Document:

<PAGE>

                                                                       EXECUTION

             STRUCTURED ASSET SECURITIES CORPORATION, as Depositor,

                 AURORA LOAN SERVICES INC., as Master Servicer,

                                       and

                         U.S. BANK NATIONAL ASSOCIATION,
                                   as Trustee

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

                                 TRUST AGREEMENT

                            Dated as of June 1, 2001

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

                          CENDANT MORTGAGE CORPORATION
                       MORTGAGE PASS-THROUGH CERTIFICATES
                                  SERIES 2001-6

<PAGE>

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                                                               Page
                                                                                                               ----
<S>                                                                                                            <C>
Article I DEFINITIONS.............................................................................................9

Section 1.01. Definitions.........................................................................................9
Section 1.02. Calculations Respecting Mortgage Loans.............................................................42

Article II DECLARATION OF TRUST; ISSUANCE OF CERTIFICATES........................................................42

Section 2.01. Creation and Declaration of Trust Fund; Conveyance of Mortgage Loans...............................42
Section 2.02. Acceptance of Trust Fund by Trustee: Review of Documentation for Trust Fund........................46
Section 2.03. Representations and Warranties of the Depositor....................................................47
Section 2.04. Discovery of Breach................................................................................49
Section 2.05. Repurchase, Purchase or Substitution of Mortgage Loans.............................................50
Section 2.06. Grant Clause.......................................................................................51

Article III THE CERTIFICATES.....................................................................................52

Section 3.01. The Certificates...................................................................................52
Section 3.02. Registration.......................................................................................53
Section 3.03. Transfer and Exchange of Certificates..............................................................53
Section 3.04. Cancellation of Certificates.......................................................................59
Section 3.05. Replacement of Certificates........................................................................59
Section 3.06. Persons Deemed Owners..............................................................................59
Section 3.07. Temporary Certificates.............................................................................59
Section 3.08. Appointment of Paying Agent........................................................................60
Section 3.09. Book-Entry Certificates............................................................................60

Article IV ADMINISTRATION OF THE TRUST FUND......................................................................62

Section 4.01. Collection Account.................................................................................62
Section 4.02. Application of Funds in the Collection Account.....................................................63
Section 4.03. Reports to Certificateholders......................................................................65
Section 4.04. Certificate Account................................................................................68

Article V DISTRIBUTIONS TO HOLDERS OF CERTIFICATES...............................................................69

Section 5.01. Distributions Generally............................................................................69
Section 5.02. Distributions from the Certificate Account.........................................................69
Section 5.03. Allocation of Realized Losses......................................................................73
Section 5.04. Advances by the Master Servicer and the Trustee....................................................75
Section 5.05. Compensating Interest Payments.....................................................................76

Article VI CONCERNING THE TRUSTEE; EVENTS OF DEFAULT.............................................................76

Section 6.01. Duties of Trustee..................................................................................76
Section 6.02. Certain Matters Affecting the Trustee..............................................................78
Section 6.03. Trustee Not Liable for Certificates................................................................79

<PAGE>

Section 6.04. Trustee May Own Certificates.......................................................................79
Section 6.05. Eligibility Requirements for Trustee...............................................................80
Section 6.06. Resignation and Removal of Trustee.................................................................80
Section 6.07. Successor Trustee..................................................................................81
Section 6.08. Merger or Consolidation of Trustee.................................................................81
Section 6.09. Appointment of Co-Trustee, Separate Trustee or Custodian...........................................81
Section 6.10. Authenticating Agents..............................................................................83
Section 6.11. Indemnification of Trustee.........................................................................84
Section 6.12. Compensation of the Trustee........................................................................84
Section 6.13. Collection of Monies...............................................................................85
Section 6.14. Events of Default; Trustee To Act; Appointment of Successor........................................85
Section 6.15. Additional Remedies of Trustee Upon Event of Default...............................................89
Section 6.16. Waiver of Defaults.................................................................................89
Section 6.17. Notification to Holders............................................................................89
Section 6.18. Directions by Certificateholders and Duties of Trustee During Event of Default.....................89
Section 6.19. Action Upon Certain Failures of the Master Servicer and Upon Event of Default......................90
Section 6.20. Preparation of Tax Returns and Other Reports.......................................................90

Article VII PURCHASE AND TERMINATION OF THE TRUST FUND...........................................................91

Section 7.01. Termination of Trust Fund Upon Repurchase or Liquidation of All Mortgage Loans.....................91
Section 7.02. Procedure Upon Termination of Trust Fund...........................................................92
Section 7.03. Additional Trust Fund Termination Requirements.....................................................93

Article VIII RIGHTS OF CERTIFICATEHOLDERS........................................................................93

Section 8.01. Limitation on Rights of Holders....................................................................93
Section 8.02. Access to List of Holders..........................................................................94
Section 8.03. Acts of Holders of Certificates....................................................................95

Article IX ADMINISTRATION AND SERVICING OF MORTGAGE LOANS BY THE MASTER SERVICER.................................95

Section 9.01. Duties of the Master Servicer......................................................................95
Section 9.02. Master Servicer Fidelity Bond and Master Servicer Errors and Omissions Insurance Policy............96
Section 9.03. Master Servicer's Financial Statements and Related Information.....................................96
Section 9.04. Power to Act; Procedures...........................................................................97
Section 9.05. Servicing Agreements Between the Master Servicer and Servicers; Enforcement of
                   Servicers' Obligations........................................................................98
Section 9.06. Collection of Taxes, Assessments and Similar Items.................................................99
Section 9.07. Termination of Servicing Agreements; Successor Servicers..........................................100
Section 9.08. Master Servicer Liable for Enforcement............................................................100
Section 9.09. No Contractual Relationship Between Servicers and Trustee or Depositor............................100
Section 9.10. Assumption of Servicing Agreement by Trustee......................................................100
Section 9.11. "Due-on-Sale" Clauses; Assumption Agreements......................................................101

                                      iii
<PAGE>

Section 9.12. Release of Mortgage Files.........................................................................101
Section 9.13. Documents, Records and Funds in Possession of Master Servicer To Be Held for Trustee..............103
Section 9.14. Representations and Warranties of the Master Servicer.............................................104
Section 9.15. Closing Certificate and Opinion...................................................................106
Section 9.16. Standard Hazard and Flood Insurance Policies......................................................106
Section 9.17. Presentment of Claims and Collection of Proceeds..................................................107
Section 9.18. Maintenance of the Primary Mortgage Insurance Policies............................................107
Section 9.19. Trustee To Retain Possession of Certain Insurance Policies and Documents..........................108
Section 9.20. Realization Upon Defaulted Mortgage Loans.........................................................108
Section 9.21. Compensation to the Master Servicer...............................................................109
Section 9.22. REO Property......................................................................................109
Section 9.23. [Reserved]........................................................................................110
Section 9.24. Reports to the Trustee............................................................................110
Section 9.25. Annual Officer's Certificate as to Compliance.....................................................110
Section 9.26. Annual Independent Accountants' Servicing Report..................................................111
Section 9.27. Merger or Consolidation...........................................................................111
Section 9.28. Resignation of Master Servicer....................................................................111
Section 9.29. Assignment or Delegation of Duties by the Master Servicer.........................................112
Section 9.30. Limitation on Liability of the Master Servicer and Others.........................................112
Section 9.31. Indemnification; Third-Party Claims...............................................................113

Article X REMIC ADMINISTRATION..................................................................................113

Section 10.01. REMIC Administration.............................................................................113
Section 10.02. Prohibited Transactions and Activities...........................................................115
Section 10.03. Indemnification with Respect to Certain Taxes and Loss of REMIC Status...........................116
Section 10.04. REO Property.....................................................................................116

Article XI MISCELLANEOUS PROVISIONS.............................................................................117

Section 11.01. Binding Nature of Agreement; Assignment..........................................................117
Section 11.02. Entire Agreement.................................................................................117
Section 11.03. Amendment........................................................................................117
Section 11.04. Voting Rights....................................................................................118
Section 11.05. Provision of Information.........................................................................119
Section 11.06. Governing Law....................................................................................119
Section 11.07. Notices..........................................................................................119
Section 11.08. Severability of Provisions ......................................................................120
Section 11.09. Indulgences; No Waivers .........................................................................120
Section 11.10. Heading Not To Affect Interpretation ............................................................120
Section 11.11. Benefits of Agreement ...........................................................................120
Section 11.12. Special Notices to the Rating Agencies ..........................................................120
Section 11.13  Counterparts ....................................................................................121
</TABLE>

                                       iv
<PAGE>

                                  ATTACHMENTS

Exhibit A         Forms of Certificates
Exhibit B-1       Form of Trustee Initial Certification
Exhibit B-2       Form of Trustee Interim Certification
Exhibit B-3       Form of Final Certification
Exhibit B-4       Form of Endorsement
Exhibit C         Request for Release of Documents and Receipt
Exhibit D-l       Form of Residual Certificate Transfer Affidavit (Transferee)
Exhibit D-2       Form of Residual Certificate Transfer Affidavit (Transferor)
Exhibit E         Servicing Agreements
Exhibit F         Form of Rule 144A Transfer Certificate
Exhibit G         Form of Purchaser's Letter for Institutional Accredited
                  Investors
Exhibit H         Form of ERISA Transfer Affidavit
Exhibit I         Monthly Remittance Advice
Exhibit J         Monthly Electronic Data Transmission
Exhibit K         Custodial Agreements
Exhibit L         Distribution Priorities
Exhibit M         Scheduled Balances Tables
Exhibit N-1       Form of Transfer Certificate for Transfer from Restricted
                  Global Security to Regulation S Global Security pursuant to
                  Section 3.03(h)(B)
Exhibit N-2       Form of Transfer Certificate for Transfer from Regulation S
                  Global Security to Restricted Global Securities pursuant to
                  Section 3.03(h)(C)

Mortgage Loan Schedules
-----------------------

Schedule A        All Mortgage Loans (by Mortgage Pool)
Schedule B        Mortgage Loans with Retained Interest
Schedule C        Pledged Asset Mortgage Loans

                                       v
<PAGE>

     This TRUST AGREEMENT, dated as of June 1, 2001 (the "Agreement"), is by and
among STRUCTURED ASSET SECURITIES CORPORATION, a Delaware corporation, as
depositor (the "Depositor"), AURORA LOAN SERVICES INC., as master servicer (the
"Master Servicer"), and U.S. BANK NATIONAL ASSOCIATION, a national banking
association, as trustee (the "Trustee").

                              PRELIMINARY STATEMENT

     The Depositor has acquired the Mortgage Loans from Lehman Capital, A
Division of Lehman Brothers Holdings Inc. (the "Seller") and at the Closing Date
is the owner of the Mortgage Loans and the other property being conveyed by it
to the Trustee for inclusion in the Trust Fund. On the Closing Date, the
Depositor will acquire the Certificates from the Trust Fund, as consideration
for its transfer to the Trust Fund of the Mortgage Loans and the other property
constituting the Trust Fund. The Depositor has duly authorized the execution and
delivery of this Agreement to provide for the conveyance to the Trustee of the
Mortgage Loans and the other property constituting the Trust Fund. All covenants
and agreements made by the Depositor, the Master Servicer and the Trustee herein
with respect to the Mortgage Loans and the other property constituting the Trust
Fund are for the benefit of the Holders from time to time of the Certificates.
The Depositor and the Master Servicer are entering into this Agreement, and the
Trustee is accepting the Trust Fund created hereby, for good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged.

     As provided herein, the Trustee shall elect that the Trust Fund be treated
for federal income tax purposes as comprising two real estate mortgage
investment conduits (each a "REMIC" or, in the alternative, the Lower Tier REMIC
and the Upper Tier REMIC, respectively). Each Certificate, other than the Class
R Certificate, represents ownership of one or more regular interests in the
Upper Tier REMIC for purposes of the REMIC Provisions. The Class R Certificate
represents ownership of the sole class of residual interest in the Lower Tier
REMIC and the Upper Tier REMIC for purposes of the REMIC Provisions. The Upper
Tier REMIC shall hold as assets the several classes of uncertificated Lower Tier
Interests, other than the Class LT-R Interest, set out below. Each such Lower
Tier Interest, other than the Class LT-R Interest, is hereby designated as a
regular interest in the Lower Tier REMIC. The Lower Tier REMIC shall hold as
assets all property of the Trust Fund.

     The following table specifies the Class designation, interest rate, and
principal amount for each class of Lower Tier Interests.

<PAGE>

<TABLE>
<CAPTION>

     Lower Tier           Lower Tier         Initial Class Principal       Corresponding Class of
 Class Designation       Interest Rate        (or Notional) Amount       Certificates or Components
 -----------------       -------------        --------------------       --------------------------
<S>                      <C>                 <C>                        <C>
LT1-A1(a)                   7.00%                   $65,000,000.00            Class 1-A1
(1)                                                                           Class 1-A3
LT1-A1(b)                   7.00%                   $36,600,000.00            Class 1-A1
(2)                                                                           A5(2)
(3)                                                                           Class 1-A3
LT1-A2                      7.00%                   $16,059,000.00            Class 1-A2
(4)                                                                           A5(2)
LT1-A4                      7.00%                   $42,000,000.00            Class 1-A4
(5)                                                                           A5(3)
LT1-A5(1)                   7.00%                   $ 5,400,000.00            A5(1)
LT1-A5(4)                   0.00%                   $ 3,958,005.00            A5(4)
LT1-A5(5)                   7.00%                          (6)                A5(5)
LT1-A5(6)                   7.00%                   $47,400,000.00            A5(6)
LT1-A6                      7.00%                   $ 8,312,000.00            Class 1-A6
LT1-A7                      7.00%                   $ 2,000,000.00            Class 1-A7
LT1-A8                      7.00%                   $25,000,000.00            Class 1-A8
(5)                                                                           A5(3)
LT1-A9                      7.00%                   $15,000,000.00            Class 1-A9
(5)                                                                           A5(3)
LT1-A10                     7.00%                   $20,000,000.00            Class 1-A10
(5)                                                                           A5(3)
LTA-1Q                      7.00%                   $       100.00            Class R
LT1-B                       7.00%                   $ 9,479,618.43            Classes B1-B6
LT2-A1                      6.50%                   $56,813,000.00            Class 2-A1
LT2-A2                      6.50%                   $ 3,100,000.00            Class 2-A2
LT2-A3                      6.50%                   $11,500,000.00            Class 2-A3
LT2-AP                      0.00%                   $ 1,283,855.00            Class 2-AP
LT2-AX                      6.50%                         (7)                 Class 2-AX
LT2-B                       6.50%                   $ 2,404,068.02            Classes B1-B6
LT3-A                       6.50%                   $70,227,000.00            Class 3-A
LT3-AP                      0.00%                   $ 1,592,588.00            Class 3-AP
LT3-AX                      6.50%                         (8)                 Class 3-AX
LT3-B                       6.50%                   $ 2,374,439.81            Classes B1-B6
LT-R                         (8)                          (9)                 Class R
</TABLE>

---------------------------
(1)  The Class 1-A3 Certificates are entitled to receive on each Distribution
     Date a specified portion of the interest payable on the Class LT1-A1(a)
     Interest. Specifically, for each Accrual Period the Class 1-A3 Certificates
     are entitled to interest accruals on the Class LT1-A1(a) Interest at a per
     annum rate of 1.05%.

                                       2
<PAGE>

(2)  The Class A5(2) Component is entitled to receive on each Distribution Date
     a specified portion of the interest payable on the Class LT1-A1(b)
     Interest. Specifically, for each Accrual Period the Class A5(2) Component
     is entitled to interest accruals on the Class LT1-A1(b) Interest at a per
     annum rate of 0.60%.

(3)  The Class 1-A3 Certificates are entitled to receive on each Distribution
     Date a specified portion of the interest payable on the Class LT1-A1(b)
     Interest. Specifically, for each Accrual Period the Class 1-A3 Certificates
     are entitled to interest accruals on the Class LT1-A1(b) Interest at a per
     annum rate of 0.45%.

(4)  The Class A5(2) Component is entitled to receive on each Distribution Date
     a specified portion of the interest payable on the Class LT1-A2 Interest.
     Specifically, for each Accrual Period the Class A5(2) Component is entitled
     to interest accruals on the Class LT1-A2 Interest at a per annum rate of
     0.50%.

(5)  The Class A5(3) Component is entitled to receive on each Distribution Date
     a specified portion of the interest payable on the Class LT1-A4, Class
     LT1-A8, Class LT1-A9, and Class LT1-A10 Interests. Specifically, for each
     Accrual Period the Class A5(3) Component is entitled to interest accruals
     on the Class LT1-A4, Class LT1-A8, Class LT1-A9, and Class LT1-A10
     Interests at a per annum rate equal to the excess of (a) 7.00% over (b) the
     weighted average of the rates on the Class LT1-A4, Class LT1-A8, Class
     LT1-A9, and Class LT1-A10 Interests, weighted on the basis of their
     relative principal balances as of the first day of the related Accrual
     Period and computed for this purposes by reducing the rate payable on each
     such Lower Tier Interest to a rate that corresponds to the Certificate
     Interest Rate on the Corresponding Class of Certificates.

(6)  The Class LT1-A5(5) Interest is entitled to receive on each Distribution
     Date a specified portion of the interest payable on the Non-Discount
     Mortgage Loans in Pool 1. Specifically, for each Accrual Period, the Class
     LT1-A5(5) Interest is entitled to interest accruals on the Non-Discount
     Mortgage Loans in Pool 1 at a per annum rate equal to the excess of the
     weighted average of the Net Mortgage Rates on the Non-Discount Mortgage
     Loans in Pool 1 over 7.00%.

(7)  The Class LT2-AX Interest is entitled to receive on each Distribution Date
     a specified portion of the interest payable on the Non-Discount Mortgage
     Loans in Pool 2. Specifically, for each Accrual Period, the Class LT2-AX
     Interest is entitled to interest accruals on the Non-Discount Mortgage
     Loans in Pool 2 at a per annum rate equal to the excess of the weighted
     average of the Net Mortgage Rates on the Non-Discount Mortgage Loans in
     Pool 2 over 6.50%.

(8)  The Class LT3-AX Interest is entitled to receive on each Distribution Date
     a specified portion of the interest payable on the Non-Discount Mortgage
     Loans in Pool 3. Specifically, for each Accrual Period, the Class LT3-AX
     Interest is entitled to interest accruals on the Non-Discount Mortgage
     Loans in Pool 3 at a per annum rate equal to the excess of the weighted
     average of the Net Mortgage Rates on the Non-Discount Mortgage Loans in
     Pool 3 over 6.50%.

(9)  The Class LTR Interest is the sole Class of residual interest in the Lower
     Tier REMIC. It does not have an interest rate or a principal balance.

                                       3
<PAGE>

     On each Distribution Date, the Available Distribution Amount for Pool 1,
Pool 2 and Pool 3 shall be distributed with respect to the Lower Tier Interests
in the following manner:

     (i)    On each Distribution Date, interest is to be distributed (or, in the
            case of each Lower Tier Interest whose Corresponding Class of
            Certificate or Component is an Accrual Class, accreted to its
            principal balance) on each Lower Tier Regular Interest at the rate
            described above in the same order that interest is distributed (or
            accreted) on the Corresponding Class or Classes of Certificates or
            Components;

     (ii)   For each Class of Lower Tier Interest for which there is a
            Corresponding Class of Senior Certificates, principal and amounts
            accrued and accreted to the balance of each Lower Tier Regular
            Interest whose Corresponding Class of Certificate or Component is an
            Accrual Class are to be distributed on each such Class of Lower Tier
            Interest on each Distribution Date in the same manner and in the
            same amount as such amounts are distributed on such Corresponding
            Class of Senior Certificates, provided however, that if
            distributions required to be made on any Distribution Date in
            reduction of the Class Principal Amount of the Class 1-A1
            Certificates, then an amount equivalent to such distributions shall
            be distributed first to the Class LT1-A1(a) Interest until its
            balance is reduced to zero, and then to the Class LT1-A1(b) Interest
            until its balance is reduced to zero;

     (iii)  On each Distribution Date, the excess, if any, of the Available
            Distribution Amount for Pool 1 over the amounts distributed pursuant
            to clauses (i) and (ii) above is to be distributed as principal on
            the Class LT1-B Interest;

     (iv)   On each Distribution Date, the excess, if any, of the Available
            Distribution Amount for Pool 2 over the amounts distributed pursuant
            to clauses (i) and (ii) above is to be distributed as principal on
            the Class LT2-B Interest; and

     (v)    On each Distribution Date, the excess, if any, of the Available
            Distribution Amount for Pool 3 over the amounts distributed pursuant
            to clauses (i) and (ii) above is to be distributed as principal on
            the Class LT3-B Interest.

     On each Distribution Date, Realized Losses shall be allocated among the
Lower Tier Interests in the following manner:

     (i)    Realized Losses (other than the applicable AP Percentage of such
            Realized Losses and Excess Losses allocable to the Senior
            Certificates) attributable to the Mortgage Loans in Pool 1 for any
            Distribution Date shall be allocated first to the Class LT1-B
            Interest until its principal balance is reduced to zero;

     (ii)   Realized Losses (other than the applicable AP Percentage of such
            Realized Losses and Excess Losses allocable to the Senior
            Certificates) attributable to the Mortgage Loans in Pool 2 shall be
            allocated first to the Class LT2-B Interest until its balance is
            reduced to zero;

     (iii)  Realized Losses (other than the applicable AP Percentage of such
            Realized Losses and Excess Losses allocable to the Senior
            Certificates) attributable to the

                                       4
<PAGE>

            Mortgage Loans in Pool 3 shall be allocated first to the Class LT3-B
            Interest until its balance is reduced to zero;

     (iv)   Realized Losses (other than the AP Percentages of such Realized
            Losses and Excess Losses allocable to the Senior Certificates) in
            excess of the allocations made pursuant to clauses (i), (ii) and
            (iii) above are to be allocated first to the Class LT1-B, Class
            LT2-B, or LT3-B Interests, whichever has a remaining balance, to the
            extent of its remaining principal balance, and then among the
            remaining classes of Lower Tier Interests in the same manner that
            such Realized Losses are allocated among the Corresponding Classes
            of Certificates; and

     (v)    The AP Percentage of Realized Losses with respect to Pool 1 shall be
            allocated to the Class LT1-AP Interest until its Principal Amount
            has been reduced to zero; the AP Percentage of Realized Losses with
            respect to Pool 2 shall be allocated to the Class LT2-AP Interest
            until its principal amount has been reduced to zero, and the AP
            Percentage of Realized Losses with respect to Pool 2 shall be
            allocated to the Class LT2-AP Interest until its principal amount
            has been reduced to zero.

     Net Prepayment Shortfalls and Excess Losses are to be allocated among the
Classes of Lower Tier Interests in the same manner that such items are allocated
among the Corresponding Classes of Certificates.

     The following table specifies the Class designation, Certificate Interest
Rate, initial Class Principal (or Notional) Amount and minimum denomination (by
dollar amount or Percentage Interest) for each Class of Certificates (each of
which, other than the Class R Certificate, represents ownership of one or more
regular interests in the Upper Tier REMIC) constituting the interests in the
Trust Fund created hereunder.

                                       5
<PAGE>

<TABLE>
<CAPTION>
                                                                             Minimum Denomination or
                            Certificate        Initial Class Principal         Minimum Percentage
    Class Designation      Interest Rate         (or Notional) Amount                Interest
    -----------------      -------------         --------------------                --------
<S>                        <C>                   <C>                            <C>
Class 1-A1                     5.95%                 $101,600,000                    $25,000
Class 1-A2                     6.50%                 $ 16,059,000                    $25,000
Class 1-A3                     7.00%                       (1)                       $250,000
Class 1-A4                     6.10%                 $ 42,000,000                    $25,000
Class 1-A5                      (2)                  $ 56,785,005                    $25,000
Class 1-A6                     7.00%                 $  8,312,000                    $25,000
Class 1-A7                     7.00%                 $  2,000,000                    $25,000
Class 1-A8                     6.30%                 $ 25,000,000                    $25,000
Class 1-A9                     6.30%                 $ 15,000,000                    $25,000
Class 1-A10                    6.75%                 $ 20,000,000                    $25,000
Class 2-A1                     6.50%                 $ 56,813,000                    $25,000
Class 2-A2                     6.50%                 $  3,100,000                    $ 1,000
Class 2-A3                     6.50%                 $ 11,500,000                    $25,000
Class 2-AP                     0.00%                 $  1,283,855                      100%
Class 2-AX                     6.50%                       (3)                         100%
Class 3-A                      6.50%                 $  70,227,000                   $25,000
Class 3-AP                     0.00%                 $   1,592,588                     100%
Class 3-AX                     6.50%                       (4)                         100%
Class B1                        (5)                  $   6,684,000                   $100,000
Class B2                        (5)                  $   2,673,000                   $100,000
Class B3                        (5)                  $   2,005,000                   $100,000
Class B4                        (5)                  $   1,336,000                   $250,000
Class B5                        (5)                  $     669,000                   $250,000
Class B6                        (5)                  $     891,026                   $250,000
Class R                        7.00%                 $         100                     100%
</TABLE>

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

(1)  The Class Notional Amount with respect to any Distribution Date (and the
     related Accrual Period) of the Class 1-A3 Certificates will equal the sum
     of (1) the product of (a) 15.0000000000% and (b) the greater of (i) zero
     and (ii) the Class Principal Amount of the Class 1-A1 Certificates
     immediately before that Distribution Date minus $36,000,000 and (2) the
     product of (a) 6.4285714286% and (b) the lesser of (i) $36,000,000 and (ii)
     the Class Principal Amount of the Class 1-A1 Certificates immediately
     before that Distribution Date.

(2)  The Class 1-A5 Certificate comprises six components and each Component,
     other than the 1A5(4) Component, which is a Principal Only Component, has a
     Component Interest Rate of 7.00%. The initial Component Principal Amounts
     or Component Notional Amounts are as follows:

         o  The 1-A5(1) Component has an initial Component Principal Amount of
            $5,400,000;

                                       6
<PAGE>

         o  The 1-A5(2) Component has a Component Notional Amount for any
            Distribution Date (and the related Accrual Period) equal to the sum
            of (1) the product of (a) 7.1428571429% and (b) the Class Principal
            Amount of the Class 1-A2 Certificates immediately before that
            Distribution Date, and (2) the product of (a) 8.5714285714% and (b)
            the lesser of (i) $36,000,000 or (ii) the Class Principal Amount of
            the Class 1-A1 Certificates immediately before that Distribution
            Date;

         o  The 1-A5(3) Component has a Component Notional Amount for any
            Distribution Date (and the related Accrual Period) equal to the
            product of (1) a fraction, the numerator of which is (a) 7.00% minus
            a per annum rate equal to the weighted average of the Certificate
            Interest Rates for the Class 1-A4, Class 1-A8, Class 1-A9, and Class
            1-A10 Certificates, and the denominator of which is (b) 7.00%, and
            (2) the sum of the Class Principal Amounts for the Class 1-A4, Class
            1-A8, Class 1-A9, and Class 1-A10 Certificates immediately before
            that Distribution Date;

         o  The 1-A5(4) Component has an initial Component Principal Amount of
            $3,958,005;

         o  The 1-A5(5) Component has a Component Notional Amount for any
            Distribution Date (and the related Accrual Period) equal to the
            product of (1) a fraction, the numerator of which is (a) the excess
            of the weighted average of the Net Mortgage Rates on the
            Non-Discount Mortgage Loans in Pool 1 over 7.00% and the denominator
            of which is (b) 7.00%, and (2) the total Scheduled Principal Balance
            of Non-Discount Mortgage Loans in Pool 1 as of the first day of the
            related Accrual Period.

         o  The 1-A5(6) Component has an initial Component Principal Amount of
            $47,400,000.

(3)  The Class Notional Amount of the Class 2-AX Certificates for any
     Distribution Date shall equal the product of (1) a fraction, the numerator
     of which is (a) the excess of the weighted average of the Net Mortgage
     Rates on the Non-Discount Mortgage Loans in Pool 2 over 6.50% and the
     denominator of which is (b) 6.50%, and (2) the total Scheduled Principal
     Balance of Non-Discount Mortgage Loans in Pool 2 as of the first day of the
     related Accrual Period.

(4)  The Class Notional Amount of the Class 3-AX Certificates for any
     Distribution Date shall equal the product of (1) a fraction, the numerator
     of which is (a) the excess of the weighted average of the Net Mortgage
     Rates on the Non-Discount Mortgage Loans in Pool 3 over 6.50% and the
     denominator of which is (b) 6.50%, and (2) the total Scheduled Principal
     Balance of Non-Discount Mortgage Loans in Pool 3 as of the first day of the
     related Accrual Period.

(5)  For any Distribution Date (and the related Accrual Period) the Class B1,
     Class B2, Class B3, Class B4, Class B5 and Class B6 Certificates shall bear
     interest at a per annum rate equal to the Average Rate for such
     Distribution Date.

     As of the Cut-off Date, the Mortgage Loans had an aggregate Scheduled
Principal Balance of $445,503,574.26.

                                       7
<PAGE>

     For purposes hereof, each pool of mortgage loans constitutes a fully
separate and distinct sub-trust.

                                       8
<PAGE>

                                   ARTICLE I

                                   DEFINITIONS

     Section 1.01. Definitions.

     The following words and phrases, unless the context otherwise requires,
shall have the following meanings:

     Accepted Servicing Practices: With respect to any Mortgage Loan, as
applicable, either (x) those customary mortgage servicing practices of prudent
mortgage servicing institutions that service or master service mortgage loans of
the same type and quality as such Mortgage Loan in the jurisdiction where the
related Mortgaged Property is located, to the extent applicable to the Trustee
or the Master Servicer or (y) as provided in the applicable Servicing Agreement,
to the extent applicable to the related Servicer.

     Accountant: A person engaged in the practice of accounting who (except when
this Agreement provides that an Accountant must be Independent) may be employed
by or affiliated with the Depositor or an Affiliate of the Depositor.

     Accretion Termination Date: As to the 1-A5(6) Component, the earlier of (x)
the Credit Support Depletion Date and (y) the first Distribution Date on which
the Class Principal Amounts of the Class 1-A4, Class 1-A6, Class 1-A7, Class
1-A8, Class 1-A9 and Class 1-A10 Certificates have been reduced to zero; as to
the Class 1-A6 Certificates, the earlier of (x) the Credit Support Depletion
Date and (y) the first Distribution Date on which the Class Principal Amounts of
the Class 1-A4, Class 1-A8, Class 1-A9, Class 1-A10 Certificates and the
Component Principal Amount of the 1-A5(6) Component have been reduced to zero;
as to the Class 1-A7 Certificates, the earlier of (x) the Credit Support
Depletion Date and (y) the first Distribution Date on which the Class Principal
Amount of the Class 1-A-4, Class 1-A6, Class 1-A8, Class 1-A9 and Class 1-A10
Certificates and the Component Principal Amount of the 1-A5(6) Component have
been reduced to zero.

     Accrual Amount: As to any Class of Accrual Certificates or Accrual
Components and each Distribution Date through the applicable Accretion
Termination Date, the sum of (x) any amount of Accrued Certificate Interest
allocable to such Class or Component pursuant to Section 5.02(a)(ii) on such
Distribution Date and (y) any Interest Shortfall allocable to such Class or
Component pursuant to Section 5.02(a)(iii) on such Distribution Date. As to any
Class of Accrual Certificates or Accrual Components and each Distribution Date
after the applicable Accretion Termination Date, zero.

     Accrual Certificate: Any Class 1-A6 or Class 1-A7 Certificate.

     Accrual Component: The 1-A5(6) Component.

     Accrual Period: With respect to any Distribution Date and any Class of
Certificates (other than any Class of Principal Only Certificates), the
one-month period beginning immediately following the end of the preceding
Accrual Period (or from the Cut-off Date, in the

                                       9
<PAGE>

case of the first Accrual Period) and ending on the last day of the month
immediately preceding the month in which such Distribution Date occurs.

     Accrued Certificate Interest: As to any Class of Certificates (other than
any Principal Only Certificates and the Class 1-A5 Certificates) and any
Component (other than any Principal-Only Component), and any Distribution Date,
the product of the Certificate Interest Rate for such Class of Certificates (or
the Component Interest Rate, for such Component) and the Class Principal Amount
(or Class Notional Amount) of such Class of Certificates (or the Component
Principal Amount or Component Notional Amount of such Component) immediately
preceding such Distribution Date, as reduced by such Class's or Component's
share of the interest portion of (i) any Excess Losses for such Distribution
Date and (ii) any Relief Act Reduction, in each case allocable among the Senior
Certificates (and any Components thereof) of the related Certificate Group pro
rata based on the Accrued Certificate Interest otherwise distributable thereto,
and allocable to the Subordinate Certificates pro rata based on interest accrued
on their respective Apportioned Principal Balances. As to the Class 1-A5
Certificates and any Distribution Date, Accrued Certificate Interest will equal
the sum of Accrued Certificate Interest on each Component thereof. Interest
shall be calculated for such Certificates and Components on the basis of a
360-day year consisting of twelve 30-day months.

     Act: As defined in Section 3.03(c).

     Additional Collateral: With respect to any Mortgage 100(SM) Loan, the
marketable securities held from time to time as security for the repayment of
such Mortgage 100(SM) Loan and any related collateral. With respect to any
Parent Power(SM) Loan, the third-party guarantee for such Parent Power(SM) Loan,
together with (i) any marketable securities held from time to time as security
for the performance of such guarantee and any related collateral or (ii) any
mortgaged property securing the performance of such guarantee, the related home
equity line of credit loan and any related collateral.

     Additional Collateral Servicing Agreement: The Additional Collateral
Servicing Agreement, dated as of March 29, 2001 between Cendant and Lehman
Brothers Bank, FSB.

     Advance: An advance of the aggregate of payments of principal and interest
(net of the applicable Servicing Fee) on one or more Mortgage Loans that were
due on the Due Date in the related Due Period and not received as of the close
of business on the related Determination Date, required to be made by or on
behalf of the Master Servicer and the related Servicer (or by the Trustee)
pursuant to Section 5.04.

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

     Aggregate Principal Balance: The aggregate of the Scheduled Principal
Balances for all Mortgage Loans at any date of determination.

                                       10
<PAGE>

     Aggregate Subordinate Percentage: With respect to any Distribution Date,
the sum of the Class Principal Amounts of the Subordinate Certificates
immediately prior to such date divided by the sum of the Non-AP Pool Balances
for all Mortgage Pools for the immediately preceding Distribution Date.

     Aggregate Voting Interests: The aggregate of the Voting Interests of all
the Certificates under this Agreement.

     Agreement: This Trust Agreement and all amendments and supplements hereto.

     AP Percentage: As to any Discount Mortgage Loan in Pool 1, Pool 2 or Pool
3, the percentage equivalent of a fraction, the numerator of which is the
applicable Designated Rate minus the Net Mortgage Rate of such Discount Mortgage
Loan and the denominator of which is the applicable Designated Rate. As to any
Non-Discount Mortgage Loan in Pool 1, Pool 2 or Pool 3, 0%.

     AP Principal Distribution Amount: For any Distribution Date and for each of
Pool 1, Pool 2 and Pool 3, the sum of the following amounts:

         (1) the applicable AP Percentage of the principal portion of each
     Scheduled Payment (without giving effect to any Debt Service Reduction
     occurring prior to the Bankruptcy Coverage Termination Date) on each
     Mortgage Loan in the related Mortgage Pool due during the related Due
     Period;

         (2) the applicable AP Percentage of each of the following amounts: (1)
     each Principal Prepayment collected on a Mortgage Loan in the related
     Mortgage Pool during the applicable Prepayment Period, (2) each other
     unscheduled collection, including Insurance Proceeds and Net Liquidation
     Proceeds (other than with respect to any Mortgage Loan in the related
     Mortgage Pool that was finally liquidated during the applicable Prepayment
     Period), representing or allocable to recoveries of principal of such
     Mortgage Loan in the related Mortgage Pool received during the applicable
     Prepayment Period and (3) the principal portion of all proceeds of the
     purchase of any Mortgage Loan in the related Mortgage Pool (or, in the case
     of a permitted substitution, amounts representing a principal adjustment)
     actually received by the Trustee with respect to the applicable Prepayment
     Period;

         (3) with respect to unscheduled recoveries allocable to principal of
     any Mortgage Loan in the related Mortgage Pool that was finally liquidated
     during the related Prepayment Period, the applicable AP Percentage of the
     related net Liquidation Proceeds allocable to principal; and

         (4) any amounts described in clauses (1) through (3) for any previous
     Distribution Date that remain unpaid.

     Apportioned Principal Balance: As to any Class of Subordinate Certificates
and any Distribution Date, the Class Principal Amount of such Class immediately
prior to such Distribution Date multiplied by a fraction, the numerator of which
is the applicable Group

                                       11
<PAGE>

Subordinate Amount for such date and the denominator of which is the sum of the
Group Subordinate Amounts for all Mortgage Pools for such date.

     Appraised Value: With respect to any Mortgage Loan, the amount set forth in
an appraisal made in connection with the origination of such Mortgage Loan as
the value of the related Mortgaged Property.

     Assignment of Mortgage: An assignment of the Mortgage, notice of transfer
or equivalent instrument, in recordable form, sufficient under the laws of the
jurisdiction wherein the related Mortgaged Property is located to reflect the
sale of the Mortgage to the Trustee, which assignment, notice of transfer or
equivalent instrument may be in the form of one or more blanket assignments
covering the Mortgage Loans secured by Mortgaged Properties located in the same
jurisdiction, if permitted by law; provided, however, that the Trustee shall not
be responsible for determining whether any such assignment is in recordable
form.

     Authenticating Agent: Any authenticating agent appointed by the Trustee
pursuant to Section 6.10.

     Authorized Officer: Any Person who may execute an Officer's Certificate on
behalf of the Depositor.

     Available Distribution Amount: As to each Mortgage Pool and on any
Distribution Date, the sum of the following amounts:

         (1) the total amount of all cash received by the Master Servicer
     through the Remittance Date applicable to each Servicer and deposited by
     the Master Servicer by the Deposit Date for such Distribution Date on the
     Mortgage Loans of such Mortgage Pool (including proceeds of any Insurance
     Policy and any other credit support relating to such Mortgage Loans and
     including recoveries through liquidation of any REO Property), plus all
     Advances made by the Master Servicer or any Servicer (or the Trustee in its
     capacity as successor Master Servicer) for such Distribution Date, any
     Compensating Interest Payment for such date and Mortgage Pool and any
     amounts paid by any Servicer in respect of Prepayment Interest Shortfalls
     in respect of the related Mortgage Loans for such date, and any proceeds of
     any purchase of a related Mortgage Loan but not including:

            (A) all amounts distributed pursuant to Section 5.02 on prior
         Distribution Dates;

            (B) all Scheduled Payments of principal and interest collected but
         due on a date subsequent to the related Due Period;

            (C) all Principal Prepayments received or identified by the
         applicable Servicer after the applicable Prepayment Period (together
         with any interest payments received with such prepayments to the extent
         that they represent the payment of interest accrued on the related
         Mortgage Loans for the period subsequent to the applicable Prepayment
         Period);

                                       12
<PAGE>

            (D) any other unscheduled collection, including Net Liquidation
         Proceeds and Insurance Proceeds, received by the Master Servicer after
         the applicable Prepayment Period;

            (E) all fees and amounts due or reimbursable to the Master Servicer,
         the Trustee, a Custodian or any Servicer pursuant to the terms of this
         Agreement, a Custodial Agreement or the applicable Servicing Agreement;
         and

            (F) such portion of each payment in respect of interest representing
         Retained Interest; and

         (2) any other payment made by the Master Servicer, any Servicer, the
     Seller, the Depositor, or any other Person with respect to such
     Distribution Date (including the Purchase Price with respect to any
     Mortgage Loan purchased by the Seller, the Depositor or any other Person).

     Average Rate: For each Distribution Date, an annual rate equal to the
weighted average of the Designated Rates applicable to each of the Mortgage
Pools, weighted on the basis of the Group Subordinate Amount for each Mortgage
Pool for such date.

     Balloon Mortgage Loan: Any Mortgage Loan having an original term to
maturity that is shorter than its amortization schedule, and a final Scheduled
Payment that is disproportionately large in comparison to other Scheduled
Payments.

     Balloon Payment: The final Scheduled Payment in respect of a Balloon
Mortgage Loan.

     Bank: Lehman Brothers Bank, FSB and its successors and assigns.

     Bankruptcy: As to any Person, the making of an assignment for the benefit
of creditors, the filing of a voluntary petition in bankruptcy, adjudication as
a bankrupt or insolvent, the entry of an order for relief in a bankruptcy or
insolvency proceeding, the seeking of reorganization, arrangement, composition,
readjustment, liquidation, dissolution or similar relief, or seeking, consenting
to or acquiescing in the appointment of a trustee, receiver or liquidator,
dissolution, or termination, as the case may be, of such Person pursuant to the
provisions of either the United States Bankruptcy Code of 1986, as amended, or
any other similar state laws.

     Bankruptcy Coverage Termination Date: As to any Mortgage Pool, the
Distribution Date on which the Bankruptcy Loss Limit has been reduced to zero
(or less than zero).

     Bankruptcy Loss Limit: As of the Cut-off Date, $100,000, which amount shall
be reduced from time to time by the amount of Bankruptcy Losses allocated to the
Certificates.

     Bankruptcy Losses: With respect to the Mortgage Loans, losses that are
incurred as a result of Deficient Valuations and any reduction, in a bankruptcy
proceeding, of the amount of the Scheduled Payment on a Mortgage Loan other than
as a result of a Deficient Valuation.

     Benefit Plan Opinion: An Opinion of Counsel satisfactory to the Trustee to
the effect that any proposed transfer will not (i) cause the assets of the Trust
Fund to be regarded as plan

                                       13
<PAGE>

assets for purposes of the Plan Asset Regulations or (ii) give rise to any
fiduciary duty on the part of the Depositor or the Trustee.

     Blanket Mortgage: The mortgage or mortgages encumbering a Cooperative
Property.

     Book-Entry Certificates: Beneficial interests in Certificates designated as
"Book-Entry Certificates" in this Agreement, ownership and transfers of which
shall be evidenced or made through book entries by a Clearing Agency as
described in Section 3.09; provided, that after the occurrence of a condition
whereupon book-entry registration and transfer are no longer permitted and
Definitive Certificates are to be issued to Certificate Owners, such Book-Entry
Certificates shall no longer be "Book-Entry Certificates." As of the Closing
Date, all of the Classes of Certificates listed in the second table in the
Preliminary Statement, other than the Class R Certificates, constitute
Book-Entry Certificates.

     Business Day: Any day other than (i) a Saturday or a Sunday, (ii) a day on
which banking institutions in Colorado, Minnesota, New York, New York or, if
other than New York, the city in which the Corporate Trust Office of the Trustee
is located, or (iii) with respect to any Remittance Date or any Servicer
reporting date, the States specified in the definition of "Business Day" in the
applicable Servicing Agreement, are authorized or obligated by law or executive
order to be closed.

     Certificate: Any one of the certificates signed and countersigned by the
Trustee in substantially the forms attached hereto as Exhibit A.

     Certificate Account: The account maintained by the Trustee in accordance
with the provisions of Section 4.04.

     Certificate Group: The Group 1 Certificates, the Group 2 Certificates or
the Group 3 Certificates, as applicable.

     Certificate Interest Rate: With respect to each Class of Certificates
(other than the Principal Only Certificates), the applicable per annum rate
specified or determined as provided in the Preliminary Statement hereto.

     Certificate Owner: With respect to a Book-Entry Certificate, the Person who
is the owner of such Book-Entry Certificate, as reflected on the books of the
Clearing Agency, or on the books of a Person maintaining an account with such
Clearing Agency (directly or as an indirect participant, in accordance with the
rules of such Clearing Agency).

     Certificate Principal Amount: With respect to any Certificate (other than a
Notional Certificate or a Component Certificate), at the time of determination,
the maximum specified dollar amount of principal to which the Holder thereof is
then entitled hereunder, such amount being equal to the initial principal amount
set forth on the face of such Certificate (plus, in the case of any Negative
Amortization Certificate, any Deferred Interest allocated thereto on previous
Distribution Dates, and plus, in the case of any Accrual Certificate, its
Percentage Interest of any related Accrual Amount for each previous Distribution
Date), less the amount of all principal distributions previously made with
respect to such Certificate, all Realized Losses allocated to such Certificate,
and, in the case of a Subordinate Certificate, any Subordinate

                                       14
<PAGE>

Certificate Writedown Amount allocated to such Certificates. For purposes of
Article V hereof, unless specifically provided to the contrary, Certificate
Principal Amounts (and Component Principal Amounts) shall be determined as of
the close of business of the immediately preceding Distribution Date, after
giving effect to all distributions made on such date. Notional Certificates are
issued without Certificate Principal Amounts. The Certificate Principal Amount
of any Class 1-A5 Certificate as of any Distribution Date will equal the sum of
the Component Principal Amounts of the A5(1) Component, the A5(4) Component and
the A5(6) Component.

     Certificate Register and Certificate Registrar: The register maintained and
the registrar appointed pursuant to Section 3.02.

     Certificateholder: The meaning provided in the definition of "Holder."

     Class: All Certificates bearing the same class designation, and, in the
case of each Lower Tier REMIC, all Lower Tier Interests bearing the same
designation.

     Class A Certificate: Any Class 1-A1, Class 1-A2, Class 1-A3, Class 1-A4,
Class 1-A5, Class 1-A6, Class 1-A7, Class 1-A8, Class 1-A9, Class 1-A10, Class
2-A1, Class 2-A2, Class 2-A3, Class 2-AP, Class 2-AX, Class 3-A and Class 3-AX
Certificate.

     Class AP Certificate: Any Class 2-AP or Class 3-AP Certificate.

     Class AP Deferred Amount: With respect to any Distribution Date on or prior
to the Credit Support Depletion Date and, with respect to each Class of Class AP
Certificates, (i) the aggregate of the applicable AP Percentage of the principal
portion of each Realized Loss (other than any Excess Loss) for such Distribution
Date on a Discount Mortgage Loan in the related Mortgage Pool; and (ii) all such
amounts previously allocated thereto and not distributed to such Class as a
Class AP Deferred Amount.

     Class B Certificate: Any Class B1, Class B2, Class B3, Class B4, Class B5
or Class B6 Certificate.

     Class Notional Amount: With respect to each Class of Notional Certificates,
the applicable class notional amount calculated as provided in the Preliminary
Statement hereto.

     Class Percentage: With respect to each Class of Subordinate Certificates,
for each Distribution Date, the percentage obtained by dividing the Class
Principal Amount of such Class immediately prior to such Distribution Date by
the sum of the Class Principal Amounts of all Certificates, immediately prior to
such date.

     Class Principal Amount: With respect to each Class of Certificates other
than any Class of Notional Certificates, the aggregate of the Certificate
Principal Amounts of all Certificates of such Class at the date of
determination. With respect to each Class of Notional Certificates, zero.

     Class 2-A3 Percentage: With respect to any Distribution Date, the lesser of
(x) 100% and (y) the percentage obtained by dividing the sum of the Class
Principal Amount of the Class 2-A3 Certificates and $3,800,000 by the Non AP
Pool Balance for Pool 2.

                                       15
<PAGE>

     Class 2-A3 Prepayment Shift Percentage: For any Distribution Date during
the first five years beginning on the first Distribution Date, 0%. For each
Distribution Date in the first year thereafter, 30% for each Distribution Date
in the second year thereafter; 40% for each Distribution Date in the third year
thereafter, 60%; for each Distribution Date in the fourth year thereafter, 80%;
and for any subsequent Distribution Date, 100%.

     Class 2-A3 Priority Amount: With respect to any Distribution Date, the
lesser of (1) the sum of (x) the product of the Class 2-A3 Percentage for such
date, the Class 2-A3 Scheduled Principal Percentage for such date and the amount
described in clause (i) of the definition of Senior Principal Distribution
Amount for Pool 2 (without application of the related Senior Percentage); and
(y) the product of the Class 2-A3 Percentage for such date, the Class 2-A3
Prepayment Shift Percentage for such date and the amount described in clauses
(ii) and (iii) of the definition of Senior Principal Distribution Amount for the
Pool 2 (without application of the related Senior Prepayment Percentage) and (2)
the Class Principal Amount of the Class 2-A3 Certificates immediately prior to
such date.

     Class 2-A3 Scheduled Principal Percentage: For any Distribution Date during
the first five years beginning on the first Distribution Date, 0%. Thereafter,
the NAS Percentage for such date will equal 100%.

     Clearing Agency: An organization registered as a "clearing agency" pursuant
to Section 17A of the Securities Exchange Act of 1934, as amended. As of the
Closing Date, the Clearing Agency shall be The Depository Trust Company.

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

     Clearstream: Clearstream Banking, societe anonyme, and any successor
thereto.

     Closing Date: June 29, 2001.

     Code: The Internal Revenue Code of 1986, as amended, and as it may be
further amended from time to time, any successor statutes thereto, and
applicable U.S. Department of Treasury regulations issued pursuant thereto in
temporary or final form.

     Collection Account: A separate account established and maintained by the
Master Servicer pursuant to Section 4.01.

     Compensating Interest Payment: With respect to each Mortgage Pool and any
Distribution Date, an amount equal to the excess of (x) the aggregate of any
Prepayment Interest Shortfalls with respect to such Mortgage Pool and such
Distribution Date over (y) the aggregate of any `amounts required to be paid by
any Servicer in respect of such shortfalls but not paid; provided that the
aggregate Compensating Interest Payment to be paid by the Master Servicer for
any Distribution Date shall not exceed the Master Servicing Fee that would be
payable to the Master Servicer without giving effect to any Compensating
Interest Payment.

                                       16
<PAGE>

     Component: Each of the components having the designations, initial
Component Principal Amounts or initial Component Notional Amounts, as
applicable, and Component Interest Rates as follows:

                           Initial Component              Component
        Designation        Principal Amount             Interest Rate
        -----------        -----------------            -------------
          A5(1)               $  5,400,000                  7.00%
          A5(2)               $  4,284,214                  7.00%
                              (Notional)

          A5(3)               $ 10,114,285                  7.00%
                              (Notional)

          A5(4)               $  3,958,005                  0.00%
          A5(5)               $  6,936,170                  7.00%
                              (Notional)

          A5(6)               $ 47,400,000                  7.00%

     Component Certificate: Any Class 1-A5 Certificate.

     Component Interest Rate: With respect to each Component, the rate per annum
set forth opposite such Component's designation in the definition of Component.

     Component Notional Amount: With respect to the 1-A5(2) Component and each
Distribution Date, the sum of (A) the product of (1) approximately 7.1428571429%
and (2) the Class Principal Amount of the Class 1-A2 Certificates immediately
before that Distribution Date and (B) the product of (1) approximately
8.5714285714% and (2) the lesser of (x) $36,600,000 and (y) Class Principal
Amount of the Class 1-A1 Certificates immediately before that Distribution Date.
The initial Component Notional Amount of the 1-A5(2) Component is approximately
$4,284,214. With respect to the 1-A5(3) Component and each Distribution Date,
the product of (A)(1)(x) 7.0000000000% minus (y) the weighted average of the
Certificate Interest Rates of the Class 1-A4, Class 1-A8, Class 1-A9 and Class
1-A10 Certificates divided by (2) 7.0000000000% and (B) the sum of the Class
Principal Amounts of the Class 1-A4, Class 1-A8, Class 1-A9 and Class 1-A10
Certificates immediately before that Distribution Date. The initial Component
Notional Amount of the 1-A5(3) Component is approximately $10,114,285. With
respect to the 1-A5(5) Component and any Distribution Date, the product of (1) a
fraction, the numerator of which is the weighted average of the Net Mortgage
Rates of the Non-Discount Mortgage Loans in Pool 1 at the beginning of the
related Due Period less the Designated Rate for Pool 1,and the denominator of
which is such Designated Rate and (2) the total Scheduled Principal Balance of
the Non-Discount Mortgage Loans in Pool 1 as of the first day of the related
Accrual Period. The initial Component Notional Amount of the 1-A5(5) Component
is approximately $6,936,170.

     Component Principal Amount: With respect to each Component as of any
Distribution Date, the initial Component Principal Amount of such Component (as
set forth in the definition of "Component" above) as of the Closing Date as
reduced by all amounts previously distributed on that Component in respect of
principal and the principal portion of any Realized Losses (as

                                       17
<PAGE>

defined herein) previously allocated to that Component, and, in the case of any
Accrual Component, as increased by the amount of any Accrual Amount for such
Component on previous Distribution Dates.

     Component Writedown Amount: Not applicable.

     Control: The meaning specified in Section 8-106 of the UCC.

     Conventional Loan: A Mortgage Loan that is not insured by the United States
Federal Housing Administration or guaranteed by the United States Veterans
Administration.

     Converted Mortgage Loan: None.

     Convertible Mortgage Loan: None.

     Cooperative Corporation: The entity that holds title (fee or an acceptable
leasehold estate) to the real property and improvements constituting the
Cooperative Property and which governs the Cooperative Property, which
Cooperative Corporation must qualify as a Cooperative Housing Corporation under
Section 216 of the Code.

     Cooperative Loan: Any Mortgage Loan secured by Cooperative Shares and a
Proprietary Lease.

     Cooperative Loan Documents: As to any Cooperative Loan, (i) the Cooperative
Shares, together with a stock power in blank; (ii) the original executed
Security Agreement and the assignment of the Security Agreement endorsed in
blank; (iii) the original executed Proprietary Lease and the assignment of the
Proprietary Lease endorsed in blank; (iv) the original executed Recognition
Agreement and the assignment of the Recognition Agreement (or a blanket
assignment of all Recognition Agreements) endorsed in blank; (v) the executed
UCC-1 financing statement with evidence of recording thereon, which has been
filed in all places required to perfect the security interest in the Cooperative
Shares and the Proprietary Lease; and (vi) executed UCC-3 financing statements
(or copies thereof) or other appropriate UCC financing statements required by
state law, evidencing a complete and unbroken line from the mortgagee to the
Trustee with evidence of recording thereon (or in a form suitable for
recordation).

     Cooperative Property: The real property and improvements owned by the
Cooperative Corporation, that includes the allocation of individual dwelling
units to the holders of the Cooperative Shares of the Cooperative Corporation.

     Cooperative Shares: Shares issued by a Cooperative Corporation.

     Cooperative Unit: A single family dwelling located in a Cooperative
Property.

     Corporate Trust Office: For purposes of Certificate Transfers and surrender
is located at U.S. Bank National Association, 180 East Fifth Street, St. Paul,
Minnesota 55101, Attention: Structured Finance, Cendant 2001-6.

                                       18
<PAGE>

     Corresponding Class: With respect to any class of Lower Tier Interests, the
Class of Certificates so designated in the Preliminary Statement hereto. With
respect to any Class of Certificates, the Class or Classes of Lower Tier
Interests so designated in the Preliminary Statement hereto.

     Corresponding Component: With respect to any Class of Lower Tier Interests,
the Component so designated in the Preliminary Statement hereto. With respect to
any Component, the Class or Classes of Lower Tier Interests so designated in the
Preliminary Statement hereto.

     Credit Score: With respect to any Mortgage Loan, a numerical assessment of
default risk with respect to the Mortgagor under such Mortgage Loan, determined
on the basis of a methodology developed by Fair, Isaac & Co., Inc.

     Credit Support Depletion Date: The Distribution Date on which, giving
effect to all distributions on such date, the aggregate Certificate Principal
Amount of the Subordinate Certificates is reduced to zero.

     Credit Support Percentage: As to any Class of Subordinate Certificates and
any Distribution Date, the sum of the Class Percentages of all Classes of
Certificates that rank lower in priority than such Class.

     Custodial Agreement: Each custodial agreement attached as Exhibit K hereto,
and any custodial agreement subsequently executed by the Trustee substantially
in the form thereof.

     Custodian: Each custodian appointed by the Trustee pursuant to a Custodial
Agreement, and any successor thereto.

     Cut-off Date: June 1, 2001.

     Cut-off Date Aggregate Principal Balance: With respect to the Mortgage
Loans in the Trust Fund on the Closing Date, the Aggregate Principal Balance for
all such Mortgage Loans as of the Cut-off Date.

     Debt Service Reduction: With respect to any Mortgage Loan, a reduction of
the Scheduled Payment that the related Mortgagor is obligated to pay on any Due
Date as a result of any proceeding under Bankruptcy law or any similar
proceeding.

     Deceased Holder: Not applicable.

     Deferred Interest: With respect to any Class of Negative Amortization
Certificates and any Distribution Date, the lesser of (x) the applicable
Interest Distribution Amount for such date (without giving effect to any
Deferred Interest) and (y) the aggregate Mortgage Loan Negative Amortization, if
any, for the related Due Period.

     Deficient Valuation: With respect to any Mortgage Loan, a valuation by a
court of competent jurisdiction of the Mortgaged Property in an amount less than
the then outstanding indebtedness under such Mortgage Loan, which valuation
results from a proceeding under Bankruptcy law or any similar proceeding.

                                       19
<PAGE>

     Definitive Certificate: A Certificate of any Class issued in definitive,
fully registered, certificated form.

     Deleted Mortgage Loan: A Mortgage Loan that is repurchased from the Trust
Fund pursuant to the terms hereof or as to which one or more Qualifying
Substitute Mortgage Loans are substituted therefor.

     Deposit Date: With respect to each Distribution Date, the date that is two
Business Days immediately preceding such Distribution Date.

     Depositor: Structured Asset Securities Corporation, a Delaware corporation
having its principal place of business in New York, or its successors in
interest.

     Designated Rate: With respect to Pool 1, 7.00% per annum; and with respect
to each of Pool 2 and Pool 3, 6.50% per annum.

     Determination Date: With respect to each Distribution Date, the day of the
latest Remittance Date immediately preceding such Distribution Date.

     Discount Mortgage Loan: With respect to Pool 1, any Mortgage Loan with a
Net Mortgage Rate less than 7.00% per annum; and with respect to each of Pool 2
and Pool 3, any Mortgage Loan with a Net Mortgage Rate less than 6.50%.

     Disqualified Organization: Either (i) the United States, (ii) any state or
political subdivision thereof, (iii) any foreign government, (iv) any
international organization, (v) any agency or instrumentality of any of the
foregoing, (vi) any tax-exempt organization (other than a cooperative described
in section 521 of the Code) which is exempt from the tax imposed by Chapter 1 of
the Code unless such organization is subject to the tax imposed by section 511
of the Code, (vii) any organization described in section 1381(a)(2)(C) of the
Code, (viii) any "electing large partnership" described in section 775 of the
Code, or (ix) any other entity designated as a Disqualified Organization by
relevant legislation amending the REMIC Provisions and in effect at or proposed
to be effective as of the time of the determination. In addition, a corporation
will not be treated as an instrumentality of the United States or of any state
or political subdivision thereof if all of its activities are subject to tax
and, with the exception of the Federal Home Loan Mortgage Corporation, a
majority of its board of directors is not selected by such governmental unit.

     Distribution Date: The 25th day of each month, or, if such 25th day is not
a Business Day, the next succeeding Business Day commencing in July 2001.

     Due Date: With respect to any Mortgage Loan, the date on which a Scheduled
Payment is due under the related Mortgage Note.

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

                                       20
<PAGE>

     Eligible Account: Either (i) an account or accounts maintained with a
federal or state chartered depository institution or trust company acceptable to
the Rating Agencies or (ii) an account or accounts the deposits in which are
insured by the FDIC to the limits established by such corporation, provided that
any such deposits not so insured shall be maintained in an account at a
depository institution or trust company whose commercial paper or other short
term debt obligations (or, in the case of a depository institution or trust
company which is the principal subsidiary of a holding company, the commercial
paper or other short term debt or deposit obligations of such holding company or
depository institution, as the case may be) have been rated by each Rating
Agency in its highest short-term rating category, or (iii) a segregated trust
account or accounts (which shall be a "special deposit account") maintained with
the Trustee or any other federal or state chartered depository institution or
trust company, acting in its fiduciary capacity, in a manner acceptable to the
Trustee and the Rating Agencies. Eligible Accounts may bear interest.

     Eligible Investments: Any one or more of the following obligations or
securities:

         (i) direct obligations of, and obligations fully guaranteed as to
     timely payment of principal and interest by, the United States of America
     or any agency or instrumentality of the United States of America the
     obligations of which are backed by the full faith and credit of the United
     States of America ("Direct Obligations");

         (ii) federal funds, or demand and time deposits in, certificates of
     deposits of, or bankers' acceptances issued by, any depository institution
     or trust company (including U.S. subsidiaries of foreign depositories and
     the Trustee or any agent of the Trustee, acting in its respective
     commercial capacity) incorporated or organized under the laws of the United
     States of America or any state thereof and subject to supervision and
     examination by federal or state banking authorities, so long as at the time
     of investment or the contractual commitment providing for such investment
     the commercial paper or other short-term debt obligations of such
     depository institution or trust company (or, in the case of a depository
     institution or trust company which is the principal subsidiary of a holding
     company, the commercial paper or other short-term debt or deposit
     obligations of such holding company or deposit institution, as the case may
     be) have been rated by each Rating Agency in its highest short-term rating
     category or one of its two highest long-term rating categories;

         (iii) repurchase agreements collateralized by Direct Obligations or
     securities guaranteed by GNMA, FNMA or FHLMC with any registered
     broker/dealer subject to Securities Investors' Protection Corporation
     jurisdiction or any commercial bank insured by the FDIC, if such
     broker/dealer or bank has an uninsured, unsecured and unguaranteed
     obligation rated by each Rating Agency in its highest short-term rating
     category;

         (iv) securities bearing interest or sold at a discount issued by any
     corporation incorporated under the laws of the United States of America or
     any state thereof which have a credit rating from each Rating Agency, at
     the time of investment or the contractual commitment providing for such
     investment, at least equal to one of the two highest short-term credit
     ratings of each Rating Agency; provided, however, that securities issued by
     any particular corporation will not be Eligible Investments to the extent
     that investment

                                       21
<PAGE>

     therein will cause the then outstanding principal amount of securities
     issued by such corporation and held as part of the Trust Fund to exceed 20%
     of the sum of the Aggregate Principal Balance and the aggregate principal
     amount of all Eligible Investments in the Certificate Account; provided,
     further, that such securities will not be Eligible Investments if they are
     published as being under review with negative implications from either
     Rating Agency;

         (v) commercial paper (including both non interest-bearing discount
     obligations and interest-bearing obligations payable on demand or on a
     specified date not more than 180 days after the date of issuance thereof)
     rated by each Rating Agency in its highest short-term ratings;

         (vi) a Qualified GIC;

         (vii) certificates or receipts representing direct ownership interests
     in future interest or principal payments on obligations of the United
     States of America or its agencies or instrumentalities (which obligations
     are backed by the full faith and credit of the United States of America)
     held by a custodian in safekeeping on behalf of the holders of such
     receipts; and

         (viii) any other demand, money market fund, common trust fund or time
     deposit or obligation, or interest-bearing or other security or investment
     (including those managed or advised by the Trustee or an Affiliate
     thereof), (A) rated in the highest rating category by each Rating Agency or
     (B) that would not adversely affect the then current rating by either
     Rating Agency of any of the Certificates. Such investments in this
     subsection (viii) may include money market mutual funds or common trust
     funds, including any other fund for which the Trustee, the Master Servicer
     or an affiliate thereof serves as an investment advisor, administrator,
     shareholder servicing agent, and/or custodian or subcustodian,
     notwithstanding that (x) the Trustee, the Master Servicer or an affiliate
     thereof charges and collects fees and expenses from such funds for services
     rendered, (y) the Trustee, the Master Servicer or an affiliate thereof
     charges and collects fees and expenses for services rendered pursuant to
     this Agreement, and (z) services performed for such funds and pursuant to
     this Agreement may converge at any time. The Trustee specifically
     authorizes the Trustee or an affiliate thereof to charge and collect from
     the Trustee such fees as are collected from all investors in such funds for
     services rendered to such funds (but not to exceed investment earnings
     thereon);

provided, however, that no such instrument shall be an Eligible Investment if
such instrument evidences either (i) a right to receive only interest payments
with respect to the obligations underlying such instrument, or (ii) both
principal and interest payments derived from obligations underlying such
instrument and the principal and interest payments with respect to such
instrument provide a yield to maturity of greater than 120% of the yield to
maturity at par of such underlying obligations, provided that any such
investment will be a "permitted investment" within the meaning of Section
860G(a)(5) of the Code.

     ERISA: The Employee Retirement Income Security Act of 1974, as amended.

                                       22
<PAGE>

     ERISA-Qualifying Underwriting: A best efforts or firm commitment
underwriting or private placement that meets the requirements of an
Underwriter's Exemption.

     ERISA-Restricted Certificate: Any Class R, Class B4, Class B5 or Class B6
Certificate; any Certificate with a rating below the lowest applicable rating
permitted under the Underwriter's Exemption.

     Escrow Account: Any account established and maintained by the applicable
Servicer pursuant to the applicable Servicing Agreement.

     Euroclear: Morgan Guaranty Trust Company of New York, Brussels office, as
operator of the Euroclear System.

     Event of Default: Any one of the conditions or circumstances enumerated in
Section 6.14(a).

     Excess Loss: Any Bankruptcy Loss, or portion thereof, in excess of the
then-applicable Bankruptcy Loss Limit, any Fraud Loss, or portion thereof, in
excess of the then-applicable Fraud Loss Limit, and any Special Hazard Loss, or
portion thereof, in excess of the then-applicable Special Hazard Loss Limit.

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

     FHLMC: The Federal Home Loan Mortgage Corporation, a corporate
instrumentality of the United States created and existing under Title III of the
Emergency Home Finance Act of 1970, as amended, or any successor thereto.

     Final Scheduled Distribution Date: For each Class of Group 1 Certificates,
June 25, 2031; for each Class of Group 2 Certificates, June 25, 2031; for each
Class of Group 3 Certificates, June 25, 2016; and for each Class of Subordinate
Certificates, June 25, 2031.

     Financial Asset: The meaning specified in Section 8-102(a)(9) of the UCC.

     Financial Intermediary: A broker, dealer, bank or other financial
institution or other Person that clears through or maintains a custodial
relationship with a Clearing Agency Participant.

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

     FNMA: The Federal National Mortgage Association, a federally chartered and
privately owned corporation organized and existing under the Federal National
Mortgage Association Charter Act, or any successor thereto.

     Fraud Loss: Any Realized Loss on a Liquidated Mortgage Loan sustained by
reason of a default arising from fraud, dishonesty or misrepresentation in
connection with the related Mortgage Loan, as reported by the Servicer to the
Master Servicer.

                                       23
<PAGE>

     Fraud Loss Limit: With respect to any Distribution Date (x) prior to the
first anniversary of the Cut-off Date, $4,455,036 less the aggregate of Fraud
Losses since the Cut-off Date, and (y) from the first to the fourth anniversary
of the Cut-off Date, an amount equal to (1) the lesser of (a) the Fraud Loss
Limit as of the most recent anniversary of the Cut-off Date and (b) 1% of the
aggregate principal balance of all the Mortgage Loans as of the most recent
anniversary of the Cut-off Date less (2) the aggregate of Fraud Losses since the
most recent anniversary of the Cut-off Date. On or after the fifth anniversary
of the Cut-off Date, the Fraud Loss Limit shall be zero.

     Global Securities: The global certificates representing the Book-Entry
Certificates.

     GNMA: The Government National Mortgage Association, a wholly owned
corporate instrumentality of the United States within HUD.

     Group 1: All of the Group 1 Certificates.

     Group 1 Certificate: Any Class 1-A1, Class 1-A2, Class 1-A3, Class 1-A4,
Class 1-A5, Class 1-A6, Class 1-A7, Class 1-A8, Class 1-A9, Class 1-A10 or Class
R Certificate.

     Group 2: All of the Group 2 Certificates.

     Group 2 Certificate: Any Class 2-A1, Class 2-A2, Class 2-A3, Class 2-AP or
Class 2-AX Certificate.

     Group 3: All of the Group 3 Certificates.

     Group 3 Certificates: Any Class 3-A, Class 3-AP and Class 3-AX Certificate.

     Group Subordinate Amount: As to any Mortgage Pool and any Distribution
Date, the excess of the Non-AP Pool Balance of such Mortgage Pool for the
immediately preceding Distribution Date over the sum of the aggregate of the
Certificate Principal Amounts of the Non-AP Senior Certificates of the related
Certificate Group immediately prior to the related Distribution Date.

     Holder or Certificateholder: The registered owner of any Certificate as
recorded on the books of the Certificate Registrar except that, solely for the
purposes of taking any action or giving any consent pursuant to this Agreement,
any Certificate registered in the name of the Depositor, the Trustee, the Master
Servicer, any Servicer or any Affiliate thereof shall be deemed not to be
outstanding in determining whether the requisite percentage necessary to effect
any such consent has been obtained, except that, in determining whether the
Trustee shall be protected in relying upon any such consent, only Certificates
which a Responsible Officer of the Trustee knows to be so owned shall be
disregarded. The Trustee may request and conclusively rely on certifications by
the Depositor, the Master Servicer and any Servicer in determining whether any
Certificates are registered to an Affiliate of the Depositor, the Master
Servicer or such Servicer.

     HUD: The United States Department of Housing and Urban Development, or any
successor thereto.

                                       24
<PAGE>

     Independent: When used with respect to any Accountants, a Person who is
"independent" within the meaning of Rule 2-01(b) of the Securities and Exchange
Commission's Regulation S-X. When used with respect to any other Person, a
Person who (a) is in fact independent of another specified Person and any
Affiliate of such other Person, (b) does not have any material direct financial
interest in such other Person or any Affiliate of such other Person, and (c) is
not connected with such other Person or any Affiliate of such other Person as an
officer, employee, promoter, underwriter, trustee, partner, director or Person
performing similar functions.

     Individual Redemption Certificate: Not applicable.

     Initial LIBOR Rate: Not applicable.

     Insurance Policy: Any Primary Mortgage Insurance Policy and any standard
hazard insurance policy, flood insurance policy, earthquake insurance policy or
title insurance policy relating to the Mortgage Loans or the Mortgaged
Properties, to be in effect as of the Closing Date or thereafter during the term
of this Agreement.

     Insurance Proceeds: Amounts paid by the insurer under any Insurance Policy,
other than amounts (i) to cover expenses incurred by or on behalf of the
Servicer in connection with procuring such proceeds, (ii) to be applied to
restoration or repair of the related Mortgaged Property, (iii) required to be
paid over to the Mortgagor pursuant to law or the related Mortgage Note or (iv)
to be applied toward payment of any Retained Interest.

     Interest Distribution Amount: Not applicable.

     Interest Shortfall: With respect to any Class of Certificates (other than a
Principal Only Certificate) and any Distribution Date, any Accrued Certificate
Interest not distributed (or added to principal) with respect to any previous
Distribution Date, other than any Net Prepayment Interest Shortfalls.

     Intervening Assignments: The original intervening assignments of the
Mortgage, notice of transfer or equivalent instrument.

     Latest Possible Maturity Date: The Distribution Date in June 20, 2033.

     Lehman Capital: Lehman Capital, A Division of Lehman Brothers Holdings
Inc., or any successor in interest.

     LIBOR: Not applicable.

     LIBOR Certificate: None.

     LIBOR Component: None.

     LIBOR Determination Date: Not applicable.

                                       25
<PAGE>

     Liquidated Mortgage Loan: Any defaulted Mortgage Loan as to which the
Master Servicer or the applicable Servicer has determined that all amounts that
it expects to recover on behalf of the Trust Fund from or on account of such
Mortgage Loan have been recovered.

     Liquidation Expenses: Expenses that are incurred by the Master Servicer or
a Servicer in connection with the liquidation of any defaulted Mortgage Loan and
are not recoverable under the applicable Primary Mortgage Insurance Policy,
including, without limitation, foreclosure and rehabilitation expenses, legal
expenses and unreimbursed amounts expended pursuant to Sections 9.06, 9.16 or
9.22.

     Liquidation Proceeds: Cash received in connection with the liquidation of a
defaulted Mortgage Loan, whether through the sale or assignment of such Mortgage
Loan, trustee's sale, foreclosure sale or otherwise, or the sale of the related
Mortgaged Property if the Mortgaged Property is acquired in satisfaction of the
Mortgage Loan, including any amounts remaining in the related Escrow Account.

     Living Holder: Not applicable.

     Loan-to-Value Ratio: With respect to any Mortgage Loan, the ratio of the
principal balance of such Mortgage Loan at origination, or such other date as is
specified, to the Original Value thereof.

     London Business Day: Any day on which banks are open for dealing in foreign
currency and exchange in London, England and New York City.

     Lower Tier Interest: Any one of the classes of lower tier interests
described in the Preliminary Statement hereto.

     Lower Tier Interest Rate: As to each Lower Tier Interest, the applicable
interest rate, if any, as described in the Preliminary Statement hereto.

     Lower Tier REMIC: One of the two separate REMICs as described in the
Preliminary Statement hereto.

     Maintenance: With respect to any Cooperative Unit, the rent or fee paid by
the Mortgagor to the Cooperative Corporation pursuant to the Proprietary Lease.

     Master Servicer: Aurora Loan Services Inc., or any successor in interest,
or if any successor master servicer shall be appointed as herein provided, then
such successor master servicer.

     Master Servicing Fee: As to any Distribution Date, all income and gain
realized from the investment of funds in the Collection Account during the
period from and including the Deposit Date in the calendar month immediately
preceding the month in which such Distribution Date occurs, to but excluding the
Deposit Date relating to such Distribution Date.

     Master Servicing Fee Rate: Not applicable.

                                       26
<PAGE>

     Material Defect: As defined in Section 2.02(c) hereof.

     MERS: Mortgage Electronic Registration Systems, Inc., a Delaware
Corporation, or any successor in interest thereto.

     MERS Mortgage Loan: Any Mortgage Loan as to which the related Mortgage, or
an Assignment of Mortgage, has been or will be recorded in the name of MERS, as
agent for the holder from time to time of the Mortgage Note.

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

     Mortgage: A mortgage, deed of trust or other instrument encumbering a fee
simple interest in real property securing a Mortgage Note, together with
improvements thereto.

     Mortgage 100(SM) Loan: A Mortgage Loan identified on Schedule C hereof that
has a Loan-to-Value Ratio at origination in excess of 80.00%, is secured by
Additional Collateral and does not have a Primary Mortgage Insurance Policy.

     Mortgage File: The mortgage documents listed in Section 2.01(b) pertaining
to a particular Mortgage Loan required to be delivered to the Trustee or a
Custodian pursuant to this Agreement.

     Mortgage Loan: A Mortgage and the related notes or other evidences of
indebtedness secured by each such Mortgage or a manufactured housing contract
conveyed, transferred, sold, assigned to or deposited with the Trustee pursuant
to Section 2.01 or Section 2.05, including without limitation, each Mortgage
Loan listed on the Mortgage Loan Schedule, as amended from time to time.

     Mortgage Loan Sale Agreement: The agreement dated as of June 1, 2001, for
the sale of the Mortgage Loans by Lehman Capital to the Depositor.

     Mortgage Loan Schedule: The schedule attached hereto as Schedule A, which
shall identify each Mortgage Loan and designate, among other data fields, the
applicable Mortgage Pool in which such Mortgage Loan is included, the Servicer
of such Mortgage Loan and the Retained Interest, if any, applicable to such
Mortgage Loan, as such schedule may be amended from time to time to reflect the
addition of Mortgage Loans to, or the deletion of Mortgage Loans from, the Trust
Fund.

     Mortgage Note: The note or other evidence of the indebtedness of a
Mortgagor secured by a Mortgage under a Mortgage Loan.

     Mortgage Pool: Any of Pool 1, Pool 2 or Pool 3.

     Mortgage Rate: As to any Mortgage Loan, the per annum rate at which
interest accrues on such Mortgage Loan.

     Mortgaged Property: Either of (x) the fee simple interest in real property,
together with improvements thereto including any exterior improvements to be
completed within 120 days of

                                       27
<PAGE>

disbursement of the related Mortgage Loan proceeds, or (y) in the case of a
Cooperative Loan, the related Cooperative Shares and Proprietary Lease, securing
the indebtedness of the Mortgagor under the related Mortgage Loan.

     Mortgagor: The obligor on a Mortgage Note.

     Negative Amortization Certificate: None.

     Net Liquidation Proceeds: With respect to any Liquidated Mortgage Loan, the
related Liquidation Proceeds net of unreimbursed expenses incurred in connection
with liquidation or foreclosure and unreimbursed Advances, Servicing Advances,
Servicing Fees and Retained Interest, if any, received and retained in
connection with the liquidation of such Mortgage Loan.

     Net Mortgage Rate: With respect to any Mortgage Loan, the Mortgage Rate
thereof reduced by the sum of the applicable Servicing Fee Rate, the applicable
Retained Interest Rate, if any, and, if applicable, the premium rate on any
lender-provided mortgage insurance.

     Net Prepayment Interest Shortfall: With respect to each Mortgage Pool and
any Distribution Date, the excess, if any, of any Prepayment Interest Shortfalls
with respect to the Mortgage Loans in such Mortgage Pool for such date over the
sum of any amounts paid by the Servicers with respect to such shortfalls and any
amount that is required to be paid by the Master Servicer in respect of such
shortfalls pursuant to this Agreement.

     Non-AP Percentage: As to any Discount Mortgage Loan, the percentage
equivalent of the fraction, the numerator of which is the Net Mortgage Rate of
such Discount Mortgage Loan and the denominator of which is the applicable
Designated Rate. As to any Non-Discount Mortgage Loan, 100%.

     Non-AP Pool Balance: As to each Mortgage Pool and any Distribution Date,
the sum of the applicable Non-AP Percentage of the Scheduled Principal Balance
of each Mortgage Loan included in such Mortgage Pool.

     Non-AP Senior Certificate: Any Senior Certificate other than a Class AP
Certificate.

     Non-Book-Entry Certificate: Any Certificate other than a Book-Entry
Certificate.

     Non-Discount Mortgage Loan: With respect to Pool 1, any Mortgage Loan with
a Net Mortgage Rate equal to or greater than 7.00% per annum; and with respect
to each of Pool 2 and Pool 3, any Mortgage Loan with a Net Mortgage Rate equal
to or greater than 6.50% per annum.

     Non-MERS Mortgage Loan: Any Mortgage Loan other than a MERS Mortgage Loan.

     Non-permitted Foreign Holder: As defined in Section 3.03(f).

     Non-U.S. Person: Any person other than (i) a citizen or resident of the
United States; (ii) a corporation (or entity treated as a corporation for tax
purposes) created or organized in the United States or under the laws of the
United States or of any state thereof, including, for this purpose, the District
of Columbia; (iii) a partnership (or entity treated as a partnership for tax

                                       28
<PAGE>

purposes) organized in the United States or under the laws of the United States
or of any state thereof, including, for this purpose, the District of Columbia
(unless provided otherwise by future Treasury regulations); (iv) an estate whose
income is includible in gross income for United States income tax purposes
regardless of its source; or (v) a trust, if a court within the United States is
able to exercise primary supervision over the administration of the trust and
one or more U.S. Persons have authority to control all substantial decisions of
the trust. Notwithstanding the last clause of the preceding sentence, to the
extent provided in Treasury regulations, certain trusts in existence on August
20, 1996, and treated as U.S. Persons prior to such date, may elect to continue
to be U.S. Persons.

     Notional Amount: With respect to any Notional Certificate and any
Distribution Date, such Certificate's Percentage Interest of the Class Notional
Amount of such Class of Certificates for such Distribution Date.

     Notional Certificate: Any Class 1-A3, Class 2-AX or Class 3-AX Certificate.

     Notional Component: Each of the 1-A5(2) Component, the 1-A5(3) Component
and the A5(4) Component.

     Offering Document: The private placement memorandum dated June 27, 2001
relating to the Class B4, Class B5 and Class B6 Certificates, or the Prospectus.

     Officer's Certificate: A certificate signed by the Chairman of the Board,
any Vice Chairman, the President, any Vice President or any Assistant Vice
President of a Person, and in each case delivered to the Trustee.

     Opinion of Counsel: A written opinion of counsel, reasonably acceptable in
form and substance to the Trustee, and who may be in-house or outside counsel to
the Depositor, the Master Servicer or a Servicer but which must be Independent
outside counsel with respect to any such opinion of counsel concerning the
transfer of any Residual Certificate or concerning certain matters with respect
to the Employee Retirement Income Security Act of 1974, as amended ("ERISA"), or
the taxation, or the federal income tax status, of each REMIC. For purpose of
Section 2.01(c)(i), the Opinion of Counsel referred to therein may take the form
of a memorandum of law or other acceptable assurance.

     Original Credit Support Percentage: With respect to each Class of
Subordinate Certificates, the Credit Support Percentage for such Class of
Certificates on the Closing Date.

     Original Group Subordinate Amount: As to either Mortgage Pool, the Group
Subordinate Amount for such Mortgage Pool on the Closing Date.

     Original Value: The lesser of (a) the Appraised Value of a Mortgaged
Property at the time the related Mortgage Loan was originated and (b) if the
Mortgage Loan was made to finance the acquisition of the related Mortgaged
Property, the purchase price paid for the Mortgaged Property by the Mortgagor at
the time the related Mortgage Loan was originated.

                                       29
<PAGE>

     PAC Amount: For each PAC Class or PAC Component, and as to each
Distribution Date, the amount set forth for such Class or Component and date in
the Scheduled Balances Table.

     PAC Certificate: Any Class 1-A1 or Class 1-A2 Certificate.

     PAC Component: Any 1-A5(1) Component.

     Parent Power(SM) Loan: A Mortgage Loan identified on Schedule C hereto that
has a Loan-to-Value Ratio at origination in excess of 80.00%, is supported by
Additional Collateral and does not have a Primary Mortgage Insurance Policy.

     Paying Agent: Any paying agent appointed pursuant to Section 3.08.

     Percentage Interest: With respect to any Certificate and the related Class,
such Certificate's percentage interest in the undivided beneficial ownership
interest in the Trust Fund evidenced by all Certificates of the same Class as
such Certificate. With respect to any Certificate other than a Notional
Certificate, the Percentage Interest evidenced thereby shall equal the initial
Certificate Principal Amount thereof divided by the initial Class Principal
Amount of all Certificates of the same Class. With respect to any Notional
Certificate, the Percentage Interest evidenced thereby shall be as specified on
the face thereof.

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

     Placement Agent: Lehman Brothers Inc.

     Plan Asset Regulations: The Department of Labor regulations set forth in 29
C.F.R. 2510.3-101.

     Pledged Asset Loan-to-Value Ratio: With respect to any Pledged Asset
Mortgage Loan, (i) the original loan amount less the portion of any required
Additional Collateral that is covered by the Surety Bond, divided by (ii) the
Original Value of the related Mortgaged Property.

     Pledged Asset Mortgage Loan: Each Mortgage 100(SM) Loan and Parent
Power(SM) Loan that is supported by Additional Collateral and identified on
Schedule C hereto.

     Pool 1: The aggregate of the Mortgage Loans identified on the Mortgage Loan
Schedule as being included in Pool 1.

     Pool 1 Mortgage Loan: Any Mortgage Loan in Pool 1.

     Pool 2: The aggregate of the Mortgage Loans identified on the Mortgage Loan
Schedule as being included in Pool 2.

     Pool 2 Mortgage Loan: Any Mortgage Loan in Pool 2.

                                       30
<PAGE>

     Pool 3: The aggregate of the Mortgage Loans identified on the Mortgage Loan
Schedule as being included in Pool 3.

     Pool 3 Mortgage Loan: Any Mortgage Loan in Pool 3.

     Pool PMI Policy: Not applicable.

     Prepayment Interest Shortfall: With respect to any Distribution Date and
any Principal Prepayment in part or in full, the difference between (i) one full
month's interest at the applicable Mortgage Rate (giving effect to any
applicable Relief Act Reduction), as reduced by the applicable Servicing Fee
Rate and the applicable Retained Interest Rate, if any, on the outstanding
principal balance of such Mortgage Loan immediately prior to such prepayment and
(ii) the amount of interest actually received with respect to such Mortgage Loan
in connection with such Principal Prepayment.

     Prepayment Penalty Amounts: Not applicable.

     Prepayment Period: With respect to any Distribution Date, the calendar
month immediately preceding the month in which such Distribution Date occurs.

     Primary Mortgage Insurance Policy: Mortgage guaranty insurance, if any, on
an individual Mortgage Loan, as evidenced by a policy or certificate.

     Principal Amount Schedules: Not applicable.

     Principal Only Certificate: Any Class 1-AP, Class 2-AP or Class 3-AP
Certificate.

     Principal Prepayment: Any Mortgagor payment of principal (other than a
Balloon Payment) or other recovery of principal on a Mortgage Loan that is
recognized as having been received or recovered in advance of its scheduled Due
Date and applied to reduce the principal balance of the Mortgage Loan in
accordance with the terms of the Mortgage Note or the applicable Servicing
Agreement.

     Proceeding: Any suit in equity, action at law or other judicial or
administrative proceeding.

     Proprietary Lease: With respect to any Cooperative Unit, a lease or
occupancy agreement between a Cooperative Corporation and a holder of related
Cooperative Shares.

     Prospectus: The prospectus supplement dated June 27, 2001, together with
the accompanying prospectus dated June 27, 2001, relating to each Class of
Certificates other than the Class B4, Class B5 and Class B6 Certificates.

     Purchase Price: With respect to the repurchase of a Mortgage Loan pursuant
to this Agreement, an amount equal to the sum of (a) 100% of the unpaid
principal balance of such Mortgage Loan, (b) accrued interest thereon at the
Mortgage Rate, from the date as to which interest was last paid to (but not
including) the Due Date immediately preceding the related Distribution Date and
(c) any unreimbursed Servicing Advances with respect to such Mortgage

                                       31
<PAGE>

Loan. The Master Servicer or the applicable Servicer (or the Trustee, if
applicable) shall be reimbursed from the Purchase Price for any Mortgage Loan or
related REO Property for any Advances made with respect to such Mortgage Loan
that are reimbursable to the Master Servicer, such Servicer or the Trustee under
this Agreement or the related Servicing Agreement, as well as any unreimbursed
Servicing Advances and accrued and unpaid Master Servicing Fees or Servicing
Fees, as applicable.

     QIB: As defined in Section 3.03(c).

     Qualified GIC: A guaranteed investment contract or surety bond providing
for the investment of funds in the Collection Account or the Certificate Account
and insuring a minimum, fixed or floating rate of return on investments of such
funds, which contract or surety bond shall:

     (a) be an obligation of an insurance company or other corporation whose
long-term debt is rated by each Rating Agency in one of its two highest rating
categories or, if such insurance company has no long-term debt, whose claims
paying ability is rated by each Rating Agency in one of its two highest rating
categories, and whose short-term debt is rated by each Rating Agency in its
highest rating category;

     (b) provide that the Trustee may exercise all of the rights under such
contract or surety bond without the necessity of taking any action by any other
Person;

     (c) provide that if at any time the then current credit standing of the
obligor under such guaranteed investment contract is such that continued
investment pursuant to such contract of funds would result in a downgrading of
any rating of the Certificates, the Trustee shall terminate such contract
without penalty and be entitled to the return of all funds previously invested
thereunder, together with accrued interest thereon at the interest rate provided
under such contract to the date of delivery of such funds to the Trustee;

     (d) provide that the Trustee's interest therein shall be transferable to
any successor trustee hereunder; and

     (e) provide that the funds reinvested thereunder and accrued interest
thereon be returnable to the Collection Account or the Certificate Account, as
the case may be, not later than the Business Day prior to any Distribution Date.

     Qualified Insurer: An insurance company duly qualified as such under the
laws of the states in which the related Mortgaged Properties are located, duly
authorized and licensed in such states to transact the applicable insurance
business and to write the insurance provided and whose claims paying ability is
rated by each Rating Agency in its highest rating category or whose selection as
an insurer will not adversely affect the rating of the Certificates.

     Qualifying Substitute Mortgage Loan: In the case of a Mortgage Loan
substituted for a Deleted Mortgage Loan, a Mortgage Loan that, on the date of
substitution, (i) has a Scheduled Principal Balance (together with that of any
other mortgage loan substituted for the same Deleted Mortgage Loan) as of the
Due Date in the month in which such substitution occurs not in excess of the
Scheduled Principal Balance of the related Deleted Mortgage Loan, provided,
however,

                                       32
<PAGE>

that, to the extent that the Scheduled Principal Balance of such Mortgage Loan
is less than the Scheduled Principal Balance of the related Deleted Mortgage
Loan, then such differential in principal amount, together with interest thereon
at the applicable Mortgage Rate net of the Master Servicing Fee and the
applicable Servicing Fee from the date as to which interest was last paid
through the end of the Due Period in which such substitution occurs, shall be
paid by the party effecting such substitution to the Trustee for deposit into
the Certificate Account, and shall be treated as a Principal Prepayment
hereunder; (ii) has a Net Mortgage Rate not lower than the Net Mortgage Rate of
the related Deleted Mortgage Loan and will be a Discount Mortgage Loan if the
Deleted Mortgage Loan was a Discount Mortgage Loan or a Non-Discount Mortgage
Loan if the Deleted Mortgage Loan was a Non-Discount Mortgage Loan; (iii) has a
remaining stated term to maturity not longer than, and not more than one year
shorter than, the remaining term to stated maturity of the related Deleted
Mortgage Loan; (iv) (A) has a Loan-to-Value Ratio as of the date of such
substitution of not greater than 80%, provided, however, that if the related
Deleted Mortgage Loan has a Loan-to-Value Ratio of greater than 80%, then the
Loan-to-Value Ratio of such substitute Mortgage Loan may be greater than 80% but
shall not be greater than the Loan-to-Value Ratio of the related Deleted
Mortgage Loan and (B) the addition of such substitute Mortgage Loan does not
increase the weighted average Loan-to-Value Ratio of the related Mortgage Pool
by more than 5%; (v) will comply with all of the representations and warranties
relating to Mortgage Loans set forth herein, as of the date as of which such
substitution occurs; (vi) is not a Cooperative Loan unless the related Deleted
Mortgage Loan was a Cooperative Loan; (vii) if applicable, has the same index as
and a margin not less than that of the related Deleted Mortgage Loan; (viii) has
not been delinquent for a period of more than 30 days more than once in the
twelve months immediately preceding such date of substitution; (ix) is covered
by a Primary Mortgage Insurance Policy if the related Deleted Mortgage Loan is
so covered, and the Loan-to-Value Ratio of such Mortgage Loan is greater than
80%; and (x) has a Credit Score not greater than 20 points lower than the Credit
Score of the related Deleted Mortgage Loan, provided, however, that if the
Deleted Mortgage Loan does not have a Credit Score, then such substitute
Mortgage Loan shall have a Credit Score equal to or greater than 700. In the
event that either one mortgage loan is substituted for more than one Deleted
Mortgage Loan or more than one mortgage loan is substituted for one or more
Deleted Mortgage Loans, then (a) the Scheduled Principal Balance referred to in
clause (i) above shall be determined such that the aggregate Scheduled Principal
Balance of all such substitute Mortgage Loans shall not exceed the aggregate
Scheduled Principal Balance of all Deleted Mortgage Loans and (b) each of (1)
the rate referred to in clause (ii) above, (2) the remaining term to stated
maturity referred to in clause (iii) above, (3) the Loan-to-Value Ratio referred
to in clause (iv) above and (4) the Credit Score referred to in clause (x) above
shall be determined on a weighted average basis, provided that the final
scheduled maturity date of any Qualifying Substitute Mortgage Loan shall not
exceed the Final Scheduled Distribution Date of any Class of Certificates.
Whenever a Qualifying Substitute Mortgage Loan is substituted for a Deleted
Mortgage Loan pursuant to this Agreement, the party effecting such substitution
shall certify such qualification in writing to the Trustee.

     Rating Agency: Each of Moody's and Fitch.

     Realized Loss: (a) with respect to each Liquidated Mortgage Loan, an amount
equal to (i) the unpaid principal balance of such Mortgage Loan as of the date
of liquidation, plus (ii) interest at the applicable Net Mortgage Rate from the
date as to which interest was last paid up to

                                       33
<PAGE>

the last day of the month of such liquidation, minus (iii) Liquidation Proceeds
received, net of amounts that are reimbursable to the Master Servicer or the
applicable Servicer with respect to such Mortgage Loan (other than Advances of
principal and interest) including expenses of liquidation, and (b) with respect
to each Mortgage Loan that has become the subject of a Deficient Valuation, the
difference between the unpaid principal balance of such Mortgage Loan
immediately prior to such Deficient Valuation and the unpaid principal balance
of such Mortgage Loan as reduced by the Deficient Valuation. In determining
whether a Realized Loss on a Liquidated Mortgage Loan is a Realized Loss of
interest or principal, Liquidation Proceeds shall be allocated, first, to
payment of expenses related to such Liquidated Mortgage Loan (including payment
of any Retained Interest), then to accrued unpaid interest and finally to reduce
the principal balance of the Mortgage Loan.

     Recognition Agreement: With respect to any Cooperative Loan, an agreement
between the related Cooperative Corporation and the originator of such Mortgage
Loan to establish the rights of such originator in the related Cooperative
Property.

     Record Date: With respect to any Distribution Date and each Class of
Certificates, the close of business on the last Business Day of the month
immediately preceding the month in which such Distribution Date occurs with
respect to any Distribution Date.

     Redemption Certificate: None.

     Reference Banks: Not applicable.

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

     Regulation S Global Security: The meaning specified in Section 3.01(c).

     Reimbursement Amount: Not applicable.

     Relevant UCC: The Uniform Commercial Code as in effect in the applicable
jurisdiction.

     Relief Act Reduction: With respect to any Mortgage Loan as to which there
has been a reduction in the amount of interest collectible thereon as a result
of application of the Solders' and Sailors' Civil Relief Act of 1940, as
amended, any amount by which interest collectible on such Mortgage Loan for the
Due Date in the related Due Period is less than interest accrued thereon for the
applicable one-month period at the Mortgage Rate without giving effect to such
reduction.

     REMIC: Each of the Lower Tier REMIC and the Upper Tier REMIC, as described
in the Preliminary Statement hereto.

     REMIC Provisions: The provisions of the federal income tax law relating to
real estate mortgage investment conduits, which appear at sections 860A through
86OG of Subchapter M of

                                       34
<PAGE>

Chapter 1 of the Code, and related provisions, and regulations, including
proposed regulations and rulings, and administrative pronouncements promulgated
thereunder, as the foregoing may be in effect from time to time.

     Remittance Date: The day in each calendar month on which each Servicer is
required to remit payments to the account maintained by the Master Servicer, as
specified in the related Servicing Agreement, which is the 18th day of each
month (or if such 18th day is not a Business Day, the next succeeding Business
Day).

     REO Property: A Mortgaged Property acquired by the Trust Fund through
foreclosure or deed-in-lieu of foreclosure in connection with a defaulted
Mortgage Loan or otherwise treated as having been acquired pursuant to the REMIC
Provisions.

     Reserve Interest Rate: Not applicable.

     Residual Certificate: Any Class R Certificate.

     Responsible Officer: When used with respect to the Trustee, any Vice
President, Assistant Vice President, the Secretary, any assistant secretary, the
Treasurer, or any assistant treasurer, working in its corporate trust department
and having direct responsibility for the administration of this Agreement.

     Restricted Certificate: Any Class B4, Class B5 or Class B6 Certificate (but
excluding any Regulation S Global Security).

     Restricted Global Security: The meaning specified in Section 3.01(c).

     Retained Interest: Interest in respect of each Retained Interest Mortgage
Loan, retained in each case by the Retained Interest Holder at the Retained
Interest Rate.

     Retained Interest Mortgage Loan: Each Mortgage Loan listed on Schedule B
hereto.

     Retained Interest Holder: Cendant Mortgage Corporation or any successor in
interest by assignment or otherwise.

     Retained Interest Rate: With respect to each Retained Interest Mortgage
Loan in Pool 2, 0.229%, and with respect to each Retained Interest Mortgage Loan
in Pool 3, 0.2147%.

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

     Scheduled Balances Tables: The tables attached as Exhibit M hereto that set
forth the PAC Amounts for the PAC Classes and PAC Component and the TAC I, TAC
II, TAC III and TAC IV Amounts for the TAC Classes and the TAC Component.

     Scheduled Payment: Each scheduled payment of principal and interest (or of
interest only, if applicable) to be paid by the Mortgagor on a Mortgage Loan, as
reduced (except where otherwise specified herein) by the amount of any related
Debt Service Reduction (excluding all

                                       35
<PAGE>

amounts of principal and interest that were due on or before the Cut-off Date
whenever received) and, in the case of an REO Property, an amount equivalent to
the Scheduled Payment that would have been due on the related Mortgage Loan if
such Mortgage Loan had remained in existence. In the case of any bi-weekly
payment Mortgage Loan, all payments due on such Mortgage Loan during any Due
Period shall be deemed collectively to constitute the Scheduled Payment due on
such Mortgage Loan in such Due Period.

     Scheduled Principal Balance: With respect to (i) any Mortgage Loan as of
any Distribution Date, the principal balance of such Mortgage Loan at the close
of business on the Cut-off Date, after giving effect to principal payments due
on or before the Cut-off Date, whether or not received, less an amount equal to
principal payments due after the Cut-off Date and on or before the Due Date in
the related Due Period, whether or not received from the Mortgagor or advanced
by the applicable Servicer or the Master Servicer, and all amounts allocable to
unscheduled principal payments (including Principal Prepayments, Net Liquidation
Proceeds, Insurance Proceeds and condemnation proceeds, in each case to the
extent identified and applied prior to or during the applicable Prepayment
Period) and (ii) any REO Property as of any Distribution Date, the Scheduled
Principal Balance of the related Mortgage Loan on the Due Date immediately
preceding the date of acquisition of such REO Property by or on behalf of the
Trustee (reduced by any amount applied as a reduction of principal on the
Mortgage Loan). With respect to any Mortgage Loan as of the Cut-off Date, as
specified in the Mortgage Loan Schedule.

     Security Agreement: With respect to any Cooperative Loan, the agreement
between the owner of the related Cooperative Shares and the originator of the
related Mortgage Note that defines the terms of the security interest in such
Cooperative Shares and the related Proprietary Lease.

     Security Entitlement: The meaning specified in Section 8-102(a)(17) of the
UCC.

     Seller: Lehman Capital, A Division of Lehman Brothers Holdings Inc., or any
successor in interest.

     Senior Certificate: Any Class 1-A1, Class 1-A2, Class 1-A3, Class 1-A4,
Class 1-A5, Class 1-A6, Class 1-A7, Class 1-A8, Class 1-A9, Class 1-A10, Class
2-A1, Class 2-A2, Class 2-A3, Class 2-AP, Class 2-AX, Class 3-A, Class 3-AP,
Class 3-AX or Class R Certificate.

     Senior Percentage: With respect to each Mortgage Pool and any Distribution
Date, the percentage equivalent of the fraction, the numerator of which is the
aggregate of the Certificate Principal Amounts of the related Non-AP Senior
Certificates and the denominator of which is the related Non-AP Pool Balance for
the immediately preceding Distribution Date.

     Senior Prepayment Percentage: With respect to each Mortgage Pool and any
Distribution Date occurring during the five years beginning on the first
Distribution Date, 100%. With respect to each Mortgage Pool and for any
Distribution Date occurring on or after the fifth anniversary of the first
Distribution Date, the related Senior Percentage plus the following percentage
of the related Subordinate Percentage for such Distribution Date: for any
Distribution Date in the first year thereafter, 70%; for any Distribution Date
in the second year thereafter,

                                       36
<PAGE>

60%; for any Distribution Date in the third year thereafter, 40%; for any
Distribution Date in the fourth year thereafter, 20%; and for any subsequent
Distribution Date, 0%; provided, however, that if on any of the foregoing
Distribution Dates the Senior Percentage for any Mortgage Pool exceeds the
initial Senior Percentage for such Mortgage Pool, the Senior Prepayment
Percentage for any Mortgage Pool for such Distribution Date shall once again
equal 100% for such Distribution Date.

     Notwithstanding the foregoing, no decrease in the Senior Prepayment
Percentage for any Mortgage Pool below the level in effect for the most recent
prior period set forth in the paragraph above shall be effective on any
Distribution Date if, as of the first Distribution Date as to which any such
decrease applies, (i) the average outstanding principal balance on such
Distribution Date and for the preceding five Distribution Dates of all Mortgage
Loans in such Mortgage Pool that were delinquent 60 days or more (including for
this purpose any Mortgage Loans in foreclosure and the Scheduled Payments that
would have been due on Mortgage Loans with respect to which the related
Mortgaged Property has been acquired by the Trust Fund if the related Mortgage
Loan had remained in existence) is greater than or equal to 50% of the
applicable Group Subordinate Amount immediately prior to such Distribution Date
or (ii) cumulative Realized Losses with respect to the Mortgage Loans in any
Mortgage Pool exceed (a) with respect to the Distribution Date on the fifth
anniversary of the first Distribution Date, 30% of the related Original Group
Subordinate Amount, (b) with respect to the Distribution Date on the sixth
anniversary of the first Distribution Date, 35% of the related Original Group
Subordinate Amount, (c) with respect to the Distribution Date on the seventh
anniversary of the first Distribution Date, 40% of the related Original Group
Subordinate Amount, (d) with respect to the Distribution Date on the eighth
anniversary of the first Distribution Date, 45% of the related Original Group
Subordinate Amount, and (e) with respect to the Distribution Date on the ninth
anniversary of the first Distribution Date or thereafter, 50% of the related
Original Group Subordinate Amount. After the Class Principal Amount of each
Class of Senior Certificates (and the Component Principal Amount of the related
Components) in any Certificate Group has been reduced to zero, the Senior
Prepayment Percentage for the related Mortgage Pool shall be 0%.

     Senior Principal Distribution Amount: For each Certificate Group and any
Distribution Date, the sum of the following amounts:

         (i) the product of (1) the related Senior Percentage for such date and
     (2) the principal portion (multiplied by the applicable Non-AP Percentage
     for the related Mortgage Pool) of each Scheduled Payment (without giving
     effect to any Debt Service Reduction occurring prior to the Bankruptcy
     Coverage Termination Date), on each Mortgage Loan in the related Mortgage
     Pool due during the related Due Period;

         (ii) the product of (a) the related Senior Prepayment Percentage for
     such date and (b) each of the following amounts (multiplied by the
     applicable Non-AP Percentage for the related Mortgage Pool): (1) each
     Principal Prepayment on the Mortgage Loans in the related Mortgage Pool
     collected during the related Prepayment Period, (2) each other unscheduled
     collection, including Insurance Proceeds and Net Liquidation Proceeds
     (other than with respect to any Mortgage Loan in the related Mortgage Pool
     that was finally liquidated during the related Prepayment Period)
     representing or allocable to recoveries of principal received during the
     related Prepayment Period, and (3) the

                                       37
<PAGE>

     principal portion of all proceeds of the purchase of any Mortgage Loan in
     the related Mortgage Pool (or, in the case of a permitted substitution,
     amounts representing a principal adjustment) actually received by the
     Trustee during the related Prepayment Period;

         (iii) with respect to unscheduled recoveries allocable to principal of
     any Mortgage Loan in the related Mortgage Pool that was finally liquidated
     during the related Prepayment Period, the lesser of (a) the related net
     Liquidation Proceeds allocable to principal (multiplied by the applicable
     Non-AP Percentage for the related Mortgage Pool) and (b) the product of the
     related Senior Prepayment Percentage for such date and the Scheduled
     Principal Balance (multiplied by the applicable Non-AP Percentage for the
     related Mortgage Pool) of the related Mortgage Loan at the time of
     liquidation; and

         (iv) any amounts described in clauses (i) through (iii) for any
     previous Distribution Date that remain unpaid.

If on any Distribution Date the Class Principal Amount of each Class of Senior
Certificates (other than any Class AP Certificates) has been reduced to zero,
the Senior Principal Distribution Amount for such Certificate Group for such
date (following such reduction) and each subsequent Distribution Date shall be
zero.

     Servicer: Any Servicer that has entered into any of the Servicing
Agreements attached as Exhibit E hereto, or any successors in interest. The
initial Servicer is Cendant Mortgage Corporation.

     Servicing Advances: Expenditures incurred by the Servicer in connection
with the liquidation or foreclosure of a Mortgage Loan which are eligible for
reimbursement under the Servicing Agreement.

     Servicing Agreement: Each Servicing Agreement among a Servicer, and the
Seller dated as of June 1, 2001, attached hereto in Exhibit E, and any other
servicing agreement entered into between a successor servicer and the Seller or
the Trustee pursuant to the terms hereof.

     Servicing Fee: The Servicing Fee specified in the applicable Servicing
Agreement.

     Servicing Fee Rate: With respect to any Servicer, as specified in the
applicable Servicing Agreement.

     Servicing Officer: Any officer of the Master Servicer involved in or
responsible for the administration and servicing or master servicing of the
Mortgage Loans whose name appears on a list of servicing officers furnished by
the Master Servicer to the Trustee, as such list may from time to time be
amended.

     Special Hazard Loss: With respect to the Mortgage Loans, (x) any Realized
Loss arising out of any direct physical loss or damage to a Mortgaged Property
which is caused by or results from any cause, exclusive of any loss covered by a
hazard policy or a flood insurance policy required to be maintained in respect
of such Mortgaged Property and any loss caused by or resulting from (i) normal
wear and tear, (ii) conversion or other dishonest act on the part of the

                                       38
<PAGE>

Trustee, the Master Servicer, any Servicer or any of their agents or employees,
or (iii) errors in design, faulty workmanship or faulty materials, unless the
collapse of the property or a part thereof ensues, or (y) any Realized Loss
arising from or related to the presence or suspected presence of hazardous
wastes, or hazardous substances on a Mortgaged Property unless such loss is
covered by a hazard policy or flood insurance policy required to be maintained
in respect of such Mortgaged Property, in any case, as reported by any Servicer
to the Master Servicer.

     Special Hazard Loss Limit: As of the Cut-off Date, $4,455,036, which amount
shall be reduced from time to time to an amount equal on any Distribution Date
to the lesser of (a) the greatest of (i) 1% of the aggregate of the Scheduled
Principal Balances of the Mortgage Loans; (ii) twice the Scheduled Principal
Balance of the Mortgage Loan having the highest Scheduled Principal Balance, and
(iii) the aggregate Scheduled Principal Balances of the Mortgage Loans secured
by Mortgaged Properties located in the single California postal zip code area
having the highest aggregate Scheduled Principal Balance of Mortgage Loans of
any such postal zip code area and (b) the Special Hazard Loss Limit as of the
Closing Date less the amount, if any, of Special Hazard Losses incurred with
respect to Mortgage Loans since the Closing Date.

     Specified Rating: Not applicable.

     Startup Day: The day designated as such pursuant to Section 10.01(b)
hereof.

     Subordinate Certificate: Any Class B Certificate.

     Subordinate Certificate Writedown Amount: As to any Distribution Date, the
amount by which (i) the sum of the Class Principal Amounts of all the
Certificates (after giving effect to the distribution of principal and the
application of Realized Losses in reduction of the Certificate Principal Amounts
of the Certificates on such Distribution Date) exceeds (ii) the aggregate
Scheduled Principal Balance of the Mortgage Loans for such Distribution Date.

     Subordinate Class Percentage: With respect to any Distribution Date and any
Class of Subordinate Certificates, the percentage obtained by dividing the Class
Principal Amount of such Class immediately prior to such Distribution Date by
the aggregate Certificate Principal Amount of all Subordinate Certificates
immediately prior to such Distribution Date.

     Subordinate Component Percentage: Not applicable.

     Subordinate Percentage: With respect to each Mortgage Pool and any
Distribution Date, the difference between 100% and the related Senior Percentage
for such Distribution Date.

     Subordinate Prepayment Percentage: With respect to each Mortgage Pool and
any Distribution Date, the difference between 100% and the related Senior
Prepayment Percentage for such Distribution Date.

     Subordinate Principal Distribution Amount: For each Certificate Group and
any Distribution Date, the sum of the following:

         (i) the product of (1) the related Subordinate Percentage for such date
     and (2) the principal portion (multiplied by the applicable Non-AP
     Percentage for the related

                                       39
<PAGE>

     Mortgage Pool) of each Scheduled Payment (without giving effect to any Debt
     Service Reduction occurring prior to the applicable Bankruptcy Coverage
     Termination Date) on each Mortgage Loan in the related Mortgage Pool due
     during the related Due Period;

         (ii) the product of (a) the related Subordinate Prepayment Percentage
     for such date and (b) each of the following amounts (multiplied by the
     applicable Non-AP Percentage for the related Mortgage Pool): (1) each
     Principal Prepayment on the Mortgage Loans in the related Mortgage Pool
     collected during the related Prepayment Period, (2) each other unscheduled
     collection, including Insurance Proceeds and Net Liquidation Proceeds
     (other than with respect to any Mortgage Loan in the related Mortgage Pool
     that was finally liquidated during the related Prepayment Period)
     representing or allocable to recoveries of principal received during the
     related Prepayment Period, and (3) the principal portion of all proceeds of
     the purchase of any Mortgage Loan in the related Mortgage Pool (or, in the
     case of a permitted substitution, amounts representing a principal
     adjustment) actually received by the Trustee during the related Prepayment
     Period;

         (iii) with respect to unscheduled recoveries allocable to principal of
     any Mortgage Loan in the related Mortgage Pool that was finally liquidated
     during the related Prepayment Period, the related net Liquidation Proceeds
     allocable to principal (multiplied by the applicable Non-AP Percentage for
     the related Mortgage Pool) less any related amount paid pursuant to
     subsection (iii) of the definition of Senior Principal Distribution Amount
     for the related Certificate Group; and

         (iv) any amounts described in clauses (i) through (iii) for any
     previous Distribution Date that remain unpaid.

     Surety: Ambac Assurance Corporation, or its successors in interest.

     Surety Bond: The Limited Purpose Surety Bond (Policy No. AB0039BE), dated
February 28, 1996, issued by the Surety for the benefit of certain
beneficiaries, including the Trustee for the benefit of the Holders of the
Certificates, but only to the extent that such Limited Purpose Surety Bond
covers any Pledged Asset Mortgage Loans.

     TAC I Amount: For each TAC Class or TAC Component, and as to each
Distribution Date, the amount set forth for such Class or Component and date
under "TAC I Schedule" in the Scheduled Balances Tables.

     TAC II Amount: For each TAC Class or TAC Component, and as to each
Distribution Date, the amount set forth for such Class or Component and date
under the "TAC II Schedule" in the Scheduled Balances Tables.

     TAC III Amount: For each TAC Class or TAC Component, and as to each
Distribution Date, the amount set forth for such Class or Component and date
under the "TAC III Schedule" in the Scheduled Balances Tables.

                                       40
<PAGE>

     TAC IV Amount: For each TAC Class or TAC Component, and as to each
Distribution Date, the amount set forth for such Class or Component and date
under the "TAC IV Schedule" in the Scheduled Balances Tables.

     TAC Certificate: Any Class 1-A4, Class 1-A8, Class 1-A9 and Class 1-A10
Certificate.

     TAC Component: The 1-A5(6) Component.

     Tax Matters Person: The "tax matters person" as specified in the REMIC
Provisions.

     Termination Price: As defined in Section 7.01 hereof.

     Title Insurance Policy: A title insurance policy maintained with respect to
a Mortgage Loan.

     Transfer Agreement: As defined in the Mortgage Loan Sale Agreement.

     Transferor: Cendant Mortgage Corporation, in its capacity as seller of
Mortgage Loans to Lehman Capital pursuant to a Transfer Agreement.

     Trust Fund: The corpus of the trust created pursuant to this Agreement,
consisting of the Mortgage Loans (other than any Retained Interest), the
assignment of the Depositor's rights under the Mortgage Loan Sale Agreement,
such amounts as shall from time to time be held in the Collection Account, the
Certificate Account, any Escrow Account, the Insurance Policies, any REO
Property and the other items referred to in, and conveyed to the Trustee under,
Section 2.01(a).

     Trust Rate: Not applicable.

     Trustee: U.S. Bank National Association, not in its individual capacity but
solely as Trustee, or any successor in interest, or if any successor trustee or
any co-trustee shall be appointed as herein provided, then such successor
trustee and such co-trustee, as the case may be.

     Trustee Fee: Not applicable.

     Trustee Fee Rate: Not applicable.

     UCC: The Uniform Commercial Code as adopted in the State of New York.

     Undercollateralization Distribution: As defined in Section 5.02(f)(2).

     Undercollateralization Group: With respect to any Distribution Date, the
Non AP Senior Certificates of any Certificate Group as to which the aggregate
Certificate Principal Amount thereof, after giving effect to distributions
pursuant to Sections 5.02(a) and (b) on such date is greater than the Non AP
Pool Balance of the related Mortgage Pool for such Distribution Date.

                                       41
<PAGE>

     Underwriter's Exemption: Prohibited Transaction Exemption 2000-58, 65 Fed.
Reg. 67765 (2000), as amended (or any successor thereto), or any substantially
similar administrative exemption granted by the U.S. Department of Labor.

     Upper Tier REMIC: One of the two separate REMICs as described in the
Preliminary Statement hereto.

     Voting Interests: The portion of the voting rights of all the Certificates
that is allocated to any Certificate for purposes of the voting provisions of
this Agreement. At all times during the term of this Agreement until the Class
Notional Amount of each Class of Notional Certificates has been reduced to zero,
95% of all Voting Interests shall be allocated to the Certificates other than
the Notional Certificates and 5% of all Voting Interests shall be allocated to
the Notional Certificates. After the Class Notional Amount of each Class of
Notional Certificate has been reduced to zero, 100% of all Voting Interests
shall be allocated to the remaining Classes of Certificates. Voting Interests
allocated to the Notional Certificates shall be allocated among the Classes of
such Certificates (and among the Certificates of each such Class) in proportion
to their Class Notional Amounts (or Notional Amounts). Voting Interests shall be
allocated among the other Classes of Certificates (and among the Certificates of
each such Class) in proportion to their Class Principal Amounts (or Certificate
Principal Amounts).

     Section 1.02. Calculations Respecting Mortgage Loans.

     Calculations required to be made pursuant to this Agreement with respect to
any Mortgage Loan in the Trust Fund shall be made based upon current information
as to the terms of the Mortgage Loans and reports of payments received from the
Mortgagor on such Mortgage Loans and payments to be made to the Trustee as
supplied to the Trustee by the Master Servicer. The Trustee shall not be
required to recompute, verify or recalculate the information supplied to it by
the Master Servicer.

                                   ARTICLE II

                              DECLARATION OF TRUST;
                            ISSUANCE OF CERTIFICATES

     Section 2.01. Creation and Declaration of Trust Fund; Conveyance of
Mortgage Loans.

     (a) Concurrently with the execution and delivery of this Agreement, the
Depositor does hereby transfer, assign, set over, deposit with and otherwise
convey to the Trustee, without recourse, subject to Sections 2.02, 2.04, 2.05
and 2.06, in trust, all the right, title and interest of the Depositor in and to
the Mortgage Loans. Such conveyance includes, without limitation, the right to
all distributions of principal and interest received on or with respect to the
Mortgage Loans on and after the Cut-off Date (other than (i) any amounts
representing Retained Interest and (ii) payments of principal and interest due
on or before such date) and all such payments due after such date but received
prior to such date and intended by the related Mortgagors to be applied after
such date, together with all of the Depositor's right, title and interest in and
to the Collection Account and all amounts from time to time credited to and

                                       42
<PAGE>

the proceeds of the Collection Account, the Certificate Account and all amounts
from time to time credited to and the proceeds of the Certificate Account, any
Escrow Account established pursuant to Section 9.06 hereof and all amounts from
time to time credited to and the proceeds of any such Escrow Account, any REO
Property and the proceeds thereof, the Depositor's rights under any Insurance
Policies related to the Mortgage Loans, and the Depositor's security interest in
any collateral pledged to secure the Mortgage Loans, including the Mortgaged
Properties and any Additional Collateral, and any proceeds of the foregoing, to
have and to hold, in trust; and the Trustee declares that, subject to the review
provided for in Section 2.02, it has received and shall hold the Trust Fund, as
trustee, in trust, for the benefit and use of the Holders of the Certificates
and for the purposes and subject to the terms and conditions set forth in this
Agreement, and, concurrently with such receipt, has caused to be executed,
authenticated and delivered to or upon the order of the Depositor, in exchange
for the Trust Fund, Certificates in the authorized denominations evidencing the
entire ownership of the Trust Fund.

     Concurrently with the execution and delivery of this Agreement, the
Depositor does hereby assign to the Trustee all of its rights and interest under
the Mortgage Loan Sale Agreement (other than any right to receive Retained
Interest), including all rights of the Seller under the Servicing Agreements to
the extent assigned under the Mortgage Loan Sale Agreement. The Trustee hereby
accepts such assignment, and shall be entitled to exercise all rights of the
Depositor under the Mortgage Loan Sale Agreement as if, for such purpose, it
were the Depositor. The foregoing sale, transfer, assignment, set-over, deposit
and conveyance does not and is not intended to result in creation or assumption
by the Trustee of any obligation of the Depositor, the Seller, or any other
Person in connection with the Mortgage Loans or any other agreement or
instrument relating thereto except as specifically set forth herein.

     In addition, with respect to any Pledged Asset Mortgage Loan, the Depositor
does hereby transfer, assign, set-over and otherwise convey to the Trustee
without recourse (except as provided herein) (i) its rights as assignee under
any security agreements, pledge agreements or guarantees relating to the
Additional Collateral supporting any Pledged Asset Mortgage Loan, (ii) its
security interest in and to any Additional Collateral, (iii) its right to
receive payments in respect of any Pledged Asset Mortgage Loan pursuant to the
Additional Collateral Servicing Agreement, and (iv) its rights as beneficiary
under the Surety Bond in respect of any Pledged Asset Mortgage Loan.

     (b) In connection with such transfer and assignment, the Depositor does
hereby deliver to, and deposit with, or cause to be delivered to and deposited
with, the Trustee, and/or any custodian acting on the Trustee's behalf, if
applicable, the following documents or instruments with respect to each Mortgage
Loan (each a "Mortgage File") so transferred and assigned:

         (i) with respect to each Mortgage Loan, the original Mortgage Note
     endorsed without recourse in proper form to the order of the Trustee, as
     shown in Exhibit B-4, or in blank (in each case, with all necessary
     intervening endorsements as applicable);

         (ii) the original of any guarantee executed in connection with the
     Mortgage Note, assigned to the Trustee;

         (iii) with respect to each Mortgage Loan other than a Cooperative Loan,
     the original recorded Mortgage with evidence of recording indicated
     thereon. If, in

                                       43
<PAGE>

     connection with any Mortgage Loan, the Depositor cannot deliver the
     Mortgage with evidence of recording thereon on or prior to the Closing Date
     because of a delay caused by the public recording office where such
     Mortgage has been delivered for recordation or because such Mortgage has
     been lost, the Depositor shall deliver or cause to be delivered to the
     Trustee (or its custodian), in the case of a delay due to recording, a true
     copy of such Mortgage, pending delivery of the original thereof, together
     with an Officer's Certificate of the Depositor certifying that the copy of
     such Mortgage delivered to the Trustee (or its custodian) is a true copy
     and that the original of such Mortgage has been forwarded to the public
     recording office, or, in the case of a Mortgage that has been lost, a copy
     thereof (certified as provided for under the laws of the appropriate
     jurisdiction) and a written Opinion of Counsel acceptable to the Trustee
     and the Depositor that an original recorded Mortgage is not required to
     enforce the Trustee's interest in the Mortgage Loan;

         (iv) the original of each assumption, modification or substitution
     agreement, if any, relating to the Mortgage Loans, or, as to any
     assumption, modification or substitution agreement which cannot be
     delivered on or prior to the Closing Date because of a delay caused by the
     public recording office where such assumption, modification or substitution
     agreement has been delivered for recordation, a photocopy of such
     assumption, modification or substitution agreement, pending delivery of the
     original thereof, together with an Officer's Certificate of the Depositor
     certifying that the copy of such assumption, modification or substitution
     agreement delivered to the Trustee (or its custodian) is a true copy and
     that the original of such agreement has been forwarded to the public
     recording office;

         (v) with respect to each Non-MERS Mortgage Loan other than a
     Cooperative Loan, the original Assignment of Mortgage for each Mortgage
     Loan;

         (vi) if applicable, such original intervening assignments of the
     Mortgage, notice of transfer or equivalent instrument (each, an
     "Intervening Assignment"), as may be necessary to show a complete chain of
     assignment from the originator, or, in the case of an Intervening
     Assignment that has been lost, a written Opinion of Counsel acceptable to
     the Trustee that such original Intervening Assignment is not required to
     enforce the Trustee's interest in the Mortgage Loans;

         (vii) the original Primary Mortgage Insurance Policy or certificate, if
     private mortgage guaranty insurance is required;

         (viii) with respect to each Mortgage Loan other than a Cooperative
     Loan, the original mortgagee title insurance policy or attorney's opinion
     of title and abstract of title;

         (ix) the original of any security agreement, chattel mortgage or
     equivalent executed in connection with the Mortgage or as to any security
     agreement, chattel mortgage or their equivalent that cannot be delivered on
     or prior to the Closing Date because of a delay caused by the public
     recording office where such document has been delivered for recordation, a
     photocopy of

                                       44
<PAGE>

     such document, pending delivery of the original thereof, together with an
     Officer's Certificate of the Depositor certifying that the copy of such
     security agreement, chattel mortgage or their equivalent delivered to the
     Trustee (or its custodian) is a true copy and that the original of such
     document has been forwarded to the public recording office;

         (x) with respect to any Cooperative Loan, the Cooperative Loan
     Documents;

         (xi) in connection with any pledge of Additional Collateral, the
     original additional collateral pledge agreement or security agreement
     executed in connection therewith, assigned to the Trustee; and

         (xii) with respect to any manufactured housing contract, any related
     manufactured housing sales contract, installment loan agreement or
     participation interest.

     The parties hereto acknowledge and agree that the form of endorsement
attached hereto as Exhibit B-4 is intended to effect the transfer to the
Trustee, for the benefit of the Certificateholders, of the Mortgage Notes and
the Mortgages.

     (c) Assignments of Mortgage with respect to each Non-MERS Mortgage Loan
other than a Cooperative Loan shall be recorded; provided, however, that such
Assignments need not be recorded if, in the Opinion of Counsel (which must be
from Independent counsel) (which Opinion of Counsel may be in the form of a
memorandum of law) acceptable to the Trustee and the Rating Agencies, recording
in such states is not required to protect the Trustee's interest in the related
Non-MERS Mortgage Loans. Subject to the preceding sentence, as soon as
practicable after the Closing Date (but in no event more than 3 months
thereafter except to the extent delays are caused by the applicable recording
office), the Trustee, at the expense of the Depositor and with the cooperation
of applicable Servicer, shall cause to be properly recorded by such Servicer in
each public recording office where the related Mortgages are recorded each
Assignment of Mortgage referred to in subsection (b)(v) above with respect to a
Non-MERS Mortgage Loan. With respect to each Cooperative Loan, the Trustee, at
the expense of the Depositor and with the cooperation of applicable Servicer,
shall cause such Servicer to take such actions as are necessary under applicable
law, in accordance with advice of counsel, in order to perfect the interest of
the Trustee in the related Mortgaged Property.

     With respect to each MERS Mortgage Loan, the Trustee, at the expense of the
Depositor and at the direction and with the cooperation of the applicable
Servicer, shall cause to be taken such actions as are necessary to cause the
Trustee to be clearly identified as the owner of each such Mortgage Loan on the
records of MERS for purposes of the system of recording transfers of beneficial
ownership of mortgages maintained by MERS.

     (d) In instances where a Title Insurance Policy is required to be delivered
to the Trustee, or to the applicable Custodian on behalf of the Trustee, under
clause (b)(viii) above and is not so delivered, the Depositor will provide a
copy of such Title Insurance Policy to the Trustee, or to the applicable
Custodian on behalf of the Trustee, as promptly as practicable after the
execution and delivery hereof, but in any case within 180 days of the Closing
Date.

     (e) For Mortgage Loans (if any) that have been prepaid in full after the
Cut-off Date and prior to the Closing Date, the Depositor, in lieu of delivering
the above documents, herewith delivers to the Trustee, or to the applicable
Custodian on behalf of the Trustee, an Officer's

                                       45
<PAGE>

Certificate which shall include a statement to the effect that all amounts
received in connection with such prepayment that are required to be deposited in
the applicable Collection Account pursuant to Section 4.01 have been so
deposited. All original documents that are not delivered to the Trustee or the
applicable Custodian on behalf of the Trustee shall be held by the Master
Servicer or the applicable Servicer in trust for the benefit of the Trustee and
the Certificateholders.

     Section 2.02. Acceptance of Trust Fund by Trustee: Review of Documentation
for Trust Fund.

     (a) The Trustee, by execution and delivery hereof, acknowledges receipt by
the Trustee or by the Custodian on behalf of the Trustee, of the Mortgage Files
pertaining to the Mortgage Loans listed on the Mortgage Loan Schedule, subject
to review thereof by the Trustee, or by the applicable Custodian on behalf of
the Trustee, under this Section 2.02. The Trustee, or the applicable Custodian
on behalf of the Trustee, will execute and deliver to the Trustee, the Depositor
and the Master Servicer on the Closing Date an Initial Certification in the form
annexed hereto as Exhibit B-1 (or in the form annexed to the applicable
Custodial Agreement as Exhibit B-1, as applicable).

     (b) Within 45 days after the Closing Date, the applicable Custodian will,
on behalf of the Trustee and for the benefit of Holders of the Certificates,
review each Mortgage File to ascertain that all required documents set forth in
Section 2.01 have been received and appear on their face to contain the
requisite signatures by or on behalf of the respective parties thereto, and
shall deliver to the Trustee, the Depositor and the Master Servicer an Interim
Certification in the form annexed hereto as Exhibit B-2 (or in the form annexed
to the applicable Custodial Agreement as Exhibit B-2, as applicable) to the
effect that, as to each Mortgage Loan listed in the Mortgage Loan Schedule
(other than any Mortgage Loan prepaid in full or any Mortgage Loan specifically
identified in such certification as not covered by such certification), (i) all
of the applicable documents specified in Section 2.01(b) are in its possession
and (ii) such documents have been reviewed by it and appear to relate to such
Mortgage Loan. The Trustee, or the applicable Custodian on behalf of the
Trustee, shall make sure that the documents are executed and endorsed, but shall
be under no duty or obligation to inspect, review or examine any such documents,
instruments, certificates or other papers to determine that the same are valid,
binding, legally effective, properly endorsed, genuine, enforceable or
appropriate for the represented purpose or that they have actually been recorded
or are in recordable form or that they are other than what they purport to be on
their face. Neither the Trustee nor any Custodian shall have any responsibility
for verifying the genuineness or the legal effectiveness of or authority for any
signatures of or on behalf of any party or endorser.

     (c) If in the course of the review described in paragraph (b) above the
Trustee or the applicable Custodian discovers any document or documents
constituting a part of a Mortgage File that is missing, does not appear regular
on its face (i.e., is mutilated, damaged, defaced, torn or otherwise physically
altered) or appears to be unrelated to the Mortgage Loans identified in the
Mortgage Loan Schedule (each, a "Material Defect"), the Trustee, or the
applicable Custodian on behalf of the Trustee, shall promptly identify the
Mortgage Loan to which such Material Defect relates in the Interim Certificate
delivered to the Depositor or the Master Servicer (and to the Trustee). Within
90 days of its receipt of such notice, the Depositor shall be

                                       46
<PAGE>

required to cure such Material Defect (and, in such event, the Depositor shall
provide the Trustee with an Officer's Certificate confirming that such cure has
been effected). If the Depositor does not so cure such Material Defect, it
shall, if a loss has been incurred with respect to such Mortgage Loan that
would, if such Mortgage Loan were not purchased from the Trust Fund, constitute
a Realized Loss, and such loss is attributable to the failure of the Depositor
to cure such Material Defect, repurchase the related Mortgage Loan from the
Trust Fund at the Purchase Price. A loss shall be deemed to be attributable to
the failure of the Depositor to cure a Material Defect if, as determined by the
Depositor, upon mutual agreement with the Trustee acting in good faith, absent
such Material Defect, such loss would not have been incurred. Within the two
year period following the Closing Date, the Depositor may, in lieu of
repurchasing a Mortgage Loan pursuant to this Section 2.02, substitute for such
Mortgage Loan a Qualifying Substitute Mortgage Loan subject to the provisions of
Section 2.05. The failure of the Trustee or the applicable Custodian to give the
notice contemplated herein within 45 days after the Closing Date shall not
affect or relieve the Depositor of its obligation to repurchase any Mortgage
Loan pursuant to this Section 2.02 or any other Section of this Agreement
requiring the repurchase of Mortgage Loans from the Trust Fund.

     (d) Within 180 days following the Closing Date, the Trustee, or the
applicable Custodian, shall deliver to the Trustee, the Depositor and the Master
Servicer a Final Certification substantially in the form annexed hereto as
Exhibit B-3 (or in the form annexed to the applicable Custodial Agreement as
Exhibit B-3, as applicable) evidencing the completeness of the Mortgage Files in
its possession or control, with any exceptions noted thereto.

     (e) Nothing in this Agreement shall be construed to constitute an
assumption by the Trust Fund, the Trustee or the Certificateholders of any
unsatisfied duty, claim or other liability on any Mortgage Loan or to any
Mortgagor.

     (f) Each of the parties hereto acknowledges that the Custodian shall
perform the applicable review of the Mortgage Loans and deliver the respective
certifications thereof as provided in this Section 2.02.

     Section 2.03. Representations and Warranties of the Depositor.

     (a) The Depositor hereby represents and warrants to the Trustee, for the
benefit of Certificateholders, to the Master Servicer, as of the Closing Date or
such other date as is specified, that:

         (i) the Depositor is a corporation duly organized, validly existing and
     in good standing under the laws governing its creation and existence and
     has full corporate power and authority to own its property, to carry on its
     business as presently conducted, to enter into and perform its obligations
     under this Agreement, and to create the trust pursuant hereto;

         (ii) the execution and delivery by the Depositor of this Agreement have
     been duly authorized by all necessary corporate action on the part of the
     Depositor; neither the execution and delivery of this Agreement, nor the
     consummation of the transactions herein contemplated, nor compliance with
     the provisions hereof, will conflict with or

                                       47
<PAGE>

     result in a breach of, or constitute a default under, any of the provisions
     of any law, governmental rule, regulation, judgment, decree or order
     binding on the Depositor or its properties or the certificate of
     incorporation or bylaws of the Depositor;

         (iii) the execution, delivery and performance by the Depositor of this
     Agreement and the consummation of the transactions contemplated hereby do
     not require the consent or approval of, the giving of notice to, the
     registration with, or the taking of any other action in respect of, any
     state, federal or other governmental authority or agency, except such as
     has been obtained, given, effected or taken prior to the date hereof;

         (iv) this Agreement has been duly executed and delivered by the
     Depositor and, assuming due authorization, execution and delivery by the
     Trustee and the Master Servicer, constitutes a valid and binding obligation
     of the Depositor enforceable against it in accordance with its terms except
     as such enforceability may be subject to (A) applicable bankruptcy and
     insolvency laws and other similar laws affecting the enforcement of the
     rights of creditors generally and (B) general principles of equity
     regardless of whether such enforcement is considered in a proceeding in
     equity or at law;

         (v) there are no actions, suits or proceedings pending or, to the
     knowledge of the Depositor, threatened or likely to be asserted against or
     affecting the Depositor, before or by any court, administrative agency,
     arbitrator or governmental body (A) with respect to any of the transactions
     contemplated by this Agreement or (B) with respect to any other matter
     which in the judgment of the Depositor will be determined adversely to the
     Depositor and will if determined adversely to the Depositor materially and
     adversely affect it or its business, assets, operations or condition,
     financial or otherwise, or adversely affect its ability to perform its
     obligations under this Agreement; and

         (vi) immediately prior to the transfer and assignment of the Mortgage
     Loans to the Trustee, the Depositor was the sole owner of record and holder
     of each Mortgage Loan, and the Depositor had good and marketable title
     thereto, and had full right to transfer and sell each Mortgage Loan to the
     Trustee free and clear, subject only to (1) liens of current real property
     taxes and assessments not yet due and payable and, if the related Mortgaged
     Property is a condominium unit, any lien for common charges permitted by
     statute, (2) covenants, conditions and restrictions, rights of way,
     easements and other matters of public record as of the date of recording of
     such Mortgage acceptable to mortgage lending institutions in the area in
     which the related Mortgaged Property is located and specifically referred
     to in the lender's Title Insurance Policy or attorney's opinion of title
     and abstract of title delivered to the originator of such Mortgage Loan,
     and (3) such other matters to which like properties are commonly subject
     which do not, individually or in the aggregate, materially interfere with
     the benefits of the security intended to be provided by the Mortgage, of
     any encumbrance, equity, participation interest, lien, pledge, charge,
     claim or security interest, and had full right and authority, subject to no
     interest or participation of, or agreement with, any other party, to sell
     and assign each Mortgage Loan pursuant to this Agreement.

         (vii) The representations and warranties of each Transferor with
     respect to the related Mortgage Loans in the applicable Transfer Agreement,
     which have been assigned

                                       48
<PAGE>

     to the Trustee hereunder, were made as of the date specified in the
     applicable Transfer Agreement (or underlying agreement, if such Transfer
     Agreement is in the form of an assignment of a prior agreement). To the
     extent that any fact, condition or event with respect to a Mortgage Loan
     constitutes a breach of both (i) a representation or warranty of the
     applicable Transferor under the applicable Transfer Agreement and (ii) a
     representation or warranty of Lehman Capital under the Mortgage Loan Sale
     Agreement, the only right or remedy of the Trustee or of any
     Certificateholder shall be the Trustee's right to enforce the obligations
     of the applicable Transferor under any applicable representation or
     warranty made by it. The Trustee acknowledges that Lehman Capital shall
     have no obligation or liability with respect to any breach of a
     representation or warranty made by it with respect to the Mortgage Loans if
     the fact, condition or event constituting such breach also constitutes a
     breach of a representation or warranty made by the applicable Transferor in
     the applicable Transfer Agreement, without regard to whether such
     Transferor fulfills its contractual obligations in respect of such
     representation or warranty. The Trustee further acknowledges that the
     Depositor shall have no obligation or liability with respect to any breach
     of any representation or warranty with respect to the Mortgage Loans
     (except as set forth in Section 2.03(a)(vi)) under any circumstances.

     Section 2.04. Discovery of Breach.

     It is understood and agreed that the representations and warranties (i) set
forth in Section 2.03, (ii) of Lehman Capital set forth in the Mortgage Loan
Sale Agreement and assigned to the Trustee by the Depositor hereunder and (iii)
of each Transferor, assigned by Lehman Capital to the Depositor pursuant to the
Mortgage Loan Sale Agreement and assigned to the Trustee by the Depositor
hereunder shall each survive delivery of the Mortgage Files and the Assignment
of Mortgage of each Mortgage Loan to the Trustee and shall continue throughout
the term of this Agreement. Upon discovery by either the Depositor, the Master
Servicer or the Trustee of a breach of any of such representations and
warranties that adversely and materially affects the value of the related
Mortgage Loan, the party discovering such breach shall give prompt written
notice to the other parties. Within 90 days of the discovery of a breach of any
representation or warranty given to the Trustee by the Depositor, any Transferor
or Lehman Capital and assigned to the Trustee, the Depositor, such Transferor or
Lehman Capital, as applicable, shall either (a) cure such breach in all material
respects, (b) repurchase such Mortgage Loan or any property acquired in respect
thereof from the Trustee at the Purchase Price or (c) within the two year period
following the Closing Date, substitute a Qualifying Substitute Mortgage Loan for
the affected Mortgage Loan. In the event of discovery of a breach of any
representation and warranty of any Transferor assigned to the Trustee, the
Trustee shall enforce its rights under the applicable Transfer Agreement and the
Mortgage Loan Sale Agreement for the benefit of Certificateholders. As provided
in the Mortgage Loan Sale Agreement, if any Transferor substitutes for a
Mortgage Loan for which there is a breach of any representations and warranties
in the related Transfer Agreement which adversely and materially affects the
value of such Mortgage Loan and such substitute mortgage loan is not a
Qualifying Substitute Mortgage Loan, under the terms of the Mortgage Loan Sale
Agreement, Lehman Capital will, in exchange for such Substitute Mortgage Loan,
(i) provide the applicable Purchase Price for the affected Mortgage Loan or (ii)
within two years of the Closing Date, substitute for such affected Mortgage Loan
a Qualifying Substitute Mortgage Loan.

                                       49
<PAGE>

     Section 2.05. Repurchase, Purchase or Substitution of Mortgage Loans.

     (a) With respect to any Mortgage Loan repurchased by the Depositor pursuant
to this Agreement, by Lehman Capital pursuant to the Mortgage Loan Sale
Agreement or by any Transferor pursuant to the applicable Transfer Agreement,
the principal portion of the funds received by the Trustee in respect of such
repurchase of a Mortgage Loan will be considered a Principal Prepayment and
shall be deposited in the Collection Account. The Trustee, upon receipt of the
full amount of the Purchase Price for a Deleted Mortgage Loan, or upon receipt
of the Mortgage File for a Qualifying Substitute Mortgage Loan substituted for a
Deleted Mortgage Loan (and any applicable Substitution Amount), shall release or
cause to be released and reassign to the Depositor, Lehman Capital or the
applicable Transferor, as applicable, the related Mortgage File for the Deleted
Mortgage Loan and shall execute and deliver such instruments of transfer or
assignment, in each case without recourse, representation or warranty, as shall
be necessary to vest in such party or its designee or assignee title to any
Deleted Mortgage Loan released pursuant hereto, free and clear of all security
interests, liens and other encumbrances created by this Agreement, which
instruments shall be prepared by the Trustee (or its custodian), and the Trustee
shall have no further responsibility with respect to the Mortgage File relating
to such Deleted Mortgage Loan. The Seller indemnifies and holds the Trust Fund,
the Trustee, the Depositor and each Certificateholder harmless against any and
all taxes, claims, losses, penalties, fines, forfeitures, reasonable legal fees
and related costs, judgments, and any other costs, fees and expenses that the
Trust Fund, the Trustee, the Depositor and any Certificateholder may sustain in
connection with any actions of the Seller relating to a repurchase of a Mortgage
Loan other than in compliance with the terms of this Section 2.05 and the
Mortgage Loan Sale and Assignment Agreement, to the extent that any such action
causes (i) any federal or state tax to be imposed on the Trust Fund, including
without limitation, any federal tax imposed on "prohibited transactions" under
Section 860F(a)(l) of the Code or on "contributions after the startup date"
under Section 860G(d)(l) of the Code, or (ii) the REMIC to fail to qualify as a
REMIC at any time that any Certificate is outstanding.

     (b) With respect to each Qualifying Substitute Mortgage Loan to be
delivered to the Trustee (or its custodian) pursuant to the terms of this
Article II in exchange for a Deleted Mortgage Loan: (i) the Depositor, the
applicable Transferor or Lehman Capital, as applicable, must deliver to the
Trustee (or its custodian) the Mortgage File for the Qualifying Substitute
Mortgage Loan containing the documents set forth in Section 2.01(b) along with a
written certification certifying as to the delivery of such Mortgage File and
containing the granting language set forth in Section 2.01(a); and (ii) the
Depositor will be deemed to have made, with respect to such Qualified Substitute
Mortgage Loan, each of the representations and warranties made by it with
respect to the related Deleted Mortgage Loan. As soon as practicable after the
delivery of any Qualifying Substitute Mortgage Loan hereunder, the Trustee, at
the expense of the Depositor and at the direction and with the cooperation of
the applicable Servicer, shall (i) with respect to a Qualifying Substitute
Mortgage Loan that is a Non-MERS Mortgage Loan, cause the Assignment of Mortgage
to be recorded by such Servicer if required pursuant to Section 2.01(c)(i), or
(ii) with respect to a Qualifying Substitute Mortgage Loan that is a MERS
Mortgage Loan, cause to be taken such actions as are necessary to cause the
Trustee to be clearly identified as the owner of each such Mortgage Loan on the
records of MERS if required pursuant to Section 2.01(c)(ii).

                                       50
<PAGE>

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

     Section 2.06. Grant Clause.

     (a) It is intended that the conveyance of the Depositor's right, title and
interest in and to property constituting the Trust Fund pursuant to this
Agreement shall constitute, and shall be construed as, a sale of such property
and not a grant of a security interest to secure a loan. However, if such
conveyance is deemed to be in respect of a loan, it is intended that: (1) the
rights and obligations of the parties shall be established pursuant to the terms
of this Agreement; (2) the Depositor hereby grants to the Trustee for the
benefit of the Holders of the Certificates a first priority security interest in
all of the Depositor's right, title and interest in, to and under, whether now
owned or hereafter acquired, the Trust Fund and all proceeds of any and all
property constituting the Trust Fund to secure payment of the Certificates; and
(3) this Agreement shall constitute a security agreement under applicable law.
If such conveyance is deemed to be in respect of a loan and the Trust created by
this Agreement terminates prior to the satisfaction of the claims of any Person
holding any Certificate, the security interest created hereby shall continue in
full force and effect and the Trustee shall be deemed to be the collateral agent
for the benefit of such Person, and all proceeds shall be distributed as herein
provided.

     (b) The Trustee shall, to the extent consistent with this Agreement, take
such reasonable actions, as set forth in an Opinion of Counsel delivered to the
Trustee, as may be necessary to ensure that, if this Agreement were deemed to
create a security interest in the Mortgage Loans and the other property
described above, such security interest would be a perfected security interest
of first priority under applicable law and will be maintained as such throughout
the term of this Agreement. The Depositor will, at its own expense, make all
initial filings on or about the Closing Date and shall forward a copy of such
filing or filings to the Trustee. Without limiting the generality of the
foregoing, the Depositor shall prepare or cause the Master Servicer to prepare
and forward for filing, or shall cause to be forwarded for filing, at the
expense of the Depositor, all filings necessary to maintain the effectiveness of
any original filings necessary under the relevant UCC to perfect the Trustee's
security interest in or lien on the Mortgage Loans, including without limitation
(x) continuation statements, and (y) such other statements as may be occasioned
by (1) any change of name of the Seller, the Depositor or the Trustee, (2) any
change of location of the place of business or the chief executive office of the
Seller or the Depositor, (3) any transfer of any interest of the Seller or the
Depositor in any Mortgage Loan or (4) any change under the relevant UCC or other
applicable laws.

                                       51
<PAGE>

                                  ARTICLE III

                                THE CERTIFICATES

     Section 3.01. The Certificates.

     (a) The Certificates shall be issuable in registered form only and shall be
securities governed by Article 8 of the New York Uniform Commercial Code. The
Book-Entry Certificates will be evidenced by one or more certificates,
beneficial ownership of which will be held in the dollar denominations in
Certificate Principal Amount or Notional Principal Amount, as applicable, or in
the Percentage Interests, specified herein. Each Class of Book-Entry
Certificates shall be issued in the minimum denominations in Certificate
Principal Amount (or Notional Amount) or Percentage Interest specified in the
Preliminary Statement hereto and in integral multiples of $1 or 5% (in the case
of Certificates issued in Percentage Interests) in excess thereof. Each Class of
Non-Book Entry Certificates other than the Residual Certificate shall be issued
in definitive, fully registered form in the minimum denominations in Certificate
Principal Amount (or Notional Amount) specified in the Preliminary Statement
hereto and in integral multiples of $1 in excess thereof. The Residual
Certificate shall be issued as a single Certificate and maintained in
definitive, fully registered form in a minimum denomination equal to 100% of the
Percentage Interest of such Class. The Certificates may be issued in the form of
typewritten certificates. One Certificate of each Class of Certificates other
than any Class of Residual Certificates may be issued in any denomination in
excess of the minimum denomination.

     (b) The Certificates shall be executed by manual or facsimile signature on
behalf of the Trustee by an authorized officer. Each Certificate shall, on
original issue, be authenticated by the Trustee upon the order of the Depositor
upon receipt by the Trustee of the Mortgage Files described in Section 2.01. No
Certificate shall be entitled to any benefit under this Agreement, or be valid
for any purpose, unless there appears on such Certificate a certificate of
authentication substantially in the form provided for herein, executed by an
authorized officer of the Trustee or the Authenticating Agent, if any, by manual
signature, and such certification upon any Certificate shall be conclusive
evidence, and the only evidence, that such Certificate has been duly
authenticated and delivered hereunder. All Certificates shall be dated the date
of their authentication. At any time and from time to time after the execution
and delivery of this Agreement, the Depositor may deliver Certificates executed
by the Depositor to the Trustee or the Authenticating Agent for authentication
and the Trustee or the Authenticating Agent shall authenticate and deliver such
Certificates as in this Agreement provided and not otherwise.

     (c) The Class B4, Class B5 or Class B6 Certificates offered and sold in
reliance on the exemption from registration under Rule 144A shall be issued
initially in the form of one or more permanent global Certificates in
definitive, fully registered form without interest coupons with the applicable
legends set forth in Exhibit A added to the forms of such Certificates (each, a
"Restricted Global Security"), which shall be deposited on behalf of the
subscribers for such Certificates represented thereby with the Trustee, as
custodian for DTC and registered in the name of a nominee of DTC, duly executed
and authenticated by the Trustee as hereinafter provided. The aggregate
principal amounts of the Restricted Global Securities may from time to

                                       52
<PAGE>

time be increased or decreased by adjustments made on the records of the Trustee
or DTC or its nominee, as the case may be, as hereinafter provided.

     The Class B4, Class B5 or Class B6 Certificates sold in offshore
transactions in reliance on Regulation S shall be issued initially in the form
of one or more permanent global Certificates in definitive, fully registered
form without interest coupons with the applicable legends set forth in Exhibit A
hereto added to the forms of such Certificates (each, a "Regulation S Global
Security"), which shall be deposited on behalf of the subscribers for such
Certificates represented thereby with the Trustee, as custodian for DTC and
registered in the name of a nominee of DTC, duly executed and authenticated by
the Trustee as hereinafter provided. The aggregate principal amounts of the
Regulation S Global Securities may from time to time be increased or decreased
by adjustments made on the records of the Trustee or DTC or its nominee, as the
case may be, as hereinafter provided.

     The Class B4, Class B5, or Class B6 Certificates sold to an "accredited
investor" under Rule 501(a)(1), (2), (3) or (7) under the Act shall be issued
initially in the form of one or more Definitive Certificates.

     Section 3.02. Registration.

     The Trustee is hereby appointed, and hereby accepts its appointment as,
Certificate Registrar in respect of the Certificates and shall maintain books
for the registration and for the transfer of Certificates (the "Certificate
Register"). The Trustee may appoint a bank or trust company to act as
Certificate Registrar. A registration book shall be maintained for the
Certificates collectively. The Certificate Registrar may resign or be discharged
or removed and a new successor may be appointed in accordance with the
procedures and requirements set forth in Sections 6.06 and 6.07 hereof with
respect to the resignation, discharge or removal of the Trustee and the
appointment of a successor Trustee. The Certificate Registrar may appoint, by a
written instrument delivered to the Holders and the Master Servicer, any bank or
trust company to act as co-registrar under such conditions as the Certificate
Registrar may prescribe; provided, however, that the Certificate Registrar shall
not be relieved of any of its duties or responsibilities hereunder by reason of
such appointment.

     Section 3.03. Transfer and Exchange of Certificates.

     (a) A Certificate (other than Book-Entry Certificates which shall be
subject to Section 3.09 hereof) may be transferred by the Holder thereof only
upon presentation and surrender of such Certificate at the office of the
Certificate Registrar duly endorsed or accompanied by an assignment duly
executed by such Holder or his duly authorized attorney in such form as shall be
satisfactory to the Certificate Registrar. Upon the transfer of any Certificate
in accordance with the preceding sentence, the Trustee shall execute, and the
Trustee or any Authenticating Agent shall authenticate and deliver to the
transferee, one or more new Certificates of the same Class and evidencing, in
the aggregate, the same aggregate Certificate Principal Amount as the
Certificate being transferred. No service charge shall be made to a
Certificateholder for any registration of transfer of Certificates, but the
Certificate Registrar may require payment of a sum sufficient to cover any tax
or governmental charge that may be imposed in connection with any registration
of transfer of Certificates.

                                       53
<PAGE>

     (b) A Certificate may be exchanged by the Holder thereof for any number of
new Certificates of the same Class, in authorized denominations, representing in
the aggregate the same Certificate Principal Amount as the Certificate
surrendered, upon surrender of the Certificate to be exchanged at the office of
the Certificate Registrar duly endorsed or accompanied by a written instrument
of transfer duly executed by such Holder or his duly authorized attorney in such
form as is satisfactory to the Certificate Registrar. Certificates delivered
upon any such exchange will evidence the same obligations, and will be entitled
to the same rights and privileges, as the Certificates surrendered. No service
charge shall be made to a Certificateholder for any exchange of Certificates,
but the Certificate Registrar may require payment of a sum sufficient to cover
any tax or governmental charge that may be imposed in connection with any
exchange of Certificates. Whenever any Certificates are so surrendered for
exchange, the Trustee shall execute, and the Trustee or the Authenticating Agent
shall authenticate, date and deliver the Certificates which the
Certificateholder making the exchange is entitled to receive.

     (c) By acceptance of a Restricted Certificate or a Regulation S Global
Security, whether upon original issuance or subsequent transfer, each Holder of
such a Certificate acknowledges the restrictions on the transfer of such
Certificate set forth thereon and agrees that it will transfer such a
Certificate only as provided herein. In addition, each Holder of a Regulation S
Global Security shall be deemed to have represented and warranted to the
Trustee, the Certificate Registrar and any of their respective successors that:
(i) such Person is not a U.S. person within the meaning of Regulation S and was,
at the time the buy order was originated, outside the United States and (ii)
such Person understands that such Certificates have not been registered under
the Securities Act of 1933, as amended (the "Act"), and that (x) until the
expiration of the 40-day distribution compliance period (within the meaning of
Regulation S), no offer, sale, pledge or other transfer of such Certificates or
any interest therein shall be made in the United States or to or for the account
or benefit of a U.S. person (each as defined in Regulation S), (y) if in the
future it decides to offer, resell, pledge or otherwise transfer such
Certificates, such Certificates may be offered, resold, pledged or otherwise
transferred only (A) to a person which the seller reasonably believes is a
"qualified institutional buyer" (a "QIB") as defined in Rule 144A under the Act,
that is purchasing such Certificates for its own account or for the account of a
qualified institutional buyer to which notice is given that the transfer is
being made in reliance on Rule 144A or (B) in an offshore transaction (as
defined in Regulation S) in compliance with the provisions of Regulation S, in
each case in compliance with the requirements of this Agreement; and it will
notify such transferee of the transfer restrictions specified in this Section.

     The following restrictions shall apply with respect to the transfer and
registration of transfer of a Restricted Certificate to a transferee that takes
delivery in the form of a Definitive Certificate:

         (i) The Certificate Registrar shall register the transfer of a
     Restricted Certificate if the requested transfer is (x) to the Depositor or
     the Placement Agent, an affiliate (as defined in Rule 405 under the Act) of
     the Depositor or the Placement Agent or (y) being made to a QIB by a
     transferor that has provided the Trustee with a certificate in the form of
     Exhibit F hereto; and

                                       54
<PAGE>

         (ii) The Certificate Registrar shall register the transfer of a
     Restricted Certificate if the requested transfer is being made to an
     "accredited investor" under Rule 501(a)(1), (2), (3) or (7) under the Act
     by a transferor who furnishes to the Trustee a letter of the transferee
     substantially in the form of Exhibit G hereto.

     (d) No transfer of an ERISA-Restricted Certificate in the form of a
Definitive Certificate shall be made to any Person unless the Trustee has
received (A) a certificate substantially in the form of Exhibit H (or Exhibit
D-1 in the case of the Class R Certificate) hereto from such transferee or (B)
an Opinion of Counsel satisfactory to the Trustee and the Depositor to the
effect that the purchase and holding of such a Certificate will not constitute
or result in the assets of the Trust Fund being deemed to be "plan assets"
subject to the prohibited transactions provisions of ERISA or Section 4975 of
the Code and will not subject the Trustee or the Depositor to any obligation in
addition to those undertaken in the Agreement; provided, however, that the
Trustee will not require such certificate or opinion in the event that, as a
result of a change of law or otherwise, counsel satisfactory to the Trustee has
rendered an opinion to the effect that the purchase and holding of an
ERISA-Restricted Certificate by a Plan or a Person that is purchasing or holding
such a Certificate with the assets of a Plan will not constitute or result in a
prohibited transaction under ERISA or Section 4975 of the Code. Each Transferee
of an ERISA-Restricted Certificate that is a Book-Entry Certificate shall be
deemed to have made the representations set forth in Exhibit H. The preparation
and delivery of the certificate and opinions referred to above shall not be an
expense of the Trust Fund, the Trustee or the Depositor. Notwithstanding the
foregoing, no opinion or certificate shall be required for the initial issuance
of the ERISA-Restricted Certificates. The Trustee shall have no obligation to
monitor transfers of Book-Entry Certificates that are ERISA-Restricted
Certificates and shall have no liability for transfers of such Certificates in
violation of the transfer restrictions.

     Notwithstanding anything to the contrary herein, any purported transfer of
an ERISA-Restricted Certificate to or on behalf of an employee benefit plan
subject to Section 406 of ERISA or a plan subject to Section 4975 of the Code
without the delivery to the Trustee and the Master Servicer of an Opinion of
Counsel satisfactory to the Trustee as described above shall be void and of no
effect; provided that the restriction set forth in this sentence shall not be
applicable if there has been delivered to the Trustee an Opinion of Counsel
meeting the requirements of clause (B) of the first sentence of this paragraph.
The Trustee shall be under no liability to any Person for any registration of
transfer of any ERISA-Restricted Certificate that is in fact not permitted by
this Section 3.03(d) or for making any payments due on such Certificate to the
Holder thereof or taking any other action with respect to such Holder under the
provisions of this Agreement so long as the transfer was registered by the
Trustee in accordance with the foregoing requirements. The Trustee shall be
entitled, but not obligated, to recover from any Holder of any ERISA-Restricted
Certificate that was in fact an employee benefit plan subject to Section 406 of
ERISA or a plan subject to Section 4975 of the Code or a person acting on behalf
of any such plan at the time it became a Holder or, at such subsequent time as
it became such a plan or Person acting on behalf of such a plan, all payments
made on such ERISA-Restricted Certificate at and after either such time. Any
such payments so recovered by the Trustee shall be paid and delivered by the
Trustee to the last preceding holder of such Certificate that is not such a plan
or Person acting on behalf of a plan.

                                       55
<PAGE>

     (e) As a condition of the registration of transfer or exchange of any
Certificate, the Certificate Registrar may require the certified taxpayer
identification number of the owner of the Certificate and the payment of a sum
sufficient to cover any tax or other governmental charge imposed in connection
therewith; provided, however, that the Certificate Registrar shall have no
obligation to require such payment or to determine whether or not any such tax
or charge may be applicable. No service charge shall be made to the
Certificateholder for any registration, transfer or exchange of Certificate.

     (f) Notwithstanding anything to the contrary contained herein, no Residual
Certificate may be owned, pledged or transferred, directly or indirectly, by or
to (i) a Disqualified Organization or (ii) an individual, corporation or
partnership or other person unless such person is (A) not a Non-U.S. Person or
(B) is a Non-U.S. Person that holds a Residual Certificate in connection with
the conduct of a trade or business within the United States and has furnished
the transferor and the Trustee with an effective Internal Revenue Service Form
4224 or successor form at the time and in the manner required by the Code (any
such person who is not covered by clause (A) or (B) above is referred to herein
as a "Non-permitted Foreign Holder").

     Prior to and as a condition of the registration of any transfer, sale or
other disposition of a Residual Certificate, the proposed transferee shall
deliver to the Trustee an affidavit in substantially the form attached hereto as
Exhibit D-1 representing and warranting, among other things, that such
transferee is neither a Disqualified Organization, an agent or nominee acting on
behalf of a Disqualified Organization, nor a Non-permitted Foreign Holder (any
such transferee, a "Permitted Transferee") and the proposed transferor shall
deliver to the Trustee an affidavit in substantially the form attached hereto as
Exhibit D-2. In addition, the Trustee may (but shall have no obligation to)
require, prior to and as a condition of any such transfer, the delivery by the
proposed transferee of an Opinion of Counsel, addressed to the Depositor and the
Trustee satisfactory in form and substance to the Depositor, that such proposed
transferee or, if the proposed transferee is an agent or nominee, the proposed
beneficial owner, is not a Disqualified Organization, agent or nominee thereof,
or Non-permitted Foreign Holder. Notwithstanding the registration in the
Certificate Register of any transfer, sale, or other disposition of a Residual
Certificate to a Disqualified Organization, an agent or nominee thereof, or
Non-permitted Foreign Holder, such registration shall be deemed to be of no
legal force or effect whatsoever and such Disqualified Organization, agent or
nominee thereof, or Non-permitted Foreign Holder shall not be deemed to be a
Certificateholder for any purpose hereunder, including, but not limited to, the
receipt of distributions on such Residual Certificate. The Trustee shall not be
under any liability to any person for any registration or transfer of a Residual
Certificate to a Disqualified Organization, agent or nominee thereof, or
Non-permitted Foreign Holder or for the maturity of any payments due on such
Residual Certificate to the Holder thereof or for taking any other action with
respect to such Holder under the provisions of the Agreement, so long as the
transfer was effected in accordance with this Section 3.03(f), unless the
Trustee shall have actual knowledge at the time of such transfer or the time of
such payment or other action that the transferee is a Disqualified Organization,
agent or nominee thereof, or Non-permitted Foreign Holder. The Trustee shall be
entitled to recover from any Holder of a Residual Certificate that was a
Disqualified Organization, agent or nominee thereof, or Non-permitted Foreign
Holder at the time it became a Holder or any subsequent time it became a
Disqualified Organization, agent or nominee thereof, or Non-permitted Foreign
Holder, all payments made on such Residual Certificate at and after either such
times (and all costs and expenses, including but not limited to

                                       56
<PAGE>

attorneys' fees, incurred in connection therewith). Any payment (not including
any such costs and expenses) so recovered by the Trustee shall be paid and
delivered to the last preceding Holder of such Residual Certificate.

     If any purported transferee shall become a registered Holder of a Residual
Certificate in violation of the provisions of this Section 3.03(f), then upon
receipt of written notice to the Trustee that the registration of transfer of
such Residual Certificate was not in fact permitted by this Section 3.03(f), the
last preceding Permitted Transferee shall be restored to all rights as Holder
thereof retroactive to the date of such registration of transfer of such
Residual Certificate. The Trustee shall be under no liability to any Person for
any registration of transfer of a Residual Certificate that is in fact not
permitted by this Section 3.03(f), for making any payment due on such
Certificate to the registered Holder thereof or for taking any other action with
respect to such Holder under the provisions of this Agreement so long as the
transfer was registered upon receipt of the affidavit described in the preceding
paragraph of this Section 3.03(f).

     (g) Each Holder of a Residual Certificate, by such Holder's acceptance
thereof, shall be deemed for all purposes to have consented to the provisions of
this section.

     (h) Notwithstanding any provision to the contrary herein, so long as a
Global Security representing either of the Class B4, Class B5 or Class B6
Certificates remains outstanding and is held by or on behalf of DTC, transfers
of a Global Security representing any such Certificates, in whole or in part,
shall only be made in accordance with Section 3.01 and this Section 3.03(h).

            (A) Subject to clauses (B) and (C) of this Section 3.03(h),
         transfers of a Global Security representing either of the Class B4,
         Class B5 or Class B6 Certificates shall be limited to transfers of such
         Global Security, in whole or in part, to nominees of DTC or to a
         successor of DTC or such successor's nominee.

            (B) Restricted Global Security to Regulation S Global Security. If a
         holder of a beneficial interest in a Restricted Global Security
         deposited with or on behalf of DTC wishes at any time to exchange its
         interest in such Restricted Global Security for an interest in a
         Regulation S Global Security, or to transfer its interest in such
         Restricted Global Security to a Person who wishes to take delivery
         thereof in the form of an interest in a Regulation S Global Security,
         such holder, provided such holder is not a U.S. person, may, subject to
         the rules and procedures of DTC, exchange or cause the exchange of such
         interest for an equivalent beneficial interest in the Regulation S
         Global Security. Upon receipt by the Trustee, as Certificate Registrar,
         of (I) instructions from DTC directing the Trustee, as Certificate
         Registrar, to be credited a beneficial interest in a Regulation S
         Global Security in an amount equal to the beneficial interest in such
         Restricted Global Security to be exchanged but not less than the
         minimum denomination applicable to such holder's Certificates held
         through a Regulation S Global Security, (II) a written order given in
         accordance with DTC's procedures containing information regarding the
         participant account of DTC and, in the case of a transfer pursuant to
         and in accordance with Regulation S, the Euroclear or Clearstream
         account to be credited with such increase and (III) a certificate in
         the form of Exhibit N-1 hereto given by the holder of such beneficial
         interest stating

                                       57
<PAGE>

         that the exchange or transfer of such interest has been made in
         compliance with the transfer restrictions applicable to the Global
         Securities, including that the holder is not a U.S. person, and
         pursuant to and in accordance with Regulation S, the Trustee, as
         Certificate Registrar, shall reduce the principal amount of the
         Restricted Global Security and increase the principal amount of the
         Regulation S Global Security by the aggregate principal amount of the
         beneficial interest in the Restricted Global Security to be exchanged,
         and shall instruct Euroclear or Clearstream, as applicable,
         concurrently with such reduction, to credit or cause to be credited to
         the account of the Person specified in such instructions a beneficial
         interest in the Regulation S Global Security equal to the reduction in
         the principal amount of the Restricted Global Security.

            (C) Regulation S Global Security to Restricted Global Security. If a
         holder of a beneficial interest in a Regulation S Global Security
         deposited with or on behalf of DTC wishes at any time to transfer its
         interest in such Regulation S Global Security to a Person who wishes to
         take delivery thereof in the form of an interest in a Restricted Global
         Security, such holder may, subject to the rules and procedures DTC,
         exchange or cause the exchange of such interest for an equivalent
         beneficial interest in a Restricted Global Security. Upon receipt by
         the Trustee, as Certificate Registrar, of (I) instructions from DTC
         directing the Trustee, as Certificate Registrar, to cause to be
         credited a beneficial interest in a Restricted Global Security in an
         amount equal to the beneficial interest in such Regulation S Global
         Security to be exchanged but not less than the minimum denomination
         applicable to such holder's Certificates held through a Restricted
         Global Security, to be exchanged, such instructions to contain
         information regarding the participant account with DTC to be credited
         with such increase, and (II) a certificate in the form of Exhibit N-2
         hereto given by the holder of such beneficial interest and stating,
         among other things, that the Person transferring such interest in such
         Regulation S Global Security reasonably believes that the Person
         acquiring such interest in a Restricted Global Security is a QIB, is
         obtaining such beneficial interest in a transaction meeting the
         requirements of Rule 144A and in accordance with any applicable
         securities laws of any State of the United States or any other
         jurisdiction, then the Trustee, as Certificate Registrar, will reduce
         the principal amount of the Regulation S Global Security and increase
         the principal amount of the Restricted Global Security by the aggregate
         principal amount of the beneficial interest in the Regulation S Global
         Security to be transferred and the Trustee, as Certificate Registrar,
         shall instruct DTC, concurrently with such reduction, to credit or
         cause to be credited to the account of the Person specified in such
         instructions a beneficial interest in the Restricted Global Security
         equal to the reduction in the principal amount of the Regulation S
         Global Security.

            (D) Other Exchanges. In the event that a Global Security is
         exchanged for Certificates in definitive registered form without
         interest coupons, pursuant to Section 3.09(c) hereof, such Certificates
         may be exchanged for one another only in accordance with such
         procedures as are substantially consistent with the provisions above
         (including certification requirements intended to insure that such

                                       58
<PAGE>

         transfers comply with Rule 144A, comply with Rule 501(a)(1), (2), (3)
         or (7) or are to non-U.S. persons in compliance with Regulation S under
         the Act, as the case may be), and as may be from time to time adopted
         by the Trustee.

            (E) Restrictions on U.S. Transfers. Transfers of interests in the
         Regulation S Global Security to U.S. persons (as defined in Regulation
         S) shall be limited to transfers made pursuant to the provisions of
         Section 3.03(h)(C).

     Section 3.04. Cancellation of Certificates.

     Any Certificate surrendered for registration of transfer or exchange shall
be cancelled and retained in accordance with normal retention policies with
respect to cancelled certificates maintained by the Trustee or the Certificate
Registrar.

     Section 3.05. Replacement of Certificates.

     If (i) any Certificate is mutilated and is surrendered to the Trustee or
any Authenticating Agent or (ii) the Trustee or any Authenticating Agent
receives evidence to its satisfaction of the destruction, loss or theft of any
Certificate, and there is delivered to the Trustee or the Authenticating Agent
such security or indemnity as may be required by them to save each of them
harmless, then, in the absence of notice to the Depositor and any Authenticating
Agent that such destroyed, lost or stolen Certificate has been acquired by a
bona fide purchaser, the Trustee shall execute and the Trustee or any
Authenticating Agent shall authenticate and deliver, in exchange for or in lieu
of any such mutilated, destroyed, lost or stolen Certificate, a new Certificate
of like tenor and Certificate Principal Amount. Upon the issuance of any new
Certificate under this Section 3.05, the Trustee and Authenticating Agent may
require the payment of a sum sufficient to cover any tax or other governmental
charge that may be imposed in relation thereto and any other expenses (including
the fees and expenses of the Trustee or the Authenticating Agent) connected
therewith. Any replacement Certificate issued pursuant to this Section 3.05
shall constitute complete and indefeasible evidence of ownership in the
applicable Trust Fund, as if originally issued, whether or not the lost, stolen
or destroyed Certificate shall be found at any time.

     Section 3.06. Persons Deemed Owners.

     Subject to the provisions of Section 3.09 with respect to Book-Entry
Certificates, the Depositor, the Master Servicer, the Trustee, the Certificate
Registrar and any agent of any of them may treat the Person in whose name any
Certificate is registered upon the books of the Certificate Registrar as the
owner of such Certificate for the purpose of receiving distributions pursuant to
Sections 5.01 and 5.02 and for all other purposes whatsoever, and neither the
Depositor, the Master Servicer, the Trustee, the Certificate Registrar nor any
agent of any of them shall be affected by notice to the contrary.

     Section 3.07. Temporary Certificates.

     (a) Pending the preparation of definitive Certificates, upon the order of
the Depositor, the Trustee shall execute and shall authenticate and deliver
temporary Certificates that are printed, lithographed, typewritten, mimeographed
or otherwise produced, in any authorized

                                       59
<PAGE>

denomination, substantially of the tenor of the definitive Certificates in lieu
of which they are issued and with such variations as the authorized officers
executing such Certificates may determine, as evidenced by their execution of
such Certificates.

     (b) If temporary Certificates are issued, the Depositor will cause
definitive Certificates to be prepared without unreasonable delay. After the
preparation of definitive Certificates, the temporary Certificates shall be
exchangeable for definitive Certificates upon surrender of the temporary
Certificates at the office or agency of the Trustee without charge to the
Holder. Upon surrender for cancellation of any one or more temporary
Certificates, the Trustee shall execute and authenticate and deliver in exchange
therefor a like aggregate Certificate Principal Amount of definitive
Certificates of the same Class in the authorized denominations. Until so
exchanged, the temporary Certificates shall in all respects be entitled to the
same benefits under this Agreement as definitive Certificates of the same Class.

     Section 3.08. Appointment of Paying Agent.

     The Trustee may appoint a Paying Agent (which may be the Trustee) for the
purpose of making distributions to Certificateholders hereunder. The Trustee
shall cause such Paying Agent to execute and deliver to the Trustee an
instrument in which such Paying Agent shall agree with the Trustee that such
Paying Agent will hold all sums held by it for the payment to Certificateholders
in an Eligible Account in trust for the benefit of the Certificateholders
entitled thereto until such sums shall be paid to the Certificateholders. All
funds remitted by the Trustee to any such Paying Agent for the purpose of making
distributions shall be paid to Certificateholders on each Distribution Date and
any amounts not so paid shall be returned on such Distribution Date to the
Trustee. If the Paying Agent is not the Trustee, the Trustee shall cause to be
remitted to the Paying Agent on or before the Business Day prior to each
Distribution Date, by wire transfer in immediately available funds, the funds to
be distributed on such Distribution Date. Any Paying Agent shall be either a
bank or trust company or otherwise authorized under law to exercise corporate
trust powers.

     Section 3.09. Book-Entry Certificates.

     (a) Each Class of Book-Entry Certificates, upon original issuance, shall be
issued in the form of one or more typewritten Certificates representing the
Book-Entry Certificates, to be delivered to The Depository Trust Company, or its
custodian, the initial Clearing Agency, by, or on behalf of, the Depositor. The
Book-Entry Certificates shall initially be registered on the Certificate
Register in the name of the nominee of the Clearing Agency, and no Certificate
Owner will receive a definitive certificate representing such Certificate
Owner's interest in the Book-Entry Certificates, except as provided in Section
3.09(c). Unless Definitive Certificates have been issued to Certificate Owners
of Book-Entry Certificates pursuant to Section 3.09(c):

         (i) the provisions of this Section 3.09 shall be in full force and
     effect;

         (ii) the Depositor, the Master Servicer, the Paying Agent, the
     Registrar and the Trustee may deal with the Clearing Agency for all
     purposes (including the making of distributions on the Book-Entry
     Certificates) as the authorized representatives of the Certificate Owners
     and the Clearing Agency shall be responsible for crediting the amount

                                       60
<PAGE>

     of such distributions to the accounts of such Persons entitled thereto, in
     accordance with the Clearing Agency's normal procedures;

         (iii) to the extent that the provisions of this Section 3.09 conflict
     with any other provisions of this Agreement, the provisions of this Section
     3.09 shall control; and

         (iv) the rights of Certificate Owners shall be exercised only through
     the Clearing Agency and the Clearing Agency Participants and shall be
     limited to those established by law and agreements between such Certificate
     Owners and the Clearing Agency and/or the Clearing Agency Participants.
     Unless and until Definitive Certificates are issued pursuant to Section
     3.09(c), the initial Clearing Agency will make book-entry transfers among
     the Clearing Agency Participants and receive and transmit distributions of
     principal of and interest on the Book-Entry Certificates to such Clearing
     Agency Participants.

     (b) Whenever notice or other communication to the Certificateholders is
required under this Agreement, unless and until Definitive Certificates shall
have been issued to Certificate Owners pursuant to Section 3.09(c), the Trustee
shall give all such notices and communications specified herein to be given to
Holders of the Book-Entry Certificates to the Clearing Agency.

     (c) If (i) (A) the Depositor advises the Trustee in writing that the
Clearing Agency is no longer willing or able to discharge properly its
responsibilities with respect to the Book-Entry Certificates, and (B) the
Trustee or the Depositor is unable to locate a qualified successor, (ii) the
Depositor, at its option, advises the Trustee in writing that it elects to
terminate the book-entry system through the Clearing Agency or (iii) after the
occurrence of an Event of Default, Certificate Owners representing beneficial
interests aggregating not less than 50% of the Class Principal Amount of a Class
of Book-Entry Certificates identified as such to the Trustee by an Officer's
Certificate from the Clearing Agency advise the Trustee and the Clearing Agency
through the Clearing Agency Participants in writing that the continuation of a
book-entry system through the Clearing Agency is no longer in the best interests
of the Certificate Owners of a Class of Book-Entry Certificates, the Trustee
shall notify or cause the Certificate Registrar to notify the Clearing Agency to
effect notification to all Certificate Owners, through the Clearing Agency, of
the occurrence of any such event and of the availability of Definitive
Certificates to Certificate Owners requesting the same. Upon surrender to the
Trustee of the Book-Entry Certificates by the Clearing Agency, accompanied by
registration instructions from the Clearing Agency for registration, the Trustee
shall issue the Definitive Certificates. Neither the Transferor nor the Trustee
shall be liable for any delay in delivery of such instructions and may
conclusively rely on, and shall be protected in relying on, such instructions.
Upon the issuance of Definitive Certificates all references herein to
obligations imposed upon or to be performed by the Clearing Agency shall be
deemed to be imposed upon and performed by the Trustee, to the extent
applicable, with respect to such Definitive Certificates and the Trustee shall
recognize the holders of the Definitive Certificates as Certificateholders
hereunder.

                                       61
<PAGE>

                                   ARTICLE IV

                        ADMINISTRATION OF THE TRUST FUND

     Section 4.01. Collection Account.

     (a) On the Closing Date, the Master Servicer shall open and shall
thereafter maintain a segregated account held in trust (the "Collection
Account"), entitled "Aurora Loan Services Inc., as Master Servicer, in trust for
the benefit of the Holders of Cendant Mortgage Corporation Mortgage Pass-Through
Certificates, Series 2001-6." The Collection Account shall relate solely to the
Certificates issued by the Trust Fund hereunder, and funds in such Collection
Account shall not be commingled with any other monies.

     (b) The Collection Account shall be an Eligible Account. If an existing
Collection Account ceases to be an Eligible Account, the Master Servicer shall
establish a new Collection Account that is an Eligible Account within 30 days
and transfer all funds on deposit in such existing Collection Account into such
new Collection Account.

     (c) The Master Servicer shall give to the Trustee prior written notice of
the name and address of the depository institution at which the Collection
Account is maintained and the account number of such Collection Account. No
later than 3:00 p.m. on each Deposit Date, the entire amount on deposit in the
Collection Account (subject to permitted withdrawals set forth in Section 4.02),
excluding such amounts not included in the Available Distribution Amount for
such Distribution Date pursuant to clauses (A) through (F) of paragraph (1) of
the definition thereof, shall be remitted to the Trustee for deposit into the
Certificate Account by wire transfer in immediately available funds. The Master
Servicer, at its option, may choose to make daily remittances from the
Collection Account to the Trustee for deposit into the Certificate Account.

     (d) The Master Servicer shall deposit or cause to be deposited into the
Collection Account, no later than the Business Day following the Closing Date,
any amounts representing Scheduled Payments on the Mortgage Loans due after the
Cut-off Date and received by the Master Servicer on or before the Closing Date.
Thereafter, the Master Servicer shall deposit or cause to be deposited in the
Collection Account on the applicable Remittance Date the following amounts
received or payments made by it (other than in respect of principal of and
interest on the Mortgage Loans due on or before the Cut-Off Date):

         (i) all payments on account of principal, including Principal
     Prepayments and late collections, on the Mortgage Loans;

         (ii) all payments on account of interest on the Mortgage Loans (other
     than payments due prior to the Cut-off Date), net of the applicable
     Servicing Fee and Master Servicing Fee with respect to each such Mortgage
     Loan, but only to the extent of the amount permitted to be withdrawn or
     withheld from the Collection Account in accordance with Sections 5.04 and
     9.21;

         (iii) any unscheduled payment or other recovery with respect to a
     Mortgage Loan not otherwise specified in this paragraph (d), including all
     Net Liquidation Proceeds with respect to the Mortgage Loans and REO
     Property, and all amounts received in

                                       62
<PAGE>

     connection with the operation of any REO Property, net of any unpaid
     Servicing Fees and Master Servicing Fees with respect to such Mortgage
     Loans, but only to the extent of the amount permitted to be withdrawn or
     withheld from the Collection Account in accordance with Sections 5.04 and
     9.21; provided that if a Servicer is also the Retained Interest Holder with
     respect to any Mortgage Loan, payments on account of interest on the
     Mortgage Loans as to which such Servicer is the Retained Interest Holder
     may also be made net of the related Retained Interest with respect to each
     such Mortgage Loan.

         (iv) all Insurance Proceeds;

         (v) all Advances made by the Master Servicer or any Servicer pursuant
     to Section 5.04 or the applicable Servicing Agreement; and

         (vi) all proceeds of any Mortgage Loan purchased by any Person.

     (e) Funds in the Collection Account may be invested in Eligible Investments
(selected by and at the written direction of the Master Servicer) which shall
mature not later than the earlier of (a) the Deposit Date (except that if such
Eligible Investment is an obligation of the Trustee or the Paying Agent, if
other than the Trustee, and such Collection Account is maintained with the
Trustee or the Paying Agent, if other than the Trustee, then such Eligible
Investment shall mature not later than such applicable Distribution Date) or (b)
the day on which the funds in such Collection Account are required to be
remitted to the Trustee for deposit into the Certificate Account, and any such
Eligible Investment shall not be sold or disposed of prior to its maturity. All
such Eligible Investments shall be made in the name of the Trustee (in its
capacity as such) or its nominee. All income and gain realized from any such
investment shall be for the benefit of the Master Servicer and shall be subject
to its withdrawal on order from time to time, subject to Section 5.05, and shall
not be part of the Trust Fund. The amount of any losses incurred in respect of
any such investments shall be deposited in such Collection Account by the Master
Servicer out of its own funds, without any right of reimbursement therefor,
immediately as realized. The foregoing requirements for deposit in the
Collection Account are exclusive, it being understood and agreed that, without
limiting the generality of the foregoing, payments of interest on funds in the
Collection Account and payments in the nature of late payment charges or
assumption fees need not be deposited by the Master Servicer in the Collection
Account and may be retained by the Master Servicer or the applicable Servicer as
additional servicing compensation. If the Master Servicer deposits in the
Collection Account any amount not required to be deposited therein, it may at
any time withdraw such amount from such Collection Account. In the event the
Master Servicer does not provide written direction to the Trustee pursuant to
this Section, all funds on deposit in the Collection Account shall remain
uninvested.

     Section 4.02. Application of Funds in the Collection Account.

     The Master Servicer may, from time to time, make, or cause to be made,
withdrawals from the Collection Account for the following purposes:

         (1) to reimburse itself or any Servicer for Advances made by it or by
     such Servicer pursuant to Section 5.04 or the applicable Servicing
     Agreement; the Master Servicer's right to reimburse itself pursuant to this
     subclause (1) is limited to amounts

                                       63
<PAGE>

     received on or in respect of particular Mortgage Loans (including, for this
     purpose, Liquidation Proceeds and amounts representing Insurance Proceeds
     with respect to the property subject to the related Mortgage) which
     represent late recoveries (net of the applicable Servicing Fee and the
     Master Servicing Fee) of payments of principal or interest respecting which
     any such Advance was made, it being understood, in the case of any such
     reimbursement, that the Master Servicer's or Servicer's right thereto shall
     be prior to the rights of the Certificateholders;

         (2) to reimburse itself or any Servicer for any Servicing Advances made
     by it or by such Servicer that it determines in good faith will not be
     recoverable from amounts representing late recoveries of payments of
     principal or interest respecting the particular Mortgage Loan as to which
     such Servicing Advance was made or from Liquidation Proceeds or Insurance
     Proceeds with respect to such Mortgage Loan, it being understood, in the
     case of any such reimbursement, that such Master Servicer's or Servicer's
     right thereto shall be prior to the rights of the Certificateholders;

         (3) to reimburse itself or any Servicer from Liquidation Proceeds for
     Liquidation Expenses and for amounts expended by it pursuant to Sections
     9.20 and 9.22(a) or the applicable Servicing Agreement in good faith in
     connection with the restoration of damaged property and, to the extent that
     Liquidation Proceeds after such reimbursement exceed the unpaid principal
     balance of the related Mortgage Loan, together with accrued and unpaid
     interest thereon at the applicable Mortgage Rate less the applicable
     Servicing Fee and the Master Servicing Fee for such Mortgage Loan to the
     Due Date next succeeding the date of its receipt of such Liquidation
     Proceeds, to pay to itself out of such excess the amount of any unpaid
     assumption fees, late payment charges or other Mortgagor charges on the
     related Mortgage Loan and to retain any excess remaining thereafter as
     additional servicing compensation, it being understood, in the case of any
     such reimbursement or payment, that such Master Servicer's or Servicer's
     right thereto shall be prior to the rights of the Certificateholders;

         (4) to reimburse itself or any Servicer for expenses incurred by and
     recoverable by or reimbursable to it or such Servicer pursuant to Section
     9.04, 9.06, 9.16 or 9.22(a) or pursuant to the applicable Servicing
     Agreement, and to reimburse itself for any expenses reimbursable to it
     pursuant to Section 10.01(c);

         (5) to pay to the applicable Person, with respect to each Mortgage Loan
     or REO Property acquired in respect thereof that has been repurchased by
     such Person pursuant to this Agreement, all amounts received thereon and
     not distributed on the date on which the related repurchase was effected;

         (6) subject to Section 5.05, to pay to itself income earned on the
     investment of funds deposited in the Collection Account;

         (7) to make payments to the Trustee for deposit into the Certificate
     Account in the amounts and in the manner provided for in Section 4.04;

                                       64
<PAGE>

         (8) to make distributions of any Retained Interest to the Retained
     Interest Holder on each Distribution Date (other than any Retained Interest
     not deposited into the Collection Account in accordance with Section
     4.01(d)(iii));

         (9) to make payment to itself, the Trustee and others pursuant to any
     provision of this Agreement;

         (10) to withdraw funds deposited in error in the Collection Account;

         (11) to clear and terminate any Collection Account pursuant to Section
     7.02;

         (12) to reimburse a successor Master Servicer (solely in its capacity
     as successor Master Servicer), for any fee, expense or advance occasioned
     by a termination of the Master Servicer, and the assumption of such duties
     by the Trustee or a successor Master Servicer appointed by the Trustee
     pursuant to Section 6.14, in each case to the extent not reimbursed by the
     terminated Master Servicer, it being understood, in the case of any such
     reimbursement or payment, that the right of the Master Servicer or the
     Trustee thereto shall be prior to the rights of the Certificateholders; and

         (13) to reimburse any Servicer for such amounts as are due thereto
     under the applicable Servicing Agreement and have not been retained by or
     paid to such Servicer to the extent provided in such Servicing Agreement.

     If provided in the related Servicing Agreement, each Servicer shall be
entitled to retain as additional servicing compensation any Prepayment Penalty
Amounts.

     In connection with withdrawals pursuant to subclauses (1), (3), (4) and (6)
above, the Master Servicer's or Servicer's entitlement thereto is limited to
collections or other recoveries on the related Mortgage Loan. The Master
Servicer shall therefore keep and maintain a separate accounting for each
Mortgage Loan it master services for the purpose of justifying any withdrawal
from the Collection Account it maintains pursuant to such subclause (1), (3),
(4) and (6) above.

     Section 4.03. Reports to Certificateholders.

     (a) On each Distribution Date, the Trustee shall have prepared (based
solely on information provided by the Master Servicer) and shall make available
to the Trustee and each Certificateholder, a written report setting forth the
following information, by Mortgage Pool and Certificate Group (on the basis of
Mortgage Loan level information obtained from the Servicers and the Master
Servicer):

         (i) the aggregate amount of the distribution to be made on such
     Distribution Date to the Holders of each Class of Certificates, other than
     any Class of Notional Certificates, allocable to principal on the Mortgage
     Loans, including Liquidation Proceeds and Insurance Proceeds, stating
     separately the amount attributable to scheduled principal payments and
     unscheduled payments in the nature of principal in each Mortgage Pool;

                                       65
<PAGE>

         (ii) the aggregate amount of the distribution to be made on such
     Distribution Date to the Holders of each Class of Certificates, other than
     any Class of Principal Only Certificates, allocable to interest, including
     any Accrual Amount added to the Class Principal Amount of any Class of
     Accrual Certificates;

         (iii) the amount, if any, of any distribution to the Holders of a
     Residual Certificate;

         (iv) (A) the aggregate amount of any Advances required to be made by or
     on behalf of the Master Servicer or any Servicer (or the Trustee) with
     respect to such Distribution Date, (B) the aggregate amount of such
     Advances actually made, and (C) the amount, if any, by which (A) above
     exceeds (B) above;

         (v) the Aggregate Principal Balance of the Mortgage Loans and the
     Non-AP Pool Balance of each Mortgage Pool for such Distribution Date, after
     giving effect to payments allocated to principal reported under clause (i)
     above;

         (vi) the Class Principal Amount (or Class Notional Amount) of each
     Class of Certificates and the Component, Principal Amount of each
     Component, to the extent applicable, as of such Distribution Date after
     giving effect to payments allocated to principal reported under clause (i)
     above (and to the addition of any Accrual Amount in the case of any Class
     of Accrual Certificates), separately identifying any reduction of any of
     the foregoing Certificate Principal Amounts or Component Principal Amounts
     due to Realized Losses:

         (vii) any Realized Losses realized with respect to the Mortgage Loans
     (x) in the applicable Prepayment Period and (y) in the aggregate since the
     Cut-off Date, stating separately the amount of Special Hazard Losses, Fraud
     Losses and Bankruptcy Losses and the aggregate amount of such Realized
     Losses, and the remaining Special Hazard Loss Amount, Fraud Loss Amount and
     Bankruptcy Loss Amount;

         (viii) the amount of Servicing Fees paid during the Due Period to which
     such distribution relates;

         (ix) the number and aggregate Scheduled Principal Balance of Mortgage
     Loans, as reported to the Trustee by the Master Servicer, (a) remaining
     outstanding (b) delinquent one month, (c) delinquent two months, (d)
     delinquent three or more months, and (e) as to which foreclosure
     proceedings have been commenced as of the close of business on the last
     Business Day of the calendar month immediately preceding the month in which
     such Distribution Date occurs;

         (x) the aggregate principal balance of all Mortgage Loans that have
     become REO Property and the number of such Mortgage Loans as of the close
     of business on the last Business Day of the calendar month immediately
     preceding the month in which such Distribution Date occurs;

         (xi) with respect to substitution of Mortgage Loans in the preceding
     calendar month, the Scheduled Principal Balance of each Deleted Mortgage
     Loan, and of each Qualifying Substitute Mortgage Loan;

                                       66
<PAGE>

         (xii) the aggregate outstanding Interest Shortfalls and Net Prepayment
     Interest Shortfalls, if any, for each Class of Certificates, after giving
     effect to the distribution made on such Distribution Date;

         (xiii) the Certificate Interest Rate applicable to such Distribution
     Date with respect to each Class of Certificates;

         (xiv) if applicable, the amount of any shortfall (i.e., the difference
     between the aggregate amounts of principal and interest which
     Certificateholders would have received if there were sufficient available
     amounts in the Certificate Account and the amounts actually distributed);
     and

         (xv) any other information for any Mortgage Loans that are delinquent
     three or more months and any REO Property held by the Trustee that is
     reported by the Master Servicer to the Trustee.

     In the case of information furnished pursuant to subclauses (i), (ii) and
(vii) above, the amounts shall be expressed as a dollar amount per $1,000 of
original principal amount of Certificates.

     The foregoing information and reports shall be prepared and determined by
the Trustee based solely on Mortgage Loan data provided to the Trustee by the
Master Servicer (in a format agreed to by the Trustee and the Master Servicer)
no later than 12:00 p.m. (noon) Eastern Standard Time four Business Days prior
to the Distribution Date. In preparing or furnishing the Mortgage Loan data to
the Trustee, the Master Servicer shall be entitled to rely conclusively on the
accuracy of the information or data regarding the Mortgage Loans and the related
REO Property that has been provided to the Master Servicer by each Servicer, and
the Master Servicer shall not be obligated to verify, recompute, reconcile or
recalculate any such information or data. The Trustee shall be entitled to
conclusively rely on the Mortgage Loan data provided by the Master Servicer and
shall have no liability for any errors in such Mortgage Loan data.

     (b) Upon the reasonable advance written request of any Certificateholder
that is a savings and loan, bank or insurance company, the Trustee shall
provide, or cause to be provided, (or, to the extent that such information or
documentation is not required to be provided by the Servicer under the Servicing
Agreement, shall use reasonable efforts to obtain such information and
documentation from such Servicer, and provide to such Certificateholder such
reports and access to information and documentation regarding the Mortgage Loans
as such Certificateholder may reasonably deem necessary to comply with
applicable regulations of the Office of Thrift Supervision or its successor or
other regulatory authorities with respect to investment in the Certificates;
provided, however, that the Trustee shall be entitled to be reimbursed by such
Certificateholder for such Trustee's actual expenses incurred in providing such
reports and access.

     (c) Within 90 days, or such shorter period as may be required by statute or
regulation, after the end of each calendar year, the Trustee shall make
available to each Person who at any time during the calendar year was a
Certificateholder of record, and make available to Certificate Owners
(identified as such by the Clearing Agency) in accordance with applicable
regulations, a

                                       67
<PAGE>

report summarizing the items provided to Certificateholders pursuant to Section
4.03(a) on an annual basis as may be required to enable such Holders to prepare
their federal income tax returns. Such information shall include the amount of
original issue discount accrued on each Class of Certificates and information
regarding the expenses of the Trust Fund. The Master Servicer shall provide the
Trustee with such information as is necessary for the Trustee to prepare such
reports.

     Section 4.04. Certificate Account.

     (a) The Trustee shall establish and maintain in its name, as trustee, a
trust account (the "Certificate Account"), to be held in trust for the benefit
of the Certificateholders until disbursed pursuant to the terms of this
Agreement. The Certificate Account shall be an Eligible Account. If the existing
Certificate Account ceases to be an Eligible Account, the Trustee shall
establish a new Certificate Account that is an Eligible Account within 20
Business Days and transfer all funds on deposit in such existing Certificate
Account into such new Certificate Account. The Certificate Account shall relate
solely to the Certificates issued hereunder and funds in the Certificate Account
shall be held separate and apart from and shall not be commingled with any other
monies including, without limitation, other monies of the Trustee held under
this Agreement.

     (b) The Trustee shall cause to be deposited into the Certificate Account on
the day on which, or, if such day is not a Business Day, the Business Day
immediately following the day on which, any monies are remitted by the Master
Servicer to the Trustee all such amounts. The Trustee shall make withdrawals
from the Certificate Account only for the following purposes:

         (i) to withdraw amounts deposited in the Certificate Account in error;

         (ii) to pay itself any investment income earned with respect to funds
     in the Certificate Account invested in Eligible Investments as set forth in
     subsection (c) below, and to make payments to itself prior to making
     distributions pursuant to Section 5.02 for any expenses or other
     indemnification owing to the Trustee and others pursuant to any provision
     of this Agreement;

         (iii) to make payments of the Master Servicing Fee (to the extent not
     already withheld or withdrawn from the Collection Account by the Master
     Servicer) to the Master Servicer;

         (iv) to make distributions to the Certificateholders pursuant to
     Article V; and

         (v) to clear and terminate the Certificate Account pursuant to Section
     7.02.

     (c) The Trustee may invest, or cause to be invested, funds held in the
Certificate Account, which funds, if invested, shall be invested in Eligible
Investments (which may be obligations of the Trustee described in paragraph
(viii) of the definition thereof). All such investments must be payable on
demand or mature no later than the next Distribution Date, and shall not be sold
or disposed of prior to their maturity. All such Eligible Investments will be
made in the name of the Trustee (in its capacity as such) or its nominee. All
income and gain realized from any such investment shall be compensation for the
Trustee and shall be subject to

                                       68
<PAGE>

its withdrawal on order from time to time. The amount of any losses incurred in
respect of any such investments shall be paid by the Trustee for deposit in the
Certificate Account out of its own funds, without any right of reimbursement
therefor, immediately as realized. Funds held in the Certificate Account that
are not invested shall be held in cash.

                                    ARTICLE V

                    DISTRIBUTIONS TO HOLDERS OF CERTIFICATES

     Section 5.01. Distributions Generally.

     (a) Subject to Section 7.01 respecting the final distribution on the
Certificates, on each Distribution Date the Trustee or the Paying Agent shall
make distributions in accordance with this Article V. Such distributions shall
be made by check mailed to each Certificateholder's address as it appears on the
Certificate Register of the Certificate Registrar (which shall initially be the
Trustee) or, upon written request made to the Trustee at least three Business
Days prior to the related Distribution Date to any Certificateholder owning an
aggregate initial Certificate Principal Amount of at least $2,500,000, or, in
the case of the Notional Certificates and Principal Only Certificates, a
Percentage Interest of more than 25%, by wire transfer in immediately available
funds to an account specified in the request and at the expense of such
Certificateholder; provided, however, that the final distribution in respect of
any Certificate shall be made only upon presentation and surrender of such
Certificate at the Corporate Trust Office. Wire transfers will be made at the
expense of the Holder requesting such wire transfer by deducting a wire transfer
fee from the related distribution. Notwithstanding such final payment of
principal of any of the Certificates, each Residual Certificate will remain
outstanding until the termination of each REMIC and the payment in full of all
other amounts due with respect to the Residual Certificate and at such time such
final payment in retirement of any Residual Certificate will be made only upon
presentation and surrender of such Certificate at the Corporate Trust Office of
the Trustee. If any payment required to be made on the Certificates is to be
made on a day that is not a Business Day, then such payment will be made on the
next succeeding Business Day.

     (b) All distributions or allocations made with respect to
Certificateholders within each Class on each Distribution Date shall be
allocated among the outstanding Certificates in such Class equally in proportion
to their respective initial Certificate Principal Amounts (or initial Notional
Amounts).

     Section 5.02. Distributions from the Certificate Account.

     (a) On each Distribution Date, the Trustee (or the Paying Agent on behalf
of the Trustee) shall withdraw from the Certificate Account the Available
Distribution Amount with respect to each Mortgage Pool, and shall distribute
such amount to the Holders of record of each Class of Certificates, in the
following order of priority:

         (i) from the Available Distribution Amount for each Mortgage Pool, to
     each Class of Senior Certificates and each Component of the related
     Certificate Group, other than any related Principal-Only Certificates or
     Principal-Only Component, the Accrued

                                       69
<PAGE>

     Certificate Interest thereon for such Distribution Date, as reduced, in
     each case, by such Class's or Component's allocable share of any Net
     Prepayment Interest Shortfalls for the related Mortgage Pool for such
     Distribution Date, as described herein; provided, however, that any
     shortfall in available amounts for each Mortgage Pool shall be allocated
     among the Classes or Component of the related Certificate Group in
     proportion to the amount of Accrued Certificate Interest (as so reduced)
     that would otherwise be distributable thereon; and provided further that
     any Accrued Certificate Interest allocable to a Class of Accrual
     Certificates or an Accrual Component shall not be distributable thereto
     until the Distribution Date immediately following the related Accretion
     Termination Date;

         (ii) from the Available Distribution Amount for each Mortgage Pool, to
     each Class of Senior Certificates and each Component of the related
     Certificate Group, other than any related Principal-Only Certificates or
     Principal-Only Component, any related Interest Shortfall for such
     Distribution Date; provided, however, that any shortfall in available
     amounts for each Mortgage Pool shall be allocated among the Classes of
     Senior Certificates or Components of the related Certificate Group in
     proportion to the amount of such interest (as so reduced) that would
     otherwise be distributable thereon; and provided further that any Interest
     Shortfall for any Accrual Certificates or Accrual Component shall not be
     distributable thereto until the Distribution Date immediately following the
     related Accretion Termination Date.

         (iii) from the Remaining Available Distribution Amount for each
     Mortgage Pool to the Senior Certificates or Components of each Certificate
     Group, other than any related Interest-Only Certificates or Interest-Only
     Components, as set forth in the excerpt from the Prospectus Supplement
     attached as Exhibit L hereto.

         (iv) from the remaining Available Distribution Amount for all Mortgage
     Pools, to the Subordinated Certificates, in the following order of
     priority:

            (A) to the Class B1 Certificates, the Accrued Certificate Interest
         thereon for such Distribution Date, as reduced by such Class's
         allocable share of any Net Prepayment Interest Shortfalls for such
         Distribution Date;

            (B) to the Class B1 Certificates, any Interest Shortfall for such
         Class on such Distribution Date;

            (C) to the Class B1 Certificates, in reduction of the Class
         Principal Amount thereof, such Class's Subordinate Class Percentage of
         each Subordinate Principal Distribution Amount for such Distribution
         Date, except as provided in Section 5.02(c), until the Certificate
         Principal Balance thereof has been reduced to zero;

            (D) to the Class B2 Certificates, the Accrued Certificate Interest
         thereon for such Distribution Date, as reduced by such Class's
         allocable share of any Net Prepayment Interest Shortfalls for such
         Distribution Date;

                                       70
<PAGE>

            (E) to the Class B2 Certificates, any Interest Shortfall for such
         Class on such Distribution Date;

            (F) to the Class B2 Certificates, in reduction of the Certificate
         Principal Amount thereof, such Class's Subordinate Class Percentage of
         each Subordinate Principal Distribution Amount for such Distribution
         Date, except as provided in Section 5.02(c), until the Class Principal
         Amount thereof has been reduced to zero;

            (G) to the Class B3 Certificates, the Accrued Certificate Interest
         thereon for such Distribution Date, as reduced by such Class's
         allocable share of any Net Prepayment Interest Shortfalls for such
         Distribution Date;

            (H) to the Class B3 Certificates, any Interest Shortfall for such
         Class on such Distribution Date;

            (I) to the Class B3 Certificates, in reduction of the Certificate
         Principal Amount thereof, such Class's Subordinate Class Percentage of
         each Subordinate Principal Distribution Amount for such Distribution
         Date, except as provided in Section 5.02(c), until the Class Principal
         Amount thereof has been reduced to zero;

            (J) to the Class B4 Certificates, the Accrued Certificate Interest
         thereon for such Distribution Date, as reduced by such Class's
         allocable share of any Net Prepayment Interest Shortfalls for such
         Distribution Date;

            (K) to the Class B4 Certificates, any Interest Shortfall for such
         Class on such Distribution Date;

            (L) to the Class B4 Certificates, in reduction of the Certificate
         Principal Amount thereof, such Class's Subordinate Class Percentage of
         each Subordinate Principal Distribution Amount for such Distribution
         Date, except as provided in Section 5.02(c), until the Certificate
         Principal Balance thereof has been reduced to zero;

            (M) to the Class B5 Certificates, the Accrued Certificate Interest
         thereon for such Distribution Date, as reduced by such Class's
         allocable share of any Net Prepayment Interest Shortfalls for such
         Distribution Date;

            (N) to the Class B5 Certificates, any Interest Shortfall for such
         Class on such Distribution Date;

            (O) to the Class B5 Certificates, in reduction of the Certificate
         Principal Amount thereof, such Class's Subordinate Class Percentage of
         each Subordinate Principal Distribution Amount for such Distribution
         Date, except as provided in Section 5.02(c), until the Class Principal
         Balance thereof has been reduced to zero;

                                       71
<PAGE>

            (P) to the Class B6 Certificates, the Accrued Certificate Interest
         thereon for such Distribution Date, as reduced by such Class's
         allocable share of any Net Prepayment Interest Shortfalls for such
         Distribution Date;

            (Q) to the Class B6 Certificates, any Interest Shortfall for such
         Class on such Distribution Date; and

            (R) to the Class B6 Certificates, in reduction of the Certificate
         Principal Amount thereof, such Class's Subordinate Class Percentage of
         each Subordinate Principal Distribution Amount for such Distribution
         Date, except as provided in Section 5.02(c), until the Certificate
         Principal Balance thereof has been reduced to zero.

     (b) Net Prepayment Interest Shortfalls for each Mortgage Pool shall be
allocated among the Certificates and Components of the related Certificate Group
(other than any related Principal Only Certificates) pro rata based on (i) in
the case of the related Non-AP Senior Certificates, the Accrued Certificate
Interest otherwise distributable thereon, and (ii) in the case of the
Subordinate Certificates, interest accrued on the related Apportioned Principal
Balances.

     (c) (i) If on any Distribution Date the Credit Support Percentage for the
Class B1 Certificates is less than the Original Credit Support Percentage for
such Class, then, notwithstanding anything to the contrary in Section 5.02(a),
no distribution of amounts described in clauses (ii) and (iii) of the definition
of Subordinate Principal Distribution Amount will be made in respect of the
Class B2, Class B3, Class B4, Class B5 or Class B6 Certificates on such
Distribution Date. (ii) If on any Distribution Date the Credit Support
Percentage for the Class B2 Certificates is less than the Original Credit
Support Percentage for such Class, then, notwithstanding anything to the
contrary in Section 5.02(a), no distribution of amounts described in clauses
(ii) and (iii) of the definition of Subordinate Principal Distribution Amount
will be made in respect of the Class B3, Class B4, Class B5 or Class B6
Certificates on such Distribution Date. (iii) If on any Distribution Date the
Credit Support Percentage for the Class B3 Certificates is less than the
Original Credit Support Percentage for such Class, then, notwithstanding
anything to the contrary in Section 5.02(a), no distribution of amounts
described in clauses (ii) and (iii) of the definition of Subordinate Principal
Distribution Amount will be made in respect of the Class B4, Class B5 or Class
B6 Certificates on such Distribution Date. (iv) If on any Distribution Date the
Credit Support Percentage for the Class B4 Certificates is less than the
Original Credit Support Percentage for such Class, then, notwithstanding
anything to the contrary in Section 5.02(a), no distribution of amounts
described in clauses (ii) and (iii) of the definition of Subordinate Principal
Distribution Amount will be made in respect of the Class B5 or Class B6
Certificates on such Distribution Date. (v) If on any Distribution Date the
Credit Support Percentage for the Class B5 Certificates is less than the
Original Credit Support Percentage for such Class, then, notwithstanding
anything to the contrary in Section 5.02(a), no distribution of amounts
described in clauses (ii) and (iii) of the definition of Subordinate Principal
Distribution Amount will be made in respect of the Class B6 Certificates on such
Distribution Date.

                                       72
<PAGE>

     Any amount not distributed in respect of any Class on any Distribution Date
pursuant to the immediately preceding paragraph will be allocated among the
remaining Subordinate Classes in proportion to their respective Certificate
Principal Amounts.

     (d) On each Distribution Date, the Trustee shall distribute to the Holder
of the Class R Certificate any amounts remaining in the Upper Tier REMIC for
such Distribution Date after application of all amounts described in paragraph
(a) of this Section 5.02. Any distributions pursuant to this paragraph (e) shall
not reduce the Class Principal Amount of the Class R Certificate.

     (e) On each Distribution Date, the combined Accrual Amount for such date
shall be distributed in reduction of the Class Principal Amounts (or Component
Notional Amounts) of the specified Classes and Components in accordance with
priorities (C), (D), (E), (F), (G), (H) and (I), in that order, of clause
(3)(a)(i) set forth in Exhibit L, and an equal amount will be added to the Class
Principal Amount or Component Principal Amount of the Class 1-A6 and Class 1-A7
Certificates and the 1-A5(6) Component.

     Section 5.03. Allocation of Realized Losses.

     (a) On any Distribution Date, the applicable AP Percentage of the principal
portion of each Realized Loss (other than any Excess Loss) in respect of a
Mortgage Loan in each Mortgage Pool will be allocated to the related Class of
Principal Only Certificates until the Class Principal Amount thereof has been
reduced to zero shall be allocated in the following order of priority:

            first, to the Class B6 Certificates, until the Class Principal
         Amount thereof has been reduced to zero;

            second, to the Class B5 Certificates, until the Class Principal
         Amount thereof has been reduced to zero;

            third, to the Class B4 Certificates, until the Class Principal
         Amount thereof has been reduced to zero;

            fourth, to the Class B3 Certificates, until the Class Principal
         Amount thereof has been reduced to zero;

            fifth, to the Class B2 Certificates, until the Class Principal
         Amount thereof has been reduced to zero;

            sixth, to the Class B1 Certificates, until the Class Principal
         Amount thereof has been reduced to zero; and

            seventh, to the Classes of Senior Certificates or Components of the
         related Certificated Group, pro rata, in accordance with their Class
         Principal Amounts or Component Principal Amounts; provided, that any
         such loss allocated to any Class of Accrual Certificates (or any
         Accrual Component) shall be allocated (subject to Section 5.03(c)) on
         the basis of the lesser of (x) the Class Principal

                                       73
<PAGE>

         Amount (or Component Principal Amount) thereof immediately prior to the
         applicable Distribution Date and (y) the Class Principal Amount (or
         Component Principal Amount) thereof on the Closing Date (as reduced by
         any Realized Losses previously allocated thereto).

     (b) With respect to any Distribution Date, the applicable Non AP Percentage
of the principal portion of any Excess Loss in respect of a Mortgage Loan shall
be allocated, pro rata, to the Subordinate Certificates and the Group 1, Group 2
and Group 3 Certificates (without regard to whether the Realized Loss was
realized by Pool 1, Pool 2 or Pool 3) and on the basis of the Apportioned
Principal Balances of the Classes of Subordinate Certificates and Class
Principal Amounts of the Senior Certificates; provided, that any such loss
allocated to any Class of Accrual Certificates (and any Accrual Component) shall
be allocated (subject to Section 5.03(c)) on the basis of the lesser of (x) the
Class Principal Amount (or Component Principal Amount) thereof immediately prior
to the applicable Distribution Date and (y) the Class Principal Amount (or
Component Principal Amount) thereof on the Closing Date (as reduced by any
Realized Losses previously allocated thereto). The applicable AP Percentage of
the principal portion of an Excess Loss in a Mortgage Pool will be applied to
the related Class of Principal Only Certificates until the Class Principal
Amount thereof has been reduced to zero.

     (c) Any Realized Losses allocated to a Class of Certificates pursuant to
Section 5.03(a) or (b) shall be allocated among the Certificates of such Class
in proportion to their respective Certificate Principal Amounts. Any allocation
of Realized Losses pursuant to this paragraph (c) shall be accomplished by
reducing the Certificate Principal Amount of the related Certificates on the
related Distribution Date in accordance with Section 5.03(d).

     (d) Realized Losses allocated in accordance with this Section 5.03 shall be
allocated on the Distribution Date in the month following the month in which
such loss was incurred and, in the case of the principal portion thereof, after
giving effect to distributions made on such Distribution Date, except that the
aggregate amount of Realized Losses to be allocated to the Principal Only
Certificates on such Distribution Date will be taken into account in determining
distributions in respect of any related Class AP Deferred Amount for such date.

     (e) On each Distribution Date, the Subordinate Certificate Writedown Amount
for such date shall effect a corresponding reduction in the Certificate
Principal Amount of the lowest ranking Class of outstanding Subordinate
Certificates, which reduction shall occur on such Distribution Date after giving
effect to distributions made on such Distribution Date.

     (f) In the event that there is a recovery of an amount in respect of
principal of a Mortgage Loan, which amount had previously been allocated as a
Realized Loss to one or more Classes of Certificates, each outstanding Class to
which any portion of such Realized Loss had previously been allocated shall be
entitled to receive, on the Distribution Date in the month following the month
in which such recovery is received, its pro rata share (based on the Class
Principal Amount thereof) of such recovery, up to the amount of the portion of
such Realized Loss previously allocated to such Class. In the event that the
total amount of such recovery exceeds the amount of Realized Loss allocated to
the outstanding Classes in accordance with the preceding provisions, each
outstanding Class of Certificates shall be entitled to receive its pro rata
share of the amount of such excess, up to the amount of any unrecovered Realized
Loss

                                       74
<PAGE>

previously allocated to such Class. Any such recovery allocated to a Class of
Certificates shall not further reduce the Certificate Principal Amount of such
Certificate. Any such amounts not otherwise allocated to any Class of
Certificates, pursuant to this subsection shall be treated as Principal
Prepayments for purposes of this Agreement.

     Section 5.04. Advances by the Master Servicer and the Trustee.

     (a) Advances shall be made in respect of each Deposit Date as provided
herein. If, on any Determination Date, the Master Servicer determines that any
Scheduled Payments due during the related Due Period (other than Balloon
Payments) have not been received, the Master Servicer shall, or cause the
applicable Servicer to, advance such amount, less an amount, if any, to be set
forth in an Officer's Certificate to be delivered to the Trustee on such
Determination Date, which if advanced the Master Servicer or the applicable
Servicer has determined would not be recoverable from amounts received with
respect to such Mortgage Loan, including late payments, Liquidation Proceeds,
Insurance Proceeds or otherwise. If the Master Servicer determines that an
Advance is required, it shall on the Deposit Date immediately following such
Determination Date either (i) remit to the Trustee from its own funds (or funds
advanced by the applicable Servicer) for deposit in the Certificate Account
immediately available funds in an amount equal to such Advance, (ii) cause to be
made an appropriate entry in the records of the Collection Account that funds in
such account being held for future distribution or withdrawal have been, as
permitted by this Section 5.04, used by the Master Servicer to make such
Advance, and remit such immediately available funds to the Trustee for deposit
in the Certificate Account or (iii) make Advances in the form of any combination
of clauses (i) and (ii) aggregating the amount of such Advance. Any funds being
held in the Collection Account for future distribution to Certificateholders and
so used shall be replaced by the Master Servicer from its own funds by
remittance to the Trustee for deposit in the Certificate Account on or before
any future Deposit Date to the extent that funds in the Certificate Account on
such Deposit Date shall be less than payments to Certificateholders required to
be made on the related Distribution Date. The Master Servicer and each Servicer
shall be entitled to be reimbursed from the Collection Account for all Advances
made by it as provided in Section 4.02.

     (b) In the event that the Master Servicer fails for any reason to make an
Advance required to be made pursuant to Section 5.04(a) on or before the Deposit
Date, the Trustee, solely in its capacity as successor Master Servicer pursuant
to Section 6.14, shall, on or before the related Distribution Date, deposit in
the Certificate Account an amount equal to the excess of (a) Advances required
to be made by the Master Servicer that would have been deposited in such
Certificate Account over (b) the amount of any Advance made by the Master
Servicer with respect to such Distribution Date; provided, however, that the
Trustee shall be required to make such Advance only if it is not prohibited by
law from doing so and it has determined that such Advance would be recoverable
from amounts to be received with respect to such Mortgage Loan, including late
payments, Liquidation Proceeds, Insurance Proceeds, or otherwise. The Trustee
shall be entitled to be reimbursed from the Certificate Account for Advances
made by it pursuant to this Section 5.04 as if it were the Master Servicer.

                                       75
<PAGE>

     Section 5.05. Compensating Interest Payments.

     The amount of the Master Servicing Fee payable to the Master Servicer in
respect of any Distribution Date shall be reduced by the amount of any
Compensating Interest Payment for such Distribution Date, but only to the extent
such Compensating Interest Payment is not actually made by a Servicer on the
applicable Remittance Date. Such amount shall not be treated as an Advance and
shall not be reimbursable to the Master Servicer.

                                   ARTICLE VI

                             CONCERNING THE TRUSTEE;
                                EVENTS OF DEFAULT

     Section 6.01. Duties of Trustee.

     (a) The Trustee, except during the continuance of an Event of Default (of
which a Responsible Officer of the Trustee shall have actual knowledge)
undertakes to perform such duties and only such duties as are specifically set
forth in this Agreement. Any permissive right of the Trustee provided for in
this Agreement shall not be construed as a duty of the Trustee. If an Event of
Default (of which a Responsible Officer of the Trustee shall have actual
knowledge) has occurred and has not otherwise been cured or waived, the Trustee
shall exercise such of the rights and powers vested in it by this Agreement and
use the same degree of care and skill in their exercise as a prudent Person
would exercise or use under the circumstances in the conduct of such Person's
own affairs unless the Trustee is acting as Master Servicer, in which case it
shall use the same degree of care and skill as the Master Servicer hereunder.

     (b) The Trustee, upon receipt of all resolutions, certificates, statements,
opinions, reports, documents, orders or other instruments furnished to the
Trustee which are specifically required to be furnished pursuant to any
provision of this Agreement, shall examine them to determine whether they are in
the form required by this Agreement; provided, however, that the Trustee shall
not be responsible for the accuracy or content of any such resolution,
certificate, statement, opinion, report, document, order or other instrument
furnished to the Trustee pursuant to this Agreement, and shall not be required
to recalculate or verify any numerical information furnished to the Trustee
pursuant to this Agreement.

     (c) The Trustee shall not have any liability arising out of or in
connection with this Agreement, except for its negligence or willful misconduct.
No provision of this Agreement shall be construed to relieve the Trustee from
liability for its own negligent action, its own negligent failure to act or its
own willful misconduct; provided, however, that:

         (i) The Trustee shall not be personally liable with respect to any
     action taken, suffered or omitted to be taken by it in good faith in
     accordance with the consent or direction of Holders of Certificates as
     provided in Section 6.19 hereof;

         (ii) For all purposes under this Agreement, the Trustee shall not be
     deemed to have notice of any Event of Default (other than resulting from a
     failure by the Master Servicer (i) to remit funds (or to make Advances) or
     (ii) to furnish information to the Trustee when required to do so) unless a
     Responsible Officer of the Trustee has actual

                                       76
<PAGE>

     knowledge thereof or unless written notice of any event which is in fact
     such a default is received by the Trustee at the Corporate Trust Office,
     and such notice references the Holders of the Certificates and this
     Agreement;

         (iii) No provision of this Agreement shall require the Trustee to
     expend or risk its own funds or otherwise incur any financial liability in
     the performance of any of its duties hereunder, or in the exercise of any
     of its rights or powers, if it shall have reasonable grounds for believing
     that repayment of such funds or adequate indemnity against such risk or
     liability is not reasonably assured to it, and none of the provisions
     contained in this Agreement shall in any event require the Trustee to
     perform, or be responsible for the manner of performance of, any of the
     obligations of the Master Servicer under this Agreement except during such
     time, if any, as the Trustee shall be the successor to, and be vested with
     the rights, duties, powers and privileges of, the Master Servicer in
     accordance with the terms of this Agreement.

     (d) The Trustee shall have no duty hereunder with respect to any complaint,
claim, demand, notice or other document it may receive or which may be alleged
to have been delivered to or served upon it by the parties as a consequence of
the assignment of any Mortgage Loan hereunder; provided, however, that the
Trustee shall use its best efforts to remit to the Master Servicer upon receipt
any such complaint, claim, demand, notice or other document (i) which is
delivered to the Corporate Trust Office of the Trustee, (ii) of which a
Responsible Officer has actual knowledge, and (iii) which contains information
sufficient to permit the Trustee to make a determination that the real property
to which such document relates is a Mortgaged Property.

     (e) The Trustee shall not personally liable with respect to any action
taken, suffered or omitted to be taken by it in good faith in accordance with
the direction of Certificateholders of any Class holding Certificates which
evidence, as to such Class, Percentage Interests aggregating not less than 25%
as to the time, method and place of conducting any proceeding for any remedy
available to the Trustee or exercising any trust or power conferred upon the
Trustee under this Agreement.

     (f) Subject to Section 4.04, the Trustee shall not be held liable by reason
of any insufficiency in any account (including without limitation the Collection
Account) held by or on behalf of the Trustee resulting from any investment loss
on any Eligible Investment included therein (except to the extent that the
Trustee is the obligor and has defaulted thereon).

     (g) Except as otherwise provided herein, the Trustee shall have no duty (A)
to see to any recording, filing, or depositing of this Agreement or any
agreement referred to herein or any financing statement or continuation
statement evidencing a security interest, or to see to the maintenance of any
such recording or filing or depositing or to any re-recording, re-filing or
re-depositing of any thereof, (B) to see to any insurance, (C) to see to the
payment or discharge of any tax, assessment, or other governmental charge or any
lien or encumbrance of any kind owing with respect to, assessed or levied
against, any part of the Trust Fund other than from funds available in the
Collection Account or the Certificate Account, or (D) to confirm or verify the
contents of any reports or certificates of the Master Servicer delivered to the
Trustee pursuant to this Agreement believed by the Trustee to be genuine and to
have been signed or presented by the proper party or parties.

                                       77
<PAGE>

     (h) The Trustee shall not be liable in its individual capacity for an error
of judgment made in good faith by a Responsible Officer or other officers of the
Trustee unless it shall be proved that the Trustee was negligent in ascertaining
the pertinent facts.

     (i) Notwithstanding anything in this Agreement to the contrary, the Trustee
shall not be liable for special, indirect or consequential losses or damages of
any kind whatsoever (including, but not limited to, lost profits), even if the
Trustee has been advised of the likelihood of such loss or damage and regardless
of the form of action.

     Section 6.02. Certain Matters Affecting the Trustee.

     Except as otherwise provided in Section 6.01:

         (1) The Trustee may request, and may rely and shall be protected in
     acting or refraining from acting upon any resolution, Officer's
     Certificate, certificate of auditors, Opinion of Counsel or any other
     certificate, statement, instrument, opinion, report, notice, request,
     consent, order, approval, bond or other paper or document believed by it to
     be genuine and to have been signed or presented by the proper party or
     parties;

         (2) The Trustee may consult with counsel and any advice of its counsel
     or Opinion of Counsel shall be full and complete authorization and
     protection in respect of any action taken or suffered or omitted by it
     hereunder in good faith and in accordance with such advice or Opinion of
     Counsel;

         (3) The Trustee shall not be personally liable for any action taken,
     suffered or omitted by it in good faith and reasonably believed by it to be
     authorized or within the discretion or rights or powers conferred upon it
     by this Agreement;

         (4) Unless an Event of Default shall have occurred and be continuing,
     the Trustee shall not be bound to make any investigation into the facts or
     matters stated in any resolution, certificate, statement, instrument,
     opinion, report, notice, request, consent, order, approval, bond or other
     paper or document (provided the same appears regular on its face), unless
     requested in writing to do so by Holders of at least a majority in Class
     Principal Amount (or Class Notional Amount) of each Class of Certificates;
     provided, however, that, if the payment within a reasonable time to the
     Trustee of the costs, expenses or liabilities likely to be incurred by it
     in the making of such investigation is, in the opinion of the Trustee not
     reasonably assured to the Trustee by the security afforded to it by the
     terms of this Agreement, the Trustee may require reasonable indemnity
     against such expense or liability or payment of such estimated expenses as
     a condition to proceeding. The reasonable expense thereof shall be paid by
     the Holders requesting such investigation;

         (5) The Trustee may execute any of the trusts or powers hereunder or
     perform any duties hereunder either directly or by or through agents,
     custodians, or attorneys, which agents, custodians or attorneys shall have
     any and all of the rights, powers, duties and obligations of the Trustee
     conferred on them by such appointment provided that the Trustee shall
     continue to be responsible for its duties and obligations hereunder to the
     extent provided herein, and provided further that the Trustee shall not be
     responsible for

                                       78
<PAGE>

     any misconduct or negligence on the part of any such agent or attorney
     appointed with due care by the Trustee;

         (6) The Trustee shall be under no obligation to exercise any of the
     trusts or powers vested in it by this Agreement or to institute, conduct or
     defend any litigation hereunder or in relation hereto, in each case at the
     request, order or direction of any of the Certificateholders pursuant to
     the provisions of this Agreement, unless such Certificateholders shall have
     offered to the Trustee reasonable security or indemnity against the costs,
     expenses and liabilities which may be incurred therein or thereby;

         (7) The right of the Trustee to perform any discretionary act
     enumerated in this Agreement shall not be construed as a duty, and the
     Trustee shall not be answerable for other than its negligence or willful
     misconduct in the performance of such act; and

         (8) The Trustee shall not be required to give any bond or surety in
     respect of the execution of the Trust Fund created hereby or the powers
     granted hereunder.

     Section 6.03. Trustee Not Liable for Certificates.

     The Trustee makes no representations as to the validity or sufficiency of
this Agreement or of the Certificates (other than the certificate of
authentication on the Certificates) or of any Mortgage Loan, or related document
save that the Trustee represents that, assuming due execution and delivery by
the other parties hereto, this Agreement has been duly authorized, executed and
delivered by it and constitutes its valid and binding obligation, enforceable
against it in accordance with its terms except that such enforceability may be
subject to (A) applicable bankruptcy and insolvency laws and other similar laws
affecting the enforcement of the rights of creditors generally, and (B) general
principles of equity regardless of whether such enforcement is considered in a
proceeding in equity or at law. The Trustee shall not be accountable for the use
or application by the Depositor of funds paid to the Depositor in consideration
of the assignment of the Mortgage Loans to the Trust Fund by the Depositor or
for the use or application of any funds deposited into the Collection Account,
the Certificate Account, any Escrow Account or any other fund or account
maintained with respect to the Certificates. The Trustee shall not be
responsible for the legality or validity of this Agreement or the validity,
priority, perfection or sufficiency of the security for the Certificates issued
or intended to be issued hereunder. The 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 record this Agreement.

     Section 6.04. Trustee May Own Certificates.

     The Trustee and any Affiliate or agent of the Trustee in its individual or
any other capacity may become the owner or pledgee of Certificates and may
transact banking and trust with the other parties hereto with the same rights it
would have if it were not Trustee or such agent.

                                       79
<PAGE>

     Section 6.05. Eligibility Requirements for Trustee.

     The Trustee hereunder shall at all times be (i) an institution insured by
the FDIC and (ii) a corporation or national banking association, organized and
doing business under the laws of any State or the United States of America,
authorized under such laws to exercise corporate trust powers, having a combined
capital and surplus of not less than $50,000,000 and subject to supervision or
examination by federal or state authority. If such corporation or national
banking association publishes reports of condition at least annually, pursuant
to law or to the requirements of the aforesaid supervising or examining
authority, then, for the purposes of this Section, the combined capital and
surplus of such corporation or national banking association shall be deemed to
be its combined capital and surplus as set forth in its most recent report of
condition so published. In case at any time either the Trustee shall cease to be
eligible in accordance with provisions of this Section, the Trustee shall resign
immediately in the manner and with the effect specified in Section 6.06.

     Section 6.06. Resignation and Removal of Trustee.

     (a) The Trustee may at any time resign and be discharged from the trust
hereby created by giving written notice thereof to the Depositor and the Master
Servicer. Upon receiving such notice of resignation, the Depositor will promptly
appoint a successor trustee by written instrument, one copy of which instrument
shall be delivered to the resigning Trustee one copy to the successor trustee
and one copy to the Master Servicer. If no successor trustee shall have been so
appointed and shall have accepted appointment within 30 days after the giving of
such notice of resignation, the resigning Trustee may petition any court of
competent jurisdiction for the appointment of a successor trustee.

     (b) If at any time (i) the Trustee shall cease to be eligible in accordance
with the provisions of Section 6.05 and shall fail to resign after written
request therefor by the Depositor, (ii) the Trustee shall become incapable of
acting, or shall be adjudged a bankrupt or insolvent, or a receiver of the
Trustee of its property shall be appointed, or any public officer shall take
charge or control of the Trustee of its property or affairs for the purpose of
rehabilitation, conservation or liquidation, (iii) a tax is imposed or
threatened with respect to the Trust Fund by any state in which the Trustee or
the Trust Fund held by the Trustee is located, or (iv) the continued use of the
Trustee would result in a downgrading of the rating by the Rating Agencies of
any Class of Certificates with a rating, then the Depositor shall remove the
Trustee and appoint a successor trustee by written instrument, one copy of which
instrument shall be delivered to the Trustee so removed, one copy to the
successor trustee and one copy to the Master Servicer.

     (c) The Holders of more than 50% of the Class Principal Amount (or Class
Notional Amount) of each Class of Certificates may at any time upon 30 days'
written notice to the Trustee and the Depositor remove the Trustee by such
written instrument, signed by such Holders or their attorney-in-fact duly
authorized, one copy of which instrument shall be delivered to the Depositor,
one copy to the Trustee so removed and one copy to the Master Servicer; the
Depositor shall thereupon use its best efforts to appoint a mutually acceptable
successor trustee in accordance with this Section.

                                       80
<PAGE>

     (d) Any resignation or removal of the Trustee and appointment of a
successor trustee pursuant to any of the provisions of this Section shall become
effective upon acceptance of appointment by the successor trustee as provided in
Section 6.07.

     Section 6.07. Successor Trustee.

     (a) Any successor trustee appointed as provided in Section 6.06 shall
execute, acknowledge and deliver to the Depositor, the Master Servicer and to
its predecessor trustee an instrument accepting such appointment hereunder, and
thereupon the resignation or removal of the predecessor trustee shall become
effective and such successor trustee, without any further act, deed or
conveyance, shall become fully vested with all the rights, powers, duties and
obligations of its predecessor hereunder, with like effect as if originally
named as trustee herein. The predecessor trustee shall deliver to the successor
trustee (or assign to the Trustee its interest under each Custodial Agreement,
to the extent permitted thereunder) all Mortgage Files and documents and
statements related to each Mortgage Files held by it hereunder, and shall duly
assign, transfer, deliver and pay over to the successor trustee the entire Trust
Fund, together with all necessary instruments of transfer and assignment or
other documents properly executed necessary to effect such transfer and such of
the record or copies thereof maintained by the predecessor trustee in the
administration hereof as may be requested by the successor trustee and shall
thereupon be discharged from all duties and responsibilities under this
Agreement. In addition, the Master Servicer and the predecessor trustee shall
execute and deliver such other instruments and do such other things as may
reasonably be required to more fully and certainly vest and confirm in the
successor trustee as applicable all such rights, powers, duties and obligations.

     (b) No successor trustee shall accept appointment as provided in this
Section unless at the time of such appointment such successor trustee shall be
eligible under the provisions of Section 6.05.

     (c) Upon acceptance of appointment by a successor trustee as provided in
this Section, the Master Servicer shall mail notice of the succession of such
trustee hereunder all Holders of Certificates at their addresses as shown in the
Certificate Register and to the Rating Agencies. The expenses of such mailing
shall be borne by the Master Servicer.

     Section 6.08. Merger or Consolidation of Trustee.

     Any Person into which the Trustee may be merged or with which it may be
consolidated, or any Person resulting from any merger, conversion or
consolidation to which the Trustee shall be a party, or any Persons succeeding
to the business of the Trustee shall be the successor to the Trustee hereunder,
without the execution or filing of any paper or any further act on the part of
any of the parties hereto, anything herein to the contrary notwithstanding,
provided that such Person shall be eligible under the provisions of Section
6.05.

     Section 6.09. Appointment of Co-Trustee, Separate Trustee or Custodian.

     (a) Notwithstanding any other provisions hereof, at any time, the Trustee,
the Depositor or the Certificateholders evidencing more than 50% of the Class
Principal Amount (or Class Notional Amount) of each Class of Certificates shall
each have the power from time to time to

                                       81
<PAGE>

appoint one or more Persons to act either as co-trustees jointly with the
Trustee, or as separate trustees, or as custodians, for the purpose of holding
title to, foreclosing or otherwise taking action with respect to any Mortgage
Loan outside the state where the Trustee has its principal place of business
where such separate trustee or co-trustee is necessary or advisable (or the
Trustee has been advised by the Master Servicer that such separate trustee or
co-trustee is necessary or advisable) under the laws of any state in which a
property securing a Mortgage Loan is located or for the purpose of otherwise
conforming to any legal requirement, restriction or condition in any state in
which a property securing a Mortgage Loan is located or in any state in which
any portion of the Trust Fund is located. The separate Trustees, co-trustees, or
custodians so appointed shall be trustees or custodians for the benefit of all
the Certificateholders and shall have such powers, rights and remedies as shall
be specified in the instrument of appointment; provided, however, that no such
appointment shall, or shall be deemed to, constitute the appointee an agent of
the Trustee.

     (b) Every separate trustee, co-trustee, and custodian shall, to the extent
permitted by law, be appointed and act subject to the following provisions and
conditions:

         (i) all powers, duties, obligations and rights conferred upon the
     Trustee in respect of the receipt, custody and payment of moneys shall be
     exercised solely by the Trustee;

         (ii) all other rights, powers, duties and obligations conferred or
     imposed upon the Trustee shall be conferred or imposed upon and exercised
     or performed by the Trustee and such separate trustee, co-trustee, or
     custodian jointly, except to the extent that under any law of any
     jurisdiction in which any particular act or acts are to be performed the
     Trustee shall be incompetent or unqualified to perform such act or acts, in
     which event such rights, powers, duties and obligations, including the
     holding of title to the Trust Fund or any portion thereof in any such
     jurisdiction, shall be exercised and performed by such separate trustee,
     co-trustee, or custodian;

         (iii) no trustee or custodian hereunder shall be personally liable by
     reason of any act or omission of any other trustee or custodian hereunder;
     and

         (iv) the Trustee or the Certificateholders evidencing more than 50% of
     the Aggregate Voting Interests of the Certificates may at any time accept
     the resignation of or remove any separate trustee, co-trustee or custodian,
     so appointed by it or them, if such resignation or removal does not violate
     the other terms of this Agreement.

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

                                       82
<PAGE>

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

     (e )No separate trustee, co-trustee or custodian hereunder shall be
required to meet the terms of eligibility as a successor trustee under Section
6.05 hereunder and no notice to Certificateholders of the appointment shall be
required under Section 6.07 hereof.

     (f) The Trustee agrees to instruct the co-trustees, if any, to the extent
necessary to fulfill the Trustee's obligations hereunder.

     (g) The Trustee shall pay the reasonable compensation of the co-trustees to
the extent, and in accordance with the standards, specified in Section 6.12
hereof (which compensation shall not reduce any compensation payable to the
Trustee under such Section).

     Section 6.10. Authenticating Agents.

     (a) The Trustee may appoint one or more Authenticating Agents which shall
be authorized to act on behalf of the Trustee in authenticating Certificates.
Wherever reference is made in this Agreement to the authentication of
Certificates by the Trustee or the Trustee's certificate of authentication, such
reference shall be deemed to include authentication on behalf of the Trustee by
an Authenticating Agent and a certificate of authentication executed on behalf
of the Trustee by an Authenticating Agent. Each Authenticating Agent must be a
corporation organized and doing business under the laws of the United States of
America or of any state, having a combined capital and surplus of at least
$15,000,000, authorized under such laws to do a trust business and subject to
supervision or examination by federal or state authorities.

     (b) Any Person into which any Authenticating Agent may be merged or
converted or with which it may be consolidated, or any Person resulting from any
merger, conversion or consolidation to which any Authenticating Agent shall be a
party, or any Person succeeding to the corporate agency business of any
Authenticating Agent, shall continue to be the Authenticating Agent without the
execution or filing of any paper or any further act on the part of the Trustee
or the Authenticating Agent.

     (c) Any Authenticating Agent may at any time resign by giving at least 30
days' advance written notice of resignation to the Trustee and the Depositor.
The Trustee may at any time terminate the agency of any Authenticating Agent by
giving written notice of termination to such Authenticating Agent and the
Depositor. Upon receiving a notice of resignation or upon such a termination, or
in case at any time any Authenticating Agent shall cease to be eligible in
accordance with the provisions of this Section 6.10, the Trustee may appoint a
successor Authenticating Agent, shall give written notice of such appointment to
the Depositor and shall mail notice of such appointment to all Holders of
Certificates. Any successor Authenticating

                                       83
<PAGE>

Agent upon acceptance of its appointment hereunder shall become vested with all
the rights, powers, duties and responsibilities of its predecessor hereunder,
with like effect as if originally named as Authenticating Agent. No successor
Authenticating Agent shall be appointed unless eligible under the provisions of
this Section 6.10. No Authenticating Agent shall have responsibility or
liability for any action taken by it as such at the direction of the Trustee.
Any Authenticating Agent shall be entitled to reasonable compensation for its
services and, if paid by the Trustee, it shall be a reimbursable expense
pursuant to Section 6.12.

     Section 6.11. Indemnification of Trustee.

     The Trustee and its directors, officers, employees and agents shall be
entitled to indemnification from the Trust Fund for any loss, liability or
expense incurred without negligence or willful misconduct on their part (it
being understood that the negligence or willful misconduct of any Custodian
shall not constitute negligence or willful misconduct on the part of the Trustee
or its directors, officers, employees, or agents for such purpose), arising out
of, or in connection with, the acceptance or administration of the trusts
created hereunder or in connection with the performance of the Trustee's duties
hereunder or under any Servicing Agreement or Custodial Agreement, including any
applicable fees and expenses payable pursuant to Section 6.12 and the costs and
expenses of defending themselves against any claim in connection with the
exercise or performance of any of their powers or duties hereunder, provided
that:

         (1) with respect to any such claim, the Trustee shall have given the
     Depositor, the Master Servicer and the Holders written notice thereof
     promptly after the Trustee shall have knowledge thereof; provided that
     failure to so notify shall not relieve the Trust Fund of the obligation to
     indemnify the Trustee;

         (2) while maintaining control over its own defense, the Trustee shall
     cooperate and consult fully with the Depositor in preparing such defense;
     and

         (3) notwithstanding anything to the contrary in this Section 6.11, the
     Trust Fund shall not be liable for settlement of any such claim by the
     Trustee entered into without the prior consent of the Depositor, which
     consent shall not be unreasonably withheld.

     The provisions of this Section 6.11 shall survive any termination of this
Agreement and the resignation or removal of the Trustee and shall be construed
to include, but not be limited to any loss, liability or expense under any
environmental law.

     Section 6.12. Compensation of the Trustee.

     The Trustee shall be entitled to (i) receive, and is authorized to pay to
itself the amount of income or gain earned from the investment of funds in the
Certificate Account and (ii) reimbursement of all reasonable expenses,
disbursements and advancements incurred or made by the Trustee in accordance
with this Agreement (including fees and expenses of its counsel and all persons
not regularly in its employment), except any such expenses arising from its
negligence, bad faith or willful misconduct. The Custodian shall be compensated
as separately agreed with the Master Servicers and the Depositor

                                       84
<PAGE>

     Section 6.13. Collection of Monies.

     Except as otherwise expressly provided in this Agreement, the Trustee may
demand payment or delivery of, and shall receive and collect, all money and
other property payable to or receivable by the Trustee pursuant to this
Agreement. The Trustee shall hold all such money and property received by it as
part of the Trust Fund and shall distribute it as provided in this Agreement. If
the Trustee shall not have timely received amounts to be remitted with respect
to the Mortgage Loans from the Master Servicer, the Trustee shall request the
Master Servicer to make such distribution as promptly as practicable or legally
permitted. If the Trustee shall subsequently receive any such amount, it may
withdraw such request.

     Section 6.14. Events of Default; Trustee To Act; Appointment of Successor.

     (a) The occurrence of any one or more of the following events shall
constitute an "Event of Default":

         (i) Any failure by the Master Servicer to furnish the Trustee the
     Mortgage Loan data sufficient to prepare the reports described in Section
     4.03(a) which continues unremedied for a period of one Business Day after
     the date upon which written notice of such failure shall have been given to
     such Master Servicer by the Trustee or to such Master Servicer and the
     Trustee by the Holders of not less than 25% of the Class Principal Amount
     (or Class Notional Amount) of each Class of Certificates affected thereby;
     or

         (ii) Any failure on the part of the Master Servicer duly to observe or
     perform in any material respect any other of the covenants or agreements on
     the part of such Master Servicer contained in this Agreement which
     continues unremedied for a period of 30 days (or 15 days, in the case of a
     failure to maintain any Insurance Policy required to be maintained pursuant
     to this Agreement) after the date on which written notice of such failure,
     requiring the same to be remedied, shall have been given to such Master
     Servicer by the Trustee, or to such Master Servicer and the Trustee by the
     Holders of not less than 25% of the Class Principal Amount (or Class
     Notional Amount) of each Class of Certificates affected thereby; or

         (iii) A decree or order of a court or agency or supervisory authority
     having jurisdiction for the appointment of a conservator or receiver or
     liquidator in any insolvency, readjustment of debt, marshalling of assets
     and liabilities or similar proceedings, or for the winding-up or
     liquidation of its affairs, shall have been entered against the Master
     Servicer, and such decree or order shall have remained in force
     undischarged or unstayed for a period of 60 days or any Rating Agency
     reduces or withdraws or threatens to reduce or withdraw the rating of the
     Certificates because of the financial condition or loan servicing
     capability of such Master Servicer; or

         (iv) The Master Servicer shall consent to the appointment of a
     conservator or receiver or liquidator in any insolvency, readjustment of
     debt, marshalling of assets and liabilities, voluntary liquidation or
     similar proceedings of or relating to such Master Servicer or of or
     relating to all or substantially all of its property; or

                                       85
<PAGE>

         (v) The Master Servicer shall admit in writing its inability to pay its
     debts generally as they become due, file a petition to take advantage of
     any applicable insolvency or reorganization statute, make an assignment for
     the benefit of its creditors or voluntarily suspend payment of its
     obligations; or

         (vi) The Master Servicer shall be dissolved, or shall dispose of all or
     substantially all of its assets, or consolidate with or merge into another
     entity or shall permit another entity to consolidate or merge into it, such
     that the resulting entity does not meet the criteria for a successor
     servicer as specified in Section 9.27 hereof; or

         (vii) If a representation or warranty set forth in Section 9.14 hereof
     shall prove to be incorrect as of the time made in any respect that
     materially and adversely affects the interests of the Certificateholders,
     and the circumstance or condition in respect of which such representation
     or warranty was incorrect shall not have been eliminated or cured within 60
     days after the date on which written notice of such incorrect
     representation or warranty shall have been given to the Master Servicer by
     the Trustee, or to the Master Servicer and the Trustee by the Holders of
     not less than 25% of the Aggregate Certificate Principal Amount of each
     Class of Certificates; or

         (viii) A sale or pledge of the any of the rights of the Master Servicer
     hereunder or an assignment of this Agreement by the Master Servicer or a
     delegation of the rights or duties of the Master Servicer hereunder shall
     have occurred in any manner not otherwise permitted hereunder and without
     the prior written consent of the Trustee and Certificateholders holding
     more than 50% of the Class Principal Amount (or Class Notional Amount) of
     each Class of Certificates;

         (ix) Any Servicer at any time is not either an FNMA- or FHLMC- approved
     Seller/Servicer, and the Master Servicer has not terminated the rights and
     obligations of such Servicer under the applicable Servicing Agreement and
     replaced such Servicer with an FNMA- or FHLMC-approved servicer within 30
     days of the absence of such approval; or

         (x) Any failure of the Master Servicer to remit to the Trustee any
     payment required to be made to the Trustee for the benefit of
     Certificateholders under the terms of this Agreement, including any
     Advance, on any Deposit Date.

     If an Event of Default described in clauses (i) through (ix) of this
Section 6.14 shall occur, then, in each and every case, subject to applicable
law, so long as any such Event of Default shall not have been remedied within
any period of time prescribed by this Section 6.14, the Trustee, by notice in
writing to the Master Servicer may, and shall, if so directed by
Certificateholders evidencing more than 50% of the Class Principal Amount (or
Class Notional Amount) of each Class of Certificates, terminate all of the
rights and obligations of the Master Servicer hereunder and in and to the
Mortgage Loans and the proceeds thereof. If an Event of Default described in
clause (x) of this Section 6.14 shall occur, then, in each and every case,
subject to applicable law, the Trustee, by notice in writing to the Master
Servicer, shall promptly terminate all of the rights and obligations of the
Master Servicer hereunder and in and to the Mortgage Loans and the proceeds
thereof. On or after the receipt by the Master Servicer of such

                                       86
<PAGE>

written notice, all authority and power of the Master Servicer, and only in its
capacity as Master Servicer under this Agreement, whether with respect to the
Mortgage Loans or otherwise, shall pass to and be vested in the Trustee pursuant
to and under the terms of this Agreement; and the Trustee is hereby authorized
and empowered to execute and deliver, on behalf of the defaulting Master
Servicer as attorney-in-fact or otherwise, any and all documents and other
instruments, and to do or accomplish all other acts or things necessary or
appropriate to effect the purposes of such notice of termination, whether to
complete the transfer and endorsement or assignment of the Mortgage Loans and
related documents or otherwise. The defaulting Master Servicer agrees to
cooperate with the Trustee in effecting the termination of the defaulting Master
Servicer's responsibilities and rights hereunder as Master Servicer including,
without limitation, notifying Servicers of the assignment of the master
servicing function and providing the Trustee or its designee all documents and
records in electronic or other form reasonably requested by it to enable the
Trustee or its designee to assume the defaulting Master Servicer's functions
hereunder and the transfer to the Trustee for administration by it of all
amounts which shall at the time be or should have been deposited by the
defaulting Master Servicer in the Collection Account maintained by such
defaulting Master Servicer and any other account or fund maintained with respect
to the Certificates or thereafter received with respect to the Mortgage Loans.
The Master Servicer being terminated shall bear all costs of a master servicing
transfer, including but not limited to those of the Trustee reasonably allocable
to specific employees and overhead, legal fees and expenses, accounting and
financial consulting fees and expenses, and costs of amending the Agreement, if
necessary.

     Notwithstanding the termination of its activities as Master Servicer, each
terminated Master Servicer shall continue to be entitled to reimbursement to the
extent provided in Section 4.02(1), (2), (3), (4), (5), (6), (7), (9) and (11)
to the extent such reimbursement relates to the period prior to such Master
Servicer's termination.

     If any Event of Default shall occur of which a Responsible Officer of the
Trustee has actual knowledge, the Trustee shall promptly notify the Rating
Agencies of the nature and extent of such Event of Default. The Trustee shall
immediately give written notice to the Master Servicer upon such Master
Servicer's failure to remit funds on the Deposit Date.

     Within 90 days of the time the Master Servicer receives a notice of
termination from the Trustee pursuant to Section 6.14(a) or the Trustee receives
the resignation of the Master Servicer evidenced by an Opinion of Counsel
pursuant to Section 9.28, the Trustee, unless another master servicer shall have
been appointed, shall be the successor in all respects to the Master Servicer in
its capacity as such under this Agreement and the transactions set forth or
provided for herein and shall have all the rights and powers and be subject to
all the responsibilities, duties and liabilities relating thereto and arising
thereafter placed on the Master Servicer hereunder, including the obligation to
make Advances; provided, however, that any failure to perform such duties or
responsibilities caused by the Master Servicer's failure to provide information
required by this Agreement shall not be considered a default by the Trustee
hereunder. Notwithstanding the foregoing, the parties hereto agree that the
Trustee, in its capacity as successor Master Servicer, immediately will assume
all of the obligations of the Master Servicer to make Advances. In addition, the
Trustee shall have no responsibility for any act or omission of the Master
Servicer prior to the issuance of any notice of termination and shall have no
liability relating to the representations and warranties of the Master Servicer
set forth in Section 9.14. In

                                       87
<PAGE>

the Trustee's capacity as such successor, the Trustee shall have the same
limitations on liability herein granted to the Master Servicer. As compensation
therefor, the Trustee shall be entitled to receive all compensation payable to
the Master Servicer under this Agreement, including the Master Servicing Fee.
The Trustee shall be entitled to be reimbursed from the Master Servicer (or by
the Trust Fund if the Master Servicer is unable to fulfill its obligations
hereunder) for all costs associated with the transfer of master servicing from
the predecessor master servicer, including, without limitation, any costs or
expenses associated with the complete transfer of all master servicing data and
the completion, correction or manipulation of such master servicing data as may
be required by the Trustee to correct any errors or insufficiencies in the
master servicing data or otherwise to enable the Trustee to master service the
Mortgage Loans properly and effectively.

     (b) Notwithstanding the above, the Trustee may, if it shall be unwilling to
continue to so act, or shall, if it is unable to so act, appoint, petition a
court of competent jurisdiction to appoint, any established housing and home
finance institution servicer, master servicer, servicing or mortgage servicing
institution having a net worth of not less than $15,000,000 and meeting such
other standards for a successor master servicer as are set forth in this
Agreement, as the successor to such Master Servicer in the assumption of all of
the responsibilities, duties or liabilities of a master servicer, like the
Master Servicer. Any entity designated by the Trustee as a successor master
servicer may be an Affiliate of the Trustee; provided, however, that, unless
such Affiliate meets the net worth requirements and other standards set forth
herein for a successor master servicer, the Trustee, in its individual capacity
shall agree, at the time of such designation, to be and remain liable to the
Trust Fund for such Affiliate's actions and omissions in performing its duties
hereunder. In connection with such appointment and assumption, the Trustee may
make such arrangements for the compensation of such successor out of payments on
Mortgage Loans as it and such successor shall agree; provided, however, that no
such compensation shall be in excess of that permitted to the Master Servicer
hereunder. The Trustee and such successor shall take such actions, consistent
with this Agreement, as shall be necessary to effectuate any such succession and
may make other arrangements with respect to the servicing to be conducted
hereunder which are not inconsistent herewith. The Master Servicer shall
cooperate with the Trustee and any successor master servicer in effecting the
termination of the Master Servicer's responsibilities and rights hereunder
including, without limitation, notifying Mortgagors of the assignment of the
master servicing functions and providing the Trustee and successor master
servicer, as applicable, all documents and records in electronic or other form
reasonably requested by it to enable it to assume the Master Servicer's
functions hereunder and the transfer to the Trustee or such successor master
servicer, as applicable, all amounts which shall at the time be or should have
been deposited by the Master Servicer in the Collection Account and any other
account or fund maintained with respect to the Certificates or thereafter be
received with respect to the Mortgage Loans. Neither the Trustee nor any other
successor master servicer shall be deemed to be in default hereunder by reason
of any failure to make, or any delay in making, any distribution hereunder or
any portion thereof caused by (i) the failure of the Master Servicer to deliver,
or any delay in delivering, cash, documents or records to it, (ii) the failure
of the Master Servicer to cooperate as required by this Agreement, (iii) the
failure of the Master Servicer to deliver the Mortgage Loan data to the Trustee
as required by this Agreement or (iv) restrictions imposed by any regulatory
authority having jurisdiction over the Master Servicer.

                                       88
<PAGE>

     Section 6.15. Additional Remedies of Trustee Upon Event of Default.

     During the continuance of any Event of Default, so long as such Event of
Default shall not have been remedied, the Trustee, in addition to the rights
specified in Section 6.14, shall have the right, in its own name and as trustee
of an express trust, to take all actions now or hereafter existing at law, in
equity or by statute to enforce its rights and remedies and to protect the
interests, and enforce the rights and remedies, of the Certificateholders
(including the institution and prosecution of all judicial, administrative and
other proceedings and the filings of proofs of claim and debt in connection
therewith). Except as otherwise expressly provided in this Agreement, no remedy
provided for by this Agreement shall be exclusive of any other remedy, and each
and every remedy shall be cumulative and in addition to any other remedy, and no
delay or omission to exercise any right or remedy shall impair any such right or
remedy or shall be deemed to be a waiver of any Event of Default.

     Section 6.16. Waiver of Defaults.

     35% or more of the Aggregate Voting Interests of Certificateholders may
waive any default or Event of Default by the Master Servicer in the performance
of its obligations hereunder, except that a default in the making of any
required deposit to the Certificate Account that would result in a failure of
the Trustee to make any required payment of principal of or interest on the
Certificates may only be waived with the consent of 100% of the affected
Certificateholders. Upon any such waiver of a past default, such default shall
cease to exist, and any Event of Default arising therefrom shall be deemed to
have been remedied for every purpose of this Agreement. No such waiver shall
extend to any subsequent or other default or impair any right consequent thereon
except to the extent expressly so waived.

     Section 6.17. Notification to Holders.

     Upon termination of the Master Servicer or appointment of a successor to
the Master Servicer, in each case as provided herein, the Trustee shall promptly
mail notice thereof by first class mail to the Certificateholders at their
respective addresses appearing on the Certificate Register. The Trustee shall
also, within 45 days after the occurrence of any Event of Default known to a
Responsible Officer of the Trustee, give written notice thereof to
Certificateholders, unless such Event of Default shall have been cured or waived
prior to the issuance of such notice and within such 45-day period.

     Section 6.18. Directions by Certificateholders and Duties of Trustee During
Event of Default.

     Subject to the provisions of Section 8.01 hereof, during the continuance of
any Event of Default, Holders of Certificates evidencing not less than 25% of
the Class Principal Amount (or Class Notional Amount) of each Class of
Certificates may direct the time, method and place of conducting any proceeding
for any remedy available to the Trustee, or exercising any trust or power
conferred upon the Trustee, under this Agreement; provided, however, that the
Trustee shall be under no obligation to pursue any such remedy, or to exercise
any of the trusts or powers vested in it by this Agreement (including, without
limitation, (i) the conducting or defending of any administrative action or
litigation hereunder or in relation hereto and (ii) the terminating of

                                       89
<PAGE>

the Master Servicer or any successor master servicer from its rights and duties
as master servicer hereunder) at the request, order or direction of any of the
Certificateholders, unless such Certificateholders shall have offered to the
Trustee reasonable security or indemnity against the cost, expenses and
liabilities which may be incurred therein or thereby; and, provided further,
that, subject to the provisions of Section 8.01, the Trustee shall have the
right to decline to follow any such direction if the Trustee, in accordance with
an Opinion of Counsel, determines that the action or proceeding so directed may
not lawfully be taken or if the Trustee in good faith determines that the action
or proceeding so directed would involve it in personal liability or be unjustly
prejudicial to the non-assenting Certificateholders.

     Section 6.19. Action Upon Certain Failures of the Master Servicer and Upon
Event of Default.

     In the event that the Trustee shall have actual knowledge of any action or
inaction of the Master Servicer that would become an Event of Default upon the
Master Servicer's failure to remedy the same after notice, the Trustee shall
give notice thereof to the Master Servicer. For all purposes of this Agreement,
in the absence of actual knowledge by a Responsible Officer of the Trustee, the
Trustee shall not be deemed to have knowledge of any failure of the Master
Servicer or any other Event of Default unless notified in writing by the
Depositor, the Master Servicer or a Certificateholder.

     Section 6.20. Preparation of Tax Returns and Other Reports.

     (a) The Trustee shall prepare or cause to be prepared on behalf of the
Trust Fund, based upon information calculated in accordance with this Agreement
pursuant to instructions given by the Depositor, and the Trustee shall file,
federal tax returns and appropriate state income tax returns and such other
returns as may be required by applicable law relating to the Trust Fund, and
shall file any other documents to the extent required by applicable state tax
law (to the extent such documents are in the Trustee's possession). The Trustee
shall forward copies to the Depositor of all such returns and Form 1099
supplemental tax information and such other information within the control of
the Trustee as the Depositor may reasonably request in writing, and shall
forward to each Certificateholder such forms and furnish such information within
the control of the Trustee as are required by the Code and the REMIC Provisions
to be furnished to them, and will prepare and disseminate to the Trustee for
distribution to Certificateholders Form 1099 (supplemental tax information) (or
otherwise furnish information within the control of the Trustee) to the extent
required by applicable law. The Master Servicer will indemnify the Trustee for
any liability of or assessment against the Trustee, as applicable, resulting
from any error in any of such tax or information returns directly resulting from
errors in the information provided by such Master Servicer.

     (b) The Trustee shall prepare and file with the Internal Revenue Service
("IRS"), on behalf of each of the Lower Tier REMIC and the Upper Tier REMIC, an
application on IRS Form SS-4. The Trustee, upon receipt from the IRS of the
Notice of Taxpayer Identification Number Assigned for each REMIC, shall promptly
forward copies of such notices to the Master Servicer, the Trustee and the
Depositor. The Trustee will file an IRS Form 8811.

                                       90
<PAGE>

     (c) The Depositor shall prepare or cause to be prepared the initial current
report on Form 8-K. Thereafter, within 15 days after each Distribution Date, the
Trustee shall, in accordance with industry standards, file with the Securities
and Exchange Commission (the "Commission") via the Electronic Data Gathering and
Retrieval System (EDGAR), a Form 8-K with a copy of the statement to the
Certificateholders for such Distribution Date as an exhibit thereto. Prior to
January 30, 2002, the Trustee shall, in accordance with industry standards, file
a Form 15 Suspension Notification with respect to the Trust Fund, if applicable.
Prior to April 30, 2002, the Trustee shall file a Form 10-K, in substance
conforming to industry standards, with respect to the Trust Fund. The Depositor
hereby grants to the Trustee a limited power of attorney to execute and file
each such document on behalf of the Depositor. Such power of attorney shall
continue until either the earlier of (i) receipt by the Trustee from the
Depositor of written termination of such power of attorney and (ii) the
termination of the Trust Fund. The Depositor agrees to promptly furnish to the
Trustee, from time to time upon request, such further information, reports, and
financial statements within its control related to this Agreement and the
Mortgage Loans as the Trustee reasonably deems appropriate to prepare and file
all necessary reports with the Commission. The Trustee shall have no
responsibility to file any items other than those specified in this section.

                                   ARTICLE VII

                            PURCHASE AND TERMINATION
                                OF THE TRUST FUND

     Section 7.01. Termination of Trust Fund Upon Repurchase or Liquidation of
All Mortgage Loans.

     (a) The respective obligations and responsibilities of the Trustee and the
Master Servicer created hereby (other than the obligation of the Trustee to make
payments to Certificateholders as set forth in Section 7.02, the obligation of
the Master Servicer to make a final remittance to the Trustee for deposit into
the Certificate Account pursuant to Section 4.01 and the obligations of the
Master Servicer to the Trustee pursuant to Sections 9.10 and 9.14), shall
terminate on the earlier of (i) the final payment or other liquidation of the
last Mortgage Loan remaining in the Trust Fund and the disposition of all REO
Property and (ii) the sale of the property held by the Trust Fund in accordance
with Section 7.01(b); provided, however, that in no event shall the Trust Fund
created hereby continue beyond the expiration of 21 years from the death of the
last survivor of the descendants of Joseph P. Kennedy, the late Ambassador of
the United States to the Court of St. James's, living on the date hereof. Any
termination of the Trust Fund shall be carried out in such a manner so that the
termination of each REMIC included therein shall qualify as a "qualified
liquidation" under the REMIC Provisions.

     (b) On any Distribution Date occurring after the date on which the
aggregate Scheduled Principal Balance of the Mortgage Loans is less than 10% of
the Cut-off Date Aggregate Principal Balance, the Master Servicer may, upon 15
Business Days prior written direction to the Trustee cause (i) the Trustee to
sell (or arrange for the sale of) the assets of the Trust Fund and (ii) the
Trust Fund to adopt a plan of complete liquidation pursuant to Section
7.03(a)(i) hereof to sell all of its property. The property of the Trust Fund
shall be sold at a price (the "Termination Price") equal to: (i) 100% of the
unpaid principal balance of each Mortgage Loan on the day of

                                       91
<PAGE>

such purchase plus interest accrued thereon at the applicable Mortgage Rate with
respect to any Mortgage Loan to the Due Date in the Due Period immediately
preceding the related Distribution Date to the date of such repurchase, (ii) the
fair market value of any REO Property and any other property held by any REMIC,
such fair market value to be determined by an appraiser or appraisers appointed
by the Master Servicer with the consent of the Trustee and (iii) any
unreimbursed Servicing Advances with respect to each Mortgage Loan.

     Section 7.02. Procedure Upon Termination of Trust Fund.

     (a) Notice of any termination pursuant to the provisions of Section 7.01,
specifying the Distribution Date upon which the final distribution shall be
made, shall be given promptly by the Trustee by first class mail to
Certificateholders mailed (x) no later than five Business Days after the Trustee
has received notice from the Master Servicer of its intent to exercise its right
to cause the termination of the Trust Fund pursuant to Section 7.01(b) or (y)
upon the final payment or other liquidation of the last Mortgage Loan or REO
Property in the Trust Fund. Such notice shall specify (A) the Distribution Date
upon which final distribution on the Certificates of all amounts required to be
distributed to Certificateholders pursuant to Section 5.02 will be made upon
presentation and surrender of the Certificates at the Corporate Trust Office,
and (B) that the Record Date otherwise applicable to such Distribution Date is
not applicable, distribution being made only upon presentation and surrender of
the Certificates at the office or agency of the Trustee therein specified. The
Trustee shall give such notice to the Master Servicer and the Certificate
Registrar at the time such notice is given to Holders of the Certificates. Upon
any such termination, the duties of the Certificate Registrar with respect to
the Certificates shall terminate and the Trustee shall terminate, or request the
Master Servicer to terminate, the Collection Account it maintains, the
Certificate Account and any other account or fund maintained with respect to the
Certificates, subject to the Trustee's obligation hereunder to hold all amounts
payable to Certificateholders in trust without interest pending such payment.

     (b) In the event that all of the Holders do not surrender their
Certificates for cancellation within three months after the time specified in
the above-mentioned written notice, the Trustee shall give a second written
notice to the remaining Certificateholders to surrender their Certificates for
cancellation and receive the final distribution with respect thereto. If within
one year after the second notice any Certificates shall not have been
surrendered for cancellation, the Trustee may take appropriate steps to contact
the remaining Certificateholders concerning surrender of such Certificates, and
the cost thereof shall be paid out of the amounts distributable to such Holders.
If within two years after the second notice any Certificates shall not have been
surrendered for cancellation, the Trustee shall, subject to applicable state law
relating to escheatment, hold all amounts distributable to such Holders for the
benefit of such Holders. No interest shall accrue on any amount held by the
Trustee and not distributed to a Certificateholder due to such
Certificateholder's failure to surrender its Certificate(s) for payment of the
final distribution thereon in accordance with this Section.

     (c) Any reasonable expenses incurred by the Trustee in connection with any
termination or liquidation of the Trust Fund shall be reimbursed from proceeds
received from the liquidation of the Trust Fund.

                                       92
<PAGE>

     Section 7.03. Additional Trust Fund Termination Requirements.

     (a) Any termination of the Trust Fund shall be effected in accordance with
the following additional requirements, unless the Trustee seeks (at the request
of the Master Servicer), and subsequently receives, an Opinion of Counsel (at
the expense of the Master Servicer), addressed to the Trustee to the effect that
the failure of the Trust Fund to comply with the requirements of this Section
7.03 will not (i) result in the imposition of taxes on any REMIC under the REMIC
Provisions or (ii) cause any REMIC established hereunder to fail to qualify as a
REMIC at any time that any Certificates are outstanding:

         (i) The Trustee shall sell all of the assets of the Trust Fund for cash
     and, within 90 days of such sale, shall distribute the proceeds of such
     sale to the Certificateholders in complete liquidation of the Trust Fund,
     the Lower Tier REMIC and the Upper Tier REMIC; and

         (ii) The Trustee shall attach a statement to the final Federal income
     tax return for each of the Lower Tier REMIC and the Upper Tier REMIC
     stating that pursuant to Treasury Regulation (section) 1.860F-1, the first
     day of the 90-day liquidation period for each such REMIC was the date on
     which the Trustee sold the assets of the Trust Fund.

     (b) By its acceptance of a Residual Certificate, each Holder thereof hereby
(i) authorizes the Trustee to take the action described in paragraph (a) above
and (ii) agrees to take such other action as may be necessary to facilitate
liquidation of each REMIC created under this Agreement, which authorization
shall be binding upon all successor Residual Certificateholders.

                                  ARTICLE VIII

                          RIGHTS OF CERTIFICATEHOLDERS

     Section 8.01. Limitation on Rights of Holders.

     (a) The death or incapacity of any Certificateholder shall not operate to
terminate this Agreement or this Trust Fund, nor entitle such
Certificateholder's legal representatives or heirs to claim an accounting or
take any action or proceeding in any court for a partition or winding up of this
Trust Fund, nor otherwise affect the rights, obligations and liabilities of the
parties hereto or any of them. Except as otherwise expressly provided herein, no
Certificateholder, solely by virtue of its status as a Certificateholder, shall
have any right to vote or in any manner otherwise control the Master Servicer or
the operation and management of the Trust Fund, or the obligations of the
parties hereto, nor shall anything herein set forth, or contained in the terms
of the Certificates, be construed so as to constitute the Certificateholders
from time to time as partners or members of an association, nor shall any
Certificateholder be under any liability to any third person by reason of any
action taken by the parties to this Agreement pursuant to any provision hereof.

     (b) No Certificateholder, solely by virtue of its status as
Certificateholder, shall have any right by virtue or by availing of any
provision of this Agreement to institute any suit, action or proceeding in
equity or at law upon or under or with respect to this Agreement, unless such
Holder previously shall have given to the Trustee a written notice of an Event
of Default and of

                                       93
<PAGE>

the continuance thereof, as hereinbefore provided, and unless also the Holders
of Certificates evidencing not less than 25% of the Class Principal Amount (or
Class Notional Amount) of Certificates of each Class shall have made written
request upon the Trustee to institute such action, suit or proceeding in its own
name as Trustee hereunder and shall have offered to the Trustee such reasonable
indemnity as it may require against the cost, expenses and liabilities to be
incurred therein or thereby, and the Trustee, for sixty days after its receipt
of such notice, request and offer of indemnity, shall have neglected or refused
to institute any such action, suit or proceeding and no direction inconsistent
with such written request has been given such Trustee during such sixty-day
period by such Certificateholders; it being understood and intended, and being
expressly covenanted by each Certificateholder with every other
Certificateholder and the Trustee, that no one or more Holders of Certificates
shall have any right in any manner whatever by virtue or by availing of any
provision of this Agreement to affect, disturb or prejudice the rights of the
Holders of any other of such Certificates, or to obtain or seek to obtain
priority over or preference to any other such Holder, or to enforce any right
under this Agreement, except in the manner herein provided and for the benefit
of all Certificateholders. For the protection and enforcement of the provisions
of this Section, each and every Certificateholder and the Trustee shall be
entitled to such relief as can be given either at law or in equity.

     Section 8.02. Access to List of Holders.

     (a) If the Trustee is not acting as Certificate Registrar, the Certificate
Registrar will furnish or cause to be furnished to the Trustee, within fifteen
days after receipt by the Certificate Registrar of a request by the Trustee in
writing, a list, in such form as the Trustee may reasonably require, of the
names and addresses of the Certificateholders of each Class as of the most
recent Record Date.

     (b) If three or more Holders or Certificate Owners (hereinafter referred to
as "Applicants") apply in writing to the Trustee, and such application states
that the Applicants desire to communicate with other Holders with respect to
their rights under this Agreement or under the Certificates and is accompanied
by a copy of the communication which such Applicants propose to transmit, then
the Trustee shall, within five Business Days after the receipt of such
application, afford such Applicants reasonable access during the normal business
hours of the Trustee to the most recent list of Certificateholders held by the
Trustee or shall, as an alternative, send, at the Applicants' expense, the
written communication proffered by the Applicants to all Certificateholders at
their addresses as they appear in the Certificate Register.

     (c) Every Holder or Certificate Owner, if the Holder is a Clearing Agency,
by receiving and holding a Certificate, agrees with the Depositor, the Master
Servicer, the Certificate Registrar and the Trustee that neither the Depositor,
the Master Servicer, the Certificate Registrar nor the Trustee shall be held
accountable by reason of the disclosure of any such information as to the names
and addresses of the Certificateholders hereunder, regardless of the source from
which such information was derived.

                                       94
<PAGE>

     Section 8.03. Acts of Holders of Certificates.

     (a) Any request, demand, authorization, direction, notice, consent, waiver
or other action provided by this Agreement to be given or taken by Holders or
Certificate Owner, if the Holder is a Clearing Agency, may be embodied in and
evidenced by one or more instruments of substantially similar tenor signed by
such Holders in person or by agent duly appointed in writing; and, except as
herein otherwise expressly provided, such action shall become effective when
such instrument or instruments are delivered to the Trustee and, where expressly
required herein, to the Master Servicer. Such instrument or instruments (as the
action embodies therein and evidenced thereby) are herein sometimes referred to
as an "Act" of the Holders signing such instrument or instruments. Proof of
execution of any such instrument or of a writing appointing any such agents
shall be sufficient for any purpose of this Agreement and conclusive in favor of
the Trustee and Master Servicer, if made in the manner provided in this Section.
Each of the Trustee and Master Servicer shall promptly notify the others of
receipt of any such instrument by it, and shall promptly forward a copy of such
instrument to the others.

     (b) The fact and date of the execution by any Person of any such instrument
or writing may be proved by the affidavit of a witness of such execution or by
the certificate of any notary public or other officer authorized by law to take
acknowledgments or deeds, certifying that the individual signing such instrument
or writing acknowledged to him the execution thereof. Whenever such execution is
by an officer of a corporation or a member of a partnership on behalf of such
corporation or partnership, such certificate or affidavit shall also constitute
sufficient proof of his authority. The fact and date of the execution of any
such instrument or writing, or the authority of the individual executing the
same, may also be proved in any other manner which the Trustee deems sufficient.

     (c) The ownership of Certificates (whether or not such Certificates shall
be overdue and notwithstanding any notation of ownership or other writing
thereon made by anyone other than the Trustee) shall be proved by the
Certificate Register, and neither the Trustee, the Master Servicer, nor the
Depositor shall be affected by any notice to the contrary.

     (d) Any request, demand, authorization, direction, notice, consent, waiver
or other action by the Holder of any Certificate shall bind every future Holder
of the same Certificate and the Holder of every Certificate issued upon the
registration of transfer thereof or in exchange therefor or in lieu thereof, in
respect of anything done, omitted or suffered to be done by the Trustee or the
Master Servicer in reliance thereon, whether or not notation of such action is
made upon such Certificate.

                                   ARTICLE IX

                 ADMINISTRATION AND SERVICING OF MORTGAGE LOANS
                             BY THE MASTER SERVICER

     Section 9.01. Duties of the Master Servicer.

     The Certificateholders, by their purchase and acceptance of the
Certificates, appoint Aurora Loan Services Inc., as Master Servicer. For and on
behalf of the Depositor, the Trustee

                                       95
<PAGE>

and the Certificateholders, the Master Servicer shall master service the
Mortgage Loans in accordance with the provisions of this Agreement and the
provisions of the applicable Servicing Agreement.

     Section 9.02. Master Servicer Fidelity Bond and Master Servicer Errors and
Omissions Insurance Policy.

     (a) The Master Servicer, at its expense, shall maintain in effect a
Fidelity Bond and an Errors and Omissions Insurance Policy, affording coverage
with respect to all directors, officers, employees and other Persons acting on
such Master Servicer's behalf, and covering errors and omissions in the
performance of the Master Servicer's obligations hereunder. The Errors and
Omissions Insurance Policy and the Fidelity Bond shall be in such form and
amount that would meet the requirements of FNMA or FHLMC if it were the
purchaser of the Mortgage Loans. The Master Servicer shall (i) require each
Servicer to maintain an Errors and Omissions Insurance Policy and a Fidelity
Bond in accordance with the provisions of the applicable Servicing Agreement,
(ii) cause each Servicer to provide to the Master Servicer certificates
evidencing that such policy and bond is in effect and to furnish to the Master
Servicer any notice of cancellation, non-renewal or modification of the policy
or bond received by it, as and to the extent provided in the applicable
Servicing Agreement, and (iii) furnish copies of the certificates and notices
referred to in clause (ii) to the Trustee upon its request. The Fidelity Bond
and Errors and Omissions Insurance Policy may be obtained and maintained in
blanket form.

     (b) The Master Servicer shall promptly report to the Trustee any material
changes that may occur in the Master Servicer Fidelity Bond or the Master
Servicer Errors and Omissions Insurance Policy and shall furnish to the Trustee,
on request, certificates evidencing that such bond and insurance policy are in
full force and effect. The Master Servicer shall promptly report to the Trustee
all cases of embezzlement or fraud, if such events involve funds relating to the
Mortgage Loans. The total losses, regardless of whether claims are filed with
the applicable insurer or surety, shall be disclosed in such reports together
with the amount of such losses covered by insurance. If a bond or insurance
claim report is filed with any of such bonding companies or insurers, the Master
Servicer shall promptly furnish a copy of such report to the Trustee. Any
amounts relating to the Mortgage Loans collected by the Master Servicer under
any such bond or policy shall be promptly remitted by the Master Servicer to the
Trustee for deposit into the Certificate Account. Any amounts relating to the
Mortgage Loans collected by any Servicer under any such bond or policy shall be
remitted to the Master Servicer to the extent provided in the applicable
Servicing Agreement.

     Section 9.03. Master Servicer's Financial Statements and Related
Information.

     For each year this Agreement is in effect, the Master Servicer shall submit
to the Trustee, each Rating Agency and the Depositor a copy of its annual
unaudited financial statements on or prior to August 31 of each year. Such
financial statements shall include a balance sheet, income statement, statement
of retained earnings, statement of additional paid-in capital, statement of
changes in financial position and all related notes and schedules and shall be
in comparative form, certified by a nationally recognized firm of Independent
Accountants to the effect that such statements were examined and prepared in
accordance with generally accepted accounting principles applied on a basis
consistent with that of the preceding year.

                                       96
<PAGE>

     Section 9.04. Power to Act; Procedures.

     (a) The Master Servicer shall master service the Mortgage Loans and shall
have full power and authority, subject to the REMIC Provisions and the
provisions of Article X hereof, and each Servicer shall have full power and
authority (to the extent provided in the applicable Servicing Agreement) to do
any and all things that it may deem necessary or desirable in connection with
the servicing and administration of the Mortgage Loans, including but not
limited to the power and authority (i) to execute and deliver, on behalf of the
Certificateholders and the Trustee, customary consents or waivers and other
instruments and documents, (ii) to consent to transfers of any Mortgaged
Property and assumptions of the Mortgage Notes and related Mortgages, (iii) to
collect any Insurance Proceeds and Liquidation Proceeds, and (iv) to effectuate
foreclosure or other conversion of the ownership of the Mortgaged Property
securing any Mortgage Loan, in each case, in accordance with the provisions of
this Agreement and applicable Servicing Agreement, as applicable; provided that
the Master Servicer shall not take, or knowingly permit any Servicer to take,
any action that is inconsistent with or prejudices the interests of the Trust
Fund or the Certificateholders in any Mortgage Loan or the rights and interests
of the Depositor, the Trustee and the Certificateholders under this Agreement.
The Master Servicer further is authorized and empowered by the Trustee, on
behalf of the Certificateholders and the Trustee, in its own name or in the name
of any Servicer, when the Master Servicer or a Servicer, as the case may be,
believes it is appropriate in its best judgment to register any Mortgage Loan
with MERS, or cause the removal from the registration of any Mortgage Loan on
the MERS system, to execute and deliver, on behalf of the Trustee and the
Certificateholders or any of them, any and all instruments of assignment and
other comparable instruments with respect to such assignment or re-recording of
a Mortgage in the name of MERS, solely as nominee for the Trustee and its
successors and assigns. The Master Servicer shall represent and protect the
interests of the Trust Fund in the same manner as it protects its own interests
in mortgage loans in its own portfolio in any claim, proceeding or litigation
regarding a Mortgage Loan and shall not make or knowingly permit any Servicer to
make any modification, waiver or amendment of any term of any Mortgage Loan that
would cause the Trust Fund to fail to qualify as a REMIC or result in the
imposition of any tax under Section 860F(a) or Section 860G(d) of the Code.
Without limiting the generality of the foregoing, the Master Servicer in its own
name or in the name of a Servicer, and each Servicer, to the extent such
authority is delegated to such Servicer by the Master Servicer under the
applicable Servicing Agreement, is hereby authorized and empowered by the
Trustee when the Master Servicer or applicable Servicer, as the case may be,
believes it appropriate in its best judgment and in accordance with Accepted
Servicing Practices and the applicable Servicing Agreement, to execute and
deliver, on behalf of itself and the Certificateholders, the Trustee or any of
them, any and all instruments of satisfaction or cancellation, or of partial or
full release or discharge and all other comparable instruments, with respect to
the Mortgage Loans and with respect to the Mortgaged Properties. The Trustee
shall execute, upon request, any powers of attorney furnished to it by the
Master Servicer empowering the Master Servicer or any Servicer to execute and
deliver instruments of satisfaction or cancellation, or of partial or full
release or discharge, and to foreclose upon or otherwise liquidate Mortgaged
Property, and to appeal, prosecute or defend in any court action relating to the
Mortgage Loans or the Mortgaged Property, in accordance with the applicable
Servicing Agreement and this Agreement, and the Trustee shall execute and
deliver such other documents, as the Master Servicer may request, necessary or
appropriate to enable the Master Servicer to master service and administer the
Mortgage Loans

                                       97
<PAGE>

and carry out its duties hereunder, in each case in accordance with Accepted
Servicing Practices (and the Trustee shall have no liability for misuse of any
such powers of attorney by the Master Servicer or any Servicer). If the Master
Servicer or the Trustee has been advised that it is likely that the laws of the
state in which action is to be taken prohibit such action if taken in the name
of the Trustee or that the Trustee would be adversely affected under the "doing
business" or tax laws of such state if such action is taken in its name, then
upon request of the Trustee, the Master Servicer shall join with the Trustee in
the appointment of a co-trustee pursuant to Section 6.09 hereof. In the
performance of its duties hereunder, the Master Servicer shall be an independent
contractor and shall not, except in those instances where it is taking action in
the name of the Trustee, be deemed to be the agent of the Trustee.

     (b) In master servicing and administering the Mortgage Loans, the Master
Servicer shall employ procedures, and shall cause each Servicer to employ
procedures (including, but not limited to, collection procedures), consistent
with the applicable Servicing Agreement. Consistent with the foregoing, the
Master Servicer may, and may permit any Servicer to, in its discretion (i) waive
any late payment charge or any prepayment charge or penalty interest in
connection with the prepayment of a Mortgage Loan and (ii) extend the due dates
for payments due on a Mortgage Note for a period not greater than 120 days;
provided, however, that the maturity of any Mortgage Loan shall not be extended
past the date on which the final payment is due on the latest maturing Mortgage
Loan as of the Cut-off Date. In the event of any extension described in clause
(ii) above, the Master Servicer shall make or cause to be made Advances on the
related Mortgage Loan in accordance with the provisions of Section 5.04 on the
basis of the amortization schedule of such Mortgage Loan without modification
thereof by reason of such extension. Notwithstanding anything to the contrary in
this Agreement, the Master Servicer shall not, unless default by the related
Mortgagor is, in the reasonable judgment of the Master Servicer or the related
Servicer, imminent, make or knowingly permit such Servicer to make any
modification, waiver or amendment of any material term of any Mortgage Loan
(including but not limited to the interest rate, the principal balance, the
amortization schedule, or any other term affecting the amount or timing of
payments on the Mortgage Loan or the collateral therefor) unless the Master
Servicer or the related Servicer shall have provided or caused to be provided to
the Trustee an Opinion of Counsel (at the expense of the party seeking the
modification) in writing to the effect that such modification, waiver or
amendment would not be treated as giving rise to a new debt instrument for
federal income tax purposes and would not adversely affect the status of the
REMIC.

     Section 9.05. Servicing Agreements Between the Master Servicer and
Servicers; Enforcement of Servicers' Obligations.

     (a) Each Servicing Agreement requires the applicable Servicer to service
the Mortgage Loans in accordance with the provisions thereof. References in this
Agreement to actions taken or to be taken by the Master Servicer include such
actions taken or to be taken by a Servicer pursuant to a Servicing Agreement.
Any fees, costs and expenses and other amounts payable to such Servicers shall
be deducted from amounts remitted to the Master Servicer by the applicable
Servicer and shall not be an obligation of the Trust, the Trustee or the Master
Servicer.

     (b) The Master Servicer, for the benefit of the Trustee and the
Certificateholders, shall enforce the obligations of each Servicer under the
related Servicing Agreement, and shall use its

                                       98
<PAGE>

reasonable best efforts to enforce the obligations of each Servicer under the
related Servicing Agreement and shall, upon its obtaining actual knowledge of
the failure of a Servicer to perform its obligations in accordance with the
related Servicing Agreement, to the extent that the non-performance of any such
obligations would have a material adverse effect on a Mortgage Loan, the Trust
Fund or Certificateholders, terminate the rights and obligations of such
Servicer thereunder to the extent and in the manner permitted by the related
Servicing Agreement and either act as servicer of the related Mortgage Loans or
enter into a Servicing Agreement with a successor Servicer. Such enforcement,
including, without limitation, the legal prosecution of claims, termination of
Servicing Agreements and the pursuit of other appropriate remedies, shall be in
such form and carried out to such an extent and at such time as the Master
Servicer, in its good faith business judgment, would require were it the owner
of the related Mortgage Loans. The Master Servicer shall pay the costs of such
enforcement at its own expense, and shall be reimbursed therefor initially only
(i) from a general recovery resulting from such enforcement only to the extent,
if any, that such recovery exceeds all amounts due in respect of the related
Mortgage Loans or (ii) from a specific recovery of costs, expenses or attorneys'
fees against the party against whom such enforcement is directed, and then, to
the extent that such amounts are insufficient to reimburse the Master Servicer
for the costs of such enforcement, (iii) from the Collection Account.

     Section 9.06. Collection of Taxes, Assessments and Similar Items.

     (a) To the extent provided in the applicable Servicing Agreement, the
Master Servicer shall cause each Servicer to establish and maintain one or more
custodial accounts at a depository institution (which may be a depository
institution with which the Master Servicer or any Servicer establishes accounts
in the ordinary course of its servicing activities), the accounts of which are
insured to the maximum extent permitted by the FDIC (each, an "Escrow Account")
and shall deposit therein any collections of amounts received with respect to
amounts due for taxes, assessments, water rates, Standard Hazard Insurance
Policy premiums or any comparable items for the account of the Mortgagors.
Withdrawals from any Escrow Account may be made (to the extent amounts have been
escrowed for such purpose) only in accordance with the applicable Servicing
Agreement. Each Servicer shall be entitled to all investment income not required
to be paid to Mortgagors on any Escrow Account maintained by such Servicer. The
Master Servicer shall make (or cause to be made) to the extent provided in the
applicable Servicing Agreement advances to the extent necessary in order to
effect timely payment of taxes, water rates, assessments, Standard Hazard
Insurance Policy premiums or comparable items in connection with the related
Mortgage Loan (to the extent that the Mortgagor is required, but fails, to pay
such items), provided that it has determined that the funds so advanced are
recoverable from escrow payments, reimbursement pursuant to Section 4.02(v) or
otherwise.

     (b) Costs incurred by the Master Servicer or by Servicers in effecting the
timely payment of taxes and assessments on the properties subject to the
Mortgage Loans may be added to the amount owing under the related Mortgage Note
where the terms of the Mortgage Note so permit; provided, however, that the
addition of any such cost shall not be taken into account for purposes of
calculating the distributions to be made to Certificateholders. Such costs, to
the extent that they are unanticipated, extraordinary costs, and not ordinary or
routine costs shall be recoverable by the Master Servicer pursuant to Section
4.02(v).

                                       99
<PAGE>

     Section 9.07. Termination of Servicing Agreements; Successor Servicers.

     (a) The Master Servicer shall be entitled to terminate the rights and
obligations of any Servicer under the applicable Servicing Agreement in
accordance with the terms and conditions of such Servicing Agreement and without
any limitation by virtue of this Agreement; provided, however, that in the event
of termination of any Servicing Agreement by the Master Servicer or the related
Servicer, the Master Servicer shall either act as Servicer of the related
Mortgage Loans, or enter into a Servicing Agreement with a successor Servicer.

     (b) If the Master Servicer acts as Servicer, it will not assume liability
for the representations and warranties of the Servicer, if any, that it
replaces. The Master Servicer shall use reasonable efforts to have the successor
Servicer assume liability for the representations and warranties made by the
terminated Servicer in respect of the related Mortgage Loans, and in the event
of any such assumption by the successor Servicer, the Trustee or the Master
Servicer, as applicable, may, in the exercise of its business judgment, release
the terminated Servicer from liability for such representations and warranties.

     Section 9.08. Master Servicer Liable for Enforcement.

     Notwithstanding any Servicing Agreement, the Master Servicer shall remain
obligated and liable to the Trustee and the Certificateholders in accordance
with the provisions of this Agreement, to the extent of its obligations
hereunder, without diminution of such obligation or liability by virtue of such
Servicing Agreements or arrangements. The Master Servicer shall use commercially
reasonable efforts to ensure that the Mortgage Loans are serviced in accordance
with the provisions of this Agreement and shall use commercially reasonable
efforts to enforce the provisions of each Servicing Agreement for the benefit of
the Certificateholders. The Master Servicer shall be entitled to enter into any
agreement with the Servicers for indemnification of the Master Servicer and
nothing contained in this Agreement shall be deemed to limit or modify such
indemnification. Except as expressly set forth herein, the Master Servicer shall
have no liability for the acts or omissions of any Servicer in the performance
by such Servicer of its obligations under the related Servicing Agreement.

     Section 9.09. No Contractual Relationship Between Servicers and Trustee or
Depositor.

     Any Servicing Agreement that may be entered into and any other transactions
or services relating to the Mortgage Loans involving a Servicer in its capacity
as such and not as an originator shall be deemed to be between such Servicer,
the Seller and the Master Servicer, and, except to the extent expressly provided
therein, the Trustee and the Depositor shall not be deemed parties thereto and
shall have no claims, rights, obligations, duties or liabilities with respect to
such Servicer except as set forth in Section 9.10 hereof.

     Section 9.10. Assumption of Servicing Agreement by Trustee.

     (a) In the event the Master Servicer shall for any reason no longer be the
Master Servicer (including by reason of any Event of Default under this
Agreement), the Trustee shall, in accordance with Section 6.14, thereupon assume
all of the rights and obligations of such Master Servicer hereunder and enforce
the rights under each Servicing Agreement entered into with respect to the
Mortgage Loans. The Trustee, its designee or any successor master servicer

                                      100
<PAGE>

appointed by the Trustee shall be deemed to have assumed all of the Master
Servicer's interest herein and therein to the same extent as if such Servicing
Agreement had been assigned to the assuming party, except that the Master
Servicer shall not thereby be relieved of any liability or obligations of the
Master Servicer under such Servicing Agreement accruing prior to its replacement
as Master Servicer, and shall be liable to the Trustee, and hereby agrees to
indemnify and hold harmless the Trustee from and against all costs, damages,
expenses and liabilities (including reasonable attorneys' fees) incurred by the
Trustee as a result of such liability or obligations of the Master Servicer and
in connection with the Trustee's assumption (but not its performance, except to
the extent that costs or liability of the Trustee are created or increased as a
result of negligent or wrongful acts or omissions of the Master Servicer prior
to its replacement as Master Servicer) of the Master Servicer's obligations,
duties or responsibilities thereunder; provided that the Master Servicer shall
not indemnify or hold harmless the Trustee against negligent or willful
misconduct of the Trustee.

     (b) The Master Servicer that has been terminated shall, upon request of the
Trustee but at the expense of such Master Servicer, deliver to the assuming
party all documents and records relating to each Servicing Agreement and the
related Mortgage Loans and an accounting of amounts collected and held by it and
otherwise use its best efforts to effect the orderly and efficient transfer of
each Servicing Agreement to the assuming party.

     Section 9.11. "Due-on-Sale" Clauses; Assumption Agreements.

     (a) To the extent provided in the applicable Servicing Agreement, to the
extent Mortgage Loans contain enforceable due-on-sale clauses, and to the extent
that the Master Servicer has knowledge of the conveyance of a Mortgaged
Property, the Master Servicer shall use its reasonable best efforts to cause the
Servicers to enforce such clauses in accordance with the applicable Servicing
Agreement. If applicable law prohibits the enforcement of a due-on-sale clause
or such clause is otherwise not enforced in accordance with the applicable
Servicing Agreement, and, as a consequence, a Mortgage Loan is assumed, the
original Mortgagor may be released from liability in accordance with the
applicable Servicing Agreement.

     (b) The Master Servicer or the related Servicer, as the case may be, shall
be entitled to approve a request from a Mortgagor for the granting of an
easement thereon in favor of another Person or any alteration or demolition of
the related Mortgaged Property if it has determined, exercising its good faith
business judgment in the same manner as it would if it were the owner of the
related Mortgage Loan, that the security for, and the timely and full
collectability of, such Mortgage Loan would not be materially adversely affected
thereby. Any fee collected by the Master Servicer or the related Servicer for
processing such a request will be retained by the Master Servicer or such
Servicer as additional servicing compensation.

     Section 9.12. Release of Mortgage Files.

     (a) Upon (i) becoming aware of the payment in full of any Mortgage Loan,
(ii) the receipt by the Master Servicer of a notification that payment in full
has been or will be escrowed in a manner customary for such purposes, or (iii)
in the case of a Mortgage Loan as to which the related Mortgaged Property is
located in California, receipt by the Master Servicer of notification from the
Servicer that the Servicer reasonably expects that payment in full will be
received

                                      101
<PAGE>

promptly, the Master Servicer will, or will cause the applicable Servicer to,
promptly notify the Trustee (or the applicable Custodian) by a certification
(which certification shall include a statement to the effect that all amounts
received or to be received in connection with such payment that are required to
be deposited in the Collection Account maintained by the Master Servicer
pursuant to Section 4.01 have been or will be so deposited) of a Servicing
Officer and shall request the Trustee or the applicable Custodian, to deliver to
the applicable Servicer the related Mortgage File. In lieu of sending a hard
copy certification of a Servicing Officer, the Master Servicer may, or may cause
the Servicer to, deliver the request for release in a mutually agreeable
electronic format. To the extent that such a request, on its face, originates
from a Servicing Officer, no signature shall be required. Upon receipt of such
certification and request, the Trustee or the applicable Custodian, shall
promptly release the related Mortgage File to the applicable Servicer and
neither the Trustee nor the Custodian shall have any further responsibility with
regard to such Mortgage File. The Master Servicer is authorized, and each
Servicer, to the extent such authority is delegated to such Servicer by the
Master Servicer under the applicable Servicing Agreement, is authorized, to
give, as agent for the Trustee, as the mortgagee under the Mortgage that secured
the Mortgage Loan, an instrument of satisfaction (or assignment of mortgage
without recourse) regarding the Mortgaged Property subject to the Mortgage,
which instrument of satisfaction or assignment, as the case may be, shall be
delivered to the Person or Persons entitled thereto against receipt therefor of
such payment, it being understood and agreed that no expenses incurred in
connection with such instrument of satisfaction or assignment, as the case may
be, shall be chargeable to the Collection Account.

     (b) From time to time and as appropriate for the servicing or foreclosure
of, or other legal proceedings relating to, any Mortgage Loan and in accordance
with Accepted Servicing Practices and the applicable Servicing Agreement, the
Trustee shall execute such pleadings, request for trustee's sale or other
documents as shall be prepared and furnished to the Trustee by the Master
Servicer, or by a Servicer (in form reasonably acceptable to the Trustee) and as
are necessary to the prosecution of any such proceedings. The Trustee or the
Custodian, shall, upon request of the Master Servicer, or of a Servicer, and
delivery to the Trustee or the applicable Custodian, of a trust receipt signed
by a Servicing Officer substantially in the form annexed hereto as Exhibit C or
in the form annexed to the applicable Custodial Agreement as Exhibit C, release
the related Mortgage File held in its possession or control to the Master
Servicer (or the applicable Servicer). Such trust receipt shall obligate the
Master Servicer or applicable Servicer to return the Mortgage File to the
Trustee or Custodian, as applicable, when the need therefor by the Master
Servicer or applicable Servicer no longer exists unless (i) the Mortgage Loan
shall be liquidated, in which case, upon receipt of a certificate of a Servicing
Officer similar to that herein above specified, the trust receipt shall be
released by the Trustee or the Custodian, as applicable, to the Master Servicer
(or the applicable Servicer) or (ii) the Mortgage File has been delivered
directly or through a Servicer to an attorney, or to a public trustee or other
public official as required by law, for purposes of initiating or pursuing legal
action or other proceedings for the foreclosure of the Mortgaged Property either
judicially or non-judicially, and the Master Servicer has delivered directly or
through a Servicer to the Trustee a certificate of a Servicing Officer
certifying as to the name and address of the Person to which such Mortgage File
or such document was delivered and the purpose or purposes of such delivery.

                                      102
<PAGE>

     Section 9.13. Documents, Records and Funds in Possession of Master Servicer
To Be Held for Trustee.

     (a) The Master Servicer shall transmit, or cause the applicable Servicer to
transmit, to the Trustee such documents and instruments coming into the
possession of the Master Servicer or such Servicer from time to time as are
required by the terms hereof to be delivered to the Trustee. Any funds received
by the Master Servicer or by a Servicer in respect of any Mortgage Loan or which
otherwise are collected by the Master Servicer or by a Servicer as Liquidation
Proceeds or Insurance Proceeds in respect of any Mortgage Loan shall be held for
the benefit of the Trustee and the Certificateholders subject to the Master
Servicer's right to retain or withdraw from the Collection Account the Master
Servicing Fee and other amounts provided in this Agreement, and to the right of
each Servicer to retain its Servicing Fee and other amounts as provided in the
applicable Servicing Agreement. The Master Servicer shall, and shall (to the
extent provided in the applicable Servicing Agreement) cause each Servicer to,
provide access to information and documentation regarding the Mortgage Loans to
the Trustee, its agents and accountants at any time upon reasonable request and
during normal business hours, and to Certificateholders that are savings and
loan associations, banks or insurance companies, the Office of Thrift
Supervision, the FDIC and the supervisory agents and examiners of such Office
and Corporation or examiners of any other federal or state banking or insurance
regulatory authority if so required by applicable regulations of the Office of
Thrift Supervision or other regulatory authority, such access to be afforded
without charge but only upon reasonable request in writing and during normal
business hours at the offices of the Master Servicer designated by it. In
fulfilling such a request the Master Servicer shall not be responsible for
determining the sufficiency of such information.

     (b) All Mortgage Files and funds collected or held by, or under the control
of, the Master Servicer, or any Servicer, in respect of any Mortgage Loans,
whether from the collection of principal and interest payments or from
Liquidation Proceeds or Insurance Proceeds, shall be held by the Master
Servicer, or by such Servicer, for and on behalf of the Trustee and the
Certificateholders and shall be and remain the sole and exclusive property of
the Trustee; provided, however, that the Master Servicer and each Servicer shall
be entitled to setoff against, and deduct from, any such funds any amounts that
are properly due and payable to the Master Servicer or such Servicer under this
Agreement or the applicable Servicing Agreement and shall be authorized to remit
such funds to the Trustee in accordance with this Agreement.

     (c) The Master Servicer hereby acknowledges that concurrently with the
execution of this Agreement, the Trustee shall own or, to the extent that a
court of competent jurisdiction shall deem the conveyance of the Mortgage Loans
from the Seller to the Depositor not to constitute a sale, the Trustee shall
have a security interest in the Mortgage Loans and in all Mortgage Files
representing such Mortgage Loans and in all funds now or hereafter held by, or
under the control of, a Servicer or the Master Servicer that are collected by
such Servicer or the Master Servicer in connection with the Mortgage Loans,
whether as scheduled installments of principal and interest or as full or
partial prepayments of principal or interest or as Liquidation Proceeds or
Insurance Proceeds or otherwise, and in all proceeds of the foregoing and
proceeds of proceeds (but excluding any fee or other amounts to which such
Servicer is entitled under the applicable Servicing Agreement, or the Master
Servicer or the Depositor is entitled to hereunder); and the Master Servicer
agrees that so long as the Mortgage Loans are assigned to and held by the

                                      103
<PAGE>

Trustee, all documents or instruments constituting part of the Mortgage Files,
and such funds relating to the Mortgage Loans which come into the possession or
custody of, or which are subject to the control of, the Master Servicer or any
Servicer shall be held by the Master Servicer or such Servicer for and on behalf
of the Trustee as the Trustee's agent and bailee for purposes of perfecting the
Trustee's security interest therein as provided by the applicable Uniform
Commercial Code or other laws.

     (d) The Master Servicer agrees that it shall not, and shall not authorize
any Servicer to, create, incur or subject any Mortgage Loans, or any funds that
are deposited in any custodial account, Escrow Account or the Collection
Account, or any funds that otherwise are or may become due or payable to the
Trustee, to any claim, lien, security interest, judgment, levy, writ of
attachment or other encumbrance, nor assert by legal action or otherwise any
claim or right of setoff against any Mortgage Loan or any funds collected on, or
in connection with, a Mortgage Loan.

     Section 9.14. Representations and Warranties of the Master Servicer.

     (a) The Master Servicer hereby represents and warrants to the Depositor and
the Trustee, for the benefit of the Certificateholders, as of the Closing Date
that:

         (i) it is validly existing and in good standing under the jurisdiction
     of its formation, and as Master Servicer has full power and authority to
     transact any and all business contemplated by this Agreement and to
     execute, deliver and comply with its obligations under the terms of this
     Agreement, the execution, delivery and performance of which have been duly
     authorized by all necessary corporate action on the part of the Master
     Servicer;

         (ii) the execution and delivery of this Agreement by the Master
     Servicer and its performance and compliance with the terms of this
     Agreement will not (A) violate the Master Servicer's charter or bylaws, (B)
     violate any law or regulation or any administrative decree or order to
     which it is subject or (C) constitute a default (or an event which, with
     notice or lapse of time, or both, would constitute a default) under, or
     result in the breach of, any material contract, agreement or other
     instrument to which the Master Servicer is a party or by which it is bound
     or to which any of its assets are subject, which violation, default or
     breach would materially and adversely affect the Master Servicer's ability
     to perform its obligations under this Agreement;

         (iii) this Agreement constitutes, assuming due authorization, execution
     and delivery hereof by the other respective parties hereto, a legal, valid
     and binding obligation of the Master Servicer, enforceable against it in
     accordance with the terms hereof, except as such enforcement may be limited
     by bankruptcy, insolvency, reorganization, moratorium and other laws
     affecting the enforcement of creditors' rights in general, and by general
     equity principles (regardless of whether such enforcement is considered in
     a proceeding in equity or at law);

         (iv) the Master Servicer is not in default with respect to any order or
     decree of any court or any order or regulation of any federal, state,
     municipal or governmental

                                      104
<PAGE>

     agency to the extent that any such default would materially and adversely
     affect its performance hereunder;

         (v) the Master Servicer is not a party to or bound by any agreement or
     instrument or subject to any charter provision, bylaw or any other
     corporate restriction or any judgment, order, writ, injunction, decree, law
     or regulation that may materially and adversely affect its ability as
     Master Servicer to perform its obligations under this Agreement or that
     requires the consent of any third person to the execution of this Agreement
     or the performance by the Master Servicer of its obligations under this
     Agreement;

         (vi) no litigation is pending or, to the best of the Master Servicer's
     knowledge, threatened against the Master Servicer which would prohibit its
     entering into this Agreement or performing its obligations under this
     Agreement;

         (vii) the Master Servicer, or an affiliate thereof the primary business
     of which is the servicing of conventional residential mortgage loans, is an
     FNMA- and FHLMC approved seller/servicer;

         (viii) no consent, approval, authorization or order of any court or
     governmental agency or body is required for the execution, delivery and
     performance by the Master Servicer of or compliance by the Master Servicer
     with this Agreement or the consummation of the transactions contemplated by
     this Agreement, except for such consents, approvals, authorizations and
     orders (if any) as have been obtained;

         (ix) the consummation of the transactions contemplated by this
     Agreement are in the ordinary course of business of the Master Servicer;
     and

         (x) the Master Servicer has obtained an Errors and Omissions Insurance
     Policy and a Fidelity Bond in accordance with Section 9.02, each of which
     is in full force and effect, and each of which provides at least such
     coverage as is required hereunder.

     (b) It is understood and agreed that the representations and warranties set
forth in this Section 9.14 shall survive the execution and delivery of this
Agreement. The Master Servicer shall indemnify the Depositor and the Trustee and
hold them harmless against any loss, damages, penalties, fines, forfeitures,
legal fees and related costs, judgments, and other costs and expenses resulting
from any claim, demand, defense or assertion based on or grounded upon, or
resulting from, a breach of the Master Servicer's representations and warranties
contained in Section 9.14(a). Notwithstanding anything in this Agreement to the
contrary, the Master Servicer shall not be liable for special, indirect or
consequential losses or damages of any kind whatsoever (including, but not
limited to, lost profits). It is understood and agreed that the enforcement of
the obligation of the Master Servicer set forth in this Section to indemnify the
Depositor and the Trustee as provided in this Section constitutes the sole
remedy (other than as set forth in Section 6.14) of the Depositor and the
Trustee respecting a breach of the foregoing representations and warranties.
Such indemnification shall survive any termination of the Master Servicer as
Master Servicer hereunder, and any termination of this Agreement.

                                      105
<PAGE>

     Any cause of action against the Master Servicer relating to or arising out
of the breach of any representations and warranties made in this Section shall
accrue upon discovery of such breach by either the Depositor, the Master
Servicer or the Trustee or notice thereof by any one of such parties to the
other parties.

     (c) It is understood and agreed that the representations and warranties of
the Depositor set forth in Sections 2.03(a) through (f) shall survive the
execution and delivery of this Agreement. The Depositor shall indemnify the
Master Servicer and hold it harmless against any loss, damages, penalties,
fines, forfeitures, legal fees and related costs, judgments, and other costs and
expenses resulting from any claim, demand, defense or assertion based on or
grounded upon, or resulting from, a breach of the Depositor's representations
and warranties contained in Sections 2.03(a) through (f) hereof. It is
understood and agreed that the enforcement of the obligation of the Depositor
set forth in this Section to indemnify the Master Servicer as provided in this
Section constitutes the sole remedy of the Master Servicer respecting a breach
by the Depositor of the representations and warranties in Sections 2.03(a)
through (f) hereof.

     Any cause of action against the Depositor relating to or arising out of the
breach of the representations and warranties made in Sections 2.03(a) through
(f) hereof shall accrue upon discovery of such breach by either the Depositor or
the Master Servicer or notice thereof by any one of such parties to the other
parties.

     Section 9.15. Closing Certificate and Opinion.

     On or before the Closing Date, the Master Servicer shall cause to be
delivered to the Depositor and Lehman Brothers Inc. an Opinion of Counsel, dated
the Closing Date, in form and substance reasonably satisfactory to the Depositor
and Lehman Brothers Inc., as to the due authorization, execution and delivery of
this Agreement by the Master Servicer and the enforceability thereof.

     Section 9.16. Standard Hazard and Flood Insurance Policies.

     For each Mortgage Loan (other than a Cooperative Loan), the Master Servicer
shall maintain, or cause to be maintained by each Servicer, standard fire and
casualty insurance and, where applicable, flood insurance, all in accordance
with the provisions of this Agreement and the related Servicing Agreement, as
applicable. It is understood and agreed that such insurance shall be with
insurers meeting the eligibility requirements set forth in the applicable
Servicing Agreement and that no earthquake or other additional insurance is to
be required of any Mortgagor or to be maintained on property acquired in respect
of a defaulted loan, other than pursuant to such applicable laws and regulations
as shall at any time be in force and as shall require such additional insurance.

     Pursuant to Section 4.01, any amounts collected by the Master Servicer, or
by any Servicer, under any insurance policies maintained pursuant to this
Section 9.16 (other than amounts to be applied to the restoration or repair of
the property subject to the related Mortgage or released to the Mortgagor in
accordance with the Master Servicer's or the Servicer's normal servicing
procedures and Accepted Servicing Practices) shall be deposited into the
Collection Account, subject to withdrawal pursuant to Section 4.02. Any cost
incurred by the Master

                                      106
<PAGE>

Servicer or any Servicer in maintaining any such insurance if the Mortgagor
defaults in its obligation to do so shall be added to the amount owing under the
Mortgage Loan where the terms of the Mortgage Loan so permit; provided, however,
that the addition of any such cost shall not be taken into account for purposes
of calculating the distributions to be made to Certificateholders and shall be
recoverable by the Master Servicer or such Servicer pursuant to Section 4.02(v).

     Section 9.17. Presentment of Claims and Collection of Proceeds.

     The Master Servicer shall, or shall cause each Servicer (to the extent
provided in the applicable Servicing Agreement) to, prepare and present on
behalf of the Trustee and the Certificateholders all claims under the Insurance
Policies with respect to the Mortgage Loans, and take such actions (including
the negotiation, settlement, compromise or enforcement of the insured's claim)
as shall be necessary to realize recovery under such policies. Any proceeds
disbursed to the Master Servicer (or disbursed to a Servicer and remitted to the
Master Servicer) in respect of such policies or bonds shall be promptly
deposited in the Collection Account upon receipt, except that any amounts
realized that are to be applied to the repair or restoration of the related
Mortgaged Property or released to the Mortgagor in accordance with the Master
Servicer's or the Servicer's normal servicing procedures need not be so
deposited (or remitted).

     Section 9.18. Maintenance of the Primary Mortgage Insurance Policies.

     (a) The Master Servicer shall not take, or knowingly permit any Servicer
(consistent with the applicable Servicing Agreement) to take, any action that
would result in non-coverage under any applicable Primary Mortgage Insurance
Policy of any loss which, but for the actions of such Master Servicer or
Servicer, would have been covered thereunder. To the extent that coverage is
available, the Master Servicer shall use its best reasonable efforts to keep in
force and effect, or to cause each Servicer to keep in force and effect (to the
extent that the Mortgage Loan requires the Mortgagor to maintain such
insurance), primary mortgage insurance applicable to each Mortgage Loan in
accordance with the provisions of this Agreement and the related Servicing
Agreement, as applicable. The Master Servicer shall not, and shall not permit
any Servicer to, cancel or refuse to renew any such Primary Mortgage Insurance
Policy that is in effect at the date of the initial issuance of the Certificates
and is required to be kept in force hereunder except as required by applicable
law or in accordance with the provisions of this Agreement and the related
Servicing Agreement, as applicable.

     (b) The Master Servicer agrees to present, or to cause each Servicer to
present, on behalf of the Trustee and the Certificateholders, claims to the
insurer under any Primary Mortgage Insurance Policies and, in this regard, to
take such reasonable action as shall be necessary to permit recovery under any
Primary Mortgage Insurance Policies respecting defaulted Mortgage Loans.
Pursuant to Section 4.01, any amounts collected by the Master Servicer or any
Servicer under any Primary Mortgage Insurance Policies shall be deposited in the
Collection Account, subject to withdrawal pursuant to Section 4.02.

                                      107
<PAGE>

     Section 9.19. Trustee To Retain Possession of Certain Insurance Policies
and Documents.

     The Trustee (or its custodian, if any, as directed by the Trustee), shall
retain possession and custody of the originals of the Primary Mortgage Insurance
Policies or certificate of insurance if applicable and any certificates of
renewal as to the foregoing as may be issued from time to time as contemplated
by this Agreement. Until all amounts distributable in respect of the
Certificates have been distributed in full and the Master Servicer otherwise has
fulfilled its obligations under this Agreement, the Trustee (or its custodian,
if any, as directed by the Trustee) shall also retain possession and custody of
each Mortgage File in accordance with and subject to the terms and conditions of
this Agreement. The Master Servicer shall promptly deliver or cause to be
delivered to the Trustee (or its custodian, if any, as directed by the Trustee),
upon the execution or receipt thereof the originals of the Primary Mortgage
Insurance Policies and any certificates of renewal thereof, and such other
documents or instruments that constitute portions of the Mortgage File that come
into the possession of the Master Servicer from time to time.

     Section 9.20. Realization Upon Defaulted Mortgage Loans.

     The Master Servicer shall use its reasonable best efforts to, or to cause
each Servicer to, foreclose upon, repossess or otherwise comparably convert the
ownership of Mortgaged Properties securing such of the Mortgage Loans as come
into and continue in default and as to which no satisfactory arrangements can be
made for collection of delinquent payments, all in accordance with the
applicable Servicing Agreement. Alternatively, the Master Servicer may take, or
authorize any Servicer to take, other actions in respect of a defaulted Mortgage
Loan, which may include (i) accepting a short sale (a payoff of the Mortgage
Loan for an amount less than the total amount contractually owed in order to
facilitate a sale of the Mortgaged Property by the Mortgagor) or permitting a
short refinancing (a payoff of the Mortgage Loan for an amount less than the
total amount contractually owed in order to facilitate refinancing transactions
by the Mortgagor not involving a sale of the Mortgaged Property), (ii) arranging
for a repayment plan or (iii) agreeing to a modification in accordance with
Section 9.04. In connection with such foreclosure or other conversion or action,
the Master Servicer shall, consistent with Section 9.18, follow such practices
and procedures as it shall reasonably determine to be in the best interests of
the Trust Fund and the Certificateholders and which shall be consistent with its
customary practices in performing its general mortgage servicing activities;
provided that the Master Servicer shall not be liable in any respect hereunder
if the Master Servicer is acting in connection with any such foreclosure or
other conversion or action in a manner that is consistent with the provisions of
this Agreement. Neither the Master Servicer, nor any Servicer, shall be required
to expend its own funds or incur other reimbursable charges in connection with
any foreclosure, or attempted foreclosure which is not completed, or toward the
correction of any default on a related senior mortgage loan, or towards the
restoration of any property unless it shall determine (i) that such restoration
and/or foreclosure will increase the proceeds of liquidation of the Mortgage
Loan to the Certificateholders after reimbursement to itself for such expenses
or charges and (ii) that such expenses and charges will be recoverable to it
through Liquidation Proceeds or Insurance Proceeds (as provided in Section
4.02).

                                      108
<PAGE>

     Section 9.21. Compensation to the Master Servicer.

     The Master Servicer shall be entitled to withdraw from the Collection
Account, subject to Section 5.05, the Master Servicing Fee to the extent
permitted by Section 4.02(vi). Servicing compensation in the form of assumption
fees, if any, late payment charges, as collected, if any, or otherwise
(including any Prepayment Penalty Amount) shall be retained by the Master
Servicer (or the applicable Servicer) and shall not be deposited in the
Collection Account. If the Master Servicer does not retain or withdraw the
Master Servicing Fee from the Collection Account as provided herein, the Master
Servicer shall be entitled to direct the Trustee to pay the Master Servicing Fee
to such Master Servicer by withdrawal from the Certificate Account. The Master
Servicer shall be required to pay all expenses incurred by it in connection with
its activities hereunder and shall not be entitled to reimbursement therefor
except as provided in this Agreement. Pursuant to Section 4.01(e), all income
and gain realized from any investment of funds in the Collection Account shall
be for the benefit of the Master Servicer as additional compensation. The
provisions of this Section 9.21 are subject to the provisions of Section
6.14(b).

     Section 9.22. REO Property.

     (a) In the event the Trust Fund acquires ownership of any REO Property in
respect of any Mortgage Loan, the deed or certificate of sale shall be issued to
the Trustee, or to its nominee, on behalf of the Certificateholders. The Master
Servicer shall use its reasonable best efforts to sell, or, to the extent
provided in the applicable Servicing Agreement, cause the applicable Servicer to
sell, any REO Property as expeditiously as possible and in accordance with the
provisions of this Agreement and the related Servicing Agreement, as applicable,
but in all events within the time period, and subject to the conditions set
forth in Article X hereof. Pursuant to its efforts to sell such REO Property,
the Master Servicer shall protect and conserve, or cause the applicable Servicer
to protect and conserve, such REO Property in the manner and to such extent
required by the applicable Servicing Agreement, subject to Article X hereof.

     (b) The Master Servicer shall deposit or cause to be deposited all funds
collected and received by it, or recovered from any Servicer, in connection with
the operation of any REO Property in the Collection Account.

     (c) The Master Servicer and the applicable Servicer, upon the final
disposition of any REO Property, shall be entitled to reimbursement for any
related unreimbursed Advances as well as any unpaid Master Servicing Fees or
Servicing Fees from Liquidation Proceeds received in connection with the final
disposition of such REO Property; provided, that any such unreimbursed Advances
as well as any unpaid Master Servicing Fees or Servicing Fees may be reimbursed
or paid, as the case may be, prior to final disposition, out of any net rental
income or other net amounts derived from such REO Property.

     (d) The Liquidation Proceeds from the final disposition of the REO
Property, net of any payment to the Master Servicer and the applicable Servicer
as provided above, shall be deposited in the Collection Account on or prior to
the Determination Date in the month following receipt thereof (and the Master
Servicer shall provide prompt written notice to the Trustee upon such

                                      109
<PAGE>

deposit) and be remitted by wire transfer in immediately available funds to the
Trustee for deposit into the Certificate Account on the next succeeding Deposit
Date.

     Section 9.23. [Reserved]

     Section 9.24. Reports to the Trustee.

     (a) Not later than 30 days after each Distribution Date, the Master
Servicer shall forward to the Trustee a statement, deemed to have been certified
by a Servicing Officer, setting forth the status of the Collection Account
maintained by the Master Servicer as of the close of business on the related
Distribution Date, indicating that all distributions required by this Agreement
to be made by the Master Servicer have been made (or if any required
distribution has not been made by the Master Servicer, specifying the nature and
status thereof) and showing, for the period covered by such statement, the
aggregate of deposits into and withdrawals from the Collection Account
maintained by the Master Servicer. Copies of such statement shall be provided by
the Master Servicer to the Depositor, Attention: Contract Finance, and, upon
request, any Certificateholders (or by the Trustee at the Master Servicer's
expense if the Master Servicer shall fail to provide such copies (unless (i) the
Master Servicer shall have failed to provide the Trustee with such statement or
(ii) the Trustee shall be unaware of the Master Servicer's failure to provide
such statement)).

     (b) Not later than two Business Days following each Distribution Date, the
Master Servicer shall deliver to the Person designated by the Depositor, in a
format consistent with other electronic loan level reporting supplied by the
Master Servicer in connection with similar transactions, "loan level"
information with respect to the Mortgage Loans as of the related Determination
Date, to the extent that such information has been provided to the Master
Servicer by the Servicers or by the Depositor.

     Section 9.25. Annual Officer's Certificate as to Compliance.

     (a) The Master Servicer shall deliver to the Trustee and the Rating
Agencies on or before August 31 of each year, commencing on August 31, 2002, an
Officer's Certificate, certifying that with respect to the period ending on the
immediately preceding December 31; (i) such Servicing Officer has reviewed the
activities of such Master Servicer during the preceding calendar year or portion
thereof and its performance under this Agreement; (ii) to the best of such
Servicing Officer's knowledge, based on such review, such Master Servicer has
performed and fulfilled its duties, responsibilities and obligations under this
Agreement in all material respects throughout such year, or, if there has been a
default in the fulfillment of any such duties, responsibilities or obligations,
specifying each such default known to such Servicing Officer and the nature and
status thereof, (iii) nothing has come to the attention of such Servicing
Officer to lead such Servicing Officer to believe that any Servicer has failed
to perform any of its duties, responsibilities and obligations under its
Servicing Agreement in all material respects throughout such year, or, if there
has been a material default in the performance or fulfillment of any such
duties, responsibilities or obligations, specifying each such default known to
such Servicing Officer and the nature and status thereof, and (iv) the Master
Servicer has received from each Servicer such Servicer's annual certificate of
compliance and a copy of such Servicer's annual audit report, in each case to
the extent required under the applicable Servicing Agreement, or, if

                                      110
<PAGE>

any such certificate or report has not been received by the Master Servicer, the
Master Servicer is using its best reasonable efforts to obtain such certificate
or report.

     (b) Copies of such statements shall be provided to any Certificateholder
upon request, by the Master Servicer or by the Trustee at the Master Servicer's
expense if the Master Servicer failed to provide such copies (unless (i) the
Master Servicer shall have failed to provide the Trustee with such statement or
(ii) the Trustee shall be unaware of the Master Servicer's failure to provide
such statement).

     Section 9.26. Annual Independent Accountants' Servicing Report.

     If the Master Servicer has, during the course of any fiscal year, directly
serviced any of the Mortgage Loans, then the Master Servicer at its expense
shall cause a nationally recognized firm of independent certified public
accountants to furnish a statement to the Trustee, the Rating Agencies and the
Depositor on or before August 31 of each year, commencing on August 31, 2002, to
the effect that, with respect to the most recently ended fiscal year, such firm
has examined certain records and documents relating to the Master Servicer's
performance of its servicing obligations under this Agreement and pooling and
servicing and trust agreements in material respects similar to this Agreement
and to each other and that, on the basis of such examination conducted
substantially in compliance with the audit program for mortgages serviced for
FHLMC or the Uniform Single Attestation Program for Mortgage Bankers, such firm
is of the opinion that the Master Servicer's activities have been conducted in
compliance with this Agreement, or that such examination has disclosed no
material items of noncompliance except for (i) such exceptions as such firm
believes to be immaterial, (ii) such other exceptions as are set forth in such
statement and (iii) such exceptions that the Uniform Single Attestation Program
for Mortgage Bankers or the Audit Program for Mortgages Serviced by FHLMC
requires it to report. Copies of such statements shall be provided to any
Certificateholder upon request by the Master Servicer, or by the Trustee at the
expense of the Master Servicer if the Master Servicer shall fail to provide such
copies. If such report discloses exceptions that are material, the Master
Servicer shall advise the Trustee whether such exceptions have been or are
susceptible of cure, and will take prompt action to do so.

     Section 9.27. Merger or Consolidation.

     Any Person into which the Master Servicer may be merged or consolidated, or
any Person resulting from any merger, conversion, other change in form or
consolidation to which the Master Servicer shall be a party, or any Person
succeeding to the business of the Master Servicer, shall be the successor to the
Master Servicer hereunder, without the execution or filing of any paper or any
further act on the part of any of the parties hereto, anything herein to the
contrary notwithstanding; provided, however, that the successor or resulting
Person to the Master Servicer shall be a Person that shall be qualified and
approved to service mortgage loans for FNMA or FHLMC and shall have a net worth
of not less than $15,000,000.

     Section 9.28. Resignation of Master Servicer.

     Except as otherwise provided in Sections 9.27 and 9.29 hereof, the Master
Servicer shall not resign from the obligations and duties hereby imposed on it
unless it or the Trustee

                                      111
<PAGE>

determines that the Master Servicer's duties hereunder are no longer permissible
under applicable law or are in material conflict by reason of applicable law
with any other activities carried on by it and cannot be cured. Any such
determination permitting the resignation of the Master Servicer shall be
evidenced by an Opinion of Counsel that shall be Independent to such effect
delivered to the Trustee. No such resignation shall become effective until the
Trustee shall have assumed, or a successor master servicer shall have been
appointed by the Trustee and until such successor shall have assumed, the Master
Servicer's responsibilities and obligations under this Agreement. Notice of such
resignation shall be given promptly by the Master Servicer to the Depositor.

     Section 9.29. Assignment or Delegation of Duties by the Master Servicer.

     Except as expressly provided herein, the Master Servicer shall not assign
or transfer any of its rights, benefits or privileges hereunder to any other
Person, or delegate to or subcontract with, or authorize or appoint any other
Person to perform any of the duties, covenants or obligations to be performed by
the Master Servicer hereunder; provided, however, that the Master Servicer shall
have the right without the prior written consent of the Trustee, the Depositor
or the Rating Agencies to delegate or assign to or subcontract with or authorize
or appoint an Affiliate of the Master Servicer to perform and carry out any
duties, covenants or obligations to be performed and carried out by the Master
Servicer hereunder. In no case, however, shall any such delegation,
subcontracting or assignment to an Affiliate of the Master Servicer relieve the
Master Servicer of any liability hereunder. Notice of such permitted assignment
shall be given promptly by the Master Servicer to the Depositor and the Trustee.
If, pursuant to any provision hereof, the duties of the Master Servicer are
transferred to a successor master servicer, the entire amount of the Master
Servicing Fees and other compensation payable to the Master Servicer pursuant
hereto, including amounts payable to or permitted to be retained or withdrawn by
the Master Servicer pursuant to Section 9.21 hereof, shall thereafter be payable
to such successor master servicer.

     Section 9.30. Limitation on Liability of the Master Servicer and Others.

     Neither the Master Servicer nor any of the directors, officers, employees
or agents of the Master Servicer shall be under any liability to the Trustee or
the Certificateholders for any action taken or for refraining from the taking of
any action in good faith pursuant to this Agreement, or for errors in judgment;
provided, however, that this provision shall not protect the Master Servicer or
any such person against any liability that would otherwise be imposed by reason
of willful misfeasance, bad faith or negligence in its performance of its duties
or by reason of reckless disregard for its obligations and duties under this
Agreement. The Master Servicer and any director, officer, employee or agent of
the Master Servicer shall be entitled to indemnification by the Trust Fund and
will be held harmless against any loss, liability or expense incurred in
connection with any legal action relating to this Agreement or the Certificates
other than any loss, liability or expense incurred by reason of willful
misfeasance, bad faith or negligence in the performance of his or its duties
hereunder or by reason of reckless disregard of his or its obligations and
duties hereunder. The Master Servicer and any director, officer, employee or
agent of the Master Servicer may rely in good faith on any document of any kind
prima facie properly executed and submitted by any Person respecting any matters
arising hereunder. The Master Servicer shall be under no obligation to appear
in, prosecute or defend

                                      112
<PAGE>

any legal action that is not incidental to its duties to master service the
Mortgage Loans in accordance with this Agreement and that in its opinion may
involve it in any expenses or liability; provided, however, that the Master
Servicer may in its sole discretion undertake any such action that it may deem
necessary or desirable in respect to this Agreement and the rights and duties of
the parties hereto and the interests of the Certificateholders hereunder. In
such event, the legal expenses and costs of such action and any liability
resulting therefrom shall be expenses, costs and liabilities of the Trust Fund
and the Master Servicer shall be entitled to be reimbursed therefor out of the
Collection Account it maintains as provided by Section 4.02. Notwithstanding
anything herein to the contrary, the Master Servicer shall have no liability for
the servicing of the Additional Collateral, including, without limitation, the
perfection, continuation, partial release, release, termination, realization
upon, substitution, foreclosure, sale, or any other matter with respect to the
Additional Collateral, or the enforcement of the Additional Collateral Servicing
Agreement.

     Section 9.31. Indemnification; Third-Party Claims.

     The Master Servicer agrees to indemnify the Depositor and the Trustee, and
hold them harmless against any and all claims, losses, penalties, fines,
forfeitures, legal fees and related costs, judgments, and any other costs,
liability, fees and expenses that the Depositor and the Trustee may sustain as a
result of the failure of the Master Servicer to perform its duties and master
service the Mortgage Loans in compliance with the terms of this Agreement. The
Depositor and the Trustee shall immediately notify the Master Servicer if a
claim is made by a third party with respect to this Agreement or the Mortgage
Loans entitling the Depositor or the Trustee to indemnification hereunder,
whereupon the Master Servicer shall assume the defense of any such claim and pay
all expenses in connection therewith, including counsel fees, and promptly pay,
discharge and satisfy any judgment or decree which may be entered against it or
them in respect of such claim.

                                    ARTICLE X

                              REMIC ADMINISTRATION

     Section 10.01. REMIC Administration.

     (a) As set forth in the Preliminary Statement hereto, the Trustee shall
elect REMIC status in accordance with the REMIC Provisions with respect to each
of the Lower Tier REMIC and the Upper Tier REMIC. The Trustee shall make such
elections on Forms 1066 or other appropriate federal tax or information return
for the taxable year ending on the last day of the calendar year in which the
Certificates are issued. For the purposes of such elections, each of the Lower
Tier Interests, other than the Class LT-R Interest, is hereby designated as a
regular interest in the Lower Tier REMIC, and each Certificate, other than the
Class R Certificate, is hereby designated as a regular interest in the Upper
Tier REMIC. The Class LT-R Interest is hereby designated as the sole residual
interest in the Lower Tier REMIC. The Class R Certificate evidences ownership of
the Class LT-R Interest and is also hereby designated as the sole residual
interest in the Upper Tier REMIC.

                                      113
<PAGE>

     (b) The Closing Date is hereby designated as the "Startup Day" of each
REMIC within the meaning of section 86OG(a)(9) of the Code. The latest possible
maturity date for purposes of Treasury Regulation 1.86OG-1(a)(4) will be the
Latest Possible Maturity Date.

     (c) The Trustee shall pay any and all tax related expenses (not including
taxes) of each REMIC, including but not limited to any professional fees or
expenses related to audits or any administrative or judicial proceedings with
respect to such REMIC that involve the Internal Revenue Service or state tax
authorities, but only to the extent that (i) such expenses are ordinary or
routine expenses, including expenses of a routine audit but not expenses of
litigation (except as described in (ii)); or (ii) such expenses or liabilities
(including taxes and penalties) are attributable to the negligence or willful
misconduct of the Trustee in fulfilling its duties hereunder (including its
duties as tax return preparer). The Trustee shall be entitled to reimbursement
of expenses to the extent provided in clause (i) above from the Certificate
Account.

     (d) The Trustee shall prepare, sign and file, all of each REMIC's federal
and state tax and information returns as such REMIC's direct representative. The
expenses of preparing and filing such returns shall be borne by the Trustee. If
any Disqualified Organization acquires any Ownership Interest in a Residual
Certificate, then the Trustee will upon request provide to the Internal Revenue
Service, and to the persons specified in Sections 860E(e)(3) and (6) of the
Code, such information as required in Section 860D(a)(6)(B) of the code needed
to compute the tax imposed under Section 860E(e) of the Code on transfers of
residual interests to disqualified organizations. The Trustee shall be entitled
to additional compensation from such person for the cost of providing such
information.

     (e) The Trustee shall perform on behalf of each REMIC all reporting and
other tax compliance duties that are the responsibility of such REMIC under the
Code, the REMIC Provisions, or other compliance guidance issued by the Internal
Revenue Service or any state or local taxing authority. Among its other duties,
if required by the Code, the REMIC Provisions, or other such guidance, the
Trustee shall provide (i) to the Treasury or other governmental authority such
information as is necessary for the application of any tax relating to the
transfer of a Residual Certificate to any disqualified person or organization
and (ii) to the Certificateholders such information or reports as are required
by the Code or REMIC Provisions.

     (f) The Trustee, the Master Servicer and the Holders of Certificates shall
take any action or cause the REMIC to take any action necessary to create or
maintain the status of such REMIC as a REMIC under the REMIC Provisions and
shall assist each other as necessary to create or maintain such status. Neither
the Trustee, the Master Servicer nor the Holder of any Residual Certificate
shall take any action, cause the REMIC to take any action or fail to take (or
fail to cause to be taken) any action that, under the REMIC Provisions, if taken
or not taken, as the case may be, could (i) endanger the status of such REMIC as
a REMIC or (ii) result in the imposition of a tax upon such REMIC (including but
not limited to the tax on prohibited transactions as defined in Code Section
860F(a)(2) and the tax on prohibited contributions set forth on Section 860G(d)
of the Code) (either such event, an "Adverse REMIC Event") unless the Trustee
and the Master Servicer have received an Opinion of Counsel (at the expense of
the party seeking to take such action) to the effect that the contemplated
action will not endanger such status or result in the imposition of such a tax.
In addition, prior to taking any action with respect to the REMIC or

                                      114
<PAGE>

the assets therein, or causing such REMIC to take any action, which is not
expressly permitted under the terms of this Agreement any Holder of a Residual
Certificate will consult with the Trustee and the Master Servicer, or their
respective designees, in writing, with respect to whether such action could
cause an Adverse REMIC Event to occur with respect to such REMIC, and no such
Person shall take any such action or cause such REMIC to take any such action as
to which the Trustee or the Master Servicer has advised it in writing that an
Adverse REMIC Event could occur.

     (g) Each Holder of a Residual Certificate shall pay when due any and all
taxes imposed on the related REMIC by federal or state governmental authorities.
To the extent that such Trust taxes are not paid by a Residual
Certificateholder, the Trustee shall pay any remaining REMIC taxes out of
current or future amounts otherwise distributable to the Holder of the Residual
Certificate in such REMIC or, if no such amounts are available, out of other
amounts held in the Collection Account, and shall reduce amounts otherwise
payable to holders of regular interests in such REMIC, as the case may be.

     (h) The Trustee shall, for federal income tax purposes, maintain books and
records with respect to each REMIC on a calendar year and on an accrual basis.

     (i) No additional contributions of assets shall be made to any REMIC,
except as expressly provided in this Agreement with respect to eligible
substitute mortgage loans.

     (j) Neither the Trustee nor the Master Servicer shall enter into any
arrangement by which any REMIC will receive a fee or other compensation for
services.

     (k) Upon the request of any Rating Agency, the Trustee shall deliver to
such Rating Agency an Officer's Certificate stating the Trustee's compliance
with the provisions of this Section 10.01 applicable to it.

     Section 10.02. Prohibited Transactions and Activities.

     Neither the Depositor, the Master Servicer nor the Trustee shall sell,
dispose of, or substitute for any of the Mortgage Loans, except in a disposition
pursuant to (i) the foreclosure of a Mortgage Loan, (ii) the bankruptcy of the
Trust Fund, (iii) the termination of each REMIC pursuant to Article VII of this
Agreement, (iv) a substitution pursuant to Article II of this Agreement or (v) a
repurchase of Mortgage Loans pursuant to Article II of this Agreement, nor
acquire any assets for any REMIC, nor sell or dispose of any investments in the
Certificate Account for gain, nor accept any contributions to the REMIC after
the Closing Date, unless it has received an Opinion of Counsel (at the expense
of the party causing such sale, disposition, or substitution) that such
disposition, acquisition, substitution, or acceptance will not (a) affect
adversely the status of such REMIC as a REMIC or of the Certificates other than
the Residual Certificates as the regular interests therein, (b) affect the
distribution of interest or principal on the Certificates, (c) result in the
encumbrance of the assets transferred or assigned to the Trust Fund (except
pursuant to the provisions of this Agreement) or (d) cause such REMIC to be
subject to a tax on prohibited transactions or prohibited contributions pursuant
to the REMIC Provisions.

                                      115
<PAGE>

     Section 10.03. Indemnification with Respect to Certain Taxes and Loss of
REMIC Status.

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

     Section 10.04. REO Property.

     (a) Notwithstanding any other provision of this Agreement, the Master
Servicer, acting on behalf of the Trustee hereunder, shall not (except to the
extent provided in the applicable Servicing Agreement) permit any Servicer to,
rent, lease, or otherwise earn income on behalf of any REMIC with respect to any
REO Property which might cause such REO Property to fail to qualify as
"foreclosure" property within the meaning of section 860G(a)(8) of the Code or
result in the receipt by any REMIC of any "income from non-permitted assets"
within the meaning of section 860F(a)(2) of the Code or any "net income from
foreclosure property" which is subject to tax under the REMIC Provisions unless
the Master Servicer has advised, or has caused the applicable Servicer to
advise, the Trustee in writing to the effect that, under the REMIC Provisions,
such action would not adversely affect the status of the REMIC as a REMIC and
any income generated for such REMIC by the REO Property would not result in the
imposition of a tax upon such REMIC.

     (b) The Master Servicer shall make, or shall cause the applicable Servicer
to make, reasonable efforts to sell any REO Property for its fair market value.
In any event, however, the Master Servicer shall, or shall cause the applicable
Servicer to, dispose of any REO Property within three years from the end of the
calendar year of its acquisition by the Trust Fund unless the Trustee has
received a grant of extension from the Internal Revenue Service to the effect
that, under the REMIC Provisions and any relevant proposed legislation and under
applicable state law, the REMIC may hold REO Property for a longer period
without adversely affecting the REMIC status of such REMIC or causing the
imposition of a Federal or state tax upon such REMIC. If the Trustee has
received such an extension, then (a) the Trustee shall provide a copy of such
extension to the Master Servicer and (b) the Trustee, or the Master Servicer,
acting on its behalf hereunder, shall, or shall cause the applicable Servicer
to, continue to attempt to sell the

                                      116
<PAGE>

REO Property for its fair market value for such period longer than three years
as such extension permits (the "Extended Period"). If the Trustee has not
received such an extension and the Trustee, or the Master Servicer acting on
behalf of the Trustee hereunder, or the applicable Servicer is unable to sell
the REO Property within 33 months after its acquisition by the Trust Fund or if
the Trustee has received such an extension, and the Trustee, or the Master
Servicer acting on behalf of the Trustee hereunder, is unable to sell the REO
Property within the period ending three months before the close of the Extended
Period, the Master Servicer shall, or shall cause the applicable Servicer to,
before the end of the three year period or the Extended Period, as applicable,
(i) purchase such REO Property at a price equal to the REO Property's fair
market value or (ii) auction the REO Property to the highest bidder (which may
be the Master Servicer) in an auction reasonably designed to produce a fair
price prior to the expiration of the three-year period or the Extended Period,
as the case may be.

                                   ARTICLE XI

                            MISCELLANEOUS PROVISIONS

     Section 11.01. Binding Nature of Agreement; Assignment.

     This Agreement shall be binding upon and inure to the benefit of the
parties hereto and their respective successors and permitted assigns.

     Section 11.02. Entire Agreement.

     This Agreement contains the entire agreement and understanding among the
parties hereto with respect to the subject matter hereof, and supersedes all
prior and contemporaneous agreements, understandings, inducements and
conditions, express or implied, oral or written, of any nature whatsoever with
respect to the subject matter hereof. The express terms hereof control and
supersede any course of performance and/or usage of the trade inconsistent with
any of the terms hereof.

     Section 11.03. Amendment.

     (a) This Agreement may be amended from time to time by the Depositor, the
Master Servicer and the Trustee, without notice to or the consent of any of the
Holders, (i) to cure any ambiguity, (ii) to cause the provisions herein to
conform to or be consistent with or in furtherance of the statements made with
respect to the Certificates, the Trust Fund or this Agreement in any Offering
Document; or to correct or supplement any provision herein which may be
inconsistent with any other provisions herein, (iii) to make any other
provisions with respect to matters or questions arising under this Agreement or
(iv) to add, delete, or amend any provisions to the extent necessary or
desirable to comply with any requirements imposed by the Code and the REMIC
Provisions. No such amendment effected pursuant to the preceding sentence shall,
as evidenced by an Opinion of Counsel, adversely affect the status of any REMIC
created pursuant to this Agreement, nor shall such amendment effected pursuant
to clause (iii) of such sentence adversely affect in any material respect the
interests of any Holder. Prior to entering into any amendment without the
consent of Holders pursuant to this paragraph, the Trustee may require an
Opinion of Counsel (at the expense of the party requesting such

                                      117
<PAGE>

amendment) to the effect that such amendment is permitted under this paragraph.
Any such amendment shall be deemed not to adversely affect in any material
respect any Holder if the Trustee receives written confirmation from each Rating
Agency that such amendment will not cause such Rating Agency to reduce, qualify
or withdraw the then current rating assigned to the Certificates (and any
Opinion of Counsel requested by the Trustee in connection with any such
amendment may rely expressly on such confirmation as the basis therefor).

     (b) This Agreement may also be amended from time to time by the Depositor,
the Master Servicer and the Trustee with the consent of the Holders of not less
than 66 2/3% of the Class Principal Amount (or Percentage Interest) of each
Class of Certificates affected thereby for the purpose of adding any provisions
to or changing in any manner or eliminating any of the provisions of this
Agreement or of modifying in any manner the rights of the Holders; provided,
however, that no such amendment shall be made unless the Trustee receives an
Opinion of Counsel, at the expense of the party requesting the change, that such
change will not adversely affect the status of the REMIC as a REMIC or cause a
tax to be imposed on such REMIC; and provided further, that no such amendment
may (i) reduce in any manner the amount of, or delay the timing of, payments
received on Mortgage Loans which are required to be distributed on any
Certificate, without the consent of the Holder of such Certificate or (ii)
reduce the aforesaid percentages of Class Principal Amount (or Percentage
Interest) of Certificates of each Class, the Holders of which are required to
consent to any such amendment without the consent of the Holders of 100% of the
Class Principal Amount (or Class Notional Amount) of each Class of Certificates
affected thereby. For purposes of this paragraph, references to "Holder" or
"Holders" shall be deemed to include, in the case of any Class of Book-Entry
Certificates, the related Certificate Owners.

     (c) Promptly after the execution of any such amendment, the Trustee shall
furnish written notification of the substance of such amendment to each Holder,
the Depositor and to the Rating Agencies.

     (d) It shall not be necessary for the consent of Holders under this Section
11.03 to approve the particular form of any proposed amendment, but it shall be
sufficient if such consent shall approve the substance thereof. The manner of
obtaining such consents and of evidencing the authorization of the execution
thereof by Holders shall be subject to such reasonable regulations as the
Trustee may prescribe.

     (e) Notwithstanding anything to the contrary in any Servicing Agreement,
the Trustee shall not consent to any amendment of any Servicing Agreement except
pursuant to the standards provided in this Section with respect to amendment of
this Agreement.

     Section 11.04. Voting Rights.

     Except to the extent that the consent of all affected Certificateholders is
required pursuant to this Agreement, with respect to any provision of this
Agreement requiring the consent of Certificateholders representing specified
percentages of aggregate outstanding Certificate Principal Amount (or Notional
Amount), Certificates owned by the Depositor, the Master Servicer, the Trustee
or any Servicer or Affiliates thereof are not to be counted so long as such

                                      118
<PAGE>

Certificates are owned by the Depositor, the Master Servicer, the Trustee or any
Servicer or Affiliates thereof.

     Section 11.05. Provision of Information.

     (a) For so long as any of the Certificates of any Series or Class are
"restricted securities" within the meaning of Rule 144(a)(3) under the Act, each
of the Depositor and the Trustee agree to cooperate with each other to provide
to any Certificateholders and to any prospective purchaser of Certificates
designated by such Certificateholder, upon the request of such Certificateholder
or prospective purchaser, any information required to be provided to such holder
or prospective purchaser to satisfy the condition set forth in Rule 144A(d)(4)
under the Act. Any reasonable, out-of-pocket expenses incurred by the Trustee in
providing such information shall be reimbursed by the Depositor.

     (b) The Trustee will provide to any person to whom a Prospectus was
delivered, upon the request of such person specifying the document or documents
requested, (i) a copy (excluding exhibits) of any report on Form 8-K or Form
10-K filed with the Securities and Exchange Commission pursuant to Section
6.20(c) and (ii) a copy of any other document incorporated by reference in the
Prospectus. Any reasonable out-of-pocket expenses incurred by the Trustee in
providing copies of such documents shall be reimbursed by the Depositor.

     (c) On each Distribution Date, the Trustee shall deliver or cause to be
delivered by first class mail to the Depositor, Attention: Contract Finance, a
copy of the report delivered to Certificateholders pursuant to Section 4.03.

     Section 11.06. Governing Law.

     THIS AGREEMENT SHALL BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE
OF NEW YORK, AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER
SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS WITHOUT REGARD TO CONFLICT OF
LAWS PRINCIPLES APPLIED IN NEW YORK.

     Section 11.07. Notices.

     All demands, notices and communications hereunder shall be in writing and
shall be deemed to have been duly given when delivered to such party at the
relevant address, facsimile number or electronic mail address set forth below
(or at such other address, facsimile number or electronic mail address as such
party may designate from time to time by written notice in accordance with this
Section 11.07): (a) in the case of the Depositor, Structured Asset Securities
Corporation, 200 Vesey Street, 12th Floor, New York, New York 10285, Attention:
Mark Zusy, (b) in the case of the Trustee, 180 East Fifth Street, St. Paul,
Minnesota 55101, Attention: Structured Finance, Cendant 2001-6, Attention:
Corporate Trust Services (Cendant 2001-6), telecopy number 410-884-2360, and (c)
in the case of the Master Servicer, Aurora Loan Services Inc., 2530 South Parker
Road, Suite 601, Aurora, Colorado 80014; Attention: Master Servicing, or as to
each party such other address as may hereafter be furnished by such party to the
other parties in writing. Any notice required or permitted to be mailed to a
Holder shall be given by first class mail, postage prepaid, at the address of
such Holder as shown in the Certificate

                                      119
<PAGE>

Register. Any notice so mailed within the time prescribed in this Agreement
shall be conclusively presumed to have been duly given, whether or not the
Holder receives such notice.

     Section 11.08. Severability of Provisions.

     If any one or more of the covenants, agreements, provisions or terms of
this Agreement shall be for any reason whatsoever held invalid, then such
covenants, agreements, provisions or terms shall be deemed severable from the
remaining covenants, agreements, provisions or terms of this Agreement and shall
in no way affect the validity or enforceability of the other provisions of this
Agreement or of the Certificates or the rights of the Holders thereof.

     Section 11.09. Indulgences; No Waivers.

     Neither the failure nor any delay on the part of a party to exercise any
right, remedy, power or privilege under this Agreement shall operate as a waiver
thereof, nor shall any single or partial exercise of any right, remedy, power or
privilege preclude any other or further exercise of the same or of any other
right, remedy, power or privilege, nor shall any waiver of any right, remedy,
power or privilege with respect to any occurrence be construed as a waiver of
such right, remedy, power or privilege with respect to any other occurrence. No
waiver shall be effective unless it is in writing and is signed by the party
asserted to have granted such waiver.

     Section 11.10. Headings Not To Affect Interpretation.

     The headings contained in this Agreement are for convenience of reference
only, and they shall not be used in the interpretation hereof.

     Section 11.11. Benefits of Agreement.

     Nothing in this Agreement or in the Certificates, express or implied, shall
give to any Person, other than the parties to this Agreement and their
successors hereunder and the Holders of the Certificates, any benefit or any
legal or equitable right, power, remedy or claim under this Agreement, except to
the extent specified in Sections 11.14 and 11.15.

     Section 11.12. Special Notices to the Rating Agencies.

     (a) The Depositor shall give prompt notice to the Rating Agencies of the
occurrence of any of the following events of which it has notice:

         (i) any amendment to this Agreement pursuant to Section 11.03;

         (ii) any Assignment by the Master Servicer of its rights hereunder or
     delegation of its duties hereunder;

         (iii) the occurrence of any Event of Default described in Section 6.14;

         (iv) any notice of termination given to the Master Servicer pursuant to
     Section 6.14 and any resignation of the Master Servicer hereunder;

                                      120
<PAGE>

         (v) the appointment of any successor to any Master Servicer pursuant to
     Section 6.14; and

         (vi) the making of a final payment pursuant to Section 7.02.

     (b) All notices to the Rating Agencies provided for this Section shall be
in writing and sent by first class mail, telecopy or overnight courier, as
follows:

     If to Moody's, to:

     Moody's Investor Service
     99 Church Street
     New York, New York  10007
     Attention:  Residential Mortgage Surveillance

     If to Fitch, to:

     Fitch, Inc.
     One State Street Plaza
     New York, New York 10004
     Attention:  Residential Mortgage Surveillance

     (c) The Trustee shall provide or make available to the Rating Agencies
reports prepared pursuant to Section 4.03. In addition, the Trustee shall, at
the expense of the Trust Fund, make available to each Rating Agency such
information as such Rating Agency may reasonably request regarding the
Certificates or the Trust Fund, to the extent that such information is
reasonably available to the Trustee.

     Section 11.13. Counterparts.

     This Agreement may be executed in one or more counterparts, each of which
shall be deemed to be an original, and all of which together shall constitute
one and the same instrument.

                                      121
<PAGE>

     IN WITNESS WHEREOF, the Depositor, the Trustee and the Master Servicer have
caused their names to be signed hereto by their respective officers hereunto
duly authorized as of the day and year first above written.

                                           STRUCTURED ASSET SECURITIES
                                             CORPORATION, as Depositor

                                           By: /s/ Daniel Israeli
                                              ---------------------------------
                                              Name: Daniel Israeli
                                              Title: Vice President

                                           U.S. BANK NATIONAL ASSOCIATION,
                                             as Trustee

                                           By: /s/ Eve D. Kaplan
                                              ---------------------------------
                                              Name: Eve D. Kaplan
                                              Title: Vice President

                                           AURORA LOAN SERVICES INC.,
                                             as Master Servicer

                                           By: /s/ E. Todd Whittemore
                                              ---------------------------------
                                              Name: E. Todd Whittemore
                                              Title: Executive Vice President

<PAGE>

                                    EXHIBIT A
                                    ---------

                              FORMS OF CERTIFICATES

<PAGE>

                                   EXHIBIT B-1
                                   -----------

                      FORM OF TRUSTEE INITIAL CERTIFICATION

                                                          ----------------------
                                                                  [Date]

Structured Asset Securities Corporation
200 Vesey Street
New York, New York 10285

     RE: Trust Agreement, dated as of June 1, 2001, (the "Trust Agreement"),
         between Structured Asset Securities Corporation, as Depositor, Aurora
         Loan Services Inc., as Master Servicer and U.S. Bank National
         Association, as Trustee, with respect to Cendant Mortgage Corporation
         Mortgage Pass-Through Certificates, Series 2001-6

Ladies and Gentlemen:

     In accordance with Section 2.01(a) of the Trust Agreement, subject to
review of the contents thereof, the undersigned, as Trustee, hereby certifies
that it has received the documents listed in Section 2.01(b) of the Trust
Agreement for each Mortgage File pertaining to each Mortgage Loan listed on
Schedule A, to the Trust Agreement.

     Capitalized words and phrases used herein and not otherwise defined herein
shall have the respective meanings assigned to them in the Trust Agreement. This
Certificate is subject in all respects to the terms of Section 2.02 of the Trust
Agreement and the Trust Agreement sections cross-referenced therein.

                                       U.S. BANK NATIONAL ASSOCIATION,
                                         as Trustee

                                       By:
                                          ---------------------------------
                                          Name:
                                          Title:

                                      B-1
<PAGE>

                                   EXHIBIT B-2
                                   -----------

                      FORM OF TRUSTEE INTERIM CERTIFICATION

                                                          ----------------------
                                                                  [Date]

Structured Asset Securities Corporation
200 Vesey Street
New York, New York 10285

     RE: Trust Agreement, dated as of June 1, 2001, (the "Trust Agreement"),
         between Structured Asset Securities Corporation, as Depositor, Aurora
         Loan Services Inc., as Master Servicer and U.S. Bank National
         Association, as Trustee, with respect to Cendant Mortgage Corporation
         Mortgage Pass-Through Certificates, Series 2001-6

Ladies and Gentlemen:

     In accordance with Section 2.02(b) of the Trust Agreement, the undersigned,
as Trustee, hereby certifies that as to each Mortgage Loan listed in the
Mortgage Loan Schedule (other than any Mortgage Loan paid in full or listed on
the attachment hereto) it has received:

         (1) with respect to each Mortgage Loan, the original Mortgage Note
     endorsed without recourse in proper form to the order of the Trustee;

         (2) the original of any guarantee executed in connection with the
     Mortgage Note, assigned to the Trustee;

         (3) with respect to each Mortgage Loan other than a Cooperative Loan,
     the original recorded Mortgage with evidence of recording indicated
     thereon. If, in connection with any Mortgage Loan, the Depositor cannot
     deliver the Mortgage with evidence of recording thereon on or prior to the
     Closing Date because of a delay caused by the public recording office where
     such Mortgage has been delivered for recordation or because such Mortgage
     has been lost, the Depositor shall deliver or cause to be delivered to the
     Trustee (or its custodian), in the case of a delay due to recording, a true
     copy of such Mortgage, pending delivery of the original thereof, together
     with an Officer's Certificate of the Depositor certifying that the copy of
     such Mortgage delivered to the Trustee (or its custodian) is a true copy
     and that the original of such Mortgage has been forwarded to the public
     recording office, or, in the case of a Mortgage that has been lost, a copy
     thereof (certified as provided for under the laws of the appropriate
     jurisdiction) and a written Opinion of Counsel, memorandum of law or other
     written assurance

                                     B-2-1
<PAGE>

     acceptable to the Trustee and the Depositor that an original recorded
     Mortgage is not required to enforce the Trustee's interest in the Mortgage
     Loan;

         (4) The original of each assumption, modification or substitution
     agreement, if any, relating to the Mortgage Loans, or, as to any
     assumption, modification or substitution agreement which cannot be
     delivered on or prior to the Closing Date because of a delay caused by the
     public recording office where such assumption, modification or substitution
     agreement has been delivered for recordation, a photocopy of such
     assumption, modification or substitution agreement, pending delivery of the
     original thereof, together with an Officer's Certificate of the Depositor
     certifying that the copy of such assumption, modification or substitution
     agreement delivered to the Trustee (or its custodian) is a true copy and
     that the original of such agreement has been forwarded to the public
     recording office;

         (5) with respect to each Non-MERS Mortgage Loan other than a
     Cooperative Loan, the original Assignment of Mortgage for each Mortgage
     Loan;

         (6) If applicable, such original intervening assignments of the
     Mortgage, notice of transfer or equivalent instrument (each, an
     "Intervening Assignment"), as may be necessary to show a complete chain of
     assignment from the originator, or, in the case of an Intervening
     Assignment that has been lost, a written Opinion of Counsel acceptable to
     the Trustee that such original Intervening Assignment is not required to
     enforce the Trustee's interest in the Mortgage Loans;

         (7) the original Primary Mortgage Insurance Policy or certificate, if
     private mortgage guaranty insurance is required;

         (8) with respect to each Mortgage Loan other than a Cooperative Loan,
     the original mortgagee title insurance policy or attorney's opinion of
     title and abstract of title;

         (9) the original of any security agreement, chattel mortgage or
     equivalent executed in connection with the Mortgage or as to any security
     agreement, chattel mortgage or their equivalent that cannot be delivered on
     or prior to the Closing Date because of a delay caused by the public
     recording office where such document has been delivered for recordation, a
     photocopy of such document, pending delivery of the original thereof,
     together with an Officer's Certificate of the Depositor certifying that the
     copy of such security agreement, chattel mortgage or their equivalent
     delivered to the Trustee (or its custodian) is a true copy and that the
     original of such document has been forwarded to the public recording
     office;

         (10) with respect to any Cooperative Loan, the Cooperative Loan
     Documents; and

                                     B-2-2
<PAGE>

         (11) in connection with any pledge of Additional Collateral, the
     original additional collateral pledge and security agreement executed in
     connection therewith, assigned to the Trustee.

     The undersigned hereby certifies that as to each Mortgage Loan identified
on the Mortgage Loan Schedule, other than any Mortgage Loan listed on the
attachment hereto, it has reviewed the documents listed above and has determined
that each such document appears regular on its face and appears to relate to the
Mortgage Loan identified in such document.

     Capitalized words and phrases used herein shall have the respective
meanings assigned to them in the Trust Agreement. This Certificate is qualified
in all respects by the terms of said Trust Agreement including, but not limited
to, Section 2.02(b).

                                        U.S. BANK NATIONAL ASSOCIATION,
                                        as Trustee

                                        By:
                                           ------------------------------------
                                           Name:
                                           Title:

                                      B-2-3
<PAGE>

                                   EXHIBIT B-3
                                   -----------

                       FORM OF TRUSTEE FINAL CERTIFICATION

                                                          ----------------------
                                                                  [Date]

Structured Asset Securities Corporation
200 Vesey Street
New York, New York 10285

     RE:  Trust Agreement, dated as of June 1, 2001, (the "Trust Agreement"),
          between Structured Asset Securities Corporation, as Depositor, Aurora
          Loan Services Inc., as Master Servicer and U.S. Bank National
          Association, as Trustee, with respect to Cendant Mortgage Corporation
          Mortgage Pass-Through Certificates, Series 2001-6

Ladies and Gentlemen:

     In accordance with Section 2.02(d) of the Trust Agreement, the undersigned,
as Trustee, hereby certifies that as to each Mortgage Loan listed in the
Mortgage Loan Schedule (other than any Mortgage Loan paid in full or listed on
the attachment hereto) it has received the applicable documents listed in
Section 2.02(b) of the Trust Agreement.

     The undersigned hereby certifies that as to each Mortgage Loan identified
on the Mortgage Loan Schedule, other than any Mortgage Loan listed on the
attachment hereto, it has reviewed the documents listed above and has determined
that each such document appears to be complete and, based on an examination of
such documents, the information set forth in the Mortgage Loan Schedule is
correct.

     Capitalized words and phrases used herein shall have the respective
meanings assigned to them in the Trust Agreement. This Certificate is qualified
in all respects by the terms of said Trust Agreement.

                                        U.S. BANK NATIONAL ASSOCIATION,
                                        as Trustee

                                        By:
                                           ------------------------------------
                                           Name:
                                           Title:

                                     B-3-1
<PAGE>

                                   EXHIBIT B-4
                                   -----------

                               FORM OF ENDORSEMENT

     Pay to the order of U.S. Bank National Association, as trustee (the
"Trustee") under the Trust Agreement dated as of June 1, 2001, among Structured
Asset Securities Corporation, as Depositor, the Trustee and the Master Servicer
relating to Cendant Mortgage Corporation Mortgage Pass-Through Certificates,
Series 2001-6, without recourse.

                                            -----------------------------------
                                                [current signatory on note]

                                            By:
                                               --------------------------------
                                               Name:
                                               Title:

                                     B-4-1
<PAGE>

                                    EXHIBIT C
                                    ---------

                  REQUEST FOR RELEASE OF DOCUMENTS AND RECEIPT

                                                         -----------------------
                                                                    Date

[Addressed to Trustee
or, if applicable, custodian]

     In connection with the administration of the mortgages held by you as
Trustee under a certain Trust Agreement dated as of June 1, 2001 among
Structured Asset Securities Corporation, as Depositor, Aurora Loan Services
Inc., as Master Servicer and you, as Trustee (the "Trust Agreement"), the
undersigned Master Servicer hereby requests a release of the Mortgage File held
by you as Trustee with respect to the following described Mortgage Loan for the
reason indicated below.

     Mortgagor's Name:

     Address:

     Loan No.:

     Reason for requesting file:

     1. Mortgage Loan paid in full. (The Master Servicer hereby certifies that
all amounts received in connection with the loan have been or will be credited
to the Collection Account or the Certificate Account (whichever is applicable)
pursuant to the Trust Agreement.)

     2. The Mortgage Loan is being foreclosed.

     3. Mortgage Loan substituted. (The Master Servicer hereby certifies that a
Qualifying Substitute Mortgage Loan has been assigned and delivered to you along
with the related Mortgage File pursuant to the Trust Agreement.)

     4. Mortgage Loan repurchased. (The Master Servicer hereby certifies that
the Purchase Price has been credited to the Collection Account or the
Certificate Account (whichever is applicable) pursuant to the Trust Agreement.)

     5. Other. (Describe)

     6. California Mortgage Loan expected to be paid in full.

     The undersigned acknowledges that the above Mortgage File will be held by
the undersigned in accordance with the provisions of the Trust Agreement and
will be returned to

                                      C-1
<PAGE>

you within ten (10) days of our receipt of the Mortgage File, except if the
Mortgage Loan has been paid in full, or repurchased or substituted for a
Qualifying Substitute Mortgage Loan (in which case the Mortgage File will be
retained by us permanently) and except if the Mortgage Loan is being foreclosed
or is a California Mortgage Loan specified in #6 above (in which case the
Mortgage File will be returned when no longer required by us for such purpose).

     Capitalized terms used herein shall have the meanings ascribed to them in
the Trust Agreement.

                                            -----------------------------------
                                                 [Name of Master Servicer]

                                            By:
                                               --------------------------------
                                               Name:
                                               Title: Servicing Officer

                                      C-2

<PAGE>

                                   EXHIBIT D-1

          FORM OF RESIDUAL CERTIFICATE TRANSFER AFFIDAVIT (TRANSFEREE)

STATE OF          )
                  )  ss.:
COUNTY OF         )

     [NAME OF OFFICER], _________________ being first duly sworn, deposes and
says:

     1. That he [she] is [title of officer] ________________________ of [name of
Purchaser] _________________________________________ (the "Purchaser"), a
_______________________ [description of type of entity] duly organized and
existing under the laws of the [State of __________] [United States], on behalf
of which he [she] makes this affidavit.

     2. That the Purchaser's Taxpayer Identification Number is ______________.

     3. That the Purchaser is not a "disqualified organization" within the
meaning of Section 860E(e)(5) of the Internal Revenue Code of 1986, as amended
(the "Code") and will not be a "disqualified organization" as of
__________________ [date of transfer], and that the Purchaser is not acquiring a
Residual Certificate (as defined in the Agreement) for the account of, or as
agent (including a broker, nominee, or other middleman) for, any person or
entity from which it has not received an affidavit substantially in the form of
this affidavit. For these purposes, a "disqualified organization" means the
United States, any state or political subdivision thereof, any foreign
government, any international organization, any agency or instrumentality of any
of the foregoing (other than an instrumentality if all of its activities are
subject to tax and a majority of its board of directors is not selected by such
governmental entity), any cooperative organization furnishing electric energy or
providing telephone service to persons in rural areas as described in Code
Section 1381(a)(2)(C), any "electing large partnership" within the meaning of
Section 775 of the Code, or any organization (other than a farmers' cooperative
described in Code Section 521) that is exempt from federal income tax unless
such organization is subject to the tax on unrelated business income imposed by
Code Section 511.

     4. That the Purchaser either (x) is not, and on __________________ [date of
transfer] will not be, an employee benefit plan subject to Section 406 or
Section 407 of the Employee Retirement Income Security Act of 1974, as amended
("ERISA"), or Section 4975 of the Code, the trustee of any such plan or a person
acting on behalf of any such plan or investing the assets of any such plan to
acquire a Residual Certificate; (y) is an insurance company that is purchasing
the Certificate with funds contained in an "insurance company general account"
as defined in Section V(e) of Prohibited Transaction Class Exemption ("PTCE")
95-60 and the purchase and holding of the Certificate are covered under Section
I and III of PTCE 95-60; or (z) herewith delivers to the Trustee and shall
deliver to the Depositor an opinion of counsel (a "Benefit Plan Opinion")
satisfactory to the Trustee and the Depositor, and upon which the Trustee and
the Depositor shall be entitled to rely, to the effect that the purchase or
holding of

                                      D-1-1
<PAGE>

such Residual Certificate by the Investor will not result in the assets of the
Trust Fund being deemed to be plan assets and subject to the prohibited
transaction provisions of ERISA or the Code and will not subject the Trustee or
the Depositor to any obligation in addition to those undertaken by such entities
in the Trust Agreement, which opinion of counsel shall not be an expense of the
Trustee or the Depositor.

     5. That the Purchaser hereby acknowledges that under the terms of the Trust
Agreement (the "Agreement") among Structured Asset Securities Corporation, U.S.
Bank National Association, as Trustee and Aurora Loan Services Inc., as Master
Servicer, dated as of June 1, 2001, no transfer of a Residual Certificate shall
be permitted to be made to any person unless the Depositor and the Trustee have
received a certificate from such transferee containing the representations in
paragraphs 3, 4 and 5 hereof.

     6. That the Purchaser does not hold REMIC residual securities as nominee to
facilitate the clearance and settlement of such securities through electronic
book-entry changes in accounts of participating organizations (such entity, a
"Book-Entry Nominee").

     7. That the Purchaser does not have the intention to impede the assessment
or collection of any federal, state or local taxes legally required to be paid
with respect to such Residual Certificate, and that the Purchaser has provided
financial statements or other financial information requested by the transferor
in connection with the transfer of the Residual Certificate in order to permit
the transferor to assess the financial capability of the Purchaser to pay such
taxes.

     8. That the Purchaser will not transfer a Residual Certificate to any
person or entity (i) as to which the Purchaser has actual knowledge that the
requirements set forth in paragraph 3, paragraph 6 or paragraph 10 hereof are
not satisfied or that the Purchaser has reason to believe does not satisfy the
requirements set forth in paragraph 7 hereof, and (ii) without obtaining from
the prospective Purchaser an affidavit substantially in this form and providing
to the Trustee a written statement substantially in the form of Exhibit G to the
Agreement.

     9. That the Purchaser understands that, as the holder of a Residual
Certificate, the Purchaser may incur tax liabilities in excess of any cash flows
generated by the interest and that it intends to pay taxes associated with
holding such Residual Certificate as they become due.

     10. That the Purchaser (i) is a U.S. Person or (ii) is a Non-U.S. Person
that holds a Residual Certificate in connection with the conduct of a trade or
business within the United States and has furnished the transferor and the
Trustee with an effective Internal Revenue Service Form W-8 ECI (Certificate of
Foreign Person's Claim for exception From Withholding on Income Effectively
Connected with the Conduct of a Trade or Business in the United States) or
successor form at the time and in the manner required by the Code. "Non-U.S.
Person" means any person other than (i) a citizen or resident of the United
States; (ii) a corporation (or entity treated as a corporation for tax purposes)
created or organized in the United States or under the laws of the United States
or of any state thereof, including, for this purpose, the District of Columbia;
(iii) a partnership (or entity treated as a partnership for tax purposes)
organized in the United States or under the laws of the United States or of any
state thereof, including, for this purpose, the District of Columbia (unless
provided otherwise by future Treasury regulations);

                                     D-1-2
<PAGE>

(iv) an estate whose income is includible in gross income for United States
income tax purposes regardless of its source; (v) a trust, if a court within the
United States is able to exercise primary supervision over the administration of
the trust and one or more U.S. Persons have authority to control all substantial
decisions of the trust; (vi) and, to the extent provided in Treasury
regulations, certain trusts in existence prior to August 20, 1996 that are
treated as United States persons prior to such date and elect to continue to be
treated as United States persons.

     11. That the Purchaser agrees to such amendments of the Trust Agreement as
may be required to further effectuate the restrictions on transfer of any
Residual Certificate to such a "disqualified organization," an agent thereof, a
Book-Entry Nominee, or a person that does not satisfy the requirements of
paragraph 7 and paragraph 10 hereof.

     12. That the Purchaser consents to the designation of the Trustee as its
agent to act as "tax matters person" of the Trust Fund pursuant to the Trust
Agreement.

                                     D-1-3
<PAGE>

     IN WITNESS WHEREOF, the Purchaser has caused this instrument to be executed
on its behalf, pursuant to authority of its Board of Directors, by its [title of
officer] this _____ day of __________, 20__.

                                        --------------------------------------
                                                 [name of Purchaser]

                                        By:
                                           -----------------------------------
                                           Name:
                                           Title:

     Personally appeared before me the above-named [name of officer]
________________, known or proved to me to be the same person who executed the
foregoing instrument and to be the [title of officer] _________________ of the
Purchaser, and acknowledged to me that he [she] executed the same as his [her]
free act and deed and the free act and deed of the Purchaser.

     Subscribed and sworn before me this _____ day of __________, 20__.

NOTARY PUBLIC

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

COUNTY OF_____________________

STATE OF_______________________

My commission expires the _____ day of __________, 20__.

                                     D-1-4
<PAGE>

                                   EXHIBIT D-2
                                   -----------

          FORM OF RESIDUAL CERTIFICATE TRANSFER AFFIDAVIT (TRANSFEROR)

                                                              ------------------
                                                                   Date

     Re:  Cendant Mortgage Corporation
          Mortgage Pass-Through Certificates Series 2001-6
          ------------------------------------------------

     _______________________ (the "Transferor") has reviewed the attached
affidavit of _____________________________ (the "Transferee"), and has no actual
knowledge that such affidavit is not true and has no reason to believe that the
information contained in paragraph 7 thereof is not true, and has no reason to
believe that the Transferee has the intention to impede the assessment or
collection of any federal, state or local taxes legally required to be paid with
respect to a Residual Certificate. In addition, the Transferor has conducted a
reasonable investigation at the time of the transfer and found that the
Transferee had historically paid its debts as they came due and found no
significant evidence to indicate that the Transferee will not continue to pay
its debts as they become due.

                                      Very truly yours,

                                      -------------------------------
                                      Name:
                                      Title:

                                     D-2-1
<PAGE>

                                    EXHIBIT E
                                    ---------

                              SERVICING AGREEMENTS

                                      E-1

<PAGE>

                                    EXHIBIT F
                                    ---------

                     FORM OF RULE 144A TRANSFER CERTIFICATE

     Re:   Cendant Mortgage Corporation
           Mortgage Pass-Through Certificates
           Series 2001-6
           ----------------------------------

     Reference is hereby made to the Trust Agreement dated as of June 1, 2001
(the "Trust Agreement") among Structured Asset Securities Corporation, as
Depositor, U.S. Bank National Association, as Trustee and Aurora Loan Services
Inc., as Master Servicer. Capitalized terms used but not defined herein shall
have the meanings given to them in the Trust Agreement.

     This letter relates to $_________ initial Certificate Principal Amount of
Class     Certificates which are held in the form of Definitive Certificates
registered in the name of______________________________________________________
(the "Transferor"). The Transferor has requested a transfer of such Definitive
Certificates for Definitive Certificates of such Class registered in the name of
[insert name of transferee].

     In connection with such request, and in respect of such Certificates, the
Transferor hereby certifies that such Certificates are being transferred in
accordance with (i) the transfer restrictions set forth in the Trust Agreement
and the Certificates and (ii) Rule 144A under the Securities Act to a purchaser
that the Transferor reasonably believes is a "qualified institutional buyer"
within the meaning of Rule 144A purchasing for its own account or for the
account of a "qualified institutional buyer", which purchaser is aware that the
sale to it is being made in reliance upon Rule 144A, in a transaction meeting
the requirements of Rule 144A and in accordance with any applicable securities
laws of any state of the United States or any other applicable jurisdiction.

     This certificate and the statements contained herein are made for your
benefit and the benefit of the Placement Agent and the Depositor.

                                          ------------------------------------
                                                  [Name of Transferor]

                                          By:
                                             ---------------------------------
                                             Name:
                                             Title:

Dated: __________________, ________

                                      F-1
<PAGE>

                                    EXHIBIT G
                                    ---------

                         FORM OF PURCHASER'S LETTER FOR
                        INSTITUTIONAL ACCREDITED INVESTOR

                                                              ------------------
                                                                     Date

Dear Sirs:

     In connection with our proposed purchase of $______________ principal
amount of Mortgage Pass-Through Certificates, Series 2001-6 (the "Privately
Offered Certificates") of Structured Asset Securities Corporation (the
"Depositor") which are held in the form of Definitive Certificates, we confirm
that:

(1)  We understand that the Privately Offered Certificates have not been, and
     will not be, registered under the Securities Act of 1933, as amended (the
     "Securities Act"), and may not be sold except as permitted in the following
     sentence. We agree, on our own behalf and on behalf of any accounts for
     which we are acting as hereinafter stated, that if we should sell any
     Privately Offered Certificates within two years of the later of the date of
     original issuance of the Privately Offered Certificates or the last day on
     which such Privately Offered Certificates are owned by the Depositor or any
     affiliate of the Depositor (which includes the Placement Agent) we will do
     so only (A) to the Depositor, (B) to "qualified institutional buyers"
     (within the meaning of Rule 144A under the Securities Act) in accordance
     with Rule 144A under the Securities Act ("QIBs"), (C) pursuant to the
     exemption from registration provided by Rule 144 under the Securities Act,
     or (D) to an institutional "accredited investor" within the meaning of Rule
     501(a)(1), (2), (3) or (7) of Regulation D under the Securities Act that is
     not a QIB (an "Institutional Accredited Investor") which, prior to such
     transfer, delivers to the Trustee under the Trust Agreement dated as of
     June 1, 2001 among the Depositor, U.S. Bank National Association, as
     Trustee (the "Trustee") and Aurora Loan Services Inc., as Master Servicer,
     a signed letter in the form of this letter; and we further agree, in the
     capacities stated above, to provide to any person purchasing any of the
     Privately Offered Certificates from us a notice advising such purchaser
     that resales of the Privately Offered Certificates are restricted as stated
     herein.

(2)  We understand that, in connection with any proposed resale of any Privately
     Offered Certificates to an Institutional Accredited Investor, we will be
     required to furnish to the Trustee and the Depositor a certification from
     such transferee in the form hereof to confirm that the proposed sale is
     being made pursuant to an exemption from, or in a transaction not subject
     to, the registration requirements of the Securities Act. We further
     understand that the Privately Offered Certificates purchased by us will
     bear a legend to the foregoing effect.

                                      G-1
<PAGE>

(3)  We are acquiring the Privately Offered Certificates for investment purposes
     and not with a view to, or for offer or sale in connection with, any
     distribution in violation of the Securities Act. We have such knowledge and
     experience in financial and business matters as to be capable of evaluating
     the merits and risks of our investment in the Privately Offered
     Certificates, and we and any account for which we are acting are each able
     to bear the economic risk of such investment.

(4)  We are an Institutional Accredited Investor and we are acquiring the
     Privately Offered Certificates purchased by us for our own account or for
     one or more accounts (each of which is an Institutional Accredited
     Investor) as to each of which we exercise sole investment discretion.

(5)  We have received such information as we deem necessary in order to make our
     investment decision.

(6)  If we are acquiring ERISA-Restricted Certificates, we understand that in
     accordance with ERISA, the Code and the Exemption, no Plan and no person
     acting on behalf of such a Plan may acquire such Certificate except in
     accordance with Section 3.03(d) of the Trust Agreement.

     Terms used in this letter which are not otherwise defined herein have the
respective meanings assigned thereto in the Trust Agreement.

                                       G-2
<PAGE>

     You and the Depositor are entitled to rely upon this letter and are
irrevocably authorized to produce this letter or a copy hereof to any interested
party in any administrative or legal proceeding or official inquiry with respect
to the matters covered hereby.

                                         Very truly yours,

                                         ----------------------------------
                                           [Purchaser]

                                         By
                                           --------------------------------
                                           Name:
                                           Title:

                                      G-3
<PAGE>

                                    EXHIBIT H
                                    ---------

                       [FORM OF ERISA TRANSFER AFFIDAVIT]

STATE OF NEW YORK       )
                        )  ss.:
COUNTY OF NEW YORK      )

     The undersigned, being first duly sworn, deposes and says as follows:

     1. The undersigned is the ______________________ of (the "Investor"), a
[corporation duly organized] and existing under the laws of __________, on
behalf of which he makes this affidavit.

     2. The Investor either (x) is not, and on ___________ [date of transfer]
will not be, an employee benefit plan subject to Section 406 or Section 407 of
the Employee Retirement Income Security Act of 1974, as amended ("ERISA"), or
Section 4975 of the Internal Revenue Code of 1986, as amended (the "Code"), the
trustee of any such plan or a person acting on behalf of any such plan or
investing the assets of any such plan; (y) if the Certificate has been the
subject of an ERISA-Qualifying Underwriting, is an insurance company that is
purchasing the Certificate with funds contained in an "insurance company general
account" as defined in Section V(e) of Prohibited Transaction Class Exemption
("PTCE") 95-60 and the purchase and holding of the Certificate are covered under
Section I and III of PTCE 95-60; or (z) herewith delivers to the Trustee and
shall deliver to the Depositor an opinion of counsel (a "Benefit Plan Opinion")
satisfactory to the Trustee and the Depositor, and upon which the Trustee and
the Depositor shall be entitled to rely, to the effect that the purchase or
holding of such Certificate by the Investor will not result in the assets of the
Trust Fund being deemed to be plan assets and subject to the prohibited
transaction provisions of ERISA or the Code and will not subject the Trustee or
the Depositor to any obligation in addition to those undertaken by such entities
in the Trust Agreement, which opinion of counsel shall not be an expense of the
Trustee or the Depositor.

     3. The Investor hereby acknowledges that under the terms of the Trust
Agreement (the "Agreement") among Structured Asset Securities Corporation, as
Depositor, U.S. Bank National Association, as Trustee and Aurora Loan Services
Inc., as Master Servicer, dated as of June 1, 2001, no transfer of the
ERISA-Restricted Certificates shall be permitted to be made to any person unless
the Depositor and Trustee have received a certificate from such transferee in
the form hereof.

                                      H-1
<PAGE>

     IN WITNESS WHEREOF, the Investor has caused this instrument to be executed
on its behalf, pursuant to proper authority, by its duly authorized officer,
duly attested, this ____ day of _______________, 20__.

                                          ------------------------------------
                                             [Investor]

                                          By:
                                             ----------------------------------
                                             Name:
                                             Title:

ATTEST:

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

STATE OF       )
               )  ss.:
COUNTY OF      )

     Personally appeared before me the above-named ___________________, known or
proved to me to be the same person who executed the foregoing instrument and to
be the _________________ of the Investor, and acknowledged that he executed the
same as his free act and deed and the free act and deed of the Investor.

     Subscribed and sworn before me this _____ day of ___________ 20___.

                                           ----------------------------------
                                           NOTARY PUBLIC

                                           My commission expires the
                                           ____ day of __________, 20__.

                                      H-2
<PAGE>

                                    EXHIBIT I
                                    ---------

                            MONTHLY REMITTANCE ADVICE

                                      I-1
<PAGE>

                                    EXHIBIT J
                                    ---------

                      MONTHLY ELECTRONIC DATA TRANSMISSION

                                      J-1

<PAGE>

                                    EXHIBIT K
                                    ---------

                              CUSTODIAL AGREEMENTS

                                      K-1

<PAGE>

                                    EXHIBIT L
                                    ---------

                             Distribution Priorities
                      [excerpt from Prospectus Supplement]

                                       L-1

<PAGE>

                                    EXHIBIT M
                                    ---------

                            SCHEDULED BALANCES TABLES

                                       M-1

<PAGE>

                                   EXHIBIT N-1

                          FORM OF TRANSFER CERTIFICATE
                  FOR TRANSFER FROM RESTRICTED GLOBAL SECURITY
                         TO REGULATION S GLOBAL SECURITY
                   (Transfers pursuant to (section) 3.03(h)(B)
                                of the Agreement)
                         -------------------------------

          Re:  Cendant Mortgage Corporation Mortgage Loan Trust Mortgage
               Pass-Through Certificates, Series 2001-6

     Reference is hereby made to the Trust Agreement (the "Agreement") among
Structured Asset Securities Corporation, as Depositor, Aurora Loan Services
Inc., as Master Servicer, U.S. Bank National Association, as Trustee, dated as
of June 1, 2001. Capitalized terms used but not defined herein shall have the
meanings given to them in the Agreement.

     This letter relates to U.S. $      aggregate principal amount of Securities
which are held in the form of a Restricted Global Security with DTC in the name
of [name of transferor] ____________________________ (the "Transferor") to
effect the transfer of the Securities in exchange for an equivalent beneficial
interest in a Regulation S Global Security.

     In connection with such request, the Transferor does hereby certify that
such transfer has been effected in accordance with the transfer restrictions set
forth in the Agreement and the Securities and in accordance with Rule 904 of
Regulation S, and that:

          a. the offer of the Securities was not made to a person in the United
          States;

          b. at the time the buy order was originated, the transferee was
          outside the United States or the Transferor and any person acting on
          its behalf reasonably believed that the transferee was outside the
          United States;

          c. no directed selling efforts have been made in contravention of the
          requirements of Rule 903 or 904 of Regulation S, as applicable;

          d. the transaction is not part of a plan or scheme to evade the
          registration requirements of the United States Securities Act of 1933,
          as amended; and

          e. the transferee is not a U.S. person (as defined in Regulation S).

     You are entitled to rely upon this letter and are irrevocably authorized to
produce this letter or a copy hereof to any interested party in any
administrative or legal proceedings or official inquiry with respect to the
matters covered hereby. Terms used in this certificate have the meanings set
forth in Regulation S.

                                       N-1

<PAGE>

                                           -------------------------------------
                                           [Name of Transferor]

                                           By:
                                              ----------------------------------
                                              Name:
                                              Title:

Date: _________________, ____

                                      N-2
<PAGE>

                                   EXHIBIT N-2

                    FORM OF TRANSFER CERTIFICATE FOR TRANSFER
                        FROM REGULATION S GLOBAL SECURITY
                          TO RESTRICTED GLOBAL SECURITY
                   (Transfers pursuant to (section) 3.03(h)(C)
                                of the Agreement)
                         -------------------------------

         Re:  Cendant Mortgage Corporation Mortgage Pass-Through Certificates,
              Series 2001-6

     Reference is hereby made to the Trust Agreement (the "Agreement") among
Structured Asset Securities Corporation, as Depositor, Aurora Loan Services
Inc., as Master Servicer, U.S. Bank National Association, as Trustee, dated as
of June 1, 2001. Capitalized terms used but not defined herein shall have the
meanings given to them in the Agreement.

     This letter relates to U.S. $      aggregate principal amount of Securities
which are held in the form of a Regulations S Global Security in the name of
[name of transferor]_______________________________ (the "Transferor") to effect
the transfer of the Securities in exchange for an equivalent beneficial interest
in a Restricted Global Security.

     In connection with such request, and in respect of such Securities, the
Transferor does hereby certify that such Securities are being transferred in
accordance with (i) the transfer restrictions set forth in the Agreement and the
Securities and (ii) Rule 144A under the United States Securities Act of 1933, as
amended, to a transferee that the Transferor reasonably believes is purchasing
the Securities for its own account or an account with respect to which the
transferee exercises sole investment discretion, the transferee and any such
account is a qualified institutional buyer within the meaning of Rule 144A, in a
transaction meeting the requirements of Rule 144A and in accordance with any
applicable securities laws of any state of the United States or any other
jurisdiction.

                                                 -------------------------------
                                                 [Name of Transferor]

                                                 By:
                                                    ----------------------------
                                                    Name:
                                                    Title:

Date: _________________, ____

                                     N-2-1

<PAGE>

                                   SCHEDULE A
                                   ----------

                               ALL MORTGAGE LOANS

                               (by Mortgage Pool)

                                     Sch A-1

<PAGE>

                                   SCHEDULE B
                                   ----------

                      MORTGAGE LOANS WITH RETAINED INTEREST

                                     Sch B-1
<PAGE>

                                   SCHEDULE C
                                   ----------

                          PLEDGED ASSET MORTGAGE LOANS

                                     Sch B-2<PAGE>

                                                                       EXECUTION

                        RECONSTITUTED SERVICING AGREEMENT

         THIS RECONSTITUTED SERVICING AGREEMENT (this "Agreement"), entered into
as of the 1st day of June, 2001, by and between LEHMAN CAPITAL, A DIVISION OF
LEHMAN BROTHERS HOLDINGS INC., a Delaware corporation ("Lehman Capital"), and
CENDANT MORTGAGE CORPORATION, a New Jersey corporation ("Cendant" or the
"Servicer") having an office at 6000 Atrium Way, Mt. Laurel, New Jersey 08054,
recites and provides as follows:

                                    RECITALS

         WHEREAS, Lehman Brothers Bank, FSB ("Lehman Bank") acquired certain
first lien, fixed rate, residential mortgage loans from the Servicer and
Bishop's Gate Residential Mortgage Trust (formerly known as Cendant Residential
Mortgage Trust) ("Bishop's Gate"), which mortgage loans were either originated
or acquired by the Servicer or Bishop's Gate.

         WHEREAS, such mortgage loans are currently being serviced by the
Servicer for Lehman Capital pursuant to a Mortgage Loan Flow Purchase, Sale &
Servicing Agreement (the "Servicing Agreement"), dated as of May 29, 2001 and
annexed as Exhibit B hereto, by and between Lehman Bank, as purchaser, Cendant,
as seller and servicer, and Bishop's Gate, as seller. Lehman Bank has assigned
its rights under the Servicing Agreement to Lehman Capital.

         WHEREAS, pursuant to an Assignment, Assumption and Recognition
Agreement, dated as of June 29, 2001 (the "Assignment and Assumption Agreement")
and effective as of June 1, 2001 and annexed as Exhibit C hereto, Lehman Capital
acquired from Lehman Bank all of Lehman Bank's right, title and interest in and
to certain of the mortgage loans, as identified on Exhibit D-1 (the "Pool 1
Mortgage Loans"), Exhibit D-2 (the "Pool 2 Mortgage Loans") and Exhibit D-3 (the
"Pool 3 Mortgage Loans, and collectively with the Pool 1 Mortgage Loans and the
Pool 2 Mortgage Loans, the "Serviced Mortgage Loans") hereto and assumed for the
benefit of each of the Servicer and Lehman Bank the obligations of Lehman Bank
as owner of the Serviced Mortgage Loans pursuant to such Servicing Agreement.

         WHEREAS, Lehman Capital has conveyed the Serviced Mortgage Loans to
Structured Asset Securities Corporation, a Delaware special purpose corporation
("SASCO"), which in turn has conveyed the Serviced Mortgage Loans to U.S. Bank
National Association (the "Trustee"), pursuant to a trust agreement dated as of
June 1, 2001 (the "Trust Agreement"), among the Trustee, Aurora Loan Services
Inc., as master servicer ("Aurora", and together with any successor Master
Servicer appointed pursuant to the provisions of the Trust Agreement, the
"Master Servicer") and SASCO.

         WHEREAS, Lehman Capital desires that the Servicer continue to service
the Serviced Mortgage Loans, and the Servicer has agreed to do so.

         WHEREAS, Lehman Capital and the Servicer agree that the provisions of
the Servicing Agreement, as amended hereby with respect to the Serviced Mortgage
Loans, shall continue to

<PAGE>

apply to the Mortgage Loans, and shall govern the Serviced Mortgage Loans for so
long as such Serviced Mortgage Loans remain subject to the provisions of the
Trust Agreement.

         WHEREAS, the Master Servicer and any successor master servicer shall be
obligated, among other things, to supervise the servicing of the Serviced
Mortgage Loans on behalf of the Trustee, and shall have the right under the
conditions specified herein to terminate for cause the rights and obligations of
the Servicer under this Agreement.

         WHEREAS, Lehman Capital and the Servicer intend that each of the Master
Servicer and the Trustee is an intended third party beneficiary of this
Agreement.

         NOW, THEREFORE, in consideration of the mutual agreements hereinafter
set forth and for other good and valuable consideration, the receipt and
adequacy of which are hereby acknowledged, Lehman Capital and the Servicer
hereby agree as follows:

                                    AGREEMENT

         1. Definitions. Capitalized terms used and not defined in this
Agreement, including Exhibit A hereto and any provisions of the Servicing
Agreement incorporated by reference herein (regardless of whether such terms are
defined in the Servicing Agreement), shall have the meanings ascribed to such
terms in the Trust Agreement.

         2. Servicing. The Servicer agrees, with respect to the Serviced
Mortgage Loans, to perform and observe the duties, responsibilities and
obligations that are to be performed and observed under the provisions of the
Servicing Agreement, except as otherwise provided herein and on Exhibit A
hereto, and that the provisions of the Servicing Agreement, as so modified, are
and shall be a part of this Agreement to the same extent as if set forth herein
in full.

         3. Master Servicing; Termination of Servicer. The Servicer, including
any successor servicer hereunder, shall be subject to the supervision of the
Master Servicer, which Master Servicer shall be obligated to ensure that the
Servicer services the Serviced Mortgage Loans in accordance with the provisions
of this Agreement. The Master Servicer, acting on behalf of the Trustee and the
CENDANT 2001-6 Trust Fund (the "Trust Fund") created pursuant to the Trust
Agreement, shall have the same rights as Lehman Capital, as purchaser, under the
Servicing Agreement to enforce the obligations of the Servicer under the
Servicing Agreement and the term "Purchaser" as used in the Servicing Agreement
in connection with any rights of the Purchaser shall refer to the Trust Fund or,
as the context requires, the Master Servicer acting in its capacity as agent for
the Trust Fund, except as otherwise specified in Exhibit A hereto. The Master
Servicer shall be entitled to terminate the rights and obligations of the
Servicer under this Agreement upon the failure of the Servicer to perform any of
its obligations under this Agreement, which failure results in an Event of
Default as provided in Article X of the Servicing Agreement. Notwithstanding
anything herein to the contrary, in no event shall the Master Servicer assume
any of the obligations of Lehman Capital under the Servicing Agreement; and in
connection with the performance of the Master Servicer's duties hereunder, the
parties and other signatories hereto agree that the Master Servicer shall be
entitled to all of the rights, protections and limitations of liability afforded
to the Master Servicer under the Trust Agreement.

                                       2
<PAGE>

         4. Compliance with HOEPA. The Servicer is currently in compliance with
the Home Ownership and Equity Protection Act ("HOEPA") and will continue to
operate its business in compliance with HOEPA.

         5. No Representations. Neither the Servicer nor the Master Servicer
shall be obligated or required to make any representations and warranties
regarding the characteristics of the Mortgage Loans (other than those
representations and warranties made in Section 3.03 of the Servicing Agreement)
in connection with the transactions contemplated by the Trust Agreement and
issuance of the Certificates issued pursuant thereto.

         6. Notices. All notices and communications between or among the parties
hereto (including any third party beneficiary thereof) or required to be
provided to the Trustee shall be in writing and shall be deemed received or
given when mailed first-class mail, postage prepaid, addressed to each other
party at its address specified below or, if sent by facsimile or electronic
mail, when facsimile or electronic confirmation of receipt by the recipient is
received by the sender of such notice. Each party may designate to the other
parties in writing, from time to time, other addresses to which notices and
communications hereunder shall be sent.

         All notices required to be delivered to the Master Servicer under this
Agreement shall be delivered to the Master Servicer at the following address:

              Aurora Loan Services Inc.
              2530 South Parker Road
              Suite 601
              Aurora, Colorado  80014
              Attention: E. Todd Whittemore, Master Servicing, CENDANT 2001-6
              Telephone: (303) 632-3422
              Telecopier: (303) 632-3123

         All remittances required to be made to the Master Servicer under this
Agreement shall be made on a scheduled/scheduled basis to the following wire
account:

              The Chase Manhattan Bank
              New York, New York
              ABA#: 021-000-021
              Account Name: Aurora Loan Services Inc., Master Servicing Payment
              Clearing Account
              Account Number: 066-661059
              Beneficiary: Aurora Loan Services Inc.
              For further credit to: CENDANT 2001-6

         All notices required to be delivered to the Trustee hereunder shall be
delivered to the Trustee at the following address:

              U.S. Bank National Association
              180 East Fifth Street
              St. Paul, Minnesota  55101
              Attn: Structured Finance
                    CENDANT 2001-6

                                       3
<PAGE>

         All notices required to be delivered to Lehman Capital hereunder shall
be delivered to Lehman Capital at the following address:

                  Lehman Capital, a Division of Lehman
                    Brothers Holdings Inc.
                  200 Vesey Street
                  New York, New York  10285-0900
                  Attention: Mortgage Backed Finance Department
                  Telephone: (212) 526-7000
                  Telecopier: (212) 526-7209

         All notices required to be delivered to the Servicer hereunder shall be
delivered to the address of its office as set forth in the first paragraph of
this Agreement.

         7. Governing Law. THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN
ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK, NOTWITHSTANDING NEW YORK OR
OTHER CHOICE OF LAW RULES TO THE CONTRARY.

         8. Counterparts. This Agreement may be executed in any number of
counterparts, each of which when so executed shall be deemed to be an original,
but all of which counterparts shall together constitute but one and the same
instrument.

                                       4
<PAGE>
         Executed as of the day and year first above written.

                                   LEHMAN CAPITAL, A DIVISION OF
                                        LEHMAN BROTHERS HOLDINGS INC.,
                                        as Owner

                                   By: /s/ Joseph J. Kelly
                                       -----------------------------------------
                                        Name:  Joseph J. Kelly
                                        Title: Authorized Signatory

                                   CENDANT MORTGAGE CORPORATION,
                                        as Servicer

                                   By: /s/ Joseph Suter
                                       -----------------------------------------
                                        Name:  Joseph Suter
                                        Title: Senior Vice President

ACKNOWLEDGED BY:

AURORA LOAN SERVICES INC.,
     as Master Servicer

By: /s/ E. Todd Whittemore
    -----------------------------------
     Name: E. Todd Whittemore
     Title: Executive Vice President

U.S. BANK NATIONAL ASSOCIATION,
     as Trustee

By: /s/ Eve D. Kaplan
    -----------------------------------
     Name: Eve D. Kaplan
     Title: Vice President

<PAGE>

                                    EXHIBIT A

                    Modifications to the Servicing Agreement

1.       Unless otherwise specified herein, for purposes of this Agreement, any
         provisions of the Servicing Agreement, including definitions, relating
         to (i) representations and warranties of the Purchaser, (ii) the sale
         and purchase of the Mortgage Loans, (iii) Funding Dates and (iv)
         Specially Serviced Mortgage Loans, shall be disregarded. The exhibits
         to the Servicing Agreement and all references to such exhibits shall
         also be disregarded.

2.       For reporting purposes, a Mortgage Loan is "delinquent" when any
         payment contractually due thereon has not been made by the close of
         business on the Due Date therefor. Such Mortgage Loan is "30 days
         Delinquent" if such payment has not been received by the close of
         business on the corresponding day of the month immediately succeeding
         the month in which such payment was first due, or, if there is no such
         corresponding day (e.g., as when a 30-day month follows a 31-day month
         in which a payment was due on the 31st day of such month), then on the
         last day of such immediately succeeding month. Similarly for "60 days
         Delinquent" and the second immediately succeeding month and "90 days
         Delinquent" and the third immediately succeeding month.

3.       A new definition of "Adverse REMIC Event" is hereby added to Article I
         to read as follows:

                  "Adverse REMIC Event": As defined in Article X of the Trust
                  Agreement.

4.       The definition of "Collection Account" is hereby amended to change the
         words "the Purchaser of Mortgage Loans under the Mortgage Loan Flow
         Purchase, Sale & Servicing Agreement, dated as of March 29, 2001" to
         "CENDANT 2001-6 Trust Fund".

5.       The definition of "Cut Off Date" in Article I is hereby amended in its
         entirety to read as follows:

                  "Cut Off Date":  The close of business on June 1, 2001.

6.       The definition of "Eligible Account" is hereby amended and restated in
         its entirety to read as follows:

                  "Eligible Account": One or more accounts that are maintained
                  with (i) a depository the accounts of which are insured by the
                  FDIC and the debt obligations of which are rated AA (or its
                  equivalent) or better by each Rating Agency; (ii) the
                  corporate trust department of any bank the debt obligations of
                  which are rated at least A-1 or its equivalent by each Rating
                  Agency; or (iii) Lehman Brothers Bank, F.S.B., a federal
                  savings bank.

7.       The definition of "Escrow Account" in Article I is hereby amended by
         changing the words "the Purchaser under the Mortgage Loan Flow
         Purchase, Sale and Servicing

<PAGE>

         Agreement, dated as of March 29, 2001 (as amended), and various
         mortgagors" therein to "CENDANT 2001-6 Trust Fund".

8.       The definition of "Mortgage Loan Schedule" in Article I is hereby
         amended in its entirety to read as follows:

                  "Mortgage Loan Schedule": The schedule of Mortgage Loans
                  setting forth certain information with respect to the Mortgage
                  Loans, which Mortgage Loan Schedule is attached as Exhibit D
                  to this Agreement.

9.       A new definition of "Opinion of Counsel" is hereby added to Article I
         to read as follows:

                  "Opinion of Counsel" A written opinion of counsel, who may be
                  an employee of the Servicer, that is reasonably acceptable to
                  the Trustee and the Master Servicer provided that any Opinion
                  of Counsel relating to (a) qualification of the Mortgage Loans
                  in a REMIC or (b) compliance with the REMIC Provisions, must
                  be an opinion of counsel reasonably acceptable to the Trustee
                  and Lehman Capital, who (i) is in fact independent of any
                  Seller, the Servicer and any Master Servicer of the Mortgage
                  Loans, (ii) does not have any material direct or indirect
                  financial interest in the Servicer or any Master Servicer of
                  the Mortgage Loans or in an affiliate of any such entity and
                  (iii) is not connected with any Seller, the Servicer or any
                  Master Servicer of the Mortgage Loans as an officer, employee,
                  director or person performing similar functions.

10.      A new definition of "REMIC Provisions" is hereby added to Article I to
         read as follows:

                  "REMIC Provisions: The provisions of the federal income tax
                  law relating to real estate mortgage investment conduits,
                  which appear at sections 860A through 860G of Subchapter M of
                  Chapter 1 of the Code, and related provisions, and
                  regulations, including proposed regulations and rulings, and
                  administrative pronouncements promulgated thereunder, as the
                  foregoing may be in effect from time to time."

11.      The definition of "REO Property" in Article I is hereby amended by
         replacing the word "Purchaser" with "Trustee on behalf of the Trust
         Fund".

12.      The following new definitions are hereby added to Article I to read as
         follows:

                  "Retained Interest: With respect to each Pool 2 Mortgage Loan
         and each Pool 3 Mortgage Loan, interest in respect of such Mortgage
         Loan retained by the Retained Interest Holder at the Retained Interest
         Rate."

                  "Retained Interest Holder: Cendant, or any successor in
         interest by assignment or otherwise."

                  "Retained Interest Rate: A per annum rate equal to 0.2209%
         with respect to Pool 2 Mortgage Loans, and 0.2147% with respect to Pool
         3 Mortgage Loans."

                                      A-2
<PAGE>

13.      The parties hereto acknowledge that Section 2.02 (Possession of
         Mortgage Files) shall be inapplicable to this Agreement, as superseded
         by the provisions of the Trust Agreement.

14.      The parties hereto acknowledge that Section 2.05 (Transfer of Mortgage
         Loans) of the Servicing Agreement shall be modified to indicate that
         the Custodian shall prepare and execute at the direction of Lehman
         Capital any note endorsements in connection with transfer of the
         Mortgage Loans to the Trust Fund as the owner of the Mortgage Loans and
         that Lehman Capital shall pay for any fees associated with the
         preparation and execution of such note endorsements to the Trust Fund.

15.      For purposes of servicing only, the second, third, fourth and fifth
         paragraphs of Section 3.04 (Repurchase) are hereby restated to read as
         follows:

                  Within 60 days of the earlier of either discovery by or notice
                  to the Servicer of any breach of a representation or warranty
                  set forth in Section 3.02 which materially and adversely
                  affects the ability of the Servicer to perform its duties and
                  obligations under this Agreement or otherwise materially and
                  adversely affects the value of the Mortgage Loans, the
                  Mortgaged Property or the priority of the security interest on
                  such Mortgaged Property, the Servicer shall use its best
                  efforts promptly to cure such breach in all material respects
                  and, if such breach cannot be cured, the Servicer shall, at
                  the Trustee's option, assign the Servicer's rights and
                  obligations under this Agreement (or respecting the affected
                  Mortgage Loans) to a successor Servicer selected by the
                  Trustee with the prior consent and approval of the Master
                  Servicer. Such assignment shall be made in accordance with
                  Section 12.01.

                           In addition, the Servicer shall indemnify (from its
                  own funds) the Trustee, the Trust Fund and the Master Servicer
                  and hold each of them harmless against any costs resulting
                  from any claim, demand, defense or assertion based on or
                  grounded upon, or resulting from, a breach of the Servicer's
                  representations and warranties contained in this Agreement. It
                  is understood and agreed that the remedies set forth in this
                  Section 3.04 constitute the sole remedies of the Master
                  Servicer, the Trust Fund and the Trustee respecting a breach
                  of the foregoing representations and warranties.

                           Any cause of action against the Servicer relating to
                  or arising out of the breach of any representations and
                  warranties made in Section 3.01 shall accrue upon (i)
                  discovery of such breach by the Servicer or notice thereof by
                  the Trustee or Master Servicer to the Servicer, (ii) failure
                  by the Servicer to cure such breach within the applicable cure
                  period, and (iii) demand upon the Servicer by the Trustee or
                  the Master Servicer for compliance with this Agreement

16.      Section 5.01(3)(c)(3) is hereby amended by replacing the word
         "Purchaser" with "Master Servicer".

17.      Section 5.01(3) is hereby amended by adding a new subsections (g) and
         (h) thereto to read as follows:

                                      A-3
<PAGE>

                  "(g) the Servicer shall not, unless default by the related
                  Mortgagor has occurred or is, in the reasonable judgment of
                  the Servicer, imminent, knowingly permit any modification,
                  waiver or amendment of any material term of any Mortgage Loan
                  (including but not limited to the interest rate, the principal
                  balance, the amortization schedule, or any other term
                  affecting the amount or timing of payments on the Mortgage
                  Loan or the collateral therefor) unless the Servicer shall
                  have provided to the Master Servicer and the Trustee an
                  Opinion of Counsel in writing to the effect that such
                  modification, waiver or amendment would not cause an Adverse
                  REMIC Event."

                  "(h) The Servicer or any designee of the Servicer shall not
                  waive any prepayment charge or fee with respect to any
                  Mortgage Loan which contains a prepayment charge and which
                  prepays during the term of the penalty. If the Servicer or its
                  designee fails to collect the prepayment charge upon any
                  prepayment of any Mortgage Loan which contains a prepayment
                  charge, the Servicer shall deposit into the Custodial Account
                  an amount equal to the prepayment charge which was not
                  collected. Notwithstanding the above, the Servicer or its
                  designee may waive a prepayment charge without remitting the
                  amount of the foregone prepayment charge to the Custodial
                  Account if the prepayment is not a result of a refinancing by
                  the Servicer or any of its affiliates and (i) the Mortgage
                  Loan is in default or foreseeable default and the Servicer
                  reasonably believes that such waiver would maximize recovery
                  of total proceeds taking into account the value of such
                  prepayment charge and the related Mortgage Loan or (ii) the
                  collection of the prepayment charge would be in violation of
                  applicable laws."

18.      The parties hereto acknowledge that the reference to each Funding Date
         in the second paragraph of Section 5.04 shall mean the "close of
         business on June 1, 2001."

19.      Section 5.04(10) is hereby amended by adding to the end thereof the
         words ", such deposit to be made from the Servicer's own funds without
         reimbursement therefor."

20.      Section 5.05 is hereby amended by (a) re-numbering subsections (8), (9)
         and (10) thereof as (9), (10) and (11), respectively, and (b) adding a
         new subsection (8) thereto to read as follows:

                           "(8) to pay Retained Interest to the Retained
                  Interest Holder in accordance with Section 6.01(1) hereof."

21.      Section 5.13 is hereby amended by replacing the second paragraph of
         such section thereof with the following:

                  "In the event that the Trust Fund acquires any REO Property in
                  connection with a default or imminent default on a Mortgage
                  Loan, the Servicer shall dispose of such REO Property not
                  later than the end of the third taxable year after the year of
                  its acquisition by the Trust Fund unless the Servicer has
                  applied for and received a grant of extension from the
                  Internal Revenue Service to the effect that, under the

                                      A-4
<PAGE>

                  REMIC Provisions and any relevant proposed legislation and
                  under applicable state law, the Trust Fund may hold REO
                  Property for a longer period without adversely affecting the
                  REMIC status of such REMIC or causing the imposition of a
                  federal or state tax upon such REMIC. If the Servicer has
                  received such an extension, then the Servicer shall continue
                  to attempt to sell the REO Property for its fair market value
                  for such period longer than three years as such extension
                  permits (the "Extended Period"). If the Servicer has not
                  received such an extension and the Servicer is unable to sell
                  the REO Property within the period ending 3 months before the
                  end of such third taxable year after its acquisition by the
                  Trust Fund or if the Servicer has received such an extension,
                  and the Servicer is unable to sell the REO Property within the
                  period ending three months before the close of the Extended
                  Period, the Servicer shall, before the end of the three year
                  period or the Extended Period, as applicable, (i) purchase
                  such REO Property at a price equal to the REO Property's fair
                  market value or (ii) auction the REO Property to the highest
                  bidder (which may be the Servicer) in an auction reasonably
                  designed to produce a fair price prior to the expiration of
                  the three-year period or the Extended Period, as the case may
                  be. The Trustee shall sign any document or take any other
                  action reasonably requested by the Servicer which would enable
                  the Servicer, on behalf of the Trust Fund, to request such
                  grant of extension.

                  Notwithstanding any other provisions of this Agreement, no REO
                  Property acquired by the Trust Fund shall be rented (or
                  allowed to continue to be rented) or otherwise used by or on
                  behalf of the Trust Fund in such a manner or pursuant to any
                  terms that would: (i) cause such REO Property to fail to
                  qualify as "foreclosure property" within the meaning of
                  Section 860G(a)(8) of the Code; or (ii) subject the Trust Fund
                  to the imposition of any federal income taxes on the income
                  earned from such REO Property, including any taxes imposed by
                  reason of Sections 860F or 860G(c) of the Code, unless the
                  Servicer has agreed to indemnify and hold harmless the Trust
                  Fund with respect to the imposition of any such taxes."

22.      Section 5.15 is hereby amended by changing the words "2 years" in the
         last sentence of the third paragraph thereof to "3 years".

23.      Section 6.01 (Remittances) is hereby amended by replacing the word
         "Purchaser" with "Master Servicer" and by replacing paragraphs (1) and
         (2) of such section with the following:

                           "(1) On each Remittance Date, the Servicer shall
                  remit (x) to the Retained Interest Holder, Retained Interest
                  at the related Retained Interest Rate with respect to any Pool
                  2 Mortgage Loan and any Pool 3 Mortgage Loan and (y) to the
                  Purchaser (a) all remaining amounts credited to the Collection
                  Account as of the close of business on the last day of the
                  related Due Period (including (1) the amount of any Payoff,
                  together with interest thereon at the related Remittance Rate
                  to the end of the month in which prepayment of the related
                  Mortgage Loan occurs and (2) all remaining proceeds of any REO
                  Disposition net of amounts

                                      A-5
<PAGE>

                  payable to the Servicer pursuant to Section 5.13), net of
                  charges against or withdrawals from the Collection Account in
                  accordance with Section 5.05, which charges against or
                  withdrawals from the Collection Account the Servicer shall
                  make solely on such Remittance Date, plus (b) all Monthly
                  Advances, if any, which the Servicer is obligated to remit
                  pursuant to Section 6.03; provided that the Servicer shall not
                  be required to remit, until the next following Remittance
                  Date, any amounts attributable to Monthly Payments collected
                  but due on a Due Date or Dates subsequent to the related Due
                  Period.

                           (2) All remittances required to be made to the Master
                  Servicer shall be made to the following wire account or to
                  such other account as may be specified by the Master Servicer
                  from time to time:

                   The Chase Manhattan Bank
                   New York, New York
                   ABA #: 021-000-021
                   Account Name: Aurora Loan Services Inc.
                                 Master Servicing Payment Clearing Account
                   Account Number: 066-611059
                   Beneficiary: Aurora Loan Services Inc.
                   For further credit to:  Aurora Loan Services (CENDANT 2001-6)

24.      Section 6.02 (Reporting) is hereby amended by replacing the word
         "Purchaser" with "Master Servicer" and by replacing the first sentence
         of such section with the following:

                           On or before the 5th calendar day (or, if such day is
                  not a Business Day, on the immediately succeeding Business
                  Day) of each month during the term hereof, the Servicer shall
                  furnish to the Master Servicer (a) a monthly accounting report
                  containing such information in the form of FNMA Form 2010 or
                  such other form as shall be required by the FNMA Guides or by
                  the Master Servicer as to the accompanying remittance and the
                  most recently ended calendar month and (b) all such
                  information required pursuant to clause (a) above on a
                  magnetic tape or other similar media reasonably acceptable to
                  the Master Servicer.

25.      Section 6.03 (Monthly Advances by Servicer) is hereby amended by adding
         the following new sentence immediately following the second sentence of
         such section:

                           Any Prepaid Monthly Payments so used to make Monthly
                  Advances shall be replaced by the Servicer by deposit in the
                  Custodial Account on or before any future Remittance Date if
                  funds in the Custodial Account on such Remittance Date shall
                  be less than payments to the Trust Fund required to be made on
                  such Remittance Date.

26.      Sections 7.04 and 7.05 are hereby amended by replacing the word
         "Purchaser" with "Master Servicer".

27.      Section 9.01 (Indemnification; Third Party Claims) is hereby amended by
         changing the word "Purchaser" to "Master Servicer, Trustee and the
         Trust Fund."

                                      A-6
<PAGE>

28.      Section 9.02 is hereby amended by changing the word "Purchaser" to
         "Trustee" where it appears in the proviso to the second sentence
         thereof.

29.      Section 9.04 (Servicer Not to Resign) is hereby amended in its entirety
         to read as follows:

                           The Servicer shall neither assign this Agreement or
                  the servicing hereunder or delegate its rights or duties
                  hereunder or any portion hereof (to other than a third party
                  in the case of outsourcing routine tasks such as taxes,
                  insurance and property inspection, in which case the Servicer
                  shall fully liable for such tasks as if the Servicer performed
                  them itself) or sell or otherwise dispose of all or
                  substantially all of its property or assets without the prior
                  written consent of the Trustee and the Master Servicer, which
                  consent shall be granted or withheld in the reasonable
                  discretion of such parties, provided, however, that the
                  Servicer may assign its rights and obligations hereunder
                  without prior written consent of the Trustee and the Master
                  Servicer to any entity that is directly owned or controlled by
                  the Servicer, and the Servicer guarantees the performance of
                  such entity hereunder. In the event of such assignment by the
                  Servicer, the Servicer shall provide the Trustee and the
                  Master Servicer with a written statement guaranteeing the
                  successor entity's performance of the Servicer's obligations
                  under the Agreement.

30.      Section 10.01 (Events of Default) is hereby amended by changing the
         words "3 Business Days" in Section 10.01(1) to "1 Business Day", by
         deleting the remainder of Section 10.01(1) and by changing the words
         "45 days" and 45-day" in Section 10.01(2) to "15 days and 15-day"
         respectively.

31.      The parties hereto acknowledge that the remedies set forth in Section
         10.01 may be exercised by either the Master Servicer or the Trustee on
         behalf of the Trust Fund.

32.      Section 11.01 (Term and Termination) is hereby amended by changing the
         references to "Purchaser" in the second and third paragraph of such
         section to "Master Servicer."

33.      Section 11.02 is hereby deleted in its entirety.

34.      Section 12.01 (Successor to the Servicer) is hereby amended in its
         entirety to read as follows:

                           Simultaneously with the termination of the Servicer's
                  responsibilities and duties under this Agreement (a) pursuant
                  to Sections 9.04, 10.01, 11.01 or 11.02, the Master Servicer
                  shall, in accordance with the provisions of the Trust
                  Agreement (i) succeed to and assume all of the Servicer's
                  responsibilities, rights, duties and obligations under this
                  Agreement, or (ii) appoint a successor meeting the eligibility
                  requirements of this Agreement set forth in Section 9.02 and
                  which shall succeed to all rights and assume all of the
                  responsibilities, duties and liabilities of the Servicer under
                  this Agreement with the termination of the Servicer's
                  responsibilities, duties and liabilities under this Agreement.
                  Any successor to the Servicer that is not at that time a
                  Servicer of other Mortgage Loans for the Trust Fund shall be
                  subject to the approval of the Master Servicer,

                                      A-7
<PAGE>

                  Lehman Capital, the Trustee and each Rating Agency (as such
                  term is defined in the Trust Agreement). Unless the successor
                  servicer is at that time a servicer of other mortgage loans
                  for the Trust Fund, each Rating Agency must deliver to the
                  Trustee a letter to the effect that such transfer of servicing
                  will not result in a qualification, withdrawal or downgrade of
                  the then-current rating of any of the Certificates. In
                  connection with such appointment and assumption, the Master
                  Servicer or the Depositor, as applicable, may make such
                  arrangements for the compensation of such successor out of
                  payments on the Mortgage Loans as it and such successor shall
                  agree; provided, however, that no such compensation shall be
                  in excess of that permitted the Servicer under this Agreement.
                  In the event that the Servicer's duties, responsibilities and
                  liabilities under this Agreement should be terminated pursuant
                  to the aforementioned sections, the Servicer shall discharge
                  such duties and responsibilities during the period from the
                  date it acquires knowledge of such termination until the
                  effective date thereof with the same degree of diligence and
                  prudence which it is obligated to exercise under this
                  Agreement, and shall take no action whatsoever that might
                  impair or prejudice the rights or financial condition of its
                  successor. The resignation or removal of the Servicer pursuant
                  to the aforementioned sections shall not become effective
                  until a successor shall be appointed pursuant to this Section
                  12.01 and shall in no event relieve the Servicer of the
                  representations and warranties made pursuant to Section 3.02
                  and the remedies available to the Trustee under Sections 3.04
                  and 9.01, it being understood and agreed that the provisions
                  of such Sections 3.02, 3.04 and 9.01 shall be applicable to
                  the Servicer notwithstanding any such resignation or
                  termination of the Servicer, or the termination of this
                  Agreement.

                           Within a reasonable period of time, but in no event
                  longer than 30 days of the appointment of a successor entity,
                  the Servicer shall prepare, execute and deliver to the
                  successor entity any and all documents and other instruments,
                  place in such successor's possession all Servicing Files, and
                  do or cause to be done all other acts or things necessary or
                  appropriate to effect the purposes of such notice of
                  termination. The Servicer shall cooperate with the Trustee and
                  the Master Servicer, as applicable, and such successor in
                  effecting the termination of the Servicer's responsibilities
                  and rights hereunder and the transfer of servicing
                  responsibilities to the successor Servicer, including without
                  limitation, the transfer to such successor for administration
                  by it of all cash amounts which shall at the time be credited
                  by the Servicer to the Custodial Account or any Escrow Account
                  or thereafter received with respect to the Mortgage Loans.

                           Any successor appointed as provided herein shall
                  execute, acknowledge and deliver to the Trustee, the Servicer
                  and the Master Servicer an instrument (i) accepting such
                  appointment, wherein the successor shall make the
                  representations and warranties set forth in Section 3.02 and
                  (ii) an assumption of the due and punctual performance and
                  observance of each covenant and condition to be performed and
                  observed by the Servicer under this Agreement, whereupon such
                  successor shall become fully vested with all the rights,
                  powers, duties, responsibilities, obligations and liabilities
                  of the Servicer, with like effect as if originally named as a
                  party to this Agreement. Any termination or resignation of

                                      A-8
<PAGE>

                  the Servicer or termination of this Agreement pursuant to
                  Section 12.01 shall not affect any claims that the Master
                  Servicer or the Trustee may have against the Servicer arising
                  out of the Servicer's actions or failure to act prior to any
                  such termination or resignation.

                           The Servicer shall deliver within ten (10) Business
                  Days to the successor Servicer the funds in the Custodial
                  Account and Escrow Account and all Mortgage Loan Documents and
                  related documents and statements held by it hereunder and the
                  Servicer shall account for all funds and shall execute and
                  deliver such instruments and do such other things as may
                  reasonably be required to more fully and definitively vest in
                  the successor all such rights, powers, duties,
                  responsibilities, obligations and liabilities of the Servicer.

                           Upon a successor's acceptance of appointment as such,
                  the Servicer shall notify the Trustee and Master Servicer of
                  such appointment in accordance with the notice procedures set
                  forth herein.

35.      Intended Third Party Beneficiaries. Notwithstanding any provision
         herein to the contrary, the parties to this Agreement agree that it is
         appropriate, in furtherance of the intent of such parties as set forth
         herein, that the Master Servicer and the Trustee receive the benefit of
         the provisions of this Agreement as intended third party beneficiaries
         of this Agreement to the extent of such provisions. The Servicer shall
         have the same obligations to the Master Servicer and the Trustee as if
         they were parties to this Agreement, and the Master Servicer and the
         Trustee shall have the same rights and remedies to enforce the
         provisions of this Agreement as if they were parties to this Agreement.
         The Servicer shall only take direction from the Master Servicer (if
         direction by the Master Servicer is required under this Agreement)
         unless otherwise directed by this Agreement. Notwithstanding the
         foregoing, all rights and obligations of the Master Servicer and the
         Trustee hereunder (other than the right to indemnification) shall
         terminate upon termination of the Trust Agreement and of the Trust Fund
         pursuant to the Trust Agreement.

                                      A-9
<PAGE>

                                    EXHIBIT B

                               Servicing Agreement

<PAGE>

                                    EXHIBIT C

                Assignment, Assumption and Recognition Agreement

<PAGE>

                                   EXHIBIT D-1

                              Pool 1 Mortgage Loans

<PAGE>

                                  EXHIIBIT D-2

                              Pool 2 Mortgage Loans

<PAGE>

                                   EXHIBIT D-3

                              Pool 3 Mortgage Loans

<PAGE>

             MORTGAGE LOAN FLOW PURCHASE, SALE & SERVICING AGREEMENT

                           DATED AS OF MARCH 29, 2001

                                     BETWEEN

                      LEHMAN BROTHERS BANK, FSB, PURCHASER

                                       AND

                        CENDANT MORTGAGE CORPORATION AND

                    BISHOP'S GATE RESIDENTIAL MORTGAGE TRUST
             (FORMERLY KNOWN AS CENDANT RESIDENTIAL MORTGAGE TRUST)
                                     SELLERS

<PAGE>

                                    SCHEDULES

A.       Mortgage Loan Schedule
B.       Content of Mortgage File
         B-1 Purchaser's Mortgage File
         B-2 Servicer's Mortgage File

C.       Cendant Guidelines and Restrictions

                                    EXHIBITS

Exhibit 2.05      Form of Assignment, Assumption and Recognition Agreement
Exhibit 5.03(a)   Report P-4DL
Exhibit 5.03(b)   Report S-5L2
Exhibit 5.03(c)   Form of Notice of Foreclosure
Exhibit 5.04-1    Form of Collection Account Certification
Exhibit 5.04-2    Form of Collection Account Letter Agreement
Exhibit 5.06-1    Form of Escrow Account Certification
Exhibit 5.06-2    Form of Escrow Account Letter Agreement
Exhibit 6.02(a)   Report P-139 - Monthly Statement of Mortgage Accounts
Exhibit 6.02(b)   Report S-50Y - Private Pool Detail Report
Exhibit 6.02(c)   Report S-213 - Summary of Curtailments Made Remittance Report
Exhibit 6.02(d)   Report S-214 - Summary of Paid in Full Remittance Report
Exhibit 6.02(e)   Repot S-215 - Consolidation of Remittance Report
Exhibit 6.02(f)   Report T-62-C - monthly Accounting Report
Exhibit 6.02(g)   Report T-62E - Liquidation Report
Exhibit 8.01      Report P-195 Delinquency Report
Exhibit 9         Custodial Agreement

                                       i

<PAGE>

            MORTGAGE LOAN FLOW PURCHASE, SALE & SERVICING AGREEMENT

         This Mortgage Loan Flow Purchase, Sale & Servicing Agreement, dated as
of March 29, 2001, is entered into between Lehman Brothers Bank, FSB, as the
Purchaser ("Purchaser"), Cendant Mortgage Corporation ("Cendant Mortgage") and
Bishop's Gate Residential Mortgage Trust (formerly known as Cendant Residential
Mortgage Trust) (the "Trust," together with Cendant Mortgage, the "Sellers" and
individually, each a "Seller"), as the Sellers.

                              PRELIMINARY STATEMENT

         1. Cendant Mortgage is engaged in the business, inter alia, of making
loans to individuals, the repayment of which is secured by a first lien mortgage
on such individuals" residences (each, a "MORTGAGE LOAN"). The Trust is engaged
in the business of purchasing such Mortgage Loans from Cendant Mortgage and
selling same to investors.

         2. Purchaser is engaged in the business, inter alia, of purchasing
Mortgage Loans for its own account.

         3. Cendant Mortgage has established certain terms, conditions and loan
programs, as described in Cendant Mortgage's Program and Underwriting Guidelines
(the "Cendant Guide") and Purchaser is willing to purchase Mortgage Loans that
comply with the terms of such terms, conditions and loan programs. The
applicable provisions of the Cendant Guide are attached hereto as Schedule C.

         4. Purchaser and Sellers desire to establish a flow program whereby
Cendant Mortgage will make Mortgage Loans which meet the applicable provisions
of the Cendant Guide, and Purchaser will, on a regular basis, purchase such
Mortgage Loans from Cendant Mortgage or the Trust, as applicable, provided the
parties agree on the price, date and other conditions or considerations as set
forth in this Agreement.

         5. Purchaser and Sellers wish to prescribe the terms and manner of
purchase by the Purchaser and sale by the Sellers of the Mortgage Loans, and the
management and servicing of the Mortgage Loans by Cendant Mortgage, as the
Servicer (the "Servicer"),-in this Agreement.

         NOW, THEREFORE, in consideration of the mutual agreements hereinafter
set forth, the Purchaser and the Sellers agree as follows:

                             ARTICLE I: DEFINITIONS

Section 1.01. Defined Terms.

         Whenever used in this Agreement, the following words and phrases shall
have the following meaning specified in this Article:

         "Affiliate": When used with reference to a specified Person, any Person
that (i) directly or indirectly controls or is controlled by or is under common
control with the specified Person, (ii) is an officer of, partner in or trustee
of, or serves in a similar capacity with respect to, the specified person or of
which the specified Person is an officer, partner or trustee, or with respect

<PAGE>

to which the specified Person serves in a similar capacity, or (iii) directly or
indirectly is the beneficial owner of 10% or more of any class of equity
securities of the specified Person or of which the specified person is directly
or indirectly the owner of 10% or more of any class of equity securities.

         "Agreement": This Mortgage Loan Flow Purchase, Sale & Servicing
Agreement between the Purchaser and the Sellers.

         "ALTA":  The American Land Title Association.

         "Appraised Value": With respect to any Mortgaged Property, the lesser
of: (i) the value thereof as determined by an appraisal made for the originator
of the Mortgage Loan at the time of origination of the Mortgage Loan by an
appraiser who met the minimum requirements of FNMA and FHLMC; or (ii) the
purchase price paid for the related Mortgaged Property by the Mortgagor with the
proceeds of the Mortgage Loan; provided that, in the case of a Refinanced
Mortgage Loan, such value of the Mortgaged Property shall be based solely upon
the value determined by an appraisal made for the originator of such Refinanced
Mortgage Loan at the time of origination of such Refinanced Mortgage Loan by an
appraiser who met the minimum requirements of FNMA an d FHLMC.

         "ARM Loan": An "adjustable rate" Mortgage Loan, the Note Rate of which
is subject to periodic adjustment in accordance with the terms of the Mortgage
Note.

         " Assignment": An individual assignment of a Mortgage, notice of
transfer or equivalent instrument in recordable form, sufficient under the laws
of the jurisdiction wherein the related Mortgaged Property is located to reflect
of record the sale or transfer of .the Mortgage Loan.

         "Bankruptcy Code": The Bankruptcy Reform Act of 1978 (11
U.S.C.ss.ss.101-1330), as amended, modified, or supplemented from time to time,
and any successor statute, and all rules and regulations issued or promulgated
in connection therewith.

         "Business Day": Any day other than (i) a Saturday or Sunday, or (ii) a
day on which the Federal Reserve is closed.

         "Cendant Guide": As defined in paragraph 3 of the Preliminary Statement
to this Agreement.

         "Code": The Internal Revenue Code of 1986, as amended.

         "Collection Account": The separate trust account or accounts created
and maintained pursuant to Section 5.04 which shall be entitled "Cendant
Mortgage Corporation, as servicer and custodian for the Purchaser of Mortgage
Loans under the Mortgage Loan Flow Purchase, Sale & Servicing Agreement, dated
as of March 29, 2001."

         "Condemnation Proceeds": All awards or settlements in respect of a
taking of an entire Mortgaged Property or a part thereof by exercise of the
power of eminent domain or condemnation.

                                       2
<PAGE>

         "Credit Documents": Those documents, comprising part of the Mortgage
File, required of the Mortgagor, as described in Section 2 (Specific Loan
Program Guidelines) of the Guide.

         "Custodian": U.S. Bank Trust National Association

         "Custodial Agreement": The agreement between the Custodian and
Purchaser attached hereto as Exhibit 9.

         "Cut Off Date": The first day of the month in which the related Funding
Date occurs. "Defective Mortgage Loan": As defined in Section 3.04(3).

         "Determination Date": The 15th day of each calendar month, commencing
on the 15th day of the month following the Closing Date, or, if such 15th day is
not a Business Day, the Business Day immediately preceding such 15th day.

         "Due Date": With respect to any Mortgage Loan, the day of the month on
which each Monthly Payment is due thereon, exclusive of any days of grace.

         "Eligible Account": One or more accounts (i) that are maintained with a
depository institution the long-term unsecured debt obligations of which have
been rated by each Rating Agency in one of its two highest rating categories at
the time of any deposit therein, (ii) that are trust accounts with any
depository institution held by the depository institution in its capacity as a
corporate trustee, or (iii) the deposits in which are insured by the FDIC (to
the limits established by the FDIC) and the uninsured deposits in which are
otherwise secured such that the Purchaser has a claim with respect to the funds
in such accounts or a perfected first security interest against any collateral
securing such funds that is superior to claims of any other depositors or
creditors of the depository institution with which such accounts are maintained.
In addition, solely with respect to Mortgage Loans which are not part of a
securitization, "Eligible Account" shall include any accounts that meet the
standards established from time to time by FNMA for eligible custodial
depositories.

         "Environmental Assessment": A "Phase 1" environmental assessment of a
Mortgaged Property prepared by an Independent Person who regularly conducts
environmental assessments and who has any necessary license(s) required by
applicable law and has five years experience in conducting environmental
assessments.

         "Environmental Conditions Precedent to Foreclosure": As defined in
Section 5.15(v).

         "Environmental Laws": All federal, state, and local statutes, laws,
regulations, ordinances, rules, judgments, orders, decrees or other governmental
restrictions relating to the environment or to emissions, discharges or releases
of pollutants, contaminants or industrial, toxic or hazardous substances or
wastes into the environment, including ambient air, surface water, ground water,
or land, or otherwise relating to the manufacture, processing, distribution,
use, treatment, storage, disposal, transport or handling of pollutants,
contaminants or industrial, toxic or hazardous substances or wastes or the
cleanup or other remediation thereof.

         "Escrow Account": The separate trust account or accounts created and
maintained pursuant to Section 5.06 which shall be entitled "Cendant Mortgage
Corporation, as servicer and

                                       3
<PAGE>

custodian for the Purchaser under the Mortgage Loan Flow Purchase, Sale & and
Servicing Agreement, dated as of March 29,2001 (as amended), and various
mortgagors."

         "Escrow Payments": The amounts constituting ground rents, taxes,
assessments, water rates, mortgage insurance premiums, fire and hazard insurance
premiums and other payments required to be escrowed by the Mortgagor with the
mortgagee pursuant to any Mortgage Loan.

         "Event of Default": Anyone of the conditions or circumstances
enumerated in Section 10.01.

         "FDIC": The Federal Deposit Insurance Corporation or any successor
organization.

         "FHLMC": The Federal Home Loan Mortgage Corporation (also known as
Freddie Mac) or any successor organization.

         "FHLMC Servicing Guide": The FHLMC/Freddie Mac Sellers" and Servicers"
Guide in effect on and after the Funding Date.

         "Fidelity Bond": A fidelity bond to be maintained by the Servicer
pursuant to Section 5.12.

         "FNMA": The Federal National Mortgage Association (also known as Fannie
Mae) or any successor organization.

         "FNMA Guide": The FNMA/Fannie Mae Selling Guide and the Servicing
Guide, collectively, in effect on and after the Funding Date.

         "Funding Date": Each date (up to four per month) that Purchaser
purchases Mortgage Loans from the Sellers hereunder.

         "Gross Margin": With respect to each ARM Loan, the fixed percentage
added to the Index on each Rate Adjustment Date, as specified in each related
Mortgage Note and listed in the Mortgage Loan Schedule.

         "Independent": With respect to any specified Person, such Person who:
(i) does not have any direct financial interest or any material indirect
financial interest in the applicable Mortgagor, the Sellers, the Purchaser, or
their Affiliates; and (b) is not connected with the applicable Mortgagor, the
Sellers, the Purchaser, or their respective Affiliates as an officer, employee,
promoter, underwriter, trustee, member, partner, shareholder, director, or
Person performing similar functions.

         "Index": With respect to each ARM Loan, on each Rate Adjustment Date,
the applicable rate index set forth on the Mortgage Loan Schedule, which shall
be an index described on such Mortgage Loan Schedule.

         "Insolvency Proceeding": With respect to any Person: (i) any case,
action, or proceeding with respect to such Person before any court or other
governmental authority relating to bankruptcy, reorganization, insolvency,
liquidation, receivership, dissolution, winding-up, or

                                       4
<PAGE>

relief of debtors; or (ii) any general assignment for the benefit of creditors,
composition, marshaling of assets for creditors, or other, similar arrangement
in respect of the creditors generally of such Person or any substantial portion
of such Person's creditors; in any case undertaken under federal, state or
foreign law, including the Bankruptcy Code.

         "Insurance Proceeds": Proceeds of any Primary Insurance Policy, title
policy, hazard policy or other insurance policy covering a Mortgage Loan, if
any, to the extent such proceeds are not to be applied to the restoration of the
related Mortgaged Property or released to the Mortgagor in accordance with the
procedures that the Servicer would follow in servicing mortgage loans held for
its own or its Affiliates" account or managed by it for third-party
institutional investors.

         "Legal Documents": Those documents, comprising part of the Mortgage
File, set forth in Schedule B-l of this Agreement.

         "Liquidation Proceeds": Amounts, other than Insurance Proceeds and
Condemnation Proceeds, received by the Servicer in connection with the
liquidation of a defaulted Mortgage Loan through trustee's sale, foreclosure
sale or otherwise, other than amounts received following the acquisition of an
REO Property in accordance with the provisions hereof.

         "Loan-to-Value Ratio" or "LTV": With respect to any Mortgage Loan, the
original principal balance of such Mortgage Loan divided by the lesser of the
Appraised Value of the related Mortgaged Property or the purchase price.

         "MAI Appraiser": With respect to any real property, a member of the
American Institute of Real Estate Appraisers with a minimum of 5 years of
experience appraising real property of a type similar to the real property being
appraised and located in the same geographical area as the real property being
appraised.

         "Monthly Advance": The aggregate amount of the advances made by the
Servicer on any Remittance Date pursuant to and as more fully described in
Section 6.03.

         "Monthly Payment": The scheduled monthly payment of principal and
interest on a Mortgage Loan which is payable by a Mortgagor under the related
Mortgage Note.

         "Monthly Period": Initially, the period from the Closing Date through
to and including the first Record Date during the term hereof, and, thereafter,
the period commencing on the day after each Record Date during the term hereof
and ending on the next succeeding Record Date during the term hereof (or, if
earlier, the date on which this Agreement terminates).

         "Mortgage": The mortgage, deed of trust or other instrument securing a
Mortgage Note, which creates a first lien on an unsubordinated estate in fee
simple in real property securing the Mortgage Note.

         "Mortgaged Property": With respect to a Mortgage Loan, the underlying
real property securing repayment of a Mortgage Note, consisting of a fee simple
estate.

                                        5
<PAGE>

         "Mortgage File": With respect to a particular Mortgage Loan, those
origination and servicing documents, escrow documents, and other documents as
are specified on Schedule B to this Agreement.

         "Mortgage Loan": Each individual mortgage loan (including all documents
included in the Mortgage File evidencing the same, all Monthly Payments,
Principal Prepayments, Insurance Proceeds, Condemnation Proceeds, Liquidation
Proceeds, and other proceeds relating thereto, and any and all rights, benefits,
proceeds and obligations arising therefrom or in connection therewith) which is
the subject of this Agreement. The Mortgage Loans subject to this Agreement
shall be identified on Mortgage Loan Schedules prepared in connection with each
Funding Date.

         "Mortgage Loan Remittance Rate": The gross interest rate of the
Mortgage Loans less the Servicing Fee Rate.

         "Mortgage Loan Schedule": The list of Mortgage Loans identified on each
Funding Date that sets forth the information with respect to each Mortgage Loan
that is specified on Schedule A hereto. A Mortgage Loan Schedule will be
prepared for each Funding Date.

         "Mortgage Note": The note or other evidence of the indebtedness of a
Mortgagor secured by a Mortgage.

         "Mortgagor": The obligor on a Mortgage Note.

         "Note Rate": With respect to any Mortgage Loan at any time any
determination thereof is to be made, the annual rate at which interest accrues
thereon.

         "Officers " Certificate": A certificate signed by (i) the President or
a Vice President and (ii) the Treasurer or the Secretary or one of the Assistant
Treasurers or Assistant Secretaries of the Servicer, and delivered by the
Servicer to the Purchaser as required by this Agreement.

         "Payoff": With respect to any Mortgage Loan, any payment or recovery
received in advance of the last scheduled Due Date of such Mortgage Loan, which
payment or recovery consists of principal in an amount equal to the outstanding
principal balance of such Mortgage Loan, all accrued and unpaid prepayment
penalties, premiums, and/or interest with respect thereto, and all other unpaid
sums due with respect to such Mortgage Loan.

         "Permitted Investments": Anyone or more of the obligations and
securities listed below which investment provides for a date of maturity not
later than the Determination Date in each month:

                  (i) direct obligations of, and obligations fully guaranteed
by, the United States of America, or any agency or instrumentality of the United
States of America the obligations of which are backed by the full faith and
credit of the United States of America; and

                  (ii) federal funds, demand and time deposits in, certificates
of deposits of, or bankers" acceptances issued by, any depository institution or
trust company incorporated or organized under the laws of the United States of
America or any state thereof and subject to

                                       6
<PAGE>

supervision ant! examination by federal and/or state banking authorities, so
long as at the time of such investment or contractual commitment providing for
such investment the commercial paper or other short- term debt obligations of
such depository institution or trust company (or, in the case of a depository
institution or trust company which is the principal subsidiary of a holding
company, the commercial paper or other short-term debt obligations of such
holding company) are rated "P-1" by Monody's Investors Service, Inc. and the
long-term debt obligations of such holding company) are rated "P-1" by Monody's
Investors Service, Inc. and the long-term debt obligations of such depository
institution or trust company (or, in the case of a depository institution or
trust company which is the principal subsidiary of a holding company, the
long-term debt obligations of such holding company) are rated at least " Aa" by
Monody's Investors Service, Inc.;

provided, however, that no such instrument shall be an Eligible Investment if
such instrument evidences either (i) a right to receive only interest payments
with respect to the obligations underlying such instrument, or (ii) both
principal and interest payments derived from obligations underlying such
instrument and the principal and interest payments with respect to such
instrument provide a yield to maturity of greater than 120% of the yield to
maturity at par of such underlying obligations. .I "Person": Any individual,
corporation, limited liability company, partnership, joint venture, association,
joint-stock company, trust, incorporated organization or government or any i
agency or political subdivision thereof.

         "Prepaid Monthly Payment": Any Monthly Payment received prior to its
scheduled Due Date and which is intended to be applied to a Mortgage Loan on its
scheduled Due Date.

         "Primary Insurance Policy": Each primary policy of mortgage insurance
in effect with respect to a Mortgage Loan and as so indicated on the Mortgage
Loan Schedule, or any replacement policy therefor obtained by the Servicer
pursuant to Section 5.08.

         "Principal Prepayment": Any payment or other recovery of principal on a
Mortgage Loan (including a Payoff), other than a Monthly Payment or a Prepaid
Monthly Payment which is received in advance of its scheduled Due Date,
including any prepayment penalty or premium thereon, which is not accompanied by
an amount of interest representing scheduled interest due on any date or dates
in any month or months subsequent to the month of prepayment and which is
intended to reduce the principal balance of the Mortgage Loan.

         "Purchaser": Lehman Brothers Bank, PSB, or its successor in interest or
any successor under this Agreement appointed as herein provided.

         "Purchaser's Account": The account of the Purchaser at a bank or other
entity most recently designated in a written notice by the Purchaser to the
Sellers as the "Purchaser's Account. "

         "Purchase Price": as to each Mortgage Loan to be sold hereunder, the
price set forth in the Purchase Price and Terms Letter.

         "Purchase Price and Terms Letter": With respect to each purchase of
Mortgage Loans, that certain letter agreement setting forth the general terms
and conditions of such transaction

                                       7
<PAGE>

and identifying the Mortgage Loans to be purchased thereunder by and between the
Seller and the Purchaser.

         "Qualified Mortgage Insurer": American Guaranty Corporation,
Commonwealth Mortgage Assurance Company, General Electric Mortgage Insurance
Companies, Mortgage Guaranty Insurance Corporation, PMI Mortgage Insurance
Company, Republic Mortgage Insurance Company or United Guaranty Residential
Insurance Corporation.

         "Rate Adjustment Date": With respect to each ARM Loan, the date on
which the Note Rate adjusts.

         "Rating Agency": Standard & Pours Ratings Services, a division of The
McGraw-Hill Companies, Monody's Investors Service, Inc., Pitch Investors
Service, Inc. or Duff & Phelps Credit Rating Co.

         "Record Date": The close of business of the last Business Day of the
month preceding the month of the related Remittance Date.

         "Refinanced Mortgage Loan": A Mortgage Loan that was made to a
Mortgagor who owned the Mortgaged Property prior to the origination of such
Mortgage Loan and the proceeds of which were used in whole or part to satisfy an
existing mortgage.

         "REMIC": A "real estate mortgage investment conduit" within the meaning
of Section 860D of the Internal Revenue Code or any similar tax vehicle
providing for the pooling of assets (such as a Financial Asset Security
Investment Trust).

         "Remittance Date": The 181h day of each calendar month, commencing on
the 181h day of the month following the Closing Date, or, if such 18th day is
not a Business Day, then the next Business Day immediately preceding such 18th
day.

         "Remittance Rate": With respect to each Mortgage Loan, the related Note
Rate minus the Servicing Fee Rate.

         "REO Disposition": The final sale by the Servicer of any REO Property.

         "REO Property": A Mortgaged Property acquired by the Servicer on behalf
of the Purchaser as described in Section 5.13.

         "Repurchase Price": As to (a) any Defective Mortgage Loan required to
be repurchased hereunder with respect to which a breach occurred or (b ) any
Mortgage Loan required to be repurchased pursuant to Section 3.04 and/or Section
7.02, an amount equal to the Unpaid Principal Balance of such Mortgage Loan at
the time of repurchase; plus (2) interest on such Mortgage Loan at the
applicable Note Rate from the last date through which interest has been paid and
distributed to the Purchaser hereunder to the date of repurchase; minus (3) any
amount received in respect of such Defective Mortgage Loan which are being held
in the Collection . Account for future remittance.

                                       8
<PAGE>

         "Scheduled Principal Balance": With respect to any Mortgage Loan, (i)
the outstanding principal balance as of the Funding Date after application of
principal payments due on or before such date whether or not received, minus
(ii) all amounts previously remitted to the Purchaser with respect to such
Mortgage Loan representing (a) payments or other recoveries of principal, or (b)
advances of principal made pursuant to Section 6.03.

         "Sellers": Cendant Mortgage Corporation, a New Jersey corporation and
Bishop's Gate Residential Mortgage Trust (formerly known as Cendant Residential
Mortgage Trust), a Delaware business trust, or their successors in interest or
any successor under this Agreement appointed as herein provided.

         "Servicer": Cendant Mortgage Corporation, a New Jersey corporation.

         "Service Mortgage File": The documents pertaining to a particular
Mortgage Loan which are specified on Exhibit S-l attached hereto and any
additional documents required to be included or added to the "Service Mortgage
File" pursuant to this Agreement.

         "Servicing Advances": All "out of pocket" costs and expenses that are
customary, reasonable and necessary which are incurred by the Servicer in the
performance of its servicing obligations hereunder, including (without
duplication) (i) reasonable attorneys" fees and (ii) the cost of (a) the
preservation, restoration and protection of the Mortgaged Property, (b) any
enforcement or judicial proceedings, including foreclosures, (c) the servicing,
management and liquidation of any Specially Serviced Mortgaged Loans and/or any
REO Property, and (d) compliance with the Service obligations under Section
5.08.

         "Servicing Event": Any of the following events with respect to any
Mortgage Loan: (i) any Monthly Payment being more than 60 days delinquent; (ii)
any filing of an Insolvency Proceeding by or on behalf of the related Mortgagor,
any consent by or on behalf of the related Mortgagor to the filing of an
Insolvency Proceeding against such Mortgagor, or any admission by or on behalf
of such Mortgagor of its inability to pay such Person's debts generally as the
same become due; (iii) any filing of an Insolvency Proceeding against the
related Mortgagor that remains undismissed or unstayed for a period of 60 days
after the filing thereof; (iv) any issuance of any attachment or execution
against, or any appointment of a conservator, receiver or liquidator with
respect to, all or substantially all of the assets of the related Mortgagor or
with respect to any Mortgaged Property; (v) any receipt by the Servicer of
notice of the foreclosure or proposed foreclosure of any other lien on the
related Mortgaged Property; (vi) any proposal of a material modification (as
reasonably determined by the Seller) to such Mortgage Loan due to a default or
imminent default under such Mortgage Loan; or (vii) in the reasonable judgment
of the Servicer, the occurrence, or likely occurrence within 60 days, of a
payment default with respect to such Mortgage Loan that is likely to remain
uncured by the related Mortgagor within 60 days thereafter .

         "Servicing Fee": The annual fee, payable monthly to the Servicer out of
the interest portion of the Monthly Payment actually received on each Mortgage
Loan. The Servicing Fee ! with respect to each Mortgage Loan for any calendar
month (or a portion thereof) shall be 1/12 of the product of (i) the Scheduled
Principal Balance of the Mortgage Loan and (ii) the Servicing Fee Rate
applicable to such Mortgage Loan.

                                       9
<PAGE>

         "Servicing Fee Rate": (i) with respect to any ARM Loan, 0.375% per
annum; 12rovided that, prior to the first Rate Adjustment Date with respect to
any such Mortgage Loan, such rate may be, at the Service option, not less than
0.25% per annum; and (ii) with respect to any Mortgage Loan other than an ARM
Loan, 0.25% per annum. Such rate will be indicated on the Mortgage Loan
Schedule.

         "Servicing Officer": Any officer of the Servicer involved in, or
responsible for, the administration and servicing of the Mortgage Loans whose
name appears on a written list of servicing officers furnished by the Servicer
to the Purchaser upon request therefor by the Purchaser, as such list may from
time to time be amended:

         "Specially Serviced Mortgage Loan": A Mortgage Loan as to which a
Servicing Event has occurred and is continuing.

         "Unpaid Principal Balance": With respect to any Mortgage Loan, at any
time, the actual outstanding principal balance then payable by the Mortgagor
under the terms of the related Mortgage Note.

              ARTICLE II: SALE AND CONVEY ANCE OF MORTGAGE LOANS;
                POSSESSION OF MORTGAGE FILES; BOOKS AND RECORDS;
                       DELIVERY OF MORTGAGE LOAN DOCUMENTS

Section 2.01. Sale and Conveyance of Mortgage Loans.

         Seller agrees to sell and Purchaser agrees to purchase, from time to
time, those certain Mortgage Loans identified in a Mortgage Loan Schedule, on
the price and terms set forth herein. Purchaser, on any Funding Date, shall be
obligated to purchase only such Mortgage Loans set forth in the applicable
Mortgage Loan Schedule, subject to the terms and conditions of this Agreement.

         Purchaser will purchase Mortgage Loan(s) from Seller, from time to time
on such Funding Dates as may be agreed upon by Purchaser and Seller. The closing
shall, at Purchaser's option be either: by telephone, conf1nIled by letter or
wire as the parties shall agree; or conducted in person at such place, as the
parties shall agree. On the Funding Date and subject to the terms and conditions
of this Agreement, each Seller will sell, transfer, assign, set over and convey
to the Purchaser, without recourse except as set forth in this Agreement, and
the Purchaser will purchase, all of the right, title and interest of the
applicable Seller in and to the Mortgage Loans being conveyed by it hereunder,
as identified on the Mortgage Loan Schedule.

         Examination of the Mortgage Files may be made by Purchaser or its
designee as follows. No later than five business days prior to the Funding Date,
Seller will deliver to Purchaser or Custodian Legal Documents required pursuant
to Schedule B. Upon Purchaser's request, Seller shall make the Credit Documents
available to Purchaser for review, at Seller's place of business and during
reasonable business hours. If Purchaser makes such examination prior to the
Funding Date and identifies any Mortgage Loans that do not conform to the
Cendant Guide, such Mortgage Loans will be deleted from the Mortgage Loan
Schedule at Purchaser's discretion. Purchaser may, at its option and without
notice to Seller, purchase all or part of the Mortgage Loans without conducting
any partial or complete examination. The fact that Purchaser has

                                       10
<PAGE>

conducted or has failed to conduct any partial or complete examination of the
Mortgage Loan files shall not affect Purchaser's rights to demand repurchase,
substitution or other relief as provided herein.

         On the Funding Date and in accordance with the terms herein, Purchaser
will pay to Seller, by wire transfer of immediately available funds, the
Purchase Price, together with interest at the Mortgage Loan Remittance Rate from
the Cut-Off Date to the Funding Date, according to the instructions to be
provided, respectively, by Pendent Mortgage and the Trust.

         Purchaser shall be entitled to all scheduled principal due after the
Cut-Off Date, all other recoveries of principal collected after the Funding Date
and all payments of interest on the Mortgage Loans (minus that portion of any
such payment which is allocable to the period prior to the Funding Date). The
principal balance of each Mortgage Loan as of the Funding Date is determined
after application of payments of principal due on or before the Funding Date
whether or not collected. Therefore, payments of scheduled principal and
interest prepaid for a due date beyond the Funding Date shall not be applied to
the principal balance as of the Funding Date. Such prepaid amounts shall be the
property of Purchaser. Seller shall hold any such prepaid amounts for the
benefit of Purchaser for subsequent remittance by Seller to Purchaser. All
scheduled payments of principal due on or before the Funding Date and collected
by Seller after the Funding Date shall belong to Seller.

Section 2.02. Possession of Mortgage Files.

         Upon the sale of any Mortgage Loan, the ownership of such Mortgage
Loan, including the Mortgage Note, the Mortgage, the contents of the related
Mortgage File and all rights, benefits, payments, proceeds and obligations
arising therefrom or in connection therewith, shall then be vested in the
Purchaser, and the ownership of all records and documents with respect to such
Mortgage Loan prepared by or which come into the possession of the Seller shall
immediately vest in the Purchaser and, to the extent retained by the Seller,
shall be retained and maintained, in trust, by the Seller at the will of the
Purchaser in a custodial capacity only. The contents of such Mortgage File not
delivered to the Purchaser or Purchaser's designee are and shall be held in
trust by the Seller for the benefit of the Purchaser as the owner thereof and
the Sellers" possession of the contents of each Mortgage File so retained is at
the will of the Purchaser for the sole purpose of servicing the related Mortgage
Loan, and such retention and possession by the Seller is in a custodial capacity
only. Mortgage Files shall be maintained separately from the other books and
records of the Seller. Each Seller shall release from its custody of the
contents of any Mortgage File only in accordance with written instructions from
the Purchaser, except where such release is required as incidental to the
Service servicing of . the Mortgage Loans or is in connection with a repurchase
of any such Mortgage Loan pursuant to Section 3.04.

Any documents released to a Seller or the Servicer in connection with the
foreclosure or servicing of any Mortgage Loan shall be held by such Person in
trust for the benefit of the Purchaser in accordance with this Section 2.02.
Such Person shall return to the Purchaser such documents when such Person's need
therefor in connection with such foreclosure or servicing no longer exists
(unless sooner requested by the Purchaser); provided that, if such Mortgage Loan
is liquidated, then, upon the delivery by a Seller or the Servicer to the
Purchaser of a request for the

                                       11
<PAGE>

release of such documents and a certificate certifying as to such liquidation,
the Purchaser shall promptly release and, to the extent necessary, deliver to
such Person such documents.

At the option of Purchaser, the Mortgage Files shall be held by the Custodian in
accordance with the terms of the Custodial Agreement.

Section 2.03. Books and Records.

         The sale of each of its Mortgage Loans shall be reflected on the
applicable Seller's balance sheet and other financial statements as a sale of
assets by the applicable Seller. Each Seller shall be responsible for
maintaining, and shall maintain, a complete set of books and records for the
Mortgage Loans it conveyed to the Purchaser which shall be clearly marked to
reflect the sale of each Mortgage Loan to the Purchaser and the ownership of
each Mortgage Loan by the Purchaser .

Section 2.04. Defective Documents; Delivery of Mortgage Loan Documents.

         Subsequent to the Funding Date, if the Purchaser or either Seller finds
any document or documents constituting a part of a Mortgage File to be defective
or missing in any material respect (in this Section 2.04, a "Defect"), the party
discovering such Defect shall promptly so notify the other parties. If the
Defect pertains to the Mortgage Note or the Mortgage, then the applicable Seller
shall have a period of 45 days within which to correct or cure any such defect
after the earlier of such Seller's discovery of same or such Seller being
notified of same. If such Defect can ultimately be cured but is not reasonably
expected to be cured within such 45 day period, such Seller shall have such
additional time as is reasonably determined by the Purchaser to cure or correct
such Defect provided that such Seller has commenced curing or correcting such
Defect and is diligently pursuing same. If the Defect pertains to any other
document constituting a part of a Mortgage File, then such Seller shall have a
period of 90 days within which to correct or cure any such Defect after the
earlier of such Seller's discovery of same or such Seller being notified of
same. If such Defect can ultimately be cured but is not reasonably expected to
be cured within the 90 day period, then such Seller shall have such additional
time as is reasonably determined by the Purchaser to cure or correct such Defect
provided such Seller has commenced curing or correcting such Defect and is
diligently pursuing same. Cendant Mortgage hereby covenants and agrees that, if
any material Defect cannot be corrected or cured, the related Mortgage Loan
shall automatically constitute, upon the expiration of the applicable cure
period described above and without any further action by any other party, a
Defective Mortgage Loan, whereupon Cendant Mortgage shall repurchase such
Mortgage Loan by paying to the Purchaser . the Repurchase Price therefor in
accordance with Section 3.04(3).

         The applicable Seller will, with respect to each Mortgage Loan to be
purchased by the Purchaser, deliver and release to the Purchaser the Legal
Documents as set forth in Section 2.01. If the applicable Seller cannot deliver
an original Mortgage with evidence of recording thereon, original assumption,
modification and substitution agreements with evidence of recording thereon or
an original intervening assignment with evidence of recording thereon within the
applicable time periods, then such Seller shall promptly deliver to the
Purchaser such original Mortgages and original intervening assignments with
evidence of recording indicated thereon upon receipt thereof from the public
recording official, except in cases where the original

                                       12
<PAGE>

Mortgage or original intervening assignments are retained permanently by the
recording office, in which case, such Seller shall deliver a copy of such
Mortgage or intervening assignment, as the case may be, certified to be a true
and complete copy of the recorded original thereof.

         If the original Mortgage was not delivered pursuant to the preceding
paragraph, then the applicable Seller shall use its best efforts to promptly
secure the delivery of such originals and shall cause such originals to be
delivered to the Purchaser promptly upon receipt thereof. Notwithstanding the
foregoing, if the original Mortgage, original assumption, modification, and
substitution agreements, the original of any intervening assignment or the
original policy of title insurance is not so delivered to the Purchaser within
180 days following the Funding Date, then, upon written notice by the Purchaser
to Cendant Mortgage, the Purchaser may, in its sole discretion, then elect (by
providing written notice to Cendant Mortgage) to treat such Mortgage Loan as a
Defective Mortgage Loan, whereupon Cendant Mortgage shall repurchase such
Mortgage Loan by paying to the Purchaser the Repurchase Price therefor in
accordance with Section 3.04(3). The fact that the Purchaser has conducted or
failed to conduct any partial or complete examination of the Mortgage Files
shall not affect its right to demand repurchase or any other remedies provided
in this Agreement.

         At the Purchaser's request, the Assignments shall be promptly recorded
in the name of the Purchaser or in the name of a Person designated by the
Purchaser in all appropriate public offices for real property records. If any
such Assignment is lost or returned unrecorded because of a defect therein, then
the applicable Seller shall promptly prepare a substitute Assignment to cure
such defect and thereafter cause each such Assignment to be duly recorded. All
recording fees related to such a one-time recordation of the Assignments to or
by a Seller shall be paid by the applicable Seller.

Section 2.05. Transfer of Mortgage Loans.

         Subject to the provisions of this Section 2.05, the Purchaser shall
have the right, without the consent of the Sellers, at any time and from time to
time, to assign any of the Mortgage Loans and all or any part of its interest
under this Agreement and designate any person to exercise any rights of the
Purchaser hereunder, and the assignees or designees shall accede to the rights
and obligations hereunder of the Purchaser with respect to such Mortgage Loans.
The Sellers recognize that the Mortgage Loans may be divided into "packages" for
resale ("Mortgage Loan Packages"). All of the provisions of this Agreement shall
inure to the benefit of the Purchaser and any such assignees or designees. All
references to the Purchaser shall be deemed to include its assignees or
designees. Utilizing resources reasonably available to the Seller without
incurring any cost except the Seller's overhead and employees" salaries, the
applicable Seller shall cooperate in any such assignment of the Mortgage Loans
and this Agreement; provided that the Purchaser shall bear all costs associated
with any such assignment of the Mortgage Loans and this Agreement other than
such Seller's overhead or employees" salaries.

         The Servicer and the Purchaser acknowledge that the Servicer shall
continue to remit payments to the Purchaser on the Remittance Date after the
transfer of the Mortgage Loans, unless the Servicer was notified in writing of
the new record owner of the Mortgage Loans prior to the immediately preceding
Record Date, in which case, the Servicer shall remit to the new record owner (or
trustee or master servicer, as the case maybe) of the Mortgage Loans.

                                       13
<PAGE>

         Any prospective assignees of the Purchaser who have entered into a
commitment to purchase any of the Mortgage Loans may review and underwrite the
Service servicing and origination operations, upon reasonable prior notice to
the Servicer, and the Servicer shall cooperate with such review and underwriting
to the extent such prospective assignees request information or documents that
are reasonably available and can be produced without unreasonable expense or
effort. The Servicer shall make the Mortgage Files related to the Mortgage Loans
held by the Servicer available at the Service principal operations center for
review by any such prospective assignees during normal business hours upon
reasonable prior notice to the Servicer (in no event less than 5 Business Days
prior notice). The Servicer may, in its sole discretion, require that such
prospective assignees sign a confidentiality agreement with respect to such
information disclosed to the prospective assignee which is not available to the
public at large and a release agreement with respect to its activities on the
Service premises.

         The Servicer shall keep at its servicing office books and records in
which, subject to such reasonable regulations as it may prescribe, the Servicer
shall note transfers of Mortgage Loans. The Purchaser may, subject to the terms
of this Agreement, sell and transfer, in whole or in part, any or all of the
Mortgage Loans; provided that no such sale and transfer shall be binding upon
the Servicer unless such transferee shall agree in writing to an Assignment,
Assumption and Recognition Agreement, in substantially the form of Exhibit 2.05
attached hereto, and an executed copy of such Assignment, Assumption and
Recognition Agreement shall have been delivered to the Servicer. The Servicer
shall evidence its acknowledgment of any transfers of the Mortgage Loans to any
assignees of the Purchaser by executing such Assignment, Assumption and
Recognition Agreement. The Servicer shall mark its books and records to reflect
the ownership of the Mortgage Loans by any such assignees, and the previous
Purchaser shall be released from its obligations hereunder accruing after the
date of transfer to the extent such obligations relate to Mortgage Loans sold by
the Purchaser. This Agreement shall be binding upon and inure to the benefit of
the Purchaser and the Servicer and their permitted successors, assignees and
designees.

           ARTICLE III: ARTICLE ILL: REPRESENTATIONS, WARRANTIES AND
          COVENANTS OF THE SELLER; REPURCHASE; REVIEW OF MORTGAGE LOANS

Section 3.01. Representations and Warranties of each Seller:

         Each Seller, as to itself, represents, warrants and covenants to the
Purchaser that as of each Funding Date or as of such date specifically provided
herein:

(1) Due Organization. The Seller is an entity duly organized, validly existing
and in good standing under the laws of its jurisdiction of organization, and has
all licenses necessary to carry on its business now being conducted and is
licensed, qualified and in good standing under the laws of each state where a
Mortgaged Property is located or is otherwise exempt under applicable law from
such qualification or is otherwise not required under applicable law to effect
such qualification; no demand for such qualification has been made upon the
Seller by any state having jurisdiction and in any event the Seller is or will
be in compliance with the laws of any such state to the extent necessary to
enforce each Mortgage Loan and with respect to Cendant Mortgage, service each
Mortgage Loan in accordance with the terms of this Agreement.

                                       14
<PAGE>

(2) Due Authority. Cendant Mortgage had the full power and authority and legal
right to originate the Mortgage Loans that it originated, if any, and to acquire
the Mortgage Loans that it acquired. The Seller has the full power and authority
to hold each Mortgage Loan, to sell each Mortgage Loan and to execute, deliver
and perform, and to enter into and consummate, all transactions contemplated by
this Agreement. The Seller has duly authorized the execution, delivery and
performance of this Agreement, has duly executed and delivered this Agreement,
and this Agreement, assuming due authorization, execution and deli very by the
Purchaser, constitutes a legal, valid and binding obligation of the Seller,
enforceable against it in accordance with its terms, subject to applicable
bankruptcy, reorganization, receivership, conservatorship, insolvency,
moratorium and other laws relating to or affecting creditors" rights generally
or the rights of creditors of banks and to the general principles of equity
(whether such enforceability is considered in a proceeding in equity or at law).

(3) No Conflict. The execution and delivery of this Agreement, the acquisition
or origination, as applicable, of the Mortgage Loans by the Seller, the sale-of
the Mortgage Loans, the consummation of the transactions contemplated hereby, or
the fulfillment of or compliance with the terms and conditions of this
Agreement, will not conflict with or result in a breach of any of the terms,
conditions or provisions of the Seller's organizational documents and bylaws or
any legal restriction or any agreement or instrument to which the Seller is now
a party or by which it is bound, or constitute a default or result in an
acceleration under any of the foregoing, or result in the violation of any law,
rule, regulation, order, judgment or decree to which the Seller or its property
is subject, or impair the ability of the Purchaser to realize on the Mortgage
Loans;

(4) Ability to Perform. The Seller does not believe, nor does it have any reason
or cause to believe, that it cannot perform each and every covenant contained in
this Agreement;

(5) No Material Default. Neither the Seller nor any of its Affiliates is in
material default under any agreement, contract, instrument or indenture of any
nature whatsoever to which the Seller or any of its Affiliates is a party or by
which it (or any of its assets) is bound, which default would have a material
adverse effect on the ability of the Seller to perform under this Agreement,
nor, to the best of the Seller's knowledge, has any event occurred which, with
notice, lapse of time or both, would constitute a default under any such
agreement, contract, instrument or indenture and have a material adverse effect
on the ability of the Seller to perform its obligations under this Agreement;

(6) Financial Statements. Cendant Mortgage has delivered to the Purchaser
financial statements as to its fiscal year ended December 31, 1999. Except as
has previously been disclosed to the Purchaser in writing: (a) such financial
statements fairly present the results of operations and changes in financial
position for such period and the financial position at the end of such period of
Cendant Mortgage and its subsidiaries; and (b ) such financial statements are
true, correct and complete as of their respective dates and have been prepared
in accordance with generally accepted accounting principles consistently applied
throughout the periods involved, except as set forth in the notes thereto. The
Trust has delivered to the Purchaser financial statements dated as of December
31,1999 and a copy of its Offering Circular dated May 21, 1998 (the "Trust
Financials") and such Trust Financials fairly present the results of operations
and changes in financial position for such

                                       15
<PAGE>

period and the financial position at the end of such . period of the Trust.
Except as has previously been disclosed to the Purchaser in writing, there has
been no change in such Trust Financials since their date and the Trust is not
aware of any errors or omissions therein;

(7) No Change in Business. There has been no change in the business, operations,
financial condition, properties or assets of the applicable Seller since (i) in
the case of Cendant Mortgage, the date of its financial statements and (ii) in
the case of the Trust, the date of delivery of the Trust Financials, that would
have a material adverse effect on the ability of the applicable Seller to
perform its obligations under this Agreement;

(8) No Litigation Pending. There is no action, suit, proceeding or investigation
pending or, to the best of the Seller's knowledge, threatened, against the
Seller, which, either in anyone instance or in the aggregate, if determined
adversely to the Seller would adversely affect the sale of the Mortgage Loans to
the Purchaser or the execution, delivery or enforceability of this Agreement or
result in any material liability of the Seller, or draw into question the
validity of this Agreement, or have a material adverse effect on the financial
condition of the Seller;

(9) No Consent Required. No consent, approval, authorization or order of any
court or governmental agency or body is required for the execution, delivery and
performance by the Seller of or compliance by the Seller with this Agreement,
the delivery of the Mortgage Files to the Purchaser, the sale of the Mortgage
Loans to the Purchaser or the consummation of the transactions contemplated by
this Agreement or, if required, such approval has been obtained prior to the
Funding Date;

(10) Ordinary Course of Business. The consummation of the transactions
contemplated by this Agreement is in the ordinary course of business of the
Seller, and the transfer, assignment and conveyance of the Mortgage Notes and
the Mortgages by the Seller pursuant to this Agreement are not subject to the
bulk transfer or any similar statutory provisions in effect in any applicable
jurisdiction;

(11) No Broker. The Seller has not dealt with any broker or agent or anyone else
who might be entitled to a fee or commission in connection with this
transaction; and

(12) No Untrue Information. Neither this Agreement nor any statement, report or
other agreement, document or instrument furnished or to be furnished pursuant to
this Agreement contains or will contain any materially untrue statement of fact
or omits or will omit to state a fact necessary to make the statements contained
therein not misleading.

Section 3.02. Representations and Warranties of the Servicer.

         The Servicer represents, warrants and covenants to the Purchaser that
as of the Funding Date or as of such date specifically provided herein:

(1) Ability to Service. The Servicer is an approved seller/servicer for FNMA and
FHLMC in good standing and is a mortgagee approved by the Secretary of Housing
and Urban Development pursuant to Section 203 of the National Housing Act, with
facilities, procedures and experienced personnel necessary for the servicing of
mortgage loans of the same type as the Mortgage Loans. No event has occurred
that would make the Servicer unable to comply with

                                       16
<PAGE>

FNMA or FHLMC eligibility requirements or that would require notification to
either FNMA or FHLMC;

(2) Collection Practices. The collection practices used by the Servicer with
respect to each Mortgage Note and Mortgage have been in all respects legal.
proper and prudent in the mortgage servicing business;

(3) Due Organization. The Servicer is an entity duly .organized, validly
existing and in good standing under the laws of its jurisdiction of
organization, and has all licenses necessary to carry on its business now being
conducted and is licensed, qualified and in good standing under the laws of each
state where a Mortgaged Property is located or is otherwise exempt under
applicable law from such qualification or is otherwise not required under
applicable law to effect such qualification; no demand for such qualification
has been made upon the Servicer by any state having jurisdiction and in any
event the Servicer is or will be in compliance with the laws of any such state
to the extent necessary to enforce each Mortgage Loan and service each Mortgage
Loan in accordance with the terms of this Agreement.

(4) Due Authority. Servicer has the full power and authority to execute, deliver
and perform, and to enter into and consummate, all transactions contemplated by
this Agreement. The Servicer has duly authorized the execution, delivery and
performance of this Agreement, has duly executed and delivered this Agreement,
and this Agreement, assuming due authorization, execution and delivery by the
Purchaser, constitutes a legal, valid and binding obligation of the Servicer,
enforceable against it in accordance with its terms, subject to applicable
bankruptcy, reorganization, receivership, conservatorship, insolvency,
moratorium and other laws relating to or affecting creditors" rights generally
or the rights of creditors of banks and to the general principles of equity
(whether such enforceability is considered in a proceeding in equity or at law).

(5) No Conflict. The execution and delivery of this Agreement, the consummation
of the transactions contemplated hereby, or the fulfillment of or compliance
with the terms and conditions of this Agreement, will not conflict with or
result in a breach of any of the terms, conditions or provisions of the Service
organizational documents and bylaws or any legal restriction or any agreement or
instrument to which the Servicer is now a party or by which it is bound, or
constitute a default or result in an acceleration under any of the foregoing, or
result in the violation of any law, rule, regulation, order, judgment or decree
to which the Servicer or its property is subject, or impair the ability of the
Purchaser to realize on the Mortgage Loans;

(6) Ability to Perform. The Servicer does not believe, nor does it have any
reason or cause to believe, that it cannot perform each and every covenant
contained in this Agreement;

(7) No Material Default. Neither the Servicer nor any of its Affiliates is in
material default under any agreement, contract, instrument or indenture of any
nature whatsoever to which the Servicer or any of its Affiliates is a party or
by which it (or any of its assets) is bound, which default would have a material
adverse effect on the ability of the Servicer to perform under this Agreement,
nor, has any event occurred which, with notice, lapse of time or both, would
constitute a default under any such agreement, contract, instrument or indenture
and have a

                                       17
<PAGE>

material adverse effect on the ability of the Servicer to perform its
obligations under this Agreement;

(8) Financial Statements. Servicer has delivered to the Purchaser financial
statements as to its fiscal year ended December 31, 1999. Except as has
previously been disclosed to the Purchaser in writing: (a) such financial
statements fairly present the results of operations and changes in financial
position for such period and the financial position at the end of such period of
Servicer and its subsidiaries; and (b ) such financial statements are true,
correct and complete as of their respective dates and have been prepared in
accordance with generally accepted accounting principles consistently applied
throughout the periods involved, except as set forth in the notes thereto.

(9) No Change in Business. There has been no change in the business, operations,
financial condition, properties or assets of the Servicer since the date of its
financial statements that would have a material adverse effect on the ability of
the Servicer to perform its obligations under this Agreement;

(10) No Litigation Pending. There is no action, suit, proceeding or
investigation pending or, to the best of the Service knowledge, threatened,
against the Servicer, which, either in anyone instance or in the aggregate, if
determined adversely to the Servicer would adversely affect the sale of the
Mortgage Loans to the Purchaser or the execution, delivery or enforceability of
this Agreement or result in any material liability of the Servicer, or draw into
question the validity of this Agreement, or have a material adverse effect on
the financial condition of the Servicer;

(11) No Consent Required. No consent, approval, authorization or order of any
court or governmental agency or body is required for the execution, delivery and
performance by the Servicer of or compliance by the Servicer with this Agreement
or the consummation of the transactions contemplated by this Agreement or, if
required, such approval has been obtained prior to the Funding Date;

(12) Ordinary Course of Business. The consummation of the transactions
contemplated by this Agreement is in the ordinary course of business of the
Servicer;

(13) No Broker. The Servicer has not dealt with any broker or agent or anyone
else who might be entitled to a fee or commission in connection with this
transaction; and

(14) No Untrue Information. Neither this Agreement nor any statement, report or
other agreement, document or instrument furnished or to be furnished pursuant to
this Agreement contains or will contain any materially untrue statement of fact
or omits or will omit to state a fact necessary to make the statements contained
therein not misleading.

Section 3.03. Representations and Warranties as to Individual Mortgage Loans.

         With respect to each Mortgage Loan, the applicable Seller hereby makes
the following representations and warranties to the Purchaser on which the
Purchaser specifically relies in purchasing such Mortgage Loan. Such
representations and warranties speak as of the Funding Date unless otherwise
indicated, but shall survive any subsequent transfer, assignment or conveyance
of such Mortgage Loans:

                                       18
<PAGE>

(1) Mortgage Loan as Described. Such Mortgage Loan complies with the terms and
conditions set forth herein, and all of the information set forth with respect
thereto on the Mortgage Loan Schedule is true and correct in all material
respects;

(2) Complete Mortgage Files. The instruments and documents specified in Section
2.02 with respect to such Mortgage Loan have been delivered to the Purchaser in
compliance with the requirements of Article II. The Seller is in possession of a
Mortgage File respecting such Mortgage Loan, except for such documents as have
been previously delivered to the Purchaser;

(3) Owner of Record. The Mortgage relating to such Mortgage Loan has been duly
recorded in the appropriate recording office, and the applicable Seller or
Servicer is the owner of record of such Mortgage Loan and the indebtedness
evidenced by the related Mortgage Note;

(4) Payments Current. All payments required to be made up to and including the
Funding Date for such Mortgage Loan under the terms of the Mortgage Note have
been made, such that such Mortgage Loan is not delinquent 30 days or more on the
Funding Date, and has not been so delinquent in the twelve months prior to the
Funding Date;

(5) No Outstanding Charges. There are no delinquent taxes, insurance premiums,
assessments, including assessments payable in future installments, or other
outstanding charges affecting the Mortgaged Property related to such Mortgage
Loan;

(6) Original Terms Unmodified. The terms of the Mortgage Note and the Mortgage
related to such Mortgage Loan have not been impaired, waived, altered or
modified in any material respect, except as specifically set forth in the
related Mortgage Loan Schedule;

(7) No Defenses. The Mortgage Note and the Mortgage related to such Mortgage
Loan are not subject to any right of rescission, set-off or defense, including
the defense of usury, nor will the operation of any of the terms of such
Mortgage Note and such Mortgage, or the exercise of any right thereunder, render
such Mortgage unenforceable, in whole or in part, or subject to any right of
rescission, set-off or defense, including the defense of usury and no such right
of rescission, set-off or defense has been asserted with respect thereto;

(8) Hazard Insurance. (a) All buildings upon the Mortgaged Property related to
such Mortgage Loan are insured by an insurer acceptable to FNMA or FHLMC against
loss by fire, hazards of extended coverage and such other hazards as are
customary in the area where such Mortgaged Property is located, pursuant to
insurance policies conforming to the requirements of either Section 5.10 or
Section 5.11. All such insurance policies (collectively, the "hazard insurance
policy") contain a standard mortgagee clause naming the originator of such
Mortgage Loan, its successors and assigns, as mortgagee. Such policies are the
valid and binding obligations of the insurer, and all premiums thereon due to
date have been paid. The related Mortgage obligates the Mortgagor thereunder to
maintain all such insurance at such Mortgagor's cost and expense, and on such
Mortgagor's failure to do so, authorizes the holder of such Mortgage to maintain
such insurance at such Mortgagor's cost and expense and to seek reimbursement
therefor from such Mortgagor; or (b ) in the case of a condominium or PUD
project that is not covered by an individual policy, the condominium or PUD
project is covered by a "master" or "blanket" policy and there exists and is in
the Service Mortgage File a

                                       19
<PAGE>

certificate of insurance showing that the individual unit that secures the first
mortgage or share loan is covered under such policy. The insurance policy
contains a standard mortgagee clause naming the originator of such Mortgage Loan
(and its successors and assigns), as insured mortgagee. Such policies are the
valid and binding obligations of the insurer, and all premiums thereon have been
paid. The insurance policy provides for advance notice to the Seller or Servicer
if the policy is canceled or not renewed, or if any other change that adversely
affects the Seller's interests is made; the certificate includes the types and
amounts of coverage provided, describes any endorsements that are part of the
"master" policy and would be acceptable pursuant to the FNMA Guide;

(9) Compliance With Applicable Laws. All requirements of any federal, state or
local law

(10) No Satisfaction of Mortgage. The Mortgage related to such Mortgage Loan has
not been satisfied, canceled or subordinated, in whole or in part, or rescinded,
and the related Mortgaged Property has not been released from the lien of such
Mortgage, in whole or in part, nor has any instrument been executed that would
effect any such release, cancellation, subordination or rescission;

(11) Valid First Lien. The Mortgage related to such Mortgage Loan is a valid,
subsisting and enforceable perfected first lien on the related Mortgaged
Property, including all improvements on the related Mortgaged Property, which
Mortgaged Property is free and clear of any encumbrances and liens having
priority over the first lien of the Mortgage subject only to (a) the lien of
current real estate taxes and special assessments not yet due and payable, (b )
covenants, conditions and restrictions, rights of way, easements and other
matters of the public record as of the date of recording of such Mortgage which
are acceptable to mortgage lending institutions generally, are referred to in
the lender's title insurance policy and do not adversely affect the market value
or intended use of the related Mortgaged Property, and (c) other matters to
which like properties are commonly subject which do not individually or in the
aggregate materially interfere with the benefits of the security intended to be
provided by such Mortgage or the use, enjoyment, or market value of the related
Mortgaged Property;

(12) Validity of Documents. The Mortgage Note and the Mortgage related to such
Mortgage Loan are genuine and each is the legal, valid and binding obligation of
the maker thereof, enforceable in accordance with its terms, except as such
enforcement may be limited by bankruptcy, insolvency, reorganization or other
similar laws affecting the enforcement of creditors" rights generally and
general equitable principles (regardless whether such enforcement is considered
in a proceeding in equity or at law);

(13) Valid Execution of Documents. All parties to the Mortgage Note and the
Mortgage related to such Mortgage Loan had legal capacity to enter into such
Mortgage Loan and to execute and deliver the related Mortgage Note and the
related Mortgage and the related Mortgage Note and the related Mortgage have
been duly and properly executed by such parties;

(14) Full Disbursement of Proceeds. Such Mortgage Loan has closed and the
proceeds of such Mortgage Loan have been fully disbursed prior to the Funding
Date; provided that, with respect to any Mortgage Loan originated within the
previous 120 days, alterations and repairs with respect to the related Mortgaged
Property or any part thereof may have required an escrow

                                       20
<PAGE>

of funds in an amount sufficient to pay for all outstanding work within 120 days
of the origination of such Mortgage Loan, and, if so, such funds are held in
escrow by the Seller, a title company or other escrow agent;

(15) Ownership. The Mortgage Note and the Mortgage related to such Mortgage Loan
or any interest or participation therein have not been assigned, pledged or
otherwise transferred by the applicable Seller, and the Seller has good and
marketable title thereto, and the Seller is the sole owner thereof and has full
right and authority to transfer and sell such Mortgage Loan, and is transferring
such Mortgage Loan to the Purchaser free and clear of any encumbrance, equity,
lien, pledge, charge, claim or security interest;

(16) Doing Business. All parties that have had any interest in such Mortgage
Loan, whether as mortgagee, assignee, pledgee or otherwise, are (or, during the
period in which they held and disposed of such interest, were) in compliance
with any and all applicable licensing requirements of the laws of the state
wherein the related Mortgaged Property is located;

(17) Title Insurance. (a) Such Mortgage Loan is covered by an ALTA lender's
title insurance policy or short form title policy acceptable to FNMA and FHLMC
(or, in jurisdictions where ALT A policies are not generally approved for use, a
lender's title insurance policy acceptable to FNMA and FHLMC), issued by a title
insurer acceptable to FNMA and FHLMC and qualified to do business in the
jurisdiction where the related Mortgaged Property is located, insuring (subject
to the exceptions contained in clauses (12)(a) and (b) above) the Seller or
Servicer, its successors and assigns as to the first priority lien of the
related Mortgage in the original principal amount of such Mortgage Loan and in
the case of ARM Loans, against any loss by reason of the invalidity or
unenforceability of the lien resulting from the provisions of such Mortgage,
providing for adjustment to the applicable Note Rate and Monthly Payment.
Additionally, such lender's title insurance policy affirmatively insures against
encroachments by or upon the related Mortgaged Property or any interest therein
or any other adverse circumstance that either is disclosed or would have been
disclosed by an accurate survey. The Seller or Servicer is the sole insured of
such lender's title insurance policy, and such lender's title insurance policy
is in full force and effect and will be in full force and effect upon the
consummation of the transactions contemplated by this Agreement and will inure
to the benefit of the Purchaser without any further act. No claims have been
made under such lender's title insurance policy, no prior holder of the related
Mortgage (including the Seller) has done, by act or omission, anything that
would impair the coverage of such lender's insurance policy, and, there is no
act, omission, condition, or information that would impair the coverage of such
lender's insurance policy; (b ) The mortgage title insurance policy covering
each unit mortgage in a condominium or PUD project related to such Mortgage Loan
meets all requirements of FNMA and FHLMC;

(18) No Defaults. (a) There is no default, breach, violation or event of
acceleration existing under the Mortgage, the Mortgage Note, or any other
agreements, documents, or instruments related to such Mortgage Loan; (b ) there
is no event that, with the lapse of time, the giving of notice, or both, would
constitute such a default, breach, violation or event of acceleration; (c) the
Mortgagor(s) with respect to such Mortgage Loan is (1) not in default under any
other Mortgage Loan or (2) the subject of an Insolvency Proceeding; (d) no event
of acceleration has previously occurred, and no notice of default has been sent,
with respect to such Mortgage Loan; and (e) in no event has the Seller waived
any of its rights or remedies in respect of any default, breach,

                                       21
<PAGE>

violation or event of acceleration under the Mortgage, the Mortgage Note, or any
other agreements, documents, or instruments related to such Mortgage Loan;

(19) No Mechanics" Liens. There are no mechanics" or similar liens, except such
liens as are expressly insured against by a title insurance policy, or claims
that have been filed for work, labor or material (and no rights are outstanding
that under law could give rise to such lien) affecting the related Mortgaged
Property that are or may be liens prior to, or equal or coordinate with, the
lien of the related Mortgage;

(20) Location of Improvements: No Encroachments. As of the date of origination
of such Mortgage Loan, all improvements that were considered in determining the
Appraised Value of the related Mortgaged Property lay wholly within the
boundaries and building restriction lines of such Mortgaged Property, and no
improvements on adjoining properties encroach upon such Mortgaged Property
except as permitted under the terms of the FNMA Guide and the FLHMC Selling
Guide; no improvement located on or part of any Mortgaged Property is in
violation of any applicable zoning law or regulation, and all inspections,
licenses and certificates required to be made or issued with respect to all
occupied portions of such Mortgaged Property, and with respect to the use and
occupancy of the same, including certificates of occupancy, have been made or
obtained from the appropriate authorities;

(21) Origination: Payment Terms. Principal payments on such Mortgage Loan
commenced or will commence no more than 60 days after funds were disbursed in
connection with such t Mortgage Loan. If the interest rate on the related
Mortgage Note is adjustable, the adjustment is based on the Index set forth on
the related Mortgage Loan Schedule. The related Mortgage Note is payable on the
first day of each month in arrears, in accordance with the payment terms
described on the related Mortgage Loan Schedule;

(22) Due On Sale. Except as noted otherwise on the Mortgage Loan Schedule, the
related Mortgage contains the usual and customary "due-on-sale" clause or other
similar provision for the acceleration of the payment of the Unpaid Principal
Balance of such Mortgage Loan if the related Mortgaged Property or any interest
therein is sold or transferred without the prior consent of the mortgagee
thereunder;

(23) Prepayment Penalty. Except as noted otherwise on the Mortgage Loan
Schedule, such Mortgage Loan is not subject to any Prepayment Penalty;

(24) Mortgaged Property Undamaged: No Condemnation. As of the Funding Date, the
related Mortgaged Property is free of material damage and waste and there is no
proceeding pending for the total or partial condemnation thereof;

(25) Customary Provisions. The related Mortgage contains customary and
enforceable provisions that render the rights and remedies of the holder thereof
adequate for the realization against the related Mortgaged Property of the
benefits of the security provided thereby, including, (a) in the case of a
Mortgage designated as a deed of trust, by trustee's sale, and (b) in the case
of a Mortgage, otherwise by judicial foreclosure;

(26) Conformance With Underwriting: Standards. Such Mortgage Loan was
underwritten in accordance with underwriting standards of Cendant Mortgage;

                                       22
<PAGE>

(27) Appraisal. The Mortgage File contains an appraisal of the related Mortgaged
Property on forms and with riders approved by FNMA and FHLMC, signed prior to
the approval of such Mortgage Loan application by an appraiser, duly appointed
by the originator of such Mortgage Loan, whose compensation is not affected by
the approval or disapproval of such Mortgage Loan and who met the minimum
qualifications of FNMA and FHLMC for appraisers;

(28) Deeds of Trust. If the related Mortgage constitutes a deed of trust, then a
trustee, duly qualified under applicable law to serve as such, has been properly
designated and currently so serves and is named in such Mortgage, and no fees or
expenses are or will become payable by the Purchaser to the trustee under such
deed of trust, except in connection with a trustee's sale after default by the
related Mortgagor;

(29) LTV: Primary Mortgage Insurance Policy. If such Mortgage Loan had a
Loan-to-Value Ratio of more than 80% at origination, and is not originated under
an additional collateral mortgage loan program, such Mortgage Loan is and will
be subject to a Primary Insurance Policy issued by a Qualified Mortgage Insurer,
which insures the Seller or Servicer, its successors and assigns and insureds in
the amount set forth on the Mortgage Loan Schedule. All provisions of such
Primary Insurance Policy have been and are being complied with, such policy is
in full force and effect, and all premiums due thereunder have been paid. Any
related Mortgage subject to any such Primary Insurance Policy obligates the
Mortgagor thereunder to maintain such insurance for the time period required by
law and to pay all premiums and charges in connection therewith. As of the date
of origination, the Loan-to- Value Ratio of such Mortgage Loan is as specified
in the applicable Mortgage Loan Schedule;

(30) Occupancy. As of the date of origination of such Mortgage Loan, the related
Mortgaged Property is lawfully occupied under applicable law;

(31) Supervision and Examination by a Federal or State Authority. Each Mortgage
Loan either was (a) closed in the name of the Cendant Mortgage, or (b) closed in
the name of another entity that is either a savings and loan association, a
savings bank, a commercial bank, credit union, insurance company or an
institution which is supervised and examined by a federal or state authority, or
a mortgagee approved by the Secretary of Housing and Urban Development pursuant
to Sections 203 and 211 of the National Housing Act (a "HUD Approved
Mortgagee"), and was so at the time such Mortgage Loan was originated (Cendant
Mortgage or such other entity, the "Originator") or (c) closed in the name of a
loan broker under the circumstances described in the following sentence. If such
Mortgage Loan was originated through a loan broker, such Mortgage Loan met the
Originator's underwriting criteria at the time of origination and was originated
in accordance with the Originator's policies and procedures and the Originator
acquired such Mortgage Loan from the loan broker contemporaneously with the
origination thereof. The Mortgage Loans that the Trust is selling to Purchaser
were originated by or on behalf of Cendant Mortgage and subsequently assigned to
the Trust.

(32) Adjustments. All of the terms of the related Mortgage Note pertaining to
interest rate adjustments, payment adjustments and adjustments of the
outstanding principal balance, if any, are enforceable and such adjustments will
not affect the priority of the lien of the related Mortgage; all such
adjustments on such Mortgage Loan have been made properly and in accordance with
the provisions of such Mortgage Loan;

                                       23
<PAGE>

(33) Insolvency Proceedings: Soldiers" and Sailors" Relief Act. The related
Mortgagor (1) is not the subject of any Insolvency Proceeding; and (2) has not
notified the Seller of any relief requested by or allowed to such Mortgagor
under the Soldiers " and Sailors " Civil Relief Act of 1940;

(34) FNMA/FHLMC Documents. Such Mortgage Loan was closed on standard FNMA or
FHLMC documents or on such documents otherwise acceptable to them.

(35) Acceptable Investment. To the best of Seller's knowledge, there is no
circumstance or condition with respect to the related Mortgage File, Mortgage,
Mortgaged Property, Mortgagor or Mortgagor's credit standing, including but not
limited to "limited income documentation programs" whereby the lending decision
is based upon factors other than the Mortgagor's income, that can reasonably be
expected to cause private institutional investors to regard such r Mortgage Loan
as an unacceptable investment, cause such Mortgage Loan to become delinquent, or
adversely affect the value or marketability of such Mortgage Loan;

Section 3.04. Repurchase.

(1) It is understood and agreed that the representations and warranties set
forth in Sections 3.01, 3.02 and 3.03 shall survive the sale of the Mortgage
Loans to the Purchaser and shall inure to the benefit of the Purchaser,
notwithstanding any restrictive or qualified endorsement on any Mortgage Note or
Assignment or the examination of any Mortgage File.

(2) Upon discovery by either of the Sellers or the Purchaser of a breach of any
of the representations and warranties contained in Sections 3.01, 3.02 or 3.03
that materially and adversely affects the value of a Mortgage Loan, the party
discovering such breach shall give prompt written notice to the other.

(3) Unless permitted a greater period of time to cur as set forth in Section
2.04, the applicable Seller shall have a period of 60 days from the earlier of
either discovery by or receipt of written notice from the Purchaser to the
Seller of any breach of any of the representations and warranties contained in
Sections 3.01, 3.02 or 3.03 that materially and adversely affects the value of a
Mortgage Loan (a "Defective Mortgage Loan"; provided that "Defective Mortgage
Loan" shall also include any Mortgage Loan treated or designated as such in
accordance with Section 2.04) within which to correct or cure such breach. If
such breach can ultimately be cured but is not reasonably expected to be cured
within the 60-day period, then the applicable Seller shall have such additional
time, if any, as is reasonably determined by the Purchaser to cure such breach
provided that the Seller has commenced curing or correcting such breach and is
diligently pursuing same. Each Seller hereby covenants and agrees with respect
to each Mortgage Loan conveyed by it that, if any breach relating thereto cannot
be corrected or cured within the applicable cure period or such additional time,
if any, as is reasonably determined by the Purchaser, then such Seller shall, at
the direction of the Purchaser, repurchase the Defective Mortgage Loan at the
applicable Repurchase Price.

(4) Any repurchase of a Defective Mortgage Loan required hereunder shall be
accomplished by payment of the applicable Repurchase Price within 3 Business
Days of expiration of the applicable time period referred to above in paragraph
3.04(3) by wire transfer of immediately

                                       24
<PAGE>

available funds directly to the Purchaser's Account. It is understood and agreed
that the obligations of a Seller (a) set forth in this Section 3.04(4) to cure
any breach of such Seller's representations and warranties contained in Section
3.03 or to repurchase the Defective Mortgage Loan(s) and (b) set forth in
Section 9.01 to indemnify the Purchaser in connection with any breach of a
Seller's representations and warranties contained in Section 3.03 shall
constitute the sole remedies of the Purchaser respecting a breach of such
representations and warranties.

(5) The parties further agree that, in recognition of the Trust's rights against
Cendant Mortgage with respect to the Mortgage Loans acquired by it from Cendant
Mortgage and conveyed to the Purchaser hereunder, the Purchaser shall have the
right to cause Cendant Mortgage to repurchase directly any Defective Mortgage
Loan (other than as a result of a breach by the Trust of Section 3.03 (3) or
3.03(15) hereof, in which case the Purchaser shall have the right to cause the
Trust to repurchase directly the Defective Mortgage Loan) acquired hereunder by
the Purchaser from the Trust.

Section 3.05. Certain Covenants of each Seller and the Servicer.

Without incurring undue effort or any cost except the Seller's overhead or
employees" salaries, each Seller shall take reasonable steps to assist the
Purchaser, if the Purchaser so requests, in securitizing the Mortgage Loans and
selling undivided interests in such Mortgage Loans in a public offering or
private placement or selling participating interests in such Mortgage Loans,
which steps may include, (a) providing any information relating to the Mortgage
Loans reasonably necessary to assist in the preparation of any disclosure
documents, (b ) providing information relating to delinquencies and defaults
with respect to the Service servicing portfolio (or such portion thereof as is
similar to the Mortgage Loans), (c) entering into any other servicing, custodial
or other similar agreements, that are consistent with the provisions of this
Agreement, and which contain such provisions as are customary in securitizations
rated "AAA" (including a securitization involving a REMIC) (a "Securitization"),
and (d) providing as of the date of such securitization representations and
warranties as to the Seller and the Mortgage Loans, which are consistent with
the representations and warranties contained in this Agreement, but modified, if
necessary, to reflect changes since the Funding Date. In connection with such a
Securitization, the Purchaser may be required to engage a master servicer or
trustee to determine the allocation of payments to and make remittances to the
certificateholders, at the Purchaser's sole cost and expense. In the event that
a master servicer or trustee to determine the allocation of payments to and make
remittances to the certificateholders is requested by the Purchaser, the
Servicer agrees to service the Mortgage Loans in accordance with the reasonable
and customary requirements of such Securitization, which may include the Service
acting as a subservicer in a master servicing arrangement. With respect to the
then owners of the Mortgage Loans, the Servicer shall thereafter deal solely
with such master servicer or trustee, as the case may be with respect to such
Mortgage Loans which are subject to the Securitization and shall not be required
to deal with any other party with respect to such Mortgage Loans. The cost of
such securitization shall be borne by the Purchaser, other than the Seller's
overhead or employees" salaries.

                                       25
<PAGE>

        ARTICLE IV: REPRESENTATIONS AND WARRANTIES OF THE PURCHASER AND
                        CONDITIONS PREDCEDENT TO FUNDING

Section 4.01. Representations and Warranties.

         The Purchaser represents, Warrants and covenants to the Seller that as
of each Funding Date or as of such date specifically provided herein:

(1) Due Organization. The Purchaser is an entity duly organized, validly
existing and in good standing under the laws of its jurisdiction of
organization, and has all licenses necessary to carry on its business now being
conducted and is licensed, qualified and in good standing under the laws of each
state where a Mortgaged Property is located or is otherwise exempt under
applicable law from such qualification or is otherwise not required under
applicable law to effect such qualification; no demand for such qualification
has been made upon the Purchaser by any state having jurisdiction and in any
event the Purchaser is or will be in compliance with the laws of any such state
to the extent necessary to enforce each Mortgage Loan.

(2) Due Authority. The Purchaser had the full power and authority and legal
right to acquire the 1Mortgage Loans that it acquired. The Purchaser has the
full power and authority to hold each Mortgage Loan, to sell each Mortgage Loan
and to execute, deliver and perform, and to enter into l and consummate, all
transactions contemplated by this Agreement. The Purchaser has duly! authorized
the execution, delivery and performance of this Agreement, has duly executed and
i delivered this Agreement, and this Agreement, assuming due authorization,
execution and 1 delivery by the Seller, constitutes a legal, valid and binding
obligation of the Purchaser, enforceable against it in accordance with its
terms, subject to applicable bankruptcy, reorganization, receivership,
conservatorship, insolvency, moratorium and other laws relating to or affecting
creditors" rights generally or the rights of creditors of banks and to the
general principles of equity (whether such enforceability is considered in a
proceeding in equity or at law);

(3) No Conflict. None of the execution and delivery of this Agreement, the
acquisition or origination, as applicable, of the Mortgage Loans by the
Purchaser, the purchase of the Mortgage Loans, the consummation of the
transactions contemplated hereby, or the fulfillment of or compliance with the
terms and conditions of this Agreement, will conflict with or result in a breach
of any of the terms, conditions or provisions of the Purchaser's organizational
documents and bylaws or any legal restriction or any agreement or instrument to
which the Purchaser is now a party or by which it is bound, or constitute a
default or result in an acceleration under any of the foregoing, or result in
the violation of any law, rule, regulation, order, judgment or decree to which
the Purchaser or its property is subject, or impair the ability of the Purchaser
to realize on the Mortgage Loans, or impair the value of the Mortgage Loans;

(4) Ability to Perform. The Purchaser does not believe, nor does it have any
reason or cause to believe, that it cannot perform each and every covenant
contained in this Agreement;

(5) No Material Default. The Purchaser is not in material default under any
agreement, contract, instrument or indenture of any nature whatsoever to which
the Purchaser is a party or by which it (or any of its assets) is bound, which
default would have a material adverse effect on

                                       26
<PAGE>

the ability of the Purchaser to perform under this Agreement, nor, to the best
of the Purchaser's knowledge, has any event occurred which, with notice, lapse
of time or both) would constitute a default under any such agreement, contract,
instrument or indenture and have a material adverse effect on the ability of the
Purchaser to perform its obligations under this Agreement;

(6) No Change in Business. There has been no change in the business, operations,
financial condition, properties or assets of the Purchaser since the date of the
Purchaser's financial statements that would have a material adverse effect on
the ability of the Purchaser to perform if obligations under this Agreement;

(7) Litigation Pending. There is no action, suit, proceeding or investigation
pending or, to the best of the Purchaser's knowledge, threatened, against the
Purchaser, which, either in anyone instance or in the aggregate, if determined
adversely to the Purchaser would adversely affect the purchase of the Mortgage
Loans or the execution, delivery or enforceability of this Agreement or result
in any material liability of the Purchaser, or draw into question the validity
of this Agreement, or the Mortgage Loans or have a material adverse effect on
the financial condition of the Purchaser;

(8) Broker. The Purchaser has not dealt with any broker or agent or anyone else
who might be entitled to a fee or commission in connection with this
transaction.

(9) No Consent Required. No consent, approval, authorization or order of any
court or governmental agency or body is required for the execution, delivery and
performance by the Purchaser of or compliance by the Purchaser with this
Agreement, the purchase of the Mortgage Loans from the Seller or the
consummation of the transactions contemplated by this Agreement or, if required,
such approval has been obtained prior to the Funding Date;

(10) Ordinary Course of Business. The consummation of the transactions
contemplated by this Agreement is in the ordinary course of business of the
Purchaser; and

(11) Non-Petition Agreement. The Purchaser covenants and agrees that it shall
not, prior to the date which is one year and one day (or if longer, the
applicable preference period then in effect) after the payment in full of all
rated obligations of Bishop's Gate Residential Mortgage Trust, acquiesce,
petition or otherwise, directly or indirectly, invoke or cause Bishop's Gate
Residential Mortgage Trust to invoke the process of any governmental authority
for the purpose of commencing or sustaining a case against Bishop's Gate
Residential Mortgage Trust under any federal or state bankruptcy, insolvency or
similar law or appointing a receiver, liquidator, assignee, trustee, custodian,
sequestrator, or other similar official of Bishop's Gate Residential Mortgage
Trust. This covenant and agreement shall be binding upon the Purchaser and any
assignee or transferee of the Purchaser.

(12) No Untrue Information. Neither this Agreement nor any statement, report or
other agreement, document or instrument furnished or to be furnished pursuant to
this Agreement contains or will contain any materially untrue statement of fact
or omits or will omit to state a fact necessary to make the statements contained
therein not misleading.

(13) The Purchaser agrees that it shall not solicit any Mortgagors (in writing
or otherwise) to refinance any of the Mortgage Loans; provided that mass
advertising or mailings (such as

                                       27
<PAGE>

placing advertisements on television, on radio, in magazines or in newspapers or
including messages in billing statements) that are not exclusively directed
towards the Mortgagors shall not constitute solicitation and shall not violate
this covenant.

Section 4.02. Conditions Precedent to Closing.

         Each purchase of Mortgage Loans hereunder shall be subject to each of
the following conditions:

         (a)      All of the representations and warranties of Seller under the
                  Cendant Guide, and of Seller and Purchaser under this
                  Agreement shall be true and correct as of the Funding Date,
                  and no event shall have occurred which, with notice or the
                  passage of time, would constitute an Event of Default under
                  this Agreement or under the Cendant Guide;

         (b)      Purchaser shall have received, or Purchaser's attorneys shall
                  have received in escrow, all closing documents as specified
                  herein, in such forms as are agreed upon and acceptable to
                  Purchaser, duly executed by all signatories other than
                  Purchaser as required pursuant to the respective terms
                  thereof;

         (c)      All other terms and conditions of this Agreement shall have
                  been complied with.

Subject to the foregoing conditions, Purchaser shall pay to Seller on each
Funding Date the applicable Purchase Price as provided herein.

           ARTICLE V: ADMINISTRATION AND SERVICING OF MORTGAGE LOANS

Section 5.01. Cendant Mortgage to Act as Servicer; Servicing; Standards;
Addition Documents; Consent of the Purchaser.

(1) The Servicer, as independent contract servicer, shall service and administer
the Mortgage Loans and REO Property from and after each Funding Date in
accordance with the terms and provisions of the Mortgage Loans, applicable law
and the terms and provisions of this Agreement for and on behalf of, and in the
best interests of, the Purchaser (without taking into account any relationship
the Servicer may have with any Mortgagor or other Person, the participation, if
any, of the Servicer in any financing provided in connection with the sale of
any Mortgaged Property, or the Service obligation to advance any expenses or
incur any costs in the performance of its duties hereunder) in accordance with a
standard that is not less than the higher of (a) the same care, skill, prudence
and diligence with which it services similar assets held for its own or its
Affiliates" account and (b) the same care, skill, prudence and diligence with
which it services similar assets for third party institutional investors, in
each case giving due consideration to customary and usual standards of practice
of prudent institutional mortgage loan servicers utilized with respect to
mortgage loans comparable to the Mortgage Loans. Subject to the foregoing
standards, in connection with such servicing and administration, the Servicer
shall seek to maximize the timely recovery of principal and interest on the
Mortgage Notes; that nothing contained herein shall be construed as an express
or implied guarantee by the Servicer of the collectibility of payments on the
Mortgage Loans or shall be construed as impairing or

                                       28
<PAGE>

adversely affecting any rights or benefits specifically provided by this
Agreement to the Seller, including with respect to Servicing Fees.

(2) To the extent consistent with Section 5.01(1) and further subject to any
express limitations set forth in this Agreement, the Servicer (acting alone or,
solely in the circumstances permitted hereunder, acting through a subservicer)
shall have full power and authority to do or cause to be done any and all things
that it may deem necessary or desirable in connection with such servicing and
administration. including the power and authority (a) to execute and deliver on
behalf of the Purchaser. customary consents or waivers and other instruments and
documents (including estoppel certificates), (b) to consent to transfers of any
Mortgaged Property and assumptions of the Mortgage Notes and related Mortgages,
(c) to submit claims to collect any Insurance Proceeds and Liquidation Proceeds,
(d) to consent to the application of any Insurance Proceeds or Condemnation
Proceeds to the restoration of the applicable Mortgaged Property or otherwise,
(e) to bring an action in a court of law, including an unlawful detainer action,
to enforce rights of the Purchaser with respect to any Mortgaged Property, (f)
to execute and deliver, on behalf of the Purchaser, documents relating to the
management, operation, maintenance, repair, leasing. marketing and sale of any
Mortgaged Property or any REO Property, and (g) to effectuate foreclosure or
other conversion of the ownership of the Mortgaged Property securing any
Mortgage Loan; provided that the Servicer shall not take any action not provided
for in this Agreement that is materially inconsistent with or materially
prejudices the interest of the Purchaser in any Mortgage Loan or under this
Agreement. If reasonably requested by the Servicer, the Purchaser shall furnish
the Servicer with any powers of attorney and other documents reasonably
necessary or appropriate to enable the Servicer to service and administer the
Mortgage Loans and the REO Properties, including documents relating to the
foreclosure receivership, management, operation, maintenance, repair, leasing,
marketing and sale (in foreclosure or otherwise) of any Mortgaged Property or
any REO Property. Nothing contained in this Agreement shall limit the ability of
the Servicer to lend money to (whether on a secured or unsecured basis), and
otherwise generally engage in any kind of business or dealings with, any
Mortgagor as though the Servicer were not a party to this Agreement or to the
transactions contemplated hereby.

(3) Notwithstanding anything to the contrary contained herein:

         (a) the Servicer acknowledges that the Purchaser or its designee will
retain title to, and ownership of, the Mortgage Loans and the REO Properties and
that the Servicer does not hereby acquire any title to, security interest in, or
other rights of any kind in or to any Mortgage Loan or REO Property or any
portion thereof;

         (b) the Servicer shall not file any lien or any other encumbrance on,
exercise any right of setoff against, or attach or assert any claim in or on any
Mortgage Loan or REO Property, unless authorized pursuant to a judicial or
administrative proceeding or a court order,

         (c) the Servicer shall, in servicing the Mortgage Loans, follow and
comply with the servicing guidelines established by FNMA, provided that the
Servicer shall specifically notify the Purchaser in writing and obtain the
Purchaser's written consent prior to the Servicer taking any of the following
actions: (1) modifying, amending or waiving any of the financial terms of, or
making any other material modifications to, a Mortgage Loan, except the
Servicer I

                                       29
<PAGE>

may, upon the Mortgagor's request, accept a principal prepayment and re-amortize
the then remaining principal balance over the then remaining term of the loan
(resulting in a lower scheduled monthly payment but not change in the maturity
date); (2) selling any Specially Serviced Mortgage Loan or REO Property; (3)
making, with respect to any Specially Serviced Mortgage Loan or REO Property,
Servicing Advances (irrespective of whether non-recoverable); provided that the
Servicer shall not be required to so advise the Purchaser to the extent that
each related Servicing Advance as to the related Mortgaged Property or REO
Property is not in excess of $10,000; (4) forgiving principal or interest on, or
permitting to be satisfied at a discount, any Mortgage Loan; (5) accepting
substitute or additional collateral, or releasing any collateral, for a Mortgage
Loan. If the Purchaser has not approved or rejected in writing any proposed
action(s) recommended by the Servicer to be taken hereunder within 20 Business
Days of the date such recommendation is made, then the Purchaser shall be deemed
to have rejected such recommended action(s) and the Servicer shall not take any
such action(s);

         (d) the Servicer shall notify the Purchaser of any modification, waiver
or amendment of any term of any Mortgage Loan and the date thereof and shall
deliver to the Purchaser, for deposit in the related Mortgage File, an original
counterpart of the agreement relating to such modification, waiver or amendment
promptly following the execution thereof;

         (e) the Servicer shall remain primarily liable for the full performance
of its obligations hereunder notwithstanding any appointment by the Servicer of
a subservicer or subservicers hereunder; and

         (f) the Purchaser may at any time and from time to time, in its sole
discretion, upon 10 Business Days written notice to the Servicer, terminate the
Service servicing obligations hereunder with respect to (1) any REO Property or
(2) any Mortgage Loan that, in accordance with the Purchaser's internal credit
classification criteria, has been classified as "doubtful" or a "loss." Upon the
effectiveness of any such termination of the Service servicing obligations with
respect to any such REO Property or Mortgage Loan, the Servicer shall deliver
all agreements, documents, and instruments related thereto to the Purchaser, in
accordance with applicable law.

Section 5.02. Collection of Mortgage Loan Payments.

         Continuously from the date hereof until the principal and interest on
all Mortgage Loans are paid in full, the Servicer will proceed diligently to
collect all payments due under each Mortgage Loan when the same shall become due
and payable and shall, to the extent such procedures shall be consistent with
this Agreement and the terms and provisions of any related Primary Insurance
Policy, follow such collection procedures as it follows with respect to mortgage
loans comparable to the Mortgage Loans, which procedures shall in any event
comply with the servicing standards set forth in Section 5.01. Furthermore, the
Servicer shall ascertain and estimate annual ground rents, taxes, assessments,
fire and hazard insurance premiums, mortgage insurance premiums, and all other
charges that, as provided in the Mortgages, will become due and payable to the
end that the installments payable by the Mortgagors will be sufficient to pay
such charges as and when they become due and payable.

                                       30
<PAGE>

Section 5.03.     Collection of Mortgage Loan Payments.

         The Servicer shall, within five (5) calendar days following each Record
Date, deliver to the Purchaser monthly reports (substantially in the form of
Exhibit 5.03(a) and Exhibit 5.03(b) attached hereto) with respect to all
Specially Serviced Mortgage Loans. In addition, the Servicer shall, within one
(1) Business Day following the occurrence of any foreclosure sale with respect
to any Mortgaged Property, deliver to the Purchaser a notice of foreclosure sale
substantially in the form of Exhibit 5.03(c) attached hereto.

Section 5.04. Establishment of Collection Account: Deposits in Collections.

         The Servicer shall segregate and hold all funds collected and received
pursuant to each Mortgage Loan separate and apart from any of its own funds and
general assets and shall establish and maintain one or more Collection Accounts,
in the form of time deposit or demand counts constituting Eligible Accounts,
with any funds in excess of the current FDIC established insurance limits
invested in Permitted Investments. The creation of any Collection Account shall
be evidenced by a certification in the form of Exhibit 5.04-1 attached hereto,
in the case of an account established with the Servicer, or a letter agreement
in the form of Exhibit 5.04-2 attached hereto, in the case of an account held by
a depository other than the Servicer. In either case, a copy of such
certification or letter agreement shall be furnished to the Purchaser.

         The Servicer shall deposit in the Collection Account on a daily basis,
within two Business Days after receipt (or as otherwise required pursuant to
this Agreement in the case of clauses (7), (8) and (9) of this Section 5.04) and
retain therein the following payments and collections received or made by it
subsequent to each Funding Date, or received by it prior to the Funding Date but
allocable to a period subsequent thereto, other than in respect of principal and
interest on the Mortgage Loans due on or before the Funding Date:

1)       all payments on account of principal, including Principal Prepayments,
         on the Mortgage Loans;

2)       all payments on account of interest on the Mortgage Loans;

3)       all Liquidation Proceeds;

4)       all Insurance Proceeds, including amounts required to be deposited
         pursuant to Sections 5.10 and 5.11, other than proceeds to be held in
         the Escrow Account and applied to the restoration or repair of the
         Mortgaged Properties or released to the applicable Mortgagors in
         accordance with the Service normal servicing procedures, the related
         Mortgages or applicable law;

5)       all Condemnation Proceeds affecting any Mortgaged Property which are
         not released to a Mortgagor in accordance with the Service normal
         servicing procedures, the related Mortgage or applicable law;

6)       any Monthly Advances in accordance with Section 6.03;

                                       31
<PAGE>

7)       any amounts required to be deposited by the Servicer pursuant to
         Section 5.11 in connection with the deductible clause in any blanket
         hazard insurance policy, such deposit to be made from the Service own
         funds without reimbursement therefor;

8)       any amounts required to be deposited by the Servicer pursuant to
         Section 5.16(ii) in connection with any losses on Permitted
         Investments; and

9)       any amounts required to be deposited in the Collection Account pursuant
         to Sections 7.01 or 7.02 or otherwise pursuant to the terms hereof.

10)      interest on the amount of any Payoff at t"1e related Remittance Rate to
         the end of the month in which prepayment of the related Mortgage Loan
         occurs.

         The foregoing requirements for deposit in the Collection Account shall
be exclusive, it being understood and agreed that, without limiting the
generality of the foregoing, payments in the nature of late payment charges and
assumption fees, to the extent permitted by Section 7.0 1 , need not be
deposited by the Servicer in the Collection Account and shall be retained by the
Servicer as additional compensation.

Section 5.05. Permitted Withdrawals from the Collection Account.

         The Servicer may, from time to time in accordance with the provisions
hereof, withdraw amounts from the Collection Account for the following purposes
(without duplication):

1)       to reimburse itself for unreimbursed Monthly Advances and Servicing
         Advances (other than with respect to REO Properties) that are approved
         by the Purchaser as being non-recoverable in accordance with Section
         6.04; ,

2)       to make payments to the Purchaser in the amounts, at the times and in
         the manner provided r for in Section 6.01;

3)       to reimburse itself for Monthly Advances, the Service right to
         reimburse itself pursuant to this Subsection 3 being limited to amounts
         received on the related Mortgage Loan which represent late payments of
         principal and/or interest with respect to which any such Monthly
         Advance was made;

4)       to reimburse itself for unreimbursed Servicing Advances (other than
         with respect to REO Properties) and for unreimbursed Monthly Advances,
         the Service right to reimburse itself pursuant to this Subsection 4
         with respect to any Mortgage Loan being limited to related Liquidation
         Proceeds, Condemnation Proceeds, Insurance Proceeds and such other
         amounts as may be collected by the Servicer from the Mortgagor or
         otherwise relating to the Mortgage Loan, it being understood that, in
         the case of such reimbursement, the Service right thereto shall be
         prior to the rights of the Purchaser, except that, where a Seller or
         the Servicer is required to repurchase a Mortgage Loan pursuant to
         Sections 2.04, 3.04 and/or 7.02, the Service right to such
         reimbursement shall be subsequent and subordinate to the payment to the
         Purchaser of the applicable Repurchase Price and all other amounts
         required to be paid to the Purchaser with respect to such Mortgage
         Loan;

                                       32
<PAGE>

5)       to pay to itself, solely out of the interest portion of the Monthly
         Payment actually received with respect to a Mortgage Loan during the
         period ending on the most recent Determination Date, the Servicing Fee
         with respect to such Mortgage Loan;

6)       to pay to itself as additional servicing compensation (a) any interest
         earned on funds in the Collection Account (all such interest to be
         withdrawn monthly not later than each Remittance Date) and (b) any
         prepayment penalties or premiums relating to any Principal Prepayments;
         provided that no such amounts shall be payable as servicing
         compensation to the extent they relate to a Mortgage Loan with respect
         to which a default, breach, violation, or event of acceleration exists
         or would exist but for the lapse of time, the giving of notice, or
         both;

7)       to pay to itself with respect to each Mortgage Loan that has been
         repurchased pursuant to Sections 2.04, 3.04 and/or 7.02 all amounts
         received thereon and not distributed as of the date on which the
         related Repurchase Price is determined (except to the extent that such
         amounts constitute part of the Repurchase Price to be remitted to the
         Purchaser);

8)       to remove any amounts deposited into the Collection Account in error;
         and

9)       to clear and terminate the Collection Account upon the termination of
         this Agreement, with any funds contained therein to be distributed in
         accordance with the terms of this Agreement.

10)      The Servicer shall keep and maintain a separate, detailed accounting,
         on a Mortgage Loan- by-Mortgage Loan basis, for the purpose of
         justifying any withdrawal from the Collection Account pursuant to this
         Section.

Section 5.06. Establishment of Escrow Accounts: Deposits in Escrow.

         The Servicer shall segregate and hold all funds collected and received
pursuant to each Mortgage Loan which constitute Escrow Payments separate and
apart from any of its own funds and general assets and shall establish and
maintain one or more Escrow Accounts, in the form of time deposit or demand
accounts. The creation of any Escrow Account shall be evidenced by a
certification in the form shown on Exhibit 5.06-1 attached hereto, in the case
of an account i established with the Servicer, or a letter agreement in the form
shown on Exhibit 5.06-2 attached hereto, in the case of an account held by a
depository other than the Servicer, such depository haying been consented to by
the Purchaser. In either case, a copy of such certification or letter agreement
shall be furnished to the Purchaser.

         The Servicer shall deposit in each Escrow Account on a daily basis, and
retain therein, (i) all Escrow Payments collected on account of the related
Mortgage Loans for the purpose of effecting timely payment of any such items as
required under the terms of this Agreement, and (ii) all Insurance Proceeds
which are to be applied to the restoration or repair of any Mortgaged Property.
The Servicer shall make withdrawals therefrom only to effect such payments as
are required under Sections 5.07 and/or 5.08. The Servicer shall be entitled to
retain any interest paid on funds deposited in the Escrow Account by the
depository institution other than interest on escrowed funds required by law to
be paid to the Mortgagor and, to the extent required by law, the Servicer shall
pay interest on escrowed funds to the Mortgagor notwithstanding that the

                                       33
<PAGE>

Escrow Account is non-interest bearing or that interest paid thereon is
insufficient for such purposes, without any right of reimbursement therefor. The
Servicer shall be responsible for ensuring that the administrator of the Escrow
Account complies with all applicable laws, and shall indemnify and hold the
Purchaser harmless with respect to the administration of such Accounts.

Section 5.07. Permitted Withdrawals From Escrow Account

         Withdrawals from any Escrow Account may be made by the Servicer only
(i) to effect timely payments of ground rents, taxes, assessments, water rates,
hazard insurance premiums, Primary Insurance Policy premiums, if applicable, and
comparable items constituting Escrow Payments for the related Mortgage, (ii) to
reimburse the Servicer for any Servicing Advance made by the Servicer with
respect to a related Mortgage Loan but only from amounts received on the related
Mortgage Loan that represent late payments or collections of Escrow Payments
thereunder, (iii) to refund to the Mortgagor any funds as may be determined to
be overages, (iv) if permitted by applicable law, for transfer to the Collection
Account in accordance with the terms of this Agreement, (v) for application to
restoration or repair of the Mortgaged Property in accordance with the terms of
the related Mortgage Loan, (vi) to pay to the Servicer, or to the Mortgagor to
the extent required by law, any interest paid on the funds deposited in the
Escrow Account, (vii) to reimburse a Mortgagor in connection with the making of
the Payoff of the related Mortgage Loan or the termination of all or part of the
escrow requirement in connection with the Mortgage Loan, (viii) to remove any
amounts deposited into the Escrow Account in error; or (ix) to clear and
terminate the Escrow Account on the termination of this Agreement.

Section 5.08. Payment of Taxes. Insurance and Other Charges: Maintenance of Prim
Insurance Policies: Collections Thereunder.

         With respect to each Mortgage Loan, the Servicer shall maintain
accurate records reflecting the status of ground rents, taxes, assessments,
water rates and other charges which are or may become a lien upon the Mortgaged
Property and the status of Primary Insurance Policy premiums and fire and hazard
insurance coverage and shall obtain, from time to time, all bills for the
payment of such charges, including renewal premiums, and shall effect payment
thereof prior to the applicable penalty or termination date and at a time
appropriate for securing maximum discounts allowable, employing for such purpose
deposits of the Mortgagor in the Escrow Account which shall have been estimated
and accumulated by the Servicer in amounts sufficient for such purposes, as
allowed under the terms of the Mortgage and applicable law. If a Mortgage does
not provide for Escrow Payments, then the Servicer shall require that any such
payments be made by the Mortgagor at the time they f1fSt become due. The
Servicer assumes full responsibility for the timely payment of all such bills
and shall effect timely payments of all such bills irrespective of the
Mortgagor's faithful performance in the payment of same or the making of the
Escrow Payments and shall make advances from its own funds to effect such
payments but shall be entitled to reimbursement thereof in accordance with the
terms of this Agreement.

         The Servicer shall maintain in full force and effect a Primary
Insurance Policy, conforming in all respects to the description set forth in
Section 3.03(29), issued by an insurer described in that Section, with respect
to each Mortgage Loan for which such coverage is required. Such coverage will be
maintained until the Loan-to- Value Ratio of the related

                                       34
<PAGE>

Mortgage Loan is reduced to 75% or less in the case of a Mortgage Loan having a
Loan-to- Value Ratio at origination in excess of 80% or until such time, if any,
as such insurance is required to be released in accordance with the provisions
of applicable law including, but not limited to, the Homeowners Protection Act
of 1998. The Servicer shall assure that all premiums due under any Primary
Insurance Policy are paid in a timely manner, but, shall be entitled to
reimbursement pursuant to the terms of this Agreement for premiums paid by the
Servicer on behalf of any Mortgagor who is obligated to pay such premiums but
fails to do so. The Servicer shall not cancel or refuse to renew any Primary
Insurance Policy in effect on the Closing Date that is required to be kept in
force under this Agreement unless a replacement Primary Insurance Policy for
such canceled or nonrenewed policy is obtained from and maintained with an
insurer that satisfies the standards set forth in Section 3.03. The Servicer
shall not take any action which would result in noncoverage under any applicable
Primary Insurance Policy of any loss which, but for the actions of the Servicer,
would have been covered thereunder. In connection with any assumption or
substitution agreement entered into or to be entered into pursuant to Section
7.01, the Servicer shall promptly notify the insurer under the related Primary
Insurance Policy, if any, of such assumption or substitution of liability in
accordance with the terms of such policy and shall take all actions which may be
required by such insurer as a condition to the continuation of coverage under
the Primary Insurance Policy. If such Primary Insurance Policy is terminated as
a result of such assumption or substitution of liability, then the Servicer
shall obtain, and, except as otherwise provided above, maintain, a replacement
Primary Insurance Policy as provided above.

         In connection with its activities as servicer, the Servicer agrees to
prepare and present, o behalf of itself and the Purchaser, claims to the insurer
under any Primary Insurance Policy in ! timely fashion in accordance with the
terms of such policies and, in this regard, to take such action as shall be
necessary to permit recovery under any Primary Insurance Policy respecting a
defaulted Mortgage Loan. Pursuant to Section 5.04, any amounts collected by the
Servicer under any Primary Insurance Policy shall be deposited in the Collection
Account, subject to withdrawal in accordance with Section 5.05.

Section 5.09. Transfer of Accounts.

         The Servicer may transfer the Collection Account or any Escrow Account
to a different depository institution from time to time; provided that (i) no
such transfer shall be made unless all certifications or letter agreements
required under Section 5.04 have been executed and delivered by the parties
thereto; and (ii) concurrently upon any such transfer, the Servicer shall give
written notice thereof to the Purchaser. Notwithstanding anything to the
contrary contained herein, the Collection Account and each Escrow Account shall
at all times constitute Eligible Accounts.

         To the extent that at any time the funds in either the Collection
Account or the Escrow Account should exceed the FDIC maximum insurance limit,
(the "Excess Amount"), the Servicer shall put such Excess Amounts into Permitted
Investments, which funds shall be brought back into the Collection Account or
Escrow Account, as the case may be, for distribution to the Purchaser on the
related Remittance Date.

                                       35
<PAGE>

Section 5.10. Maintenance of Hazard Insurance.

         The Servicer shall cause to be maintained for each Mortgage Loan fire
and hazard insurance with extended coverage as is customary in the area where
the Mortgaged Property is located in an amount that is at least equal to the
lesser of (a) the maximum insurable value of the improvements securing such
Mortgage Loan and (b) the greater of (1) the Unpaid Principal Balance of such
Mortgage Loan or (2) an amount such that the proceeds thereof shall be
sufficient to prevent the Mortgagor and/or the loss payee from becoming a
co-insurer.

         If any Mortgaged Property is in an area identified by the Federal
Emergency Management Agency as having special flood hazards and such flood
insurance has been made available, then the Servicer will cause to be maintained
a flood insurance policy meeting the requirements of the current guidelines of
the National Flood Insurance Program with a generally acceptable insurance
carrier, in an amount representing coverage not less than the lesser of (a) the
outstanding principal balance of the related Mortgage Loan or (b ) the maximum
amount of insurance which is available under the Flood Disaster Protection Act
of 1973, as amended.

         The Servicer shall also maintain on each REO Property fire, hazard and
liability insurance, and to the extent required and available under the Flood
Disaster Protection Act of 1973, as amended, flood insurance with extended
coverage in an amount which is at least equal to the lesser of (a) the maximum
insurable value of the improvements which are a part of such property and (b )
the outstanding principal balance of the related Mortgage Loan at the time it
became an REO Property plus accrued interest at the Note Rate and related
Servicing Advances.

         All such policies shall be endorsed with standard mortgagee clauses
with loss payable to . the Servicer, or upon request to the Purchaser, and shall
provide for at least 30 days prior written notice of any cancellation, reduction
in the amount of, or material change in, coverage to the Servicer. The Servicer
shall not interfere with the Mortgagor's freedom of choice in selecting either
his insurance carrier or agent, provided that the Servicer shall not accept any
such insurance policies from insurance companies unless such companies (a)
currently reflect (1) a general policyholder's rating of B+ or better and a
financial size category of ill or better in Best's Key Rating Guide, or (2) a
general policyholder's rating of " A "or " A-" or better in Best's Key Rating
Guide, and (b ) are licensed to do business in the state wherein the related
Mortgaged Property is located. Notwithstanding the foregoing, the Servicer may
accept a policy underwritten by Lloyd's of London or, if it is the only coverage
available, coverage under a state's Fair Access to Insurance Requirement {FAIR)
Plan. If a hazard policy becomes in danger of being terminated, or the insurer
ceases to have the ratings noted above, the Servicer shall notify the Purchaser
and the related Mortgagor, and shall use its best efforts, as permitted by
applicable law, to obtain from another qualified insurer a replacement hazard
insurance policy substantially and materially similar in all respects to the
original policy. In no event, however, shall a Mortgage Loan be without a hazard
insurance policy at any time, subject only to Section 5.11.

         Pursuant to Section 5.04, any amounts collected by the Servicer under
any such policies other than amounts to be deposited in the Escrow Account and
applied to the restoration or repair of the Mortgaged Property or REO Property,
or released to the Mortgagor in accordance with the Service nom1al servicing
procedures, shall be deposited in the Collection Account within one

                                       36
<PAGE>

Business Day after receipt, subject to withdrawal in accordance with Section
5.05. Any cost incurred by the Servicer in maintaining any such insurance shall
not, for the purpose of calculating remittances to the Purchaser, be added to
the unpaid principal balance of the related Mortgage Loan, notwithstanding that
the terms of such Mortgage Loan so permit.

         It is understood and agreed that no earthquake or other additional
insurance need be required by the Servicer of the Mortgagor or maintained on
property acquired in respect of the Mortgage Loan, other than pursuant to such
applicable laws and regulations as shall at any time be in force and as shall
require such additional insurance.

Section 5.11. Maintenance of Mortgage Impairment Insurance Policy.

         If the Servicer obtains and maintains a blanket policy issued by an
issuer that has a Best's Key rating of A+:V insuring against hazard losses on
all of the Mortgage Loans, then, to the extent such policy provides coverage in
an amount equal to the amount required pursuant to Section 5.10 and otherwise
complies with all other requirements of Section 5.10, it shall conclusively be
deemed to have satisfied its obligations as set forth in Section 5.10, it being
understood and agreed that such policy may contain a deductible clause, in which
case the Servicer shall, if there shall not have been maintained on the related
Mortgaged Property or REO Property a policy complying with Section 5.10 and
there shall have been one or more losses which would have been covered by such
policy, deposit in the Collection Account the amount not otherwise payable under
the blanket policy because of such deductible clause; provided that the Servicer
shall not be entitled to obtain reimbursement therefor. In connection with its
activities as servicer of the Mortgage Loans, the Servicer agrees to prepare and
present, on behalf of the Purchaser, claims under any such blanket policy in a
timely fashion in accordance with the terms of such policy. Upon request of the
Purchaser, the Servicer shall cause to be delivered to the Purchaser a certified
true copy of such policy and a statement from the insurer thereunder that such
policy shall in no event be terminated or materially modified without 30 days"
prior written notice to the Purchaser.

Section 5.12. Fidelity Bond: Errors and Omissions Insurance.

         The Servicer shall maintain, at its own expense, a blanket fidelity
bond and an errors and omissions insurance policy, with broad coverage with
responsible companies that would meet the requirements of FNMA and FHLMC on all
officers, employees or other Persons acting in any capacity with regard to the
Mortgage Loan to handle funds, money, documents and papers relating to the
Mortgage Loans. The Fidelity Bond and errors and omissions insurance shall be in
the form of the "Mortgage Banker's Blanket Bond" and shall protect and insure
the Servicer against losses, including losses arising by virtue of any Mortgage
Loan not being satisfied in accordance with the procedures set forth in Section
7.02 and/or losses resulting from or arising in connection with forgery, theft,
embezzlement, fraud, errors and omissions and negligent acts of or by such
Persons. Such Fidelity Bond shall also protect and insure the Servicer against
losses in connection with the failure to maintain any insurance policies
required pursuant to this Agreement and the release or satisfaction of a
Mortgage Loan without having obtained payment in full of the indebtedness
secured thereby. No provision of this Section 5.12 requiring the Fidelity Bond
and errors and omissions insurance shall diminish or relieve the Servicer from
its duties and obligations as set forth in this Agreement. The minimum coverage
under any such

                                       37
<PAGE>

bond and insurance policy shall be at least equal to the corresponding amounts
required by FNMA in the FNMA Guide and by FHLMC in the FHLMC Servicing Guide.
The Servicer shall cause to be delivered to the Purchaser on or before the
Closing Date: (i) a certified true copy o(r the Fidelity Bond and insurance
policy; (ii) a written statement from the surety and the insurer that such
Fidelity Bond or insurance policy shall in no event be terminated or materially
modified without 30 days prior written notice to the Purchaser; and (iii)
written evidence reasonably satisfactory to the Purchaser that such Fidelity
Bond or insurance policy provides that the Purchaser is a beneficiary or loss
payee thereunder.

Section 5.13. Management of REO Properties.

         If title to any Mortgaged Property is acquired in foreclosure or by
deed in lieu of foreclosure (each, an "REO Property"), the deed or certificate
of sale shall be taken in the name of the Purchaser or the Person (which may be
the Servicer for the benefit of the Purchaser) designated by the Purchaser, or
in the event the Purchaser or such Person is not authorized or permitted to hold
title to real property in the state where the REO Property is located, or would
be adversely affected under the "doing business" or tax laws of such state by so
holding title, the deed or certificate of sale shall be taken in the name of
such Person or Persons as shall be consistent with an opinion of counsel
obtained by the Servicer from an attorney duly licensed to practice law in the
state where the REO Property is located. The Servicer (acting alone or through a
subservicer), on behalf of the Purchaser, shall, subject to Section
5.01(iii)(c), dispose of any REO Property pursuant to Section 5.14. Unless an
appraisal prepared by an MAI Appraiser who is Independent in accordance with the
provisions of 12 C.F.R. 225.65 shall have been obtained in connection with the
acquisition of such REO Property, promptly following any acquisition by the
Purchaser (through the Servicer) of an REO Property, the Servicer shall obtain a
narrative appraisal thereof (at the expense of the Purchaser) in order to
determine the fair market value of such REO Property. The Servicer shall
promptly notify the Purchaser of the results of such appraisal. The Servicer
shall also cause each REO Property to be inspected promptly upon the acquisition
of title thereto and shall cause each REO Property to be inspected at least
annually thereafter, and Servicer shall be entitled to be reimbursed for
expenses in connection therewith in accordance with this Agreement. The Servicer
shall make or cause to be made a written report of each such inspection. Such
reports shall be retained in the Service Mortgage File and copies thereof shall
be forwarded by the Servicer to the Purchaser. The Servicer shall also furnish
to the Purchaser the applicable reports required under Section 8.01.

         Notwithstanding anything to the contrary contained herein, if a REWC
election has been or is to be made with respect to the arrangement under which
the Mortgage Loans and the REO Properties are held, then the Servicer shall
manage, conserve, protect and operate each REO Property in a manner that does
not cause such REO Property to fail to qualify as "foreclosure property" within
the meaning of Section 86OG(a)(8) of the Code or result in the receipt by such
REMIC of any "income from non-permitted assets" within the meaning of Section
86OF(a)(2)(B) or any "net income from foreclosure property" within the meaning
of Section 86OG(c)(2) of the Code (or comparable provisions of any successor or
similar legislation).

         The Servicer shall deposit and hold all revenues and funds collected
and received in connection with the operation of each REO Property in the
Collection Account, and the Servicer

                                       38
<PAGE>

shall account separately for revenues and funds received or expended with
respect to each REO Property.

         The Servicer shall have full power and authority, subject only to the
specific requirements and prohibitions of this Agreement (and, in particular,
Section 5.01(iii)(c)), to do any and all things in connection with any REO
Property as are consistent with the servicing standards set forth in Section
5.01. In connection therewith, the Servicer shall deposit or cause to be
deposited on a daily basis in the Collection Account all revenues and
collections received or collected by it with respect to each REO Property,
including all proceeds of any REO Disposition. Subject to Section 5.15(iv), the
Servicer shall withdraw (without duplication) from the Collection Account, but
solely from the revenues and collections received or collected by it with
respect to a specific REO Property, such funds necessary for the proper
operation, management and maintenance of such REO Property, including the
following:

(1) all insurance premiums due and payable in respect of such REO Property;

(2) all real estate taxes and assessments in respect of such REO Property that
may result in the imposition of a lien thereon;

(3) all customary and reasonable costs and expenses necessary to maintain,
repair, appraise, evaluate, manage or operate such REO Property (including the
customary and reasonable costs incurred by any "managing agent" retained by the
Servicer in connection with the maintenance, management or operation of such REO
Property);

(4) all reasonable costs and expenses of restoration improvements, deferred
maintenance and tenant improvements; and

(5) all other reasonable costs and expenses, including reasonable attorneys"
fees, that the Servicer may suffer or incur in connection with its performance
of its obligations under this Section (other I than costs and expenses that the
Servicer is expressly obligated to bear pursuant to this Agreement).

         To the extent that amounts on deposit in the Collection Account are
insufficient for the purposes set forth in clauses (a) through (e) above, the
Servicer shall, subject to Section 6.04, advance the amount of funds required to
cover the shortfall with respect thereto. The Servicer shall promptly notify the
Purchaser in writing of any failure by the Servicer to make a Servicing Advance
of the type specified in clauses (a) or (b) above (irrespective of whether such
Servicing Advance is claimed to be non-recoverable by the Servicer pursuant to
Section 6.04).

         Following the consummation of an REO Disposition, the Servicer shall
remit to the Purchaser, in accordance with Section 6.01, any proceeds from such
REO Disposition in the Collection Account following the payment of all expenses
and Servicing Advances relating to the subject REO Property.

Section 5.14. Sale of Specially Serviced Mortgage Loans and REO Properties.

         Subject to Section 5.01 (and, specifically, Section 5.01(iii)(c)) and
Section 5.15, the Servicer shall offer to sell any REO Property no later than
the time determined by the Servicer to

                                       39
<PAGE>

be; sufficient to result in the sale of such REO Property on or prior to the
purchase date specified in Section 5.15(iii). In accordance with the servicing
standards set forth in Section 5.01, the Servicer shall solicit bids and offers
from Persons for the purchase of any Specially Serviced Mortgage Loan or REO
Property and, upon receipt thereof, promptly (but in any event within 3 Business
Days) present such bids and offers to the Purchaser. The Servicer shall not
accept any bid or offer for any Specially Serviced Mortgage Loan or REO Property
except in compliance with Section 5.01(iii)(c). The Purchaser may reject any bid
or offer if the Purchaser determines the rejection of such bid or offer would be
in the best interests of the Purchaser. If the Purchaser rejects any bid or
offer, the Servicer shall, if appropriate, seek an extension of the 2 year
period referred to in Section 5.15.

         Subject to Section 5.01 (and, specifically, Section 5.01(iii)(c)) and
Section 5.15, the Servicer shall act on behalf of the Purchaser in negotiating
and taking any other action necessary or appropriate in connection with the sale
of any Specially Serviced Mortgage Loan or REO Property, including the
collection of all amounts payable in connection therewith. The terms of sale of
any Specially Serviced Mortgage Loan or REO Property shall be in the sole
discretion of the Purchaser. Any sale of a Specially Serviced Mortgage Loan or
any REO Disposition shall be without recourse to, or representation or warranty
by, the Purchaser or the Servicer, and, if consummated in accordance with the
terms of this Agreement, then the Servicer shall have no liability to the
Purchaser with respect to the purchase price therefor accepted by the Purchaser.
The proceeds of any sale after deduction of the expenses of such sale incurred
in connection therewith shall be promptly deposited in (a) if such sale is an
REO Disposition, in the Collection Account in accordance with Section 5.13 and
(b) in any other circumstance, the Collection Account in accordance with Section
5.04.

Section 5.15. Realization Upon Specially Serviced Mortgage Loans and REO
Properties.

         Subject to Section 5.01(iii)(c), the Servicer shall foreclose upon or
otherwise comparably convert the ownership of properties securing such of the
Specially Serviced Mortgage Loans as come into and continue in default and as to
which (a) in the reasonable judgment of the Servicer, no satisfactory
arrangements can, in accordance with prudent lending practices, be made for
collection of delinquent payments pursuant to Section 5.01 and (b) such
foreclosure or other conversion is otherwise in accordance with Section 5.01.
The Servicer shall not be required to expend its own funds in connection with
any foreclosure or towards the restoration, repair, protection or maintenance of
any property unless it shall determine that such expenses will be recoverable to
it as Servicing Advances either through Liquidation Proceeds or through
Insurance Proceeds (in accordance with Section 5.05) or from any other source
relating to the Specially Serviced Mortgage Loan. The Servicer shall be required
to advance funds for all other costs and expenses incurred by it in any such
foreclosure proceedings; provided that it shall be entitled to reimbursement
thereof from the proceeds of liquidation of the related Mortgaged Property, as
contemplated by Section 5.05.

         Upon any Mortgaged Property becoming an REO Property, the Servicer
shall promptly notify the Purchaser thereof, specifying the date on which such
Mortgaged Property became an REO Property. Pursuant to its efforts to sell such
REO Property, the Servicer shall, either itself or through an agent selected by
it, protect and conserve such REO Property in accordance with the servicing
standards set forth in Section 5.01 and may, subject to Section 5.01(iii)(c) and

                                       40
<PAGE>

incident" to its conservation and protection of the interests of the Purchaser,
rent the same, or any part thereof, for the period to the sale of such REO
Property.

         Notwithstanding anything to the contrary contained herein, the
Purchaser shall not, and the Servicer shall not on the Purchaser's behalf,
acquire any real property (or personal property incident to such real property)
except in connection with a default or a default that is imminent on a Mortgage
Loan. If the Purchaser acquires any real property (or personal property incident
to such real property) in connection with such a default, then such property
shall be disposed of by the Servicer in accordance with this Section and Section
5.14 as soon as possible but in no event later than 2 years after its
acquisition by the Servicer on behalf of the Purchaser, unless the Servicer
obtains, at the expense of the Purchaser, in a timely fashion an extension from
the Internal Revenue Service for an additional specified period.

         Any recommendation of the Servicer to foreclose on a defaulted Mortgage
Loan shall be subject to a determination by the Servicer that the proceeds of
such foreclosure would exceed the costs and expenses of bringing such a
proceeding. The income earned from the management of any REO Property, net of
reimbursement to the Servicer for Servicing Advances and fees for work-out
compensation in accordance with the FHLMC Servicing Guide, incurred with respect
to such REO Property under Section 5.13, shall be applied to the payment of the
costs and expenses set forth in Section 5.13(iv), with any remaining amounts to
be promptly deposited in the Collection Account in accordance with Section 5.13.

         If, in the exercise of its servicing obligations with respect to any
Mortgaged Property hereunder, the Servicer deems it is necessary or advisable to
obtain an Environmental Assessment, then the Servicer shall so obtain an
Environmental Assessment, it being understood that all reasonable costs and
expenses incurred by the Servicer in connection with any such Environmental
Assessment (including the cost thereof) shall be deemed to be Servicing Advances
recoverable by the Servicer pursuant to Section 5.13(iv). Such Environmental
Assessment shall (a) assess whether (1) such Mortgaged Property is in material
violation of applicable Environmental Laws or (2) after consultation with an
environmental expert, taking the actions necessary to comply with applicable
Environmental Laws is reasonably likely to produce a greater recovery on a net
present value basis than not taking such actions, and (b) identify whether (1)
any circumstances are present at such Mortgaged Property relating to the use,
management or disposal of any hazardous materials for which investigation,
testing, monitoring, containment, clean-up or remediation could be required
under any federal, state or local law or regulation, or (2) if such
circumstances exist, after consultation with an environmental expert, taking
such actions is reasonably likely to produce a greater recovery on a present
value basis than not taking such actions. (The conditions described in the
immediately preceding clauses (a) and (b) shall be referred to herein as
"Environmental Conditions Precedent to Foreclosure.") If any such Environmental
Assessment so warrants, the Servicer is hereby authorized to and shall perform
such additional environmental testing as it deems necessary and prudent to
establish the satisfaction of the foregoing Environmental Conditions Precedent
to Foreclosure or to proceed i accordance with Subsection (vi) or (vii), as the
case may be, below (such additional testing , thereafter being included in the
term "Environmental Assessment").

         If an Environmental Assessment deemed necessary or advisable by the
Servicer in accordance with Subsection 5 of this Section 5.15 establishes that
any of the Environmental

                                       41
<PAGE>

Conditions Precedent to Foreclosure is not satisfied with respect to any
Mortgaged Property, but the Servicer in good faith reasonably believes that it
is in the best economic interest of the Purchaser to proceed against such
Mortgaged Property and, if title thereto is acquired, to take such remedial,
corrective or other action with respect to the unsatisfied condition or
conditions as may be prescribed by applicable law to satisfy such condition or
conditions, then the Servicer shall so notify the Purchaser. If, pursuant to
Section 5.01(iii)(c), the Purchaser has notified the Servicer in writing to
proceed against such Mortgaged Property, then the Servicer shall so proceed. The
cost of any remedial, corrective or other action contemplated by the preceding
sentence in respect of any of the Environmental Conditions Precedent to
Foreclosure that is not satisfied shall not be an expense of the Servicer and
the Servicer shall not be required to expend or risk its own funds or otherwise
incur any financial liability in connection with any such action.

         If an Environmental Assessment deemed necessary or advisable by the
Servicer in accordance with Subsection 5 of this Section 5.15 establishes that
any of the Environmental Conditions Precedent to Foreclosure is not satisfied
with respect to any Mortgaged Property and, in accordance with Section
5.01(iii)(c), the Purchaser elects or is deemed to have elected not to proceed
against such Mortgaged Property, then the Servicer shall, subject to Section
5.01(iii)(c), take such action as it deems to be in the best economic interest
of the Purchaser (other than proceeding against the Mortgaged Property or
directly or indirectly becoming the owner or operator thereof) as determined in
accordance with the servicing standard set forth in Section 5.01 and is hereby
authorized at such time as it deems appropriate to release such Mortgaged
Property from the lien of the related Mortgage.

         Prior to the Servicer taking any action with respect to the use,
management or disposal of any hazardous materials on any Mortgaged Property, the
Servicer shall request the approval of the Purchaser in accordance with Section
5.01(iii)(c) and, if such action is approved by the Purchaser, (a) keep the
Purchaser apprised of the progress of such action; and (b) take such action in
compliance with all applicable Environmental Laws.

Section 5.16. Investment of Funds in the Collection Account.

         The Servicer may direct any depository institution which holds a
Collection Account to invest the funds in the Collection Account in one or more
Permitted Investments bearing interest. All such Permitted Investments shall be
held to maturity, unless payable on demand. In the event amounts on deposit in
the Collection Account are at any time invested in a Permitted Investment
payable on demand, the Servicer shall:

                  (a) consistent with any notice required to be given
thereunder, demand that payment ! thereon be made on the last day such Permitted
Investment may otherwise mature thereunder in an amount equal to the lesser of
(1) all amounts then payable thereunder and (2) the amount required to be
withdrawn on such date; and

                  (b) demand payment of all amounts due thereunder promptly upon
determination by the Servicer or notice from the Purchaser that such Permitted
Investment would not constitute a Permitted Investment in respect of funds
thereafter on deposit in the Collection Account.

                                       42
<PAGE>

         All income and gain realized from investment of funds deposited in the
Collection Account shall be for the benefit of the Servicer and shall be subject
to its withdrawal in accordance with Section 5.05. The Servicer shall deposit in
the Collection Account the amount of any loss incurred in respect of any
Permitted Investment immediately upon realization of such loss.

         Except as otherwise expressly provided in this Agreement, if any
default occurs in the making of a payment due under any Permitted Investment, or
if a default occurs in any other performance required under any Permitted
Investment, the Purchaser may elect to take such action, or instruct the
Servicer to take such action, as may be appropriate to enforce such payment or
performance, including the institution and prosecution of
appropriate-proceedings, at the expense of the Servicer .

                   ARTICLE VI: REPORTS; REMITTANCES; ADVANCES

Section 6.01. Remittances.

(1) On each Remittance Date, the Servicer shall remit to the Purchaser (a) all
amounts credited to the Collection Account as of the close of business on the
preceding Determination Date (including (1) the amount of any Payoff, together
with interest thereon at the related Remittance Rate to the end of the month in
which prepayment of the related Mortgage Loan occurs and (2) all proceeds of any
REO Disposition net of amounts payable to the Servicer pursuant to Section
5.13), net of charges against or withdrawals from the Collection Account in
accordance with Section 5.05, which charges against or withdrawals from the
Collection Account the Servicer shall make solely on such Remittance Date, plus
(b) all Monthly Advances, if any, which the Servicer is obligated to remit
pursuant to Section 6.03; provided that the Servicer shall not be required to
remit, until the next following Remittance Date, any amounts attributable to
Monthly Payments collected but due on a Due Date or Dates subsequent to the
preceding Determination Date.

(2) All remittances made to the Purchaser on each Remittance Date will be made
to the Purchaser or Purchaser's designee by wire transfer of immediately
available funds accordingly to the instructions that will be provided by
Purchaser to the Servicer. t

(3) With respect to any remittance received by the Purchaser after the Business
Day on which such payment was due, the Servicer shall pay to the Purchaser
interest on any such late payment at an annual rate equal to the rate of
interest as is publicly announced from time to time by Citibank, N.A., New York,
New York, as its prime lending rate, adjusted as of the date of each change,
plus two percentage points, but in no event greater than the maximum amount
permitted by applicable law. Such interest shall be paid by the Servicer to the
Purchaser on the date such late payment is made and shall cover the period
commencing with the Business Day on which such payment was due and ending with
the Business Day on which such payment is made, both inclusive. Such interest
shall be remitted along with such late payment. Neither the payment by the
Servicer nor the acceptance by the Purchaser of any such interest shall be
deemed an extension of time for payment or a waiver by the Purchaser of any
Event of Default.

                                       43
<PAGE>

Section 6.02. Reporting.

         On or before the 5th calendar day (or, if such day is not a Business
Day, on the immediately succeeding Business Day) of each month during the term
hereof, the Servicer shall deliver to the Purchaser monthly accounting reports
in the form of Exhibits 6.02( a) through 6.02(g) attached hereto with respect to
the most recently ended Monthly Period. Such monthly accounting reports shall
include information as to the aggregate Unpaid Principal Balance of all Mortgage
Loans, the scheduled amortization of all Mortgage Loans, any delinquencies and
the amount of any Principal Prepayments as of the most recently ended Record
Date. The Purchaser may assess penalty fees in accordance with FNMA guidelines
for late or incorrect reporting.

         The Servicer shall provide the Purchaser with such inforD1ation
concerning the Mortgage Loans as is necessary for the Purchaser to prepare its
federal income tax return as the Purchaser may reasonably request from time to
time.

Section 6.03. Monthly Advances by the Servicer.

(1) Not later than the close of business on the Business Day immediately
preceding each Remittance Date, the Servicer shall deposit in the Collection
Account an amount equal to all Monthly Payments not previously advanced by the
Servicer (with interest adjusted to the Remittance Rate) that were due on a
Mortgage Loan and delinquent at the close of business on the Termination Date.
The Servicer may reduce the total amount to be deposited in the Collection
Account as required by the foregoing sentence by the amount of funds in the
Collection Account which represent Prepaid Monthly Payments.

(2) The Service obligations to make Monthly Advances as to any Mortgage Loan
will continue through the last Monthly Payment due prior to the payment in full
of the Mortgage Loan, or through the Remittance Date prior to the Remittance
Date for the remittance of all Liquidation Proceeds and other payments or
recoveries (including Insurance Proceeds or Condemnation Proceeds) with respect
to the Mortgage Loan; provided that such obligation shall; cease if the Servicer
furnishes to the Purchaser an Officers " Certificate evidencing the. .
determination by the Servicer in accordance with Section 6.04 that advances with
respect to such Mortgage Loan are non-recoverable.

Section 6.04. Non-recoverable Advances.

         The determination by the Servicer that any Monthly Advance or Servicing
Advance, if made, would constitute a non-recoverable advance shall be evidenced
by an Officers " Certificate delivered to the Purchaser detailing the reasons
for such determination, with copies of a relevant appraisal by an MAI Appraiser
who is Independent and, if such reports are to be used to determine that any
Monthly Advance or Servicing Advance would be a non-recoverable advance, all
engineers" reports, environmental reports or other information relevant thereto
that support such determination. Such Officers " Certificate shall set forth the
Service considerations in reaching its conclusion that such advance is
non-recoverable, and such conclusion shall be based upon, in addition to the
above-described appraisal and reports, income and expense statements, rent
rolls, occupancy, property inspections, servicer inquiries and other information
of similar nature that support the Service conclusion that such advance is
non-recoverable. The

                                       44
<PAGE>

Purchaser shall have a period of 45 days following the later of (i) the receipt
by the Purchaser of such Officers" Certificate and all documentation supplied by
the Servicer relating thereto and (ii) the receipt by the Purchaser of such
other related documentation or information as shall have been reasonably
requested by the Purchaser within 30 days following the delivery of such
Officers" Certificate, to approve, by the exercise by the Purchaser of its
reasonable credit judgment, the subject Monthly Advance or Servicing Advance as
a non-recoverable advance. Only if the Purchaser has so approved any Monthly
Advance or Servicing Advance as non- recoverable shall the Servicer be entitled
to reimbursement for such non-recoverable advance (solely to the extent made) as
provided in Section 5.05 or Section 5.13, as applicable. The Servicer shall also
deliver to the Purchaser from time to time upon request copies of any appraisals
and other reports or information of the type described in this Section 6.04 that
it possesses relative to any Mortgaged Property.

Section 6.05. Itemization of Servicing Advances.

         The Servicer shall provide the Purchaser with an itemization of all
Servicing Advances incurred or made by the Servicer hereunder not less than
quarterly and at such other times as the Purchaser may from time to time
reasonably request.

                    ARTICLE VII: GENERAL SERVICING PROCEDURE

Section 7.01. Enforcement of Due-on-Sale Clauses, Assumption Agreements.

(1) The Servicer will, to the extent it has knowledge of any conveyance or
prospective conveyance by any Mortgagor of the Mortgaged Property (whether by
absolute conveyance or by contract of sale, and whether or not the Mortgagor
remains or is to remain liable under the Mortgage Note and/or the Mortgage),
exercise its rights to accelerate the maturity of such Mortgage Loan under any
"due-on-sale" clause applicable thereto; provided that the Servicer shall not
exercise any such rights if prohibited by law from doing so or if the exercise
of such rights would impair or threaten to impair any recovery under the related
Primary Insurance Policy, if any.

(2) If the Servicer is prohibited from enforcing such "due-on-sale" clause, then
the Servicer will enter into an assumption agreement with the Person to whom the
Mortgaged Property has been conveyed or is proposed to be conveyed, pursuant to
which such Person becomes liable under the Mortgage Note and, to the extent
permitted by applicable state law, the Mortgagor remains liable thereon. (For
purposes of this Section 7.01, the term "assumption" is deemed to also include a
sale of the Mortgaged Property subject to the Mortgage that is not accompanied
by an assumption or substitution of liability agreement.) If any Mortgage Loan
is to be assumed, then the Servicer shall inquire into the creditworthiness of
the proposed transferee and shall use the same underwriting criteria for
approving the credit of the proposed transferee that are used with respect to
underwriting mortgage loans of the same type as the Mortgage Loans. Where an
assumption is allowed, the Servicer, with the prior written consent of the
primary mortgage insurer, if any, and subject to the conditions of Section
7.01(iii), shall, and is hereby authorized to, enter into a substitution of
liability agreement with the Person to whom the Mortgaged Property is proposed
to be conveyed pursuant to which the original mortgagor is released from
liability and such Person is substituted as mortgagor and becomes liable under
the related

                                       45
<PAGE>

Mortgage Note. Any such substitution of liability agreement shall be in lieu of
an assumption agreement. In no event shall the Note Rate, the amount of the
Monthly Payment or the final maturity date be changed. The Servicer shall notify
the Purchaser that any such substitution of liability or assumption agreement
has been completed by forwarding to the Purchaser the original of any such
substitution of liability or assumption agreement, which document shall be added
to the related Purchaser's Mortgage File and shall, for all purposes, be
considered a part of such Purchaser's Mortgage File to the same extent as all
other documents and instruments constituting a part thereof. Any fee collected
by the Servicer for entering into an assumption or substitution of liability
agreement shall be retained by the Servicer as additional compensation for
servicing the Mortgage Loans.

(3) If the credit of the proposed transferee does not meet such underwriting
criteria, then the Servicer shall, to the extent permitted by the Mortgage or
the Mortgage Note and by applicable law, accelerate the maturity of the Mortgage
Loan.

Section 7.02. Satisfaction of Mortgages and Release of Mortgage Files.

         Upon the payment in full of any Mortgage Loan, the Servicer will
immediately notify the Purchaser by a certification of a Servicing Officer,
which certification shall include a statement to the effect that all amounts
received or to be received in-connection with such payment which are required to
be deposited in the Collection Account pursuant to Section 5.04 have been or
will be so deposited and shall request delivery to it of the Purchaser's
Mortgage File held by the Purchaser or its designee. Upon receipt of such
certification and request, the Purchaser shall promptly release the related
mortgage documents to the Servicer and the Servicer shall promptly prepare and
process any satisfaction or release. No expense incurred in connection with any
instrument of satisfaction or deed of reconveyance shall be chargeable to the
Collection Account.

         If the Servicer satisfies or releases a Mortgage without having
obtained payment in full of the indebtedness secured by the Mortgage, or should
it otherwise take such action which results in a reduction of the coverage under
the Primary Insurance Policy, if any, then the Servicer shall promptly give
written notice thereof to the Purchaser, and, within 10 Business Days following
written demand therefor from the Purchaser to the Servicer, the Servicer shall
repurchase the related Mortgage Loan by paying to the Purchaser the Repurchase
Price therefor by wire transfer of immediately available funds directly to the
Purchaser's Account.

         From time to time and as appropriate for the servicing or foreclosure
of the Mortgage Loan, including for this purpose collection under any Primary
Insurance Policy, the Purchaser or Purchaser's designee shall, upon request of
the Servicer and deli very to the Purchaser of a servicing receipt signed by a
Servicing Officer, release the Purchaser's Mortgage File held by the Purchaser
to the Servicer. Such servicing receipt shall obligate the Servicer to return
the related Mortgage documents to the Purchaser when the need therefor by the
Servicer no longer exists, unless the Mortgage Loan has been liquidated and the
Liquidation Proceeds relating to the Mortgage Loan have been deposited in the
Collection Account or the Purchaser's Mortgage File or such document has been
delivered to an attorney, or to a public trustee or other public official as
required by law, for purposes of initiating or pursuing legal action or other
proceedings for the foreclosure of the Mortgaged Property either judicially or
nonjudicially, and the Servicer has delivered to the Purchaser a certificate of
a Servicing Officer certifying as to the name and

                                       46
<PAGE>

address of the Person to which such Purchaser's Mortgage File or such document
was delivered and the purpose or purposes of such delivery. Upon receipt of a
certificate of a Servicing Officer stating that such Mortgage Loan was
liquidated and the Liquidation Proceeds were deposited in the Collection
Account, the servicing receipt shall be released by the Purchaser to the
Servicer.

Section 7.03. Servicing Compensation.

         As compensation for its services hereunder, the Servicer shall be
entitled to retain from interest payments actually collected on the Mortgage
Loans the amounts provided for as the Servicing Fee. The Servicing Fee in
respect of a Mortgage Loan for a particular month shall become payable only upon
the receipt by the Servicer from the Mortgagor of the full Monthly Payment in
respect of such Mortgage Loan. Additional servicing compensation in the form of
assumption fees, as provided in Section 7.01, late payment charges and other
servicer compensation for modifications, short sales, and other services not to
exceed those fees described in the FHLMC Servicing Guide shall be retained by
the Servicer to the extent not required to be deposited in the Collection
Account. The Servicer shall be required to pay all expenses incurred by it in
connection with its servicing activities hereunder and shall not be entitled to
reimbursement therefor except as specifically provided for herein.

Section 7.04. Annual Statement as to Compliance.

         The Servicer will deliver to the Purchaser on or before March 31 of
each year, beginning with March 31, 2002, an Officers' Certificate stating that
(i) a review of the activities of the Servicer during the preceding calendar
year and of performance under this Agreement has been made under such officers'
supervision, (ii) the Servicer has fully complied with the provisions of this
Agreement and (iii) to the best of such officers' knowledge, based on such
review, the Servicer has fulfilled all of its obligations under this Agreement
throughout such year, or, if there has been a default in the fulfillment of any
such obligation, specifying each such default known to such officers and the
nature and status thereof.

Section 7.05. Annual Independent Certified Public Accountants' Servicing Report.

         On or before March 31 of each year beginning March 31, 2002, the
Servicer at its expense shall cause a firm of independent public accountants
which is a member of the American Institute of Certified Public Accountants to
furnish a statement to the Purchaser to the effect that such firm has examined
certain documents and records relating to the servicing of the mortgage loans
generally that include a sampling of the Mortgage Loans, the provisions of
Article VI have been complied with and, on the basis of such an examination
conducted substantially in accordance with the Uniform Single Attestation
Program for Mortgage Bankers, such servicing has been conducted in compliance
with this Agreement, except for (i) such exceptions as such fin shall believe to
be immaterial, and (ii) such other exceptions as shall be set forth in such
statement.

Section 7.06. Purchaser's Right to Examine Servicer Records.

         The Purchaser shall have the right to examine and audit, during
business hours or at such other times as are reasonable under applicable
circumstances; upon five days advance notice any and all of (i) the credit and
other loan files relating to the Mortgage Loans or the Mortgagors,

                                       47
<PAGE>

         (ii) any and all books, records, documentation or other information of
the Servicer (whether held by the Servicer or by another) relating to the
servicing of the Mortgage Loans and (iii) any and ail books, records,
documentation or other information of the Servicer (whether held by the Servicer
or by another) that are relevant to the performance or observance by the
Servicer of the terms, covenants or conditions of this Agreement. The Servicer
shall be obligated to make the foregoing information available to the Purchaser
at the site where such information is stored; provided that the Purchaser shall
be required to pay all reasonable costs and expenses incurred by the Servicer in
making such information available.

              ARTICLE VIII: REPORTS TO BE PREPARED BY THE SERVICER

Section 8.01. The Servicer's Reporting Requirements.

Electronic Format. If requested by the Purchaser or its designee, the Servicer
shall supply any and all information regarding the Mortgage Loans and the REO
Properties, including all reports required to be delivered pursuant to this
Section 5.03, Section 6.02 and Section 8.01, to the Purchaser in electronic
format reasonably acceptable to Purchaser.

REO Property Reports. On or before the 3rd Business Day preceding each
Determination Date, the Servicer shall deliver to the Purchaser a report, in
form acceptable to Purchaser, describing in reasonable detail the Servicer's
efforts in connection with the sale of each REO Property and setting forth all
operating income (including rental income) and operating expenses pertaining to
each REO Property for the previous month, together with rent rolls, operating
statements, and such other information as is referenced on such report
pertaining to the REO Property.

Additional Reports: Further Assurances. On or before the 3rd Business Day
preceding each Determination Date, the Servicer shall deliver to the Purchaser
(i) a report, acceptable to the Purchaser, describing in reasonable detail all
Mortgage Loans that are 90 days or more delinquent and the Servicer's activities
in connection with such delinquencies and (ii) a report (substantially in the
form of Exhibit 8.01 attached hereto) with respect to delinquent Mortgage Loans.
Utilizing resources reasonably available to the Servicer without incurring any
cost except the Servicer's overhead and employees' salaries, the Servicer shall
furnish to the Purchaser during the term of this Agreement such periodic,
special or other reports, information or documentation, whether or not provided
for herein, as shall be reasonably requested by the Purchaser with respect to
Mortgage Loans or REO Properties (provided the Purchaser shall have given the
Servicer reasonable notice and opportunity to prepare such reports, information
or documentation), including any reports, information or documentation
reasonably required to comply with any regulations of any governmental agency or
body having jurisdiction over the Purchaser, all such reports or information to
be as provided by and in accordance with such applicable instructions and
directions as the Purchaser may reasonably request. If any of such reports are
not customarily prepared by the Servicer or require that the Servicer program
data processing systems to create the reports, then the Purchaser shall pay to
the Servicer a fee mutually agreed to by the Purchaser and the Servicer taking
into account the Servicer's actual time and cost in preparing such reports. The
Servicer agrees to execute and deliver all such

                                       48
<PAGE>

instruments and take all such action as the Purchaser, from time to time, may
reasonably request in order to effectuate the purposes and to carry out the
terms of this Agreement.

Section 8.02. Financial Statements.

         The Servicer understands that, in connection with marketing the
Mortgage Loans, the Purchaser may make available to any prospective purchaser of
the Mortgage Loans the Servicer's audited financial statements for its fiscal
year 1999 and its audited financial statements for fiscal year 2000, together
with any additional statements provided pursuant to the next sentence. During
the term hereof, the Servicer will deliver to the Purchaser audited financial
statements for each of its fiscal years following the Closing Date and all other
financial statements prepared following the Closing Date to the extent any such
statements are available upon request to the public at large.

         The Servicer also agrees to make available upon reasonable notice and
during normal business hours to any prospective purchasers of the Mortgage Loans
a knowledgeable financial or accounting officer for the purpose of answering
questions respecting recent developments affecting the Servicer or the financial
statements of the Servicer which may affect, in any material respect, the
Servicer's ability to comply with its obligations under this Agreement, and to
permit any prospective purchasers upon reasonable notice and during normal
business hours to inspect the Servicer's servicing facilities for the purpose of
satisfying such prospective purchasers that the Servicer has the ability to
service the Mortgage Loans in accordance with this Agreement.

                            ARTICLE IX: THE SELLERS

Section 9.01. Indemnification: Third Party Claims.

         Each Seller shall indemnify and hold harmless the Purchaser, its
directors, officers, agents, employees, and assignees (each, an "Indemnified
Party") from and against any costs, damages, expenses (including reasonable
attorneys' fees and costs, irrespective of whether or not incurred in connection
with the defense of any actual or threatened action, proceeding, or claim),
fines, forfeitures, injuries, liabilities or losses ("Losses") suffered or
sustained in any way by any such Person, no matter how or when arising
(including Losses incurred or sustained in connection with any judgment, award,
or settlement), in connection with or relating to (i) a breach by such Seller of
any of its representations and warranties contained in Article III or (ii) a
breach by such Seller of any of its covenants and other obligations contained
herein including any failure to service the Mortgage Loans in compliance with
the terms hereof. The applicable Seller shall immediately (i) notify the
Purchaser if a claim is made by a third party with respect to this Agreement,
any Mortgage Loan and/or any REO Property (ii) assume the defense of any such
claim and pay all expenses in connection therewith, including attorneys' fees,
and (iii) promptly pay, discharge and satisfy any judgment, award, or decree
that may be entered against it or the Indemnified Party in respect of such
claim. Nothing contained herein shall prohibit the Indemnified Party, at its
expense, from retaining its own counsel to assist in any such proceedings or to
observe such proceedings; provided that neither Seller shall be obligated to pay
or comply with any settlement to which it has not consented. All amounts
required to be paid or

                                       49
<PAGE>

reimbursed by a Seller hereunder shall be paid or reimbursed as and when
incurred by the Indemnified Party upon demand therefor by such Indemnified
Party.

Section 9.02. Merger or Consolidation of the Seller.

         Each Seller will keep in full effect its existence, rights and
franchises as a corporation or a Delaware business trust, as applicable, under
the laws of the state of its organization and will obtain and preserve its
qualification to do business as a foreign entity in each jurisdiction in which
such qualification is or shall be necessary to protect the validity and
enforceability of this Agreement or any of the Mortgage Loans and to perform its
duties under this Agreement.

         Any Person into which a Seller may be merged or consolidated, or any
corporation resulting from any merger, conversion or consolidation (including by
means of the sale of all or substantially all of such Seller's assets to such
Person) to which the Seller shall be a party, or any Person succeeding to the
business of the Seller, shall be the successor of the Seller hereunder , without
the execution or filing of any paper or any further act on the part of any of
the parties hereto, anything herein to the contrary notwithstanding; provided
that, unless otherwise consented to by the Purchaser, the successor or surviving
Person, in the case of a merger or consolidation, etc. of the Servicer, shall be
an institution qualified to service mortgage loans on behalf of FNMA and FHLMC
in accordance with the requirements of Section 3.02(1), shall not cause a rating
on any security backed by a Mortgage Loan to be downgraded and shall satisfy the
requirements of Section 12.01 with respect to the qualifications of a successor
to such Seller.

Section 9.03. Limitation on Liability of the Sellers and Others.

         Neither the Sellers nor any of the officers, employees or agents of the
Sellers shall be under any liability to the Purchaser for any action taken or
for refraining from the taking of any action in good faith pursuant to this
Agreement or pursuant to the express written instructions of the Purchaser, or
for errors in judgment made in good faith; provided that this provision shall
not protect the Sellers or any such Person against any breach of warranties or
representations made herein, or failure to perform its obligations in compliance
with any standard of care set forth in this Agreement, or any liability which
would otherwise be imposed by reasons of willful misfeasance, bad faith,
negligence or any breach in the performance of the obligations and duties
hereunder. The Sellers and any officer, employee or agent of the Sellers may
rely in good faith on any document of any kind reasonably believed by the
Sellers or such Person to be genuine and prima facie properly executed and
submitted by any Person respecting any matters arising hereunder.

         The Sellers shall not be under any obligation to appear in, prosecute
or defend any legal action that is not incidental to their duties hereunder and
which in their opinion may involve them in any expense or liability; provided
that the Sellers may in their discretion undertake any such action that it may
deem necessary or desirable in respect of this Agreement and the rights and
duties of the parties hereto. In such event, the legal expenses and costs of
such action and any, liability resulting therefrom shall be expenses, costs and
liabilities for which the Sellers shall be .. entitled to be reimbursed therefor
out of the Collection Account. This indemnity shall survive the termination of
this Agreement.

                                       50
<PAGE>

Section 9.04. Servicer Not to Resign.

         With respect to the retention by Cendant Mortgage of the servicing of
the Mortgage Loans and the REO Properties hereunder, Cendant Mortgage
acknowledges that the Purchaser has acted in reliance upon Cendant Mortgage's
Independent status, the adequacy of its servicing facilities, plan, personnel,
records and procedures, its integrity, reputation and financial standing and the
continuance thereof. Consequently, Cendant Mortgage shall not assign the
servicing rights retained by it hereunder to any third party nor resign from the
obligations and duties hereby imposed on it except (i) with the approval of the
Purchaser, such approval not to be unreasonably withheld, or (ii) 30 Business
Days following any determination that its duties hereunder are no longer
permissible under applicable law and such incapacity cannot be cured by Cendant
Mortgage. Any determination permitting the transfer of the servicing rights or
the resignation of Cendant Mortgage under Subsection (ii) hereof shall be
evidenced by an opinion of counsel to such effect delivered to the Purchaser,
which opinion of counsel shall be in form and substance reasonably acceptable to
the Purchaser.

                               ARTICLE X: DEFAULT

Section 10.01. Events of Default.

         In case one or more of the following events shall occur and be
continuing:

(1) any failure by the Servicer to remit to the Purchaser any payment required
to be made under the terms of this Agreement which continues unremedied for a
period of 3 Business Days unless such failure to remit is due to a cause beyond
the Servicer's control, including an act of God, act of civil, military or
governmental authority, fire, epidemic, flood, blizzard. earthquake, riot, war,
or sabotage, provided that the Servicer gives the Purchaser notice of such cause
promptly and uses commercially reasonable efforts to correct such failure to
remit and does so remit within 2 Business Days following the end of the duration
of the cause of such failure to remit; or

(2) any failure on the part of a Seller/Servicer duly to observe or perform in
any material respect any of the covenants or agreements on the part of such
Seller/Servicer set forth in this Agreement which continues unremedied for a
period of 45 days after the date on which written notice of such failure,
requiring the same to be remedied, shall have been given to the applicable
Seller/Servicer by the Purchaser; provided that such 45-day period shall not
begin with respect to any failure to cure or repurchase in accordance with
Sections 2.04 and/or 3.04 until the expiration of the cure periods provided for
in Sections 2.04 and/or 3.04, as applicable;

(3) any filing of an Insolvency Proceeding by or on behalf of a Seller/Servicer,
any consent by or on behalf of a Seller/Servicer to the filing of an Insolvency
Proceeding against a Seller/Servicer, or any admission by or on behalf of a
Seller/Servicer of its inability to pay its debts generally as the same become
due;

(4) any filing of an Insolvency Proceeding against a Seller/Servicer that
remains undismissed or unstayed for a period of 60 days after the filing
thereof;

                                       51
<PAGE>

(5) any issuance of any attachment or execution against, or any appointment of a
conservator, receiver or liquidator with respect to, all or substantially all of
the assets of a Seller/Servicer;

(6) any failure or inability of Cendant Mortgage to be eligible to service
Mortgage Loans for FNMA or FHLMC;

(7) any sale, transfer, assignment, or other disposition by a Seller/Servicer of
all or substantially all of its property or assets to a Person who does not meet
the qualifications enumerated or incorporated by reference into Section 9.02,
any assignment by a Seller/Servicer of this Agreement or any of a
Seller's/Servicer's rights or obligations hereunder except in accordance with
Section 9.04, or any action taken or omitted to be taken by a Seller/Servicer in
contemplation or in furtherance of any of the foregoing, without the consent of
the Purchaser;

then, and in each and every such case, so long as an Event of Default shall not
have been remedied, the Purchaser, by notice in writing to the Sellers may, in
addition to whatever rights the Purchaser may have at law or in equity to
damages, including injunctive relief and specific performance, terminate all the
rights and obligations of the Sellers under this Agreement and in and to the
Mortgage Loans and the proceeds thereof subject to Section 12.01, without the
Purchaser's incurring any penalty or fee of any kind whatsoever in connection
therewith; provided that, upon the occurrence of an Event of Default under
Subsection (3), (4) or (5) of this Section 10.01, this Agreement and all
authority and power of the Sellers hereunder (whether with respect to the
Mortgage Loans, the REO Properties or otherwise) shall automatically cease. On
or after the receipt by the Sellers of such written notice, all authority and
power of the Sellers under this Agreement (whether with respect to the Mortgage
Loans or otherwise) shall cease.

                            ARTICLE XI: TERMINATION

Section 11.01. Term and Termination.

(1) The servicing obligations of the Servicer under this Agreement may be
terminated as provided in Section 10.01 hereof.

(2) In any case other than as provided under Subsection (1) hereof, the
respective obligations an4 responsibilities of the Sellers hereunder shall
terminate upon: (a) the later of the final payment or other liquidation (or any
advance with respect thereto) of the last Mortgage Loan or the disposition of
all REO Property and the remittance of all funds due hereunder; or (b) the
mutual written consent of the Sellers and the Purchaser.

(3) Upon any termination of this Agreement or the servicing obligations of the
Servicer hereunder, then the Servicer shall prepare, execute and deliver all
agreements, documents and instruments, including all Servicer Mortgage Files,
and do or accomplish all other acts or things necessary or appropriate to effect
such termination, all at the Servicer's sole expense. In any such event, the
Servicer agrees to cooperate with the Purchaser in effecting the termination of
the Servicer's servicing responsibilities hereunder, including the transfer to
the Purchaser or its designee for administration by it of all cash amounts which
shall at the time be contained in, or

                                       52
<PAGE>

credited by the Servicer to, the Collection Account and/of the Escrow Account or
thereafter received with respect to any Mortgage Loan or REO Property.

Section 11.02. Termination without Cause.

         In the event that any Mortgage Loans become delinquent in their payment
obligations, and the Purchaser has no disposition option other than to sell such
non-performing Mortgage Loans to a third party purchaser on a servicing released
basis, then Seller agrees to act in the following manner: (i) either allow the
servicing function on such non-performing Mortgage Loans to be released to the
Purchaser's third party purchaser; or (ii) purchase the non-performing Mortgage
Loans from the Purchaser under the same price and terms which the Purchaser's
third party purchaser would have purchased such non-performing Mortgage Loans.

Section 11.03. Survival.

         Notwithstanding anything to the contrary contained herein, the
representations and warranties of the parties contained herein and in any
certificate or other instrument delivered pursuant hereto, as well as the other
covenants hereof (including those set forth in Section 9.01) that, by their
terms, require performance after the termination by this Agreement, shall
survive the termination of this Agreement and shall inure to the benefit of the
parties, their successors and assigns. Sellers further agree that the
representations, warranties and covenants made by Sellers herein and in any
certificate or other instrument delivered pursuant hereto shall be deemed to be
relied upon by Purchaser notwithstanding any investigation heretofore made by
Purchaser or on Purchaser's behalf.

                        ARTICLE XII: GENERAL PROVISIONS

Section 12.01. Successor to the Servicer.

         Upon the termination of the Servicer's servicing responsibilities and
duties under this Agreement pursuant to Section 9.04, 10.01, or 11.01, the
Purchaser shall (i) succeed to and assume all of the Servicer's
responsibilities, rights, duties and obligations under this Agreement or (ii)
appoint a successor servicer which shall succeed to all rights and assume all of
the responsibilities, duties and liabilities of the Servicer under this
Agreement prior to the termination of the Servicer's responsibilities, duties
and liabilities under this Agreement. If the Servicer's duties, responsibilities
and liabilities under this Agreement should be terminated pursuant to the
aforementioned sections, then the Servicer shall continue to discharge such
duties and responsibilities during the period from the date it acquires
knowledge of such termination until the effective date thereof (if applicable)
all on the terms and conditions contained herein and shall take no action
whatsoever that might impair or prejudice the rights or financial condition of
its successor. The termination of the Servicer's servicing responsibilities
pursuant to any of the aforementioned. Sections shall not, among other things,
relieve the Servicer of its obligations pursuant to Section 2.04 and/or 7.02,
the representations and warranties or other obligations set forth in Sections
2.04,3.01, 3.02 and 3.03 and the remedies available to the Purchaser under the
various provisions of this Agreement. In addition, such termination shall not
affect any claims that the Purchaser may have against the Servicer arising prior
to any such termination.

                                       53
<PAGE>

Section 12.02. Governing Law.

         This Agreement is to be governed by, and construed in accordance with
the internal laws of the State of New York without giving effect to principals
of conflicts of laws. The obligations, rights, and remedies of the parties
hereunder shall be determined in accordance with such laws.

Section 12.03. Notices.

         Any notices or other communications permitted or required hereunder
shall be in writing and shall be deemed conclusively to have been given if
personally delivered, sent by courier with delivery against signature therefor,
mailed by registered mail, postage prepaid, and return receipt requested or
transmitted by telex, telegraph or telecopier and confirmed by a similar writing
mailed or sent by courier as provided above, to (i) in the case of the
Purchaser, Lehman Brothers Bank, FSB, 3 World Financial Center, 81h Floor, New
York, NY 10285 Attention: Manager, Contract Finance, or such other address as
may hereafter be furnished to the Seller in writing by the Purchaser, (ii) in
the case of the Cendant Mortgage, Cendant Mortgage Corporation, 6000 Atrium Way,
Mt. Laurel, NJ 08054, Attention: Peter A. Thomas, Vice President, Secondary
Marketing, and (iii) in the case of the Trust, c/o Cendant Mortgage Corporation,
as Administrator, 6000 Atrium Way, Mt. Laurel, NJ 08054, Attention: Peter A.
Thomas, Vice President, Secondary Marketing ,or such other address as may
hereafter be furnished to the Purchaser in writing by the applicable Seller.

Section 12.04. Severability of Provisions.

         If anyone or more of the covenants, agreements, provisions or terms of
this Agreement shall be for any reason whatsoever held invalid, the invalidity
of any such covenant, agreement, provision or term of this Agreement shall in no
way affect the validity or enforceability of the other provisions of this
Agreement.

Section 12.05. Schedules and Exhibits.

         The schedules and exhibits that are attached to this Agreement are
hereby incorporated herein and made a part hereof by this reference.

Section 12.06. General Interpretive Principles.

         For purposes of this Agreement, except as otherwise expressly provided
or unless the context otherwise requires:

(1) the terms defined in this Agreement have the meanings assigned to them in
this Agreement and include the plural as well as the singular, and the use of
any gender herein shall be deemed to include the other gender;

(2) any reference in this Agreement to this Agreement or any other agreement,
document, or instrument shall be a reference to this Agreement or any other such
agreement, document, or instrument as the same has been amended, modified, or
supplemented in accordance with the terms hereof and thereof (as applicable);

                                       54
<PAGE>

(3) accounting terms not otherwise defined herein have the meanings assigned to
them in accordance with generally accepted accounting principles;

(4) references herein to" Articles," "Sections," "Subsections," "Paragraphs,"
and other subdivisions without reference to a document are to designated
articles, sections, subsections, paragraphs and other subdivisions of this
Agreement, unless the context shall otherwise require;

(5) a reference to a subsection without further reference to a section is a
reference to such subsection as contained in the same section in which the
reference appears, and this rule shall also apply to Paragraphs and other
subdivisions;

(6) a reference to a "day" shall be a reference to a calendar day;

(7) the words "herein," "hereof," "hereunder" and other words of similar import
refer to this Agreement as a whole and not to any particular provision; and

(8) the terms "include" and "including" shall mean without limitation by reason
of enumeration.

Section 12.07. Waivers and Amendments, Noncontractual Remedies; Preservation of
Remedies.

         This Agreement may be amended, superseded, canceled, renewed or
extended and the terms hereof may be waived, only by a written instrument signed
by authorized representatives of the parties or, in the case of a waiver, by an
authorized representative of the party waiving compliance. No such written
instrument shall be effective unless it expressly recites that it is intended to
amend, supersede, cancel, renew or extend this Agreement or to waive compliance
with one or more of the terms hereof, as the case may be. No delay on the part
of any party in exercising any right, power or privilege hereunder shall operate
as a waiver thereof, nor shall any waiver on the part of any party of any such
right, power or privilege, or any single or partial exercise of any such right,
power or privilege, preclude any further exercise thereof or the exercise of any
other such right, power or privilege. The rights and remedies herein provided
are cumulative and are not exclusive of any rights or remedies that any party
may otherwise have at law or in equity.

Section 12.08. Captions.

         All section titles or captions contained in this Agreement or in any
schedule or exhibit annexed hereto or referred to herein, and the table of
contents to this Agreement, are for convenience only, shall not be deemed a part
of this Agreement and shall not affect the meaning or interpretation of this
Agreement.

Section 12.09. Counterparts: Effectiveness.

         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 one and the same instrument.
This Agreement shall become effective as of the

                                       55
<PAGE>

date first set forth herein upon the due execution and delivery of this
Agreement by each of the parties hereto

Section 12.10. Entire Agreement: Amendment.

         This Agreement (including the schedules and exhibits annexed hereto or
referred to herein), together with the Cendant Guide, contains the entire
agreement between the parties hereto with respect to the transactions
contemplated hereby and supersedes all prior agreements, written or oral, with
respect thereto. No amendment, modification or alteration of the terms or
provisions of this Agreement shall be binding unless the same shall be in
writing and duly executed by the authorized representatives of the parties
hereto.

Section 12.11. Further Assurances.

         Each party hereto shall take such additional action as may be
reasonably necessary to effectuate this Agreement and the transactions
contemplated hereby. The Sellers will promptly and duly execute and deliver to
the Purchaser such documents and assurances and take such further action; the
Purchaser may from time to time reasonably request in order to carry out more
effectively the intent and purpose of this Agreement and to establish and
protect the rights and remedies created or intended to be created in favor of
the Purchaser.

         WITNESS WHEREOF, the Sellers and the Purchaser have caused their names
to be signed hereto by their respective officers as of the date first written
above.

LEHMAN BROTHERS BANK, FSB

By: ______________________________
       Name:
       Title:

CENDANT MORTGAGE CORPORATION

By: _________________________________
         Name:
         Title:

BISHOP'S GATE RESIDENTIAL
MORTGAGE TRUST (formerly known as
CENDANT RESIDEENTIAL MORTGAGE TRUST)

                                       56
<PAGE>

                                  SCHEDULE B-1

         On or prior to the Closing Date, the Seller shall deliver to the
Purchaser, or its designee, each of the following documents for each Mortgage
Loan:

         (i) The original Mortgage Note endorsed, "Pay to the order of
________________, without recourse" and signed in the name of the Seller by an
authorized officer. In the event that the Mortgage Loan was acquired by the
Seller in a merger, the endorsement must be by "[SELLER], successor by merger to
[name of predecessor]"; and in the event that the Mortgage Loan was acquired or
originated by the Seller while doing business under another name, the
endorsement must be by "[SELLER], formerly known as [previous name]";

         (ii) Original recorded Mortgage, with evidence of recording information
thereon except for any Mortgage which has been forwarded to the appropriate
recorder's office for recordation and which has not been returned by such
recording officer, in which case the Seller shall deliver and release to
Purchaser a certified true copy of any such Mortgage so certified by the Seller
with evidence of such Mortgage's delivery to the appropriate recorder's office.
In addition, the Seller shall deliver and release to the Purchaser the original
recorded Mortgage within 90 days after the Closing Date;

         (iii) Original Assignment of Mortgage, in blank, which assignment shall
be in form and substance acceptable for recording but not recorded. In the event
that the Mortgage Loan was acquired by the Seller in a merger, the assignment
must be by "[SELLER], successor by merger to [name of predecessor]"; and in the
event that the Mortgage Loan was acquired or originated by the Seller while
doing business under another name, the assignment must be by "[SELLER], formerly
known as [previous name]";

         (iv) Original policy of title insurance, except for those Mortgage
Loans originated within 60 days before the Closing Date, for which Mortgage
Loans the Seller shall have delivered and released to the Purchaser the related
binders. In addition, the Seller shall deliver to the Purchaser the original
policy of title insurance within 90 days after the Closing Date. The policy must
be properly endorsed, any necessary notices of transfer must be forwarded and
any other action required to be taken must be taken in order to fully protect,
under the terms of the policy and applicable law, Purchaser's interest as first
mortgagee;

         (v) Original of all assumption, extensions and modification agreements;

         (vi) If required under Section 7, the original policy of primary
mortgage guaranty insurance, or where such insurance is provided by a master
policy, a certified true copy of the master policy and the original certificate
of insurance;

         (vii) Original recorded intermediate assignments of the Mortgage,
including warehousing assignments, if any.

                                       57
<PAGE>

         (viii) Copies of documents evidencing the Borrower's pledge of
additional collateral securing the Mortgage Loan, if applicable.

                                       58
<PAGE>

                                    EXHIBIT C

                                   [Reserved]

                                       59
<PAGE>

                                    EXHIBIT D

                             Mortgage Loan Schedule

  [retained in a separate closing binder entitled "SASCO 2001-7A Mortgage Loan
                  Schedule" at Sidley Austin Brown & Wood LLP]

                                       60
<PAGE>

                                    EXHIBIT E
                  REQUEST FOR RELEASE OF DOCUMENTS AND RECEIPT

[Date]
[Custodian] [Address]
Attention: [                              ]

         In connection with the administration of the mortgages held by you as
Custodian under a certain Custodial Agreement dated as of April 1, 2001,
between, as Trustee, and you, as Custodian (the "Custodial Agreement"), the
undersigned Servicer hereby requests a release of the Mortgage File held by you
as Custodian with respect to the following described Mortgage Loan for the
reason indicated below.

Mortgagor's Name:

Address:

Loan No.:

Reason for requesting file:

         _____ 1. Mortgage Loan paid in full. (The Servicer hereby certifies
that all amounts received in connection with the loan have been or will be
credited to the Collection Account or the Certificate Account (whichever is
applicable) pursuant to the Trust Agreement.)

         _____ 2. Mortgage Loan being foreclosed.

         _____ 3. Mortgage Loan repurchased. (The Servicer hereby certifies that
the Purchase Price has been credited to the Collection Account or the
Certificate Account (whichever is applicable) pursuant to the Trust Agreement.)

         _____ 4. Other. (Describe.)

         _____ 5. California Mortgage Loan expected to be paid in full.

         The undersigned acknowledges that the above Mortgage File will be held
by the undersigned in accordance with the provisions of the Trust Agreement and
will be returned to you within ten (10) days of our receipt of the Mortgage
File, except if the Mortgage Loan has been paid in full, or repurchased (in
which case the Mortgage File will be retained by us permanently) and except if
the Mortgage Loan is being foreclosed or is a California Mortgage Loan specified
in 5 above (in which case the Mortgage File will be returned when no longer
required by us for such purpose).

                                       61
<PAGE>

         Capitalized terms used herein shall have the meanings ascribed to them
in the Custodial Agreement.

                                    ____________________________________
                                    [Name of Servicer]

                                    By: ________________________________
                                             Name:
                                             Title:  Servicing Officer

                                       62

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00027-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00027-of-00352.parquet"}]]