Document:

Sale and Servicing Agreement, dated as of June 1, 2004

 Exhibit 4.2 
  

  
 GREENPOINT MORTGAGE SECURITIES LLC, 
 Sponsor, 
  
 GREENPOINT MORTGAGE FUNDING, INC., 
 Seller and Servicer, 
  
 TERWIN
ADVISORS LLC, 
 Seller, 
  
 GREENPOINT HOME EQUITY LOAN TRUST 2004-3, 
 Issuer, 
  
 U.S. BANK NATIONAL ASSOCIATION, 
 Indenture Trustee, 
  
 and 
  
 THE
MURRAYHILL COMPANY, 
 Credit Risk Manager 
  

  
 SALE AND SERVICING AGREEMENT

  
 Dated as of June 1, 2004 
  

  
 Variable Rate Asset-Backed Notes 
  
 Series 2004-3 
  

 TABLE OF CONTENTS 
  

					
	 	  	 	  	Page

	 ARTICLE I DEFINITIONS
	  	1
	 Section 1.01.
	  	Definitions	  	1
	 Section 1.02.
	  	Other Definitional Provisions	  	2
	 Section 1.03.
	  	Interest Calculations	  	2
		
	ARTICLE II CONVEYANCE OF MORTGAGE LOANS; ORIGINAL ISSUANCE OF NOTES; TAX TREATMENT	  	2
	 Section 2.01.
	  	Conveyance of Mortgage Loans; Retention of Obligation to Fund Advances Under Credit Line Agreements	  	2
	 Section 2.02.
	  	Further Encumbrance of Trust Property	  	7
	 Section 2.03.
	  	Acceptance by Indenture Trustee; Certain Substitution of Mortgage Loans	  	8
	 Section 2.04.
	  	Representations and Warranties Regarding GreenPoint, the Servicer and the Sponsor	  	9
	 Section 2.05.
	  	Representations and Warranties Regarding Terwin Advisors	  	12
	 Section 2.06.
	  	Representations and Warranties of the Sellers Regarding the Mortgage Loans; Removal of Certain Mortgage Loans	  	13
	 Section 2.07.
	  	Covenants of the Sponsor	  	38
	 Section 2.08.
	  	[Reserved]	  	39
	 Section 2.09.
	  	Execution and Authentication of Notes	  	39
	 Section 2.10.
	  	Tax Treatment	  	39
		
	 ARTICLE III ADMINISTRATION AND SERVICING OF MORTGAGE LOANS
	  	39
	 Section 3.01.
	  	The Servicer	  	39
	 Section 3.02.
	  	Collection of Certain Mortgage Loan Payments; Remittances	  	41
	 Section 3.03.
	  	Withdrawals from the Distribution Account	  	43
	 Section 3.04.
	  	Maintenance of Hazard Insurance; Property Protection Expenses	  	44
	 Section 3.05.
	  	Assumption and Modification Agreements	  	44
	 Section 3.06.
	  	Realization Upon Defaulted Mortgage Loans; Repurchase of Certain Mortgage Loans	  	45
	 Section 3.07.
	  	Indenture Trustee to Cooperate	  	46
	 Section 3.08.
	  	Servicing Compensation; Payment of Certain Expenses by Servicer	  	47
	 Section 3.09.
	  	Annual Statement as to Compliance	  	47
	 Section 3.10.
	  	Annual Servicing Report	  	47
	 Section 3.11.
	  	Annual Opinion of Counsel	  	48
	 Section 3.12.
	  	Access to Certain Documentation and Information Regarding the Mortgage Loans	  	48

  

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	 Section 3.13.
	  	Maintenance of Certain Servicing Insurance Policies	  	48
	 Section 3.14.
	  	Reports to the SEC	  	49
	 Section 3.15.
	  	Tax Returns	  	49
	 Section 3.16.
	  	Information Required by the Internal Revenue Service Generally and Reports of Foreclosures and Abandonments of Mortgaged Property	  	50
	 Section 3.17.
	  	Reporting Requirements	  	50
	 Section 3.18.
	  	Matters Relating to MERS Loans	  	50
	 Section 3.19.
	  	Additional Balance Payments	  	51
	 Section 3.20.
	  	Sponsor Promissory Note	  	51
	 Section 3.21.
	  	Duties and Removal of the Credit Risk Manager	  	52
		
	ARTICLE IV SERVICING CERTIFICATE	  	52
	 Section 4.01.
	  	Servicing Certificate	  	52
	 Section 4.02.
	  	Reserved	  	54
	 Section 4.03.
	  	Reserved	  	54
	 Section 4.04.
	  	Loan Data Remittance Report	  	54
		
	 ARTICLE V THE SERVICER AND THE SPONSOR
	  	54
	 Section 5.01.
	  	Liability of the Servicer and the Sponsor	  	54
	 Section 5.02.
	  	Merger or Consolidation of, or Assumption of the Obligations of, the Servicer or the Sponsor	  	54
	 Section 5.03.
	  	Limitation on Liability of the Servicer and Others	  	54
	 Section 5.04.
	  	Servicer Not to Resign	  	55
	 Section 5.05.
	  	Delegation of Duties	  	56
	 Section 5.06.
	  	Indemnification of the Trust by the Servicer	  	56
	 Section 5.07.
	  	Indemnification of the Trust by the Sponsor	  	56
	 Section 5.08.
	  	Limitation on Liability of the Sponsor	  	57
	 Section 5.09.
	  	Limitation on Liability of the Credit Risk Manager	  	57
		
	 ARTICLE VI SERVICING TERMINATION
	  	58
	 Section 6.01.
	  	Events of Servicing Termination	  	58
	 Section 6.02.
	  	Indenture Trustee to Act; Appointment of Successor	  	61
	 Section 6.03.
	  	Notification to Noteholders and Residual Certificateholders	  	62
		
	 ARTICLE VII TERMINATION
	  	62
	 Section 7.01.
	  	Termination	  	62
		
	 ARTICLE VIII ADMINISTRATIVE DUTIES OF THE SERVICER
	  	63
	 Section 8.01.
	  	Administrative Duties	  	63
	 Section 8.02.
	  	Records	  	65
	 Section 8.03.
	  	Additional Information to be Furnished to the Issuer	  	65
		
	ARTICLE IX MISCELLANEOUS PROVISIONS	  	65
	 Section 9.01.
	  	Amendment	  	65
	 Section 9.02.
	  	Recordation of Agreement	  	67

  

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	 Section 9.03.
	  	Limitation on Rights of Noteholders	  	67
	 Section 9.04.
	  	Governing Law	  	68
	 Section 9.05.
	  	Notices	  	68
	 Section 9.06.
	  	Severability of Provisions	  	69
	 Section 9.07.
	  	Assignment	  	69
	 Section 9.08.
	  	Third-Party Beneficiaries	  	69
	 Section 9.09.
	  	Counterparts	  	69
	 Section 9.10.
	  	Effect of Headings and Table of Contents	  	69
	 Section 9.11.
	  	Insurance Agreement	  	69
	 Section 9.12.
	  	Nonpetition Covenant	  	69
	 Section 9.13.
	  	Limitation of Liability of Wilmington Trust Company	  	69

  

					
	EXHIBITS AND SCHEDULES	  	 
			
	 EXHIBIT A:
	  	MORTGAGE LOAN SCHEDULE	  	A-1
			
	 EXHIBIT B:
	  	FORM OF OPINION OF COUNSEL	  	B-1
			
	 EXHIBIT C-1:
	  	FORM OF OFFICER’S CERTIFICATE: PERMANENT RELEASE	  	C-1
			
	 EXHIBIT C-2:
	  	FORM OF OFFICER’S CERTIFICATE: TEMPORARY RELEASE	  	C-2
			
	 EXHIBIT D:
	  	FORM OF CREDIT LINE AGREEMENT	  	D-1
			
	 EXHIBIT E:
	  	FORM OF NON-NEGOTIABLE GREENPOINT MORTGAGE SECURITIES LLC PROMISSORY NOTE	  	E-1
			
	 EXHIBIT F:
	  	FORM OF CERTIFICATE: LOAN LEVEL REPORTING	  	F-1
			
	 SCHEDULE I:
	  	EARLY PAYMENT DEFAULT SCHEDULE: GREENPOINT MORTGAGE LOANS	  	I-1
			
	 SCHEDULE II:
	  	EARLY PAYMENT DEFAULT SCHEDULE: TERWIN MORTGAGE LOANS	  	II-1

  

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 SALE AND SERVICING AGREEMENT, dated as of June 1, 2004, (the “Agreement”) among
GREENPOINT HOME EQUITY LOAN TRUST 2004-3, a Delaware statutory trust (the “Issuer” or “Trust”), GREENPOINT MORTGAGE SECURITIES LLC, a Delaware limited liability company (the “Sponsor”), GREENPOINT
MORTGAGE FUNDING, INC., a New York corporation (in its capacity as servicer, the “Servicer” or in its capacity as a seller, a “Seller” or “GreenPoint”), TERWIN ADVISORS LLC, a Delaware limited
liability company (“Terwin Advisors” or a “Seller” and together with GreenPoint, the “Sellers”), U.S. BANK NATIONAL ASSOCIATION, a national banking association, as Indenture Trustee (the
“Indenture Trustee”) and THE MURRAYHILL COMPANY, a Colorado corporation (the “Credit Risk Manager”). 
  
 WHEREAS, the Issuer desires to purchase a portfolio of mortgage loans arising in connection with Credit Line Agreements originated or acquired by
GreenPoint and Terwin Advisors; 
  
 WHEREAS, GreenPoint has sold
certain mortgage loans (the “GreenPoint Mortgage Loans”) to Wachovia Bank, National Association who, in turn, sold such mortgage loans to Terwin Advisors; 
  
 WHEREAS, Terwin Advisors has acquired certain mortgage loans, other than the GreenPoint Mortgage Loans, (the “Terwin
Mortgage Loans”) from various third-party originators and intends to sell Terwin Mortgage Loans and the GreenPoint Mortgage Loans to the Sponsor; 
  
 WHEREAS, the GreenPoint Mortgage Loans and Terwin Mortgage Loans consist of certain home equity revolving lines of credit (collectively, the
“Mortgage Loans”); 
  
 WHEREAS, the Sponsor has
purchased such Mortgage Loans from Terwin Advisors and is willing to sell such mortgage loans to the Issuer; 
  
 WHEREAS, the Servicer is willing to service all such Mortgage Loans; 
  
 NOW, THEREFORE, in consideration of the promises and mutual covenants herein contained, the parties hereto agree as follows:

  
 ARTICLE I 
  
 DEFINITIONS 
  
 Section 1.01. Definitions. All capitalized terms used in this Agreement and not otherwise defined herein, shall have
the meanings assigned thereto in Annex A to the Indenture dated as of June 1, 2004, between the Issuer and the Indenture Trustee, as the same may be amended and supplemented from time to time. 
  

 Section 1.02. Other Definitional Provisions. 
  
 (a) All terms defined in this Agreement shall have the defined meanings when
used in any instrument governed hereby and in any certificate or other document made or delivered pursuant hereto unless otherwise defined therein. 
  
 (b) As used in this Agreement, in any instrument governed hereby and in any certificate or other document made or delivered pursuant hereto or thereto,
accounting terms not defined in this Agreement or in any such instrument, certificate or other document, and accounting terms partly defined in this Agreement or in any such instrument, certificate or other document to the extent not defined, shall
have the respective meanings given to them under generally accepted accounting principles as in effect on the date of this Agreement or any such instrument, certificate or other document, as applicable. To the extent that the definitions of
accounting terms in this Agreement or in any such instrument, certificate or other document are inconsistent with the meanings of such terms under generally accepted accounting principles, the definitions contained in this Agreement or in any such
instrument, certificate or other document shall control. 
  
 (c)
Any agreement, instrument or statute defined or referred to herein or in any instrument or certificate delivered in connection herewith means such agreement, instrument or statute as from time to time amended, modified or supplemented and includes
(in the case of agreements or instruments) references to all attachments thereto and instruments incorporated therein; references to a Person are also to its permitted successors and assigns. 
  
 Section 1.03. Interest Calculations. All calculations of interest
hereunder that are made in respect of the Principal Balance of a Mortgage Loan shall be made on a daily basis using a 365-day year. All calculations of interest on the Notes shall be made on the basis of the actual number of days in an Interest
Accrual Period and a year assumed to consist of 360 days. The calculation of the Servicing Fee shall be made on the basis of a 360-day year consisting of twelve 30-day months. All dollar amounts calculated hereunder shall be rounded to the nearest
penny with one-half of one penny being rounded down. 
  
 ARTICLE II

  
 CONVEYANCE OF MORTGAGE LOANS; 
 ORIGINAL ISSUANCE OF NOTES; 
 TAX TREATMENT

  
 Section 2.01. Conveyance of Mortgage Loans; Retention of
Obligation to Fund Advances Under Credit Line Agreements. 
  
 (a) In consideration of the Issuer’s delivery to or upon the order of the Sponsor on the Closing Date of the net proceeds from the sale of the Notes and the Residual Certificates and the other amounts to be distributed from time to
time to the Sponsor in accordance with the terms of this Agreement and the Indenture, the Sponsor, concurrently with the execution and delivery of this Agreement, hereby sells, transfers, assigns, sets over and otherwise conveys to the Issuer,
without recourse (subject to Sections 2.03 and 2.06), all of its right, title and interest in and to 

  

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(i) each Mortgage Loan, including its Principal Balance (including any Additional Balances related thereto) and all collections in respect thereof received
after the Cut-Off Date (excluding Interest Collections due or accrued on or prior to the Cut-Off Date); (ii) the Assignment Agreement, to the extent it relates to the Mortgage Loans; (iii) property that secured a Mortgage Loan that is acquired by
foreclosure or deed in lieu of foreclosure; (iv) the Sponsor’s rights under the hazard insurance policies; (v) the Policy; (vi) the Collection Account and the Distribution Account; and (vii) any proceeds of the foregoing and any other Trust
Property and all other assets included or to be included in the Trust for the benefit of Noteholders, the Residual Certificateholders and the Insurer; provided, however, neither the Indenture Trustee nor the Trust assumes or shall
assume the obligation under any Credit Line Agreement that provides for the funding of future advances to the Mortgagor thereunder, and neither the Trust nor the Indenture Trustee shall be obligated or permitted to fund any such future advances.
With respect to the Mortgage Loans, Additional Balances shall be part of the related Principal Balance and are hereby transferred to the Trust on the Closing Date pursuant to this Section 2.01, and therefore part of the Trust Property. On or prior
to the Closing Date, the Sponsor shall cause the Insurer to deliver the Policy to the Indenture Trustee for the benefit of the Noteholders. It is the intention of the Sponsor that the transfer and assignment contemplated by this Agreement shall
constitute a sale of the Mortgage Loans and other Trust Property from the Sponsor to the Issuer and that such sale should constitute a valid transfer and assignment of the Mortgage Loans and other Trust Property to the Issuer and the beneficial
interest in and title to the Mortgage Loans and the other Trust Property shall not be part of the Sponsor’s estate in the event of the filing of a bankruptcy petition by or against the Sponsor under any bankruptcy law. In the event that,
notwithstanding the intent of the Sponsor, the transfer and assignment contemplated hereby is held not to be a sale, this Agreement shall constitute a grant of a security interest in the property referred to in this Section 2.01 for the benefit of
the Noteholders, the Residual Certificateholders and the Insurer. Prior to the last day of the related Collection Period preceding the month in which the commencement of the Rapid Amortization Period occurs, to the extent that the Purchase Price of
any Additional Balance is greater than the cash consideration paid by the Issuer for such Additional Balance, the difference between such Purchase Price and the amount of such cash consideration shall be deemed to be a loan made to the Issuer by the
Sponsor, which shall accrue interest and be payable according to the terms of the Indenture. On the first day of the Collection Period in which the commencement of the Rapid Amortization Period occurs, the outstanding amount of any such loan,
together with accrued interest thereon, shall be converted into a capital contribution to the Issuer evidenced by the Class G Certificate. The Purchase Price of any Additional Balance thereafter created and contributed to the Issuer shall be deemed
to be a capital contribution made to the Issuer by the Sponsor. To the extent that the Sponsor receives cash consideration for the entire Purchase Price of such Additional Balance on any future date, any corresponding capital contribution that had
previously been deemed to have been made to the Issuer by the Sponsor shall be deemed to have been redeemed. 
  
 (b) Each of the Servicer and the Sponsor agrees to take or cause to be taken such actions and execute such documents (including, without limitation, the
filing of all necessary continuation statements for the UCC-1 financing statements filed in the States of California, Delaware and New York, respectively, which shall have been filed on or as of the Closing Date) describing the Cut-Off Date
Principal Balances and Additional Balances and naming (i) in the case of the Cut-Off Date Principal Balances, (A) Terwin Advisors as debtor and the Sponsor as secured party, (B) the Sponsor as debtor and the Issuer as secured party and (ii) in the
case of 

  

 3 

 
Additional Balances, (A) in the case of the Green Point Mortgage Loans, the Servicer as debtor and the Sponsor as secured party and in the case of the Terwin
Mortgage Loans, Terwin Advisors as debtor and the Sponsor as secured party, and (B) the Sponsor as debtor and the Issuer as secured party and any amendments to UCC-1 financing statements required to reflect a change in the name or corporate
structure of the Issuer, the Servicer, Terwin Advisors or the Sponsor or the filing of any additional UCC-1 financing statements due to the change in the principal office of the Servicer, the Sponsor or Terwin Advisors (within 10 days of any event
necessitating such filing) as are necessary to perfect and protect the Noteholders’ and the Insurer’s interests in each Cut-Off Date Principal Balance and Additional Balance and the proceeds thereof (other than maintaining possession by
the Custodian of the Mortgage Loans and the Mortgage Files). 
  
 (c) In connection with such transfer and assignment, each Seller shall deliver to the Custodian on behalf of the Indenture Trustee the following documents or instruments (each a “Related Document” and together for each
Mortgage Loan, the “Mortgage File”) with respect to each Mortgage Loan sold by it to the Sponsor on the Closing Date: 
  
 (i) with respect to each Mortgage Loan, the original Credit Line Agreement; 
  
 (ii) for each Mortgage Loan that is not a MERS Mortgage Loan, an unsigned and un-notarized but otherwise
complete original Assignment of Mortgage in blank; 
  
 (iii) (A) for each Mortgage Loan that is not a MERS Mortgage Loan, the original recorded Mortgage or, if in connection with any Mortgage Loan, the original recorded Mortgage with evidence of recording thereon cannot be delivered on or prior
to the Closing Date because of a delay caused by the public recording office where such original Mortgage has been delivered for recordation or because such original Mortgage has been lost, the related Seller shall deliver or cause to be delivered
to the Custodian, a true and correct copy of such Mortgage, together with (i) in the case of a delay caused by the public recording office, an Officer’s Certificate of the related Seller stating that such original Mortgage has been dispatched
to the appropriate public recording official or (ii) in the case of an original Mortgage that has been lost, a certificate by the appropriate county recording office where such Mortgage is recorded, and (B) in the case of each MERS Mortgage Loan,
the original Mortgage, noting the presence of the “Mortgage Identification Number” of such MERS Mortgage Loan; 
  
 (iv) for each Mortgage Loan that is not a MERS Mortgage Loan, if applicable, the original intervening assignments, if any
(“Intervening Assignments”), with evidence of recording thereon, showing a complete chain of title to the Mortgage from the originator to the related Seller (and endorsed in blank in accordance with clause (ii) above) or, if any
such original Intervening Assignment has not been returned from the applicable recording office or has been lost, a true and correct copy thereof, together with (i) in the case of a delay caused by the public recording office, an Officer’s
Certificate of the Sponsor stating that such original Intervening Assignment has been dispatched to the appropriate public recording official for recordation or (ii) in the case of an original 

  

 4 

 
Intervening Assignment that has been lost, a certificate by the appropriate county recording office where such Mortgage is recorded; 
  
 (v) either a title policy or guaranty title with respect to
the related Mortgaged Property; 
  
 (vi) the
original of any guaranty executed in connection with the Mortgage Loan; 
  
 (vii) the original of each assumption, modification, consolidation or substitution agreement, if any, relating to the Mortgage Loans; and 
  
 (viii) any security agreement, chattel mortgage or equivalent instrument executed in connection with the
Mortgage. 
  
 The Sponsor hereby confirms to the Indenture Trustee
that it has caused the portions of the Electronic Ledgers relating to the Mortgage Loans as of the Closing Date to be clearly and unambiguously marked, and has made, or will make, the appropriate entries in its general accounting records to indicate
that such Mortgage Loans have been transferred to the Trust. The Servicer hereby confirms to the Indenture Trustee that it has clearly and unambiguously made appropriate entries in its general accounting records indicating that such Mortgage Loans
constitute part of the Trust and are serviced by it on behalf of the Trust in accordance with the terms hereof. 
  
 (d) Notwithstanding the characterization of the Notes as debt for federal, state and local income and franchise tax purposes, the parties hereto intend to
treat the transfer of the Mortgage Loans to the Trust as provided herein as a sale, for certain non-tax purposes, of all the Sponsor’s right, title and interest in and to the Mortgage Loans, whether now existing or hereafter created, and the
other property described above and all proceeds thereof. In the event such transfer is deemed not to be a sale for such purposes, the Sponsor grants to the Trust, a security interest in all of such party’s right, title and interest in, to and
under the Mortgage Loans, whether now existing or hereafter created, and the other property described above and all proceeds thereof; and this Agreement shall constitute a security agreement under applicable law. 
  
 (e) Pursuant to the Custodial Agreement, the Custodian will review each
Mortgage File delivered to it and to certify and deliver to the Indenture Trustee on the Closing Date, an initial certification in substantially the form attached to the Custodial Agreement as Exhibit One-A (the “Initial Trust Receipt”)
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 Trust Receipt as Schedule B (the “Schedule of Exceptions”) as
not covered by such Initial Trust Receipt) listed on the Mortgage Loan Schedule. 
  
 Within 90 days following delivery of the Mortgage Files to the Custodian pursuant to this Section, the Indenture Trustee shall cause the
Custodian to, in accordance with the Custodial Agreement, review each such Mortgage File to ascertain that all required documents set forth in this Section 2.01 have been executed and received, and that such documents relate to the Mortgage Loans
identified on the Mortgage Loan Schedule and in so doing the Custodian may rely on the purported due execution and genuineness of any signature 

  

 5 

 
thereon. If within such 90-day period the Custodian finds any document constituting a part of a Mortgage File not to have been executed or received or to be
unrelated to the Mortgage Loans identified in said Mortgage Loan Schedule or, if in the course of its review, the Custodian determines that such Mortgage File is otherwise defective in any material respect, the Custodian shall promptly upon the
conclusion of its review notify the Indenture Trustee, the related Seller and the Insurer, and the related Seller shall have a period of 90 days after such notice within which to correct or cure any such defect. Upon the completion of its 90-day
review, the Custodian shall also notify the Insurer of any Mortgage File with respect to which it has been delivered any items other than the original recorded Mortgage with respect to Section 2.01(c)(iii). 
  
 Neither the Custodian nor the Indenture Trustee shall have any responsibility
for reviewing any Mortgage File except as expressly provided in the Custodial Agreement or in this Section 2.01, respectively. In reviewing any Mortgage File pursuant to this Section, the Indenture Trustee and the Custodian shall have no
responsibility for determining whether any document is valid and binding, whether the text of any assignment or endorsement is in proper or recordable form (except, if applicable, to determine if the Indenture Trustee is the assignee or endorsee),
whether any document has been recorded in accordance with the requirements of any applicable jurisdiction, or whether a blanket assignment is permitted in any applicable jurisdiction, whether any Person executing any document is authorized to do so
or whether any signature thereon is genuine, but shall only be required to determine whether a document has been executed, that it appears to be what it purports to be, and, where applicable, that it purports to be recorded. 
  
 Upon its receipt of written notice from the Servicer or the Insurer that a
Recordation Event has occurred, the Indenture Trustee shall take all necessary steps to prepare and submit for recordation an Assignment of Mortgage (or a blanket Assignment of Mortgage covering multiple Mortgage Loans if the same is permitted in
any applicable jurisdiction) at the expense and on behalf of the Servicer or, if the Servicer fails to pay such amounts or is no longer a party hereto, pursuant to Section 8.7(b)(xi) of the Indenture. 
  
 (f) The related Seller shall sell, assign, transfer, set over and otherwise
convey without recourse to the Indenture Trustee all right, title and interest of such Seller in and to any Eligible Substitute Mortgage Loan delivered to the Indenture Trustee or the Custodian on behalf of the Trust by such Seller pursuant to
Section 2.03 or Section 2.06 hereof and all its right, title and interest to principal collected and interest accruing on such Eligible Substitute Mortgage Loan on and after the applicable Substitute Cut-Off Date; provided, however,
that such Seller shall reserve and retain all right, title and interest in and to payments of interest due on such Eligible Substitute Mortgage Loan prior to the applicable Substitute Cut-Off Date; provided, further, that neither the
Trust nor the Indenture Trustee shall be obligated to fund any future advances to the related Mortgagor under such Eligible Substitute Mortgage Loan. 
  
 In connection with any transfer and assignment of an Eligible Substitute Mortgage Loan to the Indenture Trustee on behalf of the Trust, the related Seller
agrees to cause to be delivered to the Custodian on behalf of the Indenture Trustee the items described in Section 2.01(c) on the date of such transfer and assignment or, if a later delivery time is permitted by Section 2.01(c), then no later than
such later delivery time. 
  

 6 

 (g) Each Defective Mortgage Loan that is required to be repurchased or substituted pursuant to the
provisions this Agreement shall, upon such repurchase or substitution in accordance with the provisions hereof, be released from the Trust and from the lien created by the Indenture. As to each Mortgage Loan released from the Trust in connection
with the repurchase thereof or the conveyance of an Eligible Substitute Mortgage Loan therefor, the related Seller shall prepare, and the Indenture Trustee, on behalf of the Trust, will execute, such documents as are necessary to transfer, assign,
set over and otherwise convey without recourse, to or upon the order of such Seller, all of its right, title and interest in and to such released Mortgage Loan and all the Trust’s right title and interest to principal collected and interest
accruing on such released Mortgage Loan on and after the first day of the calendar month in which such Mortgage Loan is released; provided, however, that the Trust shall reserve and retain all right, title and interest in and to
payments of principal and interest collected on such released Mortgage Loan prior to such date. 
  
 Section 2.02. Further Encumbrance of Trust Property. 
  
 (a) Immediately upon the conveyance to the Trust by the Sponsor of any item of the Trust Property pursuant to Section 2.01, all right, title and interest
of the Sponsor in and to such item of Trust Property shall terminate, and all such right, title and interest shall vest in the Trust, in accordance with the Trust Agreement and Sections 3802 and 3805 of the Delaware Statutory Trust Act (12 Del.
Code, § 3801 et seq.). 
  
 (b) Immediately upon the vesting
of the Trust Property in the Trust, the Trust shall have the sole right to pledge or otherwise encumber, such Trust Property. Pursuant to the Indenture and contemporaneously with such property vesting in the Trust pursuant to (a) above, the Trust
shall grant a security interest in the Trust Property to secure the repayment of the Issuer Secured Obligations. The Residual Certificates shall represent the beneficial ownership interest in the Trust Property, and the Residual Certificateholders
shall be entitled to receive distributions with respect thereto as set forth herein and in the Indenture and Trust Agreement. 
  
 (c) Prior to the payment in full on the Notes, the payment of all amounts due to the Insurer under the Insurance Agreement, the termination of the Policy
(as defined therein) and the surrender of the Policy by the Indenture Trustee to the Insurer, the Indenture Trustee (or the Custodian, on behalf of the Indenture Trustee) shall hold the Trust Property on behalf of the Noteholders. Following the
payment in full of the Notes and the payment of all amounts due to the Insurer under the Insurance Agreement, and the release and discharge of the Indenture, all covenants of the Issuer under Article III of the Indenture shall, until payment in full
of the Residual Certificates, remain as covenants of the Issuer for the benefit of the Residual Certificateholders, enforceable by the Residual Certificateholders to the same extent as such covenants were enforceable by the Insurer and the
Noteholders prior to the discharge of the Indenture. Any rights of the Indenture Trustee under Article III of the Indenture, following the discharge of the Indenture, shall vest in the Residual Certificateholders. 
  

 7 

 Section 2.03. Acceptance by Indenture Trustee; Certain Substitution of Mortgage Loans. 

 
 (a) The Indenture Trustee shall, at such time as there are no Notes
outstanding and all sums due to (i) the Indenture Trustee or any agent or counsel thereof pursuant to the Indenture, (ii) the Indenture Trustee pursuant to this Agreement and (iii) the Insurer pursuant to the Insurance Agreement have been paid,
release any portions of the Trust Property to the Issuer in accordance with the provisions of Sections 2.8 and 8.2 of the Indenture. 
  
 (b) The Issuer hereby acknowledges its receipt of the Policy and the Mortgage Loans, and declares that the Indenture Trustee (or the Custodian, on behalf
of the Indenture Trustee) holds and will hold such instruments, and to the extent that any documents are delivered to it pursuant to Section 2.01, will hold such documents, and all amounts received by it thereunder and hereunder, in trust, upon the
terms herein set forth, for the use and benefit of all present and future Noteholders, and the Insurer. If the time to cure any defect in respect of any Mortgage Loan of which the Indenture Trustee, the Custodian or the Insurer has notified the
Sponsor and the related Seller following the review pursuant to Section 2.01 has expired or if at any time any loss is suffered by the Issuer or the Indenture Trustee on behalf of the Noteholders or the Insurer, in respect of any Mortgage Loan as a
result of (i) a defect in any document constituting a part of its Mortgage File or (ii) an Assignment of Mortgage to the Indenture Trustee not having been recorded as required by Section 2.01, then on the next succeeding Business Day, the related
Seller shall (i) substitute in lieu of such Mortgage Loan Eligible Substitute Mortgage Loans, and deliver the Substitution Amount applicable thereto to the Servicer for deposit in the Collection Account or (ii) purchase such Mortgage Loan at a
purchase price equal to the Loan Purchase Price thereof, which purchase price shall be delivered to the Servicer for deposit in the Collection Account. Each Seller intends any conveyance of Eligible Substitute Mortgage Loans to the Indenture Trustee
to constitute a sale, but in the event the conveyance is held not to be a sale, this Agreement shall constitute a grant of a security interest in the Eligible Substitute Mortgage Loans and the proceeds thereof for the benefit of the Indenture
Trustee, Noteholders and the Insurer. Upon receipt of any Eligible Substitute Mortgage Loan or of written notification signed by a Servicing Officer to the effect that the Loan Purchase Price in respect of a Defective Mortgage Loan has been
deposited into the Collection Account, then as promptly as practicable, the Indenture Trustee, on behalf of the Trust, shall execute such documents and instruments of transfer presented by the related Seller, in each case without recourse,
representation or warranty, and take such other actions as shall reasonably be requested by such Seller to effect such transfer by the Trust of such Defective Mortgage Loan pursuant to this Section. It is understood and agreed that the obligation of
the related Seller to accept a transfer of a related Defective Mortgage Loan and to either convey an Eligible Substitute Mortgage Loan or to make a deposit of any related Loan Purchase Price into the Collection Account shall constitute the sole
remedy respecting such defect available to Noteholders and the Indenture Trustee against such Seller. 
  
 (c) As to any Eligible Substitute Mortgage Loan, the related Seller shall, if required to deliver any such Eligible Substitute Mortgage Loan, deliver to
the Custodian with respect to such Eligible Substitute Mortgage Loan such documents and agreements as are required to be held by the Custodian in accordance with the Custodial Agreement. For any Collection Period during which the related Seller
substitutes one or more Eligible Substitute Mortgage Loans, the Servicer shall determine the Substitution Amount which amount shall be deposited by such 

  

 8 

 
Seller in the Collection Account at the time of substitution. All amounts received in respect of an Eligible Substitute Mortgage Loan during the Collection
Period in which the circumstances giving rise to such substitution occur shall not be a part of the Trust and shall not be deposited by the Servicer in the Collection Account. All amounts received by the Servicer during the Collection Period in
which the circumstances giving rise to such substitution occur in respect of any Defective Mortgage Loan so removed by the Trust shall be deposited by the Servicer in the Collection Account. Upon such substitution, the Eligible Substitute Mortgage
Loan shall be subject to the terms of this Agreement in all respects, and the related Seller shall be deemed (i) to have made with respect to such Eligible Substitute Mortgage Loan as of the date of substitution, the related covenants,
representations and warranties set forth in Section 2.06 and (ii) to have certified that such Mortgage Loan is an Eligible Substitute Mortgage Loan. The procedures applied by the related Seller in selecting each Eligible Substitute Mortgage Loan
shall not be materially adverse to the interests of the Indenture Trustee, the Noteholders or the Insurer. 
  
 The Servicer, promptly following the transfer of a Defective Mortgage Loan from, or an Eligible Substitute Mortgage Loan to, the Trust pursuant to this
Section, shall amend the Mortgage Loan Schedule and make appropriate entries in its general account records to reflect such transfer. The Servicer shall, following such transfer, appropriately mark its records to indicate that it is no longer
servicing such Defective Mortgage Loan on behalf of the Trust. The related Seller, promptly following such transfer, shall make appropriate entries in its general account records to reflect such transfer. 
  
 Section 2.04. Representations and Warranties Regarding GreenPoint, the
Servicer and the Sponsor. 
  
 (a) GreenPoint in its capacity
as Seller and Servicer (the “Company”) represents and warrants to the Indenture Trustee and the Insurer that as of the Closing Date: 
  
 (i) The Company is a New York corporation, validly existing and in good standing under the laws of the State of New York, and has the
corporate power to own its assets and to transact the business in which it is currently engaged. The Company is duly qualified to do business as a foreign corporation and is in good standing in each jurisdiction in which the character of the
business transacted by it or any properties owned or leased by it requires such qualification and in which the failure so to qualify would have a material adverse effect on the business, properties, assets, or condition (financial or other) of the
Company; 
  
 (ii) The Company has the power and
authority to make, execute, deliver and perform this Agreement and all of the transactions contemplated under this Agreement, and has taken all necessary corporate action to authorize the execution, delivery and performance of this Agreement. When
executed and delivered, this Agreement will constitute the legal, valid and binding obligation of the Company enforceable in accordance with its terms, except as enforcement of such terms may be limited by bankruptcy, insolvency, reorganization,
moratorium or other similar laws affecting the enforcement of creditors’ rights generally and by the availability of equitable remedies; 
  

 9 

 (iii) The Company is not required to obtain the consent of any other party or any
consent, license, approval or authorization from, or registration or declaration with, any governmental authority, bureau or agency in connection with the execution, delivery, performance, validity or enforceability of this Agreement, except for
such consent, license, approval or authorization, or registration or declaration, as shall have been obtained or filed, as the case may be, prior to the Closing Date; 
  
 (iv) The execution, delivery and performance of this Agreement by the Company will not violate any provision
of any existing law or regulation or any order or decree of any court applicable to the Company or any provision of the Certificate of Incorporation or Bylaws of the Company, or constitute a material breach of any mortgage, Indenture, contract or
other agreement to which the Company is a party or by which the Company may be bound; 
  
 (v) No litigation or administrative proceeding of or before any court, tribunal or governmental body is currently pending, or to the
knowledge of the Company threatened, against the Company or any of its properties or with respect to this Agreement, or the Notes; 
  
 (vi) The Company is solvent and will not be rendered insolvent by the transactions described herein and, after giving effect to the
transactions described herein, will not be left with an unreasonably small amount of capital with which to engage in the ordinary course of its business and the Company does not intend to incur, nor does the Company believe that it has incurred,
debts beyond its ability to pay as they mature. The Company does not contemplate the commencement of insolvency, liquidation or consolidation proceedings or the appointment of a receiver, liquidator, conservator, Indenture Trustee or similar
official in respect of the Company or any of its respective assets; and 
  
 (vii) The Company is a member of MERS in good standing, and will comply in all material respects with the rules and procedures of MERS in connection with the servicing of the MERS Mortgage Loans for as long as such
Mortgage Loans are registered with MERS. 
  
 The representations and warranties
set forth in this Section 2.04(a) shall survive the sale and assignment of the Mortgage Loans to the Trust. Upon discovery of a breach of any representations and warranties which materially and adversely affects the interests of the Noteholders or
the Insurer, the person discovering such breach shall give written notice within five (5) days of discovery to the other parties and the Insurer. Within 30 days of its discovery or its receipt of notice of breach, or, with the prior written consent
of a Responsible Officer of the Indenture Trustee and the Insurer, such longer period specified in such consent, the Company shall cure such breach if such breach is curable and no material adverse effect would result to the Insurer, the Indenture
Trustee, the Trust or the Noteholders. 
  

 10 

 (b) The Sponsor represents and warrants to the Indenture Trustee and the Insurer that as of the Closing
Date: 
  
 (i) The Sponsor is a Delaware limited
liability company, validly existing and in good standing under the laws of the State of Delaware, and has the statutory power to own its assets and to transact the business in which it is currently engaged. The Sponsor is duly qualified to do
business as a foreign limited liability company and is in good standing in each jurisdiction in which the character of the business transacted by it or any properties owned or leased by it requires such qualification and in which the failure so to
qualify would have a material adverse effect on the business, properties, assets, or condition (financial or other) of the Sponsor; 
  
 (ii) The Sponsor has the power and authority to make, execute, deliver and perform this Agreement and all of the transactions contemplated
under this Agreement, and has taken all necessary corporate action to authorize the execution, delivery and performance of this Agreement. When executed and delivered, this Agreement will constitute the legal, valid and binding obligation of the
Sponsor enforceable in accordance with its terms, except as enforcement of such terms may be limited by bankruptcy, insolvency, reorganization, moratorium or other similar laws affecting the enforcement of creditors’ rights generally and by the
availability of equitable remedies; 
  
 (iii) The
Sponsor is not required to obtain the consent of any other party or any consent, license, approval or authorization from, or registration or declaration with, any governmental authority, bureau or agency in connection with the execution, delivery,
performance, validity or enforceability of this Agreement; 
  
 (iv) The execution, delivery and performance of this Agreement by the Sponsor will not violate any provision of any existing law or regulation or any order or decree of any court applicable to the Sponsor or any
provision of the articles of formation or the limited liability agreement or bylaws of the Sponsor, or constitute a material breach of any mortgage, Indenture, contract or other agreement to which the Sponsor is a party or by which the Sponsor may
be bound; 
  
 (v) No litigation or administrative
proceeding of or before any court, tribunal or governmental body is currently pending, or to the knowledge of the Sponsor threatened, against the Sponsor or any of its properties or with respect to this Agreement or the Notes; and 
  
 (vi) The Sponsor is solvent and will not be rendered
insolvent by the transactions described herein and, after giving effect to the transactions described herein, will not be left with an unreasonably small amount of capital with which to engage in the ordinary course of its business and the Sponsor
does not intend to incur, nor does the Sponsor believe that it has incurred, debts beyond its ability to pay as they mature. The Sponsor does not contemplate the commencement of insolvency, liquidation or consolidation proceedings or the appointment
of a receiver, liquidator, conservator, Indenture Trustee or similar official in respect of the Sponsor or any of its respective assets. 
  
 The representations and warranties set forth in this Section 2.04(b) shall survive the sale and assignment of the Mortgage Loans to the Trust. Upon discovery of a breach
of any 

  

 11 

 
representations and warranties which materially and adversely affects the interests of the Noteholders or the Insurer, the person discovering such breach
shall give prompt written notice to the other parties, and the Insurer. Within 30 days of its discovery or its receipt of notice of breach, or, with the prior written consent of a Responsible Officer of the Indenture Trustee and the Insurer, such
longer period specified in such consent, the Sponsor shall cure such breach if such breach is curable and no material adverse effect would result to the Insurer, the Indenture Trustee, the Trust or the Noteholders. 
  
 Section 2.05. Representations and Warranties Regarding Terwin
Advisors. 
  
 Terwin Advisors represents and warrants to the
Indenture Trustee, GreenPoint, the Servicer and the Insurer that as of the Closing Date. 
  
 (i) Terwin Advisors is a limited liability company duly organized, validly existing and in good standing under the laws of the state of
its incorporation; 
  
 (ii) Terwin Advisors has
full limited liability company power to own its property, to carry on its business as presently conducted and to enter into and perform its obligations under this Agreement; 
  
 (iii) the execution and delivery by Terwin Advisors of this Agreement have been duly authorized by all
necessary action on the part of Terwin Advisors; and neither the execution and delivery of this Agreement, nor the consummation of the transactions herein contemplated hereby, 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 Terwin Advisors or its properties or the certificate of formation or operating agreement of Terwin
Advisors, except those conflicts, breaches or defaults which would not reasonably be expected to have a material adverse effect on Terwin Advisors’ ability to enter into this Agreement and to consummate the transactions contemplated hereby;

  
 (iv) the execution, delivery and performance
by Terwin Advisors 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 those consents, approvals, notices, registrations or other actions as have already been obtained, given or made and, in connection with the recordation of the related Mortgages, powers of
attorney or related assignments of Mortgages not yet completed; 
  
 (v) this Agreement has been duly executed and delivered by Terwin Advisors and, assuming due authorization, execution and delivery by the Trustee, GreenPoint, the Servicer, the Indenture Trustee, the Issuer and the
Sponsor, constitutes a valid and binding obligation of Terwin Advisors enforceable against it in accordance with its terms (subject to applicable bankruptcy and insolvency laws and other similar laws affecting the enforcement of the rights of
creditors generally); and 
  

 12 

 (vi) there are no actions, litigation, suits or proceedings pending or to the knowledge
of Terwin Advisors, threatened against Terwin Advisors before or by any court, administrative agency, arbitrator or governmental body (i) with respect to any of the transactions contemplated by this Agreement or (ii) with respect to any other matter
which in the judgment of Terwin Advisors if determined adversely to Terwin Advisors would reasonably be expected to materially and adversely affect the Seller’s ability to perform its obligations under this Agreement; and Terwin Advisors is not
in default with respect to any order of any court, administrative agency, arbitrator or governmental body so as to materially and adversely affect the transactions contemplated by this Agreement. 
  
 The representations and warranties set forth in this Section 2.05 shall
survive the sale and assignment of the Terwin Mortgage Loans to the Trust. Upon discovery of a breach of any representations and warranties which materially and adversely affects the interests of the Noteholders or the Insurer, the person
discovering such breach shall give written notice within five (5) days of discovery to the other parties and the Insurer. Within 30 days of its discovery or its receipt of notice of breach, or, with the prior written consent of a Responsible Officer
of the Indenture Trustee and the Insurer, such longer period specified in such consent, the Company shall cure such breach if such breach is curable and no material adverse effect would result to the Insurer, the Indenture Trustee, the Trust or the
Noteholders. 
  
 Section 2.06. Representations and Warranties
of the Sellers Regarding the Mortgage Loans; Removal of Certain Mortgage Loans. 
  
 (a) GreenPoint hereby makes the following representations and warranties on which the Issuer is deemed to have relied in acquiring the GreenPoint Mortgage Loans and upon which the Insurer is deemed to rely in issuing
the Policy. Such representations and warranties speak as of the execution and delivery of this Agreement, as of the Closing Date with respect to the GreenPoint Mortgage Loans and as of the related Transfer Date with respect to the GreenPoint
Eligible Substitute Mortgage Loans, but shall survive the sale, transfer, and assignment of the GreenPoint Mortgage Loans to the Issuer and the pledge thereof to the Indenture Trustee pursuant to the Indenture; provided that the weighted averages
included in the following representations and warranties do not take into account those GreenPoint Mortgage Loans that do not have a Principal Balance as of the Cut-Off Date: 
  
 (i) As of the Closing Date with respect to the GreenPoint Mortgage Loans and as of the related Transfer Date
with respect to any GreenPoint Eligible Substitute Mortgage Loans and, as of the date any Additional Balance in respect of a GreenPoint Mortgage Loan is created, the information set forth in the Mortgage Loan Schedule for such Mortgage Loans is true
and correct in all material respects; 
  
 (ii)
Each Mortgage Loan is being serviced by the Servicer and is being serviced in compliance with applicable law; 
  
 (iii) The applicable Cut-Off Date Principal Balance has not been assigned or pledged, and the Sponsor is the sole owner and holder of such
Cut-Off Date Principal Balance, free and clear of any and all liens, claims, encumbrances, participation interests, equities, pledges, charges or security interests of any nature, and has full right and 

  

 13 

 
authority, under all governmental and regulatory bodies having jurisdiction over the ownership of the applicable GreenPoint Mortgage Loans, to sell, assign
or transfer the same pursuant to this Agreement and upon its acquisition of the GreenPoint Mortgage Loans, as of the Closing Date, the Trust will be the sole owner and holder of such Mortgage Loans free and clear of any and all liens claims,
encumbrances, participating interests, equities, pledges, charges, or security interests of any nature; 
  
 (iv) Except with respect to liens released immediately prior to the transfer herein contemplated, each Credit Line Agreement, Mortgage
Note and related Mortgage with respect to the GreenPoint Mortgage Loans has not been assigned or pledged and immediately prior to the transfer and assignment herein contemplated, the Sponsor held good, marketable and indefeasible title to, and was
the sole owner and holder of, each GreenPoint Mortgage Loan subject to no liens, charges, mortgages, claims, participation interests, equities, pledges or security interests of any nature, encumbrances or rights of others (collectively, a
“Lien”); the Sponsor has full right and authority under all governmental and regulatory bodies having jurisdiction over the Sponsor, subject to no interest or participation of, or agreement with, any party, to sell and assign the
same pursuant to this Agreement; and immediately upon the transfers and assignments herein contemplated, the Sponsor shall have transferred all of its right, title and interest in and to each GreenPoint Mortgage Loan and the Trust will hold good,
marketable and indefeasible title to, and be the sole owner of, each GreenPoint Mortgage Loan subject to no Liens; 
  
 (v) As of the Closing Date with respect to the GreenPoint Mortgage Loans and the applicable Transfer Date with respect to any GreenPoint
Eligible Substitute Mortgage Loans, the related Mortgage is a valid, enforceable and subsisting first or second lien, as set forth on the Mortgage Loan Schedule with respect to each related Mortgaged Property, and as of the applicable Cut-Off Date
the related Mortgaged Property is free and clear of all encumbrances and liens having priority over the first or second lien, as applicable, of such Mortgage except for liens for (i) real estate taxes and special assessments not yet delinquent; (ii)
any first mortgage loan secured by such Mortgaged Property and specified on the Mortgage Loan Schedule; (iii) covenants, conditions and restrictions, rights of way, easements and other matters of public record as of the date of recording that are
acceptable to mortgage lending institutions generally or specifically reflected in the appraisals; and (iv) other matters to which like properties are commonly subject which do not materially interfere with the benefits of the security intended to
be provided by such Mortgage; 
  
 (vi) As of and
after the Closing Date with respect to the GreenPoint Mortgage Loans and as of and after the applicable Transfer Date with respect to any GreenPoint Eligible Substitute Mortgage Loans, there is no valid right to rescission, offset, defense
(including the defense of usury) or counterclaim of any obligor under any related Credit Line Agreement or Mortgage; 
  
 (vii) As of the Closing Date with respect to the GreenPoint Mortgage Loans and the applicable Transfer Date with respect to any GreenPoint
Eligible Substitute 

  

 14 

 
Mortgage Loans, there is no delinquent recording or other tax or fee or assessment lien against any related Mortgaged Property; 
  
 (viii) As of the Closing Date with respect to the GreenPoint
Mortgage Loans and the applicable Transfer Date with respect to any GreenPoint Eligible Substitute Mortgage Loans, there is no proceeding pending or threatened for the total or partial condemnation of any Mortgaged Property, nor is such a proceeding
currently occurring, and such property is in good repair and is undamaged by waste, fire, earthquake or earth movement, windstorm, flood, other types of water damage, tornado or other casualty, so as to affect adversely the value of the Mortgaged
Property as security for the GreenPoint Mortgage Loan or the use for which the premises were intended; 
  
 (ix) As of the Closing Date with respect to the GreenPoint Mortgage Loans and the applicable Transfer Date with respect to any GreenPoint
Eligible Substitute Mortgage Loans, there are no mechanics’ or similar liens or claims which have been filed for work, labor or material affecting the related Mortgaged Property which are, or may be, liens prior or equal to the lien of the
related Mortgage and no rights are outstanding which could give rise to such liens, except liens which are fully insured against by the title insurance policy or other title protection referred to in clause (xiv); 
  
 (x) No Minimum Monthly Payment on a GreenPoint Mortgage Loan
is more than 59 days delinquent (measured on a contractual basis); 
  
 (xi) As of the Closing Date with respect to the GreenPoint Mortgage Loans and the applicable Transfer Date with respect to any GreenPoint Eligible Substitute Mortgage Loans, for each GreenPoint Mortgage Loan, the
related Mortgage File contains each of the documents and instruments specified to be included therein and such Mortgage File has been delivered to the Indenture Trustee; 
  
 (xii) With respect to each GreenPoint Mortgage Loan, the related Credit Line Agreement and the related
Mortgage at origination complied in all material respects with applicable local, state and federal laws and regulations, including, without limitation, all applicable predatory and abusive lending laws, usury, truth-in-lending, real estate
settlement procedures, consumer credit protection, equal credit opportunity, recording or disclosure laws applicable to the GreenPoint Mortgage Loans, and consummation of the transactions contemplated hereby, including without limitation the receipt
of interest, will not involve the violation of such laws; 
  
 (xiii) On the Closing Date with respect to the GreenPoint Mortgage Loans and to the extent not already included in such filing, on the applicable Transfer Date with respect to any GreenPoint Eligible Substitute
Mortgage Loans, GreenPoint and the Sponsor has filed UCC-1 financing statements with respect to such GreenPoint Mortgage Loans; 
  
 (xiv) A lender’s policy of title insurance, expressClose.com lender master protection program (standard mortgage guaranty) or a
commitment (binder) to issue the same or an attorney’s certificate or opinion of title was effective on the date of the 

  

 15 

 
origination of each GreenPoint Mortgage Loan and each such policy or certificate or opinion of title is valid and remains in full force and effect;

  
 (xv) As of the Closing Date with respect to
the GreenPoint Mortgage Loans and the applicable Transfer Date with respect to any GreenPoint Eligible Substitute Mortgage Loans, none of the related Mortgaged Properties is a mobile home or a manufactured housing unit; 
  
 (xvi) As of the Cut-Off Date for the GreenPoint Mortgage
Loans no more than approximately .53% of the GreenPoint Mortgage Loans (by Pool Balance) are secured by Mortgaged Properties located in one United States postal zip code; 
  
 (xvii) The Combined Loan-to-Value Ratio for each GreenPoint Mortgage Loan was not in excess of 100%;

  
 (xviii) No selection procedure that
identified the GreenPoint Mortgage Loans as being less desirable or valuable than other comparable mortgage loans originated or acquired by GreenPoint or the Sponsor was utilized in selecting the GreenPoint Mortgage Loans for sale to the Trust;
provided, however, that the GreenPoint Mortgage Loans were selected from the pool of mortgage loans originated in connection with GreenPoint’s mortgage loan origination program; 
  
 (xix) GreenPoint and the Sponsor have not transferred the
GreenPoint Mortgage Loans to the Trust with any intent to hinder, delay or defraud any of its creditors; 
  
 (xx) The Minimum Monthly Payment with respect to any GreenPoint Mortgage Loan is not less than the interest accrued at the applicable Loan
Rate on the average daily Principal Balance during the interest period relating to the date on which such Minimum Monthly Payment is due; 
  
 (xxi) As of the Closing Date with respect to the GreenPoint Mortgage Loans and the applicable Transfer Date with respect to any GreenPoint
Eligible Substitute Mortgage Loans, each Credit Line Agreement and each GreenPoint Mortgage Loan is genuine and is a legal, valid, binding and enforceable obligation of the related Mortgagor, except as the enforceability thereof may be limited by
the bankruptcy, insolvency or similar laws affecting creditors’ rights generally; 
  
 (xxii) As of the Closing Date with respect to the GreenPoint Mortgage Loans and the applicable Transfer Date with respect to any
GreenPoint Eligible Substitute Mortgage Loans, there has been no default, breach, violation or event of acceleration of any senior mortgage loan related to a related Mortgaged Property that has not been cured by a party other than the Servicer;

  
 (xxiii) The terms of each related Mortgage
Note and each related Mortgage have not been impaired, altered or modified in any respect, except by a written instrument which (if such instrument is secured by real property) has been recorded, if necessary, to protect the interest of the
Noteholders and the Insurer and which has been delivered to the 

  

 16 

 
Indenture Trustee. The substance of any such alteration or modification is reflected on the related Mortgage Loan Schedule and has been approved by the
primary mortgage guaranty insurer, if any; 
  
 (xxiv) The definition of “prime rate” in each Credit Line Agreement relating to a GreenPoint Mortgage Loan does not differ materially from the definition in the form of Credit Line Agreement in Exhibit D; 
  
 (xxv) The weighted average remaining term to maturity of the
GreenPoint Mortgage Loans on a contractual basis as of the Cut-Off Date is approximately 72 months. On each date that the Loan Rates relating to GreenPoint Mortgage Loans have been adjusted, interest rate adjustments on the GreenPoint Mortgage Loans
were made in compliance with the related Mortgages and Credit Line Agreement and applicable law and all required notices of interest rate adjustments were sent to each Mortgagor on a timely basis. Over the term of each GreenPoint Mortgage Loan, the
related Loan Rate may not exceed the related Loan Rate Cap, if any. The Loan Rate Cap for each of the GreenPoint Mortgage Loans is 18.000%. With respect to the GreenPoint Mortgage Loans, the margins range between approximately 0.000% and 6.50% and
the weighted average margin is approximately 2.94% as of the Cut-Off Date. The Loan Rates on the GreenPoint Mortgage Loans range between 4.000% and 10.50%, and the weighted average Loan Rate on the GreenPoint Mortgage Loans is approximately 6.94%;

  
 (xxvi) As of the Closing Date with respect to
the GreenPoint Mortgage Loans and the applicable Transfer Date with respect to any GreenPoint Eligible Substitute Mortgage Loans, each related Mortgaged Property consists of a single parcel of real property with a one-to-four unit single family
residence erected thereon, or an individual condominium unit, planned unit development unit or townhouse; 
  
 (xxvii) No more than approximately 37.65% (by Pool Balance) of the GreenPoint Mortgage Loans are secured by real property improved by
individual condominium units, planned development units, manufactured housing or two-to-four family residences erected thereon, and approximately 62.35% (by Pool Balance) of the GreenPoint Mortgage Loans are secured by real property with a
one-family residence erected thereon; 
  
 (xxviii) As of the Cut-Off Date; 2.04% (by Loan Count) of the GreenPoint Mortgage Loans do not have a Principal Balance; 
  
 (xxix) The Credit Limits on the GreenPoint Mortgage Loans range between $7,100 and $500,000 with an average of $61,731.00. The average
Credit Limit Utilization Rate of the GreenPoint Mortgage Loans is approximately 88.27%. The Principal Balances on the GreenPoint Mortgage Loans range between $0.00 and $400,000.00 with an average of approximately $51,585.60; 
  
 (xxx) With respect to the GreenPoint Mortgage Loans that are
second liens, either (A) no consent for each GreenPoint Mortgage Loan was required by the holder of 

  

 17 

 
the related senior lien, if any, prior to the making of such GreenPoint Mortgage Loan or (B) such consent has been obtained and is contained in the related
Mortgage File; 
  
 (xxxi) This Agreement
constitutes a valid transfer and assignment to the Trust of all right, title and interest of GreenPoint and of the Sponsor in and to the Cut-Off Date Principal Balances with respect to the GreenPoint Mortgage Loans, all monies due or to become due
with respect thereto and all proceeds of such Cut-Off Date Principal Balances with respect to the GreenPoint Mortgage Loans and such funds as are from time to time deposited in the Collection Account (excluding any investment earnings thereon) and
all other property specified in the definition of “Trust” as being part of the corpus of the Trust conveyed to the Trust, and upon payment for the related Additional Balances, will constitute a valid transfer and assignment to the
Indenture Trustee of all right, title and interest of GreenPoint and of the Sponsor in and to such Additional Balances, all monies due or to become due with respect thereto, and all proceeds of such Additional Balances and all other property
specified in the definition of “Trust” relating to such Additional Balances; 
  
 (xxxii) As of the Closing Date no GreenPoint Mortgage Loan is the subject of foreclosure proceedings and, to the best of GreenPoint’s
knowledge, no obligor of any of the GreenPoint Mortgage Loans has filed for bankruptcy protection. As of the applicable Transfer Date, no GreenPoint Eligible Substitute Mortgage Loan is the subject of foreclosure proceedings and, to the best of
GreenPoint’s knowledge, no obligor of any of the GreenPoint Eligible Substitute Mortgage Loans has filed for bankruptcy protection. 
  
 (xxxiii) Each GreenPoint Mortgage Loan listed on Schedule I will make its Scheduled Payment for June 2004 within 30 days of the related
due date; 
  
 (xxxiv) Each related Mortgage
contains customary and enforceable provisions which render the rights and remedies of the holder thereof adequate for the realization against the related Mortgaged Property of the benefits of the security, including (A) in the case of a related
Mortgage designated as a deed of trust, by trustee’s sale and (B) otherwise by judicial foreclosure. Subject to applicable state law, there is no homestead or other exemption available to the related Mortgagor which would materially interfere
with the rights to sell the related Mortgaged Property at a trustee’s sale or the right to foreclose upon the related Mortgage; 
  
 (xxxv) As of the Closing Date with respect to the GreenPoint Mortgage Loans and the applicable Transfer Date with respect to any
GreenPoint Eligible Substitute Mortgage Loan, except for events permissible under Section 3.05 of this Agreement, there is no default, breach, violation or event of acceleration existing under any related Mortgage or the related Mortgage Note and no
event which, with the passage of time or with notice and the expiration of any grace or cure period, would constitute a default, breach, violation or event of acceleration; and neither GreenPoint nor the Sponsor has waived any default, breach,
violation or event of acceleration; 
  
 (xxxvi)
To the best knowledge of GreenPoint, all parties to the related Mortgage Note and the related Mortgage had legal capacity to execute such Mortgage 

  

 18 

 
Note and such Mortgage and each related Mortgage Note and such Mortgage has been duly and properly executed by such parties; Each such Mortgage and Mortgage
Note is the legal, valid and binding obligation of the related Mortgagor and is enforceable by the Issuer against such Mortgagor in accordance with its terms, except only as such enforcement may be limited by bankruptcy, insolvency, reorganization,
moratorium or other similar laws affecting the enforcement of creditors’ rights generally and by law; There is only one originally executed Mortgage Note or Credit Line Agreement and promissory Note, as applicable, for each GreenPoint Mortgage
Loan; 
  
 (xxxvii) None of the GreenPoint
Mortgage Loans represent Mortgage Loans with respect to which the related Mortgagor had a Credit Score of 591 or less at the time of origination or whose Credit Score was unavailable. 
  
 (xxxviii) As of the Closing Date with respect to the GreenPoint Mortgage Loans and the applicable Transfer
Date with respect to any GreenPoint Eligible Substitute Mortgage Loan, no related Mortgagor has been released, in whole or in part, except in connection with an assumption agreement which has been approved by the applicable title insurer (to the
extent required by such title insurer) and which is part of the related Mortgage File delivered to the Indenture Trustee; 
  
 (xxxix) At the time of origination of each GreenPoint Mortgage Loan, the related prior lien was not more than 30 days delinquent.
Additionally, as of the Closing Date, no senior mortgage loan on the related Mortgaged Property was more than 59 days delinquent; 
  
 (xl) All required inspections, licenses and certificates with respect to the use and occupancy of all occupied portions of all property
securing the related Mortgages have been made, obtained or issued, as applicable; 
  
 (xli) If the improvements securing a GreenPoint Mortgage Loan were in a federally designated special flood hazard area as of the date of
origination, flood insurance to the extent required in Section 3.04 covers the related Mortgaged Property (either by coverage under the federal flood insurance program or by coverage by private insurers); 
  
 (xlii) With respect to each GreenPoint Mortgage Loan, the
related prior lien, if any, does not provide for negative amortization; 
  
 (xliii) With respect to each GreenPoint Mortgage Loan, the maturity date of such Mortgage Loan is prior to the maturity date of the related prior lien if such prior lien provides for a balloon payment; 
  
 (xliv) All amounts received after the Cut-Off Date with
respect to the GreenPoint Mortgage Loans to which neither GreenPoint nor the Sponsor are entitled will be deposited into the Collection Account on the Closing Date; 
  
 (xlv) Each GreenPoint Mortgage Loan is secured by a property having an appraised value as of origination of
$5,350,000 or less; 
  

 19 

 (xlvi) Except for events permissible under Section 3.05(a)(x) of this Agreement, there
are no defaults in complying with the terms of the related Mortgage, and either (1) any taxes, governmental assessments, insurance premiums, water, sewer and municipal charges or ground rents which previously became due and owing have been paid, or
(2) an escrow of funds has been established in an amount sufficient to pay for every such item which remains unpaid and which has been assessed but is not yet due and payable. There are no defaults in complying with the terms of any senior mortgage
on the related Mortgaged Property that have not been cured by anyone other than the Servicer, except for any payment defaults of less than 30 days. Except for payments in the nature of escrow payments, including without limitation, taxes and
insurance payments, GreenPoint has not advanced funds, or induced, solicited or knowingly received any advance of funds by a party other than the related Mortgagor, directly or indirectly, for the payment of any amount required by the related
Mortgage Note, except for interest accruing from the date of such Mortgage Note or date of disbursement of such Mortgage proceeds, whichever is greater, to the day which precedes by one month the due date of the first installment of principal and
interest; 
  
 (xlvii) With respect to each
GreenPoint Mortgage Loan, the improvements upon each related Mortgaged Property are covered by a valid and existing hazard insurance policy with a carrier generally acceptable to the Servicer that provides for fire and extended coverage representing
coverage not less than (a) the Credit Limit of such GreenPoint Mortgage Loan or (b) the maximum insurable value of the related Mortgaged Property; 
  
 (xlviii) No misrepresentation of a material fact or fraud in respect of the origination, modification or amendment of any GreenPoint
Mortgage Loan has taken place on the part of any person, including, without limitation, the related Mortgagor, any appraiser, any builder or developer or any party involved in the origination of such Mortgage Loan; 
  
 (xlix) With respect to the GreenPoint Mortgage Loans, the
terms of each Mortgage Note and each Mortgage have not been impaired, altered or modified in any material respect, except by a written instrument which has been recorded or is in the process of being recorded, if necessary, to protect the interests
of the Insurer and the Noteholders and which has been or will be delivered to the Indenture Trustee on behalf of the Trust, no Mortgage has been satisfied, cancelled or rescinded, in whole or in part, and the Mortgaged Property securing each
Mortgage has not been released from the lien of the Mortgage, in whole or in part, nor has any instrument been executed that would effect any such release, cancellation or rescission; 
  
 (l) As of the Cut-Off Date, no GreenPoint Mortgage Loan is more than 30 days delinquent in payment of
principal and interest; 
  
 (li) Except for
GreenPoint Mortgage Loans that are delinquent for a time period less than that set forth in (l) above, with respect to each GreenPoint Mortgage Loan there is no default, breach, violation or event of acceleration existing under any Mortgage or the
related Mortgage Note and no event which, with the passage of time or 

  

 20 

 
with notice and the expiration of any grace or cure period, would constitute a default, breach, violation or event of acceleration; and neither GreenPoint,
nor any other entity involved in originating or servicing a GreenPoint Mortgage Loan, has waived any default, breach, violation or event of acceleration; 
  
 (lii) None of the GreenPoint Mortgage Loans is a cooperative share mortgage; 
  
 (liii) Each appraisal of a GreenPoint Mortgage Loan that was
used to determine the appraised value of the related Mortgaged Property was conducted generally in accordance with GreenPoint’s mortgage loan origination program(s) and customary industry standards and included an assessment of the fair market
value of the related mortgaged property at the time of the appraisal. The related Mortgage File contains an appraisal of the applicable Mortgaged Property; 
  
 (liv) All individual insurance policies contain a standard mortgagee clause naming the Servicer, its successors and assigns, as mortgagee.
All premiums thereon have been paid. Each related Mortgage obligates the related Mortgagor thereunder to maintain all such insurance at such Mortgagor’s cost and expense, and upon such Mortgagor’s failure to do so, authorizes the holder of
such Mortgage to obtain and maintain such insurance at such Mortgagor’s cost and expense and to seek reimbursement therefor from such Mortgagor; 
  
 (lv) Any advances made after the date of origination of a GreenPoint Mortgage Loan but prior to the Cut-Off Date have been consolidated
with the outstanding principal amount secured by the related Mortgage, and the secured principal amount, as consolidated, bears a single interest rate and single repayment term reflected on the Mortgage Loan Schedule. The consolidated principal
amount does not exceed the original principal amount of the related GreenPoint Mortgage Loan; 
  
 (lvi) No improvement located on or being part of any related Mortgaged Property is in violation of any applicable zoning law or
regulation. All inspections, licenses and certificates required to be made or issued with respect to all occupied portions of each related Mortgaged Property and, with respect to the use and occupancy of the same, including, but not limited to,
certificates of occupancy and fire underwriting certificates, have been made or obtained from the appropriate authorities and such Mortgaged Property is lawfully occupied under the applicable law and all improvements which were included for the
purpose of determining the appraised value of such Mortgaged Property lie wholly within the boundaries and building restriction lines of such property, and no improvements on adjoining property encroach upon the related Mortgage Property;

  
 (lvii) The proceeds of each fixed rate and
balloon GreenPoint Mortgage Loan have been fully disbursed and there is no obligation on the part of the mortgagee to make future advances thereunder and any and all requirements as to completion of any on-site or off-site improvements and as to
disbursement of any escrow funds therefor have been complied with. All costs, fees and expenses incurred in making, closing or 

  

 21 

 
recording the GreenPoint Mortgage Loans were paid and the related Mortgagor is not entitled to any refund of amounts paid or due under the related Mortgage
Note; 
  
 (lviii) No GreenPoint Mortgage Loan has
a shared appreciation feature, or other contingent interest feature; 
  
 (lix) All parties which have had any interest in the GreenPoint Mortgage Loan, whether as originator, mortgagee, assignee, pledgee or otherwise, are (or, during the period in which they held and disposed of such
interest, were): (A) organized under the laws of such state, or (B) qualified to do business in such state, or (C) federal savings and loan associations or national banks having principal offices in such state, or (D) not doing business in such
state so as to require qualification or licensing, or (E) not otherwise required or licensed in such state. To the best of GreenPoint’s knowledge, all parties which have had any interest in the GreenPoint Mortgage Loan were in compliance with
any and all applicable licensing requirements of the laws of the state wherein the related Mortgaged Property is located or were not required to be licensed in such state; 
  
 (lx) Each document or instrument in the related Mortgage File is in a form generally acceptable to prudent
mortgage lenders that regularly originate or purchase mortgage loans comparable to the GreenPoint Mortgage Loans for sale to prudent investors in the secondary market that invest in mortgage loans such as the GreenPoint Mortgage Loans; 

 
 (lxi) Each related original Mortgage was recorded and all
subsequent assignments of the related original Mortgage (other than the assignment to the Indenture Trustee) have been recorded in the appropriate jurisdictions wherein such recordation is necessary to perfect the lien thereof as against creditors
of GreenPoint and the Sponsor, or is in the process of being recorded; 
  
 (lxii) No GreenPoint Mortgage Loan was originated under a buydown plan; 
  
 (lxiii) (A) None of the GreenPoint Mortgage Loans are classified as (1) a “high cost” loan under the Home Ownership and Equity
Protection Act of 1994 or (2) a “high cost,” “high cost home,” “high risk,” “high risk home,” “threshold,” “covered,” or “predatory” loan under any other applicable state, federal
or local law and (B) no GreenPoint Mortgage Loan is subject to the Home Ownership and Equity Protection Act of 1994 or any comparable state, federal or local law; 
  
 (lxiv) The Servicer for each Mortgage Loan will accurately and fully report its borrower credit files to all
three credit repositories in a timely manner; 
  
 (lxv) No proceeds from any GreenPoint Mortgage Loan were used to purchase single-premium credit insurance policies; 
  
 (lxvi) No GreenPoint Mortgage Loan has a prepayment penalty term longer than five years after its origination; 
  

 22 

 (lxvii) Each GreenPoint Mortgage Loan conforms, and all GreenPoint Mortgage Loans in the
aggregate conform, in all material respects, to the descriptions thereof set forth in the Prospectus Supplement; 
  
 (lxviii) Each GreenPoint Mortgage Loan was originated on or after December 10, 2002; 
  
 (lxix) GreenPoint represents and warrants that it currently
operates or actively participates in an on-going business (A) to originate single family mortgage loans (“Loans”), and/or (B) to make periodic purchases of Loans from originators or sellers, and/or (C) to issue and/or purchase
securities or bonds supported by the Loans, a portion of which Loans are made to borrowers who are: 
  
 (a) low-income families (families with incomes of 80% or less of area median income) living in low-income areas (a census tract or block numbering area
in which the median income does not exceed 80 percent of the area median income); or 
  
 (b) very low-income families (families with incomes of 60% or less of area median income). 
  
 (lxx) Each related Mortgage contains a provision for the acceleration of the payment of the unpaid Principal Balance of the related
GreenPoint Mortgage Loan in the event the related Mortgaged Property is sold or transferred without the prior consent of the mortgagee thereunder; 
  
 (lxxi) Each GreenPoint Mortgage Loan was originated substantially in accordance with GreenPoint’s underwriting criteria, which
conform to the related underwriting criteria set forth in the Prospectus Supplement. 
  
 (lxxii) There exists no violation of any local, state or federal environmental law, rule or regulation in respect of any related Mortgaged
Property which violation has or could have a material adverse effect on the market value of such Mortgaged Property. GreenPoint has no knowledge of any pending action or proceeding directly involving any such Mortgaged Property in which compliance
with any environmental law, rule or regulation is in issue; and, to the best of GreenPoint’s knowledge, nothing further remains to be done to satisfy in full all requirements of each such law, rule or regulation constituting a prerequisite to
the use and enjoyment of any such Mortgaged Property; 
  
 (lxxiii) GreenPoint has caused or will cause to be performed any and all acts required to be performed to preserve the rights and remedies of the Indenture Trustee in any insurance policies applicable to the GreenPoint Mortgage Loans
including, without limitation, any necessary notifications of insurers, assignment of policies or interests therein, and establishments of co-insured, joint loss payee and mortgagee rights in favor of the Indenture Trustee; 
  

 23 

 (lxxiv) With respect to the GreenPoint Mortgage Loans, the related Mortgage Note is not
and has not been secured by any collateral, pledged account or other security except the lien of the corresponding Mortgage; 
  
 (lxxv) With respect to the GreenPoint Mortgage Loans, each related Mortgage constituting a deed of trust, a trustee, duly qualified under
existing law to serve as such, has been properly designated and currently so serves and is named in such Mortgage, and no fees or expenses are or will become payable by the Noteholders or the Trust to the trustee under the deed of trust, except in
connection with a trustee’s sale after default by the related Mortgagor; 
  
 (lxxvi) Each related Mortgagor has executed a statement to the effect that such Mortgagor has received all disclosure materials including the notice of the right of cancellation or rescission required by applicable
law with respect to the making of the GreenPoint Mortgage Loan and any waiver of any right of cancellation or rescission exercised by such Mortgagor was in accordance with applicable law and is binding on such Mortgagor; 
  
 (lxxvii) The security interest created pursuant to Section
2.01 hereof is a valid and continuing security interest (as defined in the UCC) in favor of the Issuer in the property sold, transferred, assigned, set over and otherwise conveyed from the Sponsor to the Issuer pursuant to this Agreement, which
security interest is prior to all other related Liens and is enforceable as such against creditors of and purchasers from the Sponsor; 
  
 (lxxviii) Neither GreenPoint nor the Sponsor have authorized the filing of and neither party is aware of any financing statements against
GreenPoint or the Sponsor that include a description of collateral covering the property sold, transferred, assigned, set over and otherwise conveyed from GreenPoint to the Sponsor or from the Sponsor to the Issuer pursuant to this Agreement other
than any financing statement relating to the security interest granted to the Issuer hereunder that has not been terminated; 
  
 (lxxix) GreenPoint is not aware of any judgment or tax lien filings against it; 
  
 (lxxx) With respect to the GreenPoint Mortgage Loans, none
of the related Mortgage Notes has any marks or notations indicating that they have been pledged, assigned or otherwise conveyed to any Person other than the Issuer; 
  
 (lxxxi) The pool tape from which the selection of the GreenPoint Mortgage Loans being acquired on the
Closing Date was made available to the accountants that are providing a comfort letter in connection with the Prospectus Supplement and with respect to the GreenPoint Mortgage Loans as of the Closing Date, the information on the pool tape was
complete and accurate as of its date and included a description of the same GreenPoint Mortgage Loans that are described on the Schedule of Mortgage Loans and the payments due thereunder as of the Closing Date; 
  
 (lxxxii) With respect to each GreenPoint Mortgage Loan, the
payments required of the related Mortgagor will be such that the GreenPoint Mortgage Loan will fully amortize over its amortization term; 
  

 24 

 (lxxxiii) The sale, transfer, assignment and conveyance of the Mortgage Loans by the
Sponsor to the Issuer pursuant to the Sale and Servicing Agreement is not subject to and will not result in any tax, fee or governmental charge payable by the Sponsor, the Issuer or the Indenture Trustee to any federal, state or local governments
(“Transfer Taxes”) other than Transfer Taxes which have or will have been paid by GreenPoint or the Sponsor as due; provided, that in the event that the Trust or the Indenture Trustee receives actual notice of any Transfer
Taxes arising out of the transfer, assignment or conveyance of the Mortgage Loans, on written demand by the Issuer or the Indenture Trustee, or upon GreenPoint’s otherwise being given notice thereof by the Issuer or the Indenture Trustee,
GreenPoint shall pay, and otherwise indemnify and hold the Issuer, the Indenture Trustee and the Insurer harmless, on an after-tax basis, from and against any and all Transfer Taxes, it being understood that the Noteholders, the Issuer, the
Indenture Trustee and the Insurer shall have no obligation to pay any such Transfer Taxes; and 
  
 (lxxxiv) No GreenPoint Mortgage Loan is a “High Cost Loan” or “Covered Loan”, as applicable, as such terms are defined
in the Standard & Poor’s LEVELS® Glossary,
Appendix E, in effect as of the Closing Date and no GreenPoint Mortgage Loan originated on or after October 1, 2002 through March 6, 2003 is governed by the Georgia Fair Lending Act. 
  
 With respect to the representations and warranties set forth in this Section 2.06(a) that are made to the best of GreenPoint’s
knowledge or as to which GreenPoint has no knowledge, if it is discovered by GreenPoint, the Servicer, the Insurer, or a Responsible Officer of the Indenture Trustee that the substance of such representation and warranty is inaccurate and such
inaccuracy materially and adversely affects the value of the related GreenPoint Mortgage Loan then, notwithstanding GreenPoint’s lack of knowledge with respect to the substance of such representation and warranty being inaccurate at the time
the representation or warranty was made, such inaccuracy shall be deemed a breach of the applicable representation or warranty. Notwithstanding the foregoing, a breach of any of the representations and warranties set forth in clauses (ii), (xii),
the second sentence of (xxv) and (lxiii) through (lxvi) of this Section 2.06(a) will be deemed to materially and adversely affect the value of the related Mortgage Loan. 
  
 (b) Terwin Advisors hereby makes the following representations and warranties on which the Issuer is deemed to have relied
in acquiring the Terwin Mortgage Loans and upon which the Insurer is deemed to rely in issuing the Policy. Such representations and warranties speak as of the execution and delivery of this Agreement, as of the Closing Date with respect to the
Terwin Mortgage Loans and as of the related Transfer Date with respect to the Terwin Eligible Substitute Mortgage Loans, but shall survive the sale, transfer, and assignment of the Terwin Mortgage Loans to the Issuer and the pledge thereof to the
Indenture Trustee pursuant to the Indenture; provided that the weighted averages included in the following representations and warranties do not take into account those Terwin Mortgage Loans that do not have a Principal Balance as of the Cut-Off
Date: 
  
 (i) As of the Closing Date with respect
to the Terwin Mortgage Loans and as of the related Transfer Date with respect to any Terwin Eligible Substitute Mortgage Loans and, as of the date any Additional Balance in respect of a Terwin Mortgage Loans 

  

 25 

 
is created, the information set forth in the Mortgage Loan Schedule for such Mortgage Loans is true and correct in all material respects; 
  
 (ii) Each Terwin Mortgage Loan is being serviced by the
Servicer; 
  
 (iii) The applicable Cut-Off Date
Principal Balance has not been assigned or pledged, and the Sponsor is the sole owner and holder of such Cut-Off Date Principal Balance, free and clear of any and all liens, claims, encumbrances, participation interests, equities, pledges, charges
or security interests of any nature, and has full right and authority, under all governmental and regulatory bodies having jurisdiction over the ownership of the applicable Terwin Mortgage Loans, to sell, assign or transfer the same pursuant to this
Agreement and upon its acquisition of the Terwin Mortgage Loans, as of the Closing Date, the Trust will be the sole owner and holder of such Mortgage Loans free and clear of any and all liens claims, encumbrances, participating interests, equities,
pledges, charges, or security interests of any nature; 
  
 (iv) Except with respect to liens released immediately prior to the transfer herein contemplated, each Credit Line Agreement, Mortgage Note and related Mortgage with respect to the Terwin Mortgage Loans has not been assigned or pledged and
immediately prior to the transfer and assignment herein contemplated, the Sponsor held good, marketable and indefeasible title to, and was the sole owner and holder of, each Terwin Mortgage Loan subject to no liens, charges, mortgages, claims,
participation interests, equities, pledges or security interests of any nature, encumbrances or rights of others (collectively, a “Lien”); the Sponsor has full right and authority under all governmental and regulatory bodies having
jurisdiction over the Sponsor, subject to no interest or participation of, or agreement with, any party, to sell and assign the same pursuant to this Agreement; and immediately upon the transfers and assignments herein contemplated, the Sponsor
shall have transferred all of its right, title and interest in and to each Terwin Mortgage Loan and the Trust will hold good, marketable and indefeasible title to, and be the sole owner of, each Terwin Mortgage Loan subject to no Liens; 

 
 (v) As of the Closing Date with respect to the Terwin
Mortgage Loans and the applicable Transfer Date with respect to any Terwin Eligible Substitute Mortgage Loans, the related Mortgage is a valid, enforceable and subsisting first or second lien, as set forth on the Mortgage Loan Schedule with respect
to each related Mortgaged Property, and as of the applicable Cut-Off Date the related Mortgaged Property is free and clear of all encumbrances and liens having priority over the first or second lien, as applicable, of such Mortgage except for liens
for (i) real estate taxes and special assessments not yet delinquent; (ii) any first mortgage loan secured by such Mortgaged Property and specified on the Mortgage Loan Schedule; (iii) covenants, conditions and restrictions, rights of way, easements
and other matters of public record as of the date of recording that are acceptable to mortgage lending institutions generally or specifically reflected in the appraisals; and (iv) other matters to which like properties are commonly subject which do
not materially interfere with the benefits of the security intended to be provided by such Mortgage; 
  

 26 

 (vi) As of and after the Closing Date with respect to the Terwin Mortgage Loans and as of
and after the applicable Transfer Date with respect to any Terwin Eligible Substitute Mortgage Loans, there is no valid right to rescission, offset, defense (including the defense of usury) or counterclaim of any obligor under any related Credit
Line Agreement or Mortgage; 
  
 (vii) As of the
Closing Date with respect to the Terwin Mortgage Loans and the applicable Transfer Date with respect to any Terwin Eligible Substitute Mortgage Loans, there is no delinquent recording or other tax or fee or assessment lien against any related
Mortgaged Property; 
  
 (viii) As of the Closing
Date with respect to the Terwin Mortgage Loans and the applicable Transfer Date with respect to any Terwin Eligible Substitute Mortgage Loans, there is no proceeding pending or threatened for the total or partial condemnation of any Mortgaged
Property, nor is such a proceeding currently occurring, and such property is in good repair and is undamaged by waste, fire, earthquake or earth movement, windstorm, flood, other types of water damage, tornado or other casualty, so as to affect
adversely the value of the Mortgaged Property as security for the Terwin Mortgage Loan or the use for which the premises were intended; 
  
 (ix) As of the Closing Date with respect to the Terwin Mortgage Loans and the applicable Transfer Date with respect to any Terwin Eligible
Substitute Mortgage Loans, there are no mechanics’ or similar liens or claims which have been filed for work, labor or material affecting the related Mortgaged Property which are, or may be, liens prior or equal to the lien of the related
Mortgage and no rights are outstanding which could give rise to such liens, except liens which are fully insured against by the title insurance policy or other title protection referred to in clause (xiv); 
  
 (x) No Minimum Monthly Payment on a Terwin Mortgage Loan is
more than 59 days delinquent (measured on a contractual basis); 
  
 (xi) As of the Closing Date with respect to the Terwin Mortgage Loans and the applicable Transfer Date with respect to any Terwin Eligible Substitute Mortgage Loans, for each Terwin Mortgage Loan, the related Mortgage
File contains each of the documents and instruments specified to be included therein and such Mortgage File has been delivered to the Indenture Trustee; 
  
 (xii) With respect to each Terwin Mortgage Loan, the related Credit Line Agreement and the related Mortgage at origination complied in all
material respects with applicable local, state and federal laws and regulations, including, without limitation, all applicable predatory and abusive lending laws, usury, truth-in-lending, real estate settlement procedures, consumer credit
protection, equal credit opportunity, recording or disclosure laws applicable to the Terwin Mortgage Loans, and consummation of the transactions contemplated hereby, including without limitation the receipt of interest, will not involve the
violation of such laws; 
  

 27 

 (xiii) On the Closing Date with respect to the Terwin Mortgage Loans and to the extent
not already included in such filing, on the applicable Transfer Date with respect to any Terwin Eligible Substitute Mortgage Loans, Terwin Advisors and the Sponsor has filed UCC-1 financing statements with respect to such Terwin Mortgage Loans;

  
 (xiv) A lender’s policy of title
insurance, expressClose.com lender master protection program (standard mortgage guaranty) or a commitment (binder) to issue the same or an attorney’s certificate or opinion of title was effective on the date of the origination of each Terwin
Mortgage Loan and each such policy or certificate or opinion of title is valid and remains in full force and effect; 
  
 (xv) As of the Closing Date with respect to the Terwin Mortgage Loans and the applicable Transfer Date with respect to any Terwin Eligible
Substitute Mortgage Loans, none of the related Mortgaged Properties is a mobile home or a manufactured housing unit; 
  
 (xvi) As of the Cut-Off Date for the Terwin Mortgage Loans no more than approximately .16% of the Terwin Mortgage Loans (by Pool Balance)
are secured by Mortgaged Properties located in one United States postal zip code; 
  
 (xvii) The Combined Loan-to-Value Ratio for each Terwin Mortgage Loan was not in excess of 100%; 
  
 (xviii) No selection procedure that identified the Terwin
Mortgage Loans as being less desirable or valuable than other comparable mortgage loans acquired by Terwin Advisors was utilized in selecting the Terwin Mortgage Loans for sale to the Trust; provided, however, that the Terwin Mortgage
Loans were selected from the pool of mortgage loans underwritten in accordance Terwin Advisors’ underwriting guidelines; 
  
 (xix) Terwin Advisors has not transferred the Terwin Mortgage Loans to the Trust with any intent to hinder, delay or defraud any of its
creditors; 
  
 (xx) The Minimum Monthly Payment
with respect to any Terwin Mortgage Loan is not less than the interest accrued at the applicable Loan Rate on the average daily Principal Balance during the interest period relating to the date on which such Minimum Monthly Payment is due;

  
 (xxi) As of the Closing Date with respect to
the Terwin Mortgage Loans and the applicable Transfer Date with respect to any Terwin Eligible Substitute Mortgage Loans, each Credit Line Agreement and each Terwin Mortgage Loan is genuine and is a legal, valid, binding and enforceable obligation
of the related Mortgagor, except as the enforceability thereof may be limited by the bankruptcy, insolvency or similar laws affecting creditors’ rights generally; 
  
 (xxii) As of the Closing Date with respect to the Terwin Mortgage Loans and the applicable Transfer Date
with respect to any Terwin Eligible Substitute Mortgage Loans, there has been no default, breach, violation or event of acceleration of any senior 

  

 28 

 
mortgage loan related to a related Mortgaged Property that has not been cured by a party other than the Servicer; 
  
 (xxiii) With respect to the Terwin Mortgage Loans, the terms
of each related Mortgage Note and each related Mortgage have not been impaired, altered or modified in any respect, except by a written instrument which (if such instrument is secured by real property) has been recorded, if necessary, to protect the
interest of the Noteholders and the Insurer and which has been delivered to the Indenture Trustee. The substance of any such alteration or modification is reflected on the related Mortgage Loan Schedule and has been approved by the primary mortgage
guaranty insurer, if any; 
  
 (xxiv) The
definition of “prime rate” in each Credit Line Agreement relating to a Terwin Mortgage Loan does not differ materially from the definition in the form of Credit Line Agreement in Exhibit D; 
  
 (xxv) The weighted average remaining term to maturity of the
Terwin Mortgage Loans on a contractual basis as of the Cut-Off Date is approximately 71 months. On each date that the Loan Rates relating to Terwin Mortgage Loans have been adjusted, interest rate adjustments on the Terwin Mortgage Loans were made
in compliance with the related Mortgages and Credit Line Agreement and applicable law and all required notices of interest rate adjustments were sent to each Mortgagor on a timely basis. Over the term of each Terwin Mortgage Loan, the related Loan
Rate may not exceed the related Loan Rate Cap, if any. The Loan Rate Cap for each of the Terwin Mortgage Loans is 18.000%. With respect to the Terwin Mortgage Loans, the margins range between approximately 0.000% and 3.00% and the weighted average
margin is approximately 1.69% as of the Cut-Off Date. The Loan Rates on the Terwin Mortgage Loans range between 4.000% and 7.50%, and the weighted average Loan Rate on the Terwin Mortgage Loans is approximately 5.72%; 
  
 (xxvi) As of the Closing Date with respect to the Terwin
Mortgage Loans and the applicable Transfer Date with respect to any Terwin Eligible Substitute Mortgage Loans, each related Mortgaged Property consists of a single parcel of real property with a one-to-four unit single family residence erected
thereon, or an individual condominium unit, planned unit development unit or townhouse; 
  
 (xxvii) No more than approximately 50.3% (by Pool Balance) of the Terwin Mortgage Loans are secured by real property improved by
individual condominium Townhouses, planned development units, manufactured housing or two-to-four family residences erected thereon, and approximately 49.67% (by Pool Balance) of the Terwin Mortgage Loans are secured by real property with a
one-family residence erected thereon; 
  
 (xxviii) As of the Cut-Off Date, 0.00% (by Pool Balance) of the Terwin Mortgage Loans do not have a Principal Balance; 
  
 (xxix) The Credit Limits on the Terwin Mortgage Loans range between $15,000.00 and $300,000.00 with an average of $98,659.52. The average
Credit Limit 

  

 29 

 
Utilization Rate of the Terwin Mortgage Loans is approximately 98.47%. The Principal Balances on the Terwin Mortgage Loans range between $15,000.00 and
$300,000.00 with an average of approximately $96,158.60; 
  
 (xxx) With respect to the Terwin Mortgage Loans that are second liens, either (A) no consent for each Terwin Mortgage Loan was required by the holder of the related senior lien, if any, prior to the making of such
Terwin Mortgage Loan or (B) such consent has been obtained and is contained in the related Mortgage File; 
  
 (xxxi) This Agreement constitutes a valid transfer and assignment to the Trust of all right, title and interest of Terwin Advisors in and
to the Cut-Off Date Principal Balances with respect to the Terwin Mortgage Loans, all monies due or to become due with respect thereto and all proceeds of such Cut-Off Date Principal Balances with respect to the Terwin Mortgage Loans and such funds
as are from time to time deposited in the Collection Account (excluding any investment earnings thereon) and all other property specified in the definition of “Trust” as being part of the corpus of the Trust conveyed to the Trust, and upon
payment for the related Additional Balances, will constitute a valid transfer and assignment to the Indenture Trustee of all right, title and interest of Terwin Advisors in and to such Additional Balances, all monies due or to become due with
respect thereto, and all proceeds of such Additional Balances and all other property specified in the definition of “Trust” relating to such Additional Balances; 
  
 (xxxii) As of the Closing Date no Terwin Mortgage Loan is the subject of foreclosure proceedings and, to the
best of Terwin Advisors’ knowledge, no obligor of any of the Terwin Mortgage Loans has filed for bankruptcy protection. As of the applicable Transfer Date, no Terwin Eligible Substitute Mortgage Loan is the subject of foreclosure proceedings
and, to the best of Terwin Advisors’ knowledge, no obligor of any of the Terwin Eligible Substitute Mortgage Loans has filed for bankruptcy protection. 
  
 (xxxiii) Each Terwin Mortgage Loan listed on Schedule II will make its Scheduled Payment for June 2004, July 2004 or August 2004, as
applicable, within 30 days of the related due date; 
  
 (xxxiv) Each Mortgage contains customary and enforceable provisions which render the rights and remedies of the holder thereof adequate for the realization against the related Mortgaged Property of the benefits of the security, including
(A) in the case of a related Mortgage designated as a deed of trust, by trustee’s sale and (B) otherwise by judicial foreclosure. Subject to applicable state law, there is no homestead or other exemption available to the related Mortgagor which
would materially interfere with the rights to sell the related Mortgaged Property at a trustee’s sale or the right to foreclose upon the related Mortgage; 
  

(xxxv) As of the Closing Date with respect to the Terwin Mortgage Loans and the applicable Transfer Date with respect to any Terwin
Eligible Substitute Mortgage Loan, except for events permissible under Section 3.05 of this Agreement, there is no default, breach, violation or event of acceleration existing under any Mortgage or the 

  

 30 

 
related Mortgage Note and no event which, with the passage of time or with notice and the expiration of any grace or cure period, would constitute a default,
breach, violation or event of acceleration; and neither Terwin Advisors nor the Sponsor has waived any default, breach, violation or event of acceleration; 
  
 (xxxvi) To the best knowledge of Terwin Advisors, all parties to the related Mortgage Note and the related Mortgage had legal capacity to
execute such Mortgage Note and such related Mortgage and each related Mortgage Note and related Mortgage has been duly and properly executed by such parties; Each related Mortgage and Mortgage Note is the legal, valid and binding obligation of the
related Mortgagor and is enforceable by the Issuer against such Mortgagor in accordance with its terms, except only as such enforcement may be limited by bankruptcy, insolvency, reorganization, moratorium or other similar laws affecting the
enforcement of creditors’ rights generally and by law; There is only one originally executed Mortgage Note or Credit Line Agreement and promissory Note, as applicable, for each Terwin Mortgage Loan; 
  
 (xxxvii) None of the Terwin Mortgage Loans represent
Mortgage Loans with respect to which the related Mortgagor had a Credit Score of 635 or less at the time of origination or whose Credit Score was unavailable. 
  

(xxxviii) As of the Closing Date with respect to the Terwin Mortgage Loans and the applicable Transfer Date with respect to any Terwin
Eligible Substitute Mortgage Loan, no related Mortgagor has been released, in whole or in part, except in connection with an assumption agreement which has been approved by the applicable title insurer (to the extent required by such title insurer)
and which is part of the related Mortgage File delivered to the Indenture Trustee; 
  
 (xxxix) At the time of origination of each Terwin Mortgage Loan, the related prior lien was not more than 30 days delinquent.
Additionally, as of the Closing Date, no senior mortgage loan on the related Mortgaged Property was more than 59 days delinquent; 
  
 (xl) With respect to each Terwin Mortgage Loan, all required inspections, licenses and certificates with respect to the use and occupancy
of all occupied portions of all property securing the related Mortgages have been made, obtained or issued, as applicable; 
  
 (xli) If the improvements securing a Terwin Mortgage Loan were in a federally designated special flood hazard area as of the date of
origination, flood insurance to the extent required in Section 3.04 covers the related Mortgaged Property (either by coverage under the federal flood insurance program or by coverage by private insurers); 
  
 (xlii) With respect to each Terwin Mortgage Loan, the
related prior lien, if any, does not provide for negative amortization; 
  

 31 

 (xliii) With respect to each Terwin Mortgage Loan, the maturity date of such Mortgage
Loan is prior to the maturity date of the related prior lien if such prior lien provides for a balloon payment; 
  
 (xliv) All amounts received after the Cut-Off Date with respect to the Terwin Mortgage Loans to which Terwin Advisors is not entitled will
be deposited into the Collection Account on the Closing Date; 
  
 (xlv) Each Terwin Mortgage Loan is secured by a property having an appraised value as of origination of $7,490,000.00 or less; 
  

(xlvi) Except for events permissible under Section 3.05(a)(x) of this Agreement, there are no defaults in complying with the terms of
the related Mortgage, and either (1) any taxes, governmental assessments, insurance premiums, water, sewer and municipal charges or ground rents which previously became due and owing have been paid, or (2) an escrow of funds has been established in
an amount sufficient to pay for every such item which remains unpaid and which has been assessed but is not yet due and payable. There are no defaults in complying with the terms of any senior mortgage on the related Mortgaged Property that have not
been cured by anyone other than the Servicer, except for any payment defaults of less than 30 days. Except for payments in the nature of escrow payments, including without limitation, taxes and insurance payments, Terwin Advisors has not advanced
funds, or induced, solicited or knowingly received any advance of funds by a party other than the related Mortgagor, directly or indirectly, for the payment of any amount required by the related Mortgage Note, except for interest accruing from the
date of such Mortgage Note or date of disbursement of such Mortgage proceeds, whichever is greater, to the day which precedes by one month the due date of the first installment of principal and interest; 
  
 (xlvii) With respect to each Terwin Mortgage Loan, the
improvements upon each related Mortgaged Property are covered by a valid and existing hazard insurance policy with a carrier generally acceptable to the Servicer that provides for fire and extended coverage representing coverage not less than (a)
the Credit Limit of such Terwin Mortgage Loan or (b) the maximum insurable value of the related Mortgaged Property; 
  
 (xlviii) No misrepresentation of a material fact or fraud in respect of the origination, modification or amendment of any Terwin Mortgage
Loan has taken place on the part of any person, including, without limitation, the related Mortgagor, any appraiser, any builder or developer or any party involved in the origination of such Mortgage Loan; 
  
 (xlix) With respect to the Terwin Mortgage Loans, the terms
of each Mortgage Note and each Mortgage have not been impaired, altered or modified in any material respect, except by a written instrument which has been recorded or is in the process of being recorded, if necessary, to protect the interests of the
Insurer and the Noteholders and which has been or will be delivered to the Indenture Trustee on behalf of the Trust, no Mortgage has been satisfied, cancelled or rescinded, in whole or in part, and 

  

 32 

 
the Mortgaged Property securing each Mortgage has not been released from the lien of the related Mortgage, in whole or in part, nor has any instrument been
executed that would effect any such release, cancellation or rescission; 
  
 (l) As of the Cut-Off Date, no Terwin Mortgage Loan is more than 30 days delinquent in payment of principal and interest; 
  
 (li) Except for Terwin Mortgage Loans that are delinquent for a time period less than that set forth in (l) above, with respect to each
Terwin Mortgage Loan there is no default, breach, violation or event of acceleration existing under any Mortgage or the related Mortgage Note and no event which, with the passage of time or with notice and the expiration of any grace or cure period,
would constitute a default, breach, violation or event of acceleration; and neither Terwin Advisors, nor any other entity involved in originating or servicing a Terwin Mortgage Loan, has waived any default, breach, violation or event of
acceleration; 
  
 (lii) None of the Terwin
Mortgage Loans is a cooperative share mortgage; 
  
 (liii) Each appraisal of a Terwin Mortgage Loan that was used to determine the appraised value of the related Mortgaged Property was conducted generally in accordance with Terwin Advisors’ underwriting guidelines and customary industry
standards and included an assessment of the fair market value of the related mortgaged property at the time of the appraisal. The related Mortgage File contains an appraisal of the applicable Mortgaged Property; 
  
 (liv) All individual insurance policies contain a standard
mortgagee clause naming the Servicer, its successors and assigns, as mortgagee. All premiums thereon have been paid. Each related Mortgage obligates the related Mortgagor thereunder to maintain all such insurance at the related Mortgagor’s cost
and expense, and upon such Mortgagor’s failure to do so, authorizes the holder of such Mortgage to obtain and maintain such insurance at such Mortgagor’s cost and expense and to seek reimbursement therefor from such Mortgagor; 

 
 (lv) Any advances made after the date of origination of a
Terwin Mortgage Loan but prior to the Cut-Off Date have been consolidated with the outstanding principal amount secured by the related Mortgage, and the secured principal amount, as consolidated, bears a single interest rate and single repayment
term reflected on the Mortgage Loan Schedule. The consolidated principal amount does not exceed the original principal amount of the related Terwin Mortgage Loan; 
  
 (lvi) No improvement located on or being part of any related Mortgaged Property is in violation of any
applicable zoning law or regulation. All inspections, licenses and certificates required to be made or issued with respect to all occupied portions of each related Mortgaged Property and, with respect to the use and occupancy of the same, including,
but not limited to, certificates of occupancy and fire underwriting certificates, have been made or obtained from the appropriate authorities and such Mortgaged Property is lawfully occupied under the applicable law and all improvements 

  

 33 

 
which were included for the purpose of determining the appraised value of such Mortgaged Property lie wholly within the boundaries and building restriction
lines of such property, and no improvements on adjoining property encroach upon the related Mortgage Property; 
  
 (lvii) The proceeds of each fixed rate and balloon Terwin Mortgage Loan have been fully disbursed and there is no obligation on the part
of the mortgagee to make future advances thereunder and any and all requirements as to completion of any on-site or off-site improvements and as to disbursement of any escrow funds therefor have been complied with. All costs, fees and expenses
incurred in making, closing or recording the Terwin Mortgage Loans were paid and the related Mortgagor is not entitled to any refund of amounts paid or due under the related Mortgage Note; 
  
 (lviii) No Terwin Mortgage Loan has a shared appreciation
feature, or other contingent interest feature; 
  
 (lix) All parties which have had any interest in the Terwin Mortgage Loan, whether as originator, mortgagee, assignee, pledgee or otherwise, are (or, during the period in which they held and disposed of such interest, were): (A) organized
under the laws of such state, or (B) qualified to do business in such state, or (C) federal savings and loan associations or national banks having principal offices in such state, or (D) not doing business in such state so as to require
qualification or licensing, or (E) not otherwise required or licensed in such state. To the best of Terwin Advisors’ knowledge, all parties which have had any interest in the Terwin Mortgage Loan were in compliance with any and all applicable
licensing requirements of the laws of the state wherein the related Mortgaged Property is located or were not required to be licensed in such state; 
  
 (lx) Each document or instrument in the related Mortgage File is in a form generally acceptable to prudent mortgage lenders that regularly
originate or purchase mortgage loans comparable to the Terwin Mortgage Loans for sale to prudent investors in the secondary market that invest in mortgage loans such as the Terwin Mortgage Loans; 
  
 (lxi) Each related original Mortgage was recorded and all
subsequent assignments of the related original Mortgage (other than the assignment to the Indenture Trustee) have been recorded in the appropriate jurisdictions wherein such recordation is necessary to perfect the lien thereof as against creditors
of Terwin Advisors and the Sponsor, or is in the process of being recorded; 
  
 (lxii) No Terwin Mortgage Loan was originated under a buydown plan; 
  
 (lxiii) (A) None of the Terwin Mortgage Loans are classified as (1) a “high cost” loan under the Home Ownership and Equity
Protection Act of 1994 or (2) a “high cost,” “high risk,” “threshold,” “covered,” or “predatory” loan under any other applicable state, federal or local law and (B) no Terwin Mortgage Loan is subject
to the Home Ownership and Equity Protection Act of 1994 or any comparable state, federal or local law; 
  
 (lxiv) [Reserved]; 
  

 34 

 (lxv) No proceeds from any Terwin Mortgage Loan were used to purchase single-premium
credit insurance policies; 
  
 (lxvi) No Terwin
Mortgage Loan has a prepayment penalty term longer than five years after its origination; 
  
 (lxvii) Each Terwin Mortgage Loan conforms, and all Terwin Mortgage Loans in the aggregate conform, in all material respects, to the
descriptions thereof set forth in the Prospectus Supplement; 
  
 (lxviii) Each Terwin Mortgage Loan was originated on or after November 11, 2003; 
  
 (lxix) [Reserved]; 
  
 (lxx) Each related Mortgage contains a provision for the acceleration of the payment of the unpaid Principal Balance of the related Terwin
Mortgage Loan in the event the related Mortgaged Property is sold or transferred without the prior consent of the mortgagee thereunder; 
  
 (lxxi) Each Terwin Mortgage Loan was originated substantially in accordance with GreenPoint’s underwriting criteria, which conform to
the related underwriting criteria set forth in the Prospectus Supplement. 
  
 (lxxii) There exists no violation of any local, state or federal environmental law, rule or regulation in respect of any related Mortgaged Property which violation has or could have a material adverse effect on the
market value of such Mortgaged Property. Terwin Advisors has no knowledge of any pending action or proceeding directly involving any such Mortgaged Property in which compliance with any environmental law, rule or regulation is in issue; and, to the
best of Terwin Advisors’ knowledge, nothing further remains to be done to satisfy in full all requirements of each such law, rule or regulation constituting a prerequisite to the use and enjoyment of any such Mortgaged Property; 
  
 (lxxiii) Terwin Advisors has caused or will cause to be
performed any and all acts required to be performed to preserve the rights and remedies of the Indenture Trustee in any insurance policies applicable to the Terwin Mortgage Loans including, without limitation, any necessary notifications of
insurers, assignment of policies or interests therein, and establishments of co-insured, joint loss payee and mortgagee rights in favor of the Indenture Trustee; 
  
 (lxxiv) The related Mortgage Note is not and has not been secured by any collateral, pledged account or
other security except the lien of the corresponding Mortgage; 
  
 (lxxv) With respect to each related Mortgage constituting a deed of trust, a trustee, duly qualified under existing law to serve as such, has been properly designated and currently so serves and is named in such
Mortgage, and no fees or expenses are or 

  

 35 

 
will become payable by the Noteholders or the Trust to the trustee under the deed of trust, except in connection with a trustee’s sale after default by
the related Mortgagor; 
  
 (lxxvi) Each related
Mortgagor has executed a statement to the effect that such Mortgagor has received all disclosure materials including the notice of the right of cancellation or rescission required by applicable law with respect to the making of the Terwin Mortgage
Loan and any waiver of any right of cancellation or rescission exercised by such Mortgagor was in accordance with applicable law and is binding on such Mortgagor; 
  
 (lxxvii) The security interest created pursuant to Section 2.01 hereof is a valid and continuing security
interest (as defined in the UCC) in favor of the Issuer in the property sold, transferred, assigned, set over and otherwise conveyed from the Sponsor to the Issuer pursuant to this Agreement, which security interest is prior to all other related
Liens and is enforceable as such against creditors of and purchasers from the Sponsor; 
  
 (lxxviii) Terwin Advisors has not authorized the filing of and neither party is aware of any financing statements against Terwin Advisors
that include a description of collateral covering the property sold, transferred, assigned, set over and otherwise conveyed from Terwin Advisors to the Sponsor pursuant to this Agreement other than any financing statement relating to the security
interest granted to the Issuer hereunder that has not been terminated; 
  
 (lxxix) Terwin Advisors is not aware of any judgment or tax lien filings against it; 
  
 (lxxx) None of the related Mortgage Notes has any marks or notations indicating that they have been pledged, assigned or otherwise
conveyed to any Person other than the Issuer; 
  
 (lxxxi) The pool tape from which the selection of the Terwin Mortgage Loans being acquired on the Closing Date was made available to the accountants that are providing a comfort letter in connection with the Prospectus Supplement and with
respect to the Terwin Mortgage Loans as of the Closing Date, the information on the pool tape was complete and accurate as of its date and included a description of the same Terwin Mortgage Loans that are described on the Schedule of Mortgage Loans
and the payments due thereunder as of the Closing Date; 
  
 (lxxxii) With respect to each Terwin Mortgage Loan, the payments required of the related Mortgagor will be such that the Terwin Mortgage Loan will fully amortize over its amortization term; 
  
 (lxxxiii) [Reserved]; and 
  
 (lxxxiv) No Terwin Mortgage Loan is a “High Cost
Loan” or “Covered Loan”, as applicable, as such terms are defined in the Standard & Poor’s LEVELS® Glossary, Appendix E, in effect as of the Closing Date and no Terwin Mortgage Loan originated on 

  

 36 

 
or after October 1, 2002 through March 6, 2003 is governed by the Georgia Fair Lending Act. 
  
 With respect to the representations and warranties set forth in this Section 2.06(b) that are made to the best of Terwin
Advisors’ knowledge or as to which Terwin Advisors has no knowledge, if it is discovered by Terwin Advisors, the Servicer, the Insurer, or a Responsible Officer of the Indenture Trustee that the substance of such representation and warranty is
inaccurate and such inaccuracy materially and adversely affects the value of the related Terwin Mortgage Loan then, notwithstanding Terwin Advisors’ lack of knowledge with respect to the substance of such representation and warranty being
inaccurate at the time the representation or warranty was made, such inaccuracy shall be deemed a breach of the applicable representation or warranty. Notwithstanding the foregoing, a breach of any of the representations and warranties set forth in
clauses (ii), (xii), the second sentence of (xxv) and (lxiii) through (lxvi) of this Section 2.06(b) will be deemed to materially and adversely affect the value of the related Mortgage Loan. 
  
 (c) It is understood and agreed that the representations and warranties set
forth in this Section 2.06 shall survive delivery of the respective Mortgage Files to the Custodian pursuant to Section 2.01 and the Custodial Agreement and the termination of the rights and obligations of the Servicer pursuant to Section 5.04 or
6.02. Upon discovery by the Sponsor, a Seller, the Servicer, the Insurer, a Responsible Officer of the Indenture Trustee or a Class B Certificateholder of a breach of any of the foregoing representations and warranties, without regard to any
limitation set forth therein concerning the knowledge of the related Seller as to the facts stated therein, which materially and adversely affects the interests of the Trust or the Noteholders or the Insurer in the related Mortgage Loans, the party
discovering such breach shall give prompt written notice to the other parties, to the Class B Certificateholders and to the Insurer. Within 90 days of its discovery or its receipt of notice of such breach, the related Seller shall use all reasonable
efforts to cure such breach or shall, not later than the Business Day next preceding the Payment Date in the month following the Collection Period in which any such cure period expired (or such later date that is acceptable to the Insurer as
evidenced by its written consents), either (a) repurchase such Mortgage Loan from the Trust at the Loan Purchase Price or (b) substitute an Eligible Substitute Mortgage Loan, each in the same manner and subject to the same conditions as set forth in
Section 2.03 and the representations and warranties set forth in Section 2.04; provided, however, that the cure for any breach of a representation and warranty relating to the characteristics of the related Mortgage Loans in the
aggregate shall be a repurchase of or substitution for only such Mortgage Loans as is necessary to cause such characteristics to be in compliance with the related representation and warranty. Upon accepting such transfer and making any required
deposit into the Collection Account or substitution of an Eligible Substitute Mortgage Loans, as the case may be, the related Seller shall be entitled to receive an instrument of assignment or transfer from the Indenture Trustee, on behalf of the
Trust, to the same extent as set forth in Section 2.03 with respect to the transfer of Mortgage Loans under that Section. The Insurer shall be notified of any substitution of an Eligible Substitute Mortgage Loan. 
  
 It is understood and agreed that the obligation of each Seller to repurchase
a related Mortgage Loan as to which a breach has occurred and is continuing and deposit in the Collection Account the Loan Purchase Price or to substitute an Eligible Substitute Mortgage Loan, as the case may be, shall constitute the sole remedy
against such Seller respecting such breach available 

  

 37 

 
to Noteholders, the Indenture Trustee on behalf of Noteholders and the Insurer; provided, however, that the related Seller shall defend and
indemnify the Sponsor, the Indenture Trustee, the Insurer and the Noteholders against all reasonable costs and expenses, and all losses, damages, claims and liabilities, including reasonable fees and expenses of counsel and the amount of any
settlement entered into with the consent of such Seller (such consent not to be unreasonably withheld), which may be asserted against or incurred by any of them as a result of any third-party action arising out of any breach of any such
representation and warranty. Notwithstanding the foregoing, with regard to any breach of the representation and warranty set forth in Section 2.06(a)(xxxi) and (xxxiii) and Section 2.06(b)(xxxi) and (xxxiii), the related Seller shall pay to the
Trust the Loan Purchase Price. 
  
 Section 2.07. Covenants of
the Sponsor. The Sponsor hereby covenants that: 
  
 (a)
Security Interests. The Sponsor will not sell, pledge, assign or transfer to any other Person, or grant, create, incur, assume or suffer to exist any Lien on any Mortgage Loans, whether now existing or hereafter created, or any interest
therein; the Sponsor will notify the Indenture Trustee and the Insurer of the existence of any Lien on any Mortgage Loans immediately upon discovery thereof; and the Sponsor will defend the Trust’s right, title and interest (including the
Trust’s security interest) in, to and under the Mortgage Loans, whether now existing or hereafter created, against all claims of third parties claiming through or under the Sponsor; provided, however, that nothing in this Section
2.07(a) shall prevent or be deemed to prohibit the Sponsor from suffering to exist upon any of the Mortgage Loans any Liens for municipal or other local taxes and other governmental charges if such taxes or governmental charges shall not at the time
be due and payable or if the Sponsor shall currently be contesting the validity thereof in good faith by appropriate proceedings and shall have set aside on its books adequate reserves with respect thereto. 
  
 (b) UCC-1 Financing Statements. On the Closing Date with respect to
the Mortgage Loans and, to the extent not already included in such filing, on the applicable Transfer Date with respect to any Eligible Substitute Mortgage Loans, the Sponsor will file UCC-1 financing statements with respect to such Mortgage Loans.

  
 (c) Negative Pledge. The Sponsor hereby agrees not to
transfer, assign, exchange, pledge, finance, hypothecate, grant a security interest in or otherwise convey the Residual Certificates except in accordance with the Insurance Agreement and the Trust Agreement. 
  
 (d) Downgrading. The Sponsor will not engage in any activity which
would result in a downgrading or withdrawal of the ratings on the Notes without regard to the effect of the Policy. 
  
 (e) Amendment to Limited Liability Company Agreement. The Sponsor will not amend its Limited Liability Company Agreement without prior written
notice to the Indenture Trustee and the Rating Agencies and the prior written consent of the Insurer which consent shall not be unreasonably withheld. 
  

 38 

 (f) Principal Place of Business. The Sponsor’s principal place of business is in California,
and the Sponsor will not change its principal place of business without prior written notice to the Indenture Trustee, the Rating Agencies and the Insurer. 
  
 (g) No Notification of Mortgagors. The Sponsor hereby agrees not to notify Mortgagors of the transfer of the Mortgage Loans to the Trust unless
required by the terms of the Mortgage Loans or applicable law. 
  
 Section 2.08. [Reserved]. 
  
 Section 2.09.
Execution and Authentication of Notes. The Indenture Trustee, on behalf of the Issuer, has caused to be authenticated and delivered to or upon the order of the Sponsor, in exchange for the Collateral, concurrently with the sale, assignment
and conveyance to the Indenture Trustee of the Collateral, one class of Notes in authorized denominations. 
  
 Section 2.10. Tax Treatment. It is the intention of the Sponsor and the Residual Certificateholders that the Notes will be indebtedness of the
Issuer for federal, state and local income and franchise tax purposes and for purposes of any other tax imposed on or measured by income. The Sponsor, the Indenture Trustee and each Noteholder (or Note Owner) by acceptance of its Note (or, in the
case of a Note Owner, by virtue of such Note Owner’s acquisition of a beneficial interest therein) agrees to treat the Notes (or beneficial interest therein), for purposes of federal, state and local income or franchise taxes and any other tax
imposed on or measured by income, as indebtedness of the Issuer secured by the assets of the Trust and to report the transactions contemplated by this Agreement on all applicable tax returns in a manner consistent with such treatment. Each
Noteholder agrees that it will cause any Note Owner acquiring an interest in a Note through it to comply with this Agreement as to treatment of the Notes as indebtedness for federal, state and local income and franchise tax purposes and for purposes
of any other tax imposed on or measured by income. The Indenture Trustee will prepare and file all tax reports required hereunder consistent with this Agreement as required by or provided in Section 3.15. 
  
 ARTICLE III 
  
 ADMINISTRATION AND SERVICING 
 OF MORTGAGE LOANS 
  
 Section
3.01. The Servicer. 
  
 (a) The Servicer is hereby
authorized to act as agent for the Trust and in such capacity shall manage, service, administer and make collections on the Mortgage Loans and perform the other actions under this Agreement. The Servicer shall service and administer the Mortgage
Loans in a manner consistent with the terms of this Agreement and with general industry practice and shall have full power and authority, acting alone or through a subservicer, to do any and all things in connection with such servicing and
administration which it may deem necessary or desirable, it being understood, however, that the Servicer shall at all times remain responsible to the Trust, the Indenture Trustee, the Noteholders, the Residual Certificateholders and the Insurer for
the performance of its duties and obligations hereunder in accordance with 

  

 39 

 
the terms hereof. The Servicer hereby confirms its obligation, as Servicer, to fund future advances to the Mortgagors pursuant to the Credit Line Agreements
and hereby sells, transfers, assigns, sets over and otherwise conveys to the Sponsor the Additional Balances so created. It is the intention of the Servicer that the transfer of the Additional Balances to the Sponsor shall constitute a sale, but in
the event that the transfer is held not to be a sale, this Agreement shall constitute a grant of a security interest in the Additional Balances, and the proceeds thereof, for the benefit of the Sponsor. Any amounts received by any subservicer in
respect of a Mortgage Loan shall be deemed to have been received by the Servicer whether or not actually received by it. Without limiting the generality of the foregoing, the Servicer shall continue, and is hereby authorized and empowered by the
Trust, to execute and deliver, on behalf of the Trust, any and all instruments of satisfaction or cancellation, or of partial or full release or discharge and all other comparable instruments, with respect to the Mortgage Loans and with respect to
the Mortgaged Properties and to make deposits to and withdrawals from the Collection Account. The Indenture Trustee and the Owner Trustee shall, upon the written request of a Servicing Officer, furnish the Servicer with any powers of attorney and
other documents necessary or appropriate to enable the Servicer to carry out its servicing and administrative duties hereunder and consistent with the Indenture Trustee’s internal policies. The Servicer in such capacity may also consent to the
placing of a lien senior to that of any Mortgage on the related Mortgaged Property, provided that 
  
 (i) such Mortgage succeeded to a first lien position after the related Mortgage Loan was conveyed to the Trust and, immediately following
the placement of such senior lien, such Mortgage is in a second lien position and the outstanding principal amount of the mortgage loan secured by such subsequent senior lien is no greater than the outstanding principal amount of the senior mortgage
loan secured by the Mortgaged Property as of the date the related Mortgage Loan was originated; or 
  
 (ii) the Mortgage relating to such Mortgage Loan was in a second lien position as of the Cut-Off Date and the new senior lien secures a
mortgage loan that refinances an existing first mortgage loan and the outstanding principal amount of the replacement first mortgage loan immediately following such refinancing is not greater than the outstanding principal amount of such existing
first mortgage loan at the date of origination of such Mortgage Loan; 
  
 provided, further, that such senior lien does not secure a note that provides for negative amortization. 
  
 The Servicer may also, without prior approval from the Rating Agencies or the Insurer, increase the Credit Limits on Mortgage Loans provided that (i) new
appraisals are obtained and the Combined Loan-to-Value Ratios of the Mortgage Loans after giving effect to such increase are less than or equal to the Combined Loan-to-Value Ratios of the Mortgage Loans as of the Cut-Off Date and (ii) such increases
are consistent with the Servicer’s credit and collection policies. No material change or departure from the Servicer’s credit and collection policies with respect to any Mortgage Loans as in effect as of the Closing Date shall be permitted
without the prior written consent of the Insurer. 
  

 40 

 In addition, the Servicer may agree to changes in the terms of a Mortgage Loan at the request of the
Mortgagor; provided that (i) such changes do not materially and adversely affect the interests of Noteholders, the Residual Certificateholders or the Insurer, (ii) such changes are consistent with prudent and customary business practice for
enhancing recoveries on mortgage loans as evidenced by a certificate signed by a Servicing Officer delivered to the Indenture Trustee and the Insurer and (iii) the Rating Agencies and the Insurer are promptly notified of the changes. 
  
 In addition to the foregoing, the Servicer may solicit Mortgagors to change
any other terms of the related Mortgage Loans; provided that such changes (i) do not materially and adversely affect the interest of Noteholders or the Insurer, (ii) are consistent with prudent and customary business practice for enhancing
recoveries on mortgage loans as evidenced by a certificate signed by a Servicing Officer delivered to the Indenture Trustee and the Insurer and (iii) do not adjust the maturity date of such Mortgage Loan past the date that is six months before the
Final Scheduled Payment Date of the Notes. The Servicer shall not solicit Mortgagors with respect to new loans (including mortgage loans) that are not Mortgage Loans nor convey information concerning Mortgagors to any Person for such purpose.

  
 The relationship of the Servicer (and of any successor to the
Servicer as servicer under this Agreement) to the Trust under this Agreement is intended by the parties to be that of an independent contractor and not that of a joint venturer, partner or agent. 
  
 (b) In the event that the rights, duties and obligations of the Servicer are
terminated hereunder, any successor to the Servicer in its sole discretion may, to the extent permitted by applicable law, terminate the existing subservicer arrangements with any subservicer, without charge, or assume the terminated Servicer’s
rights under such subservicing arrangements which termination or assumption will not violate the terms of such arrangements. 
  
 Section 3.02. Collection of Certain Mortgage Loan Payments; Remittances. 
  
 (a) Servicer shall make reasonable efforts to collect all payments called for under the terms and provisions of the Mortgage
Loans, and shall, to the extent such procedures shall be consistent with this Agreement, follow such collection procedures as it follows with respect to home equity loans in its servicing portfolio comparable to the Mortgage Loans. Consistent with
the foregoing, and without limiting the generality of the foregoing, the Servicer may in its discretion (i) waive any late payment charge or any assumption fees or other fees which may be collected in the ordinary course of servicing such Mortgage
Loans and (ii) arrange with a Mortgagor a schedule for the payment of interest due and unpaid; provided that such arrangement is consistent with prudent and customary business practice for enhancing recoveries with respect to the mortgage
loans it owns or services; provided, further, that notwithstanding such arrangement such Mortgage Loans will be included in the information regarding delinquent Mortgage Loans set forth in the Servicing Certificate and monthly
statement to Noteholders pursuant to Section 4.01. 
  
 (b) The
Sponsor shall cause to be established, and the Servicer shall maintain, a Collection Account to be held by the Servicer in the name of the Trust for the benefit of the Noteholders, the Indenture Trustee and the Insurer, as their interests may
appear. Each account 

  

 41 

 
shall be an Eligible Account. With respect to each Servicer Remittance Date, the Servicer shall invest funds in the Collection Account in Eligible
Investments that shall mature not later than the related Servicer Remittance Date and such Eligible Investments shall not be sold or disposed of prior to its maturity. All income and gain realized from any investment in Eligible Investments of funds
in the Collection Account shall be for the benefit of the Servicer as compensation and the Servicer shall be permitted from time to time to withdraw such amounts from the Collection Account. The amount of any losses incurred in respect of the
principal amount of any such investments shall be deposited in the Collection Account by the Servicer out of its own funds immediately as realized. 
  
 (c) The Servicer, or the Sponsor, as the case may be, shall deposit into the Collection Account within one Business Day following receipt thereof the
following payments and collections received or made by it (without duplication): 
  
 (i) all collections on and in respect of the Mortgage Loans; 
  
 (ii) the amounts, if any, deposited to the Collection Account pursuant to Section 3.04; 
  
 (iii) Net Liquidation Proceeds; 
  
 (iv) Insurance Proceeds (including, for this purpose, any
amount required to be credited by the Servicer pursuant to the last sentence of Section 3.04 and excluding the portion thereof, if any, that has been applied to the restoration or repair of the related Mortgaged Property or released to the related
Mortgagor in accordance with the normal servicing procedures of the Servicer); 
  
 (v) any amounts required to be deposited therein pursuant to Section 7.01; 
  
 (vi) any amounts drawn under the Policy pursuant to Section 8.4(f) of the Indenture, but only to be used for
the payment of the items specified in Sections 8.7(b)(v)(A) and (vii) of the Indenture, as applicable; and 
  
 (vii) the amounts, if any, required to be deposited therein by the related Seller pursuant to Section 2.06(c) hereof; 
  
 provided, however, that with respect to each Collection Period, the Servicer
shall be permitted to retain from payments in respect of interest on the Mortgage Loans, the Servicing Fee for such Collection Period. The foregoing requirements respecting deposits to the Collection Account are exclusive, it being understood that,
without limiting the generality of the foregoing, the Servicer need not deposit in the Collection Account amounts representing Foreclosure Profits, fees (including annual fees) or late charge penalties payable by Mortgagors, or amounts received by
the Servicer for the accounts of Mortgagors for application towards the payment of taxes, insurance premiums, assessments, excess pay off amounts and similar items. The Servicer shall remit all Foreclosure Profits to the Sponsor. 
  
 (d) The Servicer shall on the Closing Date deposit into the Distribution
Account any amounts representing payments on, and any collections in respect of, the Mortgage Loans 

  

 42 

 
received after the Cut-Off Date and prior to the Closing Date (exclusive of payments in respect of interest due or accrued on or prior to the Cut-Off Date).
On each Servicer Remittance Date, the Servicer shall withdraw all funds then held in the Collection Account (other than amounts the Servicer is entitled to retain pursuant to this Section 3.02) and deposit such funds in the Distribution Account. The
Indenture Trustee shall hold such funds uninvested. The Servicer shall notify the Indenture Trustee and the Insurer in writing on each Determination Date of the amount of payments and collections in the Collection Account allocable to Interest
Collections and Principal Collections for the related Payment Date. 
  
 (e) The Servicer shall remit all payments in respect of interest due or accrued on or prior to the Cut-Off Date, if any, to Terwin Advisors immediately upon receipt of such amounts. 
  
 Section 3.03. Withdrawals from the Distribution Account. From time to
time, withdrawals may be made from the Distribution Account by the Indenture Trustee for the following purposes: 
  
 (i) If not received by the Servicer pursuant to Section 3.02(c), to the Servicer as payment for its Servicing Fee pursuant to Section
3.08; 
  
 (ii) To withdraw and retain any
earnings on or investment income with respect to funds in or credited to the Distribution Account; 
  
 (iii) To make or to permit the Indenture Trustee to make distributions and payments pursuant to Section 8.7 of the Indenture; 

 
 (iv) To pay to the Servicer any Liquidation Expenses not
reimbursed prior to the deposit of Net Liquidation Proceeds to the Distribution Account; 
  
 (v) Prior to the last day of the Collection Period preceding the month in which the commencement of the Rapid Amortization Period occurs,
to pay to the Sponsor the amount of any Additional Balances related to HELOC Mortgage Loans included in the Pool as and when created during the related Collection Period; provided, that the aggregate amount so paid to the Sponsor in respect
of Additional Balances with respect to the HELOC Mortgage Loans at any time during any Collection Period shall not exceed the amount of Principal Collections theretofore received for such Collection Period; 
  
 (vi) Upon termination of the Trust, to make any payments
required by Section 7.01; and 
  
 (vii) To pay
the Credit Risk Manager the Credit Risk Manager Fee. 
  
 Funds in
the Distribution Account will remain uninvested. 
  
 If the
Servicer deposits in the Distribution Account any amount not required to be deposited therein or any amount in respect of payments by Mortgagors made by checks subsequently returned for insufficient funds or other reason for non payment, the
Indenture Trustee shall, upon request of the Servicer, immediately withdraw such amount from the Distribution Account, and any such amounts shall not be included in the amounts to be deposited 

  

 43 

 
in the Distribution Account pursuant to Section 3.02(c), any provision herein to the contrary notwithstanding. 
  
 Section 3.04. Maintenance of Hazard Insurance; Property Protection
Expenses. The Servicer shall cause to be maintained for each Mortgage Loan hazard insurance naming the Servicer or its successors or assigns as loss payee thereunder providing extended coverage in an amount which is at least equal to the lesser
of (i) the maximum insurable value of the improvements securing such Mortgage Loan from time to time or (ii) the combined Principal Balance owing on such Mortgage Loan and any mortgage loan senior to such Mortgage Loan from time to time. The
Servicer shall also maintain on property acquired upon foreclosure, or by deed in lieu of foreclosure, hazard insurance with extended coverage in an amount which is at least equal to the lesser of (i) the maximum insurable value from time to time of
the improvements which are a part of such property or (ii) the combined Principal Balance owing on such Mortgage Loan and any mortgage loan senior to such Mortgage Loan at the time of such foreclosure or deed in lieu of foreclosure plus accrued
interest and the good-faith estimate of the Servicer of related Liquidation Expenses to be incurred in connection therewith. Amounts collected by the Servicer under any such policies shall be deposited in the Collection Account to the extent called
for by Section 3.02. In cases in which any Mortgaged Property is located in a federally designated flood area, the hazard insurance to be maintained for the related Mortgage Loan shall include flood insurance. All such flood insurance shall be in
such amounts as are required under applicable guidelines of the Federal Flood Emergency Act. The Servicer shall be under no obligation to require that any Mortgagor maintain earthquake or other additional insurance and shall be under no obligation
itself to maintain any such additional insurance on property acquired in respect of a Mortgage Loan, 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
Servicer shall obtain and maintain a blanket policy consistent with prudent industry standards insuring against hazard losses on all of the Mortgage Loans in an aggregate amount prudent under industry standards, it shall (a) conclusively be deemed
to have satisfied its obligations as set forth in the first sentence of this Section 3.04 and (b) if there shall have been a loss which would have been covered by such policy, deposit in the Collection Account without right of reimbursement, as the
case may be, the amount not otherwise payable under the blanket policy because of any deductible clause. 
  
 Section 3.05. Assumption and Modification Agreements. In any case in which a Mortgaged Property has been or is about to be conveyed by the
Mortgagor, the Servicer shall exercise its right to accelerate the maturity of such Mortgage Loan consistent with the then current practice of the Servicer and without regard to the inclusion of such Mortgage Loan in the Trust. If it elects not to
enforce its right to accelerate or if it is prevented from doing so by applicable law, the Servicer (so long as such action conforms with the underwriting standards generally acceptable in the industry at the time for new origination) is authorized
to take or enter into an assumption and modification agreement from or with the Person to whom such Mortgaged Property has been or is about to be conveyed, pursuant to which such Person becomes liable under the Credit Line Agreement and, to the
extent permitted by applicable law, the Mortgagor remains liable thereon. The Servicer shall notify the Indenture Trustee that any assumption and modification agreement has been completed by delivering to the Indenture Trustee an Officer’s
Certificate signed by a Servicing Officer certifying that such agreement is in compliance with this Section 3.05 and by forwarding to the Custodian the original copy of such 

  

 44 

 
assumption and modification agreement. Any such assumption and modification agreement shall, for all purposes, be considered a part of the related Mortgage
File to the same extent as all other documents and instruments constituting a part thereof. No change in the terms of the related Credit Line Agreement may be made by the Servicer in connection with any such assumption to the extent that such change
would not be permitted to be made in respect of the original Credit Line Agreement pursuant to the fourth paragraph of Section 3.01(a). Any fee collected by the Servicer for entering into any such agreement will be retained by the Servicer as
additional servicing compensation. 
  
 Section 3.06.
Realization Upon Defaulted Mortgage Loans; Repurchase of Certain Mortgage Loans. 
  
 (a) The Servicer shall foreclose upon or otherwise comparably convert to ownership Mortgaged Properties securing such of the Mortgage Loans as come into and continue in default when, in the opinion of the Servicer
based upon the practices and procedures referred to in the following sentence, no satisfactory arrangements can be made for collection of delinquent payments pursuant to Section 3.02; provided, that if the Servicer has knowledge or reasonably
believes that any Mortgaged Property is affected by hazardous or toxic wastes or substances and that the acquisition of such Mortgaged Property would not be commercially reasonable, then the Servicer will not cause the Trust to acquire title to such
Mortgaged Property in a foreclosure or similar proceeding. In connection with such foreclosure or other conversion, the Servicer shall follow such practices (including, in the case of any default on a related senior mortgage loan, the advancing of
funds to correct such default) and procedures as it shall deem necessary or advisable and as shall be normal and usual in its general mortgage servicing activities. The foregoing is subject to the proviso that the Servicer shall not incur any
Liquidation Expenses or otherwise expend its own funds in connection with any foreclosure or towards the correction of any default on a related senior mortgage loan or restoration of any property unless it shall determine that such expenditure will
increase Net Liquidation Proceeds. 
  
 In the event that title to
any Mortgaged Property is acquired in foreclosure or by deed in lieu of foreclosure, the deed or certificate of sale shall be issued to the Trust or its nominee. 
  
 (b) With respect to any Mortgage Loan that is 90 days or more Delinquent, the Servicer, in its sole discretion, shall have
the option to transfer the servicing of any such Mortgage Loan to a special servicer; provided that any such special servicer shall be acceptable to the Insurer, as evidenced by its prior written consent, which consent shall not be
unreasonably withheld; and provided, further, that the appointment of any such special servicer will not result in the qualification, reduction or withdrawal of the ratings assigned to the Notes by the Rating Agencies without regard to
the Policy as evidenced in writing by a letter from each Rating Agency. Upon the transfer of servicing to the special servicer, the special servicer shall thereupon assume in writing all of the rights and obligations of the Servicer hereunder
arising thereafter with respect to such Mortgage Loan, and the Servicer shall have no further rights or obligations hereunder, with respect to such Mortgage Loan. The special servicer shall be entitled to the Servicing Fee and other compensation
accruing after the servicing transfers to the special servicer with respect to such Mortgage Loans. 
  

 45 

 Section 3.07. Indenture Trustee to Cooperate. On or before each Payment Date, the Servicer will
notify the Indenture Trustee, on behalf of the Trust, of the payment in full of the Principal Balance of any Mortgage Loan during the preceding Collection Period, which notification shall be by a certification (which certification shall include a
statement to the effect that all amounts received in connection with such payment which are required to be deposited in the Collection Account pursuant to Section 3.02 have been so deposited or credited) of a Servicing Officer. Upon any such payment
in full, the Servicer is authorized to execute, pursuant to the authorization contained in Section 3.01, if the assignments of Mortgage have been recorded as required hereunder, an instrument of satisfaction regarding the related Mortgage, which
instrument of satisfaction shall be recorded by the Servicer if required by applicable law and be delivered to the Person entitled thereto. It is understood and agreed that no expenses incurred in connection with such instrument of satisfaction or
transfer shall be reimbursed from amounts deposited in the Collection Account. If the Indenture Trustee or the Custodian is holding the Mortgage Files, from time to time and as appropriate for the servicing or foreclosure of any Mortgage Loan, or in
connection with the payment in full of the Principal Balance of any Mortgage Loan, the Indenture Trustee or the Custodian, as appropriate, shall, upon request of the Servicer and delivery to the Indenture Trustee and, if applicable, the Custodian of
a Request for Release substantially in the form attached hereto as Exhibit C-1 or Exhibit C-2, as applicable, signed by a Servicing Officer, release the related Mortgage File to the Servicer and the Indenture Trustee, on behalf of the Trust, shall
execute such documents, in the forms provided by the Servicer, as shall be necessary to the prosecution of any such proceedings or the taking of other servicing actions. Such trust receipt shall obligate the Servicer to return the Mortgage File to
the Indenture Trustee or the Custodian, as appropriate, when the need therefor by the Servicer no longer exists unless the Mortgage Loan shall be liquidated, in which case, upon receipt of a certificate of a Servicing Officer similar to that
hereinabove specified, the trust receipt shall be released by the Indenture Trustee or the Custodian, as the case may be. 
  
 In order to facilitate the foreclosure of the Mortgage securing any Mortgage Loan that is in default following recordation of the Assignment of Mortgage
in accordance with the provisions hereof, the Indenture Trustee, on behalf of the Trust, shall, if so requested in writing by the Servicer, execute an appropriate assignment in the form provided to the Indenture Trustee, on behalf of the Trust, by
the Servicer to assign such Mortgage Loan for the purpose of collection to the Servicer or to the related subservicer (any such assignment shall unambiguously indicate that the assignment is for the purpose of collection only), and, upon such
assignment, the Servicer will thereupon bring all required actions in its own name and otherwise enforce the terms of the Mortgage Loan and deposit the Net Liquidation Proceeds, exclusive of Foreclosure Profits, received with respect thereto in the
Collection Account. In the event that all delinquent payments due under any such Mortgage Loan are paid by the Mortgagor and any other defaults are cured, then the Servicer shall, within two Business Days, reassign such Mortgage Loan to the
Indenture Trustee, on behalf of the Trust, and return the related Mortgage File to the place where it was being maintained. After such reassignment, the Servicer, if requested by such Residual Certificateholders and if offered suitable
indemnification and reimbursement for expenses, is authorized to seek a deficiency judgment if permitted by law against the Mortgagor under such Liquidated Mortgage Loan on behalf of the Residual Certificateholders to the extent of any losses on
liquidation of any Mortgage Loan. 
  

 46 

 Section 3.08. Servicing Compensation; Payment of Certain Expenses by Servicer. The Servicer shall
be entitled to receive the Servicing Fee pursuant to Section 3.03 as compensation for its services in connection with servicing the Mortgage Loans. Moreover, additional servicing compensation in the form of income and gain from any investment of
funds in the Collection Account, late payment charges or other receipts not required to be deposited in the Collection Account (other than Foreclosure Profits) shall be retained by the Servicer. The Servicer shall be required to pay all expenses
incurred by it in connection with its activities hereunder (including payment of all other fees and expenses not expressly stated hereunder to be for the account of the Noteholders and the Residual Certificateholders) and shall not be entitled to
reimbursement therefor except as specifically provided herein. Liquidation Expenses are reimbursable to the Servicer solely from related Liquidation Proceeds of the related Mortgage Loan. 
  
 Section 3.09. Annual Statement as to Compliance. 
  
 (a) The Servicer will deliver to the Indenture Trustee, the Insurer, the Residual Certificateholders and the Rating
Agencies, on or before March 15 of each year, beginning March 15, 2005, an Officer’s Certificate stating that (i) a review of the activities of the Servicer during the preceding fiscal year (or such shorter period as is applicable in the case
of the first report) and of its performance under this Agreement has been made under such officer’s supervision and (ii) to the best of such officer’s knowledge, based on such review, the Servicer has fulfilled all of its material
obligations under this Agreement throughout such fiscal year, or, if there has been a default in the fulfillment of any such obligation, specifying each such default known to such officer and the nature and status thereof. 
  
 (b) The Servicer shall deliver to the Indenture Trustee, the Insurer, the
Residual Certificateholders and each of the Rating Agencies, promptly after having obtained knowledge thereof, but in no event later than five Business Days thereafter, written notice by means of an Officer’s Certificate of any event which with
the giving of notice or the lapse of time or both, would become an Event of Servicing Termination. 
  
 Section 3.10. Annual Servicing Report. On or before March 15 of each year, beginning March 15, 2005, the Servicer, at its expense, shall cause a
firm of nationally recognized independent public accountants (who may also render other services to the Servicer) to furnish a report to the Indenture Trustee, the Insurer, the Residual Certificateholders and each Rating Agency to the effect that
such firm has examined certain documents and records relating to the servicing of mortgage loans during the most recent fiscal year then ended under pooling and servicing agreements (substantially similar to this Agreement, including this
Agreement), that such examination was conducted substantially in compliance with the audit guide for audits of non-supervised mortgagees approved by the Department of Housing and Urban Development for use by independent public accountants (to the
extent that the procedures in such audit guide are applicable to the servicing obligations set forth in such agreements) and that such examination has disclosed no items of noncompliance with the provisions of this Agreement which, in the opinion of
such firm, are material, except for such items of noncompliance as shall be set forth in such report. 
  

 47 

 Section 3.11. Annual Opinion of Counsel. On or before January 31 of each year, beginning January
31, 2005, the Sponsor, at its expense, shall deliver to the Indenture Trustee, the Residual Certificateholders and the Insurer the applicable Opinion of Counsel specified in Exhibit B hereto. 
  
 Section 3.12. Access to Certain Documentation and Information Regarding
the Mortgage Loans. 
  
 (a) The Servicer shall provide to the
Indenture Trustee, the Insurer, any Noteholders that are federally insured savings and loan associations, the Office of Thrift Supervision, successor to the Federal Home Loan Bank Board, the FDIC and the supervisory agents and examiners of the
Office of Thrift Supervision access to the documentation regarding the Mortgage Loans required by applicable regulations of the Office of Thrift Supervision and the FDIC (acting as operator of the SAIF or the BIF), such access being afforded without
charge but only upon reasonable request and during normal business hours at the offices of the Servicer. Nothing in this Section 3.12 shall derogate from 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 3.12 as a result of such obligation shall not constitute a breach of this Section 3.12. 
  
 (b) The Servicer shall supply the Servicing Certificate and such other
information in such form as the Indenture Trustee shall reasonably request to the Indenture Trustee and the Note Paying Agent, on or before the start of the Determination Date preceding the related Payment Date, as is required in the Indenture
Trustee’s reasonable judgment to enable the Note Paying Agent or the Indenture Trustee, as the case may be, to make required distributions and to furnish the required reports to the Noteholders and the Class B Certificateholders and to make any
claim under the Policy. 
  
 (c) The Servicer shall provide to the
Class B Certificateholders access to all documentation relating to the Mortgage Loans within the Servicer’s possession upon reasonable request and during normal business hours at the offices of the Servicer. 
  
 Section 3.13. Maintenance of Certain Servicing Insurance Policies. The
Servicer shall maintain, at its own expense, a blanket fidelity bond (the “Fidelity Bond”) and an errors and omissions insurance policy, with broad coverage with financially responsible companies on all officers, employees, or other
persons acting in any capacity with regard to the Mortgage Loans to handle funds, money, documents and papers relating to the Mortgage Loans. The Fidelity Bond and errors and omissions insurance policy shall be in the form of the Mortgage
Banker’s Blanket Bond and shall protect and insure the Servicer against losses, including forgery, theft, embezzlement, fraud, errors and omissions and negligent acts of such persons. Such Fidelity Bond shall also protect and insure the
Servicer against losses in connection with the failure to maintain any insurance policies required pursuant to this Agreement and the release or satisfaction of a Mortgage Loan without having obtained payment in full of the indebtedness secured
thereby. No provision of this Section 3.13 requiring the Fidelity Bond and errors and omissions insurance policy shall diminish or relieve the Servicer from its duties and obligations as set forth in this Agreement. The minimum coverage under any
such bond and insurance policy shall be at least equal to the corresponding amounts required by the Federal Home Loan 

  

 48 

 
Mortgage Corporation in the Federal Home Loan Mortgage Corporation’s Seller/Servicer’s Guide. Upon request of the Indenture Trustee or the Insurer,
the Servicer shall cause to be delivered to the Indenture Trustee or the Insurer a certified true copy of the Fidelity Bond and errors and omissions insurance policy and a statement from the surety and the insurer that such Fidelity Bond and errors
and omissions insurance policy shall in no event be terminated or materially modified without thirty days’ prior written notice to the Indenture Trustee and the Insurer. 
  
 Section 3.14. Reports to the SEC. Within 15 days after each Payment Date, the Indenture Trustee shall, on behalf of
the Trust and in accordance with industry standards, file with the SEC via the Electronic Data Gathering and Retrieval System (EDGAR), a Form 8-K with a copy of the report of the Noteholders for such Payment Date as an exhibit thereto. Prior to
March 15, 2005 (and, if applicable, prior to March 15 of each year), the Indenture Trustee shall, on behalf of the Trust and in accordance with industry standards, file with the SEC via EDGAR a Form 10-K with respect to the Trust. In addition, the
Sponsor will cause its senior officer in charge of securitization to execute the certification (the “Form 10-K Certification”) required pursuant to Rile 13a-14 under the Securities and Exchange Act of 1934, as amended, and file the same
with the SEC prior to March 15, 2005 (and if applicable, prior to March 15 of each year). To the extent any information or exhibits required to be included in the Form 10-K are not available by March 15, the Indenture Trustee shall, on behalf of the
Trust, file one or more amended Form 10-K’s to include such missing information or exhibits promptly after receipt thereof by the Indenture Trustee. Promptly following the first day legally permissible under applicable regulations and
interpretations of the SEC, the Indenture Trustee shall, on behalf of the Trust an in accordance with industry standards, file with the SEC via EDGAR a Form 15 Suspension Notification with respect to the Trust, if applicable. Each of the Servicer,
the Sponsor and the Indenture Trustee agree to furnish to the Indenture 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 the Indenture Trustee reasonably deems appropriate to prepare and file all necessary reports with the SEC. The Indenture Trustee shall have no responsibility to file any items other than those specified in this section. 
  
 Section 3.15. Tax Returns. The Indenture Trustee shall prepare and
file any federal, state or local income and franchise tax return for the Trust as well as any other applicable return and apply for a taxpayer identification number on behalf of the Trust as provided in Article VI of the Trust Agreement, including,
without limitation, forms 1099 and 1065. The Issuer shall treat the Mortgage Loans as its property for all federal, state or local tax purposes and shall report all income earned thereon (including amounts payable as fees to the Servicer) as its
income for income tax purposes. The Indenture Trustee shall prepare and file or shall cause to be prepared and filed any tax returns required to be filed by the Trust; the Issuer shall promptly sign such returns and deliver such returns back to the
Indenture Trustee after signature and such returns shall be filed by the Indenture Trustee. The Indenture Trustee shall also prepare or shall cause to be prepared all tax information required by law to be distributed to Noteholders. In no event
shall the Indenture Trustee be liable for any liabilities, costs or expenses of the Trust, the Noteholders, the Residual Certificateholders or the Note Owners arising under any tax law, including, without limitation, federal, state or local income
and franchise or excise taxes or any other tax imposed on or measured by income (or any interest or penalty with respect thereto or arising from a failure to comply therewith), except for such liabilities, costs or expenses of the 

  

 49 

 
Trust resulting from (i) the Indenture Trustee’s failure to file such tax returns or (ii) an incorrect tax return prepared by the Indenture Trustee.

  
 Section 3.16. Information Required by the Internal Revenue
Service Generally and Reports of Foreclosures and Abandonments of Mortgaged Property. The Servicer shall prepare and deliver all federal and state information reports when and as required by all applicable state and federal income tax laws. In
particular, with respect to the requirement under Section 6050J of the Code to the effect that the Servicer shall make reports of foreclosures and abandonments of any mortgaged property for each year beginning in 2004, the Servicer shall file
reports relating to each instance occurring during the previous calendar year in which the Servicer (i) on behalf of the Trust acquires an interest in any Mortgaged Property through foreclosure or other comparable conversion in full or partial
satisfaction of a Mortgage Loan, or (ii) knows or has reason to know that any Mortgaged Property has been abandoned. The reports from the Servicer shall be in form and substance sufficient to meet the reporting requirements imposed by Section 6050J.

  
 Section 3.17. Reporting Requirements. For each Mortgage
Loan, the Servicer will accurately and fully report its borrower credit files to each of Equifax Credit Information Services, Inc., TransUnion, LLC and Experion Information Solution, Inc. (or their successors) in a timely manner on a monthly basis.

  
 Section 3.18. Matters Relating to MERS Loans.

  
 (a) The Servicer further is authorized and empowered by the
Trust and the Indenture Trustee and the Insurer, on behalf of the Noteholders, the Insurer and the Indenture Trustee, in its own name or in the name of the subservicer, when the Servicer believes it 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 Trust, the Indenture Trustee, the Insurer and the Noteholders 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 Trust and its successors and assigns. 
  
 (b) In connection with the sale and assignment of any MERS Mortgage Loan by
the Sponsor to the Issuer, the Sponsor agrees that it will cause, at the Sponsor’s expense, the MERS System to indicate that such Mortgage Loans have been assigned by the Sponsor to the Indenture Trustee in accordance with the Indenture for the
benefit of the Issuer Secured Parties by including (or deleting, in the case of Mortgage Loans which are repurchased in accordance with this Agreement) in such computer files the information required by the MERS System to identify the series of the
Notes issued in connection with such Mortgage Loans. The Sponsor further agrees that it will not, and will not permit a Seller or the Servicer to, and each Seller and the Servicer agree that they will not, alter the information referenced in this
paragraph with respect to any Mortgage Loan during the term of this Agreement unless and until such Mortgage Loan is repurchased in accordance with the terms of this Agreement. If at any time pursuant to Section 2.03 or Section 2.06 a Seller
repurchases a Mortgage Loan that is a MERS Mortgage Loan, the Servicer shall either (i) cause MERS to execute and deliver an assignment of the Mortgage in recordable form to transfer the Mortgage from MERS to the related Seller and shall cause such

  

 50 

 
Mortgage to be removed from registration on the MERS System in accordance with MERS’ rules and regulations or (ii) cause MERS to designate on the MERS
System the related Seller (or any party indicated by such Seller) as the beneficial holder of such Mortgage Loan. 
  
 (c) In connection with the termination or resignation of the Servicer hereunder, either (i) the successor Servicer, including the Indenture Trustee if the
Indenture Trustee is acting as successor Servicer, shall represent and warrant that it is a member of MERS in good standing and shall agree to comply in all material respects with the rules and procedures of MERS in connection with the servicing of
the Mortgage Loans that are registered with MERS, or (ii) the predecessor Servicer shall cooperate with the successor Servicer either (x) in causing MERS to execute and deliver an assignment of Mortgage in recordable form to transfer the Mortgage
from MERS to the Trust and to execute and deliver such other notices, documents and other instruments as may be necessary or desirable to effect a transfer of such Mortgage Loan or servicing of such Mortgage Loan on the MERS System to the successor
Servicer or (y) in causing MERS to designate on the MERS System the successor Servicer as the servicer of such Mortgage Loan. 
  
 Section 3.19. Additional Balance Payments. On the Closing Date and on the next Business Day following each other day on which any Additional
Balances relating to the Mortgage Loans are funded by the Servicer, on the terms and subject to the conditions of this Agreement, the Sponsor shall pay to the Servicer the applicable Purchase Price for such Additional Balances by (i) making or
causing to be made a cash payment to the Servicer or its designee in such amount determined by the Sponsor, (ii) crediting the Servicer with an additional capital contribution to the Sponsor, (iii) automatically increasing the principal amount
outstanding under the Sponsor Promissory Note by the amount of the excess of the Purchase Price to be paid to the Servicer for such purchased assets over the amount of any cash payment made on such day to the Servicer and/or any capital contribution
made by the Servicer to the Sponsor, subject to a cap on such note at any time equal to $30 million or (iv) any combination of the foregoing. 
  
 Section 3.20. Sponsor Promissory Note. 
  
 (a) On the Closing Date, the Sponsor shall deliver to the Servicer a promissory note, substantially in the form of Exhibit E, payable to the order
of the Servicer (such promissory note, as the same has been or hereafter may be amended, supplemented, endorsed or otherwise modified from time to time, together with any promissory note issued from time to time in substitution therefor or renewal
thereof in accordance with this Agreement, being herein called the “Sponsor Promissory Note”), which Sponsor Promissory Note shall, in accordance with its terms, be subordinated to all interests of the Trust, all claims to the cash
flows from Trust assets and all obligations of the Sponsor, of any nature, now or hereafter arising under or in connection with the Sale and Servicing Agreement. The Sponsor Promissory Note shall evidence all amounts incurred thereunder subsequent
to the Closing Date as provided in this Agreement. Subject to the foregoing, the Sponsor Promissory Note shall be payable in full on the date which is one year and one day after the Termination Date. The Sponsor Promissory Note shall bear interest
at the Note Rate for the related Payment Date. The Sponsor may prepay all or part of the outstanding balance of the Sponsor Promissory Note and interest accrued thereon from time to 

  

 51 

 
time without any premium or penalty, unless an event of default has occurred and is continuing or would result from such prepayment or payment. 

 
 (b) The Servicer shall hold the Sponsor Promissory Note for the benefit of
the Servicer, and shall make all appropriate recordkeeping entries with respect to the Sponsor Promissory Note or otherwise to reflect the payments on and adjustments of the Sponsor Promissory Note. The Servicer’s books and records shall
constitute rebuttable presumptive evidence of the principal amount of and accrued interest on the Sponsor Promissory Note at any time. The Servicer hereby irrevocably authorizes the Servicer to mark the Sponsor Promissory Note “CANCELLED”
and to return the Sponsor Promissory Note to the Sponsor upon the full and final payment thereof after the Termination Date. 
  
 The Servicer hereby agrees not to transfer, assign, exchange or otherwise convey or pledge, hypothecate or otherwise grant a security interest in the
Sponsor Promissory Note or any interest represented thereby, and any attempt to transfer, assign, exchange, convey, pledge, hypothecate or grant a security interest in the Sponsor Promissory Note or any interest represented thereby shall be void and
of no effect. 
  
 Section 3.21. Duties and Removal of the
Credit Risk Manager. The Credit Risk Manager will act as the Trust’s representative in advising the Servicer concerning certain delinquent and defaulted Mortgage Loans, and as to the collection of any prepayment premiums with respect to the
Mortgage Loans, and will provide certain reports to the Sponsor and Terwin Advisors concerning the Mortgage Loans. Such reports and recommendations will be based upon information provided to the Credit Risk Manager pursuant to the Credit Risk
Management Agreement. The Credit Risk Manager shall look solely to the Servicer for all information and data (including loss and delinquency information and data) relating to the servicing of the Mortgage Loans. Upon any termination of the Credit
Risk Manager or the appointment of a successor credit risk manager, the Indenture Trustee, if it has been notified in writing of such termination or appointment, shall give written notice thereof to the Servicers, the Trustee and the Sponsor.

  
 If Holders of the Notes representing at least 66 2/3% of the
outstanding principal balance of the Notes request in writing to the Indenture Trustee to terminate the Credit Risk Manager under this Agreement, the Credit Risk Manager shall be removed pursuant to this Section 3.21. Upon receipt of such notice,
the Indenture Trustee shall provide written notice to the Credit Risk Manager of its removal, which shall be effective upon receipt of such notice by the Credit Risk Manager. 
  
 ARTICLE IV 
  
 SERVICING CERTIFICATE 
  
 Section 4.01. Servicing Certificate. Not later than seven (7) Business Days prior to the Payment Date, the Servicer shall deliver to the Indenture
Trustee, a Servicing Certificate (in written form or the form of computer readable media or such other form as may be agreed to by 

  

 52 

 
the Indenture Trustee and the Servicer), together with an Officer’s Certificate to the effect that such Servicing Certificate is true and correct in all
material respects, stating the related Collection Period, Payment Date, the series number of the Notes, the date of this Agreement, and: 
  
 (i) the aggregate amount of collections received on the Mortgage Loans on or prior to the Determination Date in respect of such Collection
Period; 
  
 (ii) the aggregate amount of (a)
Interest Collections and (b) Principal Collections for such Collection Period; 
  
 (iii) the Principal Collections for such Payment Date, separately stating the components thereof; 
  
 (iv) any accrued and unpaid Servicing Fees for previous
Collection Periods and the Servicing Fee for such Collection Period; 
  
 (v) the Pool Balance as of the end of the preceding Collection Period and as of the end of the second preceding Collection Period; 
  
 (vi) the aggregate amount of Additional Balances created during the previous Collection Period; 

 
 (vii) the number and aggregate Principal Balances of
Mortgage Loans (A) as to which the Minimum Monthly Payment is delinquent for 30-59 days, 60-89 days, 90-119 days, 120-149 days, 150-179 days and 180 or more days respectively and (B) that have become REO, in each case as of the end of the preceding
Collection Period; (C) as to which foreclosure proceedings have been commenced, and (D) in bankruptcy and delinquent as of the close of business on the last day of the calendar month preceding such Distribution Date; 
  
 (viii) the book value of any real estate which is acquired
by the Trust through foreclosure or grant of deed in lieu of foreclosure; 
  
 (ix) the amount of any servicing advances made by the Servicer during the related Collection Period; 
  
 (x) the amount, if any, of interest shortfalls relating to prepayments during the related Collection Period; 
  
 (xi) the amount, if any, of any Relief Act Shortfalls
incurred during the related Collection Period; 
  
 (xii) the amount to be paid to the Servicer pursuant to Section 8.7(b)(xi) of the Indenture; and 
  
 (xiii) the number and Principal Balances of any Mortgage Loans purchased by the Sellers from the Trust pursuant to Section 2.06;

  

 53 

 The Indenture Trustee shall conclusively rely upon the information contained in a Servicing Certificate
for purposes of making distributions pursuant to Section 8.7 of the Indenture and in preparing the statements required by Section 8.8 of the Indenture, shall have no duty to inquire into such information and shall have no liability in so relying.
The format and content of the Servicing Certificate may be modified by the mutual agreement of the Servicer, the Indenture Trustee and the Insurer. The Servicer shall give notice of any such change to the Rating Agencies. 
  
 Section 4.02. Reserved. 
  
 Section 4.03. Reserved. 
  
 Section 4.04. Loan Data Remittance Report. On the seventh Business Day
before each Payment Date (the “Loan Data Remittance Date”) by noon Eastern Standard time, the Servicer shall furnish a report (the “Loan Data Remittance Report”) in the form attached as Exhibit F to this Agreement
to the Insurer, the Residual Certificateholders and the Indenture Trustee by electronic medium as agreed to by the Servicer, the Indenture Trustee and the Insurer. 
  
 ARTICLE V 
  
 THE SERVICER AND THE SPONSOR 
  
 Section 5.01. Liability of the Servicer and the Sponsor. The Servicer shall be liable in accordance herewith only to the extent of the obligations
specifically imposed upon and undertaken by the Servicer herein. The Sponsor shall be liable in accordance herewith only to the extent of the obligations specifically imposed upon and undertaken by the Sponsor. 
  
 Section 5.02. Merger or Consolidation of, or Assumption of the Obligations
of, the Servicer or the Sponsor. Any corporation into which the Servicer may be merged or consolidated, or any corporation 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.

  
 Section 5.03. Limitation on Liability of the Servicer and
Others. Neither the Servicer nor any of the directors or officers or employees or agents of the Servicer shall be under any liability to the Trust or the Noteholders or Residual Certificateholders for any action taken or for refraining from the
taking of any action by the Servicer 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
and warranties made herein, or against any specific liability imposed on the Servicer for a breach of its servicing under this Agreement or against liability which would otherwise be imposed by reason of willful misfeasance, bad faith or negligence
in the performance of duties of the Servicer or by reason of reckless disregard of obligations and duties of the Servicer hereunder. The Servicer and any director or officer or employee or agent of 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 

  

 54 

 
arising hereunder. The Servicer and any director or officer or employee or agent of the Servicer shall be indemnified by the Trust, in accordance with the
priorities set forth in Section 8.7(b) of the Indenture and held harmless against any loss, liability or expense incurred in connection with any legal action relating to this Agreement or the Notes, other than any loss, liability or expense related
to any specific Mortgage Loan (except as any such loss, liability or expense shall be otherwise reimbursable pursuant to this Agreement) and any loss, liability or expense incurred by reason of its willful misfeasance, bad faith or negligence,
breach of representations and warranties made herein, or against any specific liability imposed on the Servicer for a breach of its servicing under this Agreement or against in the performance of duties hereunder or by reason of its reckless
disregard of obligations and duties hereunder. The Servicer shall not be under any obligation to appear in, prosecute or defend any legal action which is not incidental to duties to service the Mortgage Loans in accordance with this Agreement, and
which in its opinion may involve it in any expense or liability; provided, however, that the Servicer may in its sole discretion undertake any such action which 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 Noteholders and Residual Certificateholders hereunder. In such event, the reasonable legal expenses and costs of such action and any liability resulting therefrom shall be expenses,
costs and liabilities of the Trust and the Servicer shall only be entitled to be reimbursed therefor pursuant to Section 8.7(b)(xi) of the Indenture. The Servicer’s right to indemnity or reimbursement pursuant to this Section 5.03 shall survive
any resignation or termination of the Servicer pursuant to Section 5.04 or 6.01 with respect to any losses, expenses, costs or liabilities arising prior to such resignation or termination (or arising from events that occurred prior to such
resignation or termination). 
  
 Section 5.04. Servicer Not to
Resign. Subject to the provisions of Section 5.02, the Servicer shall not resign from the obligations and duties hereby imposed on it except (i) upon determination that the performance of its obligations or duties hereunder are no longer
permissible under applicable law or are in material conflict by reason of applicable law with any other activities carried on by it or its subsidiaries or Affiliates, the other activities of the Servicer so causing such a conflict being of a type
and nature carried on by the Servicer or its subsidiaries or Affiliates at the date of this Agreement or (ii) upon satisfaction of the following conditions: (a) the Servicer has proposed a successor servicer to the Indenture Trustee and the Insurer
in writing and such proposed successor servicer is reasonably acceptable to the Indenture Trustee; (b) each Rating Agency shall have delivered a letter to the Indenture Trustee and the Insurer prior to the appointment of the successor servicer
stating that the proposed appointment of such successor servicer as Servicer hereunder will not result in the qualification, reduction or withdrawal of the then current rating of the Notes without regard to the Policy; and (c) such proposed
successor servicer is reasonably acceptable to the Insurer, as evidenced by a letter from the Insurer to the Indenture Trustee; provided, however, that no such resignation by the Servicer shall become effective until the Indenture
Trustee or successor servicer designated by the Servicer as provided above shall have assumed the Servicer’s responsibilities and obligations hereunder or the Indenture Trustee shall have designated a successor servicer in accordance with
Section 6.02. Any such resignation shall not relieve the Servicer of responsibility for any of the obligations specified in Sections 6.01 and 6.02 as obligations that survive the resignation or termination of the Servicer. Any such determination
permitting the resignation of the Servicer pursuant to clause (i) above shall be evidenced by an Opinion of Counsel to such effect delivered to the Indenture Trustee and the Insurer. The Servicer shall have no claim (whether by 

  

 55 

 
subrogation or otherwise) or other action against any Noteholder or Residual Certificateholder for any amounts paid by the Servicer pursuant to any provision
of this Agreement. 
  
 Section 5.05. Delegation of Duties.
In the ordinary course of business, the Servicer at any time may delegate any of its duties hereunder to any Person, including any of its Affiliates, or any subservicer referred to in Section 3.01, who agrees to conduct such duties in accordance
with standards comparable to those with which the Servicer complies pursuant to Section 3.01. Such delegation shall not relieve the Servicer of its liabilities and responsibilities with respect to such duties and shall not constitute a resignation
within the meaning of Section 5.04. The Servicer’s delegation of any of its duties hereunder to any subservicer shall be subject to the prior approval of the Insurer. The Servicer shall terminate its delegation of any of its duties hereunder to
any subservicer at the Insurer’s reasonable request. 
  
 Section 5.06. Indemnification of the Trust by the Servicer. The Servicer shall indemnify and hold harmless the Trust, the Owner Trustee and the Indenture Trustee from and against any loss, liability, expense, damage or injury
suffered or sustained by reason of the Servicer’s activities or omissions in servicing or administering the Mortgage Loans that are not in accordance with this Agreement or breach of representations and warranties made herein, including, but
not limited to, any judgment, award, settlement, reasonable attorneys’ fees and expenses and other costs or expenses incurred in connection with the defense of any actual or threatened action, proceeding or claim. The Servicer shall pay the
expenses and provide the protections and indemnities to the Indenture Trustee provided for in Section 6.7 of the Indenture, it being intended that, wherever in such Section 6.7 reference is made “to the extent provided in the Sale and Servicing
Agreement,” this Agreement so provides. Any such indemnification, including any amounts the Servicer is required to pay pursuant to Section 6.7 of the Indenture, shall not be payable from the assets of the Trust. The provisions of this
indemnity shall run directly to and be enforceable by an injured party subject to the limitations hereof. The provisions of this Section 5.06 shall survive termination of this Agreement. 
  
 Section 5.07. Indemnification of the Trust by the Sponsor. Notwithstanding anything to the contrary contained herein,
the Sponsor (i) agrees to be liable directly to the injured party for the entire amount of any losses, claims, damages, liabilities and expenses of the Trust (other than those attributable to a Noteholder as a result of defaults on the Mortgage
Loans) to the extent that the Sponsor would be liable if the Trust were a partnership under the Delaware Revised Uniform Limited Partnership Act in which the Sponsor was a general partner and (ii) shall indemnify and hold harmless the Trust, the
Owner Trustee and the Indenture Trustee from and against any loss, liability, expense, damage, claim or injury (other than those attributable to a Noteholder as a result of defaults on the Mortgage Loans) arising out of or based on this Agreement by
reason of any acts, omissions, or alleged acts or omissions arising out of activities of the Trust, the Owner Trustee or the Indenture Trustee, or the actions of the Servicer, including, but not limited to, amounts payable to the Servicer pursuant
to Section 5.03, any judgment, award, settlement, reasonable attorneys’ fees and expenses and other costs or expenses incurred in connection with the defense of any actual or threatened action, proceeding or claim; provided that the
Sponsor shall not indemnify the Owner Trustee or the Indenture Trustee (but shall indemnify any other injured party) if such loss, liability, expense, damage or injury is due to the Owner Trustee’s or the Indenture Trustee’s, respectively,
willful misconduct, bad faith or negligence, material breach of representations and warranties made herein, or against any 

  

 56 

 
specific liability imposed on the Owner Trustee or Indenture Trustee for a breach of its obligations hereunder. The provisions of this indemnity shall run
directly to and be enforceable by an injured party subject to the limitations hereof. 
  
 Section 5.08. Limitation on Liability of the Sponsor. None of the directors or officers or employees or agents of the Sponsor shall be under any liability to the Trust, the Owner Trustee or the Indenture
Trustee, the Noteholders or the Residual Certificateholders, it being expressly understood that all such liability is expressly waived and released as a condition of, and as consideration for, the execution of this Agreement and the issuance of the
Notes; provided, however, that this provision shall not protect any such Person against any liability which would otherwise be imposed by reason of willful misfeasance, bad faith, negligence or breach of representations and warranties
made herein, or against any specific liability imposed on such Person in the performance of the duties hereunder. Except as provided in Section 5.07, the Sponsor shall not be under any liability to the Trust, the Owner Trustee or the Indenture
Trustee or the Noteholders or the Residual Certificateholders for any action taken or for refraining from the taking of any action in its capacity as Sponsor pursuant to this Agreement whether arising from express or implied duties under this
Agreement; provided, however, that this provision shall not protect the Sponsor against any liability which would otherwise be imposed by reason of willful misconduct, bad faith or negligence in the performance of its duties or by
reason of reckless disregard of its obligations and duties hereunder. The Sponsor and any director or officer or employee or agent of the Sponsor 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. 
  
 Section 5.09. Limitation on Liability of the Credit Risk Manager. Neither the Credit Risk Manager, nor any of its directors, officers, employees, or agents shall be under any liability hereunder to the Indenture Trustee, the
Noteholders, or the Sponsor for any action taken or for refraining from the taking of any action made in good faith pursuant to this Agreement or the Credit Risk Management Agreement, in reliance upon information provided by the Servicer under the
Credit Risk Management Agreement, or for errors in judgment; provided, however, that this provision shall not protect the Credit Risk Manager or any such person against liability that would otherwise be imposed by reason of willful malfeasance,
gross negligence or bad faith in its performance of its duties or by reason of reckless disregard for its obligations and duties under this Agreement or the Credit Risk Management Agreement. The Credit Risk Manager and any director, officer,
employee, or agent of the Credit Risk Manager 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, and may rely in good faith upon the accuracy of
information furnished by the Servicer pursuant to the Credit Risk Management Agreement in the performance of its duties thereunder and hereunder. 
  

 57 

 ARTICLE VI 
  
 SERVICING TERMINATION 
  
 Section 6.01. Events of Servicing Termination. If any one of the following events (“Events of Servicing Termination”) shall occur
and be continuing: 
  
 (i) Any failure by the
Servicer to deposit in the Collection Account or Distribution Account any deposit required to be made under the terms of this Agreement which continues unremedied for a period of one Business Day after the date upon which written notice of such
failure shall have been given to the Servicer by the Indenture Trustee or to the Servicer and the Indenture Trustee by the Insurer or Holders of Notes evidencing more than 25% of the Principal Balance of the Notes; or 
  
 (ii) Failure on the part of the Servicer or the Sponsor duly
to observe or perform any covenants or agreements of the Servicer or Sponsor set forth in the Notes or in this Agreement, which failure continues unremedied for a period of thirty (30) days after the date on which written notice of such failure,
requiring the same to be remedied, and stating that such notice is a “Notice of Default” hereunder, shall have been given to the Servicer by the Indenture Trustee or to the Servicer and the Indenture Trustee by the Insurer or the Holders
of Notes evidencing more than 25% of the Principal Balance of the Notes; provided, that a failure on the part of GreenPoint to perform its obligations under Section 2.03 or 2.06 hereof shall not be subject to the five day cure period;

  
 (iii) The entry against the Servicer of a
decree or order by a court or agency or supervisory authority having jurisdiction in the premises for the appointment of a trustee, conservator, receiver or liquidator in any insolvency, conservatorship, receivership, readjustment of debt,
marshalling of assets and liabilities or similar proceedings, or for the winding up or liquidation of its affairs, and the continuance of any such decree or order unstayed and in effect for a period of 60 consecutive days; 
  
 (iv) The consent by the Servicer to the appointment of a
trustee, conservator, receiver or liquidator in any insolvency, conservatorship, receivership, readjustment of debt, marshalling of assets and liabilities or similar proceedings of or relating to the Servicer or of or relating to substantially all
of its property; or the Servicer shall admit in writing its inability to pay its debts generally as they become due, file a petition to take advantage of any applicable insolvency or reorganization statute, make an assignment for the benefit of its
creditors, or voluntarily suspend payment of its obligations; 
  
 (v) The entry against the Sponsor of a decree or order by a court or agency or supervisory authority having jurisdiction in the premises for the appointment of a trustee, conservator, receiver or liquidator in any
insolvency, conservatorship, receivership, readjustment of debt, marshalling of assets and liabilities or similar proceedings, or for the winding up or liquidation of its affairs, and the continuance of any such decree or order unstayed and in
effect for a period of 60 consecutive days; 
  
 (vi) The consent by the Sponsor to the appointment of a trustee, conservator, receiver or liquidator in any insolvency, conservatorship, receivership, readjustment of debt, marshalling of assets and liabilities or similar proceedings of or
relating to the Sponsor or of or relating to substantially all of its property; or the Sponsor shall admit in writing its inability to pay its debts generally as they become due, file a petition to take advantage of any applicable insolvency or
reorganization statute, make an 

  

 58 

 
assignment for the benefit of its creditors, or voluntarily suspend payment of its obligations; 
  
 (vii) The Three Month Rolling Delinquency Rate exceeds
5.25%; 
  
 (viii) Cumulative Realized Losses
exceed the following percentage of the Initial Pool Balance on any Payment Date as set forth below: 
  

				
	 Payment Date

	  	 Cumulative Realized
 Loss Percentage

	 
	 1st
through 12th
	  	1.50	%
	 13th
through 24th
	  	2.75	%
	 25th
through 36th
	  	4.00	%
	 37st
through 48th
	  	5.00	%
	 49th and
thereafter
	  	6.00	%

  
 (ix)
GreenPoint Bank fails to maintain the capital standards established for “well capitalized” institutions under the prompt corrective action regulations issued pursuant to the Federal Deposit Insurance Corporation Improvement Act of 1991, as
amended; 
  
 (x) GreenPoint Bank, GreenPoint
Financial Corp. or its affiliates fail to pay any principal amount of at least $1,000,000 when due, subject to the applicable grace period, if any, specified in the agreement or other instrument relating to such debt and shall continue after the
applicable grace period if the effect of such event is to accelerate the maturity and repayment of such debt before the stated maturity thereof; 
  
 (xi) GreenPoint Bank shall no longer own 100% of the Servicer either directly or indirectly; 
  
 (xii) GreenPoint Bank shall sell the servicing platform of
the Servicer to a Person not affiliated with GreenPoint Bank who is not acceptable to the Insurer; 
  
 (xiii) A subservicer is contracted to service loans in securitizations sponsored by the Sponsor and insured by the Insurer and such
subservicer is not acceptable to the Insurer; 
  
 (xiv) Any failure by the Servicer to obtain the prior written consent of the Insurer prior to the merger or consolidation of the Servicer with, or the acquisition of the Servicer by, any entity that is not 100% owned, directly or
indirectly, by GreenPoint Financial Corp. (other than as a result of the merger with North Fork Bancorporation); 
  
 (xv) Any governmental authority, including the Federal Deposit Insurance Corporation or any other governmental authority with regulatory
powers over the GreenPoint Bank, GreenPoint Financial Corp. or its affiliates, shall take any mandatory or discretionary supervisory action against the GreenPoint Bank, GreenPoint Financial Corp. or its affiliates, including, without limitation, by
cease and desist order, 

  

 59 

 
memorandum or understanding, capital directive or directive to take prompt corrective action, which action, in the reasonable opinion of the Insurer, would
have a material adverse impact on (A) the business, operations or financial condition of GreenPoint Bank or the Servicer or (B) the ability of GreenPoint Bank or the Servicer to perform its obligations under any transaction document to which it is a
party; or 
  
 (xvi) GreenPoint Bank’s credit
ratings fall below investment grade by Moody’s or S&P; 
  
 then, and in
each and every such case, so long as an Event of Servicing Termination shall not have been remedied by the Servicer, either the Indenture Trustee, the Insurer or the Holders of Notes evidencing more than 50% of the Outstanding Amount of the Notes,
in each case with the consent of the Insurer, by notice then given in writing to the Servicer (and to the Indenture Trustee if given by the Insurer or the Holders of Notes) may terminate all of the rights and obligations of the Servicer as servicer
under this Agreement. Any such notice to the Servicer shall also be given to each Rating Agency, the Class B Certificateholders and the Insurer. On or after the receipt by the Servicer of such written notice, all authority and power of the Servicer
under this Agreement, whether with respect to the Notes or the Mortgage Loans or otherwise, shall pass to and be vested in the Indenture Trustee pursuant to and under this Section 6.01; and, without limitation, the Indenture Trustee is hereby
authorized and empowered to execute and deliver, on behalf of the Servicer and the Sellers, as attorney-in-fact or otherwise, any and all documents and other instruments, and to do or accomplish all other acts or things necessary or appropriate to
effect the purposes of such notice of termination, whether to complete the transfer and endorsement of each Mortgage Loan and related documents, or otherwise. The Servicer agrees to cooperate with the Indenture Trustee in effecting the termination
of the responsibilities and rights of the Servicer hereunder, including, without limitation, the transfer to the Indenture Trustee for the administration by it of all cash amounts that shall at the time be held by the Servicer to be deposited by it
in the Collection Account, or that have been deposited by the Servicer in the Collection Account or thereafter received by the Servicer with respect to the Mortgage Loans. All reasonable costs and expenses (including attorneys’ fees and
expenses) incurred in connection with amending this Agreement to reflect such succession as Servicer pursuant to this Section 6.01 shall be paid by the predecessor Servicer (or if the predecessor Servicer is the Indenture Trustee, the initial
Servicer) upon presentation of reasonable documentation of such costs and expenses. 
  
 Notwithstanding the foregoing, a delay in or failure of performance under Section 6.01(i) for a period of one Business Day or under Section 6.01(ii) for a period of thirty (30) days, shall not constitute an Event of
Servicing Termination if such delay or failure could not be prevented by the exercise of reasonable diligence by the Servicer and such delay or failure was caused by an act of God or the public enemy, acts of declared or undeclared war, public
disorder, rebellion or sabotage, epidemics, landslides, lightning, fire, hurricanes, earthquakes or floods. The preceding sentence shall not relieve the Servicer from using its best efforts to perform its respective obligations in a timely manner in
accordance with the terms of this Agreement and the Servicer shall provide the Indenture Trustee, the Sponsor, the Insurer and the Noteholders and Residual Certificateholders with an Officer’s Certificate giving prompt notice of such failure or
delay by it, together with a description of its efforts to so perform its obligations. The Servicer 

  

 60 

 
shall immediately notify the Indenture Trustee and the Insurer in writing of any Events of Servicing Termination. 
  
 Section 6.02. Indenture Trustee to Act; Appointment of Successor.

  
 (a) On and after the time the Servicer receives a notice of
termination pursuant to Section 6.01 or resigns pursuant to Section 5.04, the Indenture Trustee 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
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 shall use the same degree of care and skill as is required of the Servicer under this Sale
and Servicing Agreement; provided, however, if the Indenture Trustee becomes the Servicer hereunder, it shall have no responsibility or obligation (i) of repurchase or substitution with respect to any Mortgage Loan, (ii) with respect to any
representation or warranty of the Servicer, and (iii) for any act or omission of either a predecessor or successor Servicer other than the Indenture Trustee. As compensation therefor, the Indenture Trustee shall be entitled to such compensation as
the Servicer would have been entitled to hereunder if no such notice of termination had been given. In addition, the Indenture Trustee will be entitled to compensation with respect to its expenses in connection with conversion of certain
information, documents and record keeping, as provided in Sections 6.7 and 6.8 of the Indenture. Notwithstanding the above, (i) if the Indenture Trustee is unwilling to act as successor Servicer, or (ii) if the Insurer is unwilling to have the
Indenture Trustee act as successor Servicer or (iii) if the Indenture Trustee is legally unable so to act, the Indenture Trustee may with the consent of the Insurer, which consent shall not be unreasonably withheld, delayed or denied (in the
situation described in clauses (i) or (ii)) or shall (in the situation described in clause (iii)) appoint or petition a court of competent jurisdiction to appoint, any established housing and home finance institution, bank or other mortgage loan or
home equity loan servicer with all licenses and permits required to perform its obligations under this Agreement and having a net worth of not less than $15,000,000 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; provided that any such successor Servicer shall be acceptable to the Insurer, as evidenced by its prior written consent, which consent shall not be unreasonably withheld;
and provided, further, that the appointment of any such successor Servicer will not result in the qualification, reduction or withdrawal of the ratings assigned to the Notes by the Rating Agencies without regard to the Policy. Pending
appointment of a successor to the Servicer hereunder, unless the Indenture Trustee is prohibited by law from so acting, the Indenture Trustee shall act in such capacity as hereinabove provided. In connection with such appointment and assumption, the
successor shall be entitled to receive compensation out of payments on Mortgage Loans in an amount equal to the compensation which the Servicer would otherwise have received pursuant to Section 3.08 (or such other compensation as the Indenture
Trustee, the Insurer and such successor shall agree). The Indenture Trustee and such successor shall take such action, consistent with this Agreement, as shall be necessary to effectuate any such succession. 
  
 (b) Any successor, including the Indenture Trustee, to the Servicer as
servicer shall during the term of its service as servicer (i) continue to service and administer the Mortgage Loans for the benefit of the Noteholders, Residual Certificateholders and the Insurer and (ii) maintain in force a policy or policies of
insurance covering errors and omissions in the 

  

 61 

 
performance of its obligations as Servicer hereunder and a fidelity bond in respect of its officers, employees and agents to the same extent as the Servicer
is so required pursuant to Section 3.13. The appointment of a successor Servicer shall not affect any liability of the predecessor Servicer which may have arisen under this Agreement prior to its termination as Servicer (including, without
limitation, any deductible under an Insurance Policy pursuant to Section 3.04), nor shall any successor Servicer be liable for any acts or omissions of the predecessor Servicer or for any breach by such Servicer of any of its representations or
warranties contained herein. 
  
 Section 6.03. Notification to
Noteholders and Residual Certificateholders. Upon the occurrence of any Event of Servicing Termination or Rapid Amortization Event in which a Responsible Officer of the Indenture Trustee has actual notice (or any event that with the lapse of
time would become an Event of Servicing Termination or Rapid Amortization Event unless cured), the Indenture Trustee shall promptly notify the Owner Trustee in writing. Upon any termination or appointment of a successor to the Servicer pursuant to
this Article VI or Section 5.04, the Indenture Trustee shall give prompt written notice thereof to the Noteholders, Residual Certificateholders (at their respective addresses appearing in the Note Register and in the Residual Certificate Register),
the Insurer and each Rating Agency. 
  
 ARTICLE VII 
  
 TERMINATION 
  
 Section 7.01. Termination. 
  

(a) The respective obligations and responsibilities of the Servicer, each Seller, the Sponsor and the Indenture Trustee created hereby (other than the
obligation of the Indenture Trustee to make certain payments to Noteholders and Residual Certificateholders after the final Payment Date and the obligation of the Servicer to send certain notices as hereinafter set forth) shall terminate upon the
last action required to be taken by the Indenture Trustee on the final Payment Date pursuant to this Article VII following the later of (A) the Payment Date following payment in full of all amounts owing to the Insurer under the Insurance Agreement
and (B) the earliest of (i) the transfer, under the conditions specified in Section 7.01(b), (ii) the day following the Payment Date on which the distribution made to Noteholders has reduced the Note Principal Balance to zero and no other amounts
are owed to the Noteholders hereunder, and no other amounts are owed to the Insurer pursuant to the Insurance Agreement and Section 8.7 of the Indenture, (iii) the final payment or other liquidation of the last Mortgage Loan remaining in the Trust
(including, without limitation, the disposition of the Mortgage Loans pursuant to Section 5.4 of the Indenture) or the disposition of all property acquired upon foreclosure or deed in lieu of foreclosure of any Mortgage Loan and (iv) the Payment
Date in March 2035; provided, however, that in no event shall the trust created hereby continue beyond the expiration of 21 years from the date of death of the last surviving descendants of Joseph P. Kennedy, the late ambassador of the
United States to the Court of St. James, living on the date hereof. Upon termination in accordance with clause (a)(B)(i) of this Section 7.01, the Indenture Trustee, on behalf of the Trust, shall execute such documents and instruments of transfer
presented by the Optional Redemption Holder, in each case without recourse, representation or warranty, and take such other actions as the Optional Redemption Holder may reasonably request to effect the transfer of the Mortgage Loans to the Optional
Redemption Holder. 
  

 62 

 (b) Subject to Section 7.01(d), the holder of the majority interest in the Class B Certificates shall
have the right to redeem the Notes on any Payment Date occurring on or after the end of a Collection Period on which the outstanding Pool Balance on such Payment Date is less than or equal to ten percent (10%) of the Original Pool Balance. If the
holder of the majority interest in the Class B Certificates does not exercise such optional redemption, then the holder of the majority interest in the Class G Certificates shall have the right to redeem the Class A Notes on any Payment Date
occurring on or after the end of a Collection Period on which the outstanding Pool Balance on such Payment Date is less than or equal to two percent (2%) of the Original Pool Balance. If the Optional Redemption Holder elects to exercise its right it
will notify the Issuer, the Servicer, the Indenture Trustee and the Insurer no later than thirty-five (35) days prior to the Payment Date on which the transfer is to take place. The Indenture Trustee, on behalf of the Trust, will make the transfer
on such Payment Date subject to Section 7.01(d) and provided that the Redemption Price for the Notes has been deposited with it on or prior to such Payment Date. 
  
 (c) The Optional Redemption Holder, at its expense, shall prepare and deliver to the Indenture Trustee, on behalf of the
Trust, for execution, at the time the related Mortgage Loans are to be released to the Optional Redemption Holder, appropriate documents assigning each such Mortgage Loan from the Indenture Trustee to the Optional Redemption Holder and shall
promptly record such assignments. 
  
 (d) The Optional Redemption
Holder shall not exercise its right under Section 7.01(b) hereof without the consent of the Insurer if (a) such optional redemption would result in a draw on the Policy, or (b) any Reimbursement Amount due to the Insurer would not be fully satisfied
pursuant to the optional redemption. 
  
 ARTICLE VIII 

 
 ADMINISTRATIVE DUTIES OF THE SERVICER 
  
 Section 8.01. Administrative Duties. 
  
 (a) Duties with Respect to the Indenture. The Servicer shall perform
all its duties and the duties of the Issuer under the Indenture. In addition, the Servicer shall consult with the Owner Trustee as the Servicer deems appropriate regarding the duties of the Issuer under the Indenture. The Servicer shall monitor the
performance of the Issuer and shall advise the Owner Trustee when action is necessary to comply with the Issuer’s duties under the Indenture. Except as otherwise expressly provided in the Basic Documents to be performed by another party, the
Servicer shall prepare for execution by the Issuer or shall cause the preparation by other appropriate Persons of all such documents, reports, filings, instruments, certificates and opinions as it shall be the duty of the Issuer to prepare, file or
deliver pursuant to the Indenture. In furtherance of the foregoing, the Servicer shall take all necessary action that is the duty of the Issuer to take pursuant to the Indenture. 
  

 63 

 (b) Duties with Respect to the Issuer. 
  
 (i) Except as otherwise expressly provided in the Basic
Documents to be performed by another party, in addition to the duties of the Servicer set forth in this Agreement or any of the Basic Documents, the Servicer shall perform such calculations and shall prepare for execution by the Issuer or the Owner
Trustee or shall cause the preparation by other appropriate Persons of all such documents, reports, filings, instruments, certificates and opinions as it shall be the duty of the Issuer or the Owner Trustee to prepare, file or deliver pursuant to
this Agreement or any of the Basic Documents or under state and federal tax and securities laws, and at the request of the Owner Trustee shall take all appropriate action that it is the duty of the Issuer to take pursuant to this Agreement or any of
the Basic Documents. In accordance with the directions of the Issuer or the Owner Trustee, the Servicer shall administer, perform or supervise the performance of such other activities in connection with the Mortgage Loans (including the Basic
Documents) as are not covered by any of the foregoing provisions and as are expressly requested by the Issuer or the Owner Trustee and are reasonably within the capability of the Servicer. 
  
 (ii) Notwithstanding anything in this Agreement or any of
the Basic Documents to the contrary, the Servicer shall be responsible for promptly notifying the Owner Trustee and the Indenture Trustee and the Insurer in the event that any withholding tax is imposed on the Issuer’s payments (or allocations
of income) to a Residual Certificateholder (as defined in the Trust Agreement) as contemplated by this Agreement. Any such notice shall be in writing and specify the amount of any withholding tax required to be withheld by the Owner Trustee or the
Indenture Trustee pursuant to such provision. 
  
 (iii) Notwithstanding anything in this Agreement or the Basic Documents to the contrary, the Servicer shall not be responsible for performance of the duties of the Issuer or the Indenture Trustee set forth in Section 6.1(a), (b), (c) and
(d) of the Trust Agreement with respect to, among other things, accounting and reports to Residual Certificateholders (as defined in the Trust Agreement). 
  
 (iv) The Servicer shall perform the duties of the Sponsor specified in Section 11.2 of the Trust Agreement required to be performed in
connection with the resignation or removal of the Owner Trustee, and any other duties expressly required to be performed by the Servicer under this Agreement or any of the Basic Documents. 
  
 (v) In carrying out the foregoing duties or any of its other
obligations under this Agreement, the Servicer may enter into transactions with or otherwise deal with any of its Affiliates; provided, however, that the terms of any such transactions or dealings shall be in accordance with any
directions received from the Issuer and shall be, in the Servicer’s opinion, no less favorable to the Issuer in any material respect. 
  
 (c) Non-Ministerial Matters. With respect to matters that in the reasonable judgment of the Servicer are non-ministerial, the Servicer shall not
take any action pursuant to this Article VIII unless within a reasonable time before the taking of such action, the Servicer shall have 

  

 64 

 
notified the Owner Trustee and the Insurer of the proposed action and the Owner Trustee and the Insurer shall not have withheld consent or provided an
alternative direction. For the purpose of the preceding sentence, “non-ministerial matters” shall include: 
  
 (A) the amendment of or any supplement to the Indenture; 
  
 (B) the initiation of any claim or lawsuit by the Issuer and the compromise of any action, claim or lawsuit
brought by or against the Issuer (other than in connection with the collection of the Mortgage Loans); 
  
 (C) the amendment, change or modification of this Agreement or any of the Basic Documents; 
  
 (D) the appointment of successor Note Registrars, successor
Paying Agents and successor Indenture Trustees pursuant to the Indenture or the appointment of successor Servicers or the consent to the assignment by the Note Registrar, Paying Agent or Indenture Trustee of its obligations under the Indenture; and

  
 (E) the removal of the Indenture Trustee.

  
 (d) Exceptions. Notwithstanding anything to the
contrary in this Agreement, except as expressly provided herein or in the other Basic Documents, the Servicer, in its capacity hereunder, shall not be obligated to, and shall not, (1) make any payments to the Noteholders or the Residual
Certificateholders under the Basic Documents, (2) sell the Trust Property pursuant to Section 5.4 of the Indenture, (3) take any other action that the Issuer directs the Servicer not to take on its behalf or (4) in connection with its duties
hereunder assume any indemnification obligation of any other Person. 
  
 (e) The Indenture Trustee or any successor Servicer shall not be responsible for any obligations or duties of the Servicer under Section 8.01. 
  
 Section 8.02. Records. The Servicer shall maintain appropriate books of account and records relating to services performed under this Agreement,
which books of account and records shall be accessible for inspection by the Issuer, the Insurer and the Indenture Trustee at any time during normal business hours. 
  
 Section 8.03. Additional Information to be Furnished to the Issuer. The Servicer shall furnish to the Issuer and the
Indenture Trustee from time to time such additional information regarding the Mortgage Loans as the Issuer and the Indenture Trustee shall reasonably request. 
  

ARTICLE IX 
  
 MISCELLANEOUS PROVISIONS 
  
 Section 9.01. Amendment. This Agreement may be amended from time to time by agreement among the Sponsor, the Servicer, the Sellers and the Indenture Trustee, in each case without notice to or the consent of any
of the Noteholders or Residual Certificateholders, but 

  

 65 

 
only with the consent of the Insurer (which consent shall not be unreasonably withheld, delayed or denied), (i) to cure any ambiguity, (ii) to correct any
defective provisions or to correct or supplement any provisions herein that may be inconsistent with any other provisions herein, (iii) to add to the duties of the Sponsor, a Seller or the Servicer, (iv) to add any other provisions with respect to
matters or questions arising under this Agreement or the Policy, as the case may be, which shall not be inconsistent with the provisions of this Agreement, (v) to add or amend any provisions of this Agreement as required by any Rating Agency or any
other nationally recognized statistical rating organization in order to maintain or improve any rating of the Notes (it being understood that, after obtaining the ratings in effect on the Closing Date, neither the Indenture Trustee, the Sponsor, the
Seller nor the Servicer is obligated to obtain, maintain or improve any such rating) or (vi) to comply with any requirement imposed by the Code; provided, however, that such action shall not, as evidenced by an Opinion of Counsel,
materially and adversely affect the interests of any Noteholder, any Residual Certificateholder, or the Insurer; and provided, further, that the amendment shall be deemed not to adversely affect in any material respect the interests of
the Noteholders and the Residual Certificateholders and no opinion referred to in the preceding proviso shall be required to be delivered if the Person requesting the amendment obtains the consent of the Class B Certificateholders and a letter from
each Rating Agency stating that the amendment would not result in the downgrading or withdrawal of the respective ratings then assigned to the Notes without regard to the Policy. 
  
 This Agreement also may be amended from time to time by agreement among the Servicer, the Sellers, the Sponsor and the
Indenture Trustee, with the consent of the Insurer and the Holders of the Notes evidencing more than 50% of the Outstanding Amount of the Notes and the Residual Certificateholders evidencing more than 50% of the percentage interest in each class of
Residual Certificates (which consent of such Noteholders and Residual Certificateholders given pursuant to this Section 9.01 or pursuant to any other provision of this Agreement shall be conclusive and binding on such holders and all future holders
of such securities and of any security issued upon the transfer thereof or in exchange thereof or in lieu thereof whether or not notation of such consent is made upon the security) for the purpose of adding any provisions to or changing in any
manner or eliminating any of the provisions of this Agreement or of modifying in any manner the rights of the Noteholders or the Residual Certificateholders; provided, however, that no such amendment shall (i) reduce in any manner the
amount of, or delay the timing of, payments on the Notes or the Residual Certificates or distributions or payments under the Policy which are required to be made on any Note without the consent of the Holder of such Note or the related
Certificateholder, as applicable, or (ii) reduce the aforesaid percentage required to consent to any such amendment, without the consent of the holders of all then outstanding Notes and Residual Certificates or (iii) adversely affect in any material
respect the interests of the Insurer. 
  
 Following the execution
and delivery of any such amendment hereto or to the Policy, either the Sponsor, if the Sponsor requested the amendment, or the Servicer, if the Servicer requested the amendment, shall reimburse the Insurer for the reasonable out-of-pocket costs and
expenses incurred by each in connection with such amendment. 
  
 Prior to the execution of any such amendment, the party hereto requesting any such amendment shall furnish written notification of the substance of such amendment to each Rating Agency. In addition, promptly after the execution of any such
amendment made with the 

  

 66 

 
consent of the Noteholders or the Residual Certificateholders, the Indenture Trustee shall furnish written notification of the substance of such amendment to
each Noteholder and Residual Certificateholder and fully executed original counterparts of the instruments effecting such amendment to the Insurer. 
  
 It shall not be necessary for the consent of Noteholders or Residual Certificateholders under this Section 9.01 to approve the particular form of any
proposed amendment or consent, but it shall be sufficient if such consent shall approve the substance thereof. The manner of obtaining such consents and of evidencing the authorization of the execution thereof by Noteholders and Residual
Certificateholders shall be subject to such reasonable requirements as the Indenture Trustee may prescribe. 
  
 In executing any amendment permitted by this Section 9.01, the Indenture Trustee shall be entitled to receive, and shall be fully protected in relying
upon, an Opinion of Counsel stating that such amendment is authorized or permitted hereby and that all conditions precedent to the execution and delivery of such amendment have been satisfied. The Indenture Trustee may, but shall not be obligated
to, enter into any such amendment which affects the Indenture Trustee’s own rights, duties or immunities under this Agreement or otherwise. 
  
 Section 9.02. Recordation of Agreement. This Agreement is subject to recordation in all appropriate public offices for real property records in all
the counties or other comparable jurisdictions in which any or all of the properties subject to the Mortgages are situated, and in any other appropriate public recording office or elsewhere, such recordation to be effected by the Servicer, but only
upon direction of Noteholders accompanied by an Opinion of Counsel to the effect that such recordation materially and beneficially affects the interests of Noteholders. The Noteholders requesting such recordation shall bear all costs and expenses of
such recordation. The Indenture Trustee shall have no obligation to ascertain whether such recordation so affects the interests of the Noteholders. 
  
 For the purpose of facilitating the recordation of this Agreement as herein provided and for other purposes, this Agreement may be executed simultaneously
in any number of counterparts, each of which counterparts shall be deemed to be an original, and such counterparts shall constitute but one and the same instrument. 
  
 Section 9.03. Limitation on Rights of Noteholders. No Noteholder shall have any right to vote (except as provided in
Sections 6.01, 7.01, and 9.01 herein and Section 5.4 of the Indenture) or in any manner otherwise control the operation and management of the Trust, or the obligations of the parties hereto, nor shall anything herein set forth, or contained in the
terms of the Notes, be construed so as to constitute the Noteholders from time to time as partners or members of an association; nor shall any Noteholder 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. 
  
 No Noteholder
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 Indenture Trustee a written notice of default and of the continuance thereof, as hereinbefore provided, and unless also the Holders of Notes evidencing more than 50% of the Outstanding Amount of the 

  

 67 

 
Notes shall have made written request upon the Indenture Trustee to institute such action, suit or proceeding in its own name as Indenture Trustee hereunder
and shall have offered to the Indenture Trustee such reasonable indemnity as it may require against the costs, expenses and liabilities to be incurred therein or thereby, and the Indenture Trustee, for 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 Noteholder with every other Noteholder and the Indenture
Trustee, that no one or more Holders of Notes 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
Notes, 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 equal, ratable and common benefit of all Noteholders. For the
protection and enforcement of the provisions of this Section 9.03, each and every Noteholder and the Indenture Trustee shall be entitled to such relief as can be given either at law or in equity. 
  
 Anything to the contrary notwithstanding, by accepting its Note, each
Noteholder agrees that unless a Insurer Default exists, the Insurer shall have the right to exercise all rights of the Noteholder under this Agreement without any further consent of the Noteholder. 
  
 Section 9.04. Governing Law. THIS AGREEMENT SHALL BE CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS (OTHER THAN SECTIONS 5-1401 AND 5-1402 OF THE NEW YORK GENERAL OBLIGATIONS LAW), AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER
SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS. 
  
 Section
9.05. Notices. All demands, notices, directions, requests and communications hereunder shall be in writing and shall be deemed to have been duly given if sent via facsimile (receipt confirmed), personally delivered at or mailed by certified
mail, return receipt requested, to (a) in the case of the Sponsor, GreenPoint Mortgage Securities LLC, 100 Wood Hollow Drive, Doorstop #22210, Novato, California 94945, Attention: S.A. Ibrahim, (b) in the case of GreenPoint, GreenPoint Mortgage
Funding, Inc., 100 Wood Hollow Drive, Doorstop #32210, Novato, California 94945, Attention: Nathan Hieter, (c) in the case of Terwin Advisors, 3 Park Avenue, 40th Floor, New York, New York 10016, Attention: Richard D. Winter, (d) in the case of the Indenture Trustee, at the Corporate Trust Office, (e) in the case of the Insurer, Ambac Assurance Corporation, One
State Street Plaza, New York, New York 10004, Attention: Managing Director (telecopy number (212) 363-1459), (f) in the case of Moody’s, Residential Loan Monitoring Group, 4th Floor, 99 Church Street, New York, New York 10007, (g) in the case
of Standard & Poor’s, 55 Water Street, New York, New York 10041, and (h) in the case of the Credit Risk Manager, 1700 Lincoln Street, Suite 1600, Denver, Colorado 80203, Attention: General Counsel or, as to each party, at such other address
as shall be designated by such party in a written notice to each other party. Any notice required or permitted to be mailed to a Noteholder shall be given by first class mail, postage prepaid, at the address of such Holder as shown in the Note
Register. Any notice so mailed within the time prescribed in this Agreement shall be conclusively presumed to have been duly given, whether or not the Noteholder or Residual Certificateholder receives such notice. Any notice or other document
required to be delivered or mailed by the Indenture Trustee to any Rating Agency shall be given 

  

 68 

 
on a best efforts basis and only as a matter of courtesy and accommodation and the Indenture Trustee shall have no liability for failure to deliver such
notice or document to any Rating Agency. 
  
 Section 9.06.
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 Notes or the rights of the Holders thereof. 
  
 Section 9.07. Assignment. Notwithstanding anything to the contrary
contained herein, except as provided in Sections 5.02 and 5.04, this Agreement may not be assigned by the Sponsor or the Servicer without the prior written consent of the Insurer and Holders of the Notes evidencing Percentage Interests aggregating
not less than 66%. 
  
 Section 9.08. Third-Party
Beneficiaries. This Agreement will inure to the benefit of and be binding upon the parties hereto, the Residual Certificateholders, the Note Owners and the Insurer and their respective successors and permitted assigns. Except as otherwise
provided in this Agreement, no other Person will have any right or obligation hereunder. 
  
 Section 9.09. Counterparts. This instrument may be executed in any number of counterparts, each of which so executed shall be deemed to be an original, but all such counterparts shall together constitute but
one and the same instrument. 
  
 Section 9.10. Effect of
Headings and Table of Contents. The Article and Section headings herein and the Table of Contents are for convenience only and shall not affect the construction hereof. 
  
 Section 9.11. Insurance Agreement. The Indenture Trustee is authorized and directed to execute and deliver the
Insurance Agreement and to perform the obligations of the Indenture Trustee thereunder. 
  
 Section 9.12. Nonpetition Covenant. Until one year plus one day shall have elapsed since the termination of the Trust in accordance with Section 7.01, none of the Sponsor, the Sellers, the Servicer, nor the
Indenture Trustee shall petition or otherwise invoke the process of any court or government authority for the purpose of commencing or sustaining a case against the Sponsor or the Trust under any federal or state bankruptcy, insolvency or similar
law or appointing a receiver, liquidator, assignee, Indenture Trustee, custodian, sequestrator or other similar official of the Sponsor or the Trust or any substantial part of its property, or ordering the winding up or liquidation of the affairs of
the Sponsor or the Trust. 
  
 Section 9.13. Limitation of
Liability of Wilmington Trust Company. It is expressly understood and agreed by the parties hereto that (a) this Sale and Servicing Agreement is executed and delivered by Wilmington Trust Company, not individually or personally but solely as
Owner Trustee of the Issuer under the Trust Agreement, in the exercise of the powers and authority conferred and vested in it, (b) each of the representations, undertakings and agreements herein made on the part of the Issuer is made and intended
not as personal representations, undertakings and agreements by Wilmington Trust Company but is made and intended for the purpose for binding only the Issuer, (c) nothing herein contained shall be construed as creating any liability on Wilmington
Trust Company individually or personally, to perform any covenant either expressed or implied contained herein, all such liability, if any, being expressly waived by the parties to this Sale and Servicing Agreement and by any person claiming by,
through or under them and (d) under no circumstances shall Wilmington Trust Company be personally liable for the payment of any indebtedness or expenses of the Issuer or be liable for the breach or failure of any obligation, representation, warranty
or covenant made or undertaking by the Issuer under this Sale and Servicing Agreement or any related documents. 
  

 69 

 IN WITNESS WHEREOF, the Sponsor, the Sellers, the Servicer, the Indenture Trustee, the Issuer and the
Credit Risk Manager have caused this Agreement to be duly executed by their respective officers all as of the day and year first above written. 
  

			
	 GREENPOINT MORTGAGE SECURITIES LLC,
as Sponsor

		
	By:	 	 
	 	 	 Name:

	 	 	 Title:

	
	 GREENPOINT MORTGAGE FUNDING, INC.,
as a Seller and Servicer

		
	By:	 	 
	 	 	 Name:

	 	 	 Title:

	
	 TERWIN ADVISORS LLC,
as a Seller

		
	By:	 	 
	 	 	 Name:

	 	 	 Title:

	
	 U.S. BANK NATIONAL ASSOCIATION, not in
 its individual capacity but solely as Indenture Trustee

		
	By:	 	 
	 	 	 Name:

	 	 	 Title:

	
	 GREENPOINT HOME EQUITY LOAN TRUST 2004-3, as Issuer
By: Wilmington Trust Company, not in its individual capacity but solely as
Owner Trustee

		
	By:	 	 
	 	 	 Name:

	 	 	 Title:

  

			
	 THE MURRAYHILL COMPANY,
as Credit Risk Manager

		
	By:	 	 
	 	 	 Name:

	 	 	 Title:

  

 2 

			
	 State of                     
	 	)
	 	 	) ss.:
	 County of                     
	 	)

  
 On the
    th day of June, 2004 before me, a notary public in and for the State of             , personally appeared
            , known to me who, being by me duly sworn, did depose and say that he resides at
                ; that he is the
                             of GreenPoint Mortgage Securities LLC, a Delaware limited liability
company, one of the parties that executed the foregoing instrument; that he knows the seal of said corporation; that the seal affixed to said instrument is such corporate seal; that it was so affixed by order of the Board of Directors of said
company; and that he signed his name thereto by like order. 
  

	
	
	 
	 Notary Public

  
 [Notarial Seal] 
  

			
	 State of                         
	 	)
	 	 	) ss.:
	 County of                     
	 	)

  
 On the
     day of June, 2004 before me, a notary public in and for the State of [                    ], personally
appeared             , known to me who, being by me duly sworn, did depose and say that he resides at
                    ; that he is the
                     of Wilmington Trust Company, a Delaware banking corporation, one of the parties that executed the foregoing instrument;
that he knows the seal of said corporation; that the seal affixed to said instrument is such corporate seal; that it was so affixed by order of the Board of Directors of said banking corporation; and that he signed his name thereto by like order.

  

	
	
	 
	 Notary Public

  
 [Notarial Seal] 
  

			
	 State of                         
	 	)
	 	 	) ss.:
	 County of                     
	 	)

  
 On the
     day of June, 2004 before me, a notary public in and for the State of                 , personally appeared
                    , known to me who, being by me duly sworn, did depose and say that he resides at
                    ,
                    ,
                        ; that he is the
                 of GreenPoint Mortgage Funding, Inc., one of the parties that executed the foregoing instrument; that he knows the seal of said corporation; that
the seal affixed to said instrument is such corporate seal; that it was so affixed by order of the Board of Directors of said company; and that he signed his name thereto by like order. 
  

	
	
	 
	 Notary Public

  
 [Notarial Seal] 
  

			
	 State of                         
	 	)
	 	 	) ss.:
	 County of                     
	 	)

  
 On the
     day of June, 2004 before me, a notary public in and for the State of             , personally appeared
                        , known to me who, being by me duly sworn, did depose and say that he resides at
                    ,                 ,
                        ; that he is the             
of Terwin Advisors LLC, one of the parties that executed the foregoing instrument; that he knows the seal of said corporation; that the seal affixed to said instrument is such corporate seal; that it was so affixed by order of the Board of Directors
of said Company; and that he signed his name thereto by like order. 
  

	
	
	 
	 Notary Public

  
 [Notarial Seal] 
  

			
	 State of                         
	 	)
	 	 	) ss.:
	 County of                     
	 	)

  
 On the
     day of June, 2004 before me, a notary public in and for the State of                 , personally appeared
                    , known to me who, being by me duly sworn, did depose and say that he resides at
                    ,
                            ; that he is the
             of U.S. Bank National Association, a national banking association, one of the parties that executed the foregoing instrument; and that he signed his name thereto by
order of the Board of Directors of said banking association. 
  

	
	
	 
	 Notary Public

  
 [Notarial Seal] 
  

			
	 State of                         
	 	)
	 	 	) ss.:
	 County of                     
	 	)

  
 On the
    th day of June, 2004 before me, a notary public in and for the State of             , personally appeared
                    , known to me who, being by me duly sworn, did depose and say that he resides at
                        ; that he is the
                     of The Murrayhill Company, a Colorado corporation, one of the parties that executed the foregoing instrument; that he
knows the seal of said corporation; that the seal affixed to said instrument is such corporate seal; that it was so affixed by order of the Board of Directors of said company; and that he signed his name thereto by like order. 
  

	
	
	 
	 Notary Public

  
 [Notarial Seal] 
  

 EXHIBIT A 
  

MORTGAGE LOAN SCHEDULE 
  
 [On file with Indenture Trustee] 
  

 A-1 

 EXHIBIT B 
  

FORM OF OPINION OF COUNSEL 
 WITH RESPECT TO
SECTION 3.11 OF THE 
 SALE AND SERVICING AGREEMENT 
  
 The opinions set forth below may be subject to all the qualifications, assumptions, limitations and exceptions taken or made in the opinions of counsel to the Issuer, the
Sponsor, the Sellers and the Servicer delivered on the Closing Date. Unless otherwise indicated, all capitalized terms used herein shall have the meanings ascribed to them in the Sale and Servicing Agreement dated as of June 1, 2004 among GreenPoint
Home Equity Loan Trust 2004-3 (the “Issuer”), GreenPoint Mortgage Funding, Inc. (“GreenPoint” or the “Servicer”), Terwin Advisors LLC (“Terwin Advisors” and together with GreenPoint, the
“Sellers”), GreenPoint Mortgage Securities LLC (the “Sponsor”), U.S. Bank National Association, as Indenture Trustee (the “Indenture Trustee”) and The Murrayhill Company, as Credit Risk Manager (the
“Credit Risk Manager”). Terms used but not defined herein shall have the meaning given to such terms in the above-referenced Sale and Servicing Agreement. 
  
 The Indenture Trustee has a valid perfected first priority security interest with respect to the Sponsor’s right, title and interest in
and to the Mortgage Loans (including all Eligible Substitute Mortgage Loans). 
  

 B-1 

 EXHIBIT C-1 
  

FORM OF OFFICER’S CERTIFICATE 
  
 REQUEST BY THE SERVICER FOR PERMANENT 
 RELEASE OF MORTGAGE LOANS AND MORTGAGE FILES 
  
 To: 

 

			
	 U.S. Bank National Association,
 as Indenture
Trustee
 209 South LaSalle Street, Suite 300
 Chicago, Illinois
60604,
 Attention: Structured Finance-GPHE 2004-3
	 	 Deutsche Bank National Trust Company,
 as
Custodian
 1761 East St. Andrew Place
 Santa Ana, CA
92705-4934
 Attention: Mortgage Custody TW043C

  
 Gentlemen: 
  
 In connection with the payment in full of the Mortgage Loans held by you as Indenture
Trustee, under the Sale and Servicing Agreement dated as of June 1, 2004 among GreenPoint Home Equity Loan Trust 2004-3, as Issuer, GreenPoint Mortgage Funding, Inc., as a Seller and Servicer, Terwin Advisors LLC, as a Seller, GreenPoint Mortgage
Securities LLC, as Sponsor, The Murrayhill Company, as Credit Risk Manager and you, as Indenture Trustee, the undersigned requests the release of the Mortgage Loans and the Mortgage Files for the Mortgage Loans identified in the schedule attached to
this Request. 
  
 The undersigned hereby certifies that (i) the release of
Collateral requested will not impair the security under the Indenture, (ii) any and all payments received on the Mortgage Loans identified in the schedule attached to this Request which are required to be deposited in the Collection Account pursuant
to Section 3.02 of such Sale and Servicing Agreement have been so deposited, (iii) the information with respect to such factual matters necessary for us to so certify is in our possession and (iv) I am qualified to make these certifications.

  

					
	 GREENPOINT MORTGAGE FUNDING, INC.,
as Servicer

		
	 By:
	 	 
	 	 	 Name:
	 	 
	 	 	 Title:
	 	 
	 	 	 Date:
	 	 

  

													
	 ACKNOWLEDGED BY:
	 	 	 	 
			
	 U.S. BANK NATIONAL ASSOCIATION,
	 	 	 	 DEUTSCHE BANK NATIONAL TRUST COMPANY,

	     not in its individual capacity,
     but solely as Indenture Trustee
	 	 	 	     as Custodian

					
	By:	 	 	 	 	 	By:	 	 
	 	 	 Name:
	 	 	 	 	 	 	 	 Name:
	 	 
	 	 	 Title:
	 	 	 	 	 	 	 	 Title:
	 	 
	 	 	 Date:
	 	 	 	 	 	 	 	 Date:
	 	 

  

 C-1-1 

 EXHIBIT C-2 
  

FORM OF OFFICER’S CERTIFICATE 
  
 REQUEST BY THE SERVICER FOR TEMPORARY 
 RELEASE OF MORTGAGE LOANS AND MORTGAGE FILES 
  
 To: 

 

			
	 U.S. Bank National Association,
 as Indenture
Trustee
 209 South LaSalle Street, Suite 300
 Chicago, Illinois
60604,
 Attention: Structured Finance-GPHE 2004-3
	 	 Deutsche Bank National Trust Company,
 as
Custodian
 1761 East St. Andrew Place
 Santa Ana, CA
92705-4934
 Attention: Mortgage Custody TW043C

  
 Gentlemen: 
  
 In connection with the administration of the Mortgage Loans held by you as Indenture Trustee,
under the Sale and Servicing Agreement dated as of June 1, 2004 among GreenPoint Mortgage Funding, Inc., as a Seller and Servicer, Terwin Advisors LLC, as a Seller, GreenPoint Mortgage Securities LLC, as Sponsor, The Murrayhill Company, as Credit
Risk Manager and you, as Indenture Trustee, the undersigned requests the temporary release of the Mortgage Loans and the related Mortgage Files for the Mortgage Loans identified in the schedule attached to this Request. 
  

					
	 GREENPOINT MORTGAGE FUNDING, INC.,
as Servicer

		
	 By:
	 	 
	 	 	 Name:
	 	 
	 	 	 Title:
	 	 
	 	 	 Date:
	 	 

  

													
	 ACKNOWLEDGED BY:
	 	 	 	 
			
	 U.S. BANK NATIONAL ASSOCIATION,
	 	 	 	 DEUTSCHE BANK NATIONAL TRUST COMPANY,

	     not in its individual capacity,
     but solely as Indenture Trustee
	 	 	 	     as Custodian

					
	By:	 	 	 	 	 	By:	 	 
	 	 	 Name:
	 	 	 	 	 	 	 	 Name:
	 	 
	 	 	 Title:
	 	 	 	 	 	 	 	 Title:
	 	 
	 	 	 Date:
	 	 	 	 	 	 	 	 Date:
	 	 

  

 C-2-1 

 EXHIBIT D 
  

FORM OF CREDIT LINE AGREEMENT 
  

 D-1 

 EXHIBIT E 
  

FORM OF NON-NEGOTIABLE 
 GREENPOINT MORTGAGE
SECURITIES LLC 
 PROMISSORY NOTE 
  
 June [    ], 2004 
  
 EXCEPT TO THE EXTENT PROVIDED IN THE SALE AND SERVICING AGREEMENT REFERRED TO BELOW, THIS PROMISSORY NOTE AND ANY INTEREST REPRESENTED HEREBY SHALL NOT BE TRANSFERRED,
ASSIGNED, EXCHANGED, CONVEYED, PLEDGED, HYPOTHECATED OR OTHERWISE THE SUBJECT OF THE GRANT OF A SECURITY INTEREST AND ANY ATTEMPT TO TRANSFER, ASSIGN, EXCHANGE, CONVEY, PLEDGE, HYPOTHECATE OR GRANT A SECURITY INTEREST IN THIS PROMISSORY NOTE OR ANY
INTEREST REPRESENTED HEREBY SHALL BE VOID AND OF NO EFFECT. 
  
 FOR VALUE RECEIVED, the undersigned, GREENPOINT MORTGAGE SECURITIES LLC, a Delaware limited liability company (the “Sponsor”), promises to pay to GREENPOINT MORTGAGE FUNDING, INC., a California corporation (the
“Servicer”), on the terms and subject to the conditions set forth herein and in the Sale and Servicing Agreement referred to below, the aggregate unpaid Purchase Price of all assets purchased and to be purchased by the Purchaser
pursuant to the Sale and Servicing Agreement; provided that such amount shall in no event exceed $30,000,000. Such amount as shown in the records of the Servicer will be rebuttable presumptive evidence of the principal amount owing under this
Note. 
  
 1. Sale and Servicing Agreement. This Note is the
Sponsor Promissory Note described in, and is subject to the terms and conditions set forth in, that certain Sale and Servicing Agreement dated as of June 1, 2004 (as the same may be amended, supplemented, restated or otherwise modified in accordance
with its terms, the “Sale and Servicing Agreement”), among the Sponsor, the Servicer, the Sellers, the Indenture Trustee, and the Credit Risk Manager. Reference is hereby made to the Sale and Servicing Agreement for a statement of
certain other rights and obligations of the Sponsor and the Servicer. 
  
 2. Definitions. Capitalized terms used (but not defined) herein have the meanings ascribed thereto in the Sale and Servicing Agreement. In addition, as used herein, the following terms have the following meanings: 
  
 “Bankruptcy Proceedings” has the meaning set forth in clause
(a) of paragraph 7 hereof. 
  
 “Final Maturity
Date” means the date that falls one year and one day after the Termination Date. 
  
 “Junior Liabilities” means all obligations of the Sponsor to the Servicer under this Note. 
  
 “Senior Liabilities” means all obligations of the Sponsor to the Trust and any other obligations of the Sponsor arising under or in
connection with the Sale and Servicing Agreement, 

  

 
howsoever created, arising or evidenced, whether direct or indirect, absolute or contingent, now or thereafter existing, or due or to become due on or before
the Final Maturity Date. 
  
 “Subordination
Provisions” means, collectively, clauses (a) through (j) of paragraph 7 hereof. 
  
 3. Interest. Subject to the Subordination Provisions and paragraph 10 hereof, the Sponsor promises to pay interest on the aggregate unpaid principal amount of this Note outstanding on each day, at the Class A
Note Rate for the related Payment Date. 
  
 4. Interest Payment
Dates. Subject to the Subordination Provisions, paragraph 10 hereof, the Sponsor shall pay accrued interest on this Note on each Payment Date and on the Final Maturity Date. The Sponsor also shall pay accrued interest on the principal amount of
each prepayment hereof on the date of each such prepayment. 
  
 5.
Basis of Computation. Interest accrued hereunder shall be computed for the actual number of days elapsed on the basis of a 360-day year. 
  
 6. Principal Payment Dates. Subject to the Subordination Provisions, any unpaid principal of this Note shall be paid on the Final Maturity Date
(or, if such date is not a Business Day, the next succeeding Business Day). Subject to the Subordination Provisions, paragraph 10 hereof, the principal amount of and accrued interest on this Note may be prepaid on any Business Day without premium or
penalty. 
  
 7. Subordination Provisions. The Sponsor
covenants and agrees, and the Servicer, by its acceptance of this Note, likewise covenants and agrees, that the payment of all Junior Liabilities is hereby expressly subordinated in right of payment to the payment and performance of the Senior
Liabilities to the extent and in the manner set forth in the following clauses of this paragraph 7: 
  
 (a) (i) In the event of any dissolution, winding up, liquidation, readjustment, reorganization or other similar event relating to the
Sponsor, whether voluntary or involuntary, partial or complete, and whether in bankruptcy, insolvency, receivership or other similar proceedings, or upon an assignment for the benefit of creditors, or any other marshalling of the assets and
liabilities of the Sponsor or any sale of all or substantially all of the assets of the Sponsor except pursuant to the Sale and Servicing Agreement (such proceedings being herein collectively called “Bankruptcy Proceedings”), and
(ii) on and after the occurrence of an Event of Default, the Senior Liabilities shall first be paid and performed in full and in cash before the Servicer shall be entitled to receive and to retain any payment or distribution in respect of the Junior
Liabilities. In order to implement the foregoing: (x) all payments and distributions of any kind or character in respect of the Junior Liabilities to which the Servicer would be entitled except for this clause (a) shall be made directly to
the Indenture Trustee (for the benefit of the Noteholders, and the Insurer); and (y) the Servicer hereby irrevocably agrees that the Indenture Trustee (on behalf of the Noteholders), in the name of the Servicer or otherwise, may demand, sue for,
collect, receive and receipt for any and all such payments or distributions, and file, prove and vote or consent in any such Bankruptcy Proceedings with respect to any and all claims of the 

  

 E-2 

 
Servicer relating to the Junior Liabilities, in each case until the Senior Liabilities shall have been paid and performed in full and in cash. 
  
 (b) Following the occurrence of any of the events described
in clause (a)(i) or (ii), in the event that the Servicer receives any payment or other distribution of any kind or character from the Sponsor or from any other source whatsoever, in respect of the Junior Liabilities, such payment or other
distribution shall be received in trust for the Indenture Trustee and shall be turned over by the Servicer to the Indenture Trustee (for the benefit of the Noteholders, and the Insurer) forthwith. All payments and distributions received by the
Indenture Trustee in respect of this Note, to the extent received in or converted into cash, may be applied by the Indenture Trustee (for the benefit of the Noteholders and the Insurer) first to the payment of any and all reasonable expenses
(including reasonable attorneys’ fees and legal expenses) paid or incurred by the Indenture Trustee, the Noteholders or the Insurer in enforcing these Subordination Provisions, or in endeavoring to collect or realize upon the Junior
Liabilities, and any balance thereof shall, solely as between the Servicer and the Noteholders and the Insurer, be applied by the Indenture Trustee toward the payment of the Senior Liabilities in a manner determined by the Indenture Trustee to be in
accordance with the Indenture; but as between the Sponsor and its creditors, no such payments or distributions of any kind or character shall be deemed to be payments or distributions in respect of the Senior Liabilities. 
  
 (c) Upon the final payment in full and in cash of all Senior
Liabilities, the Servicer shall be subrogated to the rights of the Indenture Trustee to receive payments or distributions from the Sponsor that are applicable to the Senior Liabilities until the Junior Liabilities are paid in full. 
  
 (d) These Subordination Provisions are intended solely for
the purpose of defining the relative rights of the Servicer, on the one hand, and the Indenture Trustee (on behalf of Noteholders and the Insurer), on the other hand. Nothing contained in these Subordination Provisions or elsewhere in this Note
(subject to paragraph 10 hereof) is intended to or shall impair, as between the Sponsor, its creditors (other than the Noteholders and the Insurer) and the Servicer, the Sponsor’s obligation, which is unconditional and absolute, to pay the
Junior Liabilities as and when the same shall become due and payable in accordance with the terms hereof (subject to paragraph 10 hereof) and of the Sale and Servicing Agreement or to affect the relative rights of the Servicer and creditors of the
Sponsor (other than the Noteholders and the Insurer). 
  
 (e) The Servicer shall not, until the Senior Liabilities have been finally paid and performed in full and in cash, (i) cancel, waive, forgive, transfer or assign, or commence legal proceedings to enforce or collect, or subordinate to any
obligation of the Sponsor, howsoever created, arising or evidenced, whether direct or indirect, absolute or contingent, or now or thereafter existing, or due or to become due (other than the Senior Liabilities), the Junior Liabilities or any rights
in respect hereof or (ii) convert the Junior Liabilities into an equity interest in the Sponsor, unless, in the case of each of clauses (i) and (ii) above, the Servicer shall have received the prior written consent of the Indenture Trustee
and the Insurer in each case. 
  
 (f) The
Servicer shall not, except without the advance written consent of the Indenture Trustee and the Insurer commence, or join with any other Person in commencing, any Bankruptcy Proceedings with respect to the Sponsor until at least one year and one day
have passed since the Termination Date. 
  

 E-3 

 (g) If, at any time, any of the payment (in whole or in part) made with respect to any
Senior Liabilities is rescinded or must be restored or returned by the Indenture Trustee or Noteholders or the Insurer (whether in connection with any Bankruptcy Proceedings or otherwise), these Subordination Provisions shall continue to be
effective or shall be reinstated, as the case may be, as though such payment had not been made. 
  
 (h) The Indenture Trustee (on behalf of Noteholders and the Insurer) may, from time to time, with the consent of the Insurer without
notice to the Servicer, and without waiving any of its rights under these Subordination Provisions, take any or all of the following actions: retain or obtain an interest in any property to secure any of the Senior Liabilities; (ii) retain or obtain
the primary or secondary obligations of any other obligor or obligors with respect to any of the Senior Liabilities; (iii) extend or renew for one or more periods (whether or not longer than the original period), alter or exchange any of the Senior
Liabilities, or release or compromise any obligation of any nature with respect to any of the Senior Liabilities; (iv) amend, supplement, amend and restate, or otherwise modify the Sale and Servicing Agreement or any related document; and (v)
release its security interest in or surrender, release or permit any substitution or exchange for all or any part of any rights or property securing any of the Senior Liabilities, or extend or renew for one or more periods (whether or not longer
than the original period) or release, compromise, alter or exchange any obligations of any nature of any obligor with respect to any such rights or property. 
  

(i) The Servicer hereby waives: (i) notice of acceptance of these Subordination Provisions by any of the Noteholders and the Insurer,
(ii) notice of the existence, creation, non-payment or non-performance of all or any of the Senior Liabilities; and (iii) all diligence in enforcement, collection or protection of, or realization upon, the Senior Liabilities, or any thereof, or any
security therefor. 
  
 (j) These Subordination
Provisions constitute a continuing offer from the Sponsor to all Persons who become the holders of, or who continue to hold, Senior Liabilities; and these Subordination Provisions are made for the benefit of the Noteholders and the Insurer, and the
Indenture Trustee may proceed to enforce such provisions on behalf of each of such Persons. 
  
 8. General. No failure or delay on the part of the Servicer in exercising any power or right hereunder shall operate as a waiver thereof, nor shall any single or partial exercise of any such power or right
preclude any other or further exercise thereof or the exercise of any other power or right. No amendment, modification or waiver of, or consent with respect to, any provision of this Note shall in any event be effective unless (a) the same shall be
in writing and signed and delivered by the Sponsor and the Servicer, and (b) all consents required for such actions under the Sale and Servicing Agreement and the Sale and Servicing Agreement shall have been received by the appropriate Persons. The
rights and remedies granted hereunder to the Indenture Trustee and the Noteholders are subject to exercise as provided in the Sale and Servicing Agreement. 
  
 9. Limitation on Interest. Notwithstanding anything in this Note to the contrary, the Sponsor shall never be required to pay unearned interest on
any amount outstanding hereunder, and shall never be required to pay interest on the principal amount outstanding hereunder at a rate in excess of the maximum interest rate that may be contracted for, charged or received without violation of
applicable federal or state law. 
  

 E-4 

 10. Acknowledgment. The Servicer acknowledges and agrees that it has no rights to payment under
this Note, and will not make any claim for payment hereunder, unless funds are available for payment by the Sponsor in excess of amounts due and payable by it at the time under the Indenture and the Sale and Servicing Agreement. 
  
 11. No Negotiation. This Note is not negotiable. 
  
 12. Governing Law. THIS NOTE SHALL BE DEEMED TO BE A CONTRACT MADE
UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK WITHOUT REGARD TO CONFLICT OF LAWS PRINCIPLES (OTHER THAN SECTIONS 5-1401 AND 5-1402 OF THE NEW YORK GENERAL OBLIGATIONS LAW). 
  
 13. Captions. Paragraph captions used in this Note are provided solely
for convenience of reference only and shall not affect the meaning or interpretation of any provision of this Note. 
  

			
	GREENPOINT MORTGAGE SECURITIES LLC
		
	By:	 	 
		
	 Name:
	 	 
		
	 Title:
	 	 

  

 E-5 

 EXHIBIT F 
  

FORM OF CERTIFICATE: 
 LOAN LEVEL REPORTING

  

			
	DETAIL RECORD FIELDS:	 	File Name: T0##MMYY.LNS

  

							
	 Data:
 T0nnMMYY.LNS

	  	Field
Nbr

	  	Format

	 	 Definition

	Servicer Loan No.	  	1	  	13(X)	 	Unique loan number assigned to the mortgage by the Seller/Servicer
				
	Blank	  	 	  	1(x)	 	 
				
	Due Date of Last Paid Installment (DDLPI)	  	2	  	YYYYMMDD	 	Due Date of last full payment received from the borrower.
				
	Blank	  	 	  	1(x)	 	 
				
	Last Payment Received Date (LPRD)	  	3	  	YYYYMMDD	 	Receipt Date of the last fully paid monthly installment of principal, interest, and escrow (if any) that was received from the borrower. Note: Dates of partial payments should not be
entered here. (Data is when payment was actually received from the borrower) If this information is not available, then populate the field with the default value of 19000101.
				
	Blank	  	 	  	1(x)	 	 
				
	Unpaid Principal Balance (UPB) 100%	  	4	  	13.2	 	Unpaid Principal balance as of the end of the current period
				
	Blank	  	 	  	1(x)	 	 
				
	Interest Paid	  	5	  	13.2	 	Gross / Coupon Interest payment amount
				
	Blank	  	 	  	1(x)	 	 
				
	Principal Paid	  	6	  	13.2	 	Total principal paid down on the mortgage balance.
				
	 	  	 	  	 	 	 *  For approved payment reversals or principal applied incorrectly in a prior cycle the amount of negative principal to bring the
mortgage balance in line with the correct UPB reported.

				
	Blank	  	 	  	1(x)	 	 
				
	Draw Amount	  	7	  	13.2	 	Total draws made against the line of credit for the current month
				
	Blank	  	 	  	1(x)	 	 

  

							
	 Data:
 T0nnMMYY.LNS

	  	Field
Nbr

	  	Format

	 	 Definition

	Exception Code	  	8	  	2(x)	 	This field should contain an exception code only when exception activity occurs for that period, otherwise this field should contain a 0.
				
	 	  	 	  	 	 	DEFAULT VALUE IS 0.
				
	 	  	 	  	 	 	40 Inactivate loan, deemed the loan non-recoverable
				
	 	  	 	  	 	 	60 Payoff - mortgage matured
				
	 	  	 	  	 	 	61 Payoff - mortgage prepaid
				
	 	  	 	  	 	 	65 Payoff - mortgage repurchased
				
	 	  	 	  	 	 	69 Payoff - mortgage liquidated
				
	 	  	 	  	 	 	70 Transfer to REO (status change exception)
				
	 	  	 	  	 	 	72 Foreclosure (change of status from Active to Foreclosure)
				
	 	  	 	  	 	 	 80 Substituted Loan - Loan is added as a substitute for
 another loan

				
	 	  	 	  	 	 	 81 Reinstated Loan - Loan was previously delinquent, but
 the borrower has brought it current.

				
	 	  	 	  	 	 	 90 Loan Modified - This is an exceptional activity code
 which is reserved for future use. Modifications
 typically require repurchase from the trust prior to
 modifying the loan.

				
	Blank	  	 	  	1(x)	 	 
				
	Exception Date	  	9	  	YYYYMMDD	 	Date the exception occurred. If an exception has not occurred, this field should contain the default value of 19000101.
				
	Blank	  	 	  	1(x)	 	 
				
	Mortgage Note Rate	  	10	  	6.3	 	Rate associated with the borrower’s scheduled payment
				
	Blank	  	 	  	1(x)	 	 
				
	Mortgage P&I Amount	  	11	  	13.2	 	Principal and interest portion of the borrowers minimum installment. Note: 100% of the principal and interest amount should be entered in this field, including servicing and guarantee
fees.
				
	Blank	  	 	  	1(x)	 	 
				
	Realized Losses	  	12	  	13.2	 	Amount of realized losses for that period. This field will also include any supplemental claims or proceeds for loans liquidated in a previous cycle.
				
	Blank	  	 	  	1(x)	 	 
				
	Cumulative Principal Advances	  	13	  	13.2	 	 Total principal payments advanced by the Servicer and not repaid by the borrower.
 NOT APPLICABLE—DO NOT REPORT

				
	Blank	  	 	  	1(x)	 	 
				
	Interest Advances	  	14	  	13.2	 	 Amount of interest payment advanced by the Servicer for that period.
 NOT APPLICABLE—DO NOT REPORT

				
	Blank	  	 	  	1(x)	 	 
				
	Loan Status	  	15	  	1(X)	 	Pertains to activity in the prior reporting cycle.
				
	 	  	 	  	 	 	0 - Active
				
	 	  	 	  	 	 	4 - Foreclosure
				
	 	  	 	  	 	 	5 - REO
				
	 	  	 	  	 	 	6 - Closed (PAYOFFS & REPURCHASES)
				
	 	  	 	  	 	 	9 - Bankruptcy (OVERRIDES Active Status)
				
	 	  	 	  	 	 	Note: 30,60 & 90 day delinquency status will be derived from the DDLPI field.
				
	Blank	  	 	  	1(x)	 	 
				
	Subservicer No.	  	16	  	6	 	Subservicer ID# - 6 digits
				
	Blank	  	 	  	1(x)	 	 
				
	Actual Loan Balance	  	17	  	13.2	 	Actual loan balance outstanding from the borrower.
				
	Blank	  	 	  	1(x)	 	 

  

 F-2 

							
	 Data:
 T0nnMMYY.LNS

	  	Field
Nbr

	  	Format

	 	 Definition

	Next Interest Rate Change Date	  	18	  	YYYYMMDD	 	Applies only to ARM loans and reflects the next pending interest rate adjustment date. Default is 19000101. Since loans adjust monthly, only report the first adjustment date for loans with
teaser period.
				
	Blank	  	 	  	1(x)	 	 
				
	Next Interest Payment Change Date	  	19	  	YYYYMMDD	 	Applies only to payment capped ARM loans and reflects the next pending payment adjustment date. Default is 19000101.
				
	Blank	  	 	  	1(x)	 	 
				
	Index Value at Reset Date	  	20	  	6.3	 	 The index rate used in determining the ARM coupon.
 Default value is 0 for an ARM loan if the index is not changing in the current period. Also populate 0 if the loan is a fixed rate loan.

				
	Blank	  	 	  	1(x)	 	 
				
	Next Mortgage Rate expected at reset date	  	21	  	6.3	 	Should be populated in advance of the rate adjustment. Default value is 0 for an ARM loan if the rate is not changing. Default value is 0 if the loan is a fixed rate
loan.
				
	Blank	  	 	  	1(x)	 	 
				
	Collateral Group No. #	  	22	  	2	 	This is a collateral grouping number for whole loan directed collateral deals. Default value is 0. Report the HELOCs and Fixed Rates separately.
				
	Blank	  	 	  	1(x)	 	 
				
	Current Arrearage Paid	  	23	  	13.2	 	The current amount of cashflow applied to the arrearage balance. Applies to loans that have been or are currently in default. Default value is 0.
				
	Blank	  	 	  	1(x)	 	 
				
	Outstanding Arrearage Balance	  	24	  	13.2	 	The total amount of outstanding interest accrued under forbearance period, after current arrearage payment. Default value is 0.
				
	Blank	  	 	  	1(x)	 	 
				
	Loan Number	  	25	  	13(X)	 	Loan number assigned to the mortgage by         . Used for disclosure.
				
	Blank	  	 	  	1(x)	 	 
				
	Prepayment Premium Amount	  	26	  	13.2	 	The borrowers penalty payment for prepaying his mortgage. This amount is allocated in aggregate as a directed collateral amount to a specific bond. Default value is 0.

  
 The Notes: 
  

	 	•	File must be a text file (either space or tab delimited). 

  

	 	•	Any dates should be in YYYYMMDD format. They should not contain slashes (/) or dashes (-). 

  

	 	•	Number fields should NOT include commas. 

  

	 	•	Any negative number should be denoted by a “-” in front of the number, do not put the “-” after the number or use parentheses. 

  

 F-3 

 SCHEDULE I 
  

EARLY PAYMENT DEFAULT SCHEDULE: GREENPOINT MORTGAGE LOANS 
  

 I-1 

 SCHEDULE II 
  

EARLY PAYMENT DEFAULT SCHEDULE: TERWIN MORTGAGE LOANS 
  

 II-1Trust Agreement, dated as of June 1, 2004

 Exhibit 4.3 
  

  
 TRUST AGREEMENT 

 
 between 
  
 GREENPOINT MORTGAGE SECURITIES LLC 
  

Sponsor 
  
 and 
  
 WILMINGTON TRUST COMPANY 
 Owner Trustee 
  
 Dated as of June 1, 2004 
  
 GREENPOINT HOME EQUITY LOAN TRUST 2004-3 
 HOME
EQUITY LOAN ASSET-BACKED NOTES, SERIES 2004-3 
  

  

 TABLE OF CONTENTS 
  

					
	 	  	Page

	 ARTICLE I Definitions
	  	1
			
	 SECTION 1.1.
	  	Defined Terms	  	1
	 SECTION 1.2.
	  	Other Definitional Provisions	  	2
	 SECTION 1.3.
	  	Action by or Consent of Noteholders and Residual Certificateholders	  	3
		
	 ARTICLE II Organization
	  	3
			
	 SECTION 2.1.
	  	Name	  	3
	 SECTION 2.2.
	  	Office	  	3
	 SECTION 2.3.
	  	Purposes and Powers	  	3
	 SECTION 2.4.
	  	Appointment of Owner Trustee	  	4
	 SECTION 2.5.
	  	Initial Capital Contribution of Trust Estate; Capital Accounts	  	4
	 SECTION 2.6.
	  	Declaration of Trust	  	4
	 SECTION 2.7.
	  	Liability	  	5
	 SECTION 2.8.
	  	Title to Trust Property	  	5
	 SECTION 2.9.
	  	Situs of Trust	  	5
	 SECTION 2.10.
	  	Representations and Warranties of the Sponsor	  	5
	 SECTION 2.11.
	  	Federal Income Tax Allocations	  	7
	 SECTION 2.12.
	  	Covenants of the Sponsor	  	7
	 SECTION 2.13.
	  	Covenants of the Residual Certificateholders	  	8
		
	 ARTICLE III [Reserved]
	  	9
		
	 ARTICLE IV Ownership of Trust Property; Residual Certificates and Transfer of Interests
	  	9
			
	 SECTION 4.1.
	  	Trust Property Ownership	  	9
	 SECTION 4.2.
	  	The Residual Certificates	  	9
	 SECTION 4.3.
	  	Authentication of Residual Certificates	  	10
	 SECTION 4.4.
	  	Registration of Transfer and Exchange of Residual Certificates	  	10
	 SECTION 4.5.
	  	Mutilated, Destroyed, Lost or Stolen Residual Certificates	  	10
	 SECTION 4.6.
	  	Persons Deemed Residual Certificateholders	  	11
	 SECTION 4.7.
	  	Access to List of Residual Certificateholders’ Names and Addresses	  	11
	 SECTION 4.8.
	  	Maintenance of Office or Agency	  	11
	 SECTION 4.9.
	  	ERISA Restrictions	  	12
	 SECTION 4.10.
	  	Restrictions on Transfer of Residual Certificates	  	12
	 SECTION 4.11.
	  	Distributions on Residual Certificates	  	13
		
	 ARTICLE V Voting Rights and Other Actions
	  	14
			
	 SECTION 5.1.
	  	Prior Notice with Respect to Certain Matters	  	14
	 SECTION 5.2.
	  	Action by Residual Certificateholders with Respect to Certain Matters	  	15

  

					
	 SECTION 5.3.
	  	Action with Respect to Bankruptcy	  	15
	 SECTION 5.4.
	  	Restrictions on Residual Certificateholders’ Power	  	16
	 SECTION 5.5.
	  	Majority Control	  	16
	 SECTION 5.6.
	  	Rights of the Insurer	  	17
	 SECTION 5.7.
	  	[Reserved]	  	17
	 SECTION 5.8.
	  	Insurer’s Rights Regarding Actions, Proceedings or Investigations	  	17
		
	 ARTICLE VI Certain Duties
	  	18
			
	 SECTION 6.1.
	  	Accounting and Records to the Noteholders, Residual Certificateholders, the Internal Revenue Service and Others	  	18
	 SECTION 6.2.
	  	Signature on Returns; Tax Matters Partner	  	19
	 SECTION 6.3.
	  	Underwriting Agreement	  	19
		
	 ARTICLE VII Authority and Duties of Owner Trustee
	  	19
			
	 SECTION 7.1.
	  	General Authority	  	19
	 SECTION 7.2.
	  	General Duties	  	19
	 SECTION 7.3.
	  	Action upon Instruction	  	20
	 SECTION 7.4.
	  	No Duties Except as Specified in this Agreement or in Instructions	  	21
	 SECTION 7.5.
	  	No Action Except under Specified Documents or Instructions	  	21
	 SECTION 7.6.
	  	Restrictions	  	21
		
	 ARTICLE VIII Concerning the Owner Trustee
	  	21
			
	 SECTION 8.1.
	  	Acceptance of Trust and Duties	  	21
	 SECTION 8.2.
	  	Furnishing of Documents	  	23
	 SECTION 8.3.
	  	Representations and Warranties	  	23
	 SECTION 8.4.
	  	Reliance; Advice of Counsel	  	23
	 SECTION 8.5.
	  	Not Acting in Individual Capacity	  	24
	 SECTION 8.6.
	  	Owner Trustee Not Liable for Notes, Residual Certificates or Mortgage Loans	  	24
	 SECTION 8.7.
	  	Owner Trustee May Own Notes and Residual Certificates	  	24
	 SECTION 8.8.
	  	Payments from Owner Trust Estate	  	24
	 SECTION 8.9.
	  	Doing Business in Other Jurisdictions	  	25
		
	 ARTICLE IX Compensation of Owner Trustee
	  	25
			
	 SECTION 9.1.
	  	Owner Trustee’s Fees and Expenses	  	25
	 SECTION 9.2.
	  	Indemnification	  	25
	 SECTION 9.3.
	  	Payments to the Owner Trustee	  	26
	 SECTION 9.4.
	  	Non-recourse Obligations	  	26
		
	 ARTICLE X Termination of Trust Agreement
	  	26
			
	 SECTION 10.1.
	  	Termination of Trust Agreement	  	26

  

 ii 

					
	 ARTICLE XI Successor Owner Trustees and Additional Owner Trustees
	  	27
			
	 SECTION 11.1.
	  	Eligibility Requirements for Owner Trustee	  	27
	 SECTION 11.2.
	  	Resignation or Removal of Owner Trustee	  	28
	 SECTION 11.3.
	  	Successor Owner Trustee	  	29
	 SECTION 11.4.
	  	Merger or Consolidation of Owner Trustee	  	29
	 SECTION 11.5.
	  	Appointment of Co-Owner Trustee or Separate Owner Trustee	  	29
		
	 ARTICLE XII Miscellaneous
	  	31
			
	 SECTION 12.1.
	  	Supplements and Amendments	  	31
	 SECTION 12.2.
	  	No Legal Title to Owner Trust Estate in Residual Certificateholders	  	32
	 SECTION 12.3.
	  	Limitations on Rights of Others	  	32
	 SECTION 12.4.
	  	Notices	  	32
	 SECTION 12.5.
	  	Severability	  	32
	 SECTION 12.6.
	  	Separate Counterparts	  	33
	 SECTION 12.7.
	  	Assignments; Insurer	  	33
	 SECTION 12.8.
	  	No Petition	  	33
	 SECTION 12.9.
	  	No Recourse	  	33
	 SECTION 12.10.
	  	Headings	  	34
	 SECTION 12.11.
	  	GOVERNING LAW	  	34
	 SECTION 12.12.
	  	Servicer	  	34
	 SECTION 12.13.
	  	Customer Identification	  	34

  
 EXHIBITS 
  

			
	 Exhibit A
	  	Form of Residual Certificate
	 Exhibit B
	  	Form of Certificate of Trust
	 Exhibit C
	  	Form of Transfer Certificate

  

 iii 

 TRUST AGREEMENT dated as of June 1, 2004 (the “Agreement”) between GREENPOINT MORTGAGE
SECURITIES LLC, a Delaware limited liability company (the “Sponsor”), and WILMINGTON TRUST COMPANY, a Delaware banking corporation, as Owner Trustee. 
  
 ARTICLE I 
  
 Definitions 
  
 SECTION 1.1. Defined Terms. For the purposes of this Agreement, the following terms shall have the meanings set forth below. All other capitalized
terms used herein but not defined shall have the meanings set forth in Annex A to the Indenture dated as of June 1, 2004 (the “Indenture”), between the Issuer and the Indenture Trustee, as the same may be amended and supplemented
from time to time. 
  
 “Affiliate” shall mean
with respect to any specified Person, a Person that directly, or indirectly through one or more intermediaries, controls or is controlled by, or is under common control with, or owns, directly or indirectly, 50% or more of, the Person specified.

  
 “Agreement” shall mean this Trust Agreement,
as the same may be amended and supplemented from time to time. 
  
 “Benefit Plan” shall have the meaning assigned to such term in Section 4.9. 
  
 “Class”: shall mean either the Class B or Class G Certificates as the context requires. 
  
 “Class B Certificates” shall mean the Class of Residual
Certificate denominated as Class B. 
  
 “Class G
Certificates” shall mean the Class of Residual Certificate denominated as Class G. 
  
 “Certificate of Trust” shall mean the Certificate of Trust in the form of Exhibit C to be filed for the Trust pursuant to Section 3810(a) of the Statutory Trust Statute. 
  
 “Certificate Register” and “Certificate
Registrar” shall mean the register maintained and the registrar respectively appointed pursuant to Section 4.4. 
  
 “Definitive Residual Certificates” shall mean Residual Certificates issued in certificated, fully registered form. 
  
 “Expenses” shall have the meaning assigned to such term in
Section 9.2. 
  
 “Indemnified Parties” shall have
the meaning assigned to such term in Section 9.2. 
  
 “Instructing Party” shall have the meaning assigned to such term in Section 7.3. 
  

 “Owner Trust Estate” shall mean all right, title and interest of the Trust in and to the
property and rights assigned to the Trust pursuant to Article II of the Sale and Servicing Agreement, all funds on deposit from time to time in the Collection Account and the Distribution Account and all other property of the Trust from time to
time, including any rights of the Issuer pursuant to the Sale and Servicing Agreement and any rights of the Sponsor, in its capacity as Purchaser, pursuant to the Mortgage Loan Purchase Agreement. 
  
 “Percentage Interest” shall mean the percentage set forth on
the face of a Residual Certificate, representing its interest in the related Class. 
  
 “Proposer” shall have the meaning ascribed to it in Section 5.2 herein. 
  
 “Residual Certificates” shall mean one or more Classes of trust certificates evidencing, in the aggregate, the beneficial ownership
interest of the Residual Certificateholders in the Trust, substantially in the form of Exhibit A attached hereto. 
  
 “Residual Certificateholder” shall mean the Person in whose name a Residual Certificate is registered on the Certificate Register.

  
 “Secretary of State” shall mean the Secretary
of State of the State of Delaware. 
  
 “Security
Majority” shall mean a majority by principal amount of the Noteholders so long as the Notes are outstanding and a majority by principal amount of the Residual Certificateholders thereafter. 
  
 “Statutory Trust Statute” shall mean Chapter 38 of Title 12
of the Delaware Code, 12 Del. Code § 3801 et seq. as the same may be amended from time to time. 
  
 “Treasury Regulations” shall mean regulations, including proposed or temporary regulations, promulgated under the Code. References herein
to specific provisions of proposed or temporary regulations shall include analogous provisions of final Treasury Regulations or other successor Treasury Regulations. 
  
 SECTION 1.2. Other Definitional Provisions. 
  
 (a) All terms defined in this Agreement shall have the defined meanings when used in any certificate or other document made
or delivered pursuant hereto unless otherwise defined therein. 
  
 (b) As used in this Agreement and in any certificate or other document made or delivered pursuant hereto or thereto, accounting terms not defined in this Agreement or in any such certificate or other document, and accounting terms partly
defined in this Agreement or in any such certificate or other document to the extent not defined, shall have the respective meanings given to them under generally accepted accounting principles as in effect on the date of this Agreement or any such
certificate or other document, as applicable. To the extent that the definitions of accounting terms in this Agreement or in any such certificate or other document are inconsistent with the meanings of such terms under generally accepted accounting
principles, 

  

 2 

 
the definitions contained in this Agreement or in any such certificate or other document shall control. 
  
 (c) The words “hereof,” “herein,” “hereunder”
and words of similar import when used in this Agreement shall refer to this Agreement as a whole and not to any particular provision of this Agreement; Section and Exhibit references contained in this Agreement are references to Sections and
Exhibits in or to this Agreement unless otherwise specified; and the term “including” shall mean “including without limitation.” 
  
 (d) The definitions contained in this Agreement are applicable to the singular as well as the plural forms of such terms and to the masculine as well as
to the feminine and neuter genders of such terms. 
  
 SECTION 1.3.
Action by or Consent of Noteholders and Residual Certificateholders. Whenever any provision of this Agreement refers to action to be taken, or consented to, by Noteholders or Residual Certificateholders, such provision shall be deemed to
refer to the Noteholder or Residual Certificateholder, as the case may be, of record as of the Record Date immediately preceding the date on which such action is to be taken, or consent given, by Noteholders or Residual Certificateholders.

  
 ARTICLE II 
  
 Organization 
  
 SECTION 2.1. Name. There is hereby formed a trust to be known as
“GreenPoint Home Equity Loan Trust 2004-3”, in which name the Owner Trustee may conduct the business of the Trust, make and execute contracts and other instruments on behalf of the Trust and sue and be sued. 
  
 SECTION 2.2. Office. The office of the Trust shall be in the care of
the Owner Trustee at the Corporate Trust Office or at such other address as the Owner Trustee may designate by written notice to the Residual Certificateholders, the Insurer and the Sponsor. 
  
 SECTION 2.3. Purposes and Powers. 
  
 The purpose of the Trust is, and the Trust shall have the power and
authority, to engage in the following activities: 
  
 (i) to issue the Notes pursuant to the Indenture and the Residual Certificates pursuant to this Agreement, and to sell the Notes and Residual Certificates; 
  
 (ii) to assign, grant, transfer, pledge, mortgage and convey the Owner Trust Estate to the Indenture Trustee
on behalf of the Noteholders and for the benefit of the Insurer and to hold, manage and distribute to the Residual Certificateholders pursuant to the terms of the Sale and Servicing Agreement any portion of the Owner Trust Estate released from the
Lien of, and remitted to the Trust pursuant to, the Indenture; 
  

 3 

 (iii) with the proceeds of the sale of the Notes, to pay the organizational, start-up and
transactional expenses of the Trust and to pay the balance to the Sponsor pursuant to the Sale and Servicing Agreement; 
  
 (iv) to enter into, execute, deliver and perform its obligations under the Basic Documents to which it is a party; 
  
 (v) to engage in those activities, including entering into
agreements, that are necessary, suitable or convenient to accomplish the foregoing or are incidental thereto or connected therewith; and 
  
 (vi) subject to compliance with the Basic Documents, to engage in such other activities as may be required in connection with conservation
of the Owner Trust Estate and the making of distributions to the Noteholders and the Residual Certificateholders. 
  
 The Trust is hereby authorized to engage in the foregoing activities. The Trust shall not engage in any activity other than in connection with the foregoing or other than
as required or authorized by the terms of this Agreement or the Basic Documents. 
  
 SECTION 2.4. Appointment of Owner Trustee. The Sponsor hereby appoints the Owner Trustee as trustee of the Trust effective as of the date hereof, to have all the rights, powers and duties set forth herein.

  
 SECTION 2.5. Initial Capital Contribution of Trust Estate;
Capital Accounts. 
  
 (a) The Sponsor hereby sells, assigns,
transfers, conveys and sets over to the Owner Trustee, as of the date hereof, the sum of $1 in exchange for which the Owner Trustee shall issue to the Sponsor the Class G Certificate. The Owner Trustee hereby acknowledges receipt in trust from the
Sponsor, as of the date hereof, of the foregoing contribution, which shall constitute the initial Owner Trust Estate evidenced by the Class G Certificate and shall be deposited in the Distribution Account. On or prior to the Closing Date, the Owner
Trustee will also, upon receipt thereof, acknowledge on behalf of the Trust receipt of the Mortgage Loans pursuant to the Sale and Servicing Agreement. The Sponsor shall pay organizational expenses of the Trust as they may arise or shall, upon the
request of the Owner Trustee, promptly reimburse the Owner Trustee for any such expenses paid by the Owner Trustee. The Sponsor’s payment of such amounts will not increase the Class Principal Balance of the Class G Certificates. 
  
 (b) The Trust will create and maintain capital accounts for the Class B
Certificateholders and Class G Certificateholders, reflecting therein all contributions by such holders and allocations of income and loss and withdrawals and distributions. The initial capital account for the Class B Certificateholders shall
reflect capital of zero upon issuance and for the Class G Certificateholders shall reflect capital of $1 upon issuance. The Indenture Trustee shall perform the obligations of the Trust in this Section 2.5(b) pursuant to Section 6.23 of the
Indenture. 
  
 SECTION 2.6. Declaration of Trust. The Owner
Trustee hereby declares that it will hold the Owner Trust Estate in trust upon and subject to the conditions set forth herein for the use and benefit of the Residual Certificateholders, subject to the obligations of the Trust 

  

 4 

 
under the Basic Documents. It is the intention of the parties hereto that the Trust constitute a statutory trust under the Statutory Trust Statute and that
this Agreement constitute the governing instrument of such statutory trust. It is the intention of the parties hereto that, solely for income and franchise tax purposes, the Trust shall be treated as a partnership in which the holders of the Class G
Certificates and the holders of the Class B Certificates are partners and that, unless otherwise required by appropriate tax authorities, the Trust will file or cause to be filed annual or other necessary returns, reports and other forms consistent
with the characterization of the Trust as a partnership for such tax purposes. Effective as of the date hereof, the Owner Trustee shall have all rights, powers and duties set forth herein and to the extent not inconsistent herewith, in the Statutory
Trust Statute with respect to accomplishing the purposes of the Trust. The Owner Trustee shall file the Certificate of Trust with the Secretary of State. 
  
 SECTION 2.7. Liability. No Holder shall have any personal liability for any liability or obligation of the Trust. 
  
 SECTION 2.8. Title to Trust Property. 
  
 (a) Legal title to all the Owner Trust Estate shall be vested at all times in
the Trust as a separate legal entity except where applicable law in any jurisdiction requires title to any part of the Owner Trust Estate to be vested in a trustee or trustees, in which case title shall be deemed to be vested in the Owner Trustee, a
co-trustee and/or a separate trustee, as the case may be. 
  
 (b)
The Holders shall not have legal title to any part of the Trust Property. The Holders shall be entitled to receive distributions with respect to their undivided ownership interest therein only in accordance with the Basic Documents. No transfer, by
operation of law or otherwise, of any right, title or interest by any Residual Certificateholder of its ownership interest in the Owner Trust Estate shall operate to terminate this Agreement or the trusts hereunder or entitle any transferee to an
accounting or to the transfer to it of legal title to any part of the Trust Property. 
  
 SECTION 2.9. Situs of Trust. The Trust will be located in the State of Delaware and administered in the States of Delaware and Illinois. All bank accounts maintained by the Owner Trustee on behalf of the Trust
shall be located in the State of Delaware or the State of Illinois. Payments will be received by the Trust only in Delaware or Illinois and payments will be made by the Trust only from Delaware or Illinois. The Trust shall not have any employees in
any state other than Delaware; provided, however, that nothing herein shall restrict or prohibit the Owner Trustee, the Servicer or any agent of the Trust from having employees within or without the State of Delaware. The principal office of
the Trust will be at the Corporate Trust Office in Delaware. 
  
 SECTION 2.10. Representations and Warranties of the Sponsor. The Sponsor makes the following representations and warranties on which the Owner Trustee relies in accepting the Owner Trust Estate in trust and issuing the Notes and the
Residual Certificates and upon which the Insurer relies in issuing the Policy. 
  

 5 

 (a) The Sponsor is duly organized and validly existing as a Delaware limited liability company with power
and authority to own its properties and to conduct its business as such properties are currently owned and such business is presently conducted and is proposed to be conducted pursuant to this Agreement and the Basic Documents; 
  
 (b) It is duly qualified to do business as a foreign company in good
standing, and has obtained all necessary licenses and approvals, in all jurisdictions in which the ownership or lease of its property, the conduct of its business and the performance of its obligations under this Agreement and the Basic Documents
requires such qualification; 
  
 (c) The Sponsor has the power and
authority to execute and deliver this Agreement and to carry out its terms; this Agreement, when executed and delivered by the Sponsor, will constitute the legal, valid and binding obligations of the Sponsor, enforceable in accordance with its
terms, except as such enforceability may be limited by bankruptcy, insolvency, reorganization, moratorium or other similar laws affecting creditors’ rights generally and general equitable principles; the Sponsor has full power and authority to
sell and assign the property to be sold and assigned to and deposited with the Trust and the Sponsor has duly authorized such sale and assignment and deposit to the Trust by all necessary action; and the execution, delivery and performance of this
Agreement has been duly authorized by the Sponsor by all necessary action; 
  
 (d) No consent, license, approval or authorization or registration or declaration with, any Person or with any governmental authority, bureau or agency is required in connection with the execution, delivery or
performance of this Agreement and the Basic Documents, except for such as have been obtained, effected or made; 
  
 (e) The consummation of the transactions contemplated by this Agreement and the fulfillment of the terms hereof do not conflict with, result in any breach
of any of the terms and provisions of, or constitute (with or without notice or lapse of time) a default under, the certificate of formation or operating agreement of the Sponsor, or any material indenture, agreement or other instrument to which the
Sponsor is a party or by which it is bound; nor result in the creation or imposition of any Lien upon any of its properties pursuant to the terms of any such indenture, agreement or other instrument (other than pursuant to the Basic Documents); nor
violate any law or, to the best of the Sponsor’s knowledge, any order, rule or regulation applicable to the Sponsor of any court or of any Federal or state regulatory body, administrative agency or other governmental instrumentality having
jurisdiction over the Sponsor or its properties; and 
  
 (f) There
are no proceedings or investigations pending or, to its knowledge threatened against it before any court, regulatory body, administrative agency or other tribunal or governmental instrumentality having jurisdiction over the Sponsor or its properties
(A) asserting the invalidity of this Agreement or any of the Basic Documents, (B) seeking to prevent the issuance of the Notes or the Residual Certificates or the consummation of any of the transactions contemplated by this Agreement or any of the
Basic Documents, (C) seeking any determination or ruling that might materially and adversely affect its performance of its obligations under, or the validity or enforceability of, this Agreement or any of the Basic Documents, or (D) seeking 

  

 6 

 
to adversely affect the federal income tax or other federal, state or local tax attributes of the Notes or the Residual Certificates. 
  
 SECTION 2.11. Federal Income Tax Allocations 
  
 (a) Neither the Owner Trustee nor any Residual Certificateholder will, under
any circumstances, and at any time, make an election on IRS Form 8832 or otherwise, to classify the Trust as an association taxable as a corporation for federal, state or any other applicable tax purpose. 
  
 (b) The Issuer will compute net income or net loss (and each item of income,
gain, loss, and deduction entering into the computation thereof) monthly as of the Record Date for such month for the period beginning on the immediately preceding Payment Date and ending on and inclusive of such Record Date. The Issuer will
separately compute the items described in section 702(a) of the Code, including gains and losses from sales and exchanges of capital assets held for more than one year, and gains and losses from capital assets held for less than one year. During the
Managed Amortization Period, the amounts so computed will be allocated solely among the Class B Certificateholders based on their relative percentage interests in the Class B Certificates. During the Rapid Amortization Period, except as provided in
clause (d) below, the amounts so calculated will be allocated between the Class G Certificateholder and the Class B Certificateholders based on their relative Class Principal Amounts as of the immediately preceding Payment Date, after taking into
account the allocations of income, gain, deduction, and loss and any distribution occurring on such immediately preceding Payment Date. Amounts allocated to the Class B Certificates will be further allocated among the Class B Certificateholders in
accordance with their percentage interests in the Class B Certificates. 
  
 (c) During the Managed Amortization Period, the Issuer will treat the “interest” paid to the Class G Certificateholder on the Additional Balance Contributed Amount as a guaranteed payment under section 707(c) of the Code, and
therefore, and item of deduction for the Issuer. 
  
 (d) Upon
termination of the Trust in accordance with Section 7.01 of the Sale and Servicing Agreement, in connection with making final distributions to each class of Residual Certificateholders, the Trust will modify the allocations set forth in this
paragraph if necessary or appropriate, in the sole discretion of a majority in interest of the Class B Certificateholders and the Class G Certificateholders, to fairly reflect the economic income, gain, deduction, or loss of each class of Residual
Certificateholders. 
  
 (e) The Indenture Trustee shall perform
the obligations of the Issuer in this Section 2.11 pursuant to Section 6.23 of the Indenture. 
  
 SECTION 2.12. Covenants of the Sponsor. The Sponsor agrees and covenants for the benefit of each Residual Certificateholder, the Insurer and the Owner Trustee, during the term of this Agreement, and to the
fullest extent permitted by applicable law, that: 
  
 (a) it shall
not create, incur or suffer to exist any indebtedness or engage in any business, except, in each case, as permitted by its certificate of formation, its operating agreement and the Basic Documents; 
  

 7 

 (b) it shall not, for any reason, institute proceedings for the Trust to be adjudicated a bankrupt or
insolvent, or consent to the institution of bankruptcy or insolvency proceedings against the Trust, or file a petition seeking or consenting to reorganization or relief under any applicable federal or state law relating to the bankruptcy of the
Trust, or consent to the appointment of a receiver, liquidator, assignee, trustee, sequestrator (or other similar official) of the Trust or a substantial part of the property of the Trust or cause or permit the Trust to make any assignment for the
benefit of creditors, or admit in writing the inability of the Trust to pay its debts generally as they become due, or declare or effect a moratorium on the debt of the Trust or take any action in furtherance of any such action; 
  
 (c) it shall obtain from each counterparty to each Basic Document to which it
or the Trust is a party and each other agreement entered into on or after the date hereof to which it or the Trust is a party, an agreement by each such counterparty that prior to the occurrence of the event specified in Section 10.1(e) such
counterparty shall not institute against, or join any other Person in instituting against, it or the Trust, any bankruptcy, reorganization, arrangement, insolvency or liquidation proceedings or other similar proceedings under the laws of the United
States or any state of the United States; and 
  
 (d) it shall
not, for any reason, withdraw or attempt to withdraw from this Agreement, dissolve, institute proceedings for it to be adjudicated a bankrupt or insolvent, or consent to the institution of bankruptcy or insolvency proceedings against it, or file a
petition seeking or consenting to reorganization or relief under any applicable federal or state law relating to bankruptcy, or consent to the appointment of a receiver, liquidator, assignee, trustee, sequestrator (or other similar official) of it
or a substantial part of its property, or make any assignment for the benefit of creditors, or admit in writing its inability to pay its debts generally as they become due, or declare or effect a moratorium on its debt or take any action in
furtherance of any such action. 
  
 SECTION 2.13. Covenants of
the Residual Certificateholders. Each Residual Certificateholder agrees: 
  
 (a) to be bound by the terms and conditions of the Residual Certificates and of this Agreement, including any supplements or amendments hereto and to perform the obligations of a Residual Certificateholder as set
forth therein or herein, in all respects as if it were a signatory hereto. This undertaking is made for the benefit of the Trust, the Owner Trustee, the Insurer and all other Residual Certificateholders present and future; 
  
 (b) to hereby appoint the Sponsor as such Residual Certificateholder’s
agent and attorney-in-fact to sign any federal income tax information return filed on behalf of the Trust, if any, and agree that, if requested by the Trust, it will sign such federal income tax information return in its capacity as holder of an
interest in the Trust. Each Residual Certificateholder also hereby agrees that in its tax returns it will not take any position inconsistent with those taken in any tax returns that may be filed by the Trust; 
  
 (c) if such Residual Certificateholder is other than an individual or other
entity holding its Residual Certificate through a broker who reports securities sales on Form 

  

 8 

 
1099-B, to notify the Owner Trustee of any transfer by it of a Residual Certificate in a taxable sale or exchange, within 30 days of the date of the
transfer; and 
  
 (d) until the completion of the events specified
in Section 10.1(e), not to, for any reason, institute proceedings for the Trust or the Sponsor to be adjudicated a bankrupt or insolvent, or consent to the institution of bankruptcy or insolvency proceedings against the Trust, or file a petition
seeking or consenting to reorganization or relief under any applicable federal or state law relating to bankruptcy, or consent to the appointment of a receiver, liquidator, assignee, trustee, sequestrator (or other similar official) of the Sponsor
or the Trust or a substantial part of its property, or cause or permit the Sponsor or the Trust to make any assignment for the benefit of its creditors, or admit in writing its inability to pay its debts generally as they become due, or declare or
effect a moratorium on its debt or take any action in furtherance of any such action. 
  
 Except as provided in Section 2.13, and notwithstanding any other provision to the contrary in this Agreement, no Residual Certificateholder other than the Sponsor in its capacity as the “Sponsor” shall be
deemed to have adopted, be bound by, or succeed in any way to any representation by, or duty of indemnification by or any other duty of, the Sponsor, including those contained in Sections 2.10, 2.12, 4.6, 9.2 or elsewhere herein. 
  
 ARTICLE III 
  
 [Reserved] 
  
 ARTICLE IV 
  
 Ownership of Trust Property; Residual Certificates and Transfer of Interests 
  
 SECTION 4.1. Trust Property Ownership. Upon the formation of the Trust by the contribution by the Sponsor pursuant to Section 2.5, the Owner
Trustee, contemporaneously therewith, having full power, authority, and authorization to do so, has executed, authenticated, dated, issued, and delivered, in the name and on behalf of the Trust, one (1) or more Residual Certificates representing in
the aggregate a 100% interest in the Trust, and has registered such Residual Certificate(s) on the Certificate Register. The Residual Certificates shall be issued in two classes, Class B and Class G. Such Residual Certificate(s) are duly authorized,
validly issued, and entitled to the benefits of this Agreement. The Sponsor shall at all times keep and own a Class G Certificate representing no less than a 1% Percentage Interest, and at no time will the Sponsor sell or alienate its interest
represented by Class G Certificates in such a way as to reduce its aggregate beneficial ownership in the Class G Certificates to less than a 1% Percentage Interest. 
  
 SECTION 4.2. The Residual Certificates. Each Class of Residual Certificates shall be issued in minimum Percentage
Interests of 10% and integral multiples of 1% in excess thereof. The Residual Certificates shall be executed on behalf of the Trust by manual or facsimile signature of an authorized officer of the Owner Trustee. Residual Certificates bearing the
manual or facsimile signatures of individuals who were, at the time when such signatures shall have been affixed, authorized to sign on behalf of the Trust, shall be validly issued and entitled to the benefit of this Agreement, notwithstanding that
such individuals or any of them 

  

 9 

 
shall have ceased to be so authorized prior to the authentication and delivery of such Residual Certificates or did not hold such offices at the date of
authentication and delivery of such Residual Certificates. A transferee of a Residual Certificate shall become a Residual Certificateholder and shall be entitled to the rights and subject to the obligations of a Residual Certificateholder,
hereunder, upon due registration of such Residual Certificate in such transferee’s name pursuant to Section 4.4. 
  
 SECTION 4.3. Authentication of Residual Certificates. Concurrently with the initial sale of the Mortgage Loans to the Trust pursuant to the Sale
and Servicing Agreement, the Owner Trustee shall cause the Residual Certificates to be executed on behalf of the Trust, authenticated and delivered to or upon the written order of the Sponsor, signed by its chairman of the board, its president or
any vice president, its treasurer or any assistant treasurer without further action by the Sponsor, in authorized denominations. No Residual Certificate shall entitle its holder to any benefit under this Agreement, or shall be valid for any purpose,
unless there shall appear on such Residual Certificate a certificate of authentication substantially in the form set forth in Exhibit A (with respect to a Residual Certificate), executed by the Owner Trustee, by manual signature; such authentication
shall constitute conclusive evidence that such Residual Certificate shall have been duly authenticated and delivered hereunder. All Residual Certificates shall be dated the date of their authentication. 
  
 SECTION 4.4. Registration of Transfer and Exchange of Residual
Certificates. The Certificate Registrar shall keep or cause to be kept, at the office or agency maintained pursuant to Section 4.8, a Certificate Register in which, subject to such reasonable regulations as it may prescribe, the Owner Trustee
shall provide for the registration of Residual Certificates and of transfers and exchanges of Residual Certificates as herein provided. The Owner Trustee shall be the initial Certificate Registrar and shall provide the Indenture Trustee the names
and addresses of each holder of a Residual Certificate upon request. 
  
 In furtherance of and not in limitation of the foregoing, each Residual Certificateholder, by acceptance of its Residual Certificate, specifically acknowledges that it has no right to or interest in any monies at any time held in the Trust
Estate prior to the release of such monies pursuant to Section 8.7(b)(xiv) of the Indenture, as appropriate, such monies being held in trust for the benefit of the Noteholders and the Insurer. Notwithstanding the foregoing, in the event that it is
ever determined that the monies held in the Trust Estate constitute a pledge of collateral, then the provisions of the Sale and Servicing Agreement shall be considered to constitute a security agreement and the Sponsor and the Residual
Certificateholders hereby grant to the Indenture Trustee and the Insurer a first priority perfected security interest in such amounts. In addition, each Residual Certificateholder, by acceptance of its Residual Certificate hereby appoints the
Sponsor as its agent to pledge a first priority perfected security interest in the Trust Estate, and any amounts held therein from time to time to the Indenture Trustee and the Insurer and agrees to execute and deliver such instruments of
conveyance, assignment, grant, confirmation, etc., as well as any financing statements, in each case as the Insurer shall consider reasonably necessary in order to perfect the Indenture Trustee’s security interest in the Mortgage Loans.

  
 SECTION 4.5. Mutilated, Destroyed, Lost or Stolen Residual
Certificates. If (a) any mutilated Residual Certificate shall be surrendered to the Certificate Registrar, or if the 

  

 10 

 
Certificate Registrar shall receive evidence to its satisfaction of the destruction, loss or theft of any Residual Certificate and (b) there shall be
delivered to the Certificate Registrar, the Owner Trustee and the Insurer such security or indemnity as may be required by them to save each of them harmless, then in the absence of notice that such Residual Certificate shall have been acquired by a
bona fide purchaser, the Owner Trustee on behalf of the Trust shall execute and the Owner Trustee shall authenticate and deliver, in exchange for or in lieu of any such mutilated, destroyed, lost or stolen Residual Certificate, a new Residual
Certificate, respectively, of like Class, tenor and Percentage Interest. In connection with the issuance of any new Residual Certificate under this Section, the Owner Trustee 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 connection therewith. Any duplicate Residual Certificate issued pursuant to this Section shall constitute conclusive evidence of an ownership interest in the Trust, as if
originally issued, whether or not the lost, stolen or destroyed Residual Certificate shall be found at any time. 
  
 SECTION 4.6. Persons Deemed Residual Certificateholders. Every Person by virtue of becoming a Residual Certificateholder in accordance with this
Agreement and the rules and regulations of the Certificate Registrar shall be deemed to be bound by the terms of this Agreement. Prior to due presentation of a Residual Certificate for registration of transfer, the Owner Trustee, the Certificate
Registrar and the Insurer and any agent of the Owner Trustee, the Certificate Registrar and the Insurer, may treat the Person in whose name any Residual Certificate shall be registered in the Certificate Register as the owner of such Residual
Certificate for the purpose of receiving distributions pursuant to the Sale and Servicing Agreement and the Indenture and for all other purposes whatsoever, and none of the Owner Trustee, the Certificate Registrar or the Insurer nor any agent of the
Owner Trustee, the Certificate Registrar or the Insurer shall be bound by any notice to the contrary. 
  
 SECTION 4.7. Access to List of Residual Certificateholders’ Names and Addresses. The Owner Trustee shall furnish or cause to be furnished to
the Servicer, the Sponsor or the Insurer, within 15 days after receipt by the Owner Trustee of a request therefor from such Person in writing, a list, of the names and addresses of the Residual Certificateholders as of the most recent Record Date.
If three or more Holders of Residual Certificates or one or more Holders of a Class of Residual Certificates evidencing not less than 25% by Percentage Interest of such Class apply in writing to the Owner Trustee, and such application states that
the applicants desire to communicate with other Residual Certificateholders with respect to their rights under this Agreement or under the Residual Certificates and such application is accompanied by a copy of the communication that such applicants
propose to transmit, then the Owner Trustee shall, within five Business Days after the receipt of such application, afford such applicants access during normal business hours to the current list of Residual Certificateholders. Each Holder, by
receiving and holding a Residual Certificate, shall be deemed to have agreed not to hold any of the Sponsor, the Servicer, the Owner Trustee or the Insurer or any agent thereof accountable by reason of the disclosure of its name and address,
regardless of the source from which such information was derived. 
  
 SECTION 4.8. Maintenance of Office or Agency. The Owner Trustee shall maintain an office or offices or agency or agencies where Residual Certificates may be surrendered for registration of transfer or exchange and where notices and
demands to or upon the Owner Trustee in respect of the Residual Certificates and the Basic Documents may be 

  

 11 

 
served. The Owner Trustee initially designates its corporate trust administration office located at Wilmington Trust Company, Rodney Square North, 1100 North
Market Street, Wilmington, Delaware 19890-0001, Attention: GPHE 2004-3 for such purposes. The Owner Trustee shall give prompt written notice to the Sponsor, the Residual Certificateholders and the Insurer of any change in the location of the
Certificate Register or any such office or agency. 
  
 SECTION
4.9. ERISA Restrictions. The Residual Certificates may not be acquired or transferred to a transferee, other than the Sponsor or its affiliate, for, or on behalf of (i) an employee benefit plan (as defined in Section 3(3) of ERISA whether or
not subject to the provisions of Title I of ERISA), (ii) a plan (as defined in Section 4975 (e) (1) of the Code whether or not subject to Section 4975 of the Code) or (iii) any entity deemed to hold the assets of the foregoing (each, a “Benefit
Plan”). Each prospective transferee, other than the Sponsor or its affiliate, shall represent and warrant to the Owner Trustee and the Certificate Registrar that it is not a Benefit Plan, in accordance with Exhibit C hereto. By accepting and
holding its beneficial ownership interests in its Residual Certificate, the Holder thereof shall be deemed to have represented and warranted that it is not a Benefit Plan. 
  
 SECTION 4.10. Restrictions on Transfer of Residual Certificates. 
  
 (a) The Residual Certificates shall be assigned, transferred, exchanged,
pledged, financed, hypothecated or otherwise conveyed (collectively, for purposes of this Section 4.10 and any other Section referring to the Residual Certificates, “transferred” or a “transfer”) only in accordance with this
Section 4.10. 
  
 (b) Each prospective transferee of a Residual
Certificate, other than the Sponsor, shall represent and warrant, in writing, to the Owner Trustee and the Certificate Registrar and any of their respective successors that: 
  
 (i) Such Person is (A) a “qualified institutional buyer” as defined in Rule 144A under the
Securities Act of 1933, as amended (the “Securities Act”), and is aware that the seller of such Residual Certificate may be relying on the exemption from the registration requirements of the Securities Act provided by Rule 144A and is
acquiring such Residual Certificate for its own account or for the account of one or more qualified institutional buyers for whom it is authorized to act or (B) a Person involved in the organization or operation of the Trust or an affiliate of such
Person within the meaning of Rule 3a-7 of the 1940 Act, as amended (including, but not limited to, the Sponsor). 
  
 (ii) Such Person understands that such Residual Certificate has not been and will not be registered under the Securities Act and may be
offered, sold, pledged or otherwise transferred only to a person whom the seller reasonably believes is (A) a “qualified institutional buyer” or (B) a Person involved in the organization or operation of the Trust or an affiliate of such
Person, in each case in a transaction meeting the requirements of Rule 144A under the Securities Act or that is otherwise exempt from registration under the Securities Act and in accordance with any applicable securities laws of any state of the
United States. 
  

 12 

 (iii) Such Person shall comply with the provisions of Section 4.9, as applicable,
relating to the ERISA restrictions with respect to the acceptance or acquisition of such Residual Certificate. 
  
 (c) Except with respect to the initial transfer of the Class B Certificates to Terwin Advisors LLC (or its affiliate) and the first transfer of the Class
B Certificates by Terwin Advisors LLC (or its affiliate), no pledge or transfer of a Residual Certificate shall be effective unless such purchase or transfer is (i) to a single beneficial owner and (ii) accompanied by an Opinion of Counsel
satisfactory to the Owner Trustee and the Insurer, which Opinion of Counsel shall not be an expense of the Trust, the Certificate Registrar, the Insurer or the Sponsor, to the effect that (a) such pledge or transfer will not cause the Trust to be
treated for federal income tax purposes as an association taxable as a corporation, a taxable mortgage pool, or a publicly traded partnership taxable as a corporation and (b) such pledge or transfer will not jeopardize the status of the Notes as
debt for all purposes. 
  
 (d) No transfer, including any pledge,
of Residual Certificates shall be effective, and the purported transferor shall continue to be regarded as the beneficial owner of the Residual Certificates, if, as a result of the transfer (or pledge), there would be more than 80 beneficial owners
of Certificates. For purposes of applying this restriction, if the registered holder of Certificates is a partnership (or an entity treated as a partnership for federal income tax purposes), a grantor trust, or an S corporation, the Certificates
shall be treated as being beneficially owned by the partners, beneficiaries, or shareholders. The Owner Trustee and Certificate Registrar shall be under no obligation to determine the number of such beneficial owners. The transferee or pledgee shall
certify in writing to the Owner Trustee and Certificate Registrar the number of such partners, beneficiaries and shareholders, and the Owner Trustee and Certificate Registrar may conclusively rely on such certifications. Moreover, to ensure that the
Issuer will not become subject to payment of U.S. withholding tax, any transfer of Certificates to a person other than a U. S. person is prohibited. 
  
 (e) Notwithstanding any contrary provision in this Section 4.10 and only with respect to the first transfer of the Class B Certificates from Terwin
Advisors LLC or its affiliate, the Class B Certificates may be transferred to an affiliate of Terwin Advisors LLC that is an “accredited investor” within the meaning of Rule 501(a)(1), (2), (3), (7) or (8) of Regulation D of the Securities
Act. 
  
 SECTION 4.11. Distributions on Residual
Certificates. 
  
 (a) The Residual Certificateholders will be
entitled to distributions on each Payment Date, as provided in this Agreement, the Sale and Servicing Agreement and the Indenture. With respect to any Payment Date, any amounts remaining in the Distribution Account for payment to the Residual
Certificateholders pursuant to Section 8.7(b)(xiv) of the Indenture, to the extent such funds are received by the Owner Trustee, shall be distributed by the Owner Trustee as follows: 
  
 (i) with respect to any Payment Date during the Managed Amortization Period, to the Class B
Certificateholders; and 
  
 (ii) with respect to
any Payment Date during the Rapid Amortization Period, concurrently, to the Class B Certificateholders and the Class G Certificateholders, pro rata 

  

 13 

 
based on their respective Class Principal Balance; provided, however, that the Class G Certificateholders shall have no right to such distributions
unless all unpaid and unreimbursed Expenses due and owing to the Owner Trustee pursuant to the Basic Documents (including Section 9.2 herein) shall have been paid from such amounts available for distribution to the Class G Certificates. 

 
 provided, further, on the Payment Date on which the Redemption Price is
distributed, the portion, if any, of the Redemption Price equal to the Class Principal Balance of the Class G Certificates shall be distributed pursuant to this Section 4.11(a) to the Class G Certificateholders and the portion, if any, of the
Redemption Price equal to the Class Principal Balance of the Class B Certificates shall be distributed pursuant to this Section 4.11(a) to the Class B Certificateholders, as applicable. 
  
 (b) With respect to each Payment Date, the Owner Trustee, to the extent the Servicer has provided the related Servicing
Certificate to the Owner Trustee pursuant to Section 4.01 of the Sale and Servicing Agreement, shall deliver or make available the Servicing Certificate for such Payment Date to each Residual Certificateholder. 
  
 ARTICLE V 
  
 Voting Rights and Other Actions 
  
 SECTION 5.1. Prior Notice with Respect to Certain Matters. With respect to the following matters, the Owner Trustee
shall not take action unless at least 30 days before the taking of such action, the Owner Trustee shall have notified the Sponsor and the Insurer in writing of the proposed action and the Sponsor, the Insurer and the Residual Certificateholders
shall not have notified the Owner Trustee in writing prior to the 30th day after such notice is given that the Sponsor or the Insurer have withheld consent or provided alternative direction: 
  
 (a) the election by the Trust to file an amendment to the Certificate of
Trust (unless such amendment is required to be filed under the Statutory Trust Statute); 
  
 (b) the amendment of the Indenture by a supplemental Indenture in circumstances where the consent of any Noteholder is required; 
  

(c) the amendment of the Indenture by a supplemental Indenture in circumstances where the consent of any Noteholder is not required and such amendment
materially adversely affects the interest of the Residual Certificateholders; 
  
 (d) except pursuant to Section 9.01 of the Sale and Servicing Agreement, the amendment, change or modification of the Sale and Servicing Agreement, except to cure any ambiguity or defect or to amend or supplement any
provision in a manner that would not materially adversely affect the interests of the Residual Certificateholders; 
  
 (e) the consent to the calling or waiver of any default of any Basic Document; 
  
 (f) the consent to the assignment by the Indenture Trustee or Servicer of their respective obligations under any Basic
Document; 
  

 14 

 (g) except as provided in Article X hereof, dissolve, terminate or liquidate the Trust in whole or in
part; 
  
 (h) cause the Trust to incur, assume or guaranty any
indebtedness other than as in this Agreement or the other Basic Documents; 
  
 (i) do any act that conflicts with any other Basic Document; 
  
 (j) do any act which would make it impossible to carry on the ordinary business Trust as described in Section 2.3 hereof; 
  
 (k) possess Trust assets, or assign the Trust’s right to property, for other than a Trust purpose; 
  
 (l) cause the Trust to lend any funds to any entity; or 
  
 (m) change the Trust’s purpose and powers from those set forth in this
Trust Agreement. 
  
 Any action described under (b), (c), (d), (h), (i), (k), (l)
and (m) shall require the prior approval of the Residual Certificateholders. The Owner Trustee shall notify the Residual Certificateholders in writing of any appointment of a successor Security Registrar, or Certificate Registrar within five
Business Days thereof. 
  
 SECTION 5.2. Action by Residual
Certificateholders with Respect to Certain Matters. Upon the written request of any Residual Certificateholder (a “Proposer”), the Owner Trustee shall distribute promptly to all Residual Certificateholders any request for action or
consent of Residual Certificateholders submitted by such Proposer, with a copy to the Insurer and the Indenture Trustee. The Owner Trustee shall provide a reasonable method for collecting responses to such request and shall tabulate and report the
results thereof to the Residual Certificateholders, the Insurer and the Indenture Trustee. The Owner Trustee shall have no responsibility or duty to determine if any such proposed action or consent is permitted under the terms of this Agreement or
applicable law. 
  
 SECTION 5.3. Action with Respect to
Bankruptcy. Until one year and one day following the day on which the Notes have been paid in full, the Owner Trustee shall not have the power to, and shall not, commence any proceeding or other actions contemplated by Section 2.12(b) relating
to the Trust without the prior written consent of the Insurer. Until one year and one day following the day on which the Notes have been paid in full, all amounts due to the Insurer under the Insurance Agreement have been paid in full, the Policy
has terminated and the Indenture Trustee has surrendered the Policy to the Insurer, the Owner Trustee shall not have the power to, and shall not, commence any proceeding or other actions contemplated by Section 2.12(b) relating to the Trust without
the prior written consent of all of the Residual Certificateholders and the Insurer, and the delivery to the Owner Trustee by each such Residual Certificateholder and the Insurer, of a certificate certifying that such Residual Certificateholder
reasonably believes that the Trust is insolvent. The Owner Trustee in undertaking such proceedings or other actions contemplated by Section 2.12(b) relating to the Trust shall consider the interest of the Noteholders, the Insurer in addition to the
interests of the Trust and whether 

  

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the Trust is insolvent. The Owner Trustee shall not commence such proceedings or other actions contemplated by Section 2.12(b) unless the Owner Trustee shall
have been furnished (at the expense of the Trust) with a letter from an independent accounting firm of national reputation stating that in the opinion of such firm the Trust is then insolvent. The provisions of this Section do not constitute an
acknowledgement or admission by the Trust, the Owner Trustee, any Residual Certificateholder or any creditor of the Trust that the Trust is eligible to be a debtor under the United States Bankruptcy Code, 11 U.S.C. §§ 101 et seq.,
as amended. 
  
 SECTION 5.4. Restrictions on Residual
Certificateholders’ Power. 
  
 (a) Neither the Residual
Certificateholders nor the Insurer shall direct the Owner Trustee to take or refrain from taking any action if such action or inaction would be contrary to any obligation of the Trust or the Owner Trustee under this Agreement or any of the Basic
Documents or would be contrary to Section 2.3 or otherwise contrary to law nor shall the Owner Trustee be obligated to follow any such direction, if given. 
  
 (b) No Residual 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 or any Basic Document, unless such party is the Instructing Party pursuant to Section 7.3 and unless such party previously shall have given to the Owner Trustee a
written notice of default and of the continuance thereof, as provided in this Agreement, and also unless Residual Certificateholders evidencing not less than 25% by Percentage Interest of each class shall have made written request upon the Owner
Trustee to institute such action, suit or proceeding in its own name as Owner Trustee under this Agreement and shall have offered to the Owner Trustee such reasonable indemnity as it may require against the costs, expenses and liabilities to be
incurred therein or thereby, and the Owner Trustee, for 30 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 during such 30-day period no
request or waiver inconsistent with such written request has been given to the Owner Trustee pursuant to and in compliance with this Section or Section 7.3; it being understood and intended, and being expressly covenanted by each Residual
Certificateholder with every other Residual Certificateholder, the Owner Trustee or the Insurer, that no Holders of Residual 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 Residual Certificates, or to obtain or seek to obtain priority over or preference to any other such Holder, or to enforce any right under this Agreement,
except in the manner provided in this Agreement and for the equal, ratable, and common benefit of all Residual Certificateholders and the Insurer. For the protection and enforcement of the provisions of this Section 5.4, each and every Residual
Certificateholder, the Owner Trustee and the Insurer shall be entitled to such relief as can be given either at law or in equity. 
  
 SECTION 5.5. Majority Control. No Residual Certificateholder shall have any right to vote or in any manner otherwise control the operation and
management of the Trust except as expressly provided in this Agreement. Except as expressly provided herein, any action that may be taken by the Residual Certificateholders under this Agreement may be taken by the Holders of Residual Certificates
evidencing not less than a 51% Percentage Interest of each Class of Residual Certificates. Except as expressly provided herein, any written notice of the Residual 

  

 16 

 
Certificateholders delivered pursuant to this Agreement shall be effective if signed by Residual Certificateholders evidencing not less than a 51% Percentage
Interest in each Class at the time of the delivery of such notice. 
  
 SECTION 5.6. Rights of the Insurer. Notwithstanding anything to the contrary in the Basic Documents, without the prior written consent of the Insurer, the Owner Trustee shall not (i) remove the Servicer, (ii) initiate any claim, suit
or proceeding by the Trust or compromise any claim, suit or proceeding brought by or against the Trust, other than with respect to the enforcement of any Mortgage Loan or any rights of the Trust thereunder or confess a judgment against the Trust,
(iii) authorize the merger or consolidation of the Trust with or into any other statutory trust or other entity or convey or transfer all or substantially all of the Trust’s assets to any other Person, (iv) amend the Certificate of Trust or (v)
amend this Agreement in accordance with Section 12.1 of this Agreement. 
  
 SECTION 5.7. [Reserved] 
  
 SECTION 5.8.
Insurer’s Rights Regarding Actions, Proceedings or Investigations. Until all Notes have been paid in full, all amounts owed to the Insurer have been paid in full, the Insurance Agreement has terminated and the Policy has been returned to
the Insurer for cancellation, the following provisions shall apply: 
  
 (a) Notwithstanding anything contained herein or in the other Basic Documents to the contrary and providing that no Insurer Default has occurred or is continuing, the Insurer shall have the right to participate in, to direct the enforcement
or defense of, and, at the Insurer’s sole option, to institute or assume the defense of, any action, proceeding or investigation that could adversely affect the Trust, the Owner Trust Estate, the Collateral, the Trust Property or the rights or
obligations of the Insurer hereunder or under the Policy or the Basic Documents, including (without limitation) any insolvency or bankruptcy proceeding in respect of the Servicer, a Seller, the Sponsor, the Trust or any affiliate thereof. Following
notice to the Indenture Trustee, the Insurer shall have exclusive right to determine, in its sole discretion, the actions necessary to preserve and protect the Trust, the Owner Trust Estate, the Collateral, and the Trust Property. All costs and
expenses of the Insurer in connection with such action, proceeding or investigation, including (without limitation) any judgment or settlement entered into affecting the Insurer or the Insurer’s interests, shall be included in the Reimbursement
Amount. 
  
 (b) In connection with any action, proceeding or
investigation that could adversely affect the Trust, the Owner Trust Estate, the Collateral, the Trust Property or the rights or obligations of the Insurer hereunder or under the Policy or the Basic Documents, including (without limitation) any
insolvency or bankruptcy proceeding in respect of the Servicer, a Seller, the Sponsor, the Trust or any affiliate thereof, the Owner Trustee hereby agrees to cooperate with, and to take such action as directed by, the Insurer, including (without
limitation) entering into such agreements and settlements as the Insurer shall direct, in its sole discretion, without the consent of any Noteholder. 
  
 (c) The Owner Trustee hereby agrees to provide to the Insurer prompt written notice of any action, proceeding or investigation that names the Trust or the
Indenture Trustee as 

  

 17 

 
a party or that could adversely affect the Trust, the Owner Trust Estate, the Collateral, the Trust Property or the rights or obligations of the Insurer
hereunder or under the Policy or the Basic Documents, including (without limitation) any insolvency or bankruptcy proceeding in respect of the Servicer, a Seller, the Sponsor, the Trust or any affiliate thereof. 
  
 (d) Notwithstanding anything contained herein or in any of the other Basic
Documents to the contrary, the Owner Trustee shall not, without the Insurer’s prior written consent or unless directed by the Insurer, undertake or join any litigation or agree to any settlement of any action, proceeding or investigation
affecting the Trust, the Owner Trust Estate, the Collateral, the Trust Property or the rights or obligations of the Insurer hereunder or under the Policy or the Basic Documents. 
  
 (e) Each Residual Certificateholder, by acceptance of its Residual Certificate, as appropriate, and the Owner Trustee agree
that the Insurer shall have such rights as set forth in this Section, which are in addition to any rights of the Insurer pursuant to the other provisions of the Basic Documents, that the rights set forth in this Section may be exercised by the
Insurer, in its sole discretion, without the need for the consent or approval of any Residual Certificateholder or the Owner Trustee, notwithstanding any other provision contained herein or in any of the other Basic Documents, and that nothing
contained in this Section shall be deemed to be an obligation of the Insurer to exercise any of the rights provided for herein. 
  
 ARTICLE VI 
  
 Certain Duties 
  
 SECTION 6.1. Accounting and Records to the Noteholders, Residual Certificateholders, the Internal Revenue Service and Others. The Indenture Trustee shall (a) maintain (or cause to be maintained) the books of
the Trust on a calendar year basis on the accrual method of accounting, including, without limitation, the allocations of net income under Section 2.11 hereof, (b) deliver (or cause to be delivered) to each Residual Certificateholder, as may be
required by the Code and applicable Treasury Regulations, such information as may be required (including Schedule K-1, if applicable) to enable each Residual Certificateholder to prepare its federal and state income tax returns, (c) file or cause to
be filed, if necessary, such tax returns relating to the Trust (including a partnership information return, Form 1065, if applicable), and direct the Owner Trustee or the Servicer, as the case may be, to make such elections as may from time to time
be required or appropriate under any applicable state or federal statute or rule or regulation thereunder so as to maintain the Trust’s characterization as a partnership for federal income tax purposes and (d) collect or cause to be collected
any withholding tax as described in and in accordance with Section 8.01(b)(ii) of the Sale and Servicing Agreement with respect to income or distributions to Residual Certificateholders and the appropriate forms relating thereto. The Owner Trustee
or the Residual Certificateholders, as the case may be, shall make all elections pursuant to this Section as directed in writing by the Indenture Trustee. The Owner Trustee shall sign all tax information returns, if any, filed pursuant to this
Section 6.1 and any other returns as may be required by law, and in doing so shall rely entirely upon, and shall have no liability for information provided by, or calculations provided by, the Indenture Trustee. The Indenture Trustee will direct the
Owner Trustee and the Owner Trustee shall elect under Section 1278 of the Code to include in income currently any 

  

 18 

 
market discount that accrues with respect to the Mortgage Loans and shall elect under Section 171(c) of the Code to amortize any bond premium with respect to
the Mortgage Loans. The Indenture Trustee shall not direct the Owner Trustee to make, and the Owner Trustee shall not make, the election provided under Section 754 of the Code. 
  
 SECTION 6.2. Signature on Returns; Tax Matters Partner. 
  
 (a) The Owner Trustee shall sign on behalf of the Trust the tax returns of the Trust, unless applicable law requires a
Residual Certificateholder to sign such documents, in which case such documents shall be signed by the applicable Residual Certificateholder. 
  
 (b) The majority holder of the Class G Certificates shall be the “tax matters partner” of the Trust pursuant to the Code. 
  
 SECTION 6.3. Underwriting Agreement. The Servicer is hereby authorized
to execute and deliver the Underwriting Agreement with respect to the Notes. 
  
 ARTICLE VII 
  
 Authority and
Duties of Owner Trustee 
  
 SECTION 7.1. General
Authority. The Owner Trustee is authorized and directed to execute and deliver the Basic Documents to which the Trust is named as a party and each certificate or other document attached as an exhibit to or contemplated by the Basic Documents to
which the Trust is named as a party and any amendment thereto, in each case, in such form as the Sponsor shall approve as evidenced conclusively by the Owner Trustee’s execution thereof, and on behalf of the Trust, to direct the Indenture
Trustee to authenticate and deliver Class A Notes in the principal amount of $226,987,000. In addition to the foregoing, the Owner Trustee is authorized, but shall not be obligated, to take all actions required of the Trust pursuant to the Basic
Documents. The Owner Trustee is further authorized from time to time to take such action as the Instructing Party recommends with respect to the Basic Documents so long as such activities are consistent with the terms of the Basic Documents. The
Owner Trustee may rely on the Manager to carry out any action that the Owner Trustee is authorized or directed to perform hereunder, to the extent permitted by the Management Agreement. 
  
 SECTION 7.2. General Duties. It shall be the duty of the Owner Trustee to discharge (or cause to be discharged) all
of its responsibilities pursuant to the terms of this Agreement and to administer the Trust in the interest of the Holders, subject to the Basic Documents and in accordance with the provisions of this Agreement. Notwithstanding the foregoing, the
Owner Trustee shall be deemed to have discharged its duties and responsibilities hereunder and under the Basic Documents to the extent the Servicer has agreed in the Sale and Servicing Agreement to perform any act or to discharge any duty of the
Trust or the Owner Trustee hereunder or under any Basic Document, and the Owner Trustee shall not be liable for the default or failure of the Servicer to carry out its obligations under the Sale and Servicing Agreement or the failure of the Manager
to carry out its obligations under the Management Agreement. 
  

 19 

 SECTION 7.3. Action upon Instruction. 
  
 (a) Subject to Article V, the Insurer (the “Instructing
Party”) shall have the exclusive right to direct the actions of the Owner Trustee in the management of the Trust, so long as such instructions are not inconsistent with the express terms set forth herein or in any Basic Document. The
Instructing Party shall not instruct the Owner Trustee in a manner inconsistent with this Agreement or the Basic Documents. In acting in accordance with the direction of the Insurer pursuant to this Section or pursuant to Article V, the Owner
Trustee shall not be deemed to (i) owe any fiduciary obligation to the Insurer or (ii) have violated any fiduciary responsibility to the Residual Certificateholders. 
  
 (b) The Owner Trustee shall not be required to take any action hereunder or under any Basic Document if the Owner Trustee
shall have reasonably determined, or shall have been advised by counsel, that such action is likely to result in liability on the part of the Owner Trustee or is contrary to the terms hereof or of any Basic Document or is otherwise contrary to law.

  
 (c) Whenever the Owner Trustee is unable to decide between
alternative courses of action permitted or required by the terms of this Agreement or any Basic Document, the Owner Trustee shall promptly give notice (in such form as shall be appropriate under the circumstances) to the Instructing Party requesting
instruction as to the course of action to be adopted, and to the extent the Owner Trustee acts in good faith in accordance with any instruction of the Instructing Party received, the Owner Trustee shall not be liable on account of such action to any
Person. If the Owner Trustee shall not have received appropriate instruction within ten days of such notice (or within such shorter period of time as reasonably may be specified in such notice or may be necessary under the circumstances) it may, but
shall be under no duty to, notwithstanding any other provision of this Agreement, take or refrain from taking such action, not inconsistent with this Agreement or the Basic Documents, as it shall deem to be in the best interests of the Residual
Certificateholders and shall have no liability to any Person for such action or inaction. 
  
 (d) In the event that the Owner Trustee is unsure as to the application of any provision of this Agreement or any Basic Document or any such provision is ambiguous as to its application, or is, or appears to be, in
conflict with any other applicable provision, or in the event that this Agreement permits any determination by the Owner Trustee or is silent or is incomplete as to the course of action that the Owner Trustee is required to take with respect to a
particular set of facts, the Owner Trustee may give notice (in such form as shall be appropriate under the circumstances) to the Instructing Party requesting instruction and, notwithstanding any other provision of this Agreement, to the extent that
the Owner Trustee acts or refrains from acting in good faith in accordance with any such instruction received, the Owner Trustee shall not be liable, on account of such action or inaction, to any Person. If the Owner Trustee shall not have received
appropriate instruction within 10 days of such notice (or within such shorter period of time as reasonably may be specified in such notice or may be necessary under the circumstances) it may, but shall be under no duty to, take or refrain from
taking such action, not inconsistent with this Agreement or the Basic Documents, as it shall deem to be in the best interests of the Residual Certificateholders, and shall have no liability to any Person for such action or inaction. 
  

 20 

 SECTION 7.4. No Duties Except as Specified in this Agreement or in Instructions. The Owner Trustee
shall not have any duty or obligation to manage, make any payment with respect to, register, record, sell, dispose of, or otherwise deal with the Owner Trust Estate, or to otherwise take or refrain from taking any action under, or in connection
with, any document contemplated hereby to which the Owner Trustee is a party, except as expressly provided by the terms of this Agreement or in any document or written instruction received by the Owner Trustee pursuant to Section 7.3; and no implied
duties or obligations shall be read into this Agreement or any Basic Document against the Owner Trustee. The Owner Trustee shall have no responsibility to file any financing or continuation statement in any public office at any time or otherwise to
perfect or to maintain the perfection of any security interest or lien granted to it hereunder or to prepare or file any Commission filing for the Trust or to record this Agreement or any Basic Document. The Owner Trustee nevertheless agrees that it
will, at its own cost and expense, promptly take all action as may be necessary to discharge any Liens on any part of the Owner Trust Estate that result from actions by, or claims against, the Owner Trustee (solely in its individual capacity) and
that are not related to the ownership or the administration of the Owner Trust Estate. 
  
 SECTION 7.5. No Action Except under Specified Documents or Instructions. The Owner Trustee shall not manage, control, use, sell, dispose of or otherwise deal with any part of the Owner Trust Estate except (i)
in accordance with the powers granted to and the authority conferred upon the Owner Trustee pursuant to this Agreement, (ii) in accordance with the Basic Documents and (iii) in accordance with any document or instruction delivered to the Owner
Trustee pursuant to Section 7.3. 
  
 SECTION 7.6.
Restrictions. The Owner Trustee shall not take any action (a) that is inconsistent with the purposes of the Trust set forth in Section 2.3 or (b) that, to the actual knowledge of the Owner Trustee, would result in the Trust’s becoming
taxable as a corporation or a publicly traded partnership for federal income tax purposes. The Residual Certificateholders shall not direct the Owner Trustee to take action that would violate the provisions of this Section. 
  
 ARTICLE VIII 
  
 Concerning the Owner Trustee 
  

SECTION 8.1. Acceptance of Trust and Duties. The Owner Trustee accepts the trust hereby created and agrees to perform its duties hereunder with
respect to such trust but only upon the terms of this Agreement. The Owner Trustee also agrees to disburse all monies actually received by it constituting part of the Owner Trust Estate upon the terms of the Basic Documents and this Agreement. The
Owner Trustee shall not be answerable or accountable hereunder or under any Basic Document under any circumstances, except (i) for its own willful misconduct, bad faith or negligence, (ii) in the case of the inaccuracy of any representation or
warranty contained in Section 8.3 expressly made by the Owner Trustee in its individual capacity, (iii) for liabilities arising from the failure of the Owner Trustee to perform obligations expressly undertaken by it in the last sentence of Section
7.4 hereof, or (iv) for taxes, fees or other charges on, based on or measured by, any fees, commissions or compensation received by the Owner Trustee. In particular, but not by way of limitation (and subject to the exceptions set forth in the
preceding sentence): 
  
 (a) the Owner Trustee shall not be liable
for any error of judgment, not constituting negligence, made by a Responsible Officer of the Owner Trustee; 
  

 21 

 (b) the Owner Trustee shall not be liable with respect to any action taken or omitted to be taken by it
if such action or omission is in accordance with the instructions of the Instructing Party, the Sponsor, the Servicer or any Residual Certificateholder pursuant to the terms hereof; 
  
 (c) the Owner Trustee shall not risk funds or otherwise incur any financial liability in the performance of any of its
rights or powers hereunder or under any Basic Document if the Owner Trustee shall have reasonable grounds for believing that repayment of such funds or adequate indemnity against such risk or liability is not reasonably assured or provided to it;

  
 (d) the Owner Trustee shall not be responsible for or in
respect of the validity or sufficiency of this Agreement or for the due execution hereof by the Sponsor or for the form, character, genuineness, sufficiency, value or validity of any of the Owner Trust Estate or for or in respect of the validity or
sufficiency of the Basic Documents, other than the certificates of authentication on the Notes and the Residual Certificates, and the Owner Trustee shall in no event assume or incur any liability, duty or obligation to the Sponsor, the Insurer, the
Indenture Trustee or any Residual Certificateholder, other than as expressly provided for herein and in the Basic Documents; 
  
 (e) the Owner Trustee shall not be liable for the default or misconduct of the Sponsor, the Insurer, the Indenture Trustee, or the Servicer under any of
the Basic Documents or otherwise and the Owner Trustee shall have no obligation or liability to perform the obligations under this Agreement or the Basic Documents that are required to be performed by the Sponsor under this Agreement, by the
Indenture Trustee under the Indenture or the Servicer under the Sale and Servicing Agreement; and 
  
 (f) the Owner Trustee shall be under no obligation to exercise any of the rights or powers vested in it by this Agreement, or to institute, conduct or
defend any litigation under this Agreement or otherwise or in relation to this Agreement or any Basic Document, at the request, order or direction of the Instructing Party or any of the Residual Certificateholders, unless such Instructing Party or
Residual Certificateholders have offered to the Owner Trustee security or indemnity satisfactory to it against the costs, expenses and liabilities that may be incurred by the Owner Trustee therein or thereby. The right of the Owner Trustee to
perform any discretionary act enumerated in this Agreement or in any Basic Document shall not be construed as a duty, and the Owner Trustee shall not be answerable for other than its gross negligence, bad faith or willful misconduct in the
performance of any such act. 
  
 (g) Notwithstanding anything to
the contrary herein or in any Basic Document, the Owner Trustee shall not be required to execute, deliver or certify on behalf of the Issuer or any other Person any filings, certificates, affidavits or other instruments in connection with
certifications required under the Sarbanes-Oxley Act of 2002. 
  

 22 

 SECTION 8.2. Furnishing of Documents. The Owner Trustee shall furnish to the Residual
Certificateholders promptly upon receipt of a written request therefor, duplicates or copies of all reports, notices, requests, demands, certificates, financial statements and any other instruments furnished to the Owner Trustee under the Basic
Documents. 
  
 SECTION 8.3. Representations and Warranties.
The Owner Trustee hereby represents and warrants, in its individual capacity, to the Sponsor, the Certificateholders and the Insurer that: 
  
 (a) It is a banking corporation, duly organized and validly existing in good standing under the laws of the State of Delaware. It has all requisite
corporate power and authority to execute, deliver and perform its obligations under this Agreement. 
  
 (b) It has taken all corporate action necessary to authorize the execution and delivery by it of this Agreement, and this Agreement will be executed and
delivered by one of its officers who is duly authorized to execute and deliver this Agreement on its behalf. 
  
 (c) Neither the execution nor the delivery by it of this Agreement, nor the consummation by it of the transactions contemplated hereby nor compliance by
it with any of the terms or provisions hereof will contravene any federal or Delaware state law, governmental rule or regulation governing the banking or trust powers of the Owner Trustee or any judgment or order binding on it, or constitute any
default under its charter documents or by-laws or any indenture, mortgage, contract, agreement or instrument to which it is a party or by which any of its properties may be bound. 
  
 (d) The Owner Trustee has duly executed and delivered this Agreement and each other Basic Document to which it is a party,
and each of this Agreement and each such other Basic Document constitutes the legal, valid and binding obligation of the Owner Trustee, enforceable against the Owner Trustee in accordance with its terms, except as (i) such enforceability may be
limited by bankruptcy, insolvency, reorganization and similar laws relating to or affecting the enforcement of creditors’ rights generally and (ii) the availability of equitable remedies may be limited by equitable principles of general
applicability. 
  
 SECTION 8.4. Reliance; Advice of
Counsel. 
  
 (a) The Owner Trustee shall incur no liability to
anyone in acting upon any signature, instrument, notice, resolution, request, consent, order, certificate, report, opinion, bond or other document or paper believed by it to be genuine and believed by it to be signed by the proper party or parties.
The Owner Trustee may accept a certified copy of a resolution of the board of directors or other governing body of any corporate party as conclusive evidence that such resolution has been duly adopted by such body and that the same is in full force
and effect. As to any fact or matter the method of the determination of which is not specifically prescribed herein, the Owner Trustee may for all purposes hereof rely on a certificate, signed by the president or any vice president or by the
treasurer, secretary or other authorized officers of the relevant party, as to such fact or matter, and such certificate shall constitute full protection to the Owner Trustee for any action taken or omitted to be taken by it in good faith in
reliance thereon. 
  

 23 

 (b) In the exercise or administration of the trusts hereunder and in the performance of its duties and
obligations under this Agreement or the Basic Documents, the Owner Trustee (i) may act directly or through its agents or attorneys pursuant to agreements entered into with any of them, and (ii) may consult with counsel, accountants and other skilled
persons to be selected with reasonable care and employed by it. The Owner Trustee shall not be liable for anything done, suffered or omitted in good faith by it in accordance with the opinion or advice of any such counsel, accountants or other such
persons and according to such opinion not contrary to this Agreement or any Basic Document. 
  
 SECTION 8.5. Not Acting in Individual Capacity. Except as provided in this Article VII, in accepting the trusts hereby created Wilmington Trust Company acts solely as Owner Trustee hereunder and not in its
individual capacity and all Persons having any claim against the Owner Trustee by reason of the transactions contemplated by this Agreement or any Basic Document shall look only to the Owner Trust Estate for payment or satisfaction thereof.

  
 SECTION 8.6. Owner Trustee Not Liable for Notes, Residual
Certificates or Mortgage Loans. The recitals contained herein and in the Notes and the Residual Certificates (other than the signature and countersignature of the Owner Trustee on the Notes and the Residual Certificates, respectively), shall be
taken as the statements of the Sponsor and the Owner Trustee assumes no responsibility for the correctness thereof. The Owner Trustee makes no representations as to the validity or sufficiency of this Agreement, of any Basic Document, of the Notes
(other than the signature and countersignature of the Owner Trustee on the Notes) or of the Residual Certificates, (other than the signature and countersignature of the Owner Trustee on the Residual Certificates) or of any Mortgage Loan or related
documents. The Owner Trustee shall at no time have any responsibility or liability for or with respect to the legality, validity and enforceability of any Mortgage Loan, or the perfection and priority of any security interest created by any Mortgage
Loan or the maintenance of any such perfection and priority, or for or with respect to the sufficiency of the Owner Trust Estate or its ability to generate the payments to be distributed to Residual Certificateholders under this Agreement or the
Noteholders under the Indenture, including, without limitation: the existence, condition and ownership of any Mortgage Loan; the existence and enforceability of any insurance thereon; the existence and contents of any Mortgage Loan on any computer
or other record thereof; the validity of the assignment of any Mortgage Loan to the Trust or of any intervening assignment; the completeness of any Mortgage Loan; the performance or enforcement of any Mortgage Loan; the compliance by the Sponsor,
the Servicer or any other Person with any warranty or representation made under any Basic Document or in any related document or the accuracy of any such warranty or representation or any action of the Indenture Trustee or the Servicer or any
subservicer taken in the name of the Owner Trustee. 
  
 SECTION
8.7. Owner Trustee May Own Notes and Residual Certificates. The Owner Trustee in its individual or any other capacity may become the owner or pledgee of Notes or Residual Certificates and may deal with the Sponsor, the Indenture Trustee and
the Servicer in banking transactions with the same rights as it would have if it were not Owner Trustee. 
  
 SECTION 8.8. Payments from Owner Trust Estate. All payments to be made by the Owner Trustee under this Agreement or any of the Basic Documents to
which the Trust or the Owner Trustee is a party shall be made only from the income and proceeds of the Owner 

  

 24 

 
Trust Estate and only to the extent that the Owner Trust shall have received income or proceeds from the Owner Trust Estate to make such payments in
accordance with the terms hereof. Wilmington Trust Company, or any successor thereto, in its individual capacity, shall not be liable for any amounts payable under this Agreement or any of the Basic Documents to which the Trust or the Owner Trustee
is a party. 
  
 SECTION 8.9. Doing Business in Other
Jurisdictions. Notwithstanding anything contained to the contrary, neither Wilmington Trust Company or any successor thereto, nor the Owner Trustee shall be required to take any action in any jurisdiction other than in the State of Delaware if
the taking of such action will, even after the appointment of a co-trustee or separate trustee in accordance with Section 11.5 hereof, (i) require the consent or approval or authorization or order of or the giving of notice to, or the registration
with or the taking of any other action in respect of, any state or other governmental authority or agency of any jurisdiction other than the State of Delaware; (ii) result in any fee, tax or other governmental charge under the laws of the State of
Delaware becoming payable by Wilmington Trust Company (or any successor thereto); or (iii) subject Wilmington Trust Company (or any successor thereto) to personal jurisdiction in any jurisdiction other than the State of Delaware for causes of action
arising from acts unrelated to the consummation of the transactions by Wilmington Trust Company (or any successor thereto) or the Owner Trustee, as the case may be, contemplated hereby. 
  
 ARTICLE IX 
  
 Compensation of Owner Trustee 
  
 SECTION 9.1. Owner Trustee’s Fees and Expenses. The Owner Trustee shall receive as compensation for its services hereunder the Owner Trustee
Fees, and the Owner Trustee shall be entitled to be reimbursed by Terwin Advisors LLC for its other reasonable expenses hereunder, including the reasonable compensation, expenses and disbursements of such agents, representatives, experts and counsel
as the Owner Trustee may employ in connection with the exercise and performance of its rights and its duties hereunder and under the Basic Documents. 
  
 SECTION 9.2. Indemnification. The Sponsor and the Servicer shall be liable as primary obligors for, and shall indemnify the Owner Trustee (in its
individual and trust capacities) and its officers, directors, successors, assigns, agents and servants (collectively, the “Indemnified Parties”) from and against, any and all liabilities, obligations, losses, damages, taxes, claims,
actions and suits, and any and all reasonable fees (to the extent otherwise unpaid), costs, expenses and disbursements (including reasonable legal fees and expenses) of any kind and nature whatsoever (collectively, “Expenses”) which
may (in its trust or individual capacities) at any time be imposed on, incurred by, or asserted against the Owner Trustee or any Indemnified Party in any way relating to or arising out of this Agreement, the Basic Documents, the Owner Trust Estate,
the administration of the Owner Trust Estate or the action or inaction of the Owner Trustee hereunder, except only that the Sponsor and the Servicer shall not be liable for or required to indemnify the Owner Trustee from and against Expenses arising
or resulting from any of the matters described in the third sentence of Section 8.1. The indemnities contained in this Section and the rights under Section 9.1 shall survive the resignation or termination of the 

  

 25 

 
Owner Trustee or the termination of this Agreement. In any event of any claim, action or proceeding for which indemnity will be sought pursuant to this
Section, the Owner Trustee’s choice of legal counsel shall be subject to the approval of the Sponsor and the Servicer, which approval shall not be unreasonably withheld. 
  
 SECTION 9.3. Payments to the Owner Trustee. Any amounts paid to the Owner Trustee pursuant to this Article IX shall
be deemed not to be a part of the Owner Trust Estate immediately after such payment. 
  
 SECTION 9.4. Non-recourse Obligations. Notwithstanding anything in this Agreement or any Basic Document, the Owner Trustee agrees in its individual capacity and in its capacity as Owner Trustee for the Trust
that all obligations of the Trust to the Owner Trustee individually or as Owner Trustee for the Trust shall be recourse to the Owner Trust Estate only and specifically shall not be recourse to the assets of any Residual Certificateholder.

  
 ARTICLE X 
  
 Termination of Trust Agreement 
  
 SECTION 10.1. Termination of Trust Agreement. 
  
 (a) This Agreement and the Trust shall terminate and be of no further force
or effect upon the later of (i) the maturity or other liquidation of the last Mortgage Loan (including the redemption by the Optional Redemption Holder at its option of the Notes as described in Section 7.01(b) of the Sale and Servicing Agreement)
and the subsequent distribution of amounts in respect of such Mortgage Loans as provided in the Basic Documents or (ii) the payment to Residual Certificateholders of all amounts required to be paid to them pursuant to this Agreement and the
Indenture and the payment to the Insurer of all amounts payable or reimbursable to it pursuant to the Sale and Servicing Agreement, the Indenture and the Insurance Agreement; provided, however, that the rights to indemnification under Section
9.2 and the rights under Section 9.1 shall survive the termination of the Trust. The Servicer shall promptly notify the Owner Trustee and the Insurer of any prospective termination pursuant to this Section 10.1. The bankruptcy, liquidation,
dissolution, death or incapacity of any Residual Certificateholder shall not (x) operate to terminate this Agreement or the Trust, nor (y) entitle such Residual Certificateholder’s legal representatives or heirs to claim an accounting or to
take any action or proceeding in any court for a partition or winding up of all or any part of the Trust or Owner Trust Estate nor (z) otherwise affect the rights, obligations and liabilities of the parties hereto. 
  
 (b) Except as provided in clause (a), neither the Sponsor nor any other
Residual Certificateholder shall be entitled to revoke or terminate the Trust. 
  
 (c) Notice of any termination of the Trust, specifying the Payment Date upon which the Residual Certificateholders shall surrender their Residual Certificates to the Owner Trustee for payment of the final distribution
and cancellation, shall be given by the Owner Trustee by letter to the Residual Certificateholders mailed within five Business Days of receipt of notice of such termination from the Servicer given pursuant to Section 7.01(c) of the Sale and
Servicing Agreement, stating (i) the Payment Date upon or with respect to which final payment 

  

 26 

 
of the Residual Certificates shall be made upon presentation and surrender of the Residual Certificates at the office of the Owner Trustee therein
designated, (ii) the amount of any such final payment and (iii) that the Record Date otherwise applicable to such Payment Date is not applicable, payments being made only upon presentation and surrender of the Residual Certificates at the office of
the Owner Trustee therein specified. The Owner Trustee shall give such notice to the Certificate Registrar (if other than the Owner Trustee) and the Indenture Trustee at the time such notice is given to the Residual Certificateholders. Upon
presentation and surrender of the Residual Certificates, the Owner Trustee shall cause to be distributed to the Residual Certificateholders amounts distributable on such Payment Date pursuant to Section 4.11(a) herein. 
  
 In the event that all of the Residual Certificateholders shall not surrender
their Residual Certificates for cancellation within six months after the date specified in the above-mentioned written notice, the Owner Trustee shall give a second written notice to the remaining Residual Certificateholders to surrender their
Residual Certificates for cancellation and receive the final distribution with respect thereto. If within one year after the second notice all the Residual Certificates shall not have been surrendered for cancellation, the Owner Trustee may take
appropriate steps, or may appoint an agent to take appropriate steps, to contact the remaining Residual Certificateholders concerning surrender of their Residual Certificates, and the cost thereof shall be paid out of the funds and other assets that
shall remain subject to this Agreement. Any funds remaining in the Trust after exhaustion of such remedies shall be distributed, subject to applicable escheat laws, by the Owner Trustee to the Sponsor and Holders shall look solely to the Sponsor for
payment. 
  
 (d) Any funds remaining in the Trust after funds for
final distribution have been distributed or set aside for distribution, to the extent received by the Owner Trustee, shall be distributed by the Owner Trustee to the Residual Certificateholders pursuant to Section 4.11(a) herein. 
  
 (e) Upon the winding up of the Trust and its termination, the Owner Trustee
shall cause the Certificate of Trust to be canceled by filing a certificate of cancellation with the Secretary of State in accordance with the provisions of Section 3810 of the Statutory Trust Statute. 
  
 ARTICLE XI 
  
 Successor Owner Trustees and Additional Owner Trustees 
  
 SECTION 11.1. Eligibility Requirements for Owner Trustee. The Owner Trustee shall at all times be a corporation (i)
satisfying the provisions of Section 3807(a) of the Statutory Trust Statute; (ii) authorized to exercise corporate trust powers; (iii) having a combined capital and surplus of at least $50,000,000 and subject to supervision or examination by federal
or State authorities; (iv) having (or having a parent which has) a rating of at least A3 by Moody’s or A-1 by Standard & Poor’s ; and (v) acceptable to the Insurer in its sole discretion. If such corporation shall publish reports of
condition at least annually, pursuant to law or to the requirements of the aforesaid supervising or examining authority, then for the purpose of this Section, the combined capital and surplus of such corporation shall be deemed to be its combined

  

 27 

 
capital and surplus as set forth in its most recent report of condition so published. In case at any time the Owner Trustee shall cease to be eligible in
accordance with the provisions of this Section, the Owner Trustee shall resign immediately in the manner and with the effect specified in Section 11.2. 
  
 SECTION 11.2. Resignation or Removal of Owner Trustee. The Owner Trustee may at any time resign and be discharged from the trusts hereby created by
giving written notice thereof to the Sponsor (or in the event that the Sponsor is not the sole Residual Certificateholder, the Holders of Residual Certificates evidencing not less than a majority in each class), the Insurer and the Servicer. Upon
receiving such notice of resignation, the Sponsor shall promptly appoint a successor Owner Trustee, meeting the qualifications set forth in Section 11.1 herein, by written instrument, one copy of which instrument shall be delivered to the resigning
Owner Trustee and with additional copies to the successor Owner Trustee and the Insurer provided that the Sponsor shall have received written confirmation from each of the Rating Agencies that the proposed appointment will not result in an increased
capital charge to the Insurer by either of the Rating Agencies. If no successor Owner Trustee shall have been so appointed and have accepted appointment within 30 days after the giving of such notice of resignation, the resigning Owner Trustee or
the Insurer may petition any court of competent jurisdiction for the appointment of a successor Owner Trustee. 
  
 If at any time the Owner Trustee shall cease to be eligible in accordance with the provisions of Section 11.1 and shall fail to resign after written
request therefor by the Sponsor, or if at any time the Owner Trustee shall be legally unable to act, or shall be adjudged bankrupt or insolvent, or a receiver of the Owner Trustee or of its property shall be appointed, or any public officer shall
take charge or control of the Owner Trustee or of its property or affairs for the purpose of rehabilitation, conservation or liquidation, then the Sponsor with the consent of the Insurer may remove the Owner Trustee. If the Sponsor shall remove the
Owner Trustee under the authority of the immediately preceding sentence, the Sponsor shall promptly appoint a successor Owner Trustee, meeting the qualifications set forth in Section 11.1 herein, by written instrument, in duplicate, one copy of
which instrument shall be delivered to the outgoing Owner Trustee so removed, one copy to the Insurer and one copy to the successor Owner Trustee and the Sponsor shall pay all fees owed to the outgoing Owner Trustee, if not previously paid by the
Trust. 
  
 Any resignation or removal of the Owner Trustee and
appointment of a successor Owner Trustee pursuant to any of the provisions of this Section shall not become effective until acceptance of appointment by the successor Owner Trustee pursuant to Section 11.3 and payment of all fees and expenses owed
to the outgoing Owner Trustee. The Sponsor shall provide notice of such resignation or removal of the Owner Trustee to each of the Rating Agencies. 
  
 Notwithstanding any other provision of this Agreement, and in addition to any other method of removal of the Owner Trustee contained herein, upon a
proposal made pursuant to Section 5.2 and the subsequent consent of Residual Certificateholders representing no less than a 66-2/3% Percentage Interest of each Class, the Owner Trustee may be removed as Owner Trustee, subject to the consent of the
Insurer, which consent is not to be unreasonably withheld. In the event the Owner Trustee is removed pursuant to this paragraph, the provisions of this 

  

 28 

 
Agreement, including Article X herein, shall apply as if the Owner Trustee had resigned hereunder. 
  
 SECTION 11.3. Successor Owner Trustee. Any successor Owner Trustee
appointed pursuant to Section 11.2 shall execute, acknowledge and deliver to the Sponsor, the Servicer and the Insurer and to its predecessor Owner Trustee an instrument accepting such appointment under this Agreement, and thereupon the resignation
or removal of the predecessor Owner Trustee shall become effective and such successor Owner Trustee, without any further act, deed or conveyance, shall become fully vested with all the rights, powers, duties and obligations of its predecessor under
this Agreement, with like effect as if originally named as Owner Trustee. The predecessor Owner Trustee shall upon payment of its fees and expenses deliver to the successor Owner Trustee all documents and statements and monies held by it under this
Agreement; and the Sponsor and the predecessor Owner Trustee shall execute and deliver such instruments and do such other things as may reasonably be required for fully and certainly vesting and confirming in the successor Owner Trustee all such
rights, powers, duties and obligations. 
  
 No successor Owner
Trustee shall accept appointment as provided in this Section unless at the time of such acceptance such successor Owner Trustee shall be eligible pursuant to Section 11.1. 
  
 Upon acceptance of appointment by a successor Owner Trustee pursuant to this Section, the Servicer shall mail notice of the
successor of such Owner Trustee to all Residual Certificateholders, the Indenture Trustee, the Noteholders and the Rating Agencies. If the Servicer shall fail to mail such notice within 10 days after acceptance of appointment by the successor Owner
Trustee, the successor Owner Trustee shall cause such notice to be mailed at the expense of the Servicer. 
  
 SECTION 11.4. Merger or Consolidation of Owner Trustee. Any corporation into which the Owner Trustee may be merged or converted or with which it
may be consolidated, or any corporation resulting from any merger, conversion or consolidation to which the Owner Trustee shall be a party, or any corporation succeeding to all or substantially all of the corporate trust business of the Owner
Trustee, shall be the successor of the Owner Trustee hereunder, provided such corporation shall be eligible pursuant to Section 11.1, without the execution or filing of any instrument or any further act on the part of any of the parties hereto,
anything herein to the contrary notwithstanding; provided, further, that the Owner Trustee shall mail notice of such merger or consolidation to the Rating Agencies and the Insurer. 
  
 SECTION 11.5. Appointment of Co-Owner Trustee or Separate Owner Trustee. Notwithstanding any other provisions of this
Agreement, at any time, for the purpose of meeting any legal requirements of any jurisdiction in which any part of the Owner Trust Estate or any Mortgaged Property may at the time be located, the Servicer and the Owner Trustee acting jointly shall
have the power and shall execute and deliver all instruments to appoint one or more Persons approved by the Owner Trustee and the Insurer to act as co-trustee, jointly with the Owner Trustee, or separate trustee or separate trustees, of all or any
part of the Owner Trust Estate, and to vest in such Person, in such capacity, such title to the Trust, or any part thereof, and, subject to the other provisions of this Section, such powers, duties, obligations, rights and 

  

 29 

 
trusts as the Servicer and the Owner Trustee may consider necessary or desirable. If the Servicer shall not have joined in such appointment within 15 days
after the receipt by it of a request so to do, the Owner Trustee subject to the approval of the Insurer (which approval shall not be unreasonably withheld) shall have the power to make such appointment. No co-trustee or separate trustee under this
Agreement shall be required to meet the terms of eligibility as a successor trustee pursuant to Section 11.1 and no notice of the appointment of any co-trustee or separate trustee shall be required pursuant to Section 11.3. 
  
 Each separate trustee and co-trustee shall, to the extent permitted by law,
be appointed and act subject to the following provisions and conditions: 
  
 (i) all rights, powers, duties and obligations conferred or imposed upon the Owner Trustee shall be conferred upon and exercised or performed by the Owner Trustee and such separate trustee or co-trustee jointly (it
being understood that such separate trustee or co-trustee is not authorized to act separately without the Owner Trustee joining in such act), except to the extent that under any law of any jurisdiction in which any particular act or acts are to be
performed, the Owner Trustee 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 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 Owner Trustee; 
  
 (ii) no trustee under this Agreement shall be personally liable by reason of any act or omission of any other trustee under this
Agreement; and 
  
 (iii) the Servicer and the
Owner Trustee acting jointly may at any time accept the resignation of or remove any separate trustee or co-trustee. 
  
 Any notice, request or other writing given to the Owner Trustee 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. 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 Owner Trustee or separately, as may be provided therein, subject to all the provisions of this Agreement, specifically
including every provision of this Agreement relating to the conduct of, affecting the liability of, or affording protection to, the Owner Trustee. Each such instrument shall be filed with the Owner Trustee and a copy thereof given to the Servicer
and the Insurer. 
  
 Any separate trustee or co-trustee may at any
time appoint the Owner Trustee, its agent or attorney-in-fact with full power and authority, to the extent not prohibited by law, to do any lawful act under or in respect of this Agreement on its behalf and in its name. If any separate trustee or
co-trustee 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 Owner Trustee, to the extent permitted by law, without the appointment of a new
or successor trustee. 
  

 30 

 ARTICLE XII 
  
 Miscellaneous 
  
 SECTION 12.1. Supplements and Amendments. 
  
 (a) This Agreement may be amended by the Sponsor and the Owner Trustee, with the prior written consent of the Insurer and the Residual Certificateholders
and with prior written notice to the Rating Agencies, without the consent of any of the Noteholders, (i) to cure any ambiguity or defect or (ii) to correct, supplement or modify any provisions in this Agreement; provided, however, that such
action shall not, as evidenced by an Opinion of Counsel which may be based upon a certificate of the Servicer, adversely affect in any material respect the interests of any Noteholder or Residual Certificateholder. 
  
 (b) This Agreement may also be amended from time to time, with the prior
written consent of the Insurer, by the Sponsor and the Owner Trustee, with prior written notice to the Rating Agencies, and, to the extent such amendment materially and adversely affects the interests of the Noteholders, with the consent of the
Noteholders evidencing not less than a majority of the Outstanding Amount of the Notes, and the consent of the Residual Certificateholders evidencing not less than a majority interest in each Class (which consent of any Holder of a Note or Residual
Certificate given pursuant to this Section or pursuant to any other provision of this Agreement shall be conclusive and binding on such Holder and on all future Holders of such Note or Residual Certificate and of any Note or Residual Certificate
issued upon the transfer thereof or in exchange thereof or in lieu thereof whether or not notation of such consent is made upon the Note or Residual Certificate) for the purpose of adding any provisions to or changing in any manner or eliminating
any of the provisions of this Agreement or of modifying in any manner the rights of the Noteholders or the Residual Certificateholders; provided, however, that, subject to the express rights of the Insurer under the Basic Documents, no such
amendment shall (a) increase or reduce in any manner the amount of, or accelerate or delay the timing of, collections of payments on Mortgage Loans or distributions that shall be required to be made for the benefit of the Noteholders or the Residual
Certificateholders or (b) reduce the aforesaid percentage of the Outstanding Amount of the Notes and the Residual Certificate, the Holders of which are required to consent to any such amendment, without the consent of the Holders of all the
outstanding Notes and Holders of all outstanding Residual Certificates. 
  
 Promptly after the execution of any such amendment or consent, the Owner Trustee shall furnish written notification of the substance of such amendment or consent to each Residual Certificateholder, the Indenture Trustee, the Insurer and
each of the Rating Agencies. 
  
 It shall not be necessary for the
consent of the Noteholders or the Residual Certificateholders pursuant to this Section to approve the particular form of any proposed amendment or consent, but it shall be sufficient if such consent shall approve the substance thereof. The manner of
obtaining such consents (and any other consents of Residual Certificateholders provided for in this Agreement or in any other Basic Document) and of evidencing the authorization of the execution thereof by Residual Certificateholders shall be
subject to such reasonable requirements as the Owner Trustee may prescribe. Promptly after the 

  

 31 

 
execution of any amendment to the Certificate of Trust, the Owner Trustee shall cause the filing of such amendment with the Secretary of State. 

 
 Prior to the execution of any amendment to this Agreement or the
Certificate of Trust, the Owner Trustee shall be entitled to receive and rely upon an Opinion of Counsel stating that the execution of such amendment is authorized or permitted by this Agreement and that all conditions precedent to the execution and
delivery of such amendment have been satisfied. The Owner Trustee may, but shall not be obligated to, enter into any such amendment which affects the Owner Trustee’s own rights, duties or immunities under this Agreement or otherwise.

  
 SECTION 12.2. No Legal Title to Owner Trust Estate in
Residual Certificateholders. The Residual Certificateholders shall not have legal title to any part of the Owner Trust Estate. The Residual Certificateholders shall be entitled to receive distributions with respect to their undivided ownership
interest therein only in accordance with Article IX. No transfer, by operation of law or otherwise, of any right, title or interest of the Residual Certificateholders to and in their ownership interest in the Owner Trust Estate shall operate to
terminate this Agreement or the trusts hereunder or entitle any transferee to an accounting or to the transfer to it of legal title to any part of the Owner Trust Estate. 
  
 SECTION 12.3. Limitations on Rights of Others. Except for Section 2.7, the provisions of this Agreement are solely
for the benefit of the Owner Trustee, the Sponsor, the Residual Certificateholders, the Servicer and, to the extent expressly provided herein, the Insurer, the Indenture Trustee and the Noteholders, and nothing in this Agreement, whether express or
implied, shall be construed to give to any other Person any legal or equitable right, remedy or claim in the Owner Trust Estate or under or in respect of this Agreement or any covenants, conditions or provisions contained herein. 
  
 SECTION 12.4. Notices. 
  
 (a) Unless otherwise expressly specified or permitted by the terms hereof,
all notices shall be in writing and shall be deemed given upon receipt personally delivered, delivered by overnight courier or mailed first class mail or certified mail, in each case return receipt requested, and shall be deemed to have been duly
given upon receipt, if to the Owner Trustee, addressed to the Corporate Trust Office; if to the Sponsor, addressed to GreenPoint Mortgage Securities LLC, 100 Wood Hollow Drive, Doorstop #32210, Novato, California 94945, Attention: S.A. Ibrahim; if
to the Insurer, addressed to Insurer, One State Street Plaza, 19th Floor, New York, New York 10004, (212) 668-0340; or, as to each party, at such other address as shall be designated by such party in a written notice to each other party. 

 
 (b) Any notice required or permitted to be given to a Residual
Certificateholder shall be given by first-class mail, postage prepaid, at the address of such Holder as shown in the Certificate Register. Any notice so mailed within the time prescribed in this Agreement shall be conclusively presumed to have been
duly given, whether or not the Residual Certificateholder receives such notice. 
  
 SECTION 12.5. Severability. Any provision of this Agreement that is prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the 

  

 32 

 
extent of such prohibition or unenforceability without invalidating the remaining provisions hereof, and any such prohibition or unenforceability in any
jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction. 
  
 SECTION 12.6. Separate Counterparts. This Agreement may be executed by the parties hereto in separate counterparts, each of which when so executed
and delivered shall be an original, but all such counterparts shall together constitute but one and the same instrument. 
  
 SECTION 12.7. Assignments; Insurer. 
  
 (a) This Agreement shall inure to the benefit of and be binding upon the parties hereto and their respective successors and permitted assigns. This
Agreement shall also inure to the benefit of the Insurer. Without limiting the generality of the foregoing, all covenants and agreements in this Agreement which confer rights upon the Insurer shall be for the benefit of and run directly to the
Insurer and the Insurer shall be entitled to rely on and enforce such covenants, subject, however, to the limitations on such rights provided in this Agreement and the Basic Documents. The Insurer may disclaim any of its rights and powers under this
Agreement (but not its duties and obligations under the Policy) upon delivery of a written notice to the Owner Trustee. 
  
 (b) In accepting instructions from the Insurer pursuant to Article V or Section 7.3 of this Agreement, and with respect to any other obligations of the
Owner Trustee to the Insurer under this Agreement, the Owner Trustee undertakes to perform or observe only its express obligations under this Agreement, and no implied obligations with respect to the Insurer shall be read into this Agreement against
the Owner Trustee. The Owner Trustee shall not be deemed to owe any fiduciary duty to the Insurer and it is expressly understood and agreed by the Insurer that the Owner Trustee shall not be personally liable or responsible for the payment of any
amount owing on or with respect to the Basic Documents or for the failure of the Trust to perform its obligations under the Basic Documents or any other agreement with respect thereto. 
  
 SECTION 12.8. No Petition. The Owner Trustee (not in its individual capacity but solely as Owner Trustee), by
entering into this Agreement and each Residual Certificateholder, by accepting a Residual Certificate, hereby covenants and agrees that they will not at any time institute against the Sponsor, or join in any institution against the Sponsor of, any
bankruptcy, reorganization, arrangement, insolvency or liquidation proceedings, or other proceedings under any United States federal or state bankruptcy or similar law in connection with any obligations relating to the Residual Certificates, this
Agreement or any of the Basic Documents. 
  
 SECTION 12.9. No
Recourse. Each Residual Certificateholder by accepting a Residual Certificate acknowledges that such Residual Certificateholder’s Residual Certificates represent beneficial interests in the Trust only and do not represent interests in or
obligations of the Servicer, the Sponsor, the Owner Trustee, the Indenture Trustee, the Insurer or any Affiliate thereof and no recourse may be had against such parties or their assets, except as may be expressly set forth or contemplated in this
Agreement, the Residual Certificates or the Basic Documents. 
  

 33 

 SECTION 12.10. Headings. The headings of the various Articles and Sections herein are for
convenience of reference only and shall not define or limit any of the terms or provisions hereof. 
  
 SECTION 12.11. GOVERNING LAW. THIS AGREEMENT SHALL BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF DELAWARE, WITHOUT REFERENCE TO ITS
CONFLICT OF LAW PROVISIONS, AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS. 
  
 SECTION 12.12. Servicer. The Servicer is authorized to prepare, or cause to be prepared, execute and deliver on behalf of the Trust all such
documents, reports, filings, instruments, certificates and opinions as it shall be the duty of the Trust or Owner Trustee to prepare, file or deliver pursuant to the Basic Documents. Upon written request, the Owner Trustee shall execute and deliver
to the Servicer a limited power of attorney appointing the Servicer the Trust’s agent and attorney-in-fact to prepare, or cause to be prepared, execute and deliver all such documents, reports, filings, instruments, certificates and opinions.

  
 SECTION 12.13. Customer Identification. To help the
United States (“U.S.”) government fight the funding of terrorism and money laundering activities, U.S. federal law requires all financial institutions to obtain, verify, and record information that identifies each person or entity who
opens an account. Accordingly, the Sponsor and the Servicer must provide to the Indenture Trustee and Wilmington Trust Company their legal name, principal place of business, local office, or other physical location street address, and government
issued identification number. If you are a United States entity, such number will be your U.S. taxpayer identification number. If you are a non-U.S. entity, such number will be a taxpayer identification number or a number and country of issuance of
any other government-issued document evidencing nationality or residence. If you are a non-U.S. entity and do not have a government-issued identification number, you must provide a copy of a government-issued document which certifies the existence
of your business. In addition, Wilmington Trust Company or the Indenture Trustee may request, and you agree to promptly provide to us, copies of documentation which substantiates your identity. Such documentation may include, but is not limited to,
financial statements, government licenses, certified copies of formation documents or identification documentation of principals claiming to represent you. 
  

 34 

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

					
	 WILMINGTON TRUST COMPANY,

	 	 	 Owner Trustee

		
	 By:
	 	 
	 	 	 Name:
 Title:
	 	 

  

					
	 GREENPOINT MORTGAGE SECURITIES LLC,

	 	 	 Sponsor

		
	By:	 	 
	 	 	 Name:
 Title:
	 	 

  
 Acknowledged and Agreed:

  

					
	 GREENPOINT MORTGAGE FUNDING, INC.,
 Servicer

		
	By:	 	 
	 	 	 Name:
 Title:
	 	 

  

 With respect to Section 9.1 only: 
  

			
	TERWIN ADVISORS LLC,
		
	By:	 	 
	 	 	 Name:
 Title:

  

 EXHIBIT A 
  
 FORM OF RESIDUAL CERTIFICATE 
  
 THIS RESIDUAL CERTIFICATE REPRESENTS CERTAIN RESIDUAL RIGHTS TO PAYMENT TO THE EXTENT DESCRIBED HEREIN AND IN THE TRUST AGREEMENT REFERRED TO HEREIN. 
  
 THIS RESIDUAL CERTIFICATE MAY NOT BE HELD BY OR TRANSFERRED TO A NON-UNITED STATES PERSON.

  
 THIS RESIDUAL CERTIFICATE HAS NOT BEEN REGISTERED OR QUALIFIED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED, OR THE SECURITIES LAWS OF ANY STATE. ANY RESALE, TRANSFER OR OTHER DISPOSITION OF THIS RESIDUAL CERTIFICATE WITHOUT SUCH REGISTRATION OR QUALIFICATION MAY BE MADE ONLY IN A TRANSACTION WHICH DOES NOT REQUIRE SUCH
REGISTRATION OR QUALIFICATION AND IN ACCORDANCE WITH THE PROVISIONS OF SECTION 4.10 OF THE TRUST AGREEMENT REFERRED TO HEREIN. 
  
 NO TRANSFER OF THIS RESIDUAL CERTIFICATE MAY BE MADE UNLESS THE TRANSFEREE PROVIDES A REPRESENTATION LETTER FROM THE TRANSFEREE OF SUCH RESIDUAL CERTIFICATE, ACCEPTABLE
TO AND IN FORM AND SUBSTANCE SATISFACTORY TO THE OWNER TRUSTEE AND THE INSURER, TO THE EFFECT THAT SUCH TRANSFEREE IS NOT ACQUIRING THE RESIDUAL CERTIFICATE FOR, OR ON BEHALF OF, AN EMPLOYEE BENEFIT PLAN (AS DEFINED IN SECTION 3(3) OF THE EMPLOYEE
RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED (“ERISA”)) WHETHER OR NOT SUBJECT TO THE PROVISIONS OF TITLE I OF ERISA, A PLAN DESCRIBED IN SECTION 4975(e)(1) OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE “CODE”)
WHETHER OR NOT SUBJECT TO SECTION 4975 OF THE CODE OR ANY ENTITY DEEMED TO HOLD THE ASSETS OF THE FOREGOING, WHICH REPRESENTATION LETTER SHALL NOT BE AN EXPENSE OF THE OWNER TRUSTEE OR THE INSURER. 
  
 NO TRANSFER OF A RESIDUAL CERTIFICATE SHALL BE MADE UNLESS SUCH TRANSFER IS EXEMPT FROM THE
REGISTRATION REQUIREMENTS OF THE SECURITIES ACT OF 1933, AS AMENDED, AND ANY APPLICABLE STATE SECURITIES LAWS OR IS MADE IN ACCORDANCE WITH SAID ACT AND LAWS. EXCEPT FOR THE INITIAL ISSUANCE OF THE CLASS G CERTIFICATE TO THE SPONSOR, THE OWNER
TRUSTEE SHALL REQUIRE (i) THE TRANSFEREE TO EXECUTE AN INVESTMENT LETTER ACCEPTABLE TO AND IN FORM AND SUBSTANCE SATISFACTORY TO THE OWNER TRUSTEE AND THE INSURER CERTIFYING TO THE OWNER TRUSTEE AND THE INSURER THE FACTS SURROUNDING SUCH TRANSFER,
WHICH INVESTMENT LETTER SHALL NOT BE AN EXPENSE OF THE OWNER TRUSTEE, OR THE INSURER OR (ii) IF THE INVESTMENT LETTER IS NOT DELIVERED, A WRITTEN OPINION OF COUNSEL ACCEPTABLE TO AND IN FORM AND SUBSTANCE SATISFACTORY TO THE OWNER 

  

 
TRUSTEE, THE INSURER AND THE SPONSOR THAT SUCH TRANSFER MAY BE MADE PURSUANT TO AN EXEMPTION, DESCRIBING THE APPLICABLE EXEMPTION AND THE BASIS THEREFOR,
FROM SAID ACT OR IS BEING MADE PURSUANT TO SAID ACT, WHICH OPINION OF COUNSEL SHALL NOT BE AN EXPENSE OF THE OWNER TRUSTEE, THE INSURER OR THE SPONSOR. THE HOLDER OF A RESIDUAL CERTIFICATE DESIRING TO EFFECT SUCH TRANSFER SHALL, AND DOES HEREBY
AGREE TO, INDEMNIFY THE SPONSOR AND THE INSURER 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. 
  
 THE RESIDUAL CERTIFICATES AND ANY INTEREST THEREIN SHALL NOT BE TRANSFERRED UNLESS THE TRANSFEREE OF THE RESIDUAL CERTIFICATES SHALL DELIVER
TO THE OWNER TRUSTEE, AND THE INSURER AN OPINION OF COUNSEL TO THE EFFECT THAT (A) SUCH TRANSFER WILL NOT ADVERSELY AFFECT THE TREATMENT OF THE NOTES AFTER SUCH TRANSFER AS DEBT FOR FEDERAL AND APPLICABLE STATE INCOME TAX PURPOSES, (B) SUCH TRANSFER
WILL NOT RESULT IN THE TRUST BEING SUBJECT TO TAX AT THE ENTITY LEVEL FOR FEDERAL OR APPLICABLE STATE TAX PURPOSES, (C) SUCH TRANSFER WILL NOT HAVE ANY MATERIAL ADVERSE IMPACT ON THE FEDERAL OR APPLICABLE STATE INCOME TAXATION OF A NOTEHOLDER OR ANY
RESIDUAL CERTIFICATEHOLDER AND (D) SUCH TRANSFER WILL NOT RESULT IN THE ARRANGEMENT CREATED BY THE TRUST AGREEMENT OR ANY “PORTION” OF THE TRUST, BEING TREATED AS A TAXABLE MORTGAGE POOL AS DEFINED IN SECTION 7701(I) OF THE CODE.

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

 GREENPOINT HOME EQUITY LOAN TRUST 2004-3 RESIDUAL CERTIFICATE 
  

			
	 Class:
                    
	 	 
	 Percentage Interest: 100% 
	 	     Cut-Off Date:
                    , 200  

	First Payment Date:                     , 200  	 	        Issue Date:
                    , 200  

  
 No.
             
  
 GREENPOINT MORTGAGE SECURITIES LLC 
 Residual Certificateholder 
  
 OWNER TRUSTEE’S CERTIFICATE OF AUTHENTICATION 
  
 This is one of the Residual Certificates referred to in the within-mentioned Trust Agreement.

  

			
	 WILMINGTON TRUST COMPANY,
 not in its
individual capacity but solely as Owner Trustee

		
	 By:
	 	 
	 	 	Authenticating Agent

  

 The Trust was created pursuant to a Trust Agreement dated as of
                    , 200   (the “Trust Agreement”), between the Sponsor and Wilmington Trust Company, as
owner trustee (the “Owner Trustee”), a summary of certain of the pertinent provisions of which is set forth below. To the extent not otherwise defined herein, the capitalized terms used herein have the meanings assigned to them in
the Trust Agreement. 
  
 This Residual Certificate is one of the
duly authorized Residual Certificates designated as “GreenPoint Home Equity Loan Asset Backed Certificates, Class             ” (herein called, together with the GreenPoint
Home Equity Loan Asset Backed Certificates, Class             , the “Residual Certificates”). Also issued by the Trust under the Indenture is one class of Notes
designated as Class A Notes (the “Notes”). These Residual Certificates are issued under and are subject to the terms, provisions and conditions of the Trust Agreement, to which Trust Agreement the holder of this Residual Certificate
by virtue of the acceptance hereof assents and by which such holder is bound. The property of the Trust includes a pool of certain adjustable rate home equity revolving credit line loans (the “Mortgage Loans”) (including any
Additional Balances related thereto). 
  
 Under the Trust
Agreement, there will be distributed on the   th day of each month or, if such   th day is not a Business Day, the next Business Day (the “Payment Date”), commencing on
                    , 200  , to the Person in whose name this Residual Certificate is registered at the close of business on
the Business Day preceding such Payment Date (the “Record Date”) such Residual Certificateholder’s Percentage Interest in the amount to be distributed to Residual Certificateholders on such Payment Date. 
  
 The holder of this Residual Certificate acknowledges and agrees that its
rights to receive distributions in respect of this Residual Certificate are subordinated to the rights of the Noteholders as described in the Sale and Servicing Agreement, the Indenture and the Trust Agreement, as applicable. 
  
 The holder of this Residual Certificate, by acceptance of this Residual
Certificate, specifically acknowledges that it has no right to or interest in any monies at any time held in the Trust Estate prior to the release of such monies pursuant to Section 8.7(b)(xiv) of the Indenture, such monies being held in trust for
the benefit of the Noteholders and the Insurer. Notwithstanding the foregoing, in the event that it is ever determined that the monies held in the Trust Estate constitute a pledge of collateral, then the provisions of the Sale and Servicing
Agreement shall be considered to constitute a security agreement and the holder of this Residual Certificate hereby grants to the Indenture Trustee and the Insurer a first priority perfected security interest in such amounts. In addition, each
Residual Certificateholder, by acceptance of its Residual Certificate, hereby appoints the Sponsor as its agent to pledge a first priority perfected security interest in the Reserve Fund and agrees to execute and deliver such instruments of
conveyance, assignment, grant, confirmation, etc., as well as any financing statements, in each case as the Insurer shall consider reasonably necessary in order to perfect the Indenture Trustee’s security interest in the Trust Property.

  
 In the event that the Residual Certificates are held by more
than one Holder, it is the intent of the Sponsor, the Servicer, and the Residual Certificateholders that, for purposes of Federal income taxes, the Trust will be treated as a partnership and the Residual 

  

 
Certificateholders will be treated as partners in that partnership. The Sponsor and any other Residual Certificateholders, by acceptance of a Residual
Certificate, agree to treat, and to take no action inconsistent with the treatment of, the Residual Certificates for such tax purposes as partnership interests in the Trust. Each Residual Certificateholder, by its acceptance of a Residual
Certificate, covenants and agrees that such Residual Certificateholder will not at any time institute against the Trust or the Sponsor, or join in any institution against the Trust or the Sponsor of, any bankruptcy, reorganization, arrangement,
insolvency or liquidation proceedings, or other proceedings under any United States Federal or state bankruptcy or similar law in connection with any obligations relating to the Residual Certificates, the Certificates, the Trust Agreement or any of
the Basic Documents. 
  
 Distributions on this Residual
Certificate will be made as provided in the Sale and Servicing Agreement and the Indenture by the Owner Trustee by wire transfer to the Residual Certificateholder of record in the Certificate Register without the presentation or surrender of this
Residual Certificate or the making of any notation hereon. Except as otherwise provided in the Trust Agreement and notwithstanding the above, the final distribution on this Residual Certificate will be made after due notice by the Owner Trustee of
the pendency of such distribution and only upon presentation and surrender of this Residual Certificate at the office or agency maintained for the purpose by the Owner Trustee in the Corporate Trust Office. 
  
 Unless the certificate of authentication hereon shall have been executed by
an authorized officer of the Owner Trustee, by manual signature, this Residual Certificate shall not entitle the holder hereof to any benefit under the Trust Agreement or the Sale and Servicing Agreement or be valid for any purpose. 
  
 The Residual Certificates do not represent an obligation of, or an interest
in, the Sellers, the Sponsor, the Servicer, the Insurer, the Indenture Trustee, the Owner Trustee or any Affiliates of any of them and no recourse may be had against such parties or their assets, except as may be expressly set forth or contemplated
herein or in the Trust Agreement, the Indenture or the Basic Documents. In addition, this Residual Certificate is not guaranteed by any governmental agency or instrumentality and is limited in right of payment to certain collections with respect to
the Mortgage Loans, as more specifically set forth herein, in the Sale and Servicing Agreement and in the Indenture. A copy of each of the Sale and Servicing Agreement and the Trust Agreement may be examined during normal business hours at the
principal office of the Sponsor, and at such other places, if any, designated by the Sponsor, by any Residual Certificateholder upon written request. 
  
 The Trust Agreement permits, with certain exceptions therein provided, the amendment thereof and the modification of the rights and obligations of the
Sponsor and the rights of the Residual Certificateholders under the Trust Agreement at any time by the Sponsor and the Owner Trustee with the prior written consent of the Insurer and with the consent of the holders of the Notes and the Residual
Certificates evidencing not less than a majority of the outstanding Notes and the Residual Certificates. Any such amendment shall be conclusive and binding upon the holder of this Residual Certificate and on all future holders of this Residual
Certificate and of any Residual Certificate issued upon the transfer hereof or in exchange hereof or in lieu hereof whether or not notation of such consent is made upon this Residual Certificate. The Trust Agreement also permits the amendment
thereof, in certain limited circumstances, 

  

 
without the consent of the holders of any of the Residual Certificates (other than the Sponsor, or the Insurer). 
  
 As provided in the Trust Agreement and subject to certain limitations therein
set forth, the transfer of this Residual Certificate is registrable in the Certificate Register upon surrender of this Residual Certificate for registration of transfer at the offices or agencies of the Certificate Registrar maintained by the Owner
Trustee in the Corporate Trust Office, accompanied by a written instrument of transfer in form satisfactory to the Owner Trustee and the Certificate Registrar duly executed by the holder hereof or such holder’s attorney duly authorized in
writing, and thereupon one or more new Residual Certificates in authorized denominations evidencing the same aggregate interest in the Trust will be issued to the designated transferee. The initial Certificate Registrar appointed under the Trust
Agreement is Wilmington Trust Company. 
  
 The Residual
Certificates are issuable only as registered Residual Certificates without coupons in minimum Percentage Interests of 10% and integral multiples of 1% in excess thereof. As provided in the Trust Agreement and subject to certain limitations therein
set forth, Residual Certificates are exchangeable for new Residual Certificates in authorized denominations evidencing the same aggregate denomination, as requested by the holder surrendering the same. No service charge will be made for any such
registration of transfer or exchange, but the Owner Trustee or the Certificate Registrar may require payment of a sum sufficient to cover any tax or governmental charge payable in connection therewith. 
  
 The Owner Trustee, the Certificate Registrar, the Insurer and any agent of
the Owner Trustee, the Certificate Registrar, or the Insurer may treat the person in whose name this Residual Certificate is registered as the owner hereof for all purposes, and none of the Owner Trustee, the Certificate Registrar, the Insurer nor
any such agent shall be affected by any notice to the contrary. 
  
 The obligations and responsibilities created by the Trust Agreement and the Trust created thereby shall terminate upon the payment to Residual Certificateholders of all amounts required to be paid to them pursuant to the Trust Agreement,
the Indenture and the Sale and Servicing Agreement and the disposition of all property held as part of the Trust. The Sponsor may at its option redeem the Notes at a price and upon the satisfaction of certain conditions specified in Section 7.01(b)
of the Sale and Servicing Agreement, and if all of the Notes are redeemed, such redemption may result in termination of the Trust which may effect a transfer of the Residual Certificates; however, such right of purchase is exercisable, subject to
certain restrictions set forth in the Sale and Servicing Agreement. 
  
 The recitals contained herein shall be taken as the statements of the Sponsor or the Servicer, as the case may be, and the Owner Trustee assumes no responsibility for the correctness thereof. The Owner Trustee makes no representations as to
the validity or sufficiency of this Residual Certificate or of any Mortgage Loan or related document. 
  
 Unless the certificate of authentication hereon shall have been executed by an authorized officer of the Owner Trustee, by manual or facsimile signature,
this Residual Certificate shall not entitle the holder hereof to any benefit under the Trust Agreement or the Sale and Servicing Agreement or be valid for any purpose. 
  

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

			
	 GREENPOINT HOME EQUITY LOAN TRUST 2004-3

		
	By:	 	WILMINGTON TRUST COMPANY, not in its individual capacity but solely as Owner Trustee

  

					
		
	By:	 	 
	 	 	 Name:
 Title:
	 	 

  
 Dated:
                    , 200   
  

 ASSIGNMENT 
  
 FOR VALUE RECEIVED, the undersigned hereby sells, assigns and transfers unto 
  
 PLEASE INSERT SOCIAL SECURITY 
 OR OTHER
IDENTIFYING NUMBER 
 OF ASSIGNEE 
  

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

 the within Residual Certificate, and all rights thereunder, hereby irrevocably
constituting and appointing 
  
                                       
                  Attorney to transfer said Residual Certificate on the books of the Certificate Registrar, with full power of substitution in the premises.

  
 Dated: 

			
		
	 	 	*
	Signature Guaranteed:	 	 

  

			
		
	 	 	*
	 	 	 

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

  

 EXHIBIT B 
  
 CERTIFICATE OF TRUST OF 
 GREENPOINT HOME EQUITY
LOAN TRUST 200  -   
  
 This
Certificate of Trust of GreenPoint Home Equity Loan Trust 2004-3 (the “Trust”), dated as of                     , 200_, is
being duly executed and filed by the undersigned trustee to form a statutory trust under the Delaware Statutory Trust Act (12 Del. Code, § 3801 et seq.). 
  
 1. Name. The name of the statutory trust formed hereby is GreenPoint Home Equity Loan Trust 2004-3. 
  
 2. Delaware Trust. The name and business address of the Owner Trustee
of the Trust in the State of Delaware are Wilmington Trust Company, Rodney Square North, 1100 North Market Street, Wilmington, Delaware 19890-0001. 
  
 3. This Certificate of Trust will be effective
                    , 200  . 
  
 IN WITNESS WHEREOF, the undersigned, being the sole trustee of the Trust, has executed this Certificate of Trust as of the date first above written.

  

					
	 WILMINGTON TRUST COMPANY,
 not in its
individual capacity but solely as Owner Trustee of the Trust.

		
	By:	 	 
	 	 	 Name:
	 	 
	 	 	 Title:
	 	 

  

 B-1 

 EXHIBIT C 
  
 TRANSFER CERTIFICATE 
  
 Wilmington Trust Company 
 Rodney Square North 
 1100 North Market Street 
 Wilmington, Delaware 19890-0001 
 Attention: GPHE 2004-3 
  

	Re:	Trust Agreement, dated as of June 1, 2004, between GreenPoint Mortgage Securities LLC and Wilmington Trust Company as Owner Trustee; GreenPoint Home Equity Loan Trust 2004-3

  
 Ladies and Gentlemen: 
  
 The undersigned (the “Transferee”) has agreed to purchase from
                                     (the
“Transferor”) a             % Percentage Interest in the Class              Certificates: 
  
 A. Rule 144A “Qualified Institutional Buyers” should complete this
section 
  
 I. The Transferee is (check one): 
  

	 	 ̈	 (i) An insurance company, as defined in Section 2(13) of the Securities Act of 1933, as amended (the “Securities Act”), (ii) an investment company
registered under the Investment Company Act of 1940, as amended (the “Investment Company Act”), (iii) a business development company as defined in Section 2(a)(48) of the Securities Act, (iv) 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, (v) a plan established and maintained by a state, its political subdivisions, or any agency or instrumentality of a state or its
political subdivisions, for the benefit of its employees, (vi) an employee benefit plan within the meaning of Title I of the Employee Retirement Income Security Act of 1974, as amended (“ERISA”), (vii) a business development company as
defined in Section 202(a)(22) of the Investment Advisors Act of 1940, (viii) an organization described in Section 501(c)(3) of the Internal Revenue Code, corporation (other than a bank as defined in Section 3(a)(2) of the Securities Act or a savings
and loan association or other institution referenced in Section 3(a)(2) of the Securities Act or a foreign bank or savings and loan association or equivalent institution), partnership, or Massachusetts or similar business trust; or (ix) an
investment advisor registered under the Investment Advisors Act of 1940, which, for each of (i) through (ix), owns and invests on a discretionary basis at least $100 million in securities other than securities of issuers 

  

 C-1 

	 	 
affiliated with the Transferee, securities issued or guaranteed by the United States or a person controlled or supervised by and acting as an instrumentality
of the government of the United States pursuant to authority granted by the Congress of the United States, bank deposit notes and certificates of deposit, loan participations, repurchase agreements, securities owned but subject to a repurchase
agreement, and currency, interest rate and commodity swaps (collectively, “Excluded Securities”); 

  

	 	 ̈	a dealer registered pursuant to Section 15 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) that in the aggregate owns and invests on a
discretionary basis at least $10 million of securities other than Excluded Securities and securities constituting the whole or part of an unsold allotment to, or subscription by, Transferee as a participant in a public offering;

  

	 	 ̈	an investment company registered under the Investment Company Act that is part of a family of investment companies (as defined in Rule 144A of the Securities and Exchange
Commission) which own in the aggregate at least $100 million in securities other than Excluded Securities and securities of issuers that are part of such family of investment companies; 

  

	 	 ̈	an entity, all of the equity owners of which are entities described in this Paragraph A(I); 

  

	 	 ̈	a bank as defined in Section 3(a)(2) of the Securities Act, any savings and loan association or other institution as referenced in Section 3(a)(5)(A) of the Securities Act, or any
foreign bank or savings and loan association or equivalent institution that in the aggregate owns and invests on a discretionary basis at least $100 million in securities other than Excluded Securities and has an audited net worth of at least $25
million as demonstrated in its latest annual financial statements, as of a date not more than (i) 16 months preceding the date of transfer of the Transferor Interest to the Transferee in the case of Wilmington Trust Company, and (ii) not more than
18 months preceding such date in the case of a foreign bank or savings association or equivalent institution. 

  
 II. The Transferee is acquiring such Transferor Interest solely for its own account, for the account of one or more others, all of which are
“Qualified Institutional Buyers” within the meaning of Rule 144A, or in its capacity as a dealer registered pursuant to Section 15 of the Exchange Act acting in a riskless principal transaction on behalf of a “Qualified Institutional
Buyer”. The Transferee is aware that the seller of the Class B Certificate may be relying on the exemption from the registration requirements of the Securities Act provided by Rule 144A and the Transferee is not acquiring such Transferor
Interest with a view to or for the resale, distribution, subdivision or fractionalization thereof which would require registration of the Transferor Interest under the Securities Act. 
  

 C-2 

 B. If the Transferee is unable to complete one of paragraph A(I) above, the Transferee must furnish an
opinion in form and substance satisfactory to the Trustee of counsel satisfactory to the Trustee to the effect that such purchase will not violate any applicable federal or state securities laws. 
  
 C. The Transferee understands that the Class B Certificate has not been and
will not be registered under the Securities Act and may be offered, sold, pledged or otherwise transferred only to a person whom the seller reasonably believes is (A) a “qualified institutional buyer” or (B) a Person involved in the
organization or operation of the Trust or an affiliate of such Person, in each case in a transaction meeting the requirements of Rule 144A under the Securities Act or that is otherwise exempt from registration under the Securities Act and in
accordance with any applicable securities laws of any state of the United States. 
  
 D. Each Transferee, other than the Sponsor or its affiliate, represents that it is not acquiring the Residual Certificate for, or on behalf of, (A) an “employee benefit plan” as defined in of Section 3(3) of
the Employee Retirement Income Security Act of 1974, as amended (“ERISA”), whether or not subject to the provisions of Title I of ERISA, or (B) a “plan” within the meaning of Section 4975(e)(1) of the Code whether or not it is
subject to Section 4975 of the Code or (C) any entity deemed to hold the assets of the foregoing. 
  

					
	 Very truly yours,

	 	 	 [NAME OF PURCHASER]

			
	 	 	 By:
	 	 
	 	 	 Title:
	 	 

  
 Dated: 
  
 THE FOREGOING IS ACKNOWLEDGED THIS
             DAY OF                     ,
20    . 
  

			
	 [NAME OF SELLER]

		
	 By:
	 	 
	 Title:
	 	 

  

 C-3

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00072-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00072-of-00352.parquet"}]]