Document:

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                          TRUST AND SERVICING AGREEMENT

                           Dated as of January 1, 2003

                                _________________

                                      among

                   GS MORTGAGE SECURITIES CORP., as Depositor,

                     FAIRBANKS CAPITAL CORP., as a Servicer,

         WILSHIRE CREDIT CORPORATION, as a Servicer and Master Servicer,

                                       and

                         JPMORGAN CHASE BANK, as Trustee

             GSRPM MORTGAGE PASS-THROUGH CERTIFICATES, SERIES 2003-1

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<TABLE>
<CAPTION>
                                                 TABLE OF CONTENTS

                                                                                                               PAGE
<S>                                                                                                            <C>

                                    ARTICLE I DEFINITIONS; RULES OF CONSTRUCTION

1.01        DEFINITIONS...........................................................................................4
1.02        USE OF WORDS AND PHRASES.............................................................................46
1.03        CAPTIONS; TABLE OF CONTENTS..........................................................................46
1.04        OPINIONS.............................................................................................46
1.05        ALLOCATION OF CERTAIN INTEREST SHORTFALLS............................................................46

                               ARTICLE II ESTABLISHMENT AND ORGANIZATION OF THE TRUST

2.01        ESTABLISHMENT OF THE TRUST...........................................................................48
2.02        OFFICE...............................................................................................48
2.03        PURPOSES AND POWERS..................................................................................48
2.04        APPOINTMENT OF THE TRUSTEE; DECLARATION OF TRUST.....................................................48
2.05        EXPENSES OF THE TRUST................................................................................48
2.06        OWNERSHIP OF THE TRUST...............................................................................48
2.07        SITUS OF THE TRUST...................................................................................49
2.08        THE MORTGAGE LOANS...................................................................................49
2.09        THE CERTIFICATES.....................................................................................49
2.10        INDEMNIFICATION WITH RESPECT TO CERTAIN TAXES AND LOSS OF REMIC STATUS...............................49

                            ARTICLE III REPRESENTATIONS, WARRANTIES AND COVENANTS OF THE
                                DEPOSITOR AND THE SERVICERS; REMEDIES UPON BREACHES

3.01        REPRESENTATIONS AND WARRANTIES OF THE DEPOSITOR......................................................50
3.02        REPRESENTATIONS AND WARRANTIES OF THE SERVICERS......................................................52
3.03        REMEDIES UPON BREACH OF REPRESENTATIONS AND WARRANTIES BY THE DEPOSITOR OR A SELLER..................56
3.04        CONVEYANCE OF THE MORTGAGE LOANS.....................................................................58
3.05        ACCEPTANCE BY TRUSTEE; CERTIFICATION BY TRUSTEE......................................................61
3.06        NONQUALIFIED MORTGAGE LOAN...........................................................................63

                                    ARTICLE IV ISSUANCE AND SALE OF CERTIFICATES

4.01        ISSUANCE OF CERTIFICATES.............................................................................64
4.02        SALE OF CERTIFICATES.................................................................................64

                                             ARTICLE V THE CERTIFICATES

5.01        THE CERTIFICATES.....................................................................................64
5.02        REGISTER; REGISTRATION OF TRANSFER AND EXCHANGE OF CERTIFICATES......................................65
5.03        MUTILIATED, DESTROYED, LOST OR STOLEN CERTIFICATES...................................................70
5.04        PERSONS DEEMED OWNERS................................................................................71

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5.05        ACCESS TO LIST OF CERTIFICATEHOLDERS' NAMES AND ADDRESSES............................................71
5.06        MAINTENANCE OF OFFICE OR AGENCY......................................................................71
5.07        RIGHTS OF THE CERTIFICATE INSURER TO EXERCISE RIGHTS OF CLASS A CERTIFICATEHOLDERS...................72
5.08        CERTIFICATE INSURER DEFAULT..........................................................................72

                                                ARTICLE VI COVENANTS

6.01        DISTRIBUTIONS........................................................................................73
6.02        MONEY FOR DISTRIBUTIONS TO BE HELD IN TRUST; WITHHOLDING.............................................73
6.03        PROTECTION OF TRUST ESTATE...........................................................................74
6.04        PERFORMANCE OF OBLIGATIONS...........................................................................75
6.05        NEGATIVE COVENANTS...................................................................................75
6.06        NO OTHER POWERS......................................................................................76
6.07        LIMITATION OF SUITS..................................................................................76
6.08        UNCONDITIONAL RIGHTS OF OWNERS TO RECEIVE DISTRIBUTIONS..............................................77
6.09        RIGHTS AND REMEDIES CUMULATIVE.......................................................................77
6.10        DELAY OR OMISSION NOT WAIVER.........................................................................78
6.11        CONTROL BY DEPOSITOR OR OWNERS.......................................................................78
6.12        INDEMNIFICATION......................................................................................78

                                   ARTICLE VII PAYMENTS TO THE CERTIFICATEHOLDERS

7.01        ESTABLISHMENT OF CERTIFICATE ACCOUNT; DEPOSITS IN CERTIFICATE ACCOUNT; PERMITTED WITHDRAWALS
            FROM CERTIFICATE ACCOUNT.............................................................................79
7.02        RESERVED.............................................................................................79
7.03        THE CERTIFICATE INSURANCE POLICY.....................................................................79
7.04        INVESTMENT OF ACCOUNTS...............................................................................80
7.05        ELIGIBLE INVESTMENT..................................................................................80
7.06        PRIORITY AND SUBORDINATION OF DISTRIBUTIONS..........................................................81
7.07        ALLOCATION OF REALIZED LOSSES........................................................................87
7.08        STATEMENTS...........................................................................................88
7.09        REPORTS OF FORECLOSURE AND ABANDONMENT OF MORTGAGED PROPERTY.........................................93
7.10        RESERVE FUND.........................................................................................93

                           ARTICLE VIII SERVICING AND ADMINISTRATION OF MORTGAGE LOANS BY
                                              FAIRBANKS AND WILSHIRE

8.01        FAIRBANKS AND WILSHIRE...............................................................................94
8.02        COLLECTION OF CERTAIN MORTGAGE LOAN PAYMENTS.........................................................96
8.03        LIABILITY OF SERVICER; INDEMNIFICATION...............................................................97
8.04        COLLECTION ACCOUNT..................................................................................100
8.05        ADVANCES............................................................................................103
8.06        COMPENSATING INTEREST...............................................................................105
8.07        ESCROW ACCOUNT AND SIMPLE INTEREST EXCESS SUB-ACCOUNT...............................................105
8.08        MAINTENANCE OF INSURANCE............................................................................108

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8.09        DUE-ON-SALE CLAUSES; ASSUMPTION AND SUBSTITUTION AGREEMENTS.........................................109
8.10        DEFAULTED MORTGAGE LOANS; MODIFICATION..............................................................110
8.11        TRUSTEE TO COOPERATE; RELEASE OF FILES..............................................................112
8.12        SERVICING COMPENSATION..............................................................................114
8.13        ANNUAL STATEMENT AS TO COMPLIANCE...................................................................114
8.14        ANNUAL INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS' REPORTS............................................115
8.15        ACCESS TO CERTAIN DOCUMENTATION AND INFORMATION REGARDING THE MORTGAGE LOANS; STAFFING..............115
8.16        ASSIGNMENT OF AGREEMENT.............................................................................115
8.17        REMOVAL OF SERVICER; RESIGNATION OF SERVICER........................................................116
8.18        SUCCESSOR SERVICERS.................................................................................120
8.19        INSPECTIONS OF SERVICERS; ERRORS AND OMISSIONS INSURANCE............................................122
8.20        NON-SOLICITATION....................................................................................123
8.21        MAJORITY CLASS X CERTIFICATEHOLDER PURCHASE RIGHT...................................................123
8.22        PERIODIC FILINGS....................................................................................124
8.23        CREDIT REPORTING; GRAMM-LEACH-BLILEY ACT............................................................124

                            ARTICLE IX MASTER SERVICING AND ADMINISTRATION OF CONTRACTS

9.01        MASTER SERVICER.....................................................................................125
9.02        OBLIGATION OF THE MASTER SERVICER IN RESPECT OF MONTHLY ADVANCES....................................125
9.03        OBLIGATION OF THE MASTER SERVICER IN RESPECT OF COMPENSATING INTEREST...............................125
9.04        TRUSTEE'S OBLIGATIONS IN RESPECT OF THE CONTRACTS...................................................126
9.05        DEPOSITOR'S OBLIGATIONS IN RESPECT OF THE CONTRACTS.................................................126

                                           ARTICLE X TERMINATION OF TRUST

10.01       TERMINATION OF TRUST................................................................................128
10.02       TERMINATION UPON OPTION OF CERTIFICATEHOLDERS.......................................................129
10.03       TERMINATION UPON LOSS OF REMIC STATUS...............................................................129
10.04       DISPOSITION OF PROCEEDS.............................................................................130
10.05       FINAL DISTRIBUTION ON THE CERTIFICATES..............................................................130

                                               ARTICLE XI THE TRUSTEE

11.01       CERTAIN DUTIES AND RESPONSIBILITIES.................................................................131
11.02       CERTAIN RIGHTS OF THE TRUSTEE.......................................................................134
11.03       NOT RESPONSIBLE FOR RECITALS OR ISSUANCE OF CERTIFICATES............................................135
11.04       MAY HOLD CERTIFICATES...............................................................................136
11.05       MONEY HELD IN TRUST.................................................................................136
11.06       COMPENSATION AND REIMBURSEMENT; NO LIEN FOR FEES....................................................136
11.07       CORPORATE TRUSTEE REQUIRED; ELIGIBILITY.............................................................136
11.08       RESIGNATION AND REMOVAL; APPOINTMENT OF SUCCESSOR...................................................137
11.09       ACCEPTANCE OF APPOINTMENT BY SUCCESSOR TRUSTEE......................................................139
11.10       MERGER, CONVERSION, CONSOLIDATION OR SUCCESSION TO BUSINESS OF THE TRUSTEE..........................139

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11.11       REPORTING; WITHHOLDING..............................................................................140
11.12       LIABILITY OF THE TRUSTEE............................................................................140
11.13       APPOINTMENT OF CO-TRUSTEE OR SEPARATE TRUSTEE.......................................................141

                                             ARTICLE XII MISCELLANEOUS

12.01       COMPLIANCE CERTIFICATES AND OPINIONS................................................................143
12.02       FORM OF DOCUMENTS DELIVERED TO THE TRUSTEE..........................................................143
12.03       ACTS OF OWNERS......................................................................................144
12.04       NOTICES, ETC. TO TRUSTEE............................................................................145
12.05       NOTICES AND REPORTS TO OWNERS; WAIVER OF NOTICES....................................................145
12.06       RULES BY TRUSTEE....................................................................................145
12.07       SUCCESSORS AND ASSIGNS..............................................................................146
12.08       SEVERABILITY........................................................................................146
12.09       BENEFITS OF AGREEMENT...............................................................................146
12.10       LEGAL HOLIDAYS......................................................................................146
12.11       GOVERNING LAW; SUBMISSION TO JURISDICTION...........................................................146
12.12       COUNTERPARTS........................................................................................147
12.13       [RESERVED]..........................................................................................147
12.14       AMENDMENT...........................................................................................147
12.15       PAYING AGENT; APPOINTMENT AND ACCEPTANCE OF DUTIES..................................................148
12.16       REMIC STATUS........................................................................................149
12.17       ADDITIONAL LIMITATION ON ACTION AND IMPOSITION OF TAX ON THE TRUST REMICS...........................152
12.18       TAX MATTERS PERSON..................................................................................153
12.19       NOTICES.............................................................................................153
</TABLE>

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EXHIBITS AND SCHEDULES

Schedule I               Schedule of Mortgage Loans
Exhibit A-1              Form of Offered Certificate
Exhibit A-2              Form of Class X Certificate
Exhibit A-3              Form of Class P Certificate
Exhibit A-4              Form of Residual Certificate
Exhibit B                Certificate Insurance Policy
Exhibit C                Fairbanks Servicing Standards
Exhibit D                Wilshire Servicing Standards
Exhibit E                Form of Power of Attorney
Exhibit F                Form of Initial Certification
Exhibit G                Form of Transfer Affidavit
Exhibit H                Form of Transferor Certificate
Exhibit I                Form of Rule 144A Letter
Exhibit J-1              Form of Request for Release of Documents
Exhibit J-2              Paperless Release Template
Exhibit K                Form of Certification to be provided with Form 10-K
Exhibit L-1              Form of Certification to be provided to Depositor by
                         Trustee
Exhibit L-2              Form of Certification to be provided to Depositor by
                         Servicers
Exhibit M                Sale Agreements
Exhibit N                Wilshire HOEPA Calculation

<PAGE>

                  TRUST AND SERVICING AGREEMENT (this "AGREEMENT"), relating to
GSRPM MORTGAGE LOAN TRUST 2003-1 (the "TRUST"), dated as of January 1, 2003, by
and among GS MORTGAGE SECURITIES CORP., a Delaware corporation, as depositor
(the "DEPOSITOR"), FAIRBANKS CAPITAL CORP., a Utah corporation ("FAIRBANKS"), in
its capacity as a servicer (a "SERVICER"), WILSHIRE CREDIT CORPORATION, a Nevada
corporation ("WILSHIRE"), in its capacity as a servicer (a "SERVICER") and as
master servicer (the "MASTER SERVICER") and JPMORGAN CHASE BANK, a New York
banking corporation, as trustee (the "TRUSTEE") of the Trust.

                  WHEREAS, the Depositor wishes to establish the Trust and to
provide for the allocation and sale of the beneficial interests therein and the
maintenance and distribution thereof;

                  WHEREAS, Fairbanks and Wilshire currently service certain
fixed rate and adjustable rate residential mortgage loans pursuant a servicing
agreement applicable to each such Servicer;

                  WHEREAS, GreenPoint Credit LLC ("GREENPOINT") currently
services certain manufactured housing installment sale contracts and installment
loan agreements (the "Contracts") pursuant to a servicing agreement;

                  WHEREAS, each of Fairbanks and Wilshire have agreed, pursuant
to this Agreement, to continue to service their relevant mortgage loans and
GreenPoint has agreed, pursuant to the GreenPoint Servicing Agreement, to
continue to service the Contracts, which are collectively referred to herein as
the "Mortgage Loans" and constitute the principal assets of the Trust Estate
pursuant to the terms hereof;

                  WHEREAS, Wilshire has agreed pursuant to the terms of this
Agreement to master service the Contracts;

                  WHEREAS, all things necessary to make the Certificates, when
executed and authenticated by the Trustee, valid instruments, and to make this
Agreement a valid agreement, in accordance with their and its terms, have been
done; and

                  WHEREAS, JPMorgan Chase Bank is willing to serve in the
capacity of Trustee hereunder;

                  NOW, THEREFORE, in consideration of the premises and the
mutual agreements herein contained, the Depositor, Fairbanks, Wilshire and the
Trustee hereby agree as follows:

                                   CONVEYANCE

                  The Depositor hereby bargains, sells, conveys, assigns and
transfers to the Trustee on behalf of the Trust, without recourse (except as
otherwise provided herein) and for the exclusive benefit of the Owners of the
Certificates and the Certificate Insurer, all of its rights, title and interests
of every kind and nature whatsoever, whether now owned and existing or hereafter
acquired or arising, in and to the following: (a) the

<PAGE>

Mortgage Loans listed in SCHEDULE I to this Agreement, which the Depositor is
causing to be delivered to the Trustee concurrently herewith, together with the
related Other Assets, including, without limitation, the related Servicing Files
and other Records and the Depositor's interest in any Mortgaged Property
securing a Mortgage Loan which has been acquired by foreclosure or deed in lieu
of foreclosure, all contract rights and general intangibles in respect of the
foregoing, and all payments thereon and proceeds of the conversion, voluntary or
involuntary, of the foregoing; (b) the rights and interests (but not the
obligations) of Depositor in, to and under each of the Sale Agreements, the
Assignment Agreements and the Custodial Agreements; (c) such amounts as may be
held from time to time by the Trustee in the Certificate Account, the Basis Risk
Reserve Fund, the Certificate Insurance Account or any other accounts for the
benefit of the Owners of the Certificates, together with all cash, securities,
investments or other assets (including Eligible Investments) credited thereto
including any investment earnings thereon, and such cash, securities,
investments or other assets as may be held in any other Account, including the
Collection Account; and (d) any and all Proceeds of all the foregoing
(including, but not by way of limitation, any amounts relating to the Mortgage
Loans received from the Sellers through the enforcement of the relevant
provisions of the applicable Sale Agreement, all proceeds of any mortgage
insurance, hazard insurance, flood insurance and title insurance policy relating
to the Mortgage Loans, cash proceeds, accounts, accounts receivable, notes,
drafts, acceptances, chattel paper, checks, deposit accounts, rights to payment
of any and every kind, and other forms of obligations and receivables which at
any time constitute all or part of or are included in the proceeds of any of the
foregoing). In addition, the Depositor hereby causes the Certificate Insurer to
deliver to the Trustee the Certificate Insurance Policy for the benefit of the
Class A Certificates (all of the items in clauses (a)-(d) above, together with
the Certificate Insurance Policy, subject to any exclusions or exceptions
specified therein, are collectively referred to herein as the "TRUST ESTATE").

                  The Trustee acknowledges such sale, accepts the Trust
hereunder in accordance with the provisions hereof and agrees to perform the
duties herein to the end that the interests of the Owners may be adequately and
effectively protected.

                                     REMIC I
                                     -------

         As provided herein, the Trustee will make an election to treat the
segregated pool of assets consisting of the Mortgage Loans and certain other
related assets subject to this Agreement as a real estate mortgage investment
conduit (a "REMIC") for federal income tax purposes, and such segregated pool of
assets will be designated as "REMIC I." The Class R-I Interest will represent
the sole class of "residual interests" in REMIC I for purposes of the REMIC
Provisions (as defined herein) under federal income tax law. The following table
irrevocably sets forth the designation, remittance rate (the "Uncertificated
REMIC I Pass-Through Rate") and initial Uncertificated Principal Balance for
each of the "regular interests" in REMIC I (the "REMIC I Regular Interests").
The "latest possible maturity date" (determined solely for purposes of
satisfying Treasury regulation

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<PAGE>

Section 1.860G-1(a)(4)(iii)) for each REMIC I Regular Interest shall be the
360th Distribution Date. None of the REMIC I Regular Interests will be
certificated.

<TABLE>
<CAPTION>
      Designation        Uncertificated REMIC I     Uncertificated Principal    Latest Possible Maturity
                            Pass-through Rate                Balance                       Date
<S>                      <C>                        <C>                         <C>
         LT-AA                 Variable(1)            $       252,011,900.00         January 25, 2032
         LT-A1                 Variable(1)            $           614,210.00         January 25, 2032
         LT-A2                 Variable(1)            $           549,350.00         January 25, 2032
         LT-A3                 Variable(1)            $         1,163,560.00         January 25, 2032
         LT-M1                 Variable(1)            $            45,010.00         January 25, 2032
         LT-B1                 Variable(1)            $            90,000.00         January 25, 2032
         LT-B2                 Variable(1)            $            38,570.00         January 25, 2032
         LT-B3                 Variable(1)            $            45,000.00         January 25, 2032
         LT-ZZ                 Variable(1)            $         2,597,400.00         January 25, 2032
         LT-P                  Variable(1)            $               100.00         January 25, 2032
</TABLE>

_______________
(1)      Calculated as provided in the definition of Uncertificated REMIC I
         Pass-Through Rate.

                                    REMIC II
                                    --------

         As provided herein, the Trustee will elect to treat the segregated pool
of assets consisting of the REMIC I Regular Interests as a REMIC for federal
income tax purposes, and such segregated pool of assets will be designated as
REMIC II. The Class R-II Interest will represent the sole class of "residual
interests" in REMIC II for purposes of the REMIC Provisions under federal income
tax law. The following table irrevocably sets forth the designation,
Pass-Through Rate, aggregate Initial Certificate Principal Balance, Final
Scheduled Distribution Date and initial ratings for each Class of Certificates
comprising the interests representing "regular interests" in REMIC II. The
"latest possible maturity date" (determined solely for purposes of satisfying
Treasury Regulation Section 1.860G-1(a)(4)(iii)) for each Class of REMIC II
Regular Certificates shall be the 360th Distribution Date.

<TABLE>
<CAPTION>
     DESIGNATION           PASS-THROUGH RATE         AGGREGATE INITIAL       FINAL SCHEDULED DISTRIBUTION
                                                   CERTIFICATE PRINCIPAL                 DATE
                                                         BALANCE
<S>                        <C>                     <C>                       <C>
      Class A-1                   (1)                 $    61,421,000.00           January 25, 2032
      Class A-2                   (1)                 $    54,935,000.00           January 25, 2032
      Class A-3                   (1)                 $   116,356,000.00           January 25, 2032
      Class M-1                   (1)                 $     4,501,000.00           January 25, 2032
      Class B-1                   (1)                 $     9,000,000.00           January 25, 2032
      Class B-2                   (1)                 $     3,857,000.00           January 25, 2032
      Class B-3                   (1)                 $     4,500,000.00           January 25, 2032
       Class X                    (2)                 $     2,584,801.00           January 25 ,2032
       Class P                    (3)                 $           100.00           January 25 ,2032
</TABLE>

_______________
(1)      Interest will accrue at a rate equal to the Pass-Through Rate, as
         defined herein.
(2)      The Class X Certificates will accrue interest as described in the
         definition of Pass-Through Rate. The Class X Certificates will not
         accrue interest on their Certificate Balance.

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<PAGE>

(3)      The Class P Certificates will not be entitled to distributions of
         interest.

                                   ARTICLE I

                       DEFINITIONS; RULES OF CONSTRUCTION

                  1.01 DEFINITIONS.

                  For all purposes of this Agreement, the following terms shall
have the meanings set forth below, unless the context clearly indicates
otherwise:

                  "ACCEPTED SERVICING PRACTICES": Shall mean (i) with respect to
the Mortgage Loans (other than the Contracts), procedures (including collection
procedures) that require the same care that Fairbanks or Wilshire, as
applicable, customarily has employed and exercised in servicing and
administering mortgage loans or owned, post-foreclosure real estate, as
applicable, for its own account and, in general, in accordance with the
principles described in the Fannie Mae Guidelines and the Freddie Mac Guidelines
and accepted mortgage servicing practices of prudent lending institutions, and
shall include compliance with all applicable Law and (ii) with respect to the
Contracts, the servicing standard set forth in the GreenPoint Servicing
Agreement.

                  "ACCOUNT": The Certificate Account, Escrow Account,
Certificate Insurance Account, or Collection Account (including any sub-accounts
of any of the foregoing), established and held in trust by the Servicers or the
Trustee for the benefit of the Certificateholders and the Certificate Insurer.
The obligation to establish and maintain the Accounts is not delegable.

                  "ACCRUAL PERIOD": With respect to any Distribution Date and
the Offered Certificates, the period from and including the immediately
preceding Distribution Date (or, in the case of the first Distribution Date, the
Closing Date) to, but excluding such Distribution Date.

                  "ACCRUED CERTIFICATE INTEREST": For any Distribution Date and
any Class of REMIC I Regular Interests and the Class X Certificates, the product
of the Certificate Balance as of the close of the preceding Distribution Date
and the applicable Pass-Through Rate of such Class of Certificates, calculated
using a 30/360 Day Count Fraction. For any Distribution Date and any Class of
Certificates, other than the Class X Certificates, the product of the
Certificate Balance as of the close of the preceding Distribution Date and the
applicable Pass-Through Rate of such Class of Certificates, calculated using an
Actual/360 Day Count Fraction. Accrued Certificate Interest for any Distribution
Date shall be reduced by an amount equal to the portion allocable to any Class
of Certificates, if any, of the sum of (i) the aggregate of Compensating
Interest Shortfalls and (ii) Relief Act Shortfalls, if any, for such
Distribution Date.

                  "ACTUAL PRINCIPAL BALANCE": With respect to any Mortgage Loan
as of any date, its original principal balance, reduced by the principal portion
of all payments that

                                       4
<PAGE>

have been made on or before such date, and Realized Losses of principal on such
Mortgage Loan realized prior to such date. The Actual Principal Balance of a
liquidated Mortgage Loan will equal zero.

                  "ACTUARIAL CONTRACT": Any Contract, other than a Simple
Interest Contract, on which 30 days of interest is owed irrespective of the day
on which payment is received.

                  "ADJUSTABLE RATE MORTGAGE LOAN": Each of the Mortgage Loans
identified in the Schedule of Mortgage Loans as having a Mortgage Rate that is
subject to adjustment.

                  "ADJUSTMENT DATE": With respect to each Adjustable Rate
Mortgage Loan, the first day of the month in which the Mortgage Rate of an
Adjustable Rate Mortgage Loan changes pursuant to the related Mortgage Note. The
first Adjustment Date following the Cut-off Date as to each Adjustable Rate
Mortgage Loan is set forth in the Schedule of Mortgage Loans.

                  "ADJUSTED WAC RATE": With respect to any Distribution Date,
the weighted average of the Net Rates of the Mortgage Loans, calculated based on
the Stated Principal Balances thereof as of the beginning of the related
Collection Period for each Mortgage Loan and multiplied by a fraction having as
its numerator 30 days and as its denominator, the actual number of days in the
Collection Period.

                  "ADMINISTRATIVE COST RATE": Shall mean (i) with respect to
each Mortgage Loan, 0.5025% per annum and (ii) with respect to each Contract,
1.0025%, in each case calculated on the basis of the same number of days as the
number of days for which interest accrues during a Due Period for such Mortgage
Loan or Contract, as applicable.

                  "ADVANCE": A Monthly Advance or a Servicing Advance.

                  "ADVANCE RATE": The prime rate shown as such in the Wall
Street Journal plus 2.00% per annum.

                  "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 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 Trust and Servicing Agreement, as it may be
amended from time to time, including the Exhibits and Schedules hereto.

                                       5
<PAGE>

                  "APPLIED REALIZED LOSS AMOUNT": For any Distribution Date,
after taking into account all Realized Losses experienced on the Mortgage Loans
during the preceding Collection Period and after taking into account the
distribution of the Principal Distribution Amounts to the Certificates, the
amount applied to reduce the Certificate Balance or, in the case of the Class X
Certificates, the amount currently distributable to, the Class X Certificates.

                  "APPRAISAL": With respect to any Mortgage Loan, the appraisal
conducted by a licensed appraiser or another valuation method commonly used by
prudent lenders.

                  "APPRAISED VALUE": With respect to any Mortgage Loan, the
value of the related Mortgaged Property based upon the value estimated by the
Appraisal or the sales price of the Mortgaged Property at such time of
origination or, in the case of a refinanced Mortgage Loan, the value of the
related Mortgaged Property based upon the value estimated by the Appraisal used
or obtained at the time of refinancing, as applicable.

                  "ASSIGNMENT": With respect to each Mortgage Loan, the
assignment of mortgage from the applicable Seller or any other prior owner of
the Mortgage Loan to the Trustee.

                  "ASSIGNMENT AGREEMENTS": Shall mean (i) the Assignment,
Assumption and Recognition Agreement, dated as of January 29, 2003, among
Goldman Sachs Mortgage Company, the Depositor and Wells Fargo and (ii) the
Assignment, Assumption and Recognition Agreement, dated as of January 29, 2003,
among Goldman Sachs Mortgage Company, the Depositor and Household.

                  "AUTHORIZED OFFICER": With respect to any Person, any officer
of such Person who is authorized to act for such Person in matters relating to
this Agreement, and whose action is binding upon such Person, which with respect
to the Depositor and each of the Servicers, initially includes those individuals
whose names appear on the lists of Authorized Officers delivered at the Closing;
and, with respect to the Trustee, any officer assigned to the Institutional
Trust Services/Structured Finance Services Group (or any successor thereto),
including any Vice President, Assistant Vice President, Trust Officer or any
Officer of the Trustee customarily performing functions similar to those
performed by any of the above designated officers, and in each case having
direct responsibility for the administration of this Agreement.

                  "AVAILABLE DISTRIBUTION AMOUNT": With respect to any
Distribution Date, (x) (i) the sum of all amounts relating to the Mortgage Loans
received by Fairbanks and Wilshire (including the Loan Purchase Price paid by
the related Seller to the related Servicer in connection with the repurchase of
any Mortgage Loan as described in Section 3.03(b) hereof or paid by the Majority
Class X Certificateholder pursuant to Section 3.03(b) or 8.21 of this Agreement
and excluding any amounts withdrawn by Fairbanks and Wilshire pursuant to
SECTION 8.04(D) as of the related Determination Date), and (ii) the amount of
any Monthly Advances and Compensating Interest payments remitted by Fairbanks
and Wilshire with respect to the related Mortgage Loans for such Distribution
Date; (y) in the case of GreenPoint, the amount remitted to Wilshire as set
forth in the

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<PAGE>

definition of "Remittance Amount" in Section 1.01 of the GreenPoint Servicing
Agreement; and (z) the amount of any Monthly Advances and Compensating Interest
payments remitted by the Master Servicer with respect to the Contracts pursuant
to Sections 9.02 and 9.03 hereof.

                  "BANKRUPTCY CODE": The United States Bankruptcy Code, 11
U.S.C.ss.101, et seq., as amended.

                  "BASIC PRINCIPAL DISTRIBUTION AMOUNT": With respect to any
Distribution Date, the excess of (i) the Principal Remittance Amount over (ii)
the Excess Subordinated Amount, if any, for such Distribution Date.

                  "BASIS RISK CARRY FORWARD AMOUNT": With respect to each Class
of Offered Certificates, as of any Distribution Date, the sum of (A) if on such
Distribution Date the Pass-Through Rate for any Class of Offered Certificates is
based upon the WAC Cap, the excess of (i) the amount of interest such Class of
Offered Certificates would otherwise be entitled to receive on such Distribution
Date had such rate been calculated at the Pass-Through Rate (without regard to
the WAC Cap) for such Distribution Date, over (ii) the amount of interest
payable on such Class of Offered Certificates at the WAC Cap, (B) the Basis Risk
Carry Forward Amount for such Class of Certificates for all previous
Distribution Dates not previously paid and (C) interest on the amount described
in clause (B) at the applicable Pass-Through Rate for such Class of Offered
Certificates for such Distribution Date (without regard to the WAC Cap).

                  "BASIS RISK RESERVE FUND": The account established pursuant to
SECTION 7.10 hereof.

                  "BOOK-ENTRY CERTIFICATE": The Class A Certificates, the Class
M-1 Certificates and the Class B Certificates for so long as the Certificates of
such Class shall be registered in the name of the Depository or its nominee.

                  "BUSINESS DAY": Any day other than a Saturday, Sunday or a day
on which banking institutions in New York, New York, Salt Lake City, Utah or
Portland, Oregon or the city in which the Corporate Trust Office is located are
authorized or obligated by law or executive order to close.

                  "CERTIFICATE ACCOUNT": The certificate account established in
accordance with SECTION 7.01 and maintained either (i) in the corporate trust
department of the Trustee, which funds are uninvested, or (ii) in an Eligible
Account subject to a securities account control agreement; PROVIDED that the
funds in such account shall not be commingled with other funds held by the
Trustee. As an alternative to the foregoing, the Trustee may maintain the
Certificate Account as a deposit account if the rights of the Trustee in such
deposit account are perfected pursuant to sections 9-104, 9-304, and 9-314 of
the UCC.

                  "CERTIFICATE BALANCE": As of any date of determination with
respect to any Offered Certificate, Class P Certificate or Regular Interest
(other the Class X Regular

                                       7
<PAGE>

Interest and the Class X Certificates), (A) the initial Certificate Balance
thereof minus (B) all amounts previously distributed as principal thereon, minus
(C) all Applied Realized Loss Amounts previously applied to reduce the
Certificate Balance thereof. The Class R Certificates have no Certificate
Balance. The Class X Certificate Balance shall be equal to the excess, if any,
of (A) the aggregate Uncertificated Principal Balance of the REMIC I Regular
Interests over (B) the then aggregate Certificate Balance of the Offered
Certificates and the Class P Certificates

                  "CERTIFICATE INSURANCE ACCOUNT": As defined in SECTION
7.03(B).

                  "CERTIFICATE INSURANCE AGREEMENT": The Insurance and Indemnity
Agreement, dated as of January 29, 2003, among the Certificate Insurer, the
Trustee, the Servicers and the Depositor.

                  "CERTIFICATE INSURANCE POLICY": The Certificate Guaranty
Insurance Policy No. AB0643BE and all endorsements thereto, dated the Closing
Date, issued by the Certificate Insurer to the Trustee for the benefit of the
Holders of the Class A Certificates attached hereto as Exhibit B.

                  "CERTIFICATE INSURER": Ambac Assurance Corporation or its
successor in interest.

                  "CERTIFICATE INSURER DEFAULT": The existence and continuance
of any of the following: (a) a failure by the Certificate Insurer to make a
payment required under the Certificate Insurance Policy in accordance with its
terms; or (b)(i) the Certificate Insurer (A) files any petition or commences any
case or proceeding under any provision or chapter of the Bankruptcy Code or any
other similar federal or state law relating to insolvency, bankruptcy,
rehabilitation, liquidation or reorganization, (B) makes a general assignment
for the benefit of its creditors, or (C) has an order for relief entered against
it under the Bankruptcy Code or any other similar federal or state law relating
to insolvency, bankruptcy, rehabilitation, liquidation or reorganization which
is final and nonappealable; or (ii) a court of competent jurisdiction, the New
York insurance department or other competent regulatory authority enters a final
and nonappealable order, judgment or decree (A) appointing a custodian, trustee,
agent or receiver for the Certificate Insurer or for all or any material portion
of its property or (B) authorizing the taking of possession by a custodian,
trustee, agent or receiver of the Certificate Insurer (or the taking of
possession of all or any material portion of the property of the Certificate
Insurer).

                  "CERTIFICATE INSURER PREMIUM": The premium payable monthly to
the Certificate Insurer on each Distribution Date pursuant to the Certificate
Insurance Policy.

                  "CERTIFICATE INSURER PREMIUM PERCENTAGE": 0.18% per annum.

                  "CERTIFICATEHOLDER" or "HOLDER": Each Person in whose name a
Certificate is registered in the Register, except that, solely for the purposes
of giving any consent, waiver, request or demand pursuant to this Agreement, any
Certificate registered in the

                                       8
<PAGE>

name of a Servicer, any Subservicer or any Depositor, or any affiliate of any of
them, shall be deemed not to be outstanding (except that in determining whether
the Trustee shall be protected in relying upon any such consent, waiver, request
or demand, only Certificates that an Authorized Officer actually knows to be so
owned shall be disregarded) and the undivided Percentage Interest evidenced
thereby shall not be taken into account in determining whether the requisite
percentage of Certificates necessary to effect any such consent, waiver, request
or demand has been obtained. When used with respect to any Class of
Certificates, a Certificateholder or Holder of such Class of Certificates, as
the case may be.

                  "CERTIFICATES": The Offered Certificates and the Private
Certificates.

                  "CERTIFICATION":  As defined in SECTION 3.05.

                  "CHAPTER 13 LOAN": A Mortgage Loan the Mortgagor under which
in bankruptcy under a plan promulgated under Chapter 13 of the Bankruptcy Code.

                  "CIVIL RELIEF ACT": The Soldiers' and Sailors' Civil Relief
Act of 1940, as amended or applicable similar state or local laws.

                  "CLASS":  Any class of Certificates.

                  "CLASS A CERTIFICATE": Any one of the Certificates designated
hereunder as Class A-1, Class A-2 or Class A-3 Certificates.

                  "CLASS A-1 CERTIFICATE": Any one of the Certificates
designated as a Class A-1 Certificate hereunder and substantially in the form
annexed hereto as EXHIBIT A-1, authenticated and delivered by the Trustee,
representing the right to distributions as set forth herein.

                  "CLASS A-2 CERTIFICATE": Any one of the Certificates
designated as a Class A-2 Certificate hereunder and substantially in the form
annexed hereto as EXHIBIT A-1, authenticated and delivered by the Trustee,
representing the right to distributions as set forth herein.

                  "CLASS A-3 CERTIFICATE": Any one of the Certificates
designated as a Class A-3 Certificate hereunder and substantially in the form
annexed hereto as EXHIBIT A-1, authenticated and delivered by the Trustee,
representing the right to distributions as set forth herein.

                  "CLASS A DEFICIENCY AMOUNT": With respect to any Distribution
Date and any Class of Class A Certificates, any amount equal to the excess, if
any, of (i) the Certificate Balance of the Class A Certificates after giving
effect to the distribution of principal to be made on such Distribution Date,
over (ii) the Pool Balance as of such Distribution Date.

                                       9
<PAGE>

                  "CLASS A PRINCIPAL DISTRIBUTION AMOUNT": With respect to any
Distribution Date on or after the Stepdown Date and on which a Trigger Event is
not in effect, the excess of (x) the aggregate Certificate Balance of the Class
A Certificates immediately prior to such Distribution Date over (y) the lesser
of (A) the product of (i) 81.00% and (ii) the aggregate Stated Principal Balance
of the Mortgage Loans as of the last day of the related Due Period (after giving
effect to scheduled payments of principal due during the related Due Period, to
the extent received or advanced and unscheduled collections of principal
received during the related Collection Period) and (B) the aggregate Stated
Principal Balance of the Mortgage Loans as of the last day of the related Due
Period (after giving effect to scheduled payments of principal due during the
related Due Period, to the extent received or advanced and unscheduled
collections of principal received during the related Collection Period) minus
$1,285,775.

                  "CLASS B CERTIFICATE": Any one of the Certificates designated
hereunder as Class B-1, Class B-2 or Class B-3 Certificates.

                  "CLASS B-1 CERTIFICATE": Any one of the Certificates
designated as a Class B-1 Certificate hereunder and substantially in the form
annexed hereto as EXHIBIT A-1, authenticated and delivered by the Trustee,
representing the right to distributions as set forth herein.

                  "CLASS B-1 PRINCIPAL DISTRIBUTION AMOUNT": With respect to any
Distribution Date on or after the Stepdown Date and on which a Trigger Event is
not in effect, the excess of (x) the sum of (i) the aggregate Certificate
Balance of the Class A Certificates (after taking into account the payment of
the Class A Principal Distribution Amount on such Distribution Date), (ii) the
Certificate Balance of the Class M-1 Certificates (after taking into account the
payment of the Class M-1 Principal Distribution Amount on such Distribution
Date) and (iii) the Certificate Balance of the Class B-1 Certificates
immediately prior to such Distribution Date over (y) the lesser of (A) the
product of (i) 91.50% and (ii) the aggregate Stated Principal Balance of the
Mortgage Loans as of the last day of the related Due Period (after giving effect
to scheduled payments of principal due during the related Due Period, to the
extent received or advanced and unscheduled collections of principal received
during the related Collection Period) and (B) the aggregate Stated Principal
Balance of the Mortgage Loans as of the last day of the related Due Period
(after giving effect to scheduled payments of principal due during the related
Due Period, to the extent received or advanced and unscheduled collections of
principal received during the related Collection Period) minus $1,285,775.

                  "CLASS B-2 CERTIFICATE": Any one of the Certificates
designated as a Class B-2 Certificate hereunder and substantially in the form
annexed hereto as EXHIBIT A-1, authenticated and delivered by the Trustee,
representing the right to distributions as set forth herein.

                  "CLASS B-2 PRINCIPAL DISTRIBUTION AMOUNT": With respect to any
Distribution Date on or after the Stepdown Date and on which a Trigger Event is
not in effect, the excess of (x) the sum of (i) the aggregate Certificate
Balance of the Class A

                                       10
<PAGE>

Certificates (after taking into account the payment of the Class A Principal
Distribution Amount on such Distribution Date), (ii) the Certificate Balance of
the Class M-1 Certificates (after taking into account the payment of the Class
M-1 Principal Distribution Amount on such Distribution Date), (iii) the
Certificate Balance of the Class B-1 Certificates (after taking into account the
payment of the Class B-1 Principal Distribution Amount on such Distribution
Date) and (iv) the Certificate Principal Balance of the Class B-2 Certificates
immediately prior to such Distribution Date over (y) the lesser of (A) the
product of (i) 94.50% and (ii) the aggregate Stated Principal Balance of the
Mortgage Loans as of the last day of the related Due Period (after giving effect
to scheduled payments of principal due during the related Due Period, to the
extent received or advanced and unscheduled collections of principal received
during the related Collection Period) and (B) the aggregate Stated Principal
Balance of the Mortgage Loans as of the last day of the related Due Period
(after giving effect to scheduled payments of principal due during the related
Due Period, to the extent received or advanced and unscheduled collections of
principal received during the related Collection Period) minus $1,285,775.

                  "CLASS B-3 CERTIFICATE": Any one of the Certificates
designated as a Class B-3 Certificate hereunder and substantially in the form
annexed hereto as EXHIBIT A-1, authenticated and delivered by the Trustee,
representing the right to distributions as set forth herein.

                  "CLASS B-3 PRINCIPAL DISTRIBUTION AMOUNT": With respect to any
Distribution Date on or after the Stepdown Date and on which a Trigger Event is
not in effect, the excess of (x) the sum of (i) the aggregate Certificate
Balance of the Class A Certificates (after taking into account the payment of
the Class A Principal Distribution Amount on such Distribution Date), (ii) the
Certificate Balance of the Class M-1 Certificates (after taking into account the
payment of the Class M-1 Principal Distribution Amount on such Distribution
Date), (iii) the Certificate Balance of the Class B-1 Certificates (after taking
into account the payment of the Class B-1 Principal Distribution Amount on such
Distribution Date), (iv) the Certificate Balance of the Class B-2 Certificates
(after taking into account the payment of the Class B-2 Principal Distribution
Amount on such Distribution Date) and (v) the Certificate Principal Balance of
the Class B-3 Certificates immediately prior to such Distribution Date over (y)
the lesser of (A) the product of (i) 98.00% and (ii) the aggregate Stated
Principal Balance of the Mortgage Loans as of the last day of the related Due
Period (after giving effect to scheduled payments of principal due during the
related Due Period, to the extent received or advanced and unscheduled
collections of principal received during the related Collection Period) and (B)
the aggregate Stated Principal Balance of the Mortgage Loans as of the last day
of the related Due Period (after giving effect to scheduled payments of
principal due during the related Due Period, to the extent received or advanced
and unscheduled collections of principal received during the related Collection
Period) minus $1,285,775.

                  "CLASS M-1 CERTIFICATE": Any one of the Certificates
designated as a Class M-1 Certificate hereunder and substantially in the form
annexed hereto as EXHIBIT A-1, authenticated and delivered by the Trustee,
representing the right to distributions as set forth herein.

                                       11
<PAGE>

                  "CLASS M-1 PRINCIPAL DISTRIBUTION AMOUNT": With respect to any
Distribution Date on or after the Stepdown Date and on which a Trigger Event is
not in effect, the excess of (x) the sum of (i) the aggregate Certificate
Principal Balance of the Class A Certificates (after taking into account the
payment of the Class A Principal Distribution Amount on such Distribution Date)
and (ii) the Certificate Principal Balance of the Class M-1 Certificates
immediately prior to such Distribution Date over (y) the lesser of (A) the
product of (i) 84.50% and (ii) the aggregate Stated Principal Balance of the
Mortgage Loans as of the last day of the related Due Period (after giving effect
to scheduled payments of principal due during the related Due Period, to the
extent received or advanced and unscheduled collections of principal received
during the related Collection Period) and (B) the aggregate Stated Principal
Balance of the Mortgage Loans as of the last day of the related Due Period
(after giving effect to scheduled payments of principal due during the related
Due Period, to the extent received or advanced and unscheduled collections of
principal received during the related Collection Period) minus $1,285,775.

                  "CLASS P CERTIFICATE": Any one of the Certificates designated
as a Class P Certificate hereunder and substantially in the form annexed hereto
as EXHIBIT A-3, authenticated and delivered by the Trustee, representing the
right to distributions as set forth herein.

                  "CLASS R CERTIFICATE": Any one of the Certificates designated
as a Class R Certificate hereunder and substantially in the form annexed hereto
as EXHIBIT A-4, authenticated and delivered by the Trustee, evidencing the Class
R-I Interest and the Class R-II Interest and representing the right to
distributions as set forth herein.

                  "CLASS R-I INTEREST": The uncertificated residual interest in
REMIC I.

                  "CLASS R-II INTEREST": The uncertificated residual interest in
REMIC II.

                  "CLASS X CERTIFICATE": Any one of the Certificates designated
as a Class X Certificate hereunder and substantially in the form annexed hereto
as EXHIBIT A-2, authenticated and delivered by the Trustee and representing the
right to distributions as set forth herein.

                  "CLASS X DISTRIBUTION AMOUNT": Shall mean the amount to be
distributed to the Class X Certificates pursuant to SECTION 7.06(B)(VIII).

                  "CLEAN-UP CALL DATE": The first Distribution Date immediately
following the date on which the Pool Balance has declined to an amount equal to
or less than 10% of the Original Pool Balance.

                  "CLOSING":  As defined in SECTION 4.02.

                  "CLOSING DATE":  January 29, 2003.

                                       12
<PAGE>

                  "CODE": The Internal Revenue Code of 1986, as amended,
together with any regulations promulgated thereunder and in effect from time to
time.

                  "COMMISSION":  The Securities and Exchange Commission.

                  "COLLECTION ACCOUNT": Each of the Accounts created by
Fairbanks and Wilshire pursuant to SECTION 8.04 hereto and created by GreenPoint
pursuant to Section 3.05 of the GreenPoint Servicing Agreement.

                  "COLLECTION PERIOD": For any Distribution Date, the period
beginning on and including the second day of the preceding calendar month and
ending at the close of business on the first day of the current calendar month.

                  "COLLECTIONS": All cash collections and other cash proceeds of
a Mortgage Loan received by a Servicer, any Subservicer, or any other Person,
including all payments made by the related Mortgagor and all cash proceeds of
the Related Security.

                  "COMPENSATING INTEREST": With respect to the related Servicer
the obligation set forth in SECTION 8.06 and with respect to the Master Servicer
the obligation set forth in SECTION 9.03 hereof.

                  "COMPENSATING INTEREST SHORTFALL": For any Distribution Date,
the amount by which Compensating Interest is greater than (i) the Servicing Fee
otherwise available for payment to Fairbanks on such Distribution Date or (ii)
one-half of the Servicing Fee otherwise available for payment to Wilshire on
such Distribution Date.

                  "CONTRACTS": As defined in the third WHEREAS clause of this
Agreement which shall include Actuarial Contracts and Simple Interest Contracts.

                  "CONTRACT FILE": As to each Contract other than a Land Home
Contract, (a) the original copy of the Contract, (b) the original title document
issued to the originator as secured lender or agent therefor for the related
Manufactured Home, unless the laws of the jurisdiction in which the related
Manufactured Home is located do not provide for the issuance of any title
documents for manufactured housing to secured lenders, (c) evidence of one or
more of the following types of perfection of the security interest in favor of
the originator as secured lender or agent therefor in the related Manufactured
Home granted by such Contract, as appropriate: (1) notation of such security
interest on the title document, (2) a financing statement meeting the
requirements of the UCC, with evidence of filing in the appropriate offices
indicated thereon, or (3) such other evidence of perfection of a security
interest in a manufactured housing unit as is customary in such jurisdiction,
(d) the assignment of the Contract from the manufactured housing dealer to the
originator, if any, including any intervening assignments, and (e) any
extension, modification or waiver agreement(s).

                  "CONVENTIONAL MORTGAGE LOAN": Any Mortgage Loan, other than a
Simple Interest Mortgage Loan, on which 30 days of interest is owed irrespective
of the day in which payment is received.

                                       13
<PAGE>

                  "CORPORATE TRUST OFFICE": The principal office of the Trustee
at 4 New York Plaza, 6th Floor, New York, NY 10004, Attention: Institutional
Trust Services/Structured Finance Services, GSRPM Mortgage Pass-Through
Certificates, 2003-1, or at such other addresses as the Trustee may designate
from time to time by notice to the Certificateholders, the Depositor, Fairbanks
and Wilshire.

                  "CORRESPONDING CERTIFICATE": With respect to each REMIC I
Regular Interest set forth below, the Regular Certificate set forth in the table
below:

                 REMIC I REGULAR INTEREST       REMIC II REGULAR CERTIFICATE
                 ------------------------       ----------------------------
                          LT-A1                          Class A-1
                          LT-A2                          Class A-2
                          LT-A3                          Class A-3
                          LT-M1                          Class M-1
                          LT-B1                          Class B-1
                          LT-B2                          Class B-2
                          LT-B3                          Class B-3
                           LT-P                           Class P

                  "CREDIT ENHANCEMENT PERCENTAGE": For any Distribution Date,
the percentage obtained by dividing (i) the sum of (a) the aggregate Certificate
Balance of the Subordinate Certificates and (b) the Overcollateralization Amount
by (ii) the aggregate Stated Principal Balance of the Mortgage Loans, calculated
after taking into account distributions of principal on the Mortgage Loans and
distribution of the Principal Distribution Amount to the Certificates then
entitled to distributions of principal on such Distribution Date.

                  "CUMULATIVE REALIZED LOSSES": As of any date of determination,
the aggregate amount of Realized Losses on the Mortgage Loans since the Cut-off
Date.

                  "CURTAILMENT": Any payment of principal received during a
Collection Period as part of a payment that is not intended to satisfy the
Mortgage Loan in full, and which is neither intended as a Prepaid Installment
nor is intended to cure a delinquency.

                  "CUSTODIAL AGREEMENT": Each of the Fairbanks Custodial
Agreement, the Wilshire Custodial Agreement and the GreenPoint Custodial
Agreement.

                  "CUSTODIAL FILE": The documents described in SECTION 3.04(B)
AND (C).

                  "CUSTODIAN": JPMorgan Chase Bank, in its capacity as custodian
under each of the Custodial Agreements.

                  "CUT-OFF DATE":  As of January 1, 2003.

                  "DAY COUNT FRACTION": The assumption used to calculate the
number of days for which interest accrues during an Accrual Period, which may
be, as specified herein (x) 30/360 (assuming that a year consists of 12 months
of 30 days each) or (y)

                                       14
<PAGE>

actual/360 (assuming the actual number of days in an Accrual Period, including
days that are not Business Days, and a year of 360 days).

                  "DEED IN LIEU": Any Servicer's acceptance of a deed in lieu of
foreclosure.

                  "DEFAULTED MORTGAGE LOAN": A Mortgage Loan that is a 90-Day
Delinquent Loan.

                  "DEFICIENCY": The difference between the sum of all amounts
due under a Mortgage Loan and the Net Liquidation Proceeds realized on such
Mortgage Loan.

                  "DEFICIENT VALUATION": A valuation by a court of competent
jurisdiction of the Mortgaged Property in an amount less than the then
outstanding indebtedness under the Mortgage Loan, which valuation results from a
proceeding initiated under the Bankruptcy Code.

                  "DEFINITIVE CERTIFICATE":  As defined in SECTION 5.02(E).

                  "DELINQUENT": Any Mortgage Loan as to which the scheduled
monthly payment of principal and interest payable by the Mortgagor under a
Mortgage Note due on a Due Date is not paid by the close of business on the next
scheduled Due Date for such Mortgage Loan (I.E., a Mortgage Loan for which the
Mortgagor failed to make such payment due on January 1, 2003 will be reported as
"30 DAYS DELINQUENT" on February 2, 2003, if such Mortgagor failed to make such
payment by the close of business on February 1, 2003). The terms "60 DAYS
Delinquent," "90 DAYS DELINQUENT" and the like have meanings correlative to the
foregoing with respect to the applicable number of months succeeding the most
recent payment.

                  "DEPOSITOR": GS Mortgage Securities Corp., or any successor
thereto.

                  "DEPOSITORY": The Depository Trust Company, or any successor
Depository hereafter named. The nominee of the initial Depository, for purposes
of registering those Certificates that are to be Book-Entry Certificates, is
CEDE & Co. The Depository shall at all times be a "clearing corporation" as
defined in Section 8-102(3) of the Uniform Commercial Code of the State of New
York and a "clearing agency" registered pursuant to the provisions of Section
17A of the Securities Exchange Act of 1934, as amended.

                  "DEPOSITORY INSTITUTION": Any depository institution or trust
company, including the Trustee, that (a) is incorporated under the laws of the
United States of America or any State thereof, (b) is subject to supervision and
examination by federal or state banking authorities and (c) has outstanding
unsecured commercial paper or other short-term unsecured debt obligations that
are rated P-1 by Moody's, F1+ by Fitch and A-1+ by Standard & Poor's.

                                       15
<PAGE>

                  "DETERMINATION DATE": With respect to each Distribution Date,
the 15th day of the calendar month in which such Distribution Date occurs or, if
such day is not a Business Day, the immediately following Business Day.

                  "DIRECT PARTICIPANT": Any broker-dealer, bank or other
financial institution or other Person for whom from time to time the Depository
effects book entry transfers and pledges of securities deposited with the
Depository.

                  "DISQUALIFIED ORGANIZATION": Any of the following: (i) the
United States, any State or political subdivision thereof, any possession of the
United States, or any agency or instrumentality of any of the foregoing (other
than an instrumentality which is a corporation if all of its activities are
subject to tax and, except for Freddie Mac, a majority of its board of directors
is not selected by such governmental unit), (ii) any foreign government, any
international organization, or any agency or instrumentality of any of the
foregoing, (iii) any organization (other than certain farmers' cooperatives
described in Section 521 of the Code) which is exempt from the tax imposed by
Chapter 1 of the Code (including the tax imposed by Section 511 of the Code on
unrelated business taxable income), (iv) rural electric and telephone
cooperatives described in Section 1381(a)(2)(C) of the Code, (v) an "electing
large partnership" and (vi) any other Person so designated by the Trustee based
upon an Opinion of Counsel that the holding of an Ownership Interest in a
Residual Certificate by such Person may cause any Trust REMIC or any Person
having an Ownership Interest in any Class of Certificates (other than such
Person) to incur a liability for any federal tax imposed under the Code that
would not otherwise be imposed but for the Transfer of an Ownership Interest in
a Residual Certificate to such Person. The terms "United States," "State" and
"international organization" shall have the meanings set forth in Section 7701
of the Code or successor provisions.

                  "DISTRIBUTION DATE": Any date on which the Trustee is required
to make distributions to the Owners, which shall be the 25th day of each month
or if such day is not a Business Day, the next Business Day thereafter,
commencing in the month following the Closing Date.

                  "DUE DATE": For any Mortgage Loan, the date in each month on
which the Monthly Payment is due.

                  "DUE PERIOD": For each Mortgage Loan, the period commencing on
the prior Due Date and ending on and excluding the Due Date in the current
month, and during which interest accrues on such Mortgage Loan.

                  "ELIGIBLE ACCOUNT": Either (i) an account maintained with a
federal or state chartered depository institution or trust company the
short-term unsecured debt obligations of which (or, in the case of a depository
institution or trust company that is a subsidiary of a holding company, the
short-term unsecured debt obligations of such holding company) are rated "A-1+"
by Standard & Poor's and "P-1" by Moody's (and a comparable rating if another
Rating Agency is specified by the Depositor by written notice to the Servicer)
at the time any amounts are held on deposit therein, (ii) a trust

                                       16
<PAGE>

account or accounts maintained with a federal or state chartered depository
institution or trust company which is subject to regulations regarding fiduciary
funds on deposit therein substantially similar to 12 CFR ss. 9.10(b), and which,
in either case, has corporate trust powers and has a combined capital and
surplus of at least $50,000,000 and is subject to supervision or examination by
federal or state authority, acting in its fiduciary capacity or (iii) any other
account acceptable to each Rating Agency and the Certificate Insurer; provided,
however, that any account established under this Agreement shall qualify as a
Eligible Account under clause (i) above if the funds on deposit therein are held
less than 30 days and the short-term unsecured debt obligations of the federal
or state chartered depository institution or trust company holding such account
are rated "A-1" by Standard & Poor's and "P-1" by Moody's. Eligible Accounts may
bear interest, and may include, if otherwise qualified under this definition,
accounts maintained with the Trustee.

                  "ELIGIBLE INVESTMENTS":  The meaning defined in SECTION 7.05.

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

                  "ERISA RESTRICTED CERTIFICATE": Shall mean the Class M-1
Certificates, Class B Certificates and the Private Certificates.

                  "ERISA-QUALIFYING UNDERWRITING": A best efforts or firm
commitment underwriting or private placement that meets the requirements of
Prohibited Transaction Exemption ("PTE") 2002-41, 67 Fed. Reg. 54487 (2002) (or
any successor thereto), or any substantially similar administrative exemption
granted by the U.S. Department of Labor.

                  "ESCROW ACCOUNT": The separate trust account or accounts
created and maintained pursuant to SECTION 8.07.

                  "ESCROW PAYMENTS": The amounts constituting ground rents,
taxes, assessments, water rates, mortgage insurance premiums, fire, hazard and
flood insurance premiums and other payments required to be escrowed by the
Mortgagor with the mortgagee pursuant to any Mortgage Loan.

                  "EVENT OF DEFAULT": Any "with cause" event as set forth in
SECTION 8.17(B).

                  "EXCESS SUBORDINATED AMOUNT": For any Distribution Date is the
excess, if any, of (i) the Overcollateralization Amount over (ii) the Required
Overcollateralization Amount.

                  "EXCHANGE ACT": The Securities and Exchange Act of 1934, as
amended.

                  "EXTRA PRINCIPAL DISTRIBUTION AMOUNT": For any Distribution
Date will be the lesser of (i) the Net Monthly Excess Cashflow for such
Distribution Date and (ii) the Overcollateralization Deficiency Amount.

                                       17
<PAGE>

                  "FAIRBANKS CUSTODIAL AGREEMENT": The Custody Agreement dated
as of January 29, 2003 among the Trust, Fairbanks and the Custodian.

                  "FAIRBANKS MORTGAGE LOANS": The Mortgage Loans included in
Schedule I that are serviced by Fairbanks pursuant to this Agreement.

                  "FAIRBANKS TERMINATION TRIGGER EVENT": A Fairbanks Termination
Trigger Event shall occur if on any date of determination (i) the Three-Month
Rolling Average Sixty-Day Delinquency Rate of the Fairbanks Mortgage Loans
exceeds 50% of the aggregate Stated Principal Balance of the Fairbanks Mortgage
Loans or (ii) the quotient (expressed as a percentage) of (x) the aggregate
amount of Realized Losses incurred on the Fairbanks Mortgage Loans since the
Cut-off Date through the last day of the related Collection Period divided by
(y) the aggregate Stated Principal Balance of the Fairbanks Mortgage Loans as of
the Cut-off Date, exceeds the applicable percentages set forth below with
respect to such Distribution Date:

<TABLE>
<CAPTION>
     DISTRIBUTION DATE OCCURRING IN                        LOSS PERCENTAGE
     ------------------------------                        ---------------
<S>                                                        <C>
     February 2006 through January 2007                    5.75% for the first  month,  plus an  additional
                                                           1/12th of 2.50% for each  month  thereafter,  to
                                                           8.25%

     February 2007 through January 2008                    8.25% for the first  month,  plus an  additional
                                                           1/12th of 1.25% for each  month  thereafter,  to
                                                           9.50%

     February 2008 through January 2009                    9.50% for the first  month,  plus an  additional
                                                           1/12th of 1.25% for each  month  thereafter,  to
                                                           10.75%

     February  2009 and thereafter                         10.75%
</TABLE>

                  "FANNIE MAE": Fannie Mae, a federally-chartered and
privately-owned corporation existing under the Federal National Mortgage
Association Charter Act, as amended, or any successor thereof.

                  "FANNIE MAE GUIDE": Fannie Mae's Servicing Guide, as the same
may be amended by Fannie Mae from time to time.

                  "FANNIE MAE GUIDELINES": Shall mean the guidelines set forth
by Fannie Mae in the Fannie Mae Guide.

                  "FDIC": The Federal Deposit Insurance Corporation, a corporate
instrumentality of the United States, or any successor thereto.

                                       18
<PAGE>

                  "FINAL CERTIFICATION":  As defined in SECTION 3.05.

                  "FINAL DETERMINATION": A final determination by the Internal
Revenue Service or by a court of competent jurisdiction, in either case from
which no appeal is taken within the permitted time for such appeal or, if any
appeal is taken, a final determination of such appeal from which no further
appeal can be taken, to the effect that any REMIC in the Trust does not and will
no longer qualify as a REMIC pursuant to Section 860D of the Code.

                  "FINAL DISTRIBUTION DATE": The Distribution Date in January
2032.

                  "FINAL RECOVERY DETERMINATION": A determination by the
relevant Servicer with respect to a defaulted Mortgage Loan (i) in the case of
GreenPoint, in accordance with the GreenPoint Servicing Agreement and (ii) in
the case of the related Servicer, in accordance with the general guidelines set
forth in the Fannie Mae Guide and the Freddie Mac Guide or in the event the
Fannie Mae Guide and the Freddie Mac Guide conflict, in accordance with the
Fannie Mae Guide, that it has recovered, whether through Trustee's sale,
foreclosure sale, pre-foreclosure sale or otherwise, all amounts it expects to
recover from or on account of such defaulted Mortgage Loan.

                  "FITCH": Fitch, Inc. doing business as Fitch Ratings or any
successor thereto.

                  "FREDDIE MAC": Federal Home Loan Mortgage Corporation, or any
successor thereof.

                  "FREDDIE MAC GUIDE": Freddie Mac's Servicing Guide, as the
same may be amended by Freddie Mac from time to time.

                  "FREDDIE MAC GUIDELINES": Shall mean the guidelines set forth
by Freddie Mac in the Freddie Mac Guide.

                  "GREENPOINT": GreenPoint Credit LLC as servicer of the
Contracts pursuant to the GreenPoint Servicing Agreement.

                  "GREENPOINT CUSTODIAL AGREEMENT": The Custody Agreement dated
as of January 29, 2003 among the Trust, GreenPoint and the Custodian.

                  "GREENPOINT SERVICING AGREEMENT": The Servicing Agreement,
dated as of January 1, 2003 among the Depositor, the Master Servicer and
GreenPoint.

                  "GROSS MARGIN": With respect to each Adjustable Rate Mortgage
Loan, the fixed percentage set forth in the related Mortgage Note that is added
to the Index on each Adjustment Date in accordance with the terms of the related
Mortgage Note used to determine the Mortgage Rate for such Adjustable Rate
Mortgage Loan.

                  "HOEPA":  As defined in SECTION 8.02(A).

                                       19
<PAGE>

                  "HOUSEHOLD": Household Financial Services Inc., and its
successors.

                  "HOUSEHOLD MORTGAGE LOANS": Shall mean the Mortgage Loans
purchased under the Household Sale Agreement.

                  "HOUSEHOLD SALE AGREEMENT": Shall mean the Loan Sale Agreement
dated as of September 6, 2002, between Household and Goldman Sachs Mortgage
Company.

                  "INDEMNITY PROCEEDS": Any amounts collected by the relevant
Servicer, the Trustee or the Depositor pursuant to the provisions of the
applicable Sale Agreement.

                  "INDEPENDENT": When used with respect to any specified Person,
any such Person who (a) is in fact independent of the Depositor, the Master
Servicer, the applicable Seller, the applicable Servicer and their respective
Affiliates, (b) does not have any direct financial interest in or any material
indirect financial interest in the Depositor, the Master Servicer, the
applicable Seller, the applicable Servicer or any Affiliate thereof, and (c) is
not connected with the Depositor, the Master Servicer, the applicable Seller,
the applicable Servicer or any Affiliate thereof as an officer, employee,
promoter, underwriter, trustee, partner, director or Person performing similar
functions; provided, however, that a Person shall not fail to be Independent of
the Depositor, the Master Servicer, the applicable Seller, the applicable
Servicer or any Affiliate thereof merely because such Person is the beneficial
owner of 1% or less of any class of securities issued by the Depositor, the
Master Servicer, the applicable Seller, the applicable Servicer or any Affiliate
thereof, as the case may be.

                  "INDEX": As to each Adjustable Rate Mortgage Loan, the index
from time to time in effect for the adjustment of the Mortgage Rate set forth as
such in the related Mortgage Note.

                  "INITIAL CERTIFICATION":  As defined in SECTION 3.05.

                  "INSURANCE POLICY": Any hazard, flood, title or Primary
Insurance Policy relating to a Mortgage Loan plus any amount remitted under
SECTION 8.08.

                  "INSURANCE PROCEEDS": Payments received with respect to any
Insurance Policy.

                  "INSURED AMOUNTS": For any Distribution Date, the sum of (1)
the Accrued Certificate Interest and any Interest Shortfall Carryforward Amount
allocable to the Class A Certificates on such Distribution Date, net of any
Compensating Interest Shortfalls and Relief Act Shortfalls; (2) on any
Distribution Date prior to the Distribution Date in January 2032, the Class A
Deficiency Amount, and (3) on the Distribution Date in January 2032, the
aggregate Certificate Balance of the Class A Certificates outstanding on such
Distribution Date (after giving effect to all distributions to be made thereon
on such Distribution Date other than pursuant to the Certificate Insurance
Policy).

                                       20
<PAGE>

                  "INSURED PAYMENTS": The aggregate amount actually paid by the
Certificate Insurer to the Trustee in respect of (i) Insured Amounts for a
Distribution Date and (ii) Preference Amounts for any given Business Day.

                  "INTEREST SHORTFALL CARRYFORWARD AMOUNT": As of any
Distribution Date and with respect to any Class of Certificates (other than the
Class P, Class R or Class X Certificates), the sum of (i) the amount, if any, by
which (X) the sum of (a) the Accrued Certificate Interest for such Class for
such Distribution Date plus (b) the Interest Shortfall Carryforward Amount for
such Class as of the immediately preceding Distribution Date exceeds (Y) the
amount paid to the Certificateholders of such Class on such Distribution Date
with respect to interest and (ii) to the extent permitted by law, interest on
the amount determined pursuant to clause (i)(b) at the applicable Pass-Through
Rate for the number of days in the related Accrual Period.

                  "INVOLUNTARY PAYOFF": The amount of Net Liquidation Proceeds
received with respect to a Liquidated Loan.

                  "LAND HOME CONTRACT": A Contract that is secured by a
mortgage, deed of trust, security deed or similar evidence of lien on real
estate on which the related Manufactured Home is situated (as well as by such
related Manufactured Home).

                  "LAND HOME CONTRACT FILE": As to each Land Home Contract, (a)
the original copy of the Land Home Contract, (b) the original related Mortgage
with evidence of recording thereon (or, if the original Mortgage has not yet
been returned by the applicable recording office, a copy thereof, certified by
such recording office, which will be replaced by the original Mortgage when it
is so returned) and any title document for the related Manufactured Home, (c)
the assignment of the Land Home Contract from the originator to Deerwood
Corporation, (d) if such Land Home Contract was originated by Deerwood
Corporation, an endorsement of such Land Home Contract by Deerwood Corporation
and (e) any extension, modification or waiver agreement(s). Notwithstanding
anything contained in this definition to the contrary, Schedule A to the title
insurance policy for a Mortgage will satisfy the requirements of a title
document in clause (b) herein.

                  "LATE PAYMENT RATE": The greater of (i) the rate of interest,
as it is publicly announced by Citibank, N.A. at its principal office in New
York, New York as its prime rate (any change in such prime rate of interest to
be effective on the date such change is announced by Citibank, N.A.) plus 2% and
(ii) the then applicable highest Pass-Through Rate on the Class A Certificates.
The Late Payment Rate shall be computed on the basis of a year of 360 days and
the actual number of days elapsed. In no event shall the Late Payment Rate
exceed the maximum rate permissible under any applicable law limiting interest
rates.

                  "LAW": Any law (including common law and the laws of equity),
constitution, statute, treaty, regulation, rule, administrative guideline,
ordinance, judgment, order, injunction, writ, decree or award of any
Governmental Authority, including, without limitation, any rules, regulations or
guidelines promulgated or issued

                                       21
<PAGE>

by Fannie Mae, Freddie Mac or any other Governmental Authority applicable to the
Seller or any of the Mortgage Loans or Sale Agreements.

                  "LIBOR": means the per annum rate calculated by the Trustee as
set forth below:

                  (i) on each LIBOR Determination Date, LIBOR for such Accrual
         Period will be the rate for deposits in United States dollars for a
         one-month period which appears on the display designated as "Page 3750"
         on the Dow Jones Telerate Service as of 11:00 a.m., London time, on
         such date;

                  (ii) with respect to a LIBOR Determination Date on which no
         such rate appears on Telerate page 3750 as described above, LIBOR for
         the applicable Accrual Period will be determined on the basis of the
         rates at which deposits in United States dollars are offered by the
         Reference Banks at approximately 11:00 a.m., London time, on such date
         for a one-month period (each, a "Reference Bank Rate") and in an amount
         that is representative for a single transaction in the London-interbank
         market at that time. The Trustee shall request the principal London
         office of each of the Reference Banks to provide a quotation of its
         Reference Bank Rate. If at least two such quotations are provided,
         LIBOR for such Accrual Period will be the arithmetic mean of such
         quotations. If fewer than two quotations are provided, LIBOR for such
         Accrual Period will be the arithmetic mean of the rates quoted by major
         banks in New York City, selected by the Trustee, at approximately 11:00
         a.m., New York City time, on such date for loans in United States
         dollars to leading European banks for a one-month period and in an
         amount that is representative for a single transaction in such market
         at that time.

                  All percentages resulting from any calculations referred to in
this definition will be rounded upwards to the nearest multiple of 1/100,000 of
1% and all U.S. dollar amounts used in or resulting from such calculations will
be rounded to the nearest cent (with one-half cent or more being rounded
upwards).

                  "LIBOR DETERMINATION DATE":

                  (i) January 27, 2003 for the period beginning on and including
         the Closing Date and ending on and excluding the first Distribution
         Date; and thereafter,

                  (ii) the second London Business Day prior to the first day of
         each Accrual Period following the first Accrual Period.

                  "LIFETIME RATE CAP": The provision of each Mortgage Note
related to an Adjustable Rate Mortgage Loan which provides for an absolute
maximum Mortgage Rate thereunder. The Mortgage Interest Rate during the terms of
each Adjustable Rate Mortgage Loan shall not at any time exceed the Mortgage
Rate at the time of origination

                                       22
<PAGE>

of such Adjustable Rate Mortgage Loan by more than the amount per annum set
forth on the Schedule of Mortgage Loans.

                  "LIQUIDATED LOAN": A Mortgage Loan with respect to which (i) a
Final Recovery Determination has been made by the related Servicer or which the
related Servicer has charged off pursuant to the terms of this Agreement and
(ii) GreenPoint has taken action pursuant to Section 3.11 of the GreenPoint
Servicing Agreement.

                  "LIQUIDATION EXPENSES": Expenses which are incurred by a
Servicer in connection with the liquidation of any defaulted Mortgage Loan, such
expenses including, without limitation, legal fees and expenses and any
unreimbursed Advances made by the related Servicer with respect to such Mortgage
Loan.

                  "LIQUIDATION PROCEEDS": With respect to any Liquidated Loan,
any amounts (including the proceeds of any insurance policy) recovered in
connection with such Liquidated Loan, whether through trustee's sale,
foreclosure sale, short sale or otherwise.

                  "LOAN PURCHASE PRICE": With respect to any Mortgage Loan, a
price equal to (A) the Stated Principal Balance of such Mortgage Loan PLUS (B)
interest on such Stated Principal Balance at the Mortgage Rate minus the
Servicing Fee Rate applicable to such Mortgage Loan from the date on which
interest has last been paid and distributed to the Trust to the last day of the
month of repurchase, together with, (without duplication) the aggregate amounts
of (C) Advances theretofore made with respect to such Mortgage Loan, (D) in the
case of Monthly Advances thereon made by the Trustee, interest thereon at the
prime rate shown as such in the Wall Street Journal plus 2.00% per annum, (E) in
the case of a Mortgage Loan that has been subject to a Realized Loss, the amount
of such Realized Loss, (F) amounts owed to the Certificate Insurer related to
such Mortgage Loan and (G) any accrued and unpaid Servicing Fees for such
Mortgage Loan.

                  "LOAN-TO-VALUE RATIO": As of any particular date, the
percentage obtained by dividing the Stated Principal Balance of the related
Mortgage Loan as of its date of origination or acquisition by the related Seller
by the Appraised Value of the Mortgaged Property.

                  "LONDON BUSINESS DAY": Any day on which banks in London,
England and New York City, New York are open for business to deal in deposits of
United States dollars in the London interbank market.

                  "LOSSES":  As defined in SECTION 2.11(A).

                  "LOST NOTE AFFIDAVIT": A lost note affidavit referencing a
single Mortgage Loan delivered pursuant to any of the Sale Agreements.

                  "MAJORITY CLASS X CERTIFICATEHOLDER": Shall mean the holders
of Class X Certificates evidencing, in the aggregate, more than a 50% Percentage
Interest.

                                       23
<PAGE>

                  "MANUFACTURED HOME": A unit of manufactured housing which
meets the requirements of Section 25(e)(10) of the Code, securing the
indebtedness of the obligor under the related Contract.

                  "MARKER RATE": With respect to the Class X Certificates and
any Distribution Date, a per annum rate equal to two (2) multiplied by the
weighted average of the Uncertificated REMIC I Pass-Through Rates for each REMIC
I Regular Interest (other than REMIC I Regular Interest LT-AA and REMIC I
Regular Interest LT-P), with the rates on each such REMIC I Regular Interest
subject to a cap equal to the Pass-Through Rate for the Corresponding Class for
such REMIC I Regular Interest, and the rate on REMIC I Regular Interest LT-ZZ
subject to a cap of zero for purposes of this calculation.

                  "MASTER SERVICER": Wilshire in its capacity as master servicer
of the Contracts and any successor thereto.

                  "MERS":  Mortgage Electronic Registration Systems, Inc.

                  "MERS DESIGNATED MORTGAGE LOAN": Any Mortgage Loan as to which
MERS is acting as mortgagee, solely as nominee for the owner of such Mortgage
Loan and its successors and assigns and identified as such on the Schedule of
Mortgage Loans.

                  "MINIMUM MORTGAGE RATE": With respect to each Adjustable Rate
Mortgage Loan, the percentage set forth in the related Mortgage Note as the
minimum Mortgage Rate thereunder.

                  "MONTHLY ADVANCE": An advance by the Servicer pursuant to
SECTION 8.05(C) hereof, the Master Servicer pursuant to SECTION 9.02 hereof or
the Trustee pursuant to SECTION 8.05(F).

                  "MONTHLY PAYMENT": The scheduled monthly payment of principal
and interest required to be made by a Mortgagor on the related Mortgage Loan, as
set forth in the related Mortgage Note.

                  "MOODY'S": Moody's Investor Service, Inc., and its successors.

                  "MORTGAGE": The mortgage, deed of trust or other instrument
creating a first lien on an estate in fee simple or leasehold estate interest in
real property securing a Mortgage Note.

                  "MORTGAGE LOAN DOCUMENTS": With respect to any Mortgage Loan,
all agreements, instruments, promissory notes, financing statements, mortgages,
security agreements, assignments, Lost Note Affidavits, Sale Agreements and
other documents executed and delivered by any Person in connection with such
Mortgage Loan, whether such documents are in the possession or under the control
of the Trustee, the Custodian, the relevant Servicer or any other Person.

                                       24
<PAGE>

                  "MORTGAGE LOANS": Such of the mortgage loans and Contracts
transferred and assigned to the Trust pursuant to SECTION 3.04(A), as from time
to time are held as a part of the Trust Estate, the Mortgage Loans originally so
held being identified in the Schedule of Mortgage Loans. The term "MORTGAGE
LOAN" includes, without limitation, any Mortgage Loan which is current or
Delinquent, which relates to a foreclosure or which relates to a Mortgaged
Property which is REO Property prior to such Mortgaged Property's disposition by
the Trust.

                  "MORTGAGE NOTE": The note or other evidence of indebtedness
evidencing the indebtedness of a Mortgagor under a Mortgage Loan.

                  "MORTGAGE RATE": The rate of interest borne by each Mortgage
Note according to its terms.

                  "MORTGAGED PROPERTY": The underlying property (including all
buildings and other improvements thereon) securing a Mortgage Loan, together
with any personal property, fixtures and other property or rights pertaining
thereto.

                  "MORTGAGOR":  The obligor on a Mortgage Note.

                  "NET LIQUIDATION PROCEEDS": As to any Liquidated Loan,
Liquidation Proceeds net of Liquidation Expenses relating to such Mortgage Loan.
If Net Liquidation Proceeds with respect to any Liquidated Loan are less than
zero, then the related Servicer or the Master Servicer shall be entitled to be
reimbursed for Nonrecoverable Advances made by such Servicer or the Master
Servicer, as applicable, with respect to such Mortgage Loan pursuant to SECTION
8.04(D)(I).

                  "NET MONTHLY EXCESS CASHFLOW": With respect to any
Distribution Date, the excess of (x) the Available Distribution Amount for such
Distribution Date over (y) the sum for such Distribution Date of (A) the
aggregate Accrued Certificate Interest for the Offered Certificates for such
Distribution Date, (B) the aggregate unpaid Accrued Certificate Interest for the
Class A Certificates for such Distribution Date, (C) all amounts payable to the
Certificate Insurer for such Distribution Date (other than the Certificate
Insurer Premium) and (D) the Basic Principal Distribution Amount.

                  "NET RATE": With respect to each Mortgage Loan, the Mortgage
Rate of such Mortgage Loan less the Administrative Cost Rate.

                  "NET SIMPLE INTEREST EXCESS": As of any Remittance Date, the
excess, if any, of the aggregate amount of Simple Interest Excess over the
amount of Simple Interest Shortfall.

                  "NET SIMPLE INTEREST SHORTFALL": As of any Remittance Date,
the excess, if any, of the aggregate amount of Simple Interest Shortfall over
the amount of Simple Interest Excess.

                                       25
<PAGE>

                  "NONRECOVERABLE ADVANCE": With respect to any Mortgage Loan,
(i) any Advance previously made which, in the good faith business judgment of
the related Servicer, the Master Servicer or the Trustee, as applicable will not
be reimbursed from proceeds of that Mortgage Loan pursuant to this Agreement, or
(ii) any Advance proposed to be made in respect of a Mortgage Loan which, in the
good faith business judgment of the related Servicer, the Master Servicer or the
Trustee, would not ultimately be recoverable from proceeds of such Mortgage
Loan.

                  "NON-U.S. PERSONS": Any Person other than a United States
Person.

                  "NOTICE":  As defined in SECTION 7.03(A).

                  "NOTICE OF FINAL DISTRIBUTION: The notice to be provided
pursuant to SECTION 10.04 to the effect that a final distribution on any of the
Certificates shall be made only upon presentation and surrender thereof.

                  "OFFERED CERTIFICATES": The Class A Certificates, the Class
M-1 Certificates and the Class B Certificates.

                  "OFFICER'S CERTIFICATE": A certificate signed by any
Authorized Officer of any Person delivering such certificate and delivered to
the Trustee.

                  "OPERATIVE DOCUMENTS": Collectively, this Agreement, the
Certificates, the Sale Agreements, the Custody Agreements, the Assignment
Agreements and the Certificate Insurance Agreement.

                  "OPINION OF COUNSEL": A written opinion of counsel, who may,
without limitation, be salaried counsel for the Depositor, a Servicer or the
Master Servicer, acceptable to the Trustee, except that any opinion of counsel
relating to (a) the qualification of any of any REMIC as a REMIC or (b)
compliance with the REMIC Provisions must be an opinion of Independent counsel.

                  "OPTIONAL BUYOUT LOAN": A Mortgage Loan purchased from the
Trust by the Majority Class X Certificateholder pursuant to SECTION 8.21.

                  "ORIGINAL POOL BALANCE": The Pool Balance of the Mortgage
Loans as of the Cut-off Date.

                  "ORIGINAL PRINCIPAL BALANCE": The Stated Principal Balance of
a Mortgage Loan as of the Cut-off Date.

                  "OTHER ASSETS": With respect to any Mortgage Loan, any and all
Related Security and Collections relating to such Mortgage Loan and any and all
Proceeds of such Mortgage Loan, Related Security and/or Collections.

                                       26
<PAGE>

                  "OUTSTANDING": With respect to all Certificates of a Class, as
of any date of determination, all such Certificates theretofore executed and
delivered hereunder except:

                  (i) Certificates theretofore canceled by the Registrar or
         delivered to the Registrar for cancellation;

                  (ii) Certificates or portions thereof for which full and final
         payment of money in the necessary amount has been theretofore deposited
         with the Trustee or any Paying Agent in trust for the Owners of such
         Certificates;

                  (iii) Certificates in exchange for or in lieu of which other
         Certificates have been executed and delivered pursuant to this
         Agreement, unless proof satisfactory to the Trustee is presented that
         any such Certificates are held by a bona fide purchaser;

                  (iv) Certificates alleged to have been destroyed, lost or
         stolen for which replacement Certificates have been issued as provided
         for in SECTION 5.03; and

                  (v) Certificates as to which the Trustee has made the final
         distribution thereon, whether or not such Certificate is ever returned
         to the Trustee.

                  "OVERCOLLATERALIZATION AMOUNT": As of any Distribution Date,
the excess, if any, of (x) the Pool Balance as of the close of business on the
last day of the related Collection Period, over (y) the aggregate Certificate
Balance of the Certificates (other than the Class X Certificates) on such
Distribution Date, assuming that the Principal Remittance Amount for such
Distribution Date was distributed in reduction of the Certificate Balance of the
Certificates on such Distribution Date.

                  "OVERCOLLATERALIZATION DEFICIENCY AMOUNT": For any
Distribution Date, the excess, if any, of (1) the Required Overcollateralization
Amount for such Distribution Date, over (2) the then-current
Overcollateralization Amount, assuming that the Principal Remittance Amount for
such Distribution Date was distributed in reduction of the Certificate Balance
of the Certificates (other than the Class X Certificates) on such Distribution
Date.

                  "OVERCOLLATERALIZATION REDUCTION AMOUNT": On any Distribution
Date, the lesser of (i) the Excess Subordinated Amount over (ii) the Principal
Remittance Amount.

                  "OWNER": The Person in whose name a Certificate is registered
in the Register to the extent described in SECTION 5.02; PROVIDED that solely
for the purposes of determining the exercise of any voting rights hereunder, if
any Offered Certificates are beneficially owned by a Seller, the Depositor or
any Affiliate thereof, such Seller, the Depositor or such Affiliate shall not be
considered an Owner hereunder.

                  "OWNERSHIP INTEREST": As to any Certificate, any ownership or
security interest in such Certificate, including any interest in such
Certificate as the Holder thereof

                                       27
<PAGE>

and any other interest therein, whether direct or indirect, legal or beneficial,
as owner or as pledgee.

                  "PASS-THROUGH RATE": For each Class of Certificates (other
than the Class P Certificates), (a) with respect to the Class A-1 Certificates,
a rate per annum equal to the lesser of (i)(A) for any Distribution Date on or
prior to the Clean-Up Call Date, one-month LIBOR plus 0.250% (B) in the case of
any Distribution Date thereafter, one-month LIBOR plus 0.500%, and (ii) the
applicable WAC Cap; (b) with respect to the Class A-2 Certificates, a rate per
annum equal to the lesser of (i)(A) for any Distribution Date on or prior to the
Clean-Up Call Date, one-month LIBOR plus 0.700% (B) in the case of any
Distribution Date thereafter, one-month LIBOR plus 1.400%, and (ii) the
applicable WAC Cap; (c) with respect to the Class A-3 Certificates, a rate per
annum equal to the lesser of (i)(A) for any Distribution Date on or prior to the
Clean-Up Call Date, one-month LIBOR plus 0.500% (B) in the case of any
Distribution Date thereafter, one-month LIBOR plus 1.000%, and (ii) the
applicable WAC Cap; (d) with respect to the Class M-1 Certificates, a rate per
annum equal to the lesser of (i)(A) for any Distribution Date on or prior to the
Clean-Up Call Date, one-month LIBOR plus 2.600% (B) in the case of any
Distribution Date thereafter, one-month LIBOR plus 3.900%, and (ii) the
applicable WAC Cap; (e) with respect to the Class B-1 Certificates, a rate per
annum equal to the lesser of (i)(A) for any Distribution Date on or prior to the
Clean-Up Call Date, one-month LIBOR plus 3.650% (B) in the case of any
Distribution Date thereafter, one-month LIBOR plus 5.475%, and (ii) the
applicable WAC Cap; (f) with respect to the Class B-2 Certificates, a rate per
annum equal to the lesser of (i)(A) for any Distribution Date on or prior to the
Clean-Up Call Date, one-month LIBOR plus 4.500% (B) in the case of any
Distribution Date thereafter, one-month LIBOR plus 6.750%, and (ii) the
applicable WAC Cap; and (g) with respect to the Class B-3 Certificates, a rate
per annum equal to the lesser of (i)(A) for any Distribution Date on or prior to
the Clean-Up Call Date, one-month LIBOR plus 5.250% (B) in the case of any
Distribution Date thereafter, one-month LIBOR plus 7.875%, and (ii) the
applicable WAC Cap. For each Class of Certificates (other than the Class X
Certificates), the Pass-Through Rate will be calculated using an actual/360 Day
Count Fraction.

                  With respect to the Class X Certificates, rate per annum equal
to the percentage equivalent of a fraction, the numerator of which is the sum of
the amounts calculated pursuant to clauses (A) through (J) below, and the
denominator of which is the Uncertificated Principal Balance of the REMIC I
Regular Interests (other than REMIC I Regular Interest LT-P). For purposes of
calculating the Pass-Through Rate for the Class X Certificates, the numerator is
equal to the sum of the following components:

                  (A) the Uncertificated REMIC I Pass-Through Rate for REMIC I
         Regular Interest LT-AA minus the Marker Rate, applied to an amount
         equal to the Uncertificated Principal Balance of REMIC I Regular
         Interest LT-AA;

                                       28
<PAGE>

                  (B) the Uncertificated REMIC I Pass-Through Rate for REMIC I
         Regular Interest LT-A1 minus the Marker Rate, applied to an amount
         equal to the Uncertificated Principal Balance of REMIC I Regular
         Interest LT-A1;

                  (C) the Uncertificated REMIC I Pass-Through Rate for REMIC I
         Regular Interest LT-A2 minus the Marker Rate, applied to an amount
         equal to the Uncertificated Principal Balance of REMIC I Regular
         Interest LT-A2;

                  (D) the Uncertificated REMIC I Pass-Through Rate for REMIC I
         Regular Interest LT-A3 minus the Marker Rate, applied to an amount
         equal to the Uncertificated Principal Balance of REMIC I Regular
         Interest LT-A3;

                  (E) the Uncertificated REMIC I Pass-Through Rate for REMIC I
         Regular Interest LT-M1 minus the Marker Rate, applied to an amount
         equal to the Uncertificated Principal Balance of REMIC I Regular
         Interest LT-M1;

                  (F) the Uncertificated REMIC I Pass-Through Rate for REMIC I
         Regular Interest LT-B1 minus the Marker Rate, applied to an amount
         equal to the Uncertificated Principal Balance of REMIC I Regular
         Interest LT-B1;

                  (G) the Uncertificated REMIC I Pass-Through Rate for REMIC I
         Regular Interest LT-B2 minus the Marker Rate, applied to an amount
         equal to the Uncertificated Principal Balance of REMIC I Regular
         Interest LT-B2;

                  (H) the Uncertificated REMIC I Pass-Through Rate for REMIC I
         Regular Interest LT-B3 minus the Marker Rate, applied to an amount
         equal to the Uncertificated Principal Balance of REMIC I Regular
         Interest LT-B3;

                  (I) the Uncertificated REMIC I Pass-Through Rate for REMIC I
         Regular Interest LT-ZZ minus the Marker Rate, applied to an amount
         equal to the Uncertificated Principal Balance of REMIC I Regular
         Interest LT-ZZ; and

                  (J) 100% of the interest on REMIC I Regular Interest LT-P.

                  The Class P Certificates do not have a Pass-Through Rate and
are not entitled to distributions in respect of interest.

                  "PAYING AGENT": Initially, the Trustee, and thereafter, the
Trustee or any other Person that meets the eligibility standards for the Paying
Agent specified in SECTION 12.15 and is authorized by the Trustee and the
Depositor to make payments on the Certificates on behalf of the Trustee.

                  "PERCENTAGE INTEREST": With respect to a Class of the Class A
Certificates, the Class M-1 Certificates, a Class of the Class B Certificates or
the Class P Certificates, a fraction, expressed as a percentage, the numerator
of which is the initial Certificate Balance represented by such Certificate and
the denominator of which is the aggregate

                                       29
<PAGE>

initial Certificate Balance represented by all the Certificates in such Class.
With respect to the Class X and Class R Certificates, the portion of such Class
evidenced thereby, expressed as a percentage, as stated on the face of such
Certificate, all of which shall total 100%.

                  "PERIODIC RATE CAP": With respect to each Adjustable Rate
Mortgage Loan and any Adjustment Date therefor, the fixed percentage set forth
in the related Mortgage Note, which is the maximum amount by which the Mortgage
Rate for such Adjustable Rate Mortgage Loan may increase or decrease (without
regard to the Lifetime Rate Cap or the Minimum Mortgage Rate) on such Adjustment
Date from the Mortgage Rate in effect immediately prior to such Adjustment Date.

                  "PERMITTED TRANSFEREE": Any Transferee of a Residual
Certificate other than a Disqualified Organization or a Non-U.S. Person.

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

                  "PLAN": Any employee benefit plan or certain other retirement
plans and arrangements, including individual retirement accounts and annuities,
Keogh plans and bank collective investment funds and insurance company general
or separate accounts in which such plans, accounts or arrangements are invested,
that are subject to ERISA or Section 4975 of the Code.

                  "POOL BALANCE": As of any date, the aggregate Stated Principal
Balance of the Mortgage Loans as of the end of the preceding Collection Period.

                  "PREFERENCE AMOUNT": Means any payment of principal or
interest on any Class A Certificate which has become due for payment and which
is made to such Class A Certificateholder by or on behalf of the Trustee which
has been deemed a preferential transfer and was previously recovered from its
Owner pursuant to the Bankruptcy Code in accordance with a final, nonappealable
order of a court of competent jurisdiction.

                  "PREPAID INSTALLMENT": With respect to any Mortgage Loan, any
Monthly Payment thereon received by the relevant Servicer prior to the scheduled
due date for such installment, intended by the Mortgagor as an early payment
thereof and not as a Principal Prepayment or Curtailment with respect to such
Mortgage Loan.

                  "PREPAYMENT PENALTY": With respect to any Mortgage Loan, any
prepayment penalty, premium or charge payable by the Mortgagor pursuant to the
terms of the Mortgage Note in connection with any voluntary prepayment in full
of the principal of the Mortgage Loan to the extent permitted by law.

                  "PRESERVATION EXPENSES": Expenditures made by the related
Servicer in connection with a foreclosed Mortgage Loan prior to the liquidation
thereof, including,

                                       30
<PAGE>

without limitation, expenditures for real estate property taxes, hazard
insurance premiums, property restoration or preservation.

                  "PRIMARY INSURANCE POLICY": Insurance obtained from a private
insurer which insures the holder of a Mortgage Note against loss in the event
the Mortgagor defaults under the Note, including all riders and endorsements
thereto.

                  "PRINCIPAL DISTRIBUTION AMOUNT": For any Distribution Date,
the sum of (i) the Basic Principal Distribution Amount and (ii) the Extra
Principal Distribution Amount.

                  "PRINCIPAL PREPAYMENT": Any full or partial payment or other
recovery of principal on a Mortgage Loan which is received in advance of its
scheduled Due Date, excluding any Prepayment Penalty and 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.

                  "PRINCIPAL PREPAYMENT IN FULL": Any Principal Prepayment made
by a Mortgagor of the entire unpaid principal balance of a Mortgage Loan.

                  "PRINCIPAL REMITTANCE AMOUNT: With respect to any Distribution
Date, the amount equal to the sum of the following amounts (without duplication)
with respect to the related Due Period: (i) each scheduled payment of principal
on a Mortgage Loan due during such Due Period whether or not received on or
prior to the related Determination Date (including the portion of Insurance
Proceeds or Condemnation Proceeds allocable to principal), and all Principal
Prepayments received during the related Collection Period, (ii) the Liquidation
Proceeds on the Mortgage Loans allocable to principal received during the
related Collection Period, (iii) the portion of the Loan Purchase Price
allocable to principal with respect to each Mortgage Loan, the repurchase
obligation for which arose during the related Collection Period and (iv) the
allocable portion of the proceeds received with respect to the termination of
the Trust Fund (to the extent such proceeds relate to principal).

                  "PRIVATE CERTIFICATES": Collectively, the Class P, Class X and
Residual Certificates.

                  "PROCEEDS": Whether or not capitalized, "proceeds" as such
term is defined in Section 9-102 of the UCC, including all cash and non-cash
proceeds and further including all accounts, accounts receivable, contract
rights, money, claims for money (whether or not earned by performance), checks,
deposit accounts, documents, instruments, chattel paper, investment property
(including securities, securities entitlements, securities accounts, commodity
contracts and commodity accounts), general intangibles, insurance proceeds and
other property (including fixtures, products and accessions).

                  "PROHIBITED TRANSACTION": The meaning set forth from time to
time in the definition thereof at Section 860F(a)(2) of the Code and applicable
to the Trust.

                                       31
<PAGE>

                  "PROSPECTUS SUPPLEMENT ": The Prospectus Supplement dated
January 24, 2003 to the Prospectus dated December 23, 2002, prepared by the
Depositor with respect to the public offering of the Offered Certificates

                  "PURCHASE OPTION PERIOD":  As defined in SECTION 10.03.

                  "PURCHASER": The Depositor, in its capacity as the purchaser,
under the relevant Sale Agreement, together with the Trustee as the assignee of
the Depositor hereunder.

                  "QUALIFIED INSTITUTION": With respect to each Collection
Account and the Certificate Account, an account maintained by a federal or state
chartered depository institution acceptable to the Depositor and the Certificate
Insurer, having combined capital and surplus of at least $50,000,000; PROVIDED,
HOWEVER, that if any Collection Account or the Certificate Account is not
maintained with the Trustee, (i) (A) with respect to each Collection Account,
such institution shall have a long-term debt rating of at least "A2" by Moody's,
"AA-" by Standard & Poor's, and, if rated by Fitch, at least "AA-" by Fitch and
(B) with respect to the Certificate Account, such institution shall have a
long-term debt rating of at least "A2" by Moody's, "A" by Standard & Poor's,
and, if rated by Fitch, at least "AA-" by Fitch, (ii) (A) with respect to each
Collection Account, a short-term debt rating of at least "A-1+" by Standard &
Poor's, "P-1" by Moody's and if rated by Fitch, at least "F1" by Fitch and (B)
with respect to the Certificate Account, a short-term debt rating of at least
"A-1" by Standard & Poor's, "P-1" by Moody's and if rated by Fitch, at least
"F1" by Fitch and (iii) if such Collection Account or the Certificate Account is
moved to a new institution, the relevant Servicer shall provide the Trustee, the
Owners and the Certificate Insurer with a statement identifying the location of
such Collection Account or the Certificate Account.

                  "QUALIFIED LIQUIDATION": The meaning set forth from time to
time in the definition thereof at Section 860F(a)(4) of the Code and applicable
to the Trust.

                  "QUALIFIED MORTGAGE": The meaning set forth from time to time
in the definition thereof at Section 860G(a)(3) of the Code and applicable to
the Trust.

                  "RATING AGENCIES": Moody's and Standard & Poor's or any
successors thereto. If such agencies or their successors are no longer in
existence, "Rating Agencies" shall be such nationally recognized statistical
rating agencies, or other comparable Persons, designated by the Depositor,
notice of which designation shall be given to the Trustee, the Servicers and the
Master Servicer.

                  "REALIZED LOSS": With respect to each Liquidated Loan, an
amount equal to (i) the Stated Principal Balance of the Mortgage Loan, plus all
accrued and unpaid interest thereon and outstanding Servicing Advances and other
expenses related thereto, as of the date of such liquidation, minus (ii) the Net
Liquidation Proceeds (not less than zero for purposes of calculating Realized
Losses) relating to such Liquidated Loan (such Net Liquidation Proceeds to be
applied first to interest and then to the Stated Principal Balance of the
Liquidated Loan). With respect to each Mortgage Loan which has

                                       32
<PAGE>

become the subject of a Deficient Valuation, the Realized Loss shall be
calculated as the difference between the Stated Principal Balance of the
Mortgage Loan immediately prior to such Deficient Valuation and the Stated
Principal Balance of the Mortgage Loan as determined pursuant to such Deficient
Valuation. With respect to any payment by the Trust of Trust Expenses, a
Realized Loss shall be deemed to have occurred whenever such Trust Expenses are
paid.

                  "REALIZED LOSS AMOUNT": For any Distribution Date, after
taking into account all Realized Losses experienced on the Mortgage Loans during
the preceding Collection Period and after taking into account the distribution
of the Principal Distribution Amount to the Certificates, the amount applied to
reduce the Certificate Balance or, in the case of the Class X Certificates, the
amount applied to reduce the Class X Distribution Amount, in each case, in
accordance with SECTION 7.07.

                  "RECORD DATE": With respect to each Distribution Date, the
Business Day immediately preceding such Distribution Date.

                  "RECORDS": With respect to any Mortgage Loan, all Mortgage
Loan Documents and other material documents held or maintained by or for the
Depositor, the Trustee, the Custodian, the relevant Servicer or any other Person
(including any Subservicer) with respect to such Mortgage Loan and/or the
related Mortgagor, including the Custodial File and any and all Servicing
Records.

                  "REFERENCE BANKS": Four major banks in the London interbank
market selected by the Trustee with consultation from the Depositor.

                  "REGISTER": The register maintained by the Registrar in
accordance with SECTION 5.02, in which the names of the Owners are set forth.

                  "REGISTRAR": The Trustee, acting in its capacity as Registrar
appointed pursuant to SECTION 5.02, or any duly appointed and eligible successor
thereto.

                  "REGULAR CERTIFICATE": Any Class A Certificate, Class M-1
Certificate, Class B Certificate, Class X Certificate or Class P Certificate.

                  "REGULAR INTEREST": A "regular interest" in a REMIC within the
meaning of Section 860G(a)(1) of the Code.

                  "REIMBURSEMENT AMOUNT": As of any Distribution Date, the sum
of (x) (i) all Insured Payments paid by the Certificate Insurer, but for which
the Certificate Insurer has not been reimbursed prior to such Distribution Date
pursuant to Section 7.06(b), PLUS (ii) interest accrued on such Insured Payments
not previously repaid calculated at the Late Payment Rate from the date the
Trustee received the related Insured Payments or the date such Insured Payments
were made, and (y) without duplication (i) any amounts then due and owing to the
Certificate Insurer under the Certificate Insurance Agreement, as certified to
the Trustee by the Certificate Insurer PLUS (ii) interest on such

                                       33
<PAGE>

amounts at the Late Payment Rate from the date such amounts become due until
paid in full.

                  "RELATED SECURITY": With respect to any Mortgage Loan, all
right, title and interest of each and all of the Sellers and the Depositor in
and to:

                  (i) the related Mortgaged Property securing such Mortgage
         Loan;

                  (ii) all other security interests or liens and property
         subject thereto from time to time, if any, purporting to secure payment
         of such Mortgage Loan, whether pursuant to the related Mortgage Loan
         Documents or otherwise, together with all financing statements and
         similar documents signed by a Mortgagor describing any collateral
         securing such Mortgage Loan;

                  (iii) all guarantees, indemnities, warranties, insurance
         policies (including any premium refunds and other proceeds thereof) and
         other agreements or arrangements of any kind from time to time
         supporting or securing payment of such Mortgage Loan, whether pursuant
         to the Mortgage Loan Documents related to such Mortgage Loan or
         otherwise; and

                  (iv) all Records related to such Mortgage Loan.

                  "RELIEF ACT SHORTFALL": With respect to any Collection Period
and any Mortgage Loan as to which the interest rate has been reduced during such
Collection Period by application of the Civil Relief Act, the excess, if any, of
(i) the interest payable on such Mortgage Loan at its Mortgage Rate over (ii)
the interest payable thereon at the rate imposed by the Civil Relief Act.

                  "REMIC": A "real estate mortgage investment conduit" within
the meaning of Section 860A through 860G of the Code.

                  "REMIC I": The segregated pool of assets subject hereto,
constituting a portion of the primary trust created hereby and to be
administered hereunder, with respect to which a separate REMIC election is to be
made (other than with respect to the items in clause (v) and the proceeds
thereof), consisting of: (i) the Mortgage Loans and the related Mortgage Files
Contract Files and Land Home Contract Files; (ii) all payments on and
collections in respect of the Mortgage Loans due after the Cut-off Date (other
than Monthly Payments due in January 2003) as shall be on deposit in the
Certificate Account and identified as belonging to the Trust Estate; (iii)
property which secured a Mortgage Loan and which has been acquired for the
benefit of the Certificateholders by foreclosure or deed in lieu of foreclosure;
(iv) Insurance Policies pertaining to the Mortgage Loans, if any; and (v) all
proceeds of clauses (i) through (iv) above.

                  REMIC I INTEREST LOSS ALLOCATION AMOUNT: With respect to any
Distribution Date, an amount equal to (a) the product of (i) the aggregate
Uncertificated Principal Balance of the REMIC I Regular Interests then
outstanding and (ii) the

                                       34
<PAGE>

Uncertificated Pass-Through Rate for REMIC I Regular Interest LT-AA minus the
Marker Rate, divided by (b) 12.

                  REMIC I OVERCOLLATERALIZED AMOUNT: With respect to any date of
determination, (i) 1% of the aggregate Uncertificated Principal Balances of the
REMIC I Regular Interests minus (ii) the Uncertificated Principal Balances of
the REMIC I Regular Interests (other than REMIC I Regular Interests LT-AA and
REMIC I Regular Interest LT-ZZ), in each case as of such date of determination.

                  REMIC I OVERCOLLATERALIZATION TARGET AMOUNT: 1% of the
Required Overcollateralization Amount.

                  REMIC I PRINCIPAL LOSS ALLOCATION AMOUNT: With respect to any
Distribution Date, an amount equal to the product of (i) the aggregate Stated
Principal Balance of the Mortgage Loans then outstanding and (ii) 1 minus a
fraction, the numerator of which is two times the sum of the Uncertificated
Principal Balances of REMIC I Regular Interests LT-A1, LT-A2, LT-A3, LT-M1,
LT-B1, LT-B2 and LT-B3 and the denominator of which is the sum of the
Uncertificated Principal Balances of REMIC I Regular Interests LT-A1, LT-A2,
LT-A3, LT-M1, LT-B1, LT-B2, LT-B3 and LT-ZZ.

                  REMIC I REGULAR INTERESTS: REMIC I Regular Interest LT-AA,
REMIC I Regular Interest LT-A1, REMIC I Regular Interest LT-A2, REMIC I Regular
Interest LT-A3, REMIC I Regular Interest LT-M1, REMIC I Regular Interest LT-B1,
REMIC I Regular Interest LT-B2, REMIC I Regular Interest LT-B3, REMIC I Regular
Interest LT-ZZ and REMIC I Regular Interest LT-P.

                  REMIC I REGULAR INTEREST LT-AA: A regular interest in REMIC I
that is held as an asset of REMIC II, that has an initial principal balance
equal to the related Uncertificated Principal Balance, that bears interest at
the related Uncertificated REMIC I Pass-Through Rate, and that has such other
terms as are described herein.

                  REMIC I REGULAR INTEREST LT-A1: A regular interest in REMIC I
that is held as an asset of REMIC II, that has an initial principal balance
equal to the related Uncertificated Principal Balance, that bears interest at
the related Uncertificated REMIC I Pass-Through Rate, and that has such other
terms as are described herein.

                  REMIC I REGULAR INTEREST LT-A2: A regular interest in REMIC I
that is held as an asset of REMIC II, that has an initial principal balance
equal to the related Uncertificated Principal Balance, that bears interest at
the related Uncertificated REMIC I Pass-Through Rate, and that has such other
terms as are described herein.

                  REMIC I REGULAR INTEREST LT-A3: A regular interest in REMIC I
that is held as an asset of REMIC II, that has an initial principal balance
equal to the related Uncertificated Principal Balance, that bears interest at
the related Uncertificated REMIC I Pass-Through Rate, and that has such other
terms as are described herein.

                                       35
<PAGE>

                  REMIC I REGULAR INTEREST LT-M1: A regular interest in REMIC I
that is held as an asset of REMIC II, that has an initial principal balance
equal to the related Uncertificated Principal Balance, that bears interest at
the related Uncertificated REMIC I Pass-Through Rate, and that has such other
terms as are described herein.

                  REMIC I REGULAR INTEREST LT-B1: A regular interest in REMIC I
that is held as an asset of REMIC II, that has an initial principal balance
equal to the related Uncertificated Principal Balance, that bears interest at
the related Uncertificated REMIC I Pass-Through Rate, and that has such other
terms as are described herein.

                  REMIC I REGULAR INTEREST LT-B2: A regular interest in REMIC I
that is held as an asset of REMIC II, that has an initial principal balance
equal to the related Uncertificated Principal Balance, that bears interest at
the related Uncertificated REMIC I Pass-Through Rate, and that has such other
terms as are described herein.

                  REMIC I REGULAR INTEREST LT-B3: A regular interest in REMIC I
that is held as an asset of REMIC II, that has an initial principal balance
equal to the related Uncertificated Principal Balance, that bears interest at
the related Uncertificated REMIC I Pass-Through Rate, and that has such other
terms as are described herein.

                  REMIC I REGULAR INTEREST LT-ZZ: A regular interest in REMIC I
that is held as an asset of REMIC II, that has an initial principal balance
equal to the related Uncertificated Principal Balance, that bears interest at
the related Uncertificated REMIC I Pass-Through Rate, and that has such other
terms as are described herein.

                  REMIC I REGULAR INTEREST LT-P: A regular interest in REMIC I
that is held as an asset of REMIC II, that has an initial principal balance
equal to the related Uncertificated Principal Balance, that bears interest at
the related Uncertificated REMIC I Pass-Through Rate, and that has such other
terms as are described herein.

                  REMIC I REGULAR INTEREST LT-ZZ MAXIMUM INTEREST DEFERRAL
AMOUNT: With respect to any Distribution Date, the sum of (a) the excess of (i)
Uncertificated Accrued Interest calculated with the Uncertificated Pass-Through
Rate for REMIC I Regular Interest LT-ZZ and an Uncertificated Principal Balance
equal to the excess of (x) the Uncertificated Principal Balance of REMIC I
Regular Interest LT-ZZ over (y) the REMIC I Overcollateralized Amount, in each
case for such Distribution Date, over (ii) Uncertificated Accrued Interest on
REMIC I Regular Interests LT-A1, LT-A2, LT-A3, LT-M1, LT-B1, LT-B2 and LT-B3,
with the rate on each such REMIC I Regular Interest subject to a cap equal to
the Pass-Through Rate on the Corresponding Class for the purpose of this
calculation.

                  REMIC II: The segregated pool of assets subject hereto,
constituting a portion of the primary trust created hereby and to be
administered hereunder, with respect to which a separate REMIC election is to be
made, consisting of the REMIC I Regular Interests.

                                       36
<PAGE>

                  REMIC II REGULAR CERTIFICATES: Any of the Class A-1, Class
A-2, Class A-3, Class M-1, Class B-1, Class B-2, Class B-3, Class X or Class P
Certificates.

                  "REMIC OPINION": A written opinion of independent counsel
experienced in federal income tax matters, who may not be a salaried counsel for
the Depositor or any Servicer, acceptable to the Trustee and the Certificate
Insurer, relating to (a) the qualification of any Trust REMIC as a REMIC or (b)
compliance with the REMIC Provisions.

                  "REMIC PROVISIONS": Provisions of the Code relating to real
estate mortgage investment conduits, which appear at Sections 860A through 860G
of the Code, related provisions and regulations (whether in proposed, temporary
or final form), announcements and rulings thereunder, as the foregoing may be in
effect from time to time.

                  "REMITTANCE AMOUNT": As of any Remittance Date, the sum,
without duplication, of (i) the amount remitted by GreenPoint to the Master
Servicer as set forth in the definition of "Remittance Amount" in Section 1.01
of the GreenPoint Servicing Agreement, (ii) all Monthly Payments (other than
Simple Interest Excess, if any), Curtailments, Principal Prepayments and other
payments of interest or principal received during the related Collection Period
(less the Servicing Fees with respect to such Mortgage Loans, which Servicing
Fees are reduced by Compensating Interest as provided in this Agreement), (ii)
Monthly Advances payable by the Servicers and the Master Servicer for such
Remittance Date pursuant to SECTION 8.05 or SECTION 9.02 hereof, (iii)
Compensating Interest payments remitted by the Servicers pursuant to SECTION
8.06 and by the Master Servicer pursuant to SECTION 9.03 hereof, (iv) any Loan
Purchase Price actually received by the Servicer during the Collection Period,
(v) any Indemnity Proceeds actually collected by the Servicers during the
related Collection Period, (vi) Net Liquidation Proceeds attributed to Mortgage
Loans liquidated during the related Collection Period and (vii) any amounts
withdrawn from the Simple Interest Excess Sub-Account to pay interest on the
Certificates with respect to such Remittance Date, in all cases after taking
into account items which are withdrawn from the Collection Account pursuant to
SECTION 8.04(D) hereto.

                  "REMITTANCE DATE": The 18th day of each calendar month, or if
such day is not a Business Day, the immediately preceding Business Day.

                  "REO PROPERTY": A Mortgaged Property acquired by the relevant
Servicer on behalf of the Trust through foreclosure or deed-in-lieu of
foreclosure in connection with a defaulted Mortgage Loan.

                  "REPRESENTATION LETTER": Letters to, or agreements with, the
Depository to effectuate a book-entry system with respect to the Certificates
registered in the Register under the nominee name of the Depository.

                  "REQUIRED OVERCOLLATERALIZATION AMOUNT": For any Distribution
Date:

                                       37
<PAGE>

                  (a) prior to the Stepdown Date and so long as no Trigger Event
         is in effect, $2,571,418 and

                  (b) on and after the Stepdown Date and so long as no Trigger
         Event is in effect, 2.00% of the Pool Balance (after giving effect to
         principal payments to be distributed on the related Distribution Date),
         subject to a floor of $1,285,709;

provided that (i) upon the occurrence and during the continuance of a Trigger
Event, the Required Overcollateralization Amount will equal the Required
Overcollateralization Amount as of the immediately preceding Distribution Date
(after giving effect to distributions on such date) and (ii) the Required
Overcollateralization Amount shall never exceed the then aggregate Certificate
Balance of the Certificates.

                  "RESIDUAL CERTIFICATES":  The Class R Certificates.

                  "RESIDUAL INTEREST": The sole class of "residual interests" in
a REMIC within the meaning of Section 860G(a)(2) of the Code.

                  "RETAINED LOANS": Mortgage loans acquired by the Depositor
pursuant to the Sale Agreements that were not transferred and assigned to the
Trust pursuant to SECTION 3.04(A).

                  "RULE 144A LETTER":  As defined in SECTION 5.02(B) hereof.

                  "SALE AGREEMENT": Each of (a) the Wells Fargo Sale Agreements
and (b) the Household Sale Agreement.

                  "SALE AND WARRANTIES AGREEMENT": The Sale and Warranties
Agreement dated as of January 1, 2003 among Goldman Sachs Mortgage Company, the
Depositor and the Trust.

                  "SCHEDULE OF MORTGAGE LOANS": The schedule of Mortgage Loans
listing each Mortgage Loan to be conveyed on the Closing Date and attached
hereto as Schedule I to this Agreement. Such Schedule of Mortgage Loans shall
identify, INTER ALIA, each Mortgage Loan by the relevant Servicer's loan number
and the Mortgagor's name and address (including the state) of the Mortgaged
Property and shall set forth as to each Mortgage Loan the lien status thereof,
the Original Principal Balance, the Mortgage Rate thereof, the current scheduled
monthly payment of principal and interest and the maturity of the related
Mortgage Note, the maturity date thereof, whether or not such Mortgage Loan
(including the related Mortgage Note) has been modified, whether such Mortgage
Loan is a Simple Interest Mortgage Loan and the Original Principal Balance of
all Mortgage Loans. Such Schedule shall also identify the Lifetime Rate Cap, the
Minimum Mortgage Rate, the Index, the Gross Margin and the Periodic Rate Cap
with respect to each Adjustable Rate Mortgage Loan and the Seller and Servicer
of each Mortgage Loan.

                  "SCHEDULED PAYMENT": As defined in the GreenPoint Servicing
Agreement.

                                       38
<PAGE>

                  "SCHEDULED PRINCIPAL BALANCE": With respect to any Mortgage
Loan as of any date other than the Cut-off Date, its original principal balance,
reduced by the principal portion of all payments that have been made or advanced
on or before such date, and Realized Losses of principal on such Mortgage Loan.
The Scheduled Principal Balance of a liquidated Mortgage Loan will equal zero.
The Scheduled Principal Balance of a Mortgage Loan as of the Cut-off Date is its
original principal balance, reduced by the principal portion of all payments
that have been made or were scheduled to have been made on or prior to the
Cut-off Date, and all reductions of principal as a result of modification of
such Mortgage Loan on or prior to such date.

                  "SECURITIES ACT":  The Securities Act of 1933, as amended.

                  "SELLER": Each of Household and Wells Fargo, in their
respective capacity as seller under the applicable Sale Agreement.

                  "SENIOR TRUSTEE EXPENSES": The meaning provided in SECTION
2.05.

                  "SERVICER": Each of Fairbanks and Wilshire and their
respective permitted successors and assigns.

                  "SERVICER TERMINATION EVENT": The meaning provided in (i)
SECTION 8.17 hereof with respect to Fairbanks and Wilshire and (ii) the events
of default described in Section 6.01 of the GreenPoint Servicing Agreement with
respect to GreenPoint.

                  "SERVICING ADVANCE": As defined in (i) SECTION 8.05 hereof
with respect to Fairbanks and Wilshire and (ii) an advance made by GreenPoint
pursuant to the GreenPoint Servicing Agreement.

                  "SERVICING CLAIM": As defined in (i) SECTION 8.03(A) hereof
with respect to Fairbanks and Wilshire and (ii) any claims, penalties, fines,
forfeitures, damages, liabilities, losses and expenses, including reasonable
attorney's fees subject to indemnification under Section 5.02 of the GreenPoint
Servicing Agreement with respect to GreenPoint.

                  "SERVICING COMPENSATION": With respect to any Mortgage Loan
and each Remittance Date, the amount equal to the sum of (i) the Servicing Fee
and (ii) all amounts in respect of late fees, assumption fees, release fees, bad
check charges and similar fees actually received. In addition, as compensation
for its servicing and administration services hereunder, the relevant Servicer
shall be entitled to retain as part of Servicing Compensation any interest paid
on Eligible Investments credited to the Collection Account.

                  "SERVICING FEE": With respect to each Collection Period and
(i) each Fairbanks Mortgage Loan and Wilshire Mortgage Loan, the product of (A)
the related Servicing Fee Rate, (B) the Stated Principal Balance of such
Mortgage Loan at the beginning of such Collection Period and (C) the number of
days during the Due Period for such Mortgage Loan that ended in such Collection
Period, for which interest accrued

                                       39
<PAGE>

on such Mortgage Loan, divided by 360. Except as otherwise provided in Section
8.12 of this Agreement, the right of Fairbanks and Wilshire to payment of the
Servicing Fee is limited to, and the Servicing Fee is payable solely from, the
interest portion of such Monthly Payment collected by such Servicer, and is
payable solely when such portion is collected.

                  "SERVICING FEE RATE": Shall mean (i) with respect to each
Contract, 1.00% per annum and (ii) with respect to each Mortgage Loan, 0.50% PER
ANNUM.

                  "SERVICING FILE": With respect to any Mortgage Loan, the file
(maintained in any form or format whatsoever, including in electronic form)
containing: (i) copies of certain documents executed or delivered in connection
with the closing of such Mortgage Loan, including without limitation copies of
the Mortgage Note, Mortgage and any assignments of such Mortgage, and (ii) any
servicing documentation which relates to such Mortgage Loan of the type
customarily included by the Servicers in their servicing files.

                  "SERVICING RECORDS": With respect to any Mortgage Loan, all
books and records in any form or format whatsoever (including records kept in
electronic form) that have been maintained by or for the Custodian, the relevant
Servicer or any Subservicer with respect to such Mortgage Loan, including all
documents (whether originals or copies), files, records, databases, computer
tapes, floppy disks, tax bills, assessment notices, binders and other proof of
insurance coverage, insurance policies, insurance premium notices, appraisals,
other closing documentation, payment history records, agreements and any other
records in any way relating to or evidencing the servicing of any such Mortgage
Loan.

                  "SERVICING STANDARDS": Shall mean (i) the servicing standards
for Fairbanks set forth on EXHIBIT C, and (ii) the servicing standards for
Wilshire set forth on EXHIBIT D.

                  "SIMPLE INTEREST CONTRACT": Any Contract that requires that
each monthly payment consist of an installment of interest which is calculated
according to the simple interest method. This method calculates interest using
the basis of the outstanding principal balance of the Simple Interest Contract
multiplied by the contract rate and further multiplied by a fraction, the
numerator of which is the number of days in the period elapsed since the
preceding payment of interest was made and the denominator of which is the
number of days in the annual period for which interest accrues on the Simple
Interest Contract.

                  "SIMPLE INTEREST EXCESS": As of any Remittance Date for each
Simple Interest Qualifying Loan, the excess, if any, of (i) the portion of the
Monthly Payment received from the Mortgagor for such Mortgage Loan allocable to
interest with respect to the related Collection Period, over (ii) 30 days'
interest on such Mortgage Loan at the then applicable Mortgage Rate.

                                       40
<PAGE>

                  "SIMPLE INTEREST EXCESS SUB-ACCOUNT": The sub-account of the
Collection Account established by the related Servicer, pursuant to Section
8.07(d). The Simple Interest Excess Sub-Account shall be an Eligible Account.

                  "SIMPLE INTEREST MORTGAGE LOAN: Any Mortgage Loan for which
the interest due thereon is calculated based on the actual number of days
elapsed between the date on which interest was last paid through the date on
which the most current payment is received.

                  "SIMPLE INTEREST QUALIFYING LOAN: As of any Determination
Date, any Simple Interest Mortgage Loan that was neither prepaid in full during
the related Collection Period, nor delinquent with respect to a payment that
became due during the related Collection Period as of the close of business on
the Determination Date following such Collection Period.

                  "SIMPLE INTEREST SHORTFALL: As of any Remittance Date for each
Simple Interest Qualifying Loan, the excess, if any, of (i) 30 days' interest on
such Mortgage Loan at the then applicable Mortgage Rate, over (ii) the portion
of the Monthly Payment received from the Mortgagor for such Mortgage Loan
allocable to interest with respect to the related Collection Period.

                  "SIXTY-DAY DELINQUENCY RATIO": With respect to any
Distribution Date shall mean (i) with respect to the Fairbanks Mortgage Loans, a
fraction, expressed as a percentage, the numerator of which is the aggregate of
the Stated Principal Balances of all Fairbanks Mortgage Loans that were
Delinquent 60 days or more as of the end of the calendar month preceding such
Distribution Date (including Fairbanks Mortgage Loans in foreclosure, Fairbanks
Mortgage Loans as to which the borrower is the subject of pending bankruptcy
proceedings and Fairbanks Mortgage Loans relating to REO Properties), and the
denominator of which is the sum of the aggregate Stated Principal Balance of all
the Fairbanks Mortgage Loans as of the end of such calendar month and (ii) with
respect to the Wilshire Mortgage Loans, a fraction, expressed as a percentage,
the numerator of which is the aggregate of the Stated Principal Balances of all
Wilshire Mortgage Loans that were Delinquent 60 days or more as of the end of
the calendar month preceding such Distribution Date (including Wilshire Mortgage
Loans in foreclosure, Wilshire Mortgage Loans as to which the borrower is the
subject of pending bankruptcy proceedings and Wilshire Mortgage Loans relating
to REO Properties), and the denominator of which is the sum of the aggregate
Stated Principal Balance of all the Wilshire Mortgage Loans as of the end of
such calendar month.

                  "STANDARD & POOR'S": Standard & Poor's Ratings Services, a
Division of The McGraw-Hill Companies, Inc. or any successor thereto.

                  "STARTUP DAY":  The Closing Date.

                  "STATED PRINCIPAL BALANCE": Shall mean (i) with respect to
each Simple Interest Mortgage Loan or Simple Interest Contract, the Actual
Principal Balance thereof

                                       41
<PAGE>

and (ii) with respect to each Actuarial Contract or Conventional Mortgage Loan,
the Scheduled Principal Balance thereof.

                  "STEPDOWN DATE": For each Certificate, the earlier to occur
of:

                           (1)      the later to occur of:

                                    (A)      the Distribution Date in February
                                             2006,

                                    (B)      the first Distribution Date on
                                             which the Credit Enhancement
                                             Percentage for the Class A
                                             Certificates is greater than or
                                             equal to 19.00%, and

                           (2)      the Distribution Date on which the aggregate
                                    Certificate Balance of the Class A
                                    Certificates has been reduced to zero.

                  "TAX MATTERS PERSON": With respect to any Trust REMIC, the
Person designated as the "Tax Matters Person" of such Trust REMIC pursuant to
Treasury Regulation Section 1.860F-4(d).

                  "TELERATE PAGE 3750": The display designated as page "3750" on
the Dow Jones Telerate Capital Markets Report (or such other page as may replace
page 3750 on that report for the purpose of displaying London interbank offered
rates of major banks).

                  "TERMINATION NOTICE":  As defined in SECTION 10.03.

                  "THREE-MONTH ROLLING AVERAGE SIXTY-DAY DELINQUENCY RATE": With
respect to any Distribution Date commencing on the fourth Distribution Date, the
arithmetic average of the applicable Sixty-Day Delinquency Ratio for such
Distribution Date and each of the two preceding Distribution Dates.

                  "TRANSFER": Any direct or indirect transfer, sale, pledge,
hypothecation, or other form of assignment of any Ownership Interest in a
Certificate.

                  "TRANSFER AFFIDAVIT":  As defined in SECTION 5.02(C) hereof.

                  "TRANSFEREE": Any Person who is acquiring by Transfer any
Ownership Interest in a Certificate.

                  "TRANSFEROR": Any Person who is disposing by Transfer of any
Ownership Interest in a Certificate.

                  "TRANSFEROR CERTIFICATE": As defined in SECTION 5.02(B)
hereof.

                  "TRIGGER EVENT": With respect to any Distribution Date, a
Trigger Event exists if (i) the quotient (expressed as a percentage) of (1) the
rolling three month average of the aggregate Stated Principal Balance of 60+ Day
Delinquent Mortgage Loans,

                                       42
<PAGE>

divided by (2) the aggregate Stated Principal Balance of the Mortgage Loans as
of the last day of the related Due Period, equals or exceeds 15.00% for such
Distribution Date or (ii) the quotient (expressed as a percentage) of (x) the
aggregate amount of Realized Losses incurred since the Cut-off Date through the
last day of the related Collection Period divided by (y) the Original Pool
Balance, exceeds the applicable percentages set forth below with respect to such
Distribution Date:

<TABLE>
<CAPTION>
     DISTRIBUTION DATE OCCURRING IN                        LOSS PERCENTAGE
     ------------------------------                        ---------------
<S>                                                        <C>
     February 2006 through January 2007                    5.75% for the first  month,  plus an  additional
                                                           1/12th of 2.50% for each  month  thereafter,  to
                                                           8.25%

     February 2007 through January 2008                    8.25% for the first  month,  plus an  additional
                                                           1/12th of 1.25% for each  month  thereafter,  to
                                                           9.50%

     February 2008 through January 2009                    9.50% for the first  month,  plus an  additional
                                                           1/12th of 1.25% for each  month  thereafter,  to
                                                           10.75%

     February 2009 and thereafter                          10.75%
</TABLE>

                  "TRUST": GSRPM Mortgage Loan Trust 2003-1, the trust created
under this Agreement.

                  "TRUST ESTATE": As defined in the conveyance clause under this
Agreement.

                  "TRUST EXPENSES": All extraordinary, unanticipated expenses of
the Trust (including expenses of enforcing the Mortgage Loans), Advances (other
than those not permitted to be recovered from the Trust Estate) that are not
recovered from the related Mortgage Loan, Servicing Advances, to the extent not
made by the relevant Servicer or the Master Servicer, indemnity obligations of
the Trust, and other expenses permitted to be incurred hereunder and recovered
from the Trust Estate.

                  "TRUST REMIC":  REMIC I or REMIC II.

                  "TRUSTEE": JPMorgan Chase Bank, a New York banking
corporation, the Corporate Trust Department of which is located on the date of
execution of this Agreement at 4 New York Plaza, 6th Floor, New York, NY 10004,
Attention: Institutional Trust Services/Structured Finance Services, GSRPM
Mortgage Securities Corp., Series 2003-1 not in its individual capacity but
solely as Trustee under this Agreement, and any successor hereunder.

                                       43
<PAGE>

                  "TRUSTEE FEE": The fee payable monthly to the Trustee on each
Distribution Date in an amount equal to the product of (i) the Trustee Fee Rate
and (ii) the Stated Principal Balance of each Mortgage Loan at the beginning of
the Collection Period related to such Distribution Date, which shall be subject
to a minimum of $7,500 annually.

                  "TRUSTEE FEE RATE":  0.0025 PER ANNUM.

                  "UCC": The Uniform Commercial Code, as in effect in the
relevant jurisdiction, as amended from time to time.

                  "UNCERTIFICATED ACCRUED INTEREST": With respect to any
Uncertificated Regular Interest for any Distribution Date, one month's interest
at the related Uncertificated Pass-Through Rate for such Distribution Date,
accrued on the Uncertificated Principal, immediately prior to such Distribution
Date. Uncertificated Accrued Interest for the Uncertificated Regular Interests
shall accrue on the basis of a 360-day year consisting of twelve 30-day months.
For purposes of calculating the amount of Uncertificated Accrued Interest for
the REMIC I Regular Interests for any Distribution Date, any Prepayment Interest
Shortfalls (to the extent not covered by Compensating Interest) relating to the
Mortgage Loans for any Distribution Date shall be allocated first, to
Uncertificated Accrued Interest payable to REMIC I Regular Interest LT-AA and
REMIC I Regular Interest LT-ZZ up to an aggregate amount equal to the REMIC I
Interest Loss Allocation Amount, 98% and 2%, respectively, and thereafter any
remaining Prepayment Interest Shortfalls (to the extent not covered by
Compensating Interest) relating to the Mortgage Loans for any Distribution Date
shall be allocated among REMIC I Regular Interests LT-AA, LT-A1, LT-A2, LT-A3,
LT-M1, LT-B1, LT-B2, LT-B3 and LT-ZZ, pro rata based on, and to the extent of,
Uncertificated Accrued Interest, as calculated without application of this
sentence.

                  "UNCERTIFICATED PRINCIPAL BALANCE": The principal amount of
any Uncertificated Regular Interest outstanding as of any date of determination.
The Uncertificated Principal Balance of each Uncertificated Regular Interest
shall be reduced by all distributions of principal made on such Uncertificated
Regular Interest, as applicable, on such Distribution Date and, if and to the
extent necessary and appropriate, shall be further reduced in such Distribution
Date by Realized Losses. The Uncertificated Principal Balance of each
Uncertificated Regular Interest shall never be less than zero.

                  "UNCERTIFICATED REMIC I PASS-THROUGH RATE": With respect to
any Distribution Date, a per annum rate equal to the Adjusted WAC Rate.

                  "UNCERTIFICATED REGULAR INTERESTS": The REMIC I Regular
Interests.

                  "UNDERWRITER ": Goldman, Sachs & Co., in its capacity as
Underwriter under the Underwriting Agreement, dated as of January 29, 2003,
between the Depositor and the Underwriter.

                                       44
<PAGE>

                  "UNITED STATES PERSON": A citizen or resident of the United
States, a corporation, partnership or other entity created or organized in, or
under the laws of, the United States or any political subdivision thereof
(except, in the case of a partnership, to the extent provided in regulations)
provided that, for purposes solely of the restrictions on the transfer of any
Class R Certificate, no partnership or other entity treated as a partnership for
United States federal income tax purposes shall be treated as a United States
Person unless all persons that own an interest in such partnership either
directly or through any entity that is not a corporation for United States
federal income tax purposes are required to be United States Persons, or an
estate whose income is subject to United States federal income tax regardless of
its source, or 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 United
States persons have the authority to control all substantial decisions of the
trust. To the extent prescribed in regulations by the Secretary of the Treasury,
which have not yet been issued, a trust which was in existence on August 20,
1996 (other than a trust treated as owned by the grantor under subpart E of part
I of subchapter J of chapter I of the Code), and which was treated as a United
States person on August 20, 1996 may elect to continue to be treated as a United
States person notwithstanding the previous sentence. The term "United States"
shall have the meaning set forth in Section 7701 of the Code.

                  "WAC CAP": As to any Distribution Date and (i) the Class A
Certificates, the Adjusted WAC Rate minus the Certificate Insurer Premium
Percentage and (ii) the Class M-1 and Class B Certificates, the Adjusted WAC
Rate.

                   "WELLS FARGO" Wells Fargo Home Mortgage, Inc.

                  "WELLS FARGO SALE AGREEMENTS": Shall mean (a) the Mortgage
Loan Purchase Agreement, dated as of June 24, 2002, between the Goldman Sachs
Mortgage Company and Wells Fargo and (b) the Mortgage Loan Purchase Agreement,
dated as of August 15, 2002, between the Goldman Sachs Mortgage Company and
Wells Fargo.

                  "WILSHIRE CUSTODIAL AGREEMENT": The Custody Agreement dated as
of January 1, 2003 among the Trust, Wilshire and the Custodian.

                  "WILSHIRE MORTGAGE LOANS": The Mortgage Loans included in
Schedule I that are serviced by Wilshire pursuant to this Agreement.

                  "WILSHIRE TERMINATION TRIGGER EVENT": A Wilshire Termination
Trigger Event shall occur if on any date of determination (i) the Three-Month
Rolling Average Sixty-Day Delinquency Rate of the Wilshire Mortgage Loans
exceeds 18% of the aggregate Stated Principal Balance of the Wilshire Mortgage
Loans or (ii) the quotient (expressed as a percentage) of (x) the aggregate
amount of Realized Losses incurred on the Wilshire Mortgage Loans since the
Cut-off Date through the last day of the related Collection Period divided by
(y) the aggregate Stated Principal Balance of the Wilshire Mortgage Loans as of
the Cut-off Date, exceeds the applicable percentages set forth below with
respect to such Distribution Date:

                                       45
<PAGE>

<TABLE>
<CAPTION>
     DISTRIBUTION DATE OCCURRING IN                        LOSS PERCENTAGE
     ------------------------------                        ---------------
<S>                                                        <C>
     February 2006 through January 2007                    5.175% for the first month,  plus an  additional
                                                           1/12th of 2.250% for each month  thereafter,  to
                                                           7.425%

     February 2007 through January 2008                    7.425% for the first month,  plus an  additional
                                                           1/12th of 1.125% for each month  thereafter,  to
                                                           8.550%

     February 2008 through January 2009                    8.550% for the first month,  plus an  additional
                                                           1/12th of 1.125% for each month  thereafter,  to
                                                           9.675%

     February 2009 and thereafter                          9.675%
</TABLE>

                  1.02 USE OF WORDS AND PHRASESThe terms "herein," "hereby,"
"hereunder," "hereof," "hereinbefore," "hereinafter" and other equivalent words
refer to this Agreement as a whole and not solely to the particular section of
this Agreement in which any such word is used. The definitions set forth in
SECTION 1.01 include both the singular and the plural. Whenever used in this
Agreement, any pronoun shall be deemed to include both singular and plural and
to cover all genders.

                  1.03 CAPTIONS; TABLE OF CONTENTS.

                  The captions or headings in this Agreement and the Table of
Contents are for convenience only and in no way define, limit or describe the
scope and intent of any provisions of this Agreement.

                  1.04 OPINIONS.

                  Each opinion with respect to the validity, binding nature and
enforceability of documents or Certificates may be qualified to the extent that
the same may be limited by applicable bankruptcy, insolvency, reorganization,
moratorium or other similar laws affecting the enforcement of creditors' rights
generally and by general principles of equity (whether considered in a
proceeding or action in equity or at law) and may state that no opinion is
expressed on the availability of the remedy of specific enforcement, injunctive
relief or any other equitable remedy. Any opinion required to be furnished by
any Person hereunder must be delivered by counsel upon whose opinion the
addressee of such opinion may reasonably rely, and such opinion may state that
it is given in reasonable reliance upon an opinion of another, a copy of which
must be attached, concerning the laws of a foreign jurisdiction.

                  1.05 ALLOCATION OF CERTAIN INTEREST SHORTFALLS.

                                       46
<PAGE>

                           For purposes of calculating the amount of Accrued
Certificate Interest for the Class A Certificates, the Class M-1 Certificates,
the Class B Certificates and the Class X Certificates for any Distribution Date,
(1) the aggregate amount of any Compensating Interest Shortfalls and any Relief
Act Shortfalls incurred in respect of the Mortgage Loans for any Distribution
Date shall be allocated first, to the Class X Certificates based on, and to the
extent of, one month's interest at the then applicable respective Pass-Through
Rate and, thereafter, among the Class B-3 Certificates, Class B-2 Certificates,
the Class B-1 Certificates, the Class M-1 Certificates and the Class A
Certificates, in that order, in each case on a pro rata basis based on, and to
the extent of, one month's interest at the then applicable respective
Pass-Through Rate on the respective Certificate Balance of each such Certificate
and (2) the aggregate amount of any Realized Losses allocated to the
Certificates and Basis Risk Carry Forward Amounts paid to the Class A
Certificates, the Class M-1 Certificates and the Class B Certificates incurred
for any Distribution Date shall be allocated to the Class X Certificates on a
pro rata basis based on, and to the extent of, one month's interest at the then
applicable Pass-Through Rate.

                  For purposes of calculating the amount of Uncertificated
Accrued Interest for the REMIC II Regular Interests for any Distribution Date,
the aggregate amount of any Prepayment Interest Shortfalls and any Relief Act
Shortfalls incurred in respect of the Mortgage Loans for any Distribution Date
shall be allocated as provided in Section 7.07(b) hereof.

                                       47
<PAGE>

                                   ARTICLE II

                   ESTABLISHMENT AND ORGANIZATION OF THE TRUST

                  2.01 ESTABLISHMENT OF THE TRUST.

                  The parties hereto do hereby create and establish, pursuant to
the laws of the State of New York and this Agreement, the Trust, which, for
convenience, shall be known as "GSRPM MORTGAGE LOAN TRUST 2003-1."

                  2.02 OFFICE.

                  The office of the Trust shall be in care of the Trustee, at
the Corporate Trust Office, or at such other address as the Trustee may
designate by notice to the Depositor and the Servicers.

                  2.03 PURPOSES AND POWERS.

                  The purpose of the Trust is to engage in the following
activities and only such activities: (i) the issuance of the Certificates, the
REMIC I Regular Interests, the Class R-I Interest and the Class R-II Interests
and the acquiring, owning and holding of Mortgage Loans and the Trust Estate in
connection therewith; (ii) activities that are necessary, suitable or convenient
to accomplish the foregoing or are incidental thereto or connected therewith,
including the investment of moneys in accordance with this Agreement; and (iii)
such other activities as may be required in connection with conservation of the
Trust Estate and distributions to the Owners; PROVIDED, HOWEVER, that nothing
contained herein shall permit the Trustee to take any action which would
adversely affect the status of any Trust REMIC as a REMIC.

                  2.04 APPOINTMENT OF THE TRUSTEE; DECLARATION OF TRUST.

                  The Depositor hereby appoints the Trustee, as trustee of the
Trust effective as of the Closing Date, to have all the rights, powers and
duties set forth herein. The Trustee hereby acknowledges and accepts such
appointment, represents and warrants its eligibility as of the Closing Date to
serve as trustee pursuant to SECTION 11.07 and declares that it will hold the
Trust Estate in trust upon and subject to the conditions set forth herein for
the benefit of the Owners and the Certificate Insurer.

                  2.05 EXPENSES OF THE TRUST.

                  Such expenses of the Trust as are authorized to be paid
hereunder, including (i) the Trustee Fee and (ii) all amounts owing to the
Trustee on account of reimbursement of unanticipated out-of-pocket expenses and
any indemnification owed to the Trustee (the amounts in this clause (ii),
"SENIOR TRUSTEE EXPENSES") and the

                                       48
<PAGE>

Certificate Insurer Premium shall be paid out of the Certificate Account in the
priority set forth in SECTION 7.06(B)(I). The Trustee shall not be permitted to
be reimbursed for any third-party expenses, other than as set forth in the
preceding sentence, incurred by it for any custodial services required to be
performed by it hereunder.

                  2.06 OWNERSHIP OF THE TRUST.

                  On the Closing Date, the ownership interests in the Trust
shall be transferred as set forth in SECTION 4.02, such transfer to be evidenced
by sale of the Certificates as described in SECTION 4.02. Thereafter, transfer
of any ownership interest shall be governed by Article V of this Agreement.

                  2.07 SITUS OF THE TRUST.

                  It is the intention of the parties hereto that the Trust
constitute a trust under the laws of the State of New York. The Trust will be
created and administered in, and all Accounts maintained by the Trustee on
behalf of the Trust will be located in, the State of New York. The Trust will
not have any employees and will not have any real or personal property (other
than such real or personal property acquired pursuant to SECTION 8.10) located
in any state other than in the State of New York and payments will be received
by the Trustee only in the State of New York and payments from the Trustee will
be made only from the State of New York.

                  2.08 RESERVED.

                  2.09 THE CERTIFICATES.

                  Each Class of Certificates, other than the Class R
Certificates, will consist of a unit comprising a REMIC II Regular Certificate
(which will be designated as a regular interest).

                  2.10 INDEMNIFICATION WITH RESPECT TO CERTAIN TAXES AND LOSS OF
REMIC STATUS.

                  (a) In the event that either of REMIC I or REMIC II fails to
         qualify as a REMIC, loses its status as a REMIC, or incurs state or
         local taxes, or a tax as a result of a Prohibited Transaction or
         contribution subject to taxation under the REMIC Provisions due to the
         willful misfeasance, bad faith or negligent performance by the Trustee
         of its duties and obligations specifically set forth herein, or by
         reason of the Trustee's reckless disregard of its obligations and
         duties hereunder, the Trustee shall indemnify the Trust against any and
         all losses, claims, damages, liabilities or expenses ("LOSSES")
         resulting therefrom; PROVIDED, HOWEVER, that the Trustee shall not be
         liable for any such Losses or portion thereof attributable to the
         action or inaction of any relevant Servicer, the Depositor, or the
         Holders of the Residual Certificates nor for any such Losses or portion
         thereof resulting from misinformation provided by the Holders of the
         Residual Certificates, any relevant Servicer, or the Depositor, on
         which the Trustee has

                                       49
<PAGE>

         relied. The foregoing shall not be deemed to limit or restrict the
         rights and remedies of successor Holders of the Residual Certificates
         at law or in equity.

                  (b) In the event that either of REMIC I or REMIC II fails to
         qualify as a REMIC, loses its status as a REMIC, or incurs state or
         local taxes, or a tax as a result of a prohibited transaction or
         contribution subject to taxation under the REMIC Provisions due to the
         willful misfeasance, bad faith or negligent performance of the relevant
         Servicer in the performance of its duties and obligations set forth
         herein, or by reason of such Servicer's reckless disregard of its
         obligations and duties thereunder, such Servicer shall indemnify the
         Trust against any and all Losses resulting therefrom; PROVIDED,
         HOWEVER, that such Servicer shall not be liable for any such Losses
         attributable to the action or inaction of the Trustee, the Depositor,
         the Holder of the Residual Certificates nor for any such Losses
         resulting from misinformation provided by the Trustee, the Depositor or
         the Holder of the Residual Certificates on which such Servicer
         reasonably has relied. The foregoing shall not be deemed to limit or
         restrict the rights and remedies of any successor Holder of the
         Residual Certificates at law or in equity.

                                  ARTICLE III

           REPRESENTATIONS, WARRANTIES AND COVENANTS OF THE DEPOSITOR
                   AND THE SERVICERS; REMEDIES UPON BREACHES

                  3.01 REPRESENTATIONS AND WARRANTIES OF THE DEPOSITOR.

                  The Depositor hereby represents, warrants and covenants to the
Trustee, the Servicers, the Certificate Insurer and the Owners that as of the
Closing Date:

                  (a) The Depositor is a corporation duly organized, validly
         existing and in good standing under the law of the State of Delaware.
         The Depositor has the power and authority to execute, deliver and
         perform its obligations under this Agreement and to enter into the
         transactions contemplated hereby under the laws of the State of
         Delaware.

                  (b) The execution and delivery by the Depositor of this
         Agreement and the other Operative Documents to which it is a party and
         the performance and compliance with the terms hereof and thereof by the
         Depositor have been duly authorized by all required action on the part
         of the Depositor and will not violate the Depositor's constitutive
         documents or constitute a default (or an event which, with notice or
         lapse of time, or both, would constitute a default) under, or result in
         a breach of, any material contract, agreement or other instrument to
         which the Depositor is a party or by which the Depositor is bound or
         violate any statute or

                                       50
<PAGE>

         any order, rule or regulation of any court, governmental agency or body
         or other tribunal having jurisdiction over the Depositor or any of its
         properties.

                  (c) This Agreement and the other Operative Documents to which
         the Depositor is a party, assuming due authorization, execution and
         delivery by the other parties hereto and thereto, each constitutes a
         valid, legal and binding obligation of the Depositor, enforceable
         against it in accordance with the terms hereof and thereof, except as
         the enforcement thereof may be limited by applicable bankruptcy,
         insolvency, reorganization, moratorium or other similar laws affecting
         creditors' rights generally and by general principles of equity
         (whether considered in a proceeding or action in equity or at law).

                  (d) The Depositor is not in default with respect to any order
         or decree of any court or any order, regulation or demand of any
         federal, state, municipal or governmental agency, which default would
         materially and adversely affect the condition (financial or other) or
         operations of the Depositor or its properties or the consequences of
         which would materially and adversely affect its performance hereunder
         or under the other Operative Documents to which the Depositor is a
         party.

                  (e) No litigation is pending with respect to which the
         Depositor has received service of process or, to the best of the
         Depositor's knowledge, threatened against the Depositor which
         litigation might have consequences that would prohibit its entering
         into this Agreement or any other Operative Documents to which it is a
         party or that would materially and adversely affect the condition
         (financial or otherwise) or operations of the Depositor or its
         properties or might have consequences that would materially and
         adversely affect its performance hereunder and under the other
         Operative Documents to which the Depositor is a party.

                  (f) No certificate of an officer, statement furnished in
         writing or report delivered pursuant to the terms hereof by the
         Depositor contains any untrue statement of a material fact or omits to
         state any material fact necessary to make the certificate, statement or
         report not misleading.

                  (g) All actions, approvals, consents, waivers, exemptions,
         variances, franchises, orders, permits, authorizations, rights and
         licenses required to be taken, given or obtained, as the case may be,
         by or from any federal, state or other governmental authority or agency
         (other than any such actions, approvals, etc. under any state
         securities laws, real estate syndication or "Blue Sky" statutes, as to
         which the Depositor makes no such representation or warranty), that are
         necessary or advisable in connection with the purchase and sale of the
         Certificates and the execution and delivery by the Depositor of the
         Operative Documents to which it is a party, have been duly taken, given
         or obtained, as the case may be, are in full force and effect on the
         date hereof, are not subject to any pending proceedings or appeals
         (administrative, judicial or otherwise) and either the time

                                       51
<PAGE>

         within which any appeal therefrom may be taken or review thereof may be
         obtained has expired or no review thereof may be obtained or appeal
         therefrom taken, and are adequate to authorize the consummation of the
         transactions contemplated by this Agreement and the other Operative
         Documents on the part of the Depositor and the performance by the
         Depositor of its obligations under this Agreement and such of the other
         Operative Documents to which it is a party.

                  (h) Immediately prior to the sale, assignment, transfer and
         conveyance described in SECTION 3.04(A)(I), the Depositor will hold
         good title to, and be the sole owner of, the Mortgage Loans referred to
         therein free and clear of any liens, charges, mortgages, encumbrances
         or rights of others (other than liens which will be simultaneously
         released).

                  (i) The Depositor has valid business reasons for entering into
         the transactions contemplated by this Agreement (including, without
         limitation, the sale of its interests in the Mortgage Loans and other
         assets in the Trust Estate to the Trustee).

                  (j) The Depositor is not insolvent, nor will it be made
         insolvent by the transfer of the Mortgage Loans and other assets in the
         Trust Estate, nor is the Depositor aware of any pending insolvency.

                  (k) The sale, assignment, transfer and conveyance of the
         Mortgage Notes and the Mortgages by the Depositor hereunder are not
         subject to the bulk transfer laws or any similar statutory provisions
         in effect in any applicable jurisdiction.

                  (l) The Depositor is not transferring the Mortgage Loans and
         other assets in the Trust Estate to the Trustee with any intent to
         hinder, delay or defraud its creditors.

                  (m) The Depositor received fair consideration and reasonably
         equivalent value in exchange for the sale, assignment, transfer and
         conveyance of its interests in the Mortgage Loans and other assets in
         the Trust Estate to the Trustee.

                  It is understood and agreed that the representations and
warranties set forth in this SECTION 3.01 shall survive delivery of the
respective Mortgage Loans to the Trustee.

                  3.02 REPRESENTATIONS AND WARRANTIES OF THE SERVICERS.

                  (a) Fairbanks hereby represents, warrants and covenants to the
         Trustee, Wilshire, the Depositor, the Certificate Insurer and the
         Owners that as of the Closing Date:

                  (i) Fairbanks is a corporation duly organized, validly
         existing, and in good standing under the laws of the State of Utah and
         is in compliance with the

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<PAGE>

         laws of each state in which any Mortgaged Property related to a
         Fairbanks Mortgage Loan is located to the extent necessary to ensure,
         in its role as a Servicer, the enforceability of each Fairbanks
         Mortgage Loan and to perform its obligations hereunder.

                  (ii) Neither the execution and delivery by Fairbanks of this
         Agreement, nor the consummation by it of the transactions contemplated
         hereby, nor the performance of and compliance by Fairbanks with the
         provisions hereof, will conflict with or result in a breach or
         violation of, or constitute a default (or an event which, with notice
         or the lapse of time, or both, would constitute a default) under, the
         organizational documents (its charter and by-laws) of Fairbanks, or any
         of the provisions of any Law binding on Fairbanks, or any of its
         properties, or any of the provisions of any indenture, mortgage,
         contract, instrument, or other document to which Fairbanks is a party
         or by which it is bound, or result in the creation or imposition of any
         lien, charge, or encumbrance upon any of its respective properties
         pursuant to the terms of any indenture, mortgage, contract, instrument,
         or other document. Fairbanks is not otherwise in violation of any Law,
         which violation, in Fairbanks's good faith and reasonable judgment, is
         likely to affect materially and adversely either its ability to perform
         its obligations hereunder, or the financial condition of Fairbanks.

                  (iii) The execution and delivery by Fairbanks of this
         Agreement, the consummation of the transactions contemplated hereby,
         and the performance and compliance by Fairbanks with the terms hereof
         are within the powers of Fairbanks, and have been duly authorized by
         all necessary action on the part of Fairbanks. This Agreement has been
         duly executed and delivered by Fairbanks and, upon the due execution,
         authorization and delivery by the other parties hereto, constitutes the
         legal, valid and binding obligation of Fairbanks, enforceable against
         it in accordance with its terms, subject to applicable bankruptcy,
         insolvency, reorganization, moratorium, and other similar laws
         affecting creditors' rights generally, and to general principles of
         equity, regardless of whether such enforcement is considered in a
         proceeding in equity or at law. Fairbanks has obtained all consents,
         approvals, authorizations, or orders, and made all registrations or
         qualifications with, any court or regulatory authority or other
         governmental body having jurisdiction over Fairbanks, which consent,
         approval, authorization, order, registration, or qualification is
         required for, and the absence of which would materially and adversely
         affect, the legal and valid execution, delivery, and performance of
         this Agreement by Fairbanks.

                  (iv) Fairbanks possesses such certificates, authorizations,
         licenses, and permits issued by the appropriate state, federal, and
         foreign regulatory agencies or bodies necessary to conduct the business
         now operated by it, except to the extent that the failure of Fairbanks
         to possess any such certificate, authorization, license or permit would
         not have a material adverse effect on the ability of Fairbanks to
         perform its obligations hereunder.

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<PAGE>

                  (v) No litigation is pending or, to the best of Fairbanks's
         knowledge, threatened against it, which, if determined adversely to
         Fairbanks would prohibit Fairbanks from entering into this Agreement
         or, in the good faith and reasonable judgment of Fairbanks, is likely
         to materially and adversely affect either its ability to perform its
         obligations hereunder or the financial condition of Fairbanks.
         Fairbanks has no knowledge of any recent adverse financial condition or
         event with respect to itself that, in its good faith and reasonable
         judgment, is likely to materially and adversely affect its ability to
         perform its obligations hereunder.

                  (vi) Each officer, director, employee, consultant and advisor
         of Fairbanks with responsibilities concerning the servicing and
         administration of the Fairbanks Mortgage Loans is covered by errors and
         omissions insurance and fidelity bond insurance in the amounts and with
         coverage consistent with Accepted Servicing Practices. Neither
         Fairbanks nor any of its officers, directors, employees, consultants,
         or advisors involved in the servicing or administration of the
         Fairbanks Mortgage Loans has been refused such coverage or insurance.

                  (vii) Fairbanks is an entity that engages in the business of
         originating, acquiring or servicing mortgage loans, and is authorized
         to transact business in the state or states where the related mortgaged
         properties it is to service are situated and is a Fannie Mae-approved
         mortgage seller-servicer and/or a Freddie Mac-approved mortgage
         servicer for first and second mortgage loans (to the extent Fannie Mae
         and/or Freddie Mac approval is required under applicable Law). In
         addition, Fairbanks will obtain and preserve its qualification to do
         business as a foreign corporation in each jurisdiction in which such
         qualification is or shall be necessary to protect the validity and
         enforceability of the Fairbanks Mortgage Loans or this Agreement, and
         to perform its duties hereunder. Fairbanks meets the equity and other
         eligibility requirements consistent with Accepted Servicing Practices.

                  (b) Wilshire hereby represents, warrants and covenants to the
Trustee, the Depositor, Fairbanks, the Certificate Insurer and the Owners that
as of the Closing Date:

                  (i) Wilshire is a corporation duly organized, validly
         existing, and in good standing under the laws of the State of Nevada
         and is in compliance with the laws of each state in which any Mortgaged
         Property related to a Wilshire Mortgage Loan is located to the extent
         necessary to ensure, in its role as a Servicer, the enforceability of
         each Wilshire Mortgage Loan and to perform its obligations hereunder.

                  (ii) Neither the execution and delivery by Wilshire of this
         Agreement, nor the consummation by it of the transactions contemplated
         hereby, nor the performance of and compliance by Wilshire with the
         provisions hereof, will conflict with or result in a breach or
         violation of, or constitute a default (or an event which, with notice
         or the lapse of time, or both, would constitute a default)

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<PAGE>

         under, the organizational documents (its charter and by-laws) of
         Wilshire, or any of the provisions of any Law binding on Wilshire, or
         any of its properties, or any of the provisions of any indenture,
         mortgage, contract, instrument, or other document to which Wilshire is
         a party or by which it is bound, or result in the creation or
         imposition of any lien, charge, or encumbrance upon any of its
         respective properties pursuant to the terms of any indenture, mortgage,
         contract, instrument, or other document. Wilshire is not otherwise in
         violation of any Law, which violation, in Wilshire's good faith and
         reasonable judgment, is likely to affect materially and adversely
         either its ability to perform its obligations hereunder, or the
         financial condition of Wilshire.

                  (iii) The execution and delivery by Wilshire of this
         Agreement, the consummation of the transactions contemplated hereby,
         and the performance and compliance by Wilshire with the terms hereof
         are within the powers of Wilshire, and have been duly authorized by all
         necessary action on the part of Wilshire. This Agreement has been duly
         executed and delivered by Wilshire and, upon the due execution,
         authorization and delivery by the other parties hereto, constitutes the
         legal, valid and binding obligation of Wilshire, enforceable against it
         in accordance with its terms, subject to applicable bankruptcy,
         insolvency, reorganization, moratorium, and other similar laws
         affecting creditors' rights generally, and to general principles of
         equity, regardless of whether such enforcement is considered in a
         proceeding in equity or at law. Wilshire has obtained all consents,
         approvals, authorizations, or orders, and made all registrations or
         qualifications with, any court or regulatory authority or other
         governmental body having jurisdiction over Wilshire, which consent,
         approval, authorization, order, registration, or qualification is
         required for, and the absence of which would materially and adversely
         affect, the legal and valid execution, delivery, and performance of
         this Agreement by Wilshire.

                  (iv) Wilshire possesses such certificates, authorizations,
         licenses, and permits issued by the appropriate state, federal, and
         foreign regulatory agencies or bodies necessary to conduct the business
         now operated by it, except to the extent that the failure of Wilshire
         to possess any such certificate, authorization, license or permit would
         not have a material adverse effect on the ability of Wilshire to
         perform its obligations hereunder.

                  (v) Except as disclosed on the 10Q of Wilshire Financial
         Services Group Inc., no litigation is pending or, to the best of
         Wilshire's knowledge, threatened against it, which, if determined
         adversely to Wilshire would prohibit Wilshire from entering into this
         Agreement or, in the good faith and reasonable judgment of Wilshire, is
         likely to materially and adversely affect either its ability to perform
         its obligations hereunder or the financial condition of Wilshire.
         Wilshire has no knowledge of any recent adverse financial condition or
         event with respect to itself that, in its good faith and reasonable
         judgment, is likely to materially and adversely affect its ability to
         perform its obligations hereunder.

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<PAGE>

                  (vi) Each officer, director, employee, consultant and advisor
         of Wilshire with responsibilities concerning the servicing and
         administration of the Wilshire Mortgage Loans is covered by errors and
         omissions insurance and fidelity bond insurance in the amounts and with
         coverage consistent with Accepted Servicing Practices. Neither Wilshire
         nor any of its officers, directors, employees, consultants, or advisors
         involved in the servicing or administration of the Wilshire Mortgage
         Loans has been refused such coverage or insurance.

                  (vii) Wilshire is either (i) a depository institution the
         accounts of which are insured by the FDIC or (ii) another entity that
         engages in the business of originating, acquiring or servicing loans,
         and in either case shall be authorized to transact business in the
         state or states where the related mortgaged properties it is to service
         are situated and in either case shall be a Fannie Mae-approved mortgage
         seller-servicer and/or a Freddie Mac-approved mortgage servicer for
         first and second mortgage loans (to the extent Fannie Mae and/or
         Freddie Mac approval is required under applicable Law). In addition,
         Wilshire will obtain and preserve its qualification to do business as a
         foreign corporation in each jurisdiction in which such qualification is
         or shall be necessary to protect the validity and enforceability of the
         Wilshire Mortgage Loans or this Agreement, and to perform its duties
         hereunder. Wilshire meets a $15 million equity and other eligibility
         requirements consistent with Accepted Servicing Practices.

                  It is understood and agreed that the representations and
warranties set forth in this SECTION 3.02 shall survive delivery of the Mortgage
Loans to the Trustee.

                  Upon discovery by any of Fairbanks, Wilshire, the Depositor,
the Certificate Insurer, any Owner, or the Trustee (each, for purposes of this
paragraph, a party) of a breach of any of the representations and warranties set
forth in this SECTION 3.02 which materially and adversely affects the interests
of the Owners, the party discovering such breach shall give prompt written
notice to the other parties. Within ninety (90) days of its discovery or its
receipt of notice of breach, which ever is earlier, Fairbanks or Wilshire, as
the case may be, shall cure such breach in all material respects and, upon such
Servicer's continued failure to cure such breach, may thereafter be removed by
the Trustee pursuant to SECTION 8.17.

                  3.03 REMEDIES UPON BREACH OF REPRESENTATIONS AND WARRANTIES BY
THE DEPOSITOR OR A SELLER.

                  (a) BREACH BY DEPOSITOR. Upon discovery by any of the
         Depositor, any Servicer, any Owner, the Certificate Insurer or the
         Trustee (each, for purposes of this paragraph, a "PARTY") of a breach
         of any of the representations and warranties set forth in SECTION 3.01
         or any of the representations and warranties made by the Depositor
         pursuant to Section 4 of the Sale and Warranties Agreement, which
         materially and adversely affects the interests of the Owners, the party
         discovering such breach shall give prompt written notice to the other
         parties. Within ninety (90) days of its discovery or its respective
         receipt of notice of breach the Trustee

                                       56
<PAGE>

         shall exercise all rights it has under this Agreement, and, to the
         extent such breach also constitutes a breach of any of the
         representations and warranties set forth in Section 4 of the Sale and
         Warranties Agreement or any covenant set forth therein, the Trustee
         shall exercise all rights it would otherwise have available against
         Goldman Sachs Mortgage Company under Section 5(b) and 5(c) of the Sale
         and Warranties Agreement against the Depositor as if set forth under
         this Section 3.03 with respect to the Depositor.

                  (b) BREACH BY SELLER. Upon discovery by any of the Depositor,
         any Servicer, any Owner, the Certificate Insurer or the Trustee (each,
         for purposes of this paragraph, a "PARTY") of a breach by any Seller of
         any of the representations and warranties set forth in Sections 3 or 4
         of the relevant Sale Agreement, or any covenant set forth in any Sale
         Agreement, which materially and adversely affects the interests of the
         Owners or the Certificate Insurer, the party discovering such breach
         shall give prompt written notice to the other parties. In the case of
         Wells Fargo, within ninety (90) days of its discovery or its receipt of
         notice of breach (or seventy-five (75) days if such breach constitutes
         a Qualification Defect as defined in the Wells Fargo Sale Agreements)
         and with respect to Household within thirty (30) days of discovery or
         notice of a breach of a representation or warranty in Section 4 of the
         Household Sale Agreement and subject to any additional grace period
         provided for by the applicable Sale Agreement if certain conditions are
         met, (1) the Trustee, as assignee of all of the rights and interest of
         the Depositor in each Sale Agreement, shall take such action as shall
         be necessary to collect Indemnity Proceeds from the applicable Seller,
         and to enforce and prosecute any and all other rights of the Depositor
         and its assignees under each Sale Agreement, which rights shall include
         causing the applicable Seller to repurchase the relevant Mortgage Loans
         in accordance with the terms of the applicable Sale Agreement and remit
         the Loan Purchase Price to the relevant Servicer for deposit in the
         related Collection Account, and (2) the Majority Class X
         Certificateholder, at its sole discretion, may on the next succeeding
         Remittance Date purchase such Mortgage Loan from the Trust at the Loan
         Purchase Price, which purchase price shall be delivered to the relevant
         Servicer for deposit in the applicable Collection Account. However, any
         such purchase at the option of the Majority Class X Certificateholder
         must occur within 90 days of the date of the Trustee's notice of the
         defect if the defect would prevent the Mortgage Loan from being a
         Qualified Mortgage, and no purchase of a Mortgage Loan that is not in
         default or for which no default is imminent shall be made unless the
         Majority Class X Certificateholder obtains for the Trustee and the
         Certificate Insurer a written opinion of independent counsel to the
         effect that such contemplated action is in compliance with the
         provisions of the Code relating to REMICs, is not a "prohibited
         transaction" within the meaning of Code Section 860F(a)(2) and will not
         prevent either Trust REMIC from qualifying as a REMIC addressed to and
         acceptable to the Trustee. In the event the Majority Class X
         Certificateholder purchases a Mortgage Loan pursuant to the second
         preceding sentence, it shall be subrogated to the rights of the Trust
         against the applicable Seller in respect of the applicable breach of
         representation or warranty, other than rights to receive

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<PAGE>

         Indemnity Proceeds in respect of damages incurred by the Trust during
         the period when the Trust held the Mortgage Loan, which rights shall
         specifically be retained by the Trust. The Trustee shall execute and
         deliver to the Majority Class X Certificateholder such instruments
         delivered to the Trustee for execution as it may reasonably request in
         order to further the purposes of the preceding sentence.

                  (c) In the event that any action taken by the Depositor
         pursuant to paragraph (a) above results in a Prohibited Transaction
         tax, the Trustee shall immediately notify the Depositor in writing
         thereof and the Depositor will, within 10 days of receiving notice
         thereof from the Trustee, deposit the amount due from the Trust with
         respect to such tax with the Trustee for the payment thereof, including
         any interest and penalties, in immediately available funds.

                  (d) Without limiting its obligation to enforce each Sale
         Agreement in accordance with their respective terms, the Trustee shall
         have no duty to conduct any affirmative investigation other than as
         specifically set forth in this Agreement as to the occurrence of any
         condition permitting the repurchase of any Mortgage Loan by the
         Depositor pursuant to this Article III or the eligibility of any
         Mortgage Loan for the purpose of this Agreement.

                  3.04 CONVEYANCE OF THE MORTGAGE LOANS.

                  (a) (i) On the Closing Date, pursuant to the "CONVEYANCE"
         clause on the first page hereof, the Depositor, concurrently with the
         execution and delivery hereof, hereby sells, transfers, assigns, sets
         over and otherwise conveys to the Trustee on behalf of the Trust,
         without recourse (except as otherwise provided herein), all of its
         right, title and interest of every kind and nature whatsoever, whether
         now owned and existing or hereafter acquired or arising, in and to
         property constituting the Trust Estate. The transfer by the Depositor
         of the Mortgage Loans set forth on the Schedule of Mortgage Loans and
         the other assets in the Trust Estate to the Trustee is absolute and is
         intended by the Owners and all parties hereto to be treated as a sale
         by the Depositor for all purposes (including tax, reporting and
         accounting purposes).

                  (ii) It is the express intent of the parties that the transfer
         and conveyance of the Trust Estate constitute a sale of the Mortgage
         Loans and other assets in the Trust Estate conveying good title thereto
         free and clear of any liens and encumbrances from the Depositor to the
         Trustee on behalf of the Trust and that the Mortgage Loans and other
         assets in the Trust Estate not be part of the Depositor's estate in the
         event of bankruptcy or insolvency or otherwise. However, in the event
         and to the extent that, notwithstanding the intent of the parties
         hereto, any or all of the Mortgage Loans and other assets in the Trust
         Estate conveyed by the Depositor to the Trustee on behalf of the Trust
         hereunder are held or otherwise determined to have been property of the
         Depositor or not to have been conveyed to the Trustee in an absolute
         sale, then (i) this Agreement shall also be deemed to be, and hereby
         constitutes, a security agreement within

                                       58
<PAGE>

         the meaning of Article 9 of the UCC; (ii) the conveyance hereunder by
         the Depositor of the Mortgage Loans set forth on the Schedule of
         Mortgage Loans and the other assets in the Trust Estate shall be deemed
         to be, and hereby constitutes, a grant by the Depositor to the Trustee
         of a first priority security interest in all of the Depositor's right,
         title and interest in and to such Mortgage Loans and other assets;
         (iii) the possession by the Trustee or any of its bailees or agents of
         items of property that constitute goods, instruments, money, negotiable
         documents or chattel paper shall be deemed to be "possession by the
         secured party" for purposes of perfecting the security interest
         pursuant to Section 9-313 of the UCC; (iv) notifications to persons
         holding such property, and acknowledgments, receipts or confirmations
         from persons holding such property, shall be deemed notifications to,
         or acknowledgments, receipts or confirmations from, financial
         intermediaries, bailees or agents (as applicable) of the Trustee for
         the purpose of perfecting such security interest under applicable law;
         and (v) the obligations secured by the first priority security interest
         described in clause (ii) above shall be deemed to include any and all
         obligations of the Depositor to the Trustee and any and all obligations
         of the Trustee to the Owners and other Persons pursuant to this
         Agreement and the other Operative Documents, including any obligation
         to remit the principal of and interest on the Certificates to the
         Owners as and when due and any obligation to distribute or remit any
         other fees, costs, expenses and other amounts required to be
         distributed or paid under this Agreement or any of the other Operative
         Documents. Any assignment or other transfer of the rights of the
         Trustee under any provision hereof shall also be deemed to be an
         assignment of any security interest created hereby. The Depositor
         covenants that, to the extent consistent with this Agreement, it will
         take such actions as may be necessary to ensure that, if this Agreement
         were deemed to create a security interest in the Mortgage Loans, such
         security interest would be deemed to be a perfected security interest
         of first priority under applicable law and would be maintained as such
         throughout the terms of this Agreement and the other Operative
         Documents. The Depositor also covenants not to pledge, assign or grant
         a security interest in any of the Mortgage Loans to any third party.

                  (b) In connection with the transfer and assignment of the
         Mortgage Loans (other than the Contracts), the Depositor agrees to
         deliver, or cause to be delivered, without recourse to the Custodian on
         the Closing Date with respect to each such Mortgage Loan:

                  (i) The original Mortgage Note endorsed, "Pay to the order of
         [ ] without recourse" and signed in the name of the last endorsee by an
         authorized officer; or in the case of a missing Mortgage Note, a Lost
         Note Affidavit in blank together with a true and correct copy of the
         original Mortgage Note; PROVIDED, HOWEVER, that a Lost Note Affidavit
         may be delivered with respect to no more than five percent (5%) of the
         Mortgage Loans (by Principal Balance). The Mortgage Note shall include
         all intervening original endorsements showing a complete chain of title
         from the originator to the last endorsee;

                                       59
<PAGE>

                  (ii) To the extent executed in connection with the related
         Mortgage Loan, an original power of attorney, or photocopy thereof
         certified by a Governmental Authority with evidence of recording noted
         thereon if recordation is required to maintain the lien of the Mortgage
         or if the document to which such power of attorney relates is required
         to be recorded, or if recordation is not so required, the original, a
         certified photocopy or a photocopy of such certified photocopy of any
         such power of attorney;

                  (iii) To the extent executed in connection with the related
         Mortgage Loan, the original or a photocopy of any personal endorsement
         or guaranty agreement;

                  (iv) The original or a photocopy of the original recorded
         Mortgage (together with a standard adjustable rate mortgage rider, if
         the Mortgage Loan is an Adjustable Rate Mortgage Loan), with evidence
         of recording thereon; PROVIDED, HOWEVER, if the original recorded
         Mortgage is not available because it has been delivered to the
         applicable recording office, the Depositor shall deliver a legible
         photocopy of the Mortgage pending recording, certified by the Seller,
         in lieu of the original recorded Mortgage, and evidence of recording
         shall be provided in case of any and all original Mortgages or
         photocopies thereof certified by the Seller; PROVIDED, FURTHER, if the
         original Mortgage is available but has not been recorded, the Seller
         shall deliver a legible photocopy of the original Mortgage, certified
         by the Seller as a true and correct copy of the original Mortgage (or a
         photocopy of such certified copy), and shall promptly record such
         Mortgage in the applicable recording office at the expense of the
         Depositor;

                  (v) Except with respect to each MERS Designated Mortgage Loan,
         the original executed assignment of each Mortgage from the Seller, in
         blank, which assignment shall be in form and substance acceptable for
         recording. In the event that the Mortgage Loan was acquired by the
         Seller in a merger or 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 Name], successor in interest to
         [name of originator or other entity to which the Mortgage has been
         assigned]" or "[Seller Name], successor in interest to [name of
         originator or other entity to which the Mortgage Note was endorsed]",
         as the case may be;

                  (vi) The original policy of title insurance or a copy thereof,
         if any (or a preliminary title report, binder or other material
         described on Exhibit B or Exhibit B-1, as applicable, of the relevant
         Sale Agreement if the original title insurance policy has not been
         received from the title insurance company);

                  (vii) Originals of any intervening assignments of the
         Mortgage, with evidence of recording thereon, necessary to show a
         complete chain of title from the original mortgagee to the Seller (or
         MERS with respect to each MERS Designated Mortgage Loan); PROVIDED,
         HOWEVER, if the original recorded assignments of the Mortgage are not
         available because they have been delivered to the applicable recording
         office, the Depositor may deliver a legible photocopy

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<PAGE>

         of the assignments of the Mortgage pending recording, certified by the
         Seller (or a photocopy of such certified copy), in lieu of the original
         recorded assignment of the Mortgage, and evidence of recording shall be
         provided in case of any and all original assignments of the Mortgage or
         photocopies thereof certified by the Seller; PROVIDED, FURTHER, if the
         original assignments of the Mortgage are available but have not been
         recorded, the Seller shall deliver a legible photocopy thereof,
         certified by the Seller as a true and correct copy of the original
         assignments of the Mortgage (or a photocopy of such certified copy),
         and shall promptly record such assignments in the applicable recording
         office at its expense; and

                  (viii) Originals of all assumption, modification and
         substitution agreements, if any, or certified copies thereof (or a
         photocopy containing the same), in either case with evidence of
         recording noted thereon if recordation is required to maintain the lien
         of the Mortgage or is otherwise required by applicable Law.

                  (c) In connection with the transfer and assignment of the
         Contracts identified on the Schedule of Mortgage Loans, the Depositor
         agrees to deliver, or cause to be delivered, without recourse to the
         Trustee, on the Closing Date, the related Contract File and Land Home
         Contract File.

                  (d) The parties acknowledge and agree that, after the
         transfers described in subsections (A)(I) and (A)(II) of this SECTION
         3.04, ownership of the entire Trust Estate (including all of the
         Mortgage Loans and other assets included therein) shall be vested
         solely and exclusively in the Trustee on behalf of the Trust.
         Accordingly, the Depositor hereby agrees that it shall take no action
         inconsistent with the Trustee's ownership, on behalf of the Trust, of
         the Trust Estate and shall indicate or shall cause to be indicated in
         its books and records (including any books and records held on its
         behalf) that ownership of the Trust Estate (including all of the
         Mortgage Loans and other assets included therein) is held by the
         Trustee on behalf of the Trust. In addition, the Depositor hereby
         agrees that it shall respond to any inquiries from third parties with
         respect to ownership of such assets by stating that it is not the owner
         of such assets and that ownership of such assets is held by the Trustee
         on behalf of the Trust.

                  (e) If any Mortgage has been recorded in the name of MERS, no
         assignment of Mortgage in favor of the Trustee will be required to be
         prepared or delivered and instead, the applicable Servicer shall take
         all reasonable actions as are necessary at the expense of the Depositor
         to cause the Trust to be shown as the owner of the related Mortgage
         Loan on the records of MERS for the purpose of the system of recording
         transfers of beneficial ownership of mortgages maintained by MERS.

                  3.05 ACCEPTANCE BY TRUSTEE; CERTIFICATION BY TRUSTEE.

                  By the Closing Date, the Custodian shall review all documents
delivered to it in accordance with the provisions hereof, and shall deliver to
the Depositor, the Trustee, the Servicers and the Certificate Insurer an initial
custodial certification (the

                                       61
<PAGE>

"INITIAL CERTIFICATION") in the form attached as EXHIBIT F hereto. The Custodian
shall have examined each of the documents or copies thereof presented to the
Custodian in each Custodial File pursuant to the relevant Custodial Agreement.
Based upon such review, the Custodian shall determine with respect to each
Custodial File whether: (i) all documents purporting to be those instruments
described in SECTION 3.04(B)(I) though (VIII) or Section 3.04(c) and the related
reference to the Mortgage Loan in the Schedule of Mortgage Loans (and which are
determinable from an examination of the documents or copies thereof in the
Custodial File, the Contract File or the Land Home Contract File, as applicable)
are in its possession; (ii) such instruments have been reviewed by the Custodian
and appear regular on their face and are related to the Mortgage Loan
referenced; and (iii) based on its examination of the Mortgage Note, the
Mortgage and the information set forth in the Schedule of Mortgage Loans
respecting such Mortgage Loan accurately reflects the information set forth in
the documents contained in the Custodial File, the Contract File or the Land
Home Contract File, as applicable, declares that it will hold such documents and
any amendments, replacement or supplements thereto, as well as any other assets
included in the definitions of Trust Estate and delivered to the Custodian on
behalf of the Trustee, as Trustee in trust upon and subject to the conditions
set forth herein for the benefit of the Certificate Insurer and the Owners. The
Trustee agrees, for the benefit of the Owners and the Certificate Insurer, to
review or cause the Custodian to review such items within ninety (90) days after
the Closing Date (or, with respect to any document delivered after the Closing
Date, within ninety (90) days of receipt and cause the Custodian to deliver to
the Depositor, the Certificate Insurer and the applicable Servicer a
certification (a "CERTIFICATION") to the effect that, as to each Mortgage Loan
listed in the Schedule of Mortgage Loans (other than any Mortgage Loan paid in
full or any Mortgage Loan specifically identified in such Certification as not
covered by such Certification), (i) all documents or copies or images required
to be delivered to it pursuant to SECTION 3.04(B)(I) and each original Contract
are in its possession, (ii) such documents have been reviewed by it and have not
been mutilated, damaged or torn and relate to such Mortgage Loan and (iii) based
on its examination and only as to the foregoing documents, the information set
forth on the Schedule of Mortgage Loans accurately reflects the information set
forth in the Custodial File, the Contract File or the Land Home Contract File,
as applicable. Neither the Trustee nor the Custodian shall have any
responsibility for reviewing any Custodial File, Contract File or Land Home
Contract File, as applicable except as expressly provided in this SECTION
3.05(A). Without limiting the effect of the preceding sentence, in reviewing any
Custodial File, neither the Trustee nor the Custodian shall have any
responsibility for determining whether any document is valid and binding,
whether the text of any assignment is in proper form (except to determine if the
Trustee is the assignee), whether any document has been recorded in accordance
with the requirements of any applicable jurisdiction or whether a blanket
assignment is permitted in any applicable jurisdiction, but shall only be
required to determine whether a document has been executed, that it appears to
be what it purports to be, and, where applicable, that it purports to be
recorded. Neither the Trustee nor the Custodian shall be under any duty or
obligation to inspect, review or examine any such documents, instruments,
certificates or other papers to determine that they are genuine, enforceable, or
appropriate for the represented purpose or that they are other than what they
purport to be on their face, nor shall the Trustee or

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the Custodian be under any duty to determine independently whether there are any
intervening assignments or assumption or modification agreements with respect to
any Mortgage Loan.

                  If the Custodian during such ninety (90) day period finds any
document constituting a part of a Custodial File which is not executed, has not
been received, or is unrelated to the Mortgage Loans identified in the Schedule
of Mortgage Loans, or that any Mortgage Loan does not conform to the description
thereof as set forth in the Schedule of Mortgage Loans, the Custodian shall be
required to promptly so notify the Trustee, the Depositor, the Certificate
Insurer, the applicable Servicer and the related Seller. In performing any such
review, the Custodian may conclusively rely as to the purported genuineness of
any such document and any signature thereon. It is understood that the scope of
the Custodian's review of the items delivered, or caused to be delivered, by the
Depositor pursuant to SECTION 3.04(B) and (c) is limited solely to confirming
that the documents listed in SECTION 3.04(B) and (c) have been executed and
received, relate to the Custodial Files identified in the Schedule of Mortgage
Loans and conform to the description thereof in the Schedule of Mortgage Loans.
The Trustee shall enforce the relevant provisions of the applicable Sale
Agreement against the related Seller in order to remedy a material defect in a
document constituting part of a Custodial File delivered, or caused to be
delivered, by the Depositor of which it is so notified. If, however, within
ninety (90) days after the Trustee's notice to it respecting such defect the
applicable Seller or the Depositor (depending on the Mortgage Loan to which such
defect relates) has not remedied the defect and the defect materially and
adversely affects the interest of the Owners and the Certificate Insurer in the
related Mortgage Loan either (i) the Trustee shall enforce and prosecute all of
the rights of the Depositor under the related Sale Agreement against the Seller
or of the Depositor under the Sale and Warranties Agreement against Goldman
Sachs Mortgage Company, as the case may be, and (ii) the Majority Class X
Certificateholder may, at its sole discretion, on the next succeeding Remittance
Date purchase such Mortgage Loan as set forth in SECTION 3.03(B).

                  In addition to the foregoing, the Trustee also agrees to cause
the Custodian to make a review during the six-month period after the Closing
Date and deliver to the Depositor, the applicable Servicer, the Trustee and the
Certificate Insurer indicating the current status of the exceptions previously
indicated on the Initial Certification (the "FINAL CERTIFICATION"). After
delivery of the Final Certification, the Trustee (and the applicable Servicer,
to the extent required by SECTION 8.03(C)) shall cause the Custodian to monitor
and upon request from the Depositor or the Certificate Insurer provide no less
frequently than monthly, updated certifications indicating the then current
status of exceptions, until all such exceptions have been eliminated.

                  3.06 NONQUALIFIED MORTGAGE LOAN. In the event that the Trustee
discovers that a Mortgage Loan is not a qualified Mortgage within the meaning of
the REMIC Provisions on the Closing Date, and such defect is not cured prior to
the 75th day following the discovery or receipt of notice of such failure to
qualify, Fairbanks or Wilshire, as applicable, on behalf of the Trustee shall
use reasonable efforts to cause such Fairbanks Mortgage Loan or Wilshire
Mortgage Loan, as applicable, to be sold or

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otherwise removed from the Trust on or prior to the 90th day after its initial
discovery or receipt of notice of such situation.

                                   ARTICLE IV

                        ISSUANCE AND SALE OF CERTIFICATES

                  4.01 ISSUANCE OF CERTIFICATES.

                  On the Closing Date, upon the Trustee's receipt from the
Depositor of an executed authentication and delivery order, the Trustee shall
execute, authenticate and deliver the Certificates on behalf of the Trust.

                  4.02 SALE OF CERTIFICATES.

                  At 11:00 a.m. New York City time on the Closing Date (the
"CLOSING"), at the offices of Thacher Proffitt & Wood, 11 West 42nd Street, New
York, New York 10036 (or at such other location acceptable to the Depositor),
the Depositor will sell and convey the Mortgage Loans and the money, instruments
and other property related thereto described in SECTION 3.04(A)(I) to the
Trustee, and the Trustee will deliver (i) to the Underwriter, the Class A
Certificates, the Class M-1 Certificates and the Class B Certificates with an
aggregate Percentage Interest in each Class equal to 100%, registered in the
name of Cede & Co., or in such other names as the Underwriter shall direct,
against payment of the purchase price thereof by wire transfer of immediately
available funds to the Depositor, (ii) to the Underwriter, the Class X
Certificates and Class P Certificates, each with a Percentage Interest equal to
100% and (iii) to the Underwriter, the Class R Certificates with a Percentage
Interest equal to 99.99%. The Trustee shall retain a Class R Certificate
evidencing a 0.01% Percentage Interest.

                                   ARTICLE V

                                THE CERTIFICATES

                  5.01 THE CERTIFICATES.

                  The Certificates shall be substantially in the forms attached
hereto as exhibits. The Certificates shall be issuable in registered form, in
the minimum denominations, integral multiples in excess thereof (except that one
Certificate in each Class may be issued in a different amount which must be in
excess of the applicable minimum denomination) and aggregate denominations per
Class set forth in SECTION 2.10 of this Agreement.

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                  The Depositor hereby directs the Trustee to register the Class
X Certificates, the Class P Certificates and the Class R Certificate evidencing
a 99.99% Percentage Interest in the name of the Underwriter.

                  Subject to Section 10.04 respecting the final distribution on
the Certificates, on each Distribution Date the Trustee shall make distributions
to each Certificateholder of record on the preceding Record Date either (x) by
wire transfer in immediately available funds to the account of such holder at a
bank or other entity having appropriate facilities therefor as directed by that
Certificateholder by written wire instructions provided to the Trustee or (y),
in the event that no wire instructions are provided to the Trustee, by check
mailed by first class mail to such Certificateholder at the address of such
holder appearing in the Register.

                  The Certificates shall be executed by manual or facsimile
signature on behalf of the Trustee by an authorized officer. Certificates
bearing the manual or facsimile signatures of individuals who were, at the time
such signatures were affixed, authorized to sign on behalf of the Trustee shall
bind the Trustee, notwithstanding that such individuals or any of them have
ceased to be so authorized prior to the countersignature and delivery of any
such Certificates or did not hold such offices at the date of such Certificate.
No Certificate shall be entitled to any benefit under this Agreement, or be
valid for any purpose, unless countersigned by the Trustee by manual signature,
and such countersignature upon any Certificate shall be conclusive evidence, and
the only evidence, that such Certificate has been duly executed and delivered
hereunder. All Certificates shall be dated the date of their countersignature.
On the Closing Date, the Trustee shall countersign the Certificates to be issued
at the direction of the Depositor, or any affiliate thereof.

                  The Depositor shall provide, or cause to be provided, to the
Trustee on a continuous basis, an adequate inventory of Certificates to
facilitate transfers.

                  5.02 REGISTER; REGISTRATION OF TRANSFER AND EXCHANGE OF
CERTIFICATES.

                  (a) The Trustee shall maintain, or cause to be maintained in
         accordance with the provisions of Section 5.06, a Register for the
         Trust Fund in which, subject to the provisions of subsections (b) and
         (c) below and to such reasonable regulations as it may prescribe, the
         Trustee shall provide for the registration of Certificates and of
         transfers and exchanges of Certificates as herein provided. Upon
         surrender for registration of transfer of any Certificate, the Trustee
         shall execute and deliver, in the name of the designated transferee or
         transferees, one or more new Certificates of the same Class and
         aggregate Percentage Interest.

                  At the option of a Certificateholder, Certificates may be
exchanged for other Certificates of the same Class in authorized denominations
and evidencing the same aggregate Percentage Interest upon surrender of the
Certificates to be exchanged at the office or agency of the Trustee. Whenever
any Certificates are so surrendered for

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exchange, the Trustee shall execute, authenticate, and deliver the Certificates
which the Certificateholder making the exchange is entitled to receive. Every
Certificate presented or surrendered for registration of transfer or exchange
shall be accompanied by a written instrument of transfer in form satisfactory to
the Trustee duly executed by the holder thereof or his attorney duly authorized
in writing. In the event, the Depositor or an Affiliate transfers the Class X
Certificates, or a portion thereof, to another Affiliate, it shall notify the
Trustee in writing of the affiliated status of the transferee. The Trustee shall
have no liability regarding the lack of notice with respect thereto.

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

                  All Certificates surrendered for registration of transfer or
exchange shall be cancelled and subsequently destroyed by the Trustee in
accordance with the Trustee's customary procedures.

                  (b) No transfer of a Private Certificate shall be made unless
         such transfer is made pursuant to an effective registration statement
         under the Securities Act and any applicable state securities laws or is
         exempt from the registration requirements under said Act and such state
         securities laws. In the event that a transfer of a Private Certificate
         which is a Private Certificate is to be made in reliance upon an
         exemption from the Securities Act and such laws, in order to assure
         compliance with the Securities Act and such laws, the Certificateholder
         desiring to effect such transfer shall certify to the Trustee in
         writing the facts surrounding the transfer in substantially the form
         set forth in Exhibit H (the "TRANSFEROR CERTIFICATE") and either (i)
         there shall be delivered to the Trustee a letter in substantially the
         form of Exhibit I (the "RULE 144A LETTER") or (ii) in the case of the
         Class X Certificates, there shall be delivered to the Trustee at the
         expense of the transferor an Opinion of Counsel addressed to the
         Trustee that such transfer may be made without registration under the
         Securities Act. In the event that a transfer of a Private Certificate
         which is a Book-Entry Certificate is to be made in reliance upon an
         exemption from the Securities Act and such laws, in order to assure
         compliance with the Securities Act and such laws, the Certificateholder
         desiring to effect such transfer will be deemed to have made as of the
         transfer date each of the certifications set forth in the Transferor
         Certificate in respect of such Certificate and the transferee will be
         deemed to have made as of the transfer date each of the certifications
         set forth in the Rule 144A Letter in respect of such Certificate, in
         each case as if such Certificate were evidenced by a Private
         Certificate. The Depositor shall provide to any Holder of a Private
         Certificate and any prospective transferee designated by any such
         Holder, information regarding the related Certificates and the Mortgage
         Loans and such other information as shall be necessary to satisfy the
         condition to eligibility set forth in Rule 144A(d)(4) for transfer of
         any such Certificate without registration thereof under the Securities
         Act pursuant to the registration exemption provided

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         by Rule 144A. The Trustee and the Servicers shall cooperate with the
         Depositor in providing the Rule 144A information referenced in the
         preceding sentence, including providing to the Depositor such
         information regarding the Certificates, the Mortgage Loans and other
         matters regarding the Trust Fund as the Depositor shall reasonably
         request to meet its obligation under the preceding sentence. Each
         Holder of a Private Certificate desiring to effect such transfer shall,
         and does hereby agree to, indemnify the Trustee and the Depositor and
         the Servicers against any liability that may result if the transfer is
         not so exempt or is not made in accordance with such federal and state
         laws.

                  No transfer of an ERISA-Restricted Certificate shall be made
unless the Trustee shall have received either (i) a representation from the
transferee of such Certificate acceptable to and in form and substance
satisfactory to the Trustee (in the event such Certificate is a Private
Certificate or a Residual Certificate, such requirement is satisfied only by the
Trustee's receipt of a representation letter from the transferee substantially
in the form of Exhibit I), to the effect that such transferee is not an employee
benefit plan or arrangement subject ERISA, a plan subject to Section 4975 of the
Code nor a person acting on behalf of any such plan or arrangement nor using the
assets of any such plan or arrangement to effect such transfer, (ii) in the case
of an ERISA-Restricted Certificate other than a Residual Certificate or a Class
X or Class P Certificate that has been the subject of an ERISA-Qualifying
Underwriting and the purchaser is an insurance company, a representation that
the purchaser is an insurance company that is purchasing such Certificates with
funds contained in an "insurance company general account" (as such term is
defined in Section V(e) of Prohibited Transaction Class Exemption 95-60 ("PTCE
95-60")) and that the conditions of Sections I and III of PTCE 95-60 have been
satisfied or (iii) in the case of any such ERISA-Restricted Certificate other
than a Class B Certificate, Class M-1 Certificate, Residual Certificate or Class
P Certificate presented for registration in the name of an employee benefit plan
subject to ERISA, a plan or arrangement subject to Section 4975 of the Code (or
comparable provisions of any subsequent enactments), or a trustee of any such
plan or any other person acting on behalf of any such plan or arrangement or
using such plan's or arrangement's assets, an Opinion of Counsel satisfactory to
the Trustee and the Servicer, which Opinion of Counsel shall not be an expense
of the Trustee, the Servicers or the Trust Fund, addressed to the Trustee, to
the effect that the purchase or holding of such certificate are permissable
under applicable law, will not result in a prohibited transaction under ERISA or
section 4975 of the Code, 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 and the Code and will not subject the Trustee or the Servicers to any
obligation in addition to those expressly undertaken in this Agreement or to any
liability. For purposes of the preceding sentence, with respect to an
ERISA-Restricted Certificate that is not a Class P Certificate, Class X
Certificate or Residual Certificate, in the event the representation letter
referred to in the preceding sentence is not furnished, such representation
shall be deemed to have been made to the Trustee by the transferee's (including
an initial acquirer's) acceptance of the ERISA-Restricted Certificates. In the
event that such representation is violated, or any attempt to transfer to a plan
or arrangement subject to ERISA, a plan subject to

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Section 4975 of the Code, or a person acting on behalf of any such plan or
arrangement or using the assets of any such plan or arrangement, without such
Opinion of Counsel, such attempted transfer or acquisition shall be void and of
no effect and the purported beneficial owner shall indemnify and hold harmless
the Depositor, the Trustee, the Servicers and the Trust from and against any and
all liabilities, claims, costs or expenses incurred by the parties as a result
of that acquisition or holding.

                  Neither the Class R Certificates nor the Class P Certificate
may be sold to any employee benefit plan subject to Title I of ERISA, any plan
subject to Section 4975 of the Code, or any plan subject to any Similar Law or
any person investing on behalf of or with plan assets of such plan.

                  To the extent permitted under applicable law (including, but
not limited to, ERISA), 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 5.02(b) 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.

                  (c) Each Person who has or who acquires any Ownership Interest
         in a Residual Certificate shall be deemed by the acceptance or
         acquisition of such Ownership Interest to have agreed to be bound by
         the following provisions, and the rights of each Person acquiring any
         Ownership Interest in a Residual Certificate are expressly subject to
         the following provisions:

                  (i) Each Person holding or acquiring any Ownership Interest in
         a Residual Certificate shall be a Permitted Transferee and shall
         promptly notify the Trustee of any change or impending change in its
         status as a Permitted Transferee;

                  (ii) No Ownership Interest in a Residual Certificate may be
         registered on the Closing Date or thereafter transferred, and the
         Trustee shall not register the Transfer of any Residual Certificate
         unless, in addition to the certificates required to be delivered to the
         Trustee under subparagraph (b) above, the Trustee shall have been
         furnished with an affidavit (a "TRANSFER AFFIDAVIT") of the initial
         owner or the proposed transferee in the form attached hereto as Exhibit
         G;

                  (iii) Each Person holding or acquirinG anY Ownership Interest
         in a Residual Certificate shall agree (A) to obtain a Transfer
         Affidavit from any other Person to whom such Person attempts to
         Transfer its Ownership Interest in a Residual Certificate, (B) to
         obtain a Transfer Affidavit from any Person for whom such Person is
         acting as nominee, trustee or agent in connection with any Transfer of
         a Residual Certificate and (C) not to Transfer its Ownership Interest
         in a Residual Certificate or to cause the Transfer of an Ownership
         Interest in a Residual Certificate to any other Person if it has actual
         knowledge that such Person is not a Permitted Transferee;

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<PAGE>

                  (iv) Any attempted or purported Transfer of any Ownership
         Interest in a Residual Certificate in violation of the provisions of
         this Section 5.02(c) shall be absolutely null and void and shall vest
         no rights in the purported Transferee. If any purported transferee
         shall become a Holder of a Residual Certificate in violation of the
         provisions of this Section 5.02(c), then the last preceding Permitted
         Transferee shall be restored to all rights as Holder thereof
         retroactive to the date of 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 Section 5.02(b) and this Section 5.02(c) 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 after receipt of
         the related Transfer Affidavit, Transferor Certificate and the Rule
         144A Letter. The Trustee shall be entitled but not obligated to recover
         from any Holder of a Residual Certificate that was in fact not a
         Permitted Transferee at the time it became a Holder or, at such
         subsequent time as it became other than a Permitted Transferee, all
         payments made on such Residual 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 Permitted Transferee of
         such Certificate; and

                  (v) The Depositor shall use its best efforts to make
         available, upon receipt of written request from the Trustee, all
         information necessary to compute any tax imposed under Section 860E(e)
         of the Code as a result of a Transfer of an Ownership Interest in a
         Residual Certificate to any Holder who is not a Permitted Transferee.

                  The restrictions on Transfers of a Residual Certificate set
forth in this Section 5.02(c) shall cease to apply (and the applicable portions
of the legend on a Residual Certificate may be deleted) with respect to
Transfers occurring after delivery to the Trustee of an Opinion of Counsel
addressed to the Trustee, which Opinion of Counsel shall not be an expense of
the Trust Fund, the Trustee or the Servicer, to the effect that the elimination
of such restrictions will not cause either REMIC I or REMIC II to fail to
qualify as a REMIC at any time that the Certificates are outstanding or result
in the imposition of any tax on the Trust Fund, a Certificateholder or another
Person. Each Person holding or acquiring any Ownership Interest in a Residual
Certificate hereby consents to any amendment of this Agreement which, based on
an Opinion of Counsel addressed to the Trustee and furnished to the Trustee, is
reasonably necessary (a) to ensure that the record ownership of, or any
beneficial interest in, a Residual Certificate is not transferred, directly or
indirectly, to a Person that is not a Permitted Transferee and (b) to provide
for a means to compel the Transfer of a Residual Certificate which is held by a
Person that is not a Permitted Transferee to a Holder that is a Permitted
Transferee.

                  (d) The preparation and delivery of all certificates and
         opinions referred to above in this Section 5.02 in connection with
         transfer shall be at the expense of the parties to such transfers.

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                  (e) Except as provided below, the Book-Entry Certificates
         shall at all times remain registered in the name of the Depository or
         its nominee and at all times: (i) registration of the Certificates may
         not be transferred by the Trustee except to another Depository; (ii)
         the Depository shall maintain book-entry records with respect to the
         Certificate Owners and with respect to ownership and transfers of such
         Book-Entry Certificates; (iii) ownership and transfers of registration
         of the Book-Entry Certificates on the books of the Depository shall be
         governed by applicable rules established by the Depository; (iv) the
         Depository may collect its usual and customary fees, charges and
         expenses from its Depository Participants; (v) the Trustee shall deal
         with the Depository, Depository Participants and indirect participating
         firms as representatives of the Owners of the Book-Entry Certificates
         for purposes of exercising the rights of holders under this Agreement,
         and requests and directions for and votes of such representatives shall
         not be deemed to be inconsistent if they are made with respect to
         different Owners; and (vi) the Trustee may rely and shall be fully
         protected in relying upon information furnished by the Depository with
         respect to its Depository Participants and furnished by the Depository
         Participants with respect to indirect participating firms and persons
         shown on the books of such indirect participating firms as direct or
         indirect Owners.

                  All transfers by Owners of Book-Entry Certificates shall be
made in accordance with the procedures established by the Depository Participant
or brokerage firm representing such Owner. Each Depository Participant shall
only transfer Book-Entry Certificates of Owners it represents or of brokerage
firms for which it acts as agent in accordance with the Depository's normal
procedures.

                  If (x) (i) the Depository or the Depositor advises the Trustee
in writing that the Depository is no longer willing or able to properly
discharge its responsibilities as Depository, and (ii) the Depositor is unable
to locate a qualified successor, or (y) the Depositor at its option advises the
Trustee in writing that it elects to terminate the book-entry system through the
Depository, the Trustee shall notify all Owners, through the Depository, of the
occurrence of any such event and of the availability of definitive,
fully-registered Certificates (the "DEFINITIVE CERTIFICATES") to Owners
requesting the same. Upon surrender to the Trustee of the related Class of
Certificates by the Depository, accompanied by the instructions from the
Depository for registration, the Trustee shall issue the Definitive
Certificates. Neither the Servicers, the Depositor nor the Trustee shall be
liable for any delay in delivery of such instruction and each may conclusively
rely on, and shall be protected in relying on, such instructions. The Depositor
shall provide the Trustee with an adequate inventory of Certificates to
facilitate the issuance and transfer of Definitive Certificates. Upon the
issuance of Definitive Certificates all references herein to obligations imposed
upon or to be performed by the Depository 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; PROVIDED, that the
Trustee shall not by virtue of its assumption of such obligations become liable
to any party for any act or failure to act of the Depository.

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                  5.03 MUTILIATED, DESTROYED, LOST OR STOLEN CERTIFICATES.

                  If (a) any mutilated Certificate is surrendered to the
Trustee, or the Trustee receives evidence to its satisfaction of the
destruction, loss or theft of any Certificate and (b) there is delivered to the
Depositor, the Servicers, the Certificate Insurer and the Trustee such security
or indemnity as may be required by them to hold each of them harmless, then, in
the absence of notice to the Trustee that such Certificate has been acquired by
a bona fide purchaser, the Trustee shall execute, authenticate and deliver, in
exchange for or in lieu of any such mutilated, destroyed, lost or stolen
Certificate, a new Certificate of like Class, tenor and Percentage Interest. In
connection with the issuance of any new Certificate under this Section 5.03, the
Trustee 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) connected therewith.
Any replacement Certificate issued pursuant to this Section 5.03 shall
constitute complete and indefeasible evidence of ownership, as if originally
issued, whether or not the lost, stolen or destroyed Certificate shall be found
at any time.

                  5.04 PERSONS DEEMED OWNERS.

                  The Servicers, the Certificate Insurer, the Trustee, the
Depositor and any agent of the Servicers, the Certificate Insurer, the Depositor
or the Trustee may treat the Person in whose name any Certificate is registered
as the owner of such Certificate for the purpose of receiving distributions as
provided in this Agreement and for all other purposes whatsoever, and neither
the Servicers, the Certificate Insurer, the Trustee, the Depositor nor any agent
of the Servicers, the Certificate Insurer, the Depositor or the Trustee shall be
affected by any notice to the contrary.

                  5.05 ACCESS TO LIST OF CERTIFICATEHOLDERS' NAMES AND
ADDRESSES.

                  If three or more Certificateholders (a) request such
information in writing from the Trustee, (b) state that such Certificateholders
desire to communicate with other Certificateholders with respect to their rights
under this Agreement or under the Certificates, and (c) provide a copy of the
communication which such Certificateholders propose to transmit, or if the
Depositor or any Servicer shall request such information in writing from the
Trustee, then the Trustee shall, within ten Business Days after the receipt of
such request, provide the Depositor, the Servicer or such Certificateholders at
such recipients' expense the most recent list of the Certificateholders of such
Trust Fund held by the Trustee, if any. The Depositor and every
Certificateholder, by receiving and holding a Certificate, agree that the
Trustee shall not be held accountable by reason of the disclosure of any such
information as to the list of the Certificateholders hereunder, regardless of
the source from which such information was derived.

                  5.06 MAINTENANCE OF OFFICE OR AGENCY.

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                  The Trustee will maintain or cause to be maintained at its
expense an office or offices or agency or agencies in Dallas, Texas where
Certificates may be surrendered for registration of transfer or exchange. The
Trustee initially designates its office located at 2001 Bryan Street, 9th Floor,
Dallas, Texas 75201 for such purposes. The Trustee will give prompt written
notice to the Certificateholders of any change in such location of any such
office or agency.

                  5.07 RIGHTS OF THE CERTIFICATE INSURER TO EXERCISE RIGHTS OF
CLASS A CERTIFICATEHOLDERS.

                  (a) By accepting its Class A Certificate, each Class A
Certificateholder agrees that, unless a Certificate Insurer Default exists, the
Certificate Insurer shall be deemed to be the Class A Certificateholders for all
purposes (other than with respect to the receipt of payment on the Class A
Certificates) and shall have the right to exercise all rights of the Class A
Certificateholders under this Agreement and under the Class A Certificates
without any further consent of the Class A Certificateholders.

                  (b) All notices, statement reports, certificates or opinions
required by this Agreement to be sent to any Class A Certificateholder shall
also be sent to the Certificate Insurer.

                  5.08 CERTIFICATE INSURER DEFAULT.

                  Notwithstanding anything elsewhere in this Agreement or in the
Certificates to the contrary, if a Certificate Insurer Default exists, or if and
to the extent the Certificate Insurer has delivered its written renunciation of
all of its rights under this Agreement, all provisions of this Agreement which
(a) permit the Certificate Insurer to exercise rights of the Class A
Certificateholders, (b) restrict the ability of the Certificateholders, the
Servicers or the Trustee to act without the consent or approval of the
Certificate Insurer, (c) provide that a particular act or thing must be
acceptable to the Certificate Insurer, (d) permit the Certificate Insurer to
direct (or otherwise to require) the actions of the Trustee, the Servicers or
the Certificateholders, (e) provide that any action or omission taken with the
consent, approval or authorization of the Certificate Insurer shall be
authorized hereunder or shall not subject the party taking or omitting to take
such action to any liability hereunder or (f) have a similar effect, shall be of
no further force and effect and the Trustee shall administer the Trust Fund and
perform its obligations hereunder solely for the benefit of the Holders of the
Class A Certificates. Nothing in the foregoing sentence, nor any action taken
pursuant thereto or in compliance therewith, shall be deemed to have released
the Certificate Insurer from any obligation or liability it may have to any
party or to the Class A Certificateholders hereunder, under any other agreement,
instrument or document (including, without limitation, the Certificate Insurance
Policy) or under applicable law. At such time as the Class A Certificates are no
longer outstanding hereunder, and no amounts owed to the Certificate Insurer
hereunder or under the Certificate Insurance Agreement remain unpaid, the
Certificate Insurer's rights hereunder shall terminate.

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                                   ARTICLE VI

                                    COVENANTS

                  6.01 DISTRIBUTIONS.

                  On each Distribution Date, the Trustee shall withdraw amounts
from the Certificate Account and make the distributions with respect to the
Certificates in accordance with the terms of the Certificates and this
Agreement. Such distributions shall be made (i) by check or draft mailed or wire
transfer on each Distribution Date or (ii) if requested by any Owner of (A) a
Certificate having an initial Certificate Balance of not less than $1,000,000 or
(B) a Class X, Class P or Residual Certificate having a Percentage Interest of
Certificate of not less than 10% in writing not later than one Business Day
prior to the applicable Record Date (which request does not have to be repeated
unless it has been withdrawn), to such Owner by wire transfer to an account
within the United States designated no later than five Business Days prior to
the related Record Date, made on each Distribution Date, in each case to each
Owner of record on the immediately preceding Record Date.

                  6.02 MONEY FOR DISTRIBUTIONS TO BE HELD IN TRUST; WITHHOLDING.

                  (a) All payments of amounts due and payable with respect to
         any Certificate that are to be made from amounts withdrawn from the
         Certificate Account shall be made by and on behalf of the Trustee, and
         no amounts shall be withdrawn from the Certificate Account for payments
         of Certificates except as provided in this SECTION or SECTION 7.03, as
         applicable.

                  (b) Whenever the Depositor has appointed one or more Paying
         Agents pursuant to SECTION 12.15, the Trustee will, on the Business Day
         immediately preceding each Distribution Date, deposit with such Paying
         Agents in immediately available funds an aggregate sum sufficient to
         pay the amounts then becoming due (to the extent funds are then
         available for such purpose in the Certificate Account for the Class to
         which such amounts are due), such sum to be held in trust for the
         benefit of the Owners entitled thereto.

                  (c) The Depositor may at any time direct any Paying Agent to
         pay to the Trustee all sums held in trust by such Paying Agent, such
         sums to be held by the Trustee upon the same trusts as those upon which
         the sums were held by such Paying Agent; and upon such payment by any
         Paying Agent to the Trustee, such Paying Agent shall be released from
         all further liability with respect to such money.

                  (d) The Depositor shall require each Paying Agent, including
         the Trustee on behalf of the Trust, to comply with all requirements of
         the Code and applicable state and local law with respect to the
         withholding from any distributions made by

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         it to any Owner of any applicable withholding taxes imposed thereon and
         with respect to any applicable reporting requirements in connection
         therewith.

                  (e) Any money held by the Trustee or any Paying Agent in trust
         for the payment of any amount due with respect to any Certificate and
         remaining unclaimed by the Owner of such Certificate for the period
         then specified in the escheat laws of the State of New York after such
         amount has become due and payable shall be discharged from such trust
         and be paid to the Owners of the Class R Certificates; and the Owner of
         such Certificate shall thereafter, as an unsecured general creditor,
         look only to the Owners of the Class R Certificates for payment thereof
         (but only to the extent of the amounts so paid to the Owners of the
         Class R Certificates) and all liability of the Trustee or such Paying
         Agent with respect to such trust money shall thereupon cease; PROVIDED,
         HOWEVER, that the Trustee or such Paying Agent before being required to
         make any such payment, may, at the expense of the Trust, cause to be
         published once, in the eastern edition of THE WALL STREET JOURNAL,
         notice that such money remains unclaimed and that, after a date
         specified therein, which shall be not fewer than thirty (30) days from
         the date of such publication, any unclaimed balance of such money then
         remaining will be paid to the Owners of the Class R Certificates. The
         Trustee shall, at the direction of the Depositor, also adopt and
         employ, at the expense of the Trust, any other reasonable means of
         notification of such payment (including but not limited to mailing
         notice of such payment to Owners whose right to or interest in moneys
         due and payable but not claimed is determinable from the records of the
         Registrar, the Trustee or any Paying Agent, at the last address of
         record for each such Owner).

                  6.03 PROTECTION OF TRUST ESTATE.

                  The Trustee will hold the Trust Estate in trust for the
benefit of the Owners and the Certificate Insurer and, at the request of the
Depositor, will from time to time execute and deliver all such supplements and
amendments hereto pursuant to SECTION 12.14 and all instruments of further
assurance and other instruments, and will take such other action upon such
request from and at the expense of the Depositor, the Certificate Insurer or the
applicable Servicer, to:

                  (i) more effectively hold in trust all or any portion of the
         Trust Estate;

                  (ii) perfect, publish notice of, or protect the validity of
         any grant made or to be made by this Agreement;

                  (iii) enforce any of the Mortgage Loans, the Sale Agreements
         or the Certificate Insurance Policy; or

                  (iv) preserve and defend title to the Trust Estate and the
         rights of the Trustee, and the ownership interests of the Owners
         represented thereby, in such Trust Estate against the claims of all
         Persons and parties.

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                  Notwithstanding the foregoing, the Trustee shall be
responsible for all expenses incurred in connection with the custody and
delivery of the Mortgage Loan Documents.

                  The Trustee shall send copies of any request to take any
action pursuant to this SECTION 6.03 to the other parties hereto.

                  (b) The Trustee shall have the power to enforce, and shall
         enforce the obligations and rights of the other parties to this
         Agreement, the obligations of the Sellers under the Sale Agreements,
         the Depositor under SECTION 3.03(A) of this Agreement and Goldman Sachs
         Mortgage Company under the Sale and Warranties Agreement; in addition,
         the Owners, by action, suit or proceeding at law or equity, shall also
         have the power to enjoin, by action or suit in equity, any acts or
         occurrences which may be unlawful or in violation of the rights of the
         Owners as such rights are set forth in this Agreement; PROVIDED,
         HOWEVER, that nothing in this SECTION 6.03 shall require any action by
         the Trustee unless the Trustee shall first (i) have been furnished
         indemnity satisfactory to it and (ii) when required by this Agreement,
         have been requested by the Owners of a majority of the Percentage
         Interests represented by the Certificates then Outstanding or, if there
         are no longer any Offered Certificates then outstanding, by such
         majority of the Percentage Interests represented by the Class R
         Certificates.

                  (c) The Trustee shall execute any instrument required pursuant
         to this SECTION 6.03 so long as such instrument does not conflict with
         this Agreement or with the Trustee's fiduciary duties, or adversely
         affect its rights and immunities hereunder.

                  6.04 PERFORMANCE OF OBLIGATIONS.

                  The Trustee will not take any action that would release any
Person from any of such Person's covenants or obligations under any instrument
or document relating to the Certificates or which would result in the amendment,
hypothecation, subordination, termination or discharge of, or impair the
validity or effectiveness of, any such instrument or document, except as
expressly provided in this Agreement or such other instrument or document.

                  The Trustee may contract with other Persons to assist it in
performing its duties hereunder pursuant to SECTION 11.02(G).

                  6.05 NEGATIVE COVENANTS.

                  The Trustee, to the extent of its duties hereunder, will not
consent to the Trust or cause the Trust to:

                  (i) sell, transfer, exchange or otherwise dispose of any of
         the Trust Estate except as expressly permitted by this Agreement;

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                  (ii) claim any credit on or make any deduction from the
         distributions payable in respect of, the Certificates (other than
         amounts properly withheld from such payments under the Code) or assert
         any claim against any present or former Owner by reason of the payment
         of any taxes levied or assessed upon any of the Trust Estate;

                  (iii) incur, assume or guaranty any indebtedness of any
         Person;

                  (iv) dissolve or liquidate in whole or in part, except
         pursuant to Article X hereof;

                  (v) (A) cause or consent to an action which causes the
         validity or effectiveness of this Agreement to be impaired, or permit
         any Person to be released from any covenants or obligations with
         respect to the Trust or to the Certificates under this Agreement,
         except as may be expressly permitted hereby or (B) permit any lien,
         charge, adverse claim, security interest, mortgage or other encumbrance
         to be created on or extend to or otherwise arise upon or burden the
         Trust Estate or any part thereof or any interest therein or the
         proceeds thereof;

                  (vi) permit either Trust REMIC to accept a prohibited
         contribution or engage in a prohibited transaction pursuant to the
         REMIC Provisions; or

                  (vii) take any action that could cause either Trust REMIC to
         fail to qualify as such, or omit to take any action within the scope of
         its duties necessary to preserve the status of either Trust REMIC.

                  6.06 NO OTHER POWERS.

                  The Trustee will not permit the Trust to engage in any
business activity or transaction other than those activities permitted by
SECTION 2.03.

                  6.07 LIMITATION OF SUITS. No Owner shall have any right to
institute any proceeding, judicial or otherwise, with respect to this Agreement,
the Certificate Insurance Policy, the Sale Agreements or for the appointment of
a receiver or trustee of the Trust, or for any other remedy with respect to an
Event of Default hereunder, unless:

                  (i) such Owner has previously given written notice to the
         Depositor, and the Trustee of such Owner's intention to institute such
         proceeding;

                  (ii) the Owners of not less than 25% of the Percentage
         Interests represented by the Class A, Class M-1, Class B, Class P or
         Class X Certificates then Outstanding or, if there are no Class A,
         Class M-1, Class B, Class P or Class X Certificates then Outstanding,
         by such percentage of the Percentage Interests represented by the Class
         R Certificates, shall have made written request to the Trustee to
         institute such proceeding in its own name as Trustee establishing the
         Trust;

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                  (iii) such Owner or Owners have offered to the Trustee
         reasonable indemnity against the costs, expenses and liabilities to be
         incurred in compliance with such request;

                  (iv) the Trustee for sixty (60) days after its receipt of such
         notice, request and offer of indemnity has failed to institute such
         proceeding; and

                  (v) no direction inconsistent with such written request has
         been given to the Trustee during such sixty (60) day period by the
         Owners of a majority of the Percentage Interests represented by the
         Class A, Class M-1, Class B, Class P or Class X Certificates or, if
         there are no Class A, Class M-1, Class B, Class P or Class X
         Certificates then Outstanding, by such majority of the Percentage
         Interests represented by the Class R Certificates;

it being understood and intended that no one or more Owners shall have any right
in any manner whatever by virtue of, or by availing themselves of, any provision
of this Agreement to affect, disturb or prejudice the rights of any other Owner
of the same Class or to obtain or to seek to obtain priority or preference over
any other Owner of the same Class or to enforce any right under this Agreement,
except in the manner herein provided and for the equal and ratable benefit of
all the Owners of the same Class.

                  In the event the Trustee shall receive conflicting or
inconsistent requests and indemnity from two or more groups of Owners, each
representing less than a majority of the applicable Class of Certificates and
each conforming to paragraphs (i) through (v) of this SECTION 6.07, the Trustee
will act at the direction of Owners holding the greater amount of Certificates.
If the Trustee receives conflicting or inconsistent requests and indemnity from
two or more groups of Owners representing an equal amount of Outstanding
Certificates, the Trustee in its sole discretion may determine what action, if
any, shall be taken, notwithstanding any other provisions of this Agreement and
the Trustee shall not be liable for any action taken pursuant to this SECTION
6.07.

                  6.08 UNCONDITIONAL RIGHTS OF OWNERS TO RECEIVE DISTRIBUTIONS.

                  Notwithstanding any other provision in this Agreement, the
Owner of any Certificate shall have the right, which is absolute and
unconditional, to receive distributions to the extent provided herein and
therein with respect to such Certificate or to institute suit for the
enforcement of any such distribution, and such right shall not be impaired
without the consent of such Owner.

                  6.09 RIGHTS AND REMEDIES CUMULATIVE.

                  Except as otherwise provided herein, no right or remedy herein
conferred upon or reserved to the Trustee or the Owners is intended to be
exclusive of any other right or remedy, and every right and remedy shall, to the
extent permitted by law, be cumulative and in addition to every other right and
remedy given hereunder or now or hereafter existing at law or in equity or
otherwise. Except as otherwise provided herein,

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the assertion or employment of any right or remedy hereunder, or otherwise,
shall not prevent the concurrent assertion or employment of any other
appropriate right or remedy.

                  6.10 DELAY OR OMISSION NOT WAIVER.

                  No delay of the Trustee, any Owner of any Certificate or the
Certificate Insurer to exercise any right or remedy under this Agreement with
respect to any event described in SECTION 8.17 shall impair any such right or
remedy or constitute a waiver of any such event or an acquiescence therein.
Every right and remedy given by this ARTICLE VI or by law to the Trustee, the
Owners or the Certificate Insurer, may be exercised from time to time, and as
often as may be deemed expedient, by the Trustee, the Owners or the Certificate
Insurer, as the case may be.

                  6.11 CONTROL BY DEPOSITOR OR OWNERS.

                  The Owners of a majority of the Percentage Interests
represented by the Offered Certificates then Outstanding, or, if there are no
longer any Offered Certificates then Outstanding, by a majority of the
Percentage Interests represented by the Class R Certificates then Outstanding
may direct the time, method and place of conducting any proceeding for any
remedy available to the Trustee with respect to the Certificates or exercising
any trust or power conferred on the Trustee with respect to the Certificates or
the Trust Estate, including, but not limited to, those powers set forth in
SECTION 6.03 hereof, PROVIDED that:

                  (i) such direction shall not be in conflict with any rule of
         law or with this Agreement;

                  (ii) the Trustee shall have been provided with indemnity
         satisfactory to it; and

                  (iii) the Trustee may take any other action deemed proper by
         the Trustee, as the case may be, which is not inconsistent with such
         direction; PROVIDED, HOWEVER, that neither the Trustee nor the
         Depositor, as the case may be, need take any action which it determines
         might involve it in liability or may be unjustly prejudicial to the
         Owners not so directing.

                  6.12 INDEMNIFICATION.

                  The Depositor agrees to indemnify and hold the Servicers, the
Trustee, the Certificate Insurer and each Owner harmless against any and all
claims, losses, penalties, fines, forfeitures, legal fees and related costs,
judgments, and any other costs, fees and expenses that any Servicer, the
Trustee, the Certificate Insurer and any Owner may sustain in any way related to
the failure of the Depositor to perform its duties in compliance with the terms
of this Agreement. The Depositor shall immediately notify the Servicers, the
Trustee, the Certificate Insurer and each Owner if such a claim is made by a
third party with respect to this Agreement, and the Depositor shall assume (with
the consent of the Trustee, the related Servicer or the Certificate Insurer, as
applicable) the

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defense of any such claim and pay all expenses in connection therewith,
including reasonable counsel fees, and promptly pay, discharge and satisfy any
judgment or decree which may be entered against a Servicer, the Trustee and/or
any Owner in respect of such claim. The provisions of this SECTION 6.12 shall
survive the termination of this Agreement, the termination or resignation of a
Servicer, the Trustee or the Certificate Insurer and the payment of the
outstanding Certificates.

                                  ARTICLE VII

                       PAYMENTS TO THE CERTIFICATEHOLDERS

                  7.01 ESTABLISHMENT OF CERTIFICATE ACCOUNT; DEPOSITS IN
CERTIFICATE ACCOUNT; PERMITTED WITHDRAWALS FROM CERTIFICATE ACCOUNT.

                  (a) No later than the Closing Date, the Trustee will establish
         and maintain a trust account, in its name and for the benefit of
         Certificateholders and the Certificate Insurer, which shall not be
         interest bearing, titled "JPMorgan Chase Bank, as Trustee, in trust for
         the holders of GSRPM Mortgage Loan Trust 2003-1 Certificate Account,"
         (the "CERTIFICATE ACCOUNT").

                  (b) The Trustee shall promptly upon receipt, deposit into the
         Certificate Account and retain therein (i) the amounts received from
         Fairbanks and Wilshire pursuant to SECTION 8.04(C) and (ii) on each
         Remittance Date, the amounts received from Wilshire with respect to the
         Contracts pursuant to Article IX hereof.

                  (c) Amounts on deposit in the Certificate Account shall be
         withdrawn on each Distribution Date by the Trustee, or the Paying Agent
         on its behalf, to effect the applicable distributions described in
         SECTION 7.06(B).

                  7.02 RESERVED.

                  7.03 THE CERTIFICATE INSURANCE POLICY.

                  (a) If, based on the information provided by the applicable
Servicer pursuant to SECTION 8.04(D)(II), the Trustee determines that a
Deficiency Amount to be covered by the Certificate Insurance Policy will exist
for the related Distribution Date or that a Preference Amount to be covered by
the Certificate Insurance Policy exists, the Trustee shall complete the notice
in the form of Exhibit A to the Certificate Insurance Policy (the "CERTIFICATE
INSURER NOTICE") and submit such Certificate Insurer Notice in accordance with
the Certificate Insurance Policy to the Certificate Insurer no later than 12:00
P.M., New York City time, on the second Business Day immediately preceding such
Distribution Date, as a claim for the amount of such Deficiency Amount or
Preference Amount.

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                  (b) No later than the Closing Date, the Trustee will establish
and maintain a trust account, in its name and for the benefit of Holders of the
Class A Certificates, titled "JPMorgan Chase Bank, as Trustee, in trust for the
holders of GSRPM Mortgage Loan Trust 2003-1 Certificate Insurance Account," (the
"CERTIFICATE INSURANCE ACCOUNT"). Upon receipt of an Insured Payment from the
Certificate Insurer on behalf of the Holders of any of the Class A Certificates,
the Trustee shall deposit such Insured Payment in the Certificate Insurance
Account. All amounts on deposit in the Certificate Insurance Account shall
remain uninvested. The Trustee shall distribute on each Distribution Date any
Insured Payment relating to interest and any Insured Payment relating to
principal or losses for such Distribution Date from the Certificate Insurance
Account as provided in SECTION 7.06(C).

                  (c) The Trustee shall (i) receive as attorney-in-fact of each
Holder of a Class A Certificate any related Insured Payment from the Certificate
Insurer and (ii) distribute such Insured Payment to such Certificateholders as
set forth in subsection (b) above. Insured Payments disbursed by the Trustee
from proceeds of the Certificate Insurance Policy shall not be considered
payment by the Trust with respect to the Class A Certificates, nor shall such
disbursement of such Insured Payments discharge the obligations of the Trust
with respect to the amounts thereof, and the Certificate Insurer shall become
the owner of such amounts to the extent covered by such Insured Payments as the
deemed assignee of such Holders of Class A Certificates. The Trustee hereby
agrees (and each Holder of a Class A Certificate by its acceptance of its Class
A Certificates hereby agrees) for the benefit of the Certificate Insurer that
the Trustee shall recognize that to the extent the Certificate Insurer pays
Insured Payments, either directly or indirectly (as by paying amounts to Trustee
for distribution to such Holders), to such Holders, the Certificate Insurer will
be entitled to be subrogated to the rights of the such Holders to the extent of
such Insured Payments.

                  7.04 INVESTMENT OF ACCOUNTS.

                  (a) Amounts on deposit in the Certificate Insurance Account
shall be held uninvested. Amounts on deposit in the Certificate Account may be
invested by the Trustee in Eligible Investments, for the benefit of the
Depositor and upon the direction of the Depositor, on each Remittance Date. If
no investment direction of the Depositor with respect to the Certificate Account
is received by the Trustee, the Trustee shall invest the funds in such account
in Eligible Investments managed by the Trustee or an Affiliate of the kind
described in clause (f) of the definition of Eligible Investments. Such Eligible
Investments shall mature or be redeemable three Business Days prior to the
Distribution Date and any net investment income therefrom shall be distributed
to the Depositor in accordance with its written instructions. In the event of a
loss in the Certificate Account because of an Eligible Investment, the Depositor
shall be required to deposit the amount of such loss into the Certificate
Account within one Business Day of realization of such loss.

                  (b) Amounts on deposit in the Collection Account established
by Fairbanks and Wilshire, as applicable, may be invested by the applicable
Servicer in

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Eligible Investments subject to Section 7.04(b), and all such investments shall
mature on or before the next Remittance Date. All income or other gain from
investments in any Collection Account established pursuant to this Agreement
shall be for the account of Fairbanks or Wilshire, as applicable. Any loss
resulting from any investments shall be for the account of the Person that
directed the Investment and promptly upon the realization of such loss such
Person shall contribute funds in an amount equal to such loss to such Account.

                  7.05 ELIGIBLE INVESTMENT.

                  The following are "ELIGIBLE INVESTMENTS":

                  (a) direct obligations of, or obligations fully guaranteed as
         to timely payment of principal and interest by, the United States or
         any agency or instrumentality thereof, provided such obligations are
         backed by the full faith and credit of the United States;

                  (b) demand and time deposits in, certificates of deposit of,
         or bankers' acceptances (which shall each have an original maturity of
         not more than 90 days and, in the case of bankers' acceptances, shall
         in no event have an original maturity of more than 365 days or a
         remaining maturity of more than 30 days) denominated in United States
         dollars and issued by any Depository Institution and rated F1+ by
         Fitch, P-1 by Moody's and A-1+ by S&P;

                  (c) repurchase obligations with respect to any security
         described in clause (a) above entered into with a Depository
         Institution (acting as principal);

                  (d) securities bearing interest or sold at a discount that are
         issued by any corporation incorporated under the laws of the United
         States of America or any state thereof and that are rated by each
         Rating Agency that rates such securities in its highest long-term
         unsecured rating categories at the time of such investment or
         contractual commitment providing for such investment;

                  (e) commercial paper (including both non-interest-bearing
         discount obligations and interest-bearing obligations payable on demand
         or on a specified date not more than 30 days after the date of
         acquisition thereof) that is rated by each Rating Agency that rates
         such securities in its highest short-term unsecured debt rating
         available at the time of such investment;

                  (f) units of money market funds, including money market funds
         advised by the Depositor or the Trustee or an Affiliate thereof, that
         have been rated "Aaa" by Moody's, "AAAm" or "AAAm-G" by Standard &
         Poor's and, if rated by Fitch, at least "AA" by Fitch; and

                  (g) if previously confirmed in writing to the Trustee, any
         other demand, money market or time deposit, or any other obligation,
         security or investment, as

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         may be acceptable to the Rating Agencies (without regard to the
         Certificate Insurance Policy) as a permitted investment of funds
         backing "Aaa" or "AAA" rated securities;

         PROVIDED, HOWEVER, that no instrument described hereunder shall
         evidence either the right to receive (a) only interest with respect to
         the obligations underlying such instrument or (b) both principal and
         interest payments derived from obligations underlying such instrument
         and the interest and principal payments with respect to such instrument
         provide a yield to maturity at par greater than 120% of the yield to
         maturity at par of the underlying obligations.

                  7.06 PRIORITY AND SUBORDINATION OF DISTRIBUTIONS.

                  (a) (1)(A) On each Distribution Date, the following amounts,
         in the following order of priority, shall be distributed by REMIC I to
         REMIC II on account of the REMIC I Regular Interests or withdrawn from
         the Distribution Account and distributed to the holders of the Class R
         Certificates (in respect of the Class R-I Interest), as the case may
         be:

                  (i) to Holders of REMIC I Regular Interest LT-AA, REMIC I
         Regular Interest LT-A1, REMIC I Regular Interest LT-A2, REMIC I Regular
         Interest LT-A3, REMIC I Regular Interest LT-M1, REMIC I Regular
         Interest LT-B1, REMIC I Regular Interest LT-B2, REMIC I Regular
         Interest LT-B3, REMIC I Regular Interest LT-ZZ and REMIC I Regular
         Interest LT-P, pro rata, in an amount equal to (A) the Uncertificated
         Accrued Interest for such Distribution Date, plus (B) any amounts in
         respect thereof remaining unpaid from previous Distribution Dates.
         Amounts payable as Uncertificated Accrued Interest in respect of REMIC
         I Regular Interest LT-ZZ shall be reduced and deferred when the REMIC I
         Overcollateralized Amount is less than the REMIC I
         Overcollateralization Target Amount, by the lesser of (x) the amount of
         such difference and (y) the REMIC I Regular Interest LT-ZZ Maximum
         Interest Deferral Amount and such amount will be payable to the Holders
         of REMIC I Regular Interest LT-A1, REMIC I Regular Interest LT-A2,
         REMIC I Regular Interest LT-A3, REMIC I Regular Interest LT-M1, REMIC I
         Regular Interest LT-B1, REMIC I Regular Interest LT-B2 and REMIC I
         Regular Interest LT-B3 in the same proportion as the Excess
         Subordinated Amount is allocated to the Corresponding Certificates;

                  (ii) second, to the Holders of REMIC I Regular Interests, in
         an amount equal to the remainder of the Available Funds for such
         Distribution Date after the distributions made pursuant to clause (i)
         above, allocated as follows:

                           (a) to the Holders of REMIC I Regular Interest LT-AA
                  and REMIC I Regular Interest LT-P, 98.00% of such remainder
                  (other than amounts payable under clause (d) below), until the
                  Uncertificated Principal Balance of such REMIC I Regular
                  Interest is reduced to zero,

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                  provided, however, that REMIC I Regular Interest LT-P shall
                  not be reduced until the Distribution Date immediately
                  following the expiration of the latest Prepayment Penalty as
                  identified on the Schedule of Mortgage Loans or any
                  Distribution Date thereafter, at which point such amount shall
                  be distributed to REMIC I Regular Interest L-TP, until $100
                  has been distributed pursuant to this clause;

                           (b) to the Holders of REMIC I Regular Interest LT-A1,
                  REMIC I Regular Interest LT-A2, REMIC I Regular Interest
                  LT-A3, REMIC I Regular Interest LT-M1, REMIC I Regular
                  Interest LT-B1, REMIC I Regular Interest LT-B2, and REMIC I
                  Regular Interest LT-B3, 1.00% of such remainder (other than
                  amounts payable under clause (d) below), in the same
                  proportion as principal payments are allocated to the
                  Corresponding Certificates, until the Uncertificated Principal
                  Balances of such REMIC I Regular Interests are reduced to
                  zero;

                           (c) to the Holders of REMIC I Regular Interest LT-ZZ,
                  1.00% of such remainder (other than amounts payable under
                  clause (d) below), until the Uncertificated Principal Balance
                  of such REMIC I Regular Interest is reduced to zero; then

                           (d) any remaining amount to the Holders of the Class
                  R Certificates (in respect of the Class R-I Interest); and

                  On each Distribution Date, all amounts representing Prepayment
Penalties in respect of the Mortgage Loans received during the related
Collection Period will be distributed by REMIC I to the Holders of REMIC I
Regular Interest I-LTP. The payment of the foregoing amounts to the Holders of
REMIC I Regular Interest I-LTP shall not reduce the Uncertificated Principal
Balance thereof.

                  (b) On each Distribution Date, after payment of the Trustee
         Fee and any Senior Trustee Expenses then due, the Trustee shall
         withdraw from the Certificate Account the Available Distribution Amount
         for REMIC II to make the distribution thereof in the following order of
         priority:

                  (i) to pay to the Certificate Insurer the Certificate
Insurance Premium then due;

                  (ii) to make payments in respect of interest to the
Certificates and payments to the Certificate Insurer in the following amounts
and order of priority;

                  (A) to the Class A Certificates, the Accrued Certificate
Interest and any unpaid Accrued Certificate Interest from the prior Distribution
Date allocable to each such class, on a PRO RATA basis based on the entitlement
of each such class;

                  (B) to the Certificate Insurer, any Reimbursement Amount;

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                  (C) to the Class M-1 Certificates, the Accrued Certificate
Interest allocable to the Class M-1 Certificates;

                  (D) to the Class B-1 Certificates, the Accrued Certificate
Interest allocable to the Class B-1 Certificates;

                  (E) to the Class B-2 Certificates, the Accrued Certificate
Interest allocable to the Class B-2 Certificates; and

                  (F) to the Class B-3 Certificates, the Accrued Certificate
Interest allocable to the Class B-3 Certificates.

                  (iii) on each Distribution Date (x) prior to the Stepdown Date
or (y) on which a Trigger Event is in effect, to Holders of the related Class or
Classes of Certificates then entitled to distributions of principal and to the
Certificate Insurer after making distributions pursuant to clauses (i) and (ii)
above, to the extent of the Principal Distribution Amount, in the following
amounts and order of priority:

                  (A) to the Class A Certificates until the Certificate Balances
thereof have been reduced to zero concurrently as follows:

                           (1) 50% of the Principal Distribution Amount,
         sequentially in the following order, to the Class A-1 Certificates and
         the Class A-2 Certificates, until the Certificate Balance of each such
         Class has been reduced to zero;

                           (2) 50% of the Principal Distribution Amount to the
         Class A-3 Certificates until the Certificate Balance of each such Class
         has been reduced to zero;

                  (B) to the Certificate Insurer, the amount of any
Reimbursement Amount not reimbursed pursuant to clause (ii)(B) above;

                  (C) to the Class M-1 Certificates, until the Certificate
Balance of thereof has been reduced to zero;

                  (D) to the Class B-1 Certificates, until the Certificate
Balance of thereof has been reduced to zero;

                  (E) to the Class B-2 Certificates, until the Certificate
Balance of thereof has been reduced to zero;

                  (F) to the Class B-3 Certificates, until the Certificate
Balance of thereof has been reduced to zero;

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                  (iv) on each Distribution Date (x) on or after the Stepdown
Date and (y) on which a Trigger Event is not in effect, to Holders of the
related Class or Classes of Certificates then entitled to distributions of
principal and to the Certificate Insurer after making distributions pursuant to
clauses (i) and (ii) above, to the extent of the Principal Distribution Amount,
in the following amounts and order of priority:

                  (A) to the Class A Certificates until the Certificate Balances
thereof have been reduced to zero concurrently as follows:

                           (1) 50% of the lesser of (x) Principal Distribution
         Amount and (y) the Class A Principal Distribution Amount, sequentially
         in the following order, to the Class A-1 Certificates and the Class A-2
         Certificates, until the Certificate Balance of each such Class has been
         reduced to zero;

                           (2) 50% of the lesser of (x) the Principal
         Distribution Amount and (y) the Class A Principal Distribution Amount,
         to the Class A-3 Certificates until the Certificate Balance of each
         such Class has been reduced to zero;

                  (B) to the Certificate Insurer, the amount of any
Reimbursement Amount not reimbursed pursuant to clause (ii)(B) above;

                  (C) to the Class M-1 Certificates, the lesser of (x) the
remaining Principal Distribution Amount and (y) the Class M-1 Principal
Distribution Amount, until the Certificate Balance of thereof has been reduced
to zero;

                  (D) to the Class B-1 Certificates, the lesser of (x) the
remaining Principal Distribution Amount and (y) the Class B-1 Principal
Distribution Amount, until the Certificate Balance of thereof has been reduced
to zero;

                  (E) to the Class B-2 Certificates, the lesser of (x) the
remaining Principal Distribution Amount and (y) the Class B-2 Principal
Distribution Amount, until the Certificate Balance of thereof has been reduced
to zero;

                  (F) to the Class B-3 Certificates, the lesser of (x) the
remaining Principal Distribution Amount and (y) the Class B-3 Principal
Distribution Amount, until the Certificate Balance of thereof has been reduced
to zero;

                  (v) on each Distribution Date, the Net Monthly Excess Cashflow
(or, in the case of clause (A) below, the Net Monthly Excess Cashflow exclusive
of any Excess Subordinated Amount) shall be distributed as follows:

                  (A) to the Holders of Certificates then entitled to receive
distributions in respect of principal, in an amount equal to any Extra Principal
Distribution Amount which shall be included in the Principal Distribution Amount
payable to such Holders;

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                  (B) to the Class M-1 Certificates, the Interest Shortfall
Carryforward Amount allocable to the Class M-1 Certificates;

                  (C) to the Class B-1 Certificates, the Interest Shortfall
Carryforward Amount allocable to the Class B-1 Certificates;

                  (D) to the Class B-2 Certificates, the Interest Shortfall
Carryforward Amount allocable to the Class B-2 Certificates;

                  (E) to the Class B-3 Certificates, the Interest Shortfall
Carryforward Amount allocable to the Class B-3 Certificates;

                  (F) to the Reserve Fund from amounts otherwise payable to the
Class X Certificates, and then from the Reserve Fund to pay the Basis Risk Carry
Forward Amounts allocable to the Class A Certificates, the Class M-1
Certificates and the Class B Certificates in the same order of priority in which
Accrued Certificate Interest is allocated among such Certificates with the
allocation to the Class A Certificates being PRO RATA based on their respective
Basis Risk Carry Forward Amounts;

                  (vi) on each Distribution Date, all amounts representing
Prepayment Penalities from the Household Mortgage Loans received during the
related Collection Period will be distributed to the Holders of the Class P
Certificates.

                  (vii) to pay to the Trustee and to each Servicer, PRO RATA,
amounts reimbursable pursuant to this Agreement in excess of amounts paid to the
Trustee or the Servicers as described under the first paragraph of SECTION
7.06(B) and not reimbursable to the Servicers under SECTION 8.04(D)(I);

                  (viii) to pay to the Class X Certificates, the Accrued
Certificate Interest and the Overcollateralization Reduction Amount for such
Distribution Date; and

                  (ix) to pay to the Holder of the Class R Certificates, any
amount remaining in REMIC II; provided that if such Distribution Date is the
Distribution Date immediately following the expiration of the latest Prepayment
Penalty term as identified on the Schedule of Mortgage Loans or any Distribution
Date thereafter, then any such remaining amounts will be distributed first, to
the Holders of the Class P Certificates, until the Certificate Balance thereof
has been reduced to zero; and second, to the Holders of the Class R
Certificates.

                  (c) On each Distribution Date, following the distribution of
the Available Distribution Amount pursuant to SECTION 7.06(B), the Trustee shall
withdraw from the Certificate Insurance Account the amount of any Insured
Payment received by it for such Distribution Date and shall distribute to the
holders of the Class A Certificates, as applicable, (A) as interest, any portion
of such Insured Payment made in respect of an Insured Amount of interest for
such Class or in respect of a Preference Amount of interest for such Class and
(B) as principal, in reduction of the Certificate Balances of the Class A
Certificates, any portion of such Insured Payment made in respect of an Insured

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Amount of principal or made in respect of a Preference Amount of principal for
the Class A Certificates; PROVIDED, HOWEVER, that any Insured Payment made in
respect of an Insured Amount of principal shall be allocated to the Class A
Certificates.

                  (d) All distributions made to the Certificateholders on each
Distribution Date will be made on a PRO RATA basis among the Certificateholders
of the respective Class of record on the next preceding Record Date based on the
Percentage Interest represented by their respective Certificates, and shall,
except for the final payment on such Certificates, be made either (x) by wire
transfer of immediately available funds to the account of such Certificateholder
as shall appear on the Register without the presentation or surrender of the
Certificate or the making of any notation thereon, at a bank or other entity
having appropriate facilities therefor as directed by the Certificateholder in
writing or (y) in the event that no wire instructions are provided to the
Trustee, by check mailed by first class mail to such Certificateholder at the
address of such holder appearing in the Register.

                  7.07 ALLOCATION OF REALIZED LOSSES

                  (a) All Realized Losses on the Mortgage Loans allocated to any
         REMIC I Regular Interest pursuant to Section 7.07(b) on the Mortgage
         Loans shall be allocated by the Trustee on each Distribution Date as
         follows: first, to Net Monthly Excess Cashflow; second, to the Class X
         Certificates, until the Certificate Balance thereof has been reduced to
         zero, third, to the Class B-3 Certificates, until the Certificate
         Balance thereof has been reduced to zero; fourth, to the Class B-2
         Certificates, until the Certificate Balance thereof has been reduced to
         zero; fifth, to the Class B-1 Certificates, until the Certificate
         Balance thereof has been reduced to zero; sixth, to the Class M-1
         Certificates, until the Certificate Balance thereof has been reduced to
         zero; and seventh, if, but only if a Certificate Insurer Default has
         occurred and is continuing on such Distribution Date, to the Class A
         Certificates, on a PRO RATA basis until the Realized Loss amount is
         zero. Prior to the allocation of Realized Losses to the Class A
         Certificates the Trustee shall complete and deliver to the Certificate
         Insurer the Certificate Insurer Notice and demand payment of such
         Realized Losses. All Realized Losses to be allocated to the Certificate
         Balances of all Classes on any Distribution Date shall be so allocated
         after the actual distributions to be made on such date as provided
         above. All references above to the Certificate Balance of any Class of
         Certificates shall be to the Certificate Balance of such Class
         immediately prior to the relevant Distribution Date, before reduction
         thereof by any Realized Losses, in each case to be allocated to such
         Class of Certificates, on such Distribution Date.

                  Any allocation of Realized Losses to a Class of Certificates
(other than the Class X Certificates) on any Distribution Date shall be made by
reducing the Certificate Balance thereof by the amount so allocated; any
allocation of Realized Losses to a Class

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X Certificate shall be made by reducing the amount otherwise payable in respect
thereof pursuant to Section 7.06(b)(viii).

                  All Realized Losses allocated to a Class of Certificates
hereunder will be allocated among the, Certificates of such Class in proportion
to the Percentage Interests evidenced thereby.

                  (b) All Realized Losses on the Mortgage Loans shall be
         allocated by the Trustee on each Distribution Date to the following
         REMIC I Regular Interests in the specified percentages, as follows:
         first, to Uncertificated Accrued Interest payable to the REMIC I
         Regular Interest LT-AA and REMIC I Regular Interest LT-ZZ up to an
         aggregate amount equal to the REMIC I Interest Loss Allocation Amount,
         98% and 2%, respectively; second, to the Uncertificated Principal
         Balances of the REMIC I Regular Interest LT-AA and REMIC I Regular
         Interest LT-ZZ up to an aggregate amount equal to the REMIC I Principal
         Loss Allocation Amount, 98% and 2%, respectively; third, to the
         Uncertificated Principal Balances of REMIC I Regular Interest LTAA,
         REMIC I Regular Interest LT-B3 and REMIC I Regular Interest LT-ZZ, 98%,
         1% and 1%, respectively, until the Uncertificated Balance of REMIC I
         Regular Interest LT-B3 has been reduced to zero; fourth to the
         Uncertificated Principal Balances of REMIC I Regular Interest LTAA,
         REMIC I Regular Interest LT-B2 and REMIC I Regular Interest LT-ZZ, 98%,
         1% and 1%, respectively, until the Uncertificated Balance of REMIC I
         Regular Interest LT-B2 has been reduced to zero; fifth to the
         Uncertificated Principal Balances of REMIC I Regular Interest LT-AA,
         REMIC I Regular Interest LT-B1 and REMIC I Regular Interest LT-ZZ, 98%,
         1% and 1%, respectively, until the Uncertificated Balance of REMIC I
         Regular Interest LT-B1 has been reduced to zero; and sixth to the
         Uncertificated Principal Balances of REMIC I Regular Interest LT-AA,
         REMIC I Regular Interest LT-M1 and REMIC I Regular Interest LT-ZZ, 98%,
         1% and 1%, respectively, until the Uncertificated Balance of REMIC I
         Regular Interest LT-M1 has been reduced to zero.

                  7.08 STATEMENTS.

                  (a) Based solely upon the information provided to it by the
Servicers pursuant to Section 7.08(d) hereof, not later than each Distribution
Date, the Trustee shall make available on its website initially located at
www.jpmorgan.com/absmbs to the Depositor, each Owner, the Servicers, the
Certificate Insurer and the Rating Agencies a statement setting forth the
following information:

                  (i) the aggregate amount on deposit in the Certificate Account
         on such Distribution Date;

                  (ii) the Accrued Certificate Interest, Interest Shortfall
         Carryforward Amount, if any, the Basis Risk Carry Forward Amount, if
         any, and the Principal Distribution Amount, with respect to each Class
         individually, all Classes of the

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         Offered Certificates in the aggregate, all Classes of Class A
         Certificates in the aggregate and all Classes of Class B Certificates
         in the aggregate;

                  (iii) the Pass-Through Rate for each Class of Certificates
         applicable to the related Accrual Period and LIBOR applicable to the
         Certificates with respect to such Distribution Date;

                  (iv) the application of the amounts described in clause (ii)
         above to the allocation and distribution of payment to the holders of
         Class A, Class M-1 and Class B Certificates and the amount of
         Prepayment Penalties attributable to the Household Mortgage Loans
         distributable to the Class P Certificates, on the next Distribution
         Date in accordance with this Agreement;

                  (v) the Certificate Balance of each Class of Class A
         Certificates and Class B Certificates and the Class M-1 Certificates,
         the aggregate amount of the interest and principal of each Class of
         Offered Certificates to be paid on such Distribution Date and the
         remaining Certificate Balance of each Class of Offered Certificates
         following any such payment;

                  (vi) the amount of Insured Payments, if any;

                  (vii) the amount, if any, of any Realized Losses for the
         related Collection Period in the aggregate, for each Class of Offered
         Certificates and the amount of Cumulative Realized Losses as of the
         last day of the related Collection Period;

                  (viii) whether a Fairbanks Termination Trigger Event, Wilshire
         Termination Trigger Event or a GreenPoint Termination Trigger Event has
         occurred;

                  (ix) the amount of the distribution with respect to each Class
         of Offered Certificates (based on a Certificate in the original
         principal amount of $1,000);

                  (x) the amount of such distribution allocable to principal of
         the Mortgage Loans, separately identifying the aggregate amount of any
         Principal Prepayments, Loan Purchase Price amounts or other recoveries
         of principal included therein;

                  (xi) the amount of such distribution allocable to interest on
         the Mortgage Loans (based on a Certificate in the original principal
         amount of $1,000);

                  (xii) the principal amount, if any, of each Class of the
         Offered Certificates (based on a Certificate in the original principal
         amount of $1,000) which will be outstanding after giving effect to any
         payment of principal on such Distribution Date;

                  (xiii) the aggregate Pool Balance of all Mortgage Loans, as of
         the last day of the related Collection Period;

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                  (xiv) based upon information furnished by the Depositor such
         information as may be required by Section 6049(d)(7)(C) of the Code to
         assist the Certificateholders in computing their market discount;

                  (xv) the weighted average interest rate of the Mortgage Loans;

                  (xvi) the weighted average remaining term of the Mortgage
         Loans;

                  (xvii) the number and Stated Principal Balance of the Mortgage
         Loans that were 60 days or more Delinquent for each of the preceding
         three months as of the close of business on the last Business Day of
         the calendar month next preceding the Distribution Date;

                  (xviii) such other information as the Depositor may reasonably
         request with respect to Mortgage Loans that are Delinquent;

                  (xix) the Stated Principal Balance of the largest Mortgage
         Loans outstanding;

                  (xx) the number, aggregate Stated Principal Balances and
         percentage of Mortgage Loans that are: (A) 30-59 days Delinquent, (B)
         60-89 days Delinquent and (C) 90-119 days Delinquent, (D) 120-149 days
         Delinquent, (E) 150-179 days Delinquent and (F) 180 or more days
         Delinquent, as of the close of business on the last Business Day of the
         calendar month next preceding the Distribution Date and the aggregate
         number and aggregate Stated Principal Balance of such Mortgage Loans;

                  (xxi) the status, the number, and the Stated Principal
         Balances of all Mortgage Loans that are in foreclosure proceedings as
         of the close of business on the last Business Day of the calendar month
         next preceding such Distribution Date;

                  (xxii) the number of Mortgagors and the Stated Principal
         Balances of the related Mortgages for all Mortgage Loans involved in
         bankruptcy proceedings and whether such Mortgage Loans are (A) 30-59
         days Delinquent, (B) 60-89 days Delinquent and (C) 90-119 days
         Delinquent, (D) 120-149 days Delinquent, (E) 150-179 days Delinquent
         and (F) 180 or more days Delinquent, as of the close of business on the
         last Business Day of the calendar month next preceding such
         Distribution Date;

                  (xxiii) the number of Mortgagors and the Stated Principal
         Balances of the related Mortgages for all Mortgage Loans involved in
         foreclosure proceedings and whether such Mortgage Loans are (A) 30-59
         days Delinquent, (B) 60-89 days Delinquent and (C) 90-119 days
         Delinquent, (D) 120-149 days Delinquent, (E) 150-179 days Delinquent
         and (F) 180 or more days Delinquent, as of the close of business on the
         last Business Day of the calendar month next preceding such
         Distribution Date;

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                  (xxiv) the existence and status of any Mortgaged Properties
         for all Mortgage Loans as to which title has been taken in the name of,
         or on behalf of the Trustee, as of the close of business of the last
         Business Day of the month next preceding the Distribution Date;

                  (xxv) the book value of any real estate acquired through
         foreclosure or grant of a deed in lieu of foreclosure for all Mortgage
         Loans as of the close of business on the last Business Day of the
         calendar month next preceding the Distribution Date;

                  (xxvi) the number of Mortgage Loans;

                  (xxvii) identifying the aggregate amount received from:

                  a.       Curtailments;

                  b.       voluntary payoffs;

                  c.       Involuntary Payoffs (the amount of Net Liquidation
                           Proceeds applicable to the unpaid principal balance
                           from the loan); and

                  d.       Mortgage Loans purchased from the Trust;

                  as of the close of business on the last Business Day of the
related Collection Period;

                  (xxviii) the number and Stated Principal Balance of all
         Mortgage Loans that are subject to loss mitigation as of the close of
         business on the last Business Day of the calendar month next preceding
         the Distribution Date;

                  (xxix) the number and Stated Principal Balance of Mortgage
         Loans that are being contested because of Section 32 of the Truth in
         Lending Act;

                  (xxx) the amount of current and cumulative Realized Losses
         (separately identifying principal and interest losses) from following
         resolution types:

                  a.       REO Property sold;

                  b.       short sale;

                  c.       deed in lieu;

                  d.       no equity second mortgages; and

                  e.       other;

                  as of the close of business on the last Business Day of the
related Collection Period;

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                  (xxxi) the number and Pool Balance with respect to each
         product type of all Mortgage Loans in Chapter 13 of the United States
         Bankruptcy Code ("CHAPTER 13 LOANS") separately identifying:

                  a.       those Chapter 13 Loans that are currently meeting
                           their payment plan;

                  b.       those Chapter 13 Loans that are 1 to 2 payments
                           behind their payment plan;

                  c.       those Chapter 13 Loans that are 2 to 3 payments
                           behind their payment plan;

                  d.       those Chapter 13 Loans that are greater than 3
                           payments behind their payment plan;

                  e.       those Chapter 13 Loans that are greater than 4
                           payments behind their payments; and

                  f.       those Chapter 13 Loans that are greater than 5
                           payments behind their payments;

                  (xxxii) the calculations and results of calculations of each
         Stepdown Date test performed;

                  (xxxiii) the number and Stated Principal Balance of each
         Mortgage Loan purchased pursuant to SECTION 8.21; and

                  (xxxiv) any other information that the Depositor, the Trustee,
         the Certificate Insurer or the relevant Servicer deems necessary.

                  (b) The Trustee shall report to the Depositor, the Certificate
Insurer and each Certificateholder, with respect to the amount on deposit in the
Certificate Account and the identity of the investments included therein, as the
Depositor may from time to time reasonably request. Without limiting the
generality of the foregoing, the Trustee shall, at the request of the Depositor
or the Certificate Insurer transmit promptly to the Depositor and the
Certificate Insurer copies of all accounting of receipts in respect of the
Mortgage Loans furnished to it by each Servicer and shall notify the Depositor
if any Remittance Amount has not been received by the Trustee when due.

                  (c) The Trustee shall report to the Depositor, the Certificate
Insurer and each Certificateholder with respect to any written notices it may
from time to time receive which provide an Authorized Officer with actual
knowledge that certain of the statements set forth in this Agreement are
inaccurate.

                  (d) Each of Fairbanks and Wilshire shall furnish to the
Trustee, and each Owner of any Class X Certificate, in each case during the term
of this Agreement, (i)

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such information with respect to the Mortgage Loans serviced by such Servicer as
is necessary to prepare its report provided for in SECTION 7.08, (ii) with
respect to the Contracts, Wilshire shall deliver to the Trustee a copy of the
monthly report delivered to Wilshire from GreenPoint pursuant to the GreenPoint
Servicing Agreement, and (iii) periodic, special or other reports or information
not specifically provided for herein, as may be necessary, reasonable, or
appropriate with respect to the Trustee or otherwise with respect to the
purposes of this Agreement, all such reports or information to be provided by
and in accordance with such applicable instructions and directions as the
Trustee may reasonably require; PROVIDED, that each such Servicer shall be
entitled to be reimbursed by the requesting party for the fees and actual
expenses associated with providing the reports described in clause (iii), if
such reports are not generally produced in the ordinary course of business,
PROVIDED that any reports requested by the Trustee (other than at the request of
a third party who shall be responsible for such fees and expenses) shall be
reimbursed by the Trust as Trust Expenses. The Trustee's responsibility for
providing the report described in SECTION 7.08 shall be limited to the
availability, timeliness and accuracy of the information provided therefor by
the relevant Servicer.

                  7.09 REPORTS OF FORECLOSURE AND ABANDONMENT OF MORTGAGED
PROPERTY.

                  Each year the Trustee shall execute and return to Fairbanks
and Wilshire, as applicable, for filing the reports of foreclosures and
abandonments of any Mortgaged Property prepared by such Servicer required by
Section 6050J of the Code. In order to facilitate this reporting process, each
of Fairbanks and Wilshire, on or before January 15th of each year, shall provide
to the Trustee reports as to (i) any Mortgaged Property in which the Servicer on
behalf of the Trust Fund acquired an interest in a Mortgaged Property through
foreclosure or other comparable conversion in full or partial satisfaction of
the Mortgage Loan, or (ii) any Mortgaged Property with respect to which the
related Servicer knew or had reason to know that such Mortgaged Property had
been abandoned. The reports from Fairbanks and Wilshire shall be in form and
substance sufficient to enable the Trustee to meet the reporting requirements
imposed by such Section 6050J.

                  7.10 RESERVE FUND.

                  (a) No later than the Closing Date, the Trustee shall
establish and maintain a separate, segregated trust account titled, "Reserve
Fund, JPMorgan Chase Bank, in trust for the registered holders of GSRPM Mortgage
Loan Trust 2003-1, Mortgage Pass-Through Certificates, Series 2003-1." On the
Closing Date, the Depositor will deposit, or cause to be deposited, into the
Reserve Fund $1,000.

                  (b) On each Distribution Date as to which there is a Basis
Risk Carry Forward Amount payable to the Certificates, the Trustee has been
directed by the Majority Class X Certificateholder, pursuant to SECTION 7.10(d)
hereof, to, and therefore will, deposit into the Reserve Fund the amounts
described in Section 7.06(b)(v)(F), rather than distributing such amounts to the
Class X Certificateholders. On each such

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Distribution Date, the Trustee shall hold all such amounts for the benefit of
the Holders of the Class A Certificates, Class M-1 Certificates and Class B
Certificates, and will distribute such amounts to the Holders of the Class A
Certificates, Class M-1 Certificates and the Class B Certificates in the amounts
and priorities set forth in Section 7.06(v). If no Basis Risk Carry Forward
Amounts are payable on a Distribution Date, the Trustee shall deposit into the
Reserve Fund on behalf of the Class X Certificateholders, from amounts otherwise
distributable to the Class X Certificateholders, an amount such that when added
to other amounts already on deposit in the Reserve Fund, the aggregate amount on
deposit therein is equal to $1,000.

                  (c) For federal and state income tax purposes, the Class X
Certificateholders will be deemed to be the owners of the Reserve Fund and all
amounts deposited into the Reserve Fund shall be treated as amounts distributed
by REMIC II to the Holders of the Class X Certificates. Upon the termination of
the Trust Fund, or the payment in full of the Class A Certificates, Class M-1
and Class B Certificates, all amounts remaining on deposit in the Reserve Fund
will be released by the Trust Fund and distributed to the Class X
Certificateholders or their designees, on a PRO RATA basis. The Reserve Fund
will be part of the Trust Fund but not part of any REMIC and any payments to the
Holders of the Class A Certificates, Class M-1 Certificates or Class B
Certificates of Basis Risk Carry Forward Amounts will not be payments with
respect to a "regular interest" in a REMIC within the meaning of Code Section
860(G)(a)(1).

                  (d) By accepting a Class X Certificate, each Class X
Certificateholder hereby agrees to direct the Trustee, and the Trustee hereby is
directed, to deposit into the Reserve Fund the amounts described above on each
Distribution Date as to which there is any Basis Risk Carry Forward Amount
rather than distributing such amounts to the Class X Certificateholders. By
accepting a Class X Certificate, each Class X Certificateholder further agrees
that such direction is given for good and valuable consideration, the receipt
and sufficiency of which is acknowledged by such acceptance.

                  (e) At the direction of the Majority Class X
Certificateholder, the Trustee shall direct any depository institution
maintaining the Reserve Fund to invest the funds in such account in one or more
Eligible Investments bearing interest or sold at a discount, and maturing,
unless payable on demand, (i) no later than the Business Day immediately
preceding the date on which such funds are required to be withdrawn from such
account pursuant to this Agreement, if a Person other than the Trustee or an
Affiliate manages or advises such investment, and (ii) no later than the date on
which such funds are required to be withdrawn from such account pursuant to this
Agreement, if the Trustee or an Affiliate manages or advises such investment. If
no investment direction of the Majority Class X Certificateholder with respect
to the Reserve Fund is received by the Trustee, the Trustee shall invest the
funds in such account in Eligible Investments managed by the Trustee or an
Affiliate of the kind described in clause (f) of the definition of Eligible
Investments. All income and gain earned upon such investment shall be deposited
into the Reserve Fund. The amount of any loss shall be paid by the Majority
Class X Certificateholder.

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<PAGE>

                  (f) For federal tax return and information reporting, the
right of the Class A Certificateholders, the Class M-1 and Class B
Certificateholders to receive payments from the Reserve Fund in respect of any
Basis Risk Carry Forward Amount shall be assigned a value of zero.

                                  ARTICLE VIII

    SERVICING AND ADMINISTRATION OF MORTGAGE LOANS BY FAIRBANKS AND WILSHIRE

                  8.01 FAIRBANKS AND WILSHIRE.

                  Acting directly, beginning on the Closing Date, Fairbanks and
Wilshire shall service and administer the Fairbanks Mortgage Loans and Wilshire
Mortgage Loans, as applicable in accordance with this Agreement and Accepted
Servicing Practices and shall have full power and authority, acting alone, to do
or cause to be done any and all things in connection with such servicing and
administration which as such Servicer may deem necessary or desirable subject to
the provisions of this Agreement and the REMIC Provisions; provided, however,
that the reference to Wilshire Mortgage Loans in this Article VIII (other than
Section 8.04 hereof) shall not include the Contracts serviced by GreenPoint
pursuant to the GreenPoint Servicing Agreement and master serviced by Wilshire
pursuant to Article IX hereof.

                  The obligations of each of Fairbanks and Wilshire hereunder to
service and administer the Mortgage Loans shall be limited to the Fairbanks
Mortgage Loans and the Wilshire Mortgage Loans, respectively; and with respect
to the duties and obligations of each Servicer, references herein to related
"Mortgage Loans" shall be limited to the Fairbanks Mortgage Loans (and the
related proceeds thereof and related REO Properties) in the case of Fairbanks
and the Wilshire Mortgage Loans (and the related proceeds thereof and related
REO Properties) in the case of Wilshire and in no event shall any Servicer have
any responsibility or liability with respect to any of the other Mortgage Loans.

                  Each of Fairbanks and Wilshire will hold the Servicing Files,
but not the Custodial Files for each Mortgage Loan serviced by such Servicer. To
the extent that such Servicer needs possession of any document in the Custodial
File for purposes of enforcing a Mortgage Loan, such Servicer agrees that it
will act as the custodian and bailee and trustee of such documents for the
benefit of the Trustee and the Owners during the term of this Agreement.
Notwithstanding anything to the contrary set forth in this Agreement, each of
Fairbanks and Wilshire shall bear for its own account all costs and expenses
related to its storage and holding of any Custodial Files and Mortgage Loan
Documents related to any Mortgage Loan serviced by such Servicer, without any
right to reimbursement by the Trust or otherwise from the related Mortgage
Loans, and no such amount shall constitute Servicing Advances; PROVIDED,
however, that no such Servicer shall be obligated to pay any costs, expenses or
fees for the storage and holding of the

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Custodial Files pursuant to the Fairbanks Custodial Agreement or the Wilshire
Custodial Agreement.

                  Without limiting the generality of the foregoing, but subject
to SECTIONS 8.09 and 8.10, the relevant Servicer in its own name may be
authorized and empowered pursuant to a power of attorney, substantially in the
form of the power of attorney attached hereto as EXHIBIT E hereto executed and
delivered by the Trustee to execute and deliver, and may be authorized and
empowered by the Trustee, to execute and deliver, on behalf of itself, the
Owners and the Trustee or any of them, (i) 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 related Mortgage Loans and with
respect to the Mortgaged Properties related to such Mortgage Loans, (ii) to
institute foreclosure proceedings or obtain a deed in lieu of foreclosure so as
to effect ownership of any Mortgaged Property related to Mortgage Loan serviced
by such Servicer on behalf of the Trustee, and (iii) to hold title to or dispose
any Mortgaged Property related to any Mortgage Loan serviced by such Servicer
upon such foreclosure or deed in lieu of foreclosure on behalf of the Trustee;
PROVIDED, HOWEVER, that to the extent any instrument described in CLAUSE (I)
preceding would be delivered by Fairbanks or Wilshire, as the case may be,
outside of Accepted Servicing Practices such Servicer shall, prior to executing
and delivering such instrument, obtain the prior written consent of the Trustee
(which consent shall only be given by the Trustee upon receipt of a REMIC
Opinion addressed to the Trustee stating that the execution of such instrument
shall not cause either REMIC I or REMIC II to fail to qualify as a REMIC.). The
Trustee shall execute any documentation furnished to it by Fairbanks or Wilshire
for recordation by such Servicer in the appropriate jurisdictions as shall be
necessary to effectuate the foregoing. Subject to SECTIONS 8.09 and 8.10, the
Trustee shall execute any authorizations and other documents as Fairbanks or
Wilshire shall reasonably request that are furnished to the Trustee to enable
such Servicer to carry out its servicing and administrative duties hereunder, or
shall execute and deliver powers of attorney enabling such Servicer to execute
such authorizations and other documents on behalf of the Trustee. The Trustee
shall be indemnified by the related Servicer for all liabilities, costs and
expenses incurred by the Trustee in connection with the misuse of any such power
of attorney by such Servicer.

                  Each of Fairbanks and Wilshire shall give prompt notice to the
Trustee, the Certificate Insurer and the Depositor of any action, of which such
Servicer has actual knowledge, to (i) assert a claim against the Trust or (ii)
assert jurisdiction over the Trust.

                  Servicing Advances incurred or made by Fairbanks or Wilshire
in connection with the servicing of the related Mortgage Loans on any Mortgaged
Property shall be recoverable by such Servicer to the extent described in
SECTIONS 8.04 AND 8.05.

                  Each of Fairbanks and Wilshire may in connection with its
duties as a Servicer hereunder enter into transactions with any of its
Affiliates relating to the Mortgage Loans serviced by it; provided, that (x)
such Servicer acts (i) in accordance with Accepted Servicing Practices and the
terms of this Agreement, (ii) in the ordinary

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course of business of such Servicer; and (y) the terms of such transaction are
no less favorable to such Servicer that it would obtain in a comparable
arm's-length transaction with a Person that is not an Affiliate of such
Servicer.

                  8.02 COLLECTION OF CERTAIN MORTGAGE LOAN PAYMENTS.

                  (a) (i) With respect to any Fairbanks Mortgage Loan which
         Fairbanks determines may be subject to the Home Ownership Equity
         Protection Act of 1994 and any regulations related thereto ("HOEPA"),
         which Mortgage Loan is in default, but prior to the commencement of any
         loss mitigation procedures or foreclosure proceedings, Fairbanks shall
         (A) review the related Custodial File to determine whether or not the
         Custodial File contains the disclosure documents required by HOEPA,
         whether or not such documents were executed by the related
         Mortgagor(s), and whether or not such documents were executed three or
         more days in advance of closing and (B) inform the Trustee and the
         Depositor if such timely and executed disclosure documents are not in
         the Custodial File. Further, prior to the commencement of any loss
         mitigation procedures with respect to such Mortgage Loan, Fairbanks
         shall notify those servicing personnel involved in loss mitigation
         related to such Fairbanks Mortgage Loan as to whether or not any such
         disclosure documentation is defective or missing.

                  (ii) With respect to any Wilshire Mortgage Loan, prior to the
         commence of any foreclosure proceeding or litigation originally
         initiated by Wilshire, Wilshire shall complete the HOEPA calculation
         form attached hereto as Exhibit N for such Wilshire Mortgage Loan. If
         the calculation is positive, Wilshire shall (A) review with its
         internal compliance personnel the related Custodial File to determine
         wither or not the Custodial File contains the disclosure document
         required by HOEPA (but not a calculation of the accuracy thereof),
         whether or not such document appears to have been executed by the
         related Mortgagor(s) and whether or not such document appears to have
         been executed three or more days in advance of closing and (B) inform
         the Depositor and the Trustee if such timely and executed disclosure
         document is not included in the Custodial File. Further, prior to the
         commencement of any foreclosure proceeding or litigation with respect
         to such Wilshire Mortgage Loan, Wilshire shall notify those servicing
         personnel involved in loss mitigation related to the Wilshire Mortgage
         Loan as to whether or not any such disclosure documentation is
         defective to the extent described above or is missing.

                  (b) Consistent with SECTION 8.02(A), the relevant Servicer
         may, in its discretion, subject to Accepted Servicing Practices, waive
         or permit to be waived any late payment charge or assumption fee or,
         solely to the extent that the related Mortgage Loan is in default and
         such waiver would be necessary to bring such Mortgage Loan current, any
         Prepayment Penalty or default interest in connection with the Principal
         Prepayment of a Mortgage Loan or any other fee or charge which the
         relevant Servicer would be entitled to retain hereunder as servicing

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         compensation. No Servicer shall be liable for waiving any Prepayment
         Penalty if such Servicer shall have failed to receive any document or
         information necessary to confirm the existence or amount of such
         Prepayment Penalty.

                  (c) Neither Fairbanks nor Wilshire shall consent to any
         waiver, modification, or amendment of the term of any Mortgage Loan
         serviced by such Servicer other than pursuant to SECTION 8.02(B) except
         as permitted under SECTION 8.09 or 8.10.

                  8.03 LIABILITY OF SERVICER; INDEMNIFICATION.

                  (a) Each of Fairbanks and Wilshire agrees to indemnify and
         hold the Trustee, the Depositor, the Certificate Insurer, each Owner
         and their respective Affiliates, successors and assigns harmless
         against any and all claims, losses, penalties, fines, forfeitures,
         reasonable legal fees and related costs, judgments, and any other
         actual costs, fees and expenses that the Trustee, the Depositor, the
         Certificate Insurer, each or any Affiliate, successor or assign of any
         of them may sustain to the extent caused by the failure of the relevant
         Servicer to perform any of its material duties hereunder and to service
         the related Mortgage Loans in compliance with the terms of this
         Agreement or due to the fraud, negligence or willful misfeasance of the
         relevant Servicer (a "SERVICING CLAIM"). Each of Fairbanks and Wilshire
         shall assume (with the consent of the Trustee, the Certificate Insurer
         and the Depositor, such consent not to be unreasonably withheld,
         delayed or conditioned) the defense of any Servicing Claim and pay all
         expenses in connection therewith, including reasonable counsel fees,
         and promptly pay, discharge and satisfy any judgment or decree which
         may be entered against Fairbanks, Wilshire, the Trustee, any Owner or
         any Affiliate, successor or assign of any of them as a result of a
         claim related to the failure of Fairbanks or Wilshire, as the case may
         be, to perform its material duties.

                  Anything in this Agreement to the contrary notwithstanding, in
         no event shall any Servicer be liable for special, indirect or
         consequential loss or damage of any kind whatsoever (including, but not
         limited to, lost profits), even if such Servicer has been advised of
         the likelihood of such loss or damage and regardless of the form of
         action.

                  (b) Except as otherwise expressly provided herein, neither
         Fairbanks nor Wilshire shall be under any obligation to appear in,
         prosecute or defend any legal action that (i) is not incidental to its
         duties to service the related Mortgage Loans in accordance with this
         Agreement, or (ii) may involve allegations against the Trustee, the
         Depositor, the Certificate Insurer, any Owner or any Affiliate,
         successor or assign of any of them or any prior owners or servicers of
         the related Mortgage Loans; PROVIDED, HOWEVER, that Fairbanks and
         Wilshire, as the case may be, may institute foreclosure proceedings
         and, with the prior written consent of the Trustee, the Certificate
         Insurer and the Depositor, undertake any legal action that it may deem
         necessary or desirable in respect of this Agreement and the

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         rights and duties of the parties hereto (with the reasonable legal
         expenses and costs of such action and any liability resulting therefrom
         treated as expenses, costs and liabilities for which the Trust will be
         liable and for which the relevant Servicer will be entitled to
         reimbursement upon request as Trust Expenses); and PROVIDED, FURTHER,
         that the foregoing shall not protect the relevant Servicer against any
         breach of representation or warranty or failure to perform its
         obligations in strict compliance with any standard of care set forth in
         this Agreement. In the event that any Servicer agrees, at the request
         of the Trustee or the Depositor to act on behalf of such party in any
         dispute or litigation that is not incidental to such Servicer's duties
         hereunder and that relates to the origination of a Mortgage Loan, such
         party shall pay all expenses associated with the management and defense
         of such claim.

                  (c) Notwithstanding any provision herein to the contrary,
         neither Fairbanks nor Wilshire shall have any liability for any
         obligations, duties, or liabilities of the Trustee, the Depositor, the
         Certificate Insurer any Owner or any Affiliate, successor or assignee
         thereof or any prior owners or servicers of the related Mortgage Loans
         with respect to the servicing of a Fairbanks Mortgage Loan or Wilshire
         Mortgage Loan, as applicable, that arose prior to the date that the
         relevant Servicer began servicing the related Mortgage Loans; PROVIDED,
         HOWEVER, that at the written request of the Trustee, the Certificate
         Insurer or the Depositor, or to the extent necessary to comply with
         Accepted Servicing Practices, if the Sellers or a prior servicer shall
         have failed to perform or cure such obligations, the relevant Servicer
         shall be required to perform its obligations under this Agreement with
         respect to such Mortgage Loan to the extent any acts or omissions
         relating to the prior servicing of such Mortgage Loans would not
         prevent or delay the relevant Servicer from performing such
         obligations. Additionally, upon discovery by Fairbanks or Wilshire, as
         applicable, of any material pre-transfer servicing defect not
         previously disclosed to the Trustee, the Certificate Insurer or the
         Depositor, the relevant Servicer shall notify each such Person, and
         with the written consent of the Depositor, or to the extent necessary
         to comply with Accepted Servicing Practices if the Sellers shall have
         failed to cure such defects, the relevant Servicer shall take
         reasonable measures consistent with Accepted Servicing Practices to
         attempt to cure the defect or cause it to be cured; PROVIDED that,
         subject to compliance with the foregoing and SECTION 8.05, all
         reasonable expenses incurred by the relevant Servicer to cure such
         defect shall be reimbursed as Servicing Advances.

                  Each of Fairbanks and Wilshire acknowledges that there may
exist documentary or collateral defects relating to the Fairbanks Mortgage Loans
and Wilshire Mortgage Loans. The Depositor or the Trustee may provide the
relevant Servicer with, or may cause the relevant Servicer to be provided with,
a list of such defects on or before the Closing Date and, whether or not such a
list is provided, the relevant Servicer shall notify the Trustee and the
Depositor of any such defects that are discovered by the relevant Servicer on or
after the Closing Date to the extent notice of such defects has not been
previously provided to such Persons; provided, that it is agreed and understood
that

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the Servicers shall have no obligation to review the Mortgage Loans or Mortgage
Loan Documents for purposes of detecting such defects. Each of Fairbanks,
GreenPoint and Wilshire shall take reasonable measures consistent with Accepted
Servicing Practices to attempt to cure such defects to the extent such defects
are not cured by the Sellers, or as otherwise reasonably requested by the
Trustee or the Depositor. Any reasonable costs incurred by the relevant Servicer
pursuant to this SECTION 8.03(C) shall be treated as Servicing Advances and, to
the extent not recoverable by the relevant Servicer from a third party, as Trust
Expenses reimbursable to such Servicer pursuant to SECTION 7.06(B)(VII).

                  (d) The provisions of this SECTION 8.03 shall survive the
         termination of this Agreement and the payment of the outstanding
         Certificates.

                  8.04 COLLECTION ACCOUNT.

                  (a) Each of Fairbanks and Wilshire shall establish and
         maintain a Collection Account, which shall be an Eligible Account in
         the name of the Servicer for the benefit of the Trustee for the benefit
         of the Owners and the Certificate Insurer. Each Collection Account
         shall be identified on the records of the depository institution as
         follows: "[Servicer] in trust for JPMorgan Chase Bank, as Trustee under
         the GSRPM Mortgage Loan Trust 2003-1 Trust and Servicing Agreement,
         Series 2003-1, dated as of January 1, 2003." If any such Collection
         Account ceases to be an Eligible Account hereunder, then the relevant
         Servicer shall, within five (5) days, be required to name a successor
         institution that will allow such Collection Account to meet the
         requirements for an Eligible Account hereunder. Each of Fairbanks and
         Wilshire shall notify the Trustee, the Depositor, the Certificate
         Insurer and the Majority Class X Certificateholder if there is a change
         in the name, account number or institution holding the Collection
         Account maintained by such Servicer.

                  Subject to SECTION 8.04(D), each of Fairbanks and Wilshire
shall deposit all receipts (other than amounts permitted to be retained by the
Servicer as additional servicing compensation pursuant to this Agreement)
related to the Mortgage Loans serviced by such Servicer in the related
Collection Account on a daily basis (but no later than the second Business Day
after receipt). Wilshire shall deposit in its Collection Account all amounts
received by GreenPoint with respect to the Contracts as described in Section
3.18 hereof.

                  (b) All funds in the related Collection Account shall be held
(i) uninvested (up to the limits insured by the FDIC) or (ii) invested in
Eligible Investments and subject to a security account control agreement or
other provision having similar effect. Alternatively, the Collection Account may
be held as an Eligible Account that is a deposit account if the interest of the
Trustee in such account is perfected under sections 9-104, 9-304, and 9-314 of
the UCC. Any investments of funds in the Collection Account shall mature or be
withdrawable at par on or prior to the immediately succeeding Remittance Date
when such funds would be due pursuant to Section 8.04(c) below. Any

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investment earnings on funds held in the Collection Account shall be for the
account of the relevant Servicer and may only be withdrawn from the related
Collection Account by the relevant Servicer immediately following the remittance
to the Certificate Account of the Remittance Amount by such Servicer. Any
investment losses on funds held in any Collection Account shall be for the
account of the relevant Servicer and promptly upon the realization of such
losses shall be reimbursed by such Servicer to the related Collection Account.
Any references herein to amounts on deposit in the related Collection Account
shall refer to amounts net of such investment earnings and after reimbursement
by the relevant Servicer for such investment losses.

                  (c) Each of Fairbanks and Wilshire shall remit to the Trustee
the Remittance Amount related to the Mortgage Loans serviced by such Servicer
and Wilshire shall remit the amount remitted by GreenPoint with respect to the
Contracts together with any Monthly Advances and Compensating Interest payments
required to be paid by Wilshire pursuant to Sections 9.02 and 9.03 hereof with
respect to the Contracts for deposit into the Certificate Account, not later
than 2:00 p.m. New York time on the Remittance Date.

                  (d) (i) the relevant Servicer may make withdrawals for its own
account or for the accounts of the other Persons specified below from the
amounts on deposit in the related Collection Account, with respect to the
Mortgage Loans serviced by such Servicer, not in any order of priority and for
the following purposes:

                                (A)         to reimburse the relevant Servicer
                                            for Servicing Advances to the extent
                                            of later payments of such amounts by
                                            the Mortgagors and Liquidation
                                            Proceeds from the Mortgage Loan to
                                            which such Servicing Advance
                                            related;

                                (B)         to reimburse, the Trustee and then
                                            itself in that order for Monthly
                                            Advances from (i) late collections
                                            on the Mortgage Loans serviced by
                                            such Servicer and Wilshire or in the
                                            case of the Contracts, Wilshire,
                                            attributable to prior Due Dates and
                                            (ii) collections of more than 30
                                            days' interest on the related
                                            Mortgage Loans during the most
                                            recent Collection Period resulting
                                            from the making of Monthly Payments
                                            by the Mortgagor after the related
                                            Due Dates, and to pay the Trustee
                                            from such sources interest on
                                            Monthly Advances made by it, at the
                                            Advance Rate;

                                (C)         to pay to the relevant Servicer the
                                            Servicing Compensation associated
                                            with the Mortgage Loans serviced by
                                            such Servicer;

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                                (D)         to withdraw amounts that have been
                                            deposited to the related Collection
                                            Account in error;

                                (E)         to withdraw investment earnings on
                                            amounts on deposit in the related
                                            Collection Account;

                                (F)         to reimburse to the Trustee or the
                                            relevant Servicer any other amount
                                            reimbursable to the Trustee or the
                                            relevant Servicer from Liquidation
                                            Proceeds in respect of Advances made
                                            by the Trustee or the relevant
                                            Servicer, as applicable;

                                (G)         to pay to the Trust, monthly
                                            interest payments on a Mortgage Loan
                                            serviced by the relevant Servicer
                                            that were already delinquent prior
                                            to the Cut-off Date but received by
                                            the relevant Servicer thereafter;

                                (H)         to reimburse the relevant Servicer
                                            for Nonrecoverable Advances with
                                            respect to the Mortgage Loans
                                            serviced by such Servicer and to
                                            reimburse Wilshire for
                                            Nonrecoverable Advances made with
                                            respect to the Contracts;

                                (I)         to deposit in the Simple Interest
                                            Excess Sub-Account any amount
                                            required to be deposited therein
                                            pursuant to SECTION 8.07(D);

                                (J)         with respect to the Collection
                                            Account maintained by Wilshire only,
                                            to reimburse or pay GreenPoint with
                                            respect to any indemnification
                                            obligation of the Trust with respect
                                            to GreenPoint's activities under the
                                            GreenPoint Servicing Agreement
                                            pursuant to SECTION 5.05 thereof.

                                (K)         to clear and terminate the related
                                            Collection Account following the
                                            termination of the Trust pursuant to
                                            ARTICLE X.

                  (ii) On each Determination Date, each of Fairbanks and
         Wilshire shall deliver to the Trustee, the Certificate Insurer and the
         Depositor a monthly servicing report with respect to the Mortgage Loans
         serviced by such Servicer on a loan-by-loan basis in a format
         acceptable to the Trustee and the Certificate Insurer, containing the
         following information: principal and interest collected, scheduled
         interest, Liquidated Loans, summary and detailed delinquency reports,
         Liquidation Proceeds and other similar information concerning the
         servicing of such Mortgage Loans as may reasonably be requested by the
         Trustee or the

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         Depositor. In addition, each of Fairbanks and Wilshire shall inform the
         Trustee and the Depositor on each Remittance Date with respect to the
         Mortgage Loans serviced by such Servicer of the amounts of any Loan
         Purchase Prices so remitted during the related Collection Period.

                  (iii) Each of Fairbanks and Wilshire shall provide to the
         Trustee the information described in SECTION 8.04(D)(II) to enable the
         Trustee to perform its reporting requirements under SECTION 7.08 and
         the Trustee shall forward such information to the Underwriter on the
         Distribution Date.

                  8.05 ADVANCES.

                  (a) Subject to SECTION 8.05(H), each of Fairbanks and Wilshire
         will advance all reasonable and necessary "out-of-pocket" costs and
         expenses incurred in the performance of its servicing obligations,
         including, but not limited to, the cost of (i) Preservation Expenses,
         (ii) any enforcement or judicial proceedings, including foreclosures,
         (iii) the management and liquidation of REO Property, (iv) obtaining
         broker price opinions, (v) locating missing Mortgage Loan Documents and
         (vi) maintaining, transferring or establishing life of loan tax and
         flood service contracts; PROVIDED, HOWEVER, that the relevant Servicer
         is only required to pay such costs and expenses to the extent such
         Servicer reasonably believes such costs and expenses will be
         recoverable from the related Mortgage Loan. Each such expenditure will
         constitute a "SERVICING ADVANCE." The relevant Servicer may recover
         Servicing Advances from the relevant Mortgagors to the extent permitted
         by the Mortgage Loans serviced by such Servicer or, if not recovered
         from the relevant Mortgagor on whose behalf such Servicing Advance was
         made, from Liquidation Proceeds realized upon the liquidation of the
         related Mortgage Loan. The relevant Servicer shall be entitled to
         recover the Servicing Advances from the aforesaid Liquidation Proceeds
         prior to the payment of the Liquidation Proceeds to the related
         Collection Account. The relevant Servicer shall treat any Servicing
         Advance in excess of the Liquidation Proceeds as a Nonrecoverable
         Advance and shall be reimbursed pursuant to SECTION 8.04(D)(I).
         Notwithstanding anything herein to the contrary, no Servicing Advance
         shall be required to be made if the relevant Servicer determines that
         such Servicing Advance would, if made, constitute a Nonrecoverable
         Advance.

                  (b) The Trustee shall not be required to make Servicing
         Advances from its own funds. Any required Servicing Advances not made
         by the relevant Servicer shall be paid as necessary by the Trustee out
         of the Certificate Account.

                  (c) Not later than 2:00 p.m., New York time on each Remittance
         Date, each of Fairbanks and Wilshire shall, but only with respect to
         the Mortgage Loans serviced by such Servicer and subject to the
         limitation contained in SECTION 8.05(H), remit to the Trustee for
         deposit in the Certificate Account an amount (as indicated in the
         statement prepared pursuant to SECTION 7.08), to be distributed on the
         related Distribution Date pursuant to SECTION 7.06, equal to (i) with
         respect to

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         each Simple Interest Mortgage Loan, an amount equal to the Simple
         Interest Shortfall which shall be paid from the Simple Interest Excess
         Sub-Account maintained by the related Servicer, or if such funds are
         insufficient, from the Servicer's own funds and (ii) with respect to
         any other Mortgage Loan the amount of Monthly Payments (net of the
         Servicing Fee) for all such Mortgage Loans serviced by such Servicer
         that were due during the related Collection Period and delinquent as of
         the related Determination Date (each such advance pursuant to clause
         (i) or (ii), a "MONTHLY ADVANCE"); provided that no Servicer or the
         Trustee shall be required to advance any shortfalls in the interest
         portion of Monthly Payments as a result of the application of the Civil
         Relief Act or any Compensating Interest Shortfalls.

                  (d) With respect to any of the Mortgage Loans, if a Monthly
         Advance is required to be made hereunder, the related Servicer shall on
         the Remittance Date either (i) deposit in the Collection Account from
         its own funds an amount equal to such Monthly Advance, (ii) cause to be
         made an appropriate entry in the records of the Collection Account that
         funds in such account are being held for future distribution or
         withdrawal used by such Servicer to make such Monthly Advance or (iii)
         make such Monthly Advance in the form of any combination of clauses (i)
         and (ii) aggregating the amount of such Monthly Advance. Any such funds
         being held in a Collection Account for future distribution and so used
         shall be replaced by such Servicer from its own funds by deposit in
         such Collection Account before any future Remittance Date in which such
         funds would be due.

                  (e) Notwithstanding anything herein to the contrary, Monthly
         Advances by Fairbanks or Wilshire shall not include any amounts payable
         as Compensating Interest or amounts which constitute Compensating
         Interest Shortfall or Relief Act Shortfall, and no Monthly Advance by
         any such Servicer shall be required to be made if such Servicer
         determines that such Monthly Advance would, if made, constitute a
         Nonrecoverable Advance, as evidenced by a Certificate of an Authorized
         Officer of the relevant Servicer detailing the reasons for such
         determination and delivered to the Trustee, the Depositor and the
         Certificate Insurer on or before the Remittance Date in which such
         Monthly Advance would have been made.

                  (f) If Fairbanks or Wilshire fails to make a required Monthly
         Advance on any Remittance Date in accordance with SECTION 8.05(C), the
         Trustee shall make such Monthly Advance by depositing the amount
         thereof in the Certificate Account on the related Distribution Date
         (and shall succeed to the relevant Servicer's rights with respect to
         the reimbursement of such Monthly Advance); provided that the Trustee
         shall be required to make a Monthly Advance only to the extent that the
         Trustee has determined that such Monthly Advance, together with
         interest thereon at the Advance Rate, would, if made, not constitute a
         Nonrecoverable Advance. The Trustee may conclusively rely on a
         determination by the relevant Servicer pursuant to SUBSECTION (D) above
         that a Monthly Advance by such Servicer would, if made, constitute a
         Nonrecoverable Advance.

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                  (g) Monthly Advances by Fairbanks or Wilshire are reimbursable
         to such Servicer, as provided in SECTION 8.04(D) hereof. If the Trustee
         is required to make Monthly Advances following the failure of the
         relevant Servicer to do so, it will be entitled to receive interest on
         such Monthly Advance at the Advance Rate, payable as provided in
         SECTION 8.04(D) hereof.

                  (h) Notwithstanding anything herein to the contrary any
         Servicing Advances or Monthly Advances by Fairbanks or Wilshire shall
         not exceed 105% of the Actual Principal Balance of the Fairbanks
         Mortgage Loans or Wilshire Mortgage Loans at the time of such Servicing
         Advance or Monthly Advance, as the case may be.

                  8.06 COMPENSATING INTEREST.

                  Not later than 2:00 p.m., New York time on each Remittance
Date, with respect to each Fairbanks Mortgage Loan or Wilshire Mortgage Loan for
which a Principal Prepayment in full or a Curtailment that is more than two
times the amount of the Monthly Payment due for such Collection Period was
received during the related Collection Period, the relevant Servicer shall remit
to the Trustee for deposit in the Certificate Account from amounts otherwise
payable to it as servicing compensation, an amount (such amount required to be
delivered to the Trustee is referred to herein as "COMPENSATING INTEREST") (as
indicated in the statement prepared pursuant to SECTION 7.08) equal to the
difference between (a) 30 days' interest or, with respect to the first
Remittance Date, from the Closing Date, at the then applicable Mortgage Rate on
such Mortgage Loan and (b) the amount of interest actually received on such
Mortgage Loan for such Collection Period, but in no event shall the aggregate
amount of Compensating Interest paid on any Remittance Date (i) by Fairbanks
exceed the Servicing Fee due to Fairbanks for such Collection Period or (ii) by
Wilshire exceed one-half of the Servicing Fee due Wilshire for such Collection
Period; PROVIDED, HOWEVER, that neither Fairbanks nor Wilshire shall be
obligated to pay Compensating Interest Shortfalls or Relief Act Shortfalls for
the related Collection Period.

                  Neither Fairbanks nor Wilshire shall be entitled to
reimbursement for amounts paid as Compensating Interest with respect to the
Mortgage Loans serviced by such Servicer.

                  8.07 ESCROW ACCOUNT AND SIMPLE INTEREST EXCESS SUB-ACCOUNT.

                  (a) Each of Fairbanks and Wilshire shall establish and
         maintain one or more escrow accounts (the "ESCROW ACCOUNT") in
         accordance with applicable Law and Accepted Servicing Practices.
         Subject to the foregoing:

                        (1)         Each of Fairbanks and Wilshire shall
                                    segregate and hold all funds collected and
                                    received pursuant to each Mortgage Loan
                                    serviced by the relevant Servicer which
                                    constitute Escrow Payments separate and
                                    apart from any of its own

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                                    funds and general assets and shall establish
                                    and maintain with a depository the Escrow
                                    Account, in the form of time deposit or
                                    demand accounts, with amounts on deposit in
                                    or credited to the Escrow Account invested
                                    in Eligible Investments.

                        (2)         Each of Fairbanks and Wilshire shall deposit
                                    (but no later than the second Business Day
                                    after receipt) into the related Escrow
                                    Account on a daily basis, and retain
                                    therein, (i) all Escrow Payments collected
                                    on account of the Mortgage Loans serviced by
                                    such Servicer, 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 related to a Fairbanks
                                    Mortgage Loan or Wilshire Mortgage Loan, as
                                    applicable. Each of Fairbanks and Wilshire
                                    shall make withdrawals therefrom only to
                                    effect such payments or to reimburse
                                    Servicing Advances made by such Servicer.
                                    Each of Fairbanks and Wilshire shall be
                                    entitled to retain any interest paid on
                                    funds deposited in the related Escrow
                                    Account by the depository institution other
                                    than interest on escrowed funds required by
                                    Law to be paid to the Mortgagor. Each of
                                    Fairbanks and Wilshire shall be responsible
                                    for paying such interest on the funds
                                    deposited in the related Escrow Account
                                    without reimbursement therefore, shall be
                                    responsible for ensuring that the
                                    administrator of the related Escrow Account
                                    complies with all applicable Law, and shall
                                    indemnify and hold the Trustee, the
                                    Depositor, the Certificate Insurer, the
                                    Owners and their respective Affiliates,
                                    successors and assigns harmless with respect
                                    to any loss, liability or expense incurred
                                    in connection with the administration of
                                    such Accounts. As required by applicable
                                    Law, each of Fairbanks and Wilshire shall
                                    report interest earned on escrows and
                                    mortgage interest paid.

                  (b) Withdrawals from the related Escrow Account may be made by
         Fairbanks and Wilshire, as applicable, in accordance with applicable
         Law and Accepted Servicing Practices. Subject to the foregoing,
         withdrawals may be made only (i) to effect timely payments of ground
         rents, taxes, assessments, water rates, hazard insurance premiums,
         insurance premiums, if applicable, and comparable items constituting
         Escrow Payments for the related Mortgage Loan, (ii) to reimburse the
         relevant Servicer for any Servicing Advance made by such 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 of a
         Mortgage Loan

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         serviced by such Servicer any funds as may be determined to be
         overages, (iv) for application to restoration or repair of the
         Mortgaged Property related to a Mortgage Loan serviced by such Servicer
         in accordance with the terms of such Mortgage Loan, (v) to pay to the
         relevant Servicer, or to the related Mortgagor to the extent required
         by Law, any interest paid on the funds deposited in the related Escrow
         Account, (vi) to reimburse itself for any amounts deposited in the
         related Escrow Account in error, or (vii) to clear and terminate the
         related Escrow Account on the termination of this Agreement.

                  (c) With respect to each Fairbanks Mortgage Loan and Wilshire
         Mortgage Loan, the relevant Servicer shall use commercially reasonable
         efforts to maintain accurate records in accordance with applicable Law,
         Accepted Servicing Practices, the Fannie Mae Guide and the Freddie Mac
         Guide reflecting the status of ground rents, taxes, assessments, water
         rates and other charges which are or may become a lien upon the
         Mortgaged Property related to any such Mortgage Loan and the status of
         the applicable fire and hazard insurance coverage (including charges
         for the premiums thereon) and, with respect to the escrowed Mortgage
         Loans, shall use commercially reasonable efforts to obtain, from time
         to time, all bills for the payment of such charges, including renewal
         premiums, and shall use commercially reasonable efforts to 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 related Mortgagor in the
         related Escrow Account which shall have been estimated and accumulated
         by Fairbanks or Wilshire, as the case may be, in amounts sufficient for
         such purposes, as allowed under the terms of the related Mortgage and
         applicable Law. To the extent that the Mortgage related to a Fairbanks
         Mortgage Loan or Wilshire Mortgage Loan does not provide for Escrow
         Payments, the relevant Servicer shall require that any such payments be
         made by the related Mortgagor at the time they first become due. Each
         of Fairbanks and Wilshire assumes full responsibility for the payment
         of all such bills and shall effect payments of all such bills, premiums
         and penalties irrespective of the relevant Mortgagor's faithful
         performance in the payment of same or the making of the Escrow Payments
         and shall make Servicing Advances from its own funds to effect such
         payments unless such Servicing Advance, if made, would constitute a
         Nonrecoverable Advance.

                  (d) Each Servicer shall establish and maintain a sub-account
         of its Collection Account (the "Simple Interest Excess Sub-Account").
         Each Servicer shall, on each Determination Date, transfer from the
         Collection Account to the Simple Interest Excess Sub-Account all Net
         Simple Interest Excess, if any, pursuant to Section 8.04(d)(i), and
         shall maintain a record of all such deposits.

                  (e) Each Servicer shall withdraw amounts on deposit in the
         Simple Interest Excess Sub-Account on each Remittance Date for deposit
         to the Certificate Account in an amount equal to the lesser of (i) the
         amount on deposit therein, and (ii) the Net Simple Interest Shortfall
         for such Remittance Date.

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                  (f) Each Servicer shall remit to the Trustee for distribution
         to the Class X Certificateholders, on a PRO RATA basis, 90% of the
         balance in the applicable Simple Interest Excess Sub-Account on the
         Remittance Date each year occurring in December, commencing in December
         2003. Such distributions shall be deemed to be made on a first-in,
         first-out basis. In addition, the related Servicer shall clear and
         terminate the Simple Interest Excess Sub-Account upon the termination
         of this Agreement and retain any funds remaining therein.

                  (g) Amounts on deposit in the Simple Interest Excess
         Sub-Account may be invested in Eligible Investments. All income and
         gain net of any losses realized from any such balances or investment of
         funds on deposit in the Simple Interest Excess Sub-Account shall be for
         the benefit of the related Servicer as servicing compensation and shall
         be remitted to it monthly. The amount of any net investment losses in
         the Simple Interest Excess Sub-Account shall promptly be deposited by
         the related Servicer in the Simple Interest Excess Sub-Account.

                  8.08 MAINTENANCE OF INSURANCE.

                  (a) Each of Fairbanks and Wilshire shall cause to be
maintained with respect to each Mortgage Loan serviced by such Servicer that is
or becomes a first lien on the related Mortgaged Property, a hazard insurance
policy with a generally acceptable carrier that provides for fire and extended
coverage, and which provides for a recovery by the Trust of insurance proceeds
relating to such Mortgage Loan in an amount not less than the least of (i) the
Actual Principal Balance of such Mortgage Loan, (ii) the minimum amount required
to compensate for damage or loss on a replacement cost basis and (iii) the full
insurable value of the premises. Each of Fairbanks and Wilshire shall maintain
the insurance policies required hereunder in the name of the mortgagee, its
successors and assigns, as loss payee. The policies shall require the insurer to
provide the mortgagee with thirty (30) days' notice prior to any cancellation or
as otherwise required by Law. The relevant Servicer may also maintain a blanket
hazard insurance policy or policies if the insurer or insurers of such policies
are rated investment grade by each Rating Agency. Upon the request of the
Depositor, the Certificate Insurer or the Trustee, the relevant Servicer will
cause to be delivered to such requesting Person a certified true copy of such
blanket policy.

                  (b) If a First Mortgage Loan at the time of origination
relates to a Mortgaged Property for a Mortgage Loan in an area identified in the
Federal Register by the Federal Emergency Management Agency as having special
flood hazards, the relevant Servicer will cause to be maintained with respect
thereto a flood insurance policy in a form meeting the requirements of the
current guidelines of the Federal Insurance Administration with a generally
acceptable carrier in an amount representing coverage, and which provides for a
recovery by the Trust of insurance proceeds relating to such Mortgage Loan of
not less than the least of (i) the Actual Principal Balance of the Mortgage
Loan, (ii) the minimum amount required to compensate for damage or loss on a
replacement cost basis and (iii) the maximum amount of insurance that is
available under the Flood Disaster Protection Act of 1973. The relevant Servicer
shall indemnify the

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Trust and its Affiliates, successors and assigns out of its own funds for any
loss, liability or expenses resulting from the relevant Servicer's failure to
maintain premiums for such insurance required by this SECTION when so permitted
by the terms of the Mortgage related to a Fairbanks Mortgage Loan or Wilshire
Mortgage Loan as to which such loss relates.

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                  8.09 DUE-ON-SALE CLAUSES; ASSUMPTION AND SUBSTITUTION
AGREEMENTS.

                  When a Mortgaged Property related to a Fairbanks Mortgage Loan
or Wilshire Mortgage Loan has been or is about to be conveyed by the applicable
Mortgagor, the relevant Servicer shall, to the extent it has knowledge of such
conveyance or prospective conveyance, exercise its rights to accelerate the
maturity of the related Mortgage Loan under any "due-on-sale" clause contained
in the related Mortgage or Mortgage Note; PROVIDED, HOWEVER, that the relevant
Servicer shall not exercise any such right if the "due-on-sale" clause, in the
reasonable belief of such Servicer, is not enforceable under applicable Law. An
opinion of counsel to the foregoing effect shall conclusively establish the
reasonableness of such belief. In such event, the relevant Servicer shall,
subject to customary credit approvals, enter into an assumption and modification
agreement with the Person to whom such Mortgaged Property related to a Fairbanks
Mortgage Loan or Wilshire Mortgage Loan has been or is about to be conveyed,
pursuant to which such Person becomes liable under the related Mortgage Note
and, unless prohibited by applicable Law or the relevant Mortgage Documents, the
Mortgagor of such Mortgage Loan remains liable thereon. If the foregoing is not
permitted under applicable Law, the relevant Servicer is authorized to enter
into a substitution of liability agreement with such Person upon undergoing the
customary credit approval of such Person, pursuant to which the original
Mortgagor of such Mortgage Loan is released from liability and such Person is
substituted as Mortgagor and becomes liable under the Mortgage Note for such
Mortgage Loan; PROVIDED, HOWEVER, that to the extent any such substitution of
liability agreement would be delivered by the relevant Servicer outside of
Accepted Servicing Practices the relevant Servicer shall, prior to executing and
delivering such agreement, obtain the prior written consent of the Majority
Class X Certificateholder. The Fairbanks Mortgage Loan or Wilshire Mortgage
Loan, as assumed, shall conform in all respects to the requirements,
representations and warranties of this Agreement, and no term thereof other than
the identity of the related Mortgagor shall be changed. The relevant Servicer
shall notify the Trustee and the Majority Class X Certificateholder that any
such assumption or substitution agreement has been completed by forwarding to
the Trustee and the Majority Class X Certificateholder the original copy of such
assumption or substitution agreement (indicating the Custodial File to which it
relates) which copy shall be added by the Trustee to the related Custodial File
and which shall, for all purposes, be considered a part of such Custodial File
to the same extent as all other documents and instruments constituting a part
thereof. The relevant Servicer shall be responsible for recording any such
assumption or substitution agreements. Any fee collected by the relevant
Servicer for consenting to any such conveyance or entering into an assumption or
substitution agreement shall be retained by such Servicer as additional
Servicing Compensation.

                  Notwithstanding the foregoing paragraph or any other provision
of this Agreement, neither Fairbanks nor Wilshire shall be deemed to be in
default, breach or any other violation of its obligations hereunder by reason of
any assumption of a Mortgage Loan by operation of law or any assumption which
such Servicer may be restricted by Law from preventing, for any reason
whatsoever.

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                  8.10 DEFAULTED MORTGAGE LOANS; MODIFICATION.

                  (a) Neither Fairbanks nor Wilshire may sell or purchase, or
         permit the sale or purchase of, a defaulted Mortgage Loan, except as
         expressly provided in or contemplated by SECTION 8.10(D) or SECTION
         8.21.

                  (b) If any Fairbanks Mortgage Loan or Wilshire Mortgage Loan
         becomes a Defaulted Mortgage Loan, the relevant Servicer shall promptly
         so notify in writing the Trustee. The relevant Servicer may continue
         making collection efforts on such Mortgage Loan, and shall be entitled
         to receive Servicing Compensation and be reimbursed for Servicing
         Advances made by it for the period while such Mortgage Loan was in
         default from Liquidation Proceeds or from future collections thereof if
         such Mortgage Loan subsequently becomes current;

                  (c) [Reserved]

                  (d) In the event that the Majority Class X Certificateholders
         exercises its purchase option pursuant to SECTION 8.21 with respect to
         a Defaulted Mortgage Loan, the relevant Servicer shall cause the
         Trustee to sell such Defaulted Mortgage Loan to the Majority Class X
         Certificateholder at the Loan Purchase Price. If the Majority Class X
         Certificateholder does not exercise its purchase option, the relevant
         Servicer shall proceed to foreclose upon or work-out such Defaulted
         Mortgage Loan, pursuant to Accepted Servicing Practices and in
         accordance with this SECTION 8.10.

                  In the event Fairbanks or Wilshire forecloses and converts the
Mortgaged Property related to a Fairbanks Mortgage Loan or Wilshire Mortgage
Loan, title shall be taken in the name of the Trustee and such Servicer shall
sell any REO Property related to such Mortgage Loan on behalf of the Trustee
before the start of the twelfth month of the third taxable year following the
taxable year in which the Trust acquired such property, at such price as such
Servicer deems necessary to comply with this covenant unless such Servicer
obtains a REMIC Opinion addressed to the Trustee, the Certificate Insurer, such
Servicer and Depositor stating that the holding of such REO Property will not
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)(B) of the Code or any "net income from foreclosure property" which is
subject to taxation under the REMIC Provisions. Notwithstanding the generality
of the foregoing provisions, the relevant Servicer shall manage, conserve,
protect and operate each REO Property related to a Fairbanks Mortgage Loan or
Wilshire Mortgage Loan, as the case may be, on behalf of the Trustee for the
benefit of Owners and the Certificate Insurer solely for the purpose of its
prompt disposition and sale in a manner which does not 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)(B) of the Code or
any "net income from foreclosure property" which is subject to taxation under
the REMIC Provisions.

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                  Pursuant to its efforts to sell REO Property related to a
Fairbanks Mortgage Loan or Wilshire Mortgage Loan, the relevant Servicer shall
either itself or through an agent selected by such Servicer protect and conserve
such REO Property in the same manner and to such extent as is customary in the
locality where such REO Property is located and may, incident to its
conservation and protection of the interests of the Trustee for the benefit of
the Owners and the Certificate Insurer, rent the same, or any part thereof, as
such Servicer deems to be in the best interest of the Owners and the Certificate
Insurer for the period prior to the sale of such REO Property. In determining
whether to foreclose upon or otherwise comparably convert the ownership of such
Mortgaged Property, the relevant Servicer shall review the Custodial Files
relating to such Mortgage Loans to determine the existence of any hazardous
substances, hazardous wastes or solid wastes, as such terms are defined in the
Comprehensive Environmental Response Compensation and Liability Act, the
Resource Conservation and Recovery Act of 1976, or other federal, state or local
environmental legislation. Each of Fairbanks and Wilshire shall take into
account the existence of any hazardous substances, hazardous wastes or solid
wastes, as such terms are defined in the Comprehensive Environmental Response
Compensation and Liability Act, the Resource Conservation and Recovery Act of
1976, or other federal, state or local environmental legislation in proceeding
with any action. Furthermore, the relevant Servicer shall not take any such
action with respect to any Mortgaged Property related to a Fairbanks Mortgage
Loan or a Wilshire Mortgage Loan, as the case may be, known by such Servicer to
contain such wastes or substances, without the prior written consent of the
Majority Class X Certificateholder and the Trustee. With respect to any Mortgage
Loan secured by a mixed use Mortgaged Property, the relevant Servicer shall,
prior to foreclosing upon or otherwise comparably effecting ownership its name
on behalf of the Trust, perform a "phase one environmental study" of such
Mortgaged Property.

                  (e) Notwithstanding anything to the contrary in this SECTION
         8.10, the relevant Servicer shall not foreclose on a Mortgage Loan that
         is a second lien on the related Mortgaged Property and take title to
         the related Mortgaged Property of a Mortgage Loan subject to the senior
         lien on such Mortgaged Property.

                  (f) Neither Fairbanks nor Wilshire shall agree to any
modification, waiver or amendment of any provision of any Mortgage Loan, unless
the relevant Servicer has (i) undergone an evaluation of the relevant
Mortgagor's creditworthiness at the time of the modification and (ii) in such
Servicer's good faith judgment, such modification, waiver or amendment would
minimize the loss that might otherwise be experienced with respect to such
Mortgage Loan and only in the event a payment default with respect to such
Mortgage Loan has occurred or in the opinion of the relevant Servicer is
reasonably foreseeable; PROVIDED, HOWEVER, that no such modification, waiver or
amendment shall extend the maturity date of such Mortgage Loan beyond the
Collection Period related to the final scheduled Distribution Date of the latest
Class of Certificates remaining in the Trust. Notwithstanding anything set forth
in this SECTION 8.10(F) or elsewhere in this Agreement to the contrary, the
related Servicer shall be permitted to modify, waive or amend any provision of a
Mortgage Loan serviced by such Servicer if required by

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applicable Law to do so. The related Servicer shall promptly notify the Trustee
and the Certificate Insurer of any such modification, waiver or amendment.

                  (g) Each of Fairbanks and Wilshire shall deliver to the
         Trustee for deposit in the related Custodial File, an original
         counterpart of any agreement relating to such modification, waiver or
         amendment, promptly following the execution thereof.

                  8.11 TRUSTEE TO COOPERATE; RELEASE OF FILES.

                  (a) Upon the payment in full of any Fairbanks Mortgage Loan or
         Wilshire Mortgage Loan (including any liquidation of such Mortgage Loan
         through foreclosure or otherwise), or the receipt by the relevant
         Servicer of a notification that payment in full will be escrowed in a
         manner customary for such purposes, such Servicer shall deliver to the
         Trustee a request for release in the form attached hereto as EXHIBIT
         J-1 or utilize a paperless release using the paperless release template
         attached hereto as EXHIBIT J-2. Upon receipt of such Request for
         Release of Documents, the Trustee shall promptly release or cause the
         release of the related Custodial File, in trust, to (i) the relevant
         Servicer, (ii) an escrow agent or (iii) any employee, agent or attorney
         of the Trustee. Upon any such payment in full, or the receipt of such
         notification that such funds have been placed in escrow, the relevant
         Servicer is authorized to give, as attorney-in-fact for the Trustee and
         the mortgagee under the Mortgage relating to a Fairbanks Mortgage Loan
         or Wilshire Mortgage Loan which secured the relevant Mortgage Note, an
         instrument of satisfaction (or assignment of such Mortgage without
         recourse, representation or warranty) regarding the Mortgaged Property
         relating to such 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 payment in full,
         it being understood and agreed that no expense incurred in connection
         with such instrument of satisfaction or assignment, as the case may be,
         shall be chargeable to the related Collection Account. In lieu of
         executing any such satisfaction or assignment, as the case may be, the
         relevant Servicer may prepare and submit to the Trustee a satisfaction
         (or assignment without recourse, representation or warranty, if
         requested by the Person or Persons entitled thereto) in form for
         execution by the Trustee with all requisite information completed by
         the relevant Servicer; in such event, the Trustee shall execute and
         deliver a power of attorney prepared and delivered by such Servicer to
         the Trustee and acceptable to the Trustee authorizing such Servicer to
         prepare such satisfaction and deliver the same with the related
         Custodial File, as aforesaid.

                  (b) From time to time and as appropriate in the servicing of
         any Fairbanks Mortgage Loan or Wilshire Mortgage Loan, including,
         without limitation, foreclosure or other comparable conversion of a
         Fairbanks Mortgage Loan or Wilshire Mortgage Loan or collection under
         any applicable Insurance Policy, the Trustee shall (except in the case
         of the payment or liquidation pursuant to which

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         the related Custodial File is released to an escrow agent or an
         employee, agent or attorney of the Trustee), upon request of the
         relevant Servicer and delivery to the Trustee of a receipt signed by an
         Authorized Officer of such Servicer, release the related Custodial File
         to such Servicer and shall execute a power of attorney prepared and
         delivered by such Servicer to the Trustee and acceptable to the Trustee
         authorizing such Servicer to execute such documents as shall be
         necessary to the prosecution of any such proceedings, including,
         without limitation, an assignment without recourse, representation or
         warranty of the related Mortgage to the relevant Servicer; PROVIDED
         that there shall not be released and unreturned at any one time more
         than 10% of the entire number of Custodial Files to any one Servicer.
         Such receipt shall obligate the relevant Servicer to return the
         Custodial File to the Trustee when the need therefor by the relevant
         Servicer no longer exists unless the Mortgage Loan shall be liquidated,
         in which case, upon receipt of the Fannie Mae "Liquidation Schedule"
         relating to such liquidation, the receipt shall be released by the
         Trustee to the relevant Servicer. The Trustee shall have no liability
         for the relevant Servicer's failure to return a Custodial File released
         to such Servicer pursuant to this SECTION 8.11, other than to determine
         that the relevant Servicer has not returned the file and take
         appropriate action.

                  (c) Each of Fairbanks and Wilshire shall have the right to
         accept applications of Mortgagors for consent to (i) partial releases
         of Mortgaged Properties relating to Mortgage Loans serviced by such
         Servicer, (ii) alterations and (iii) removal, demolition or division of
         Mortgaged Properties relating to such Mortgage Loans subject to
         Mortgages. No application for approval shall be considered by the
         relevant Servicer unless: (w) the Trustee and the Certificate Insurer
         has been provided with a REMIC Opinion addressed to the Trustee to the
         effect that such action is in compliance with REMIC Provisions, is not
         a "prohibited transaction" within the meaning of Code Section
         860F(a)(2) and will not prevent either Trust REMIC from qualifying as a
         REMIC; (x) the provisions of the related Mortgage Note and Mortgage
         relating to the applicable Mortgage Loan have been complied with; (y)
         the loan-to-value ratio after any such action does not exceed the
         original Loan-to-Value Ratio of such Mortgage Loan and any increase in
         the loan-to-value ratio of such Mortgage Loan shall not exceed 15%
         unless approved in writing by the Majority Class X Certificateholder;
         and (z) the lien priority of the related Mortgage is not affected. Upon
         receipt by the Trustee of an Officer's Certificate executed on behalf
         of the relevant Servicer setting forth the action proposed to be taken
         in respect of a particular Mortgage Loan and certifying that the
         criteria set forth in the immediately preceding sentence have been
         satisfied, the Trustee shall execute and deliver to the relevant
         Servicer the consent or partial release so requested by such Servicer.
         A proposed form of consent or partial release, as the case may be,
         shall accompany any Officer's Certificate delivered by the relevant
         Servicer pursuant to this paragraph. The relevant Servicer shall notify
         the Depositor, the Trustee and the Rating Agencies if an application is
         approved under clause (y) above, without approval in writing by the
         Depositor and the Trustee.

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                  8.12 SERVICING COMPENSATION.

                  (a) Each of Fairbanks and Wilshire shall be entitled to
         receive the Servicing Fee during each Collection Period as compensation
         for the servicing of the Fairbanks Mortgage Loans and the Wilshire
         Mortgage Loans, respectively. Without limiting the generality of the
         foregoing, except as provided herein, neither Fairbanks nor Wilshire
         shall be entitled to receive the Servicing Fee on any Mortgage Loan for
         which a Monthly Payment has not been received during the respective
         Collection Period, PROVIDED, however, that Servicing Fees shall accrue
         on such Mortgage Loans during this period. Such accrued and unpaid
         Servicing Fees shall be paid to the relevant Servicer (i) if a Monthly
         Payment is made for such Delinquent Mortgage Loan, at such time; (ii)
         from Liquidation Proceeds, if the Delinquent Mortgage Loan is
         liquidated; or (iii) from the Collection Account if such Delinquent
         Mortgage Loan is charged-off. Amounts paid to Fairbanks or Wilshire
         pursuant to the immediately preceding sentence with respect to any
         Fairbanks Mortgage Loan or Wilshire Mortgage Loan, as applicable, shall
         be deemed to be from the payment of the interest portion of Monthly
         Payments for such Mortgage Loan.

                  (b) Fairbanks and Wilshire will receive all other ancillary
         income including but not limited to all fees received with respect to
         late fees, checks or bank drafts returned by the related bank for
         non-sufficient funds, assumption fees, optional insurance
         administration fees and all other incidental fees and charges with
         respect to each Mortgage Loan for any period in which such Mortgage
         Loan was serviced by Fairbanks or Wilshire.

                  (c) Each of Fairbanks and Wilshire shall pay itself the
         Servicing Compensation by withdrawing such Servicing Compensation from
         the related Collection Account in accordance with SECTION 8.04(D).

                  8.13 ANNUAL STATEMENT AS TO COMPLIANCE.

                  Each of Fairbanks and Wilshire, at its own expense, will
deliver to the Trustee, the Depositor, the Certificate Insurer and the Rating
Agencies, on or before March 15 of each year, commencing in 2004, an Officer's
Certificate stating, as to each signer thereof, that (i) a review of the
activities of the relevant Servicer during such preceding calendar year and of
performance under this Agreement has been made under such officers' supervision,
and (ii) to the best of such officers' knowledge, based on such review, the
relevant Servicer has fulfilled all its obligations under this Agreement for
such year, or, if there has been a default in the fulfillment of all such
obligations, specifying each such default known to such officers and the nature
and status thereof including the steps being taken by the relevant Servicer to
remedy such default.

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                  8.14 ANNUAL INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS' REPORTS.

                  On or before March 15 of each year, commencing in 2004, each
of Fairbanks and Wilshire, at its own expense (or if the Trustee is then acting
as servicer of the related Mortgage Loans, at the expense of the Depositor,
which in no event shall exceed $1,000 PER ANNUM), shall cause to be delivered to
the Trustee, the Depositor, the Certificate Insurer and the Rating Agencies a
letter or letters of a firm of independent, nationally recognized certified
public accountants reasonably acceptable to the Depositor, the Certificate
Insurer and the Trustee, dated as of the date of the fiscal audit of the
relevant Servicer for the related period, stating that such firm has examined
such Servicer's overall servicing operations in accordance with the requirements
of the Uniform Single Attestation Program for Mortgage Bankers, and stating such
firm's conclusions relating thereto.

                  8.15 ACCESS TO CERTAIN DOCUMENTATION AND INFORMATION REGARDING
THE MORTGAGE LOANS; STAFFING.

                  Each of Fairbanks and Wilshire shall provide to the Trustee,
the Depositor, the Majority Class X Certificateholder, the Certificate Insurer,
the FDIC and any supervisory agents and examiners of any of the foregoing
(which, in the case of supervisory agents and examiners, may be required by
applicable state and federal regulations) access to the documentation regarding
the Mortgage Loans serviced by such Servicer, such access being afforded without
charge but only upon reasonable request and during normal business hours at the
offices of such Servicer designated by it.

                  Each of Fairbanks and Wilshire agrees to secure by the Closing
Date adequate staffing to manage and service the Fairbanks Mortgage Loans and
Wilshire Mortgage Loans, respectively, according to the standards set forth in
this Agreement, which staffing shall be in accordance with such Servicer's
current human resources standards for servicing mortgage loans comparable to the
Fairbanks Mortgage Loans and the Wilshire Mortgage Loans.

                  8.16 ASSIGNMENT OF AGREEMENT.

                  Neither Fairbanks nor Wilshire may assign its rights or
obligations with respect to the making or reimbursement of Advances made by the
relevant Servicer pursuant to the terms of this Agreement, in whole or in part,
unless such assignee is a corporation or association organized and doing
business under the laws of the United States of America or of any State
authorized under such laws to exercise corporate trust powers, having a combined
capital and surplus of at least $50,000,000 subject to supervision or
examination by the United States of America and having a deposit rating of at
least "A2" by Moody's (or such lower rating as may be acceptable to Moody's),
and deposit rating of "A" by Standard & Poor's (or such lower rating as may be
acceptable to Standard & Poor's). If such assignee 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

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corporation or association shall be deemed to be its combined capital and
surplus as set forth in its most recent report of condition so published.
Notwithstanding the foregoing, JPMorgan Chase Bank shall be automatically
approved as an assignee of any such Servicer with respect to any Advances
hereunder without the satisfaction of the eligibility requirements set forth in
this Section 8.16.

                  Except for an assignment relating to the making or
reimbursement of Advances permitted by this Section 8.16, neither Fairbanks nor
Wilshire may assign any other rights or obligations under this Agreement without
the prior written consent of the Certificate Insurer.

                  8.17 REMOVAL OF SERVICER; RESIGNATION OF SERVICER.

                  (a) The Depositor (or the Trustee with consent of the
         Depositor) with the consent of the Certificate Insurer (unless a
         Certificate Insurer Default has occurred and is continuing), which
         consent shall not be unreasonably withheld may terminate Fairbanks or
         Wilshire as a Servicer hereunder with respect to the Fairbanks Mortgage
         Loans or the Wilshire Mortgage Loans, as applicable, without cause,
         effective upon the giving of written notice on the date set forth in
         such notice (unless such Servicer shall have received a notice of
         extension, executed by a duly authorized Person on behalf of the
         Depositor or the Trustee, as applicable, which notice the Depositor or
         Trustee may withhold in its sole discretion), that this Agreement shall
         have been terminated in whole, or that this Agreement shall have been
         terminated in part with respect to the servicing of the Mortgage Loans
         specified in such notice, without any further notice or demand, but,
         except as otherwise agreed by the relevant Servicer with the Depositor
         in the case of a termination by the relevant Servicer, subject to the
         payment of the termination fee set forth in SECTION 8.18(D) by the
         Depositor (such event, a "SERVICER TERMINATION EVENT"). Any such notice
         of termination shall be in writing and delivered to the relevant
         Servicer as provided in SECTION 12.19.

                  (b) Notwithstanding any other provision hereof to the
         contrary, (i) the Depositor may, with the reasonable consent of the
         Certificate Insurer (unless a Certificate Insurer Default has occurred
         and is continuing) and (ii) the Trustee may, with the reasonable
         consent of the Certificate Insurer and shall at the direction of the
         Certificate Insurer (in each case unless a Certificate Insurer Default
         has occurred and is continuing), terminate any rights Fairbanks or
         Wilshire may have hereunder with respect to the Fairbanks Mortgage
         Loans or the Wilshire Mortgage Loans, as applicable, with cause, upon
         five (5) Business Days' prior written notice, except with respect to
         clauses (1) and (2) hereunder, which shall occur immediately upon the
         happening of such event. Notwithstanding the foregoing, if an event
         described in paragraph (2)(b) below shall occur, the Trustee may
         terminate the relevant Servicer without the consent of the Certificate
         Insurer. For all purposes of determining "cause" with respect to
         termination of this Agreement or the rights of the relevant Servicer
         hereunder, such term shall mean

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         termination upon the occurrence of any of the following events which is
         not cured within any applicable cure period specified below:

                        (1)         Any failure by the relevant Servicer to
                                    remit to the Trustee any payment other than
                                    Servicing Advances or Monthly Advances
                                    required to be made by such Servicer under
                                    the terms of this Agreement which continues
                                    unremedied for a period up to five Business
                                    Days;

                        (2)         The failure by the relevant Servicer to make
                                    (a) any required Servicing Advance which
                                    failure continues unremedied for a period of
                                    thirty (30) days after the date on which
                                    written notice of such failure, requiring
                                    the same to be remedied, shall have been
                                    given to such Servicer by the Trustee or (b)
                                    any required Monthly Advance by the day that
                                    such Monthly Advance is required to be paid
                                    as provided herein, PROVIDED, HOWEVER,
                                    isolated and infrequent failures by the
                                    relevant Servicer to pay any de minimus
                                    portion of a Monthly Advance when required
                                    shall not be a termination event for cause
                                    of Fairbanks or Wilshire;

                        (3)         Any failure on the part of the relevant
                                    Servicer to duly observe or perform in a
                                    material respect any other of the covenants
                                    or agreements on the part of such Servicer
                                    contained in this Agreement or the breach by
                                    the relevant Servicer of any representation
                                    and warranty contained in this Agreement,
                                    which continues unremedied for a period of
                                    thirty (30) days after the date on which
                                    written notice of such failure, requiring
                                    the same to be remedied, shall have been
                                    given to such Servicer by the Trustee, the
                                    Certificate Insurer or the Depositor;
                                    PROVIDED, HOWEVER, that if such Servicer can
                                    demonstrate to the reasonable satisfaction
                                    of the Depositor and the Certificate Insurer
                                    that it is diligently pursuing remedial
                                    action, then the cure period may be extended
                                    with the written approval of the Depositor
                                    and the Certificate Insurer (which approval
                                    shall not be subject to unreasonable
                                    conditions or unreasonably withheld);

                        (4)         A decree or order of a court or agency or
                                    supervisory authority having jurisdiction in
                                    an involuntary case under any present or
                                    future federal or state bankruptcy,
                                    insolvency or similar Law or the appointment
                                    of a conservator or receiver or liquidator
                                    in any insolvency, readjustment of debt,
                                    marshaling of assets and liabilities or
                                    similar proceeding, or for the winding-up or
                                    liquidation of its affairs, shall have been
                                    entered against the relevant

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                                    Servicer and such decree or order shall have
                                    remained in force undischarged or unstayed
                                    for a period of sixty (60) days;

                        (5)         The relevant Servicer shall consent to the
                                    appointment of a conservator or receiver or
                                    liquidator in any insolvency, readjustment
                                    of debt, marshaling of assets and
                                    liabilities or similar proceeding of or
                                    relating to it or of or relating to all or
                                    substantially all of its property;

                        (6)         The relevant Servicer shall admit in writing
                                    to 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;

                        (7)         (a) For so long as Fairbanks or Wilshire
                                    shall remain a Servicer hereunder, failure
                                    by Fairbanks Capital Holding Corp. to
                                    maintain at all times a minimum consolidated
                                    net worth of at least $30,000,000 or failure
                                    by Wilshire to maintain at all times a
                                    minimum net worth of at least $15,000,000,
                                    or (b) failure by Fairbanks or Wilshire to
                                    meet at all times any equity, net worth,
                                    capitalization and other eligibility
                                    requirements for servicers required under
                                    applicable Law, or as otherwise required by
                                    Fannie Mae or Freddie Mac; or

                        (8)         Entry of any cease and desist order or
                                    similar order or directive issued against
                                    the relevant Servicer or any of its
                                    Affiliates by any regulator of such Servicer
                                    which order remains in effect longer than
                                    180 days;

                  The relevant Servicer shall provide prompt notice to the
Trustee, the Certificate Insurer and the Depositor upon learning of any of the
foregoing events.

                  (c) The Depositor may terminate the rights and obligations of
         Fairbanks or Wilshire hereunder if either Fairbanks or Wilshire, as the
         case may be, shall fail to meet the Servicing Standards as set forth on
         Exhibit C or Exhibit D and the Depositor has determined that such event
         is likely to materially and adversely affect the Mortgage Loans. The
         Depositor shall give written notice of termination to the relevant
         Servicer and such Servicer's obligations hereunder shall terminate
         immediately upon receipt of such notice. The Depositor shall give
         notice of such termination to the Trustee and the Certificate Insurer.

                  (d) Neither Fairbanks nor Wilshire shall resign from the
         obligations and duties hereby imposed on it, except upon determination
         that its duties hereunder

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         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, the other activities of such Servicer so causing such a
         conflict being of a type and nature carried on by such Servicer at the
         date of this Agreement. Any such determination permitting the
         resignation of either Fairbanks or Wilshire shall be evidenced by an
         opinion of counsel to such effect which shall be delivered to the
         Depositor, the Certificate Insurer and the Trustee, which opinion shall
         be at the expense of the relevant Servicer.

                  (e) No removal or resignation of Fairbanks or Wilshire shall
         become effective until (1) the Trustee or other successor Servicer
         shall have assumed the responsibilities and obligations of the relevant
         Servicer in accordance with this SECTION and (2) upon the termination
         of the relevant Servicer pursuant to SECTION 8.17(A) OR (C), such
         Servicer shall have been reimbursed by the Trust for all unreimbursed
         Advances and all unpaid Servicing Compensation and shall have been paid
         the termination fee set forth in SECTION 8.18(D).

                  (f) Upon the occurrence of a Fairbanks Termination Trigger
         Event or a Wilshire Termination Trigger Event, the Certificate Insurer
         or the Majority Class X Certificateholder, with the consent of the
         Certificate Insurer (unless a Certificate Insurer Default has occurred
         and is continuing) may terminate the related Servicer upon ten (10)
         Business Days' prior written notice.

                  (g) In addition, the Depositor may terminate any rights
         Fairbanks or Wilshire may have hereunder with respect to the Fairbanks
         Mortgage Loans and Wilshire Mortgage Loans as separately agreed in
         writing by the Depositor and such Servicer.

                  (h) Upon removal or resignation of Fairbanks or Wilshire, such
         Servicer at its own expense (except in the event of a removal other
         than for cause, in which case it shall be an expense of the removing
         party) also shall promptly deliver or cause to be delivered to the
         Trustee or other successor Servicer, as directed in writing by the
         Trustee, all Records and Mortgage Loan Documents related to the
         Mortgage Loans previously serviced by such Servicer.

                  (i) Any Collections then being held by Fairbanks or Wilshire
         prior to its removal and any Collections received by any such Servicer
         after removal or resignation shall be endorsed by it to the Trustee and
         remitted directly and immediately to the Trustee or the successor
         Servicer.

                  (j) If Fairbanks or Wilshire is being removed or is resigning
         pursuant to clause (d) above, such Servicer (or, in the absence of such
         notice, the Trustee) shall give notice to the Mortgagors, the
         Depositor, the Certificate Insurer and the Rating Agencies of the
         transfer of the servicing to the successor Servicer. In addition, the
         Trustee (or the Depositor, in the case of a proposed removal pursuant
         to SECTION 8.17(C) OR (F)), shall give prompt notice to the Rating
         Agencies, the

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         Depositor and the Certificate Insurer of any formal action taken in
         furtherance of the removal of Fairbanks or Wilshire.

                  (k) If Fairbanks or Wilshire is removed by the Depositor or
         the Trustee or resigns pursuant to clause (d) above, such Servicer
         shall be entitled to reimbursement of all unreimbursed Advances and
         unpaid Servicing Compensation in accordance with SECTION 8.18(D).

                  (l) The Trustee shall give notice to the Owners, the Depositor
         and the Rating Agencies of the occurrence of any event described in
         SECTION 8.17(A) or (B) of which an Authorized Officer of the Trustee is
         aware.

                  8.18 SUCCESSOR SERVICERS.

                  (a) APPOINTMENT OF SUCCESSOR. On and after a termination of
         Fairbanks or Wilshire, as a Servicer hereunder or a resignation of
         Fairbanks or Wilshire as evidenced by an opinion of counsel as
         described in SECTION 8.17(D), then the Trustee, within sixty (60) days
         of the occurrence of such event, shall, with the reasonable consent of
         the Certificate Insurer, have a successor Servicer in place to be the
         successor in all respects to Fairbanks or Wilshire, as the case may be,
         in its capacity as Servicer under this Agreement and the transactions
         set forth or provided for herein and such successor Servicer shall be
         subject to all the responsibilities, duties and liabilities relating
         thereto placed on Fairbanks or Wilshire, as the case may be, by the
         terms and provisions hereof; PROVIDED, HOWEVER, that the successor
         Servicer shall not be liable for any actions of any Servicer prior to
         its appointment as successor Servicer. The Trustee (x) may solicit bids
         for a successor Servicer as described in SECTION 8.18(B), and (y)
         pending the appointment of a successor Servicer, shall serve as
         Servicer in the event of the removal or resignation of any of the
         Servicers. Notwithstanding the foregoing, the parties hereto agree that
         the Trustee, in its capacity as successor Servicer, immediately will
         assume all of the obligations of any Servicer to make Monthly Advances,
         Servicing Advances and to pay Compensating Interest with respect to the
         relevant Mortgage Loans and the Trustee will assume the other duties of
         such Servicer as soon as practicable, but in no event later than sixty
         (60) days after the Servicer Termination Date. If the Trustee assumes
         the responsibilities of a Servicer pursuant to this SECTION 8.18, then
         the Trustee will make reasonable efforts consistent with applicable Law
         to obtain qualification in order to perform its obligations as Servicer
         under this Agreement or, alternatively, shall retain an agent that is
         so licensed, qualified and in good standing in any such state.
         Notwithstanding the foregoing, the Trustee, in its capacity as
         successor Servicer shall not be responsible for the lack of information
         and/or documents that it cannot obtain through reasonable efforts.

                  If the Trustee serves as successor Servicer, then the Trustee
in such capacity shall not be liable for any servicing of the Mortgage Loans
prior to its date of appointment as Servicer.

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                  Any successor Servicer or the Trustee shall be reimbursed for
all reasonable costs and expenses incurred in connection with the appointment of
the successor Servicer and the replacement of Fairbanks or Wilshire, as the case
may be, which reimbursement shall be paid (1) if the termination is for cause or
pursuant to SECTION 8.17(B), (C) or (F), first, by the predecessor Servicer, but
only the cost of deconversion and transfer of Servicing Files, and second, to
the extent that costs and expenses are not reimbursed within 30 days of demand
therefor or reimbursable by the predecessor Servicer, as a Trust Expense, from
amounts in the related Collection Account, and (2) if the termination is without
cause, pursuant to SECTION 8.17(A), by the Depositor.

                  (b) (i) If the Trustee is required to act as the successor
         Servicer it shall, if it is unable to obtain a qualifying bid and is
         prevented by law from acting as Servicer, appoint, or petition a court
         of competent jurisdiction to appoint, any housing and home finance
         institution, bank or mortgage servicing institution which has been
         designated as an approved seller-servicer by Fannie Mae or for first
         and second mortgage loans and having equity of not less than
         $10,000,000 (or such lower level as may be acceptable to the Trustee
         and reasonably acceptable to the Certificate Insurer), as determined in
         accordance with generally accepted accounting principles and acceptable
         to the Trustee, the Certificate Insurer and the Depositor, as the
         successor to Fairbanks or Wilshire, as applicable, hereunder in the
         assumption of all or any part of the responsibilities, duties or
         liabilities of Fairbanks or Wilshire, as applicable, hereunder.

                  (ii) In the event the Trustee solicits bids as provided above,
         the Trustee shall solicit, by public announcement at least once in The
         American Banker and such other publications as reasonably selected by
         the Trustee as directed by the Depositor, bids from housing and home
         finance institutions, banks and mortgage servicing institutions meeting
         the qualifications set forth above. Such public announcement shall
         specify that the successor Servicer shall be entitled to the full
         amount of the aggregate Servicing Compensation as servicing
         compensation but only with respect to the Fairbanks Mortgage Loans
         Wilshire Mortgage Loans, as the case may be, as reduced by the
         obligation to pay Compensating Interest. Within thirty days after any
         such public announcement, the Trustee shall negotiate and effect the
         sale, transfer and assignment of the servicing rights and
         responsibilities hereunder to the qualified party approved by the
         Depositor and the Certificate Insurer submitting the highest
         satisfactory bid as to the price they will pay to obtain servicing. The
         Trustee shall deduct from any sum received by the Trustee from the
         successor Servicer in respect of such sale, transfer and assignment all
         costs and expenses of any public announcement and of any sale, transfer
         and assignment of the servicing rights and responsibilities hereunder.
         After such deductions, the remainder of such sum less any amounts due
         the Trustee or the Trust from the relevant predecessor Servicer shall
         be paid by the Trustee to the relevant predecessor Servicer at the time
         of such sale, transfer and assignment to the successor Servicer.

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                  (iii) The Trustee, upon assuming the duties of any Servicer
         hereunder, shall immediately make all Monthly Advances which such
         Servicer was required to make under the relevant Servicing Agreement
         and has theretofore failed to remit with respect to the applicable
         Mortgage Loans and deposit them into the relevant Collection Account;
         PROVIDED, HOWEVER, that if the Trustee is acting as successor Servicer,
         the Trustee shall only be required to make Monthly Advances (including
         the Monthly Advances described in this clause (b)(iii)) if, in the
         Trustee's reasonable good faith judgment, such Monthly Advances will
         ultimately be recoverable from the applicable Mortgage Loans.

                  (c) SUCCESSOR SERVICER COMPENSATION. The compensation of any
         successor Servicer (including, without limitation, the Trustee) so
         appointed shall be an amount up to the aggregate Servicing Fee with
         respect to the Mortgage Loans serviced by the predecessor Servicer,
         together with the other Servicing Compensation provided herein.

                  (d) TERMINATION FEE TO PRIOR SERVICER. In the event Fairbanks
         or Wilshire is terminated in whole or in part without cause pursuant to
         SECTION 8.17(A), such prior Servicer shall be entitled to receive a
         termination fee equal to $5 per each applicable Mortgage Loan. Upon
         resignation, termination or removal of Fairbanks or Wilshire, for any
         reason such prior Servicer shall be entitled to payment, within thirty
         (30) days of the delivery of notice of such termination or resignation,
         of any unpaid Servicing Compensation with respect to the Mortgage Loans
         serviced by such prior Servicer and reimbursement of all expenses,
         including unreimbursed Advances relating to such Mortgage Loans made
         under this Agreement, to the date of termination or resignation;
         PROVIDED, HOWEVER, that no termination fee or other liquidated or other
         damages shall be payable to the prior Servicer if it is terminated for
         cause pursuant to SECTION 8.17(B) or terminated pursuant to SECTION
         8.17(C), or 8.17(F). The termination fee shall be an obligation of the
         Depositor and not of the Trust or the Trustee.

                  (e) EFFECTIVENESS OF APPOINTMENT. Neither the Trustee nor any
         other successor Servicer, as applicable, shall be held liable by reason
         of any failure to make, or any delay in making, any payment or
         distribution hereunder or any portion thereof caused by (i) the failure
         of the prior Servicer to deliver, or any delay in delivering, cash,
         documents or records to it or (ii) restrictions imposed by any
         regulatory authority having jurisdiction over the prior Servicer
         hereunder. No appointment of a successor to Fairbanks or Wilshire
         hereunder shall be effective until the Depositor, the Trustee and the
         Certificate Insurer shall have consented thereto.

                  8.19 INSPECTIONS OF SERVICERS; ERRORS AND OMISSIONS INSURANCE.

                  The Trustee, the Depositor, any Class X Certificateholder, the
Certificate Insurer or any agents thereof shall have the right, at its own
expense and during normal

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business hours upon reasonable prior notice, to review any and all of the books,
records, or other information of Fairbanks or Wilshire which may be relevant to
such Person's ability to confirm that such Servicer is complying with its
obligations to service the related Mortgage Loans in accordance with the terms
of this Agreement. In order to discuss such books, records or other information,
the relevant Servicer shall make personnel available who are knowledgeable about
such matters to such Persons or their respective designees. Each of Fairbanks
and Wilshire shall provide the above parties or any agents of any of them (1)
during normal business hours with on-line, read-only access to such Servicer's
servicing system and loan records, and (2) hard or electronic copies of books,
records, and other information as reasonably requested by such Persons. Each of
the Trustee and the Depositor shall reimburse the reasonable out-of-pocket
expenses incurred by Fairbanks or Wilshire in connection with any request
pursuant to this SECTION 8.19 from amounts on deposit in the Certificate
Account. Each of the Trustee and the Depositor shall maintain the
confidentiality of all such information, shall use all information only in
connection with this Agreement, and will comply with all applicable laws with
respect thereto, including without limitation, Subtitle A of Title V of the
Gramm-Leach-Bliley Act.

                  Each of Fairbanks and Wilshire agrees to maintain errors and
omissions coverage and a fidelity bond, each at least to the extent required by
Section 305 of Part I of the Fannie Mae Guide or any successor provision
thereof; PROVIDED, HOWEVER, that if the Trustee shall become the Servicer, any
customary insurance coverage that the Trustee maintains shall be deemed
sufficient hereunder; provided, further, that in the event that the fidelity
bond or the errors and omissions coverage is no longer in effect, the Trustee
shall promptly give such notice to the Depositor and the Owners. Upon the
request of the Trustee, the Depositor or the Majority Class X Certificateholder,
Fairbanks or Wilshire, as applicable, shall cause to be delivered to such
requesting Person a certified true copy of such fidelity bond or errors and
omission policy.

8.20     NON-SOLICITATION.

                  Each of Fairbanks and Wilshire agrees that, after the Closing
Date, it will not take any action to solicit the refinancing of any Mortgage
Loan other than a Mortgage Loan that is more than 60 days Delinquent. It is
understood and agreed that promotions undertaken by Fairbanks or Wilshire or any
affiliate of any such Servicer which are directed to the general public at
large, including, without limitation, mass mailings based upon commercially
acquired mailing lists, newspaper, radio, television advertisements or from
servicing the refinancing needs of a Mortgagor related to a Fairbanks Mortgage
Loan or Wilshire Mortgage Loan who, without solicitation, contacts the relevant
Servicer in connection with the refinance of such Mortgage or Mortgage Loan,
shall not constitute solicitation under this SECTION 8.20. Notwithstanding
anything to the contrary, this SECTION 8.20 shall not prohibit any of Fairbanks
or Wilshire from soliciting any Mortgagor related to a Mortgage Loan serviced by
such Servicer to provide other services including but not limited to credit
cards, insurance investments and banking related services.

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                  8.21 MAJORITY CLASS X CERTIFICATEHOLDER PURCHASE RIGHT.

                  The Majority Class X Certificateholder shall have the right
and the option, but not the obligation, for administrative convenience, to
purchase for its own account any Mortgage Loan (i) which becomes a Defaulted
Mortgage Loan or (ii) as to which there exists a defect in the documentation
comprising the Custodial File, which defect the applicable Seller fails to
remedy in accordance with the relevant Sale Agreement and such defect materially
and adversely affects the interest of the Owners or the Certificate Insurer in
such Mortgage Loan. Any such Mortgage Loan so purchased shall be purchased by
the Majority Class X Certificateholder on a Remittance Date at a purchase price
equal to the Loan Purchase Price thereof, which purchase price shall be paid to
the Trustee for deposit into the Certificate Account as provided herein. Any
such purchase pursuant to clause (ii) of the preceding sentence shall occur
within 90 days of the Trustee's notice of such defect if the defect would
prevent the Mortgage Loan from being a Qualified Mortgage.

                  8.22 PERIODIC FILINGS.

         (a) The Depositor shall prepare or cause to be prepared the initial
post closing filing of material agreements on Form 8-K. Thereafter, within 15
days after each Distribution Date, the Trustee shall, in accordance with
industry standards, file with the Commission via the Electronic Data Gathering
and Retrieval System (EDGAR), a Form 8-K with a copy of the statement to the
Securityholders for such Distribution Date as an exhibit thereto. Prior to
January 30, 2004, the Trustee shall, in accordance with industry standards, file
a Form 15 Suspension Notification with respect to the Trust, if applicable.
Prior to March 31, 2004, the Trustee shall file a Form 10-K, in substance
conforming to industry standards, with respect to the Trust. 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 the Trust Agreement and the Mortgage Loans as the Depositor
reasonably deems appropriate to prepare and file all necessary reports with the
Commission.

         (b) The Trustee and the Servicers shall reasonably cooperate with the
Depositor in connection with the Trust's satisfying the reporting requirements
under the Exchange Act. The Trustee shall prepare on behalf of the Trust any
Forms 8-K and 10-K customary for similar securities as required by the Exchange
Act and the Rules and Regulations of the Securities and Exchange Commission
thereunder, and the Trustee shall sign and file (via the Securities and Exchange
Commission's Electronic Data Gathering and Retrieval System) such Forms on
behalf of the Depositor, if an officer of the Depositor signs the Certification
pursuant to paragraph (c) of this Section 8.22, or otherwise on behalf of the
Trust. In the event the Trustee is signing any form 8-K and/or Form 10-K on
behalf of the Depositor pursuant to the preceding sentence, 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
the earlier of either (i) receipt by the Trustee from the Depositor of written
termination of such power of attorney and (ii) the termination of the Trust.
Notwithstanding the

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foregoing, the Trustee shall prepare such Form 10-K to be signed by the
Depositor and the Depositor shall sign such form unless the Securities and
Exchange Commission has indicated that it will accept a Certification signed by
the Depositor where the related Form 10-K is signed by the Trustee on behalf of
the Depositor.

         (c) Any Form 10-K filed pursuant to subclause (a) above shall include
as exhibits the Servicers' annual statement of compliance described under
Section 8.13 and the accountant's report described under Section 8.14, in each
case to the extent they have been timely delivered to the Trustee. If they are
not so timely delivered, the Trustee shall file an amended Form 10-K including
such documents as exhibits reasonably promptly after they are delivered to the
Trustee. The Trustee shall have no liability with respect to any failure to
properly prepare or file such periodic reports resulting from or relating to the
Trustee's inability or failure to obtain any information not resulting from its
own negligence, willful misconduct or bad faith. The Form 10-K shall also
include a certification in the form attached hereto as Exhibit K (the
"CERTIFICATION"), which shall, except as described below, be signed by the
senior officer of the Depositor in charge of securitization. In connection with
the filing of any such Form 10-K, the Trustee shall provide a certification to
the Depositor (in the form attached hereto as Exhibit L-1) on which the
Depositor may rely. Notwithstanding the foregoing, if it is determined by the
Depositor that the Certification may be executed by multiple persons, the
Depositor shall sign the Certification in respect of items 1 through 3 thereof
and each Servicer shall cause the senior officer in charge of servicing at the
Servicer to sign the Certification in respect of items 4 and 5 thereof (in the
form attached hereto as Exhibit L-2) with respect to the Mortgage Loans serviced
by such Servicer, and the Depositor may rely on the Certification signed by the
Servicers.

         (d) The Certification of the Trustee and of each Servicer in the forms
attached hereto as Exhibits L-1 and L-2 shall be delivered to the Depositor by
March 20th of each year (or if not a Business Day, the immediately preceding
Business Day). The Trustee and the relevant Servicer shall indemnify and hold
harmless the Depositor and its officers, directors and Affiliates from and
against any losses, damages, penalties, fines, forfeitures, reasonable and
necessary legal fees and related costs, judgments and other costs and expenses
arising out of or based upon a breach of such Person's obligations under this
Section 8.22(d) or such Person's negligence, bad faith or willful misconduct in
connection therewith. If the indemnification provided for herein is unavailable
or insufficient to hold harmless the indemnified party, then the Trustee or the
relevant Servicer, as applicable, agrees that it shall contribute to the amount
paid or payable by the Depositor as a result of the losses, claims, damages or
liabilities of the Depositor in such proportion as is appropriate to reflect the
relative fault of the Depositor on the one hand and the Trustee or the relevant
Servicer, as applicable, on the other in connection with a breach of the Trustee
or such Servicer's, obligations under this Section 8.22(d) or the Trustee or
such Servicer's negligence, bad faith or willful misconduct in connection
therewith. The Certification attached hereto as Exhibit K prepared by the
Depositor shall be delivered to the Trustee for filing by March 25th of each
year (or if not a Business Day, the immediately preceding Business Day).

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         (e) Upon any filing with the Commission, the Trustee shall promptly
deliver to the Depositor and each Servicer a copy of any such executed report,
statement or information.

                  8.23 CREDIT REPORTING; GRAMM-LEACH-BLILEY ACT.

                  (a) With respect to each Mortgage Loan, the relevant Servicer
shall fully furnish, in accordance with the Fair Credit Reporting Act and its
implementing regulations, accurate and complete information (e.g., favorable and
unfavorable) on the related Mortgagor credit files to Equifax, Experian, and
TransUnion Credit Information Company (three of the credit repositories), on a
monthly basis.

                  (b) Each Servicer shall comply with Title V of the
Gramm-Leach-Bliley Act of 1999 and all applicable regulations promulgated
thereunder, relating to the related Mortgage Loans and the related borrowers and
shall provide all required notices thereunder.

                                   ARTICLE IX
                MASTER SERVICING AND ADMINISTRATION OF CONTRACTS

                  9.01 MASTER SERVICER.

                  Wilshire, in its capacity as Master Servicer of the Contracts
shall (i) collect all amounts remitted by GreenPoint pursuant to the GreenPoint
Servicing Agreement with respect to the Contracts, (ii) receive from GreenPoint
all information with respect to the Contracts which is required to be delivered
to the Master Servicer pursuant to the GreenPoint Servicing Agreement, (iii)
make Monthly Advances and payments of Compensating Interest with respect to the
Contracts as described in SECTIONS 9.02 and 9.03 hereof, (iv) promptly notify
the Trustee and the Certificate Insurer if GreenPoint shall fail to remit
amounts collected on the Contracts or forward all required information with
respect to the Contracts to the Master Servicer, (v) upon the termination or
resignation of GreenPoint in accordance with the terms of the GreenPoint
Servicing Agreement service the Contracts in accordance with the terms of the
GreenPoint Servicing Agreement for the benefit of the Trustee, the Owners and
the Certificate Insurer and (vi) promptly notify the Trustee and the Certificate
Insurer if GreenPoint has made a claim for indemnity from amounts on deposit in
the Collection Account maintained by the Master Servicer.

                  9.02 OBLIGATION OF THE MASTER SERVICER IN RESPECT OF MONTHLY
ADVANCES.

                                      127
<PAGE>

                  If any Scheduled Payment on a Contract that was due on a
related Due Date is delinquent other than as a result of interest shortfalls due
to bankruptcy proceedings application of the Civil Relief Act, the Master
Servicer will deposit in the related Collection Account not later than the
Remittance Date, (i) with respect to each Actuarial Contract, an amount equal to
such deficiency, and (ii) with respect to each Simple Interest Contract, an
amount equal to the Simple Interest Shortfall which shall be paid from the
Simple Interest Excess Sub-Account maintained by Wilshire, or if such funds are
insufficient, from Wilshire's own funds, in each case net of the related
Servicing Fee for such Contract and except to the extent the Master Servicer
determines any such advance to be nonrecoverable from Liquidation Proceeds,
Insurance Proceeds or future payments on the Contract for which such Monthly
Advance was made. If applicable, on the related Remittance Date, the Master
Servicer shall present an Officer's Certificate to the Trustee (i) stating that
the Master Servicer elects not to make a Monthly Advance in a stated amount and
(ii) detailing the reason it deems the advance to be nonrecoverable. The Trustee
will provide notice to the Master Servicer by telecopy by the close of Business
on the Business Day prior to the Distribution Date in the event that the amount
remitted by the Master Servicer on such date is less than the Monthly Advances
required to be made by the Master Servicer for the related Distribution Date.

                  9.03 OBLIGATION OF THE MASTER SERVICER IN RESPECT OF
COMPENSATING INTEREST.

                  With respect to any Contract for which a Principal Prepayment
or a Curtailment that is more than two times the amount of the Scheduled Payment
due for such Collection Period was received during the related Collection
Period, the Master Servicer shall remit to the Trustee for deposit in the
Certificate Account from its own funds, an amount equal to the difference
between (a) 30 days' interest or, with respect to the first Remittance Date,
from the Closing Date, at the then applicable Mortgage Rate on such Contract and
(b) the amount of interest actually received on such Contract for such
Collection Period; PROVIDED, HOWEVER, that the Master Servicer shall not be
obligated to pay any interest shortfalls resulting from the application of the
Civil Relief Act for the related Collection Period.

                  The Master Servicer shall not be entitled to reimbursement for
amounts paid as Compensating Interest with respect to the Contracts.

                  9.04 TRUSTEE'S OBLIGATIONS IN RESPECT OF THE CONTRACTS.

                  The Trustee hereby acknowledges that the Depositor and the
Master Servicer have entered into the GreenPoint Servicing Agreement with
respect to the primary servicing of the Contracts by GreenPoint. The Trustee
hereby agrees and acknowledges that (i) it will execute such documents as are
prepared by and delivered to it by GreenPoint as are necessary in connection
with the servicing and administration of the Contracts, (ii) will promptly
notify the Depositor and the Certificate Insurer of the occurrence of a Servicer
Termination Event (as set forth in SECTION 6.01 of the

                                      128
<PAGE>

GreenPoint Servicing Agreement) of which an Authorized Officer of the Trustee
shall have actual knowledge and (iii) in the event that the Master Servicer
resigns or is removed pursuant to this Agreement, it will become the successor
to the Master Servicer under the GreenPoint Servicing Agreement or appoint a
successor to the Master Servicer thereunder who shall meet the qualifications
set forth in Section 8.18(b) hereof.

                  9.05 DEPOSITOR'S OBLIGATIONS IN RESPECT OF THE CONTRACTS.

                  (a) In connection with the servicing and administration of the
Contracts by GreenPoint pursuant to the GreenPoint Servicing Agreement, the
Depositor hereby agrees and acknowledges that the Depositor will (i) not enter
into any amendment, waiver or supplement to the GreenPoint Servicing Agreement
without the prior written consent of the Certificate Insurer (which consent
shall not be unreasonably withheld), (ii) promptly notify the Trustee and the
Certificate Insurer of the occurrence of a Servicer Termination Event (as set
forth in Section 6.01 of the GreenPoint Servicing Agreement), (iii) not waive
any Servicer Termination Event (as set forth in the Section 6.01 of the
GreenPoint Servicing Agreement) unless directed by the Certificate Insurer, or
if a Certificate Insurer Default has occurred and is continuing, the Holders of
Certificates representing at least 25% of the aggregate Percentage Interests
evidencing by the Certificates; provided, however that any default in the making
of any required remittance to the Master Servicer for distribution on any of the
Certificates may be waived only by the Depositor at the direction of the
affected Certificateholders, and (iv) not terminate GreenPoint pursuant to
Section 7.02 of the GreenPoint Servicing Agreement, without cause, unless it
shall have first obtained the consent of the Certificate Insurer, which consent
shall not be unreasonably withheld (unless a Certificate Insurer Default has
occurred and is continuing).

                  Upon the occurrence of a Servicer Termination Event, then, and
in each and every such case, so long as such Servicer Termination Event shall
not have been cured or waived, the Depositor may, with the consent of the
Trustee and the Certificate Insurer (which consent shall not be unreasonably
withheld; provided that if a Certificate Insurer Default has occurred and is
continuing, no consent of the Certificate Insurer needs to be obtained) by
notice in writing to GreenPoint, terminate all the rights and obligations of
GreenPoint under the GreenPoint Servicing Agreement, including, without
limitation, all rights with respect to the Contracts and the proceeds thereof,
except any responsibility for its acts or omissions during its tenure as
Servicer thereunder. On or after the receipt by GreenPoint of such written
notice, all authority and power of the GreenPoint under the GreenPoint Servicing
Agreement, whether with respect to the Contracts or otherwise, shall pass to and
be vested in the Master Servicer or such other successor appointed pursuant to
Section 5.06 of the GreenPoint Servicing Agreement. Upon the occurrence of a
Servicer Termination Event which shall not have been remedied, the Depositor
may, and shall at the direction of the Certificate Insurer or the Trustee also
pursue whatever rights it may have at law or in equity to damages, including
injunctive relief and specific performance.

                                      129
<PAGE>

(b) In addition, upon the occurrence a GreenPoint Termination Trigger Event, the
Certificate Insurer shall have the right to direct the Depositor to terminate
the rights and obligations of GreenPoint under the GreenPoint Servicing
Agreement which shall constitute a termination without cause pursuant to Section
7.02 of the GreenPoint Servicing Agreement. A "GreenPoint Termination Trigger
Event" shall occur if on any date of determination (i) the Three-Month Rolling
Average Sixty-Day Delinquency Rate of the Contracts exceeds 6% of the aggregate
Principal Balance of the Contracts or (ii) the quotient (expressed as a
percentage) of (x) the aggregate amount of Realized Losses incurred on the
Contracts since the Cut-off Date through the last day of the related Collection
Period divided by (y) the aggregate Principal Balance of the Contracts as of the
Cut-off Date, exceeds the applicable percentages set forth below with respect to
such Distribution Date:

<TABLE>
<CAPTION>
     -------------------------------------------------------------------------------------------------------
     DISTRIBUTION DATE OCCURRING IN                        LOSS PERCENTAGE
     ------------------------------                        ---------------
     -------------------------------------------------------------------------------------------------------
<S>                                                        <C>
     February 2006 through January 2007                    6.00% for the first  month,  plus an  additional
                                                           1/12th of 1.50% for each  month  thereafter,  to
                                                           7.50%
     -------------------------------------------------------------------------------------------------------
     February 2007 through January 2008                    7.50% for the first  month,  plus an  additional
                                                           1/12th of 1.50% for each  month  thereafter,  to
                                                           9.00%
     -------------------------------------------------------------------------------------------------------
     February 2008 through January 2009                    9.00% for the first  month,  plus an  additional
                                                           1/12th of 1.50% for each  month  thereafter,  to
                                                           11.00%
     -------------------------------------------------------------------------------------------------------
     February  2009 and thereafter                         11.00%
     -------------------------------------------------------------------------------------------------------
</TABLE>

                  In connection with any termination without cause of GreenPoint
under the GreenPoint Servicing Agreement, including without limitation, the
termination of GreenPoint upon the occurrence of a GreenPoint Termination
Trigger Event, the Depositor shall be responsible for the payment of any
termination fee due GreenPoint in connection therewith from its own funds and
without reimbursement therefor.

ARTICLE X

                              TERMINATION OF TRUST

10.01    TERMINATION OF TRUST.
         ---------------------

                  The Trust created hereunder and all obligations created by
this Agreement will terminate upon the payment to the holders of all
Certificates and the Certificate Insurer of all amounts held by the Trustee and
required to be paid to such Owners

                                      130
<PAGE>

pursuant to this Agreement upon the latest to occur of (a) the final payment or
other liquidation (or any advance made with respect thereto) of the last
Mortgage Loan in the Trust Estate, (b) the disposition of all property acquired
in respect of any Mortgage Loan remaining in the Trust Estate, and (c) at any
time when a Qualified Liquidation of the Mortgage Loans included within the
Trust is effected as described below. To effect a termination of this Agreement
pursuant to CLAUSE (C) above, the holders of all Certificates then Outstanding,
with the consent of the Certificate Insurer shall (i) unanimously direct the
Trustee on behalf of each REMIC to adopt a plan of complete liquidation as
contemplated by Section 860F(a)(4) of the Code and (ii) provide to the Trustee
an opinion of counsel experienced in federal income tax matters acceptable to
the Depositor and the Trustee to the effect that each such liquidation
constitutes a Qualified Liquidation, and the Trustee either shall sell the
Mortgage Loans and distribute the proceeds of the liquidation of the Trust
Estate, or shall distribute equitably in kind all of the assets of the Trust
Estate to the remaining holders of the Certificates each in accordance with such
plan, so that the liquidation or distribution of the Trust Estate, the
distribution of any proceeds of the liquidation and the termination of this
Agreement occur no later than the close of the 90th day after the date of
adoption of the plan of liquidation and such liquidation qualifies as a
Qualified Liquidation. In no event, however, will the Trust created by this
Agreement continue beyond the expiration of twenty-one (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 Saint James, living on the date
hereof. The Trustee shall give written notice of termination of the Agreement to
each Owner in the manner set forth in SECTION 12.05.

10.02    TERMINATION UPON OPTION OF CERTIFICATEHOLDERS.
         ----------------------------------------------

                  The Majority Class X Certificateholder may, but shall not be
obligated to, purchase from the Trust or cause the sale by the Trust of all but
not less than all of the remaining Mortgage Loans in the Trust, thereby retiring
the Offered Certificates, whenever the Pool Balance is equal to or less than 10%
of the Original Pool Balance by furnishing notice to the Trustee, the
Certificate Insurer and the Servicers at least four Business Days preceding such
Distribution Date. If the Majority Class X Certificateholder does not exercise
such option on any Distribution Date, the Certificate Insurer may do so by
furnishing notice to the Trustee and the Majority Class X Certificateholder at
least three Business Days prior to such Distribution Date. The purchase price
for the Mortgage Loans shall be a price equal to the greater of (i) the
aggregate fair market value of the Mortgage Loans and other assets of the Trust
and (ii) the Pool Balance plus all accrued unpaid interest thereon through the
Due Date in the Collection Period in which such purchase occurs plus the fair
market value of all REO Properties in the Trust, plus, without duplication, the
amount of all outstanding Advances (and interest thereon, if required to be paid
pursuant to this Agreement) and all unpaid Servicing Compensation and all
amounts owing to the Certificate Insurer.

10.03    TERMINATION UPON LOSS OF REMIC STATUS.
         --------------------------------------

                                      131
<PAGE>

                  At any time on or after the date which is thirty (30) calendar
days following a Final Determination the holders of a majority in Percentage
Interests represented by the Class A, Class M-1 and Class B Certificates then
Outstanding may direct the Trustee on behalf of the Trust to adopt a plan of
complete liquidation, as contemplated by Section 860F(a)(4) of the Code.

                  Upon receipt of such direction from the Holders of the Class
A, Class M-1 and Class B Certificates, the Trustee shall notify the Holders of
the Class R Certificates of such election to liquidate or such determination to
purchase, as the case may be (the "TERMINATION NOTICE"). The Holders of a
majority of the Percentage Interests of the Class R Certificates then
Outstanding may, within sixty (60) days from the date of receipt of the
Termination Notice (the "PURCHASE OPTION PERIOD"), at their option, purchase
from the Trust all (but not fewer than all) Mortgage Loans and all property
theretofore acquired by foreclosure, deed in lieu of foreclosure, or otherwise
then remaining in the Trust Estate at a purchase price equal to the Pool Balance
as of the date of such purchase, plus (a) one month's interest on such amount at
the Mortgage Rates, (b) the aggregate amount of any unreimbursed Advances (and
interest thereon if required to be paid pursuant to this Agreement) and Trust
Expenses, (c) any Monthly Advances which the Servicer or the Master Servicer has
theretofore failed to remit, and (d) all amounts owing to the Certificate
Insurer. If, during the Purchase Option Period, the holders of the Class R
Certificates have not exercised the option described in the immediately
preceding sentence, then upon the expiration of the Purchase Option Period in
the event that the holders of the Class A, Class M-1 Certificates and Class B
Certificates have given the Trustee the direction described in clause (i) of the
immediately preceding paragraph, the Trustee shall sell the Mortgage Loans and
distribute the proceeds of the liquidation of the Trust Estate, each in
accordance with the plan of complete liquidation, such that, if so directed, the
liquidation of the Trust Estate, the distribution of the proceeds of the
liquidation and the termination of this Agreement occur no later than the close
of the sixtieth (60th) day, or such later day as the holders of the Class A,
Class M-1, and Class B Certificates shall permit or direct in writing, after the
expiration of the Purchase Option Period.

10.04    DISPOSITION OF PROCEEDS.
         ------------------------

                  The Trustee shall, upon receipt thereof, deposit into the
Collections Account the proceeds of any liquidation of the Trust Estate pursuant
to this Article X as if they were collections on the Mortgage Loans.

10.05    FINAL DISTRIBUTION ON THE CERTIFICATES.
         ---------------------------------------

                  In connection with the termination of the trust as described
in Section 10.01 or 10.02 hereof, the Trustee shall promptly send a Notice of
Final Distribution to each Owner not later than the 15th day of the month of
such final distribution. Such Notice of Final Distribution shall specify the
Distribution Date upon which final distribution on the Certificates will be made
upon presentation and surrender of Certificates at the office therein
designated, (b) the amount of such final distribution,

                                      132
<PAGE>

(c) the location of the office or agency at which such presentation and
surrender must be made, and (d) that the Record Date otherwise applicable to
such Distribution Date is not applicable, distributions being made only upon
presentation and surrender of the Certificates at the office therein specified.
The Trustee will give such Notice of Final Distribution to each Rating Agency
and the Certificate Insurer at the time such Notice of Final Distribution is
given to Owners.

                  In the event such Notice of Final Distribution is given, each
Servicer shall cause all funds in the relevant Collection Account to be remitted
to the Trustee for deposit in the Certificate Account on the Business Day prior
to the applicable Distribution Date in an amount equal to the final distribution
in respect of the Certificates net of any amounts on deposit therein which shall
be used to pay the Servicer any amounts due it pursuant to the terms of this
Agreement. Upon such final deposit with respect to the Trust Fund and the
receipt by the Trustee of a Request for Release therefor, the Trustee shall
promptly release or cause the release to the Depositor or its designee the
Custodial Files for the Mortgage Loans.

                  Upon presentation and surrender of the Certificates, the
Trustee shall cause to be distributed to the Owners of each Class of
Certificates (after reimbursement of all amounts due the Servicers, the
Depositor, the Certificate Insurer and the Trustee hereunder), in each case on
the final Distribution Date and in the order set forth in Section 7.06(b), in
proportion to their respective Percentage Interests, with respect to
Certificateholders of the same Class, an amount up to an amount equal to (i) as
to each Class of Regular Certificates (except the Class X Certificate), the
Certificate Balance thereof plus for each such Class and the Class X Certificate
accrued interest thereon in the case of an interest-bearing Certificate and all
other amounts to which such Classes are entitled pursuant to Section 7.06(b) or
Section 7.06(c), (ii) as to the Residual Certificates, the amount, if any, which
remains on deposit in the Distribution Account (other than the amounts retained
to meet claims) after application pursuant to clause (i) above and (iii) to the
Class P Certificates, any Prepayment Penalities remitted by the Servicers with
respect to the Mortgage Loans.

                                      133
<PAGE>
                  In the event that any affected Owner shall not surrender
Certificates for cancellation within six months after the date specified in the
above mentioned written notice, the Trustee shall give a second written notice
to the remaining Owners to surrender their Certificates for cancellation and
receive the final distribution with respect thereto. If within six months after
the second notice all the applicable Certificates shall not have been
surrendered for cancellation, the Trustee may take appropriate steps, or may
appoint an agent to take appropriate steps, to contact the remaining Owners
concerning surrender of their Certificates, and the cost thereof shall be paid
out of the funds and other assets which remain a part of the Trust Fund. If
within one year after the second notice all Certificates shall not have been
surrendered for cancellation, the Class R Certificateholders shall be entitled
to all unclaimed funds and other assets of the Trust Fund which remain subject
hereto.

                                   ARTICLE XI

                                   THE TRUSTEE

11.01    CERTAIN DUTIES AND RESPONSIBILITIES.
         ------------------------------------

         (a) The Trustee (i) undertakes to perform such duties and only such
duties as are specifically set forth in this Agreement, and no implied covenants
or obligations shall be read into this Agreement against the Trustee and (B) the
banking institution that is the Trustee shall serve as the Trustee at all times
under this Agreement, and (ii) in the absence of bad faith on its part, may
conclusively rely, as to the truth of the statements and the correctness of the
opinions expressed therein, upon certificates or opinions furnished pursuant to
and conforming to the requirements of this Agreement; but in the case of any
such certificates or opinions which by any provision hereof are specifically
required to be furnished to the Trustee, shall be under a duty to examine the
same to determine whether or not they conform on their face to the requirements
of this Agreement. 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
conform on their face to the requirements of this Agreement; PROVIDED, HOWEVER,
that the Trustee shall not be responsible for the accuracy or content of any
resolution, certificate, statement, opinion, report, document, order or other
instrument furnished by a Servicer, the Master Servicer or the Depositor
hereunder. If any such instrument is found not to conform in any material
respect to the requirements of this Agreement, the Trustee shall notify the
Owners of such instrument in the event that the Trustee, after so requesting,
does not receive a satisfactory corrected instrument.

                                      134
<PAGE>

         (b) 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, except that:

         (i) this SUBSECTION shall not be construed to limit the effect of
SECTION 11.01(A);

         (ii) the Trustee shall not be liable for any error of judgment made in
good faith by an Authorized Officer, unless it shall be proved that the Trustee
was negligent in ascertaining the pertinent facts;

         (iii) the Trustee shall not be liable with respect to any action taken
or omitted to be taken by it in good faith in accordance with the direction of
the holders of a majority in Percentage Interest of the Certificates of the
affected Class or Classes, or the Certificate Insurer relating 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 relating to such Certificates;

         (iv) Prior to the occurrence of an Event of Default of which an
Authorized Officer of the Trustee shall have actual knowledge, and after the
curing of all such Events of Default which may have occurred, the duties and
obligations of the Trustee shall be determined solely by the express provisions
of this Agreement, the Trustee shall not be liable except for the performance of
such duties and obligations as are specifically set forth in this Agreement, no
implied covenants or obligations shall be read into this Agreement against the
Trustee and, in the absence of bad faith on the part of the Trustee, the Trustee
may conclusively rely, as to the truth of the statements and the correctness of
the opinions expressed therein, upon any certificates or opinions furnished to
the Trustee and conforming to the requirements of this Agreement;

         (v) The Trustee shall not be required to take notice or be deemed to
have notice or knowledge or any default or Event of Default unless an Authorized
Officer of the Trustee shall have received written notice thereof. In the
absence of receipt of such notice, the Trustee may conclusively assume that
there is no default or Event of Default; and

         (vi) 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, refiling or redepositing 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 other
than from funds available in the Certificate Account and (D) to confirm or
verify the contents of any reports or certificates of any Servicer, the Master
Servicer or any other Person delivered to the Trustee

                                      135
<PAGE>

pursuant to this Agreement believed by the Trustee to be genuine and to have
been signed or presented by the proper party or parties.

         (c) Whether or not therein expressly so provided, every provision of
this Agreement relating to the conduct or affecting the liability of or
affording protection to the Trustee shall be subject to the provisions of this
SECTION.

         (d) 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. 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 any Servicer, the Master
Servicer or the Depositor 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, any Servicer in accordance with the terms of this
Agreement.

         (e) The permissive right of the Trustee to take actions enumerated in
this Agreement shall not be construed as a duty and the Trustee shall not be
answerable for other than its own negligence or willful misconduct.

         (f) The Trustee shall be under no obligation to institute any suit, or
to take any remedial proceeding under this Agreement, or to take any steps in
the execution of the trusts hereby created or in the enforcement of any rights
and powers hereunder until it shall be indemnified to its satisfaction against
any and all costs and expenses, outlays and counsel fees and other reasonable
disbursements and against all liability, except liability which is adjudicated
to have resulted from its negligence or willful misconduct, in connection with
any action so taken.

11.02    CERTAIN RIGHTS OF THE TRUSTEE.
         ------------------------------

         Except as otherwise provided in SECTION 11.01:

         (a) the Trustee may rely and shall be protected in acting or refraining
from acting upon any resolution, certificate, statement, instrument, opinion,
report, notice, request, direction, consent, order, bond, note or other paper or
document believed by it to be genuine and to have been signed or presented by
the proper party or parties;

         (b) any request or direction of the Depositor, or the holders of any
Class of Certificates mentioned herein shall be sufficiently evidenced in
writing;

         (c) whenever in the administration of this Agreement the Trustee shall
deem it desirable that a matter be proved or established prior to taking,
suffering

                                      136
<PAGE>

or omitting any action hereunder, the Trustee (unless other evidence be herein
specifically prescribed) may, in the absence of bad faith on its part, rely upon
an Officer's Certificate opinion of counsel, certificate of auditors or any
other certificate, statement, instrument, opinion, report, notice, request,
consent, order, appraisal, 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;

         (d) the Trustee may consult with counsel, and any advice or opinion of
such counsel (selected in good faith by the Trustee) shall be full and complete
authorization and protection in respect of any action taken, suffered or omitted
by it hereunder in good faith and in reliance thereon;

         (e) the Trustee shall be under no obligation to exercise any of the
rights or powers vested in it by this Agreement at the request or direction of
any of the Owners or the Certificate Insurer pursuant to this Agreement, unless
such Owners or the Certificate Insurer shall have offered to the Trustee
reasonable security or indemnity satisfactory to the Trustee against the costs,
expenses and liabilities which might be incurred by it in compliance with such
request or direction;

         (f) 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, direction, consent, order, bond, note or other
paper or document, but the Trustee in its discretion may make such further
inquiry or investigation into such facts or matters as it may see fit; 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 assured to the Trustee by
the security afforded to it by the terms of this Agreement, the Trustee may
require indemnity satisfactory to the Trustee against such cost, expense or
liability as a condition to taking any such action;

         (g) the Trustee may execute any of the trusts or powers hereunder or
perform any duties hereunder either directly or by or through agents, attorneys
or custodians, and the Trustee shall not be responsible for any misconduct or
negligence on the part of any such agent, attorney or custodian appointed by the
Trustee with due care;

         (h) the Trustee shall not be liable for any action it takes or omits to
take in good faith which it reasonably believes to be authorized by the
Authorized Officer of any Person or within its rights or powers under this
Agreement other than as to validity and sufficiency of its authentication of the
Certificates;

         (i) 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;

                                      137
<PAGE>

         (j) pursuant to the terms of this Agreement, the Servicers are required
to furnish to the Trustee from time to time certain information and to make
various calculations which are relevant to the performance of the Trustee's
duties under this Agreement. The Trustee shall be entitled to rely in good faith
on any such information and calculations in the performance of its duties
hereunder, unless and until an Authorized Officer of the Trustee has actual
knowledge, or is advised by any Owner (either in writing or orally with prompt
written or telecopier confirmation), that such information or calculations is or
are incorrect; and

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

11.03    NOT RESPONSIBLE FOR RECITALS OR ISSUANCE OF CERTIFICATES.
         ---------------------------------------------------------

         The recitals and representations contained herein and in the
Certificates, except any such recitals and representations made by the Trustee,
shall be taken as the statements of the Depositor and the Trustee assumes no
responsibility for their correctness. The Trustee makes no representation as to
the validity or sufficiency of this Agreement, of the Certificates, or any
Mortgage Loan or document related thereto other than as to validity and
sufficiency of its authentication of the Certificates. The Trustee shall not be
accountable for the use or application by the Depositor of any of the
Certificates or of the proceeds of such Certificates, or for the use or
application of any funds paid to the Depositor, either of the Sellers or any
Servicers in respect of the Mortgage Loans or deposited into or withdrawn from
the related Collection Account or the Certificate Account by the Depositor, any
Servicer or either of the Sellers, and shall have no responsibility for filing
any financing or continuation statement in any public office at any time or
otherwise to perfect or maintain the perfection of any security interest or lien
or to prepare or file any tax returns for the Trust or to record this Agreement.
The Trustee shall not be required to take notice or be deemed to have notice or
knowledge of any default unless an Authorized Officer of the Trustee shall have
received written notice thereof or an Authorized Officer has actual knowledge
thereof. In the absence of receipt of such notice, the Trustee may conclusively
assume that no default has occurred.

11.04    MAY HOLD CERTIFICATES.
         ----------------------

         The Trustee, any Paying Agent, Registrar or any other agent of the
Trust, in its individual or any other capacity, may become an Owner or pledgee
of Certificates and may otherwise deal with the Trust with the same rights it
would have if it were not Trustee, any Paying Agent, Registrar or such other
agent.

11.05    MONEY HELD IN TRUST.
         --------------------

         Money held by the Trustee in trust hereunder need not be segregated
from other trust funds except to the extent required herein or required by Law.
The Trustee

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<PAGE>

shall be under no liability for interest on any money received by it hereunder
except as otherwise agreed with the Depositor and except to the extent of income
or other gain on investments which are deposits in or certificates of deposit of
the Trustee in its commercial capacity.

11.06    COMPENSATION AND REIMBURSEMENT; NO LIEN FOR FEES.
         -------------------------------------------------

                  The Trustee shall receive compensation for fees and
reimbursement for expenses pursuant to SECTIONS 2.05 and 7.06. The Trustee shall
have no lien on the Trust Estate for the payment of such fees and expenses.

11.07    CORPORATE TRUSTEE REQUIRED; ELIGIBILITY.
         ----------------------------------------

                  There shall at all times be a Trustee hereunder which shall be
a corporation or association organized and doing business under the laws of the
United States of America or of any State authorized under such laws to exercise
corporate trust powers, having a combined capital and surplus of at least
$50,000,000 subject to supervision or examination by the United States of
America, acceptable to the Depositor and having a deposit rating of at least
"A2" by Moody's (or such lower rating as may be acceptable to Moody's), and
deposit rating of "A" (and a short-term rating of "A-1" or better) by Standard &
Poor's (or such lower rating as may be acceptable to Standard & Poor's). If such
Trustee 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 association shall be deemed to be its combined capital and
surplus as set forth in its most recent report of condition so published. If at
any time the Trustee shall cease to be eligible in accordance with the
provisions of this SECTION, it shall, upon the request of the Certificate
Insurer or the Depositor, resign immediately in the manner and with the effect
hereinafter specified in this ARTICLE XI.

11.08    RESIGNATION AND REMOVAL; APPOINTMENT OF SUCCESSOR.
         -------------------------------------------------

               (a) No resignation or removal of the Trustee and no appointment
          of a successor trustee pursuant to this ARTICLE XI shall become
          effective until the acceptance of appointment by the successor trustee
          under SECTION 11.09.

               (b) The Trustee, or any trustee or trustees hereafter appointed,
          may resign from the duties and obligations hereby imposed on it by
          this Agreement at any time by giving sixty (60) days' prior written
          notice of resignation to the Depositor and by mailing notice of
          resignation by first-class mail, postage prepaid, to the Depositor,
          the Servicers, the Certificate Insurer and the Owners at their
          addresses appearing on the Register. Additionally, a copy of such
          notice shall be sent by the resigning Trustee to the Rating Agencies.
          Upon receiving notice of resignation, the Depositor shall promptly
          appoint a successor trustee or trustees acceptable to the Certificate
          Insurer (or if a Certificate Insurer Default has occurred and is

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<PAGE>

          continuing, acceptable to the Owners of a majority in Percentage
          Interest of the Offered Certificates then Outstanding) by written
          instrument, in duplicate, executed on behalf of the Trust by an
          Authorized Officer of the Depositor, one copy of which instrument
          shall be delivered to the Trustee so resigning and one copy to the
          successor trustee or trustees. If no successor trustee shall have been
          appointed and have accepted appointment within thirty (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, or, the Certificate Insurer, or any Owner may, on
          behalf of himself and all others similarly situated, petition any such
          court for the appointment of a successor trustee. Such court may
          thereupon, after such notice, if any, as it may deem proper and
          appropriate, appoint a successor trustee. No resignation of the
          Trustee under this SECTION 11.08(B) shall become effective until the
          appointment of a successor trustee.

               (c) If at any time the Trustee shall cease to be eligible under
          SECTION 11.07 and shall fail to resign after written request therefor
          by the Depositor or the Certificate Insurer, the Depositor, with the
          consent of the Certificate Insurer, may remove the Trustee and appoint
          a successor trustee acceptable to the Certificate Insurer by written
          instrument, in duplicate, executed on behalf of the Trust by an
          Authorized Officer of the Depositor, one copy of which instrument
          shall be delivered to the Trustee so removed and one copy to the
          successor trustee.

               (d) The Certificate Insurer (or if a Certificate Insurer Default
          has occurred and is continuing, the Owners of a majority of the
          Percentage Interests represented by the Class A Certificates or, if
          there are no Class A Certificates then Outstanding, by a majority of
          the Percentage Interests represented by the Class M-1 Certificates, or
          if there are no Class A Certificates or Class M-1 Certificates then
          Outstanding, by a majority of the Percentage Interests represented by
          the Class B Certificates), may at any time remove the Trustee and
          appoint a successor trustee acceptable to the Depositor by delivering
          to the Trustee to be removed, to the successor trustee so appointed,
          to the Depositor and to the Servicer copies of the record of the act
          taken by the Owners, as provided for in SECTION 12.03. All expenses
          incurred by the Trustee in connection with its removal pursuant to
          this clause (d) shall be reimbursed to it from amounts on deposit in
          the Certificate Account within 30 days of request therefor.

               (e) If the Trustee fails to perform its duties in accordance with
          the terms of this Agreement, becomes ineligible pursuant to SECTION
          11.07 to serve as Trustee, or becomes subject to any bankruptcy,
          insolvency, reorganization or similar proceedings under any law, the
          Depositor, with the consent of the Certificate Insurer, or the
          Certificate Insurer (or if a Certificate Insurer Default has occurred
          and is continuing Owners of a majority of the Percentage Interests
          represented by the Class A Certificates or, if there are no Class A
          Certificates then Outstanding, by a majority of the Percentage
          Interests represented by the Class M-1 Certificates, or if there are
          no Class A Certificates or Class M-1 Certificates

                                      140
<PAGE>

          then Outstanding, by a majority of the Percentage Interests
          represented by the Class B Certificates), may remove the Trustee and
          appoint a successor trustee by written instrument, in duplicate,
          signed by the Depositor duly authorized, one complete set of which
          instruments shall be delivered to the Trustee so removed and one
          complete set to the successor Trustee so appointed.

               (f) If the Trustee shall resign, be removed or become incapable
          of acting, or if a vacancy shall occur in the office of the Trustee
          for any cause, the Depositor shall promptly appoint a successor
          trustee acceptable to the Certificate Insurer (or if a Certificate
          Insurer Default has occurred and is continuing the Owners of a
          majority of the Percentage Interests represented by the Class A
          Certificates or, if there are no Class A Certificates then
          Outstanding, by a majority of the Percentage Interests represented by
          the Class M-1 Certificates, or if there are no Class A Certificates or
          Class M-1 Certificates then Outstanding, by a majority of the
          Percentage Interests represented by the Class B Certificates). If
          within one year after such resignation, removal or incapability or the
          occurrence of such vacancy, a successor trustee shall be appointed by
          act of the holders of a majority of the Percentage Interests
          represented by the Class A Certificates then Outstanding, or, if there
          are no Class A Certificates then Outstanding, by such majority of the
          Percentage Interests represented by the Class M-1 Certificates, or if
          there are no Class M-1 Certificates then Outstanding, by such majority
          of the Percentage Interest represented by the Class B Certificates,
          the successor trustee so appointed shall forthwith upon its acceptance
          of such appointment become the successor trustee and supersede the
          successor trustee appointed by the Depositor. If no successor trustee
          shall have been so appointed by the Depositor or the Owners and shall
          have accepted appointment in the manner hereinafter provided, any
          Owner may, on behalf of himself and all others similarly situated,
          petition any court of competent jurisdiction for the appointment of a
          successor trustee. Such court may thereupon, after such notice, if
          any, as it may deem proper and prescribe, appoint a successor trustee.

               (g) The Depositor shall give notice of any removal of the Trustee
          by mailing notice of such event by first-class mail, postage prepaid,
          to the Servicers, the Rating Agencies and to the Owners as their names
          and addresses appear in the Register. Each notice shall include the
          name of the successor Trustee and the address of its corporate trust
          office.

11.09    ACCEPTANCE OF APPOINTMENT BY SUCCESSOR TRUSTEE.
         -----------------------------------------------

         Every successor trustee appointed hereunder shall execute, acknowledge
and deliver to the Depositor on behalf of the Trust and to its predecessor
Trustee an instrument accepting such appointment hereunder and stating its
eligibility to serve as Trustee 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 vested with
all the rights, powers, trusts, duties and obligations of its predecessor
hereunder; but, on request of the Depositor or the successor Trustee,

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<PAGE>

such predecessor Trustee shall, upon payment of its charges then unpaid, execute
and deliver an instrument transferring to such successor trustee all of the
rights, powers and trusts of the Trustee so ceasing to act, and shall duly
assign, transfer and deliver to such successor trustee all property and money
held by such Trustee so ceasing to act hereunder. Upon request of any such
successor trustee, the Depositor on behalf of the Trust shall execute any and
all instruments for more fully and certainly vesting in and confirming to such
successor trustee all such rights, powers and trusts.

         Upon acceptance of appointment by a successor Trustee as provided in
this SECTION, the Depositor shall mail notice thereof by first-class mail,
postage prepaid, to the Owners at their last addresses appearing upon the
Register. The Depositor shall send a copy of such notice to the Servicers and
the Rating Agencies. If the Depositor fails to mail such notice within ten days
after acceptance of appointment by the successor Trustee, the successor trustee
shall cause such notice to be mailed at the expense of the Trust.

         No successor trustee shall accept its appointment unless at the time of
such acceptance such successor shall be qualified and eligible under this
ARTICLE XI.

11.10 MERGER, CONVERSION, CONSOLIDATION OR SUCCESSION TO BUSINESS OF THE
      ------------------------------------------------------------------
      TRUSTEE.
      --------

         Any corporation or association into which the Trustee may be merged or
converted or with which it may be consolidated, or any corporation or
association resulting from any merger, conversion or consolidation to which the
Trustee shall be a party, or any corporation or association succeeding to all or
substantially all of the corporate trust business of the Trustee, shall be the
successor of the Trustee hereunder, without the execution or filing of any paper
or any further act on the part of any of the parties hereto; PROVIDED, HOWEVER,
that such corporation or association shall be otherwise qualified and eligible
under this ARTICLE XI. In case any Certificates have been executed, but not
delivered, by the Trustee then in office, any successor by merger, conversion or
consolidation to such Trustee may adopt such execution and deliver the
Certificates so executed with the same effect as if such successor Trustee had
itself executed such Certificates.

11.11    REPORTING; WITHHOLDING.
         -----------------------

               (a) The Trustee shall timely provide to the Owners the Internal
          Revenue Service's Form 1099 and any other statement required by
          applicable Treasury regulations as determined by the Tax Matters
          Person, and shall withhold, as required by applicable law, federal,
          state or local taxes, if any, applicable to distributions to the
          Owners, including but not limited to backup withholding under Section
          3406 of the Code and the withholding tax on distributions to foreign
          investors under Sections 1441 and 1442 of the Code.

               (b) As required by law or upon request of the Tax Matters Person
          and except as otherwise specifically set forth in SUBSECTION (A)
          above, the Trustee shall

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<PAGE>

          timely file all reports prepared by the Depositor and required to be
          filed by the Trust with any federal, state or local governmental
          authority having jurisdiction over the Trust, including other reports
          that must be filed by the Owners, such as the Internal Revenue
          Service's Form 1066 and Schedule Q and the form required under Section
          6050K of the Code, if applicable to REMICs. Furthermore, the Trustee
          shall report to the Owners, if required, with respect to the
          allocation of expenses pursuant to Section 212 of the Code in
          accordance with the specific instructions to the Trustee by the
          Depositor with respect to such allocation of expenses. The Trustee
          shall, upon request of the Depositor, collect any forms or reports
          from the Owners determined by the Depositor to be required under
          applicable federal, state and local tax laws.

               (c) The Depositor covenants and agrees that it shall provide to
          the Trustee any information necessary to enable the Trustee to meet
          its obligations under SECTION 11.11(A) and (B).

               (d) Except as otherwise provided, the Depositor shall have the
          responsibility for preparation of all returns, forms, reports and
          other documents referred to in this SECTION and the Trustee's
          responsibility shall be to execute such documents.

11.12    LIABILITY OF THE TRUSTEE.
         -------------------------

         The Trustee shall be liable in accordance herewith only to the extent
of the obligations specifically imposed upon and undertaken by the Trustee
herein. Neither the Trustee nor any of the directors, officers, employees or
agents of the Trustee shall be under any liability on any Certificate or
otherwise to the Depositor, either of the Sellers, any Servicer or any Owner 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 Trustee, its directors, officers, employees
or agents or any such Person against any liability which would otherwise be
imposed by reason of negligent action, negligent failure to act or willful
misconduct in the performance of duties or by reason of reckless disregard of
obligations and duties hereunder. Subject to the foregoing sentence, the Trustee
shall not be liable for losses on investments of amounts in the Certificate
Account (except for any losses on obligations on which the bank serving as the
Trustee is the obligor). In addition, the Depositor and the Trust covenant and
agree to indemnify the Trustee, and when the Trustee is acting as Servicer, the
Servicer, from, and hold it harmless against, any and all losses, liabilities,
damages, claims or expenses (including legal fees and expenses) of whatsoever
kind arising out of or in connection with the performance of its duties
hereunder other than those resulting from the negligence or bad faith of the
Trustee, and the Depositor shall pay all amounts not otherwise paid pursuant to
SECTIONS 6.12 and 7.06. The Trustee and any director, officer, employee or agent
of the Trustee may rely and shall be protected in acting or refraining from
acting in good faith on any certificate, notice or other document of any kind
prima facie properly executed and submitted by the Authorized Officer of any
Person respecting any matters arising hereunder. The provisions of this SECTION

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<PAGE>

11.12 shall survive the termination of this Agreement, the termination or
resignation of the Trustee and the payment of the outstanding Certificates.

11.13    APPOINTMENT OF CO-TRUSTEE OR SEPARATE TRUSTEE.
         ----------------------------------------------

         Notwithstanding any other provisions of this Agreement, at any time,
for the purpose of meeting any legal requirements of any jurisdiction in which
any part of the Trust Estate or Mortgaged Property may at the time be located,
the Depositor and the Trustee acting jointly shall have the power and shall
execute and deliver all instruments to appoint one or more Persons approved by
the Trustee and reasonably acceptable to the Depositor to act as co-Trustee or
co-Trustees, jointly with the Trustee, of all or any part of the Trust Estate or
separate Trustee or separate Trustees of any part of the Trust Estate, and to
vest in such Person or Persons, in such capacity and for the benefit of the
Owners, such title to the Trust Estate, or any part thereof, and, subject to the
other provisions of this SECTION 11.13, such powers, duties, obligations, rights
and trusts as the Depositor and the Trustee may consider necessary or desirable.
If the Depositor shall not have joined in such appointment within fifteen (15)
days after the receipt by it of a request so to do, or in the case any event
indicated in SECTION 8.17(B) shall have occurred and be continuing, the Trustee
subject to reasonable approval of the Depositor alone shall have the power to
make such appointment. No co-Trustee or separate Trustee hereunder shall be
required to meet the terms of eligibility as a successor trustee under SECTION
11.08 and no notice to Owners of the appointment of any co-Trustee or separate
Trustee shall be required under SECTION 11.09.

         Every separate Trustee and co-Trustee shall, to the extent permitted,
be appointed and act subject to the following provisions and conditions:

               (i) All 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 or
          co-Trustee jointly (it being understood that such separate Trustee or
          co-Trustee is not authorized to act separately without the Trustee
          joining in such act), except to the extent that under any law of any
          jurisdiction in which any particular act or acts are to be performed
          (whether as Trustee hereunder or as successor to the Servicer
          hereunder), 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 Estate or any
          portion thereof in any such jurisdiction) shall be exercised and
          performed singly by such separate Trustee or co-Trustee, but solely at
          the direction of the Trustee;

               (ii) No co-Trustee hereunder shall be held personally liable by
          reason of any act or omission of any other co-Trustee hereunder; and

               (iii) The Servicer, the Depositor and the Trustee acting jointly
          may at any time accept the resignation of or remove any separate
          Trustee or co-Trustee.

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<PAGE>

                  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 or co-Trustee shall refer to this Agreement and
the conditions of this SECTION 11.13. 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 and a
copy thereof given to the Servicer.

                  Any separate Trustee or co-Trustee 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. If any separate Trustee
or co-Trustee 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.

                                  ARTICLE XII

                                  MISCELLANEOUS

12.01    COMPLIANCE CERTIFICATES AND OPINIONS.
         -------------------------------------

         Upon any application or request by the Depositor or the Owners to the
Trustee to take any action under any provision of this Agreement, the Depositor
or the Owners, as the case may be, shall furnish to the Trustee a certificate
stating that all conditions precedent, if any, provided for in this Agreement
relating to the proposed action have been complied with, except that in the case
of any such application or request as to which the furnishing of such documents
is specifically required by any provision of this Agreement relating to such
particular application or request, no additional certificate need be furnished.

         Except as otherwise specifically provided herein, each certificate or
opinion with respect to compliance with a condition or covenant provided for in
this Agreement (including one furnished pursuant to specific requirements of
this Agreement relating to a particular application or request) shall include:

               (a) a statement that each individual signing such certificate or
          opinion has read such covenant or condition and the definitions herein
          relating thereto;

               (b) a brief statement as to the nature and scope of the
          examination or investigation upon which the statements or opinions
          contained in such certificate or opinion are based; and

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<PAGE>

               (c) a statement as to whether, in the opinion of each such
          individual, such condition or covenant has been complied with.

12.02    FORM OF DOCUMENTS DELIVERED TO THE TRUSTEE.
         -------------------------------------------

         In any case where several matters are required to be certified by, or
covered by an opinion of, any specified Person, it is not necessary that all
such matters be certified by, or covered by the opinion of, only one such
Person, or that they be so certified or covered by only one document, but one
such Person may certify or give an opinion with respect to some matters and one
or more other such Persons as to other matters, and any such Person may certify
or give an opinion as to such matters in one or several documents.

         Any certificate or opinion of an Authorized Officer of the Trustee may
be based, insofar as it relates to legal matters, upon a certificate or opinion
of, or representations by, counsel, unless such Authorized Officer knows that
the certificate or opinion or representations with respect to the matters upon
which his certificate or opinion is based are erroneous. Any such certificate or
opinion of an Authorized Officer of the Trustee or any opinion of counsel may be
based, insofar as it relates to factual matters upon a certificate or opinion
of, or representations by, one or more Authorized Officers of the Depositor or
the relevant Servicer, stating that the information with respect to such factual
matters is in the possession of the Depositor or the relevant Servicer, unless
such Authorized Officer or counsel knows that the certificate or opinion or
representations with respect to such matters are erroneous. Any opinion of
counsel may also be based, insofar as it relates to factual matters, upon a
certificate or opinion of, or representations by, an Authorized Officer of the
Trustee, stating that the information with respect to such matters is in the
possession of the Trustee, unless such counsel knows that the certificate or
opinion or representations with respect to such matters are erroneous. Any
opinion of counsel may be based on the written opinion of other counsel, in
which event such opinion of counsel shall be accompanied by a copy of such other
counsel's opinion and shall include a statement to the effect that such counsel
believes that such counsel and the Trustee may reasonably rely upon the opinion
of such other counsel.

         Where any Person is required to make, give or execute two or more
applications, requests, consents, certificates, statements, opinions or other
instruments under this Agreement, they may, but need not, be consolidated and
form one instrument.

12.03    ACTS OF OWNERS.
         ---------------

               (a) Any request, demand, authorization, direction, notice,
          consent, waiver or other action provided by this Agreement to be given
          or taken by the Owners, or the Certificate Insurer on behalf of the
          Owners, may be embodied in and evidenced by one or more instruments of
          substantially similar tenor signed by such Owners 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 it
          is

                                      146
<PAGE>

          hereby expressly required, to the Depositor. Such instrument or
          instruments (and the action embodied therein and evidenced thereby)
          are herein sometimes referred to as the "act" of the Owners signing
          such instrument or instruments. Proof of execution of any such
          instrument or of a writing appointing any such agent shall be
          sufficient for any purpose of this Agreement and conclusive in favor
          of the Trustee and the Trust, if made in the manner provided in this
          SECTION.

               (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 of 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.

               (c) The ownership of Certificates shall be proved by the
          Register.

               (d) Any request, demand, authorization, direction, notice,
          consent, waiver or other action by the holder of any Certificate shall
          bind 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 Trust in reliance thereon, whether or not notation of
          such action is made upon such Certificates.

12.04    NOTICES, ETC. TO TRUSTEE.
         -------------------------

         Any request, demand, authorization, direction, notice, consent, waiver
or act of the Owners or other documents provided or permitted by this Agreement
to be made upon, given or furnished to, or filed with the Trustee by any Owner
or the Depositor shall be sufficient for every purpose hereunder if made, given,
furnished or filed in writing to or with and received by the Trustee at the
Corporate Trust Office.

12.05    NOTICES AND REPORTS TO OWNERS; WAIVER OF NOTICES.
         -------------------------------------------------

         Where this Agreement provides for notice to Owners of any event or the
mailing of any report to Owners, such notice or report shall be sufficiently
given (unless otherwise herein expressly provided) if mailed, first-class
postage prepaid, to each Owner affected by such event or to whom such report is
required to be mailed, at the address of such Owner as it appears on the
Register, not later than the latest date, and not earlier than the earliest
date, prescribed for the giving of such notice or the mailing of such report. In
any case where a notice or report to Owners is mailed in the manner provided
above, neither the failure to mail such notice or report nor any defect in any
notice or report so mailed to any particular Owner shall affect the sufficiency
of such notice or report with respect to other Owners, and any notice or report
which is mailed in the manner herein provided shall be conclusively presumed to
have been duly given or provided. Notwithstanding the foregoing, if any Servicer
is removed or resigns or the

                                      147
<PAGE>

Trust is terminated, notice of any such events shall be made by overnight
courier, registered mail or telecopy followed by a telephone call.

         Where this Agreement provides for notice in any manner, such notice may
be waived in writing by any Person entitled to receive such notice, either
before or after the event, and such waiver shall be the equivalent of such
notice. Waivers of notice by Owner shall be filed with the Trustee, but such
filing shall not be a condition precedent to the validity of any action taken in
reliance upon such waiver.

         In case, by reason of the suspension of regular mail service as a
result of a strike, work stoppage or similar activity, it shall be impractical
to mail notice of any event to Owners when such notice is required to be given
pursuant to any provision of this Agreement, then any manner of giving such
notice as shall be satisfactory to the Trustee shall be deemed to be a
sufficient giving of such notice.

         Where this Agreement provides for notice to any Rating Agency that
rated any Certificates, failure to give such notice shall not affect any other
rights or obligations created hereunder.

12.06    RULES BY TRUSTEE.
         -----------------

         The Trustee may make reasonable rules for any meeting of Owners.

12.07    SUCCESSORS AND ASSIGNS.
         -----------------------

         All covenants and agreements in this Agreement by any party hereto
shall bind its successors and assigns, whether so expressed or not.

12.08    SEVERABILITY.
         -------------

         In case any provision in this Agreement or in the Certificates shall be
invalid, illegal or unenforceable, the validity, legality and enforceability of
the remaining provisions shall not in any way be affected or impaired thereby.

12.09    BENEFITS OF AGREEMENT.
         ----------------------

         Nothing in this Agreement or in the Certificates, expressed or implied,
shall give to any Person, other than the Owners, the Depositor, the Underwriter,
the Certificate Insurer and the parties hereto and their successors hereunder,
any benefit or any legal or equitable right, remedy or claim under this
Agreement. The Certificate Insurer is hereby deemed to be a third party
beneficiary of this Agreement.

12.10    LEGAL HOLIDAYS.
         ---------------

         In any case where the date of any Distribution Date, any other date on
which any distribution to any Owner is proposed to be paid, or any date on which
a notice is required to be sent to any Person pursuant to the terms of this
Agreement shall not be a Business Day, then (notwithstanding any other provision
of the Certificates or this

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<PAGE>

Agreement) payment or mailing need not be made on such date, but may be made on
the next succeeding Business Day with the same force and effect as if made or
mailed on the nominal date of any such Remittance Date, such Distribution Date,
or such other date for the payment of any distribution to any Owner or the
mailing of such notice, as the case may be, and no interest shall accrue for the
period from and after any such nominal date, provided such payment is made in
full on such next succeeding Business Day.

12.11    GOVERNING LAW; SUBMISSION TO JURISDICTION.
         ------------------------------------------

               (a) In view of the fact that Owners are expected to reside in
          many states and outside the United States and the desire to establish
          with certainty that this Agreement will be governed by and construed
          and interpreted in accordance with the law of a state having a
          well-developed body of commercial and financial law relevant to
          transactions of the type contemplated herein, this Agreement and each
          Certificate shall be construed in accordance with and governed by the
          law of the State of New York.

               (b) The parties hereto hereby irrevocably submit to the
          jurisdiction of the United States District Court for the Southern
          District of New York and any court of the State of New York located in
          the City and County of New York, and any appellate court from any
          thereof, in any action, suit or proceeding brought against it or in
          connection with this Agreement or any of the related documents or the
          transactions contemplated hereunder or for recognition or enforcement
          of any judgment, and the parties hereto hereby irrevocably and
          unconditionally agree that all claims in respect of any such action or
          proceeding may be heard or determined in such New York State court or,
          to the extent permitted by law, in such federal court. The parties
          hereto agree that a final judgment in any such action, suit or
          proceeding shall be conclusive and may be enforced in other
          jurisdictions by suit on the judgment or in any other manner provided
          by law. To the extent permitted by applicable law, the parties hereto
          hereby waive and agree not to assert by way of motion, as a defense or
          otherwise in any such suit, action or proceeding, any claim that it is
          not personally subject to the jurisdiction of such courts, that the
          suit, action or proceeding is brought in an inconvenient forum, that
          the venue of the suit, action or proceeding is improper or that the
          related documents or the subject matter thereof may not be litigated
          in or by such courts.

               (c) Nothing contained in this Agreement shall limit or affect the
          right of the Depositor or any Servicer or any third-party beneficiary
          hereunder, as the case may be, to serve process in any other manner
          permitted by law or to start legal proceedings relating to any of the
          Mortgage Loans against any Mortgagor in the courts of any
          jurisdiction.

12.12    COUNTERPARTS.
         -------------

                  This instrument may be executed in any number of counterparts,
each of which so executed shall be deemed to be an original, but all such
counterparts shall together constitute but one and the same instrument.

                                      149
<PAGE>

12.13    [RESERVED].
         -----------

12.14    AMENDMENT.
         ----------

               (a) The Trustee, the Depositor and the affected Servicer may, at
          any time and from time to time, and without notice to or the consent
          of the Owners, but with the prior written consent of the Certificate
          Insurer (unless a Certificate Insurer Default has occurred and is
          continuing), amend this Agreement, subject to the provisions of
          SECTIONS 12.16 and 12.17 for the purpose of (i) curing any ambiguity,
          correcting or supplementing any provision hereof which may be
          inconsistent with any other provision hereof, or adding provisions
          hereto which are not inconsistent with the provisions hereof; (ii)
          complying with the requirements of the Code and the regulations
          proposed or promulgated thereunder including any amendments necessary
          to maintain REMIC status (iii) to correct, modify or supplement any
          provision contained in this Agreement which is inconsistent with any
          offering document used to sell the Offered Certificates, PROVIDED that
          such correction, modification or supplement made pursuant to this
          clause is consistent with such offering document; or (iv) for any
          other purpose, PROVIDED that in the case of this clause (iv) such
          amendment shall not adversely affect in any material respect any
          Owner. Any such amendment shall be deemed not to adversely affect in
          any material respect any Owner if there is delivered to the Trustee
          written notification from each Rating Agency that such amendment will
          not cause such Rating Agency to reduce, qualify or withdraw its then
          current rating assigned to any of the Class A Certificates, the Class
          M-1 Certificates or the Class B Certificates. Notwithstanding anything
          to the contrary herein, no such amendment shall change in any manner
          the amount of, or change the timing of, payments which are required to
          be distributed to any Holder of a Certificate without the consent of
          the Holder of each such Certificate. Without limiting the generality
          of the foregoing, any amendment to this Agreement required in
          connection with the compliance with or the clarification of any
          reporting obligations described in Section 8.22 hereof shall not
          require the consent of any Certificateholder or the Certificate
          Insurer, any Opinion of Counsel or Rating Agency confirmation.

               (b) Promptly after the execution of any such amendment, the
          Trustee shall furnish written notification of the substance of such
          amendment to the Depositor and each Owner in the manner set forth in
          SECTION 12.05, and to the Rating Agencies.

               (c) The Rating Agencies and the Certificate Insurer shall be
          provided with copies of any amendments to this Agreement, together
          with copies of any opinions or other documents or instruments executed
          in connection therewith.

               (d) Prior to consenting to any amendment pursuant to this SECTION
          12.14 the Trustee shall be entitled to receive and rely upon an
          opinion of counsel addressed to the Trustee from the party requesting
          such amendment stating that

                                      150
<PAGE>

          such amendment is authorized and permitted pursuant to this Agreement
          and a REMIC Opinion addressed to the Trustee and stating that such
          amendment shall not cause either REMIC to fail to qualify as a REMIC.

12.15    PAYING AGENT; APPOINTMENT AND ACCEPTANCE OF DUTIES.
         ---------------------------------------------------

         The Trustee is hereby appointed Paying Agent. The Depositor may,
subject to the eligibility requirements for the Trustee set forth in SECTION
11.08, appoint one or more other Paying Agents or successor Paying Agents, which
successor Paying Agent shall be reasonably satisfactory to the Certificate
Insurer.

         Each Paying Agent, immediately upon such appointment, shall signify its
acceptance of the duties and obligations imposed upon it by this Agreement by
written instrument of acceptance deposited with the Trustee.

         Each such Paying Agent other than the Trustee shall execute and deliver
to the Trustee an instrument in which such Paying Agent shall agree with the
Trustee, subject to the provisions of SECTION 6.02, that such Paying Agent will:

               (a) allocate all sums received for distribution to the Owners of
          Certificates of each Class for which it is acting as Paying Agent on
          each Distribution Date among such Owners in the proportion specified
          by the Trustee; and

               (b) hold all sums held by it for the distribution of amounts due
          with respect to the Certificates in trust for the benefit of the
          Owners entitled thereto until such sums shall be paid to such Owners
          or otherwise disposed of as herein provided and pay such sums to such
          Persons as herein provided.

         Any Paying Agent other than the Trustee may at any time resign and be
discharged of the duties and obligations created by this Agreement by giving at
least sixty (60) days written notice to the Trustee. Any such Paying Agent may
be removed at any time by an instrument filed with such Paying Agent and signed
by the Trustee.

         In the event of the resignation or removal of any Paying Agent other
than the Trustee, such Paying Agent shall pay over, assign and deliver any
moneys held by it as Paying Agent to its successor, or if there be no successor,
to the Trustee.

         Upon the appointment, removal or notice of resignation of any Paying
Agent, the Trustee shall notify the Certificate Insurer, the Depositor and the
Owners by mailing notice thereof at their addresses appearing on the Register.

12.16    REMIC STATUS.
         -------------

               (a) The parties hereto intend that each REMIC shall constitute,
          and that the affairs of each REMIC shall be conducted so as to qualify
          it as a REMIC in accordance with the REMIC Provisions. In furtherance
          of such intention, the

                                      151
<PAGE>

          Trustee shall, to the extent permitted by applicable law, act as agent
          for each Trust REMIC and in such capacity it shall: (i) prepare or
          cause to be prepared and filed, in a timely manner, annual tax returns
          and any other tax return required to be filed by each Trust REMIC
          established hereunder using a calendar year as the taxable year for
          each Trust REMIC established hereunder; (ii) in the related first such
          tax return, make (or cause to be made) an election satisfying the
          requirements of the REMIC Provisions, on behalf of each Trust REMIC,
          for it to be treated as a REMIC; (iii) prepare and forward, or cause
          to be prepared and forwarded, to the Owners all information, reports
          or tax returns required with respect to each Trust REMIC as, when and
          in the form required to be provided to the Owners, and to the Internal
          Revenue Service and any other relevant governmental taxing authority
          in accordance with the REMIC Provisions and any other applicable
          federal, state or local laws, including without limitation information
          as necessary in respect of the determination of the present value of
          anticipated excess inclusions as required under Treasury Regulation
          Section 1.860E-2(a)(6) and reports relating to "original issue
          discount" as defined in the Code based upon the prepayment assumption
          and calculated by using the "issue price" (within the meaning of
          Section 1273 of the Code) of the Certificates of the related Class;
          (iv) if the filing or distribution of any documents of an
          administrative nature not addressed in clauses (i) through (iii) of
          this SECTION 12.16(A) is then required by the REMIC Provisions in
          order to maintain the status of REMIC II and REMIC I as a REMIC or is
          otherwise required by the Code, prepare, sign and file or distribute,
          or cause to be prepared and signed and filed or distributed, such
          documents with or to such Persons when and as required by the REMIC
          Provisions or the Code or comparable provisions of applicable state or
          local tax law; (v) within thirty days of the Closing Date, furnish or
          cause to be furnished to the Internal Revenue Service, on Form 8811 or
          as otherwise may be required by the Code, the name, title and address
          of the Person that the Owners of the Certificates may contact for tax
          information relating thereto (and the Trustee shall act as the
          representative of each of REMIC II and REMIC I for this purpose),
          together with such additional information as may be required by such
          Form, and shall update such information at the time or times and in
          the manner required by the Code (and the Depositor agrees within 10
          Business Days of the Closing Date to provide any information
          reasonably requested by the Servicer or the Trustee and necessary to
          make such filing); (vi) maintain such records relating to each of
          REMIC II and REMIC I as may be necessary to prepare the foregoing
          returns, schedules, statements or information, such records, for
          federal income tax purposes, to be maintained on a calendar year and
          on an accrual basis; (vii) represent the Trust or a REMIC in any
          administrative or judicial proceedings relating to an examination or
          audit by any governmental taxing authority, request an administrative
          adjustment as to a taxable year of the Trust or a Trust REMIC, enter
          into settlement agreements with any governmental taxing agency, extend
          any statute of limitations relating to any tax item of the Trust or a
          Trust REMIC, and otherwise act on behalf of the Trust or a Trust REMIC
          therein in relation to any tax matter involving the Trust or the Trust
          REMIC therein; (viii) comply with all statutory or regulatory
          requirements with regard to its conduct of activities

                                      152
<PAGE>

          pursuant to the foregoing clauses of this SECTION 12.16, including,
          without limitation, providing all notices and other information to the
          Internal Revenue Service and Owners of Residual Certificates required
          of a "tax matters person" pursuant to subtitle F of the Code and the
          Treasury Regulations thereunder; and (ix) make available information
          necessary for the computation of any tax imposed (A) on transferors of
          residual interests to certain Disqualified Organizations or (B) on
          pass-through entities, any interest in which is held by or treated as
          held by a Disqualified Organization. The obligations of the Trustee or
          such other agent designated by the Tax Matters Person pursuant to this
          SECTION 12.16 shall survive the termination or discharge of this
          Agreement.

         The Depositor, the Trustee, Fairbanks, GreenPoint and Wilshire each
covenant and agree that each shall not intentionally take any action or
intentionally omit to take any action if, in taking or omitting to take such
action, the Trustee knows that such action or omission (as the case may be)
would cause the termination of the REMIC status of REMIC II or REMIC I or the
imposition of tax on REMIC II or REMIC I or any other portions of the Trust
(other than a tax on income expressly permitted or contemplated to be received
by the terms of this Agreement). The Depositor and Trustee further each covenant
and agree to cause the Servicers not to take or engage in any such action or
omission described in the preceding sentence to the extent the Depositor and/or
the Trustee are aware of any such proposed action or omission by any Servicer.
Notwithstanding any provision of this paragraph to the contrary, the Trustee
shall not be required to take any action that the Trustee in good faith believes
to be inconsistent with any other provision of this Agreement, nor shall the
Trustee be deemed in violation of this paragraph if it takes any action
expressly required or authorized by any other provision of this Agreement, and
the Trustee shall have no responsibility or liability with respect to any act or
omission of the Depositor or a Servicer which does not enable the Trustee to
comply with any of CLAUSES (i) through (VI) of the second sentence of the first
paragraph of this SECTION 12.16(A) or which results in any action contemplated
by CLAUSES (I) through (III) of the next succeeding sentence. In this regard the
Depositor, the Trustee, Fairbanks, GreenPoint and Wilshire each covenant and
agree that each shall (i) exercise reasonable care not to allow the occurrence
of any "prohibited transactions" within the meaning of Code Section 860F(a),
unless the party seeking such action shall have delivered to the Trustee an
REMIC Opinion addressed to the Trustee (at such party's expense) that such
occurrence would not (A) result in a taxable gain, (B) otherwise subject REMIC
II or REMIC I to tax (other than a tax at the highest marginal corporate tax
rate on net income from foreclosure property), or (C) cause either REMIC II or
REMIC I to fail to qualify as a REMIC; and (ii) exercise reasonable care not to
allow the Trust to receive income from the performance of services or from
assets not permitted under the REMIC Provisions to be held by a REMIC (provided,
however, that the receipt of any income expressly permitted or contemplated by
the terms of this Agreement shall not be deemed to violate this clause) and
(iii) not permit the creation of any "interests," within the meaning of the
REMIC Provisions, in REMIC II other than the REMIC Regular Interests and the
Class R-1 Interest or in REMIC I other than the REMIC I Regular Interests or the
Class R Certificate. None of Fairbanks Wilshire or the Depositor shall be
responsible or liable for any failure by the Trustee to comply with the
provisions

                                      153
<PAGE>

of this SECTION 12.16. The Depositor, Fairbanks and Wilshire shall cooperate in
a timely manner with the Trustee in supplying any information within the
Depositor's or such Servicer's control (other than any confidential information)
that is reasonably necessary to enable the Trustee to perform its duties under
this SECTION 12.16.

               (b) Each Trust REMIC shall, for federal income tax purposes,
          maintain books on a calendar year basis and report income on an
          accrual basis.

               (c) Except as otherwise permitted by SECTION 7.04, no Eligible
          Investment shall be sold prior to its stated maturity (unless sold
          pursuant to a plan of liquidation in accordance with ARTICLE X).

               (d) Neither the Depositor nor the Trustee shall enter into any
          arrangement by which the Trustee will receive a fee or other
          compensation for services rendered pursuant to this Agreement, other
          than as expressly contemplated by this Agreement.

               (e) Notwithstanding the foregoing SECTIONS 12.16(C) and (D), the
          Trustee shall not engage in any of the transactions prohibited by such
          clauses, unless the Trustee shall have received a REMIC Opinion
          addressed to the Trustee (and in no event at the Trustee's expense) to
          the effect that such transaction does not result in a tax imposed on
          the Trust or cause a termination of REMIC status for a Trust REMIC;
          PROVIDED, HOWEVER, that such transaction is otherwise permitted under
          this Agreement.

               (f) Each of Fairbanks, Wilshire and the Tax Matters Person agree
          to indemnify the Trust for any tax imposed on the Trust or a Trust
          REMIC as a result of their negligence.

12.17 ADDITIONAL LIMITATION ON ACTION AND IMPOSITION OF TAX ON THE TRUST REMICS.
      --------------------------------------------------------------------------

         Any provision of this Agreement to the contrary notwithstanding, the
Trustee shall not, without having obtained a REMIC Opinion to the effect that
such transaction does not result in a tax imposed on the Trust or a Trust REMIC
or cause a termination of REMIC status for a Trust REMIC, (i) sell any assets in
the Trust Estate, (ii) accept any contribution of assets after the Closing Date
or (iii) agree to any modification of this Agreement. Any taxes imposed on any
net income from foreclosure property pursuant to Code Section 860G(d) or any
similar tax imposed by a state or local jurisdiction shall instead be treated as
an expense of the related Liquidated Loan in determining Net Liquidation
Proceeds with respect to the Liquidated Loan (and until such taxes are paid, the
relevant Servicer from time to time shall withdraw from the related Collection
Account and transfer to the Trustee amounts reasonably determined by the Trustee
to be necessary to pay such taxes, which the Trustee shall maintain in a
separate, non-interest-bearing account, and the Trustee shall deposit in the
related Collection Account the excess determined by the Trustee from time to
time of the amount in such account over the amount necessary to pay such taxes)
and shall be paid therefrom;

                                      154
<PAGE>

PROVIDED that any such tax imposed on net income from foreclosure property that
exceeds the amount in any such reserve shall be retained from available funds as
provided in SECTION 8.04(C) and the next sentence. Except as provided in the
preceding sentence, the Trustee is hereby authorized to and shall retain or
cause to be retained from the related Collection Account in determining the
amount of available funds sufficient funds to pay or provide for the payment of,
and to actually pay, such tax as is legally owed by REMIC II or REMIC I (but
such authorization shall not prevent the Trustee from contesting, at the expense
of the Trust, any such tax in appropriate proceedings, and withholding payment
of such tax, if permitted by law, pending the outcome of such proceedings). To
the extent that sufficient amounts cannot be so retained to pay or provide for
the payment of any tax, including interest, penalties or assessments, additional
amounts or additions to tax, the Trustee is hereby authorized to and shall
segregate, into a separate non-interest bearing account, the net income from any
such Prohibited Transactions of a Trust REMIC and use such income, to the extent
necessary, to pay such tax (and return the balance thereof, if any, to the REMIC
I Distribution Account or the REMIC II Distribution Account, as the case may
be); PROVIDED that, to the extent that any such income is paid to the Internal
Revenue Service, the Trustee shall retain from future amounts otherwise
distributable to the Owners of the Class R Certificates and shall distribute
such retained amounts to the Owners of Offered Certificates to the extent they
are fully reimbursed and then to the Owners of the Class R Certificates. If any
tax, including interest penalties or assessments, additional amounts or
additions to tax, is imposed on the Trust, such tax shall be charged against
amounts otherwise distributable to the owners of the Class R Certificates. None
of Fairbanks, Wilshire or the Trustee shall be responsible for any taxes imposed
on REMIC II or REMIC I except to the extent in either case that such tax is
attributable to a breach of a representation or warranty of the relevant
Servicer or the Trustee or an act or omission of the relevant Servicer or the
Trustee in contravention of this Agreement. Notwithstanding anything in this
Agreement to the contrary, in each such case, neither Fairbanks nor Wilshire
shall be responsible for the Trustee's breaches, acts or omissions, and the
Trustee shall not be responsible for the breaches, acts or omissions of
Fairbanks or Wilshire.

12.18    TAX MATTERS PERSON.
         -------------------

         The Holders of the Class R Certificates shall be the Tax Matters Person
of REMIC II and REMIC I, respectively, pursuant to Treasury Regulations Section
1.860F-4(d). The Trustee shall act as attorney-in-fact and agent for the Tax
Matters Person of each of REMIC II and REMIC I, and each Holder of the Class R
Certificate, by acceptance thereof, is deemed to have consented to the Trustee's
appointment in such capacity and agrees to execute any documents required to
give effect thereto, and any fees and expenses incurred by the Trustee in
connection with any audit or administrative or judicial proceeding shall be paid
by the Trust Estate.

12.19    NOTICES.
         --------

         All notices hereunder shall be given as follows, until any superseding
instructions are given to all other Persons listed below:

                                      155
<PAGE>

<TABLE>
<CAPTION>
<S>                                           <C>
                  Trustee:                    JPMorgan Chase Bank
                                              4 New York Plaza
                                              6th Floor
                                              New York, NY 10004
                                              Attention: Institutional Trust Services/Structured
                                              Finance Services, GSRPM 2003-1
                                              Fax: (212) 623-5930

                  Depositor:                  Goldman Sachs Mortgage Securities Corp.,
                                              One New York Plaza, 37th Floor
                                              New York, NY 10004
                                              Attention: Legal Department
                                              Tel: (212) 902-0940
                                              Fax: (212) 428-1812

                  Fairbanks:                  Fairbanks Capital Corp.
                                              3815 South West Temple
                                              P.O. Box 65250
                                              Salt Lake City, Utah 84115-4412
                                              Attention: General Counsel
                                              Tel: (801) 313-2173
                                              Fax: (801) 293-2555

                  Wilshire:                   Wilshire Credit Corporation
                                              14533 SW Millikan Way
                                              Suite 200
                                              Beaverton, Oregon 97005
                                              Attention:Jay Mammott
                                              Tel: (503) 952-7351
                                              Fax: (503) 952-7414

                  Standard & Poor's:          Standard & Poor's Ratings Group
                                              55 Water Street, 41st  Floor
                                              New York, New York  10041
                                              Attention:  Residential Mortgage Surveillance Group
                                              Tel:  (212) 438-2000
                                              Fax:  (212) 438-2664

                  Moody's                     Moody's Investor Service, Inc.
                                              99 Church Street
                                              New York, New York 10007
                                              Attention: The Mortgage Monitoring Department
                                              Tel: (212) 553-0300
                                              Fax: (212) 553-4773

                  Underwriter:                Goldman Sachs & Co.

                                      156
<PAGE>

                                              One New York Plaza
                                              37th Floor
                                              New York, NY  10004
                                              Attention:  Legal Department
                                              Tel:  (212) 902-0940
                                              Fax:  (212) 428-1812

                  Certificate Insurer:        Ambac Assurance Corporation
                                              One State Street Plaza
                                              New York, New York 10004
                                              Attention: Consumer Asset-Backed Securities Group
</TABLE>

Section 12.20 RIGHTS OF THE CERTIFICATE INSURER.
              ----------------------------------

               (a) The Certificate Insurer is an express third-party beneficiary
          of this Agreement.

               (b) The Trustee shall provide to the Certificate Insurer copies
          of any report, notice, Opinion of Counsel, Officers' Certificate,
          request for consent or request for amendment to any document related
          hereto promptly upon the Trustee's production or receipt thereof.

               (c) Unless a Certificate Insurer Default exists, the Trustee,
          each of the Servicers and the Depositor shall not agree to any
          amendment to this Agreement without first having obtained the prior
          written consent of the Certificate Insurer.

               (d) So long as there does not exist a failure by the Certificate
          Insurer to make a required payment under the Certificate Insurance
          Policy, if any, the Certificate Insurer shall have the right to
          exercise all rights of the Owners of the Class A Certificates under
          this Agreement without any consent of such Owners, and such Owners may
          exercise such rights only with the prior written consent of the
          Certificate Insurer, except as provided herein.

               (e) Unless a Certificate Insurer Default exists and is
          continuing, the Trustee, the Depositor and the Servicers shall
          cooperate in all respects with any reasonable request by the
          Certificate Insurer for action to preserve or enforce the Certificate
          Insurer's rights or interests hereunder without limiting the rights or
          affecting the interests of the Certificateholders as otherwise set
          forth herein.

               (f) The Trustee hereby agrees to provide to the Certificate
          Insurer prompt written notice of any action, proceeding or
          investigation that names the Trust or the Trustee as a party or that
          could adversely affect the Trust, the Trust Estate or the rights or
          obligations of the Certificate Insurer hereunder or under the Policy
          or the Operative Documents, including (without limitation) any
          insolvency or bankruptcy

                                      157
<PAGE>

          proceeding in respect of any the Sellers, the Servicers or the
          Depositor, or any Affiliate thereof.

               (g) Notwithstanding anything contained herein or in any of the
          other Operative Documents to the contrary (other than at any time
          during which a Certificate Insurer Default exists or is continuing),
          the Trustee shall not, without the Certificate Insurer's prior written
          consent or unless directed by the Certificate Insurer, undertake or
          join any litigation or agree to any settlement of any action,
          proceeding or investigation affecting the Trust, the Trust Estate or
          the rights or obligations of the Certificate Insurer hereunder or
          under the Certificate Insurance Policy or the Operative Documents.

               (h) The Certificate Insurer shall not be entitled to exercise any
          of its rights hereunder so long as a Certificate Insurer Default has
          occurred and is continuing.

                                      158
<PAGE>

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

                                        GS MORTGAGE SECURITIES CORP.,
                                             as Depositor

                                        By:
                                            -----------------------------
                                             Name:
                                             Title:

                                        FAIRBANKS CAPITAL CORP.,
                                             as a Servicer

                                        By:
                                            -----------------------------
                                             Name:
                                             Title:

                                        WILSHIRE CREDIT CORPORATION,
                                             as a Servicer and Master Servicer

                                        By:
                                            -----------------------------
                                             Name:
                                             Title:

                                        JPMORGAN CHASE BANK,
                                             as Trustee

                                        By:
                                            -----------------------------
                                             Name:
                                             Title:

<PAGE>

                                   SCHEDULE I

                           SCHEDULE OF MORTGAGE LOANS

  [This Schedule is maintained by the Trustee at the Corporate Trust Office.]

                                      SI-1
<PAGE>

                                                                     EXHIBIT A-1

                          [FORM OF OFFERED CERTIFICATE]

                    GSRPM MORTGAGE PASS-THROUGH CERTIFICATES,
                              SERIES 2003-1, CLASS

[THIS CERTIFICATE IS SUBORDINATED IN RIGHT OF DISTRIBUTION TO CERTAIN CLASSES OF
THE CERTIFICATES AS SET FORTH HEREIN AND IN THE TRUST AND SERVICING AGREEMENT
REFERRED TO HEREIN.] 1

[UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION ("DTC"), TO THE CERTIFICATE
REGISTRAR FOR REGISTRATION OF TRANSFER, EXCHANGE, OR PAYMENT, AND ANY
CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME
AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE
TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE, OR OTHER USE HEREOF FOR VALUE OR
OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER
HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

TRANSFERS OF THIS GLOBAL CERTIFICATE SHALL BE LIMITED TO TRANSFERS IN WHOLE, BUT
NOT IN PART, TO NOMINEES OF DTC OR A SUCCESSOR THEREOF OR SUCH SUCCESSOR'S
NOMINEE, AND TRANSFERS OF BENEFICIAL INTERESTS IN THIS GLOBAL CERTIFICATE SHALL
BE LIMITED TO TRANSFERS MADE IN ACCORDANCE WITH THE RESTRICTIONS SET FORTH IN
THE TRUST AND SERVICING AGREEMENT REFERRED TO BELOW.] 2

THIS CERTIFICATE DOES NOT REPRESENT AN INTEREST IN OR OBLIGATION OF THE
DEPOSITOR, THE SERVICERS, THE TRUSTEE OR ANY OF THEIR RESPECTIVE AFFILIATES.
NEITHER THE CERTIFICATES NOR THE UNDERLYING MORTGAGE LOAN IS INSURED OR
GUARANTEED BY ANY GOVERNMENTAL AGENCY OR INSTRUMENTALITY.

PRINCIPAL PAYMENTS IN RESPECT OF THIS CERTIFICATE ARE DISTRIBUTABLE AS SET FORTH
IN THE TRUST AND SERVICING AGREEMENT. ACCORDINGLY, THE OUTSTANDING CERTIFICATE

----------------------
1       Include in Class M-1 and Class B Certificates.

2       Include in Global Certificate.

                                      A1-1

<PAGE>

BALANCE OF THIS CERTIFICATE AT ANY TIME MAY BE LESS THAN THE INITIAL CERTIFICATE
BALANCE SET FORTH BELOW.

SOLELY FOR U.S. FEDERAL INCOME TAX PURPOSES, THIS CERTIFICATE REPRESENTS A
"REGULAR INTEREST" IN A "REAL ESTATE MORTGAGE INVESTMENT CONDUIT," AS THOSE
TERMS ARE DEFINED, RESPECTIVELY, IN SECTIONS 860G(A)(1) AND 860D OF THE INTERNAL
REVENUE CODE OF 1986, AS AMENDED.

[THIS CERTIFICATE MAY NOT BE PURCHASED BY OR PLEDGED, SOLD OR OTHERWISE
TRANSFERRED TO ANY PERSON THAT IS OR BECOMES AN EMPLOYEE BENEFIT PLAN OR OTHER
PLAN OR ENTITY THAT IS SUBJECT TO THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF
1974, AS AMENDED ("ERISA"), OR TO SECTION 4975 OF THE INTERNAL REVENUE CODE OF
1986, AS AMENDED (THE "CODE"), OR ANY PERSON ACTING ON BEHALF OF ANY SUCH PLAN
OR USING THE ASSETS OF SUCH PLAN TO ACQUIRE THIS CERTIFICATE, UNLESS THE
PURCHASER IS AN INSURANCE COMPANY THAT IS PURCHASING THE CERTIFICATE WITH FUNDS
CONTAINED IN AN "INSURANCE COMPANY GENERAL ACCOUNT" (AS SUCH TERM IS DEFINED IN
SECTION V(E) OF PROHIBITED TRANSACTION CLASS EXEMPTION 95-60 ("PTCE 95-60") AND
THAT THE CONDITIONS OF SECTIONS I AND III OF PTCE 95-60 HAVE BEEN SATISFIED]

----------------
3       Include in Class M-1 and Class B Certificates.

                                      A1-2

<PAGE>

                    GSRPM MORTGAGE PASS-THROUGH CERTIFICATES,
                              SERIES 2003-1, CLASS

<TABLE>
<CAPTION>
Pass-Through Rate:  Before Clean-Up Call Date: [LIBOR +]o %
                    After Clean-Up Call Date: [LIBOR +]o %

<S>                                                           <C>
First Distribution Date:  February 25, 2003                   Cut-off Date:  January 1, 2003

Aggregate Initial Certificate Balance of the
Class Certificates: $. (4)                                    Rated Final Distribution Date:  January 2032
CUSIP:
                                                              Initial Certificate Balance of this Certificate:  $.

No.: .
</TABLE>

                  This certifies that _________ is the registered owner of a
beneficial ownership interest in a Trust, including the distributions to be made
with respect to the Class o Certificates. The Trust consists primarily of
Mortgage Loans secured by certain residential second liens and certain other
property held in trust by the Trustee. The Trust was created, and the Mortgage
Loans are to be serviced or master serviced pursuant to the Trust and Servicing
Agreement, dated as of January 1, 2003 (the "TRUST AND SERVICING AGREEMENT"),
among GS Mortgage Securities Corp., as Depositor, Fairbanks Capital Corp., as a
Servicer, Wilshire Credit Corporation, as a Servicer and as Master Servicer and
JPMorgan Chase Bank, as Trustee. The Holder of this Certificate, by virtue of
the acceptance hereof, assents to the terms, provisions and conditions of the
Trust and Servicing Agreement and is bound thereby. Also issued under the Trust
and Servicing Agreement are the [Class A, Class M-1, Class B-1, Class B-2, Class
B-3, Class X, Class P and Class R]5 Certificates (together with the Class o
Certificates, the "CERTIFICATES"; the Holders of Certificates issued under the
Trust and Servicing Agreement are collectively referred to herein as
"CERTIFICATEHOLDERS").

                  This Certificate is issued pursuant to, and in accordance
with, the terms of the Trust and Servicing Agreement. To the extent not defined
herein, capitalized terms used herein shall have the meanings assigned thereto
in the Trust and Servicing Agreement.

                  Pursuant to the terms of the Trust and Servicing Agreement,
the Trustee, or the Paying Agent on behalf of the Trustee, will distribute
(other than the final

----------------
4       Insert appropriate amount, as set forth in Section 2.10(b).

5       Omit Class of which Certificate is a part.

                                      A1-3
<PAGE>

distribution on any Certificate), on the 25th day of each calendar month, or if
such day is not a Business Day, the next succeeding Business Day, commencing
February 25, 2003 (each such date, a "DISTRIBUTION DATE"), to the Person in
whose name this Certificate is registered as of the related Record Date, which
will be the close of business on the Business Day immediately preceding such
Distribution Date, an amount equal to such Person's pro rata share (based on the
Percentage Interest represented by this Certificate) of that portion of the
aggregate amount of principal and interest then distributable, if any, allocable
to the Class o Certificates for such Distribution Date, all as more fully
described in the Trust and Servicing Agreement.

                  All distributions (other than the final distribution on any
Certificate) will be made to the Persons entitled thereto by wire transfer of
immediately available funds to the account of such Certificateholder at a bank
or other entity located in the United States and having appropriate facilities
therefor. The final distribution on each Certificate shall be made in like
manner, but only upon presentment and surrender of such Certificate at the
Corporate Trust Office of the Trustee or its agent (which may be the Paying
Agent or the Certificate Registrar acting as such agent) that is specified in
the notice to Certificateholders of such final distribution.

                  This Certificate is limited in right of payment to, among
other things, certain collections and recoveries in respect of the Mortgage
Loans, as more specifically set forth herein and in the Trust and Servicing
Agreement.

                  [As provided in the Trust and Servicing Agreement and with
certain exceptions therein provided, certain losses on the Mortgage Loans
resulting from defaults by Mortgagors will be borne by the Holders of Class M-1,
Class B-1, Class B-2 and Class X Certificates before such losses will be borne
by the Holders of the others classes of Certificates.]6

                  [This Certificate may not be purchased by or pledged, sold or
otherwise transferred to any person that is or becomes an employee benefit plan
or other plan or entity that is subject to ERISA, or to Section 4975 of the
Code, or any person acting on behalf of any such plan or using the assets of
such plan to acquire this Certificate, unless such purchaser is an insurance
company that is purchasing the Certificate with funds contained in an "insurance
company general account" (as such term is defined in Section V(e) of PTCE 95-60
and that the conditions of Sections I and III of PTCE 95-60 have been
satisfied.] 7

                  This Certificate does not purport to summarize the Trust and
Servicing Agreement, and reference is made to the Trust and Servicing Agreement
for the interests, rights, benefits, obligations and duties evidenced hereby,
and the limitations thereon, and the rights, duties and immunities of the
Trustee.

----------------
6       Insert for Class M-1, Class B-1, Class B-2 and Class B-3 Certificates.

7       Insert for Class M-1, Class B-1, Class B-2 and Class B-3 Certificates.

                                      A1-4
<PAGE>

                  As provided in the Trust and Servicing Agreement, subject to
certain restrictions on transfer set forth therein, upon surrender for
registration of transfer of any Certificate, the Certificate Registrar shall
execute, authenticate and deliver, in the name of the designated transferee or
transferees, one or more new Certificates in authorized denominations, in like
aggregate interest and of the same Class.

                  Prior to due presentation of this Certificate for registration
of transfer, the Trustee, the Servicers, the Certificate Registrar, and any
agent of the Trustee, the Servicers or the Certificate Registrar may treat the
Person in whose name any Certificate is registered as the owner of such
Certificate for the purpose of receiving distributions as provided in the Trust
and Servicing Agreement and for all other purposes whatsoever, and neither the
Trustee, the Servicers, the Certificate Registrar, nor any agent of the Trustee,
the Servicers or the Certificate Registrar shall be affected by any notice to
the contrary.

                  The Trust and Servicing Agreement may be amended from time to
time by the Depositor, the affected Servicer and the Trustee, without the
consent of any of the Certificateholders, in certain circumstances specified in
the Trust and Servicing Agreement.

                  The Trust and Servicing Agreement provides that the respective
obligations and responsibilities of Fairbanks, Wilshire, the Depositor, the
Paying Agent and the Trustee created thereby with respect to the Certificates
(other than the obligation of the Paying Agent to make certain payments to
Certificateholders after the final Distribution Date and other than the
indemnification obligations of the parties hereto) shall terminate upon the last
action required to be taken by the Paying Agent on the final Distribution Date
pursuant to Article X of the Trust and Servicing Agreement upon the later of (a)
the final payment or other liquidation (or any advance made with respect
thereto) of the last Mortgage Loan in the Trust Estate, (b) the disposition of
all property acquired in respect of any Mortgage Loan remaining in the Trust
Estate, and (c) at any time when a Qualified Liquidation of the Mortgage Loans
included within the Trust is effected.

                  Unless the Certificate of Authentication on this Certificate
has been executed by the Trustee, by manual or facsimile signature, this
Certificate shall not be entitled to any benefit under the Trust and Servicing
Agreement or be valid for any purpose.

                  The Trustee makes no representation or warranty as to any of
the statements contained herein or the validity or sufficiency of the
Certificates or the Mortgage Loans and has executed this Certificate in its
limited capacity as Trustee under the Trust and Servicing Agreement.

                                      A1-5
<PAGE>

                  IN WITNESS WHEREOF, the Trustee has caused this instrument to
be duly executed.

Dated:  ______________

                                            JPMORGAN CHASE BANK,
                                            not in its individual capacity but
                                            solely as Trustee

                                            By:      ___________________________
                                                     Authorized Officer

                          Certificate of Authentication
                          -----------------------------

                  This is one of the Class Certificates referred to in the Trust
and Servicing Agreement.

Dated:  ______________

                                            JPMORGAN CHASE BANK,
                                            not in its individual capacity but
                                            solely as Trustee

                                            By:      ___________________________
                                                     Authorized Officer

                                      A1-6
<PAGE>

                                   ASSIGNMENT

                  FOR VALUE RECEIVED, the undersigned ("ASSIGNOR(S)") hereby
sell(s), assign(s) and transfer(s) unto _______________________________________
(please print or typewrite name(s) and address(es), including postal zip code(s)
of assignee(s)) ("ASSIGNEE(S)") the entire Percentage Interest represented by
the within Certificate and hereby authorize(s) the registration of transfer of
such interest to Assignee(s) on the Certificate Register of the Trust.

                  I (we) further direct the Certificate Registrar to issue a new
Certificate of the entire Percentage Interest represented by the within
Certificates to the above-named Assignee(s) and to deliver such Certificate to
the following address:

___________________________

___________________________

___________________________

Date: __________________

                                       Signature by or on behalf of
                                       Assignor(s):

                                       _________________________

                                       Taxpayer Identification Number: _________

                                      A1-7
<PAGE>

                            DISTRIBUTION INSTRUCTIONS

                  The Assignee(s) should include the following for purposes of
distribution:

Address of the Assignee(s) for the purpose of receiving notices and
distributions:
________________________________________________________________________.

                  Distributions, if being made by wire transfer in immediately
available funds, to ______________________ for the account of __________________
account number ____________________.

                  This information is provided by _________________________ the
Assignee(s) named above, or ______________________________ as its (their) agent.

                                        By: ______________________________
                                        [Please print or type name(s)]

                                        Title:_____________________________

                                        Taxpayer Identification Number:_________

                                      A1-8
<PAGE>

                                                                     EXHIBIT A-2

                          [FORM OF CLASS X CERTIFICATE]

                    GSRPM MORTGAGE PASS-THROUGH CERTIFICATES,
                       SERIES 2003-1, CLASS X CERTIFICATE

THIS CERTIFICATE DOES NOT REPRESENT AN INTEREST IN OR OBLIGATION OF THE
DEPOSITOR, THE SERVICER, THE TRUSTEE OR ANY OF THEIR RESPECTIVE AFFILIATES.
NEITHER THE CERTIFICATES NOR ANY UNDERLYING MORTGAGE LOAN IS INSURED OR
GUARANTEED BY ANY GOVERNMENTAL AGENCY OR INSTRUMENTALITY.

THIS CERTIFICATE IS SUBORDINATED IN RIGHT OF DISTRIBUTION TO CERTAIN CLASSES OF
THE CERTIFICATES AS SET FORTH HEREIN AND IN THE TRUST AND SERVICING AGREEMENT
REFERRED TO HEREIN.

PRINCIPAL PAYMENTS IN RESPECT OF THIS CERTIFICATE DISTRIBUTABLE AS SET FORTH IN
THE TRUST AND SERVICING AGREEMENT. ACCORDINGLY, THE OUTSTANDING CERTIFICATE
BALANCE OF THIS CERTIFICATE AT ANY TIME MAY BE LESS THAN THE INITIAL CERTIFICATE
BALANCE SET FORTH BELOW. ACCORDINGLY, THE PRINCIPAL BALANCE OF THIS CERTIFICATE
AT ANY TIME MAY BE LESS THAN THE INITIAL PRINCIPAL BALANCE OF THIS CERTIFICATE
AS SET FORTH HEREON.

NEITHER THIS CERTIFICATE NOR ANY INTEREST HEREIN MAY BE TRANSFERRED UNLESS THE
PROPOSED TRANSFEROR DELIVERS TO THE TRUSTEE A TRANSFEROR LETTER IN THE FORM OF
EXHIBIT H TO THE AGREEMENT REFERRED TO HEREIN AND EITHER (I) THE TRUSTEE
RECEIVES A RULE 144A LETTER IN THE FORM OF EXHIBIT I TO THE AGREEMENT REFERRED
TO HEREIN OR (II) THE TRUSTEE RECEIVES AN OPINION OF COUNSEL, DELIVERED AT THE
EXPENSE OF THE TRANSFEROR, THAT SUCH TRANSFER MAY BE MADE WITHOUT REGISTRATION
UNDER THE SECURITIES ACT OF 1933, AS AMENDED.

[THIS CERTIFICATE MAY NOT BE PURCHASED BY OR PLEDGED, SOLD OR OTHERWISE
TRANSFERRED TO ANY PERSON THAT IS OR BECOMES AN EMPLOYEE BENEFIT PLAN OR OTHER
PLAN THAT IS SUBJECT TO THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS
AMENDED ("ERISA"), OR TO SECTION 4975 OF THE INTERNAL REVENUE CODE OF 1986, AS
AMENDED (THE "CODE"), OR ANY PERSON ACTING ON BEHALF OF ANY SUCH PLAN OR USING
THE ASSETS OF SUCH PLAN TO ACQUIRE THIS CERTIFICATE, UNLESS THE PURCHASER HAS
PROVIDED THE OPINION LETTER SPECIFIED IN SECTION 5.02(B) OF THE TRUST AND
SERVICING AGREEMENT.]

SOLELY FOR U.S. FEDERAL INCOME TAX PURPOSES, THIS CERTIFICATE REPRESENTS A
"REGULAR INTEREST" IN A "REAL ESTATE MORTGAGE

                                      A2-1
<PAGE>

INVESTMENT CONDUIT," AS THOSE TERMS ARE DEFINED, RESPECTIVELY, IN SECTIONS
860G(A)(1) AND 860D OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED.

                                      A2-2
<PAGE>

                    GSRPM MORTGAGE PASS-THROUGH CERTIFICATES,
                             SERIES 2003-1, CLASS X

Pass-Through Rate:  As determined in accordance
with the Trust and Servicing Agreement

First Distribution Date:  February 25, 2003 Cut-off Date:  January 1, 2003

Aggregate Initial Certificate Balance of        Rated Final Distribution Date:
the Class X Certificate:  As determined         January 2032
in accordance with the Trust and Servicing
Agreement.
                                                Initial Certificate Balance of
                                                this Certificate: As determined
                                                in accordance with the Trust and
No.:  X-o         _________                     Servicing Agreement

                  This certifies that ___________________. is the registered
owner of a beneficial ownership interest in a Trust, including the distributions
to be made with respect to the Class X Certificates. The Trust consists
primarily of Mortgage Loans secured by residential second liens and certain
other property held in trust by the Trustee. The Trust was created, and the
Mortgage Loans are to be serviced or master serviced pursuant to the Trust and
Servicing Agreement, dated as of January 1, 2003 (the "TRUST AND SERVICING
AGREEMENT"), among GS Mortgage Securities Corp., as Depositor, Fairbanks Capital
Corp., as a Servicer, Wilshire Credit Corporation, as a Servicer and as Master
Servicer and JPMorgan Chase Bank, as Trustee. The Holder of this Certificate, by
virtue of the acceptance hereof, assents to the terms, provisions and conditions
of the Trust and Servicing Agreement and is bound thereby. Also issued under the
Trust and Servicing Agreement are the Class A, Class M-1, Class B-1, Class B-2,
Class B-3, Class P and Class R Certificates (together with the Class X
Certificate, the "Certificates"; the Holders of Certificates issued under the
Trust and Servicing Agreement are collectively referred to herein as
"CERTIFICATEHOLDERS").

                  This Certificate is issued pursuant to, and in accordance
with, the terms of the Trust and Servicing Agreement. To the extent not defined
herein, capitalized terms used herein shall have the meanings assigned thereto
in the Trust and Servicing Agreement.

                  Pursuant to the terms of the Trust and Servicing Agreement,
the Trustee, or the Paying Agent on behalf of the Trustee, will distribute
(other than the final distribution on any Certificate), on the 25th day of each
calendar month, or if such day is not a Business Day, the next succeeding
Business Day, commencing February 25, 2003 (each such date, a "DISTRIBUTION
DATE"), to the Person in whose name this Certificate is registered as of the
related Record Date, which will be the close of business on the Business Day
immediately preceding the related Distribution Date, an amount equal to such
Person's pro rata share (based on the Percentage Interest represented by this

                                      A2-3
<PAGE>

Certificate) of that portion of the aggregate amount of principal and interest
then distributable, if any, allocable to the Class X Certificates for such
Distribution Date, all as more fully described in the Trust and Servicing
Agreement.

                  All distributions (other than the final distribution on any
Certificate) will be made to the Persons entitled thereto by wire transfer of
immediately available funds to the account of such Certificateholder at a bank
or other entity located in the United States and having appropriate facilities
therefor. The final distribution on each Certificate shall be made in like
manner, but only upon presentment and surrender of such Certificate at the
Corporate Trust Office of the Trustee or its agent (which may be the Paying
Agent or the Certificate Registrar acting as such agent) that is specified in
the notice to Certificateholders of such final distribution.

                  This Certificate is limited in right of payment to, among
other things, certain collections and recoveries in respect of the Mortgage
Loans, as more specifically set forth herein and in the Trust and Servicing
Agreement.

                  As provided in the Trust and Servicing Agreement and with
certain exceptions therein provided, certain losses on the Mortgage Loans
resulting from defaults by Mortgagors will be borne by the Holders of Class M-1,
Class B-1, Class B-2, Class B-3 and Class X Certificates before such losses will
be borne by the Holders of the others classes of Certificates.

                  This Certificate does not purport to summarize the Trust and
Servicing Agreement, and reference is made to the Trust and Servicing Agreement
for the interests, rights, benefits, obligations and duties evidenced hereby,
and the limitations thereon, and the rights, duties and immunities of the
Trustee.

                  As provided in the Trust and Servicing Agreement, subject to
certain restrictions on transfer set forth therein, upon surrender for
registration of transfer of any Certificate, the Certificate Registrar shall
execute, authenticate and deliver, in the name of the designated transferee or
transferees, one or more new Certificates in authorized denominations, in like
aggregate interest and of the same Class.

                  Prior to due presentation of this Certificate for registration
of transfer, the Trustee, the Servicers, the Certificate Registrar, and any
agent of the Trustee, the Servicers or the Certificate Registrar may treat the
Person in whose name any Certificate is registered as the owner of such
Certificate for the purpose of receiving distributions as provided in the Trust
and Servicing Agreement and for all other purposes whatsoever, and neither the
Trustee, the Servicers, the Certificate Registrar, nor any agent of the Trustee,
the Servicers or the Certificate Registrar shall be affected by any notice to
the contrary.

                  No transfer of a Certificate of this Class shall be made
unless such disposition is exempt from the registration requirements of the
Securities Act of 1933, as amended (the "1933 ACT"), and any applicable state
securities laws or is made in accordance with the 1933 Act and such laws. In the
event of any such transfer, the

                                      A2-4
<PAGE>

Trustee shall require the transferor to execute a transferor certificate (in
substantially the form attached to the Trust and Servicing Agreement) and
deliver either (i) a Rule 144A Letter, in either case substantially in the form
attached to the Agreement, or (ii) a written Opinion of Counsel addressed to the
Trustee that such transfer may be made pursuant to an exemption, describing the
applicable exemption and the basis therefor, from the 1933 Act or is being made
pursuant to the 1933 Act, which Opinion of Counsel shall be an expense of the
transferor.

                  No transfer of a Certificate of this Class shall be made
unless the Trustee shall have received a representation letter from the
transferee of such Certificate, acceptable to and in form and substance
satisfactory to the Trustee, to the effect that such transferee is not an
employee benefit plan subject to ERISA or Section 4975 of the Code or a person
acting on behalf of or investing plan assets of any such plan, which
representation letter shall not be an expense of the Trustee or has provided the
opinion letter required by Section 5.02(b) of the Trust and Servicing Agreement.

                  The Trust and Servicing Agreement may be amended from time to
time by the Depositor, the affected Servicer and the Trustee, without the
consent of any of the Certificateholders, in certain circumstances specified in
the Trust and Servicing Agreement.

                  The Trust and Servicing Agreement provides that the respective
obligations and responsibilities of Fairbanks, Wilshire, the Depositor, the
Paying Agent and the Trustee created thereby with respect to the Certificates
(other than the obligation of the Paying Agent to make certain payments to
Certificateholders after the final Distribution Date and other than the
indemnification obligations of the parties hereto) shall terminate upon the last
action required to be taken by the Paying Agent on the final Distribution Date
pursuant to Article X of the Trust and Servicing Agreement upon the later of (a)
the final payment or other liquidation (or any advance made with respect
thereto) of the last Mortgage Loan in the Trust Estate, (b) the disposition of
all property acquired in respect of any Mortgage Loan remaining in the Trust
Estate, and (c) at any time when a Qualified Liquidation of the Mortgage Loans
included within the Trust is effected.

                  Unless the Certificate of Authentication on this Certificate
has been executed by the Trustee, by manual or facsimile signature, this
Certificate shall not be entitled to any benefit under the Trust and Servicing
Agreement or be valid for any purpose.

                  The Trustee makes no representation or warranty as to any of
the statements contained herein or the validity or sufficiency of the
Certificates or the Mortgage Loans and has executed this Certificate in its
limited capacity as Trustee under the Trust and Servicing Agreement.

                                      A2-5
<PAGE>

                  IN WITNESS WHEREOF, the Trustee has caused this instrument to
be duly executed.

Dated:  ______________

                                            JPMORGAN CHASE BANK,
                                            not in its individual capacity but
                                            solely as Trustee

                                            By:      ___________________________
                                                     Authorized Officer

                          Certificate of Authentication
                          -----------------------------

                  This is one of the Class X Certificates referred to in the
Trust and Servicing Agreement.

Dated:  ______________

                                            JPMORGAN CHASE BANK,
                                            not in its individual capacity but
                                            solely as Trustee

                                            By:      ___________________________
                                                     Authorized Officer

                                      A2-6
<PAGE>

                                   ASSIGNMENT

                  FOR VALUE RECEIVED, the undersigned ("ASSIGNOR(S)") hereby
sell(s), assign(s) and transfer(s) unto _______________________________________
(please print or typewrite name(s) and address(es), including postal zip code(s)
of assignee(s)) ("ASSIGNEE(S)") the entire Percentage Interest represented by
the within Certificate and hereby authorize(s) the registration of transfer of
such interest to Assignee(s) on the Certificate Register of the Trust.

                  I (we) further direct the Certificate Registrar to issue a new
Certificate of the entire Percentage Interest represented by the within
Certificates to the above-named Assignee(s) and to deliver such Certificate to
the following address:

___________________________

___________________________

___________________________

Date: __________________

                                       Signature by or on behalf of
                                       Assignor(s):

                                       _________________________

                                       Taxpayer Identification Number: _________

                                      A2-7
<PAGE>

                            DISTRIBUTION INSTRUCTIONS

                  The Assignee(s) should include the following for purposes of
distribution:

Address of the Assignee(s) for the purpose of receiving notices and
distributions:
________________________________________________________________________.

                  Distributions, if being made by wire transfer in immediately
available funds, to ______________________ for the account of __________________
account number ____________________.

                  This information is provided by _________________________ the
Assignee(s) named above, or ______________________________ as its (their) agent.

                                        By: ______________________________
                                        [Please print or type name(s)]

                                        Title:_____________________________

                                        Taxpayer Identification Number:_________

                                      A2-8
<PAGE>

                                                                     EXHIBIT A-3

                          [FORM OF CLASS P CERTIFICATE]

                    GSRPM MORTGAGE PASS-THROUGH CERTIFICATES,
                       SERIES 2003-1, CLASS P CERTIFICATE

THIS CERTIFICATE DOES NOT REPRESENT AN INTEREST IN OR OBLIGATION OF THE
DEPOSITOR, THE SERVICER, THE TRUSTEE OR ANY OF THEIR RESPECTIVE AFFILIATES.
NEITHER THE CERTIFICATES NOR ANY UNDERLYING MORTGAGE LOAN IS INSURED OR
GUARANTEED BY ANY GOVERNMENTAL AGENCY OR INSTRUMENTALITY.

NEITHER THIS CERTIFICATE NOR ANY INTEREST HEREIN MAY BE TRANSFERRED UNLESS THE
PROPOSED TRANSFEROR DELIVERS TO THE TRUSTEE A TRANSFEROR LETTER IN THE FORM OF
EXHIBIT H TO THE AGREEMENT REFERRED TO HEREIN AND EITHER (I) THE TRUSTEE
RECEIVES A RULE 144A LETTER IN THE FORM OF EXHIBIT I TO THE AGREEMENT REFERRED
TO HEREIN OR (II) THE TRUSTEE RECEIVES AN OPINION OF COUNSEL, DELIVERED AT THE
EXPENSE OF THE TRANSFEROR, THAT SUCH TRANSFER MAY BE MADE WITHOUT REGISTRATION
UNDER THE SECURITIES ACT OF 1933, AS AMENDED.

THIS CERTIFICATE MAY NOT BE PURCHASED BY OR PLEDGED, SOLD OR OTHERWISE
TRANSFERRED TO ANY PERSON THAT IS OR BECOMES AN EMPLOYEE BENEFIT PLAN OR OTHER
PLAN THAT IS SUBJECT TO THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS
AMENDED ("ERISA"), OR TO SECTION 4975 OF THE INTERNAL REVENUE CODE OF 1986, AS
AMENDED (THE "CODE"), OR ANY PERSON ACTING ON BEHALF OF ANY SUCH PLAN OR USING
THE ASSETS OF SUCH PLAN TO ACQUIRE THIS CERTIFICATE.

SOLELY FOR U.S. FEDERAL INCOME TAX PURPOSES, THIS CERTIFICATE REPRESENTS A
"REGULAR INTEREST" IN A "REAL ESTATE MORTGAGE INVESTMENT CONDUIT," AS THOSE
TERMS ARE DEFINED, RESPECTIVELY, IN SECTIONS 860G(A)(1) AND 860D OF THE INTERNAL
REVENUE CODE OF 1986, AS AMENDED.

                                      A3-1
<PAGE>

                    GSRPM MORTGAGE PASS-THROUGH CERTIFICATES,
                             SERIES 2003-1, CLASS P

First Distribution Date:  February 25, 2003 Cut-off Date:  January 1, 2003

Aggregate Initial Certificate Balance of the
Class P Certificates:$100.00

Initial Certificate Balance of this Certificate:  $100.00

CUSIP:

                  This certifies that ___________________. is the registered
owner of a beneficial ownership interest in a Trust, including the distributions
to be made with respect to the Class P Certificates. The Trust consists
primarily of Mortgage Loans secured by residential second liens and certain
other property held in trust by the Trustee. The Trust was created, and the
Mortgage Loans are to be serviced, pursuant to (i) the Trust and Servicing
Agreement, dated as of January 1, 2003 (the "TRUST AND SERVICING AGREEMENT"),
among GS Mortgage Securities Corp., as Depositor, Fairbanks Capital Corp., as a
Servicer, Wilshire Credit Corporation, as a Servicer and Master Servicer and
JPMorgan Chase Bank, as Trustee and (ii) the Servicing Agreement, dated as of
January 1, 2003, by and among the Depositor, the Master Servicer, the Trustee
and GreenPoint Financial Corporation, as Servicer. The Holder of this
Certificate, by virtue of the acceptance hereof, assents to the terms,
provisions and conditions of the Trust and Servicing Agreement and is bound
thereby. Also issued under the Trust and Servicing Agreement are the Class A,
Class M-1, Class B-1, Class B- 2, Class B-3, Class X and Class R Certificates
(together with the Class P Certificate, the "CERTIFICATES"; the Holders of
Certificates issued under the Trust and Servicing Agreement are collectively
referred to herein as "CERTIFICATEHOLDERS").

                  This Certificate is issued pursuant to, and in accordance
with, the terms of the Trust and Servicing Agreement. To the extent not defined
herein, capitalized terms used herein shall have the meanings assigned thereto
in the Trust and Servicing Agreement.

                  Pursuant to the terms of the Trust and Servicing Agreement,
the Trustee, or the Paying Agent on behalf of the Trustee, will distribute
(other than the final distribution on any Certificate), on the 25th day of each
calendar month, or if such 25th day is not a Business Day, the next succeeding
Business Day, commencing February 25, 2003 (each such date, a "DISTRIBUTION
DATE"), to the Person in whose name this Certificate is registered as of the
related Record Date, which will be the close of business on the Business Day
immediately preceding such Distribution Date, an amount equal to such Person's
pro rata share (based on the Percentage Interest represented by this
Certificate) of the distributions, if any, allocable to the Class P Certificates
for such Distribution Date, all as more fully described in the Trust and
Servicing Agreement.

                                      A3-2
<PAGE>

                  This Certificate does not have a Pass-Through Rate and will
not be entitled to distributions in respect of interest.

                  All distributions (other than the final distribution on any
Certificate) will be made to the Persons entitled thereto by wire transfer of
immediately available funds to the account of such Certificateholder at a bank
or other entity located in the United States and having appropriate facilities
therefor. The final distribution on each Certificate shall be made in like
manner, but only upon presentment and surrender of such Certificate at the
Corporate Trust Office of the Trustee or its agent (which may be the Paying
Agent or the Certificate Registrar acting as such agent) that is specified in
the notice to Certificateholders of such final distribution.

                  This Certificate is limited in right of payment to, among
other things, certain collections and recoveries in respect of the Mortgage
Loans, as more specifically set forth herein and in the Trust and Servicing
Agreement.

                  This Certificate does not purport to summarize the Trust and
Servicing Agreement, and reference is made to the Trust and Servicing Agreement
for the interests, rights, benefits, obligations and duties evidenced hereby,
and the limitations thereon, and the rights, duties and immunities of the
Trustee.

                  As provided in the Trust and Servicing Agreement, subject to
certain restrictions on transfer set forth therein, upon surrender for
registration of transfer of any Certificate, the Certificate Registrar shall
execute, authenticate and deliver, in the name of the designated transferee or
transferees, one or more new Certificates in authorized denominations, in like
aggregate interest and of the same Class.

                  Prior to due presentation of this Certificate for registration
of transfer, the Trustee, the Servicers, the Certificate Registrar, and any
agent of the Trustee, the Servicers or the Certificate Registrar may treat the
Person in whose name any Certificate is registered as the owner of such
Certificate for the purpose of receiving distributions as provided in the Trust
and Servicing Agreement and for all other purposes whatsoever, and neither the
Trustee, the Servicers, the Certificate Registrar, nor any agent of the Trustee,
the Servicers or the Certificate Registrar shall be affected by any notice to
the contrary.

                  No transfer of a Certificate of this Class shall be made
unless such disposition is exempt from the registration requirements of the
Securities Act of 1933, as amended (the "1933 ACT"), and any applicable state
securities laws or is made in accordance with the 1933 Act and such laws. In the
event of any such transfer, the Trustee shall require the transferor to execute
a transferor certificate (in substantially the form attached to the Trust and
Servicing Agreement) and deliver either (i) a Rule 144A Letter, in either case
substantially in the form attached to the Agreement, or (ii) a written Opinion
of Counsel addressed to the Trustee that such transfer may be made pursuant to
an exemption, describing the applicable exemption and the basis therefor, from
the 1933 Act or is being made pursuant to the 1933 Act, which Opinion of Counsel
shall be an expense of the transferor.

                                      A3-3
<PAGE>

                  No transfer of a Certificate of this Class shall be made
unless the Trustee shall have received a representation letter from the
transferee of such Certificate, acceptable to and in form and substance
satisfactory to the Trustee, to the effect that such transferee is not an
employee benefit plan subject to ERISA or Section 4975 of the Code or a person
acting on behalf of or investing plan assets of any such plan, which
representation letter shall not be an expense of the Trustee.

                  The Trust and Servicing Agreement may be amended from time to
time by the Depositor, the affected Servicer and the Trustee, without the
consent of any of the Certificateholders, in certain circumstances specified in
the Trust and Servicing Agreement.

                  The Trust and Servicing Agreement provides that the respective
obligations and responsibilities of Fairbanks, Wilshire, the Depositor, the
Paying Agent and the Trustee created thereby with respect to the Certificates
(other than the obligation of the Paying Agent to make certain payments to
Certificateholders after the final Distribution Date and other than the
indemnification obligations of the parties hereto) shall terminate upon the last
action required to be taken by the Paying Agent on the final Distribution Date
pursuant to Article X of the Trust and Servicing Agreement upon the later of (a)
the final payment or other liquidation (or any advance made with respect
thereto) of the last Mortgage Loan in the Trust Estate, (b) the disposition of
all property acquired in respect of any Mortgage Loan remaining in the Trust
Estate, and (c) at any time when a Qualified Liquidation of the Mortgage Loans
included within the Trust is effected.

                  Unless the Certificate of Authentication on this Certificate
has been executed by the Trustee, by manual or facsimile signature, this
Certificate shall not be entitled to any benefit under the Trust and Servicing
Agreement or be valid for any purpose.

                  The Trustee makes no representation or warranty as to any of
the statements contained herein or the validity or sufficiency of the
Certificates or the Mortgage Loans and has executed this Certificate in its
limited capacity as Trustee under the Trust and Servicing Agreement.

                                      A3-4
<PAGE>

                  IN WITNESS WHEREOF, the Trustee has caused this instrument to
be duly executed.

Dated:  ______________

                                            JPMORGAN CHASE BANK,
                                            not in its individual capacity but
                                            solely as Trustee

                                            By:      ___________________________
                                                     Authorized Officer

                          Certificate of Authentication
                          -----------------------------

                  This is one of the Class P Certificates referred to in the
Trust and Servicing Agreement.

Dated:  ______________

                                            JPMORGAN CHASE BANK,
                                            not in its individual capacity but
                                            solely as Trustee

                                            By:      ___________________________
                                                     Authorized Officer

                                      A3-5
<PAGE>

                                   ASSIGNMENT

                  FOR VALUE RECEIVED, the undersigned ("ASSIGNOR(S)") hereby
sell(s), assign(s) and transfer(s) unto _______________________________________
(please print or typewrite name(s) and address(es), including postal zip code(s)
of assignee(s)) ("ASSIGNEE(S)") the entire Percentage Interest represented by
the within Certificate and hereby authorize(s) the registration of transfer of
such interest to Assignee(s) on the Certificate Register of the Trust.

                  I (we) further direct the Certificate Registrar to issue a new
Certificate of the entire Percentage Interest represented by the within
Certificates to the above-named Assignee(s) and to deliver such Certificate to
the following address:

___________________________

___________________________

___________________________

Date: __________________

                                       Signature by or on behalf of
                                       Assignor(s):

                                       _________________________

                                       Taxpayer Identification Number: _________

                                      A3-6
<PAGE>

                            DISTRIBUTION INSTRUCTIONS

                  The Assignee(s) should include the following for purposes of
distribution:

Address of the Assignee(s) for the purpose of receiving notices and
distributions:
________________________________________________________________________.

                  Distributions, if being made by wire transfer in immediately
available funds, to ______________________ for the account of __________________
account number ____________________.

                  This information is provided by _________________________ the
Assignee(s) named above, or ______________________________ as its (their) agent.

                                        By: ______________________________
                                        [Please print or type name(s)]

                                        Title:_____________________________

                                        Taxpayer Identification Number:_________

                                      A3-7
<PAGE>

                                                                     EXHIBIT A-4
                         [FORM OF RESIDUAL CERTIFICATE]

                    GSRPM MORTGAGE PASS-THROUGH CERTIFICATES,
                       SERIES 2003-1, CLASS RO CERTIFICATE

THIS CERTIFICATE DOES NOT REPRESENT AN INTEREST IN OR OBLIGATION OF THE
DEPOSITOR, THE SERVICERS, THE TRUSTEE OR ANY OF THEIR RESPECTIVE AFFILIATES.
NEITHER THIS CERTIFICATE NOR THE UNDERLYING MORTGAGE LOAN IS INSURED OR
GUARANTEED BY ANY GOVERNMENTAL AGENCY OR INSTRUMENTALITY.

NEITHER THIS CERTIFICATE NOR ANY INTEREST HEREIN MAY BE TRANSFERRED UNLESS THE
PROPOSED TRANSFEROR DELIVERS TO THE TRUSTEE A TRANSFEROR LETTER IN THE FORM OF
EXHIBIT H TO THE AGREEMENT REFERRED TO HEREIN AND EITHER (I) THE TRUSTEE
RECEIVES A RULE 144A LETTER IN THE FORM OF EXHIBIT I TO THE AGREEMENT REFERRED
TO HEREIN OR (II) THE TRUSTEE RECEIVES AN OPINION OF COUNSEL, DELIVERED AT THE
EXPENSE OF THE TRANSFEROR, THAT SUCH TRANSFER MAY BE MADE WITHOUT REGISTRATION
UNDER THE SECURITIES ACT OF 1933, AS AMENDED.

THIS CERTIFICATE MAY NOT BE PURCHASED BY OR PLEDGED, SOLD OR OTHERWISE
TRANSFERRED TO ANY PERSON THAT IS OR BECOMES AN EMPLOYEE BENEFIT PLAN OR OTHER
PLAN THAT IS SUBJECT TO THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS
AMENDED ("ERISA"), OR TO SECTION 4975 OF THE INTERNAL REVENUE CODE OF 1986, AS
AMENDED (THE "CODE"), OR ANY PERSON ACTING ON BEHALF OF ANY SUCH PLAN OR USING
THE ASSETS OF SUCH PLAN TO ACQUIRE THIS CERTIFICATE.

FOR U.S. FEDERAL INCOME TAX PURPOSES, THIS CERTIFICATE IS A "RESIDUAL INTEREST"
IN A "REAL ESTATE MORTGAGE INVESTMENT CONDUIT" AS THOSE TERMS ARE DEFINED,
RESPECTIVELY, IN SECTIONS 860G(A)(2) AND 860D OF THE CODE. A TRANSFEREE OF THIS
CERTIFICATE, BY ACCEPTANCE HEREOF, IS DEEMED TO HAVE ACCEPTED THIS CERTIFICATE
SUBJECT TO CERTAIN RESTRICTIONS ON TRANSFERABILITY, AS SET FORTH IN SECTION 5.04
OF THE TRUST AND SERVICING AGREEMENT, AND SHALL BE REQUIRED TO FURNISH AN
AFFIDAVIT TO THE TRANSFEROR AND THE TRUSTEE TO THE EFFECT THAT, AMONG OTHER
THINGS, (A) IT IS NOT A DISQUALIFIED ORGANIZATION, AS SUCH TERM IS DEFINED IN
CODE SECTION 860E(E)(5), OR AN AGENT (INCLUDING A BROKER, NOMINEE OR OTHER
MIDDLEMAN) FOR SUCH DISQUALIFIED ORGANIZATION AND IS OTHERWISE A PERMITTED
TRANSFEREE (AS DEFINED IN THE TRUST

                                      A4-1
<PAGE>

AND SERVICING AGREEMENT REFERRED TO HEREIN), (B) IT HAS HISTORICALLY PAID ITS
DEBTS AS THEY HAVE COME DUE AND INTENDS TO CONTINUE TO PAY ITS DEBTS AS THEY
COME DUE IN THE FUTURE, AND (C) IT INTENDS TO PAY ANY TAXES ASSOCIATED WITH
HOLDING THIS CERTIFICATE AS THEY BECOME DUE. ANY PURPORTED TRANSFER TO A
DISQUALIFIED ORGANIZATION OR OTHER PERSON THAT IS NOT A PERMITTED TRANSFEREE OR
OTHERWISE IN VIOLATION OF THESE RESTRICTIONS SHALL BE ABSOLUTELY NULL AND VOID
AND SHALL VEST NO RIGHTS IN ANY PURPORTED TRANSFEREE. IF THIS CERTIFICATE
REPRESENTS A "NON-ECONOMIC RESIDUAL INTEREST", AS DEFINED IN TREASURY
REGULATIONS SECTION 1.860E-L(C), TRANSFERS OF THIS CERTIFICATE MAY BE
DISREGARDED FOR FEDERAL INCOME TAX PURPOSES. IN ORDER TO SATISFY A REGULATORY
SAFE HARBOR UNDER WHICH SUCH TRANSFERS WILL NOT BE DISREGARDED, THE TRANSFEROR
MAY BE REQUIRED, AMONG OTHER THINGS, TO SATISFY ITSELF AS TO THE FINANCIAL
CONDITION OF THE PROPOSED TRANSFEREE. THE HOLDER OF THIS CERTIFICATE, BY
ACCEPTANCE HEREOF, IS DEEMED TO HAVE AGREED TO CONSENT TO ACT AS "TAX MATTERS
PERSON" OF THE REMIC IN WHICH THIS CERTIFICATE CONSTITUTES THE RESIDUAL INTEREST
AND TO THE APPOINTMENT OF THE TRUSTEE AS ATTORNEY-IN-FACT AND AGENT FOR THE TAX
MATTERS PERSON OR AS OTHERWISE PROVIDED IN THE TRUST AND SERVICING AGREEMENT TO
PERFORM THE FUNCTIONS OF A "TAX MATTERS PERSON" FOR PURPOSES OF SUBCHAPTER C OF
CHAPTER 63 OF SUBTITLE F OF THE CODE.

                                      A4-2
<PAGE>

                    GSRPM MORTGAGE PASS-THROUGH CERTIFICATES,
                       SERIES 2003-1, CLASS Ro CERTIFICATE

Percentage Interest:  100%

CUSIP:

No.:o -1

                  This certifies that ________________. is the registered owner
of the "residual interest" (as defined in Section 860G(a)(1) of the Code) in
REMIC [II] [I] designated pursuant to the Trust and Servicing Agreement (as
defined below), including the distributions to be made with respect to the Class
R Certificates. The Trust was created, and the Mortgage Loan is to be serviced,
pursuant to the Trust and Servicing Agreement. The Holder of this Certificate,
by virtue of the acceptance hereof, assents to the terms, provisions and
conditions of the Trust and Servicing Agreement and is bound thereby. Also
issued under the Trust and Servicing Agreement are the Class A-1, Class A-2,
Class A-3, Class M-1, Class B-1, Class B-2, Class B-3, Class X and Class P
Certificates (the "CERTIFICATES"; the Holders of Certificates issued under the
Trust and Servicing Agreement are collectively referred to herein as
"CERTIFICATEHOLDERS").

                  This Certificate is issued pursuant to, and in accordance
with, the terms of a Trust and Servicing Agreement dated as of January 1, 2003
(the "TRUST AND SERVICING AGREEMENT"), among GS Mortgage Securities Corp., as
Depositor, Fairbanks Capital Corp., as a Servicer, Wilshire Credit Corporation,
as a Servicer and Master Servicer and JPMorgan Chase Bank, as Trustee. To the
extent not defined herein, capitalized terms used herein shall have the meanings
assigned thereto in the Trust and Servicing Agreement.

                  The Trustee makes no representation or warranty as to any of
the statements contained herein or the validity or sufficiency of the
Certificates or the Mortgage Loans and has executed this Certificate in its
limited capacity as Trustee under the Trust and Servicing Agreement.

                  Pursuant to the terms of the Trust and Servicing Agreement,
the Trustee, or the Paying Agent on behalf of the Trustee, will distribute
(other than the final distribution on any Certificate), on the 25th day of each
calendar month or, if such day is not a Business Day, the next succeeding
Business Day, commencing on February 25, 2003 (each such date, a "DISTRIBUTION
DATE"), to the Person in whose name this Certificate is registered as of the
related Record Date, an amount equal to the amount then distributable, if any,
allocable to the Class o Certificate for such Distribution Date, all as more
fully described in the Trust and Servicing Agreement.

                                      A4-3
<PAGE>

                  This Certificate is limited in right of payment to, among
other things, certain collections and recoveries in respect of the Mortgage
Loans, as more specifically set forth herein and in the Trust and Servicing
Agreement.

                  This Certificate does not purport to summarize the Trust and
Servicing Agreement, and reference is made to the Trust and Servicing Agreement
for the interests, rights, benefits, obligations and duties evidenced hereby,
and the limitations thereon, and the rights, duties and immunities of the
Trustee.

                  As provided in the Trust and Servicing Agreement, subject to
certain restrictions on transfer set forth therein, upon surrender for
registration of transfer of any Certificate, the Certificate Registrar shall
execute, authenticate and deliver, in the name of the designated transferee or
transferees, one or more new Certificates in authorized denominations, in like
aggregate interest and of the same Class.

                  Prior to due presentation of this Certificate for registration
of transfer, the Trustee, the Servicers, the Certificate Registrar, and any
agent of the Trustee, the Servicers or the Certificate Registrar may treat the
Person in whose name any Certificate is registered as the owner of such
Certificate for the purpose of receiving distributions as provided in the Trust
and Servicing Agreement and for all other purposes whatsoever, and neither the
Trustee, the Servicers, the Certificate Registrar, nor any agent of the Trustee,
the Servicers or the Certificate Registrar shall be affected by any notice to
the contrary.

                  No transfer of a Certificate of this Class shall be made
unless such transfer is exempt from the registration requirements of the
Securities Act of 1933, as amended (the "1933 ACT"), and any applicable state
securities laws or is made in accordance with the 1933 Act and such laws. In the
event of any such transfer, the Trustee shall require the transferor to execute
a transferor certificate (in substantially the form attached to the Trust and
Servicing Agreement) and deliver either (i) a Rule 144A Letter, in either case
substantially in the form attached to the Agreement, or (ii) a written Opinion
of Counsel addressed to the Trustee that such transfer may be made pursuant to
an exemption, describing the applicable exemption and the basis therefor, from
the 1933 Act or is being made pursuant to the 1933 Act, which Opinion of Counsel
shall be an expense of the transferor.

                  No transfer of a Certificate of this Class shall be made
unless the Trustee shall have received a representation letter from the
transferee of such Certificate, acceptable to and in form and substance
satisfactory to the Trustee, to the effect that such transferee is not an
employee benefit plan subject to ERISA or Section 4975 of the Code or a person
acting on behalf of or investing plan assets of any such plan, which
representation letter shall not be an expense of the Trustee.

                  The Trust and Servicing Agreement may be amended from time to
time by the Depositor, the affected Servicer and the Trustee, without the
consent of any of the

                                      A4-4
<PAGE>

Certificateholders, in certain circumstances specified in the Trust and
Servicing Agreement.

                  The Trust and Servicing Agreement provides that the respective
obligations and responsibilities of Fairbanks, Wilshire, the Depositor, the
Paying Agent and the Trustee created thereby with respect to the Certificates
(other than the obligation of the Paying Agent to make certain payments to
Certificateholders after the final Distribution Date and other than the
indemnification obligations of the parties hereto) shall terminate upon the last
action required to be taken by the Paying Agent on the final Distribution Date
pursuant to Article X of the Trust and Servicing Agreement upon the later of (a)
the final payment or other liquidation (or any advance made with respect
thereto) of the last Mortgage Loan in the Trust Estate, (b) the disposition of
all property acquired in respect of any Mortgage Loan remaining in the Trust
Estate, and (c) at any time when a Qualified Liquidation of the Mortgage Loans
included within the Trust is effected.

                  Unless the Certificate of Authentication on this Certificate
has been executed by the Trustee, by manual or facsimile signature, this
Certificate shall not be entitled to any benefit under the Trust and Servicing
Agreement or be valid for any purpose.

                  The Trustee makes no representation or warranty as to any of
the statements contained herein or the validity or sufficiency of the
Certificates or the Mortgage Loans and has executed this Certificate in its
limited capacity as Trustee under the Trust and Servicing Agreement.

                                      A4-5
<PAGE>

                  IN WITNESS WHEREOF, the Trustee has caused this instrument to
be duly executed.

Dated:  ______________

                                            JPMORGAN CHASE BANK,
                                            not in its individual capacity but
                                            solely as Trustee

                                            By:      ___________________________
                                                     Authorized Officer

                          Certificate of Authentication
                          -----------------------------

                  This is one of the Class Certificates referred to in the Trust
and Servicing Agreement.

Dated:  ______________

                                            JPMORGAN CHASE BANK,
                                            not in its individual capacity but
                                            solely as Trustee

                                            By:      ___________________________
                                                     Authorized Officer

                                      A4-6
<PAGE>

                                   ASSIGNMENT

                  FOR VALUE RECEIVED, the undersigned ("ASSIGNOR(S)") hereby
sell(s), assign(s) and transfer(s) unto _______________________________________
(please print or typewrite name(s) and address(es), including postal zip code(s)
of assignee(s)) ("ASSIGNEE(S)") the entire Percentage Interest represented by
the within Certificate and hereby authorize(s) the registration of transfer of
such interest to Assignee(s) on the Certificate Register of the Trust.

                  I (we) further direct the Certificate Registrar to issue a new
Certificate of the entire Percentage Interest represented by the within
Certificates to the above-named Assignee(s) and to deliver such Certificate to
the following address:

___________________________

___________________________

___________________________

Date: __________________

                                       Signature by or on behalf of
                                       Assignor(s):

                                       _________________________

                                       Taxpayer Identification Number: _________

                                      A4-7
<PAGE>

                            DISTRIBUTION INSTRUCTIONS

                  The Assignee(s) should include the following for purposes of
distribution:

Address of the Assignee(s) for the purpose of receiving notices and
distributions:
________________________________________________________________________.

                  Distributions, if being made by wire transfer in immediately
available funds, to ______________________ for the account of __________________
account number ____________________.

                  This information is provided by _________________________ the
Assignee(s) named above, or ______________________________ as its (their) agent.

                                        By: ______________________________
                                        [Please print or type name(s)]

                                        Title:_____________________________

                                        Taxpayer Identification Number:_________

                                      A4-8
<PAGE>

                                    Exhibit B

                          CERTIFICATE INSURANCE POLICY

    [This Policy is maintained by the Trustee at the Corporate Trust Office.]

                                      B-1

<PAGE>

                                    EXHIBIT C

                          FAIRBANKS SERVICING STANDARDS

These are the Servicing Standards referenced in the Agreement. These Servicing
Standards apply to all Fairbanks Mortgage Loans, and REO Properties. The
Servicing Standards will be measured at any time of measurement with respect to
Fairbanks Mortgage Loans. Failure to achieve the standards and cure any
Exceedance (as described herein) can result in financial penalties for Fairbanks
and possibly trigger termination of Fairbanks as Servicer as set forth below.

There are two different levels of Servicing Standards that will be used to
determine Service Level Penalties. Level 1 Standards are the critical Servicing
Standards that will be used (i) to determine financial penalties and (ii) to
determine potential termination events of Fairbanks. The Level 2 Standards are
incremental operating standards that will be used solely to determine financial
penalties. Financial penalties and termination events for failure to meet Level
1 Standards are intended to be included in the Agreement.

There are two different types of Servicing Standards (Base and Termination)
which are used to define financial penalties and termination events. The number
of Exceedances for Servicer Penalty purposes will be determined by the number of
times the Fairbanks' performance does not meet the Base Standard specified for
such performance area in Table 2. Service Level Penalties will be paid as
described below. For purposes of calculating the Service Level Penalties,
[Financial Penalties] will be calculated based on Table 1. The levels set forth
in the ["Termination Standards"] column in Table 2 are the measures used to
determine whether an event of termination has occurred pursuant to the Trust and
Servicing Agreement.

SERVICE LEVEL PENALTIES: If during any month during the term of the Agreement
the Servicer performs servicing below acceptable tolerance levels, as more
particularly set forth herein, the Trust shall, unless the Servicer cures the
Exceedance as described below, be entitled to a Service Level Penalty in an
amount calculated as set forth on Table 1, with respect to the related
Performance Standard. The Servicer shall notify the Trust of the below
acceptable level occurrence and corresponding Exceedance, and the Servicer shall
attempt to cure the deficiency during the applicable cure period. The Servicer
shall have a period of sixty (60) days in which to cure such occurrence by
bringing the related Performance Standard to within agreed to service levels in
the second full month following the month in which such Exceedance occurs. For
example, if in the month of March there is a Level 1 Exceedance for Right Party
Contacts, and the same Exceedance for Right Party Contacts occurs in both April
and May, then in May, the Service Level Penalty will be imposed and payable by
the Servicer for all three monthly periods. If, however, in May the Servicer
brings the Right Party Contacts within acceptable tolerance levels, there will
be no Service Level Penalty imposed with respect to the March and April
Exceedance. If a Service Level Penalty is due and owing in any month, it shall
be invoiced by the Trust to the Servicer and paid by the Servicer within fifteen
(15) days of receipt of the invoice.

<PAGE>

TERMINATION: The Servicer may be terminated pursuant to Section 8.17(c) of the
Agreement if the Servicer fails to meet the Performance Standards and
Exceedances occur and continue as follows: (x) the occurrence of any five (5)
Level 1 Termination Standard Exceedances for three (3) consecutive months, or
(y) the occurrence of any three (3) Level 1 Termination Standard Exceedances for
six (6) consecutive months, or (z) the occurrence of the same one (1) Level 1
Termination Standard Exceedance for nine (9) consecutive months. For purposes of
this Exhibit C, the Servicer will be deemed to meet a Performance Standard if it
is performing up to the Termination Standards Level for such Performance
Standard, all as more particularly set forth herein.

During the term of the Trust and Servicing Agreement, Fairbanks performance is
measured against the Base Standard Levels. In this period, failure to achieve
the Base Standards will create Exceedances. If Fairbanks is unable to cure any
Exceedance within a 60-day cure period, the following financial penalties will
be established as an unsecured obligation of Fairbanks to the Trust, varying
based upon the number of Exceedances that have occurred with respect to the Base
Standards:

                                     TABLE 1

                             SERVICE LEVEL PENALTIES

<TABLE>
<CAPTION>
                 NUMBER OF EXCEEDANCES                                 FINANCIAL PENALTY ACCRUING
                   REMAINING UNCURED                                   MONTHLY UNTIL CURED (%UPB)
                   -----------------                                   --------------------------
<S>                                                                    <C>
LEVEL 1
-------
                          1-2                                                     0.0200%
                          3-4                                                     0.0500%
                          5+                                                      0.1500%

LEVEL 2
-------
                          1-2                                                     0.0100%
                          3-4                                                     0.0200%
                          4-5                                                     0.0400%
</TABLE>

<PAGE>

                                     TABLE 2

                            STATED PRINCIPAL BALANCE

                          SERVICING STANDARD GUIDELINES

<TABLE>
<CAPTION>
                                                                   BASE          TERMINATION
                         LEVEL 1 STANDARDS                       STANDARD          STANDARD
                         -----------------                       --------          --------
<S>                                                                 <C>             <C>
   1.     Right   party   contacts   (First   15  days  of
          delinquency)

          Fairbanks will achieve an average daily Right             30%             22.5%
          Party Contact Rate for the month against all
          accounts in their first 15 days of delinquency

   2.     Right  party  contacts  (After  the  15th day of
          delinquency but not in foreclosure)

          Fairbanks will achieve an average daily                   25%             18.75%
          Right Party Contact Rate for the month against
          all accounts past the first 15 days of
          delinquency but prior to foreclosure

    3     Promise to Pay

          Fairbanks  will achieve an average daily Promise          30%             22.5%
          to Pay on a minimum  percentage of all loans 1 -
          89 days delinquent

    4     Roll  Rate (1 to 29 days  of  delinquency  - MBA
          method)

          Fairbanks  shall  achieve a rolling  three month
          average  percentage  of  loans,  based on Stated
          Principal  Balance,  that  remain  in  the  same          70%             52.5%
          bucket  or  improve  their  delinquency   status
          (including  loans that  payoff or are  otherwise
          liquidated)  from previous  month-end to current
          month-end

    5     Roll Rate (30 to 59 days of  delinquency - [MBA]          60%              45%
          method)

                           C-1
<PAGE>

          Fairbanks shall achieve a rolling three month
          average percentage of loans, based on Stated
          Principal Balance, that remain in the same
          bucket  or  improve  their  delinquency   status
          (including  loans that  payoff or are  otherwise
          liquidated)  from previous  month-end to current
          month-end

    6     Roll Rate (60 to 89 days of delinquency                   40%              30%
          MBA method)

          Fairbanks shall achieve a rolling three month
          average percentage of loans, based on Stated
          Principal Balance, that remain in the same
          bucket or improve their delinquency status
          (including loans that payoff or are otherwise
          liquidated) from previous month-end to current
          month-end

    7     Abandonment Rate

          Fairbanks  will  operate  its  customer  service          10%             13.3%
          area  to   achieve   no  more   than  a  maximum
          abandonment rate on customer calls

    8     REO sales

          Fairbanks will sell a minimum  percentage of the
          REO Sellable  Portfolio  on a monthly  basis and          15%             11.25%
          will   obtain  a  Total  Sales  Price  to  Total
          Reconciled   Market   Value  of  at  least   95%
          measured on a rolling three month average

    9     Fairbanks will obtain a minimum Pre-
          Foreclosure  Resolution  Rate on a rolling three          60%              45%
          month average

                           C-2
<PAGE>

   10     Fairbanks   will  meet  a  minimum   Foreclosure
          Timeline  percentage  on a rolling  three  month         100%        120%*
          average basis
</TABLE>

-------
* On pre-Fairbanks initiated foreclosure actions, the Termination Standard is
  130%.

                           C-3
<PAGE>

                                                                   BASE
                         LEVEL 2 STANDARDS                       STANDARD
                         -----------------                       --------
1.        Skip tracing                                             100%

          No later than the 30th day of delinquency, if no
          mortgagor contact has been made, or as early as
          there is an indication of inability to contact
          the mortgagor with the provided information, if
          sooner. Fairbanks will implement all skip
          tracing methods (i.e., establishing a phone
          number contact)

2.        Written  correspondence                                  100%

          Fairbanks will mail a late notice to all
          borrowers once they are 5 days past their due
          date, except for the loans that are screened out
          for such written correspondence for reasons
          including, but not limited to, bankruptcies and
          [Early Indicator Scoring (EIS)]

3         [Demand letter] (Written correspondence)                  95%

          Fairbanks  will  send a demand  letter  no later
          than the 60th day of delinquency

5         Average Call Pick-up Time                                100%

          Fairbanks will operate its [Customer Service
          Area] such that the average call pick-up time
          for incoming calls is less than or equal to 150
          seconds

                           C-4
<PAGE>

DEFINITIONS FOR LEVEL 1& 2 SERVICING STANDARDS
----------------------------------------------

ABANDONMENT RATE The percentage of total incoming calls to the customer service
area which are not directed to the automated telephony response system in which
the customer terminates the call prior to connection with a customer service
representative.

ATTEMPT shall include, at a minimum, an actual dialing of an outbound call to
the borrower's telephone number.

AVERAGE CALL PICK-UP TIME The average number of seconds that a customer, other
than those that select the automated telephony response system, are on hold
prior to speaking to a customer service representative.

COLLECTION CALLS - FIRST 15 DAYS OF DELINQUENCY These calls are made for all
mortgage loans that are past due and have broken a Promise to Pay between the
first and 15th day of delinquency, except for loans that are screened out from
such calls for reasons including, but not limited to: bankruptcies, interim
payments in the first 30 days after transfer, loans for which borrowers have
requested in writing that Fairbanks not contact them and early indicator scoring
exclusions. On initial contact for a second lien account, Fairbanks shall obtain
senior lien information for the mortgagor. The expectation is that Fairbanks
will make an Attempt every other business day.

COLLECTION CALLS - AFTER THE 15TH DAY OF DELINQUENCY BUT NOT YET IN FORECLOSURE.
These calls are made for all Mortgage Loans that are delinquent and have broken
a Promise to Pay after the 15th day of delinquency, except for loans that are
screened out from such calls for reasons including, but not limited to:
bankruptcies, loans in foreclosure, loans for which borrowers have requested in
writing that Fairbanks not contact them and early indicator scoring exclusions.
As applicable, the expectation is that Fairbanks will make two Attempts each
business day.

FORECLOSURE TIMELINES For Mortgage Loans in foreclosure, Fairbanks will, subject
to clause (ii) below, meet or improve upon the foreclosure timelines. Fairbanks
will use the most recently published Freddie Mac foreclosure timelines as may be
amended from time to time. Fairbanks will not be penalized with a reduction in
fees for unavoidable delays such as bankruptcy, missing documents, workouts
authorized by the residual holder, contested actions, service of process delays,
sheriff sale scheduling delays, court delays in entering judgment or scheduling
hearings, and other circumstances agreed to by the residual holder, provided
that Fairbanks (i) has documented its system accordingly and (ii) upon request
by the residual holder, provide a report of such conditions, such report
detailing corrective actions taken, the date of such actions and the expected
resolution date, and demonstrating diligent time management to resolve such
issues.

FORECLOSURE TIMELINE PERCENTAGE For all Mortgage Loans with a completed
foreclosure sale during the preceding month, the average across all such loans
of the ratio of the number of days to foreclosure from the date of the
foreclosure initiation divided by the applicable [Freddie Mac] standard in the
relevant state.

PRE-FORECLOSURE RESOLUTION shall mean any of the following:

-             Reinstatement - means any defaulted mortgage loan for which the
              borrower brings the Mortgage Loan back to a status no more than 60
              days delinquent through a lump

                           C-5
<PAGE>

              sum payment or otherwise consistent with the
              terms of the Trust and Servicing Agreement.

-             Full payoff - means any defaulted mortgage
              loan which is paid in full as defined in the
              Trust and Servicing Agreement.

-             Cash for keys - means a defaulted mortgage loan for which the
              mortgagor surrenders the property in exchange for a cash sum to
              enable foreclosure on a property with imperfect title.

-             Shortfall payoff - means a defaulted mortgage loan for which a
              final payment in an amount less than the indebtedness owed under
              the applicable mortgage note is made consistent with the terms of
              the related Trust and Servicing Agreement and such payment is
              received by Fairbanks in full satisfaction of such indebtedness.

-             Deed-in-Lieu of Foreclosure - means a defaulted mortgage loan for
              which title to the mortgaged property is taken by Fairbanks
              through deed in lieu of foreclosure and the resulting REO Property
              is to be liquidated consistent with the terms of the Trust and
              Servicing Agreement.

-             Modification/Deferral (subject to REMIC restrictions) - means a
              defaulted mortgage loan which is modified in a manner consistent
              with the Trust and Servicing Agreement and for which the borrower
              has made three consecutive payments consistent with the terms of
              such mortgage loan as so modified.

-             Forbearance Plan - means a defaulted mortgage loan for which a
              borrower has made three consecutive payments in accordance with a
              forbearance plan entered into by the borrower.

-             Take-out at Foreclosure Sale - means the mortgaged property
              related to a defaulted mortgage loan that is purchased at a
              foreclosure sale by a party other than Fairbanks in a manner
              consistent with the Trust and Servicing Agreement.

PRE-FORECLOSURE RESOLUTION RATE is calculated as the percentage of the loans (by
number) that are at least 90 days past due at the beginning of a month on which
a Pre-Foreclosure Resolution is achieved during the month divided by the sum of
such resolved loans and the number of loans that go to REO during the month.

PROMISE TO PAY is an agreement with the [Obligor] to make at least one full
payment within thirty days.

RECONCILED MARKET VALUE ("RMV") is the targeted sales price of a REO property.
RMV is established following an analysis by Fairbanks' in-house appraisers of
competing marketing plans and other market conditions. This analysis will
include a review of the interior [Broker Price Opinions] (BPOs) received from
the listing agent and an outside third party real-estate agent. This set value
never changes throughout the servicing of the REO asset and will be reflected in
all reporting.

REO SELLABLE PORTFOLIO is the entire REO portfolio less any REO in eviction,
redemption under contract or other situations in which Fairbanks cannot pass
marketable title.

                           C-6
<PAGE>

RIGHT PARTY CONTACT RATE means a person-to-person contact with an obligor (a
signer of the Mortgage Note), or, where applicable, the obligor's legal guardian
or attorney-in-fact with respect to the loan, or other third party as appointed
by the mortgagor.

ROLL RATE is calculated as a three month rolling average percentage of loans,
based on Stated Principal Balance, that remain in the same bucket or improve
their delinquency status (including loans that payoff or are otherwise
liquidated) from previous month-end to current month-end.

TOTAL RECONCILED MARKET VALUE is the sum of all the RMVs on all the REO closings
in the month.

TOTAL SALES PRICE is the sum of the sales price of all REO closings in the
month, less any Sellers' closing concessions in which the sales price was
inflated to reflect the concession amount.

                           C-7
<PAGE>

                                    Exhibit D

                          WILSHIRE SERVICING STANDARDS

                                     TABLE 1

<TABLE>
<CAPTION>
             LEVEL 1 STANDARDS                                    STANDARD         TERMINATION STANDARD
             -----------------                                    --------         --------------------
<S>                                                               <C>              <C>
1            Right  party  contacts  (First 15 days of
             delinquency)

             Wilshire  will  achieve an average  daily               30%                  22.5%
             Right Party Contact Rate for the month
             against all accounts in their first 15 days
             of delinquency

2            Right party contacts  (After the 15th day
             of delinquency but not in foreclosure)

             Wilshire  will  achieve an average  daily               25%                  18.75%
             Right Party Contact Rate for the month
             against all accounts past the first 15 days
             of delinquency but prior to foreclosure

3            Promise to Pay

             Wilshire  will  achieve an average  daily               30%                  22.5%
             Promise  to Pay on a  minimum  percentage
             of all loans 1-89 days delinquent

4            Roll Rate (1 to 29 days of  delinquency--
             MBA method)

                           D-1
<PAGE>

             LEVEL 1 STANDARDS                                    STANDARD         TERMINATION STANDARD
             -----------------                                    --------         --------------------

             Wilshire  shall  achieve a rolling  three               70%                  52.5%
             month average  percentage of loans, based
             on Stated Principal Balance,  that remain
             in  the  same  bucket  or  improve  their
             delinquency  status (including loans that
             payoff or are otherwise  liquidated) from
             previous month-end to current month-end

5            Roll  Rate (30 to 59 days of  delinquency               60%                   45%
            -- MBA method)

             Wilshire shall achieve a rolling three month
             average percentage of loans, based on Stated
             Principal Balance, that remain in the same
             bucket or improve their delinquency status
             (including loans payoff or are otherwise
             liquidated) from previous month-end to
             current month-end 6

6            Roll  Rate (60 to 89 days of  delinquency
            -- MBA method)

             Wilshire  shall  achieve a rolling  three               40%                   30%
             month average  percentage of loans, based
             on Stated Principal Balance,  that remain
             in  the  same  bucket  or  improve  their
             delinquency  status (including loans that
             payoff or are otherwise  liquidated) from
             previous month-end to current month-end

7            Abandonment Rate

             Wilshire   will   operate  its   customer               10%                  13.3%
             service  area to  achieve  no more than a
             maximum   abandonment  rate  on  customer
             calls

                           D-2
<PAGE>

             LEVEL 1 STANDARDS                                    STANDARD         TERMINATION STANDARD
             -----------------                                    --------         --------------------

8            REO sales

             Wilshire  will sell a minimum  percentage               15%                  11.25%
             of  the  REO  Sellable   Portfolio  on  a
             monthly  basis  and  will  obtain a Total
             Sales  Price to Total  Reconciled  Market
             Value  of  at  least  95%  measured  on a
             rolling three month average

9            Wilshire    will    obtain   a    minimum               60%                   45%
             Pre-Foreclosure   Resolution  Rate  on  a
             rolling three month average 10

10           Wilshire will meet a minimum  Foreclosure              100%                  120%*
             Timeline  Percentage  on a rolling  three
             month average basis
</TABLE>

*On pre-servicer initiated foreclosure actions, termination standard is 130%.

<TABLE>
<CAPTION>
                                            TABLE 2

             LEVEL 2 STANDARDS                                      TERMINATION STANDARD
             -----------------                                      --------------------
<S>                                                                         <C>
1.           Skip tracing                                                   100%

             No later than the 30th day of delinquency, if
             no mortgagor contact has been made, or as
             early as there is an indication of inability
             to contact the mortgagor with the provided
             information, if sooner. Wilshire will
             implement all skip tracing methods (i.e.,
             establishing a phone number contact)

2.           Early late notices (written correspondence)                    100%

                           D-3
<PAGE>

             LEVEL 2 STANDARDS                                      TERMINATION STANDARD
             -----------------                                      --------------------

             Wilshire will mail a late notice to all
             borrowers once they are 5 days past their due
             date, except for the loans that are screened
             out for such written correspondence for
             reasons including, but not limited to,
             bankruptcies and Early Indicator Scoring
             (EIS)

3.           Demand letter (written correspondence)                         95%

             Wilshire will send a demand letter no later
             than the 60th day of delinquency

4.           Customer service turnaround times (Both must
             be met to pass this test)

             Wilshire shall achieve minimum turnaround
             times on the following written requests:                     10 days

             -      99% of Customer generated research
                    requests are resolved within specified
                    business days (Monday-Friday) from                    30 days
                    receipt of the request

             -      Consumer affairs - resolved within
                    specified calendar days

5.           Average Call Pick-up Time                                      100%

             Wilshire will operate its Customer Service
             Area such that the average call pick-up time
             for incoming calls is less than or equal to
             150 seconds
</TABLE>

These Performance Standards may be measured at any time and apply to all
Wilshire Mortgage Loans and REO Properties in the aggregate. Repeated violations
of the Termination Standards set forth above (each failure to meet the
Termination Standards set forth herein on any date of determination, an
"EXCEEDANCE") can trigger termination of Wilshire's rights hereunder in
accordance with Section 8.17(c). The "Standard" levels

                           D-4
<PAGE>

set forth in Table 1 above are guidelines for appropriate servicing levels,
violations of which will not trigger termination.

DEFINITIONS FOR PERFORMANCE STANDARDS

ABANDONMENT RATE The percentage of total incoming calls to the customer service
area which are not directed to the automated telephony response system in which
the customer terminates the call prior to connection with a customer service
representative.

ATTEMPT shall include, at a minimum, an actual dialing of an outbound call to
the borrower's telephone number.

AVERAGE CALL PICK-UP TIME The average number of seconds that a customer, other
than those that select the automated telephony response system, are on hold
prior to speaking to a customer service representative.

COLLECTION CALLS - FIRST 15 DAYS OF DELINQUENCY These calls are made for all
mortgage loans that are past due and have broken a Promise to Pay between the
first and 15th day of delinquency, except for loans that are screened out from
such calls for reasons including, but not limited to: bankruptcies, interim
payments in the first 30 days after transfer, loans for which borrowers have
requested in writing that Wilshire not contact them and early indicator scoring
exclusions. On initial contact for a second lien account, Wilshire shall obtain
senior lien information for the mortgagor. The expectation is that Wilshire will
make an Attempt every other business day.

COLLECTION CALLS - AFTER THE 15TH DAY OF DELINQUENCY BUT NOT YET IN FORECLOSURE
These calls are made for all Mortgage Loans that are delinquent and have broken
a Promise to Pay after the 15th day of delinquency, except for loans that are
screened out from such calls for reasons including, but not limited to:
bankruptcies, loans in foreclosure, loans for which borrowers have requested in
writing that Wilshire not contact them and early indicator scoring exclusions.
As applicable, the expectation is that Wilshire will make two Attempts each
business day.

FORECLOSURE TIMELINES For Mortgage Loans in foreclosure, Wilshire will, subject
to clause (ii) below, meet or improve upon the foreclosure timelines. Wilshire
will use the most recently published Freddie Mac foreclosure timelines as may be
amended from time to time. Wilshire will not be penalized with a reduction in
fees for unavoidable delays such as bankruptcy, missing documents, workouts
authorized by the residual holder, contested actions, service of process delays,
sheriff sale scheduling delays, court delays in entering judgment or scheduling
hearings, and other circumstances agreed to by the residual holder, provided
that Wilshire (i) has documented its system accordingly and (ii) upon request by
the residual holder, provide a report of such conditions, such report detailing
corrective actions taken, the date of such actions and the expected resolution
date, and demonstrating diligent time management to resolve such issues.

FORECLOSURE TIMELINE PERCENTAGE For all Mortgage Loans with a completed
foreclosure sale during the preceding month, the average across all such loans
of the ratio of the

                                      D-5
<PAGE>

number of days to foreclosure from the date of the foreclosure initiation
divided by the applicable Freddie Mac standard in the relevant state.

PRE-FORECLOSURE RESOLUTION shall mean any of the following:

         -     Reinstatement - means any defaulted mortgage loan for which the
               borrower brings the Mortgage Loan back to a status no more than
               60 days delinquent through a lump sum payment or otherwise
               consistent with the terms of the related Servicing Agreement.

         -     Full payoff - means any defaulted mortgage loan which is paid in
               full as defined in the Trust and Servicing Agreement.

         -     Cash for keys - means a defaulted mortgage loan for which the
               mortgagor surrenders the property in exchange for a cash sum to
               enable foreclosure on a property with imperfect title.

         -     Shortfall payoff - means a defaulted mortgage loan for which a
               final payment in an amount less than the indebtedness owed under
               the applicable mortgage note is made consistent with the terms of
               the Trust and Servicing Agreement and such payment is received by
               Wilshire in full satisfaction of such indebtedness.

         -     Deed-in-Lieu of Foreclosure - means a defaulted mortgage loan for
               which title to the mortgaged property is taken by Wilshire
               through deed in lieu of foreclosure and the resulting REO
               Property is to be liquidated consistent with the terms of the
               Trust and Servicing Agreement.

         -     Modification/Deferral (subject to REMIC restrictions) - means a
               defaulted mortgage loan which is modified in a manner consistent
               with the Trust and Servicing Agreement and for which the borrower
               has made three consecutive payments consistent with the terms of
               such mortgage loan as so modified.

         -     Forbearance Plan - means a defaulted mortgage loan for which a
               borrower has made three consecutive payments in accordance with a
               forbearance plan entered into by the borrower.

         -     Take-out at Foreclosure Sale - means the mortgaged property
               related to a defaulted mortgage loan that is purchased at a
               foreclosure sale by a party other than Wilshire in a manner
               consistent with the Trust and Servicing Agreement.

PRE-FORECLOSURE RESOLUTION RATE is calculated as the percentage of the loans (by
number) that are at least 90 days past due at the beginning of a month on which
a Pre-Foreclosure Resolution is achieved during the month divided by the sum of
such resolved loans and the number of loans that go to REO during the month.

                                      D-6
<PAGE>

PROMISE TO PAY is an agreement with the Obligor to make at least one full
payment within thirty days.

RECONCILED MARKET VALUE ("RMV") is the targeted sales price of a REO property.
RMV is established following an analysis by Fairbanks' in-house appraisers of
competing marketing plans and other market conditions. This analysis will
include a review of the interior Broker Price Opinions (BPOs) received from the
listing agent and an outside third party real-estate agent. This set value never
changes throughout the servicing of the REO asset and will be reflected in all
reporting.

REO SELLABLE PORTFOLIO is the entire REO portfolio less any REO in eviction,
redemption under contract or other situations in which Servicer cannot pass
marketable title.

RIGHT PARTY CONTACT RATE means a person-to-person contact with an obligor (a
signer of the Mortgage Note), or, where applicable, the obligor's legal guardian
or attorney-in-fact with respect to the loan, or other third party as appointed
by the mortgagor.

ROLL RATE is calculated as a three month rolling average percentage of loans,
based on Stated Principal Balance, that remain in the same bucket or improve
their delinquency status (including loans that payoff or are otherwise
liquidated) from previous month-end to current month-end.

TOTAL RECONCILED MARKET VALUE is the sum of all the RMVs on all the REO closings
in the month.

TOTAL SALES PRICE is the sum of the sales price of all REO closings in the
month, less any sellers' closing concessions in which the sales price was
inflated to reflect the concession amount.

                                      D-7
<PAGE>

                                    Exhibit E

                        Form of Limited Power of Attorney

         Pursuant to the Trust and Servicing Agreement (as amended, restated,
supplemented or otherwise modified from time to time, the "TSA"; capitalized
terms not defined herein have the definitions assigned to such terms in the
TSA), dated as of January 1, 2003, among GS Mortgage Securities Corp., as
depositor, Wilshire Credit Corporation, as a servicer and as master servicer,
Fairbanks Capital Corp., a Utah corporation and residential mortgage loan
servicer ("Fairbanks"), as a servicer (the "Servicer"), and JPMorgan Chase Bank,
a New York banking corporation, ("JPMorgan"), as Trustee, JPMorgan hereby
appoints [Fairbanks][Wilshire] as its true and lawful attorney-in-fact and in
its name, place and stead to take the following designated actions with respect
to any mortgage loan or real estate owned property (collectively, the "Mortgage
Loans") relating to the GSRPM Mortgage Pass-Through Certificates, Series 2003-1
and subject to the TSA:

         1. To ask, demand, sue for, collect and receive all sums of money,
debts or other obligations of any kind with respect to a Mortgage Loan which are
now or shall after this date become due, owing or payable, or otherwise belong
to the Trustee; to settle and compromise any of such debts or obligations that
may be or become due to the Trustee; to endorse in the name of the Trustee for
deposit in the appropriate account any instrument payable to or to the order of
the Trustee; in each case with respect to a Mortgage Loan.

         2. To make demand(s) on behalf of the Trustee upon any or all parties
liable on a Mortgage Loan; to declare defaults with respect to a Mortgage Loan;
to give notices of intention to accelerate to give notices of acceleration and
any other notices as Servicer deems reasonably necessary or appropriate; to post
all notices as required by law and the documents securing a Mortgage Loan in
order to foreclose such Mortgage Loan; to handle all aspects of foreclosure on
behalf of the Trustee, including, but not limited to, conducting the foreclosure
sale, bidding for the Trustee and executing all documents, including all deeds
and conveyances, needed to effect such foreclosure sale and/or liquidation; to
execute any documents or instruments necessary for the offer, listing, closing
of sale, and conveyance of REO Property, including, but not limited to, grant,
warranty, quit claim and statutory deeds or similar instruments of conveyance;
to execute any documents or instruments in connection with any bankruptcy or
receivorship of a mortgagor on a Mortgage Loan; to file suit and prosecute legal
actions against all parties liable for amounts due under a Mortgage Loan,
including but not limited to any deficiency amounts due following foreclosure;
to take such other actions and exercise such rights which may be taken by
Trustee under the terms of any Mortgage Loan, including, but not limited to,
satisfaction, release, cancellation or discharge of mortgage, eviction, unlawful
detainer, or similar dispossessory proceeding, sale, taking possession of,
release of security instruments, realization upon all or any part of a Mortgage
Loan or

                                      E-1
<PAGE>

any collateral therefor or guaranty thereof; and to assign, convey, accept, or
otherwise transfer Trustee's interest in any Mortgage Loan.

         3. To perform all other acts and do all other things as may be
necessary or convenient to manage and service the Mortgage Loans under the terms
of the TSA.

         This instrument is to be construed and interpreted as a Limited Power
of Attorney regarding a Mortgage Loan. The enumeration of specific items, acts,
rights and powers is not intended to, nor does it give rise to and it is not to
be construed as a general power of attorney.

         The rights, powers and authority of the Servicer as attorney-in-fact of
the Trustee under this Limited Power of Attorney shall commence on the date of
execution hereof and shall remain in full force and effect as a limited and
revocable power of attorney which may be revoked at any time in writing by the
Trustee.

         This Limited Power of Attorney shall be governed by and construed in
accordance with the laws of the State of New York.

         IN WITNESS WHEREOF the Trustee has hereunto caused this Limited Power
of Attorney to be executed by its duly authorized representatives on this _____
day of January, 2003.

JPMorgan Chase Bank

By:      ________________________
Name:
Title:

WITNESS:                                         WITNESS:

By:      ________________________                By:      ______________________
Name:                                            Name:
Title:                                           Title:

                                      E-2
<PAGE>

STATE OF NEW YORK          )
                           ) ss
COUNTY OF NEW YORK         )

         On January ____, 2003, before me personally appeared
_____________________, known to me to be a ________________________ of JPMorgan
Chase Bank, the New York banking association that executed the preceding Limited
Power of Attorney and also known to me to be the person who executed it on
behalf of said New York banking association, and acknowledged to me that such
New York banking association executed the preceding Limited Power of Attorney.

         IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official
seal the year and day in this certificate first written.

                                              __________________________________
                                              Notary Public
[NOTARIAL SEAL]

                                      E-3
<PAGE>

                                    Exhibit F

                          FORM OF INITIAL CERTIFICATION

[This Certification is maintained by the Trustee at the Corporate Trust Office.]

                                      F-1
<PAGE>

                                    Exhibit G

                           RESIDUAL TRANSFER AFFIDAVIT

                        GSRPM Mortgage Loan Trust 2003-1,
                Mortgage Pass-Through Certificates, Series 2003-1

STATE OF              )
                      ) ss.:
COUNTY OF             )

                  The undersigned, being first duly sworn, deposes and says as
follows:

                  1. The undersigned is an officer of ___________________, the
proposed Transferee of an Ownership Interest in a Residual Certificate (the
"CERTIFICATE") issued pursuant to the Trust and Servicing Agreement (the
"Agreement"), by and among GS Mortgage Securities Corp., as depositor (the
"DEPOSITOR"), Fairbanks Capital Corporation, as a servicer (a "SERVICER"),
Wilshire Credit Corporation, as a servicer (a "SERVICER") and as master servicer
(the "MASTER SERVICER") and JPMorgan Chase Bank, as Trustee. Capitalized terms
used, but not defined herein or in Exhibit 1 hereto, shall have the meanings
ascribed to such terms in the Agreement. The Transferee has authorized the
undersigned to make this affidavit on behalf of the Transferee for the benefit
of the Depositor and the Trustee.

                  2. The Transferee is, as of the date hereof, and will be, as
of the date of the Transfer, a Permitted Transferee. The Transferee is acquiring
its Ownership Interest in the Certificate for its own account. The Transferee
has no knowledge that any such affidavit is false.

                  3. The Transferee has been advised of, and understands that
(i) a tax will be imposed on Transfers of the Certificate to Persons that are
not Permitted Transferees; (ii) such tax will be imposed on the transferor, or,
if such Transfer is through an agent (which includes a broker, nominee or
middleman) for a Person that is not a Permitted Transferee, on the agent; and
(iii) the Person otherwise liable for the tax shall be relieved of liability for
the tax if the subsequent Transferee furnished to such Person an affidavit that
such subsequent Transferee is a Permitted Transferee and, at the time of
Transfer, such Person does not have actual knowledge that the affidavit is
false.

                  4. The Transferee has been advised of, and understands that a
tax will be imposed on a "pass-through entity" holding the Certificate if at any
time during the taxable year of the pass-through entity a Person that is not a
Permitted Transferee is the record holder of an interest in such entity. The
Transferee understands that such tax will not be imposed for any period with
respect to which the record holder furnishes to the pass-through entity an
affidavit that such record holder is a Permitted Transferee and the pass-through
entity does not have actual knowledge that such affidavit is false. (For this
purpose, a "pass-through entity" includes a regulated investment company, a real
estate investment trust or common trust fund, a

                                      G-1
<PAGE>

partnership, trust or estate, and certain cooperatives and, except as may be
provided in Treasury Regulations, persons holding interests in pass-through
entities as a nominee for another Person.)

                  5. The Transferee has reviewed the provisions of Section
5.02(c) of the Agreement and understands the legal consequences of the
acquisition of an Ownership Interest in the Certificate including, without
limitation, the restrictions on subsequent Transfers and the provisions
regarding voiding the Transfer and mandatory sales. The Transferee expressly
agrees to be bound by and to abide by the provisions of Section 5.02(c) of the
Agreement and the restrictions noted on the face of the Certificate. The
Transferee understands and agrees that any breach of any of the representations
included herein shall render the Transfer to the Transferee contemplated hereby
null and void.

                  6. The Transferee agrees to require a Transfer Affidavit from
any Person to whom the Transferee attempts to Transfer its Ownership Interest in
the Certificate, and in connection with any Transfer by a Person for whom the
Transferee is acting as nominee, trustee or agent, and the Transferee will not
Transfer its Ownership Interest or cause any Ownership Interest to be
Transferred to any Person that the Transferee knows is not a Permitted
Transferee. In connection with any such Transfer by the Transferee, the
Transferee agrees to deliver to the Trustee a certificate substantially in the
form set forth as Exhibit H to the Agreement (a "TRANSFEROR Certificate") to the
effect that such Transferee has no actual knowledge that the Person to which the
Transfer is to be made is not a Permitted Transferee.

                  7. The Transferee has historically paid its debts as they have
come due, intends to pay its debts as they come due in the future, and
understands that the taxes payable with respect to the Certificate may exceed
the cash flow with respect thereto in some or all periods and intends to pay
such taxes as they become due. The Transferee does not have the intention to
impede the assessment or collection of any tax legally required to be paid with
respect to the Certificate.

                  8. The Transferee's taxpayer identification number is
__________.

                  9. The Transferee is a U.S. Person as defined in Code Section
7701(a)(30).

                  10. The Transferee is aware that the Certificate may be a
"noneconomic residual interest" within the meaning of proposed Treasury
regulations promulgated pursuant to the Code and that the transferor of a
noneconomic residual interest will remain liable for any taxes due with respect
to the income on such residual interest, unless no significant purpose of the
transfer was to impede the assessment or collection of tax.

                  11. The Transferee will not cause income from the Certificate
to be attributable to a foreign permanent establishment or fixed base, within
the meaning of an applicable income tax treaty, of the Transferee or any other
U.S. person.

                  12. Check one of the following:

                  | | The present value of the anticipated tax liabilities
associated with holding the Certificate, as applicable, does not exceed the sum
of:

                                      G-2
<PAGE>

                  (i)      the present value of any consideration given to the
                           Transferee to acquire such Certificate;

                  (ii)     the present value of the expected future
                           distributions on such Certificate; and

                  (iii)    the present value of the anticipated tax savings
                           associated with holding such Certificate as the
                           related REMIC generates losses.

                  For purposes of this calculation, (i) the Transferee is
assumed to pay tax at the highest rate currently specified in Section 11(b) of
the Code (but the tax rate in Section 55(b)(1)(B) of the Code may be used in
lieu of the highest rate specified in Section 11(b) of the Code if the
Transferee has been subject to the alternative minimum tax under Section 55 of
the Code in the preceding two years and will compute its taxable income in the
current taxable year using the alternative minimum tax rate) and (ii) present
values are computed using a discount rate equal to the short-term Federal rate
prescribed by Section 1274(d) of the Code for the month of the transfer and the
compounding period used by the Transferee.

                  | | The transfer of the Certificate complies with U.S.
Treasury Regulations Sections 1.860E-1(c)(5) and (6) and, accordingly,

                  (i)      the Transferee is an "eligible corporation," as
                           defined in U.S. Treasury Regulations Section
                           1.860E-1(c)(6)(i), as to which income from the
                           Certificate will only be taxed in the United States;

                  (ii)     at the time of the transfer, and at the close of the
                           Transferee's two fiscal years preceding the year of
                           the transfer, the Transferee had gross assets for
                           financial reporting purposes (excluding any
                           obligation of a person related to the Transferee
                           within the meaning of U.S. Treasury Regulations
                           Section 1.860E-1(c)(6)(ii)) in excess of $100 million
                           and net assets in excess of $10 million;

                  (iii)    the Transferee will transfer the Certificate only to
                           another "eligible corporation," as defined in U.S.
                           Treasury Regulations Section 1.860E-1(c)(6)(i), in a
                           transaction that satisfies the requirements of
                           Sections 1.860E-1(c)(4)(i), (ii) and (iii) and
                           Section 1.860E-1(c)(5) of the U.S. Treasury
                           Regulations; and

                  (iv)     the Transferee determined the consideration paid to
                           it to acquire the Certificate based on reasonable
                           market assumptions (including, but not limited to,
                           borrowing and investment rates, prepayment and loss
                           assumptions, expense and reinvestment assumptions,
                           tax rates and other factors specific to the
                           Transferee) that it has determined in good faith.

                  | | None of the above.

                                      G-3
<PAGE>

                  13. The Transferee is not an employee benefit plan that is
subject to ERISA or a plan that is subject to Section 4975 of the Code and the
Transferee is not acting on behalf of or investing plan assets of such an
employee benefit plan.

                                      G-4
<PAGE>

                  IN WITNESS WHEREOF, the Transferee has caused this instrument
to be executed on its behalf, pursuant to authority of its Board of Directors,
by its duly authorized officer and its corporate seal to be hereunto affixed,
duly attested, this day of , 20 .

                                             ___________________________________
                                             Print Name of Transferee

                                             By:________________________________
                                                 Name:
                                                 Title:

[Corporate Seal]

ATTEST:

____________________________________
[Assistant] Secretary

                  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 Transferee, and acknowledged that he
executed the same as his free act and deed and the free act and deed of the
Transferee.

                  Subscribed and sworn before me this ____ day of _________,
20__.

                                              ________________________________
                                                       NOTARY PUBLIC

                                              My Commission expires the __ day
                                              of _________, 20__

                                      G-5
<PAGE>

                                    EXHIBIT H

                         FORM OF TRANSFEROR CERTIFICATE

                                                        __________, 20__

GS Mortgage Securities Corp.
85 Broad Street
New York, New York 10004
Attention:

JPMorgan Chase Bank, as Trustee

4 New York Plaza, 6th Floor
New York, New York 10004

Attention: Institutional Trust Services/Structured Finance Services; GSRPM
Mortgage Pass-Through Certificates, Series 2003-1

         GSRPM MORTGAGE LOAN TRUST 2003-1, MORTGAGE PASS-THROUGH CERTIFICATES,
         SERIES 2003-1 CLASS [ ]

Ladies and Gentlemen:

                  In connection with our disposition of the above Certificates
we certify that (a) we understand that the Certificates have not been registered
under the Securities Act of 1933, as amended (the "ACT"), and are being disposed
by us in a transaction that is exempt from the registration requirements of the
Act, (b) we have not offered or sold any Certificates to, or solicited offers to
buy any Certificates from, any person, or otherwise approached or negotiated
with any person with respect thereto, in a manner that would be deemed, or taken
any other action which would result in, a violation of Section 5 of the Act and
(c) to the extent we are disposing of a Residual Certificate, (A) we have no
knowledge the Transferee is not a Permitted Transferee and (B) after conducting
a reasonable investigation of the financial condition of the Transferee, we have
no knowledge and no reason to believe that the statements made in paragraphs 7,
10 and 11 of the Transferee's Residual Transfer Affidavit are false.

                                           Very truly yours,

                                           Print Name of Transferor

                                           By:__________________________________
                                                      Authorized Officer

                                      H-1

<PAGE>

                                    EXHIBIT I

                            FORM OF RULE 144A LETTER

                                                        ____________, 20__

GS Mortgage Securities Corp.
85 Broad Street
New York, New York 10004
Attention:

JPMorgan Chase Bank, as Trustee

4 New York Plaza, 6th Floor
New York, New York 10004

Attention: Institutional Trust Services/Structured Finance Services; GSRPM
Mortgage Pass-Through Certificates, Series 2003-1

         GSRPM MORTGAGE LOAN TRUST 2003-1, MORTGAGE PASS-THROUGH CERTIFICATES,
         SERIES 2003-1 CLASS [ ]

Ladies and Gentlemen:

                  In connection with our acquisition of the above Certificates
we certify that (a) we understand that the Certificates are not being registered
under the Securities Act of 1933, as amended (the "ACT"), or any state
securities laws and are being transferred to us in a transaction that is exempt
from the registration requirements of the Act and any such laws, (b) we have
such knowledge and experience in financial and business matters that we are
capable of evaluating the merits and risks of investments in the Certificates,
(c) we have had the opportunity to ask questions of and receive answers from the
Depositor concerning the purchase of the Certificates and all matters relating
thereto or any additional information deemed necessary to our decision to
purchase the Certificates, (d) we are not an employee benefit plan that is
subject to the Employee Retirement Income Security Act of 1974, as amended
("ERISA"), or a plan or arrangement that is subject to Section 4975 of the
Internal Revenue Code of 1986, as amended (the "CODE"), nor are we acting on
behalf of any such plan or arrangement nor using the assets of any such plan or
arrangement to effect such acquisition, (e) we have not, nor has anyone acting
on our behalf offered, transferred, pledged, sold or otherwise disposed of the
Certificates, any interest in the Certificates or any other similar security to,
or solicited any offer to buy or accept a transfer, pledge or other disposition
of the Certificates, any interest in the Certificates or any other similar
security from, or otherwise approached or negotiated with respect to the
Certificates, any interest in the Certificates or any other similar security
with, any person in any manner, or made any general solicitation by means of
general advertising or in any other manner, or taken any other action, that
would

                                      I-1
<PAGE>

constitute a distribution of the Certificates under the Securities Act or that
would render the disposition of the Certificates a violation of Section 5 of the
Securities Act or require registration pursuant thereto, nor will act, nor has
authorized or will authorize any person to act, in such manner with respect to
the Certificates, and (f) we are a "qualified institutional buyer" as that term
is defined in Rule 144A under the Securities Act and have completed either of
the forms of certification to that effect attached hereto as Annex 1 or Annex 2.
We are aware that the sale to us is being made in reliance on Rule 144A. We are
acquiring the Certificates for our own account or for resale pursuant to Rule
144A and further, understand that such Certificates may be resold, pledged or
transferred only (i) to a person reasonably believed to be a qualified
institutional buyer that purchases for its own account or for the account of a
qualified institutional buyer to whom notice is given that the resale, pledge or
transfer is being made in reliance on Rule 144A, or (ii) pursuant to another
exemption from registration under the Securities Act.

                                      I-2
<PAGE>

                                                            ANNEX 1 TO EXHIBIT I
                                                            --------------------

            QUALIFIED INSTITUTIONAL BUYER STATUS UNDER SEC RULE 144A
            --------------------------------------------------------

          [For Transferees Other Than Registered Investment Companies]

                  The undersigned (the "BUYER") hereby certifies as follows to
the parties listed in the Rule 144A Transferee Certificate to which this
certification relates with respect to the Certificates described therein:

                  1. As indicated below, the undersigned is the President, Chief
Financial Officer, Senior Vice President or other executive officer of the
Buyer.

                  2. In connection with purchases by the Buyer, the Buyer is a
"qualified institutional buyer" as that term is defined in Rule 144A under the
Securities Act of 1933, as amended ("RULE 144A"), because (i) the Buyer owned
and/or invested on a discretionary basis $ 8 in securities (except for the
excluded securities referred to below) as of the end of the Buyer's most recent
fiscal year (such amount being calculated in accordance with Rule 144A and (ii)
the Buyer satisfies the criteria in the category marked below.

                  ____     CORPORATION, ETC. The Buyer is a corporation (other
                           than a bank, savings and loan association or similar
                           institution), Massachusetts or similar business
                           trust, partnership, or charitable organization
                           described in Section 501(c)(3) of the Internal
                           Revenue Code of 1986, as amended.

                  ____     BANK. The Buyer (a) is a national bank or banking
                           institution organized under the laws of any State,
                           territory or the District of Columbia, the business
                           of which is substantially confined to banking and is
                           supervised by the State or territorial banking
                           commission or similar official or is a foreign bank
                           or equivalent institution, and (b) has an audited net
                           worth of at least $25,000,000 as demonstrated in its
                           latest annual financial statements, A COPY OF WHICH
                           IS ATTACHED HERETO.

                  ____     SAVINGS AND LOAN. The Buyer (a) is a savings and loan
                           association, building and loan association,
                           cooperative bank, homestead association or similar
                           institution, which is supervised and examined by a
                           State or Federal authority having supervision over
                           any such institutions or is a foreign savings and
                           loan association or equivalent institution and (b)
                           has an audited net worth of at least

----------
8        Buyer must own and/or invest on a discretionary basis at least
         $100,000,000 in securities unless Buyer is a dealer, and, in that case,
         Buyer must own and/or invest on a discretionary basis at least
         $10,000,000 in securities.

                                      I-3
<PAGE>

                           $25,000,000 as demonstrated in its latest annual
                           financial statements, A COPY OF WHICH IS ATTACHED
                           HERETO.

                  ____     BROKER-DEALER. The Buyer is a dealer registered
                           pursuant to Section 15 of the Securities Exchange Act
                           of 1934.

                  ____     INSURANCE COMPANY. The Buyer is an insurance company
                           whose primary and predominant business activity is
                           the writing of insurance or the reinsuring of risks
                           underwritten by insurance companies and which is
                           subject to supervision by the insurance commissioner
                           or a similar official or agency of a State, territory
                           or the District of Columbia.

                  ____     STATE OR LOCAL PLAN. The Buyer is a plan established
                           and maintained by a State, its political
                           subdivisions, or any agency or instrumentality of the
                           State or its political subdivisions, for the benefit
                           of its employees.

                  ____     ERISA PLAN. The Buyer is an employee benefit plan
                           within the meaning of Title I of the Employee
                           Retirement Income Security Act of 1974.

                  ____     INVESTMENT ADVISOR. The Buyer is an investment
                           advisor registered under the Investment Advisors Act
                           of 1940.

                  ____     SMALL BUSINESS INVESTMENT COMPANY. Buyer is a small
                           business investment company licensed by the U.S.
                           Small Business Administration under Section 301(c) or
                           (d) of the Small Business Investment Act of 1958.

                  ____     BUSINESS DEVELOPMENT COMPANY. Buyer is a business
                           development company as defined in Section 202(a)(22)
                           of the Investment Advisors Act of 1940.

                  3. The term "SECURITIES" as used herein DOES NOT INCLUDE (i)
securities of issuers that are affiliated with the Buyer, (ii) securities that
are part of an unsold allotment to or subscription by the Buyer, if the Buyer is
a dealer, (iii) securities issued or guaranteed by the U.S. or any
instrumentality thereof, (iv) bank deposit notes and certificates of deposit,
(v) loan participations, (vi) repurchase agreements, (vii) securities owned but
subject to a repurchase agreement and (viii) currency, interest rate and
commodity swaps.

                  4. For purposes of determining the aggregate amount of
securities owned and/or invested on a discretionary basis by the Buyer, the
Buyer used the cost of such securities to the Buyer and did not include any of
the securities referred to in the preceding paragraph, except (i) where the
Buyer reports its securities holdings in its financial statements on the basis
of their market value, and (ii) no current information

                                      I-4
<PAGE>

with respect to the cost of those securities has been published. If clause (ii)
in the preceding sentence applies, the securities may be valued at market.
Further, in determining such aggregate amount, the Buyer may have included
securities owned by subsidiaries of the Buyer, but only if such subsidiaries are
consolidated with the Buyer in its financial statements prepared in accordance
with generally accepted accounting principles and if the investments of such
subsidiaries are managed under the Buyer's direction. However, such securities
were not included if the Buyer is a majority-owned, consolidated subsidiary of
another enterprise and the Buyer is not itself a reporting company under the
Securities Exchange Act of 1934, as amended.

                  5. The Buyer acknowledges that it is familiar with Rule 144A
and understands that the seller to it and other parties related to the
Certificates are relying and will continue to rely on the statements made herein
because one or more sales to the Buyer may be in reliance on Rule 144A.

                  6. Until the date of purchase of the Rule 144A Securities, the
Buyer will notify each of the parties to which this certification is made of any
changes in the information and conclusions herein. Until such notice is given,
the Buyer's purchase of the Certificates will constitute a reaffirmation of this
certification as of the date of such purchase. In addition, if the Buyer is a
bank or savings and loan is provided above, the Buyer agrees that it will
furnish to such parties updated annual financial statements promptly after they
become available.

                                          ______________________________________
                                          Print Name of Transferor

                                          By:___________________________________
                                             Name:
                                             Title:

                                          Date:_________________________________

                                      I-5
<PAGE>

                                                            ANNEX 2 TO EXHIBIT I
                                                            --------------------

            QUALIFIED INSTITUTIONAL BUYER STATUS UNDER SEC RULE 144A
            --------------------------------------------------------

           [For Transferees That are Registered Investment Companies]

         The undersigned (the "BUYER") hereby certifies as follows to the
parties listed in the Rule 144A Transferee Certificate to which this
certification relates with respect to the Certificates described therein:

         1. As indicated below, the undersigned is the President, Chief
Financial Officer or Senior Vice President of the Buyer or, if the Buyer is a
"qualified institutional buyer" as that term is defined in Rule 144A under the
Securities Act of 1933, as amended ("RULE 144A"), because Buyer is part of a
Family of Investment Companies (as defined below), is such an officer of the
Adviser.

         2. In connection with purchases by Buyer, the Buyer is a "qualified
institutional buyer" as defined in SEC Rule 144A because (i) the Buyer is an
investment company registered under the Investment Company Act of 1940, as
amended and (ii) as marked below, the Buyer alone, or the Buyer's Family of
Investment Companies, owned at least $100,000,000 in securities (other than the
excluded securities referred to below) as of the end of the Buyer's most recent
fiscal year. For purposes of determining the amount of securities owned by the
Buyer or the Buyer's Family of Investment Companies, the cost of such securities
was used, except (i) where the Buyer or the Buyer's Family of Investment
Companies reports its securities holdings in its financial statements on the
basis of their market value, and (ii) no current information with respect to the
cost of those securities has been published. If clause (ii) in the preceding
sentence applies, the securities may be valued at market.

                  ____     The Buyer owned $ in securities (other than the
                           excluded securities referred to below) as of the end
                           of the Buyer's most recent fiscal year (such amount
                           being calculated in accordance with Rule 144A).

                  ____     The Buyer is part of a Family of Investment Companies
                           which owned in the aggregate $ in securities (other
                           than the excluded securities referred to below) as of
                           the end of the Buyer's most recent fiscal year (such
                           amount being calculated in accordance with Rule
                           144A).

         3. The term "FAMILY OF INVESTMENT COMPANIES" as used herein means two
or more registered investment companies (or series thereof) that have the same
investment adviser or investment advisers that are affiliated (by virtue of
being majority owned subsidiaries of the same parent or because one investment
adviser is a majority owned subsidiary of the other).

                                      I-6
<PAGE>

         4. The term "SECURITIES" as used herein does not include (i) securities
of issuers that are affiliated with the Buyer or are part of the Buyer's Family
of Investment Companies, (ii) securities issued or guaranteed by the U.S. or any
instrumentality thereof, (iii) bank deposit notes and certificates of deposit,
(iv) loan participations, (v) repurchase agreements, (vi) securities owned but
subject to a repurchase agreement and (vii) currency, interest rate and
commodity swaps.

         5. The Buyer is familiar with Rule 144A and understands that the
parties listed in the Rule 144A Transferee Certificate to which this
certification relates are relying and will continue to rely on the statements
made herein because one or more sales to the Buyer will be in reliance on Rule
144A. In addition, the Buyer will only purchase for the Buyer's own account.

         6. Until the date of purchase of the Certificates, the undersigned will
notify the parties listed in the Rule 144A Transferee Certificate to which this
certification relates of any changes in the information and conclusions herein.
Until such notice is given, the Buyer's purchase of the Certificates will
constitute a reaffirmation of this certification by the undersigned as of the
date of such purchase.

                                           _____________________________________
                                           Print Name of Transferor

                                           By:__________________________________
                                               Name:
                                               Title:

                                           IF AN ADVISER:

                                           _____________________________________
                                           Print Name of Buyer
Date:

                                      I-7
<PAGE>

                                   Exhibit J-1

                          [Form of Request for Release]

LOAN INFORMATION

         Name of Mortgagor:_____________________________________________

         Servicer
         Loan No.:______________________________________________________

TRUSTEE

         Name:                     JPMORGAN CHASE BANK
              ----------------------------------------------------------
         Address:-________________________________________, NEW YORK, NEW YORK

Custodian/Trustee
Mortgage File No.:______________________________________________________

Certificates:     GSRPM Mortgage Pass-Through Certificates, Series 2003-1

                  We the undersigned, as a Servicer, hereby acknowledges that it
has received from JPMorgan Chase Bank, as trustee (the "TRUSTEE") for the
Holders of GSRPM Mortgage Pass-Through Certificates, Series 2003-1, the
documents referred to below (the "DOCUMENTS"). All capitalized terms not
otherwise defined in this Request for Release shall have the meanings given them
in the Trust and Servicing Agreement dated as of January 1, 2003, among GS
Mortgage Securities Corp., as depositor, Fairbanks Capital Corp., as a Servicer,
Wilshire Credit Corporation, as a Servicer and Master Servicer and JPMorgan
Chase Bank, as Trustee (the "TRUST AND SERVICING AGREEMENT").

Documents
---------

[Servicer to identify documents with particularity below]

                  [Fairbanks] [Wilshire] hereby acknowledges and agrees as
follows:

                  (1) [Fairbanks] [Wilshire] shall hold and retain possession of
the Documents in trust for the benefit of the Trustee, solely for the purposes
provided in the Trust and Servicing Agreement.

                  (2) [Fairbanks] [Wilshire] shall not cause or permit the
Documents to become subject to, or encumbered by, any claim, liens, security
interest, charges, writs of

                                     J-1-1
<PAGE>

attachment or other impositions nor shall [Fairbanks] [Wilshire] assert or seek
to assert any claims or rights of set-off to or against the Documents or any
proceeds thereof.

                  (3) [Fairbanks] [Wilshire] shall return the Documents to the
Trustee when the need therefor no longer exists, unless the Mortgage Loan
relating to the Documents has been liquidated and the proceeds thereof have been
remitted to the related Collection Account and except as expressly provided in
the Trust and Servicing Agreement.

                  (4) The Documents and any proceeds thereof, including any
proceeds of proceeds, coming into the possession or control of [Fairbanks]
[Wilshire] shall at all times be earmarked for the account of the Trustee, and
[Fairbanks] [Wilshire] shall keep the Documents and any proceeds separate and
distinct from all other property in the possession, custody or control of
[Fairbanks] [Wilshire].

                                        [Fairbanks Capital Corp.]
                                        [wilshire credit corporation]

                                        By:  ___________________________________
                                        Name:___________________________________
                                        Title:__________________________________

Date:             _________

                                     J-1-2
<PAGE>

                                   EXHIBIT J-2
                           Paperless Release Template

<TABLE>
<CAPTION>
Loan Number  Pool    Doc Code   Release   Alternate   Requested      Attention     Ship to   Ship to  Ship to  Ship to
              name              Reason   Loan Number      By      Name/Department   Address    City    State      ZIP
<S>          <C>

</TABLE>

                                     J-2-1
<PAGE>

                                    EXHIBIT K

                            FORM CERTIFICATION TO BE
                             PROVIDED WITH FORM 10-K
                             -----------------------

                 GSRPM Mortgage Loan Trust 2003-1 (the "Trust")
                       Mortgage Pass-Through Certificates
                                  Series 2003-1

I, [identify the certifying individual], certify that:

I have reviewed this annual report on Form 10-K, and all reports on Form 8-K
containing distribution date reports filed in respect of periods included in the
year covered by this annual report, of the Trust;

Based on my knowledge, the information in these reports, taken as a whole, does
not contain any untrue statement of a material fact or omit to state a material
fact necessary to make the statements made, in light of the circumstances under
which such statements were made, not misleading as of the last day of the period
covered by this annual report;

Based on my knowledge, the servicing information required to be provided to the
trustee by the related servicer under the trust and servicing agreement is
included in these reports;

I am responsible for reviewing the activities performed by the related servicer
under the trust and servicing agreement and based upon the review required under
the trust and servicing agreement, and except as disclosed in the report, the
related servicer has fulfilled its obligations under the trust and servicing
agreement; and

I have disclosed to the related servicer's certified public accountants all
significant deficiencies relating to the related servicer's compliance with the
minimum servicing standards in accordance with a review conducted in compliance
with the Uniform Single Attestation Program for Mortgage Bankers or similar
standard as set forth in the trust and servicing agreement.

Date:    _________________________
_______________________________
[Signature]
[Title]

                                      K-1

<PAGE>

                                   EXHIBIT L-1

              FORM OF CERTIFICATION TO BE PROVIDED TO THE DEPOSITOR

                                 BY THE TRUSTEE

[Depositor Address]

Re:      GSRPM Mortgage Pass-Through Certificates, Series 2003-1

         Reference is made to the Trust and Servicing Agreement, dated as of
January 1, 2003 (the "Trust and Servicing Agreement"), by and among JPMorgan
Chase Bank (the "Trustee"), Fairbanks Capital Corp., as a Servicer, Wilshire
Credit Corp., as a Servicer and as Master Servicer and GS Mortgage Securities
Corp., as Depositor. The Trustee hereby certifies to the Depositor, and its
officers, directors and affiliates, and with the knowledge and intent that they
will rely upon this certification, that:

         (i)      The Trustee has reviewed the annual report on Form 10-K for
                  the fiscal year [ ], and all reports on Form 8-K containing
                  distribution reports filed in respect of periods included in
                  the year covered by that annual report, relating to the
                  above-referenced trust;

         (ii)     Subject to paragraph (iv), the distribution information in the
                  distribution reports contained in all Monthly Form 8-K's
                  included in the year covered by the annual report on Form 10-K
                  for the calendar year [___], taken as a whole, does not
                  contain any untrue statement of a material fact or omit to
                  state a material fact required by the Trust and Servicing
                  Agreement to be included therein and necessary to make the
                  statements made, in light of the circumstances under which
                  such statements were made, not misleading as of the last day
                  of the period covered by that annual report;

         (iii)    The distribution information required to be provided by the
                  Trustee under the Trust and Servicing Agreement is included in
                  these reports.

         (iv)     In compiling the distribution information and making the
                  foregoing certifications, the Trustee has relied upon
                  information furnished to it by the Servicers under the Trust
                  and Servicing Agreement. The Trustee shall have no
                  responsibility or liability for any inaccuracy in such reports
                  resulting from information so provided by the Servicers.

Date:
                                    JPMORGAN CHASE BANK, as Trustee

                                    By:      ____________________________
                                    Name:    ____________________________
                                    Title:   ____________________________

                                      L-1

<PAGE>

                                   EXHIBIT L-2

                           FORM OF CERTIFICATION TO BE
                              PROVIDED TO DEPOSITOR

                 GSRPM Mortgage Loan Trust 2003-1 (the "TRUST")
                       Mortgage Pass-Through Certificates
                                  Series 2003-1

         I, [identify the certifying individual], certify to GS Mortgage
Securities Corp., and [its] officers, directors and affiliates, and with the
knowledge and intent that they will rely upon this certification, that:

         1.       I am responsible for reviewing the activities performed by the
                  servicer under the trust and servicing agreement and based
                  upon the review required under the trust and servicing
                  agreement, and except as disclosed in the report, the servicer
                  has fulfilled its obligations under the trust and servicing
                  agreement; and

         2.       I have disclosed to the servicer's certified public
                  accountants all significant deficiencies relating to the
                  servicer's compliance with the minimum servicing standards in
                  accordance with a review conducted in compliance with the
                  Uniform Single Attestation Program for Mortgage Bankers or
                  similar standard as set forth in the trust and servicing
                  agreement.

Date:    _________________________
_______________________________
[Signature]
[Title]

                                      L-2

<PAGE>

                                    EXHIBIT M

                                 SALE AGREEMENTS

                                      M-1

<PAGE>

                                    EXHIBIT N
                           WILSHIRE HOEPA CALCULATION

Wilshire will add all fees shown on the Section 32 disclosure except for the
following fees if (a) the HUD statement shows that such fees were not paid to
the creditor or affiliate thereof and (b) Wilshire in its discretion believes
such third party fees are not unreasonable:

                                  Appraisal Fee
                                Credit Report Fee
                                  Doc Prep Fee
                               Document Stamp Fee
                                 Intangible Tax
                                    Other Tax
                                  Title Report
                              Title Examination Fee
                                   Notary Fee
                                 Recording Fees
                                 Title Insurance
                                      OtherEXECUTION COPY

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

                          ABN AMRO MORTGAGE CORPORATION

                                    Depositor

                                       and

                          ABN AMRO MORTGAGE GROUP, INC.

                                    Servicer

                                       and

                               JPMORGAN CHASE BANK

                                     Trustee

                              _____________________

                         POOLING AND SERVICING AGREEMENT

                           Dated as of January 1, 2003

                              _____________________

                                  $221,905,051

                       Mortgage Pass-Through Certificates

                                  Series 2003-1

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

<PAGE>

                                TABLE OF CONTENTS

                                    ARTICLE I

                                   DEFINITIONS

                                   ARTICLE II

                            CONVEYANCE OF TRUST FUND;
                        ORIGINAL ISSUANCE OF CERTIFICATES
Section 2.1     Conveyance of Trust Fund......................................33
Section  2.2    Acceptance by Trustee.........................................36
Section  2.3    Representations and Warranties of the Depositor with
                respect to the Loans..........................................38
Section  2.4    Authentication and Delivery of Certificates; Designation of
                Certificates as REMIC Regular and Residual Interests..........42
Section  2.5    Designation of Startup Day....................................43
Section  2.6    No Contributions..............................................43
Section  2.7    Representations and Warranties of the Servicer................43

                                   ARTICLE III

                      ADMINISTRATION AND SERVICING OF LOANS
Section  3.1    Servicer to Act as Servicer; Administration of the Loans......45
Section  3.2    Collection of Certain Loan Payments; Custodial
                Account for P&I...............................................48
Section  3.3    Permitted Withdrawals from the Custodial Account for P&I......50
Section  3.4    Taxes, Assessments and Similar Items; Escrow Accounts.........51
Section  3.5    Maintenance of Insurance......................................52
Section  3.6    Enforcement of Due-on-Sale Clauses; Assumption
                and Substitution Agreements...................................53
Section  3.7    Realization upon Defaulted Loans..............................54
Section  3.8    Trustee to Cooperate; Release of Mortgage Files...............56
Section  3.9    Servicing Compensation........................................57
Section  3.10   Reports to the Trustee; Custodial Account for P&I Statements..57
Section  3.11   Annual Statement as to Compliance.............................58
Section  3.12   Annual Independent Public Accountants' Servicing Report.......58
Section  3.13   Access to Certain Documentation and Information
                Regarding the Loans...........................................59
Section  3.14   [Reserved]....................................................59
Section  3.15   Sale of Defaulted Loans and REO Properties....................59
Section  3.16   Delegation of Duties..........................................60

                                        i

<PAGE>

Section  3.17   [Reserved]....................................................61
Section  3.18   [Reserved]....................................................61
Section  3.19   Appointment of a Special Servicer.............................61
Section  3.20   Allocation of Realized Losses.................................61

                                   ARTICLE IV

                    PAYMENTS TO CERTIFICATEHOLDERS; ADVANCES;
                             STATEMENTS AND REPORTS
Section  4.1    Distributions to Certificateholders...........................63
Section  4.2    Statements to Certificateholders; Exchange Act Reporting......64
Section  4.3    Advances by the Servicer; Distribution Reports to the
                Trustee.......................................................66
Section  4.4    Nonrecoverable Advances.......................................67
Section  4.5    Foreclosure Reports...........................................67
Section  4.6    Adjustment of Servicing Fees with Respect to Payoffs..........67
Section  4.7    Prohibited Transactions Taxes and Other Taxes.................68
Section  4.8    Tax Administration............................................68
Section  4.9    Equal Status of Servicing Fee.................................69
Section  4.10   Appointment of Paying Agent and Certificate Administrator.....69

                                    ARTICLE V

                                THE CERTIFICATES
Section  5.1    The Certificates..............................................70
Section  5.2    Certificates Issuable in Classes; Distributions of
                Principal and Interest; Authorized Denominations..............76
Section  5.3    Registration of Transfer and Exchange of Certificates.........76
Section  5.4    Mutilated, Destroyed, Lost or Stolen Certificates.............77
Section  5.5    Persons Deemed Owners.........................................78
Section  5.6    Temporary Certificates........................................78
Section  5.7    Book-Entry for Book-Entry Certificates........................78
Section  5.8    Notices to Clearing Agency....................................79
Section  5.9    Definitive Certificates.......................................80

                                   ARTICLE VI

                         THE DEPOSITOR AND THE SERVICER
Section 6.1     Liability of the Depositor and the Servicer...................81
Section  6.2    Merger or Consolidation of the Depositor or the Servicer......81
Section  6.3    Limitation on Liability of the Servicer and Others............81

                                       ii

<PAGE>

Section  6.4    Servicer Not to Resign........................................82

                                   ARTICLE VII

                                     DEFAULT
Section  7.1    Events of Default.............................................83
Section  7.2    Other Remedies of Trustee.....................................84
Section  7.3    Directions by Certificateholders and Duties of Trustee
                During Event of Default.......................................84
Section  7.4    Action upon Certain Failures of Servicer and upon Event
                of Default....................................................85
Section  7.5    Appointment of Successor Servicer.............................85
Section  7.6    Notification to Certificateholders............................87

                                  ARTICLE VIII

                             CONCERNING THE TRUSTEE
Section  8.1    Duties of Trustee.............................................88
Section  8.2    Certain Matters Affecting Trustee.............................90
Section  8.3    Trustee Not Required to Make Investigation....................90
Section  8.4    Trustee Not Liable for Certificates or Loans..................91
Section  8.5    Trustee May Own Certificates..................................91
Section  8.6    Servicer to Pay Trustee's Fees and Expenses...................91
Section  8.7    Eligibility Requirements for Trustee..........................92
Section  8.8    Resignation and Removal of Trustee............................92
Section  8.9    Successor Trustee.............................................93
Section  8.10   Merger or Consolidation of Trustee............................94
Section  8.11   Appointment of Co-Trustee or Separate Trustee.................94
Section  8.12   Appointment of Custodians.....................................95
Section  8.13   Authenticating Agent..........................................95
Section  8.14   Bloomberg.....................................................96
Section  8.15   Reports to Securities and Exchange Commission.................96

                                   ARTICLE IX

                                   TERMINATION
Section  9.1    Termination upon Purchase by the Servicer or Liquidation
                of All Loans..................................................97
Section  9.2    Trusts Irrevocable............................................98
Section  9.3    Additional Termination Requirements...........................98

                                       iii

<PAGE>

                                    ARTICLE X

                            MISCELLANEOUS PROVISIONS
Section  10.1   Amendment....................................................100
Section  10.2   Recordation of Agreement.....................................101
Section  10.3   Limitation on Rights of Certificateholders...................101
Section  10.4   Governing Law; Jurisdiction..................................102
Section  10.5   Notices......................................................102
Section  10.6   Severability of Provisions...................................103

                                       iv

<PAGE>

EXHIBITS

Exhibit A    -   Forms of Certificates
Exhibit B    -   Form of Residual Certificate
Exhibit C    -   [Reserved]
Exhibit D    -   Schedule of Loans
Exhibit E    -   Fields of Loan Information
Exhibit F    -   Form of Transfer Certificate for Exchange or Transfer From Rule
                 144A Global Certificate to Regulation S Global Certificate
Exhibit G    -   Form of Transfer Certificate for Exchange or Transfer
                 From Regulation S Global Certificate to Rule 144A Global
                 Certificate
Exhibit H-1  -   Form of Final Certification
Exhibit H-2  -   Form of Interim Certification
Exhibit I    -   Form of Transferor Certificate
Exhibit J    -   Form of Transferee Affidavit and Agreement
Exhibit K    -   Form of Additional Matter Incorporated into the Form of the
                 Certificates
Exhibit L    -   Form of Rule 144A Investment Representation
Exhibit M    -   [Reserved]
Exhibit N    -   [Reserved]
Exhibit O    -   [Reserved]
Exhibit P    -   [Reserved]
Exhibit Q    -   Bloomberg Data
Exhibit R    -   Form of Special Servicing Agreement
Exhibit S    -   Form of Form 10-K Certificate
Exhibit T    -   Form of Back-up Certification to Form 10-K Certificate

                                        v

<PAGE>

     This Pooling and Servicing Agreement, dated and effective as of January 1,
2003 (this "Agreement"), is executed by and among ABN AMRO Mortgage Corporation,
as depositor (the "Depositor"), ABN AMRO Mortgage Group, Inc., as servicer (the
"Servicer"), and JPMorgan Chase Bank, as trustee (the "Trustee"). Capitalized
terms used in this Agreement and not otherwise defined have the meanings
ascribed to such terms in Article I hereof.

                              PRELIMINARY STATEMENT

     The Depositor at the Closing Date is the owner of the 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 Loans and
certain other assets and will be the owner of the Certificates. The Depositor
has duly authorized the execution and delivery of this Agreement to provide for
the conveyance to the Trustee of the Loans and the issuance to the Depositor of
the Certificates representing in the aggregate the entire beneficial ownership
of the Trust Fund. All covenants and agreements made by the Depositor, the
Servicer and the Trustee herein with respect to the 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 Servicer are entering into this
Agreement, and the Trustee is accepting the trust created hereby, for good and
valuable consideration, the receipt and sufficiency of which are hereby
acknowledged.

     The Certificates issued hereunder, other than the Class B-3, Class B-4 and
Class B-5 Certificates have been offered for sale pursuant to a Prospectus,
dated January 23, 2003, and a Prospectus Supplement, dated January 23, 2003 of
the Depositor (together, the "Prospectus"). The Class B-3, Class B-4 and Class
B-5 Certificates have been offered for sale pursuant to a Private Placement
Memorandum dated January 29, 2003. The Trust Fund created hereunder is intended
to be the "Trust" as described in the Prospectus and the Private Placement
Memorandum and the Certificates are intended to be the "Certificates" described
therein.

     As provided herein, the Trustee will elect to treat the segregated pool of
assets consisting of the Loans and other related assets in the Trust Fund
subject to this Agreement as a REMIC for federal income tax purposes, and such
segregated pool of assets will be designated as the "REMIC." The Class R
Certificate will represent the sole class of "residual interest" in the REMIC
for purposes of the REMIC Provisions under federal income tax law.

     The following table irrevocably sets forth the designations, the Remittance
Rate and initial Class Principal Balance for each Class of Certificates which,
together with the Class R Certificate, constitute the entire beneficial
interests in the REMIC. Determined solely for purposes of satisfying Treasury
regulation section 1.860G-1(a)(4)(iii), the "latest possible maturity date" for
each of the REMIC Regular Interests and for each Class of Certificates shall be
the first Distribution Date that is at least two years after the end of the
remaining amortization schedule of the Loan in the Mortgage Pool that has, as of
the Closing Date, the longest remaining amortization schedule, irrespective of
its scheduled maturity:

<PAGE>

                                   INITIAL CLASS
                                     PRINCIPAL
                    REMITTANCE      OR NOTIONAL            LAST SCHEDULED
    DESIGNATION      RATE (1)         BALANCE            DISTRIBUTION DATE*
   -------------   ------------   ----------------     ---------------------
    Class A-1         5.00%        $39,359,900.00        February 25, 2018
    Class A-2         5.00%        144,502,000.00        February 25, 2018
    Class A-3         5.00%         16,818,000.00        February 25, 2018
    Class A-4         5.00%         17,910,000.00        February 25, 2018
    Class A-X         5.00%(2)      17,063,813.66        February 25, 2018
    Class A-P         0.00%(3)         540,822.30        February 25, 2018
    Class M           5.00%          1,331,430.00        February 25, 2018
    Class B-1         5.00%            554,762.00        February 25, 2018
    Class B-2         5.00%            443,810.00        February 25, 2018
    Class B-3         5.00%            110,952.00        February 25, 2018
    Class B-4         5.00%            110,952.00        February 25, 2018
    Class B-5         5.00%            222,323.22        February 25, 2018
    Class R+          5.00%            $100.00(4)        February 25, 2018

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

*        The Distribution Date in the month after the maturity date for the
         latest maturing Loan.
+        The Class R Certificate is entitled to receive the Residual
         Distribution Amount and Excess Liquidation Proceeds.
(1)      Interest distributed to the Certificates (other than the Principal Only
         Certificates) on each Distribution Date will have accrued during the
         preceding calendar month at the applicable per annum Remittance Rate.
(2)      The Class A-X Certificates will accrue interest on the Class A-X
         Notional Amount (as defined herein).
(3)      The Class A-P Certificates will not be entitled to distributions of
         interest and will receive principal only in respect of the Loans with
         Pass-Through Rates that are less than 5.00% per annum.
(4)      The Class R Certificate will represent the sole residual interest in
         the REMIC (as defined herein).

                                        2

<PAGE>

                                W I T N E S S E T H
                                - - - - - - - - - -

     In consideration of the mutual agreements herein contained, the Depositor,
the Servicer and the Trustee agree as follows:

                                    ARTICLE I

                                   DEFINITIONS

     Whenever used herein, the following words and phrases, unless the context
otherwise requires, shall have the meanings specified in this Article:

     ADVANCE: An Advance made by the Servicer pursuant to Section 4.3.

     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. The Trustee may obtain
and rely on an Officer's Certificate of the Servicer or the Depositor to
determine whether any Person is an Affiliate of such party.

     AGGREGATE CERTIFICATE PRINCIPAL BALANCE: At any given time, the sum of the
then current Class Principal Balances of all Classes of Certificates.

     AGREEMENT: This Pooling and Servicing Agreement and all amendments and
supplements hereto.

     ALTA: The American Land Title Association, or any successor.

     ANNIVERSARY: Each anniversary of the Cut-off Date.

     APPRAISED VALUE: The amount set forth in an appraisal made by or for the
mortgage originator in connection with its origination of each Loan.

     ASSIGNMENT: An assignment of the Mortgage, notice of transfer or equivalent
instrument, in recordable form, sufficient under the laws of the jurisdiction
where the related Mortgaged Property is located to reflect of record the sale
and assignment of the Loan to the Trustee, which assignment, notice of transfer
or equivalent instrument may, if permitted by law, be in the form of one or more
blanket assignments covering Mortgages secured by Mortgaged Properties located
in the same county.

                                        3

<PAGE>

     AUTHENTICATING AGENT: Any authenticating agent appointed by the Trustee
pursuant to Section 8.13.

     AUTHORIZED DENOMINATION: With respect to the Certificates (other than the
Retail Certificates, Class A-X Certificates, Junior Subordinate Certificates and
the Class R Certificate), an initial Certificate Principal Balance equal to
$25,000 each and integral multiples of $1 in excess thereof. With respect to the
Retail Certificates, an initial Certificate Principal Balance equal to $1,000
each and integral multiples of $1 in excess thereof. With respect to the Class
A-X Certificates, an Initial Notional Amount equal to $500,000 each and integral
multiples of $1 in excess thereof. With respect to the Class R Certificate, one
Certificate with a Percentage Interest equal to 100%. With respect to the Junior
Subordinate Certificates, an initial Certificate Principal Balance equal to
$250,000 each and integral multiples of $1 in excess thereof, except that one
Certificate of each class may be issued in an amount that is not a multiple of
$1.

     AVAILABLE DISTRIBUTION AMOUNT: With respect to the Loans, the sum of the
following amounts:

     (1) the total amount of all cash received by or on behalf of the Servicer
with respect to such Loans by the Determination Date for such Distribution Date
and not previously distributed (including Liquidation Proceeds and Insurance
Proceeds), except:

          (a) all Prepaid Monthly Payments;

          (b) all Curtailments received after the applicable Prepayment Period
     (together with any interest payment received with such prepayments to the
     extent that it represents the payment of interest accrued on a related Loan
     subsequent to the applicable Prepayment Period);

          (c) all Payoffs received after the applicable Prepayment Period
     (together with any interest payment received with such Payoffs to the
     extent that it represents the payment of interest accrued on such Loan for
     the period subsequent to the applicable Prepayment Period);

          (d) Insurance Proceeds and Liquidation Proceeds on such Loans received
     after the applicable Prepayment Period;

          (e) all amounts in the Custodial Account for P & I which are due and
     reimbursable to the Servicer pursuant to the terms of this Agreement;

          (f) the Servicing Fee for each such Loan; and

          (g) Excess Liquidation Proceeds;

                                        4

<PAGE>

     (2) to the extent advanced by the Servicer and not previously distributed,
the amount of any Advance made by the Servicer to the Trustee with respect to
such Distribution Date relating to such Loans;

     (3) to the extent advanced by the Servicer and not previously distributed,
any amount payable as Compensating Interest by the Servicer on such Distribution
Date relating to such Loans; and

     (4) the total amount, to the extent not previously distributed, of all cash
received by the Distribution Date by the Trustee or the Servicer, in respect of
a Purchase Obligation under Section 2.2 and Section 2.3 or any permitted
repurchase of a Loan.

     BANKRUPTCY COVERAGE: As of the Cut-Off Date, $100,000, and thereafter, the
initial Bankruptcy Coverage amount, less (a) any scheduled or permissible
reduction in the amount of Bankruptcy Coverage pursuant to this definition and
(b) Bankruptcy Losses allocated to the Certificates. The Bankruptcy Coverage may
be reduced upon written confirmation from each Rating Agency that such reduction
will not adversely affect the then current ratings assigned to the Certificates
by each Rating Agency.

     BANKRUPTCY LOSS: A loss on a Loan arising out of (i) a reduction in the
scheduled Monthly Payment for such Loan by a court of competent jurisdiction in
a case under the United States Bankruptcy Code, other than any such reduction
that arises out of clause (ii) of this definition of "Bankruptcy Loss,"
including, without limitation, any such reduction that results in a permanent
forgiveness of principal, or (ii) with respect to any Loan, a valuation, by a
court of competent jurisdiction in a case under such Bankruptcy Code, of the
related Mortgaged Property in an amount less than the then outstanding Principal
Balance of such Loan.

     BENEFICIAL HOLDER: A Person holding a beneficial interest in any Book-Entry
Certificate as or through a DTC Participant or an Indirect DTC Participant or a
Person holding a beneficial interest in any Definitive Certificate.

     BOOK-ENTRY CERTIFICATES: The Class A Certificates, the Class M
Certificates, the Class B-1 Certificates and the Class B-2 Certificates,
beneficial ownership and transfers of which shall be made through book entries
as described in Section 5.7.

     BUSINESS DAY: Any day other than a Saturday, a Sunday, or a day on which
banking institutions in Chicago, Illinois or New York, New York, are authorized
or obligated by law or executive order to be closed.

     CERTIFICATE: Any one of the Certificates issued pursuant to this Agreement,
executed by the Trustee and authenticated by or on behalf of the Trustee
hereunder in substantially one of the forms set forth in Exhibits A and B
hereto. The additional matter appearing in Exhibit K shall be deemed
incorporated into Exhibits A and B as though set forth at the end of Exhibit A
and at the end of Exhibit B, as applicable.

                                        5

<PAGE>

     CERTIFICATE ACCOUNT: The separate trust account created and maintained with
the Trustee or any other bank or trust company acceptable to each Rating Agency
which is incorporated or organized under the laws of the United States or any
state thereof, which account shall bear a designation clearly indicating that
the funds deposited therein are held in trust for the benefit of the Trustee on
behalf of the Certificateholders or any other account serving a similar function
acceptable to each Rating Agency. Funds in the Certificate Account in respect of
the Loans and amounts withdrawn from the Certificate Account attributable to the
Loans shall be accounted for separately. If the Trustee has appointed a
Certificate Administrator pursuant to Section 4.10, funds on deposit in the
Certificate Account may be invested in Eligible Investments and reinvestment
earnings thereon shall be paid to the Certificate Administrator as additional
compensation for the Certificate Administrator's performance of the duties
delegated to it by the Trustee. Funds deposited in the Certificate Account
(exclusive of the Servicing Fee) shall be held in trust for the
Certificateholders and for the uses and purposes set forth in Section 3.2,
Section 3.3 and Section 4.1.

     CERTIFICATE ADMINISTRATOR: As defined in Section 4.10.

     CERTIFICATE ADMINISTRATOR AND TRUSTEE FEE: For each Loan, a fee per annum
equal to 0.0100%, of the outstanding Principal Balance thereof which shall be
paid by the Servicer to the Certificate Administrator and the Trustee.

     CERTIFICATE DISTRIBUTION AMOUNT: (I) For any Distribution Date prior to the
Credit Support Depletion Date, the Available Distribution Amount shall be
distributed to the Certificates in the following amounts and priority:

     (a) with respect to the Senior Certificates (references within this
paragraph (I)(a) to specified Classes shall be deemed to be references to
Classes within paragraph (I)(a) of this definition):

          (1) first, the Discount Fractional Principal Amount, to the Class A-P
     Certificates for such Distribution Date;

          (2) second, interest to the Senior Certificates (other than the Class
     A-P Certificates) previously unpaid and then current Interest Distribution
     Amount for such Classes of Certificates (other than the Class A-P
     Certificates), pro rata according to their respective shares of such
     amounts;

          (3) third, the Senior Principal Amount to the Senior Certificates then
     entitled to principal (other than the Class A-P Certificates), in the
     following order of priority:

          (a)  first, to the Class R Certificate, until its Class Principal
               Balance has been reduced to zero; and

          (b)  second, the Senior Principal Amount remaining after the
               distribution, if any, in clause (3)(a) above shall be distributed
               concurrently as follows:

                                        6

<PAGE>

               (i)  18.0062756788% to the Class A-1 Certificates, until its
                    Class Principal Balance has been reduced to zero; and

               (ii) 81.9937243212% sequentially as follows:

                    (A)  first, to the Class A-4 Certificates, up to the Lockout
                         Principal Amount, until its Class Principal Balance has
                         been reduced to zero;

                    (B)  second, to the Class A-2 Certificates, until its Class
                         Principal Balance has been reduced to zero;

                    (C)  third, to the Class A-3 Certificates, until its Class
                         Principal Balance has been reduced to zero; and

                    (D)  fourth, to the Class A-4 Certificates, until its Class
                         Principal Balance has been reduced to zero;

          (4) fourth, to the Class A-P Certificates, up to the Subordinate
     Principal Amount (determined without regard to the proviso of such
     definition) for such Distribution Date, the Discount Fractional Principal
     Shortfall amount payable to the Class A-P Certificates on previous
     Distribution Dates pursuant to clause (I)(a)(5) of this definition of
     "Certificate Distribution Amount" and remaining unpaid from such previous
     Distribution Dates; and

          (5) fifth, to the Class A-P Certificates, up to the Subordinate
     Principal Amount (determined without regard to the proviso of such
     definition) for such Distribution Date (less any amounts distributed to the
     Class A-P Certificates pursuant to paragraph (I)(a)(4)), the Discount
     Fractional Principal Shortfall; provided that any amounts distributed in
     respect of the Discount Fractional Principal Shortfall pursuant to
     paragraph (I)(a)(4) or this paragraph (I)(a)(5) of this definition of
     "Certificate Distribution Amount" shall not cause a further reduction of
     the Class A-P Class Principal Balance; and

     (b) with respect to the Senior Certificates and Subordinate Certificates,
     on any Distribution Date prior to the Credit Support Depletion Date, to the
     extent of the Available Distribution Amount remaining:

          (i) first, to the Class M, Class B-1, Class B-2, Class B-3, Class B-4
          and Class B-5 Certificates, in their order of seniority, the
          following:

               (a) their respective amounts of previously unpaid and then
     current Interest Distribution Amounts;

               (b) their pro rata share, according to their respective Class
     Principal

                                        7

<PAGE>

     Balances, of the Subordinate Principal Amount allocable pursuant to the
     definition of "Subordinate Principal Amount" herein, until their Class
     Principal Balances have been reduced to zero;

          (ii) second, to the Senior Certificates and Subordinate Certificates
          in their order of seniority, the amount of unreimbursed Realized
          Losses previously allocated to such Class of Certificates, if any,
          provided, that any amounts distributed in respect of losses pursuant
          to this paragraph (I)(b)(ii) of this definition of "Certificate
          Distribution Amount" shall not cause a further reduction in the Class
          Principal Balances of the Senior Certificates or Subordinate
          Certificates; and

          (iii) third, to the Class R Certificate, the Residual Distribution
          Amount;

     (II) for any Distribution Date on or after the Credit Support Depletion
     Date, the Available Distribution Amount remaining, shall be distributed to
     the outstanding Senior Certificates in the following amounts and priority:

               (a) first, to the Class A-P Certificates, the Discount Fractional
     Principal Amount for such Distribution Date;

               (b) second, to the Senior Certificates (excluding the Principal
     Only Certificates), previously unpaid and then current Interest
     Distribution Amounts, pro rata, according to such amount payable to the
     extent of amounts available;

               (c) third, to the Senior Certificates (other than the Interest
     Only Certificates and the Class A-P Certificates), the Senior Principal
     Amount, pro rata, according to their respective Class Principal Balances;

               (d) fourth, to the Senior Certificates, pro rata, according to
     their respective Class Principal Balances, the amount of unreimbursed
     Realized Losses previously allocated to such Class; and

               (e) fifth, to the Class R Certificate, the Residual Distribution
     Amount for such Distribution Date.

     CERTIFICATE PRINCIPAL BALANCE: For each Certificate of any Class, the
portion of the related Class Principal Balance, if any, represented by such
Certificate.

     CERTIFICATE REGISTER AND CERTIFICATE REGISTRAR: The register maintained and
the registrar appointed, respectively, pursuant to Section 5.3. Initially, the
Certificate Registrar shall be LaSalle Bank National Association.

     CERTIFICATEHOLDER OR HOLDER: The person in whose name a Certificate is
registered in the

                                        8

<PAGE>

Certificate Register, except that, solely for the purposes of giving any consent
pursuant to this Agreement, any Certificate registered in the name of the
Depositor, the Certificate Administrator, the Servicer or any Affiliate thereof
shall be deemed not to be outstanding and the Percentage Interest evidenced
thereby shall not be taken into account in determining whether the requisite
percentage of Percentage Interests necessary to effect any such consent has been
obtained; provided, that the Trustee, the Certificate Registrar and the Paying
Agent may conclusively rely upon an Officer's Certificate to determine whether
any Person is an Affiliate of the Depositor, the Certificate Administrator or
the Servicer.

     CERTIFICATEHOLDERS' REPORT: As defined in Section 4.2(a).

     CLASS: All Certificates having the same priority and rights to payments
from the Available Distribution Amount, designated as a separate Class, as set
forth in the forms of Certificates attached hereto as Exhibits A and B.

     CLASS A CERTIFICATES: The Class A-1, Class A-2, Class A-3, Class A-4, Class
A-P and Class A-X Certificates, collectively, and designated as such on the face
thereof in substantially the forms attached hereto as Exhibit A.

     CLASS A-X NOTIONAL AMOUNT: As of the Closing Date approximately $17,063,814
and thereafter, with respect to any Distribution Date will equal the total
Principal Balance, as of the first day of the month preceding such Distribution
Date (after giving effect to all payments scheduled to be made on such day
whether or not received), of the Premium Loans multiplied by the following
fraction:

              the weighted average of the Pass-Through Rates of the
           Premium Loans as of the first day of such month minus 5.00%
           -----------------------------------------------------------
                                      5.00%

     CLASS NOTIONAL AMOUNT: With respect to the Class A-X Certificates, the
Class A-X Notional Amount.

     CLASS PRINCIPAL BALANCE: For any Class of Certificates (other than the
Interest Only Certificates), the applicable initial Class Principal Balance set
forth in the Preliminary Statement hereto, corresponding to the rights of such
Class in payments of principal due to be passed through to Certificateholders
from principal payments on the Loans, as reduced from time to time by (x)
distributions of principal to Certificateholders of such Class and (y) the
portion of Realized Losses allocated to the Class Principal Balance of such
Class pursuant to Section 3.20 with respect to a given Distribution Date. For
any Distribution Date, the reduction of the Class Principal Balance of any Class
of Certificates pursuant to Section 3.20 shall be deemed effective prior to the
determination and distribution of principal on such Class pursuant to the
definition of "Certificate Distribution Amount". Notwithstanding the foregoing,
the Class Principal Balance of the most subordinate Class of Certificates
outstanding at any time shall be equal to the aggregate Scheduled

                                        9

<PAGE>

Principal Balance of all of the Loans less the Class Principal Balance of all
other Classes of Certificates. The Class Principal Balance for the Class A-1
Certificates shall be referred to as the "Class A-1 Principal Balance", the
Class Principal Balance for the Class A-2 Certificates shall be referred to as
the "Class A-2 Principal Balance" and so on. The Class Principal Balances of the
Interest Only Certificates shall be zero.

     CLASS R CERTIFICATE: The Certificate designated as "Class R" on the face
thereof in substantially the form attached hereto as Exhibit B, which has been
designated as the sole class of "residual interest" in the REMIC, pursuant to
Section 2.4.

     CLASS R CERTIFICATEHOLDER: The registered Holder of the Class R
Certificate.

     CLEARING AGENCY: An organization registered as a "clearing agency" pursuant
to Section 17A of the Securities and Exchange Act of 1934, as amended, which
initially shall be DTC, Clearstream, Luxembourg and Euroclear.

     CLOSING DATE: January 29, 2003.

     CODE: The Internal Revenue Code of 1986, as amended.

     COMPENSATING INTEREST: For any Distribution Date, with respect to the Loans
contained therein, the lesser of (i) the sum of (a) one-twelfth of 0.125% of the
aggregate outstanding Principal Balance of each Loan on such Distribution Date
and (b) the aggregate Payoff Earnings and (ii) the aggregate Uncollected
Interest.

     CORPORATE TRUST OFFICE: The corporate trust office of the Trustee in the
State of Texas, at which at any particular time its corporate trust business
with respect to this Agreement shall be administered, which office at the date
of the execution of this Agreement is located at 600 Travis Street, 9th Floor,
Houston, Texas 77002, Attention: Chris Jackson.

     CREDIT SUPPORT DEPLETION DATE: The first Distribution Date on which the
aggregate of the Class Principal Balances of the Subordinate Certificates has
been or will be reduced to zero as a result of principal distributions thereon
and the allocation of Realized Losses on such Distribution Date.

     CURTAILMENT: Any payment of principal on a Loan, made by or on behalf of
the related Mortgagor, other than a Monthly Payment, a Prepaid Monthly Payment
or a Payoff, which is applied to reduce the outstanding Principal Balance of the
Loan.

     CURTAILMENT SHORTFALL: With respect to any Curtailment applied with a
Monthly Payment, an amount equal to one month's interest on such Curtailment at
the applicable Pass-Through Rate on such Loan.

                                       10

<PAGE>

     CUSTODIAL ACCOUNT FOR P&I: The custodial account for principal and interest
established and maintained by, or at the direction of, the Servicer and caused
by the Servicer to be established and maintained pursuant to Section 3.2(b) (i)
with the corporate trust department of the Trustee or another financial
institution approved by the Servicer such that the rights of such Servicer, the
Trustee and the Certificateholders thereto shall be fully protected against the
claims of any creditors of the Servicer and of any creditors or depositors of
the institution in which such account is maintained, (ii) within FDIC insured
accounts (or other accounts with comparable insurance coverage acceptable to
each Rating Agency) created and maintained, by or at the direction of the
Servicer, and monitored by the Servicer or (iii) in a separate non-trust account
without FDIC or other insurance in an Eligible Institution. In the event that a
Custodial Account for P&I is established pursuant to clause (ii) of the
preceding sentence, amounts held in such Custodial Account for P&I shall not
exceed the level of deposit insurance coverage on such account; accordingly,
more than one Custodial Account for P&I may be established.

     CUSTODIAL AGREEMENT: The agreement, if any, among the Servicer, the Trustee
and a Custodian providing for the safekeeping of the Mortgage Files on behalf of
the Certificateholders.

     CUSTODIAN: A custodian which is appointed pursuant to a Custodial
Agreement. Any Custodian so appointed shall act as agent on behalf of the
Trustee, and shall be compensated by the Trustee at no additional charge to the
Servicer. The Trustee shall remain at all times responsible under the terms of
this Agreement, notwithstanding the fact that certain duties have been assigned
to a Custodian.

     CUT-OFF DATE: January 1, 2003.

     DATA: As defined in Section 8.14.

     DEFAULTED LOAN: As of any Determination Date, any Loan for which any
payment of principal of or interest on such Loan is more than 89 days past due,
determined without giving effect to any grace period permitted by the related
Mortgage or Mortgage Note or any other document in the Mortgage File.

     DEFINITIVE CERTIFICATES: As defined in Section 5.7.

     DENOMINATION: The amount specified on a Certificate as representing the
aggregate Principal Balance of the Loans as of the Cut-Off Date evidenced by
such Certificate.

     DEPOSITOR: ABN AMRO Mortgage Corporation, a Delaware corporation, or its
successor-in-interest.

     DEPOSITORY: DTC or any successor thereto.

     DEPOSITORY AGREEMENT: The Letter of Representations, dated January 29, 2003
by and among

                                       11

<PAGE>

DTC, the Depositor and the Trustee.

     DETERMINATION DATE: A day not later than the 10th day (or, if such 10th day
is not a Business Day, the Business Day immediately succeeding such 10th day)
preceding a related Distribution Date in the month in which such Distribution
Date occurs.

     DISCOUNT FRACTION: For any Discount Loan, the following fraction:

               5.00% - the Pass-through Rate on such Discount Loan
               ---------------------------------------------------
                                      5.00%

     DISCOUNT FRACTIONAL PRINCIPAL AMOUNT: On each Distribution Date, an amount
equal to the product of the Discount Fraction multiplied by the sum of (i)
scheduled payments of principal on each Discount Loan due on or before the
related Due Date in respect of which no distribution has been made on any
previous Distribution Date and which were received by the Determination Date, or
which have been advanced as part of an Advance with respect to such Distribution
Date, (ii) the principal portion received in respect of each Discount Loan
during the Prepayment Period of (a) Curtailments, (b) Insurance Proceeds, (c)
the amount, if any, of the principal portion of the Purchase Price pursuant to a
Purchase Obligation or any repurchase of a Discount Loan permitted hereunder and
(d) Liquidation Proceeds and (iii) the principal portion of Payoffs received in
respect of Discount Loans during the applicable Prepayment Period.

     DISCOUNT FRACTIONAL PRINCIPAL SHORTFALL: For any Distribution Date, an
amount equal to the Discount Fraction of any Realized Loss on a Discount Loan,
other than a Special Hazard Loss, Fraud Loss or Bankruptcy Loss in excess of the
Special Hazard Coverage, Fraud Coverage or Bankruptcy Coverage, as applicable.

     DISCOUNT LOAN: The Loans having Pass-Through Rates of less than 5.00%.

     DISQUALIFIED ORGANIZATION: A "disqualified organization" as defined in
Section 860E(e)(5) of the Code, and, for purposes of Section 5.1 herein, as
defined in Section 5.1(b).

     DISTRIBUTION DATE: With respect to distributions on the Certificates, the
25th day (or, if such 25th day is not a Business Day, the Business Day
immediately succeeding such 25th day) of each month, with the first such date
being February 25, 2003. The "related Due Date" for any Distribution Date is the
Due Date immediately preceding such Distribution Date.

     DTC: The Depository Trust Company.

     DTC PARTICIPANT: A broker, dealer, bank, other financial institution or
other Person for whom DTC effects book-entry transfers and pledges of securities
deposited with DTC.

     DUE DATE: The first day of each calendar month, which is the day on which
the Monthly

                                       12

<PAGE>

Payment for each Loan is due.

     ELIGIBLE ACCOUNT: Any account or accounts held and established by the
Servicer or the Trustee in trust for the Certificateholders at any Eligible
Institution.

     ELIGIBLE INSTITUTION: An institution having (i) the highest short-term debt
rating, and one of the two highest long-term debt ratings of each Rating Agency,
(ii) with respect to any Custodial Account for P&I, an unsecured long-term debt
rating of at least one of the two highest unsecured long-term debt ratings of
each Rating Agency, or (iii) the approval of each Rating Agency.

     ELIGIBLE INVESTMENTS: Any one or more of the following obligations or
securities payable on demand or having a scheduled maturity on or before the
Business Day preceding the following Distribution Date (or, with respect to the
Certificate Account maintained with the Trustee or the Certificate
Administrator, having a scheduled maturity on or before the following
Distribution Date; provided that, such Eligible Investments shall be managed by,
or an obligation of, the institution that maintains the Certificate Account if
such Eligible Investments mature on the Distribution Date), regardless of
whether issued by the Depositor, the Servicer, the Trustee or any of their
respective Affiliates and having at the time of purchase, or at such other time
as may be specified, the required ratings, if any, provided for in this
definition:

          (a) direct obligations of, or guaranteed as to full and timely payment
of principal and interest by, the United States or any agency or instrumentality
thereof, provided, that such obligations are backed by the full faith and credit
of the United States of America;

          (b) direct obligations of, or guaranteed as to timely payment of
principal and interest by, FHLMC, FNMA or the Federal Farm Credit System,
provided, that any such obligation, at the time of purchase or contractual
commitment providing for the purchase thereof, is qualified by each Rating
Agency as an investment of funds backing securities rated "AAA" (the initial
rating of the Class A Certificates);

          (c) demand and time deposits in or Certificates of deposit of, or
bankers' acceptances issued by, any bank or trust company, savings and loan
association or savings bank, provided, that the short-term deposit ratings
and/or long-term unsecured debt obligations of such depository institution or
trust company (or in the case of the principal depository institutions in a
holding company system, the commercial paper or long-term unsecured debt
obligations of such holding company) have, in the case of commercial paper, the
highest rating available for such securities by each Rating Agency and, in the
case of long-term unsecured debt obligations, one of the two highest ratings
available for such securities by each Rating Agency, or in each case such lower
rating as will not result in the downgrading or withdrawal of the rating or
ratings then assigned to any Class of Certificates by any Rating Agency but in
no event less than the initial rating of the Senior Certificates;

          (d) general obligations of or obligations guaranteed by any state of
the United States

                                       13

<PAGE>

or the District of Columbia receiving one of the two highest long-term debt
ratings available for such securities by each Rating Agency, or such lower
rating as will not result in the downgrading or withdrawal of the rating or
ratings then assigned to any Class of Certificates by any Rating Agency;

          (e) commercial or finance company paper (including both
non-interest-bearing discount obligations and interest-bearing obligations
payable on demand or on a specified date not more than one year after the date
of issuance thereof) that is rated by each Rating Agency in its highest
short-term unsecured rating category at the time of such investment or
contractual commitment providing for such investment, and is issued by a
corporation the outstanding senior long-term debt obligations of which are then
rated by each Rating Agency in one of its two highest long-term unsecured rating
categories, or such lower rating as will not result in the downgrading or
withdrawal of the rating or ratings then assigned to any Class of Certificates
by any Rating Agency but in no event less than the initial rating of the Senior
Certificates;

          (f) guaranteed reinvestment agreements issued by any bank, insurance
company or other corporation rated in one of the two highest rating levels
available to such issuers by each Rating Agency at the time of such investment,
provided, that any such agreement must by its terms provide that it is
terminable by the purchaser without penalty in the event any such rating is at
any time lower than such level;

          (g) repurchase obligations with respect to any security described in
clause (a) or (b) above entered into with a depository institution or trust
company (acting as principal) meeting the rating standards described in (c)
above;

          (h) securities bearing interest or sold at a discount that are issued
by any corporation incorporated under the laws of the United States of America
or any State thereof and rated by each Rating Agency in one of its two highest
long-term unsecured rating categories at the time of such investment or
contractual commitment providing for such investment; provided, however, that
securities issued by any such corporation will not be Eligible Investments to
the extent that investment therein would cause the outstanding principal amount
of securities issued by such corporation that are then held as part of the
Certificate Account to exceed 20% of the aggregate principal amount of all
Eligible Investments then held in the Certificate Account;

          (i) units of taxable money market funds (including those for which the
Trustee or any affiliate thereof receives compensation with respect to such
investment) which funds have been rated by each Rating Agency in its highest
rating category or which have been designated in writing by each Rating Agency
as Eligible Investments with respect to this definition;

          (j) if previously confirmed in writing to the Trustee, any other
demand, money market or time deposit, or any other obligation, security or
investment, as may be acceptable to each Rating Agency as a permitted investment
of funds backing securities having ratings equivalent to the initial rating of
the Class A Certificates; and

                                       14

<PAGE>

          (k) such other obligations as are acceptable as Eligible Investments
to each Rating Agency;

provided, however, that such instrument continues to qualify as a "cash flow
investment" pursuant to Code Section 860G(a)(6) and that no instrument or
security shall be an Eligible Investment if (i) such instrument or security
evidences a right to receive only interest payments or (ii) the right to receive
principal and interest payments derived from the underlying investment provides
a yield to maturity in excess of 120% of the yield to maturity at par of such
underlying investment.

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

     ESCROW ACCOUNT: As defined in Section 3.4.

     ESCROW PAYMENT: Any payment received by the Servicer for the account of any
Mortgagor for application toward the payment of taxes, insurance premiums,
assessments and similar items in respect of the related Mortgaged Property.

     EVENT OF DEFAULT: Any event of default as specified in Section 7.1.

     EXCESS LIQUIDATION PROCEEDS: With respect to any Distribution Date, the
excess, if any, of aggregate Liquidation Proceeds in the applicable Prepayment
Period over the amount that would have been received if a Payoff had been made
on the last day of such applicable Prepayment Period with respect to each Loan
which became a Liquidated Loan during such applicable Prepayment Period.

     EXCESS LOSS: A Special Hazard Loss incurred on a Loan in excess of the
Special Hazard Coverage, a Fraud Loss incurred on a Loan in excess of the Fraud
Coverage and a Bankruptcy Loss incurred on a Loan in excess of the Bankruptcy
Coverage.

     EXCHANGE ACT: The Securities Exchange Act of 1934, as amended.

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

     FEDERAL FUNDS RATE: means, for any day, the rate set forth in the weekly
statistical release designated as H.15(519), or any successor publication,
published by the Federal Reserve Bank of New York on the preceding Business Day
opposite the caption "Federal Funds (Effective)"; or, if for any relevant day
such rate is not so published on any such preceding Business Day, the rate for
such day will be the arithmetic mean as determined by the Trustee of the rates
for the last transaction in overnight Federal funds arranged before 9:00 a.m.
(New York City time) on that day by each of three leading brokers of Federal
funds transactions in New York City selected by the Trustee.

     FHA: Federal Housing Administration, or any successor thereto.

                                       15

<PAGE>

     FHLMC: Freddie Mac, or any successor thereto.

     FINAL CERTIFICATION: The certification substantially in the form of Exhibit
H-2 attached hereto.

     FITCH: Fitch Ratings, provided, that at anytime it is a Rating Agency.

     FNMA: Fannie Mae, or any successor thereto.

     FRAUD COVERAGE: As of the Cut-Off Date approximately $2,219,050, and
thereafter, the Fraud Coverage will generally be equal to (1) prior to the third
Anniversary, an amount equal to 1.00% of the aggregate Principal Balance of all
Loans as of the Cut-Off Date minus the aggregate amounts allocated to the
Certificates with respect to Fraud Losses on such Loans up to such date of
determination and (2) from the third to the fifth Anniversary, an amount equal
to (a) 0.50% of the aggregate Principal Balance of all of the Loans as of the
Due Date of the calendar month preceding the most recent Anniversary minus (b)
the aggregate amounts allocated to the Certificates with respect to Fraud Losses
on the Loans since the most recent Anniversary up to such date of determination.
On and after the fifth Anniversary, the Fraud Coverage will be zero. The Fraud
Coverage may be reduced upon written confirmation from each Rating Agency that
such reduction will not adversely affect the then current ratings assigned to
the Certificates by each Rating Agency.

     FRAUD LOSS: The occurrence of a loss on a Loan arising from any action,
event or state of facts with respect to such Loan which, because it involved or
arose out of any dishonest, fraudulent, criminal, negligent or knowingly
wrongful act, error or omission by the Mortgagor, originator (or assignee
thereof) of such Loan, Lender, or the Servicer, would result in an exclusion
from, denial of, or defense to coverage which otherwise would be provided by an
insurance policy previously issued with respect to such Loan.

     INDEPENDENT: When used with respect to any specified Person, any such
Person who (i) is in fact independent of the Depositor and the Servicer, (ii)
does not have any direct financial interest or any material indirect financial
interest in the Depositor or the Servicer or any Affiliate of either and (iii)
is not connected with the Depositor or the Servicer as an officer, employee,
promoter, underwriter, trustee, partner, director or person performing similar
functions.

     INDIRECT DTC PARTICIPANTS: Entities such as banks, brokers, dealers or
trust companies that clear through or maintain a custodial relationship with a
DTC Participant, either directly or indirectly.

     INSTALLMENT DUE DATE: The first day of the month in which the related
Distribution Date occurs.

     INSURANCE PROCEEDS: Amounts paid or payable by the insurer under any
insurance policy (including any replacement policy permitted under this
Agreement), covering any Loan or Mortgaged Property, including, without
limitation, any flood insurance policy, primary mortgage insurance

                                       16

<PAGE>

policy or hazard insurance policy required pursuant to Section 3.5, any title
insurance policy required pursuant to Section 2.3, and any FHA insurance policy
or VA guaranty.

     INTEREST ACCRUAL PERIOD: For all Classes of Certificates, the calendar
month preceding the month in which the Distribution Date occurs.

     INTERIM CERTIFICATION: The certification substantially in the form of
Exhibit H-1 attached hereto.

     INTEREST DISTRIBUTION AMOUNT: On any Distribution Date, for any Class of
Certificates (other than the Principal Only Certificates), the amount of
interest accrued on the respective Class Principal Balance or Class Notional
Amount, as applicable, at 1/12th of the related Remittance Rate for such Class
during the applicable Interest Accrual Period, before giving effect to
allocations of Realized Losses in connection with such Distribution Date or
distributions to be made on such Distribution Date, reduced by Uncompensated
Interest Shortfall and the interest portion of Realized Losses allocated to such
Class pursuant to the definition of "Uncompensated Interest Shortfall" and
Section 3.20. The Interest Distribution Amount for the Principal Only
Certificates on any Distribution Date shall equal zero.

     INTEREST ONLY CERTIFICATES: The Class A-X Certificates.

     INTERESTED PERSON: The Depositor, the Servicer, any Holder of a
Certificate, or any Affiliate of any such Person.

     JUNIOR SUBORDINATE CERTIFICATES: The Class B-3, Class B-4 and Class B-5
Certificates, collectively.

     LIQUIDATED LOAN: A Loan as to which the Servicer has determined in
accordance with its customary servicing practices that all amounts which it
expects to recover from or on account of such Loan, whether from Insurance
Proceeds, Liquidation Proceeds or otherwise, have been recovered. For purposes
of this definition, acquisition of a Mortgaged Property by the Trust Fund shall
not constitute final liquidation of the related Loan.

     LIQUIDATION EXPENSES: Reasonable out of pocket expenses incurred by the
Servicer in connection with the liquidation of any Defaulted Loan or property
acquired in respect thereof, including, without limitation, legal fees and
expenses, any unreimbursed amount expended by the Servicer pursuant to Section
3.7 respecting the related Loan and any unreimbursed expenditures for real
property taxes or for property restoration or preservation relating to the
Mortgaged Property that secured such Loan.

     LIQUIDATION PRINCIPAL: The principal portion of Liquidation Proceeds
received with respect to each Loan which became a Liquidated Loan (but not in
excess of the Principal Balance thereof) during the applicable Prepayment
Period, exclusive of the Discount Fraction of Liquidation Proceeds

                                       17

<PAGE>

received with respect to each Discount Loan, if any.

     LIQUIDATION PROCEEDS: Amounts after deduction of amounts reimbursable under
Section 3.7 received and retained in connection with the liquidation of
Defaulted Loans (including the disposition of REO Property), whether through
foreclosure or otherwise, other than Insurance Proceeds.

     LOANS: The Mortgages and the related Mortgage Notes, each transferred and
assigned to the Trustee pursuant to the provisions hereof as from time to time
are held as part of the Trust Fund, as so identified in the Loan Schedule. Each
of the Loans is referred to individually in this Agreement as a "Loan".

     LOAN SCHEDULE: The schedule, as amended from time to time, of Loans
attached hereto as Exhibit D, which shall set forth as to each Loan the
following, among other things:

          (i)     the loan number of the Loan and name of the related Mortgagor;

          (ii)    city, state and zip code of the Mortgaged Property;

          (iii)   the Mortgage Interest Rate as of the Cut-Off Date;

          (iv)    the original term and maturity date of the related Mortgage
                  Note;

          (v)     the original Principal Balance;

          (vi)    the first payment date;

          (vii)   the Monthly Payment in effect as of the Cut-Off Date;

          (viii)  the date of the last paid installment of interest;

          (ix)    the unpaid Principal Balance as of the close of business on
                  the Cut-Off Date;

          (x)     the Loan-to-Value ratio at origination;

          (xi)    the type of property and the Original Value of the Mortgaged
                  Property;

          (xii)   whether a primary mortgage insurance policy is in effect as of
                  the Cut-Off Date;

          (xiii)  the nature of occupancy at origination;

          (xiv)   the servicing fee;

                                       18

<PAGE>

          (xv)    the county in which Mortgaged Property is located, if
                  available; and

          (xvi)   the closing date.

     LOAN-TO-VALUE RATIO: The original principal amount of a Loan divided by the
Original Value; however, references to "current Loan-to-Value Ratio" shall mean
the then current Principal Balance of a Loan divided by the Original Value.

     LOCKOUT PERCENTAGE: For any Distribution Date (which shall not be greater
than 100%) will equal for any Distribution Date the sum of: (i) the Class
Principal Balance of the Class A-4 Certificates; divided by: (ii) the aggregate
Scheduled Principal Balance of all Loans immediately preceding such Distribution
Date (exclusive of the Discount Fraction of the Discount Loans).

     LOCKOUT PRINCIPAL AMOUNT: For any Distribution Date will equal the product
of (i) the Lockout Percentage, (ii) the Step Down Percentage and (iii) the sum
of: (a) the Principal Payment Amount (exclusive of the portion thereof
attributable to the Discount Fractional Principal Amount), (b) the Principal
Prepayment Amount (exclusive of the portion thereof attributable to the Discount
Fractional Principal Amount) and (c) the Liquidation Principal.

     MONTHLY PAYMENT: The scheduled payment of principal and interest on a Loan
which is due on the related Due Date for such Loan after giving effect to any
reduction in the amount of interest collectible from any Mortgagor pursuant to
the Relief Act.

     MORTGAGE: The mortgage, deed of trust or other instrument securing a
Mortgage Note.

     MORTGAGE FILE: As defined in Section 2.1.

     MORTGAGE INTEREST RATE: For any Loan, the per annum rate at which interest
accrues on such Loan pursuant to the terms of the related Mortgage Note without
regard to any reduction thereof as a result of the Relief Act.

     MORTGAGE NOTE: The note or other evidence of indebtedness evidencing the
indebtedness of a Mortgagor under a Loan.

     MORTGAGE POOL: All of the Loans.

     MORTGAGED PROPERTY: With respect to any Loan, the real property, together
with improvements thereto, securing the indebtedness of the Mortgagor under the
related Loan.

     MORTGAGOR: The obligor on a Mortgage Note.

     NONRECOVERABLE ADVANCE: With respect to any Loan, any Advance which the
Servicer shall have determined to be a Nonrecoverable Advance pursuant to
Section 4.4 and which was, or is

                                       19

<PAGE>

proposed to be, made by such Servicer.

     NON-U.S. PERSON: A Person that is not a U.S. Person.

     OFFICER'S CERTIFICATE: With respect to any Person, a certificate signed by
the Chairman of the Board, the President or a Vice-President of such Person (or,
in the case of a Person which is not a corporation, signed by the person or
persons having like responsibilities), and delivered to the Trustee.

     OPINION OF COUNSEL: A written opinion of counsel, who may be outside or
salaried counsel for the Depositor or the Servicer, or any Affiliate of the
Depositor or the Servicer, acceptable to the Trustee; provided, that with
respect to REMIC matters, matters relating to the determination of Eligible
Accounts or matters relating to transfers of Certificates, such counsel shall be
Independent.

     ORIGINAL VALUE: With respect to any Loan other than a Loan originated for
the purpose of refinancing an existing mortgage debt, the lesser of (a) the
Appraised Value (if any) of the Mortgaged Property at the time the Loan was
originated or (b) the purchase price paid for the Mortgaged Property by the
Mortgagor. With respect to a Loan originated for the purpose of refinancing
existing mortgage debt, the Original Value shall be equal to the Appraised Value
of the Mortgaged Property at the time the Loan was originated or the appraised
value at the time the refinanced mortgage debt was incurred.

     OTS: The Office of Thrift Supervision, or any successor thereto.

     OWNERSHIP INTEREST: As defined in Section 5.1(b)

     PASS-THROUGH ENTITY: As defined in Section 5.1(b)

     PASS-THROUGH RATE: For each Loan and for any date of determination, a per
annum rate equal to the Mortgage Interest Rate for such Loan less the applicable
per annum percentage rate of the Servicing Fee. For each Loan, any calculation
of monthly interest at such rate shall be based upon annual interest at such
rate (computed on the basis of a 360-day year of twelve 30-day months) on the
unpaid Principal Balance of the related Loan divided by twelve, and any
calculation of interest at such rate by reason of a Payoff shall be based upon
annual interest at such rate on the outstanding Principal Balance of the related
Loan multiplied by a fraction, the numerator of which is the number of days
elapsed from the Due Date of the last scheduled payment of principal and
interest to, but not including, the date of such Payoff, and the denominator of
which is (a) for Payoffs received on a Due Date, 360, and (b) for all other
Payoffs, 365.

     PAYING AGENT: As defined in Section 4.10.

     PAYOFF: Any Mortgagor payment of principal on a Loan equal to the entire
outstanding Principal Balance of such Loan, if received in advance of the last
scheduled Due Date for such Loan

                                       20

<PAGE>

and accompanied by an amount of interest equal to accrued unpaid interest on the
Loan to the date of such payment-in-full.

     PAYOFF EARNINGS: For any Distribution Date with respect to each Loan on
which a Payoff was received by the Servicer during the Prepayment Period, the
aggregate of the interest earned by Servicer from investment of each such Payoff
from the date of receipt of such Payoff until the last day of such Prepayment
Period (net of investment losses).

     PAYOFF INTEREST: For any Distribution Date with respect to a Loan for which
a Payoff was received by the Servicer during the Prepayment Period, an amount of
interest thereon at the applicable Pass-Through Rate from the first day of such
Prepayment Period to the date of receipt thereof.

     PERCENTAGE INTEREST: (a) With respect to the right of each Certificate of a
particular Class in the distributions allocated to such Class, "Percentage
Interest" shall mean the percentage undivided beneficial ownership interest
evidenced by such Certificate of such Class, which percentage shall equal:

          (i) with respect to any Regular Interest Certificate (other than the
     Interest Only Certificates), its Certificate Principal Balance divided by
     the applicable Class Principal Balance;

          (ii) with respect to the Interest Only Certificates, the portion of
     the respective Class Notional Amount evidenced by such Certificate divided
     by the respective Class Notional Balance; and

          (iii) with respect to the Class R Certificate, the percentage set
     forth on the face of such Certificate.

     (b) With respect to the rights of each Certificate in connection with
Sections 5.9, 7.1, 7.3, 8.3 and 10.1, "Percentage Interest" shall mean the
percentage undivided beneficial interest evidenced by such Certificate in the
Trust Fund, which for purposes of such rights only shall equal:

          (i) with respect to any Certificate (other than the Interest Only
     Certificates), the product of (x) 99.00% and (y) the percentage calculated
     by dividing its Certificate Principal Balance by the Aggregate Certificate
     Principal Balance; provided, however, that the product in (x) above shall
     be increased by one percent (1%) upon each retirement of an Interest Only
     Certificate;

          (ii) with respect to each Interest Only Certificate, one percent (1%)
     of such Certificate Percentage Interest as calculated by paragraph (a)(ii)
     of this definition; and

          (iii) with respect to the Class R Certificate, zero.

                                       21

<PAGE>

     PERMITTED TRANSFEREE: With respect to the holding or ownership of any
Residual Certificate, any Person other than (i) the United States, a State or
any political subdivision thereof, or any agency or instrumentality of any of
the foregoing, (ii) a foreign government or International Organization, or any
agency or instrumentality of either of the foregoing, (iii) an organization
(except certain farmers' cooperatives described in Code Section 521) which is
exempt from the taxes imposed by Chapter 1 of the Code (unless such organization
is subject to the tax imposed by Section 511 of the Code on unrelated business
taxable income), (iv) rural electric and telephone cooperatives described in
Code Section 1381(a)(2)(C), (v) any electing large partnership under Section 775
of the Code, (vi) any Person from whom the Trustee or the Certificate Registrar
has not received an affidavit to the effect that it is not a "disqualified
organization" within the meaning of Section 860E(e)(5) of the Code, and (vii)
any other Person so designated by the Depositor based upon an Opinion of Counsel
that the transfer of an Ownership Interest in a Residual Certificate to such
Person may cause the Trust Fund to fail to qualify as a REMIC at any time that
the Certificates are outstanding. The terms "United States," "State" and
"International Organization" shall have the meanings set forth in Code Section
7701 or successor provisions. A corporation shall 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 FHLMC, a majority of its board of directors is not selected by such
governmental unit.

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

     PLAN: As defined in Section 5.1(d).

     PREMIUM LOANS: The Loans having Pass-Through Rates in excess of 5.00% per
annum.

     PREPAID MONTHLY PAYMENT: Any Monthly Payment received prior to its
scheduled Due Date, which is intended to be applied to a Loan on its scheduled
Due Date and held in the related Custodial Account for P&I until the Withdrawal
Date following its scheduled Due Date.

     PREPAYMENT PERIOD: The calendar month immediately preceding any
Distribution Date.

     PRINCIPAL BALANCE: At the time of any determination, the principal balance
of a Loan remaining to be paid at the close of business on the Cut-Off Date,
after deduction of all principal payments due on or before the Cut-Off Date
whether or not paid, reduced by all amounts distributed or to be distributed to
Certificateholders through the Distribution Date in the month of determination
that are reported as allocable to principal of such Loan. In the case of a
Substitute Loan, "Principal Balance" shall mean, at the time of any
determination, the principal balance of such Substitute Loan transferred to the
Trust Fund on the date of substitution, reduced by all amounts distributed or to
be distributed to Certificateholders through the Distribution Date in the month
of determination that are reported as allocable to principal of such Substitute
Loan.

                                       22

<PAGE>

     The Principal Balance of a Loan (including a Substitute Loan) shall not be
adjusted solely by reason of any bankruptcy or similar proceeding or any
moratorium or similar waiver or grace period. Whenever a Realized Loss has been
incurred with respect to a Loan during a calendar month, the Principal Balance
of such Loan shall be reduced by the amount of such Realized Loss as of the
Distribution Date next following the end of such calendar month after giving
effect to the allocation of Realized Losses and distributions of principal to
the Certificates.

     PRINCIPAL ONLY CERTIFICATES: The Class A-P Certificates.

     PRINCIPAL PAYMENT: Any payment of principal on a Loan other than a
Principal Prepayment.

     PRINCIPAL PAYMENT AMOUNT: On any Distribution Date and for the Loans, the
sum with respect to the Loans of (i) the scheduled principal payments on the
Loans due on the related Due Date, (ii) the principal portion of repurchase
proceeds received with respect to any Loan which was repurchased by the
Depositor pursuant to a Purchase Obligation or as permitted by this Agreement
prior to such Distribution Date, and (iii) any other unscheduled payments of
principal which were received with respect to any Loan during the applicable
Prepayment Period, other than Payoffs, Curtailments and Liquidation Principal.

     PRINCIPAL PREPAYMENT: Any payment of principal on a Loan which constitutes
a Payoff or a Curtailment.

     PRINCIPAL PREPAYMENT AMOUNT: On any Distribution Date and for the Loans,
the sum with respect to the Loans of (i) Curtailments received during the
applicable Prepayment Period from such Loans and (ii) Payoffs received during
the applicable Prepayment Period from the Loans.

     PRO RATA ALLOCATION: The allocation of the principal portion of certain
losses relating to a Loan to the Senior Certificates (other than the Class A-P
Certificates and the Interest Only Certificates) and/or to the Subordinate
Certificates, as applicable, pro rata according to their respective Certificate
Principal Balances (except if the loss is recognized with respect to a Discount
Loan, in which event the Discount Fraction of such loss will be allocated to the
Class A-P Certificates pro rata according to the outstanding Certificate
Principal Balances of the Class A-P Certificate, and the remainder of such loss
will be allocated as described above in this definition without regard to this
parenthetical) in reduction thereof, and the allocation of the interest portion
of such losses to such Certificates (other than the Class A-P Certificates), pro
rata according to the amount of interest accrued but unpaid on each such Class
in reduction thereof and then pro rata according to their outstanding
Certificate Principal Balances in reduction thereof.

     PURCHASE OBLIGATION: An obligation of the Depositor to repurchase Loans
under the circumstances and in the manner provided in Section 2.2 or Section
2.3.

     PURCHASE PRICE: With respect to any Loan to be purchased pursuant to a
Purchase Obligation, or any Loan to be purchased or repurchased relating to an
REO Property, an amount equal to the sum

                                       23

<PAGE>

of the Principal Balance thereof, plus accrued and unpaid interest thereon, if
any, to the last day of the calendar month in which the date of repurchase
occurs at a rate equal to the applicable Mortgage Interest Rate; provided,
however, that no Loan shall be purchased or required to be purchased pursuant to
Section 2.3, or more than two years after the Closing Date under Section 2.2,
unless (a) the Loan to be purchased is in default, or default is in the judgment
of the Depositor reasonably imminent, or (b) the Depositor, at its expense,
delivers to the Trustee an Opinion of Counsel to the effect that the purchase of
such Loan will not give rise to a tax on a prohibited transaction, as defined in
Section 860F(a) of the Code; provided, further, that in the case of clause (b)
above, the Depositor will use its reasonable efforts to obtain such Opinion of
Counsel if such opinion is obtainable.

     RATING AGENCY: Initially, each of S&P and Fitch; thereafter, each
nationally recognized statistical rating organization that has rated the
Certificates at the request of the Depositor, or their respective successors in
interest.

     RATINGS: As of any date of determination, the ratings, if any, of the
Certificates as assigned by each Rating Agency.

     REALIZED LOSS: For any Distribution Date, with respect to any Loan which
became a Liquidated Loan during the related applicable Prepayment Period, the
sum of (i) the principal balance of such Loan remaining outstanding and the
principal portion of Nonrecoverable Advances actually reimbursed with respect to
such Loan (the principal portion of such Realized Loss), and (ii) the accrued
interest on such Loan remaining unpaid and the interest portion of
Nonrecoverable Advances actually reimbursed with respect to such Loan (the
interest portion of such Realized Loss). For any Distribution Date, with respect
to any Loan which is not a Liquidated Loan, the amount of the Bankruptcy Loss
incurred with respect to such Loan as of the related Due Date will be treated as
a Realized Loss.

     RECORD DATE: With respect to each Distribution Date and each Class of
Certificates, the close of business on the last Business Day of the month
immediately preceding the month of the related Distribution Date.

     REGULAR INTEREST CERTIFICATES: The Certificates, other than the Class R
Certificate.

     RELIEF ACT: The Soldiers' and Sailors' Civil Relief Act of 1940, as
amended.

     RELIEF ACT INTEREST SHORTFALL: With respect to any Distribution Date and
Loan, any reduction in the amount of interest collectible on such Loan for the
most recently ended calendar month immediately preceding such Distribution Date
as a result of the application of the Relief Act or other similar state law.

     REMIC: A real estate mortgage investment conduit, as such term is defined
in the Code.

     REMIC REGULAR INTERESTS: The regular interests in the Trust Fund as
described in Section 2.4

                                       24

<PAGE>

of this Agreement.

     REMIC PROVISIONS: Sections 860A through 860G of the Code, related Code
provisions and regulations promulgated thereunder, as the foregoing may be in
effect from time to time.

     REMITTANCE RATE: For each Class of interest bearing Certificates, the per
annum rate set forth as the Remittance Rate for such Class in the Preliminary
Statement hereto.

     REO PROPERTY: A Mortgaged Property, title to which has been acquired by the
Servicer on behalf of the Trust Fund through foreclosure, deed in lieu of
foreclosure or otherwise.

     RESIDUAL CERTIFICATE: The Class R Certificate, which is being issued in a
single class. The Class R Certificate is hereby designated the sole Class of
"residual interest" in the REMIC for purposes of Section 860G(a)(2) of the Code.

     RESIDUAL DISTRIBUTION AMOUNT: On any Distribution Date, any portion of the
Available Distribution Amount remaining after all distributions to the
Certificates pursuant to the definition of Certificate Distribution Amount. Upon
termination of the obligations created by this Agreement and the Trust Fund
created hereby, the amounts which remain on deposit in the Certificate Account
after payment to the Certificateholders of the amounts set forth in Section 9.1
of this Agreement, and subject to the conditions set forth therein.

     RESPONSIBLE OFFICER: When used with respect to the Trustee or any Seller,
the Chairman or Vice-Chairman of the Board of Directors or Trustees, the
Chairman or Vice-Chairman of the Executive or Standing Committee of the Board of
Directors or Trustees, the President, the Chairman of the Committee on Trust
Matters, any Vice-President, any Assistant Vice-President, the Secretary, any
Assistant Secretary, the Treasurer, any Assistant Treasurer, the Cashier, any
Assistant Cashier, any Trust Officer or Assistant Trust Officer, the Controller,
any Assistant Controller or any other officer of the Trustee customarily
performing functions similar to those performed by any of the above-designated
officers and in each case having direct responsibility for the administration of
this Agreement, and also, with respect to a particular matter, any other officer
to whom such matter is referred because of such officer's knowledge of and
familiarity with the particular subject. When used with respect to the Servicer,
the Chairman or Vice-Chairman of the Board of Directors or Trustees, the
Chairman or Vice-Chairman of the Executive or Standing Committee of the Board of
Directors or Trustees, the President, any Vice-President, the Secretary, any
Assistant Secretary, the Treasurer, any Assistant Treasurer, the Controller and
any Assistant Controller or any other officer of the Servicer customarily
performing functions similar to those performed by any of the above-designated
officers and also, with respect to a particular matter, any other officer to
whom such matter is referred because of such officer's knowledge of and
familiarity with the particular subject. When used with respect to the Depositor
or any other Person, the Chairman or Vice-Chairman of the Board of Directors,
the Chairman or Vice-Chairman of any executive committee of the Board of
Directors, the President, any Vice-President, the Secretary, any Assistant
Secretary, the Treasurer, any Assistant Treasurer, or any other officer of the
Depositor customarily

                                       25

<PAGE>

performing functions similar to those performed by any of the above-designated
officers and also, with respect to a particular matter, any other officer to
whom such matter is referred because of such officer's knowledge of and
familiarity with the particular subject.

     RETAIL CERTIFICATES: The Class A-3 Certificates and Class A-4 Certificates.

     S&P: Standard & Poor's, a division of The McGraw Hill Companies, Inc.
provided, that at any time it is a Rating Agency.

     SCHEDULED PRINCIPAL BALANCE: With respect to any Loan as of any
Distribution Date, the unpaid principal balance of such Loan as specified in the
amortization schedule at the time relating thereto (before any adjustment to
such schedule by reason of bankruptcy or similar proceeding or any moratorium or
similar waiver or grace period) as of the first day of the month preceding the
month of such Distribution Date, after giving effect to any previously applied
Curtailments, the payment of principal due on such first day of the month and
any reduction of the principal balance of such Loan by a bankruptcy court,
irrespective of any delinquency in payment by the related Mortgagor.

     SECURITIES ACT: The Securities Act of 1933, as amended.

     SELLER: ABN AMRO Mortgage Group, Inc.

     SENIOR CERTIFICATES: The Class A and Class R Certificate, collectively.

     SENIOR LIQUIDATION AMOUNT: The aggregate, for each Loan which became a
Liquidated Loan during the applicable Prepayment Period, of the lesser of: (i)
the Senior Percentage of the Principal Balance of such Loan (exclusive of the
Discount Fraction thereof, if applicable), and (ii) the Senior Prepayment
Percentage of the Liquidation Principal with respect to such Loan.

     SENIOR PERCENTAGE: As of the Closing Date, approximately 98.75%, and
thereafter, with respect to any Distribution Date, the sum of the Class
Principal Balances of the Senior Certificates (other than the Class A-P
Certificates) divided by aggregate Scheduled Principal Balance of all Loans
(reduced by the Discount Fraction of the Discount Loans), in each case
immediately prior to such Distribution Date.

     SENIOR PREPAYMENT PERCENTAGE: (i) On any Distribution Date occurring before
the Distribution Date in the month of February 2008, 100%; (ii) on any other
Distribution Date on which the Senior Percentage for such Distribution Date
exceeds the initial Senior Percentage as of the Cut-Off Date, 100%; and (iii) on
any other Distribution Date in each of the months of February 2008 and
thereafter, 100%, unless:

          (a) the mean aggregate Principal Balance of the Loans which are 60 or
     more days delinquent (including loans in foreclosure and property held by
     the Trust Fund) for each of

                                       26

<PAGE>

     the immediately preceding six calendar months is less than or equal to 50%
     of the Subordinate Amount as of such Distribution Date, and

          (b) cumulative Realized Losses on the Loans allocated to the
     Subordinate Certificates are less than or equal to the following amounts:

                                                 PERCENTAGE OF THE SUBORDINATE
   DISTRIBUTION DATE OCCURRING IN                AMOUNT AS OF THE CUT-OFF DATE
   ------------------------------                -----------------------------
February 2008 through January 2009........                     30%
February 2009 through January 2010........                     35%
February 2010 through January 2011........                     40%
February 2011 through January 2012........                     45%
February 2012 and thereafter..............                     50%

     in which case, the Senior Prepayment Percentage shall be as follows:

   DISTRIBUTION DATE OCCURRING IN                 SENIOR PREPAYMENT PERCENTAGE
   ------------------------------                 ----------------------------
February 2003 through January 2008........        100%
February 2008 through January 2009........        SENIOR PERCENTAGE + 70% of
                                                  SUBORDINATE PERCENTAGE
February 2009 through January 2010........        SENIOR PERCENTAGE + 60% of
                                                  SUBORDINATE PERCENTAGE
February 2010 through January 2011........        SENIOR PERCENTAGE + 40% of
                                                  SUBORDINATE PERCENTAGE
February 2011 through January 2012........        SENIOR PERCENTAGE + 20% of
                                                  SUBORDINATE PERCENTAGE
February 2012 and thereafter..............        SENIOR PERCENTAGE

     If on any Distribution Date the allocation to the Certificates (other than
the Class A-P Certificates) of Principal Prepayments in the percentage required
would reduce the sum of the Class Principal Balances of the Certificates (other
than the Class A-P Certificates) below zero, the Senior Prepayment Percentage
for such Distribution Date shall be limited to the percentage necessary to
reduce such sum to zero. Notwithstanding the foregoing, however, on each
Distribution Date, the Class A-P Certificates will receive the Discount Fraction
of all principal payments, including, without limitation, Principal Prepayments,
received in respect of each Discount Loan.

     SENIOR PRINCIPAL AMOUNT: For any Distribution Date, an amount equal to the
sum of (a) the Senior Percentage of the Principal Payment Amount for the Loans
(exclusive of the Discount Fractional Principal Amount), (b) the Senior
Prepayment Percentage of the Principal Prepayment Amount for the Loans
(exclusive of the Discount Fractional Principal Amount) and (c) the Senior
Liquidation Amount.

                                       27

<PAGE>

     SENIOR SUBORDINATE CERTIFICATES: The Class M, Class B-1 and Class B-2
Certificates, collectively.

     SERVICER: ABN AMRO Mortgage Group, Inc., a Delaware corporation, or any
successor thereto appointed as provided pursuant to Section 7.5, acting to
service and administer such Loans pursuant to Section 3.1.

     SERVICER'S SECTION 3.10 REPORT: A report delivered by the Servicer to the
Trustee or the Certificate Administrator pursuant to Section 3.10.

     SERVICING FEE: For each Loan, the fee paid to the Servicer to perform
primary servicing functions with respect to such Loan, equal to the per annum
rate of 0.2500% for each Loan in the Loan Schedule on the outstanding Principal
Balance of such Loan.

     SERVICING OFFICER: Any individual involved in, or responsible for, the
administration and servicing of the Loans whose name and specimen signature
appear on a list of servicing officers furnished to the Trustee on the Closing
Date by the Servicer in the form of an Officer's Certificate, as such list may
from time to time be amended.

     SPECIAL HAZARD COVERAGE: As of the Cut-Off Date approximately $3,183,467,
and thereafter on each anniversary of the Cut-Off Date, the Special Hazard
Coverage shall be reduced, but not increased, to an amount equal to the lesser
of (1) the greatest of (a) the aggregate Principal Balance of the Loans located
in the single California zip code area containing the largest aggregate
Principal Balance of the Loans, (b) 1% of the aggregate unpaid Principal Balance
of the Loans and (c) twice the unpaid Principal Balance of the largest single
Loan, in each case calculated as of the Due Date in the immediately preceding
month, and (2) the Special Hazard Coverage as of the Cut-off Date as reduced by
the Special Hazard Losses allocated to the Certificates since the Cut-Off Date.
Special Hazard Coverage may be reduced upon written confirmation from each
Rating Agency that such reduction will not adversely affect the then current
ratings assigned to the Certificates by each Rating Agency.

     SPECIAL HAZARD LOSS: The occurrence of any direct physical loss or damage
to a Mortgaged Property not covered by a standard hazard maintenance policy with
extended coverage which is caused by or results from any cause except: (i) fire,
lightning, windstorm, hail, explosion, riot, riot attending a strike, civil
commotion, vandalism, aircraft, vehicles, smoke, sprinkler leakage, except to
the extent of that portion of the loss which was uninsured because of the
application of a co-insurance clause of any insurance policy covering these
perils; (ii) normal wear and tear, gradual deterioration, inherent vice or
inadequate maintenance of all or part thereof; (iii) errors in design, faulty
workmanship or materials, unless the collapse of the property or a part thereof
ensues and then only for the ensuing loss; (iv) nuclear reaction or nuclear
radiation or radioactive contamination, all whether controlled or uncontrolled
and whether such loss be direct or indirect, proximate or remote or be in whole
or in part caused by, contributed to or aggravated by a peril covered by this
definition of Special Hazard Loss; (v) hostile or warlike action in time of
peace or war, including action in

                                       28

<PAGE>

hindering, combating or defending against an actual, impending or expected
attack (a) by any government or sovereign power (dejure or defacto), or by an
authority maintaining or using military, naval or air forces, (b) by military,
naval or air forces, or (c) by an agent of any such government, power, authority
or forces; (vi) any weapon of war employing atomic fission or radioactive force
whether in time of peace or war; (vii) insurrection, rebellion, revolution,
civil war, usurped power or action taken by governmental authority in hindering,
combating or defending against such occurrence; or (viii) seizure or destruction
under quarantine or customs regulations, or confiscation by order of any
government or public authority.

     STEP DOWN PERCENTAGE: For any Distribution Date will be the percentage
indicated below:

         DISTRIBUTION DATE OCCURRING IN                 STEP DOWN PERCENTAGE
         ------------------------------                 --------------------
     February 2003 through January 2008..........              0%
     February 2008 through January 2009..........              30%
     February 2009 through January 2010..........              40%
     February 2010 through January 2011..........              60%
     February 2011 through January 2012..........              80%
     February 2012 and thereafter................             100%

     SUBORDINATE AMOUNT: The excess of the aggregate Scheduled Principal Balance
of the Loans over the Senior Certificate Principal Balance.

     SUBORDINATE CERTIFICATES: The Class M, Class B-1, Class B-2, Class B-3,
Class B-4 and Class B-5 Certificates, collectively, and designated as such on
the face thereof in substantially the form attached hereto as Exhibits A and for
purposes of this Agreement, the "order of seniority" from highest to lowest of
such certificates shall be the order designated in the beginning of this
definition.

     SUBORDINATE LIQUIDATION AMOUNT: The excess, if any, of the aggregate of
Liquidation Principal for all the Loans which became Liquidated Loans during the
applicable Prepayment Period, over the related Senior Liquidation Amount for
such Distribution Date.

     SUBORDINATE PERCENTAGE: As of the Closing Date approximately 1.25%, and
thereafter, with respect to any Distribution Date, the excess of 100% over the
Senior Percentage for such date.

     SUBORDINATE PREPAYMENT PERCENTAGE: As of the Closing Date, approximately
0%, and thereafter, with respect to any Distribution Date, the excess of 100%
over the Senior Prepayment Percentage.

     SUBORDINATE PRINCIPAL AMOUNT: On any Distribution Date, will be equal to
the sum of:

          (1) the Subordinate Percentage of the Principal Payment Amount
(exclusive of the portion thereof attributable to the Discount Fractional
Principal Amount);

                                       29

<PAGE>

          (2) the Subordinate Principal Prepayment Amount; and

          (3) the Subordinate Liquidation Amount;

provided, however, that the Subordinate Principal Amount shall be reduced by the
amounts required to be distributed to the Principal Only Certificates with
respect to the Discount Fractional Principal Shortfall on such Distribution
Date.

     Any reduction in the Subordinate Principal Amount pursuant to the proviso
above shall offset the amount calculated pursuant to clause (1), clause (3) and
clause (2), in such order of priority. On any Distribution Date, the Subordinate
Principal Amount shall be allocated pro rata, by Class Principal Balance, among
the Classes of Subordinate Certificates and paid in the order of distribution to
such Classes pursuant to clause (I)(b) of the definition of "Certificate
Distribution Amount" herein, except as otherwise stated in such definition.
Notwithstanding the foregoing, on any Distribution Date prior to distributions
on such date, if the Subordination Level for any Class of Subordinate
Certificates is less than such percentage as of the Closing Date, the pro rata
portion of the Subordinate Principal Prepayment Amount otherwise allocable to
the Class or Classes junior to such Class will be distributed to the most senior
Class of the Subordinate Certificates for which the Subordination Level is less
than such percentage as of the Closing Date, and to the Classes of Subordinate
Certificates senior thereto, pro rata according to the Class Principal Balances
of such Classes.

     SUBORDINATE PRINCIPAL PREPAYMENT AMOUNT: On any Distribution Date, the
Subordinate Prepayment Percentage of the Principal Prepayment Amount for the
Loans (exclusive of the portion thereof attributable to the Discount Fractional
Principal Amount).

     SUBORDINATION LEVEL: On any specified date, with respect to any Class of
Subordinate Certificates, the percentage obtained by dividing: (1) the sum of
the Class Principal Balances of all Classes of Certificates which are
subordinate in right of payment to such Class as of such date before giving
effect to distributions or allocations of Realized Losses on the Loans on such
date; by (2) the sum of the Class Principal Balances of all Classes of
Certificates as of such date before giving effect to distributions or
allocations of Realized Losses on the Loans on such date.

     SUBSTITUTE LOAN: As defined in Section 2.2.

     TAX MATTERS PERSON: The Holder of the Class R Certificate issued hereunder
or any Permitted Transferee of such Class R Certificateholder shall be the
initial "tax matters person" for the REMIC within the meaning of Section
6231(a)(7) of the Code. For tax years commencing after any transfer of the Class
R Certificate, the holder of the greatest Percentage Interest in the Class R
Certificate at year end shall be designated as the Tax Matters Person with
respect to that year. If the Tax Matters Person becomes a Disqualified
Organization, the last preceding Holder of such Authorized Denomination of the
Class R Certificate that is not a Disqualified Organization shall be Tax Matters
Person pursuant to Section 5.1(c). If any Person is appointed as tax matters
person by the Internal

                                       30

<PAGE>

Revenue Service pursuant to the Code, such Person shall be Tax Matters Person.

     TRANSFER: As defined in Section 5.1(b).

     TRANSFEREE: As defined in Section 5.1(b).

     TRANSFEREE AFFIDAVIT AND AGREEMENT: As defined in Section 5.1(c)(i)(B).

     TRUST FUND: The corpus of the trust created pursuant to Section 2.1 of this
Agreement. The Trust Fund consists of (i) the Loans and all rights pertaining
thereto; (ii) such assets as from time to time may be held by the Trustee
(except amounts representing the Servicing Fee and amounts on deposit in Escrow
Accounts); including the Certificate Account and all amounts deposited therein
pursuant to the applicable provisions of this Agreement; (iii) such assets as
from time to time may be held by the Servicer in a Custodial Account for P&I
related to the Loans (except amounts representing the Servicing Fee); (iv)
property which secured a Loan and which has been acquired by foreclosure or deed
in lieu of foreclosure after the Cut-Off Date; (v) amounts paid or payable by
the insurer under any FHA insurance policy and proceeds of any VA guaranty and
any other insurance policy related to any Loan or the Mortgage Pool and (vi) the
rights and remedies of the Depositor contained in Section 8 of the Mortgage Loan
Purchase Agreement dated as of the Closing Date, between the Seller and the
Depositor.

     TRUSTEE: JPMorgan Chase Bank, a New York state banking corporation, or its
successor-in-interest as provided in Section 8.9, or any successor trustee
appointed as herein provided.

     UNCOLLECTED INTEREST: With respect to any Distribution Date for any Loan on
which a Payoff was made by a Mortgagor during the related Prepayment Period, an
amount equal to one month's interest at the applicable Pass-Through Rate on such
Loan less the amount of interest actually paid by the Mortgagor with respect to
such Payoff.

     UNCOMPENSATED INTEREST SHORTFALL: For any Distribution Date, the excess, if
any, of (i) the sum of (a) aggregate Uncollected Interest, (b) aggregate
Curtailment Shortfall and (c) any shortfall in interest collections in the
calendar month immediately preceding such Distribution Date resulting from a
Relief Act Interest Shortfall over (ii) Compensating Interest, which excess
shall be allocated to each Class of Certificates pro rata according to the
amount of interest accrued thereon in reduction thereof.

     UNDERWRITERS: Credit Suisse First Boston LLC and ABN AMRO Financial
Services, Inc.

     U.S. PERSON: A citizen or resident of the United States, a corporation or
partnership (including an entity treated as a corporation or partnership for
federal income tax purposes) created or organized in, or under the laws of, the
United States or any state thereof or the District of Columbia (except, in the
case of a partnership, to the extent provided in regulations) or an estate

                                       31

<PAGE>

whose income is subject to United States federal income tax regardless of its
source, or 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 such
U.S. Persons have the authority to control all substantial decisions of the
trust. To the extent prescribed in regulations by the Secretary of the Treasury,
which have not yet been issued, a trust which was in existence on August 20,
1996 (other than a trust treated as owned by the grantor under subpart E of part
1 of subchapter J of chapter 1 of the Code), and which was treated as a U.S.
Person on August 20, 1996 may elect to continue to be treated as a U.S. Person
notwithstanding the previous sentence.

     VA: The Department of Veterans Affairs, formerly known as the Veterans
Administration, or any successor thereto.

     WITHDRAWAL DATE: The Business Day immediately preceding the related
Distribution Date.

     All references to the origination date or original date in the Loan
Schedule with respect to a Loan shall refer to the date upon which the related
Mortgage Note was originated or modified, whichever is later.

                                       32

<PAGE>

                                   ARTICLE II

                            CONVEYANCE OF TRUST FUND;
                        ORIGINAL ISSUANCE OF CERTIFICATES

     Section 2.1 CONVEYANCE OF TRUST FUND. The Depositor, concurrently with the
execution and delivery hereof, does hereby irrevocably sell, convey and assign
to the Trustee and the REMIC without recourse all the right, title and interest
of the Depositor in and to the Trust Fund, for the benefit respectively of the
REMIC and the Certificateholders, including all interest and principal received
by the Depositor with respect to the Loans after the Cut-Off Date (and including
without limitation scheduled payments of principal and interest due after the
Cut-Off Date but received by the Depositor on or before the Cut-Off Date, but
not including payments of principal and interest due on the Loans on or before
the Cut-Off Date). The Depositor, at its own expense, shall file or cause to be
filed protective Form UCC-1 financing statements with respect to the Loans in
the State of Illinois or other applicable jurisdiction, listing itself as
"Debtor" under such financing statement and listing the Trustee, for the benefit
of the Certificateholders, as "Secured Party" under such financing statement.

     In connection with such assignment, the Depositor does hereby deliver to,
and deposit with, the Trustee for the benefit of the Certificateholders the
following documents or instruments with respect to each Loan so assigned:

          (i) The original Mortgage Note (or, if the original Mortgage Note has
     been lost or destroyed, a lost note affidavit and indemnity) bearing all
     intervening endorsements endorsed, "Pay to the order of JPMorgan Chase
     Bank, as Trustee, for the benefit of the Certificateholders of ABN AMRO
     Mortgage Corporation Series 2003-1 Attn: Institutional Trust Services, 600
     Travis Street, 9th Floor, Houston, Texas 77002, without recourse" and
     signed in the name of the Seller by an Authorized Officer showing an
     unbroken chain of title from the originator thereof to the person
     endorsing;

          (ii) (a) The original Mortgage with evidence of recording thereon, and
     if the Mortgage was executed pursuant to a power of attorney, a certified
     true copy of the power of attorney certified by the recorder's office, with
     evidence of recording thereon, or certified by a title insurance company or
     escrow company to be a true copy thereof; provided, that if such original
     Mortgage or power of attorney cannot be delivered with evidence of
     recording thereon on or prior to the Closing Date because of a delay caused
     by the public recording office where such original Mortgage has been
     delivered for recordation or because such original Mortgage has been lost,
     the Depositor shall deliver or cause to be delivered to the Trustee a true
     and correct copy of such Mortgage, together with (1) in the case of a delay
     caused by the public recording office, an Officer's Certificate signed by a
     Responsible Officer of the Seller stating that such original Mortgage has
     been dispatched to the appropriate public recording official for
     recordation or (2) in the case of an original Mortgage

                                       33

<PAGE>

     that has been lost, a certificate by the appropriate county recording
     office where such Mortgage is recorded or from a title insurance company or
     escrow company indicating that such original was lost and the copy of the
     original mortgage is a true and correct copy;

          (b) The original Assignment to "JPMorgan Chase Bank, as Trustee,"
     which assignment shall be in form and substance acceptable for recording,
     or a copy certified by the Seller as a true and correct copy of the
     original Assignment which has been sent for recordation. Subject to the
     foregoing, such assignments may, if permitted by law, be by blanket
     assignments for Loans covering Mortgaged Properties situated within the
     same county. If the Assignment is in blanket form, a copy of the Assignment
     shall be included in the related individual Mortgage File.

          (iii) The originals of any and all instruments that modify the terms
     and conditions of the Mortgage Note, including but not limited to
     modification, consolidation, extension and assumption agreements including
     any adjustable rate mortgage (ARM) rider, if any,

          (iv) The originals of all required intervening assignments, if any,
     with evidence of recording thereon, and if such assignment was executed
     pursuant to a power of attorney, a certified true copy of the power of
     attorney certified by the recorder's office, with evidence of recording
     thereon, or certified by a title insurance company or escrow company to be
     a true copy thereof; provided, that if such original assignment or power of
     attorney cannot be delivered with evidence of recording thereon on or prior
     to the Closing Date because of a delay caused by the public recording
     office where such original assignment has been delivered for recordation or
     because such original Assignment has been lost, the Depositor shall deliver
     or cause to be delivered to the Trustee a true and correct copy of such
     Assignment, together with (a) in the case of a delay caused by the public
     recording office, an Officer's Certificate signed by a Responsible Officer
     of the Seller stating that such original assignment has been dispatched to
     the appropriate public recording official for recordation or (b) in the
     case of an original assignment that has been lost, a certificate by the
     appropriate county recording office where such assignment is recorded or
     from a title insurance company or escrow company indicating that such
     original was lost and the copy of the original assignment is a true and
     correct copy; and

          (v) The original mortgagee policy of title insurance (including, if
     applicable, the endorsement relating to the negative amortization of the
     Loans) or in the event such original title policy is unavailable, any one
     of an original title binder, an original preliminary title report or an
     original title commitment or a copy thereof certified by the title company
     with the original policy of title insurance to follow within 180 days of
     the Closing Date.

     The documents and instruments set forth in clauses (i) - (v) above shall be
called, collectively, the "Mortgage File".

     If the Depositor cannot deliver the original Mortgage with evidence of
recording thereon

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<PAGE>

concurrently with the execution and delivery of this Agreement because of a
delay caused by the public recording office where such original Mortgage has
been delivered for recordation, the Depositor shall deliver to the Trustee an
Officer's Certificate, with a photocopy of such Mortgage attached thereto,
stating that such original Mortgage has been delivered to the appropriate public
recording official for recordation. The Depositor shall promptly deliver to the
Trustee such original Mortgage with evidence of recording indicated thereon upon
receipt thereof from the public recording official.

     The Depositor shall, at its own expense, promptly record or cause to be
recorded in the appropriate public real property or other records each
Assignment referred to in Section 2.1(ii), unless the Depositor delivers to the
Trustee an Independent opinion of counsel to the effect that such recordation is
not necessary to protect the Trustee's and the Certificateholders' interest in
the related Mortgage Loans, in which case such Assignments shall be delivered to
the Trustee for the benefit of the Certificateholders in recordable form. If the
Depositor cannot deliver the original Assignment concurrently with the execution
and delivery of this Agreement solely because it is in the process of being
prepared and recorded or because of a delay caused by the public recording
office where such original Assignment has been delivered for recordation, the
Depositor shall deliver a blanket Officer's Certificate covering all such
Assignments stating that such original Assignment is in the process of being
prepared and recorded or it has been delivered to the appropriate public
recording official for recordation. Any such original recorded Assignment shall
be delivered to the Trustee within 180 days following the execution of this
Agreement.

     If the Depositor cannot deliver the original title insurance policy
concurrently with the execution and delivery of this Agreement, the Depositor
shall promptly deliver each such original title insurance policy as soon as such
policy becomes available but in no event later than 120 days following the
execution of this Agreement.

     All rights arising out of Loans including, without limitation, all funds
received on or in connection with a Loan shall be held by the Depositor in trust
for the benefit of the Certificateholders. The Depositor shall maintain a
complete set of books and records for each Loan which shall be clearly marked to
reflect the ownership of each Loan by the Certificateholders.

     It is the express intent of this Agreement that the conveyance of the Loans
by the Depositor to the Trustee as provided in this Section 2.1 be, and be
construed as, a sale of the Loans by the Depositor to the Trustee and that the
sale of the Certificates to the Certificateholders, if they are sold, be, and be
construed as, a sale of a 100% interest in the Loans and the Trust Fund to such
Certificateholders. It is, further, not the intention of this Agreement that
such conveyance be deemed a pledge of the Loans by the Depositor to the Trustee
to secure a debt or other obligation of the Depositor. However, in the event
that, notwithstanding the intent of this Agreement, the Loans are held to be
property of the Depositor, or if for any other reason this Agreement is held or
deemed to create a security interest in the Loans, then (a) this Agreement shall
also be deemed to be a security agreement within the meaning of Articles 8 and 9
of the New York Uniform Commercial Code; (b) the conveyance provided for in this
Section 2.1 shall be deemed to be a grant by the Depositor to the

                                       35

<PAGE>

Trustee for the benefit of the Certificateholders of a security interest in all
of the Depositor's right, title and interest in and to the Loans and all amounts
payable to the holders of the Loans in accordance with the terms thereof and all
proceeds of the conversion, voluntary or involuntary, of the foregoing into
cash, instruments, securities or other property, including without limitation
all amounts, other than investment earnings, from time to time held or invested
in the Certificate Account, whether in the form of cash, instruments, securities
or other property; (c) the possession by the Trustee or any Custodian of
Mortgage Notes and such other items of property as constitute instruments,
money, negotiable documents or chattel paper shall be deemed to be "in
possession by the secured party" for purposes of perfecting the security
interest pursuant to Section 9-305 of the New York Uniform Commercial Code; and
(d) notifications to persons holding such property, and acknowledgments,
receipts or confirmations from persons holding such property, shall be deemed
notifications to, or acknowledgments, receipts or confirmations from, financial
intermediaries, bailees or agents (as applicable) of the Trustee for the benefit
of the Certificateholders for the purpose of perfecting such security interest
under applicable law (except that nothing in this clause (d) shall cause any
person to be deemed to be an agent of the Trustee for any purpose other than for
perfection of such security interest unless, and then only to the extent,
expressly appointed and authorized by the Trustee in writing). The Depositor and
the Trustee, upon directions from the Depositor, shall, to the extent consistent
with this Agreement, take such actions as may be necessary to ensure that, if
this Agreement were deemed to create a perfected security interest in Loans,
such security interest would be deemed to be a perfected security interest of
first priority under applicable law and will be maintained as such throughout
the term of this Agreement.

     The Trustee is authorized to appoint LaSalle Bank National Association,
Standard Federal Bank, N.A. or any bank or trust company approved by the
Depositor as Custodian of the documents or instruments referred to under (i)
through (v) above, and to enter into a Custodial Agreement for such purpose and
any documents delivered thereunder shall be delivered to the Custodian and any
Officer's Certificates delivered with respect thereto shall be delivered to the
Trustee and the Custodian.

     Section 2.2 ACCEPTANCE BY TRUSTEE. (a) The Trustee acknowledges, subject to
the provisions of Section 2.1 and to any document exceptions reported pursuant
to the Trustee's reviews as described below, receipt of the Mortgage Notes (or
lost note affidavits and indemnities), the Mortgages, the assignments of the
Mortgages and the Officer's Certificates referred to in Section 2.1 above, and
declares that it holds and will hold such documents and the other documents
constituting a part of the Mortgage Files delivered to it as Trustee in trust,
upon the trusts herein set forth, for the use and benefit of all present and
future Certificateholders. The Trustee acknowledges that, as of the date of the
execution of this Agreement, the Mortgage Files have been delivered to the
Trustee and the Trustee has conducted a preliminary review of the Mortgage
Files. The Trustee further acknowledges that such review included a review of
the Mortgage Notes (or lost note affidavits and indemnities) to determine that
the appropriate Mortgage Notes (or lost note affidavits and indemnities) have
been delivered and endorsed in the manner set forth in Section 2.1(i). In
connection with such review, the Trustee shall have delivered an exceptions
report indicating any discrepancies relating to such review.

                                       36

<PAGE>

     (b) No later than 90 days after the Closing Date, the Trustee agrees, for
the benefit of the Certificateholders, to review each Mortgage File delivered to
it and to execute and deliver, or cause to be executed and delivered, to the
Depositor and the Trustee an Interim Certification substantially in the form
attached hereto as Exhibit H-1. In conducting such review, the Trustee agrees to
ascertain that all required documents set forth in items (i), (ii) and (v) and,
to the extent delivered to the Trustee, items (iii) and (iv) of Section 2.1 have
been executed and received, and that such documents relate to the Loans
identified in Exhibit D annexed hereto, and in so doing the Trustee may rely on
the purported due execution and genuineness of any such document and on the
purported genuineness of any signature thereon. The Trustee shall have no duty
to verify or determine whether any Mortgage File should contain documents
described in Sections 2.1(iii) and (iv). Neither the Trustee nor the Custodian
shall be responsible for determining whether any assignment or mortgage
delivered pursuant to Section 2.1(ii) is in recordable form or, if recorded, has
been properly recorded. The Trustee shall be under no duty or obligation to
inspect, review or make any independent examination of any documents contained
in each Mortgage File beyond the review specifically required herein. The
Trustee makes no representations as to (i) the validity, legality, sufficiency,
enforceability or genuineness of any of the documents contained in each Mortgage
File or any of the Loans identified on the Loan Schedule, or (ii) the
collectability, insurability, effectiveness or suitability of any such Loan. If
at the conclusion of such 90-day period the Trustee finds any document
constituting part of the Mortgage File not to have been executed or received, or
to be unrelated to the Loans identified in Exhibit D (each such finding, a
"material defect"), the Trustee shall promptly notify the Depositor, which shall
have a period of 90 days after the REMIC has received such notice to correct or
cure any such material defect; provided, however, that if the Trustee shall not
have received a document by reason of the fact that such document shall not have
been returned by the appropriate recording office then the Depositor shall have
until a date one year later from the Cut-Off Date to correct or cure such
defect. The Depositor hereby covenants and agrees that, if any such material
defect as defined above is not corrected or cured, the Depositor will, within 90
days of the REMIC having received notice, either (i) repurchase the related Loan
at a price equal to 100% of the Principal Balance of such Loan (or any property
acquired in respect thereof) plus accrued interest on such Principal Balance at
the applicable Mortgage Interest Rate to the next scheduled Due Date of such
Loan or (ii) substitute for any Loan to which such material defect relates a
different mortgage loan (a "Substitute Loan") maturing no later than and not
more than two years earlier than the loan being substituted for; and having a
principal balance equal to or less than the Loan being substituted for and a
Mortgage Interest Rate equal to or greater than the Mortgage Interest Rate of
the Loan being substituted for, a Loan-to-Value Ratio equal to or less than the
Loan-to-Value Ratio of the Loan being substituted for and otherwise having such
characteristics so that the representations and warranties of the Depositor set
forth in Section 2.3 hereof would not have been incorrect had such Substitute
Loan originally been a Loan; provided, however, that if the Principal Balance of
the original Loan exceeds the principal balance of the Substitute Loan, an
amount equal to that difference shall be deposited by the Depositor in the
Certificate Account; provided, further, that if the defect would cause the Loan
to be other than a "qualified mortgage" as defined in Section 860(G)(a)(3) of
the Code such cure, repurchase or substitution must occur within 90 days from
the date such material defect was discovered, unless the Trustee shall have
received

                                       37

<PAGE>

from the Depositor an Opinion of Counsel to the effect that such cure,
repurchase or substitution will not adversely affect the REMIC status of the
Trust Fund or constitute a prohibited transaction or substitution under the
REMIC provisions of the Code, and, if applicable, within the meaning of the
REMIC Provisions of the particular State, if any, which would impose a tax on
the Trust Fund.

     (c) In addition, the Trustee agrees, for the benefit of Certificateholders,
to review each Mortgage File delivered to it within 180 days, or with respect to
assignments which must be recorded, within 180 days, after execution of this
Agreement and to execute and deliver, or cause to be executed and delivered, to
the Depositor and the Trustee a Final Certification substantially in the form
attached hereto as Exhibit H-2. In conducting such review, the Trustee agrees
that if at the conclusion of such 180-day period the Trustee finds a material
defect, the Trustee shall promptly notify the Depositor, which shall have a
period of 90 days after the REMIC has received such notice to correct or cure
any such material defect. The Depositor hereby covenants and agrees that, if any
such material defect as defined above is not corrected or cured, the Depositor
will, within 90 days of the REMIC having received such notice, either repurchase
the related Loan or substitute for any Loan to which such material defect
relates in accordance with this Agreement.

     Monthly Payments due with respect to Substitute Loans in the month of
substitution are not a part of the Trust Fund and will be retained by the
Servicer. The Depositor shall notify each Rating Agency of any such
substitution. For the month of substitution, distributions to Certificateholders
will include the Monthly Payment due on the Loan being substituted for in such
month. The purchase price for the repurchased Loan or property shall be
deposited by the Depositor in the Certificate Account and in the case of a
Substitute Loan, the Mortgage File relating thereto shall be delivered to the
Trustee or the Custodian. Upon receipt by the Trustee of written notification of
such deposit signed by a Servicing Officer or the new Mortgage File, as the case
may be, and an Officer's Certificate that such repurchase or substitution is in
accordance with this Agreement, the Trustee shall release or cause to be
released to the Depositor the related Mortgage File for the Loan being
repurchased or substituted for, as the case may be, and shall execute and
deliver or cause to be executed and delivered such instrument of transfer or
assignment presented to it by the Depositor, in each case without recourse, as
shall be necessary to transfer to the Depositor the Trustee's interest in such
original or repurchased Loan or property and the Trustee shall have no further
responsibility with regard to such Loan. It is understood and agreed that the
obligation of the Depositor to substitute a new Loan for or repurchase any Loan
or property as to which such a material defect in a constituent document exists
shall constitute the sole remedy respecting such defect available to
Certificateholders or the Trustee on behalf of Certificateholders, but such
obligation shall survive termination of this Agreement.

     Section 2.3 REPRESENTATIONS AND WARRANTIES OF THE DEPOSITOR WITH RESPECT TO
THE LOANS. The Depositor hereby represents and warrants to the Trustee as of the
Closing Date with respect to the Loans:

          (i) that the information set forth in the Loan Schedule appearing as
     an exhibit to this Agreement is true and correct in all material respects
     at the date or dates respecting

                                       38

<PAGE>

     which such information is furnished as specified therein;

          (ii) that as of the date of the transfer of the Loans to the Trustee,
     the Depositor is the sole owner and holder of each Loan free and clear of
     all liens, pledges, charges or security interests of any nature and has
     full right and authority, subject to no interest or participation of, or
     agreement with, any other party, to sell and assign the same;

          (iii) that as of the date of initial issuance of the Certificates, no
     payment of principal of or interest on or in respect of any Loan is 30 days
     or more past due from the Due Date of such Loan;

          (iv) that to the best of the Depositor's knowledge, as of the date of
     the transfer of the Loans to the Trustee, there is no valid offset, defense
     or counterclaim to any Mortgage Note or Mortgage;

          (v) that as of the date of the initial issuance of the Certificates,
     there is no proceeding pending, or to the best of the Depositor's
     knowledge, threatened for the total or partial condemnation of any of the
     Mortgaged Property and, to the best of the Depositor's knowledge, the
     Mortgaged Property is free of material damage and is in good repair and
     neither the Mortgaged Property nor any improvement located on or being part
     of the Mortgaged Property is in violation of any applicable zoning law or
     regulation;

          (vi) that each Loan complies in all material respects with applicable
     state or federal laws, regulations and other requirements, pertaining to
     usury, equal credit opportunity and disclosure laws, and each Loan was not
     usurious at the time of origination;

          (vii) that to the best of the Depositor's knowledge, as of the date of
     the initial issuance of the Certificates, all insurance premiums previously
     due and owing with respect to the Mortgaged Property have been paid and all
     taxes and governmental assessments previously due and owing, and which may
     become a lien against the Mortgaged Property, with respect to the Mortgaged
     Property have been paid;

          (viii) that each Mortgage Note and the related Mortgage 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 by general
     equity principles (regardless of whether such enforcement is considered in
     a proceeding in equity or at law); all parties to the Mortgage Note and the
     Mortgage had legal capacity to execute the Mortgage Note and the Mortgage;
     and each Mortgage Note and Mortgage have been duly and properly executed by
     the Mortgagor;

          (ix) that each Mortgage is a valid and enforceable first lien on the
     property securing the related Mortgage Note, and that each Loan is covered
     by an ALTA mortgagee

                                       39

<PAGE>

     title insurance policy or other form of policy or insurance generally
     acceptable to FNMA or FHLMC, issued by, and is a valid and binding
     obligation of, a title insurer acceptable to FNMA or FHLMC insuring the
     originator, its successor and assigns, as to the lien of the Mortgage in
     the original principal amount of the Loan subject only to (a) the lien of
     current real property taxes and assessments not yet due and payable, (b)
     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
     Mortgaged Property is located or specifically referred to in the appraisal
     performed in connection with the origination of the related Loan and (c)
     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;

          (x) that as of the initial issuance of the Certificates, neither the
     Depositor nor any prior holder of any Mortgage has, except as the Mortgage
     File may reflect, modified the Mortgage in any material respect; satisfied,
     canceled or subordinated such Mortgage in whole or part; released such
     Mortgaged Property in whole or in part from the lien of the Mortgage; or
     executed any instrument of release, cancellation, modification or
     satisfaction;

          (xi) that each Mortgaged Property consists of a fee simple estate or a
     condominium form of ownership in real property;

          (xii) no foreclosure action is threatened or has been commenced
     (except for the filing of any notice of default) with respect to the Loan;
     and except for payment delinquencies not in excess of 30 days, to the best
     of the Depositor's knowledge, there is no default, breach, violation or
     event of acceleration existing under the Mortgage or the related Mortgage
     Note and no event which, with the passage of time or with notice and the
     expiration of any grace or cure period, would constitute a default, breach,
     violation or event of acceleration; and the Depositor has not waived any
     default, breach, violation or event of acceleration;

          (xiii) that each Loan was originated on FNMA or FHLMC uniform
     instruments for the state in which the Mortgaged Property is located;

          (xiv) that based upon a representation by each Mortgagor at the time
     of origination or assumption of the applicable Loan, 96.82% of the Loans
     measured by Principal Balance were to be secured by primary residences and
     no more than 3.18% of the Loans measured by Principal Balance were to be
     secured by second homes;

          (xv) that an appraisal of each Mortgaged Property was conducted at the
     time of origination of the related Loan, and that each such appraisal was
     conducted in accordance with FNMA or FHLMC criteria, on FNMA or FHLMC forms
     and comparables on at least three properties were obtained;

                                       40

<PAGE>

          (xvi) that no Loan had a Loan-to-Value Ratio at origination in excess
     of 95%;

          (xvii) the Loans were not selected in manner to adversely affect the
     interests of the Certificateholders and the Depositor knows of no
     conditions which reasonably would cause it to expect any Loan to become
     delinquent or otherwise lose value;

          (xviii) each Loan was either (A) originated directly by or closed in
     the name of either: (i) a savings and loan association, savings bank,
     commercial bank, credit union, insurance company, or similar institution
     which is supervised and examined by a federal or state authority or (ii) a
     mortgagee approved by the Secretary of Housing and Urban Development
     pursuant to Sections 203 and 211 of the National Housing Act or (B)
     originated or underwritten by an entity employing underwriting standards
     consistent with the underwriting standards of an institution as described
     in subclause (A)(i) or (A)(ii) above;

          (xix) each Loan is a "qualified mortgage" within the meaning of
     Section 860G of the Code without regard to Section 1.860G-2(f) of the REMIC
     Provisions or any similar rule;

          (xx) each Loan that has a Loan-to-Value Ratio in excess of 80% is
     covered by a primary mortgage insurance policy; and

          (xxi) that no Loan permits negative amortization or the deferral of
     accrued interest.

     It is understood and agreed that the representations and warranties set
forth in this Section 2.3 shall survive delivery of the respective Mortgage
Files to the Trustee, or to a Custodian, as the case may be. Upon discovery by
the Depositor, Servicer, the Trustee or any Custodian of a breach of any of the
foregoing representations and warranties (referred to herein as a "breach"),
without regard to any limitation set forth in such representation or warranty
concerning the knowledge of the Depositor as to the facts stated therein, which
breach materially and adversely affects the interests of the Certificateholders
in the related Loan, the party discovering such breach shall give prompt written
notice to the others and to each Rating Agency.

     Within 90 days of its discovery or its receipt or any Seller's receipt of
notice of breach, the Depositor shall or shall cause such Seller to cure such
breach in all material respects or shall repurchase the Loan or any property
acquired in respect thereof from the Trustee at a repurchase price equal to 100%
of the Principal Balance of such Loan plus accrued interest on such Principal
Balance at the Mortgage Interest Rate to the next scheduled Installment Due Date
of such Loan or remove such Loan from the Trust Fund and substitute in its place
a Substitute Loan or Loans with the characteristics set forth in Section 2.2
above for Substitute Loans; provided, however, that if such breach would cause
the Loan to be other than a "qualified mortgage" as defined in Section
860G(a)(3) of the Code, any such cure, repurchase or substitution must occur
within 90 days from the date such breach was discovered; provided, further, that
no substitution (or cure which would constitute a loan modification for federal
income tax purposes) may be effected any later than two years after the Closing
Date; provided, further, that as a pre-condition to any substitution (or cure

                                       41

<PAGE>

which would constitute a loan modification for federal income tax purposes) to
be effected later than 90 days after the Closing Date (and within two years of
the Closing Date), the Trustee shall receive from the Depositor an Opinion of
Counsel to the effect that such substitution (or cure which would constitute a
loan modification for federal income tax purposes) will not adversely affect the
REMIC status of the REMIC or constitute a prohibited transaction under the REMIC
Provisions of the Code and, if applicable, the REMIC provisions of the relevant
State. Except as expressly set forth herein, neither the Trustee nor the
Servicer is under any obligation to discover any breach of the above mentioned
representations and warranties. It is understood and agreed that the obligation
of the Depositor or the Seller to repurchase or substitute any Loan or property
as to which a breach has occurred and is continuing shall constitute the sole
remedy respecting such breach available to Certificateholders or the Trustee on
behalf of Certificateholders, and such obligation shall survive as the
obligation of the Depositor, the Seller or their respective successors.

     Section 2.4 AUTHENTICATION AND DELIVERY OF CERTIFICATES; DESIGNATION OF
CERTIFICATES AS REMIC REGULAR AND RESIDUAL INTERESTS.

     (a) The Trustee acknowledges the transfer to the extent provided herein and
assignment to it of the Trust Fund and, concurrently with such transfer and
assignment, has caused to be authenticated and delivered to or upon the order of
the Depositor, in exchange for the Trust Fund, Certificates evidencing the
entire ownership of the Trust Fund.

     (b) This Agreement shall be construed so as to carry out the intention of
the parties that the Trust Fund be treated as a REMIC at all times prior to the
date on which the Trust Fund is terminated. The "regular interests" (within the
meaning of Section 860G(a)(1) of the Code) of the REMIC shall consist of Class
A-1 Regular Interest, the Class A-2 Regular Interest, the Class A-3 Regular
Interest, the Class A-4 Regular Interest, the Class A-P Regular Interest, the
Class A-X Regular Interest, the Class M Regular Interest, the Class B-1 Regular
Interest, the Class B-2 Regular Interest, the Class B-3 Regular Interest, the
Class B-4 Regular Interest and the Class B-5 Regular Interest. The "residual
interest" (within the meaning of Section 860(G)(a)(2) of the Code) of the REMIC
shall consist of the Class R Certificate.

     (c) All payments with respect to each of the Class A-1, Class A-2, Class
A-3, Class A-4, Class A-P, Class A-X, Class M, Class B-1, Class B-2, Class B-3,
Class B-4 and Class B-5 Certificates shall each be considered to have been made
solely from the Regular Interest of the REMIC having the same designation. All
principal payments with respect to each such Class of Certificates (other than
the Class A-X Certificates) shall be considered to have been made solely from
the principal payments of the corresponding Regular Interests of the REMIC, and
the Class Principal Balance of each such Class of Certificate (other than the
Class A-X Certificates) shall be equal at all times to the principal balance of
each such corresponding Regular Interest of the REMIC. All interest payments
with respect to the Class A-X Certificates shall be considered to have been made
solely from the interest payments of the Class A-X Regular Interest of the
REMIC, and the notional amount of the Class A-X Regular Interest shall be equal
at all times to the Class A-X Notional Amount.

                                       42

<PAGE>

     The interest rate of each REMIC Regular Interest Class A-1, Class A-2,
Class A-3, Class A-4, Class A-X, Class M, Class B-1, Class B-2, Class B-3, Class
B-4 and Class B-5 shall be 5.00%. The Class A-P Regular Interest Classes shall
not bear interest, but will receive principal only in respect of the Loans.

     (d) The Class A-X Certificates shall be considered for federal income tax
purposes to have a notional amount equal to the total Principal Balance of the
Premium Loans.

     Section 2.5 DESIGNATION OF STARTUP DAY. The Closing Date is hereby
designated as the "startup day" of the REMIC within the meaning of Section
860G(a)(9) of the Code.

     Section 2.6 NO CONTRIBUTIONS. The Trustee shall not accept or make any
contribution of cash to the Trust Fund after 90 days of the Closing Date, and
shall not accept or make any contribution of other assets to the Trust Fund
unless, in either case, it shall have received an Opinion of Counsel to the
effect that the inclusion of such assets in the Trust Fund will not cause the
REMIC to fail to qualify as a REMIC at any time that any Class A or Subordinate
Certificates are outstanding or subject the Trust Fund to any tax on
contributions to the REMIC under Section 860G(d) of the Code.

     Section 2.7 REPRESENTATIONS AND WARRANTIES OF THE SERVICER. The Servicer
hereby represents, warrants and covenants to the Trustee for the benefit of
Certificateholders that, as of the date of execution of this Agreement:

     (a) the Servicer is a corporation duly formed and validly existing under
the laws of the State of Delaware;

     (b) the execution and delivery of this Agreement by the Servicer and its
performance of and compliance with the terms of this Agreement will not violate
the Servicer's corporate charter or by-laws or 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 Servicer is a party or which may be applicable to the Servicer or
any of its assets;

     (c) this Agreement, assuming due authorization, execution and delivery by
the Trustee and the Depositor, constitutes a valid, legal and binding obligation
of the Servicer, enforceable against it in accordance with the terms hereof
subject to applicable bankruptcy, insolvency, reorganization, moratorium and
other laws affecting the enforcement of creditors' rights generally and to
general principles of equity, regardless of whether such enforcement is
considered in a proceeding in equity or at law;

     (d) the Servicer is not in default with respect to any order or decree of
any court or any order, regulation or demand of any federal, state, municipal or
governmental agency, which default

                                       43

<PAGE>

might have consequences that would materially and adversely affect the condition
(financial or other) or operations of the Servicer or its properties or might
have consequences that would affect its performance hereunder;

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

     (f) as long as the Servicer has any obligations to service the Loans
hereunder (and it has not assigned such obligations pursuant to Section 3.1(c)),
it shall be a FNMA or a FHLMC-qualified servicer.

     It is understood and agreed that the representations and warranties set
forth in this Section 2.7 shall survive delivery of the respective Mortgage
Files to the Trustee, or to a Custodian, as the case may be.

                                       44

<PAGE>

                                   ARTICLE III

                      ADMINISTRATION AND SERVICING OF LOANS

     Section 3.1 SERVICER TO ACT AS SERVICER; ADMINISTRATION OF THE LOANS.

     (a) The Servicer shall service and administer the Loans on behalf of the
Trust Fund solely in the best interests of and for the benefit of the
Certificateholders (as determined by the Servicer in its reasonable judgment)
and the Trustee (as trustee for Certificateholders) in accordance with the terms
of this Agreement and the respective Loans and, to the extent consistent with
such terms, in the same manner in which, and with the same care, skill, prudence
and diligence with which, it services and administers similar mortgage loans for
other portfolios, giving due consideration to customary and usual standards of
practice of prudent institutional residential mortgage lenders and loan
servicers, and taking into account its other obligations hereunder, but without
regard to:

          (i) any relationship that the Servicer, any sub-servicer, any special
     servicer or any Affiliate of the Servicer, any sub-servicer or any special
     servicer may have with the related Mortgagor;

          (ii) the ownership of any Certificate by the Servicer, any special
     servicer or any Affiliate of the Servicer, any sub-servicer or any special
     servicer;

          (iii) the Servicer's, any sub-servicer's or any special servicer's
     right to receive compensation for its services hereunder or with respect to
     any particular transaction; or

          (iv) the ownership, or servicing or management for others, by the
     Servicer, any sub-servicer or any special servicer, of any other mortgage
     loans or property.

     To the extent consistent with the foregoing and subject to any express
limitations set forth in this Agreement, the Servicer shall seek to maximize the
timely and complete recovery of principal and interest on the Mortgage Notes;
provided, however, that nothing herein contained shall be construed as an
express or implied guarantee by the Servicer of the collectability of the Loans.
Subject only to the above-described servicing standards and the terms of this
Agreement and of the respective Loans, the Servicer, as an independent
contractor, shall service and administer the Loans and shall have full power and
authority, acting alone or through one or more subservicers, special servicers
or agents (subject to paragraph (c) of this Section 3.1), to do any and all
things in connection with such servicing and administration which it may deem
necessary or desirable for the purpose of conserving the assets of the Trust
Fund. Without limiting the generality of the foregoing, the Servicer shall and
is hereby authorized and empowered by the Trustee to continue to execute and
deliver, on behalf of itself, the Certificateholders and the Trustee or any of
them, any and all financing statements, continuation statements and other
documents or instruments necessary to maintain the lien on each Mortgaged
Property and related collateral; and modifications, waivers,

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<PAGE>

consents or amendments to or with respect to any documents contained in the
related Mortgage File; and 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 Loans and with respect to the
related Mortgaged Properties. Notwithstanding the foregoing, the Servicer
(whether acting alone or through one or more subservicers, special servicers or
agents) shall not modify, amend, waive or otherwise consent to the change of the
terms of any of the Loans (including without limitation extending the stated
maturity date of any Loan or forgiving principal of or interest on any Loan),
except as permitted by Section 3.2 hereof. The Servicer shall service and
administer the Loans in accordance with applicable law and shall provide to the
Mortgagors any reports required to be provided to them thereby. To enable the
Servicer to carry out its servicing and administrative duties hereunder, upon
the Servicer's written request accompanied by the forms of any documents
requested, the Trustee shall execute and deliver to the Servicer any powers of
attorney and other documents necessary or appropriate and the Trustee shall not
be responsible for releasing such powers of attorney. The Trustee shall not be
responsible for, and the Servicer shall indemnify the Trustee for, any action
taken by the Servicer pursuant to the application of any such power of attorney.
The relationship of the Servicer (and of any successor thereto) to the Trustee
under this Agreement is intended by the parties to be that of an independent
contractor and not that of a joint venturer, partner or agent.

     (b) The Servicer, Trustee and Depositor intend that the REMIC formed
hereunder shall constitute, and that the Servicer shall perform its duties and
obligation hereunder so as to qualify the Trust Fund as a "real estate mortgage
investment conduit" as defined in and in accordance with the REMIC Provisions.
The Tax Matters Person, or the Person acting as attorney-in-fact and agent
therefor, shall: (a) prepare and file, or cause to be prepared and filed,
federal tax returns (as well as any other federal and state information and
other returns) using a calendar year as the taxable year when and as required by
the REMIC Provisions; (b) make (or cause to be made) an election, on behalf of
the REMIC, to be treated as a REMIC on the Federal tax return and any applicable
state or local returns for the first taxable year, in accordance with the REMIC
Provisions; (c) prepare and forward, or cause to be prepared and forwarded, to
the Certificateholders all information reports (including, without limitation,
the information required in connection with the computation of the present value
of anticipated excess inclusions as required by ss. 1.860E-2(a)(5) of the REMIC
Provisions) as and when required to be provided to them in accordance with the
REMIC Provisions; (d) conduct the affairs of the Trust Fund at all times that
the REMIC Certificates are outstanding so as to maintain the status of the Trust
Fund as a REMIC under the REMIC Provisions; and (e) not knowingly or
intentionally take any action or omit to take any action that would cause the
termination of the REMIC status of the Trust Fund.

     (c) The Servicer may enter into sub-servicing agreements with third parties
with respect to any of its respective obligations hereunder, provided, that (1)
any such agreement shall be consistent with the provisions of this Agreement and
(2) no sub-servicer retained by the Servicer shall grant any modification,
waiver or amendment to any Loan without the approval of the Servicer. Any such
sub-servicing agreement may permit the sub-servicer to delegate its duties to
agents or subcontractors so long as the related agreements or arrangements with
such agents or subcontractors are consistent with the provisions of this Section
3.1(c).

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<PAGE>

     Any sub-servicing agreement entered into by the Servicer with a Person
other than the Depositor shall provide that it may be assumed or terminated by
the Trustee if the Trustee has assumed the duties of the Servicer, without cost
or obligation to the assuming or terminating party or the Trust Fund, upon the
assumption by such party of the obligations of the Servicer pursuant to Section
7.5.

     Any sub-servicing agreement, and any other transactions or services
relating to the Loans involving a sub-servicer, including (if applicable) the
Depositor in its capacity as sub-servicer under a sub-servicing agreement and
not in its capacity as a party to this Agreement, shall be deemed to be between
the Servicer and such sub-servicer (including the Depositor) alone, and the
Trustee and the Certificateholders shall not be deemed parties thereto and shall
have no claims, rights, obligations, duties or liabilities with respect to the
sub-servicer, except as set forth in Section 3.1(d).

     In the event that the Trustee assumes the servicing obligations of the
Servicer, upon request of the Trustee, the Servicer shall at its own expense
deliver to the Trustee all documents and records relating to any sub-servicing
agreement and the Loans then being serviced thereunder and an accounting of
amounts collected and held by it, if any, and will otherwise use its best
efforts to effect the orderly and efficient transfer of any sub-servicing
agreement to the Trustee.

     (d) Costs incurred by the Servicer in effectuating the timely payment of
taxes and assessments on the Mortgaged Property securing a Mortgage Note shall
be recoverable by the Servicer pursuant to Section 3.3. The Servicer shall
ensure all such taxes and assessments are timely paid.

     The Servicer, as initial servicer, shall pay all of its costs and proven
damages incurred with respect to or arising out of any allegation of impropriety
in its servicing of the Loans. Further, the Servicer shall not be entitled to
reimbursement or indemnification from either the Trust Fund or the
Certificateholders with respect to any such costs, claims and damages.

     (e) Notwithstanding any sub-servicing agreement, any of the provisions of
this Agreement relating to agreements or arrangements between the Servicer and
any Person (including the Depositor) acting as sub-servicer (or its agents or
subcontractors) or any reference to actions taken through any Person (including
the Depositor) acting as sub-servicer or otherwise, the Servicer shall remain
obligated and primarily liable to the Trustee and Certificateholders for the
servicing and administering of the Loans in accordance with the provisions of
this Agreement without diminution of such obligation or liability by virtue of
such sub-servicing agreements or arrangements or by virtue of indemnification
from the Depositor or any other Person acting as sub-servicer (or its agents or
subcontractors) to the same extent and under the same terms and conditions as if
the Servicer alone were servicing and administering the Loans. The Servicer
shall be entitled to enter into an agreement with any sub-servicer providing for
indemnification of the Servicer by such sub-servicer (including the Depositor
and the Trustee), and nothing contained in this Agreement shall be deemed to
limit or modify such indemnification, but no such agreement for indemnification
shall be deemed to limit or modify this Agreement.

                                       47

<PAGE>

     Section 3.2 COLLECTION OF CERTAIN LOAN PAYMENTS; CUSTODIAL ACCOUNT FOR P&I.

     (a) The Servicer shall make reasonable efforts to collect all payments
called for under the terms and provisions of the Loans, and shall, to the extent
such procedures shall be consistent with this Agreement, follow such collection
procedures as it follows with respect to conventional mortgage loans it services
for itself and any of its Affiliates; provided, however, that the Servicer
agrees not to permit any modification with respect to any Loan that would change
the manner in which the Mortgage Interest Rate is computed, forgive any
principal or interest or change the term of such Loan. Consistent with the
foregoing, the Servicer may in its discretion (i) waive any assumption fee, late
payment charge or other charge in connection with a Loan, and (ii) arrange a
schedule, running for no more than 180 days after the scheduled Due Date, for
payment of any installment on any Mortgage Note or after the due date of any
other payment due under the related Mortgage Note for the liquidation of
delinquent items, provided, that the Servicer shall continue to be obligated to
make Advances in accordance with Section 4.3 during the continuance of such
period. With respect to any Loans which provide for the right of the holder
thereof to call for early repayment thereof at times specified therein, neither
the Trustee nor the Servicer shall exercise any such right, except that the
Trustee shall exercise such right at the written direction of the Servicer set
forth in an Officer's Certificate in connection with a default under the related
Note. Notwithstanding anything herein to the contrary, neither the Servicer nor
any other party may take any action that would cause a "significant
modification" of any Loan within the meaning of the REMIC Provisions that would
cause the Trust Fund to fail to qualify as a REMIC at any time or cause a tax to
be imposed on the Trust Fund under the REMIC Provisions.

     (b) The Servicer shall establish and maintain a separate account as set
forth in Article I (the "Custodial Account for P&I"), and shall on the Closing
Date credit any amounts representing scheduled payments of principal and
interest due after the Cut-off Date but received by the Servicer on or before
the Closing Date, and thereafter on a daily basis the following payments and
collections received or made by it (other than in respect of principal of and
interest on the Loans due on or before the Cut-off Date):

          (i) All Mortgagor payments on account of principal, including
     Principal Prepayments on the Loans;

          (ii) All Mortgagor payments on account of interest on the Loans, which
     may be net of that portion thereof which the Servicer is entitled to retain
     as Servicing Fees (adjusted for any amounts related to Compensating
     Interest) pursuant to Section 3.9, as adjusted pursuant to Section 4.6;

          (iii) All net Liquidation Proceeds;

          (iv) All Insurance Proceeds received by the Servicer, other than
     proceeds 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
     Servicer's normal servicing procedures, and all

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<PAGE>

     amounts deposited by the Servicer with respect to the failure to maintain
     flood or fire and hazard insurance policies, pursuant to Section 3.5;

          (v) All repurchase proceeds from the repurchase of a Loan pursuant to
     a Purchase Obligation;

          (vi) any amounts required to be deposited pursuant to Section 3.2(c)
     in connection with net losses realized on Eligible Investments with respect
     to funds held in the Custodial Account for P&I;

          (vii) all income and gain realized from any investment of the funds in
     the Custodial Account for P&I in Eligible Investments;

          (viii) all net income from the renting of REO Property pursuant to
     Section 3.7(c); and

          (ix) All other amounts required to be deposited in the Custodial
     Account for P&I pursuant to this Agreement.

     (c) The Servicer may invest the funds in the Custodial Account for P&I in
Eligible Investments which shall mature not later than the second Business Day
preceding the next Distribution Date unless the Custodial Account for P&I is
maintained with the Trustee in which case they may mature one Business Day prior
to the Distribution Date. The Eligible Investments may not be sold or disposed
of prior to their maturity. All such Eligible Investments shall be made in the
name of the Servicer (in its capacity as such) or its nominee. All income and
gain realized from any such investment shall be for the benefit of the Servicer,
and shall be payable to the Servicer. The amount of any losses incurred in
respect of any such investments shall be deposited in the Custodial Account for
P&I by the Servicer, out of its own funds immediately as realized without right
to reimbursement therefor.

     (d) The foregoing requirements for deposit in the Custodial Account for P&I
shall be exclusive, it being understood and agreed that, without limiting the
generality of the foregoing, payments in the nature of those described in the
last paragraph of this Section 3.2 and payments in the nature of late payment
charges or assumption fees need not be deposited by the Servicer in the
Custodial Account for P&I. All funds deposited by the Servicer in the Custodial
Account for P&I shall be held by it in trust in the Custodial Account for P&I
until disbursed in accordance with Section 4.1 or withdrawn in accordance with
Section 3.3; provided, however, that the Servicer shall withdraw such funds and
deposit them in such manner as to not result in a downgrading or withdrawal of
the rating then assigned to the Certificates by each Rating Agency. If the
Servicer deposits in the Custodial Account for P&I any amount not required to be
deposited therein, it may at any time withdraw such amount from the Custodial
Account for P&I pursuant to Section 3.3(i) of this Agreement.

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<PAGE>

     Certain of the Loans may provide for payment by the Mortgagor of amounts to
be used for payment of taxes, assessments, hazard or other insurance premiums or
comparable items for the account of the Mortgagor. The Servicer may deal with
these amounts in accordance with its normal servicing procedures.

     Section 3.3 PERMITTED WITHDRAWALS FROM THE CUSTODIAL ACCOUNT FOR P&I. The
Servicer may, from time to time, make withdrawals from the Custodial Account for
P&I for the following purposes:

     (a) to reimburse itself for Advances made by it pursuant to Section 3.4 or
4.3, the Servicer's right to reimburse itself pursuant to this subclause (a)
being limited to (i) amounts received on or in respect of particular Loans
(including, for this purpose, Liquidation Proceeds and Insurance Proceeds which
represent late recoveries of payments of principal and/or interest respecting
which any such Advance was made and any net income received from the renting of
REO Property pursuant to Section 3.7(c)) and (ii) amounts in the Custodial
Account for P&I held for future distribution or withdrawal, such amounts
referred to in clause (ii) of this subclause (a) to be replaced by the Servicer
to the extent that funds in the Custodial Account for P&I on a future Withdrawal
Date are less than the payment required to be made to the Certificate Account
therefrom as of such future Distribution Date;

     (b) (i) to reimburse itself from Liquidation Proceeds for Liquidation
Expenses, (ii) for amounts expended by it pursuant to Section 3.7 in good faith
in connection with the restoration of damaged property and (iii) to the extent
that Liquidation Proceeds after such reimbursement are in excess of the
Principal Balance of the related Loan together with accrued and unpaid interest
thereon at the applicable Pass-Through Rate to the date of such liquidation, net
of any related Advances which were unreimbursed prior to the receipt of such
Liquidation Proceeds, to pay to itself any unpaid Servicing Fees, and any
assumption fees, late payment charges or other Mortgage charges on the related
Loan;

     (c) to pay to itself from any Mortgagor payment as to interest or other
recovery with respect to a particular Loan, to the extent permitted by this
Agreement, that portion of any payment as to interest in excess of interest at
the applicable Pass-Through Rate which the Servicer is entitled to retain as
Servicing Fees pursuant to Section 3.9 or otherwise;

     (d) to reimburse itself for expenses incurred by and recoverable by or
reimbursable to it pursuant to Section 3.1 or 3.5 after the related Mortgagor
has reimbursed the Trust Fund for such expenses or following liquidation of the
related Loan, or pursuant to Section 6.3;

     (e) to pay to itself with respect to each Loan or property acquired in
respect thereof that has been repurchased pursuant to Section 2.2 or 2.3 or
purchased by the Servicer pursuant to Section 9.1 all amounts received thereon
and not distributed as of the date on which the related Principal Balance is
determined;

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<PAGE>

     (f) to reimburse itself for any Nonrecoverable Advances;

     (g) to disburse to the Trustee or its designee in order that the Trustee or
its designee may make payments to Certificateholders in the amounts and in the
manner provided for in Section 4.1;

     (h) to pay itself any net interest or other income earned and received on
or investment income received with respect to funds in the Custodial Account for
P & I; and

     (i) to make payments to itself or others pursuant to any provision of this
Agreement and to remove any amounts not required to be deposited therein and to
clear and terminate the Custodial Account for P&I pursuant to Section 9.1.

     Since in connection with withdrawals pursuant to subclauses (a), (b), (c)
and (e) the Servicer's entitlement thereto is limited to collections or other
recoveries on the related Loan, the Servicer shall keep and maintain a separate
accounting for each Loan for the purpose of justifying any withdrawal from the
Custodial Account for P&I pursuant to such subclauses.

     The Servicer shall make the withdrawal referred to in subclause (g) above
and shall deposit the amount so withdrawn into the Certificate Account prior to
4:00 P.M. New York City time on each related Withdrawal Date.

     Section 3.4 TAXES, ASSESSMENTS AND SIMILAR ITEMS; ESCROW ACCOUNTS.

     (a) The Servicer shall establish and maintain one or more accounts (each,
an "Escrow Account") into which all Escrow Payments shall be promptly deposited
and in which all Escrow Payments shall be retained. Escrow Accounts shall be
Eligible Accounts, and funds in the Escrow Account may be invested in Eligible
Investments. The Servicer shall notify the Trustee in writing of the location
and account number of each Escrow Account it establishes and shall notify the
Trustee prior to any subsequent change thereof. Withdrawals of amounts from an
Escrow Account may be made only to: (i) effect payment of taxes, assessments,
insurance premiums and comparable items; (ii) refund to Mortgagors any sums that
are determined to be overages; (iii) reimbursement to the Servicer for any cost
incurred in paying taxes, insurance premiums and assessments or comparable
items; (iv) pay interest, if required and as described below, to Mortgagors on
balances in the Escrow Account; (v) withdraw interest or other income which may
lawfully be retained by the Trust Fund, for deposit into the Certificate
Account; or (vi) clear and terminate the Escrow Account at the termination of
this Agreement in accordance with Section 9.1. Unless otherwise required by
applicable law, any interest earned on funds in Escrow Accounts shall be
remitted to the related Mortgagors if required by the related Mortgage Note or
otherwise to the Servicer as additional servicing compensation.

     (b) With respect to each Loan, the Servicer shall maintain accurate records
with respect to each related Mortgaged Property reflecting the status of taxes,
assessments and other similar items that are or may become a lien on the related
Mortgaged Property and the status of insurance

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<PAGE>

premiums payable with respect thereto. The Servicer shall require that payments
for taxes, assessments, insurance premiums and other similar items be made by
the Mortgagor at the time they first become due. If a Mortgagor fails to make
any such payment on a timely basis, the Servicer shall advance the amount of any
shortfall unless the Servicer determines in its good faith judgment that such
advance would not be ultimately recoverable from future payments and collections
on the related Loan (including without limitation Insurance Proceeds and
Liquidation Proceeds), or otherwise. The Servicer shall be entitled to
reimbursement of advances it makes pursuant to the preceding sentence, together
with interest thereon at the Federal Funds Rate, from amounts received on or in
respect of the related Loan respecting which such advance was made or if such
advance has become nonrecoverable, in either case to the extent permitted by
Section 3.3 of this Agreement. No costs incurred by the Servicer in effecting
the payment of taxes and assessments on the Mortgaged Properties shall, for the
purpose of calculating distributions to Certificateholders, be added to the
amount owing under the related Loans, notwithstanding that the terms of such
Loans so permit.

     Section 3.5 MAINTENANCE OF INSURANCE. The Servicer shall also cause to be
maintained for each Loan fire and hazard insurance with extended coverage as is
customary in the area where the Mortgaged Property is located in an amount which
is at least equal to the lesser of (i) the Principal Balance of such Loan or
(ii) the replacement value costs of improvements securing such Loan. The
Servicer shall cause to be maintained fire and hazard insurance with extended
coverage on each REO Property in an amount which is at least equal to the
greater of (i) an amount not less than is necessary to avoid the application of
any co-insurance clause contained in the related fire and hazard insurance
policy or (ii) the replacement cost of the improvements which are a part of such
property. The Servicer shall also cause to be maintained for each Loan with a
Loan-to- Value Ratio greater than 80% a primary mortgage insurance policy which
will cover at least 75% of the original fair market value of the related
Mortgaged Property until such time as the principal balance of such Loan is
reduced to 80% of the current fair market value or otherwise in accordance with
applicable law. The Servicer on behalf of the Trustee as Mortgagee shall
maintain or cause the related Mortgagor to maintain for each Loan such other
insurance on the related Mortgaged Property as may be required by the terms of
the related Mortgage Note. If the Mortgaged Property is in an area identified in
the Federal Register by the Flood Emergency Management Agency as having special
flood hazards the Servicer will cause to be maintained a flood insurance policy
meeting the requirements of the current guidelines of the Federal Insurance
Administration with a generally acceptable insurance carrier, in an amount
representing coverage not less than the least of (i) the full insurable value,
(ii) the maximum amount of insurance which is available under the Flood Disaster
Protection Act of 1973, and (iii) the Principal Balance of the related Loan. The
Servicer shall also maintain fire and hazard insurance with extended coverage
and, if applicable, flood insurance on property acquired upon foreclosure, or by
deed in lieu of foreclosure, of any Loan in an amount that is at least equal to
the lesser of (i) the maximum insurable value of the improvements which are a
part of such property and (ii) the principal balance owing on such Loan at the
time of such foreclosure or grant of deed in lieu of foreclosure plus accrued
interest and related Liquidation Expenses. If an REO Property was located at the
time of origination of the related Loan in a federally designated special flood
hazard area, the Servicer will obtain flood insurance in respect thereof
providing substantially the same coverage as described in the preceding
sentence. If at any time during the term of this Agreement a

                                       52

<PAGE>

recovery under a flood or fire and hazard insurance policy in respect of an REO
Property is not available but would have been available if such insurance were
maintained thereon in accordance with the standards applied to Mortgaged
Properties described herein, the Servicer shall either (i) immediately deposit
into the Custodial Account for P&I from its own funds the amount that would have
been recovered or (ii) apply to the restoration and repair of the property from
its own funds the amount that would have been recovered, if such application
would be consistent with the servicing standard set forth in Section 3.1. It is
understood and agreed that such insurance shall be with insurers approved by the
Servicer and that no earthquake or other additional insurance is to be required
of any Mortgagor, other than pursuant to such applicable laws and regulations or
policies of the Servicer as shall at any time be in force and as shall require
such additional insurance. Pursuant to Section 3.2, any amounts collected by the
Servicer under any insurance policies maintained pursuant to this Section 3.5
(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 Servicer's normal servicing procedures) shall be deposited into the
Custodial Account for P&I, subject to withdrawal pursuant to Section 3.3. Any
cost incurred by the Servicer in maintaining any such insurance shall be
recoverable by the Servicer pursuant to Section 3.3. In the event that the
Servicer shall obtain and maintain a blanket policy issued by an insurer that
qualifies under the guidelines set forth for the Servicer by FNMA or FHLMC,
insuring against hazard losses on all of the Loans, then, to the extent such
policy provides coverage in an amount equal to the unpaid principal balance on
the Loans without co-insurance and otherwise complies with all other
requirements set forth in the first paragraph of this Section 3.5, it shall
conclusively be deemed to have satisfied its obligation as set forth in such
first paragraph, it being understood and agreed that such policy may contain a
deductible clause, in which case the Servicer shall, in the event that there
shall not have been maintained on the related mortgaged or acquired property an
insurance policy complying with the first paragraph of this Section 3.5 and
there shall have been a loss which would have been covered by such a policy had
it been maintained, be required to deposit from its own funds into the Custodial
Account for P&I or apply to the restoration of the property the amount not
otherwise payable under the blanket policy because of such deductible clause.

     The Servicer shall obtain and maintain at its own expense throughout the
term of this Agreement a blanket fidelity bond and an errors and omissions
insurance policy with broad coverage with responsible companies covering the
Servicer's officers and employees and other persons acting on behalf of the
Servicer in connection with its activities under this Agreement. Any such
fidelity bond and errors and omissions insurance shall provide an amount of
coverage and will maintain such coverage at a level which will permit the
Servicer to continue to be a FNMA or a FHLMC-qualified Servicer and shall
protect and insure the Servicer against losses, including forgery, theft,
embezzlement, fraud, errors and omissions and negligent acts of such persons. No
provision of this Section 3.5 requiring such fidelity bond and errors and
omissions insurance shall diminish or relieve the Servicer from its duties and
obligations as set forth in this Agreement.

     Section 3.6 ENFORCEMENT OF DUE-ON-SALE CLAUSES; ASSUMPTION AND SUBSTITUTION
AGREEMENTS. In any case in which property subject to a Mortgage is conveyed by
the Mortgagor, the Servicer will enforce any due-on-sale clause contained in the
related Mortgage Note or Mortgage,

                                       53

<PAGE>

to the extent permitted under applicable law and governmental regulations, but
only to the extent that such enforcement will not adversely affect or jeopardize
coverage under any related insurance policy or result in legal action by the
Mortgagor. Subject to the foregoing, the Servicer is authorized to take or enter
into an assumption or substitution agreement from or with the Person to whom
such property has been or is about to be conveyed. The Servicer is also
authorized to release the original Mortgagor from liability upon the Loan and
substitute the new Mortgagor as obligor thereon. In connection with such
assumption or substitution, the Servicer shall apply such underwriting standards
and follow such practices and procedures as shall be normal and usual and as it
applies to mortgage loans owned solely by it or any of its Affiliates. The
Servicer shall notify the Trustee that any such assumption or substitution
agreement has been completed by forwarding to the Trustee the original copy of
such assumption or substitution agreement, which copy shall be added by the
Trustee to the related Mortgage File and shall, for all purposes, be considered
a part of such Mortgage File to the same extent as all other documents and
instruments constituting a part thereof. In connection with any such assumption
or substitution agreement, the interest rate of the related Mortgage Note shall
not be changed. Any fee collected by the Servicer for entering into an
assumption or substitution of liability agreement will be retained by the
Servicer as servicing compensation.

     Notwithstanding the foregoing paragraph or any other provision of this
Agreement, the Servicer shall not be deemed to be in default, breach or any
other violation of its obligations hereunder by reason of any conveyance by the
Mortgagor of the Mortgaged Property or any assumption of a Loan by operation of
law which the Servicer in good faith determines it may be restricted by law from
preventing, for any reason whatsoever.

     Section 3.7 REALIZATION UPON DEFAULTED LOANS.

     (a) Consistent with the servicing standard set forth in Section 3.1 and
with a view to the best economic interest of the Trust Fund, the Servicer shall
foreclose upon or otherwise comparably convert (which may include acquisition of
an REO Property) the Mortgaged Properties securing such of the Loans as come
into and continue in default and as to which no satisfactory arrangements can be
made for collection of delinquent payments pursuant to Section 3.2. In
connection with such foreclosure or other conversion, the Servicer shall follow
such practices and procedures as it shall deem necessary or advisable and as
shall be normal and usual in its general mortgage servicing activities. The
foregoing is subject to the proviso that the Servicer shall not be required to
expend its own funds in connection with any foreclosure or to restore any
damaged property unless it shall determine (i) that such foreclosure and/or
restoration expenses will increase the Liquidation Proceeds to
Certificateholders after reimbursement to itself for such expenses and (ii) that
such expenses will be recoverable to it through Liquidation Proceeds (respecting
which it shall have priority for purposes of withdrawal from the Custodial
Account for P&I pursuant to Section 3.3). Any gain on foreclosure or other
conversion of a Liquidated Loan shall be distributed to the Class R
Certificateholder, but only to the extent that such gain is not necessary to
make distributions to the Certificateholders of the other Classes of
Certificates. The Servicer shall be responsible for all other costs and expenses
incurred by it in any such proceedings; provided, however, that it shall be
entitled to reimbursement thereof (as well as any Servicing Fees and other
amounts due it, if any), to the

                                       54

<PAGE>

extent, but only to the extent, that withdrawals from the Custodial Account for
P&I with respect thereto are permitted under Section 3.3. Within 30 days after
receipt of Liquidation Proceeds in respect of a Liquidated Loan, the Servicer
shall provide to the Trustee a statement of accounting for the related
Liquidated Loan, including without limitation (i) the Loan number, (ii) the date
the Loan was acquired in foreclosure or deed in lieu, and the date the Loan
became a Liquidated Loan, (iii) the gross sales price and the related selling
and other expenses, (iv) accrued interest calculated from the foreclosure date
to the liquidation date, and (v) such other information as the Trustee may
reasonably specify.

     (b) Prior to any such foreclosure, the Servicer may, at its option,
repurchase any Loan which is 30 days or more delinquent; provided that such
repurchase shall only be made if (i) the Servicer has a contractual right to
require the third party seller of such delinquent Loan to repurchase such Loan,
(ii) such repurchase is made to facilitate a repurchase by such third party
seller and (iii) such repurchase is made at a price equal to the Purchase Price.
Any such repurchase shall be deemed a Principal Prepayment for purposes of this
Agreement and all amounts in respect thereof shall be deposited into the
Custodial Account for P&I pursuant to Section 3.2(b).

     (c) The Trust Fund shall not acquire any real property (or personal
property incident to such real property) except in connection with a default or
imminent default of a Loan. Based on a report prepared by an Independent Person
who regularly conducts environmental audits that the Mortgaged Property for
which foreclosure proceedings are contemplated is in compliance with applicable
environmental laws, and there are no circumstances present at such Mortgaged
Property relating to the use, management or disposal of any hazardous materials,
wastes, or petroleum based materials for which investigation, testing,
monitoring, containment, clean-up or remediation could be required under any
federal, state or local law or that it would be in the best economic interest of
the Trust Fund to acquire title to such Mortgaged Property and further to take
such actions as would be necessary and appropriate to effect such compliance
and/or respond to such circumstances, the Servicer will not conduct such
foreclosure proceedings. If the Servicer otherwise becomes aware, under its
customary servicing procedures, of an environmental hazard with respect to a
Loan for which foreclosure proceedings are contemplated, the Servicer will not
conduct such foreclosure proceedings unless it determines in good faith that the
liability associated with the environmental hazard will be less than the
Liquidation Proceeds to be realized from the sale of the related Mortgaged
Property. In the event that the Trust Fund acquires any real property (or
personal property incident to such real property) in connection with a default
or imminent default of a Loan, such REO Property shall be disposed of by the
Trust Fund within three years after its acquisition by the Trust Fund unless the
Trustee shall have received from the Servicer an Opinion of Counsel to the
effect that the holding by the Trust Fund of such REO Property subsequent to
three years after its acquisition will not cause the Trust Fund to fail to
qualify as a REMIC under the REMIC Provisions at any time that any Certificates
are outstanding, in which case such REO Property shall be disposed of as soon as
possible by the Trust Fund but in no event shall be held longer than the maximum
period of time during which the Trust Fund is then permitted to hold such REO
Property and allow the Trust Fund to remain qualified as a REMIC under the REMIC
Provisions. The Servicer shall manage, conserve, protect and operate each such
REO Property for the Certificateholders solely for

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the purpose of its prompt disposition and sale in a manner which does not cause
such REO Property to fail to qualify as "foreclosure property" within the
meaning of Section 860G(a)(8) of the Code. Pursuant to its efforts to sell such
REO Property, the Servicer shall either itself or through an agent selected by
the Servicer protect and conserve such REO Property in the same manner and to
such extent as is customary in the locality where such property is located and
may, incident to its conservation and protection of the interests of the
Certificateholders, rent the same, or any part thereof, as the Servicer deems to
be in the best interest of the Servicer and the Certificateholders for the
period prior to the sale of such REO Property. All proceeds from the renting of
such REO Property shall, net of any costs or expenses of the Servicer in
connection therewith, be deposited into the Custodial Account for P&I pursuant
to Section 3.2(b)(viii).

     (d) In the event that title to any Mortgaged Property is acquired in
foreclosure or by deed in lieu of foreclosure, the deed or certificate of sale
shall be issued to the Trustee, or to its nominee on behalf of
Certificateholders. Notwithstanding any such acquisition of title and
cancellation of the related Loan, such Loan shall (except for purposes of
Section 9.1) be considered to be a Loan held in the Trust Fund until such time
as the related REO Property shall be sold by the Trust Fund and shall be reduced
only by collections net of expenses. Consistent with the foregoing, for purposes
of all calculations hereunder, so long as such Loan shall be considered to be an
outstanding Loan, it shall be assumed that, notwithstanding that the
indebtedness evidenced by the related Mortgage Note shall have been discharged,
such Mortgage Note and, for purposes of determining the Scheduled Principal
Balance thereof, the related amortization schedule in effect at the time of any
such acquisition of title remain in effect.

     (e) The Servicer shall not acquire for the benefit of the Trust Fund any
personal property pursuant to this Section 3.7 unless either:

          (i) such personal property is incident to real property (within the
     meaning of Section 856(e)(1) of the Code) so acquired by the Servicer for
     the benefit of the Trust Fund; or

          (ii) the Servicer shall have requested and received an Opinion of
     Counsel (which opinion shall be an expense of the Trust Fund) to the effect
     that the holding of such personal property by the Trust Fund will not cause
     the imposition of a tax on the Trust Fund under the REMIC Provisions or
     cause the Trust Fund to fail to qualify as a REMIC at any time that any
     Certificate is outstanding.

     Section 3.8 TRUSTEE TO COOPERATE; RELEASE OF MORTGAGE FILES.

     Upon the payment in full of any Loan, or the receipt by the Servicer of a
notification that the payment in full will be escrowed in a manner customary for
such purposes, the Servicer will immediately notify the Trustee by an Officer's
Certificate (which Officer's Certificate shall include a statement to the effect
that all amounts received in connection with such payment which are required to
be deposited in the Custodial Account for P&I pursuant to Section 3.2 have been
or will

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be so deposited) and shall by such Officer's Certificate request delivery to it
of the Mortgage File. Upon receipt of such Officer's Certificate and request,
the Trustee shall promptly release or cause to be released the related Mortgage
File to the Servicer. Upon the Trustee's receipt of any release or reconveyance
documents or instruments relating to the Loan paid in full, the Trustee shall,
not later than the 5th succeeding Business Day, execute and return such
documents and instruments to the Servicer. From time to time and as appropriate
for the servicing or foreclosure of any Loan, the Trustee shall, upon written
request of the Servicer and delivery to the Trustee of a trust receipt signed by
a Servicing Officer, release or cause to be released the related Mortgage File
to the Servicer and shall execute such documents furnished to it as shall be
necessary to the prosecution of any such proceedings. Such trust receipt shall
obligate the Servicer to return each and every document previously requested
from the Mortgage File to the Trustee when the need therefor by the Servicer no
longer exists unless the Loan shall be liquidated, in which case, upon receipt
of a certificate of a Servicing Officer similar to that hereinabove specified,
the trust receipt shall be released by the Trustee to the Servicer by delivery
to a Servicing Officer and the Trustee shall have no further responsibility with
respect to such Mortgage Files.

     Section 3.9 SERVICING COMPENSATION.

     The Servicer shall be entitled to retain or, if not retained, to withdraw
from the Certificate Account as servicing compensation its Servicing Fee out of
each payment on account of interest on each Loan, subject to adjustment as
provided in Section 4.6. The Servicer shall also be entitled to payment of
unpaid Servicing Fees with respect to a delinquent Loan out of Liquidation
Proceeds with respect to such Loan, to the extent permitted by Section 3.3(b).
Servicing compensation in the form of assumption fees, late payment charges or
otherwise shall be retained by the Servicer and need not be deposited in the
Custodial Account for P&I. The Servicer shall also be entitled to additional
servicing compensation out of Liquidation Proceeds to the extent provided in
Section 3.3(b). The Servicer shall be required to pay all expenses incurred by
it in connection with its servicing activities hereunder (including maintenance
of the blanket hazard insurance policy and the blanket fidelity bond and errors
and omissions policy required by Section 3.5) and shall not be entitled to
reimbursement therefor except as specifically provided in Sections 3.1, 3.3, 3.5
and 3.7.

     On each Distribution Date, the Servicer shall pay to the Certificate
Administrator and the Trustee the Certificate Administration and Trustee Fee out
of the Servicing Fee retained by the Servicer on such Distribution Date. Such
amounts shall be compensation for the activities of the Certificate
Administrator and the Trustee hereunder. The Certificate Administrator and the
Trustee 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 specifically provided herein.

     Section 3.10 REPORTS TO THE TRUSTEE; CUSTODIAL ACCOUNT FOR P&I STATEMENTS.

     On or before each Determination Date, the Servicer shall deliver or cause
to be delivered to the Trustee or its designee a statement in electronic or
written form as may be agreed upon by the Servicer and the Trustee containing
the information described in Section 4.2 and such other

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information as may be necessary for the Trustee to distribute the amounts to be
distributed to the Certificateholders by the Trustee (the "Servicer's Section
3.10 Report"). Not later than 25 days after each Distribution Date, the Servicer
shall forward or cause to be forwarded to the Trustee a statement, certified by
a Servicing Officer, setting forth the status of the Custodial Account for P&I
as of the close of business on the related Distribution Date, stating that all
distributions from the Custodial Account for P&I required to be made by this
Agreement have been made for the period covered by such statement (or if any
required distribution has not been made, specifying the nature and status
thereof) and showing, for the period covered by such statement, the aggregate of
deposits into and withdrawals from the Custodial Account for P&I for each
category of deposit specified in Section 3.2 and each category of withdrawal
specified in Section 3.3. Such statement shall also include information as to
the aggregate Principal Balance of all of the Loans as of the last day of the
calendar month immediately preceding such Distribution Date. Copies of such
statement shall be provided to any Certificateholder upon request by the
Servicer, or by the Trustee so long as the Trustee has received the report as
stipulated above at the Servicer's expense if the Servicer shall fail to provide
such copies.

     Section 3.11 ANNUAL STATEMENT AS TO COMPLIANCE.

     The Servicer will deliver to the Trustee, on or before March 15 of each
year, beginning March 15, 2003, an Officer's Certificate stating as to each
signer thereof, 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 officer's supervision, and (ii) to the best of such officer's
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 officer and the nature and status thereof. Copies of such
statement shall be provided to each Rating Agency and to any Certificateholder
upon request by the Servicer, or by the Trustee at the Servicer's expense.

     Section 3.12 ANNUAL INDEPENDENT PUBLIC ACCOUNTANTS' SERVICING REPORT.

     On or before March 15 of each year, beginning March 15, 2003, the Servicer,
at its expense, shall cause a firm of independent public accountants who are
members of the American Institute of Certified Public Accountants to furnish a
statement to the Trustee and each Rating Agency to the effect that such firm has
examined certain documents and records relating to the servicing of the Loans
and that, either (a) on the basis of such examination conducted substantially in
compliance with the audit program for mortgages serviced for FHLMC, such firm is
of the opinion that such servicing has been conducted in compliance with the
manner of servicing set forth in agreements substantially similar to this
Agreement except for (i) such exceptions as such firm shall believe to be
immaterial and (ii) such other exceptions as shall be set forth in such
statement or, (b) that their examination conducted substantially in compliance
with the uniform single audit program for mortgage bankers disclosed no
exceptions or errors in records relating to mortgage loans serviced for others
that in their opinion are material and that Paragraph 4 of that program requires
them to report. Copies of such statement shall be provided to Certificateholders
upon request by the Servicer,

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or by the Trustee at the Servicer's expense.

     Section 3.13 ACCESS TO CERTAIN DOCUMENTATION AND INFORMATION REGARDING THE
LOANS. The Servicer shall provide access to the Trustee or to its designees at
its request, and to Certificateholders which are savings and loan associations,
banks or insurance companies, the OTS, the FDIC and the supervisory agents and
examiners of the OTS and the FDIC or examiners of any other federal or state
banking or insurance regulatory authority to the documentation regarding the
Loans if so required by applicable regulations of the OTS or other regulatory
authority, such access to be afforded without charge but only upon reasonable
request and during normal business hours at the offices of the Servicer
designated by it. The Trustee or its designee may without charge copy any
document or electronic record maintained by the Servicer hereunder.

     Section 3.14 [RESERVED].

     Section 3.15 SALE OF DEFAULTED LOANS AND REO PROPERTIES.

     (a) With respect to any Defaulted Loan or REO Property which the Servicer
has determined to sell in accordance with the standards set forth in Section
3.7, the Servicer shall deliver to the Trustee an Officer's Certificate to the
effect that no satisfactory arrangements can be made for collection of
delinquent payments thereon pursuant to Section 3.2, and, consistent with the
servicing standard set forth in Section 3.1 and with a view to the best economic
interest of the Trust Fund, the Servicer has determined to sell such Defaulted
Loan or REO Property in accordance with this Section 3.15. The Servicer may then
offer to sell to any Person any Defaulted Loan or any REO Property or, subject
to the following sentence, purchase any such Defaulted Loan or REO Property (in
each case at the Purchase Price therefor), but shall in any event, so offer to
sell any REO Property no later than the time determined by the Servicer to be
sufficient to result in the sale of such REO Property within the period
specified in Section 3.7(c). The Servicer shall accept the highest bid received
from any Person for any Defaulted Loan or any REO Property in an amount at least
equal to the Purchase Price therefor or, at its option, if it has received no
bid at least equal to the Purchase Price therefor, purchase the Defaulted Loan
or REO Property at the Purchase Price.

     In the absence of any such bid or purchase by the Servicer, the Servicer
shall accept the highest bid received from any Person that is determined by the
Servicer to be a fair price for such Defaulted Loan or REO Property, if the
highest bidder is a Person other than an Interested Person, or is determined to
be such a price by the Trustee, if the highest bidder is an Interested Person.
Notwithstanding anything to the contrary herein, neither the Trustee, in its
individual capacity, nor any of its Affiliates may bid for or purchase any
Defaulted Loan or any REO Property pursuant hereto.

     The Servicer shall not be obligated by either of the foregoing paragraphs
or otherwise to accept the highest bid if the Servicer determines, in accordance
with the servicing standard stated in Section 3.1, that rejection of such bid
would be in the best interests of the Certificateholders. In addition, the
Servicer may accept a lower bid if it determines, in accordance with the
servicing

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standard stated in Section 3.1, that acceptance of such bid would be in the best
interests of the Certificateholders (for example, if the prospective buyer
making the lower bid is more likely to perform its obligations, or the terms
offered by the prospective buyer making the lower bid are more favorable). In
the event that the Servicer determines with respect to any REO Property that the
bids being made with respect thereto are not in the best interests of the
Certificateholders and that the end of the period referred to in Section 3.7(c)
with respect to such REO Property is approaching, the Servicer shall seek an
extension of such period in the manner described in Section 3.7(c).

     (b) In determining whether any bid received from an Interested Person
represents a fair price for any Defaulted Loan or any REO Property, the Trustee
may conclusively rely on the opinion of an Independent appraiser or other expert
in real estate matters retained by the Trustee the expense of which shall be an
expense of the Trust Fund. In determining whether any bid constitutes a fair
price for any Defaulted Loan or any REO Property, the Servicer or the Trustee
(or, if applicable, such appraiser) shall take into account, and any appraiser
or other expert in real estate matters shall be instructed to take into account,
as applicable, among other factors, the period and amount of any delinquency on
the affected Defaulted Loan, the physical condition of the related Mortgaged
Property or such REO Property, the state of the local economy and the Trust
Fund's obligation to dispose of any REO Property within the time period
specified in Section 3.7(c).

     (c) The Servicer shall act on behalf of the Trust Fund in negotiating and
taking any other action necessary or appropriate in connection with the sale of
any Defaulted Loan or REO Property, including the collection of all amounts
payable in connection therewith. Any sale of a Defaulted Loan or any REO
Property shall be without recourse to, or representation or warranty by, the
Trustee, the Depositor, the Servicer or the Trust Fund (except that any contract
of sale and assignment and conveyance documents may contain customary warranties
of title, so long as the only recourse for breach thereof is to the Trust Fund),
and, if consummated in accordance with the terms of this Agreement, neither the
Servicer, the Depositor nor the Trustee shall have any liability to the Trust
Fund or any Certificateholder with respect to the purchase price therefor
accepted by the Servicer or the Trustee.

     (d) The proceeds of any sale after deduction of the expenses of such sale
incurred in connection therewith shall be promptly deposited in the Custodial
Account for P&I in accordance with Section 3.2(b).

     Section 3.16 DELEGATION OF DUTIES.

     In the ordinary course of business, the Servicer or the Trustee may at any
time delegate any duties hereunder to any Person who agrees to conduct such
duties in accordance with the applicable terms of this Agreement. In case of
such delegation, the Servicer or the Trustee shall supervise, administer,
monitor and oversee the activities of such Person hereunder to insure that such
Person performs such duties in accordance herewith and shall be responsible for
the acts and omissions of such Person to the same extent as it is responsible
for its own actions or omissions hereunder. Any such delegations shall not
relieve the Servicer or the Trustee of its liability and responsibility with

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respect to such duties, and shall not constitute a resignation within the
meaning of Section 6.4 hereof and shall be revocable by any successor Servicer
or the Trustee.

     Section 3.17 [RESERVED].

     Section 3.18 [RESERVED].

     Section 3.19 APPOINTMENT OF A SPECIAL SERVICER.

     The Servicer may enter into a special servicing agreement with an
unaffiliated holder of Subordinate Certificates or a holder of a class of
securities representing interests in such Class of Subordinate Certificates,
such agreement to be (i) substantially in the form of Exhibit R hereto or (ii)
subject to each Rating Agency's acknowledgment that the ratings of the
Certificates in effect immediately prior to the entering into of such agreement
would not be qualified, downgraded or withdrawn and the Certificates would not
be placed on credit review status (except for possible upgrading) as a result of
such agreement. Any such agreement may contain provisions whereby such holder
may instruct the Servicer to commence or delay foreclosure proceedings with
respect to delinquent Loans and may contain provisions for the deposit of cash
by the holder that would be available for distribution to Certificateholders if
Liquidation Proceeds are less than they otherwise may have been had the Servicer
acted in accordance with its normal procedures.

     Section 3.20 ALLOCATION OF REALIZED LOSSES.

     Prior to each Distribution Date, the Servicer shall determine the amount of
Realized Losses, if any, with respect to each Loan.

     The amount of Realized Losses shall be evidenced by an Officer's
Certificate signed by a Responsible Officer of the Servicer. All Realized
Losses, except for Excess Losses, shall be allocated as follows: (i) for losses
allocable to principal (a) first, to the Subordinate Certificates in reverse
order of seniority until each of their Class Principal Balances have been
reduced to zero and (b) second, to the Senior Certificates (other than the Class
A-X Certificates and Class A-P Certificates), by Pro Rata Allocation, until the
Certificate Principal Balances thereof have been reduced to zero; PROVIDED,
HOWEVER, that prior to the Credit Support Depletion Date if the loss is
recognized with respect to (a) a Discount Loan, the Discount Fraction of such
loss shall be allocated to the Class A-P Certificates and the remainder of such
loss will be allocated as described in clause (i); and (ii) for losses allocable
to interest (a) first, to the Subordinate Certificates in reverse order of
seniority, in reduction of accrued but unpaid interest thereon and then in
reduction of the Class Principal Balance of such Certificates and (b) second, to
the Senior Certificates (other than the Class A-P Certificates) thereof, by Pro
Rata Allocation, until the Certificate Principal Balances thereof have been
reduced to zero.

     Excess Losses shall be allocated among the Senior Certificates and the
Subordinate Certificates by Pro Rata Allocation.

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     On each Distribution Date, after giving effect to the principal
distributions and allocations and reimbursement of losses as provided in this
Agreement (without regard to this paragraph), if the Aggregate Certificate
Principal Balance of all outstanding Classes of Certificates exceeds the
aggregate principal balance of the Loans, after deduction of (i) all principal
payments due on or before the Cut-Off Date in respect of each such Loan whether
or not paid and (ii) all amounts of principal in respect of each such Loan that
have been received or advanced and included in the Available Distribution
Amount, and all losses in respect of such Loans that have been allocated to the
Certificates, on such Distribution Date or prior Distribution Dates, then such
excess will be deemed a principal loss and will be allocated (i) first, to the
Subordinate Certificates in reverse order of seniority until each of their Class
Principal Balances has been reduced to zero, and (ii) second, to the Senior
Certificates, other than the Interest Only Certificates, pro rata according to
their Certificate Principal Balances.

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                                   ARTICLE IV

                    PAYMENTS TO CERTIFICATEHOLDERS; ADVANCES;
                             STATEMENTS AND REPORTS

     Section 4.1 DISTRIBUTIONS TO CERTIFICATEHOLDERS. (a) The Trustee shall
establish and maintain a separate account as set forth in Article I (the
"Certificate Account"), the purpose of which is to accept deposits from the
Servicer and to make distributions to the Certificateholders of the amounts set
forth in this Section 4.1.

     (b) On each Distribution Date, the Trustee or the Paying Agent, if any,
shall (i) withdraw from the Certificate Account the Available Distribution
Amount for such Distribution Date and shall distribute to each
Certificateholder, from the amount so withdrawn and to the extent of the
Available Distribution Amount, such Certificateholder's share (based on the
aggregate Percentage Interests represented by the Certificates of the applicable
Class held by such Certificateholder) of the amounts and in the order of
priority as set forth in the definition of "Certificate Distribution Amount" and
(ii) distribute Excess Liquidation Proceeds to the Class R Certificateholder by
wire transfer in immediately available funds for the account of the
Certificateholder or by any other means of payment acceptable to each
Certificateholder of record on the immediately preceding Record Date (other than
as provided in Section 9.1 respecting the final distribution), as specified by
each such Certificateholder and at the address of such Holder appearing in the
Certificate Register; provided, that if the Trustee has appointed a Certificate
Administrator, such distributions in (i) and (ii) above shall be made in
accordance with written statements received from the Certificate Administrator
pursuant to Section 4.2.

     (c) All reductions in the Certificate Principal Balance of a Certificate
effected by distributions of principal or allocations of Realized Losses with
respect to Loans made on any Distribution Date shall be binding upon all Holders
of such Certificate and of any Certificate issued upon the registration of
transfer or exchange therefor or in lieu thereof, whether or not such
distribution is noted on such Certificate. The final distribution of principal
of each Certificate (and the final distribution with respect to the Class R
Certificate upon termination of the Trust Fund) shall be payable in the manner
provided above only upon presentation and surrender thereof on or after the
Distribution Date therefor at the office or agency of the Trustee or Certificate
Administrator, if any, specified in the notice delivered pursuant to Section
4.1(d) or Section 9.1.

     (d) Whenever, on the basis of Curtailments, Payoffs and Monthly Payments on
the Loans and Insurance Proceeds and Liquidation Proceeds received and expected
to be received during the applicable Prepayment Period, the Trustee believes, or
the Certificate Administrator, if any, has notified the Trustee that it
believes, that the entire remaining unpaid Class Principal Balance of any Class
of Certificates will become distributable on the next Distribution Date, the
Trustee or the Certificate Administrator, if any, shall, no later than the
Determination Date of the month of such Distribution Date, mail or cause to be
mailed to each Person in whose name a Certificate to be so retired is registered
at the close of business on the Record Date, to the Underwriters and to each

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Rating Agency a notice to the effect that:

          (i) it is expected that funds sufficient to make such final
     distribution will be available in the Certificate Account on such
     Distribution Date, and

          (ii) if such funds are available, (A) such final distribution will be
     payable on such Distribution Date, but only upon presentation and surrender
     of such Certificate at the office or agency of the Certificate Registrar
     maintained for such purpose (the address of which shall be set forth in
     such notice), and (B) no interest shall accrue on such Certificate after
     such Distribution Date.

     Section 4.2 STATEMENTS TO CERTIFICATEHOLDERS; EXCHANGE ACT REPORTING. (a)
Not later than each Determination Date, the Servicer shall forward to the
Trustee or the Certificate Administrator, if any, the Servicer's Section 3.10
Report setting forth certain information with respect to the Loans. With each
distribution from the Certificate Account on a Distribution Date, the Trustee or
the Certificate Administrator, if any, shall, based on the information set forth
in the Servicer's Section 3.10 Report, prepare and forward or make available
through the Trustee's or the Certificate Administrator's, as the case may be,
internet website (which initially will be the Certificate Administrator's
internet website located at www.etrustee.net) to each Certificateholder, a
statement (each a "Certificateholders' Report") setting forth, to the extent
applicable, the amount of the distribution payable to the applicable Class that
represents principal and the amount that represents interest, and the applicable
Class Principal Balances after giving effect to such distribution.

     In addition, not later than each Distribution Date, the Certificate
Administrator or Trustee, as applicable, shall forward or make available to such
Certificateholder, the Trustee (if the Trustee has appointed a Certificate
Administrator) and the Depositor an additional report which sets forth with
respect to the Loans:

          (i) The number and aggregate Principal Balance of the Loans delinquent
     one, two and three months or more;

          (ii) The (A) number and aggregate Principal Balance of Loans with
     respect to which foreclosure proceedings have been initiated, and (B) the
     number and aggregate book value of Mortgaged Properties acquired through
     foreclosure, deed in lieu of foreclosure or other exercise of rights
     respecting the Trustee's security interest in the Loans;

          (iii) The aggregate Principal Balance of the Loans as of the close of
     business on the last day of the related Prepayment Period;

          (iv) The amount of the Servicing Fee retained or withdrawn by the
     Servicer from the Certificate Account and the amount of any Excess
     Liquidation Proceeds received by the Servicer during the related Prepayment
     Period;

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          (v) The amount of Special Hazard Coverage available to the Senior
     Certificates remaining as of the close of business on the applicable
     Determination Date;

          (vi) The amount of Bankruptcy Coverage available to the Senior
     Certificates remaining as of the close of business on the applicable
     Determination Date;

          (vii) The amount of Fraud Coverage available to the Senior
     Certificates remaining as of the close of business on the applicable
     Determination Date;

          (viii) The amount of Realized Losses allocable to the related
     Certificates on the related Distribution Date and the cumulative amount of
     Realized Losses incurred allocated to such Certificates since the Cut-Off
     Date;

          (ix) The amount of interest accrued but not paid on the each Class of
     Certificates entitled to interest since (a) the prior Distribution Date and
     (b) the Closing Date;

          (x) The amount of funds advanced by the Servicer on the related
     Withdrawal Date; and

          (xi) The total amount of Payoffs and Curtailments received during the
     related Prepayment Period.

     Upon written request by any Certificateholder, the Trustee or the
Certificate Administrator (if so appointed by the Trustee), as soon as
reasonably practicable, shall provide the requesting Certificateholder with such
information as is necessary and appropriate, in Trustee's or the Certificate
Administrator's sole discretion, for purposes of satisfying applicable reporting
requirements under Rule 144A of the Securities Act.

     (b) Upon written request to the Trustee or Certificate Administrator (if so
appointed by the Trustee) by any Certificateholder who is a Holder thereof at
the time of making such request (an "Eligible Certificateholder"), the Trustee
or the Certificate Administrator, if applicable, shall provide in electronic
format loan by loan data with respect to the payment experience of the Loans
containing at least the fields of information listed on Exhibit E hereto (based
on information provided by the Servicer). In addition, upon the written request
of any Eligible Certificateholder, the Trustee or the Certificate Administrator
shall provide similar loan by loan data with respect to any prior monthly
remittance report to the Certificateholders pursuant to this Agreement (as and
when such information becomes available). The expense of providing any tape or
disk pursuant to this subsection shall be an expense of the Eligible
Certificateholder.

     (c) The Servicer shall, on behalf of the Depositor and in respect of the
Trust Fund, prepare, sign and cause to be filed with the Commission any periodic
reports required to be filed under the provisions of the Exchange Act, and the
rules and regulations of the Commission thereunder. In connection with the
preparation and filing of such periodic reports, the Depositor and

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the Trustee shall timely provide to the Servicer all material information that
is in the possession of the Depositor and Trustee and is not, to the best of the
Depositor's or the Trustee's knowledge, in the possession of the Servicer and
which is required to be included in such reports. Neither the Servicer nor the
Trustee shall have any liability with respect to the Servicer's failure to
properly prepare or file such periodic reports resulting from or relating to the
Servicer's inability or failure to obtain any information not resulting from the
Servicer's own negligence or willful misconduct. Any Form 10-K that is filed
with the Commission in connection with this clause (c) shall include a
certification, signed by the senior officer in charge of the servicing functions
of the Servicer, in the form attached as Exhibit S hereto or such other form as
may be required or permitted by the Commission (the "Form 10-K Certification"),
in compliance with Rule 13a-14 and 15d-14 under the Exchange Act and any
additional directives of the Commission. In connection with the Form 10-K
Certification, each of the Trustee and the Depositor shall provide the Servicer
with a back-up certification substantially in the form attached hereto as
Exhibit T. This Section 4.2(c) may be amended in accordance with this Agreement
without the consent of the Certificateholders.

     Section 4.3 ADVANCES BY THE SERVICER; DISTRIBUTION REPORTS TO THE TRUSTEE.
To the extent described below, the Servicer is obligated to advance its own
funds to the Certificate Account to cover any shortfall between (i) payments
scheduled to be received in respect of Loans serviced by such Servicer, and (ii)
the amounts actually deposited in the Certificate Account on account of such
payments. The Servicer's obligation to make any Advance or Advances described in
this Section 4.3 is effective only to the extent that such Advance is, in the
good faith judgment of the Servicer, reimbursable from Insurance Proceeds or
Liquidation Proceeds of the related Loans or recoverable as late Monthly
Payments with respect to the related Loans or otherwise.

     Prior to the close of business on each Determination Date, the Servicer
shall determine whether or not it will make an Advance on the next Withdrawal
Date and shall furnish a statement to the Certificate Administrator, if any, the
Trustee, the Paying Agent, if any, and to any Certificateholder requesting the
same, setting forth the aggregate amount to be distributed on the next
succeeding Distribution Date on account of principal and interest in respect of
the Loans, stated separately. In the event that full scheduled amounts of
principal and interest in respect of the related Loans shall not have been
received by or on behalf of the Servicer prior to the Withdrawal Date preceding
such Distribution Date and the Servicer shall have determined that an Advance
shall be made in accordance with this Section 4.3, the Servicer shall so specify
and shall specify the aggregate amount of such Advance.

     In the event that the Servicer shall be required to make an Advance, it
shall on the Withdrawal Date either (i) deposit in the Certificate Account an
amount equal to such Advance, (ii) direct the Trustee or the Certificate
Administrator (if so appointed by the Trustee) to make an appropriate entry in
the records of the Certificate Account that funds in such account being held for
future distribution or withdrawal have been, as permitted by this Section 4.3,
used by such Servicer to make such Advance, or (iii) make advances in the form
of any combination of (i) and (ii) aggregating the amount of such Advance. Any
funds being held for future distribution to Certificateholders and so used shall
be replaced by the related Servicer by deposit in the Certificate

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Account on any future Withdrawal Date to the extent that funds in the
Certificate Account on the related Distribution Date with respect to the related
Loans shall be less than payments to Certificateholders required to be made on
such date with respect to such Loans.

     The Servicer shall be entitled to reimbursement for any Advance as provided
in Section 3.3 of this Agreement.

     In the event that the Trustee has appointed a Certificate Administrator,
prior to 5:00 P.M. New York City time on the Withdrawal Date, the Certificate
Administrator shall provide the Trustee with a statement regarding the amount of
principal and interest, the Residual Distribution Amount and the Excess
Liquidation Proceeds to be distributed to each Class of Certificates on such
Distribution Date (such amounts to be determined in accordance with the
definition of "Certificate Distribution Amount", Section 4.1 hereof and other
related definitions set forth in Article I hereof).

     Section 4.4 NONRECOVERABLE ADVANCES. Any Advance previously made by the
Servicer with respect to a Loan that the Servicer shall determine in its good
faith judgment not to be ultimately recoverable from Insurance Proceeds or
Liquidation Proceeds or otherwise with respect to such Loan or recoverable as
late Monthly Payments with respect to such Loan shall be a Nonrecoverable
Advance. The determination by the Servicer that it has made a Nonrecoverable
Advance or that any advance would constitute a Nonrecoverable Advance, shall be
evidenced by an Officer's Certificate of the Servicer delivered to the Trustee
on the Determination Date and detailing the reasons for such determination.
Notwithstanding any other provision of this Agreement, any insurance policy
relating to the Loans, or any other agreement relating to the Loans to which the
Depositor or the Servicer is a party, (a) the Servicer shall not be obligated
to, and shall not, make any advance that, after reasonable inquiry and in its
sole discretion, it determines would be a Nonrecoverable Advance, and (b) the
Servicer shall be entitled to reimbursement for any Nonrecoverable Advance as
provided in Section 3.3 of this Agreement.

     Section 4.5 FORECLOSURE REPORTS. Each year beginning in 2003 the Servicer
shall make any reports of foreclosures and abandonments of any Mortgaged
Property required by Section 6050J of the Code. In order to facilitate this
reporting process, the Servicer, on or before February 28th of each year,
commencing with 2003, shall provide to the Internal Revenue Service, the Trustee
and the Certificate Administrator, if any, reports relating to each instance
occurring during the previous calendar year in which the Servicer (i) on behalf
of the Trustee acquires an interest in a Mortgaged Property through foreclosure
or other comparable conversion in full or partial satisfaction of a Loan, or
(ii) knows or has reason to know that a Mortgaged Property has been abandoned.
The reports from the Servicer shall be in form and substance sufficient to meet
the reporting requirements imposed by such Section 6050J.

     Section 4.6 ADJUSTMENT OF SERVICING FEES WITH RESPECT TO PAYOFFS. The
aggregate amount of the Servicing Fee subject to retention from deposit into or
withdrawal from the Certificate Account by the Servicer, in any month of
distribution shall be decreased by any Compensating Interest due and owing with
respect to any Loan with respect to which a Payoff has occurred in the

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related Prepayment Period. The Servicer shall include the amount of any such
Compensating Interest with the deposits into the Certificate Account on the
related Withdrawal Date. Notwithstanding the foregoing, the amount by which the
Servicing Fee may be reduced with respect to the related Prepayment Period
pursuant to this Section 4.6 shall not exceed an amount greater than the amount
described in clause (i) of the definition of Compensating Interest for all Loans
as to which Payoffs have occurred and the rights of the Certificateholders to
such portion of the Servicing Fee shall not be cumulative.

     Section 4.7 PROHIBITED TRANSACTIONS TAXES AND OTHER TAXES.

     (a) In the event that any tax (including a tax on "prohibited transactions"
as defined in Section 860F(a)(2) of the Code and including any and all interest,
penalties, fines and additions to tax, as well as any and all reasonable counsel
fees and out-of-pocket expenses incurred in contesting the imposition of such
tax) is imposed on the Trust Fund and is not otherwise paid pursuant to Section
4.7(b) hereof, the Servicer shall pay such taxes when and as the same shall be
due and payable (but such obligation shall not prevent the Servicer, the
Trustee, the Certificate Administrator, if any, or any other appropriate Person
from contesting any such tax in appropriate proceedings and shall not prevent
the Servicer from withholding payment of such tax, if permitted by law, pending
the outcome of such proceedings); provided, that the Servicer shall be entitled
to be indemnified for any such taxes (excluding taxes referred to in Section
4.7(b)) to the extent set forth in Section 6.3 hereof so long as the Servicer's
failure to exercise reasonable care with respect to the performance of its
duties hereunder was not the primary cause of the imposition of such taxes. If
the Servicer is indemnified for such taxes pursuant to this Section 4.7(a), such
amount shall be first charged against amounts otherwise distributable to the
Holders of the Class R Certificate on a pro rata basis, then against amounts
otherwise distributable with respect to the REMIC Regular Interests on a pro
rata basis. The Trustee is hereby authorized to retain from amounts otherwise
distributable to the Certificateholders sufficient funds to reimburse the
Servicer for the payment of such tax for which the Servicer is entitled to
indemnification.

     (b) The Servicer shall pay on written demand, and shall indemnify and hold
harmless the Trust Fund from and against, any and all taxes imposed on the Trust
Fund (including, for this purpose, any and all interest, penalties, fines and
additions to tax, as well as any and all reasonable counsel fees and
out-of-pocket expenses incurred in contesting the imposition of such tax).

     Section 4.8 TAX ADMINISTRATION.

     (a) The Trustee is hereby appointed as attorney-in-fact and agent for the
initial Tax Matters Person; provided, that the Trustee may appoint, and hereby
does so appoint, the Certificate Administrator as attorney-in-fact and agent for
the Tax Matters Person. The Trustee may, by written notice delivered to the
Certificate Administrator, revoke the appointment of the Certificate
Administrator as attorney-in-fact and agent for the Tax Matters Person, in which
case the Trustee shall act in such capacity.

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     (b) In order to enable the Trustee or the Certificate Administrator, as
applicable, to perform its duties as set forth in this Section 4.8 and Section
3.1(b), the Servicer agrees to provide any tax forms, instruments or other
documents related thereto, as the Trustee or the Certificate Administrator, as
applicable, may reasonably request, including, without limitation, any tax
forms, instruments or other documents prepared by the Servicer pursuant to this
Section 4.8. In order to enable the Trustee or the Certificate Administrator, as
applicable, to perform its duties as set forth in this Section 4.8 and Section
3.1(b), the Servicer shall use its best efforts to cause to be delivered to the
Trustee or the Certificate Administrator, as applicable, within ten (10) days
after the Closing Date all information or data that the Trustee or the
Certificate Administrator, as applicable, determines to be relevant for tax
purposes to the valuations and offering prices of the Certificates, including,
without limitation, the price, yield, prepayment assumption and projected cash
flows. Thereafter, the Servicer shall use its best efforts to provide to the
Trustee or the Certificate Administrator, as applicable, promptly upon request
therefor, any such additional information or data that the Trustee or the
Certificate Administrator, as applicable, may, from time to time, request in
order to enable the Trustee or the Certificate Administrator, as applicable, to
perform its duties as set forth in this Section 4.8 and Section 3.1(b).

     Section 4.9 EQUAL STATUS OF SERVICING FEE. The right of the Servicer to
receive its Servicing Fee will be equal and not subordinate to the right of the
Certificateholders to receive principal and interest payments based on their
interests as provided herein. The Servicer's Servicing Fee may be collected from
Monthly Payments as received pursuant to Section 3.2 without deposit into the
Certificate Account, whereas the Certificateholders' distributions shall be made
on a delayed basis as set forth in the terms of the Certificates.

     Section 4.10 APPOINTMENT OF PAYING AGENT AND CERTIFICATE ADMINISTRATOR. The
Trustee may appoint an Eligible Institution to act as a paying agent (the
"Paying Agent") or a certificate administrator (the "Certificate
Administrator"), as the case may be, in order to delegate to such Eligible
Institution any of its duties under this Agreement to administer the issuance,
transfer and exchange of the Certificates, administer payments to
Certificateholders or prepare information related to the Certificates; provided,
that the Trustee shall remain primarily responsible for any duties so delegated;
provided, further, that the Trustee shall receive no additional compensation in
connection with such appointment and delegation.

     Initially, LaSalle Bank National Association will be the Certificate
Administrator and Paying Agent. If LaSalle Bank National Association ceases to
serve as Certificate Administrator or Paying Agent, the Trustee shall send
written notice to all Certificateholders (i) indicating that LaSalle Bank
National Association is no longer in such capacity and (ii) setting forth its
replacement, if any, appointed pursuant to this Section 4.10.

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                                    ARTICLE V

                                THE CERTIFICATES

     Section 5.1 THE CERTIFICATES.

     (a) The Certificates shall be substantially in the forms set forth in
Exhibits A and B attached hereto, and shall be executed by the Trustee,
authenticated by the Trustee (or any duly appointed Authenticating Agent) and
delivered to or upon the order of the Depositor upon receipt by the Trustee of
the documents specified in Section 2.1. The Certificates shall be issuable in
Authorized Denominations evidencing Percentage Interests. Certificates shall be
executed by manual or facsimile signature on behalf of the Trust Fund by
authorized officers of the Trustee. Certificates bearing the manual or facsimile
signatures of individuals who were at the time of execution the proper officers
of the Trustee shall bind the Trust Fund, notwithstanding that such individuals
or any of them have ceased to hold such offices prior to the authentication and
delivery of such Certificates or did not hold such offices at the date of such
Certificates. 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 the Trustee or any Authenticating Agent by manual signature, and
such certificate 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.

     (b) The following definitions apply for purposes of this Section 5.1:
"Disqualified Organization" means any Person which is not a Permitted
Transferee, but does not include any "Pass-Through Entity" which owns or holds a
Residual Certificate and of which a Disqualified Organization, directly or
indirectly, may be a stockholder, partner or beneficiary; "Pass-Through Entity"
means any regulated investment company, real estate investment trust, common
trust fund, partnership, trust or estate, and any organization to which Section
1381 of the Code applies; "Ownership Interest" means, with respect to any
Residual Certificate, any ownership or security interest in such Residual
Certificate, including any interest in a Residual Certificate as the Holder
thereof and any other interest therein whether direct or indirect, legal or
beneficial, as owner or as pledgee; "Transfer" means any direct or indirect
transfer or sale of, or directly or indirectly transferring or selling, any
Ownership Interest in a Residual Certificate; and "Transferee" means any Person
who is acquiring by Transfer any Ownership Interest in a Residual Certificate.

     (c) Restrictions on Transfers of the Residual Certificate to Disqualified
Organizations are set forth in this Section 5.1(c).

          (i) Each Person who has or who acquires any Ownership Interest in a
     Residual Certificate shall be deemed by the acceptance or acquisition of
     such Ownership Interest to have agreed to be bound by the following
     provisions and to have irrevocably authorized the Trustee, the Certificate
     Administrator or the Paying Agent under clause (iii)(A) below to

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     deliver payments to a Person other than such Person and to negotiate the
     terms of any mandatory sale under clause (iii)(B) below and to execute all
     instruments of transfer and to do all other things necessary in connection
     with any such sale. The rights of each Person acquiring any Ownership
     Interest in a Residual Certificate are expressly subject to the following
     provisions:

               (A) Each Person holding or acquiring any Ownership Interest in a
          Residual Certificate shall be a Permitted Transferee and shall
          promptly notify the Trustee or the Certificate Registrar if not the
          same Person as the Trustee of any change or impending change in its
          status as a Permitted Transferee.

               (B) In connection with any proposed Transfer of any Ownership
          Interest in a Residual Certificate to a U.S. Person, the Trustee or
          the Certificate Registrar if not the same Person as the Trustee shall
          require delivery to it, and shall not register the Transfer of any
          Residual Certificate until its receipt of (1) an affidavit and
          agreement (a "Transferee Affidavit and Agreement") attached hereto as
          Exhibit J from the proposed Transferee, in form and substance
          satisfactory to the Depositor, representing and warranting, among
          other things, that it is not a Non-U.S. Person, that such transferee
          is a Permitted Transferee, that it is not acquiring its Ownership
          Interest in the Residual Certificate that is the subject of the
          proposed Transfer as a nominee, trustee or agent for any Person who is
          not a Permitted Transferee, that for so long as it retains its
          Ownership Interest in a Residual Certificate, it will endeavor to
          remain a Permitted Transferee, and that it has reviewed the provisions
          of this Section 5.1(c) and agrees to be bound by them, and (2) a
          certificate, attached hereto as Exhibit I, from the Holder wishing to
          transfer the Residual Certificate, in form and substance satisfactory
          to the Depositor, representing and warranting, among other things,
          that no purpose of the proposed Transfer is to allow such Holder to
          impede the assessment or collection of tax.

               (C) Notwithstanding the delivery of a Transferee Affidavit and
          Agreement by a proposed Transferee under clause (B) above, if the
          Trustee or the Certificate Registrar if not the same Person as the
          Trustee has actual knowledge that the proposed Transferee is not a
          Permitted Transferee, no Transfer of an Ownership Interest in a
          Residual Certificate to such proposed Transferee shall be effected.

               (D) Each Person holding or acquiring any Ownership Interest in a
          Residual Certificate agrees by holding or acquiring such Ownership
          Interest (i) to require a Transferee Affidavit and Agreement from any
          other Person to whom such Person attempts to transfer its Ownership
          Interest and to provide a certificate to the Trustee or the
          Certificate Registrar if not the same Person as the Trustee in the
          form attached hereto as Exhibit J; (ii) to obtain the express written
          consent of the Depositor prior to any transfer of such Ownership
          Interest, which consent may be withheld in the Depositor's sole
          discretion; and (iii) to provide a certificate to the Trustee or the

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          Certificate Registrar if not the same Person as the Trustee in the
          form attached hereto as Exhibit I.

          (ii) The Trustee or the Certificate Registrar if not the same Person
     as the Trustee shall register the Transfer of any Residual Certificate only
     if it shall have received the Transferee Affidavit and Agreement, a
     certificate of the Holder requesting such transfer in the form attached
     hereto as Exhibit J and all of such other documents as shall have been
     reasonably required by the Trustee or the Certificate Registrar if not the
     same Person as the Trustee as a condition to such registration.

          (iii) (A) If any Disqualified Organization shall become a Holder of a
     Residual Certificate, then the last preceding Permitted Transferee shall be
     restored, to the extent permitted by law, to all rights and obligations as
     Holder thereof retroactive to the date of registration of such Transfer of
     such Residual Certificate. If any Non-U.S. Person shall become a Holder of
     a Residual Certificate, then the last preceding Holder which is a U.S.
     Person shall be restored, to the extent permitted by law, to all rights and
     obligations as Holder thereof retroactive to the date of registration of
     the Transfer to such Non-U.S. Person of such Residual Certificate. If a
     transfer of a Residual Certificate is disregarded pursuant to the
     provisions of Treasury Regulations Section 1.860E-1 or Section 1.860G-3,
     then the last preceding Permitted Transferee shall be restored, to the
     extent permitted by law, to all rights and obligations as Holder thereof
     retroactive to the date of registration of such Transfer of such Residual
     Certificate. The Trustee, the Certificate Administrator, the Certificate
     Registrar and the Paying Agent 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 5.1(c) or for making any payments due on such
     Certificate to the Holder thereof or for taking any other action with
     respect to such Holder under the provisions of this Agreement.

          (B) If any purported Transferee shall become a Holder of the Residual
     Certificate in violation of the restrictions in this Section 5.1(c) and to
     the extent that the retroactive restoration of the rights of the Holder of
     such Residual Certificate as described in clause (iii)(A) above shall be
     invalid, illegal or unenforceable, then the Depositor shall have the right,
     without notice to the Holder or any prior Holder of such Residual
     Certificate, to sell such Residual Certificate to a purchaser selected by
     the Depositor on such terms as the Depositor may choose. Such purported
     Transferee shall promptly endorse and deliver the Residual Certificate in
     accordance with the instructions of the Depositor. Such purchaser may be
     the Depositor itself or any affiliate of the Depositor. The proceeds of
     such sale, net of the commissions (which may include commissions payable to
     the Depositor or its affiliates), expenses and taxes due, if any, shall be
     remitted by the Depositor to such purported Transferee. The terms and
     conditions of any sale under this clause (iii)(B) shall be determined in
     the sole discretion of the Depositor, and the Depositor shall not be liable
     to any Person having an Ownership Interest in the Residual Certificate as a
     result of its exercise of such discretion.

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          (iv) The Depositor, on behalf of the Trustee, shall make available,
     upon written request from the Trustee, or the Certificate Administrator all
     information necessary to compute any tax imposed (A) as a result of the
     Transfer of an Ownership Interest in the Residual Certificate to any Person
     who is not a Permitted Transferee, including the information regarding
     "excess inclusions" of such Residual Certificate required to be provided to
     the Internal Revenue Service and certain Persons as described in Treasury
     Regulation Section 1.860D-1(b)(5), and (B) as a result of any regulated
     investment company, real estate investment trust, common trust fund,
     partnership, trust, estate or organizations described in Section 1381 of
     the Code having as among its record holders at any time any Person who is
     not a Permitted Transferee. Reasonable compensation for providing such
     information may be required by the Depositor from such Person.

          (v) The provisions of this Section 5.1 set forth prior to this Section
     5.1(c)(v) may be modified, added to or eliminated, PROVIDED, that there
     shall have been delivered to the Trustee and the Certificate Administrator
     the following:

               (A) written notification from each Rating Agency to the effect
          that the modification, addition to or elimination of such provisions
          will not cause such Rating Agency to downgrade its then-current
          Ratings of the Certificates; and

               (B) an Opinion of Counsel, in form and substance satisfactory to
          the Depositor (as evidenced by a certificate of the Depositor), to the
          effect that such modification, addition to or absence of such
          provisions will not cause the Trust Fund to cease to qualify as a
          REMIC and will not create a risk that (1) the Trust Fund may be
          subject to an entity-level tax caused by the Transfer of any Residual
          Certificate to a Person which is not a Permitted Transferee or (2) a
          Certificateholder or another Person will be subject to a REMIC-related
          tax caused by the Transfer of a Residual Certificate to a Person which
          is not a Permitted Transferee.

          (vi) The following legend shall appear on all Residual Certificates:

               ANY RESALE, TRANSFER OR OTHER DISPOSITION OF THIS CERTIFICATE MAY
               BE MADE ONLY IF THE PROPOSED TRANSFEREE PROVIDES A TRANSFEREE
               AFFIDAVIT AND AGREEMENT TO THE DEPOSITOR, THE TRUSTEE AND THE
               CERTIFICATE REGISTRAR THAT (1) SUCH TRANSFEREE IS NOT EITHER (A)
               THE UNITED STATES, ANY STATE OR POLITICAL SUBDIVISION THEREOF,
               ANY FOREIGN GOVERNMENT, ANY INTERNATIONAL ORGANIZATION, OR ANY
               AGENCY OR INSTRUMENTALITY OF ANY OF THE FOREGOING, (B) ANY
               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

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               ORGANIZATION IS SUBJECT TO THE TAX IMPOSED BY SECTION 511 OF THE
               CODE, (C) ANY ORGANIZATION DESCRIBED IN SECTION 1381(a)(2)(C) OF
               THE CODE (ANY SUCH PERSON DESCRIBED IN THE FOREGOING CLAUSES (A),
               (B), OR (C) BEING HEREINAFTER REFERRED TO AS A "DISQUALIFIED
               ORGANIZATION"), OR (D) AN AGENT OF A DISQUALIFIED ORGANIZATION
               AND (2) NO PURPOSE OF SUCH TRANSFER IS TO ENABLE THE TRANSFEROR
               TO IMPEDE THE ASSESSMENT OR COLLECTION OF TAX. SUCH AFFIDAVIT
               SHALL INCLUDE CERTAIN REPRESENTATIONS AS TO THE FINANCIAL
               CONDITION OF THE PROPOSED TRANSFEREE. NOTWITHSTANDING THE
               REGISTRATION IN THE CERTIFICATE REGISTER OF ANY TRANSFER, SALE OR
               OTHER DISPOSITION OF THIS CLASS R CERTIFICATE TO A DISQUALIFIED
               ORGANIZATION OR AN AGENT OF A DISQUALIFIED ORGANIZATION, SUCH
               REGISTRATION SHALL BE DEEMED TO BE OF NO LEGAL FORCE OR EFFECT
               WHATSOEVER AND SUCH PERSON SHALL NOT BE DEEMED TO BE A
               CERTIFICATEHOLDER FOR ANY PURPOSE HEREUNDER INCLUDING, BUT NOT
               LIMITED TO, THE RECEIPT OF DISTRIBUTIONS ON THIS CERTIFICATE.
               EACH HOLDER OF THE CLASS R CERTIFICATE BY ACCEPTANCE OF THIS
               CERTIFICATE SHALL BE DEEMED TO HAVE CONSENTED TO THE PROVISIONS
               OF THIS PARAGRAPH.

          (vii) The Holder of the Class R Certificate issued hereunder, while
     not a Disqualified Organization, is the Tax Matters Person.

     (d) (i) No purchase or transfer of a Senior Certificate or a Senior
Subordinate Certificate or any interest therein shall be made by or to any
"employee benefit plan" subject to ERISA or any "plan" described by Section
4975(e)(1) of the Code, or any entity deemed to hold plan assets of any of the
foregoing by reason of a plan's investment in such entity (each, a "Plan")
unless (A) in the case of any such Class of Certificates (other than the Class R
Certificate), such Plan qualifies as an accredited investor as defined in Rule
501(a)(1) of Regulation D under the Securities Act and either (1) at the time of
such transfer, the Certificates are rated in one of the top four rating
categories by at least one Rating Agency, or (2) the purchaser is an insurance
company general account that is eligible for, and satisfies all of the
requirements of, Sections I and III of Prohibited Transaction Class Exemption
95-60 ("PTCE 95-60") and (B) in the case of a Class R Certificate, the Trustee
receives an Opinion of Counsel acceptable to and in form and substance
satisfactory to the Trustee, the Depositor and the Servicer to the effect that
the purchase or holding of such Class R Certificate is permissible under
applicable law, will not constitute or result in any non-exempt prohibited
transaction under Section 406 of ERISA, or Section 4975 of the Code (or
comparable provisions of any subsequent enactments), and will not subject the
Trustee, the Depositor or the Servicer to any obligation or liability (including
obligations or liabilities under ERISA or Section 4975 of the Code)

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in addition to those undertaken in this Agreement, which Opinion of Counsel
shall not be an expense of the Trustee, the Depositor or the Servicer. Each
Person who acquires a Senior Certificate or a Senior Subordinate Certificate
shall be deemed to certify that it meets the foregoing conditions, and that it
will not transfer such Certificate in violation of the foregoing.

          (ii) No purchase or transfer of a Junior Subordinate Certificate shall
     be made by or to a Plan unless such purchaser or transferee is an
     "insurance company general account" (within the meaning of PTCE 95-60) and
     is eligible for, and satisfies all of the requirements for exemptive relief
     under Sections I and III of PTCE 95-60. Each Person who acquires a Junior
     Subordinate Certificate or any interest therein shall be deemed to certify
     and shall be required by the Certificate Registrar to provide an Officer's
     Certificate (substantially in the form set forth in Exhibit L hereto)
     signed by a Responsible Officer of such Person, which Officer's Certificate
     shall not be an expense of the Trustee, the Certificate Administrator, if
     any, the Certificate Registrar or the Depositor) that it meets the
     foregoing conditions, and that it will not transfer such Certificate in
     violation of the foregoing.

     (e) No transfer, sale, pledge or other disposition of a Junior Subordinate
Certificate shall be made unless such transfer, sale, pledge or other
disposition is made in accordance with this Section 5.1(e) or Section 5.1(f).
Each Person who, at any time, acquires any ownership interest in any Junior
Subordinate Certificate shall be deemed by the acceptance or acquisition of such
ownership interest to have agreed to be bound by the following provisions of
this Section 5.1(e) and Section 5.1(f), as applicable. No transfer of a Junior
Subordinate Certificate shall be deemed to be made in accordance with this
Section 5.1(e) unless such transfer is made pursuant to an effective
registration statement under the Securities Act or unless the Trustee or the
Certificate Registrar, if not the same Person as the Trustee, is provided with
the certificates and an Opinion of Counsel, if required, on which the Trustee
and the Certificate Registrar may conclusively rely, which establishes or
establish to the Trustee's or the Certificate Registrar's, as applicable,
satisfaction that such transfer is exempt from the registration requirements
under the Securities Act, as follows: In the event that a transfer is to be made
in reliance upon an exemption from the Securities Act, the Trustee or the
Certificate Registrar, if not the same Person as the Trustee, shall require, in
order to assure compliance with the Securities Act, that the Certificateholder
desiring to effect such transfer certify to the Trustee and the Certificate
Registrar in writing, in substantially the form attached hereto as Exhibit F,
the facts surrounding the transfer, with such modifications to such Exhibit F as
may be appropriate to reflect the actual facts of the proposed transfer, and
that the Certificateholder's proposed transferee certify to the Trustee and the
Certificate Registrar in writing, in substantially the form attached hereto as
Exhibit G, the facts surrounding the transfer, with such modifications to such
Exhibit G as may be appropriate to reflect the actual facts of the proposed
transfer. If such certificate of the proposed transferee does not contain
substantially the substance of Exhibit G, the Trustee or the Certificate
Registrar, if not the same Person as the Trustee, shall require an Opinion of
Counsel satisfactory to it that such transfer may be made without registration,
which Opinion of Counsel shall not be obtained at the expense of the Trustee,
the Certificate Administrator, the Certificate Registrar, the Trust Fund or the
Depositor. Such Opinion of Counsel shall allow for the forwarding, and the
Trustee shall forward, a copy thereof to each Rating Agency. Notwithstanding the
foregoing, any

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Class of Junior Subordinate Certificates may be transferred, sold, pledged or
otherwise disposed of in accordance with the requirements set forth in Section
5.1(f).

     (f) Transfers of the Junior Subordinate Certificates may be made in
accordance with this Section 5.1(f). To effectuate a Certificate transfer in
accordance with this Section 5.1(f), the proposed transferee of such Certificate
must provide the Trustee, the Certificate Registrar and the Depositor with an
investment letter substantially in the form of Exhibit L attached hereto, which
investment letter shall not be an expense of the Trustee, the Certificate
Administrator, the Certificate Registrar or the Depositor, and which investment
letter states that, among other things, such transferee (i) is a "qualified
institutional buyer" as defined under Rule 144A, acting for its own account or
the accounts of other "qualified institutional buyers" as defined under Rule
144A, and (ii) is aware that the proposed transferor intends to rely on the
exemption from registration requirements under the Securities Act provided by
Rule 144A. Notwithstanding the foregoing, the proposed transferee of such
Certificate shall not be required to provide the Trustee, the Certificate
Registrar or the Depositor with Annex 1 or Annex 2 to the form of Exhibit L
attached hereto if the Depositor so consents prior to each such transfer. Such
transfers shall be deemed to have complied with the requirements of this Section
5.1(f). The Holder of a Certificate desiring to effect such transfer does hereby
agree to indemnify the Trustee, the Certificate Administrator, if any, the
Depositor, and the Certificate Registrar against any liability that may result
if transfer is not made in accordance with this Agreement.

     (g) None of the Trustee, the Certificate Administrator, the Certificate
Registrar or the Paying Agent shall have any liability to the Trust Fund arising
from a registration or transfer of a Certificate in reliance upon a
certification, Officer's Certificate, affidavit, ruling or Opinion of Counsel
described in this Section 5.1.

     Section 5.2 CERTIFICATES ISSUABLE IN CLASSES; DISTRIBUTIONS OF PRINCIPAL
AND INTEREST; AUTHORIZED DENOMINATIONS. The aggregate principal amount of
Certificates that may be authenticated and delivered under this Agreement is
limited to the aggregate Principal Balance of the Loans as of the Cut-Off Date,
as specified in the Preliminary Statement to this Agreement, except for
Certificates authenticated and delivered upon registration of transfer of, or in
exchange for, or in lieu of, other Certificates pursuant to Section 5.3. Such
aggregate principal amount shall be allocated among one or more Classes having
designations, types of interests, initial per annum Remittance Rates, initial
Class Principal Balances and last scheduled Distribution Dates as specified in
the Preliminary Statement to this Agreement. The aggregate Percentage Interest
of each Class of Certificates of which the Class Principal Balance equals zero
as of the Cut-Off Date that may be authenticated and delivered under this
Agreement is limited to 100%. Certificates shall be issued in Authorized
Denominations.

     Section 5.3 REGISTRATION OF TRANSFER AND EXCHANGE OF CERTIFICATES. The
Trustee shall cause to be maintained at one of its offices or at its designated
Certificate Registrar, a Certificate Register in which there shall be recorded
the name and address of each Certificateholder. Subject to such

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reasonable rules and regulations as the Trustee may prescribe, the Certificate
Register shall be amended from time to time by the Trustee or its agent to
reflect notice of any changes received by the Trustee or its agent pursuant to
Section 10.5. The Trustee hereby appoints LaSalle Bank National Association as
the initial Certificate Registrar. The Trustee may appoint an Eligible
Institution to act as its agent in order to delegate to such Eligible
Institution its duties as Certificate Registrar under this Agreement.

     Upon surrender for registration of transfer of any Certificate to the
Trustee at the office of First Trust of New York, National Association, 100 Wall
Street, Suite 1600, New York, New York 10005, Attention: Glenn Anderson, or such
other address or agency as may hereafter be provided to the Certificate
Administrator, if any, and the Servicer in writing by the Trustee, the Trustee
shall execute, and the Trustee (or any Authenticating Agent) shall authenticate
and deliver, in the name of the designated transferee or transferees, one or
more new Certificates of Authorized Denominations of like Percentage Interest.
At the option of the Certificateholders, Certificates may be exchanged for other
Certificates in Authorized Denominations of like Percentage Interest, upon
surrender of the Certificates to be exchanged at any such office or agency.
Whenever any Certificates are so surrendered for exchange, the Trustee shall
execute, and the Trustee, or any Authenticating Agent, shall authenticate and
deliver, the Certificates which the Certificateholder making the exchange is
entitled to receive. Every Certificate presented or surrendered for transfer
shall (if so required by the Trustee or any Authenticating Agent) be duly
endorsed by, or be accompanied by a written instrument of transfer in form
satisfactory to the Trustee or any Authenticating Agent and duly executed by,
the Holder thereof or such Holder's attorney duly authorized in writing.

     A reasonable service charge may be made for any such exchange or transfer
of Certificates, and the Trustee or an Authenticating Agent may require payment
of a sum sufficient to cover any tax or governmental charge that may be imposed
in connection with any exchange or transfer of Certificates.

     All Certificates surrendered for exchange or transfer shall be canceled by
the Trustee or any Authenticating Agent.

     Section 5.4 MUTILATED, DESTROYED, LOST OR STOLEN CERTIFICATES. If (i) any
mutilated Certificate is surrendered to the Trustee or any Authenticating Agent,
or (ii) the Trustee or any Authenticating Agent receives evidence to their
satisfaction of the destruction, loss or theft of any Certificate, and there is
delivered to the Trustee or any 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 Trustee or any Authenticating Agent that such 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 Percentage Interest. Upon the issuance of any new
Certificate under this Section 5.4, the Trustee or any 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

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expenses (including the fees and expenses of the Trustee or any Authenticating
Agent) connected therewith. Any replacement Certificate issued pursuant to this
Section 5.4 shall constitute complete and indefeasible evidence of ownership in
the Trust Fund, as if originally issued, whether or not the lost or stolen
Certificate shall be found at any time.

     Section 5.5 PERSONS DEEMED OWNERS. The Depositor, the Certificate
Administrator, the Servicer, the Trustee, and any agent of any of them may treat
the Person in whose name any Certificate is registered as the owner of such
Certificate for the purpose of receiving distributions pursuant to Section 4.1
and for all other purposes whatsoever, and neither the Depositor, the
Certificate Administrator, if any, the Servicer, the Trustee, the Certificate
Registrar, nor any agent of the Depositor, the Certificate Administrator, if
any, the Servicer or the Trustee shall be affected by notice to the contrary.

     Section 5.6 TEMPORARY CERTIFICATES. Upon the initial issuance of the
Certificates, the Trustee may execute, and the Trustee or any Authenticating
Agent shall authenticate and deliver, temporary Certificates which are printed,
lithographed, typewritten or otherwise produced, in any Authorized Denomination,
of the tenor of the definitive Certificates in lieu of which they are issued and
with such variations in form from the forms of the Certificates set forth as
Exhibits A and B hereto as the Trustee's officers executing such Certificates
may determine, as evidenced by their execution of the Certificates.
Notwithstanding the foregoing, the Certificates may remain in the form set forth
in this Section.

     If temporary Certificates are issued, the Trustee shall cause definitive
Certificates to be prepared within ten Business Days of the Closing Date or as
soon as practicable thereafter. After 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 to be maintained as provided in Section 5.10 hereof, without charge to
the Holder. Any tax or governmental charge that may be imposed in connection
with any such exchange shall be borne by the Depositor. Upon surrender for
cancellation of any one or more temporary Certificates, the Trustee shall
execute and the Trustee or any Authenticating Agent shall authenticate and
deliver in exchange therefor a like principal amount of definitive Certificates
of Authorized Denominations. Until so exchanged, the temporary Certificates
shall in all respects be entitled to the same benefits under this Agreement as
definitive Certificates.

     Section 5.7 BOOK-ENTRY FOR BOOK-ENTRY CERTIFICATES. (a) Notwithstanding the
foregoing, the Book-Entry Certificates, upon original issuance, shall be issued
in the form of one or more typewritten Certificates of Authorized Denomination
representing the Book-Entry Certificates, to be delivered to DTC, 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 Cede &
Co., the nominee of DTC, as the initial Clearing Agency, and no Beneficial
Holder shall receive a definitive certificate representing such Beneficial
Holder's interest in any Class of Book-Entry Certificate, except as provided
above and in Section 5.9. Each Book-Entry Certificate shall bear the following
legend:

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     Unless this Certificate is presented by an authorized representative of The
     Depository Trust Company, a New York corporation ("DTC"), to the Trustee or
     its agent for registration of transfer, exchange, or payment, and any
     Certificate issued is registered in the name of Cede & Co. or such other
     name as is requested by an authorized representative of DTC (and any
     payment is made to Cede & Co. or to such other entity as is requested by an
     authorized representative of DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF
     FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the
     registered owner hereof, Cede & Co., has an interest herein.

Unless and until definitive, fully registered Book-Entry Certificates (the
"Definitive Certificates") have been issued to the Beneficial Holders pursuant
to Section 5.9:

          (a) the provisions of this Section 5.7 shall be in full force and
     effect with respect to the Book-Entry Certificates;

          (b) the Certificate Administrator, if any, and the Trustee may deal
     with the Clearing Agency for all purposes with respect to the Book-Entry
     Certificates (including the making of distributions on the Book-Entry
     Certificates) as the sole Certificateholder;

          (c) to the extent that the provisions of this Section 5.7 conflict
     with any other provisions of this Agreement, the provisions of this Section
     5.7 shall control; and

          (d) the rights of the Beneficial Holders shall be exercised only
     through the Clearing Agency and the DTC Participants and shall be limited
     to those established by law and agreements between such Beneficial Holders
     and the Clearing Agency and/or the DTC Participants. Pursuant to the
     Depositary Agreement, unless and until Definitive Certificates are issued
     pursuant to Section 5.9, the initial Clearing Agency will make book-entry
     transfers among the DTC Participants and receive and transmit distributions
     of principal and interest on the related Class of Book-Entry Certificates
     to such DTC Participants.

     For purposes of any provision of this Agreement requiring or permitting
actions with the consent of, or at the direction of, Holders of Book-Entry
Certificates evidencing a specified Percentage Interest, such direction or
consent may be given by the Clearing Agency at the direction of Beneficial
Holders owning Book-Entry Certificates evidencing the requisite Percentage
Interest represented by the Book-Entry Certificates. The Clearing Agency may
take conflicting actions with respect to the Book-Entry Certificates to the
extent that such actions are taken on behalf of the Beneficial Holders.

     Section 5.8 NOTICES TO CLEARING AGENCY. Whenever notice or other
communication to the Certificateholders is required under this Agreement, unless
and until Definitive Certificates shall have been issued to the related
Certificateholders pursuant to Section 5.9, the Trustee shall give all such
notices and communications specified herein to be given to Holders of the
Book-Entry

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Certificates to the Clearing Agency which shall give such notices and
communications to the related DTC Participants in accordance with its applicable
rules, regulations and procedures.

     Section 5.9 DEFINITIVE CERTIFICATES. If (a) the Clearing Agency notifies
the Certificate Administrator, if any, or the Trustee that it is no longer
willing or able to discharge properly its responsibilities under the Depositary
Agreement with respect to the Book-Entry Certificates and the Trustee or the
Certificate Administrator is unable to locate a qualified successor, (b) the
Depositor, at its option, advises the Certificate Administrator, if any, or the
Trustee in writing that it elects to terminate the book-entry system with
respect to the Book-Entry Certificates through the Clearing Agency or (c) after
the occurrence of an Event of Default, Certificateholders holding Book-Entry
Certificates evidencing Percentage Interests aggregating not less than 66% of
the aggregate Class Principal Balance of such Certificates advise the
Certificate Administrator, if any, or the Trustee and the Clearing Agency
through DTC Participants in writing that the continuation of a book-entry system
with respect to the Book-Entry Certificates through the Clearing Agency is no
longer in the best interests of the Certificateholders with respect to such
Certificates, the Trustee shall notify or cause to be notified all
Certificateholders of Book-Entry Certificates of the occurrence of any such
event and of the availability of Definitive Certificates. 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 execute and the Trustee or any Authenticating Agent shall authenticate and
deliver the Definitive Certificates. Neither the Depositor, the Certificate
Administrator, if any, the Authenticating Agent 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 for all of the 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, the Certificate
Administrator, if any, and the Trustee, the Certificate Administrator, the
Certificate Registrar and the Paying Agent shall recognize the Holders of
Definitive Certificates as Certificateholders hereunder.

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                                   ARTICLE VI

                         THE DEPOSITOR AND THE SERVICER

     Section 6.1 LIABILITY OF THE DEPOSITOR AND THE SERVICER. The Depositor and
the Servicer shall each be liable in accordance herewith only to the extent of
the obligations specifically imposed by this Agreement and undertaken hereunder
by the Depositor and the Servicer herein.

     Section 6.2 MERGER OR CONSOLIDATION OF THE DEPOSITOR OR THE SERVICER.
Subject to the following paragraph, the Depositor and the Servicer each will
keep in full effect its existence, rights and franchises as corporations, each
under the laws of the jurisdiction of its incorporation, and will obtain and
preserve its qualification to do business as a foreign corporation in each
jurisdiction in which such qualification is or shall be necessary to protect the
validity and enforceability of this Agreement, the Certificates or any of the
Loans and to perform its respective duties under this Agreement.

     The Depositor or the Servicer may be merged or consolidated with or into
any Person, or transfer all or substantially all of its assets to any Person, in
which case any Person resulting from any merger or consolidation to which the
Depositor or Servicer shall be a party, or any Person succeeding to the business
of the Depositor or Servicer, shall be the successor of the Depositor or
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.

     Section 6.3 LIMITATION ON LIABILITY OF THE SERVICER AND OTHERS. Neither the
Servicer nor any of the directors, officers, employees or agents of the Servicer
shall be under any liability to the Trust Fund 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 any director, officer, employee or agent of the
Servicer against any liability which would otherwise be imposed by reason of
willful misfeasance, bad faith or gross negligence in the performance of duties
or by reason of reckless disregard of obligations and duties hereunder, nor
shall this provision protect the Servicer against any liability that would
otherwise be imposed by reason of negligence in the performance of duties
hereunder. The Servicer and any director, officer, employee or agent of the
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 Servicer and any director, officer, employee or agent of the Servicer shall
be indemnified by the Trust Fund and 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, in the
case of the Servicer and any director, officer, employee or agent of the
Servicer, incurred by reason of willful misfeasance, bad faith or gross
negligence in the performance of duties hereunder or by reason of reckless
disregard of obligations and duties hereunder or, in the case of the Servicer,
as Servicer, incurred by reason of negligence in the performance of any duties
hereunder. The Servicer shall not be under any obligation to appear in,
prosecute or defend any legal

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action which is not incidental to its duties to service the Loans in accordance
with this Agreement and which in its opinion may involve it in any expense or
liability; provided, however, that the Servicer may in its discretion undertake
any such action which it may deem necessary or desirable in respect of 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 Servicer shall be entitled to be
reimbursed therefor out of the Custodial Account for P&I as provided by Section
3.3.

     Section 6.4 SERVICER NOT TO RESIGN. The Servicer shall not resign from the
obligations and duties hereby imposed on it, except upon determination that its
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, the other activities of the Servicer so causing such a conflict being
of a type and nature carried on by the Servicer at the date of this Agreement.
Any such determination permitting the resignation of the Servicer shall be
evidenced by an Opinion of Counsel to such effect delivered to the Trustee. The
Servicer shall notify each Rating Agency of any such resignation. No such
resignation shall become effective until a successor servicer shall have assumed
the Servicer's responsibilities and obligations in accordance with Section 7.5
hereof.

     Notwithstanding the limitations stated above, the Servicer may transfer its
obligations, duties and rights hereunder without the consent of the
Certificateholders, provided, that (i) the Servicer obtains the prior written
consent of each Rating Agency, (ii) the transferee is a FNMA- or FHLMC-approved
servicer having a net worth of not less than $15,000,000, (iii) the successor
servicer assumes all of the Servicer's responsibilities and obligations in
accordance with Section 7.5 hereof, and (iv) the then-current rating of the
Class A Certificates will not be reduced as a result of such transfer, and (v)
the successor servicer has, in the reasonable opinion of the Trustee, the
qualifications, resources and experience to properly carry out, observe and
perform the duties, obligations and responsibilities of Servicer hereunder;
provided, that the foregoing clause (v) is intended solely for the benefit of
(and may be exercised or waived at the sole discretion of) the Trustee, to
enable the Trustee to assure itself that any successor Servicer has such
acceptable qualifications, resources and experience, and such clause (v) is not
intended to be for the benefit of, and shall not be relied upon or enforced by,
any Certificateholder, and provided, further, that any consent to such transfer
will not be unreasonably withheld by the Trustee.

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                                   ARTICLE VII

                                     DEFAULT

     Section 7.1 EVENTS OF DEFAULT. In case one or more of the following Events
of Default by the Servicer shall occur and be continuing, that is to say:

          (i) any failure by the Servicer to distribute or cause to be
     distributed to the Trustee or its delegate on the Withdrawal Date any
     payment required to be made to the Trustee under the terms of this
     Agreement;

          (ii) any failure on the part of the Servicer duly to observe or
     perform in any material respect any other of the covenants or agreements on
     the part of the Servicer in the Certificates or in this Agreement which
     continues unremedied for a period of 60 days after the date on which
     written notice of such failure, requiring the same to be remedied, shall
     have been given to the Servicer by the Trustee, or to the Servicer and the
     Trustee by the Holders of Certificates evidencing, in aggregate, not less
     than 25% of the Trust Fund or 51% of the aggregate Percentage Interests of
     any Class of Certificates;

          (iii) a decree or order of a court or agency or supervisory authority
     having jurisdiction in the premises for the appointment of a conservator or
     receiver or liquidator in any insolvency, readjustment of debt, marshaling
     of assets and liabilities or similar proceedings, or for the winding-up or
     liquidation of its affairs, shall have been entered against the Servicer
     and such decree or order shall have remained in force undischarged or
     unstayed for a period of 60 days;

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

          (v) the 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) any failure of the Servicer to make any Advance required to be
     made from its own funds pursuant to Section 4.3 which continues unremedied
     for a period of one Business Day after the date upon which such Advance was
     to have been made;

then, if an Event of Default described in clauses (i)-(v) of this Section 7.1
shall occur, and in each and every such case, subject to applicable law, so long
as an Event of Default shall not have been

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remedied, either the Trustee or the Holders of Certificates evidencing, in
aggregate, not less than 25% of the Trust Fund or 51% of the aggregate
Percentage Interests of any Class of Certificates by notice in writing to the
Servicer (and to the Trustee if given by the Certificateholders) may terminate
all of the rights and obligations of the Servicer under this Agreement, but
without prejudice to any rights it may have to reimbursement of expenses,
Advances and other advances of its own funds as Servicer to the extent permitted
by this Agreement, other than the Depositor's (or its successors') obligation to
repurchase any Loans pursuant to Section 2.2 or 2.3 shall survive any such
termination. If an Event of Default described in clause (vi) hereof shall occur,
the Trustee shall, by notice in writing to the Servicer, which shall be
telecopied to the Servicer, immediately terminate all of the rights and
obligations of the Servicer, under this Agreement and in and to the Loans and
the proceeds thereof. On or after the receipt by the Servicer of such written
notice, all authority and power of the Servicer under this Agreement, whether
with respect to the Certificates or the Loans or otherwise, shall pass to and be
vested in the Trustee pursuant to and under this Section 7.1 (subject to the
provisions of Section 7.5); and, without limitation, the Trustee is hereby
authorized and empowered to execute and deliver, on behalf of the 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 Loans and related documents or otherwise at the
expense of the Servicer. The Servicer agrees to cooperate with the Trustee in
effecting the termination of the Servicer's responsibilities and rights
hereunder and shall promptly provide the Trustee all documents and records
whether in written or electronic form reasonably requested by it to enable it to
assume the Servicer's functions hereunder and shall promptly also transfer to
the Trustee of this Agreement all amounts which then have been or should have
been deposited in the Custodial Account for P&I by the Servicer or which are
thereafter received with respect to the Loans as well as any escrowed funds held
by it or in connection with its servicing activities hereunder. The Servicer and
the Trustee shall give each Rating Agency notice of any Event of Default.

     Section 7.2 OTHER REMEDIES OF TRUSTEE. 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 7.1, shall have the
right, in its own name 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 filing 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 7.3 DIRECTIONS BY CERTIFICATEHOLDERS AND DUTIES OF TRUSTEE DURING
EVENT OF DEFAULT. During the continuance of any Event of Default, Holders of
Certificates evidencing, in aggregate, not less than 25% of the Trust Fund or
51% of the aggregate Percentage Interests of any Class of Certificates may
direct the time, method and place of conducting any proceeding for any

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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 the Servicer or any successor
servicer from its rights and duties as 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
costs, expenses and liabilities which may be incurred therein or thereby; and,
provided, further, that, subject to the provisions of Section 8.1, 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 or if the
Trustee has received contrary directions pursuant to this Section 7.3.

     Section 7.4 ACTION UPON CERTAIN FAILURES OF SERVICER AND UPON EVENT OF
DEFAULT. In the event that the Trustee shall have knowledge of any failure of
the Servicer specified in Section 7.1(i) or (ii) which would become an Event of
Default upon the Servicer's failure to remedy the same after notice, the Trustee
shall give notice thereof to the Servicer. In the event that the Trustee shall
have knowledge of an Event of Default, the Trustee shall give prompt written
notice thereof to the Certificateholders and to each Rating Agency. 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 Servicer as specified in Section 7.1(i) and (ii) or any Event of
Default unless notified thereof in writing by the Servicer or by a
Certificateholder.

     Section 7.5 APPOINTMENT OF SUCCESSOR SERVICER.

     (a) When the Servicer receives a notice of termination pursuant to Section
7.1 or the Trustee receives the resignation of the Servicer evidenced by an
Opinion of Counsel pursuant to Section 6.4, the Trustee shall become the
successor in all respects to the Servicer in its capacity as Servicer under this
Agreement and the transactions set forth or provided for herein, provided,
however, that the Trustee's obligation to make any Advances shall be no greater
than set forth in Section 4.3 of this Agreement, and the Trustee shall have all
the rights and powers and be subject to all the responsibilities, duties and
liabilities relating thereto placed on the Servicer by the terms and provisions
hereof and in its capacity as such successor shall have the same limitation of
liability herein granted to the Servicer and provided, further, that the Trustee
shall not be required to make an Advance from its own funds if such Advance
would be prohibited by law. As compensation therefor, the Trustee shall be
entitled to receive monthly an amount not to exceed the Servicing Fee as agreed
by the Trustee and the Servicer, together with such other servicing compensation
in the form of assumption fees, late charges, prepayment fees or otherwise
provided in Section 3.9. If the agreed amount is less than the Servicing Fee,
the excess shall be paid to the Class R Certificateholder. If the Trustee and
the Servicer shall not agree on the amount of such compensation, the Trustee
shall solicit bids for a successor servicer as described in Section 7.5(b),

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provided, however, if no successor servicer is obtained through the bidding
process, the Trustee may act as such, or may pursuant to Section 7.5(b) appoint
a successor servicer to act as such, for the Servicing Fee together with such
other servicing compensation as provided in Section 3.9. In no event shall the
Trustee's assumption of or succession to the obligations of the Servicer make
the Trustee liable for any actions or omissions of the Servicer in its capacity
as Servicer.

     (b) Notwithstanding the above, the Trustee may and shall, if it is unable
(or unwilling due to disagreement on compensation as provided in Section 7.5
(a)) to act as Servicer, appoint, or petition a court of competent jurisdiction
to appoint, any established housing and home finance institution, bank or
mortgage servicing institution which is an approved FNMA or FHLMC servicer
having a net worth of not less than $15,000,000 and meeting such other standards
as are set forth in Section 6.4 hereof for a successor to the Servicer hereunder
in the assumption of all or any part of the responsibilities, duties or
liabilities of the Servicer hereunder (except the repurchase obligations set
forth in Sections 2.2 and 2.3 hereof, which shall remain obligations of the
Depositor); provided, however, that until such appointment and assumption, the
Trustee will continue to perform the servicing obligations pursuant to this
Agreement (and until such time shall be entitled to receive the Servicing Fees
pursuant to Section 3.9); provided, further, that prior to the appointment of
any successor servicer, the Rating Agencies confirm that the appointment of such
successor servicer would not result in the downgrade of the Rating assigned to
any Class of Certificates. The compensation of any successor servicer so
appointed shall be equal to the Servicing Fees specified in Section 3.9 together
with such other compensation as is provided in said Section 3.9. In the event
the Trustee is required to solicit bids as provided above, the Trustee shall
solicit, by public announcement, bids from housing and home finance
institutions, banks and mortgage servicing institutions acceptable to the
Trustee and meeting the qualifications set forth above in this Section 7.5(b)
for the purchase of the servicing functions. Such public announcement shall
specify that the successor servicer shall be entitled to the full amount of the
Servicing Fee on the aggregate unpaid principal balance of the Loans as
servicing compensation for servicing the Loans, together with the other
servicing compensation in the form of assumption fees, late payment charges,
prepayment fees or otherwise as provided in Section 3.9. Within 45 days after
any such public announcement, the Trustee shall negotiate and effect the sale,
transfer and assignment of the servicing rights and responsibilities hereunder
(except the repurchase obligations set forth in Sections 2.2 and 2.3 hereof,
which shall remain obligations of the Depositor) to the qualified party
submitting the highest qualifying bid. The Trustee shall deduct all costs and
expenses of any public announcement and of any sale, transfer and assignment of
the servicing rights and responsibilities hereunder from any sum received by the
Trustee from the successor to the Servicer in respect of such sale, transfer and
assignment. After such deductions, the remainder of such sum shall be paid by
the Trustee to the Class R Certificateholder at the time of such sale, transfer
and assignment to the Servicer's successor.

     (c) The Servicer agrees to cooperate with the Trustee and any successor
servicer in effecting the termination of the Servicer's servicing
responsibilities and rights hereunder and shall promptly provide the Trustee or
such successor servicer, as applicable, all documents and records reasonably
requested by it to enable it to assume the Servicer's functions hereunder and
shall

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promptly also transfer to the Trustee or such successor servicer, as applicable,
all amounts which then have been or should have been deposited in the Custodial
Account for P&I by the Servicer or which are thereafter received with respect to
the Loans. Neither the Trustee nor any other successor 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 the failure
of the Servicer to deliver, or any delay in delivering, cash, documents or
records to it.

     Section 7.6 NOTIFICATION TO CERTIFICATEHOLDERS. Upon any termination of the
Servicer or appointment of a successor to the Servicer, in each case as provided
herein, the Trustee shall as soon as practicable give written notice thereof to
Certificateholders at their respective addresses appearing in the Certificate
Register and each Rating Agency.

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                                  ARTICLE VIII

                             CONCERNING THE TRUSTEE

     Section 8.1 DUTIES OF TRUSTEE. The Trustee, prior to the occurrence of an
Event of Default and after the curing of all Events of Default which may have
occurred, undertakes to perform such duties and only such duties as are
specifically set forth in this Agreement. In case an Event of Default has
occurred (which has not been cured), the Trustee, subject to the provisions of
Sections 7.1, 7.3, 7.4 and 7.5, 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. Any permissive right of the Trustee
enumerated in this Agreement shall not be construed as a duty.

     Subject to Sections 8.2(i), 8.3 and 8.4, 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 resolution, certificate, statement, opinion, report, document, order or
other instrument furnished by any party hereunder. If any such instrument is
found not to conform to the requirements of this Agreement in a material manner,
the Trustee shall take action as it deems appropriate to have the instrument
corrected, and if the instrument is not corrected to the Trustee's reasonable
satisfaction, the Trustee will provide notice thereof to the Certificateholders
and each Rating Agency.

     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 or in the event the Trustee is acting as successor
servicer pursuant to Section 7.5, to the standard imposed on the Servicer
pursuant to Section 6.3 of this Agreement; provided, however, that:

          (i) Prior to the occurrence of an Event of Default and after the
     curing of all such Events of Default which may have occurred, the duties
     and obligations of the Trustee shall be determined solely by the express
     provisions of this Agreement, the Trustee shall not be liable except for
     the performance of such duties and obligations as are specifically set
     forth in this Agreement, no implied covenants or obligations shall be read
     into this Agreement against the Trustee and, in the absence of bad faith on
     the part of the Trustee, the Trustee may conclusively rely, as to the truth
     of the statements and the correctness of the opinions expressed therein,
     upon any certificates or opinions furnished to the Trustee and conforming
     to the requirements of this Agreement;

          (ii) 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 this Agreement or at

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     the direction of Certificateholders holding Certificates which have an
     aggregate Certificate Principal Balance aggregating not less than 25% of
     the aggregate Certificate Principal Balance of all Certificates relating to
     the time, method and place of conducting any proceeding for any remedy
     available to the Trustee, or exercising or omitting to exercise any trust
     or power conferred upon the Trustee, under this Agreement;

          (iii) The Trustee shall not be liable in its individual capacity for
     any error of judgment made in good faith by any Responsible Officer, unless
     it shall be proved that the Trustee or such Responsible Officer was
     negligent in ascertaining the pertinent facts;

          (iv) The Trustee shall not be liable for any act or omission of the
     Depositor or the Servicer (except for its own acts or omissions as Servicer
     hereunder) or for any but its own acts or omissions;

          (v) The Trustee shall not be deemed to take notice or be deemed to
     have knowledge of any matter, including without limitation any default or
     Event of Default, unless written notice thereof, referring to the
     Certificates, the Depositor, the Trust Fund or this Agreement is received
     by a Responsible Officer of the Trustee at its Corporate Trust Office; and

          (vi) Subject to the other provisions of this Agreement and without
     limiting the generality of this Section 8.1, 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 rerecording, refiling
     or redepositing of any thereof, (B) to see 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 Certificate Account, and (D) to confirm or verify the contents of
     any reports or certificates of the 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.

     None of the provisions contained in this Agreement shall require the
Trustee to expend or risk its own funds or otherwise incur financial liability
in the performance of any of its duties as Trustee hereunder or in the exercise
of any of its rights or powers if there is reasonable ground 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 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 Servicer in accordance with the terms of this Agreement.

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     Section 8.2 CERTAIN MATTERS AFFECTING TRUSTEE. Except as otherwise provided
in Section 8.1:

          (i) Before acting or refraining from acting the Trustee may request or
     require an Officer's Certificate; the Trustee may rely and shall be
     protected in acting or refraining from acting upon any resolution,
     Officer's Certificate, opinion of counsel, certificate of auditors or any
     other certificate, statement, instrument, opinion, report, notice, request,
     consent, order, appraisal, 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;

          (ii) The Trustee may consult with counsel, and any advice 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;

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

          (iv) 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;

          (v) 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; and

          (vi) The Trustee may execute any of the trusts or powers hereunder or
     perform any duties hereunder either directly or by or through agents,
     attorneys or custodians, and the Trustee shall not be responsible for any
     misconduct or negligence on the part of any such agent, attorney or
     custodian appointed by the Trustee with care. Any such agents, attorneys or
     custodians shall be entitled to all indemnities and protection afforded to
     the Trustee. Any designee of the Trustee shall be considered its "agent"
     hereunder whether performing it as an independent contractor or otherwise.

     Section 8.3 TRUSTEE NOT REQUIRED TO MAKE INVESTIGATION. Prior to the
occurrence of an Event of Default hereunder and after the curing of all Events
of Default which may have occurred, the Trustee shall not be bound to ascertain
or inquire as to the performance or observance of any of the terms, conditions,
covenants or agreements herein or to make any investigation into the facts or
matters stated in any resolution, certificate, statement, instrument, opinion,
report, notice, request, consent, order, approval, bond, Mortgage, Mortgage Note
or other paper or document, unless requested in writing so to do by Holders of
Certificates having a Percentage Interest not less than 51% of the Trust Fund;
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

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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 as a
condition to such proceeding. The reasonable expense of every such examination
shall be paid by the Depositor or, if paid by the Trustee, shall be repaid by
the Depositor upon demand.

     Section 8.4 TRUSTEE NOT LIABLE FOR CERTIFICATES OR LOANS. The recitals
contained herein and in the Certificates (other than the certificate of
authentication on the Certificates) shall be taken as the statements of the
Depositor, and the Trustee assumes no responsibility for the correctness of the
same. The Trustee makes no representations or warranties as to the validity or
sufficiency of this Agreement or of the Certificates or of any Loan or related
document. The Trustee shall not be accountable for the use or application by the
Depositor of any of the Certificates or of the proceeds of such Certificates or
for the use or application of any funds paid to the Servicer in respect of the
Loans or deposited in or withdrawn from the Custodial Account for P&I by the
Servicer or for investment of any such amounts. 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.

     Neither the Trustee nor any of the directors, officers, employees or agents
of the Trustee shall be under any liability to the Trust Fund 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 while
an Event of Default exists; provided, however, that this provision shall not
protect the Trustee or any such person against any liability which would
otherwise be imposed by reason of willful misfeasance, bad faith or negligence
in the performance of duties. The Trustee and any director, officer, employee or
agent of the Trustee shall be indemnified by the Depositor and held harmless
against any loss, liability or expense, including reasonable attorneys' fees,
incurred in connection with or related to the Trustee's performance of its
powers and duties under this Agreement (including, without limitation,
performance under Section 8.1 hereof), or any action relating to this Agreement
or the Certificates, or the performance of the Trustee's duties hereunder, other
than any loss, liability or expense incurred by any such Person by reason of
willful misfeasance, bad faith or negligence in the performance of duties. Any
such losses, liabilities and expenses resulting therefrom shall be losses,
liabilities and expenses of the Depositor. The indemnification provided
hereunder shall survive termination of this Agreement.

     Section 8.5 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 of or a pledgee of the Certificates with the same rights it would have if
it were not Trustee or such agent, and may otherwise deal with the parties
hereto.

     Section 8.6 SERVICER TO PAY TRUSTEE'S FEES AND EXPENSES. The Servicer
covenants and

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agrees to pay to the Trustee monthly (or as otherwise agreed), and the Trustee
shall be entitled to receive, reasonable compensation (which shall not be
limited by any provision of law in regard to the compensation of a trustee of an
express trust) for all services rendered by it in the execution of the trusts
hereby created and in the exercise and performance of any of the powers and
duties hereunder of the Trustee, and the Servicer shall pay or reimburse the
Trustee upon its request for all reasonable expenses, disbursements and
advances, including reasonable attorneys' fees, incurred or made by the Trustee
in accordance with any of the provisions of this Agreement (including the
reasonable compensation and the expenses and disbursements of its counsel and of
all persons not regularly in its employ) except any such expense, disbursement
or advance as may arise from its negligence or bad faith. The Tax Matters Person
(or Person acting as its attorney-in-fact or agent) shall indemnify the Trustee
for any liability of or assessment against the Trustee resulting from any error
in any tax or tax information returns prepared or caused to be prepared by such
Person. In the event that (i) the Servicer does not pay to the Trustee any
compensation owed to the Trustee pursuant to this Agreement or (ii) the Trustee
is not reimbursed for any expense, disbursement or advance incurred or made by
the Trustee pursuant to this Agreement, the Trustee shall be entitled to
withdraw and retain such amount from the Certificate Account. In the event the
Trustee incurs expenses or renders services in any proceedings which result from
an Event of Default under Section 7.1, subsections (iii), (iv) or (v) of this
Agreement, or from any default which, with the passage of time, would become an
Event of Default, the expenses so incurred and compensation for services so
rendered are intended to constitute expenses of administration under the United
States Bankruptcy Code or equivalent law.

     Section 8.7 ELIGIBILITY REQUIREMENTS FOR TRUSTEE. The Trustee hereunder
shall at all times be a corporation or association organized and doing business
under the laws of any state of the United States of America, authorized under
such laws to exercise corporate trust powers, having a combined capital and
surplus of at least $50,000,000 and subject to supervision or examination by
federal or state authority. The Trustee shall not control the Servicer nor be a
parent of or a subsidiary of the Servicer. If such corporation or 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 8.7 the combined capital and surplus of such
corporation or 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 the Trustee shall cease to be eligible in accordance with the
provisions of this Section 8.7, the Trustee shall resign immediately in the
manner and with the effect specified in Section 8.8.

     Section 8.8 RESIGNATION AND REMOVAL OF TRUSTEE. The Trustee may at any time
resign and be discharged from the trusts hereby created by giving written notice
of resignation to the Servicer. Such notice shall also be furnished to each
Rating Agency. Upon receiving such notice of resignation, the Servicer shall
promptly appoint a successor trustee by written instrument, in duplicate, one
copy of which instrument shall be delivered to the resigning Trustee and one
copy to the successor trustee. If no successor trustee shall have been so
appointed and 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 at the expense

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of the Servicer.

     If at any time the Trustee shall cease to be eligible in accordance with
the provisions of Section 8.7 and shall fail to resign after written request for
the Trustee's resignation by the Servicer, or if at any time the Trustee shall
become incapable of acting, or shall be adjudged bankrupt or insolvent, or a
receiver of the Trustee or of its property shall be appointed, or any public
officer shall take charge or control of the Trustee or of its property or
affairs for the purpose of rehabilitation, conservation or liquidation, then,
with or without cause, the Servicer may remove the Trustee and appoint a
successor trustee by written instrument, in duplicate, one copy of which
instrument shall be delivered to the Trustee so removed and one copy to the
successor trustee.

     The Holders of Certificates having a Percentage Interest aggregating not
less than 51% of the aggregate Denomination of all Certificates may at any time
remove the Trustee and appoint a successor trustee by written instrument or
instruments, in triplicate, signed by such holders or their attorneys-in-fact
duly authorized, one complete set of which instrument or instruments shall be
delivered to the Servicer, one complete set to the Trustee so removed and one
complete set to the successor trustee so appointed.

     Any resignation or removal of the Trustee and appointment of successor
trustee pursuant to any of the provisions of this Section 8.8 shall become
effective only upon acceptance of appointment by the successor trustee as
provided in Section 8.9.

     Section 8.9 SUCCESSOR TRUSTEE. Any successor trustee appointed as provided
in Section 8.8 shall execute, acknowledge and deliver to the 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 or cause to be
delivered to the successor trustee all Mortgage Files and related documents and
statements held by it hereunder (other than any Mortgage Files at the time held
by the Custodian, if it shall agree to become the agent of any successor trustee
hereunder), and the Servicer and the predecessor trustee shall execute and
deliver such instruments and do such other things as may reasonably be required
for more fully and certainly vesting and confirming in the successor trustee all
such rights, powers, duties and obligations.

     No successor trustee shall accept appointment as provided in this Section
8.9 unless at the time of such acceptance such successor trustee shall be
eligible under the provisions of Section 8.7.

     Upon acceptance of appointment by a successor trustee as provided in this
Section 8.9, the Servicer shall mail notice of the succession of such trustee
hereunder to all holders of Certificates at their addresses as shown in the
Certificate Register and to each Rating Agency. If the Servicer fails to mail
such notice within ten days after acceptance of appointment by the successor
trustee, the successor trustee shall cause such notice to be mailed at the
expense of the Servicer.

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     Section 8.10 MERGER OR CONSOLIDATION OF TRUSTEE. Any Person into which the
Trustee may be merged or converted 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 Person succeeding to all or substantially all
of the corporate trust business of the Trustee, shall be the successor of the
Trustee hereunder, provided, that such Person shall be eligible under the
provisions of Section 8.7, 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.

     Section 8.11 APPOINTMENT OF CO-TRUSTEE OR SEPARATE TRUSTEE. Notwithstanding
any other provisions hereof, at any time, for the purpose of meeting any legal
requirements of any jurisdiction in which any part of the Trust Fund or property
securing the same may at the time be located, the Servicer and the Trustee
acting jointly shall have the power and shall execute and deliver all
instruments to appoint one or more Persons approved by the Trustee to act as
co-trustee or co-trustees, jointly with the Trustee, or separate trustee or
separate trustees, of all or any part of the Trust Fund, and to vest in such
Person or Persons, in such capacity, such title to the Trust Fund, or any part
thereof, and, subject to the other provisions of this Section 8.11, such powers,
duties, obligations, rights and trusts as the Servicer and the Trustee may
consider necessary or desirable. If the Servicer shall not have joined in such
appointment within 15 days after the receipt by it of a request so to do, or in
case an Event of Default shall have occurred and be continuing, the Trustee
alone shall have the power to make such appointment. Each co-trustee and
separate trustee hereunder shall not be required to meet the terms of
eligibility as a successor trustee under Section 8.7 hereunder and no notice to
holders of Certificates of the appointment of co-trustee(s) or separate
trustee(s) shall be required under Section 8.9 hereof.

     In the case of any appointment of a co-trustee or separate trustee pursuant
to this Section 8.11, all 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 or co-trustee jointly, except
to the extent that under any law of any jurisdiction in which any particular act
or acts are to be performed (whether as Trustee hereunder or as successor to the
Servicer hereunder), 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 a portion thereof in any
such jurisdiction) shall be exercised and performed by such separate trustee or
co-trustee at the direction of the Trustee.

     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 or co-trustee shall refer to this Agreement and the conditions
of this Article VIII. 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.

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     Any separate trustee or co-trustee 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 such separate trustee or co-trustee. If any
separate trustee or co-trustee 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.

     The Trustee may appoint one or more Eligible Institutions to act as its
agent or agents to perform any or all of its duties and obligations under this
Agreement. Each such agent shall be subject to all of 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.

     Section 8.12 APPOINTMENT OF CUSTODIANS. The Trustee may, with the consent
of the Servicer, appoint one or more Custodians, not affiliated with the
Depositor, to review, pursuant to Section 2.2 hereof, and hold all or a portion
of the Mortgage Files as agent for the Trustee PROVIDED, HOWEVER, that such
appointed Custodian may be LaSalle Bank National Association or Standard Federal
Bank, N.A. Any Custodian appointed shall be (i) LaSalle Bank National
Association or (ii) Standard Federal Bank, N.A., or (iii) (a) an institution
subject to supervision by federal or state authority, (b) shall have combined
capital and surplus of at least $50,000,000 and (c) shall be qualified to do
business in the jurisdiction in which it holds any Mortgage File.

     Section 8.13 AUTHENTICATING AGENT.

     (a) The Trustee may appoint from time to time an authenticating agent (the
"Authenticating Agent") 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 the Authenticating Agent and a
certificate of authentication executed on behalf of the Trustee by the
Authenticating Agent. Any successor Authenticating Agent must be acceptable to
the Servicer and have a principal office and place of business in New York, New
York or Chicago, Illinois, have a combined capital and surplus of at least
$50,000,000, and be authorized to do a trust business and subject to supervision
or examination by federal or state authorities.

     (b) Any corporation into which the Authenticating Agent may be merged or
converted or with which it may be consolidated, or any corporation resulting
from any merger, conversion or consolidation to which the Authenticating Agent
shall be a party, or any corporation succeeding to all or substantially all of
the corporate agency business of the 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) The Authenticating Agent may at any time resign by giving at least 30
days' advance

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written notice of resignation to the Trustee and to the Servicer. The Trustee
may at any time terminate the agency of the Authenticating Agent by giving
written notice of termination to the Authenticating Agent and to the Servicer.
Upon receiving a notice of resignation or upon such a termination, or in case at
any time the Authenticating Agent shall cease to be eligible in accordance with
the provisions of this Section 8.13, the Trustee promptly shall appoint a
successor Authenticating Agent, shall give written notice of such appointment to
the Servicer and shall mail notice of such appointment to all
Certificateholders. Any successor Authenticating 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 herein. No successor Authenticating
Agent shall be appointed unless eligible under the provisions of this Section
8.13.

     (d) The Authenticating Agent shall have no responsibility or liability for
any action taken by it as such at the direction of the Trustee. Any reasonable
compensation paid to the Authenticating Agent shall be a reimbursable expense
under Section 8.6.

     Section 8.14 BLOOMBERG. As soon as practicable after the Closing Date, the
Trustee or the Certificate Administrator, if any, will arrange with Bloomberg to
have the Depositor set up on Bloomberg to provide the information set forth on
Exhibit Q (the "Data") with respect to the Loans on a monthly basis in a format
acceptable to Bloomberg and acceptable to the Underwriters. During the term of
this Agreement, the Trustee will provide updated Data to Bloomberg on or before
each Distribution Date.

     Section 8.15 REPORTS TO SECURITIES AND EXCHANGE COMMISSION. Unless
otherwise directed by the Depositor in writing, the Certificate Administrator or
the Trustee, as applicable, shall prepare, sign and file with the Securities and
Exchange Commission, on behalf of the Depositor, (i) no later than ten days
after each Distribution Date, the Certificateholders' Report on the appropriate
form and in the appropriate medium authorized or prescribed therefor under the
Exchange Act, (ii) no later than March 25 of each calendar year, an annual
report meeting the requirements of the Exchange Act on the appropriate form and
in the appropriate medium authorized or prescribed therefor under the Exchange
Act. The Trustee or the Certificate Administrator, as applicable, shall promptly
forward copies of all filings made pursuant to this Section 8.15 to the
Depositor.

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                                   ARTICLE IX

                                   TERMINATION

     Section 9.1 TERMINATION UPON PURCHASE BY THE SERVICER OR LIQUIDATION OF ALL
LOANS. The respective obligations and responsibilities of the Servicer and the
Trustee created hereby (other than the obligation to make payments to
Certificateholders as hereafter set forth in this Section 9.1 and obligations to
the Trustee in Sections 8.4 and 8.6) shall terminate upon the earlier of (i) the
later of the final payment or other liquidation (or any Advance with respect
thereto) of the last Loan remaining in the Trust Fund and the disposition of all
property acquired in respect of any Loan or (ii) the purchase by the Servicer of
all Loans at a price equal to the sum of (a) the principal balance of each Loan
plus accrued interest thereon at the applicable Mortgage Interest Rate to the
next scheduled Installment Due Date and (b) the fair market value of all
acquired property in respect of Loans, such fair market value to be determined
by an appraiser selected by the Trustee; PROVIDED, HOWEVER, that in no event
shall the trust 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, living on the date
hereof; and PROVIDED, FURTHER, that a "plan of liquidation" of the REMIC in
accordance with Section 860F of the Code must be adopted in conjunction with any
termination effected pursuant to subclauses (i), (ii), or (iii) of this Section
9.1.

     The Servicer is hereby granted the right to purchase the Loans pursuant to
clause (ii) above, PROVIDED, HOWEVER, that such right shall be conditioned upon
(a) the Principal Balances of such Loans, at the time of any such purchase,
aggregating an amount less than 10% of the aggregate Principal Balance of the
Loans on the Cut-off Date, after deduction of payments due on or before such
date, and (b) the aggregate price in clause (ii) above must not be greater than
the aggregate fair market value of the Loans and all such acquired property.

     Notice of any termination pursuant to clause (i), (ii) or (iii) above,
specifying the Distribution Date upon which all Certificateholders may surrender
their Certificates to the Trustee or its agent for payment and cancellation,
shall be given promptly by the Trustee or its agent (upon direction by the
Servicer no less than 10 days prior to the date such notice is to be mailed) by
letter to Certificateholders and each Rating Agency mailed by first class mail
no later than the 25th day of the month preceding the month of such final
distribution specifying (i) the Distribution Date upon which final payment on
the Certificates will be made upon presentation and surrender of Certificates at
the office or agency of the Trustee or the Certificate Registrar therein
designated, (ii) the amount of any such final payment and (iii) that the Record
Date otherwise applicable to such Distribution Date is not applicable, payments
being made only upon presentation and surrender of the Certificates at the
office or agency of the Trustee or the Certificate Registrar therein specified.
The Trustee or its agent shall give such notice to the Certificate Registrar and
each Rating Agency at the time such notice is given to the Certificateholders.
Upon any such termination, the duties of the Certificate Registrar shall also
terminate. In the event such notice is given in connection with Depositor's

                                       97

<PAGE>

election to purchase, the Depositor shall deposit in the Certificate Account on
the related Withdrawal Date an amount equal to the above-described purchase
price and upon such deposit Certificateholders will be entitled to the amount of
such purchase price but not amounts in excess thereof, all as provided herein.
With respect to the Certificates, upon presentation and surrender of the
Certificates pursuant to any termination under this Section 9.1, the Trustee or
Paying Agent shall cause to be distributed to Certificateholders an amount equal
to (a) the amount otherwise distributable on such Distribution Date, if not in
connection with a purchase; or (b) if the Depositor elected to so purchase, the
purchase price calculated as above provided. Upon any termination pursuant to
clause (iii) above, or upon certification to the Trustee by a Servicing Officer
following such final deposit, the Trustee and any Custodian shall promptly
release to the Servicer the Mortgage Files for the remaining Loans, and the
Trustee shall execute all assignments, endorsements and other instruments
necessary to effectuate such transfer.

     In the event that all of the Certificateholders shall not surrender their
Certificates for cancellation within three months after the time specified in
the above-mentioned written notice, the Trustee or its agent 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 three months after the second notice all the Certificates
shall not have been surrendered for cancellation, the Trustee or its agent shall
take appropriate and reasonable steps as directed by the Servicer, to contact
the remaining Certificateholders concerning surrender of their Certificates, and
the cost thereof shall be paid out of the funds and other assets which remain in
trust hereunder.

     Section 9.2 TRUSTS IRREVOCABLE. Except as expressly provided herein, all
trusts created hereby are irrevocable.

     Section 9.3 ADDITIONAL TERMINATION REQUIREMENTS.

     (a) In the event the Depositor exercises its purchase option as provided in
Section 9.1, the Trust Fund shall be terminated in accordance with the following
additional requirements, unless the Trustee and the Certificate Administrator
have received an Opinion of Counsel to the effect that the failure of the Trust
Fund to comply with the requirements of this Section 9.3 will not (i) result in
the imposition of taxes on "prohibited transactions" of the REMIC of the Trust
Fund as described in Section 860F(a)(2) of the Code, or (ii) cause the REMIC of
the Trust Fund to fail to qualify as a REMIC at any time that any Certificates
are outstanding:

          (A) Within 90 days prior to the final Distribution Date set forth in
     the notice given by the Depositor under Section 9.1, the Tax Matters Person
     shall prepare the documents associated with and shall adopt a plan of
     complete liquidation of the REMIC of the Trust Fund; and

          (B) At or after the time of adoption of such a plan of complete
     liquidation and at or prior to the final Distribution Date, the Servicer as
     agent of the Trustee shall sell all of the assets of the Trust Fund to the
     Depositor for cash in accordance with such plan of

                                       98

<PAGE>

     liquidation; provided, however, that in the event that a calendar quarter
     ends after the time of adoption of such a plan of complete liquidation but
     prior to the final Distribution Date, the Servicer shall not sell any of
     the assets of the Trust Fund prior to the close of that calendar quarter.

     (b) The Tax Matters Person hereby agrees to adopt such a plan of complete
liquidation and to take such other action in connection therewith as may be
reasonably requested by the Servicer.

                                       99

<PAGE>

                                    ARTICLE X

                            MISCELLANEOUS PROVISIONS

     Section 10.1 AMENDMENT. This Agreement may be amended from time to time by
the Depositor and the Trustee, without the consent of any of the
Certificateholders, (a) to cure any ambiguity, to correct or supplement any
provision herein which may be inconsistent with any other provision herein, or
to make any other provisions with respect to matters or questions arising under
this Agreement, (b) to modify, eliminate or add to any provisions to such extent
as shall be necessary to maintain the qualification of the Trust Fund as a REMIC
at all times that any Class A or Subordinate Certificates are outstanding,
provided, that the Trustee has received an Opinion of Counsel to the effect that
such action is necessary or desirable to maintain such qualification, provided,
that such action under clauses (a) and (b) above shall not adversely affect in
any material respect the interests of any Certificateholder or (c) such
amendment is made to conform the terms of this Agreement to the terms described
in the Prospectus dated January 23, 2003, together with the Prospectus
Supplement dated January 23, 2003.

     This Agreement may also be amended from time to time by the Depositor and
the Trustee with the consent of the Holders of Certificates evidencing, in
aggregate, not less than 66-2/3% of each Class of Certificates affected thereby
for the purpose of adding any provisions 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 of Certificates of such Class; provided,
however, that no such amendment shall (a) reduce in any manner the amount of, or
delay the timing of, payments received on Loans which are required to be
distributed in respect of any Certificate without the consent of the Holder of
such Certificate; (b) adversely affect in any material respect the interest of
the Holders of the Class A Certificates in a manner other than as described in
(a) above without the consent of the Holders of Class A Certificates aggregating
not less than 66-2/3% of the aggregate Percentage Interest evidenced by all
Class A Certificates; (c) adversely affect in any material respect the interest
of the Holders of the Subordinate Certificates in a manner other than as
described in clause (a) above without the consent of the Holders of Subordinate
Certificates aggregating not less than 66-2/3% of the aggregate Percentage
Interest evidenced by all Subordinate Certificates; (d) adversely affect in any
material respect the interest of the Class R Certificateholder without the
consent of the Holder of the Class R Certificate; (e) change in any material
respect the rights and obligations of the Servicer or successor Servicer under
this Agreement without the prior written consent of such party; or (f) reduce
the aforesaid percentage of the Certificates the Holders of which are required
to consent to any such amendments without the consent of the Holders of all
Certificates then outstanding, which consent shall not be unreasonably withheld;
PROVIDED, that for the purposes of this Agreement, the Holder of the Class R
Certificate shall have no right to vote at all times that any Class A
Certificates or Subordinate Certificates are outstanding if such amendment
relates to the modification, elimination or addition of any provision necessary
to maintain the qualification of the Trust Fund as a REMIC.

                                       100

<PAGE>

     Notwithstanding any contrary provision of this Agreement, the Trustee shall
not consent to any amendment to this Agreement unless it shall have first
received an Opinion of Counsel to the effect that such amendment will not cause
the Trust Fund to fail to qualify as a REMIC at any time that any REMIC Regular
Interests or Certificates are outstanding.

     As soon as practicable after the execution of any such amendment, the
Trustee shall furnish written notification of the substance of such amendment to
each Certificateholder and each Rating Agency.

     It shall not be necessary for the consent of the Certificateholders under
this Section 10.1 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 Certificateholders shall be subject to such reasonable
regulations as the Trustee may prescribe.

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

     Section 10.2 RECORDATION OF AGREEMENT. This Agreement (or an abstract
hereof, if acceptable by the applicable recording office) is subject to
recordation in all appropriate public offices for real property records in all
the counties or other comparable jurisdictions in which any or all of the
properties subject to the Mortgages are situated, and in any other appropriate
public recording office or elsewhere, such recordation to be effected by the
Servicer at its expense, but only after the Depositor has delivered to the
Trustee an Opinion of Counsel to the effect that such recordation materially and
beneficially affects the interests of the Certificateholders.

     For the purpose of facilitating the recordation of this Agreement as herein
provided and for other purposes, this Agreement may be executed simultaneously
in any number of counterparts, each of which counterparts shall be deemed to be
an original, and such counterparts shall constitute but one and the same
instrument.

     Section 10.3 LIMITATION ON RIGHTS OF CERTIFICATEHOLDERS. The death or
incapacity of any Certificateholder shall not operate to terminate this
Agreement or the 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 the 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 Certificateholder, shall have any right to vote or in
any manner otherwise control the operation and management of the Trust Fund, or
the obligations of the parties hereto, nor shall

                                       101

<PAGE>

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.

     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 default and of the continuance thereof, as
hereinbefore provided, and unless all of the Holders of Certificates evidencing,
in aggregate, not less than 25% of the Trust Fund 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 costs, expenses and liabilities to be
incurred therein or thereby, and the Trustee, for 60 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; 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 10.3, each and every Certificateholder and the Trustee shall be
entitled to such relief as can be given either at law or in equity.

     Section 10.4 GOVERNING LAW; JURISDICTION. THIS AGREEMENT SHALL BE CONSTRUED
IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK (WITHOUT REGARD TO
CONFLICTS OF LAWS PRINCIPLES), AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE
PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS.

     Section 10.5 NOTICES. All demands, notices and communications hereunder
shall be in writing and shall be deemed to have been duly given if personally
delivered at or mailed by certified or registered mail, return receipt requested
(a) in the case of the Depositor, to ABN AMRO Mortgage Corporation, 135 South
LaSalle Street, Suite 925, Chicago, Illinois 60603, Attention: Maria Fregosi -
Director - ABN AMRO Mortgage Operations, or such other address as may hereafter
be furnished to the Servicer and the Trustee in writing by the Depositor, (b) in
the case of the Servicer, to InterFirst, 777 East Eisenhower Parkway, Ann Arbor,
Michigan 48108, Attention: Steve Kapp - Vice President with a copy to ABN AMRO
Mortgage Group, Inc., 2600 West Big Beaver Road, Troy, Michigan 48084,
Attention: Thomas E. Reiss, or such other address as may hereafter be furnished
to the Depositor and the Trustee in writing by the Servicer, (c) in the case of
the Trustee, to the Corporate Trust Office, or such other address as may
hereafter be furnished to the Depositor and the Servicer in writing by the
Trustee, in each case Attention: Corporate Trust Department, (d) in the case of
S&P, to Standard & Poor's, a division of the McGraw-Hill Companies, Inc., 55
Water Street,

                                       102

<PAGE>

41st Floor, New York, New York, 10041, Attention: Residential Mortgage
Surveillance Department, or such other address as may hereinafter be furnished
to the Depositor in writing by S&P and (e) in the case of Fitch, to Fitch
Ratings, One State Street Plaza, 32nd Floor, New York, New York 10004,
Attention: Alla Sirotic, Residential Mortgage, or such other address as may
hereinafter be furnished to the Depositor in writing by Fitch. Any notice
required or permitted to be mailed to a Certificateholder shall be given by
first class mail, postage prepaid, at the address of such Holder as shown in the
Certificate Register. Any notice mailed or transmitted within the time
prescribed in this Agreement shall be conclusively presumed to have been duly
given, whether or not the addressee receives such notice; provided, that any
demand, notice or communication to or upon the Depositor, the Servicer or the
Trustee shall not be effective until received.

     Section 10.6 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.

                  [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

                                       103

<PAGE>

     IN WITNESS WHEREOF, the Depositor, the Servicer and the Trustee have caused
their names to be signed hereto by their respective officers thereunto duly
authorized, all as of the day and year first above written.

                                          ABN AMRO MORTGAGE CORPORATION, as
                                          Depositor

                                          By:/s/ Daniel J. Fischer
                                             ----------------------------------
                                          Name:  Daniel J. Fischer
                                          Its:   Vice President

                                       104

<PAGE>

                                          JPMORGAN CHASE BANK, as Trustee

                                          By: /s/ Chris Jackson
                                              ----------------------------------
                                          Name:   Chris Jackson
                                          Its:    Trust Officer

                                       105

<PAGE>

                                          ABN AMRO MORTGAGE GROUP, INC., as
                                          Servicer

                                          By:/s/ Richard Geary
                                             -----------------------------------
                                          Name:  Richard Geary
                                          Its:   Group Senior Vice President

                                       106

<PAGE>

STATE OF FLORIDA           )
                           )   ss.:
COUNTY OF _______          )

          On the ________ day of ______________, 2003, before me,
_______________, personally appeared Daniel J. Fischer, a Vice President of ABN
AMRO Mortgage Corporation, personally known to me (or proved to me on the basis
of satisfactory evidence) to be the person whose name is subscribed to the
within instrument, and acknowledged to me that he executed the same in his
authorized capacity, and that by his signature on the instrument the person, or
the entity upon behalf of which the person acted, executed the instrument.

          WITNESS my hand and official seal:

                                    Signature ________________________________
                                              (SEAL)

                                       107

<PAGE>

STATE OF TEXAS         )
                       )   ss.:
COUNTY OF HARRIS       )

          On the ______ day of _________________, 2003, before me,
__________________________, personally appeared Chris Jackson, known to me to be
a Trust Officer of JPMorgan Chase Bank, one of the institutions that executed
the within instrument and also known to me to be the person who executed it on
behalf of said institution, and acknowledged to me that such institution
executed the within instrument.

          IN WITNESS WHEREOF, I have hereunto set my hand and affixed my
official seal the day and year in this certificate first above written.

                                          _____________________________________
                                          Notary Public

[NOTARIAL SEAL]

                                       108

<PAGE>

STATE OF MICHIGAN       )
                        )   ss.:
COUNTY OF OAKLAND       )

          On the ______ day of ____________________, 2003, before me, Sally
Raffler, personally appeared Richard Geary, known to me to be a Group Senior
Vice President of ABN AMRO Mortgage Group, Inc., one of the corporations that
executed the within instrument and also known to me to be the person who
executed it on behalf of said corporation, and acknowledged to me that such
corporation executed the within instrument.

          IN WITNESS WHEREOF, I have hereunto set my hand and affixed my
official seal the day and year in this certificate first above written.

                                          ______________________________________
                                          Notary Public

[NOTARIAL SEAL]

                                       109

<PAGE>

                                    EXHIBIT A
                                    ---------

                              FORMS OF CERTIFICATES

<PAGE>

                                   EXHIBIT A-1
                                                                  CUSIP ________
                FORM OF SENIOR AND SENIOR SUBORDINATE CERTIFICATE
                        MORTGAGE PASS-THROUGH CERTIFICATE

                          Class [[__]A-[__], M, B-[__]]

Evidencing a Percentage Interest in certain distributions with respect to a pool
of conventional one- to four-family mortgage loans formed and administered by

                          ABN AMRO MORTGAGE CORPORATION

This Certificate represents ownership of a "regular interest" in a "real estate
mortgage investment conduit," as those terms are defined in Sections 860G and
860D, respectively, of the Internal Revenue Code of 1986, as amended. The issue
date (the "Issue Date") of this Certificate is January __, 2003. [The rate at
which interest is payable as of the Issue Date with respect to this Certificate
is [___]% per annum.][Interest is not payable with respect to this Certificate.]

[Unless this Certificate is presented by an authorized representative of The
Depository Trust Company, a New York corporation ("DTC"), to the Trustee or its
agent for registration of transfer, exchange, or payment, and any Certificate
issued is registered in the name of Cede & Co. or such other name as is
requested by an authorized representative of DTC (and any payment is made to
Cede & Co. or to such other entity as is requested by an authorized
representative of DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR
OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the registered owner
hereof, Cede & Co., has an interest herein.]

[The Class [M, B-[__]] Certificates will be subordinate in right of payment to
and provide credit support to certain Classes of Certificates, as described in
the Pooling Agreement.

Series 20[__-__]                          Portion of the Class [__]A-[__]
                                          [Principal Balance][Notional Amount]
                                          as of the Cut-Off Date evidenced by
                                          this Certificate: $________________

Class [__]A-[__] Remittance Rate:         [___]%
Cut-Off Date:                             [__________]
First Distribution Date:                  [__________]
Last Scheduled Distribution Date:         [__________]

Class [__]A-[__] [Principal Balance][Notional Amount] as of the Cut-Off Date:
$______________
                              --------------------
                                 Registered Owner             Certificate No.___

                                      A-1-1

<PAGE>

                                   EXHIBIT A-2
                                   -----------
                                                                    CUSIP_______

                     FORM OF JUNIOR SUBORDINATE CERTIFICATE
                        MORTGAGE PASS-THROUGH CERTIFICATE

                                  Class B-[__]

Evidencing a Percentage Interest in certain distributions with respect to a pool
of conventional one- to four-family mortgage loans formed and administered by

                          ABN AMRO MORTGAGE CORPORATION

This Certificate represents ownership of a "regular interest" in a "real estate
mortgage investment conduit," as those terms are defined in Sections 860G and
860D, respectively, of the Internal Revenue Code of 1986, as amended (the
"Code"). The issue date (the "Issue Date") of this Certificate is January [__],
2003. The rate at which interest is payable as of the Issue Date with respect to
this Certificate is [___]% per annum.

IN THE CASE OF ANY CLASS B-[__] CERTIFICATE PRESENTED FOR REGISTRATION IN THE
NAME OF AN EMPLOYEE BENEFIT OR OTHER PLAN SUBJECT TO THE PROHIBITED TRANSACTION
PROVISIONS OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED
("ERISA"), OR SECTION 4975 OF THE CODE (OR COMPARABLE PROVISIONS OF ANY
SUBSEQUENT ENACTMENTS) (A "PLAN"), A TRUSTEE OF ANY SUCH PLAN, OR ANY OTHER
PERSON WHO IS USING "PLAN ASSETS" OF ANY SUCH PLAN TO EFFECT SUCH ACQUISITION,
THE TRUSTEE OR CERTIFICATE REGISTRAR SHALL REQUIRE SUCH TRANSFEREE TO PROVIDE AN
OFFICER'S CERTIFICATE SIGNED BY A RESPONSIBLE OFFICER OF SUCH TRANSFEREE STATING
THAT THE TRANSFEREE IS AN INSURANCE COMPANY USING ASSETS OF AN "INSURANCE
COMPANY GENERAL ACCOUNT" (WITHIN THE MEANING OF DEPARTMENT OF LABOR PROHIBITED
TRANSACTION CLASS EXEMPTION ("PTCE") 95-60) TO EFFECT SUCH PURCHASE AND
SATISFIES ALL OF THE REQUIREMENTS FOR EXEMPTIVE RELIEF UNDER SECTIONS I AND III
OF PTCE 95-60, WHICH OFFICER'S CERTIFICATE SHALL NOT BE AN EXPENSE OF THE
TRUSTEE OR THE DEPOSITOR.

The Class B-[__] Certificates will be subordinate in right of payment to and
provide credit support to certain Classes of Certificates, as described in the
Pooling Agreement.

Series 20[__-__]                          Portion of the Class B-[__] Principal
                                          Balance as of the Cut-Off Date
                                          evidenced by this Certificate:
                                          $_________________

Class B-[__] Remittance Rate:             [____]%
Cut-Off Date:                             [___________]
First Distribution Date:                  [____________]
Last Scheduled Distribution Date:     [____________]

Class B-[__] Principal Balance as of the Cut-Off Date: $________________

                              --------------------
                                Registered Owner              Certificate No.___

                                      A-1-2

<PAGE>

                                    EXHIBIT B
                                    ---------
                            FORM OF RESIDUAL CERTIFICATE          CUSIP ________
                         MORTGAGE PASS-THROUGH CERTIFICATE

                                     Class R

Evidencing a Percentage Interest in certain distributions with respect to a pool
of conventional one- to-four family mortgage loans formed and administered by

                          ABN AMRO MORTGAGE CORPORATION

ANY RESALE, TRANSFER OR OTHER DISPOSITION OF THIS CERTIFICATE MAY BE MADE ONLY
IF THE PROPOSED TRANSFEREE PROVIDES A TRANSFER AFFIDAVIT TO THE DEPOSITOR AND
THE CERTIFICATE REGISTRAR THAT (1) SUCH TRANSFEREE IS NOT EITHER (A) THE UNITED
STATES, ANY STATE OR POLITICAL SUBDIVISION THEREOF, ANY FOREIGN GOVERNMENT, ANY
INTERNATIONAL ORGANIZATION, OR ANY AGENCY OR INSTRUMENTALITY OF ANY OF THE
FOREGOING, (B) ANY 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, (C) ANY ORGANIZATION DESCRIBED IN SECTION 1381(a)(2)(C) OF THE CODE (ANY
SUCH PERSON DESCRIBED IN THE FOREGOING CLAUSES (A), (B), OR (C) BEING
HEREINAFTER REFERRED TO AS A "DISQUALIFIED ORGANIZATION"), OR (D) AN AGENT OF A
DISQUALIFIED ORGANIZATION AND (2) NO PURPOSE OF SUCH TRANSFER IS TO ENABLE THE
TRANSFER TO IMPEDE THE ASSESSMENT OR COLLECTION OF TAX. SUCH AFFIDAVIT SHALL
INCLUDE CERTAIN REPRESENTATIONS AS TO THE FINANCIAL CONDITION OF THE PROPOSED
TRANSFEREE. NOTWITHSTANDING THE REGISTRATION IN THE CERTIFICATE REGISTER OF ANY
TRANSFER, SALE OR OTHER DISPOSITION OF THIS CLASS R CERTIFICATE TO A
DISQUALIFIED ORGANIZATION OR AN AGENT OF A DISQUALIFIED ORGANIZATION, SUCH
REGISTRATION SHALL BE DEEMED TO BE OF NO LEGAL FORCE OR EFFECT WHATSOEVER AND
SUCH PERSON SHALL NOT BE DEEMED TO BE A CERTIFICATEHOLDER FOR ANY PURPOSE
HEREUNDER, INCLUDING, BUT NOT LIMITED TO, THE RECEIPT OF DISTRIBUTIONS ON THIS
CERTIFICATE. EACH HOLDER OF A CLASS R CERTIFICATE BY ACCEPTANCE OF THIS
CERTIFICATE SHALL BE DEEMED TO HAVE CONSENTED TO THE PROVISIONS OF THIS
PARAGRAPH.

IN THE CASE OF ANY CLASS R CERTIFICATE PRESENTED FOR REGISTRATION IN THE NAME OF
AN EMPLOYEE BENEFIT OR OTHER PLAN SUBJECT TO THE PROHIBITED TRANSACTION
PROVISIONS OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED
("ERISA"), OR SECTION 4975 OF THE CODE (OR COMPARABLE PROVISIONS OF ANY
SUBSEQUENT ENACTMENTS) (A "PLAN"), OR A TRUSTEE OF ANY SUCH PLAN, OR ANY OTHER
PERSON WHO IS USING "PLAN ASSETS" OF ANY SUCH PLAN TO EFFECT SUCH ACQUISITION,
THE TRUSTEE OR CERTIFICATE REGISTRAR SHALL REQUIRE SUCH TRANSFEREE TO PROVIDE AN
OPINION OF COUNSEL ACCEPTABLE TO AND IN FORM AND SUBSTANCE SATISFACTORY TO THE
TRUSTEE, THE DEPOSITOR AND THE SERVICER TO THE EFFECT THAT THE PURCHASE OR
HOLDING OF SUCH CLASS R CERTIFICATE IS PERMISSIBLE UNDER APPLICABLE LAW, WILL
NOT CONSTITUTE OR RESULT IN ANY NON-EXEMPT PROHIBITED TRANSACTION UNDER SECTION
406 OF ERISA, OR SECTION 4975 OF THE CODE (OR COMPARABLE PROVISIONS OF ANY
SUBSEQUENT ENACTMENTS), AND WILL NOT SUBJECT THE TRUSTEE, THE DEPOSITOR OR THE
SERVICER TO ANY OBLIGATION OR LIABILITY (INCLUDING OBLIGATIONS OR LIABILITIES
UNDER ERISA OR SECTION 4975 OF THE CODE) IN ADDITION TO THOSE UNDERTAKEN IN THE
AGREEMENT, WHICH OPINION OF COUNSEL SHALL NOT BE AN EXPENSE OF THE TRUSTEE, THE
DEPOSITOR OR THE SERVICER. EACH PERSON WHO ACQUIRES THIS CERTIFICATE SHALL BE
DEEMED TO CERTIFY THAT IT MEETS THE FOREGOING CONDITIONS, AND THAT IT WILL NOT
TRANSFER SUCH CERTIFICATE IN VIOLATION OF THE FOREGOING.

Solely for U.S. federal income tax purposes, this Certificate represents
"residual interests" in "real estate mortgage investment conduits," as those
terms are defined in Sections 860G and 860D, respectively, of the Internal
Revenue Code of 1986, as amended.

Series 2003-1                            Percentage Interest evidenced by this
                                         Class R Certificate in the
                                         distributions to be made with respect
                                         to the Class R Certificate: 100%

                                         [Additionally, the Class R Certificates
                                         are entitled to Excess Liquidation
                                         Proceeds and the Residual Distribution
                                         Amount as defined in the Pooling and
                                         Servicing Agreement.]

Class R Remittance Rate:            5.00%
Cut-Off Date:                       January 1, 2003
First Distribution Date:            February 25, 2003

Last Scheduled Distribution Date:   February 25, 2018

Class R Principal Balance as of the Cut-Off Date:    $100

                               __________________
                                Registered Owner             Certificate No. ___

                                      A-1-3

<PAGE>

                                    EXHIBIT C
                                    ---------

                                   [RESERVED]

                                       C-1

<PAGE>

                                    EXHIBIT D
                                    ---------

                                SCHEDULE OF LOANS

       See Schedule I to the Mortgage Loan Purchase Agreement, dated as of
             January 29, 2003, between the Seller and the Purchaser

                             [provided upon request]

                                       D-1

<PAGE>

                                    EXHIBIT E

                           FIELDS OF LOAN INFORMATION

Deal Name
Distribution Date
Loan Number
Loan Group
City
State
Zip Code
Property Type (SFR, CONDO, etc.)
Occupancy Status (Owner, Investor, etc.)
Loan Purpose (Purchase, Refi, etc.)
Loan Type Loan Status (Current, Foreclosure, REO, Bankruptcy)
Original Term of Loan
Amortization Term
First Payment of Loan
Maturity Date
Appraisal Value
Original LTV
Original Principal Balance
Previous Month's Balance
Current Principal Balance
Prepay Date
Prepay Status (Loan has been prepaid, liquidated or repurchased by the Servicer)
Original Scheduled P&I
Current Scheduled P&I
Scheduled Interest Amount
Scheduled Principal Amount
Curtailment
Note Rate
Paid to Date
Payment Date

                                       E-1

<PAGE>

                                    EXHIBIT F
                                    ---------

                       FORM OF TRANSFEROR CERTIFICATE FOR
                         PRIVATELY OFFERED CERTIFICATES

                                     [Date]

JPMorgan Chase Bank, as Trustee
600 Travis Street, 9th Floor
Houston, Texas 77002
Attn: Institutional Trust Services

[LaSalle Bank National Association, as Certificate Registrar
135 South LaSalle Street, Suite 1625
Chicago, Illinois 60603
Attn: Asset Backed Securities Trust Services - ABN AMRO Series 2003-1]

     Re:  Purchase of ABN AMRO Mortgage Corporation Mortgage Pass-Through
          Certificates Series 2003-1, Class [B-3][B-4][B-5] (the "Certificates")

Ladies and Gentlemen:

     In connection with our disposition of the above Certificates we certify
that (a) we understand the Certificates have not been registered under the
Securities Act of 1933, as amended (the "Act") and are being disposed by us in a
transaction that is exempt from the registration requirements of the Act, and
(b) we have not offered or sold any certificates to, or solicited offers to buy
any Certificates from, any person, or otherwise approached or negotiated with
any person with respect thereto, or taken any other action which would result in
a violation of Section 5 of the Act.

                                          Very truly yours,

                                          [Name of Transferor]

                                          By: _________________________
                                                 Authorized Officer

                                       F-1

<PAGE>

                                    EXHIBIT G
                                    ---------

                      FORM OF TRANSFEREE'S CERTIFICATE FOR
                         PRIVATELY OFFERED CERTIFICATES

                                     [Date]

JPMorgan Chase Bank
600 Travis Street, 9th Floor
Houston, Texas 77002
Attn: Institutional Trust Services

ABN AMRO Mortgage Corporation
135 South LaSalle Street
Suite 925
Chicago, Illinois 60603

[LaSalle Bank National Association, as Certificate Registrar
135 South LaSalle Street, Suite 1625
Chicago, Illinois 60603
Attn: Asset Backed Securities Trust Services - ABN AMRO Series 2003-1]

     The undersigned (the "Purchaser") proposes to purchase [Class B-3] [Class
B-4] [Class B-5] Certificates evidencing an undivided interest in ABN AMRO
Mortgage Corporation Mortgage Pass- Through Certificates, Series 2003-1 (the
"Purchased Certificates") in the principal amount of $__________. In doing so,
the Purchaser hereby acknowledges and agrees as follows:

     Section 1. Definitions. Each capitalized term used herein and not otherwise
defined herein shall have the meaning ascribed to it in the Pooling and
Servicing Agreement, dated as of January 1, 2003, between ABN AMRO Mortgage
Corporation ("AAMC"), ABN AMRO Mortgage Group, Inc., as servicer (the
"Servicer") and JPMorgan Chase Bank, as trustee (the "Trustee"), of the ABN AMRO
Mortgage Corporation Mortgage Pass-Through Certificates, Series 2003-1.

     Section 2. Representations and Warranties of the Purchaser. In connection
with the proposed transfer, the Purchaser represents and warrants to AAMC, the
Servicer, the Certificate Registrar and the Trustee that:

     (a) The Purchaser is duly organized, validly existing and in good standing
under the laws of the jurisdiction in which the Purchaser is organized, is
authorized to invest in the Purchased Certificates, and to enter into this
Agreement, and duly executed and delivered this Agreement;

     (b) The Purchaser is acquiring the Purchased Certificates for its own
account as principal and not with a view the distribution thereof, in whole or
in part;

                                       G-1

<PAGE>

     (c) The Purchaser is an "accredited investor" as such term is defined in
paragraph (a)(1), (a)(2), (a)(3), (a)(7) or (a)(8) of Section 501 of Regulation
D under the Securities Act of 1933, as amended (the "Act"), has knowledge of
financial and business matters and is capable of evaluating the merits and risks
of an investment in the Purchased Certificates; the Purchaser has sought such
accounting, legal and tax advice as it has considered necessary to make an
informed investment decision; and the Purchaser is able to bear the economic
risk of an investment in the Purchased Certificates and can afford a complete
loss of such investment;

     (d) The Purchaser is not affiliated with the Trustee;

     (e) The Purchaser confirms that AAMC has made available to the Purchaser
the opportunity to ask questions of, and receive answers from AAMC concerning
the Trust, the purchase by the Purchaser of the Purchased Certificates and all
matters relating thereto that AAMC possesses or can acquire without unreasonable
effort or expense;

     (f) If applicable, the Purchaser has complied, and will continue to comply,
with the guidelines established by Thrift Bulletin 12 issued December 13, 1988,
by the Office of Regulatory Activities of the Federal Home Loan Bank System; and

     (g) The Purchaser will provide the Trustee and the Servicer with affidavits
substantially in the form of Exhibit A attached hereto.

     Section 3. Transfer of Purchased Certificates.

     (a) The Purchaser understands that the Purchased Certificates have not been
registered under the Act, or any state securities laws and that no transfer may
be made unless the Purchased Certificates are registered under the Act and under
applicable state law or unless an exemption from registration is available. The
Purchaser further understands that neither AAMC nor the Trust is under any
obligation to register the Purchased Certificates or make an exemption
available. In the event that such a transfer is to be made within two years from
the Closing Date without registration under the Act or applicable state
securities laws, (i) the Trustee or the Certificate Registrar shall require, in
order to assure compliance with such laws, that the Certificateholder's
prospective transferees each certify to AAMC, the Certificate Registrar and the
Trustee as to the factual basis for the registration or qualification exemption
relied upon, and (ii) the Trustee, the Certificate Registrar or AAMC may require
an Opinion of Counsel that such transfer may be made pursuant to an exemption
from the Act and state securities laws, which Opinion of Counsel shall not be an
expense of the Trustee, the Certificate Registrar or AAMC. Any such
Certificateholder desiring to effect such transfer shall, and does hereby agree
to, indemnify the Trustee and AAMC against any liability that may result if the
Transfer is not so exempt or is not made in accordance with such federal and
state laws.

     (b) No transfer of a Purchased Certificate shall be made unless the
transferee provides AAMC, the Certificate Registrar and the Trustee with (i) a
Transferee's Agreement, substantially

                                       G-2

<PAGE>

in the form of this Agreement, and (ii) an affidavit substantially in the form
of Exhibit A hereto that the proposed transferee (x) is not an employee benefit
plan or other plan or arrangement subject to the prohibited transaction
provisions of ERISA or Section 4975 of the Internal Revenue Code of 1986, as
amended, or comparable provisions of any subsequent enactments (a "Plan"), a
trustee of any Plan, or any other Person who is using the "plan assets" of any
Plan to effect such acquisition or (y) is an insurance company, the source of
funds to be used by it to purchase the Purchased Certificates is an "insurance
company general account" (within the meaning of Department of Labor Prohibited
Transaction Class Exemption ("PTCE") 95-60), and is eligible for, and satisfies
all the requirements for, exemptive relief under Sections I and III of PTCE
95-60.

     (c) The Purchaser acknowledges that its Purchased Certificates bear a
legend setting forth the applicable restrictions on transfer.

     IN WITNESS WHEREOF, the undersigned has caused this Agreement to be validly
executed by its duly authorized representative as of the day and the year first
above written.

                                          [Purchaser]

                                          By: _______________________________
                                              Its:

                                       G-3

<PAGE>

              Exhibit A to Form of Transferee Agreement (Exhibit G)

                             BENEFIT PLAN AFFIDAVIT
                             ----------------------

RE:  ABN AMRO MORTGAGE CORPORATION MORTGAGE PASS-THROUGH CERTIFICATES, SERIES
     2003-1 (THE "TRUST") [CLASS B-3] [CLASS B-4] [CLASS B-5] CERTIFICATES (THE
     "PURCHASED CERTIFICATES")

     Under penalties of perjury, I, ___________________, declare that, to the
best of my knowledge and belief, the following representations are true, correct
and complete; and

     1. That I am the _________ of _________________ (the "Purchaser"), whose
taxpayer identification number is ___________, and on behalf of which I have the
authority to make this affidavit.

     2. That the Purchaser is acquiring a Purchased Certificate representing an
interest in Trust.

     3. That the Purchaser (i) is not an employee benefit plan or other plan or
arrangement subject to the prohibited transaction provisions 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"), or comparable
provisions of any subsequent enactments (a "Plan"), a trustee of any Plan, or
any other Person who is using the "plan assets" of any Plan to effect such
acquisition, or (ii) has provided an Officer's Certificate signed by a
Responsible Officer of the Purchaser satisfactory to ABN AMRO Mortgage
Corporation (the "Depositor"), the Certificate Registrar, and the Trustee of the
Trust stating that the Purchaser is an insurance company using assets of an
"insurance company general account" (within the meaning of Department of Labor
Prohibited Transaction Class Exemption ("PTCE") 95-60) to effect such purchase
and is eligible for, and satisfies all of the requirements for exemptive relief
under Sections I and III of PTCE 95-60, which Officer's Certificate shall not be
an expense of the Depositor or the Trustee.

     IN WITNESS WHEREOF, the Purchaser has caused this instrument to be duly
executed on its behalf, by its duly authorized officer this ____ day of
_____________, 20__.

[Purchaser]

By:___________________
Its:

                                       G-4

<PAGE>

     Personally appeared before me ________________, known or proved to me to be
the same person who executed the foregoing instrument and to be a
_______________ of the Purchaser, and acknowledged to me that (s)he executed the
same as his/her free act and deed and as the free act and deed of the Purchaser.

     SUBSCRIBED and SWORN to before me this __day of __________, 20 .

                         ______________________________
                                  Notary Public

                                       G-5

<PAGE>

                                   EXHIBIT H-1
                                   -----------

                          FORM OF INTERIM CERTIFICATION
                            [Date]

JPMorgan Chase Bank                                ABN AMRO Mortgage Corporation
600 Travis Street, 9th Floor                       135 South LaSalle Street
Houston, Texas  77002                              Suite 925
                                                   Chicago, Illinois 60603
[LaSalle Bank National Association, as
Certificate Registrar
135 South LaSalle Street, Suite 1625
Chicago, Illinois 60603]

Attention: ABN AMRO Mortgage Corporation, Multi-Class Mortgage Pass-Through
Certificates, Series 2003-1

          Re:  Pooling and Servicing Agreement, dated as of January
               __, 20__, by and among ABN AMRO Mortgage Corporation,
               ABN AMRO Mortgage Group, Inc. and JPMorgan Chase Bank
               relating to ABN AMRO Mortgage Corporation, Multi-Class
               Mortgage Pass-Through Certificates, Series 2003-1
               ------------------------------------------------------

Ladies and Gentlemen:

     In accordance with Section 2.2 of the above-captioned Pooling and Servicing
Agreement, the undersigned, as Custodian, hereby certifies that it has received
a Mortgage File to the extent required pursuant to Section 2.1 of the Pooling
and Servicing Agreement with respect to each Loan listed in the Mortgage Loan
Schedule, and it has reviewed the Mortgage File and the Mortgage Loan Schedule
and has determined that: all required documents have been executed and received
and that such documents related to the Mortgage Loans identified on the Mortgage
Loan Schedule, with any exceptions listed on Schedule A attached hereto.

     Capitalized words and phrases used herein shall have the respective
meanings assigned to them in the above-captioned Pooling and Servicing
Agreement.

                                         [LASALLE BANK, NATIONAL ASSOCIATION]

                                         By:____________________________________
                                         Name:__________________________________
                                         Title:_________________________________

                                       H-1

<PAGE>

                                   EXHIBIT H-2
                                   -----------

                           FORM OF FINAL CERTIFICATION

                                               [Date]

JPMorgan Chase Bank                               ABN AMRO Mortgage Corporation
600 Travis Street, 9th Floor                      135 South LaSalle Street
Houston, Texas  77002                             Suite 925
                                                  Chicago, Illinois 60603
[LaSalle Bank National Association, as
Certificate Registrar
135 South LaSalle Street, Suite 1625
Chicago, Illinois 60603]

Attention: ABN AMRO Mortgage Corporation, Multi-Class Mortgage Pass-Through
Certificates, Series 2003-1

          Re:  Pooling and Servicing Agreement, dated as of January
               __, 20__, by and among ABN AMRO Mortgage Corporation,
               ABN AMRO Mortgage Group, Inc. and JPMorgan Chase Bank
               relating to ABN AMRO Mortgage Corporation, Multi- Class
               Mortgage Pass-Through Certificates, Series 2003-1
               -------------------------------------------------------

Ladies and Gentlemen:

          In accordance with Section 2.3 of the above-captioned Pooling and
Servicing Agreement, the undersigned, as Custodian, hereby certifies that it has
received a Mortgage File with respect to each Loan listed in the Mortgage Loan
Schedule containing with respect to each such Loan:

          (1) The original Mortgage Note, endorsed without recourse to the order
     of the Trustee and showing an unbroken chain of endorsements from the
     originator thereof to the Person endorsing it to the Trustee or an original
     lost note affidavit from the related Depositor stating that the original
     Mortgage Note was lost, misplaced or destroyed, together with a copy of the
     related Mortgage Note;

          (2) The original Mortgage with evidence of recording indicated thereon
     or a copy of the Mortgage certified by the public recording office in which
     such mortgage has been recorded;

                                       H-2

<PAGE>

          (3) An original Assignment of the Mortgage to the Trustee with
     evidence of recording indicated thereon or a copy of such assignment
     certified by the public recording office in which such assignment has been
     recorded;

          (4) With respect to each Mortgage Loan, to the extent available, the
     original recorded assignment or assignments of the Mortgage showing an
     unbroken chain of title from the originator thereof to the Person assigning
     it to the Trustee or a copy of such assignment or assignments of the
     Mortgage certified by the public recording office in which such assignment
     or assignments have been recorded; and

          (5) The original of each modification, assumption, extension or
guaranty agreement, if any, relating to such Loan or a copy of each
modification, assumption, extension or guaranty agreement certified by the
public recording office in which such document has been recorded.

          Capitalized words and phrases used herein shall have the respective
meanings assigned to them in the above-captioned Pooling and Servicing
Agreement.

                                          [LASALLE BANK, NATIONAL ASSOCIATION]

                                          By:___________________________________
                                          Name:_________________________________
                                          Title:________________________________

                                       H-3

<PAGE>

                                    EXHIBIT I
                                    ---------

                         FORM OF TRANSFEROR CERTIFICATE

                                     [Date]

JPMorgan Chase Bank, as Trustee
600 Travis Street, 9th Floor
Houston, Texas 77002
Attn: Institutional Trust Services

[LaSalle Bank National Association, as Certificate Registrar
135 South LaSalle Street, Suite 1625
Chicago, Illinois 60603
Attn: Asset Backed Securities Trust Services -
ABN AMRO Series 2003-1_________________________]

     Re:   ABN AMRO Mortgage Corporation Mortgage Pass-Through
                  Certificates, Series 2003-1 Class R

     This letter is delivered to you in connection with the sale by
______________ (the "Seller") to _____________ (the "Purchaser") of
$____________ initial Certificate Principal Balance of Mortgage Pass-Through
Certificates, Series 2003-1, Class R (the "Certificate"), pursuant to Section
5.1 of the Pooling and Servicing Agreement (the "Pooling and Servicing
Agreement"), dated as of January 1, 2003 among ABN AMRO Mortgage Corporation, as
depositor (the "Company"), ABN AMRO Mortgage Group, Inc., as servicer (the
"Servicer"), and JPMorgan Chase Bank, as trustee (the "Trustee"). All terms used
herein and not otherwise defined shall have the meanings set forth in the
Pooling and Servicing Agreement. The Seller hereby certifies, represents and
warrants to, and covenants with the Depositor, the Servicer, the Certificate
Registrar and the Trustee that:

          1. No purpose of the Seller relating to the sale of the Certificate by
the Seller to the Purchaser is or will be to enable the Seller to impede the
assessment or collection of tax.

          2. The Seller understands that the Purchaser has delivered to the
Trustee, the Servicer, the Certificate Registrar and the Depositor a transferee
affidavit and agreement in the form attached to the Pooling and Servicing
Agreement as Exhibit J. The Seller does not know or believe that any
representation contained therein is false.

          3. The Seller has no actual knowledge that the Proposed Transferee is
not a Permitted Transferee.

                                       I-1

<PAGE>

          4. The Seller has no actual knowledge that the Purchaser would be
unwilling or unable to pay taxes due on its share of the taxable income
attributable to the Certificates.

          5. At the time of this transfer (i) the Seller has conducted a
reasonable investigation of the financial condition of the Purchaser and, as a
result of the investigation, found that the Purchaser has historically paid its
debts as they came due, and found no significant evidence to indicate that the
Purchaser will not continue to pay its debts as they come due in the future and
(ii) either (A) the Seller both (1) has determined all of the following (I) at
the time of the transfer, and at the close of each of the Purchaser's two fiscal
years preceding the year of transfer, the Purchaser's gross assets for financial
reporting purposes exceed $100 million and its net assets for such purposes
exceed $10 million (disregarding, for purposes of determining gross or net
assets, the obligation of any person related to the Purchaser within the meaning
of section 860L(g) of the Code or any other asset if a principal purpose for
holding or acquiring that asset is to permit the Purchaser to satisfy this
minimum gross asset or net asset requirement), (II) the Purchaser is a domestic
C corporation for United States federal income tax purposes that is not for such
purposes an exempt corporation, a regulated investment company, a real estate
investment trust, a REMIC, or a cooperative organization to which part I of
subchapter T of the Code applies, (III) there are no facts or circumstances on
or before the date of transfer (or anticipated) which would reasonably indicate
that the taxes associated with the Certificates will not be paid, (IV) the
Purchaser is not a foreign branch of a domestic corporation, and (V) the
transfer does not involve a transfer or assignment to a foreign branch of a
domestic corporation (or any other arrangement by which any Certificate is at
any time subject to net tax by a foreign country or U.S. possession) and the
Purchaser will not hereafter engage in any such transfer or assignment (or any
such arrangement), and (2) does not know or have reason to know that the
Purchaser will not honor the restrictions on subsequent transfers of any Class R
Certificate described in paragraph 12 and 13 of the Transferee's Transfer
Affidavit, or (B) the Seller has determined that the present value of the
anticipated tax liabilities associated with the holding of the Certificates do
not exceed the sum of (1) the present value of any consideration given to the
Purchaser to acquire the Certificates, (2) the present value of the expected
future distributions on the Certificates, and (3) the present value of the
anticipated tax savings associated with holding the Certificates as the REMIC
generates losses (having made such determination by (I) assuming that the
Purchaser pays tax at a rate equal to the highest rate of tax specified in
Section 11(b)(1) of the Code, and (II) utilizing a discount rate for present
valuation purposes equal to the applicable Federal rate prescribed by Section
1274(d) of the Code compounded semi-annually (or a lower discount rate based on
the Purchaser having demonstrated that it regularly borrows, in the course of
its trade or business, substantial funds at such lower rate from unrelated third
parties)).

                                       I-2

<PAGE>

          6. The Purchaser has represented to the Seller that, if the
Certificates constitute a noneconomic residual interest, it (i) understands that
as holder of a noneconomic residual interest it may incur tax liabilities in
excess of any cash flows generated by the interest, and (ii) intends to pay
taxes associated with its holding of the Certificates as they become due.

          7. The Seller understands that the transfer of the Certificates may
not be respected for United States income tax purposes (and the Seller may
continue to be liable for United States income taxes associated therewith)
unless there is compliance with the standards of paragraph 5. above as to any
transfer.

                                                              Very truly yours,

                                                              [Seller]

                                                              By: ______________
                                                              Name:_____________
                                                              Title:____________

                                       I-3

<PAGE>

                                    EXHIBIT J
                                    ---------

                   FORM OF TRANSFEREE AFFIDAVIT AND AGREEMENT

STATE OF                )
                           )        ss:
COUNTY OF               )

          [NAME OF OFFICER], being first duly sworn, deposes and says:

          1. That he is [Title of Officer] of [Name of Owner] (record or
beneficial owner of the Class R Certificate (the "Owner")), a [savings
institution] [corporation] duly organized and existing under the laws of [the
State of ________________] [the United States], on behalf of which he makes this
affidavit and agreement.

          2. That the Owner (i) is not and will not be a "disqualified
organization" as of the [date of transfer] within the meaning of Section
860E(e)(5) of the Internal Revenue Code of 1986, as amended (the "Code") and
will endeavor to remain other than a disqualified organization for so long as it
retains its ownership interest in the Class R Certificate, and (ii) is acquiring
the Class R Certificate for its own account or for the account of another Owner
from which it has received an affidavit and agreement in substantially the same
form as this affidavit and agreement. (For this purpose, a "disqualified
organization" means the United States, any state or political subdivision
thereof, or any agency or instrumentality of any of the foregoing (other than an
instrumentality all of the activities of which are subject to tax and, except
for the Federal Home Loan Mortgage Corporation, a majority of whose board of
directors is not selected by any such governmental entity, or any foreign
government or international organization, or any agency or instrumentality of
such foreign government or organization, any rural electric or telephone
cooperative, or any organization (other than certain farmers' cooperatives) that
is generally exempt from federal income tax unless such organization is subject
to the tax on unrelated business taxable income).

          3. That the Owner is aware (i) of the tax that would be imposed on
transfers of the Class R Certificate; (ii) that such tax would be on the
transferor, or, if such transfer is through an agent (which person includes a
broker, nominee or middleman) for a disqualified organization, on the agent;
(iii) that the person otherwise liable for the tax shall be relieved of
liability for the tax if the transferee furnished to such person an affidavit
that the transferee is not a disqualified organization and, at the time of
transfer, such person does not have actual knowledge that the affidavit is
false; and (iv) that the Class R Certificate may represent "noneconomic residual
interests" within the meaning of Treasury regulations promulgated pursuant to
the Code and that the transferor of a noneconomic residual interest will remain
liable for any taxes due with respect to the income on such residual interest,
if a significant purpose of the transfer was to enable the transferor to impede
the assessment or collection of tax.

          4. That the Owner is aware of the tax imposed on a "pass-through
entity" holding

                                       J-1

<PAGE>

the Class R Certificate if at any time during the taxable year of the
pass-through entity a disqualified organization is the record holder of an
interest in such entity. (For this purpose, a "pass-through entity" includes a
regulated investment company, a real estate investment trust or common trust
fund, a partnership, trust or estate, and certain cooperatives.)

          5. That the Owner is aware that the Trustee and the Certificate
Registrar will not register the transfer of the Class R Certificate unless the
transferee, or other transferee's agent, delivers to each of them an affidavit
and agreement, among other things, in substantially the same form as this
affidavit and agreement. The Owner expressly agrees that it will not consummate
any such transfer if it knows or believes that any of the representations
contained in such affidavit and agreement are false.

          6. That the Owner has reviewed the restrictions set forth on the face
of the Class R Certificate and the provisions of Section 5.1 of the Pooling and
Servicing Agreement under which the Class R Certificate was issued. The Owner
expressly agrees to be bound by and to comply with such restrictions and
provisions.

          7. That the Owner consents to any additional restrictions or
arrangements that shall be deemed necessary upon advice of counsel to constitute
a reasonable arrangement to ensure that the Class R Certificate will only be
owned, directly or indirectly, by an Owner that is not a disqualified
organization.

          8. The Owner's Taxpayer Identification Number is ___________________.

          9. That no purpose of the Owner relating to the purchase of the Class
R Certificate by the Owner is or will be to enable the transferor to impede the
assessment or collection of tax.

          10. That the Owner has no present knowledge or expectation that it
will be unable to pay any United States taxes owed by it so long as any of the
Certificates remain outstanding.

          11. That the Owner has no present knowledge or expectation that it
will become insolvent or subject to a bankruptcy proceeding for so long as any
of the Certificates remain outstanding.

          12. The Owner will, in connection with any transfer that it makes of
the Class R Certificate deliver to the Certificate Registrar a representation
letter substantially in the form of Exhibit I to the Pooling and Servicing
Agreement. [The Owner hereby agrees that it will not make any transfer of any
Class R Certificate unless (i) the transfer is to an entity which is a domestic
C corporation (other than an exempt corporation, a regulated investment company,
a real estate investment trust, a REMIC, or a cooperative organization to which
part I of Subchapter T of the Code applies) for federal income tax purposes, and
(ii) the transfer is in compliance with the

                                       J-2

<PAGE>

conditions set forth in paragraph 5 of Exhibit I of the Pooling and Servicing
Agreement.]1/.

          13. The Owner (i) is a citizen or resident of the United States, a
corporation or partnership (including an entity treated as a corporation or
partnership for federal income tax purposes) created or organized in, or under
the laws of, the United States or any state thereof or the District of Columbia
(except, in the case of a partnership, to the extent provided in regulations) or
an estate whose income is subject to United States federal income tax regardless
of its source, or 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 such U.S. Persons have the authority to control all substantial decisions
of the trust and (ii) if the Owner is a partnership for U.S. federal income tax
purposes, each person or entity which holds an interest (directly or indirectly,
through a pass-through entity) is a person or entity described in (i). To the
extent prescribed in regulations by the Secretary of the Treasury, which have
not yet been issued, a trust which was in existence on August 20, 1996 (other
than a trust treated as owned by the grantor under subpart E of part 1 of
subchapter J of chapter 1 of the Code), and which was treated as a U.S. Person
on August 20, 1996 may elect to continue to be treated as a U.S. Person
notwithstanding the previous sentence.

          14. The Owner hereby agrees to cooperate with the Depositor and to
take any action required of it by the Code or Treasury regulations thereunder
(whether now or hereafter promulgated) in order to create or maintain the REMIC
status of any REMIC.

          15. The Owner hereby agrees that it will not take any action that
could endanger the REMIC status of the REMIC or result in the imposition of tax
on the REMIC unless counsel for, or acceptable to, the Depositor has provided an
opinion that such action will not result in the loss of such REMIC status or the
imposition of such tax, as applicable.

          16. The Owner as transferee of the Class R Certificate has represented
to their transferor that, if the Class R Certificate represents noneconomic
residual interests, the Owner (i) understands that as holder of a noneconomic
residual interest it may incur tax liabilities in excess of any cash flows
generated by the interest, and (ii) intends to pay taxes associated with its
holding of the Class R Certificate as they become due.

          [17. The Owner hereby represents to and for the benefit of the
transferor that (i) at the time of the transfer, and at the close of each of the
Owners's two fiscal years preceding the year of transfer, the Owners's gross
assets for financial reporting purposes exceed $100 million and its net assets
for such purposes exceed $10 million (disregarding, for purposes of determining
gross or net assets, the obligation of any person related to the Owner within
the meaning of section 860L(g) of the Code or any other asset if a principal
purpose for holding or acquiring that asset is to permit the Owner to satisfy
this minimum gross asset or net asset requirement), (ii) the Owner is a domestic

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

1/    Bracketed text to be included if the Owner is relying on the transferee's
compliance with the "Safe Harbor" (which is generally described as the "safe
harbor" in the Prospectus). See "Federal Income Tax Consequences--Disregard of
Some Types of Transfers" in the Prospectus.

                                       J-3

<PAGE>

C corporation for United States federal income tax purposes that is not for such
purposes an exempt corporation, a regulated investment company, a real estate
investment trust, a REMIC, or a cooperative organization to which part I of
subchapter T of the Code applies, (iii) there are no facts or circumstances on
or before the date of transfer (or anticipated) which would reasonably indicate
that the taxes associated with the Class R Certificate will not be paid, and
(iv) the Owner is not a foreign branch of a domestic corporation, the transfer
does not involve a transfer or assignment to a foreign branch of a domestic
corporation (or any other arrangement by which any Class R Certificate is at any
time subject to net tax by a foreign country or U.S. possession), and the Owner
will not hereafter engage in any such transfer or assignment (or any such
arrangement).]1/

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

1/   Bracketed text to be included if the Owner is relying on the transferee's
compliance with the "Asset Test Safe Harbor" (which is generally described as
the second "safe harbor" in the Prospectus Supplement) rather then the "Formula
Test Safe Harbor" (which is generally described as the first "safe harbor" in
the Prospectus Supplement). See "Federal Income Tax Consequences--Special Tax
Considerations Applicable to the Residual Certificate" in the Prospectus
Supplement.

                                       J-4

<PAGE>

     IN WITNESS WHEREOF, the Owner has caused this instrument to be executed on
its behalf, pursuant to the authority of its Board of Directors, by its [Title
of Officer] and its corporate seal to be hereunto attached, attested by its
[Assistant] Secretary, this day of , 20 .

                                                         [Name of Owner]

                                                         By:______
___________________________
                                                              [Name of Officer]
                                                              [Title of Officer]

[Corporate Seal]

ATTEST:

[Assistant] Secretary

                                       J-5

<PAGE>

         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 Owner, and Acknowledged to me that he
executed the same as his free act and deed and free act and deed of the Owner.

         Subscribed and sworn before me this       day of ___________, 20    .

                                                             NOTARY PUBLIC

                                                       COUNTY OF
                                                       STATE OF
                                                       My Commission expires the
__ day
                                                       of __________, 20__

                                       J-6

<PAGE>

                                    EXHIBIT K
                                    ---------

                     FORM OF ADDITIONAL MATTER INCORPORATED
                        INTO THE FORM OF THE CERTIFICATES

     This Certificate does not represent an obligation of or interest in ABN
AMRO Mortgage Corporation or any of its affiliates. Neither this Certificate nor
the underlying Loans are guaranteed by any agency or instrumentality of the
United States.

     This certifies that the above-mentioned Registered Owner is the registered
owner of certain interests in a trust fund (the "Certificate Trust Fund") whose
assets consist of, among other things, a pool (the "Mortgage Pool") of
conventional one- to four-family mortgage loans (the "Loans"), formed by ABN
AMRO Mortgage Corporation (the "Depositor"). The Loans were originated or
acquired by various financial institutions and subsequently acquired by the
Depositor. The Mortgage Pool was created pursuant to a Pooling and Servicing
Agreement, dated as of the Cut-Off Date stated above (the "Pooling Agreement"),
between the Depositor, ABN AMRO Mortgage Group, Inc., as Servicer (the
"Servicer"), and JPMorgan Chase Bank, as Trustee (the "Trustee"), a summary of
certain of the pertinent provisions of which is set forth hereafter. To the
extent not defined herein, the capitalized terms used herein have the meanings
assigned in the Pooling Agreement. Nothing herein shall be deemed inconsistent
with such meanings, and in the event of any conflict between the Pooling
Agreement and the terms of this Certificate, the Pooling Agreement shall
control. This Certificate is issued under and is subject to the terms,
provisions and conditions of the Pooling Agreement, to which Pooling Agreement
the Holder of this Certificate, by virtue of the acceptance hereof, assents and
by which such Holder is bound.

     Distributions will be made, pursuant to the Pooling Agreement, on the 25th
day of each month or, if such 25th day is not a Business Day, the Business Day
immediately following (the "Distribution Date"), commencing on the first
Distribution Date specified above, to the Person in whose name this Certificate
is registered at the close of business on the last Business Day of the month
immediately preceding the month of such distribution (the "Record Date"), to the
extent of such Certificateholder's Percentage Interest represented by this
Certificate in the portion of the Certificate Distribution Amount for such
Distribution Date then distributable on the Certificates of this Class, as
specified in Section 4.1 of the Pooling Agreement.

     Distributions on this Certificate will be made by the Trustee or its Paying
Agent by wire transfer or by other means of payment acceptable to each
Certificateholder of record on the immediately preceding Record Date.
Notwithstanding the above, the final distribution on this Certificate will be
made after due notice by the Trustee or its Paying Agent of the pendency of such
distribution and only upon presentation and surrender of this Certificate to the
Certificate Registrar.

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

                                       K-1

<PAGE>

     Unless the certificate of authentication hereon has been executed by or on
behalf of the Trustee, by manual signature, this Certificate shall not be
entitled to any benefit under the Pooling Agreement or be valid for any purpose.

     IN WITNESS WHEREOF, the Trustee has caused this Certificate to be duly
executed.

                                                            JPMORGAN CHASE BANK,
as Trustee

By:___________________________

                     TRUSTEE'S CERTIFICATE OF AUTHENTICATION

     This is one of the Certificates referred to in the within-mentioned Pooling
Agreement.

JPMORGAN CHASE BANK,
as Trustee

By:      _____________________
Dated:   _____________________

                                       K-2

<PAGE>

                          ABN AMRO MORTGAGE CORPORATION
                        MORTGAGE PASS-THROUGH CERTIFICATE

     This Certificate is one of a duly authorized issue of Certificates
designated as Mortgage Pass- Through Certificates of the Series and Class
specified hereon (herein called the "Certificates") and representing certain
interests in the Certificate Trust Fund.

     The Certificates do not represent an obligation of, or an interest in, the
Depositor or any of its affiliates and are not insured or guaranteed by any
governmental agency. The Certificates are limited in right of payment to certain
collections and recoveries respecting the Loans, all as more specifically set
forth herein and in the Pooling Agreement. To the extent described in the
Pooling Agreement, the Servicer is obligated to advance its own funds to cover
certain shortfalls with respect to payments on the Loans. In the event Servicer
funds are advanced with respect to any Loan, such advance is reimbursable to the
Servicer from the related recoveries on such Loan or from other cash deposited
in the Custodial Account for P&I to the extent that such advance is not
otherwise recoverable.

     As provided in the Pooling Agreement, withdrawals from the Custodial
Account for P&I may be made by the Servicer from time to time for purposes other
than distributions to Certificateholders, such purposes including reimbursement
to the Servicer of advances made, or certain expenses incurred, by it.

     The Pooling Agreement permits, with certain exceptions therein provided,
the amendment thereof and the modification of the rights and obligations of the
Depositor and the Servicer, and the rights of the Certificateholders under the
Pooling Agreement at any time by the Depositor and the Trustee, with the consent
of the Holders of the Certificates aggregating not less than 66-2/3% of the
aggregate Percentage Interest evidenced by all of the Certificates of the Trust
Fund. For the purposes of such provision and except as provided below, voting
rights related to 100% of the Aggregate Certificate Principal Balance of any
Class will be allocated pro rata (by Certificate Principal Balance) among the
Certificates of such Class. Any such consent by the Holder of this Certificate
shall be conclusive and binding on such Holder and upon all future Holders of
this Certificate and of any Certificate issued upon the transfer hereof or in
exchange hereof or in lieu hereof whether or not notation of such consent is
made upon this Certificate. The Pooling Agreement also permits the amendment
thereof, in certain limited circumstances, without the consent of the Holders of
any of the Certificates.

     As provided in the Pooling Agreement and subject to certain limitations
therein set forth, the transfer of this Certificate is registrable in the
Certificate Register upon surrender of this Certificate for registration of
transfer at the offices of the Certificate Registrar or the office maintained by
the Trustee in the City and State of New York, duly endorsed by, or accompanied
by an assignment in the form below or other written instrument of transfer in
form satisfactory to the Trustee or any Authenticating Agent duly executed by,
the Holder hereof or such Holder's attorney duly authorized in writing, and
thereupon one or more new Certificates of Authorized Denominations evidencing
the

                                       K-3

<PAGE>

same Percentage Interest set forth hereinabove will be issued to the designated
transferee or transferees.

     No transfer of a Certificate will be made unless such transfer is exempt
from or is made in accordance with the registration requirements of the
Securities Act of 1933, as amended (the "Securities Act") and any applicable
state securities laws. No transfer, sale, pledge or other disposition of a Class
R Certificate shall be made unless such transfer, sale, pledge or other
disposition is made in accordance with Section 5.1(c) or Section 5.1(d) of the
Pooling Agreement. Each Person who, at the time, acquires any ownership interest
in any Junior Subordinate Certificate shall be deemed by the acceptance or
acquisition of such ownership interest to have agreed to be bound by the
provisions of such Section 5.1(e) or Section 5.1(f) of the Pooling Agreement.
Each Person who, at any time, acquires any ownership interest in any Junior
Subordinate Certificate shall be deemed by the acceptance or acquisition of such
ownership interest to have agreed to be bound by the provisions of such Section
5.1(e) and Section 5.1(f), as applicable. No transfer of a Junior Subordinate
Certificate shall be deemed to be made in accordance with such Section 5.1(e)
unless such transfer is made pursuant to an effective registration statement
under the Securities Act or unless the Trustee and the Certificate Registrar are
provided with the certificates and an Opinion of Counsel, if required, on which
the Trustee and the Certificate Registrar may conclusively rely, which
establishes or establish to the Trustee's and the Certificate Registrar's
satisfaction that such transfer is exempt from the registration requirements
under the Securities Act, as follows: In the event that a transfer is to be made
in reliance upon an exemption from the Securities Act, the Trustee and the
Certificate Registrar shall require, in order to assure compliance with the
Securities Act, that the Certificateholder desiring to effect such transfer
certify to the Trustee and the Certificate Registrar in writing, in
substantially the form attached as Exhibit F to the Pooling Agreement, the facts
surrounding the transfer, with such modifications to such Exhibit F as may be
appropriate to reflect the actual facts of the proposed transfer, and that the
Certificateholder's proposed transferee certify to the Trustee and the
Certificate Registrar in writing, in substantially the form attached as Exhibit
G to the Pooling Agreement, the facts surrounding the transfer, with such
modifications to such Exhibit G as may be appropriate to reflect the actual
facts of the proposed transfer. If such certificate of the proposed transferee
does not contain substantially the substance of Exhibit G, the Trustee and the
Certificate Registrar shall require an Opinion of Counsel satisfactory to it
that such transfer may be made without registration, which Opinion of Counsel
shall not be obtained at the expense of the Trustee, the Certificate Registrar,
the Trust Fund or the Depositor.

     Transfers of the Junior Subordinate Certificates may also be made in
accordance with Section 5.1(f) of the Pooling Agreement. To effectuate a
Certificate transfer in accordance with such Section 5.1(f), the proposed
transferee of such Certificate must provide the Trustee, the Certificate
Registrar and the Depositor with an investment letter substantially in the form
of Exhibit L attached to the Pooling Agreement, which investment letter shall
not be an expense of the Trustee, the Certificate Registrar or the Depositor,
and which investment letter states that, among other things, such transferee (i)
is a "qualified institutional buyer" as defined under Rule 144A, acting for its
own account or the accounts of other "qualified institutional buyers" as defined
under Rule 144A, and (ii) is aware that the proposed transferor intends to rely
on the exemption from registration

                                       K-4

<PAGE>

requirements under the Securities Act provided by Rule 144A. Notwithstanding the
foregoing, the proposed transferee of such Certificate shall not be required to
provide the Trustee, the Certificate Registrar or the Depositor with Annex 1 or
Annex 2 to the form of such Exhibit L if the Depositor so consents prior to each
such transfer. Such transfers shall be deemed to have complied with the
requirements of Section 5.1(f) of the Pooling Agreement. The Holder of a
Certificate desiring to effect such transfer does hereby agree to indemnify the
Trustee, and the Certificate Registrar, the Depositor, and the Certificate
Registrar against any liability that may result if transfer is not made in
accordance with the Pooling Agreement.

     The Certificates are issuable only as registered Certificates without
coupons in Authorized Denominations specified in the Pooling Agreement. As
provided in the Pooling Agreement and subject to certain limitations therein set
forth, Certificates are exchangeable for new Certificates of Authorized
Denominations evidencing the same aggregate interest in the portion of the
Available Distribution Amount distributable on this Class of Certificate, as
requested by the Holder surrendering the same.

     A reasonable service charge may be made for any such registration of
transfer or exchange, and the Trustee or the Certificate Registrar may require
payment of a sum sufficient to cover any tax or other governmental charge
payable in connection therewith.

     The Depositor, the Certificate Registrar, the Certificate Administrator,
the Servicer, the Trustee and any agent of any of them may treat the Person in
whose name this Certificate is registered as the owner hereof for all purposes,
and neither the Depositor, the Certificate Registrar, the Certificate
Administrator, the Servicer, the Trustee nor any such agent shall be affected by
notice to the contrary.

     The respective obligations and responsibilities of the Servicer and the
Trustee created under the Pooling Agreement (other than the obligation to make
payments to Certificateholders as set forth therein) shall terminate upon the
earlier of (i) the later of the final payment or other liquidation (or any
Advance with respect thereto) of the last Loan remaining in the Trust Fund and
the disposition of all property acquired in respect of any Loan or (ii) the
purchase by the Class R Certificateholder of all Loans at a price established
pursuant to the Pooling Agreement; PROVIDED, HOWEVER, that in no event shall the
trust created hereby continue beyond 21 years from the death of the survivor of
certain persons identified in the Pooling Agreement.

                                       K-5

<PAGE>

                                   ASSIGNMENT

     FOR VALUE RECEIVED the undersigned hereby sell(s) and assign(s) and
transfer(s) unto _____________________________________________________________
______________________________________________________________________________
(Please print or typewrite name and address, including postal zip code of
assignee. Please insert social security or other identifying number of
assignee.)

the within Mortgage Pass-Through Certificate and hereby irrevocably constitutes
and appoints ____________________ Attorney to transfer said Certificate on the
Certificate Register, with full power of substitution in the premises.

Dated:________________          _____________________________
                    ____________________ Signature Guaranteed

                                          _____________________________________
__________
______________________________
                                         NOTICE:

                                         The signature to this assignment must
                                         correspond with the name as written
                                         upon the face of the within
                                         instrument in
                                         every particular, without alteration or
enlargement or any
                                         change whatever.

                                       K-6

<PAGE>

                                    EXHIBIT L
                                    ---------

                   FORM OF RULE 144A INVESTMENT REPRESENTATION

            Description of Rule 144A Securities, including numbers:

                       __________________________________
                       __________________________________
                       __________________________________
                       __________________________________

The undersigned seller, as registered holder (the "Seller"), intends to transfer
the Rule 144A Securities described above to the undersigned buyer (the "Buyer").

          1. In connection with such transfer and in accordance with the
agreements pursuant to which the Rule 144A Securities were issued, the Seller
hereby certifies the following facts: Neither the Seller nor anyone acting on
its behalf has offered, transferred, pledged, sold or otherwise disposed of the
Rule 144A Securities, any interest in the Rule 144A Securities or any other
similar security to, or solicited any offer to buy or accept a transfer, pledge
or any disposition of the Rule 144A Securities, any interest in the Rule 144A
Securities or any other similar security from, or otherwise approached or
negotiated with respect to the Rule 144A Securities, any interest in the Rule
144A Securities or any other similar security with, any person in any manner, or
made any general solicitation by means of general advertising or in any other
manner, or taken any other action, that would constitute a distribution of the
Rule 144A Securities under the Securities Act of 1933, as amended (the "1933
Act"), or that would render the disposition of the Rule 144A Securities in
violation of Section 5 of the 1933 Act or require registration pursuant thereto,
and that the Seller has not offered the Rule 144A Securities to any person other
than the Buyer or another "qualified institutional buyer" as defined in Rule
144A under the 1933 Act.

          2. The Buyer warrants and represents to, and covenants with, the
Seller, the Trustee, the Certificate Registrar and the Servicer (as defined in
the Pooling and Servicing Agreement (the "Agreement") dated as of January 1,
2003 between ABN AMRO Mortgage Corporation, as Depositor, ABN AMRO Mortgage
Group, Inc., as Servicer, and JPMorgan Chase Bank, as Trustee) pursuant to
Section 5.1(f) of the Agreement, as follows:

               (a) The Buyer understands that the Rule 144A Securities have not
been registered under the 1933 Act or the securities laws of any state.

               (b) The Buyer considers itself a substantial, sophisticated
institutional investor having such knowledge and experience in financial and
business matters that it is capable of evaluating the merits and risks of
investment in the Rule 144A Securities.

               (c) The Buyer has received and reviewed the Private Placement

                                       L-1

<PAGE>

Memorandum dated as of January 29, 2003 relating to the Rule 144A Securities and
has been furnished with all information regarding the Rule 144A Securities that
it has requested from the Seller, the Trustee, the Depositor or the Servicer.

               (d) Neither the Buyer nor anyone acting on its behalf has
offered, transferred, pledged, sold or otherwise disposed of the Rule 144A
Securities, any interest in the Rule 144A Securities or any other similar
security to, or solicited any offer to buy or accept a transfer, pledge or other
disposition of the Rule 144A Securities, any interest in the Rule 144A
Securities or any other similar security from, or otherwise approached or
negotiated with respect to the Rule 144A Securities, any interest in the Rule
144A Securities or any other similar security with, any person in any manner, or
made any general solicitation by means of general advertising or in any other
manner, or taken any other action, that would constitute a distribution of the
Rule 144A Securities under the 1933 Act or that would render the disposition of
the Rule 144A Securities a violation of Section 5 of the 1933 Act or require
registration pursuant thereto, nor will it act, nor has it authorized or will it
authorize any person to act, in such manner with respect to the Rule 144A
Securities.

               (e) The Buyer is a "qualified institutional buyer" as that term
is defined in Rule 144A under the 1933 Act and has (1) completed either of the
forms of certification to that effect attached hereto as Annex 1 or Annex 2, or
(2) obtained the waiver of the Depositor with respect to Annex 1 and Annex 2
pursuant to Section 5.1(f) of the Agreement. The Buyer is aware that the sale to
it is being made in reliance on Rule 144A. The Buyer is acquiring the Rule 144A
Securities for its own account or the accounts of other qualified institutional
buyers, understands that such Rule 144A Securities may be resold, pledged or
transferred only (i) to a person reasonably believed to be a qualified
institutional buyer that purchases for its own account or for the account of a
qualified institutional buyer to whom notice is given that the resale, pledge or
transfer is being made in reliance on Rule 144A, or (ii) pursuant to another
exemption from registration under the 1933 Act.

               (f) The Buyer is not affiliated with (i) the Trustee or (ii) any
Rating Agency that rated the Rule 144A Securities.

               (g) If applicable, the Buyer has complied, and will continue to
comply, with the guidelines established by Thrift Bulletin 12 issued December
13, 1988, by the Office of Regulatory Activities of the Federal Home Loan Bank
System.

     [Required only in the case of a transfer of a Class B-3, Class B-4, Class
B-5 Certificate][3. The Buyer warrants and represents to, and covenants with,
the Seller, the Servicer, the Certificate Registrar and the Depositor that (1)
the Buyer is not an employee benefit plan (within the meaning of Section 3(3) of
the Employee Retirement Income Security Act of 1974, as amended ("ERISA")),
subject to the prohibited transaction provisions of ERISA ("Plan"), or a plan
(within the meaning of Section 4975(e)(1) of the Internal Revenue Code of 1986
("Code")) subject to Section 4975 of the Code (also a "Plan"), and the Buyer is
not directly or indirectly purchasing the Rule 144A Securities on behalf of, as
investment manager of, as named fiduciary of, as trustee of, or with "plan

                                       L-2

<PAGE>

assets" of any Plan, or (2) the Buyer has provided the Seller, the Servicer, the
Certificate Registrar and the Depositor with an Officer's Certificate signed by
a Responsible Officer of the Buyer stating that the Buyer is an insurance
company using assets of an "insurance company general account" (within the
meaning of Department of Labor Prohibited Transaction Class Exemption ("PTCE")
95- 60) to effect such purchase and is eligible for, and satisfies all of the
requirements for exemptive relief under Sections I and III of PTCE 95-60, which
Officer's Certificate shall not be an expense of the Servicer or the Depositor.]

               3. This document may be executed in one or more counterparts and
by the different parties hereto on separate counterparts, each of which, when so
executed, shall be deemed to be an original; such counterparts, together, shall
constitute one and the same document.

                                       L-3

<PAGE>

     IN WITNESS WHEREOF, each of the parties has executed this document as of
the date set forth below.

_____________________________________       ___________________________________
         Print Name of Seller                     Print Name of Buyer

By:__________________________               By:___________________________
     Name:                                        Name:
     Title:                                       Title:

Taxpayer Identification                     Taxpayer Identification
No.: ___________________________            No.:________________________________

Date:___________________________            Date:_______________________________

                                       L-4

<PAGE>

                                                            Annex 1 to Exhibit L

            QUALIFIED INSTITUTIONAL BUYER STATUS UNDER SEC RULE 144A
            --------------------------------------------------------

             [For Buyers Other Than Registered Investment Companies]

     The undersigned hereby certifies as follows in connection with the Rule
144A Investment Representation to which this Certification is attached:

          1. As indicated below, the undersigned is the President, Chief
Financial Officer, Senior Vice-President or other executive officer of the
Buyer.

          2. In connection with purchases by the Buyer, the Buyer is a
"qualified institutional buyer" as that term is defined in Rule 144A under the
Securities Act of 1933 ("Rule 144A") because (i) the Buyer owned and/or invested
on a discretionary basis $__________2/ in securities (except for the excluded
securities referred to below) as of the end of the Buyer's most recent fiscal
year (such amount being calculated in accordance with Rule 144A) and (ii) the
Buyer satisfies the criteria in the category marked below.

   ____   CORPORATION, ETC. The Buyer is a corporation (other than a bank,
          savings and loan association or similar institution), Massachusetts or
          similar business trust, partnership, or charitable organization
          described in Section 501(c)(3) of the Internal Revenue Code.

   ____   BANK. The Buyer (a) is a national bank or banking institution
          organized under the laws of any State, territory or the District of
          Columbia, the business of which is substantially confined to banking
          and is supervised by the State or territorial banking commission or
          similar official or is a foreign bank or equivalent institution, and
          (b) has an audited net worth of at least $25,000,000 as demonstrated
          in its latest annual financial statements, A COPY OF WHICH IS ATTACHED
          HERETO.

   ____   SAVINGS AND LOAN. The Buyer (a) is a savings and loan association,
          building and loan association, cooperative bank, homestead association
          or similar institution, which is supervised and examined by a State or
          Federal authority having supervision over any such institutions or is
          a foreign savings and loan association or equivalent institution and
          (b) has an audited net worth of at least $25,000,000 as demonstrated
          in its latest annual financial statements.

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

2/   Buyer must own and/or invest on a discretionary basis at least $100,000,000
in securities unless Buyer is a dealer, and, in that case, Buyer must own and/or
invest on a discretionary basis at least $10,000,000 in securities.

                                      L-1-1

<PAGE>

   ____   BROKER-DEALER. The Buyer is a dealer registered pursuant to Section 15
          of the Securities Exchange Act of 1934.

   ____   INSURANCE COMPANY. The Buyer is an insurance company whose primary and
          predominant business activity is the writing of insurance or the
          reinsuring of risks underwritten by insurance companies and which is
          subject to supervision by the insurance commissioner or a similar
          official or agency of a State or territory or the District of
          Columbia.

   ____   STATE OR LOCAL PLAN. The Buyer is a plan established and maintained by
          a State, its political subdivisions, or any agency or instrumentality
          of the State or its political subdivisions, for the benefit of its
          employees.

   ____   ERISA PLAN. The Buyer is an employee benefit plan within the meaning
          of Section 3(3) of the Employee Retirement Income Security Act of
          1974, as amended ("ERISA") and is subject to the fiduciary
          responsibility provisions of ERISA.

   ____   INVESTMENT ADVISER. The Buyer is an investment adviser registered
          under the Investment Advisers Act of 1940.

   ____   SBIC. The Buyer is a Small Business Investment Company licensed by the
          U.S. Small Business Administration under Section 301(c) or (d) of the
          Small Business Investment Act of 1958.

   ____   BUSINESS DEVELOPMENT COMPANY. The Buyer is a business development
          company as defined in Section 202(a)(22) of the Investment Advisers
          Act of 1940.

   ____   TRUST FUND. The Buyer is a trust fund whose trustee is a bank or trust
          company and whose participants are exclusively (a) plans established
          and maintained by a State, its political subdivision, or any agency or
          instrumentality of the State or its political subdivision, for the
          benefit of its employees, or (b) employee benefit plans within the
          meaning of Title I of the Employee Retirement Income Security Act of
          1974, but is not a trust fund that includes as participants individual
          retirement accounts or H.R. 10 plans.

          3. The term "SECURITIES" as used herein DOES NOT INCLUDE (i)
securities of issuers that are affiliated with the Buyer, (ii) securities that
are part of an unsold allotment to or subscription by the Buyer, if the Buyer is
a dealer, (iii) bank deposit notes and certificates of deposit, (iv) loan
participations, (v) repurchase agreements, (vi) securities owned but subject to
a repurchase agreement and (vii) currency, interest rate and commodity swaps.

                                      L-1-2

<PAGE>

          4. For purposes of determining the aggregate amount of securities
owned and/or invested on a discretionary basis by the Buyer, the Buyer used the
cost of such securities to the Buyer and did not include any of the securities
referred to in the preceding paragraph. Further, in determining such aggregate
amount, the Buyer may have included securities owned by subsidiaries of the
Buyer, but only if such subsidiaries are consolidated with the Buyer in its
financial statements prepared in accordance with generally accepted accounting
principles and if the investments of such subsidiaries are managed under the
Buyer's direction. However, such securities were not included if the Buyer is a
majority-owned, consolidated subsidiary of another enterprise and the Buyer is
not itself a reporting company under the Securities Exchange Act of 1934.

          5. The Buyer acknowledges that it is familiar with Rule 144A and
understands that the seller to it and other parties related to the Certificates
are relying and will continue to rely on the statements made herein because one
or more sales to the Buyer may be in reliance on Rule 144A.

          __________        Will the Buyer be purchasing the Rule 144A
          Yes     No        Securities only for the Buyer's own account?

          6. If the answer to the foregoing question is "no", the Buyer agrees
that, in connection with any purchase of securities sold to the Buyer for the
account of a third party (including any separate account) in reliance on Rule
144A, the Buyer will only purchase for the account of a third party that at the
time is a "qualified institutional buyer" within the meaning of Rule 144A. In
addition, the Buyer agrees that the Buyer will not purchase securities for a
third party unless the Buyer has obtained a current representation letter from
such third party or taken other appropriate steps contemplated by Rule 144A to
conclude that such third party independently meets the definition of "qualified
institutional buyer" set forth in Rule 144A.

          7. The Buyer will notify each of the parties to which this
certification is made of any changes in the information and conclusions herein.
Until such notice is given, the Buyer's purchase of Rule 144A Securities will
constitute a reaffirmation of this certification as of the date of such
purchase.

                                          ______________________________________
                                                   Print Name of Buyer

                                          By:___________________________________
                                               Name:
                                               Title:

                                          Date:_________________________________

                                      L-1-3

<PAGE>

                                                            Annex 2 to Exhibit L

            QUALIFIED INSTITUTIONAL BUYER STATUS UNDER SEC RULE 144A
            --------------------------------------------------------

              [For Buyers That Are Registered Investment Companies]

     The undersigned hereby certifies as follows in connection with the Rule
144A Investment Representation to which this Certification is attached:

          1. As indicated below, the undersigned is the President, Chief
Financial Officer or Senior Vice-President of the Buyer or, if the Buyer is a
"qualified institutional buyer" as that term is defined in Rule 144A under the
Securities Act of 1933 ("Rule 144A") because Buyer is a part of a Family of
Investment Companies (as defined below), is such an officer the Adviser.

          2. In connection with purchases by Buyer, the Buyer is a "qualified
institutional buyer" as defined in SEC Rule 144A because (i) the Buyer is an
investment company registered under the Investment Company Act of 1940, and (ii)
as marked below, the Buyer alone, or the Buyer's Family of Investment Companies,
owned at least $100,000,000 in securities (other than the excluded securities
referred to below) as of the end of the Buyer's most recent fiscal year. For
purposes of determining the amount of securities owned by the Buyer or the
Buyer's Family of Investment Companies, the cost of such securities was used.

   ____   The Buyer owned $__________ in securities (other than the excluded
          securities referred to below) as of the end of the Buyer's most recent
          fiscal year (such amount being calculated in accordance with Rule
          144A).

   ____   The Buyer is part of a Family of Investment Companies which owned in
          the aggregate $__________ in securities (other than the excluded
          securities referred to below) as of the end of the Buyer's most recent
          fiscal year (such amount being calculated in accordance with Rule
          144A).

          3. The term "FAMILY OF INVESTMENT COMPANIES" as used herein means two
or more registered investment companies (or series thereof) that have the same
investment adviser or investment advisers that are affiliated (by virtue of
being majority owned subsidiaries of the same parent or because one investment
adviser in a majority owned subsidiary of the other).

          4. The term "SECURITIES" as used herein does not include (i)
securities of issuers that are affiliated with the Buyer or are part of the
Buyer's Family of Investment Companies, (ii) bank deposit notes and certificates
of deposit, (iii) loan participations, (iv) repurchase agreements, (v)
securities owned but subject to a repurchase agreement and (vi) currency,
interest rate and commodity swaps.

          5. The Buyer is familiar with Rule 144A and understands that each of
the parties

                                      L-2-1

<PAGE>

to which this certification is made are relying and will continue to rely on the
statements made herein because one or more sales to the Buyer will be reliance
on Rule 144A. In addition, the Buyer will only purchase for the Buyer's own
account.

          6. The undersigned will notify each of the parties to which this
certification is made of any changes in the information and conclusions herein.
Until such notice, the Buyer's purchase of Rule 144A Securities will constitute
a reaffirmation of this certification by the undersigned as of the date of such
purchase.

                                        ________________________________________
                                                 Print Name of Buyer

                                        By: ____________________________________
                                              Name:
                                              Title:

                                        Date: __________________________________

                                        IF AN ADVISER

                                        ________________________________________
                                                  Print Name of Buyer

                                        By: ____________________________________
                                              Name:
                                              Title:

                                        Date: __________________________________

(SEAL)

                                      L-2-2

<PAGE>

                                    EXHIBIT M
                                    ---------

                                   [RESERVED]

                                       M-1

<PAGE>

                                    EXHIBIT N
                                    ---------

                                   [RESERVED]

                                       N-1

<PAGE>

                                    EXHIBIT O
                                    ---------

                                   [RESERVED]

                                       O-1

<PAGE>

                                    EXHIBIT P
                                    ---------

                                   [RESERVED]

                                       O-2

<PAGE>

                                    EXHIBIT Q
                                    ---------

                                 BLOOMBERG DATA

Loan Number
Property Type
Owner Occupied
Loan Purpose
Loan Type
Loan Group
Current Interest Rate
Original Balance
Current Balance
First Payment Date
Maturity Date
Current PNI
Servicing Fee
Loan Term
Foreclosure/REO
Loan to Value Ratio
State Code
Interest Paid to Date
Zip Code
PIF Data
Amortized Remaining Term

                                       Q-1

<PAGE>

                                    EXHIBIT R
                                    ---------

                       FORM OF SPECIAL SERVICING AGREEMENT
                       -----------------------------------

     This SPECIAL SERVICING AGREEMENT (the "AGREEMENT") is made and entered into
as of ____________ 1, 20__, between _______________, as seller and master
servicer (the "COMPANY"), _______________, as holder of the Class B Certificates
identified on Schedule I (the "CLASS B HOLDER") and _______________, [an
affiliate of the Class B Holder,] as special servicer (the "SPECIAL SERVICER").

                              PRELIMINARY STATEMENT
                              ---------------------

     WHEREAS, the Class B Holder is the holder of at least 75% of each the
classes of Mortgage Pass- Through Certificates (each a "CLASS B CERTIFICATE") of
the series of issuances (each a "SERIES") issued by the Company identified on
Schedule I attached hereto (such Schedule I, as may be modified or amended to
reflect (i) the purchase from time to time by the Class B Holder of interests in
any class of Class B Certificates of a Series such that the Class B Holder owns
not less than 75% of the then outstanding Certificate Principal Balance of such
Class B Certificates and (ii) the sale from time to time of the Class B Holder
of interests in any class of Class B Certificates of a Series such that the
Class B Holder owns less than 75% of the then outstanding Certificate Principal
Balance of such Class B Certificates, the "SCHEDULE I").

     WHEREAS, each of the Class B Certificates was issued by the Company
pursuant to the Pooling and Servicing Agreement or Agreements (each a "POOLING
AND SERVICING AGREEMENT") identified on Schedule I and evidences an ownership
interest in a pool of Mortgage Loans.

     WHEREAS, the Company is the Master Servicer of the Mortgage Loans related
to each Series and the Mortgage Loans are serviced in accordance with the
applicable Pooling and Servicing Agreement [and the Company's [Servicer Guide]
(the "SERVICER GUIDE")].

     WHEREAS, in connection with the purchase by Class B Holder of a Series of
Class B Certificates (whether owned by the Class B Holder on the date hereof or
purchased by the Class B Holder at any time in the future), the Class B Holder
and the Company have agreed that (i) the Class B Holder, if it owns 75% of the
most subordinate outstanding class of Class B Certificates of a Series
(calculated by dividing the then outstanding Certificate Principal Balance of
such Class B Certificates by the then outstanding Certificate Principal Balance
of all certificates of the same class) may elect to have certain Mortgage Loans
with respect to the related Series that become 90 or more days delinquent (each
such Mortgage Loan, a "DELINQUENT MORTGAGE LOAN") serviced by the Special
Servicer (each such Delinquent Mortgage Loan, a "SPECIALLY SERVICED MORTGAGE
LOAN"), and (ii) with respect to Delinquent Mortgage Loans other than Specially
Serviced Mortgage Loans, the Company will provide to the Class B Holder such
information as is generated [pursuant to the terms of the Servicer Guide] by the
Company or a subservicer with respect to such Delinquent Loan.

     NOW THEREFORE, in consideration of the premises and mutual agreements
hereinafter set forth, the Company, the Class B Holder and the Special Servicer
hereby agree as follows:

                                    ARTICLE I

                                   DEFINITIONS

     Section 1.01 DEFINITIONS INCORPORATED BY REFERENCE.

                                       R-1

<PAGE>

     Capitalized terms used but not otherwise defined in this Agreement shall
have the respective meaning ascribed thereto as set forth in the related Pooling
and Servicing Agreement [or the Servicer Guide, as the context may require].

                                   ARTICLE II

          DESIGNATION OF SPECIALLY SERVICED MORTGAGE LOANS AND SPECIAL
                              SERVICING PROCEDURES

     Section 2.01 [Approval of _______________ as an Approved Servicer under the
Servicer Guide.

     The Company hereby approves _______________ as an approved servicer for all
purposes under the terms of the Servicer Guide.]

     Section 2.02 SPECIALLY SERVICED MORTGAGE LOANS.

     To the extent and for so long as the Class B Certificates of a Series are
outstanding and the Class B Holder owns at least 75% of the most subordinate
outstanding class of the Class B Certificates of such Series (calculated by
dividing the then outstanding Certificate Principal Balance of such Class B
Certificates by the then outstanding Certificate Principal Balance of all
certificates of the same class), Delinquent Mortgage Loans of the related Series
may, at the option of the Class B Holder, be designated in writing by the Class
B Holder as Specially Serviced Mortgage Loans and transferred to the Special
Servicer for servicing. The Special Servicer shall service the Specially
Serviced Mortgage Loans in accordance with the terms of the related Pooling and
Servicing Agreement [and the Servicer Guide].

     Following the designation of a Delinquent Mortgage Loan as a Specially
Serviced Loan, the Company shall transfer servicing of such Delinquent Mortgage
Loan to the Special Servicer substantially in the manner set forth herein and in
Schedule II hereto. [The parties hereto agree that any fees resulting from the
transfer of the servicing of a Delinquent Mortgage Loan from the Company or a
subservicer to the Special Servicer (or any successor thereto) shall be the
obligation of the Company.]

     As of the Effective Date (as defined below) of each Specially Serviced
Mortgage Loan, the Special Servicer shall succeed to and undertake all rights,
duties and obligations of the prior servicer (including, without limitation, the
making of advances, any right to purchase such Specially Serviced Mortgage Loan
at the purchase price set forth in the related Pooling and Servicing Agreement
and the right to receive the servicing fee with respect to such Specially
Serviced Mortgage Loan) pursuant to and in accordance with the terms of the
related Pooling and Servicing Agreement [and the terms and conditions of the
Servicer Guide].

     With respect to each Specially Serviced Mortgage Loan, the effective date
(the "EFFECTIVE DATE") shall be the first day of the month immediately following
the month of designation of such Specially Serviced Mortgage Loan as such,
provided that such written designation is received by the Company on or prior to
the 15th calendar day of such month.

     Once a Delinquent Mortgage Loan becomes a Specially Serviced Mortgage Loan,
such Delinquent Mortgage Loan shall remain a Specially Serviced Mortgage Loan,
and shall continue to be serviced by the Special Servicer, until the earlier of
the liquidation or other disposition of such Specially Serviced Mortgage Loan or
the termination of this Agreement, regardless of delinquency status, whether the
related Mortgaged Property becomes an REO Property or otherwise; provided,
however, that if the Company exercises its right as Master Servicer to purchase
all of the Mortgage Loans in a Trust Fund pursuant to an optional termination

                                       R-2

<PAGE>

provision under the related Pooling and Servicing Agreement, the servicing of
any related Specially Serviced Mortgage Loans with respect to which foreclosure
proceedings have not been commenced shall be transferred promptly by the Special
Servicer in accordance with written instructions from the Company.

     If the Class B Holder (i) transfers such percentage interest in any Class B
Certificates of a Series such that the Class B Holder owns less than 75% of the
then outstanding Certificate Principal Balance of such class, or (ii) purchases
such percentage interest in any Class B Certificates of a Series such that the
Class B Holder owns 75% or more of the then outstanding Certificate Principal
Balance of such class, the Class B Holder shall promptly notify the Company and
the Special Servicer in writing of any such transfer or acquisition. Upon
receipt of written notice from the Class B Holder, the Company or the Class B
Holder shall revise Schedule I hereto to reflect any such transfer or
acquisition and shall forward promptly a copy of such revised schedule to the
Company or the Class B Holder, as applicable, and the Special Servicer. With
respect to the purchase of at least 75% of the Class B Certificates of any
Series by the Class B Holder after the date hereof, this Agreement shall be
effective as of the date such written notice of acquisition is received by the
Company.

     If and to the extent the Company is permitted to purchase Delinquent
Mortgage Loans under the related Pooling and Servicing Agreement, the Class B
Holder may direct the Company to purchase any Specially Serviced Mortgage Loan
and to promptly resell such Mortgage Loan to the Class B Holder at the price and
on the terms set forth in such Pooling and Servicing Agreement. In the event the
Class B Holder directs the Company to purchase a Specially Serviced Mortgage
Loan as permitted under this Section, the Company shall promptly take all action
necessary under the terms of the related Pooling and Servicing Agreement in
order to accomplish such purchase (i.e. provide notification to the Trustee
and/or Custodian) and to resell such Specially Serviced Mortgage Loan to the
Class B Holder. The Class B Holder, and not the Company, shall be required to
remit the purchase price for such Specially Serviced Mortgage Loan to the
related Trustee. The Company will inform the Trustee in writing of the purchase
of such Specially Serviced Mortgage Loan by the Class B Holder and further shall
promptly take all actions necessary or desirable to effect the conveyance of
such Mortgage Loan and the related servicing rights to the Class B Holder or its
designee, time being of the essence.

     Notwithstanding any provision herein to the contrary, the Special Servicer
shall (i) in no event be obligated to effect any cure or remedy in connection
with a deficiency in the documentation for any Specially Serviced Mortgage Loan
to the extent such deficiency existed at the time such Mortgage Loan became a
Specially Serviced Mortgage Loan or (ii) have any responsibility for any
obligations, duties, or liabilities of the Company with respect to the servicing
of a Specially Serviced Mortgage Loan that arose prior to the related Effective
Date for such Specially Serviced Mortgage Loan, other than those which would
customarily be assumed after the Effective Date.

     Section 2.03 TERMINATION OF SPECIAL SERVICER FOR DEFAULT.

     The Company shall have the right, immediately upon written notice, to
terminate the Special Servicer's right and obligation to subservice all of the
Specially Serviced Mortgage Loans hereunder in the event (each such event, an
"EVENT OF DEFAULT") of:

     (i) any failure by the Special Servicer to remit to the Company for
distribution to the Certificateholders of a Series any payment (including
without limitation, any failure to make any required Advance) required to be
made under the terms of this Agreement or the related Pooling and Servicing
Agreement which continues unremedied for a period of one day after the date upon
which written notice of such failure, requiring the same to be remedied, shall
have been given to the Special Servicer by the Company; or

                                       R-3

<PAGE>

     (ii) any failure on the part of the Special Servicer duly to observe or
perform in any material respect any other of the covenants or agreements on the
part of the Special Sub-Servicer contained in this Agreement (including any
breach of the Special Servicer's representations and warranties contained in
Section 4.03 hereof, which materially and adversely affects the interests of the
Certificateholders of a Series) which continues unremedied for a period of 30
days after the date on which written notice of such failure, requiring the same
to be remedied, shall have been given to the Special Servicer by the Company; or

     (iii) a decree or order of a court or agency or supervisory authority
having jurisdiction in an involuntary case under any present or future federal
or state bankruptcy, insolvency or similar law or the appointment of a
conservator or receiver or liquidator in any insolvency, readjustment of debt,
marshaling of assets and liabilities or similar proceedings, or for the
winding-up or liquidation of its affairs, shall have been entered against the
Special Servicer and such decree or order shall have remained in force
undischarged or unstayed for a period of 60 consecutive days; or

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

     (v) the Special Servicer shall admit in writing its inability to pay its
debts generally as they become due, file a petition to take advantage of or
otherwise voluntarily commence a case or proceeding under any applicable
bankruptcy, insolvency, reorganization or other similar statute, make an
assignment for the benefit of its creditors, or voluntarily suspend payment of
its obligations.

     If an Event of Default shall occur, then, and in each and every such case,
upon receipt of written notice from the Company, the Special Servicer shall
immediately remit to the Company all amounts in the Collection Accounts and the
Escrow Accounts and all rights of the Special Servicer to service the Specially
Serviced Mortgage Loans shall terminate. Following the receipt of written notice
from the Company as provided above, all authority and power of the Special
Sub-Servicer to subservice all the Specially Serviced Mortgage Loans shall pass
to and be vested in the Company pursuant to and under this Section 2.03, and the
Special Servicer shall do all things necessary to effect a transfer of the
servicing rights back to the Company. In this regard, the Company is hereby
authorized and empowered to execute and deliver, on behalf of the Special
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 affected Specially
Serviced Mortgage Loans and related documents, or otherwise. The Special
Servicer agrees to cooperate with the Company in implementing the termination of
the Special Servicer's responsibilities and rights hereunder, including, without
limitation, the transfer to the Company or its appointed agent for
administration by it of all amounts in the possession of the Special Servicer or
thereafter be received with respect to the Specially Serviced Mortgage Loans and
the transfer of the] servicing rights back to the Company.

     Section 2.04 APPOINTMENT OF SUCCESSOR SPECIAL SERVICER.

     The Class B Holder shall have the right, upon 90 days prior written notice
to the Company and the Special Servicer appoint a successor special servicer
having the characteristics set forth in clauses (i), (ii) and (iii) below, and
which shall succeed to all rights and assume all of the responsibilities, duties
and liabilities of the Special Servicer under this Agreement simultaneously with
the termination of the Special Servicer's responsibilities, duties and
liabilities under this Agreement. In the event that the Special Servicer's
duties, responsibilities and liabilities under this Agreement should be
terminated pursuant to the foregoing, the Special Servicer shall discharge such
duties and responsibilities during the period from the

                                       R-4

<PAGE>

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 removal of the
Special Servicer shall not become effective until a successor shall be appointed
pursuant to this Section and shall in no event relieve the Special Servicer of
the representations and warranties made pursuant to Section 4.03 and the
remedies available to the Class B Holder and/or the Company under Sections 4.04
and 5.01, it being understood and agreed that the provisions of such Sections
4.04 and 5.01 shall be applicable to the Special Servicer notwithstanding any
such termination of it, or the termination of this Agreement.

     Any successor special servicer shall (i) [be an institution having a net
worth of not less than $1,000,000][meet the eligibility requirements of an
approved servicer under the Company's Servicer Guide], (ii) the appointment of
such successor servicer will not result in the downgrading in any rating by any
applicable rating agency of any security issued in connection with the
applicable Pooling and Servicing Agreements, and (iii) have and keep in full
effect its existence, rights and franchises as a corporation (or such other
corporate form), and shall obtain its qualification to do business as a foreign
corporation (or such other corporate form) 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 Specially Serviced Mortgage Loans
and to perform its duties under this Agreement. Any successor appointed as
provided herein shall execute, acknowledge and deliver to the Class B Holder and
the Company an instrument accepting such appointment, wherein the successor
shall make the representations and warranties set forth in Section 4.03,
whereupon such successor shall become fully vested with all the rights, powers,
duties, responsibilities, obligations and liabilities of the Special Servicer,
with like effect as if originally named as a party to this Agreement.

     Within 30 days of the appointment of a successor special servicer by the
Class B Holder, the Special 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 related to the Specially Serviced
Mortgage Loans, and do or cause to be done all other acts or things necessary or
appropriate to effect the purposes of such notice of termination [, including
but not limited to the transfer and endorsement of the related Mortgage Notes
and other documents, and the Class B Holder shall do or cause to be done the
preparation and recordation of Assignments of Mortgage and Deeds at the Class B
Holder's sole expense].

     The Special Servicer shall cooperate with the Class B Holder and such
successor in effecting the termination of the Special Servicer's
responsibilities and rights hereunder and the transfer of servicing
responsibilities to the successor special servicer, including without
limitation, the transfer to such successor of all amounts received by it with
respect to the Specially Serviced Mortgage Loans. Further, the Special Servicer
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 Special Servicer.

                                   ARTICLE III

             DELINQUENT MORTGAGE LOANS OTHER THAN SPECIALLY SERVICED
                                 MORTGAGE LOANS

     Section 3.01 REPORTING OF DELINQUENT MORTGAGE LOANS.

(a) To the extent and for so long as the Class B Certificates of a Series are
outstanding and any interest in such Class B Certificates is held by the Class B
Holder, the Company, as Master Servicer of the Mortgage Loans related to each
Series, hereby agrees to provide to the Class B Holder the following notices and
reports:

                                       R-5

<PAGE>

     Within three (3) Business Days after each Distribution Date (or included in
or with the monthly statements to Certificateholders pursuant to the related
Pooling and Servicing Agreement), the Company shall provide to the Class B
Holder a report, in tape format, containing the following information:

(1)  With respect to each Series, the number and aggregate Principal Balance of
     the Mortgage Loans delinquent one, two and three months or more, together
     with the Principal Balance of each Mortgage Loan delinquent, one, two and
     three months or more;

(2)  With respect to each Series, the (i) number and aggregate Principal Balance
     of Mortgage Loans with respect to which foreclosure proceedings have been
     initiated, and (ii) the number and aggregate book value of Mortgaged
     Properties acquired through foreclosure, deed in lieu of foreclosure or
     other exercise of rights respecting the Trustee's security interest in the
     Mortgage Loans, and with respect to each Mortgage Loan, the (i) Principal
     Balance of each such Mortgage Loan with respect to which foreclosure
     proceedings have been initiated, and (ii) the book value of each Mortgaged
     Property acquired through foreclosure, deed in lieu of foreclosure or other
     exercise of rights respecting the Trustee's security interest in the
     related Mortgage Loan; and

(3)  With respect to each Series, the amount of Realized Losses allocable to the
     Certificates on the related Distribution Date and the cumulative amount of
     Realized Losses allocated to such Certificates since the Cut-off Date, and
     with respect to each Mortgage Loan, the amount of Realized Losses
     attributable to such Mortgage Loan on the related Distribution Date and the
     cumulative amount of Realized Losses attributable to such Mortgage Loan
     since the Cut-off Date.

In addition, the Company, as Master Servicer of the Mortgage Loans, shall send,
or shall cause the related servicer to send, to the Class B Holder all other
written reports, documentation, instruments, certificates and correspondences
provided by a servicer under the terms of the Servicer Guide with respect to any
Mortgage Loan that becomes sixty (60) days or more delinquent.

     (b) If requested by the Class B Holder, the Company shall make its
servicing personnel available to respond to reasonable inquiries, by phone or in
writing by facsimile, electronic, or overnight mail transmission, in connection
with any Mortgage Loan identified in any report or document provided pursuant to
clause (a) above; provided, that the Company shall only be required to provide
information that is reasonably accessible to its servicing personnel (or its
subservicers).

     (c) In addition to the information described above, the Company shall
provide to the Class B Holder such information as the Class B Holder may
reasonably request; provided, however, that the Mortgage Loans are Delinquent
Mortgage Loans or the Mortgaged Property has been foreclosed upon. The Class B
Holder will reimburse the Company for any reasonable out-of-pocket expenses
incurred by it in providing such information.

     Section 3.02 SERVICING OF DELINQUENT MORTGAGE LOANS.

     (a) Prior to the Commencement of Foreclosure of any Mortgage Loan, the
Company shall provide, or cause the related servicer to provide, the Class B
Holder with a notice (sent by telecopier) of such proposed and imminent
foreclosure, stating the loan number and the aggregate amount due under the
Mortgage Note.

     For purposes of this Agreement, "COMMENCEMENT OF FORECLOSURE" shall mean
the first official action required under local law in order to commence
foreclosure proceedings or to schedule a trustee's sale under a deed of trust,
including (i) in the case of a mortgage, any filing or service of process
necessary to

                                       R-6

<PAGE>

commence an action to foreclosure, or (ii) in the case of a deed of trust,
posting, the publishing, filing or delivery of a notice of sale, but not
including in either case (x) any notice of default, notice of intent to
foreclose or sell or any other action prerequisite to the actions specified in
(i) or (ii) above, (y) the acceptance of a deed-in-lieu of foreclosure (whether
in connection with a sale of the related property or otherwise) or (z)
initiation and completion of a short pay-off.

     (b) In connection with any Delinquent Mortgage Loan with respect to which a
notice under clause (a) above has been delivered to the Class B Holder, the
Class B Holder shall provide the Company with written direction as to the action
to be taken with respect to such Delinquent Mortgage Loan, including, without
limitation, to proceed with foreclosure, to accept a deed-in-lieu of
foreclosure, to consent to a pre- foreclosure sale of Mortgaged Property at a
loss, or, if permitted under the terms of the related Pooling and Servicing
Agreement, to purchase Delinquent Mortgage Loans. Such written direction must be
received by the Company within two (2) Business Days of transmission of the
notice provided by the Company under clause (a) above. Such two (2) Business Day
period shall be extended for no longer than an additional three (3) Business
Days after the receipt of additional information requested if the Class B Holder
requests additional information related to such Delinquent Mortgage Loan;
provided, however that the Class B Holder will have at least one Business Day to
provide written direction after receipt of any requested additional information.
Any such additional information shall be provided only to the extent it is
obtainable by the Company from existing reports, certificates or statements or
otherwise be reasonably accessible to its servicing personnel (or subservicing
personnel). The Company shall as promptly as practicable carry out, or cause the
relevant servicer to carry out, the instruction of the Class B Holder in the
manner prescribed in such written direction. The Class B Holder agrees that it
has no right to negotiate directly with the Mortgagor during such period.

     In the event the Class B Holder fails to provide any written direction as
provided above, the Company may take any such action as would be consistent with
customary servicing practices of prudent mortgage loan servicers and the
Company's normal policies and practice.

     (c) With respect to any Delinquent Mortgage Loan for which the Company has
not provided a notice as contemplated in clause (a) above, the Class B Holder
may, at any time, provide the Company with written direction as to the action to
be taken with respect to such Delinquent Mortgage Loan, including, without
limitation, to commence foreclosure proceedings, to accept a deed-in-lieu of
foreclosure, to consent to a sale of Mortgaged Property at a loss, or, if
permitted under the terms of the related Pooling and Servicing Agreement, to
purchase Delinquent Mortgage Loans. To the extent such action is not
inconsistent with the terms of the related Pooling and Servicing Agreement or
the Company's duties thereunder as master servicer, the Company shall as
promptly as practicable carry out, or cause the relevant servicer to carry out,
the instruction of the Class B Holder in the manner prescribed in such written
direction.

     (d) Any foreclosure of a Delinquent Mortgage Loan that has been initiated
in accordance with clauses (b) or (c) above may be discontinued if (i) the
Mortgage Loan has been brought current or if a refinancing or prepayment occurs
with respect to the Mortgage Loan (including by means of a short payoff approved
by the Class B Holder), (ii) the Company has agreed to the terms of a
forbearance agreement with the Mortgagor and such forbearance agreement has been
approved by the Class B Holder, or (iii) if and to the extent permitted under
the related Pooling and Servicing Agreement, Class B Holder directs the Company
to purchase such Delinquent Mortgage Loan at the price and on the terms set
forth in the related Pooling and Servicing Agreement.

     (e) In the event the Class B Holder directs the Company to purchase a
Delinquent Mortgage Loan as permitted under Sections 2.02 and 3.02 (b), (c) and
(d), the Class B Holder may direct the Company to purchase any Delinquent
Mortgage Loan and to promptly resell such Mortgage Loan to the Class B Holder

                                       R-7

<PAGE>

at the price and on the terms set forth in the applicable Pooling and Servicing
Agreement. In the event the Class B Holder directs the Company to purchase a
Delinquent Mortgage Loan as permitted under this Section, the Company shall
promptly take all action necessary under the terms of the related Pooling and
Servicing Agreement in order to accomplish such purchase (i.e. provide
notification to the Trustee and/or Custodian) and to resell such Delinquent
Mortgage Loan to the Class B Holder. The Class B Holder, and not the Company,
shall be required to remit the purchase price for such Delinquent Mortgage Loan
to the related Trustee. The Company will inform the Trustee in writing of the
purchase of such Delinquent Mortgage Loan by the Class B Holder and further
shall promptly take all actions necessary or desirable to effect the conveyance
of such Mortgage Loan and the related servicing rights to the Class B Holder or
its designee, time being of the essence. [The parties hereto agree that, in
connection with a purchase of a Delinquent Mortgage Loan as provided above, any
fees resulting from the transfer of the servicing of such purchased Delinquent
Mortgage Loan from the Company or a subservicer to a servicer designated by the
Class B Holder shall be the obligation of the Company.]

     Section 3.03 REVIEW OF THE COMPANY'S PROCEDURES.

     The Company and the Class B Holder hereby agree that the Class B Holder
shall have the right, at its own expense and during normal business hours, to
review any and all of the books, records, or other information of the Company
which may be relevant to the Company's direct collection, loss mitigation
foreclosure and REO management procedures currently in place in order to confirm
that the procedures used by the Company and its subservicers are in accordance
with the customary servicing practices of prudent mortgage loan servicers. In
order to discuss such books, records or other information, the Company shall
make personnel available who are knowledgeable about such matters.

                                   ARTICLE IV

                         REPRESENTATIONS AND WARRANTIES

     Section 4.01 ORGANIZATIONAL AND OTHER RELATED WARRANTIES OF THE CLASS B
HOLDER. The Class B Holder hereby makes the following representations and
warranties to the Company and the Special Servicer:

          (i) ORGANIZATION AND GOOD STANDING. The Class B Holder is an entity
duly organized, validly existing, and in good standing under the laws of its
state of incorporation or formation or the laws of the United States.

          (ii) NO VIOLATION. Neither the execution and delivery by the Class B
Holder of this Agreement, nor the consummation by the Class B Holder of the
transactions contemplated hereby, nor the performance of and compliance by the
Class B Holder with the provisions of this Agreement, will conflict with or
result in a breach or violation of, or constitute a default (or an event which,
with notice or the lapse of time, or both, would constitute a default) under,
the organizational documents (its articles of incorporation or charter or
by-laws) of the Class B Holder, or any of the provisions of any law, rule,
regulation, judgment, decree, demand, or order (of any federal, state, or local
governmental or regulatory authority or court) binding on the Class B Holder, or
any of its respective properties, or any of the provisions of any indenture,
mortgage, contract, instrument, or other document to which the Class B Holder is
a party or by which it is bound, or result in the creation or imposition of any
lien, charge, or encumbrance upon any of their respective properties pursuant to
the terms of any indenture, mortgage, contract, instrument, or other document.
The Class B Holder is not otherwise in violation of any law, rule, regulation,
judgment, decree, demand, or order (of any federal, state or local governmental
or regulatory authority or court), which violation, in the Class B Holder's,
good faith and reasonable judgment, is likely to affect materially and adversely
its ability to perform its obligations hereunder.

                                       R-8

<PAGE>

          (iii) AUTHORIZATION AND ENFORCEABILITY. The execution and delivery by
the Class B Holder of this Agreement, the consummation of the transactions
contemplated hereby, and the performance and compliance by the Class B Holder
with the terms hereof are within the powers of the Class B Holder, and have been
duly authorized by all necessary action on the part of the Class B Holder. All
organizational resolutions and consents necessary for the Class B Holder to
enter into and consummate all transactions contemplated hereby have been
obtained. This Agreement has been duly executed and delivered by the Class B
Holder and constitutes the legal, valid and binding obligation of the Class B
Holder, enforceable against it in accordance with its terms, subject to
applicable bankruptcy, insolvency, reorganization, moratorium, and other similar
laws affecting creditors' rights generally, and to general principles of equity,
regardless of whether such enforcement is considered in a proceeding in equity
or at law. The Class B Holder has not failed to obtain any consent, approval,
authorization, or order of, or failed to cause any registration or qualification
with, any court or regulatory authority or other governmental body having
jurisdiction over it, which consent, approval, authorization, order,
registration, or qualification is required for, and the absence of which would
materially adversely affect, the legal and valid execution, delivery, and
performance of this Agreement by the Class B Holder.

          (iv) NO LITIGATION OR ADVERSE CONDITIONS. No litigation is pending or,
to the best of the Class B Holder's knowledge, threatened against it, which, if
determined adversely to the Class B Holder would prohibit the Class B Holder
from entering into this Agreement or, in the good faith and reasonable judgment
of the Class B Holder, is likely to materially and adversely affect either the
ability of the Class B Holder to perform its obligations hereunder.

     Section 4.02 ORGANIZATIONAL AND OTHER RELATED WARRANTIES OF THE COMPANY.
The Company hereby makes the following representations and warranties to the
Class B Holder and the Special Servicer:

          (i) ORGANIZATION AND GOOD STANDING. The Company is an entity duly
organized, validly existing, and in good standing under the laws of its state of
incorporation or formation or the laws of the United States, and is in
compliance with the laws of each state in which any property is located to the
extent necessary to ensure the enforceability of each Mortgage Loan and to
perform its obligations hereunder and the Pooling and Servicing Agreement.

          (ii) NO VIOLATION. Neither the execution and delivery by Company of
this Agreement, nor the consummation by it of the transactions contemplated
hereby, nor the performance of and compliance by the Company with the provisions
hereof or of the Pooling and Servicing Agreement, will conflict with or result
in a breach or violation of, or constitute a default (or an event which, with
notice or the lapse of time, or both, would constitute a default) under, the
organizational documents (its articles of incorporation or charter or by-laws)
of the Company, or any of the provisions of any law, rule, regulation, judgment,
decree, demand, or order (of any federal, state, or local governmental or
regulatory authority or court) binding on the Company, or any of its properties,
or any of the provisions of any indenture, mortgage, contract, instrument, or
other document (including, without limitation, any Pooling and Servicing
Agreement) to which the Company is a party or by which it is bound, or result in
the creation or imposition of any lien, charge, or encumbrance upon any of their
respective properties pursuant to the terms of any indenture, mortgage,
contract, instrument, or other document. The Company is not otherwise in
violation of any law, rule, regulation, judgment, decree, demand, or order (of
any federal, state or local governmental or regulatory authority or court),
which violation, in the Company's good faith and reasonable judgment, is likely
to affect materially and adversely either its ability to perform its obligations
hereunder or under the Pooling and Servicing Agreements, or the financial
condition of the Company.

          (iii) AUTHORIZATION AND ENFORCEABILITY. The execution and delivery by
the Company of this Agreement, the consummation of the transactions contemplated
hereby, and the performance and compliance

                                       R-9

<PAGE>

by the Company with the terms hereof and of the Pooling and Servicing Agreements
are within the powers of the Company, and have been duly authorized by all
necessary action on the part of the Company. All organizational resolutions and
consents necessary for the Company to enter into and consummate all transactions
contemplated hereby have been obtained. This Agreement has been duly executed
and delivered by the Company and constitutes the legal, valid and binding
obligation of the Company, enforceable against it in accordance with its terms,
subject to applicable bankruptcy, insolvency, reorganization, moratorium, and
other similar laws affecting creditors' rights generally, and to general
principles of equity, regardless of whether such enforcement is considered in a
proceeding in equity or at law. The Company has not failed to obtain any
consent, approval, authorization, or order of, or failed to cause any
registration or qualification with, any court or regulatory authority or other
governmental body having jurisdiction over the Company, which consent, approval,
authorization, order, registration, or qualification is required for, and the
absence of which would materially adversely affect, the legal and valid
execution, delivery, and performance of this Agreement by the Company.

          (iv) APPROVALS AND PERMITS. The Company possesses such certificates,
authorizations, licenses, and permits issued by the appropriate state, federal,
and foreign regulatory agencies or bodies necessary to conduct the business now
operated by it, and the Company has not received any notice of proceedings
relating to the revocation or modification of any such certificate,
authorization, or permit which, singly or in the aggregate, if the subject of an
unfavorable decision, ruling, or finding, would materially and adversely affect
the conduct of the business, operations, financial condition, or income of the
Company.

          (v) NO LITIGATION OR ADVERSE CONDITIONS. No litigation is pending or,
to the best of the Company's knowledge, threatened against it, which, if
determined adversely to the Company would prohibit the Company from entering
into this Agreement or, in the good faith and reasonable judgment of the
Company, is likely to materially and adversely affect either its ability to
perform its obligations hereunder or under the Pooling and Servicing Agreements
or the financial condition of the Company. The Company has no knowledge of any
recent adverse financial condition or event with respect to itself that, in its
good faith and reasonable judgment, is likely to materially and adversely affect
its ability to perform its obligations hereunder or under the Pooling and
Servicing Agreements.

          (vi) FIDELITY BOND: ERRORS AND OMISSION INSURANCE. Each officer,
director, employee, consultant and advisor of the Company with responsibilities
concerning the servicing and administration of the Mortgage Loans is covered by
errors and omissions insurance and fidelity bond insurance in the amounts and
with the coverage required under the related Pooling and Servicing Agreement for
it to maintain. Neither the Company nor any of its officers, directors,
employees, consultants, or advisors involved in the servicing or administration
of the Mortgage Loans has been refused such coverage or insurance.

     Section 4.03 ORGANIZATIONAL AND OTHER RELATED WARRANTIES OF THE SPECIAL
SERVICER. The Special Servicer hereby makes the following representations and
warranties to the Company and the Class B Holder:

          (i) ORGANIZATION AND GOOD STANDING. The Special Servicer is an entity
duly organized, validly existing, and in good standing under the laws of its
state of incorporation or formation or the laws of the United States, and is in
compliance with the laws of each state in which any property is located to the
extent necessary to ensure the enforceability of each Mortgage Loan and to
perform its obligations hereunder.

          (ii) NO VIOLATION. Neither the execution and delivery by Special
Servicer of this Agreement, nor the consummation by it of the transactions
contemplated hereby, nor the performance of and compliance by the Special
Servicer with the provisions hereof , will conflict with or result in a breach
or violation of, or constitute a default (or an event which, with notice or the
lapse of time, or both, would

                                      R-10

<PAGE>

constitute a default) under, the organizational documents (its articles of
incorporation or charter or by-laws) of the Special Servicer, or any of the
provisions of any law, rule, regulation, judgment, decree, demand, or order (of
any federal, state, or local governmental or regulatory authority or court)
binding on the Special Servicer, or any of its properties, or any of the
provisions of any indenture, mortgage, contract, instrument, or other document
to which the Special Servicer is a party or by which it is bound, or result in
the creation or imposition of any lien, charge, or encumbrance upon any of their
respective properties pursuant to the terms of any indenture, mortgage,
contract, instrument, or other document. The Special Servicer is not otherwise
in violation of any law, rule, regulation, judgment, decree, demand, or order
(of any federal, state or local governmental or regulatory authority or court),
which violation, in the Special Servicer's good faith and reasonable judgment,
is likely to affect materially and adversely either its ability to perform its
obligations hereunder, or the financial condition of the Special Servicer.

          (iii) AUTHORIZATION AND ENFORCEABILITY. The execution and delivery by
the Special Servicer of this Agreement, the consummation of the transactions
contemplated hereby, and the performance and compliance by the Special Servicer
with the terms hereof are within the powers of the Special Servicer, and have
been duly authorized by all necessary action on the part of the Special
Servicer. All organizational resolutions and consents necessary for the Special
Servicer to enter into and consummate all transactions contemplated hereby have
been obtained. This Agreement has been duly executed and delivered by the
Special Servicer and constitutes the legal, valid and binding obligation of the
Special Servicer, enforceable against it in accordance with its terms, subject
to applicable bankruptcy, insolvency, reorganization, moratorium, and other
similar laws affecting creditors' rights generally, and to general principles of
equity, regardless of whether such enforcement is considered in a proceeding in
equity or at law. The Special Servicer has not failed to obtain any consent,
approval, authorization, or order of, or failed to cause any registration or
qualification with, any court or regulatory authority or other governmental body
having jurisdiction over the Special Servicer, which consent, approval,
authorization, order, registration, or qualification is required for, and the
absence of which would materially adversely affect, the legal and valid
execution, delivery, and performance of this Agreement by the Special Servicer.

          (iv) APPROVALS AND PERMITS. The Special Servicer possesses such
certificates, authorizations, licenses, and permits issued by the appropriate
state, federal, and foreign regulatory agencies or bodies necessary to conduct
the business now operated by it, and its has not received any notice of
proceedings relating to the revocation or modification of any such certificate,
authorization, or permit which, singly or in the aggregate, if the subject of an
unfavorable decision, ruling, or finding, would materially and adversely affect
the conduct of the business, operations, financial condition, or income of the
Special Servicer.

          (v) NO LITIGATION OR ADVERSE CONDITIONS. No litigation is pending or,
to the best of the Special Servicer's knowledge, threatened against it, which,
if determined adversely to the Special Servicer would prohibit the Special
Servicer from entering into this Agreement or, in the good faith and reasonable
judgment of the Special Servicer, is likely to materially and adversely affect
either its ability to perform its obligations hereunder or the financial
condition of the Special Servicer. The Special Servicer has no knowledge of any
recent adverse financial condition or event with respect to itself that, in its
good faith and reasonable judgment, is likely to materially and adversely affect
its ability to perform its obligations hereunder.

          (vi) FIDELITY BOND, ERRORS AND OMISSION INSURANCE. Each officer,
director, employee, consultant and advisor of the Special Servicer with
responsibilities concerning the servicing and administration of the Mortgage
Loans is covered by errors and omissions insurance and fidelity bond insurance
in the amounts and with the coverage required under the related Pooling and
Servicing Agreement to be maintained by the Company as master servicer. Neither
the Special Servicer nor any of its officers,

                                      R-11

<PAGE>

directors, employees, consultants, or advisors involved in the servicing or
administration of the Mortgage Loans has been refused such coverage or
insurance.

          (vii) APPROVED SELLER/SERVICER. The Special Servicer is approved as a
seller/servicer of single-family mortgage loans by the Department of Housing and
Urban Development.

     Section 4.04 REMEDIES FOR BREACH OF REPRESENTATION AND WARRANTY.

     Upon discovery by any of the Company, the Class B Holder or the Special
Servicer of a breach of any of the representations and warranties contained in
Article IV which materially and adversely affects the value of the Specially
Serviced Mortgage Loans or Delinquent Mortgage Loans, the party discovering such
breach shall give prompt written notice to the others.

     Each of the parties hereto shall indemnify the others and hold each of them
harmless against any losses, damages, penalties, fines, forfeitures, reasonable
and necessary 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 such party's representations and
warranties contained in Article IV. It is understood and agreed that the
obligations to indemnify as provided in this Section 4.04 constitute the sole
remedies of each of the Company, Class B Holder and Special Servicer respecting
a breach of any other party's representations and warranties.

                                    ARTICLE V

                            MISCELLANEOUS PROVISIONS

     Section 5.01 INDEMNIFICATION.

     Each of the Company, the Class B Holder and the Special Servicer (each as
such, an "INDEMNIFYING PARTY") shall indemnify the other parties hereto (each as
such, an "INDEMNIFIED PARTY") and hold them harmless against any and all claims,
losses, damages, penalties, fines, forfeitures, reasonable and necessary legal
fees and related costs, judgments, and any other costs, fees and expenses
(individually and collectively, the "CLAIMS") that such Indemnified Party may
sustain in any way related to the failure of the Indemnifying Party to perform
its duties in compliance with the terms of this Agreement; PROVIDED, that none
of the Company, the Class B Holder or the Special Servicer or any of the
directors, officers, employees or agents of the Depositor or the Servicer shall
be liable 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 Company, the Class B Holder
or the Special Servicer against any material breach of warranties,
representations or covenants made herein, or against any specific liability
imposed on such party pursuant hereto, or against any liability which would
otherwise be imposed by reason of willful misfeasance, bad faith or gross
negligence in the performance of duties or by reason of reckless disregard of
obligations and duties hereunder.

                                      R-12

<PAGE>

     Section 5.02 AMENDMENT.

     This Agreement may be amended from time to time by written agreement signed
by each of the parties hereto.

     Section 5.03 COUNTERPARTS.

     This Agreement may be executed simultaneously in any number of
counterparts, each of which counterparts shall be deemed to be an original and
such counterparts shall constitute but one and the same instrument.

     Section 5.04 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.

     Section 5.05 NOTICES.

     All demands, notices and direction hereunder shall be in writing or by
telecopy and shall be deemed effective upon receipt to:

          (ii) in the case of the Company,

          Company
          Address:         ___________________
          Attention:       ___________________
          Telephone:       ___________________
          Facsimile:       ___________________

          or such other address as may hereafter be furnished to the Class B
          Holder and the Special Servicer in writing.

          (iii) in the case of the Class B Holder,

          Address:         ___________________
          Attention:       ___________________
          Telephone:       ___________________
          Facsimile:       ___________________

          or such other address as may hereafter be furnished to the Company in
          writing.

                                      R-13

<PAGE>

          (iv) in the case of the Special Servicer,

          Address:         ___________________
          Attention:       ___________________
          Telephone:       ___________________
          Facsimile:       ___________________

          or such other address as may hereafter be furnished to the Company in
          writing.

     Section 5.06 TERMINATION.

     This Agreement shall terminate (i) at such time as the Principal Balance of
the Class B Certificates has been reduced to zero or (ii) if mutually agreed to
by the parties hereto.

     Section 5.07 SEVERABILITY OF PROVISIONS.

     If any one or more of the covenants, agreements, provisions or terms of
this Agreement shall be held invalid for any reason whatsoever, 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. If the invalidity of any part, provision, representation or warranty
of this Agreement shall deprive any party of the economic benefit intended to be
conferred by this Agreement, the parties shall negotiate in good faith to
develop a structure the economic effect of which is nearly as possible the same
as the economic effect of this Agreement without regard to such invalidity.

     Section 5.08 SUCCESSORS AND ASSIGNS.

     This Agreement may not be assigned by any party hereto without the prior
written consent of each of the other parties hereto. The provisions of this
Agreement shall be binding upon and inure to the benefit of the respective
successors and assigns of the parties hereto.

     Section 5.09 ARTICLE AND SECTION HEADINGS.

     The article and section headings herein are for convenience of reference
only and shall not limit or otherwise affect the meaning hereof.

     Section 5.10 CONFIDENTIALITY.

     The Class B Holder agrees that all information supplied by or on behalf of
the Company pursuant to Sections 2.02 or 3.01, including individual account
information, is the property of the Company and the Class B Holder agrees to use
such information only for the purposes contemplated by this Agreement and
otherwise hold such information confidential and not to disclose such
information, except to the extent such information is made publicly available by
or on behalf of the Company or the relevant Trustee.

     Section 5.11 PUBLICLY REGISTERED CERTIFICATES.

     The Class B Holder agrees, that without the prior written consent of the
Company, so long as Class B Holder is a party to this Agreement and a holder of
any Class B Certificates of a Series, it will not purchase, sell or trade any
publicly registered Certificates of the same Series.

                                      R-14

<PAGE>

     Section 5.12 NO PARTNERSHIP.

     Nothing herein shall be deemed or construed to create a partnership or
joint venture between the parties hereto and the services of the Company shall
be rendered as an independent contractor and not as an agent for the Company.

     Section 5.13 RIGHTS OF THE CLASS B HOLDER. Notwithstanding anything herein
to the contrary, it is agreed by the parties hereto that the rights of the Class
B Holder set forth under Article II and Section 3.02(e) of this Agreement shall
relate to, and be exercisable with respect to, the related Mortgage Loans of any
Series to the extent that and for so long as, the Class B Holder owns at least
75% of the most subordinate outstanding class of Class B Certificates of the
related Series (calculated by dividing the then outstanding Certificate
Principal Balance of such Class B Certificates by the then outstanding
Certificate Principal Balance of all certificates of the same class).

                                      R-15

<PAGE>

     IN WITNESS WHEREOF, each of the parties hereto have caused its name to be
signed hereto by its respective officer thereunto duly authorized, all as of the
day and year first above written.

                                COMPANY

                                By: _______________________________
                                Name: _____________________________
                                Title: ____________________________

                                By: _______________________________
                                Name: _____________________________
                                Title: ____________________________

                                By: _______________________________
                                Name: _____________________________
                                Title: ____________________________

                                      R-16

<PAGE>

                                                                      SCHEDULE I

Describe each Series of Class B Certificates and the related Pooling and
Servicing Agreement

                                      R-17

<PAGE>

                                                                     SCHEDULE II

                      SPECIAL SERVICING TRANSFER PROCEDURES

          Any transfer of servicing with respect to a Specially Serviced
Mortgage Loan shall be effected substantially in accordance with the following
example. All dates set forth below are for illustrative purposes only.
Capitalized terms used in this Exhibit shall have the meanings ascribed thereto
in the Agreement.

                                    Timeline
                                    --------

Last Business Day of Month One
     Mortgagor is 89 Days Delinquent.

3rd Business Day of Month Two
     The Company receives an electronic file from its Collections Department on
     all 90+delinquent loans.

4th Business Day of Month Two
     The Company sends the electronic file to Class B Holder/Special Servicer of
     all 90+ delinquent loans with information designating those loans where a
     forbearance plan or workout is in progress and those loans where there is
     no plan in place. The Company and the Special Servicer have a discussion.
     The loans to be transferred are determined by the Class B Holder/Special
     Servicer.

6th Business Day of Month Two
     The Special Servicer informs the Company of the loans designated as
     Specially Serviced Mortgage Loans. The Company and the Special Servicer
     coordinate the transfer of servicing of the Specially Serviced Mortgage
     Loans. The Company prepares and mails the mortgagor notification no later
     than the 13th calendar day of the month. If a loan reinstates to a current
     or less than 90 days delinquent status before the mortgagor notification
     (i.e., the "goodbye letter") is sent, such loan will be removed from the
     transfer, and the Company will notify the Special Servicer thereof. The
     borrower will be instructed to send the payment due on the effective date
     of transfer and any past due payments to the Special Servicer.

7th Business Day of Month Two
     Relevant Trustee receives monthly electronic data file from the Company.
     The subject loan is included in the Company's report as an active loan
     serviced by the Company. The Company reports scheduled P&I on the subject
     loan.

On or prior to 15th Calendar Day of Month Two
     The Company sends a foreclosure referral letter to the Special Servicer's
     foreclosure counsel with a corresponding foreclosure package.

18th Calendar Day (or Business day immediately preceding the 18th) of Month Two
     The Company makes its monthly remittance, including advancing scheduled P&I
     payment due for current month for the subject loan.

Last business Day of Month Two
     Month-end cut-off.

                                      R-18

<PAGE>

1st Business Day of Month Three
     Effective Date.

On or Before 3rd Business Day of Month Three
     In accordance with the Servicing Transfer Instructions:

     Company sends Special Servicer final transfer data (e.g., trial balance,
     loan files, current and previous 2 years' history records (if applicable),
     all default-related correspondence, and all collection, foreclosure and
     bankruptcy files);

     Company provides Special Servicer with detailed reimbursement request
     relating to advances; and

     Company sends Special Servicer a check or wire for the net escrow and
     unapplied funds.

On or before the 6th Business Day of Month Three
     In accordance with the Servicing Transfer Instructions, Special Service
     reimburses Company for all outstanding advances, and the scheduled mortgage
     payment due on the Effective Date.

___________________

Note:

1.   If the loan has been transferred to Special Servicer and it cures, Special
     Servicer continues to service the loan and report it to Company as herein
     provided.

2.   If the Class B Certificates of the related Series are reduced to zero,
     Special Servicer will continue to service the mortgage loans until they
     payoff or are liquidated. No other Delinquent Mortgage Loans of a Series
     will be transferred to Special Servicer after the Class B Certificates of
     such Series are reduced to zero.

                                      R-19

<PAGE>

                         SERVICING TRANSFER INSTRUCTIONS
                         -------------------------------

I.       NOTIFICATION OF LOANS TO TRANSFER

A.   Company will coordinate and provide a listing of all loans past 90 days
delinquent. The list will be provided to Special Servicer for review and
discussion on the 4th Business day of each month.

B.   Class B Holder and Special Servicer to agree upon the loans to be
transferred at month-end. The list must be provided via Facsimile or E-mail by
the 6th business day of the month to:

                    [COMPANY]
                    [Address and contact]

II. CONVERSION DATA

Dependent upon the volume of loans transferring each month, the loans will be
transferred effective the first of each month based on the prior month-end cut
off by one of the following mutually agreed upon conversion methods.

A.   Manual conversion

     1.   Company to provide a "master file data record" (COMPANY reference for
          master file data record?) for each loan (accompanied by a listing of
          all code definitions).

     2.   Company to provide a trial balance containing all the loans.

B.   Electronic conversion

     1.   Information will be provided in a Microsoft Excel spreadsheet (or such
          other mutually agreeable format) containing mutually agreed upon
          fields.

     2.   Company to provide a trial balance containing all the loans.

Preliminary information for either a manual or electronic conversion will be
provided within 3 business days of receipt of the List of Loans to Transfer to
provide time for Special Servicer to verify and load the information, with the
exception of the specific data that is determined at the transfer date.

III.     HOMEOWNER NOTIFICATION

A.   Company will mail the mortgagor notification (good-bye letter) fifteen days
prior to the transfer date. Company will forward a copy of its good-bye letter
to Special Servicer c/o [Dept.] (fax number ___-___- ____) for approval prior to
mailing.

B.   Copies of Company's mortgagor notification letters will be provided to
Special Servicer.

C.   Company to receive a sample of Special Servicer's mortgagor notification
(welcome letter) for approval prior to mailing.

                                      R-20

<PAGE>

IV.   HAZARD/FLOOD INSURANCE

A.    Company to prepare a change to the mortgagee clause as follows:

      Address:              ___________________
      Attention:            ___________________
      Telephone:            ___________________
      Facsimile:            ___________________

B.    Copies of the mortgagee clause change requests will be provided to Special
Servicer.

C.    Any unpaid policies, expiration notices, cancellation notices, loans with
expired policies will be properly identified, sorted and marked for special
handling.

D.    Company to provide a list of loans under "force place coverage" program.
Force place hazard insurance policies with ASG will be canceled upon transfer of
the loans. WNC force place flood policy coverage will stay in place after
transfer until the expiration date.

V.    FHA LOANS

A.    Company to provide screen prints to include the following items on FHA
Loans with a monthly premium.

      1.  Loan number
      2.  FHA case number
      3.  Anniversary date
      4.  Annual premium
      5.  Monthly amount
      6.  Total MIP paid to date
      7.  Next month the premium is due

B.    Company to provide screen prints to include the following items on FHA
loans that the full premium was paid up front.

      1.  Loan number
      2.  FHA case number
      3.  Insuring date
      4.  Amount of prepaid premium

C.    Company to prepare HUD Form 92080 with Special Servicer's HUD mortgagee
number (72313) and forward to HUD electronically.  Proof of submission will be
forwarded to Special Servicer.

VI. CONVENTIONAL LOANS

A.    Individual loan PMI certificates will be retained in the Servicing File

B.    Company to prepare notifications to the PMI companies requesting a change
of servicer to Special Servicer.  Copies will be forwarded to Special Servicer.

                                      R-21

<PAGE>

C.    Company to provide screen prints of all loans with PMI to include:

      1.  Loan number
      2.  PMI company
      3.  PMI certificate number
      4.  Next due date
      5.  Last amount paid

VII.  REAL ESTATE TAXES

A.    Company to forward individual loan tax records showing payee, due dates,
frequency of payment, next due date, last paid date and last paid amount.

B     Company to provide copies of the notifications to the individual tax
authorities and the Tax Service requests for a change of servicer to Special
Servicer under the following contract numbers (Transamerica- 2489 Pinnacle -
119)

C.    All property taxes due and payable will be paid prior to the transfer
date.

D.    All tax bills received after the transfer date will be forwarded to
Special Servicer for payment.

E.    Company to provide a listing of any loans with delinquent taxes containing
the pertinent information as of the transfer date.

                                      R-22

<PAGE>

VIII.  OPTIONAL INSURANCE

A.    Company to provide a list of loans with A&H, life insurance, accidental
death insurance, etc., which will include the following information.

      1.  Loan number
      2.  Insurance company
      3.  Type of coverage
      4.  Amount of monthly premium
      5.  Last monthly premium paid

B.    Company to provide copies of the master and/or individual policies for the
insurance coverage.

C.    Company to provide copies of the notification sent to the insurance
companies.

IX.   INVESTOR REPORTS

A.    Company to provide a copy of the final remittance report to the investor
including a trial balance as of cutoff date.

B.    Company to provide ending loan scheduled balance at transfer date.

C.    Company to provide a report detailing advanced delinquent net interest
monthly by due date.

D.    Company to provide a report detailing advanced delinquent principal
monthly by due date.

X.    OTHER

A.    Company to provide hard copies of the last 24 months history for each loan
accompanied by an explanation of transaction codes.

B.    Company to provide copies of the last escrow analysis for each loan with
an explanation of analysis method (cushion, etc.).

C.    Company to provide the loan servicing file in hard copy or microfiche
format.

D.    Company to provide the currently active collection records and pertinent
information on delinquent loans.

E.    Net escrow and unapplied funds as of the transfer date will be sent to
Special Servicer via check or wire within three business days of the transfer,
accompanied by an explanation of Unapplied Funds codes.

F.    The advances (exclusive of escrow advances, which will be handled in
Section X (E) above) incurred by Company will be billed to Special Servicer
accompanied by appropriate documentation. Special Servicer to reimburse Company
via check or wire for all advances (exclusive of escrow advances, which will be
handled in Section X (E) above) on the subject loans within three business days
of receipt of billing.

G.    Company to provide a listing containing the mortgagor name, co-mortgagor
name, property address

                                      R-23

<PAGE>

and mailing address for preparation of Special Servicer's Notification Letters.

H.    Company to provide the following items, sorted and clearly marked for
special handling.

      1.  Active foreclosure and bankruptcy files should have the status shown
on the front of each file.

      2.  Insurance loss drafts should provide all documentation on the current
status.

      3.  Unprocessed payoff funds should be accompanied by a copy of the payoff
quotation.

      4.  Information should be furnished on any pending payoff or assumption.

      5.  Information on any incomplete partial releases should be provided.

I.    Loan payments received after the cutoff will be endorsed to __________ and
forwarded by overnight service to the following address within twenty-four
hours, properly identified with Company's loan number.

      [Address]

Returned Items received after the transfer date will be forwarded to Special
Servicer for reimbursement. Special Servicer to reimburse Company within 10
business days of receipt.

J.    Company to ship all loan files and documentation related to the
individual transfers by the 3rd business day after the cut-off. Any information,
such as preliminary trial balances, master file data records, delinquency
information, etc. will be furnished as early as possible prior to the transfer
date.

                                      R-24

<PAGE>

All shipments to be sent to:

      [Address]

K.    Company to furnish all required IRS reporting statements for the current
year up to the transfer date, both to the mortgagors and to the appropriate
government agencies. Special Servicer to furnish all required year-end reporting
commencing on the effective date of transfer through the year-end.

                                      R-25

<PAGE>

                                                        EXHIBIT A to Schedule II

                   LOAN INFORMATION TO BE PROVIDED TO COMPANY

                                      R-26

<PAGE>

                                    EXHIBIT S

                          FORM OF FORM 10-K CERTIFICATE

     I, [identify the certifying individual], certify that:

     1. I have reviewed the annual report on Form 10-K for the fiscal year
[___], and all reports on Form 8-K containing distribution or servicing reports
filed in respect of periods included in the year covered by that annual report,
of the trust (the "Trust") created pursuant to the Pooling and Servicing
Agreement dated _____________1, 2003 (the "P&S Agreement") among ABN AMRO
Mortgage Corporation (the "Depositor"), ABN AMRO Mortgage Group, Inc. (the
"Servicer") and [Name of Trustee] (the "Trustee");

     2. Based on my knowledge, the information in these reports, taken as a
whole, does not contain any untrue statement of a material fact or omit to state
a material fact necessary to make the statements made, in light of the
circumstances under which such statements were made, not misleading as of the
last day of the period covered by that annual report;

     3. Based on my knowledge, the servicing information required to be provided
to the Trustee by the Servicer under the P&S Agreement is included in these
reports;

     4. I am responsible for reviewing the activities performed by the Servicer
under the P&S Agreement and based upon the review required under the P&S
Agreement, and except as disclosed in the report, the Servicer has fulfilled its
obligations under the P&S Agreement; and

     5. I have disclosed to the Depositor's certified public accountants all
significant deficiencies relating the Servicer's compliance with the minimum
servicing standards in accordance with a review conducted in compliance with the
Uniform Single Attestation Program for Mortgage Bankers as set forth in the P&S
Agreement.

Date:____________

_________________________________*
[Signature]
Name:
Title:

* - to be signed by the senior officer in charge of the servicing functions of
the Servicer

                                       S-1

<PAGE>

                                    EXHIBIT T

             FORM OF BACK-UP CERTIFICATION TO FORM 10-K CERTIFICATE

     I, [identify the certifying individual], on behalf of [__________________]
certify that:

     1. I have reviewed the annual report on Form 10-K for the fiscal year
[___], and all reports on Form 8-K containing distribution or servicing reports
filed in respect of periods included in the year covered by that annual report,
of the trust (the "Trust") created pursuant to the Pooling and Servicing
Agreement dated _____________1, 2003 (the "P&S Agreement") among ABN AMRO
Mortgage Corporation (the "Depositor"), ABN AMRO Mortgage Group, Inc. (the
"Servicer") and [Name of Trustee] (the "Trustee"); and

     2. Based on my knowledge, the information in these reports and any other
information provided by the Trustee, taken as a whole, does not contain any
untrue statement of a material fact or omit to state a material fact necessary
to make the statements made, in light of the circumstances under which the
statements were made, not misleading as of the last day of the period covered by
that annual report.

Date:____________

_________________________________
[Signature]
Name:
Title:

                                       T-1

<PAGE>

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