys' fees incurred by such Indemnified
Party in enforcing such right of indemnification against any Indemnifying Party
or with respect to any appeal, and (b) interest on any amount for which an
Indemnified Party is entitled to be indemnified from the date such Indemnified
Party notifies the Servicer of the expenditure or such amounts until such
amounts are paid by the Servicer; provided, however, that in no event shall a
"Loss" include a claim for consequential damages, indirect damages or lost
profits except when the Loss results from the gross negligence, fraud or willful
misconduct of the Master Servicer.

     Lower Tier REMIC Interests: Any of the REMIC 1 Interests.

     Margin: As to each Mortgage Loan, the percentage amount set forth on the
related Mortgage Note added to the Index in calculating the Mortgage Rate
thereon.

     Master Servicer: Wells Fargo Bank, N.A., or any successor in interest.

     Master Servicer Collection Account: The separate trust account or accounts
created and maintained by the Master Servicer pursuant to the Fannie Mae
Servicing Guide which shall be entitled "Wells Fargo Bank, N.A., as Master
Servicer for HSBC Bank USA, National Association, as Trustee, in trust for the
registered holders for Merrill Lynch Mortgage Investors Trust Series MLCC 2007-2
Mortgage Pass-Through Certificates." The Master Servicer Collection Account
shall be an Eligible Account.

     Master Servicer Event of Default: As defined in Section 6.14(b).

     Material Defect: As defined in Section 2.02(b).

     Maximum Rate: As to any Mortgage Loan, the maximum rate set forth on the
related Mortgage Note at which interest can accrue on such Mortgage Loan.

     MERS: Mortgage Electronic Registration Systems, Inc., a corporation
organized and existing under the laws of the State of Delaware or any successor
thereto.

     MERS Mortgage Loan: Any Mortgage Loan registered with MERS on the MERS
System.

     MERS System: The system of recording transfers of mortgages electronically
maintained by MERS.

     MLCC: Merrill Lynch Credit Corporation or any successor thereto.

                                       16

<PAGE>

     Monthly Statement: The statement delivered to the Certificateholders
pursuant to Section 4.02.

     Moody's: Moody's Investors Service, Inc., or any successor in interest.

     Mortgage: A mortgage, deed of trust or other instrument encumbering a fee
simple interest in real property securing a Mortgage Note, together with
improvements thereto.

     Mortgage Documents: With respect to each Mortgage Loan, the mortgage
documents required to be delivered to the Trustee, or its Custodian, pursuant to
this Agreement.

     Mortgage Loan: A Mortgage and the related notes or other evidences of
indebtedness secured by each such Mortgage conveyed, transferred, sold, assigned
to or deposited with the Trustee, or its Custodian, pursuant to Section 2.01
(including any Replacement Loan and REO Property), including without limitation,
each Mortgage Loan listed on the Mortgage Loan Schedule, as amended from time to
time.

     Mortgage Loan Sale and Assignment Agreement: The Mortgage Loan Sale and
Assignment Agreement, dated as of May 1, 2007, between the Sponsor and the
Depositor with respect to the sale and purchase of the Mortgage Loans, a copy of
which is attached hereto as Exhibit E.

     Mortgage Loan Schedule: The schedule attached hereto as Schedule A, which
shall identify each Mortgage Loan, as such schedule may be amended by the
Depositor, the Servicer or the Master Servicer from time to time to reflect the
addition of Replacement Mortgage Loans to, or the deletion of Deleted Mortgage
Loans from, the Trust Fund. Such schedule shall, among other things (1) identify
the designated Mortgage Pool in which such Mortgage Loan is included and (2)
separately identify Six-Month LIBOR Loans, One-Year LIBOR Loans and Additional
Collateral Mortgage Loans.

     Mortgage Note: The original executed note or other evidence of the
indebtedness of a Mortgagor secured by a Mortgage under a Mortgage Loan.

     Mortgage Pools: Pool 1, Pool 2 and Pool 3.

     Mortgaged Property: The underlying property, including any Additional
Collateral, if any, securing a Mortgage Loan which, with respect to a
Cooperative Loan, is the related Cooperative Shares and Property Lease.

     Mortgage Rate: As to any Mortgage Loan, the annual rate of interest borne
by the related Mortgage Notes.

     Mortgagor: The obligor on a Mortgage Note.

     Net Interest Shortfalls: With respect to any Distribution Date, any Net
Prepayment Interest Shortfalls for that Distribution Date and the amount of
interest that would otherwise have been received with respect to any Mortgage
Loan which was subject to (i) a Relief Act Reduction or (ii) the interest
portion of any Debt Service Reduction or Deficient Valuation, after exhaustion
of the respective amounts of coverage provided by the Subordinate Certificates
for those type of losses.

                                       17

<PAGE>

     Net Liquidation Proceeds: With respect to any Liquidated Mortgage Loan or
any other disposition of related Mortgaged Property, the related Liquidation
Proceeds net of Advances, Servicer Advances, related Servicing Fees and any
other accrued and unpaid fees received and retained in connection with the
liquidation of such Mortgage Loan or Mortgaged Property.

     Net Mortgage Rate: With respect to any Mortgage Loan and any Distribution
Date, the related Mortgage Rate as of the Due Date in the month preceding the
month of such Distribution Date reduced by the Servicing Fee Rate for such
Mortgage Loan.

     Net Prepayment Interest Shortfall: With respect to any Mortgage Loan and
any Distribution Date, the amount by which any Prepayment Interest Shortfall for
such date exceeds the amount payable by the Servicer (under this Agreement) in
respect of such shortfall.

     Net WAC: As to any Distribution Date, the weighted average of the Net
Mortgage Rates of the Mortgage Loans as of the first day of the calendar month
immediately preceding the calendar month of such Distribution Date, weighted on
the basis of their outstanding Stated Principal Balances at such time. When the
term "Net WAC" is used herein with reference to only the Six-Month LIBOR Loans,
such weighted average shall be computed with reference solely to the Mortgage
Loans in the relevant group.

     Non-permitted Foreign Holder: As defined in Section 3.03(f).

     Nonrecoverable Advance: Any portion of an Advance or Servicer Advance
previously made or proposed to be made by the applicable Servicer (as certified
in an Officer's Certificate of the Servicer), or the Master Servicer as
successor servicer, or the Trustee pursuant to Section 5.04, which in the good
faith judgment of such party, shall not be ultimately recoverable by such party
from the related Mortgagor, related Liquidation Proceeds or otherwise.

     Non-U.S. Person: Any person other than a "United States person" within the
meaning of Section 7701(a)(30) of the Code.

     Offering Document: The Prospectus.

     Officer's Certificate: A certificate signed by the Chairman of the Board,
the Vice Chairman of the Board, the President, a vice president (however
denominated), an Assistant Vice President, the Treasurer, the Secretary, or one
of the assistant treasurers or assistant secretaries (or any other officer
customarily performing functions similar to those performed by any of the above
designated officers and also to whom, with respect to a particular matter, such
matter is referred because of such officer's knowledge of and familiarity with a
particular subject) of the Depositor, the Trustee, the Master Servicer or the
Securities Administrator, as the case may be, and delivered to the Depositor,
the Trustee, the Master Servicer or the Securities Administrator, as the case
may be, as required by this Agreement.

     Officer's Certificate of the Servicer: A certificate (i) signed by the
Chairman of the Board, the Vice Chairman of the Board, the President, a Managing
Director, a Vice President (however denominated), an Assistant Vice President,
the Treasurer, the Secretary, or one of the Assistant Treasurers or Assistant
Secretaries of the Servicer, or (ii) if provided for herein, signed by a
Servicing Officer, as the case may be, and delivered to the Trustee, the Master
Servicer or the Depositor, as the case may be.

                                       18

<PAGE>

     One-Year LIBOR Loan: Each Mortgage Loan bearing a Mortgage Rate that
adjusts in accordance with LIBOR for one-year U.S. dollar deposits.

     Opinion of Counsel: A written opinion of counsel, who may be an employee of
the Depositor or the Servicer, that is reasonably acceptable to each addressee
of such opinion; provided that any Opinion of Counsel relating to (a)
qualification of the Mortgage Loans in a REMIC or (b) compliance with the REMIC
Provisions, must be an opinion of counsel reasonably acceptable to each
addressee of such opinion, who (i) is in fact independent of such Servicer and
the Depositor, (ii) does not have any material direct or indirect financial
interest in such Servicer or the Depositor or in an affiliate of either and
(iii) is not connected with such Servicer or the Depositor as an officer,
employee, director or person performing similar functions.

     Optional Termination Price: An amount equal to the sum of (i) 100% of the
Stated Principal Balance of the Mortgage Loans (other than any Mortgage Loan
that has become an REO Property) plus accrued interest thereon at the applicable
Mortgage Rate through the Due Date in the month in which the Optional
Termination Price is to be distributed to the Certificateholders and the fair
market value of any REO Property plus accrued interest thereon; (ii) any
unreimbursed costs and damages incurred by the Issuing Entity (or the Trustee on
behalf of the Issuing Entity) in connection with the violation of any
anti-predatory or anti-abusive lending laws; and (iii) the payment of all
amounts (including, without limitation, all previously unreimbursed Advances and
Servicing Advances and accrued and unpaid Servicing Fees) payable or
reimbursable to the Master Servicer, the Securities Administrator or Trustee.

     Original Applicable Credit Support Percentage: With respect to each Class
of Subordinate Certificates, the corresponding percentage set forth opposite its
Class designation: Class M-1 - 3.00%; Class M-2 - 2.00%; Class M-3 - 1.45%;
Class B-1 - 1.05%; Class B-2 - 0.45%; and Class B-3 - 0.15%.

     Originator: With respect to any Mortgage Loan, the entity that (i) took the
Mortgagor's loan application, (ii) processed the Mortgagor's loan application,
and (iii) closed and/or funded the Mortgagor's Mortgage Loan.

     Overcollateralized Senior Certificates: As defined in Section 5.02(b)(iii).

     Parent Power(R) Guaranty and Security Agreement: With respect to any
Additional Collateral Mortgage Loan, as defined in the Transfer Agreement.

     Paying Agent: Any paying agent appointed by the Securities Administrator
pursuant to Section 3.08.

     Percentage Interest: With respect to any Certificate, its percentage
interest in the undivided beneficial ownership interest in the Trust Fund
evidenced by all Certificates of the same Class as such Certificate. With
respect to any Certificate (other than the Class A-R Certificate), the
Percentage Interest evidenced thereby shall equal the initial Certificate
Principal Amount thereof divided by the initial Class Principal Amount of all
Certificates of the same Class. With respect to the Class A-R Certificate, the
Percentage Interest evidenced thereby shall be as specified on the face thereof,
or otherwise, be equal to 100%.

     Permitted Investments: At any time, any one or more of the following
obligations and securities:

                                       19

<PAGE>

                    (i) obligations of the United States or any agency thereof,
               provided that such obligations are backed by the full faith and
               credit of the United States;

                    (ii) general obligations of or obligations guaranteed by any
               state of the United States or the District of Columbia receiving
               the highest long-term debt rating of each Rating Agency, or such
               lower rating as shall not result in the downgrading or withdrawal
               of the ratings then assigned to the Certificates by the Rating
               Agencies, as evidenced by a signed writing delivered by each
               Rating Agency;

                    (iii) commercial or finance company paper which is then
               receiving the highest commercial or finance company paper rating
               of each Rating Agency rating such paper, or such lower rating as
               shall not result in the downgrading or withdrawal of the ratings
               then assigned to the Certificates by the Rating Agencies, as
               evidenced by a signed writing delivered by each Rating Agency;

                    (iv) certificates of deposit, demand or time deposits, or
               bankers' acceptances issued by any depository institution or
               trust company incorporated under the laws of the United States or
               of any state thereof and subject to supervision and examination
               by federal and/or state banking authorities, provided that the
               commercial paper and/or long-term unsecured debt obligations of
               such depository institution or trust company (or in the case of
               the principal depository institution in a holding company system,
               the commercial paper or long-term unsecured debt obligations of
               such holding company, but only if Moody's is not the applicable
               Rating Agency) are then rated one of the two highest long-term
               and the highest short-term ratings of each Rating Agency for such
               securities, or such lower ratings as shall not result in the
               downgrading or withdrawal of the ratings then assigned to the
               Certificates by the Rating Agencies, as evidenced by a signed
               writing delivered by each Rating Agency;

                    (v) guaranteed reinvestment agreements issued by any bank,
               insurance company or other corporation acceptable to the Rating
               Agencies at the time of the issuance of such agreements, as
               evidenced by a signed writing delivered by each Rating Agency;

                    (vi) repurchase obligations with respect to any security
               described in clauses (i) and (ii) above, in either case entered
               into with a depository institution or trust company (acting as
               principal) described in clause (iv) above;

                    (vii) securities (other than stripped bonds, stripped
               coupons or instruments sold at a purchase price in excess of 115%
               of the face amount thereof) bearing interest or sold at a
               discount issued by any corporation incorporated under the laws of
               the United States or any state thereof which, at the time of such
               investment, have one of the two highest ratings of each Rating
               Agency (except if the Rating Agency is Moody's, such rating shall
               be the highest commercial paper rating of

                                       20

<PAGE>

               Moody's for any such series), or such lower rating as shall not
               result in the downgrading or withdrawal of the ratings then
               assigned to the Certificates by the Rating Agencies, as evidenced
               by a signed writing delivered by each Rating Agency;

                    (viii) interests in any money market fund which at the date
               of acquisition of the interests in such fund and throughout the
               time such interests are held in such fund has the highest
               applicable rating by each Rating Agency rating such fund or such
               lower rating as shall not result in a change in the rating then
               assigned to the Certificates by each Rating Agency including
               funds for which the Trustee or any of its Affiliates is
               investment manager or adviser;

                    (ix) short-term investment funds sponsored by any trust
               company or national banking association incorporated under the
               laws of the United States or any state thereof which on the date
               of acquisition has been rated by each applicable Rating Agency in
               their respective highest applicable rating category or such lower
               rating as shall not result in a change in the rating then
               specified stated maturity and bearing interest or sold at a
               discount acceptable to each Rating Agency as shall not result in
               the downgrading or withdrawal of the ratings then assigned to the
               Certificates by the Rating Agencies; and

                    (x) such other investments having a specified stated
               maturity and bearing interest or sold at a discount acceptable to
               the Rating Agencies as shall not result in the downgrading or
               withdrawal of the ratings then assigned to the Certificates by
               the Rating Agencies;

provided, that no such instrument shall be a Permitted Investment if (i) such
instrument evidences the right to receive interest only payments with respect to
the obligations underlying such instrument, (ii) such instrument would require
the Depositor to register as an investment company under the Investment Company
Act of 1940, as amended, or (iii) such instrument would not be a "permitted
investment" within the meaning of such term as provided for in Section
860G(a)(5) of the Code and the Treasury Regulations thereunder.

     Permitted Transferee: As defined in Section 3.03(f).

     Person: Any individual, corporation, partnership, joint venture,
association, joint-stock company, limited liability company, trust,
unincorporated organization or government or any agency or political subdivision
thereof.

     PHH: PHH Mortgage Corporation, or its successor in interest.

     Pool 1: The aggregate of Mortgage Loans identified on the Mortgage Loan
Schedule as being included in Pool 1.

     Pool 1 Mortgage Loans: Any Mortgage Loan in Pool 1.

     Pool 1 Net WAC: With respect to any Distribution Date, the weighted average
of the Net Mortgage Rates of the Pool 1 Mortgage Loans as of the first day of
the calendar month

                                       21

<PAGE>

immediately preceding the calendar month of such Distribution Date, weighted on
the basis of their Stated Principal Balances at such time.

     Pool 1 Subordinate Amount: For any Distribution Date, the excess of (a) the
Aggregate Stated Principal Balance of the Pool 1 Mortgage Loans as of the first
day of the month preceding the month in which such Distribution Date occurs over
(b) the sum of the Class Principal Amounts of the Class I-A and Class A-R
Certificates immediately before such Distribution Date.

     Pool 2: The aggregate of Mortgage Loans identified on the Mortgage Loan
Schedule as being included in Pool 2.

     Pool 2 Mortgage Loans: Any Mortgage Loan in Pool 2.

     Pool 2 Net WAC: With respect to any Distribution Date, the weighted average
of the Net Mortgage Rates of the Pool 2 Mortgage Loans as of the first day of
the calendar month immediately preceding the calendar month of such Distribution
Date, weighted on the basis of their Stated Principal Balances at such time.

     Pool 2 Subordinate Amount: For any Distribution Date, the excess of (a) the
Aggregate Stated Principal Balance of the Pool 2 Mortgage Loans as of the first
day of the month preceding the month in which such Distribution Date occurs over
(b) the sum of the Class Principal Amounts of the Class II-A-1 and Class II-A-2
Certificates immediately before such Distribution Date.

     Pool 3: The aggregate of Mortgage Loans identified on the Mortgage Loan
Schedule as being included in Pool 3.

     Pool 3 Mortgage Loans: Any Mortgage Loan in Pool 3.

     Pool 3 Net WAC: With respect to any Distribution Date, the weighted average
of the Net Mortgage Rates of the Pool 3 Mortgage Loans as of the first day of
the calendar month immediately preceding the calendar month of such Distribution
Date, weighted on the basis of their Stated Principal Balances at such time.

     Pool 3 Subordinate Amount: For any Distribution Date, the excess of (a) the
Aggregate Stated Principal Balance of the Pool 3 Mortgage Loans as of the first
day of the month preceding the month in which such Distribution Date occurs over
(b) the Class Principal Amount of the Class III-A Certificates immediately
before such Distribution Date.

     Pool Subordinate Amount: Any of the Pool 1 Subordinate Amount, Pool 2
Subordinate Amount or the Pool 3 Subordinate Amount.

     Prepayment Interest Shortfall: With respect to any full or partial
Principal Prepayment of a Mortgage Loan, the excess, if any, of (i) one full
month's interest at the applicable Mortgage Rate on the outstanding principal
balance of such Mortgage Loan immediately prior to such Principal Prepayment
over (ii) the amount of interest actually received with respect to such Mortgage
Loan in connection with such Principal Prepayment.

     Prepayment Period: With respect to each Distribution Date, the calendar
month immediately preceding the month in which the Distribution Date occurs.

                                       22

<PAGE>

     Primary Mortgage Insurance Policy: Each policy of primary mortgage guaranty
insurance or any replacement policy therefor with respect to any Mortgage Loan.

     Principal Distribution Amount: With respect to any Mortgage Pool and any
Distribution Date, the sum of (a) each Scheduled Payment of principal collected
or advanced on the related Mortgage Loans (before taking into account any
Deficient Valuations or Debt Service Reductions) and due during the related Due
Period, (b) that portion of the Purchase Price representing principal of any
Mortgage Loans in such Mortgage Pool purchased in accordance with Section 2.05
hereof and received during the related Prepayment Period, (c) the principal
portion of any related Substitution Amount received during the related
Prepayment Period, (d) the principal portion of all Insurance Proceeds received
during the related Prepayment Period with respect to Mortgage Loans in such
Mortgage Pool that are not yet Liquidated Mortgage Loans, (e) the principal
portion of all Net Liquidation Proceeds received during the related Prepayment
Period with respect to Liquidated Mortgage Loans in such Mortgage Pool, (f) all
Subsequent Recoveries received during the related Prepayment Period with respect
to Liquidated Mortgage Loans in such Mortgage Pool, (g) the principal portion of
the proceeds of any Additional Collateral with respect to the Mortgage Loans in
such Mortgage Pool, (h) the principal portion of all partial and full Principal
Prepayments of Mortgage Loans in such Mortgage Pool applied by the Servicer
(pursuant to this Agreement) during the related Prepayment Period and (i) on the
Distribution Date on which the Issuing Entity is to be terminated pursuant to
Article VII hereof, that portion of the Optional Termination Price in respect of
principal for such Mortgage Pool.

     Principal Prepayment: Any Mortgagor payment of principal or other recovery
of principal on a Mortgage Loan that is recognized as having been received or
recovered in advance of its scheduled Due Date and applied to reduce the
principal balance of the Mortgage Loan in accordance with the terms of the
Mortgage Note or this Agreement.

     Principal Transfer Amount: For any Distribution Date and for any
Undercollateralized Group, the excess, if any, of the aggregate Class Principal
Amount of such Undercollateralized Group immediately prior to such Distribution
Date over the Aggregate Stated Principal Balance of the related Mortgage Pool
immediately prior to such Distribution Date.

     Proceeding: Any suit in equity, action at law or other judicial or
administrative proceeding.

     Proprietary Lease: With respect to any Cooperative Property, a lease or
occupancy agreement between a Cooperative Corporation and a holder of related
Cooperative Shares.

     Pro Rata Senior Percentage: With respect to each Distribution Date and each
Mortgage Pool, the percentage equivalent of a fraction the numerator of which is
the aggregate Class Principal Amount of the Class or Classes of the Related
Certificate Group immediately prior to such Distribution Date and the
denominator of which is the Aggregate Stated Principal Balance of the related
Mortgage Pool for such Distribution Date.

     Prospectus: The prospectus supplement, dated May 29, 2007, together with
the accompanying prospectus dated May 15, 2007, relating to the initial sale of
the Class I-A, Class II-A-1, Class II-A-2, Class III-A, Class A-R, Class M-1,
Class M-2 and Class M-3 Certificates.

     Purchase Date: Any Distribution Date on which Certificates may be
repurchased pursuant to Section 7.01(c).

                                       23

<PAGE>

     Purchase Price: With respect to any Mortgage Loan required or permitted to
be purchased by the Depositor pursuant to this Agreement, by the Master Servicer
pursuant to this Agreement, or by the Sponsor pursuant to the Transfer
Agreement, an amount equal to the sum of (i) 100% of the unpaid principal
balance of the Mortgage Loan on the date of such purchase, (ii) accrued interest
thereon at the applicable Net Mortgage Rate from the date through which interest
was last paid by the Mortgagor to the Due Date in the month in which the
Purchase Price is to be distributed to Certificateholders and (iii) any
unreimbursed costs, penalties and/or damages incurred by the Issuing Entity in
connection with any violation relating to such Mortgage Loan of any predatory or
abusive lending law.

     QIB: As defined in Section 3.03(c)(i).

     Rating Agency: Each of Moody's and S&P.

     Realized Loss: With respect to each Liquidated Mortgage Loan, an amount
(not less than zero or more than the Stated Principal Balance of the Mortgage
Loan) as of the date of such liquidation, equal to (i) the Stated Principal
Balance of the Liquidated Mortgage Loan as of the date of such liquidation, plus
(ii) interest at the Net Mortgage Rate from the Due Date as to which interest
was last paid or advanced (and not reimbursed) to Certificateholders up to the
Due Date in the month in which Liquidation Proceeds are required to be
distributed on the Stated Principal Balance of such Liquidated Mortgage Loan
from time to time, minus (iii) the Net Liquidation Proceeds and the proceeds of
any Additional Collateral, if any, received during the month in which such
liquidation occurred, to the extent applied as recoveries of interest at the Net
Mortgage Rate and to principal of the Liquidated Mortgage Loan. With respect to
each Mortgage Loan which has become the subject of a Deficient Valuation, if the
principal amount due under the related Mortgage Note has been reduced, the
difference between the principal balance of the Mortgage Loan outstanding
immediately prior to such Deficient Valuation and the principal balance of the
Mortgage Loan as reduced by the Deficient Valuation.

     Record Date: As to any Distribution Date, the last Business Day of the
month preceding the month of each Distribution Date.

     Refinancing Mortgage Loan: Any Mortgage Loan originated in connection with
the refinancing of an existing mortgage loan.

     Regulation AB: Subpart 22.1100 - Asset Backed Securities (Regulation AB),
17 C.F.R. Sections 229.1100-229.1123, as such may be amended from time to time,
and subject to such clarification and interpretation as have been provided by
the Commission in the adopting release (Asset-Backed Securities, Securities Act
Release No. 33-8518, 70 Fed Reg. 1,506, 1,531 (Jan. 7, 2005) or by the staff of
the Commission, or as may be provided by the Commission or its staff from time
to time.

     Related Certificate Group: The Certificate Group related to a particular
Mortgage Pool as indicated by the same numerical designation (i.e., Group 1
Certificates are related to Pool 1, Group 2 Certificates are related to Pool 2
and Group 3 Certificates are related to Pool 3).

     Relevant Servicing Criteria: The Servicing Criteria applicable to the
various parties, as set forth on Exhibit S-2 hereto. For clarification purposes,
multiple parties can have responsibility for the same Relevant Servicing
Criteria. With respect to a Servicing Function Participant engaged by the
Securities Administrator, the Servicer, the Trustee, the Custodian or

                                       24

<PAGE>

the Master Servicer, the term "Relevant Servicing Criteria" may refer to a
portion of the Relevant Servicing Criteria applicable to such parties.

     Relief Act Reductions: With respect to any Distribution Date and any
Mortgage Loan as to which there has been a reduction in the amount of interest
collectible thereon for the most recently ended calendar month as a result of
the application of the Civil Relief Act, the amount, if any, by which (i)
interest collectible on such Mortgage Loan for the most recently ended calendar
month is less than (ii) interest accrued thereon for such month pursuant to the
Mortgage Note.

     REMIC: Each pool of assets in the Trust Fund designated as a REMIC as
described in the Preliminary Statement.

     REMIC Interests: Any regular or residual interest in any REMIC, as
described in the Preliminary Statement.

     REMIC Provisions: The provisions of the federal income tax law relating to
real estate mortgage investment conduits, which appear at Sections 860A through
860G of Subchapter M of Chapter 1 of the Code, and related provisions, and
regulations, including proposed regulations and rulings, and administrative
pronouncements promulgated thereunder, as the foregoing may be in effect from
time to time.

     REMIC 1: As described in the Preliminary Statement.

     REMIC 1 Interest: Each class of interest in REMIC 1 as described in the
Preliminary Statement.

     REMIC 1 Regular Interest: Each of the REMIC 1 Interests other than the
Class LT1-R Interest.

     REMIC 1 Subordinate Balance Ratio: The ratio among the uncertificated
principal balances of each of the REMIC 1 Interests ending with the designation
"A" that is equal to the ratio among, with respect to each such REMIC 1
Interest, the excess of (x) the aggregate Stated Principal Balance of the
Mortgage Loans in the related Mortgage Pool over (y) the aggregate Class
Principal Amount of the Certificates in the Certificate Group related to such
Mortgage Pool.

     REMIC 2: [Reserved.]

     REMIC 2 Interest: [Reserved.]

     REMIC 2 Regular Interest: [Reserved.]

     REO Disposition: The final sale by the Servicer of an REO Property.

     REO Property: A Mortgaged Property acquired by the Issuing Entity through
foreclosure or deed-in-lieu of foreclosure in connection with a defaulted
Mortgage Loan or otherwise treated as having been acquired pursuant to the REMIC
Provisions.

     Replacement Mortgage Loan: A mortgage loan substituted by the Sponsor for a
Deleted Mortgage Loan which must, on the date of such substitution, as confirmed
in a Request for Release substantially in the form attached to this Agreement,
(i) have a Stated Principal Balance,

                                       25

<PAGE>

after deduction of the principal portion of the Scheduled Payment due in the
month of substitution, not in excess of, and not more than 10% less than, the
Stated Principal Balance of the Deleted Mortgage Loan; (ii) have a Maximum Rate
not less than (and not more than two percentage points greater than) the Maximum
Rate of the Deleted Mortgage Loan; (iii) have a gross margin not less than that
of the Deleted Mortgage Loan and, if Mortgage Loans equal to 1% or more of the
balance of the related Mortgage Pool as of the Cut-off Date have become Deleted
Mortgage Loans, not more than two percentage points more than that of the
Deleted Mortgage Loan; (iv) have an Effective Loan-to-Value Ratio no higher than
that of the Deleted Mortgage Loan; (v) have Adjustment Dates that are no more or
less frequent than the Deleted Mortgage Loan; (vi) have a remaining term to
maturity no greater than (and not more than one year less than that of) the
Deleted Mortgage Loan; (vii) not permit conversion of the related Mortgage Rate
to a permanent fixed Mortgage Rate; (viii) not be a Cooperative Loan unless the
Deleted Mortgage Loan was a Cooperative Loan; (ix) have the same or better FICO
credit score; (x) have an initial interest adjustment date no earlier than five
months before (and no later than five months after) the initial adjustment date
of the Deleted Mortgage Loan, (xi) comply with each representation and warranty
set forth in Sections 2.03 and 2.04 of this Agreement; and (xii) shall be
accompanied by an Opinion of Counsel that such Replacement Mortgage Loan would
not adversely affect the REMIC status of any of the REMICs formed pursuant to
this Pooling and Servicing Agreement or would not otherwise be prohibited by
this Pooling and Servicing Agreement.

     Reportable Event: As defined in Section 9.21(a).

     Reporting Servicer: As defined in Section 9.21(h).

     Request for Release: A request for release, substantially in the form of
Exhibit N attached hereto, properly completed and signed by a Servicing Officer
(or, if delivered on behalf of the Sponsor or Depositor, an Authorized Officer
thereof).

     Residual Certificate: The Class A-R Certificate.

     Residual Interest: The Residual Certificate, other than the portion thereof
representing the right to payments in respect of the Class LT1-R Interest.

     RESPA: The Real Estate Settlement Procedures Act, 12 U.S.C Section 2601 et
seq., and Regulation X, 24 C.F.R. Section 3500.21, thereunder, as the foregoing
may be amended from time to time.

     Responsible Officer: With respect to the Trustee or the Securities
Administrator, any officer in the corporate trust department or similar group of
the Trustee or the Securities Administrator with direct responsibility for the
administration of this Agreement and also, with respect to a particular
corporate trust matter, any other officer to whom such matter is referred
because of his or her knowledge of and familiarity with the particular subject.

     Restricted Certificate: Any Class B-1, Class B-2 or Class B-3 Certificate.

     Restricted Global Security: As defined in Section 3.01(c).

     S&P: Standard & Poor's Ratings Services, a division of The McGraw-Hill
Companies, Inc., or any successor in interest.

                                       26

<PAGE>

     SAIF: The Saving's Association Insurance Fund, or any successor thereto.

     Sarbanes-Oxley Act: means the Sarbanes-Oxley Act of 2002 and the rules and
regulations of the Commission promulgated thereunder (including any
interpretations thereof by the Commission's staff).

     Sarbanes-Oxley Certification: means a written certification signed by an
officer of the Master Servicer that complies with (i) the Sarbanes-Oxley Act,
and (ii) Exchange Act Rules 13a-14(d) and 15d-14(d), as in effect from time to
time; provided that if, after the Closing Date (a) the Sarbanes-Oxley Act is
amended, (b) the Rules referred to in clause (ii) are modified or superseded by
any subsequent statement, rule or regulation of the Commission or any statement
of a division thereof, or (c) any future releases, rules and regulations are
published by the Commission from time to time pursuant to the Sarbanes-Oxley
Act, which in any such case affects the form or substance of the required
certification and results in the required certification being, in the reasonable
judgment of the Master Servicer, materially more onerous that then form of the
required certification as of the Closing Date, the Sarbanes-Oxley Certification
shall be as agreed to by the Master Servicer and the Depositor following a
negotiation in good faith to determine how to comply with any such new
requirements

     Schedule of Exceptions: As defined in Section 2.02(a) of this Agreement.

     Scheduled Payment: The scheduled monthly payment on a Mortgage Loan due on
any Due Date allocable to principal and/or interest on such Mortgage Loan which,
unless otherwise specified in this Agreement, shall give effect to any related
Debt Service Reduction and any Deficient Valuation that affects the amount of
the monthly payment due on such Mortgage Loan.

     Securities Act: The Securities Act of 1933, as amended.

     Securities Administrator: Wells Fargo Bank, N.A. and its successors and
assigns.

     Senior Certificate: Any one of the Class I-A, Class II-A-1, Class II-A-2,
Class III-A or Class A-R Certificates.

     Senior Percentage: Except as provided in this definition, for each Mortgage
Pool with respect to any Distribution Date before June 2014, 100%.
Notwithstanding the foregoing sentence, for any Distribution Date (i) occurring
prior to the Distribution Date in June 2018 but in or after June 2010 on which
the Two Times Test is satisfied or (ii) in or after June 2018, the related
Senior Percentage for each Mortgage Pool will be the related Pro Rata Senior
Percentage. For any Distribution Date occurring prior to June 2010 on which the
Two Times Test is satisfied, the related Senior Percentage for such Mortgage
Pool will be equal to the related Pro Rata Senior Percentage plus 50% of an
amount equal to 100% minus the related Pro Rata Senior Percentage. With respect
to any Distribution Date after the related Senior Termination Date, the related
Senior Percentage will be 0%. If on any Distribution Date the allocation to the
Senior Certificates of the related Certificate Group then entitled to
distributions of principal of full and partial prepayments and other amounts in
the percentage required above would reduce the sum of the Class Principal
Amounts of those Certificates to below zero, the Senior Percentage for such
Distribution Date shall be limited to the percentage necessary to reduce such
Class Principal Amounts to zero.

     Senior Prepayment Percentage: For the Senior Certificates for any
Distribution Date and each related Certificate Group occurring in or after June
2014, will be as follows:

                                       27

<PAGE>

          (i) for any Distribution Date occurring in or after June 2014 but
     before June 2015, the related Pro Rata Senior Percentage plus 70% of the
     related Subordinate Percentage for that date;

          (ii) for any Distribution Date occurring in or after June 2015 but
     before June 2016, the related Pro Rata Senior Percentage plus 60% of the
     related Subordinate Percentage for that date;

          (iii) for any Distribution Date occurring in or after June 2016 but
     before June 2017, the related Pro Rata Senior Percentage plus 40% of the
     related Subordinate Percentage for that date;

          (iv) for any Distribution Date occurring in or after June 2017 but
     before June 2018, the related Pro Rata Senior Percentage plus 20% of the
     related Subordinate Percentage for that date; and

          (v) for any Distribution Date occurring in June 2018 or thereafter,
     the related Pro Rata Senior Percentage for that date;

     (i) provided however, that any scheduled reduction to the Senior Prepayment
Percentage for any Mortgage Pool as described above will occur unless either:
(a)(i)(x) the Stated Principal Balance of Mortgage Loans delinquent 60 days or
more (including for this purpose any such Mortgage Loans in foreclosure or
Bankruptcy and any REO Properties), averaged over the last six months, as a
percentage of the aggregate outstanding Class Principal Amount of the
Subordinate Certificates, is less than 50% or (y) the Stated Principal Balance
of Mortgage Loans delinquent 60 days or more averaged over the last six months,
as a percentage of the aggregate Stated Principal Balance of all Mortgage Loans
averaged over the last six months, does not exceed 2%, and

     (ii) Realized Losses on the Mortgage Loans to date for such Distribution
Date, if occurring during the eighth, ninth, tenth, eleventh or twelfth year (or
any year thereafter) after the Closing Date, are less than 30%, 35%, 40%, 45% or
50%, respectively, of the sum of the Class Principal Amount of the Subordinate
Certificates as of the Closing Date; or (b)(i) the Stated Principal Balance of
Mortgage Loans delinquent 60 days or more (including for this purpose any such
Mortgage Loans in foreclosure or Bankruptcy and any REO Properties), averaged
over the last six months, as a percentage of the aggregate outstanding principal
balance of all Mortgage Loans averaged over the last six months, does not exceed
4%, and (ii) Realized Losses on the Mortgage Loans to date for such Distribution
Date, if occurring during the eighth, ninth, tenth, eleventh or twelfth year (or
any year thereafter) after the Closing Date, are less than 10%, 15%, 20%, 25% or
30%, respectively, of the sum of the Class Principal Amount of the Subordinate
Certificates as of the Closing Date and (ii) that for any Distribution Date on
which the Pro Rata Senior Percentage exceeds the Pro Rata Senior Percentage as
of the Closing Date, the Senior Prepayment Percentage for all of the Mortgage
Pools shall be 100%. Notwithstanding the foregoing, upon the reduction of the
Class Principal Amount of the Senior Certificates to zero, the Senior Prepayment
Percentage will equal 0%.

     In addition, on any Distribution Date on or after the Distribution Date
occurring in June 2010, if the current weighted average of the Subordinate
Percentage of the Mortgage Pools is equal to or greater than two times the
weighted average of the Subordinate Percentage as of the Closing Date, and (a)
the Stated Principal Balance of the Mortgage Loans delinquent 60 days or more
(including for this purpose any such Mortgage Loans in foreclosure or Bankruptcy
and any

                                       28

<PAGE>

REO Properties), averaged over the last six months, as a percentage of the
Subordinate Percentage for that Distribution Date times the aggregate Stated
Principal Balance of the Mortgage Loans, does not exceed 50% and (b) cumulative
Realized Losses on the Mortgage Loans do not exceed 20% of the Subordinate
Percentage as of the Closing Date times the aggregate Stated Principal Balance
of the Mortgage Loans as of the Cut-off Date, then, in each case, the related
Senior Percentage for such Distribution Date will equal the related Senior
Prepayment Percentage (such test, the "Two Times Test").

     Senior Principal Distribution Amount: With respect to any Mortgage Pool and
Distribution Date, the sum of:

          1. the product of (a) the related Pro Rata Senior Percentage and (b)
     the principal portion of each Scheduled Payment (without giving effect to
     any Debt Service Reduction) on each Mortgage Loan in the related Mortgage
     Pool due during the related Due Period;

          2. the product of (a) the related Senior Prepayment Percentage and (b)
     each of the following amounts: (i) the principal portion of each full and
     partial principal prepayment made by a borrower on a Mortgage Loan in the
     related Mortgage Pool during the related Prepayment Period; (ii) each other
     unscheduled collection, including Insurance Proceeds and net Liquidation
     Proceeds (other than with respect to any Mortgage Loan in the related
     Mortgage Pool that was finally liquidated during the related Prepayment
     Period) representing or allocable to recoveries of principal of the related
     Mortgage Loans received during the related Prepayment Period; and (iii) the
     principal portion of the purchase price of each Mortgage Loan purchased by
     the Sponsor or any other person pursuant to the Mortgage Loan Sale and
     Assignment Agreement due to a defect in documentation or a material breach
     of a representation and warranty with respect to such Mortgage Loan or, in
     the case of a permitted substitution of a Defective Mortgage Loan, the
     amount representing any principal adjustment in connection with any such
     replaced Mortgage Loan in the related Mortgage Pool with respect to the
     related Prepayment Period;

          3. with respect to unscheduled recoveries allocable to principal of
     any Mortgage Loan in the related Mortgage Pool that was fully liquidated
     during the related Prepayment Period, the lesser of (a) the product of (i)
     the Senior Percentage for that date and (ii) the remaining Stated Principal
     Balance of the related Mortgage Loan at the time of liquidation and (b) the
     product of (i) the Senior Prepayment Percentage for that date and (ii) the
     net Liquidation Proceeds allocable to principal; and

          4. any amounts described in clauses (1) through (3) above that remain
     unpaid with respect to such Certificate Group from prior Distribution
     Dates.

     Senior Termination Date: For each Certificate Group, the Distribution Date
when the aggregate of the Class Certificate Principal Balances of that Group has
been reduced to zero.

     Servicer: PHH.

     Servicer Advance: The outstanding moneys that have been advanced by the
Servicer from its funds in connection with its servicing of a Mortgage Loan
(including, but not limited to, taxes, ground rents, assessments, insurance
premiums, release fees, foreclosure and bankruptcy fees and expenses, and other
expenses) (i) that have been made by the Servicer in accordance

                                       29

<PAGE>

with the terms and provisions of this Agreement, (ii) that are recoverable
through Liquidation Proceeds and/or Insurance Proceeds, or that are made at the
direction of the Sponsor or to preserve its security interest in the related
Mortgaged Property and (iii) for which such Servicer has a right of
reimbursement.

     Servicer Event of Default: As defined in Section 6.14(a).

     Servicer Information: As defined in Section 9.15(b).

     Servicer Remittance Date: The 18th day of each calendar month after the
initial issuance of the Certificates or, if such 18th day is not a Business Day,
the immediately preceding Business Day, commencing in June 2007.

     Servicing Criteria: The "servicing criteria" set forth in Item 1122(d) of
Regulation AB, as such may be amended from time to time.

     Servicing Fee: As to any Distribution Date and each Mortgage Loan, an
amount equal to the product of (a) one-twelfth of the Servicing Fee Rate and (b)
the outstanding principal balance of such Mortgage Loan as of the first day of
the related Due Period.

     Servicing Fee Rate: With respect to each Mortgage Loan and any Distribution
Date, 0.25% per annum.

     Servicing Function Participant: Any Sub-Servicer or Subcontractor of the
Servicer, the Custodian, the Master Servicer, the Securities Administrator and
the Trustee.

     Servicing Officer: Any officer of the Servicer involved in, or responsible
for, the administration and servicing of the Mortgage Loans whose name and
facsimile signature appear on a list of servicing officers furnished to the
Trustee by the Servicer on the Closing Date and attached hereto as Exhibit M, as
such list may from time to time be amended.

     Servicing Transfer Costs: As defined in Section 6.14(a).

     Six-Month LIBOR Loan: Each Mortgage Loan bearing a Mortgage Rate that
adjusts in accordance with LIBOR for six-month U.S. dollar deposits.

     Sponsor: Merrill Lynch Mortgage Lending, Inc., or its successor in
interest.

     Startup Day: The day designated as such pursuant to Section 10.01(b)
hereof.

     Stated Principal Balance: As to any Mortgage Loan and Due Date, the unpaid
principal balance of such Mortgage Loan as of such Due Date as specified in the
amortization schedule at the time relating thereto (before any adjustment to
such amortization schedule by reason of any moratorium or similar waiver or
grace period) after giving effect to any previous Principal Prepayments and
Liquidation Proceeds allocable to principal and to the payment of principal due
on such Due Date and irrespective of any delinquency in payment by the related
Mortgagor.

     Subcontractor: Any vendor, subcontractor or other Person that is not
responsible for the overall servicing of Mortgage Loans but performs one or more
discrete functions identified in Item 1122(d) of Regulation AB with respect to
Mortgage Loans under the direction or authority

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<PAGE>

of the Servicer (or a Sub-Servicer of the Servicer), the Master Servicer, the
Trustee, the Custodian or the Securities Administrator.

     Subordinate Certificate: Any of the Class M-1, Class M-2, Class M-3, Class
B-1, Class B-2 or Class B-3 Certificates.

     Subordinate Certificate Writedown Amount: The amount described in Section
5.03(b)(iii).

     Subordinate Class Percentage: As to any Distribution Date and any Class of
Subordinate Certificates, a fraction, expressed as a percentage, the numerator
of which is the Class Principal Amount of such Class on such date, and the
denominator of which is the aggregate Class Principal Amount of all Classes of
Subordinate Certificates on such date.

     Subordinate Net WAC: For any Distribution Date, the weighted average of the
Pool 1 Net WAC, the Pool 2 Net WAC and the Pool 3 Net WAC weighted on the basis
of the Pool Subordinate Amounts for Pool 1, Pool 2 and Pool 3, respectively, for
such Distribution Date.

     Subordinate Percentage: With respect to each Mortgage Pool and any
Distribution Date, the difference between 100% and the related Senior Percentage
for such Mortgage Pool for such Distribution Date; provided, however, that on
any Distribution Date after a Senior Termination Date has occurred with respect
to a Mortgage Pool, the Subordinate Percentage will represent the entire
interest of the Subordinate Certificates in the Mortgage Loans and will be equal
to the difference between 100% and the Senior Percentage related to the Mortgage
Loans in the aggregate for such Distribution Date.

     Subordinate Prepayment Percentage: With respect to any Distribution Date
and for any Mortgage Pool, the difference between 100% and the related Senior
Prepayment Percentage for such Mortgage Pool for that Distribution Date;
provided, however, that on any Distribution Date after a Senior Termination Date
has occurred with respect to a Mortgage Pool, the Subordinate Prepayment
Percentage will represent the entire interest of the Subordinate Certificates in
the Mortgage Loans and will be equal to the difference between 100% and the
Senior Prepayment Percentage related to the Mortgage Loans in the aggregate for
such Distribution Date.

     Subordinate Principal Distribution Amount: With respect to any Distribution
Date and each Mortgage Pool, an amount equal to the sum of:

          1. the related Subordinate Percentage of all amounts described in
     clause (a) of the definition of "Principal Distribution Amount" for that
     Distribution Date;

          2. with respect to each Mortgage Loan in the related Mortgage Pool
     that became a Liquidated Mortgage Loan during the related Prepayment Period
     the amount of the Net Liquidation Proceeds allocated to principal received
     with respect thereto remaining after application thereof pursuant to clause
     (2) of the definition of "Senior Principal Distribution Amount" for that
     Distribution Date, up to the Subordinate Percentage of the Stated Principal
     Balance of such Mortgage Loan;

          3. the related Subordinate Prepayment Percentage of all amounts
     described in clauses (b), (c), (d), (f), (g), (h) and (i) of the definition
     of "Principal Distribution Amount" for that Mortgage Pool and that
     Distribution Date; and

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<PAGE>

          4. any amounts described in clauses (1) through (3) for any previous
     Distribution Date that remain unpaid

          minus the sum of:

          5. if the aggregate Class Principal Amount of any Certificate Group
     has been reduced to zero, principal paid from the Available Distribution
     Amount from the related Mortgage Pool to the remaining Certificate Groups;
     and

          6. the amounts paid from the Available Distribution Amount for the
     Overcollateralized Senior Certificates to the Undercollateralized Senior
     Certificates.

     Subsequent Recovery: The amount, if any, recovered by the Servicer or the
Master Servicer with respect to a Liquidated Mortgage Loan with respect to which
a Realized Loss has been incurred after liquidation and disposition of such
Mortgage Loan.

     Sub-Servicer: Any Person that services Mortgage Loans on behalf of the
Servicer, and is responsible for the performance (whether directly or through
sub-servicers or Subcontractors) of servicing functions required to be performed
under this Agreement or any sub-servicing agreement that are identified in Item
1122(d) of Regulation AB.

     Substitution Amount: As defined in the second paragraph of Section 2.05(b).

     Tax Matters Person: The "tax matters person" as specified in the REMIC
Provisions which shall initially be the Holder of the Class A-R Certificate.

     Telerate Page 3750: The display currently so designated as "Page 3750" on
the Bridge Telerate Service (or such other page selected by the Securities
Administrator as may replace Page 3750 on that service for the purpose of
displaying daily comparable rates on prices).

     Transfer Agreement: The Master Mortgage Loan Purchase Agreement, dated as
of August 1, 2004, between Merrill Lynch Credit Corporation and Merrill Lynch
Mortgage Lending, Inc., as amended by Amendment Number One thereto, dated as of
September 21, 2005.

     Trust Fund: The corpus of the Issuing Entity created pursuant to this
Agreement, consisting of (i) the Mortgage Loans, including the right to all
payments of principal and interest received on or with respect to the Mortgage
Loans on and after the Cut-off Date (other than Scheduled Payments due on or
before such date), and all such payments due after such date but received prior
to such date and intended by the related Mortgagors to be applied after such
date; (ii) all of the Depositor's right, title and interest in and to all
amounts from time to time credited to and the proceeds of the Distribution
Account, any Collection Accounts, the Master Servicer Collection Account or any
Escrow Accounts established with respect to the Mortgage Loans; (iii) all of the
Depositor's rights under the Mortgage Loan Sale and Assignment Agreement and the
Transfer Agreement; (iv) all of the Depositor's right, title or interest in REO
Property and the proceeds thereof; (v) all of the Depositor's rights under any
Insurance Policies relating to the Mortgage Loans; (vi) all proceeds of the
conversion, voluntary or involuntary, of any of the foregoing into cash or other
liquid assets, including without limitation, all Insurance Proceeds, Liquidation
Proceeds and condemnation awards; and (vii) the Depositor's security interest in
any collateral pledged to secure the Mortgage Loans, including the Mortgaged
Properties and any Additional Collateral relating to the Additional Collateral
Mortgage Loans, including, but not

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<PAGE>

limited to, any pledge, control and guaranty agreements and the Limited Purpose
Surety Bond and any proceeds of the foregoing.

     Trustee: HSBC Bank USA, National Association, and any Person succeeding the
Trustee hereunder, or if any separate trustee or any co-trustee shall be
appointed as herein provided, then such separate trustee and such co-trustee, as
the case may be.

     Trustee Mortgage Files: With respect to each Mortgage Loan, the Mortgage
Documents to be retained in the custody and possession of the Trustee or its
custodian.

     Two Times Test: As defined in the definition of "Senior Prepayment
Percentage".

     UCC: The Uniform Commercial Code as enacted in the relevant jurisdiction.

     Undercollateralized Amount: As defined in Section 5.02(b)(iii).

     Undercollateralized Senior Certificates: As defined in Section
5.02(b)(iii).

     Underwriter: Merrill Lynch, Pierce, Fenner & Smith Incorporated.

     Underwriter's Exemption: Prohibited Transaction Exemption ("PTE") 90-29
(Exemption Application No. D-8019, 55 Fed. Reg. 21459 (1990)) as amended, or any
substantially similar administrative exemption granted by the U.S. Department of
Labor to the Underwriter.

     Uniform Commercial Code: The Uniform Commercial Code as in effect in any
applicable jurisdiction from time to time.

     Upper Tier REMIC: As described in the Preliminary Statement.

     Upper Tier REMIC Regular Interest: Each Class of Senior Certificates (other
than the Class A-R Certificates) and Subordinate Certificates.

     Voting Interests: The portion of the voting rights of all the Certificates
that is allocated to any Certificate for purposes of the voting provisions of
this Agreement. At all times during the term of this Agreement, 100% of all
Voting shall be allocated to the Class I-A, Class II-A-1, Class II-A-2, Class
III-A, Class M-1, Class M-2, Class M-3, Class B-1, Class B-2 and Class B-3
Certificates. Voting Interests shall be allocated among such Certificates based
on the product of (i) 100% and (ii) the fraction, expressed as a percentage, the
numerator of which is the aggregate Class Principal Amounts for each Class then
outstanding and the denominator of which is the Aggregate Stated Principal
Balance outstanding. The Class A-R Certificates shall not have any Voting
Interests. Voting Interests shall be allocated among the Certificates within
each such Class in proportion to their Certificate Principal Amounts or
Percentage Interests.

     WFB: Wells Fargo Bank, N.A. or any successor thereto.

     Section 1.02. Calculations Respecting Mortgage Loans.

     Calculations required to be made pursuant to this Agreement with respect to
any Mortgage Loan in the Trust Fund shall be made based upon current information
as to the terms of the Mortgage Loans and reports of payments received from the
Mortgagor on such Mortgage Loans and payments to be made to the Securities
Administrator as provided by the Master

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<PAGE>

Servicer (which in turn was provided such information by the Servicer pursuant
to this Agreement). The Master Servicer and the Securities Administrator shall
not be required to recompute, verify or recalculate the information supplied to
it by the Servicer or the Master Servicer, respectively.

                                  ARTICLE II.

                              DECLARATION OF TRUST;
                            ISSUANCE OF CERTIFICATES

     Section 2.01. Creation and Declaration of Trust Fund; Conveyance of
Mortgage Loans.

     (a) Concurrently with the execution and delivery of this Agreement, the
Depositor does hereby establish the Trust Fund and transfer, assign, set over,
deposit with and otherwise convey to the Trustee, without recourse, subject to
Sections 2.02 and 2.05, in trust, all the right, title and interest of the
Depositor in and to the Trust Fund. Such conveyance includes, without
limitation, (i) the Mortgage Loans, including the right to all payments of
principal and interest received on or with respect to the Mortgage Loans on and
after the Cut-off Date (other than Scheduled Payments due on or before such
date), and all such payments due after such date but received prior to such date
and intended by the related Mortgagors to be applied after such date; (ii) all
of the Depositor's right, title and interest in and to all amounts from time to
time credited to and the proceeds of the Distribution Account, any Collection
Accounts, the Master Servicer Collection Account or any Escrow Account
established with respect to the Mortgage Loans; (iii) all of the Depositor's
rights under the Mortgage Loan Sale and Assignment Agreement and the Transfer
Agreement; (iv) all of the Depositor's right, title or interest in REO Property
and the proceeds thereof; (v) all of the Depositor's rights under any Insurance
Policies relating to the Mortgage Loans; (vi) all proceeds of the conversion,
voluntary or involuntary, of any of the foregoing into cash or other liquid
assets, including, without limitation, all Insurance Proceeds, Liquidation
Proceeds and condemnation awards; and (vii) the Depositor's security interest in
any collateral pledged to secure the Mortgage Loans, including the Mortgaged
Properties and any Additional Collateral relating to the Additional Collateral
Mortgage Loans, including, but not limited to, any pledge, control and guaranty
agreements and the Limited Purpose Surety Bond and any proceeds of the
foregoing, to have and to hold, in trust; and the Trustee declares that, subject
to the review provided for in Section 2.02, it has received and shall hold the
Trust Fund, as trustee, in trust, for the benefit and use of the Holders of the
Certificates and for the purposes and subject to the terms and conditions set
forth in this Agreement, and, concurrently with such receipt, has caused to be
executed, authenticated and delivered to or upon the order of the Depositor, in
exchange for the Trust Fund, Certificates in the authorized denominations
evidencing the entire ownership of the Trust Fund. Notwithstanding anything to
the contrary in this Agreement, the Trust Fund shall not obtain title to or
beneficial ownership of any Additional Collateral as a result of or in lieu of
the disposition thereof or otherwise.

     The foregoing sale, transfer, assignment, set-over, deposit and conveyance
does not and is not intended to result in the creation or assumption by the
Trustee of any obligation of the Depositor, the Sponsor or any other Person in
connection with the Mortgage Loans or any other agreement or instrument relating
thereto except as specifically set forth therein.

     It is agreed and understood by the parties hereto that it is not intended
that any Mortgage Loan be included in the Trust Fund that is a "High-Cost Home
Loan" as defined in the New Jersey Home Ownership Act, effective November 27,
2003, the New Mexico Home Loan Protection Act, effective January 1, 2004, the
Massachusetts Predatory Home Loan Practices Act,

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<PAGE>

effective November 7, 2004, and the Indiana High Cost Home Loan Law, effective
January 1, 2005.

     In connection with such transfer and assignment of the Mortgage Loans, the
Depositor shall deliver to, and deposit with, or cause to be delivered to and
deposited with, the Trustee or its Custodian, the following documents or
instruments; provided that in Section 2.01(a)(i) below, a lost note affidavit
(including a copy of the original Mortgage Note) may be delivered in lieu of the
original Mortgage Note (each a "Trustee Mortgage File") so transferred and
assigned:

     (i) The original Mortgage Note endorsed, "Pay to the order of ___________,
     without recourse" and signed in the name of the name of last endorsee, by
     an authorized officer of the last endorsee. If the Mortgage Loan was
     acquired by the last endorsee in a merger or other type of acquisition, the
     endorsement must be by "[name of last endorsee], successor [by merger to or
     in interest to, as applicable] [name of predecessor]"; and if the Mortgage
     Loan was acquired or originated by the last endorsee while doing business
     under another name, the endorsement must be by "[name of last endorsee],
     successor in interest to [previous name]." The Mortgage Note shall include
     all intervening endorsements showing a complete chain of title from the
     originator to the last endorsee.

     (ii) The original recorded Mortgage, with evidence of recording thereon,
     or, if the original Mortgage has not yet been returned from the recording
     office, a copy of the original Mortgage certified by the previous owner to
     be a true copy of the original of the Mortgage which has been delivered for
     recording in the appropriate recording office of the jurisdiction in which
     the Mortgaged Property is located.

     (iii) The original Assignment of Mortgage, executed in blank. If the
     Mortgage Loan was acquired by the last endorsee in a merger or other type
     of acquisition, the assignment must be by "[name of last assignee],
     successor [by merger to or in interest to, as applicable] [name of
     predecessor]"; and if the Mortgage Loan was acquired or originated by the
     last endorsee while doing business under another name, the assignment must
     be by "[name of last assignee], successor in interest to [previous name]."

     (iv) The original policy of title insurance (or a preliminary title report
     if the original title insurance policy has not been received from the title
     insurance company).

     (v) Originals of any intervening assignments of the Mortgage, with evidence
     of recording thereon or, if the original intervening assignment has not yet
     been returned from the recording office, a copy of such assignment
     certified by the Depositor to be a true copy of the original of the
     assignment which has been delivered for recording in the appropriate
     recording office of the jurisdiction in which the Mortgaged Property is
     located.

     (vi) With respect to a Mortgage Loan that, according to the Mortgage Loan
     Schedule is covered by a primary mortgage insurance policy, the original or
     a copy of primary mortgage insurance certificate, if any.

     (vii) If indicated on the Mortgage Loan Schedule, originals of all
     assumption and modification agreements, if any, with originals or copies of
     the underlying instruments being modified.

     (viii) With respect to each Additional Collateral Mortgage Loan,

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<PAGE>

               A. Copy of the related Mortgage 100 Pledge Agreement for
               Securities Account or the Parent Power Guaranty and Security
               Agreement for Securities Account or the Parent Power Guaranty
               Agreement for Real Estate, as the case may be;

               B. copy of the UCC-1 (applicable for South Carolina and Rhode
               Island only);

               C. an original form UCC-3, if applicable;

               D. For loans originated by a correspondent lender, an original
               assignment of security interest of the related Mortgage 100
               Pledge Agreement or Parent Power Agreement, as the case may be.

     (ix) With respect to each Cooperative Loan:

               A. the original proprietary lease;

               B. the original recognition agreement;

               C. the original security agreement;

               D. the original or copy of the assignment of proprietary lease;

               E. the original cooperative stock certificate and stock power
               executed by borrower in blank;

               F. the original UCC-1 financing statements; and

               G. the original UCC-3 financing statements.

     (x) Power of attorney, if applicable.

     (b) The Depositor shall cause the Mortgage Notes with respect to each
Mortgage Loan to be completed either (A) in blank, without recourse, or (B)
endorsed to "HSBC Bank USA, National Association, as Trustee of the Merrill
Lynch Mortgage Investors Trust Series MLCC 2007-2, Mortgage Pass-Through
Certificates, without recourse" and the Depositor shall cause Assignments of
Mortgage with respect to each Mortgage Loan other than a Cooperative Mortgage
Loan to be completed either (A) in blank or (B) to "HSBC Bank USA, National
Association, as Trustee of the Merrill Lynch Mortgage Investors Trust Series
MLCC 2007-2, Mortgage Pass-Through Certificates," within 30 days of the Closing
Date for purpose of their recording; provided, however, that such Assignments of
Mortgage need not be recorded unless required in writing by the Rating Agencies;
provided, further, that with respect to each MERS Mortgage Loan where MERS is
not the Mortgagee of record, the original Assignment of Mortgage showing MERS as
the assignee of the Mortgage, with the evidence of recording thereon or copies
thereof certified by an officer of the Depositor to have been submitted for
recordation, shall be delivered to the Trustee, or its Custodian.

     If any Mortgage has been recorded in the name of MERS or its designee, no
Assignment of Mortgage in favor of the Trustee will be required to be prepared
or delivered and instead, the Servicer shall take all actions as are necessary
to cause the Trustee to be shown as the owner of

                                       36

<PAGE>

the related Mortgage Loan on the records of MERS for the purpose of the system
of recording transfer of beneficial ownership of mortgages maintained by MERS.

     (c) In instances where a title insurance policy is required to be delivered
to the Trustee and is not so delivered, the Depositor will provide a copy of
such title insurance policy to the Trustee, as promptly as practicable after the
execution and delivery hereof, but in any case within 270 days of the Closing
Date.

     (d) For Mortgage Loans (if any) that have been prepaid in full after the
Cut-off Date and prior to the Closing Date, the Depositor, in lieu of delivering
the above Trustee Mortgage File, shall deliver to the Trustee and the Securities
Administrator an Officer's Certificate which shall include a statement to the
effect that all amounts received in connection with such prepayment that are
required to be deposited in the Distribution Account pursuant to Section 4.01
have been so deposited. All original documents that are not delivered to the
Trustee, or its Custodian, or the Securities Administrator shall be held by the
Servicer in trust for the benefit of the Trustee, the Securities Administrator
and the Certificateholders.

     (e) Notwithstanding anything to the contrary contained herein, the parties
hereto acknowledge that the functions of the Trustee with respect to the
custody, acceptance, inspection and release of the Trustee Mortgage Files,
including but not limited to certain insurance policies and documents
contemplated by this Agreement, and preparation and delivery of the
certifications shall be performed by the Custodian pursuant to the terms and
conditions of the Custodial Agreement.

     Section 2.02. Acceptance of Trust Fund by Trustee; Review of Documentation
for Trust Fund.

     (a) The Trustee, by execution and delivery hereof, acknowledges receipt by
it of the Trustee Mortgage Files pertaining to the Mortgage Loans listed on the
Mortgage Loan Schedule, subject to review thereof as provided herein. Upon
receipt by the Trustee, or its Custodian, of each Trustee Mortgage File, the
Trustee, or its Custodian, shall review each Trustee Mortgage File in accordance
with the following review procedures:

     The Trustee, or its Custodian, shall review the documents delivered to it
     and shall deliver to the Depositor, prior to the Closing Date, a Mortgage
     Loan Schedule and Schedule of Exceptions (as defined below) with respect to
     the Mortgage Loans, and the delivery of each Mortgage Loan Schedule and
     Schedule of Exceptions by the Trustee, or its Custodian, hereunder shall be
     the Trustee's certification that such Mortgage Loans are held for the Trust
     Fund and that, as to each Mortgage Loan listed in the related Mortgage Loan
     Schedule (other than any Mortgage Loan paid in full or any Mortgage Loan
     specifically identified in such certification as not covered by the
     Schedule of Exceptions):

          (A) all documents described in Sections 2.01(a)(i) through 2.01(a)(v)
     and to the extent provided in the Trustee's Mortgage Files Sections
     2.01(a)(vi) through 2.01(a)(x), if applicable, of this Agreement are in its
     possession;

          (B) such documents have reviewed by it and appear regular on their
     face and relate to such Mortgage Loan;

          (C) based on its examination and only as to the foregoing documents,
     the information set forth in the Mortgage Loan Schedule corresponding to
     the loan number

                                       37

<PAGE>

     for the Mortgage Loan, the Mortgagor's name, including the street address
     but excluding the zip code, the Mortgage Interest Rate and the original
     principal balance of the Mortgage Loan respecting such Mortgage Loan is
     correct; and

          (D) each Mortgage Note has been endorsed and each Assignment has been
     executed as provided in Section 2.01 hereof.

     In making such verifications, the Trustee, or its Custodian, may rely
conclusively on the Mortgage Loan Schedule and the documents constituting the
Trustee Mortgage File, and the Trustee, and its Custodian, shall have no
obligation to independently verify the validity, enforceability, recordability,
sufficiency, due authorization or genuineness of any document in any Trustee
Mortgage File or any Mortgage Loan hereunder, nor the collectibility,
insurability, effectiveness or suitability of any Mortgage Loan hereunder. The
Trustee, or its Custodian, shall prepare an initial certification to be
delivered to the Depositor, the Trustee, the Sponsor and the Master Servicer on
the Closing Date in the form annexed hereto as Exhibit K (the "Initial
Certification") with respect to the Mortgage Loans (other than any Mortgage Loan
paid in full or any Mortgage Loan specifically identified on the Schedule of
Exceptions attached to the Initial Certification (the "Schedule of Exceptions")
as not covered by such Initial Certification) listed on the Mortgage Loan
Schedule. If the Trustee, or its Custodian, determines from such verification
that any discrepancy or deficiency exists with respect to a Trustee Mortgage
File, the Trustee, or its Custodian, shall note such omission, discrepancy or
deficiency on the Schedule of Exceptions attached to the Initial Certification,
and shall deliver a copy (which shall be electronic, if requested) of the
Schedule of Exceptions to the Depositor on the Closing Date. During the life of
the Mortgage Loans (while subject to this Agreement), in the event the Trustee,
or its Custodian, discovers any defect with respect to any Trustee Mortgage
File, the Trustee, or its Custodian, shall give written specification of such
defect to the Depositor. Except as specifically provided above, the Trustee, and
its Custodian, shall be under no duty to review, inspect or examine such
documents to determine that any of them are enforceable or appropriate for their
prescribed purpose.

     (b) If in the course of the review described in paragraph (a) of this
Section 2.02 the Trustee, or its Custodian, discovers any document or documents
constituting a part of a Trustee Mortgage File that is missing, does not appear
regular on its face (i.e., is mutilated, damaged, defaced, torn or otherwise
physically altered) or appears to be unrelated to the Mortgage Loans identified
in the Mortgage Loan Schedule (each, a "Material Defect"), the Trustee, or its
Custodian, upon discovering such Material Defect shall promptly identify the
Mortgage Loan to which such Material Defect relates to the Depositor, the
Sponsor and the Master Servicer. Within 90 days of its receipt of such notice
(but in no case prior to the 270th day following the Closing Date), the
Depositor shall be required to cure such Material Defect (and, in such event,
the Depositor shall provide the Trustee with an Officer's Certificate confirming
that such cure has been effected). If the Servicer or Master Servicer notifies
the Depositor and the Trustee in writing that (i) a loss has occurred and (ii)
such loss relates to a Mortgage Loan for which the Trustee, or its Custodian,
previously identified a Material Defect or for which the Servicer or Master
Servicer has identified a Material Defect and the Depositor has not cured such
Material Defect, then the Depositor shall repurchase such Mortgage Loan at the
Purchase Price therefor in the event that such loss would, if such Mortgage Loan
is not repurchased by the Depositor, constitute a Realized Loss and such loss is
attributable to the failure of the Depositor to have cured such Material Defect.
A loss shall be deemed to be attributable to the failure of the Depositor to
cure a Material Defect if, as determined by the Depositor, acting in good faith,
absent such Material Defect, such loss would not have been incurred. Within the
two-year period following the Closing Date, the Depositor may, in lieu of
repurchasing a Mortgage Loan pursuant

                                       38

<PAGE>

to this Section 2.02(b), substitute for such Mortgage Loan a Replacement
Mortgage Loan subject to the provisions of Section 2.05.

     (c) Within 270 days following the Closing Date, the Trustee or its
Custodian shall deliver to the Depositor, the Trustee, the Sponsor and the
Master Servicer, a final certification substantially in the form attached as
Exhibit L (the "Final Certification") evidencing the completeness of the Trustee
Mortgage Files in its possession or control, with any exceptions noted on the
Schedule of Exceptions attached to the Final Certification.

     (d) Nothing in this Agreement shall be construed to constitute an
assumption by the Issuing Entity, the Trustee or the Certificateholders of any
unsatisfied duty, claim or other liability on any Mortgage Loan or to any
Mortgagor.

     (e) Upon execution of this Agreement, the Depositor hereby delivers to the
Trustee and the Trustee acknowledges receipt of the Mortgage Loan Sale and
Assignment Agreement.

     Section 2.03. Representations and Warranties of the Depositor

     (a) The Depositor hereby represents and warrants to the Master Servicer,
the Servicer, the Securities Administrator and to the Trustee, for the benefit
of the Certificateholders as of the Closing Date or such other date as is
specified, that:

          (i) the Depositor is a corporation duly organized, validly existing
     and in good standing under the laws governing its creation and existence
     and has full corporate power and authority to own its property, to carry on
     its business as presently conducted, to enter into and perform its
     obligations under this Agreement, and to create the trust pursuant hereto;

          (ii) the execution and delivery by the Depositor of this Agreement
     have been duly authorized by all necessary corporate action on the part of
     the Depositor; neither the execution and delivery of this Agreement, nor
     the consummation of the transactions herein contemplated, nor compliance
     with the provisions hereof, will conflict with or result in a breach of, or
     constitute a default under, any of the provisions of any law, governmental
     rule, regulation, judgment, decree or order binding on the Depositor or its
     properties or the certificate of incorporation or bylaws of the Depositor;

          (iii) the execution, delivery and performance by the Depositor of this
     Agreement and the consummation of the transactions contemplated hereby do
     not require the consent or approval of, the giving of notice to, the
     registration with, or the taking of any other action in respect of, any
     state, federal or other governmental authority or agency, except such as
     has been obtained, given, effected or taken prior to the date hereof;

          (iv) this Agreement has been duly executed and delivered by the
     Depositor and, assuming due execution and delivery by the Trustee,
     constitutes a valid and binding obligation of the Depositor enforceable
     against it in accordance with its terms except as such enforceability may
     be subject to (A) applicable bankruptcy and insolvency laws and other
     similar laws affecting the enforcement of the rights of creditors generally
     and (B) general principles of equity regardless of whether such enforcement
     is considered in a proceeding in equity or at law;

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<PAGE>

          (v) there are no actions, suits or proceedings pending or, to the
     knowledge of the Depositor, threatened or likely to be asserted against or
     affecting the Depositor, before or by any court, administrative agency,
     arbitrator or governmental body (A) with respect to any of the transactions
     contemplated by this Agreement or (B) with respect to any other matter
     which in the judgment of the Depositor will be determined adversely to the
     Depositor and will if determined adversely to the Depositor materially and
     adversely affect it or its business, assets, operations or condition,
     financial or otherwise, or adversely affect its ability to perform its
     obligations under this Agreement;

          (vi) immediately prior to the transfer and assignment of the Mortgage
     Loans to the Trustee, the Depositor was the sole owner of record and holder
     of each Mortgage Loan, and the Depositor had good and marketable title
     thereto, and had full right to transfer and sell each Mortgage Loan to the
     Trustee free and clear, subject only to (1) liens of current real property
     taxes and assessments not yet due and payable and, if the related Mortgaged
     Property is a condominium unit, any lien for common charges permitted by
     statute, (2) covenants, conditions and restrictions, rights of way,
     easements and other matters of public record as of the date or recording of
     such Mortgage acceptable to mortgage lending institutions in the area in
     which the related Mortgaged Property is located and specifically referred
     to in the lender's title insurance policy or attorney's opinion of title
     and abstract of title delivered to the Originator of such Mortgage Loan,
     and (3) such other matters to which like properties are commonly subject
     which do not, individually or in the aggregate, materially interfere with
     the benefits of the security intended to be provided by the Mortgage, of
     any encumbrance, equity, participation interest, lien, pledge, charge,
     claim or security interest, and had full right and authority, subject to no
     interest or participation of, or agreement with, any other party, to sell
     and assign each Mortgage Loan pursuant to this Agreement;

          (vii) None of the Mortgage Loans have any marks or notations
     indicating that such Mortgage Loans have been pledged, assigned or
     otherwise conveyed to any Person other than the Trustee;

          (viii) The Depositor has received all consents and approvals required
     by the terms of the Mortgage Loans to convey the Mortgage Loans hereunder
     to the Trustee;

          (ix) As of the Closing Date, no Mortgage Loan provides for interest
     other than at either (x) a single fixed rate in effect throughout the term
     of the Mortgage Loan or (y) a single "variable rate" (within the meaning of
     Treasury Regulations Section 1.860G-1(a)(3)) in effect throughout the term
     of the Mortgage Loan;

          (x) As of the Closing Date, each Mortgage Loan is a "qualified
     mortgage" within the meaning of Section 860G of the Code (without regard to
     Treasury Regulations Section 1.860G-2(a)(3) or 1.860G-2(f) or any similar
     rule that provides that a defective obligation is a qualified mortgage for
     a temporary period);

          (xi) As of the Closing Date, no Mortgage Loan is the subject of
     pending or final foreclosure proceedings; and

          (xii) As of the Closing Date, the Depositor would not initiate
     foreclosure proceedings with respect to any Mortgage Loan based on such
     Mortgage Loan's delinquency status prior to the next scheduled payment date
     for such Mortgage Loan.

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     The foregoing representations made in this Section 2.03 and Section 9.21 by
the Depositor shall survive the termination of this Agreement and shall not be
waived by any party hereto.

     (b) The representations and warranties of the Sponsor with respect to the
Mortgage Loans contained in the Mortgage Loan Sale and Assignment Agreement were
made as of the Closing Date. To the extent that any fact, condition or event
with respect to a Mortgage Loan constitutes a breach of a representation or
warranty of the Sponsor under the Mortgage Loan Sale and Assignment Agreement,
the obligations of the Sponsor under the Mortgage Loan Sale and Assignment
Agreement shall be enforced by the Depositor against the Sponsor, as set forth
in the Mortgage Loan Sale and Assignment Agreement. The Trustee further
acknowledges that the Depositor shall have no obligation or liability with
respect to any breach of any representation or warranty with respect to the
Mortgage Loans (except as set forth in Sections 2.03(a)(vii)-(xii)) under any
circumstances.

     Section 2.04. Representations and Warranties Concerning the Master
Servicer, the Securities Administrator and the Servicer.

     (a) Wells Fargo Bank, N.A., in its capacity as Master Servicer and
Securities Administrator hereby represents and warrants to the Seller, the
Depositor, the Servicer and the Trustee as follows, as of the Closing Date:

          (i) It is a national banking association duly formed, validly existing
and in good standing under the laws of the United States of America and is duly
authorized and qualified to transact any and all business contemplated by this
Agreement to be conducted by the Master Servicer and the Securities
Administrator, to the extent necessary to ensure its ability to master service
the Mortgage Loans in accordance with the terms of this Agreement and to perform
any of its other obligations under this Agreement in accordance with the terms
hereof;

          (ii) It has the full corporate power and authority to execute, deliver
and perform, and to enter into and consummate the transactions contemplated by
this Agreement and has duly authorized by all necessary corporate action on its
part the execution, delivery and performance of this Agreement; and this
Agreement, assuming the due authorization, execution and delivery hereof by the
other parties hereto, constitutes its legal, valid and binding obligation,
enforceable against it in accordance with its terms, except that (a) the
enforceability hereof may be limited by bankruptcy, insolvency, moratorium,
receivership and other similar laws relating to creditors' rights generally and
(b) the remedy of specific performance and injunctive and other forms of
equitable relief may be subject to equitable defenses and to the discretion of
the court before which any proceeding therefor may be brought.

          (iii) The execution and delivery of this Agreement by it, the
consummation of any other of the transactions contemplated by this Agreement,
and the fulfillment of or compliance with the terms hereof are in its ordinary
course of business and will not (A) result in a material breach of any term or
provision of its charter or by-laws or (B) materially conflict with, result in a
material breach, violation or acceleration of, or result in a material default
under, the terms of any other material agreement or instrument to which it is a
party or by which it may be bound, or (C) constitute a material violation of any
statute, order or regulation applicable to it of any court, regulatory body,
administrative agency or governmental body having jurisdiction over it; and it
is not in breach or violation of any material indenture or other material
agreement or instrument, or in violation of any statute, order or regulation of
any court, regulatory body,

                                       41

<PAGE>

administrative agency or governmental body having jurisdiction over it which
breach or violation may materially impair its ability to perform or meet any of
its obligations under this Agreement.

          (iv) No litigation is pending or, to the best of its knowledge,
threatened, against it that would materially and adversely affect the execution,
delivery or enforceability of this Agreement or its ability to perform any of
its other obligations under this Agreement in accordance with the terms hereof.

          (v) No consent, approval, authorization or order of any court or
governmental agency or body is required for its execution, delivery and
performance of, or compliance with, this Agreement or the consummation of the
transactions contemplated hereby, or if any such consent, approval,
authorization or order is required, it has obtained the same.

     (b) The Servicer hereby represents, warrants, and covenants to the
Depositor, the Master Servicer, the Securities Administrator and the Trustee,
for the benefit of the Certificateholders as of the Closing Date the following:

          (i) PHH is a corporation duly organized, validly existing and in good
standing under the laws of the State of New Jersey. The Servicer has in full
force and effect (without notice of possible suspension, revocation or
impairment) all required qualifications, permits, approvals, licenses, and
registrations, or exemption therefrom, to conduct all activities in all
jurisdictions in which its activities with respect to the Mortgage Loans require
it to be qualified or licensed;

          (ii) The Servicer has all requisite corporate power, authority and
capacity to carry on its business as it is now being conducted, to execute and
deliver this Agreement, and to perform all of its obligations hereunder. The
Servicer does not believe, nor does it have any cause or reason to believe, that
it cannot perform each and every covenant contained in this Agreement;

          (iii) The execution, delivery and performance of this Agreement by the
Servicer and consummation of the transactions contemplated hereby have been duly
and validly authorized by all necessary corporate, shareholder or other action
by the Servicer; this Agreement has been duly and validly executed and delivered
by the Servicer; and this Agreement is a valid and legally binding agreement of
the Servicer, enforceable against the Servicer in accordance with its respective
terms, subject to bankruptcy, insolvency and similar laws affecting generally
the enforcement of creditors' rights and the discretion of a court to grant
specific performance of contracts;

          (iv) Neither the execution and delivery of this Agreement, nor the
consummation of the transactions contemplated hereby, nor compliance with their
respective terms and conditions shall (a) violate, conflict with, result in the
breach of, constitute a default under, be prohibited by or require any
additional approval under any terms, conditions or provisions of the Servicer's
articles of incorporation or by-laws or any other similar corporate or
organizational document of the Servicer; any mortgage, indenture, deed of trust,
loan or credit agreement or other agreement or instrument to which the Servicer
is now a party or by which it is bound; or any law, ordinance, rule, regulation,
order, judgment or decree of any governmental authority applicable to the
Servicer; or (b) result in the creation or imposition of any lien, charge or
encumbrance of any material nature upon any of the properties or assets of the
Servicer;

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<PAGE>

          (v) The Servicer holds all licenses, approvals, permits and other
authorizations, or exemptions therefrom, required under applicable law to assume
responsibility for servicing the Mortgage Loans;

          (vi) There is no litigation, claim, demand, proceeding or governmental
investigation existing or pending, or to the knowledge of the Servicer,
threatened, nor is there any order, injunction or decree outstanding against or
relating to the Servicer that could (i) have a material adverse effect upon the
performance by the Servicer of its obligations under this Agreement or (ii) to
the Servicer's knowledge, result in any material loss or liability to Depositor,
the Trustee, the Trust Fund or the Sponsor. Further, to the Servicer's
knowledge, there is no meritorious basis for any such litigation, claim, demand,
proceeding, or governmental investigation;

          (vii) The Servicer has been approved by GNMA, Fannie Mae and FHLMC and
will remain approved as an "eligible seller/servicer" of residential mortgage
loans as provided in GNMA, Fannie Mae, or FHLMC guidelines and in good standing.
The Servicer has not received any notification from GNMA, Fannie Mae or FHLMC
that the Servicer is not in compliance with the requirements of the approved
"seller/servicer" status. The Servicer is a mortgagee approved by the Secretary
of HUD pursuant to Section 203 and 211 of the National Housing Act. The Servicer
has not received any notification from HUD that the Servicer is not in
compliance with the requirements of the approved mortgagee status;

          (viii) The servicing practices to be used by the Servicer under this
Agreement are, and shall remain, in all material respects in compliance with
Accepted Servicing Practices, including without limitation, all federal, state
and local laws, rules, all regulations and requirements in connection therewith,
and Fannie Mae guidelines, as applicable;

          (ix) The Servicer has not received written notice from or on behalf of
FHA, HUD, FDIC, Fannie Mae, FHLMC or GNMA, advising the Servicer of its failure
to comply with applicable servicing or claims procedures, or resulted in a
request for repurchase of mortgage loans or indemnification in connection with
any mortgage loans;

          (x) The Servicer has in place a contingency plan that will enable it
to perform its obligations under this Agreement in all material respects, at
another location within five (5) Business Days in the event its primary location
is rendered inoperative as a result of a natural or other disaster or emergency;

          (xi) The Servicer maintains and shall maintain, in good standing, all
licenses and approvals necessary to service the Mortgage Loans and maintains and
shall at all times maintain the capital requirements imposed by the licensing or
approving entities having jurisdiction over the Servicer;

          (xii) The Servicer maintains and shall at all times maintain error and
omissions and fidelity insurance coverage of the type and in the amounts
required by Fannie Mae;

          (xiii) The Servicer has, and shall at all times maintain during the
term of this Agreement, sufficient systems, including but not limited to the
Servicer's EDP, and trained and experienced personnel in place to perform its
obligations under this Agreement;

          (xiv) For so long as, and to the extent that, the Servicer services
the Mortgage Loans, the Servicer will continue to comply with each applicable
federal, state, or local, law,

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<PAGE>

statute, and ordinance, and any rule, regulation, or order issued thereunder,
pertaining to the subject matter of this Agreement, including, but not limited
to, usury, RESPA, Consumer Credit Reporting Act, Equal Credit Opportunity Act,
Federal Deposit Insurance Corporation Improvement Act, Regulation B, Fair Credit
Reporting Act, Fair Debt Collection Practices Act, Fair Housing Act, Truth in
Lending Act and Regulation Z, Flood Disaster Protection Act of 1973, and any
applicable regulations related thereto, and such other fair housing,
anti-redlining, equal credit opportunity, truth-in-lending, real estate
settlement procedures, fair credit reporting, and every other prohibition
against unlawful discrimination in residential mortgage lending or governing
consumer credit, and all state consumer credit statutes and regulations, as
amended. In the event the Depositor or the Master Servicer has a reasonable good
faith belief in the Servicer's non-compliance with this representation and
warranty and upon the Depositor's or the Master Servicer's written request, the
Servicer shall deliver to the Depositor or the Master Servicer reasonable
evidence of compliance with any of the requirements of this representation and
warranty; and

          (xv) Neither the Servicer, its parent, nor any of its subsidiaries is
in bankruptcy, receivership or conservatorship. The Servicer has the requisite
financial resources and ability to meet its obligations under this Agreement,
including, but not limited to, any and all indemnification obligations.

     Within sixty (60) days of the earlier of either discovery by or notice to
the Servicer of any breach of a representation or warranty set forth in this
Section 2.04(b), which materially and adversely affects the ability of the
Servicer to perform its duties and obligations under this Agreement or otherwise
materially and adversely affects the value of the Mortgage Loans, the Mortgaged
Property or the priority of the security interest on such Mortgaged Property,
the Servicer shall use its best efforts promptly to cure such breach in all
material respects and, if such breach cannot be cured, the Servicer shall, at
the Master Servicer's option, assign the Servicer's rights and obligations under
this Agreement (or respecting the affected Mortgage Loans) to a successor
servicer selected by the Depositor with the prior consent and approval of the
Master Servicer. Such assignment shall be made in accordance with this Agreement

     Section 2.05. Discovery of Breach; Repurchase or Substitution of Mortgage
Loans.

     (a) Upon discovery (i) by the Depositor, the Sponsor, the Master Servicer,
the Servicer, the Securities Administrator or the Trustee of a breach of any
representation or warranty made by the Depositor under Section 2.03 which
materially adversely affects the value of a Mortgage Loan or the interest
therein of the Certificateholder (a "Defective Mortgage Loan"), or (ii) by the
Depositor, the Sponsor, the Master Servicer, the Servicer, the Securities
Administrator or the Trustee of the breach by the Sponsor of any representation
or warranty herein or under the Mortgage Loan Sale and Assignment Agreement in
respect of any Mortgage Loan, which breach results in the Mortgage Loan being a
"Defective Mortgage Loan" (each of such parties hereby agreeing to give written
notice of such breach to the Trustee and the other of such parties), the
Securities Administrator, the Trustee, or its Custodian, shall promptly notify
the Depositor and Sponsor in writing of such breach and request that the
Depositor cure or cause the Sponsor to cure such breach within ninety (90) days
from the date that the Depositor discovered or was notified of such breach, and
if the Depositor does not cure or cause the Sponsor to cure such breach in all
material respects during such period, the Trustee shall (i) in the case of an
uncured breach of a representation or warranty of the Depositor under Section
2.03, cause the Depositor to repurchase such Defective Mortgage Loan at the
Purchase Price and (ii) in the case of an uncured breach by the Sponsor under
the Mortgage Loan Sale and Assignment Agreement, cause the Depositor to enforce
the Sponsor's obligation under the Mortgage Loan Sale and Assignment

                                       44

<PAGE>

Agreement to repurchase that Defective Mortgage Loan from the Trust Fund at the
Purchase Price, in each case on or prior to the Determination Date following the
expiration of such 90-day period (subject to Section 2.05(b) below); provided,
however, that, in connection with any such breach under clause (ii) above that
could not reasonably have been cured within such 90-day period, if the Sponsor
shall have commenced to cure such breach within such 90-day period and, if the
defective Mortgage Loan qualifies as a "qualified mortgage" within the meaning
of Section 860G(a)(3) of the Code following such 90-day period, the Sponsor
shall be permitted to proceed thereafter diligently and expeditiously to cure
the same within an additional 90-day period.

     The Purchase Price for the repurchased Defective Mortgage Loan shall be
deposited in the Distribution Account, and the Trustee, or its Custodian, upon
written notice of the receipt of such deposit by the Securities Administrator
and two copies of a Request for Release with respect to such Defective Mortgage
Loan by the Trustee or its Custodian, shall release to the Sponsor or the
Depositor, as applicable, the related Trustee Mortgage File and shall execute
and deliver such instruments of transfer or assignment, in each case without
recourse, representation or warranties, as either party shall furnish to it and
as shall be necessary to vest in such party any Defective Mortgage Loan released
pursuant hereto and the Trustee, or its Custodian, shall have no further
responsibility with regard to such Trustee Mortgage File (it being understood
that the Trustee shall have no responsibility for determining the sufficiency of
such assignment for its intended purpose).

     In lieu of repurchasing any such Defective Mortgage Loan as provided above,
the Sponsor may cause such Defective Mortgage Loan to be removed from the Trust
Fund (in which case it shall become a "Deleted Mortgage Loan") and substitute
one or more Replacement Mortgage Loans in the manner and subject to the
limitations set forth in Section 2.05(b) below. It is understood and agreed that
the obligation of the Sponsor (or the Depositor, if applicable) to cure or to
repurchase (or to substitute for) any Mortgage Loan as to which a breach has
occurred and is continuing shall constitute the sole remedy against the Sponsor
(or the Depositor, if applicable) respecting such breach available to the
Trustee on behalf of the Certificateholders. With respect to the representations
and warranties that are made to the best of the Sponsor's knowledge, if it is
discovered by any of the Depositor, the Sponsor or the Trustee that the
substance of such representation and warranty is inaccurate and such inaccuracy
materially and adversely affects the value of the related Mortgage Loan, then
notwithstanding the Sponsor's lack of knowledge with respect to the substance of
such representation and warranty, such inaccuracy shall be deemed a breach of
the applicable representation or warranty.

     (b) Any substitution of Replacement Mortgage Loans for Deleted Mortgage
Loans made pursuant to Section 2.05(a) above must be effected prior to the last
Business Day that is within two years after the Closing Date. As to any Deleted
Mortgage Loan for which the Sponsor substitutes a Replacement Mortgage Loan or
Loans, such substitution shall be effected by delivering to the Trustee or its
Custodian for such Replacement Mortgage Loan or Loans, the Mortgage Note, the
Mortgage, the Assignment to the Trustee, and such other documents and
agreements, with all necessary endorsements thereon, together with an Officers'
Certificate stating that each such Replacement Mortgage Loan satisfies the
definition thereof and specifying the Substitution Amount (as described below),
if any, in connection with such substitution. The Trustee, or its Custodian,
shall acknowledge receipt for such Replacement Mortgage Loan and, within 45 days
thereafter, shall review such Mortgage Documents as specified in this Agreement
under Section 2.02(a) and deliver to the Depositor, with respect to such
Replacement Mortgage Loans, a certification substantially in the form of a
revised Initial Certification, with any exceptions noted thereon. Within one
year of the date of substitution, the Trustee, or its Custodian, shall deliver
to the Depositor a certification substantially in the form of a revised Final

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<PAGE>

Certification, with respect to such Replacement Mortgage Loans, with any
exceptions noted thereon. Monthly Payments due with respect to Replacement
Mortgage Loans in the month of substitution shall not be included as part of the
Trust Fund and shall be retained by the Sponsor. For the month of substitution,
distributions to Certificateholders shall reflect the collections and recoveries
in respect of such Deleted Mortgage Loan in the Due Period preceding the month
of substitution and the Sponsor shall thereafter be entitled to retain all
amounts subsequently received in respect of such Deleted Mortgage Loan. Upon
such substitution, such Replacement Mortgage Loan shall constitute part of the
Trust Fund and shall be subject in all respects to the terms of this Agreement
and the Mortgage Loan Sale and Assignment Agreement, including all
representations and warranties thereof included in the Mortgage Loan Sale and
Assignment Agreement, in each case as of the date of substitution.

     For any month in which the Sponsor substitutes one or more Replacement
Mortgage Loans for one or more Deleted Mortgage Loans, the Sponsor, based upon
information provided by the Servicer or Master Servicer, shall determine the
excess (each, a "Substitution Amount"), if any, by which the aggregate Purchase
Price of all such Deleted Mortgage Loans exceeds the aggregate Stated Principal
Balance of the Replacement Mortgage Loans replacing such Deleted Mortgage Loans,
together with one month's interest on such excess amount at the applicable Net
Mortgage Rate. On the date of such substitution, the Sponsor shall deliver or
cause to be delivered to the Servicer for deposit in the Collection Account an
amount equal to the related Substitution Amount, if any, and the Trustee, or its
Custodian, upon written notice of the receipt of the Substitution Amount deposit
and the related Replacement Mortgage Loan or Loans and two copies of a Request
for Release with respect to the Deleted Mortgage Loan or Loans, shall release to
the Sponsor the related Trustee Mortgage File or Files and shall execute and
deliver such instruments of transfer or assignment, in each case without
recourse, as the Sponsor shall deliver to it and as shall be necessary to vest
therein any Deleted Mortgage Loan released pursuant hereto.

     In addition, the Sponsor shall obtain at its own expense and deliver to the
Trustee an Opinion of Counsel to the effect that such substitution (either
specifically or as a class of transactions) shall not cause (a) any federal tax
to be imposed on the Trust Fund, including without limitation, any federal tax
imposed on "prohibited transactions" under Section 860F(a)(l) of the Code or on
"contributions after the startup date" under Section 860G(d)(l) of the Code, or
(b) any REMIC created hereunder to fail to qualify as a REMIC at any time that
any Certificate is outstanding. If such Opinion of Counsel can not be delivered,
then such substitution may only be effected at such time as the required Opinion
of Counsel can be given.

     (c) Upon discovery by the Sponsor, the Depositor, the Master Servicer, the
Servicer or the Trustee that any Mortgage Loan does not constitute a "qualified
mortgage" within the meaning of Section 860G(a)(3) of the Code, the party
discovering such fact shall within two (2) Business Days give written notice
thereof to the other parties. In connection therewith, the Sponsor or Depositor,
as applicable, shall repurchase, or the Sponsor, subject to the limitations set
forth in Section 2.05(b), shall substitute one or more Replacement Mortgage
Loans for the affected Mortgage Loan within ninety (90) days of the earlier of
discovery or receipt of such notice with respect to such affected Mortgage Loan.
Any such repurchase or substitution shall be made in the same manner as set
forth in Sections 2.05(a) and 2.05(b) above. The Trustee, or its Custodian,
shall re-convey to the Sponsor the Mortgage Loan to be released pursuant hereto
in the same manner, and on the same terms and conditions, as it would a Mortgage
Loan repurchased for breach of a representation or warranty.

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<PAGE>

     The Sponsor indemnifies and holds the Issuing Entity, the Trustee, the
Depositor, the Master Servicer, the Securities Administrator, the Servicer and
each Certificateholder harmless against any and all taxes, claims, losses,
penalties, fines, forfeitures, reasonable legal fees and related costs,
judgments, and any other costs, fees and expenses that the Issuing Entity, the
Trustee, the Depositor, the Master Servicer, the Securities Administrator, the
Servicer and any Certificateholder may sustain in connection with any actions of
such party relating to a repurchase of a Mortgage Loan other than in compliance
with the terms of this Section 2.05 and the Mortgage Loan Sale and Assignment
Agreement, to the extent that any such action causes (i) any federal or state
tax to be imposed on the Issuing Entity, including without limitation, any
federal tax imposed on "prohibited transactions" under Section 860F(a)(1) of the
Code or on "contributions after the startup date" under Section 860G(d)(1) of
the Code, or (ii) any REMIC formed hereby to fail to qualify as a REMIC at any
time that any Certificate is outstanding.

     (d) Notwithstanding anything to the contrary in this Agreement, the Sponsor
shall administer the Additional Collateral, it being understood and agreed that
only the Sponsor shall service and administer the related securities accounts,
lines of credit and guarantees with respect to Additional Collateral.

     Section 2.06. Grant Clause.

     (a) It is intended that the conveyance of the Depositor's right, title and
interest in and to property constituting the Trust Fund pursuant to this
Agreement shall constitute, and shall be construed as, a sale of such property
and not a grant of a security interest to secure a loan. However, if such
conveyance is deemed to be in respect of a loan, it is intended that: (1) the
rights and obligations of the parties shall be established pursuant to the terms
of this Agreement; (2) the Depositor hereby grants to the Trustee for the
benefit of the Holders of the Certificates a first priority security interest in
all of the Depositor's right, title and interest in, to and under, whether now
owned or hereafter acquired, the Trust Fund and all proceeds of any and all
property constituting the Trust Fund to secure payment of the Certificates; and
(3) this Agreement shall constitute a security agreement under applicable law.
If such conveyance is deemed to be in respect of a loan and the trust created by
this Agreement terminates prior to the satisfaction of the claims of any Person
holding any Certificate, the security interest created hereby shall continue in
full force and effect and the Trustee shall be deemed to be the collateral agent
for the benefit of such Person, and all proceeds shall be distributed as herein
provided.

     (b) The Depositor shall, to the extent consistent with this Agreement, take
such reasonable actions as may be necessary to ensure that, if this Agreement
were deemed to create a security interest in the Mortgage Loans and the other
property described above, such security interest would be deemed to be a
perfected security interest of first priority under applicable law and will be
maintained as such throughout the term of this Agreement. The Depositor will, at
its own expense, make all initial filings on or about the Closing Date and shall
forward a copy of such filing or filings to the Trustee. Without limiting the
generality of the foregoing, the Depositor shall prepare and forward for filing,
or shall cause to be forwarded for filing, at the expense of the Depositor, all
filings necessary to maintain the effectiveness of any original filings
necessary under the relevant UCC to perfect the Trustee's security interest in
or lien on the Mortgage Loans and the other property described above, including
without limitation (x) continuation statements, and (y) such other statements as
may be occasioned by (1) any change of name of Sponsor, the Depositor or the
Trustee, (2) any change of location of the place of business or the chief
executive office of the Sponsor or the Depositor, (3) any transfer of any
interest of the Depositor in any Mortgage Loan or (4) any change under the
relevant UCC or other applicable laws. The Depositor shall not organize under
the law of any jurisdiction other than the State

                                       47

<PAGE>

under which each is organized as of the Closing Date (whether changing its
jurisdiction of organization or organizing under an additional jurisdiction)
without giving 30 days prior written notice of such action to its immediate and
intermediate transferee, including the Trustee. Before effecting such change,
the Depositor proposing to change its jurisdiction of organization shall prepare
and file in the appropriate filing office any financing statements or other
statements necessary to continue the perfection of the interests of its
immediate and mediate transferees, including the Trustee, in the Mortgage Loans
and the other property described above. In connection with the transactions
contemplated by this Agreement, the Depositor authorizes its immediate or
mediate transferee to file in any filing office any initial financing
statements, any amendments to financing statements, any continuation statements,
or any other statements or filings described in this paragraph (b).

                                  ARTICLE III.

                                THE CERTIFICATES

     Section 3.01. The Certificates.

     (a) The Certificates shall be issuable in registered form only and shall be
securities governed by Article 8 of the New York Uniform Commercial Code. The
Book-Entry Certificates will be evidenced by one or more certificates,
beneficial ownership of which will be held in the dollar denominations in
Certificate Principal Amount or in the Percentage Interests specified herein.
Each Class of Book-Entry Certificates will be issued in the minimum
denominations in Certificate Principal Amount specified in the Preliminary
Statement hereto and in integral multiples of $1 in excess thereof. The Residual
Certificates shall be issued as single Certificates and maintained in
definitive, fully registered form in a denomination equal to 100% of the
Percentage Interest of each such Class.

     (b) The Certificates shall be executed by manual or facsimile signature on
behalf of the Securities Administrator by an authorized officer. Each
Certificate shall, on original issue, be authenticated by the Securities
Administrator or an Authenticating Agent upon the order of the Depositor upon
receipt by the Trustee or its Custodian of the Trustee Mortgage Files described
in Section 2.01. No Certificate shall be entitled to any benefit under this
Agreement, or be valid for any purpose, unless there appears on such Certificate
a certificate of authentication substantially in the form provided for herein,
executed by an authorized officer of the Securities Administrator or of an
Authenticating Agent, by manual signature, and such certification upon any
Certificate shall be 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. At any time and
from time to time after the execution and delivery of this Agreement, the
Depositor may deliver Certificates executed by the Securities Administrator to
the Securities Administrator or the Authenticating Agent for authentication and
the Securities Administrator or the Authenticating Agent shall authenticate and
deliver such Certificates as in this Agreement provided and not otherwise.

     (c) The Class B-1, Class B-2 and Class B-3 certificates offered and sold in
reliance on the exemption from registration under Rule 144A under the Securities
Act shall be issued initially in the form of one or more permanent global
Certificates in definitive, fully registered form without interest coupons with
the applicable legends set forth in Exhibit A added to the forms of such
Certificates (each, a "Restricted Global Security").

     Section 3.02. Registration.

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     The Securities Administrator is hereby appointed, and the Securities
Administrator hereby accepts its appointment as, initial Certificate Registrar
in respect of the Certificates and shall maintain books for the registration and
for the transfer of Certificates (the "Certificate Register"). The Securities
Administrator may appoint a bank or trust company to act as successor
Certificate Registrar. A registration book shall be maintained for the
Certificates collectively. The Certificate Registrar may resign or be discharged
or removed and a new successor may be appointed in accordance with the
procedures and requirements set forth in Sections 6.06 and 6.07 hereof with
respect to the resignation, discharge or removal of the Securities Administrator
and the appointment of a successor Securities Administrator. The Certificate
Registrar may appoint, by a written instrument delivered to the Holders, any
bank or trust company to act as co-registrar under such conditions as the
Certificate Registrar may prescribe; provided, however, that the Certificate
Registrar shall not be relieved of any of its duties or responsibilities
hereunder by reason of such appointment.

     Section 3.03. Transfer and Exchange of Certificates.

     (a) A Certificate (other than Book-Entry Certificates which shall be
subject to Section 3.09 hereof) may be transferred by the Holder thereof only
upon presentation and surrender of such Certificate at the office of the
Certificate Registrar duly endorsed or accompanied by an assignment duly
executed by such Holder or his duly authorized attorney in such form as shall be
satisfactory to the Certificate Registrar. Upon the transfer of any Certificate
in accordance with the preceding sentence, the Securities Administrator shall
execute, and the Authenticating Agent shall authenticate and deliver to the
transferee, one or more new Certificates of the same Class and evidencing, in
the aggregate, the same aggregate Certificate Principal Amount as the
Certificate being transferred. No service charge shall be made to a
Certificateholder for any registration of transfer of Certificates, but the
Certificate Registrar may require payment of a sum sufficient to cover any tax
or governmental charge that may be imposed in connection with any registration
of transfer of Certificates.

     (b) A Certificate may be exchanged by the Holder thereof for any number of
new Certificates of the same Class, in authorized denominations, representing in
the aggregate the same Certificate Principal Amount as the Certificate
surrendered, upon surrender of the Certificate to be exchanged at the office of
the Certificate Registrar duly endorsed or accompanied by a written instrument
of transfer duly executed by such Holder or his duly authorized attorney in such
form as is satisfactory to the Certificate Registrar. Certificates delivered
upon any such exchange will evidence the same obligations, and will be entitled
to the same rights and privileges, as the Certificates surrendered. No service
charge shall be made to a Certificateholder for any exchange of Certificates,
but the Certificate Registrar may require payment of a sum sufficient to cover
any tax or governmental charge that may be imposed in connection with any
exchange of Certificates. Whenever any Certificates are so surrendered for
exchange, the Securities Administrator shall execute, and the Authenticating
Agent shall authenticate, date and deliver the Certificates which the
Certificateholder making the exchange is entitled to receive.

     (c) By acceptance of a Restricted Certificate, whether upon original
issuance or subsequent transfer, each Holder of such a Certificate acknowledges
the restrictions on the transfer of such Certificate set forth thereon and
agrees that it will transfer such a Certificate only as provided herein.

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<PAGE>

     The following restrictions shall apply with respect to the transfer and
registration of transfer of a Restricted Certificate to a transferee that takes
delivery in the form of a Definitive Certificate:

          (i) The Certificate Registrar shall register the transfer of a
     Restricted Certificate if the requested transfer is (x) to the Depositor or
     an affiliate (as defined in Rule 405 under the 1933 Act) of the Depositor
     or (y) being made to a "qualified institutional buyer" (a "QIB") as defined
     in Rule 144A under the Securities Act by a transferor that has provided the
     Certificate Registrar with a certificate in the form of Exhibit G hereto;
     and

          (ii) The Certificate Registrar shall register the transfer of a
     Restricted Certificate if the requested transfer is being made to an
     "accredited investor" under Rule 501(a)(1), (2), (3) or (7) under the
     Securities Act, or to any Person all of the equity owners in which are such
     accredited investors, by a transferor who furnishes to the Certificate
     Registrar a letter of the transferee substantially in the form of Exhibit H
     hereto.

     (d) (i) No transfer of an ERISA-Restricted Certificate or a Class A-R
Certificate shall be made unless the prospective transferee provides the
Securities Administrator and the Depositor with (I) a representation as set
forth in Exhibit B or Exhibit I, as applicable, to the effect that such
transferee is not an employee benefit plan subject to Title I of ERISA, a plan
subject to Section 4975 of the Code or a plan or arrangement subject to any
provisions under any federal, state, local, non-U.S. or other laws or
regulations that are substantively similar to the foregoing provisions of ERISA
or the Code ("Similar Law") (collectively, a "Plan"), and is not directly or
indirectly acquiring such Certificate for, on behalf of or with any assets of
any such Plan, or (II) solely in the case of ERISA-Restricted Certificates, (A)
if the ERISA-Restricted Certificate has been the subject of an ERISA-Qualifying
Underwriting, a representation as set forth in Exhibit I that such transferee is
an insurance company that is acquiring the ERISA-Restricted Certificate with
assets contained in an "insurance company general account," as defined in
Section V(E) of Prohibited Transaction Class Exemption ("PTCE") 95-60, and the
acquisition and holding of the ERISA-Restricted Certificate are covered and
exempt under Sections I and III of PTCE 95-60, or (B) solely in the case of a
Definitive Certificate, an Opinion of Counsel satisfactory to the Securities
Administrator and the Depositor to the effect that the acquisition and holding
of such ERISA-Restricted Certificate will not constitute or result in a
nonexempt prohibited transaction under ERISA or the Code, or a violation of
Similar Law, and will not subject the Certificate Registrar, the Depositor, the
Master Servicer, the Securities Administrator or the Trustee to any obligation
in addition to those expressly undertaken in this Agreement, which Opinion of
Counsel shall not be an expense of the Certificate Registrar, the Depositor, the
Master Servicer, the Securities Administrator or the Trustee.

          (ii) Except in the case of a Definitive Certificate, the
     representations set forth in paragraph (i) of this Subsection 3.03(d),
     other than subparagraph (II)(B), and in Exhibit B or Exhibit I, as
     applicable, shall be deemed to have been made to the Securities
     Administrator or the Depositor by the transferee's acceptance of an
     ERISA-Restricted Certificate or a Class A-R Certificate (or the acceptance
     by a Certificate Owner of the beneficial interest in any Class of
     ERISA-Restricted Certificates or a Class A-R Certificate). Notwithstanding
     any other provision herein to the contrary, any purported transfer of an
     ERISA-Restricted Certificate or a Class A-R Certificate to or on behalf of
     a Plan without the delivery to the Securities Administrator or the
     Depositor of a representation or an Opinion of Counsel satisfactory to the
     Securities Administrator or

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<PAGE>

     the Depositor as described above shall be void and of no effect. None of
     the Certificate Registrar, the Depositor, the Master Servicer, the
     Servicer, the Trustee or the Securities Administrator shall be under any
     liability to any Person for any registration or transfer of any
     ERISA-Restricted Certificate or Class A-R Certificate that is in fact not
     permitted by this Section 3.03(d) nor shall the Paying Agent be under any
     liability for making any payments due on such Certificate to the Holder
     thereof or taking any other action with respect to such Holder under the
     provisions of this Agreement so long as the transfer was registered by the
     Certificate Registrar in accordance with the foregoing requirements. The
     Certificate Registrar, Depositor, Master Servicer, the Servicer, Securities
     Administrator, Paying Agent and/or Trustee shall be entitled, but not
     obligated, to recover from any Holder of any ERISA-Restricted Certificate
     or Class A-R Certificate that was in fact a Plan and that held such
     Certificate in violation of this Section 3.03(d) all payments made on such
     ERISA-Restricted Certificate or Class A-R Certificate at and after the time
     it commenced such holding. Any such payments so recovered shall be paid and
     delivered to the last preceding Holder of such Certificate that is not a
     Plan.

          (iii) Notwithstanding the foregoing, no representation or Opinion of
     Counsel shall be required for the initial issuance of the ERISA-Restricted
     Certificates.

     (e) As a condition of the registration of transfer or exchange of any
Certificate, the Certificate Registrar may require the certified taxpayer
identification number of the owner of the Certificate and the payment of a sum
sufficient to cover any tax or other governmental charge imposed in connection
therewith; provided, however, that the Certificate Registrar shall have no
obligation to require such payment or to determine whether or not any such tax
or charge may be applicable. No service charge shall be made to the
Certificateholder for any registration, transfer or exchange of a Certificate.

     (f) Notwithstanding anything to the contrary contained herein, no Residual
Certificate or beneficial interest therein may be owned, pledged or transferred,
directly or indirectly, by or to (i) a Disqualified Organization or (ii) an
individual, corporation or partnership or other person unless, in the case of
clause (ii), such person is (A) not a Non-U.S. Person or (B) is a Non-U.S.
Person that holds a Residual Certificate in connection with the conduct of a
trade or business within the United States and has furnished the transferor and
the Certificate Registrar with an effective Internal Revenue Service Form W-8ECI
or successor form at the time and in the manner required by the Code (any such
person who is not covered by clause (A) or (B) above is referred to herein as a
"Non-permitted Foreign Holder").

     Prior to and as a condition of the registration of any transfer, sale or
other disposition of a Residual Certificate or a beneficial interest therein,
the proposed transferee shall deliver to the Securities Administrator and the
Certificate Registrar an affidavit in substantially the form attached hereto as
Exhibit B representing and warranting, among other things, that such transferee
is neither a Disqualified Organization, an agent or nominee acting on behalf of
a Disqualified Organization, nor a Non-permitted Foreign Holder (any such
transferee, a "Permitted Transferee"), and the proposed transferor shall deliver
to the Securities Administrator and the Certificate Registrar an affidavit in
substantially the form attached hereto as Exhibit C. In addition, the Securities
Administrator or the Certificate Registrar may (but shall have no obligation to)
require, prior to and as a condition of any such transfer, the delivery by the
proposed transferee of an Opinion of Counsel, addressed to the Securities
Administrator and the Certificate Registrar, that such proposed transferee or,
if the proposed transferee is an agent or nominee, the proposed beneficial
owner, is not a Disqualified Organization, agent or nominee thereof, or a
Non-permitted Foreign Holder. Notwithstanding the registration in the
Certificate

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<PAGE>

Register of any transfer, sale, or other disposition of a Residual Certificate
to a Disqualified Organization, an agent or nominee thereof, or Non-permitted
Foreign Holder, such registration shall be deemed to be of no legal force or
effect whatsoever and such Disqualified Organization, agent or nominee thereof,
or Non-permitted Foreign Holder shall not be deemed to be a Certificateholder
for any purpose hereunder, including, but not limited to, the receipt of
distributions on such Residual Certificate. The Depositor, the Certificate
Registrar, the Securities Administrator and the Trustee shall be under no
liability to any Person for any registration or transfer of a Residual
Certificate to a Disqualified Organization, agent or nominee thereof or
Non-permitted Foreign Holder or for the Paying Agent making any payments due on
such Residual Certificate to the Holder thereof or for taking any other action
with respect to such Holder under the provisions of the Agreement, so long as
the transfer was effected in accordance with this Section 3.03(f), unless the
Certificate Registrar shall have actual knowledge at the time of such transfer
or the time of such payment or other action that the transferee is a
Disqualified Organization, or an agent or nominee thereof, or Non-permitted
Foreign Holder. The Certificate Registrar shall be entitled to recover from any
Holder of a Residual Certificate that was a Disqualified Organization, agent or
nominee thereof, or Non-permitted Foreign Holder at the time it became a Holder
or at any subsequent time became a Disqualified Organization, agent or nominee
thereof, or Non-permitted Foreign Holder, all payments made on such Residual
Certificate at and after either of such times (and all costs and expenses,
including but not limited to attorneys' fees, incurred in connection therewith).
Any payment (not including any such costs and expenses) so recovered by the
Certificate Registrar shall be paid and delivered to the last preceding Holder
of such Residual Certificate.

     If any purported transferee shall become a registered Holder of a Residual
Certificate in violation of the provisions of this Section 3.03(f), then upon
receipt of written notice to the Securities Administrator that the registration
of transfer of such Residual Certificate was not in fact permitted by this
Section 3.03(f), such transfer shall be absolutely null and void and shall vest
no rights in the purported transferee and the last preceding Permitted
Transferee shall be restored to all rights as Holder thereof retroactive to the
date of such registration of transfer of such Residual Certificate. The
Depositor, the Certificate Registrar, the Securities Administrator and the
Trustee shall be under no liability to any Person for any registration of
transfer of a Residual Certificate that is in fact not permitted by this Section
3.03(f), or for the Paying Agent making any payment due on such Certificate to
the registered Holder thereof or for taking any other action with respect to
such Holder under the provisions of this Agreement so long as the transfer was
registered upon receipt of the affidavit described in the preceding paragraph of
this Section 3.03(f).

     (g) Each Holder or Certificate Owner of a Restricted Certificate,
ERISA-Restricted Certificate or Residual Certificate, or an interest therein, by
such Holder's or Owner's acceptance thereof, shall be deemed for all purposes to
have consented to the provisions of this section.

     Section 3.04. Cancellation of Certificates.

     Any Certificate surrendered for registration of transfer or exchange shall
be cancelled and retained in accordance with normal retention policies with
respect to cancelled certificates maintained by the Securities Administrator or
the Certificate Registrar.

     Section 3.05. Replacement of Certificates.

     If (i) any Certificate is mutilated and is surrendered to the Securities
Administrator or the Certificate Registrar or (ii) the Securities Administrator
or the Certificate Registrar receives

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<PAGE>

evidence to its satisfaction of the destruction, loss or theft of any
Certificate, and there is delivered to the Securities Administrator and the
Certificate Registrar such security or indemnity as may be required by them to
save each of them harmless, then, in the absence of notice to the Depositor, the
Securities Administrator or the Certificate Registrar that such destroyed, lost
or stolen Certificate has been acquired by a protected purchaser, the Securities
Administrator shall execute and the Authenticating Agent shall authenticate and
deliver, in exchange for or in lieu of any such mutilated, destroyed, lost or
stolen Certificate, a new Certificate of like tenor and Certificate Principal
Amount. Upon the issuance of any new Certificate under this Section 3.05, the
Securities Administrator, the Depositor or the Certificate Registrar may require
the payment of a sum sufficient to cover any tax or other governmental charge
that may be imposed in relation thereto and any other expenses (including the
fees and expenses of the Securities Administrator, the Depositor or the
Certificate Registrar) connected therewith. Any replacement Certificate issued
pursuant to this Section 3.05 shall constitute complete and indefeasible
evidence of ownership in the applicable Trust Fund, as if originally issued,
whether or not the lost, stolen or destroyed Certificate shall be found at any
time.

     If after the delivery of such new Certificate, a protected purchaser of the
original Certificate in lieu of which such new Certificate was issued presents
for payment such original Certificate, the Depositor, the Certificate Registrar
and the Securities Administrator or any agent shall be entitled to recover such
new Certificate from the Person to whom it was delivered or any Person taking
therefrom, except a protected purchaser, and shall be entitled to recover upon
the security or indemnity provided therefor to the extent of any loss, damage,
cost or expenses incurred by the Depositor, the Certificate Registrar, the
Securities Administrator or any agent in connection therewith.

     Section 3.06. Persons Deemed Owners.

     Subject to the provisions of Section 3.09 with respect to Book-Entry
Certificates, the Depositor, the Securities Administrator, the Certificate
Registrar, the Paying Agent and any agent of any of them shall treat the Person
in whose name any Certificate is registered upon the books of the Certificate
Registrar as the owner of such Certificate for the purpose of receiving
distributions pursuant to Sections 5.01 and 5.02 and for all other purposes
whatsoever, and neither the Depositor, the Securities Administrator, the
Certificate Registrar, the Paying Agent nor any agent of any of them shall be
affected by notice to the contrary.

     Section 3.07. Temporary Certificates.

     (a) Pending the preparation of definitive Certificates, upon the order of
the Depositor, the Securities Administrator shall execute and the Authenticating
Agent shall authenticate and deliver temporary Certificates that are printed,
lithographed, typewritten, mimeographed or otherwise produced, in any authorized
denomination, substantially of the tenor of the definitive Certificates in lieu
of which they are issued and with such variations as the authorized officers
executing such Certificates may determine, as evidenced by their execution of
such Certificates.

     (b) If temporary Certificates are issued, the Depositor will cause
definitive Certificates to be prepared without unreasonable delay. After the
preparation of definitive Certificates, the temporary Certificates shall be
exchangeable for definitive Certificates upon surrender of the temporary
Certificates at the office or agency of the Certificate Registrar without charge
to the Holder. Upon surrender for cancellation of any one or more temporary
Certificates, the Securities Administrator shall execute and the Authenticating
Agent shall authenticate and deliver in exchange therefor a like aggregate
Certificate Principal Amount of definitive Certificates of the

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<PAGE>

same Class in the authorized denominations. Until so exchanged, the temporary
Certificates shall in all respects be entitled to the same benefits under this
Agreement as definitive Certificates of the same Class.

     Section 3.08. Appointment of Paying Agent.

     The Securities Administrator may appoint a Paying Agent (which may be the
Securities Administrator) for the purpose of making distributions to
Certificateholders hereunder. The Securities Administrator shall cause any
Paying Agent to execute and deliver to the Securities Administrator an
instrument in which such Paying Agent shall agree with the Securities
Administrator that such Paying Agent will hold all sums held by it for the
payment to Certificateholders in an Eligible Account (which shall be the
Distribution Account) in trust for the benefit of the Certificateholders
entitled thereto until such sums shall be paid to the Certificateholders. All
funds remitted by the Securities Administrator to any such Paying Agent for the
purpose of making distributions shall be paid to Certificateholders on each
Distribution Date and any amounts not so paid shall be returned on such
Distribution Date to the Securities Administrator. If the Paying Agent is not
the Securities Administrator, the Securities Administrator shall cause to be
remitted to the Paying Agent on or before the Business Day prior to each
Distribution Date, by wire transfer in immediately available funds, the funds to
be distributed on such Distribution Date. Any Paying Agent shall be either a
bank or trust company or otherwise authorized under law to exercise corporate
trust powers.

     Section 3.09. Book-Entry Certificates.

     (a) Each Class of Book-Entry Certificates, upon original issuance, shall be
issued in the form of one or more typewritten Certificates representing the
Book-Entry Certificates. The Book-Entry Certificates shall initially be
registered on the Certificate Register in the name of the nominee of the
Clearing Agency, and no Certificate Owner will receive a definitive certificate
representing such Certificate Owner's interest in the Book-Entry Certificates,
except as provided in Section 3.09(c). Unless Definitive Certificates have been
issued to Certificate Owners of Book-Entry Certificates pursuant to Section
3.09(c):

          (i) the provisions of this Section 3.09 shall be in full force and
     effect;

          (ii) the Certificate Registrar, the Paying Agent and the Securities
     Administrator shall deal with the Clearing Agency for all purposes
     (including the making of distributions on the Book-Entry Certificates) as
     the authorized representatives of the Certificate Owners and the Clearing
     Agency and shall be responsible for crediting the amount of such
     distributions to the accounts of such Persons entitled thereto, in
     accordance with the Clearing Agency's normal procedures;

          (iii) to the extent that the provisions of this Section 3.09 conflict
     with any other provisions of this Agreement, the provisions of this Section
     3.09 shall control; and

          (iv) the rights of Certificate Owners shall be exercised only through
     the Clearing Agency and the Clearing Agency Participants and shall be
     limited to those established by law and agreements between such Certificate
     Owners and the Clearing Agency and/or the Clearing Agency Participants.
     Unless and until Definitive Certificates are issued pursuant to Section
     3.09(c), the initial Clearing Agency will make book-entry transfers among
     the Clearing Agency Participants and receive and transmit distributions

                                       54

<PAGE>

     of principal of and interest on the Book-Entry Certificates to such
     Clearing Agency Participants.

     (b) Whenever notice or other communication to the Certificateholders is
required under this Agreement, unless and until Definitive Certificates shall
have been issued to Certificate Owners pursuant to Section 3.09(c), the
Securities Administrator shall give all such notices and communications
specified herein to be given to Holders of the Book-Entry Certificates to the
Clearing Agency.

     (c) If (i) (A) the Clearing Agency or the Depositor advises the Paying
Agent in writing that the Clearing Agency is no longer willing or able to
discharge properly its responsibilities with respect to the Book-Entry
Certificates, and (B) the Depositor is unable to locate a qualified successor
satisfactory to the Depositor and the Paying Agent, (ii) the Depositor, at its
option, advises the Paying Agent in writing that it elects to terminate the
book-entry system through the Clearing Agency or (iii) after the occurrence of a
Servicer Event of Default or a Master Servicer Event of Default, Certificate
Owners representing beneficial interests aggregating not less than 50% of the
Class Principal Amount of a Class of Book-Entry Certificates advise the Paying
Agent and the Clearing Agency through the Clearing Agency Participants in
writing that the continuation of a book-entry system through the Clearing Agency
is no longer in the best interests of the Certificate Owners of a Class of
Book-Entry Certificates, the Certificate Registrar shall notify the Clearing
Agency to effect notification to all Certificate Owners, through the Clearing
Agency, of the occurrence of any such event and of the availability of
Definitive Certificates to Certificate Owners requesting the same. Upon
surrender to the Certificate Registrar of the Book-Entry Certificates by the
Clearing Agency, accompanied by registration instructions from the Clearing
Agency for registration, the Certificate Registrar shall issue the Definitive
Certificates. None of the Depositor, the Certificate Registrar or the Securities
Administrator 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 all references herein
to obligations imposed upon or to be performed by the Clearing Agency shall be
deemed to be imposed upon and performed by the Certificate Registrar, to the
extent applicable, with respect to such Definitive Certificates and the
Certificate Registrar shall recognize the holders of the Definitive Certificates
as Certificateholders hereunder. Notwithstanding the foregoing, the Certificate
Registrar, upon the instruction of the Depositor, shall have the right to issue
Definitive Certificates on the Closing Date in connection with credit
enhancement programs.

                                  ARTICLE IV.

                      ADMINISTRATION OF THE ISSUING ENTITY

     Section 4.01. Collection Accounts; Master Servicer Collection Account;
Distribution Account.

     (a) On or prior to the Closing Date, the Servicer shall establish and
maintain one or more Collection Accounts, as provided herein, into which the
Servicer shall deposit daily, within two (2) Business Days of receipt thereof,
in immediately available funds, any Scheduled Payments and unscheduled payments
with respect to the Mortgage Loans, net of any deductions or reimbursements
permitted under this Agreement. Prior to 1:00 p.m. New York City time on the
Servicer Remittance Date, the Servicer shall remit to the Master Servicer for
deposit into the Master Servicer Collection Account, all amounts so required to
be deposited into such account in accordance with the terms of this Agreement.

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<PAGE>

     (b) Funds in the Collection Accounts may be invested in Permitted
Investments selected by the Servicer, which shall mature not later than one (1)
Business Day prior to the Servicer Remittance Date (except that if such
Permitted Investment is an obligation of the Servicer or is managed or advised
by the Servicer or their affiliates, then such Permitted Investment shall mature
not later than such applicable Servicer Remittance Date) and any such Permitted
Investment shall not be sold or disposed of prior to its maturity. All such
Permitted Investments shall be made in the name of the Servicer (in its capacity
as such) or its nominee. All income and gain realized from any Permitted
Investment shall be for the benefit of the Servicer as servicing compensation
and shall be subject to its withdrawal or order from time to time, and shall not
be part of the Trust Fund. The amount of any losses incurred in respect of any
such investments shall be deposited in the Collection Accounts by the Servicer
out of its own funds, without any right of reimbursement therefor, immediately
as realized. Any such funds that are not invested in Permitted Investments may
be held uninvested.

     (c) On or prior to the Closing Date, the Master Servicer shall establish
and maintain the Master Servicer Collection Account, as provided herein, into
which the Master Servicer shall deposit in immediately available funds, (i) the
aggregate of collections with respect to the Mortgage Loans, including the
amount of any Advances or Compensating Interest Payments with respect to the
Mortgage Loans required to be paid by the Servicer under this Agreement and (ii)
any other amounts so required to be deposited in the related Due Period pursuant
to this Agreement, remitted to the Master Servicer from the Servicer, net of any
deductions or reimbursements permitted under this Agreement. Prior to 1:00 p.m.
New York City time on each Distribution Account Deposit Date, the Master
Servicer shall remit to the Securities Administrator for deposit into the
Distribution Account, all amounts so required to be deposited into such account
in accordance with the terms of this Agreement.

     (d) Funds in the Master Servicer Collection Accounts may be invested in
Permitted Investments selected by the Master Servicer, which shall mature not
later than one Business Day prior to the Distribution Account Deposit Date
(except that if such Permitted Investment is an obligation of the Master
Servicer or is managed or advised by the Master Servicer or its affiliates, then
such Permitted Investment shall mature not later than such applicable
Distribution Account Deposit Date) and any such Permitted Investment shall not
be sold or disposed of prior to its maturity. All such Permitted Investments
shall be made in the name of the Master Servicer (in its capacity as such) or
its nominee. All income and gain realized from any Permitted Investment shall be
for the benefit of the Master Servicer, as master servicing compensation, and
shall be subject to its withdrawal or order from time to time, and shall not be
part of the Trust Fund. The amount of any losses incurred in respect of any such
investments shall be deposited in the Master Servicer Collection Account by the
Master Servicer out of its own funds, without any right of reimbursement
therefor, immediately as realized. Any such funds that are not invested in
Permitted Investments may be held uninvested. The Master Servicer Collection
Account shall be a sub-account of the Distribution Account.

     (e) The Securities Administrator, shall establish and maintain an Eligible
Account entitled "Wells Fargo Bank, N.A., as Securities Administrator for HSBC
Bank USA, National Association, as Trustee f/b/o holders of Merrill Lynch
Mortgage Investors, Inc., Mortgage Pass-Through Certificates, MLCC Series 2007-2
- Distribution Account." The Securities Administrator shall, promptly upon
receipt from the Master Servicer on each Distribution Account Deposit Date,
deposit into the Distribution Account and retain on deposit until the related
Distribution Date the following amounts:

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<PAGE>

          (i) the aggregate of collections with respect to the Mortgage Loans
     remitted by the Servicer from the related Collection Accounts to the Master
     Servicer Collection Account (pursuant to this Agreement) and by the Master
     Servicer from the Master Servicer Collection Account in accordance with
     this Agreement, including the amount of any Advances or Compensating
     Interest Payments with respect to the Mortgage Loans required to be paid by
     the Servicer or the Master Servicer; and

          (ii) any other amounts so required to be deposited in the Distribution
     Account in the related Due Period pursuant to this Agreement.

     (f) In the event that the Servicer has remitted in error to the Master
Servicer Collection Account any amount not required to be remitted in accordance
with the definition of Available Distribution Amount, it may at any time direct
the Master Servicer to withdraw such amount from the Master Servicer Collection
Account for repayment to the Servicer, as applicable, by delivery of an
Officer's Certificate of the Servicer to the Master Servicer which describes the
amount deposited in error. In the event the Master Servicer has remitted in
error to the Distribution Account any amount not required to be remitted in
accordance with the definition of Available Distribution Amount, it may at any
time direct the Securities Administrator to withdraw such amount from the
Distribution Account for repayment to the Master Servicer, as applicable, by
delivery of an Officer's Certificate of the Master Servicer to the Securities
Administrator which describes the amount deposited in error.

     (g) On each Distribution Date and Purchase Date, the Securities
Administrator shall distribute the Available Distribution Amount to the
Certificateholders and any other parties entitled thereto in the amounts and
priorities set forth in Section 5.02. The Securities Administrator may from time
to time withdraw from the Distribution Account and pay itself, the Master
Servicer or the Servicer any amounts permitted to be paid or reimbursed to such
Person from funds in the Distribution Account pursuant to the clauses (A)
through (D) of the definition of Available Distribution Amount.

     (h) Funds in the Distribution Account may be invested in Permitted
Investments selected by the Securities Administrator, which shall mature not
later than one Business Day prior to the Distribution Date (except that if such
Permitted Investment is an obligation of the Securities Administrator or is
managed or advised by the Securities Administrator or its affiliates, then such
Permitted Investment shall mature not later than such applicable Distribution
Date) and any such Permitted Investment shall not be sold or disposed of prior
to its maturity. All such Permitted Investments shall be made in the name of the
Securities Administrator (in its capacity as such) or its nominee. All income
and gain realized from any Permitted Investment shall be for the benefit of the
Securities Administrator and shall be subject to its withdrawal or order from
time to time, and shall not be part of the Trust Fund. The amount of any losses
incurred in respect of any such investments shall be deposited in such
Distribution Account by the Securities Administrator out of its own funds,
without any right of reimbursement therefor, immediately as realized. Any such
funds that are not invested in Permitted Investments may be held uninvested.

     Section 4.02. Permitted Withdrawals from the Master Servicer Collection
Account and the Distribution Account.

     (a) (i) The Master Servicer will, from time to time on demand of the Master
Servicer, the Trustee or the Securities Administrator, make or cause to be made
such withdrawals or transfers from the Master Servicer Collection Account as the
Master Servicer has designated for such transfer or withdrawal pursuant to this
Agreement. The Master Servicer may clear and

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terminate the Master Servicer Collection Account pursuant to Section 9A.04 and
remove amounts from time to time deposited in error.

          (ii) On an ongoing basis, the Master Servicer shall withdraw from the
Master Servicer Collection Account (x) any expenses recoverable by the Trustee,
the Master Servicer or the Securities Administrator pursuant to this Agreement,
including but not limited to Sections 2.01(a), 9A.02, 9A.07 and 6.12 and (y) any
amounts payable to the Master Servicer.

          (iii) In addition, on or before each Distribution Account Deposit
Date, the Master Servicer shall deposit in the Distribution Account (or remit to
the Securities Administrator for deposit therein) any Monthly Advances required
to be made by the Master Servicer with respect to the Mortgage Loans.

          (iv) No later than 3:00 p.m. New York time on each Distribution
Account Deposit Date, the Master Servicer will transfer all Available Funds on
deposit in the Master Servicer Collection Account with respect to the related
Distribution Date to the Securities Administrator for deposit in the
Distribution Account.

     (b) The Securities Administrator will, from time to time on demand of the
Master Servicer, make or cause to be made such withdrawals or transfers from the
Distribution Account as the Master Servicer has designated for such transfer or
withdrawal pursuant to this Agreement for the following purposes (limited in the
case of amounts due the Master Servicer to those not withdrawn from the Master
Servicer Collection Account in accordance with the terms of this Agreement):

          (i) to reimburse the Master Servicer or the Servicer for any Monthly
Advance of its own funds or any advance of such Servicer's own funds, the right
of the Master Servicer or the Servicer to reimbursement pursuant to this
subclause (i) being limited to amounts received on a particular Mortgage Loan
(including, for this purpose, the Purchase Price therefor, Insurance Proceeds
and Liquidation Proceeds) which represent late payments or recoveries of the
principal of or interest on such Mortgage Loan respecting which such Monthly
Advance or advance was made;

          (ii) to reimburse the Master Servicer or the Servicer from Insurance
Proceeds or Liquidation Proceeds relating to a particular Mortgage Loan for
amounts expended by the Master Servicer or such Servicer in good faith as a
Servicing Advance in connection with the restoration of the related Mortgaged
Property which was damaged by an Uninsured Cause or in connection with the
liquidation of such Mortgage Loan;

          (iii) to reimburse the Master Servicer or the Servicer from Insurance
Proceeds relating to a particular Mortgage Loan for insured expenses incurred
with respect to such Mortgage Loan and to reimburse the Master Servicer or such
Servicer from Liquidation Proceeds from a particular Mortgage Loan for
Liquidation Expenses incurred with respect to such Mortgage Loan; provided that
the Master Servicer shall not be entitled to reimbursement for Liquidation
Expenses with respect to a Mortgage Loan to the extent that (i) any amounts with
respect to such Mortgage Loan were paid as Excess Liquidation Proceeds pursuant
to clause (xi) of this Subsection 4.02(b) to the Master Servicer; and (ii) such
Liquidation Expenses were not included in the computation of such Excess
Liquidation Proceeds;

          (iv) to pay the Master Servicer or the Servicer, as appropriate, from
Liquidation Proceeds or Insurance Proceeds received in connection with the
liquidation of any

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Mortgage Loan, the amount which it or such Servicer would have been entitled to
receive under subclause (ix) of this Subsection 4.02(b) as servicing
compensation on account of each defaulted scheduled payment on such Mortgage
Loan if paid in a timely manner by the related Mortgagor;

          (v) to pay the Master Servicer or the Servicer from the Purchase Price
for any Mortgage Loan, the amount which it or such Servicer would have been
entitled to receive under subclause (ix) of this Subsection 4.02(b) as servicing
compensation;

          (vi) to reimburse the Master Servicer or the Servicer for advances of
funds pursuant to Section 5.04, and the right to reimbursement pursuant to this
subclause being limited to amounts received on the related Mortgage Loan
(including, for this purpose, the Purchase Price therefor, Insurance Proceeds
and Liquidation Proceeds) which represent late recoveries of the payments for
which such advances were made;

          (vii) to reimburse the Master Servicer or the Servicer for any Monthly
Advance or advance, after a Realized Loss has been allocated with respect to the
related Mortgage Loan if the Monthly Advance or advance has not been reimbursed
pursuant to clauses (i) and (vi);

          (viii) to pay the Master Servicer as set forth in Section 9A.11;

          (ix) to reimburse the Master Servicer for expenses, costs and
liabilities incurred by and reimbursable to it pursuant to this Agreement,
including but not limited to Sections 9A.02, 9A.07(c) and (d);

          (x) to pay to the Master Servicer, as additional servicing
compensation, any Excess Liquidation Proceeds to the extent not retained by the
Servicer;

          (xi) to reimburse or pay the Servicer any such amounts as are due
thereto under this Agreement and have not been retained by or paid to the
Servicer, to the extent provided in this Agreement;

          (xii) to reimburse the Trustee or the Securities Administrator for
expenses, costs and liabilities incurred by or reimbursable to it pursuant to
this Agreement;

          (xiii) to remove amounts deposited in error; and

          (xiv) to clear and terminate the Distribution Account pursuant to
Section 6.01.

     (c) The Master Servicer shall keep and maintain separate accounting, on a
Mortgage Loan by Mortgage Loan basis, for the purpose of accounting for any
reimbursement from the Distribution Account pursuant to subclauses (i) through
(vi), inclusive, and (viii) or with respect to any such amounts which would have
been covered by such subclauses had the amounts not been retained by the Master
Servicer without being deposited in the Distribution Account under Section
4.01(c).

     (d) On each Distribution Date, the Securities Administrator shall
distribute the Available Funds for each Mortgage Pool to the Holders of the
Certificates in accordance with Section 6.01.

          Section 4.03. Reports to Certificateholders.

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     On each Distribution Date, the Securities Administrator shall have prepared
and shall make available to each Certificateholder and other interested parties
a written report setting forth the following information (based solely on the
report provided to the Securities Administrator by the Master Servicer (which in
turn shall be based on information provided to the Master Servicer by the
Servicer) pursuant to Section 9.18).

          (i) the amount of the distributions, separately identified, with
     respect to each Class of Certificates;

          (ii) the amount of the distributions set forth in the clause (i)
     allocable to principal, separately identifying the aggregate amount of any
     Principal Prepayments or other unscheduled recoveries of principal included
     in that amount;

          (iii) the amount of the distributions set forth in the clause (i)
     allocable to interest and how it was calculated;

          (iv) the amount of any unpaid Interest Shortfall and the related
     accrued interest thereon, with respect to each Class of Certificates;

          (v) the Class Principal Amount of each Class of Certificates after
     giving effect to the distribution of principal on that Distribution Date;

          (vi) the Aggregate Stated Principal Balance of the Mortgage Loans in
     each Mortgage Pool and the applicable Net WAC of the Mortgage Loans at the
     end of the related Prepayment Period;

          (vii) the Stated Principal Balance of the Mortgage Loans in each
     Mortgage Pool whose Mortgage Rates adjust on the basis of the One-Year
     LIBOR index and the Six-Month LIBOR index at the end of the related
     Prepayment Period;

          (viii) the Pro Rata Senior Percentage, Senior Percentage and the
     Subordinate Percentage for each Mortgage Pool for the following
     Distribution Date;

          (ix) the Senior Prepayment Percentage and Subordinate Prepayment
     Percentage for each Mortgage Pool the following Distribution Date;

          (x) in the aggregate and with respect to each Mortgage Pool, the
     amount of any Servicing Fee paid to or retained by the Servicer for the
     related Due Period;

          (xi) in the aggregate and with respect to each Mortgage Pool, the
     amount of Advances for the related Due Period;

          (xii) in the aggregate and with respect to each Mortgage Pool, the
     number and Stated Principal Balance of the Mortgage Loans that were (A)
     Delinquent (exclusive of Mortgage Loans in foreclosure) (1) 30 to 59 days,
     (2) 60 to 89 days and (3) 90 or more days, (B) in foreclosure and
     Delinquent (1) 30 to 59 days, (2) 60 to 89 days and (3) 90 or more days and
     (C) in bankruptcy as of the close of business on the last day of the
     calendar month preceding that Distribution Date as determined in accordance
     with the MBA methodology for determining delinquencies;

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          (xiii) in the aggregate and with respect to each Mortgage Pool, for
     any Mortgage Loan as to which the related Mortgaged Property was an REO
     property during the preceding calendar month, the principal balance of that
     Mortgage Loan as of the close of business on the last day of the related
     Due Period;

          (xiv) in the aggregate and with respect to each Mortgage Pool, the
     total number and principal balance of any REO properties as of the close of
     business on the last day of the preceding Due Period;

          (xv) in the aggregate and with respect to each Mortgage Pool, the
     amount of Realized Losses incurred during the preceding calendar month;

          (xvi) in the aggregate and with respect to each Mortgage Pool, the
     cumulative amount of Realized Losses incurred since the Closing Date;

          (xvii) the Realized Losses, if any, allocated to each Class of
     Certificates on that Distribution Date;

          (xviii) the Certificate Interest Rate for each Class of Certificates
     for that Distribution Date; and

          (xix) the amount of any Compensating Interest Payments, if any,
     allocated to each Class of Certificates on that Distribution Date.

     The Securities Administrator shall make such reports available each month
via its website at http://www.ctslink.com. Assistance in using the website may
be obtained by calling the Securities Administrator's customer service desk at
(301) 815-6600. Certificateholders and other parties that are unable to use the
website are entitled to have a paper copy mailed to them via first class mail by
contacting the Securities Administrator and indicating such. In preparing or
furnishing the foregoing information, the Securities Administrator shall be
entitled to rely conclusively on the accuracy of the information or data
regarding the Mortgage Loans and the related REO Properties that has been
provided to the Securities Administrator by the Master Servicer (which in turn
was based on information or data provided to the Master Servicer by the
Servicer), and the Securities Administrator shall not be obligated to verify,
recompute, reconcile or recalculate any such information or data.

     Upon receipt by the Securities Administrator of the reasonable advance
written request of any Certificateholder that is a savings and loan, bank or
insurance company, the Securities Administrator shall provide, or cause to be
provided (or, to the extent that such information or documentation is not
required to be provided by the Servicer or by the Master Servicer under this
Agreement, shall use reasonable efforts to obtain such information and
documentation from the Master Servicer (who shall use reasonable efforts to
obtain such information and documentation from the Servicer), and provide) to
such Certificateholders such reports and access to information and documentation
regarding the Mortgage Loans as such Certificateholders may reasonably deem
necessary to comply with applicable regulations of the Office of Thrift
Supervision or its successor or other regulatory authorities with respect to an
investment in the Certificates; provided, however, that the Securities
Administrator shall be entitled to be reimbursed by such Certificateholders for
the Securities Administrator's actual expenses incurred in providing such
reports and access.

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     The Securities Administrator shall prepare and file with the Internal
Revenue Service ("IRS"), on behalf of each REMIC, an application for an employer
identification number on IRS Form SS-4 or by any other acceptable method. The
Securities Administrator shall also file a Form 8811 as required. The Securities
Administrator, upon receipt from the IRS of the Notice of Taxpayer
Identification Number Assigned, shall upon request promptly forward a copy of
such notice to the Depositor. The Securities Administrator shall furnish any
other information that is required by the Code and regulations thereunder to be
made available to Certificateholders. The Depositor shall cause the Master
Servicer to provide the Securities Administrator with such information as is
necessary for the Securities Administrator to prepare such reports.

                                   ARTICLE V.

                    DISTRIBUTIONS TO HOLDERS OF CERTIFICATES

     Section 5.01. Distributions Generally.

     (a) Subject to Section 7.01 respecting the final distribution on the
Certificates, on each Distribution Date the Securities Administrator or the
Paying Agent shall make distributions in accordance with this Article V. Such
distributions shall be made by check mailed to each Certificateholder's address
as it appears on the Certificate Register of the Certificate Registrar or, upon
written request made to the Securities Administrator at least five (5) Business
Days prior to the related Record Date by any Certificateholder owning an
aggregate initial Certificate Principal Amount of at least $1,000,000, or in the
case of a Residual Certificate, a Percentage Interest of not less than 100%, by
wire transfer in immediately available funds to an account specified in the
request and at the expense of such Certificateholder; provided, however, that
the final distribution in respect of any Certificate shall be made only upon
presentation and surrender of such Certificate at the Certificate Registrar's
Corporate Trust Office; provided, further, that the foregoing provisions shall
not apply to any Class of Certificates as long as such Certificate remains a
Book-Entry Certificate in which case all payments made shall be made through the
Clearing Agency and its Clearing Agency Participants. Wire transfers will be
made at the expense of the Holder requesting such wire transfer by deducting a
wire transfer fee from the related distribution. Notwithstanding such final
payment of principal of any of the Certificates, each Residual Certificate will
remain outstanding until the termination of each REMIC and the payment in full
of all other amounts due with respect to the Residual Certificates and at such
time such final payment in retirement of any Residual Certificate will be made
only upon presentation and surrender of such Certificate at the Certificate
Registrar's Corporate Trust Office. If any payment required to be made on the
Certificates is to be made on a day that is not a Business Day, then such
payment will be made on the next succeeding Business Day.

     (b) All distributions or allocations made with respect to
Certificateholders within each Class on each Distribution Date shall be
allocated among the outstanding Certificates in such Class equally in proportion
to their respective initial Class Principal Amounts (or initial Percentage
Interests).

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     Section 5.02. Distributions from the Distribution Account.

     (a) On each Distribution Date, the Available Distribution Amount for the
related Mortgage Pool (in the case of the Senior Certificates and the Mortgage
Pools in the aggregate (in the case of the Subordinate Certificates) shall be
withdrawn by the Securities Administrator from the Distribution Account and
allocated among the classes of Senior Certificates and Subordinate Certificates
in the following order of priority:

          (i) Concurrently, to the payment of the Interest Distribution Amount
     and any accrued but unpaid Interest Shortfalls on each Class of Senior
     Certificates;

          (ii) Concurrently, to the Senior Certificates from the Available
     Distribution Amount remaining in the related Mortgage Pool after
     application of priority (i) above, as follows:

               (A) first, to the Class A-R Certificate until the Class Principal
          Amount thereof has been reduced to zero, and second to the Class I-A
          Certificates, an amount up to the Senior Principal Distribution Amount
          for Pool 1, until the Class Principal Amount thereof has been reduced
          to zero;

               (B) to the Class II-A-1 and Class II-A-2 Certificates, pro rata,
          an amount up to the Senior Principal Distribution Amount for Pool 2,
          until the respective Class Principal Amounts thereof have been reduced
          to zero; and

               (C) to the Class III-A Certificates an amount up to the Senior
          Principal Distribution Amount for Pool 3, until the Class Principal
          Amount thereof has been reduced to zero.

          (iii) From the Available Distribution Amount from all three Mortgage
     Pools in the aggregate remaining after application amounts pursuant to
     clauses (i) and (ii) above:

               (A) to the Class M-1 Certificates, the payment of its applicable
          Interest Distribution Amount and any outstanding Interest Shortfalls;

               (B) to the Class M-2 Certificates, the payment of its applicable
          Interest Distribution Amount and any outstanding Interest Shortfalls;

               (C) to the Class M-3 Certificates, the payment of its applicable
          Interest Distribution Amount and any outstanding Interest Shortfalls;

               (D) to the Class B-1 Certificates, the payment of its applicable
          Interest Distribution Amount and any outstanding Interest Shortfalls;

               (E) to the Class B-2 Certificates, the payment of its applicable
          Interest Distribution Amount and any outstanding Interest Shortfalls;

               (F) to the Class B-3 Certificates, the payment of its applicable
          Interest Distribution Amount and any outstanding Interest Shortfalls;

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               (G) to the Class M-1 Certificates, such class's Subordinate Class
          Percentage of the Subordinate Principal Distribution Amount for each
          Mortgage Pool, until its Class Principal Amount has been reduced to
          zero;

               (H) to the Class M-2 Certificates, such class's Subordinate Class
          Percentage of the Subordinate Principal Distribution Amount for each
          Mortgage Pool, until its Class Principal Amount has been reduced to
          zero;

               (I) to the Class M-3 Certificates, such class's Subordinate Class
          Percentage of the Subordinate Principal Distribution Amount for each
          Mortgage Pool, until its Class Principal Amount has been reduced to
          zero;

               (J) to the Class B-1 Certificates, such class's Subordinate Class
          Percentage of the Subordinate Principal Distribution Amount for each
          Mortgage Pool, until its Class Principal Amount has been reduced to
          zero;

               (K) to the Class B-2 Certificates, such class's Subordinate Class
          Percentage of the Subordinate Principal Distribution Amount for each
          Mortgage Pool, until its Class Principal Amount has been reduced to
          zero; and

               (L) to the Class B-3 Certificates, such class's Subordinate Class
          Percentage of the Subordinate Principal Distribution Amount for each
          Mortgage Pool, until its Class Principal Amount has been reduced to
          zero.

          (iv) To the Class A-R Certificate, any remaining amount of the
     Available Distribution Amount from the Mortgage Pools in the aggregate.

     (b) (i) On each Distribution Date on and after the Credit Support Depletion
Date, the Available Distribution Amount for each Mortgage Pool remaining after
the distributions in clause (a) above and any distributions required to be made
pursuant to clause (b)(ii) and (b)(iii) below, will be distributed to the
remaining classes of the related Certificate Group or Groups on a pro rata
basis, first, to pay the Interest Distribution Amount and any accrued but unpaid
Interest Shortfalls; second, to pay the Senior Principal Distribution Amount;
and third, to the Class A-R Certificate, any remaining Available Distribution
Amount for such Mortgage Pool.

          (ii) On each Distribution Date prior to the Credit Support Depletion
     Date but after the reduction of the aggregate Class Principal Amount of the
     Senior Certificates of a Certificate Group to zero, the remaining class or
     classes of Senior Certificates in the remaining Certificate Group or
     Groups, will be entitled to receive in reduction of their Class Principal
     Amount, pro rata, based upon their Class Principal Amount immediately prior
     to such Distribution Date, in addition to any Principal Prepayments related
     to such remaining Senior Certificates' respective Mortgage Pool allocated
     to such Senior Certificates, 100% of the Principal Payments on any Mortgage
     Loan in the Mortgage Pool relating to the fully repaid class or classes of
     Senior Certificates of the fully repaid Certificate Group; provided,
     however, that if both (a) the weighted average of the Aggregate Subordinate
     Percentage equals or exceeds 200% of the original weighted average of the
     Aggregate Subordinate Percentage as of the Closing Date on or after the
     Distribution Date in June 2010 and (b) the aggregate Stated Principal
     Balance of the Mortgage Loans delinquent sixty (60) days or more, averaged
     over the last six (6) months, as a percentage of the aggregate Class
     Principal Amount of the Class M Certificates and Class B Certificates, does
     not exceed 50%, then the additional allocation

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     of Principal Prepayments to the Senior Certificates in accordance with this
     clause (b) will not be made and 100% of the Principal Prepayments on any
     Mortgage Loan in the Mortgage Pool relating to the fully repaid class or
     classes of Senior Certificates will be applied as a principal distribution
     to the Subordinate Certificates.

          (iii) If on any Distribution Date on which the aggregate Class
     Principal Amount of any class or classes of Senior Certificates would be
     greater than the aggregate Stated Principal Balance of the Mortgage Loans
     in its related Mortgage Pool (the amount of such excess, the
     "Undercollateralized Amount," and any such class or classes of Senior
     Certificates, the "Undercollateralized Senior Certificates") and the other
     class or classes of Senior Certificates, the "Overcollateralized Senior
     Certificates") and any Subordinate Certificates are still outstanding in
     each case after giving effect to distributions to be made on such
     Distribution Date, (i) 100% of amounts otherwise allocable to the
     Subordinate Certificates in respect of principal will be distributed to the
     Undercollateralized Senior Certificates in reduction of the Class Principal
     Amounts thereof, until the aggregate Class Principal Amount of such class
     or classes of Undercollateralized Senior Certificates is equal to the
     aggregate Stated Principal Balance of the Mortgage Loans in its related
     Senior Certificates, and (ii) the Interest Distribution Amount otherwise
     allocable to the Subordinate Certificates on such Distribution Date will be
     reduced, if necessary, and distributed to such class or classes of
     Undercollateralized Senior Certificates pursuant to 5.02(a) above, in an
     amount equal to the Net WAC of the related Mortgage Pool for such class or
     classes of Undercollateralized Senior Certificates for such Distribution
     Date on a balance equal to the related Undercollateralized Amount. Any such
     reduction in the Interest Distribution Amount on the Subordinate
     Certificates will be allocated to the Class B-3, Class B-2, Class B-1,
     Class M-3, Class M-2 and Class M-1 Certificates, in that order.

     (c) Notwithstanding the priority and allocation set forth in Section
5.02(a)(iii) above, if with respect to any Class of Subordinate Certificates on
any Distribution Date the sum of the related Class Subordination Percentages of
such Class and of all other Classes of Subordinate Certificates which have a
higher numerical Class designation than such Class is less than the Original
Applicable Credit Support Percentage for such Class, no distribution of
Principal Prepayments shall be made to any such Classes and the amount of such
Principal Prepayment otherwise distributable to such Classes shall be
distributed to any Classes of Subordinate Certificates having lower numerical
Class designations than such Class, pro rata, based on the Class Principal
Amounts of the respective Classes immediately prior to such Distribution Date
and shall be distributed in the sequential order provided in Section
5.02(a)(iii) above.

     (d) Amounts distributed to the Residual Certificates pursuant to
subparagraph (a)(iv) of this Section 5.02 on any Distribution Date shall be
allocated among the REMIC residual interests represented thereby such that each
such interest is allocated the excess of funds available to the related REMIC
over required distributions to the regular interests in such REMIC on such
Distribution Date.

     (e) For purposes of distributions provided in this Section 5.02, each
Mortgage Pool shall "relate" to the Senior Class or Classes of the applicable
Related Certificate Group.

     (f) For purposes of distributions of interest in paragraph (a) of this
Section 5.02 such distributions to a Class of Certificates on any Distribution
Date shall be made first, in respect of Interest Distribution Amount; and
second, in respect of Interest Shortfall.

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     Section 5.03. Allocation of Losses.

     (a) On or prior to each Distribution Date, the Securities Administrator
shall aggregate the information provided by the Master Servicer (which in turn
shall be based on information provided to the Master Servicer by the Servicer)
with respect to the total amount of Realized Losses, with respect to the
Mortgage Loans for the related Distribution Date.

     (b) On each Distribution Date, the principal portion of Realized Losses on
the Mortgage Loans with respect to such Distribution Date shall be allocated in
the following order:

          (i) to the Class B-3 Certificates; second, to the Class B-2
     Certificates; third, to the Class B-1 Certificates; fourth, to the Class
     M-3 Certificates; fifth, to the Class M-2 Certificates; and sixth, to the
     Class M-1 Certificates, in each case until the Class Principal Amount of
     such class of Certificates has been reduced to zero; and

          (ii) commencing on the Credit Support Depletion Date, Realized Losses
     will be allocated among the Senior Certificates as follows:

               first, if the Realized Loss occurs on a Mortgage Loan in a
          Mortgage Pool where the aggregate Stated Principal Balance of the
          Mortgage Loans in such Mortgage Pool is greater than the aggregate
          Class Principal Amount of the related Senior Certificates, the
          Realized Loss will be allocated to any Senior Certificates related to
          a Mortgage Pool where the aggregate Stated Principal Balance of the
          Mortgage Loans in such Mortgage Pool is less than the aggregate Class
          Principal Amount of the related Senior Certificates (any such amount,
          the "Deficiency Amount"), pro rata, based on the respective Deficiency
          Amount, in each case until the amount by which the aggregate Stated
          Principal Balance of the Mortgage Loans in the Mortgage Pool in which
          the Realized Loss occurs exceeds the aggregate Class Principal Amount
          of the related Senior Certificates until the Class Principal Amounts
          of such Senior Certificates have been reduced to zero; and

               second, to the Senior Certificates related to the Mortgage Pool
          in which the Realized Loss occurred, until the Class Principal Amounts
          thereof have been reduced to zero.

               Notwithstanding the foregoing, any portion of any Realized Loss
     that would otherwise be allocated to the Class II-A-1 Certificates will
     instead be allocated first to the Class II-A-2 Certificates until the Class
     Principal Amount thereof has been reduced to zero.

          (iii) [Reserved]

          (iv) Any allocation of a loss pursuant to this section to a Class of
     Certificates shall be achieved by reducing the Class Principal Amount
     thereof by the amount of such loss.

     (c) Notwithstanding the other provisions of Section 5.03, the first $0.64
of Realized Losses shall not be allocated to any Class of Certificates.

     Section 5.04. Advances.

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     If the Servicer fails to remit any Advance required to be made under this
Agreement, the Master Servicer solely in its capacity as successor servicer
shall itself make, or shall cause the successor servicer to make, such Advance.
If the Master Servicer solely in its capacity as successor servicer determines
that an Advance is required, it shall on the Business Day preceding the related
Distribution Date immediately following such Determination Date remit from its
own funds (or funds advanced by the successor servicer) for deposit in the
Master Servicer Collection Account immediately available funds in an amount
equal to such Advance.

     If the Master Servicer fails to remit any Advance required to be made under
this Agreement, the Trustee solely in its capacity as successor master servicer
shall itself make, subject to applicable law, or shall cause the successor
servicer to make, such Advance. If the Trustee solely in its capacity as
successor master servicer determines that an Advance is required, it shall on
the Business Day preceding the related Distribution Date immediately following
such Determination Date remit from its own funds (or funds advanced by the
successor servicer) for deposit in the Distribution Account immediately
available funds in an amount equal to such Advance.

     The Servicer, the Master Servicer and the Trustee shall be entitled to be
reimbursed for all Advances made by it under this Agreement. Notwithstanding
anything to the contrary herein, in the event the Master Servicer or Trustee (or
successor servicer) determines in its reasonable judgment that an Advance is
Nonrecoverable, the Master Servicer or Trustee (or successor servicer) shall be
under no obligation to make such Advance.

                                  ARTICLE VI.

   CONCERNING THE TRUSTEE AND THE SECURITIES ADMINISTRATOR; EVENTS OF DEFAULT

     Section 6.01. Duties of Trustee and Securities Administrator.

     (a) The Trustee, except during the continuance of a Master Servicer Event
of Default, and the Securities Administrator, each undertakes to perform such
duties and only such duties as are specifically set forth in this Agreement. Any
permissive right of the Trustee or the Securities Administrator provided for in
this Agreement shall not be construed as a duty of the Trustee or the Securities
Administrator. If a Master Servicer Event of Default has occurred and has not
otherwise been cured or waived, the Trustee shall exercise such of the rights
and powers vested in it by this Agreement and use the same degree of care and
skill in their exercise as a prudent Person would exercise or use under the
circumstances in the conduct of such Person's own affairs.

     (b) The Trustee and the Securities Administrator, upon receipt of all
resolutions, certificates, statements, opinions, reports, documents, orders or
other instruments furnished to the Trustee and the Securities Administrator,
respectively, which are specifically required to be furnished pursuant to any
provision of this Agreement, shall examine them to determine whether they are in
the form required this Agreement; provided, however, that neither the Trustee
nor the Securities Administrator shall be responsible for the accuracy or
content of any such resolution, certificate, statement, opinion, report,
document, order or other instrument furnished by the Servicer or the Master
Servicer to the Trustee or the Securities Administrator pursuant to this
Agreement, and shall not be required to recalculate or verify any numerical
information furnished

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to the Trustee or the Securities Administrator pursuant to this Agreement.
Subject to the immediately preceding sentence, if any such resolution,
certificate, statement, opinion, report, document, order or other instrument is
found not to conform to the form required by this Agreement in a material manner
the Trustee shall take such action as it deems appropriate to cause the
instrument to be corrected, and if the instrument is not corrected to the
Trustee's satisfaction, the Trustee will provide notice thereof to the
Certificateholders and will, at the expense of the Issuing Entity, which expense
shall be reasonable given the scope and nature of the required action, take such
further action as directed by the Certificateholders.

     (c) The Trustee and the Securities Administrator shall not have any
liability arising out of or in connection with this Agreement, except for its
negligence or willful misconduct. Notwithstanding anything in this Agreement to
the contrary, the Trustee and the Securities Administrator shall not be liable
for special, indirect or consequential losses or damages of any kind whatsoever
(including, but not limited to, lost profits). No provision of this Agreement
shall be construed to relieve the Trustee or the Securities Administrator of
liability for its own negligent action, its own negligent failure to act or its
own willful misconduct; provided, however, that:

          (i) The Trustee and the Securities Administrator shall not be liable
     with respect to any action taken, suffered or omitted to be taken by it in
     good faith in accordance with the direction of Holders of Certificates as
     provided in Section 6.18 hereof;

          (ii) For all purposes under this Agreement, the Trustee shall not be
     deemed to have notice of any Servicer Event of Default or Master Servicer
     Event of Default unless a Responsible Officer of the Trustee has actual
     knowledge thereof or unless written notice of any event which is in fact
     such a default is received by the Trustee at the Corporate Trust Office of
     the Trustee, and such notice references the Holders of the Certificates and
     this Agreement;

          (iii) No provision of this Agreement shall require the Trustee
     (regardless of the capacity in which it is acting) or the Securities
     Administrator 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 repayment of such funds or adequate indemnity
     against such risk or liability is not reasonably assured to it; and none of
     the provisions contained in this Agreement shall in any event require the
     Trustee or the Securities Administrator to perform, or be responsible for
     the manner of performance of, any of the obligations of the Servicer or the
     Master Servicer under this Agreement;

          (iv) The Trustee and the Securities Administrator shall not be
     responsible for any act or omission of the Master Servicer, the Servicer,
     the Depositor or the Sponsor.

     (d) The Trustee and the Securities Administrator shall have no duty
hereunder with respect to any complaint, claim, demand, notice or other document
it may receive or which may be alleged to have been delivered to or served upon
it by the parties as a consequence of the assignment of any Mortgage Loan
hereunder; provided, however, that the Trustee or the Securities Administrator,
as applicable, shall promptly deliver to the Master Servicer upon receipt any
such complaint, claim, demand, notice or other document (i) which is delivered
to the Corporate Trust Office of the Trustee or to the Securities Administrator,
(ii) of which a Responsible Officer has actual knowledge, and (iii) which
contains information sufficient to

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permit the Trustee or the Securities Administrator to make a determination that
the real property to which such document relates is a Mortgaged Property.

     (e) The Trustee and the Securities Administrator shall not be personally
liable with respect to any action taken, suffered or omitted to be taken by it
in good faith in accordance with the direction of the Certificateholders of any
Class holding Certificates which evidence, as to such Class, Percentage
Interests aggregating not less than 25% as to the time, method and place of
conducting any proceeding for any remedy available to the Trustee or Securities
Administrator or exercising any trust or power conferred upon the Trustee or the
Securities Administrator under this Agreement.

     (f) The Trustee and the Securities Administrator shall not be required to
perform services under this Agreement, or to expend or risk its own funds or
otherwise incur financial liability for the performance of any of its duties
hereunder or the exercise of any of its rights or powers if there is reasonable
ground for believing that the timely payment of its fees and expenses or the
repayment of such funds or adequate indemnity against such risk or liability is
not reasonably assured to it, and none of the provisions contained in this
Agreement shall in any event require the Trustee or the Securities Administrator
to perform, or be responsible for the manner of performance of, any of the
obligations of the Servicer or the Master Servicer under this Agreement except
during such time, if any, as the Trustee shall be the successor to, and be
vested with the rights, duties, powers and privileges of, the Servicer or the
Master Servicer in accordance with the terms of this Agreement.

     (g) Neither the Trustee nor the Securities Administrator shall be held
liable by reason of any insufficiency in the Distribution Account resulting from
any investment loss on any Permitted Investment included therein (except to the
extent that the Securities Administrator is the obligor and has defaulted
thereon).

     (h) Except as otherwise provided herein, the Trustee and the Securities
Administrator shall not have any duty (A) to see to any recording, filing, or
depositing of this Agreement or any agreement referred to herein or any
financing statement or continuation statement evidencing a security interest, or
to see to the maintenance of any such recording or filing or depositing or to
any re-recording, refiling or redepositing of any thereof, (B) to see to the
provision of any insurance, (C) to see to the payment or discharge of any tax,
assessment, or other governmental charge or any lien or encumbrance of any kind
owing with respect to, assessed or levied against, any part of the Trust Fund
other than from funds available in the Distribution Account, or (D) to confirm
or verify the contents of any reports or certificates of the Master Servicer
delivered to the Trustee or the Securities Administrator pursuant to this
Agreement believed by the Trustee or the Securities Administrator, respectively,
to be genuine and to have been signed or presented by the proper party or
parties.

     (i) The Trustee and the Securities Administrator shall not be liable, in
its individual capacity, for an error of judgment made in good faith by a
Responsible Officer or other officers of the Trustee or the Securities
Administrator, respectively, unless it shall be proved that the Trustee or the
Securities Administrator, respectively, was negligent in ascertaining the
pertinent facts.

     (j) Notwithstanding anything in this Agreement to the contrary, the Trustee
and the Securities Administrator shall not be liable for special, indirect or
consequential losses or damages of any kind whatsoever (including, but not
limited to, lost profits), even if the Trustee or the Securities Administrator,
respectively, has been advised of the likelihood of such loss or damage and
regardless of the form of action.

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     Section 6.02. Certain Matters Affecting the Trustee and the Securities
Administrator.

Except as otherwise provided in Section 6.01:

          (i) Before taking any action hereunder, the Trustee and the Securities
     Administrator may request, and may rely and shall be protected in acting or
     refraining from acting upon any resolution, Officer's Certificate,
     certificate of auditors or any other certificate, statement, instrument,
     opinion, report, notice, request, consent, order, approval, bond or other
     paper or document believed by it to be genuine and to have been signed or
     presented by the proper party or parties;

          (ii) The Trustee and the Securities Administrator may consult with
     counsel and any advice of its counsel or Opinion of Counsel shall be full
     and complete authorization and protection in respect of any action taken or
     suffered or omitted by it hereunder in good faith and in accordance with
     such advice or Opinion of Counsel;

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

          (iv) The Securities Administrator shall not be bound, and unless a
     Master Servicer Event of Default shall have occurred and be continuing, the
     Trustee shall not be bound to make any investigation into the facts or
     matters stated in any resolution, certificate, statement, instrument,
     opinion, report, notice, request, consent, order, approval, bond or other
     paper or document (provided the same appears regular on its face), unless
     requested in writing to do so by the Holders of at least a majority in
     Class Principal Amount (or Percentage Interest) of each Class of
     Certificates; provided, however, that, if the payment within a reasonable
     time to the Trustee or the Securities Administrator of the costs, expenses
     or liabilities likely to be incurred by it in the making of such
     investigation is, in the opinion of the Trustee or the Securities
     Administrator, respectively, not reasonably assured to the Trustee or the
     Securities Administrator by the security afforded to it by the terms of
     this Agreement, the Trustee or the Securities Administrator may require
     reasonable indemnity against such expense or liability or payment of such
     estimated expenses from the Certificateholders as a condition to
     proceeding. The reasonable expense thereof shall be paid by the party
     requesting such investigation and if not reimbursed by the requesting party
     shall be reimbursed to the Trustee or the Securities Administrator by the
     Issuing Entity;

          (v) The Trustee and the Securities Administrator may execute any of
     the trusts or powers hereunder or perform any duties hereunder either
     directly or by or through agents, custodians or attorneys, which agents,
     custodians or attorneys shall have any and all of the rights, powers,
     duties and obligations of the Trustee or the Securities Administrator
     conferred on it by such appointment, provided that the Trustee or the
     Securities Administrator, respectively, shall continue to be responsible
     for its duties and obligations hereunder to the extent provided herein, and
     provided further that the Trustee or the Securities Administrator shall not
     be responsible for any misconduct or negligence on the part of any such
     agent or attorney appointed with due care by the Trustee or the Securities
     Administrator, respectively;

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          (vi) The Trustee and the Securities Administrator shall not be under
     any obligation to exercise any of the trusts or powers vested in it by this
     Agreement or to institute, conduct or defend any litigation hereunder or in
     relation hereto, in each case at the request, order or direction of any of
     the Certificateholders pursuant to the provisions of this Agreement, unless
     such Certificateholders shall have offered to the Trustee or the Securities
     Administrator, respectively, reasonable security or indemnity against the
     costs, expenses and liabilities which may be incurred therein or thereby;

          (vii) The right of the Trustee or the Securities Administrator to
     perform any discretionary act enumerated in this Agreement shall not be
     construed as a duty, and the Trustee and the Securities Administrator,
     respectively, shall not be answerable for other than its own negligence or
     willful misconduct in the performance of such act; and

          (viii) The Trustee and the Securities Administrator shall not be
     required to give any bond or surety in respect of the execution of the
     Trust Fund created hereby or the powers granted hereunder.

          (ix) Should the Trustee or the Securities Administrator deem the
     nature of any action required on its part to be unclear, the Trustee or the
     Securities Administrator may require prior to such action that it be
     provided by the Depositor with reasonable further instructions.

          (x) Neither the Trustee nor the Securities Administrator shall have
     any duty to conduct any affirmative investigation as to the occurrence of
     any condition requiring the repurchase of any Mortgage Loan by the Sponsor
     or the Depositor pursuant to this Agreement of the Mortgage Loan Sale and
     Assignment Agreement, as applicable, or the eligibility of any Mortgage
     Loan for purposes of this Agreement.

     Section 6.03. Trustee and Securities Administrator Not Liable for
Certificates or Mortgage Loans.

     The Trustee and the Securities Administrator make no representations as to
the validity or sufficiency of this Agreement or of the Certificates (other
than, as to the Securities Administrator, the Securities Administrator's
certificate of authentication on the Certificates) or of any Mortgage Loan, or
related document save that the Trustee and the Securities Administrator each
represent that, assuming due execution and delivery by the other parties hereto,
this Agreement has been duly authorized, executed and delivered by it and
constitutes its valid and binding obligation, enforceable against it in
accordance with its terms except as such enforceability may be subject to (A)
applicable bankruptcy and insolvency laws and other similar laws affecting the
enforcement of the rights of creditors generally, and (B) general principles of
equity regardless of whether such enforcement is considered in a proceeding in
equity or at law. The Trustee and the Securities Administrator shall not be
accountable for the use or application by the Depositor of funds paid to the
Depositor in consideration of the assignment of the Mortgage Loans to the
Issuing Entity by the Depositor or for the use or application of any funds
deposited into the Distribution Account or any other fund or account maintained
with respect to the Certificates. The Trustee and the Securities Administrator
shall not be responsible for the legality or validity of this Agreement or the
validity, priority, perfection or sufficiency of the security for the
Certificates issued or intended to be issued hereunder. Except as otherwise
provided herein, the Trustee and the Securities Administrator shall have no
responsibility for filing any financing or

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continuation statement in any public office at any time or to otherwise perfect
or maintain the perfection of any security interest or lien granted to it
hereunder or to record this Agreement.

     Section 6.04. Trustee and Securities Administrator May Own Certificates.

     The Trustee and the Securities Administrator and any Affiliate or agent of
the Trustee or the Securities Administrator in its individual or any other
capacity may become the owner or pledgee of Certificates and may transact
banking and trust business with the other parties hereto and their Affiliates
with the same rights it would have if it were not Trustee or Securities
Administrator or such agent.

     Section 6.05. Eligibility Requirements for Trustee and Securities
Administrator.

     The Trustee and the Securities Administrator hereunder shall at all times
(i) be an institution insured by the FDIC, (ii) a corporation or national
banking association, organized and doing business under the laws of the United
States of America or any state thereof, authorized under such laws to exercise
corporate trust powers, having a combined capital and surplus of not less than
$50,000,000 and subject to supervision or examination by federal or state
authority and (iii) with respect to the Trustee, not be an Affiliate of the
Master Servicer, the Securities Administrator or the Servicer. If such
corporation or national banking association publishes reports of condition at
least annually, pursuant to law or to the requirements of the aforesaid
supervising or examining authority, then, for the purposes of this Section, the
combined capital and surplus of such corporation or national banking association
shall be deemed to be its combined capital and surplus as set forth in its most
recent report of condition so published. In case at any time the Trustee or the
Securities Administrator shall cease to be eligible in accordance with
provisions of this Section, the Trustee or the Securities Administrator,
respectively, shall resign immediately in the manner and with the effect
specified in Section 6.06.

     Section 6.06. Resignation and Removal of Trustee and Securities
Administrator.

     (a) The Trustee and the Securities Administrator may at any time resign and
be discharged from the trust hereby created by giving written notice thereof to
the Depositor, the Master Servicer, the Servicer and the Trustee or Securities
Administrator, as applicable. Upon receiving such notice of resignation, the
Depositor will promptly appoint a successor trustee or successor securities
administrator, as applicable, by written instrument, one copy of which
instrument shall be delivered to the resigning Trustee or Securities
Administrator, as applicable, one copy to the successor trustee or the successor
securities administrator, as applicable, and one copy to each of the Master
Servicer and the Servicer. If no successor trustee or successor securities
administrator, as applicable, shall have been so appointed and shall have
accepted appointment within thirty (30) days after the giving of such notice of
resignation, the resigning Trustee or Securities Administrator, as applicable,
may petition any court of competent jurisdiction for the appointment of a
successor trustee or successor securities administrator, respectively.

     (b) If at any time (i) the Trustee or the Securities Administrator shall
cease to be eligible in accordance with the provisions of Section 6.05 and shall
fail to resign after written request therefor by the Depositor, (ii) the Trustee
or the Securities Administrator, as applicable, shall become incapable of
acting, or shall be adjudged a bankrupt or insolvent, or a receiver of the
Trustee or Securities Administrator, as applicable, of its property shall be
appointed, or any public officer shall take charge or control of the Trustee or
the Securities Administrator, as applicable, or of either of their property or
affairs for the purpose of rehabilitation, conservation

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<PAGE>

or liquidation, (iii) a tax is imposed or threatened with respect to the Issuing
Entity by any state in which the Trustee or the Securities Administrator or the
Issuing Entity held by the Trustee is located, or (iv) the continued use of the
Trustee or the Securities Administrator would result in a downgrading of the
rating by any Rating Agency of any Class of Certificates with a rating, then the
Depositor shall remove the Trustee or the Securities Administrator, as
applicable, and the Depositor shall appoint a successor trustee or securities
administrator, respectively, by written instrument, one copy of which instrument
shall be delivered to the Trustee or the Securities Administrator so removed,
one copy each to the successor trustee or successor securities administrator, as
applicable, and one copy each to the Master Servicer and the Servicer.

     (c) The Holders of more than 50% of the Class Principal Amount (or
Percentage Interest) of each Class of Certificates may at any time upon thirty
(30) days' written notice to the Trustee or the Securities Administrator, as
applicable, and to the Depositor remove the Trustee or the Securities
Administrator, respectively, by such written instrument, signed by such Holders
or their attorney-in-fact duly authorized, one copy of which instrument shall be
delivered to the Depositor and one copy to the Trustee or the Securities
Administrator, as applicable; the Depositor shall thereupon appoint a successor
trustee or successor securities administrator, as applicable, in accordance with
this Section.

     (d) Any resignation or removal of the Trustee or the Securities
Administrator and appointment of a successor trustee or successor securities
administrator, respectively, pursuant to any of the provisions of this Section
shall become effective upon acceptance by the successor trustee or the successor
securities administrator, as applicable, of appointment, as provided in Section
6.07.

     Section 6.07. Successor Trustee or Successor Securities Administrator.

     (a) Any successor trustee or successor securities administrator appointed
as provided in Section 6.06 shall execute, acknowledge and deliver to the
Depositor and to its predecessor trustee or predecessor securities
administrator, respectively, an instrument accepting such appointment hereunder,
and thereupon the resignation or removal of the predecessor trustee or the
predecessor securities administrator shall become effective and such successor
trustee or successor securities administrator, without any further act, deed or
conveyance, shall become fully vested with all the rights, powers, duties and
obligations of its predecessor hereunder, with like effect as if originally
named as trustee or securities administrator, respectively. The predecessor
trustee shall deliver to the successor trustee all Trustee Mortgage Files and
documents and statements related to each Trustee Mortgage File held by it
hereunder, and shall duly assign, transfer, deliver and pay over to the
successor trustee, the entire Issuing Entity, together with all necessary
instruments of transfer and assignment or other documents properly executed
necessary to effect such transfer and such of the records or copies thereof
maintained by the predecessor trustee in the administration hereof as may be
requested by the successor trustee and shall thereupon be discharged from all
duties and responsibilities under this Agreement. In addition, the Depositor and
the predecessor trustee or predecessor securities administrator, as applicable,
shall execute and deliver such other instruments and do such other things as may
reasonably be required to more fully and certainly vest and confirm in the
successor trustee or successor securities administrator, respectively, all such
rights, powers, duties and obligations.

     (b) No successor trustee or successor securities administrator shall accept
appointment as provided in this Section unless at the time of such appointment
such successor trustee or successor securities administrator shall be eligible
under the provisions of Section 6.05.

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     (c) Upon acceptance by a successor trustee or successor securities
administrator of appointment as provided in this Section, the predecessor
trustee or predecessor securities administrator, respectively, shall mail notice
of the succession of such successor trustee or successor securities
administrator hereunder to all Holders of Certificates at their addresses as
shown in the Certificate Register and to any Rating Agency. The expenses of such
mailing shall be borne by the Depositor.

     Section 6.08. Merger or Consolidation of Trustee or Securities
Administrator.

     Any Person into which the Trustee or the Securities Administrator may be
merged or with which it may be consolidated, or any Person resulting from any
merger, conversion or consolidation to which the Trustee or Securities
Administrator shall be a party, or any Persons succeeding to the business of the
Trustee or the Securities Administrator shall be the successor to the Trustee or
the Securities Administrator, respectively, hereunder, without the execution or
filing of any paper or any further act on the part of any of the parties hereto,
anything herein to the contrary notwithstanding, provided that, in the case of
the Trustee or the Securities Administrator, such Person shall be eligible under
the provisions of Section 6.05.

     Section 6.09. Appointment of Co-Trustee, Separate Trustee or Custodian.

     (a) Notwithstanding any other provisions hereof, at any time, the Trustee,
the Depositor or the Certificateholders evidencing more than 50% of the Class
Principal Amount (or Percentage Interest) of every Class of Certificates shall
have the power from time to time to appoint one or more Persons, approved by the
Trustee, to act either as co-trustees jointly with the Trustee, or as separate
trustees, or as custodians, for the purpose of holding title to, foreclosing or
otherwise taking action with respect to any Mortgage Loan outside the state
where the Trustee has its principal place of business where such separate
trustee or co-trustee is necessary or advisable (or the Trustee has been advised
by the Master Servicer that such separate trustee or co-trustee is necessary or
advisable) under the laws of any state in which a property securing a Mortgage
Loan is located or for the purpose of otherwise conforming to any legal
requirement, restriction or condition in any state in which a property securing
a Mortgage Loan is located or in any state in which any portion of the Issuing
Entity is located. The separate trustees, co-trustees, or custodians so
appointed shall be trustees or custodians for the benefit of all the
Certificateholders and shall have such powers, rights and remedies as shall be
specified in the instrument of appointment; provided, however, that no such
appointment shall, or shall be deemed to, constitute the appointee an agent of
the Trustee. The obligation of the Trustee to make Advances pursuant to Section
5.04 hereof shall not be affected or assigned by the appointment of a
co-trustee.

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

          (i) all powers, duties, obligations and rights conferred upon the
     Trustee in respect of the receipt, custody and payment of moneys shall be
     exercised solely by the Trustee;

          (ii) all other rights, powers, duties and obligations conferred or
     imposed upon the Trustee shall be conferred or imposed upon and exercised
     or performed by the Trustee and such separate trustee, co-trustee, or
     custodian jointly, except to the extent that under any law of any
     jurisdiction in which any particular act or acts are to be performed the
     Trustee shall be incompetent or unqualified to perform such act or acts, in
     which

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<PAGE>

     event such rights, powers, duties and obligations, including the holding of
     title to the Trust Fund or any portion thereof in any such jurisdiction,
     shall be exercised and performed by such separate trustee, co-trustee, or
     custodian at the sole discretion of the Trustee;

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

          (iv) the Trustee may at any time, by an instrument in writing executed
     by it, with the concurrence of the Depositor, accept the resignation of or
     remove any separate trustee, co-trustee or custodian, so appointed by it or
     them, if such resignation or removal does not violate the other terms of
     this Agreement.

     (c) Any notice, request or other writing given to the Trustee shall be
deemed to have been given to each of the then separate trustees and co-trustees,
as effectively as if given to each of them. Every instrument appointing any
separate trustee, co-trustee or custodian shall refer to this Agreement and the
conditions of this Article VI. 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 the Trustee or
separately, as may be provided therein, subject to all the provisions of this
Agreement, specifically including every provision of this Agreement relating to
the conduct of, affecting the liability of, or affording protection to, the
Trustee. Every such instrument shall be filed with the Trustee and a copy given
to the Master Servicer.

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

     (e) No separate trustee, co-trustee or custodian hereunder shall be
required to meet the terms of eligibility as a successor trustee under Section
6.05 hereunder and no notice to Certificateholders of the appointment shall be
required under Section 6.07 hereof.

     (f) The Trustee agrees to instruct the co-trustees, if any, to the extent
necessary to fulfill the Trustee's obligations hereunder.

     (g) The Issuing Entity shall pay the reasonable compensation of the
co-trustees (which compensation shall not reduce any compensation payable to the
Trustee under such Section).

     Section 6.10. Authenticating Agents.

     (a) The Securities Administrator may appoint one or more Authenticating
Agents which shall be authorized to act on behalf of the Securities
Administrator in authenticating Certificates. If such an agent is so appointed
by the Securities Administrator, wherever reference is made in this Agreement to
the authentication of Certificates by the Securities Administrator or the
Securities Administrator's certificate of authentication, such reference shall
be deemed to include authentication on behalf of the Securities Administrator by
an Authenticating Agent and a certificate of authentication executed on behalf
of the Securities Administrator by an Authenticating Agent. Each Authenticating
Agent must be a corporation organized and doing

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<PAGE>

business under the laws of the United States of America or of any state, having
a combined capital and surplus of at least $15,000,000, authorized under such
laws to do a trust business and subject to supervision or examination by federal
or state authorities.

     (b) Any Person into which any Authenticating Agent may be merged or
converted or with which it may be consolidated, or any Person resulting from any
merger, conversion or consolidation to which any Authenticating Agent shall be a
party, or any Person succeeding to the corporate agency business of any
Authenticating Agent, shall continue to be the Authenticating Agent without the
execution or filing of any paper or any further act on the part of the
Securities Administrator or the Authenticating Agent.

     (c) Any Authenticating Agent may at any time resign by giving at least
thirty (30) days' advance written notice of resignation to the Securities
Administrator and the Depositor. The Securities Administrator may at any time
terminate the agency of any Authenticating Agent by giving written notice of
termination to such Authenticating Agent and the Depositor. Upon receiving a
notice of resignation or upon such a termination, or in case at any time any
Authenticating Agent shall cease to be eligible in accordance with the
provisions of this Section 6.10, the Securities Administrator may appoint a
successor authenticating agent, shall give written notice of such appointment to
the Depositor and shall mail notice of such appointment to all Holders of
Certificates. Any successor authenticating agent upon acceptance of its
appointment hereunder shall become vested with all the rights, powers, duties
and responsibilities of its predecessor hereunder, with like effect as if
originally named as Authenticating Agent. No successor authenticating agent
shall be appointed unless eligible under the provisions of this Section 6.10. No
Authenticating Agent shall have responsibility or liability for any action taken
by it as such at the direction of the Securities Administrator.

     Section 6.11. Indemnification of Trustee and Securities Administrator.

     The Trustee, the Securities Administrator and their respective directors,
officers, employees and agents shall be entitled to indemnification from the
Depositor and the Issuing Entity; provided that the Issuing Entity's
indemnification under this Section 6.11 is limited by Section 4.01(f) for any
loss, liability or expense (including, without limitation, reasonable attorneys'
fees and disbursements (and, in connection with any custody agreement the
Trustee may enter pursuant to this Agreement, including the reasonable
compensation and the expenses and disbursements of its agents or counsel)),
incurred without negligence or willful misconduct on its part, arising out of,
or in connection with, the acceptance or administration of the trusts created
hereunder or in connection with the performance of their duties hereunder
including the costs and expenses of defending themselves against any claim in
connection with the exercise or performance of any of their powers or duties
hereunder, provided that:

          (i) with respect to any such claim, the Trustee or the Securities
     Administrator shall have given the Depositor written notice thereof
     promptly after the Trustee or Securities Administrator, respectively, shall
     have knowledge thereof;

          (ii) while maintaining control over its own defense, the Trustee and
     the Securities Administrator shall cooperate and consult fully with the
     Depositor in preparing such defense;

          (iii) notwithstanding anything to the contrary in this Section 6.11,
     the Issuing Entity shall not be liable for settlement of any such claim by
     the Trustee or the Securities

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     Administrator entered into without the prior consent of the Depositor,
     which consent shall not be unreasonably withheld; and

          (iv) the Issuing Entity's indemnification obligations hereunder shall
     be limited to losses, liability, costs or expenses, payments in respect of
     which by the Issuing Entity would constitute "unanticipated expenses"
     within the meaning of Treasury Regulations Section 1.860G-1(b)(3)(ii)).

     The provisions of this Section 6.11 shall survive any termination of this
Agreement and the resignation or removal of the Trustee or the Securities
Administrator, respectively, and shall be construed to include, but not be
limited to, any loss, liability or expense under any environmental law.

     Section 6.12. Fees and Expenses of the Trustee and the Securities
Administrator.

     The fees and expenses of the Trustee shall be paid by the Master Servicer
in accordance with a side letter agreement. The Securities Administrator shall
also be entitled to retain any and all investment earnings on amounts on deposit
in the Distribution Account pending the distribution of such funds to
Certificateholders on each Distribution Date (which compensation shall not be
limited by any provision of law in regard to the compensation of a trustee of an
express trust). Any expenses incurred by the Trustee and the Securities
Administrator shall be reimbursed to the extent provided in Section 6.11.

     Section 6.13. Collection of Monies.

     Except as otherwise expressly provided in this Agreement, the Securities
Administrator may demand payment or delivery of, and shall receive and collect,
all money and other property payable to or receivable by the Securities
Administrator pursuant to this Agreement. The Securities Administrator shall
hold all such money and property received by it as part of the Issuing Entity
and shall distribute it as provided in this Agreement.

     Section 6.14. Servicer Events of Default and Master Servicer Events of
Default; Master Servicer or Trustee To Act; Appointment of Successor Servicer;
Appointment of Successor Master Servicer.

     (a) "Servicer Event of Default," wherever used herein, means any one of the
following events:

          (i) any failure by the Servicer to make any Advance, to deposit in the
     Master Servicer Collection Account or to remit to the Securities
     Administrator any payment required to be made under the terms of this
     Agreement on the day it is due;

          (ii) any material breach on the part of the Servicer of any other
     term, agreement, covenant, representation or warranty in this Agreement
     that has not been cured after written notice and a thirty (30) day curative
     period, except, with respect to Sections 9.11, 9.13(a), 9.13(b), 9.21(i)
     and 9.21(k), any material breach on the part of the Servicer of any term,
     agreement, covenant, representation or warranty that has not been cured
     after written notice and a twelve (12) day curative period;

          (iii) following entry against the Servicer of a decree or order of a
     court or agency or supervisory authority having jurisdiction for the
     appointment of a trustee,

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     conservator, receiver, liquidator, assignee, custodian or sequestrator (or
     other similar official) for the Servicer in any federal or state
     bankruptcy, insolvency, readjustment of debt, marshaling of assets and
     liabilities or similar proceedings, or for the winding-up or liquidation of
     the Servicer's affairs, if such decree or order has remained in force
     undischarged or unstayed for a period of sixty (60) days;

          (iv) upon consent by the Servicer to the appointment of a trustee,
     conservator, receiver, liquidator, assignee, custodian or sequestrator (or
     other similar official) in, or commencement of a voluntary case under, any
     federal or state bankruptcy insolvency, readjustment of debt, marshaling of
     assets and liabilities or similar proceedings of or relating to the
     Servicer or of or relating to all or substantially all of the Servicer's
     property;

          (v) upon the Servicer's (A) admitting in writing its inability to pay
     its debts generally as they become due, (B) filing a petition to take
     advantage of any applicable insolvency or reorganization statute, (C)
     making an assignment for the benefit of its creditors or (D) voluntarily
     suspending payment of its obligations; or

          (vi) the Servicer ceases to be eligible to sell mortgage loans to or
     service mortgage loans for FNMA, FHLMC or GNMA or ceases to be a
     HUD-approved mortgagee.

     If a Servicer Event of Default shall occur and be continuing, then, in each
and every case, subject to applicable law, so long as any such Servicer Event of
Default shall not have been remedied within any period of time prescribed by
this Agreement, by notice in writing to the Servicer, any of the Depositor, the
Master Servicer or the Trustee may (or the Trustee shall if so directed by
Certificateholders evidencing more than 50% of the Class Principal Amount of
each Class of Certificates) terminate all of the rights and obligations of the
Servicer under this Agreement in accordance with the terms of this Agreement. On
or after the receipt by the Servicer and the Master Servicer of such written
notice, all authority and power of the Servicer, whether with respect to the
Mortgage Loans or otherwise, shall pass to and be vested in the Master Servicer;
and the Master Servicer is hereby authorized and empowered to execute and
deliver, on behalf of the defaulting 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 or assignment of
the Mortgage Loans and related documents or otherwise.

     If any Servicer Event of Default shall occur, the Servicer, upon becoming
aware of the occurrence thereof, shall promptly notify the Master Servicer of
the nature and extent of such Servicer Event of Default. The Master Servicer or
the Trustee, upon becoming aware of the occurrence thereof, shall promptly
notify the Trustee or the Master Servicer, as applicable, the Depositor and each
Rating Agency of the nature and extent of such Servicer Event of Default.

     Within ninety (90) days of the time the Servicer receives a notice of
termination from the Master Servicer pursuant to Section 6.14, the Master
Servicer, unless another servicer shall have been appointed, shall be the
successor in all respects to the Servicer in its capacity as Servicer under this
Agreement and the transactions set forth or provided for therein and shall have
all the rights and powers and be subject to all the responsibilities, duties and
liabilities relating thereto and arising thereafter placed on the Servicer
thereunder, including the obligation to make Advances; provided, however, that
any failure to perform such duties or responsibilities caused by the Servicer's
failure to provide information required by this Agreement shall not be

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considered a default by the Master Servicer hereunder. In addition, the Master
Servicer shall have no responsibility for any act or omission of the Servicer
prior to the issuance of any notice of termination. The Master Servicer shall
have no liability relating to any representations and warranties of the Servicer
set forth in this Agreement. In the Master Servicer's capacity as such
successor, the Master Servicer shall have the same limitations on liability
provided to the Servicer in this Agreement. As compensation therefor, the Master
Servicer shall be entitled to receive all compensation payable to the Servicer
under this Agreement.

     The Master Servicer shall be entitled to be reimbursed by the Depositor and
the Trust Fund (pursuant to Section 6.11 but without regard to any annual
limitation thereunder), in the event that the Servicer does not reimburse the
Master Servicer under this Agreement, for all costs associated with the transfer
of servicing from the predecessor Servicer, including, without limitation, any
costs or expenses associated with the termination of the predecessor Servicer,
the appointment of a successor servicer, the complete transfer of all servicing
data and the completion, correction or manipulation of such servicing data as
may be required by the Master Servicer or any successor servicer to correct any
errors or insufficiencies in the servicing data or otherwise to enable the
Master Servicer or successor servicer to service the Mortgage Loans property and
effectively (such costs, "Servicing Transfer Costs").

     Notwithstanding the above, the Master Servicer may, if it shall be
unwilling to continue to so act, or shall, if it is unable to so act, petition a
court of competent jurisdiction to appoint, or, with the consent of the
Depositor, appoint on its own behalf any established housing and home finance
institution servicer, or servicing or mortgage servicing institution having a
net worth of not less than $15,000,000 and meeting such other standards for a
successor servicer as are set forth in this Agreement and reasonably
satisfactory to the Depositor, as the successor to the Servicer in the
assumption of all of the responsibilities, duties or liabilities of a servicer,
like the Servicer. Any entity designated by the Master Servicer as a successor
servicer may be an Affiliate of the Master Servicer; provided, however, that,
unless such Affiliate meets the net worth requirements and other standards set
forth herein for a successor servicer, the Master Servicer, in its individual
capacity shall agree, at the time of such designation, to be and remain liable
to the Trust Fund for such Affiliate's actions and omissions in performing its
duties under this Agreement. In connection with such appointment and assumption,
the Master Servicer may make such arrangements for the compensation of such
successor out of payments on Mortgage Loans as it and such successor shall
agree; provided, however, that no such compensation shall be in excess of that
permitted to the Servicer under this Agreement. The Master Servicer and such
successor shall take such actions, consistent with this Agreement, as shall be
necessary to effectuate any such succession and may make other arrangements with
respect to the servicing to be conducted hereunder which are not inconsistent
herewith and therewith. Neither the Master Servicer nor any other successor
servicer shall be deemed to be in default hereunder by reason of any failure to
make, or any delay in making, any distribution hereunder or any portion thereof
caused by (i) the failure of the Servicer to deliver, or any delay in
delivering, cash, documents or records to it, (ii) the failure of the Servicer
to cooperate as required by this Agreement, (iii) the failure of the Servicer to
deliver the Mortgage Loan data to the Master Servicer as required by this
Agreement or (iv) restrictions imposed by any regulatory authority having
jurisdiction over the Servicer.

     (b) "Master Servicer Event of Default," wherever used herein, means any one
of the following events:

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          (i) any failure by the Master Servicer to make any Advance, as
     applicable, to deposit in the Distribution Account or to remit to the
     Securities Administrator any payment required to be made under the terms of
     this Agreement on the day it is due;

          (ii) any material breach on the part of the Master Servicer of any
     other term, agreement, covenant, representation or warranty in this
     Agreement that has not been cured after written notice and a thirty (30)
     day curative period, except, with respect to Sections 9.11, 9.13(a),
     9.13(b), 9.21(i) and 9.21(k), any material breach on the part of the Master
     Servicer of any term, agreement, covenant, representation or warranty that
     has not been cured after written notice and a twelve (12) day curative
     period;

          (iii) following entry against the Master Servicer of a decree or order
     of a court or agency or supervisory authority having jurisdiction for the
     appointment of a trustee, conservator, receiver, liquidator, assignee,
     custodian or sequestrator (or other similar official) for the Master
     Servicer in any federal or state bankruptcy, insolvency, readjustment of
     debt, marshaling of assets and liabilities or similar proceedings, or for
     the winding-up or liquidation of the Master Servicer's affairs, if such
     decree or order has remained in force undischarged or unstayed for a period
     of sixty (60) days;

          (iv) upon consent by the Master Servicer to the appointment of a
     trustee, conservator, receiver, liquidator, assignee, custodian or
     sequestrator (or other similar official) in, or commencement of a voluntary
     case under, any federal or state bankruptcy insolvency, readjustment of
     debt, marshaling of assets and liabilities or similar proceedings of or
     relating to the Master Servicer or of or relating to all or substantially
     all of the Master Servicer's property; or

          (v) upon the Master Servicer's (A) admitting in writing its inability
     to pay its debts generally as they become due, (B) filing a petition to
     take advantage of any applicable insolvency or reorganization statute, (C)
     making an assignment for the benefit of its creditors or (D) voluntarily
     suspending payment of its obligations.

     If a Master Servicer Event of Default shall occur and be continuing, then,
in each and every case, subject to applicable law, so long as any such Master
Servicer Event of Default shall not have been remedied within any period of time
prescribed by this Agreement, by notice in writing to the Master Servicer either
(x) the Depositor or (y) the Trustee may (or the Trustee shall if so directed by
Certificateholders evidencing more than 50% of the Class Principal Amount of
each Class of Certificates) terminate all of the rights and obligations of the
Master Servicer under this Agreement in accordance with the terms of this
Agreement. On or after the receipt by the Master Servicer of such written
notice, all authority and power of the Master Servicer, whether with respect to
the Mortgage Loans or otherwise, shall pass to and be vested in the Trustee; and
the Trustee is hereby authorized and empowered to execute and deliver, on behalf
of the defaulting Master Servicer as attorney-in-fact or otherwise, any and all
documents and other instruments, and to do or accomplish all other acts or
things necessary or appropriate to effect the purposes of such notice of
termination, whether to complete the transfer and endorsement or assignment of
the Mortgage Loans and related documents or otherwise.

     If any Master Servicer Event of Default shall occur, the Trustee, upon
becoming aware of the occurrence thereof, shall promptly notify the Depositor
and each Rating Agency of the nature and extent of such Master Servicer Event of
Default.

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     Within ninety (90) days of the time the Master Servicer receives a notice
of termination from the Trustee pursuant to this Section 6.14, the Trustee,
unless another Master Servicer shall have been appointed, shall be the successor
in all respects to the Master Servicer in its capacity as such under this
Agreement and the transactions set forth or provided for therein and shall have
all the rights and powers and be subject to all the responsibilities, duties and
liabilities relating thereto and arising thereafter placed on the Master
Servicer thereunder, including the obligation to make Advances (subject to
Section 5.04), as applicable; provided, however, that any failure to perform
such duties or responsibilities caused by the Master Servicer's failure to
provide information required by this Agreement or this Agreement shall not be
considered a default by the Trustee hereunder. In addition, the Trustee shall
have no responsibility for any act or omission of the Master Servicer prior to
the issuance of any notice of termination. The Trustee shall have no liability
relating to any representations and warranties of the Master Servicer set forth
in this Agreement. In the Trustee's capacity as such successor master servicer,
the Trustee shall have the same limitations on liability provided to the Master
Servicer in this Agreement. As compensation therefor, the Trustee shall be
entitled to receive all compensation payable to the Master Servicer under this
Agreement.

     The Trustee shall be entitled to be reimbursed by the Depositor and the
Trust Fund (pursuant to Section 6.11 but without regard to any annual limitation
thereunder), in the event that the Master Servicer does not reimburse the
Trustee under this Agreement, for all costs associated with the transfer of
servicing from the predecessor Master Servicer, including, without limitation,
any costs or expenses associated with the termination of the predecessor Master
Servicer, the appointment of a successor, and the complete transfer of all
documents of the Master Servicer reasonably requested by the Trustee to enable
it to assume the Master Servicer's duties hereunder.

     Notwithstanding the above, the Trustee may, if it shall be unwilling to
continue to so act, or shall, if it is unable to so act, petition a court of
competent jurisdiction to appoint, or, with the consent of the Depositor,
appoint on its own behalf any established housing and home finance institution
servicer, or servicing or mortgage servicing institution having a net worth of
not less than $15,000,000 and meeting such other standards for a successor
servicer as are set forth in this Agreement and reasonably satisfactory to the
Depositor, as the successor to the Master Servicer in the assumption of all of
the responsibilities, duties or liabilities of a servicer, like the Master
Servicer. Any entity designated by the Trustee as a successor servicer may be an
Affiliate of the Trustee; provided, however, that, unless such Affiliate meets
the net worth requirements and other standards set forth herein for a successor
servicer, the Trustee, in its individual capacity shall agree, at the time of
such designation, to be and remain liable to the Trust Fund for such Affiliate's
actions and omissions in performing its duties under this Agreement. In
connection with such appointment and assumption, the Trustee may make such
arrangements for the compensation of such successor out of payments on Mortgage
Loans as it and such successor shall agree; provided, however, that no such
compensation shall be in excess of that permitted to the Master Servicer under
this Agreement. The Trustee and such successor shall take such actions,
consistent with this Agreement, as shall be necessary to effectuate any such
succession and may make other arrangements with respect to the servicing to be
conducted hereunder which are not inconsistent herewith and therewith. Neither
the Trustee nor any other successor servicer shall be deemed to be in default
hereunder by reason of any failure to make, or any delay in making, any
distribution hereunder or any portion thereof caused by (i) the failure of the
Master Servicer to deliver, or any delay in delivering, cash, documents or
records to it, (ii) the failure of the Master Servicer to cooperate as required
by this Agreement, (iii) the failure of the Master Servicer to deliver the
Mortgage Loan data to the Trustee as required by this Agreement or (iv)
restrictions imposed by any regulatory authority having jurisdiction over the
Master Servicer.

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     Notwithstanding anything herein to the contrary, in no event shall the
Trustee be liable for any Servicing Fee or master servicing fee or for any
differential in the amount of the Servicing Fee or master servicing fee paid
hereunder and the amount necessary to induce any successor servicer or successor
master servicer to act as successor servicer or successor master servicer, as
applicable, under this Agreement and the transactions set forth or provided for
herein.

     Section 6.15. Additional Remedies of the Master Servicer and the Trustee
Upon Event of Default.

     During the continuance of any Servicer Event of Default or Master Servicer
Event of Default, so long as such Servicer Event of Default or Master Servicer
Event of Default, as applicable, shall not have been remedied, the Master
Servicer (with respect to a Servicer Event of Default) and the Trustee (with
respect to a Master Servicer Event of Default), in addition to the rights
specified in Section 6.14, shall have the right to take all actions now or
hereafter existing at law, in equity or by statute to enforce its rights and
remedies and to protect the interests, and enforce the rights and remedies, of
the Certificateholders (including the institution and prosecution of all
judicial, administrative and other proceedings and the filings of proofs of
claim and debt in connection therewith). Except as otherwise expressly provided
in this Agreement, no remedy provided for by this Agreement shall be exclusive
of any other remedy, and each and every remedy shall be cumulative and in
addition to any other remedy, and no delay or omission to exercise any right or
remedy shall impair any such right or remedy or shall be deemed to be a waiver
of any Servicer Event of Default or Master Servicer Event of Default, as
applicable.

     Section 6.16. Waiver of Servicer Events of Default and Master Servicer
Events of Default.

     More than 50% of the Aggregate Voting Interests of Certificateholders may
waive any default, Servicer Event of Default or Master Servicer Event of Default
by the Servicer or the Master Servicer, as applicable, in the performance of its
obligations hereunder, except that a default in the making of any required
deposit to the Master Servicer Collection Account or the Distribution Account,
respectively, that would result in a failure of the Securities Administrator to
make any required payment of principal of or interest on the Certificates may
only be waived with the consent of 100% of the affected Certificateholders. Upon
any such waiver of a past default, such default shall cease to exist, and any
Servicer Event of Default or Master Servicer Event of Default, as applicable,
arising therefrom shall be deemed to have been remedied for every purpose of
this Agreement. No such waiver shall extend to any subsequent or other default
or impair any right consequent thereon except to the extent expressly so waived.

     Section 6.17. Notification to Holders.

     Upon termination of the Servicer or the Master Servicer or appointment of a
successor to the Servicer or the Master Servicer, in each case as provided
herein, the Master Servicer or the Trustee, as applicable, shall promptly mail
notice thereof by first class mail to the Certificateholders at their respective
addresses appearing on the Certificate Register. The Securities Administrator
shall also, within forty-five (45) days after the occurrence of any Servicer
Event of Default or Master Servicer Event of Default, of which it is notified,
give written notice thereof to the Certificateholders, unless such Servicer
Event of Default or Master Servicer Event of Default shall have been cured or
waived prior to the issuance of such notice and within such 45-day period.

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     Section 6.18. Directions by Certificateholders and Duties of Trustee During
Servicer and Master Servicer Event of Default.

     Subject to the provisions of Section 8.01 hereof, during the continuance of
any Servicer Event of Default or Master Servicer Event of Default, Holders of
Certificates evidencing not less than 25% of the Class Principal Amount (or
Percentage Interest) of each Class of Certificates affected thereby may direct
the time, method and place of conducting any proceeding for any remedy available
to the Trustee or the Master Servicer, as applicable, or exercising any trust or
power conferred upon the Trustee or the Master Servicer, as applicable, under
this Agreement; provided, however, that the Trustee or the Master Servicer, as
applicable, shall be under no obligation to pursue any such remedy, or to
exercise any of the trusts or powers vested in it by this Agreement (including,
without limitation, (i) the conducting or defending of any administrative action
or litigation hereunder or in relation hereto and (ii) the terminating of the
Servicer, Master Servicer, any successor servicer or any successor master
servicer from its rights and duties as servicer or master servicer) at the
request, order or direction of any of the Certificateholders, unless such
Certificateholders shall have offered to the Trustee or the Master Servicer, as
applicable, reasonable security or indemnity against the cost, expenses and
liabilities which may be incurred therein or thereby; and, provided further,
that, subject to the provisions of Section 8.01, the Trustee or the Master
Servicer, as applicable, shall have the right to decline to follow any such
direction if the Trustee, or the Master Servicer, as applicable, in accordance
with an Opinion of Counsel, determines that the action or proceeding so directed
may not lawfully be taken or if the Trustee or the Master Servicer, as
applicable, in good faith determines that the action or proceeding so directed
would involve it in personal liability for which it is not indemnified to its
satisfaction or be unjustly prejudicial to the non-assenting Certificateholders.

     Section 6.19. Preparation of Tax Returns and Other Reports.

     (a) The Securities Administrator shall prepare or cause to be prepared on
behalf of the Issuing Entity, based upon information calculated in accordance
with this Agreement pursuant to instructions given by the Depositor, and the
Securities Administrator shall file federal tax returns, all in accordance with
Article X hereof. The Securities Administrator shall prepare and file such state
income tax returns and such other returns as may be required by applicable law
relating to the Issuing Entity, and, if required by state law, and shall file
any other documents to the extent required by applicable state tax law (to the
extent such documents are in the Securities Administrator's possession). The
Securities Administrator shall forward copies to the Depositor of all such
returns and Form 1099 supplemental tax information and such other information
within the control of the Securities Administrator as the Depositor may
reasonably request in writing, and shall distribute to each Certificateholder
such forms and furnish such information within the control of the Securities
Administrator as are required by the Code and the REMIC Provisions to be
furnished to them, and will prepare and distribute to Certificateholders Form
1099 (supplemental tax information) (or otherwise furnish information within the
control of the Securities Administrator) to the extent required by applicable
law.

     (b) The Securities Administrator shall prepare and file with the Internal
Revenue Service ("IRS"), on behalf of each REMIC, an application on IRS Form
SS-4 or shall obtain a Taxpayer Identification Number for each REMIC using
another reasonable method. If the application is filed on Form SS-4, the
Securities Administrator, upon receipt from the IRS of the Notice of Taxpayer
Identification Number Assigned for each REMIC, shall promptly forward copies of
such notices to the Depositor, upon request. The Securities Administrator will
file an IRS Form 8811.

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                                  ARTICLE VII.

                         PURCHASE OF MORTGAGE LOANS AND
                        TERMINATION OF THE ISSUING ENTITY

     Section 7.01. Purchase of Mortgage Loans; Termination of Issuing Entity
Upon Purchase or Liquidation of All Mortgage Loans.

     (a) The respective obligations and responsibilities of the Trustee, the
Master Servicer, the Servicer, the Securities Administrator and the Depositor
created hereby (other than the obligation of the Securities Administrator to
make payments to Certificateholders as set forth in Section 7.02), shall
terminate on the earliest of (i) the final payment or other liquidation of the
last Mortgage Loan remaining in the Issuing Entity and the disposition of all
REO Property, (ii) the sale of the property held by the Issuing Entity at
auction in accordance with Section 7.01(c) and (iii) the Latest Possible
Maturity Date; provided, however, that in no event shall the Issuing Entity
created hereby continue beyond the expiration of 21 years from the death of the
last survivor of the descendants of Joseph P. Kennedy, the late Ambassador of
the United States to the Court of St. James's, living on the date hereof. Any
termination of the Issuing Entity shall be carried out in such a manner so that
the termination of each REMIC included therein shall qualify as a "qualified
liquidation" under the REMIC Provisions.

     (b) [Reserved]

     (c) Any termination of the Issuing Entity pursuant to clause (a)(ii) above
shall be effected by the auction by the Securities Administrator of all of the
Mortgage Loans and REO Properties via a solicitation of bids in accordance with
procedures to be agreed upon by the Securities Administrator and the Depositor.
The Securities Administrator shall accept the highest such bid, provided that
such bid equals or exceeds the amount described in the definition of "Optional
Termination Price." Notwithstanding anything to the contrary herein, the
Optional Termination Price received by the Securities Administrator shall be
deposited by the Securities Administrator directly into the Distribution Account
no later than the Business Day prior to the date of termination.

     The right of the Securities Administrator to conduct an auction pursuant to
the preceding paragraph shall be conditioned upon the aggregate outstanding
Stated Principal Balance of the Mortgage Loans, at the time of such auction,
aggregating five (5) percent or less of the Stated Principal Balance of the
Mortgage Loans as of the Cut-off Date.

     If the Issuing Entity is not terminated because a sufficient purchase price
is not achieved at such auction, first the Master Servicer or, if the Master
Servicer does not so purchase the Mortgage Loans, the Servicer, may purchase all
of the Mortgage Loans at the Optional Termination Price, which similarly would
result in the termination of the Issuing Entity.

     (d) The Servicer, the Master Servicer and the Securities Administrator
shall be reimbursed from the Optional Termination Price for any Advances,
Servicer Advances, accrued and unpaid Servicing Fees, the cost of any auction
conducted pursuant to (c) above or other amounts with respect to the Mortgage
Loans that are reimbursable to such parties under this Agreement.

     Section 7.02. Procedure Upon Termination of Issuing Entity.

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     (a) Notice of any optional termination pursuant to the provisions of
Section 7.01(c) specifying the Distribution Date upon which the final
distribution shall be made or the Purchase Date, shall be given promptly by the
Securities Administrator by first class mail to Certificateholders mailed no
later than the first day of the month in which the Distribution Date selected
for purchase of the Mortgage Loans occurs or upon (x) the sale of all of the
property of the Issuing Entity by the Securities Administrator or in the case of
a sale of assets of the Issuing Entity, or (y) upon the final payment or other
liquidation of the last Mortgage Loan or REO Property in the Issuing Entity.
Such notice shall specify (A) the Purchase Date and the Distribution Date upon
which final distribution on the Certificates of all amounts required to be
distributed to Certificateholders pursuant to Section 5.02 will be made upon
presentation and surrender of the Certificates at the Certificate Registrar's
Corporate Trust Office, and (B) that the Record Date otherwise applicable to
such Distribution Date is not applicable, distribution being made only upon
presentation and surrender of the Certificates at the office or agency of the
Securities Administrator therein specified. The Securities Administrator shall
give such notice to the Certificate Registrar at the time such notice is given
to Holders of the Certificates. Upon any such termination, the duties of the
Securities Administrator and the Certificate Registrar with respect to the
Certificates shall terminate and the Securities Administrator shall terminate
the Distribution Account and any other account or fund maintained with respect
to the Certificates, subject to the Securities Administrator's obligation
hereunder to hold all amounts payable to Certificateholders in trust without
interest pending such payment.

     (b) In the event that all of the Holders do not surrender their
Certificates for cancellation within three (3) months after the time specified
in the above-mentioned written notice, the Securities Administrator shall give a
second written notice to the remaining Certificateholders to surrender their
Certificates for cancellation and receive the final distribution with respect
thereto. If within one (1) year after the second notice any Certificates shall
not have been surrendered for cancellation, the Securities Administrator may
take appropriate steps to contact the remaining Certificateholders concerning
surrender of such Certificates, and the cost thereof shall be paid out of the
amounts distributable to such Holders. If within two (2) years after the second
notice any Certificates shall not have been surrendered for cancellation, the
Securities Administrator shall, subject to applicable state law relating to
escheatment, hold all amounts distributable to such Holders for the benefit of
such Holders. No interest shall accrue on any amount held by the Securities
Administrator and not distributed to a Certificateholder due to such
Certificateholder's failure to surrender its Certificate(s) for payment of the
final distribution thereon in accordance with this Section.

     (c) Any reasonable expenses incurred by the Securities Administrator, to
the extent that such expenses, if paid or reimbursed by the Issuing Entity,
would constitute "unanticipated expenses" within the meaning of Treasury
Regulations Section 1.860G-1(b)(3)(ii), in connection with any redemption or
termination or liquidation of the Issuing Entity shall be reimbursed from
proceeds received from the liquidation of the Issuing Entity.

     Section 7.03. Additional Issuing Entity Termination Requirements.

     (a) Any termination of the Issuing Entity shall be effected in accordance
with the following additional requirements, unless the Securities Administrator
seeks and receives an Opinion of Counsel (at the expense of such requesting
party), addressed to the Securities Administrator, to the effect that the
failure of the Issuing Entity to comply with the requirements of this Section
7.03 will not (I) result in the imposition of taxes on any REMIC under the REMIC
Provisions or (II) cause any REMIC established hereunder to fail to qualify as a
REMIC at any time that any Certificates are outstanding:

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<PAGE>

          (i) Within eighty-nine (89) days prior to the time of the making of
     the final payment on the Certificates upon notification by the Depositor
     that it intends to exercise its option to cause the termination of the
     Issuing Entity, the Securities Administrator shall adopt a plan of complete
     liquidation prepared by the Depositor of the Issuing Entity on behalf of
     each REMIC, meeting the requirements of a qualified liquidation under the
     REMIC Provisions;

          (ii) Any sale of the assets of the Issuing Entity pursuant to Section
     7.01 or 7.02 shall be a sale for cash and shall occur at or after the time
     of adoption of such a plan of complete liquidation and prior to the time of
     making of the final payment on the Certificates;

          (iii) On the date specified for final payment of the Certificates, the
     Securities Administrator shall make final distributions of principal and
     interest on the Certificates in accordance with Section 5.02 and, after
     payment of, or provision for any outstanding expenses, distribute or
     credit, or cause to be distributed or credited, to the Holders of the
     Residual Certificates all cash on hand after such final payment (other than
     cash retained to meet claims), and the Issuing Entity (and each REMIC)
     shall terminate at that time; and

          (iv) In no event may the final payment on the Certificates or the
     final distribution or credit to the Holders of the Residual Certificates be
     made after the 89th day from the date on which the plan of complete
     liquidation is adopted.

     (b) By its acceptance of a Residual Certificate, each Holder thereof hereby
agrees to accept the plan of complete liquidation adopted by the Securities
Administrator under this Section and to take such other action in connection
therewith as may be reasonably requested by the Securities Administrator.

                                 ARTICLE VIII.

                          RIGHTS OF CERTIFICATEHOLDERS

     Section 8.01. Limitation on Rights of Holders.

     (a) The death or incapacity of any Certificateholder shall not operate to
terminate this Agreement or this Issuing Entity, nor entitle such
Certificateholder's legal representatives or heirs to claim an accounting or
take any action or proceeding in any court for a partition or winding up of this
Issuing Entity, nor otherwise affect the rights, obligations and liabilities of
the parties hereto or any of them. Except as otherwise expressly provided
herein, no Certificateholder, solely by virtue of its status as a
Certificateholder, shall have any right to vote or in any manner otherwise
control the Trustee or the operation and management of the Issuing Entity, or
the obligations of the parties hereto, nor shall anything herein set forth, or
contained in the terms of the Certificates, be construed so as to constitute the
Certificateholders from time to time as partners or members of an association,
nor shall any Certificateholder be under any liability to any third person by
reason of any action taken by the parties to this Agreement pursuant to any
provision hereof.

     (b) No Certificateholder, solely by virtue of its status as
Certificateholder, shall have any right by virtue or by availing itself of any
provision of this Agreement to institute any suit, action or proceeding in
equity or at law upon, under or with respect to this Agreement, unless

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such Holder previously shall have given to the Trustee a written notice of a
Servicer Event of Default or Master Servicer Event of Default and of the
continuance thereof, as hereinbefore provided, and unless also the Holders of
Certificates evidencing not less than 25% of the Class Principal Amount (or
Percentage Interest) of Certificates of each Class affected thereby shall have
made written request upon the Trustee to institute such action, suit or
proceeding in its own name as Trustee hereunder and shall have offered to the
Trustee such reasonable indemnity as it may require against the cost, expenses
and liabilities to be incurred therein or thereby, and the Trustee, for sixty
(60) days after its receipt of such notice, request and offer of indemnity,
shall have neglected or refused to institute any such action, suit or proceeding
and no direction inconsistent with such written request has been given such
Trustee during such sixty-day period by such Certificateholders; it being
understood and intended, and being expressly covenanted by each
Certificateholder with every other Certificateholder and the Trustee, that no
one or more Holders of Certificates shall have any right in any manner whatever
by virtue or by availing itself of any provision of this Agreement to affect,
disturb or prejudice the rights of the Holders of any other of such
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 herein provided and for the benefit of all Certificateholders. For the
protection and enforcement of the provisions of this Section, each and every
Certificateholder and the Trustee shall be entitled to such relief as can be
given either at law or in equity.

     Section 8.02. Access to List of Holders.

     (a) If the Securities Administrator is not acting as Certificate Registrar,
the Certificate Registrar will furnish or cause to be furnished to the
Securities Administrator, within fifteen (15) days after receipt by the
Certificate Registrar of a request by the Securities Administrator in writing, a
list, in such form as the Securities Administrator may reasonably require, of
the names and addresses of the Certificateholders of each Class as of the most
recent Record Date.

     (b) If three or more Holders or Certificate Owners (hereinafter referred to
as "Applicants") apply in writing to the Securities Administrator, and such
application states that the Applicants desire to communicate with other Holders
with respect to their rights under this Agreement or under the Certificates and
is accompanied by a copy of the communication which such Applicants propose to
transmit, then the Securities Administrator shall, within five (5) Business Days
after the receipt of such application, afford such Applicants reasonable access
during the normal business hours of the Securities Administrator to the most
recent list of Certificateholders held by the Securities Administrator or shall,
as an alternative, send, at the Applicants' expense, the written communication
proffered by the Applicants to all Certificateholders at their addresses as they
appear in the Certificate Register.

     (c) Every Holder or Certificate Owner, if the Holder is a Clearing Agency,
by receiving and holding a Certificate, agrees with the Depositor, the
Certificate Registrar and the Securities Administrator that neither the
Depositor, the Certificate Registrar nor the Securities Administrator shall be
held accountable by reason of the disclosure of any information as to the names
and addresses of the Certificateholders hereunder, regardless of the source from
which such information was derived.

     Section 8.03. Acts of Holders of Certificates.

     (a) Any request, demand, authorization, direction, notice, consent, waiver
or other action provided by this Agreement to be given or taken by Holders or
Certificate Owners, if the Holder is a Clearing Agency, may be embodied in and
evidenced by one or more instruments of

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substantially similar tenor signed by such Holders in person or by agent duly
appointed in writing; and, except as herein otherwise expressly provided, such
action shall become effective when such instrument or instruments are delivered
to the Trustee. Such instrument or instruments (as the action embodies therein
and evidenced thereby) are herein sometimes referred to as an "Act" of the
Holders signing such instrument or instruments. Proof of execution of any such
instrument or of a writing appointing any such agents shall be sufficient for
any purpose of this Agreement and conclusive in favor of the Trustee, if made in
the manner provided in this Section.

     (b) The fact and date of the execution by any Person of any such instrument
or writing may be proved by the affidavit of a witness of such execution or by
the certificate of any notary public or other officer authorized by law to take
acknowledgments or deeds, certifying that the individual signing such instrument
or writing acknowledged to him the execution thereof. Whenever such execution is
by an officer of a corporation or a member of a partnership on behalf of such
corporation or partnership, such certificate or affidavit shall also constitute
sufficient proof of his authority. The fact and date of the execution of any
such instrument or writing, or the authority of the individual executing the
same, may also be proved in any other manner which the Trustee deems sufficient.

     (c) The ownership of Certificates (whether or not such Certificates shall
be overdue and notwithstanding any notation of ownership or other writing
thereon made by anyone other than the Securities Administrator) shall be proved
by the Certificate Register, and neither the Trustee, the Securities
Administrator, the Master Servicer, the Servicer nor the Depositor shall be
affected by any notice to the contrary.

     (d) Any request, demand, authorization, direction, notice, consent, waiver
or other action by the Holder of any Certificate shall bind every future Holder
of the same Certificate and the Holder of every Certificate issued upon the
registration of transfer thereof or in exchange therefor or in lieu thereof, in
respect of anything done, omitted or suffered to be done by the Trustee, the
Securities Administrator, the Depositor, the Master Servicer, the Servicer or
any successor to any such parties in reliance thereon, whether or not notation
of such action is made upon such Certificate.

                                  ARTICLE IX.

               ADMINISTRATION AND SERVICING OF THE MORTGAGE LOANS

     Section 9.01. Servicer to Act as Servicer.

     (a) Commencing on the Closing Date, the Servicer shall service each
Mortgage Loan in accordance with Accepted Servicing Practices.

     (b) The Servicer shall maintain an EDP containing all information and
programming necessary to service the Mortgage Loans in accordance with Section
2.01(a) hereof. The Mortgage Loans shall be grouped on the Servicer's EDP to
reflect the Trust Fund as the owner of the Mortgage Loans.

     (c) The Servicer may not waive, modify or vary any term of a Mortgage Note
without the Depositor's prior written consent. The Servicer shall comply with
all applicable federal, state and local legal and regulatory requirements
(including laws, statutes, rules, regulations and ordinances) in connection with
the modification of the Mortgage Note.

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     (d) Notwithstanding anything herein to the contrary, the Servicer shall
follow any reasonable directions given by the Trustee, the Master Servicer
and/or the Depositor with respect to the servicing of the Mortgage Loans.

     (e) With the exception of Ancillary Fees and any other charges expressly
permitted by the Mortgage Note and applicable law, the Servicer covenants and
agrees that it will not, without the prior written consent of the Sponsor,
charge or collect from any Mortgagor, or trustee under a deed of trust, any fees
of any kind including, but not limited to charges for amounts expended by the
Servicer, regardless of the characterization of the fee or charge.

     (f) The Trustee agrees to execute such limited powers of attorney provided
to it by the Servicer, in a form acceptable to it, as are necessary and
appropriate to assist the Servicer to carry out its servicing and administrative
responsibilities under this Agreement.

     (g) In connection with its duties hereunder, in the event the Servicer
requires an original of any document contained in a Mortgagor's file to service
a Mortgage Loan, it shall submit a written request to the Trustee and its
Custodian and the Trustee, or its Custodian, shall provide the original document
to the Servicer within two (2) Business Days after receipt of the written
request, provided that (a) as to any recorded document, the applicable
recorder's office has returned the recorded document to the Servicer or (b) as
to the original title insurance policy, the Servicer has received such policy.
When requesting a release of documents from the Trustee, the Servicer shall use
the form attached hereto as Exhibit N. Notwithstanding the foregoing, the
Servicer acknowledges and agrees that the Sponsor maintains agreements with
document custodians selected by it from time to time, pursuant to which such
custodians maintain Mortgage Loan files on behalf of the Sponsor. The Servicer
agrees to cooperate with such custodians and request from such custodians the
documents and Mortgage Files required by the Servicer which are maintained by
such custodians (with a copy of such request sent to the Sponsor).

     (h) The Servicer shall not, unless default by the related Mortgagor has
occurred or is imminent, knowingly permit any modification, waiver or amendment
of any material term of any Mortgage Loan (including but not limited to the
interest rate, the principal balance, the amortization schedule, or any other
term affecting the amount or timing of payments on the Mortgage Loan or the
collateral therefor) unless the Servicer shall have provided to the Depositor,
the Securities Administrator and the Trustee an Opinion of Counsel in writing to
the effect that such modification, waiver or amendment would not cause an
Adverse REMIC Event.

     Section 9.02. Title, Management and Disposition of REO Property.

     (a) If title to a Mortgaged Property is acquired in foreclosure or by deed
in lieu of foreclosure, the deed or certificate of sale shall be taken in the
name of the Trustee or its designee. Notwithstanding the foregoing, the Servicer
shall not acquire title to any Mortgaged Property, or proceed with the
management of any REO Property, for which the Servicer has knowledge that such
Mortgaged Property or REO Property is affected by hazardous waste. The Servicer
shall either itself, or through an agent, manage, conserve, protect and operate
each REO Property (and may temporarily rent the same) on behalf of the Trust
Fund.

     In the event that the Trust Fund acquires any REO Property in connection
with a default or imminent default on a Mortgage Loan, the Servicer shall
dispose of such REO Property not later than the end of the third taxable year
after the year of its acquisition by the Trust Fund unless the Servicer has
applied for and received a grant of extension from the Internal Revenue Service
to the effect that, under the REMIC Provisions and any relevant proposed
legislation and

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under applicable state law, the Trust Fund may hold REO Property for a longer
period without adversely affecting the REMIC status of such REMIC or causing the
imposition of a federal or state tax upon such REMIC. If the Servicer has
received such an extension, then the Servicer shall continue to attempt to sell
the REO Property for its fair market value for such period longer than three
years as such extension permits (the "Extended Period"). If the Servicer has not
received such an extension and the Servicer is unable to sell the REO Property
within the period ending 3 months before the end of such third taxable year
after its acquisition by the Trust Fund or if the Servicer has received such an
extension, and the Servicer is unable to sell the REO Property within the period
ending three months before the close of the Extended Period, the Servicer shall,
before the end of the three year period or the Extended Period, as applicable,
(i) purchase such REO Property at a price equal to the REO Property's fair
market value or (ii) auction the REO Property to the highest bidder (which may
be the Servicer) in an auction reasonably designed to produce a fair price prior
to the expiration of the three-year period or the Extended Period, as the case
may be. The Trustee shall sign any document (in a form acceptable to it)
prepared by the Servicer or take any other action reasonably requested by the
Servicer which would enable the Servicer, on behalf of the Trust Fund, to
request such grant of extension.

     Notwithstanding any other provisions of this Agreement, no REO Property
acquired by the Trust Fund shall be held, rented (or allowed to continue to be
rented) or otherwise used by or on behalf of the Trust Fund in such a manner or
pursuant to any terms that would: (i) cause such REO Property to fail to qualify
as "foreclosure property" within the meaning of Section 860G(a)(8) of the Code;
or (ii) subject the Trust Fund to the imposition of any federal income taxes on
the income earned from such REO Property, including any taxes imposed by reason
of Sections 860F or 860G(c) of the Code, unless the Servicer has agreed to
indemnify and hold harmless the Trust Fund with respect to the imposition of any
such taxes.

     (b) The Servicer shall deposit or cause to be deposited in the applicable
Collection Account, on a daily basis, upon two Business Days from receipt, all
revenues received with respect to each REO Property and shall be permitted to
withdraw therefrom, to the extent of the amount of such revenues on deposit
therein, funds necessary for the proper operation, management and maintenance of
such REO Property, including but not limited to the cost of maintaining any
hazard insurance and the fees of any managing agent acting on behalf of the
Servicer.

     (c) If the Servicer elects to dispose of an REO Property without utilizing
the services of an agent, the Servicer shall notify the Master Servicer of its
receipt of any and all bona fide offers to purchase that REO Property. Each such
REO Disposition shall be carried out by the Servicer at such price, and upon
such terms and conditions.

     If the Servicer utilizes the services of an approved agent to dispose of an
REO Property, the Servicer shall provide the Master Servicer with a copy of such
agent's marketing plan, which shall include, but not be limited to, (i) the
marketing time period, (ii) an estimate of the costs of any repairs or
improvements, (iii) the lowest acceptable sale price for the REO Property and
(iv) other proposed terms and conditions of sale. The REO Disposition shall be
carried out by the Servicer in accordance with the terms thereof. If the
Servicer receives a bona fide offer to purchase an REO Property and would like
to accept the offer, but the offer is outside the parameters of the approved
marketing plan, the Servicer shall provide the Master Servicer with written
notification of the terms and conditions of the offer.

     The Servicer, upon an REO Disposition, shall be entitled to reimbursement
for any related unreimbursed Servicing Advances from proceeds received in
connection with such REO

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Disposition. If the proceeds from an REO Disposition are insufficient to
reimburse the Servicer for any related unreimbursed Servicing Advances, to the
extent such reimbursement will constitute an "unanticipated expense" (within the
meaning of Treasury Regulations Section 1.860G-1(b)(3)(ii)) of a REMIC provided
for herein, the Servicer shall be entitled to withdraw any such deficiency from
amounts on deposit in the applicable Collection Account. All proceeds from an
REO Disposition, net of any reimbursement to the Servicer as provided above,
shall be remitted to the Master Servicer within three (3) Business Days
following receipt thereof.

     Section 9.03. Master Servicer's and Depositor's Right to Examine Servicer
Records.

     (a) The Servicer shall cooperate with the Depositor and the Master
Servicer, its counsel, accountants (including outside accountants), supervisory
agents, examiners and other representatives in providing reasonable access
during normal business hours to examine and audit any and all of the books,
records, documentation or other information of the Servicer related to the
Mortgage Loans, which may be relevant to the performance or observance by the
Servicer of the terms, covenants or conditions of this Agreement.

     (b) The examination and audit rights and other rights to access described
in clause (a) above shall be afforded by the Servicer at its offices without
charge, upon reasonable request, and during normal business hours or at such
other times as may be reasonable under applicable circumstances. The Servicer,
at its expense, shall make available all customary, reasonable office space,
facilities, and equipment for the visiting party and shall provide the visiting
party with access to reasonable cooperation with its officers and employees. The
salaries, travel, subsistence and other related expenses for the Depositor's
and/or the Master Servicer's representatives shall be borne by the Depositor
and/or the Master Servicer.

     Section 9.04. Legal Proceedings Involving the Servicer and/or the Mortgage
Loans.

     (a) The Servicer shall commence, defend, appear, or otherwise participate
in any foreclosure, condemnation, bankruptcy, or other legal proceedings
relating to a Mortgage Loan in the name of the Trustee and/or the Issuing
Entity. The Servicer shall provide the Master Servicer, on a monthly basis, with
such written reports as it receives regarding any legal proceedings.

     (b) The Servicer shall commence all foreclosures, bankruptcies and other
legal proceedings in the name of the Trustee and/or the Issuing Entity unless
otherwise directed in writing by the Trustee.

     Section 9.05. Material Changes.

     The Servicer shall promptly report to the Master Servicer and the Depositor
any change in its business operations, financial condition, properties or assets
that could have a material adverse effect on the Servicer's ability to perform
its obligations hereunder. Events for which the Master Servicer and the
Depositor must receive notice include, but are not limited to, the following:

     (a) any merger or consolidation, any changes in the Servicer's ownership
whether directly or indirectly (including any change in ownership of the
Servicer's parent), or any significant reorganization;

     (b) any material changes in management ordered or required by a regulatory
authority supervising or licensing the Servicer;

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     (c) the entry against the Servicer of a decree or order of a court or
agency or supervisory authority having jurisdiction for the appointment of a
trustee, conservator, receiver, liquidator, assignee, custodian or sequestrator
(or other similar official) in any federal or state bankruptcy, insolvency,
readjustment of debt, marshaling of assets and liabilities or similar
proceedings, or for the winding-up or liquidation of its affairs, if such decree
or order has remained in force undischarged or unstayed for a period of sixty
(60) days;

     (d) the consent by the Servicer to the appointment of a trustee,
conservator, receiver, liquidator, assignee, custodian or sequestrator (or other
similar official) in, or commencement of a voluntary case under, any federal or
state bankruptcy, insolvency, readjustment of debt, marshaling of assets and
liabilities or similar proceedings;

     (e) upon the Servicer's (A) admitting in writing its inability to pay its
debts generally as they become due, (B) filing a petition to take advantage of
any applicable insolvency or reorganization statute, (C) making an assignment
for the benefit of its creditors or (D) voluntarily suspending payment of its
obligations;

     (f) entry of any court judgment or regulatory order in which the Servicer
is or may be required to pay a claim or claims that may have a material adverse
effect on the Servicer's financial condition;

     (g) any admission by the Servicer to the commission of, or any finding that
the Servicer has committed, any violation of any law, regulation or order in any
proceeding or audit commenced by any governmental, or regulatory authority, or
any proceeding commenced in any court of law;

     (h) the commencement of any class action law suits against the Servicer;
and

     (i) the Servicer's entry into any agreement with a third party that would
result in any material change in the financial status or ownership of the
Servicer or any merger of the Servicer.

     Section 9.06. Servicer Shall Provide Information as Reasonably Required.

     During the term of this Agreement, the Servicer shall furnish any reports
or documentation that the Master Servicer and/or the Depositor may reasonably
request. Reports requested may include reports not specified or otherwise
required by this Agreement or reports required to comply with any regulations
regarding any supervisory agents or examiners of the Master Servicer and/or the
Depositor, as applicable. All reports will be delivered in accordance with the
Master Servicer's and/or the Depositor's reasonable instructions and directions.
The Servicer agrees to execute and deliver all such instruments and take all
such action as the Master Servicer and/or the Depositor, as applicable, from
time to time, may reasonably request in order to effectuate the purpose and to
carry out the terms of this Agreement.

     Section 9.07. Servicer Not to Resign.

     The Servicer shall neither assign this Agreement or the servicing hereunder
or delegate its rights or duties hereunder or any portion hereof (to other than
a third party in the case of outsourcing routine tasks such as taxes, insurance
and property inspection, in which case the Servicer shall be fully liable for
such tasks as if the Servicer performed them itself) nor sell or otherwise
dispose of all or substantially all of its property or assets without the prior
written consent of the Master Servicer and the Depositor, which consent shall be
granted or withheld in

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the reasonable discretion of such parties, provided, however, that (i) the
Servicer may assign its rights and obligations hereunder without prior written
consent of the Master Servicer and the Depositor to any entity that is directly
owned or controlled by the Servicer, and the Servicer guarantees the performance
of such entity hereunder, (ii) the Servicer is no longer permitted to act as
Servicer under applicable law as evidenced by an Opinion of Counsel or (iii)
upon a sale of its servicing rights with respect to the Mortgage Loans with the
prior written consent of the Sponsor. In the case of item (i) above, the
Servicer shall provide the Master Servicer and the Depositor with a written
statement guaranteeing the successor entity's performance of the Servicer's
obligations under the Agreement.

     Section 9.08. Collection Accounts and Escrow Accounts.

     The Servicer shall segregate and hold all funds collected and received
pursuant to each Mortgage Loan separate and apart from any of its own funds and
general assets. The Servicer shall create and maintain Collection Accounts and
Escrow Accounts for the deposit of all funds, except as otherwise provided
herein, received by the Servicer on the Mortgage Loans. The Servicer shall be
responsible for reviewing and reconciling all collection accounts in accordance
with industry standards. The Servicer shall act promptly to resolve any
discrepancies. The Servicer shall be responsible for all expenses and
consequences for failure to reconcile the accounts.

     Section 9.09. Assumption Processing.

     Within three (3) Business Days of receipt by the Servicer of a request by a
Mortgagor to be released from liability for payment of a Mortgage Loan in
connection with an assumption of the related Mortgage Note, the Servicer shall
notify the Master Servicer of such request. Upon the completion of the
assumption processing, the Sponsor shall provide the Servicer with all necessary
information to enable the Servicer to update its EDP.

     Section 9.10. Books and Records.

     The Servicer shall be responsible for maintaining, and shall maintain, a
complete set of records for the Mortgage Loans. The Servicer's books and records
shall clearly reflect the ownership of the Mortgage Loans by the Issuing Entity.
All documents, records and correspondence, regardless of the media in which they
are stored or maintained, are property of the Issuing Entity, and the Servicer
shall hold the same in a fiduciary capacity for the Issuing Entity. The Servicer
may retain copies of all such documents, records and correspondence as may be
necessary to service the Mortgage Loans under this Agreement.

     Section 9.11. Annual Statement as to Compliance.

     Not later than March 1st for each calendar year (other than the calendar
year during which the Closing Date occurs), the Servicer shall deliver (or
otherwise make available) and the Servicer shall cause any Servicing Function
Participant engaged by it to deliver to the Master Servicer, the Securities
Administrator and the Depositor, an Officer's Certificate in the form attached
hereto as Exhibit V stating, as to each signatory thereof, that (i) a review of
the activities of such signatory during the preceding calendar year, or portion
thereof, and of the performance of such signatory under this Agreement or such
other applicable agreement in the case of a Servicing Function Participant has
been made under such officer's supervision, and (ii) to the best of such
officer's knowledge, based on such review, such signatory has fulfilled all its
obligations under this Agreement or such other applicable agreement in all
material respects throughout such

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year or a portion thereof, or, if there has been a failure to fulfill any such
obligation in any material respect, specifying each such failure known to such
officer and the nature and status thereof.

     The Master Servicer and the Securities Administrator shall deliver (or
otherwise make available) (and the Master Servicer and Securities Administrator
shall cause any Servicing Function Participant engaged by it to deliver) to the
Depositor and the Securities Administrator on or before March 1 (with a
twelve-calendar day cure period) of each year, commencing in March 2008, an
Officer's Certificate stating, as to the signer thereof, that (A) a review of
such party's activities during the preceding calendar year or portion thereof
and of such party's performance under this Agreement, or such other applicable
agreement in the case of a Servicing Function Participant, has been made under
such officer's supervision and (B) to the best of such officer's knowledge,
based on such review, such party has fulfilled all its obligations under this
Agreement, or such other applicable agreement in the case of a Servicing
Function Participant, in all material respects throughout such year or portion
thereof, or, if there has been a failure to fulfill any such obligation in any
material respect, specifying each such failure known to such officer and the
nature and status thereof.

     The Master Servicer shall include all annual statements of compliance
received by it from the Servicer with its own annual statement of compliance to
be submitted to the Securities Administrator pursuant to this Section.

     In the event the Servicer, the Master Servicer, the Securities
Administrator or any Servicing Function Participant engaged by any such party is
terminated, assigns its rights and obligations under or resigns pursuant to the
terms of this Agreement, or such other applicable agreement in the case of a
Servicing Function Participant, as the case may be, such party shall provide, an
annual statement of compliance pursuant to this Section 9.11 or to such
applicable agreement, as the case may be, notwithstanding any such termination,
assignment or resignation.

     Section 9.12. [Reserved]

     Section 9.13. Reports on Assessment of Compliance and Attestation.

     (a) Not later than March 1st for each calendar year (other than the
calendar year during which the Closing Date occurs) the Servicer at its own
expense, shall furnish, and shall cause any Servicing Function Participant
engaged by it to furnish (unless in the case of a Subcontractor, the Servicer
has notified the Depositor and the Master Servicer in writing that such
compliance statement is not required for the Subcontractor) to the Master
Servicer, the Securities Administrator and the Depositor an officer's assessment
of its compliance with the Relevant Servicing Criteria during the preceding
calendar year as required by Rules 13a-18 and 15d-18 of the Exchange Act and
Item 1122 of Regulation AB (the "Assessment of Compliance"), which assessment (a
form of which is attached hereto as Exhibit S-1) shall contain (A) a statement
by such party of its responsibility for assessing compliance with the Relevant
Servicing Criteria, (B) a statement that such party used the Relevant Servicing
Criteria to assess compliance with the Relevant Servicing Criteria, (C) such
party's assessment of compliance with the Relevant Servicing Criteria as of and
for the fiscal year covered by the Form 10-K required to be filed pursuant to
Section 9.21, including, if there has been any material instance of
noncompliance with the Relevant Servicing Criteria, a discussion of each such
failure and the nature and status thereof, which assessment shall be based on
the activities it performs with respect to asset-backed securities transactions
taken as a whole involving such party that are backed by the same asset type as
the Mortgage Loans, and (D) a statement that a registered public

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accounting firm has issued an attestation report on such party's assessment of
compliance with the Relevant Servicing Criteria as of and for such period.

     By March 1 (with a ten-calendar day cure period) of each year, commencing
in March 2008, the Master Servicer, the Securities Administrator and the
Custodian each at its own expense, shall furnish or otherwise make available,
and each such party shall cause any Servicing Function Participant engaged by it
to furnish, each at its own expense, to the Securities Administrator and the
Depositor, a report on an assessment of compliance with the Relevant Servicing
Criteria that contains (A) a statement by such party of its responsibility for
assessing compliance with the Relevant Servicing Criteria, (B) a statement that
such party used the Relevant Servicing Criteria to assess compliance with the
Relevant Servicing Criteria, (C) such party's assessment of compliance with the
Relevant Servicing Criteria as of and for the fiscal year covered by the Form
10-K required to be filed pursuant to Sections 9.21(h), (i), (j) and (k),
including, if there has been any material instance of noncompliance with the
Relevant Servicing Criteria, a discussion of each such failure and the nature
and status thereof, and (D) a statement that a registered public accounting firm
has issued an attestation report on such party's assessment of compliance with
the Relevant Servicing Criteria as of and for such period.

     No later than the end of each fiscal year for the Trust for which a 10-K is
required to be filed, the Servicer, the Master Servicer and the Custodian shall
each forward to the Securities Administrator and the Depositor the name of each
Servicing Function Participant engaged by it and what Relevant Servicing
Criteria will be addressed in the report on assessment of compliance prepared by
such Servicing Function Participant (provided, however, that the Master Servicer
need not provide such information to the Securities Administrator so long as the
Master Servicer and the Securities Administrator are the same Person). When the
Servicer, the Master Servicer, and the Securities Administrator (or any
Servicing Function Participant engaged by them) submit their assessments to the
Securities Administrator or the Master Servicer, as the case may be, such
parties will also at such time include the assessment and attestation pursuant
to this Section 9.13 of each Servicing Function Participant engaged by it.

     Promptly after receipt of each report on assessment of compliance, (i) the
Depositor shall review each such report and, if applicable, consult with such
Servicer, the Master Servicer, the Securities Administrator and any Servicing
Function Participant engaged by any such party as to the nature of any material
instance of noncompliance with the Relevant Servicing Criteria by such party,
and (ii) the Securities Administrator shall confirm that the assessments
individually address the Relevant Servicing Criteria for each party as set forth
on Exhibit S-2, in respect of the Servicer and notify the Depositor of any
exceptions.

     The Master Servicer shall include all annual reports on assessment of
compliance received by it from the Servicer with its own assessment of
compliance to be submitted to the Securities Administrator pursuant to this
Section.

     In the event the Servicer, the Master Servicer, the Securities
Administrator or any Servicing Function Participant engaged by any such party is
terminated, assigns its rights and obligations under or resigns pursuant to the
terms of this Agreement, or any other applicable agreement, as the case may be,
such party shall provide, an assessment of compliance pursuant to this Section
9.13, coupled with an attestation as required in this Section 9.13, or such
applicable agreement notwithstanding any such termination, assignment or
resignation.

     (b) Not later than March 1st for each calendar year (other than the
calendar year during which the Closing Date occurs) the Servicer at its own
expense, shall

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cause, and shall cause any Servicing Function Participant engaged by it to cause
(unless in the case of a Subcontractor, the Servicer has notified the Depositor
and the Master Servicer in writing that such report is not required for the
Subcontractor) a nationally or regionally recognized firm of independent
registered public accountants (who may also render other services to the
Servicer, the Master Servicer or any affiliate thereof) which is a member of the
American Institute of Certified Public Accountants to furnish a report (the
"Accountant's Attestation") to the Master Servicer, the Securities Administrator
and the Depositor to the effect that (i) it has obtained a representation
regarding certain matters from the management of such party, which includes an
assertion that such party has complied with the Relevant Servicing Criteria, and
(ii) on the basis of an examination conducted by such firm in accordance with
standards for attestation engagements issued or adopted by the Public Servicer
Accounting Oversight Board, it is expressing an opinion as to whether such
party's compliance with the Relevant Servicing Criteria was fairly stated in all
material respects, or it cannot express an overall opinion regarding such
party's assessment of compliance with the Relevant Servicing Criteria. In the
event that an overall opinion cannot be expressed, such registered public
accounting firm shall state in such report why it was unable to express such an
opinion. Such report must be available for general use and not contain
restricted use language. Such Accountant's 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.

     By March 1 (with a ten-calendar day cure period) of each year, commencing
in March 2008, the Master Servicer, the Securities Administrator and the
Custodian, each at its own expense, shall cause, and each such party shall cause
any Servicing Function Participant engaged by it to cause, each at its own
expense, a registered public accounting firm (which may also render other
services to the Master Servicer, the Trustee, the Securities Administrator, or
such other Servicing Function Participants, as the case may be) and that is a
member of the American Institute of Certified Public Accountants to furnish an
attestation report to the Securities Administrator and the Depositor, to the
effect that (i) it has obtained a representation regarding certain matters from
the management of such party, which includes an assertion that such party has
complied with the Relevant Servicing Criteria, and (ii) on the basis of an
examination conducted by such firm in accordance with standards for attestation
engagements issued or adopted by the Public Company Accounting Oversight Board,
it is expressing an opinion as to whether such party's compliance with the
Relevant Servicing Criteria was fairly stated in all material respects, or it
cannot express an overall opinion regarding such party's assessment of
compliance with the Relevant Servicing Criteria. In the event that an overall
opinion cannot be expressed, such registered public accounting firm shall state
in such report why it was unable to express such an opinion. Such report must be
available for general use and not contain restricted use language.

     (c) Promptly after receipt of each assessment of compliance and attestation
report, the Securities Administrator shall confirm that each assessment
submitted pursuant to Section 9.13(a) is coupled with an attestation meeting the
requirements of Section 9.13(b) and notify the Depositor of any exceptions.

     The Master Servicer shall include each such attestation furnished to it by
the Servicer with its own attestation to be submitted to the Securities
Administrator pursuant to this Section.

     In the event the Master Servicer, the Securities Administrator, the
Custodian, the Servicer or any Servicing Function Participant engaged by any
such party is terminated, assigns its rights and duties under, or resigns
pursuant to the terms of this Agreement or any applicable Custodial Agreement,
as the case may be, such party shall cause a registered public accounting firm
to

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provide an attestation pursuant to this Section 9.13, or such other applicable
agreement, notwithstanding any such termination, assignment or resignation.

     Section 9.14. Servicing Compensation.

     (a) Subject to the following paragraph, as compensation for its services
hereunder, the Servicer shall be entitled to a Servicing Fee payable with
respect to each Mortgage Loan that it services. As to each Mortgage Loan, the
Servicing Fee shall be payable monthly from payments of interest on such
Mortgage Loan prior to the deposit of such payments into the applicable
Collection Account, shall accrue at the applicable Servicing Fee Rate, and shall
be computed on the basis of the same principal amount and for the same period
respecting which such interest payment was computed.

     (b) The Servicing Fee for each Mortgage Loan shall be payable solely from
(i) the interest portion of the related Monthly Payment (to the extent paid by
the Mortgagor, but only if a full interest payment is received), or (ii) from
any payment of interest made with respect to the Mortgage Loan from the proceeds
of foreclosure or any judgment, writ of attachment or levy against the Mortgagor
or the Mortgagor's assets, or (iii) from funds paid in connection with any
prepayment in full, or (iv) from Insurance Proceeds or Liquidation Proceeds.

     (c) As additional compensation hereunder, the Servicer may retain (i) all
net interest earnings on balances maintained in the Collection Account and
Escrow Accounts and (ii) the Ancillary Fees.

     (d) The Servicer's right to the Servicing Fee shall not be transferred in
whole or in part except in connection with any permitted transfer of all the
Servicer's obligations under this Agreement. The Servicer shall be required to
pay all expenses incurred by it in connection with its servicing activities
hereunder and shall not be entitled to reimbursement therefor except as
specifically provided for herein.

     Section 9.15. Indemnification.

     (a) The Servicer shall indemnify and hold the Master Servicer, the Trustee,
the Securities Administrator, the Issuing Entity, the Certifying Person, the
Depositor and their respective officers, directors, employees and agents
(collectively, the "Indemnified Parties") harmless from, and will reimburse the
Indemnified Parties for, any and all Losses incurred by any of the Indemnified
Parties to the extent that such Losses result from, are caused by or arise out
of any one or more of the following:

          (i) Any material misrepresentations made by the Servicer in this
     Agreement, or in any schedule, exhibit, or certificate furnished pursuant
     hereto;

          (ii) Any material breach of any of the representations and warranties
     of the Servicer or the nonfulfillment of any term, covenant, condition or
     obligation of the Servicer set forth in this Agreement or in any schedule,
     statement, exhibit, or certificate furnished pursuant hereto, or any
     default or failure to perform by the Servicer hereunder;

          (iii) Any failure of the Servicer to comply with Accepted Servicing
     Practices in connection with servicing the Mortgage Loans;

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          (iv) Any liabilities or obligations, contingent or otherwise, of the
     Servicer of any nature whatsoever relating to the Servicer's obligations
     under this Agreement, to the extent that any related Loss to the Master
     Servicer, the Trustee, the Securities Administrator, the Issuing Entity or
     the Depositor is not increased by negligence, bad faith or willful
     misconduct on the part of the Master Servicer, the Trustee, the Securities
     Administrator, the Issuing Entity or the Depositor; or

          (v) Any non-compliance with the terms of the powers of attorney or the
     use thereof that results in a Loss to the Master Servicer, the Trustee, the
     Securities Administrator, the Issuing Entity or the Depositor.

     (b) The Servicer shall indemnify and hold harmless the Depositor, the
Trustee, the Securities Administrator and the Master Servicer and each of its
officers, directors and affiliates from and against any losses, damages,
penalties, fines, forfeitures, reasonable and necessary legal fees and related
costs, judgments and other costs and expenses arising out of or based upon a
breach of the obligations of the Servicer under Sections 9.11, 9.13 and 9.21
(including particularly any failure by the Servicer, any Sub-servicer or any
Subcontractor to deliver any information, report, certification, accountants'
letter or other material when and as required therein) or the Servicer's
negligence, bad faith or willful misconduct in connection therewith. In
addition, the Servicer shall indemnify and hold harmless the Depositor and each
of its officers, directors and affiliates and the Master Servicer from and
against any losses, damages, penalties, fines, forfeitures, reasonable and
necessary legal fees and related costs, judgments and other costs and expenses
arising out of or based upon (i) any untrue statement or alleged untrue
statement of any material fact contained in any Back-Up Certification, the
Annual Statement of Compliance, the Assessment of Compliance, the Accountant's
Attestation, any Additional Disclosure or other information provided by or on
behalf of the Servicer or on behalf of any subservicer or subcontractor of the
Servicer pursuant to Section 9.11, 9.13 and 9.21 (the "Servicer Information"),
or (ii) the omission or alleged omission to state therein a material fact
required to be stated therein or necessary to make the statements therein, in
light of the circumstances in which they were made, not misleading; provided, by
way of clarification, that clause (ii) of this paragraph shall be construed
solely by reference to the Servicer Information and not to any other information
communicated in connection with the Certificates, without regard to whether the
Servicer Information or any portion thereof is presented together with or
separately from such other information.

     If the indemnification provided for herein is unavailable or insufficient
to hold harmless the Depositor, the Trustee, the Securities Administrator or the
Master Servicer, as applicable, then the defaulting party, in connection with
any conduct for which it is providing indemnification for under this Section
9.15(b), agrees that it shall contribute to the amount paid or payable by the
other parties as a result of the losses, claims, damages or liabilities of the
other party in such proportion as is appropriate to reflect the relative fault
and the relative benefit of the respective parties.

     The indemnification provisions set forth in this Section 9.15(b) shall
survive the termination of this Agreement or the termination of any party to
this Agreement.

     The indemnity provided in this Section 9.15 shall remain in full force and
effect regardless of any investigation made by the Master Servicer, the Trustee,
the Securities Administrator, the Issuing Entity or the Depositor or its
representatives. The provisions of this Section 9.15 shall survive the
termination of this Agreement and the payment of the outstanding Certificates.

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     Section 9.16. Non Solicitation.

     For as long as the Servicer services the Mortgage Loans, the Servicer
covenants that it will not, and that it will ensure that its affiliates and
agents, will not, directly solicit or provide information for any other party to
solicit for prepayment or refinancing of any of the Mortgage Loans by the
related Mortgagors. It is understood that the promotions undertaken by the
Servicer which are directed to the general public at large, or certain segments
thereof, shall not constitute solicitation as that term is used in this Section
9.16.

     Section 9.17. Successor to the Servicer.

     Simultaneously with the termination of the Servicer's responsibilities and
duties under this Agreement (a) the Master Servicer shall, in accordance with
the provisions of this Agreement (i) succeed to and assume all of the Servicer's
responsibilities, rights, duties and obligations under this Agreement, or (ii)
appoint a successor meeting the eligibility requirements set forth herein and
which shall succeed to all rights and assume all of the responsibilities, duties
and liabilities of the Servicer under this Agreement with the termination of the
Servicer's responsibilities, duties and liabilities under this Agreement. If the
Master Servicer shall succeed to and assume the Servicer's responsibilities,
rights, duties and obligations under this Agreement, such succession shall not
be effective prior to ninety (90) days after the Master Servicer's knowledge
that the Servicer shall be terminated hereunder. The Servicer shall not be
removed hereunder prior to the effectiveness of the assumption of its
responsibilities, rights, duties and obligations by the successor thereto. Any
successor to the Servicer shall be subject to the approval of the Depositor, the
Master Servicer and each Rating Agency. Each Rating Agency must deliver to the
Master Servicer a letter to the effect that such transfer of servicing will not
result in a qualification, withdrawal or downgrade of the then-current rating of
any of the Certificates. In connection with such appointment and assumption, the
Master Servicer or the Depositor, as applicable, may make such arrangements for
the compensation of such successor out of payments on the Mortgage Loans as it
and such successor shall agree; provided, however, that no such compensation
shall be in excess of that permitted the Servicer under this Agreement. In the
event that the Servicer's duties, responsibilities and liabilities under this
Agreement should be terminated pursuant to the aforementioned sections, the
Servicer shall discharge such duties and responsibilities during the period from
the date it acquires knowledge of such termination until the effective date
thereof with the same degree of diligence and prudence which it is obligated to
exercise under this Agreement, and shall take no action whatsoever that might
impair or prejudice the rights or financial condition of its successor. The
resignation or removal of the Servicer pursuant to the aforementioned sections
shall not become effective until a successor shall be appointed pursuant to this
Section 9.17 and shall in no event relieve the Servicer of the representations
and warranties made herein and the remedies available to the Master Servicer
herein, it being understood and agreed that the provisions of this Agreement
regarding indemnification and nonsolicitation shall be applicable to the
Servicer notwithstanding any such resignation or termination of the Servicer, or
the termination of this Agreement.

     Section 9.18. Statements to the Master Servicer.

     (a) Not later than the fifth (5th) Business Day of each month, the Servicer
shall furnish to the Master Servicer a delinquency report in the form set forth
in Exhibit D-1, a monthly remittance advice in the form set forth in Exhibit
D-2, and a realized loss report in the form set forth in Exhibit D-3, each in a
mutually agreeable electronic format, or in such other format or, solely with
respect to Exhibits D-1 and D-2, such other content, as mutually agreed to by
the Servicer and the Master Servicer, as to the

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remittance on such Servicer Remittance Date and as to the period ending on the
last day of the month preceding such Servicer Remittance Date.

     (b) The Servicer shall provide the Securities Administrator with such
information concerning the Mortgage Loans as is necessary for the Securities
Administrator to prepare its federal income tax return as the Securities
Administrator may reasonably request from time to time.

     (c) The Servicer shall provide to the Master Servicer and the Depositor,
evidence of the authorization of the person signing any certification or
statement, copies or other evidence of fidelity bond insurance and errors and
omission insurance policy, financial information and reports, and such other
information (including, but not limited to, annual financial statements,
insurance policies and authorized officers lists) related to the Servicer or any
Sub-Servicer of the Servicer or such Sub-Servicer's performance hereunder.

     Section 9.19. Merger or Consolidation of the Servicer.

     Any entity into which the Servicer may be merged or consolidated, or any
entity resulting from any merger, conversion or consolidation to which the
Servicer shall be a party, or any corporation succeeding to the business of the
Servicer, shall be the successor of the Servicer hereunder, without the
execution or filing of any paper or any further act on the part of any of the
parties hereto, anything herein to the contrary notwithstanding; provided,
however that the successor servicer shall satisfy all the requirements of
Section 9.17 with respect to the qualifications of a successor servicer.

     Section 9.20. Limitation on Liability of the Servicer.

     Neither the Servicer nor any of its directors, officers, employees or
agents shall be under any liability to the Certificateholders for any action
taken or for refraining from the taking of any action in good faith pursuant to
this Agreement, or for errors in judgment; provided, however, that this
provision shall not protect the Servicer or any such Person against any breach
of representations or warranties made by it herein or protect the Servicer or
any such Person from any liability which would otherwise be imposed by reasons
of willful misfeasance, bad faith or negligence in the performance of its duties
or by reason of reckless disregard of its obligations and duties hereunder. The
Servicer and any director, officer, employee or agent of the Servicer shall be
indemnified by the Issuing Entity and held harmless against any loss, liability
or expense incurred in connection with any audit, controversy or judicial
proceeding relating to a governmental taxing authority or any legal action
relating to this Agreement or the Certificates or any other unanticipated or
extraordinary expense, other than any loss, liability or expense incurred by
reason of willful misfeasance, bad faith or negligence in the performance of
duties hereunder or by reason of reckless disregard of obligations and duties
hereunder. The Servicer shall not be under any obligation to appear in,
prosecute or defend any legal action that is not incidental to its respective
duties hereunder and which in its opinion may involve it in any expense or
liability; provided, however, that the Servicer may in its discretion undertake
any such action that it may deem necessary or desirable in respect of this
Agreement and the rights and duties of the parties hereto and interests of the
Trustee and the Certificateholders hereunder. In such event, the legal expenses
and costs of such action and any liability resulting therefrom shall be
expenses, costs and liabilities of the Issuing Entity, and the Servicer shall be
entitled to be reimbursed therefor out of the Collection Account.

     Section 9.21. Periodic Filings.

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     (a) Within four (4) Business Days after the occurrence of an event
requiring disclosure on Form 8-K (each such event, a "Reportable Event"), and if
requested by the Depositor, the Securities Administrator shall prepare and file
on behalf of the Issuing Entity a Form 8-K, as required by the Exchange Act,
provided that the Depositor shall file the initial Form 8-K in connection with
the issuance of the Certificates. Any disclosure or information related to a
Reportable Event or that is otherwise required to be included on Form 8-K (other
than the initial Form 8-K) ("Form 8-K Disclosure Information") shall be reported
by the parties set forth on Exhibit W to the Depositor and the Securities
Administrator and directed and approved by the Depositor, and the Securities
Administrator will have no duty or liability for any failure hereunder to
determine or prepare any Form 8-K Disclosure Information or any Form 8-K except
as set forth in the next paragraph.

     (b) For so long as the Issuing Entity is subject to the reporting
requirements of the Exchange Act, following the occurrence of a Reportable Event
(A) each party listed on Exhibit W hereto shall be required to provide to the
Securities Administrator and the Depositor, to the extent known, in
EDGAR-compatible format or in such other format as agreed upon by the Securities
Administrator and such party, the form and substance of any Form 8-K Disclosure
Information if applicable, together with the form set forth on Exhibit U (the
"Additional Disclosure Notification") by the close of business New York City
time on the 2nd Business Day following the occurrence of such Reportable Event
and (B) the Depositor, shall approve, as to form and substance, or disapprove,
as the case may be, the inclusion of the Form 8-K Disclosure Information on Form
8-K. The Securities Administrator has no duty under this Agreement to monitor or
enforce the performance by the parties listed on Exhibit W of their duties under
this paragraph or proactively solicit or procure from such parties any Form 8-K
Disclosure Information. The Depositor will be responsible for any reasonable
fees and expenses assessed or incurred by the Securities Administrator in
connection with including any Form 8-K Disclosure Information on Form 8-K
pursuant to this paragraph.

     (c) After preparing the Form 8-K, the Securities Administrator shall, upon
request, forward electronically a copy of the Form 8-K to the Depositor for
review. Promptly, but no later than the close of business on the third Business
Day after the Reportable Event, the Depositor shall notify the Securities
Administrator in writing (which may be furnished electronically) of any changes
to or approval of such Form 8-K. In the absence of receipt of any written
changes or approval, or if the Depositor does not request a copy of a Form 8-K,
the Securities Administrator shall be entitled to assume that such Form 8-K is
in final form and the Securities Administrator may proceed with the execution
and filing of the Form 8-K. A duly authorized representative of the Master
Servicer shall sign each Form 8-K. If a Form 8-K cannot be filed on time or if a
previously filed Form 8-K needs to be amended, the Securities Administrator will
follow the procedures set forth in Section 9.21(n).

     (d) Promptly (but no later than one Business Day) after filing with the
Commission, the Securities Administrator will make available on its internet
website a final executed copy of each Form 8-K prepared and filed by the
Securities Administrator. The parties to this Agreement acknowledge that the
performance by the Master Servicer and the Securities Administrator of its
duties under this Section 9.21 related to the timely preparation, execution and
filing of Form 8-K is contingent upon the other parties hereto strictly
observing all applicable deadlines in the performance of their duties under this
Section 9.21. The Depositor acknowledges that the performance by the Master
Servicer and the Securities Administrator of its duties under this Section 9.21
related to the timely preparation, execution and filing of Form 8-K is also
contingent upon the Servicer, the Custodian and any Servicing Function
Participant strictly observing deadlines no later than those set forth in this
paragraph that are applicable to the parties to this

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Agreement in the delivery to the Securities Administrator of any necessary Form
8-K Disclosure Information pursuant to the Custodial Agreement or any other
applicable agreement. Neither the Master Servicer nor the Securities
Administrator shall have any liability for any loss, expense, damage or claim
arising out of or with respect to any failure to properly prepare, execute
and/or timely file such Form 8-K, where such failure results from the Securities
Administrator's inability or failure to receive, on a timely basis, any
information from any other party hereto or the Servicer, Custodian or Servicing
Function Participant needed to prepare, arrange for execution or file such Form
8-K.

     (e) Within fifteen days after each Distribution Date (subject to permitted
extensions under the Exchange Act), the Securities Administrator shall, on
behalf of the Issuing Entity and in accordance with industry standards, prepare
and file with the Commission via the Electronic Data Gathering and Retrieval
System (EDGAR), a Form 10-D with (1) a copy of the Monthly Statement for such
Distribution Date as an exhibit thereto. Any disclosure in addition to the
Monthly Statement that is required to be included on Form 10-D ("Additional Form
10-D Disclosure") shall be reported by the parties set forth on Exhibit X to the
Depositor and the Securities Administrator and directed and approved by the
Depositor pursuant to the following paragraph, and the Securities Administrator
will have no duty or liability for any failure hereunder to determine or prepare
any Additional Form 10-D Disclosure except as set forth in the next paragraph.

     (f) As set forth in Exhibit X hereto, for so long as the Issuing Entity is
subject to the reporting requirements of the Exchange Act, within five (5)
calendar days after the related Distribution Date (i) each party listed on
Exhibit X hereto shall be required to provide to the Depositor and the
Securities Administrator, to the extent known, in EDGAR-compatible format or in
such other format as agreed upon by the Securities Administrator and such party,
the form and substance of any Additional Form 10-D Disclosure if applicable
together with the Additional Disclosure Notification, and (ii) the Depositor
will approve, as to form and substance, or disapprove, as the case may be, the
inclusion of the Additional Form 10-D Disclosure on Form 10-D. The Securities
Administrator has no duty under this Agreement to monitor or enforce the
performance by the parties listed on Exhibit X of their duties under this
paragraph or proactively solicit or procure from such parties any Additional
Form 10-D Disclosure Information. The Depositor will be responsible for any
reasonable fees and expenses incurred by the Securities Administrator in
connection with including any Additional Form 10-D Disclosure on Form 10-D
pursuant to this paragraph.

     (g) After preparing the Form 10-D, the Securities Administrator shall, upon
request, forward electronically a copy of the Form 10-D to the Depositor for
review (provided that such Form 10-D includes any Additional Form 10-D
Disclosure). Within two Business Days after receipt of such copy, but no later
than the 12th calendar day after the Distribution Date, the Depositor shall
notify the Securities Administrator in writing (which may be furnished
electronically) of any changes to or approval of such Form 10-D. In the absence
of receipt of any written changes or approval, or if the Depositor does not
request a copy of a Form 10-D, the Securities Administrator shall be entitled to
assume that such Form 10-D is in final form and the Securities Administrator may
proceed with the execution and filing of the Form 10-D. A duly authorized
representative of the Master Servicer shall sign each Form 10-D. If a Form 10-D
cannot be filed on time or if a previously filed Form 10-D needs to be amended,
the Securities Administrator will follow the procedures set forth in Section
9.21(n). Promptly (but not later than one Business Day) after filing with the
Commission, the Securities Administrator will make available on its internet
website a final executed copy of each Form 10-D prepared and filed by the
Securities Administrator. Form 10-D requires the registrant to indicate (by
checking "yes" or

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"no") that it "(1) has filed all reports required to be filed by Section 13 or
15(d) of the Exchange Act during the preceding 12 months (or for such shorter
period that the registrant was required to file such reports), and (2) has been
subject to such filing requirements for the past 90 days." The Depositor hereby
represents to the Securities Administrator that the Depositor has filed all such
required reports during the preceding 12 months and that it has been subject to
such filing requirement for the past 90 days. The Depositor shall notify the
Securities Administrator in writing, no later than the fifth calendar day after
the related Distribution Date with respect to the filing of a report on Form
10-D, if the answer to the questions should be "no." The parties to this
Agreement acknowledge that the performance by the Master Servicer and the
Securities Administrator of its respective duties under this Section 9.21
related to the timely preparation, execution and filing of Form 10-D is
contingent upon the other parties hereto strictly observing all applicable
deadlines in the performance of their duties under this Section 9.21. The
Depositor acknowledges that the performance by the Master Servicer and the
Securities Administrator of its duties under this Section 9.21 related to the
timely preparation, execution and filing of Form 10-D is also contingent upon
the Servicer, the Custodian and any Servicing Function Participant strictly
observing deadlines no later than those set forth in this paragraph that are
applicable to the parties to this Agreement in the delivery to the Securities
Administrator of any necessary Additional Form 10-D Disclosure pursuant to the
Custodial Agreement or any other applicable agreement. Neither the Master
Servicer nor the Securities Administrator will have any liability for any loss,
expense, damage or claim arising out of or with respect to any failure to
properly prepare, execute and/or timely file such Form 10-D resulting from the
Securities Administrator's inability or failure to receive any information
needed to prepare, arrange for execution or file such Form 10-D on a timely
basis.

     (h) On or prior to the 90th calendar day after the end of the fiscal year
for the Issuing Entity or such earlier date as may be required by the Exchange
Act (the "10-K Filing Deadline") (it being understood that the fiscal year for
the Issuing Entity ends on December 31st of each year) commencing in March 2008,
the Securities Administrator shall, on behalf of the Issuing Entity and in
accordance with industry standards, prepare and file with the Commission via
EDGAR a Form 10-K with respect to the Issuing Entity. Such Form 10-K shall
include the following items, in each case, as applicable, to the extent they
have been delivered to the Securities Administrator within the applicable time
frames set forth in this Agreement and the Custodial Agreement (i) an annual
compliance statement for the Master Servicer, the Servicer, the Securities
Administrator and any Servicing Function Participant engaged by such parties
(together with the Custodian, each a "Reporting Servicer"), as described in
Section 9.11 of this Agreement and the Custodial Agreement; provided, however,
that the Securities Administrator, at its discretion, may omit from the Form
10-K any annual compliance statement that is not required to be filed with such
Form 10-K pursuant to Regulation AB; (ii)(A) the annual reports on assessment of
compliance with Servicing Criteria for each Reporting Servicer (unless the
Depositor has determined that such compliance statement is not required by
Regulation AB), as described in Section 9.13 of this Agreement and the Custodial
Agreement, and (B) if any Reporting Servicer's report on assessment of
compliance with Servicing Criteria described in Section 9.13 identifies any
material instance of noncompliance, disclosure identifying such instance of
noncompliance, or if any Reporting Servicer's report on assessment of compliance
with Servicing Criteria described in Section 9.13 of this Agreement is not
included as an exhibit to such Form 10-K, disclosure that such report is not
included and an explanation why such report is not included; provided, however,
that the Securities Administrator, at its discretion, may omit from the Form
10-K any assessment of compliance or attestation report described in clause
(iii) below that is not required to be filed with such Form 10-K pursuant to
Regulation AB; (iii)(A) the registered public accounting firm attestation report
for each Reporting Servicer, as described in Section 9.13 of this Agreement and
the Custodial Agreement, and (B) if any registered public

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accounting firm attestation report described under Section 9.13 of this
Agreement identifies any material instance of noncompliance, disclosure
identifying such instance of noncompliance, or if any such registered public
accounting firm attestation report is not included as an exhibit to such Form
10-K, disclosure that such report is not included and an explanation why such
report is not included, and (iv) a Sarbanes-Oxley Certification in the form
attached hereto as Exhibit T, executed by the senior officer in charge of
securitizations of the Master Servicer. Any disclosure or information in
addition to (i) through (iv) above that is required to be included on Form 10-K
("Additional Form 10-K Disclosure") shall be reported by the parties as set
forth in Exhibit Y to the Depositor and the Securities Administrator and
directed and approved by the Depositor pursuant to the following paragraph and
the Securities Administrator will have no duty or liability for any failure
hereunder to determine or prepare any Additional Form 10-K Disclosure except or
set forth in the next paragraph.

     (i) As set forth in Exhibit Y hereto, no later than March 1 (with a ten
calendar day cure period) of each year that the Issuing Entity is subject to the
Exchange Act reporting requirements, commencing in March 2008, (i) the parties
listed on Exhibit Y hereto shall be required to provide to the Depositor and the
Securities Administrator, to the extent known, in EDGAR-compatible format or in
such other format as agreed upon by the Securities Administrator and such party,
the form and substance of any Additional Form 10-K Disclosure, if applicable
together with the Additional Disclosure Notification, and (ii) the Depositor
will approve, as to form and substance, or disapprove, as the case may be, the
inclusion of the Additional Form 10-K Disclosure and shall forward such
Additional Form 10-K Disclosure. The Securities Administrator has no duty under
this Agreement to monitor or enforce the performance by the parties listed on
Exhibit Y of their duties under this paragraph or proactively solicit or procure
from such parties any Additional Form 10-K Disclosure Information. The Depositor
will be responsible for any reasonable fees and expenses incurred by the
Securities Administrator in connection with including any Additional Form 10-K
Disclosure on Form 10-K pursuant to this paragraph.

     (j) After preparing the Form 10-K, the Securities Administrator shall, upon
request, forward electronically a copy of the Form 10-K to the Depositor for
review. Within three Business Days after receipt of such copy, but no later than
March 25th, the Depositor shall notify the Securities Administrator in writing
(which may be furnished electronically) of any changes to or approval of such
Form 10-K. In the absence of receipt of any written changes or approval, or if
the Depositor does not request a copy of a Form 10-K, the Securities
Administrator shall be entitled to assume that such Form 10-K is in final form
and the Securities Administrator may proceed with the execution and filing of
the Form 10-K. A senior officer of the Master Servicer in charge of the master
servicing function shall sign the Form 10-K. If a Form 10-K cannot be filed on
time or if a previously filed Form 10-K needs to be amended, the Securities
Administrator will follow the procedures set forth in Section 9.21(n). Promptly
(but no later than one Business Day) after filing with the Commission, the
Securities Administrator will make available on its internet website a final
executed copy of each Form 10-K prepared and filed by the Securities
Administrator. Form 10-K requires the registrant to indicate (by checking "yes"
or "no") that it "(1) has filed all reports required to be filed by Section 13
or 15(d) of the Exchange Act during the preceding 12 months (or for such shorter
period that the registrant was required to file such reports), and (2) has been
subject to such filing requirements for the past 90 days." The Depositor hereby
represents to the Securities Administrator that the Depositor has filed all such
required reports during the preceding 12 months and that it has been subject to
such filing requirement for the past 90 days. The Depositor shall notify the
Securities Administrator in writing, no later than the 15th calendar day of
March in any year in which the Trust is subject to the reporting requirements of
the Exchange Act, if the answer to the questions should be "no."

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The parties to this Agreement acknowledge that the performance by the Master
Servicer and the Securities Administrator of its duties under this Section 9.21
related to the timely preparation, execution and filing of Form 10-K is
contingent upon such parties (and any Servicing Function Participant) strictly
observing all applicable deadlines in the performance of their duties under this
Section 9.21, Section 9.11 and Section 9.13. The Depositor acknowledges that the
performance by the Master Servicer and the Securities Administrator of its
duties under this Section 9.21 related to the timely preparation, execution and
filing of Form 10-K is also contingent upon the Servicer, the Custodian and any
Servicing Function Participant strictly observing deadlines no later than those
set forth in this paragraph that are applicable to the parties to this Agreement
in the delivery to the Securities Administrator of any necessary Additional Form
10-K Disclosure, any annual statement of compliance and any assessment of
compliance and attestation pursuant to the Custodial Agreement or any other
applicable agreement. Neither the Master Servicer nor the Securities
Administrator shall have any liability for any loss, expense, damage or claim
arising out of or with respect to any failure to properly prepare, execute
and/or timely file such Form 10-K resulting from the Securities Administrator's
inability or failure to receive any information from any other party hereto or
the Servicer, Custodian or Servicing Function Participant needed to prepare,
execute or file such Form 10-K.

     (k) Each Form 10-K shall include a Sarbanes-Oxley Certification, which
shall be in the form attached hereto as Exhibit T. The Servicer shall sign and
provide, and the Servicer, the Master Servicer and the Securities Administrator
shall cause any Servicing Function Participant engaged by it to sign and
provide, to the person who signs the Sarbanes-Oxley Certification (the
"Certifying Person") by March 1 (with a ten day cure period) of each year in
which the Issuing Entity is subject to the reporting requirements of the
Exchange Act and otherwise within a reasonable period of time upon request, a
certification (a "Back-Up Certification") (in the form attached hereto as
Exhibit Q) upon which the Certifying Person, the entity for which the Certifying
Person acts as an officer and such entity's officers, directors and affiliates
(collectively, with the Certifying Person, the "Certification Parties") can
reasonably rely. The senior officer of the Master Servicer in charge of the
master servicing function shall serve as the Certifying Person on behalf of the
Trust. Such officer of the Certifying Person can be contacted by e-mail at
cts.sec.notifications@wellsfargo.com or by facsimile at 410-715-2380. In the
event any such party or Servicing Function Participant engaged by any such party
is terminated or resigns pursuant to the terms of this Agreement, or any other
applicable agreement, as the case may be, such party shall provide a Back-Up
Certification to the Master Servicer pursuant to this Section 9.21 with respect
to the period of time it was subject to this Agreement or any other applicable
agreement, as the case may be. Notwithstanding the foregoing, (i) the Master
Servicer and the Securities Administrator shall not be required to deliver a
Back-Up Certification to each other if both are the same Person and the Master
Servicer is the Certifying Person and (ii) the Master Servicer shall not be
obligated to sign the Sarbanes-Oxley Certification in the event that it does not
receive any Back-Up Certification required to be furnished to it pursuant to
this section or any Custodial Agreement.

     (l) The Securities Administrator shall have no responsibility to file any
items with the Commission other than those specified in this section and the
Master Servicer shall execute any and all Form 10-Ds, 8-Ks and 10-Ks required
hereunder.

     (m) On or prior to January 30 of the first year in which the Securities
Administrator is able to do so under applicable law, the Securities
Administrator shall prepare and file a Form 15 Suspension Notification relating
to the automatic suspension of reporting in respect of the Issuing Entity under
the Exchange Act.

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     (n) In the event that the Securities Administrator is unable to timely file
with the Commission all or any required portion of any Form 8-K, 10-D or 10-K
required to be filed by this Agreement because required disclosure information
was either not delivered to it or delivered to it after the delivery deadlines
set forth in this Agreement or for any other reason, the Securities
Administrator will promptly notify electronically the Depositor of such
inability to make a timely filing with the Commission. In the case of Form 10-D
and 10-K, the parties to this Agreement will cooperate to prepare and file a
Form 12b-25 and a 10-D/A and 10K/A, as applicable, pursuant to Rule 12b-25 of
the Exchange Act. In the case of Form 8-K, the Securities Administrator will,
upon receipt of all required Form 8-K Disclosure Information and upon the
approval and direction of the Depositor, include such disclosure information on
the next succeeding Form 10-D to be filed for the Issuing Entity. In the event
that any previously filed Form 8-K, 10-D or 10-K needs to be amended, in
connection with any Additional Form 10-D Disclosure (other than, in the case of
Form 10-D, for the purpose of restating any Monthly Statement), Additional Form
10-K Disclosure or Form 8-K Disclosure Information, the Securities Administrator
will electronically notify the Depositor and such other parties to the
transaction as are affected by such amendment, and such parties will cooperate
to prepare any necessary 8-K/A, 10-D/A or 10-K/A. Any Form 15, Form 12b-25 or
any amendment to Form 8-K, 10-D or 10-K shall be signed by duly authorized
representative or a senior officer in charge of master servicing, as applicable,
of the Master Servicer. The parties to this Agreement acknowledge that the
performance by the Master Servicer of its duties under this Section 9.21 related
to the timely preparation, execution and filing of Form 15, a Form 12b-25 or any
amendment to Form 8-K, 10-D or 10-K is contingent upon each such party
performing its duties under this Section. Neither the Master Servicer nor the
Securities Administrator shall have any liability for any loss, expense, damage
or claim arising out of or with respect to any failure to properly prepare,
execute and/or timely file any such Form 15, Form 12b-25 or any amendments to
Forms 8-K, 10-D or 10-K, where such failure results from the Securities
Administrator's inability or failure to receive, on a timely basis, any
information from any other party hereto or the Servicer, any Custodian or any
Servicing Function Participant needed to prepare, arrange for execution or file
such Form 15, Form 12b-25 or any amendments to Forms 8-K, 10-D or 10-K.

     (o) If the Commission issues additional interpretative guidance or
promulgates additional rules or regulations with respect to Regulation AB or
otherwise, or if other changes in applicable law occur, that would require the
reporting arrangements, or the allocation of responsibilities with respect
thereto, described in this Section 9.21, to be conducted differently than as
described, the Depositor, and the Securities Administrator will reasonably
cooperate to amend the provisions of this Section 9.21 in order to comply with
such amended reporting requirements and such amendment of this Section 9.21. Any
such amendment shall be made in accordance with Section 11.03 without the
consent of the Certificateholders, and may result in a change in the reports
filed by the Securities Administrator on behalf of the Issuing Entity under the
Exchange Act. Notwithstanding the foregoing, the Depositor, and the Securities
Administrator shall not be obligated to enter into any amendment pursuant to
this Section 9.21 that adversely affects its obligations and immunities under
this Agreement.

     (p) The Depositor and the Securities Administrator agree to use their good
faith efforts to cooperate in complying with the requirements of this Section
9.21.

     (q) Each of the parties agrees to provide to the Securities Administrator
such additional information related to such party as the Securities
Administrator may reasonably request, including evidence of the authorization of
the person signing any certificate or statement, financial information and
reports, and such other information related to such party or its performance
hereunder.

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     (r) Any notice or notification required to be delivered by the Securities
Administrator or Master Servicer to the Depositor pursuant to this Section 9.21,
may be delivered via facsimile to (212) 449-2700, via email to paul_park@ml.com
or telephonically by calling Paul Park at (212) 449-6380.

     Section 9.22. Compliance with Regulation AB.

     Each of the parties hereto acknowledges and agrees that the purpose of
Sections 9.11, 9.13 and 9.21 is to facilitate compliance by the Depositor with
the provisions of Regulation AB, as such may be amended or clarified from time
to time. Therefore, each of the parties agrees that the parties' obligations
hereunder will be supplemented and modified as necessary to be consistent with
any such amendments, interpretive advice or guidance, convention or consensus
among active participants in the asset-backed securities markets, advice of
counsel, or otherwise in respect of the requirements of Regulation AB and the
parties shall comply with requests made by the Depositor for delivery of
additional or different information as the Depositor may determine in good faith
is necessary to comply with the provisions of Regulation AB. Any such
supplementation or modification shall be made in accordance with Section 11.03
without the consent of the Certificateholders, and may result in a change in the
reports filed by the Securities Administrator on behalf of the Issuing Entity
under the Exchange Act.

     Section 9.23. Maintenance of Hazard Insurance and Errors and Omissions and
Fidelity Coverage.

     (a) The Servicer shall cause to be maintained for each Mortgage Loan fire
insurance with extended coverage on the related Mortgaged Property in an amount
which is at least equal to the least of (i) the current principal balance of
such Mortgage Loan, (ii) the amount necessary to fully compensate for any damage
or loss to the improvements that are a part of such property on a replacement
cost basis and (iii) the maximum insurable value of the improvements which are a
part of such Mortgaged Property, in each case in an amount not less than such
amount as is necessary to avoid the application of any coinsurance clause
contained in the related hazard insurance policy. The Servicer shall also cause
to be maintained fire insurance with extended coverage on each REO Property in
an amount which is at least equal to the lesser of (w) the maximum insurable
value of the improvements which are a part of such property and (x) the
outstanding principal balance of the related Mortgage Loan at the time it became
an REO Property, plus accrued interest at the Loan Rate and related Servicing
Advances. The Servicer will comply in the performance of this Agreement with all
reasonable rules and requirements of each insurer under any such hazard
policies. Any amounts to be collected by the Servicer under any such policies
(other than amounts to be applied to the restoration or repair of the property
subject to the related Mortgage or amounts to be released to the Mortgagor in
accordance with the procedures that the Servicer would follow in servicing loans
held for its own account, subject to the terms and conditions of the related
Mortgage and Mortgage Note) shall be deposited in the Collection Account, within
two (2) Business Days after receipt thereof, subject to withdrawal pursuant to
Section 4.01. Any cost incurred by the Servicer in maintaining any such
insurance shall not, for the purpose of calculating distributions to
Certificateholders, be added to the unpaid principal balance of the related
Mortgage Loan, notwithstanding that the terms of such Mortgage Loan so permit.
It is understood and agreed that no earthquake, windstorm or other additional
insurance is to be required of any Mortgagor other than pursuant to such
applicable laws and regulations as shall at any time be in force and as shall
require such additional insurance. If the Mortgaged Property or REO Property is
at any time in an area identified in the Federal Register by the Federal
Emergency Management Agency as having special flood hazards, the Servicer will
cause to be maintained a flood insurance policy in respect thereof. Such flood
insurance shall be

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in an amount equal to the lesser of (y) the unpaid principal balance of the
related Mortgage Loan and (z) the maximum amount of such insurance available for
the related Mortgaged Property under the national flood insurance program
(assuming that the area in which such Mortgaged Property is located is
participating in such program).

     (b) If the Servicer shall obtain and maintain a blanket fire insurance
policy with extended coverage insuring against hazard losses on all of the
Mortgage Loans, it shall conclusively be deemed to have satisfied its
obligations as set forth in the first two sentences of this Section 9.23, it
being understood and agreed that such policy may contain a deductible clause, in
which case the Servicer shall, in the event that there shall not have been
maintained on the related Mortgaged Property or REO Property a policy complying
with the first two sentences of this Section 9.23, and there shall have been one
or more losses which would have been covered by such policy, deposit to the
Distribution Account from its own funds the amount not otherwise payable under
the blanket policy because of such deductible clause. In connection with its
activities as administrator and servicer of the Mortgage Loans, the Servicer
agrees to prepare and present, on behalf of itself, the Trustee and
Certificateholders, claims under any such blanket policy in a timely fashion in
accordance with the terms of such policy.

                                   ARTICLE IXA

                               THE MASTER SERVICER

     Section 9A.01 Master Servicer. The Master Servicer shall supervise, monitor
and oversee the obligation of the Servicer to service and administer their
respective Mortgage Loans in accordance with the terms of this Agreement and
shall have full power and authority to do any and all things which it may deem
necessary or desirable in connection with such master servicing and
administration. In performing its obligations hereunder, the Master Servicer
shall act in a manner consistent with Accepted Master Servicing Practices.
Furthermore, the Master Servicer shall oversee and consult with the Servicer as
necessary from time-to-time to carry out the Master Servicer's obligations
hereunder, shall receive, review and evaluate all reports, information and other
data provided to the Master Servicer by the Servicer and shall cause the
Servicer to perform and observe the covenants, obligations and conditions to be
performed or observed by such Servicer under this Agreement. The Master Servicer
shall independently and separately monitor the Servicer's servicing activities
with respect to each related Mortgage Loan, reconcile the results of such
monitoring with such information provided in the previous sentence on a monthly
basis and coordinate corrective adjustments to the Servicer's and Master
Servicer's records, and based on such reconciled and corrected information, the
Master Servicer shall provide such information to the Securities Administrator
as shall be necessary in order for it to prepare the statements specified in
Section 4.02, and prepare any other information and statements required to be
forwarded by the Master Servicer hereunder. The Master Servicer shall reconcile
the results of its monitoring with the actual remittances of the Servicer to the
Master Servicer Collection Account pursuant to this Agreement.

     If the Master Servicer and the Securities Administrator are the same
entity, then at any time the Master Servicer is terminated as Master Servicer,
the Securities Administrator shall likewise be removed as securities
administrator.

     Section 9A.02 Monitoring of the Servicer. (a) The Master Servicer shall be
responsible for reporting to the Trustee and the Depositor the compliance by the
Servicer with its duties under this Agreement. In the review of the Servicer's
activities, the Master Servicer may rely upon an officer's certificate of the
Servicer with regard to such Servicer's compliance with the terms this

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Agreement. In the event that the Master Servicer, in its judgment, determines
that the Servicer should be terminated in accordance with this Agreement, or
that a notice should be sent pursuant to this Agreement with respect to the
occurrence of an event that, unless cured, would constitute grounds for such
termination, the Master Servicer shall notify the Depositor thereof and the
Master Servicer shall issue such notice or take such other action as it deems
appropriate.

     (b) The Master Servicer, for the benefit of the Trustee and the
Certificateholders, shall enforce the obligations of the Servicer under this
Agreement, and shall, in the event that the Servicer fails to perform its
obligations in accordance with this Agreement, subject to the preceding
paragraph, terminate the rights and obligations of the Servicer thereunder and
act as servicer of the related Mortgage Loans or, if the Master Servicer is
unwilling or unable to act as a servicer, the Master Servicer shall cause the
Trustee to enter in to a new servicing agreement with a successor servicer
selected by the Master Servicer that is eligible in accordance with the criteria
specified in this Agreement; provided, however, it is understood and
acknowledged by the parties hereto that there will be a period of transition
(not to exceed 90 days) before the actual servicing functions can be fully
transferred to such successor servicer. In either event, such enforcement,
including, without limitation, the legal prosecution of claims, termination of
this Agreement and the pursuit of other appropriate remedies, shall be in such
form and carried out to such an extent and at such time as the Master Servicer,
in its good faith business judgment, would require were it the owner of the
related Mortgage Loans. The Master Servicer shall pay the costs of such
enforcement at its own expense subject to Section 9A.02(c), provided that the
Master Servicer shall not be required to prosecute or defend any legal action
except to the extent that the Master Servicer shall have received reasonable
indemnity for its costs and expenses in pursuing such action.

     (c) To the extent that the costs and expenses of the Master Servicer
related to a termination of the Servicer, appointment of a successor servicer or
the transfer and assumption of servicing by the Master Servicer with respect to
this Agreement (including, without limitation, (i) all legal costs and expenses
and all due diligence costs and expenses associated with an evaluation of the
potential termination of the Servicer as a result of an event of default by the
Servicer and (ii) all costs and expenses associated with the complete transfer
of servicing, including all servicing files and all servicing data and the
completion, correction or manipulation of such servicing data as may be required
by the successor servicer to correct any errors or insufficiencies in the
servicing data or otherwise to enable the successor service to service the
Mortgage Loans in accordance with this Agreement) are not fully and timely
reimbursed by the terminated Servicer, the Master Servicer shall be entitled to
reimbursement of such costs and expenses from the Master Servicer Collection
Account pursuant to Section 4.02(a).

     (d) The Master Servicer shall require the Servicer to comply with the
remittance requirements and other obligations set forth in this Agreement.

     (f) If the Master Servicer acts as servicer, it will not assume liability
for the representations and warranties of the Servicer that it replaces.

     Section 9A.03 Power to Act; Procedures. The Master Servicer shall master
service the Mortgage Loans and shall have full power and authority, subject to
the REMIC Provisions and the provisions of Article X hereof, to do any and all
things that it may deem necessary or desirable in connection with the master
servicing and administration of the Mortgage Loans, including but not limited to
the power and authority (i) to execute and deliver, on behalf of the
Certificateholders and the Trustee, customary consents or waivers and other
instruments and documents, (ii) to consent to transfers of any Mortgaged
Property and assumptions of the Mortgage Notes and related

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Mortgages, (iii) to collect any Insurance Proceeds and Liquidation Proceeds, and
(iv) to effectuate foreclosure or other conversion of the ownership of the
Mortgaged Property securing any Mortgage Loan, in each case, in accordance with
the provisions of this Agreement; provided, however, that the Master Servicer
shall not (and, consistent with its responsibilities under Section 9A.02, shall
not permit the Servicer to) knowingly or intentionally take any action, or fail
to take (or fail to cause to be taken) any action reasonably within its control
and the scope of duties more specifically set forth herein, that, under the
REMIC Provisions, if taken or not taken, as the case may be, would cause any
REMIC created hereunder to fail to qualify as a REMIC or result in the
imposition of a tax upon the Issuing Entity (including but not limited to the
tax on prohibited transactions as defined in Section 860F(a)(2) of the Code and
the tax on contributions to a REMIC set forth in Section 860G(d) of the Code)
unless the Master Servicer has received an Opinion of Counsel (but not at the
expense of the Master Servicer) to the effect that the contemplated action will
not would cause any REMIC created hereunder to fail to qualify as a REMIC or
result in the imposition of a tax upon any REMIC created hereunder. The Trustee
shall furnish the Master Servicer, upon written request from a Servicing
Officer, with any limited powers of attorney (in form acceptable to the Trustee)
empowering the Master Servicer or the Servicer to execute and deliver
instruments of satisfaction or cancellation, or of partial or full release or
discharge, and to foreclose upon or otherwise liquidate Mortgaged Property, and
to appeal, prosecute or defend in any court action relating to the Mortgage
Loans or the Mortgaged Property, in accordance with this Agreement, and the
Trustee shall execute and deliver such other documents, as the Master Servicer
may request, to enable the Master Servicer to master service and administer the
Mortgage Loans and carry out its duties hereunder, in each case in accordance
with Accepted Master Servicing Practices (and the Trustee shall have no
liability for misuse of any such powers of attorney by the Master Servicer or
the Servicer). If the Master Servicer or the Trustee has been advised that it is
likely that the laws of the state in which action is to be taken prohibit such
action if taken in the name of the Trustee or that the Trustee would be
adversely affected under the "doing business" or tax laws of such state if such
action is taken in its name, the Master Servicer shall join with the Trustee in
the appointment of a co-trustee pursuant to Section 6.09 hereof. In the
performance of its duties hereunder, the Master Servicer shall be an independent
contractor and shall not, except in those instances where it is taking action in
the name of the Trustee, be deemed to be the agent of the Trustee.

     Section 9A.04 Liabilities of the Master Servicer. The Master Servicer shall
be liable in accordance herewith only to the extent of the obligations
specifically imposed upon and undertaken by the Master Servicer, as the case may
be, herein.

     Section 9A.05 Merger or Consolidation of the Master Servicer.

     (a) The Master Servicer will keep in full force and effect its existence,
rights and franchises as a corporation under the laws of the state of its
incorporation, and will obtain and preserve its qualification to do business as
a foreign corporation in each jurisdiction in which such qualification is or
shall be necessary to protect the validity and enforceability of this Agreement,
the Certificates or any of the Mortgage Loans and to perform its duties under
this Agreement.

     (b) Any Person into which the Master Servicer may be merged or
consolidated, or any corporation resulting from any merger or consolidation to
which the Master Servicer shall be a party, or any Person succeeding to the
business of the Master Servicer, shall be the successor of the Master Servicer
hereunder, without the execution or filing of any paper or further act on the
part of any of the parties hereto, anything herein to the contrary
notwithstanding.

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     Section 9A.06 Indemnification from the Master Servicer. The Master Servicer
agrees to indemnify the Indemnified Persons for, and to hold them harmless
against, any loss, liability or expense (including reasonable legal fees and
disbursements of counsel) incurred on their part that may be sustained in
connection with, arising out of, or relating to, any claim or legal action
(including any pending or threatened claim or legal action) relating to this
Agreement or the Certificates (i) related to the Master Servicer's failure to
perform its duties in compliance with this Agreement (except as any such loss,
liability or expense shall be otherwise reimbursable pursuant to this Agreement)
or (ii) incurred by reason of the Master Servicer's willful misfeasance, bad
faith or gross negligence in the performance of duties hereunder or by reason of
reckless disregard of obligations and duties hereunder, provided, in each case,
that with respect to any such claim or legal action (or pending or threatened
claim or legal action), the Trustee or the Securities Administrator shall have
given the Master Servicer and the Depositor written notice of such claim or
legal action promptly after the Trustee or the Securities Administrator shall
have received knowledge thereof. This indemnity shall survive the resignation or
removal of the Trustee, Master Servicer or the Securities Administrator and the
termination of this Agreement.

     9A.07 Limitations on Liability of the Master Servicer and Others. Subject
to the obligation of the Master Servicer to indemnify the Indemnified Persons
pursuant to Section 9A.06:

     (a) Neither the Master Servicer nor any of the directors, officers,
employees or agents of the Master Servicer shall be under any liability to the
Indemnified Persons, the Depositor, the Issuing Entity or the Certificateholders
for taking any action or for refraining from taking any action in good faith
pursuant to this Agreement, or for errors in judgment; provided, however, that
this provision shall not protect the Master Servicer or any such Person against
any breach of warranties or representations made herein or any liability which
would otherwise be imposed by reason of such Person's willful misfeasance, bad
faith or gross negligence in the performance of duties or by reason of reckless
disregard of obligations and duties hereunder.

     (b) The Master Servicer and any director, officer, employee or agent of the
Master Servicer may rely in good faith on any document of any kind prima facie
properly executed and submitted by any Person respecting any matters arising
hereunder.

     (c) The Master Servicer, the Custodian and any director, officer, employee
or agent of the Master Servicer or the Custodian shall be indemnified by the
Issuing Entity and held harmless thereby against any loss, liability or expense
(including reasonable legal fees and disbursements of counsel) incurred on their
part that may be sustained in connection with, arising out of, or related to,
any claim or legal action (including any pending or threatened claim or legal
action) relating to this Agreement or the Certificates, other than (i) any such
loss, liability or expense related to the Master Servicer's failure to perform
its duties in compliance with this Agreement (except as any such loss, liability
or expense shall be otherwise reimbursable pursuant to this Agreement), or to
the Custodian's failure to perform its duties under the Custodial Agreement,
respectively, or (ii) any such loss, liability or expense incurred by reason of
the Master Servicer's or the Custodian's willful misfeasance, bad faith or gross
negligence in the performance of duties hereunder or under the Custodial
Agreement, as applicable, or by reason of reckless disregard of obligations and
duties hereunder or under the Custodial Agreement, as applicable.

     (d) The Master Servicer shall not be under any obligation to appear in,
prosecute or defend any legal action that is not incidental to its duties under
this Agreement and that in its opinion may involve it in any expense or
liability; provided, however, the Master Servicer may in its discretion,
undertake any such action which it may deem necessary or desirable with respect
to

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this Agreement and the rights and duties of the parties hereto and the interests
of the Certificateholders hereunder. In such event, the legal expenses and costs
of such action and any liability resulting therefrom shall be expenses, costs
and liabilities of the Issuing Entity, and the Master Servicer shall be entitled
to be reimbursed therefor out of the Master Servicer Collection Account as
provided by Section 4.02(a). Nothing in this Subsection 9A.07(d) shall affect
the Master Servicer's obligation to supervise, or to take such actions as are
necessary to ensure, the servicing and administration of the Mortgage Loans
pursuant to Section 9A.01.

     (e) In taking or recommending any course of action pursuant to this
Agreement, unless specifically required to do so pursuant to this Agreement, the
Master Servicer shall not be required to investigate or make recommendations
concerning potential liabilities which the Issuing Entity might incur as a
result of such course of action by reason of the condition of the Mortgaged
Properties but shall give notice to the Trustee if it has notice of such
potential liabilities.

     (f) The Master Servicer shall not be liable for any acts or omissions of
the Servicer.

     Section 9A.08 Master Servicer Not to Resign. Except as provided in Section
9A.10, the Master Servicer shall not resign from the obligations and duties
hereby imposed on it except upon a determination that any such duties hereunder
are no longer permissible under applicable law and such impermissibility cannot
be cured. Any such determination permitting the resignation of the Master
Servicer shall be evidenced by an Opinion of Independent Counsel to such effect
delivered to the Trustee. No such resignation by the Master Servicer shall
become effective until Sponsor or the Trustee or a successor to the Master
Servicer reasonably satisfactory to the Trustee shall have assumed the
responsibilities and obligations of the Master Servicer in accordance with
Section 6.14 hereof. The Trustee shall notify the Rating Agencies of the
resignation of the Master Servicer. If the Master Servicer and the Securities
Administrator are the same entity, then at any time the Master Servicer is
terminated as master servicer, the Securities Administrator shall likewise be
removed as securities administrator.

     Section 9A.09 Successor Master Servicer. In connection with the appointment
of any successor master servicer or the assumption of the duties of the Master
Servicer, the Sponsor or the Trustee may make such arrangements for the
compensation of such successor master servicer out of payments on the Mortgage
Loans as Sponsor or the Trustee and such successor master servicer shall agree.
If the successor master servicer does not agree that such market value is a fair
price, such successor master servicer shall obtain two quotations of market
value from third parties actively engaged in the servicing of single-family
mortgage loans.

     Section 9A.10 Sale and Assignment of Master Servicing. The Master Servicer
may sell and assign its rights and delegate its duties and obligations in its
entirety as Master Servicer under this Agreement; provided, however, that: (i)
the purchaser or transferee accepting such assignment and delegation (a) shall
be a Person which shall be qualified to service mortgage loans for Fannie Mae or
Freddie Mac; (b) shall have a net worth of not less than $10,000,000 (unless
otherwise approved by each Rating Agency pursuant to clause (ii) below); (c)
shall be reasonably satisfactory to the Trustee (as evidenced in a writing
signed by the Trustee); and (d) shall execute and deliver to the Trustee an
agreement, in form and substance reasonably satisfactory to the Trustee, which
contains an assumption by such Person of the due and punctual performance and
observance of each covenant and condition to be performed or observed by it as
master servicer under this Agreement, any custodial agreement from and after the
effective date of such agreement; (ii) each Rating Agency shall be given prior
written notice of the identity of the proposed successor to the Master Servicer
and each Rating Agency's rating of the Certificates in effect immediately prior
to

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such assignment, sale and delegation will not be downgraded, qualified or
withdrawn as a result of such assignment, sale and delegation, as evidenced by a
letter to such effect delivered to the Master Servicer and the Trustee; and
(iii) the Master Servicer assigning and selling the master servicing shall
deliver to the Trustee an Officer's Certificate and an Opinion of Independent
Counsel, each stating that all conditions precedent to such action under this
Agreement have been completed and such action is permitted by and complies with
the terms of this Agreement. No such assignment or delegation shall affect any
liability of the Master Servicer arising prior to the effective date thereof.

     Section 9A.11 Compensation for the Master Servicer. The Master Servicer
will be entitled to all income and gain realized from any investment of funds in
the Master Servicer Collection Account, pursuant to Article IV, for the
performance of its activities hereunder. Servicing compensation in the form of
assumption fees, if any, late payment charges, as collected, if any, or
otherwise (but not including any prepayment premium or penalty) shall be
retained by the applicable Servicer and shall not be deposited in the Collection
Account. The Master Servicer shall be required to pay all expenses incurred by
it in connection with its activities hereunder and shall not be entitled to
reimbursement therefor except as provided in this Agreement.

                                   ARTICLE X.

                              REMIC ADMINISTRATION

     Section 10.01. REMIC Administration.

     (a) REMIC elections as set forth in the Preliminary Statement shall be made
on Forms 1066 or other appropriate federal tax or information return for the
taxable year ending on the last day of the calendar year in which the
Certificates are issued. The regular interests and residual interest in each
REMIC shall be as designated in the Preliminary Statement.

     (b) The Closing Date is hereby designated as the "Startup Day" of each
REMIC within the meaning of section 860G(a)(9) of the Code. The latest possible
maturity date for purposes of Treasury Regulation 1.860G-1(a)(4) will be the
Latest Possible Maturity Date.

     (c) The Securities Administrator shall represent the Trust Fund in any
administrative or judicial proceeding relating to an examination or audit by any
governmental taxing authority with respect thereto. The Securities Administrator
shall pay any and all tax-related expenses (not including taxes) of each REMIC,
including but not limited to any professional fees or expenses related to audits
or any administrative or judicial proceedings with respect to such REMIC that
involve the Internal Revenue Service or state tax authorities, but only to the
extent that (i) such expenses are ordinary or routine expenses, including
expenses of a routine audit but not expenses of litigation (except as described
in (ii)); or (ii) such expenses or liabilities (including taxes and penalties)
are attributable to the negligence or willful misconduct of the Securities
Administrator in fulfilling its duties hereunder (including its duties as tax
return preparer). The Securities Administrator shall be entitled to
reimbursement of expenses to the extent provided in clause (i) above from the
Distribution Account, provided, however, the Securities Administrator shall not
be entitled to reimbursement for expenses incurred in connection with the
preparation of tax returns and other reports as required by Section 6.19 and
this Section.

     (d) The Securities Administrator shall prepare, sign and file all of each
REMIC's federal and appropriate state tax and information returns as such
REMIC's direct representative. The expenses of preparing and filing such returns
shall be borne by the Securities Administrator.

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     (e) The Securities Administrator or its designee shall perform on behalf of
each REMIC all reporting and other tax compliance duties that are the
responsibility of such REMIC under the Code, the REMIC Provisions, or other
compliance guidance issued by the Internal Revenue Service or any state or local
taxing authority. Among its other duties, if required by the Code, the REMIC
Provisions, or other such guidance, the Securities Administrator shall provide,
upon receipt of additional reasonable compensation, to the Treasury or other
governmental authority such information as is necessary for the application of
any tax relating to the transfer of a Residual Certificate to any disqualified
person or organization pursuant to Treasury Regulation 1.860E-2(a)(5) and any
person designated in Section 860E(e)(3) of the Code.

     (f) The Securities Administrator and the Holders of Certificates shall take
any action or cause any REMIC to take any action necessary to create or maintain
the status of any REMIC as a REMIC under the REMIC Provisions and shall assist
each other as necessary to create or maintain such status. Neither the
Securities Administrator, the Trustee nor the Holder of any Residual Certificate
shall knowingly take any action, cause any REMIC to take any action or fail to
take (or fail to cause to be taken) any action that, under the REMIC Provisions,
if taken or not taken, as the case may be, could (i) endanger the status of any
REMIC as a REMIC or (ii) result in the imposition of a tax upon any REMIC
(including but not limited to the tax on prohibited transactions as defined in
Code Section 860F(a)(2) and the tax on prohibited contributions set forth on
Section 860G(d) of the Code) (either such event, an "Adverse REMIC Event")
unless the Securities Administrator and the Trustee have received an Opinion of
Counsel (at the expense of the party seeking to take such action) to the effect
that the contemplated action will not endanger such status or result in the
imposition of such a tax. In addition, prior to taking any action with respect
to any REMIC or the assets therein, or causing any REMIC to take any action,
which is not expressly permitted under the terms of this Agreement, any Holder
of a Residual Certificate will consult with the Trustee and the Securities
Administrator, in writing, with respect to whether such action could cause an
Adverse REMIC Event to occur with respect to any REMIC, and no such Person shall
take any such action or cause any REMIC to take any such action as to which the
Trustee and the Securities Administrator has advised it in writing that an
Adverse REMIC Event could occur; provided, however, that if no Adverse REMIC
Event would occur but such action could result in the imposition of additional
taxes on the Residual Certificateholders, no such Person shall take any such
action, or cause any REMIC to take any such action without the written consent
of the Residual Certificateholders. The Trustee and the Securities Administrator
may consult with counsel (and conclusively rely upon the advice of such counsel)
before giving such written advice, and the cost of the same shall be borne by
the party seeking to take the action not permitted by this Agreement, but in no
event shall such cost be an expense of the Trustee or the Securities
Administrator.

     (g) Each Holder of a Residual Certificate shall pay when due any and all
taxes imposed on the related REMIC by federal or state governmental authorities.
To the extent that such taxes are not paid by a Residual Certificateholder, the
Securities Administrator or the Paying Agent shall pay any remaining REMIC taxes
out of current or future amounts otherwise distributable to the Holder of the
Residual Certificate in any such REMIC or, if no such amounts are available, out
of other amounts held in the Distribution Account, and shall reduce amounts
otherwise payable to holders of regular interests in any such REMIC, as the case
may be.

     (h) The Securities Administrator shall, for federal income tax purposes,
maintain books and records with respect to each REMIC on a calendar year and on
an accrual basis.

     (i) No additional contributions of assets shall be made to any REMIC,
except as expressly provided in this Agreement.

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     (j) The Securities Administrator shall not enter into any arrangement by
which any REMIC will receive a fee or other compensation for services.

     (k) [Reserved]

     (l) The Class A-R Holder shall act as "tax matters person" with respect to
each REMIC and irrevocably appoints the Securities Administrator to act as its
agent in such roles.

     (m) None of the Securities Administrator, the Trustee, the Master Servicer
or the Depositor, as assignees under this Agreement, shall provide any consent
pursuant to this Agreement or knowingly take any action under this Agreement
that would conflict with or violate the provisions of this Article X.

     Section 10.02. Prohibited Transactions and Activities.

     None of the Depositor, the Servicer, the Master Servicer, the Securities
Administrator or the Trustee shall sell, dispose of, or substitute for any of
the Mortgage Loans, except in a disposition pursuant to (i) the foreclosure of a
Mortgage Loan, (ii) the bankruptcy of the Issuing Entity, (iii) the termination
of each REMIC pursuant to Article VII of this Agreement, (iv) a substitution
pursuant to Article II of this Agreement or (v) a repurchase of Mortgage Loans
pursuant to Article II of this Agreement, nor acquire any assets for any REMIC,
nor sell or dispose of any investments in the Distribution Account for gain, nor
accept any contributions to any REMIC after the Closing Date, unless it has
received an Opinion of Counsel (at the expense of the party causing such sale,
disposition, or substitution) that such disposition, acquisition, substitution,
or acceptance will not (a) affect adversely the status of any such REMIC as a
REMIC or of the interests therein other than the Residual Certificate as the
regular interests therein, (b) affect the distribution of interest or principal
on the Certificates, (c) result in the encumbrance of the assets transferred or
assigned to the Issuing Entity (except pursuant to the provisions of this
Agreement) or (d) cause any such REMIC to be subject to any tax including a tax
on prohibited transactions or prohibited contributions pursuant to the REMIC
Provisions.

     Section 10.03. Indemnification with Respect to Prohibited Transactions or
Loss of REMIC Status.

     In the event that a REMIC fails to qualify as a REMIC, loses its status as
a REMIC, or incurs federal, state or local taxes as a result of a prohibited
transaction or prohibited contribution under the REMIC Provisions due to the
negligent performance by the Trustee or the Securities Administrator of its
duties and obligations set forth herein, the Trustee or the Securities
Administrator, as applicable, shall indemnify the Certificateholders of the
related Residual Certificate against any and all losses, claims, damages,
liabilities or expenses ("Losses") resulting from such negligence; provided,
however, that the liability of the Trustee and the Securities Administrator
shall not be joint and several and in no case shall the Trustee or the
Securities Administrator be liable for the other's actions. Furthermore, the
Trustee or the Securities Administrator, as applicable, shall not be liable for
any such Losses attributable to the action or inaction of the Depositor or the
Holder of the Residual Certificate, nor for any such Losses resulting from
misinformation provided by any of the foregoing parties on which the Trustee or
the Securities Administrator, as applicable, has relied. Notwithstanding the
foregoing, however, in no event shall the Trustee or the Securities
Administrator, as applicable, have any liability (1) for any action or omission
that is taken in accordance with and in compliance with the express terms of, or
which is expressly permitted by the terms of, this Agreement or the Mortgage
Loan Sale and Assignment Agreement, (2) for any Losses other than arising out of
malfeasance, willful

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misconduct or negligent performance by the Trustee or the Securities
Administrator, as applicable, with respect to its duties and obligations set
forth herein, and (3) for any special or consequential damages to
Certificateholders of the related Residual Certificate (in addition to payment
of principal and interest on the Certificates).

     Section 10.04. REO Property.

     (a) Notwithstanding any other provision of this Agreement, the Master
Servicer shall not, except to the extent provided in this Agreement, knowingly
permit the Servicer to rent, lease, otherwise earn income or take any other
action on behalf of any REMIC with respect to any REO Property which might cause
such REO Property to fail to qualify as "foreclosure property" within the
meaning of section 860G(a)(8) of the Code or result in the receipt by any REMIC
of any "income from non-permitted assets" within the meaning of section
860F(a)(2) of the Code or any "net income from foreclosure property" which is
subject to tax under the REMIC Provisions unless the Servicer has provided to
the Master Servicer, the Trustee and the Securities Administrator an Opinion of
Counsel concluding that, under the REMIC Provisions, such action would not
adversely affect the status of any REMIC as a REMIC and any income generated for
any REMIC by the REO Property would not result in the imposition of a tax upon
such REMIC.

     (b) The Master Servicer shall cause the Servicer (to the extent provided in
this Agreement) to make reasonable efforts to sell any REO Property for its fair
market value. In any event, however, the Master Servicer shall, or shall cause
the Servicer (to the extent provided in this Agreement) to, dispose of any REO
Property within three (3) years of its acquisition by the Issuing Entity unless
the Master Servicer or the Servicer (on behalf of the Issuing Entity) has
received a grant of extension from the Internal Revenue Service to the effect
that, under the REMIC Provisions and any relevant proposed legislation and under
applicable state law, the REMIC may hold REO Property for a longer period
without adversely affecting the REMIC status of such REMIC or causing the
imposition of a Federal or state tax upon such REMIC. If such an extension has
been received, then the Master Servicer, acting on behalf of the Trustee
hereunder, shall, or shall cause the Servicer to, continue to attempt to sell
the REO Property for its fair market value for such period longer than three
years as such extension permits (the "Extended Period"). If such an extension
has not been received and the Master Servicer or the Servicer, acting on behalf
of the Issuing Entity hereunder, is unable to sell the REO Property within
thirty-three (33) months after its acquisition by the Issuing Entity or if such
an extension, has been received and the Master Servicer or the Servicer is
unable to sell the REO Property within the period ending three (3) months before
the close of the Extended Period, the Master Servicer shall cause the Servicer,
before the end of the three-year period or the Extended Period, as applicable,
to (i) purchase such REO Property at a price equal to the REO Property's fair
market value or (ii) auction the REO Property to the highest bidder (which may
be the Servicer) in an auction reasonably designed to produce a fair price prior
to the expiration of the three-year period or the Extended Period, as the case
may be.

                                  ARTICLE XI.

                            MISCELLANEOUS PROVISIONS

     Section 11.01. Binding Nature of Agreement; Assignment.

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     This Agreement shall be binding upon and inure to the benefit of the
parties hereto and their respective successors and permitted assigns.

     Section 11.02. Entire Agreement.

     This Agreement contains the entire agreement and understanding among the
parties hereto with respect to the subject matter hereof, and supersedes all
prior and contemporaneous agreements, understandings, inducements and
conditions, express or implied, oral or written, of any nature whatsoever with
respect to the subject matter hereof. The express terms hereof control and
supersede any course of performance and/or usage of the trade inconsistent with
any of the terms hereof.

     Section 11.03. Amendment.

     (a) This Agreement may be amended from time to time by the Depositor, the
Master Servicer, the Servicer, the Securities Administrator and the Trustee,
without notice to or the consent of any of the Holders, (i) to cure any
ambiguity or mistake, (ii) to cause the provisions herein to conform to or be
consistent with or in furtherance of the statements made with respect to the
Certificates, the Trust Fund or this Agreement in any Offering Document, or to
correct or supplement any provision herein which may be inconsistent with any
other provisions herein or with the provisions of this Agreement, (iii) to add
any other provisions with respect to matters or questions arising under this
Agreement, (iv) to modify alter, amend, add to or rescind any of the terms or
provisions contained in this Agreement or (v) to add, delete, or amend any
provisions to the extent necessary or desirable to comply with any requirements
imposed by the Code and the REMIC Provisions. No such amendment effected
pursuant to the preceding sentence shall, as evidenced by an Opinion of Counsel,
adversely affect the status of any REMIC created pursuant to this Agreement, nor
shall such amendment effected pursuant to clauses (iii) or (iv) of such sentence
adversely affect in any material respect the interests of any Holder unless such
Holder has consented thereto. Prior to entering into any amendment without the
consent of Holders pursuant to this paragraph, the Trustee and the Securities
Administrator shall be provided with an Opinion of Counsel (at the expense of
the party requesting such amendment) to the effect that such amendment is
permitted under this Section. Any such amendment shall be deemed not to
adversely affect in any material respect any Holder, if the Securities
Administrator receives written confirmation from each Rating Agency that such
amendment will not cause such Rating Agency to reduce the then current rating
assigned to the Certificates. In addition, this Agreement may be amended from
time to time by the Sponsor, the Depositor, the Master Servicer, the Servicer,
the Securities Administrator and the Trustee without the consent of any of the
Certificateholders to comply with the provisions of Regulation AB.

     (b) This Agreement may also be amended from time to time by the Depositor,
the Master Servicer, the Servicer, the Securities Administrator and the Trustee,
with the consent of the Holders of not less than 66-2/3% of the Class Principal
Amount (or Percentage Interest) of each Class of Certificates affected thereby
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, however, that no such amendment
shall be made unless the Securities Administrator and the Trustee receive an
Opinion of Counsel, at the expense of the party requesting the change, that such
change will not adversely affect the status of any REMIC as a REMIC or cause a
tax to be imposed on such REMIC; and provided further, that no such amendment
may (i) reduce in any manner the amount of, or delay the timing of, payments
received on Mortgage Loans which are required to be distributed on any
Certificate, without the consent of the Holder of such Certificate or (ii)
reduce the aforesaid percentages of Class

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Principal Amount (or Percentage Interest) of Certificates of each Class, the
Holders of which are required to consent to any such amendment without the
consent of the Holders of 100% of the Class Principal Amount (or Percentage
Interest) of each Class of Certificates affected thereby. For purposes of this
paragraph, references to "Holder" or "Holders" shall be deemed to include, in
the case of any Class of Book-Entry Certificates, the related Certificate
Owners.

     (c) Promptly after the execution of any such amendment, the Trustee shall
furnish written notification of the substance of such amendment to each Holder,
the Depositor, the Master Servicer, the Servicer, the Securities Administrator
and the Rating Agencies.

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

     (e) Notwithstanding anything to the contrary in this Agreement, neither the
Securities Administrator nor the Trustee shall consent to any amendment of this
Agreement except pursuant to the standards provided in this Section with respect
to amendment of this Agreement.

     (f) None of the Sponsor, the Securities Administrator or the Trustee shall
consent to the assignment by the Master Servicer of the Master Servicer's rights
and obligations under this Agreement without the prior written consent of the
Depositor, which consent shall not be unreasonably withheld.

     (g) Notwithstanding anything to the contrary in this Section 11.03, the
Trustee, the Sponsor, the Securities Administrator, the Master Servicer and the
Servicer shall reasonably cooperate with the Depositor and its counsel to enter
into such amendments or modifications to the Agreement as may be necessary to
comply with Regulation AB and any interpretation thereof by the Commission.

     (h) Prior to the execution of any amendment to this Agreement, the Trustee
and the Securities Administrator shall be entitled to receive and rely upon an
Opinion of Counsel stating that the execution of such amendment is authorized
and permitted by this Agreement. The Trustee and the Securities Administrator
may, but shall not be obligated to, enter into any such amendment which affects
the Trustee's or the Securities Administrator's own respective rights, duties or
immunities under this Agreement.

     Section 11.04. Voting Rights.

     Except to the extent that the consent of all affected Certificateholders is
required pursuant to this Agreement, with respect to any provision of this
Agreement requiring the consent of Certificateholders representing specified
percentages of aggregate outstanding Certificate Principal Amount (or Percentage
Interest), Certificates owned by the Depositor, the Trustee, the Securities
Administrator, the Master Servicer, the Servicer or any Affiliates thereof are
not to be counted so long as such Certificates are owned by the Depositor, the
Trustee, the Securities Administrator, the Master Servicer, the Servicer or any
Affiliate thereof.

     Section 11.05. Provision of Information.

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     (a) For so long as any of the Certificates of any Series or Class are
"restricted securities" within the meaning of Rule 144(a)(3) under the
Securities Act, each of the Depositor, the Master Servicer, the Servicer, the
Securities Administrator and the Trustee agree to cooperate with each other to
provide to any Certificateholders and to any prospective purchaser of
Certificates designated by such holder, upon the request of such holder or
prospective purchaser, any information required to be provided to such holder or
prospective purchaser to satisfy the condition set forth in Rule 144A(d)(4)
under the Securities Act. Any reasonable, out-of-pocket expenses incurred by the
Trustee, the Securities Administrator, the Servicer or the Master Servicer in
providing such information shall be reimbursed by the Depositor.

     (b) The Securities Administrator shall make available, upon its website at
www.ctslink.com, a copy of any report on Form 8-K, Form 10-D or Form 10-K
prepared and filed by it with the Commission. Any reasonable out-of-pocket
expenses incurred by the Securities Administrator in providing copies of such
documents shall be reimbursed by the Depositor.

     (c) On each Distribution Date, the Securities Administrator shall deliver
or cause to be delivered by first class mail or make available on its website to
the Depositor, a copy of the report delivered to Certificateholders pursuant to
Section 4.03.

     Section 11.06. Governing Law.

     THIS AGREEMENT SHALL BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE
OF NEW YORK, AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER
SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS WITHOUT REGARD TO CONFLICT OF
LAWS PRINCIPLES APPLIED IN NEW YORK.

     Section 11.07. Notices.

     All requests, demands, notices, authorizations, directions, consents,
waivers and communications hereunder shall be in writing and shall be deemed to
have been duly given when received by (a) in the case of the Depositor, Merrill
Lynch Mortgage Investors, Inc., 250 Vesey Street, 4 World Financial Center, 10th
Floor, New York, New York, 10080, telecopy number (212) 449-9015, Attention:
Merrill Lynch Mortgage Investors Trust Series MLCC 2007-2, (b) in the case of
the Master Servicer or Securities Administrator, Wells Fargo Bank, N.A., P.O.
Box 98, Columbia, Maryland 21046, Attention MLCC Series 2007-2, or, in the case
of overnight deliveries, 9062 Old Annapolis Road, Columbia, Maryland 21045-1951,
Attention: MLCC Series 2007-2, facsimile no.: (410) 715-2380, with a copy to,
Wells Fargo Center, Sixth Street and Marquette Avenue, Minneapolis, Minnesota,
55479, Attention: Corporate Trust Services - MLCC 2007-2, (c) in the case of the
Sponsor, Merrill Lynch Mortgage Lending, Inc., 250 Vesey Street, 4 World
Financial Center, New York, New York, 10080, telecopy number (212) 449-9015,
Attention: Merrill Lynch Mortgage Investors Trust Series MLCC 2007-2, (d) in the
case of the Trustee, at its Corporate Trust Office and (e) in the case of PHH,
3000 Leadenhall Road, Mt. Laurel, New Jersey 08054, telecopy number (856)
917-6910, Attention: Robert E. Groody, Chief Operating Officer, or as to each
party such other address as may hereafter be furnished by such party to the
other parties in writing. All demands, notices and communications to a party
hereunder shall be in writing and shall be deemed to have been duly given when
delivered to such party at the relevant address, facsimile number or electronic
mail address set forth above or at such other address, facsimile number or
electronic mail address as such party may designate from time to time by written
notice in accordance with this Section 11.07.

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     Section 11.08. 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 or of the Certificates or the rights of the Holders thereof.

     Section 11.09. Indulgences; No Waivers.

     Neither the failure nor any delay on the part of a party to exercise any
right, remedy, power or privilege under this Agreement shall operate as a waiver
thereof, nor shall any single or partial exercise of any right, remedy, power or
privilege preclude any other or further exercise of the same or of any other
right, remedy, power or privilege, nor shall any waiver of any right, remedy,
power or privilege with respect to any occurrence be construed as a waiver of
such right, remedy, power or privilege with respect to any other occurrence. No
waiver shall be effective unless it is in writing and is signed by the party
asserted to have granted such waiver.

     Section 11.10. Headings Not To Affect Interpretation.

     The headings contained in this Agreement are for convenience of reference
only, and they shall not be used in the interpretation hereof.

     Section 11.11. Benefits of Agreement.

     Nothing in this Agreement or in the Certificates, express or implied, shall
give to any Person, other than the parties to this Agreement and their
successors hereunder and the Holders of the Certificates, any benefit or any
legal or equitable right, power, remedy or claim under this Agreement, except to
the extent specified in Section 11.15.

     Section 11.12. Special Notices to the Rating Agencies.

     (a) The Depositor shall give prompt notice to the Rating Agencies of the
occurrence of any of the following events of which it has notice:

          (i) any amendment to this Agreement pursuant to Section 11.03;

          (ii) the occurrence of any Servicer Event of Default or Master
     Servicer Event of Default;

          (iii) any notice of termination given to the Master Servicer pursuant
     to Section 6.14 or any resignation of the Master Servicer pursuant to this
     Agreement;

          (iv) the appointment of any successor to the Master Servicer pursuant
     to Section 6.14; and

          (v) the making of a final payment pursuant to Section 7.02.

     (b) All notices to the Rating Agencies provided for this Section shall be
in writing and sent by first class mail, telecopy or overnight courier, as
follows:

If to Moody's, to:

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

          If to S&P, to:

          Standard & Poor's Ratings Services,
          a division of The McGraw-Hill Companies, Inc.
          55 Water Street
          New York, New York 10041
          Attention: Residential Mortgages

     (c) The Securities Administrator shall provide or make available to the
Rating Agencies reports prepared pursuant to Section 4.02. In addition, the
Securities Administrator shall, at the expense of the Issuing Entity, make
available to each Rating Agency such information as such Rating Agency may
reasonably request regarding the Certificates or the Trust Fund, to the extent
that such information is reasonably available to the Securities Administrator.

     Section 11.13. [Reserved]

     Section 11.14. Counterparts.

     This Agreement may be executed in one or more counterparts, each of which
shall be deemed to be an original, and all of which together shall constitute
one and the same instrument.

     Section 11.15. No Petitions.

     Each of the Trustee, the Master Servicer, the Servicer and the Securities
Administrator, by entering into this Agreement, hereby covenants and agrees that
it shall not at any time institute against the Depositor, or join in any
institution against the Depositor of, any bankruptcy, reorganization,
arrangement, insolvency or liquidation proceedings, or other proceedings under
any United States federal or state bankruptcy or similar law in connection with
any obligations relating to this Agreement or any of the documents entered into
by the Depositor in connection with the transactions contemplated by this
Agreement.

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     IN WITNESS WHEREOF, the parties hereto have caused their names to be signed
hereto by their respective officers hereunto duly authorized as of the day and
year first above written.

                                        MERRILL LYNCH MORTGAGE INVESTORS,
                                        INC., as Depositor

                                        By:
                                            ------------------------------------
                                        Name: Paul Park
                                        Title: Authorized Signatory

                                        HSBC BANK USA, NATIONAL ASSOCIATION, as
                                        Trustee

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

                                        WELLS FARGO BANK, N.A.,
                                        as Master Servicer and Securities
                                        Administrator

                                        By:
                                            ------------------------------------
                                        Name: Michael Pinzon
                                        Title: Vice President

                                        PHH MORTGAGE CORPORATION, as Servicer

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

Solely for purposes of Section 2.05,
accepted and agreed to by:

MERRILL LYNCH MORTGAGE LENDING, INC.

By:
    ---------------------------------
Name: Brian E. Brennan
Title: Authorized Signatory

                                      122

<PAGE>

                                    EXHIBIT A

                              FORMS OF CERTIFICATES

                                   SEE TAB 15

                                       A-1

<PAGE>

                                    EXHIBIT B

          FORM OF RESIDUAL CERTIFICATE TRANSFER AFFIDAVIT (TRANSFEREE)

STATE OF    )
            ) ss.:
COUNTY OF   )

     [NAME OF OFFICER], _________________ being first duly sworn, deposes and
says:

     1.   That he [she] is [title of officer] ________________________ of [name
          of Purchaser] _________________________________________ (the
          "Purchaser"), a _______________________ [description of type of
          entity] duly organized and existing under the laws of the [State of
          __________] [United States], on behalf of which he [she] makes this
          affidavit.

     2.   That the Purchaser's Taxpayer Identification Number is [_____].

     3.   That the Purchaser is not a "disqualified organization" within the
          meaning of Section 860E(e)(5) of the Internal Revenue Code of 1986, as
          amended (the "Code") and will not be a "disqualified organization" as
          of [date of transfer], and that the Purchaser is not acquiring a
          Residual Certificate (as defined in the Agreement) for the account of,
          or as agent (including a broker, nominee, or other middleman) for, any
          person or entity from which it has not received an affidavit
          substantially in the form of this affidavit. For these purposes, a
          "disqualified organization" means the United States, any state or
          political subdivision thereof, any foreign government, any
          international organization, any agency or instrumentality of any of
          the foregoing (other than an instrumentality if all of its activities
          are subject to tax and a majority of its board of directors is not
          selected by such governmental entity), any cooperative organization
          furnishing electric energy or providing telephone service to persons
          in rural areas as described in Code Section 1381(a)(2)(C), any
          "electing large partnership" within the meaning of Section 775 of the
          Code, or any organization (other than a farmers' cooperative described
          in Code Section 521) that is exempt from federal income tax unless
          such organization is subject to the tax on unrelated business income
          imposed by Code Section 511.

     4.   That the Purchaser is not, and on __________________ [date of
          transfer] will not be, an employee benefit plan subject to Title I of
          the Employee Retirement Income Security Act of 1974, as amended
          ("ERISA"), a plan subject to Section 4975 of the Code, or a plan
          subject to any provisions under any federal, state, local, non-U.S. or
          other laws or regulations that are substantively similar to foregoing
          provisions of ERISA or the Code (collectively, a "Plan"), and is not
          directly or indirectly acquiring a Residual Certificate for, on behalf
          of or with any assets of any such Plan.

     5.   That the Purchaser hereby acknowledges that under the terms of the
          Pooling and Servicing Agreement dated as of May 1, 2007 (the
          "Agreement"), among Merrill

                                       B-1

<PAGE>

          Lynch Mortgage Investors, Inc., as Depositor, HSBC Bank USA, National
          Association, as Trustee, Wells Fargo Bank, N.A., as Master Servicer
          and Securities Administrator, and PHH Mortgage Corporation, as
          Servicer, with respect to Merrill Lynch Mortgage Investors Trust
          Series MLCC 2007-2 Mortgage Pass-Through Certificates, no transfer of
          the Residual Certificates shall be permitted to be made to any person
          unless the Certificate Registrar and Securities Administrator have
          received a certificate from such transferee containing the
          representations in paragraphs 3 and 4 hereof.

     6.   That the Purchaser does not hold REMIC residual securities as nominee
          to facilitate the clearance and settlement of such securities through
          electronic book-entry changes in accounts of participating
          organizations (such entity, a "Book-Entry Nominee").

     7.   That the Purchaser does not have the intention to impede the
          assessment or collection of any federal, state or local taxes legally
          required to be paid with respect to such Residual Certificate.

     8.   That the Purchaser will not transfer a Residual Certificate to any
          person or entity (i) as to which the Purchaser has actual knowledge
          that the requirements set forth in paragraph 3, paragraph 6 or
          paragraph 10 hereof are not satisfied or that the Purchaser has reason
          to believe does not satisfy the requirements set forth in paragraph 7
          hereof, and (ii) without obtaining from the prospective Purchaser an
          affidavit substantially in this form and providing to the Securities
          Administrator and the Certificate Registrar a written statement
          substantially in the form of Exhibit C to the Agreement.

     9.   That the Purchaser understands that, as the holder of a Residual
          Certificate, the Purchaser may incur tax liabilities in excess of any
          cash flows generated by the interest and that it intends to pay taxes
          associated with holding such Residual Certificate as they become due.

     10.  That the Purchaser (i) is not a Non-U.S. Person or (ii) is a Non-U.S.
          Person that holds a Residual Certificate in connection with the
          conduct of a trade or business within the United States and has
          furnished the transferor, the Securities Administrator and the
          Certificate Registrar with an effective Internal Revenue Service Form
          W-8ECI (Certificate of Foreign Person's Claim for Exemption From
          Withholding on Income Effectively Connected With the Conduct of a
          Trade or Business in the United States) or successor form at the time
          and in the manner required by the Code. "Non-U.S. Person" means an
          individual, corporation, partnership or other person other than (i) a
          citizen or resident of the United States; (ii) a corporation,
          partnership or other entity created or organized in or under the laws
          of the United States or any state thereof, including for this purpose,
          the District of Columbia; (iii) an estate that is subject to U.S.
          federal income tax regardless of the source of its income; (iv) a
          trust if a court within the United States is able to exercise primary
          supervision over the administration of the trust and one or more
          United States trustees have authority to control all substantial
          decisions of the trust; and, (v) to the extent provided in Treasury
          regulations, certain trusts in existence on August 20, 1996 that are
          treated as United States persons prior to such date and elect to
          continue to be treated as United States persons.

                                       B-2

<PAGE>

     11.  The Purchaser will not cause income from the Residual Certificate to
          be attributable to a foreign permanent establishment or fixed base
          (within the meaning of an applicable income tax treaty) of the
          Purchaser or another U.S. taxpayer.

     12.  That the Purchaser agrees to such amendments of the Agreement as may
          be required to further effectuate the restrictions on transfer of any
          Residual Certificate to such a "disqualified organization," an agent
          thereof, a Book-Entry Nominee, or a person that does not satisfy the
          requirements of paragraph 7 and paragraph 10 hereof.

     13.  That the Purchaser consents to the designation of the Securities
          Administrator to act as agent for the "tax matters person" of each
          REMIC created by the Issuing Entity pursuant to the Agreement.

     14.  That the Purchaser agrees to be bound by Section 3.03(f) of the
          Agreement.

                                       B-3

<PAGE>

     IN WITNESS WHEREOF, the Purchaser has caused this instrument to be executed
on its behalf, pursuant to authority of its Board of Directors, by its [title of
officer] this _____ day of __________, 20__.

                                        ----------------------------------------
                                        [Name of Purchaser]

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

     Personally appeared before me the above-named [name of officer]
________________, known or proved to me to be the same person who executed the
foregoing instrument and to be the [title of officer] _________________ of the
Purchaser, and acknowledged to me that he [she] executed the same as his [her]
free act and deed and the free act and deed of the Purchaser.

     Subscribed and sworn before me this _____ day of __________ 20__.

NOTARY PUBLIC

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

COUNTY OF
          ---------------------------

STATE OF
         ----------------------------

My commission expires the _____ day of __________ 20__.

                                       B-4

<PAGE>

                                    EXHIBIT C

              RESIDUAL CERTIFICATE TRANSFER AFFIDAVIT (TRANSFEROR)

                                                --------------------------------
                                                              Date

Re: Merrill Lynch Mortgage Investors Trust Series MLCC 2007-2 Mortgage
    Pass-Through Certificates

     _______________________ (the "Transferor") has reviewed the attached
affidavit of _____________________________ (the "Transferee"), and has no actual
knowledge that such affidavit is not true and has no reason to believe that the
information contained in paragraph 7 thereof is not true, and has no reason to
believe that the Transferee has the intention to impede the assessment or
collection of any federal, state or local taxes legally required to be paid with
respect to a Residual Certificate. In addition, the Transferor has conducted a
reasonable investigation at the time of the transfer and found that the
Transferee had historically paid its debts as they came due and found no
significant evidence to indicate that the Transferee will not continue to pay
its debts as they become due.

                                        Very truly yours,

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

                                       C-1
<PAGE>

                                   EXHIBIT D-1

                STANDARD LAYOUT FOR MONTHLY DEFAULTED LOAN REPORT

EXHIBIT : STANDARD FILE LAYOUT - DELINQUENCY REPORTING

*    The column/header names in BOLD are the minimum fields Wells Fargo must
     receive from every Servicer

<TABLE>
<CAPTION>
COLUMN/HEADER NAME                              DESCRIPTION                  DECIMAL    FORMAT COMMENT
------------------                              -----------                  -------    --------------
<S>                              <C>                                         <C>       <C>
SERVICER_LOAN_NBR                A unique number assigned to a loan
                                 by the Servicer.  This may be
                                 different than the LOAN_NBR

LOAN_NBR                         A unique identifier assigned to each
                                 loan by the originator.

CLIENT_NBR                       Servicer Client Number

SERV_INVESTOR_NBR                Contains a unique number as assigned by
                                 an external servicer to identify a group
                                 of loans in their system.

BORROWER_FIRST_NAME              First Name of the Borrower.

BORROWER_LAST_NAME               Last name of the borrower.

PROP_ADDRESS                     Street Name and Number of Property

PROP_STATE                       The state where the  property
                                 located.

PROP_ZIP                         Zip code where the property is
                                 located.

BORR_NEXT_PAY_DUE_DATE           The date that the borrower's next                     MM/DD/YYYY
                                 payment is due to the servicer
                                 at the end of processing cycle, as
                                 reported by Servicer.

LOAN_TYPE                        Loan Type (i.e. FHA, VA, Conv)

BANKRUPTCY_FILED_DATE            The date a particular bankruptcy                      MM/DD/YYYY
                                 claim was filed.

BANKRUPTCY_CHAPTER_CODE          The chapter under which the
                                 bankruptcy was filed.

BANKRUPTCY_CASE_NBR              The case number assigned by the
                                 court to the bankruptcy filing.

POST_PETITION_DUE_DATE           The payment due date once the                         MM/DD/YYYY
                                 bankruptcy has been approved by the
                                 courts

BANKRUPTCY_DCHRG_DISM_DATE       The Date The Loan Is Removed From                     MM/DD/YYYY
                                 Bankruptcy. Either by Dismissal,
                                 Discharged and/or a Motion For
                                 Relief Was Granted.

LOSS_MIT_APPR_DATE               The Date The Loss Mitigation Was                      MM/DD/YYYY
                                 Approved By The Servicer

LOSS_MIT_TYPE                    The Type Of Loss Mitigation Approved
                                 For A Loan Such As;

LOSS_MIT_EST_COMP_DATE           The Date The Loss Mitigation /Plan                    MM/DD/YYYY
                                 Is Scheduled To End/Close
</TABLE>

                                      D-1-1

<PAGE>

<TABLE>
<S>                              <C>                                         <C>       <C>
LOSS_MIT_ACT_COMP_DATE           The Date The Loss Mitigation Is                       MM/DD/YYYY
                                 Actually Completed

FRCLSR_APPROVED_DATE             The date DA Admin sends a letter to                   MM/DD/YYYY
                                 the servicer with instructions
                                 to begin foreclosure proceedings.

ATTORNEY_REFERRAL_DATE           Date File Was Referred To Attorney                    MM/DD/YYYY
                                 to Pursue Foreclosure

FIRST_LEGAL_DATE                 Notice of 1st legal filed by an                       MM/DD/YYYY
                                 Attorney in a Foreclosure Action

FRCLSR_SALE_EXPECTED_DATE        The date by which a foreclosure sale                  MM/DD/YYYY
                                 is expected to occur.

FRCLSR_SALE_DATE                 The actual date of the foreclosure                    MM/DD/YYYY
                                 sale.

FRCLSR_SALE_AMT                  The amount a property sold for at               2     No commas(,) or
                                 the foreclosure sale.                                 dollar signs ($)

EVICTION_START_DATE              The date the servicer initiates                       MM/DD/YYYY
                                 eviction of the borrower.

EVICTION_COMPLETED_DATE          The date the court revokes legal                      MM/DD/YYYY
                                 possession of the property
                                 from the borrower.

LIST_PRICE                       The price at which an REO property              2     No commas(,) or
                                 is marketed.                                          dollar signs ($)

LIST_DATE                        The date an REO property is listed                    MM/DD/YYYY
                                 at a particular price.

OFFER_AMT                        The dollar value of an offer for an             2     No commas(,) or
                                 REO property.                                         dollar signs ($)

OFFER_DATE_TIME                  The date an offer is received by DA                   MM/DD/YYYY
                                 Admin or by the Servicer.

REO_CLOSING_DATE                 The date the REO sale of the                          MM/DD/YYYY
                                 property is scheduled to close.

REO_ACTUAL_CLOSING_DATE          Actual Date Of REO Sale                               MM/DD/YYYY

OCCUPANT_CODE                    Classification of how the property
                                 is occupied.

PROP_CONDITION_CODE              A code that indicates the condition
                                 of the property.

PROP_INSPECTION_DATE             The date a  property inspection is                    MM/DD/YYYY
                                 performed.

APPRAISAL_DATE                   The date the appraisal was done.                      MM/DD/YYYY

CURR_PROP_VAL                    The current "as is" value of the                2
                                 property based on brokers price
                                 opinion or appraisal.

REPAIRED_PROP_VAL                The amount the property would be                2
                                 worth if repairs are completed
                                 pursuant to a broker's price opinion
                                 or appraisal.

IF APPLICABLE:

DELINQ_STATUS_CODE               FNMA Code Describing Status of Loan

DELINQ_REASON_CODE               The circumstances which caused a borrower
                                 to stop paying on a loan. Code indicates
                                 the reason why the loan is in default for
                                 this cycle.
</TABLE>

                                      D-1-2

<PAGE>

<TABLE>
<S>                              <C>                                         <C>       <C>
MI_CLAIM_FILED_DATE              Date Mortgage Insurance Claim Was                     MM/DD/YYYY
                                 Filed With Mortgage Insurance
                                 Company.

MI_CLAIM_AMT                     Amount of Mortgage Insurance Claim                    No commas(,) or
                                 Filed                                                 dollar signs ($)

MI_CLAIM_PAID_DATE               Date Mortgage Insurance Company                       MM/DD/YYYY
                                 Disbursed Claim Payment

MI_CLAIM_AMT_PAID                Amount Mortgage Insurance Company               2     No commas(,) or
                                 Paid On Claim                                         dollar signs ($)

POOL_CLAIM_FILED_DATE            Date Claim Was Filed With Pool                        MM/DD/YYYY
                                 Insurance Company

POOL_CLAIM_AMT                   Amount of Claim Filed With Pool                 2     No commas(,) or
                                 Insurance Company                                     dollar signs ($)

POOL_CLAIM_PAID_DATE             Date Claim Was Settled and The Check                  MM/DD/YYYY
                                 Was Issued By The Pool Insurer

POOL_CLAIM_AMT_PAID              Amount Paid On Claim By Pool                    2     No commas(,) or
                                 Insurance Company                                     dollar signs ($)

FHA_PART_A_CLAIM_FILED_DATE      Date FHA Part A Claim Was Filed                       MM/DD/YYYY
                                 With HUD

FHA_PART_A_CLAIM_AMT             Amount of FHA Part A Claim Filed                2     No commas(,) or
                                                                                       dollar signs ($)

FHA_PART_A_CLAIM_PAID_DATE       Date HUD Disbursed Part A Claim                       MM/DD/YYYY
                                 Payment

FHA_PART_A_CLAIM_PAID_AMT        Amount HUD Paid on Part A Claim                 2     No commas(,) or
                                                                                       dollar signs ($)

FHA_PART_B_CLAIM_FILED_DATE      Date FHA Part B Claim Was Filed                       MM/DD/YYYY
                                 With HUD

FHA_PART_B_CLAIM_AMT             Amount of FHA Part B Claim Filed                2     No commas(,) or
                                                                                       dollar signs ($)

FHA_PART_B_CLAIM_PAID_DATE       Date HUD Disbursed Part B Claim                       MM/DD/YYYY
                                 Payment

FHA_PART_B_CLAIM_PAID_AMT        Amount HUD Paid on Part B Claim                 2     No commas(,) or
                                                                                       dollar signs ($)

VA_CLAIM_FILED_DATE              Date VA Claim Was Filed With the                      MM/DD/YYYY
                                 Veterans Admin

VA_CLAIM_PAID_DATE               Date Veterans Admin. Disbursed VA                     MM/DD/YYYY
                                 Claim Payment

VA_CLAIM_PAID_AMT                Amount Veterans Admin. Paid on VA               2     No commas(,) or
                                 Claim                                                 dollar signs ($)

MOTION_FOR_RELIEF_DATE           The date the Motion for Relief was             10     MM/DD/YYYY
                                 filed

FRCLSR_BID_AMT                   The foreclosure sale bid amount                11     No commas(,) or
                                                                                       dollar signs ($)

FRCLSR_SALE_TYPE                 The foreclosure sales results: REO,
                                 Third Party, Conveyance to HUD/VA
</TABLE>

                                      D-1-3

<PAGE>

<TABLE>
<S>                              <C>                                         <C>       <C>
REO_PROCEEDS                     The net proceeds from the sale of                     No commas(,) or
                                 the REO property.                                     dollar signs ($)

BPO_DATE                         The date the BPO was done.

CURRENT_FICO                     The current FICO score

HAZARD_CLAIM_FILED_DATE          The date the Hazard Claim was filed            10     MM/DD/YYYY
                                 with the Hazard Insurance Company.

HAZARD_CLAIM_AMT                 The amount of the Hazard Insurance             11     No commas(,) or
                                 Claim filed.                                          dollar signs ($)

HAZARD_CLAIM_PAID_DATE           The date the Hazard Insurance                  10     MM/DD/YYYY
                                 Company disbursed the claim payment.

HAZARD_CLAIM_PAID_AMT            The amount the Hazard Insurance                11     No commas(,) or
                                 Company paid on the claim.                            dollar signs ($)

ACTION_CODE                      Indicates loan status                                 Number

NOD_DATE                                                                               MM/DD/YYYY

NOI_DATE                                                                               MM/DD/YYYY

ACTUAL_PAYMENT_PLAN_START_DATE                                                         MM/DD/YYYY

ACTUAL_PAYMENT_ PLAN_END_DATE

ACTUAL_REO_START_DATE                                                                  MM/DD/YYYY

REO_SALES_PRICE                                                                        Number

REALIZED_LOSS/GAIN               As defined in the Servicing Agreement                 Number
</TABLE>

EXHIBIT 2: STANDARD FILE CODES - DELINQUENCY REPORTING

The LOSS MIT TYPE field should show the approved Loss Mitigation Code as
follows:

-    ASUM- Approved Assumption

-    BAP- Borrower Assistance Program

-    CO- Charge Off

                                      D-1-4
<PAGE>

     -    DIL- Deed-in-Lieu

     -    FFA- Formal Forbearance Agreement

     -    MOD- Loan Modification

     -    PRE- Pre-Sale

     -    SS- Short Sale

     -    MISC- Anything else approved by the PMI or Pool Insurer

NOTE: Wells Fargo Bank will accept alternative Loss Mitigation Types to those
above, provided that they are consistent with industry standards. If Loss
Mitigation Types other than those above are used, the Servicer must supply Wells
Fargo Bank with a description of each of the Loss Mitigation Types prior to
sending the file.

The OCCUPANT CODE field should show the current status of the property code as
follows:

     -    Mortgagor

     -    Tenant

     -    Unknown

     -    Vacant

The PROPERTY CONDITION field should show the last reported condition of the
property as follows:

     -    Damaged

     -    Excellent

     -    Fair

     -    Gone

     -    Good

     -    Poor

     -    Special Hazard

     -    Unknown

                                      D-1-5

<PAGE>

EXHIBIT 2: STANDARD FILE CODES - DELINQUENCY REPORTING, CONTINUED

The FNMA DELINQUENT REASON CODE field should show the Reason for Delinquency as
follows:

<TABLE>
<CAPTION>
DELINQUENCY CODE   DELINQUENCY DESCRIPTION
----------------   -----------------------
<S>                <C>
001                FNMA-Death of principal mortgagor
002                FNMA-Illness of principal mortgagor
003                FNMA-Illness of mortgagor's family member
004                FNMA-Death of mortgagor's family member
005                FNMA-Marital difficulties
006                FNMA-Curtailment of income
007                FNMA-Excessive Obligation
008                FNMA-Abandonment of property
009                FNMA-Distant employee transfer
011                FNMA-Property problem
012                FNMA-Inability to sell property
013                FNMA-Inability to rent property
014                FNMA-Military Service
015                FNMA-Other
016                FNMA-Unemployment
017                FNMA-Business failure
019                FNMA-Casualty loss
022                FNMA-Energy environment costs
023                FNMA-Servicing problems
026                FNMA-Payment adjustment
027                FNMA-Payment dispute
029                FNMA-Transfer of ownership pending
030                FNMA-Fraud
</TABLE>

                                      D-1-6

<PAGE>

<TABLE>
<S>                <C>
031                FNMA-Unable to contact borrower
INC                FNMA-Incarceration
</TABLE>

                                      D-1-7

<PAGE>

EXHIBIT 2: STANDARD FILE CODES - DELINQUENCY REPORTING, CONTINUED

The FNMA DELINQUENT STATUS CODE field should show the Status of Default as
follows:

<TABLE>
<CAPTION>
STATUS CODE   STATUS DESCRIPTION
-----------   ------------------
<S>           <C>
     09       Forbearance
     17       Pre-foreclosure Sale Closing Plan Accepted
     24       Government Seizure
     26       Refinance
     27       Assumption
     28       Modification
     29       Charge-Off
     30       Third Party Sale
     31       Probate
     32       Military Indulgence
     43       Foreclosure Started
     44       Deed-in-Lieu Started
     49       Assignment Completed
     61       Second Lien Considerations
     62       Veteran's Affairs-No Bid
     63       Veteran's Affairs-Refund
     64       Veteran's Affairs-Buydown
     65       Chapter 7 Bankruptcy
     66       Chapter 11 Bankruptcy
     67       Chapter 13 Bankruptcy
</TABLE>

                                      D-1-8

<PAGE>

                                   EXHIBIT D-2

                  STANDARD LAYOUT FOR MONTHLY REMITTANCE ADVICE

               STANDARD LOAN LEVEL FILE LAYOUT - MASTER SERVICING

EXHIBIT 1: Layout

<TABLE>
<CAPTION>
COLUMN NAME                            DESCRIPTION                DECIMAL      FORMAT COMMENT      MAX SIZE
-----------                            -----------                -------      --------------      --------
<S>                      <C>                                      <C>       <C>                    <C>
EACH FILE REQUIRES THE FOLLOWING FIELDS:

SER_INVESTOR_NBR         A value assigned by the Servicer to                Text up to 20 digits      20
                         define a group of loans.

LOAN_NBR                 A unique identifier assigned to each               Text up to 10 digits      10
                         loan by the investor.

SERVICER_LOAN_NBR        A unique number assigned to a loan by              Text up to 10 digits      10
                         the Servicer. This may be different
                         than the LOAN_NBR.

SCHED_PAY_AMT            Scheduled monthly principal and             2      No commas(,) or           11
                         scheduled interest payment that a                  dollar signs ($)
                         borrower is expected to pay, P&I
                         constant.

NOTE_INT_RATE            The loan interest rate as reported by       4      Max length of 6            6
                         the Servicer.

NET_INT_RATE             The loan gross interest rate less the       4      Max length of 6            6
                         service fee rate as reported by the
                         Servicer.

SERV_FEE_RATE            The servicer's fee rate for a loan as       4      Max length of 6            6
                         reported by the Servicer.

SERV_FEE_AMT             The servicer's fee amount for a loan        2      No commas(,) or           11
                         as reported by the Servicer.                       dollar signs ($)

NEW_PAY_AMT              The new loan payment amount as              2      No commas(,) or           11
                         reported by the Servicer.                          dollar signs ($)

NEW_LOAN_RATE            The new loan rate as reported by the        4      Max length of 6            6
                         Servicer.

ARM_INDEX_RATE           The index the Servicer is using to          4      Max length of 6            6
                         calculate a forecasted rate.

ACTL_BEG_PRIN_BAL        The borrower's actual principal             2      No commas(,) or           11
                         balance at the beginning of the                    dollar signs ($)
                         processing cycle.

ACTL_END_PRIN_BAL        The borrower's actual principal             2      No commas(,) or           11
                         balance at the end of the processing               dollar signs ($)
                         cycle.

BORR_NEXT_PAY_DUE_DATE   The date at the end of processing                  MM/DD/YYYY                10
                         cycle that the borrower's next payment
                         is due to the Servicer, as reported by
                         Servicer.

SERV_CURT_AMT_1          The first curtailment amount to be          2      No commas(,) or           11
                         applied.                                           dollar signs ($)

SERV_CURT_DATE_1         The curtailment date associated with               MM/DD/YYYY                10
                         the first curtailment amount.

CURT_ADJ_ AMT_1          The curtailment interest on the first       2      No commas(,) or           11
                         curtailment amount, if applicable.                 dollar signs ($)

SERV_CURT_AMT_2          The second curtailment amount to be         2      No commas(,) or           11
                         applied.                                           dollar signs ($)

SERV_CURT_DATE_2         The curtailment date associated with               MM/DD/YYYY                10
                         the second curtailment amount.
</TABLE>

                                      D-2-1

<PAGE>

<TABLE>
<S>                      <C>                                      <C>       <C>                    <C>
CURT_ADJ_ AMT_2          The curtailment interest on the second      2      No commas(,) or           11
                         curtailment amount, if applicable.                 dollar signs ($)
</TABLE>

                                     D-2-2
<PAGE>

EXHIBIT 1: CONTINUED     STANDARD LOAN LEVEL FILE LAYOUT

<TABLE>
<CAPTION>
                                                                                                             MAX
COLUMN NAME                                DESCRIPTION                     DECIMAL      FORMAT COMMENT      SIZE
-----------              -----------------------------------------------   -------   --------------------   ----
<S>                      <C>                                               <C>       <C>                    <C>
SERV_CURT_AMT_3          The third curtailment amount to be applied.          2      No commas(,) or         11
                                                                                     dollar signs ($)

SERV_CURT_DATE_3         The curtailment date associated with the third              MM/DD/YYYY              10
                         curtailment amount.

CURT_ADJ_AMT_3           The curtailment interest on the third                2      No commas(,) or         11
                         curtailment amount, if applicable.                          dollar signs ($)

PIF_AMT                  The loan "paid in full" amount as reported by        2      No commas(,) or         11
                         the Servicer.                                               dollar signs ($)

PIF_DATE                 The paid in full date as reported by the                    MM/DD/YYYY              10
                         Servicer.

ACTION_CODE              The standard FNMA numeric code used to indicate             Action Code Key:         2
                         the default/delinquent status of a particular               15=Bankruptcy,
                         loan.                                                       30=Foreclosure, ,
                                                                                     60=PIF,
                                                                                     63=Substitution,
                                                                                     65=Repurchase,70=REO

INT_ADJ_AMT              The amount of the interest adjustment as             2      No commas(,) or         11
                         reported by the Servicer.                                   dollar signs ($)

SOLDIER_SAILOR_ADJ_AMT   The Soldier and Sailor Adjustment amount, if         2      No commas(,) or         11
                         applicable.                                                 dollar signs ($)

NON_ADV_LOAN_AMT         The Non Recoverable Loan Amount, if applicable.      2      No commas(,) or         11
                                                                                     dollar signs ($)

LOAN_LOSS_AMT            The amount the Servicer is passing as a loss,        2      No commas(,) or         11
                         if applicable.                                              dollar signs ($)

PLUS THE FOLLOWING APPLICABLE FIELDS:

SCHED_BEG_PRIN_BAL       The scheduled outstanding principal amount due       2      No commas(,) or         11
                         at the beginning of the cycle date to be passed             dollar signs ($)
                         through to investors.

SCHED_END_PRIN_BAL       The scheduled principal balance due to               2      No commas(,) or         11
                         investors at the end of a processing cycle.                 dollar signs ($)

SCHED_PRIN_AMT           The scheduled principal amount as reported by        2      No commas(,) or         11
                         the Servicer for the current cycle -- only                  dollar signs ($)
                         applicable for Scheduled/Scheduled Loans.

SCHED_NET_INT            The scheduled gross interest amount less the         2      No commas(,) or         11
                         service fee amount for the current cycle as                 dollar signs ($)
                         reported by the Servicer -- only applicable for
                         Scheduled/Scheduled Loans.

ACTL_PRIN_AMT            The actual principal amount collected by the         2      No commas(,) or         11
                         Servicer for the current reporting cycle --                 dollar signs ($)
                         only applicable for Actual/Actual Loans.

ACTL_NET_INT             The actual gross interest amount less the            2      No commas(,) or         11
                         service fee amount for the current reporting                dollar signs ($)
                         cycle as reported by the Servicer -- only
                         applicable for Actual/Actual Loans.

PREPAY_PENALTY_ AMT      The penalty amount received when a borrower          2      No commas(,) or         11
                         prepays on his loan as reported by the                      dollar signs ($)
                         Servicer.

PREPAY_PENALTY_ WAIVED   The prepayment penalty amount for the loan           2      No commas(,) or         11
                         waived by the servicer.                                     dollar signs ($)
</TABLE>

                                  D-2-3

<PAGE>

EXHIBIT 1: CONTINUED     STANDARD LOAN LEVEL FILE LAYOUT

<TABLE>
<CAPTION>
                                                                                                             MAX
COLUMN NAME                                DESCRIPTION                     DECIMAL      FORMAT COMMENT      SIZE
-----------              -----------------------------------------------   -------   --------------------   ----
<S>                      <C>                                               <C>       <C>                    <C>
MOD_DATE                 The Effective Payment Date of the Modification              MM/DD/YYYY              10
                         for the loan.

MOD_TYPE                 The Modification Type.                                      Varchar - value can     30
                                                                                     be alpha or numeric

DELINQ_P&I_ADVANCE_AMT   The current outstanding principal and interest       2      No commas(,) or         11
                         advances made by Servicer.                                  dollar signs ($)

                         Flag to indicate if the repurchase of a loan is             Y=Breach                 1
BREACH_FLAG              due to a breach of Representations and                      N=NO Breach
                         Warranties                                                  Let blank if N/A
</TABLE>

                                  D-2-4

<PAGE>

EXHIBIT 2: MONTHLY SUMMARY REPORT BY SINGLE INVESTOR
MONTHLY SUMMARY REPORT

For Month Ended: mm/dd/yyyy              Servicer Name _________________________

Prepared by: _________________________   Investor Nbr __________________________

SECTION 1. REMITTANCES AND ENDING BALANCES - REQUIRED DATA

<TABLE>
<CAPTION>
 Beginning     Ending      Total Monthly   Total Ending Unpaid     Total Monthly
Loan Count   Loan Count   Remittance Amo    Principal Balance    Principal Balance
----------   ----------   --------------   -------------------   -----------------
<S>          <C>          <C>              <C>                   <C>
     0            0            $0.00              $0.00                $0.00
</TABLE>

<TABLE>
<S>                                                 <C>
PRINCIPAL CALCULATION
1. Monthly Principal Due                            + $0.00
2. Current Curtailments                             + $0.00
3. Liquidations                                     + $0.00
4. Other (attach explanation)                       + $0.00
5. Principal Due                                      $0.00
6. Interest (reported "gross")                      + $0.00
7. Interest Adjustments on Curtailments             + $0.00
8. Servicing Fees                                   - $0.00
9. Other Interest (attach explanation)              + $0.00
                                                    -------
10. Interest Due (need to subtract ser fee)           $0.00
                                                    =======
REMITTANCE CALCULATION
11. Total Principal and Interest Due (lines 5+10)   + $0.00
12. Reimbursement of Non-Recoverable Advances       - $0.00
13. Total Realized gains                            + $0.00
14. Total Realized Losses                           - $0.00
15. Total Prepayment Penalties                      + $0.00
16. Total Non-Supported Compensating Interest       - $0.00
17. Other (attach explanation)                        $0.00
                                                    -------
18. Net Funds Due on or before Remittance Date      $ $0.00
                                                    =======
</TABLE>

SECTION 2. DELINQUENCY REPORT - OPTIONAL DATA FOR LOAN ACCOUNTING

                         INSTALLMENTS DELINQUENT

<TABLE>
<CAPTION>
Total No.     Total No.                                     In       Real Estate    Total Dollar
    of            of         30-    60-   90 or more   Foreclosure      Ow ned       Amount of
  Loans     Delinquencies   Days   Days      Days       (Optional)    (Optional)   Delinquencies
---------   -------------   ----   ----   ----------   -----------   -----------   -------------
<S>         <C>             <C>    <C>    <C>          <C>           <C>           <C>
    0             0           0      0         0            0             0            $0.00
</TABLE>

                                  D-2-5

<PAGE>

SECTION 3. REG AB SUMMARY REPORTING - REPORT ALL APPLICABLE FIELDS

<TABLE>
<CAPTION>
REG AB FIELDS                   LOAN COUNT   BALANCE
-------------                   ----------   -------
<S>                             <C>          <C>
PREPAYMENT PENALTY AMT               0        $0.00
PREPAYMENT PENALTY AMT WAIVED        0        $0.00
DELINQUENCY P&I AMOUNT               0        $0.00
</TABLE>

                                  D-2-6
<PAGE>

                                   EXHIBIT D-3

                STANDARD LAYOUT FOR MONTHLY REALIZED LOSS REPORT

CALCULATION OF REALIZED LOSS/GAIN FORM 332- INSTRUCTION SHEET

     NOTE: DO NOT NET OR COMBINE ITEMS. SHOW ALL EXPENSES INDIVIDUALLY AND ALL
     CREDITS AS SEPARATE LINE ITEMS. CLAIM PACKAGES ARE DUE ON THE REMITTANCE
     REPORT DATE. LATE SUBMISSIONS MAY RESULT IN CLAIMS NOT BEING PASSED UNTIL
     THE FOLLOWING MONTH. THE SERVICER IS RESPONSIBLE TO REMIT ALL FUNDS PENDING
     LOSS APPROVAL AND /OR RESOLUTION OF ANY DISPUTED ITEMS.

1.

2. The numbers on the 332 form correspond with the numbers listed below.

     LIQUIDATION AND ACQUISITION EXPENSES:

     1.   The Actual Unpaid Principal Balance of the Mortgage Loan. For
          documentation, an Amortization Schedule from date of default through
          liquidation breaking out the net interest and servicing fees advanced
          is required.

     2.   The Total Interest Due less the aggregate amount of servicing fee that
          would have been earned if all delinquent payments had been made as
          agreed. For documentation, an Amortization Schedule from date of
          default through liquidation breaking out the net interest and
          servicing fees advanced is required.

     3.   Accrued Servicing Fees based upon the Scheduled Principal Balance of
          the Mortgage Loan as calculated on a monthly basis. For documentation,
          an Amortization Schedule from date of default through liquidation
          breaking out the net interest and servicing fees advanced is required.

     4-12. Complete as applicable. Required documentation:

          *    For taxes and insurance advances - see page 2 of 332 form -
               breakdown required showing period of coverage, base tax,
               interest, penalty. Advances prior to default require evidence of
               servicer efforts to recover advances.

          *    For escrow advances - complete payment history

               (to calculate advances from last positive escrow balance forward)

          *    Other expenses - copies of corporate advance history showing all
               payments

          *    REO repairs > $1500 require explanation

          *    REO repairs >$3000 require evidence of at least 2 bids.

          *    Short Sale or Charge Off require P&L supporting the decision and
               WFB's approved Officer Certificate

                                     D-3-1

<PAGE>

          *    Unusual or extraordinary items may require further documentation.

     13.  The total of lines 1 through 12.

     3.   CREDITS:

     14-21. Complete as applicable. Required documentation:

          *    Copy of the HUD 1 from the REO sale. If a 3rd Party Sale, bid
               instructions and Escrow Agent / Attorney Letter of Proceeds
               Breakdown.

          *    Copy of EOB for any MI or gov't guarantee

          *    All other credits need to be clearly defined on the 332 form

     22.  The total of lines 14 through 21.

     Please Note: For HUD/VA loans, use line (18a) for Part A/Initial proceeds
                  and line (18b) for Part B/Supplemental proceeds.

     TOTAL REALIZED LOSS (OR AMOUNT OF ANY GAIN)

     23.  The total derived from subtracting line 22 from 13. If the amount
          represents a realized gain, show the amount in parenthesis (_____).

                                     D-3-2

<PAGE>

CALCULATION OF REALIZED LOSS/GAIN FORM 332

Prepared by: _____________________________                Date:  _______________
Phone: ___________________________________   Email Address:_____________________

<TABLE>
<CAPTION>
Servicer Loan No.   Servicer Name   Servicer Address
-----------------   -------------   ----------------
<S>                 <C>             <C>

</TABLE>

     WELLS FARGO BANK, N.A. LOAN NO._____________________________

     Borrower's Name: __________________________________________________________

     Property Address: _________________________________________________________

LIQUIDATION TYPE: REO SALE   3RD PARTY SALE   SHORT SALE   CHARGE OFF

WAS THIS LOAN GRANTED A BANKRUPTCY DEFICIENCY OR CRAMDOWN YES ____ NO ___

If "Yes", provide deficiency or cramdown amount ________________________________

<TABLE>
<S>                                                          <C>
LIQUIDATION AND ACQUISITION EXPENSES:

(1)  Actual Unpaid Principal Balance of Mortgage Loan        $______________ (1)

(2)  Interest accrued at Net Rate                            ________________(2)

(3)  Accrued Servicing Fees                                  ________________(3)

(4)  Attorney's Fees                                         ________________(4)

(5)  Taxes (see page 2)                                      ________________(5)

(6)  Property Maintenance                                    _______________ (6)

(7)  MI/Hazard Insurance Premiums (see page 2)               ________________(7)

(8)  Utility Expenses                                        ________________(8)

(9)  Appraisal/BPO                                           ________________(9)

(10) Property Inspections                                    _______________(10)

(11) FC Costs/Other Legal Expenses                           _______________(11)

(12) Other (itemize)                                         _______________(12)
</TABLE>

                                     D-3-3

<PAGE>

<TABLE>
<S>                                                          <C>
        Cash for Keys ________________________               _______________(12)
        HOA/Condo Fees _______________________               _______________(12)
        ______________________________________               _______________(12)

        TOTAL EXPENSES                                       $______________(13)
CREDITS:

(14) Escrow Balance                                          $______________(14)

(15) HIP Refund                                              _______________(15)

(16) Rental Receipts                                         _______________(16)

(17) Hazard Loss Proceeds                                    _______________(17)

(18) Primary Mortgage Insurance / Gov't Insurance            ______________(18a)
                                                             HUD Part A
                                                             ______________(18b)
                                                             HUD Part B

(19) Pool Insurance Proceeds                                 _______________(19)

(20) Proceeds from Sale of Acquired Property                 _______________(20)

(21) Other (itemize)                                         _______________(21)

     _________________________________________               _______________(21)

        TOTAL CREDITS                                        $______________(22)

     TOTAL REALIZED LOSS (OR AMOUNT OF GAIN)                 $______________(23)
</TABLE>

                                     D-3-4

<PAGE>

ESCROW DISBURSEMENT DETAIL

<TABLE>
<CAPTION>
   TYPE                   PERIOD OF
(TAX /INS.)   DATE PAID    COVERAGE   TOTAL PAID   BASE AMOUNT   PENALTIES   INTEREST
-----------   ---------   ---------   ----------   -----------   ---------   --------
<S>           <C>         <C>         <C>          <C>           <C>         <C>

</TABLE>

                                     D-3-5
<PAGE>

                                    EXHIBIT E

                   MORTGAGE LOAN SALE AND ASSIGNMENT AGREEMENT

                                    SEE TAB 1

                                       E-1

<PAGE>

                                    EXHIBIT F

                      LIST OF LIMITED PURPOSE SURETY BONDS

     Ambac Assurance Corporation Surety Bond No. AB0039BE, issued February 26,
1996, for Merrill Lynch Credit Corporation.

                             On File at Dechert LLP
                              Attn: Steven Molitor
                                   Cira Centre
                                2929 Arch Street
                             Philadelphia, PA 19104

                                       F-1

<PAGE>

                                    EXHIBIT G

                     FORM OF RULE 144A TRANSFER CERTIFICATE

Re: Merrill Lynch Mortgage Investors Trust Series MLCC 2007-2 Mortgage
    Pass-Through Certificates

     Reference is hereby made to the Pooling and Servicing Agreement, dated as
of May 1, 2007 (the "Agreement"), among Merrill Lynch Mortgage Investors, Inc.,
as Depositor, HSBC Bank USA, National Association, as Trustee, Wells Fargo Bank,
N.A., as Master Servicer and Securities Administrator, and PHH Mortgage
Corporation, as Servicer. Capitalized terms used but not defined herein shall
have the meanings given to them in the Agreement.

     This letter relates to $__________ initial Certificate Balance of Class
[_____] Certificates which are held in the form of Definitive Certificates
registered in the name of [_____] (the "Transferor"). The Transferor has
requested a transfer of such Definitive Certificates for Definitive Certificates
of such Class registered in the name of [insert name of transferee].

     In connection with such request, and in respect of such Certificates, the
Transferor hereby certifies that such Certificates are being transferred in
accordance with (i) the transfer restrictions set forth in the Agreement and the
Certificates and (ii) Rule 144A under the Securities Act to a purchaser that the
Transferor reasonably believes is a "qualified institutional buyer" within the
meaning of Rule 144A purchasing for its own account or for the account of a
"qualified institutional buyer," which purchaser is aware that the sale to it is
being made in reliance upon Rule 144A, in a transaction meeting the requirements
of Rule 144A and in accordance with any applicable securities laws of any state
of the United States or any other applicable jurisdiction.

     This certificate and the statements contained herein are made for your
benefit and the benefit of the Underwriters and the Depositor.

                                        ----------------------------------------
                                        [Name of Transferor]

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

Dated:
       ------------------------------

                                       G-1

<PAGE>

                                    EXHIBIT H

                         FORM OF PURCHASER'S LETTER FOR
                        INSTITUTIONAL ACCREDITED INVESTOR

                                 Date __________

Dear Sirs:

     In connection with our proposed purchase of $______________ principal
amount of Merrill Lynch Mortgage Investors Trust Series MLCC 2007-2 Mortgage
Pass-Through Certificates (the "Privately Offered Certificates") of Merrill
Lynch Mortgage Investors, Inc. (the "Depositor"), we confirm that:

     (1) We understand that the Privately Offered Certificates have not been,
and will not be, registered under the Securities Act of 1933, as amended (the
"Securities Act"), and may not be sold except as permitted in the following
sentence. We agree, on our own behalf and on behalf of any accounts for which we
are acting as hereinafter stated, that if we should sell any Privately Offered
Certificates within two years of the later of the date of original issuance of
the Privately Offered Certificates or the last day on which such Privately
Offered Certificates are owned by the Depositor or any affiliate of the
Depositor we will do so only (A) to the Depositor, (B) to "qualified
institutional buyers" (within the meaning of Rule 144A under the Securities Act)
in accordance with Rule 144A under the Securities Act ("QIBs"), (C) pursuant to
the exemption from registration provided by Rule 144 under the Securities Act,
or (D) to an institutional "accredited investor" within the meaning of Rule
501(a)(1), (2), (3) or (7) of Regulation D under the Securities Act that is not
a QIB (an "Institutional Accredited Investor") which, prior to such transfer,
delivers to the Certificate Registrar under the Pooling and Servicing Agreement,
dated as of May 1, 2007 (the "Agreement"), among Merrill Lynch Mortgage
Investors, Inc., as Depositor, HSBC Bank USA, National Association, as Trustee,
Wells Fargo Bank, N.A., as Master Servicer and Securities Administrator, and PHH
Mortgage Corporation, as Servicer, a signed letter in the form of this letter;
and we further agree, in the capacities stated above, to provide to any person
purchasing any of the Privately Offered Certificates from us a notice advising
such purchaser that resales of the Privately Offered Certificates are restricted
as stated herein.

     (2) We understand that, in connection with any proposed resale of any
Privately Offered Certificates to an Institutional Accredited Investor, we will
be required to furnish to the Certificate Registrar a certification from such
transferee in the form hereof to confirm that the proposed sale is being made
pursuant to an exemption from, or in a transaction not subject to, the
registration requirements of the Securities Act. We further understand that the
Privately Offered Certificates purchased by us will bear a legend to the
foregoing effect.

     (3) We are acquiring the Privately Offered Certificates for investment
purposes and not with a view to, or for offer or sale in connection with, any
distribution in violation of the Securities Act. We have such knowledge and
experience in financial and business matters as to be capable of evaluating the
merits and risks of our investment in the Privately Offered Certificates,

                                       H-1

<PAGE>

and we and any account for which we are acting are each able to bear the
economic risk of such investment.

     (4) We are an Institutional Accredited Investor and we are acquiring the
Privately Offered Certificates purchased by us for our own account or for one or
more accounts (each of which is an Institutional Accredited Investor) as to each
of which we exercise sole investment discretion.

     (5) We have received such information as we deem necessary in order to make
our investment decision.

     (6) If we are acquiring ERISA-Restricted Certificates, we are not a Plan
and we are not acquiring the ERISA-Restricted Certificates for, on behalf of or
with any assets of any such Plan except in accordance with Section 3.03(d) of
the Pooling and Servicing Agreement.

     Terms used in this letter which are not otherwise defined herein have the
respective meanings assigned thereto in the Agreement.

     You are entitled to rely upon this letter and are irrevocably authorized to
produce this letter or a copy hereof to any interested party in any
administrative or legal proceeding or official inquiry with respect to the
matters covered hereby.

                                        Very truly yours,

                                        ----------------------------------------
                                        [Purchaser]

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

                                       H-2

<PAGE>

                                    EXHIBIT I

                        FORM OF ERISA TRANSFER AFFIDAVIT

STATE OF NEW YORK  )
                   ) ss.:
COUNTY OF NEW YORK )

     The undersigned, being first duly sworn, deposes and says as follows:

     1. The undersigned is the ____________ of ___________ (the "Investor"), a
[corporation duly organized] and existing under the laws of __________, on
behalf of which he makes this affidavit.

     2. With respect to the transfer of an ERISA-Restricted Certificate, the
Investor (A) is not an employee benefit plan subject to Title I of the Employee
Retirement Income Security Act of 1974, as amended ("ERISA"), a plan subject to
Section 4975 of the Internal Revenue Code of 1986, as amended (the "Code"), or a
plan or arrangement subject to any provisions under any federal, state, local,
non-U.S. or other laws or regulations that are substantively similar to
foregoing provisions of ERISA or the Code ("Similar Law") (collectively, a
"Plan"), and is not directly or indirectly acquiring the ERISA-Restricted
Certificate for, on behalf of or with any assets of any such Plan, (B) if the
Certificate has been the subject of an ERISA-Qualifying Underwriting, is an
insurance company that is acquiring the ERISA-Restricted Certificate with assets
contained in an "insurance company general account," as defined in Section V(E)
of Prohibited Transaction Class Exemption ("PTCE") 95-60, and the acquisition
and holding of the Certificate are covered and exempt under Sections I and III
of PTCE 95-60, or (C) solely in the case of a Definitive Certificate, shall
deliver herewith an Opinion of Counsel satisfactory to the Securities
Administrator and the Depositor, and upon which the Securities Administrator and
the Depositor shall be entitled to rely, to the effect that the acquisition and
holding of such ERISA-Restricted Certificate will not constitute or result in a
nonexempt prohibited transaction under ERISA or the Code, or a violation of
Similar Law, and will not subject the Securities Administrator, the Trustee, the
Certificate Registrar, the Master Servicer or the Depositor to any obligation in
addition to those expressly undertaken in the Agreement, which Opinion of
Counsel shall not be an expense of the Securities Administrator, Trustee, the
Certificate Registrar, the Master Servicer or the Depositor.

     3. The Investor hereby acknowledges that under the terms of the Pooling and
Servicing Agreement dated as of May 1, 2007 (the "Agreement"), among Merrill
Lynch Mortgage Investors, Inc., as Depositor, HSBC Bank USA, National
Association, as Trustee, Wells Fargo Bank, N.A., as Master Servicer and
Securities Administrator, and PHH Mortgage Corporation, as Servicer, no transfer
of the ERISA-Restricted Certificates shall be permitted to be made to any person
unless the Certificate Registrar has received a certificate from such transferee
in the form hereof.

                                       I-1

<PAGE>

     IN WITNESS WHEREOF, the Investor has caused this instrument to be executed
on its behalf, pursuant to proper authority, by its duly authorized officer,
duly attested, this ____ day of _______________ 20__.

                                        ----------------------------------------
                                        [Investor]

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

ATTEST:

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

STATE OF  )
          ) ss.:
COUNTY OF )

     Personally appeared before me the above-named ________________, known or
proved to me to be the same person who executed the foregoing instrument and to
be the ____________________ of the Investor, and acknowledged that he executed
the same as his free act and deed and the free act and deed of the Investor.

     Subscribed and sworn before me this _____ day of _________ 20__.

                                        ----------------------------------------
                                        NOTARY PUBLIC

                                        My commission expires the
                                        ___ day of __________, 20__.

                                       I-2

<PAGE>

                                    EXHIBIT J

                        FORM OF LETTER OF REPRESENTATIONS
                        WITH THE DEPOSITORY TRUST COMPANY

                                   SEE TAB 20

                                       J-1

<PAGE>

                                    EXHIBIT K

                          FORM OF INITIAL CERTIFICATION
            MERRILL LYNCH MORTGAGE INVESTORS TRUST SERIES MLCC 2007-2

                                ___________, 2007

To: Merrill Lynch Mortgage Investors, Inc.
    250 Vesey Street
    4 World Financial Center, 10th Floor
    New York, New York 10080

    Wells Fargo Bank, N.A.
    9062 Old Annapolis Road
    Columbia, MD 21045

    Merrill Lynch Mortgage Lending, Inc.
    250 Vesey Street
    4 World Financial Center, 10th Floor
    New York, New York 10080

     Reference is made to the Pooling and Servicing Agreement, among Merrill
Lynch Mortgage Investors, Inc., as depositor (the "Depositor"), HSBC Bank USA,
National Association, as trustee (the "Trustee"), Wells Fargo Bank, N.A., as
master servicer and securities administrator, and PHH Mortgage Corporation, as
servicer, dated as of May 1, 2007 (the "Agreement"), pursuant to which the
Depositor has delivered to the Trustee, or its Custodian, with respect to each
Mortgage Loan set forth on Schedule A hereto (the "Mortgage Loan Schedule"), the
documents set forth in Section 2.01 of the Agreement.

     With respect to each Mortgage Loan listed on the Mortgage Loan Schedule and
except as otherwise noted on the Schedule of Exceptions set forth on Schedule B
hereto, the Trustee confirms that (1) the Trustee, or its Custodian, has
received all of the documents required to be delivered to the Trustee, or its
Custodian, pursuant to Section 2.01 of the Agreement, (2) the Trustee, or its
Custodian, has reviewed each Trustee's Mortgage File in accordance with Section
2.02(a) of the Agreement, and the documents contained in each Trustee's Mortgage
File conform to the requirements set forth in such Section 2.02(a), and (3) the
Trustee, or its Custodian, has physical possession of the documents in each
Trustee's Mortgage File. The Trustee, or its Custodian, has not independently
verified the validity, enforceability, sufficiency, recordability, due
authorization or genuineness or any document in any Trustee's Mortgage File or
any related Mortgage Loan, nor the collectibility, insurability, effectiveness
or suitability of any related Mortgage Loan.

     All terms used herein and not otherwise defined herein shall have the
respective meaning ascribed to such term in the Agreement.

                                       K-1

<PAGE>

                                        [HSBC BANK USA, NATIONAL ASSOCIATION.,
                                        as Trustee]

                                        [WELLS FARGO BANK, N.A.,
                                        as Custodian]

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

                                       K-2
<PAGE>

                                    EXHIBIT L

                           FORM OF FINAL CERTIFICATION
            MERRILL LYNCH MORTGAGE INVESTORS TRUST SERIES MLCC 2007-2

                               _____________, 2007

To: Merrill Lynch Mortgage Investors, Inc.
    250 Vesey Street
    4 World Financial Center, 10th Floor
    New York, New York 10080

    Wells Fargo Bank, N.A.
    9062 Old Annapolis Road
    Columbia, MD 21045

    Merrill Lynch Mortgage Lending, Inc.
    250 Vesey Street
    4 World Financial Center, 10th Floor
    New York, New York 10080

     Reference is made to the Pooling and Servicing Agreement, among Merrill
Lynch Mortgage Investors, Inc., as depositor (the "Depositor"), HSBC Bank USA,
National Association, as trustee (the "Trustee"), Wells Fargo Bank, N.A., as
master servicer (in such capacity, the "Master Servicer") and securities
administrator, and PHH Mortgage Corporation, as servicer, dated as of May 1,
2007 (the "Agreement"), pursuant to which the Depositor has delivered to the
Trustee, or its Custodian, with respect to each Mortgage Loan set forth on
Schedule A hereto (the "Mortgage Loan Schedule"), the documents set forth in
Section 2.01 of the Agreement.

     With respect to each Mortgage Loan listed on the Mortgage Loan Schedule and
except as otherwise noted on the Schedule of Exceptions set forth on Schedule B
hereto, the Trustee confirms that (1) the Trustee, or its Custodian, has
received all of the documents required to be delivered to it pursuant to Section
2.01 of the Agreement, (2) the Trustee, or its Custodian, has reviewed each
Trustee's Mortgage File in accordance with Section 2.01 of the Agreement, and
the documents contained in each Trustee's Mortgage File conform to the
requirements set forth in such Section 2.01; provided, however, that
notwithstanding anything to the contrary contained herein the Trustee, or its
Custodian, shall not be required to confirm the information contained in item
(viii) of the Mortgage Loan Schedule with respect to any Mortgage Loan, and (3)
the Trustee, or its Custodian, has physical possession of the documents in each
Trustee's Mortgage File. The Trustee, or its Custodian, has not independently
verified the validity, enforceability, sufficiency, recordability, due
authorization or genuineness or any document in any Trustee's Mortgage File or
any related Mortgage Loan, nor the collectibility, insurability, effectiveness
or suitability of any related Mortgage Loan.

     All terms used herein and not otherwise defined herein shall have the
respective meaning ascribed to such term in the Agreement.

                                        [HSBC BANK USA, NATIONAL ASSOCIATION,

                                       L-1

<PAGE>

                                        as Trustee]

                                        [WELLS FARGO BANK, N.A.,
                                        as Custodian]

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

                                       L-2

<PAGE>

                                    EXHIBIT M

                           LIST OF SERVICING OFFICERS

                                   SEE TAB 32

                                       M-1

<PAGE>

                                    EXHIBIT N

                               REQUEST FOR RELEASE

To: Wells Fargo Bank, N.A.
    1015 10th Avenue S.E.
    Minneapolis, Minnesota 55414
    (Attention: Merrill Lynch Mortgage Investors Trust Series MLCC 2007-2)

    HSBC Bank USA, National Association
    452 Fifth Avenue
    New York, NY 10018
    (Attention: Issuer Services: Merrill Lynch Mortgage Investors Trust Series
    MLCC 2007-2)

     Re: Pooling and Servicing Agreement, dated as of May 1, 2007, among
         Merrill Lynch Mortgage Investors, Inc., as Depositor, HSBC Bank USA,
         National Association, as Trustee, Wells Fargo Bank, N.A., as Master
         Servicer and Securities Administrator, and PHH Mortgage Corporation,
         as Servicer

     In connection with the administration of the pool of Mortgage Loans held by
you as Trustee for the benefit of Certificateholders, we request the release of
the (Trustee's Mortgage File/[specify documents]) for the Mortgage Loan
described below, for the reason indicated.

File/document to be sent to:

          [Company]
          [Address]
          [Attn:]
          [Telephone Number ____]

Mortgagor's Name, Address & Zip Code: _______________

Mortgage Loan Number: _______________

Reason for Requesting Documents (check one)

______ 1.   Mortgage Loan Paid in Full ([Sponsor/Depositor] [Servicer] [Master
            Servicer], hereby certifies that all amounts received in connection
            therewith have been credited to the Collection Account, Master
            Servicer Collection Account or the Distribution Account, as
            applicable.)

______ 2.   Mortgage Loan in Foreclosure

______ 3.   Mortgage Loan Repurchased or Substituted For ([Sponsor/Depositor]
            [Servicer] [Master Servicer], hereby certifies that any applicable
            repurchase price or substitution shortfall amount has been credited
            to the Collection Account, the Master Servicer Collection Account or
            the

                                       N-1

<PAGE>

            Distribution Account, as applicable.)

______ 4.   Mortgage Loan Liquidated (([Sponsor/Depositor] [Servicer] [Master
            Servicer], hereby certifies that all proceeds of foreclosure,
            insurance or other liquidation have been finally received and
            credited to the Collection Account, the Master Servicer Collection
            Account or the Distribution Account, as applicable.)

______ 5.   Other (explain) _______________________________________ If box 1, 2
            or 3 above is checked, and if all or part of the Trustee's Mortgage
            File was previously released to us, please release to us our
            previous receipt on file with you, as well as any additional
            documents in your possession relating to the above specified
            Mortgage Loan.

            If box 4 or 5 above is checked, upon our return of all of the above
            documents to you as Trustee, please acknowledge your receipt by
            signing in the space indicated below, and returning this form.

                                        [SPONSOR/DEPOSITOR]
                                        [MASTER SERVICER] [SERVICER]

                                        By:
                                            ------------------------------------
                                        Date:
                                              ----------------------------------

Documents returned to Trustee:

____________________________________,
as Trustee

By:
    ---------------------------------
Date:
      -------------------------------

                                       N-2

<PAGE>

                                    EXHIBIT O

                                   [RESERVED]

                                       O-1

<PAGE>

                                    EXHIBIT P

                                   [RESERVED]

                                       P-1

<PAGE>

                                    EXHIBIT Q

                  FORM OF BACK-UP SARBANES-OXLEY CERTIFICATION

Merrill Lynch Mortgage Investors, Inc.
250 Vesey Street
4 World Financial Center, 10th Floor

New York, New York 10080
Wells Fargo Bank, N.A.
9062 Old Annapolis Road
Columbia, MD 21045

Re: Merrill Lynch Mortgage Investors Trust, Series MLCC 2007-2

          I, [_______], the [_______] of [_______] (the "Servicer") hereby
certify to the Depositor, the Master Servicer and the Securities Administrator,
and each of their officers, directors and affiliates, with the knowledge and
intent that they will rely upon this certification, that:

          (1) I have reviewed [the servicer compliance statement of the Servicer
provided in accordance with Item 1123 of Regulation AB (the "Compliance
Statement"),] the report on assessment of the Servicer's compliance with the
servicing criteria set forth in Item 1122(d) of Regulation AB (the "Servicing
Criteria"), 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"), 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"), and all servicing reports, officer's certificates and other
information relating to the servicing of the Mortgage Loans by the Servicer
during 200[ ] that were delivered by the Servicer to any of the Depositor, the
Master Servicer, the Securities Administrator and the Trustee pursuant to the
Agreement (collectively, the "Servicer Servicing Information");

          (2) Based on my knowledge, the Servicer Servicing 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 Servicer Servicing Information;

          (3) Based on my knowledge, all of the Servicer Servicing Information
required to be provided by the Servicer under the Agreement has been provided to
the Depositor, the Master Servicer and the Securities Administrator;

          (4) I am responsible for reviewing the activities performed by
[_______] as [_______] under the [_______] (the "Agreement"), and based on my
knowledge [and the compliance review conducted in preparing the Compliance
Statement] and except as disclosed in [the Compliance Statement,] the Servicing
Assessment or the Attestation Report, the Servicer has fulfilled its obligations
under the Agreement in all material respects; and

                                       Q-1

<PAGE>

          (5) [The Compliance Statement required to be delivered by the Servicer
pursuant to the Agreement, and] [The] [the] Servicing Assessment and Attestation
Report required to be provided by the Servicer and [by any Sub-servicer or
Subcontractor] pursuant to the Agreement, have been provided to the Depositor,
the Master Servicer and the Securities Administrator. Any material instances of
noncompliance described in such reports have been disclosed to the Depositor,
the Master Servicer and the Securities Administrator. Any material instance of
noncompliance with the Servicing Criteria has been disclosed in such reports.

          Capitalized terms used but not defined herein have the meanings
ascribed to them in the Pooling and Servicing Agreement, dated as of May 1,
2007, among Merrill Lynch Mortgage Investors, Inc., as depositor (the
"Depositor"), Wells Fargo Bank, N.A., as master servicer (in such capacity, the
"Master Servicer") and securities administrator (in such capacity, the
"Securities Administrator"), HSBC Bank USA, National Association, as trustee
(the "Trustee") and PHH Mortgage Corporation, as Servicer (the "Servicer").

                                        [_______]
                                        as [_______]

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

                                       Q-2

<PAGE>

                                    EXHIBIT R

                                   [RESERVED]

                                       R-1

<PAGE>

                                   Exhibit S-1

                        FORM OF ASSESSMENT OF COMPLIANCE

                                     [DATE]

Merrill Lynch Mortgage Investors, Inc.
250 Vesey Street
4 World Financial Center, 10th Floor
New York, New York 10080

Wells Fargo Bank, N.A.
9062 Old Annapolis Road
Columbia, Maryland 21045

Attention: Merrill Lynch Mortgage Investors Trust Series MLCC 2007-2

     Re: Pooling and Servicing Agreement (the "Agreement"), dated as of May 1,
         2007, among Merrill Lynch Mortgage Investors, Inc., as depositor, HSBC
         Bank USA, National Association, as trustee, Wells Fargo Bank, N.A., as
         master servicer and securities administrator, and PHH Mortgage
         Corporation, as servicer, relating to Merrill Lynch Mortgage Investors
         Trust, Series MLCC 2007-2 (the "Issuing Entity")

     For the calendar year ending December 31, [2007] or portion thereof, [PHH
Mortgage Corporation, as Servicer] [Wells Fargo Bank, N.A., as [Master Servicer]
[Securities Administrator]] for the Issuing Entity has complied in all material
respects with the Relevant Servicing Criteria in Exhibit S-2 of the Agreement.

     All capitalized terms used herein but not defined herein shall have the
meanings assigned to them in the Agreement.

Date:
      -------------------------------

                                        [PHH MORTGAGE CORPORATION]

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

ACKNOWLEDGED AND AGREED:
[WELLS FARGO BANK, N.A., as Master
Servicer]

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

MERRILL LYNCH MORTGAGE INVESTORS,
INC., as Depositor

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

                                      S-1-1

<PAGE>

                                   EXHIBIT S-2

                       SERVICING CRITERIA TO BE ADDRESSED
                           IN ASSESSMENT OF COMPLIANCE
                          (RMBS UNLESS OTHERWISE NOTED)

KEY:
X -- obligation

WHERE THERE ARE MULTIPLE CHECKS FOR CRITERIA THE ATTESTING PARTY WILL IDENTIFY
IN ITS MANAGEMENT ASSERTION THAT IT IS ATTESTING ONLY TO THE PORTION OF THE
DISTRIBUTION CHAIN THAT SUCH PARTY IS RESPONSIBLE FOR IN THE RELATED TRANSACTION
AGREEMENTS. CAPITALIZED TERMS USED HEREIN BUT NOT DEFINED HEREIN SHALL HAVE THE
MEANINGS ASSIGNED TO THEM IN THE POOLING AND SERVICING AGREEMENT, DATED AS OF
MAY 1, 2007, AMONG MERRILL LYNCH MORTGAGE INVESTORS, INC., AS DEPOSITOR, WELLS
FARGO BANK, N.A., AS MASTER SERVICER AND SECURITIES ADMINISTRATOR, HSBC BANK
USA, NATIONAL ASSOCIATION, AS TRUSTEE, AND PHH MORTGAGE CORPORATION, AS
SERVICER.

<TABLE>
<CAPTION>
                                                         WELLS        PHH        WELLS FARGO
                                                      FARGO BANK    MORTGAGE        BANK       WELLS FARGO
                                                        (MASTER   CORPORATION    (SECURITIES       BANK          ADDITIONAL
REG AB REFERENCE         SERVICING CRITERIA            SERVICER)   (SERVICER)  ADMINISTRATOR)  (CUSTODIAN)      INFORMATION
----------------  ----------------------------------  ----------  -----------  --------------  -----------  -------------------
<S>               <C>                                 <C>         <C>          <C>             <C>          <C>
                  GENERAL SERVICING CONSIDERATIONS

1122(d)(1)(i)     Policies and procedures are              X           X              X
                  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                X           X              X
                  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                 N/A         N/A            N/A
                  transaction agreements to maintain
                  a back-up servicer for the Pool
                  Assets are maintained.

1122(d)(1)(iv)    A fidelity bond and errors and           X           X
                  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              X           X              X
                  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.
</TABLE>

                                      S-2-1

<PAGE>

<TABLE>
<CAPTION>
                                                         WELLS        PHH        WELLS FARGO
                                                      FARGO BANK    MORTGAGE        BANK       WELLS FARGO
                                                        (MASTER   CORPORATION    (SECURITIES       BANK          ADDITIONAL
REG AB REFERENCE         SERVICING CRITERIA            SERVICER)   (SERVICER)  ADMINISTRATOR)  (CUSTODIAN)      INFORMATION
----------------  ----------------------------------  ----------  -----------  --------------  -----------  -------------------
<S>               <C>                                 <C>         <C>          <C>             <C>          <C>
1122(d)(2)(ii)    Disbursements made via wire              X           X              X                     Servicer disburses
                  transfer on behalf of an obligor                                                          funds to the
                  or to an investor are made only by                                                        Master Servicer.
                  authorized personnel.                                                                     Master Servicer
                                                                                                            disburses funds to
                                                                                                            Securities
                                                                                                            Administrator.
                                                                                                            Securities
                                                                                                            Administrator
                                                                                                            disburses funds to
                                                                                                            certificateholders.

1122(d)(2)(iii)   Advances of funds or guarantees          X           X
                  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             X           X              X
                  transaction, such as cash reserve
                  accounts or accounts established
                  as a form of over
                  collateralization, are separately
                  maintained (e.g., with respect to
                  commingling of cash) as set forth
                  in the transaction agreements.

1122(d)(2)(v)     Each Collection Account is               X           X              X
                  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                   X
                  as to prevent unauthorized access.

1122(d)(2)(vii)   Reconciliations are prepared on a        X           X              X
                  monthly basis for all asset-backed
                  securities related bank accounts,
                  including Collection 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.

                  INVESTOR REMITTANCES AND REPORTING
</TABLE>

                                      S-2-2

<PAGE>

<TABLE>
<CAPTION>
                                                         WELLS        PHH        WELLS FARGO
                                                      FARGO BANK    MORTGAGE        BANK       WELLS FARGO
                                                        (MASTER   CORPORATION    (SECURITIES       BANK          ADDITIONAL
REG AB REFERENCE         SERVICING CRITERIA            SERVICER)   (SERVICER)  ADMINISTRATOR)  (CUSTODIAN)      INFORMATION
----------------  ----------------------------------  ----------  -----------  --------------  -----------  -------------------
<S>               <C>                                 <C>         <C>          <C>             <C>          <C>
1122(d)(3)(i)     Reports to investors, including          X           X              X
                  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             X           X              X                     Servicer remits
                  allocated and remitted in                                                                 cash and loan
                  accordance with timeframes,                                                               level data to
                  distribution priority and other                                                           Master Servicer
                  terms set forth in the transaction                                                        based on timelines
                  agreements.                                                                               established in the
                                                                                                            PSA (or any other
                                                                                                            applicable
                                                                                                            agreement). Master
                                                                                                            Servicer remits
                                                                                                            cash and loan
                                                                                                            level data to
                                                                                                            Securities
                                                                                                            Administrator
                                                                                                            based on timelines
                                                                                                            established in the
                                                                                                            PSA.. The
                                                                                                            Securities
                                                                                                            Administrator is
                                                                                                            responsible for
                                                                                                            the allocation of
                                                                                                            funds to
                                                                                                            certificateholders
                                                                                                            using the
                                                                                                            appropriate
                                                                                                            distribution
                                                                                                            priority as
                                                                                                            established by the
                                                                                                            PSA.

1122(d)(3)(iii)   Disbursements made to an investor        X           X              X                     Securities
                  are posted within two business                                                            Administrator
                  days to the Servicer's investor                                                           disburses funds to
                  records, or such other number of                                                          certificateholders.
                  days specified in the transaction
                  agreements.
</TABLE>

                                      S-2-3

<PAGE>

<TABLE>
<CAPTION>
                                                         WELLS        PHH        WELLS FARGO
                                                      FARGO BANK    MORTGAGE        BANK       WELLS FARGO
                                                        (MASTER   CORPORATION    (SECURITIES       BANK          ADDITIONAL
REG AB REFERENCE         SERVICING CRITERIA            SERVICER)   (SERVICER)  ADMINISTRATOR)  (CUSTODIAN)      INFORMATION
----------------  ----------------------------------  ----------  -----------  --------------  -----------  -------------------
<S>               <C>                                 <C>         <C>          <C>             <C>          <C>
1122(d)(3)(iv)    Amounts remitted to investors per        X           X              X                     Servicer remits
                  the investor reports agree with                                                           funds and provides
                  cancelled checks, or other form of                                                        certain investor
                  payment, or custodial bank                                                                reports to the
                  statements.                                                                               Master Servicer
                                                                                                            within guidelines
                                                                                                            and timeframes
                                                                                                            established in
                                                                                                            PSA.. Master
                                                                                                            Servicer remits
                                                                                                            funds and provides
                                                                                                            certain investor
                                                                                                            reports to
                                                                                                            Securities
                                                                                                            Administrator
                                                                                                            within guidelines
                                                                                                            and timeframes
                                                                                                            established in
                                                                                                            PSA. Securities
                                                                                                            Administrator
                                                                                                            disburses funds to
                                                                                                            certificateholders.

                  POOL ASSET ADMINISTRATION

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

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

1122(d)(4)(iii)   Any additions, removals or                           X
                  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                   X
                  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 pool asset documents.

1122(d)(4)(v)     The Servicer's records regarding                     X
                  the pool assets 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                    X
                  or status of an obligor's pool
                  assets (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.
</TABLE>

                                      S-2-4

<PAGE>

<TABLE>
<CAPTION>
                                                         WELLS        PHH        WELLS FARGO
                                                      FARGO BANK    MORTGAGE        BANK       WELLS FARGO
                                                        (MASTER   CORPORATION    (SECURITIES       BANK          ADDITIONAL
REG AB REFERENCE         SERVICING CRITERIA            SERVICER)   (SERVICER)  ADMINISTRATOR)  (CUSTODIAN)      INFORMATION
----------------  ----------------------------------  ----------  -----------  --------------  -----------  -------------------
<S>               <C>                                 <C>         <C>          <C>             <C>          <C>
1122(d)(4)(vii)   Loss mitigation or recovery                          X
                  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                       X
                  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                     X
                  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                    X
                  for an obligor (such as escrow
                  accounts): (A) such funds are
                  analyzed, in accordance with the
                  obligor's pool asset 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 pool
                  asset documents and state laws;
                  and (C) such funds are returned to
                  the obligor within 30 calendar
                  days of full repayment of the
                  related pool assets, or such other
                  number of days specified in the
                  transaction agreements.

1122(d)(4)(xi)    Payments made on behalf of an                        X
                  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.
</TABLE>

                                      S-2-5

<PAGE>

<TABLE>
<CAPTION>
                                                         WELLS        PHH        WELLS FARGO
                                                      FARGO BANK    MORTGAGE        BANK       WELLS FARGO
                                                        (MASTER   CORPORATION    (SECURITIES       BANK          ADDITIONAL
REG AB REFERENCE         SERVICING CRITERIA            SERVICER)   (SERVICER)  ADMINISTRATOR)  (CUSTODIAN)      INFORMATION
----------------  ----------------------------------  ----------  -----------  --------------  -----------  -------------------
<S>               <C>                                 <C>         <C>          <C>             <C>          <C>
1122(d)(4)(xii)   Any late payment penalties in                        X
                  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                   X
                  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           X           X
                  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.
</TABLE>

                                      S-2-6
<PAGE>

                                    EXHIBIT T

                      FORM OF SARBANES-OXLEY CERTIFICATION

Merrill Lynch Mortgage Investors, Inc.
250 Vesey Street
4 World Financial Center, 10th Floor
New York, New York 10080

Wells Fargo Bank, N.A.
9062 Old Annapolis Road
Columbia, MD 21045

Re:  Merrill Lynch Mortgage Investors Trust Series MLCC 2007-2

          I, [identify the certifying individual], certify that:

          I, [identify the certifying individual], certify that:

          1. I have reviewed the report on Form 10-K and all reports on Form
10-D required to be filed in respect of the period covered by this report on
Form 10-K of Merrill Lynch Mortgage Investors Trust, MLCC Series 2007-2 (the
"Exchange Act periodic reports");

          2. Based on my knowledge, the Exchange Act periodic reports, taken as
a whole, do not contain any untrue statement of a material fact or omit to state
a material fact necessary to make the statements made, in light of the
circumstances under which such statements were made, not misleading with respect
to the period covered by this report;

          3. Based on my knowledge, all of the distribution, servicing and other
information required to be provided under Form 10-D for the period covered by
this report is included in the Exchange Act periodic reports;

          4. [I am responsible for reviewing the activities performed by the
servicer(s) and based on my knowledge and the compliance review(s) conducted in
preparing the servicer compliance statement(s) required in this report under
Item 1123 of Regulation AB, and except as disclosed in the Exchange Act periodic
reports, the servicer(s) [has/have] fulfilled [its/their] obligations under the
servicing agreement(s) in all material respects; and]

          5. All of the reports on assessment of compliance with servicing
criteria for ABS and their related attestation reports on assessment of
compliance with servicing criteria for asset-backed securities required to be
included in this report in accordance with Item 1122 of Regulation AB and
Exchange Act Rules 13a-18 and 15d-18 have been included as an exhibit to this
report, except as otherwise disclosed in this report. Any material instances of
noncompliance described in such reports have been disclosed in this report on
Form 10-K.

                                       T-1

<PAGE>

     [In giving the certifications above, I have reasonably relied on
information provided to me by the following unaffiliated parties [name of
servicer, sub-servicer, co-servicer, depositor or trustee].]

Date:
      -------------------------------   ----------------------------------------
                                        [Signature]
                                        [Title]
                                                --------------------------------

                                       T-2

<PAGE>

                                    EXHIBIT U

                       ADDITIONAL DISCLOSURE NOTIFICATION

Merrill Lynch Mortgage Investors, Inc.
250 Vesey Street
4 World Financial Center, 10th Floor
New York, New York 10080

Wells Fargo Bank, N.A.
9062 Old Annapolis Road
Columbia, MD 21045

RE:  Merrill Lynch Mortgage Investors Trust, Series MLCC 2007-2
     **Additional Form [10-D][10-K][8-K] Disclosure** Required

Ladies and Gentlemen:

          In accordance with Section [__] of the Pooling and Servicing
Agreement, dated as of May 1, 2007, among Merrill Lynch Mortgage Investors,
Inc., as depositor, Wells Fargo Bank, N.A., as master servicer and securities
administrator, HSBC Bank USA, National Association, as trustee, and PHH Mortgage
Corporation, as servicer, the undersigned, as [___], hereby notifies you that
certain events have come to our attention that [will] [may] need to be disclosed
on Form [10-D][10-K][8-K].

Description of Additional Form [10-D][10-K][8-K] Disclosure:

List of any Attachments hereto to be included in the Additional Form
[10-D][10-K][8-K] Disclosure:

     Any inquiries related to this notification should be directed to
[________], phone number: [________]; email address: [________].

                                        [NAME OF PARTY],
                                        as [role]

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

                                       U-1

<PAGE>

                                    EXHIBIT V

                   FORM OF ITEM 1123 CERTIFICATION OF SERVICER

                                     [DATE]

Merrill Lynch Mortgage Investors, Inc.
250 Vesey Street
4 World Financial Center, 10th Floor
New York, New York 10080

Wells Fargo Bank, N.A.
9062 Old Annapolis Road
Columbia, Maryland 21045

Re:  Merrill Lynch Mortgage Investors Trust, Series MLCC 2007-2 Mortgage
     Pass-Through Certificates

I, [identify name of certifying individual], [title of certifying individual] of
[[name of servicing company] (the "Servicer")], hereby certify that:

          (1) A review of the activities of the Servicer during the preceding
calendar year and of the performance of the Servicer under the pooling and
servicing agreement (the "Agreement"), dated as of May 1, 2007, among Merrill
Lynch Mortgage Investors, Inc., as depositor, HSBC Bank USA, National
Association, as trustee, Wells Fargo Bank, N.A., as master servicer and
securities administrator, and PHH Mortgage Corporation, as servicer, has been
made under my supervision; and

          (2) To the best of my knowledge, based on such review, the Servicer
has fulfilled all its obligations under the Agreement in all material respects
throughout such year or a portion thereof[, or, if there has been a failure to
fulfill any such obligation in any material respect, I have specified below each
such failure known to me and the nature and status thereof].

Date:
      -------------------------------   [Servicer]

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

                                       V-1

<PAGE>

                                    EXHIBIT W

                         FORM 8-K DISCLOSURE INFORMATION

                         FORM 8-K DISCLOSURE INFORMATION

<TABLE>
<CAPTION>
            ITEM ON FORM 8-K                        PARTY RESPONSIBLE
            ----------------                        -----------------
<S>                                        <C>
ITEM 1.01- ENTRY INTO A MATERIAL
DEFINITIVE AGREEMENT                                    All parties

Disclosure is required regarding entry
into or amendment of any definitive
agreement that is material to the
securitization, even if depositor is not
a party.

Examples: servicing agreement, custodial
agreement.

Note: disclosure not required as to
definitive agreements that are fully
disclosed in the prospectus

ITEM 1.02- TERMINATION OF A MATERIAL
DEFINITIVE AGREEMENT                                    All parties

Disclosure is required regarding
termination of any definitive agreement
that is material to the securitization
(other than expiration in accordance
with its terms), even if depositor is
not a party.

Examples: servicing agreement, custodial
agreement.

ITEM 1.03- BANKRUPTCY OR RECEIVERSHIP                    Depositor

Disclosure is required regarding the
bankruptcy or receivership, with respect
to any of the following:

-    Sponsor (Seller)                           Depositor/Sponsor (Seller)

-    Depositor                                           Depositor

-    Master Servicer                                  Master Servicer

-    Affiliated Servicer                                 Servicer

-    Other Servicer servicing 20% or                     Servicer
     more of the pool assets at the time
     of the report

-    Other material servicers                            Servicer

-    Trustee                                              Trustee

-    Securities Administrator                    Securities Administrator

-    Significant Obligor                                 Depositor

-    Credit Enhancer (10% or more)                       Depositor
</TABLE>

                                       W-1

<PAGE>

                         FORM 8-K DISCLOSURE INFORMATION

<TABLE>
<CAPTION>
            ITEM ON FORM 8-K                        PARTY RESPONSIBLE
            ----------------                        -----------------
<S>                                        <C>
-    Derivative Counterparty                             Depositor

-    Custodian                                           Custodian

ITEM 2.04- TRIGGERING EVENTS THAT                        Depositor
ACCELERATE OR INCREASE A DIRECT                       Master Servicer
FINANCIAL OBLIGATION OR AN OBLIGATION            Securities Administrator
UNDER AN OFF-BALANCE SHEET ARRANGEMENT

Includes an early amortization,
performance trigger or other event,
including event of default, that would
materially alter the payment
priority/distribution of cash
flows/amortization schedule.

Disclosure will be made of events other
than waterfall triggers which are
disclosed in the monthly statements to
the certificateholders.

ITEM 3.03- MATERIAL MODIFICATION TO              Securities Administrator
RIGHTS OF SECURITY HOLDERS                                Trustee
                                                         Depositor

Disclosure is required of any material
modification to documents defining the
rights of Certificateholders, including
the Pooling and Servicing Agreement.

ITEM 5.03- AMENDMENTS OF ARTICLES OF                     Depositor
INCORPORATION OR BYLAWS; CHANGE OF
FISCAL YEAR

Disclosure is required of any amendment
"to the governing documents of the
issuing entity".

ITEM 6.01- ABS INFORMATIONAL AND                         Depositor
COMPUTATIONAL MATERIAL

ITEM 6.02- CHANGE OF SERVICER OR                Master Servicer/Securities
SECURITIES ADMINISTRATOR                         Administrator/Depositor/
                                                     Servicer/Trustee

Requires disclosure of any removal,
replacement, substitution or addition of
any master servicer, affiliated
servicer, other servicer servicing 10%
or more of pool assets at time of
report, other material servicers or
trustee.

Reg AB disclosure about any new servicer         Servicer/Master Servicer/
or master servicer is also required.                     Depositor

Reg AB disclosure about any new Trustee                   Trustee
is also required.

ITEM 6.03- CHANGE IN CREDIT ENHANCEMENT            Depositor/Securities
OR EXTERNAL SUPPORT                                    Administrator

Covers termination of any enhancement in
</TABLE>

                                       W-2

<PAGE>

                         FORM 8-K DISCLOSURE INFORMATION

<TABLE>
<CAPTION>
            ITEM ON FORM 8-K                        PARTY RESPONSIBLE
            ----------------                        -----------------
<S>                                        <C>
manner other than by its terms, the
addition of an enhancement, or a
material change in the enhancement
provided. Applies to external credit
enhancements as well as derivatives.

Reg AB disclosure about any new                          Depositor
enhancement provider is also required.

ITEM 6.04- FAILURE TO MAKE A REQUIRED            Securities Administrator
DISTRIBUTION                                              Trustee

ITEM 6.05- SECURITIES ACT UPDATING                       Depositor
DISCLOSURE

If any material pool characteristic
differs by 5% or more at the time of
issuance of the securities from the
description in the final prospectus,
provide updated Reg AB disclosure about
the actual asset pool.

If there are any new servicers or                        Depositor
originators required to be disclosed
under Regulation AB as a result of the
foregoing, provide the information
called for in Items 1108 and 1110
respectively.

ITEM 7.01- REG FD DISCLOSURE                            All parties

ITEM 8.01- OTHER EVENTS                                  Depositor

Any event, with respect to which
information is not otherwise called for
in Form 8-K, that the registrant deems
of importance to certificateholders.

ITEM 9.01- FINANCIAL STATEMENTS AND          Responsible party for reporting/
EXHIBITS                                   disclosing the financial statement or
                                                          exhibit
</TABLE>

                                       W-3
<PAGE>

                                    EXHIBIT X

                         ADDITIONAL FORM 10-D DISCLOSURE

                         ADDITIONAL FORM 10-D DISCLOSURE

<TABLE>
<CAPTION>
            ITEM ON FORM 10-D                       PARTY RESPONSIBLE
            -----------------                       -----------------
<S>                                        <C>
ITEM 1: DISTRIBUTION AND POOL
PERFORMANCE INFORMATION

Information included in the [Monthly                  Master Servicer
Statement]                                                Servicer
                                                  Securities Administrator

Any information required by 1121 which                    Depositor
is NOT included on the [Monthly
Statement]

ITEM 2: LEGAL PROCEEDINGS

Any legal proceeding pending against the
following entities or their respective
property, that is material to
Certificateholders, including any
proceeding known to be contemplated by
governmental authorities:

-    Issuing Entity (Trust Fund)            Trustee, Master Servicer, Securities
                                                Administrator and Depositor

-    Sponsor (Seller)                        Seller (if a party to the Pooling
                                            and Servicing Agreement) or Depositor

-    Depositor                                           Depositor

-    Trustee                                              Trustee

-    Securities Administrator                     Securities Administrator

-    Master Servicer                                  Master Servicer

-    Custodian                                           Custodian

-    1110(b) Originator                                  Depositor

-    Any 1108(a)(2) Servicer (other than                  Servicer
     the Master Servicer or Securities
     Administrator)

-    Any other party contemplated by                     Depositor
     1100(d)(1)

ITEM 3: SALE OF SECURITIES AND USE OF                    Depositor
PROCEEDS

Information from Item 2(a) of Part II of
Form 10-Q:

With respect to any sale of securities
by the sponsor, depositor or issuing
entity, that are backed by the same
asset pool or are otherwise issued by
the issuing entity, whether or not
registered, provide the sales and use of
proceeds information in Item 701 of
Regulation S-K.
</TABLE>

                                       X-1

<PAGE>

                         ADDITIONAL FORM 10-D DISCLOSURE

<TABLE>
<CAPTION>
            ITEM ON FORM 10-D                       PARTY RESPONSIBLE
            -----------------                       -----------------
<S>                                        <C>
Pricing information can be omitted if
securities were not registered.

ITEM 4: DEFAULTS UPON SENIOR SECURITIES           Securities Administrator
                                                          Trustee

Information from Item 3 of Part II of
Form 10-Q:

Report the occurrence of any Servicer
Event of Default or Master Servicer
Event of Default (after expiration of
any grace period and provision of any
required notice)

ITEM 5: SUBMISSION OF MATTERS TO A VOTE           Securities Administrator
OF SECURITY HOLDERS                                       Trustee

Information from Item 4 of Part II of
Form 10-Q

ITEM 6: SIGNIFICANT OBLIGORS OF POOL                     Depositor
ASSETS

Item 1112(b) - Significant Obligor
Financial Information*

*    This information need only be
     reported on the Form 10-D for the
     distribution period in which
     updated information is required
     pursuant to the Item.

ITEM 7: SIGNIFICANT ENHANCEMENT PROVIDER
INFORMATION

Item 1114(b)(2) - Credit Enhancement
Provider Financial Information*

-    Determining applicable disclosure                   Depositor
     threshold

-    Requesting required financial                       Depositor
     information (including any required
     accountants' consent to the use
     thereof) or effecting incorporation
     by reference

Item 1115(b) - Derivative Counterparty
Financial Information*

-    Determining current maximum                         Depositor
     probable exposure

-    Determining current significance                    Depositor
     percentage

-    Requesting required financial                       Depositor
     information (including any required
     accountants' consent to the use
     thereof) or effecting incorporation
     by reference

*    This information need only be
     reported on the Form 10-D for the
     distribution period in which
     updated information is required
     pursuant to the Items.
</TABLE>

                                       X-2

<PAGE>

                         ADDITIONAL FORM 10-D DISCLOSURE

<TABLE>
<CAPTION>
            ITEM ON FORM 10-D                       PARTY RESPONSIBLE
            -----------------                       -----------------
<S>                                        <C>
ITEM 8: OTHER INFORMATION                      Any party responsible for the
                                            applicable Form 8-K Disclosure item

Disclose any information required to be
reported on Form 8-K during the period
covered by the Form 10-D but not
reported

ITEM 9: EXHIBITS

Monthly Statement to Certificateholders           Securities Administrator

Exhibits required by Item 601 of                         Depositor
Regulation S-K, such as material
agreements
</TABLE>

                                       X-3
<PAGE>

                                    EXHIBIT Y

                         ADDITIONAL FORM 10-K DISCLOSURE

<TABLE>
<CAPTION>
          ITEM ON FORM 10-K                         PARTY RESPONSIBLE
          -----------------                         -----------------
<S>                                     <C>
ITEM 1B: UNRESOLVED STAFF COMMENTS                      Depositor

ITEM 9B: OTHER INFORMATION                Any party responsible for disclosure
                                                   items on Form 8-K
Disclose any information required to
be reported on Form 8-K during the
fourth quarter covered by the Form
10-K but not reported

ITEM 15: EXHIBITS, FINANCIAL                    Securities Administrator
STATEMENT SCHEDULES                                     Depositor

REG AB ITEM 1112(B): SIGNIFICANT
OBLIGORS OF POOL ASSETS

Significant Obligor Financial                           Depositor
Information*

*    This information need only be
     reported on the Form 10-K if
     updated information is required
     pursuant to the Item.

REG AB ITEM 1114(B)(2): CREDIT
ENHANCEMENT PROVIDER FINANCIAL
INFORMATION

-    Determining applicable                             Depositor
     disclosure threshold

-    Requesting required financial                      Depositor
     information (including any
     required accountants' consent to
     the use thereof) or effecting
     incorporation by reference

*    This information need only be
     reported on the Form 10-K if
     updated information is required
     pursuant to the Item.

REG AB ITEM 1115(B): DERIVATIVE
COUNTERPARTY FINANCIAL INFORMATION

-    Determining current maximum                        Depositor
     probable exposure

-    Determining current significance                   Depositor
     percentage

-    Requesting required financial                      Depositor
     information (including any
     required accountants' consent to
     the use thereof) or effecting
     incorporation by reference

*    This information need only be
     reported on the Form 10-K if
     updated information is required
     pursuant to the Item.

REG AB ITEM 1117: LEGAL PROCEEDINGS

Any legal proceeding pending against
the following entities or their
respective property,
</TABLE>

                                       Y-1

<PAGE>

                         ADDITIONAL FORM 10-K DISCLOSURE

<TABLE>
<CAPTION>
          ITEM ON FORM 10-K                         PARTY RESPONSIBLE
          -----------------                         -----------------
<S>                                     <C>
that is material to
Certificateholders, including any
proceeding known to be contemplated
by governmental authorities:

-    Issuing Entity (Trust Fund)          Trustee, Master Servicer, Securities
                                              Administrator and Depositor

-    Sponsor (Seller)                     Seller (if a party to the Pooling and
                                           Servicing Agreement) or Depositor

-    Depositor                                          Depositor

-    Trustee                                             Trustee

-    Securities Administrator                   Securities Administrator

-    Master Servicer                                 Master Servicer

-    Custodian                                          Custodian

-    1110(b) Originator                                 Depositor

-    Any 1108(a)(2) Servicer (other                      Servicer
     than the Master Servicer or
     Securities Administrator)

-    Any other party contemplated by                    Depositor
     1100(d)(1)

  REG AB ITEM 1119: AFFILIATIONS AND
            RELATIONSHIPS

Whether (a) the Sponsor (Seller),                 Depositor as to (a)
Depositor or Issuing                            Sponsor/Seller as to (a)
Entity is an affiliate of the
following parties, and (b) to the
extent known and material, any of the
following parties are affiliated with
one another:

-    Master Servicer                                 Master Servicer

-    Securities Administrator                   Securities Administrator

-    Trustee                                             Trustee

-    Any other 1108(a)(3) servicer                        Servicer

-    Any 1110 Originator                            Depositor/Sponsor

-    Any 1112(b) Significant Obligor                Depositor/Sponsor

-    Any 1114 Credit Enhancement                    Depositor/Sponsor
     Provider

-    Any 1115 Derivate Counterparty                 Depositor/Sponsor
     Provider

-    Any other 1101(d)(1) material                  Depositor/Sponsor
     party

Whether there are any "outside the                 Depositor as to (a)
ordinary course business                        Sponsor/Seller as to (a)
arrangements" other than would be
obtained in an arm's length
transaction between (a) the Sponsor
(Seller), Depositor or Issuing Entity
on the one hand, and (b) any of the
following parties (or their
affiliates) on the other hand, that
exist currently or within the past
two years and that are material to a
Certificateholder's understanding of
the Certificates:

-    Master Servicer                                 Master Servicer

-    Securities Administrator                   Securities Administrator

-    Trustee                                            Depositor
</TABLE>

                                       Y-2

<PAGE>

                         ADDITIONAL FORM 10-K DISCLOSURE

<TABLE>
<CAPTION>
          ITEM ON FORM 10-K                         PARTY RESPONSIBLE
          -----------------                         -----------------
<S>                                     <C>
-    Any other 1108(a)(3) servicer                      Servicer

-    Any 1110 Originator                            Depositor/Sponsor

-    Any 1112(b) Significant Obligor                Depositor/Sponsor

-    Any 1114 Credit Enhancement                    Depositor/Sponsor
     Provider

-    Any 1115 Derivate Counterparty                 Depositor/Sponsor
     Provider

-    Any other 1101(d)(1) material                  Depositor/Sponsor
     party

Whether there are any specific                      Depositor as to (a)
relationships involving                             Sponsor/Seller as to (a)
the transaction or the pool
assets between (a) the
Sponsor (Seller), Depositor
or Issuing Entity on the one hand,
and (b) any of the following parties
(or their affiliates) on the other
hand, that exist currently or within
the past two years and that are
material:

-    Master Servicer                                 Master Servicer

-    Securities Administrator                   Securities Administrator

-    Trustee                                        Depositor

-    Any other 1108(a)(3) servicer                  Servicer

-    Any 1110 Originator                            Depositor/Sponsor

-    Any 1112(b) Significant Obligor                Depositor/Sponsor

-    Any 1114 Credit Enhancement                    Depositor/Sponsor
     Provider

-    Any 1115 Derivate Counterparty                 Depositor/Sponsor
     Provider

-    Any other 1101(d)(1) material                  Depositor/Sponsor
     party
</TABLE>

                                      Y-3

<PAGE>

                                   SCHEDULE A

                             MORTGAGE LOAN SCHEDULE

On file at the offices of Dechert LLP
Cira Centre
2929 Arch Street
Philadelphia, PA 19104
(215) 994-4000
Attention: Steven J. Molitor

                                  Schedule A-1

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