Document:

<PAGE>

                                                                [LOGO OF FINOVA]
                                                            FINANCIAL INNOVATORS
--------------------------------------------------------------------------------
                                                              Rediscount Finance

                     THIRD AMENDED AND RESTATED SCHEDULE TO
                           SECOND AMENDED AND RESTATED
                           LOAN AND SECURITY AGREEMENT

Borrower:                  THE THAXTON GROUP, INC.
                           THAXTON OPERATING COMPANY
                           THAXTON INSURANCE GROUP, INC.
                           TICO CREDIT COMPANY, INC.
                           EAGLE PREMIUM FINANCE CO, INC.
                           THAXTON COMMERCIAL LENDING, INC.
                           PARAGON, INC.
                           TICO PREMIUM FINANCE COMPANY, INC.
                           TICO REINSURANCE, LTD.
                           TICO CREDIT COMPANY OF TENNESSEE, INC.
                           TICO CREDIT COMPANY OF NORTH CAROLINA, INC.

Address:                   1524 PAGELAND HIGHWAY
                           LANCASTER, SOUTH CAROLINA 29721

Date:                      AUGUST 31, 2000

         This Third Second Amended and Restated Schedule to Second Amended and
Restated Loan and Security Agreement ("Third Amended Schedule") is executed in
conjunction with a certain Second Amended and Restated Loan and Security
Agreement ("Agreement"), dated August 30, 1999, and as an amendment to and
restatement of that certain Schedule to Second Amended and Restated Loan and
Security Agreement ("Schedule") and that certain Second Amended and Restated
Schedule to Second Amended and Restated Loan and Security Agreement ("Second
Amended Schedule"), dated August 9, 2000, by and between FINOVA Capital
Corporation, as Lender, and the above Borrowers. All references to Section
numbers herein refer to Sections in the Agreement. The terms and provisions of
this Third Amended Schedule shall supersede all terms and provisions contained
in all prior schedules.

                                      -1-
<PAGE>

1.A      BORROWERS

        The "Borrower(s)" herein shall be defined as follows:

           The Thaxton Group, Inc.                     "TTG" or "Lead Borrower"
           Thaxton Operating Company                   "TOC"
           Thaxton Insurance Group, Inc.               "TIG"
           TICO Credit Company, Inc.                   "TICO"
           Eagle Premium Finance Co, Inc.              "EPF"
           Thaxton Commercial Lending, Inc.            "TCL"
           Paragon, Inc.                               "PI"
           TICO Premium Finance Company, Inc.          "TICO Premium"
           TICO Reinsurance, Ltd.                      "TICOR"
           TICO Credit Company of Tennessee, Inc.      "TICO - Tennessee"
           TICO Credit Company of North Carolina, Inc. "TICO - North Carolina"

         Effective as of the date of the execution of a certain Loan and
Security Agreement of even date herewith by and among Thaxton Life Partners,
Inc.,Thaxton RBE, Inc. and Thaxton Reinsurance, Ltd., as borrowers, James D.
Thaxton, as guarantor (collectively the "Thaxton Life Group), and FINOVA Capital
Corporation, as lender, and the execution of a $10,000,000.00 Promissory Note
executed or guaranteed by the Thaxton Life Group (the "Thaxton Life Group
Loan"), Thaxton Reinsurance, Ltd and Thaxton RBE, Inc. will be released from any
further liability hereunder and the Collateral pledged by Thaxton Reinsurance,
Ltd and Thaxton RBE, Inc. hereunder shall not secure any Indebtedness incurred
under this Agreement, but shall secure Thaxton Life Group Loan. The undersigned
hereby consent to the release of Thaxton RBE, Inc. and Thaxton Reinsurance, Ltd.
hereunder and the release of their Collateral pledged hereunder.

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

1.17.A.  MAXIMUM AMOUNT OF AN ELIGIBLE RECEIVABLE (SECTION 1.17).

          The term "Maximum Amount of an Eligible Receivable" shall mean for
          each Receivable type as set forth below:

          Consumer Loan Receivable not secured by real estate and Insurance
          Premium Receivable - the sum of Thirty Thousand Dollars ($30,000.00)
          remaining due thereon at any date of determination, including all
          unearned finance charges, Bulk Purchase Reserves and Dealer Discounts
          pursuant to such Receivable.

          Consumer Loan Receivables secured by real estate - the sum of Seventy
          Five Thousand Dollars ($75,000.00)remaining due thereon at any date of
          determination, including all unearned finance charges, Bulk Purchase
          Reserves and Dealer Discounts pursuant to such Receivable.

          Non-Consumer Receivables - the sum of Five Hundred Thousand Dollars
          ($500,000.00), other than a vehicle floor plan loan, remaining due
          thereon at any date of determination and Two Hundred Thousand Dollars
          ($200,000.00), with respect to a vehicle floor plan loan, remaining
          due thereon at any date of determination, excluding all unearned
          finance charges, Bulk Purchase Reserves and Dealer Discounts pursuant
          to such Receivable.

                                      -2-
<PAGE>

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

1.17.B.  MAXIMUM TERM OF AN ELIGIBLE RECEIVABLE (SECTION 1.17).

          The "Maximum Term of an Eligible Receivable" shall be for each
          Receivable type as set forth below:

          Consumer Loan Receivables not secured by real estate and Insurance
          Premium Receivables, - a period of sixty (60) months remaining until
          the contractual final due date

          Consumer Loan Receivables secured by real estate - a period of One
          Hundred and Eighty (180) months remaining until the contractual final
          due date

1.17.D.  AGING PROCEDURES AND ELIGIBILITY TEST (SECTION 1.17).

AGING PROCEDURES FOR A CONTRACTUAL AGING FOR THE FOLLOWING RECEIVABLE TYPES:
---------------------------------------------------------------------------

CONSUMER LOAN RECEIVABLES (OTHER THAN VEHICLE RECEIVABLES)
----------------------------------------------------------

1.  No payment missed or due                =  Current.

2.  1 to 30 days past due                   = "30 day Account".

3.  31 to 60 days past due                  = "60 day Account".

4.  61 to 90 days past due                  = "90 day Account".

5.  91 or more days past due                = "90 + day Account"

INSURANCE PREMIUM RECEIVABLES
-----------------------------

1.  No payment missed or due                = Current.

2.  1 to 30 days past due                   = "30 day NC Account".
    (Financing contract not canceled)

3.  31 or more days past due                = "30+ day NC Account".
    (Financing contract not canceled)

4.  1 to 30 days past due                   = "30 day Canceled Account".
    (Financing contract canceled)

5.  31 to 60 days past due                  = "60 day Canceled Account".
    (Finance contract canceled)

6.  61 or more days past due                = "60 + day Canceled Account".
   (Finance contract canceled)

         For the purposes of the Loan Documents the cancellation of an insurance
receivable shall be immediately effective upon the effective cancellation date
of the associated insurance policy.

                                      -3-
<PAGE>

VEHICLE RECEIVABLES AND NON-CONSUMER RECEIVABLES
------------------------------------------------

1.  No payment missed or due                = Current.

2.  1 to 30 days past due                   = "30 day Account".

3.  31 to 60 days past due                  = "60 day Account".

4.  61 or more days past due                = "60 + day Account".

ELIGIBILITY TEST:
-----------------

The term "Eligibility Test" shall mean the test to determine the eligibility of
a Receivable for the purposes of Section 1.17 hereof, that test, being as
follows for each Receivable type:

         Direct Loan Receivables

          (1)  No payment due on said Receivable remains unpaid more than ninety
               (90) days from the specific date on which such payment was due
               pursuant to the terms of said Receivable;

          (2)  If the initial advance of said Receivable was greater than One
               Thousand Dollars ($1,000.00), the payment of said Receivable
               shall be secured by collateral;

          (3)  If said Receivable is purchased from a third party wherein the
               Borrower is or will become obligated to such third party in
               conjunction with the purchase of such Receivable through a
               "reserve" or other liability arrangement, all of such third
               party's rights in and to the "reserve" or other liability shall
               be subordinated to Lender in all respects, except as set forth
               below, in a form and substance satisfactory to Lender. This
               provision shall not restrict Borrower from making a payment to a
               third party for a reserve or other liability arrangement, or a
               part thereof, provided such payment is then contractually due to
               such third party, pursuant to a written agreement executed at or
               prior to the time the respective Receivable was purchased by
               Borrower, and an Event of Default does not then exist; and

          (4)  With respect to Consumer Loan Receivables secured by real estate,
               on the date of origination of such Receivable, the percentage
               determined by dividing the outstanding principal balance of such
               Receivable by the fair market value of the real estate collateral
               securing such Receivable shall not exceed ninety percent (90%)
               ("Maximum LTV").

         Insurance Premium Receivables

          (1)  No payment due on said Receivable remains unpaid more than (i)
               thirty (30) days for that Insurance Premium Receivable that the
               contractual obligation evidencing such Receivable has not been
               canceled according to the terms of such Receivable and (ii) sixty
               (60) days for Insurance Premium Receivable that the contractual
               obligation evidencing such Receivable has been canceled according
               to the terms of such Receivable, from the specific date on which
               such payment was due pursuant to the terms of said Receivable.

          (2)  The insurance company issuing the insurance policy of which said
               Receivable evidences the financing of the payment of the premiums
               with respect to such insurance policy meets one of the following
               criteria:

               (i)  rated "C+" or better pursuant to the current edition of
                    "Best's Key Rating Guide - Property and Casualty" as
                    published by the A.M. Best Company ("A.M. Best"); or

               (ii) a member of a state reinsurance facility or shared pool.

                                      -4-
<PAGE>

          (3)  No more than twenty percent (20%) of the aggregate outstanding
               balance of all Category Two Receivables can evidence the
               financing of the payment of premiums for insurance policies for
               any one insurance company that is not one of the following:

               (i)  rated "A-" or better by A.M. Best; or

               (ii) a member of a state insurance facility or shared pool.

         Vehicle Receivables

          (1)  No payment due on said Receivable remains unpaid more than sixty
               (60) days from the specific date on which such payment was due
               pursuant to the terms of said Receivable.

          (2)  If said Receivable is purchased from a third party wherein the
               Borrower is or will become obligated to such third party in
               conjunction with the purchase of such Receivable through a
               "reserve" or other liability arrangement, all of such third
               party's rights in and to the "reserve" or other liability shall
               be subordinated to Lender in all respects, except as set forth
               below, in a form and substance satisfactory to Lender. This
               provision shall not restrict Borrower from making a payment or
               payments to a third party for a reserve or other liability
               arrangement, or a part thereof, provided such payment is then
               contractually due to such third party, pursuant to a written
               agreement executed at or prior to the time the respective
               Receivable was purchased by Borrower, and an Event of Default
               does not then exist.

         Non-Consumer Receivables

               No payment due on said Receivable remains unpaid more than sixty
               (60) days from the specific date on which such payment was due
               pursuant to the terms of said Receivable.

         Mortgage Warehouse Receivables

               Such Receivable shall only be eligible hereunder before the
               ninety-first (91st) day after the origination date of such
               Receivable. Notwithstanding the foregoing to the contrary, on any
               date of determination, up to ten percent (10%) of the aggregate
               outstanding balance of Mortgage Warehouse Receivables may exceed
               ninety (90) days from the origination date of such Receivable,
               but not more than twelve (12) months from the date of
               origination, provided that no payment due on said Receivable
               remains unpaid more than sixty (60) days from the specific date
               on which such payment was due pursuant to the terms of said
               Receivable and such Receivable is otherwise eligible hereunder.

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

1.19.    GUARANTOR (whether one or more) (SECTION 1.19).

               James D. Thaxton (Validity and Support Agreement).

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

2.1.A. AMOUNT OF REVOLVING CREDIT LINE AND AMOUNT OF THE TRANCHE `C' CREDIT
       FACILITY

               The "Amount of the Revolving Credit Line" is Ninety Million
               Dollars ($90,000,000.00).

               The "Amount of the Tranche `C' Credit Facility" is Eight Million
               Dollars ($8,000,000.00)

                                      -5-
<PAGE>

--------------------------------------------------------------------------------

2.1.B. AVAILABILITY ON ELIGIBLE RECEIVABLES (SECTION 2.1):

          The "Availability on Tranche `A' and Tranche `B' Eligible Receivables"
          shall be the sum of the following:

               (i)  with respect to the Tranche "A" Credit Facility, an amount
                    equal to the result of:

                    (a) eighty-five percent (85%) of the aggregate unmatured and
                    unpaid amount due to Borrower from the Account Debtor named
                    thereon, excluding all unearned finance charges, Bulk
                    Purchase Reserves and Dealer Discounts pursuant to the
                    Consumer Loan Receivables other than Captive Vehicle
                    Receivables,

                    Plus
                    ----

                    (b) eighty-five percent (85%) of the aggregate unmatured and
                    unpaid amount due to Borrower from the Account Debtor named
                    thereon, excluding all unearned finance charges, Bulk
                    Purchase Reserves and Dealer Discounts pursuant to the
                    Non-Consumer Loan Receivables,

                    Plus
                    ----

                    (c) the lesser of (1) fifty percent (50%) of the aggregate
                    unmatured and unpaid amount due to Borrower from the Account
                    Debtor named thereon, including all unearned finance charges
                    and other unearned fees and charges and Dealer Discounts
                    pursuant to the Captive Vehicle Receivables, and (2) one
                    hundred percent (100%) of the aggregate of the original cost
                    paid by Borrower's affiliate to acquire the vehicles that
                    secures such Receivables,

                    Plus
                    ----

                    (d) the lesser of (1) eighty-five percent (85%) of the
                    aggregate Net Commission Income billed by Borrower in the
                    twelve (12) calendar months immediately preceding any date
                    of determination, and (2) seventy percent (70%) of the
                    annual academy survey average agency market value of TIG;

                    Plus
                    ----

                    (e) ninety-five percent (95%) of the aggregate unmatured and
                    unpaid amount due to Borrower form the Account named
                    thereon, excluding all unearned finance charges and other
                    unearned fees and charges pursuant to Mortgage Warehouse
                    Receivables,

                    Less
                    ----

                    The outstanding balance of the Tranche "C" Credit Facility,
                    on the date of determination.

               (ii) with respect to the Tranche "B" Credit Facility, an amount
                    equal to the lesser of

                    (a) (1) if the date of determination is on or before January
                    31, 2001, ten percent (10%) of the aggregate unmatured and
                    unpaid amount due to Borrower from the Account Debtor named
                    thereon, excluding all unearned finance charges, Bulk

                                      -6-
<PAGE>

                    Purchase Reserves and Dealer Discounts pursuant to the
                    Consumer Loan Receivables, excluding Captive Vehicle
                    Receivables, (2) if the date of determination is after
                    January 31, 2001, but on or before July 31, 2002, five
                    percent (5%) of the aggregate unmatured and unpaid amount
                    due to Borrower from the Account Debtor named thereon,
                    excluding all unearned finance charges, Bulk Purchase
                    Reserves and Dealer Discounts pursuant to the Consumer Loan
                    Receivables, excluding Captive Vehicle Receivables, and (3)
                    if the date of determination is after July 31, 2002, there
                    shall be no Availability on the Tranche "B" Credit Facility;
                    and

                    (b) one hundred percent (100%) of the aggregate unmatured
                    and unpaid amount due to Borrower from the Account Debtor
                    named thereon, including all unearned finance charges, Bulk
                    Purchase Reserves and Dealer Discounts pursuant to the
                    Consumer Loan Receivables, excluding Captive Vehicle
                    Receivables, multiplied by the CRR Advance Rate, less the
                    amount of the Availability for Tranche "A" with respect to
                    all Consumer Loan Receivables, excluding Captive Vehicle
                    Receivables, pursuant to Schedule Section 2.1.B. (i)
                    hereinabove.

     Notwithstanding any provision contained in the Loan Documents to the
     contrary,

          If on any date of determination, upon the occurrence of any of the
          following events, Lender, in its sole and absolute discretion, may
          modify the Availability on Eligible Receivables advance percentages:

                    (A) the percentage determined by dividing the aggregate
                    outstanding balance of all Consumer Loan Receivables by the
                    aggregate outstanding balance of all Receivables is less
                    than fifty percent (50%);

                    (B) the sum of all liabilities and obligations of all
                    Borrowers plus the outstanding balance of the Tranche "C"
                    Facility, on any date of determination, is greater than the
                    aggregate outstanding balance of all Eligible Receivables,
                    including all unearned finance charges and all other
                    unearned fees and charges, plus all other tangible assets of
                    the Borrowers, on the same date of determination, then in
                    that event, Lender, in its sole and absolute discretion, may
                    modify the Availability on any of the Eligible Receivables;

                    (C) if on any date of determination, the Cash Collection
                    Percentage is less than seven percent (7%);

                    (D) if on any date of determination, the average outstanding
                    balance of Non-Consumer Receivables is greater than Two
                    Hundred Thousand Dollars ($200,000.00); or

                    (E) if on any date of determination, the average outstanding
                    balance of all Consumer Loan Receivables is greater than
                    Three Thousand Dollars ($3,000.00)

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

2.2. STATED INTEREST RATE (SECTION 2.2) AND STATED DIVIDEND RATE (SECTION 2.21)

          TRANCHE "A" CREDIT FACILITY STATED INTEREST RATE
          ------------------------------------------------

               The "Tranche "A" Credit Facility Stated Interest Rate" shall be
          lesser of (i) the Governing Rate plus One and one-quarter percent
          (1.25%) per annum; or (ii) the Maximum Rate.

                                      -7-
<PAGE>

          TRANCHE "B" CREDIT FACILITY STATED INTEREST RATE
          ------------------------------------------------

               The "Tranche "B" Credit Facility Stated Interest Rate" shall be
          lesser of (i) the Governing Rate plus Five percent (5.00%) per annum;
          or (ii) the Maximum Rate.

          TRANCHE "C" CREDIT FACILITY DIVIDEND RATE
          -----------------------------------------

               The "Tranche "C" Credit Facility Dividend Rate" shall be an
          amount determined as follows: lesser of (i) the Governing Rate, less
          an amount equal to One percent (1.00%) per annum ; or (ii) the Maximum
          Rate.

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

2.3. MATURITY DATE (SECTION 2.3.C).

          The primary term of this Agreement shall expire on July 31, 2004. If
          Borrower desires to extend the primary term or any term thereafter of
          this Agreement, Borrower shall give Lender notice of its intent to
          extend the term no earlier than one hundred and eighty (180) days and
          no later than one hundred and fifty (150) days prior to any expiration
          date of this Agreement. Upon the receipt by Lender of Borrower's
          notice to extend the term of this Agreement, if Lender desires to
          renew and extend the term of this Agreement, Lender shall give
          Borrower notice of Lender's intent to extend the term of this
          Agreement, within sixty (60) days of Lender's receipt of Borrower's
          notice to extend. If Lender does not give Borrower notice of Lender's
          intent to extend the term of this Agreement within the sixty (60) days
          period, then it shall be deemed that Lender does not intend to renew
          and extend the term of this Agreement. Notwithstanding the foregoing,
          the Borrower's obligation pursuant to this Agreement shall remain in
          full force and effect until the Indebtedness due and owing to Lender
          has been paid in full.

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

2.6. VOLUNTARY PREPAYMENTS (SECTION 2.6).

          The amount of "Liquidated Damages" shall be, if Borrower notifies the
          Lender of Borrower's intention to pay the Indebtedness in full and
          requests a termination of Borrower security interest in the Collateral
          hereunder before July 31, 2004, the amount of "Liquidated Damages"
          shall be the amount of Eight Hundred Thousand Dollars ($800,000.00).

          Notwithstanding the foregoing, the above Liquidated Damages shall be
          waived upon the satisfaction of the following conditions:

          1.   Borrower requests an increase in the Amount of Revolving Credit
               Line prior to the Maturity Date,

          2.   At the time of such request, the outstanding balance of the
               Indebtedness is equal to or greater than ninety percent (90%) of
               the Amount of the Revolving Credit Line,

          3.   At the time of such request and during the period beginning on
               the date of such request and ending on the date Lender declines
               such request, a Default or an Event of Default does not exist or
               has not occurred, and

          4.   Lender declines such request.

                                      -8-
<PAGE>

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

2.22. FACILITY FEE (SECTION 2.22)

          The monthly facility fee shall be Eleven Thousand Six Hundred
          Sixty-Six and 66/100 Dollars ($11,666.66).

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

3.2. BUSINESS LOCATIONS OF BORROWER (SECTIONS 3.2, 3.6 and 5.1.N.).

          All locations as set forth on a list of locations attached hereto.

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

5.1. BORROWER'S TRADENAMES (whether one or more)(SECTION 5.1.B.)

          TICO Credit Company
          Eagle Premium Finance Company
          TICO Premium Finance Company
          Paragon Lending
          Thaxton Insurance

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

6.2.A. MINIMUM TIG DEBT SERVICE COVERAGE (SECTION 6.2.L.)

          The Minimum TIG Debt Service Coverage Ratio shall be 1.25 to 1.00, to
          be determined on a calendar quarter basis.

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

6.2.B. MINIMUM NET COMMISSION INCOME (SECTION 6.2.M.)

          The Minimum Net Commission Income shall be Three Million Dollars
          ($3,000,000.00) for any twelve (12) calendar month period immediately
          preceding any date of determination.

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

6.3.A..  LEVERAGE RATIO LIMIT (SECTION 6.3.A).

          The term "Leverage Ratio Limit" shall mean 7.00 to 1.00.

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

6.3.B.   MINIMUM NET INCOME (SECTION 6.3.B).

          The Minimum Net Income shall be One Dollar ($1.00) for any fiscal year
          of Borrower.

                                      -9-
<PAGE>

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

6.3.C. DISTRIBUTIONS LIMITATION (SECTION 6.3.C).

          The Maximum Distributions shall not exceed twenty-five percent (25%)
          of Net Income of the fiscal year of Borrower based upon Borrower's
          annual audited financial, provided that regularly scheduled dividends
          on Preferred Stock shall not be a distribution for the purposes of
          this negative covenant.

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

6.3.D. MINIMUM TANGIBLE NET WORTH PLUS SUBORDINATED DEBT (SECTION 6.3.D.).

          The Minimum Tangible Net Worth plus the outstanding balance of all
          Subordinated Debt plus the outstanding balance Tranche "B" shall not
          be less than Ten Million Dollars ($10,000,000.00) during the term
          hereof.

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

6.3.E. MINIMUM TANGIBLE NET WORTH (SECTION 6.3.E.).

          The Minimum Tangible Net Worth shall not be less than Five Million
          Dollars ($5,000,000.00) during the term hereof.

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

6.6. ANNUAL FINANCIAL STATEMENTS (SECTION 6.6).

          Annual audited financial statements to be prepared by an independent
          certified public accountant, satisfactory to Lender.

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

8.1. REIMBURSEMENT OF EXPENSES (SECTION 8.1).

          Borrower's shall reimburse Lender for Lender expenses incurred in
          Lender's attorneys fees and expenses incurred in the negotiation,
          preparation and execution of these Loan Documents executed in
          conjunction therewith.

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

9.1. NOTICES (SECTION 9.1).

                    Lender:     FINOVA Capital Corporation
                                (copy each office below with all notices)

                                Corporate Finance Office:

                                FINOVA Capital Corporation
                                355 South Grand Avenue, Suite 2400
                                Los Angeles, CA  90071
                                Attn:  John J. Bonano, Senior Vice President
                                Telephone:  (213) 253-1600
                                Telecopy No.:  (213) 625-0268

                                      -10-
<PAGE>

                                Corporate Office:

                                FINOVA Capital Corporation
                                4800 N. Scottsdale Road
                                Scottsdale, AZ 85251
                                Attn:  Joseph R. D'Amore, Senior Counsel
                                Telephone:  (480) 636-4932
                                Telecopy No.:  (480) 636-4937

                                Rediscount Finance Office:

                                FINOVA Capital Corporation
                                16633 Dallas Parkway
                                Addison, Texas 75001
                                Attn: Tony Hawkins
                                Telephone: (972) 764-1100
                                Telecopy No.:  (972) 764-1149

                    Borrower:   The Thaxton Group, Inc.
                                Thaxton Operating Company
                                Thaxton Insurance Group, Inc.
                                TICO Credit Company, Inc.
                                Eagle Premium Finance, C., Inc.
                                Thaxton Commercial Lending, Inc.
                                TICO Premium Finance Company, Inc.
                                Paragon, Inc.
                                TICO Reinsurance, Ltd.
                                TICO Credit Company of Tennessee, Inc.
                                TICO Credit Company of North Carolina, Inc.
                                1524 Pageland Highway
                                Lancaster, South Carolina 29721
                                Telephone: (803) 285-4336
                                Telecopy No.: (803) 286-5770

                    Guarantor:  James D. Thaxton

                                ------------------------------------------------

                                ------------------------------------------------
                                Telephone:
                                          --------------------------------------
                                Telecopy No.:
                                             -----------------------------------

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

9.15.    AGENT FOR SERVICE OF PROCESS (SECTION 9.15).

          James D. Thaxton, whose address is 1524 Pageland Highway, Lancaster,
          South Carolina 29721. (Agent)

                                      -11-
<PAGE>

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

     IN WITNESS WHEREOF, the parties have executed this Schedule on the day and
year first set forth above.

                           LENDER:

                           FINOVA CAPITAL CORPORATION,
                           a Delaware corporation

                           By: /s/ Cash Rohrbough                     8/31/00
                              --------------------------------------------------
                              Cash Rohrbough, Vice President          (Date)

                           BORROWER:

                           THE THAXTON GROUP, INC.
                           a South Carolina corporation

                           By: /s/ James D. Thaxton                   8/31/00
                              --------------------------------------------------
                              James D. Thaxton, President             (Date)

                           THAXTON OPERATING COMPANY
                           a South Carolina corporation

                           By: /s/ James D. Thaxton                   8/31/00
                              --------------------------------------------------
                              James D. Thaxton, President             (Date)

                           THAXTON INSURANCE GROUP, INC.
                           a South Carolina corporation

                           By: /s/ James D. Thaxton                   8/31/00
                              --------------------------------------------------
                              James D. Thaxton, President             (Date)

                           TICO CREDIT COMPANY, INC.,
                           a South Carolina corporation

                           By: /s/ James D. Thaxton                   8/31/00
                              --------------------------------------------------
                              James D. Thaxton, President             (Date)

                           EAGLE PREMIUM FINANCE CO, INC.
                           a South Carolina Corporation

                           By: /s/ James D. Thaxton                   8/31/00
                              --------------------------------------------------
                              James D. Thaxton, President             (Date)

                                      -12-
<PAGE>

                           THAXTON COMMERCIAL LENDING, INC.
                           a South Carolina corporation

                           By: /s/ James D. Thaxton                   8/31/00
                              --------------------------------------------------
                              James D. Thaxton, President             (Date)

                           PARAGON, INC.
                           a South Carolina Corporation

                           By: /s/ James D. Thaxton                   8/31/00
                              --------------------------------------------------
                              James D. Thaxton, President             (Date)

                           TICO PREMIUM FINANCE COMPANY, INC.,
                           a South Carolina Corporation

                           By: /s/ James D. Thaxton                   8/31/00
                              --------------------------------------------------
                              James D. Thaxton, President             (Date)

                           TICO REINSURANCE, LTD.
                           a British West Indies Association

                           By: /s/ James D. Thaxton                   8/31/00
                              --------------------------------------------------
                              James D. Thaxton, President             (Date)

                           TICO CREDIT COMPANY OF TENNESSEE, INC.,
                           a Tennessee Corporation

                           By: /s/ James D. Thaxton                   8/31/00

                              --------------------------------------------------
                              James D. Thaxton, President             (Date)

                                      -13-<PAGE>

                                                                [LOGO OF FINOVA]
                                                            FINANCIAL INNOVATORS
--------------------------------------------------------------------------------
                                                              Rediscount Finance

                          FOURTH AMENDED AND RESTATED
                                  SCHEDULE TO
                        LOAN AND SECURITY AGREEMENT (D)

Borrower:         THAXTON INVESTMENT CORPORATION
                  TICO CREDIT COMPANY (MISSISSIPPI)
                  MODERN FINANCE COMPANY D/B/A TICO CREDIT COMPANY (OHIO)
                  TICO CREDIT COMPANY (KENTUCKY)
                  TICO CREDIT COMPANY (TENNESSEE)
                  SOUTHERN MANAGEMENT CORPORATION
                  MODERN FINANCIAL SERVICES, INC. D/B/A TICO FINANCIAL SERVICES
                  SOUTHERN FINANCE OF SOUTH CAROLINA, INC.
                  COVINGTON CREDIT OF TEXAS, INC.
                  COVINGTON CREDIT OF GEORGIA, INC.
                  SOUTHERN FINANCE OF TENNESSEE, INC.
                  FITCH NATIONAL REINSURANCE, LTD.
                  SOCO REINSURANCE, LTD.
                  QUICK CREDIT CORPORATION

Address:          1524 PAGELAND HIGHWAY
                  LANCASTER, SOUTH CAROLINA 29721

Date:             AUGUST 31, 2000

         This Fourth Amended and Restated Schedule to Loan and Security
Agreement (Fourth Amended Schedule") is executed in conjunction with a certain
Loan and Security Agreement ("Agreement"), dated January 25, 1999, and as an
amendment to and restatement of that Schedule to Loan and Security Agreement
("Original Schedule"), dated January 25, 1999, that certain First Amended and
Restated Schedule to Loan and Security Agreement ("First Amended Schedule"),
dated June 7, 1999, that certain Second Amended and Restated Schedule to Loan
and Security Agreement (`Second Amended Schedule"), dated August 30, 1999, and
that certain Third Amended and Restated Schedule to Loan and Security Agreement
("Third Amended Schedule"), dated November 1, 1999, by and between FINOVA
Capital Corporation, as Lender, and the borrowers named above (collectively
referred to herein as the "Borrowers" and singularly as "Borrower"), all of
whose chief executive offices are located at the above addresses (collectively
referred to herein as "Borrowers' Address"). Each Borrower shall be separately
defined as set forth in the Schedule. All representations, warranties,
covenants, agreements, undertaking or other obligations of Borrower as set forth
in this Agreement and all other Loan Documents are made by each Borrower as
separately set forth for each Borrower in this Agreement and the other Loan
Documents. All financial covenants and ratios set forth herein shall be applied
to the Borrowers in the aggregate. All references to Section numbers herein
refer to Sections in the Agreement. The terms and provisions of this Fourth
Amended Schedule supercedes all prior schedules.

                                      -1-
<PAGE>

         Quick Credit Corporation ("Quick Credit") was added as a co-borrower to
the Agreement pursuant to a letter dated August 16, 2000 and shall be included,
jointly and severally, except for those provisions that specifically identifies
a Borrower separately.

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

1.   BORROWERS (SECTION 1.).

        Each Borrower shall be referred to herein as follows:

<TABLE>
<S>                                         <C>
  THAXTON INVESTMENT CORPORATION            "Thaxton Investment" or "Lead Borrower"
  TICO Credit Company (Kentucky)            "TICO-Kentucky"
  Modern Finance Company d/b/a
           TICO Credit Company (Ohio)       "TICO-Ohio"
  Modern Financial Services, Inc. d/b/a
           TICO Financial Services (Ohio)   "TICO Financial-Ohio"
  TICO Credit Company (Mississippi)         "TICO-Mississippi"
  Southern Management Corporation           "Southern Management"
  TICO Credit Company (Tennessee)           "TICO-Tennessee"
  Covington Credit of Texas, Inc.           "Covington-Texas"
  Covington Credit of Georgia, Inc.         "Covington-Georgia"
  Southern Finance of Tennessee, Inc.       "Southern Finance-Tennessee"
  Southern Finance of South Carolina, Inc.  "Southern Finance-SC"
  Fitch National Reinsurance, Ltd.          "Fitch"
  SoCo Reinsurance, Ltd.                    "SoCo"
  Quick Credit Corporation                  ("Quick Credit")
</TABLE>

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--------------------------------------------------------------------------------

1.11.A. MAXIMUM AMOUNT OF AN ELIGIBLE RECEIVABLE (SECTION 1.11).

          The term "Maximum Amount of a Direct Loan Eligible Receivable, Sales
          Finance Eligible Receivable and an Auto Secured Eligible Receivable"
          shall mean the sum of Thirty Thousand Dollars ($30,000.00), remaining
          due thereon at any date of determination, including all unearned
          finance charges, dealer reserves, discounts, insurance fees and other
          fees and charges pursuant to such Receivables.

          The term "Maximum Amount of a Real Estate Secured Eligible Receivable"
          shall mean the sum of One Hundred Eighty Seven Thousand Five Hundred
          Dollars ($187,500.00), remaining due thereon at any date of
          determination, including all unearned finance charges, dealer
          reserves, discounts, insurance fees and other fees and charges
          pursuant to the Receivables.

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

1.11.B. MAXIMUM TERM OF AN ELIGIBLE RECEIVABLE (SECTION 1.11).

          The "Maximum Term of a Direct Eligible Receivable, Sales Finance
          Eligible Receivable and an Auto Secured Eligible Receivable" shall be
          sixty (60) months remaining until the due date of such Eligible
          Receivable at any date of determination.

          The "Maximum Term of a Real Estate Secured Eligible Receivable" shall
          be one hundred eighty (180) months remaining until the due date of
          such Eligible Receivable at any date of determination.

                                      -2-
<PAGE>

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

1.11.C. RECEIVABLE LIMITATIONS - EXPANDED (SECTION 1.11).

          None

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

1.11.D.  AGING PROCEDURES AND ELIGIBILITY TEST (SECTION 1.11).

AGING PROCEDURES FOR A CONTRACTUAL AGING:
----------------------------------------

1.       No payment missed or due   =  Current.

2.       1 to 30 days past due      = "30 day Account".

3.       31 to 60 days past due     = "60 day Account".

4.       61 to 90 days past due     = "90 day Account".

5.       91 or more days past due   = "90 + day Account"

ELIGIBILITY TEST:
----------------

The term "Eligibility Test" shall mean the test to determine the eligibility of
a Receivable, for the purposes of Section 1.11 hereof, that test, being as
follows: no payment due on said Receivable remains unpaid more than ninety (90)
days from the specific date on which such payment was due pursuant to the terms
of said Receivable and, with respect to a Real Estate Secured Receivable, the
maximum "loan to value" percentage shall be ninety percent (90%) ("Maximum
LTV"). For the purpose of this Section Schedule Section 1.11, the "loan to
value" percentage, as determined on the date of origination of such Receivable,
shall be percentage resulting from dividing the original outstanding balance of
such Receivable on the date of origination, excluding all unearned finance
charges, dealer reserves, discounts, insurance fees and other fees and charges,
by the appraised value of the real estate securing such Receivable, as the date
of origination of such Receivable ("LTV").

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

1.12 GUARANTOR (whether one or more) (SECTION 1.12).

          JAMES D. THAXTON (Continuing and Unlimited with respect to the
          outstanding balance of the Indebtedness applicable to Tranche "B" and
          a Validity Guarantor with respect to the balance of the Indebtedness).

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

1.35 ADDITIONAL DEFINITIONS (SECTION 1.35)

         The following definition is hereby added to the Agreement:

               "1.35 MAXIMUM AVAILABILITY. The term "Maximum Availability" shall
                     --------------------
               mean, on any date of determination, an amount equal to one
               hundred and five percent (105%) (the one hundred and five percent
               [105%] shall reduce by one percentage point each quarter
               hereafter, beginning on January 15, 2000, and continuing each
               January 15th, April 15th, July 15th and October 15th thereafter)
               of the aggregate unmatured and unpaid amount due to Borrower from
               the Account Debtor named thereon, excluding all unearned

                                      -3-
<PAGE>

               finance charges, dealer reserves, discounts, insurance fees and
               other fees and charges pursuant to all Eligible Receivables."

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

               Section 2.1 of the Loan Agreement is hereby deleted and the
          following is substituted in lieu thereof:

          2.1 AMOUNT OF LOAN. Subject to the terms, covenants and conditions
              --------------
          hereinafter set forth, Lender agrees upon the Borrower's request from
          time to time, until the Maturity Date, to make advances to Borrower
          (collectively, the "Loan"), in an aggregate amount not to exceed at
          any time outstanding the sum of the following (a) lesser of the
          following: (i) the Amount of the Loan (Schedule Section 2.1.A.), (ii)
          the Availability on Tranche "A" (Schedule Section 2.1.B.), plus (b)
          the Availability on Tranche "B" (Schedule Section 2.1.B.), or (iii)
          the Maximum Availability (Schedule Section 2.1.B.). Within the limits
          of this Section 2.1, Borrower may borrow, repay and reborrow the
          advances. The Loan shall be evidenced by the Note."

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

2.1.A. AMOUNT OF REVOLVING CREDIT LINE AND AMOUNT OF TERM LOAN (SECTION 2.1):

          The "Amount of the Loan" shall be One Hundred Fifty Million Dollars
          ($150,000,000.00).

          The "Amount of the Revolving Credit Line" shall be One Hundred Twenty
          Nine Million Dollars ($129,000,000.00).

          The "Amount of the Term Loan" shall be Twenty One Million Dollars
          ($21,000,000.00).

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

2.1.B. AVAILABILITY ON ELIGIBLE RECEIVABLES (SECTION 2.1):

          Availability on Tranche "A"
          ---------------------------

          The "Availability on Tranche `A'" shall be an amount equal to the
          lesser of: (i) eighty-five percent (85%) of the aggregate unmatured
          and unpaid amount due to Borrower from the Account Debtor named
          thereon, excluding all unearned finance charges, dealer reserves,
          discounts, insurance fees and other fees and charges pursuant to the
          Eligible Receivables, or (ii) the Amount of the Revolving Credit Line.

          Availability on Tranche "B"
          ---------------------------

          The "Availability on Tranche `B'" shall be the Amount of the Term
          Loan, with such amount reducing by the amount of One Million Fifty
          Thousand Dollars ($1,050,000.00) per quarter, beginning January 15,
          2000, and each quarter thereafter until the Availability on Tranche
          "B" has been eliminated (such quarterly reductions shall be equal to
          the quarterly principal payments due with respect to Tranche "B"
          Credit Facility). If Borrower prepays that portion of Indebtedness
          allocated to Tranche "B" in excess of the quarterly reductions set
          forth above, Borrower may reborrow such excess, subject to
          availability herein.

          Notwithstanding any provision contained in the Loan Documents to the
          contrary, if on any date of determination, any one or more of the
          following events occur, then in such event, Lender, in its sole and
          absolute discretion, may modify the Availability on Tranche "A", the
          Availability on Tranche "B" and/or the Maximum Availability advance
          percentages:

               (1) the Collateral Delinquency Percentage is greater than five
               percent (5%),

               (2) for any month of determination, the percentage determined by
               dividing the aggregate cash received by Borrower with respect to
               all Receivables by the aggregate outstanding balance of all

                                      -4-
<PAGE>

               Receivables, including all unearned finance charges, dealer
               reserves, discounts, insurance fees and other fees and charges
               pursuant to all Receivables, as of the first (1st) day of the
               month of determination, is less than eight percent (8%), or

               (3) the average outstanding balance of all Receivables, on any
               date of determination, excluding all unearned finance charges,
               dealer reserves, discounts, insurance fees and other fees and
               charges pursuant to such Receivables, is greater than One
               Thousand Five Hundred Dollars ($1,500.00).

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

2.2. STATED INTEREST RATES (SECTION 2.2).

               The Tranche "A" Credit Facility Stated Interest Rate lesser of
               (i) the Governing Rate plus One percent (1.00%) per annum; or
               (ii) the Maximum Rate.

               The Tranche "B" Credit Facility Stated Interest Rate lesser of
               (i) the Governing Rate plus Three one-half percent (3.50%) per
               annum; or (ii) the Maximum Rate.

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

2.3. MATURITY DATE (SECTION 2.3.C).

               The primary term of this Agreement shall expire on July 31, 2004
               ("Maturity Date"). If Borrower desires to extend the primary term
               or any term thereafter of this Agreement, Borrower shall give
               Lender notice of its intent to extend the term no earlier than
               one hundred and eighty (180) days and no later than one hundred
               and fifty (150) days prior to any expiration date of this
               Agreement. Upon the receipt by Lender of Borrower's notice to
               extend the term of this Agreement, if Lender desires to renew and
               extend the term of this Agreement, Lender shall give Borrower
               notice of Lender's intent to extend the term of this Agreement,
               within sixty (60) days of Lender's receipt of Borrower's notice
               to extend. If Lender does not give Borrower notice of Lender's
               intent to extend the term of this Agreement within the sixty (60)
               days period, then it shall be deemed that Lender does not intend
               to renew and extend the term of this Agreement. Notwithstanding
               the foregoing, the Borrower's obligation pursuant to this
               Agreement shall remain in full force and effect until the
               Indebtedness due and owing to Lender has been paid in full.

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

2.3.A.         Section 2.3.A. of the Agreement shall be deleted in its entirety
               and the following shall be substituted in lieu thereof:

                    A. "Accrued but unpaid interest for each calendar month
                    during the term hereof shall be due and payable, in arrears,
                    on or before the fifteenth (15th) day of the immediately
                    succeeding calendar month. Principal payment shall be due
                    and payable, with respect to Tranche "B", quarterly, in the
                    amount of One Million Fifty Thousand Dollars ($1,050,000.00)
                    each, beginning on January 15, 2000, and continuing
                    quarterly thereafter, on each January 15th, April 15th, July
                    15th and October 15th until the earlier of (i) the Maturity
                    Date hereof, or (ii) the outstanding balance of Tranche "B"
                    is paid in full.

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

2.6. LIQUIDATED DAMAGES (SECTION 2.6).

               The amount of "Liquidated Damages" shall be the amount of Five
               Million Dollars ($5,000,000.00), when Borrower pays the balance
               of the Indebtedness in full and Borrower requests Lender to
               terminate Lender's security interest in the Collateral.

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

                                      -5-
<PAGE>

2.11 FACILITY FEE (SECTION 2.11)

               The Facility Fee shall be the amount of Two Million Dollars
               ($2,000,000.00), due and payable in monthly installments of
               Thirty-Three Thousand Three Hundred Thirty-Four Dollars
               ($33,334.00) per month, beginning October 15, 2000, and
               continuing on the fifteenth (15th) day of each calendar month
               thereafter with the remaining balance due and payable on July 31,
               2004.

               Notwithstanding the foregoing, if the Indebtedness is paid in
               full prior to July 31, 2004 and Borrower requests that Lender
               terminate its security interest in the Collateral, or the Loan
               Documents are materially amended or modified prior to July 31,
               2004, the Facility Fee shall be immediately due and payable upon
               such occurrence.

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

2.15 UNUSED LINE FEE (SECTION 2.15)

               The "Unused Credit Line Fee " shall be Zero Dollars ($0.00).

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

2.16 TRANCHE "A" CREDIT FACILITY (SECTION 2.16)

               The following Section 2.16 is hereby added to the Agreement:

                    "2.16 TRANCHE "A" CREDIT FACILITY The "Tranche `A' Credit
                          ---------------------------
                    Facility" shall be that portion of the outstanding balance
                    of the Indebtedness that is a revolving credit facility
                    evidence by advances and readvances in an aggregate
                    outstanding amount not to exceed the Availability on
                    "Tranche "A" (Schedule Section 2.1.B.).

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

2.17 TRANCHE "B" CREDIT FACILITY (SECTION 2.17)

               The following Section 2.17 is hereby added to the Agreement:

                    "2.17 TRANCHE "B" CREDIT FACILITY. The "Tranche `B' Credit
                          ---------------------------
                    Facility" shall be that portion of the outstanding balance
                    of the Indebtedness that is a term credit facility, which as
                    of the date of July 15, 1999, has an outstanding principal
                    balance of Twenty One Million Dollars ($21,000,000.00). The
                    maximum amount available pursuant to Tranche "B" shall be
                    reduced quarterly in the amount of One Million Fifty
                    Thousand Dollars ($1,050,000.00) per quarter, beginning
                    January 15, 2000, and continuing each January 15th, April
                    15th, July 15th and October 15th thereafter until the
                    earlier of (i) the Maturity Date hereof, or (ii) the
                    reduction of the availability of the Tranche "B" Credit
                    Facility to Zero Dollars ($0.00)."

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

3.2. BUSINESS LOCATIONS OF BORROWER (SECTIONS 3.2, 3.6 and 5.1.N.).

               All locations are as set forth on Exhibit "A".

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

5.1. BORROWER'S TRADENAMES (whether one or more)(SECTION 5.1.B.)

                                      -6-
<PAGE>

               As set forth on Exhibit "A".

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--------------------------------------------------------------------------------

6.2.A. LEVERAGE RATIO LIMIT (SECTION 6.2.J).

               The term "Leverage Ratio Limit" shall mean 5:1.

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

6.2.B. MINIMUM NET CASH FLOW (SECTION 6.2.K).

               The Minimum Net Cash Flow shall be Three Million Dollars
               ($3,000,000.00) for each rolling twelve (12) month period of
               determination, the first twelve (12) month period of
               determination shall be the twelve (12) month period ending
               December 31, 1999.

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

6.2.C.   DISTRIBUTIONS LIMITATION (SECTION 6.2.L).

               No distributions will be allowed if there is an indebtedness
               outstanding under Tranche "B" Credit Facility or, if there is not
               outstanding balance pursuant to the Tranche "B" Credit Facility,
               the Distributions shall not exceed twenty-five (25)% of Net
               Income of the fiscal year in which such Distributions are made.

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

6.5. ANNUAL FINANCIAL STATEMENTS (SECTION 6.5.).

               Annual financial statements shall be audited by independent
               certified public accountants, acceptable to Lender.

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

8.1. REIMBURSEMENT OF EXPENSES (SECTION 8.1).

               Borrower's shall reimburse Lender for Lender expenses incurred in
               Lender's attorneys fees and expenses incurred in the negotiation,
               preparation and execution of these Loan Documents executed in
               conjunction therewith.

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
9.1. NOTICES (SECTION 9.1).

      Lender:     FINOVA Capital Corporation
                  (copy each office below with all notices)

                  Corporate Finance Office:

                  FINOVA Capital Corporation
                  355 South Grand Avenue, Suite 2400
                  Los Angeles, CA  90071
                  Attn:  John J. Bonano, Senior Vice President

                                      -7-
<PAGE>

                  Telephone:  (213) 253-1600
                  Telecopy No.:  (213) 625-0268

                  Corporate Office:

                  FINOVA Capital Corporation
                  1850 N. Central Avenue
                  Phoenix, AZ  85077
                  Attn:  Joseph R. D'Amore, Senior Counsel
                  Telephone:  (602) 207-4900
                  Telecopy No.:  (602) 207-5543

                  Rediscount Finance Office:

                  FINOVA Capital Corporation
                  16633 Dallas Parkway, Suite 700
                  Addison, TX  75001
                  Attn: Tony Hawkins (Account Executive)
                  Telephone: (972) 764-1100
                  Telecopy No.:  (972) 764-1149

      Borrower:   Thaxton Investment Corporation
                  TICO Credit Company (Kentucky)
                  TICO Credit Company (Mississippi)
                  Modern Finance Company d/b/a TICO Credit Company (Ohio)
                  TICO Credit Company (Tennessee)
                  Southern Management Corporation
                  Modern Financial Services, Inc. d/b/a TICO Financial Services
                  Southern Finance of South Carolina, Inc.
                  Covington Credit of Texas, Inc.
                  Covington Credit of Georgia, Inc.
                  Southern Finance of Tennessee, Inc.
                  Fitch National Reinsurance, Ltd.
                  SoCo Reinsurance, Ltd.
                  Quick Credit Corporation
                  1524 Pageland Highway
                  Lancaster, SC 29721
                  Telephone: (803) 285-4336
                  Telecopy No.: (803) 286-5770

      Guarantor: James D. Thaxton

                 -------------------------------------

                 -------------------------------------
                  Telephone:
                             ---------------------------------
                  Telecopy No.:
                               -------------------------------

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--------------------------------------------------------------------------------

9.15.    AGENT FOR SERVICE OF PROCESS (SECTION 9.15).

               James D. Thaxton, whose address is 1524 Pageland Highway,
               Lancaster, SC 29721. (Agent)

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

                                      -8-
<PAGE>

IN WITNESS WHEREOF, the parties have executed this Schedule on the day and year
first set forth above.

                          LENDER:

                          FINOVA CAPITAL CORPORATION,
                          a Delaware corporation

                          By: /s/ Cash Rohrbough
                             -------------------------------------------------
                                                   (Signature)

                          Cash Rohrbough V.P.                     8/31/00
                          -----------------------------------------------------
                          (Printed Name and Title)                (Date)

                          BORROWER:

                          THAXTON INVESTMENT CORPORATION,
                          a South Carolina corporation

                          By: /s/ James D. Thaxton
                             -------------------------------------------------
                                                   (Signature)

                          James D. Thaxton, President             8/31/00
                          -----------------------------------------------------
                          (Printed Name and Title)                (Date)

                          TICO CREDIT COMPANY,
                          a Mississippi corporation

                          By: /s/ James D. Thaxton
                             -------------------------------------------------
                                                   (Signature)

                          James D. Thaxton, President             8/31/00
                          -----------------------------------------------------
                          (Printed Name and Title)                (Date)

                           MODERN FINANCE COMPANY,
                           an Ohio corporation d/b/a TICO Credit Company

                          By: /s/ James D. Thaxton
                             -------------------------------------------------
                                                   (Signature)

                          James D. Thaxton, President             8/31/00
                          -----------------------------------------------------
                          (Printed Name and Title)                (Date)

                                      -9-
<PAGE>

                          TICO CREDIT COMPANY,
                          a Delaware corporation

                          By: /s/ James D. Thaxton
                             -------------------------------------------------
                                                   (Signature)

                          James D. Thaxton, President             8/31/00
                          -----------------------------------------------------
                          (Printed Name and Title)                (Date)

                          TICO CREDIT COMPANY,
                          a Tennessee corporation

                          By: /s/ James D. Thaxton
                             -------------------------------------------------
                                                   (Signature)

                          James D. Thaxton, President             8/31/00
                          -----------------------------------------------------
                          (Printed Name and Title)                (Date)

                          SOUTHERN MANAGEMENT CORPORATION,
                          a South Carolina corporation

                          By: /s/ James D. Thaxton
                             -------------------------------------------------
                                                   (Signature)

                          James D. Thaxton, President             8/31/00
                          -----------------------------------------------------
                          (Printed Name and Title)                (Date)

                          MODERN FINANCIAL SERVICES, INC.,
                          an Ohio corporation d/b/a TICO Financial Services

                          By: /s/ James D. Thaxton
                             -------------------------------------------------
                                                   (Signature)

                          James D. Thaxton, President             8/31/00
                          -----------------------------------------------------
                          (Printed Name and Title)                (Date)

                                     -10-
<PAGE>

                          COVINGTON CREDIT OF TEXAS, INC.,
                          a Texas corporation

                          By: /s/ James D. Thaxton
                             -------------------------------------------------
                                                   (Signature)

                          James D. Thaxton, President             8/31/00
                          -----------------------------------------------------
                          (Printed Name and Title)                (Date)

                          COVINGTON CREDIT OF GEORGIA, INC.,
                          a Georgia corporation

                          By: /s/ James D. Thaxton
                             -------------------------------------------------
                                                   (Signature)

                          James D. Thaxton, President             8/31/00
                          -----------------------------------------------------
                          (Printed Name and Title)                (Date)

                          SOUTHERN FINANCE OF SOUTH CAROLINA, INC.,
                          a South Carolina corporation

                          By: /s/ James D. Thaxton
                             -------------------------------------------------
                                                   (Signature)

                          James D. Thaxton, President             8/31/00
                          -----------------------------------------------------
                          (Printed Name and Title)                (Date)

                          SOUTHERN FINANCE OF TENNESSEE, INC.,
                          a Tennessee corporation

                          By: /s/ James D. Thaxton
                             -------------------------------------------------
                                                   (Signature)

                          James D. Thaxton, President             8/31/00
                          -----------------------------------------------------
                          (Printed Name and Title)                (Date)

                                     -11-

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