Document:

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                                                                   Exhibit 10.5

                       GUARANTY OF PAYMENT AND PERFORMANCE

                                       AND

                        CONTRACT OF AFFIRMATIVE COVENANTS

THIS GUARANTY OF PAYMENT AND PERFORMANCE AND CONTRACT OF AFFIRMATIVE COVENANTS
(the "GUARANTY") is made as of the ____ day of July 2000, by the undersigned
(herein collectively referred to as the "GUARANTOR", whether one or more) for
the benefit of GATEWAY BANK, a federal savings bank (hereinafter referred to as
"GB")

                                   WITNESSETH:

WHEREAS, MONUMENT MORTGAGE, INC., a California Corporation, hereinafter referred
to as the "Seller") and GB, in its capacities as both "BUYER" and "CUSTODIAN",
have entered into that certain Master Loan Participation And Custodian Agreement
dated as of July ___, 2000, pursuant to which the Seller shall, from time to
time, offer to sell to Buyer, with recourse, undivided participation interests
in Loans, and Buyer shall, from time to time, agree to purchase such
participation interests upon the terms and conditions set forth in the
Participation Agreement; and

         WHEREAS, in order to secure the Seller's performance under the
         Participation Agreement, the Seller has granted to Buyer a security
         interest in the Loans and the related Mortgage Files and the Seller has
         agreed to execute such financing statements as Buyer, from time to
         time, deems necessary or appropriate to perfect the security interests
         therein granted; and

         WHEREAS, GB has required, as a condition to buying any participation
         interests in Loans under the Participation Agreement, and to further
         secure the Seller's performance under the Participation Agreement, that
         the Guarantor execute this Guaranty; and the Guarantor, by virtue of
         its interest in or relationship with the Seller, deems it to be in its
         best interest, based on sound business judgment, in that valuable
         benefits will be derived by Guarantor by virtue of such Participation
         Agreement, to execute and deliver to GB this Guaranty;

         NOW, THEREFORE, for and in consideration of the premises and of Ten and
         No/100 Dollars ($10.00) and of other good and valuable consideration,
         the receipt and sufficiency of which are hereby acknowledged, the
         Guarantor hereby covenants and agrees as follows:

1. DEFINED TERMS. All capitalized terms used herein and not otherwise defined
herein shall have the meanings ascribed to them in the Participation Agreement.
The defined term "GB", when used herein, shall be deemed to include both the
Buyer and the Custodian (whether or not the Custodian under the Participation
Agreement continues to be GB).

2. RECITALS INCORPORATED. The recitals set forth on the first page of this
Guaranty form the basis of this Guaranty and are fully incorporated into this
agreement's section as though fully restated in this section of the Guaranty.

3. GUARANTY OF PAYMENT. The Guarantor hereby absolutely and unconditionally
guarantees the prompt, complete and full payment when due and no matter how such
shall become due, of

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the "financial liabilities of the Seller". The term "financial liabilities of
the Seller" shall include all liabilities, direct or indirect, absolute or
contingent, primary or secondary, joint, several or independent, of the Seller,
which relate to the payment of money, cash or cash equivalents, interest
thereon, penalties, fees, expenses or any other financial or monetary
obligations, now or hereafter existing, due to or becoming due to, or held or to
be held by, GB for its own account as Buyer or as Custodian or for others,
created by, arising under or related to the Participation Agreement, and any and
all renewals, extensions, increases or modifications thereof.

4. GUARANTY OF PERFORMANCE. The Guarantor hereby absolutely and unconditionally
guarantees the prompt, complete and full performance, when due, and no matter
how such shall become due, of all obligations and undertakings of the Seller
under, by reason of or pursuant to the Participation Agreement, including,
without limitation, the truth, accuracy and completeness of any and all
representations and warranties made by Seller in the Participation Agreement,
any Participation Certificate, or any other writing relating to the
Participation Agreement (collectively, sometimes hereinafter referred to as the
"PERFORMANCE OBLIGATIONS").

5. AGREEMENT TO BE BOUND BY PARTICIPATION AGREEMENT. The Guarantor hereby
absolutely and unconditionally ratifies, confirms and agrees to comply in all
respects with and be bound by the provisions of the Participation Agreement
described above to the extent they relate to or affect the Guarantor in any
respect.

6. BENEFIT OF GUARANTY. The benefit of this Guaranty shall automatically pass
with a transfer or assignment of the Participation Agreement by GB or portions
thereof or any interest therein to any assignee of GB.

7. ACTIONS BY GB. No action which GB may take or omit to take in connection with
the Participation Agreement, any financial liabilities of the Seller to GB
(including, without limitation, renewals, extensions, modifications and
increases thereof), or any security for the payment of any indebtedness of the
Seller to GB, or for the performance of any obligation or undertaking of the
Seller, nor any course of dealing with the Seller or any other person, shall
release the Guarantor from its obligations hereunder, affect this Guaranty in
any way, or afford the Guarantor any recourse against GB. By way of example, but
not in limitation of the foregoing, the Guarantor hereby expressly agrees that
the Seller may, from time to time, without notice to the Guarantor:

         (a) Amend, change, or modify, in whole or in part, the Participation
Agreement or any documents or instruments evidencing, securing or relating to
any financial liabilities of the Seller or other obligation or undertaking of
the Seller to GB;

         (b) Accelerate, change, extend, or renew the time for payment of the
financial liabilities of the Seller or any other financial liabilities of the
Seller arising under the Participation Agreement or under any documents or
instruments evidencing, securing or relating to any financial liabilities of the
Seller or other obligation or undertaking of the Seller to GB;

         (c) Compromise or settle any amount due or owing, or claimed to be due
or owing, under the Participation Agreement or under any documents or
instruments evidencing, securing or relating to any financial liabilities of the
Seller or other obligation or undertaking of the Seller to GB;

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         (d) Surrender, release, or subordinate any or all security for any
financial liabilities of the Seller or other obligation or undertaking of the
Seller to GB or accept additional or substituted security therefor; and

         (e) Release any Guarantor, or substitute or add additional guarantors.

The provisions of this Guaranty shall extend and be applicable to all renewals,
increases, amendments, extensions, modifications of and substitutions for the
Participation Agreement, and all references herein to the Participation
Agreement shall be deemed to include any renewal, increase, extension, amendment
or modification thereof or substitution therefor.

8. WAIVER OF NOTICE. The Guarantor expressly waives notice of acceptance of this
Guaranty, presentment for payment of any financial liabilities of the Seller,
protest and notice of protest, demand, notice of dishonor, notice of any and all
proceedings to collect amounts due under the Participation Agreement and to
enforce any security given therefor and all other notices whatsoever, and
diligence in collecting sums due under the Participation Agreement or the taking
of any action with reference to the Participation Agreement or to any liability
under this Guaranty.

9. DEFAULT. In the event of a default by the Seller under the Participation
Agreement, GB shall have the right to enforce its rights, powers and remedies
thereunder or hereunder or under any other instrument concerning or securing the
financial liabilities of the Seller or other obligations or undertakings of the
Seller evidenced by or arising under the Participation Agreement or the
transactions contemplated by the Participation Agreement, in any order, and all
rights, powers and remedies available to GB in such event shall be nonexclusive
and cumulative of all other rights, powers and remedies provided thereunder or
hereunder or by law or in equity. The obligations of the Guarantor hereunder are
independent of the obligations of the Seller, and GB may proceed directly to
enforce all rights under this Guaranty without proceeding against or joining the
Seller or any other person and without applying or enforcing any security for
the Participation Agreement. The Guarantor hereby authorizes and empowers GB
upon making demand for payment of the financial liabilities of the Seller, at
its sole discretion, to exercise any right or remedy which GB may have and the
Guarantor shall be liable to GB for any deficiency resulting from the exercise
by it of any such right or remedy, even though any rights which the Guarantor
may have against the Seller or others may be destroyed or diminished by exercise
of any such right or remedy. Until all of the obligations of the Seller to GB
have been paid and performed in full, the Guarantor shall have no right of
subrogation to GB, and the Guarantor hereby waives any rights to enforce any
remedy which GB may have against the Seller and any right to participate in any
security for the Participation Agreement. Further, the Guarantor also hereby
waives any claim, right or remedy which the Guarantor may now have or hereafter
acquire against the Seller that arises hereunder and/or from the performance by
the Guarantor hereunder, including, without limitation, any claim, remedy or
right of subrogation, reimbursement, exoneration, indemnification, or
participation in any claim, right or remedy of GB against the Seller or any
security which GB acquires, whether or not such claim, right or remedy arises in
equity, under contract, by statute, under common law or otherwise.

10. PROCEEDS. The Guarantor hereby authorizes GB, without notice to the
Guarantor, to apply all payments and credits received from the Seller or from
the Guarantor or realized from any security in such manner and in such priority
as GB, in its sole judgment, shall see fit to the financial liabilities of the
Seller or any other obligations or undertakings of the Seller which are the
subject of this Guaranty.

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11. COSTS OF ENFORCEMENT. The Guarantor agrees to pay to GB all costs and
expenses, including, without limitation, all court costs and reasonable
attorneys' fees, incurred or paid by GB in enforcing this Guaranty.

12. SUCCESSORS AND ASSIGNS. The Guarantor's obligations hereunder shall not be
assigned or delegated, but this Guaranty shall pass to and be fully binding
upon, not only the Guarantor, but the successors, assigns, estate, heirs,
legatees and legal representatives of the Guarantor. This Guaranty shall apply
to and inure to the benefit of GB, its successors or assigns.

13. SUBORDINATION. The Guarantor hereby subordinates and makes inferior any and
all indebtedness now or at any time hereafter owed by the Seller to the
Guarantor to the financial liabilities of the Seller evidenced by or arising
under the Participation Agreement and agrees not to permit the Seller to repay,
or to accept payment from the Seller of, such indebtedness or any part thereof
without the prior written consent of GB.

14. REPRESENTATIONS. The Guarantor hereby represents and warrants that (a) this
Guaranty is a legal, valid and binding obligation of the Guarantor, enforceable
against the Guarantor in accordance with its terms; (b) the execution, delivery,
and performance by the Guarantor of this Guaranty do not and will not violate
the Certificate or Articles of Incorporation or bylaws of such Guarantor or any
authority having the force of law or any indenture, agreement, or other
instrument to which the Guarantor is a party or by which the Guarantor or any of
the properties or assets of the Guarantor are or may be bound; (c) there is no
action or proceeding at law or in equity or by or before any court or
governmental instrumentality or agency now pending or to the knowledge of the
Guarantor threatened or affecting such Guarantor which may materially and
adversely affect the financial condition of such Guarantor; (d) the Guarantor is
solvent and will not be rendered insolvent by the execution and delivery of this
Guaranty; (e) any and all financial statements of the Guarantor heretofore
delivered to GB are true, complete and correct in all respects; (f) there has
been no adverse change in the financial condition of the Guarantor or in the
value of any of the assets described in such financial statements since the date
of such statements; (g) the Guarantor does not have any material assets or any
material liabilities or commitments, direct or contingent, other than those set
forth in such financial statements; and (h) this Guaranty is given in
furtherance of the business activities of the Guarantor and for a business
purpose.

15. NO IMPAIRMENT. The obligations, guaranties, undertakings, covenants,
agreements and duties of the Guarantor under this Guaranty shall in nowise be
affected or impaired by any of the following, although without notice to or
consent of such Guarantor:

                       (a) Any failure, omission or delay on the part of GB
               (i) to enforce, assert or exercise any right, power or remedy
               conferred on GB by the provisions of the Participation Agreement
               or otherwise inuring to the holders of the rights of GB under the
               Participation Agreement, or (ii) to make demand first upon the
               Seller or to proceed against the Seller;

                       (b) The voluntary or involuntary liquidation,
               dissolution, sale of all or substantially all assets, marshalling
               of assets or liabilities, receivership, conservatorship,
               assignment for the benefit of creditors, insolvency, bankruptcy,
               reorganization, arrangement, composition or other proceedings
               under laws for the protection of debtors affecting the Seller or
               any of the assets of the Seller, or any

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               discharge from liability or rejection of burdensome contracts or
               obligations in the course of or resulting from any such
               proceedings;

                       (c) The invalidity, deficiency, illegality or
               unenforceability of the Participation Agreement, in whole or in
               part, or of any of the provisions thereof, or failure to perfect
               or maintain perfection of any security, or any defense or excuse
               for failure to perform on account of force of nature, act of God,
               casualty, impossibility, impracticability, or other defense or
               excuse whatsoever; or

16. NO ORAL CHANGE. This Guaranty may not be changed orally, and no obligation
of the Guarantor can be released or waived by GB except by writing signed by GB.

17. GOVERNING LAW. This Guaranty shall be governed by and construed and enforced
in accordance with the laws of the State of California (the "State"). Any
corporate Guarantor not incorporated or qualified to transact business under the
laws of the State irrevocably submits to the nonexclusive jurisdiction of the
state and federal courts of the State and consents to service of process upon it
in any legal proceedings arising out of the Participation Agreement, the
financial liabilities of the Seller or any other obligations or undertakings of
the Seller represented by the Participation Agreement and/or this Guaranty by
serving the Secretary of State of the State in accordance with the provisions of
applicable law governing service of process upon foreign corporations in the
State.

18. INVALIDITY OF PARTICULAR PROVISIONS. If any term or provision of this
Guaranty shall be determined to be illegal or unenforceable, all other terms and
provisions hereof shall nevertheless remain effective and shall be enforced to
the fullest extent permitted by applicable law.

19. HEADINGS. The headings used herein are for purposes of convenience only and
shall not be used in construing the provisions hereof.

20. TERM. This Guaranty shall be irrevocable by the Guarantor until all
financial liabilities of the Seller to GB have been completely repaid and all
obligations and undertakings of the Seller under, by reason of, or pursuant to
the Participation Agreement have been completely performed.

21. FINANCIAL STATEMENTS. The Guarantor will cause to be delivered to GB, as
soon as practical (but in no event later than sixty (60) days) after the close
of each calendar quarter and year (or fiscal quarter and year, if Guarantor
operates on other than a calendar year), a statement of condition or balance
sheet of the Guarantor as of the end of such quarter and year and quarterly and
annual operating statements showing in reasonable detail all income and expenses
of the Guarantor, which statements shall be certified by the Guarantor or, if
requested by GB, by such other representatives of the Guarantor acceptable to
GB, to be true and correct in all material respects. Such statements shall be
prepared in accordance with sound accounting principles consistently applied.

22. NO DELAY OR WAIVER. No delay on the part of GB or any assignee of GB in
exercising any right hereunder or any failure to exercise the same shall operate
as a waiver of such right; nor in any event shall any modification or waiver of
the provisions hereof be effective unless in writing; nor shall any such waiver
be applicable except m the specific instance for which given.

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23. GUARANTORS. Unless the context in which used clearly indicates otherwise,
"Guarantor" shall mean the guarantors hereunder or any one of them, and the use
of any gender shall be applicable to all genders. The obligations of such
guarantors hereunder shall be joint and several.

24. OTHER GUARANTORS. The liabilities and obligations of the Guarantor hereunder
shall not be reduced or limited by reason of any similar or dissimilar guaranty
executed in favor of GB by any other person or entity, and this Guaranty
Agreement shall be enforceable against the Guarantor without regard to such
other guaranty or guaranties.

25. COUNTERPARTS. This Guaranty may be executed in counterparts, no one of which
needs to be executed by all the guarantors hereto, which together shall
constitute a single instrument and, regardless of whether it is executed by all
guarantors, shall be binding upon all guarantors who have executed a
counterpart.

26. ARMS-LENGTH TRANSACTION. This Guaranty has been entered into by the
undersigned after arms-length negotiation between the undersigned or
representatives of the undersigned and GB, the undersigned having been
represented by counsel during such negotiation, and this Guaranty shall not be
construed against GB on the ground that GB has prepared the same.

27. PAYMENTS. All payments made by the Guarantor under or by virtue of this
Guaranty shall be paid in immediately available funds, in lawful money of the
United States of America, to GB at the place of payment set forth in the
Participation Agreement, or at such other place as GB may hereafter designate in
writing. Each payment on any of the liabilities of the Seller shall be deemed to
have been made by the Seller, unless express written notice is given to GB at
the time of such payment that such payment is made by the Guarantor as specified
in such notice.

28. NOTICES. All notices given or to be given hereunder (including changes of
address) shall be sent by postage prepaid registered or certified mail, return
receipt requested, to the following addresses:

<TABLE>

<S>                      <C>
If to GB:                Mrs. Poppi Metaxas
                         Gateway Bank, F.S.B.
                         919 Clement Street
                         San Francisco, CA 94118

If to Guarantor:         FiNet.Com, Inc.
                         Bishop Ranch 7
                         2527 Camino Ramon, Suite 200
                         San Ramon, CA 94583
                         Attention: Rick Cossano

With a copy to:          FiNet.com, Inc.
                         Bishop Ranch 7
                         2527 Camino Ramon, Suite 200
                         San Ramon, CA 94583
                         Attention: FiNet General Counsel
</TABLE>

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29. NO INDUCEMENT. The Guarantor acknowledges and confirms to GB that the
Guarantor has not been induced to execute and deliver this Guaranty as a result
of, and is not relying upon, any representations, warranties, agreements or
conditions, whether express or implied or written or oral, by GB, Seller, or any
other person. Without limiting the generality of the foregoing or any other
provision of this Guaranty, insofar as the Guarantor is concerned:

(a) GB is not obligated to give any financial accommodations to the Seller or
any other person, or to purchase or continue to purchase Loans under the
Participation Agreement, or to change or extend the time of payment of, or renew
or alter, any financial liabilities of the Seller or any other obligations or
undertakings of the Seller, or of any other person, any security therefor or any
liability incurred directly or indirectly in respect thereof;

(b) No person, including, without limitation, GB and the Seller, has made any
representations to the Guarantor as to any matter which may affect or in any way
relate to the financial condition, relationships or transactions of the Seller
or any other person, including, without limitation, the business, assets,
liabilities, type or value of any security therefor, financial condition,
management or control of the Seller or any other person;

(c) GB is not obligated to notify the Guarantor or any other person of any
change in the business, assets, liabilities, type or value of any security
therefor, financial condition, management or control of the Seller or of any
other person, and none of such changes shall release or otherwise impair any of
the rights of GB against the Guarantor; and

(d) No failure by GB to obtain, perfect, protect, insure or realize upon any
security for any of the financial liabilities of the Seller or any other
obligations or undertakings of the Seller or of any other person or no other act
or failure to act by GB shall release or otherwise impair any of the obligations
of the Guarantor hereunder.

30. ACKNOWLEDGEMENT. THE GUARANTOR HEREBY ACKNOWLEDGES THAT IT HAS READ AND
UNDERSTANDS THE PARTICIPATION AGREEMENT AND AGREES TO BE BOUND BY ALL OF THE
TERMS AND CONDITIONS SET FORTH THEREIN APPLICABLE TO THE GUARANTOR.

31. CONTRACT OF AFFIRMATIVE COVENANTS. In addition to the GUARANTY OF PAYMENT
set forth in Paragraph 3 above and the GUARANTY OF PERFORMANCE set forth in
Paragraph 4 above, and all of the other terms and conditions of guaranty set
forth in this Guaranty. Guarantor hereby covenants, agrees and commits to be
jointly and severally liable to GB for all of the financial liabilities of the
Seller, as defined in Paragraph 3 above, and the Performance Obligations of the
Seller, as defined in Paragraph 4 above. Thus, Guarantor shall have direct and
primary liability to GB for any default in payment by Seller of any or all of
the financial liabilities of the Seller and any default in any or all of the
Performance Obligations of the Seller, Guaranty of Payment Union Chartered
Corporation as though Guarantor were a co-signer of the Participation Agreement.
This undertaking shall be independent of the guaranty obligations hereinabove
set forth and, upon default by Seller in payment of any or all of the financial
liabilities of the Seller and/or default in any or all of the Performance
Obligations of the Seller, GB may pursue its remedies against Seller and/or
Guarantor, in its capacity as primary obligor, and/or Guarantor in its capacity
as a guarantor, at GB's sole and exclusive option.

         IN WITNESS WHEREOF, the Guarantor has executed this Guaranty as of the
date first above written.

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GUARANTOR:

FINET.COM, INC.

By ______________________
         Rick Cossano
         Chief Executive Officer and President

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                                                                   Exhibit 10.6

                      EMPLOYMENT AND COMPENSATION AGREEMENT

         This Employment and Compensation Agreement (the "Agreement") is entered
into in Contra Costa County, California, as of the 1st day of November, 2000, by
and between, FiNet.com, Inc., a Delaware corporation ("FiNet" or "Employer") and
Patrick J. Mackin, an individual ("Employee"), who agree as follows:

         This Agreement is made with reference to the following facts:

         A.    FiNet, is a provider of both traditional and e-commerce home
financing services.

         B. Employee desires to perform services for Employer and Employer
desires to engage Employee to perform services in accordance with the terms and
conditions set forth in this Agreement.

         Now therefore, in consideration of the foregoing and of the covenants,
representations and promises set forth in this Agreement, the parties hereto,
agree as follows:

1.       EMPLOYMENT.

         a. Employer hereby offers Employee employment with Employer, and
Employee hereby accepts employment, commencing on November 1, 2000 on the terms
and conditions contained in this Agreement.

         b. Employee shall serve as Executive Vice President and Chief Financial
Officer for FiNet, reporting directly to Rick Cossano, Chief Executive Officer
("CEO") or his designee. In that capacity, Employee shall faithfully and
diligently carry out such duties and have such responsibilities as are customary
among persons employed in substantially similar capacities for similar
companies, provided that Employee shall at all times be subject to the direction
of the CEO of FiNet. Employee agrees to the best of his ability and experience
to perform loyally and conscientiously all of the duties and responsibilities
required of him, either expressly or implicitly, by the terms of this Agreement.

         c. Location of Employee's employment shall be as determined by
Employer.

2.       TERM OF EMPLOYMENT. Employee's Term of Employment in accordance with
the terms of this Agreement, shall commence as of November 1, 2000 and shall
terminate upon the earlier of October 31, 2001 or as is otherwise specified in
this Agreement (the "Term of Employment").

3.       COMMITMENT. Except as is otherwise provided herein, during the Term of
Employment Employee shall devote one hundred (100%) percent of his entire
productive time, ability, and attention to the business of the Employer. Except
as is otherwise provided herein, Employee shall not render any services of a
commercial or professional nature to any other person or organization, whether
for compensation or otherwise, without the prior written consent of the CEO of
FiNet. However, the expenditure of reasonable amounts of time for educational,

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charitable, or professional activities shall not be deemed a breach of this
Agreement if those activities do not materially interfere with the services
required under this Agreement and shall not require the prior written consent of
the CEO of FiNet. Notwithstanding the foregoing, this Agreement shall not be
interpreted to prohibit Employee from making passive personal investments or
conducting private business affairs if those activities do not materially
interfere with the services required under this Agreement.

4.       COMPETITIVE ACTIVITIES.

         a. During the Term of Employment, Employee shall not, directly or
indirectly, own an interest in, operate, join, control, or participate in, or be
connected as an officer, employee, agent, independent contractor, partner,
shareholder or principal of any corporation, partnership, proprietorship, firm,
association, person, or other entity producing, designing, providing, soliciting
orders for, selling, distributing, or marketing products, goods, equipment, or
services that compete directly or indirectly with Employer's products and
services or Employer's business, without first obtaining the written approval of
Employer. Such approval may be rescinded by Employer if and when, in the opinion
of Employer, such activities materially inhibit Employee's performance under
this Agreement or place Employer at risk.

         b. For one year following his termination as an Employee of, or
consultant to, Employer, whichever occurs later ("Posttermination Period"),
Employee shall not be prohibited from employment in the mortgage industry
involving activities similar to those engaged in prior to becoming an Employee
of or consultant to Employer, except, however, Employee shall not undertake any
employment or activity competitive with Employer's business in which the loyal
and complete fulfillment of the duties of the competitive employment or activity
would call on Employee to reveal or otherwise to use any confidential business
information or trade secrets of Employer's business to which Employee had access
by reason of his prior engagement by Employer.

         c. During the Term of Employment and the Posttermination Period,
Employee shall not, directly or indirectly, either for himself or for any other
person, firm, or corporation, divert or take away or attempt to divert or take
away (and during the Posttermination Period, call on or solicit or attempt to
call on or solicit) any of Employer's customers or patrons, including but not
limited to those on whom Employee called or whom he solicited or to whom he
catered or with whom Employee became acquainted during his engagement by
Employer. Nothing herein shall limit Employee's right during the Posttermination
Period, to call on or solicit or attempt to call on or solicit any of Employee's
customers or patrons on whom Employee called or whom he solicited or to whom he
catered or with whom he became acquainted during the period prior to Employee's
engagement by Employer.

         d. During the Term of Employment, Employee shall not undertake planning
for or organization of any business activity competitive with Employer's
business or combine or join with other employees or representatives of
Employer's business for the purpose of organizing any such competitive business
activity.

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         e. During the Term of Employment and the Posttermination Period,
Employee shall not, directly or indirectly or by action in concert with others,
induce or influence (or seek to induce or influence) any person who is engaged
(as an employee, agent, independent contractor, or otherwise) by Employer to
terminate his or her employment or engagement.

5.       COMPENSATION. As compensation for the services to be rendered by
Employee hereunder during the Term of Employment, Employer shall pay Employee a
Base Salary and additional compensation based upon the performance of Employee,
as is more specifically set forth in Addendum A to this Agreement. Employee's
compensation shall be payable in accordance with Employer's standard payroll
practices.

6.       BENEFITS. In addition to the compensation described herein above,
during the Term of Employment, Employee shall be eligible to receive the
following benefits:

         a. Such health insurance and other benefits that Employer may, from
time to time, make available to Employer's employees.

         b. Vacation time, sick leave, holidays and personal time in accordance
with Employer's vacation and absence policies, which Employer may, from time to
time, maintain for employees at Employee's level of employment.

         c. Reimbursement of allowed business expenses, upon submission of
documentation in accordance with Employer's regular expense reimbursement
policies, for reasonable business expenses incurred on behalf of Employer by
Employee.

         d. Participation in any savings plan, 401(k) plan, profit sharing plan
or pension plan, which Employer may, from time to time, maintain for employees
at Employee's level of employment, subject to plan eligibility.

7.       CONFIDENTIAL INFORMATION.

         a. Employee recognizes that, during the course of his employment with
Employer, he will be exposed to certain nonpublic, confidential information, the
disclosure of which to third parties would cause competitive injury to Employer.
Such confidential information includes but is not limited to Employer's
investment plans or strategies, trade secrets, sources of supply, customer
lists, lists of potential customers, customer or consultant contracts and the
details thereof, pricing policies, operational methods, marketing and
merchandising plans or strategies, business acquisition plans, personnel
acquisition plans, unannounced products and services, research and development
activities, processes, formulas, methods, techniques, technical data, know-how,
inventions, designs, financial or accounting data, inventory reports, production
schedules, cost and sales data, strategies, forecasts, and all other information
that is not publicly available pertaining to the business of Employer or any of
its affiliates. Such confidential information is hereinafter referred to as
"Confidential Information".

         b. Confidential Information shall not include (i) any information which
is or becomes publicly available other than through breach of this Agreement, or
(ii) any information

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which is or becomes known or available to Employee on a non-confidential basis
and not in contravention of applicable law from a source which is entitled to
disclose such information to Employee.

         c. Employee agrees that he will not, while employed by Employer,
divulge Confidential Information to any person, directly or indirectly, except
to Employer or its officers and agents, or as reasonably required in connection
with Employee's duties on behalf of the Employer, except as is required by law
or court order. Employee further agrees not to use, except on behalf of the
Employer, any Confidential Information acquired by Employee during the Term of
Employment. Employee agrees that he will not at any time after his employment
with Employer has ended, divulge to any person, directly or indirectly, any
Confidential Information, except as is required by law or court order. Employee
further agrees that, if his relationship with the Employer is terminated for any
reason, Employee shall not take with him but will leave with Employer all
records, papers, and computer software and data, and any copies thereof relating
to the Confidential Information (or if such papers, records, computer software
and data, or copies are not on the premises of Employer, Employee agrees to
return such papers, records, and computer software and data immediately upon his
termination). Employee acknowledges that all such papers, records, computer
software and data, or copies thereof are and remain the property of Employer.

8.       VOICE MAIL AND ELECTRONIC MAIL. All voice mail and electronic mail on
Employer's telephone or computer systems are the property of Employer and shall
be non-personal, non-private and non-privileged to Employee, and Employee shall
disclose to Employer all codes or passwords necessary for Employer to access
such voice mail or electronic mail.

9.       COOPERATION. As a condition of his employment with Employer, Employee
agrees that he will not disrupt, damage, impair, or interfere with the business
of the Employer, such as by interfering with the duties of the Employer's
employees, disrupting relationships with Employer's customers, agents,
representatives, or vendors, or otherwise.

10.      TERMINATION.

         a. Employee may terminate this Agreement for any reason or for no
reason upon providing Employer with sixty (60) days prior written notice of his
intention to terminate.

         b. Employer may terminate this Agreement upon written notice to
Employee prior to its expiration date for just cause or due to the Employee's
death or substantial physical impairment which prevents Employee from performing
his duties and responsibilities as set forth herein. For purposes of this
Section, "just cause" is defined as the failure of Employee to perform his
duties and responsibilities as set forth herein and as may be established by
Employer to the satisfaction of Employer; a violation of Section(s) 1, 3, 4, 7,
8, or 9 of this Agreement; fraud; misappropriation of funds; breach of fiduciary
duty; embezzlement; theft; physical assault or threatened assault on another
person; drunkenness on the job; possession or use of narcotics on Employer's
property; willful and material damage to Employer's property; conviction of a
felony; violation of any state or federal law applicable to Employer's business
or property; including, but not limited to, violations of state or federal
mortgage lending regulatory

                                    4 of 8

<PAGE>

provisions; or repeated or material violations of Employer's policies, including
but not limited to those policies prohibiting unlawful employment discrimination
and harassment.

         c. In the event Employee's employment is terminated, whether by
Employer for "just cause", as is defined herein or due to the Employee's death
or substantial physical or mental impairment preventing Employee from performing
the essential functions of his job, or by Employee as provided herein, Employer
shall have no further obligation to pay any compensation to or benefits on
behalf of Employee, however all compensation accrued as of the date of
termination shall be paid to Employee upon termination.

         d. Upon termination of his employment, Employee agrees to deliver
promptly to Employer all records, files, drawings, documents, specifications,
blueprints, letters, notes, reports and computer software, and all copies
thereof, and any and all materials relating to Employer's Confidential
Information that is in Employee's possession or control. At the time of
termination, Employee will have an exit interview with Employer wherein Employee
will certify that Employee has returned to Employer all tangible Confidential
Information disclosed to him, and disclose Inventions conceived or developed by
him during the Term of Employment.

         e. Sections 4, 7, 9, 10, 11, 12, 13, 14, 15, and 16, hereof, shall
survive termination of this Agreement.

11.      ASSIGNMENT. The rights and liabilities of the parties hereto shall
bind and inure to the benefit of their respective successors, executors and
administrators, as the case may be; provided that, as Employer has specifically
contracted for Employee's services, Employee may not assign or delegate his
duties and responsibilities under this Agreement either in whole or part without
the prior written consent of Employer. Employer may assign its rights and
obligations to a successor in interest to Employer, provided such successor
assumes all obligations and liabilities thereunder.

12.      SEVERABILITY OF PROVISIONS. In the event any provision of this
Agreement is held to be illegal, invalid, or unenforceable under any present or
future law, (a) such provision will be fully severable, (b) this Agreement will
be construed and enforced as if such illegal, invalid, or unenforceable
provision had never comprised a part hereof, (c) the remaining provisions of
this Agreement will remain in full force and effect and will not be affected by
the illegal, invalid, or unenforceable provision or by its severance herefrom,
and (d) in lieu of such illegal, invalid, or unenforceable provision, there will
be added automatically as a part of this Agreement a legal, valid, and
enforceable provision as similar in terms to such illegal, invalid, or
unenforceable provision as may be possible.

13.      MEDIATION AND ARBITRATION. Initially all claims and controversies of
any kind relating to this Agreement shall be submitted to mediation pursuant to
the services of JAMS/Endispute Mediation Service ("JAMS") with the venue of the
mediation being San Francisco, CA. In the event the matter cannot be disposed of
by mediation, all claims and controversies of any kind relating to this
Agreement shall be finally settled by binding arbitration before a single JAMS
arbitrator in San Francisco, CA, in accordance with rules of the JAMS/Endispute
Rules and Procedures for Mediation/Arbitration of Employment Disputes or the
Rules of the American

                                    5 of 8

<PAGE>

Arbitration Association ("AAA"). The parties to this Agreement shall be bound by
the decisions in any such arbitration, and judgment upon such arbitration may be
entered by any court of proper jurisdiction. Notwithstanding the applicable
rules of JAMS/Endispute or AAA in accordance with California Code of Civil
Procedure Section 1283.1 (b), the parties agree that depositions may be taken
and discovery obtained in any arbitration proceeding relating to this Agreement
in accordance with California Code of Civil Procedure Section 1283.05.
Attorney's fees and costs shall be allocated by agreement in mediation or by the
arbitrator in arbitration.

14.      NOTICES. Any notice provided for in this Agreement must be in writing
and must be either personally delivered, or mailed by certified mail (postage
prepaid and return receipt requested), or sent by reputable overnight courier
service, to the recipient at the address below indicated:

<TABLE>

<S>      <C>
         To Employee:      Patrick J. Mackin
                           9625 Swan Lake Drive
                           Granite Bay, CA 95746

         To Employer:      FiNet.com, Inc.
                           2527 Camino Ramon, Suite 200
                           San Ramon, CA 94583
                           Attention: Rick Cossano
</TABLE>

,or such other address or to the attention of such other person as the recipient
party shall have specified by prior written notice to the sending party. Any
notice under this Agreement will be deemed to have been given when so delivered
or if mailed, five (5) days after deposit in a U.S. Postal facility.

15.      ENTIRE AGREEMENT: AMENDMENTS AND WAIVERS. This Agreement contains the
sole, complete, final, exclusive and entire agreement between the parties
pertaining to the employment of Employee by Employer and supersedes all prior
agreements, understandings, negotiations and discussions, whether oral or
written, of the parties. No amendment, supplement, modification, rescission or
waiver of this Agreement shall be binding unless executed in writing by the
parties. No waiver of any of the provisions of this Agreement shall be deemed or
shall constitute a continuing waiver unless otherwise expressly provided. The
parties expressly acknowledge that they have not relied upon any prior
agreements, understandings, negotiations or discussions, whether oral or
written.

16.      CHOICE OF LAW. The rights and duties of the parties will be governed
by the law of the State of California, excluding any choice-of-law rules that
would require the application of laws of any other jurisdiction.

                                    6 of 8

<PAGE>

         IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
duly executed as of the day and year first above written.

<TABLE>

<S>                                           <C>
         EMPLOYER                                   EMPLOYEE

By: ____________________________              By: ____________________________
         Rick Cossano                                 Patrick J. Mackin
         Chief Executive Officer

</TABLE>

                                    7 of 8

<PAGE>

                                   ADDENDUM A
                                       TO
                      EMPLOYMENT AND COMPENSATION AGREEMENT
                                PATRICK J. MACKIN

         This Addendum by and between FiNet.com, Inc. ("FiNet" or "Employer")
and Patrick J. Mackin ("Employee") shall define the terms of Compensation.

1.   SALARY.  Employee shall receive a Base Salary of $160,000.00 per annum.

2.   BONUS. In addition to Base Salary, Employee shall be eligible to receive
     an annual incentive bonus of up to $75,000.00, payable annually, based
     upon FiNet's achievement of its business plan and financial profitability.
     The percentage of Bonus received by Employee shall be determined in
     accordance with the proposed provisions of FiNet's Bonus Plan For
     Executive Level Employees, which is to be implemented within sixty (60)
     days of Employee's employment.

3.   EQUITY INCENTIVES. Employee shall be granted options to purchase 300,000
     shares of FiNet common stock, at a price to be determined at the close of
     business on November 1, 2000, vesting 75,000 shares on November 1, 2000,
     75,000 shares on November 1, 2001, 75,000 shares on November 1, 2002, with
     the remaining 75,000 shares vesting on November 1, 2003, conditioned upon
     Employee's continued employment by Employer ("Vested Options"). The terms
     and conditions of the Options shall remain subject to and interpreted in
     conformity with the FiNet Holdings Corporation 1998 Stock Option Plan, as
     may be amended from time to time.

4.   HOUSING ALLOWANCE. Employee shall be provided a temporary housing allowance
     for actual expenses incurred up to $1,000 per month for a period not to
     exceed twelve (12) months, payable semi-monthly in accordance with
     Employer's normal payroll practices.

5.   PAYMENT OF EMPLOYMENT FEE. Employer shall pay to Verra Associates,
     Executive Search Consultants, a recruiting fee in the amount of $40,000.00.

6.   CHANGE OF CONTROL. In the event FiNet is subject to a Change of Control,
     all of the Employee's Options, granted in accordance with Paragraph 3
     above, shall fully vest. For purposes of this Agreement, a "Change of
     Control" is defined as a merger, consolidation or other reorganization of
     FiNet in which FiNet does not survive. All of Employee's vested Options
     must be exercised within 90 days of the date of termination

Agreed to:
Dated: November ___, 2000

<TABLE>

<S>                                              <C>
EMPLOYER                                         EMPLOYEE

By: ________________________                     By: ________________________
         Rick Cossano                                   Patrick J. Mackin
</TABLE>

                                    8 of 8

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