Document:

<PAGE>

                           SECOND AMENDMENT AND WAIVER
                                       TO
                   FIFTH AMENDED AND RESTATED CREDIT AGREEMENT

         THIS SECOND AMENDMENT AND WAIVER dated as of October 26, 2000, to FIFTH
AMENDED AND RESTATED CREDIT AGREEMENT (the "Credit Agreement"), dated as of
December 31, 1999, as amended by the First Amendment to the Fifth Amended and
Restated Credit Agreement dated as of March 24, 2000, by and between NCO GROUP,
INC., a Pennsylvania corporation ("NCO Group" or the "Borrower" and sometimes an
"Obligor"), NCO TELESERVICES, INC. ("Teleservices" and sometimes an "Obligor"),
and the Lenders listed on the signature pages hereto (together with other
lenders party to the Credit Agreement from time to time pursuant to Section 11.9
of the Credit Agreement, and their successors and assigns, the "Lenders"),
MELLON BANK, N.A., a national banking association ("Mellon") for itself and as
Administrative Agent for the other Lenders (in such capacity, together with its
successors and assigns in such capacity, the "Administrative Agent") (this
"Amendment"). Capitalized terms used in this Amendment are used as defined in
the Credit Agreement unless otherwise defined herein.

         WHEREAS, the Borrower has notified the Administrative Agent that it
plans to sell (i) substantially all of the assets of its Telemarketing Division
(the "Telemarketing Sale") pursuant to an Asset Purchase Agreement between
Teleservices and Creative Marketing Strategies, Inc. ("CMS"), and (ii)
substantially all of the assets of its Market Research Division (the "Market
Research Sale", and together with the Telemarketing Sale, the "Division Sale")
pursuant to an Asset Purchase Agreement among the Borrower, Teleservices and TRC
Holdings, Inc. ("TRC");

         WHEREAS, in connection with the Division Sale, the Borrower has
requested that the Lenders waive the negative covenant contained in Section 6.10
of the Credit Agreement;

         WHEREAS, as consideration for the Division Sale, Teleservices will
receive a promissory note issued by CMS (the "CMS Note") and a promissory note
issued by TRC (the "TRC Note", and together with the CMS Note, the "Division
Sale Notes") and the Borrower and Teleservices wish to confirm that the Division
Notes are subject to the Security Agreement and will be pledged to the
Collateral Agent thereunder; and

         WHEREAS, the parties desire to waive Section 6.10 of the Credit
Agreement and further amend the Credit Agreement and the other Loan Documents,
all on the terms and conditions set forth below;

         NOW, THEREFORE, in consideration of the premises and of the mutual
covenants herein contained and intending to be legally bound hereby, the
Borrower, Teleservices and the Lenders agree as follows:

         1. Waiver. For purposes of the Division Sale, the Lenders hereby waive
the restriction in Section 6.10 of the Credit Agreement that any division
disposed of by an Obligor

<PAGE>

have an enterprise value on an arms length basis per transaction of $500,000 or
less, and agree to the release of the Collateral being sold in the Division
Sale. The foregoing waiver is limited to its express terms and does not imply
any other or future waivers.

         2. Pledge of Division Sale Notes. The Borrower and Teleservices hereby
confirm and agree that the Division Sale Notes are Collateral subject to the
security interest granted by Teleservices under the Security Agreement.
Teleservices shall deliver each of the Division Sale Notes to the Collateral
Agent, together with undated note powers, as soon as practicable after the
closing of the Division Sale.

         3. Amendments to Credit Agreement. The Credit Agreement is hereby
amended as follows:

         a. Section 10.1, Certain Definitions. The following definition is added
in its correct alphabetical location in Section 10.1:

                           "Division Sale Notes" means the promissory notes of
                  each of Creative Marketing Strategies, Inc. and TRC Holdings,
                  Inc. originally issued to NCO Teleservices, Inc., and any note
                  issued in substitution therefor, together with all extensions
                  and renewals thereof, in whole or in part, in each case as the
                  same may be amended, modified, restated or supplemented from
                  time to time.

         b. Section 1.7, Reductions Of RC Commitment. The following clause (iii)
is added immediately following clause (ii) of paragraph (a) of Section 1.7:

                           (iii) At anytime that an Obligor shall receive cash
                  proceeds in respect of principal under the Division Sale
                  Notes, the RC Commitment shall be reduced by an amount equal
                  to such proceeds.

         4. Representations and Warranties. The Borrower represents and warrants
to the Lenders as follows:

         a. Credit Agreement. Each of the representations and warranties
contained in the Credit Agreement is accurate on and as of the date hereof.

         b. No Defaults. As of the date hereof, no Default or Event of Default
exists.

         5. Continuing Effectiveness of Credit Agreement. Except as amended
hereby, the Credit Agreement and each other Loan Document remains in full force
and effect and is hereby ratified.

         6. Effectiveness. This Amendment shall be effective when the necessary
Lenders, the Administrative Agent, and the Collateral Agent has executed a
counterpart hereto.

                                      -2-

<PAGE>

         7. Counterparts. This Amendment may be executed in any number of
counterparts each of which shall be an original and all of which, when taken
together, shall constitute one instrument.

                        [Signatures begin on next page.]

                                      -3-

<PAGE>

         IN WITNESS WHEREOF, the parties hereto have executed this Amendment as
of the date first above written.

                                            NCO GROUP, INC.
                                            NCO TELESERVICES, INC.

                                            By: ________________________________
                                                Michael J. Barrist,
                                                as President and Chief Executive
                                                Officer of each

                 [Signature Page to Second Amendment and Waiver
                to NCO Credit Agreement and Other Loan Documents]

<PAGE>

                                          MELLON BANK, N.A.,
                                          for itself and as Administrative Agent
                                          and as Collateral Agent

                                          By:___________________________________
                                                 Liam M. Brickley
                                                 Vice President

                 [Signature Page to Second Amendment and Waiver
                to NCO Credit Agreement and Other Loan Documents]

<PAGE>

                                                  PNC BANK, NATIONAL ASSOCIATION

                                                 By:____________________________
                                                       Name:
                                                       Title:

                 [Signature Page to Second Amendment and Waiver
                to NCO Credit Agreement and Other Loan Documents]

<PAGE>

                                                BANK OF AMERICA

                                                By:_____________________________
                                                      Name:
                                                      Title:

                 [Signature Page to Second Amendment and Waiver
                to NCO Credit Agreement and Other Loan Documents]

<PAGE>

                                                FIRST UNION NATIONAL BANK

                                                By:_____________________________
                                                       Name:
                                                       Title:

                 [Signature Page to Second Amendment and Waiver
                to NCO Credit Agreement and Other Loan Documents]

<PAGE>

                                                  SUNTRUST BANK, ATLANTA

                                                  By:___________________________
                                                        Name:
                                                        Title:

                                                  By: __________________________
                                                         Name:
                                                         Title:

                 [Signature Page to Second Amendment and Waiver
                to NCO Credit Agreement and Other Loan Documents]

<PAGE>

                                                  UNION BANK OF CALIFORNIA, N.A.

                                                  By:___________________________
                                                         Name:
                                                         Title:

                 [Signature Page to Second Amendment and Waiver
                to NCO Credit Agreement and Other Loan Documents]

<PAGE>

                                              NATIONAL CITY BANK OF PENNSYLVANIA

                                              By:_______________________________
                                                      Name:
                                                      Title:

                 [Signature Page to Second Amendment and Waiver
                to NCO Credit Agreement and Other Loan Documents]

<PAGE>

                                              SUMMIT BANK

                                              By:_______________________________
                                                      Name:
                                                      Title:

                 [Signature Page to Second Amendment and Waiver
                to NCO Credit Agreement and Other Loan Documents]

<PAGE>

                                              PROVIDENT BANK OF MARYLAND

                                              By:_______________________________
                                                      Name:
                                                      Title:

                 [Signature Page to Second Amendment and Waiver
                to NCO Credit Agreement and Other Loan Documents]

<PAGE>

                                                 MANUFACTURERS AND TRADERS TRUST
                                                 COMPANY

                                                 By:____________________________
                                                       Name:
                                                       Title:

                 [Signature Page to Second Amendment and Waiver
                to NCO Credit Agreement and Other Loan Documents]

<PAGE>

                                              FLEET NATIONAL BANK

                                              By:_______________________________
                                                      Name:
                                                      Title:

                 [Signature Page to Second Amendment and Waiver
                to NCO Credit Agreement and Other Loan Documents]

<PAGE>

                                              CITIZENS BANK OF MASSACHUSETTS

                                              By:_______________________________
                                                      Name:
                                                      Title:

                 [Signature Page to Second Amendment and Waiver
                to NCO Credit Agreement and Other Loan Documents]

<PAGE>

                                              CHEVY CHASE BANK, F.S.B.

                                              By:_______________________________
                                                      Name:
                                                      Title:

                 [Signature Page to Second Amendment and Waiver
                to NCO Credit Agreement and Other Loan Documents]

<PAGE>

                                              IBM CREDIT CORPORATION

                                              By:_______________________________
                                                      Name:
                                                      Title:

                 [Signature Page to Second Amendment and Waiver
                to NCO Credit Agreement and Other Loan Documents]

<PAGE>

                                              BANK AUSTRIA CREDITANSTALDT
                                              CORPORATE FINANCE, INC.

                                              By:_______________________________
                                                      Name:
                                                      Title:

                 [Signature Page to Second Amendment and Waiver
                to NCO Credit Agreement and Other Loan Documents]

<PAGE>

                                              FIRSTAR BANK, N.A.

                                              By:_______________________________
                                                      Name:
                                                      Title:

                 [Signature Page to Second Amendment and Waiver
                to NCO Credit Agreement and Other Loan Documents]<PAGE>

                                December 15, 2000

NCO Group, Inc.
NCO Portfolio Funding, Inc.
515 Pennsylvania Avenue
Fort Washington, PA 19034
Attention: Michael J. Barrist,
           President and Chief Executive Officer

           Re: Third Amendment to Credit Agreement and
               Commitment for Subfacility Amendment to Credit Agreement

Dear Michael:

         You have advised us that NCO Group, Inc. (the "Borrower") seeks an
amendment to its Credit Agreement (as defined below) in order to create a
subfacility (the "Subfacility") that will be used exclusively for the Borrower
to make revolving credit loans to Post-Merger NCOP (as defined below) in an
aggregate amount not to exceed $50,000,000, pursuant to a credit agreement
between the Borrower and Post-Merger NCOP (the "NCOP/NCOG Credit Agreement").
Attached hereto as Exhibit A is a Summary of Terms and Conditions (the "Term
Sheet") describing the general terms and conditions for the proposed amendment
to the Credit Agreement (the "Subfacility Amendment") and the establishment of
the Subfacility and the NCOP/NCOG Credit Agreement.

         You have also advised us that the Borrower seeks an amendment to its
Credit Agreement in order to eliminate a limitation on its capital expenditures
that is unnecessary due to its other financial covenants and to increase its
permitted investment in delinquent pools of accounts. In connection therewith,
the Lenders wish for you to restrict certain transactions with domestic Excluded
Subsidiaries. Attached hereto as Exhibit B are the terms of such amendment to
the Credit Agreement (the "Limited Amendment").

         The undersigned Lenders are pleased to advise you of their commitment
to amend the Credit Agreement in order to effect (i) the Subfacility Amendment,
on substantially the terms outlined in the Term Sheet and subject to the terms
and conditions set forth herein and in the Term Sheet, and (ii) the Limited
Amendment, on the terms set forth in such Limited Amendment, subject to the
terms and conditions set forth herein.

         "Credit Agreement" means that certain Fifth Amended and Restated Credit
Agreement, dated as of December 31, 1999, as amended through the date hereof,
among the Borrower, Mellon Bank, N.A., as Administrative Agent and the Lenders
referred to therein. Unless otherwise defined herein, capitalized terms used
herein or in the Term Sheet or the Limited Amendment and not otherwise defined
are used as defined in the Credit Agreement. The surviving entity following the
merger of NCO Portfolio Funding, Inc. ("NCOP"), which is currently a wholly
owned subsidiary of the Borrower, and Creditrust, Inc. ("Creditrust"), which is

                                      -1-
<PAGE>

NCO Group, Inc.
NCO Portfolio Funding, Inc.
December 15, 2000
Page 2

currently a public company in bankruptcy, is herein referred to as "Post-Merger
NCOP".

         The Limited Amendment set forth on Exhibit B hereto shall be effective
immediately at such time as the Borrower, the Administrative Agent and the
Majority Lenders shall have executed original counterpart signature pages hereto
and the Borrower shall have paid the fee specified in the last paragraph of this
letter.

         The commitment of the undersigned Lenders to amend the Credit Agreement
to effect the Subfacility Amendment is based upon the financial and other
information regarding the Borrower and NCOP previously provided to the Lenders.
Further, the commitment to amend the Credit Agreement in order to effect the
Subfacility Amendment is subject to the conditions specified in the Term Sheet
and the conditions, among others, that (i) the Majority Lenders shall have
signed original counterpart signature pages hereto, (ii) there shall not have
occurred after the date of the financial and other information previously
provided to the Lenders, any material adverse change in the business, assets,
liabilities (actual or contingent), operations or condition (financial or
otherwise) of the Borrower or NCOP, (iii) there shall have been provided to the
undersigned Lenders, to their satisfaction, financial and other information
regarding Creditrust, (iv) the undersigned Lenders shall continue to be
satisfied with the business, assets, liabilities (actual or contingent),
operations and condition (financial or otherwise) of the Borrower, NCOP and
Creditrust, (v) the financial and other information concerning the Borrower and
NCOP shall not differ in any material respect from the information previously
provided to the Lenders, (vi) the undersigned Lenders shall have completed, to
their satisfaction, all legal, business and other due diligence review of the
business, assets, liabilities, operations and condition of the Borrower, NCOP
and Creditrust, (vii) the Majority Lenders shall have approved the Subfacility
Amendment and the other conditions in the Term Sheet shall have been satisfied,
(viii) the Administrative Agent, the Majority Lenders, the Borrower and
Post-Merger NCOP shall have executed and delivered mutually acceptable
documentation for the Subfacility Amendment and the transactions contemplated
hereby, (ix) all representations made and all information furnished under this
letter shall be accurate and complete in all material respects, (x) the
undersigned Lenders shall be satisfied with the capital structure of Post-Merger
NCOP, and (xi) all material court, governmental and third party approvals needed
for the transactions contemplated in the Term Sheet shall have been obtained.

         Each of the Borrower and NCOP hereby represents and covenants that to
the best of its knowledge (i) all information, other than Projections (as
defined below), which has been or is hereafter made available to the
Administrative Agent or the Lenders by it or any of its representatives in
connection with the transactions contemplated hereby ("Information") is and will
be complete and correct in all material respects and does not and will not

                                      -2-
<PAGE>

NCO Group, Inc.
NCO Portfolio Funding, Inc.
December 15, 2000
Page 3

contain any untrue statement of a material fact or omit to state a material fact
necessary to make the statements contained therein not materially misleading and
(ii) all financial projections concerning the Borrower, NCOP, Creditrust and
Post-Merger NCOP that have been or are hereafter made available to the
Administrative Agent or the Lenders by it (the "Projections") have been or will
be prepared in good faith based upon reasonable assumptions. The Borrower and
NCOP agree to supplement the Information and the Projections from time to time
until the closing date so that the representation and warranty in the preceding
sentence is correct on the closing date. In amending the Credit Agreement, the
Administrative Agent and the Majority Lenders will be using and relying on the
Information and the Projections.

         By executing this letter, the Borrower and NCOP, jointly and severally,
agree to reimburse the Administrative Agent from time to time on demand, whether
or not closing ultimately occurs on the Limited Amendment, Subfacility
Amendment, Subfacility and NCOP/NCOG Credit Agreement, for all reasonable
out-of-pocket fees and other expenses (including, but not limited to, the
reasonable fees, disbursements and other charges of its counsel, Drinker Biddle
& Reath LLP,) incurred in connection with the proposed Limited Amendment,
Subfacility Amendment, Subfacility and NCOP/NCOG Credit Agreement, including the
preparation of definitive documentation for the Subfacility Amendment and the
other transactions contemplated hereby and, if necessary, the Borrower and NCOP
agree to pay all costs and expenses of the Administrative Agent incurred in
connection with the enforcement of any of its rights and remedies hereunder. All
payments by the Borrower and NCOP hereunder shall be made free and clear of any
set-off rights, claims, counterclaims, defenses and withholding or other taxes.

         By executing this letter, the Borrower confirms that the
indemnification rights set forth in the Credit Agreement include indemnification
for any losses, claims, costs, damages, expenses (including the fees and
expenses of counsel) or liabilities arising out of, in any way relating to, or
resulting from, this letter, the Limited Amendment, the Subfacility Amendment or
the other transactions contemplated hereby and any use or proposed use of the
proceeds of the Subfacility and the NCOP/NCOG Credit Agreement.

         The provisions of the immediately preceding two paragraphs shall remain
in full force and effect regardless of whether definitive Limited Amendment and
Subfacility Amendment documentation shall be executed and delivered and
notwithstanding the termination of this letter or the commitment of the
undersigned Lenders hereunder.

         This letter may be executed in counterparts which, taken together,
shall constitute an original. This letter, together with the Term Sheet and the
Limited Amendment, embodies the entire agreement and understanding among the
Administrative Agent, the undersigned Lenders, the Borrower and NCOP with
respect to the specific matters set forth above and supersedes all prior
agreements and understandings relating to the subject matter hereof. No party

                                      -3-
<PAGE>

NCO Group, Inc.
NCO Portfolio Funding, Inc.
December 15, 2000
Page 4

has been authorized by the Administrative Agent or any Lender to make any oral
or written statements inconsistent with this letter.

         This letter shall be governed by and construed in accordance with the
laws of the Commonwealth of Pennsylvania, without regard to the principles of
conflicts of law. For purposes of enforcing this letter and resolving disputes
under it, the parties hereto hereby consent to the jurisdiction and venue of the
courts of the Commonwealth of Pennsylvania or of any federal court located in
Pennsylvania. THE PARTIES HERETO WAIVE ALL RIGHTS TO A TRIAL BY JURY RELATING TO
THE SUBJECT MATTER HEREOF.

         This letter is issued solely for the benefit of the Administrative
Agent, the Lenders and the Borrower, and may not be relied upon or enforced by
any other person except as mutually agreed, and may not be assigned by the
Borrower or NCOP.

         If you are in agreement with the foregoing, please execute the enclosed
copy of this letter and provide payment of one-half of the Amendment Fee (as
defined in the Term Sheet) no later than 5 p.m. (Eastern time) on December 20,
2000. This letter and the Limited Amendment will become effective upon delivery
to the Administrative Agent of executed counterparts of this letter by the
Borrower, NCOP and the Majority Lenders and payment by the Borrower of the
aforesaid fee. This commitment shall terminate if not so agreed to by the
Borrower, NCOP and the Majority Lenders prior to that time. Following timely
acceptance by the aforementioned parties, the commitment to amend the Credit
Agreement in order to effect the Subfacility Amendment shall expire at 5 p.m.
(Eastern time) on March 31, 2001 unless the Subfacility Amendment is made
effective in accordance with its terms by such time.

                                      -4-
<PAGE>

NCO Group, Inc.
NCO Portfolio Funding, Inc.
December 15, 2000
Page 5

                                            Very truly yours,

ADMINISTRATIVE AGENT:                       MELLON BANK, N.A.,
                                            as Administrative Agent and a Lender

                                            By: ________________________________
                                                  Liam M. Brickley
                                                  Vice President

LENDERS:                                    PNC BANK, NATIONAL ASSOCIATION

                                            By: ________________________________
                                                   Name:
                                                   Title:

                                            BANK OF AMERICA, N.A.

                                            By:_________________________________
                                                   Name:
                                                   Title:

                                            FIRST UNION NATIONAL BANK

                                            By:_________________________________
                                                   Name:
                                                   Title:

                                      -5-
<PAGE>

NCO Group, Inc.
NCO Portfolio Funding, Inc.
December 15, 2000
Page 5

                                            SUNTRUST BANK, ATLANTA

                                            By:_________________________________
                                                   Name:
                                                   Title:

                                            By: ________________________________
                                                   Name:
                                                   Title:

                                            UNION BANK OF CALIFORNIA, N.A.

                                            By:_________________________________
                                                   Name:
                                                   Title:

                                            NATIONAL CITY BANK OF PENNSYLVANIA

                                            By:_________________________________
                                                   Name:
                                                   Title:

                                            SUMMIT BANK

                                            By:_________________________________
                                                   Name:
                                                   Title:

                                      -6-
<PAGE>

NCO Group, Inc.
NCO Portfolio Funding, Inc.
December 15, 2000
Page 7

                                            PROVIDENT BANK OF MARYLAND

                                            By:_________________________________
                                                   Name:
                                                   Title:

                                            MANUFACTURERS AND TRADERS
                                            TRUST COMPANY

                                            By:_________________________________
                                                   Name:
                                                   Title:

                                            FLEET NATIONAL BANK

                                            By:_________________________________
                                                   Name:
                                                   Title:

                                            CITIZENS BANK OF MASSACHUSETTS

                                            By:_________________________________
                                                   Name:
                                                   Title:

                                            CHEVY CHASE BANK, F.S.B.

                                            By:_________________________________
                                                   Name:
                                                   Title:

                                      -7-
<PAGE>
NCO Group, Inc.
NCO Portfolio Funding, Inc.
December 15, 2000
Page 8

                                            FIRSTAR BANK, N.A.

                                            By:_________________________________
                                                   Name:
                                                   Title:

                                            IBM CREDIT CORPORATION

                                            By:_________________________________
                                                   Name:
                                                   Title:

                                            BANK AUSTRIA CREDITANSTALDT
                                            CORPORATE FINANCE, INC.

                                            By:_________________________________
                                                   Name:
                                                   Title:

                                      -8-
<PAGE>

NCO Group, Inc.
NCO Portfolio Funding, Inc.
December 15, 2000
Page 9

COMMITMENT ACCEPTED AND AGREED
TO THIS _______DAY OF _______________, 2000

NCO GROUP, INC.

By:________________________________________
      Michael J. Barrist,
      President and Chief Executive Officer

NCO PORTFOLIO FUNDING, INC.

By:________________________________________
      Michael J. Barrist,
      President and Chief Executive Officer

                                      -9-

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