Document:

Spread Account Agreement

 Exhibit 10.3 
 EXECUTION COPY 
  

 SPREAD ACCOUNT AGREEMENT 
 among 
 UPFC AUTO RECEIVABLES TRUST 2006-A, 
 as Issuer, 
 MBIA INSURANCE CORPORATION, 
 as Insurer,

 and 
 DEUTSCHE BANK TRUST
COMPANY AMERICAS, 
 as Trustee, as Trust Collateral Agent and as Collateral Agent 
 Dated as of June 15, 2006 
  

 TABLE OF CONTENTS 
  

					
	 	  	 	  	Page
		  	ARTICLE I	  	
		  	DEFINITIONS	  	
			
	 Section 1.01.
	  	 Definitions
	  	1
	 Section 1.02.
	  	 Other Definitional Provisions
	  	9
			
		  	ARTICLE II	  	
		  	THE SPREAD ACCOUNT AGREEMENT COLLATERAL	  	
			
	 Section 2.01.
	  	 Grant of Security Interest by the Issuer
	  	9
	 Section 2.02.
	  	 Priority
	  	10
	 Section 2.03.
	  	 Issuer Remains Liable
	  	10
	 Section 2.04.
	  	 Delivery and Maintenance of Spread Account Agreement Collateral
	  	11
	 Section 2.05.
	  	 Termination and Release of Rights
	  	12
	 Section 2.06.
	  	 Non-Recourse Obligations of Issuer
	  	12
			
		  	ARTICLE III	  	
		  	SPREAD ACCOUNT	  	
			
	 Section 3.01.
	  	 Establishment of Spread Account; Initial Deposit into Spread Account; Maintenance of Spread Account
	  	13
	 Section 3.02.
	  	 Investments
	  	13
	 Section 3.03.
	  	 Payments; Priority of Payments
	  	14
	 Section 3.04.
	  	 General Provisions Regarding Spread Account
	  	16
	 Section 3.05.
	  	 Reports by the Collateral Agent
	  	17
			
		  	ARTICLE IV	  	
		  	THE COLLATERAL AGENT	  	
			
	 Section 4.01.
	  	 Appointment and Powers
	  	17
	 Section 4.02.
	  	 Performance of Duties
	  	17
	 Section 4.03.
	  	 Limitation on Liability
	  	18
	 Section 4.04.
	  	 Reliance upon Documents
	  	18
	 Section 4.05.
	  	 Successor Collateral Agent
	  	18
	 Section 4.06.
	  	 Indemnification
	  	20
	 Section 4.07.
	  	 Compensation and Reimbursement
	  	20
	 Section 4.08.
	  	 Representations and Warranties of the Collateral Agent
	  	21
	 Section 4.09.
	  	 Waiver of Setoffs
	  	21
	 Section 4.10.
	  	 Control by the Controlling Party
	  	21

					
	 Section 4.11.
	  	 Limitation of Liability
	  	21
			
		  	ARTICLE V	  	
		  	COVENANTS OF THE ISSUER	  	
			
	 Section 5.01.
	  	 Preservation of Spread Account Agreement Collateral
	  	22
	 Section 5.02.
	  	 Notices
	  	22
	 Section 5.03.
	  	 Waiver of Stay or Extension Laws; Marshalling of Assets
	  	22
	 Section 5.04.
	  	 Noninterference, etc.
	  	23
	 Section 5.05.
	  	 Issuer Changes
	  	23
			
		  	ARTICLE VI	  	
		  	CONTROLLING PARTY; INTERCREDITOR PROVISIONS	  	
			
	 Section 6.01.
	  	 Appointment of Controlling Party
	  	23
	 Section 6.02.
	  	 Controlling Party’s Authority
	  	24
	 Section 6.03.
	  	 Rights of Trust Secured Parties
	  	24
	 Section 6.04.
	  	 Degree of Care
	  	25
			
		  	ARTICLE VII	  	
		  	REMEDIES UPON DEFAULT	  	
			
	 Section 7.01.
	  	 Remedies upon a Default
	  	26
	 Section 7.02.
	  	 Waiver of Default
	  	26
	 Section 7.03.
	  	 Restoration of Rights and Remedies
	  	26
	 Section 7.04.
	  	 No Remedy Exclusive
	  	26
			
		  	ARTICLE VIII	  	
		  	MISCELLANEOUS	  	
			
	 Section 8.01.
	  	 Further Assurances
	  	27
	 Section 8.02.
	  	 Waiver
	  	27
	 Section 8.03.
	  	 Amendments; Waivers
	  	27
	 Section 8.04.
	  	 Severability
	  	27
	 Section 8.05.
	  	 Nonpetition Covenant
	  	28
	 Section 8.06.
	  	 Notices
	  	28
	 Section 8.07.
	  	 Term of this Agreement
	  	30
	 Section 8.08.
	  	 Assignments; Third-Party Rights; Reinsurance
	  	30
	 Section 8.09.
	  	 Consent of Controlling Party
	  	31
	 Section 8.10.
	  	 Consents to Jurisdiction
	  	31
	 Section 8.11.
	  	 Determination of Adverse Effect
	  	31
	 Section 8.12.
	  	 Headings
	  	31

  

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	 Section 8.13.
	  	 TRIAL BY JURY WAIVED
	  	31
	 Section 8.14.
	  	 GOVERNING LAW
	  	32
	 Section 8.15.
	  	 Counterparts
	  	32
	 Section 8.16.
	  	 Limitation of Liability
	  	32

  

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 SPREAD ACCOUNT AGREEMENT 
 This SPREAD ACCOUNT AGREEMENT, dated as of June 15, 2006 (this “Agreement”), is among UPFC AUTO RECEIVABLES TRUST 2006-A, as issuer (the “Issuer”), MBIA INSURANCE CORPORATION, as insurer (the
“Insurer”), and DEUTSCHE BANK TRUST COMPANY AMERICAS, as trustee (in such capacity, the “Trustee”), as trust collateral agent (in such capacity the “Trust Collateral Agent”) and as collateral agent (in such capacity,
the “Collateral Agent”). 
 RECITALS 
 WHEREAS, the Issuer was formed pursuant to the Trust Agreement dated as of May 11, 2006 as amended and restated as of June 15, 2006 (as amended from time to time, the “Trust Agreement”), between
UPFC Auto Receivables Corp. as seller, (the “Seller”) and Wells Fargo Delaware Trust Company, as owner trustee (the “Owner Trustee”). 
 WHEREAS, pursuant to a Sale and Servicing Agreement, dated as of June 1, 2006, (the “Sale and Servicing Agreement”) among the Issuer, the Seller, the Servicer, the Trust Collateral Agent, the Custodian,
the Backup Servicer and the Designated Backup Subservicer, the Seller sold to the Issuer all of its right, title and interest in and to the Receivables and Other Conveyed Property. 
 WHEREAS, pursuant to the Indenture, dated as of June 1, 2006, (the “Indenture”), between the Issuer, the Trustee and the Trust Collateral
Agent, the Issuer pledged all of its right, title and interest in and to the Collateral to the Trust Collateral Agent on behalf of the Trust Secured Parties. 
 WHEREAS, the Issuer requested that the Insurer issue the Note Policy to the Trustee to guarantee payment of the Insured Payments on each Distribution Date, in respect of the Notes. 
 WHEREAS, in consideration of the issuance of the Note Policy, the Issuer and the Servicer have agreed that the Insurer shall have certain rights as
Controlling Party to the extent set forth in the Basic Documents, with respect to the Collateral. 
 In consideration of the premises, and
for other good and valuable consideration, the adequacy, receipt and sufficiency of which are hereby acknowledged the parties hereto agree as follows: 
 ARTICLE I 
 DEFINITIONS 
 Section 1.01. Definitions. Unless otherwise defined in this Agreement, the following terms shall have the following meanings: 
 “Collateral Agent” means, initially Deutsche Bank Trust Company Americas, in its capacity as collateral agent on behalf of the Trust
Secured Parties, including its successors in interest, until a successor Person shall have become the Collateral Agent pursuant to Section 4.05 and thereafter “Collateral Agent” shall mean such successor Person. 

 “Collateral Agent Fee” means as designated in the fee letter between Collateral Agent
and UACC. 
 “Controlling Party” means the Person designated as the Controlling Party at such time pursuant to
Section 6.01. 
 “Cumulative Net Loss” means the positive difference between (i) the sum of (A) the aggregate
Principal Balance of all Liquidated Receivables plus (B) aggregate Cram Down Losses and (ii) Liquidation Proceeds received with respect to the Receivables described in clause (i). 
 “Cumulative Net Loss Ratio” means, the ratio, expressed as a percentage, computed by dividing (a) Cumulative Net Losses by
(b) the Original Pool Balance. 
 “Default” means, (i) if the Insurer is then the Controlling Party, any Insurance
Agreement Event of Default and (ii) if the Trustee is then the Controlling Party, any Event of Default under Section 5.1 of the Indenture. 
 “Delinquency Ratio” means, with respect to any Distribution Date, the ratio, expressed as a percentage, computed by dividing: (a) the aggregate Principal Balance of all Receivables as to which
were Delinquent Receivables as of the close of business on the last day of the related Collection Period by (b) the sum of the aggregate Principal Balance of all Receivables as of the close of business on the first day of the related Collection
Period. 
 “Delinquent Receivable” means a Receivable with respect to which 10% or more of a scheduled payment is more than
sixty (60) days past due (excluding (i) Receivables which the Servicer has repossessed the related Financed Vehicle and (ii) Receivables which have become Liquidated Receivables). 
 “Final Termination Date” means the date that is the later of (i) the Insurer Termination Date and (ii) the Trustee Termination
Date. 
 “Impaired Loan Ratio” means the ratio, expressed as a percentage, computed by dividing (a) 65% of the
Specified Impaired Amount (as stated in the report most recently delivered pursuant to Section 4.10 of the Insurance Agreement) by (b) the Original Pool Balance; provided that at any time that the Specified Impaired Amount is less than
0.50% of the Aggregate Principal Balance, the Impaired Loan Ratio shall be deemed to be zero. 
 “Insured Payments” has the
meaning set forth in the Note Policy. 
 “Insurer Termination Date” means the date which is the latest of (i) the date
of the expiration of the Note Policy and the cancellation and return thereof to the Insurer, (ii) the date on which the Insurer shall have received payment and performance in full of all Insurer Trust Secured Obligations and (iii) the
latest date on which any payment referred to above could be avoided as a preference or otherwise under the United States Bankruptcy Code or any other similar federal or state law relating to insolvency, bankruptcy, rehabilitation, liquidation or
reorganization, as specified in an Opinion of Counsel delivered to the Collateral Agent, the Insurer and the Trustee. 
  

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 “Issuer” means UPFC Auto Receivables Trust 2006-A. 
 “Level 1 Cumulative Net Loss Test” means a test that is met if, for each Distribution Date specified below, the sum of the Cumulative
Net Loss Ratio for the related Collection Period plus the Impaired Loan Ratio is less than or equal to the percentage set forth opposite such Distribution Date: 
  

				
	 Distribution Date occurring in:
	  	Percentage	 
	 October 2006
	  	1.80	%
	 November 2006
	  	2.40	%
	 December 2006
	  	3.00	%
	 January 2007
	  	3.50	%
	 February 2007
	  	4.00	%
	 March 2007
	  	4.50	%
	 April 2007
	  	5.00	%
	 May 2007
	  	5.50	%
	 June 2007
	  	6.10	%
	 July 2007
	  	6.60	%
	 August 2007
	  	7.10	%
	 September 2007
	  	7.60	%
	 October 2007
	  	8.10	%
	 November 2007
	  	8.60	%
	 December 2007
	  	9.10	%
	 January 2008
	  	9.60	%
	 February 2008
	  	10.10	%
	 March 2008
	  	10.60	%
	 April 2008
	  	11.10	%
	 May 2008
	  	11.60	%
	 June 2008
	  	12.10	%
	 July 2008
	  	12.40	%
	 August 2008
	  	12.60	%
	 September 2008
	  	12.90	%
	 October 2008
	  	13.10	%
	 November 2008
	  	13.40	%

  

 3 

				
	 December 2008
	  	13.60	%
	 January 2009
	  	13.90	%
	 February 2009
	  	14.00	%
	 March 2009
	  	14.40	%
	 April 2009
	  	14.55	%
	 May 2009
	  	14.65	%
	 June 2009
	  	14.75	%
	 July 2009
	  	14.90	%
	 August 2009
	  	15.00	%
	 September 2009 and thereafter
	  	15.10	%

 “Level 1 Delinquency Test” means a test that is met if, for each Distribution
Date specified below, the arithmetic average of the monthly Delinquency Ratios for the three immediately preceding Collection Periods is less than or equal to the percentage set forth opposite such Distribution Date: 
  

				
	 Distribution Date occurring in:
	  	Percentage	 
	 October 2006 through December 2006
	  	2.00	%
	 January 2007 though June 2007
	  	2.50	%
	 July 2007 through December 2007
	  	3.00	%
	 January 2008 though June 2008
	  	3.50	%
	 July 2008 through December 2008
	  	4.00	%
	 January 2009 and thereafter
	  	4.50	%

 “Level 1 Trigger Event” means either of the Level 1 Cumulative Net Loss Test or
the Level 1 Delinquency Test is not met. 
 “Level 2 Cumulative Net Loss Test” means a test that is met if, for each
Distribution Date specified below, the sum of the Cumulative Net Loss Ratio for the related Collection Period plus the Impaired Loan Ratio is less than or equal to the percentage set forth opposite such Distribution Date: 
  

				
	 Distribution Date occurring in:
	  	Percentage	 
	 October 2006
	  	2.10	%
	 November 2006
	  	2.65	%

  

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	 December 2006
	  	3.35	%
	 January 2007
	  	3.85	%
	 February 2007
	  	4.35	%
	 March 2007
	  	5.00	%
	 April 2007
	  	5.65	%
	 May 2007
	  	6.35	%
	 June 2007
	  	7.05	%
	 July 2007
	  	7.55	%
	 August 2007
	  	8.20	%
	 September 2007
	  	8.90	%
	 October 2007
	  	9.55	%
	 November 2007
	  	10.05	%
	 December 2007
	  	10.70	%
	 January 2008
	  	11.20	%
	 February 2008
	  	11.70	%
	 March 2008
	  	12.20	%
	 April 2008
	  	12.70	%
	 May 2008
	  	13.20	%
	 June 2008
	  	13.70	%
	 July 2008
	  	14.15	%
	 August 2008
	  	14.35	%
	 September 2008
	  	14.85	%
	 October 2008
	  	15.00	%
	 November 2008
	  	15.15	%
	 December 2008
	  	15.50	%
	 January 2009
	  	15.65	%
	 February 2009
	  	15.85	%
	 March 2009
	  	16.00	%
	 April 2009
	  	16.15	%
	 May 2009
	  	16.35	%
	 June 2009
	  	16.50	%
	 July 2009
	  	16.65	%

  

 5 

				
	 August 2009
	  	17.00	%
	 September 2009
	  	17.15	%
	 October 2009 and thereafter
	  	17.25	%

 “Level 2 Delinquency Test” means a test that is met if, for each Distribution
Date specified below, the arithmetic average of the monthly Delinquency Ratios for the three immediately preceding Collection Periods is less than or equal to the percentage set forth opposite such Distribution Date: 
  

				
	 Distribution Date occurring in:
	  	Percentage	 
	 October 2006 through December 2006
	  	2.50	%
	 January 2007 though June 2007
	  	3.00	%
	 July 2007 through December 2007
	  	3.50	%
	 January 2008 though June 2008
	  	4.00	%
	 July 2008 through December 2008
	  	4.50	%
	 January 2009 and thereafter
	  	5.00	%

 “Level 2 Trigger Event” means either of the Level 2 Cumulative Net Loss Test or
the Level 2 Delinquency Test is not met. 
 “Level 3 Cumulative Net Loss Test” means a test that is met if, for each
Distribution Date specified below, the sum of the Cumulative Net Loss Ratio for the related Collection Period plus the Impaired Loan Ratio is less than or equal to the percentage set forth opposite such Distribution Date: 
  

				
	 Distribution Date occurring in:
	  	Percentage	 
	 October 2006
	  	2.25	%
	 November 2006
	  	2.75	%
	 December 2006
	  	3.50	%
	 January 2007
	  	4.00	%
	 February 2007
	  	4.50	%
	 March 2007
	  	5.25	%
	 April 2007
	  	6.00	%
	 May 2007
	  	6.75	%
	 June 2007
	  	7.50	%

  

 6 

				
	 July 2007
	  	8.00	%
	 August 2007
	  	8.75	%
	 September 2007
	  	9.50	%
	 October 2007
	  	10.25	%
	 November 2007
	  	10.75	%
	 December 2007
	  	11.50	%
	 January 2008
	  	12.00	%
	 February 2008
	  	12.50	%
	 March 2008
	  	13.00	%
	 April 2008
	  	13.50	%
	 May 2008
	  	14.00	%
	 June 2008
	  	14.50	%
	 July 2008
	  	15.00	%
	 August 2008
	  	15.25	%
	 September 2008
	  	15.75	%
	 October 2008
	  	16.25	%
	 November 2008
	  	16.50	%
	 December 2008
	  	17.25	%
	 January 2009
	  	17.75	%
	 February 2009
	  	17.75	%
	 March 2009
	  	18.00	%
	 April 2009
	  	18.25	%
	 May 2009
	  	18.50	%
	 June 2009
	  	18.50	%
	 July 2009
	  	19.00	%
	 August 2009
	  	19.00	%
	 September 2009
	  	19.25	%
	 October 2009
	  	19.50	%
	 November 2009
	  	19.50	%
	 December 2009 and thereafter
	  	19.75	%

  

 7 

 “Level 3 Delinquency Test” means a test that is met if, for each Distribution Date
specified below, the arithmetic average of the monthly Delinquency Ratios for the three immediately preceding Collection Periods is less than or equal to the percentage set forth opposite such Distribution Date: 
  

				
	 Distribution Date occurring in:
	  	Percentage	 
	 October 2006 through December 2006
	  	3.00	%
	 January 2007 though June 2007
	  	3.50	%
	 July 2007 through December 2007
	  	4.00	%
	 January 2008 though June 2008
	  	4.50	%
	 July 2008 through December 2008
	  	5.00	%
	 January 2009 and thereafter
	  	5.50	%

 “Level 3 Trigger Event” means the occurrence of any one of the following
(A) a Servicer Termination Event, (B) an Insurance Agreement Event of Default, (C) the Level 3 Cumulative Net Loss Test is not met or (D) the Level 3 Delinquency Test is not met. 
 “Liquidation Proceeds” means, with respect to a Liquidated Receivable, all amounts realized with respect to such Receivable including
(1) proceeds from the disposition of the underlying financed vehicles; (2) any related insurance proceeds; (3) other monies received from the obligor that are allocable to principal and interest due under the automobile loan, and
(4) with respect to a Sold Receivable, the related Sale Amount. 
 “Non-Controlling Party” means, at any time, the
Trust Secured Party that is not the Controlling Party at such time. 
 “Outstanding Pool Balance” means the Pool Balance as
of the end of the related Collection Period. 
 “Requisite Amount” means an amount equal to 2.0% of the Original Pool
Balance provided, however, that on each Distribution Date upon which a Level 1 Trigger Event or Level 2 Trigger Event has occurred and is continuing, and upon each Distribution Date thereafter (unless no Level 1 Trigger Event or a
Level 2 Trigger Event has occurred for three consecutive months) the Requisite Amount shall be equal to the greater of (x) 6.0% of the Outstanding Pool Balance and (y) 4.0% of the Original Pool Balance; and provided further,
that on each Distribution Date upon which a Level 3 Trigger Event has occurred and upon each Distribution Date thereafter, the Requisite Amount shall be equal to 100% of the outstanding principal balance of the Notes. 
 “Security Interests” means the security interests and Liens in the Spread Account Agreement Collateral granted pursuant to
Section 2.01. 
  

 8 

 “Seller” means UPFC Auto Receivables Corp. 
 “Specified Impaired Amount” has the meaning ascribed to such term in the Insurance Agreement. 
 “Spread Account” means the account designated as such, established and maintained pursuant to Article III. 
 “Spread Account Agreement Collateral” has the meaning set forth in Section 2.01. 
 “Spread Account Claim Amount” has the meaning set forth in Section 1.1 of the Sale and Servicing Agreement. 
 “Trigger Event” means a Level 1 Trigger Event, a Level 2 Trigger Event or a Level 3 Trigger Event. 
 “Trustee Termination Date” means the date which is the latest of the date on which (i) the Trustee shall have received, as Trustee
for the holders of the Notes, payment and performance in full of all Trustee Trust Secured Obligations and (ii) all payments in respect of the Notes shall have been made and the Indenture shall have been satisfied and discharged pursuant to the
terms of Article IV of the Indenture. 
 “UACC” means United Auto Credit Corporation. 
 “Uniform Commercial Code” or “UCC” means the Uniform Commercial Code in effect in the relevant jurisdiction, as the
same may be amended from time to time. 
 Section 1.02. Other Definitional Provisions. 
 (a) Capitalized terms used but not otherwise defined herein shall have the meanings set forth in the Sale and Servicing Agreement or the
Indenture, as the case may be. 
 (b) The terms “hereof,” “herein” or “hereunder,” unless
otherwise modified by more specific reference, shall refer to this Agreement in its entirety. Unless otherwise indicated in context, the terms “Article,” “Section,” “Appendix,” “Exhibit” or “Annex”
shall refer to an Article or Section of, or Appendix, Exhibit or Annex to, this Agreement. The definition of a term shall include the singular, the plural, the past, the present, the future, the active and the passive forms of such term.

 ARTICLE II 
 THE
SPREAD ACCOUNT AGREEMENT COLLATERAL 
 Section 2.01. Grant of Security Interest by the Issuer. In order to secure the performance
of Trust Secured Obligations, to the extent provided herein, the Issuer hereby pledges, assigns, grants, transfers and conveys to the Collateral Agent, on behalf of and for the benefit of the Trust Secured Parties, a lien on and security interest in
(which lien and security 

  

 9 

 
interest is intended to be prior to all other Liens), all of its right, title and interest in and to the following (all being collectively referred to herein
as the “Spread Account Agreement Collateral” and constituting Spread Account Agreement Collateral hereunder): 
 (a)
the Spread Account established pursuant to Section 3.01, and each other account owned by the Issuer and maintained by the Collateral Agent (including, without limitation, the Spread Account Initial Deposit related thereto and all additional
monies, checks, securities, investments and other documents from time to time held in or evidencing any such accounts); 
 (b)
all of the Issuer’s right, title and interest in and to investments made with proceeds of the property described in clause (a) above, or made with amounts on deposit in the Spread Account; and 
 (c) all distributions, revenues, products, substitutions, benefits, profits and proceeds, in whatever form, of any of the foregoing
whether now owned or hereafter acquired. 
 Section 2.02. Priority. The Issuer intends the security interests in favor of the Trust
Secured Parties to be prior to all other Liens in respect of the Spread Account Agreement Collateral, and the Issuer shall take all actions necessary to obtain and maintain, in favor of the Collateral Agent, for the benefit of the Trust Secured
Parties, a first lien on and a first priority, perfected security interest in the Spread Account Agreement Collateral including, without limitation, the filing of a UCC-1 financing statement relating to the Spread Account Agreement Collateral.
Subject to the provisions hereof specifying the rights and powers of the Collateral Agent at the written direction of the Controlling Party from time to time to control certain specified matters relating to the Spread Account Agreement Collateral,
each Trust Secured Party shall have all of the rights, remedies and recourse with respect to the Spread Account Agreement Collateral afforded a secured party under the Uniform Commercial Code, and all other applicable law in addition to, and not in
limitation of, the other rights, remedies and recourse granted to such Trust Secured Parties by this Agreement or any other law relating to the creation and perfection of liens on, and security interests in, the Spread Account Agreement Collateral.

 Section 2.03. Issuer Remains Liable. The Security Interests are granted as security only and shall not (i) transfer or in any
way affect or modify, or relieve either the Issuer from, any obligation to perform or satisfy, any term, covenant, condition or agreement to be performed or satisfied by the Issuer under or in connection with this Agreement, the Insurance Agreement
or any other Basic Documents to which it is a party or (ii) impose any obligation on any of the Trust Secured Parties or the Collateral Agent to perform or observe any such term, covenant, condition or agreement or impose any liability on any
of the Trust Secured Parties or the Collateral Agent for any act or omission on its part relative thereto or for any breach of any representation or warranty on its part contained therein or made in connection therewith, except, in each case, to the
extent provided herein and in the other Basic Documents. 
  

 10 

 Section 2.04. Delivery and Maintenance of Spread Account Agreement Collateral. 
 (a) The Collateral Agent agrees to maintain the Spread Account Agreement Collateral received by it (or evidence thereof, in the case of
book-entry securities in the name of the Collateral Agent) and all records and documents relating thereto at the office of the Collateral Agent specified in Section 8.06 or such other address as may be approved by the Controlling Party. The
Collateral Agent shall keep all Spread Account Agreement Collateral and related documentation in its possession separate and apart from all other property that it is holding in its possession and from its own general assets and shall maintain
accurate records pertaining to the Eligible Investments and Spread Account included in the Spread Account Agreement Collateral in such a manner as shall enable the Collateral Agent and the Trust Secured Parties to verify the accuracy of such
record-keeping. The Collateral Agent’s books and records shall at all times show that the Spread Account Agreement Collateral is held by the Collateral Agent as agent of the Trust Secured Parties and is not the property of the Collateral Agent.
The Collateral Agent will promptly report to each Trust Secured Party and the Issuer any failure on its part to hold the Spread Account Agreement Collateral as provided in this Section 2.04(a) and will promptly take appropriate action to remedy
any such failure. 
 (b) The Collateral Agent shall permit each of the Trust Secured Parties, or their respective duly
authorized representatives, attorneys, auditors or designees, to inspect the Spread Account Agreement Collateral in the possession of or otherwise under the control of the Collateral Agent pursuant hereto at such reasonable times during normal
business hours as any such Trust Secured Party may reasonably request upon not less than one Business Day’s prior written notice. The costs and expenses associated with any such inspection will be paid by the party making such inspection.

 (c) All Spread Account Agreement Collateral shall be transferred to the Collateral Agent on behalf of the Trust Secured
Party in a manner consistent with the definition of “Delivery” set forth in the Sale and Servicing Agreement. 
 (d)
Notwithstanding anything to the contrary herein, the Collateral Agent: (i) is and will be acting on behalf of the Trust Secured Parties as a securities intermediary under Article Eight of the UCC and acknowledges that it holds the Spread
Account Agreement Collateral for the benefit of the Trust Secured Parties for purposes of Section 9-313 of the UCC (ii) shall establish and maintain the Spread Account for the benefit of the Trust Secured Parties as a holder of a security
interest in the Spread Account Agreement Collateral and the Spread Account; (iii) shall treat all of the assets in the Spread Account (other than cash) as financial assets under Article Eight of the UCC; (iv) shall not hold, or
exercise control (within the meaning of Article Eight or Nine of the UCC) over, the Spread Account Agreement Collateral and/or the Spread Account for the benefit of any person or entity other than the Trust Secured Parties; (v) has
received notice of the Trust Secured Parties’ interest in the assets contained and/or to be contained in the Spread Account; and (vi) shall take written instructions only from the Trust Secured Party constituting the Controlling Party
hereunder (without any consent of and notwithstanding any alternate direction of the Issuer) with respect to the Spread Account and/or the Spread Account Agreement Collateral, including, without limitation, all instructions with respect to the
acquisition, transfer and disposition of assets in the Spread Account and the proceeds thereof. In accordance with the choice of law governing this 

  

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Agreement set forth in Section 8.14 herein, for purposes of Article Eight of the UCC the jurisdiction of the Collateral Agent is deemed to be New York.

 Section 2.05. Termination and Release of Rights. 
 (a) On the Insurer Termination Date, the rights, remedies, powers, duties, authority and obligations conferred upon the Insurer pursuant
to this Agreement in respect of the Spread Account Agreement Collateral shall terminate and be of no further force and effect and all rights, remedies, powers, duties, authority and obligations of the Insurer with respect to such Spread Account
Agreement Collateral shall be automatically released; provided that any indemnity provided to or by the Insurer herein shall survive such Insurer Termination Date. If the Insurer is acting as Controlling Party on the related Insurer Termination
Date, the Insurer agrees, at the expense of the Issuer, to execute and deliver such instruments as the successor Controlling Party may reasonably request to effectuate such release, and any such instruments so executed and delivered shall be fully
binding on the Insurer and any Person claiming by, through or under the Insurer. 
 (b) On the Trustee Termination Date, the
rights, remedies, powers, duties, authority and obligations, if any, conferred upon the Trustee pursuant to this Agreement in respect of the Spread Account Agreement Collateral shall terminate and be of no further force and effect and all such
rights, remedies, powers, duties, authority and obligations of the Trustee with respect to such Spread Account Agreement Collateral shall be automatically released; provided that any indemnity provided to the Trustee herein shall survive such
Trustee Termination Date. If the Trustee is acting as Controlling Party on the related Trustee Termination Date, the Trustee agrees, at the expense of the Issuer, to execute and deliver such instruments as the Issuer may reasonably request to
effectuate such release, and any such instruments so executed and delivered shall be fully binding on the Trustee. 
 (c) On
the Final Termination Date, the rights, remedies, powers, duties, authority and obligations conferred upon the Collateral Agent and each Trust Secured Party pursuant to this Agreement shall terminate and be of no further force and effect and all
rights, remedies, powers, duties, authority and obligations of the Collateral Agent and each Trust Secured Party with respect to the Spread Account Agreement Collateral shall be automatically released. On the Final Termination Date, the Collateral
Agent agrees, and each Trust Secured Party agrees, at the expense of the Issuer, to execute such instruments of release, in recordable form if necessary, in favor of the Issuer as the Issuer may reasonably request, to deliver any Spread Account
Agreement Collateral in its possession to the Issuer, and to otherwise release the lien of this Agreement and release and deliver to the Issuer the Spread Account Agreement Collateral. 
 Section 2.06. Non-Recourse Obligations of Issuer. Notwithstanding anything herein or in the other Basic Documents to the contrary, the parties
hereto agree that the obligations of the Issuer hereunder shall be recourse only to the extent of amounts released to the Issuer pursuant to Section 3.03(b)(ii) and retained by the Issuer in accordance with the next sentence. The Issuer agrees
that it shall not declare or make any payment to the Seller or UACC except in 

  

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accordance with the Basic Documents. Nothing contained herein shall be deemed to limit the rights of the Noteholders under any other Basic Document.

 ARTICLE III 
 SPREAD
ACCOUNT 
 Section 3.01. Establishment of Spread Account; Initial Deposit into Spread Account; Maintenance of Spread Account.

 (a) On or prior to the Closing Date, the Collateral Agent shall establish, at its office or at another depository
institution or trust company an Eligible Deposit Account, designated, “Spread Account—Deutsche Bank Trust Company Americas, as Collateral Agent for MBIA Insurance Corporation and Deutsche Bank Trust Company Americas, as Trustee and Trust
Collateral Agent Re: UPFC Auto Receivables Trust 2006-A Class A Asset Backed Notes Series 2006-A” (the “Spread Account”). The Spread Account shall be maintained by the Collateral Agent at all times separate and apart from any
other account of UACC, the Seller, the Servicer or the Issuer. If the Spread Account ceases to be an Eligible Deposit Account, the Collateral Agent shall notify the Controlling Party of such fact and shall establish within five Business Days of such
determination, in accordance with Section 3.04(a), a successor Spread Account thereto, which shall be an Eligible Deposit Account, at another depository institution acceptable to the Controlling Party. 
 (b) No withdrawals may be made of funds in the Spread Account except as provided in Section 3.03. Except as specifically provided in
this Agreement, funds in the Spread Account shall not be commingled with any other moneys. All moneys deposited from time to time in the Spread Account and all investments made with such moneys shall be held by the Collateral Agent as part of the
Spread Account Agreement Collateral. 
 (c) On the Closing Date, Issuer shall provide or cause to be provided to the
Collateral Agent for deposit into the Spread Account an amount equal to the Spread Account Initial Deposit. 
 (d) On each
Distribution Date, after giving effect to all payments to be made on the related Distribution Date, the Collateral Agent shall based solely on the Servicer’s Certificate delivered with respect to the Determination Date cause to be maintained in
the Spread Account an amount equal to the Requisite Amount in accordance with Section 5.07 of the Sale and Servicing Agreement. 
 Section 3.02. Investments. 
 (a) Funds which may at any time be held in the Spread Account shall be invested
and reinvested by the Collateral Agent, at the written direction (which may include, subject to the provisions hereof, general standing instructions) of the Issuer (unless a Default shall have occurred and be continuing, in which case at the written
direction of the Controlling Party if it so elects) or its designee received by the Collateral Agent by 1:00 p.m. New York City time, on the Business Day prior to the date on which 

  

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such investment shall be made, in one or more Eligible Investments in the manner specified in Section 3.02(b) and (c). If no written direction with
respect to any portion of such Spread Account is received by the Collateral Agent, the Collateral Agent shall invest such funds overnight in money market mutual funds described in paragraph (d) of the definition of the term “Eligible
Investments,” provided that the Collateral Agent shall not be liable for any loss or absence of income resulting from such investments. 
 (b) Each investment made pursuant to this Section on any date shall mature not later than the Business Day immediately preceding the Distribution Date next succeeding the day such investment is made or payable on
demand, provided that any investment of funds in the Spread Account maintained with the Collateral Agent in any investment as to which the Collateral Agent is the obligor, if otherwise qualified as an Eligible Investment may mature on the
Distribution Date next succeeding the date of such investment. 
 (c) Subject to the other provisions hereof, the Collateral
Agent shall have sole control over each such investment and the income thereon, and any certificate or other instrument evidencing any such investment, if any, shall be delivered directly to the Collateral Agent or its agent, together with each
document of transfer, if any, necessary to transfer title to such investment to the Collateral Agent in a manner which complies with Section 2.04 and the requirements of the definition of “Eligible Investments.” 
 (d) If amounts on deposit in the Spread Account are at any time invested in an Eligible Investment payable on demand, the Collateral Agent
shall (i) consistent with any notice required to be given thereunder, demand that payment thereon be made on the last day such Eligible Investment is permitted to mature under the provisions hereof and (ii) demand payment of all amounts
due thereunder promptly upon receipt of written notice from the Controlling Party to the effect that such investment does not constitute an Eligible Investment. 
 (e) All moneys on deposit in the Spread Account, together with any deposits or securities in which such moneys may be invested or
reinvested, and any gains from such investments, shall constitute Spread Account Agreement Collateral hereunder subject to the Security Interests of the Trust Secured Parties. 
 (f) Subject to Section 4.03, the Collateral Agent shall not be liable by reason of any insufficiency in amounts on deposit in the
Spread Account resulting from any loss on any Eligible Investment included therein except for losses attributable to the failure of the relevant Deutsche Bank entity, in its commercial capacity, to make payments on Eligible Investments as to which
it, is obligated. All income or loss on investments of funds in the Spread Account shall be reported by UACC as taxable income or loss. 
 Section 3.03. Payments; Priority of Payments. 
 (a) On or before the second Business Day prior to each
Distribution Date, the Collateral Agent will make the following determinations on the basis of information (including, without limitation, the amount of any Spread Account Claim Amount) 

  

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received pursuant to Article IV of the Sale and Servicing Agreement from the Servicer; provided, however, that if the Collateral Agent receives written
notice from the Insurer, the Trustee, the Issuer or the Servicer of the occurrence of an Insurance Agreement Event of Default, such notice shall be determinative for the purposes of determining the Requisite Amount: 
 (i) determine the amounts to be on deposit in the Spread Account on such Distribution Date which will be available to satisfy any Spread
Account Claim Amount; and 
 (ii) determine (A) the amounts, if any, to be paid from the Spread Account with respect to
the Spread Account Claim Amount and (B) whether, following payment from the Spread Account to the Trust Collateral Agent for deposit into the Collection Account, a Spread Account Claim Amount will continue to exist. 
 On such Distribution Date, the Collateral Agent shall deliver a certificate to the Trust Collateral Agent and the Insurer with respect to any Deficiency
Notice, stating the amount, if any, to be distributed to the Trust Collateral Agent on that Distribution Date in respect of such Spread Account Claim Amount. 
 (b) On each Distribution Date, the Collateral Agent shall make the following payments from the Spread Account (to the extent of funds
available in the Spread Account) in the following order of priority: 
 (i) if the Trust Collateral Agent has delivered a
Deficiency Notice and if there exists a Spread Account Claim Amount, to the Trust Collateral Agent for deposit in the Collection Account the amount of such Spread Account Claim Amount; and 
 (ii) any funds in the Spread Account in excess of the Requisite Amount, after making the withdrawals therefrom required by clause
(i) of this Section 3.03(b) (to the extent of funds available in excess of the Requisite Amount) and any funds remaining in the Spread Account as of the Distribution Date immediately following the Final Termination Date will be applied by
the Collateral Agent in the following order of priority: 
 (A) to the payment of any expenses payable pursuant to
Section 4.5 of the Sale and Servicing Agreement to the extent not paid by the Servicer; 
 (B) to the Trust Collateral
Agent for payment to any replacement servicer any accrued and unpaid replacement servicer fees, transition costs or additional compensation to the extent not paid pursuant to the Sale and Servicing Agreement; 
  

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 (C) to the Trust Collateral Agent for payment to the Insurer, any amounts due and owing
to the Insurer that were not paid under Section 5.7(b)(viii) of the Sale and Servicing Agreement; 
 (D) to the Trustee,
the Trust Collateral Agent, the Backup Servicer, the Custodian, the Collateral Agent and the Designated Backup Subservicer, any fees, expenses or additional compensation to the extent not paid pursuant to the Sale and Servicing Agreement;

 (E) to the Backup Servicer, any indemnification amounts payable by the Servicer to the Backup Servicer to the extent not
paid by the Servicer; and 
 (F) to the holder(s) of the Certificates, any remaining funds in the Spread Account in excess of
the Requisite Amount. 
 Section 3.04. General Provisions Regarding Spread Account. 
 (a) Promptly upon the establishment (initially or upon any relocation) of the Spread Account hereunder, the Collateral Agent shall advise
the Issuer and each Trust Secured Party in writing of the name and address of the depository institution or trust company where the Spread Account has been established (if not at Deutsche Bank Trust Company Americas or any successor Collateral Agent
in its commercial banking capacity), the name of the officer of the depository institution who is responsible for overseeing the Spread Account, the account number and the individuals whose names appear on the signature cards for the Spread Account.
The Issuer shall cause each such depository institution or trust company to execute a written agreement, in form and substance reasonably satisfactory to the Controlling Party, waiving, and the Collateral Agent, by its execution of this Agreement
hereby waives (except to the extent expressly provided herein), in each case to the extent permitted under applicable law, (i) any banker’s or other statutory or similar Lien, and (ii) any right of set-off or other similar right under
applicable law with respect to the Spread Account and agreeing, and the Collateral Agent by its execution of this Agreement hereby agrees to notify the Issuer and each Trust Secured Party of any charge or claim against or with respect to such Spread
Account. The Collateral Agent shall give the Issuer and each Trust Secured Party at least ten Business Days’ prior written notice of any change in the location of the Spread Account or in any related account information. Anything herein to the
contrary notwithstanding, unless otherwise consented to by the Controlling Party in writing, the Collateral Agent shall have no right to change the location of the Spread Account 
 (b) Upon the written request of the Controlling Party or the Issuer, the Collateral Agent shall cause, at the expense of the Issuer, the
depository institution at which the Spread Account is located to forward to the requesting party copies of all monthly account statements for the Spread Account. 
  

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 (c) No passbook, certificate of deposit or other similar instrument evidencing the Spread
Account shall be issued, and all contracts, receipts and other papers, if any, governing or evidencing the Spread Account shall be held by the Collateral Agent. 
 Section 3.05. Reports by the Collateral Agent. The Collateral Agent shall report to the Issuer, the Insurer, the Trustee (unless the Trustee is the same party as the Collateral Agent), the Trust Collateral
Agent (unless the Trust Collateral Agent is the same party as the Collateral Agent) and the Servicer, on a monthly basis no later than each Distribution Date, the amount on deposit in the Spread Account and the identity of the investments included
therein as of the last day of the related Collection Period, and shall provide accountings of deposits into and withdrawals from the Spread Account, and of the investments made therein, upon the request of the Issuer, the Insurer or the Servicer.

 ARTICLE IV 
 THE
COLLATERAL AGENT 
 Section 4.01. Appointment and Powers. Subject to the terms and conditions hereof, each of the Trust Secured
Parties hereby appoints Deutsche Bank Trust Company Americas as the Collateral Agent with respect to the Spread Account Agreement Collateral, and Deutsche Bank Trust Company Americas hereby accepts such appointment and agrees to act as Collateral
Agent with respect to the Spread Account Agreement Collateral, for the Trust Secured Parties, to maintain custody and possession of such Spread Account Agreement Collateral (except as otherwise provided hereunder) and to perform the other duties of
the Collateral Agent in accordance with the provisions of this Agreement. Each Trust Secured Party hereby authorizes the Collateral Agent to take such action on its behalf, and to exercise such rights, remedies, powers and privileges hereunder, as
the Controlling Party may direct and as are specifically authorized to be exercised by the Collateral Agent by the terms hereof, together with such actions, rights, remedies, powers and privileges as are reasonably incidental thereto. The Collateral
Agent shall act (and shall be completely protected in so acting) upon and in compliance with the written instructions of the Controlling Party delivered pursuant to this Agreement promptly following receipt of such written instructions; provided
that the Collateral Agent shall not act in accordance with any instructions (i) which are not authorized by, or in violation of the provisions of, this Agreement, (ii) which are in violation of any applicable law, rule or regulation or
(iii) for which the Collateral Agent has not received reasonable indemnity. Receipt of such instructions shall not be a condition to the exercise by the Collateral Agent of its express duties hereunder, except where this Agreement provides that
the Collateral Agent is permitted to act only following and in accordance with such instructions. 
 Section 4.02. Performance of
Duties. The Collateral Agent shall have no duties or responsibilities except those expressly set forth in this Agreement and the other Basic Documents to which the Collateral Agent is a party or as directed by the Controlling Party in accordance
with this Agreement. The Collateral Agent shall not be required to take any discretionary actions hereunder except at the written direction and with indemnification satisfactory to it from the Controlling Party. 
  

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 Section 4.03. Limitation on Liability. Neither the Collateral Agent nor any of its directors,
officers or employees shall be liable for any action taken or omitted to be taken by it or them hereunder, or in connection herewith, except that the Collateral Agent shall be liable for its negligence, bad faith or willful misconduct; nor shall the
Collateral Agent be responsible for the validity, effectiveness, value, sufficiency or enforceability against the Issuer of this Agreement or any of the Spread Account Agreement Collateral (or any part thereof). Notwithstanding any term or provision
of this Agreement, the Collateral Agent shall incur no liability to the Issuer or the Trust Secured Parties for any action taken or omitted by the Collateral Agent in connection with the Spread Account Agreement Collateral, except for the negligence
or willful misconduct on the part of the Collateral Agent, and, further, shall incur no liability to the Trust Secured Parties except for negligence or willful misconduct in carrying out its duties to the Trust Secured Parties. Subject to
Section 4.04, the Collateral Agent shall be completely protected and shall incur no liability to any such party in relying upon the accuracy, acting in reliance upon the contents, and assuming the genuineness of any notice, demand, certificate,
signature, instrument or other document reasonably believed by the Collateral Agent to be genuine and to have been duly executed by the appropriate signatory, and (absent actual knowledge to the contrary) the Collateral Agent shall not be required
to make any independent investigation with respect thereto. The Collateral Agent shall at all times be free independently to establish to its reasonable satisfaction, but shall have no duty to independently verify, the existence or nonexistence of
facts that are a condition to the exercise or enforcement of any right or remedy hereunder or under any of the Basic Documents. The Collateral Agent may consult with counsel selected by it with due care, and shall not be liable for any action taken
or omitted to be taken by it hereunder in good faith and in accordance with the advice of such counsel. The Collateral Agent shall not be under any obligation to exercise any of the remedial rights or powers vested in it by this Agreement or to
follow any direction from the Controlling Party unless it shall have received reasonable security or indemnity satisfactory to the Collateral Agent against the costs, expenses and liabilities which might be incurred by it. 
 Section 4.04. Reliance upon Documents. In the absence of bad faith or negligence on its part, the Collateral Agent shall be entitled to rely on
any communication, instrument, paper or other document reasonably believed by it to be genuine and correct and to have been signed or sent by the proper Person or Persons and shall have no liability in acting, or omitting to act, where such action
or omission to act is in reasonable reliance upon any statement or opinion contained in any such document or instrument. 
 Section 4.05.
Successor Collateral Agent. 
 (a) Any Person into which the Collateral Agent may be converted or merged, or with which it
may be consolidated, or to which it may sell or transfer its trust business and assets as a whole, or substantially as a whole, or any Person resulting from any such conversion, merger, consolidation, sale or transfer to which the Collateral Agent
is a party, shall (provided it is otherwise qualified to serve as the Collateral Agent hereunder and is acceptable to the Insurer) be and become a successor Collateral Agent hereunder and be vested with all of the title to and interest in the Spread
Account Agreement Collateral and all of the trusts, powers, discretions, immunities, privileges and other matters as was its predecessor without the execution or filing of any instrument or any further act, deed or conveyance on the part of any of
the parties hereto, anything herein to 

  

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the contrary notwithstanding, except to the extent, if any, that any such action is necessary to perfect, or continue the perfection of, the security
interest of the Trust Secured Parties in the Spread Account Agreement Collateral. 
 (b) The Collateral Agent and any
successor Collateral Agent may resign only (i) upon a determination that by reason of a change in legal requirements the performance of its duties under this Agreement would cause it to be in violation of such legal requirements in a manner
which would result in a material adverse effect on the Collateral Agent as evidenced by an Opinion of Counsel delivered to the Insurer, and the Controlling Party does not elect to waive the Collateral Agent’s obligation to perform those duties
which render it legally unable to act or elect to delegate those duties to another Person, or (ii) with the prior written consent of the Controlling Party. The Collateral Agent shall give not less than 45 days’ prior written notice of any
such permitted resignation by registered or certified mail to the other Trust Secured Party and the Issuer; provided, that such resignation shall take effect only upon the date which is the latest of (A) the effective date of the appointment of
a successor Collateral Agent acceptable to the Insurer (provided that an Insurer Default has not occurred and is continuing) and the acceptance in writing by such successor Collateral Agent of such appointment and of its obligation to perform its
duties hereunder in accordance with the provisions hereof, (B) delivery of the Collateral to such successor to be held in accordance with the procedures specified in Article II, and (C) receipt by the Controlling Party of an Opinion
of Counsel to the effect described in Section 5.05. Notwithstanding the preceding sentence, if by the contemplated date of resignation specified in the written notice of resignation delivered as described above no successor Collateral Agent or
temporary successor Collateral Agent has been appointed Collateral Agent or becomes the Collateral Agent pursuant to Section 4.05(d), the resigning Collateral Agent may petition a court of competent jurisdiction in New York, New York for the
appointment of a successor acceptable to the Insurer (provided that an Insurer Default has not occurred and is continuing). Notwithstanding anything herein to the contrary, if the Trustee, the Trust Collateral Agent and Collateral Agent are the same
party and the Trustee or the Trust Collateral Agent resigns under the Indenture, the Collateral Agent may resign in accordance with the procedures for resignation of the Trustee and the Trust Collateral Agent under the Indenture. 
 (c) The Collateral Agent may be removed by the Controlling Party at any time, with or without cause, by an instrument or concurrent
instruments in writing delivered to the Collateral Agent, the other Trust Secured Party and the Issuer. A temporary successor may be removed at any time to allow a successor Collateral Agent to be appointed pursuant to Section 4.05(d). Any
removal pursuant to the provisions of this subsection (c) shall take effect only upon the date which is the latest of (i) the effective date of the appointment of a successor Collateral Agent acceptable to the Insurer (provided that an
Insurer Default has not occurred and is continuing) and the acceptance in writing by such successor Collateral Agent of such appointment and of its obligation to perform its duties hereunder in accordance with the provisions hereof,
(ii) delivery of the Spread Account Agreement Collateral to such successor to be held in accordance with the procedures specified in Article II and (iii) receipt by the Controlling Party of an Opinion of Counsel to the effect
described in Section 5.05. 
  

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 (d) The Controlling Party shall have the sole right to appoint each successor Collateral
Agent. Every temporary or permanent successor Collateral Agent appointed hereunder shall execute, acknowledge and deliver to its predecessor and to each Trust Secured Party and the Issuer an instrument in writing accepting such appointment hereunder
and the relevant predecessor shall execute, acknowledge and deliver such other documents and instruments as will effectuate the delivery of all Spread Account Agreement Collateral to the successor Collateral Agent to be held in accordance with the
procedures specified in Article II, whereupon such successor, without any further act, deed or conveyance, shall become fully vested with all the estates, properties, rights, powers, duties and obligations of its predecessor. Such predecessor
shall, nevertheless, on the written request of either Trust Secured Party or the Issuer, execute and deliver an instrument transferring to such successor all the estates, properties, rights and powers of such predecessor hereunder. In the event that
any instrument in writing from the Issuer or a Trust Secured Party is reasonably required by a successor Collateral Agent to more fully and certainly vest in such successor the estates, properties, rights, powers, duties and obligations vested or
intended to be vested hereunder in the Collateral Agent, any and all such written instruments shall, at the request of the temporary or permanent successor Collateral Agent, be forthwith executed, acknowledged and delivered by the Issuer. The
designation of any successor Collateral Agent and the instrument or instruments removing any Collateral Agent and appointing a successor hereunder, together with all other instruments provided for herein, shall be maintained with the records
relating to the Spread Account Agreement Collateral and, to the extent required by applicable law, filed or recorded by the successor Collateral Agent in each place where such filing or recording is necessary to effect the transfer of the Spread
Account Agreement Collateral to the successor Collateral Agent or to protect or continue the perfection of the security interests granted hereunder. 
 Section 4.06. Indemnification. The Seller shall indemnify the Collateral Agent, its directors, officers, employees and agents for, and hold the Collateral Agent, its directors, officers, employees and agents
harmless against, any loss, liability or expense (including the fees and expenses of Counsel and the costs and expenses of defending against any claim of liability) arising out of or in connection with the Collateral Agent’s acting as
Collateral Agent hereunder, except such loss, liability or expense as shall result from the negligence, bad faith or willful misconduct of the Collateral Agent. The obligation of the Seller under this Section 4.06 shall survive the termination
of this Agreement and the resignation or removal of the Collateral Agent or the Servicer. 
 Section 4.07. Compensation and
Reimbursement. The Seller agrees for the benefit of the Trust Secured Parties to pay to the Collateral Agent, the Collateral Agent Fee for all services rendered by it hereunder (which compensation shall not be limited by any provision of law in
regard to the compensation of a collateral trustee) and to reimburse the Collateral Agent for any reasonable and out of pocket expenses (including reasonable legal fees and expenses but excluding any expenses resulting from the gross negligence, bad
faith, or willful misconduct of the Collateral Agent) incurred in connection with the duties contemplated herein. 
  

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 Section 4.08. Representations and Warranties of the Collateral Agent. The Collateral Agent
represents and warrants to the Issuer and to each Trust Secured Party as follows: 
 (a) Due Organization. The
Collateral Agent is a banking corporation, duly organized, validly existing and in good standing under the laws of the State of New York and is duly authorized and licensed under applicable law to conduct its business as presently conducted.

 (b) Corporate Power. The Collateral Agent has all requisite right, power and authority to execute and deliver
this Agreement and to perform all of its duties as Collateral Agent hereunder. 
 (c) Due Authorization. The
execution and delivery by the Collateral Agent of this Agreement and the other Basic Documents to which it is a party, and the performance by the Collateral Agent of its duties hereunder and thereunder, have been duly authorized by all necessary
corporate proceedings and no further approvals or filings, including any governmental approvals, are required for the valid execution and delivery by the Collateral Agent, or the performance by the Collateral Agent, of this Agreement and such other
Basic Documents. 
 (d) Valid and Binding Agreement. The Collateral Agent 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 Collateral Agent, enforceable against the Collateral Agent 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 4.09. Waiver of Setoffs. The
Collateral Agent hereby expressly waives any and all rights of set off that the Collateral Agent may otherwise at any time have under applicable law with respect to the Spread Account and agrees that amounts in the Spread Account shall at all times
be held and applied solely in accordance with the provisions hereof. 
 Section 4.10. Control by the Controlling Party. The Collateral
Agent shall comply with notices and instructions given by the Issuer only if accompanied by the written consent of the Controlling Party, except that if any Default shall have occurred and be continuing, the Collateral Agent shall act upon and
comply with notices and instructions given by the Controlling Party alone in the place and stead of the Issuer. 
 Section 4.11.
Limitation of Liability. 
 (a) In no event shall the Trustee, Trust Collateral Agent or the Collateral Agent be liable
for any indirect, special, punitive or consequential loss or damage of any kind whatsoever, including, but not limited to, lost profits, even if the Trustee, Trust Collateral Agent or the Collateral Agent have been advised of the likelihood of such
loss or damage and regardless of the form of action. 
  

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 (b) In no event shall the Trustee, Trust Collateral Agent or the Collateral Agent be
liable for any failure or delay in the performance of its obligations hereunder because of circumstances beyond their control, including, but not limited to, acts of God, flood, war (whether declared or undeclared), terrorism, fire, riot, embargo,
government action, including any laws, ordinances, regulations, governmental action or the like which delay, restrict or prohibit the providing of the services contemplated by this Agreement. 
 ARTICLE V 
 COVENANTS OF THE ISSUER 
 Section 5.01. Preservation of Spread Account Agreement Collateral. Subject to the rights, powers and authorities granted to the Collateral Agent
and the Controlling Party in this Agreement, the Issuer shall take such action as is necessary and proper with respect to the Spread Account Agreement Collateral in order to preserve and maintain such Spread Account Agreement Collateral and to cause
(subject to the rights of the Trust Secured Parties) the Collateral Agent to perform its obligations with respect to such Spread Account Agreement Collateral as provided herein including, without limitation, filing UCC-1s on the Spread Account and
investments therein. The Issuer will do, execute, acknowledge and deliver, or cause to be done, executed, acknowledged and delivered, such instruments of transfer or take such other steps or actions as may be necessary, or required by the
Controlling Party, to perfect the Security Interests granted hereunder in the Spread Account Agreement Collateral, to ensure that such Security Interests rank prior to all other Liens and to preserve the priority of such Security Interests and the
validity and enforceability thereof. 
 Section 5.02. Notices. In the event that the Issuer acquires knowledge of the occurrence and
continuance of any Insurance Agreement Event of Default or Event of Default under the Indenture or of any event of default or like event, howsoever described or called, under any of the Basic Documents, the Issuer shall immediately give notice
thereof to the Collateral Agent and each Trust Secured Party. 
 Section 5.03. Waiver of Stay or Extension Laws; Marshalling of
Assets. The Issuer covenants, to the fullest extent permitted by applicable law, that it will not at any time insist upon, plead or in any manner whatsoever claim or take the benefit or advantage of, any appraisement, valuation, stay, extension
or redemption law wherever enacted, now or at any time hereafter in force, in order to prevent or hinder the enforcement of this Agreement or any absolute sale of the Spread Account Agreement Collateral or any part thereof, or the possession thereof
by any purchaser at any sale under Article VII; and the Issuer, to the fullest extent permitted by applicable law, for itself and all who may claim under it, hereby waives the benefit of all such laws, and covenants that it will not hinder,
delay or impede the execution of any power herein granted to the Collateral Agent, but will suffer and permit the execution of every such power as though no such law had been enacted. The Issuer, for itself and all who may claim under it, waives, to
the fullest extent permitted by applicable law, all right to have the Spread Account Agreement Collateral marshaled upon any foreclosure or other disposition thereof. 
  

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 Section 5.04. Noninterference, etc. The Issuer shall not (i) waive or alter any of its rights
under the Spread Account Agreement Collateral (or any agreement or instrument relating thereto) without the prior written consent of the Controlling Party, (ii) fail to pay any tax, assessment, charge or fee levied or assessed against the
Spread Account Agreement Collateral, or to defend any action, if such failure to pay or defend may adversely affect the priority or enforceability of the Issuer’s right, title or interest in and to the Spread Account Agreement Collateral or the
Collateral Agent’s lien on, and security interest in, the Spread Account Agreement Collateral for the benefit of the Trust Secured Parties or (iii) take any action, or fail to take any action, if such action or failure to take action will
interfere with the enforcement of any rights under the Basic Documents. 
 Section 5.05. Issuer Changes 
 (a) Change in Name, Structure, etc. The Issuer shall not change its name, identity or corporate structure unless it shall
have given each Trust Secured Party and the Collateral Agent at least 30 days’ prior written notice thereof, shall have effected any necessary or appropriate assignments or amendments thereto and filings of financing statements or amendments
thereto. 
 (b) Relocation of the Issuer. The Issuer shall not change its principal executive office or
jurisdiction of organization unless it gives each Trust Secured Party and the Collateral Agent at least 30 days’ prior written notice of any relocation of its principal executive office. If the Issuer relocates its principal executive office,
jurisdiction of organization or principal place of business from Delaware, the Issuer shall give prior notice thereof to the Controlling Party and the Collateral Agent and shall effect whatever appropriate recordations and filings are necessary and
shall provide an Opinion of Counsel to the Controlling Party and the Collateral Agent, to the effect that, upon the recording of any necessary assignments or amendments to previously-recorded assignments and filing of any necessary amendments to the
previously filed financing or continuation statements or upon the filing of one or more specified new financing statements, and the taking of such other actions as may be specified in such opinion, the security interests in the Spread Account
Agreement Collateral shall remain, after such relocation, valid and perfected. 
 ARTICLE VI 
 CONTROLLING PARTY; INTERCREDITOR PROVISIONS 
 Section 6.01. Appointment of Controlling Party. From and after the Closing Date until the Insurer Termination Date, the Insurer shall be the Controlling Party and shall be entitled to exercise all the rights given the Controlling
Party hereunder. From and after the Insurer Termination Date until the Trustee Termination Date, the Trustee shall be the Controlling Party. Notwithstanding the foregoing, in the event that an Insurer Default shall have occurred and be continuing,
the Trustee shall be the Controlling Party until the applicable Trustee Termination Date. If prior to an Insurer Termination Date the Trustee shall have become the Controlling Party as a result of the occurrence of an Insurer Default and either such
Insurer Default is cured or for any other reason ceases to exist or the Trustee Termination Date occurs, then upon such 

  

 23 

 
cure or other cessation or on such Trustee Termination Date, as the case may be, the Insurer shall, upon written notice thereof being duly given to the
Collateral Agent, again be the Controlling Party. 
 Section 6.02. Controlling Party’s Authority. 
 (a) The Issuer hereby irrevocably appoints the Collateral Agent, and any successor to the Collateral Agent appointed pursuant to
Section 4.05, its true and lawful attorney, with full power of substitution, in the name of the Issuer, the Trust Secured Parties or otherwise, but (subject to Section 2.06) at the expense of the Issuer, to the extent permitted by law to
exercise, at any time and from time to time while any Insurance Agreement Event of Default has occurred but at all such times at the written direction of the Controlling Party, any or all of the following powers with respect to all or any of the
Spread Account Agreement Collateral: (i) to demand, sue for, collect, receive and give acquittance for any and all monies due or to become due upon or by virtue thereof, (ii) to settle, compromise, compound, prosecute or defend any action
or proceeding with respect thereto, (iii) to sell, transfer, assign or otherwise deal with the same or the proceeds thereof as fully and effectively as if the Collateral Agent were the absolute owner thereof, and (iv) to extend the time of
payment of any or all thereof and to make any allowance or other adjustments with respect thereto. 
 (b) With respect to the
Notes and the related Spread Account Agreement Collateral, each Trust Secured Party hereby irrevocably and unconditionally constitutes and appoints the Collateral Agent, and any successor to such Collateral Agent appointed pursuant to
Section 4.05 from time to time, as the true and lawful attorney-in-fact of the Trust Secured Parties, with full power of substitution, to execute, acknowledge and deliver any notice, document, certificate, paper, pleading or instrument and to
do in the name of the Collateral Agent as well as in the name, place and stead of such Trust Secured Party such acts, things and deeds for and on behalf of and in the name of the Trust Secured Parties under this Agreement which the Trust Secured
Parties could or might do or which may be necessary, desirable or convenient in the Collateral Agent’s sole discretion with the prior written consent of the Controlling Party or at the direction of the Controlling Party to effect the purposes
contemplated hereunder and, without limitation, exercise full right, power and authority to take, or defer from taking, any and all acts with respect to the administration of the Spread Account Agreement Collateral, and the enforcement of the rights
of the Trust Secured Parties hereunder, on behalf of and for the benefit of the Trust Secured Parties, as their interests may appear. 
 Section 6.03. Rights of Trust Secured Parties. With respect to the Notes and the related Spread Account Agreement Collateral, the Non-Controlling Party at any time expressly agrees that it shall not assert any rights that it may
otherwise have, as a Trust Secured Party with respect to the Spread Account Agreement Collateral, to direct the maintenance, sale or other disposition of the Spread Account Agreement Collateral or any portion thereof, notwithstanding the occurrence
and continuance of any Default or any non-performance by the Issuer of any obligation owed to such Trust Secured Party hereunder or under any other Basic Document, and each party hereto agrees that the Collateral Agent, at the direction of the
Controlling Party shall be the only Person entitled to assert and exercise such rights. 
  

 24 

 Section 6.04. Degree of Care. 
 (a) Collateral Agent. Notwithstanding any term or provision of this Agreement, the Collateral Agent shall incur no liability
to the Issuer for any action taken or omitted by the Collateral Agent in connection with the Spread Account Agreement Collateral, except for any negligence, bad faith or willful misconduct on the part of the Collateral Agent and, further, shall
incur no liability to the Non-Controlling Party except for the negligence, bad faith or willful misconduct of the Collateral Agent in carrying out its duties, if any, to the Non-Controlling Party. The Collateral Agent shall be completely protected
and shall incur no liability to any such party in relying upon the accuracy, acting in reliance upon the contents and assuming the genuineness of any notice, demand, certificate, signature, instrument or other document believed by the Collateral
Agent to be genuine and to have been duly executed by the appropriate signatory, and (absent manifest error or actual knowledge to the contrary) the Collateral Agent shall not be required to make any independent investigation with respect thereto.
The Collateral Agent shall, at all times, be free independently to establish to its reasonable satisfaction the existence or nonexistence, as the case may be, of any fact the existence or nonexistence of which shall be a condition to the exercise or
enforcement of any right or remedy under this Agreement or any of the Basic Documents. 
 (b) Controlling Party.
Notwithstanding any term or provision of this Agreement, the Controlling Party shall incur no liability to the Issuer, Seller, Servicer or any secured party for any action taken or omitted by the Controlling Party in connection with the
Spread Account Agreement Collateral, except for any negligence, bad faith or willful misconduct on the part of the Controlling Party and, further, shall incur no liability to the Non-Controlling Party except for a breach of the terms of this
Agreement or for negligence, bad faith or willful misconduct in carrying out its duties, if any, to the Non-Controlling Party. The Controlling Party shall be protected and shall incur no liability to any such party in relying upon the accuracy,
acting in reliance upon the contents and assuming the genuineness of any notice, demand, certificate, signature, instrument or other document believed by the Controlling Party to be genuine and to have been duly executed by the appropriate
signatory, and (absent manifest error or actual knowledge to the contrary) the Controlling Party shall not be required to make any independent investigation with respect thereto. The Controlling Party shall, at all times, be free independently to
establish to its reasonable satisfaction the existence or nonexistence, as the case may be, of any fact the existence or nonexistence of which shall be a condition to the exercise or enforcement of any right or remedy under this Agreement or any of
the Basic Documents. 
 (c) The Non-Controlling Party. The Non-Controlling Party shall not be liable to the
Issuer for any action or failure to act by the Controlling Party or the Collateral Agent in exercising, or failing to exercise, any rights or remedies hereunder. 
  

 25 

 ARTICLE VII 
 REMEDIES UPON DEFAULT 
 Section 7.01. Remedies upon a Default. If a Default has occurred, the
Collateral Agent shall, at the written direction of the Controlling Party, take whatever action at law or in equity as may appear necessary or desirable in the judgment of the Controlling Party to collect and satisfy all Trust Secured Obligations,
including, but not limited to, foreclosure upon the Spread Account Agreement Collateral and all other rights available to secured parties under applicable law or to enforce performance and observance of any obligation, agreement or covenant under
any of the Basic Documents. 
 Section 7.02. Waiver of Default. The Controlling Party shall have the sole right, to be exercised in
its complete discretion, to waive any Default by a writing setting forth the terms, conditions and extent of such waiver signed by the Controlling Party and delivered to the Collateral Agent, the other Trust Secured Party and the Issuer. Any such
waiver shall be binding upon the Non-Controlling Party and the Collateral Agent. Unless such writing expressly provides to the contrary, any waiver so granted shall extend only to the specific event or occurrence which gave rise to the Default so
waived and not to any other similar event or occurrence which occurs subsequent to the date of such waiver. 
 Section 7.03. Restoration
of Rights and Remedies. If the Collateral Agent has instituted any proceeding to enforce any right or remedy under this Agreement, and such proceeding has been discontinued or abandoned for any reason, or has been determined adversely to the
Collateral Agent, then and in every such case the Issuer, the Collateral Agent and each of the Trust Secured Parties shall, subject to any determination in such proceeding, be restored severally and respectively to their former positions hereunder,
and thereafter all rights and remedies of the Trust Secured Parties shall continue as though no such proceeding had been instituted. 
 Section 7.04. No Remedy Exclusive. No right or remedy herein conferred upon or reserved to the Collateral Agent, the Controlling Party or either of the Trust Secured Parties is intended to be exclusive of any other right or remedy,
and every right or remedy shall, to the extent permitted by law, be cumulative and in addition to every other right and remedy given hereunder or now or hereafter existing at law, in equity or otherwise (but, in each case, shall be subject to the
provisions of this Agreement limiting such remedies), and each and every right, power and remedy whether specifically herein given or otherwise existing may be exercised from time to time and as often and in such order as may be deemed expedient by
the Controlling Party, and the exercise of or the beginning of the exercise of any right or power or remedy shall not be construed to be a waiver of the right to exercise at the same time or thereafter any other right, power or remedy. 

 

 26 

 ARTICLE VIII 
 MISCELLANEOUS 
 Section 8.01. Further Assurances. Each party hereto shall take such action and
deliver such instruments to any other party hereto, in addition to the actions and instruments specifically provided for herein, as may be reasonably requested or required to effectuate the purpose or provisions of this Agreement or to confirm or
perfect any transaction described or contemplated herein. 
 Section 8.02. Waiver. Any waiver by any party of any provision of this
Agreement or any right, remedy or option hereunder shall only prevent and stop such party from thereafter enforcing such provision, right, remedy or option if such waiver is given in writing and only as to the specific instance and for the specific
purpose for which such waiver was given. The failure or refusal of any party hereto to insist in any one or more instances, or in a course of dealing, upon the strict performance of any of the terms or provisions of this Agreement by any party
hereto or the partial exercise of any right, remedy or option hereunder shall not be construed as a waiver or relinquishment of any such term or provision, but the same shall continue in full force and effect. 
 Section 8.03. Amendments; Waivers. No amendment, modification, waiver or supplement to this Agreement or any provision of this Agreement shall in
any event be effective unless the same shall have been made or consented to in writing by each of the parties hereto and the Rating Agency Condition shall have been satisfied; provided, however, that, notwithstanding the foregoing, for so long as
the Insurer shall be the Controlling Party, any amendments, modifications, waivers or supplements hereto, or to the Spread Account Agreement Collateral or Spread Account or to any requirement hereunder to deposit or retain any amounts in such Spread
Account or to distribute any amounts therein as provided in Section 3.03 shall be effective if made or consented to in writing by the Insurer, the Issuer and the Collateral Agent (the consent of which shall not be withheld or delayed with
respect to any amendment that does not adversely affect the Collateral Agent) but shall in no circumstances require the consent of the Trustee or the Noteholders. 
 Section 8.04. Severability. In the event that any provision of this Agreement or the application thereof to any party hereto or to any circumstance or in any jurisdiction governing this Agreement shall, to any
extent, be invalid or unenforceable under any applicable statute, regulation or rule of law, then such provision shall be deemed inoperative to the extent that it is invalid or unenforceable and the remainder of this Agreement, and the application
of any such invalid or unenforceable provision to the parties, jurisdictions or circumstances other than to whom or to which it is held invalid or unenforceable, shall not be affected thereby nor shall the same affect the validity or enforceability
of any other provision of this Agreement. The parties hereto further agree that the holding by any court of competent jurisdiction that any remedy pursued by the Collateral Agent, or any of the Trust Secured Parties, hereunder is unavailable or
unenforceable shall not affect in any way the ability of the Collateral Agent or any of the Trust Secured Parties to pursue any other remedy available to it or them (subject, however, to the provisions of this Agreement limiting such remedies).

  

 27 

 Section 8.05. Nonpetition Covenant. Notwithstanding any prior termination of this Agreement, each
of the parties hereto agrees that it shall not, prior to one year and one day after the Final Scheduled Distribution Date of the Class A-3 Notes and payment of all amounts due to the Insurer under the Insurance Agreement, acquiesce, petition or
otherwise invoke or cause the Issuer or the Seller to invoke the process of the United States of America, any State or other political subdivision thereof or any entity exercising executive, legislative, judicial, regulatory or administrative
functions of or pertaining to government for the purpose of commencing or sustaining a case by or against the Issuer or the Seller under a Federal or state bankruptcy, insolvency or similar law or appointing a receiver, liquidator, assignee,
Trustee, custodian, sequestrator or other similar official of the Issuer or the Seller or all or any part of its respective property or assets or ordering the winding up or liquidation of the affairs of the Issuer or the Seller. The parties agree
that damages will be an inadequate remedy for breach of this covenant and that this covenant may be specifically enforced. 
 Section
8.06. Notices. All notices, demands, certificates, requests and communications hereunder (“notices”) shall be in writing and shall be effective (a) upon receipt when sent through the U.S. mails, registered or certified mail,
return receipt requested, postage prepaid, with such receipt to be effective the date of delivery indicated on the return receipt, (b) one Business Day after delivery to an overnight courier, (c) on the date personally delivered to an
Authorized Officer of the party to which sent, or (d) on the date transmitted by legible telecopier transmission with a confirmation of receipt, in all cases addressed to the recipient as follows: 
  

	 	(a)	If to the Issuer: 

 UPFC Auto Receivables Trust 2006-A

 c/o Wells Fargo Delaware Trust Company 
 919 Market Street, Suite 700 
 Wilmington, DE 19801 
 Attention: Corporate Trust Administration 
  

 28 

	 	(b)	If to the Insurer: 

 MBIA Insurance Corporation 

113 King Street 
 Armonk, New York 10504

 Attention: Insured Portfolio Management–Structured Finance 
 (UPFC Auto Receivables Trust 2006-A) 
 (in
each case in which notice or other communication to the Insurer refers to a Default or a claim on the Policy or in which failure on the part of the Insurer to respond shall be deemed to constitute consent or acceptance, then with a copy to the
attention of the General Counsel marked to reflect “Urgent Materials Enclosed”) 
  

	 	(c)	If to the Trustee and the Trust Collateral Agent: 

 Deutsche Bank Trust Company Americas 
 60 Wall Street, 26th Floor 
 New York, NY 10005 
 Attention: Structured Finance Services 
  

	 	(d)	If to the Collateral Agent: 

 Deutsche Bank Trust Company
Americas 
 60 Wall Street, 26th Floor 
 New York, NY 10005 
 Attention: Structured Finance Services 
  

	 	(e)	If to Moody’s: 

 Moody’s Investors Service, Inc.

 ABS Monitoring Department 
 99
Church Street 
 New York, New York 10007 
  

 29 

	 	(f)	If to Standard & Poor’s: 

 Standard & Poor’s Ratings Services, a division of 
 The McGraw Hill Companies, Inc. 
 55 Water Street, 40th Floor 
 New York, New
York 10041 
 Attention: Asset-Backed Surveillance Department 
 A copy of each notice given hereunder to any party hereto shall also be given to (without duplication) the Insurer, the Issuer, the Trustee, the Trust Collateral Agent and the Collateral Agent. Each party hereto may,
by notice given in accordance herewith to each of the other parties hereto, designate any further or different address to which subsequent notices shall be sent. 
 Section 8.07. Term of this Agreement. This Agreement shall take effect on the Closing Date and shall continue in effect until the Distribution Date occurring immediately following the Final Termination Date. On
the Distribution Date occurring immediately following the Final Termination Date and after giving effect to any withdrawals pursuant to Section 3.03, this Agreement shall terminate, all obligations of the parties hereunder shall cease and
terminate and the Spread Account Agreement Collateral, if any, held hereunder and not to be used or applied in discharge of any obligations of the Issuer in respect of the Trust Secured Obligations or otherwise under this Agreement, shall be
released to and in favor of the Issuer; provided that the provisions of Sections 4.06, 4.07 and 8.05 shall survive any termination of this Agreement and the release of any Spread Account Agreement Collateral upon such termination. 
 Section 8.08. Assignments; Third-Party Rights; Reinsurance. 
 (a) This Agreement shall be a continuing obligation of the parties hereto and shall (i) be binding upon the parties and their
respective successors and assigns, and (ii) inure to the benefit of and be enforceable by each Trust Secured Party and the Collateral Agent, and by their respective successors, transferees and assigns. The Issuer may not assign this Agreement,
or delegate any of its duties hereunder, without the prior written consent of the Controlling Party. 
 (b) The Insurer shall
have the right to give participations in its rights under this Agreement and to enter into contracts of reinsurance with respect to the Note Policy issued in connection with the Notes, upon such terms and conditions as the Insurer in its discretion
determines, and each such participant or reinsurer shall be entitled to the benefit of any representation, warranty, covenant and obligation of each party (other than the Insurer) hereunder as if such participant or reinsurer was a party hereto and,
subject only to such agreement regarding such reinsurance or participation, shall have the right to enforce the obligations of each such other party directly hereunder; provided, however, that no such reinsurance or participation agreement or
arrangement shall relieve the Insurer of its obligations hereunder, under the Basic Documents to which it is a party or under the Note Policy. In addition, nothing contained herein shall restrict the Insurer from assigning to any Person pursuant to
any liquidity facility or credit facility any rights of the Insurer under this Agreement or with respect to any real or personal property or 

  

 30 

 
other interests pledged to the Insurer, or in which the Insurer has a security interest, in connection with the transactions contemplated hereby. 

Section 8.09. Consent of Controlling Party. In the event that the Controlling Party’s consent is required under the terms hereof or under
the terms of any Basic Document, it is understood and agreed that, except as otherwise provided expressly herein, the determination whether to grant or withhold such consent shall be made solely by the Controlling Party in its sole discretion.

 Section 8.10. Consents to Jurisdiction. Each of the parties hereto irrevocably submits to the non-exclusive jurisdiction of the
United States District Court for the Southern District of New York, any court in the state of New York located in the city and county of New York, and any appellate court from any thereof, in any action, suit or proceeding brought against it and
related to or in connection with this Agreement, the other Basic Documents or the transactions contemplated hereunder or thereunder or for recognition or enforcement of any judgment and each of the parties hereto irrevocably and unconditionally
agrees that all claims in respect of any such suit or action or proceeding may be heard or determined in such New York State court or, to the extent permitted by law, in such federal court. Each of the parties hereto agrees that a final judgment in
any such action, suit or proceeding shall be conclusive and may be enforced in other jurisdictions by suit on the judgment or in any other manner provided by law. To the extent permitted by applicable law, each of the parties hereby waives and
agrees not to assert by way of motion, as a defense or otherwise in any such suit, action or proceeding, any claim that it is not personally subject to the jurisdiction of such courts, that the suit, action or proceeding is brought in an
inconvenient forum, that the venue of the suit, action or proceeding is improper or that this Agreement or any of the other Basic Documents or the subject matter hereof or thereof may not be litigated in or by such courts. The Issuer hereby
irrevocably appoints and designates Deutsche Bank Trust Company Americas, as its true and lawful attorney and duly authorized agent for acceptance of service of legal process relating hereto. The Issuer agrees that service of such process upon such
Person shall constitute personal service of such process upon it. Subject to Section 8.05, nothing contained in this Agreement shall limit or affect the rights of any party hereto to serve process in any other manner permitted by law or to
start legal proceedings relating to any of the Basic Documents against the Issuer or its property in the courts of any jurisdiction. 
 Section 8.11. Determination of Adverse Effect. Any determination of an adverse effect on the interest of the Trust Secured Parties or the Noteholders shall be made without consideration of the availability of funds under the Note
Policy. 
 Section 8.12. Headings. The headings of articles, sections and paragraphs and the Table of Contents contained in this
Agreement are provided for convenience only. They form no part of this Agreement and shall not affect its construction or interpretation. 
 Section 8.13. TRIAL BY JURY WAIVED. EACH OF THE PARTIES HERETO WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION ARISING DIRECTLY OR INDIRECTLY OUT OF, UNDER OR IN
CONNECTION WITH THIS AGREEMENT, ANY OF THE OTHER BASIC DOCUMENTS OR ANY OF THE TRANSACTIONS 

  

 31 

 
CONTEMPLATED HEREUNDER OR THEREUNDER. EACH OF THE PARTIES HERETO (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS
REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER AND (B) ACKNOWLEDGES THAT IT HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT AND THE OTHER BASIC DOCUMENTS TO
WHICH IT IS A PARTY, BY AMONG OTHER THINGS, THIS WAIVER. 
 Section 8.14. GOVERNING LAW. THIS AGREEMENT SHALL BE GOVERNED BY AND
CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD TO ITS CONFLICTS OF LAW PROVISIONS (OTHER THAN SECTION 5-1401 OF THE GENERAL OBLIGATIONS LAW), AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES UNDER THIS
AGREEMENT SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS. 
 Section 8.15. Counterparts. This Agreement may be executed in two or
more counterparts by the parties hereto, and each such counterpart shall be considered an original and all such counterparts shall constitute one and the same instrument. 
 Section 8.16. Limitation of Liability. 
 (a) It is expressly understood and agreed by
the parties hereto that (a) this Agreement is executed and delivered by Wells Fargo Delaware Trust Company, not individually or personally but solely as trustee of the Issuer, in the exercise of the powers and authority conferred and vested in
it under the Trust Agreement, (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 Wells Fargo Delaware Trust
Company but is made and intended for the purpose for binding only the Issuer and (c) under no circumstances shall Wells Fargo Delaware 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 undertaken by the Issuer under this Agreement. 
 (b) Notwithstanding anything contained herein to the contrary, this Agreement has been executed and delivered by Deutsche Bank Trust Company Americas, not in its individual capacity but solely in its capacities as
Collateral Agent, Trustee and Trust Collateral Agent and in no event shall Deutsche Bank Trust Company Americas, have any liability for the representations, warranties, covenants, agreements or other obligations of the Issuer hereunder or in any of
the certificates, notices or agreements delivered pursuant hereto, as to all of which recourse shall be had solely to the assets of the Issuer. 
 [REMAINDER OF PAGE INTENTIONALLY BLANK; SIGNATURE PAGE FOLLOWS] 
  

 32 

 IN WITNESS WHEREOF, the parties hereto have executed this Spread Account Agreement as of the date set
forth on the first page hereof. 
  

			
	UPFC AUTO RECEIVABLES TRUST 2006-A, as Issuer
		
	 By:
	 	WELLS FARGO DELAWARE TRUST COMPANY, not in its individual capacity but solely as Owner Trustee on behalf of the Trust.
		
	 By:
	 	  
		
	 Title:
	 	  

 UACC Automobile Receivables Trust 2006-A 
 Spread Account Agreement Signature Page 

			
	MBIA INSURANCE CORPORATION, as Insurer
		
	 By:
	 	  
	 Title:
	 	 Assistant Secretary

 UACC Automobile Receivables Trust 2006-A 
 Spread Account Agreement Signature Page 

			
	DEUTSCHE BANK TRUST COMPANY AMERICAS, as Trustee, as Trust Collateral Agent and as Collateral Agent
		
	 By:
	 	  
		
	 Title:
	 	  

 UACC Automobile Receivables Trust 2006-A 
 Spread Account Agreement Signature Page 

 Accepted and Agreed with respect to Sections 4.06 and 4.07: 

			
	
	UNITED AUTO CREDIT CORPORATION
		
	 By:
	 	  
		
	 Title:
	 	  

 UACC Automobile Receivables Trust 2006-A 
 Spread Account Agreement Signature PageSale Agreement

 Exhibit 10.4 
  

 SALE AGREEMENT 
 between 
 UNITED AUTO CREDIT CORPORATION, 
 as Seller 
 and 
 UPFC AUTO RECEIVABLES CORP., 
 as Purchaser 
 Dated June 1, 2006 
  

 TABLE OF CONTENTS 
  

			
	 	  	Page
	 ARTICLE I DEFINITIONS
	  	1
		
	 SECTION 1.1. OTHER INTERPRETIVE PROVISIONS
	  	1
		
	 ARTICLE II PURCHASE AND SALE OF RECEIVABLES
	  	2
		
	 SECTION 2.1. PURCHASE AND SALE OF RECEIVABLES
	  	2
	 SECTION 2.2. RECEIVABLES PURCHASE PRICE
	  	3
	 SECTION 2.3. EXPENSES
	  	3
		
	 ARTICLE III REPRESENTATIONS AND WARRANTIES
	  	3
		
	 SECTION 3.1. REPRESENTATIONS AND WARRANTIES OF PURCHASER
	  	3
	 SECTION 3.2. REPRESENTATIONS AND WARRANTIES OF SELLER
	  	5
	 SECTION 3.3. REPRESENTATIONS AND WARRANTIES AS TO EACH RECEIVABLE
	  	6
	 SECTION 3.4. REPURCHASE UPON BREACH
	  	11
		
	 ARTICLE IV RESERVED
	  	12
		
	 ARTICLE V COVENANTS OF SELLER
	  	12
		
	 SECTION 5.1. PROTECTION OF TITLE TO SELLER ASSETS
	  	12
	 SECTION 5.2. OTHER LIENS OR INTERESTS
	  	14
	 SECTION 5.3. INDEMNIFICATION
	  	14
	 SECTION 5.4. NONPETITION COVENANT
	  	15
		
	 ARTICLE VI MISCELLANEOUS PROVISIONS
	  	15
		
	 SECTION 6.1. OBLIGATIONS OF SELLER
	  	15
	 SECTION 6.2. SELLER’S ASSIGNMENT OF PURCHASED RECEIVABLES
	  	15
	 SECTION 6.3. SUBSEQUENT TRANSFER TO THE TRUST, INDENTURE TRUSTEE AND INSURER
	  	15
	 SECTION 6.4. AMENDMENT
	  	16
	 SECTION 6.5. WAIVERS
	  	17
	 SECTION 6.6. NOTICES
	  	17
	 SECTION 6.7. MERGER AND INTEGRATION
	  	17
	 SECTION 6.8. SEVERABILITY OF PROVISIONS
	  	17
	 SECTION 6.9. COSTS AND EXPENSES
	  	17
	 SECTION 6.10. REPRESENTATIONS TO SELLER
	  	17
	 SECTION 6.11. GOVERNING LAW
	  	17
	 SECTION 6.12. COUNTERPARTS
	  	17
	 SECTION 6.13. THIRD-PARTY BENEFICIARIES
	  	18

  

 i 

 SALE AGREEMENT 
 THIS SALE AGREEMENT (as from time to time amended, supplemented or otherwise modified and in effect, this “Agreement”) is made as of this 1st day of June, 2006 by and between UNITED AUTO CREDIT CORPORATION, a California corporation (in such capacity and for purposes of this Agreement only, the
“Seller”), and UPFC AUTO RECEIVABLES CORP., a California corporation (in such capacity and for purposes of this Agreement only, the “Purchaser”). 
 WHEREAS, in the regular course of its business, conditional sale contracts secured by motor vehicles (“Loans”) were assigned by dealers to the Seller located in the state where such dealer was located;

 WHEREAS, Purchaser desires to purchase from Seller a portfolio of Loans; and 
 WHEREAS, Seller is willing to sell such Loans to Purchaser. 
 NOW, THEREFORE, in consideration of the premises and the mutual covenants herein contained, the parties hereto agree as follows: 
 ARTICLE I 
 DEFINITIONS 
 DEFINITIONS. Capitalized terms used but not defined herein are used in this Agreement as defined in Article I of the Sale and Servicing Agreement among UPFC Auto Receivables Trust 2006-A, as the Trust, UPFC Auto
Receivables Corp., as Seller, United Auto Credit Corporation, as Servicer, Deutsche Bank Trust Company Americas, as Trust Collateral Agent, Custodian and Backup Servicer, and CenterOne Financial Services LLC, as Designated Backup Subservicer as the
same may be amended and supplemented from time to time. 
 SECTION 1.1. OTHER INTERPRETIVE PROVISIONS. For purposes of this Agreement, unless
the context otherwise requires: (a) accounting terms not otherwise defined in this Agreement, and accounting terms partly defined in this Agreement to the extent not defined, shall have the respective meanings given to them under GAAP;
(b) terms defined in Article 9 of the UCC and not otherwise defined in this Agreement are used as defined in that Article; (c) the words “hereof,” “herein” and “hereunder” and words of similar import refer to
this Agreement as a whole and not to any particular provision of this Agreement; (d) references to any Article, Section, Schedule or Exhibit are references to Articles, Sections, Schedules and Exhibits in or to this Agreement and references to
any paragraph, subsection, clause or other subdivision within any Section or definition refer to such paragraph, subsection, clause or other subdivision of such Section or definition; (e) the term “including” means “including
without limitation”; (f) except as otherwise expressly provided herein, references to any law or regulation refer to that law or regulation as amended from time to time and include any successor law or regulation; (g) references to
any Person include that Person’s successors and assigns; and (h) headings are for purposes of reference only and shall not otherwise affect the meaning or interpretation of any provision hereof. 
  

 1 

 ARTICLE II 
 PURCHASE AND SALE OF RECEIVABLES 
 SECTION 2.1. PURCHASE AND SALE OF RECEIVABLES. 
 Effective as of the Closing Date and immediately prior to the transactions pursuant to the Indenture, the Sale and Servicing Agreement, the Trust
Agreement and the Insurance Agreement, Seller does hereby sell, transfer, assign, set over and otherwise convey to Purchaser, without recourse (subject to the obligations herein), all right, title and interest of Seller in and to the following (the
“Seller Assets”): 
 (a) the Receivables and all moneys received thereon after the Cutoff Date; 
 (b) the security interests in the Financed Vehicles granted by Obligors pursuant to the Receivables and any other interest of the Seller in such Financed
Vehicles; 
 (c) any proceeds and the right to receive proceeds with respect to the Receivables from claims on any physical damage, credit
life or disability insurance policies covering Financed Vehicles or Obligors and any proceeds from the liquidation of the Receivables; 
 (d)
any proceeds from any Receivable repurchased by a Dealer pursuant to a Dealer Agreement as a result of a breach of representation or warranty in the related Dealer Agreement; 
 (e) all rights under any Service Contracts on the related Financed Vehicles; 
 (f) the related Receivable Files; 
 (g) all
of the Seller’s right, title and interest in its rights and benefits, but none of its obligations or burdens, under this Agreement, including the Seller’s rights with respect to delivery requirements, representations and warranties and the
repurchase obligations of UACC under the this Agreement; 
 (h) all of the Seller’s (a) Accounts, (b) Chattel Paper,
(c) Documents, (d) Instruments and (e) General Intangibles (as such terms are defined in the UCC) relating to the property described in (a) through (g); 
 (i) all proceeds and investments with respect to items (a) through (h); and 
 (j) all of Seller’s right, title and interest in its rights and benefits but none of its obligations or burdens under the Dealer Agreements.

 The sale, transfer, assignment, setting over and conveyance made hereunder shall not constitute and is not intended to result in an
assumption by Purchaser of any obligation of Seller to the Obligors, the Dealers or any other Person in connection with the Receivables and the other assets and properties conveyed hereunder or any agreement, document or instrument related thereto.

  

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 It is the express intention of Seller and Purchaser that (a) the assignment and transfer herein
contemplated constitute a sale of the Receivables and the other Seller Assets described above, conveying good title thereto free and clear of any liens, encumbrances, security interests or rights of other Persons, from Seller to Purchaser and
(b) the Receivables and the other Seller Assets described above not be a part of Seller’s estate in the event of a bankruptcy or insolvency of Seller. If, notwithstanding the intention of Seller and Purchaser, such conveyance is deemed to
be a pledge in connection with a financing or is otherwise deemed not to be a sale, Seller hereby grants, and the parties intend that Seller shall have granted to the Purchaser, a first priority perfected security interest in all of Seller’s
right, title and interest in all of the items of the Seller Assets and all proceeds of the foregoing, and that this Agreement shall constitute a security agreement under applicable law and the Purchaser shall have all of the rights and remedies of a
secured party and creditor under the UCC as in force in the relevant jurisdictions. 
 SECTION 2.2. RECEIVABLES PURCHASE PRICE. In
consideration for the Seller Assets, Purchaser shall, on the Closing Date, pay to Seller the Receivables Purchase Price. The “Receivables Purchase Price” shall be $260,215,063.57, payable in cash. 
 SECTION 2.3. EXPENSES. The Seller shall pay (or shall reimburse the Underwriters or any other Person to the extent that the Underwriters of such other
Person shall pay), to the extent any of the amounts below have not been paid by Purchaser pursuant to the Sale and Servicing Agreement, for certain of the expenses of the Underwriters in connection with the issuance and sale of the Notes and any
taxes payable in connection therewith, including: (i) expenses incident to the preparing, printing, reproducing and distributing of the Preliminary Prospectus and the Prospectus, (ii) the fees and expenses of qualifying the Notes under the
securities laws of the several jurisdictions and of preparing, printing and distributing any blue sky survey (including related fees and expenses of counsel to the Underwriter), (iii) any fees charged by Moody’s and Standard &
Poor’s in connection with the rating of the Notes, (iv) the fees of DTC in connection with the book-entry registration of the Notes, (v) the fees and disbursements of the Indenture Trustee and the Owner Trustee and their respective
counsels, (vi) the fees and disbursements of the accountants, (vii) the fees and disbursements of McKee Nelson LLP, counsel to the Underwriters and Underwriter, in connection with the purchase of the Receivables hereunder and the issuance
and sale of the Notes and (viii) the filing fee charged by the SEC for registration of the Notes. 
 ARTICLE III 
 REPRESENTATIONS AND WARRANTIES 
 SECTION 3.1.
REPRESENTATIONS AND WARRANTIES OF PURCHASER. Purchaser hereby makes the following representations and warranties upon which Seller may rely. Such representations are made as of the execution and delivery of this Agreement, but shall survive the
sale, transfer and assignment of the Receivables to Purchaser, the sale by Purchaser to the Trust and the pledge by the Trust to the Indenture Trustee. 
 (a) Organization and Good Standing. Purchaser has been duly organized and is validly existing as a corporation in good standing under the laws of the State of California and 

  

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has the corporate power and authority to execute and deliver this Agreement and to perform the terms and provisions hereof. 
 (b) Due Qualification. Purchaser is duly qualified to do business as a foreign corporation in good standing, and has obtained all necessary licenses and
approvals in all jurisdictions where the failure to do so would materially and adversely affect Purchaser’s ability to acquire the Seller Assets, and to transfer the Seller Assets to the Trust pursuant to the Sale and Servicing Agreement, or
the validity or enforceability of the Seller Assets or to perform Purchaser’s obligations hereunder and under the Transaction Documents 
 (c) Power and Authority. Purchaser has full power, authority and legal right to execute, deliver and perform this Agreement and has taken all necessary action to authorize the execution, delivery and performance by it of this Agreement.

 (d) No Consent Required. No approval, authorization, consent, license or other order or action of, or filing or registration with, any
governmental authority, bureau or agency is required in connection with the execution, delivery or performance by Purchaser of this Agreement or the consummation of the transactions contemplated hereby. 
 (e) Binding Obligation. This Agreement has been duly executed and delivered by Purchaser and this Agreement constitutes a legal, valid and binding
obligation of Purchaser, enforceable against Purchaser in accordance with its terms, subject, as to enforceability, to applicable bankruptcy, insolvency, reorganization, conservatorship, receivership, liquidation and other similar laws affecting the
enforcement of the rights of creditors generally and to equitable limitations on the availability of specific remedies. 
 (f) No Violation.
The execution, delivery and performance by Purchaser of this Agreement and the consummation of the transactions contemplated hereby will not conflict with, result in any breach of the material terms and provisions of, constitute (with or without
notice or lapse of time) a material default under or result in the creation or imposition of any Lien under any of its material properties pursuant to the terms of, (i) the articles of incorporation or bylaws of Purchaser, (ii) any
material indenture, contract, lease, mortgage, deed of trust or other instrument or agreement to which Purchaser is a party or by which Purchaser is bound or to which any of its properties are subject, or (iii) any law, order, rule or
regulation applicable to Purchaser of any federal or state regulatory body, any court, administrative agency, or other governmental instrumentality having jurisdiction over Purchaser. 
 (g) No Proceedings. There are no proceedings or investigations pending, or, to the knowledge of Purchaser, threatened, before any court, regulatory body,
administrative agency, or other tribunal or governmental instrumentality having jurisdiction over Purchaser or its properties: (i) asserting the invalidity of this Agreement or the transactions contemplated herein, (ii) seeking to prevent
the consummation of any of the transactions by this Agreement, (iii) seeking any determination or ruling that might materially and adversely affect the performance by Purchaser of its obligations under, or the validity or enforceability of,
this Agreement or the transactions contemplated herein, or (iv) that may materially and adversely affect this Agreement or the transactions contemplated hereby. 
  

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 SECTION 3.2. REPRESENTATIONS AND WARRANTIES OF SELLER. Seller hereby makes the following representations
and warranties upon which Purchaser may rely. Such representations are made as of the execution and delivery of this Agreement, but shall survive the sale, transfer and assignment of the Receivables to Purchaser, the sale by Purchaser to the Trust
and the pledge by the Trust to the Indenture Trustee. 
 (a) Organization and Good Standing. Seller has been duly incorporated and is validly
existing as a corporation in good standing under the laws of the State of California and has the corporate power and authority to execute and legal right to own its properties and conduct its motor vehicle retail installment sale contract business
as such properties are at present owned and such business is at present conducted and had at all relevant times, and has, power, authority and legal right to acquire, own and sell the Seller Assets pursuant to the terms of this Agreement.

 (b) Due Qualification. The Seller is duly qualified to do business as a foreign corporation and is in good standing, and has obtained all
necessary licenses and approvals, in all jurisdictions in which the ownership or lease of property or the conduct of its business shall require such qualifications and in which the failure to do so would materially and adversely affect the
Purchaser’s performance of its obligations under, the validity or enforceability of, this Agreement or the Seller Assets. 
 (c) Power
and Authority. Seller has the power, authority and legal right to execute and deliver this Agreement and to carry out its terms and to sell and assign the Seller Assets; and the execution, delivery and performance of this Agreement has been duly
authorized by Seller by all necessary action. 
 (d) No Consent Required. No approval, authorization, consent, license or other order or
action of, or filing or registration with, any governmental authority, bureau or agency is required in connection with the execution, delivery or performance of this Agreement or the consummation of the transactions contemplated hereby or thereby,
other than the filing of UCC financing statements or as otherwise has been made or obtained. 
 (e) Valid Sale; Binding Obligation. Seller
intends this Agreement to effect a valid sale, transfer, and assignment of the Receivables and the other Seller Assets conveyed by Seller to Purchaser hereunder, enforceable against creditors of and purchasers from Seller; and this Agreement
constitutes a legal, valid and binding obligation of Seller, enforceable against Seller in accordance with its terms, subject, as to enforceability, to applicable bankruptcy, insolvency, reorganization, conservatorship, receivership, liquidation and
other similar laws affecting enforcement of the rights of creditors generally and to equitable limitations on the availability of specific remedies. 
 (f) No Violation. The execution, delivery and performance by Seller of this Agreement and the consummation of the transactions contemplated hereby will not conflict with, result in any material breach of any of the
terms and provisions of, constitute (with or without notice or lapse of time) a material default under, or result in the creation or imposition of any Lien upon any of its material properties pursuant to the terms of, (i) the charter or bylaws
of Seller, (ii) any material indenture, contract, lease, mortgage, deed of trust or other instrument or 

  

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agreement to which Seller is a party or by which Seller is bound, or (iii) any law, order, rule or regulation applicable to Seller of any federal or
state regulatory body, any court, administrative agency, or other governmental instrumentality having jurisdiction over Seller. 
 (g) No
Proceedings. There are no proceedings or investigations pending, or, to the knowledge of Seller, threatened, before any court, regulatory body, administrative agency, or other tribunal or governmental instrumentality having jurisdiction over Seller
or its properties: (i) asserting the invalidity of this Agreement or the transactions contemplated herein, (ii) seeking to prevent the consummation of any of the transactions by this Agreement, (iii) seeking any determination or
ruling that might materially and adversely affect the performance by Seller of its obligations under, or the validity or enforceability of, this Agreement or the transactions contemplated herein, or (iv) that may materially and adversely affect
this Agreement or the transactions contemplated hereby. 
 (h) Compliance with Requirements of Law. The Seller shall duly satisfy all
obligations on its part to be fulfilled under or in connection with each Receivable, will maintain in effect all qualifications required under applicable law and will comply in all material respects with all other applicable law in connection with
servicing each Receivable the failure to comply with which would have a material adverse effect on the Seller’s performance of its obligations under this Agreement. 
 (i) True Sale. The Receivables are being transferred with the intention of removing them from the Seller’s estate pursuant to Section 541 of the Bankruptcy Code. 
 (j) Chief Executive Office. The chief executive office of Seller is at 3990 Westerly Place, Suite 200, Newport Beach, California 92660. 
 (k) Official Record. This Agreement and all other documents related hereto to which Seller is a party have been approved by Seller’s board of
directors, which approval is reflected in the minutes or unanimous written consent of such board, and shall continuously from time to time of each such document’s execution, be maintained as an official record of Seller. 
 SECTION 3.3. REPRESENTATIONS AND WARRANTIES AS TO EACH RECEIVABLE. Seller hereby makes the following representations and warranties as to each Receivable
conveyed by it to Purchaser hereunder on which Purchaser shall rely in acquiring the Receivables. Such representations and warranties shall survive the sale, transfer and assignment of the Receivables to Purchaser hereunder, the subsequent sale,
transfer and assignment of the Receivables to the Trust under the Sale and Servicing Agreement, and the pledge thereof to Indenture Trustee pursuant to the Indenture. Such representations and warranties are made as of the Closing Date, unless
otherwise noted below. 
 (a) Good Title. It is the intention of Seller that the transfer and assignment herein contemplated constitute a
sale of the Receivables from Seller to Purchaser and that the beneficial interest in and title to the Receivables not be part of Seller’s estate in the event of the filing of a bankruptcy petition by or against Seller under any bankruptcy law
notwithstanding the Seller will treat the transfer as a secured financing for accounting purposes. No Receivable has been 

  

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sold, transferred, assigned, or pledged by Seller to any Person other than Purchaser. Immediately prior to the transfer and assignment herein contemplated,
Seller was the sole owner of and had good and marketable title to the Receivable free and clear of any Lien and had full right and power to transfer and assign the Receivable to Purchaser and immediately upon the transfer and assignment of the
Receivable to Purchaser, Purchaser shall have good and marketable title to the Receivable, free and clear of any Lien, and Purchaser’s interest in the Receivable resulting from the transfer has been perfected under the UCC. 
 (b) No Assignment. As of the Closing Date, Seller shall not have taken any action to convey any right to any Person that would result in such Person
having a right to payments received under the Insurance Policies or Dealer Agreements, or payments due under the Receivable. 
 (c) Past Due.
At the Cutoff Date, no Receivable was more than 30 days past due. 
 (d) Characteristics of Receivables. Each Receivable (i) was
originated by a Dealer in the ordinary course of such Dealer’s business and such Dealer had all necessary licenses and permits to originate Receivables in the state where such Dealer was located; (ii) was duly and properly executed by the
parties thereto, was purchased by Seller from a Dealer under an agreement with a Dealer pursuant to which Seller acquired Receivables in the ordinary course of business and was validly assigned by such Dealer to Seller; (iii) contains customary
and enforceable provisions such as to render the rights and remedies of the holder thereof adequate for realization against the collateral security; (iv) is fully amortizing and provides for level monthly payments (provided that the payment in
the first monthly period and the final monthly period of the life of the Receivable may be minimally different from the level payment) which, if made when due shall fully amortize the amount financed over the original term and yield interest at
the rate set forth on the Receivable; (v) is a fixed rate, simple interest or add-on interest loan; (vi) shall provide for, in the event that such Receivable is prepaid, a prepayment that fully pays the principal balance and includes any
accrued and unpaid interest due pursuant to the related contract through the date of prepayment in an amount at least equal to the rate set forth on the Receivable, and (vii) has not been amended or collections with respect to which waived,
other than as evidenced in the Receivable File related thereto. 
 (e) Individual Characteristics. The Receivables have the following
individual characteristics as of the Cutoff Date; (i) each Receivable has an APR of not less than 17.08% and not more than 30.00%, (ii) each Receivable had an original term to maturity of not more than 60 months and each Receivable has a
remaining term to maturity, as of the Cutoff Date, of not less than 8 months; (iii) each Receivable has a Cutoff Date Principal Balance of not less than $515.02 and no more than $20,434.05, (iv) no Receivable has a scheduled maturity date
later than July 7, 2011; (v) each Receivable was originated after October 15, 2004; and (vi) the Dealer of the Financed Vehicle has no participation in, or other right to receive, any proceeds of the Receivable. 
 (f) No Fraud or Misrepresentation. Each Receivable was originated by the Dealer and sold by the Dealer to Seller without any fraud or misrepresentation
on the part of such Dealer. 
  

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 (g) Compliance With Law. All requirements of applicable federal, state and local laws, and regulations
thereunder (including, without limitation, usury laws, the Federal Truth-in-Lending Act, the Equal Credit Opportunity Act, the Fair Credit Billing Act, the Fair Credit Reporting Act, the Fair Debt Collection Practices Act, the Federal Trade
Commission Act, the Magnuson-Moss Warranty Act, the Federal Reserve Board’s Regulations “B,” “M” and “Z,” state unfair and deceptive practices and state adaptations of the National Consumer Act and of the Uniform
Consumer Credit Code and other consumer credit laws and equal credit opportunity and disclosure laws) in respect of all of the Receivables and the Financed Vehicles, have been complied with in all material respects, and each Receivable and the sale
of the Financed Vehicle complied at the time it was originated or made and now complies in all material respects with all applicable legal requirements. 
 (h) Origination. Each Receivable was originated in the United States. 
 (i) Binding Obligation. Each
Receivable represents the genuine, legal, valid and binding payment obligation of the Obligor, enforceable by the holder thereof in accordance with its terms, except as enforceability may be limited by bankruptcy, insolvency, reorganization,
moratorium, fraudulent conveyance or similar laws affecting the enforcement of creditors’ rights generally and by equitable limitations on the availability of specific remedies, regardless of whether such enforceability is considered in a
proceeding in equity or at law; and all parties to each Receivable had full legal capacity to exercise and deliver such Receivable and all other documents related thereto and to grant the security interest purported to be granted thereby.

 (j) No Government Obligor. No Obligor is the United States of America or any State or any agency, department, subdivision or
instrumentality thereof. 
 (k) Obligor Bankruptcy. No Obligor is identified on the records of the Seller as being the subject of a current
bankruptcy proceeding. 
 (l) Receivable Schedule. The information regarding the Receivables set forth in the Schedule of Receivables is true
and correct in all material respects as of the close of business on the Cutoff Date. 
 (m) Marking Records. By the Closing Date, the Seller
will have caused the portions of the electronic ledger relating to the Receivables to be clearly and unambiguously marked to show that the Receivables have been transferred to the Purchaser or as otherwise required by the Purchaser. 
 (n) Adverse Selection. No selection procedures believed by the Seller to be adverse to the Purchaser, the Noteholders or the Insurer were utilized in
selecting the Receivables from those receivables owned by Seller eligible for transfer to the Purchaser pursuant to this Agreement. 
 (o)
Obligations. The Seller has duly fulfilled all material obligations on its part to be fulfilled under, or in connection with, the Receivable. 
  

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 (p) Chattel Paper. Each Receivable constitutes “tangible chattel paper” within the meaning of
the relevant UCC. 
 (q) One Original. There is only one original executed copy of each Receivable. 
 (r) Receivable Files Complete. There exists a Receivable File pertaining to each Receivable and such Receivable File contains each of the documents
referred to in Section 3.3 of the Sale and Servicing Agreement. Each of such documents which is required to be signed by the Obligor has been signed by the Obligor in the appropriate spaces. All applicable blanks on any form have been properly
filled in and each form has otherwise been correctly prepared. The Receivable File for each Receivable currently is in the possession of the Custodian. 
 (s) Receivables in Force. As of the Cutoff Date, no Receivable has been satisfied, subordinated or rescinded, and the Financed Vehicle securing each such Receivable has not been released from the lien of the related
Receivable in whole or in part; no provisions of any Receivable have been waived, altered or modified in any respect since its origination, except by instruments or documents identified in the Receivable File; and no Receivable has been modified as
a result of application of the Servicemembers Civil Relief Act. 
 (t) Lawful Assignment. No Receivable was originated in, or is subject to
the laws of, any jurisdiction the laws of which would make unlawful, void or voidable the sale, transfer and assignment of such Receivable under this Agreement or to be entered into by the Purchaser. 
 (u) Composition of Receivable. No Receivable has a Principal Balance which includes capitalized interest, late charges or amounts attributable to the
payment of the premium for any Insurance Policy. 
 (v) Security Interest in Financed Vehicle. Seller has a first priority perfected security
interest in all of the Financed Vehicles securing the Receivables originated by Seller, which security interest is assignable together with such Receivable and has been so assigned to the Purchaser. There are no Liens affecting a Financed Vehicle
which are or may be Liens prior or equal to the lien of the Receivable. 
 (w) Notations of Security Interest in Financed Vehicle. With
respect to each Receivable, if the related Financed Vehicle is located in a state in which notation of a security interest on the title document is required or permitted to perfect such security interest, the title document shows, or if a new or
replacement title document is being applied for with respect to such Financed Vehicle the title document will be received within 180 days of the Closing Date and will show Seller named as the original secured party under each Receivable as the
holder of a first priority security interest in such Financed Vehicle. With respect to each such Receivable for which the title document has not yet been returned from the applicable registrar of titles, Seller has (i) received written evidence
from the related Dealer that such title document showing Seller as first lienholder has been applied for or (ii) applied for such title document showing Seller as first lienholder. With respect to each Receivable, if the related Financed
Vehicle is located in a state in which the filing of a financing statement under the Uniform Commercial 

  

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Code is required or permitted to perfect such security interest, such filings have been duly made and show Seller named as the secured party. 
 (x) All Filings Made. All filings (including, without limitation, UCC filings) required to be made by any Person and actions required to be taken or
performed by any Person in any jurisdiction to give the Purchaser a first priority perfected lien on, or ownership interest in, the Receivables and the proceeds thereof have been made, taken or performed. 
 (y) No Impairment. The Seller has not done anything to convey any right to any Person that would result in such Person having a right to payments due
under the Receivable or otherwise to impair the rights of the Purchaser in any Receivable or the proceeds thereof. 
 (z) Receivable Not
Assumable. No Receivable is assumable by another Person in a manner which would release the Obligor thereof from such Obligor’s obligations with respect to such Receivable. 
 (aa) No Defenses. No Receivable is subject to any right of rescission, setoff, counterclaim or defense and no such right has been asserted or threatened
with respect to any Receivable. 
 (bb) No Default. Except for payment defaults continuing for a period of no more than 30 days as of the
Cutoff Date, there has been no default, breach, violation or event permitting acceleration under the terms of any Receivable, and no condition exists or event has occurred and is continuing that with notice, the lapse of time or both would
constitute a default, breach, violation or event permitting acceleration under the terms of any Receivable, and there has been no waiver of any of the foregoing. As of the Cutoff Date, no Financed Vehicle has been repossessed. No funds have been
advanced by Seller or any Dealer or any person acting on the behalf of Seller or any Dealer for the purpose of enabling any Obligor to qualify under the preceding sentence. 
 (cc) Insurance. Each Receivable requires the Obligor to maintain a comprehensive and collision insurance policy (i) in an amount at least equal to
the lesser of (a) its maximum insurable value or (b) the principal balance due from the Obligor under the related Receivable, (ii) naming Seller as loss payee and (iii) insuring against loss and damage due to fire, theft,
transportation, collision and other risks generally covered by comprehensive and collision coverage. Each Receivable requires the Obligor to maintain physical loss and damage insurance, naming Seller and its successors and assigns as additional
insured parties and each Receivable permits, but does not require, the holder thereof to obtain physical loss and damage insurance at the expense of the Obligor if the Obligor fails to do so. 
 (dd) Paid Ahead. As of the Cutoff Date, any amounts paid ahead on the Receivables have been applied to the unpaid principal balance of the Receivables,
as reflected in the Schedule of Receivables. 
  

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 (ee) Interest Payable. With respect to each Receivable, interest will be charged and payable on the
unpaid principal balance of the Receivable since the date of the last payment on the Receivable (and in all cases will be charged since the Cutoff Date). 
 (ff) Underwriting Guidelines. Each Receivable has been originated in accordance with Seller’s underwriting guidelines. 
 (gg) Bulk Transfer Laws. The transfer, assignment and conveyance of the Receivables and the related Receivable Files from the Seller to the Purchaser are not subject to the bulk transfer or any similar statutory
provisions in effect in any applicable jurisdiction. 
 (hh) Geographic. No Receivable was originated by a Dealer located in Mississippi or
Maine. 
 SECTION 3.4. REPURCHASE UPON BREACH. The Seller or the Purchaser, as the case may be, shall inform the other party to this
Agreement promptly, in writing, upon the discovery of any breach or failure to be true of the representations or warranties made by the Seller in Section 3.3; provided that the failure to give such notice shall not affect any obligation of the
Seller. If the breach or failure shall not have been cured by the last day of the Collection Period which includes the 60th day (or if the Seller elects, an earlier day) after the date on which the Seller becomes aware of, or receives written notice
from the Purchaser or an assignee from the Purchaser of, such breach or failure, and such breach or failure materially and adversely affects the interests of the Trust, the Insurer, or the Holders in any Receivable, the Seller shall repurchase each
such Receivable from the Purchaser, or its successors or assigns, as of such last day of such Collection Period at a purchase price equal to the Purchase Amount for such Receivable as of such last day of such Collection Period, which amount shall be
deposited in the Collection Account pursuant to the provisions of the Sale and Servicing Agreement. In consideration of the purchase of a Receivable hereunder, the Seller shall (unless otherwise directed by the Purchaser, or its successors or
assigns, in writing) deposit the Purchase Amount of such Receivable, no later than the close of business on the next Determination Date, in the manner specified in Section 5.6 of the Sale and Servicing Agreement. Upon the payment of such
purchase price by the Seller, the Purchaser or its assignee shall release and shall execute and deliver such instruments of release, transfer or assignment, in each case without recourse or representation as shall be necessary to vest in the Seller
or its designee any Receivable repurchased pursuant hereto. The sole remedy of the Purchaser and its successor or assigns with respect to a breach or failure to be true of the warranties made by the Seller pursuant to Section 3.3, shall be to
require the Seller to repurchase Receivables pursuant to this Section 3.4. In addition to the foregoing and notwithstanding whether the related Receivable shall have been purchased by Seller, Seller shall indemnify the Trust, the Trust
Collateral Agent, the Trustee, the Backup Servicer, the Owner Trustee, the Insurer, the Custodian, the Noteholders and the Certificateholder from and against all costs, expenses, losses, damages, claims and liabilities, including reasonable fees and
expenses of counsel, which may be asserted against or incurred by any of them as a result of third party claims arising out of the events or facts giving rise to such repurchase events 
  

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 ARTICLE IV 
 RESERVED 
 ARTICLE V 
 COVENANTS OF SELLER 
 SECTION 5.1. PROTECTION OF TITLE TO SELLER ASSETS. Seller covenants and agrees with
Purchaser as follows: 
 (a) Seller shall authorize and file such UCC financing statements and cause to be authorized and filed such UCC
continuation statements, all in such manner and in such places as may be required by law fully to preserve, maintain and protect the interest of Purchaser, Owner Trustee, Indenture Trustee and the Insurer in the Receivables and the proceeds thereof.
Seller shall deliver (or cause to be delivered) to Purchaser file-stamped copies of, or filing receipts for, any document filed as provided above, as soon as available following such filing. In the event that Seller fails to perform its obligations
under this subsection, Purchaser, the Trust or the Trust Collateral Agent may do so, at the expense of such Seller. In furtherance of the foregoing, the Seller hereby authorizes the Purchaser, the Trust or the Trust Collateral Agent to file a record
or records (as defined in the applicable UCC), including, without limitation, financing statements, in all jurisdictions and with all filing offices as each may determine, in its sole discretion, are necessary or advisable to perfect the security
interest granted to the Purchaser pursuant to this Agreement. Such financing statements may describe the collateral in the same manner as described herein or may contain an indication or description of collateral that describes such property in any
other manner as such party may determine, in its sole discretion, is necessary, advisable or prudent to ensure the perfection of the security interest in the collateral granted to the Purchaser herein. 
 (b) Seller hereby authorizes the Purchaser, the Trust or the Trust Collateral Agent, to the extent Seller has not done so at their request, to execute
and file in Seller’s name any document required by applicable law to change to lien holder of record as to any Financed Vehicle to the Trust if the Purchaser, the Trust or the Trust Collateral Agent determine such change is necessary to
maintain the perfected security interest of the Trust in that Financed Vehicle. 
 (c) Seller shall not change its name, identity or
corporate structure or jurisdiction of organization in any manner that would, could or might make any financing statement or continuation statement filed in accordance with paragraph (a) above seriously misleading within the meaning of the UCC,
unless it shall have given Purchaser, Owner Trustee, Indenture Trustee and Insurer at least 60 days’ prior written notice thereof and shall have promptly filed appropriate amendments to all previously filed financing statements or continuation
statements. 
 (d) Seller shall give Purchaser, Owner Trustee, Indenture Trustee and Insurer at least 60 days’ prior written notice of
any relocation of its principal executive office or change in its jurisdiction or organization, if, as a result of such relocation, the applicable provisions of the UCC would require the filing of any amendment of any previously filed financing or

  

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continuation statement or of any new financing statement and shall promptly file any such amendment or new financing statement. 
 (e) Seller shall maintain its computer systems relating to installment loan recordkeeping so that, from and after the time of sale under this Agreement
of its Receivables, Seller’s master computer records (including any backup archives) that refer to a Receivable shall indicate clearly the interest of Purchaser, the Trust, Indenture Trustee and Insurer in such Receivable and that such
Receivable has been sold to Purchaser and by Purchaser to the Trust and is owned by the Trust and has been pledged to Indenture Trustee pursuant to the Indenture and to Insurer under the Insurance Agreement. Indication of Purchaser’s,
Trust’s, Indenture Trustee’s and Insurer’s interest in a Receivable shall be deleted from or modified on Seller’s computer systems when, and only when, the related Receivable shall have been paid in full, repurchased by Seller,
purchased by Servicer or sold pursuant to Section 4.3(c) of the Sale and Servicing Agreement. 
 (f) If at any time Seller shall propose
to sell, grant a security interest in or otherwise transfer any interest in receivables to any prospective purchaser, lender or other transferee, Seller shall give to such prospective purchaser, lender or other transferee computer tapes, records or
printouts (including any restored from backup archives) that, if they shall refer in any manner whatsoever to any Receivable, shall indicate clearly that such Receivable has been sold to Purchaser, sold by Purchaser to the Trust and pledged to
Indenture Trustee and Insurer. 
 (g) Seller shall, upon receipt of reasonable prior notice, permit Purchaser, Owner Trustee, Insurer and
Indenture Trustee and their respective agents at any time during normal business hours to inspect, audit and make copies of and abstracts from Seller’s records regarding any Receivable. 
 (h) Upon request at any time Purchaser, Owner Trustee, Indenture Trustee or Insurer shall have reasonable grounds to believe that such request is
necessary in connection with the performance of its duties under this Agreement, Seller shall furnish to Purchaser, Owner Trustee, Indenture Trustee and Insurer, within thirty (30) Business Days, a list of all Receivables (by contract number
and name of Obligor) conveyed to Purchaser hereunder and then owned by the Trust, and pledged to Indenture Trustee and Insurer, together with a reconciliation of such list to the Schedule of Receivables and to each of the Servicer’s Reports
furnished before such request indicating removal of Receivables from the Trust. 
 (i) Seller shall deliver or cause to be delivered to
Purchaser, Owner Trustee, Indenture Trustee and Insurer: 
 (1) promptly after the execution and delivery of this Agreement
and of each amendment hereto, an Opinion of Counsel either (A) stating that, in the opinion of such counsel, all financing statements and continuation statements have been executed and filed that are necessary fully to preserve and protect the
interest of Purchaser in the Receivables, and reciting the details of such filings or referring to prior Opinions of Counsel in which such details are given, or 

  

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(B) stating that, in the opinion of such counsel, no such action shall be necessary to preserve and protect such interest; and 
 (2) within 120 days after the beginning of each calendar year beginning with the first calendar year beginning more than four months after
the Cutoff Date and until there are no Outstanding Notes, an Opinion of Counsel, dated as of a date during such 120-day period, either (A) stating that, in the opinion of such counsel, all financing statements and continuation statements have
been executed and filed that are necessary fully to preserve and protect the interest of Purchaser in the Receivables, and reciting the details of such filings or referring to prior Opinions of Counsel in which such details are given, or
(B) stating that, in the opinion of such counsel, no such action shall be necessary to preserve and protect such interest. 
 Each
Opinion of Counsel referred to in clause (1) or (2) above shall specify any action necessary (as of the date of such opinion) to be taken in the following year to preserve and protect such interest. 
 SECTION 5.2. OTHER LIENS OR INTERESTS. Except for the conveyances hereunder, Seller will not sell, pledge, assign or transfer to any other Person, or
grant, create, incur, assume or suffer to exist any Lien on the Seller Assets or any interest therein, and Seller shall defend the right, title, and interest of Purchaser and the Trust in and to the Seller Assets against all claims of third parties
claiming through or under Seller. 
 SECTION 5.3. INDEMNIFICATION. 
 (a) Seller shall defend, indemnify and hold harmless Purchaser, the Trust, the Trust Collateral Agent, the Trustee, the Backup Servicer, the Custodian,
the Owner Trustee, the Insurer, the Noteholders and the Certificateholder from and against any and all costs, expenses, losses, damages, claims, and liabilities, arising out of or resulting from any breach of any of Seller’s representations and
warranties contained herein. 
 (b) Seller shall defend, indemnify and hold harmless Purchaser, the Trust, the Trust Collateral Agent, the
Trustee, the Backup Servicer, the Custodian, the Owner Trustee, the Insurer, the Noteholders and the Certificateholder from and against any and all costs, expenses, losses, damages, claims and liabilities arising out of or resulting from any action
taken, or failed to be taken, by it in respect of any portion of the Receivables other than in accordance with this Agreement or the Sale and Servicing Agreement. 
 (c) Seller shall indemnify, defend and hold harmless Purchaser, the Trust, the Trust Collateral Agent, the Trustee, the Backup Servicer, the Custodian, the Owner Trustee, the Insurer, the Noteholders and the
Certificateholder from and against any loss, liability or expense imposed upon, or incurred by, Purchaser, the Trust, the Trust Collateral Agent, the Trustee, the Backup Servicer, the Custodian, the Owner Trustee, the Noteholders or the
Certificateholder as result of the failure of any Receivable, or the sale of the related Financed Vehicle, to comply with all requirements of applicable law. 
  

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 (d) Indemnification under this Section 5.3 shall include reasonable fees and expenses of counsel and
expenses of litigation and shall survive payment of the Notes and the Certificate. The indemnity obligations hereunder shall be in addition to any obligation that Seller may otherwise have. 
 SECTION 5.4. NONPETITION COVENANT. Notwithstanding any prior termination of this Agreement, the Seller shall not, prior to the date which is one year and
one day after the termination of this Agreement with respect to the Trust, acquiesce, petition or otherwise invoke or cause the Trust to invoke the process of any court or government authority for the purpose of commencing or sustaining a case
against the Trust under any Federal or state bankruptcy, insolvency or similar law or appointing a receiver, liquidator, assignee, trustee, custodian, sequestrator or other similar official of the Trust or any substantial part of its property, or
ordering the winding up or liquidation of the affairs of the Trust. This Section 5.2 shall survive the termination of this Agreement. 
 ARTICLE VI 
 MISCELLANEOUS PROVISIONS 
 SECTION 6.1. OBLIGATIONS OF SELLER. The obligations of Seller under this Agreement shall not be affected by reason of any invalidity, illegality or irregularity of any Receivable. 
 SECTION 6.2. SELLER’S ASSIGNMENT OF PURCHASED RECEIVABLES. With respect to all Receivables repurchased by Seller pursuant to this Agreement,
Purchaser shall assign, without recourse, representation or warranty, to Seller all Purchaser’s right, title and interest in and to such Receivables, and all security and documents relating thereto. 
 SECTION 6.3. SUBSEQUENT TRANSFER TO THE TRUST, INDENTURE TRUSTEE AND INSURER. Seller acknowledges that: 
 (a) Purchaser will, pursuant to the Sale and Servicing Agreement, sell the Receivables to the Trust and assign its rights under this Agreement to the
Trust for the benefit of the Noteholders and the Certificateholders, and that the representations and warranties contained in this Agreement and the rights of Purchaser under Section 3.4 hereof are intended to benefit the Trust, the Owner
Trustee, the Noteholders and the Certificateholders. Seller hereby consents to such sale and assignment. 
 (b) The Trust will, pursuant to
the Indenture, pledge the Receivables and its rights under this Agreement to the Indenture Trustee for the benefit of the Noteholders and the Insurer, and that the representations and warranties contained in this Agreement and the rights of
Purchaser under this Agreement, including under Section 3.4 are intended to benefit the Indenture Trustee and the Noteholders. Seller hereby consents to such pledge. 
 (c) Purchaser will, pursuant to the Insurance Agreement, pledge the Receivables and its rights under this Agreement to the Insurer for the Insurer’s benefit, and the representations and warranties contained in
this Agreement and the rights of the Purchaser under this 

  

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Agreement, including under Section 3.4 are intended to benefit the Insurer. Seller hereby consents to such pledge. 
 SECTION 6.4. AMENDMENT. (a) This Agreement may be amended by Seller and the Purchaser, with the consent of the Servicer, Owner Trustee, Indenture Trustee
and Insurer (which consent may not be unreasonably withheld), but without the consent of any of the Noteholders or the Certificateholders or any other person to cure any ambiguity or defect, to correct or supplement any provisions in this Agreement
or for the purpose of adding any provisions to or changing in any manner or eliminating any of the provisions in this Agreement; provided that such action shall not, as evidenced by an Opinion of Counsel delivered to the Purchaser, the Owner
Trustee, the Indenture Trustee and Insurer or the satisfaction of the Rating Agency Condition, adversely affect in any material respect the interests of any Noteholder or Certificateholder. 
 (a) This Agreement may also be amended from time to time by Seller and Purchaser, with the consent of the Servicer, Owner Trustee, Indenture Trustee and
Insurer, the consent of the Holders of Notes evidencing not less than a majority of the Outstanding Amount of the Notes and the consent of the Holders of Certificates evidencing not less than a majority of the Certificate Balance for the purpose of
adding any provisions to or changing in any manner or eliminating any of the provisions of this Agreement; provided that no such amendment shall (i) increase or reduce in any manner the amount of, or accelerate or delay the timing of,
collections of payments on Receivables or distributions that shall be required to be made for the benefit of the Noteholders or the Certificateholders or (ii) reduce the aforesaid percentage of the Outstanding Amount of the Notes and the
Certificate Balance, the Holders of which are required to consent to any such amendment, without the consent of the Holders of all the outstanding Notes and the Holders of all the outstanding Certificates of each class affected thereby. 

(b) Prior to the execution of any such amendment or consent, Purchaser shall furnish written notification of the substance of such amendment or
consent to each Rating Agency, Owner Trustee, Indenture Trustee and Insurer . Promptly after the execution of any such amendment or consent, Purchaser shall furnish written notification the substance of such amendment or consent to each Noteholder,
Certificateholder, Owner Trustee, Indenture Trustee and Insurer. 
 (c) It shall not be necessary for the consent of Certificateholders or
Noteholders 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. 
 (d) Prior to the execution of any amendment to this Agreement, Purchaser, Owner Trustee, Indenture Trustee and Insurer shall be entitled to receive and
rely conclusively 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 and the
Opinion of Counsel referred to in Section 5.1(i) of this Agreement has been delivered. Purchaser, Owner Trustee, Indenture Trustee and Insurer may, but shall not be obligated to, enter into any such amendment which affects Purchaser’s,
Owner 

  

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Trustee’s, Indenture Trustee’s or Insurer’s, as applicable, own rights, duties or immunities under this Agreement or otherwise. 
 SECTION 6.5. WAIVERS. No failure or delay on the part of Purchaser or the Trust Collateral Agent as the assignee in exercising any power, right or remedy
under this Agreement shall operate as a waiver thereof, nor shall any single or partial exercise of any such power, right or remedy preclude any other or further exercise thereof or the exercise of any other power, right or remedy. 
 SECTION 6.6. NOTICES. All demands, notices and communications pursuant to this Agreement to either party shall be in writing, personally delivered, or
sent by telecopier, overnight mail or mailed by certified mail, return receipt requested, and shall be deemed to have been duly given upon receipt at the address set forth in Exhibit A attached hereto or at such other address as may be designated by
it by notice to the other party. 
 SECTION 6.7. MERGER AND INTEGRATION. Except as specifically stated otherwise herein, this Agreement and
the Transaction Documents set forth the entire understanding of the parties relating to the subject matter hereof, and all prior understandings, written or oral, are superseded by this Agreement and the transaction Documents. This Agreement may not
be modified, amended, waived or supplemented except as provided herein. 
 SECTION 6.8. SEVERABILITY OF PROVISIONS. If any one or more of the
covenants, provisions or terms of this Agreement shall be for any reason whatsoever held invalid, then such covenants, provisions or terms shall be deemed severable from the remaining covenants, provisions or terms of this Agreement and shall in no
way affect the validity or enforceability of the other provisions of this Agreement. 
 SECTION 6.9. COSTS AND EXPENSES. Seller will pay all
expenses incident to the performance of its obligations under this Agreement and all expenses in connection with the perfection as against third parties of Purchaser’s right, title and interest in and to the Seller Assets and Purchaser agrees
to pay expenses incident to the performance of its obligations under this Agreement. 
 SECTION 6.10. REPRESENTATIONS TO SELLER. The
respective agreements, representations, warranties and other statements by Seller and Purchaser set forth in or made pursuant to this Agreement shall remain in full force and effect and will survive the Closing Date and any sale, transfer or
assignment of the Receivables by Purchaser. 
 SECTION 6.11. GOVERNING LAW. THIS AGREEMENT SHALL BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF
THE STATE OF CALIFORNIA, AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS. 
 SECTION 6.12. COUNTERPARTS. This Agreement may be executed in two or more counterparts and by different parties on separate counterparts, each of which shall be an original, but all of which together shall constitute one and the same
instrument. 
  

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 SECTION 6.13. THIRD-PARTY BENEFICIARIES. Each of the Trust, Owner Trustee (individually and in its
capacity as such), Indenture Trustee and Insurer (individually and in its capacity as such) is an intended third-party beneficiary of this Agreement. 
 It is acknowledged and agreed that the provisions of this agreement may be enforced by or on behalf of such Persons against Seller to the same extent as if it were a party hereto. 
  

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

					
	 UNITED AUTO CREDIT CORPORATION

		
	By:	 	  
		 	 Name:
	 	 Mario Radrigan

		 	 Title:
	 	 Senior Vice President

	
	 UPFC AUTO RECEIVABLES CORP.

		
	By:	 	  
		 	 Name:
	 	 Garland W. Koch

		 	 Title:
	 	 Chief Financial Officer

 [Signature Page to Sale Agreement] 
  

 1 

 Exhibit A 
 United Auto Credit Corporation 
 3990 Westerly Place, Suite 200 
 Newport Beach, California 92660 
 Attn: Garland Koch, CFO 
 Tel: 949-224-1917 Fax: 949-224-1910 
 UPFC Auto Receivables Corp. 
 3990 Westerly Place, Suite 200 
 Newport Beach, California 92660 
 Attn: Garland Koch, CFO 
 Tel: 949-224-1917 Fax: 949-224-1910 
  

 2

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