Document:

Form of Indenture

 Exhibit 4.2 
 INDENTURE 
 dated as of [DATE] 
 by and between 
 ACCREDITED MORTGAGE LOAN TRUST
200[    ]-[    ], 
 as Issuing Entity 
 and 
 [
                                        
         ] 
 as Indenture Trustee 

 This INDENTURE, dated as of [DATE] (as amended or supplemented from time to time as permitted hereby,
this “Indenture”), is between ACCREDITED MORTGAGE LOAN TRUST 200[    ]-[    ], a Delaware statutory trust (together with its permitted successors and assigns, the “Issuing
Entity”), and [                    ], a [national banking association], as Indenture Trustee (together with its permitted successors
in the trusts hereunder, the “Indenture Trustee”). 
 Preliminary Statement 
 The Issuing Entity has duly authorized the execution and delivery of this Indenture to provide for its Asset-Backed Notes, Series
200[    ]-[    ] (the “Notes”), issuable as provided in this Indenture. All covenants and agreements made by the Issuing Entity herein are for the benefit and security of the Holders of the
Notes and the Note Insurer. The Issuing Entity is entering into this Indenture, and the Indenture Trustee is accepting the trusts created hereby, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged.

 All things necessary to make this Indenture a valid agreement of the Issuing Entity in accordance with its terms have been done.

 Granting Clause 
 Subject to the terms of this Indenture, the Issuing Entity hereby Grants to the Indenture Trustee at the Closing Date, as Indenture Trustee for the benefit of the Class A-1 Noteholders and the Note Insurer, all of the Issuing
Entity’s right, title and interest in and to: (i) the Trust Estate relating to Loan Group 1; (ii) all right, title and interest of the Issuing Entity in the Sale and Servicing Agreement with respect to the Group 1 Mortgage Loans
(including the Issuing Entity’s right to cause the Sponsor to repurchase Group 1 Mortgage Loans from the Issuing Entity under certain circumstances described therein); (iii) all present and future claims, demands, causes of action and
choses in action in respect of any or all of the foregoing and all payments on or under and all proceeds of every kind and nature whatsoever in respect of any or all of the foregoing, including all proceeds of the conversion thereof, voluntary or
involuntary, into cash or other liquid property, all cash proceeds, accounts, accounts receivable, notes, drafts, acceptances, chattel paper, checks, deposit accounts, insurance proceeds, condemnation awards, rights to payment of any and every kind
and other forms of obligations and receivables, instruments and other property which at any time constitute all or part of or are included in the proceeds of any of the foregoing, each with respect to Loan Group 1; (iv) all funds on deposit
from time to time in (a) the Collection Account relating to Loan Group 1 and (b) the Payment Account relating to Loan Group 1; (v) all other property of the Issuing Entity relating to Loan Group 1 from time to time; and (vi) any
and all proceeds of the foregoing (collectively with respect to Loan Group 1, the “Group 1 Collateral”). 
 The foregoing
Grant is made in trust to secure the payment of principal of and interest on, and any other amounts owing in respect of, the Class A-1 Notes, equally and ratably without prejudice, priority or distinction, and to secure compliance with the
provisions of this Indenture, all as provided in this Indenture. 
 Subject to the terms of this Indenture, the Issuing Entity hereby Grants
to the Indenture Trustee at the Closing Date, as Indenture Trustee for the benefit of the Class A-2 Noteholders 

  

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and the Note Insurer, all of the Issuing Entity’s right, title and interests in and to: (i) the Trust Estate relating to Loan Group 2;
(ii) all right, title and interest, of the Issuing Entity in the Sale and Servicing Agreement with respect to the Group 2 Mortgage Loans (including the Issuing Entity’s right to cause the Sponsor to repurchase Group 2 Mortgage Loans from
the Issuing Entity under certain circumstances described therein); (iii) all present and future claims, demands, causes of action and choses in action in respect of any or all of the foregoing and all payments on or under and all proceeds of
every kind and nature whatsoever in respect of any or all of the foregoing, including all proceeds of the conversion thereof, voluntary or involuntary, into cash or other liquid property, all cash proceeds, accounts, accounts receivable, notes,
drafts, acceptances, chattel paper, checks, deposit accounts, insurance proceeds, condemnation awards, rights to payment of any and every kind and other forms of obligations and receivables, instruments and other property which at any time
constitute all or part of or are included in the proceeds of any of the foregoing, each with respect to Loan Group 2; (iv) all funds on deposit from time to time in (a) the Collection Account relating to Loan Group 2 and (b) the
Payment Account relating to Loan Group 2; (v) all other property of the Issuing Entity relating to Loan Group 2 from time to time; and (vi) any and all proceeds of the foregoing (collectively with respect to Loan Group 2, the
“Group 2 Collateral”. 
 The foregoing Grant is made in trust to secure the payment of principal of and interest on, and
any), other amounts owing in respect of, the Class A-2 Notes, equally and ratably without prejudice, priority or distinction, and to secure compliance with the provisions of this Indenture, all as provided in this Indenture. 
 [Subject to the terms of this Indenture, the Issuing Entity hereby Grants to the Indenture Trustee at the Closing Date, as Indenture Trustee for the
benefit of the Class A-1 Noteholders, the Class A-2 Noteholders and the Note Insurer, all of the Issuing Entity’s right, title and interest in and to the Reserve Account; provided, however, that with respect to the
Available Funds Cap Carry Forward Amount related to a Class of Notes, only amounts on deposit in the related sub-account of the Reserve Account and the related Yield Maintenance Account are available to pay the related Available Funds Cap
Carry-Forward Amount.] 
 The foregoing Grants shall inure to the benefit of the Note Insurer in respect of draws made on the Note Insurance
Policy and amounts owing from time to time pursuant to the Insurance Agreement, and such Grants shall continue in full force and effect for the benefit of the Note Insurer until all such amounts owing to it have been repaid in full. 
 The Indenture Trustee, as Indenture Trustee on behalf of the holders of each Group of Notes, acknowledges the foregoing Grants, accepts the trusts
hereunder in good faith and without notice of any adverse claim or liens and agrees to perform its duties required in this Indenture as specifically set forth herein to the end that the interests of the holders of the related Notes and the Note
Insurer may be adequately and effectively protected. The Indenture Trustee agrees and acknowledges that each item of Collateral that is physically delivered to the Indenture Trustee will be held by the Indenture Trustee in California. The Indenture
Trustee agrees that it will hold the Note Insurance Policy in trust and that it will hold any proceeds of any claim upon the Note Insurance Policy, solely for the use and benefit of the Noteholders in accordance with the terms hereof and the Note
Insurance Policy. 
  

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 ARTICLE I 
 DEFINITIONS 
 Section 1.01. General Definitions. Except as otherwise specified or as the
context may otherwise require, the terms defined in Appendix I have the respective meanings set forth in such Appendix I for all purposes of this Indenture, and the definitions of such terms are applicable to the singular as well as to the plural
forms of such terms and to the masculine as well as to the feminine genders of such terms. Whenever reference is made herein to an Event of Default or a Default known to the Indenture Trustee or of which the Indenture Trustee has notice or
knowledge, such reference shall be construed to refer only to an Event of Default or Default of which the Indenture Trustee is deemed to have notice or knowledge pursuant to Section 6.01(d). All other terms used herein that are defined in the
Trust Indenture Act (as hereinafter defined), either directly or by reference therein, have the meanings assigned to them therein. 
 ARTICLE II 
 THE NOTES 
 Section 2.01. Forms Generally. The Notes shall be substantially in the form set forth as Exhibit A attached hereto. Each Note may have such letters, numbers or other marks of indemnification and
such legends or endorsements placed thereon as may be required to comply with the rules of any securities exchange on which the Notes may be listed, or as may, consistently herewith, be determined by the Issuing Entity, as evidenced by its execution
thereof. Any portion of the text of any Note may be set forth on the reverse thereof with an appropriate reference on the face of the Note. 
 The Definitive Notes may be produced in any manner determined by the Issuing Entity, as evidenced by its execution thereof. 
 Section 2.02. Form of Certificate of Authentication. The form of the Authenticating Agent’s certificate of authentication is as set forth on the signature page of the form of the Note attached hereto as Exhibit A.

 Section 2.03. General Provisions with Respect to Principal and Interest Payment. The Notes shall be designated generally as the
“Accredited Mortgage Loan Trust 200[_]-[_], Asset-Backed Notes, Series 200[_]-[_]”. 
 The Notes shall be issued in the form
specified in Section 2.01 hereof. The Notes shall be issued in two Classes, the Class A-1 Notes, and Class A-2 Notes. The aggregate Original Note Principal Balance of Notes that may be authenticated and delivered under the Indenture
is limited to $[              ] of Class A-1 Notes and $[              ] of Class A-2 Notes, except for
the Notes authenticated and delivered upon registration of transfer of, or in exchange for, or in lieu of, other Notes pursuant to Sections 2.06, 2.07, or 9.06 of this Indenture. 
  

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 Subject to the provisions of Sections 3.01, 5.07, 5.09 and 8.02 of this Indenture, the principal of each
Class of Notes shall be payable in installments ending no later than the related Final Stated Maturity Date, unless the unpaid principal of such Notes become due and payable at an earlier date by declaration of acceleration or call for redemption or
otherwise. 
 All payments made with respect to any Note shall be applied first to the interest then due and payable on such Note and then to
the principal thereof. All computations of interest accrued on any Note shall be made on the basis of a year of 360 days and the actual number of days elapsed in the related Accrual Period. 
 Notwithstanding any of the foregoing provisions with respect to payments of principal of and interest on the Notes, if the Notes have become or been
declared due and payable following an Event of Default and such acceleration of maturity and its consequences have not been rescinded and annulled, then payments of principal of and interest on the Notes shall be made in accordance with
Section 5.07 hereof. 
 Section 2.04. Denominations. The Notes shall be issuable only as registered Notes in the denominations
equal to the Authorized Denominations. 
 Section 2.05. Execution, Authentication, Delivery and Dating. The Notes shall be executed on
behalf of the Issuing Entity by an Authorized Officer of the Owner Trustee, acting at the direction of the Certificateholders. The signature of such Authorized Officer of the Owner Trustee on the Notes may be manual or by facsimile. 
 Notes bearing the manual or facsimile signature of an individual who was at any time an Authorized Officer of the Owner Trustee shall bind the Issuing
Entity, notwithstanding that such individual has ceased to be an Authorized Officer of the Owner Trustee prior to the authentication and delivery of such Notes or was not an Authorized Officer of the Owner Trustee at the date of such Notes.

 At any time and from time to time after the execution and delivery of this Indenture, the Issuing Entity may deliver Notes executed on
behalf of the Issuing Entity to the Authenticating Agent for authentication, and the Authenticating Agent shall authenticate and deliver such Notes as provided in this Indenture and not otherwise. 
 Each Note authenticated on the Closing Date shall be dated the Closing Date. All other Notes that are authenticated after the Closing Date for any other
purpose hereunder shall be dated the date of their authentication. 
 No Note shall be entitled to any benefit under this Indenture or be
valid or obligatory for any purpose, unless there appears on such Note a certificate of authentication substantially in the form provided for in Section 2.02 hereof, executed by the Authenticating Agent by the manual signature of one of its
Authorized Officers or employees, and such certificate of authentication upon any Note shall be conclusive evidence, and the only evidence, that such Note has been duly authenticated and delivered hereunder. 
 Section 2.06. Registration, Registration of Transfer and Exchange. The Issuing Entity shall cause to be kept a register (the “Note
Register”) in which, subject to such reasonable 

  

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regulations as it may prescribe, the Issuing Entity shall provide for the registration of Notes and the registration of transfers of Notes. The Indenture
Trustee is hereby initially appointed “Note Registrar” for the purpose of registering Notes and transfers of Notes as herein provided. The Indenture Trustee shall remain the Note Registrar throughout the term hereof. Upon any
resignation of the Indenture Trustee, the Servicer, on behalf of the Issuing Entity, shall promptly appoint a successor, with the approval of the Note Insurer, or, in the absence of such appointment, the Servicer, on behalf of the Issuing Entity,
shall assume the duties of Note Registrar. 
 If a Person other than the Indenture Trustee is appointed by the Issuing Entity as Note
Registrar, the Issuing Entity will give the Indenture Trustee prompt written notice of the appointment of such Note Registrar and of the location, and any change in the location, of the Note Register, and the Indenture Trustee shall have the right
to inspect the Note Register at all reasonable times and to obtain copies thereof, and the Indenture Trustee shall have the right to rely upon a certificate executed on behalf of the Note Registrar by an Authorized Officer thereof as to the names
and addresses of the Holders of the Notes and the principal amounts and number of such Notes. 
 Upon surrender for registration of transfer
of any Note at the office or agency of the Issuing Entity to be maintained as provided in Section 3.02 hereof, the Owner Trustee on behalf of the Issuing Entity, acting at the direction of the Certificateholders, shall execute, and the
Authenticating Agent shall authenticate and deliver, in the name of the designated transferee or transferees; one or more new Notes of any authorized denominations and of a like aggregate initial Note Principal Balance. 
 At the option of the Holder, Notes may be exchanged for other Notes of any authorized denominations, and of a like aggregate Note Principal Balance, upon
surrender of the Notes to be exchanged at such office or agency. Whenever any Notes are so surrendered for exchange, the Owner Trustee shall execute, and the Authenticating Agent shall authenticate and deliver, the Notes that the Noteholder making
the exchange is entitled to receive. 
 All Notes issued upon any registration of transfer or exchange of Notes shall be the valid
obligations of the Issuing Entity, evidencing the same debt, and entitled to the same benefits under this Indenture, as the Notes surrendered upon such registration of transfer or exchange. 
 Every Note presented or surrendered for registration of transfer or exchange shall be duly endorsed, or be accompanied by a written instrument of
transfer in the form included in Exhibit A attached hereto, duly executed by the Holder thereof or its attorney duly authorized in writing, with such signature guaranteed by an “eligible guarantor institution” meeting the
requirements of the Note Registrar, which requirements include membership or participation in the Securities Transfer Agent’s Medallion Program (“STAMP”) or such other “signature guarantee program” as may be
determined by the Note Registrar in addition to, or in substitution for, STAMP, all in accordance with the Exchange Act. 
 No service charge
shall be made for any registration of transfer or exchange of Notes, but the Note Registrar may require payment of a sum sufficient to cover any tax or other governmental charge as may be imposed in connection with any registration of transfer or

  

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exchange of Notes, other than exchanges pursuant to Section 2.07 or Section 9.06 hereof not involving any transfer or any exchange made by the Note
Insurer. 
 The Note Registrar shall not register the transfer of a Note unless the Note Registrar has received a representation letter from
the transferee to the effect that either (i) the transferee is a Plan and is not, directly or indirectly, acquiring the Note or any interest therein on behalf of, as investment manager of, as named fiduciary of, as trustee of, or with the
assets of a Plan or (ii) the acquisition and holding of the Note by the transferee qualifies for exemptive relief under a United States Department of Labor prohibited transaction class exemption (or, if the transferee is a Governmental Plan,
will not result in a violation of applicable law). Each Beneficial Owner of a Note which is a Book-Entry Note shall be deemed to make one of the foregoing representations. 
 Section 2.07. Mutilated, Destroyed, Lost or Stolen Notes. If (1) any mutilated Note is surrendered to the Note Registrar or the Note
Registrar receives evidence to its satisfaction of the destruction, loss or theft of any Note, and (2) there is delivered to the Note Registrar such security or indemnity as may be required by the Note Registrar to save each of the Issuing
Entity, the Owner Trustee, the Note Insurer and the Note Registrar harmless, then, in the absence of notice to the Note Registrar that such Note has been acquired by a bona fide purchaser, the Owner Trustee on behalf of the Issuing Entity, acting at
the direction of the Certificateholders, shall execute and upon its delivery of a Trust Request the Authenticating Agent shall authenticate and deliver, in exchange for or in lieu of any such mutilated, destroyed, lost or stolen Note, a new Note or
Notes of the same tenor and aggregate initial principal amount bearing a number not contemporaneously outstanding. If, after the delivery of such new Note, a bona fide purchaser of the original Note in lieu of which such new Note was issued presents
for payment such original Note, the note Registrar, shall be entitled to recover such new Note from the person to whom it was delivered or any person taking therefrom, except a bona fide purchaser, and shall be entitled to recover upon the security
or indemnity provided therefor to the extent of any loss, damage, cost or expenses incurred by the Issuing Entity, the Owner Trustee, the Note Insurer or the Note Registrar in connection therewith. If any such mutilated, destroyed, lost, or stolen
Note shall have become or shall be about to become due and payable, or shall have become subject to redemption in full, instead of issuing a new Note, the Issuing Entity may pay such Note without surrender thereof, except that any mutilated Note
shall be surrendered. 
 Upon the issuance of any new Note under this Section 2.07, the Note Registrar, 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 reasonable expenses (including the fees and expenses of the Issuing Entity, the Indenture Trustee or the Note Registrar) connected
therewith. 
 Every new Note issued pursuant to this Section 2.07 in lieu of any destroyed, lost or stolen Note shall constitute an
original contractual obligation of the Issuing Entity, whether or not the destroyed, lost or stolen Note shall be at any time enforceable by anyone, and shall be entitled to all the benefits of this Indenture equally and proportionately with any and
all other Notes duly issued hereunder. 
  

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 The provisions of this Section 2.07 are exclusive and shall preclude (to the extent lawful) all
other rights and remedies with respect to the replacement or payment of mutilated, destroyed, lost or stolen Notes. 
 Section 2.08.
Payments of Principal and Interest. (a) Payments on Notes issued as Book-Entry Notes will be made by or on behalf of the Indenture Trustee to the Clearing Agency or its nominee. Any installment of interest or principal payable on any
Definitive Notes that is punctually paid or duly provided for by the Issuing Entity on the applicable Payment Date shall be paid to the Person in whose name such Note (or one or more Predecessor Notes) is registered at the close of business on the
Record Date for such Class of Notes and such Payment Date by either (i) wire transfer of immediately available funds to the account of a Noteholder, if such Noteholder has provided the Indenture Trustee with wiring instructions in writing by
five (5) Business Days prior to the related Record Date or has provided the Indenture Trustee with such instructions for any previous Payment Date or (ii) check mailed to such Person’s address as it appears in the Note Register on
such Record Date, except for the final installment of principal payable with respect to such Note, which shall be payable as provided in subsection (b) of this Section 2.08. A fee may be charged by the Indenture Trustee to a Holder of
Definitive Notes for any payment made by wire transfer. Any installment of interest or principal not punctually paid or duly provided for shall be payable as soon as funds are available to the Indenture Trustee for payment thereof, or if
Section 5.07 applies, pursuant to Section 5.07. 
 Payments on Certificates will be made by or on behalf of the Indenture Trustee
to or at the direction of the Person in whose name such Certificate is registered by either (i) wire transfer of immediately available funds to the account directed by a Certificateholder, if such Certificateholder (A) is Accredited Home
Lenders, Inc. or its affiliate and (B) has provided the Indenture Trustee with wiring instructions in writing by five (5) Business Days prior to the related payment Date or has provided the Indenture Trustee with such instructions for any
previous Payment Date or (ii) check mailed to such Person’s address as it appears in the Certificate Register on such Record Date. A fee may be charged by the Indenture Trustee to a Certificateholder for any payment made by wire transfer.
The Indenture Trustee shall be entitled to rely on information provided by the Owner Trustee as Certificate Registrar as to all matters related to the Certificate Registrar and the Certificates. 
 (b) All reductions in the Note Principal Balance of a Note (or one or more Predecessor Notes) effected by payments of installments of
principal made on any Payment Date shall be binding upon all Holders of such Note and of any Note issued upon the registration of transfer thereof or in exchange therefor or in lieu thereof, whether or not such payment is noted on such Note. The
final installment of principal of each Note shall be payable only upon presentation and surrender thereof on or after the Payment Date therefor at the designated office of the Indenture Trustee located within the United States of America pursuant to
Section 3.02. 
 Whenever the Indenture Trustee expects that the entire unpaid Note Principal Balance of any Note will become due and
payable on the next Payment Date, other than pursuant to a redemption pursuant to Article X, it shall, no later than two (2) Business Days prior to such Payment Date, mail to each Person in whose name a Note to be so retired is registered at
the close of business on such otherwise applicable Record Date a notice to the effect that: 
 (i) the Indenture Trustee
expects that funds sufficient to pay such final installment will be available in the related Payment Account on such Payment Date; and 
  

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 (ii) if such funds are available, (a) such final installment will be payable on such
Payment Date, but only upon presentation and surrender of such Note at the office or agency of the Note Registrar maintained for such purpose pursuant to Section 3.02 (the address of which shall be set forth in such notice) and (b) no
interest shall accrue on such Note after such Payment Date. 
 A copy of such form of notice shall be sent to the Note Insurer by the
Indenture Trustee. 
 Notices in connection with redemptions of Notes shall be mailed to Noteholders in accordance with Section 10.02
hereof. 
 (c) Subject to the foregoing provisions of this Section 2.08, each Note delivered under this Indenture upon
registration of transfer of or in exchange for or in lieu of any other Note shall carry the rights to unpaid principal and interest that were carried by such other Note. Any checks mailed pursuant to paragraph (a) of this Section 2.08 and
returned undelivered shall be held in accordance with Section 3.03 hereof. 
 (d) The Indenture Trustee’s Remittance
Report, shall be prepared by the Indenture Trustee based on the loan level data provided in the Servicer Remittance Report delivered to the Indenture Trustee pursuant to the Sale and Servicing Agreement. The Indenture Trustee shall not have any
responsibility to recalculate, verify or recompute information contained in any tape, electronic data file or disk or Servicer Remittance Report delivered to the Indenture Trustee pursuant to the Sale and Servicing Agreement except to the extent
necessary to satisfy all obligations under this Section 2.08(d). 
 Within thirty (30) days after the end of each calendar year,
the Indenture Trustee will be required to furnish to each Person who at any time during the calendar year was a Noteholder, if requested in writing by such person, a statement containing the information set forth in subclauses (a), (b) and
(c) in the definition of “Indenture Trustee’s Remittance Report,” aggregated for such calendar year. Such obligation will be deemed to have been satisfied to the extent that substantially comparable information is provided
pursuant to any requirements of the Code as are from time to time in force. 
 From time to time (but no more than once per calendar month),
upon the written request of the Depositor, the Sponsor, the Servicer or the Note Insurer, the Indenture Trustee shall report to the Depositor, the Sponsor, the Servicer and the Note Insurer the amount then held in each Account (including investment
earnings accrued) held by the Indenture Trustee and the identity of the investments included therein. From time to time, at the request of the Note Insurer, the Indenture Trustee shall report to the Note Insurer with respect to the actual knowledge
of a Responsible Officer, without independent investigation, of any breach of any of the representations or warranties relating to individual Mortgage Loans set forth in Section 4.01 of the Sale and Servicing Agreement. The Indenture Trustee
shall also provide the Note Insurer such other information within its control as may be reasonably requested by the Note Insurer. 
  

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 Section 2.09. Persons Deemed Owner. Prior to due presentment for registration of transfer of any
Note, any agent on behalf of the Issuing Entity including but not limited to the Indenture Trustee, or the Note Insurer, may treat the Person in whose name any Note is registered as the owner of such Note (a) on the applicable Record Date for
the purpose of receiving payments of the principal of and interest on such Note and (b) on any other date for all other purposes whatsoever, and none of the Issuing Entity, the Indenture Trustee or any other agent of the Issuing Entity, or the
Note Insurer shall be affected by notice to the contrary. 
 Section 2.10. Cancellation. All Notes surrendered for payment,
registration of transfer, exchange or redemption shall, if surrendered to any Person other than the Note Registrar, be delivered to the Note Registrar and shall be promptly canceled by it. The Owner Trustee, on behalf of the Issuing Entity, shall
deliver to the Note Registrar for cancellation any Note previously authenticated and delivered hereunder which the Owner Trustee, on behalf of the Issuing Entity may have acquired in any manner whatsoever, and all Notes so delivered shall be
promptly canceled by the Note Registrar. No Notes shall be authenticated in lieu of or in exchange for any Notes canceled as provided in this Section 2.10, except as expressly permitted by this Indenture. All canceled Notes held by the Note
Registrar shall be held by the Note Registrar in accordance with its standard retention policy, unless the Owner Trustee, on behalf of the Issuing Entity shall direct within 5 Business Days of receipt of the cancelled Note by a Trust Order that they
be destroyed or returned to it. 
 Section 2.11. Authentication and Delivery of Notes. The Notes shall be executed by an Authorized
Officer of the Owner Trustee, on behalf of the Issuing Entity; and delivered to the Authenticating Agent for authentication, and thereupon the same shall be authenticated and delivered by the Authenticating Agent, upon a Trust Request and upon
receipt by the Authenticating Agent of all of the following: 
 (a) A Trust Order authorizing the execution, authentication
and delivery of the Notes and specifying the Note Principal Balance and the Percentage Interest of such Notes to be authenticated and delivered. 
 (b) If required, one or more Opinions of Counsel (which opinion shall not be at the expense of the Indenture Trustee or the Issuing Entity) addressed to the Authenticating Agent and the Note Insurer or upon which the
Authenticating Agent and the Note Insurer are expressly permitted to rely, complying with the requirements of Section 11.01, reasonably satisfactory in form and substance to the Authenticating Agent and the Note Insurer. 
 In rendering the opinions set forth above, such counsel may rely upon Officer’s Certificates of the Issuing Entity, the Owner Trustee, the
Depositor, the Sponsor, the Servicer and the Indenture Trustee, without independent confirmation or verification with respect to factual matters relevant to such opinions. In rendering the opinions set forth above, such counsel need express no
opinion as to (a) the existence of, or the priority of the security interest created by the Indenture against, any liens or other interests that arise by operation of law and that do not require any filing or similar action in order to take
priority over a perfected security interest or (b) the priority of the security interest created by this Indenture with respect to any claim or lien in favor of tile United States or any agency or instrumentality thereof (including federal tax
liens and liens arising under Title IV of ERISA). 
  

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 The acceptability to the Note Insurer of the Opinion of Counsel delivered to the Authenticating Agent and
the Note Insurer at the Closing Date shall be conclusively evidenced by the delivery on the Closing Date of the Note Insurance Policy. 
 (c) An Officer’s Certificate of the Issuing Entity complying with the requirements of Section 11.01 and stating that: 
 (i) the Issuing Entity is not in Default under this Indenture and the issuance of the Notes will not result in any breach of any of the
terms, conditions or provisions of, or constitute a default under, the Issuing Entity’s Certificate of Trust or any indenture, mortgage, deed of trust or other agreement or instrument to which the Issuing Entity is a party or by which it is
bound, or any order of any court or administrative agency entered in any proceeding to which the Issuing Entity is a party or by which it may be bound or to which it may be subject, and that all conditions precedent provided in this Indenture
relating to the authentication and delivery of the Notes have been complied with; 
 (ii) the Issuing Entity is the owner of
each Mortgage Loan, free and clear of any lien, security interest or charge, has not assigned any interest or participation in any such Mortgage Loan (or, if any such interest or participation has been assigned, it has been released), and has the
right to Grant each such Mortgage Loan to the Indenture Trustee; 
 (iii) the information set forth in the Mortgage Loan
Schedule attached as Schedule 1 to this Indenture is correct; 
 (iv) the Issuing Entity has Granted to the Indenture Trustee
all of its right, title and interest in each Mortgage Loan; and 
 (v) as of the Closing Date, no lien in favor of the United
States described in Section 6321 of the Code, or lien in favor of the Pension Benefit Guaranty Corporation described in Section 4068(a) of the ERISA, has been filed as described in subsections 6323(f) and 6323(g) of the Code upon any
property belonging to the Issuing Entity. 
 (d) An executed counterpart of the Sale and Servicing Agreement. 
 (e) An executed counterpart of the Cap Agreements. 
 (f) An executed counterpart of the Trust Agreement. 
 (g) An executed copy of the Insurance Agreement. 
 (h) An executed copy of the Note Insurance Policy. 
 (i) A copy of a letter from each of the Rating Agencies that it has assigned the ratings to each Class of the Notes as set forth in the
Prospectus Supplement. 
 (j) Evidence of the establishment of the Accounts. 
  

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 Section 2.12. Book-Entry Note. The Notes will be issued initially as one or more certificates in
the name of Cede & Co., as nominee for the Clearing Agency maintaining book-entry records with respect to ownership and transfer of such Notes, and registration of the Notes may not be transferred by the Note Registrar except upon the
termination of the book-entry system as described in Section 2.13. In such case, the Note Registrar shall deal with the Clearing Agency as representative of the Beneficial Owners of such Notes for purposes of exercising the rights of
Noteholders hereunder. Each payment of principal of and interest on a Book-Entry Note shall be paid to the Clearing Agency, which shall credit the amount of such payments to the accounts of its Clearing Agency Participants in accordance with its
normal procedures. Each Clearing Agency Participant shall be responsible for disbursing such payments to the Beneficial Owners of the Book-Entry Notes that it represents and to each indirect participating brokerage firm (a “brokerage
firm” or “indirect participating firm”) for which it acts as agent. Each brokerage firm shall be responsible for disbursing funds to the Beneficial Owners of the Book-Entry Notes that it represents. All such credits and
disbursements are to be made by the Clearing Agency and the Clearing Agency Participants in accordance with the provisions of the Notes. None of the Indenture Trustee, the Note Registrar, if any, the Issuing Entity or the Note Insurer shall have any
responsibility therefor except as otherwise provided by applicable law. Requests and directions from, and votes of, such representatives shall not be deemed to be inconsistent if they are made with respect to different Beneficial Owners. 

Section 2.13. Termination of Book Entry System. (a) The book-entry system through the Clearing Agency with respect to the Book-Entry Notes
may be terminated upon the happening of any of the following: 
 (i) The Clearing Agency advises the Indenture Trustee that
the Clearing Agency is no longer willing or able to discharge properly its responsibilities as nominee and depository with respect to the Notes and a qualified successor Clearing Agency satisfactory to the Servicer is not located, on behalf of the
Issuing Entity; or 
 (ii) After the occurrence of an Event of Default (at which time the Indenture Trustee shall promptly
notify the Clearing Agency of such Event of Default and instruct the Clearing Agency to forward such notice to the Beneficial Owners), the Beneficial Owners representing in the aggregate more than 50% of the Note Principal Balance of the Book-Entry
Notes advise the Indenture Trustee in writing, through the related Clearing Agency Participants and the Clearing Agency, that the continuation of a book-entry system through the Clearing Agency to the exclusion of any Definitive Notes being issued
to any person other than the Clearing Agency or its nominee is no longer in the best interests of the Beneficial Owners. 
 (b) Upon the occurrence of any event described in subsection (a) of this Section 2.13, the Indenture Trustee shall instruct the Clearing Agency to notify all Beneficial Owners, of the occurrence of such event and of the
availability of Definitive Notes to Beneficial Owners requesting the same, in an aggregate outstanding Note Principal Balance representing the interest of each, making such adjustments and allowances as it may find necessary or appropriate as to
accrued interest and previous calls for redemption. Definitive Notes shall be issued only upon surrender to the Indenture Trustee of the global Note by the Clearing Agency, accompanied by registration instructions for the Definitive Notes. Neither
the Issuing Entity nor 

  

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the Indenture 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 issuance of the Definitive Notes, all references herein to obligations imposed upon or to be performed by the Clearing Agency shall cease to be applicable and the provisions relating to Definitive Notes shall be applicable.

 ARTICLE III 
 COVENANTS, REPRESENTATIONS AND WARRANTIES 
 Section 3.01. Payment of Notes. The Issuing Entity will pay or cause to
be duly and punctually paid the principal of, and interest on, the Notes in accordance with the terms of the Notes and this Indenture. The Notes shall be non-recourse obligations of the Issuing Entity and shall be limited in right of payment to
amounts available from the Trust Estate as provided in this Indenture and the Issuing Entity shall not otherwise be liable for payments on the Notes. No person shall be personally liable for any amounts payable under the Notes. If any other
provision of this Indenture conflicts or is deemed to conflict with the provisions of this Section 3.01, the provisions of this Section 3.01 shall control. 
 Section 3.02. Maintenance of Office or Agency. The Indenture Trustee will always maintain an office at a location in the United States of America where Notes may be surrendered for registration of transfer or
exchange, which as of the Closing Date shall be located at the Corporate Trust Office. Notices and demands to or upon the Issuing Entity in respect of the Notes and this Indenture may be delivered at the Corporate Trust Office of the Indenture
Trustee. 
 The Owner Trustee, at the direction of the Certificateholders, on behalf of the Issuing Entity may also from time to time, at the
expense of the Certificateholders, designate one or more other offices or agencies within the United States of America where the Notes may be presented or surrendered for any or all such purposes and may from time to time rescind such designations;
provided, however, any designation of an office or agency for payment of Notes shall be subject to Section 3.03 hereof. The Owner Trustee, at the direction of the Certificateholders, on behalf of the Issuing Entity will give prompt written
notice to the Indenture Trustee and the Note Insurer of any such designation or rescission and of any change in the location of any such other office or agency. 
 Section 3.03. Money for Note Payments to Be Held in Trust. All payments of amounts due and payable with respect to any Notes that are to be made from amounts withdrawn from the related Payment Account pursuant
to Sections 5.07 or 8.02 hereof shall be made on behalf of the Issuing Entity by the Indenture Trustee, and no amounts so withdrawn from the related Payment Account for payments on the Notes shall be paid over to the Issuing Entity under any
circumstances except as provided in this Section 3.03 or in Sections 5.07 or 8.02 hereof. 
 With respect to Definitive Notes, if the
Issuing Entity shall have a Note Registrar that is not also the Indenture Trustee, such Note Registrar shall furnish, no later than the fifth (5th) calendar day after each Record Date, a list, in such form as such Indenture Trustee may 

  

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reasonably require, of the names and addresses of the Holders of Notes and of the number of Individual Notes held by each such Holder. 
 Whenever the Issuing Entity shall have a Paying Agent other than the Indenture Trustee, the Servicer, on behalf of the Issuing Entity, will, on or before
the Business Day next preceding each Payment Date, direct the Indenture Trustee to deposit with such Paying Agent an aggregate sum sufficient to pay the amounts then becoming due (to the extent funds are then available for such purpose in the
related Payment Account), such sum to be held in trust for the benefit of the Persons entitled thereto. Any moneys deposited with a Paying Agent in excess of an amount sufficient to pay the amounts then becoming due on the Notes with respect to
which such deposit was made shall, upon Trust Order, be paid over by such Paying Agent to the Indenture Trustee for application in accordance with Article VIII hereof. 
 Subject to the prior written consent of the Note Insurer, any Paying Agent other than the Indenture Trustee, may be appointed by Trust Order and at the expense of the Issuing Entity. The Issuing Entity shall not
appoint any Paying Agent (other than the Indenture Trustee) that is not, at the time of such appointment, a depository institution or trust company whose obligations would be Permitted Investments pursuant to clause (b) of the definition of the
term “Permitted Investments”. The Servicer, on behalf of the Issuing Entity, will cause each Paying Agent other than the Indenture Trustee to execute and deliver to the Indenture Trustee and the Owner Trustee, on behalf of the Issuing
Entity, an instrument in which such Paying Agent shall agree with the Indenture Trustee (and if the Indenture Trustee acts as Paying Agent, it hereby so agrees), subject to the provisions of this Section 3.03, that such Paying Agent will:

 (a) allocate all sums received for payment to the Holders of Notes on each Payment Date among such Holders in the
proportion specified in the applicable Indenture Trustee’s Remittance Report, in each case to the extent permitted by applicable law; 
 (b) hold all sums held by it for the payment of amounts due with respect to the Notes in trust for the benefit of the Persons entitled thereto until such sums shall be paid to such Persons or otherwise disposed of as
herein provided and pay such sums to such Persons as herein provided; 
 (c) if such Paying Agent is not the Indenture
Trustee, immediately resign as a Paying Agent and forthwith pay to the Indenture Trustee all sums held by it in trust for the payment of the Notes if at any time the Paying Agent ceases to meet the standards set forth above required to be met by a
Paying Agent at the time of its appointment; 
 (d) if such Paying Agent is not the Indenture Trustee, give the Indenture
Trustee notice of any Default by the Issuing Entity (or any other obligor upon the Notes) in the making of any payment required to be made with respect to any Notes for which it is acting as Paying Agent; 
 (e) if such Paying Agent is not the Indenture Trustee, at any time during the continuance of any Default by the Issuing Entity (or any
other obligor upon the Notes), upon the written request of the Indenture Trustee, forthwith pay to the Indenture Trustee all sums so held in trust by such Paying Agent; and 
  

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 (f) comply with all requirements of the Code, and all regulations thereunder, with
respect to withholding from any payments made by it on any Notes of any applicable withholding taxes imposed thereon and with respect to any applicable reporting requirements in connection therewith; provided, however, that with
respect to withholding and reporting requirements applicable to original issue discount (if any) on any of the Notes, the Servicer, on behalf of the Issuing Entity, has provided the calculations pertaining thereto to the Indenture Trustee and the
Paying Agent. 
 The Issuing Entity may at any time, for the purpose of obtaining the satisfaction and discharge of this Indenture or any
other purpose, by Trust Order direct any Paying Agent, if other than the Indenture Trustee, to pay to the Indenture Trustee all sums held in trust by such Paying Agent, such sums to be held by the Indenture Trustee in the same trusts as such sums
were held by such Paying Agent; and upon such payment by any Paying Agent to the Indenture Trustee, such Paying Agent shall be released from all further liability with respect to such money. 
 Any money held by the Indenture Trustee or any Paying Agent in trust for the payment of any amount due with respect to any Note and remaining unclaimed
for two and one-half years after such amount has become due and payable to the Holder of such Note (or if earlier, three months before the date on which such amount would escheat to a governmental entity under applicable law) shall be discharged
from such trust and paid to the Issuing Entity; and the Holder of such Note shall thereafter, as an unsecured general creditor, look only to the Issuing Entity for payment thereof (but only to the extent of the amounts so paid to the Issuing
Entity), and all liability of the Indenture Trustee or such Paying Agent with respect to such trust money shall thereupon cease. The Indenture Trustee may adopt and employ, at the expense of the Issuing Entity, any reasonable means of notification
of such repayment (including, but not limited to, mailing notice of such repayment to Holders whose Notes have been called but have not been surrendered for redemption or whose right to or interest in moneys due and payable but not claimed is
determinable from the records of the Indenture Trustee or an), Paying Agent, at the last address of record for each such Holder). 
 Section
3.04. Existence of Issuing Entity. (a) Subject to paragraphs (b) and (c) of this Section 3.04, the Issuing Entity will keep in full effect its existence, rights and franchises as a statutory trust under the laws of the
State of Delaware or under the laws of any other state of the United States of America, and will obtain and preserve its qualification to do business in each jurisdiction in which such qualification is or shall be necessary to protect the validity
and enforceability of this Indenture, the Notes and the other Basic Documents. 
 (b) Subject to Section 3.09(g) hereof,
and with the prior written consent of the Note Insurer, any entity into which the Issuing Entity may be merged or with which it may be consolidated, or any entity resulting from any merger or consolidation to which the Issuing Entity shall be a
party, shall be the successor issuing entity under this Indenture without the execution or filing of any paper, instrument or further act to be done on the part of the parties hereto, anything in any agreement relating to such merger or
consolidation, by which any such Issuing Entity may seek to retain certain powers, rights and privileges therefore obtaining for any period of time following such merger or consolidation to the contrary notwithstanding (other than
Section 3.09(g)). 
  

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 (c) Upon any consolidation or merger of or other succession to the Issuing Entity in
accordance with this Section 3.04, the Person formed by or surviving such consolidation or merger (if other than the Issuing Entity) may exercise every right and power of, and shall have all of the obligations of, the Issuing Entity under this
Indenture with the same effect as if such Person had been named as the issuing entity herein. 
 Section 3.05. Protection of Trust
Estate. (a) The Issuing Entity will, from time to time, execute and deliver all such supplements and amendments hereto and all such financing statements, continuation statements, instruments of further assurance and other instruments, and
will take such other action as may be necessary or advisable to: 
 (i) Grant more effectively all or any portion of the Trust
Estate as made by this Indenture; 
 (ii) maintain or preserve the lien of this Indenture or carry out more effectively the
purposes hereof; 
 (iii) perfect, publish notice of or protect the validity of any Grant made or to be made by this
Indenture; 
 (iv) enforce any of the Mortgage Loans or the Sale and Servicing Agreement; or 
 (v) preserve and defend title to the Trust Estate and the rights of the Indenture Trustee, the Noteholders and the Note Insurer in the
Mortgage Loans and the other property held as part of the Trust Estate against the claims of all Persons and parties. 
 (b)
The Indenture Trustee shall not remove any portion of the Trust Estate that consists of money or is evidenced by an instrument, certificate or other writing from the jurisdiction in which it was held at the Closing Date (provided that the Indenture
Trustee may allow for the release of the Indenture Trustee’s Mortgage File as provided in the Sale and Servicing Agreement and may also move its files to the State of California) or cause or permit ownership or the pledge of any portion of the
Trust Estate that consists of book-entry securities to be recorded on the books of a Person located in a different jurisdiction from the jurisdiction in which such ownership or pledge was recorded at such time unless the Indenture Trustee shall have
first received an Opinion of Counsel to the effect that the lien and security interest created by this Indenture with respect to such property will continue to be maintained after giving effect to such action or actions. 
 Section 3.06. Opinions as to the Trust Estate. On or before March 15th in each calendar year, beginning in 200[_], the Servicer, on behalf of
the Issuing Entity, shall furnish to the Indenture Trustee and the Note Insurer an Opinion of Counsel reasonably satisfactory in form and substance to the Indenture Trustee and the Note Insurer either stating that, in the opinion of such counsel,
such action has been taken as is necessary to maintain the lien and security interest created by this Indenture and reciting the details of such action or stating that in the opinion of such counsel no such action is necessary to maintain such lien
and security interest. Such Opinion of Counsel shall also describe all such action, if any, that will, in the opinion of such 

  

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counsel, be required to be taken to maintain the lien and security interest of this Indenture with respect to the Trust Estate until May 1st in the
following calendar year. 
 Section 3.07. Performance of Obligations. (a) The Issuing Entity shall punctually perform and observe
all of its obligations under this Indenture and the other Basic Documents. 
 (b) The Issuing Entity shall not take any action
and will use its Best Efforts not to permit any action to be taken by others that would release any Person from any of such Person’s covenants or obligations under any of the Mortgage Files or under any instrument included in the Trust Estate,
or that would result in the amendment, hypothecation, subordination, termination or discharge of, or impair the validity or effectiveness of, any of the documents or instruments contained in the Mortgage Files, except as expressly permitted in this
Indenture, the other Basic Documents or such document included in the Mortgage File or other instrument or unless such action will not adversely affect the interests of the Noteholders and the Note Insurer. 
 (c) If the Servicer or the Owner Trustee, on behalf of the Issuing Entity, shall have actual knowledge of the occurrence of a Servicer
Event of Default, the Servicer or the Owner Trustee, as applicable, shall promptly notify the Indenture Trustee, the Note Insurer and the Rating Agencies thereof, and, in the case of the Servicer, shall specify in such notice the action, if any, the
Servicer is taking with respect to such default. 
 (d) Upon any termination of the Servicer’s rights and powers pursuant
to the Sale and Servicing Agreement, the Indenture Trustee shall promptly notify the Note Insurer and the Rating Agencies. As soon as any successor Servicer is appointed, the Indenture Trustee shall notify the Note Insurer and the Rating Agencies,
specifying in such notice the name and address of such successor Servicer. 
 Section 3.08. Investment Company Act. The Issuing Entity
shall at all times conduct its operations so as not to be subject to, or shall comply with, the requirements of the Investment Company Act of 1940, as amended (or any successor statute), and the rules and regulations thereunder. 
 Section 3.09. Negative Covenants. The Issuing Entity shall not: 
 (a) sell, transfer, exchange or otherwise dispose of any portion of the Trust Estate, except as expressly permitted by this Indenture and
the other Basic Documents; 
 (b) claim any credit on, or make any deduction from, the principal of, or interest on, any of
the Notes (other than amounts properly withheld from such payments under the Code) or assert any claim against any present or former Noteholder by reason of the payment of any taxes levied or assessed upon any portion of the Trust Estate;

 (c) engage in any business or activity other than as permitted by the Trust Agreement or other than in connection with, or
relating to, the issuance of the Notes pursuant to this Indenture, or amend the Trust Agreement, as in effect on the Closing Date, other than in accordance with Section 12.01 of the Trust Agreement; 
  

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 (d) incur, issue, assume or otherwise become liable for any indebtedness other than the
Notes; 
 (e) incur, assume, guaranty or agree to indemnify any Person with respect to any indebtedness of any Person, except
for such indebtedness as may be incurred by the Issuing Entity in connection with the issuance of the Notes pursuant to this Indenture; 
 (f) subject to Article X of the Trust Agreement, dissolve or liquidate in whole or in part (until the Notes are paid in full); 
 (g) (i) permit the validity or effectiveness of this Indenture or any Grant to be impaired, or permit the lien of this Indenture to be
impaired, amended, hypothecated, subordinated, terminated or discharged, or permit any Person to be released from any covenants or obligations under this Indenture, except as may be expressly permitted hereby, (ii) permit any lien, charge,
security interest, mortgage or other encumbrance (other than the lien of this Indenture) to be created on or extend to or otherwise arise upon or burden the Trust Estate or any pall thereof or any interest therein or the proceeds thereof; or
(iii) permit the lien of this Indenture not to constitute a valid perfected first priority (other than with respect to any such tax, mechanics’ or other lien) security interest in the Trust Estate; or 
 (h) take any other action that should reasonably be expected to, or fail to take any action if such failure should reasonably be expected
to, cause the Issuing Entity to be subject to federal income tax. 
 Section 3.10. Annual Statement as to Compliance. On or before
March 15, 200[_], and each March 15 thereafter, the Servicer, on behalf of the Issuing Entity, shall deliver to the Indenture Trustee, the Note Insurer and the Sponsor a written statement, signed by an Authorized Officer of the Servicer,
on behalf of the Issuing Entity, stating that: 
 (i) a review of the fulfillment by the Issuing Entity during such year of
its obligations under this Indenture has been made under such Authorized Officer’s supervision; and 
 (ii) to the best
of such Authorized Officer’s knowledge, based on such review, the Issuing Entity has complied with all conditions and covenants under this Indenture throughout such year, or, if there has been a Default in the fulfillment of any such covenant
or condition, specifying each such Default known to such Authorized Officer and the nature and status thereof. 
 Section 3.11. Restricted
Payments. The Issuing Entity shall not, directly or indirectly, (i) pay any dividend or make any distribution (by reduction of capital or otherwise), whether in cash, property, securities or a combination thereof, to the Owner Trustee or
any owner of a beneficial interest in the Issuing Entity or otherwise with respect to any ownership or equity interest or security in or of the Issuing Entity or to the Servicer, (ii) redeem, purchase, retire or otherwise acquire for value any
such ownership or equity interest or security or (iii) set aside or otherwise segregate any amounts for any such purpose; provided, however, that the Issuing Entity may make, or cause to be made, distributions to the Servicer, the Indenture
Trustee, the Owner Trustee, the Note Insurer, the Noteholders and the Certificateholders as contemplated by, 

  

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and to the extent funds are available for such purpose under this Indenture and the other Basic Documents and the Issuing Entity will not, directly or
indirectly, make or cause to be made payments to or distributions from any Payment Account except in accordance with this Indenture. 
 Section 3.12. Treatment of Notes as Debt for Tax Purposes. For purposes of federal, state and local income, franchise and any other income taxes, the Issuing Entity will treat the Notes, other than Notes held by the Depositor, as
indebtedness, and hereby instructs the Indenture Trustee, Paying Agent and the Servicer, on behalf of the Issuing Entity to treat the Notes, other than Notes held by the Depositor, as indebtedness for all applicable tax reporting purposes.

 Section 3.13. Notice of Events of Default. The Servicer, on behalf of the Issuing Entity, shall give the Indenture Trustee, the
Note Insurer, the Rating Agencies and the Sponsor prompt written notice of each Event of Default hereunder of which it has knowledge, each default on the part of the Servicer of its obligations under the Sale and Servicing Agreement and each default
on the part of the Sponsor of its obligations under the Sale and Servicing Agreement. 
 Section 3.14. Further Instruments and Acts.
Upon written request of the Indenture Trustee or the Note Insurer, the Owner Trustee, on behalf of the Issuing Entity, will execute and deliver such further instruments and do such further acts as may be reasonably necessary or proper to carry out
more effectively the purpose of this Indenture. 
 Section 3.15. Representation and Warranties of the Issuing Entity. 
 (a) The Issuing Entity represents and warrants to the Indenture Trustee, the Depositor, the Sponsor, the Note Insurer and the Servicer
that the Issuing Entity is duly authorized under applicable law and the Trust Agreement to create and issue the Notes, to execute and deliver this Indenture, the Sale and Servicing Agreement and the other documents referred to herein to which it is
a party and all instruments included in the Collateral which it has executed and delivered, and that all Issuing Entity action and governmental consents, authorizations and approvals necessary or required therefor have been duly and effectively
taken or obtained. The Notes, when issued, will be, and this Indenture and such other documents are, valid and legally binding obligations of the Issuing Entity enforceable in accordance with their terms, except as may be limited by bankruptcy,
insolvency, reorganization, moratorium, liquidation, fraudulent conveyance or other similar laws affecting the enforcement of creditors’ rights in general and by general principles of equity, regardless of whether such enforceability shall be
considered in a proceeding in equity or in law. 
 (b) The Issuing Entity represents and warrants that, immediately prior to
its Grant of the Collateral provided for herein, it had good title to, and was the sole owner of, the Mortgage Loans, free and clear of any pledge, lien, encumbrance or security interest. 
 (c) The Issuing Entity represents and warrants that the Indenture Trustee has a valid and enforceable first priority security interest in
the Mortgage Loans, subject only to exceptions permitted hereby. 
  

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 (d) The Issuing Entity represents and warrants it is not required to be registered as an
“investment company” under the 1940 Act. 
 (e) This Indenture shall constitute a security agreement under
applicable law and shall be deemed to create valid and continuing security interests (as defined in the applicable UCC) in the Mortgage Loans in favor of the Indenture Trustee, which security interest is prior to all other Liens, and is enforceable
as such as against creditors of and purchasers from the Issuing Entity; 
 (f) Other than the security interest granted to the
Indenture Trustee pursuant to this Indenture, the Issuing Entity has not pledged, assigned, sold, granted a security interest in, or otherwise conveyed any of the Mortgage Loans, has not authorized the filing of and is not aware of any financing
statements against the Mortgage Loans that includes a description of collateral covering the Mortgage Loans other than any financing statements relating to the security interest granted to the Indenture Trustee hereunder or that has been terminated.
The Issuing Entity is not aware of any judgment or tax lien filings against the Issuing Entity; 
 (g) The Issuing Entity owns
and has good and marketable title to the Mortgage Loans free and clear of any Lien, claim or encumbrance of any Person; 
 (h)
The Issuing Entity has caused or will have caused, within ten days, the filing of all appropriate financing statements in the proper filing offices in the appropriate jurisdictions under applicable law in order to perfect the security interest in
the Mortgage Loans granted to the Indenture Trustee hereunder. The Issuing Entity has in its possession all original copies of the mortgage notes that constitute or evidence the Mortgage Loans. The mortgage notes that constitute or evidence the
Mortgage Loans do not have any marks or notations indicating that they have been pledged, assigned or otherwise conveyed to any Person other than the Indenture Trustee. All financing statements filed or to be filed against the Issuing Entity in
favor of the Indenture Trustee (or any subsequent assignee, without limitation) in connection herewith describing the Mortgage Loans contain a statement to the following effect: “A purchase of, or security interest in, any collateral described
in this financing statement will violate the rights of the Indenture Trustee;” and 
 (i) The mortgage notes evidencing
the Mortgage Loans constitute instruments within the meaning of the applicable UCC. 
 (j) The Issuing Entity shall, to the
extent consistent with this Indenture, take such additional reasonable actions as may be necessary to ensure that, if this Indenture were deemed to create a security interest in the Mortgage Loans and the other assets of the Collateral, such
security interest would be a perfected security interest of first priority under applicable law and will be maintained as such throughout the life of this Indenture. 
 The foregoing representations and warranties may not be waived and shall survive the issuance of the Notes. 
  

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 ARTICLE IV 
 SATISFACTION AND DISCHARGE 
 Section 4.01. Satisfaction and Discharge of Indenture. Whenever
the following conditions shall have been satisfied: 
 (a) either; 
 (i) all Notes theretofore authenticated and delivered (other than (x) Notes that have been destroyed, lost or stolen and that have
been replaced or paid as provided in Section 2.07 hereof, and (y) Notes for whose payment money has theretofore been deposited in trust and thereafter repaid to the Issuing Entity, as provided in Section 3.03 hereof) have been
delivered to the Note Registrar for cancellation; or 
 (ii) all Notes not theretofore delivered to the Note Registrar for
cancellation, (a) have become due and payable, or (b) will become due and payable at the Final Stated Maturity Date within one (1) year, or (c) are to be called for redemption pursuant to Section 10.01 hereof within one
(1) year under irrevocable arrangements satisfactory to the Indenture Trustee for the giving of notice of redemption by the Indenture Trustee in the name, and at the expense, of the Sponsor, and the Sponsor, in the case of clause ii(c), or
Servicer, in the case of clauses (ii)(a) or (ii)(b) above, has irrevocably deposited or caused to be deposited with the Indenture Trustee, in trust for such purpose, an amount sufficient to pay and discharge the entire unpaid Note Principal Balance
of such Notes not theretofore delivered to the Indenture Trustee for cancellation, for principal and interest to the Final Stated Maturity Date or to the applicable Redemption Date, as the case may be, and in the case of Notes that were not paid at
the Final Stated Maturity Date of their entire unpaid Note Principal Balance, for all overdue principal and all interest payable on such Notes to the next succeeding Payment Date therefor; 
 (b) the Servicer, on behalf of the Issuing Entity, has paid or caused to be paid all other sums payable hereunder by the Issuing Entity
(including, without limitation, amounts due the Note Insurer); 
 (c) the Servicer, on behalf of the Issuing Entity, has
delivered to the Indenture Trustee and the Note Insurer an Officer’s Certificate and an Opinion of Counsel and, if the Servicer determines that TIA Section 314(c)(3) requires it, a certificate from a firm of certified public accountants,
satisfactory in form and substance to the Indenture Trustee and the Note Insurer each stating that all conditions precedent herein providing for the satisfaction and discharge of this Indenture have been complied with, then, 
 upon a Trust Request, this Indenture and the lien, rights and interests created hereby and thereby shall cease to be of further effect, and the Indenture Trustee and
each co-trustee and separate trustee, if any, then acting as such hereunder shall, at the expense of the Issuing Entity, execute and deliver all such instruments as may be necessary to acknowledge the satisfaction and discharge of this Indenture and
shall pay, or assign or transfer and deliver, to the Issuing Entity 

  

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or upon Trust Order all cash, securities and other property held by it as part of the Trust Estate remaining after satisfaction of the conditions set forth
in paragraphs (a) and (b) above. 
 Notwithstanding the satisfaction and discharge of this Indenture, the obligations of the
Indenture Trustee and any Paying Agent to the Issuing Entity and the Holders of Notes under Section 3.03 hereof, the obligations of the Indenture Trustee to the Holders of Notes under Section 4.02 hereof and the provisions of
Section 2.07 hereof with respect to lost, stolen, destroyed or mutilated Notes, registration of transfers of Notes and rights to receive payments of principal of and interest on the Notes shall survive. 
 Section 4.02. Application of Issuing Entity Money. All money deposited with the Indenture Trustee pursuant to Sections 3.03 and 4.01 hereof shall
be held in trust and applied by it, in accordance with the provisions of the Notes and this Indenture, to the payment, either directly or through any Paying Agent, as the Indenture Trustee may determine, to the Persons entitled thereto, of the
principal and interest for whose payment such money has been deposited with the Indenture Trustee. 
 Section 4.03. Subrogation and
Cooperation. 
 (a) The Issuing Entity and the Indenture Trustee acknowledge that (i) to the extent the Note Insurer
makes payments under the Note Insurance Policy on account of principal of or interest on the Notes the Note Insurer will be fully subrogated to the rights of the Noteholders to receive such principal of and interest on the Notes, and (ii) the
Note Insurer shall be paid such principal and interest only from the sources and in the manner provided herein and in the Insurance Agreement for the payment of such principal and interest. 
 (b) The Indenture Trustee shall cooperate in all respects with any reasonable written request or direction by the Note Insurer for action
to preserve or enforce the Note Insurer’s rights or interest under this Indenture, the Sale and Servicing Agreement or the Insurance Agreement, consistent with this Indenture and without limiting the rights of the Noteholders as otherwise set
forth in the Indenture, including without limitation upon the occurrence and continuance of a Default, a request to take any one or more of the following actions: 
 (i) institute proceedings for the collection of all amounts then payable on the Notes or under this Indenture in respect to the Notes and
all amounts payable under the Insurance Agreement and to enforce any judgment obtained and collect from the Issuing Entity monies adjudged due; 
 (ii) sell any Trust Estate or any portion thereof or rights or interest therein, at one or more public or private sales called and conducted in any manner permitted by law; 
 (iii) cause the Sponsor to record all assignments that have not previously been recorded; 
 (iv) institute proceedings from time to time for the complete or partial foreclosure of this Indenture; and 
  

 21 

 (v) exercise any remedies of a secured party under the Uniform Commercial Code and take
any other appropriate action to protect and enforce the rights and remedies of the Note Insurer hereunder. 
 (c) Following
the payment in full of the Notes, the Note Insurer shall continue to have all rights and privileges provided to it under this Section 4.03 and in all other provisions of this Indenture, until all amounts owing to the Note Insurer have been paid
in full. 
 ARTICLE V 
 DEFAULTS AND REMEDIES 
 Section 5.01. Event of Default. “Event of Default”, wherever used herein,
means, with respect to Notes issued hereunder, any one of the following events (whatever the reason for such Event of Default and whether it shall be voluntary or involuntary or be effected by operation of law or pursuant to any judgment, decree or
order of any court or any order, rule or regulation of any administrative or governmental body): 
 (a) if the Issuing Entity
shall fail to distribute or cause to be distributed to the Indenture Trustee, for the benefit of the holders of the Notes, (x) on any Payment Date, any Interest Payment Amount due and payable on such Payment Date and such failure continues for
three Business Days or (y) on the applicable Final Stated Maturity Date for each of the Class A-1 Notes and Class A-2 Notes, any remaining Class A-1 Available Funds Cap Carry-Forward Amount or any remaining Class A-2
Available Funds Cap Carry-Forward Amount, as applicable; 
 (b) if the Issuing Entity shall fail to distribute or cause to be
distributed to the Indenture Trustee, for the benefit of the holders of the Notes, (x) on any Payment Date, (other than the Final Stated Maturity Date), an amount equal to the Base Principal Payment Amount due on the Notes on such Payment Date,
to the extent that, after application in the order specified in section 8.02 hereof, sufficient funds are on deposit in the Collection Account and such failure continues for three Business Days or (y) on the Final Stated Maturity Date for
either Class of Notes, the aggregate outstanding Note Principal Balance of such Class of Notes; 
 (c) if the Issuing Entity
shall breach or default in the due observance of any one or more of the covenants hereof and such breach or default continues unremedied for a period of 30 Business Days; 
 (d) if the Issuing Entity shall consent to the appointment of a custodian, receiver, trustee or liquidator (or other similar official) of
itself, or of a substantial part of its property, or shall admit in writing, its inability to pay its debts generally as they come due, or a court of competent jurisdiction shall determine that the Issuing Entity is generally not paying its debts as
they come due, or the Issuing Entity shall make a general assignment for the benefit of creditors; 
  

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 (e) if the Issuing Entity shall file a voluntary petition in bankruptcy or a voluntary
petition or an answer seeking reorganization in a proceeding under any bankruptcy laws (as now or hereafter in effect) or an answer admitting the material allegation of a petition filed against the Issuing Entity in any, such proceeding, or the
Issuing Entity shall, by voluntary petition, answer or consent, seek relief under the provisions of any now existing or future bankruptcy or other similar law providing for the reorganization or winding-up of debtors, or providing for an agreement,
composition, extension or adjustment with its creditors; 
 (f) if an order, judgment or decree shall be entered in any
proceeding by any court of competent jurisdiction appointing, without the consent (express or legally implied) of the Issuing Entity, a custodian, receiver, trustee or liquidator (or other similar official) of the Issuing Entity or any substantial
part of its property, or sequestering any substantial part of its respective property, and any such order, judgment or decree or appointment or sequestration shall remain in force undismissed, unstayed or unvacated for a period of ninety
(90) days after the date of entry thereof; 
 (g) if a petition against the Issuing Entity in a proceeding under
applicable bankruptcy laws or other insolvency laws, as now or hereafter in effect, shall be filed and shall not be stayed, withdrawn or dismissed within ninety (90) days thereafter, or if, under the provisions of any law providing for
reorganization or winding-up of debtors which may apply to the Issuing Entity, any court of competent jurisdiction shall assume jurisdiction, custody or control of the Issuing Entity or any substantial part of its property, and such jurisdiction,
custody or control shall remain in force unrelinquished, unstayed or unterminated for a period of ninety (90) days; or 
 (h) an event of default under the Insurance Agreement. 
 Section 5.02. Acceleration of Maturity; Rescission and Annulment.
If an Event of Default occurs and is continuing, then and in every such case, but with the consent of the Note Insurer in the absence of a Note Insurer Default, the Indenture Trustee may, and at the written direction of the Note Insurer, in the
absence of a Note Insurer Default, or, with the prior written consent of the Note Insurer, at the direction of Holders of Notes representing more than 50% of the Note Principal Balance of the Outstanding Notes of both Classes, shall, declare all the
Notes to be immediately due and payable by a notice in writing to the Issuing Entity (and to the Indenture Trustee if given by Noteholders), and upon any such declaration such Notes, in an amount equal to the entire unpaid Note Principal Balance of
such Notes, together with accrued and unpaid interest thereon to the date of such acceleration, shall become immediately due and payable, all subject to the prior written consent of the Note Insurer in the absence of a Note Insurer Default.

  

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 At any time after such a declaration of acceleration of maturity of the Notes has been made and before a
judgment or decree for payment of the money due has been obtained by the Indenture Trustee as hereinafter provided in this Article V, the Note Insurer, in the absence of a Note Insurer Default, or the Holders of Notes representing more than 50% of
the Note Principal Balance of the Outstanding Notes of all both Classes, with the prior written consent of the Note Insurer in the absence of a Note Insurer Default, by written notice to the Issuing Entity and the Indenture Trustee, may rescind and
annul such declaration and its consequences if: 
 (a) the Issuing Entity has paid or deposited with the Indenture Trustee a
sum sufficient to pay: 
 (i) all payments of principal of, and interest on, all Outstanding Notes and all other amounts that
would then be due hereunder or upon such Notes if the Event of Default giving rise to such acceleration had not occurred; and 
 (ii) all sums paid or advanced by the Indenture Trustee hereunder and the reasonable compensation, expenses, disbursements and advances of the Indenture Trustee, its agents and counsel; and 
 (b) all Events of Default, other than the nonpayment of the principal of Notes that have become due solely by such acceleration, have been
cured or waived as provided in Section 5.14 hereof. 
 No such rescission shall affect any subsequent Default or impair any right
consequent thereon. 
 Section 5.03. Collection of Indebtedness and Suits for Enforcement by Indenture Trustee. Subject to the
provisions of Section 3.01 hereof and the following sentence, if an Event of Default occurs and is continuing, the Indenture Trustee may, with the prior written consent of the Note Insurer, and shall at the written direction of the Note Insurer
or of the Holders of Notes representing at least 50% of the Note Principal Balance of the Outstanding Notes of all of both Classes, with the consent of the Note Insurer, proceed to protect and enforce its rights and the rights of the Noteholders and
the Note Insurer by any Proceedings the Indenture Trustee deems appropriate to protect and enforce any such rights, whether for the specific enforcement of any covenant or agreement in this Indenture or in aid of the exercise of any power granted
herein, or enforce any other proper remedy. Any Proceedings brought by the Indenture Trustee; on behalf of the Noteholders and the Note Insurer, or any Noteholder against the Issuing Entity shall be limited to the preservation, enforcement and
foreclosure of the liens; assignments, rights and security interests under the Indenture and no attachment, execution or other unit or process shall be sought, issued or levied upon any assets, properties or funds of the Issuing Entity, other than
the Trust Estate relative to the Notes in respect of which such Event of Default has occurred. If there is a foreclosure of any such liens, assignments, rights and security interests under this Indenture, by private power of sale or otherwise, no
judgment for any deficiency upon the indebtedness represented by the Notes may be sought or obtained by the Indenture Trustee or any Noteholder against the Issuing Entity. The Indenture Trustee shall be entitled to recover the costs and expenses
expended by it pursuant to this Article V including reasonable compensation, expenses, or disbursements incurred of the Indenture Trustee, its agents and counsel from the Trust Estate. 
 Section 5.04. Remedies. If an Event of Default shall have occurred and be continuing and the Notes been declared due and payable and such
declaration and its consequences have not been rescinded and annulled, the Indenture Trustee, at the direction of the Note Insurer (subject to Section 5.17 hereof, to the extent applicable) shall, for the benefit of the Noteholders and the Note
Insurer, do one or more of the following: 
 (a) institute Proceedings for the collection of all amounts then payable on the
Notes, or under this Indenture, whether by declaration or otherwise, enforce any judgment obtained, and collect from the Issuing Entity moneys adjudged due, subject in all cases to the provisions of Sections 3.01 and 5.03 hereof; 
  

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 (b) in accordance with Section 5.17 hereof, sell the Trust Estate or any portion
thereof or rights or interest therein, at one or more public or private Sales called and conducted in any manner permitted by law; 
 (c) institute Proceedings from time to time for the complete or partial foreclosure of this Indenture with respect to the Trust Estate; 
 (d) exercise any remedies of a secured party under the Uniform Commercial Code and take any other appropriate action to protect and enforce the rights and remedies of the Indenture Trustee or the Holders of the Notes
and the Note Insurer hereunder; and 
 (e) refrain from selling the Trust Estate and apply all funds on deposit in each of the
Accounts pursuant to Section 5.07 hereof. 
 Section 5.05. Indenture Trustee May File Proofs of Claim. In case of the pendency of
any receivership, insolvency, liquidation, bankruptcy, reorganization, arrangement, composition or other judicial Proceeding relative to the Issuing Entity or any other obligor upon any of the Notes or the property of the Issuing Entity or of such
other obligor or their creditors, the Indenture Trustee irrespective of whether the Notes shall then be due and payable as therein expressed or by declaration or otherwise and irrespective of whether the Indenture Trustee shall have made any demand
on the Issuing Entity for the payment of any overdue principal or interest shall, with the prior written consent of the Note Insurer be entitled and empowered, by intervention in such Proceeding or otherwise to: 
 (a) file and prove a claim for the whole amount of principal and interest owing and unpaid in respect of the Notes and file such other
papers or documents as may be necessary or advisable in order to have the claims of the Indenture Trustee (including any claim for the reasonable compensation, expenses, disbursements and advances of the Indenture Trustee, its agents and counsel),
the Noteholders and the Note Insurer allowed in such Proceeding, and 
 (b) collect and receive any moneys or other property
payable or deliverable on any such claims and to distribute the same; and any receiver, assignee, trustee, liquidator, or sequestrator (or other similar official) in any such Proceeding is hereby authorized by each Noteholder and the Note Insurer to
make such payments to the Indenture Trustee and, in the event that the Indenture Trustee shall consent to the making of such payments directly to the Noteholders and the Note Insurer, to pay to the Indenture Trustee any amount due to it for the
reasonable compensation, expenses, disbursements and advances of the Indenture Trustee, its agents and counsel. 
 Nothing herein contained
shall be deemed to authorize the Indenture Trustee to authorize or consent to or accept or adopt on behalf of any Noteholder or the Note Insurer any plan of reorganization, arrangement, adjustment or composition affecting any of the Notes or the
rights 

  

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of any Holder thereof, or the Note Insurer, or to authorize the Indenture Trustee to vote in respect of the claim of any Noteholder or the Note Insurer in
any such Proceeding. 
 Section 5.06. Indenture Trustee May Enforce Claims Without Possession of Notes. All rights of action and
claims under this Indenture or any of the Notes may be prosecuted and enforced by the Indenture Trustee without the possession of any of the Notes or the production thereof in any Proceeding relating thereto, and any such Proceeding instituted by
the Indenture Trustee, at the written direction of the Note Insurer, shall be brought in its own name as trustee of an express trust, and any recovery of judgment shall be for the ratable benefit of the Holders of the Notes and the Note Insurer in
respect of which such judgment has been recovered after payment of amounts required to be paid pursuant to paragraph (a) of Section 5.07 hereof. 
 Section 5.07. Application of Money Collected. If the Notes have been declared due and payable following an Event of Default and such declaration and its consequences have not been rescinded and annulled, any
money collected by the Indenture Trustee with respect to each Class of Notes pursuant to this Article V or otherwise and any other monies that may then be held or thereafter received by the Indenture Trustee as security for such Class of Notes shall
be applied in the following order, at the date or dates fixed by the Indenture Trustee and, in case of the payment of the entire amount due on account of principal of, and interest on, such Class of Notes, upon presentation and surrender thereof:

 (a) first, to the Indenture Trustee, any unpaid Indenture Trustee Fees then due and any other amounts payable and
due to the Indenture Trustee with respect to such Class under this Indenture including any amounts in respect of indemnification or reimbursement of costs and expenses including costs or expenses incurred by it in connection with the enforcement of
the remedies provided for in this Article V (subject to Section 6.16 herein), to the Note Insurer, any unpaid Premium with respect to such Class then due, and to the Owner Trustee, any Owner Trustee Fees with respect to such Class then due to
the extent not already paid pursuant to Section 9.01 of the Trust Agreement and to the Owner Trustee, any amounts in respect of indemnification then due under Section 9.02 of the Trust Agreement to the extent not already paid pursuant to
Section 9.02 of the Trust Agreement, in an amount not to exceed $50,000 in any calendar year; 
 (b) second, from
amounts then on deposit in the related Payment Account, to the Holders of the related Class of Notes, the Interest Payment Amount for such Class; 
 (c) third, from amounts then on deposit in the related Payment Account, to the Holders of the related Class of Notes, the Base Principal Payment Amount for such Class; 
 (d) fourth, from amounts then on deposit in the related Payment Account, the allocable portion of the Overcollateralization
Deficit, if any, for the related Class of Notes; 
 (e) fifth, from amounts then on deposit in the related Payment
Account, to the Holders of the other Class of Notes, the Shortfall Amount for the other Class of Notes; 
 (f) sixth,
from amounts then on deposit in the related Payment Account, to the Note Insurer, the Reimbursement Amount with respect to the related Class as of such Payment Date; 
  

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 (g) seventh, from amounts then on deposit in the related Payment Account, to the
Note Insurer, the Reimbursement Amount with respect to the other Class of Notes as of such Payment Date to the extent not already paid pursuant to clause (f) above; 
 (h) eighth, from amounts then on deposit in the related Payment Account, to the payment of the Note Principal Balance of the
Outstanding Notes of such Class, up to the amount of their unpaid Note Principal Balance, ratably, without preference or priority of any kind; 
 (i) [ninth, from amounts then on deposit in the related Payment Account, to the related sub-account of the Reserve Account, such Loan Group’s pro rata share of the Reserve Payment Amount based on the
amount of Net Monthly Excess Cashflow;] 
 (j) tenth, from amounts then on deposit in the related Payment Account, the
related Yield Maintenance Account [and amounts released from the related sub-account of the Reserve Account], to the Holders of the Class A-1 Notes and the Class A-2 Notes, the Class A-1 Available Funds Cap Carry-Forward Amount or the
Class A-2 Available Funds Cap Carry-Forward Amount, respectively; 
 (k) eleventh, from amounts then on deposit in
the related Payment Account, to the Servicer, any amount due to it with respect to the related Group of Mortgage Loans; 
 (l)
twelfth, to the Indenture Trustee, any amounts in respect of indemnity or reimbursement due the Indenture Trustee under any of the Basic Documents to the extent not previously paid or reimbursed under paragraph (a) hereof; 
 (m) thirteenth, to the Owner Trustee, any amounts due and owing to the Owner Trustee under Article IX of the Trust Agreement or the
other Basic Documents, to the extent not already paid by the Servicer pursuant to Section 9.02 of the Trust Agreement; and 
 (n) fourteenth, following the making by the Indenture Trustee of all allocations, transfers and disbursements described above, from amounts then on deposit in each Payment Account, the Indenture Trustee shall distribute to or at the
direction of the Certificateholders (as identified in the Certificate Register maintained by the Owner Trustee), the amount remaining on such Payment Date in each Payment Account, if any. 
 Section 5.08. Limitation on Suits. No Holder of a Note shall have any right to institute any Proceedings, judicial or otherwise, with respect to
this Indenture, or for the appointment of a receiver or trustee, or for any other remedy hereunder, unless: 
 (a) such Holder
has previously given written notice to the Indenture Trustee and the Note Insurer of a continuing Event of Default; 
 (b) the
Holders of Notes representing not less than 25% of the Note Principal Balance of the Outstanding Notes of both Classes shall have made written request to the Indenture Trustee to institute Proceedings in respect of such Event of Default in its own
name as Indenture Trustee hereunder; 
  

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 (c) such Holder or Holders have offered to the Indenture Trustee indemnity satisfactory
to it in full against the costs, expenses and liabilities to be incurred in compliance with such request; 
 (d) the Indenture
Trustee, for sixty (60) days after its receipt of such notice, request and offer of indemnity, has failed to institute any such Proceeding; 
 (e) no direction inconsistent with such written request has been given to the Indenture Trustee during such sixty (60) day period by the Holders of Notes representing more than 50% of the Note Principal Balance
of the Outstanding Notes of both Classes; and 
 (f) the consent of the Note Insurer shall have been obtained; it being
understood and intended that no one or more Holders of Notes shall have any right in any manner whatever by virtue of, or by availing of, any provision of this Indenture to affect, disturb or prejudice the rights of any other Holders of Notes or to
obtain or to seek to obtain priority or preference over any other Holders or to enforce any right under this Indenture, except in the manner herein provided and for the equal and ratable benefit of all the Holders of Notes. 
 (g) In the event the Indenture Trustee shall receive conflicting or inconsistent requests and indemnity from two or more groups of Holders
of Notes, each representing less than 50% of the Note Principal Balance of the Outstanding Notes of both Classes, the Indenture Trustee shall take the action prescribed by the group representing a greater percentage of the Note Principal Balance of
the Outstanding Notes of both Classes. 
 Section 5.09. Unconditional Rights of Noteholders to Receive Principal and Interest. Subject
to the provisions in this Indenture (including Sections 3.01 and 5.03 hereof) limiting the right to recover amounts due on a Note to recovery from amounts in the portion of the Trust Estate relating to such Note, the Holder of any Note shall have
the right, to the extent permitted by applicable law, which right is absolute and unconditional, to receive payment of each installment of interest on such Note on the respective Payment Date for such installments of interest, to receive payment of
each installment of principal of such Note when due (or, in the case of any Note called for redemption, on the date fixed for such redemption) and to institute suit for the enforcement of any such payment, and such right shall not be impaired
without the consent of such Holder. 
 Section 5.10. Restoration of Rights and Remedies. If the Indenture Trustee, the Note Insurer or
any Noteholder has instituted any Proceeding to enforce any right or remedy under this Indenture and such Proceeding has been discontinued or abandoned for any reason, or has been determined to be adverse to the Indenture Trustee, the Note Insurer
or to such Noteholder, then and in every such case the Indenture Trustee, the Note Insurer and the Noteholders shall, subject to any determination in such Proceeding, be restored severally and respectively to their former positions hereunder, and
thereafter all rights and remedies of the Indenture Trustee, the Note Insurer and the Noteholders shall continue as though no such Proceeding had been instituted. 
 Section 5.11. Rights and Remedies Cumulative. No right or remedy herein conferred upon or reserved to the Indenture Trustee, the Note Insurer or to the Noteholders is intended to 

  

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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. The assertion or employment of a, right or remedy hereunder, or otherwise, shall not prevent the concurrent assertion or employment of any other
appropriate right or remedy. 
 Section 5.12. Delay or Omission Not Waiver. No delay or omission of the Indenture Trustee, the Note
Insurer or of any Holder of any Note to exercise any right or remedy accruing upon any Event of Default shall impair any such right or remedy or constitute a waiver of any such Event of Default or an acquiescence therein. Every right and remedy
given by this Article V or by law to the Indenture Trustee, the Note Insurer or to the Noteholders may be exercised from time to time, and as often as may be deemed expedient, by the Indenture Trustee, the Note Insurer or by the Noteholders with the
prior consent of the Note Insurer, as the case may be. 
 Section 5.13. Control by Noteholders. The Holders of Notes representing more
than 50% of the Note Principal Balance of the Outstanding Notes of both Classes on the applicable Record Date shall, with the written consent of the Note Insurer (a copy of which shall be provided to the Indenture Trustee), have the right to direct
the time, method and place of conducting any Proceeding for any remedy available to the Indenture Trustee or exercising any trust or power conferred on the Indenture Trustee; provided that: 
 (a) such written direction shall not be in conflict with any rule of law or with this Indenture; 
 (b) any direction to the Indenture Trustee to undertake a Sale of the Trust Estate shall be by the Holders of Notes representing the
percentage of the Note Principal Balance of the Outstanding Notes specified in Section 5.17(b)(i) hereof, unless Section 5.17(b)(ii) hereof is applicable; and 
 (c) the Indenture Trustee may take any other action deemed proper by the Indenture Trustee that is not inconsistent with such direction;
provided, however, that, subject to Section 6.01 hereof, the Indenture Trustee need not take any action that it determines might involve it in liability or be unjustly prejudicial to the Noteholders not consenting. 
 Section 5.14. Waiver of Past Defaults. The Holders of Notes representing more than 50% of the Note Principal Balance of the Outstanding Notes of
both Classes on the applicable Record Date may on behalf of the Holders of all the Notes, and with the written consent of the Note Insurer, waive any past Default hereunder and its consequences, except a Default: 
 (a) in the payment of principal or any installment of interest on any Note; or 
 (b) in respect of a covenant or provision hereof that under Section 9.02 hereof cannot be modified or amended without the consent of
the Holder of each Outstanding Note affected. 
 Upon any such waiver, such Default shall cease to exist, and any Event of Default arising
therefrom shall be deemed to have been cured for every purpose of this Indenture; but no such waiver shall extend to any subsequent or other Default or impair any right consequent thereon. 
  

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 Section 5.15. Undertaking for Costs. All parties to this Indenture agree, and each Holder of any
Note by his acceptance thereof shall be deemed to have agreed, that any court may in its discretion require, in any suit for the enforcement of any right or remedy under this Indenture, or in any suit against the Indenture Trustee for any action
taken, suffered or omitted by it as Indenture Trustee, the filing by any party litigant in such suit of an undertaking to pay the costs of such suit, and that such court may in its discretion assess reasonable costs, including reasonable
attorneys’ fees, against any party litigant in such suit, having due regard to the merits and good faith of the claims or defenses made by such party litigant; but the provisions of this Section 5.15 shall not apply to any suit instituted
by the Indenture Trustee or the Note Insurer, to any suit instituted by any Noteholder, or Group of Noteholders, holding in the aggregate Notes representing more than 10% of the Note Principal Balance of the Outstanding Notes of both Classes, or to
any suit instituted by any Noteholder for the enforcement of the payment of any Interest Payment Amount or Base Principal Payment Amount on any Note on or after the related Payment Date or for the enforcement of the payment of principal of any Note
on or after the Final Stated Maturity Date (or, in the case of any Note called for redemption, on or after the applicable Redemption Date). 
 Section 5.16. Waiver of Stay or Extension Laws. The Issuing Entity covenants (to the extent that it may lawfully do so) that it will not at any time insist upon, or plead, or in any manner whatsoever claim or take the benefit or
advantage of, any stay or extension of law wherever enacted, now or at any time hereafter in force, that may affect the covenants in, or the performance of, this Indenture; and the Issuing Entity (to the extent that it may lawfully do so) hereby
expressly waives all benefit or advantage of any such law, and covenants that it will not hinder, delay or impede the execution of any power herein granted to the Indenture Trustee, but will suffer and permit the execution of every such power as
though no such law had been enacted. 
 Section 5.17. Sale of Trust Estate. (a) The power to effect any sale (a
“Sale”) of any portion of the Trust Estate pursuant to Section 5.04 hereof shall not be exhausted by any one or more Sales as to any portion of the Trust Estate remaining unsold, but shall continue unimpaired until the entire
Trust Estate shall have been sold or all amounts payable on the Notes and under this Indenture with respect thereto shall have been paid. The Indenture Trustee may, with the consent of the Note Insurer, from time to time postpone any public Sale by
public announcement made at the time and place of such Sale. 
 (b) To the extent permitted by law, the Indenture Trustee
shall not in any private Sale sell or otherwise dispose of the Trust Estate, or any portion thereof, unless: 
 (i) the
Holders of Notes representing more than 50% of the Note Principal Balance of the Notes of the Class or Classes then Outstanding and the Note Insurer consents to or directs the Indenture Trustee in writing to make such Sale; or 
 (ii) the proceeds of such Sale would be not less than the entire amount that would be payable to the Holders of the Notes and the Note
Insurer in respect of Reimbursement Amounts, in full payment thereof in accordance with Section 5.07 hereof, on the Payment Date next succeeding the date of such Sale. 
  

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 The purchase by the Indenture Trustee of all or any portion of the Trust Estate at a private Sale shall
not be deemed a Sale or disposition thereof for purposes of this Section 5.17(b). In the absence of a Note Insurer Default, no Sale hereunder shall be effective without the consent of the Note Insurer. 
 (c) Unless the Holders of all Outstanding Notes or the Note Insurer have otherwise consented or directed the Indenture Trustee, at any
public Sale of all or any portion of the Trust Estate at which a minimum bid equal to or greater than the amount described in paragraph (b)(ii) of this Section 5.17 has not been established by the Indenture Trustee and no Person bids an amount
equal to or greater than such amount, the Indenture Trustee, acting in its capacity as Indenture Trustee (i) on behalf of the Noteholders and the Note Insurer, shall prevent such Sale and bid an amount (which shall include the Indenture
Trustee’s right, in its capacity as Indenture Trustee, to credit bid) at least $1.00 more than the highest other bid in order to preserve the Trust Estate on behalf of the Noteholders and the Note Insurer. 
 (d) In connection with a Sale of all or any portion of the Trust Estate: 
 (i) any Holder or Holders of Notes may bid for and purchase the property offered for Sale, and upon compliance with the terms of sale may
hold, retain and possess and dispose of such property, without further accountability, and may, in paying the purchase money therefor, deliver any Outstanding Notes or claims for interest thereon in lieu of cash up to the amount that shall, upon
distribution of the net proceeds of such Sale, be payable thereon, and such Notes, in case the amounts so payable thereon shall be less than the amount due thereon, shall be returned to the Holders thereof after being appropriately stamped to show
such partial payment; 
 (ii) the Indenture Trustee may bid for and acquire the property offered for Sale in connection with
any public Sale thereof, and, in lieu of paying cash therefor, may make settlement for the purchase price by crediting the gross Sale price against the sum of (a) the amount that would be payable to the Holders of the Notes as a result of such
Sale in accordance with Section 5.07 hereof on the Payment Date next succeeding the date of such Sale and (b) the expenses of the Sale and of any Proceedings in connection therewith which are reimbursable to it, without being required to
produce the Notes in order to complete any such Sale or in order for the net Sale price to be credited against such Notes, and any property so acquired by the Indenture Trustee shall be held and dealt with by it in accordance with the provisions of
this Indenture; 
 (iii) the Indenture Trustee shall execute and deliver an appropriate instrument of conveyance transferring
its interest in any portion of the Trust Estate in connection with a Sale thereof; 
 (iv) the Indenture Trustee is hereby
irrevocably appointed the agent and attorney in-fact of the Issuing Entity to transfer and convey its interest in any portion of the Trust Estate in connection with a Sale thereof, and to take all action necessary to effect such Sale; and

  

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 (v) no purchaser or transferee at such a Sale shall be bound to ascertain the Indenture
Trustee’s authority, inquire into the satisfaction of any conditions precedent or see to the application of any moneys. 
 Section 5.18.
Action on Notes. The Indenture Trustee’s right to seek and recover judgment under this Indenture shall not be affected by the seeking, obtaining or application of any other relief under or with respect to this Indenture. Neither the lien
of this Indenture nor any rights or remedies of the Indenture Trustee, the Note Insurer or the Holders of Notes shall be impaired by the recovery of any judgment by the Indenture Trustee against the Issuing Entity or by the levy of any execution
under such judgment upon any portion of the Trust Estate. Any money or property collected by the Indenture Trustee shall be applied in accordance with Section 5.07 hereof. 
 Section 5.19. No Recourse. The Trust Estate Granted to the Indenture Trustee as security for the Notes serves as security only for the Notes. The
Noteholders shall have no recourse against the Owner Trustee, the Indenture Trustee, the Note Registrar, the Authenticating Agent, the Depositor, the Sponsor, the Servicer or any of their respective Affiliates, or to the assets of any of the
foregoing entities. 
 Section 5.20. Application of the Trust Indenture Act. Pursuant to Section 316(a) of the TIA, all
provisions automatically provided for in Section 316(a) are hereby expressly excluded. 
 Section 5.21. Suspension and Termination of
Note Insurer’s Rights. During the continuation of a Note Insurer Default, rights granted or reserved to the Note Insurer hereunder shall vest instead in the Noteholders, and may be exercised at the direction of Holders of Notes representing
at least 51% of the Note Principal Balance of the Outstanding Notes of both Classes; provided, that the Note Insurer shall be entitled to any distributions of reimbursements as set forth in the Indenture and the Insurance Agreement and the Note
Insurer shall retain those rights under Section 9.01 to consent to any amendment of this Agreement. 
 At such time as either
(i) the outstanding Note Principal Balance of the Notes has been reduced to zero or (ii) the Note Insurance Policy has been terminated and in either case of (i) or (ii) the Note Insurer has been reimbursed for all amounts owed to
it under the Note Insurance Policy and the Insurance Agreement (and the Note Insurer no longer has any obligation under the Note Insurance Policy, except for breach thereof by the Note Insurer), then the rights and benefits granted or reserved to
the Note Insurer hereunder (including the rights to direct certain actions and receive certain notices) shall terminate and the Certificateholders shall be entitled to the exercise of such rights and to receive such benefits of the Note Insurer
following such termination to the extent that such rights and benefits are applicable to the Certificateholders. 
 ARTICLE VI

 THE INDENTURE TRUSTEE 
 Section 6.01. Duties of Indenture Trustee. (a) If an Event of Default has occurred and is continuing of which a Responsible Officer of the Indenture Trustee has actual knowledge, the 

  

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Indenture Trustee shall exercise such of the rights and powers vested in it by this Indenture, 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 his or her own affairs. 
 (b) Except
during the continuance of an Event of Default: 
 (i) the Indenture Trustee need perform only those duties that are expressly
set forth in this Indenture and no others and no implied covenants or obligations shall be read into this Indenture against the Indenture Trustee; and 
 (ii) in the absence of bad faith on its part, the Indenture Trustee may request and conclusively rely, as to the truth of the statements and the correctness of the opinions expressed therein, upon certificates,
opinions, resolutions, statements, reports, instruments or other documents furnished to the Indenture Trustee and conforming, on their faces, to the requirements of this Indenture. The Indenture Trustee shall, however, examine such certificates and
opinions to determine whether they conform on their face to the requirements of this Indenture. 
 (c) The Indenture Trustee
may not be relieved from liability for its own negligent action, its own negligent failure to act or its own willful misconduct, except that: 
 (i) The duties and obligations of the Indenture Trustee shall be determined solely by the express provisions of this Indenture, the Indenture Trustee shall not be liable except for the performance of such duties and
obligations as are specifically set forth in this Indenture, no implied covenants or obligations shall be read into this Indenture against the Indenture Trustee and, in the absence of bad faith on the part of the Indenture Trustee, the Indenture
Trustee may conclusively rely, as to the truth of the statements and the correctness of the opinions expressed therein, upon any certificates, opinions or other documents (including, but not limited to, any reports or statements furnished by the
Servicer) reasonably believed by the Indenture Trustee to be genuine and to have been furnished by the proper party to the Indenture Trustee and which on their face, do not contradict the requirements of this Indenture; 
 (ii) this paragraph (c) does not limit the effect of paragraph (a) of this Section 6.01; 
 (iii) the Indenture Trustee shall not be liable for any error of judgment made in good faith by a Responsible Officer, unless it is proved
that the Indenture Trustee was negligent in ascertaining the pertinent facts; 
 (iv) the Indenture Trustee shall not be
liable with respect to any action it takes or omits to take in good faith in accordance with a direction of the Noteholders or the Note Insurer (including directions pursuant to Sections 5.13 or 5.17 hereof or in accordance with the direction of the
Note Insurer) or exercising any trust or power or remedy conferred upon the Indenture Trustee under this Indenture; and 
 (v)
The Indenture Trustee shall not be charged with knowledge of any failure by the Servicer to comply with any of its obligations under the Sale and Servicing 

  

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Agreement or any breach of representations or warranties under the Sale and Servicing Agreement unless a Responsible Officer of the Indenture Trustee obtains
actual knowledge of such failure or breach or the Indenture Trustee receives written notice of such failure or breach from the Servicer or the Note Insurer. 
 (d) Except with respect to duties of the Indenture Trustee prescribed by the TIA, as to which this Section 6.01(d) shall not apply,
for all purposes under this Indenture, the Indenture Trustee shall not be deemed to have notice or knowledge of any Event of Default described in Sections 5.01(c), 5.01(d), 5.01(e), 5.01(f), 5.01(g) or 5.01(h) hereof or any Default described in
Sections 5.01(c) hereof or of any event described in Section 3.05 hereof unless a Responsible Officer assigned to and working in the Indenture Trustee’s corporate trust department and having direct responsibility for this Indenture has
actual knowledge thereof or unless written notice of any event that is in fact such an Event of Default or Default is received by the Indenture Trustee at the Corporate Trust Office, and such notice references the Notes generally, the Issuing
Entity, the Trust Estate or this Indenture. 
 (e) No provision of this Indenture shall require the Indenture 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 under this Indenture or the other Basic Documents. 
 (f) Every provision of this Indenture that in any way relates to the Indenture Trustee is subject to the provisions of this Section 6.01 and to the provisions of the TIA. 
 (g) Notwithstanding any extinguishment of all right, title and interest of the Issuing Entity in and to the Trust Estate following an
Event of Default and a consequent declaration of acceleration of the maturity of the Notes, whether such extinguishment occurs through a Sale of the Trust Estate to another Person, the acquisition of the Trust Estate by the Indenture Trustee or
otherwise, the rights, powers and duties of the Indenture Trustee with respect to the Trust Estate (or the proceeds thereof), the Noteholders and the Note Insurer and the rights of Noteholders and the Note Insurer shall continue to be governed by
the terms of this Indenture. 
 (h) The Indenture Trustee shall at all times retain possession of the Indenture Trustee’s
Mortgage Files in the State of Illinois or the State of California, except for those Indenture Trustee’s Mortgage Files or portions thereof released to the Servicer or the Note Insurer pursuant to this Indenture or the Sale and Servicing
Agreement. 
 (i) Subject to the other provisions of this Indenture and without limiting the generality of this
Section 6.01, the Indenture Trustee shall have no duty (a) to see to any recording, filing, or depositing of this Indenture 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, filing or depositing or to any rerecording, 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 Estate from funds available in 

  

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the Payment Accounts or (d) to confirm or verify the contents of any reports or certificates of the Servicer delivered to the Indenture Trustee pursuant
to this Indenture believed by the Indenture trustee to be genuine and to have been signed or presented by the proper party or parties. 
 Section 6.02. Notice of Default. Immediately after the occurrence of any Default known to a Responsible Officer of the Indenture Trustee, the Indenture Trustee shall transmit by mail to the Note Insurer and the Sponsor notice of each
such Default and, within ninety (90) days after the occurrence of any Default known to a Responsible Officer of the Indenture Trustee, the Indenture Trustee shall transmit by mail to all Holders of Notes notice of each such Default, unless such
Default shall have been cured or waived; provided, however, that in no event shall the Indenture Trustee provide notice, or fail to provide notice of a Default of which a Responsible Officer of the Indenture Trustee has actual
knowledge in a manner contrary to the requirements of the Trust Indenture Act. Concurrently with the mailing of any such notice to the Holders of the Notes, the Indenture Trustee shall transmit by mail a copy of such notice to the Rating Agencies.

 Section 6.03. Rights of Indenture Trustee. (a) Except as otherwise provided in Section 6.01 hereof, the Indenture Trustee
may rely on, and be protected in acting or refraining to act upon any document believed by it to be genuine and to have been signed or presented by the proper Person. The Indenture Trustee need not investigate any fact or matter stated in any such
document. 
 (b) Before the Indenture Trustee acts or refrains from acting, it may require an Officer’s Certificate or an
Opinion of Counsel reasonably satisfactory in form and substance to the Indenture Trustee. The Indenture Trustee shall not be liable for any action it takes or omits to take in good faith in reliance on any such Officer’s Certificate or Opinion
of Counsel. 
 (c) With the consent of the Note Insurer, which consent shall not be unreasonably withheld, the Indenture
Trustee may act through agents and shall not be responsible for the misconduct or negligence of any agent appointed with due care. 
 (d) The Indenture Trustee shall not be liable for any action it takes or omits to take in good faith that it believes to be authorized or within its rights or powers. 
 (e) The Indenture Trustee shall be under no obligation to exercise any of the trusts or powers vested in it by this Indenture or to
institute, conduct or defend any litigation hereunder or in relation hereto at the request, order or direction of any of the Noteholders or the Note Insurer, pursuant to the provisions of this Indenture, unless such Noteholders or the Note Insurer
shall have offered to the Indenture Trustee reasonable security or indemnity against the costs, expenses and liabilities which may be incurred therein or thereby; nothing contained herein shall, however, relieve the Indenture Trustee of the
obligation, upon the occurrence of an Event of Default of which a Responsible Officer of the Indenture Trustee shall have actual knowledge (which has not been cured), to exercise such of the rights and powers vested in it by this Indenture, and to
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. 
  

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 (f) The Indenture Trustee shall not be bound to make any investigation into the facts of
the matters stated in any resolution, certificate, statement, instrument, opinion, report notice, request, consent, order, approval, bond or other paper or document, unless requested in writing to do so by the Noteholders or the Note Insurer and
provided further that payment within a reasonable time to the Indenture Trustee of the costs, expenses or liabilities likely to be incurred by it in tile making of such investigation is, in the opinion of the Indenture Trustee, reasonably assured to
the Indenture Trustee by the security afforded to it by the terms of this Indenture or such other security or indemnity as the Indenture Trustee may reasonably require as a condition to taking any such action. 
 (g) The right of the Indenture Trustee to perform any discretionary act enumerated in this Indenture shall not be construed as a duty, and
the Indenture Trustee shall not be answerable for anything other than its negligence or willful misconduct in the performance of such act. 
 Section 6.04. Not Responsible for Recitals, Issuance of Notes or Mortgage Loans. The recitals contained herein and in the Notes, except, with respect to the Indenture Trustee, the certificates of authentication on the Notes, shall be
taken as the statements of the Issuing Entity, and the Owner Trustee, the Indenture Trustee and the Authenticating Agent assume no responsibility for their correctness. The Owner Trustee and the Indenture Trustee make no representations with respect
to the Trust Estate or as to the validity or sufficiency of this Indenture or of the Notes. Neither the Indenture Trustee nor the Owner Trustee shall be accountable for the use or application by the Issuing Entity of the Notes or the proceeds
thereof or any money paid to the Issuing Entity or upon a Trust Order pursuant to the provisions hereof. 
 The Indenture Trustee shall at no
time have any responsibility or liability for or with respect to the legality, validity and enforceability of any Mortgage or any Mortgage Loan, or the recordability, sufficiency, perfection and priority of any mortgage or the maintenance of any
such perfection and priority or for or with respect to the sufficiency of the Trust Estate or its ability to generate the payments to be distributed to Noteholders under this Indenture, including, without limitation: the existence, condition and
ownership of any Mortgaged Property; the existence and enforceability of any hazard insurance or primary mortgage insurance thereon; the validity of the assignment of any Mortgage Loan to the Indenture Trustee or of any intervening assignment; the
completeness of any Mortgage Loan; the performance or enforcement of any Mortgage Loan; the compliance by the Depositor, the Sponsor, Issuing Entity, Servicer, Note Insurer with any warranty or representation made under this Indenture, the Sale and
Servicing Agreement, the Insurance Agreement or in any related document or the accuracy of any such warranty or representation; any investment of monies by or at the direction of the Sponsor or the Servicer or any loss resulting therefrom; the acts
or omissions of any of the Sponsor, the Servicer or any Mortgagor; any action of the Servicer taken in the name of the Indenture Trustee; the failure of the Servicer to act or perform any duties acquired of it as agent of the Indenture Trustee
hereunder; or any action by the Indenture Trustee taken at the instruction of the Servicer or the Note Insurer. The Indenture Trustee 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 granted to it hereunder. 
  

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 Section 6.05. May Hold Notes. The Indenture Trustee, any Agent, or any other agent of the Issuing
Entity, in its individual or any other capacity, may become the owner or pledgee of Notes and, subject to Sections 6.07, 6.09 and 6.12 hereof, may otherwise deal with the Issuing Entity or any Affiliate of the Issuing Entity with the same rights it
would have if it were not Indenture Trustee, Agent or such other agent. 
 Section 6.06. Money Held in Trust. Money held by the
Indenture Trustee in trust hereunder need not be segregated from other funds except to the extent required by this Indenture or by law. The Indenture Trustee shall be under no liability for interest on any money received by it hereunder except as
otherwise agreed with the Issuing Entity and except to the extent of income or other gain on investments that are obligations of the Indenture Trustee, in its commercial capacity, and income or other gain actually received by the Indenture Trustee
on investments, which are obligations of others. 
 Section 6.07. Eligibility, Disqualification. Irrespective of whether this
Indenture is qualified under the TIA, this Indenture shall always have an indenture trustee who satisfies the requirements of TIA Sections 310(a)(1) and 310(a)(5). The Indenture Trustee shall always have a combined capital and surplus as stated in
Section 6.08 hereof. The Indenture Trustee shall be subject to TIA Section 310(b). 
 Section 6.08. Indenture Trustee’s
Capital and Surplus. The Indenture Trustee shall at all times (a)(i) have a combined capital and surplus of at least $550,000,000, or (ii) be a member of a bank holding company system, the aggregate combined capital and surplus of which is
at least $100,000,000 and (b) be rated (or have long- term debt rated) “BBB” or better by S&P and “Baa2” by Moody’s; provided, however, that the Indenture Trustee’s separate capital and surplus shall at all
times be at least the amount required by TIA Section 310(a)(2). If the Indenture Trustee publishes annual reports of condition of the type described in TIA Section 310(a)(1), its combined capital and surplus for purposes of this
Section 6.08 shall be as set forth in the latest such report. The Indenture Trustee shall at all times be a corporation or association organized or doing business under the laws of a state or of the United States; authorized to exercise
corporate powers and subject to supervision or examination by federal or state authority. If at any time the Indenture Trustee shall cease to be eligible in accordance with the provisions of this Section 6.08 and TIA Section 310(a)(2), it
shall resign immediately in the manner and with the effect hereinafter specified in this Article VI. 
 Section 6.09. Resignation and
Removal; Appointment of Successor. (a) No resignation or removal of the Indenture Trustee and no appointment of a successor Indenture Trustee pursuant to this Article VI shall become effective until the acceptance of appointment by the
successor Indenture Trustee under Section 6.10 hereof. 
 (b) The Indenture Trustee may resign at any time by giving
written notice thereof to the Issuing Entity, the Note Insurer and each Rating Agency. If an instrument of acceptance by a successor Indenture Trustee shall not have been delivered to the Indenture Trustee within thirty (30) days after the
giving of such notice of resignation, the resigning Indenture Trustee may petition any court of competent jurisdiction for the appointment of a successor Indenture Trustee. 
  

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 (c) The Indenture Trustee may be removed at any time by the Note Insurer or, with the
consent of the Note Insurer, by Act of the Holders representing more than 50% of the Note Principal Balance of the Outstanding Notes of both Classes, by written notice delivered to the Indenture Trustee and to the Issuing Entity. 
 (d) If at any time: 
 (i) the Indenture Trustee shall have a conflicting interest prohibited by Section 6.07 hereof and shall fail to resign or eliminate such conflicting interest in accordance with Section 6.07 hereof after written request therefor by
the Issuing Entity, the Note Insurer or by any Noteholder; or 
 (ii) the Indenture Trustee shall cease to be eligible under
Section 6.08 hereof or shall become incapable of acting or shall be adjudged bankrupt or insolvent, or a receiver of the Indenture Trustee or of its property shall be appointed, or any public officer shall take charge or control of the
Indenture Trustee or of its property or affairs for the purpose of rehabilitation, conservation or liquidation; 
 then, in any such case, (x) the Owner
Trustee, on behalf of the Issuing Entity, by a Trust Order, with the written consent of, or at the written direction of the Note Insurer, may remove the Indenture Trustee, and the Owner Trustee, on behalf of the Issuing Entity, by a Trust Order,
shall join with the Indenture Trustee in the execution, delivery and performance of all instruments and agreements necessary or proper to appoint a successor Indenture Trustee acceptable to the Note Insurer and to vest in such successor Indenture
Trustee any property, title, right or power deemed necessary or desirable, subject to the other provisions of this Indenture; provided, however, if the Owner Trustee, on behalf of the Issuing Entity, and the Note Insurer do not join in such
appointment within thirty (30) days after the receipt by it of a request to do so, (either by reason of resignation or removal) or in case an Event of Default has occurred and is continuing, the Indenture Trustee may petition a court of
competent jurisdiction to make such appointment, or (y) subject to Section 5.15 hereof, and, in the case of a conflicting interest as described in clause (i) above, unless the Indenture Trustee’s duty to resign has been stayed as
provided in TIA Section 310(b), the Note Insurer or any Noteholder who has been a bona fide Holder of a Note for at least six (6) months may, on behalf of himself and all others similarly situated, with the consent of the Note Insurer,
petition any court of competent jurisdiction for the removal of the Indenture Trustee and the appointment of a successor Indenture Trustee. 
 (e) If the Indenture Trustee shall resign, be removed or become incapable of acting, or if a vacancy shall occur in the office of the Indenture Trustee for any cause, the Note Insurer may, and if the Note Insurer
fails to do so, the Servicer, on behalf of the Issuing Entity, by a Trust Order, shall promptly, appoint a successor Indenture Trustee acceptable to the Note Insurer and reasonably acceptable to the Sponsor. 
 (f) The Servicer, on behalf of the Issuing Entity, shall give notice of each resignation and each removal of the Indenture Trustee and
each appointment of a successor Indenture Trustee to the Holders of Notes and the Note Insurer. Each notice shall include the name of the successor Indenture Trustee and the address of its Corporate Trust Office. 
  

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 Section 6.10. Acceptance of Appointment by Successor Indenture Trustee. Every successor Indenture
Trustee appointed hereunder shall execute, acknowledge and deliver to the Issuing Entity, the Note Insurer and the retiring Indenture Trustee an instrument accepting such appointment, and thereupon the resignation or removal of the retiring
Indenture Trustee shall become effective and such successor Indenture Trustee, without any further act, deed or conveyance, shall become vested with all the rights, powers, trusts and duties of the retiring Indenture Trustee. Notwithstanding the
foregoing, upon a Trust Request of the Owner Trustee or the Note Insurer, on behalf of the Issuing Entity, or the successor Indenture Trustee, such retiring Indenture Trustee shall, upon payment of its charges and any fees, expenses or other amounts
owing the Indenture trustee, execute and deliver an instrument transferring to such successor Indenture Trustee all the rights, powers and trusts of the retiring Indenture Trustee, and shall duly assign, transfer and deliver to such successor
Indenture Trustee all property and money held by such retiring Indenture Trustee hereunder. Upon a written request of any such successor Indenture Trustee, the Owner Trustee, on behalf of the Issuing Entity, shall, with the written consent of the
Note Insurer, execute and deliver any and all instruments for more fully and certainly vesting in and confirming to such successor Indenture Trustee all such rights, powers and trusts. 
 No successor Indenture Trustee shall accept its appointment unless at the time of such acceptance such successor Indenture Trustee shall be qualified and
eligible under this Article VI. 
 Section 6.11. Merger, Conversion, Consolidation or Succession to Business of Indenture Trustee. Any
corporation or banking association into which the Indenture Trustee may be merged or converted or with which it may be consolidated, or any corporation or banking association resulting from any merger, conversion or consolidation to which the
Indenture Trustee shall be a party, or any corporation or banking association succeeding to all or substantially all of the corporate trust business of the Indenture Trustee, shall be the successor of the Indenture Trustee hereunder, provided, that
such corporation or banking association shall be otherwise qualified and eligible under this Article VI, without the execution or filing of any paper or any further act on the part of any of the parties hereto. In case any Notes have been
authenticated, but not delivered, by the Indenture Trustee then in office, any successor by merger, conversion or consolidation to such authenticating Indenture Trustee may adopt such authentication and deliver the Notes so authenticated with the
same effect as if such successor Indenture Trustee had authenticated such Notes. 
 Section 6.12. Preferential Collection of Claims
Against Issuing Entity. The Indenture Trustee (and any co-trustee or separate trustee) shall be subject to TIA Section 311(a), excluding any creditor relationship listed in TIA Section 311(b), and an Indenture Trustee (and any
co-trustee or separate trustee) who has resigned or been removed shall be subject to TIA Section 311(a) to the extent indicated. 
 Section 6.13. Co-Indenture Trustees and Separate Indenture Trustees. At any time or times, for the purpose of meeting the legal requirements of the TIA or of any jurisdiction in which any of the Trust Estate may at the time be
located, the Indenture Trustee shall have power and shall execute and deliver all instruments necessary to appoint one or more Persons approved by the Indenture Trustee either to act as co-trustee, jointly with the Indenture Trustee, of all or any
part of the Trust Estate, or to act as separate trustee of any such property, in either case with 

  

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such powers as may be provided in the instrument of appointment, and to vest in such Person or Persons in the capacity aforesaid, any property, title, right
or power deemed necessary or desirable, subject to the other provisions of this Section 6.13. All fees and expenses of any co-trustee or separate trustee shall be payable by the Issuing Entity. 
 Should any written instrument from the Issuing Entity be required by any co-trustee or separate trustee so appointed for more fully confirming to such
co-trustee or separate trustee such property, title, right or power, any and all such instruments shall, on written request, be executed, acknowledged and delivered by the Owner Trustee, on behalf of the Issuing Entity, with the written consent of
the Note Insurer. 
 Every co-trustee or separate trustee shall, to the extent permitted by law, but to such extent only, be appointed
subject to the following terms: 
 (a) The Notes shall be authenticated and delivered and all rights, powers, duties and
obligations hereunder in respect of the custody of securities, cash and other personal property held by, or required to be deposited or pledged with, the Indenture Trustee hereunder, shall be exercised, solely by the Indenture Trustee. 

(b) As required by TIA Section 310(a)(3), the rights, powers, duties and obligations hereby conferred or imposed upon the
Indenture Trustee in respect of any property covered by such appointment shall be conferred or imposed upon and exercised or performed by the Indenture Trustee or by the Indenture Trustee and such co-trustee or separate trustee jointly, as shall be
provided in the instrument appointing such co-trustee or separate trustee, except to the extent that under any law of any jurisdiction in which any particular act is to be performed, the Indenture Trustee shall be incompetent or unqualified to
perform such act, in which event such rights, powers, duties and obligations shall be exercised and performed by such co-trustee or separate trustee. 
 (c) The Indenture Trustee at any time may accept the resignation of or remove any co-trustee or separate trustee appointed under this Section 6.13. A successor to any co-trustee or separate trustee so resigned or
removed may be appointed in the manner provided in this Section 6.13. 
 (d) The Indenture Trustee shall not be liable by
reason of any act or omission of a co-trustee or separate trustee appointed by the Indenture Trustee with due care. No co-trustee or separate trustee hereunder shall be personally liable by reason of any act or omission of the Indenture Trustee, or
any other such trustee hereunder. 
 (e) Any Act of Noteholders delivered to the Indenture Trustee shall be deemed to have
been delivered to each such co-trustee and separate trustee. 
 (f) Any co-trustee or separate trustee appointed hereunder
shall be afforded the same rights, protections and immunities as the Indenture Trustee. 
 Section 6.14. Authenticating Agents. The
Owner Trustee, acting at the direction of the Certificateholders, shall appoint an Authenticating Agent with power to act on the Issuing Entity’s behalf, subject to the direction of the Certificateholders, in the authentication and 

  

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delivery of the Notes designated for such authentication and, containing provisions therein for such authentication (unless the Owner Trustee, acting at the
direction of the Certificateholders, has made other arrangements, satisfactory to the Indenture Trustee and such Authenticating Agent, for notation on the Notes of the authority of an Authenticating Agent appointed after the initial authentication
and delivery of such Notes) in connection with transfers and exchanges under Section 2.06 hereof, as fully to all intents and purposes as though the Authenticating Agent had been expressly authorized by Section 2.06 hereof to authenticate
and deliver Notes. For all purposes of this Indenture (other than in connection with the authentication and delivery of Notes pursuant to Sections 2.05 and 2.11 hereof in connection with their initial issuance), the authentication and delivery of
Notes by the Authenticating Agent pursuant to this Section 6.14 shall be deemed to be the authentication and delivery of Notes “by the Indenture Trustee.” Such Authenticating Agent shall at all times be a Person that both meets the
requirements of Section 6.07 hereof for the Indenture Trustee hereunder and has an office for presentation of Notes in the United States of America. The Indenture Trustee, shall initially be the Authenticating Agent and shall be the Note
Registrar as provided in Section 2.06 hereof. The office from which the Indenture Trustee shall perform its duties as Note Registrar and Authenticating Agent shall be its Corporate Trust Office. Any Authenticating Agent appointed pursuant to
the terms of this Section 6.14 or pursuant to the terms of any supplemental indenture shall deliver to the Indenture Trustee as a condition precedent to the effectiveness of such appointment an instrument accepting the trusts, duties and
responsibilities of Authenticating Agent and of Note Registrar or co-Note Registrar and indemnifying the Indenture Trustee for and holding the Indenture Trustee harmless against, any loss, liability or expense (including reasonable attorneys’
fees) incurred without negligence or bad faith on its part, arising out of or in connection with the acceptance, administration of the trust or exercise of authority by such Authenticating Agent, Note Registrar or co-Note Registrar. 
 Any corporation or banking association into which any Authenticating Agent may be merged or converted or with which it may be consolidated, or any
corporation or banking association resulting from any merger, consolidation or conversion to which any Authenticating Agent shall be a party, or any corporation or banking association succeeding to the corporate trust business of any Authenticating
Agent, shall be the successor of the Authenticating Agent hereunder, if such successor corporation is otherwise eligible under this Section 6.14, without the execution or filing of any further act on the part of the parties hereto or the
Authenticating Agent or such successor corporation or banking association. 
 Any Authenticating Agent may at any time resign by giving
written notice of resignation to the Issuing Entity. The Owner Trustee, acting at the direction of the Certificateholders, may at any time with the consent of the Note Insurer terminate the agency of any Authenticating Agent by giving written notice
of termination to such Authenticating Agent and the Indenture Trustee. Upon receiving such a notice of resignation or upon such a termination, or in case at any time any Authenticating Agent shall cease to be eligible under this Section 6.14,
the Owner Trustee, acting at the direction of the Certificateholders, shall promptly appoint a successor Authenticating Agent acceptable to the Note Insurer, shall give written notice of such appointment to the Indenture Trustee, and shall mail
notice of such appointment to all Holders of Notes. 
  

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 The Indenture Trustee agrees, subject to Section 6.01(e) hereof to pay to any Authenticating Agent
from time to time reasonable compensation for its services and the Indenture Trustee shall be entitled to be reimbursed for such payments pursuant to Section 6.16 hereof. The provisions of Sections 2.09, 6.04 and 6.05 hereof shall be applicable
to any Authenticating Agent. 
 Section 6.15. Review of Mortgage Files. (a) The Indenture Trustee shall, on or prior to the
Closing Date, execute and deliver the acknowledgement of receipt of the Note Insurance Policy required by Section 2.06(a) of the Sale and Servicing Agreement. 
 (b) The Indenture Trustee shall (i) on or prior to the Closing Date execute and deliver the acknowledgement of receipt of the
Mortgage Loans required by Section 2.06(b)(i) of the Sale and Servicing Agreement, (ii) on or prior to sixty (60) days following the Closing Date execute and deliver the Initial Certification required by Section 2.06(b)(ii) of
the Sale and Servicing Agreement, and (iii) on or prior to one hundred eighty (180) days following the Closing Date execute and deliver the Final Certification required by Section 2.06(b)(iii) of the Sale and Servicing Agreement.

 (c) In giving each of the acknowledgements, the Initial Certification and the Final Certification referred to in paragraphs
(a) and (b) of this Section 6.15, the Indenture Trustee shall not be under any duty or obligation (i) to inspect, review or examine any such documents, instruments, securities or other papers to determine that they or the
signatures thereto are genuine, enforceable, or appropriate for the represented purpose or that they have actually been recorded or that they are other than what they purport to be on their face, (ii) to determine whether any Mortgage File
should include a flood insurance policy, any rider, addenda, surety or guaranty agreement, power of attorney, buy down agreement, assumption agreement, modification agreement, written assurance or substitution agreement, or (iii) to determine
the validity, sufficiency, recordability, perfection, or priority of any document in the Mortgage File. 
 Section 6.16. Indenture Trustee
Fees and Expenses Indemnification. The Indenture Trustee shall be entitled to receive the Indenture Trustee Fee on each Payment Date as provided herein. The Indenture Trustee also shall be entitled to (i) payment of or reimbursement for
expenses and disbursements incurred or made by the Indenture Trustee in accordance with any of the provisions of this Indenture or the Sale and Servicing Agreement (including, but not limited to, the reasonable compensation and the expenses and
disbursements of its counsel and of all persons not regularly in its employ), and (ii) indemnification against losses, liability costs and expenses, including reasonable attorney’s fees, incurred, arising out of or in connection with this
Indenture, the Notes, the Certificates, the Sale and Servicing Agreement or any other documents or agreements relating to the Issuing Entity or the Notes, other than any loss, liability, cost or expense incurred solely by reason of willful
malfeasance, bad faith or negligence of the Indenture Trustee in the performance of its duties under the Basic Documents or by reason of its failure to perform its obligations hereunder. The Indenture Trustee and any director, officer, employee or
agent of the Indenture Trustee shall be indemnified by, first, the Trust Estate, in an amount not to exceed $125,000 in any calendar year as a first-priority expense pursuant to the first sentence of Section 8.02 hereof and
Section 5.07(a) hereof; provided, that the maximum amount of such cap may be increased with the prior consent of the Note Insurer; second, the Trust Estate on any Payment Date, to the extent that the Indenture Trustee’s
claims for 

  

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indemnification exceed $125,000 in any calendar year, pursuant to Sections 8.02(xii) and 5.07(l) hereof, and third, the Servicer, to the extent that
the Indenture Trustee’s claims for indemnification exceed $125,000 in any calendar year and there are no funds available at priority second above available for such purpose, and held harmless against any loss, liability costs or
reasonable expense incurred in connection with this Indenture or the Notes, other than any loss, liability, cost or expense incurred by reason of willful misfeasance, bad faith or negligence in the performance by the Indenture Trustee of its duties
hereunder or by reason of its failure to perform its obligations hereunder. The obligations of the Servicer and the Issuing Entity under this Section 6.16 shall survive termination of the Issuing Entity and payment of the Notes, and shall
extend to any co-Indenture Trustee or separate-Indenture Trustee appointed pursuant to this Article VI. 
 The Indenture Trustee or its
Affiliates are permitted to receive additional compensation that could be deemed to be in the Indenture Trustee’s economic self-interest for (i) serving as investment adviser, administrator, shareholder, servicing agent, custodian or
sub-custodian with respect to certain Permitted Investments, (ii) using Affiliates to effect transactions in certain Permitted Investments and (iii) effecting transactions in certain Permitted Investments. Such compensation is not payable
pursuant to this Indenture. 
 ARTICLE VII 
 NOTEHOLDERS’ LISTS AND REPORTS 
 Section 7.01. Note Registrar to Furnish Indenture Trustee
Names and Addresses of Noteholders. (a) The Note Registrar shall furnish or cause to be furnished to the Indenture Trustee (i) semiannually, not less than forty-five (45) days nor more than sixty (60) days after the Payment
Date occurring closest to six (6) months after the Closing Date and each Payment Date occurring at six (6) month intervals thereafter, all information in the possession or control of the Note Registrar, in such form as the Indenture
Trustee may reasonably require, as to names and addresses of the Noteholders, and (ii) at such other times, as the Indenture Trustee may request in writing, within thirty (30) days after receipt by the Note Registrar of any such request, a
list of similar form and content as of a date not more than ten (10) days prior to the time such list is furnished; provided, however, that so long as the Indenture Trustee is the Note Registrar, no such list shall be required to be furnished.

 (b) In addition to furnishing to the Indenture Trustee the Noteholder lists, if any, required under paragraph (a) of
this Section 7.01, the Note Registrar shall also furnish all Noteholder lists, if any, required under Section 3.03 hereof at the times required by such Section 3.03. 
 Section 7.02. Preservation of Information: Communications to Noteholders. (a) The Indenture Trustee shall preserve, in as current a form as
is reasonably practicable, the names and addresses of the Holders of Notes contained in the most recent list, if any, furnished to the Indenture Trustee as provided in Section 7.01 hereof and the names and addresses of the Holders of Notes
received by the Indenture Trustee in its capacity as Note Registrar. The Indenture Trustee may destroy any list furnished to it as provided in Section 7.01 hereof upon receipt of a new list so furnished. 
  

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 (b) Noteholders may communicate pursuant to TIA Section 312(b) with other
Noteholders with respect to their rights under this Indenture or under the Notes. To the extent that the Notes are Book Entry, upon the request of such Noteholders, the Indenture Trustee will obtain for such Noteholders at such Noteholders’
expense, the names and addresses of the Clearing Agency Participants needed to allow such Noteholders to communicate. 
 (c)
The Issuing Entity, the Indenture Trustee and the Note Registrar shall have the protection of TIA Section 312(c). 
 Section 7.03.
Reports by Indenture Trustee. 
 (a) Within sixty (60) days after December 31 of each year (the
“reporting date”), commencing December 31, 200[_], (i) the Indenture Trustee shall, if required by TIA Section 313(a), mail to all Noteholders described in TIA Section 313(c) a brief report dated as of such reporting
date that complies with TIA Section 313(a); (ii) the Indenture Trustee shall, to the extent not set forth in the Indenture Trustee’s Remittance Report pursuant to Section 2.08(d) hereof, also mail to Noteholders described in TIA
Section 313(c) and the Note Insurer with respect to which it has made advances, any reports with respect to such advances that are required by TIA Section 313(b)(2); and, the Indenture Trustee shall also mail to Noteholders described in
TIA Section 313(c) and the Note Insurer any reports required by TIA Section 313(b)(1). For purposes of the information required to be included in any such reports pursuant to TIA Sections 313(a)(2), 313(b)(1) (if applicable), or 313(b)(2),
the principal amount of indenture securities outstanding on the date as of which such information is provided shall be the Note Principal Balance of the then Outstanding Notes covered by the report. 
 A copy of each report at the time of its mailing to Noteholders will be filed by the Trustee with the Commission and each stock exchange, if any, on
which the Notes are listed. The Issuing Entity will notify the Trustee if and when the Notes are listed on any stock exchange. 
 (b) If required under Regulation AB, the Indenture Trustee will: 
 (i) deliver to the Depositor, the Owner Trustee
and the Servicer, a report, dated as of December 31 of the preceding calendar year, on its assessment of compliance with the minimum servicing criteria regarding cash and collection administration during the preceding calendar year, including
disclosure of any material instance of non-compliance identified by the Indenture Trustee, as required by Rule 13a-18 and 15d-18 of the Exchange Act and Item 1122 of Regulation AB under the Securities Act, and such additional provisions of
Item 1122 as may be agreed among the Depositor, the Servicer and the Indenture Trustee to comply with the provisions of Regulation AB. 
 (ii) cause a firm of registered public accountants that is qualified and independent within the meaning of Rule 2-01 of Regulation S-X under the Securities Act to deliver to the Depositor, Owner Trustee and the
Servicer an attestation report that satisfies the requirements of Rule 13a-18 or Rule 15d-18 under the Exchange Act, as applicable, on the assessment of compliance with servicing criteria with respect to the 

  

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prior calendar year. Such attestation report will be addressed to the board of directors of the Servicer and to the Depositor and Owner Trustee. Such
attestation report will be in accordance with Rules 1-02(a)(3) and 2-02(g) of Regulation S-X under the Securities Act and the Exchange Act. The firm may render other services to the Indenture Trustee, but the firm must indicate in each attestation
report that it is qualified and independent within the meaning of Rule 2-01 of Regulation S-X under the Securities Act. 
 (iii) The reports referred to in this Section [__] will be delivered on or before March 15 of each year in which a Form 10-K is required to be filed, beginning March 15, 2007. 
 (c) The Indenture Trustee will furnish to the Depositor or the Issuing Entity, in writing, the necessary disclosure describing the legal
proceedings required to be disclosed under Item 1117 of Regulation AB with respect to the Indenture Trustee, for inclusion in reports, so long as such reports are required to be filed, pursuant to the Exchange Act. 
 Section 7.04. Reports by Issuing Entity. The Issuing Entity shall cause the Servicer, on behalf of the Issuing Entity, (a) to deliver to the
Indenture Trustee at least five days before the Issuing Entity is required to file the same with the Commission copies of the annual reports and of the information, documents and other reports (or copies of such portions of any of the foregoing as
the Commission may by rules and regulations prescribe) that the Issuing Entity is required to file with the Commission pursuant to Section 13 or 15(d) of the Exchange Act, and (b) to also comply with the other provisions of TIA
Section 314(a). 
 A copy of each report required under this Section 7.04 shall, at the time of such transmission to Holders of
Notes and the Note Insurer be filed by the Sponsor with the Commission and with each securities exchange upon which the Notes are listed. The Servicer, on behalf of the Issuing Entity, will notify the Indenture Trustee when the Notes are listed on
any securities exchange. 
 ARTICLE VIII 
 ACCOUNTS, PAYMENTS OF INTEREST AND PRINCIPAL, AND RELEASES 
 Section 8.01. Accounts; Investment;
Collection of Moneys. (a) The Issuing Entity hereby directs the Indenture Trustee to establish, on or before the Closing Date, two Eligible Accounts that shall be the “Payment Accounts” for the Notes. Each Payment Account shall
relate to one of the two Classes of Notes. The Indenture Trustee shall promptly deposit in the related Payment Account: 
 (i)
the Servicer Remittance Amount for the related Group received by it from the Servicer on the Servicer Remittance Date pursuant to the Sale and Servicing Agreement; 
 (ii) any other funds from any deposits for such Group to be made by the Servicer pursuant to the Sale and Servicing Agreement; 

 

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 (iii) any amount for such Group required to be deposited in such Payment Account pursuant
to Section 8.01(c); 
 (iv) all amounts for such Group received pursuant to Section 8.03 hereof; 
 (v) the Termination Price received by it from the Depositor on the Clean-up Call Date pursuant to Section 10.01; 
 (vi) on each Payment Date, in accordance with the Indenture Trustee’s Remittance Report, (A) until the Shortfall Amount for the
related Class is paid in full, and (B) until the amount specified in clause (vi) of Section 8.02 for such group is paid in full, in each case, first, from the Payment Account relating to the other Class of Notes, to the extent
of the Net Monthly Excess Cashflow from the Group of Mortgage Loans relating to the other Class of Notes [and second, from each sub-account of the Reserve Account, an amount equal to the product of (A) a fraction, the numerator of which
is the amount on deposit in the such sub-account of the Reserve Account and the denominator of which is the aggregate amount on deposit in the Reserve Account and (B) the Shortfall Amount after giving effect to this Section 8.01(a)(vi)(B)
first]; 
 (vii) [on each Payment Date, from each sub-account of the Reserve Account, an amount equal to the product of
(A) a fraction, the numerator of which is the amount on deposit in each such sub-account of the Reserve Account and the denominator of which is the aggregate amount on deposit in the Reserve Account and (B) the Reserve Account Release
Amount; and ] 
 (viii) all other amounts for such Group received for deposit in such Payment Account from the Servicer and
the payment of any Loan Repurchase Price or Substitution Adjustment for a Mortgage Loan in such Group received by the Indenture Trustee. 
 All amounts that are deposited from time to time in a Payment Account are subject to withdrawal by the Indenture Trustee for the purposes set forth in Section 8.02 hereof. All funds withdrawn from a Payment Account pursuant to
Section 8.02 hereof for the purpose of making payments to the Holders of Notes shall be applied in accordance with Sections 3.03 and 8.02 hereof. 
 (b) [The Issuing Entity hereby directs the Indenture Trustee to establish, on or before the Closing Date, an Eligible Account that shall be the “Reserve Account” for the Notes. The Reserve Account will
consist of two sub-accounts, each of which shall relate to a Class of Notes and the related Loan Group. The Indenture Trustee shall deposit and withdraw funds in the Reserve Account, and the sub-accounts thereof, in accordance with the provisions of
Section 8.01(a) and Section 8.02 hereof. Amounts in the Reserve Account can be used to (i) pay Shortfall Amounts in accordance with Section 8.01 and (ii) to pay Class A-1 Available Funds Cap Carry-forward Amounts and
Class A-2 Available Funds Cap Carry-forward Amounts. Amounts on deposit in either sub-account of the Reserve Account may be used to pay Shortfall Amounts for either Class of Notes, provided, that to the extent that funds are on deposit in both
sub-accounts, funds will be withdrawn pursuant to Section 8.01(a)(vi). Available Funds Cap 

  

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Carry-Forward Amounts can only be paid from funds released from each related sub-account of the Reserve Account pursuant to Section 8.01(a)(vii).]

 (c) The Issuing Entity hereby directs the Indenture Trustee to establish, on or before the Closing Date, two Eligible
Accounts that shall be the “Yield Maintenance Accounts” for the Notes. Each Yield Maintenance Account shall relate to one of the two Classes of Notes and the related Loan Group. The Indenture Trustee shall deposit into each Yield
Maintenance Account, on each Payment Date, from the total amount, if any, received by it under the related Cap Agreement, an amount equal to the product of (x) the excess, if any, of (i) the lesser of one-month LIBOR and the maximum rate
(as such terms are used in the related Cap Agreement) over (ii) the strike rate with respect to such Payment Date and the related Note Balance immediately prior to such Payment Date. Any excess over the amount payable under the related Cap
Agreement over the amount described in the prior sentence will be distributed on such Payment Date to the Certificateholder. The Indenture Trustee shall withdraw funds in each Yield Maintenance Account in accordance with the provisions of
Section 8.02 hereof. Amounts in each Yield Maintenance Account can only be used on each Payment Date to pay the related Available Funds Cap Carry-forward Amounts: any remaining amounts will be released on each Payment Date to the
Certificateholders pursuant to Section 8.02(xv) hereof. 
 (d) So long as no Default or Event of Default shall have
occurred and be continuing, amounts held in the Accounts, other than the Payment Account or the Note Insurance Payment Account, shall at the written direction of the Servicer be invested in Permitted Investments, which Permitted Investments shall
mature no later than the Business Day preceding the immediately following Payment Date; provided, however, that the Indenture Trustee shall have no obligation to invest funds deposited into the Accounts later than 12:15 p.m. (Pacific Time) on the
day of receipt. Absent written direction, all such amounts shall be held uninvested. Amounts in the Payment Account may be invested in Permitted Investments at the direction of the Indenture Trustee or remain uninvested. 
 All income or other gains, if any, from investment of moneys deposited in the Collection Account shall be for the benefit of the Servicer, and in the
Payment Account for the benefit of the Indenture Trustee, respectively and on or after each Payment Date, any such amounts may be released from such Accounts and paid to the Servicer or Indenture Trustee, as applicable, as part of its compensation
hereunder. Any loss resulting from such investment of moneys deposited in the Collection Account or the Payment Account, respectively, shall be reimbursed immediately as incurred to the related Account by the Servicer or Indenture Trustee,
respectively. Subject to Section 6.01 hereof and the preceding sentence, neither the Indenture Trustee nor the Servicer shall in any way be held liable by reason of any insufficiency in the Accounts. 
 The Indenture Trustee shall not in any way be held liable by reason of any insufficiency in any Account (other than the Payment Account) held by the
Indenture Trustee resulting from any investment loss on any Permitted Investment included therein (except to the extent that the Indenture Trustee is the obligor and has defaulted thereon). 
 In order to comply with its duties under the U.S.A. Patriot Act, of 2001, the Indenture Trustee shall obtain and verify certain information and
documentation from the other party to this Indenture including, but not limited to, such party’s name, address, and other identifying information. 
  

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 (e) Except as otherwise expressly provided herein, the Indenture Trustee may demand
payment or delivery of, and shall receive and collect, directly and without intervention or assistance of any fiscal agent or other intermediary, all money and other property payable to or receivable by the Indenture Trustee pursuant to this
Indenture. The Indenture Trustee shall hold all such money and property received by it as part of the Trust Estate and shall apply it as provided in this Indenture. 
 If the Indenture Trustee shall not have received the Servicer Remittance Amount by close of business on any related Servicer Remittance Date, the Indenture Trustee shall, unless the Servicer shall have made provisions
satisfactory to the Indenture Trustee for delivery to the Indenture Trustee of an amount equal to such Servicer Remittance Amount, deliver a notice, with a copy to the Note Insurer, to the Servicer of the Servicer’s failure to remit such
Servicer Remittance Amount and that such failure, if not remedied by the close of business on the Business Day after the date upon which such notice is delivered to the Servicer, shall constitute a Servicer Event of Default under the Sale and
Servicing Agreement. If the Indenture Trustee shall subsequently receive any such Servicer Remittance Amount by the close of business on such Business Day (along with interest at the Prime Rate as set forth in the Wall Street Journal, accruing from
the Servicer Remittance Date to the date such Servicer Remittance Amount was actually received, and payable to the Indenture Trustee) such Servicer Event of Default shall not be deemed to have occurred. Notwithstanding any other provision hereof,
the Indenture Trustee shall deliver to the Servicer, or its designee or assignee, any Servicer Remittance Amount received with respect to a Mortgage Loan after the related Servicer Remittance Date to the extent that the Servicer previously made
payment or provision for payment with respect to such Servicer Remittance Amount in accordance with this Section 8.01, and any such Servicer Remittance Amount shall not be deemed part of the Trust Estate. 
 Except as otherwise expressly provided in this Indenture and the Sale and Servicing Agreement, if, following delivery by the Indenture Trustee of the
notice described above, the Servicer shall fail to remit the Servicer Remittance Amount on any Servicer Remittance Date, the Indenture Trustee shall deliver a second notice to the Servicer, the Issuing Entity and the Note Insurer by the close of
business on the Business Day immediately prior to the related Payment Date indicating that a Servicer Event of Default occurred and is continuing under the Sale and Servicing Agreement. Thereupon, the Indenture Trustee shall take such actions as are
required of the Indenture Trustee under Article VII of the Sale and Servicing Agreement. In addition, if a default occurs in any other performance required under the Sale and Servicing Agreement, the Indenture Trustee may, and upon the request of
the Note Insurer or, with the consent of the Note Insurer, the Holders of Notes representing more than 50% of the Note Principal Balance of the Outstanding Notes of both Classes shall, take such action as may be appropriate to enforce such payment
or performance including the institution and prosecution of appropriate Proceedings. Any such action shall be without prejudice to any right to claim a Default or Event of Default under this Indenture and to proceed thereafter as provided in Article
V hereof. 
  

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 Section 8.02. Payments; Statements. On each Payment Date, the Indenture Trustee shall withdraw
from each Payment Account such amounts on deposit therein relating to the Indenture Trustee’s expenses and other amounts then due to it, including any payments with respect to reimbursement or indemnification due to the Indenture Trustee
(subject to Section 6.16), and shall pay such amounts to itself. On each Payment Date, unless the Notes have been declared due and payable pursuant to Section 5.02 hereof and moneys collected by the Indenture Trustee are being applied in
accordance with Section 5.07 hereof, Available Funds on deposit in each Payment Account on any Payment Date or Redemption Date shall be withdrawn from such Payment Account, in the amounts required (based on the Indenture Trustee’s
Remittance Report prepared by the Indenture Trustee on or before such Payment Date in reliance on the related Servicer Remittance Report), for application on such Payment Date in respect of payments for the related Class of Notes as follows:

 (i) from amounts then on deposit in the related Payment Account, to the Note Insurer, the Premium for that Payment Date,
with respect to the related Class of Notes; 
 (ii) from amounts then on deposit in the related Payment Account, to the
Holders of the related Class of Notes, the Interest Payment Amount for such Class; 
 (iii) from amounts then on deposit in
the related Payment Account, to the Holders of the related Class of Notes, the Base Principal Payment Amount for such Class; 
 (iv) from amounts then on deposit in the related Payment Account, as a payment of principal, an amount equal to the Overcollateralization Deficit, if any, for the related Class of Notes; 
 (v) with respect to the other Class of Notes, from amounts then on deposit in the related Payment Account, to the Holders of the other
Class of Notes, the Shortfall Amount for the other Class; 
 (vi) from amounts then on deposit in the related Payment Account,
to the Note Insurer, the Reimbursement Amount with respect to the related Class as of such Payment Date; 
 (vii) from amounts
then on deposit in the related Payment Account, to the Note Insurer, the Reimbursement Amount with respect to the other Class of Notes as of such Payment Date to the extent not already reimbursed pursuant to clause (iv) above; 
 (viii) from amounts then on deposit in the related Payment Account, as a payment of the principal, an amount equal to the
Overcollateralization Increase Amount for the related Class of Notes; 
 (ix) [from amounts then on deposit in the related
Payment Account, to the related sub-account of the Reserve Account, the Reserve Payment Amount;] 
 (x) with respect to each
class of Notes, from amounts then on deposit in the related Payment Account, the related Yield Maintenance Account [and amounts released 

  

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from the related sub-account of the Reserve Account], to the Holders of such Class of Notes, the related Available Funds Cap Carry-Forward Amount;

 (xi) from amounts then on deposit in the Payment Account related to a Class of Notes, to the Servicer, any amount due to it
with respect to the related Group of Mortgage Loans; 
 (xii) pro rata, from aggregate amounts then on deposit in both Payment
Accounts, any amounts in respect of indemnity or reimbursement due the Indenture Trustee under any of the Basic Documents to the extent not previously paid or reimbursed hereunder; 
 (xiii) from aggregate amounts then on deposit in both Payment Accounts, to the Owner Trustee, its Expenses as defined in Section 9.02
of the Trust Agreement, to the extent the Sponsor has not already paid to the Owner Trustee such Expenses; 
 (xiv) from the
aggregate amounts then on deposit in the related Payment Account, to the Holders of the other Class of Notes, any amount due to them as an Interest Reduction Carryforward Amount; and 
 (xv) following the making by the Indenture Trustee of all allocations, transfers and disbursements described above, from amounts then on
deposit in each Payment Account and the Yield Maintenance Accounts, the Indenture Trustee shall distribute to the Certificateholders (as identified in the Certificate Register maintained by the Owner Trustee), the amount remaining on such Payment
Date in each Payment Account and the Yield Maintenance Accounts, if any. 
 Section 8.03. Claims against the Note Insurance Policy.
(a) No later than two (2) Business Days prior to each Payment Date, the Indenture Trustee shall determine with respect to the immediately following Payment Date, the amount required to be on deposit in each Payment Account on such Payment
Date as a result of the Servicer’s remittance of the Servicer Remittance Amount on the related Servicer Remittance Date. 
 (b) If the Servicer Remittance Report with respect to any Payment Date indicates that an Insured Amount shall be payable for any Group, after giving effect to the distributions specified in Section 8.02 (calculating such distributions
without giving effect to any Insured Amount to be paid by the Note Insurer on such Payment Date), the Indenture Trustee shall complete a Notice in the form of Exhibit A to the Note Insurance Policy and submit such notice to the Note Insurer no later
than 12:00 noon New York City time (9:00 Los Angeles time) on the second Business Day preceding such Payment Date as a claim for an Insured Amount. 
 (c) The Indenture Trustee shall establish an Eligible Account (which may be a subaccount of the Payment Account) for the benefit of Holders of the Notes and the Note Insurer referred to herein as the “Note
Insurance Payment Account” over which the Indenture Trustee shall have exclusive control and sole right of withdrawal. The Indenture Trustee shall deposit upon receipt any amount paid under the Note Insurance Policy in the Note Insurance
Payment Account and distribute such amount only for purposes of payment to the Noteholders of the related Group of the Insured Amount for such Group for which a claim was made and such 

  

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amount may not be applied to satisfy any costs, expenses or liabilities of the Servicer, the Indenture Trustee or the Issuing Entity. Amounts paid under the
Note Insurance Policy, to the extent needed to pay the Insured Amount shall be disbursed by the Indenture Trustee to the Noteholders in accordance with Section 8.02. It shall not be necessary for such payments to be made by checks or wire
transfers separate from the checks or wire transfers used to pay the Insured Amount with other funds available to make such payment. However, the amount of any payment of principal of or interest on the Notes to be paid from funds transferred from
the Note Insurance Payment Account shall be noted as provided in subsection (d) of this Section 8.03 in the Note Register and in the Indenture Trustee’s Remittance Report. Funds held in the Note Insurance Payment Account shall not be
invested. Any funds remaining in the Note Insurance Payment Account on the first Business Day following a Payment Date shall be returned to the Note Insurer pursuant to the written Instructions of the Note Insurer by the end of such Business Day.

 (d) The Indenture Trustee shall keep a complete and accurate record of the amount of interest and principal paid in respect
of any Note from moneys received under the Note Insurance Policy. The Note Insurer shall have the right to inspect such records at reasonable times during normal business hours upon one (1) Business Day’s prior written notice to the
Indenture Trustee. 
 (e) In the event that the Indenture Trustee has received a certified copy of an order of the appropriate
court that any Insured Amount has been voided in whole or in part as a preference payment under applicable bankruptcy law, the Indenture Trustee shall so notify the Note Insurer, shall comply with the provisions of the Note Insurance Policy to
obtain payment by the Note Insurer of such voided Insured Amount, and shall, at the time it provides notice to the Note Insurer, notify, by mail to the Noteholders of the affected Notes that, in the event any Noteholder’s Insured Amount is so
recovered, such Noteholder will be entitled to payment pursuant to the Note Insurance Policy, a copy of which shall be made available through the Indenture Trustee, the Note Insurer or the Note Insurer’s fiscal agent, if any, and the Indenture
Trustee shall furnish to the Note Insurer or its fiscal agent, if any, its records evidencing the payments which have been made by the Indenture Trustee and subsequently recovered from the Noteholders, and dates on which such payments were made.

 (f) The Indenture Trustee shall promptly notify the Note Insurer of any proceeding or the institution of any action, of
which a Responsible Officer of the Indenture Trustee has actual knowledge, seeking the avoidance as a preferential transfer under applicable bankruptcy, insolvency, receivership or similar law (a “Preference Claim”) of any payment
made with respect to the Notes. Each Noteholder, by its purchase of Notes, the Servicer and the Indenture Trustee agree that, the Note Insurer (so long as no Note Insurer Default exists) may at any time during the continuation of any proceeding
relating to a Preference Claim direct all matters relating to such Preference Claim, including, without limitation, (i) the direction of any appeal of any order relating to such Preference Claim and (ii) the posting of any surety,
supersede as or performance bond pending any such appeal. In addition and without limitation of the foregoing, the Note Insurer shall be subrogated to, and each Noteholder, the Servicer and the Indenture Trustee hereby delegate and assign to the
Note Insurer, to the fullest extent permitted by law, the rights of the Servicer, the Indenture Trustee and each Noteholder in the conduct of any such Preference Claim, including, without limitation, all rights of any party to any adversary
proceeding or action with respect to any court order issued in connection with any such Preference Claim. 
  

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 (g) The Indenture Trustee shall, upon retirement of the Notes, furnish to the Note
Insurer a notice of such retirement, and, upon retirement of the Notes and the expiration of the term of the Note Insurance Policy, surrender the Note Insurance Policy to the Note Insurer for cancellation. 
 (h) Unless a Note Insurer Default exists and is continuing, the Indenture Trustee and the Issuing Entity shall cooperate in all respects
with any reasonable request by the Note Insurer for action to preserve or enforce the Note Insurer’s rights or interests hereunder without limiting the rights or affecting the interests of the Noteholders as otherwise set forth herein.

 (i) Each Noteholder, by its purchase of Notes, and the Indenture Trustee hereby agrees that, unless a Note Insurer Default
exists and is continuing, the Note Insurer shall have the right to direct all matters relating to the Notes in any proceeding in a bankruptcy of the Issuing Entity, including without limitation any proceeding relating to a Preference Amount and the
posting of any surety or Note pending any such appeal. 
 (j) Anything herein to the contrary notwithstanding, any payment
with respect to principal of or interest on the Notes which is made with moneys received pursuant to the terms of the Note Insurance Policy shall not be considered payment of the Notes from the Issuing Entity. The Issuing Entity and the Indenture
Trustee acknowledge, and each Holder by its acceptance of a Note agrees, that without the need for any further action on the part of the Note Insurer, the Issuing Entity, the Indenture Trustee or the Note Registrar (x) to the extent the Note
Insurer makes payments, directly or indirectly, on account of principal of or interest on the Notes to the Holders of such Notes, the Note Insurer will be fully subrogated to, and each Noteholder, the Issuing Entity and the Indenture Trustee hereby
delegate and assign to the Note Insurer, to the fullest extent permitted by law, the rights of such Holders to receive such principal and interest from the Issuing Entity, including, without limitation, any amounts due to the Noteholders in respect
of securities law violations arising from the offer and sale of the Notes, and (y) the Note Insurer shall be paid such amounts from the sources and in the manner provided herein for the payment of such amounts. 
 Section 8.04. General Provisions Regarding the Payment Accounts and Mortgage Loans. (a) Each Payment Account shall relate solely to the Notes
of the related Class and to the Mortgage Loans in the related Group, Permitted Investments and other property securing the related Notes. Funds and other property in each Payment Account shall not be commingled with the other Payment Account or any
other moneys or property of the Issuing Entity or any Affiliate thereof. Notwithstanding the foregoing, the Indenture Trustee may hold any funds or other property received or held by it as part of a Payment Account in collective accounts maintained
by it in the normal course of its business and containing funds or property held by it for other Persons (which may include the Issuing Entity or an Affiliate); provided, that such accounts are under the sole control of the Indenture Trustee and the
Indenture Trustee maintains adequate records indicating the ownership of all such funds or property and the portions thereof held for credit to the related Payment Account. 
  

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 (b) If any amounts are needed for payment from a Payment Account and sufficient
uninvested funds are not available therein to make such payment, the Indenture Trustee shall cause to be sold or otherwise converted to cash, to the extent available, a sufficient amount of the investments in such Payment Account. 
 (c) The Indenture Trustee shall, at all times while any Notes are Outstanding, maintain in its possession, or in the possession of an
agent whose actions with respect to such items are under the sole control of the Indenture Trustee, all certificates or other instruments, if any, evidencing any investment of funds in the Payment Accounts. The Indenture Trustee shall relinquish
possession of such items, or direct its agent to do so, only for purposes of collecting the final payment receivable on such investment or certificate or, in connection with the sale of any investment held in the Payment Accounts, against delivery
of the amount receivable in connection with any sale. 
 (d) The Servicer shall not direct the Indenture Trustee to invest any
part of the Trust Estate in Permitted Investments that constitute uncertificated securities (as defined in Section 8-102 of the Uniform Commercial Code, as enacted in the relevant jurisdiction) unless it has delivered an Opinion of Counsel
addressed to the Indenture Trustee and reasonably satisfactory in form and substance to the Indenture Trustee setting forth, with respect to each type of security for which authority to invest is being sought, the procedures that must be followed to
maintain the lien and security interest created by this Indenture with respect to the Trust Estate. 
 (e) With respect to any
portion of the Trust Estate invested in Permitted Investments, the Indenture Trustee acknowledges and agrees that: 
 (i) any
Permitted Investment that is held in a deposit account shall be held solely in an Eligible Account; and each such Eligible Account shall be subject to the sole and exclusive dominion, custody and control of the Indenture Trustee; and, without
limitation on the foregoing, the Indenture Trustee shall have sole signature authority with respect thereto; 
 (ii) any
Permitted Investment that constitutes Physical Property shall be delivered to the Indenture Trustee in accordance with paragraph (a) and/or (b) of the definition of “Delivery,” as applicable, and shall be held, pending maturity
or disposition, solely by the Indenture Trustee or a securities intermediary (as such term is defined in Section 8-102(a)(14) of the Uniform Commercial Code) acting solely for the Indenture Trustee; and 
 (iii) any Permitted Investment that is a book-entry security held through the Federal Reserve System pursuant to federal book-entry
regulations shall be delivered in accordance with paragraph (c) of the definition of “Delivery” and shall be maintained by the Indenture Trustee, pending maturity or disposition, through continued book-entry registration of such
Permitted Investment as described in such paragraph. 
 Section 8.05. Releases of Deleted Mortgage Loans. Upon notice or discovery by
a Responsible Officer of the Indenture Trustee that any of the representations or warranties of the 

  

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Sponsor set forth in Section 4.01 of the Sale and Servicing Agreement was materially incorrect or otherwise misleading with respect to any Mortgage Loan
as of the time made, the Indenture Trustee shall direct the Sponsor to either cure, repurchase or substitute for such Mortgage Loan as provided in Section 4.02 of the Sale and Servicing Agreement. Upon any purchase of or substitution for a
Deleted Mortgage Loan by the Sponsor in accordance with Section 2.06 or Section 4.02 of the Sale and Servicing Agreement, the Indenture Trustee shall deliver the Indenture Trustee’s Mortgage File relating to such Deleted Mortgage Loan
to the Sponsor, and the Issuing Entity and the Indenture Trustee shall execute such instruments of transfer as are necessary to convey title to such Deleted Mortgage Loan to the Sponsor from the lien of this Indenture. Nothing in this
Section 8.05 should be construed to obligate the Indenture Trustee to actively monitor the correctness or accuracy of the representations and warranties of the Sponsor. 
 Section 8.06. Reports by Indenture Trustee to Noteholders; Access to Certain Information. On each Payment Date, the Indenture Trustee, shall
provide the written reports required by the first paragraph of Section 2.08(d) to Noteholders of record as of the related Record Date (including the Clearing Agency, if any) and the Note Insurer. The Indenture Trustee will make available the
Indenture Trustee’s Remittance Report (and, at its option, any additional files containing the same information in an alternative format) to any interested person via the Indenture Trustee’s internet website. The Indenture Trustee’s
internet website shall initially be located at https://www                      and assistance in using the website can be obtained by calling
the Indenture Trustee’s investor relations desk at [                    ]. The Indenture Trustee shall have the right to alter the manner
in which it provides its Indenture Trustee’s Remittance Reports to Noteholders upon notice to Noteholders in the manner in which such Indenture Trustee’s Remittance Reports are then being provided. 
 The Indenture Trustee shall make available at its Corporate Trust Office, during normal business hours, for review by any Noteholder, designees of the
Issuing Entity, or the Note Insurer, originals or copies of the following items: (a) the Indenture and any amendments thereto, (b) all Indenture Trustee’s Remittance Reports and other reports delivered since the Closing Date pursuant
to Section 2.08(d) hereof, (c) any Officers’ Certificates delivered to the Indenture Trustee since the Closing Date as described in the Indenture and (d) any Accountants’ reports delivered to the Indenture Trustee since the
Closing Date as required under the Sale and Servicing Agreement. Copies of any and all of the foregoing items will be available from the Indenture Trustee upon request; however, the Indenture Trustee will be permitted to require payment of a sum
sufficient to cover the reasonable costs and expenses of providing such copies and shall not be required to provide such copies without reasonable assurances that such sum will be paid. 
 Section 8.07. Release of Trust Estate. The Indenture Trustee shall, at such time as there are no Notes Outstanding, release all of the Trust
Estate to the Issuing Entity (other than any cash held for the payment of the Notes pursuant to Section 3.03 or 4.02 hereof and amounts due to the Indenture Trustee hereunder). 
 Section 8.08. Amendment to Sale and Servicing Agreement. The Indenture Trustee may, without the consent of any Holder, enter into or consent to
any amendment or supplement to the Sale and Servicing Agreement for the purpose of increasing the obligations or duties of any party other than the Indenture Trustee or the Holders of the Notes. The Indenture Trustee 

  

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shall not enter into or consent to any such supplement or amendment unless the Indenture Trustee receives (i) an Opinion of Counsel that the position of
the Holders would not be materially adversely affected or written confirmation of satisfaction of the Rating Agency Condition has been delivered to it and (ii) an Opinion of Counsel experienced in federal income tax matters that such amendment
or supplement will not prevent the Notes from being characterized as debt for United States federal income tax purposes and will not cause the Issuing Entity to be subject to federal income tax. The Indenture Trustee may in its discretion decline to
enter into any such supplement or amendment if its own rights, duties or immunities would be adversely affected. Prior to entering into any supplement or amendment an Opinion of Counsel shall be delivered to the Indenture Trustee (upon which it may
conclusively rely) to the effect that such amendment or supplement is permitted and authorized by this Indenture and the Sale and Servicing Agreement. 
 Section 8.09. Delivery of the Mortgage Files Pursuant to Sale and Servicing Agreement. As is appropriate for the servicing or foreclosure of any Mortgage Loan, the Indenture Trustee shall deliver to the
Servicer (if directed in writing by the Servicer) the Indenture Trustee’s Mortgage Files for such Mortgage Loan upon receipt by the Indenture Trustee on or prior to the date such release is to be made of: 
 (a) such Officer’s Certificates, if any, as are required by the Sale and Servicing Agreement; and 
 (b) a Request for Release, executed by the Servicer, providing that the Servicer (if directed in writing by the Servicer) will hold or
retain the Indenture Trustee’s Mortgage Files in trust for the benefit of the Indenture Trustee, the Note Insurer and the Holders of Notes. 
 Section 8.10. Servicer as Agent. In order to facilitate the servicing of the Mortgage Loans by the Servicer of such Mortgage Loans, the Servicer of the Mortgage Loans has been appointed by the Issuing Entity to retain, in accordance
with the provisions of the Sale and Servicing Agreement and this Indenture, all Servicer Remittance Amounts on such Mortgage Loans prior to their deposit into the related Payment Account on or prior to the related Servicer Remittance Date.

 Section 8.11. Termination of Servicer. In the event of the occurrence of a Servicer Event of Default specified in Section 7.01
of the Sale and Servicing Agreement, the Indenture Trustee may, with the consent of the Note Insurer or, with the prior written consent of the Note Insurer, the Holders of Notes representing more than 50% of the Note Principal Balance of the
Outstanding Notes of both Classes, and shall, upon the written direction of the Note Insurer (or as otherwise provided in the Sale and Servicing Agreement), terminate the Servicer as provided in Section 7.01 of the Sale and Servicing Agreement.
If the Indenture Trustee terminates the Servicer, the Indenture Trustee as successor servicer shall, pursuant to Section 7.02 of the Sale and Servicing Agreement, assume the duties of the Servicer or appoint a successor servicer acceptable to
the Rating Agencies in accordance with the directions of the Note Insurer and meeting the requirements set forth in the Sale and Servicing Agreement. 
  

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 Section 8.12. Opinion of Counsel. The Indenture Trustee shall be entitled to receive at least five
(5) Business Days’ notice of any action to be taken pursuant to Sections 8.08 and 8.09 hereof (other than in connection with releases of Mortgage Loans that were subject to a prepayment in full), accompanied by copies of any instruments
involved, and the Indenture Trustee shall be entitled to receive an Opinion of Counsel, in form and substance reasonably satisfactory to the Indenture Trustee, stating the legal effect of any such action, outlining the steps required to complete the
same, and concluding that all conditions precedent to the taking of such action have been complied with. Counsel rendering any such opinion may rely, without independent investigation, on the accuracy and validity of any certificate or other
instrument delivered to the Indenture Trustee in connection with any such action. 
 Section 8.13. Appointment of Collateral Agents.
The Indenture Trustee may, at no additional cost to the Issuing Entity or to the Indenture Trustee, with the consent of the Note Insurer, appoint one or more Collateral Agents to hold all or a portion of the Indenture Trustee Mortgage Files, as
Agent for the Indenture Trustee. Such Collateral Agent shall meet the requirements of Article IX of the Sale and Servicing Agreement. Matters concerning the Collateral Agents shall be governed by said Article IX. 
 Section 8.14. Rights of the Note Insurer to Exercise Rights of Noteholders. By accepting its Notes, each Noteholder agrees that unless a Note
Insurer Default exists, the Note Insurer shall have the right to exercise all rights of the Noteholders under this Indenture, without any further consent of the Noteholders, including, without limitation: 
 (a) the right to require the Servicer to effect foreclosures upon Mortgage Loans upon failure of the Servicer to do so; 
 (b) the right to require the Sponsor to repurchase or substitute for Deleted Mortgage Loans pursuant to Section 8.05; 
 (c) the right to direct the actions of the Indenture Trustee during the continuance of an Event of Default; and 
 (d) the right to vote on proposed amendments to this Indenture. 
 In addition, each Noteholder agrees that, unless a Note Insurer Default exists, the rights specifically set forth above may be exercised by the
Noteholders only with the prior written consent of the Note Insurer. 
 Except as otherwise provided in Section 8.03 hereof and
notwithstanding any provision in this Indenture to the contrary, so long as a Note Insurer Default has occurred and is continuing, the Note Insurer shall have no rights to exercise any voting rights of the Noteholders hereunder, nor shall the
Indenture Trustee be required to obtain the consent of, or act at the direction of, the Note Insurer. 
 All notices, statements, reports,
certificates or opinions required by this Indenture to be sent to any other party hereto or to the Noteholders shall also be sent to the Note Insurer. 
  

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 Section 8.15. Trust Estate and Accounts Held for Benefit of the Note Insurer. The Indenture
Trustee shall hold the Trust Estate and the Indenture Trustee’s Mortgage Files, for the benefit of the Noteholders and the Note Insurer, and all references in this Indenture and in the Notes to the benefit of Holders of the Notes shall be
deemed to include the Note Insurer (provided there does not exist a Note Insurer Default). 
 ARTICLE IX 
 SUPPLEMENTAL INDENTURES 
 Section
9.01. Supplemental Indentures Without Consent of Noteholders. With the consent of the Note Insurer and without the consent of the Holders of any Notes, the Issuing Entity and the Indenture Trustee, at any time and from time to time, may enter
into one or more indenture supplemental hereto, in form satisfactory to the Indenture Trustee, for any of the following purposes: 
 (a) to correct or amplify the description of any property at any time subject to the lien of this Indenture, or better to assure, convey and confirm unto the Indenture Trustee any property subject or required to be subjected to the lien of
this Indenture, or to subject to the lien of this Indenture additional property; 
 (b) to add to the conditions, limitations
and restrictions on the authorized amount, terms and purposes of the issuance, authentication and delivery of any Notes, as herein set forth, additional conditions, limitations and restrictions thereafter to be observed; 
 (c) to evidence the succession of another Person to the Issuing Entity to the extent permitted herein, and the assumption by any such
successor of the covenants of the Issuing Entity herein and in the Notes contained; 
 (d) to add to the covenants of the
Issuing Entity, for the benefit of the Holders of all Notes and the Note Insurer, or to surrender any right or power herein conferred upon the Issuing Entity; 
 (e) to cure any ambiguity, to correct or supplement any provision herein that may be defective or inconsistent with any other provision
herein, or to amend any other provisions with respect to matters or questions arising under this Indenture, which shall not be inconsistent with the provisions of this Indenture, provided that such action shall not adversely affect in any material
respect the interests of the Holders of the Notes or the Certificateholders and will not prevent the Notes from being characterized as debt for United States federal income tax purposes or cause the Issuing Entity to be subject to federal income
tax; provided, that the amendment shall be deemed not to adversely affect in any material respect the interests of the Holders of the Notes and the Note Insurer and will not prevent the Notes from being characterized as debt for United States
federal income tax purposes or cause the Issuing Entity to be subject to federal income tax if the Person requesting the amendment obtains either (i) an Opinion of Counsel delivered to, but not at the expense of, the Indenture Trustee or to the
Note Insurer, to such effect or (ii) written confirmation of the satisfaction of the Rating Agency Condition; or 
  

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 (f) to modify, eliminate or add to the provisions of this Indenture to such extent as
shall be necessary to effect the qualification of this Indenture under the TIA or under any similar federal statute hereafter enacted, and to add to this Indenture such other provisions as may be expressly required by the TIA. 
 Section 9.02. Supplemental Indentures with Consent of Noteholders. With the consent of the Note Insurer and with the consent of Holders of Notes
representing not less than a majority of the Note Principal Balance of all Outstanding Notes of the Classes affected thereby by Act of said Holders delivered to the Issuing Entity and the Indenture Trustee, the Issuing Entity and the Indenture
Trustee may enter into an indenture or indentures supplemental hereto for the purpose of adding any provisions to, or changing in any manner or eliminating any of the provisions of, this Indenture or of modifying in any manner the rights of the
Holders of the Notes under this Indenture; provided, however, that no such supplemental indenture shall, without the consent of the Holder of each Outstanding Note affected thereby: 
 (a) change any Payment Date or the Final Stated Maturity Date of the Notes or, with respect to the Notes, reduce the Note Principal
Balance thereof or the Note Rate thereon, change the earliest date on which any Note may be redeemed at the option of the Sponsor, change payment where, or the coin or currency in which, any Note or any interest thereon is payable, or impair the
right to institute suit for the enforcement of the payment of any installment of interest due on any Note on or after the Final Stated Maturity Date thereof or for the enforcement of the payment of the entire remaining unpaid principal amount of any
Note on or after the Final Stated Maturity Date (or, in the case of redemption, on or after the applicable Redemption Date); 
 (b) reduce the percentage of the Note Principal Balance of the Outstanding Notes, the consent of the Holders of which is required for any such supplemental indenture, or the consent of the Holders of which is required for any waiver of
compliance with provisions of this Indenture or Defaults hereunder and their consequences provided for in this Indenture; 
 (c) modify any of the provisions of this Section 9.02 or Sections 5.13 or 5.17(b) hereof, except to increase any percentage specified therein or to provide that certain other provisions of this Indenture cannot be modified or waived
without the consent of the Holder of each Outstanding Note affected thereby; 
 (d) modify or alter the provisions of the
proviso to the definition of the term “Outstanding;” 
 (e) permit the creation of any lien other than the lien of
this Indenture with respect to any part of the Trust Estate or terminate the lien of this Indenture on any property at any time subject hereto or deprive the Holder of any Note of the security afforded by the lien of this Indenture; 
 (f) modify any of the provisions of this Indenture in such manner as to affect the calculation of the Interest Payment Amount or Base
Principal Payment Amount for any 

  

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Payment Date and either Class (including the calculation of any of the individual components of such amounts) or to affect rights of the Holders of the Notes
to the benefits of any provisions for the redemption of Notes contained herein. 
 The Indenture Trustee may in its discretion determine
whether or not any Notes would be affected by any supplemental indenture and any such determination shall be conclusive upon the Holders of all Notes, whether theretofore or thereafter authenticated and delivered hereunder. The Indenture Trustee
shall not be liable for any such determination made in good faith. 
 It shall not be necessary for any Act of Noteholders under this
Section 9.02 to approve the particular form of any proposed supplemental indenture, but it shall be sufficient if such Act shall approve the substance thereof. 
 Promptly after the execution by the Issuing Entity and the Indenture Trustee of any supplemental indenture pursuant to this Section 9.02, the Indenture Trustee shall mail to the Holders of the Notes to which such
supplemental indenture relates a notice setting forth in general terms the substance of such supplemental indenture. Any failure of the Indenture Trustee to mail such notice, or any defect therein, shall not, however, in any way impair or affect the
validity of any such supplemental indenture. 
 Section 9.03. Execution of Supplemental Indentures. In executing, or accepting the
additional trusts created by, any supplemental indenture permitted by this Article IX or the modifications thereby of the trusts created by this Indenture, the Indenture Trustee shall be entitled to receive, and shall be fully protected in relying
upon, (i) an Opinion of Counsel stating that the execution of such supplemental indenture is authorized or permitted by this Indenture and such supplemental indenture does not adversely affect the interests of the Noteholders or the Note
Insurer in any material respect; (ii) an Opinion of Counsel experienced in federal income tax matters stating that the execution of such supplemental indenture will not prevent the Notes from being characterized as debt for United States
federal income tax purposes or cause the Issuing Entity to be subject to federal income tax; or (iii) written confirmation of satisfaction of the Rating Agency Condition. The Indenture Trustee may, but shall not be obligated to, enter into any
such supplemental indenture that affects the Indenture Trustee’s own rights, duties or immunities under this Indenture or otherwise. The Servicer, on behalf of the Issuing Entity, shall cause executed copies of any supplemental indentures to be
delivered to the Note Insurer and the Rating Agencies. 
 Section 9.04. Effect of Supplemental Indentures. Upon the execution of any
supplemental indenture under this Article IX, this Indenture shall be modified in accordance therewith, and such supplemental indenture shall form a part of this Indenture for all purposes; and every Holder of Notes to which such supplemental
indenture relates that have theretofore been or thereafter are authenticated and delivered hereunder shall be bound thereby. 
 Section 9.05.
Conformity With Trust Indenture Act. Every supplemental indenture executed pursuant to this Article IX shall conform to the requirements of the TIA as then in effect so long as this Indenture shall then be qualified under the TIA. 

 

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 Section 9.06. Reference in Notes to Supplemental Indentures. Notes authenticated and delivered
after the execution of any supplemental indenture pursuant to this Article IX may, and if required by the Indenture Trustee shall, bear a notation in form approved by the Indenture Trustee as to any matter provided for in such supplemental
indenture. If the Owner Trustee, acting at the direction of the Certificateholders, shall so determine, new Notes so modified as to conform, in the opinion of the Indenture Trustee and the Owner Trustee, acting at the direction of the
Certificateholders, to any such supplemental indenture may be prepared by the Servicer and executed by the Owner Trustee, acting at the direction of the Certificateholders, on behalf of the Issuing Entity, and authenticated and delivered by the
Indenture Trustee in exchange for Outstanding Notes. 
 Section 9.07. Amendments to Governing Documents. The Indenture Trustee shall,
upon a Trust Request, consent to any proposed amendment to the Issuing Entity’s governing documents, or an amendment to or waiver of any provision of any other document relating to the Issuing Entity’s governing documents, such consent to
be given without the necessity of obtaining the consent of the Holders of any Notes upon receipt by the Indenture Trustee of: 
 (a) an Officer’s Certificate, to which such proposed amendment or waiver shall be attached, stating that such attached copy is a true copy of the proposed amendment or waiver and that all conditions precedent to such consent specified
in this Section 9.07 have been satisfied; 
 (b) written confirmation of the satisfaction of the Rating Agency Condition
with respect to such proposed amendment; and, 
 (c) written consent of the Note Insurer. 
 Notwithstanding the foregoing, the Indenture Trustee may decline to consent to a proposed waiver or amendment that adversely affects its own rights,
duties or immunities under this Indenture or otherwise. 
 Nothing in this Section 9.07 shall be construed to require that any Person
obtain the consent of the Indenture Trustee to any amendment or waiver or any provision of any document where the making of such amendment or the giving of such waiver without obtaining the consent of the Indenture Trustee is not prohibited by this
Indenture or by the terms of the document that is the subject of the proposed amendment or waiver. 
 ARTICLE X 
 REDEMPTION OF NOTES 
 Section 10.01.
Redemption of Notes. (a) The Depositor may, at its sole cost and expense, terminate this Indenture and all the Notes may be redeemed in whole, but not in part, on any Redemption Date on and after the Clean-Up Call Date at the Termination
Price. 
  

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 (b) Any such purchase or redemption shall be accomplished by deposit by the Depositor,
into the related Payment Account of the Termination Price on the Servicer Remittance Date preceding the Redemption Date. The amounts on deposit therein shall be distributed by the Indenture Trustee on such Redemption Date in accordance with the
priority set forth in Section 8.02 hereof. No termination or redemption is permitted without the prior written consent of the Note Insurer if it would result in a draw on the Note Insurance Policy. 
 (c) [Reserved]. 
 (d) Upon the redemption of the Notes, the Mortgage Loans in the Trust Estate shall be released and delivered to the Depositor. 
 (e) Upon receipt of the written notice from the Depositor of its election to redeem the Notes pursuant to Section 10.01 (a) hereof (which shall state that the Depositor has determined that the conditions to
redemption at the option of the Depositor have been satisfied and setting forth information as may be required to accomplish such redemption), the Indenture Trustee shall prepare and deliver to the Issuing Entity, the Sponsor, the Servicer and the
Note Insurer, no later than the related Redemption Date, an Indenture Trustee’s Remittance Report. 
 Section 10.02. Form of
Redemption Notice. Notice of redemption shall be given by the Indenture Trustee in the name of and at the expense of the Issuing Entity by first class mail, postage prepaid, mailed not less than ten days prior to the Redemption Date to each
Holder of Notes to be redeemed, such Holders being determined as of the Record Date for such Payment Date, and to the Note Insurer. 
 All
notices of redemption shall state: 
 (a) the Redemption Date; 
 (b) the price at which the Notes of such Class will be redeemed; and 
 (c) the fact of payment in full on such Notes, the place where such Notes are to be surrendered for final payment (which shall be the
office or agency of the Issuing Entity to be maintained as provided in Section 3.02 hereof), and that no interest shall accrue on such Note for any period after the date fixed for redemption. 
 Failure to give notice of redemption, or any defect therein, to any Holder of any Note selected for redemption shall not impair or affect the validity of
the redemption of any other Note. 
 Section 10.03. Notes Payable on Optional Redemption. Notice of redemption having been given as
provided in Section 10.02 hereof, the Notes to be redeemed shall, on the applicable Redemption Date, become due and payable and (unless the Issuing Entity shall default in such payment) no interest shall accrue on such Notes for any period
after such Redemption Date; provided, however, that if such payment is not made on the Redemption Date, the Note Principal Balance shall, until paid, bear interest from the Redemption Date at the applicable Note Rate. 
  

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 ARTICLE XI 
 MISCELLANEOUS 
 Section 11.01. Compliance Certificates and Opinions. (a) Upon any
application or request by any Person to the Indenture Trustee to take any action under any provision of this Indenture, such Person shall furnish to the Indenture Trustee an Officer’s Certificate stating that all conditions precedent, if any,
provided for in this Indenture relating to the proposed action have been complied with and an Opinion of Counsel, if requested by the Indenture Trustee, stating that in the opinion of such counsel all such conditions precedent, if any, 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 Indenture relating to such particular application or request, no additional
certificate or opinion need be furnished. 
 (b) Every certificate, opinion or letter with respect to compliance with a
condition or covenant provided for in this Indenture, including one furnished pursuant to specific requirements of this Indenture relating to a particular application or request (other than certificates provided pursuant to TIA
Section 314(a)(4)) shall include and shall be deemed to include (regardless of whether specifically stated therein) the following: 
 (i) a statement that each individual signing such certificate, opinion or letter has read such covenant or condition and the definitions herein relating thereto; 
 (ii) a brief statement as to the nature and scope of the examination or investigation upon which the statements or opinions contained in
such certificate, opinion or letter are based; 
 (iii) a statement that, in the opinion of each such individual, he has made
such examination or investigation as is necessary to enable him to express an informed opinion as to whether or not such covenant or condition has been complied with; and 
 (iv) a statement as to whether, in the opinion of each such individual, such condition or covenant has been complied with. 
 (c) (i) Other than with respect to the release of any Liquidated Mortgage Loans, Mortgage Loans that are purchased pursuant to
Section 4.02 or Section 5.15 of the Sale and Servicing Agreement, or in connection with the Optional Redemption contemplated by Article X hereof, prior to the deposit of any Collateral or other property or securities with the Indenture
Trustee that is to be made the basis for the release of any Collateral or other property or securities subject to the lien of this Indenture, the Issuing Entity shall, in addition to any obligation imposed in Section 11.01(a) or elsewhere in
this Indenture, furnish to the Indenture Trustee an Officer’s Certificate certifying or stating the opinion of each person signing such certificate as to the fair value (within 90 days of such deposit) to the Issuing Entity of the Collateral or
other property or securities to be so deposited. 
 (ii) Whenever the Issuing Entity is required to furnish to the Indenture
Trustee an Officer’s Certificate certifying or stating the opinion of any signer thereof as to the matters described in clause (i) above, the Issuing Entity shall also deliver to the Indenture Trustee a 

  

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certificate of a firm of independent public accountants as to the same matters, if the fair value to the Issuing Entity of the property to be so deposited
and of all other such property (other than Liquidated Mortgage Loans, Mortgage Loans that are sold pursuant to Section 4.02 or Section 5.15 of the Sale and Servicing Agreement, or Mortgage Loans to be sold in connection with the Optional
Redemption contemplated by Article X hereof) made the basis of any such withdrawal or release since the commencement of the then-current fiscal year of the Issuing Entity, as set forth in the certificates delivered pursuant to clause (i) above
and this clause (ii), is 10% or more of the aggregate outstanding Class Note Balances of the Notes, but such a certificate need not be furnished with respect to any property so deposited, if the fair value thereof to the Issuing Entity as set forth
in the related Officer’s Certificate is less than $25,000 or less than 1% percent of the aggregate outstanding Class Note Balances of the Notes. 
 (iii) Other than with respect to the release of any Liquidated Mortgage Loans, Mortgage Loans that are purchased pursuant to Section 4.02 or Section 5.15 of the Sale and Servicing Agreement, or in connection
with the Optional Redemption contemplated by Article X hereof, whenever any property or securities are to be released from the lien of this Indenture, the Issuing Entity shall also furnish to the Indenture Trustee an Officer’s Certificate
certifying or stating the opinion of each person signing such certificate as to the fair value (within 90 days of such release) of the property or securities proposed to be released and stating that in the opinion of such person the proposed release
will not impair the security under this Indenture in contravention of the provisions hereof. 
 (iv) Whenever the Issuing
Entity is required to furnish to the Indenture Trustee an Officer’s Certificate certifying or stating the opinion of any signer thereof as to the matters described in clause (iii) above, the Issuing Entity shall also furnish to the
Indenture Trustee an a certificate of a firm of independent public accountants as to the same matters if the fair value of the property or securities and of all other property or securities (other than Liquidated Mortgage Loans, Mortgage Loans that
are sold pursuant to Section 4.02 or Section 5.15 of the Sale and Servicing Agreement, or Mortgage Loans to be sold in connection with the Optional Redemption contemplated by Article X hereof) released from the lien of this Indenture since
the commencement of the then current calendar year, as set forth in the certificates required by clause (iii) above and this clause (iv), equals 10% or more of the aggregate outstanding Class Note Balances of the Notes, but such certificate
need not be furnished in the case of any release of property or securities if the fair value thereof as set forth in the related Officer’s Certificate is less than $25,000 or less than 1 percent of the then aggregate outstanding Class Note
Balances of the Notes. 
 Section 11.02. Form of Documents Delivered to Indenture 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 the Issuing Entity may be based, insofar as it relates to legal matters, upon a certificate or opinion of,
or representations by, counsel, unless such officer 

  

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knows, or in the exercise of reasonable care should know, that the certificate or opinion or representations with respect to the matters upon which his
certificate or opinion is based 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 Indenture 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 Indenture, they may, but need not, be consolidated
and form one instrument. 
 Wherever in this Indenture, in connection with any application or certificate or report to the indenture Trustee,
it is provided that the Issuing Entity shall deliver any document as a condition of the reporting of such application, or as evidence of the Issuing Entity’s compliance with any term hereof, it is intended that the truth and accuracy, at the
time of the granting of such application or at the effective date of such certificate or report (as the case may be), of the facts and opinions stated in such document shall in such case be conditions precedent to the right of the Issuing Entity to
have such application granted or to the sufficiency of such certificate or report. The foregoing shall not, however, be construed to affect the Indenture Trustee’s right to rely upon the truth and accuracy of any statement or opinion contained
in any such document as provided in Section 6.01(b)(ii) hereof. 
 Whenever in this Indenture it is provided that the absence of the
occurrence and continuation of a Default or Event of Default is a condition precedent to the taking of any action by the Indenture Trustee at the request or direction of the Issuing Entity, then, notwithstanding that the satisfaction of such
condition is a condition precedent to the Issuing Entity’s right to make such request or direction, the Indenture Trustee shall be protected in acting in accordance with such request or direction if it does not have knowledge of the occurrence
and continuation of such Default or Event of Default as provided in Section 6.01 (d) hereof. 
 Section 11.03. Acts of
Noteholders. (a) Any request, demand, authorization, direction, notice, consent, waiver or other action provided by this Indenture to be given or taken by Noteholders may be embodied in and evidenced by one or more instruments of
substantially similar tenor signed by such Noteholders in person or by an 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 Indenture Trustee, and, where it is hereby expressly required, to the Issuing Entity. Such instrument or instruments (and the action embodied therein and evidenced thereby) are herein sometimes referred to as the “Act” of the
Noteholders 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 Indenture and (subject to Section 6.01 hereof) conclusive in
favor of the Indenture Trustee and the Issuing Entity, if made in the manner provided in this Section 11.03. 
 (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 

  

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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 Notes shall be
proved by the Note Register. 
 (d) Any request, demand, authorization, direction, notice, consent, waiver or other action by
the Holder of any Notes shall bind the Holder of every Note 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 Indenture Trustee or the
Issuing Entity in reliance thereon; whether or not notation of such action is made upon such Notes. 
 Section 11.04. Notices, etc., to
Indenture Trustee, the Note Insurer and Issuing Entity. Any request, demands authorization, direction, notice, consent, waiver or Act of Noteholders or other documents provided or permitted by this Indenture to be made upon, given or furnished
to, or filed with: 
 (a) the Indenture Trustee by any Noteholder or by the Issuing Entity shall be sufficient for every
purpose hereunder if in writing and made, given, furnished or filed and received by the Indenture Trustee at its Corporate Trust Office; or 
 (b) the Issuing Entity by the Indenture Trustee or by any Noteholder shall be sufficient for every purpose hereunder (except as provided in Section 5.01 (c) and (d)) hereof if in writing and mailed,
first-class postage prepaid, to the Issuing Entity addressed to it at Accredited Mortgage Loan Trust 200[    ]-[    ], in care of
[                            ], Attn:
[                    ], or at any other address previously furnished in writing to the Indenture Trustee by the Issuing Entity. 
 (c) the Note Insurer by the Indenture Trustee or by any Noteholder shall be sufficient for every purpose hereunder if in writing and faxed
to [                    ] or mailed, first-class, postage prepaid, to
[                            ], Attn:
[                    ], or at any other address previously furnished in writing to the Indenture Trustee by the Note Insurer; or 

(d) the Sponsor by the Indenture Trustee or by any Noteholder shall be sufficient for every purpose hereunder if in writing and mailed,
first-class, postage paid, to Accredited Home Lenders, Inc., 15090 Avenue of Science, San Diego, California, 92128, Attention: Corporate Trust Administration, or at any other address previously furnished in writing to the Indenture Trustee by the
Sponsor; or 
 (e) the Servicer by the Indenture Trustee or by any Noteholder shall be sufficient for every purpose hereunder
if in writing and mailed, first-class, postage paid, to Accredited Home Lenders, Inc., 15090 Avenue of Science, San Diego, California 92128, Attention: Corporate Trust Administration or at any other address previously furnished in writing to the
Indenture Trustee by the Servicer; or 
 (f) the Depositor by the Indenture Trustee or by any Noteholder shall be sufficient
for every purpose hereunder if in writing and mailed, first-class, postage paid, to Accredited Home Lenders, Inc., 15090 Avenue of Science, San Diego, California 92128, 

  

 65 

 
Attention: Corporate Trust Administration or at any other address previously furnished in writing to the Indenture Trustee by the Depositor; or 

(g) the Underwriter by any party or by any Noteholder shall be sufficient for every purpose hereunder if in writing and mailed,
first-class, postage prepaid, to
[                                        
            ], Attn: [            ], or at any other address previously furnished in writing to the Indenture Trustee
by the Underwriter. 
 Notices required to be given to the Rating Agencies by the Issuing Entity or the Indenture Trustee shall be in
writing, personally delivered or mailed first-class postage pre-paid, to (i) in the case of [            ], at the following address:
[                    ], Attn: [            ], (ii) in the case of
[            ], at the following address:
[                                        
            ], Attn: [            ] and (iii) in the case of
[            ] at the following address:
[                                        
            ], Attn: [            ]; or as to each of the foregoing, at such other address as shall be designed by
written notice to the other parties. 
 Section 11.05. Notices and Reports to Noteholders; Waiver of Notices. Where this Indenture
provides for notice to Noteholders of any event or the mailing of any report to Noteholders, such notice or report shall be sufficiently given (unless otherwise herein expressly provided) if mailed, first-class postage prepaid, to each Noteholder
affected by such event or to whole such report is required to be mailed, at the address of such Noteholder as it appears on the Note 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 Noteholders 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
Noteholder shall affect the sufficiency of such notice or report with respect to other Noteholders, and any notice or report that is mailed in the manner herein provided shall be conclusively presumed to have been duly given or provided. 

Where this Indenture 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 Noteholders shall be filed with the Indenture 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 Noteholders when such notice is required to be given pursuant to any provision of this Indenture, then any manner of giving such notice as shall be satisfactory to the Indenture
Trustee shall be deemed to be a sufficient giving of such notice. 
 Section 11.06. Rules by Indenture Trustee. The Indenture Trustee
may (but is not obligated to) make reasonable rules for any meeting of Noteholders. 
  

 66 

 Section 11.07. Conflict with Trust Indenture Act. If any provision hereof limits, qualifies or
conflicts with another provision hereof that is required to be included in this Indenture by any of the provisions of the TIA, such required provision shall control. 
 Section 11.08. Effect of Headings and Table of Contents. The Article and Section headings herein and the Table of Contents are for convenience only and shall not affect the construction hereof. 
 Section 11.09. Successors and Assigns. All covenants and agreements in this Indenture by the Issuing Entity shall bind its successors and assigns,
whether so expressed or not. 
 Section 11.10. Separability. In case any provision in this Indenture or in the Notes 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. 
 Section 11.11. Benefits of Indenture. Nothing in this Indenture or in the Notes, expressed or implied, shall give to any Person, other than the Note Insurer, the parties hereto and their successors hereunder,
any separate trustee or co-trustee appointed under Section 6.14 hereof and the Noteholders, any benefit or any legal or equitable right, remedy or claim under this Indenture. 
 Section 11.12. Legal Holidays. In any case where the date of any Payment Date, Redemption Date or any other date on which principal of or interest
on any Note is proposed to be paid shall not be a Business Day, then (notwithstanding any other provision of the Notes or this Indenture) payment 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 on the nominal date of any such Payment Date, Redemption Date or other date for the payment of principal of or interest on any Note 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. 
 Section 11.13. Governing Law. IN VIEW OF THE FACT THAT NOTEHOLDERS
ARE EXPECTED TO RESIDE IN MANY STATES AND OUTSIDE THE UNITED STATES AND THE DESIRE TO ESTABLISH WITH CERTAINTY THAT THIS INDENTURE 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 INDENTURE AND EACH NOTE SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE LAWS OF THE STATE OF NEW YORK APPLICABLE TO AGREEMENTS MADE AND TO BE
PERFORMED THEREIN, WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS, AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS. 
 Section 11.14. 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. 
  

 67 

 Section 11.15. Recording of Indenture. This Indenture is subject to recording in any appropriate
public recording offices, such recording to be effected by the Servicer, on behalf of the Issuing Entity, and at its expense in compliance with any Opinion of Counsel delivered pursuant to Sections 2.11 (c) or 3.06 hereof. 
 Section 11.16. Issuing Entity Obligation. (a) No recourse, may be taken, directly or indirectly, with respect to the obligations of the
Issuing Entity, the Owner Trustee or the Indenture Trustee on the Notes or under this Indenture or any certificate or other writing delivered in connection herewith or therewith, against (i) the Indenture Trustee (except as expressly stated
herein regarding performance of its own obligations) Owner Trustee in its individual capacity, (ii) any manner of a beneficial interest in the Issuing Entity or (iii) any partner, owner, beneficiary, agent, officer, director, employee or
agent of the Indenture Trustee or the Owner Trustee in its individual capacity, any holder of a beneficial interest in the Issuing Entity, the Owner Trustee or the Indenture Trustee or of any successor or assign of the Indenture Trustee or the Owner
Trustee in its individual capacity, except as any such Person may have expressly agreed (it being understood that the Indenture Trustee and the Owner Trustee have no such obligations in their individual capacity) and except that any such partner,
owner or beneficiary shall be fully liable, to the extent provided by applicable law, for any unpaid consideration for stock, unpaid capital contribution or failure to pay any installment or call owing to such entity. For all purposes of this
Indenture, in the performance of any duties or obligations of the Issuing Entity hereunder, the Owner Trustee shall be subject to, and entitled to the benefits of, the terms and provisions of the Trust Agreement. 
 (b) It is expressly understood and agreed by the parties hereto that (i) this Agreement is executed and delivered by
[                                        
            ], not individually or personally but solely as Owner Trustee of the Issuing Entity, in the exercise of the powers and authority conferred and vested in it under the Trust
Agreement, (ii) each of the representations, undertakings and agreements herein made on the part of the Issuing Entity is made and intended not as personal representations, undertakings and agreements by
[                                        
            ] but is made and intended for the purpose for binding only the Issuing Entity, (iii) nothing herein contained shall be construed as creating any liability on
[                                        
            ], individually or personally, to perform any covenant either expressed or implied contained herein, all such liability, if any, being expressly waived by the parties hereto
and by any Person claiming by, through or under the parties hereto and (iv) under no circumstances shall
[                                        
            ] be personally liable for the payment of any indebtedness or expenses of the Issuing Entity or be liable for the breach or failure of any obligation, representation,
warranty or covenant made or undertaken by the Issuing Entity under this Agreement or any other related documents. 
 Section 11.17. No
Petition. The Indenture Trustee, by entering into this Indenture, and each Noteholder and Beneficial Owner, by accepting a Note, hereby covenant and agree that they will not at any time institute against the Depositor or the Issuing Entity, or
join in any institution against the Depositor or the Issuing Entity of, any bankruptcy, reorganization, arrangement, insolvency or liquidation proceedings, or other proceedings under any United States federal or state bankruptcy or similar law in
connection with any obligations relating to the Notes, this Indenture or any of the Basic Documents. In addition, the Indenture Trustee will, if directed in writing by the Majority Noteholders and indemnity is provided as set forth herein, on behalf
of 

  

 68 

 
the Holders of the Notes, (a) file a written objection to any motion or the Sponsor with the Depositor or other proceeding seeking the substantive
consolidation of the Sponsor with the Issuing Entity, (b) file an appropriate memorandum of points and authorities or other brief in support of such objection, or (c) endeavor to establish at the hearing on such objection that the
substantive consolidation of such entities would be materially prejudicial to the Noteholders. 
 This Section 11.17 will survive for
one year and one day following the termination of this indenture. 
 Section 11.18. Inspection. The Issuing Entity agrees that, on
reasonable prior notice, it will permit any representative of the Indenture Trustee and the Note Insurer, during the Issuing Entity’s normal business hours, to examine all of books of account, records, reports and other papers of the Issuing
Entity, to make copies and extracts therefrom, to cause such books to be audited by Independent Accountants selected by the Indenture Trustee or the Note Insurer, as the case may be, and to discuss its affairs, finances and accounts with its
officers, employees and Independent Accountants (and by this provision the Issuing Entity hereby authorizes its Accountants to discuss with such representatives such affairs, finances and accounts), all at such reasonable times and as often as may
be reasonably requested. Any expense incident to the exercise by the Indenture Trustee of any right under this Section 11.18 shall be borne by the Issuing Entity. 
 Section 11.19. Usury. The amount of interest payable or paid on any Note under the terms of this Indenture shall be limited to an amount that shall not exceed the maximum nonusurious rate of interest allowed by
the applicable laws of the United States or the State of New York (whichever shall permit the higher rate), that could lawfully be contracted for, charged or received (the “Highest Lawful Rate”). In the event any payment of interest
on any Note exceeds the Highest Lawful Rate, the Issuing Entity stipulates that such excess amount will be deemed to have been paid as a result of an error on the part of both the Indenture Trustee, acting on behalf of the Holder of such Note, and
the Issuing Entity, and the Holder receiving such excess payment shall promptly, upon discovery of such error or upon notice thereof from the Issuing Entity or the Indenture Trustee, refund the amount of such excess or, at the option of the
Indenture Trustee, apply the excess to the payment of principal of such Note, if any, remaining unpaid. In addition, all sums paid or agreed to be paid to the Indenture Trustee for the benefit of Holders of Notes for the use, forbearance or
detention of money shall, to the extent permitted by applicable law, be amortized, prorated, allocated and spread throughout the full term of such Notes. 
 Section 11.20. Note Insurer Default. Any right conferred to the Note Insurer shall be suspended during any period in which a Note Insurer Default exists other than its right to receive Reimbursement Amounts and
to consent to amendments. At such time as the Notes are no longer Outstanding under this Indenture, and no amounts owed to the Note Insurer under the Basic Documents remain unpaid, the Note Insurer’s rights under this Indenture shall terminate.

 Section 11.21. Third-Party Beneficiary. The Note Insurer is intended as a third-party beneficiary of this Indenture which shall be
binding upon and inure to the benefit of the Note Insurer; provided, that, notwithstanding the foregoing, for so long as a Note Insurer Default is continuing with respect to its obligations under the Note Insurance Policy, the Noteholders, 

  

 69 

 
subject to Section 11.20, shall succeed to the Note Insurer’s rights hereunder. Without limiting the generality of the foregoing, all covenants and
agreements in this Indenture that expressly confer rights upon the Note Insurer shall be for the benefit of and run directly to the Note Insurer, and the Note Insurer shall be entitled to rely on and enforce such covenants to the same extent as if
it were a party to this Indenture. 
 [Remainder of Page Intentionally Left Blank] 
  

 70 

 IN WITNESS WHEREOF, the Issuing Entity and the Indenture Trustee have caused this Indenture to be duly
executed by their respective officers thereunto duly authorized, all as of the day and year first above written. 
  

					
	ACCREDITED MORTGAGE LOAN TRUST 200[    ]-[    ]
		
	 By:
	 	 [ _____________________________________ ],

		 	not in its individual capacity, but solely as Owner Trustee under the Trust Agreement
			
		 	By:	 	  
		 		 	Name:
		 		 	Title:
	
	[ _____________________________________ ],
		 	as Indenture Trustee
		
	 By:
	 	  
		 	 Name:

		 	 Title:

 [Signature page to Indenture] 
  

 71 

 TABLE OF CONTENTS 
  

					
		  	ARTICLE I	  	
			
		  	DEFINITIONS	  	
	 Section 1.01.
	  	General Definitions	  	3
			
		  	ARTICLE II	  	
			
		  	THE NOTES	  	
	 Section 2.01.
	  	Forms Generally	  	3
	 Section 2.02.
	  	Form of Certificate of Authentication	  	3
	 Section 2.03.
	  	General Provisions with Respect to Principal and Interest Payment	  	3
	 Section 2.04.
	  	Denominations	  	4
	 Section 2.05.
	  	Execution, Authentication, Delivery and Dating	  	4
	 Section 2.06.
	  	Registration, Registration of Transfer and Exchange	  	4
	 Section 2.07.
	  	Mutilated, Destroyed, Lost or Stolen Notes	  	6
	 Section 2.08.
	  	Payments of Principal and Interest	  	7
	 Section 2.09.
	  	Persons Deemed Owner	  	9
	 Section 2.10.
	  	Cancellation	  	9
	 Section 2.11.
	  	Authentication and Delivery of Notes	  	9
	 Section 2.12.
	  	Book-Entry Note	  	11
	 Section 2.13.
	  	Termination of Book Entry System	  	11
			
		  	ARTICLE III	  	
			
		  	COVENANTS, REPRESENTATIONS AND WARRANTIES	  	
			
	 Section 3.01.
	  	Payment of Notes	  	12
	 Section 3.02.
	  	Maintenance of Office or Agency	  	12
	 Section 3.03.
	  	Money for Note Payments to Be Held in Trust	  	12
	 Section 3.04.
	  	Existence of Issuing Entity	  	14
	 Section 3.05.
	  	Protection of Trust Estate	  	15
	 Section 3.06.
	  	Opinions as to the Trust Estate	  	15
	 Section 3.07.
	  	Performance of Obligations	  	16
	 Section 3.08.
	  	Investment Company Act	  	16
	 Section 3.09.
	  	Negative Covenants	  	16
	 Section 3.10.
	  	Annual Statement as to Compliance	  	17
	 Section 3.11.
	  	Restricted Payments	  	17
	 Section 3.12.
	  	Treatment of Notes as Debt for Tax Purposes	  	18
	 Section 3.13.
	  	Notice of Events of Default	  	18
	 Section 3.14.
	  	Further Instruments and Acts	  	18
	 Section 3.15.
	  	Representation and Warranties of the Issuing Entity	  	18

  

 i 

					
		  	ARTICLE IV	  	
			
		  	SATISFACTION AND DISCHARGE	  	
			
	 Section 4.01.
	  	Satisfaction and Discharge of Indenture	  	20
	 Section 4.02.
	  	Application of Issuing Entity Money	  	21
	 Section 4.03.
	  	Subrogation and Cooperation	  	21
			
		  	ARTICLE V	  	
			
		  	DEFAULTS AND REMEDIES	  	
			
	 Section 5.01.
	  	Event of Default	  	22
	 Section 5.02.
	  	Acceleration of Maturity; Rescission and Annulment	  	23
	 Section 5.03.
	  	Collection of Indebtedness and Suits for Enforcement by Indenture Trustee	  	24
	 Section 5.04.
	  	Remedies	  	24
	 Section 5.05.
	  	Indenture Trustee May File Proofs of Claim	  	25
	 Section 5.06.
	  	Indenture Trustee May Enforce Claims Without Possession of Notes	  	26
	 Section 5.07.
	  	Application of Money Collected	  	26
	 Section 5.08.
	  	Limitation on Suits	  	27
	 Section 5.09.
	  	Unconditional Rights of Noteholders to Receive Principal and Interest	  	28
	 Section 5.10.
	  	Restoration of Rights and Remedies	  	28
	 Section 5.11.
	  	Rights and Remedies Cumulative	  	28
	 Section 5.12.
	  	Delay or Omission Not Waiver	  	29
	 Section 5.13.
	  	Control by Noteholders	  	29
	 Section 5.14.
	  	Waiver of Past Defaults	  	29
	 Section 5.15.
	  	Undertaking for Costs	  	30
	 Section 5.16.
	  	Waiver of Stay or Extension Laws	  	30
	 Section 5.17.
	  	Sale of Trust Estate	  	30
	 Section 5.18.
	  	Action on Notes	  	32
	 Section 5.19.
	  	No Recourse	  	32
	 Section 5.20.
	  	Application of the Trust Indenture Act	  	32
	 Section 5.21.
	  	Suspension and Termination of Note Insurer’s Rights	  	32
			
		  	ARTICLE VI	  	
			
		  	THE INDENTURE TRUSTEE	  	
			
	 Section 6.01.
	  	Duties of Indenture Trustee	  	32
	 Section 6.02.
	  	Notice of Default	  	35
	 Section 6.03.
	  	Rights of Indenture Trustee	  	35
	 Section 6.04.
	  	Not Responsible for Recitals, Issuance of Notes or Mortgage Loans	  	36
	 Section 6.05.
	  	May Hold Notes	  	37
	 Section 6.06.
	  	Money Held in Trust	  	37
	 Section 6.07.
	  	Eligibility, Disqualification	  	37
	 Section 6.08.
	  	Indenture Trustee’s Capital and Surplus	  	37
	 Section 6.09.
	  	Resignation and Removal; Appointment of Successor	  	37

  

 ii 

					
	 Section 6.10.
	  	Acceptance of Appointment by Successor Indenture Trustee	  	39
	 Section 6.11.
	  	Merger, Conversion, Consolidation or Succession to Business of Indenture Trustee	  	39
	 Section 6.12.
	  	Preferential Collection of Claims Against Issuing Entity	  	39
	 Section 6.13.
	  	Co-Indenture Trustees and Separate Indenture Trustees	  	39
	 Section 6.14.
	  	Authenticating Agents	  	40
	 Section 6.15.
	  	Review of Mortgage Files	  	42
	 Section 6.16.
	  	Indenture Trustee Fees and Expenses Indemnification	  	42
			
		  	ARTICLE VII	  	
			
		  	NOTEHOLDERS’ LISTS AND REPORTS	  	
			
	 Section 7.01.
	  	Note Registrar to Furnish Indenture Trustee Names and Addresses of Noteholders	  	43
	 Section 7.02.
	  	Preservation of Information: Communications to Noteholders	  	43
	 Section 7.03.
	  	Reports by Indenture Trustee	  	44
	 Section 7.04.
	  	Reports by Issuing Entity	  	44
			
		  	ARTICLE VIII	  	
			
		  	ACCOUNTS, PAYMENTS OF INTEREST AND PRINCIPAL, AND RELEASES	  	
			
	 Section 8.01.
	  	Accounts; Investment; Collection of Moneys	  	45
	 Section 8.02.
	  	Payments; Statements	  	49
	 Section 8.03.
	  	Claims against the Note Insurance Policy	  	50
	 Section 8.04.
	  	General Provisions Regarding the Payment Accounts and Mortgage Loans	  	52
	 Section 8.05.
	  	Releases of Deleted Mortgage Loans	  	53
	 Section 8.06.
	  	Reports by Indenture Trustee to Noteholders; Access to Certain Information	  	54
	 Section 8.07.
	  	Release of Trust Estate	  	54
	 Section 8.08.
	  	Amendment to Sale and Servicing Agreement	  	54
	 Section 8.09.
	  	Delivery of the Mortgage Files Pursuant to Sale and Servicing Agreement	  	55
	 Section 8.10.
	  	Servicer as Agent	  	55
	 Section 8.11.
	  	Termination of Servicer	  	55
	 Section 8.12.
	  	Opinion of Counsel	  	56
	 Section 8.13.
	  	Appointment of Collateral Agents	  	56
	 Section 8.14.
	  	Rights of the Note Insurer to Exercise Rights of Noteholders	  	56
	 Section 8.15.
	  	Trust Estate and Accounts Held for Benefit of the Note Insurer	  	57
			
		  	ARTICLE IX	  	
			
		  	SUPPLEMENTAL INDENTURES	  	
			
	 Section 9.01.
	  	Supplemental Indentures Without Consent of Noteholders	  	57
	 Section 9.02.
	  	Supplemental Indentures with Consent of Noteholders	  	58
	 Section 9.03.
	  	Execution of Supplemental Indentures	  	59

  

 iii 

					
	 Section 9.04.
	  	Effect of Supplemental Indentures	  	59
	 Section 9.05.
	  	Conformity With Trust Indenture Act	  	59
	 Section 9.06.
	  	Reference in Notes to Supplemental Indentures	  	60
	 Section 9.07.
	  	Amendments to Governing Documents	  	60
			
		  	ARTICLE X	  	
			
		  	REDEMPTION OF NOTES	  	
	 Section 10.01.
	  	Redemption of Notes	  	60
	 Section 10.02.
	  	Form of Redemption Notice	  	61
	 Section 10.03.
	  	Notes Payable on Optional Redemption	  	61
			
		  	ARTICLE XI	  	
			
		  	MISCELLANEOUS	  	
			
	 Section 11.01.
	  	Compliance Certificates and Opinions	  	62
	 Section 11.02.
	  	Form of Documents Delivered to Indenture Trustee	  	63
	 Section 11.03.
	  	Acts of Noteholders	  	64
	 Section 11.04.
	  	Notices, etc., to Indenture Trustee, the Note Insurer and Issuing Entity	  	65
	 Section 11.05.
	  	Notices and Reports to Noteholders; Waiver of Notices	  	66
	 Section 11.06.
	  	Rules by Indenture Trustee	  	66
	 Section 11.07.
	  	Conflict with Trust Indenture Act	  	67
	 Section 11.08.
	  	Effect of Headings and Table of Contents	  	67
	 Section 11.09.
	  	Successors and Assigns	  	67
	 Section 11.10.
	  	Separability	  	67
	 Section 11.11.
	  	Benefits of Indenture	  	67
	 Section 11.12.
	  	Legal Holidays	  	67
	 Section 11.13.
	  	Governing Law	  	67
	 Section 11.14.
	  	Counterparts	  	67
	 Section 11.15.
	  	Recording of Indenture	  	68
	 Section 11.16.
	  	Issuing Entity Obligation	  	68
	 Section 11.17.
	  	No Petition	  	68
	 Section 11.18.
	  	Inspection	  	69
	 Section 11.19.
	  	Usury	  	69
	 Section 11.20.
	  	Note Insurer Default	  	69
	 Section 11.21.
	  	Third-Party Beneficiary	  	69
			
		  	APPENDICES, SCHEDULES AND EXHIBITS	  	
			
	 Appendix 1
	  	Defined Terms	  	
			
	 Schedule 1
	  	Mortgage Loan Schedule	  	
			
	 Exhibit A
	  	Form of Note	  	

  

 iv 

 CROSS-REFERENCE TABLE 
 Cross-reference sheet showing the location in the Indenture of the provisions inserted pursuant to Sections 310 through 318(a) inclusive of the Trust
Indenture Act of 1939.1 
  

			
	 Trust Indenture Act of 1939
	  	 Indenture Section

	 Section 310
	  	
	 (a) (1)
	  	6.07
	 (a) (2)
	  	6.08
	 (a) (3)
	  	6.13
	 (a) (4)
	  	Not Applicable
	 (a) (5)
	  	6.07
	 (b)
	  	6.07
	 (c)
	  	Not Applicable
	 Section 311
	  	
	 (a)
	  	6.12
	 (b)
	  	6.12
	 (c)
	  	Not Applicable
	 Section 312
	  	
	 (a)
	  	7.01(A), 7.02(a)
	 (b)
	  	7.02(b)
	 (c)
	  	7.02(c)
	 Section 313
	  	
	 (a)
	  	7.03
	 (b)
	  	7.03
	 (c)
	  	7.03
	 (d)
	  	7.03
	 Section 314
	  	
	 (a)(1)
	  	7.04
	 (a)(2)
	  	7.04
	 (a)(3)
	  	7.03, 7.04
	 (a)(4)
	  	3.10
	 (b)(1)
	  	2.11(b)
	 (b)(2)
	  	3.06
	 (c)(1)
	  	2.11,4.01, 11.01
	 (c)(2)
	  	2.11, 4.01, 11.01
	 (c)(3)
	  	4.01
	 (d)(1)
	  	11.01
	 (d)(2)
	  	11.01
	 (d)(3)
	  	11.01
	 (e)
	  	11. 01(b)
	 Section 315
	  	
	 (a)
	  	6.01(b)(ii), 6.01(c)(i)
	 (b)
	  	6.02
	 (c)
	  	6.01(a)
	 (d)(1)
	  	6.01(b), 6.01(c)
	 (d)(2)
	  	6.01(c)(iii)
	 (d)(3)
	  	6.01(c)(iv)
	 (e)
	  	5.15
	 Section 316
	  	
	 (a)
	  	5.13
	 (b)
	  	5.09
	 (c)
	  	10.02
	 Section 317
	  	
	 (a)(1)
	  	5.03
	 (a)(2)
	  	5.05
	 (b)
	  	3.03
	 Section 318
	  	
	 (a)
	  	11.07

	1	This Cross-Reference Table is not part of the Indenture. 

  

 v 

 APPENDIX I 
 DEFINED TERMS 
 “Accepted Servicing Practices”: The Servicer’s normal servicing
practices, which in general will conform to the mortgage servicing practices of prudent mortgage lending institutions which service, for their own account, mortgage loans of the same type as the Mortgage Loans in the jurisdictions in which the
related Mortgaged Properties are located. 
 “Account”: Any of the Collection Account, the Payment Accounts, [the Reserve
Account,] Yield Maintenance Accounts or the Note Insurance Payment Account. 
 “Accountant”: A Person engaged in the
practice of accounting who (except when the Indenture provides that an Accountant must be Independent) may be employed by or affiliated with the Issuing Entity or an Affiliate of the Issuing Entity. 
 “Accrual Period”: With respect to the Notes and any Payment Date, the period from and including the prior Payment Date (or, in the case
of the first Payment Date, from and including the Closing Date) to and including the day immediately preceding such Payment Date. 
 “Act”: With respect to any Noteholder, as defined in Section 11.03 of the Indenture. 
 “Affiliate”: With respect to any Person, any other Person directly or indirectly controlling, controlled by, or under direct or indirect 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. 
 “Agent”: Any Note
Registrar or Authenticating Agent. 
 “Aggregate Principal Balance”: With respect to any Mortgage Loans and any date of
determination, the aggregate of the Principal Balances of such Mortgage Loans as of such date of determination. 
 “Appraised
Value”: As to any Mortgaged Property, the appraised value of the Mortgaged Property based upon the appraisal made in connection with the origination of the Mortgage Loan and, in the case of a Mortgaged Property that was purchased with the
proceeds of the Mortgage Loan or within twelve months preceding the origination of the Mortgage Loan, the sales price of the Mortgaged Property, if such sales price is less than such appraised value. 
 “Assignment of Mortgage”: With respect to each Mortgage Loan, an assignment of the Mortgage, notice of transfer or equivalent instrument
sufficient under the laws of the jurisdiction wherein the related Mortgaged Property is located to reflect of record the conveyance of the Mortgage to the Indenture Trustee, for the benefit of the Noteholders and the Note Insurer. 

 “Authenticating Agent”: The Person, if any, appointed as Authenticating Agent by the
Owner Trustee on behalf of the Issuing Entity, acting at the direction of the Certificateholders, pursuant to Section 6.14 of the Indenture, until any successor Authenticating Agent for the Notes is named, and thereafter “Authenticating
Agent” shall mean such successor. The initial Authenticating Agent shall be the Indenture Trustee. Any Authenticating Agent other than the Indenture Trustee shall sign an instrument under which it agrees to be bound by all of the terms of this
Indenture applicable to the Authenticating Agent. 
 “Authorized Denominations”: Each Class of Notes is issuable only in the
minimum Percentage Interest corresponding to a minimum denomination of $25,000 or integral multiples of $1,000 in excess thereof; provided, however, that one Note of each Class is issuable in a denomination equal to any such multiple
plus an additional amount such that the aggregate denomination of all Notes of such Class shall be equal to the Original Note Principal Balance of such Class, and further provided that the underwriter will only sell offered notes to initial
investors in minimum total investment amounts of $100,000. 
 “Authorized Officer”: With respect to (i) the Indenture
Trustee, any Responsible Officer, (ii) the Owner Trustee, the president, any vice president, any assistant vice president, the secretary, any assistant secretary, the treasurer, any assistant treasurer, any trust officer, any financial services
officer or any other officer of the Owner Trustee customarily performing functions similar to those performed by the above officers and (iii) any other Person, the chairman, chief operating officer, president or any vice president of such
Person. 
 “Available Funds”: With respect to any Payment Date and either Group, the amount to be on deposit in the related
Payment Account on such Payment Date less any payments in respect of the indemnification and other expenses (subject to Section 6.16 of the Indenture) due to the Indenture Trustee pursuant to the Indenture or the Sale and Servicing Agreement,
in each case with respect to the related Group (excluding the amount of any Insured Amounts and prior to the application of such amounts as described in Section 8.02 of the Indenture for such Payment Date) as a result of: 
 (i) the Servicer Remittance Amount for the related Group received by the Indenture Trustee from the Servicer on the Servicer Remittance
Date pursuant to the Sale and Servicing Agreement, 
 (ii) any other funds from any deposits for such Group to be made by the
Servicer pursuant to the Sale and Servicing Agreement, 
 (iii) the Termination Price received from the Depositor on the
Clean-up Call Date pursuant to Section 10.01 of the Indenture, 
 (iv) on each Payment Date, in accordance with the
Indenture Trustee’s Remittance Report, (A) until the Shortfall Amount for the related Class is paid in full, and (B) until the amount specified in clause (vi) of Section 8.02 of the Indenture for such Class is paid in full,
in each case, first, from the Payment Account relating to the other Class of Notes, to the extent of the Net Monthly Excess Cashflow from the Loan Group relating to the other Class of Notes [and second, from each sub-account of the
Reserve 

  

 A-2 

 
Account, an amount equal to the product of (A) a fraction, the numerator of which is the amount on deposit in such sub-account of the Reserve Account
and the denominator of which is the aggregate amount on deposit in the Reserve Account and (B) the Shortfall Amount after giving effect to Section 8.01(a)(vi)(B) first of the Indenture; 
 (v) on each Payment Date, from each sub-account of the Reserve Account, an amount equal to the product of (A) a fraction, the
numerator of which is the amount on deposit in each such sub-account of the Reserve Account and the denominator of which is the aggregate amount on deposit in the Reserve Account and (B) the Reserve Account Release Amount, and ] 
 (vi) all other amounts for such Group received for deposit in such Payment Account, including the payment of any Loan Repurchase Price or
Substitution Adjustment for a Mortgage Loan in such Group received by the Indenture Trustee. 
 For purposes of calculating
the Available Funds, any Loan Repurchase Price or Substitution Adjustment that is paid shall be deemed deposited in the Payment Account in the Due Period preceding such Servicer Remittance Date. 
 “Available Funds Cap Carry-Forward Amount” means, with respect to (i) the Class A-1 Notes, the Class A-1 Available Funds
Cap Carry-Forward Amount and (ii) the Class A-2 Notes, the Class A-2 Available Funds Cap Carry-Forward Amount. 
 “Balloon Mortgage Loan”: A Mortgage Loan that provides for the payment of the unamortized principal balance of such Mortgage Loan in a single payment at the maturity of such Mortgage Loan that is greater than the preceding
Monthly Payment. 
 “Balloon Payment”: A payment of the unamortized principal balance of a Mortgage Loan in a single payment
at the maturity of such Mortgage Loan that is greater than the preceding Monthly Payment. 
 “Bankruptcy Code”: The
Bankruptcy Reform Act of 1978 (Title 11 of the United States Code), as amended. 
 “Base Principal Payment Amount”: For any
Payment Date and either Class of Notes will be the lesser of: 
 (a) the excess of (x) the sum, as of such Payment Date,
of (A) the Available Funds for the related Group of Mortgage Loans and (B) any Insured Amount with respect to the related Class of Notes over (y) the sum of the Interest Payment Amount for such Group; and 
 (b) the sum, without duplication, of: 
 (i) all scheduled principal payments due and collected or advanced for the related Due Period, plus the principal portion of all prepayments in full received during the related Prepayment Period, plus all partial
prepayments and other unscheduled recoveries of 

  

 A-3 

 
principal (other than Net Liquidation Proceeds) received during the prior calendar month less any related reimbursements of Delinquency Advances or of
Servicing Advances to the Servicer, in each case, for the related Group of Mortgage Loans; 
 (ii) the Principal Balance of
each Mortgage Loan in such Group that was repurchased by the Sponsor or the Depositor on the related Servicer Remittance Date from such Group to the extent such Principal Balance is actually received by the Indenture Trustee and less any related
reimbursements of Delinquency Advances or of Servicing Advances to the Servicer; 
 (iii) any Substitution Adjustments
delivered by the Sponsor or the Depositor on the related Servicer Remittance Date in connection with a substitution of a Mortgage Loan in that Group, to the extent such Substitution Adjustments are actually received by the Indenture Trustee;

 (iv) the Net Liquidation Proceeds actually collected by the Servicer on all Mortgage Loans in such Group during the
preceding calendar month to the extent such Net Liquidation Proceeds relate to principal; 
 (v) the proceeds received by the
Indenture Trustee upon the exercise by the Depositor of its option to call the Notes to the extent such proceeds relate to principal; 
 (vi) the proceeds received by the Indenture Trustee on any termination of the trust to the extent such proceeds relate to principal allocable to such Group; 
 (vii) any amount that the Note Insurer has elected to pay as principal including Liquidated Loan Losses prior to the occurrence of any
Remaining Overcollateralization Deficit; 
 minus 
 (viii) the amount of any Overcollateralization Reduction Amount for such Group for such Payment Date. 
 In no event will the Base Principal Payment Amount for a Group with respect to any Payment Date be (x) less than zero or (y) greater than the
then aggregate outstanding Note Principal Balance of the related Class of Notes. 
 “Basic Documents”: The Indenture, the
Trust Agreement, the Sale and Servicing Agreement, the Insurance Agreement, the Contribution Agreements and Assignment, the Cap Agreements and the Indemnification Agreement. 
  

 A-4 

 “Beneficial Owner”: With respect to a Book-Entry Note, the Person who is the beneficial
owner of such Note as reflected on the books of the Clearing Agency for the Notes or on the books of a Person maintaining an account with such Clearing Agency (as either a Direct Participant or an Indirect Participant, in accordance with the rules
of such Clearing Agency). 
 “Best Efforts”: Efforts determined to be in good faith and reasonably diligent by the Person
performing such efforts, specifically the Issuing Entity or the Servicer or any other agent of the Issuing Entity, as the case may be, in its reasonable discretion. Such efforts do not require the Issuing Entity or the Servicer or any other agent of
the Issuing Entity, as the case may be, to enter into any litigation, arbitration or other legal or quasi-legal proceeding, nor do they require the Issuing Entity or the Servicer or any other agent of the Issuing Entity, as the case may be, to
advance or expend fees or sums of money in addition to those specifically set forth in the Indenture and the Sale and Servicing Agreement. 
 “Book-Entry Notes”: Any Notes registered in the name of the Clearing Agency or its nominee, ownership of which is reflected on the books of the Clearing Agency or on the books of a person maintaining an account with such
Clearing Agency (as either a Direct Participant or an Indirect Participant in accordance with the rules of such Clearing Agency). 
 “Business Day”: Any day other than (i) a Saturday or Sunday or (ii) a day that is either a legal holiday or a day on which the Note Insurer or banking institutions in the State of New York, the State of Delaware,
the State of California, or the state in which the Indenture Trustee’s office from which payments will be made to Noteholders, are authorized or obligated by law, regulation or executive order to be closed. 
 “Cap Agreements”: Each of the interest rate cap agreements, dated as of [DATE], between the Indenture Trustee, in its capacity as
indenture trustee, and the Cap Counterparty. 
 “Cap Counterparty”:
[                                        
                    ], a
[                                        
                    ]. 
 “CERCLA”: The Comprehensive Environmental Response, Compensation and Liability Act of 1980. 
 “Certificates”: Each Trust Certificate issued pursuant to the Trust Agreement and which represents ownership in the Issuing Entity. 
 “Class”: Each class of Notes designated as the Class A-1 Notes and the Class A-2 Notes. 
 “Class A-1 Available Funds Cap Carry-Forward Amount”: With respect to the Class A-1 Notes and any Payment Date, the sum of 
 (a) the excess, if any, of (x) the Current Interest for the Class A-1 Notes calculated at the Class A-1 Formula Rate over (y) the Current Interest for the Class A-1 Notes calculated at the
Class A-1 Available Funds Cap Rate, in each case as of such Payment Date, and 
  

 A-5 

 (b) the Class A-1 Available Funds Cap Carry-Forward Amount for the previous Payment Date not
previously paid, together with interest thereon at the Class A-1 Formula Rate for the most recently ended Accrual Period. 
 “Class A-1 Available Funds Cap Rate”: For any Payment Date, a per annum rate equal to the product of (1) the excess of (A) a fraction, expressed as a percentage, equal to (i) the product of (a) the
mortgage interest due with respect to the Mortgage Loans in Group I for that Payment Date, less the Note Insurer Premium and Servicing Fees allocated to Group I and (b) 12, divided by (ii) the Principal Balance of the Class A-1 Notes
as of the first day of the related Accrual Period, over (B) 0.25% and (2) a fraction, expressed as a percentage, the numerator of which is 30 and the denominator of which is the number of days in the related Accrual Period. 
 “Class A-1 Base Principal Payment Amount”: The Base Principal Payment Amount for the Class A-1 Notes. 
 “Class A-1 Carry-Forward Amount”: For any Payment Date, the sum of (a) the amount, if any, by which (x) the Class A-1
Interest Payment Amount as of the immediately preceding Payment Date exceeded (y) the amount of interest actually paid to the holders of the Class A-1 Notes on such immediately preceding Payment Date (including from amounts paid by the
Note Insurer) and (b) interest for the actual number of days in the related Accrual Period on the amount described in clause (a), calculated at an interest rate equal to the Class A-1 Formula Rate applicable to the related Accrual Period.

 “Class A-1 Formula Rate”: A per annum rate equal to the lesser of (i) LIBOR plus
[            ]% per annum; provided, that, on any Payment Date after the Clean-up Call Date, such rate will be equal to LIBOR plus
[            ]% per annum and (ii) [            ]%. 
 “Class A-1 Interest Payment Amount”: For any Payment Date is an amount equal to the Current Interest for the Class A-1 Notes on
such Payment Date, plus the Class A-1 Carry-Forward Amount as of such Payment Date. 
 “Class A-1 Interest Remittance
Amount”: With respect to the Class A-1 Notes for any Payment Date, the portion of the Interest Remittance Amount that was collected or advanced on Loan Group I. 
 “Class A-1 Net Interest Amount”: With respect to the Class A-1 Notes and for any Payment Date, the Class A-1 Interest
Remittance Amount minus the Class A-1 Notes’ pro rata share of the Administrative Fees and Premium (based on the Loan Group 1 share of the aggregate Principal Balance of the Mortgage Loans). 
 “Class A-1 Note”: Any Note designated as a “Class A-1 Note” on the face thereof, in the form of Exhibit A to the Indenture.
The Class A-1 Notes shall be issued with an initial aggregate Note Principal Balance equal to the Original Note Principal Balance therefor. 
 “Class A-1 Note Principal Balance”: As of any date of determination, the Original Note Principal Balance of the Class A-1 Notes less any amounts actually paid with respect to principal thereon on all prior
Payment Dates. 
  

 A-6 

 “Class A-1 Note Rate”: With respect to any Payment Date, the per annum rate equal to the
lesser of (i) the Class A-1 Formula Rate and (ii) the Class A-1 Available Funds Cap Rate for such Payment Date. 
 “Class A-2 Available Funds Cap Carry-Forward Amount”: With respect to the Class A-2 Notes and any Payment Date, the sum of 
 (a) the excess, if any, of (x) the Current Interest for the Class A-2 Notes calculated at the Class A-2 Formula Rate over (y) the Current Interest for the Class A-2 Notes calculated at the
Class A-2 Available Funds Cap Rate, in each case as of such Payment Date, and 
 (b) the Class A-2 Available Funds Cap
Carry-Forward Amount for the previous Payment Date not previously paid, together with interest thereon at the Class A-2 Formula Rate for the most recently ended Accrual Period. 
 “Class A-2 Available Funds Cap Rate”: For any Payment Date, a per annum rate equal to the product of (1) the excess of (A) a
fraction, expressed as a percentage, equal to (i) the product of (a) the mortgage interest due with respect to the Mortgage Loans in Group II for that Payment Date, less the Note Insurer Premium and Servicing Fees allocated to Group II and
(b) 12, divided by (ii) the Principal Balance of the Class A-2 Notes as of the first day of the related Accrual Period, over (B) 0.25% and (2) a fraction, expressed as a percentage, the numerator of which is 30 and the
denominator of which is the number of days in the related Accrual Period. 
 “Class A-2 Base Principal Payment Amount”: The
Base Principal Payment Amount for the Class A-2 Notes. 
 “Class A-2 Carry-Forward Amount”: For any Payment Date, the
sum of (a) the amount, if any, by which (x) the Class A-2 Interest Payment Amount as of the immediately preceding Payment Date exceeded (y) the amount of interest actually paid to the holders of the Class A-2 Notes on such
immediately preceding Payment Date (including from amounts paid by the Note Insurer) and (b) interest for the actual number of days in the related Accrual Period on the amount described in clause (a), calculated at an interest rate equal to the
Class A-2 Formula Rate applicable to the related Accrual Period. 
 “Class A-2 Formula Rate”: A per annum rate equal to
the lesser of (i) LIBOR plus [            ]% per annum; provided, that, on any Payment Date after the Clean-up Call Date, such rate will be equal to LIBOR plus
[            ]% per annum and (ii) [            ]%. 
 “Class A-2 Interest Payment Amount”: With respect to the Class A-2 Notes for any Payment Date, an amount equal to (a) the
Current Interest for the Class A-2 Notes, plus (b) the Class A-2 Carry-Forward Amount remaining unpaid as of such Payment Date. 
 “Class A-2 Interest Remittance Amount”: With respect to the Class A-2 Notes for any Payment Date, the portion of the Interest Remittance Amount that was collected or advanced on Loan Group II.

 “Class A-2 Net Interest Amount”: With respect to the Class A-2 Notes and for any Payment Date, the Class A-2
Interest Remittance Amount minus the Class A-2 Notes’ pro 

  

 A-7 

 
rata share of the Administrative Fees and Premium (based on the Loan Group 2 share of the aggregate Principal Balance of the Mortgage Loans). 
 “Class A-2 Available Funds Cap Carry-Forward Amount”: With respect to the Class A-2 Notes and any Payment Date, the sum of
(a) the excess of (x) the Current Interest for the Class A-2 Notes calculated at the Class A-2 Formula Rate over (y) the Current Interest for the Class A-2 Notes calculated at the Class A-2 Available Funds Cap
Rate, in each case as of such Payment Date and (b) the amount of any Class A-2 Available Funds Cap Carry-Forward Amount remaining unpaid from any previous Payment Date, with interest thereon at the Class A-2 Formula Rate. 

“Class A-2 Note”: Any Note designated as a “Class A-2 Note” on the face thereof, in the form of Exhibit A to the Indenture.
The Class A-2 Notes shall be issued with an initial aggregate Note Principal Balance equal to the Original Note Principal Balance therefor. 
 “Class A-2 Note Principal Balance”: As of any date of determination, the Original Note Principal Balance of the Class A-2 Notes less any amounts actually paid with respect to principal thereon on all prior
Payment Dates. 
 “Class A-2 Note Rate”: With respect to any Payment Date, the per annum rate equal to the lesser of
(i) the Class A-2 Formula Rate and (ii) the Class A-2 Available Funds Cap Rate for such Payment Date. 
 “Clean-Up Call Date”: The first Payment Date on which the aggregate outstanding Principal Balance of both Classes of Notes is equal to or less than 10% of the sum of (a) the original Aggregate Principal Balance of the
Class A-1 Notes and (b) the original Aggregate Principal Balance of the Class A-2 Notes. 
 “Clearing
Agency”: An organization registered as a “clearing agency” pursuant to Section 17A of the Securities Exchange Act of 1934, as amended, and the regulations of the Commission thereunder and shall initially be The Depository
Trust Company of New York, the nominee for which is Cede & Co. 
 “Clearing Agency Participants”: The entities for
whom the Clearing Agency will maintain book-entry records of ownership and transfer of Book-Entry Notes, which may include securities brokers and dealers, banks and trust companies and clearing corporations and certain other organizations.

 “Closing Date”: [DATE]. 
 “Code”: The Internal Revenue Code of 1986, as amended. 
 “Collection
Account”: The Eligible Account established and maintained by the Servicer pursuant to Section 5.02(b) of the Sale and Servicing Agreement. 
 “Collection Period”: With respect to each Payment Date, the calendar month preceding the related Payment Date. 
  

 A-8 

 “Commission”: The United States Securities and Exchange Commission. 
 “Compensating Interest”: As defined in Section 6.05 of the Sale and Servicing Agreement. 
 “Contribution Agreements and Assignment”: Shall mean collectively the Contribution Agreement and Assignment, dated as of [DATE], between
the Sponsor and the Depositor. 
 “Corporate Trust Office”: With respect to (y) the Indenture Trustee, the principal
office of the Indenture Trustee at which at any particular time its corporate trust business shall be principally administered, which office at the date of the execution of the Basic Documents is located at:
[                                ], Attention:
[                            ], where it conducts its trust administration services; and (z) the
Owner Trustee, the office of the Owner Trustee at which at any particular time its corporate trust business shall be administered, which office at the date of the execution of the Basic Documents is located at
[                                ], Attention:
[                            ]. 
 “Credit Enhancement Amount”: With respect to any Payment Date, the sum of (a) the aggregate Overcollateralization Amount of Group 1
and Group 2 for such Payment Date (after taking into account any Overcollateralization Increase Amount) [and (b) the amount on deposit in the Reserve Account after giving effect to any deposit to or withdrawal (not related to the Reserve
Account Release Amount) of funds from the Reserve Account on such Payment Date]. 
 “Cumulative Loan Loss Percentage”: As of
any Payment Date, a fraction, the numerator of which is the sum of all Liquidated Loan Losses which have occurred between the Cut-Off Date and the last day of the immediately preceding month and the denominator of which is the Cut-off Date Aggregate
Principal Balance of the Mortgage Loans. 
 “Current Interest”: With respect to either Class of Notes and any Payment Date,
the interest accrued during the related Accrual Period at the related Note Rate on the related Note Principal Balance as of such Payment Date (and prior to making any payments on such Payment Date) reduced by the sum of Relief Act Interest
Shortfalls and Net Prepayment Interest Shortfalls, in each case, related to the Mortgage Loans in the related Group. 
 “Curtailment”: With respect to a Mortgage Loan, any payment of principal received in advance of its Monthly Payment and which is not accompanied by an amount as to interest representing scheduled interest due on any date or
dates in any month or months subsequent to the month of prepayment. 
 “Cut-Off Date”: With respect to the mortgage loans
originated on or before [DATE], the close of business on [DATE]. With respect to the mortgage loans originated after [DATE], the origination date of such mortgage loan. 
 “Cut-Off Date Aggregate Principal Balance”: With respect to each Loan Group or both Loan Groups, the aggregate of the Cut-Off Date Principal Balance of the Mortgage Loans in such Loan Group or both
Loan Groups, as required by the context. The Cut-Off Date 

  

 A-9 

 
Aggregate Principal Balance of the Mortgage Loans for the Issuing Entity is
$[                    ]. The Cut-Off Date Aggregate Principal Balance for the Mortgage Loans in Loan Group 1 and Loan Group 2 is
$[                    ] and
$[                    ]. 
 “Cut-Off Date Principal Balance”: Means as to any Mortgage Loan, the unpaid principal balance of such Mortgage Loan as of the related Cut-Off Date as specified in the amortization schedule at the time relating thereto
(before any adjustment to such amortization schedule by reason of any moratorium or similar waiver or grace period) (or, with respect to Mortgage Loans which were originated after the Cut-Off Date, as of the date of origination) and after giving
effect to any previous Curtailments and Liquidation Proceeds allocable to principal (other than with respect to any Liquidated Mortgage Loan), irrespective of any delinquency in payment by the related Mortgagor. 
 “Debt Service Reduction”: With respect to any Mortgage Loan, a reduction by a court of competent jurisdiction of the Monthly Payment due
on such Mortgage Loan in a proceeding under the Bankruptcy Code, except such a reduction that constitutes a Deficient Valuation or a permanent forgiveness of principal. 
 “Default”: Any occurrence that is, or with notice or the lapse of time or both would become, an Event of Default. 
 “Deficient Valuation”: With respect to any Mortgage Loan, a valuation of the related Mortgaged Property by a court of competent jurisdiction in an amount less than the then outstanding Principal
Balance of the Mortgage Loan, or that results in a permanent forgiveness of principal, which valuation in either case results from a proceeding initiated under the Bankruptcy Code. 
 “Definitive Notes”: Notes other than Book-Entry Notes. 
 “Deleted Mortgage Loan”: A Mortgage Loan replaced or to be replaced by a Qualified Substitute Mortgage Loan. 
 “Delinquency Advance”: The aggregate of the advances required to be made by the Servicer on any Servicer Remittance Date pursuant to Section 5.18 of the Sale and Servicing Agreement, the amount
of any such advances being equal to the sum of: 
 (i) with respect to each Mortgage Loan, other than an REO Mortgage Loan, that was
Delinquent as of the close of business on the last day of the Due Period preceding the related Servicer Remittance Date, the aggregate amount of Monthly Payments (with interest thereon calculated at the Mortgage Interest Rate (or at such lower rate
as may be in effect for such Mortgage Loan pursuant to application of the Relief Act, any Deficient Valuation and/or any Debt Service Reduction), net of the related Servicing Fee) due during the related Due Period, and 
 (ii) with respect to each REO Property which was acquired during or prior to the related Collection Period and as to which an REO Disposition did not
occur during the related Collection Period, an amount equal to the excess, if any, of (i) interest on the Principal Balance of the related REO Mortgage Loan at the Mortgage Interest Rate (or at such lower rate as may be in effect for such
Mortgage Loan pursuant to application of the Relief Act, any Deficient 

  

 A-10 

 
Valuation and/or any Debt Service Reduction) for such REO Mortgage Loan net of the related Servicing Fee, for the most recently ended Due Period over
(ii) the Net REO Proceeds transferred to the Payment Account for such Payment Date; 
 provided, however, that in each such case such
advance has not been determined by the Servicer to be a Nonrecoverable Advance. For purposes of the preceding sentence, the Monthly Payment on each Balloon Mortgage Loan with a delinquent Balloon Payment is equal to the assumed monthly payment that
would have been due on the related Due Date based on the original principal amortization schedule for such Balloon Mortgage Loan. 
 “Delinquency Ratio”: With respect to any Payment Date, the percentage equivalent of a fraction (a) the numerator of which equals the Aggregate Principal Balances of all Mortgage Loans that are sixty (60) or more
days Delinquent (whether or not such Mortgage Loans are in bankruptcy), in foreclosure or converted to REO Property as of the close of business on the last day of such Due Period and (b) the denominator of which is the Aggregate Principal
Balance of the Mortgage Loans as of the close of business on the last day of such Due Period. 
 “Delinquent”: A Mortgage
Loan is “delinquent” if any payment due thereon is not made by the close of business on the day such payment is scheduled to be due. A Mortgage Loan is “30 days delinquent” if such payment has not been received by the close of
business on the corresponding day of the month immediately succeeding the month in which such payment was due, or, if there is no such corresponding day (e.g., as when a 30-day month follows a 31-day month in which a payment was due on the
31st day of such month) then on the last day of such immediately succeeding month. Similarly for “60 days delinquent,” “90 days delinquent” and so on. 
 “Delivery”: When used with respect to Permitted Investments means: 
 (a) with respect to
bankers’ acceptances, commercial paper, negotiable certificates of deposit and other obligations that constitute “instruments” within the meaning of Section 9-102(a)(47) of the Uniform Commercial Code and are susceptible of
physical delivery (except with respect to Permitted Investments consisting of certificated securities (as defined in Section 8-102(a)(4) of the Uniform Commercial Code)), physical delivery to the Indenture Trustee or its custodian endorsed to
the Indenture Trustee or its custodian or endorsed in blank; 
 (b) with respect to a certificated security (as defined in
Section 8-102(a)(4) of the Uniform Commercial Code) (i) delivery of such certificated security, not containing any evidence of a right or interest inconsistent with the Indenture Trustee’s interest therein, endorsed to, or registered
in the name of, the Indenture Trustee or endorsed in blank to a securities intermediary (as defined in Section 8-102(a)(14) of the Uniform Commercial Code) and the making by such securities intermediary of appropriate entries in its records
identifying such certificated securities as credited to the securities account (as defined in Section 8-501(a) of the Uniform Commercial Code) of the Indenture Trustee, or (ii) by delivery thereof to a “clearing corporation” (as
defined in Section 8-102(5) of the Uniform Commercial Code) and the making by such clearing corporation of appropriate entries in its records crediting the securities account of a securities intermediary by the amount of such certificated
security and the making by such securities intermediary of appropriate entries in its records identifying such certificated securities 

  

 A-11 

 
as credited to the securities account of the Indenture Trustee (all Permitted Investments described in subsections (a) and (b), and “Physical
Property”); and, in any event, any such Physical Property in registered form shall be registered in the name of the Indenture Trustee or its nominee or custodian; and such additional or alternative procedures as may hereafter become appropriate
to effect the complete transfer of ownership of any such Permitted Investments to the Indenture Trustee or its nominee or custodian, consistent with then applicable law or regulations or the interpretation thereof; and 
 (c) with respect to any security issued by the U.S. Treasury, Fannie Mae or Freddie Mac that is a book-entry security held through the Federal Reserve
System pursuant to federal book-entry regulations, the following procedures, all in accordance with applicable law, including applicable federal regulations and Articles 8 and 9 of the Uniform Commercial Code: the making by a Federal Reserve Bank of
an appropriate entry crediting such Permitted Investment to an account of a securities intermediary that is also a “participant” pursuant to applicable federal regulations; the making by such securities intermediary of appropriate entries
in its records crediting such book-entry security held through the Federal Reserve System pursuant to federal book-entry regulations and Articles 8 and 9 of the Uniform Commercial Code to the securities account of the Indenture Trustee; and such
additional or alternative procedures as may hereafter become appropriate to effect complete transfer of ownership of any such Permitted Investments to the Indenture Trustee or its nominee or custodian, consistent with then applicable law or
regulations or the interpretation thereof. 
 “Depositor”: Accredited Mortgage Loan REIT Trust, a Maryland real estate
investment trust. 
 “Direct Participant”: Any broker-dealer, bank or other financial institution for which the Clearing
Agency holds Notes from time to time as a securities depositary. 
 [“Dominion”: Dominion Bond Rating Service, Inc., a
corporation organized and existing under Delaware law, or any successor thereto and if such corporation no longer for any reason performs the services of a securities rating agency, “Dominion” shall be deemed to refer to any other
nationally recognized rating agency.] 
 “Due Date”: With respect to any Mortgage Loan and any Monthly Payment, the date on
which such Monthly Payment is due from the related Mortgagor. 
 “Due for Payment”: With respect to (i) an Insured
Amount, the Payment Date on which Insured Amounts are due and payable pursuant to the terms of the Indenture and (ii) a Preference Amount, the Business Day on which the documentation required by the Note Insurer has been received by the Note
Insurer. 
 “Due Period”: With respect to any Payment Date, the period commencing on the second day of the month preceding
the month in which such Payment Date occurs and ending on the first day of the month in which such Payment Date occurs. 
 “Eligible
Account”: Either (A) an account or accounts (including any sub-account or sub-accounts) maintained with an institution (which may include the Indenture Trustee; provided, that the Indenture Trustee otherwise meets these
requirements) whose 

  

 A-12 

 
deposits are insured by the FDIC, the unsecured and uncollateralized debt obligations of which institution shall be rated “AA” or better by S&P
and “Aa2” or better by Moody’s and in the highest short term rating by S&P and Moody’s, and which is (i) a federal savings and loan association duly organized, validly existing and in good standing under the federal
banking laws, (ii) an institution (including the Indenture Trustee) duly organized, validly existing and in good standing under the applicable banking laws of any state, (iii) a national banking association duly organized, validly existing
and in good standing under the federal banking laws, (iv) a principal subsidiary of a bank holding company, or (v) approved in writing by the Note Insurer and the Rating Agencies or (B) a trust account or accounts maintained with the
trust department of a federal or state chartered depository institution or trust company (which may include the Indenture Trustee; provided, that the Indenture Trustee otherwise meets these requirements), having capital and surplus of not
less than $50,000,000, acting in its fiduciary capacity. 
 “ERISA”: The Employee Retirement Income Security Act of 1974, as
amended. 
 “Event of Default”: As defined in Section 5.01 of the Indenture. 
 “Excess Overcollateralization Amount”: With respect to each Group of Mortgage Loans and any Payment Date, the excess, if any, of
(a) the Overcollateralization Amount that would apply to that Group on such Payment Date after giving effect to the payment of the Base Principal Payment Amount for such Group calculated without reduction for any Overcollateralization Reduction
Amounts, over (b) the Specified Overcollateralization Amount for such Group. 
 “Excess Spread”: With respect to any
Payment Date and each Loan Group, an amount equal to the excess of (A) the sum of (x) the product of (i) the aggregate Principal Balances of Mortgage Loans as of the first day of the immediately preceding Collection Period and
(ii) one-twelfth of the weighted average Mortgage Interest Rate for the Mortgage Loans, as the case may be, as of the first day of the related Collection Period to the extent that interest payments that are due during the related Collection
Period are either received or advanced and (y) any Prepayment Charges collected during the related Prepayment Period over (B) the sum of (i) the aggregate Interest Payment Amount for the related Class of Notes for such Payment Date
and (ii) the sum of the Servicing Fee and the Premium in each case for the Mortgage Loans in such Loan Group with respect to such Payment Date. 
 “Exchange Act”: Means the Securities Exchange Act of 1934, as amended. 
 “Fannie
Mae”: Fannie Mae, formerly known as, The Federal National Mortgage Association, and any successor thereto. 
 “FDIC”: The Federal Deposit Insurance Corporation, and any successor thereto. 
 “Final
Certification”: A certification as to the completeness of each Indenture Trustee’s Mortgage File prepared by the Indenture Trustee, and provided by the Indenture Trustee within one hundred eighty (180) days of the Closing Date
pursuant to Section 2.06(b)(iii) of the Sale and Servicing Agreement. 
 “Final Stated Maturity Date”: The Payment Date
occurring in [MO/YR]. 
  

 A-13 

 “Foreclosure Profits”: As to any Payment Date, the excess, if any, of (i) Net
Liquidation Proceeds in respect of each Mortgage Loan that became a Liquidated Mortgage Loan during the Collection Period immediately preceding such Payment Date over (ii) the sum of the unpaid Principal Balance of each such Liquidated Mortgage
Loan plus accrued and unpaid interest at the applicable Mortgage Interest Rate on the unpaid Principal Balance thereof from the Due Date on which interest was last paid by the Mortgagor (or, in the case of a Liquidated Mortgage Loan that had been an
REO Mortgage Loan, from the Due Date on which interest was last deemed to have been paid pursuant to Section 5.06 of the Sale and Servicing Agreement) to the next succeeding Due Date following the date such Loan became a Liquidated Mortgage
Loan, plus any amounts required by applicable law to be paid to the related Mortgagors. 
 “Formula Rate”: With respect to
the Class A-1 Notes, the Class A-1 Formula Rate and with respect to the Class A-2 Notes, the Class A-2 Formula Rate. 
 “Freddie Mac”: Freddie Mac, formerly known as The Federal Home Loan Mortgage Corporation, and any successor thereto. 
 “GAAP”: Generally accepted accounting principles, consistently applied. 
 “Governmental Plan”: A
governmental plan within the meaning of Section 3(32) of ERISA. 
 “Grant”: To assign, transfer, mortgage, pledge,
create and grant a security interest in, deposit, set-over and confirm. A Grant of a Mortgage Loan and the related Mortgage Files, a Permitted Investment, the Sale and Servicing Agreement, or any other instrument shall include all rights, powers and
options (but none of the obligations) of the Granting party thereunder, including, without limitation, the immediate and continuing right to claim for, collect, receive and give receipts for principal and interest payments thereunder, Insurance
Proceeds, Loan Repurchase Prices and all other moneys payable thereunder and all proceeds thereof, to give and receive notices and other communications, to make waivers or other agreements, to exercise all rights and options, to bring Proceedings in
the name of the Granting party or otherwise, and generally to do and receive anything that the Granting party is or may be entitled to do or receive thereunder or with respect thereto. 
 “Group”: With respect to the Notes, either Group 1 or Group 2, as the context requires. With respect to the Mortgage Loans, either Loan
Group 1 or Loan Group 2, as the context requires. 
 “Group 1”: With respect to the Notes, the Class A-1 Notes. The
related Loan Group for Group 1 is Loan Group 1. 
 “Group 2”: With respect to the Notes, the Class A-2 Notes. The
related Loan Group for Group 2 is Loan Group 2. 
 “Highest Lawful Rate”: As defined in Section 11.19 of the Indenture.

  

 A-14 

 “Indemnification Agreement”: The Indemnification Agreement dated as of [DATE], among the
Note Insurer and the Underwriters, as such agreement may be amended or supplemented in accordance with the provisions thereof. 
 “Indenture”: The Indenture, dated as of [DATE], between the Issuing Entity and the Indenture Trustee, relating to the issuance of the Notes. 
 “Indenture Trustee”:
[                                       
 ], a
[                                       
 ], or its successor-in-interest, or any successor Indenture Trustee appointed as provided for in Section 6.09 of the Indenture. 
 “Indenture Trustee Fee”: As to any Payment Date, the fee payable to the Indenture Trustee in respect of its services as Indenture Trustee pursuant to Section 6.16 of the Indenture as set forth in a separate fee
agreement. 
 “Indenture Trustee’s Mortgage File”: The documents delivered to the Indenture Trustee, pursuant to
Section 2.05 of the Sale and Servicing Agreement. 
 “Indenture Trustee’s Remittance Report”: The statement
prepared pursuant to Section 2.08(d) of the Indenture, containing the following information with respect to each Class: 
 (a) the
amount of the payment with respect to each Class of Notes and Certificates; 
 (b) the amount of such payments allocable to principal,
separately identifying the aggregate amount of any Principal Prepayments or other unscheduled recoveries of principal included therein and separately identifying any Overcollateralization Increase Amounts for each Group; 
 (c) the amount of such payments allocable to interest and the calculation thereof; 
 (d) the Class A-1 Carry Forward Amount, the Class A-2 Carry Forward Amount and the Available Funds Cap Carry-Forward Amount [(both covered and
not covered from the Reserve Account for that Payment Date)]; 
 (e) the Note Principal Balance of each Class of Notes as of such Payment
Date, together with the Note Principal Balance of each Class of Notes (based on a Note in an original Note Principal Balance of $1,000) then outstanding, in each case after giving effect to any payment of principal on such Payment Date; 

(f) the amount of any Insured Amounts included in the amounts paid to the Noteholders on such Payment Date; 
 (g) the total of any Substitution Adjustments and any Loan Repurchase Price amounts included in such payment; 
  

 A-15 

 (h) the amounts, if any, of any Liquidated Loan Losses for the related Collection Period and cumulative
Liquidated Loan Losses since the Closing Date; 
 (i) LIBOR for such Payment Date; 
 (j) the aggregate Stated Principal Balance of the Mortgage Loans for the following Payment Date; 
 (k) the amount of the aggregate Servicing Fees paid to or retained by the Servicer with respect to such Payment Date; 
 (l) for each of the preceding 12 calendar months, or all calendar months since the related Cut-off Date, whichever is less, the aggregate dollar amount
of the Scheduled Payments (A) due on all outstanding Mortgage Loans on each of the Due Dates in each such month and (B) delinquent 60 days or more on each of the Due Dates in each such month; 
 (m) whether a Step-Up Test Event has occurred and is continuing (including the calculation of thereof and the related Rolling Three Month Delinquency
Ratio); 
 (n) [the amount on deposit in the Reserve Account (after giving effect to distributions on such Payment Date);] 
 (o) the Overcollateralization Amount and Specified Overcollateralization Amount; 
 (p) Prepayment Charges collected and paid by the Servicer; and 
 (q) the Interest Rate Cap Payments, if any, for such Payment Date. 
 Items (a), (b) and (c) above
shall, with respect to each Class of Notes, be presented on the basis of a Note having a $1,000 denomination. 
 “Independent”: When used with respect to any specified Person, means such a Person who (i) is in fact independent of the Issuing Entity and any other obligor upon the Notes, (ii) does not have any direct financial
interest or any material indirect financial interest in the Issuing Entity or in any such other obligor or in an Affiliate of the Issuing Entity or such other obligor, and (iii) is not connected with the Issuing Entity or any such other obligor
as an officer, employee, promoter, underwriter, trustee, partner, director or person performing similar functions. Whenever it is herein provided that any Independent Person’s opinion or certificate shall be furnished to the Indenture Trustee,
such Person shall be appointed by a Trust Order and such opinion or certificate shall state that the signer has read this definition and that the signer is Independent within the meaning hereof. 
 “Indirect Participant”: Any financial institution for whom any Direct Participant holds an interest in a Note. 
 “Individual Note”: A Note of an Original Note Principal Balance of $25,000; a Note of an Original Note Principal Balance in excess of
$25,000 shall be deemed to be a number of Individual Notes equal to the quotient obtained by dividing such Original Note Principal Balance amount by $25,000. 
  

 A-16 

 “Initial Certification”: A certification as to the completeness of each Indenture
Trustee’s Mortgage File prepared by the Indenture Trustee, and provided by the Indenture Trustee within sixty (60) days of the Closing Date pursuant to Section 2.06(b)(ii) of the Sale and Servicing Agreement. 
 “Insurance Agreement”: The Insurance and Indemnity Agreement dated as of [DATE] among the Depositor, the Indenture Trustee, the Note
Insurer, the Sponsor, the Servicer and the Issuing Entity as such agreement may be amended or supplemented in accordance with the provisions thereof. 
 “Insurance Proceeds”: Proceeds paid by any insurer pursuant to any insurance policy covering a Mortgage Loan to the extent such proceeds are not applied to the restoration of the related Mortgaged
Property or released to the related Mortgagor in accordance with the express requirements of law or in accordance with prudent and customary servicing practices. “Insurance Proceeds” do not include “Insured Amounts.” 

“Insured Amounts”: With respect to any Payment Date and the Notes, the sum of (i) any Insured Interest Payment for such Payment
Date and (ii) any Insured Principal Payment for such Payment Date. 
 “Insured Interest Payment”: With respect to any
Payment Date and the Notes, the excess, if any, of Required Interest Distributions over the Available Funds then remaining in accordance with the priority of payments for the related Group for such Payment Date. 
 “Insured Payments”: The aggregate amount actually paid by the Note Insurer to the Indenture Trustee in respect of (i) Insured
Amounts for a Payment Date and (ii) Preference Amounts for any given Business Day. 
 “Insured Principal Payment”:
(i) for any Payment Date prior to the Payment Date occurring in July 2034, the Remaining Overcollateralization Deficit allocable to the Notes, if any, for such Payment Date and (ii) with respect to the Payment Date occurring in July 2034,
the outstanding Note Principal Balance of such Class of Notes (after giving effect to all distributions to be made thereon on such Payment Date other than any portion thereof consisting of an Insured Principal Payment). 
 “Interest Determination Date”: With respect to any Accrual Period for the Class A-1 Notes or Class A-2 Notes, the second
London Business Day prior to the immediately preceding Payment Date; provided, however, that with respect to the [MO/YR] Payment Date, the Interest Determination Date shall be [DATE]. 
 “Interest Payment Amount”: The Class A-1 Interest Payment Amount or Class A-2 Interest Payment Amount, as applicable.

 “Interest Reduction Carryforward Amount”: For any Payment Date and with respect to a Class of Notes, the amount, if any,
by which the related Interest Payment Amount for 

  

 A-17 

 
such Payment Date was reduced by the sum of any Relief Act Interest Shortfalls and Net Prepayment Interest Shortfalls, in each case, related to the Mortgage
Loans in the related Group. To the extent that an Interest Reduction Carryforward Amount remains unpaid on a Payment Date, any such remaining amount will be carried forward and interest shall accrue thereon for the actual number of days in the
related Accrual Period on such unpaid amount, and such interest will be calculated at an interest rate equal to the related Formula Rate applicable to the related Accrual Period. 
 “Interest Remittance Amount”: As of any Payment Date and any Group, is an amount equal to (1) the product of (x) 1/12 of the
Weighted Average Mortgage Interest Rate of the related Group as of the beginning of the prior Collection Period and (y) the Principal Balance related to that Group as of the beginning of the prior Collection Period minus (2) the aggregate
amount of Net Prepayment Interest Shortfalls and Relief Act Interest Shortfalls for such Group for the prior period. 
 “Issuing
Entity”: Accredited Mortgage Loan Trust 200[_]-[_], a Delaware statutory trust. 
 “Late Payment Rate”: Has the
meaning ascribed thereto in the Insurance Agreement. 
 “Letter Agreement”: The Letter of Representations to the Clearing
Agency from the Indenture Trustee and the Issuing Entity dated [DATE]. 
 “LIBOR”: With respect to any Accrual Period, the
rate determined by the Indenture Trustee on the related Interest Determination Date on the basis of the posted rate U.S. dollar deposits for one month which appears on Telerate Page 3750, as of 11:00 a.m. (London time) on such Interest Determination
Date. If no such posted rate appears, LIBOR will be determined on the basis of the offered quotation of the Reference Banks for U.S. dollar deposits for one month to prime banks in the London interbank market as of 11:00 a.m. London time, on such
date. If fewer than two Reference Banks provide such offered quotations on that date, LIBOR will be calculated as the offered rate which one or more leading banks in The City of New York selected by the Indenture Trustee (after consultation with the
Servicer) are quoting as of 11:00 a.m., New York City time, on such date to leading European banks for U.S. dollar deposits for one month; provided, however, that if such banks are not quoting as described above, LIBOR will be equal to
the value calculated for the immediately preceding Accrual Period. 
 In any event, LIBOR is calculated as the arithmetic mean (rounded, if
necessary, to the nearest 1/100th of a percent (0.0001), with upwards rounding of amounts equal to or in excess of
5/1,000th of a percent (0.00005) of all such quotations. 
 “Liquidated Loan Loss”: With respect to any Payment Date, the aggregate of the amount of losses with respect to each Mortgage Loan which
became a Liquidated Mortgage Loan on or prior to the last day of the calendar month preceding such Payment Date, equal to the excess of (i) the unpaid Principal Balance of each such Liquidated Mortgage Loan, plus accrued interest thereon in
accordance with the amortization schedule at the time applicable thereto at the 

  

 A-18 

 
applicable Mortgage Interest Rate from the Due Date as to which interest was last paid with respect thereto through the next succeeding Due Date following
the date such Loan became a Liquidated Mortgage Loan, over (ii) Net Liquidation Proceeds with respect to such Liquidated Mortgage Loan. 
 “Liquidated Mortgage Loan”: A Mortgage Loan with respect to which the related Mortgaged Property has been acquired, liquidated or foreclosed and with respect to which the Servicer determines that all Liquidation Proceeds
which it expects to recover have been recovered and for which the Servicer has so designated on its Servicer Remittance Report. 
 “Liquidation Expenses”: Expenses incurred by the Servicer in connection with the liquidation of any defaulted Mortgage Loan or property acquired in respect thereof (including, without limitation, legal fees and expenses,
committee or referee fees, and, if applicable, brokerage commissions and conveyance taxes), any unreimbursed amount expended by the Servicer pursuant to Sections 5.04 and 5.06 of the Sale and Servicing Agreement respecting the related Mortgage Loan
and any unreimbursed expenditures for real property taxes or for property restoration or preservation of the related Mortgaged Property. Liquidation Expenses shall not include any previously incurred expenses in respect of an REO Mortgage Loan which
have been netted against related REO Proceeds. 
 “Liquidation Proceeds”: The amount received by the Servicer in connection
with (i) the taking of all or a part of a Mortgaged Property by exercise of the power of eminent domain or condemnation, (ii) the liquidation of a defaulted Mortgage Loan through an Indenture Trustee’s sale, foreclosure sale, REO
Disposition or otherwise or (iii) the liquidation of any other security for such Mortgage Loan, including, without limitation, pledged equipment, inventory and working capital and assignments of rights and interests made by the related
Mortgagor. 
 “Loan Group”: Any of Loan Group 1 or Loan Group 2. 
 “Loan Group 1”: The pool of Mortgage Loans identified in the Mortgage Loan Schedule for Group 1. 
 “Loan Group 2”: The pool of Mortgage Loans identified in the Mortgage Loan Schedule for Group 2. 
 “Loan Repurchase Price”: With respect to any Mortgage Loan, the Principal Balance of such Mortgage Loan as of the date of repurchase,
plus the greater of (x) all accrued and unpaid interest thereon and (y) thirty (30) days’ interest thereon, computed, as of the next succeeding Due Date for such repurchased Mortgage Loan, at the Mortgage Interest Rate, plus the
amount of any unreimbursed Delinquency Advances and Servicing Advances made by the Servicer with respect to such Mortgage Loan, plus any costs and damages incurred by the Issuing Entity in connection with any violation by such mortgage loan of any
predatory or abusive lending law, which purchase price shall be deposited in the Collection Account on the next succeeding Servicer Remittance Date, after deducting therefrom any amounts received in respect of such repurchased Mortgage Loan or Loans
and being held in the Collection Account for future payment to the extent such amounts have not yet been applied to principal or interest on such Mortgage Loan. 
  

 A-19 

 “Loan-to-Value Ratio” or “LTV”: With respect to any Mortgage Loan as of
its date of origination, the ratio on such date borne by the original Principal Balance of the Mortgage Loan to the Appraised Value of the related Mortgaged Property. 
 “London Business Day”: A day on which banking institutions in the City of London, England, are not required or authorized to be closed. 
 “Majority Noteholders”: With respect to the Notes, the Holder or Holders of Notes evidencing Percentage Interests in excess of 51% in
the aggregate. With respect to the Class A-1 Notes or Class A-2 Notes, the Holder or Holders of Class A-1 Notes or Class A-2 Notes, as applicable, evidencing Percentage Interests in excess of 51% in the aggregate. 
 “Maximum Collateral Amount”: With respect to each Loan Group or both Loan Groups, the Cut-Off Date Aggregate Principal Balance for the
related Loan Group or both Loan Groups, as required by the context. 
 “MERS”: Mortgage Electronic Registration Systems,
Inc., a corporation organized and existing under the laws of the State of Delaware, or any successor thereto. 
 “MERS
System”: The system of recording transfers of Mortgages electronically maintained by MERS. 
 “MIN: The Mortgage
Identification Number for Mortgage Loans registered with MERS on the MERS System. 
 “MOM Loan”: A Mortgage Loan for which
MERS is acting as the mortgagee of such Mortgage Loan, solely as nominee for the originator of such Mortgage Loan and its successors and assigns, at the origination thereof. 
 “Monthly Payment”: As to any Mortgage Loan (including any REO Mortgage Loan) and any Due Date, the payment of principal and interest due
thereon as specified for such Due Date in the related amortization schedule at the time applicable thereto (after adjustment for any Curtailments and Deficient Valuations occurring prior to such Due Date but before any adjustment to such
amortization schedule by reason of any bankruptcy, other than Deficient Valuations, or similar proceeding or any moratorium or similar waiver or grace period). 
 [“Moody’s”: Moody’s Investors Service, Inc., a corporation organized and existing under Delaware law, or any successor thereto and if such corporation no longer for any reason performs the
services of a securities rating agency, “Moody’s” shall be deemed to refer to any other nationally recognized rating agency designated by the Note Insurer.] 
 “Mortgage”: The mortgage, deed of trust or other instrument creating a first or second lien on the Mortgaged Property. 
 “Mortgage File”: As described in Exhibit A to the Sale and Servicing Agreement. 
 “Mortgage Interest Rate”: As to any Mortgage Loan, the per annum rate at which interest accrues on the unpaid Principal Balance thereof.

  

 A-20 

 “Mortgage Loan Schedule”: The schedule of Mortgage Loans as of the Cut-Off Date attached
as Schedule I to the Indenture, which will be deemed to be modified automatically to reflect any replacement, sale, substitution, liquidation, transfer or addition of any Mortgage Loan. The Mortgage Loan Schedule sets forth as to each Mortgage Loan:
(i) its identifying number and the name of the related Mortgagor; (ii) the billing address, mailing address and property address for the related Mortgaged Property including the state and zip code; (iii) its date of origination;
(iv) the original number of months to stated maturity; (v) a designation indicating whether or not such Mortgage Loan is a Balloon Loan; (vi) the original Principal Balance; (vii) its Principal Balance as of the applicable
Cut-Off Date and its Cut-Off Date Principal Balance; (viii) the Mortgage Interest Rate and margin; (ix) the scheduled monthly payment of principal and interest; (x) a Group designation; (xi) the LTV; (xii) if the Mortgage
Loan is registered with MERS on the MERS System, the MIN; and (xiii) whether such Mortgage Loan is secured by a first lien on the related Mortgage Property. 
 “Mortgage Loans”: The mortgage loans (together with any Qualified Substitute Mortgage Loans substituted therefor in accordance with the Basic Documents, as from time to time are held as a part of the
Issuing Entity), so being identified in the Mortgage Loan Schedule on the Closing Date. When used in respect of any Payment Date, the term Mortgage Loans shall mean all Mortgage Loans (including those in respect of which the Indenture Trustee has
acquired the related Mortgaged Property) which have not been repaid in full prior to the related Due Period, did not become Liquidated Mortgage Loans prior to such related Due Period or were not repurchased or replaced by the Sponsor prior to such
related Due Period. 
 “Mortgage Note”: The original, executed note or other evidence of any indebtedness of a Mortgagor
under a Mortgage Loan. 
 “Mortgaged Property”: The underlying property or properties securing a Mortgage Loan, consisting
of a fee simple or leasehold interest in one or more parcels of land. 
 “Mortgagor”: The obligor on a Mortgage Note.

 “Net Foreclosure Profits”: As to any Payment Date, the excess, if any, of (i) the aggregate Foreclosure Profits with
respect to such Payment Date over (ii) Liquidated Loan Losses with respect to such Payment Date. 
 “Net Liquidation
Proceeds”: As to any Liquidated Mortgage Loan, Liquidation Proceeds net of Liquidation Expenses and net of any unreimbursed Delinquency Advances and Servicing Advances made by the Servicer with respect to such Liquidated Mortgage Loan. For
all purposes of the Basic Documents, Net Liquidation Proceeds shall be allocated first to accrued and unpaid interest on the related Mortgage Loan and then to the unpaid Principal Balance thereof. 
 “Net Monthly Excess Cashflow”: With respect to any Payment Date and any Group, the excess of (x) the Available Funds for such Group
then on deposit in the related Payment Account over (y) the sum (without duplication) of (i) the Interest Payment Amount for such Group and such Payment Date and, (ii) the Base Principal Payment Amount and the Overcollateralization
Deficit, in each case, for such Group and such Payment Date. 
  

 A-21 

 “Net Prepayment Interest Shortfalls”: For any Payment Date and either Group of Mortgage
Loans, the amount by which the aggregate Prepayment Interest Shortfalls for such Group during the related Prepayment Period exceeds available Compensating Interest for such Group. 
 “Net REO Proceeds”: As to any REO Mortgage Loan, REO Proceeds net of any related expenses of the Servicer. 
 “Nonpayment”: Means, with respect to any Payment Date, an Insured Amount is Due for Payment but has not been paid pursuant to the
Indenture. 
 “Nonrecoverable Advances”: Means, with respect to any Mortgage Loan, (a) any Delinquency Advance or
Servicing Advance previously made and not reimbursed pursuant to Section 5.03 of the Sale and Servicing Agreement, or (b) a Delinquency Advance proposed to be made in respect of a Mortgage Loan or REO Property either of which, in the good
faith business judgment of the Servicer, as evidenced by an Officer’s Certificate delivered to the Note Insurer and the Indenture Trustee no later than the Business Day following such determination, would not ultimately be recoverable pursuant
to Section 5.03 of the Sale and Servicing Agreement. 
 “Note”: Any Class A-1 Note or Class A-2 Note executed
by the Owner Trustee on behalf of the Issuing Entity and authenticated by the Indenture Trustee. 
 “Noteholder” or
“Holder”: Each Person in whose name a Note is registered in the Note Register, except that, solely for the purposes of giving any consent, waiver, request or demand pursuant to the Indenture, any Note registered in the name of the
Servicer or the Sponsor, or any Affiliate of any of them, shall be deemed not to be outstanding and the undivided Percentage Interest evidenced thereby shall not be taken into account in determining whether the requisite percentage of Notes
necessary to effect any such consent, waiver, request or demand has been obtained. For purposes of any consent, waiver, request or demand of Noteholders pursuant to the Indenture, upon the Indenture Trustee’s request, the Servicer and the
Sponsor shall provide to the Indenture Trustee a notice identifying any of their respective Affiliates that is a Noteholder as of the date(s) specified by the Indenture Trustee in such request. Any Notes on which payments are made under the Note
Insurance Policy shall be deemed to be Outstanding and held by the Note Insurer to the extent of such payment. 
 “Note Insurance
Payment Account”: The Note Insurance Payment Account established in accordance with Section 8.03(c) of the Indenture and maintained by the Indenture Trustee. 
 “Note Insurance Policy”: The financial guarantee insurance policy, number 04030011, and all endorsements thereto dated the Closing Date,
issued by the Note Insurer for the benefit of the Noteholders. 
 “Note Insurer”: Financial Guaranty Insurance Company, a
New York stock insurance corporation, and any successors thereto. 
  

 A-22 

 “Note Insurer Default”: The existence and continuance of any of the following:

 (i) the Note Insurer shall have failed to make a required payment when due under the Note Insurance Policy; 
 (ii) the Note Insurer shall have (i) filed a petition or commenced any case or proceeding under any provision or chapter of the Bankruptcy Code, the
New York State Insurance Law or any other similar federal or state law relating to insolvency, bankruptcy, rehabilitation, liquidation, or reorganization, (ii) made a general assignment for the benefit of its creditors or (iii) had an
order for relief entered against it under the Bankruptcy Code, the New York State Insurance Law or any other similar federal or state law relating to insolvency, bankruptcy, rehabilitation, liquidation, or reorganization that is final and
nonappealable; or 
 (iii) a court of competent jurisdiction, the New York Department of Insurance or any other competent regulatory
authority shall have entered a final and nonappealable order, judgment or decree (i) appointing a custodian, indenture trustee, agent, or receiver for the Note Insurer or for all or any material portion of its property or (ii) authorizing
the taking of possession by a custodian, indenture trustee, agent, or receiver of the Note Insurer or of all or any material portion of its property. 
 “Note Principal Balance”: With respect to a Class of Notes on any date of determination, the Class A-1 Note Principal Balance or the Class A-2 Note Principal Balance. As to any particular
Note and date of determination, the product of the Percentage Interest evidenced thereby and the aggregate principal balance of all Notes of the same Class as of such date of determination. The Certificates do not have a “Note Principal
Balance.” 
 “Note Rate”: The Class A-1 Note Rate or Class A-2 Note Rate, as applicable. 
 “Note Register”: As defined in Section 2.06 of the Indenture. 
 “Note Registrar”: As defined in Section 2.06 of the Indenture. 
 “Notice”: The telephonic or telegraphic notice, promptly confirmed in writing by telecopy substantially in the form of Exhibit A to the
Note Insurance Policy, the original of which is subsequently delivered by registered or certified mail, from the Indenture Trustee specifying the Insured Amount or Preference Amount which shall be due and owing on the applicable Payment Date.

 “Officer’s Certificate”: A certificate signed by the chairman of the board, the president or a vice president and
the treasurer, the secretary or one of the assistant treasurers or assistant secretaries of the Sponsor or the Servicer, or, with respect to the Issuing Entity, a certificate signed by a Responsible Officer of the Owner Trustee, at the direction of
the Certificateholders as required by any Basic Document. 
 “Opinion of Counsel”: A written opinion of counsel, who may,
without limitation, be counsel for the Sponsor, the Servicer, the Indenture Trustee, the Owner Trustee, a Noteholder or a Noteholder’s prospective transferee or the Note Insurer (including except as otherwise provided herein, in-house counsel)
reasonably acceptable to each addressee of such opinion and experienced in matters relating to the subject of such opinion. 
  

 A-23 

 “Original Note Principal Balance”: As of the Closing Date and as to the Class A-1
Notes, $[            ]and as to the Class A-2 Notes, $[            ]. The Certificates do not have an
“Original Note Principal Balance.” 
 “Outstanding”: As of the date of determination, all Notes theretofore
authenticated and delivered under the Indenture except: 
 (i) Definitive Notes theretofore canceled by the Note Registrar or delivered to
the Note Registrar for cancellation; 
 (ii) Notes or portions thereof for whose payment or redemption money in the necessary amount has been
theretofore deposited with the Indenture Trustee in trust for the Holders of such Notes; provided, however, that if such Notes are to be redeemed, notice of such redemption has been duly given pursuant to this Indenture or provision
therefor, satisfactory to the Indenture Trustee, has been made; 
 (iii) Notes in exchange for or in lieu of which other Notes have been
authenticated and delivered pursuant to this Indenture unless proof satisfactory to the Indenture Trustee is presented that any such Notes are held by a bona fide purchaser (as defined by the Uniform Commercial Code of the applicable jurisdiction);
and 
 (iv) Notes alleged to have been destroyed, lost or stolen that have been paid as provided for in Section 2.07 of the Indenture;

 provided, however, that Notes which have been paid with proceeds of the Policy shall continue to remain Outstanding for purposes of this
Indenture until the Note Insurer has been paid as subrogee hereunder or reimbursed pursuant to the Insurance Agreement as evidenced by a written notice from the Note Insurer delivered to the Indenture Trustee, and the Note Insurer shall be deemed to
be the Holder thereof to the extent of any payments thereon made by the Note Insurer which have not been reimbursed; provided, further, however, that in determining whether the Holders of the requisite percentage of the Note
Principal Balance of the Outstanding Notes have given any request, demand, authorization, direction, notice, consent or waiver hereunder, Notes owned by the Issuing Entity, any other obligor upon the Notes or any Affiliate of the Issuing Entity, the
Servicer or the Sponsor or such other obligor shall be disregarded and deemed not to be Outstanding, except that, in determining whether the Indenture Trustee shall be protected in relying upon any such request, demand, authorization, direction,
notice, consent or waiver, only Notes that a Responsible Officer of the Indenture Trustee has actual knowledge to be so owned shall be so disregarded. Notes so owned that have been pledged in good faith may be regarded as Outstanding if the pledgee
establishes to the satisfaction of the Indenture Trustee the pledgee’s right so to act with respect to such Notes and that the pledgee is not the Issuing Entity, any other obligor upon the Notes or any Affiliate of the Issuing Entity, the
Servicer or the Sponsor or such other obligor. 
 “Overcollateralization Amount”: As of any Payment Date and either Group,
the excess, if any, of (a) the aggregate Stated Principal Balance of the Mortgage Loans in such Group as of the close of business on the last day of the related Due Period over (b) the Note Principal Balance of the related Class as of such
Payment Date (after taking into account the 

  

 A-24 

 
payment of all principal payments for such Group on such Payment Date, except for any portion thereof related to any Overcollateralization Increase Amount
for such Payment Date); provided, however, that such amount shall not be less than zero. 
 “Overcollateralization
Deficiency Amount”: With respect to any Payment Date and either Group, the difference, if greater than zero, between (a) the Specified Overcollateralization Amount for such Group applicable to such Payment Date and (b) the
Overcollateralization Amount for such Group applicable to such Payment Date prior to taking into account the payment of any related Overcollateralization Increase Amount for such Group on such Payment Date. 
 “Overcollateralization Deficit”: As of any Payment Date, the amount, if any, by which (a) the aggregate Note Principal Balance of
the Notes, after taking into account the payment of the Base Principal Payment Amount for each Group on such date, but before taking into account any principal payment funded from Net Monthly Excess Cashflow, [the Reserve Account] or any Insured
Principal Payment exceeds (b) the aggregate Stated Principal Balance of the Mortgage Loans determined as of the end of the immediately preceding Prepayment Period. For purposes of determining the amount to be paid on account of the
Overcollateralization Deficit to the Noteholders of each Class of Notes on the Payment Date, the Overcollateralization Deficit will be allocated to each Class pro rata based on the amount by which the Note Principal Balance of each
class on such payment date, after payment of the Base Principal Payment Amount but before taking into account any principal payment funded from Net Monthly Excess Cashflow, [any amounts released from the Reserve Account] or any Insured Principal
Payment, exceeds the aggregate Stated Principal Balance of the Mortgage Loans in the related group as of the end of the immediately preceding Payment Date. 
 “Overcollateralization Increase Amount”: With respect to any Payment Date and either Group, the lesser of: 
 (i) the Overcollateralization Deficiency Amount for such Group as of such Payment Date (after taking into account the payment of the Base Principal Payment Amount for such Group on such Payment Date); and 

(ii) 100% of the amount of Net Monthly Excess Cashflow on such Payment Date. 
 “Overcollateralization Reduction Amount”: With respect to any Payment Date and either Group, the lesser of (a) the Excess
Overcollateralization Amount for such Group and Payment Date and (b) the Base Principal Payment Amount for such group and Payment Date, calculated without reduction for any Overcollateralization Reduction Amounts. 
 “Overcollateralized Percentage”: As to any Payment Date, and with respect to either Loan Group, the percentage equivalent of a fraction,
the numerator of which is the Overcollateralization Amount for such Loan Group as of such Payment Date and the denominator of which is the Aggregate Principal Balance of the Mortgage Loans in such Loan Group as of the end of the related
Collection Period; as to both Loan Groups, the percentage equivalent of a fraction, numerator of which is the Overcollateralization Amounts for both Loan 

  

 A-25 

 
Groups and the denominator of which is the Aggregate Principal Balance of the Mortgage Loans in both Loan Groups as of the end of the related Collection
Period. 
 “Owner-Occupied Mortgaged Property”: A Residential Dwelling as to which (a) the related Mortgagor represented an
intent to occupy as such Mortgagor’s primary residence at the origination of the Mortgage Loan, and (b) the Sponsor has no actual knowledge that such Residential Dwelling is not so occupied. 
 “Ownership Interest”: As to any Note, any ownership or security interest in such Note, including any interest in such Note as the Holder
thereof and any other interest therein, whether direct or indirect, legal or beneficial, as owner or as pledgee. 
 “Owner
Trustee”: [_____________________], a Delaware trust company, not in its individual capacity, but solely as owner trustee under the Trust Agreement, and any successor owner trustee thereunder. 
 “Owner Trustee Fee”: As defined in Section 9.01 of the Trust Agreement. 
 “Paying Agent”: The Indenture Trustee or any other depository institution or trust company that is authorized by the Issuing Entity
pursuant to Section 3.03 of the Indenture to pay the principal of, or interest on, any Notes on behalf of the Issuing Entity, which agent, if not the Indenture Trustee, shall have signed an instrument agreeing to be bound by the terms of the
Indenture applicable to such Paying Agent. 
 “Payment Account”: With respect to each Class of Notes, the segregated trust
account, which shall be an Eligible Account, established and maintained pursuant to Section 8.01(a) of the Indenture and entitled “[_________________]”, as Indenture Trustee for Accredited Mortgage Loan Trust 200[_]-[_] Asset-Backed Notes,
Series 200[_]-[_], Class A-[1][2], Payment Account,” as the case may be, on behalf of the related Noteholders and the Note Insurer. 
 “Payment Amount”: The Class A-1 Payment Amount or the Class A-2 Payment Amount, as applicable. 
 “Payment Date”: The [25th] day of any month or if such [25th] day is not a Business Day, the first Business Day immediately following, commencing on [DATE]. 
 “Percentage Interest”: With respect to a Note of either Class, the portion evidenced by such Note, expressed as a percentage rounded to
four decimal places, equal to a fraction the numerator of which is the denomination represented by original principal balance of such Note and the denominator of which is the Original Note Principal Balance of such Class. With respect to the
Certificates, the portion evidenced thereby as stated on the face of such Certificate. 
  

 A-26 

 “Permitted Investments”: As used herein, Permitted Investments shall include the
following: 
 (i) obligations of, or guaranteed as to timely payments of principal and interest by, the United States or any agency or
instrumentality thereof when such obligations are backed by the full faith and credit of the United States; 
 (ii) repurchase agreements on
obligations specified in clause (i) maturing not more than three months from the date of acquisition thereof, provided that the unsecured obligations of the party agreeing to repurchase such obligations are at the time rated at least A-l+ by
S&P and in one of the two highest ratings by Moody’s; 
 (iii) certificates of deposit, time deposits and bankers’ acceptances
(which, in the case of bankers’ acceptances, shall in no event have an original maturity of more than 365 days) of any U.S. depository institution or trust company, incorporated under the laws of the United States or any state; provided,
that the debt obligations of such depository institution or trust company at the date of acquisition thereof have been rated in one of the two highest ratings by Moody’s and S&P. 
 (iv) commercial paper (having original maturities of not more than 270 days) of any corporation incorporated under the laws of the United States or any
state thereof which on the date of acquisition has been rated in the highest short-term rating by each of the Rating Agencies; and 
 (v)
units of money market funds registered under the Investment Company Act of 1940, investing in any of the foregoing, including any funds managed or advised by the Indenture Trustee or any affiliate of the Indenture Trustee; provided,
such money market funds are at the time rated at least “AAAm” or “AAAm-G” by S&P, and in one of the two highest short-term ratings by Moody’s; 
 provided, that no instrument described hereunder shall evidence either the right to receive (x) only interest with respect to the obligations underlying such instrument or (y) both principal and
interest payments derived from obligations underlying such instrument and the interest and principal payments with respect to such instrument provided a yield to maturity at par greater than 120% of the yield to maturity at par of the underlying
obligations; and provided, further, that no instrument described hereunder may be purchased at a price greater than par if such instrument may be prepaid or called at a price less than its purchase price prior to stated maturity.

 “Person”: Any individual, corporation, partnership, limited liability company, joint venture, association, joint-stock
company, trust, national banking association, unincorporated organization or government or any agency or political subdivision thereof. 
 “Physical Property”: As defined in clause (b) of the definition of “Delivery.” 
 “Plan”: Either (i) an employee benefit plan (within the meaning of Section 3(3) of ERISA) that is subject to Title I of ERISA, (ii) a plan (within the meaning of Section 4975(e)(1) of the Code) that is
subject to Section 4975 of the Code or (iii) a Governmental Plan that is subject to any federal, state or local law that is, to a material extent, similar to Title I of ERISA or Section 4975 of the Code. 
  

 A-27 

 “Predecessor Notes”: With respect to any particular Note, every previous Note evidencing
all or a portion of the same debt as that evidenced by such particular Note; and, for the purpose of this definition, any Note authenticated and delivered under Section 2.07 of the Indenture in lieu of a lost, destroyed or stolen Note shall be
deemed to evidence the same debt as the lost, destroyed or stolen Note. 
 “Preference Amount”: Any payment of principal or
interest on a Note, which would have been covered under the Note Insurance Policy as any Insured Amount, which is made to an owner of a Note by or on behalf of the Indenture Trustee and which has been deemed a preferential transfer and was
previously recovered from its owner pursuant to the United States Bankruptcy Code in accordance with a final, non appealable order from a court of competent jurisdiction. 
 “Preference Claim”: As defined in Section 8.03(f) of the Indenture. 
 “Premium”: The product of the Premium Percentage and the aggregate outstanding Note Principal Balance for the related Class on the related Payment Date, but after giving effect to any payments on such Payment Date.

 “Premium Percentage”: The rate at which the “Premium” is determined (including any “premium
supplement”), as defined in the Insurance Agreement. 
 “Prepayment Charge”: As to a Mortgage Loan, any charge paid by
a Mortgagor in connection with Principal Prepayment made within the related Prepayment Charge Period, the Prepayment Charges with respect to each applicable Mortgage Loan so held by the Issuing Entity being identified in a Prepayment Charge Schedule
(other than any Servicer Prepayment Charge Payment Amount). 
 “Prepayment Charge Period”: As of any Mortgage Loan, the
period of time, if any, during which a Prepayment Charge may be imposed. 
 “Prepayment Charge Schedule”: As of any date,
the list of Prepayment Charges on the Mortgage Loans included in the Issuing Entity on such date, attached as Exhibit H to the Sale and Servicing Agreement. The Prepayment Charge Schedule shall set forth the following information with respect to
each Prepayment Charge: 
 (i) the Mortgage Loan identifying number; 
 (ii) a code indicating the term of the Prepayment Charge; 
 (iii) the state of origination of the related Mortgage Loan; 
 (iv) the date on which the first Monthly Payment was due on the related Mortgage Loan; 
 (v) the term of the related Mortgage Loan; and 
 (vi) the Cut-Off Date Principal Balance of the related Mortgage Loan. 
  

 A-28 

 “Prepayment Interest Shortfall”: With respect to any Payment Date, for each Mortgage
Loan that was the subject during the related Prepayment Period of a Principal Prepayment in full, an amount equal to the excess, if any, of (a) 30 days’ interest on the Principal Balance of such Mortgage Loan at a per annum rate equal to
(i) the Mortgage Interest Rate (or at such lower rate as may be in effect for such Mortgage Loan pursuant to application of the Relief Act, any Deficient Valuation and/or any Debt Service Reduction) minus (ii) the Servicing Fee
Rate, over (b) the amount of interest actually remitted by the related Mortgagor in connection with such Principal Prepayment in full, less the Servicing Fee for such Mortgage Loan in such month. 
 “Prepayment Period”: With respect to any Payment Date and Principal Prepayments in full, the period commencing on the 16th day of the month preceding the month in which such Payment Date occurs (or, in the case of the first Payment Date, the day
following the Cut-Off Date) and ending on the 15th day of the month in which such Payment Date occurs. 

“Principal Balance”: As to any Mortgage Loan and any date of determination, the outstanding principal balance of such Mortgage Loan
as of such date of determination. 
 “Principal Prepayment”: Any payment of principal made by the Mortgagor on a Mortgage
Loan which is received in advance of its scheduled Due Date. 
 “Proceeding”: Any suit in equity, action at law or other
judicial or administrative proceeding. 
 “Prospectus Supplement”: The Prospectus Supplement dated [DATE] relating to the
Notes filed with the Commission in connection with the Registration Statement heretofore filed or to be filed with the Commission pursuant to Rule 424(b)(5). 
 “Qualified Appraiser”: An appraiser, duly appointed by the Sponsor, who had no interest, direct or indirect, in the Mortgaged Property or in any loan made on the security thereof, and whose
compensation is not affected by the approval or disapproval of the Mortgage Loan, and such appraiser and the appraisal made by such appraiser both satisfy the requirements of Title XI of the Federal Institutions Reform, Recovery and Enforcement Act
of 1989 and the regulations promulgated thereunder, all as in effect on the date the Mortgage Loan was originated. 
 “Qualified REIT
Subsidiary”: Has the meaning set forth in Section 856(i) of the Code. 
 “Qualified Substitute Mortgage Loan”:
A mortgage loan or mortgage loans substituted for a Deleted Mortgage Loan pursuant to Section 2.06 or 4.02(b) of the Sale and Servicing Agreement, which (a) has or have an interest rate greater than or equal to those applicable to the
Deleted Mortgage Loan, (b) relates or relate to a detached one- to four-family residence and has or have the same or a better lien priority as the Deleted Mortgage Loan and has or have the same occupancy status as the Deleted Mortgage Loan or
is or are Owner-Occupied Mortgaged Property(ies), (c) matures or mature no later than (and not more than one year earlier than) the Deleted Mortgage Loan, (d) has or have a Loan-to-Value Ratio or Loan-to-Value Ratios at the time of such
substitution no higher than the Loan-to-Value Ratio of the Deleted 

  

 A-29 

 
Mortgage Loan, (e) has or have a Stated Principal Balance or Stated Principal Balances, after deduction of the principal portion of the Monthly Payment
due in the month of substitution (or, in the case of a substitution of more than one mortgage loan for a Deleted Mortgage Loan, an aggregate principal balance) not more than the Stated Principal Balance of the Deleted Mortgage Loan as of such date,
(f) complies or comply as of the date of substitution with each representation and warranty set forth in Section 4.01 of the Sale and Servicing Agreement, and (g) is otherwise acceptable to the Note Insurer. 
 “Rating Agency”:
[                    ] or
[                                ]. 
 “Rating Agency Condition”: Means, with respect to any action to which a Rating Agency Condition applies, that each Rating Agency shall
have been given ten (10) days (or such shorter period as is acceptable to each Rating Agency) prior notice thereof and that each of the Rating Agencies shall have notified the Indenture Trustee, the Servicer, the Sponsor, the Depositor, the
Note Insurer and the Issuing Entity in writing that such action will not result in a reduction, qualification or withdrawal of the then current “implied” rating of the Notes that it maintains without taking into account the Note Insurance
Policy. 
 “Record Date”: With respect to the Notes, the last Business Day immediately preceding the related Payment Date so
long as the Notes are in book-entry form and for Notes in definitive form, the last Business Day of the month immediately preceding the month in which the Payment Date occurs. 
 “Redemption Date”: The Payment Date, if any, on which all of the Notes are redeemed, in each case, pursuant to Article X of the
Indenture, which date may occur on or after the Clean-Up Call Date. 
 “Reference Banks”: Citibank, Barclay’s Bank PLC,
The Bank of Tokyo-Mitsubishi and National Westminster Bank PLC; provided, that if any of the foregoing banks are not suitable to serve as a Reference Bank, then any leading banks selected by the Indenture Trustee (after consultation with the
Servicer) which are engaged in transactions in Eurodollar deposits in the international Eurocurrency market (i) with an established place of business in London, (ii) not controlling, under the control of or under common control with the
Servicer or the Indenture Trustee or any affiliate thereof and (iii) whose quotations appear on the Telerate Page 3750 on the relevant Interest Determination Date. 
 “Regulation AB”: Subpart 229.1100 – Asset Backed Securities (Regulation AB), 17 C.F.R. §§229.1100-229.1123, as such may be amended from time to time, and subject to such clarification
and interpretation as have been provided by the Commission in the adopting release (Asset-Backed Securities, Securities Act Release No. 33-8518, 70 Fed. Reg. 1,506, 1,531 (Jan. 7, 2005)) or by the staff of the Commission, or as may be provided
by the Commission or its staff from time to time. 
 “Reimbursement Amount”: Means, as to any Payment Date, the sum of
(x) (i) all Insured Payments paid by the Note Insurer, but for which the Note Insurer has not been reimbursed prior to such Payment Date pursuant to Section 8.02(v) and (vi) of the Indenture or 5.07(e) and (f) of the
Indenture, plus (ii) interest accrued on such Insured Payments not 

  

 A-30 

 
previously repaid calculated at the Late Payment Rate from the date the Indenture 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 Note Insurer under the Insurance Agreement, as certified to the Indenture Trustee by the Note Insurer plus (ii) interest on such amounts
at the Late Payment Rate. In the event any amounts due under the Insurance Agreement are not clearly allocable to a particular Group, those amounts shall be allocated between the Groups pro rata based on the aggregate unpaid Principal Balance of the
related Notes. 
 “REIT”: A real estate investment trust within the meaning of section 856(a) of the Code that satisfies the
requirements of section 857(a). 
 “Relevant Servicing Criteria”: The Servicing Criteria applicable to the various parties,
as set forth on Exhibit [__] attached hereto. For clarification purposes, multiple parties can have responsibility for the same Relevant Servicing Criteria. With respect to a Servicing Function Participant engaged by the Servicer [and the Indenture
Trustee], the term “Relevant Servicing Criteria” may refer to a portion of the Relevant Servicing Criteria applicable to such parties. 
 “Relief Act”: The Servicemembers Civil Relief Act. 
 “Relief Act Interest Shortfall”: With
respect to any Payment Date, for any Mortgage Loan as to which there has been a reduction in the amount of interest collectible thereon for the most recently ended Due Period as a result of the application of the Relief Act or similar state law, the
amount, if any, by which (a) interest collectible on such Mortgage Loan during the most recently ended calendar month is less than (b) one month’s interest on the Principal Balance of such Mortgage Loan, calculated at a rate equal to
the related Mortgage Interest Rate. 
 “Remaining Overcollateralization Deficit”: With respect to any Payment Date, the
excess, if any, of (a) the aggregate Note Principal Balances of both Classes of Notes, after payment of the Base Principal Payment Amount for both Groups and after taking into account any principal payment funded from Net Monthly Excess
Cashflow [and from amounts released from the Reserve Account], but before taking into account the principal portion of any Insured Principal Payment, over (b) the aggregate Stated Principal Balance of the Mortgage Loans as of the close of
business on the last day of the prior Prepayment Period. For purposes of determining the amount to be paid on account of the Remaining Overcollateralization Deficit to the Noteholders of each Class of Notes on the Payment Date, the Remaining
Overcollateralization Deficit will be allocated to each Class pro rata based on the amount by which the Note Principal Balance of each Class on such Payment Date, after payment of the Base Principal Payment Amount but after taking into
account any principal payment funded from Net Monthly Excess Cashflow [and from amounts released from the Reserve Account], but before taking into account any Insured Principal Payment, exceeds the aggregate Stated Principal Balances of the Mortgage
Loans in the related Group as of the end of the immediately preceding Payment Date. 
  

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 “REO Disposition”: The final sale by the Servicer of a REO Property acquired by the
Servicer in foreclosure or by deed in lieu of foreclosure. 
 “REO Mortgage Loan”: Any Mortgage Loan which is not a
Liquidated Mortgage Loan and as to which the indebtedness evidenced by the related Mortgage Note is discharged and the related Mortgaged Property is held as part of the Issuing Entity. 
 “REO Proceeds”: Proceeds received in respect of any REO Mortgage Loan (including, without limitation, proceeds from the rental of the
related Mortgaged Property). 
 “REO Property”: A Mortgaged Property acquired by the Servicer in the name of the Indenture
Trustee on behalf of the Noteholders through foreclosure or deed-in-lieu of foreclosure. 
 “Required Interest
Distributions”: (i) with respect to the Class A-1 Notes and any Payment Date, the Class A-1 Interest Payment Amount for such Payment Date, and (ii) with respect to the Class A-2 Notes and any Payment Date, the
Class A-2 Interest Payment Amount for such Payment Date. 
 “Request for Release”: A request for release in
substantially the form attached as Exhibit F of the Sale and Servicing Agreement. 
 [“Reserve Account”: The trust
account consisting of two segregated trust subaccounts relating to the two Loan Groups, which shall be an Eligible Account (or subaccount of the Payment Account), established and maintained pursuant to Section 8.01(b) of the Indenture and
entitled
“[                                       
 ], as Indenture Trustee for Accredited Mortgage Loan Trust 200[_]-[_], Asset-Backed Notes, Series 200[_]-[_], Cross-collateralization Reserve Account, Class A-1 and Class A-2” on behalf of the Noteholders and the Note
Insurer. 
 “Reserve Account Release Amount”: With respect to any Payment Date, the lesser of (a) the aggregate amounts
on deposit in the Reserve Account and (b) and the amount by which the Credit Enhancement Amount exceeds the Specified Credit Enhancement Amount. 
 “Reserve Payment Amount”: With respect to any Payment Date and either Loan Group, the amount necessary for the aggregate funds on deposit in the Reserve Account to equal the Specified Reserve Amount.]

 “Residential Dwelling”: A one- to four-family dwelling, a unit in a planned unit development, a unit in a condominium
development or a townhouse. 
 “Responsible Officer”: When used with respect to the Indenture Trustee or the Owner Trustee,
any officer assigned to the Corporate Trust Office (or any successor thereto), including any Vice President, Second or Assistant Vice President, Senior Trust Officer, Trust Officer, Assistant Trust Officer, any Assistant Secretary, associate, any
trust officer or any other officer of the Indenture Trustee or the Owner Trustee customarily performing functions similar to those performed by any of the above designated officers and to whom, with respect to a particular matter, such matter is
referred because of such officer’s knowledge of and familiarity with the particular subject. When used with respect to the Sponsor or the Servicer, the chief executive officer, the president or any vice president, assistant vice president, or
any secretary or assistant secretary. 
  

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 “Rolling Three Month Delinquency Ratio”: With respect to any Payment Date, the average
of the Delinquency Ratios for the three (or one and two, in the case of the first and second Payment Dates, respectively) immediately preceding Due Periods. 
 “Rolling Six Month Delinquency Ratio”: For any Payment Date, the fraction, expressed as a percentage, equal to the average of the Delinquency Ratio for each of the six immediately preceding
Collection Periods (or for each Payment Date starting in [MO/YR] through [MO/YR], the corresponding number of preceding Collection Periods). 
 “Sale”: The meaning specified in Section 5.17 of the Indenture. 
 “Sale and Servicing
Agreement”: The Sale and Servicing Agreement, dated as of [DATE], among the Issuing Entity, the Servicer, the Sponsor , the Depositor, and the Indenture Trustee, providing for, among other things, the sale of the Mortgage Loans from the
Depositor to the Issuing Entity and the servicing of the Mortgage Loans. 
 “Securities Act”: Means the Securities Act of
1933, as amended. 
 “Servicer”: Accredited Home Lenders, Inc., a California corporation, or any successor appointed as
provided in the Sale and Servicing Agreement. 
 “Servicer Event of Default”: As defined in Section 7.01 of the Sale
and Servicing Agreement. 
 “Servicer Prepayment Charge Amount”: The amounts payable by the Servicer in respect of any
waived Prepayment Charges pursuant to Section 3.05 of the Sale and Servicing Agreement. 
 “Servicer Remittance
Amount”: With respect to any Servicer Remittance Date, an amount equal to the sum of (i) all Monthly Payments on the Mortgage Loans collected by the Servicer during the related Due Period, (ii) all Curtailments and other amounts
collected on account of principal (including Net REO Proceeds, Net Liquidation Proceeds and Insurance Proceeds, if any) by the Servicer during the related Collection Period, (iii) all Principal Prepayments in full (including Prepayment Charges)
collected by the Servicer during the related Prepayment Period, (iv) all Delinquency Advances made by the Servicer with respect to Monthly Payments due to be received on the Mortgage Loans during the related Due Period and (v) any other
amounts required to be placed in the Collection Account by the Servicer pursuant to the Sale and Servicing Agreement but excluding the following: 
 (a) amounts received on a Mortgage Loan, other than timely Monthly Payments, and including late payments, Liquidation Proceeds and Insurance Proceeds, to the extent the Servicer has previously made an unreimbursed
Delinquency Advance or an unreimbursed Servicing Advance with regard to such Mortgage Loan, to the extent of such unreimbursed Delinquency Advance or unreimbursed Servicing Advance as applicable; 
  

 A-33 

 (b) those portions of each payment of interest on a particular Mortgage Loan which
represent the Servicing Fee; 
 (c) that portion of Liquidation Proceeds and REO Proceeds to the extent of any unpaid
Servicing Fee; 
 (d) all income from Permitted Investments that is held in the Collection Account for the account of the
Servicer; 
 (e) all amounts actually recovered by the Servicer in respect of late fees, assumption fees and similar fees;

 (f) certain other amounts which are reimbursable to the Servicer, as provided in this Sale and Servicing Agreement;

 (g) all amounts previously advanced by the Servicer as Delinquency Advances or Servicing Advances that are determined in
good faith by the Servicer to be unrecoverable from the proceeds of the particular Mortgage Loan to which they relate; and 
 (h) Net Foreclosure Profits. 
 “Servicer Remittance Date”: With respect to any Payment Date, the second Business
Day preceding the Payment Date. 
 “Servicer Remittance Report”: The monthly report prepared by the Servicer and delivered
to the parties specified in Section 5.16(a) of the Sale and Servicing Agreement. 
 “Servicer Reporting Date”: As
defined in Section 5.16(a) of the Sale and Servicing Agreement. 
 “Service(s)(ing)”: In accordance with Regulation AB,
the act of servicing and administering the Mortgage Loans or any other assets of the Trust by an entity that meets the definition of “servicer” set forth in Item 1101 of Regulation AB and is subject to the disclosure requirements set
forth in 1108 of Regulation AB. For clarification purposes, any uncapitalized occurrence of this term shall have the meaning commonly understood by participants in the residential mortgage-backed securitization market. 
 “Servicing Advances”: All reasonable and customary “out-of-pocket” costs and expenses incurred in the performance by the
Servicer of its servicing obligations, including, but not limited to, the cost of (a) the preservation, restoration and protection of the Mortgaged Property, including, without limitation, real estate taxes and insurance premiums, (b) any
enforcement, collection and judicial proceedings, including foreclosures and liquidations, (c) the management and liquidation of the REO Property, including reasonable fees paid to any independent contractor in connection therewith,
(d) compliance with the obligations under Sections 5.04 and 5.06 of the Sale and Servicing Agreement, all of which reasonable and customary out-of-pocket costs and expenses are reimbursable to the Servicer to the extent 

  

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provided in Sections 5.03 and 5.06 of the Sale and Servicing Agreement and (e) expenses incurred in connection with any Mortgage Loan being registered
on the MERS System. 
 “Servicing Criteria”: The criteria set forth in paragraph (d) of Item 1122 of Regulation
AB, as such may be amended from time to time. 
 “Servicing Compensation”: The Servicing Fee and other amounts to which the
Servicer is entitled pursuant to Section 5.08 of the Sale and Servicing Agreement. 
 “Servicing Fee”: As defined in
Section 5.08 of the Sale and Servicing Agreement. 
 “Servicing Fee Rate”: The product of
(i) [        ]% per annum and (ii) the stated principal balance of the Mortgage Loans at the beginning of the related Due Period. 
 “Servicing Function Participant”: Any sub-servicer, subcontractor or any other Person, other than the Servicer and the Indenture
Trustee, that is performing activities addressed by the Servicing Criteria, unless such Person’s activities relate only to 5% or less of the Mortgage Loans. 
 “Servicing Officer”: Any officer of the Servicer involved in, or responsible for, the administration and servicing of the Mortgage Loans whose name and specimen signature appear on a list of servicing
officers furnished to the Indenture Trustee and the Note Insurer by the Servicer, as such list may from time to time be amended. 
 “Shortfall Amount”: With respect to any Payment Date and either Class of Notes, an amount, not less than zero, equal to the excess, if any, of (A) the sum of (i) the Interest Payment Amount and the Base Principal
Payment Amount, in each case, for such Group and such Payment Date and (ii) the amount of any Overcollateralization Deficit allocable to such Class and such Payment Date over (B) the Available Funds (without taking into account the portion
thereof referred to in clause (iv) of the definition “Available Funds”) remaining in accordance with the priority of payments for such Class and such Payment Date. 
 “Specified Credit Enhancement Amount”: With respect to any Payment Date, the sum of the Specified Overcollateralization Amounts for both
Groups. 
 “Specified Overcollateralization Amount”: The greatest of (i) (a) with respect to each of Loan
Group 1 and Loan Group 2 and any Payment Date on which the Step Down Requirement has not been satisfied, an amount equal to [        ]% of the Maximum Collateral Amount for each such Group,
respectively, (b) with respect to any Payment Date on which the Step Down Requirement has been satisfied, the related Stepped Down Required Over-collaterized Percentage, or (c) with respect to any Payment Date on which a Step-up Test Event
has occurred, the related Stepped Up Required Overcollateralization Percentage, (ii) the sum of the three largest Mortgage Loans by outstanding Aggregate Principal Balance in the related Loan Group, (iii) the product of two and the excess
of (x) 50% of the Aggregate Principal Balance of the Mortgage Loans (including Mortgage Loans in foreclosure) and any REO Mortgage Loans in the related Loan Group that are 90 days or more delinquent over (y) three times the related Excess
Spread, and (iv) 0.50% of the aggregate Maximum Collateral Amount for each Loan Group. 
  

 A-35 

 “Specified Reserve Amount”: Means, with respect to any Payment Date, the excess, if any,
of (x) the sum of Specified Overcollateralization Amounts for both Groups on such Payment Date, over (y) the sum of Overcollateralization Amounts for both Groups and such Payment Date. 
 “Sponsor”: Accredited Home Lenders, Inc., a California corporation. 
 [“Standard & Poor’s” or “S&P”: Standard & Poor’s Ratings Services, a division of The
McGraw-Hill Companies, Inc. or any successor thereto and if such corporation no longer for any reason performs the services of a securities rating agency, “S&P” shall be deemed to refer to any other nationally recognized statistical
rating organization designated by the Note Insurer.] 
 “Stated Principal Balance”: As to any Mortgage Loan and Payment
Date, the unpaid principal balance of such Mortgage Loan as of the Due Date in the related Collection Period as specified in the amortization schedule at the time relating thereto (before any adjustment to such amortization schedule by reason of any
moratorium or similar waiver or grace period) after giving effect to (i) any previous Principal Prepayments in full received during the related Prepayment Period, (ii) any previous Curtailments and Liquidation Proceeds allocable to
principal received during the prior calendar month (other than with respect to any Liquidated Mortgage Loan) and (iii) the payment of principal due on the Due Date in the related Collection Period and irrespective of any delinquency in payment
by the related Mortgagor. 
 “Statutory Trust Statute”: Chapter 38 of Title 12 of the Delaware Code, 12 Del. Code
§ 3801 et seq., as the same may be amended from time to time. 
 “Step Down Requirement”: The Step Down
Requirement is satisfied on or after the later of (a) the [    ]th Payment Date or (b) the Payment Date upon which the Aggregate Principal Balance of the Mortgage Loans is equal to or less than 50% of the initial
aggregate Maximum Collateral Amount. 
 “Stepped Down Required Overcollateralized Percentage”: For any Payment Date for
which the Step Down Requirement is satisfied, (A) with respect to Loan Group 1, [        ]% of the Aggregate Principal Balance of the related Mortgage Loans and (B) with respect to Loan Group
2, [        ]% of the Aggregate Principal Balance of the related Mortgage Loans. 
 “Step-Up Test Event”: On any Payment Date, if either of the following events occur: (i) the Rolling Six Month Delinquency Rate exceeds [        ]% or (ii) the
Cumulative Loan Loss Percentage exceeds the following percentages on any Payment Date during the following periods: 
  

				
	 Payment Date Occurring During
	  	Percentage	 
	 [MO/YR] - [MO/YR]
	  	[        	]%
	 [MO/YR] - [MO/YR]
	  	[        	]%
	 [MO/YR] - [MO/YR]
	  	[        	]%
	 [MO/YR] and thereafter
	  	[        	]%

  

 A-36 

 “Stepped Up Required Overcollateralized Percentage”: On any Payment Date on which a
Step-Up Test Event exists, the Overcollateralization target will increase (x) with respect to Loan Group 1, from [        ]% to [        ]% of
the initial Maximum Collateral Amount of Loan Group 1 (or from [        ]% to [        ]% of the Aggregate Principal Balance of the Mortgage Loans
on the related Payment Date if the Step Down Requirement has been met) and (y) with respect to Loan Group 2, from [        ]% to [        ]% of
the initial Maximum Collateral Amount of Loan Group 2 of the related Mortgage Loans (or from [        ]% to [        ]% of the Aggregate Principal Balance
of the Mortgage Loans on the related Payment Date of the Step Down Requirement has been met). 
 “Substitution Adjustment”:
As to any date on which a substitution occurs pursuant to Sections 2.06 or 4.02(b) of the Sale and Servicing Agreement, the amount (if any) by which the aggregate principal balances (after application of principal payments received on or before the
date of substitution) of any Qualified Substitute Mortgage Loans as of the date of substitution, are less than the aggregate Stated Principal Balance of the related Deleted Mortgage Loans (after application of the scheduled principal portion of the
Monthly Payments due in the month of substitution) together with 30-days’ interest thereon at the Mortgage Interest Rate. 
 “Telerate Page 3750”: The display designated as Telerate Page 3750 on the Telerate Service (or such other page as may replace the Telerate page on that service for the purpose of displaying London interbank offered rates of
major banks). 
 “Termination Price”: The greater of (A) the sum of (i) 100% of the Note Principal Balance of the
related Class of Notes, (ii) the aggregate amount of accrued and unpaid interest on the related Class of Notes through the related Due Period (including with respect to the Class A-1 Notes, any Class A-1 Available Funds Cap
Carry-Forward Amount and with respect to the Class A-2 Notes, any Class A-2 Available Funds Cap Carry-Forward Amount), (iii) any related Indenture Trustee’s fees and expenses, (iv) any related Owner Trustee Fees or Expenses
that have not been paid by the Sponsor, (v) any related unreimbursed advances due and owing to the Servicer, (vi) any Reimbursement Amount due the Note Insurer, as applicable and (vii) any costs and damages incurred by the
Issuing Entity in connection with any violation by such mortgage loan of any predatory or abusive lending law and (B) the fair market value of the Mortgage Loans in the related Group. 
 “Trust Agreement”: The Trust Agreement, dated as of [DATE], as amended and restated as of [DATE], between the Sponsor, the Depositor and
the Owner Trustee, relating to the establishment of the Issuing Entity. 
 “Trust Certificate”: A certificate evidencing the
beneficial interest of a Trust Certificateholder in the Issuing Entity consisting of the Mortgage Loans in Loan Group 1 and the Mortgage Loans in Loan Group 2, substantially in the form of Exhibit A to the Trust Agreement. 
 “Trust Certificateholder,” “Certificateholder” or “Holder”: A Person in whose name a Trust Certificate
is registered. 
  

 A-37 

 “Trust Estate”: All money, instruments and other property subject or intended to be
subject to the lien of the Indenture, for the benefit of the Noteholders and the Note Insurer, as of any particular time, including, without limitation, all property and interests, including all proceeds thereof, granted to the Indenture Trustee,
for the benefit of the Noteholders and the Note Insurer, pursuant to the Granting Clauses of the Indenture. 
 “Trust Indenture
Act” or “TIA”: The Trust Indenture Act of 1939, as it may be amended from time to time. 
 “Trust
Order” and “Trust Request”: A written order or request of the Issuing Entity signed on behalf of the Issuing Entity by an Authorized Officer of the Owner Trustee, at the direction of the Certificateholders and delivered to
the Indenture Trustee or the Authenticating Agent, as applicable. 
 “Underwriters”:
[                    ],
[                    ],
[                    ] and
[                    ]. 
 “Underwriting Guidelines”: The underwriting guidelines of the Sponsor as approved by the Note Insurer. 
 “United States Person”: A citizen or resident of the United States, a corporation, a partnership or other entity treated as a corporation or a partnership organized in or under the laws of, the United States or any state
thereof including the District of Columbia, or an estate or trust whose income from sources without the United States is includible in gross income for United States federal income tax purposes regardless of its connection with the conduct of a
trade or business within the United States or a trust if a court within the United States can exercise primary jurisdiction over its administration and at least one United States Person has the authority to control all substantial decisions of the
trust. Notwithstanding the last clause of the preceding sentence, to the extent provided in Treasury Regulations, certain trusts in existence on August 20, 1996 and treated as United States Persons prior to such date, may elect to continue to
be United States Persons. 
 “Weighted Average Mortgage Interest Rate”: With respect to any Due Period, the weighted average
Mortgage Interest Rates (weighted by Principal Balances) of the Mortgage Loans in Loan Group 1 and Loan Group 2, as applicable, calculated at the opening of business on the first day of such Due Period. 
 “Yield Maintenance Accounts”: Each of the Yield Maintenance Accounts established in accordance with Section 8.01(b) of the
Indenture and maintained by the Indenture Trustee. 
  

 A-38 

 SCHEDULE I 
 MORTGAGE LOAN SCHEDULE 
 [Please See Schedule I to Sale and Servicing Agreement.] 

 EXHIBIT A 
 FORM OF NOTE 
 ACCREDITED MORTGAGE LOAN TRUST
200[    ]-[    ] 
 CLASS A-[1][2] NOTE 
 UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), TO THE TRUST OR
ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE 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. 
 THE NOTE IS A NON-RECOURSE OBLIGATION OF THE TRUST, AND IS LIMITED IN RIGHT OF PAYMENT TO
AMOUNTS AVAILABLE FROM THE TRUST ESTATE AND THE NOTE INSURANCE POLICY AS PROVIDED IN THE INDENTURE REFERRED TO BELOW. THE TRUST IS NOT OTHERWISE PERSONALLY LIABLE FOR PAYMENTS ON THIS NOTE. 
 THE PRINCIPAL OF THIS NOTE IS PAYABLE IN INSTALLMENTS AS SET FORTH HEREIN. ACCORDINGLY, THE OUTSTANDING PRINCIPAL AMOUNT OF THIS NOTE AT ANY TIME MAY BE
LESS THAN THE AMOUNT SHOWN ON THE FACE HEREOF. 
  

					
	 Note No.:
         A-[1][2]
	 	CUSIP No.:
		
	 Class A-[1][2] Original Note Principal Balance:
$                        
	  	 Percentage Interest: 100%

		
	 Date of Indenture:
      As of [DATE]
	 	 First Payment Date:
 [DATE]

		 	  

  

 EX A-1 

 ACCREDITED MORTGAGE LOAN TRUST
200[    ]-[    ] 
 ASSET-BACKED NOTES, SERIES
200[    ]-[    ], CLASS A-[1][2] 
 Accredited Mortgage Loan Trust
200[_]-[_], a statutory trust organized and existing under the laws of the State of Delaware (herein referred to as the “Issuing Entity”), for value received, hereby promises to pay to CEDE & CO., or registered assigns, the
principal sum of $                    
(                     Thousand Dollars) payable on each Payment Date in an amount equal to the result obtained by multiplying (x) the
Percentage Interest of this Note set forth on the cover page hereof, by (y) the aggregate amount, if any, payable from the related Payment Account in respect of principal on the Class A-[1][2] Notes, pursuant to the Indenture, dated as of
[DATE], between the Issuing Entity and [                                ], a
national trust company, as Indenture Trustee (the “Indenture Trustee”); provided, however, that the entire unpaid Note Principal Balance of this Note shall be due and payable on the earlier of (i) the Payment Date
occurring in [MO/YR] (the “Final Stated Maturity Date”), (ii) the Redemption Date, if any, applicable to this Notes pursuant to Article X of the Indenture or (iii) the date on which an Event of Default shall have occurred
and be continuing, if the Notes have been declared to be immediately due and payable in the manner provided in Section 5.02 of the Indenture. Capitalized terms used but not defined herein are defined in Appendix I to the Indenture. 

Pursuant to the terms of the Indenture, payments will be made on the [25th] day of each month or, if such day is not a Business Day, on the Business
Day immediately following such [25th] day (each a “Payment Date”), commencing on the first Payment Date specified on the cover page hereof, to the Person in whose name this Note is registered at the close of business on the
applicable Record Date, in an amount equal to the product of (a) the Percentage Interest evidenced by this Note and (b) the sum of the amounts to be paid on the Class A-[1][2] Notes with respect to such Payment Date, all as more
specifically set forth in the Indenture. 
 Notwithstanding the foregoing, in the case of Definitive Notes, upon written request at least
five (5) days prior to the related Record Date with appropriate instructions by the Holder of this Note (holding an aggregate initial Note Principal Balance of at least $1,000,000), any payment of principal or interest, other than the final
installment of principal or interest, shall be made by wire transfer to an account in the United States of America designated by such Holder reasonably satisfactory to the Indenture Trustee. 
 On each Payment Date, Noteholders will be entitled to receive interest payments in an aggregate amount equal to the Interest Payment Amount for such
Class for such Payment Date, together with principal payments in an aggregate amount equal to the Base Principal Payment Amount for such Class for such Payment Date, plus, until the Overcollateralization Amount for the related Group and such Payment
Date is equal to the Specified Overcollateralization Amount for such Group and such Payment Date, the Net Monthly Excess Cashflow, if any, for such Group and such Payment Date. The “Note Principal Balance” of a Note as of any date of
determination is equal to the initial Note Principal Balance thereof as of the Closing Date, reduced by the aggregate of all amounts previously paid with respect to such Note on account of principal. 
  

 EX A-2 

 The principal of and interest on this Note are payable in such coin or currency of the United States of
America as at the time of payment is legal tender for payment of public and private debts. All payments made by the Issuing Entity with respect to this Note shall be applied first to interest due and payable on this Note as provided above and then
to the unpaid principal of this Note. 
 This Note is one of a duly authorized issue of Notes of the Issuing Entity, designated as the
“Accredited Mortgage Loan Trust 200[    ]-[    ], Asset-Backed Notes, Series 200[    ]-[    ],
Class A-[1][2],” issued under the Indenture, to which Indenture and all indentures supplemental thereto reference is hereby made for a statement of the respective rights and obligations thereunder of the Issuing Entity, the Indenture
Trustee and the Holders of the Notes. Also issued under the Indenture are the “Accredited Mortgage Loan Trust 200[    ]-[    ], Asset-Backed Notes, Series
200[    ]-[    ], Class A[l][2].” To the extent that any provision of this Note contradicts or is inconsistent with the provisions of the Indenture, the provisions of the
Indenture shall control and supersede such contradictory or inconsistent provision herein. The Notes are subject to all terms of the Indenture. 
 The Class A-[1][2] Notes are and will be equally and ratably secured by the Mortgage Loans in Loan Group [1][2], the other collateral related thereto pledged as security therefor as provided in the Indenture, and, to the extent
provided in the Indenture, by the Mortgage Loans in Loan Group [1][2]. 
 As described above, the entire unpaid Note Principal Balance of
this Note shall be due and payable on the earlier of the Final Stated Maturity Date and any Redemption Date applicable to such Class, pursuant to Article X of the Indenture. Notwithstanding the foregoing, the entire unpaid Note Principal Balance of
the Notes shall be due and payable on the date on which an Event of Default shall have occurred and be continuing if the Indenture Trustee, at the direction or upon the prior written consent of Financial Guaranty Insurance Company (the “Note
Insurer”) in the absence of a Note Insurer Default, or the Holders of the Notes representing not less than 50% of the Note Principal Balance of the Outstanding Notes (with the prior written consent of the Note Insurer in the absence of a
Note Insurer Default) of both Classes, shall have declared the Notes to be immediately due and payable in the manner provided in Section 5.02 of the Indenture. All principal payments on the Notes shall be made pro rata to the Noteholders
entitled thereto. 
 The Note Insurer, in consideration of the payment of the premium and subject to the terms of the Note Guaranty Insurance
Policy (the “Note Insurance Policy”) thereby has unconditionally and irrevocably guaranteed the payment of the Insured Amounts. 
 Pursuant to the Indenture, unless a Note Insurer Default exists (i) the Note Insurer shall be deemed to be the holder of the Notes for certain purposes specified in the Indenture and will be entitled to exercise all rights of the
Noteholders thereunder, including the rights of Noteholders relating to the occurrence of, and the remedies with respect to, an Event of Default, without the consent of such Noteholders, and (ii) the Indenture Trustee may take actions which
would otherwise be at its option or within its discretion, including actions relating to the occurrence of, and the remedies with respect to, an Event of Default, only at the direction of the Note Insurer. In addition, on each Payment Date, after
the Noteholders have been paid all 

  

 EX A-3 

 
amounts to which they are entitled, the Note Insurer will be entitled to be reimbursed for any unreimbursed Insured Payments (with interest thereon at the
“Late Payment Rate” specified in the Insurance Agreement), Reimbursement Amounts and any other amounts owed under the Note Insurance Policy. 
 The Issuing Entity shall not be liable upon the indebtedness evidenced by the Notes except to the extent of amounts available from the Trust Estate which constitutes security for the payment of the Notes. The assets
included in the Trust Estate and payments under the Note Insurance Policy will be sole source of payments on the Notes, and each Holder hereof, by its acceptance of this Note, agrees that (i) such Note will be limited in right of payment to
amounts available from the Trust Estate and the Note Insurance Policy as provided in the Indenture and (ii) such Holder shall have no recourse to the Issuing Entity, the Owner Trustee, the Indenture Trustee, the Sponsor, the Servicer or any of
their respective affiliates, or to the assets of any of the foregoing entities, except the assets of the Issuing Entity pledged to secure the Notes pursuant to the Indenture. 
 Payments of interest on this Note due and payable on each Payment Date, together with the installment of principal, if any, to the extent not in full
payment of this Note, shall be made by wire transfer in immediately available funds to the account designated by such nominee, or if no instructions for wire transfers have been provided to the Indenture Trustee as provided in the Indenture, then by
check mailed to the Person whose name appears as the Holder of this Note (or one or more Predecessor Notes) on the Note Register as of the close of business on each Record Date. Such checks shall be mailed to the Person entitled thereto at the
address of such Person as it appears on the Note Register as of the applicable Record Date without requiring that this Note be submitted for notation of payment. Any reduction in the principal amount of this Note (or any one or more Predecessor
Notes) effected by any payments made on any Payment Date shall be binding upon all future Holders of this Note and of any Note issued upon the registration of transfer hereof or in exchange hereof or in lieu hereof, whether or not noted hereon. If
funds are expected to be available, as provided in the Indenture, for payment in full of the then remaining unpaid principal amount of this Note on a Payment Date, then the Indenture Trustee, in the name of and on behalf of the Issuing Entity, will
notify the Person who was the Holder hereof as of the Record Date preceding such Payment Date by notice mailed or transmitted by facsimile prior to such Payment Date, and the amount then due and payable shall be payable only upon presentation and
surrender of this Note at the Indenture Trustee’s designated office or at the office of the Indenture Trustee’s agent designated for such purposes. 
 As provided in the Indenture, both Classes of Notes may be redeemed in whole, but not in part, at the option of the Depositor on any Payment Date on and after the date on which the sum of the Class A-1 Note
Principal Balance and the Class A-2 Note Principal Balance is less than or equal to 10% of the sum of the original Class A-1 Note Principal Balance and Class A-2 Note Principal Balance. 
 As provided in the Indenture and subject to certain limitations set forth therein, the transfer of this Note may be registered on the Note Register upon
surrender of this Note for registration of transfer at the office or agency designated by the Issuing Entity pursuant to the Indenture, duly endorsed by, or accompanied by a written instrument of transfer in form satisfactory to the Indenture
Trustee duly executed by, the Holder hereof or such Holder’s 

  

 EX A-4 

 
attorney duly authorized in writing, with such signature guaranteed by an “eligible guarantor institution” meeting the requirements of the Note
Registrar, which requirements include membership or participation in the Securities Transfer Agent’s Medallion Program (“STAMP”) or such other “signature guarantee program” as may be determined by the Note Registrar in
addition to, or in substitution for, STAMP, all in accordance with the Securities Exchange Act of 1934, as amended, and thereupon one or more new Notes of authorized denominations and in the same aggregate principal amount will be issued to the
designated transferee or transferees. No service charge will be charged for any registration of transfer or exchange of this Note, but the transferor may be required to pay a sum sufficient to cover any tax or other governmental charge that may be
imposed in connection with any such registration of transfer or exchange. 
 In the case of a transfer of a Class A-[1][2] Note, the
Note Registrar shall not register the transfer of this Note unless the Note Registrar has received a representation letter from the transferee to the effect that either (i) the transferee is not a Plan and is not, directly or indirectly,
acquiring this Note or any interest herein on behalf of, as investment manager of, as named fiduciary of, as trustee of, or with the assets of a Plan or (ii) the acquisition and holding of this Note by the transferee qualifies for exemptive
relief under a United States Department of Labor prohibited transaction class exemption (or, if the transferee is a Governmental Plan, will not result in a violation of applicable law). Each Beneficial Owner, by acceptance of a beneficial interest
herein, shall be deemed to make one of the foregoing representations. 
 Each Noteholder or Beneficial Owner, by acceptance of a Note or, in
the case of a Beneficial Owner, a beneficial interest in a Note, covenants and agrees that no recourse may be taken, directly or indirectly, with respect to the obligations of the Issuing Entity, the Owner Trustee or the Indenture Trustee on the
Notes or under the Indenture or any certificate or other writing delivered in connection therewith, against (i) the Indenture Trustee or the Owner Trustee in its individual capacity, (ii) any owner of a beneficial interest in the Issuing
Entity or (iii) any partner, owner, beneficiary, agent, officer, director or employee of the Indenture Trustee or the Owner Trustee in its individual capacity, any holder of a beneficial interest in the Issuing Entity, the Owner Trustee or the
Indenture Trustee or of any successor or assign of the Indenture Trustee or the Owner Trustee in its individual capacity, except as any such Person may have expressly agreed and except that any such partner, owner or beneficiary shall be fully
liable, to the extent provided by applicable law, for any unpaid consideration for stock, unpaid capital contribution or failure to pay any installment or call owing to such entity. 
 Each Noteholder or Beneficial Owner, by acceptance of a Note or, in the case of a Beneficial Owner, a beneficial interest in a Note, covenants and agrees
by accepting the benefits of the Indenture that such Noteholder or Beneficial Owner will not at any time institute against the Issuing Entity, or join in any institution against the Issuing Entity of, any bankruptcy, reorganization, arrangement,
insolvency or liquidation proceedings under any United States federal or state bankruptcy or similar law in connection with any obligations relating to the Notes; the Indenture, the Trust Agreement and the Sale and Servicing Agreement and the
Insurance Agreement (the “Basic Documents”). 
 The Issuing Entity has entered into the Indenture and this Note is issued
with the intention that, for federal, state and local income, single business and franchise tax purposes, the Notes will qualify as indebtedness of the Issuing Entity secured by the Trust Estate. Each 

  

 EX A-5 

 
Noteholder, by acceptance of a Note (and each Beneficial Owner by acceptance of a beneficial interest in a Note), agrees to treat the Notes for federal,
state and local income, single business and franchise tax purposes as indebtedness of the Issuing Entity. 
 Prior to the due presentment for
registration of transfer of this Note, the Issuing Entity, the Indenture Trustee and any agent of the Issuing Entity or the Indenture Trustee may treat the Person in whose name this Note (as of the day of determination or as of such other date as
may be specified in the Indenture) is registered as the owner hereof for all purposes, whether or not this Note be overdue, and none of the Issuing Entity, the Indenture Trustee or any such agent shall be affected by notice to the contrary.

 The Indenture permits, with certain exceptions as therein provided, the amendment thereof and the modification of the rights and
obligations of the Issuing Entity and the rights of the Holders of the Notes under the Indenture at any time by the Issuing Entity with the consent of the Note Insurer and the Holders of Notes representing a majority of the Note Principal Balance of
the Outstanding Notes affected thereby. The Indenture also contains provisions permitting the (i) Note Insurer or (ii) if a Note Insurer Default exists, the Holders of Notes representing specified percentages of the Note Principal Balance
of Outstanding Notes, on behalf of the Holders of all the Notes, to waive compliance by the Issuing Entity with certain provisions of the Indenture and certain past defaults under the Indenture and their consequences. Any such consent or waiver by
the Note Insurer or by the Holder of this Note (or any one or more Predecessor Notes) shall be conclusive and binding upon such Holder and upon all future Holders of this Note and of any Note issued upon the registration of transfer hereof or in
exchange hereof or in lieu hereof whether or not notation of such consent or waiver is made upon this Note. The Indenture also permits the amendment thereof, in certain limited circumstances, or the waiver of certain terms and conditions set forth
in the Indenture, without the consent of Holders of the Notes issued thereunder. 
 The term “Issuing Entity” as used in this Note
includes any successor to the Issuing Entity under the Indenture. 
 Initially, each Class of Notes will be represented by one Note
registered in the name of Cede & Co. as nominees of the Clearing Agency. The Notes will be delivered in denominations as provided in the Indenture and subject to certain limitations therein set forth. The Notes are exchangeable for a like
aggregate initial Note Principal Balance of Notes of different authorized denominations, as requested by the Holder surrendering the same. 
 THIS NOTE AND THE INDENTURE SHALL BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS, AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER AND THEREUNDER SHALL
BE DETERMINED IN ACCORDANCE WITH SUCH LAWS. 
 No reference herein to the Indenture and no provision of this Note or of the Indenture shall
alter or impair the obligation of the Issuing Entity, which is absolute and unconditional, to pay the principal of and interest on this Note at the times, place and rate, and in the coin or currency herein prescribed. 
  

 EX A-6 

 Unless the certificate of authentication hereon has been executed by the Authenticating Agent whose name
appears below by manual signature, this Note shall not be entitled to any benefit under the Indenture referred to herein, or be valid or obligatory for any purpose. 
  

 EX A-7 

 IN WITNESS WHEREOF, the Issuing Entity has caused this Instrument to be signed, manually or in facsimile,
by its Authorized Officer, as of the date set forth below. 
 Dated: 
  

			
	ACCREDITED MORTGAGE LOAN TRUST 200[    ]-[    ]
		
	 By:
	 	 [                                      
                      ],

		 	 not in its individual capacity but solely as
 Owner Trustee under the Trust Agreement

		
	 By:
	 	  
		 	 Authorized Signatory

 CERTIFICATE OF AUTHENTICATION 
 This is one of the Class A-[1][2] Notes designated above and referred to in the within-mentioned Indenture. 
 Dated: 
  

			
		
		 	 [                                      
                      ],

		 	 as Authenticating Agent

		
	 By:
	 	  
		 	 Authorized Signatory

  

 EX A-8 

 ASSIGNMENT 
 Social Security or taxpayer I.D. or other identifying number of assignee: 
 FOR VALUE RECEIVED, the
undersigned hereby sells, assigns and transfers unto: 
 _______________________________________________________________________________________________________ 
 (name and address of
assignee) 
 the within Note and all rights thereunder, and hereby irrevocably constitutes and appoints
                            , attorney, to transfer said Note on the books kept for registration
thereof, with full power of substitution in the premises. 
  

	
	 Dated:
                                       
 */

	
	 Signature Guaranteed:
  
                                       
              */

  

	*/	NOTICE: The signature to this assignment must correspond with the name of the registered owner as it appears on the face of the within Note in every particular, without alteration,
enlargement or any change whatever. Such signature must be guaranteed by an “eligible guarantor institution” meeting the requirements of the Note Registrar, which requirements include membership or participation in STAMP or such other
“signature guarantee program” as may be determined by the Note Registrar in addition to, or in substitution for, STAMP, all in accordance with the Securities Exchange Act of 1934, as amended. 

  

 EX A-9Form of Trust Agreement

 Exhibit 4.3 
 AMENDED AND RESTATED TRUST AGREEMENT 
 dated as of [DATE] 
 by and among 
 ACCREDITED HOME LENDERS, INC.,

 as Sponsor, 
 ACCREDITED
MORTGAGE LOAN REIT TRUST 
 as Depositor, 
 and 
 [                                      
      ], 
 as Owner Trustee 
 ACCREDITED MORTGAGE LOAN TRUST 200[    ]-[    ] 
 Asset-Backed Notes, Series 200[    ]-[    ] 

 TABLE OF CONTENTS 
  

					
		  	ARTICLE I	  	
		  	DEFINITIONS	  	
			
	 Section 1.01.
	  	Capitalized Terms	  	1
	 Section 1.02.
	  	Other Definitional Provisions	  	5
			
		  	ARTICLE II	  	
		  	ORGANIZATION	  	
			
	 Section 2.01.
	  	Name	  	6
	 Section 2.02.
	  	Office	  	6
	 Section 2.03.
	  	Purposes and Powers	  	6
	 Section 2.04.
	  	Appointment of Owner Trustee	  	6
	 Section 2.05.
	  	Initial Capital Contribution of Owner Trust Estate	  	7
	 Section 2.06.
	  	Declaration of Trust	  	7
	 Section 2.07.
	  	Liability of the Certificateholders	  	7
	 Section 2.08.
	  	Title to Trust Property	  	7
	 Section 2.09.
	  	Situs of Trust	  	8
	 Section 2.10.
	  	Representations and Warranties of the Sponsor	  	8
	 Section 2.11.
	  	Federal Income Tax Treatment of the Issuing Entity	  	9
	 Section 2.12.
	  	Covenants of the Sponsor	  	9
	 Section 2.13.
	  	Covenants of the Certificateholders	  	10
	 Section 2.14.
	  	Representations and Warranties of the Depositor	  	10
	 Section 2.15.
	  	Covenants of the Depositor	  	11
			
		  	ARTICLE III	  	
		  	[Reserved]	  	
			
		  	ARTICLE IV	  	
		  	CERTIFICATES AND TRANSFER OF INTERESTS	  	
			
	 Section 4.01.
	  	Initial Ownership	  	12
	 Section 4.02.
	  	The Certificates	  	12
	 Section 4.03.
	  	Execution, Authentication and Delivery of Certificates	  	13
	 Section 4.04.
	  	Registration of Transfer and Exchange of Certificates	  	13
	 Section 4.05.
	  	Mutilated, Destroyed, Lost or Stolen Certificates	  	14
	 Section 4.06.
	  	Persons Deemed Owners	  	14
	 Section 4.07.
	  	Access to List of Certificateholders’ Names and Addresses	  	14
	 Section 4.08.
	  	Maintenance of Office or Agency	  	15
	 Section 4.09.
	  	Restrictions on Transfers of Certificates	  	15
			
		  	ARTICLE V	  	
		  	ACTIONS BY OWNER TRUSTEE	  	
			
	 Section 5.01.
	  	Prior Notice to the Certificateholders with Respect to Certain Matters	  	17

  

 ii 

					
	 Section 5.02.
	  	Action by Certificateholders with Respect to Bankruptcy	  	19
	 Section 5.03.
	  	Restrictions on Certificateholders’ Power	  	19
	 Section 5.04.
	  	Majority Control	  	19
			
		  	ARTICLE VI	  	
		  	TAX PROVISIONS; CERTAIN DUTIES	  	
			
	 Section 6.01.
	  	Federal Income Tax Provisions	  	20
	 Section 6.02.
	  	Withholding Taxes	  	20
	 Section 6.03.
	  	Accounting and Reports to the Certificateholders, the Internal Revenue Service and Others	  	20
			
		  	ARTICLE VII	  	
		  	AUTHORITY AND DUTIES OF OWNER TRUSTEE	  	
			
	 Section 7.01.
	  	General Authority	  	21
	 Section 7.02.
	  	General Duties	  	21
	 Section 7.03.
	  	Action upon Instruction	  	22
	 Section 7.04.
	  	No Duties Except as Specified in this Agreement, the Basic Documents or any Instructions	  	23
	 Section 7.05.
	  	No Action Except under Specified Documents or Instructions	  	23
	 Section 7.06.
	  	Restrictions	  	24
			
		  	ARTICLE VIII	  	
		  	CONCERNING THE OWNER TRUSTEE	  	
			
	 Section 8.01.
	  	Acceptance of Trusts and Duties	  	24
	 Section 8.02.
	  	Furnishing of Documents	  	25
	 Section 8.03.
	  	Representations and Warranties of the Owner Trustee	  	26
	 Section 8.04.
	  	Reliance; Advice of Counsel	  	26
	 Section 8.05.
	  	Not Acting in Individual Capacity	  	27
	 Section 8.06.
	  	Owner Trustee Not Liable for the Certificates or Mortgage Loans	  	27
	 Section 8.07.
	  	Owner Trustee May Own Notes	  	27
	 Section 8.08.
	  	Licenses	  	28
	 Section 8.09.
	  	Legal Proceedings	  	28
			
		  	ARTICLE IX	  	
		  	COMPENSATION OF OWNER TRUSTEE	  	
			
	 Section 9.01.
	  	Owner Trustee’s Fees and Expenses	  	28
	 Section 9.02.
	  	Indemnification	  	28
	 Section 9.03.
	  	Payments to the Owner Trustee	  	29
			
		  	ARTICLE X	  	
		  	TERMINATION OF TRUST AGREEMENT	  	
			
	 Section 10.01.
	  	Termination of Trust Agreement	  	29

  

 iii 

					
		  	ARTICLE XI	  	
		  	SUCCESSOR OWNER TRUSTEES AND ADDITIONAL OWNER TRUSTEES	  	
			
	 Section 11.01.
	  	Eligibility Requirements for Owner Trustee	  	30
	 Section 11.02.
	  	Resignation or Removal of Owner Trustee	  	31
	 Section 11.03.
	  	Successor Owner Trustee	  	31
	 Section 11.04.
	  	Merger or Consolidation of Owner Trustee	  	32
	 Section 11.05.
	  	Appointment of Co-Trustee or Separate Trustee	  	32
			
		  	ARTICLE XII	  	
		  	MISCELLANEOUS	  	
			
	 Section 12.01.
	  	Supplements and Amendments	  	33
	 Section 12.02.
	  	No Legal Title to Owner Trust Estate in Certificateholders	  	34
	 Section 12.03.
	  	Limitations on Rights of Others	  	35
	 Section 12.04.
	  	Notices	  	35
	 Section 12.05.
	  	Severability	  	35
	 Section 12.06.
	  	Separate Counterparts	  	35
	 Section 12.07.
	  	Successors and Assigns	  	35
	 Section 12.08.
	  	No Petition	  	36
	 Section 12.09.
	  	No Recourse	  	36
	 Section 12.10.
	  	Headings	  	36
	 Section 12.11.
	  	GOVERNING LAW	  	36
	 Section 12.12.
	  	Grant of Certificateholder Rights to Note Insurer	  	36
	 Section 12.13.
	  	Third-Party Beneficiaries	  	37
	 Section 12.14.
	  	Suspension and Termination of Note Insurer’s Rights	  	37
	 Section 12.15.
	  	Servicer	  	37

 EXHIBITS 
  

			
	 Exhibit A
	  	Form of Trust Certificate
	 Exhibit B
	  	Form of Certificate of Trust
	 Exhibit C
	  	Form of Investment Letter
	 Exhibit D
	  	Form of Transferor Certificate

  

 iv 

 This AMENDED AND RESTATED TRUST AGREEMENT, dated as of [DATE], is among ACCREDITED HOME LENDERS, INC.,
as sponsor (the “Sponsor”), ACCREDITED MORTGAGE LOAN REIT TRUST, a Maryland real estate investment trust, as depositor (the “Depositor”) and
[                                    ], a
[                    ], as owner trustee (the “Owner Trustee”). 
 NOW, THEREFORE, in consideration of the mutual agreements herein contained, and of other good and valuable consideration, the receipt and adequacy of
which are hereby acknowledged, the parties hereto agree as follows: 
 ARTICLE I 
 DEFINITIONS 
 Section 1.01.
Capitalized Terms. For all purposes of this Agreement, the following terms shall have the meanings set forth below: 
 “Agreement” shall mean this Trust Agreement, as may be amended and supplemented from time to time. 
 “Authorized Officer” shall have the meaning assigned thereto in Appendix I to the Indenture. 
 “Basic Documents” shall mean this Agreement, the Sale and Servicing Agreement, the Indenture, the Cap Agreements, the Insurance Agreement and the Indemnification Agreement. 
 “Business Day” shall mean any day other than (i) a Saturday or Sunday or (ii) a day that is either a legal
holiday or a day on which the Note Insurer or banking institutions in the State of New York, the State of [                    ], the State of
California, or the state in which the Indenture Trustee’s office from which payments will be made to the Certificateholder, are authorized or obligated by law, regulation or executive order to be closed. 
 “Cap Agreements”: Each of the interest rate cap agreements, dated as of [DATE], between the Owner Trustee, in its
capacity as owner trustee, and the Cap Counterparty. 
 “Cap Counterparty”:
[                                       
 ], a
[                                       
 ]. 
 “Capital Account” shall have the meaning assigned thereto in Section 6.01(c)(i).

 “Certificate” shall mean each Trust Certificate. 
 “Certificateholder” shall mean each Person in whose name a Trust Certificate is registered. 
 “Certificate of Trust” shall mean the Certificate of Trust, in the form of Exhibit B, to be filed for the Issuing
Entity pursuant to Section 3810(a) of the Statutory Trust Statute. 
  

 1 

 “Certificate Register” and “Certificate Registrar”
shall mean the register mentioned and the registrar appointed pursuant to Section 4.04. 
 “Class” shall
mean either the Class A-1 Notes or the Class A-2 Notes. 
 “Class A-1 Notes” shall mean the
Accredited Mortgage Loan Trust 200[_]-[_], Asset-Backed Notes, Series 200[_]-[_], Class A-1. 
 “Class A-2
Notes” shall mean the Accredited Mortgage Loan Trust 200[_]-[_], Asset-Backed Notes, Series 200[_]-[_], Class A-2. 
 “Code” shall mean the Internal Revenue Code of 1986, as amended, and, where appropriate in context, Treasury Regulations promulgated thereunder. 
 “Corporate Trust Office” shall mean, with respect to the Owner Trustee, an office of the Owner Trustee which for purposes
of the Agreement is located at [                    ], Attention:
[                                    ]; or at such other
address as the Owner Trustee may designate by notice to the Certificateholders and the Sponsor, or an office of any successor Owner Trustee (the address of which the successor Owner Trustee will notify the Certificateholders and the Sponsor).

 “Depositor” shall mean Accredited Mortgage Loan REIT Trust, a Maryland real estate investment trust.

 “ERISA” shall mean the Employee Retirement Income Security Act of 1974, as amended. 
 “Exchange Act” shall mean the Securities Exchange Act of 1934, as amended. 
 “Expenses” shall have the meaning assigned to such term in Section 9.02. 
 “Group I Mortgage Loans” shall mean a pool of fixed- and adjustable-rate mortgage loans, as identified in the related
Mortgage Loan Schedule. 
 “Group II Mortgage Loans” shall mean a pool of fixed- and adjustable-rate mortgage
loans, as identified in the related Mortgage Loan Schedule. 
 “Indemnification Agreement” shall mean the
Indemnification Agreement, dated as of [DATE], between the Note Insurer and the Underwriters. 
 “Indenture”
shall mean the Indenture, dated as of [DATE], by and between the Issuing Entity and the Indenture Trustee. 
 “Indenture Trustee” means [                    ], as Indenture Trustee under the Indenture. 
  

 2 

 “Insurance Agreement” shall mean the Insurance and Indemnity Agreement
dated as of [DATE], among the Note Insurer, the Issuing Entity, the Servicer, the Depositor, the Sponsor and the Indenture Trustee, including any amendments and supplements thereto. 
 “Investment Letter” shall have the meaning assigned to such term in Section 4.04. 
 “Issuing Entity” shall mean the Accredited Mortgage Loan Trust 200[_]-[_], the Delaware statutory trust created pursuant
to this Agreement. 
 “Loan Group” shall mean either Loan Group I or Loan Group II. 
 “Loan Group I” shall mean the pool of Mortgage Loans identified in the Mortgage Loan Schedule as having been assigned to
Loan Group I. 
 “Loan Group II” shall mean the pool of Mortgage Loans identified in the Mortgage Loan
Schedule as having been assigned to Loan Group II. 
 “Mortgage Loans” shall mean the Group I Mortgage Loans
and the Group II Mortgage Loans. 
 “Non-U.S. Person” shall mean an individual, corporation, partnership or
other person other than a United States Person. 
 “Noteholder” shall have the meaning assigned to such terms
in the Indenture. 
 “Note Insurance Policy” shall mean the financial guaranty insurance policy issued by the
Note Insurer for the benefit of the Noteholders. 
 “Note Insurer” shall mean
[                            ], a
[                            ]. 
 “Note Insurer Default” shall have the meaning assigned to such term in the Indenture. 
 “Note Principal Balance” shall have the meaning assigned to such term in the Indenture. 
 “Notes” shall mean the Class A-1 Notes and the Class A-2 Notes. 
 “Outstanding” shall have the meaning assigned to such term in the Indenture. 
 “Ownership Interest” means, with respect to any Certificate, any ownership or security interest in such Certificate,
including any interest in such Certificate as the Certificateholder thereof and any other interest therein, whether direct or indirect, legal or beneficial, as owner or as pledgee. 
 “Owner Trust Estate” shall mean the Trust Estate, including the contribution of $1,000 referred to in Section 2.05
hereof. 
  

 3 

 “Owner Trustee” shall mean
[                                    ], a
[                          ], not in its individual capacity but solely as owner trustee under this Agreement,
and any successor owner trustee hereunder. 
 “Payment Date” shall mean the [25th] day of each month or, if such [25th] day is not a Business Day, the next succeeding Business Day, commencing [DATE]. 
 “Percentage Interest” shall mean with respect to any Certificate, the percentage portion of the Certificates evidenced thereby as stated on the face of such Certificate. 
 “Plan” shall mean (i) an employee benefit plan (within the meaning of Section 3(3) of ERISA) that is subject to
Title I of ERISA, (ii) a plan (within the meaning of Section 4975(e)(1) of the Code) that is subject to Section 4975 of the Code or (iii) a governmental plan (within the meaning of Section 3(32) of ERISA) that is subject to
any federal, state or local law that is, to a material extent, similar to Title I of ERISA or Section 4975 of the Code. 
 “Prospective Holder” shall have the meaning set forth in Section 4.09(a). 
 “Rating
Agency Condition” means, with respect to any action to which a Rating Agency Condition applies, that each Rating Agency shall have been given ten (10) days (or such shorter period as is acceptable to each Rating Agency) prior notice
thereof and that each of the Rating Agencies shall have notified the Indenture Trustee, the Sponsor, the Servicer, the Note Insurer, the Owner Trustee and the Issuing Entity in writing that such action will not result in a reduction or withdrawal of
the then current rating of the Notes that it maintains without taking into account the Note Insurance Policy. 
 “Record Date” shall mean, with respect to the Certificates and any Payment Date, the last Business Day of the month preceding the month in which the related Payment Date occurs. 
 “Sale and Servicing Agreement” shall mean the Sale and Servicing Agreement, dated as of [DATE], among the Sponsor, the
Issuing Entity, the Indenture Trustee and the Servicer. 
 “Secretary of State” shall mean the Secretary of
State of the State of Delaware. 
 “Servicer” shall mean Accredited Home Lenders, Inc., a California
corporation, or any successor servicer appointed pursuant to the Sale and Servicing Agreement. 
 “Sponsor”
shall mean Accredited Home Lenders, Inc., a California corporation. 
 “Statutory Trust Statute” shall mean
Chapter 38 of Title 12 of the Delaware Code, 12 Del. Code § 3801 et seq., as the same may be amended from time to time. 
 “Transfer” means any direct or indirect transfer, sale, pledge, hypothecation or other form of assignment of any Ownership Interest in a Certificate. 
  

 4 

 “Treasury Regulations” shall mean regulations, including proposed or
temporary regulations, promulgated under the Code. References herein to specific provisions of proposed or temporary regulations shall include analogous provisions of final Treasury Regulations or other successor Treasury Regulations. 
 “Trust Certificate” shall mean a certificate evidencing the beneficial interest of a Certificateholder in the Issuing
Entity, substantially in the form attached hereto as Exhibit A. 
 “Underwriters” shall mean
[                            ],
[                            ],
[                            ] and
[                            ],. 
 Section 1.02. Other Definitional Provisions. (a) Capitalized terms used herein and not otherwise defined herein have the meanings assigned to
them in Appendix I to the Indenture and the Sale and Servicing Agreement. 
 (b) All terms defined in this Agreement shall have the defined
meanings when used in any certificate or other document made or delivered pursuant hereto unless otherwise defined therein. 
 (c) As used in
this Agreement and in any certificate or other document made or delivered pursuant hereto or thereto, accounting terms not defined in this Agreement or in any such certificate or other document, and accounting terms partly defined in this Agreement
or in any such certificate or other document to the extent not defined, shall have the respective meanings given to them under generally accepted accounting principles. To the extent that the definitions of accounting terms in this Agreement or in
any such certificate or other document are inconsistent with the meanings of such terms under generally accepted accounting principles, the definitions contained in this Agreement or in any such certificate or other document shall control.

 (d) The words “hereof,” “herein,” “hereunder” and words of similar import when used in this Agreement shall
refer to this Agreement as a whole and not to any particular provision of this Agreement; Section and Exhibit references contained in this Agreement are references to Sections and Exhibits in or to this Agreement unless otherwise specified; and the
term “including” shall mean “including without limitation.” 
 (e) The definitions contained in this Agreement are
applicable to the singular as well as the plural forms of such terms and to the masculine as well as to the feminine and neuter genders of such terms. 
 (f) Any agreement, instrument or statute defined or referred to herein or in any instrument or certificate delivered in connection herewith means such agreement, instrument or statute as from time to time amended,
modified or supplemented and includes (in the case of agreements or instruments) references to all attachments thereto and instruments incorporated therein; references to a Person are also to its permitted successors and assigns. 
  

 5 

 ARTICLE II 
 ORGANIZATION 
 Section 2.01. Name. The Issuing Entity governed hereby shall be known as
“Accredited Mortgage Loan Trust 200[_]-[_],” in which name the Owner Trustee may conduct the business of the Issuing Entity, make and execute contracts and other instruments on behalf of the Issuing Entity and sue and be sued on behalf of
the Issuing Entity. 
 Section 2.02. Office. The office of the Issuing Entity shall be in care of the Owner Trustee at the Corporate
Trust Office or at such other address in the State of Delaware as the Owner Trustee may designate by written notice to the Certificateholders, Indenture Trustee, the Note Insurer and the Sponsor. 
 Section 2.03. Purposes and Powers. The purpose of the Issuing Entity is to engage in the following activities: 
 (a) to issue the Notes pursuant to the Indenture and to sell such Notes; 
 (b) with the proceeds of the sale of the Notes and Certificates, to purchase the Mortgage Loans to be included in the Owner Trust Estate from the Depositor with the balance of such funds pursuant to the Sale and
Servicing Agreement; 
 (c) to assign, grant, transfer, pledge, mortgage and convey the Owner Trust Estate pursuant to the Indenture and to
hold, manage and distribute to the Certificateholders any portion of the Owner Trust Estate released from the lien of, and remitted to the Issuing Entity pursuant to, the Indenture; 
 (d) to enter into and perform its obligations under the Basic Documents to which it is or is to be a party; 
 (e) to engage in those activities, including entering into agreements, that are necessary, suitable or convenient to accomplish the foregoing or are
incidental thereto or connected therewith; 
 (f) subject to compliance with the Basic Documents, to engage in such other activities as may
be required in connection with conservation of the Owner Trust Estate and the making of distributions and payments to the Noteholders and the Certificateholders; and 
 (g) to issue the Certificates pursuant to this Agreement. 
 The Issuing Entity is hereby authorized by the
initial beneficiary and the Certificateholders to engage in the foregoing activities. The Issuing Entity shall not engage in any activity other than in connection with the foregoing or other than as required or authorized by the terms of this
Agreement or the other Basic Documents. 
 Section 2.04. Appointment of Owner Trustee. The Sponsor hereby appoints the Owner Trustee
as trustee of the Issuing Entity effective as of the date hereof, to have all the rights, powers and duties set forth herein and in the Statutory Trust Statute, and the Owner Trustee hereby accepts such appointment. 
  

 6 

 The Owner Trustee may engage, in the name of the Issuing Entity or in its own name on behalf of the Issuing Entity, in
the activities of the Issuing Entity, make and execute contracts on behalf of the Issuing Entity and sue on behalf of the Issuing Entity. 
 Section 2.05. Initial Capital Contribution of Owner Trust Estate. The Depositor hereby sells, assigns, transfers, conveys and sets over to the Owner Trustee, as of the date hereof, the sum of $1,000. The Owner Trustee hereby
acknowledges receipt in trust from the Depositor, as of the date hereof, of the foregoing contribution, which shall constitute the initial Owner Trust Estate and shall be deposited in the Payment Account. The Depositor shall pay organizational
expenses of the Issuing Entity as they may arise or shall, upon the request of the Owner Trustee, promptly reimburse the Owner Trustee for any such expenses paid by the Owner Trustee. Concurrently with the execution of this Agreement, the Issuing
Entity will enter into the Sale and Servicing Agreement pursuant to which it will purchase the Mortgage Loans, which comprise the remainder of the Owner Trust Estate. Upon the transfer of the Mortgage Loans pursuant to the Sale and Servicing
Agreement, the Owner Trustee shall transfer the initial capital contribution, in the sum of $1,000, to the Depositor. 
 Section 2.06.
Declaration of Trust. The Owner Trustee hereby declares that it will hold the Owner Trust Estate in trust upon and subject to the conditions set forth herein for the use and benefit of the Noteholders, the Note Insurer and the
Certificateholders, subject to the obligations of the Issuing Entity under the Basic Documents. 
 It is the intention of the
parties hereto that, solely for income and franchise tax purposes, the Issuing Entity constitutes a statutory trust under the Statutory Trust Statute and that this Agreement constitutes the governing instrument of such statutory trust. It is the
intention of the parties hereto that, solely for income and franchise tax purposes, the Issuing Entity shall be treated as a security arrangement, with the assets of the Issuing Entity being the Loan Groups. The parties agree that, unless otherwise
required by appropriate tax authorities, the Issuing Entity will file or cause to be filed annual or other necessary returns, reports and other forms, if any, consistent with the characterization of the Issuing Entity and each Loan Group as provided
in the preceding sentence for such tax purposes. Effective as of the date hereof, the Owner Trustee shall have all rights, powers and duties set forth herein and in the Statutory Trust Statute with respect to accomplishing the purposes of the
Issuing Entity. The Owner Trustee shall file the Certificate of Trust with the Secretary of State. 
 Section 2.07. Liability of the
Certificateholders. Subject to Section 2.05, no Certificateholder shall have any personal liability for any liability or obligation of the Issuing Entity. The Certificates shall be fully paid and nonassessable. 
 Section 2.08. Title to Trust Property. 
 (a) Subject to the Indenture, legal title to all of the Owner Trust Estate shall be vested at all times in the Issuing Entity as a separate legal entity except where applicable law in any jurisdiction requires title to any part of the Owner
Trust Estate to be vested in a trustee or trustees, in which case title shall be deemed to be vested in the Owner Trustee and/or a separate trustee, as the case may be. 
  

 7 

 (b) The Certificateholders shall not have legal title to any part of the Owner Trust Estate. No transfer
by operation of law or otherwise of any interest of the Certificateholders shall operate to terminate this Agreement or the trusts hereunder or entitle any transferee to an accounting or to the transfer to it of any part of the Owner Trust Estate.

 Section 2.09. Situs of Trust. The Issuing Entity will be located in the State of Delaware and administered by the Owner Trustee in
the States of [                    ]. The Issuing Entity shall not have any employees; provided, however, that nothing herein
shall restrict or prohibit the Owner Trustee from having employees within or without the State of Delaware. 
 Section 2.10.
Representations and Warranties of the Sponsor. The Sponsor hereby represents and warrants to the Owner Trustee and the Note Insurer that: 
 (a) The Sponsor is duly organized and validly existing as a corporation in good standing under the laws of the State of California, with power and authority to own its properties and to conduct its business as such properties are currently
owned and such business is presently conducted. 
 (b) The Sponsor has the power and authority to execute and deliver this Agreement and to
carry out its terms; and the execution, delivery and performance of this Agreement has been duly authorized by the Sponsor by all necessary corporate action. 
 (c) The consummation of the transactions contemplated by this Agreement and the fulfillment of the terms hereof do not conflict with, result in any breach of any of the terms and provisions of, or constitute (with or
without notice or lapse of time) a default under, the articles of incorporation or by-laws of the Sponsor, or any indenture, agreement or other instrument to which the Sponsor is a party or by which it is bound; nor result in the creation or
imposition of any lien upon any of its properties pursuant to the terms of any such indenture, agreement or other instrument (other than pursuant to the Basic Documents); nor violate any law or, any order, rule or regulation applicable to the
Sponsor of any court or of any Federal or state regulatory body, administrative agency or other governmental instrumentality having jurisdiction over the Sponsor or its properties. 
 (d) There are no proceedings or investigations pending or notice of which has been received in writing before any court, regulatory body, administrative
agency or other governmental instrumentality having jurisdiction over the Sponsor or its properties: (x) asserting the invalidity of this Agreement, (y) seeking to prevent the consummation of any of the transactions contemplated by this
Agreement or (z) seeking any determination or ruling that should reasonably be expected to materially and adversely affect the performance by the Sponsor of its obligations under, or the validity or enforceability of, this Agreement.

 (e) The representations and warranties of the Sponsor in Article III of the Sale and Servicing Agreement are true and correct. 

(f) The Sponsor has duly executed and delivered this Agreement, and this Agreement constitutes the legal, valid and binding obligation of the Sponsor,
enforceable against the Sponsor, in accordance with its terms, except as such enforceability may be limited by applicable 

  

 8 

 
bankruptcy, insolvency, moratorium or similar laws affecting the enforcement of creditors’ rights generally and by the application of equitable
principles. 
 (g) The Sponsor 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 other governmental agency, which default might have consequences that would materially and adversely affect the condition (financial or otherwise) or operations of the Sponsor or its properties or might have consequences
that would materially and adversely affect its performance hereunder. 
 (h) The Sponsor will hold itself out to the public under its own
name as a separate and distinct entity from the Issuing Entity and conduct its business so as not to mislead others as to the identity of the Issuing Entity. Without limiting the generality of the foregoing, to the extent that the Sponsor makes on
behalf of the Issuing Entity, as administrator of the Issuing Entity, oral and written communications, including without limitation, all letters, invoices, contracts, statements and applications such oral and written communications will be made
solely by the Sponsor, as administrator of the Issuing Entity, in the name of the Issuing Entity if they are made on behalf of the Issuing Entity. 
 Section 2.11. Federal Income Tax Treatment of the Issuing Entity. The parties hereto intend that the Depositor, or other entity that is a REIT or a Qualified REIT Subsidiary, will at all times that the Notes are outstanding own a
100% Percentage Interest in the Trust Certificates; that the Depositor will qualify for taxation as a REIT at all times that it is a Certificateholder; and that the Issuing Entity will be a Qualified REIT Subsidiary at all times the Notes are
outstanding. 
 Section 2.12. Covenants of the Sponsor. The Sponsor agrees and covenants for the benefit of each Certificateholder,
the Note Insurer and the Owner Trustee, during the term of this Agreement, and to the fullest extent permitted by applicable law, that: 
 (a) it shall not, for any reason, institute proceedings for the Issuing Entity to be adjudicated bankrupt or insolvent, or consent to or join in the institution of bankruptcy or insolvency proceedings against the Issuing Entity, or file a
petition seeking or consenting to reorganization or relief under any applicable federal or state law relating to the bankruptcy of the Issuing Entity, or consent to the appointment of a receiver, liquidator, assignee, trustee, sequestrator (or other
similar official) of the Issuing Entity or a substantial part of the property of the Issuing Entity or cause or permit the Issuing Entity to make any assignment for the benefit of creditors, or admit in writing the inability of the Issuing Entity to
pay its debts generally as they become due, or declare or effect a moratorium on the debt of the Issuing Entity or take any action in furtherance of any such action; 
 (b) it shall obtain from each counterparty to each Basic Document to which it or the Issuing Entity is a party and each other agreement entered into on or after the date hereof to which it or the Issuing Entity is a
party, an agreement by each such counterparty that prior to the occurrence of certain events specified in such agreement, such counterparty shall not institute against, or join any other Person in instituting against, it or the Issuing Entity, any
bankruptcy, reorganization, arrangement, insolvency or liquidation proceedings or other similar proceedings under the laws of the United States or any state of the United States; and 
  

 9 

 (c) it shall not, for any reason, withdraw or attempt to withdraw from this Agreement or any other Basic
Document to which it is a party. 
 Section 2.13. Covenants of the Certificateholders. Each Certificateholder by becoming a beneficial
owner of the Certificate or by its acceptance of a Certificate agrees: 
 (a) to be bound by the terms and conditions of the Certificates of
which such Certificateholder is the beneficial owner and of this Agreement and the other Basic Documents, including any supplements or amendments hereto and thereto and to perform the obligations of a Certificateholder as set forth therein or
herein, in all respects as if it were a signatory hereto. This undertaking is made for the benefit of the Issuing Entity, the Owner Trustee, the Note Insurer and all other Certificateholders, present and future; 
 (b) to the appointment of the Owner Trustee as such Certificateholder’s agent and attorney-in-fact to sign any federal income tax information return
filed on behalf of the Issuing Entity and, if requested by the Issuing Entity, to sign such federal income tax information return in its capacity as holder of an interest in the Issuing Entity; 
 (c) not to take any position in such Certificateholder’s tax returns inconsistent with those taken in any tax returns filed by the Issuing Entity;
and 
 (d) not to take any action that would cause the Issuing Entity to become subject to federal income tax or fail to take any action that
would prevent the Issuing Entity from becoming subject to federal income tax. 
 Section 2.14. Representations and Warranties of the
Depositor. The Depositor hereby represents and warrants to the Owner Trustee and the Note Insurer that: 
 (a) The Depositor is duly
organized and validly existing as a Maryland real estate investment trust in good standing under the laws of the State of Maryland, with power and authority to own its properties and to conduct its business as such properties are currently owned and
such business is presently conducted. 
 (b) The Depositor has the power and authority to execute and deliver this Agreement and to carry out
its terms; the Depositor has full power and authority to transfer and assign the property to be transferred and assigned to and deposited with the Issuing Entity and the Depositor has duly authorized such transfer and assignment and deposit to the
Issuing Entity by all necessary trust action; and the execution, delivery and performance of this Agreement has been duly authorized by the Depositor by all necessary trust action. 
 (c) The consummation of the transactions contemplated by this Agreement and the fulfillment of the terms hereof do not conflict with, result in any
breach of any of the terms and provisions of, or constitute (with or without notice or lapse of time) a default under, the declaration of trust or by-laws of the Depositor, or any indenture, agreement or other instrument to which the Depositor is a
party or by which it is bound; nor result in the creation or imposition of any lien upon any of its properties pursuant to the terms of any such indenture, agreement or other instrument (other than pursuant to the Basic Documents); nor violate any
law or, any order, rule or regulation applicable to the Depositor of any court or of any Federal or state regulatory 

  

 10 

 
body, administrative agency or other governmental instrumentality having jurisdiction over the Depositor or its properties. 
 (d) There are no proceedings or investigations pending or notice of which has been received in writing before any court, regulatory body, administrative
agency or other governmental instrumentality having jurisdiction over the Depositor or its properties: (x) asserting the invalidity of this Agreement, (y) seeking to prevent the consummation of any of the transactions contemplated by this
Agreement or (z) seeking any determination or ruling that should reasonably be expected to materially and adversely affect the performance by the Depositor of its obligations under, or the validity or enforceability of, this Agreement.

 (e) The representations and warranties of the Depositor in Article III of the Sale and Servicing Agreement are true and correct.

 (f) The Depositor has duly executed and delivered this Agreement, and this Agreement constitutes the legal, valid and binding obligation
of the Depositor, enforceable against the Depositor, in accordance with its terms, except as such enforceability may be limited by applicable bankruptcy, insolvency, moratorium or similar laws affecting the enforcement of creditors’ rights
generally and by the application of equitable principles. 
 (g) 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 other governmental agency, which default might have consequences 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. 
 (h) The
Depositor will hold itself out to the public under its own name as a separate and distinct entity from the Issuing Entity and conduct its business so as not to mislead others as to the identity of the Issuing Entity. 
 Section 2.15. Covenants of the Depositor. The Depositor agrees and covenants for the benefit of each Certificateholder, the Note Insurer and the
Owner Trustee, during the term of this Agreement, and to the fullest extent permitted by applicable law, that: 
 (a) it shall not, for any
reason, institute proceedings for the Issuing Entity to be adjudicated bankrupt or insolvent, or consent to or join in the institution of bankruptcy or insolvency proceedings against the Issuing Entity, or file a petition seeking or consenting to
reorganization or relief under any applicable federal or state law relating to the bankruptcy of the Issuing Entity, or consent to the appointment of a receiver, liquidator, assignee, trustee, sequestrator (or other similar official) of the Issuing
Entity or a substantial part of the property of the Issuing Entity or cause or permit the Issuing Entity to make any assignment for the benefit of creditors, or admit in writing the inability of the Issuing Entity to pay its debts generally as they
become due, or declare or effect a moratorium on the debt of the Issuing Entity or take any action in furtherance of any such action; 
 (b)
it shall obtain from each counterparty to each Basic Document to which it or the Issuing Entity is a party and each other agreement entered into on or after the date hereof to which it or the Issuing Entity is a party, an agreement by each such
counterparty that prior to the 

  

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occurrence of certain events specified in such agreement, such counterparty shall not institute against, or join any other Person in instituting against, it
or the Issuing Entity, any bankruptcy, reorganization, arrangement, insolvency or liquidation proceedings or other similar proceedings under the laws of the United States or any state of the United States; and 
 (c) it shall not, for any reason, withdraw or attempt to withdraw from this Agreement or any other Basic Document to which it is a party; and 

(d) the Depositor hereby reaffirms the covenants of the Depositor in Section 3.06(h) of the Sale and Servicing Agreement and those covenants are
incorporated herein by this reference. 
 ARTICLE III 
 [RESERVED] 
 ARTICLE IV 
 CERTIFICATES AND TRANSFER OF INTERESTS 
 Section 4.01. Initial Ownership.
Upon the formation of the Issuing Entity by the contribution by the Sponsor pursuant to Section 2.05 and the filing of the Certificate of Trust with the Secretary of State and until the issuance of the Certificates, the Sponsor shall be the
sole owner of the Issuing Entity. 
 Section 4.02. The Certificates. The Certificates shall be issued as a single certificate,
substantially in the form of Exhibit A hereto, upon the order of the Owner Trustee, at the direction of the Sponsor, to the Depositor concurrently with the sale and assignment to the Issuing Entity of the Mortgage Loans by the Depositor, at the
direction of the Sponsor, to the Owner Trustee. The Certificates shall represent the entire beneficial interest in the assets of the Issuing Entity subject to the debt represented by the Notes. The Certificates shall be printed, lithographed or
engraved or may be produced in any other manner as is reasonably acceptable to the Owner Trustee, as evidenced by its execution thereof. The Certificates shall be executed on behalf of the Issuing Entity by manual or facsimile signature of an
Authorized Officer of the Owner Trustee. Certificates bearing the manual or facsimile signatures of individuals who were, at the time when such signatures shall have been affixed, authorized to sign on behalf of the Issuing Entity, shall be valid,
notwithstanding that such individuals or any of them shall have ceased to be so authorized prior to the authentication and delivery of such Certificates or did not hold such offices at the date of authentication and delivery of such Certificates.

 A transferee of a Certificate shall become a Certificateholder, and shall be entitled to the rights and subject to the
obligations of a Certificateholder hereunder upon such transferee’s acceptance of a Certificate duly registered in such transferee’s name pursuant to Section 4.04. 
  

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 Section 4.03. Execution, Authentication and Delivery of Certificates. Concurrently with the
initial transfer of the Mortgage Loans to the Issuing Entity pursuant to the Sale and Servicing Agreement, the Owner Trustee shall cause the Certificates, representing 100% of the Percentage Interests of the Issuing Entity, to be executed on behalf
of the Issuing Entity, authenticated and delivered, at the written direction of the Sponsor, to the Depositor as initial Certificateholder. No Certificate shall entitle its holder to any benefit under this Agreement, or shall be valid for any
purpose, unless there shall appear on such Certificate a certificate of authentication substantially in the form set forth in Exhibit A, executed by the Owner Trustee or the Owner Trustee’s authenticating agent, by manual or facsimile
signature; such authentication shall constitute conclusive evidence that such Certificate shall have been duly authenticated and delivered hereunder. All Certificates shall be dated the date of their authentication. 
 Section 4.04. Registration of Transfer and Exchange of Certificates. The Certificate Registrar shall keep or cause to be kept, at the office or
agency maintained pursuant to Section 4.08, a Certificate Register in which, subject to such reasonable regulations as it may prescribe, the Certificate Registrar shall provide for the registration of Certificates and of transfers and exchanges
of Certificates as herein provided. The Owner Trustee shall be the initial “Certificate Registrar.” 
 Upon
surrender for registration of transfer of any Certificate at the office or agency maintained pursuant to Section 4.08, the Owner Trustee, upon the satisfaction of the conditions set forth in Section 4.09(c), shall execute, authenticate and
deliver (or shall cause its authenticating agent to authenticate and deliver), in the name of the designated transferee or transferees, one or more new Certificates of a like Percentage Interest dated the date of authentication by the Owner Trustee
or any authenticating agent. At the option of a Certificateholder, Certificates may be exchanged for other Certificates of a like Percentage Interest upon surrender of the Certificates to be exchanged at the office or agency maintained pursuant to
Section 4.08. 
 Every Certificate presented or surrendered for registration of transfer or exchange shall be accompanied
by a written instrument of transfer in the form of Transferor Certificate set forth as Exhibit D hereto, attached to the form of Certificate attached hereto as Exhibit A, or such other form satisfactory to the Note Insurer, or, upon
the occurrence and continuation of a Note Insurer Default, satisfaction of the Rating Agency Condition, duly executed by the Certificateholder or his attorney duly authorized in writing. 
 No service charge shall be made for any registration of transfer or exchange of Certificates, but the Owner Trustee or the Certificate
Registrar may require payment of a sum sufficient to cover any tax or governmental charge that may be imposed in connection with any transfer or exchange of Certificates. 
 The preceding provisions of this Section 4.04 notwithstanding, the Certificate Registrar shall not register transfers or exchanges of
Certificates for a period of fifteen (15) days preceding the Payment Date with respect to the Certificates. 
 Notwithstanding anything contained herein to the contrary, neither the Certificate Registrar nor the Owner Trustee shall be responsible for ascertaining whether any transfer 

  

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complies with the registration provisions or exemptions from the Securities Act of 1933, as amended, the Securities Act of 1934, as amended, applicable state
securities law or the Investment Company Act of 1940, as amended; provided, however, that if an Investment Letter is specifically required to be delivered to the Owner Trustee by a purchaser or transferee of a Certificate, the Owner
Trustee shall be under a duty to examine the same to determine whether it conforms to the form of Investment Letter set forth as Exhibit C hereto and shall promptly notify the party delivering the same if such Investment Letter does not so
conform. 
 Section 4.05. Mutilated, Destroyed, Lost or Stolen Certificates. If (a) any mutilated Certificate shall be
surrendered to the Certificate Registrar, or if the Certificate Registrar shall receive evidence to its satisfaction of the destruction, loss or theft of any Certificate and (b) there shall be delivered to the Certificate Registrar and the
Owner Trustee such security or indemnity as may be required by them to save each of them harmless, then in the absence of notice that such Certificate shall have been acquired by a protected purchaser, the Owner Trustee on behalf of the Issuing
Entity shall execute and the Owner Trustee, or the Owner Trustee’s 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. In connection with the issuance of any new Certificate under this Section 4.05, the Owner Trustee or the Certificate Registrar may require the payment of a sum sufficient to cover any tax or other governmental charge that
may be imposed in connection therewith. Any duplicate Certificate issued pursuant to this Section shall constitute conclusive evidence of ownership in the Issuing Entity, as if originally issued, whether or not the lost, stolen or destroyed
Certificate shall be found at any time. 
 Section 4.06. Persons Deemed Owners. Each person by virtue of becoming a Certificateholder
in accordance with this Agreement shall be deemed to be bound by the terms of this Agreement. Prior to due presentation of a Certificate for registration of transfer, the Owner Trustee or the Certificate Registrar may treat the Person in whose name
any Certificate shall be registered in the Certificate Register as the owner of such Certificate for the purpose of receiving distributions pursuant to Section 6.02 and for all other purposes whatsoever, and neither the Owner Trustee nor the
Certificate Registrar shall be bound by any notice to the contrary. 
 Section 4.07. Access to List of Certificateholders’ Names and
Addresses. The Certificate Registrar shall furnish or cause to be furnished to the Owner Trustee, the Servicer, the Sponsor and the Indenture Trustee immediately prior to each Payment Date, a list of the names and addresses of the
Certificateholders as of the most recent Record Date. The Certificate Registrar shall notify the Indenture Trustee of any change in the initial Holders of the Certificates. If one or more Certificateholder, together evidencing Percentage Interests
totaling not less than 25%, apply in writing to the Certificate Registrar, and such application states that the applicants desire to communicate with other Certificateholders with respect to their rights under this Agreement or under the
Certificates and such application is accompanied by a copy of the communication that such applicants propose to transmit, then the Certificate Registrar shall, within five (5) Business Days after the receipt of such application, afford such
applicants access during normal business hours to the current list of Certificateholders. Each Certificateholder, by receiving and holding a Certificate, shall be deemed to have agreed not to hold any of the Sponsor, the Certificate Registrar or the
Owner Trustee accountable by reason of the disclosure of its name and address, regardless of the source from which such information was derived. 
  

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 Section 4.08. Maintenance of Office or Agency. The Owner Trustee shall maintain an office or
offices or agency or agencies where notices and demands to or upon the Owner Trustee in respect of the Basic Documents may be served, and so long as the Owner Trustee is the Certificate Registrar, where Certificates may be surrendered for
registration of transfer or exchange and notices and demands to or upon the Certificate Registrar in respect of the Certificates, may be served. The Owner Trustee initially designates the Corporate Trust Office as its principal corporate trust
office for such purposes. The Owner Trustee shall give prompt written notice to the Note Insurer, the Indenture Trustee, the Sponsor and the Certificateholders of any change in the location of the Certificate Register or any such office or agency.

 Section 4.09. Restrictions on Transfers of Certificates. (a) Each prospective purchaser and any subsequent transferee of a
Certificate (each, a “Prospective Holder”), other than the Sponsor, shall execute and deliver to the Owner Trustee and the Certificate Registrar and any of their respective successors an Investment Letter in the form of Exhibit C
hereto to the effect that: 
 (i) Such Person is (A) a “qualified institutional buyer” as defined in Rule 144A
under the Securities Act of 1933, as amended (the “Securities Act”), and is aware that the seller of the Certificate may be relying on the exemption from the registration requirements of the Securities Act provided by Rule 144A and
is acquiring such Certificate for its own account or for the account of one or more qualified institutional buyers for whom it is authorized to act, or (B) a Person involved in the organization or operation of the Issuing Entity or an affiliate
of such Person within the meaning of Rule 3a-7 of the Investment Company Act of 1940, as amended (including, but not limited to, the Sponsor). 
 (ii) Such Person understands that the Certificates have not been and will not be registered under the Securities Act and may be offered, sold, pledged or otherwise transferred only to a person whom the seller
reasonably believes is (A) a qualified institutional buyer or (B) a Person involved in the organization or operation of the Issuing Entity or an affiliate of such Person, in a transaction pursuant to an effective registration statement
under the Securities Act and any applicable state securities laws or exempt from the registration requirements of the Securities Act and any such state securities laws. 
 (iii) Such Person understands that the Certificates bear a legend to the following effect: 
 “THIS CERTIFICATE HAS NOT BEEN AND WILL NOT BE REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “ACT”), OR ANY STATE
SECURITIES LAWS. THIS CERTIFICATE MAY BE DIRECTLY OR INDIRECTLY OFFERED OR SOLD OR OTHERWISE DISPOSED OF (INCLUDING PLEDGED) BY THE HOLDER HEREOF ONLY TO (I) A “QUALIFIED INSTITUTIONAL BUYER” AS DEFINED IN RULE 

  

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144A UNDER THE ACT, IN A TRANSACTION THAT IS REGISTERED UNDER THE ACT AND APPLICABLE STATE SECURITIES LAWS OR THAT IS EXEMPT FROM THE REGISTRATION
REQUIREMENTS OF THE ACT AND SUCH STATE LAWS OR (II) A PERSON INVOLVED IN THE ORGANIZATION OR OPERATION OF THE TRUST OR AN AFFILIATE OF SUCH A PERSON WITHIN THE MEANING OF RULE 3a-7 OF THE INVESTMENT COMPANY ACT OF 1940, AS AMENDED (INCLUDING, BUT
NOT LIMITED TO, ACCREDITED HOME LENDERS, INC.) IN A TRANSACTION THAT IS REGISTERED UNDER THE ACT AND APPLICABLE STATE SECURITIES LAWS OR THAT IS EXEMPT FROM THE REGISTRATION REQUIREMENTS OF THE ACT AND SUCH LAWS. NO PERSON IS OBLIGATED TO REGISTER
THIS CERTIFICATE UNDER THE ACT OR ANY STATE SECURITIES LAWS.” 
 (b) By its acceptance of a Certificate, each Prospective Holder agrees
and acknowledges that no legal or beneficial interest in all or any portion of any Certificate may be transferred directly or indirectly to an entity that holds residual securities as nominee to facilitate the clearance and settlement of such
securities through electronic book-entry changes in accounts of participating organizations (a “Book-Entry Nominee”) and any such purported transfer shall be void and have no effect. 
 The Certificates shall bear an additional legend referring to the restrictions contained in preceding paragraph to the following effect:

 THIS CERTIFICATE MAY NOT BE TRANSFERRED, SOLD OR OTHERWISE DISPOSED OF UNLESS, PRIOR TO SUCH DISPOSITION, THE PROPOSED TRANSFEREE DELIVERS
TO THE OWNER TRUSTEE AND THE CERTIFICATE REGISTRAR A CERTIFICATE STATING THAT SUCH TRANSFEREE IS NOT AN ENTITY THAT WILL HOLD THIS CERTIFICATE AS NOMINEE TO FACILITATE THE CLEARANCE AND SETTLEMENT OF SUCH SECURITY THROUGH ELECTRONIC BOOK-ENTRY
CHANGES IN ACCOUNTS OF PARTICIPATING ORGANIZATIONS. 
 (c) No transfer of a Certificate or any beneficial interest therein shall be made to
any person unless the Owner Trustee has received a representation letter from the Prospective Holder to the effect that such Prospective Holder is not a Plan and is not, directly or indirectly, 

  

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purchasing such Certificate or interest therein on behalf of, as investment manager of, as named fiduciary of, as trustee of, or with the assets of a Plan.

 (d) The Owner Trustee shall not execute, and shall not countersign and deliver, a Certificate in connection with any transfer thereof
unless the transferor shall have provided to the Owner Trustee an Investment Letter, signed by the transferee, which certificate shall contain the consent of the transferee to any amendments of this Agreement as may be required to effectuate further
the foregoing restrictions on transfer of the Certificates to Book-Entry Nominees, and an agreement by the transferee that it will not transfer a Certificate without providing to the Owner Trustee an Investment Letter. 
 (e) [Reserved]. 
 (f) Unless the Prospective
Holder delivers a certificate to the Owner Trustee to the effect that it is a United States Person, the Prospective Holder, other than Accredited Home Lenders, Inc. or an affiliate of the Accredited Home Lenders, Inc., shall obtain and deliver to
the Note Insurer and the Owner Trustee an Opinion of Counsel satisfactory to the Note Insurer to the effect that, as a matter of federal income tax law, the transfer of the Certificate to such Prospective Holder will not result in the imposition of
any U.S. withholding tax on payments in respect of the Mortgage Loans or the Certificate. 
 (g) No pledge or transfer of the Certificates
shall be effective unless such pledge or transfer is (i) to a single beneficial owner that represents that it qualifies for taxation as a REIT or is a Qualified REIT Subsidiary and (ii) accompanied by an Opinion of Counsel satisfactory to
the Owner Trustee and the Note Insurer, which Opinion of Counsel shall not, unless otherwise agreed, be an expense of the Issuing Entity, the Certificate Registrar, the Servicer, the Note Insurer or the Sponsor, to the effect such pledge or transfer
will not cause the Issuing Entity to be subject to federal income tax. 
 ARTICLE V 
 ACTIONS BY OWNER TRUSTEE 
 Section
5.01. Prior Notice to the Certificateholders with Respect to Certain Matters. With respect to the following matters, the Owner Trustee shall not take action unless at least thirty (30) days before the taking of such action, the Owner
Trustee shall have notified the Rating Agencies, the Certificateholders (unless the Certificateholders have directed the Owner Trustee to take action) and the Note Insurer in writing of the proposed action and neither the Certificateholders nor the
Note Insurer shall have notified the Owner Trustee in writing prior to the 30th day after such notice is given that
such Certificateholders and/or the Note Insurer have withheld consent or the Certificateholders have provided alternative written direction (any direction by the Certificateholders shall require the prior written consent of the Note Insurer) and in
the case of the Rating Agencies, the Rating Agency Condition shall have been met: 
 (a) the initiation of any claim or
lawsuit by the Issuing Entity (except claims or lawsuits brought in connection with the collection of the Mortgage Loans) and the compromise of any action, claim or lawsuit brought by or against the Issuing Entity 

  

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(except with respect to the aforementioned claims or lawsuits for collection of the Mortgage Loans); 
 (b) the election by the Issuing Entity to file an amendment to the Certificate of Trust (unless such amendment is required to be filed
under the Statutory Trust Statute); 
 (c) the amendment or other change to this Agreement or any Basic Document in
circumstances where the consent of any Certificateholder is required; provided, that notwithstanding this Section 5.01, the prior written consent of the Note Insurer must be obtained for any amendment or change to this Agreement or any
other Basic Document; 
 (d) the amendment or other change to this Agreement or any other Basic Document in circumstances
where the consent of any Certificateholder is not required and such amendment materially adversely affects the interest of the Certificateholders; 
 (e) the appointment pursuant to the Indenture of a successor Note Registrar, or Indenture Trustee or pursuant to this Agreement of a successor Certificate Registrar or the consent to the assignment by the Note
Registrar or Indenture Trustee or Certificate Registrar of their respective obligations under the Indenture or this Agreement, as applicable; 
 (f) the consent to the waiver of any default of any Basic Document; 
 (g) the consent to the
assignment by the Indenture Trustee or Servicer of their respective obligations under any Basic Document; 
 (h) except as
provided in Article X hereof, dissolve, terminate or liquidate the Issuing Entity in whole or in part; 
 (i) merge or
consolidate the Issuing Entity with or into any other entity, or convey or transfer all or substantially all of the Issuing Entity’s assets to any other entity; 
 (j) cause the Issuing Entity to incur, assume or guaranty any indebtedness other than as set forth in this Agreement or the other Basic
Documents; 
 (k) do any act which would make it impossible to carry on the ordinary business of the Issuing Entity as
described in Section 2.03 hereof; 
 (l) confess a judgment against the Issuing Entity; 
 (m) possess Issuing Entity assets, or assign the Issuing Entity’s right to property, for other than an Issuing Entity purpose;

 (n) cause the Issuing Entity to lend any funds to any entity; or 
 (o) change the Issuing Entity’s purpose and powers from those set forth in this Agreement. 
  

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 In addition the Issuing Entity shall not commingle its assets with those of any other
entity. The Issuing Entity shall maintain its financial and accounting books and records separate from those of any other entity. Except as expressly set forth herein, the Issuing Entity shall pay its indebtedness, operating expenses and liabilities
from its own funds, and the Issuing Entity shall not pay the indebtedness, operating expenses and liabilities of any other entity. The Servicer, on behalf of the Issuing Entity, shall maintain appropriate minutes or other records of all appropriate
action. The Issuing Entity shall maintain its office separate from the offices of the Sponsor, the Depositor and the Servicer. 
 Notwithstanding the other provisions of this Section 5.01, the Owner Trustee shall not have the power, except upon the written direction of the Certificateholders with the prior written consent of the Note Insurer, and to the extent
otherwise consistent with the Basic Documents, to remove or replace the Servicer or the Indenture Trustee. 
 Section 5.02. Action by
Certificateholders with Respect to Bankruptcy. The Owner Trustee shall not have the power to (i) institute proceedings to have the Issuing Entity declared or adjudicated bankrupt or insolvent, (ii) consent to the institution of
bankruptcy or insolvency proceedings against the Issuing Entity, (iii) file a petition or consent to a petition seeking reorganization or relief on behalf of the Issuing Entity under any applicable federal or state law relating to bankruptcy,
(iv) consent to the appointment of a receiver, liquidator, assignee, trustee, sequestrator (or any similar official) of the Issuing Entity or a substantial portion of the property of the Issuing Entity, (v) make any assignment for the
benefit of the Issuing Entity’s creditors, (vi) cause the Issuing Entity to admit in writing its inability to pay its debts generally as they become due, or (vii) take any action, or cause the Issuing Entity to take any action, in
furtherance of any of the foregoing (any of the above, a “Bankruptcy Action”) without the unanimous prior written consent and approval of all Certificateholders and the prior written consent and approval of the Note Insurer and the
delivery to the Owner Trustee by each such Certificateholder of a certification that such Certificateholder reasonably believes that the Issuing Entity is insolvent. So long as the Indenture and the Insurance Agreement remain in effect and no Note
Insurer Default exists, no Certificateholder shall have the power to take, and shall not take, any Bankruptcy Action with respect to the Issuing Entity or direct the Owner Trustee to take any Bankruptcy Action with respect to the Issuing Entity. The
terms of this Section 5.02 shall survive for one year and one day following the termination of this Agreement. 
 Section 5.03.
Restrictions on Certificateholders’ Power. The Certificateholders shall not direct the Owner Trustee to take or refrain from taking any action if such action or inaction would be contrary to any obligation of the Issuing Entity or the
Owner Trustee under this Agreement or any of the other Basic Documents or would be contrary to Section 2.03, nor shall the Owner Trustee be obligated to follow any such direction, if given. 
 Section 5.04. Majority Control. Except as expressly provided herein, any action that may be taken by the Certificateholders under this Agreement
may be taken by the holders of Certificates evidencing more than 50% of the Percentage Interest in the Issuing Entity and such action shall be binding upon all Certificateholders. Except as expressly provided herein, any written notice of the
Certificateholders delivered pursuant to this Agreement shall be effective if signed by holders of Certificates evidencing more than 50% of the Percentage Interest in the Issuing Entity at the time of the delivery of such notice and such action
shall be binding upon all Certificateholders. 
  

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 ARTICLE VI 
 TAX PROVISIONS; CERTAIN DUTIES 
 Section 6.01. Federal Income Tax Provisions. 
 (a) The Issuing Entity will be wholly owned by the Certificateholder, which as of the Closing Date is the Depositor. The Depositor has made an election
to be treated as a “real estate investment trust” (a “REIT”) under Section 856 of the Code. As such, the Depositor, as the sole Certificateholder, will be regarded as (i) owning all assets owned by the Issuing Entity
and (ii) having incurred all liabilities incurred by the Issuing Entity, and all transactions between the Issuing Entity and the Depositor will be disregarded. 
 (b) The Depositor covenants that for so long as it is a REIT, it will not Transfer the Ownership Interest in the Issuing Entity. 
 Section 6.02. Withholding Taxes. In the event that any withholding tax is imposed under federal, state, or local law on the Issuing Entity’s payment (or allocations of income) to a Certificateholder, such
tax shall reduce the amount otherwise distributable to such Certificateholder in accordance with this Section 6.02. The Indenture Trustee, on behalf of the Owner Trustee, is hereby authorized and directed to retain in the Payment Account from
amounts otherwise distributable to the Certificateholders sufficient funds for the payment of any tax that is legally owed by the Issuing Entity (but such authorization shall not prevent the Indenture Trustee from contesting any such tax in
appropriate proceedings, and withholding payment of such tax, if permitted by law, pending the outcome of such proceedings). The Sponsor will provide the Indenture Trustee with a statement indicating the amount of any such withholding tax. The
amount of any withholding tax imposed with respect to a Certificateholder shall be treated as cash distributed to such Certificateholder at the time it is withheld by the Indenture Trustee and remitted to the appropriate taxing authority from the
Payment Account at the direction of the Indenture Trustee, on behalf of the Owner Trustee. If there is a possibility that withholding tax is payable with respect to a distribution (such as a distribution to a Certificateholder who is a Non-U.S.
Person), the Indenture Trustee may in its sole discretion withhold such amounts in accordance with this paragraph. In the event that a Certificateholder wishes to apply for a refund of any such withholding tax, the Owner Trustee and the Indenture
Trustee shall reasonably cooperate with such Certificateholder in making such claim so long as such Certificateholder agrees in writing to reimburse the Owner Trustee for any out-of-pocket expenses incurred. 
 Section 6.03. Accounting and Reports to the Certificateholders, the Internal Revenue Service and Others. The Sponsor shall (a) maintain (or
cause to be maintained) the books of the Issuing Entity on a calendar year basis on the accrual method of accounting, and (b) deliver (or cause to be delivered) to each Certificateholder such information, reports or statements as may be
required by the Code and applicable Treasury Regulations and as may be required to enable each Certificateholder to prepare its respective federal and state income tax returns. Consistent with the Issuing Entity’s (and each Loan Groups’)
characterization for tax purposes as 

  

 20 

 
a Qualified REIT Subsidiary, no federal income tax return shall be filed on behalf of the Issuing Entity unless either (y) the Issuing Entity, the
Indenture Trustee or the Certificateholders receive an Opinion of Counsel based on a change in applicable law occurring after the date hereof that the Code requires such a filing or (z) the Internal Revenue Service shall determine that the
Issuing Entity (or a related Loan Group) is required to file such a return. In the event that the Issuing Entity (or a related Loan Group) is required to file tax returns, the Indenture Trustee shall elect under Section 1278 of the Code to
include in income currently any market discount that accrues with respect to the Mortgage Loans. The Sponsor shall prepare or shall cause to be prepared any tax returns required to be filed by the Issuing Entity. The Depositor, or any other such
party required by law, shall promptly sign such returns and deliver such returns after signature to the Sponsor and such returns shall be filed by, or at the direction of, the Sponsor with the appropriate tax authorities. In no event shall the
Depositor or the Sponsor be liable for any liabilities, costs or expenses of the Issuing Entity arising out of the application of any tax law, including federal, state, foreign or local income or excise taxes or any other tax imposed on or measured
by income (or any interest, penalty or addition with respect thereto or arising from a failure to comply therewith), except, for any such liability, cost or expense attributable to the Depositor’s breach of its obligations under this Agreement.

 ARTICLE VII 
 AUTHORITY AND DUTIES OF OWNER TRUSTEE 
 Section 7.01. General Authority. The Owner Trustee is authorized and directed
to execute and deliver or cause to be executed and delivered the Notes, the Certificates and the Basic Documents to which the Issuing Entity is to be a party and each certificate or other document attached as an exhibit to or contemplated by the
Basic Documents to which the Issuing Entity is to be a party and any amendment or other agreement or instrument described in Article IV, in each case, as the Sponsor shall approve, as evidenced conclusively by the Owner Trustee’s execution
thereof. In addition, the Owner Trustee is authorized and directed, on behalf of the Issuing Entity, to execute and deliver to the Authenticating Agent the Trust Request and the Trust Orders referred to in Section 2.11 of the Indenture,
directly to the Authenticating Agent to authenticate and deliver Class A-1 Notes in the Original Note Principal Balance of
$[                    ] and the Class A-2 Notes in the Original Note Principal Balance of
$[                    ]. In addition to the foregoing, the Owner Trustee is authorized, but shall not be obligated, to take all actions
required of the Issuing Entity, pursuant to the Basic Documents. 
 Section 7.02. General Duties. (a) It shall be the duty of the
Owner Trustee: 
 (i) to discharge (or cause to be discharged) all of its responsibilities pursuant to the terms of this
Agreement and the Basic Documents to which the Issuing Entity is a party and to administer the Issuing Entity in the interest of the Certificateholders, subject to the Basic Documents and in accordance with the provisions of this Agreement; and

 (ii) to maintain the Issuing Entity’s existence as a statutory trust under the laws of the State of Delaware.

  

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 (b) The Owner Trustee shall not be responsible for taking any action on behalf of the Issuing Entity
under any Basic Document unless specifically directed in writing to do so in accordance with Section 7.03 of this Agreement. 
 (c) The
Owner Trustee shall not be responsible for any matter regarding the Securities Act, the Exchange Act or the Investment Company Act of 1940, as amended, or the rules or regulations thereunder. 
 Section 7.03. Action upon Instruction. (a) Subject to Article V hereof, and in accordance with the terms of the Basic Documents, the
Certificateholders may by written instruction direct the Owner Trustee in the management of the Issuing Entity but only to the extent consistent with the limited purpose of the Issuing Entity. Such direction may be exercised at anytime by written
instruction of the Certificateholders pursuant to Article V hereof. Without limiting the generality of the foregoing, the Owner Trustee shall act as directed in writing by the Certificateholders in connection with Note redemptions requested by the
Certificateholders, and shall take all actions and deliver all documents that the Issuing Entity is required to take and deliver in accordance with Section 4.01 and Article X of the Indenture in order to effect any redemption requested by the
Certificateholders. 
 (b) The Owner Trustee shall not be required to take any action hereunder or under any other Basic Document if the
Owner Trustee shall have reasonably determined, or shall have been advised by counsel, that such action is likely to result in liability on the part of the Owner Trustee or is contrary to the terms hereof or of any other Basic Document or is
otherwise contrary to law. 
 (c) Subject to Article V hereof, whenever the Owner Trustee is unable to decide between alternative courses of
action permitted or required by the terms of this Agreement or under any other Basic Document, the Owner Trustee shall promptly give notice (in such form as shall be appropriate under the circumstances) to the Certificateholders and the Note Insurer
requesting instruction from the Certificateholders as to the course of action to be adopted, and to the extent the Owner Trustee acts in good faith in accordance with any written instruction of the Certificateholders received, the Owner Trustee
shall not be liable on account of such action to any Person. If the Owner Trustee shall not have received appropriate instruction within ten (10) days of such notice (or within such shorter period of time as reasonably may be specified in such
notice or may be necessary under the circumstances) it may, but shall be under no duty to, take or refrain from taking such action, not inconsistent with this Agreement or the Basic Documents, as it shall deem to be in the best interests of the
Certificateholders, and shall have no liability to any Person for such action or inaction. 
 (d) Subject to Article V hereof, in the event
that the Owner Trustee is unsure as to the application of any provision of this Agreement or any other Basic Document or any such provision is ambiguous as to its application, or is, or appears to be, in conflict with any other applicable provision,
or in the event that this Agreement permits any determination by the Owner Trustee or is silent or is incomplete as to the course of action that the Owner Trustee is required to take with respect to a particular set of facts, the Owner Trustee may
give notice (in such form as shall be appropriate under the circumstances) to the Certificateholders requesting instruction and, to the extent that the Owner Trustee acts or refrains from acting in good faith in accordance 

  

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with any such instruction received, the Owner Trustee shall not be liable, on account of such action or inaction, to any Person. If the Owner Trustee shall
not have received appropriate instruction within ten (10) days of such notice (or within such shorter period of time as reasonably may be specified in such notice or may be necessary under the circumstances) it may, but shall be under no duty
to, take or refrain from taking such action, not inconsistent with this Agreement or the other Basic Documents, as it shall deem to be in the best interests of the Certificateholders, and shall have no liability to any Person for such action or
inaction. 
 Section 7.04. No Duties Except as Specified in this Agreement, the Basic Documents or any Instructions. 
 (a) The Owner Trustee shall not have any duty or obligation to manage, make any payment with respect to, register, record, sell, dispose of, or otherwise
deal with the Owner Trust Estate, or to otherwise take or refrain from taking any action under, or in connection with, this Agreement or any document contemplated hereby to which the Issuing Entity is a party, except as expressly provided by the
terms of this Agreement, any other Basic Document or in any document or written instruction received by the Owner Trustee pursuant to Section 7.03; and no implied duties or obligations shall be read into this Agreement or any other Basic
Document against the Owner Trustee. The Owner Trustee shall have no responsibility for filing any tax document, 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 prepare or file any Securities and Exchange Commission filing for the Issuing Entity or to record this Agreement or any other Basic Document. The Owner Trustee nevertheless agrees that it will, at its
own cost and expense, promptly take all action as may be necessary to discharge any liens on any part of the Owner Trust Estate that result from actions by, or claims against, the Owner Trustee in its individual capacity that are not related to the
ownership or the administration of the Owner Trust Estate. 
 (b) Notwithstanding anything to the contrary herein or in any other document,
the Owner Trustee shall not be required to execute, deliver or certify on behalf of the Issuing Entity or any other Person any filings, certificates, affidavits or other instruments required under the Sarbanes-Oxley Act of 2002. Notwithstanding any
Person’s right to instruct the Owner Trustee, neither the Owner Trustee nor any agent, employee, director or officer of the Owner Trustee shall have any obligation to execute any certificates or other documents required pursuant to the
Sarbanes-Oxley Act of 2002 or the rules and regulations promulgated thereunder, and the refusal to comply with any such instructions shall not constitute a default or breach under any Basic Document. 
 Section 7.05. No Action Except under Specified Documents or Instructions. The Owner Trustee shall not manage, control, use, sell, dispose of or
otherwise deal with any part of the Owner Trust Estate except (i) in accordance with the powers granted to and the authority conferred upon the Owner Trustee pursuant to this Agreement, (ii) in accordance with the other Basic Documents and
(iii) in accordance with any document or written instruction delivered to the Owner Trustee pursuant to Section 7.03. 
  

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 Section 7.06. Restrictions. Neither the Owner Trustee nor the Sponsor shall take any action
(a) that violates or results in a breach of or is inconsistent with the purposes of the Issuing Entity set forth in Section 2.03; (b) that causes or effectuates a Transfer of the Depositor’s Ownership Interest in the Issuing
Entity for so long as the Depositor is a REIT other than as set forth in Section 4.09(g) or (c) that, to the actual knowledge of the Sponsor and the Owner Trustee, would result in the Issuing Entity’s becoming taxable as a corporation
for federal income tax purposes. The Certificateholders shall not direct the Owner Trustee to take action that would violate the provisions of this Section 7.06. 
 ARTICLE VIII 
 CONCERNING THE OWNER TRUSTEE 
 Section 8.01. Acceptance of Trusts and Duties. The Owner Trustee accepts the trusts hereby created and agrees to perform its duties hereunder with
respect to such trusts, but only upon the terms of this Agreement subject to the other Basic Documents. The Owner Trustee also agrees to disburse all moneys actually received by it constituting part of the Owner Trust Estate upon the terms of the
other Basic Documents and this Agreement. The Owner Trustee shall not be answerable or accountable hereunder or under any other Basic Document under any circumstances, except (i) for its own willful breach or misconduct or gross negligence or
(ii) in the case of the inaccuracy of any representation or warranty contained in Section 8.03 expressly made by the Owner Trustee in its individual capacity. In particular, but not by way of limitation (and subject to the exceptions set
forth in the preceding sentence): 
 (a) The Owner Trustee shall not be liable for any error of judgment made by a Responsible Officer of the
Owner Trustee; 
 (b) The Owner Trustee shall not be liable with respect to any action taken or omitted to be taken by it in accordance with
the instructions of the Certificateholders or the Note Insurer given in accordance with this Agreement; 
 (c) No provision of this Agreement
or any other Basic Document shall require the Owner Trustee to expend or risk funds or otherwise incur any financial liability in the performance of any of its rights or powers hereunder or under any other Basic Document if the Owner Trustee shall
have reasonable grounds for believing that repayment of such funds or adequate indemnity against such risk or liability is not reasonably assured or provided to it; 
 (d) Under no circumstances shall the Owner Trustee be liable for indebtedness evidenced by or arising under any of the Basic Documents, including the principal of and interest on the Notes; 
 (e) The Owner Trustee shall not be responsible for or in respect of the validity or sufficiency of this Agreement or for the due execution hereof by the
Sponsor or for the form, character, genuineness, sufficiency, value or validity of any of the Owner Trust Estate or for or in respect of the validity or sufficiency of the Basic Documents, other than the certificate of authentication on the
Certificates, and the Owner Trustee shall in no event assume or incur any 

  

 24 

 
liability, duty, or obligation to any Noteholder or to any Certificateholders, other than as expressly provided for herein and in the other Basic Documents;

 (f) The Owner Trustee shall not be liable for the default or misconduct of the Indenture Trustee or the Servicer under any of the Basic
Documents or otherwise and the Owner Trustee shall have no obligation or liability to perform the obligations of the Issuing Entity under this Agreement or the other Basic Documents that are required to be performed by the Sponsor, the Indenture
Trustee or the Servicer; 
 (g) The Owner Trustee shall be under no obligation to exercise any of the rights or powers vested in it by this
Agreement, or to institute, conduct or defend any litigation under this Agreement or otherwise or in relation to this Agreement or any Basic Document, at the request, order or direction of the Sponsor, any of the Certificateholders or the Note
Insurer, unless such Certificateholders, the Sponsor or the Note Insurer have offered to the Owner Trustee security or indemnity reasonably satisfactory to it against the costs, expenses and liabilities that may be incurred by the Owner Trustee
therein or thereby. The right of the Owner Trustee to perform any discretionary act enumerated in this Agreement or in any other Basic Document shall not be construed as a duty, and the Owner Trustee shall not be answerable for other than its gross
negligence or willful breach or misconduct in the performance of any such act; and 
 (h) Notwithstanding anything contained herein to the
contrary, neither [                                    ] in
its individual capacity nor as Owner Trustee shall be required to take any action in any jurisdiction other than in the State of Delaware if the taking of such action will (i) require the consent or approval or authorization or order of or the
giving of notice to, or the registration with or the taking of any other action in respect of, any state or other governmental authority or agency of any jurisdiction other than the State of Delaware (ii) result in any fee, tax or other
governmental charge under the laws of any jurisdiction or any political subdivisions thereof in existence on the date hereof other than the State of Delaware becoming payable by
[                                    ]; or (iii) subject
[                                    ] to personal
jurisdiction in any jurisdiction other than the State of Delaware for causes of action arising from acts unrelated to the consummation of the transactions by
[                                    ] in its individual
capacity or as Owner Trustee, as the case may be, contemplated hereby. The Owner Trustee shall be entitled to obtain advice of counsel (which advice shall be an expense of the Sponsor to determine whether any action required to be taken pursuant to
this Agreement or the other Basic Documents results in the consequences described in clauses (i), (ii) and (iii) of the preceding sentence. In the event that said counsel advises the Owner Trustee that such action will result in such
consequences, the Owner Trustee will appoint an additional trustee pursuant to Section 11.05 hereof to proceed with such action. 
 Section 8.02. Furnishing of Documents. Subject to Section 4.07, the Owner Trustee shall furnish to the Certificateholders promptly upon receipt of a written request therefor, duplicates or copies of all reports, notices,
requests, demands, certificates, financial statements and any other instruments furnished to the Owner Trustee under the Basic Documents. On behalf of the Owner Trustee, the Sponsor shall furnish to Noteholders promptly upon written request
therefor, copies of the Sale and Servicing Agreement and the Indenture. 
  

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 Section 8.03. Representations and Warranties of the Owner Trustee. The Owner Trustee hereby
represents and warrants to the Sponsor, the Note Insurer and the Certificateholders, that: 
 (a) It is a national banking association duly
organized and validly existing in good standing under the laws of the United States of America. It has all requisite power and authority to execute, deliver and perform its obligations under this Agreement. 
 (b) It has taken all action necessary to authorize the execution and delivery by it of this Agreement, and this Agreement will be executed and delivered
by one of its officers who is duly authorized to execute and deliver this Agreement on its behalf. 
 (c) Neither the execution nor the
delivery by it of this Agreement nor the consummation by it of the transactions contemplated hereby nor compliance by it with any of the terms or provisions hereof will contravene any Delaware or Federal law, governmental rule or regulation
governing the banking or trust powers of the Owner Trustee or any judgment or order binding on it, or constitute any default under its charter documents or by-laws. 
 (d) This Agreement has been duly authorized, executed and delivered by the Owner Trustee and constitutes a valid, legal and binding obligation of the Owner Trustee, 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. 
 (e) The Owner Trustee 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 might have consequences that would materially and adversely affect the condition (financial or other) or operations of the Owner Trustee or its
properties or might have consequences that would materially adversely affect its performance hereunder. 
 (f) No litigation is pending or,
to the best of the Owner Trustee’s knowledge, threatened against the Owner Trustee which would prohibit its entering into this Agreement or performing its obligations under this Agreement. 
 Section 8.04. Reliance; Advice of Counsel. (a) The Owner Trustee shall incur no liability to anyone in acting upon any signature, instrument,
notice, resolution, request, consent, order, certificate, report, opinion, Note, or other document or paper believed by it in good faith to be genuine and believed by it in good faith to be signed by the proper party or parties. The Owner Trustee
may accept a certified copy of a resolution of the board of directors or other governing body of any corporate party as conclusive evidence that such resolution has been duly adopted by such body and that the same is in full force and effect. As to
any fact or matter the method of the determination of which is not specifically prescribed herein, the Owner Trustee may for all purposes hereof rely on a certificate, signed by the president or any vice president or by the treasurer or other
authorized officers of the relevant party, as to such fact or matter and such certificate shall constitute full protection to the Owner Trustee for any action taken or omitted to be taken by it in good faith in reliance thereon. 
  

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 (b) In the exercise or administration of the trusts hereunder and in the performance of its duties and
obligations under this Agreement or the other Basic Documents, the Owner Trustee (i) may, at the expense of the Issuing Entity, act directly or through its agents or attorneys pursuant to agreements entered into with any of them, and the Owner
Trustee shall not be liable for the conduct or misconduct of such agents or attorneys if such agents or attorneys shall have been selected by the Owner Trustee with reasonable care, and (ii) may, at the expense of the Issuing Entity, consult
with counsel, Accountants and other skilled persons to be selected with reasonable care and employed by it. The Owner Trustee shall not be responsible for monitoring the performance of such agents or attorneys or for the failure of others to perform
their duties, even if delegated by the Owner Trustee, if such agents or attorneys shall have been selected by the Owner Trustee with reasonable care. The Owner Trustee shall not be liable for anything done, suffered or omitted in good faith by it in
accordance with the written opinion or advice of any such counsel, Accountants or other such persons and not contrary to this Agreement or any other Basic Document. 
 Section 8.05. Not Acting in Individual Capacity. Except as provided in Section 8.03, in accepting the trusts hereby created,
[                                        ]
acts solely as Owner Trustee hereunder and not in its individual capacity, and all Persons having any claim against the Owner Trustee by reason of the transactions contemplated by this Agreement or any other Basic Document shall look only to the
Owner Trust Estate for payment or satisfaction thereof. 
 Section 8.06. Owner Trustee Not Liable for the Certificates or Mortgage
Loans. The recitals contained herein and in the Certificates (other than the signature and countersignature of the Owner Trustee on the Certificates) shall be taken as the statements of the Issuing Entity, and the Owner Trustee assumes no
responsibility for the correctness thereof. The Owner Trustee makes no representations as to the validity or sufficiency of this Agreement, of any other Basic Document or of the Certificates (other than the signature and countersignature of the
Owner Trustee on the Certificates and as specified in Section 8.03 hereof) or the Notes, or of any Mortgage Loans or related documents. The Owner Trustee shall at no time have any responsibility or liability for or with respect to the legality,
validity and enforceability of any Mortgage Loan, or the perfection and priority of any security interest created by any Mortgage Loan or the maintenance of any such perfection and priority, or for or with respect to the sufficiency of the Owner
Trust Estate or its ability to generate the payments to be distributed to the Certificateholders under this Agreement or the Noteholders under the Indenture, including, without limitation, the existence, condition and ownership of any Mortgaged
Property, the existence and enforceability of any insurance thereon, the existence and contents of any Mortgage Loan on any computer or other record thereof, the validity of the assignment of any Mortgage Loan to the Issuing Entity or of any
intervening assignment, the completeness of any Mortgage Loan, the performance or enforcement of any Mortgage Loan, the compliance by the Sponsor or the Servicer with any warranty or representation made under any Basic Document or in any related
document or the accuracy of any such warranty or representation or any action of the Indenture Trustee or the Servicer or any subservicer taken in the name of the Owner Trustee. 
 Section 8.07. Owner Trustee May Own Notes. The Owner Trustee in its individual or any other capacity may become the owner or pledgee of the Notes
and may deal with the Sponsor, the Depositor, the Indenture Trustee and the Servicer in banking transactions with the same rights as it would have if it were not Owner Trustee. 
  

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 Section 8.08. Licenses. The Sponsor shall cause the Issuing Entity to use its best efforts to
obtain and maintain the effectiveness of any licenses required in connection with this Agreement and the other Basic Documents and the transactions contemplated hereby and thereby until such time as the Issuing Entity shall terminate in accordance
with the terms hereof. 
 Section 8.09. Legal Proceedings. As required by Regulation AB, the Owner Trustee will promptly notify the
Servicer, the Depositor and the Issuing Entity of the commencement or, if applicable, the termination of any and all legal proceedings of which any property of the Owner Trustee is the subject, that is material to the Noteholders and any such
proceedings known to be contemplated by governmental authorities. In addition, the Owner Trustee will furnish to the Servicer, the Depositor and the Issuing Entity, in writing, the necessary disclosure describing such proceedings required to be
disclosed under Item 1117 of Regulation AB, for inclusion in reports filed pursuant to the Exchange Act. 
 ARTICLE IX 

COMPENSATION OF OWNER TRUSTEE 
 Section 9.01. Owner Trustee’s Fees and Expenses. The Owner Trustee shall receive as compensation for its services hereunder such fees as have been separately agreed upon before the date hereof between the Servicer and the Owner
Trustee, and the Owner Trustee shall be entitled to be reimbursed by the Servicer for its other reasonable expenses hereunder as separately agreed (the “Owner Trustee Fee”). 
 Section 9.02. Indemnification. The Sponsor shall be liable as obligor for, and shall indemnify the Owner Trustee (in its individual and trust
capacities) and its successors, assigns, agents and servants (collectively, the “Indemnified Parties”) from and against, any and all liabilities, obligations, losses, damages, taxes, claims, actions and suits, and any and all
reasonable costs, expenses and disbursements (including reasonable legal fees and expenses) of any kind and nature whatsoever (collectively, “Expenses”) which may at any time be imposed on, incurred by, or asserted against any
Indemnified Party in any way relating to or arising out of this Agreement, the other Basic Documents, the Owner Trust Estate, the administration of the Owner Trust Estate or the action or inaction of the Owner Trustee hereunder, except only that the
Sponsor shall not be liable for or required to indemnify an Indemnified Party from and against Expenses arising or resulting from any of the matters described in the third sentence of Section 8.01. The indemnities contained in this
Section 9.02 shall survive the resignation or termination of the Owner Trustee or the termination of this Agreement. In any event of any claim, action or proceeding for which indemnity will be sought pursuant to this Section, the Sponsor will
be entitled to participate therein, with counsel selected by the Sponsor and reasonably satisfactory to the Indemnified Parties, but after notice from an Indemnified Party to the Sponsor of its election to assume the defense thereof, the Sponsor
shall not be liable to the Indemnified Party under this Section 9.02 for any legal or other expenses subsequently incurred by such Indemnified Party in connection with the defense of such action; provided, however, that this
sentence shall not be in effect if (1) the Sponsor shall not have employed counsel reasonably satisfactory to the Indemnified Party to represent the Indemnified Party within a reasonable time after notice of commencement of the action,
(2) the Sponsor shall have authorized the employment of counsel for the Indemnified Party at the expense of the Sponsor or (3) in the event any such claim involves a possible imposition of 

  

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criminal liability or penalty or a material civil penalty on such Indemnified Party, a conflict of interest between such Indemnified Party and the Sponsor or
another indemnitee or the granting of material injunctive relief against such Indemnified Party, and such Indemnified Party informs the Sponsor that such Indemnified Party desires to be represented by separate counsel, in which case, the reasonable
fees and expenses of such separate counsel shall be borne by the Sponsor. If the Sponsor assumes the defense of any such proceeding, the Sponsor shall be entitled to settle such proceeding without any liability being assessed against any Indemnified
Party or, if such settlement provides for release of any such Indemnified Party without any liability being assessed against any Indemnified Party in connection with all matters relating to the proceeding which have been asserted against such
Indemnified Party in such proceeding by the other parties to such settlement, without the prior written consent of such Indemnified Party, but otherwise only with the prior written consent of such Indemnified Party. 
 Section 9.03. Payments to the Owner Trustee. Any amounts paid to the Owner Trustee pursuant to this Article IX shall be deemed not to be a part of
the Owner Trust Estate immediately after such payment. 
 ARTICLE X 
 TERMINATION OF TRUST AGREEMENT 
 Section 10.01. Termination of Trust
Agreement. (a) This Agreement (other than Article IX) shall terminate and the Issuing Entity shall dissolve and be of no further force or effect on the earlier of: (i) the final payment or other liquidation of the Mortgage Loans and
the disposition of all REO Properties and the remittance of all funds due hereunder with respect to such Mortgage Loans and REP Properties after the satisfaction and discharge of the Indenture pursuant to Section 4.01 of the Indenture; and
(ii) the expiration of 21 years from the death of the last survivor of descendants of Joseph P. Kennedy (the late ambassador of the United States to the Court of St. James). The bankruptcy, liquidation, dissolution, death or incapacity of the
any Certificateholder or the Sponsor shall not (x) operate to terminate this Agreement or the Issuing Entity, nor (y) entitle Certificateholders’ or the Sponsor’s legal representatives or heirs to claim an accounting or to take
any action or proceeding in any court for a partition or winding up of all or any part of the Issuing Entity or Owner Trust Estate nor (z) otherwise affect the rights, obligations and liabilities of the parties hereto. 
 (b) Except as provided in Section 10.01(a) above, none of the Sponsor, the Servicer, the Note Insurer nor the Certificateholders shall be entitled
to revoke or terminate the Issuing Entity. 
 (c) Notice of any termination of the Issuing Entity, specifying the Payment Date upon which the
Certificateholders shall surrender their Certificates to the Indenture Trustee for payment of the final distributions and cancellation, shall be given by the Owner Trustee to the 

  

 29 

 
Certificateholders, the Note Insurer, the Rating Agencies and the Indenture Trustee mailed within five (5) Business Days of receipt by the Owner Trustee
from the Servicer of notice of such termination, which notice given by the Owner Trustee shall state (i) the Payment Date upon or with respect to which final payment of the Certificates shall be made upon presentation and surrender of the
Certificates at the office of the Indenture Trustee therein designated, (ii) the amount of any such final payment and (iii) that the Record Date otherwise applicable to such Payment Date is not applicable, payments being made only upon
presentation and surrender of the Certificates at the office of the Indenture Trustee therein specified. The Owner Trustee shall give such notice to the Certificate Registrar (if other than the Owner Trustee) and the Indenture Trustee at the time
such notice is given to Certificateholders. Upon presentation and surrender of Certificates, subject to Section 3808 of the Statutory Trust Statute, amounts distributable on such Payment Date pursuant to the terms of the Indenture. 

(d) In the event that Certificateholders shall not surrender their Certificates for cancellation within six months after the date specified in the
above mentioned written notice, the Owner Trustee shall give a second written notice to Certificateholders to surrender the Certificates for cancellation and receive the final distribution with respect thereto. If within one year after the second
notice the Ownership Interest shall not have been surrendered for cancellation, the Owner Trustee may take appropriate steps, or may appoint an agent to take appropriate steps, to contact the remaining Certificateholders concerning surrender of the
Certificates, and the cost thereof shall be paid out of the funds and other assets that shall remain subject to this Agreement. Any funds remaining in the Issuing Entity after exhaustion of such remedies shall be distributed by the Indenture Trustee
to the Certificateholders. 
 (e) Upon the winding up of the Issuing Entity in accordance with Section 3808 of the Statutory Trust
Statute and its termination, the Owner Trustee shall cause the Certificate of Trust to be canceled by filing a certificate of cancellation with the Secretary of State in accordance with the provisions of Section 3810 of the Statutory Trust
Statute. 
 ARTICLE XI 
 SUCCESSOR OWNER TRUSTEES AND ADDITIONAL OWNER TRUSTEES 
 Section 11.01. Eligibility Requirements for Owner Trustee.
The Owner Trustee shall at all times be a corporation or banking association satisfying the provisions of Section 3807(a) of the Statutory Trust Statute; authorized to exercise trust powers; having a combined capital and surplus of at least
$50,000,000 and subject to supervision or examination by Federal or state authorities; and having (or having a parent that has) a rating of at least “Baa3” by Moody’s and “A-1” by S&P (or otherwise acceptable to the
Rating Agencies) and being acceptable to the Note Insurer. If such entity shall publish reports of condition at least annually, pursuant to law or to the requirements of the aforesaid supervising or examining authority, then for the purpose of this
Section 11.01, the combined capital and surplus of such entity 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 Owner Trustee shall cease to be
eligible in accordance with the provisions of this Section 11.01, the Owner Trustee shall resign immediately in the manner and with the effect specified in Section 11.02. 
  

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 Section 11.02. Resignation or Removal of Owner Trustee. The Owner Trustee may at any time resign
and be discharged from the trusts hereby created by giving written notice thereof to the Issuing Entity, the Sponsor, the Servicer, the Indenture Trustee and the Note Insurer. Upon receiving such notice of resignation, the Note Insurer may (and, if
the Note Insurer fails to do so, the Sponsor shall promptly) appoint a successor Owner Trustee (acceptable to the Note Insurer) by written instrument, in duplicate, one copy of which instrument shall be delivered to the resigning Owner Trustee and
one copy to the successor Owner Trustee. If no successor Owner Trustee shall have been so appointed and have accepted appointment within thirty (30) days after the giving of such notice of resignation, the resigning Owner Trustee or the Note
Insurer may petition any court of competent jurisdiction for the appointment of a successor Owner Trustee. 
 If at any time
the Owner Trustee shall cease to be eligible in accordance with the provisions of Section 11.01 and shall fail to resign after written request therefor by the Certificateholders or the Sponsor, or if at any time the Owner Trustee shall be
legally unable to act, or shall be adjudged bankrupt or insolvent, or a receiver of the Owner Trustee or of its property shall be appointed, or any public officer shall take charge or control of the Owner Trustee or of its property or affairs for
the purpose of rehabilitation, conservation or liquidation, then the Note Insurer, or the Certificateholders or the Sponsor with the written consent of the Note Insurer, may remove the Owner Trustee. If the Certificateholders or the Sponsor or the
Note Insurer shall remove the Owner Trustee under the authority of the immediately preceding sentence, the Note Insurer, or the Sponsor with the written consent of the Note Insurer, shall promptly appoint a successor Owner Trustee by written
instrument in duplicate, one copy of which instrument shall be delivered to the outgoing Owner Trustee so removed and one copy to the successor Owner Trustee and payment of all fees owed to the outgoing Owner Trustee. 
 Any resignation or removal of the Owner Trustee and appointment of a successor Owner Trustee pursuant to any of the provisions of this
Section 11.02 shall not become effective until acceptance of appointment by the successor Owner Trustee pursuant to Section 11.03, written approval by the Note Insurer and payment of all fees and expenses owed to the outgoing Owner
Trustee. The Servicer shall provide notice of such resignation or removal of the Owner Trustee to each of the Rating Agencies, the Indenture Trustee and the Note Insurer. 
 Section 11.03. Successor Owner Trustee. Any successor Owner Trustee appointed pursuant to Section 11.02 shall execute, acknowledge and deliver to the Issuing Entity, the Sponsor, the Indenture Trustee, the
Note Insurer and to its predecessor Owner Trustee an instrument accepting such appointment under this Agreement, and thereupon, subject to the payment of all fees and expenses owed to the outgoing Owner Trustee, the resignation or removal of the
predecessor Owner Trustee shall become effective and such successor Owner Trustee (if acceptable to the Note Insurer), without any further act, deed or conveyance, shall become fully vested with all the rights, powers, duties, and obligations of its
predecessor under this Agreement, with like effect as if originally named as Owner Trustee. The predecessor Owner Trustee shall upon payment of its fees and expenses deliver to the successor Owner Trustee all documents and statements and moneys held
by it under this Agreement; and the Sponsor and the predecessor Owner Trustee shall execute and deliver such instruments and do such other things as may reasonably be required for fully and certainly vesting and confirming in the successor Owner
Trustee all such rights, powers, duties, and obligations. 
  

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 No successor Owner Trustee shall accept appointment as provided in this Section unless at
the time of such acceptance such successor Owner Trustee shall be eligible pursuant to Section 11.01. 
 Upon acceptance
of appointment by a successor Owner Trustee pursuant to this Section 11.03, the Sponsor shall mail notice of the successor of such Owner Trustee to the Certificateholders, the Indenture Trustee, the Noteholders, the Note Insurer and the Rating
Agencies. If the Sponsor fails to mail such notice within ten (10) days after acceptance of appointment by the successor Owner Trustee, the successor Owner Trustee shall cause such notice to be mailed at the expense of the Sponsor. 

Any successor Owner Trustee appointed pursuant to this Section 11.03 shall file an amendment to the Certificate of Trust with the
Secretary of State identifying the name and principal place of business of such successor Owner Trustee in the State of Delaware. 
 Section
11.04. Merger or Consolidation of Owner Trustee. Any corporation or banking association into which the Owner Trustee may be merged or converted or with which it may be consolidated or any corporation or banking association resulting from any
merger, conversion or consolidation to which the Owner Trustee shall be a party, or any corporation or banking association succeeding to all or substantially all of the corporate trust business of the Owner Trustee, shall be the successor of the
Owner Trustee hereunder, provided such corporation or banking association shall be eligible pursuant to Section 11.01, without the execution or filing of any instrument or any further act on the part of any of the parties hereto, except the
filing of an amendment to the Certificate of Trust, if appropriate, anything herein to the contrary notwithstanding; provided, further, that the Owner Trustee shall mail notice of such merger, conversion or consolidation to the Rating
Agencies and; provided, further, that the Owner Trustee shall file an amendment to the Certificate of Trust as required under Section 11.03 above. 
 Section 11.05. Appointment of Co-Trustee or Separate Trustee. 
 (a) 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 Owner Trust Estate or any Mortgaged Property may at the time be located, and for the purpose of performing
certain duties and obligations of the Owner Trustee with respect to the Issuing Entity and the Certificates, the Owner Trustee shall have the power and shall execute and deliver all instruments to appoint one or more Persons approved by the Owner
Trustee and acceptable to the Note Insurer to act as co-trustee, jointly with the Owner Trustee, or separate trustee or separate trustees, of all or any part of the Owner Trust Estate, and to vest in such Person, in such capacity, such title to the
Issuing Entity, or any part thereof, and, subject to the other provisions of this Section 11.05, such powers, duties, obligations, rights and trusts as the Note Insurer and the Owner Trustee may consider necessary or desirable. No co-trustee or
separate trustee under this Agreement shall be required to meet the terms of eligibility as a successor trustee pursuant to Section 11.01 and no notice of the appointment of any co-trustee or separate trustee shall be required pursuant to
Section 11.03. 
  

 32 

 (b) Each separate trustee and co-trustee shall, to the extent permitted by law, be appointed and act
subject to the following provision and conditions: 
 (i) all rights, powers, duties and obligations conferred or imposed upon
the Owner Trustee shall be conferred upon and exercised or performed by the Owner 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
Owner 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, the Owner 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 Issuing Entity 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 Owner Trustee; 
 (ii) no trustee under this Agreement shall be personally liable by reason of any act or
omission of any other trustee under this Agreement; and 
 (iii) the Owner Trustee may at any time accept the resignation of
or remove any separate trustee or co-trustee. 
 (c) Any notice, request or other writing given to the Owner Trustee shall be deemed to have
been given to the separate trustees and co-trustees, as if given to each of them. Every instrument appointing any separate trustee or co-trustee, other than this Agreement, shall refer to this Agreement and to the conditions of this Article XI. Each
separate trustee and co-trustee, upon its acceptance of appointment, shall be vested with the estates specified in its instrument of appointment, either jointly with the Owner 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 Owner Trustee. Each such instrument shall be filed with the Owner Trustee.

 (d) Any separate trustee or co-trustee may at any time appoint the Owner Trustee as 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 Owner Trustee, to the extent permitted by law, without the appointment of a new or successor trustee. 
 ARTICLE XII 
 MISCELLANEOUS 
 Section 12.01. Supplements and Amendments. This Agreement may be amended by the Sponsor, the Depositor and the Owner Trustee, with the prior
written consent of the Note Insurer, and with prior written notice to the Rating Agencies, but without the consent of any of the Noteholders, the Certificateholders or the Indenture Trustee, to cure any ambiguity, to correct or supplement any
provisions in this Agreement or for the purpose of adding any provisions to or changing in any manner or eliminating any of the provisions in this Agreement or of modifying in any manner the rights of the Noteholders or the Certificateholders;
provided, however, such action shall not adversely affect in any material respect the interests of any Noteholder or Certificateholder. An amendment described above shall be deemed not to adversely affect in any 

  

 33 

 
material respect the interests of any Noteholder if the party requesting the amendment amendment (i) delivers an Opinion of Counsel, at the expense of
the party requesting the change, delivered to the Owner Trustee to such effect, or (ii) satisfies the Rating Agency Condition with respect to such amendment. 
 This Agreement may also be amended from time to time by the Sponsor, the Depositor and the Owner Trustee, with the prior written consent
of the Rating Agencies and with the prior written consent of the Indenture Trustee, the Note Insurer, the Noteholders evidencing more than 50% of the Note Principal Balance of the Outstanding Notes of all of the Classes affected thereby and the
Certificateholders evidencing more than 50% of the Percentage Interests of the Issuing Entity, for the purpose of adding any provisions to or changing in any manner or eliminating any of the provisions of this Agreement or of modifying in any manner
the rights of the Noteholders or the Certificateholders; provided, however, no such amendment shall (a) increase or reduce in any manner the amount of, or accelerate or delay the timing of, collections of payments on the Mortgage
Loans or distributions that shall be required to be made for the benefit of the Noteholders, the Certificateholders or the Note Insurer, (b) reduce the aforesaid percentage of the Outstanding Principal Balance of the Notes or the Percentage
Interests required to consent to any such amendment, in either case of clause (a) or (b) without the consent of the holders of all the outstanding Notes affected thereby, the Note Insurer and the Certificateholders of all the outstanding
Certificates. 
 Promptly after the execution of any such amendment or consent, the Sponsor shall furnish written notification
of the substance of such amendment or consent to the Certificateholders, the Indenture Trustee, the Note Insurer and each of the Rating Agencies. 
 It shall not be necessary for the consent of the Certificateholders, the Noteholders or the Indenture Trustee pursuant to this Section to approve the particular form of any proposed amendment or consent, but it shall
be sufficient if such consent shall approve the substance thereof. The manner of obtaining such consents (and any other consents of Certificateholders provided for in this Agreement or in any other Basic Document) and of evidencing the authorization
of the execution thereof by Certificateholders shall be subject to such reasonable requirements as the Owner Trustee may prescribe. 
 Promptly after the execution of any amendment to the Certificate of Trust, the Owner Trustee shall cause the filing of such amendment with the Secretary of State. 
 Prior to the execution of any amendment to this Agreement or the Certificate of Trust, the Owner 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 and that all conditions precedent have been met. The Owner Trustee may, but shall not be obligated to, enter into any such
amendment which affects the Owner Trustee’s own rights, duties or immunities under this Agreement or otherwise. 
 Section 12.02. No
Legal Title to Owner Trust Estate in Certificateholders. The Certificateholders shall not have legal title to any part of the Owner Trust Estate. The Certificateholders shall be entitled to receive distributions with respect to their undivided
beneficial ownership interest therein only in accordance with Articles VI and X. No transfer, by 

  

 34 

 
operation of law or otherwise, of any right, title, or interest of the Certificateholders to and in their ownership interest in the Owner Trust Estate shall
operate to terminate this Agreement or the trusts hereunder or entitle any transferee to an accounting or to the transfer to it of legal title to any part of the Owner Trust Estate. 
 Section 12.03. Limitations on Rights of Others. The provisions of this Agreement are solely for the benefit of the Owner Trustee, the Sponsor, the
Depositor, the Certificateholders, the Note Insurer and, to the extent expressly provided herein, the Indenture Trustee and the Noteholders, and nothing in this Agreement, whether express or implied, shall be construed to give to any other Person
any legal or equitable right, remedy or claim in the Owner Trust Estate or under or in respect of this Agreement or any covenants, conditions or provisions contained herein. 
 Section 12.04. Notices. (a) Unless otherwise expressly specified or permitted by the terms hereof, all communications provided for or
permitted hereunder shall be in writing and shall be deemed to have been given if (1) personally delivered, (2) upon receipt by the intended recipient or three Business Days after mailing if mailed by certified mail, postage prepaid
(except that notice to the Owner Trustee shall be deemed given only upon actual receipt by the Owner Trustee), (3) sent by express courier delivery service and received by the intended recipient or (4) except with respect to notices sent
to the Owner Trustee, transmitted by telex or facsimile transmission (or any other type of electronic transmission agreed upon by the parties and confirmed by a writing delivered by any of the means described in (1), (2) or (3), at the
following addresses: (i) if to the Owner Trustee, at its Corporate Trust Office; (ii) if to the Sponsor, Accredited Home Lenders, Inc., 15090 Avenue of Science, San Diego, California 92128, Attention: General Counsel, telecopy:
(858) 676-2170; and (iii) if to the Note Insurer,
[                                      
  ], Attention: [                    ]; or, as to each such party, at such other address as shall be designated by such party in
a written notice to each other party. 
 (b) Any notice required or permitted to be given to a Certificateholder shall be given by
first-class mail, postage prepaid, at the address of such Certificateholder as shown in the Certificate Register. Any notice so mailed within the time prescribed in this Agreement shall be conclusively presumed to have been duly given, whether or
not the Certificateholder receives such notice. 
 Section 12.05. Severability. Any provision of this Agreement that is prohibited or
unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions hereof, and any such prohibition or unenforceability in any
jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction. 
 Section 12.06. Separate
Counterparts. This Agreement may be executed by the parties hereto in separate counterparts, each of which when so executed and delivered shall be an original, but all such counterparts shall together constitute but one and the same instrument.

 Section 12.07. Successors and Assigns. All covenants and agreements contained herein shall be binding upon, and inure to the
benefit of, the Sponsor, the Note Insurer, the Owner Trustee and its successors and each Certificateholder and its successors and permitted assigns, all 

  

 35 

 
as herein provided. Any request, notice, direction, consent, waiver or other instrument or action by a Certificateholder shall bind the successors and
assigns of such Certificateholder. 
 Section 12.08. No Petition. The Owner Trustee, by entering into this Agreement, each
Certificateholder, by accepting a Certificate, and the Indenture Trustee and each Noteholder by accepting the benefits of this Agreement, hereby covenant and agree that they will not at any time institute against the Depositor or the Issuing Entity,
or join in any institution against the Depositor or the Issuing Entity of, any bankruptcy, reorganization, arrangement, insolvency or liquidation proceedings, or other proceedings under any United States Federal or state bankruptcy law in connection
with any obligations relating to the Certificates, the Notes, this Agreement or any of the other Basic Documents. 
 This
Section 12.08 will survive for one year and one day following the termination of this Agreement. 
 Section 12.09. No Recourse.
Each Certificateholder by accepting a Certificate acknowledges that such Certificateholder’s Certificate represents a beneficial interest in the Issuing Entity only and does not represent an interest in or an obligation of the Servicer, the
Sponsor, the Owner Trustee or any Affiliate thereof and no recourse may be had against such parties or their assets, except as may be expressly set forth or contemplated in this Agreement, the Certificates or the other Basic Documents. 

Section 12.10. Headings. The headings of the various Articles and Sections herein are for convenience of reference only and shall not define or
limit any of the terms or provisions hereof. 
 Section 12.11. GOVERNING LAW. THIS AGREEMENT SHALL BE CONSTRUED IN ACCORDANCE WITH THE
LAWS OF THE STATE OF DELAWARE, WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS, AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS. 
 Section 12.12. Grant of Certificateholder Rights to Note Insurer. (a) In consideration for the issuance of the Certificates and for the
guarantee of the Notes by the Note Insurer pursuant to the Note Insurance Policy, the Certificateholders hereby grant to the Note Insurer the right to act as the holder of 100% of the outstanding Certificates for the purpose of exercising the rights
hereunder of the Certificateholders under this Agreement without the consent of the Certificateholders, including the voting rights of such Certificateholders hereunder, but excluding those rights requiring the consent of all such
Certificateholders, and any rights of such Certificateholders to distributions under the Indenture and the other Basic Documents; provided, that the preceding grant of rights to the Note Insurer by the Certificateholders shall be subject to
Section 12.14. 
 (b) [Reserved]. 
 (c) The duties and responsibilities of the Owner Trustee shall be limited to those expressly provided for in this Agreement. The parties hereto agree that except for purposes of the foregoing sentence, the Owner Trustee shall have no
management responsibilities or owe any 

  

 36 

 
fiduciary duties to the Note Insurer (or the Noteholders in the event they succeed to the Note Insurer’s rights). 
 (d) Whenever in connection with its performance under this Agreement the Owner Trustee receives inconsistent notices or advice from the Note Insurer and
the Certificateholders, the Owner Trustee shall, in the absence of a Note Insurer Default, take the action required by the notices or advice received from the Note Insurer. 
 Section 12.13. Third-Party Beneficiaries. The Indenture Trustee and the Note Insurer are intended third-party beneficiaries of this Agreement, and
this Agreement shall be binding upon and inure to the benefit of the Indenture Trustee and the Note Insurer; provided, that, notwithstanding the foregoing, for so long as a Note Insurer Default is continuing with respect to its obligations
under the Note Insurance Policy, the Certificateholders shall succeed to the Note Insurer’s rights hereunder. Without limiting the generality of the foregoing, all covenants and agreements in this Agreement that expressly confer rights upon the
Note Insurer shall be for the benefit of and run directly to the Note Insurer, and the Note Insurer shall be entitled to rely on and enforce such covenants to the same extent as if it were a party to this Agreement. 
 Section 12.14. Suspension and Termination of Note Insurer’s Rights. During the continuation of a Note Insurer Default, rights granted or
reserved to the Note Insurer hereunder shall vest instead in the Certificateholders; provided, that the Note Insurer shall be entitled to any distributions of reimbursements to the Note insurer as set forth in the Indenture and the Insurance
Agreement and the Note Insurer shall retain those rights under Section 12.01 to consent to any amendment of this Agreement. 
 At such time as either (i) the outstanding Note Principal Balance of the Notes has been reduced to zero or (ii) the Note Insurance Policy has been terminated and in either case of (i) or (ii) the Note Insurer has been
reimbursed for all amounts owed under the Note Insurance Policy and the Insurance Agreement (and the Note Insurer no longer has any obligation under the Note Insurance Policy), then the rights and benefits granted or reserved to the Note Insurer
hereunder (including the rights to direct certain actions and receive certain notices) shall terminate and the Certificateholders shall be entitled to the exercise of such rights and to receive such benefits of the Note Insurer following such
termination to the extent that such rights and benefits are applicable to the Certificateholders. 
 Section 12.15. Servicer. The
Servicer is authorized to prepare, or cause to be prepared, execute and deliver on behalf of the Issuing Entity all such documents, reports, filings, instruments, certificates and opinions as it shall be the duty of the Issuing Entity, the Sponsor
or Owner Trustee to prepare, file or deliver pursuant to the Basic Documents. Upon written request, the Owner Trustee shall execute and deliver to the Servicer a limited power of attorney appointing the Servicer the Issuing Entity’s agent and
attorney-in-fact to prepare, or cause to be prepared, execute and deliver all such documents, reports, filings, instruments, certificates and opinions. 
 [Remainder of Page Intentionally Left Blank] 
  

 37 

 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed by their respective
officers hereunto duly authorized, as of the day and year first above written. 
  
  
			
	 ACCREDITED HOME LENDERS, INC.,
 as Sponsor

		
	 By:
	 	  
	 Name:
	 	
	 Title:
	 	
	
	 ACCREDITED MORTGAGE LOAN REIT TRUST,
 as Depositor

		
	By:	 	  
		 	 Name:

		 	 Title:

	
	 [                                      
                      ],
 not in its
individual capacity but solely as Owner Trustee under the Trust Agreement

		
	By:	 	  
		 	 Name:

		 	 Title:

  [Signature page to Amended and Restated Trust Agreement] 
  

 38 

 EXHIBIT A 
 FORM OF TRUST CERTIFICATE 
 THE EQUITY INTEREST IN THE TRUST REPRESENTED BY THIS CERTIFICATE HAS NOT BEEN AND WILL NOT BE
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “ACT”), OR ANY STATE SECURITIES LAWS. THIS EQUITY INTEREST MAY BE DIRECTLY OR INDIRECTLY OFFERED OR SOLD OR OTHERWISE DISPOSED OF (INCLUDING PLEDGED) BY THE HOLDER HEREOF
ONLY TO (I) A “QUALIFIED INSTITUTIONAL BUYER” AS DEFINED IN RULE 144A UNDER THE ACT, IN A TRANSACTION THAT IS REGISTERED UNDER THE ACT AND APPLICABLE STATE SECURITIES LAWS OR THAT IS EXEMPT FROM THE REGISTRATION REQUIREMENTS OF THE
ACT AND OF SUCH STATE LAWS OR (II) A PERSON INVOLVED IN THE ORGANIZATION OR OPERATION OF THE TRUST OR AN AFFILIATE OF SUCH A PERSON WITHIN THE MEANING OF RULE 3A-7 OF THE INVESTMENT COMPANY ACT OF 1940, AS AMENDED (INCLUDING, BUT NOT LIMITED TO,
ACCREDITED HOME LENDERS, INC.) IN A TRANSACTION THAT IS REGISTERED UNDER THE ACT AND APPLICABLE STATE SECURITIES LAWS OR THAT IS EXEMPT FROM THE REGISTRATION REQUIREMENTS OF THE ACT AND SUCH LAWS. NO PERSON IS OBLIGATED TO REGISTER THIS EQUITY
INTEREST UNDER THE ACT OR ANY STATE SECURITIES LAWS. 
 NO TRANSFER OF THIS CERTIFICATE OR ANY BENEFICIAL INTEREST HEREIN SHALL BE MADE TO ANY PERSON UNLESS
THE OWNER TRUSTEE HAS RECEIVED A REPRESENTATION LETTER FROM THE TRANSFEREE TO THE EFFECT THAT SUCH TRANSFEREE IS NOT (I) AN EMPLOYEE BENEFIT PLAN (WITHIN THE MEANING OF SECTION 3(3) OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS
AMENDED (“ERISA”)) THAT IS SUBJECT TO TITLE OF ERISA, (II) A PLAN (WITHIN THE MEANING OF SECTION 4975(E)(1) OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE “CODE”)) THAT IS SUBJECT TO SECTION 4975 OF THE CODE OR (III) A
GOVERNMENTAL PLAN (WITHIN THE MEANING OF SECTION 3(32) OF ERISA) THAT IS SUBJECT TO ANY FEDERAL, STATE OR LOCAL LAW THAT IS, TO A MATERIAL EXTENT, SIMILAR TO TITLE I OF ERISA OR SECTION 4975 OF THE CODE (EACH OF THE FOREGOING, A “PLAN”)
AND IS NOT DIRECTLY OR INDIRECTLY PURCHASING THIS CERTIFICATE OR A BENEFICIAL INTEREST HEREIN ON BEHALF OR, AS INVESTMENT MANAGER OF, AS TRUSTEE OF, OR WITH THE ASSETS OF A PLAN. 
 THIS CERTIFICATE MAY NOT BE TRANSFERRED, SOLD OR OTHERWISE DISPOSED OF UNLESS, PRIOR TO SUCH DISPOSITION, THE PROPOSED TRANSFEREE DELIVERS TO THE OWNER TRUSTEE AND THE CERTIFICATE REGISTRAR A CERTIFICATE STATING THAT
SUCH TRANSFEREE (A) AGREES TO BE BOUND BY AND TO ABIDE BY THE TRANSFER RESTRICTIONS APPLICABLE TO THIS CERTIFICATE; (B) IS NOT AN ENTITY THAT WILL HOLD THIS CERTIFICATE AS NOMINEE TO FACILITATE THE CLEARANCE AND SETTLEMENT OF SUCH SECURITY
THROUGH ELECTRONIC BOOK-ENTRY CHANGES IN ACCOUNTS OF PARTICIPATING ORGANIZATIONS; AND (C) UNDERSTANDS THAT IT MUST TAKE INTO ACCOUNT ITS PERCENTAGE INTEREST OF THE TAXABLE INCOME RELATING TO THIS CERTIFICATE. 

			
	Certificate No. 1	  	Percentage Interest: 100%

 THIS CERTIFIES THAT Accredited Mortgage Loan REIT Trust (the “Certificateholder”)
is the registered owner of a 100% Percentage Interest in Accredited Mortgage Loan Trust 200[_]-[_] (the “Issuing Entity”) existing under the laws of the State of Delaware and created pursuant to that certain Trust Agreement, dated
as of [DATE], as amended and restated on [DATE] (as amended and restated, the “Trust Agreement”), by and among Accredited Home Lenders, Inc., as sponsor, Accredited Mortgage Loan REIT Trust, as depositor, and
[                                    ], not its individual
capacity but solely as owner trustee under the Trust Agreement (the “Owner Trustee”). Capitalized terms used but not otherwise defined herein have the meanings assigned to such terms in the Trust Agreement. The Owner Trustee, on
behalf of the Issuing Entity and not in its individual capacity, has executed this Certificate by one of its duly authorized signatories as set forth below. This Certificate is one of the Certificates referred to in the Trust Agreement and is issued
under and is subject to the terms, provisions and conditions of the Trust Agreement to which the Certificateholder by virtue of the acceptance hereof agrees and by which the Certificateholder hereof is bound. Reference is hereby made to the Trust
Agreement for the rights of the Certificateholder, as well as for the terms and conditions of the Issuing Entity created by the Trust Agreement. 
 The recitals contained herein (other than the signature and countersignature of the Owner Trustee) shall be taken as the statements of the Sponsor, and the Owner Trustee assumes no responsibility for the correctness thereof. 
 The Certificateholder, by its acceptance hereof, agrees not to transfer this Certificate except in accordance with terms and provisions of the Trust
Agreement. 
 The Certificateholder, by its acceptance hereof, acknowledges that such Certificateholder’s Certificate represents a
beneficial interest in the Issuing Entity only and does not represent an interest in or an obligation of the Servicer, the Depositor, the Sponsor, the Owner Trustee or any Affiliate thereof and no recourse may be had against such parties or their
assets, except as may be expressly set forth or contemplated herein, in the Trust Agreement or the other Basic Documents. 
 THIS CERTIFICATE
SHALL BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF DELAWARE, WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS, AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS.

  

 A-2 

 IN WITNESS WHEREOF, the Owner Trustee, on behalf of the Issuing Entity and not in its individual
capacity, has caused this Certificate to be duly executed. 
  

			
	 ACCREDITED MORTGAGE LOAN TRUST
 200[  ]-[  ]

	
	 [                                      
                      ],
 not in its
individual capacity but solely as Owner Trustee under the Trust Agreement

		
	 By:
	 	  
		 	Authorized Signatory

 Dated: [DATE] 
 CERTIFICATE OF AUTHENTICATION 
 This is one of the Certificates referred to in
the within-mentioned Trust Agreement. 
  

			
	 [                                      
                      ],
 not in its
individual capacity but solely as Owner Trustee under the Trust Agreement

		
	By:	 	  
		 	Authorized Signatory

 Dated: [DATE] 
  

 A-3 

 ASSIGNMENT 
 FOR VALUE RECEIVED, the undersigned hereby sells, assigns and transfer unto 
 PLEASE INSERT
SOCIAL SECURITY 
 OR OTHER IDENTIFYING NUMBER 
 OF ASSIGNEE 
                                       
                                        
                                        
                                        
                                        
                                        
                    
 (Please print or type name and address, including postal zip code, of assignee) 
                                       
                                        
                                        
                                        
                                        
                                        
                    
 the within instrument, and all rights
thereunder, hereby irrevocably constituting and appointing                         , Attorney, to transfer said Instrument
on the books of the Certificate Registrar, with full power of substitution in the premises. 
 Dated: 
  

			
		
	 By:
	 	*/
		 	 Signature Guaranteed:

		
	 By:
	 	*/

	*/	NOTICE: The signature to this assignment must correspond with the name as it appears upon the face of the within Instrument in every particular, without alteration, enlargement or
any change whatever. Such signature must be guaranteed by a member firm of the New York Stock Exchange or a commercial bank or trust company. 

  

 A-4 

 EXHIBIT B 
 FORM OF CERTIFICATE OF TRUST 
 CERTIFICATE OF TRUST OF 
 ACCREDITED MORTGAGE LOAN TRUST 200[  ]-[  ] 
 THIS CERTIFICATE OF TRUST OF ACCREDITED MORTGAGE LOAN TRUST 200[_]-[_] (the “Issuing Entity”), is being duly executed and filed by the
undersigned, as trustee, to form a statutory trust under the Delaware Statutory Trust Act (12 Del. Code, § 3801 et seq.)(the “Act”). 
 1. Name. The name of the statutory trust formed hereby is Accredited Mortgage Loan Trust 200[_]-[_]. 
 2. Delaware Trustee. The name and business address of the trustee of the Issuing Entity in the State of Delaware are
[                                        
    ], Attention: [                    ]. 
 3. Series. Pursuant to Section 3806(b)(2) of the Act, the Issuing Entity shall issue one or more series of beneficial
interests having the rights and preferences set forth in the Governing instrument of the Issuing Entity, as the same may be amended from time to time (each, a “Series” or “Sub-Trust”). 
 4. Notice of Limitation of Liabilities of each Series. Pursuant to Section 3804(a) of the Act, there shall be a limitation on
liabilities of each Series such that (a) the debts, liabilities, obligations and expenses incurred, contracted for or otherwise existing with respect to a particular Series shall be enforceable against the assets of such Series only, and not
against the assets of the Issuing Entity generally or the assets of any other Series thereof and (b) none of the debts, liabilities, obligations and expenses incurred, contracted for or otherwise existing with respect to the Issuing Entity
generally or any other Series thereof shall be enforceable against the assets of such Series. 
 5. Effective Date.
This Certificate of Trust shall be effective upon filing. 
  

 B-1 

 IN WITNESS WHEREOF, the undersigned, has duly executed this Certificate of Trust in accordance with
Section 3811(a)(1) of the Act. 
  

			
	 [                                      
                      ],
 not in its
individual capacity but solely as trustee

		
	 By:
	 	  
		 	 Name:

		 	 Title:

  

 B-2 

 EXHIBIT C 
 FORM OF INVESTMENT LETTER 
                                     ,
             
 Accredited Home Lenders, Inc. 

15030 Avenue of Science 
 San Diego, California 92128 
 [Owner Trustee] 
  

	 	Re:	Accredited Mortgage Loan Trust 200[_]-[_] (the “Issuing Entity”) 

	 	 	Asset-Backed Notes, Series 200[_]-[_] 

 Ladies and Gentlemen: 

                                      
                                        
                  (the “Certificateholder”) has purchased or acquired, or intends to purchase or acquire from
                                        ,
the current Certificateholder (the “Current Certificateholder”), a Trust Certificate representing a 100% Percentage Interest (the “Certificate”) in the Issuing Entity, which represents an interest in the Issuing
Entity created pursuant to that certain Trust Agreement, dated as of [DATE], as amended and restated on [DATE] (the “Trust Agreement”), by and among Accredited Home Lenders, Inc., as Sponsor, Accredited Mortgage Loan REIT Trust, as
Depositor and
[                                        
                    ], as Owner Trustee. Capitalized terms used and not otherwise defined herein have the meanings assigned to such terms in the
Trust Agreement. 
 CERTIFICATION 
 The undersigned, as an authorized officer or agent of the Certificateholder, hereby certifies, represents, warrants and agrees on behalf of the Certificateholder as follows: 
 1. The Certificateholder is duly organized, validly existing and in good standing under the laws of the jurisdiction in which it was formed and is
authorized to invest in the Certificate. The person executing this letter on behalf of the Certificateholder is duly authorized to do so on behalf of the Certificateholder. 
 2. The Certificateholder hereby acknowledges that no transfer of the Certificate may be made unless such transfer is exempt from the registration
requirements of the Securities Act of 1933, as amended (the “Securities Act”); and applicable state securities laws, or is made in accordance with the Securities Act and such laws. 
 3. The Certificateholder understands that the Certificate has not been and will not be registered under the Securities Act and may be offered, sold,
pledged or otherwise transferred to a person whom the transferor reasonably believes is (A) a qualified institutional buyer (as defined in Rule 144A under the Securities Act) or (B) a Person involved in the organization or operation of the
Issuing Entity or an affiliate of such Person, in a transaction 

  

 C-1 

 
pursuant to an effective registration statement under the Securities Act and any applicable state securities laws or exempt from the registration
requirements of the Securities Act and any such state securities laws. The Certifcateholder understands that the Certificate bears a legend to the foregoing effect. 
 4. The Certificateholder is acquiring the Certificate for its own account or for accounts for which it exercises sole investment discretion, and not with a view to or for sale or other transfer in connection with any
distribution of the Certificate in any manner that would violate Section 5 of the Securities Act or any applicable state securities laws, subject nevertheless to any requirement of law that the disposition of the Certificateholder’s
property shall at all times be and remain within its control. 
 5. The Certificateholder is (A) a “qualified institutional
buyer” (a “QIB”) as defined in Rule 144A under the Securities Act, and is aware that the transferor of the Certificate may be relying on an exemption from the registration requirements of the Securities Act and is acquiring
such Certificate for its own account or for the account of one or more qualified institutional buyers for whom it is authorized to act, or (B) a Person involved in the organization or operation of the Issuing Entity or an affiliate of such
Person within the meaning of Rule 3a-7 of the Investment Company Act of 1940, as amended (including, but not limited to, the Sponsor). The Certificateholder is able to bear the economic risks of such an investment. The Certificateholder is a QIB
because [STATE FACTUAL BASIS FOR QIB STATUS]. 
 6. If the Certificateholder sells or otherwise transfers the registered ownership of such
Certificate, the Certificateholder will comply with the restrictions and requirements with respect to the transfer of the ownership of the Certificate under the Trust Agreement, and the Certificateholder will obtain from any subsequent purchaser or
transferee substantially the same certifications, representations, warranties and covenants as required under the Trust Agreement in connection with such subsequent sale or transfer thereof. 
 7. The Certificateholder is not an entity that will hold a Certificate as nominee (a “Book Entry Nominee”) to facilitate the clearance
and settlement of such security through electronic book-entry changes in Accounts or participating organizations. 
 8. The Certificateholder
consents to any amendments of the Trust Agreement as may be required to effectuate further the restrictions on transfer of the Certificates to Book Entry Nominees. 
 9. The Certificateholder is not a Plan and is not, directly or indirectly, purchasing such Certificate on behalf of, as investment manager of, as named fiduciary of, as trustee of, or with assets of a Plan.

 10. The Certificateholder hereby agrees to indemnify each of the Issuing Entity, the Indenture Trustee, the Note Insurer, and the Owner
Trustee against any liability that may result if the Certificateholder’s transfer of a Certificate (or any portion thereof) is not exempt from the registration requirements of the Securities Act and any applicable state securities laws or is
not made in accordance with such federal and state laws. Such indemnification of the Issuing Entity, the Indenture Trustee, and the Owner Trustee shall survive the termination of the related Trust Agreement. 
  

 C-2 

 11. The Certificateholder qualifies for taxation as a REIT or is a qualified REIT subsidiary. 

IN WITNESS WHEREOF, the Certificateholder has caused this instrument to be executed on its behalf pursuant to the authority of its Board of Directors,
by its duly authorized signatory this          day of
                            ,         . 
  

			
	 [NAME OF CERTIFICATEHOLDER]

		
	 By:
	 	  
		 	Name:
		 	Title:

  

 C-3 

 EXHIBIT D 
 FORM OF TRANSFEROR CERTIFICATE 
                                     ,
             
 Accredited Home Lenders, Inc. 
 15090 Avenue of Science 
 San Diego, California 92128 
 [Owner Trustee] 
  

	 	Re:	Accredited Mortgage Loan Trust 200[  ]-[  ] (the “Issuing Entity”) 

	 	 	Asset-Backed Notes, Series 200[  ]-[  ] 

 Ladies and Gentlemen: 
 In
connection with our disposition of the above-referenced Asset-Backed Certificates (the “Certificates”) we certify that (i) we understand that the Certificates have not been registered under the Securities Act of 1933, as
amended (the “Act”), and are being transferred by us in a transaction that is exempt from the registration requirements of the Act and (ii) 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. 
 Dated: 
  

			
	 [NAME OF TRANSFEROR]

		
	 By:
	 	  
		 	Authorized Officer

  

 D-1

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