Document:

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                                                                   Exhibit 10.20

                                                                      [PSA LOGO]

Public Securities Association
40 Broad Street, New York, NY 10004-2373
Telephone (212)809-7000

                          MASTER REPURCHASE AGREEMENT

                                                 Dated as of:   NOVEMBER 7, 2001
                                                                ----------------
Between:

IMPAC WAREHOUSE LENDING GROUP
-----------------------------

and

APPROVED FEDERAL SAVINGS BANK
-----------------------------

1.   Applicability

     From time to time the parties hereto may enter into transactions in which
one party ("Seller") agrees to transfer to the other ("Buyer") securities or
financial instruments or whole mortgage loans or any interests in any whole
mortgage loans, including, without limitation, mortgage participation
certificates and mortgage pass-through certificates ("Securities") against the
transfer of funds by Buyer, with a simultaneous agreement by Buyer to transfer
to Seller such Securities at a date certain or on demand, against the transfer
of funds by Seller. Each such transaction shall be referred to herein as a
"Transaction" and shall be governed by this Agreement, including any
supplemental terms or conditions contained in Annex 1 hereto, unless otherwise
agreed in writing.

2.   Definitions

     (a) "Act of Insolvency", with respect to any party, (i) the commencement by
such party as debtor of any case or proceeding under any conservatorship or
receivership (within the meaning of the Financial Institutions Reform, Recovery,
and Enforcement Act of 1989) bankruptcy, insolvency, reorganization,
liquidation, dissolution or similar law, or such party seeking the appointment
of a conservator receiver, trustee, custodian or similar official for such party
or any substantial part of its property, or (ii) the commencement of any such
case or proceeding against such party, or another seeking such an appointment,
or the filing against a party of an application for a protective decree under
the provisions of the Securities Investor Protection Act of 1970, which (A) is
consented to or not timely contested by such party, (B) results in the entry of
an order for relief, such an appointment, the issuance of such a protective
decree or the entry of an order having a similar effect, or (C) is not dismissed
within 15 days, (iii) the making by a party of a general assignment for the
benefit of creditors, or (iv) the admission in writing by a party of such
party's inability to pay such party's debts as they become due;

     (b) "Additional Purchased Securities", Securities provided by Seller to
Buyer pursuant to Paragraph 4(a) hereof;

     (c) "Buyer's Margin Amount", with respect to any Transaction as of any
date, the amount obtained by application of a percentage (which may be equal to
the percentage that is agreed to as the Seller's Margin Amount under
subparagraph (q) of this Paragraph), agreed to by Buyer and Seller prior to
entering into the Transaction, to the Repurchase Price for such Transaction as
of such date;

     (d) "Confirmation", the meaning specified in Paragraph 3(b) hereof;

     (e) "Income", with respect to any Security at any time, an principal
thereof then payable and all interest, dividends or other distributions thereon;

     (f) "Margin Deficit", the meaning specified in Paragraph 4(a) hereof;

     (g) "Margin Excess", the meaning specified in Paragraph 4(b) hereof;

     (h) "Assumed Repurchase Value", with respect to any Securities as of any
date, the price for such Securities on such date obtained from a generally
recognized source agreed to by the parties or the most recent

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closing bid quotation from such a source, plus accrued Income to the extent not
included therein (other than any Income credited or transferred to, or applied
to the obligations of, Seller pursuant to Paragraph 5 hereof) as of such date
(unless contrary to market practice for such Securities) except that the Assumed
Repurchase Value of any Securities that are loans secured by mortgages or deeds
of trust on residential dwellings (such loans, "Mortgage Loans") as of any date
shall be the dollar amount ascribed to such Mortgage Loans on that date by Buyer
in its reasonable and sole discretion, and shall not include any Income on such
Mortgage Loans paid to and held by Seller pursuant to Paragraph 5 hereof, and
the Assumed Repurchase Value of any Additional Purchased Securities shall be the
fair market value thereof as determined by Buyer in its reasonable and sole
discretion;

     (i) "Price Differential", with respect to any transaction hereunder as of
any date, the aggregate amount obtained by daily application of the Pricing Rate
for such Transaction to the Purchase Price for such Transaction on a 360 day per
year basis for the actual number of days during the period commencing on (and
including) the Purchase Date for such Transaction and ending on (but excluding)
the date of determination (reduced by any amount of such Price Differential
previously paid by Seller to Buyer with respect to such Transaction);

     (j) "Pricing Rate", the per annum percentage rate for determination of the
Price Differential;

     (k) "Prime Rate", the prime rate of U.S. money center commercial banks as
published in The Wall Street Journal;

     (l) "Purchase Date", the date on which Purchased Securities are transferred
by Seller to Buyer;

     (m) "Purchase Price", (i) on the Purchase Date, the price at which
Purchased Securities are transferred by Seller to Buyer, and (ii) thereafter,
such price increased by the amount of any cash transferred by Buyer to Seller
pursuant to Paragraph 4(b) hereof and decreased by the amount of any cash
transferred by Seller to Buyer pursuant to Paragraph 4(a) hereof or applied to
reduce Seller's obligations under clause (ii) of Paragraph 5 hereof;

     (n) "Purchased Securities", the Securities transferred by Seller to Buyer
in a Transaction hereunder, and any Securities substituted therefor in
accordance with Paragraph 9 hereof. The term "Purchased Securities" to Paragraph
4(a) and shall exclude Securities returned pursuant to Paragraph 4(b);

     (o) "Repurchase Date", the date on which Seller is to repurchase the
Purchased Securities from Buyer, including any date determined by application of
the provisions of Paragraphs 3(c) or 11 hereof;

     (p) "Repurchase Price", the price at which Purchased Securities are to be
transferred from Buyer to Seller upon termination of a Transaction, which will
be determined in each case (including Transactions terminable upon demand) as
the sum of the Purchase Price and the Price Differential as of the date of such
determination, increased by any amount determined by the application of the
provisions of Paragraph 11 hereof;

     (q) "Seller's Margin Amount", with respect to any Transaction as of any
date, the amount obtained by application of a percentage (which may be equal to
the percentage that is agreed to as the Buyer's Margin Amount under subparagraph
(c) of this Paragraph), agreed to by Buyer and Seller prior to entering into the
Transaction, to the Repurchase Price for such Transaction as of such date.

3.   Initiation; Confirmation; Termination

     (a) An agreement to enter into a Transaction may be made orally or in
writing at the initiation of either Buyer or Seller. On the Purchase Date for
the Transaction, the Purchased Securities shall be transferred to Buyer or its
agent against the transfer of the Purchase price to an account of Seller.

     (b) Upon agreeing to enter into a Transaction hereunder, Buyer or Seller
(or both), as shall be agreed, shall promptly deliver to the other party a
written confirmation of each Transaction (a "Confirmation"). In the case of
Transactions involving Securities that are Mortgage Loans, (a) the Purchased
Securities shall be identified on a detailed listing to be provided by Seller to
Buyer (a "Mortgage Loan Schedule") attached to a Certificate of Seller in the
form attached hereto, (b) the Confirmation shall be sent by Seller to Buyer, (c)
the documents contained in the Mortgage File (as defined in Paragraph 7) shall
be delivered at the option of the Buyer to the Buyer, or the Custodian, and held
by the Custodian pursuant to the terms of a Custody Agreement, dated of enven
date herewith (the :Custody Agreement"), among Seller, Buyer and Custodian
pursuant to which Custodian shall, among other things, issue Trust Receipts, as
defined therein (the "Trust Receipts"), and (d) the Mortgage Loans shall be
serviced for Buyer by Seller pursuant to the Servicing Agreement, dated of even
date herewith (the "Servicing Agreement"), between Seller and Buyer. The
Confirmation shall describe the Purchased Securities (including CUSIP number, if
any), identify Buyer and Seller and set forth (i) the Purchase Date, (ii) the
Purchase

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Price, (iii) the Repurchase Date, unless the Transaction is to be terminable on
demand, (iv) the Pricing Rate or Repurchase Price applicable to the Transaction,
and (v) any additional terms or conditions of the Transaction not inconsistent
with this Agreement. The Confirmation, together with this Agreement, shall
constitute conclusive evidence of the terms agreed between Buyer and Seller with
respect to the Transaction to which the Confirmation relates, unless with
respect to the Confirmation specific objection is made promptly after receipt
thereof. In the event of any conflict between the terms of such Confirmation and
this Agreement, the terms of such Confirmation shall prevail.

     (c) In the case of transactions terminable upon demand, such demand shall
be made by Buyer or Seller, no later than such time as is customary in
accordance with market practice, by telephone or otherwise on or prior to the
business day on which such termination will be effective. In the case of
Transactions involving Securities that are Mortgage Loans, (i) which meet the
requirements of the Seller's Warranties Agreement, such demand by Buyer may not
be made prior to 30 days following the date of the Transaction in which the
Securities were originally conveyed to Buyer provided no event of default has
occurred; (ii) which do not meet the requirements of the Seller's Warranties
Agreement in all material respects, such demand by Buyer may be made at any
time; or (iii) Seller may repurchase at any time, irrespective of whether the
particular Mortgage Loans(s) meets the requirements of the Seller's Warranties
Agreement. In any case, such demand either by Buyer or by Seller shall be for a
repurchase of all Purchased Securities subject to the related Transaction and
such demand shall be made no later than 5:00 p.m. New York City time on the
business day preceding the day on which such termination will be effective,
which termination shall also be on a business day. Upon receipt of the
Repurchase Price in immediately available funds, Buyer shall deliver the Trust
Receipt for such Transaction to Custodian for further disposition in accordance
with the terms of the Custody Agreement.On the date specified in such demand, or
on the date fixed for termination in the case of Transactions having a fixed
term, termination of the Transaction will be effected by transfer to Seller or
its agent of the purchased Securities and any Income in respect thereof received
by Buyer (and not previously credited or transferred to, or applied to the
obligations of, Seller pursuant to Paragraph 5 hereof) against the transfer of
the Repurchase Price to an account of Buyer.

4.   Margin Maintenance

     (a) If at any time the aggregate Assumed Repurchase Value of all Purchased
Securities subject to all Transactions in which a particular party hereto is
acting as Buyer is less than the aggregate Buyer's Margin Amount for all such
Transactions (a "Margin Deficit"), the Buyer may by notice to Seller require
Seller in such Transactions, at Seller's option, to transfer to Buyer cash or
additional Securities reasonably acceptable to Buyer ("Additional Purchased
Securities"), so that the cash and aggregate Assumed Repurchase Value of the
Purchased Securities, including any such Additional Purchased Securities, will
thereupon equal or exceed such aggregate Buyer's Margin Amount (decreased by the
amount of any Margin Deficit as of such date arising from any Transactions in
which such Buyer is acting as Seller).

     (b) If at any time the aggregate Assumed Repurchase Value of all Purchased
Securities subject to all Transactions in which a particular party hereto is
acting as Seller exceeds the aggregate Seller's Margin Amount for all such
Transactions at such time (a "Margin Excess"), then Seller may by notice to
Buyer require Buyer in such Transactions, at Buyer's option to transfer cash or
Purchased Securities to Seller, so that the aggregate Assumed Repurchase Value
of the Purchased Securities, after deduction of any such cash or any Purchased
Securities so transferred, will thereupon not exceed such aggregate Seller's
Margin Amount (increased by the amount of any Margin Excess as of such date
arising from any Transactions in which such Seller is acting as Buyer).

     (c) Any cash transferred pursuant to this Paragraph shall be attributed to
such Transactions as shall be agreed upon by Buyer and Seller.

     (d) Seller and Buyer may agree, with respect to any or all Transactions
hereunder, that the respective rights of Buyer or Seller (or both) under
subparagraphs (a) and (b) of this Paragraph may be exercised only where a Margin
Deficit or Margin Excess exceeds a specified dollar amount or a specified
percentage of the Repurchase Prices for such Transactions (which amount or
percentage shall be agreed to by Buyer and Seller prior to entering into any
such Transactions).

     (e) Seller and Buyer may agree, with respect to any or all Transactions
hereunder, that the respective rights of Buyer and Seller under subparagraphs
(a) and (b) of this Paragraph to require the elimination of a Margin Deficit or
a Margin Excess, as the case may be, may be exercised whenever such a Margin
Deficit or Margin Excess exists with respect to any single Transaction hereunder
(calculated without regard to any other Transaction outstanding under this
Agreement).

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     (f) In the case of Transactions involving Securities that are Mortgage
Loans, (i) the percentage used in calculating Buyer's Margin Amount for such
Transaction shall be the percentage specified in the Confirmation and (ii)
Additional Purchased Securities shall be limited to obligations issued by the
United States government or mortgaged-backed securities issued by the Federal
National Mortgage Association ("FNMA") or guaranteed by the Government National
Mortgage Association ("GNMA") and otherwise acceptable to Buyer in its sole
discretion, (iii) the provisions of subparagraphs (b), (d) and (e) of this
Paragraph shall not apply.

5.   Income Payments

     Where a particular Transaction's term extends over an Income payment date
on the Securities subject to that Transaction, Buyer shall, as the parties may
agree with respect to such Transaction (or, in the absence of any agreement, as
Buyer shall reasonably determine in its discretion), on the date such Income is
payable either (i) transfer to or credit to the account of Seller an amount
equal to such Income payment or payments with respect to any Purchased
Securities subject to such Transaction or (ii) apply the Income payment or
payments to reduce the amount to be transferred to Buyer by Seller upon
termination of the Transaction. Buyer shall not be obligated to take any action
pursuant to the preceding sentence to the extent that such action would result
in the creation of a Margin Deficit, unless prior thereto or simultaneously
therewith Seller transfers to Buyer cash or Additional Purchased Securities
sufficient to eliminate such Margin Deficit. Notwithstanding the foregoing and
except as provided in Paragraph 11 of this Agreement, in the case of
Transactions involving Securities that are Mortgage Loans, Seller shall be
deemed to hold for the benefit of, and in trust for, Buyer all Income, including
without limitation all scheduled and unscheduled principal and interest
payments, received by Seller with respect to such Mortgage Loans. Seller shall
service the Mortgage Loans, or supervise the servicing of the Mortgage Loans,
for the benefit of Buyer in accordance with the terms of the Servicing
Agreement. On the 10th day of each month, Seller will provide Buyer with reports
substantially identical in form to FNMA's form 2010 remittance report with
respect to all Mortgage Loans then involved in any Transaction hereunder. Within
three business days of its receipt of each such report, Buyer either (i) shall
determine that a Margin Deficit has occurred and direct Seller to pay to Buyer
all Income received in the period covered by such report to the extent of such
Margin Deficit, in which case Buyer shall be deemed to have released any excess
Income to Seller, or (ii) shall determine that a Margin Deficit has not
occurred, in which case Buyer shall be deemed to have released all such Income
to Seller.

6.   Security Interest

     Although the parties intend that all transactions hereunder be sales and
purchases and not loans, in the event any such Transactions are deemed to be
loans, Seller shall be deemed to have pledged to Buyer as security for the
performance by Seller of its obligations under each such Transaction, and shall
be deemed to have granted to Buyer a security interest in, all of the Seller's
right (including the power to convey title thereto), title and interest in and
to the Purchased Securities, the contractual right to receive payments,
including the right to payments of principal and interest and the right to
enforce such payments, arising from or under any of the Purchased Securities,
the contractual right to service each Mortgage Loan, any sub-servicing
agreements with respect to each Mortgage Loan, and all documents in each
Mortgage File, with respect to all Transactions hereunder and all income,
payments, products and proceeds thereof (the "Collateral"). In such event, the
parties hereto intend to create for the benefit of Buyer, as secured party, a
legally valid and enforceable first priority perfected security interest in the
Collateral. On or prior to each Purchase Date, Seller shall cause to be filed in
the appropriate filing offices of the jurisdiction in which Seller maintains its
place of business, or its chief executive office if Seller has more than one
place of business, in accordance with applicable law, Uniform Commercial Code
financing statements naming Seller as debtor, Buyer as secured party, and the
Collateral as collateral.

7.   Payment and Transfer

     Unless otherwise mutually agreed, all transfers of funds hereunder shall be
                  in immediately available funds. All Securities transferred by
                  one party hereto to the other party (i) shall be in suitable
                  form for transfer or shall be accompanied by duly executed
                  instruments of transfer or assignment in blank and such other
                  documentation as the party receiving possession may reasonably
                  request, (ii) shall be transferred on the book-entry system of
                  a Federal Reserve Bank, or (iii) shall be transferred by any
                  other method mutually acceptable to Seller and Buyer. As used
                  herein with respect to Securities, "transfer" is intended to
                  have the same meaning as when used in Section 8-313 of the New
                  York Uniform Commercial Code or, where applicable, in any
                  federal regulation governing transfers of the Securities.

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                  In the case of Transactions involving Securities that are
                  Mortgage Loans, the transfer of such Mortgage Loans for the
                  purposes of this Paragraph 7 shall include the delivery to the
                  Buyer or Custodian, as directed by the Buyer, the following
                  documents (the "Mortgage File") with respect to each Mortgage
                  Loan, as set forth in the Custody Agreement: subject, however,
                  to the paragraph immediately following clause (xii) below;"

                           (i) the original note or other evidence of
                  indebtedness (the "Mortgage Note") of the obligor thereon
                  (each such obligor, a "Mortgagor"), endorsed to the order of
                  or assigned to Seller by the holder/payee thereof, without
                  recourse, and endorsed by Seller, without recourse, in blank;

                           (ii) the original mortgage, deed of trust or other
                  instrument (the "Mortgage") creating a first lien on the
                  underlying property securing the Mortgage Loan (the "Mortgaged
                  Property"), naming Seller as the "mortgagee" or "beneficiary"
                  thereof, and bearing on the face thereof the address of Seller
                  as provided in Paragraph 13 of this Agreement, or, if the
                  Mortgage does not name Seller as the mortgagee/beneficiary,
                  the Mortgage, together with an instrument of assignment
                  assigning the Mortgage, individually or together with other
                  Mortgages, to Seller and bearing on the face thereof the
                  address of Seller as provided in Paragraph 13 of this
                  Agreement, and, in either case, bearing evidence that such
                  instruments have been recorded in the appropriate jurisdiction
                  where the Mortgaged Property is located (or, in lieu of the
                  original of the Mortgage or the assignment thereof, a
                  duplicate or conformed copy of the Mortgage or the instrument
                  of assignment, if any, together with a certificate of either
                  the closing attorney or an officer of the title insurer that
                  issued the related title insurance policy, or a certificate of
                  receipt from the recording office, certifying that such copy
                  or copies represent true and correct copy(ies) of the
                  original(s) and that such original(s) have been or are
                  currently submitted to be recorded in the appropriate
                  governmental recording office of the jurisdiction where the
                  Mortgaged Property is located);

                           (iii) an original assignment of Mortgage, in blank,
                  which assignment shall be in form and substance acceptable for
                  recording and, in the event that the Seller acquired the
                  Mortgage Loan in a merger, the assignment must be by
                  "[Seller], successor by merger to [name of predecessor]";

                           (iv) any  intervening  assignment of the Mortgage not
                  included in (ii) above,  including any warehousing assignment;

                           (v)  any assumption, modification, extension or
                  guaranty agreement;

                           (vi) the Lender's title insurance policy, or, if such
                  policy has not been issued, a written commitment or interim
                  binder issued by the title insurance company evidencing that
                  the required title insurance coverage is in effect and
                  unconditionally guaranteeing the holder of the Mortgage Loan
                  that the lender's title insurance policy will be issued;

                           (vii) if applicable, any policy or certificate of
                  primary mortgage guaranty insurance;

                           (viii) if the Mortgage Note or Mortgage or any other
                  material document or instrument relating to the Mortgage
                  Loan has been signed by a person on behalf of the Mortgagor,
                  the power of attorney or other instrument that authorized
                  and empowered such person to sign with recording information
                  thereon;

                           (ix) with respect to FHA insured Mortgage Loans, the
                  original FHA Insurance Contract, together with a completed HUD
                  Form 92080 "Mortgagee Record Change" with the Purchasing
                  Mortgagees name left blank;

                           (x) with respect to VA guaranteed Mortgage Loans, the
                  original VA Loan Guaranty Certificate;

                           (xi) with respect to each Mortgage Loan which is
                  subject to the provisions of the Homeownership and Equity
                  Protection Act of 1994, a copy of a notice to each entity
                  which was a purchaser or assignee of the Mortgage Loan,
                  satisfying the provisions of such Act and the regulations
                  issued thereunder, to the effect that the Mortgage Loan is
                  subject to special truth in lending rules; and

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                          (xii) any other document as may be requested by Buyer.

                          "Notwithstanding the above, Seller shall, at least one
                  Business Day prior to the related Purchase Date, deliver to or
                  cause to be delivered to Buyer or Custodian, as directed by
                  Buyer, originals or true copies of such documents contained in
                  the Mortgage File; and within forty eight (48) hours after
                  such purchase date Seller shall deliver or cause to be
                  delivered to Buyer or Custodian, as directed by Buyer, the
                  originals (to the extent not previously delivered) of all such
                  documents in the Mortgage File. Failure by Seller to deliver
                  or cause to be delivered such documents within such time
                  periods specified in the immediately preceding sentence shall
                  constitute an Event of Default under the Master Repurchase
                  Agreement. Seller shall cause each closing agent to hold any
                  originals of such documents in the Mortgage File held by such
                  closing agent prior to delivery thereof to Buyer or Custodian,
                  as directed by Buyer, in trust and as bailee for Buyer.

                           In addition to the documents contained in the
                  Mortgage File, Seller shall deliver to buyer on or prior to
                  the Purchase Date for such Transaction a security release
                  certification acceptable to Buyer, certifying the release of
                  any security interest of a third party which may have existed
                  with respect to any of the Mortgage Loans subject to such
                  Transaction during the 45-day period prior to the related
                  Purchase Date.

                           Seller shall include on each Mortgage Loan Schedule a
code indicating whether the Mortgage Loan is subject to the Homeownership and
 Equity Protection Act of 1994."

                           Seller shall cause to be maintained a servicing file
("Servicing File") with respect to each Mortgage Loan that shall contain the
following documents:

                           (a) copies of all the documents contained in the
                  Mortgage File;

                           (b) any instrument necessary to complete
                  identification of any exception set forth in the exception
                  schedule in the title insurance policy (e.g., map or plat,
                  restrictions, easements, sewer agreements, home association
                  declarations, etc.);

                           (c) a survey of the Mortgaged Property;

                           (d) any hazard insurance policy or flood insurance
                  policy, with extended coverage of the hazard insurance
                  policy;

                           (e) the Mortgage Loan closing statement (Form HUD-1)
                  and any other truth-in-lending, real estate settlement
                  procedure forms or other disclosure statements required by
                  law;

                           (f) the residential loan application, if applicable;

                           (g) any verification of employment and income;

                           (h) if applicable, any verification of acceptable
                  evidence of source and amount of downpayment;

                           (i) any credit report on the borrower under the
                  Mortgage Loan;

                           (j) each residential appraisal report;

                           (k) a photograph of the Mortgaged Property;

                           (l) any tax receipts, insurance premiums, ledger
                  sheets, payment records, insurance claim files and
                  correspondence, current and historical computerized data
                  files, underwriting standards used for origination and all
                  other papers and records developed or originated by the
                  Seller,

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                  any servicer or others, required to document the Mortgage Loan
                  or to service the Mortgage Loan; and

                           (m) any other document as may be requested by Buyer.

Seller shall cause to be delivered to Buyer each Servicing File upon Event of
Default by Seller under the Master Repurchase Agreement.

8.   Segregation of Purchased Securities

     To the extent required by applicable law, all Purchased Securities in the
possession of Seller shall be segregated from other securities in its possession
and shall be identified as subject to this Agreement. Segregation may be
accomplished by appropriate identification on the books and records of the
holder, including a financial intermediary or a clearing corporation. Title to
all Purchased Securities (except for Securities that are Mortgage Loans) shall
pass to Buyer. In the case of Purchased Securities that are Mortgage Loans, upon
transfer of the Mortgage Loans to Buyer as set forth in Paragraph 3(a) of this
Agreement and until termination of any Transactions as set forth in Paragraphs
3(c) or 11 of this Agreement, ownership of each Mortgage Loan, including each
document in the related Mortgage File, is vested in Buyer. Upon transfer of the
Mortgage Loans to Buyer as set forth in Paragraph 3(a) of this Agreement and
until termination of any Transactions as set forth in Paragraphs 3(c) or 11 of
this Agreement, record title in the name of Seller to each Mortgage shall be
retained by Seller in trust, for the benefit of Buyer, for the sole purpose of
facilitating the servicing and the supervision of the servicing of the Mortgage
Loans pursuant to the Servicing Agreement. Unless otherwise agreed by Buyer and
Seller, nothing in this Agreement shall preclude Buyer from engaging in
repurchase transactions with the Purchased Securities or otherwise pledging or
hypothecating the Purchased Securities, but no such transaction shall relieve
Buyer of its obligations to transfer Purchased Securities (and, with respect to
the Mortgage Loans, not substitutes therefor) to Seller pursuant to Paragraphs
3, 4 or 11 hereof. Upon termination of any Transactions as set forth in
Paragraph 3(c) of this Agreement, Buyer agrees to execute promptly endorsements
of the Mortgage Notes, assignments of the Mortgages and UCC-3 assignments, to
the extent that such documents are prepared by Seller for Buyer's execution, are
delivered to Buyer by Seller and are necessary to reconvey, without recourse, to
Seller and perfect title of like tenor to that conveyed to Buyer to the related
Mortgage Loans. Buyer agrees to cooperate with Seller to identify documents that
may be required to effect such reconveyance and perfection of title to Seller.

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     Required Disclosure for Transactions in Which the Seller Retains Custody
     of the Purchased Securities

     Seller is not permitted to substitute other securities for those subject to
this Agreement and therefore must keep Buyer's securities segregated at all
times, unless in this Agreement Buyer grants Seller the right to substitute
other securities. If Buyer grants the right to substitute, this means that
Buyer's securities will likely be commingled with Seller's own securities during
the trading day. Buyer is advised that, during any trading day that Buyer's
securities are commingled with Seller's securities, the [will]* [may]** be
subject to liens granted by Seller to [its clearing bank]1* [third parties]**
and may be used by Seller for deliveries on other securities transactions.
Whenever the securities are commingled, Seller's ability to resegregate
substitute securities for Buyer will be subject to Seller's ability to satisfy
[the clearing]* [any]** lien or to obtain substitute securities.

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9.   Substitution

     (a) Seller may, subject to agreement with and acceptance by Buyer,
substitute other Securities for any Purchased Securities. Such substitution
shall be made by transfer to Buyer of such other Securities and transfer to
Seller of such Purchased Securities. After substitution, the substituted
Securities shall be deemed to be Purchased Securities.

     (b) In Transactions in which the Seller retains custody of Purchased
Securities, the parties expressly agree that Buyer shall be deemed, for purposes
of subparagraph (a) of this Paragraph, to have agreed to and accepted in this
Agreement substitution by Seller of other Securities for Purchased Securities;
provided, however, that such other Securities shall have a Assumed Repurchase
Value at least equal to the Assumed Repurchase Value of the Purchased Securities
for which they are substituted; provided, further, that, in the case

--------
 * Language to be used under 17 C.F.R. ss.403.4(e) if Seller is a government
securities broker or dealer other than a financial institution.

** Language to be used under 17 C.F.R.ss.403.4(d) if Seller is a financial
 institution.

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of Transactions involving Securities that are Mortgage Loans, the retention
by Seller of custody of any document in any Mortgage File or otherwise shall be
held by Seller in trust Buyer for purposes of servicing or supervising the
servicing of the related Mortgage Loan and shall not be deemed to constitute
Seller's retention of custody of the Purchased Securities for purposes of this
subparagraph.

10.  Representations

     Each of Buyer and Seller represents and warrants to the other that (i) it
is duly authorized to execute and deliver this Agreement, to enter into the
Transactions contemplated hereunder and to perform its obligations hereunder and
has taken all necessary action to authorize such execution, delivery and
performance, (ii) it will engage in such Transactions as principal (or, if
agreed in writing in advance of any Transaction by the other party hereto, as
agent for a disclosed principal), (iii) the person signing this Agreement on its
behalf is duly authorized to do so on its behalf (or on behalf of any such
disclosed principal), (iv) it has obtained all authorizations of any
governmental body required in connection with this Agreement and the
Transactions hereunder and such authorizations are in full force and effect and
(v) the execution, delivery and performance of this Agreement and the
Transactions hereunder will not violate any law, ordinance, charter, by-law or
rule applicable to it or any agreement by which it is bound or by which any of
its assets are affected, (vi) Seller and Buyer have entered into the Transaction
described in each Confirmation contemporaneously with the sale of the Purchased
Securities by Seller to Buyer and the transfer of the Purchase Price by Buyer to
Seller, or, in the event that the Transaction is deemed to constitute a loan,
contemporaneously with the grant of the security interest in the Collateral by
Seller to Buyer pursuant to Paragraph 6 hereof and the transfer of the
consideration therefor, consisting of the extension of the Purchase Price, which
represents the loan proceeds, by Buyer to Seller, (vii) the board of directors
of Seller has approved the form of Confirmation and the Master Repurchase
Agreement, and such approval is reflected in the minutes of said board, and
(viii) each Confirmation, the Master Repurchase Agreement, the Custody Agreement
and the Servicing Agreement have been and shall be, continuously, from the time
of their execution, a corporate record of Seller. On the Purchase Date for any
Transaction Buyer and Seller shall each be deemed to repeat all the foregoing
representations made by it.

11.  Events of Default

     In the event that (i) Seller fails to repurchase or Buyer fails to transfer
                           Purchased Securities upon the applicable Repurchase
                           Date, (ii) Seller or Buyer fails, after one business
                           day's notice, to comply with Paragraph 4 hereof,
                           (iii) Buyer fails to comply with Paragraph 5 hereof,
                           (iv) an Act of Insolvency occurs with respect to
                           Seller or Buyer, (v) any representation made by
                           Seller or Buyer, other than any representation made
                           by Seller as to a particular Mortgage Loan, shall
                           have been incorrect or untrue in any material respect
                           when made or repeated or deemed to have been made or
                           repeated, (vi) Seller or Buyer shall admit to the
                           other its inability to, or its intention not to,
                           perform any of its obligations hereunder (vii) Buyer
                           shall have reasonably determined that Seller is or
                           will be unable to meet its commitments under this
                           Agreement, the Custody Agreement, the Guaranty, the
                           Sellers Warranties Agreement, the Servicing Agreement
                           and any other related agreement (such agreements, the
                           "Transaction Documents") and shall have notified
                           Seller of such determination and such other party
                           shall not have responded with appropriate information
                           to the contrary to the satisfaction of the notifying
                           party within 24 hours;

                  (viii)   The Master Repurchase Agreement shall for any reason
                           cease to create a valid, first priority security
                           interest in any of the Purchased Securities purported
                           to be covered thereby;

                  (ix)     A final judgment by any competent court in the United
                           States of America for the payment of money in an
                           amount of at least $100,000 is rendered against
                           Seller, and the same remains undischarged for a
                           period of 30 days during which execution of such
                           judgment is not effectively stayed;

                  (x)      Seller shall fail to observe or perform any of the
                           covenants or agreements under any Transaction
                           Document, which failure materially and adversely
                           affects the rights of the Buyer;

                  (xi)     Any event of default or any event which with notice,
                           the passage of time or both shall constitute an event
                           of default shall occur and be continuing under any
                           repurchase or other financing agreement for borrowed
                           funds or indenture for borrowed funds by which Seller
                           is bound or affected shall occur and be continuing;

<PAGE>
                                      -9-

                  (xii)    In the good faith judgment of Buyer, a material
                           adverse change shall have occurred in the business,
                           operations, properties, prospects or condition
                           (financial or otherwise) of Seller;

                  (xiii)   Seller shall request written assurances as to the
                           financial well-being of Buyer and such assurances
                           shall not have been provided within 24 hours of such
                           request;

                  (xiv)    Seller shall be in default with respect to any normal
                           and customary covenants under any debt contract or
                           agreement, any servicing agreement or any lease to
                           which it is a party, which default could materially
                           and adversely affect the financial condition of
                           Seller (which covenants include, but are not limited
                           to, an Act of Insolvency of Seller or the failure of
                           Seller to make required payments under such contract
                           or agreement as they become due).

                  (xv)     Any representation or warranty made by Seller in any
                           Transaction Document shall have been incorrect or
                           untrue in any material respect (to the extent that
                           such representation or warranty does not incorporate
                           a materiality limitation in its terms) when made or
                           repeated or when deemed to have been made or
                           repeated;

                  (xvi)    Seller shall fail to promptly notify Buyer of (i) the
                           acceleration of any debt obligation or the
                           termination of any credit facility of Seller,
                           respectively; (ii) the amount and maturity of any
                           such debt assumed after the date hereof; (iii) any
                           adverse developments with respect to pending or
                           future litigation involving Seller, respectively; and
                           (iv) any other developments which might materially
                           and adversely affect the financial condition of
                           Seller;

                  (xvii)   Seller's audited annual financial statements or the
                           notes thereto or other opinions or conclusions stated
                           therein shall be qualified or limited by reference to
                           Seller's status as a "going concern";

                  (vxiii)  Seller shall fail to maintain a tangible net worth of
                           no less than $916,000.00. The term "tangible net
                           worth" shall mean the excess of all of the Seller's
                           assets (excluding any value for goodwill, trademarks,
                           patents, copyrights, organization expense and other
                           similar intangible items) over all its liabilities as
                           completed and determined in accordance with generally
                           accepted accounting principles consistently applied.

     (xx) Seller shall fail to deliver to Buyer or Custodian as directed by
Buyer the documents in the Mortgage File within the time period specified in 1
Paragraph 7 of the Master Repurchase Agreement. (each an "Event of Default"):

     (a)  At the option of the nondefaulting party, exercised by written notice
to the defaulting party (which option shall be deemed to have been exercised,
even if no notice is given, immediately upon the occurrence of an Act of
Insolvency), the Repurchase Date for each Transaction hereunder shall be deemed
immediately to occur.

     (b) In all Transactions in which the defaulting party is acting as Seller,
if the nondefaulting party exercises or is deemed to have exercised the option
referred to in subparagraph (a) of the Paragraph, (i) the defaulting party's
obligations hereunder to repurchase all Purchased Securities in such
Transactions shall thereupon become immediately due and payable, (ii) to the
extent permitted by applicable law, the Repurchase Price with respect to each
such Transaction shall be increased by the aggregate amount obtained by daily
application of (x) the greater of the Pricing Rate for such Transaction or the
Prime Rate to (y) the Repurchase Price for such Transaction as of the Repurchase
Date as determined pursuant to subparagraph (a) of this Paragraph (decreased as
of any day by (A) any amounts retained by the nondefaulting party with respect
to such Repurchase Price pursuant to clause (iii) of the subparagraph, (B) any
proceeds from the sale of Purchased Securities pursuant to subparagraph (d)(I)
of this Paragraph, and (C) any amounts credited to the account of the defaulting
party pursuant to subparagraph (e) of the Paragraph) on a 360 day per year basis
for the actual number of days during the period from and including the date of
the Event of Default giving rise to such option to but excluding the date of
payment of the Repurchase Price as so increased, (iii) all Income paid after
such exercise or deemed exercise shall be retained by the nondefaulting party
and applied to the aggregate unpaid Repurchase Prices owed by the defaulting
party, and (iv) the defaulting party shall immediately deliver to the

<PAGE>
                                      -10-

nondefaulting party any Purchased Securities subject to such Transactions then
in the defaulting party's possession.

     (c) In all Transactions in which the defaulting party is acting as Buyer,
upon tender by the nondefaulting party of payment of the aggregate Repurchase
Prices for all such Transactions, the defaulting party's right, title and
interest in all Purchased Securities subject to such Transactions shall be
deemed transferred to the nondefaulting party, and the defaulting party shall
deliver all such Purchased Securities to the non defaulting party.

     (d) The non-defaulting party may with concurrent notice to the defaulting
party:

          (i) as to Transactions in which the defaulting party is acting as
     Seller, (A) immediately sell, in a recognized market or in any other
     commercially reasonable manner at such price or prices as the nondefaulting
     party may reasonably deem satisfactory, any or all Purchased Securities
     subject to such Transactions and apply the proceeds thereof to the
     aggregate unpaid Repurchase Prices and any other amounts owing by the
     defaulting party hereunder or (B) in its sole discretion elect, in lieu of
     selling all or a portion of such Purchased Securities, to give the
     defaulting party credit for such Purchased Securities in an amount equal to
     the price therefor on such date, obtained from a generally recognized
     source or the most recent closing bid quotation from such a source, against
     the aggregate unpaid Repurchase Prices and any other amounts owing by the
     defaulting party hereunder and in either case upon the determination and
     receipt by Buyer, in a manner deemed final and complete by Buyer in its
     sole discretion, of the aggregate unpaid Repurchase Prices and any other
     amounts owing by the defaulting party, including, without limitation, any
     unpaid fees, expenses or other amounts owing to the Custodian under the
     Custody Agreement, or to which Buyer is otherwise entitled hereunder, Buyer
     shall transfer the portion of the Purchased Securities and proceeds
     thereof, including without limitation, any proceeds of a sale of the
     servicing rights to the Mortgage Loans, held by Buyer following such
     receipt to either (i) Seller, if in Buyer's sole discretion Seller is
     legally entitled thereto, (ii) such other party or person as is in Buyer's
     reasonable judgment is legally entitled thereto, or (iii) if Buyer cannot
     determine in its reasonable judgment the person or party entitled thereto,
     a court of competent jurisdiction; and

          (ii) as to the Transactions in which the defaulting party is acting as
     Buyer, (A) purchase securities ("Replacement Securities") of the same class
     and amount as any Purchased Securities that are not delivered by the
     defaulting party to the nondefaulting party as required hereunder or (B) in
     its sole discretion elect, in lieu of purchasing Replacement Securities, to
     be deemed to have purchased Replacement Securities at the price therefor on
     such date, obtained from a generally recognized source or the most recent
     closing bid quotation from such a source.

     (e) As to Transactions in which the defaulting party is acting as Buyer,
the defaulting party shall be liable to the nondefaulting party (i) with respect
to Purchased Securities (other than Additional Purchased Securities), for any
excess of the price paid (or deemed paid) by the nondefaulting party for
Replacement Securities therefor over the Repurchase Price for such Purchased
Securities and (ii) with respect to Additional Purchased Securities, for the
price paid (or deemed paid) by the nondefaulting party for the Replacement
Securities therefor. In addition, the defaulting party shall be liable to the
nondefaulting party for interest on such remaining liability with respect to
each such purchase (or deemed purchase) of Replacement Securities from the date
of such purchase (or deemed purchase until paid in full by Buyer. Such interest
shall be at a rate equal to the greater of the Pricing Rate for such Transaction
or the Prime Rate.

    (f) For purposes of this Paragraph 11, the Repurchase Price for each
Transaction hereunder in respect of which the defaulting party is acting as
Buyer shall not increase above the amount of such Repurchase Price for such
Transaction determined as of the date of the exercise or deemed exercise by the
nondefaulting party of its option under subparagraph (a) of this Paragraph.

     (g) The defaulting party shall be liable to the nondefaulting party for the
amount of all reasonable legal or other expenses incurred by the nondefaulting
party in connection with or as a consequence of an Event of Default, together
with interest thereon at a rate equal to the greater of the Pricing Rate for the
relevant Transaction or the Prime Rate.

     (h) The nondefaulting party shall have, in addition to its rights
hereunder, any rights otherwise available to it under an other agreement or
applicable law.

     (j) Seller acknowledges that any delay in the ability of Buyer to exercise
its remedies pursuant to Paragraph 11 hereof shall result in irreparable injury
to Buyer.

12.  Single Agreement

<PAGE>
                                      -11-

     Buyer and Seller acknowledge that, and have entered hereunto and will enter
into each Transaction hereunder in consideration of and in reliance upon the
fact that, all Transactions hereunder constitute a single business and
contractual relationship and have been made in consideration of each other.
Accordingly, each of Buyer and Seller agrees (i) to perform all of its
obligations in respect of each Transaction hereunder, and that a default in the
performance of any such obligations shall constitute a default by it in respect
of all Transactions hereunder, (ii) that each of them shall be entitled to set
off claims and apply property held by them in respect of any Transaction against
obligations owing to them in respect of any other Transactions hereunder and
(iii) that payments, deliveries and other transfers made by either of them in
respect of any Transaction shall be deemed to have been made in consideration of
payments, deliveries and other transfers in respect of any other Transactions
hereunder, and the obligations to make any such payments, deliveries and other
transfers may be applied against each other and netted.

13.  Notices and Other Communications

              Any notice or communication in respect of this Agreement will be
                  sufficiently given to a party if in writing and delivered in
                  person, sent by certified or registered mail, return receipt
                  requested, or by overnight courier or given by facsimile
                  transfer at the following address or facsimile number:

                  If to [BUYER]:

                                    Impac Warehouse Lending Group
                                    1401 Dove Street
                                    Newport Beach, CA 92660

                                    Attention:  Gretchen Verdugo

                                    Facsimile No.: (949) 475-3950

                  If to [SELLER]:

                                    APPROVED FEDERAL SAVINGS BANK
                                    1716 Corporate Landing Parkway
                                    Virginia Beach, VA 23454
                                    Attention: Jean S. Schwindt
                                    Facsimile Number:  (757) 468-6501

                  A notice or communication will be effective:

                  (i)   if delivered by hand or sent by overnight courier, on
     the day and time it is delivered;

                  (ii)  If sent by facsimile transfer, on the day it is sent; or

                  (iii) if sent by certified or registered mail, return receipt
     requested, three days after dispatch.

                  Either party may by notice to the other change the address or
     facsimile number at which notices or communications are to be given to it.

14.  Entire Agreement; Severability

     This Agreement shall supersede any existing agreements between the parties
containing general terms and conditions for repurchase transactions with respect
to Securities that consist of mortgage loans. Each provision and agreement
herein shall be treated as separate and independent from any other provision or
agreement herein and shall be enforceable notwithstanding the unenforceability
of any such other provision or agreement.

15.  Non-assignability; Termination

<PAGE>
                                      -12-

     The rights and obligations of the parties under this Agreement and under
any Transaction shall not be assigned by either party without the prior written
consent of the other party. Subject to the foregoing, this Agreement and any
Transactions shall be binding upon and shall inure to the benefit of the parties
and their respective successors and assigns. This Agreement may be cancelled by
either party upon giving written notice to the other, except that this Agreement
shall, notwithstanding such notice, remain applicable to any Transactions then
outstanding.

16.  Governing Law

     This Agreement shall be governed by the laws of the State of New York
without giving effect to the conflict of law principles thereof.

17.  No Waivers, Etc.

     No express or implied waiver of any Event of Default by either party shall
constitute a waiver of any other Event of Default and no exercise of any remedy
hereunder. No modification or waiver of any provision of this agreement and no
consent by any party to a departure herefrom shall be effective unless and until
such shall be in writing and duly executed by both of the parties hereto.
Without limitation on any of the foregoing, the failure to give a notice
pursuant to subparagraphs 4(a) or 4(b) hereof will not constitute a waiver of
any right to do so at a later date.

18.  Use of Employee Plan Assets

     (a) If assets of an employee benefit plan subject to any provision of the
Employee Retirement Income Security Act of 1974 ("ERISA") are intended to be
used by either party hereto (the "Plan Party") in a Transaction, the Plan Party
shall so notify the other party prior to the Transaction. The Plan Party shall
represent in writing to the other party that the Transaction does not constitute
a prohibited transaction under ERISA or is otherwise exempt therefrom, and the
other party may proceed in reliance thereon but shall not be required so to
proceed.

     (b) Subject to the last sentence of subparagraph (a) of this Paragraph, any
such Transaction shall proceed only if Seller furnishes or has furnished to
Buyer its most recent available audited statement of its financial condition and
its most recent subsequent unaudited statement of its financial condition.

     (c) By entering into a Transaction pursuant to this Paragraph, Seller shall
be deemed (i) to represent to Buyer that since the date of Seller's latest such
financial statements, there has been no material adverse change in Seller's
financial condition which Seller has not disclosed to Buyer, and (ii) to agree
to provide Buyer with future audited and unaudited statements of its financial
condition as the y are issued, so long as it is a Seller in any outstanding
transaction involving a Plan Party.

19.  Intent

     (a) The parties recognize that each Transaction is a "repurchase agreement"
as that term is defined in Section 101 of Title 11 of the United States Code, as
amended (except insofar as the type of Securities subject to such Transaction or
the term of such Transaction would render such definition inapplicable), and a
"securities contract" as that term is defined in Section 741 of Title 11 of the
United States Code, as amended.

     (b) It is understood that either party's right to liquidate Securities
delivered to it in connection with Transactions hereunder or to exercise any
other remedies pursuant to Paragraph 11 hereof, is a contractual right to
liquidate such Transaction as described in Sections 555 and 559 of Title 11 of
the United States Code, as amended.

20.  Disclosure Relating to Certain Federal Protections

         The parties acknowledge that they have been advised that:

     (a) in the case of Transactions in which one of the parties is a broker or
dealer registered with the Securities and Exchange Commission ("SEC") under
Section 15 of the Securities Exchange Act of 1934 ("1934 Act"), the Securities
Investor Protection Corporation has taken the position that the provisions of
the Securities Investor Protection Act of 1970 ("SIPA") do not protect the other
party with respect to any Transaction hereunder;

     (b) in the case of Transactions in which one of the parties is a government
securities broker or a government securities dealer registered with the SEC
under Section 15C of the 1934 Act, SIPA will not provide protection to the other
party with respect to any Transaction hereunder; and

<PAGE>
                                      -13-

     (c) in the case of Transactions in which one of the parties is a financial
institution, funds held by the financial institution pursuant to a Transaction
hereunder are not a deposit and therefore are not insured by the Federal Deposit
Insurance Corporation, the through either the Bank Insurance Fund or the Savings
Association Insurance Fund, or the National Credit Union Share Insurance Fund,
as applicable.

IMPAC WAREHOUSE LENDING GROUP               APPROVED FEDERAL SAVINGS BANK

By ____________________________________     By _________________________________

Title _________________________________     Title ______________________________

Date __________________________________    Date ________________________________

                                     ANNEX I

                        Supplemental Terms and Conditions

                   31. This Annex I is executed and shall be construed as an
agreement supplemental to the Master Repurchase Agreement and, as provided in
the Master Repurchase Agreement, this Annex I forms a part thereof.

                   32. All of the covenants, stipulations, promises and
agreements in this Annex I shall bind the successors and assigns of the parties
hereto, whether expressed or not.

                   33. This Annex I may be executed in any number of
counterparts, each of which shall be an original but such counterparts shall
together constitute but one and the same instrument.

                   34. Seller shall promptly provide such further assurances or
agreements as Buyer may request in order to effect the purposes of this Master
Repurchase Agreement, including without limitation, the delivery of any further
documents to ensure that Buyer maintains a first priority perfected security
interest in the Collateral pursuant to Paragraph 6 hereof and to carry into
effect the purpose, of the Transaction Documents.

                   35. Buyer is hereby appointed the attorney-in-fact of Seller
for the purpose of carrying out the provisions of this Agreement and taking any
action and executing or endorsing any instruments that Buyer may deem necessary
or advisable to accomplish the purposes hereof, including, without limitation,
completing or correcting any endorsement of a Mortgage Note or assignment of a
Mortgage, which appointment as attorney-in-fact is irrevocable and coupled with
an interest. Without limiting the generality of the foregoing, Buyer shall have
the right and power during the occurrence and continuation of any Event of
Default to receive, endorse and collect all checks made payable to the order of
Seller representing any payment on account of the principal of or interest on
any of the Collateral and to give full discharge for the same.

                   36. Seller shall promptly pay as and when payment is due all,
and Buyer shall not be liable for any, expenses, fees and charges incurred by
Buyer or Seller (other than the salaries and overhead of Buyer and its
affiliates) arising out of or related in any way, to the administration and
enforcement of this Agreement or the Custody Agreement ("Costs"), including,
without limitation, legal expenses, the fees and expenses of the Custodian,
recording and filing fees and any costs associated with reconveyance of the
Purchased Securities and, in the event that any Costs are incurred by Buyer,
Seller shall reimburse Buyer on demand of Buyer accompanied by a statement
describing the circumstances and the nature of the Cost, by wire transfer of
immediately available federal funds.

                   37. Seller and Buyer contemplate that all Mortgage Loans
purchased by Buyer and subject to repurchase pursuant to this Master Repurchase
Agreement shall have an

<PAGE>
                                      -14-

average daily balance (in principal amount) of $ 7,500,000 (the "Minimum Usage
Amount"). If, within forty-five (45) days of the date hereof, Seller shall not
have sold any Mortgage Loans to Buyer pursuant to this Master Repurchase
Agreement, Seller shall promptly pay Buyer $1,500. If at any time after
forty-five (45) days after the Seller shall have commenced selling Mortgage
Loans to Buyer, pursuant to this Master Repurchase Agreement but the average
daily balance (in principal amount) of all Mortgage Loans held by Buyer is less
than the Minimum Usage Amount, Seller shall pay Buyer a fee to be determined by
Buyer in its sole discretion, provided, however such fee shall not exceed $1,500
during any thirty (30) day period.

                   38. This Annex I shall supersede any existing annex to or
modification of the Master Repurchase Agreement.

<PAGE>
                                      -15-

                                    ANNEX II

             Names and Addresses for Communications Between Parties<PAGE>

                                                                     Exhibit 4.1

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

                                 TRUST AGREEMENT

                                     between

                            SLM FUNDING CORPORATION,
                                  as Depositor

                                       and

                 CHASE MANHATTAN BANK USA, NATIONAL ASSOCIATION,
                    not in its individual capacity but solely
                           as Eligible Lender Trustee

                            Dated as of March 1, 2002

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

<PAGE>

                                TABLE OF CONTENTS
                                -----------------
<TABLE>
<CAPTION>
                                                                                           Page
                                                                                           ----

                                            ARTICLE I
                                      DEFINITIONS AND USAGE

<S>                                                                                        <C>
SECTION 1.1       Definitions and Usage................................................       1

                                            ARTICLE II
                                           ORGANIZATION

SECTION 2.1       Creation of Trust; Name..............................................       1
SECTION 2.2       Office...............................................................       1
SECTION 2.3       Purposes and Powers..................................................       1
SECTION 2.4       Appointment of Eligible Lender Trustee...............................       2
SECTION 2.5       Initial Capital Contribution of Trust Estate.........................       2
SECTION 2.6       Declaration of Trust.................................................       2
SECTION 2.7       Liability of the Holders of the Excess Distribution Certificate......       3
SECTION 2.8       Title to Trust Property..............................................       3
SECTION 2.9       Representations, Warranties and Covenants of the Depositor...........       3
SECTION 2.10      Intentionally Omitted................................................       4

                                            ARTICLE III
                    BENEFICIAL OWNERSHIP AND EXCESS DISTRIBUTION CERTIFICATE

SECTION 3.1       Initial Beneficial Ownership.........................................       4
SECTION 3.2       Intentionally Omitted................................................       4
SECTION 3.3       Intentionally Omitted................................................       4
SECTION 3.4       Intentionally Omitted................................................       4
SECTION 3.5       Intentionally Omitted................................................       4
SECTION 3.6       Intentionally Omitted................................................       4
SECTION 3.7       Intentionally Omitted................................................       5
SECTION 3.8       Corporate Trust Office...............................................       5
SECTION 3.9       Intentionally Omitted................................................       5
SECTION 3.10      Intentionally Omitted................................................       5
SECTION 3.11      Intentionally Omitted................................................       5
SECTION 3.12      Intentionally Omitted................................................       5
SECTION 3.13      The Excess Distribution Certificate..................................       5

                                            ARTICLE IV
                              ACTIONS BE ELIGIBLE LENDER TRUSTEE

SECTION 4.1       Prior Notice to the Holder of the Excess Distribution Certificate
                  With Respect to Certain Matters......................................       8
SECTION 4.2       Action  with Respect to Sale of the Trust Student Loans..............       9
SECTION 4.3       Action with Respect to Bankruptcy....................................       9
SECTION 4.4       Restrictions.........................................................       9
SECTION 4.5       Intentionally Omitted................................................       9
</TABLE>

<PAGE>

<TABLE>
                                            ARTICLE V
                             APPLICATION OF TRUST FUNDS; CERTAIN DUTIES

<S>                                                                                          <C>
SECTION 5.1       Application of Trust Funds..........................................        9
SECTION 5.2       Method of Payment...................................................       10
SECTION 5.3       No Segregation of Moneys; No Interest...............................       10
SECTION 5.4       Reports to the Holder of the Excess Distribution
                  Certificate, the Internal Revenue Service and Others................       10
SECTION 5.5       Intentionally Omitted...............................................       10
SECTION 5.6       Intentionally Omitted...............................................       10

                                            ARTICLE VI
                             AUTHORITY AND DUTIES OF ELIGIBLE LENDER TRUSTEE

SECTION 6.1       General Authority...................................................       11
SECTION 6.2       General Duties......................................................       11
SECTION 6.3       Action upon Instruction.............................................       12
SECTION 6.4       No Duties Except as Specified in this Agreement or in
                  Instructions........................................................       13
SECTION 6.5       No Action Except Under Specified Documents or Instructions                 13
SECTION 6.6       Restrictions........................................................       13

                                            ARTICLE VII
                             CONCERNING THE ELIGIBLE LENDER TRUSTEE

SECTION 7.1       Acceptance of Trusts and Duties.....................................       13
SECTION 7.2
SECTION 7.3       Representations and Warranties......................................       15
SECTION 7.4       Reliance; Advice of Counsel.........................................       16
SECTION 7.5       Not Acting in Individual Capacity...................................       16
SECTION 7.6       Eligible Lender Trustee Not Liable for Excess
                  Distribution Certificate or Trust Student Loans.....................       16
SECTION 7.7       Eligible Lender Trustee May Own Notes...............................       17

                                            ARTICLE VIII
                     COMPENSATION AND INDEMNITY OF ELIGIBLE LENDER TRUSTEE

SECTION 8.1       Eligible Lender Trustee's Fees and Expenses.........................       17
SECTION 8.2       Payments to the Eligible Lender Trustee.............................       17
SECTION 8.3       Indemnity...........................................................       17

                                            ARTICLE IX
                                 TERMINATION OF TRUST AGREEMENT

SECTION 9.1       Termination of Trust Agreement......................................       18

SECTION 9.2       Dissolution upon Insolvency of the Depositor........................       18
</TABLE>

                                       3

<PAGE>

<TABLE>

                                              ARTICLE X
              SUCCESSOR ELIGIBLE LENDER TRUSTEES AND ADDITIONAL ELIGIBLE LENDER TRUSTEES

<S>                                                                                          <C>
SECTION 10.1      Eligibility Requirements for Eligible Lender Trustee..................     19
SECTION 10.2      Resignation or Removal of Eligible Lender Trustee.....................     19
SECTION 10.3      Successor Eligible Lender Trustee.....................................     20
SECTION 10.4      Merger or Consolidation of Eligible Lender Trustee....................     21
SECTION 10.5      Appointment of Co-Eligible Lender Trustee or Separate
                  Eligible Lender.......................................................     21

                                               ARTICLE XI
                                             MISCELLANEOUS

SECTION 11.1      Supplements and Amendments............................................     22
SECTION 11.2      No Legal Title to Trust Estate in Holders of the Excess
                  Distribution Certificate..............................................     23
SECTION 11.3      Limitations on Rights of Others.......................................     23
SECTION 11.4      Notices...............................................................     24
SECTION 11.5      Severability..........................................................     24
SECTION 11.6      Separate Counterparts.................................................     24
SECTION 11.7      Successors and Assigns................................................     24
SECTION 11.8      No Petition...........................................................     24
SECTION 11.9      No Recourse...........................................................     25
SECTION 11.10     Headings..............................................................     25
SECTION 11.11     Governing Law.........................................................     25

Exhibit A         Reserved
Exhibit B         Reserved
Exhibit C         Form of Excess Distribution Certificate

Annex 1 to Trust Agreement
</TABLE>

                                        4

<PAGE>

         TRUST AGREEMENT dated as of March 1, 2002, between SLM FUNDING
CORPORATION, a Delaware corporation, as the Depositor, and CHASE MANHATTAN BANK
USA, NATIONAL ASSOCIATION, a national banking association, not in its individual
capacity but solely as the Eligible Lender Trustee.

                                   WITNESSETH:

         The Depositor and the Eligible Lender Trustee hereby agree as follows:

                                    ARTICLE I

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

                                   ARTICLE II

                                  Organization
                                  ------------

         SECTION 2.1 Creation of Trust; Name. There is hereby created a Trust
                     -----------------------
which shall be known as "SLM Student Loan Trust 2002-2", in which name the
Eligible Lender Trustee may conduct the business of the Trust, make and execute
contracts and other instruments on behalf of the Trust and sue and be sued. The
Trust shall constitute a business trust within the meaning of Section 3801(a) of
the Delaware Business Trust Act for which the Trustee has filed a certificate of
trust with the Secretary of State of the State of Delaware pursuant to Section
3810(a) of the Delaware Business Trust Act.

         SECTION 2.2 Office. The office of the Trust shall be in care of the
                     ------
Eligible Lender Trustee at its Corporate Trust Office or at such other address
as the Eligible Lender Trustee may designate by written notice to the Depositor.

         SECTION 2.3 Purposes and Powers. The purpose of the Trust is to engage
                     -------------------
in the following activities:

              (i) to issue the Notes pursuant to the Indenture and the Excess
         Distribution Certificate pursuant to this Agreement and to sell the
         Notes in one or more transactions;

              (ii) with the proceeds of the sale of the Notes, to fund the
         Reserve Account pursuant to Section 2.8.1 of the Administration
         Agreement, to fund the Capitalized Interest Account pursuant to Section
         2.8.2 of the Administration Agreement, to fund the Collection Account
         pursuant to Section 2.6.C of the Administration Agreement, to make the
         up-front payment under the Interest Rate Cap Swap Confirmation and to
         purchase the Trust Student Loans pursuant to the Sale Agreement;

<PAGE>

              (iii) to Grant the Trust Estate to the Indenture Trustee pursuant
         to the Indenture, and to hold, manage and distribute to the holder of
         the Excess Distribution Certificate pursuant to the terms of this
         Agreement any portion of the Trust Estate released from the Lien of,
         and remitted to the Trust pursuant to, the Indenture;

              (iv)  to enter into and perform its obligations under the Basic
         Documents to which it is to be a party;

              (v)   to engage in those activities, including entering into
         agreements, that are necessary, suitable or convenient to accomplish
         the foregoing or are incidental thereto or connected therewith
         including but not limited to entering into and performing its
         obligations under any Swap Agreement to which it is to be a party; and

              (vi)  subject to compliance with the Basic Documents, to engage
         in such other activities as may be required in connection with
         conservation of the Trust Estate and the making of distributions to the
         Noteholders and the others specified in Sections 2.7, 2.8.1 and 2.8.2
         of the Administration Agreement.

The Trust shall not engage in any activity other than in connection with the
foregoing or other than as required or authorized by the terms of this Agreement
or the other Basic Documents.

         SECTION 2.4 Appointment of Eligible Lender Trustee. The Depositor
                     --------------------------------------
hereby appoints the Eligible Lender Trustee as trustee of the Trust, effective
as of the date hereof, to have all the rights, powers and duties set forth
herein.

         SECTION 2.5 Initial Capital Contribution of Trust Estate. The Depositor
                     --------------------------------------------
hereby sells, assigns, transfers, conveys and sets over to the Eligible Lender
Trustee, as of the date hereof, the sum of $100.00. The Eligible Lender Trustee
hereby acknowledges receipt in trust from the Depositor, as of the date hereof,
of the foregoing contribution, which shall constitute the Initial Trust Estate
and shall be deposited in the Collection Account. The Depositor shall pay the
organizational expenses of the Trust as they may arise or shall, upon the
request of the Eligible Lender Trustee, promptly reimburse the Eligible Lender
Trustee for any such expenses paid by the Eligible Lender Trustee.

         SECTION 2.6 Declaration of Trust. The Eligible Lender Trustee hereby
                     --------------------
declares that it will hold the Trust Estate in trust upon and subject to the
conditions set forth herein for the use and benefit of the holder of the Excess
Distribution Certificate, subject to the obligations of the Trust under the
other Basic Documents. It is the intention of the parties hereto that the Trust
constitute a business trust under Delaware law and that this Agreement
constitute the governing instrument of such trust. Effective as of the date
hereof, the Eligible Lender Trustee shall have all rights, powers and duties set
forth herein with respect to accomplishing the purposes of the Trust.

         SECTION 2.7 Liability of the Holders of the Excess Distribution
                     ---------------------------------------------------
Certificate.
-----------

         (a)  Notwithstanding the provisions of Section 3803 of the Delaware
              Business Trust

                                        2

<PAGE>

                  Act, the Depositor shall be liable directly to and shall
                  indemnify the injured party for all losses, claims, damages,
                  liabilities and expenses of the Trust (including Expenses, to
                  the extent that the assets of the Trust that would remain if
                  all of the Notes were paid in full would not be sufficient to
                  pay any such liabilities, or if such liabilities in fact are
                  not paid out of the Trust Estate) to the extent that the
                  Depositor would be liable if the Trust were a partnership
                  under the Delaware Revised Uniform Limited Partnership Act in
                  which the Depositor were a general partner; provided, however,
                  that the Depositor shall not be liable for -------- -------
                  any losses incurred by a beneficial owner of a Note in its
                  capacity as a holder of limited recourse debt or to any holder
                  of the Excess Distribution Certificate. In addition, any third
                  party creditors of the Trust (other than in connection with
                  the obligations to Noteholders excepted above) shall be third
                  party beneficiaries of this paragraph.

             (b)  No holder of the Excess Distribution Certificate (in such
                  capacity) shall have any personal liability for any liability
                  or obligation of the Trust.

             SECTION 2.8 Title to Trust Property. Legal title to all of the
                         -----------------------
Trust Estate shall be vested at all times in the Trust as a separate legal
entity except where applicable law in any jurisdiction requires title to any
part of the Trust Estate to be vested in a trustee or trustees, in which case
title shall be deemed to be vested in the Eligible Lender Trustee, a co-trustee
and/or a separate trustee, as the case may be; provided that legal title to the
Trust Student Loans shall be vested at all times in the Eligible Lender Trustee
on behalf of the Trust.

             SECTION 2.9 Representations, Warranties, and Covenants of the
                         -------------------------------------------------
Depositor. The Depositor hereby represents, warrants and covenants to the
---------
Eligible Lender Trustee as follows:

             (a)  The Depositor is duly organized and validly existing as a
                  Delaware corporation in good standing under the laws of the
                  State of Delaware, with power and authority to own its
                  properties and to conduct its business as such properties are
                  currently owned and such business is presently conducted.

             (b)  The Depositor has the corporate power and authority to execute
                  and deliver this Agreement and to carry out its terms; the
                  Depositor has full corporate power and authority to sell and
                  assign the property to be sold and assigned to and deposited
                  with the Trust (or with the Eligible Lender Trustee on behalf
                  of the Trust) and the Depositor has duly authorized such sale
                  and assignment and deposit to the Trust (or to the Eligible
                  Lender Trustee on behalf of the Trust) by all necessary
                  corporate action; and the execution, delivery and performance
                  of this Agreement has been duly authorized by the Depositor by
                  all necessary corporate action.

             (c)  This Agreement constitutes a legal, valid and binding
                  obligation of the Depositor enforceable in accordance with its
                  terms, subject to applicable bankruptcy, insolvency,
                  reorganization and similar laws relating to creditors' rights
                  generally and subject to general principles of equity.

                                       3

<PAGE>

             (d)  The consummation of the transactions contemplated by this
                  Agreement and the fulfillment of the terms hereof do not
                  conflict with, result in any breach of any of the terms and
                  provisions of, or constitute (with or without notice or lapse
                  of time or both) a default under, the Certificate of
                  Incorporation or by-laws of the Depositor, or any indenture,
                  agreement or other instrument to which the Depositor is a
                  party or by which it is bound; nor result in the creation or
                  imposition of any Lien upon any of its properties pursuant to
                  the terms of any such indenture, agreement or other instrument
                  (other than pursuant to the Basic Documents); nor violate any
                  law or, to the Depositor's knowledge, any order, rule or
                  regulation applicable to the Depositor of any court or of any
                  Federal or state regulatory body, administrative agency or
                  other governmental instrumentality having jurisdiction over
                  the Depositor or its properties.

             (e)  The Depositor agrees for the benefit of the Noteholders and
                  the holder of the Excess Distribution Certificate that it will
                  comply with each of the requirements set forth in Article IX,
                  X, and XII of its Certificate of Incorporation and with each
                  of the undertakings set forth in Annex I hereto.

         SECTION 2.10  Intentionally Omitted.
                       ---------------------

                                   ARTICLE III

                            Beneficial Ownership and
                            ------------------------
                         Excess Distribution Certificate
                         -------------------------------

         SECTION 3.1 Initial Beneficial Ownership. Upon the formation of the
                     ----------------------------
Trust by the contribution by the Depositor pursuant to Section 2.5 and until the
issuance of the Excess Distribution Certificate, the Depositor shall be the sole
beneficial owner of the Trust.

         SECTION 3.2 Intentionally Omitted.
                     ---------------------

         SECTION 3.3 Intentionally Omitted.
                     ---------------------

         SECTION 3.4 Intentionally Omitted.
                     ---------------------

         SECTION 3.5 Intentionally Omitted.
                     ---------------------

         SECTION 3.6 Intentionally Omitted.
                     ---------------------

         SECTION 3.7 Intentionally Omitted.
                     ---------------------

         SECTION 3.8 Corporate Trust Office. The Eligible Lender Trustee
                     ----------------------
initially designates Christiana Center/OPS4, 500 Stanton Christiana Road,
Newark, Delaware 19713, as its principal Corporate Trust Office, at which it
shall act as Trustee of the Trust. The Eligible Lender

                                       4

<PAGE>

Trustee's New York office and its authenticating agent's office are located at
450 West 33rd Street, 15th Floor, New York, New York 10001, Attention:
Structured Finance Services.

         SECTION 3.9   Intentionally Omitted.
                       ---------------------

         SECTION 3.10  Intentionally Omitted.
                       ---------------------

         SECTION 3.11  Intentionally Omitted.
                       ---------------------

         SECTION 3.12  Intentionally Omitted.
                       ---------------------

         SECTION 3.13  The Excess Distribution Certificate.
                       -----------------------------------

         (a) General. The Excess Distribution Certificate shall be issued
             -------
without denomination. The Excess Distribution Certificate shall receive payments
as provided in Sections 2.8.1C.1(F)(ii) and 2.8.2B.2 of the Administration
Agreement. The Excess Distribution Certificate shall be executed on behalf of
the Trust by manual or facsimile signature of an authorized officer of the
Eligible Lender Trustee. An Excess Distribution Certificate bearing the manual
or facsimile signatures of individuals who were, at the time when such
signatures were affixed, authorized to sign on behalf of the Trust, shall be
valid and binding obligations of the Trust, notwithstanding that such
individuals or any of them shall have ceased to be so authorized prior to the
authentication and delivery of such Excess Distribution Certificate or did not
hold such offices at the date of authentication and delivery of such Excess
Distribution Certificate.

         (b) Authentication. Concurrently with the sale of the Trust Student
             --------------
Loans to the Trust pursuant to the Purchase Agreement, the Eligible Lender
Trustee shall cause the Excess Distribution Certificate to be executed on behalf
of the Trust, authenticated and delivered to or upon the written order of the
Depositor, signed by its chairman of the board, its president or any vice
president, without further action by the Depositor. No Excess Distribution
Certificate shall entitle its holder to any benefit under this Agreement, or
shall be valid for any purpose, unless there shall appear on such Excess
Distribution Certificate a certificate of authentication substantially in the
form set forth in Exhibit C, executed by the Eligible Lender Trustee or JPMorgan
Chase Bank, as the Eligible Lender Trustee's authenticating agent, by manual
signature; such authentication shall constitute conclusive evidence that such
Excess Distribution Certificate shall have been duly authenticated and delivered
hereunder. The Excess Distribution Certificate shall be dated the date of its
authentication. No further Excess Distribution Certificates shall be issued
except pursuant to paragraph (c) or (d) below.

         (c) Registration of Transfer and Exchange. The Excess Distribution
             -------------------------------------
Certificate Registrar shall keep or cause to be kept, at the office or agency
maintained pursuant to paragraph (f) below, an Excess Distribution Certificate
Register in which, subject to such reasonable regulations as it may prescribe,
the Eligible Lender Trustee shall provide for the registration of the Excess
Distribution Certificate and of transfers and exchanges of the Excess
Distribution Certificate as herein provided. Chase Manhattan Bank USA, National
Association shall be the initial Excess Distribution Certificate Registrar.

                                       5

<PAGE>

         Upon surrender for registration of transfer of the Excess Distribution
Certificate at the office or agency maintained pursuant to paragraph (f) below,
the Eligible Lender Trustee shall execute, authenticate and deliver (or shall
cause JPMorgan Bank as its authenticating agent to authenticate and deliver), in
the name of the designated transferee, a new Excess Distribution Certificate
dated the date of authentication by the Eligible Lender Trustee or any
authenticating agent. At the option of the holder of the Excess Distribution
Certificate, the Excess Distribution Certificate may be exchanged for another
Excess Distribution Certificate upon surrender of the Excess Distribution
Certificate to be exchanged at the office or agency maintained pursuant to
paragraph (f) below.

         An Excess Distribution Certificate presented or surrendered for
registration of transfer or exchange shall be accompanied by a written
instrument of transfer in form satisfactory to the Eligible Lender Trustee and
the Excess Distribution Certificate Registrar duly executed by the holder
thereof or his attorney duly authorized in writing, with such signature
guaranteed by a member firm of the New York Stock Exchange or a commercial bank
or trust company. An Excess Distribution Certificate surrendered for
registration of transfer or exchange shall be cancelled and subsequently
disposed of by the Eligible Lender Trustee in accordance with its customary
practice.

         No service charge shall be made for any registration of transfer or
exchange of the Excess Distribution Certificate, but the Eligible Lender Trustee
or the Excess Distribution Certificate Registrar may require payment of a sum
sufficient to cover any tax or governmental charge that may be imposed in
connection with any transfer or exchange of the Excess Distribution Certificate.

         The preceding provisions of this Section notwithstanding, the Eligible
Lender Trustee shall not be required to make and the Excess Distribution
Certificate Registrar need not register transfers or exchanges of the Excess
Distribution Certificate for a period of 15 days preceding any Distribution Date
with respect to the Excess Distribution Certificate.

         The Excess Distribution Certificate and any beneficial interest in the
Excess Distribution Certificate may not be acquired by (a) employee benefit
plans (as defined in section 3(3) of ERISA) that are subject to the provisions
of Title I of ERISA, (b) plans described in section 4975(e)(1) of the Code,
including individual retirement accounts described in Section 408(a) of the Code
or Keogh plans, or (c) Benefit Plans. By accepting and holding the Excess
Distribution Certificate or an interest therein, the holder thereof shall be
deemed to have represented and warranted that it is not a Benefit Plan, is not
purchasing the Excess Distribution Certificate on behalf of a Benefit Plan and
is not using assets of a Plan to purchase the Excess Distribution Certificate
and to have agreed that if the Excess Distribution Certificate is deemed to be a
plan asset, the holder thereof will promptly dispose of the Excess Distribution
Certificate.

         (d) Mutilated, Destroyed, Lost or Stolen Excess Distribution
             --------------------------------------------------------
Certificate. If (1) the mutilated Excess Distribution Certificate shall be
-----------
surrendered to the Excess Distribution Certificate Registrar, or if the Excess
Distribution Certificate Registrar shall receive evidence to its

                                       6

<PAGE>

satisfaction of the destruction, loss or theft of the Excess Distribution
Certificate, and (2) there shall be delivered to the Excess Distribution
Certificate Registrar and the Eligible Lender Trustee such security or indemnity
as may be required by them to save each of them and the Trust harmless, then in
the absence of notice that such Excess Distribution Certificate shall have been
acquired by a bona fide purchaser, the Eligible Lender Trustee on behalf of the
Trust shall execute and the Eligible Lender Trustee shall authenticate and
deliver, in exchange for or in lieu of any such mutilated, destroyed, lost or
stolen Excess Distribution Certificate, a new Excess Distribution Certificate of
like tenor. In connection with the issuance of any new Excess Distribution
Certificate under this Section, the Eligible Lender Trustee and the Excess
Distribution Certificate Registrar may require the payment of a sum sufficient
to cover any tax or other governmental charge that may be imposed in connection
therewith. Any duplicate Excess Distribution Certificate issued pursuant to this
paragraph shall constitute conclusive evidence of ownership in the Trust, as if
originally issued, whether or not the lost, stolen or destroyed Excess
Distribution Certificate shall be found at any time.

         (e) Persons Deemed Owners. Prior to due presentation of the Excess
             ---------------------
Distribution Certificate for registration of transfer, the Eligible Lender
Trustee and the Excess Distribution Certificate Registrar and any agent of
either of them may treat the Person in whose name the Excess Distribution
Certificate shall be registered in the Excess Distribution Certificate Register
as the owner of such Excess Distribution Certificate for the purpose of
receiving distributions thereon and for all other purposes whatsoever, and
neither the Eligible Lender Trustee, the Excess Distribution Certificate
Registrar nor any agent thereof shall be bound by any notice to the contrary.

         (f) Maintenance of Office or Agency. The Eligible Lender Trustee shall
             -------------------------------
maintain in the Borough of Manhattan, The City of New York, an office or offices
or agency or agencies where the Excess Distribution Certificate may be
surrendered for registration of transfer or exchange and where notices and
demands to or upon the Eligible Lender Trustee in respect of the Excess
Distribution Certificate may be served.

         (g) Appointment of Excess Distribution Certificate Paying Agent. The
             -----------------------------------------------------------
Excess Distribution Certificate Paying Agent shall make distributions to the
holder of the Excess Distribution Certificate from the amounts received from the
Indenture Trustee pursuant to Sections 2.8.1C.1F(ii) and 2.8.2B.2 of the
Administration Agreement and shall report the amounts of such distributions to
the Eligible Lender Trustee. Any Excess Distribution Certificate Paying Agent
shall have the revocable power to receive such funds from the Indenture Trustee
for the purpose of making the distributions referred to above. The Eligible
Lender Trustee may revoke such power and remove the Excess Distribution
Certificate Paying Agent if the Eligible Lender Trustee determines in its sole
discretion that the Excess Distribution Certificate Paying Agent shall have
failed to perform its obligations under this Agreement in any material respect.
The Excess Distribution Certificate Paying Agent shall initially be the Eligible
Lender Trustee, and any co-paying agent chosen by the Eligible Lender Trustee
and consented to by the Administrator (which consent shall not be unreasonably
withheld). The co-paying agent shall initially be the Indenture Trustee. The
Eligible Lender Trustee shall be permitted to resign as Excess Distribution
Certificate Paying Agent upon 30 days' written notice to the Eligible

                                       7

<PAGE>

Lender Trustee. In the event that the Eligible Lender Trustee shall no longer be
the Excess Distribution Certificate Paying Agent, the Eligible Lender Trustee
shall appoint a successor to act as Excess Distribution Certificate Paying Agent
(which shall be a bank or trust company). The Eligible Lender Trustee shall
cause such successor Excess Distribution Certificate Paying Agent or any
additional Excess Distribution Certificate Paying Agent appointed by the
Eligible Lender Trustee to execute and deliver to the Eligible Lender Trustee an
instrument in which such successor Excess Distribution Certificate Paying Agent
or additional Excess Distribution Certificate Paying Agent shall agree with the
Eligible Lender Trustee that as Excess Distribution Certificate Paying Agent,
such successor Excess Distribution Certificate Paying Agent or additional Excess
Distribution Certificate Paying Agent will hold all sums, if any, held by it for
payment to the holder of the Excess Distribution Certificate in trust for the
benefit of such holder until such sums shall be paid to such holder. The Excess
Distribution Certificate Paying Agent shall return all unclaimed funds to the
Eligible Lender Trustee and upon removal of an Excess Distribution Certificate
Paying Agent such Excess Distribution Certificate Paying Agent shall also return
all funds in its possession to the Eligible Lender Trustee. The provisions of
Sections 7.1, 7.3, 7.4, 7.5 and 8.1 shall apply to the Eligible Lender Trustee
also in its role as Excess Distribution Certificate Paying Agent, for so long as
the Eligible Lender Trustee shall act as Certificate Paying Agent and, to the
extent applicable, to any other paying agent appointed hereunder. Any reference
in this Agreement to the Excess Distribution Certificate Paying Agent shall
include any co-paying agent unless the context requires otherwise.

                                   ARTICLE IV

                       Actions by Eligible Lender Trustee
                       ----------------------------------

         SECTION 4.1 Prior Notice to the Holder of the Excess Distribution
                     -----------------------------------------------------
Certificate With Respect to Certain Matters. With respect to the following
-------------------------------------------
matters, the Eligible Lender Trustee shall not take action unless at least 30
days before the taking of such action, the Eligible Lender Trustee shall have
notified the holder of the Excess Distribution Certificate and each of the
Rating Agencies in writing of the proposed action and the holder shall not have
notified the Eligible Lender Trustee in writing prior to the 30th day after such
notice is given that it has withheld consent or provided alternative direction:

         (a)   the initiation of any material claim or lawsuit by the Trust
               (except claims or lawsuits brought in connection with the
               collection of the Trust Student Loans) and the compromise of any
               material action, claim or lawsuit brought by or against the Trust
               (except with respect to the aforementioned claims or lawsuits for
               collection of Trust Student Loans);

         (b)   the amendment of the Indenture by a supplemental indenture in
               circumstances where the consent of any class of Noteholders is
               required;

         (c)   the amendment of the Indenture by a supplemental indenture in
               circumstances where the consent of any class of Noteholder is not
               required and such amendment

                                       8

<PAGE>

               materially adversely affects the interest of the holder of the
               Excess Distribution Certificate; or

         (d)   the amendment of the Swap Agreement in circumstances where the
               consent of any class of Noteholders is required or in
               circumstances where the consent of Noteholders is not required
               but where such amendment materially adversely affects the
               interest of the holder of the Excess Distribution Certificate.

         SECTION 4.2 Action with Respect to Sale of the Trust Student Loans. The
                     ------------------------------------------------------
Eligible Lender Trustee shall not have the power, except upon the written
direction of the Depositor and except as expressly provided in the Basic
Documents, to sell the Trust Student Loans after the payment in full of the
Notes.

         SECTION 4.3 Action with Respect to Bankruptcy. The Eligible Lender
                     ---------------------------------
Trustee shall not have the power to commence a voluntary proceeding in
bankruptcy relating to the Trust without the prior approval of the Depositor and
the delivery to the Eligible Lender Trustee by the Depositor of a certificate
certifying that the Depositor reasonably believes that the Trust is insolvent.

         SECTION 4.4 Restrictions. Neither the Depositor nor the holder of the
                     ------------
Excess Distribution Certificate shall direct the Eligible Lender Trustee to take
or refrain from taking any action if such action or inaction would be contrary
to any obligation of the Trust or the Eligible Lender Trustee under this
Agreement or any of the other Basic Documents or would be contrary to Section
2.3 nor shall the Eligible Lender Trustee be permitted to follow any such
direction, if given.

         SECTION 4.5 Intentionally Omitted.
                     ---------------------

                                    ARTICLE V

                   Application of Trust Funds; Certain Duties
                   ------------------------------------------

         SECTION 5.1 Application of Trust Funds.
                     --------------------------

         (a)  On each Distribution Date, the Eligible Lender Trustee shall
              distribute to the holder of the Excess Distribution Certificate
              any amounts payable in respect of the Excess Distribution
              Certificate in accordance with the Administrative Agreement.

         (b)  In the event that any withholding tax is imposed on the Trust's
              payment to the holder of the Excess Distribution Certificate, such
              tax shall reduce the amount otherwise distributable on the Excess
              Distribution Certificate.

         SECTION 5.2 Method of Payment. Subject to Section 9.1(c), distributions
                     -----------------
required to be made to the holder of the Excess Distribution Certificate on any
Distribution Date shall be

                                       9

<PAGE>

made to the holder of record on the preceding Record Date either by wire
transfer, in immediately available funds, to the account of such holder at a
bank or other entity having appropriate facilities therefor, if such holder
shall have provided to the Excess Distribution Certificate Registrar appropriate
written instructions signed by two authorized officers, if any, at least five
Business Days prior to such Distribution Date, or, if not, by check mailed to
such holder at the address of such holder appearing in the Excess Distribution
Certificate Register.

         SECTION 5.3 No Segregation of Moneys; No Interest. Subject to Section
                     -------------------------------------
5.1, moneys received by the Eligible Lender Trustee hereunder need not be
segregated in any manner except to the extent required by law or the
Administration Agreement and may be deposited under such general conditions as
may be prescribed by law, and the Eligible Lender Trustee shall not be liable
for any interest thereon.

         SECTION 5.4 Reports to the Holder of the Excess Distribution
                     ------------------------------------------------
Certificate, the Internal Revenue Service and Others. The Eligible Lender
----------------------------------------------------
Trustee shall provide (or cause to be provided) any reports or other information
required to be provided to the holder of the Excess Distribution Certificate
pursuant to the Code, the regulations promulgated thereunder or other applicable
law. In addition, the Eligible Lender Trustee shall provide (or cause to be
provided) any information concerning the Excess Distribution Certificate to the
Internal Revenue Service or other taxing authority as required under the Code,
the regulations promulgated thereunder or other applicable law. The Eligible
Lender Trustee shall be entitled to hire an independent accounting firm to
perform the functions described in this Section 5.4, the reasonable fees and
expenses of which shall be paid by the Depositor.

         SECTION 5.5 Intentionally Omitted.
                     ---------------------

         SECTION 5.6 Intentionally Omitted.
                     ---------------------

                                       10

<PAGE>

                                   ARTICLE VI

                 Authority and Duties of Eligible Lender Trustee
                 -----------------------------------------------

         SECTION 6.1 General Authority. The Eligible Lender Trustee is
                     -----------------
authorized and directed to execute and deliver the Basic Documents to which the
Trust is to be a party and each certificate or other document attached as an
exhibit to or contemplated by the Basic Documents to which the Trust is to be a
party, in each case, in such form as the Depositor shall approve as evidenced
conclusively by the Eligible Lender Trustee's execution thereof, and, on behalf
of the Trust, to direct the Indenture Trustee to authenticate and deliver Notes
in the aggregate principal amount of $2,046,314,000. The Eligible Lender Trustee
is also authorized and directed on behalf of the Trust (i) to acquire and hold
legal title to the Trust Student Loans from the Depositor and (ii) to take all
actions required pursuant to Section 3.2C of the Administration Agreement and
otherwise follow the direction of and cooperate with the Servicer in submitting,
pursuing and collecting any claims to and with the Department with respect to
any Interest Subsidy Payments and Special Allowance Payments relating to the
Trust Student Loans.

         In addition to the foregoing, the Eligible Lender Trustee is authorized
to take all actions required of the Trust pursuant to the Basic Documents. The
Eligible Lender Trustee is further authorized from time to time to take such
action as the Administrator directs or instructs with respect to the Basic
Documents and is directed to take such action to the extent that the
Administrator is expressly required pursuant to the Basic Documents to cause the
Eligible Lender Trustee to act.

         SECTION 6.2 General Duties. It shall be the duty of the Eligible Lender
                     --------------
Trustee to discharge (or cause to be discharged) all its responsibilities
pursuant to the terms of this Agreement, the other Basic Documents to which the
Trust is a party and to administer the Trust in the interest of the Noteholders
and the holder of the Excess Distribution Certificate subject to and in
accordance with the provisions of this Agreement and the other Basic Documents.
Without limiting the foregoing, the Eligible Lender Trustee shall on behalf of
the Trust file and prove any claim or claims that may exist on behalf of the
Trust against the Depositor in connection with any claims paying procedure as
part of an insolvency or a receivership proceeding involving the Depositor.
Notwithstanding the foregoing, the Eligible Lender Trustee shall be deemed to
have discharged its duties and responsibilities hereunder and under the other
Basic Documents to the extent the Administrator has agreed in the Administration
Agreement to perform and act or to discharge any duty of the Eligible Lender
Trustee hereunder or under any other Basic Document, and the Eligible Lender
Trustee shall not be held liable for the default or failure of the Administrator
to carry out its obligations under the Administration Agreement. Except as
expressly provided in the Basic Documents, the Eligible Lender Trustee shall
have no obligation to administer, service or collect the Trust Student Loans or
to maintain, monitor or otherwise supervise the administration, servicing or
collection of the Trust Student Loans.

                                       11

<PAGE>

         SECTION 6.3 Action upon Instruction.
                     -----------------------

         (a)  [Reserved]

         (b)  The Eligible Lender Trustee shall not be required to take any
              action hereunder or under any other Basic Document if the Eligible
              Lender Trustee shall have reasonably determined, or shall have
              been advised by counsel, that such action is likely to result in
              liability on the part of the Eligible Lender Trustee or is
              contrary to the terms hereof, any other Basic Document or is
              otherwise contrary to law.

         (c)  Whenever the Eligible Lender Trustee is unable to determine the
              appropriate course of action between alternative courses and
              actions permitted or required by the terms of this Agreement or
              under any other Basic Document, the Eligible Lender Trustee shall
              promptly give notice (in such form as shall be appropriate under
              the circumstances) to the Depositor requiring instruction as to
              the course of action to be adopted, and to the extent the Eligible
              Lender Trustee acts in good faith in accordance with any written
              instruction of the Depositor received, the Eligible Lender Trustee
              shall not be liable on account of such action to any Person. If
              the Eligible Lender Trustee shall not have received appropriate
              instruction within 10 days of such notice (or within such shorter
              period of time as reasonably may be specified in such notice or
              may be necessary under the circumstances) it may, but shall be
              under no duty to, take or refrain from taking such action, not
              inconsistent with this Agreement, the other Basic Documents, as it
              shall deem to be in the best interests of the Depositor, and shall
              have no liability to any Person for such action or inaction.

         (d)  In the event that the Eligible Lender Trustee is unsure as to the
              application of any provision of this Agreement, any other Basic
              Document or any such provision is ambiguous as to its application,
              or is, or appears to be, in conflict with any other applicable
              provision, or in the event that this Agreement permits any
              determination by the Eligible Lender Trustee or is silent or is
              incomplete as to the course of action that the Eligible Lender
              Trustee is required to take with respect to a particular set of
              facts, the Eligible Lender Trustee may give notice (in such form
              as shall be appropriate under the circumstances) to the Depositor
              requesting instruction and, to the extent that the Eligible Lender
              Trustee acts or refrains from acting in good faith in accordance
              with any such instruction received, the Eligible Lender Trustee
              shall not be liable, on account of such action or inaction, to any
              Person. If the Eligible Lender Trustee shall not have received
              appropriate instruction within 10 days of such notice (or within
              such shorter period of time as reasonably may be specified in such
              notice or may be necessary under the circumstances) it may, but
              shall be under no duty to, take or refrain from taking such
              action, not inconsistent with this Agreement or the other Basic
              Documents, as it shall deem to be in the best interest of the
              holder of the Excess Distribution Certificate, and shall have no
              liability to any Person for such action or inaction.

                                       12

<PAGE>

         SECTION 6.4 No Duties Except as Specified in this Agreement or in
                     -----------------------------------------------------
Instructions. The Eligible Lender Trustee shall not have any duty or obligation
------------
to manage, make any payment with respect to, register, record, sell, service,
dispose of or otherwise deal with the Trust Estate, or to otherwise take or
refrain from taking any action under, or in connection with, any document
contemplated hereby to which the Eligible Lender Trustee is a party, except as
expressly provided by the terms of this Agreement or in any document or written
instruction received by the Eligible Lender Trustee pursuant to Section 6.3; and
no implied duties or obligations shall be read into this Agreement or any other
Basic Document against the Eligible Lender Trustee. The Eligible Lender Trustee
shall have no responsibility for filing any financing or continuation statement
in any public office at any time or to otherwise perfect or maintain the
perfection of any security interest or lien granted to it hereunder or to
prepare or file any Commission filing for the Trust or to record this Agreement
or any other Basic Document. The Eligible Lender Trustee nevertheless agrees
that it will, at its own cost and expense, promptly take all action as may be
necessary to discharge any Liens on any part of the Trust Estate that result
from actions by, or claims against, Chase Manhattan Bank USA, National
Association in its individual capacity or as the Eligible Lender Trustee that
are not related to the ownership or the administration of the Trust Estate.

         SECTION 6.5 No Action Except Under Specified Documents or Instructions.
                     ----------------------------------------------------------
The Eligible Lender Trustee shall not otherwise deal with any part of the Trust
Estate except (i) in accordance with the powers granted to and the authority
conferred upon the Eligible Lender Trustee pursuant to this Agreement, (ii) in
accordance with the other Basic Documents to which it is a party and (iii) in
accordance with any document or instruction delivered to the Eligible Lender
Trustee pursuant to Section 6.3.

         SECTION 6.6 Restrictions. The Eligible Lender Trustee shall not take
                     ------------
any action (a) that is inconsistent with the purposes of the Trust set forth in
Section 2.3 or (b) that, to the actual knowledge of the Eligible Lender Trustee,
would result in the Trust's becoming taxable as a corporation for Federal income
tax purposes. Neither the Depositor nor the holder of the Excess Distribution
Certificate shall direct the Eligible Lender Trustee to take action that would
violate the provisions of this Section.

                                   ARTICLE VII

                     Concerning the Eligible Lender Trustee
                     --------------------------------------

         SECTION 7.1 Acceptance of Trusts and Duties. The Eligible Lender
                     -------------------------------
Trustee accepts the trusts hereby created and agrees to perform its duties
hereunder with respect to such trusts but only upon the terms of this Agreement.
The Eligible Lender Trustee also agrees to disburse all moneys actually received
by it constituting part of the Trust Estate upon the terms of this Agreement and
the other Basic Documents. The Eligible Lender Trustee shall not be answerable
or accountable hereunder or under any other Basic Document under any
circumstances, except (i)

                                       13

<PAGE>

for its own willful misconduct or negligence or (ii) in the case of the
inaccuracy of any representation or warranty contained in Section 7.3 expressly
made by the Eligible Lender Trustee. In particular, but not by way of limitation
(and subject to the exceptions set forth in the preceding sentence):

         (a)   the Eligible Lender Trustee shall not be liable for any error
               of judgment made by a responsible officer of the Eligible Lender
               Trustee;

         (b)   the Eligible Lender Trustee shall not be liable with respect to
               any action taken or omitted to be taken by it in accordance with
               the direction or instructions of the Administrator, the Depositor
               or the holder of the Excess Distribution Certificate;

         (c)   no provision of this Agreement or any other Basic Document shall
               require the Eligible Lender Trustee to expend or risk funds or
               otherwise incur any financial liability in the performance of any
               of its rights or powers hereunder or under any other Basic
               Document, if the Eligible Lender Trustee shall have reasonable
               grounds for believing that repayment of such funds or adequate
               indemnity against such risk or liability is not reasonably
               assured or provided to it;

         (d)   under no circumstances shall the Eligible Lender Trustee be
               liable for indebtedness evidenced by or arising under any of the
               Basic Documents, including the principal of and interest on the
               Notes;

         (e)   the Eligible Lender Trustee shall not be responsible for or in
               respect of the validity or sufficiency of this Agreement or for
               the due execution hereof by the Depositor or for the form,
               character, genuineness, sufficiency, value or validity of any of
               the Trust Estate or for or in respect of the validity or
               sufficiency of the Basic Documents, other than the certificate of
               authentication on the Excess Distribution Certificate, and the
               Eligible Lender Trustee shall in no event assume or incur any
               liability, duty, or obligation to any Noteholder or the holder of
               the Excess Distribution Certificate, other than as expressly
               provided for herein and in the other Basic Documents;

         (f)   the Eligible Lender Trustee shall not be liable for the action
               or inaction, default or misconduct of the Administrator, the
               Depositor, the Indenture Trustee, the Servicer or Swap
               Counterparty under any of the other Basic Documents or otherwise
               and the Eligible Lender Trustee shall have no obligation or
               liability to perform the obligations of the Trust under this
               Agreement or the other Basic Documents that are required to be
               performed by the Administrator under the Administration
               Agreement, the Indenture Trustee under the Indenture, the
               Servicer under the Servicing Agreement or the Swap Counterparty
               under the Swap Agreement; and

         (g)   the Eligible Lender Trustee shall be under no obligation to
               exercise any of the rights or powers vested in it by this
               Agreement, or to institute, conduct or defend

                                       14

<PAGE>

                  any litigation under this Agreement or otherwise or in
                  relation to this Agreement, any other Basic Document, at the
                  request, order or direction of the Depositor or holder of the
                  Excess Distribution Certificate, unless the Depositor or such
                  holder has offered to the Eligible Lender Trustee security or
                  indemnity satisfactory to it against the costs, expenses and
                  liabilities that may be incurred by the Eligible Lender
                  Trustee therein or thereby. The right of the Eligible Lender
                  Trustee to perform any discretionary act enumerated in this
                  Agreement or in any other Basic Document shall not be
                  construed as a duty, and the Eligible Lender Trustee shall not
                  be answerable for other than its negligence or willful
                  misconduct in the performance of any such act.

         SECTION 7.2 Intentionally Omitted.
                     ---------------------

         SECTION 7.3 Representations and Warranties. The Eligible Lender Trustee
                     ------------------------------
hereby represents and warrants to the Depositor, for the benefit of the
Noteholders and the holder of the Excess Distribution Certificate, that:

         (a)      It is duly organized and validly existing in good standing
                  under the laws of its governing jurisdiction and has an office
                  located within the State of Delaware. It has all requisite
                  corporate power and authority to execute, deliver and perform
                  its obligations under this Agreement.

         (b)      It has taken all corporate action necessary to authorize the
                  execution and delivery by it of this Agreement, and this
                  Agreement will be executed and delivered by one of its
                  officers who is duly authorized to execute and deliver this
                  Agreement on its behalf.

         (c)      Neither the execution nor the delivery by it of this
                  Agreement, nor the consummation by it of the transactions
                  contemplated hereby nor compliance by it with any of the terms
                  or provisions hereof will contravene any Federal or Delaware
                  state law, governmental rule or regulation governing the
                  banking or trust powers of the Eligible Lender Trustee or any
                  judgment or order binding on it, or constitute any default
                  under its charter documents or by-laws or any indenture,
                  mortgage, contract, agreement or instrument to which it is a
                  party or by which any of its properties may be bound.

         (d)      It is and will maintain its status as an "eligible lender" (as
                  such term is defined in Section 435(d) of the Higher Education
                  Act) for purposes of holding legal title to the Trust Student
                  Loans as contemplated by this Agreement and the other Basic
                  Documents, it has a lender identification number with respect
                  to the Trust Student Loans from the Department and has and
                  will maintain in effect a Guarantee Agreement with each of the
                  Guarantors with respect to the Trust Student Loans.

         SECTION 7.4 Reliance; Advice of Counsel.
                     ---------------------------

                                       15

<PAGE>

         (a)      The Eligible Lender Trustee shall incur no liability to anyone
                  in acting upon any signature, instrument, direction, notice,
                  resolution, request, consent, order, certificate, report,
                  opinion, bond or other document or paper believed by it to be
                  genuine and believed by it to be signed by the proper party or
                  parties. The Eligible Lender Trustee may accept a certified
                  copy of a resolution of the board of directors or other
                  governing body of any corporate party as conclusive evidence
                  that such resolution has been duly adopted by such body and
                  that the same is in full force and effect. As to any fact or
                  matter the method of the determination of which is not
                  specifically prescribed herein, the Eligible Lender Trustee
                  may for all purposes hereof rely on a certificate, signed by
                  the president or any vice president or by the treasurer or
                  other authorized officers of the relevant party, as to such
                  fact or matter and such certificate shall constitute full
                  protection to the Eligible Lender Trustee for any action taken
                  or omitted to be taken by it in good faith in reliance
                  thereon.

         (b)      In the exercise or administration of the trusts hereunder and
                  in the performance of its duties and obligations under this
                  Agreement or the other Basic Documents, the Eligible Lender
                  Trustee (i) may act directly or through its agents or
                  attorneys pursuant to agreements entered into with any of them
                  and the Eligible Lender Trustee shall not be liable for the
                  conduct or misconduct of such agents or attorneys if such
                  agents or attorneys shall have been selected by the Eligible
                  Lender Trustee with reasonable care, and (ii) may consult with
                  counsel and accountants to be selected with reasonable care
                  and employed by it. The Eligible Lender Trustee shall not be
                  liable for anything done, suffered or omitted in good faith by
                  it in accordance with the written opinion or advice of any
                  such counsel or accountants and not contrary to this Agreement
                  or any other Basic Document.

         SECTION 7.5 Not Acting in Individual Capacity. Except as provided in
                     ---------------------------------
this Article VII, in accepting the trusts hereby created Chase Manhattan Bank
USA, National Association acts solely as Eligible Lender Trustee hereunder and
not in its individual capacity and all Persons having any claim against the
Eligible Lender Trustee by reason of the transactions contemplated by this
Agreement or any other Basic Document shall look only to the Trust Estate for
payment or satisfaction thereof.

         SECTION 7.6 Eligible Lender Trustee Not Liable for Excess Distribution
                     ----------------------------------------------------------
Certificates or Trust Student Loans. The recitals contained herein and in the
-----------------------------------
Excess Distribution Certificate (other than the signature of and authentication
by the Eligible Lender Trustee on the Excess Distribution Certificate) shall be
taken as the statements of the Depositor and the Eligible Lender Trustee assumes
no responsibility for the correctness thereof. The Eligible Lender Trustee makes
no representations as to the validity or sufficiency of this Agreement, the
Excess Distribution Certificate, or any other Basic Document (other than the
signature of and authentication by the Eligible Lender Trustee on the Excess
Distribution Certificate), or the Notes, or of any Trust Student Loan or related
documents. The Eligible Lender Trustee shall at no time have any responsibility
(or liability except for willfully or negligently terminating or allowing to be
terminated any of the Guarantee Agreements, in a case where the Eligible Lender
Trustee knows

                                       16

<PAGE>

of any facts or circumstances which will or could reasonably be expected to
result in any such termination) for or with respect to the legality, validity,
enforceability and eligibility for Guarantee Payments, federal reinsurance,
Interest Subsidy Payments or Special Allowance Payments, as applicable, in
respect of any Trust Student Loan, or for or with respect to the sufficiency of
the Trust Estate or its ability to generate the payments to be distributed to
the holder of the Excess Distribution Certificate under this Agreement or the
Noteholders under the Indenture, including the existence and contents of any
computer or other record of any Trust Student Loan; the validity of the
assignment of any Trust Student Loan to the Eligible Lender Trustee on behalf of
the Trust; the completeness of any Trust Student Loan; the performance or
enforcement (except as expressly set forth in any Basic Document) of any Trust
Student Loan; the compliance by the Depositor or the Servicer with any warranty
or representation made under any Basic Document or in any related document or
the accuracy of any such warranty or representation or any action or inaction of
the Administrator, the Indenture Trustee or the Servicer or any subservicer
taken in the name of the Eligible Lender Trustee.

         SECTION 7.7 Eligible Lender Trustee May Own Notes. The Eligible Lender
                     -------------------------------------
Trustee in its individual or any other capacity may become the owner or pledgee
of Notes and may deal with the Depositor, the Administrator, the Indenture
Trustee, the Servicer or the Swap Counterparty in banking transactions with the
same rights as it would have if it were not Eligible Lender Trustee.

                                  ARTICLE VIII

              Compensation and Indemnity of Eligible Lender Trustee
              -----------------------------------------------------

         SECTION 8.1 Eligible Lender Trustee's Fees and Expenses. The Eligible
                     -------------------------------------------
Lender Trustee shall receive as compensation for its services hereunder such
fees as have been separately agreed upon before the date hereof between the
Depositor and the Eligible Lender Trustee, and the Eligible Lender Trustee shall
be entitled to be reimbursed by the Depositor, to the extent provided in such
separate agreement, for its other reasonable expenses (including the reasonable
fees and expenses of counsel and independent accountants) hereunder.

         SECTION 8.2 Payments to the Eligible Lender Trustee. Any amounts paid
                     ---------------------------------------
to the Eligible Lender Trustee pursuant to Section 8.1 hereof or pursuant to
Section 9 of the Sale Agreement, Section 4.2 of the Administration Agreement or
Section 4.2 of the Servicing Agreement shall be deemed not to be a part of the
Trust Estate immediately after such payment.

         SECTION 8.3 Indemnity. The Depositor shall cause the Administrator to
                     ---------
indemnify the Eligible Lender Trustee in its individual capacity and any of its
officer, directors, employees and agents as and to the extent provided for in
Section 4.2 of the Administration Agreement.

                                       17

<PAGE>

                                   ARTICLE IX

                         Termination of Trust Agreement
                         ------------------------------

         SECTION 9.1 Termination of Trust Agreement.
                     ------------------------------

         (a)  This Agreement (other than Article VIII) and the Trust shall
              terminate and be of no further force or effect upon the earlier of
              (i) the final distribution by the Eligible Lender Trustee of all
              moneys or other property or proceeds of the Trust Estate in
              accordance with the terms of the Indenture, the Administration
              Agreement and Article V, and (ii) the time provided in Section
              9.2. The bankruptcy, liquidation, dissolution, death or incapacity
              of the holder of the Excess Distribution Certificate, other than
              the Depositor as described in Section 9.2, shall not (x) operate
              to terminate this Agreement or the Trust, nor (y) entitle such
              holder's legal representatives or heirs to claim an accounting or
              to take any action or proceeding in any court for a partition or
              winding up of all or any part of the Trust or Trust Estate nor (z)
              otherwise affect the rights, obligations and liabilities of the
              parties hereto.

         (b)  Except as provided in Section 9.1(a), none of the Depositor, any
              Noteholder or the holder of the Excess Distribution Certificate
              shall be entitled to revoke or terminate the Trust.

         Upon final distribution of any funds remaining in the Trust, the
Eligible Lender Trustee shall file a certificate of cancellation of the Trust's
certificate of trust pursuant to Section 3810(c) of the Delaware Business Trust
Act.

         SECTION 9.2 Dissolution upon Insolvency of the Depositor.
                     --------------------------------------------
Notwithstanding the provisions of Section 3808 of the Delaware Business Trust
Act, in the event that an Insolvency Event shall occur with respect to the
Depositor, (x) the Trust created hereunder shall dissolve and (y) this Agreement
shall be terminated in accordance with Section 9.1 90 days after the date of
such Insolvency Event. Promptly after the occurrence of any Insolvency Event
with respect to the Depositor, (i) the Depositor shall give the Indenture
Trustee, the Eligible Lender Trustee, the Swap Counterparty, and each Rating
Agency written notice of such Insolvency Event, and (ii) the Eligible Lender
Trustee shall, upon the receipt of such written notice from the Depositor, give
prompt written notice to the holder of the Excess Distribution Certificate and
the Indenture Trustee, of the occurrence of such event and of the effect of such
event under this Section 9.2; provided, however, that any failure to give a
                              --------  -------
notice required by this sentence shall not prevent or delay, in any manner, a
termination of the Trust pursuant to the first sentence of this Section 9.2.
Upon a termination of the Trust pursuant to this Section, the Eligible Lender
Trustee shall direct the Indenture Trustee promptly to sell the assets of the
Trust (other than the Trust Accounts) in a commercially reasonable manner and on
commercially reasonable terms. The proceeds of such a sale of the assets of the
Trust shall be treated as collections under the Administration Agreement.

                                       18

<PAGE>

                                    ARTICLE X

                     Successor Eligible Lender Trustees and
                     --------------------------------------
                       Additional Eligible Lender Trustees
                       -----------------------------------

         SECTION 10.1 Eligibility Requirements for Eligible Lender Trustee. The
                      ----------------------------------------------------
Eligible Lender Trustee shall at all times be a corporation or association (i)
qualifying as an "eligible lender" as such term is defined in Section 435(d) of
the Higher Education Act for purposes of holding legal title to the Trust
Student Loans on behalf of the Trust, with a valid lender identification number
with respect to the Trust Student Loans from the Department; (ii) being
authorized to exercise corporate trust powers and hold legal title to the Trust
Student Loans; (iii) having in effect Guarantee Agreements with each of the
Guarantors; (iv) having a combined capital and surplus of at least $50,000,000
and being subject to supervision or examination by Federal or state authorities;
(v) having its principal place of business in the State of Delaware and
otherwise complying with Section 3807 of the Delaware Business Trust Act; and
(vi) having (or having a parent which has) a rating in respect of its long-term
senior unsecured debt of at least BBB- (or the equivalent) by each of the Rating
Agencies (or which, if the long-term senior unsecured debt of such corporation
or association is not rated by any Rating Agency, shall have provided to the
Indenture Trustee written confirmation from such Rating Agency that the
appointment of such corporation or association to serve as Eligible Lender
Trustee will not result in and of itself in a reduction or withdrawal of the
then current rating of any of the Notes). If the Eligible Lender Trustee shall
publish reports of condition at least annually, pursuant to law or to the
requirements of the aforesaid supervising or examining authority, then for the
purpose of this Section, the combined capital and surplus of the Eligible Lender
Trustee shall be deemed to be its combined capital and surplus as set forth in
its most recent report of condition so published. In case at any time the
Eligible Lender Trustee shall cease to be eligible in accordance with the
provisions of this Section, the Eligible Lender Trustee shall resign immediately
in the manner and with the effect specified in Section 10.2.

         SECTION 10.2 Resignation or Removal of Eligible Lender Trustee. The
                      -------------------------------------------------
Eligible Lender Trustee may at any time resign and be discharged from the trusts
hereby created by giving written notice thereof to the Administrator. Upon
receiving such notice of resignation, the Administrator shall promptly appoint a
successor Eligible Lender Trustee meeting the eligibility requirements of
Section 10.1 by written instrument, in duplicate, one copy of which instrument
shall be delivered to the resigning Eligible Lender Trustee and one copy to the
successor Eligible Lender Trustee. If no successor Eligible Lender Trustee shall
have been so appointed and have accepted appointment within 30 days after the
giving of such notice of resignation, the resigning Eligible Lender Trustee may
petition any court of competent jurisdiction for the appointment of a successor
Eligible Lender Trustee; provided, however, that such right to appoint or to
                         --------  -------
petition for the appointment of any such successor shall in no event relieve the
resigning Eligible Lender Trustee from any obligations otherwise imposed on it
under the Basic Documents until such successor has in fact assumed such
appointment.

         If at any time the Eligible Lender Trustee shall cease to be or shall
be likely to cease to be eligible in accordance with the provisions of Section
10.1 and shall fail to resign after written

                                       19

<PAGE>

request therefor by the Administrator, or if at any time an Insolvency Event
with respect to the Eligible Lender Trustee shall have occurred and be
continuing, then the Administrator may remove the Eligible Lender Trustee. If
the Administrator shall remove the Eligible Lender Trustee under the authority
of the immediately preceding sentence, the Administrator shall promptly appoint
a successor Eligible Lender Trustee by written instrument, in duplicate, one
copy of which instrument shall be delivered to the outgoing Eligible Lender
Trustee so removed and one copy to the successor Eligible Lender Trustee and
payment of all fees owed to the outgoing Eligible Lender Trustee.

         Any resignation or removal of the Eligible Lender Trustee and
appointment of a successor Eligible Lender Trustee pursuant to any of the
provisions of this Section shall not become effective until acceptance of
appointment by the successor Eligible Lender Trustee pursuant to Section 10.3,
payment of all fees and expenses owed to the outgoing Eligible Lender Trustee
and the filing of a certificate of amendment to the Trust's certificate of trust
pursuant to Section 3810(b) of the Delaware Business Trust Act. The
Administrator shall provide notice of such resignation or removal of the
Eligible Lender Trustee and to each of the Rating Agencies.

         SECTION 10.3 Successor Eligible Lender Trustee. Any successor Eligible
                      ---------------------------------
Lender Trustee appointed pursuant to Section 10.2 shall execute, acknowledge and
deliver to the Administrator and to its predecessor Eligible Lender Trustee an
instrument accepting such appointment under this Agreement, and thereupon the
resignation or removal of the predecessor Eligible Lender Trustee shall become
effective and such successor Eligible Lender Trustee, without any further act,
deed or conveyance, shall become fully vested with all the rights, powers,
duties and obligations of its predecessor under this Agreement, with like effect
as if originally named as Eligible Lender Trustee. The predecessor Eligible
Lender Trustee shall upon payment of its fees and expenses deliver to the
successor Eligible Lender Trustee all documents, statements, moneys and
properties held by it under this Agreement and shall assign, if permissible, to
the successor Eligible Lender Trustee the lender identification number obtained
from the Department on behalf of the Trust; and the Administrator and the
predecessor Eligible Lender Trustee shall execute and deliver such instruments
and do such other things as may reasonably be required for fully and certainly
vesting and confirming in the successor Eligible Lender Trustee all such rights,
powers, duties and obligations.

         No successor Eligible Lender Trustee shall accept such appointment as
provided in this Section unless at the time of such acceptance such successor
Eligible Lender Trustee shall be eligible pursuant to Section 10.1.

         Upon acceptance of appointment by a successor Eligible Lender Trustee
pursuant to this Section, the Administrator shall mail notice of the successor
of such Eligible Lender Trustee to the holder of the Excess Distribution
Certificate, the Indenture Trustee, the Noteholders, the Rating Agencies and the
Swap Counterparty. If the Administrator shall fail to mail such notice within 10
days after acceptance of appointment by the successor Eligible Lender Trustee,
the successor Eligible Lender Trustee shall cause such notice to be mailed at
the expense of the Administrator.

                                       20

<PAGE>

         SECTION 10.4 Merger or Consolidation of Eligible Lender Trustee. Any
                      --------------------------------------------------
corporation into which the Eligible Lender Trustee may be merged or converted or
with which it may be consolidated, or any corporation resulting from any merger,
conversion or consolidation to which the Eligible Lender Trustee shall be a
party, or any corporation succeeding to all or substantially all the corporate
trust business of the Eligible Lender Trustee, shall, without the execution or
filing of any instrument or any further act on the part of any of the parties
hereto, anything herein to the contrary notwithstanding, be the successor of the
Eligible Lender Trustee hereunder; provided that such corporation shall be
                                   --------
eligible pursuant to Section 10.1; and provided further that the Eligible Lender
                                       -------- -------
Trustee shall mail notice of such merger or consolidation to the Rating Agencies
not less than 15 days prior to the effective date thereof.

         SECTION 10.5 Appointment of Co-Eligible Lender Trustee or Separate
                      -----------------------------------------------------
Eligible Lender Trustee. Notwithstanding any other provisions of this Agreement,
-----------------------
at any time, for the purpose of meeting any legal requirements of any
jurisdiction in which any part of the Trust may at the time be located, the
Administrator and the Eligible Lender Trustee acting jointly shall have the
power and shall execute and deliver all instruments to appoint one or more
Persons approved by the Eligible Lender Trustee, meeting the eligibility
requirements of clauses (i) through (iii) of Section 10.1, to act as co-trustee,
jointly with the Eligible Lender Trustee, or separate trustee or separate
trustees, of all or any part of the Trust Estate, and to vest in such Person, in
such capacity, such title to the Trust Estate, or any part thereof, and, subject
to the other provisions of this Section, such powers, duties, obligations,
rights and trusts as the Administrator and the Eligible Lender Trustee may
consider necessary or desirable. If the Administrator shall not have joined in
such appointment within 15 days after the receipt by it of a request so to do,
the Eligible Lender Trustee alone shall have the power to make such appointment.
No co-trustee or separate trustee under this Agreement shall be required to meet
the terms of eligibility as a successor trustee pursuant to clauses (iv), (v)
and (vi) of Section 10.1 and no notice of the appointment of any co-trustee or
separate trustee shall be required pursuant to Section 10.3.

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

                  (i)  all rights, powers, duties, and obligations conferred or
         imposed upon the Eligible Lender Trustee shall be conferred upon and
         exercised or performed by the Eligible Lender Trustee and such separate
         trustee or co-trustee jointly (it being understood that such separate
         trustee or co-trustee is not authorized to act separately without the
         Eligible Lender Trustee joining in such act), except to the extent that
         under any law of any jurisdiction in which any particular act or acts
         are to be performed, the Eligible Lender Trustee shall be incompetent
         or unqualified to perform such act or acts, in which event such rights,
         powers, duties, and obligations (including the holding of title to the
         Trust or any portion thereof in any such jurisdiction) shall be
         exercised and performed singly by such separate trustee or co-trustee,
         solely at the direction of the Eligible Lender Trustee;

                  (ii) no trustee under this Agreement shall be personally
         liable by reason of any act or omission of any other trustee under this
         Agreement; and

                                       21

<PAGE>

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

         Any notice, request or other writing given to the Eligible Lender
Trustee shall be deemed to have been given to each of the then separate trustees
and co-trustees, as effectively as if given to each of them. Every instrument
appointing any separate trustee or co-trustee shall refer to this Agreement and
the conditions of this Article. Each separate trustee and co-trustee, upon its
acceptance of the trusts conferred, shall be vested with the estates or property
specified in its instrument of appointment, either jointly with the Eligible
Lender Trustee or separately, as may be provided therein, subject to all the
provisions of this Agreement, specifically including every provision of this
Agreement relating to the conduct of, affecting the liability of, or affording
protection to, the Eligible Lender Trustee. Each such instrument shall be filed
with the Eligible Lender Trustee and a copy thereof given to the Administrator.

         Any separate trustee or co-trustee may at any time appoint the Eligible
Lender Trustee as its agent or attorney-in-fact with full power and authority,
to the extent not prohibited by law, to do any lawful act under or in respect of
this Agreement on its behalf and in its name. If any separate trustee or
co-trustee shall die, become incapable of acting, resign or be removed, all its
estates, properties, rights, remedies and trusts shall vest in and be exercised
by the Eligible Lender Trustee, to the extent permitted by law, without the
appointment of a new or successor trustee.

                                   ARTICLE XI

                                  Miscellaneous
                                  -------------

         SECTION 11.1 Supplements and Amendments. This Agreement may be amended
                      --------------------------
by the Depositor and the Eligible Lender Trustee, with prior written notice to
the Rating Agencies, without the consent of any of the Noteholders or the Swap
Counterparty, to cure any ambiguity, 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 or modifying in
any manner the rights of the Noteholders or the Swap Counterparty; provided,
                                                                   --------
however, that such action shall not, as evidenced by an Opinion of Counsel,
-------
adversely affect in any material respect the interests of any Noteholder or the
Swap Counterparty.

This Agreement may also be amended from time to time by the Depositor and the
Eligible Lender Trustee, with prior written notice to the Rating Agencies, with
the consent of (i) the Class A Noteholders evidencing not less than a majority
of the Outstanding Amount of the Class A Notes and (ii) the Class B Noteholders
evidencing not less than a majority of the Class B Notes, for the purpose of
adding any provisions to or changing in any manner or eliminating any of the
provisions of this Agreement or modifying in any manner the rights of the Class
A Noteholders or Class B Noteholders, as the case may be; provided, however,
                                                          --------  -------
that no such amendment shall (a) increase or reduce in any manner the amount of,
or accelerate or delay the timing of, collections

                                       22

<PAGE>

of payments on Trust Student Loans or distributions that shall be required to be
made for the benefit of the Noteholders or (b) reduce the aforesaid percentage
of the Outstanding Amount of any class of Notes required to consent to any such
amendment, without the consent of all the outstanding Noteholders of such class.

         This Agreement may also be amended from time to time by the Depositor
and the Eligible Lender Trustee, with prior written notice to the Rating
Agencies, with the consent of the the Swap Counterparty for the purpose of
adding any provisions to, changing in any manner, or eliminating any of the
provisions of this Agreement or modifying in any manner the rights of the Swap
Counterparty if in the Opinion of Counsel such amendment materially adversely
affects the interests of the Swap Counterparty.

         Promptly after the execution of any such amendment or consent, the
Eligible Lender Trustee shall furnish written notification of the substance of
such amendment or consent to the holder of the Excess Distribution Certificate,
the Indenture Trustee, the Swap Counterparty and each of the Rating Agencies.

         It shall not be necessary for the consent of the Noteholders, the
Indenture Trustee or the Swap Counterparty pursuant to this Section to approve
the particular form of any proposed amendment or consent, but it shall be
sufficient if such consent shall approve the substance thereof. The manner of
obtaining such consents (and any other consents of provided for in this
Agreement or in any other Basic Document) and of evidencing the authorization of
the execution thereof shall be subject to such reasonable requirements as the
Eligible Lender Trustee may prescribe.

         Prior to the execution of any amendment to this Agreement, the Eligible
Lender Trustee shall be entitled to receive and rely upon an Opinion of Counsel
stating that the execution of such amendment is authorized or permitted by this
Agreement. The Eligible Lender Trustee may, but shall not be obligated to, enter
into any such amendment which affects the Eligible Lender Trustee's own rights,
duties or immunities under this Agreement or otherwise.

         SECTION 11.2 No Legal Title to Trust Estate in Holder of the Excess
                      ------------------------------------------------------
Distribution Certificate. The holder of the Excess Distribution Certificate
------------------------
shall not have legal title to any part of the Trust Estate. The holder of the
Excess Distribution Certificate shall be entitled to receive distributions with
respect to its undivided beneficial ownership interest therein only in
accordance with Section 3.13 of this Agreement. No transfer, by operation of law
or otherwise, of any right, title, or interest of the holder of the Excess
Distribution Certificate to and in its beneficial ownership interest in the
Trust Estate shall operate to terminate this Agreement or the trusts hereunder
or entitle any transferee to an accounting or to the transfer to it of legal
title to any part of the Trust Estate.

         SECTION 11.3 Limitations on Rights of Others. Except for Section 2.7,
                      -------------------------------
the provisions of this Agreement are solely for the benefit of the Eligible
Lender Trustee, the Depositor, the holder of the Excess Distribution
Certificate, the Administrator and, to the extent expressly provided herein, the
Indenture Trustee, the Noteholders and the Swap Counterparty, and nothing

                                       23

<PAGE>

in this Agreement (other than Section 2.7), whether express or implied, shall be
construed to give to any other Person any legal or equitable right, remedy or
claim in the Trust Estate or under or in respect of this Agreement or any
covenants, conditions or provisions contained herein.

         SECTION 11.4 Notices. Unless otherwise expressly specified or permitted
                      -------
by the terms hereof, all notices shall be in writing and shall be deemed given
upon receipt by the intended recipient or three Business Days after mailing if
mailed by certified mail, postage prepaid (except that notice to the Eligible
Lender Trustee shall be deemed given only upon actual receipt by the Eligible
Lender Trustee), if to the Eligible Lender Trustee, addressed to its Corporate
Trust Office; if to the Depositor, addressed to SLM Funding Corporation, 304
South Minnesota Street, Suite B, Carson City, Nevada 89703, or, as to each
party, at such other address as shall be designated by such party in a written
notice to each other party.

         SECTION 11.5 Severability. Any provision of this Agreement that is
                      ------------
prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction,
be ineffective to the extent of such prohibition or unenforceability without
invalidating the remaining provisions hereof, and any such prohibition or
unenforceability in any jurisdiction shall not invalidate or render
unenforceable such provision in any other jurisdiction.

         SECTION 11.6 Separate Counterparts. This Agreement may be executed by
                      ---------------------
the parties hereto in separate counterparts, each of which when so executed and
delivered shall be an original, but all such counterparts shall together
constitute but one and the same instrument.

         SECTION 11.7 Successors and Assigns. All covenants and agreements
                      ----------------------
contained herein shall be binding upon to the benefit of, the Depositor and its
successors, the Eligible Lender Trustee and its successors, each holder of the
Excess Distribution Certificate and its successors and permitted assigns, all as
herein provided. Any request, notice, direction, consent, waiver or other
instrument or action by a Noteholder or the holder of the Excess Distribution
Certificate shall bind the successors and assigns of such holder.

         SECTION 11.8 No Petition.
                      -----------

         (a)  The Depositor will not at any time institute against the Trust any
              bankruptcy proceedings under any United States Federal or state
              bankruptcy or similar law in connection with any obligations
              relating to the Excess Distribution Certificate, the Notes, this
              Agreement or any of the other Basic Documents.

         (b)  The Eligible Lender Trustee (not in its individual capacity but
              solely as Eligible Lender Trustee), by entering into this
              Agreement, the holder of the Excess Distribution Certificate by
              accepting the Excess Distribution Certificate, and the Indenture
              Trustee and each Noteholder by accepting the benefits of this
              Agreement, hereby covenant and agree that they will not at any
              time institute against the Depositor or the Trust, or join in any
              institution against the Depositor or the Trust of, any bankruptcy,
              reorganization, arrangement, insolvency, receivership or
              liquidation proceedings, or other proceedings under any United
              States

                                       24

<PAGE>
              Federal or state bankruptcy or similar law in connection with any
              obligations relating to the Notes, this Agreement or any of the
              other Basic Documents.

         SECTION 11.9  No Recourse. Each holder of the Excess Distribution
                       -----------
Certificate by accepting the Excess Distribution Certificate acknowledges that
such holder's certificate represents beneficial interests in the Trust only and
do not represent interests in or obligations of the Depositor, the Servicer, the
Administrator, the Eligible Lender Trustee, the Indenture Trustee, the Swap
Counterparty or any Affiliate thereof or any officer, director or employee of
any thereof and no recourse may be had against such parties or their assets,
except as may be expressly set forth or contemplated in this Agreement, the
Excess Distribution Certificate or the other Basic Documents.

         SECTION 11.10 Headings. The headings of the various Articles and
                       --------
Sections herein are for convenience of reference only and shall not define or
limit any of the terms or provisions hereof.

         SECTION 11.11 Governing Law. This Agreement shall be governed by and
                       -------------
construed in accordance with the laws of the State of Delaware, without
reference to its conflict of law provisions, and the obligations, rights and
remedies of the parties hereunder shall be determined in accordance with such
laws.

                                       25

<PAGE>

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

                                 CHASE MANHATTAN BANK USA, NATIONAL
                                 ASSOCIATION,
                                 not in its individual capacity but solely as
                                 Eligible Lender Trustee,

                                 By  /s/ John J. Cashin
                                     _______________________________
                                     Name:  John J. Cashin
                                     Title: Vice President

                                 SLM FUNDING CORPORATION,
                                 as the Depositor,

                                 By: /s/ Mark L. Heleen
                                     _______________________________
                                     Name:  Mark L. Heleen
                                     Title: Vice President

                                       26

<PAGE>

                                                                       EXHIBIT A
                                                          TO THE TRUST AGREEMENT

                                    RESERVED

                                       1

<PAGE>

                                                                       EXHIBIT B
                                                          TO THE TRUST AGREEMENT

                                    RESERVED

<PAGE>

                                                                       EXHIBIT C
                                                          TO THE TRUST AGREEMENT

                    [FORM OF EXCESS DISTRIBUTION CERTIFICATE]
                      [SEE REVERSE FOR CERTAIN DEFINITIONS]

              THIS EXCESS DISTRIBUTION CERTIFICATE MAY NOT BE ACQUIRED BY OR FOR
          THE ACCOUNT OF A BENEFIT PLAN (AS DEFINED BELOW). THIS CERTIFICATE IS
          NOT GUARANTEED OR INSURED BY ANY GOVERNMENTAL AGENCY.

               SLM STUDENT LOAN TRUST 2002-2EXCESS DISTRIBUTION CERTIFICATE

               evidencing a fractional undivided interest in the Trust, as
               defined below, the property of which includes a pool of student
               loans sold to the Trust by SLM Funding Corporation.

               (This Excess Distribution Certificate does not represent an
               interest in or obligation of SLM Funding Corporation, the
               Servicer (as defined below), the Eligible Lender Trustee (as
               defined below) or any of their respective affiliates, except to
               the extent described below.)

                                       i

<PAGE>

              THIS CERTIFIES THAT SLM Funding Corporation is the registered
         owner of a 100% percentage interest in this Excess Distribution
         Certificate. The SLM Student Loan Trust 2002-2 (the "Trust") was formed
         under the laws of the State of Delaware by SLM Funding Corporation, a
         Delaware corporation (the "Depositor"). The Trust was created pursuant
         to a Trust Agreement dated as of March 1, 2002 (the "Trust Agreement")
         between the Depositor and Chase Manhattan Bank USA, National
         Association, a national banking association, not in its individual
         capacity but solely as eligible lender trustee on behalf of the Trust
         (the "Eligible Lender Trustee"), a summary of certain of the pertinent
         provisions of which is set forth below. To the extent not otherwise
         defined herein, the capitalized terms used herein have the meanings
         assigned to them in Appendix A to the Trust Agreement.

              Issued under the Indenture dated as of March 1, 2002, between the
         Trust and Bankers Trust Company, as Indenture Trustee, are Notes
         designated as "Floating Rate Student Loan-Backed Notes" (the "Notes").
         This Excess Distribution Certificate is issued under and is subject to
         the terms, provisions and conditions of the Trust Agreement, to which
         Trust Agreement the holder of this Excess Distribution Certificate by
         virtue of the acceptance hereof assents and by which such holder is
         bound. The property of the Trust includes a pool of student loans (the
         "Trust Student Loans"), all moneys paid thereunder on or after March
         11, 2002, certain bank accounts and the proceeds thereof and certain
         other rights under the Trust Agreement, the Sale Agreement, the
         Purchase Agreement, the Administration Agreement and the Servicing
         Agreement and all proceeds of the foregoing.

              To the extent of funds available therefor, amounts owing hereon
         will be distributed on the 25th day of each January, April, July and
         October (or, if such 25th day is not a Business Day, the next
         succeeding Business Day) (each a "Distribution Date"), commencing on
         April 25, 2002, to the person in whose name this Excess Distribution
         Certificate is registered as of the close of business on the day
         immediately preceding the Distribution Date (such day the "Record
         Date"), in each case to the extent of such holder's fractional and
         undivided interest in the amount to be distributed hereon on such
         Distribution Date pursuant to Sections 2.8.1C.1(F)(ii) and 2.8.2B.2 of
         the Administration Agreement.

              The holder of this Excess Distribution Certificate acknowledges
         and agrees that its rights to receive distributions in respect of this
         Excess Distribution Certificate are subordinated to the rights of the
         Noteholders as described in the Basic Documents.

                                       ii

<PAGE>

         It is the intent of the Depositor, and the holder of this Excess
Distribution Certificate that, for purposes of Federal, state and local income
and franchise and any other income taxes, the Notes will be treated as
newly-issued debt of, and this Excess Distribution Certificate will be treated
as equity in, the Trust. The holder of this Excess Distribution Certificate
agrees to treat, and to take no action inconsistent with the treatment of, this
Excess Distribution Certificate for such tax purposes as equity in the Trust.

         The holder of this Excess Distribution Certificate, by its acceptance
of this Excess Distribution Certificate, covenants and agrees that it will not
at any time institute against the Depositor or the Trust, or join in any
institution against the Depositor or the Trust of, any bankruptcy,
reorganization, arrangement, insolvency, receivership or liquidation
proceedings, or other proceedings under any United States Federal or state
bankruptcy or similar law in connection with any obligations relating to this
Excess Distribution Certificate, the Notes, the Trust Agreement or any of the
other Basic Documents.

         Distributions on this Excess Distribution Certificate will be made as
provided in the Administration Agreement to the holder of record hereof without
the presentation or surrender of this Excess Distribution Certificate or the
making of any notation hereon. Except as otherwise provided in the Trust
Agreement and notwithstanding the above, the final distribution on this Excess
Distribution Certificate will be made after due notice by the Administrator of
the pendency of such distribution and only upon presentation and surrender of
this Excess Distribution Certificate at the office or agency maintained for the
purpose by the Eligible Lender Trustee in the Borough of Manhattan, The City of
New York.

         Reference is hereby made to the further provisions of this Excess
Distribution Certificate set forth on the reverse hereof, which further
provisions shall for all purposes have the same effect as if set forth at this
place.

         Unless the certificate of authentication hereon shall have been
executed by an authorized officer of the Eligible Lender Trustee or its
authenticating agent, by manual signature, this Excess Distribution Certificate
shall not entitle the holder hereof to any benefit under the Trust Agreement or
the Administration Agreement or be valid for any purpose.

                  IN WITNESS WHEREOF, the Eligible Lender Trustee on behalf of

                                      iii

<PAGE>

the Trust and not in its individual capacity has caused this Excess Distribution
Certificate to be duly executed as of the date set forth below.

                                            SLM STUDENT LOAN TRUST 2002-2
                                            by CHASE MANHATTAN BANK USA,
                                            NATIONAL ASSOCIATION, not in its
                                            individual capacity but solely as
                                            Eligible Lender Trustee.

                                            By:______________________________
                                                   Authorized Signatory

Date: ______________ ___, 20___

                                       iv

<PAGE>

                     TRUSTEE'S CERTIFICATE OF AUTHENTICATION

This is the Excess Distribution Certificate referred to in the within-mentioned
Trust Agreement.

                                            CHASE MANHATTAN BANK USA, NATIONAL
                                            ASSOCIATION, not in its individual
                                            capacity but solely as Eligible
                                            Lender Trustee,

                                            By:____________________________
                                                  Authorized Signatory

                                            OR

                                            THE CHASE MANHATTAN BANK, solely in
                                            its capacity as Authenticating Agent
                                            for the Eligible Lender Trustee,

                                            By:__________________________
                                                  Authenticating Agent

Date: __________ ___,200__

                                       v

<PAGE>

                  [Reverse of Excess Distribution Certificate]

         This Excess Distribution Certificate does not represent an obligation
of, or an interest in, the Depositor, Sallie Mae Servicing L.P., as servicer
(the "Servicer"), Student Loan Marketing Association, as administrator (the
"Administrator"), the Eligible Lender Trustee or any affiliates of any of them,
and no recourse may be had against such parties or their assets, except as may
be expressly set forth or contemplated herein, in the Trust Agreement or in the
other Basic Documents. In addition, this Excess Distribution Certificate is not
guaranteed by any governmental agency or instrumentality and is limited in right
of payment to certain collections with respect to the Trust Student Loans, all
as more specifically set forth in the Administration Agreement. A copy of each
of the Trust Agreement, the Sale Agreement, the Purchase Agreement, the
Administration Agreement, the Servicing Agreement and the Indenture may be
examined during normal business hours at the principal office of the
Administrator, and at such other places, if any, designated by the
Administrator, by the holder of this Excess Distribution Certificate upon
request.

         The Trust Agreement permits, with certain exceptions therein provided,
the amendment thereof and the certification of the rights and obligations of the
Depositor and the rights of the holders of this Excess Distribution Certificate
under the Trust Agreement at any time by the Depositor and the Eligible Lender
Trustee with the consent of the holders of the Class A Notes and the Class B
Notes, each voting as a class evidencing not less than a majority of the
outstanding principal balance of each class of the Notes. The Trust Agreement
also permits the amendment thereof, in certain limited circumstances, without
the consent of the Noteholders.

         As provided in the Trust Agreement and subject to certain limitations
therein set forth, the transfer of this Excess Distribution Certificate is
registerable in the Excess Distribution Certificate Register upon surrender of
this Excess Distribution Certificate for registration of transfer at the offices
or agencies maintained by Chase Manhattan Bank USA, National Association in its
capacity as Excess Distribution Certificate Registrar, or by any successor
Excess Distribution Certificate Registrar, in the Borough of Manhattan, The City
of New York, accompanied by a written instrument of transfer in form
satisfactory to the Eligible Lender Trustee and the Excess Distribution
Certificate Registrar duly executed by the holder hereof or such holder's
attorney duly authorized in writing, and thereupon a new Excess Distribution
Certificate will be issued to the designated transferee.

                                       vi

<PAGE>

         As provided in the Trust Agreement and subject to certain limitations
therein set forth, this Excess Distribution Certificate is exchangeable for a
new Excess Distribution Certificate as requested by the holder surrendering the
same. No service charge will be made for any such registration of transfer or
exchange, but the Eligible Lender Trustee or the Excess Distribution Certificate
Registrar may require payment of a sum sufficient to cover any tax or
governmental charge payable in connection therewith.

         The Eligible Lender Trustee, the Certificate Registrar and any agent of
the Eligible Lender Trustee or the Excess Distribution Certificate Registrar may
treat the person in whose name this Excess Distribution Certificate is
registered as the owner hereof for all purposes, and none of the Eligible Lender
Trustee or the Excess Distribution Certificate Registrar or any such agent shall
be affected by any notice to the contrary.

         This Excess Distribution Certificate (including any beneficial interest
herein) may not be acquired by or for the account of (i) an employee benefit
plan (as defined in Section 3(3) of ERISA) that is subject to the provisions of
Title I of ERISA, (ii) a plan described in section 4975(e)(1) of the Internal
Revenue Code of 1986, as amended (the "Code"), including an individual
retirement account described in Section 408(a) of the Code or a Keogh plan or
(iii) any entity whose underlying assets include plan assets by reason of a
plan's investment in the entity (each, a "Benefit Plan"). By accepting and
holding this Excess Distribution Certificate, the holder hereof shall be deemed
to have represented and warranted that it is not a Benefit Plan, it is not
purchasing this Excess Distribution Certificate on behalf of a Benefit Plan, is
not using assets of a Benefit Plan to purchase this Excess Distribution
Certificate and to have agreed that if this Excess Distribution Certificate is
deemed to be a plan asset, the Holder will promptly dispose of this Excess
Distribution Certificate.

         The obligations and responsibilities created by the Trust Agreement and
the Trust created thereby shall terminate upon the payment to Noteholders and
the holder of this Excess Distribution Certificate of all amounts required to be
paid to them pursuant to the Trust Agreement, the Administration Agreement and
the Indenture and the disposition of all property held as part of the Trust. The
Depositor may at its option purchase the corpus of the Trust at a price
specified in the Administration Agreement; however, such right of purchase is
exercisable only on any Distribution Date on or after the date on which the Pool
Balance is less than or equal to 10% of the

                                       vii

<PAGE>

Initial Pool Balance. Any Trust Student Loans remaining in the Trust as of the
end of the Collection Period immediately preceding the Trust Auction Date will
be offered for sale by the Indenture Trustee by auction in accordance with the
procedure described in the Indenture.

         This Excess Distribution Certificate shall be construed in accordance
with the laws of the State of Delaware, without reference to its conflict of law
provisions, and the obligations, rights and remedies of the parties hereunder
shall be determined in accordance with such laws.

                                      viii

<PAGE>

                                   ASSIGNMENT

         FOR VALUE RECEIVED, the undersigned hereby sells, assigns and transfers
unto

PLEASE INSERT SOCIAL SECURITY
OR OTHER IDENTIFYING NUMBER
OF ASSIGNEE

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

________________________________________________________________________________
the within Excess Distribution Certificate, and all rights thereunder, hereby
irrevocably constituting and appointing

_______________________________________________________________________ Attorney
to transfer said Excess Distribution Certificate on the books of the Excess
Distribution Certificate Registrar, with full power of substitution in the
premises.

Dated:

______________________________*
    Signature Guaranteed:

______________________________*

*   NOTICE: The signature to this assignment must correspond with the name as it
appears upon the face of the within the Excess Distribution Certificate in every
particular, without alteration, enlargement or any change whatever. Such
signature must be guaranteed by a member firm of the New York Stock Exchange or
a commercial bank or trust company.

                                       ix

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